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PRELIMINARY MINUTES
REGULAR PALM DESERT CITY COUNCIL MEETING
THURSDAY, DECEMBER 10, 2015
CIVIC CENTER COUNCIL CHAMBER
73510 FRED WARING DRIVE, PALM DESERT, CA 92260
I. CALL TO ORDER - 3:00 P.M.
Mayor Weber convened the meeting at 3:02 p.m.
II. ROLL CALL
Present:
Councilmember Jan C. Harnik
Councilman Sabby Jonathan
Mayor Pro Tern Robert A. Spiegel
Councilman Van G. Tanner
Mayor Susan Marie Weber
Also Present:
John M. Wohlmuth, City Manager
Robert W. Hargreaves, City Attorney
Rudy P. Acosta, Assistant City Manager
Racheile D. Klassen, City Clerk
Russell Grance, Director of Building & Safety
Tony Bagato, Acting Director of Community Development
Martin Alvarez, Director of Economic Development
Paul S. Gibson, Director of Finance/City Treasurer
Janet M. Moore, Director of Housing
Frankie Riddle, Director of Special Programs
Dan Talbot, Division Chief, Palm Desert Fire/Riverside Co
Bill Sullivan, Asst. Chief, Palm Desert Police/Riverside Co
Grace L. Mendoza, Deputy City Clerk
Fire ❑eptJ Cal Fire
Sheriff's Department
III. ORAL COMMUNICATIONS - A (CLOSED SESSION ITEMS)
None
IV. ADJOURN TO CLOSED SESSION
Reauest for Closed Session:
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REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 10, 2015
A. Conference with Real Property Negotiator pursuant to Government Code
Section 54956.8:
1) Property: APNs 634-030-017 and 634-040-006
(South of Hovley Lane East)
Negotiating Parties:
Agency: John M. Wohlmuth/Rudy P. Acosta/Martin Alvarez/
City of Palm Desert
Property Owner: Coachella Valley Water District (CVWD)
Under Negotiation: x Price x Terms of Payment
2) Property: APN 627-071-013
(San Antonio Circle/Alessandro West)
Negotiating Parties:
Agency: John M. WohlmuthlRudy P. Acosta/Martin Alvarez/
City of Palm Desert
Property Owner: David & Agnes Holtz
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 Employment pursuant to Government Code Section 54957:
Title of Position: City Manager
With City Council concurrence, Mayor Weber adjourned the meeting to Closed
Session at 3:03 p.m. She reconvened the meeting at 4:06 p.m.
V. RECONVENE REGULAR MEETING - 4:00 P.M.
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None
VI. PLEDGE OF ALLEGIANCE TO THE FLAG OF
THE UNITED STATES OF AMERICA - Palm Desert Charter Middle School
Students Makenna Dawson and
Laila Taher
VII. INVOCATION - Councilmember Jan C. Harnik
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REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 10, 2015
Vill. ORAL COMMUNICATIONS - B
MS. RUTH MOIR, Palm Desert, Founder and President of The Steinway Society of
Riverside County, serving the Coachella Valley, advised the City Council that their
organization was first exclusively in Palm Desert, and as she was a musician for
some 50 years and a teacher of children during that time, thought it would be nice
to have classical concerts for schoolchildren here in the desert. As the economy
faltered, music was taken out of the schools; but she had the experience to add
many of those programs immediately for the children. The Steinway Society serves
20,000 children with music education in schools each year, totaling over 200,000
overthe years, one-third of them being in the Palm Desert area. She added they've
had piano labs at the Truman School that they wish to reactivate, having suspended
the program due to a lack of money — it is costly — but they anticipate returning,
have the equipment still on -site there, and are working closely with Superintendent
Rutherford to this end. Today she requested the City's $5,000 sponsorship for their
"Doctors of the Desert" Concert, their only fundraiser each year, with all of the
proceeds going into programs for County children. She noted having submitted a
much more in-depth request to Mayor Weber and hoped for favorable
consideration.
MR. MATT MONICA, Palm Desert, on behalf of himself and wife Mary Ann, first
expressed sincere gratitude to each of the Councilmembers and City staff,
addressing each Councilmember by name, preceded by the title of "The
Honorable," noting that as elected officials, they were to be addressed as such and
should continue to be even after they conclude their service on the City Council. He
added that the most important service provided to the citizens is by local elected
officials, and they should be recognized for it. Secondly, he reported that he and
Mayor Weber enjoyed a phenomenal visit to Gerald Ford Elementary School, which
has half of its students coming from the City of Palm Desert. He was reminded of
the number of quality schools in the City, as well as all of them in the Desert Sands
Unified School District, and he commended the City for its outstanding support of
its schools and the educational needs of its young people, even during tough
budgetary times. He specifically praised Mayor Weber for her interest and concern
that led to the Ford School visit, resulting from the City's participation at the Palm
Desert Charter Middle School Fundraiser (acknowledging Principal Sallie Fraser in
attendance today also), where Ford Elementary Teacher Lisa Larson invited him
and the Mayor to see her classroom — they were even recognized for doing so on
the school's marquee that day. Thirdly, he asked the City Council to give serious
consideration to adopting a designation. He recounted that former Councilman and
Palm Desert Rotarian Dick Kelly and he talked often about this idea —
"Palm Desert - the Extraordinary City, "The City in the Coachella Valley and the
County Beyond." Indio was known as the "Festival City," La Quinta was "Gem of the
Desert," etc., and he and his wife would be happy to serve in any capacity they
could to help the City with this project. He added that the City truly is the "Flagship,"
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REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 10, 2015
"The Heart," "The Cultural Center," "The Voice" -- all of it was true for Palm Desert.
He wished everyone the best, for a happy holiday season, and presented soon -to -
be outgoing Mayor Susan Marie Weber with a bouquet to thank her for her
leadership and service in the City this past year.
MR. ROBERT BERENS, representing the Board of Directors for Red Hot Ballroom,
stated their organization was founded by Mr. Bob Horn (also in the audience today
and would be speaking later on the agenda), eight years ago at the request of the
District Attorney, who wanted to keep kids out of trouble. Red Hot Ballroom was
now active in 39 elementary schools, all three school districts, teaching ballroom
dancing to around 1,800 children in the 41" 5t" and Bt" grades. When he first heard
about the program, he was startled to find out children of that age wanted to learn
ballroom dancing, and they do. Further, he was even more startled to find out that
their favorite dance is the waltz. But the most important thing they're doing is
teaching children good citizenship and how to stay out of trouble — learning good
manners, respect for others, particularly women, good teamwork, and self-esteem.
Program has been very well received at all the schools, now enjoying its eighth
year. He announced that they're preparing to hold a very important event, one of
their big fundraisers for the year, at the Indio Performing Arks Center on Saturday
night, January 16. It is black -tie optional, professional dinner theater, red carpet
event, promising to be great. He invited Councilmembers to attend, tell other
people about it, and enjoy themselves, leaving fliers about their organization and
the event.
MR. RAYM0ND RODRIGUEZ, Palm Desert, said that on behalf of the Palm Desert
Area Chamber of Commerce, he expressed their appreciation to Mayor Weber for
her year leading the City— her openness, accessibility, and integrity in fulfilling the
position is well noted, and he thanked her for her service to the City. Next, they
wished to welcome their longtime friend Bob Spiegel to the office of Mayor — an
ardent supporter of the business community over the past 20+ years, regardless of
the issues of the day or the personalities around him — a standard-bearer for the
hard-working Palm Desert business community. Thirdly, they welcomed staff,
anyone involved, specifically Ryan Stendell for the outstanding presentation he
made to the Chamber Breakfast this week and for which he's making and has made
other presentations around town so the public can examine what the Council is
considering for Palm ❑esert's future, and it was greatly appreciated. He went on
to say that much as the City is in a transition period, so, too, is the Chamber of
Commerce continuing to transition and grow; their primary goal moving forward is
establishing much stronger communication among the members and civic leaders.
That meant whenever the City received an opinion from the Chamber, it won't be
Ray's, or Carl's, or Laurie's, but will be a well -vetted business opinion that has gone
through hundreds of members and been discussed amongst the Board of Directors
of some 20 local leaders — one that is well -considered. He said they felt strongly
that this is important to support the Council in its service to the community and
looked forward to implementing this new process in the matter of food trucks. He
In
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REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 10, 2015
congratulated the City on its innovation and exploration of different ideas for the
future, and the Chamber is looking forward to putting together a position on the
proper role for these entities in the City. Lastly, on behalf of his Chamber of
Commerce colleagues, he expressed their confidence in that the City has the
Council it needs to move the City forward in the best possible way, thanking all
Councilmembers for their service.
MS. NIKOHL VANDEL, Coachella Valley resident, stated that George Zander
passed away today, and anyone who wasn't familiar with him and his work was not
very connected to this community. She added that the Desert Hot Springs Planning
Commission spent a minute in silence in his memory, indicating how hard it was felt
there. She referred to a friend from Sky Valley who counsels and helps heal
patients with various addiction issues, using sound therapy very effectively. She
said it was a challenge currently to even pretend that she's an American with the
violent mindsets making decisions for the nation and as a people.
