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HomeMy WebLinkAboutPrelim - CC - 09-07-2017PRELIMINARY MINUTES -SPECIAL- PALM DESERT CITY COUNCIL MEETING THURSDAY, SEPTEMBER 7, 2017 CIVIC CENTER COUNCIL CHAMBER 73510 FRED WARING DRIVE, PALM DESERT, CA 92260 I. CALL TO ORDER - 3:00 P.M. Mayor Harnik convened the meeting at 3:00 p.m. II. ROLL CALL Present: Mayor Pro Tem Sabby Jonathan Councilmember Kathleen Kelly Councilmember Gina Nestande Councilmember Susan Marie Weber Mayor Jan C. Harnik Also Present: Lauri Aylaian, City Manager Robert W. Hargreaves, City Attorney Rachelle D. Klassen, City Clerk Lori Carney, Director of Administrative Services Russell Grance, Director of Building & Safety Ryan Stendell, Director of Community Development Martin Alvarez, Director of Economic Development Janet M. Moore, Director of Finance/City Treasurer Mark Greenwood, Director of Public Works Frankie Riddle, Director of Special Programs Bo Chen, City Engineer Stephen Y. Aryan, Risk Manager Gloria Sanchez, Records Technician ID. ORAL COMMUNICATIONS - A (CLOSED SESSION ITEMS) None PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 IV. ADJOURN TO CLOSED SESSION Reauest for Closed Session: A. Conference with Real Property Negotiator pursuant to Government Code Section 54956.8: 1) Property: APN 627-232-005 (NEC Ocotillo Drive/Tumbleweed Lane) Negotiating Parties: Agency: Lauri Aylaian/Martin Alvarez/City of Palm Desert Property Owner: City of Palm Desert Under Negotiation: x Price x Terms of Payment B. Conference with Legal Counsel regarding significant exposure to litigation pursuant to Government Code Section 54956.9(d)(2): Number of potential cases: 2 C. Public Employee Performance Evaluation pursuant to Government Code Section 54957: Title of Position: City Attorney With City Council concurrence, Mayor Harnik adjourned the meeting to Closed Session of the City Council and Successor Agency at 3:01 p.m. She reconvened the meeting at 4:08 p.m. V. RECONVENE REGULAR MEETING - 4:00 P.M. A. REPORT ON ACTION FROM CLOSED SESSION. None VI. PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA - Councilmember Kathleen Kelly VII. INVOCATION - Mayor Jan C. Harnik VIII. AWARDS AND PRESENTATIONS A. PRESENTATION OF PROCLAMATION DECLARING SEPTEMBER 10- 16, 2017, AS "SUICIDE PREVENTION WEEK" IN THE CITY OF PALM DESERT. On behalf of the entire City Council, Mayor Harnik presented the proclamation to Mr. David Muth and colleague from the American Foundation for Suicide Prevention Inland Empire and Desert Cities Chapter. 2 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 Mr. Muth thanked the City Council for the proclamation as this was the third year the City was declaring "Suicide Prevention Week." He explained this was an annual week-long campaign to inform and engage the public about suicide prevention. By drawing attention to the problem of suicide, the campaign strives to reduce the stigma surrounding the topic and to encourage the pursuit of mental health assistance and support to people who have attempted suicide. Every year more than 800,000 people die by suicide, and up to 25 times as many attempt to commit suicide. Behind these statistics are individual stories of those who have, for many different reasons, questioned the value of their life. Some are well linked and have a network of family, friends, colleagues, and schoolmates, but others may be Tess connected and/or quite isolated. Regardless of the circumstances, communities have an important role to play in supporting those who are vulnerable. People who have lived through a suicide attempt often talk about reaching the point where they saw no alternative but to take their own life and share about the days, hours, and minutes leading up to that point. They often describe, realizing, they did not want to die but instead wanted someone to intervene and stop them. Many say they actively sought someone who would sense their despair and asked them if they were okay or not. As members of a community, it was everyone's responsibility to look out for those who may be struggling check in with them and encourage them to tell their story in their own way and at their own pace. Offering a gentle word of support and listening in a nonjudgmental way can make all the difference. If you or someone you know is thinking about suicide, please call the National Suicide Prevention Life line at 1-800-273-8255. IX. ORAL COMMUNICATIONS - B MR. DAVID KEYES, Manager of the Palm Desert Aquatic Center, challenged the City Council to participate in the Y Be Fit Reverse Triathlon as part of a team. Last year they cultivated one youth that was in the recreation swim team who did the reverse triathlon with his parents. The parents were able to do the run and bike, and the youth was able to do the 300-yard swim. He said this got him thinking that a lot of people are not necessarily able to do the entirety of a triathlon or has the time to train, but there are aspects that people can do as an individual and put it together as a team to accomplish the whole reverse triathlon. Therefore, he proposed to the Councilmembers to think about it and call him if interested, because he has young nine year olds up to 20 year olds that are ready and able to swim the 300 yards to make a team with them. Mayor Harnik and Councilmember Kelly commented that it was a great idea, Mayor Pro Tem Jonathan said it was a great event, and he understood the early numbers show an increase of 40%. 3 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 X. MAYOR AND COUNCILMEMBER REPORTS & REMARKS TO THE COMMUNITY A. Mayor Pro Tem Sabbv Jonathan Committee Reports and General Comments. None B. Councilmember Kathleen Kelly Committee Reports and General Comments. 1. Short -Term Rental - Councilmember Kelly announced that a draft of revisions to the Ordinance on short-term rentals is now posted on the City's website. She has heard from folks on both sides of this issue and their reaction to the initial draft Ordinance was that the other side gets everything it wants. What is now posted seems to hit a form of a middle ground, and whether or not it's the appropriate response, it remains to be determined and will be greatly influenced by public participation in the steps that follow. She strongly encouraged interested individuals to review the draft Ordinance carefully and watch the website about upcoming public hearings where there will be a chance for people to take part in the decision making. Councilmember Nestande concurred with Councilmember Kelly, stating she serves on the Short -Term Rental Committee, and she has met with both sides, commenting that it was an ongoing process. She added that she has also met with constituents on the Cannabis Regulations and Community Choice Aggregation as well. She said there are a lot of things going on in the City and Council always encourages input from its citizens. Councilmember Weber agreed, stating the City Council always encourages input from the community and businesses, and they value it tremendously. Mayor Harnik added that staff and citizens are completely engaged by the number of meetings she's had, and agreed that one side felt the other was getting the consideration. However, she believed the City was moving in the right direction. C. Councilmember Gina Nestande Committee Reports and General Comments. None 4 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 D. Councilmember Susan Marie Weber Meeting Summaries Report for the Period of August 14-27, 2017. With City Council concurrence, the Meeting Summaries Report was received and filed. E. Mayor Jan C. Harnik Committee Reports and General Comments. None F. City Council Requests for Action. 1. Disaster Preparedness Publication in the Briaht Side Newsletter - Councilmember Kelly stated the consequences of natural disasters is on everyone's mind given the devastation by Hurricane Harvey. She said there have been many new residents that have become part of the Palm Desert community in recent years, therefore, she wondered if it might be timely to include a piece in the Bright Side that summarizes some of the steps the City has taken to assure disaster preparedness and perhaps features for citizens for where they can get good information to support their personal preparedness. 2. Distance Markers at Civic Center Park - Mayor Harnik suggested having distance markets to promote well being in the community, stating this task could be contracted out to not overburden City staff with a new project. She said this was a low-cost and fairly easy task to get done. Ms. Aylaian agreed to take this item to the Park and Recreation Commission to see how they might do that and make a recommendation. Mayor Pro Tem Jonathan added the Commission could expand their consideration to a workout cycle where at different points on the loop there are exercise options. Ms. Aylaian commented she would love for this item to be brought up when looking at the budget next year, because that would cost a little bit of money. 3. Fundina for the Victims of Hurricanes Harvey and Irma - Mayor Harnik would like to see this item on the next agenda and also consider which organizations to donate the funds, stating she would think The Red Cross could be one of them. 5 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 Councilmember Kelly stated that sadly enough, by that time, Hurricane Jose might be added. Councilmember Weber added the City could direct residents on the City website and aid them on where they can donate, stating they can obtain their own receipt for donating to a nonprofit. G. City Council Consideration of Travel Reauests/Reports. None XI. STAFF REPORTS AND REMARKS A. City Manager 1. City Manaaer's Meetina Summaries Report for the Period of August 14-25, 2017. With City Council concurrence, the Meeting Summaries Report was received and filed. 