1985 11 19 CC2^ +cD AGENDA
CITY COUNCIL CITY OF LA QUINTA
A regular meeting of the City Council
to be held at City Hall, 78-105 Calle
Estado, La Quinta, California.
November 19, 1985 7:30 p.m.
1. CALL.TO ORDER
A. Flag Salute
2. ROLL CALL
A. Reorganization of the City Council.
3. PUBLIC COMMENT
This is the time set aside for citizens to address the Council on matters relating
to City business. When addressing the Council, please state your name and address.
The proceedings of the Council meeting are recorded on tape and comments of each
person shall be limited to three 3) minutes.
Persons wishing to address the Council regarding an Agenda item should use the
form provided. Please complete one form fo? each Agenda item you intend to
address and return the form to the Secretary prior to the beginning of the meeting.
NOTE: Except for hearings, comments relative to items on the Agenda are limited to
two 2) minutes. Your name will be called at the appropriate time*
4. WRITTEN COMNUNICATIONS
5. COI*iENT BY COUNCIL MEMBERS
6. CONSENT CALENDAR
A. Approval of the Minutes of a regular City Council meeting held November 5,
1985.
B. PROPOSED RESOLUTION. A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF LA QUINTA, CALIFORNIA, APPROVING DEMANDS.
C. PROPOSED RESOLUTION. A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF LA QUINTA, CALIFORNIA, AMENDING RESOLU-
TION NO. 85-68, RELATIVE TO CITY ATTORNEY COMPENSATION.
D. PROPOSED RESOLUTION. A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF LA QUINTA, CALIFORNIA, AMENDING RESOLU-
TION NO. 84-25, DESIGNATING AUTHORIZED SIGNATURES.
E. PROPOSED RESOLUTION. A RESOLUTION OF THE CITY COUNCIL OF ThE CITY
OF LA QUINTA, CALIFORNIA; APPROPRIATING FUNDS,
TRANSFERRING *2,5OO.OO TO ACCOUNT NO. 01-4192-1021, COMMUNITY SERVICES, RIVERSIDE
COUNTY COALITION FOR ALTERNATIVES TO DOMESTIC VIOLENCE RCCADV), FROM THE UNAPPRO-
PRIATED SURPLUS, GENERAL FUND.
F. Acceptance of Final Parcel Map for the Desert Sands Unified School District
school site on Avenue 50.
1) **tion for adoption. ROLL CALL VOTE)
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2^ +cD AGENDA City Council
November 19, 1985
Page 2.
7. HEARINGS
A. Continued consideration of a public hearing regarding the La Quinta General
Plan and associated elements of said proposed General Plan.
7 1) Resolution for adoption.
2) Resolution for adoption.
8. BUSINESS SESSION
A. PROPOSED ORDINANCE. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF LA QUINTA, CALIFORNIA, AMENDING THE OFFICIAL
ZONING MAP FOR THE CITY, BY REZONING CERTAIN PROPERTY REFERRED TO IN CHANGE OF
ZONE CASE NO. 85-017.
1) Ordinance for adoption. ROLL CALL VOTE)
B. Report on the Avenue 50 Park Master Plan.
1) Report from the Avenue 50 Park Committee.
2) Report from the Community Services Commission.
3) Motion for adoption.
C. Report from the City Attorney regarding acceptance of a donation of ticketsto
the World Cup of Golf tournament.
1) Resolution for adoption.
D. Report from the Community Development Director regarding a request for a
special advertising banner for Beef & Brew restaurant.
1) Motion for adoption.
E. Report from the Deputy City Manager regarding renewal of a lease for the
City Hall facility.
1) Motion for adoption.
F. Report from the Community Safety Coordinator regarding a lease-purchase
agreement for a City fire truck and related equipment.
1) Motion for adoption.
2) Motion for adoption.
G. Report from the City Manager regarding grant programs. INFORMATIONAL)
H. Other.
9. ADJOURNMENT
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2^ +cD MEMORANDUM
CITY OF LA QUINTA
Q*f* *
To: Honorable Mayor and Members of the City Council
From: Frank N. Usher, City Manager
Date: November 15, 1985
Subject: Report to Council
1) Community Services Commission
The Community Services Commission has requested a joint study session with the
City Council to discuss its roll and activities with the Council. It seeks
some further definition from the Council regarding what it is expected to do.
I suggested last night that they should generate ideas for community service
programs which they themselves would volunteer to carry Out and get the partici-
pation of other residents of the community.