MR. GIOVANNI PUCCI, Drum Major, Palm Desert High School Marching Aztecs,
expressed sincere appreciation to the City Council for its support of their recent trip
to Fresno to compete in the State Finals. He reported that out of the 12-band
division, only the top five advanced to Day 2, and Palm Desert was one with a score
of 79.5. The following day, the Marching Aztecs competed against bands from
three different divisions and received a score of 79.2. In addition to providing
unparalleled opportunity for growth and development, he spoke for the entire band
in reporting they had the time of their lives and could not emphasize enough how
thankful the Band is for the City's donation. Tonight the Band Program is holding
its annual Toys For Tots Charity Concert at 7:00 p.m. in the Palm Desert High
School Performing Arts Center, and he invited everyone to join them there.
MR. CAL BUTLER, Imperial Court East, Palm Desert, encouraged the City Council
to approve the CaliforniaFIRST Program that is on today's agenda (Section XIV -
New Business, Item E). He felt it was an extremely wise decision to bring more
competition to this program here and hoped the Council would vote in favor of it.
MR. TERRY COLLIER, Ajo Lane, Palm Desert, wished to reiterate a deep, deep
concern that he's expressed here in the past regarding undocumented people.
Today his feelings were mixed, acknowledging that in the past he's advocated for
trying to help these people as much as possible and do what can be done to get
them from being undocumented to a documented status and become part of
mainstream America. However, here in California there was a great deal of
resistance to this concept, with too many people way larger than him that really
don't want to see undocumented people becoming documented. It will affect the
economy of this state greatly for many who rely on simple household cleaning
services, gardening, painting, etc., and won't have that labor force at the desirable
hourly rate. The second issue he wanted to reluctantly raise was what happened
in San Bernardino last week is something that could have been worked on and
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REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 10, 2015
prevented years ago, and there were two things that now needed to be done very
quickly. First, stopping undocumented cell phones — everybody must have their cell
phone registered to their name with a legitimate billing address. Secondly, the
country had to put a stop to the dual banking system here. There are people who
want check -cashing companies to have such authority in their neighborhoods,
allowing money to be passed around very easily from organized crime or the like.
He recounted his own experience a few years ago in witnessing an individual
ordering the execution of his wife on an undocumented cell phone. He made the
effort of alerting the police, nothing got done, and that person is gone. He
emphasized that taking these actions would go a long way toward deterring such
events as what occurred in San Bernardino.
IX. AWARDS, PRESENTATIONS, AND APPOINTMENTS
A. PRESENTATION TO THE CITY COUNCIL OF AN UPDATE ON
PALM DESERT YOUTH COMMITTEE ACTIVITIES BY MEMBER
PATRICIA DAN.
Ms. Klassen reported that Ms. Dan was unable to attend today, so the
presentation will be postponed to a future Council Meeting.
B. INTRODUCTION OF NEWLY APPOINTED RIVERSIDE COUNTY FIRE
DEPARTMENT WEST DESERT DIVISION CHIEF DAN TALBOT.
Deputy County Fire Chief Dorian Cooley introduced Chief Talbot as
replacement for Chief Bill Hunley, who retired in early November after
serving in that position for the past three years. He went on to say that the
West Desert Division Chief serves a geographical area that runs roughly
from White Water on the west end to Washington Street on the east,
including the City of Palm Desert. He provided some biographical
information about Chief Talbot, noting that he could be considered a senior
staff member here in the Coachella Valley, having started in 1985 at the
Indian Wells Fire Station as a Firefighter/Paramedic. In 1986 he promoted
to Engineer/Paramedic and moved to Town Center Station No. 33 in
Palm Desert, running the first medical call on Medic No. 33 in the City.
Further, he's served in all of the City's Fire Stations in different roles, both as
Engineer and as a Captain for many years; served in the Training
Department, been a HazMat Captain, very involved and a lot of experience
in the Fire Department. Since 2009 Chief Talbot was a Battalion Chief for
the City of Indio's Contract Fire Department, and Chief Cooley was pleased
to be able to bring him back over to the Cove Communities and West Desert
following Chief Hunley. Chief Talbot is a resident of Bermuda Dunes, has
been in the position now for a few weeks working closely with City staff and
will serve the City very well.
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REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 10, 2015
Councilmembers welcomed Chief Talbot, who said it was his sincere
pleasure to be here today and be back in Palm Desert, having spent the
majority of his career here, highlighted by the time spent as a Truck Captain
on Town Center Station No. 33's Truck. He added that he was invested in
the community, believed in it and the direction in which it was going, noting
his in-laws were residents here and that his wife would be very disappointed
if he didn't make a pitch for Bermuda Dunes' annexation. He looked forward
to serving the City and its citizens, working with the City Council and staff.
C. REORGANIZATION OF THE CITY COUNCIL.
1 } SELECTION OF MAYOR AND MAYOR PRO-TEMPORE.
Councilman Tanner moved to appoint Mayor Pro Tem Robert A. Spiegel to the
office of Mayor far the coming year. Motion was seconded by Hamik and carried by 4-0-1
vote (AYES: Harnik, Jonathan, Tanner, and Weber; NOES: None; ABSTAINING: Spiegel).
Councilman Tanner moved to appoint Councilmember Jan C. Harnik to the office
of Mayor Pro-Tempore for the coming year. Motion was seconded by Spiegel and carried
by 5-0 vote (AYES: Harnik, Jonathan, Tanner, Weber, and Spiegel; NOES: None).
a} Comments by Outgoing Mayor and Mayor Pro-Tempore.
Former Mayor/now-Counci[member Weber said she seemed to be
constantly thanking everyone, sometimes it seemed overbearing, but
she was truly eternally grateful to everyone she had the opportunity
to work with — her colleagues, former Mayor Pro Teminew Mayor
Spiegel, past Mayors Harnik and Tanner, Councilman Jonathan for
his vast prior experience serving on the Planning Commission and for
sharing her affinity for the financial aspect of all matters. Her next
expression of thanks was for staff — they are consistently strong and
sturdy to support her, and she was further eternally grateful for all of
their responsiveness and support. She believed that staff was the
face of the City whenever anyone contacts City Hall; they are the first
point of contact. While Council has the benefit of receiving all the
compliments that Palm Desert is the greatest City in the Coachella
Valley, she wanted to let staff know it was because of them. Thirdly,
she thanked the community; it was very telling how many community
members were in attendance today. Without them, she didn't believe
the City would be as strong as it is -- they stepped up to participate
in the "Envision Palm Desert" project and on all of the Committees
and Commissions -- the City would not be where it is without them.
She was also grateful for community members who take the time to
help her understand issues that were important to them. She closed
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REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 10, 2015
by again expressing thanks for the great opportunity and honor to
serve as Mayor of the City of Palm Desert this past year.
Former Mayor Pro Teminow Mayor Spiegel recognized those in
attendance this afternoon for the Council's reorganization and
thanked them for being here: his wife Sharon, friends Roger & Joyce
Dash, Barbara deBoom, Dale Gribow, friends from Burrtec Waste &
Recycling, Palm Desert Area Chamber of Commerce, Palm Desert
High School Principal Bob Hicks, Josef Jonathan, and Carl Karcher.
He went on to say that last year was another successful one for Palm
Desert, the City Manager kept everyone in tow, the budget was met
and provided a little surplus; that's the way it's always been for 20+
years and will hopefully continue in the good times to come. He
enjoyed working for the City and working with the staff, he loved what
he does and again thanked everyone for being here.
b) Comments by Newly Selected Mayor and Mayor Pro-Tempore.
Mayor Pro Tern Harnik fully agreed with Mayor Spiegel's comments
above and also thanked everyone for being at today's meeting. She
added that it's been an honor for her to serve the community for the
last five years, serve the staff, and actually have the staff support her
the entire way; and of course, to serve with her colleagues. She
looked forward to another great year and to learning from Mayor
Spiegel, noting that this will be her first time as Mayor Pro Tern and
hoping to learn a lot in this position. Finally, she looked forward to the
year with her eye an the past to benefit from all the expertise and
wonderful things that have happened in the history of the City since
1973, a firm foot planted in today and looking with great vision toward
the future to make an even greater Palm Desert for everyone.
Mayor Spiegel then thanked Councilmember Weber for her term as
Mayor this past year, having been a good one. With what is by far the
best staff in the Coachella Valley, he looked forward to making next
year equally great —working to secure more hotels in the City in order
to raise more T.D.T. (Transient Occupancy Tax), keep retail growing
strong and remaining the capital of retail in the Coachella Valley. He
hoped Mr. Wohlmuth would keep everyone on the right track and
looked forward to 2016.
Action: 2015-2016 Officers
Mayor Robert A. Spiegel
Mayor Pro Tern Jan C. Harnik
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REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 10, 2015
X. CONSENT CALENDAR
A. MINUTES of the Regular City Council Meetings of November 12 and
November 26, 2015.
Rec: Approve as presented.
B. CLAIMS AND DEMANDS AGAINST THE CITY TREASURY - Warrants
Dated 111312015, 111612015, 11 /17/2015, 11 /20/2015, 11 /24/2015, and
1210112015.