2. Personnel Updates: Ms. Aylaian congratulated Code Compliance Officer Johnny Terfehr who has been selected as the new Management Analyst taking over the position that was vacated by Kim Warpinski. He will be responsible for negotiating and overseeing contracts dealing with the Parks & Recreation District, YMCA, the Aquatic Center, and special assignments, stating she looked forward to his success. 3. Cannabis Reaulation - Ms. Aylaian reported staff will be recommending continuing the item to September 28. If anyone came this evening to speak on the issue, they will still have an opportunity to do so, including on the September 28 meeting, when staff provides a more in-depth presentation to the City Council and asks for full deliberation. 4. Short-term Rentals - Ms. Aylaian stated staff has been laboring over the meetings' schedule at length, because there are interested parties wanting to weigh in and they don't want to exclude anyone. Staff has been posting updates on the City's website for those who are not in town year-round to keep them engaged. The following meetings have been scheduled: September 27, 2017 - Study Session for the City Council at 2:00 p.m. in the Council Chamber at City Hall. 6 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 To be determined - Study Session for the Planning Commission in the Council Chamber at City Hall. October 3, 2017, at 6:00 p.m. - Planning Commission Public Hearing in the Council Chamber at City Hall. October 26, 2017, at 4:00 p.m. - City Council Public Hearing in the Council Chamber at City Hall. 5. Community Choice Aaareaation - Ms. Aylaian noted this item is on this evenings agenda and staff will request that it be continued one more time. Staff believes it has narrowed down the information it needed, but received it too late to put it together in time for the City Council to make a meaningful analysis and review the information, adding that moving this issue to the meeting of September 28, still works with CVAG's deadlines. 6. Garaae Sale of Surplus Items - Ms. Aylaian recalled for the City Council that at the last meeting, it authorized staff to hold a garage sale for surplus items and furnishings. One staff member suggested donating the proceeds to the victims of Hurricane Harvey, which she will add as something to discuss when it's placed on the agenda for the September 28 meeting. Mayor Pro Tem Jonathan added there is also a pizza fundraiser for the victims of the hurricane, stating it was initiated and is being carried out by staff. B. City Attorney None C. City Clerk None D. Public Safety 1. Fire Department None 2. Police Department None 7 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 XII. CONSENT CALENDAR A. MINUTES of the Regular City Council Meeting of August 24, 2017. Rec: Approve as presented. B. CLAIMS AND DEMANDS AGAINST THE CITY TREASURY - Warrants Dated 7/31/2017, 8/11/2017, 8/18/2017, and 8/25/2017. Rec: Approve as presented. C. RESOLUTION NO.2017-63, - A Resolution of the City Council of the City of Palm Desert, California, Setting Forth Its Findings and Authorizing the Destruction of Paper Records that Have Been Digitally Imaged from the Office of the City Clerk to Rely On the Electronic Record as the Official Record - Various Records Center Documents as Specified in Section 3 (Exhibit "A"). Rec: Waive further reading and adopt. D. REQUEST FOR ADOPTION, of Resolutions, Setting Forth Findings and Authorizing the Destruction of Paper Records that Have Been Digitally Imaged from the Department of Building and Safety to Rely On the Electronic Record as the Official Record — February 2016, March 2016, and April 2016 Records. Rec: Waive further reading and adopt Resolution Nos.: 1) 2017 - 64 - February 2016 Records; 2) 2017 - 65 - March 2016 Records; 3) 2017 - 66 - April 2016 Records. E. CITIZENS' SUSTAINABILITY COMMITTEE MINUTES. for the Meeting of August 29, 2016. Rec: Receive and file. F. REQUEST FOR DECLARATION, of Surplus Property and Authorization for Disposal for Various Pieces of Office Furniture. Removed for separate consideration under Section XI I I, Consent Items Held Over. Please see that portion of the Minutes for Council discussion and action. 8 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 G. REQUEST FOR AWARD OF CONTRACT for the Desert Willow Golf Resort Tree Pruning Project - Fiscal Year 2017-2018 to Union Tree & Palm Service, Inc., in the Amount of $74,994.92 (Contract No. C36360, Project No. 842-18). Rec: By Minute Motion: 1) Award subject contract for the Desert Willow Golf Resort Tree Pruning FY 2017-2018 to Union Tree & Palm Service, Inc., Cathedral City, California, in the amount of $74,994.92 ($74.92 per tree/1,001 trees to be pruned); 2) authorize Director of Finance to set aside an additional 10% contingency in the amount of $7,499.49; 3) authorize City Manager to execute said agreement — funds are available in Desert Willow Account No. 5104195-4809200. H. REQUEST FOR RATIFICATION of Additional Project Expenditures and for Acceptance of Work for the Electric Vehicle Fast Charger Installation Project (Contract No. C35030C) (Clean Fuel Connection, Inc., c/o NRV EV Services LLC, Houston, TX). Rec: By Minute Motion: 1) Ratify additional project expenditures in the amount of $20,132.43 for the subject project; 2) appropriate City's portion of project costs in the amount of $74,134.43 to Account No. 2384515-4400100 for FY 2016-2017; 3) accept the work as complete and authorize City Clerk to file a Notice of Completion for the subject project. I. REQUEST FOR ACCEPTANCE OF WORK for Contract No. C36040 — 2017 Curb Ramp Modification Project (Project No. 753-17) (Westcon Construction Group, Inc., Indio, CA). Rec: By Minute Motion, accept the work as complete and authorize City Clerk to file a Notice of Completion for the subject project. J. REQUEST FOR APPROVAL of Various Events Including the Consumption of Alcohol at the Palm Springs Art Museum in Palm Desert, 72567 Highway 111. Rec: By Minute Motion: 1) Approve temporary waiver to Palm Desert Municipal Code (PDMC) Sections 9.58.010 and 9.58.020 - Possession/Consumption of Alcohol on City Property - in conjunction with events related to First Weekend, annually occurring special events, and the City's Farmer's Market/Yoga; 2) authorize City Manager to approve up to five (5) additional temporary event waivers to PDMC Sections 9.58.010 and 9.58.020 - Possession/Consumption of Alcohol on City Property - if needed throughout FY 2017-2018. 9 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 K. REQUEST FOR AUTHORIZATION to Release Improvement Security in the Amount of $30,976.50 for Off -Site Improvements to Technology Drive Related to the Fairfield Inn Project (MMP Properties, Inc., Applicant). Rec: By Minute Motion, authorize release of improvement security in the amount of $30,976.50 for off -site improvements to Technology Drive related to the Fairfield Inn project. L. REQUEST FOR APPROVAL of an Extension to the Temporary Partial Road Closure of Larkspur Lane from September 2 - October 13, 2017, for Hotel Paseo Construction. Removed for separate consideration under Section XIII, Consent Items Held Over. Please see that portion of the Minutes for Council discussion and action. Mayor Harnik requested item F and L be removed for separate consideration under Section XIII, Consent Items Held Over. Upon motion by Weber, second by Nestande, and 5-0 vote of the City Council (AYES: Jonathan, Kelly, Nestande, Weber, and Harnik; NOES: None), the remainder of the Consent Calendar was approved as presented. XIII. CONSENT ITEMS HELD OVER F. REQUEST FOR DECLARATION of Surplus Property and Authorization for Disposal for Various Pieces of Office Furniture. Mayor Harnik asked if the surplus items would be sold at the City's garage sale. Mr. Greenwood answered yes. Councilmember Weber moved to, by Minute Motion, declare various pieces of office furniture listed on the accompanying staff report as surplus and authorize disposal, as recommended. Motion was seconded by Kelly and carried by a 5-0 vote (AYES: Jonathan, Kelly, Nestande, Weber, and Harnik; NOES: None). L. REQUEST FOR APPROVAL of an Extension to the Temporary Partial Road Closure of Larkspur Lane from September 2 - October 13, 2017, for Hotel Paseo Construction. Mayor Harnik stated the closure of Larkspur Lane is to help thing go smoother for the hotel, noting that at the back of The Gardens they have opened up the gate in order to provide access to the parking. Under the circumstances, she suggested leaving the road closed until construction is complete instead of to a date certain of October 13, 2017, because the closure is to provide safety and expedite construction. 