Loading...
2011 04 19 CC MinutesLA QUINTA CITY COUNCIL MINUTES APRIL 19, 2011 A regular meeting of the La Quinta City Council was called to order at the hour of 3:30 p.m. by Mayor Adolph. PRESENT: Council Members Evans, Franklin, Henderson, Sniff, Mayor Adolph ABSENT: None PUBLIC COMMENT - None CLOSED SESSION - None 1. CONFERENCE WITH LABOR NEGOTIATORS, SKI HARRISON AND THOMAS P. GENOVESE REGARDING NEGOTIATIONS WITH THE LA QUINTA CITY EMPLOYEES ASSOCIATION PURSUANT TO GOVERNMENT CODE SECTION 54957.6 MEET AND CONFER PROCESS 2. CONFERENCE WITH LABOR NEGOTIATORS SKI HARRISON AND THOMAS P. GENOVESE, REGARDING NEGOTIATIONS WITH THE CITY OF LA QUINTA UNREPRESENTED EMPLOYEES: ACCOUNTING MANAGER, ASSISTANT CITY MANAGER - DEVELOPMENT SERVICES, ASSISTANT CITY MANAGER - MANAGEMENT SERVICES, BUILDING & SAFETY DIRECTOR, BUILDING & SAFETY MANAGER, CITY CLERK, COMMUNITY SAFETY MANAGER, COMMUNITY SERVICES DIRECTOR, ECONOMIC DEVELOPMENT PROJECT MANAGER, EMERGENCY SERVICES COORDINATOR, EXECUTIVE ASSISTANT, EXECUTIVE OFFICE ASSISTANT, FINANCE DIRECTOR, GOLF /PARK LANDSCAPE MANAGER, HUMAN RESOURCES /RISK MANAGER, INFORMATION SERVICES ANALYST, MAINTENANCE MANAGER, MANAGEMENT ANALYST, MANAGEMENT ASSISTANT, PLANNING DIRECTOR, PLANNING MANAGER, PRINCIPAL ENGINEER, PRINCIPAL PLANNER, PUBLIC WORKS DIRECTOR, PUBLIC WORKS INSPECTION SUPERVISOR, PURSUANT TO GOVERNMENT CODE SECTION 54957.6 The City Council recessed to the Redevelopment Agency and to Closed Session to and until the hour of 4:00 p.m. CQIL7 A L The City Council meeting was reconvened with no decisions being made in Closed Session which require reporting pursuant to Government Code Section 54957.1 (Brown Act). City Council Minutes 2 APRIL 19, 2011 Mayor Adolph led the audience in the Pledge of Allegiance. PUBLIC COMMENT - None CONFIRMATION OF AGENDA Mayor Adolph requested to comment on Consent Calendar Item No. 4 prior to approval. ANNOUNCEMENTS - None Mayor Adolph presented a proclamation in honor of Mental Health Month as May 2011 to Mark Miller, representing the Riverside County Mental Health Board. WRITTEN COMMUNICATIONS - None APPROVAL OF MINUTES MOTION - It was moved by Council Members Sniff /Evans to approve the City Council Minutes of April 5, 2011, as submitted. Motion carried unanimously. CONSENT CALENDAR 1. APPROVAL OF DEMAND REGISTER DATED APRIL 19, 2011 2. RECEIVE AND FILE TREASURER'S REPORT DATED FEBRUARY 28, 2011 3. RECEIVE AND FILE REVENUE & EXPENDITURES REPORT FOR FEBRUARY 28, 2011 AND INVESTMENT SUMMARY REPORT FOR QUARTER ENDING MARCH 31, 2011 4. ADOPTION OF CITY OF LA QUINTA 2011 -2012 ECONOMIC DEVELOPMENT PLAN 5. ADOPTION OF A RESOLUTION SETTING FORTH THE AMENDED RECORDS RETENTION SCHEDULE FOR DEPARTMENT AND OFFICES OF THE CITY AND APPROVING DESTRUCTION OF RECORDS IN ACCORDANCE THEREWITH (RESOLUTION NO. 2011 -027) City Council Minutes 3 APRIL 19, 2011 6. APPROVAL OF A GRANT PROPOSAL TO THE STATE OFFICE OF HISTORIC PRESERVATION FOR CONSOLIDATING AND DIGITIZING THE HISTORIC RESOURCE SURVEYS AND UPDATING THE HISTORIC CONTEXT STATEMENT 7. AUTHORIZATION OF OVERNIGHT TRAVEL FOR TWO MEMBERS OF THE CITY COUNCIL TO ATTEND THE LEAGUE OF CALIFORNIA CITIES LEGISLATIVE ACTIONS DAYS CONFERENCE, LEAGUE OF CALIFORNIA CITIES BOARD MEETING AND LEAGUE OF CALIFORNIA CITIES ADVANCED LEADERSHIP WORKSHOP TO BE HELD IN SACRAMENTO, CALIFORNIA, MAY 18 -20, 2011 8. APPROVAL OF A RESOLUTION ADOPTING THE CITY OF LA QUINTA FISCALLY RESPONSIBLE REDUCTION PLAN ( "FRRP ") AND THE CITY OF LA QUINTA EXCESS BENEFIT PLAN AND APPROVING AN ADMINISTRATIVE SERVICES AGREEMENT WITH PARS, A TRUST AGREEMENT FOR THE FRRP, AND AN EXCESS BENEFIT TRUST AGREEMENT (RESOLUTION NO. 2011 -028) 9. APPROVAL OF A PROFESSIONAL SERVICES AGREEMENT WITH NAI CONSULTING, INC. TO PROVIDE PROJECT MANAGEMENT AND CONTRACT ADMINISTRATIVE SUPPORT SERVICES FOR FISCAL YEAR 2011 -2012 MOTION — It was moved by Council Members Sniff /Franklin to approve the Consent Calendar as recommended and with Item Nos. 5 and 8 being approved by RESOLUTION NOS. 2011 -027 and 2011 -028 respectively. Item No. 4 Mayor Adolph commended staff for the presentation of the Economic Development Plan, especially the graphic content and criteria. Motion carried unanimously. BUSINESS SESSION 1. CONSIDERATION OF THE SILVERROCK RESORT 2011 -2012 ANNUAL PLAN Golf and Park Landscape Manager Howlett presented the staff report. Council Member Henderson commended staff for the annual plan; stated the course is looking good; and further stated the plan covers all bases of the operation of the course, but is in need of some tweaking. City Council Minutes 4 APRIL 19, 2011 Council Member Franklin asked what percentage of tee