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1988 09 20 CC Minutes!l LA QUINTA CITY COUNCIL MINUTES SEPTEMBER 20, 1988 Regular meeting of the La Quinta City Council was called to order at the hour of 7:30 P.M., Mayor Hoyle presiding, followed by the Pledge of Allegiance. PRESENT: Council Members Bohnenberger, Cox, Pena, Sniff, Mayor Hoyle ABSENT: None CONFIRMATION OF AGENDA MAYOR HOYLE asked that Item No. 5 be removed from the Consent Calendar and considered after the second public hearing. PUBLIC COMMENT There were no public comments. COMMENT BY COUNCIL MEMBERS There were no comments by Council Members. PUBLIC HEARINGS 1. PUBLIC HEARING ON AMENDMENT #1 TO SPECIFIC PLAN NO. 83-002 PGA WEST HOTEL TO INCREASE THE NUMBER OF HOTEL ROOMS FROM 650 TO 1,000 AND TO INCREASE THE HOTEL HEIGHT FROM FOUR STORIES TO SIX STORIES APPLICANT: LANDMARK LAND COMPANY, INC. Mayor Hoyle advised that he would be abstaining from this issue as his wife is employed by Landmark Land Company, Inc. BIB] 02-23-96-U01 04:20:08PM-U01 CCMIN-U02 09-U02 20-U02 1988-U02 !lCity Council Minutes page 2 September 20, 1988 Mr. Jerry Herman, principal Planner, presented staff's report, first giving some background information on PGA West advising that the approved project, consisting of 1,665 acres, included 5,000 residential units, 20 acres of commercial, a major recreational center, and a 65 acre resort village containing 400 hotel rooms, 250 apartments/condominiums or hotel rooms, ancillary hotel uses and retail shops. That approval allowed for the 250 apartments/condominiums being a part of the hotel to make 650 approved hotel rooms. On May 1, 1984, the City Council adopted Resolution No. 64-28 certifying the EIR, which included the adoption of Statements of Overriding Considerations" and Findings and Statements of Fact". The amendment proposes an increase in the hotel from 650 rooms to 1,000 rooms and from four stories to six. A supplemental EIR which focused on traffic circulation was prepared and circulated. Mr. Herman pointed out illustrations posted showing sight distances; and a USGS Map which identified the mountains as it relates to the hotel. He noted that the change to six stories adds 28' to the structure. He added that public notices went to all property owners within 300' of the exterior of the PGA West project and within PGA West and those property owners within 1/2 of the PGA West boundaries and published in the paper. The concerns that have been expressed relates to traffic; noise; height; visibility; aesthetics and number of rooms and time of hearing. He believed that these issues have been adequately addressed in the EIR. FORREST HAAG, P.O. Box 1000, La Quinta, addressed the Council as Vice president of Landmark Land Co. stating that they have tried to bring about a land use plan through the development of four championship golf courses and the adjacent residential and commercial uses that would focus that commercial use within the resort core. By doing so, they are going to demonstrate that traffic volumes typically projected can be softened into a more pedestrian resort village. The traffic study that was developed for the additional rooms at PGA West looked at the original approval and the addition, and the aggregate impact that was assessed has been addressed in the conditions of approval that are being recommended by staff. Because of the amenities at this resort, a guest will not be as inclined to leave to visit other recreational facilities which would necessitate using Highway 111. They believe that the success of their resort is going to depend on good traffic and pedestrian circulation. PGA West today, with the 500 units that are built and the land consumed in golf/open space or residential development is not demonstrating anywhere near the densities that are approved for the 5,000 units in the original approval. If the land use pattern continues at the present rate of absorption in net density, they would never attain the 5,000 units that are today, approved. BIB] 02-23-96-U01 04:20:08PM-U01 CCMIN-U02 09-U02 20-U02 1988-U02 !lCity Council Minutes Page 3 September 20, 1988 In response to Mayor Pro Tern Pena, Mr. Haag advised that in looking at the number of acres that have been utilized, the number of units that have been built, and assuming that land use patterns and the market place will stay the same, they will probably absorb 3/5 of the approval, or in excess of 3,000+ units. Mr. Haag