Rec: Approve as presented.
C. CLAIMS AND DEMANDS AGAINST THE CITY/HOUSING TREASURIES -
Warrants Dated 1116l2015, 11/13/2015, 11/20/2015, and 11/25/2015 (Joint
Consideration with the Palm Desert Housing Authority).
Rec: Approve as presented.
D. COMPLIANCE ANALYSIS AND INVESTMENT REPORTS for the Month of
October 2015 (Joint Consideration with the Successor Agency to the
Palm Desert Redevelopment Agency).
Rec: Receive and file.
E. CITY COMMITTEE AND COMMISSION MEETING MINUTES.
1. Audit, Investment & Finance Committee Meeting of October27, 2015.
2. Citizens' Sustainability Committee Meeting of August 24, 2015.
3. Marketing Committee Meeting of October 20, 2015.
Rec: Receive and file.
F. APPLICATION FOR ALCOHOLIC BEVERAGE LICENSE by ALDI, 72543
Highway 111, Suite A & B, Palm Desert
Rec: Receive and file.
G. APPLICATION FORALCOHOLIC BEVERAGE LICENSE by Koutouki Greek
Estiatorio, 73675 Highway 111, Palm Desert.
Rec: Receive and file.
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H. APPLICATION FOR ALCOHOLIC BEVERAGE LICENSE by University
Village Mart, 36957 Cook Street, Suite 101, Palm Desert.
Rec: Receive and file.
LETTER OF RESIGNATION from Oxana Wolfson- Citizens' Sustainability
Committee.
Rec: Receive with very sincere regret.
J. LETTER OF RESIGNATION from Kerry Graves - Marketing Committee.
Rec: Receive with very sincere regret.
K. LETTER OF RESIGNATION from Arne Werchick - Rent Review
Commission.
Rec: Receive with very sincere regret.
L. REQUEST FOR APPROPRIATION OF FUNDS in an Amount Notto Exceed
$7,750 for Street Closures and Special Event Insurance for the Swing N'
Hops Street Party on El Pase❑ on February 6, 2016.
Rec: By Minute Motion: 1) Appropriate funds in an amount not to exceed
$7,750 for street closures and special event insurance for the
Swing N' Hops Street Party from the Unobligated General Fund to
Account No. 1104417-4321900; 2) authorize the City Manager to
execute any agreements related to street closures and special event
insurance for the Swing N' Hops Street Party in an amount not to
exceed $7,750.
M. REQUEST FOR APPROVAL of Temporary Waiverto Palm Desert Municipal
Code (PDMC) Section 11.01.180 (Vendor Sales) for the 2016 New Balance
Palm Desert Half Marathon and 5K Event at the Civic Center Park on
January 24, 2016 (Matt Sills/Southland Events, LLC, Applicant).
Rec: By Minute Motion, approve temporary waiver to Palm Desert
Municipal Code (PDMC) Section 11.01.180 - Prohibited Conduct
Generally in City Parks, Item Q - Vendor Sales, for the 2016 New
Balance Palm Desert Half Marathon and 5K Event at the Civic Center
Park on January 24, 2016.
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N. REQUEST FOR EXTENSION of Contract with White Nelson Diehl Evans,
LLP, to Perform Auditing Services for the City and its Related Entities for
One Additional Year (Contract No. C27546).
Removed for separate consideration under Section XI, Consent Items Held
Over. Please see that portion of the Minutes for Council discussion and
action.
O. REQUEST FOR APPROVAL of Lease Agreement with Jeff Alley DBA: Malka
Joy Alley for Office Space No. 5 at the Portola Community Center (Contract
No. C34880).
Rec: By Minute Motion, authorize the Mayor to enter into a one-year Lease
Agreement with Jeff Alley DBA: Malka Joy Alley for Office Space
No. 5 at the Portola Community Center.
P. REQUEST FOR AUTHORIZATION to Purchase a 2016 Ford Flex from
Fairview Ford of San Bernardino, California, in the Amount of $28,730.27.
Rec: By Minute Motion, authorize the purchase of a 2016 Ford Flex from
Fairview Ford, San Bernardino, California, in the amount of
$28,730.27. Funds are available in Account No. 5304195-4404000,
Fleet Replacement.
Q. INFORMATIONAL REPORT on the F1 RSTWeekend "Street" Event at
Westfield Mall.
Rec: Receive and file.
Councilman Jonathan asked that Item N be removed for separate consideration
under Section XI, Consent Items Held Over.
Upon a motion by Tanner, second by Harnik, and 5-0 vote of the City Council
(AYES: Harnik, Jonathan, Tanner, Weber, and Spiegel; NOES: None), the remainder of
the Consent Calendar was approved as presented.
XI. CONSENT ITEMS HELD OVER
N. REQUEST FOR EXTENSION of Contract with White Nelson Diehl Evans,
LLP, to Perform Auditing Services for the City and its Related Entities for
One Additional Year (Contract No. C27546).
Councilman Jonathan commented that White Nelson Diehl Evans has been
the City's auditor since 2008, and he's concerned that the City was not going
through a rotation of auditors, which is generally considered to be a best
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practice in the industry. In fact, rotation of auditing firms is mandatory in
Europe and it's under consideration in this Country as well. He respected
the process that the City's Audit Committee has gone through, however, he
questioned why the City was not rotating auditing firms after eight years.
Mayor Pro Tern Harnik asked for clarification of what Councilman Jonathan
meant by rotation of auditors.
Councilman Jonathan said it was the duration of how long a company, city,
or any organization should have the same auditor, which he understood was
a matter of debate.
Mr. Wohlmuth added that there was already plans to go out for Request for
Proposals (RFP) for a new audit service. However, it happens to be a bad
year to do it. If the Council wasn't aware, the City will be losing its Director
of Finance Paul Gibson, as he will be retiring in April. Therefore, he would
like to allow the new finance director to take part in the RFP process in
selecting the new auditing firm. With Mr. Gibson retiring at the end of April,
there is plenty of time to go out for RFP if this contract is extended for
another year. Secondly, the Finance Department has gone through 90% of
the One Solution Software upgrade, and in 2016 the City will be running both
the old and new software systems to ensure everything is working right
before getting rid of the old one. He said the current auditor's knowledge of
the Finance software systems will be helpful. He guaranteed the Council that
at the end of this 1-year extension, the City will go out for RFP for a new
auditor. He pointed out this was not an option because the contract was
about to end.
Councilman Jonathan moved to, by Minute Motion, authorize extension of the
subject contract with White Nelson Diehl Evans, LLP, Irvine, California, for one additional
year, Fiscal Year Ending June 30, 2016. Motion was seconded by Harnik and carded by
a 5-0 vote (AYES: Harnik, Jonathan, Tanner, Weber, and Spiegel; NOES: None).
XII. RESOLUTIONS
None
XIII. ORDINANCES
A. For Introduction:
None
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B. For Adoption:
1. ORDINANCE NO. 1298 - AN ORDINANCE OF THE CITY COUNCIL
OF THE CITY OF PALM DESERT, CALIFORNIA, REVISING
SECTION 2.52.710 OF THE PALM DESERT MUNICIPAL CODE -
PERSONNEL SYSTEM, BENEFITS - SICK LEAVE.
Mayor Pro Tem Harnik moved to waive further reading and adopt
Ordinance No. 1298. Motion was seconded by Tanner and carried by a 5-0 vote (AYES:
Harnik, Jonathan, Tanner, Weber, and Spiegel; NOES: None).
2. ORDINANCE NO. 1299 - AN ORDINANCE OF THE CITY COUNCIL
OF THE CITY OF PALM DESERT, CALIFORNIA, AMENDING
CHAPTER 5.97 OF THE PALM DESERT MUNICIPAL CODE,
ADDING SECTION 5,97.115 - TEMPORARY PERMITTED USES -
ALLOWING FOOD VENDING TRUCKS TO OPERATE WITH LESS
RESTRICTIONS IN FOUR DESIGNATED AREAS ON A
TEMPORARY BASIS UNTIL DECEMBER 31, 2016,
Mayor Pro Tem Harnik stated she would recuse herself from this item
and left the Council Chamber.
Associate Planner Kevin Swartz noted this was the second reading of
the Ordinance and recommended approval.
MR. RAYMOND RODRIGUEZ on behalf of the Palm Desert area
Chamber of Commerce, said he had conveyed to the Council the
efforts being made to improve communications internally between its
membership and leadership in orderto get a well -vetted position from
its membership. At this point, they understood this was a one-year
trial effort of allowing food vending trucks in certain areas of the City.
He applauded the Council for their innovation, however, they have
vigorous thought on this issue, but nothing that would preclude a trial
period. He added there will be time during the year to share
membership concerns on this issue with the Council.
Mayor Spiegel pointed out that the Council can cancel the trial period
at any time.