10 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 Mayor Harnik moved to, by Minute Motion, approve the partial street closure of Larkspur Lane to remain closed indefinitely until construction is complete. Councilmember Weber seconded the motion. Councilmember Kelly stated staff has been very careful at each step to consult with The Gardens about what's happening to make sure it's not a detriment. She suggested amending the motion to include investigatory steps by staff to ensure no problematic hardship is created for nearby businesses. Mayor Harnik remarked that the hotel needs to be completed as soon as possible and there is access to The Gardens and businesses on Larkspur Lane. She hopes to avoid having staff come back to Council for an extension at a time when it won't be having a meeting, including shutting down the hotel from their progress. Mayor Pro Tem Jonathan said he preferred setting a date certain, and if more time is needed, it can be reviewed at that time. Economic Development Manager Ruth Ann Moore stated the timeline is a little moveable on the load -in, which is all the beds, fixtures, and finishes that will have to go up the elevators. Therefore, she offered a compromise to extend the street closure until the November City Council meeting, allowing staff to have conversations with The Gardens and/or have them weigh in, especially since it's around Thanksgiving. Mayor Harnik pointed out there will only be one meeting in the month of November. Ms. Moore replied that extending the street closure to November would work and it won't impact any of their holiday traffic. Ms. Klassen stated the City Council meeting date is November 16. Mayor Harnik moved to, by Minute Motion, as amended to extend the existing temporary, partial street closure of Larkspur Lane from September 2 - November 16, 2017, for Hotel Paseo construction. Motion was seconded by Weber and carried by a 5-0 vote (AYES: Jonathan, Kelly, Nestande, Weber, and Harnik; NOES: None) XIV. RESOLUTIONS None 11 PRELIMINARY MINUTES v, ' - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 XV. ORDINANCES A. For Introduction: 1. ORDINANCE NO. 1330 - AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, AMENDING PALM DESERT MUNICIPAL CODE SECTION 9.24.070 RELATED TO WORK HOURS FOR CONSTRUCTION ACTIVITIES. Mr. Greenwood stated it was recently reported in the news that it has been the hottest summer ever, which coincides with the number of heat -related injuries suffered by contract workers doing work in the parks, landscape maintenance, paving crews, etc. As a humanitarian effort, he has been approving, on a case -by -case basis, to start work earlier than normal, which is usually 6:00 a.m. He has been approving them at first light, which is about 5:30 a.m. during these hot months. He said it has worked out fine, so staff was recommending that it become the standard and allow all kinds of construction work to start at 5:30 a.m. during the summer. Councilmember Nestande agreed, but now that the day is getting shorter, it's dark at that time, questioning if that would be an issue. Mr. Greenwood explained the intent is to allow workers to do the work for the amount of light that exists at that time, stating every week lighting is a little different. Therefore, during the months with the most Tight early in the morning, which are the summer months, staff was recommending starting at 5:30 a.m. Councilmember Weber asked if there had been complaints about hearing noise that early in the morning, because some residents have complained about the trash trucks at 6:00 a.m. Mr. Greenwood said no. Mayor Pro Tem Jonathan said he was not inclined to make the change, because he receives comments, including through the Next DoorApp about work and gardeners. He believed the City has already compromised with the 6:00 a.m. start time, which is really early for a lot of folks, so he felt 5:30 a.m. was going beyond a reasonable compromise. Additionally, he believed the heat -related injuries were more about how long workers kept working into the heat of the day versus what time they start. He has empathy for those that have to be out there in the heat, but he believed the City had already reached a good balance. 12 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 Councilmember Nestande pointed out that by 8:00 a.m. it was already well more than 100 degrees, and wondered if Mayor Pro Tem Jonathan was suggesting shortening the work day. Mayor Pro Tem Jonathan stated that amazingly, these folks that work outdoors, do tend to go to mid -day during the summer as opposed to starting at 8:00 a.m. and going until the late afternoon. For him, the earlier start is intruding into peoples quiet enjoyment of their home and their ability to get their full -night of sleep, which is the feedback he's getting. Councilmember Weber noted Mr. Greenwood has been approving on a case -by -case basis and it has worked out so far, so she didn't see a need to change the Ordinance, because then everyone under the sun decides they want to start earlier. Mr. Greenwood explained it was working on a case -by -case basis for the people that know to ask. In response to Mayor Pro Tem Jonathan's comments, the workers that start 30 minutes early end their day 30 minutes later, but workers will still be in the heat. The intent is to try to make it a little bit better. Councilmember Kelly stated the entire economy and enjoyment of the community depends on people who are willing and able to work in the horrific onerous conditions of the summer. She would error on the side of making an adjustment that makes it slightly more safe for people who have to work outdoors exposed to the hottest part of the day, and on balance, that weighs more heavily for her than the potential that someone who couldn't bear the 30-minute difference in their sleep. Councilmember Kelly moved to waive further reading and pass Ordinance No. 1330 to second reading. Motion was seconded by Harnik. Mayor Harnik said there has definitely been an increase in temperature, and the City depends on those workers for the construction and beauty of Palm Desert, and if a half hour can make it a little less onerous. She was willing to do what was more humane, more considerate and caring, and half an hour is not too much to ask. Councilmember Weber asked the City Manager if it was an unreasonable hardship on the Director of Public Works to individually approve things on a case -by -case basis for starting work earlier. Ms. Aylaian said it was not an unusual hardship or harsh burden, but she did agree that in order to provide fairness to all, and to get the 13 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 word out to everybody, changing the rules would be a better and more consistent way of spreading the benefits that would be accrued to those that use them. Mayor Harnik said the benefit was good for those that know who to call, but that entails a series of questions and a task that doesn't need to exist. By changing the rules on the Ordinance, everyone knows they will have an opportunity to be out there a little earlier, which makes for better governing. Mayor Pro Tem Jonathan clarified his position, not for the purpose of swaying anyone's decision, because the point has been made that the Council had to be fair and compassionate. He believed the City already did that already, because normal start time is 7:00 a.m., and in recognition of health and well-being of those wonderful folks toiling outside, the City made the start time earlier to 6:00 a.m. It's not that he doesn't have compassion or caring for these individuals, it's that he believed the City has already done what it should and struck a balance between the workers and residents needs. Mayor Harnik called for the vote and the motion carried by a 4-1 vote (AYES: Kelly, Nestande, Weber, and Harnik; NOES: Jonathan). B. For Adoption: None XVI. NEW BUSINESS A. REQUEST FOR APPROVAL OF MARKETING PLAN AND RELATED MEDIA PLAN FOR FISCAL YEAR 2017-2018. Tourism and Marketing Manager Thomas Soule noted the staff report and Marketing Media Plans for the 2017-2018 fiscal year. He said both documents have been reviewed by the Marketing Committee, which is comprised by marketing directors from a variety of Palm Desert community partners, including JW Marriott Desert Springs Resort, The Living Desert, Bighorn Golf Club, the McCallum Theatre, Palm Springs Art Museum -Palm Desert, Westfield Palm Desert, and The Gardens on El Paseo, and this group of professionals reviewed the Marketing Plan at its regular meeting of June 6, 2017, and unanimously approved it, and at its September 5 meeting, the Committee unanimously approved the Media Plan. Councilmember Nestande noted she sat in on the meeting the other day and thought the presentation was very informative, adding Mr. Soule was doing an amazing job. She inquired about H & L Partners. 14 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 Mr. Soule replied he worked with H & L Partners to direct their efforts to do the research, and throughout the year as results come in, the data is reviewed together and they make the necessary adjustments accordingly. Councilmember Nestande stated that because she sits on the Short-term Rental Committee, she wondered if there was any data on the people it targets and whether they have a preference for hotel or short-term rental, and do they want three-day bookings. She asked if staff could get that information without too much cost or no cost. Mr. Soule said he didn't have any data at the ready, however, he knew people that visit Palm Desert utilizes all elements the City offers in terms of housing, such as hotels, short-term rentals, boutique inns, etc. He said he would be happy to investigate. Councilmember Kelly stated the City's target market is defined as various parts of southern California or in -Valley visitors, and she fully appreciates why it's the City's priority. She asked if staff has thought about developing the in -State fly market, because everyone has their own antidotal experience, stating she has lots of contacts in northern California and the people she knows there who travel to the Coachella Valley think first of Palm Springs, and once they get here, they discoverthe amenities of Palm Desert. Certainly the demographic the City is targeting is well represented in northern California and possesses arguably a significant amount of discretionary travel dollars. Mr. Soule said it was a very good point and he has had discussions with H & L Partners about this and those in the Marketing Committee. In previous years, the City's Marketing and Media Plans were spread more thinly across a broader geographical area, but staff made the decision to focus, on what it considers the low -hanging fruit of the actual drive market, which is Los Angeles, Orange, and San Diego Counties; there are a lot of people