times are reserved online. Golf and Park Landscape Manager Howlett explained current tracking indicates more than 60% of reservations are made online. Council Member Franklin asked if the $32,000 budgeted for bank charges is for the use of Visa and MasterCard charges. Community Services Director Hylton confirmed. Council Member Franklin asked what percentage of the budget includes the charges from the use of Visa and MasterCard. Community Services Director Hylton stated she does not have that information readily available but can provide it to the City Council by separate report. Council Member Franklin asked if the food and beverage revenue and expenses are accounted through the license agreement. Community Services Director Hylton confirmed there is a separate agreement for food and beverage portion, and explained the reason in part is due to the maintenance of the liquor license. Council Member Franklin noted Landmark absorbs the $275,000 costs for maintaining the water feature at the entrance to the Resort, and applauded staff for the report which indicates we are moving toward the black. Council Member Evans stated the Resort is in the black with the golfing activity, but city staff hours and the additional costs for the Hope put the operating costs in the red. Community Services Director Hylton confirmed and explained the costs are very close to breaking even with the revenues. Council Member Evans stated the City Council could have increased the resident card rate even more as they are still being purchased. Community Services Director Hylton confirmed. Council Member Henderson referred to the email database used for marketing, and asked if there are other ways for those interested to be included in the database, and if other methods are being utilized to promote specials. Manager Duncan stated the Resort is utilizing the City's Facebook page and partners with a variety of golf clubs, and explained a 200,000 email blast will be sent to the residents on April 25, 2011, for the promotion of the California Resident special. Council Member Franklin asked if the Resort had to purchase the email list. Mr. Duncan explained the database was included with the co -op advertising package with the Palm Springs Desert Resort Communities Convention & Visitors Authority (CVA). Council Member Evans asked Council Members if they have utilized the app to schedule tee times. City Council Minutes 5 APRIL 19, 2011 Council Member Sniff stated there are potential major changes with the change in sponsorship of the Bob Hope Classic, and asked if staff has discussed changes with Humana or the Clinton Initiative. City Manager Genovese stated staff has talked with the Bob Hope Classic representatives, but not with Humana or the Clinton Initiative. Council Member Sniff asked if staff has any idea with certainty what changes will occur. City Manager Genovese stated staff has spoken to the Bob Hope Classic representatives but not directly with the representatives from Humana or the Clinton Initiative. Council Member Sniff stated it would be prudent to find out what Humana's ideas, thoughts, requests, or demands will be. City Manager Genovese stated staff looks forward to having a discussion with them. Council Member Sniff asked if staff has had no direct contact with Humana or the Foundation. City Manager Genovese confirmed and stated staff's contact is with the Bob Hope Classic representatives. Mayor Adolph stated the change of the format will require changes with our contractual agreement. City Attorney Jenson stated it depends on the nature of the changes. Mayor Adolph stated he is aware they are going from four to three courses and there will be changes to the format we've had in the past; and we have ten years left with the old agreement. City Attorney Jenson stated she believes there are eight years left with the current agreement. Council Member Sniff stated the current agreement cannot be changed over directly to the new sponsors. Mayor Adolph stated there are many questions that need to be answered before making the assumption that the Classic will be held in La Quinta, and will be brought before the City Council. Council Member Henderson stated we know they haven't had a sponsor and have been looking for one, as we have been hopeful to find a sponsor which is very good news; we will be looking at a variety of changes to the current contract; there may be contract negotiations and staff will be busy gathering information the next couple of months and will provide it to the City Council; and stated she is hopeful the City will have a new beginning with the Bob Hope Classic. Mayor