2) COunty Liability Regarding Fire Engine Operation
We are having some difficulty with the County regarding their acceptance of
responsibility to provide liability insurance coverage in the operation of the
City's fire engine at the PGA West station. We have a meeting scheduled for
December 3, 1985 with the Fire Department, regarding this provision of the lease
agreement, which is standard with all similar agreements. If we don't reach a
satisfactory conclusion then, I will be suggesting we go through Supervisor
Larson and the CAO.
3) La Quinta/Indio Road Planning
We will be meeting with the Indio staff to address planning issues relative to
common boundary roads and improved safety at Jefferson and Miles and Jefferson
and Dune Palms. The meeting will be November 21, 1985.
4) Yesterday I met with John Dicken and Frank Adams regarding their plan to propose
a Thermal Community Services District. They plan to make a presentation to the
Board of Supervisors on December 3, 1985. I don't see anything in this which
would be in conflict with our interests in the area. The proposed area of the
district would be all presently unincorporated territory east of La Quinta and
north of Indio and Coachella.
F*fu/lw
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2^ +cD MEMORANDUM
CITY OF LA QUINTA
To: Members of the City Council
FTOm: James Longtin, City Attorney
Date: November 5, 1985
Subject: Reduction in City Attorney's Salary
In June, 1985, at my request, the City Council approved a summer schedule"
for the City Attorney. This schedule reduced my actual time within the City
of La Quinta from three days per week to four days Monday-Thursday) biweekly.
I have continued on that schedule since June and it is now my recommendation
that I continue on this schedule until such time as the legal work load in-
creases to warrant additional City Attorney time within the City. It is my
belief that the current work load tan adequately be handled by my presence in
the City on a Monday-Thursday biweekly basis. This may change. Once the General
Plan has been adopted it will be necessary for the City Attorney to work closely
with the Community Development Director in drafting a new zoning ordinance and
a new subdivision ordinance for the City. However, it is also my belief that
even these large-scale projects can be adequately handled by my presence in
La Quinta on a biweekly basis. However, if more time is necessary I will be
the first to let you know.
Because my actual time spent in the City of La Quinta is reduced, I feel it is
appropriate that my annual salary be reduced by $8,000, to $32,320 annually.
This does not directly correspond to the actual reduction in hours spent in
La Quinta but I feel it is fair and equitable considering all the circumstances.
That is, I consider the City my primary client and my availability to the City
is continual and has first priority. I am available by telephone to respond
immediately and if there is ever a problem, court appearance, or other matter
that requires my attendance in La Quinta or elsewhere, I will handle it, without
question. Further, based on the new schedule approximately 50 hours monthly)
my hourly rate to the City is $54 per hour; whereas, my rate to new clients is
$150 per hour.
In order to effect this salary reduction) it will be necessary to place this
matter on the Consent Calendar at a future Council meeting by appropriate
resolution. I am distributing this memo to the Council at this time to advise
the Council in advance in case there are any questions or in case any of you
wish to discuss this matter with me prior to it appearing on the agenda. I
have discussed this matter with the City Manager and he concurs with both the
reduction in hours within the City and the reduction in salary.
In closing, I wish to affirm to the City Council that I am proud and pleased
to be you attorney and that I look forward to continuing to serve La Quinta as
its City Attorney.
submitted,
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2^ +cD RESOLUTION NO. 85-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
LA QUINTA, CALIFORNIA, AMENDING RESOLUTION NO.
84-25, DESIGNATING AUTHORIZED SIGNATURES.
BE IT RESOLVED by the City Council of the City*of La Quinta,
California, that Resolution No. 84-25 hereby is amended as
follows:
SECTION 1. Authorized signatures on all accounts, warrants
and checks shall be as follows:
Mayor
rank M. Usher City Manager
Becky Kochell City Treasurer
On warrants and checks, any two of the above signatures
must be original.
APPROVED and ADOPTED this 19th day of November, 1985.
MAYOR
ATTEST:
CITY CLERK
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
CITY ATTORNEY m<Y*R*
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2^ +cD RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
LA QUINTA, CALIFORNIA, APPROPRIATING FUNDS,
TRANSFERRING $2,500.00 TO ACCOUNT NO. 01-4192-1021,
COMMUNITY SERVICES, RIVERSIDE COUNTY COALITION FOR
ALTERNATIVES TO DOMESTIC VIOLENCE RCCADV), FROM
THE UNAPPROPRIATED SURPLUS, GENERAL FUND.