in these counties that book getaways. He said the City has a very short booking window of 30 days for people planning getaways to the Desert, and they have been successful in effectively reaching them. However, Councilmember Kelly's point is well taken, because as flights have become more affordable, from San Francisco specifically, it's almost another drive market. He's working to fit the City's effort with the Convention and Visitors Bureau (CVB), which then fits with "Visit California," and "Brand USA," to avoid duplication, which is why Palm Desert targets in -Valley visitors. Once visitors are Palm Desert, they are being reached digitally with marketing messages to bring them into El Paseo for dining, shopping, and lodging. He added this month he is meeting up with the CVB in San Francisco to talk with journalists and let them know about Palm Desert. He's trying to fit the City's effort with what the CVB is doing to reach those other markets. Additionally, this summer he went up to Canada with the CVB to make sure that as they are spreading 15 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 information about Palm Springs, that the Palm Desert message is also being delivered. He had a discussion about next year's plan on whether to expand to include the San Francisco Bay area in the digital marketing. Staff is analyzing its digital spending to see if it can do it without minimizing the effect it's having. Councilmember Kelly moved to, by Minute Motion, approve/authorize: 1) Marketing Plan for FY 2017-2018; 2) Media Plan for FY 2017-2018; 3) creation of a purchase order in an amount not to exceed $406,000 for media buy expenditures related to H & L Partners (Contract No. C34642) executing the Media Plan — funds are available in the FY 2017-2018 Marketing Budget; 4) an additional $15,000 to be used at the City Manager's discretion for extra work that may arise during the year, as defined and provided for in said contract with H & L Partners — proposed Market Plan and Media Plan reflect the funding requested within the FY 2017-2018 Marketing Budget, as well as the Marketing Services Contract with H & L Partners — no additional funds are being requested as part of this approval. Motion was seconded by Nestande and carried by a 5-0 vote (AYES: Jonathan, Kelly, Nestande, Weber, and Harnik; NOES: None) B. REQUEST FOR APPROVAL OF THE USE OF IDENTIFIED METHODS TO DISPOSE OF REAL PROPERTY (JOINT CONSIDERATION WITH THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY). Mr. Greenwood explained that with the dissolution of redevelopment agencies a few years back, cities are required to dispose of all properties owned by the agencies. The City Manager has set a goal to complete disposal of the numerous properties that Palm Desert's Successor Agency owns by June 30, 2018. In order to expedite the process, staff would like Council to approve the identified methods for disposal of those properties. Staff is recommending that each property would be sold through one of three methods, either through a sealed bid process, an auction process, or sale through the open market in a normal real estate transaction. Staff intends to focus on the sealed bid and auction process, because they afford certainty and time, allowing staff to conduct these sales before the deadline of June 30, 2018. Staff recommended approval of the methods mentioned, and allow the City Manager to determine which method applies to each property. Councilmember/Director Kelly moved to, by Minute Motion: 1) Approve the use of sealed bid, auction, and open market methods for sale of real property; 2) authorize City Manager to determine which approved method is appropriate for each property — fund availability will be identified on a case -by -case basis, depending upon the property and reason for disposing of it. Motion was seconded by Nestande and carried by a 5-0 vote (AYES: Jonathan, Kelly, Nestande, Weber, and Harnik; NOES: None). 16 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 C. REQUEST FOR AUTHORIZATION OF RESTORATION INCENTIVE IN AN AMOUNT NOT TO EXCEED $50,000 IN MATCHING FUNDS FOR THE MILES BATES HOUSE LOCATED AT 73697 SANTA ROSA WAY (APN 627-102-024). Councilmember Weber recused herself from this item, because she sits on the board of the Historical Society, which is raising funds for this purpose. Mr. Greenwood stated the subject property is the Miles Bates House, which is a former redevelopment property that the City is to dispose or sell off. The property is historically architecturally significant, and it's worth saving if it can be done reasonably. Staff recommended a process where the City will work with Modernism Week to try to market the property directly to people who are interested in Modern Architecture. To give the property a fair chance of being restored to its architecturally significant status, the City needs to offer an incentive to the buyer to have renovated. Therefore, the recommendation is to offer a $50,000 reimbursement to the person renovating the house once the work has been performed. Ultimately, the buyer would have to invest $100,000 up -front to get $50,000 back from the City. Councilmember Nestande asked if staff had any idea what the cost would be to renovate the home and did it fit into the market analysis of the area. Mr. Greenwood replied it did not fit into the market analysis of the area, stating it's surrounded by multi -family homes, and this is the only single-family on the block, and the cost of renovations would be well in excess of $100,000, adding he would estimate it was closer to $200,000. Responding to comment, he confirmed there are three rental units in the back of the home. Mayor Pro Tem Jonathan commented that the sale of the property would be by the Successor Agency and the proceeds would mostly go to the State. He asked if the matching incentive program or contribution was recoverable before the State gets it all. Mr. Greenwood said staff has discussed that issue at lengths, and they believe the funds would have to come from the General Fund or City side of things and not the Successor Agency. Mayor Pro Tem Jonathan said it may be worth pursuing, because he understood that cost incurred are recoverable before the State takes it share. He would like staff to explore it to ensure it's not missing an opportunity to get that $50K back. Councilmember Kelly thanked staff for bringing this item forward, because the City Council just approved the City's Marketing Plan, and from everything 17 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 she has read, the things that attract people to a traveled location, is the opportunity is to experience something special and unique, and architecture is not only unique in the United States, but in the world. Further, she thought it was an excellent investment for the City to make this contribution to increase the probability for this property to be preserved and enhanced. Councilmember Kelly moved to, by Minute Motion: 1) Authorize an amount not to exceed $50,000 in matching funds for restoration of the Miles Bates House located at 73697 Santa Rosa Way; 2) appropriate $50,000 for the matching funds from unobligated Fund 400 to an account to be created. Motion was seconded by Harnik and carried by a 4-0 vote (AYES: Jonathan, Kelly, Nestande, and Harnik; NOES: None; ABSENT: Weber). XVII. CONTINUED BUSINESS A. REQUEST FOR AUTHORIZATION TO IMPLEMENT A COMMUNITY CHOICE AGGREGATION PROGRAM AND APPROVE THE DESERT CITIES ENERGY CHOICE JOINT POWERS AGREEMENT FOR SAME (Continued from the meetings of July 13 and August 24, 2017). Mr. Stendell requested the City Council continue this item one more time to the meeting of September 28, 2017, in order to review the final revisions and reviews from CVAG responses to Council's request. Mayor Pro Tem Jonathan shared that this matter was first before the City Council on July 13, continued to August 24, 2017, September 7, and now September 28. He understood continuing it to September 28 will not present a hardship in terms of the time line that CVAG is seeking for implementation of the Joint Powers Agreement and the Community Choice Aggregation Program (CCA). Having represented the City at all the Ad Hoc Work Group meetings, they received notice of staff's recommendation for another postponement, which is generally not advisable. In this particular case, he knew there were good reasons for staff to try to stretch it to the last second to get any remaining questions answered and resolved, but as a matter of general practice, especially as one Councilmember who represents the City in various committees/commissions and ad hoc work groups, a heads -up and an explanation for why there is a need for an extension, and to perhaps weigh in, was a better way to do business as a City. However, he knew there were prevailing and worthy reasons for seeking this further postponement and hoped it will be the last one in this particular case. Councilmember Nestande stated she appreciated all the time spent by Mayor Pro Tem Jonathan on the CCA, because it's a complex issue in terms of the financials. She added she met with Mr. Tom Kirk, Director of CVAG, and explained the CCA to her and felt it was great. However, then she talked to somebody from Riverside County who has a different opinion. She said Western Riverside County of Governments (WRCOG), Riverside 18 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 County, and CVAG met yesterday, and she believed there is disagreement on the numbers and how they are coming up with the financials, which is why she thinks this matter keeps getting extended. What would help her is a Study Session where WRCOG, Riverside County, and CVAG make a presentation to staff and the City Council. Mayor Pro Tem Jonathan stated that as a representative