Adolph conveyed his ,disappointment that the golf course has gone from the black to the red financially, and asked if there is anything the City can do to generate revenue from the golf course. Mr. Duncan explained the SilverRock golf course is utilized 100% during the season. Landmark is working to increase the number of rounds during the summer and shoulder seasons. City Council Minutes 6 APRIL 19, 2011 Mayor Adolph asked if staff is anticipating any changes that will require funding other than normal maintenance, for example when the canal is expanded. Mr. Duncan stated he does not see any major expenses in the near future. Mayor Adolph asked if there have been any demands from the PGA to redo the golf course. Mr. Duncan explained there have not been any demands from the PGA. Council Member Sniff asked if Humana or the cooperative sponsors have contacted Landmark in any way shape or form. Mr. Duncan stated they have not. Council Member Sniff asked if that seems odd. Mr. Duncan stated it does not seem unusual. Council Member Evans stated that looking at the rounds versus the operating costs, the course is in a break even or neutral position. The plan was not necessarily for the City to run a golf course that was profitable, but to have it as an adjunct to something that would generate Transient Occupancy Tax. We are still on course and things are looking good. The announcement of Humana is in the early phase of discussion and there is no reason why the Classic would not want to continue working with the City. MOTION - It was moved by Council Members Franklin /Henderson to approve the 2011-2012 Annual Plan as submitted by Landmark Golf Management, LLC which projects operating expenses of $3,501,441 and revenues of $3,441,913 for a net operating loss of $59,528 plus additional expenses of $105,842 for the 2012 Bob Hope Classic Tournament for a net loss of $165,370. Motion carried unanimously. 2. CONSIDERATION OF A RESOLUTION APPROVING THE PRELIMINARY ENGINEER'S REPORT FOR LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89 -1 FOR FISCAL YEAR 2011 -2012, AND A RESOLUTION DECLARING INTENT TO LEVY ANNUAL ASSESSMENTS FOR LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89 -1, AND GIVING NOTICE THEREOF Public Works Director Jonasson presented the staff report. City Manager Genovese clarified the proposed resolutions do not have anything to do with the tax options discussed. Council Member Sniff asked for the amount of loss incurred for this year and projected for next year. Public Works Director Jonasson stated the projected loss for next year is $1.9 million. Council Member Sniff stated he is puzzled that the Council does not move forward and consider options to address the shortfall of the assessment which increases every year. City Council Minutes 7 APRIL 19, 2011 Council Member Henderson stated the excess of the assessment district costs has been ongoing for over 12 years. City Manager Genovese confirmed it has been a contribution from the General Fund for 12 years; ten years ago, the City Council decided to contribute to the cost of the maintenance from the General Fund; staff has presented this issue before the City Council many times to make sure economic development fed the growing contribution; as the City Council is aware that sales and transient occupancy taxes have declined, therefore there is a greater challenge to meet the contributions from the General Fund. Council Member Henderson stated her point was the actual discussion for potential funds has been ongoing for the past five years; have a lighting and landscaping district for funding that particular amenity or facility; does not think that we can currently withstand a special election; should conduct a survey and ask questions in the appropriate frame of mind without influencing residents with possible cut backs; the more positive approach to the survey, the more positive response we will receive from the residents; suggested staff contract with a professional survey company and return a report to the Council for discussion with the political will and community support to proceed with this process, and possibly include a sunset clause. Mayor Adolph agreed with comments made by Council Member Henderson; stated there is a need to market the necessity of the assessment; suggested staff move forward one step at a time making certain residents understand the issue; and further stated it's time to step up and explain the need for the assessment to the residents of the City. Council Member Sniff stated the City can provide a great benefit for all residents in the community for a modest additional cost of