HomeMy WebLinkAboutInfo Rprt - Temp Sales of Automobiles in the CitySTAFF REPORT
CITY OF PALM DESERT
COMMUNITY DEVELOPMENT DEPARTMENT
DATE: August 23, 2018
PREPARED BY: Eric Ceja, Principal Planner
REQUEST: Receive and file an informational report related to temporary sales of
automobiles in the City.
Recommendation
By Minute Motion, receive and file an informational report related to temporary
automotive sales events in the City.
Background Analysis
At the City Council meeting of May 24, 2018, Mayor Jonathan requested that staff review
the policy related to the temporary sales of automobiles at the Westfield Palm Desert, and
to report findings to the City Council. A report was prepared and submitted to the City
Council at their meeting of June 28, 2018. At that meeting, the City Council continued the
discussion of temporary automotive sales at Westfield to their August 23, 2018, meeting
and directed staff to meet with Westfield Management.
Community Development Department staff met with Westfield management on August 3,
2018, to discuss the City Council dialogue of temporary automotive sales at the Westfield
site. Westfield management explained that they have historically had automotive sales at
the site as a means of generating additional income for the property. In the past, automotive
sales have mostly been located in the "back 40" parking areas along Town Center Way;
however, this past event was located along Monterey Avenue for increased visibility.
Westfield thought the event was a success and that the automotive dealer had better sales
since the event was more visible.
City staff and Westfield management also discussed aesthetic considerations for the sales
events. Westfield and the City are aligned in this concern, as Westfield wants to present the
best image possible for shoppers and residents. The Planning Division will scrutinize
aesthetics in more detail prior to issuing temporary use permits for events.
LEGAL REVIEW DEPT. REVIEW FINANCIAL REVIEW CITY MANAGER
N/A
Robert W. Hargreaves Ryan Stendell
City Attorney Director of Community
Development
N/A
Janet Moore
Director of Finance
Lauri Aylaian .
City Manager
M 1ICE Oc9 Zl'-2olt
;.s�i'
�,QQ : Ct,¢pM
STAFF REPORT
CITY OF PALM DESERT
COMMUNITY DEVELOPMENT DEPARTMENT
DATE: June 28, 2018
PREPARED BY: Eric Ceja, Principal Planner
REQUEST: Receive and file an informational report related to temporary sales of
automobiles in the City.
Recommendation
By Minute Motion, receive and file an informational report related to temporary
automotive sales events in the City.
Background Analysis
At the City Council meeting of May 24, 2018, Mayor Jonathan requested that staff review
the policy related to the temporary sales of automobiles at the Westfield Palm Desert, and
to report findings to the City Council. Staff has researched the issue and has found that, in
2003, the City Council approved permitting auto sales in the north "Back 40" parking lot at
Westfield Palm Desert between Easter and Thanksgiving. In 2009, the City Council upheld
the Director of Community Development's denial of a Temporary Use Permit (TUP) for used
car sales at the Westfield Palm Desert along Highway 111; directing staff to ensure the
aesthetics of the event were up to Palm Desert standards. Since that time, the Community
Development Department has approved temporary events, including automotive sales, at
Westfield Palm Desert along Monterey Avenue and Highway 111.
Palm Desert Municipal Code (PDMC) Chapter 25.34.080 "Temporary Uses" provides
guidance for the allowance of various temporary uses and events, including:
• Special Public/Private Events.
• Seasonal Sales: Christmas trees, pumpkin patches, etc.
• Real Estate Sales Office.
• Cultural Promotion Events: educational, civic, etc.
• Commercial Promotional Event: outdoor sales and display
• Heliports/Helistops.
Community Development staff, through the City's TUP process, has permitted temporary
sales events for automotive businesses by categorizing the sales event as a "Commercial
Promotional Event." This allows automotive dealers from outside the City to apply for a TUP
for an outdoor sale for a period of up to 10 days. Several existing businesses, mostly golf
cart businesses, also apply for TUPs to display their product outdoors for sales events. Staff
reviews each request for safety, display, location, and to maintain adequate vehicular
access.