on the Committee, he was unaware of such meeting to address the Desert Cities JPA, and he wasn't sure why WRCOG and Riverside County would weigh in or impact Palm Desert's decision. MS. KATIE BARROWS, CVAG's Director of Environmental Resources, confirmed there was a meeting with Riverside County and WRCOG, stating they have had some ongoing discussions with Riverside County, and because of prior meetings here at Palm Desert and other cities, there has been a request for information about the Riverside County' plan for a CCA. Quite honestly, CVAG had not received any information from Riverside County until yesterday's meeting, and the comparison that was given to CVAG wasn't accurate. In any case, the matter was discussed and they recognized the comparison wasn't apples to apples. Essentially, the purpose of the meeting was to have some answers for when the questions are asked and to be aware of what the County's Plan entailed. From her perspective, the information that was presented to CVAG wasn't accurate. Mayor Pro Tem Jonathan asked if the County or WRCOG express reservations or concerns about the buyability or economic sustenance of a CCA that might be formed. MS. KATIE BARROWS explained the County has engaged a firm called Good Energy, which is a one -stop shop where they would essentially provide all the services, and they were interested in comparing that presentation to the numbers that CVAG has from the Energy Authority, the firm CVAG selected, including comparing the cost to the consumer. She said they plan to bring that forward to the Board of Supervisor and there have been some questions from the Board about what CVAG is doing, etc. It was an effort to make sure that whatever information is being presented is accurate or actually an apples to apples comparison. She said CVAG has been working with County staff to make sure that numbers being presented for the cost of the program they are contemplating, can be reasonably compared to the numbers CVAG is looking at. Mayor Pro Tem Jonathan made the comment that it was a floating issue and hopefully it can be addressed and resolved by the meeting of September 28 where staff can address it. 19 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 MS. KATIE BARROWS said they have been working on getting that issue resolved and may be straightened out by tomorrow, at which time the information can be shared. Councilmember Kelly remarked that the more this is issue is discussed, it's clear a continuance on the matter is needed. Councilmember Weber questioned if any of the new information will affect the City Attorney's response on how well the Agreement was written, the risk involved, etc. Mr. Hargreaves replied he hasn't seen the new information, but it's unlikely to be affected by any of the information that's coming forward. He said if the program is implemented, there is always a risk, but it's manageable and well within the kinds of risk the City typically deals with on other agreements. The risk that everyone is trying to identify, is the financial risk to the City in going forward and maybe having to pull the plug. In the past, Council wasn't entirely clear on that aspect, so hopefully it can be sorted out by when the Council has to make a decision. Mayor Harnik said the three-week postponement is a wise investment in order to make an informed decision, and it's the prudent thing to do. Councilmember Kelly moved to, by Minute Motion, continue this item to the meeting of September 28, 2017. Motion was seconded by Jonathan and carried by a 5-0 vote (AYES: Jonathan, Kelly, Nestande, Weber, and Harnik; NOES: None). XVIII. OLD BUSINESS None XIX. PUBLIC HEARINGS A. REQUEST FOR APPROVAL OF A ZONING ORDINANCE AMENDMENT — PALM DESERT MUNICIPAL CODE SECTION 25.34.120 - CANNABIS USE AND REGULATIONS; CHAPTER 25.16 - COMMERCIAL AND INDUSTRIAL DISTRICTS AND CHAPTER 25.18 - DOWNTOWN DISTRICTS — TO ALLOW FOR CANNABIS BUSINESSES WITHIN THE CITY, SUBJECT TO A CONDITIONAL USE PERMIT; AND ESTABLISHMENT OF PALM DESERT MUNICIPAL CODE CHAPTER 5.101 - COMMERCIAL CANNABIS REGULATORY PERMITS, Case No. ZOA 17-027 (City of Palm Desert, Applicant) (Continued from the meeting of August 24, 2017). Mr. Hargreaves explained that Councilmembers are not allowed to participate in or vote on matters in which they have conflicts of interest. Since the City has engaged in this exercise of examining the City's cannabis 20 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 regulations, different Councilmembers at different times have become aware that they have business relationships that could lead to potential conflicts. At the last meeting, two Councilmembers announced they had a conflict and now there is a third. Councilmember Nestande has indicated that she has a conflict, which puts the City in a situation where it has three Councilmembers in conflict in a particular instance. Normally, Councilmembers recuse themselves and leave the room, but it puts the Council in a difficult position, because in order to have a meeting, it requires three Councilembers. The law requires that under these circumstances, it chooses one Councilmembers randomly to participate in the agenda item. Therefore, by the drawing of straws, it was determined that Councilmember Weber would participate and Councilmembers Harnik and Nestande will recuse themselves. He added that Councilmember Weber will remain as the designated participant on this matter. Responding to question, Ms. Klassen confirmed this was a continued public hearing. Mr. Stendell recalled for the City Council that it provided clear direction to staff with how to proceed with caution relating to cannabis use within the City. Also, there was interest by staff and Councilmembers to take a look at a few operations around the Valley. For lack of a better term, he said the City didn't need to be in a rush, because staff wants to heed the caution of the Council in looking for the best way to address the limitation or spacing of potential retailers and its selection process, etc. Staff requested another continuance to the meeting of September 28. He noted the public hearing was left open and there are a couple of speakers that wish to comment. Councilmember Kelly pointed out the revised Ordinance will have the first reading at the September 28 meeting. Mayor Pro Tem Jonathan stated that if Council takes action on September 28, the earliest the Ordinance would be in place is 30 days later or the end of October. He said the City then has to take steps to be ready for licenses potentially being issued by January 1. He asked if that was enough time for staff. Mr. Stendell replied it wouldn't leave the City exposed or in any window where the State might be overriding the City or anything of that nature. It would put the beginning of applications potentially being taken a little bit back, however, staff would still be processing Conditional Use Permits (CUPs) well into 2018 before it grants any permits. Mayor Pro Tem Jonathan asked about what an Applicant would need from the City before going to the State and apply, and would the City be in a position to provide the applicants with a license prior to January 1. 21 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 Mr. Stendell said yes, but the State would not issue a license to that business until the City has acted. There's going to be some period where applications are in limbo, stating Palm Desert will be in the same boat that most jurisdictions are, if not ahead of the curb slightly. With the public hearing open, Mayor Pro Tem Jonathan invited public testimony FAVORING or OPPOSING this matter. MS. HEIDI HEXOM, Circle A Drive, Palm Desert, stated she was a resident of Palm Desert and owned and operated a medical marijuana delivery service that has been servicing Riverside County, including residents in Palm Desert. She said if the City lifts the ban and limiting the number of licenses issued, it won't allow for good business to win out, because there is no competition. Her experience with the few dispensaries allowed to operate in Palm Springs, is that they are not necessarily doing the best job and the same could be repeated in Palm Desert if it only allows a handful of people to do it. Additionally, some of the requirements predetermine or limit the number of licenses, because only so many people could afford a license or is able to get approved by the State. She asked the Council to allow good business to win out. As a resident of Palm Desert, she was not in favor of retail on El Paseo or Westfield Mall, including limiting advertising for medical marijuana within City limits and exterior buildings. She said limiting business signage to a one -square foot sign on the door makes these businesses more discreet. MR. DAVID FLETCHER, President of the El Paseo Business Improvement District and Executive Vice President of Chatwell Properties. On behalf of the El Paseo BID, the District discussed this item and it had a lively discussion. At this point, the Board has not reached a formal opinion or consensus on whether or not a medical dispensary should be allowed on El Paseo. There is concern among the various board members about the impact that a dispensary may have on the image, and whether or not the additional foot traffic would offset that concern. Many factors need to be taken into account should a dispensary be permitted on El Paseo, like taking into consideration how surrounding business owners felt, not necessarily the whole street, including knowing who the operator is, how will the operation be run, and what is the security issues. He said the Board recommended the City Council move forward with the upmost caution until an impact of this type of use on the City and the image of El Paseo can be better determined. He said both the City and businesses