2019 10 15 CC MinutesCITY COUNCIL MINUTES Page 1 of 10 OCTOBER 15, 2019
CITY COUNCIL
MINUTES
TUESDAY, OCTOBER 15, 2019
CALL TO ORDER
A regular meeting of the La Quinta City Council was called to order at 3:30
p.m. by Mayor Evans.
PRESENT: Councilmembers Fitzpatrick, Peña, Radi, Sanchez, Mayor Evans
ABSENT: None
PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA – None
CONFIRMATION OF AGENDA
Councilmember Peña requested that Consent Calendar Item No. 2 be pulled
for a separate vote, and said he will recuse himself from voting on Intersection
Improvement No. 48 under Consent Calendar Item No. 2, due to a potential
conflict of interest stemming from the proximity of real property to this
project.
Mayor Evans said she will make a comment on Consent Calendar Item No. 6.
Council concurred.
CLOSED SESSION
1. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
PURSUANT TO PARAGRAPH (1) OF SUBDIVISION (d) of
GOVERNMENT CODE SECTION 54956.9; NAME OF
CASE: WASHINGTON-111, LTD., CLAIMANT, V. CITY OF LA
QUINTA, RESPONDENT, JUDICATE WEST ALTERNATIVE DISPUTE
RESOLUTION CASE NO. A257070
2. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
PURSUANT TO PARAGRAPH (1) OF SUBDIVISION (d) OF
GOVERNMENT CODE SECTION 54956.9. NAME OF CASE: CITY OF
LA QUINTA V. CHIN FAMILY PROPERTIES LIMITED
PARTNERSHIP, ET AL., RIVERSIDE COUNTY SUPERIOR COURT
CASE NO. PSC1803284
COUNCIL RECESSED THE OPEN SESSION PORTION OF THE MEETING
AND MOVED INTO CLOSED SESSION AT 3:32 P.M.
CITY COUNCIL MINUTES Page 2 of 10 OCTOBER 15, 2019
MAYOR EVANS RECONVENED THE OPEN SESSION PORTION OF THE
CITY COUNCIL MEETING AT 4:01 P.M. WITH ALL MEMBERS PRESENT
REPORT ON ACTION(S) TAKEN IN CLOSED SESSION:
City Attorney Ihrke reported no actions were taken in Closed Session that
require reporting pursuant to Government Code section 54957.1 (Brown Act).
PLEDGE OF ALLEGIANCE
Councilmember Fitzpatrick led the audience in the Pledge of Allegiance.
PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA – None
ANNOUNCEMENTS, PRESENTATIONS, AND WRITTEN COMMUNICATIONS
1. INTRODUCE NEW LA QUINTA LIBRARIAN AND BRANCH MANAGER
MELISSA LUNDELL
Desert Zone Manager Sue Duran introduced new La Quinta Librarian and
Branch Manager Melissa Lundell, and gave a brief presentation of her
qualifications, background, and experience. Ms. Lundell said she looks
forward to serving the community, and bringing enthusiasm, new programs
and ideas to enhance the services and experiences the library offers the
community.
CONSENT CALENDAR
1. APPROVE MINUTES OF OCTOBER 1, 2019
2. pulled for a separate vote by Councilmember Peña >>> ACCEPT
HIGHWAY SAFETY IMPROVEMENT PROGRAM INTERSECTION
IMPROVEMENTS PROJECT, LOCATED THROUGHOUT THE CITY OF
LA QUINTA (PROJECT NO. 206-01, FEDERAL PROJECT NO.
HSIPL-5433(015))
3. ACCEPT HIGHWAY 111 SIDEWALK IMPROVEMENTS PROJECT
LOCATED ON THE SOUTH SIDE OF HIGHWAY 111, BETWEEN
ADAMS STREET AND LA QUINTA DRIVE (PROJECT No. 2018-03)
4. APPROVE PLANS, SPECIFICATIONS, ENGINEER’S ESTIMATE,
AND ADVERTISE FOR BID THE COVE PUBLIC RESTROOM AND
TRAILHEAD PROJECT, LOCATED ON THE SOUTH SIDE OF CALLE
TECATE ADJACENT TO THE COVE PARKING LOT (PROJECT NO.