June 28, 2018 — Staff Report
Temporary Use Permits for Automotive Sales
Page 2 of 2
In 2016, the Community Development Department issued eight (8) permits for automotive
sales, including permits for recreational vehicle sales. In 2017, staff issued five (5) permits
for temporary automotive sales, and, so far, in 2018, five (5) permits have been issued.
Location(s)
Because of the space requirements needed to display vehicles and maintain vehicle access
to surrounding businesses, locations for temporary automotive sale events are limited. In
the past, TUPs have been issued for two (2) specific locations:
• Westfield Mall: in the parking lot located at the southwest corner of Monterey Avenue
and San Gorgonio Way.
• Desert Gateway Shopping Center: in the Sam's Club parking lot.
TUPs are also issued to existing businesses located in the City; however, their sales event
areas are typically limited to areas directly near or in front of their tenant space.
Fiscal Analysis
Community Development staff has consulted with the Finance Department and based on
the sale tax information reported by the permittees, the City received $41,500 in 2016 and
$48,155 in 2017 in sales tax.
LEGAL REVIEW
N/A
DEPT. REVIEW FINANCIAL REVIEW CITY MANAGER
Robert W. Hargreaves Ryan Stendell
City Attorney Director of Community
Development
4 Lauri Aylaian
et Moore City Manager
Director of Finance
ATTACHMENTS: 1. PDMC Chapter 25.34.080 Temporary Uses
2. City Council Minutes: April 10, 2003, May 7, 2009
G:\Planning\Eric Ceia\Case Fdes\CC Staff Report (Automotive Sales 2018).00c
6/18/2018 25.34.080 Temporary Uses
Palm Desert Municipal Code
Up Previous Next Main Search Print No Frames
Title 25 ZONING
Chapter 25.34 SPECIAL USE PROVISIONS
25.34.080 Temporary Uses
A. Purpose. The purpose of this chapter is to permit and regulate uses which by their nature are for temporary
periods and are not detrimental to the health, safety, and public welfare of the community.
B. Temporary use permit required. Temporary uses listed herein require approval of a temporary use permit
by the Director.
C. Allowed temporary uses. The temporary uses listed below are permitted with approval of a temporary use
permit in compliance with the provisions and limitations listed herein.
1. Carnivals, Circuses, Special Private or Public Events. Any such activity may be permitted for up to
seven consecutive days at any one time for a period of ten days in any calendar year. Certification of the safety
of rides and all pertinent equipment for the carnivals, circuses, or similar events shall be made by a
professional engineer registered in the State of California, with such certification being given to the building
department prior to the commencement of use of the equipment.
2. Seasonal Sales. Seasonal sales (e.g., Christmas tree sales, pumpkin sales) may be permitted in any
nonresidential zoning district with approval of a temporary use permit for a maximum period of 60 days per
seasonal sales location per calendar year. The seasonal merchandise shall not utilize required parking spaces
dedicated to other uses.
3. Buildings and Storage Facilities for Construction Projects. Temporary structures or facilities for the
housing of tools and equipment or containing supervisory offices in connection with major construction on
major construction projects may be established and maintained during the progress of such construction on
such projects, provided that such temporary facilities may not be maintained for a period to exceed one year,
unless a new permit has been obtained from the zoning administrator.
4. Real Estate Sales Office. One temporary real estate office may be located on any new subdivision in any
zone, provided that such office shall be removed at the end of one year, unless a new permit has been obtained
from the ZA. Said real estate office to be erected only for use in sale of the subdivision in which it is located.
5. Promotional Event —Cultural. Promotional events of any educational, civic, or cultural nature may be
permitted without time restrictions except as fixed in the conditions of approval.
6. Promotional Event —Commercial. Outdoor sales and display of goods, including promotional sales, may
be conducted as part of an otherwise lawfully permitted or allowed permanent commercial use, provided that
all activities are conducted within the buildable portion of the lot. For new businesses with a valid business
license, such outdoor sales and displays of goods, shall be limited to a maximum 30-day period within the first
180 days after that business is established. Existing businesses shall be limited to a maximum of three periods
totaling a maximum of 30 days within a given calendar year. Sales and displays may not occupy more than 10
percent of the parking area for that business and shall not substantially alter the existing circulation pattern of
the site. Temporary sales and displays shall not obstruct any existing disabled accessible parking space.