BE IT RESOLVED by the City Council of the City of La Quinta,
California, as follows:
SECTION 1. $2,500.00 is hereby transferred to Account
No. 01-4192-1021, Community Services, RCCADV,
from the Unapproriated Surplus, General Fund.
APPROVED and ADOPTED this day of 1985.
MAYOR
ATTEST:
CITY CLERK
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
CITY ATTORNEY CITY
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2^ +cD MEMORANDUM
CITY OF LA QUINTA
To: The Honorable Mayor and **rbers of the City Council
*rom: **ty Development Depart*t
Date: *v*rd*er 19, 1985
Subject: A*PmNCE OF FINAL]PARCEL MAP*EL * No. 20862 DESERT SANDS**S UNIFIED
SCHOOL DISTRICT*
Parcel Map *. 20862 represents the division of approximately 45 acres into
four parcels for develo*inent of future schools.
Reqiiireeents for the installation of street, water and related in*roveeents have
not been ir*sed as a condition of this map since this is a minor land division
with no proposed development. These reguireeents are ipposed on the P':*lic Use
Permit which applies to most of the prpperty.
The City Engineer has certified that the Parcel Map is in substantial conformance
with the *ntative Parcel Map approved by the Co*ity Development Director on
Sept**r 30, 1985; that the map c*lies with all provisions of the St**di.vision
Map Act and the City Land Division Ordinance; and that the map is technically
correct.
It should be noted that several very minor corrections are being made, but
signatrres will be withheld until these are resolved.
SThFF *
The *ncnitv Development De*ment r*mnands that the City Council accept
Final Parcel Map *. 20862.
PREPAPED BY:
A s**ector \\z(;* *
Development
LLS:dmv
*
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2^ +cD MEMORANDUM
CITY OF LA QUINTA
The Honorable *yor * * of the City *ui*il
*rom: *Ttrunity Developeent Director
Date: *Erber 19, 1985
Subjeci: IA * GE**RAL PL**N
The revised Land Use and Ciruulation Plan maps are attached with the agenda for your
review. The revised text may be hand*elivered separately to you either *iday
evening or Saturday irornir*.
Th enact the General Plan, several *solutions are being prepared. These will be
distributed to you on *t)fld&y at the Study Session.
The Planning C:ooission is eeeected to adopt the General Plan fonnally at a *ial
P*eting at 5:30 p.m. on Tuesday, * 19. The Ccrrinission will be represented at
the *unci1 Stu* Session if any matters re*uirinq cooent are raised.
4/w*
lawrence L. Stevens, AICP
*xtIttnnty Deeel**t Director
ILS:dmv
L
Atchs: Land Use & Circulation Plan *ps
a
7.A.
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2^ +c$D ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
LA QUINTA1 CALIFORNIA, AMENDING THE OFFICIAL ZONING
MAP FOR THE CITY, BY REZONING CERTAIN PROPERTY
REFERRED TO IN CHANGE OF ZONE NO. 85-017.
The City Council of the City of La Quinta does ordain as follows:
SECTION 1. Section 4.10 of Riverside County Ordinance No. 348
which was adopted by reference by this City Council by Ordinance No. 5,
operative August 29, 1982) and La Quinta District Official Zoning Plan
Map No. 14, as amended, are further amended by rezoning from R-2-3350
to C-P-S, those certain parcels shown and depicted for such rezoning on
the map which is attached to and made a part of this ordinance, and
which attached map is labeled Exhibit A1', Change of Zone No. 85-017.
SECTION 2. EFFECTIVE DATE. This ordinance shall be in full force
and effect thirty 30) days after its adoption.
SECTION 3. POSTING. The City Clerk shall, within 15 days after
passage of this ordinance, cause it to be posted in at least three public
places designated by resolution of the City Council; shall certify to the
adoption and posting of this ordinance; and, shall cause this ordinance
and its certification, together with proof of posting, to be entered into
the Book of Ordinances of this City.
The foregoing ordinance was approved and adopted at a meeting of the
City Council held on this day of 1985, by the following
vote:
AYES:
NOES:
ABSENT:
MAYOR
ATTEST:
CITY CLERK
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
*
CITY ATTORNEY
CA
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2^ +c%D MEMORANDUM
CITY OF LA QUINTA
To: The *norab1e Mayor and *rbers of the City Q*cil
*om: Avenue 50 Park Ccooittee
b**tber 19, 1985
Subject: *SER PUN FOR AVENUE 50 PARK
The Ocitmittee has ir*t on several occasions to review site design, phasing and cost
for the pr*sed park and recatmnds that the CoUnCil adopt the Master Plan maps
are located on the *ll in the Council Char*ers) and the Phasing Plan.