2018-01)
CITY COUNCIL MINUTES Page 3 of 10 OCTOBER 15, 2019
5. APPROVE DECLARATION AND DISPOSAL OF SURPLUS
EQUIPMENT AND CITY OWNED MOTORCYCLES
6. AUTHORIZE PURCHASES WITH ALPHA MEDIA FOR UP TO
$80,000 FOR FISCAL YEAR 2019/20
7. RECEIVE AND FILE REVENUE AND EXPENDITURE REPORT DATED
JUNE 30, 2019
8. RECEIVE AND FILE REVENUE AND EXPENDITURE REPORT DATED
JULY 31, 2019
9. APPROVE DEMAND REGISTER REPORTS FOR SEPTEMBER 20, 27,
AND OCTOBER 4, 2019
CONSENT CALENDAR ITEM NO. 6 - Comments
Mayor Evans and Marketing Manager Graham explained the requested
expenditures were for radio marketing advertisements to increase community
outreach, create awareness, and educate the community on emergency
services, recycling, and promote events such as Ironman 70.3 triathlon, Street
Food Cinema, and Brew in LQ; funds for these expenses have been budgeted
for fiscal year 2019/20 in the Community Resources Department and special
recycling fund, however, as the City’s aggregate expenditures with Alpha
Media exceed $50,000, Council approval is required per the City’s Purchasing
Policy.
MOTION – A motion was made and seconded by Councilmembers
Peña/Fitzpatrick to approve Consent Calendar Item Nos. 1, and 3 – 9, as
recommended. Motion passed unanimously.
CONSENT CALENDAR ITEM NO. 2
COUNCILMEMBER PEÑA SAID HE IS RECUSING HIMSELF FROM
VOTING ON INTERSECTION IMPROVEMENT NO. 48 LISTED UNDER
COSENT CALENDAR ITEM NO. 2, LOCATED ON AVENUE 52 AND
AVENIDA BERMUDAS, DUE TO A POTENTIAL CONFLICT OF INTEREST
STEMMING FROM THE PROXIMITY OF REAL PROPERTY INTEREST TO
THE PROPOSED PROJECT
MOTION – A motion was made and seconded by Councilmembers
Peña/Fitzpatrick to approve the Intersection Improvements, except for No.
48, under Consent Calendar Item No. 2, as recommended. Motion passed
unanimously.
CITY COUNCIL MINUTES Page 4 of 10 OCTOBER 15, 2019
MOTION – A motion was made and seconded by Councilmembers
Fitzpatrick/Radi to approve Intersection Improvement No. 48 only under
Consent Calendar Item Nos. 2, as recommended. Motion passed: ayes (4),
noes (0), abstain (1 - Peña).
BUSINESS SESSION
1. APPROVE VETERAN NOMINATIONS FOR INCLUSION ON
VETERANS’ ACKNOWLEDGEMENT SCULPTURE AT CIVIC CENTER
CAMPUS
Management Assistant Calderon presented the staff report, which is on file in
the Clerk’s Office.
Council discussed the line-up for the event remains unchanged and will include
the La Quinta High School Wind Ensemble band, Boy Scouts, and Ophelia
Project staff; and it is great to combine this City event with Old Town Artisan
Studio’s veterans recognition.
Council suggested that Staff collaborate with local Veterans of Foreign Wars
clubs and senior centers to promote this veterans’ recognition event and invite
them to participate.
MOTION – A motion was made and seconded by Councilmembers
Radi/Sanchez to approve veteran nominations for inclusion on the Veterans’
Acknowledgement monument at the Civic Center Campus, as recommended.
Motion passed unanimously.
2. APPROVE AGREEMENT FOR CONTRACT SERVICES WITH
LODGINGREVS FOR SHORT-TERM VACATION RENTAL (STVR)
PROGRAM SERVICES
Hub Manager Sanchez presented the staff report, which is on file in the Clerk’s
Office.