on El Paseo have invested millions of dollars building the image, and everyone needs to be careful not to let anything tarnish it. On behalf of Chartwell Properties, Mr. Fred A. Fern, the founder and CEO of the Company, wrote a letter to the City Council outlining his concerns on the same. Mr. Fern requested that El Paseo be excluded from areas where dispensaries will be allowed in the City of Palm Desert should it allow medical marijuana dispensaries within the City limits. He 22 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 pointed out that Beverly Hills voted against dispensaries within their city, because both their planning commission and city council found that the dispensaries were not consistent with the upscale image of their city. He urged the Council to err on the side of caution until the water is clear and everyone understands exactly how these types of businesses will be perceived and the impact it will have on the image of El Paseo. MR. ROB BERNHEIMBER, Manitou Drive, Indian Wells, stated he has a few clients interested in the Palm Desert Ordinance. One of the things he heard since the last meeting, is that people are concerned about how a cannabis dispensary on El Paseo will impact the image of high -end. He did a little bit of research and in Aspen, where there is a dispensary right across the street from a Ralph Lauren shop, hasn't seemed to create any problems. There is also one right around a Gucci and an International Jewelry Store. If you look at Vancouver, Canada, there is a dispensary right down the street from a Disney store, a Hugo Boss, and a Kate Spade. In Seattle, right down the street from Macy's and Nordstrom's, and in Denver, Colorado, there is one right around the corner from a Gucci store. Therefore, these issues are not new when it comes to integrating dispensaries with high -end retail. The real question is how can the City craft it so it gets a retail establishment on El Paseo that is befitting of the character of the street. He believed the City was continuing the matter because it still had some standards it wants to implement, and he supported Palm Desert coming up with a criteria by which it can have such a high -end dispensary on El Paseo. He provided maps of the stores he mentioned and the location of the dispensaries, stating they can be searched on Google, adding he got the maps from Apple Maps. MR. KENNETH CHURCHILL, Owner of West Coast Cannabis Club in Cathedral City, introduced himself, stating he has a licensed dispensary in Cathedral City. As a potential applicant to the City of Palm Desert, he believed they are well represented. He said he understood the concerns for the types of people that might be submitting an application, and as someone who is in the industry and has a desire to be in Palm Desert, it's important to state the reason these applications will be pouring in, is that they understand the culture of the City and the opportunity, stating they are not here to tarnish it, but to contribute to the industry. Also, applicants who want to be on El Paseo know what they are getting themselves into and understand it's not going to do them any good to present a business on El Paseo that is undesirable. He said it wouldn't make any sense financially to invest the type of money it will take and not take into consideration how the local community will perceive it. He wants to make sure that it's expressed that the people in this industry, don't take these concerns lightly. He complimented City staff for doing a great job of crafting the regulations where Council has some control over architecture and signage plans to where it can weigh in on the look and feel of the dispensary. Secondly, he understood why a continuance is necessary, recognizing staff wants to have it figured out 23 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 beforehand. However, it was important to think about the property owners and applicants who are sitting on properties for three, four, and five months, waiting for this to come around hoping to lease their property, which can get expensive. With no further testimony being offered, Mayor Pro Tem Jonathan left the public hearing open. Councilmember Kelly moved to, by Minute Motion, continue the public hearing to the meeting of September 28, 2017. Motion was seconded by Weber and carried by a 3-0 vote (AYES: Kelly, Weber, Jonathan; NOES: None; ABSENT: Nestande and Harnik). B. REQUEST FOR APPROVAL OF A ZONING ORDINANCE AMENDMENT TO REVISE PALM DESERT MUNICIPAL CODE CHAPTER 25.56 - SIGNS - AND MODIFY SECTION 25.99.020 - LAND USE DEFINITIONS - TO ALLOW FOR FREEWAY -ORIENTED MONUMENT SIGNS ON PLANNED COMMERCIAL CENTERS ABUTTING INTERSTATE 10, Case No. ZOA 17-070 (Fountainhead Development, Applicant). Mr. Stendell stated this was a Zoning Ordinance Amendment as proposed by Fountainhead Development who recently approved the Master Plan and Specific Plan at the northeast corner of Dinah Shore Drive and Monterey Avenue. The request was originally submitted to amend the City's Sign Ordinance allowing Freeway Oriented Monument Signs in Planned Commercial Centers that directly abut Interstate 10, which are greater than 10 acres in size. The original proposal came in with one sign per 500-fee of lineal footage with a maximum of two signs per site, and a maximum height of 40 feet, in a 450 square -foot sign area. Staff and the Planning Commission ultimately recommended some minor modifications, but this was the original request from Fountainhead Development. As proposed and supported by the Planning Commission, the map displayed represented all the Planned Commercial Centers that have freeway adjacency and have 10 acres or greater in site size. There are four existing properties/sites that would qualify or meet the criteria as proposed by staff this evening. He pointed out that staff was not recommending approval of a specific sign this evening, but asking Council to look at a Zoning Ordinance Amendment that would allow freeway oriented monument signs to be presented for consideration. However, Fountainhead Development has done a good job of submitting a package that would thoroughly express what they want to do on their property that the Architectural Review Commission would use, if approved by the City Council. He noted the renderings were visual representations and required to be submitted if approved by the City Council. An applicant looking to get signs like these will be required to submit these types of renderings to the ARC as part of their proposal. He went on to display a day time and nighttime rendering of a sign that's typical; it's 40 feet in height in about a 450-square foot signage allowance. The Planning 24 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 Commission's recommendation to the City Council is supported by staff, which is that the City maintains, as proposed by Fountainhead, Planned Commercial Centers with direct freeway adjacency on a site size of 10 acres or more, that the signage be limited to a height of 40 feet, one sign per project, but allow a second sign for projects that exceed 1,600 feet of lineal frontage. The Planning Commission made a slight reduction to the sign area, by recommending a 400 square -foot maximum signage area, and for the Architectural Review Commission to approve a sign program that demonstrates architectural compatibility with the Center. Lastly, the Planning Commission recommended the ARC be given flexibility so they could go up slightly if the architecture of the sign merit it. He noted there are sections in the Code that allows the ARC to do this, and in staff's opinion, has been successful. He said if someone has a really good sign design architecturally, stating this isn't intended to allow signs to go higher, but intended for the design of the sign be more creative. Therefore, flexibility would be the determination of the ARC and ultimately could be called up at any time by a City Councilmember if they are uncomfortable with the decision. Responding to question, he said the ARC demands quality architecture, so one does not get easy approvals from them. Staff supports the Planning Commission recommendation as presented in the draft Ordinance 1331. He said staff noticed a few typos in the draft ordinance, but they are non -substantial, so staff is also requesting that minor modifications be made subject to the final approval by the City Attorney. Councilmember Kelly inquired about the four sites mentioned, questioning which of them met the 1,600-foot threshold. Mr. Stendell replied they all did, adding that the worse case scenario under the Ordinance would be eight signs. Mayor Pro Tem Jonathan said he couldn't recall an applicant other than the City coming forth with a Zoning Ordinance Amendment. Mr. Stendell agreed it's not a usual thing, but it has happened before. He said anyone can submit a request for a Zoning Ordinance Amendment, but it doesn't happen often. Mayor Pro Tem Jonathan stated he understood any signs that met the criteria would still require ARC approval, and it could be called up by the City Council. Mr. Stendell said that was correct. Mayor Pro Tem Jonathan noted that on page three of the staff report, there is a table comparing the proposed Ordinance for Palm Desert to several other cities, including four in the Coachella Valley. Staff is recommending 25 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 400-square feet, which is more than double the other cities, questioning if that was cause for concern, because Palm Desert is usually more conservative in that regard. Mr. Stendell responded that the Planning Commission looked at it and thought 450-square feet was too much and throttled it back to 400. He believed there was a balance, because the Applicant specifically addressed it. The Applicant