Councilman Jonathan encouraged the Chamber, as representatives
of the business community, to stay involved; notjust in this matter, but
on any issue that affected the City's business community. He offered
to reach out to facilitate that process formally or informally, stating that
together they can make it happen. He agreed with the Mayor that the
Council didn't have to wait a year, it can meet in three- or six -months
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REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 10, 2015
time with the Chamber. If there are problems or the Council deemed
it undesirable, than it should react and d❑ so quickly. However,
maybe people will grow to like having vending food trucks in the City.
Councilman Jonathan moved to waive further reading and adopt Ordinance
No. 1299. Motion was seconded by Weber.
Councilman Tanner pointed out all the efforts the City has made to
keep brick and mortar restaurants alive, and his only concern is that
food vending trucks will hurt those businesses. Therefore, he was not
in favor of a one-year trial and/or six months, because he wasn't
convinced this was something the City should allow, other than for
special events where there is a need for them. Introducing them on
San Pablo and allowing them to park on the grass lots to sell products
wasn't his idea of what the City should be doing, therefore, he would
be voting No.
Mayor Spiegel called for the vote and the motion carried by a 3-1 vote (AYES:
Jonathan, Weber, and Spiegel; NOES: Tanner; ABSENT: Harnik).
XIV. NEW BUSINESS
A. REQUEST FOR AUTHORIZATION AND APPROVAL OF A CONVEYANCE
OF A QUITCLAIM DEED TO THE CITY OF PALM DESERT RELATING TO
AN EASEMENT ON CERTAIN REAL PROPERTY (APN 627-261-006), THE
PARKING STRUCTURE AT THE GARDENS ON EL PASEO (JOINT
CONSIDERATION WITH THE SUCCESSOR AGENCY TO THE PALM
DESERT REDEVELOPMENT AGENCY).
Economic Development Manager Ruth Ann Moore stated that as part of the
Long Range Property Management Plan (LRPMP), the existing property
easements that were owned by the former Redevelopment Agency are
approved to be transferred to the City. The motion before the Council is to
have the Successor Agency of the Palm Desert Redevelopment Agency
convey and the City to accept the Parking Easement Agreement for The
Gardens on Ei Paseo. This easement is being transferred today so that
further action can be taken by the City as it pertains to The Gardens parking
structure. All other easements will be transferred in one lump action next
year.
Mayor Pro Tem/Vice Chair Harnik moved to: 1) Waive further reading and adopt:
a) Successor Agency Resolution No. SA -RDA 050, authorizing and approving the
conveyance of an Easement Agreement from the Successor Agency to the Palm Desert
Redevelopment Agency to the City; b) City Council Resolution No. 2015 - 95, accepting
the conveyance of an Easement Agreement from the Successor Agency to the Palm
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Desert Redevelopment Agency; 2) By Minute Motion, authorize: a) City Attorney to make
non -substantive changes to all documents; b) Chair/Mayor to execute any and all
documents necessary for the conveyance. Motion was seconded by Weber and carried
by a 5-0 vote (AYES: Harnik, Jonathan, Tanner, Weber, and Spiegel; NOES: None).
B. REQUEST FOR APPROVAL OF ADDENDUM TO EASEMENT
AGREEMENT BETWEEN THE CITY OF PALM DESERT AND THE
GARDENS ON EL PASEO LLC.
Economic Development Manager Ruth Ann Moore stated this was an
amendment to the existing Parking Easement Agreement of The Gardens
on El Paseo. This Agreement has been in existence since April 1999 and
it provides public parking over the garage, which consists of 895 parking
spaces and 47 parking spaces for golf carts. Public parking can only be
changed through an addendum to this agreement, and its been done twice
in the past. The first was in 2004 to create storage space for the Courtesy
Carts, which are operated by the City. The second addendum was in June
2008 for the potential expansion of Saks Fifth Avenue, which did not occur.
The proposed Addendum to the Easement Agreement is for the installation
of six (6) charging stations in the parking structure. These stations will be
installed by the property owner on the northern most wall of the parking
structure on the first floor. Four (4) of the six (6) stations will be used by
Tessa to charge vehicles used for test drives by potential customers; the
remaining two (2) charging stations will be used by the public that owns a
Tesla automobile. She noted that Tesla charging stations d❑ not use
universal charging plugs; therefore, only Tesla vehicles can be charged in
these two locations. However, there are two (2) universal charging stations
in The Gardens structure and six (6) next door in The Village, which is also
owned by the same owner as The Gardens. Last week the Planning
Commission voted 5-0 to approve a Conditional Use Permit (CUP) for Tessa
to sell automobiles from their new retail concept store located in The
Gardens, along with an outdoor display area in the parking structure. The
final step to completing this process is Council's approval to amend the
parking easement that will allow for the use of the six parking spaces. She
went on to say that Tesla is an American automobile manufacturer
specializing in premium electronic vehicles, and Tesla has distinguished itself
not only in terms of vehicles it produces, but how it operates and sells.
Traditional automobile sales include a concentration of vehicle inventory on
large expansive parking lots, but Tesla has instead created the retail concept
store that allows for the education of the potential customer and the ability
to test drive models of their choice. The customer that purchases an
automobile at this location will order the car and have it delivered to them.
Tesla successfully operates this retail concept store in various locations
throughout the country, including Santa Barbara, New Port Beach, San
Diego and other areas. She said part of the Conditions of Approval (CUP)
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was that two (2) of the six (6) charging stations will be kept available for the
public. Other conditions include that they not test drive on residential streets
behind The Gardens, and must also obtain a Business License and attribute
all sales at this location to the City for taxing purposes. Should Tesla leave
The Gardens, the property owner is responsible for making these spaces
available to the general public once again. Lastly, the Tesla brand is in
keeping with the high -end shopping district and will attract customers to El
Paseo to purchase vehicles, and should they become owners of a Tesla,
they will be charging their vehicles while shopping and dining. She read out
loud the following note received in The Gardens suggestion box just
yesterday: "My wife and 1 visit your location often, and we own a Testa all
electric vehicle. l noticed that they put a Testa showroom by you. I don't
know if you're interested, but Testa gives out free chargers to places Tesla
owners go to. We usually park by Wolfgang Pucks and plug in there and
walk to The Gardens. It would be easier to use your parking structure.
Thanks so much, Randy."
Councilman Tanner commented he had a concern that he wasn't sure it was
reviewed by the Planning Commission. First, the (2) charging stations
designated for the general public are actually for local Tesla vehicles. He
asked if there was any discussion about installing a different type of power
source that could accommodate another electric car besides a Tesla.
Ms. Moore answered no, stating it was similar to the Apple Store where they
have their own plugs, well Tesla has a unique plug to their system. When
Tesla sells a car, they also sell an adapter that can g❑ into any universal
plug; therefore, Tesla vehicles can be charged at any location. For example,
a Prius can't charge at a Tesla, because they don't have the correct plug.
She pointed out there is two (2) universal charging stations at The Gardens
and six (6) at The Village.
Councilman Tanner agreed this was a great move for the City, and he would
vote in favor, but the two (2) designated charging stations should be referred
to as public Tesla owners only.
Mr. Wohlmuth pointed out that last year the City received an MSRC Grant,
and installed seven (7) charging stations throughout the City. In fact, several
of them are near that area and are used by every electric vehicle, a Type II
Charge, which is fast, but not as fast as a Type III. He added there are
charging stations at President's Plaza, The Gardens parking structure, and
at the El Paseo Village, that are adaptable for any electric vehicle.
Mayor Pro Tern Harnik said it was a shame that the Tesla charging stations
are not universal, but certainly there were many of them in the City, and they
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are welcomed at The Gardens. in response to the Conditions of Approval
mentioned, she asked why Tesla couldn't test drive on Shadow Mountain.
Ms. Moore explained that staff was concerned with Tesla test driving in
residential areas. Having test driven a Tesla herself, the actual route is to
turn west onto E1 Paseo and then up Hwy 74 to demonstrate the quick
acceleration of the Tesla product.
Mayor Pro Tern Harnik noted that the one thing the City was missing was an
automobile dealership, and this one was small and wonderful.
Councilman Jonathan shared that he and members of the Chamber went to
the Tesla showroom in Cathedral City, and at that time he made a humorous
comment, "This is great, this is perfect, except for one thing, it should be in
Palm Desert." And here we are, Tesla in Palm Desert. He congratulated
Ms. Moore and staff members involved that made this happen, because not
only will this bring in sales tax revenue, it will help amend the City's image,
in terms of the type of retail options offered in Palm Desert.
Councilman Jonathan moved to, by Minute Motion: 1 ] Approve the Third Addendum
to Easement Agreement between the City of Palm Desert and The Gardens on El Paseo
LLC; 2) authorize the City Attorney to make non -substantive changes to all documents; 3)
authorize the Mayor to execute any and all documents. Motion seconded by Harnik and
carried by a 5-0 vote (AYES: Harnik, Jonathan, Tanner, Weber, and Spiegel; NOES:
None).
C. REQUEST FOR CONSIDERATION OF MODIFICATIONS TO FACILITY
USE AGREEMENT FOR PARK SPACE RELATED TO YOUTH SPORTS
ORGANIZATIONS.
Senior Management Analyst Ryan Ste ndeII noted the staff report and offered
to answer questions.
Mayor Pro Tern Harnik commented that the modifications seemed
reasonable.