PUBLIC SPEAKER: Tyler Fisher, Community Partnership Manager with
LODGINGRevs – answered Council’s questions regarding notifications to STVR
owners or operators are primarily sent via email, and if not registered via US
postal service; STVR related complaints can be submitted via text messages;
LODGINGRevs tracks clients’ requests and releases quarterly system
enhancement that continuously improve the level of service; STVR owners or
operators are contacted via phone by agents addressing complaints received
via the 24/7 STVR hotline, and response must be received within 45 minutes;
process for monitoring and addressing transient occupancy tax (TOT)
remittance and compliance against confirmed listings; integration between the
CITY COUNCIL MINUTES Page 5 of 10 OCTOBER 15, 2019
STVR and the City’s financial software to ensure proper routing and accounting
of TOT remittances; and process and resources used to determine the right
contact for unregistered properties.
Council discussed the City does not have basis to collect TOT on cancelled
listings because the property was never physically occupied; a non-refundable
deposit collected by the STVR owner or operator due to a cancellation is not
subject to TOT; the City determines the most efficient way to manage the
STVR program, which can be internally or contracted with a third party
vendor; business license (BL) applications are currently not available online;
LODGINGRevs will automate the application process for STVR and related BL
as part of this process; in the future LODGINGRevs can also fully automate
the City’s BL application process, following the transition and launch of the
STVR program; due to several ownership turn-overs of the City’s current
permitting software TRAKiT, scheduled system upgrades have been delayed
multiple times, which has prevented Staff from being able to automate the BL
process; importance to ensure the STVR program transition results in a well-
functioning process, before any expansion of services is contemplated;
transition will begin upon execution of the agreement and Staff anticipates to
launch the STVR program with LODGINGRevs by January 2020; and
importance to take the time needed to ensure a successful and accurate
transition.
Mr. Fisher explained the transition process steps, quality assurance, timeline,
and rate of success.
Council discussed the City’s STVR program permitting and compliance process
will remain unchanged, and it will be more convenient for residents to have
the ability to report TOT and make payments online; importance to initiate
comprehensive community outreach and promotional efforts, including
community workshops, social media and City website advertising, and flyers;
notification process to owners or operators, and law enforcement’s
involvement if no response is received, and the service can be customized
based on the City’s preference; importance to provide an update on
complaints’ status and resolutions to the reporting party; add STVR link under
the ‘resources’ section of the City’s mobile app; ability to integrate the new
STVR automated system with the City’s mobile app, and including a link to all
active STVR listings; residents must ensure they conduct STVR operations in
accordance with the City’s regulations, and collecting accurate data will allow
the City to properly address non-compliant properties; the STVR public
interface online component must be well thought out from the view point of
the user and the City; and ability to upload supporting documents and
audio/video files through the complaint submittal form.
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Mr. Fisher said LODGINGRev was founded in 2011 and provides sales and use
tax collection and compliance, and business licensing services, in addition to
STVR program monitoring and compliance.
Council discussed the automation and streamlining of the STVR processing,
will allow staff to focus on developing the STVR programing; providing
education and best practices to residents residing in developments whose
Homeowner Associations (HOA) do not allow STVR; the City can be divided
into different zones via the STVR software, which will then allow Staff to run
reports specific to each zone; importance to have a list of every HOA in the
City and which ones allow STVR, and have it available online as part of the
STVR directory; and ability to post suspended STVR permits on the City’s
website.
PUBLIC SPEAKER: – Barbara Montavon, PGA West, La Quinta – said the
development she resides in allows STVR, and they can be problematic;
residents submitting STVR related complaints do not receive a follow up
response; residents can call the City’s STVR hotline and the HOAs security,
and asked if the data is being shared between the two entities; what
repercussions are in place for STVR properties who continue to receive the
same violation complaints, but do resolve the matter within the time allotted;
it is important to communicate the upcoming changes with residents; and
providing the City with complaints resolved by HOA security to be added to
the City’s property profiles.
City Attorney Ihrke said the City has the authority to enforce City ordinances,
but does not have authority enforcing HOA Conditions, Covenants, and
Restrictions.
Public Safety Manager Mendez said the City records and tracks of all
complaints received through the hotline; when complaints are reported to both
the STVR hotline and HOA security, security personnel response tends to be
faster, and by the time Code Compliance or law enforcement personnel arrives
at the property, the complaint has been resolved, this makes it an
unconfirmed complaint for the City; HOA security can contact the City to
provide information on STVR complaints, and Staff will note these instances
to the property records.
Mr. Fisher, on behalf of LODGINGRev, said they are very excited to work with
the City of La Quinta.