was more than happy to design a quality sign that gets them to the higher square footage number, because the demand for signage was very important to their project, which resonated with the Planning Commission. Mayor Harnik pointed out the sign won't be as high or as tall as other cities staff drew a comparison with on the table shown on page three of the staff report. Mayor Pro Tem Jonathan stated he will have follow-up questions of the Applicant on that topic, because he knew they want freeway visibility, but he's wondering if these other cities are getting freeway visibility and readability, and why does Palm Desert have to almost triple its size. Councilmember Kelly commented so that people can stop in Palm Desert. Mayor Pro Tem Jonathan asked if it was conceivable for any of the vacant land along the highway/freeway corridor, or zoning that would permit additional freeway signs beyond the four being shown on the slide. Mr. Stendell answered no, stating that none of the four properties he mentioned is zoned Planned Commercial. He said over by Cook Street, you can find commercial properties, but they are not of ten acres or more. He added that staff's intention, including Fountainhead's, was to keep the signage to the freeway intersections, because it's where it made the most sense. Mayor Pro Tem Jonathan stated that based on staff's response to Councilmember Kelly's question, is that potentially, there could be eight signs between Monterey Avenue and Washington Street. Mr. Stendell said yes. Mayor Harnik declared the public hearing open and invited anyone wishing to address the City Council on this matter to come forward at this time. MR. JOHN LOPER, Development Consultant for Fountainhead Development, Irvine, California, thanked the City and staff for all their assistance with this request, stating it was determined to take this route 26 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 rather than getting approval through their Specific Plan. Responding to some of the questions by Council, he said the 1,600-square foot requirement is from the City's own Sign Ordinance, related to the number of monument signs on a street, so they mirrored that for the freeway frontage. In response to the question regarding sign size, the Sign Ordinances for the cities of Cathedral City and Palm Spring, both are 150-square feet per advertiser or business. For example one monument could have five panels, so that would be 7 x 150-square feet to total 750 square feet. He said Fountainhead is in support of the proposed Ordinance, stating the change will help with leasing activity in their Center and other major centers along the freeway. It's very important for tenants to be able to have a visual cue from the freeway. He pointed out these properties didn't back up against the freeway, because of the railroad tracks. Many of the properties, including the property on Dinah Shore and Monterey have a flood control facility that takes another 50 feet, including sewer lines easements, etc. He believes the change will assist them in the leasing process and will allow travelers to know there is retail at their location once they get off the freeway. He offered to answer any questions. Mayor Pro Tem Jonathan stated that it was hard to get a sense of scale from the photographs, and while the goals and objectives resonate with him, he also understands that once Council allows something, it's really hard to turn back the clock. He added that if Palm Desert ends up with eight signs of this magnitude, Council won't be able to change it if they don't like the way it looks. He asked how difficult it would be to put up a mock up of one of the pictorials so Council can drive by and actually get a sense for how big this monument sign will be. He's sensitive to putting the Applicant through undue burden and/or the alternative would be to steer the Council to existing signs, giving them a visual and sense for the scale of it. MR. LOPER stated that in their Specific Plan the hotel is allowed to go up to 60 feet for tower limits, and the main portion of the hotel is 50 feet. They are showing an elevation of a hotel that will be in the 50 to 55-foot range with a tower element, so the monument sign is in the 40-foot height range. Councilmember Kelly pointed out that before a sign is actually approved, under the Ordinance language, the Applicant would be required to submit a line of sight study and photo simulations, subject to ARC approval. Mr. Stendell concurred, stating there was an informal discussion with the ARC, and they stated it would be helpful to them to conduct a line of sight study, showing a section of the freeway and scale drawings. He went on to say that in some areas of the freeway, one is dealing with significant distances between the edge of freeway and where these signs may be located, and other areas are more shallow. Further responding, he confirmed there will be ample opportunity to assess scale and impact. 27 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 Mayor Harnik inquired as to the distance from Washington Street and the lot on Monterey Avenue displayed in red. Mr. Stendell responded it was close to five miles. MR. LOPER said there is a Walmart sign along Interstate-10 Freeway going east that is 90-feet high, and they are proposing one that is half the size. Also, there is a 75-foot TJ Max sign in Moreno Valley that is on the 60 Freeway and Frederick. Councilmember Nestande shared that with college kids at the University of Arizona, she takes Interstate-10 Freeway quite often, and even though she makes the drive at least three or four times a year, she forgets where her favorite fast-food restaurant is located, adding that seeing the sign, signals her to get off the freeway. She believes signs are very important and they can be tastefully done. Mayor Pro Tem Jonathan said he wasn't opposed to signage, but personally, he didn't want to make a mistake here, because there is the potential to adversely impact the quality of the City. He added that so much of the experience that residents and visitors have with Palm Desert is visual, which has been a great drawing card. Visually, Palm Desert is beautiful; the streets, landscaping, and buildings are beautiful. He shared that sixteen years on the Planning Commission taught him that approvals based on pictures aren't what it always gets, and line of sight studies tend to be pictures. He would like to approve the request, but he needed another step to take place for him to reach that comfort level and ensure the City was not making a mistake. He asked the Applicant to work with staff to erect something similar to what's in the drawing for Council to see. If the request is not feasible because of cost or other restrictions, he could respect that, but perhaps the Applicant can suggest other signs to see, stating he believed the City of Cathedral City has one that is 750-square feet. Councilmember Kelly said she was extremely impressed with the work that has gone into this draft Ordinance by the developer, staff, and Planning Commission. She invited Council to recognize the Ordinance has built-in protections by establishing not just the size but also an artistic criteria. It was no small thing to require line of sight studies and photo simulations, stating she was sure Council reads the results from the Architectural Review Commission and they are quite exacting. She said the proposed Ordinance was an excellent piece of work and the project is an extremely exciting one that the City wants to see succeed. Finally, she reminded everyone they were not talking about signage on El Paseo or San Pablo, but about freeway oriented signs, where Council can reasonably take a slightly greater risk on what the ultimate appearance might be for signs that are designed to get the 28 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 attention of passing cars off the freeway. Therefore, she was prepared to move for approval. Councilmember Weber stated she was in agreement with Mayor Pro Tem Jonathan in making a conscientious effort to be very conservative in terms of what to allow, because the City was already experiencing operating under other councilmembers on not so thoughtful ordinances, which is why this Council is extra cautious. She was curious what it would cost to do a mock up, because a picture is worth a thousand words, but the actual thing is very valuable. MR. LOPER said he spoke to his sign company, and if they were to mobilize one of their cranes to erect something at the height of the sign, it would cost about $2,000, but it would only be for one day, because each day would cost more money. However, that option would only give Council a sense for the height, because it's very difficult to hang a large sheet in this desert wind, and they could do that at one of the approximate locations they would be proposing; it would be a one -day event. He went on to say that building an actual structure and have it be held up in the wind for a short period of time would be very expensive. Mayor Pro Tem Jonathan stated that if the Applicant could see a way to doing that, it would be very helpful to him personally, and if so, he would further request that something be hung, such as flags on the corners to represent a 20x20 square. He said a square could be made out of PVC pipes to illustrate what the City would end up with at those locations. Councilmember Nestande questioned if that option would be better than driving by the Walmart sign in Indio, knowing what was being proposed would be half that size. Mayor Pro Tem Jonathan said he would intend to do both. Councilmember Kelly expressed her concern with this kind of exercise, stating it could actually confuse the issue and it won't have the architecture component that the ultimate