Councilman Tanner moved to waive further reading and adopt Resolution
No. 2015 - 96, authorizing modifications to the Facility Use Agreement for youth sports
organizations. Motion was seconded by Harnik and carried by a 5-0 vote (AYES: Harnik,
Jonathan, Tanner, Weber, and Spiegel; NOES: None).
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D. REQUEST FOR APPROVAL OF THE ONE-YEAR OPTION TO EXTEND
THE CURRENT MANAGEMENT AGREEMENT BETWEEN THE CITY OF
PALM DESERT, KEMPER SPORTS MANAGEMENT, INC., AND THE PALM
DESERT RECREATIONAL FACILITIES CORPORATION TO OPERATE
AND MANAGE THE DESERT WILLOW GOLF RESORT (CONTRACT
NO. C32381).
Mr. Acosta stated this item was before the Council as a requirement of the
current Agreement approved July 1, 2013. Staff is now at the point where
the City is required, and this was the last opportunity, to make the decision
to notify current operator Kemper Sports Management on whether the City
intends to exercise the first of two 1-year options built into this Agreement.
At the Study Session held on November 12, questions were raised about the
negotiations, so in the Staff Report he included a summary of the areas that
were changed from the previous contract, including a copy of the PowerPoint
presentation that was made at that time. Also, in the staff report is a
summary of the negotiated revisions that were included and written into the
current contract. For the benefit of the audience and those not in attendance
at that Study Session, he briefly outlined what was covered. Staff asked
itself if there were any outstanding issues or reasons why not to extend this
option, and there were six, which were follows: 1) Non-compliance with City
policies and operation procedures; 2) Consistent poor customer service
ratings; 3) Improper care/ma intenance of golf facilities, courses, clubhouse,
or other ancillary infrastructure; 4) Exercising poor financial practices; 5)
Failure to meet audits; and 6) Operating outside City business plans, goals
and objectives. In essence, staff took an approach that if it isn't broken,
there was no reason to support fixing the current situation. As part of the
PowerPoint presentation, staff listed the Pros and Cons for both exercising
the option to extend the contract or go out to Request for Proposal (RFP), if
that happens to be the Council's desire this evening. He noted a copy of the
current contract is attached to the staff report as an exhibit. Available to
answer questions was Desert Willow Golf Resort General Manager Derek
White, and 011ie Becker from Kemper Sports Management, and Director of
Finance Paul Gibson. He said staff came to their decision after long careful
discussions, including parties interested in competing for an opportunity to
operate the course.
Councilmember Weber asked about the item relating to "Failure to meet
audits," because Kemper Sports didn't d❑ their own, stating the City
conducted audits of their financial statements. She questioned where the
failure could occur.
Mr. Acosta responded that the intention of that comment is that the City
hadn't discovered any illegal practices in theirfinancing at DesertWillow, and
it's monitored very closely at the President's Club meeting.
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Councilman Tanner commented that the Fiscal Analysis in the staff report
indicates there is a $65,750 management fee, which represents a 11.2%
decrease over last year or a savings of $105,840. He questioned what the
savings was attributed to.
Mr. Acosta replied it was attributed to the negotiations at that time. However,
he wasn't part of it, so he would defer the question to the City Manager. He
noted the prior monthly fee was about $75,000 per month.
MR. JERRY MARTIN expressed his support for Kemper Sports
Management, stating they did a greatjob for him. As a long time golf pro with
47+ years in the golf business, he's taught at Desert Willow at the Academy
and he still provides private lessons there. He said Derek and his staff, the
F&B (Food & Beverage), and golf course have been unbelievable. He said
staff treats his customers with great respect and feedback is always great.
Also, he and his wife run "El Paseo Cruise Night" and they hold their "Classic
Cars Under the Stars" event at Desert Willow; it's a huge success, selling out
every year. He hoped his few comments will influence the Council to keep
Kemper Sports.
MR. ED SCHILLER, Pitahaya Street, Palm Desert, stated he's been a
resident of Desert for 30 years, with 15+I- in Palm Desert, and he's worked
in the golf industry for 30 years for Western Golf Properties and Landmark
Land Company. His recommendation was not to vote Kemper Sports out,
but that the Council give the opportunity for an open bid process, stating this
contract had not been bid on for 20 years. He recalled for the Council that
three years ago he requested the same, but was told he was too late. At the
last study session, staff mentioned the City had not done a market study or
an analysis in the last 15 years. He went on to say that he's been doing an
analysis of the market for probably the last ten years, and he would love to
have this contract, because it was probably the most lucrative he's seen in
the 30 years he's been in the golf business. He believed the open bid
process would come in line with what is going on in the industry.
Unfortunately, the industry wasn't going in the direction of high fees, instead
they are coming down, cutting back, and trying to figuring out ways to get
people to the golf course, marketing, etc. Therefore, he encouraged the
Council to go to an open bid process and see where the chips fall. He noted
he played golf at Desert Willow, liked the staff, and acknowledged Kemper
did a great job. However, he would like the opportunity to bid on it and
believed others would too.
Councilman Jonathan stated that in his short, one-year tenure on the
Council, he's getting acquainted with the people at Kemper Sports. He's
looked at their operation and he's really impressed, stating they are very
professional and do a great job. But as Mr. Schiller indicated, in his mind, this
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wasn't a vote on whether or not to keep Kemper Sports in the management
position for Desert Willow. He viewed this as a broader responsibility, which
is to do what is in the best interest of the residents in the City of Palm Desert.
Not going out to bid since the inception of Desert Willow, which was over 20
years ago, was not a good practice. He would be surprised if another
company could impressed them more, and it could very well be that Kemper
Sports would remain, which would be great. But if nothing else, it would give
the City the knowledge and confidence that it's getting the best deal.
Further, in more than 15 years the City has not done a market analysis to
understand what the industry standards are and know what the best deal is
from a management fee standpoint. Therefore, he was not in favor of
exercising the option of extending the contract and instead preferred going
out for RFP.
Mayor Pro Tern Harnik asked what was involved in an RFP, especially one
of this magnitude.
Mr. Wohlmuth replied that he was expecting that question, in fact, Mr. Acosta
provided him with a time line and number of hours it would take staff to go
through that process, but he will defer to him for the explanation. He recalled
for the Council that the City had a three-year agreement with two 1-year
options, and the City was at the decision point to exercise that 1-year option
commencing July 1, 2016, allowing only six months. Responding to
question, he confirmed this was not the first three-year contract with Kemper
Sports. He added that if the City did get a new operator, he was concerned
with the type of overlap and impact it would have to the 2016 golf season,
commencing July 1. The process Mr. Acosta drafted is a 7'/2 month process
with an excess of 50 hours of staff time and 10 hours of legal time. It was
difficult to put it in dollar terms, because he would be deploying staff off their
current assignments and putting them on an RFP process. His suggestion,
if the Council chooses to exercise this 1-year option, is to make it clear that
as a Council it wishes to go out for RFP, providing staff time to ensure there
is no deterioration of services or product. In the event a proposal comes in
that the Council determines is better than Kemper Sports, allow time for
overlap to occur so that the 2016 or 2017 season is not impacted.
Councilman Jonathan stated that based on the 50 hours of staff time and 10
hours of legal time, he calculated the cost was $20- to $25,000. He asked
what was the potential savings.
Mr. Wohlmuth explained that in his mind the management fee should not be
the first item to consider. The City of Palm Desert developed a public golf
course and subsidized it for the residents in Palm Desert. The goal was to
break even, it wasn't to make or lose money. He said it has been the position
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of previous Council's, because of the concern as a City, not to compete
aggressively with private restaurants and private golf.
Councilman Jonathan said he understood, but the question was about the
potential savings.
Mr. Acosta said it was difficult to anticipate at this point because the
advantage would be to the operator who is on the property today. A new
company coming in would have to figure mobilization cost, staff training, and
the whole hiring process, etc. Therefore, it was hard to put a number on
what the City can negotiate down on an operational contract. Competitors
will tell you what they think, but the City would want to vet out competitors
that have experience in similar types of projects, similar markets, exercise
similar customer service, and have resident programs in the municipal,
because it's a very different animal.
Councilman Jonathan said he wasn't getting a precise answer and he
understood the challenge in doing so, which was really his point. If the City
was going to spend $25,000 to g❑ out for a RFP, he doubted a potential
competitor would come in proposing something that would cost more. He
guessed it was conceivable that the City would save something, and certainly
if nothing else, the City would proceed with Kemper Sports, so there was no
downside. Potentially, even if it was a savings of $25,000 a year, nominal
given that the fee is almost $800,000 a year, the City will make its money
back in the first year, and then every year thereafter. He asked if that
hypothetical scenario would be accurate.
Mr. Acosta agreed it was entirely possible.
Councilman Jonathan said the City routinely went out to bid on various public
works projects and other services, and it spends money to do so, because
it's necessary and appropriate.