then addressed the issue of viewshed" stating that the hotel was centered in the middle of the project and insulated the perimeter from the viewshed impact. The closest view may be in excess of a 1/4 mile and some of those views is a distance into the project, that if you can see the building, the difference in a 4 to 6 floor building is infinitesimal by the time it's projected to the mountain. He referred to a USGS map depicting elevation changes. Council Member Bohnenberger questioned how close the closest living unit will be to the hotel and Mr. Haag advised that it would be about 600' to the north. About five of the dwelling units would have a primary view angle of the hotel. Council Member Cox noted, however, that the people who purchased those five units knew that a hotel was going in and Mr. Haig stated that is correct, they knew a four story hotel was going in. Council Member Sniff went back to May 1, 1984 to get an historical perspective on this project. At that time, he proposed a vote of the people on this project. After the public hearing, the people began a referendum effort with particular regard to the closure of Jefferson Street. Mr. Wolff, who was a Council Member and a member of the Referendum Committee chose to make a separate agreement with Mr. Ernie Vossler, representative of Landmark Land Co. This effectively ended the referendum effort. On May 15, 1984, the Press Enterprise reported on the deal" that was struck in which Landmark Land Co. agreed to contribute $1,000,000 for special community service projects/facilities, to be made in $200,000 annual installment payments beginning January 1, 1985. This agreement limited PGA residential heights to two stories and the hotel to four. It also committed Landmark to assist with the downtown core and called for disbandment of the Referendum Committee. He added that he supported the agreement with reluctance. He asked Mr. Haag for his response on these comments. Mr. Haag stated that it is his understanding of the memorandum of agreement that it was a two party agreement bounding Landmark Land Co. and the Committee to several things and even the City of La Quinta. In concept, he felt that if the Referendum Committee had ceased to harass Landmark as point 1 stated, they might be able to think there's some relevance to that document. Landmark was heavily pursued with relative to other commercial and beneficial development within the City; pursued heavily against those approvals by the same group and one of the points of discontinuing it's efforts against Landmark could be questioned immediately. Without being specific, generally, the promises as to where the money was going in analysis, could be an interesting BIB] 02-23-96-U01 04:20:08PM-U01 CCMIN-U02 09-U02 20-U02 1988-U02 !lCity Council Minutes Page 4 September 20, 1988 study. Therefore, the spirit of that document could be in question In response to Mayor Pro Tern Pena regarding extension of Madison Street, Mr. Haag advised that in the original approval of PGA West, Condition 19 addressed the extension of Madison. His recollection is that the City Manager and Planning Director at that time, in their pursuit of mitigation of adequate traffic concerns, projected that there was some need to connect Madison Street between this project and points north. If it is determined that traffic counts going north on Madison require participation in improvement, then that would be adequately assessed and levied against the developer. He added that he was party to the approval process of Rancho La Quinta, which is south of Avenue 58 in unincorporated area) in which their traffic analysis considered the cummulative effect of that project, PGA West and others. It was felt that the arterials that exists running north on Jackson and Monroe would adequately carry those loads north. The need for Madison Street improvement was not triggered by the ultimate development of that project. The Mayor Pro Tern declared the public hearing OPEN. At this time, the City Clerk read the following letters into the record: IN SUPPORT OF PROJECT: David Agnew, Bruce Cathcart, Robert Cunard, Gordon David, Firstworld Travel, James Gilstrap, Bernardo Gouthier, Green Thurnb Gardening, Christopher Haenel, Alex Jacoy, John Kwake, La Quinta Builders Supply, La Quinta Chamber of Commerce, Paul Lewis, Mackenzie & Assoc., Magic Maintenance, Robert Monroe, Eddy Nicholson, Fred Rice Productions, Inc., John Mugni, Ranch of the