the assessment; and suggested staff use good judgment, logic, and be forthcoming toward the residents. Council Member Franklin referred to page 3 of the staff report regarding an EDU of $58.27 and asked if that is the break even amount. Public Works Director Jonasson explained the $58.27/EDU charge is for the landscape maintenance cost within the right -of -way only. Council Member Franklin asked what would be the break even point to cover the $1 .9 million cost for next year. Public Works Director Jonasson explained the assessment amount of $94 would be the amount assessed for the combined cost of landscaping and parks maintenance. City Manager Genovese explained the $94 assessment per year is just for park maintenance; explained a deficit of $23 for lighting and landscaping and $94 for parks; and further explained the City is currently assessing an City Council Minutes 8 APRIL 19, 2011 amount for lighting and landscaping, and fully subsidizing the maintenance for parks. Council Member Franklin asked what the total assessment would be for parks, landscaping and lighting maintenance. City Manager Genovese explained, without the accelerators, it would be approximately $117, and stated it would be better to establish the assessments separately; and further explained the Council has the option to suspend the assessments in the future. Council Member Franklin asked if staff recommends not lumping the assessments together. City Manager Genovese confirmed. Council Member Franklin stated she is not a fan of surveys; understands the residents need to be educated in this process; requested to review the questions prior to conducting the survey and stated a survey may not be the best tool to educate the residents. Council Member Henderson stated she is not a fan of surveys either; the educational process needs to begin before conducting a survey and continue afterward; and suggested each Council Member charge themselves to inform the residents in their area of the survey. Council Member Evans stated this is one piece of the puzzle, similarly to what we are experiencing with the State budget; when looking at educating the residents, this is a good time to educate the residents on how well the City has conducted business and this is a particular good opportunity to inform residents how fiscally responsible the City has been with providing the amenities; and it is not unreasonable to look at this issue with a professional organization as one piece to educating the residents. Council Member Sniff stated if the City continues to lose money it will go broke; there is no logic to continuing to fund the assessment; this is a modest assessment to have an attractive City; and there is a need to do this and move forward promptly. Mayor Adolph stated the challenge is how to reach out to the citizens and educate them on the need for this assessment. Council Member Henderson stated she is confident the City can accomplish establishing an assessment of the residents; and stated the City needs to be prepared and visit the community to have a full discussion. City Council Minutes 9 APRIL 19, 2011 Council Member Franklin stated it would be beneficial to analyze past failures and outcomes; and stated she will support a survey contingent upon educating the residents first. Council Member Henderson stated the first step is to explain the assessment to the City Boards, Committees and Commissions and the Senior Center to start the educational process. Mayor Adolph stated information needs to get out through the media such as The La Quinta Gem, The Desert Sun, etc. Council Member Sniff stated a general ongoing educational effort over a series of several months would be more beneficial than one article of information; and suggested staff elicits and solicit the support of the property owners prior to asking for a decision. Council Member Franklin asked what the City Council needs to do to move forward. City Manager Genovese responded by explaining the City Council needs to adopt the two resolutions; staff will bring a report back in August 2011 after completing the budget process and provide informational strategies for potential surveys, educational programs and other possibilities. RESOLUTION NO. 2011 -029 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING THE PRELIMINARY ENGINEER'S REPORT FOR FISCAL YEAR 2011/2012 IN CONNECTION WITH LA QUINTA LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89 -1 MOTION — It was moved by Council Members Franklin /Henderson to adopt Resolution No. 2011 -029 as submitted. Motion carried unanimously. RESOLUTION NO. 2011 -030 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, DECLARING