product would have, so it's really not going to give a good experience of what is being approved. Further, Council is not approving a 20x20 sheet. Councilmember Nestande concurred. Councilmember Weber stated she believed it would help the ARC and the Planning Commission down the road, in that this step would have already been accomplished. She said Council can provide them the date to go see the mock up. 29 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 Mayor Pro Tem Jonathan reminded Council that this evening it was not approving a specific sign, but actually approving a Zoning Ordinance, which is about height, size, and quantity of signs. Therefore, in his mind, Council should not focus on the very attractive sign displayed, because that's not what is being discussed this evening. The topic was about size and area, and putting up a mock up, which the Applicant is willing to do, is more than what Council currently has. Mayor Harnik recalled that six years ago, she walked into the City Manager's office about helping the businesses along the freeway be more successful. She appreciates today's discussion, because great ideas have been raised, but Council is looking at five miles of freeway access. She heard people say they can look up a business on their cell phone, but we're not supposed to do that while driving. Additionally, the City has experienced businesses in the Costco Center struggle and goes out of business, adding that staff was looking for a change and it was high time to do it. Further, Council was talking about freeway signs, and she finds them helpful. Therefore, she wholeheartedly supported moving forward and helping businesses adjacent to the freeway. Lastly, she has watched Fountainhead go through such a process in trying to create a successful business and commercial area, and it was time for the City to help them in that endeavor. Mayor Pro Tem Jonathan stated he concurred 100%, but he wants to be prudent in this process, pointing out that other items on the agenda have been continued and re -continued, because Council was being careful and trying to avoid making a mistake. He went on to say he has grown to admire the Applicant, stating they are quality and trustworthy, and he's looking to move in their direction, but he wants to be cautious about it. He was in favor of continuing this item to next meeting or first meeting in October, stating it won't get in the way of the objectives stated by the Mayor, which he supports. Councilmember Kelly moved to waive further reading and pass Ordinance No. 1331 to second reading, amending Palm Desert Municipal Code Chapter 25.56 - Signs - and Section 25.99.020 - Land Use Definitions - to allow for freeway -oriented monument signs for planned commercial centers greater than 10 acres in size. Motion was seconded by Nestande. Councilmember Weber asked if the motion included the Applicant volunteering to do a mock up. Mayor Pro Tem Jonathan answered no, stating the motion was to approve staff's recommendation as presented. Mayor Harnik called for the vote and the motion carried by a 4-1 vote (AYES: Kelly, Nestande, Weber, and Harnik; NOES: Jonathan). 30 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 C. REQUEST FOR APPROVAL, OF THE AFFIRMATIVELY FURTHERING FAIR HOUSING/ASSESSMENT OF FAIR HOUSING PLAN FOR THE PERIOD OF FISCAL YEAR 2018-2019 TO 2022-2023. Ms. Riddle stated the City of Palm Desert as a direct entitlement community with the Community Development Block Grant Program was required to undertake the Assessment of Fair Housing Plan for the period of 2018-2022. Some of the general issues that were addressed in the Plan were segregation, integration, racially or ethnically concentrated area of poverty, disparities, and access opportunities such as quality schools, transportation, employment, and disproportionate housing needs. There were no significant findings or concerns relative to items A-C. In regards to the disproportionate housing needs, the City is experiencing housing problems for larger families at approximately 76.81%, which exceeds the region meeting the County of Riverside as a whole by 12.25%. There is an issue, but not as significant for smaller family households, stating the most significant disparity is between Hispanics and all other groups at 61 %. As part of the disproportionate housing needs is the cost burden, which has to do with how much of a household's financial funds go toward the housing cost. Substandard housing and overcrowding do not adversely impact Palm Desert households, however, two-thirds of the low income and moderate income homeowners are a cost burden and just over 40% are severely cost burdened. The most significant cost -burden disparity is between black households and other households. Again, there is an issue with large family households experiencing a severe cost burden, but not with smaller family households. She said these are the different areas that were addressed in the Plan. The housing disparity or disproportionate housing needs are an area of concern. Another issue that was addressed was the publicly supported housing, stating the analysis of access to opportunity relative to education, employment, transportation, and poverty shows no significant disparities in terms of race or between different neighborhoods. Affordable Housing is located in seven different tracts and that shows there are no geographical concentrations of affordable housing or people. Residents of affordable housing share the same access to opportunity that the occupants of market -rate housing do. She explained that even though residents in affordable housing are located in certain areas, they still have the same advantage as residents in market -rate housing, adding there is no geographical disparities in that regard. Under the disability and access, persons with disabilities, they had to look at the geographical concentration of residents and places where they might reside. Based on the review, the City does not have any geographical concentration of persons with disability, which means they are well dispersed within the community and not confined to one area or being segregated. Overall, the City has done well in its review of its assessment of fair housing, except in the identified areas of disproportionate housing cost -burden and housing problems for large 31 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 families. To address those issues, five goals were outlined within the Plan and are listed in the staff report. Councilmember Nestande asked if staff had one magic answer to make housing more affordable. Ms. Riddle replied that other than subsidies and things of that nature, maybe working with developers to build more affordable housing. Councilmember Nestande stated that's where the struggle is, because developers are saying they can't afford to build affordable housing, and she's asked the Desert Valley Builders Association (DVBA) to provide a breakdown of the State and Federal regulations that also impact the cost of a home to hopefully share it with staff to see if there are ways to mitigate that aspect. Mayor Harnik commented that Council can be mostly proud of the results, but how does the City compare to the last time this exercise was done. Ms. Riddle responded it was the first time the City has undertaken this activity. The previous review was an analysis of impediments to fair housing, so the comparison is really apples to oranges, but in the Plan, in most areas, the City was compared to the region. The result in most aspects, it was comparable or lower (better), except for in the disproportionate housing needs. Councilmember Kelly stated it was a fascinating compilation of information and gratified to see how well the schools rated, which was not a surprise. However, she was surprised to read that only 17% of Palm Desert households have children, and the conclusion is that the low number is perhaps a function of access or affordability or is a function of families with children wanting to live in Palm Desert, but not being able to. Ms. Riddle said she believed it was both, in that some choose to live in Palm Desert and others don't. In some cases it's a family's choice, and to some regard, it would be based on whether or not they can afford it, because housing cost burden is one of the problems listed in the assessment. She said it's more pricey to live in Palm Desert. Councilmember Kelly said the report is excellent and the steps put forth seem to be very measured and appropriate with the identified goals. Responding to question, Ms. Riddle said a large family is considered five or more, which includes the parents. Councilmember Weber commented the City couldn't be responsible for a family choosing to have lots of children. 32 PRELIMINARY MINUTES - SPECIAL - PALM DESERT CITY COUNCIL MEETING SEPTEMBER 7, 2017 Ms. Riddle agreed, but as a City with direct entitlement community, if it's something that's been identified, the City has to keep a look out for opportunities to build homes or apartments that have more bedrooms to accommodate large families. Mayor Harnik declared the public hearing open and invited anyone wishing to address the City Council on this matter to come forward at this time. With no public testimony being offered, she declared the public hearing closed. Councilmember Kelly moved to, by Minute Motion, approve the Affirmatively Furthering Fair Housing/Assessment of Fair Housing Plan for the period of FY 2018-2019 to 2022-2023. Motion was seconded by Nestande and carried by a 5-0 vote (AYES: Jonathan, Kelly, Nestande, Weber, and Harnik; NOES: None). XX. ADJOURNMENT With City Council concurrence, Mayor Harnik adjourned the meeting at 6:27 p.m. ATTEST: RACHELLE D. KLASSEN, CITY CLERK CITY OF PALM DESERT, CALIFORNIA JAN C. HARNIK, MAYOR 33