Seventh Range, U. S. National Senior Open Golf Assoc., Morgan Ward, Jr., Lucia Moran, Sterling Mount, Jay Colliatie, Mike Gray, Jack Stewart, Frank Kawabe, Mimi Smith, Bill Slifer, J. H. Mickey" Munley, Frank Pierson, George Richards, Don Eden, Steve Walser, George Jones, Elliott Robinson, Joe Walser, Jr., Beef and Brew. IN OPPOSITION Ta PROJECT: J. Willison Allen, John & Eileen Bobbitt, Robert Dickey, Mr. & Mrs. M. W. Giboney, Jerome & Sandra Cabakoff, John Iberti, Bob James, Robert & Lila Kommerstad, Ronald Nolte, Stanley Ross, Leland & Julie Scheu, Ronald Junkin, William Walter, Mr. & Mrs. James Young. BIB] 02-23-96-U01 04:20:08PM-U01 CCMIN-U02 09-U02 20-U02 1988-U02 !lCity Council Minutes Page 5 September 20, 1988 LETTERS EXPRESSING CONCERN: Stanford Sanoff, Dietrich Werner, Imperial Irrigation District. GEORGE JONES, 54-180 Oaktree, stated that he supports the project, he felt that aesthetically, it's a well designed building. He noted that PGA West property values have gone up and commented that this project has become a world-known project. ALLAN LEVIN, 75-005 Country Club Dr., Vice President of Sunrise Co., representing William Bone who owns two lots at 55-305 Pebble Beach and 55-355 Pebble Beach and Mr. Jack Conlon, who resides at 55-700 Pinehurst. On behalf of individuals and the Company, as master builder of PGA West, they support Landmark's proposal for the hotel and the various changes they've proposed. They feel it will enhance the overall resort concept as it was initially envisioned. They have no doubts about the quality that will be put into the project. In answer to Council Member Bohnenberger, Mr. Levin advised that they currently have 800 units either completed or under construction. About 25% of the developable land is planned for residential. MORGAN WARD, JR., 48-800 San Pedro, spoke in favor of the project. The aesthetics of the changes will not detract from our natural beauty. He also commented on the economic benefit to the City. DAN SMITH, 55-130 Shoal Creek, stated that in reviewing the plans, he believes the aesthetics to be good and noted that the project will bring in additional revenue to the City. Landmark has done a good job in all they've done and the project is known world-wide. J. C. Bryan, P.O. Box 1597, Ranch of the Seventh Range, stated that he supports the project 100%. Landmark has done a good job and has improved the area tremendously. MARK MORAN, P.O. Box 1305, President of La Quinta Chamber of Commerce, recalled when the City didn't have adequate roads, improvements in the cove, water, flood control, law enforcement, etc. The only way a City can run is to generate revenue. He spoke in favor of the project commenting on the revenue it will generate. BRUNO PURVENAS, 54-353 Vallejo, advised that he was the head tennis pro at the La Quinta Hotel during the 50's. He felt that the City is fortunate to have a company like Landmark Land Co. in the City. Guests will be able to come to this resort and stay with all the amenities planned. BIB] 02-23-96-U01 04:20:08PM-U01 CCMIN-U02 09-U02 20-U02 1988-U02 !lCity Council Minutes Page 6 September 20, 1988 MARION ELLSON, 80-082 Palm Circle, stated that she knows that traffic will increase on Jefferson Street, but felt that the hotel is not going to have as great an impact on Jefferson as other future projects might. The project can be a great attribute to the community in many ways that have already been stated. She felt that the over-riding consideration is the economic benefit to the community. None of the resorts in the Coachella valley offer what PGA West offers. MATT MORRIS, 80-650 Avenue 50, advised that he is planning to buy a home in La Quinta in the near future. He expressed concern about traffic to Highway 111 and to Interstate 10. He was especially concerned about the widening of Jefferson through Indian Springs. He was also concerned about the timing of the hearing. Until these concerns are adequately addressed, he asked that the decision be carried over. JOHN MUGNI, 80-556 Avenue 58, advised that he was also speaking for Bernardo Gouthier, 57-325 Madison. He advised that there are currently 2,203 homes in La Quinta and 5,388 vacant lots. He therefore, felt that area growth is vital to the development of La Quinta vacant lots. During the Skins Games, which had an attendance of 13,000, they found that traffic was handled very orderly and moved efficiently. Regarding water, he contacted Coachella valley