Oost estimates for the entire project and each of the three phases are in the attached
sum*.
* BY:
A 4Ji*
La*ence L. Stevens, AICP
Ocoonity Develo*xt*nt Director
Atch: Phasing & Cost Sunit*
j2*
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2^ +c+D RESOLUTION NO. 85-
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF LA QUINTA, CALIFORNIA, ACCEPTING
GIFT OF GUEST BADGES FOR WORLD CUP OF
GOLF TOURNAMENT.
WHEREAS, on November 7, 1985 the International Golf Association Match
Committee generously donated to the City a total of thirty tournament guest
badges for the 1985 World Cup of Golf Tournament, and;
WHEREAS, said gift was donated to the City and its personnel and was not
given to or limited to the use of any particular employee or official, and;
WHEREAS, it is in the best interest of the City to accept said donation
and to direct the City Manager to control distribution of said tournament guest
badges.
NOW, THEREFORE, the City Council of the City of La Quinta does hereby
RESOLVE as follows:
1. The City of La Quinta hereby accepts said donation of thirty tournament
guest badges for the 1985 World Cup of Golf Tournament.
2. The City Manager is hereby directed to control distribution of said
guest badges on a first-come, first-serve basis.
PASSED AND ADOPTED this day of 1985.
MAYOR
ATTEST:
CITY CLERK
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
*TTEY CITY MANAGER
Sc
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2^ +c,D MEMORANDUM
CITY OF LA QUINTA
To: The Honorable *yor and *ers of the City Council
*om: *oanity Developeant Depar*nt
Date: *veneer 19, 1985
Subject: RE*LIEST To USE SPECIAL ADVERT* SING DEVICE
Applicant: Beef and Brew Restaurant
location: Southwest Corner of Highway 111 and *Washington Street Plaza La Quinta)
Beguest: Approval to Use i*,- 10' x 3' Banners for Advertising
BA*KGR*JND
A. Applicant's Re*uest
The Applicant, Beef and Brew Pestaurant, is requesting approval to haag two
banners to advertise the hours which they serve * brunch. As shown on
the attached exhibits, the banners will be 10-feet long and 3-feet high. The
white banner will have 18-inch high, burgnndy letters for the word Brunch",
and 6-inch high, black letters stating the hours. The sign* are proposed for
installation on both sides of the northeast corner of the building adjacent to
the Highway 111 and Washington Street intersection. The Applicant is re*iesting
approval fr*n the City Council to hang these banners on we*ends only for a
period of three 3) nonths.
B. Municipal Code Regulations
As provided for in Chapter 5.64 of the *inicipal Code entitled Special
Advertising Devices", the City Council may issue peerits for the use of tenporary
special advertising devices copy of text attached). The following is a brief
sUrTrIa** of this code section:
Purpose: To allow special advertising for grand openings and special occasions
and not on a continuing basis for permanent advertising or identification purposes.
*tiat Allowed: Banners, balloons, searchlights and other such devices or objects
which are not customarily and routinely used by all c*rin*cial or non*ru*rcial
enterprises of a similar nature.
Permit Procedure: All applications are reviewed and acted upon by the City
Council on a ca*by-case basis.
Grounds for Denial: Permits shall not be issued if the City Council makes any of
the following findings:
The special advertising device would constitute a traffic hazard or a
nuisance to adjacent or surrounding properties or to the public at large.
*
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2^ +c-DSTAFF RE**RI' CITY COUNCIL
Nov*riber 19, 1985
Page 2.
o The device would be detrimental to the public convenience or welfare.
o The device would not be in harmony with the various elements and
cbjectives of the General Plan and all other officially adopted
policies and regulations of the City.
*I*FF *C*MENI* AND ANALYSIS
Intent of the Ordinance
This section is intended to c*liment the existing sign regulations while recognizing
that there are limited special occasions where non-cust**, advertising devices or
additional advertising may be appropriate on a t*porary basis. As stated in the
code, permits may be issued for grand opeeings and special occasions and not on a
continuing basis for permanent advertising or identification purposes". Although not
explicitly defined, special occasions" are just what the term jitplies those occasions
or events not occurring on a routine or continual basis. Exanpies include the La Quinta
Arts Festival, golf tounlanents, parades or a specially scheduled pmrotional event with
celebrity appearances. They do not include events or services cust*narily or routinely
provided by c*rcial enterprises of a similar nature; for exanple, a tavern staring
a hap* hour" is not a special occasion".