Council discussed La Quinta has been proactive and embraced STVR;
however, the residents’ quality of life is a priority and it must be preserved; a
balance must be achieved between quality of life and providing residents with
the option to properly run STVR operations, and ensure adequate
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enforcements are in place to ensure compliance with the City’s regulations;
importance to learn best practices from other communities who are
experiencing similar challenges; and creating efficiencies and safer
communities, while holding everyone accountable.
Council commended the STVR dedicated Staff for their efforts, enthusiasm,
and persistency to make this program more efficient and accessible; and to
the City’s marketing team for making the STVR link available on the City’s
mobile app so expeditiously.
MOTION – A motion was made and seconded by Councilmembers
Peña/Fitzpatrick to approve Agreement for Contract Services with
LODGINGRevs in an amount not to exceed $49,440 per fiscal year, for a term
ending June 30, 2022, to provide short-term vacation rental program services;
and authorize the City Manager to execute the agreement. Motion passed
unanimously.
3. RECEIVE AND FILE FISCAL YEAR 2019/20 FIRST QUARTER
BUDGET REPORT AND APPROVE THE RECOMMENDED BUDGET
ADJUSTMENTS
Financial Services Analyst Hallick presented the staff report, which is on file in
the Clerk’s Office.
Council inquired as to the need to replace the Creation Station’s laser cutter.
Community Resources Escobedo explained the cutter has been down since last
fall; Staff has unsuccessfully exhausted all options to have it repaired or
replaced via the warranty; the current cutter was purchased based on
Vocademy’s recommendation, but proved difficult to obtain maintenance and
replacement services, as the service provider is based in Arizona with a
service facility in Las Vegas, Nevada. Based on Staff’s research, it was
determined the best option for the City is to purchase a cutter from a Southern
California laser provider, which will bring Creation Station back in service for
the community, and will ensure easy access to maintenance and replacement
service going forward, should they be needed; the current cutter will be
disposed via the City’s Surplus Policy; the library remodel and refresh
completed a few years ago did not include replacing the roof; and the City’s
efforts to promote recycling.
MOTION – A motion was made and seconded by Councilmembers Peña/Radi
to receive and file fiscal year 2019/20 First Quarter Budget Report, and
approve the recommended budget adjustments. Motion passed unanimously.
CITY COUNCIL MINUTES Page 8 of 10 OCTOBER 15, 2019
4. ADOPT RESOLUTION TO APPROVE AMENDING THE CITY OF LA
QUINTA 2019/20 INVESTMENT POLICY BY ADDING NEW
BROKERS TO THE FINANCIAL INSTITUTION LIST
[RESOLUTION NO. 2019-044]
Financial Services Analyst Hallick presented the staff report, which is on file in
the Clerk’s Office.
Council discussed the selection of the new brokers was based on their
qualifications.
MOTION – A motion was made and seconded by Councilmembers
Peña/Sanchez to adopt Resolution No. 2019-044 to approve amending the
City of La Quinta 2019/20 Investment Policy by adding two new brokers to
the financial institutions list.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA,
CALIFORNIA, APPROVING AND ADOPTING THE AMENDED INVESTMENT
POLICY FOR FISCAL YEAR 2019/2020
Motion passed unanimously.
5. ADOPT RESOLUTION TO APPROVE CASH MANAGEMENT POLICY
[RESOLUTION NO. 2019-045]
Senior Accountant Martinez presented the staff report, which is on file in the
Clerk’s Office.
MOTION – A motion was made and seconded by Councilmembers Peña/Radi
to adopt Resolution No. 2019-045 to approve a Cash Management Policy.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA,
CALIFORNIA, ADOPTING A CASH MANAGEMENT POLICY
Motion passed unanimously.
STUDY SESSION
COUNCILMEMBER PEÑA SAID HE IS RECUSING HIMSELF FROM
DISCUSSION ON STUDY SESSION ITEM NO. 1 DUE TO A POTENTIAL
CONFLICT OF INTEREST STEMMING FROM THE PROXIMITY OF REAL
PROPERTY INTEREST TO THE PROPOSED PROJECT; AND LEFT THE
DAIS AT 5:33 P.M.