Mr. Acosta said he was glad Councilman Jonathan mentioned proposal
versus bid, because there is a clear distinction by State law and by Public
Works Code of what is bid upon and what is proposed upon. A hard bid is
a response to a construction document that a professional services firm has
generated, whether it is City Hall plans or landscape plans, or parks, etc. So
there is a clear cut set of specifications and drawings that says to a bidder
what will be charged to develop the plan, which is a bid. As part of the open
bid process, lowest responsible bid is typically selected and recommended.
In the professional services world, which is the category this falls into, the
City is required to follow Qualified -based Selection. That is when staff states
RFQIRFP (Request for Qualifications/Request for Proposal), because you
can combine the two. Typically, when dealing with one of this magnitude, it's
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done in two steps. You first ask for Request for Qualifications with the
intention to vet out companies that won't meet the programmatic
requirements of your Request for Proposal. Once the list is narrowed down
to qualified firms, you ask for proposals from them, so there is a second
document that indicates the specifications they are to respond. Staff is then
allowed to only open the proposal amount, in a separate envelope, from the
firm that was rated the highest by either staff, a committee, or whatever body
that evaluates and makes a recommendation. The firm that rates the highest
is whom the City starts its negotiations with.
Councilmember Weber said it was important to remind everyone this was
about a RFP and not a bid, because not everyone was going to line up and
provide a bid to operate this golf course. Also, the City is not in any way
dissatisfied with Kemper Sports, however, she agreed this should have gone
out for RFP and not allowed to keep sliding. She questioned where staff
time was going to be required for the RFP, because the criteria is already in
writing, because Kemper Sports is complying with it, so that step should be
relatively easy. She questioned if the time was for entertaining documents
received; however not many will qualify due to the tight criteria required to
maintain the quality of this golf course. She asked how many people or
companies have already expressed interest in competing otherthan Western
Golf Properties.
Mr. Wohlmuth and Mr. Acosta both said they were only aware of Western
Golf Properties interest.
Councilmember Weber asked if the criteria was so tough that no one wanted
to attempt it or did they think the City was not open to the idea.
Mr. Wohlmuth replied he thought a lot of the golf course management
companies have gone through some tough times like Club Core, adding that
American Golf has lost a lot of golf courses and probably downsized
significantly from where they were in the 1990's. He said those companies
are not out there submitting proposals or marketing their product.
Responding to question, he reiterated that no one has called him personally
expressing interest except for Western Golf.
Mr. Acosta added there is a high amount of attrition in the golf course
operations industry, and like any large corporation that exists, the larger ones
have purchased smaller ones. Through attrition, some companies have
gone out of existence, so the field has narrowed quite a bit. He said there
are companies one may recognize and know about, but they specialize in the
private country club industry, stating there isn't many that operated municipal
daily fee or public golf courses such as Desert Willow, which is why you get
few and far between, in terms of qualifications.
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Mayor Spiegel noted that Kemper primarily took care of private golf courses.
Mr. Acosta agreed, the largest part of Kemper's portfolio is in private golf
courses, and they are very nice ones. He said the Mayor may recall that
when staff originally toured the properties of the short list of qualified firms,
the City was drawn to Kemper because they had a number of municipal
courses in the Chicago, Illinois area.
MR. DERE K WHITE, General Manager at Desert Willow Golf Resort, stated
that on behalf of staff, he thanked the Council forthe wonderful compliments,
because they don't always hear them as often as he did. He would be
remissed in saying that he would be excited to go to RFP, because of the
uncertainty for staff. He called attention to specifics of the contract itself,
because it did include a number of restrictions like the cash flow clause and
the 26-mile restriction. Also, on behalf of Kemper Sports, the rate has not
been raised over the history of the partnership, which was not to say that the
market hadn't gone in different directions, perhaps up or down, but they have
always been flat on that rate. As a very conservative person himself, noting
he's a CPA (Certified Public Accountant) and former auditor, his first
question was how did they compare internally to it's own properties. He
agreed Kemper has a lot of clubs, but they focused on 14 municipal facilities
that are also up scale. He said Desert Willow fell in that exact same range,
at least as a percentage of gross revenues in fees that all those municipal
facilities are paying. Since the Council is addressing the market study,
Kemper Sports is open to working with staff on one and deciding what may
be more appropriate. Lastly, a lot of these contracts can be confusing,
stating he knew the current one was to residents with regard to what that
$65,000 covers. Not that he wanted to get into details, but not all of the
amount went to Kemper Sports, stating it paid fordifferent things. Therefore,
when the City does go out to do a market study, he certainly would like to
make sure one is comparing apples to apples. Some contracts have "All In
Fees" where all their national programs are included in their management
fee, and other contracts have a management fee that includes reimbursable,
whether it is for centralized services, marketing, etc. Therefore, one had to
be cautious it didn't go out hunting for the management fee component only.
He pointed out that even when comparing locally, agreements differed with
what they covered.
Mayor Pro Tern Harnik stated that when she inquired about staff hours, it
wasn't about the cost, because that's the cost of doing business and doing
it well. She explained that the Council recently came up with a lot of new
things it wants staff to work on requiring them to shift some of their time, and
now it wants them to put a RFQ/RFP together, which was a lot of work. She
said there was no way to get it done before the end of this fiscal year, and
the qualifications for this contract are stringent and the standards are high.
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Therefore, the City shouldn't take the chance that it will lapse while someone
else comes up to speed to learn what Kemper Sports does excellently.
Further, the City didn't get complaints on the golf course, perhaps
occasionally, but mostly it received awards. However, she agreed that after
20 years the Council had a responsibility to go out for a RFP; although she
found it difficult to image Kemper wouldn't wind up with the contract. She
believed the contract had to be extended, because the City couldn't take the
chance that something could go array in any way, shape or form. She hated
to have to shift staff s time, and Council had to understand it was placing an
extra burden an them by asking for a RFQIRFP for 2017/2018. She was in
favor of extending the agreement for one year allowing ample time far staff
to go through the process.
Councilman Tanner said he totally agreed with the process of a RFPIRFQ,
but the problem was that there will be very few people that will take
advantage of it. He asked if there was any difference in the amount of time
and cost in doing a market analysis on the management fee versus a
RFQIRFP process.
Mr. Wohlmuth responded that a market analysis on the management fee
would take far less time and should be done before the RFP, if for nothing
else to see how other contracts are being paid. The City has provisions in
its contract for the four key employees, etc., so it would be a worthwhile
exercise regardless of whether or not it went through a RFP. He suggested
taking Mr. White's offer to go out and find those contracts and compare
apples to apples, which would be done with Kemper's staff not City staff.
Councilman Tanner asked if it would take two- or three month's time to
conduct a market analysis.
MR. WHITE responded that with City staffs assistance in contacting other
cities and obtaining the documents, they could do a market analysis within
the three months time frame to walk through some of the differences and
break down exactly what the existing contract is all about.
Mayor Spiegel stated the City did an analysis in the past where they looked
at Indian Wells and La Quinta golf courses and learned they lost all kinds of
money on their courses. He made the comment that he's been around since
the inception of Desert Willow and he couldn't be prouder of Kemper Sports,
stating they run a heck of an organization. However, this evening the
Council was considering a 1-year option to extend the contract, not whether
or not it should go out for a RFP, and if the Council felt there was a reason
to do so, it should be placed on a future agenda.
PZI!
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Councilman Jonathan said he would try to make a motion that met
everyone's concerns, but first of all, as a staff, it spends about 240,000 hours
a year. He felt 50 hours could be found to address a very important subject,
because that's the job of the City. However, these discussions weren't about
Kemper Sports, because everyone agrees how fortunate Palm Desert is to
have them manage Desert Willow for 20 years, it was about the proper
process, stating it's been 20 years since the City has truly examined whether
it was getting the best deal. He believed the Council owed it to its residents
to ensure it was getting the best service at the best price, which meant it
needed to go through a RFQIRFP; it was a good investment to do so. It's
very possible and perhaps likely, that Kemper Sports will end up with the
contract. Unfortunately, as Mayor Pro Tem. Harnik has pointed out, an eight -
month process is not providing the option to do it now. Honestly, he was
disappointed that in December the Council was faced with a choice that's
really not a choice, stating he would much rather have had this discussion
when they could have requested a RFP. Therefore, he was prepared to
make a motion to extend the contract with the commitment to go through the
RFQIRFP process before the expiration of the 1-year option.
Councilman Jonathan moved to, by Minute Motion: 'I }Approve a one-year extension
to the Management Agreement between the City of Palm Desert, Kemper Sports
Management, Inc., and the Palm Desert Recreational Facilities Corporation to operate and
manage the Desert Willow Golf Resort; 2) commit to authorizing a Request for
Qualifications/Request for Proposals (RFQIRFP) process in the coming year in order to
award contract with operator beginning with the 2017-2018 season. Motion was seconded
by Weber.
Councilman Tanner stated that since Mr. White is willing to conduct a market
analysis, he felt that should be the first step before agendizing for a
RFQIRFP. However, the cost has not been raised in ten years, so he
questioned if it's not broken, why fix it, and why spend the time doing it. He
believed the Council should find out what the market bears before a
RFQIRFP process, which would be a wiser move, especially if the market
shows the City is in good shape.
Mayor Spiegel asked if Councilman Jonathan would accept going out first for
a market analysis.