The Applicant's Request
Beef and Brew" is requesting approval to hang two banners advertising the hours that
the restaurant serves brunch. This brunch service has been and will continue to be
offered every **ekend. This service has been advertised by the cus*aty means
newspaper ads) and by the placerr*nt of an unauthorized A-frame type sign at the corner
of *shington Street and Highway 111. The Applicant has not requested approval for the
placement of any signs on the building' S south or west sides facing inwards to the
Plaza La Q'iinta Center, of which this restaurant is a part.
It seees questionable that a restaurant serving brunch is the special occasion"
referred to in the *micipal Code, especially since it is a service custcKnarily
offered by similar businesses, and it is a service which has been and will continue
to be offered by the Applicant a routine we**end basis.
Secondly, the request as proposed is not in harmony with the stated goals and objectives
of the proposed La Quinta General Plan. The proposed Cccmunity Design Element designates
the corner of Highway 111 and *shington Street as the major entry point into the City
warranting special design treatment. The placement of two, 10' x 3', white banners
with lB-inch high letters stating Brunch" may not create a favorable first inpression
for people entering the City.
Lastly, although the desire of the Applicant to prc'mote his business to the greatest
extent possible is recognized, approval of the request for a soecial device advertising
a custocary or ongoing service or product could lend to similar requests by the other
businesses located within Plaza La Q'iinta and the Citv as a whole, since it is a
reasonable assunption that all businesses should be treated equally. Coviously, this
would lead to a cluttered and unattractive appearance and nay be a detr*xr*nt to the
City as a whole.
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2^ +c.DSTAFF REPORI CITY COUNCIL
Nov*rber 19, 1985
Page 3.
SThFF *
Based upon the abave fm*in;;s, the Caounity Develqxrent Departirent rec*t*ds
DE**L of the Applicant 1* reguest for the installation of two banners at Beef and
Brew Restaurant.
PREPAPED BY: APP*)VED BY:
Sandra L. * Lawrence L. Stevens, AICP
Principal Planner Corrrcnity Devel*rient Director
SLB:drrrv
Atc*is: 1. E*diibits A and B
2. Section 5.64, **nicipal Code
L*
A
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2^ +c3D MEMORANDUM
CITYOFLAQUINTA
7)
To: Honorable Mayor and Members of the City Council
From: Ann Jennings, Deputy City Manager
Date: November 15, 1985
Subject: Lease Agreement Renewal City Hall Facility
The City currently has a lease agreement with Mr. Mort Brennan
and Mr. Albert Wild for lease of the City Hall office facility
located at 78-105 Calle Estado. The term of the lease was
for a three-year period, ending November 30, 1985. We are
presently leasing approximately 3,000 square feet of office
space, for a monthly amount of $2,178.00, or $0.73 per sq. ft.
This lease is a gross monthly lease, with the Lessor providing
for payment of real estate property taxes, water, trash removal,
outside building maintenance, gardening, air conditioning
maintenance, outside electric costs and building insurance.
Under the present Lease Agreement, the City was given the option
to renew this Lease for two additional two-year terms. The
present Lease Agreement also specified that if an option to
renew were taken, the total monthly rent would be equal to the
rent at termination of the original lease Nov. 30, 1985), plus
the same annual escalation rate as the original lease 10% annually).
This would translate into a monthly rental of $2,395.80 or $0.80/
sq. ft. for the first year of the Lease option, and $2,635.35 or
$O.88/sq. ft. for the second year of the Lease option period.
In reviewing the current rates for multi-tenant office buildings
locally, Palm Desert, Indian Wells, La Quinta and Indio), gross
monthly lease rates range from a low of $0.83/ sq. ft. to a high
of $l.44/sq. ft. It therefore appears that the lease amounts
proposed would be well within the competitive median price range.
RECOMMENDATION
It is respectfully recommended that the Council authorize Staff
to enter into a two-year Lease Option Agreement with Mr. Mort
Brennan and Mr. Albert Wild, for lease of six office suites
located at 78-105 Calle Estado, La Quinta, for a period commencing
December 1, 1985, and ending November 30, 1987.
Ann en;***ng*
Deputy City Manager
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2^ +c4D MEMORANDUM
CITY OF LA QUINTA
To: City Manager Usher and the Honorable City Council
From: Roger Hirdler, Community Safety Coordinator
Date: November 14, 1985
Subject: LEASE/PURCHASE PLAN FOR FIRE ENGINE
Attached is the lease/purchase plan for the ENCIVan Pelt fire engine. The
engine will be delivered the week of November 26, 1985.