7. Heliport and Helistop. Heliports, helicopter fields, and helistops are only permitted as temporary uses
with the issuance of a temporary use permit and only in commercial, industrial, and public/institutional zones
within the City.
D. Similar uses. When a temporary use is not specifically listed in this chapter, the Director shall determine
whether the proposed temporary use is similar in nature to permitted uses herein, and, if approved, shall establish the
term and make necessary findings and conditions for the particular proposed temporary use. (Ord. 1259 § 1, 2013)
View the mobile version.
http://qcode.us/codes/palmdesert/ 1/1
MINUTES
REGULAR PALM DESERT CITY COUNCIL MEETING APRIL 10, 2003
Councilman Kelly moved to waive further reading and adopt Resolution No. 03-35.
Motion was seconded by Spiegel.
Councilman Ferguson noted there was a blank on the Resolution itself where
a dollar amount was supposed to be included for the Fixed Management
Fee.
Mr. Gibson noted that at the time the staff report was copied, discussions
were still ongoing with Kemper. As of last Friday, they had agreed to the
following fees: Management fee of $25,0001month; key positions fee
$40,507/month, for a total of $65,507/month or $786,084 annually.
Mayor Pro Tem Spiegel moved to waive further reading and adopt Resolution
No. 03-35. Motion was seconded by Ferguson and carried by a 5-0 vote.
XIII. ORDINANCES
For Introduction:
A. ORDINANCE NO.1040 -AN ORDINANCE OF THE CITY COUNCIL OF THE
CITY OF PALM DESERT, CALIFORNIA, APPROVING AN AMENDMENT
TO CHAPTER 19 OF THE PALM DESERT MUNICIPAL CODE, ADDING
SECTION 19.01.055 REGARDING DRAINING OF SWIMMING POOLS.
Mayor Pro Tem Spiegel moved to waive further reading and pass Ordinance No.
1040 to second reading. Motion was seconded by Kelly and carried by a 5-0 vote.
For Adoption:
None
XIV. NEW BUSINESS
A. CONSIDERATION OF TEMPORARY USE PERMITS ALLOWING USED
CAR SALES OR OTHER LARGE-SCALE PARKING LOT SPECIAL
EVENTS AT WESTFIELD SHOPPINGTOWN PALM DESERT.
Mr_ Ortega noted the staff report and recommendation in the packets.
Mayor Pro Tern Spiegel said there was nothing in the staff report indicating
how this would be promoted, and he wanted to make sure there would not
be twinkle lights, balloons, signs up and down E! Paseo, etc. — anything that
would be detrimental to the look of the City.
Mr. Drell responded that there would only be one sign at the driveway at
Plaza Way and another at the driveway on Monterey Avenue. He said it had
12
MINUTES
REGULAR PALM DESERT CITY COUNCIL MEETING APRIL 10, 2003
been made clear that this was a trial to see if they can do this, follow the
rules, and be a responsible Palm Desert merchant. Upon question by Mayor
Benson, he said he did not yet know what the times would be, although he
would provide that information to the Council once the application is actually
received.
MS. NICOLE BOGGS, Westfield Shoppingtown Palm Desert, said the next
show planned would be done with Paradise Volkswagen. There would be no
Klieg lights, and they had been informed that they needed to end at 9:00
p.m. any bothersome activity such as music, lights, etc. in consideration of
neighbors. She said it would basically be held during Mal! hours and
perhaps a little beyond that on Friday and Saturday nights. It would also be
held in the "north 40" portion of the parking lot rather than on the Highway
111 side.
MR. DEE COLEMAN, Corporate Marketing Director for Sky Valley Resorts,
79-480 Calle Sunrisa, La Quinta, reviewed his proposal for a special event
parking lot show which he hoped to hold at Westfield Shoppingtown Palm
Desert several times per year for approximately ten days each show.