Councilman Jonathan said he understood and it made sense, but he
wouldn't agree because there is no standard. For example, it would be like
buying a widget and that widget cost $10 here and $12 there. However, this
was a very unique contract and it will be hard to understand whether the City
was overpaying or underpaying, but a RFQIRFP will determine if it was
getting everything it can at the lowest cost.
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Mayor Pro Tern Harnik added that Councilman Tanner made a good point,
in that you couldn't go out for RFQ/RFP without a market analysis. Mayor
Spiegel concurred.
Councilman Jonathan said he didn't disagree with doing a market analysis,
but he wanted to make it clear that the Council's intention is to do the
RFQIRFP, providing staff: enough lead time to conduct it. Responding to
question, he agreed to amend his motion as follows:
Councilman Jonathan moved to amend, by Minute Motion: 1 ) Approve a one-year
extension to the Management Agreement between the City of Palm Desert, Kemper Sports
Management, Inc., and the Palm Desert Recreational Facilities Corporation to operate and
manage the Desert Willow Golf Resort; 2) accept Kemper Sports Management's offer and
authorize staff to work with Kemper on performing a Market Analysis for Golf Course
Operations and Management of comparable properties; 3) commit to authorizing a
Request for Qualifications/Request for Proposals (RFQIRFP) process in the coming year
in order to award contract with operator beginning with the 201 T-2018 season. Motion was
seconded by Weber.
Councilmember Weber said it was importantto spell it out, because this topic
had been discussed for two years, and she agreed with Councilman
Jonathan that it was disappointing to be faced with this at the last minute.
Therefore, to have it on record puts everyone on notice and perhaps now the
City will hear from other interested parties or firms.
Mayor Spiegel said he believed it was a separate item for discussion, and it
should be placed on the agenda atthe next meeting. He reiterated that today
Council was considering a 1-yr extension for Kemper Sports, anything else
he would be voting against.
Mr. Wohlmuth explained that if the Council didn't exercise the 1-year option,
it left staff no other choice but to start the RFP/RFQ with the risk at the end
of the six months.
Councilman Jonathan said the question was whether or not the Council can
choose to exercise the 1-year option with the proviso that it go to RFQIRFP
before the expiration of that option.
Mr. Wohlmuth answered yes, stating the item was on the agenda and the
Council can direct staff any way it chose this evening.
Mayor Spiegel called for the vote and the motion carried by a 4-1 vote (AYES:
Harnik, Jonathan, Tanner, and Weber; NOES: Spiegel).
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REGULAR PALM DESERT CITY COUNCIL MEETING ❑ECEMBER 10, 2015
E. REQUEST FOR APPROVAL TO AUTHORIZE THE CITY TO JOIN
CALIFORNIAFIRST PROGRAM; AUTHORIZE THE CALIFORNIA
STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY TO ACCEPT
APPLICATIONS FROM PROPERTY OWNERS, CONDUCT
CONTRACTUAL ASSESSMENT PROCEEDINGS AND LEVY
CONTRACTUAL ASSESSMENTS FOR ENERGY AND WATER
CONSERVATION IMPROVEMENT; AND ADOPT RESOLUTION,
AUTHORIZING AND DIRECTING EXECUTION OF AN AMENDED AND
RESTATED JOINT EXERCISE OF POWERS AGREEMENT RELATING TO
THE CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT
AUTHORITY.
Principal Planner Tony Bagato stated that the item before the Council is to
provide a third program in the City of Palm Desert forwhat is PACE (Property
Assessed Clean Energy) Program, which is clean energy financing. The
other two programs are Ygrene and HERO handled through Coachella
Valley Association of Governments (CVAG). This program has been
presented to staff and the Citizen's Sustainability Committee as a third option
run solely by CaliforniaFIRST. There is a lot of language in the documents
that appears like the City would be doing a lot of the work, but in actuality,
the Council is approving CaliforniaFIRST to go out and have contractors
reach residents under their authority, workload, and staffing. There are two
Resolutions to approve, one is to first take action to enter into the
CaliforniaFIRST Program and the other is join the California Statewide
Communities Development Authority, which the City is currently not a
member. He said the program is all voluntary for residents, it provides
financing to d❑ home energy improvements, including water.
Mayor Pro Tern Harnik commented that it was the same model as the
Ygrene and HERO Programs using the tax roll.
Councilman Jonathan noted this was vetted by the Sustainability Committee
that voted unanimously in favor. Mr. Bagat❑ agreed.
Councilman Tanner moved to: 1 ) Waive further reading and adopt Resolution
No. 2015 - 98, authorizing the City of Palm Desert to join the CaliforniaFIRST Program; 2)
by Minute Motion, authorize the California Statewide Communities Development Authority
to accept applications from property owners, conduct contractual assessment proceedings,
and levy contractual assessments for energy and water conservation improvement; 3)
waive further reading and adopt Resolution No. 2015 - 97, authorizing and directing
execution of an Amended and Restated Joint Exercise of Powers Agreement relating to
the California Statewide Communities Development Authority. Motion was seconded by
Jonathan and carried by a 5-0 vote (AYES: Harnik, Jonathan, Tanner, Weber, and Spiegel;
NOES: None).
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F. INFORMATIONAL REPORT ON PALM DESERT HOTEL MARKET
DEMAND ANALYSIS/STUDY.
Mr. Acosta apologized to Mayor Spiegel, because in the Team Building
Study Session, he wasn't able to provide him a full answer, stating he
admittedly danced around the topic of when the Council could receive a
report. The reason for it, now that he can announce it, he was aware that
there was a lodging forecast being performed by one of the companies the
City had solicited for a proposal. To staffs disappointment, the initial
conversation with firms, including the one recommended by Mr. White from
the CVB, all proposals came in above the City Manager's approval rate.
Therefore, the City would be required to go through a RFQ/RFP process.
Long story short, when the lodging forecast came out, it was apparent that
a lot of the base data was already performed for the Coachella Valley region.
While this report was for the Southern California Region from San Luis
Obispo down to San Diego, it included the Coachella Valley region. He
immediately contacted the individual that he had previously spoken to from
PKF Consulting to inform them the base data was available, and asking
them if they needed to charge the City to do it over. The next day he
received a call from them and they agreed to d❑ it under the City Manager's
approval rate, which bought staff an extra two or three months of time. The
City Manager signed that contract and got the ball rolling on that report in the
middle of November. He said PKF was out here to tour the City's strategic
areas and their comments were that the City was prudent in preparing all the
right documents for the areas. Staff asked for first impressions and their
preliminary evaluations are that the City has 15 potential sites that would
serve hotels well. They are spread out in four areas, starting from the far
north along the Interstate 10 Corridor, the resort properties at Desert Willow,
properties along Hwy 111, and of course, properties along El Paseo.
However, it didn't mean all 15 sites would be supported by the market, but
first impression is that there is room for product, especially at the
interchanges, including the one the City is currently negotiating at Monterey
and Interstate 10. There is also room for product at the future interchange
at Portola and Interstate 10, and if the University expands to the level that
staff has indicated, there will be greater opportunities to add to the inventory
that already exists. The Desert Willow project is the hottest topic in the
industry and they wished the City success in making the developer
successful and making it work, which would be a home run for Palm Desert.
Along Hwy 111, there are two or three sites, but unfortunately, they are not
sites controlled by the City. Therefore, there was discussion at looking at
underperforming commercial/retail sites. Without identifying them, he said
that he, Martin Alvarez, and Ruth Ann Moore have spoken to at least four to
five property owners, and their response is that they haven't thought about
their property that way. He said staff will need to do a financial analysis to
see if it pencils out, and certainly the market study will help in that argument.
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In the areas along El Paseo for luxury opportunities, PKF agreed the
Rosewood site on Hwy 111 is certainly one, but there are other opportunities
at key critical intersections if the City can make deals with the property
owners. He said the City can expect PKF's full report by January 15, making
the comment that it was all good news.
Councilman Tanner moved to receive and file the Palm Desert Hotel Market
Demand/Analyst Report. Motion was seconded by Weber and carried by a 5-0 vote
(AYES: Harnik, Jonathan. Tanner, Weber, and Spiegel; NOES: None).
Councilman Jonathan expressed his gratitude to Mr. Acosta for thinking
outside the box and saving the City thousands of dollars.
FXTAK9I91'k I I.UJ 417:111R]IZI**-'I
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1.4►110101111 VJ611I►1*11
A. REQUEST FOR AUTHORIZATION TO INITIATE A ZONING ORDINANCE
AMENDMENT TO AMEND PALM DESERT MUNICIPAL CODE SECTION
25.10.030 - ALLOWED LAND USES AND PERMIT REQUIREMENTS TO
ALLOW BACKYARD BEEKEEPING IN SINGLE-FAMILY RESIDENTIAL
ZONES (Continued from the meeting of August 27,2015).