ITS INTENTION TO LEVY THE ANNUAL ASSESSMENTS FOR CONSTRUCTION, MAINTENANCE, AND SERVICING LANDSCAPING AND LIGHTING IMPROVEMENTS WITHIN THE BOUNDARIES OF THE TERRITORY INCLUDED IN THE CITYWIDE LANDSCAPE AND LIGHTING ASSESSMENT DISTRICT 89 -1 AND TO LEVY AND COLLECT ASSESSMENTS PURSUANT TO THE LANDSCAPE AND LIGHTING ACT OF 1972 AND GIVING NOTICE THEREOF City Council Minutes 10 APRIL 19, 2011 MOTION — It was moved by Council Members Franklin /Evans to adopt Resolution No. 2011-030 as submitted. Motion carried unanimously. STUDY SESSION - NONE REPORTS AND INFORMATIONAL ITEMS C.V. Conservation Commission - Council Member Sniff reported a motion was made and supported to adopt the Nexus Study which will be presented to the City for approval and will require a unanimous vote of all cities or it will fail; must be approved prior to July to become effective December 1, 2011; and suggested the City Attorney review the Study. Council Member Henderson further reported the Nexus Study was continued previously for discussion with the development community and was pleased to see it return quickly with their support. LCC Revenue & Taxation Policy Committee - Council Member Henderson reported the Governor Brown was in Riverside giving a speech to grammar school children regarding the need for taxes; went into his perspective of the negotiations and the efforts made by GOP5; received communications from California Teachers' Association stating they have committed $1 million to support the taxes imposed by the legislator, but they have the ability to extend the taxes on their own. CVAG Public Safety Committee - Council Member Henderson reported the Committee approved the effort of being a part of CREWS; received a presentation from Sheriff Sniff regarding the budget. Riverside County Transportation Committee - Council Member Henderson stated there has been discussion of a temporary solution of the traffic backup on the 1 -10 freeway with K -rail being installed in the Cabazon area and west of Haugen- Lehman Way; and stated there has been some controversy with the California Highway Patrol. Palm Springs Desert Resort Communities Convention & Visitors Authority - Council Member Evans reported the Authority is undergoing the budget process and is currently under budget; and announced Travel and Tourism week will be held May 9 - 13, 2011 and extended an invitation to the City Council to attend a reception on May 10, 2011, at the Palm Springs Airport Museum. All other reports were noted and filed. City Council Minutes 11 APRIL 19, 2011 DEPARTMENT REPORTS 3B. SCHEDULE TO CONSIDER COMMISSION APPOINTMENTS City Clerk Montecino presented the staff report. Council Member Evans proposed the City Council hold a special meeting on June 14, 2011, as she will not be present for the meeting on June 7, 2011. Council Member Henderson stated the Planning Commission meets on alternate Tuesdays of the Council meetings. Council Member Franklin conveyed her support for scheduling a special meeting and stated she prefers not to make the appointments with only four Council Members present at the June 7, 2011 meeting. Council Member Evans stated applications are due on May 20, 2011, which will not present any problem with making the appointments. City Manager Genovese confirmed and stated staff will check with the Planning Commission agenda but June 14, 2011 should not present any problem. The City Council concurred to hold a special meeting on June 14, 2011 beginning at 3:00 p.m. for interviews and appointments to the City Boards, Committees, and Commissions. YOR AND COUNCIL MEMBERS' ITEMS Mayor Adolph complimented the La Quinta and Indio Police Departments for the control of traffic during the Coachella Music Festival. Mayor Adolph stated he frequented the new restaurant Le Brassier and reported business has been going well since its opening. Mayor Adolph announced revenue from both the Transient Occupation Tax (TOT) and sales tax has increased since the last quarter; and reported room reservations have increased at the La Quinta Resort Hotel and Homewood Suites. City Council Minutes 12 APRIL 19, 2011 Council Member Franklin announced her daughter lost her house due to a fire which started from the clothes dryer; and conveyed her appreciation for the rapid response from the Fire Department. 7.00 P_M_ PUBLIC COMMENT — NONE PRESENTATIONS — NONE PUBLIC HEARINGS - NONE ADJOURNMENT There being no further business, it was moved by Council Members Sniff /Henderson to adjourn. Motion carried unanimously. Respec ully submitted, C VERONICA J. ONTECINO, City Clerk City of La Quinta, California