Councilman Kelly moved to, by Minute Motion, on a trial, case -by -case basis,
approve staff's recommendation for vehicle sales only in the "back 40" parking lot between
Ea.,«I ail() i nanksgiving for Westfield Shoppingtown Palm Desert. Motion was seco ded
by Crites and carried by a 5-0 vote.
B. REQUEST FOR AWARD OF CONTRACT FOR A FEE STUDY OF ALL
DEVELOPMENT SERVICES DEPARTMENTS, INCLUDING THE
FIRE DEPARTMENT (CONTRACT NO. C21060).
Mr. Ortega noted the staff report and recommendation in the packets.
Mr. Croy reviewed the staff report and the two options.
Councilman Ferguson said he agreed that the City was probably charging
way below, but he had a concern with paying for a study that might indicate
the City should quadruple its fees and did not like where it was headed and
the associated costs. He agreed the City should make sure it is not
overcharging people for various permits/fees, although he did not feel that
was the case.
Mr. Croy stated that staff would return to Council with the options once the
study has been completed. Staff was currently working with the Building
Industry Association (BIA) and would also be working with the Desert
Contractors Group. If the fees should come back significantly higher, he said
it was obvious that impact could not be thrown to the industry, and options
would be presented to Council such as stepping processes over years. He
13
MINUTES
SPECIAL PALM DESERT CITY COUNCIL MEETING MAY 7, 2009
XIV. NEW BUSINESS
A. REQUEST FOR AUTHORIZATION TO ISSUE A REQUEST FOR
PROPOSALS (RFP) FOR CITY ATTORNEY AND REDEVELOPMENT
AGENCY COUNSEL SERVICES (CONTRACT NO. C28880).
Councilman Ferguson moved to, by Minute Motion: 1) Approve the RFP for City
Attorney and Redevelopment Agency Counsel Services; 2) establish a Legal Services
Selection Committee to review, interview, and recommend the successful firm(s) or
candidate(s) to the City Council/Redevelopment Agency Board, pursuant to the established
schedule; 3) designate one Councilmember and two Citizen/Committee Members to serve
on the Legal Services Selection Committee, along with the Mayor and City Manager.
Motion was seconded by Finerty and carried by a 5-0 vote.
Mayor Pro Tem Finerty suggested Councilman Ferguson be designated to
serve on the Committee.
Councilman Ferguson respectfully declined and requested that the City
Manager return with a proposed way of moving forward on this RFP.
Councilman Kelly stated it was a serious Committee, and if someone couldn't
attend for whatever reason, the Committee should have a Councilmember
for an alternate.
Mayor Spiegel stated at the next City Council meeting, the City Manager
should return with his recommendations for the members of the Committee.
With City Council concurrence, City Manager directed to return at the next meeting
with a proposal for composition of the Selection Committee and remainder of the
RFP process.
B. CONSIDERATION OF UPHOLDING THE DIRECTOR OF COMMUNITY
DEVELOPMENT'S DENIAL OF A TEMPORARY USE PERMIT FOR
TOYOTA OF THE DESERT AUTO SALE IN THE HIGHWAY 111 PARKING
LOT AT WESTFIELD SHOPPING CENTER LOCATED AT
72-840 HIGHWAY 111 Case No. TUP 09-179 (Toyota of the Desert,
Applicant).
Assistant Planner Kevin Swartz stated that an April 10, 2003, the City
Council approved permitting auto sales at Westfield Mall in the north "back
40" parking lot between Easter and Thanksgiving. Today the Applicant was
requesting an auto sale located at the south parking lot facing Highway 111
on May 14 through May 17. Staff was not recommending denial of this auto
sale at Westfield, but that it should take place in the north "back 40" parking
lot. Past auto sales had taken place in the "back 40" parking lot by the Red
Carpet Car Wash and Good Year Tire. The Applicant was appealing the
16
MINUTES
SPECIAL PALM DESERT CITY COUNCIL MEETING MAY 7, 2009
decision and staff was recommending that the City Council uphold the
decision of the Planning Director to relocate the auto sale to the north "back
40" parking lot. He offered to answer questions.