1. FRITZ BURNS POOL MANAGEMENT AND OPERATIONS UPDATE
Community Resources Manager Calderon, Maintenance and Operations
Superintendent Ambriz, Desert Recreation District (DRD) Assistant General
Manager Barb Adair presented the staff report, which is on file in the Clerk’s
Office.
CITY COUNCIL MINUTES Page 9 of 10 OCTOBER 15, 2019
Council discussed program attendance report, including monthly registrations
versus ‘drop-in’ users; monthly operating costs and revenues; while the pool
heater is being installed, the City can offer residents the option to use the
Palm Desert Aquatic Center (PDAQ) (resident pricing will be extended to La
Quinta residents with proof of residency) or having DRD offer programs at
Pawley Pool, and associated costs with each option; potential cold water
programing for Fritz Burns pool include, scuba classes, kayaking, and
conditioning for the 2019 Ironman triathlon; costs associated with the water
heater installation; importance to maintain a useful database of users in order
to inform them of the current circumstances and provide mass market for
future programming and updates; DRD’s staff efforts to promote Fritz Burns
pool for cold water activities and increase community usage during the
installation period; regular pool maintenance costs will remain unchanged;
DRD’s programing and staffing will substantially be reduced to cover cold
water activities only while the heater is being installed; the existing 2” gas
lines and electrical lines are sufficient to support the pool heater; the project
has been added to the City’s Capital Improvement Program, and will be
advertised for bid shortly; anticipated timeline to award the contract,
construction period, and resuming pool operations sometime in January 2020;
solar heating alternatives were not the best option for the City; importance to
collect usage data to better evaluate programming needs; discerning between
operational and capital improvement costs; evaluate acquiring a thermal pool
blanket to help mitigate water heat loss; progress and timing on the space
assessment report of the Fritz Burns Park, Corporate Yard, and Fire Station
No. 32 from the consultant; keeping the Community Services Commission
apprised; and timing on receiving survey results from the users on preference
of the alternative use options.
Council reached a consensus and expressed support to offer all users the
option to use the PDAQ facility and to send out notifications as to that effect.
Council commended DRD and City staff on their efforts with this project to
keep it moving and for finding alternatives in the meantime.
COUNCILMEMBER PEÑA RETURNED TO THE DAIS AT 6:04 P.M. FOR THE
REMAINDER OF THE MEETING
PUBLIC HEARINGS – None
DEPARTMENTAL REPORTS
All reports are on file in the City Clerk’s Office.
CITY COUNCIL MINUTES Page 10 of 10 OCTOBER 15, 2019
MAYOR’S AND COUNCIL MEMBERS’ ITEMS
Councilmember Peña said he attended a reception hosted by Dr. Carreon
Foundation on Monday, October 14, 2019; the Foundation received a large
donation; and Cal State University San Bernardino (CSUSB) President Dr.
Tomás Morales and the Foundation’s Board of Directors jointly introduced the
new Dean, Dr. Jake Zhu, for the CSUSB – Palm Desert campus.
Councilmember Peña said he shared an article with Staff regarding the
expansion of STVR businesses, published by the Wall Street Journal on
October 15, 2019, entitled “This Dallas Apartment Building’s Sole Tenant Is a
New Lodging Company.”
Council briefly discussed the effects of STVR to residential homes inventory
and local hotel operations.
Mayor Evans said she received a letter from Chairman Steven Bayard of the
Imperial Irrigation District – Energy Consumers Advisory Committee (ECAC)
requesting that Council appoint a member to serve on ECAC; and noted that
the current citizen appointed representative Mr. George Christopher will be
relocating by the end of 2019 and vacating his appointment.
Council discussed ECAC membership; importance in having a representative
on ECAC to voice the service and infrastructure needs of La Quinta; and
reached a consensus to send a follow-up letter to ECAC to reconsider Council’s
appointment of Mayor Pro Tem Sanchez, and bring it back for Council
consideration after a response is received.
REPORTS AND INFORMATIONAL ITEMS – None
ADJOURNMENT
There being no further business, a motion was made and seconded by
Councilmembers Radi/Fitzpatrick to adjourn at 6:15 p.m. Motion passed
unanimously.
Respectfully submitted,
MONIKA RADEVA, City Clerk
City of La Quinta, California