Water District who assured him that the effect on the water would be minimal. They feel that this project will blend in with the landscape well. Any delay would not serve the City and its economy. He is proud of this area and supported the Project. BOB GINGRICH, representing Jim MacKenzie, 50-085 Calle Rosarita, read Mr. MacKenzie's letter of September 15th speaking in favor of the project citing increased business through tourist and conventioneers, higher land and property values plus a much stronger economic base for the community. HOWARD NELSON, 54-900 Avenida Diaz, hoped that proper weight will be given to the economic value this project has to the City of La Quinta. La Quinta has a fantastic potential, but it needs an economic base. He urged approval of the project. BOB MONROE, 48-750 El Nido, stated that as a neighboring property owner he supports the project wholeheartedly. He didn't believe there's going to be a visual impact. LARRY ALLEN, P.O. Box 412, La Quinta, stated that this project will add more income to the City and will put the City in a competitive arena with other areas for conventions. He felt that Jefferson Street must be four lanes from Highway 111 to PGA West when the hotel is finished. He strongly urged approval of the hotel expansion. JACQUES ABELS, P.O. Box 1416, felt that this is a wonderful project for La Quinta and will add revenue to the City. He strongly urged approval. BIB] 02-23-96-U01 04:20:08PM-U01 CCMIN-U02 09-U02 20-U02 1988-U02 !lCity Council Minutes Page 7 September 20, 1988 ALEX JACOY, 50-950 Madison, General Manager of El Dorado Polo Club, stated that they host several major events throughout the year and they bring in a lot of notoriety. Last year, during the U.S. Open, they used La Quinta Hotel as the host hotel. They feel their people who come to the polo club wants to use hotels on this end of the valley. He urged approval. JAMES GILSTRAP, 55-500 Oak Tree, stated that he lives about 400 yards from the proposed hotel and feels that it will benefit him as a property owner. He urged approval. ROBIN GROAT, Anderson Travel Service, and Vice President of La Quinta Chamber of Commerce urged approval of the expansion speaking of the benefits to the City. PEARL KNIGHT, 78-0?5 Avenida La Fonda, spoke in favor of the expansion commenting on the increase in her business with every new project in La Quinta. Twenty five percent of the patients are referrals from Landmark. There being no one else wishing to speak, the hearing was CLOSED. COUNCIL COMMENT In response to Council Member Sniff, Mr. Herman advised that Statement of Overriding Considerations are environmental conditions that cannot be mitigated to a sufficient level, so there has to be justification to override those environmental concerns. The Planning Department concluded that the only significant environmental impact was the closure of Jefferson Street. Other traffic concerns; air quality and water were not significant impacts. This project should not impact the village, as the commercial within PGA West is being intended to serve the residents and guests of the development. Regarding the streets, the conditions require the preparation of a traffic study after one year after the hotel has been completed. This analysis will address the intersections and streets previously addressed in the original EIR and it will assign the development's share of those costs of improvements. Mr. Reynolds, Public Works Director, added that the reason for the delay in preparing the traffic analysis is because even after the hotel is open, there will still be a great deal of residential development not yet completed within PGA West. One year after the hotel is open, there will be enough residential completed so that we can get a good handle on what is happening to Jefferson and the intersections. He didn't feel that the City will have a problem before we have a solution to it. The other factor is the other developments planned along Jefferson, i.e., Oak Tree and The Grove which will impact and will have to share in the cost of the improvements. The intersection of Jefferson and Highway 111 will have to be addressed by Caltrans and City of Indio also. Regarding signalization of Avenue 54 and Jefferson, the money will be fronted by PGA West and we will then exact from future development, monies to reimburse Landmark, similar to the agreement the City entered into with La Quinta Golf Estates. BIB] 02-23-96-U01 