Mayor Spiegel stated that this past weekend used cars were being sold at
Walmart, and he didn't know who gave approval, but assumed someone did.
It seemed as if the City had a double standard, stating that almost anything
could be done in the north sphere, but not in the middle of the City. He
questioned if that was the right standard to have.
Ms. Aylaian stated auto sales were handled with a Temporary Use Permit
(TUP) that gave staff an opportunity to review the proposed use and
determine if that particular area was right for the neighborhood, setting, and
consistent with the goals of the City and Zoning Ordinance. In the past,
Westfield Shopping Mall was considered sacred for any type of use that
could potentially take it down market or detract from the appearance. At the
City Council's direction, staff prohibited auto sales between Thanksgiving
and Easter because the parking lot received more parking usage than Sam's
Club or Walmart. When people apply for a TUP, staff considers the location
where the Application is made, reviews and determines what reasonable
restrictions should be placed. The auto sale approved at Sam's Club and
Walmart complied with the restrictions that were appropriate for that zone.
If the City Council wished to establish a policy and redirect staff to allow auto
sales at Westfield on Highway 111, staff could accommodate that request.
Further responding, she clarified there were no auto sales allowed at
Westfield at the direction of City Council between Thanksgiving and Easter,
and they weren't permitted in the north "back a 40" parking lot the rest of the
year.
Councilman Ferguson couldn't recall it being a City Council direction. He
asked if there were past parking lot accounts that showed that this event
would be a problem or cause any health and safety concern other than an
unnamed policy from some time ago.
Ms. Alyaian replied that there wasn't
MR. BRENT WISE, Manager of Westfield Mall, stated location would be key
to this event, and they anticipated 75 to 100 vehicles to be sold. He believed
he had proven he could manage a car sale with the Recreational Vehicle
(RV) sale, which was done nicely. He would manage this auto sale
personally and monitor it for four days. He said the volume of sales would
be much more dramatic than what it was with the RV's, and all the sales tax
would return to the City. He recommended approval of this request.
Responding to question, he said past auto sales generated more than 100
vehicles being sold, but again, location would be key.
17
MINUTES
SPECIAL PALM DESERT CITY COUNCIL MEETING MAY 7, 2009
Mayor Pro Tem Finerty asked if the vehicles would only be Toyota's.
MR. JAKE MONNIER, Customer Public Relations Manager with Toyota of
the Desert, stated the event was a used car sale that included other brands
like Honda, Acura, Chevy, Cadillac, and others. He said the vehicles will be
tasteful, in good condition, and will meet Department of Transportation
(DOT) standards, and they wouldn't be selling $500 cars. Responding to
question about the year of the vehicles, he said because of today's financing
requirements, most vehicles will be 2003 and newer models, with a few
under $5,000 in the1999 to 2000 year range. Further responding, he said
they anticipated selling 75 vehicles, and the average sale price would be
$15,000; sales tax for one vehicle averaged about $1,500.
Councilmember Benson stated that when auto sales were first allowed at
Westfield, they were put in the "back 40" parking lot and everyone was
happy with that arrangement. She said to have the event on Highway 111
would deteriorate the appearance of Highway 111. However, she had no
objections to the event taking place in the rear of the mall and believed
people will find it because of all the hype; she was confident the event would
still be successful.
Mayor Pro Tem Finerty asked what was the average sales tax from previous
events at Westfield Mall.
MR. MONNIER replied two different types of sales were being compared,
because RV's ranged from $50,000 to $100,000.
MR. WISE stated the last auto sale was before his time, and the last sale at
Westfield was for RV's, which was totally different. He said that based on his
history and experience, location was key to the success of the event.
Councilman Ferguson asked if Council allowed the Applicant to hold the
event off Highway 111, what type of signage would be provided.
MR. MONNIER responded their signage was a standard 10-foot banner that
said "Toyota of the Desert," which was their license -plate bracket. He said
they were conservative and wouldn't put up anything radical.