This lease is for an eight year term, commencing December 1, 1985, or upon
acceptance by the County Fire Department. It is a 7 percent interest plan
and may be paid off at any time without penalties.
Landmark Land Company will in turn reimburse the City for the lease payment.
Staff respectfully requests the approval of the lease/purchase plan.
Respectfully submitted,
*
Roger Hirdler
Community Safety Coordinator
RH/bap
Atch.
ji's
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2^ +c>D MEMORANDUM
CITY OF LA QUINTA
To; Honorable Mayor and Members of the City Council
From: Frank M. Usher, City Manager
Date: November 15, 1985
Subject: Grant Programs
One of our goals has been to develop an approach for grants
which may be useful to the City. While more grants are available
for service programs, most are oriented toward capital type
improvements. In seeking the first type, we should try to assure
its renewability or assure our ability to continue any programs
which are begun under the grant. In seeking the second type, we
should assure our ability to meet the maintenance and operation
needs of any capital improvements which are made or capital equip-
ment which is purchased.
At this time, through the work of Mayor Cox and Ann Jennings, a
grant was obtained for the services now being provided to seniors
at the Community Services Center. Also, it appears that we will
obtain a grant sought by Larry Stevens for intersection improve-
ments at Washington Street and Avenue 52.
A project which we should particularly seek grants for is the
development of the Avenue 50 Park. We intend to apply for a Land
and Water Conservation Fund Grant for this purpose. This is a
federal grant administered through the California Department of
Parks and Recreation. It should be understood, however, that we
are in a region Region 8) which includes Ventura, Los Angeles,
Orange, San Bernardino, Riverside and Imperial Counties. Under
this program, $3,000,000 will be available Statewide. $1,435,635
will be available to Region 8. Half of this must be used for
regional parks. Therefore, $717,818 will be available to the
six county region for park improvements such as ours.
Beyond this, some time ago, several of us met with Gene House
regarding this proposal to seek public and private grants for the
City. Mr. House is now involved in private fund raising. From
1970 to 1978, he was Community Relations Coordinator with the City
of Palm Springs. Basically, he proposes that we retain his services
for a three month period, at $1,000. per month, plus certain
expenses. He would research public and private grant possibilities,
and prepare private grant possibilities, and prepare private grant
proposals, if appropriate.
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2^ +c?DHonorable Mayor and Members of the City Council
November 15, 1985
Page 2-
I believe that this is the most efficient way to proceed with
an effort to obtain grants. We could benefit from Mr. House's
expertise in the area. I have asked him to prepare a service
agreement for Council consideration. I expect that this will
be ready for this Council meeting of December 3, 1985.
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2^ +c@D MEMORANDUM
CITY OF LA QUINTA
OF
To: Honorable Mayor and Members of the City Council
From: Frank M. Usher, City Manager
Date: November 15, 1985
Subject: Industrial Development Bond 1DB) proposal for financing of multi-family
housing project Informational
I have met with an investor/development group who have proposed the use of IDB1s
to finance a multi-family housing project on the west side of Dune Palms Road
and north of the Whitewater Channel. I indicated possible willingness to use
this financing tool to assist development, but reminded them that the new General
Plan had not yet been adopted, although it appears that the new Plan will provide
for this type of developinent.
Because the state cap on IDB's has been reached, and because the property is not
in the redevelopment project area, the issuance of an 1DB would have to be through
the County Housing Authority. Therefore, the investors have sent me a sample of
the cooperative agreement with the Authority, a copy of which is attached. Because
of possible changes in the federal tax law, the investors would like to get a bond
issued before January 1, 1986, a process which requires approximately 30 days.
However, at this time, no plans for the project have been submitted to the City.
Also, I have some concern regarding the commitments which would have to be made
regarding the bond agreement, in advance of any planning consideration.
I have discussed the matter with the County Department of Development and the
City of Indio Planning Department. The advice I have received is that it is
possible to enter a bond agreement in advance of planning approval, but it is
not good procedure. Indio has used this financing tool effectively, but their
policy is to not approve IDB's until zoning approval has been obtained.
While this may affect the feasibility of 1DB financing for a proposed project,
I believe the advice is reasonable and good and we should adopt a policy similar
to that in Indio. If you have any questions, I would be happy to respond at the
study session.
FMU/lw *
II
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