04:20:08PM-U01 CCMIN-U02 09-U02 20-U02 1988-U02 !lCity Council Minutes Page 8 September 20, 1988 In response to Mayor Pro Tern Pena, Mr. Reynolds advised that the four links in which the project will cause a level of service change are Highway 111, Avenues 50, 52 and 54 Madison Street will not be affected. Mr. Forrest Haig advised that the hotel is going to be built in one phase. They are planning a soft opening in 1992 and a grand opening January 1993. Construction will begin July 1990. Landmark Hotels will be the master developer. Regarding Mr. Bob James' letter, Mr. Herman advised that the City exceeded notice requirements; 10 of 500 letters were returned; they were sent first-class mail; the General Plan policies encourage the development of hotels; Coachella valley Water District has submitted a letter stating that water is available and that they will provide water and sewer to the development. Council Member Bohnenberger, as Chief Deputy Engineer of CVWD stated that there is more than adequate supply of water available for irrigation and more than adequate supply of water available from the ground water basin for domestic purposes. In answer to Council Member Sniff, Mr. Herman advised that a licensed engineer will have to determine compaction requirements and seismic safety. Council Member Sniff advised that he has mixed feelings about this project, but his dealings with Landmark Land Co. has been honorable. We need first class hotels in the City it's important to our economy. He would prefer to see the hotel 4 stories, but understands that situations change, and marketing is important. In supporting the City's best interest, he will support the expansion. Council Member Bohnenberger stated that PGA West made possible our flood control project and other benefits we're yet to derive from the Redevelopment Agency such as the improvements of our streets, i.e., curb, gutter and replacing our infrastructure. The hotel is one step further along in our progress. We're looking at between one and two million dollars a year in bed tax; an additional one million a year to our Redevelopment Agency which can be used for further projects to improve our community and he believed that it will be the key to stimulate business in the village and along Highway ill. He believed that the conditions of approval provide that concerns are taken care of before they become major problems. He strongly supported the project. Council Member Cox, stated that the line of sight diagrams indicate that we are talking about minimal impact. She preferred to see them go up than out because that takes up green space. This project will provide clean revenue" and will be a class act. Mayor Pro Tern Pena commented that our hands are tied as to how we can raise money and we need money to fund our future. Obviously, this isn't the only source of revenue, but it gives a great base to build on. The guests who use the hotel do not create a need for services. He hoped that they will proceed as quickly as possible. BIB] 02-23-96-U01 04:20:08PM-U01 CCMIN-U02 09-U02 20-U02 1988-U02 !lCity Council Minutes Page 9 September 20, 1988 RESOLUTION NO. 88-110 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, CERTIFYING THAT THE SUPPLEMENTAL FOCUSED EIR PREPARED FOR PGA WEST SPECIFIC PLAN NO. 83-002, AMENDMENT NO. 1, IS RECOGNIZED AS ADEQUATE AND COMPLETE PGA WEST SPECIFIC PLAN NO. 83-002, AMENDMENT NO. 1 LANDMARK LAND COMPANY, INC. It was moved by Council Member Bohnenberger, seconded by Council Member Sniff that Resolution No. 88-110 be adopted. Motion carried by the following vote: AYES: Council Members Bohnenberger, Cox, Sniff, Mayor Pro Tern Pena NOES: None ABSTAIN: Mayor Hoyle ABSENT: None RESOLUTION NO. 88-111 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, ANNOUNCING FINDINGS, AND APPROVING SPECIFIC PLAN 83-002, AMENDMENT NO. 1 PGA WEST SPECIFIC PLAN 83-002, AMENDMENT NO. 1: LANDMARK LAND COMPANY, INC. It was moved by Council Member Sniff, seconded by Council Member Bohnenberger that Resolution No. 88-111 be adopted. Passed by the following vote: AYES: Council Members Bohnenberger, Cox, Sniff, Mayor Pro Tem Pena NOES: None ABSTAIN: Mayor Hoyle ABSENT: None At 9:55 P.M., the meeting was adjourned to 7:30 P.M. on Monday, September 26th for completion of the agenda due to a power outage. Re?ectfully subr?ted, S??UNDRA L JUH City Clerk City of La Quinta, California BIB] 02-23-96-U01 04:20:08PM-U01 CCMIN-U02 09-U02 20-U02 1988-U02