MR. WISE stated that when the City approved the RV show on Highway 111,
they had an RV out by Highway 111 with a banner, which was tasteful and
appropriately done. He will include in the contract that he will have full
control over the signage to ensure it is tasteful, without balloons, and private
property was not encroached upon. Further responding, he agreed to not
have sign twirlers. He will be available 24/7 on the property, and if the City
saw something they didn't like, they could call him, and he will have it
removed immediately.
18
MINUTES
SPECIAL PALM DESERT CITY COUNCIL MEETING MAY 7, 2009
Councilman Kelly stated this event would take place during the shoulder
season and when Council last prohibited events on Highway 111, it was a
different time. He said Council was trying to balance the budget, and this
was a good opportunity to see how it ran.
Councilman Kelly moved to, by Minute Motion, approved the subject TUP for an
auto sale in the Highway 111 Parking Lot of Westfield Shopping Center May 14-17, 2009,
subject to strict control of all aesthetics. Motion was seconded by Ferguson.
NO.
Councilman Ferguson stated he didn't like doing anything just because it was
done before; he liked some rhyme or reason, but in this case, there was an
absence of it. He said because it was shoulder season, he would like to give
the event a chance as long as the City had control of the aesthetics. In
addition, the City would receive sales tax from the auto sale and perhaps pull
people into the mall to help some of those struggling tenants.
Responding to question, MR. MONNIER said the sale will run from 8:00 a.m.
to 8:00 p.m.
Mayor Spiegel called for the vote, and it carried on a 4-1 vote, with Benson voting
Mayor Spiegel asked that staff review whether or not Council should be
advised prior to any major sale/car event for the north sphere, Highway 111,
Highway 74, or anywhere in the City; he also wanted to know what type of
sale it will be because motor home sales had been approved in the past.
C. REQUEST FOR APPROVAL OF CONTRACT WITH DIEHL, EVANS &
COMPANY, LLP, TO PERFORM AUDITING SERVICES FOR THE CITY OF
PALM DESERT, REDEVELOPMENT AGENCY, AND THE PALM DESERT
RECREATIONAL FACILITIES CORPORATION FOR THE FISCAL YEAR
ENDING JUNE 30, 2009, AND THE TRANSIENT OCCUPANCY TAX AUDIT
OF THREE HOTELS FOR CALENDAR YEAR 2008.
Councilman Kelly moved to, by Minute Motion: 1) Approve the subject contract with
Diehl, Evans & Company, LLP, to perform auditing services for the City of Palm Desert,
Redevelopment Agency, and the Palm Desert Recreational Facilities Corporation for the
Fiscal Year Ending June 30, 2009 (Contract No. C27541); 2) authorize performing the
Transient Occupancy Tax Audit on three hotels for calendar year 2008 (Contract No.
C27541A). Motion was seconded by Finerty and carried by a 5-0 vote.
19
To:
CITY OF PALM DESERT
COMMUNITY DEVELOPMENT DEPARTMENT
CITY COUNCIL CONSENT CALENDAR
Honorable Mayor and Members of the City Council
Lauri Aylaian, City Manager
Robert Hargreaves, City Attorney
From: Eric Ceja, Principal Planner
Date: June 28, 2018
Subject: Consent Calendar Item 0 - Temporary Sales of Automobiles
Community Development staff prepared a report related to Temporary Use Permits for
automobile sales events in the City. In the first paragraph of the report, staff states that:
"In 2009, the City Council upheld the Director of Community Development's denial of a
Temporary Use Permit (TUP) for used car sales at the Westfield Palm Desert along Highway
111; directing staff to ensure the aesthetics of the event were up to Palm Desert standards."
After reviewing the minutes of that meeting, staff found that the City Council overturned the
denial of the TUP and approved the TUP for automobile sales event, subject to strict control
of the aesthetics. The City Council specifically noted the economic conditions of 2009 as a
reason to approve the TUP at that time.
ERIC CEJ
/ec
INCIPAL PLANNER