Principal Planner Tony Bagato recalled for the Council that this item was
previously discussed. He said staff and subcommittee researched this and
learned that honey bees are in serious decline. In the 1940's there were
approximately 5.2 million colonies and today there are approximately 2.74
million colonies, reflecting a decline. Negative impacts to losing honey bees
as the major pollinator, is a threat to the agriculture production, a threat to
maintenance of natural plants, and increase of Africanize Bees, the more
aggressive bees. The President in 2014 created a Pollinator Health Task
Force that created a national strategy, which staff has been reviewing. Staff
has also been reviewing other backyard ordinances that have been approved
in California, Santa Barbara County, and San Diego City and County. He
said Santa Monica and Los Angeles have recently approved ordinances that
allow bee keeping on smaller residential lots. At this point, bees are currently
allowed in two areas of Palm Desert, which are the residential estate lots and
in the Hillside Plan Residential Zones where lots are more spread out. The
subcommittee met on November 16 to consider smaller lots, and based on
comments, there is positive direction in pursuing an ordinance that would
apply to more R-1 lots. At this point, staff is requesting Initiation of a Zoning
Ordinance Amendment. If approved, staff will research more ordinances and
return with possible regulations with maximum number of hives, distances
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from other neighbors, hive location on the property, hive management, which
meant providing water at all times, the type of equipment needed for hive
management. Also, the possibility of having to re -queen the hive every two
years, stating it's required in Santa Monica because it reduces the possibility
of swarming. He said public hearings will need to be held with the actual
ordinance after it's reviewed by the subcommittee, Planning Commission,
and then the City Council for an actual public hearing. He reiterated that this
evening's action was for Initiation of a Zoning Ordinance Amendment.
Councilmember Weber stated she was all in favor, but was told to think
differently, in that Africanized Bees could take over.
Mr. Bagato explained that African Bees were already in the Valley, and they
could co -mingle with honey bees, which makes them less aggressive,
Therefore, increasing honey bees was a benefit.
Mayor Pro Tem Harnik moved to, by Minute Motion, initiate a Zoning Ordinance
Amendment that would establish a Backyard Beekeeping Ordinance in single-family
residential zones based on staff's research and recommendation. Motion was seconded
by Jonathan and carried by a 5-0 vote (AYES: Harnik, Jonathan, Tanner, Weber, and
Spiegel; NOES: None).
XVII. PUBLIC HEARINGS
A. REQUEST FOR ADOPTION OF A RESOLUTION, FINDING AND
DETERMINING THE PUBLIC INTEREST AND NECESSITY FOR
ACQUIRING AND AUTHORIZING THE CONDEMNATION OF CERTAIN
REAL PROPERTY LOCATED ALONG THE SOUTH SIDE OF
SAN ANTONIO CIRCLE, EAST OF MONTEREY AVENUE, IN
PALM DESERT, CALIFORNIA, OTHERWISE KNOWN AS A PORTION OF
A.P.N. 627-071-013, FOR THE ALESSANDR❑ WEST IMPROVEMENT
PROJECT (Continued from the meeting of November 12, 2015).
Mr. Alvarez stated that as indicated in the title, this is a property that is
adjacent to the Alessandro West Corridor where the City is worsting on
making some improvement plans, the real property is 27 feet. This particular
vacant lot is necessary to provide further improvements on the alley side.
Staff has been in current negotiations with the property owner; therefore,
staff recommended proceeding with initiating the Resolution, but also
continue negotiations to secure the 27 feet.
Mayor Spiegel declared the public hearing open and invited public testimony
FAVORING or OPPOSING this matter. With no public testimony offered, he
declared the public hearing closed.
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Councilman Tanner moved to waive further reading and adopt Resolution No. 2015
- 93, finding that the public interest and necessity require the acquisition of a portion of real
property in fee simple interest located along the south side of San Antonio Circle, east of
Monterey Avenue, in Palm Desert, California, Riverside County, otherwise known as a
portion of Assessor's Parcel Number (A.P.N.) 627-071-013, for the proposed construction
of road improvements along the south side of San Antonio Circle in Alessandro West.
Councilmember Weber said she will be voting no, because even though it
seemed like it was for the best, it was still taking someone's property who
doesn't want to self at whatever price the City was offering, and she didn't
think it was appropriate.
Mayor Pro Tern Harnik disagreed, stating the City has four standards it must
reach in order to make an acquisition, and they are high. Further, the
property owner has not said they are absolutely opposed to selling; it was
just a matter of negotiating.
Mayor Pro Tern Harnik seconded the motion.
Councilman Jonathan shared Councilmember Weber's dislike and concern
with the eminent domain process, and it should be used rarely, if ever.
However, this situation was the exception to the rule, in that the City was not
taking the entire residential lot, it was only a 27-foot strip. Further, the
remainder of the lot can still function very nicely as a residential, where one
can build a home on. As pointed out by Mayor Pro Tern Harnik, if the
process proceeds and the 27-foot strip is acquired, it will be at fair market
value. Therefore, it was not a taking, but a for sale matter, unfortunately.
Finally, it is still the collective hope that the negotiations are successful and
the City can avoid an eminent domain.
Mayor Spiegel called for the vote and it carried by a 4-1 vote (AYES: Harnik,
Jonathan, Tanner, and Spiegel; NOES: Weber).
B. CONSIDERATION OF AN URGENCY ORDINANCE AND A ZONING
ORDINANCE AMENDMENT THAT WILL AMEND PALM DESERT
MUNICIPAL CODE SECTION 25.34.120 TO PROHIBIT CANNABIS
DISPENSARIES, CANNABIS MANUFACTURES, CULTIVATION, AND
DELIVERY OF CANNABIS IN THE CITY OF PALM DESERT.
Principal Planner Tony Bagato stated this item is related to marijuana
cannabis. The City currently has an Ordinance that prohibits cannabis
dispensaries in the City of Palm Desert. He noted there's been other
commercial activities associated with medical marijuana use since the City
adopted its ordinance, and the Palm Desert Municipal Code (PDMC)
technically states it prohibits that use. However, in September 11, 2015,
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there were changes in State law, which states the City has until March 1 to
adopt an ordinance to either regulate or prohibit medical marijuana or the
State will take full control. The bill includes good things such as the dual
licensing system that states one has to have local approval before going
before the State, which hopefully minimizes lawsuits as seen in the past.
The bill includes four categories for licensing, minimal health and safety
standards, and places regulation on cultivation centers, which is growing
marijuana for commercial use only. If you are cultivating cannabis, you can't
also be a dispensary; one can only grow and then sell to a commercial
dispensary directly. As stated, the City has until March 1 to adopt an
ordinance, once adopted there is a second reading, but it takes 30 days to
take effect. He said that would be two months before the City can implement
any regulation or prohibition. He said staff is looking at continuing to prohibit
mobile dispensaries in the City under this legislation. However, because of
the complexity of this issue, it would take six months or more to study it and
determine whether the City would event want to allow it. Based on the City's
current prohibition, staff has not reviewed the regulations, consequences, or
the pro's of cities that have allowed it. If the City were to regulate it, it would
need to come up with standards, but it was not prepared to adopt before
March 1. Based on reports from other cities, there is an increase in crime
and other negative impacts associated with marijuana. However, there are
tax benefits that are being argued as well. In Palm Desert, Code
Enforcement and Police have had to shut down activities here due to
unlicensing. In those complaints, there is smell that comes from the
property, stating they are not handling the air quality conditions correctly and
doing work without permits. He said a mobile dispensary can increase traffic
in a neighborhood with a lot more vehicles coming in and out. Therefore, the
City has to have an ordinance in place before 2016, if it wants to regulate it.
Staff believes the City should remain an opt -out city under the Ordinance.
He pointed out that for consideration before the Council is an Urgency
Ordinance that takes effect immediately, so that anyone attempting to
approach the City with a business license, it can respond by saying it's
prohibited. The second ordinance is the Zoning Ordinance Amendment to
continue prohibition. He noted staff is aware of the election year 2016, and
this issue will most likely be on the ballot. If things the change, this matter
can be revisited, but given the March 1 deadline and complexity around this
issue, staff recommended prohibition on all aspects of cannabis.
Councilman Jonathan asked how would someone who was legally using
medical marijuana, is bedridden, and couldn't go to a dispensary in
Cathedral City or Desert Hot Springs, have it delivered under this ordinance.
Mr. Bagato replied that in those cases, they can have a caretaker pick it up
from another city. However, it is his understanding that an individual can
grow up to six plants within their residence for their own use, which is not
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regulated by this Ordinance. Further responding, the Ordinance would be
regulating commercial deliveries, like if you were a business or Uber
marijuana delivery that's dropping it off at every house, which is the activity
it prohibits.
Mr. Wohlmuth explained there was a distinction between mobile marijuana
delivery services that sells out of a van, which was different from having
someone pick up the medication for someone who is bedridden.
Mr. Hargreaves concurred, stating that if someone goes out and brings it to
a home and doesn't charge for the service, it was fine.
Councilmember Weber questioned what would happen if the Council didn't
approve the proposed Ordinances.
Mr. Bagato replied that the State would have full control, similar to the Liquor
License Process where the State approves it. He said the City can still work
with the current Ordinance, but the City will have to deal with anyone who
wants to try to do mobile dispensaries or cultivation, which the Code didn't
specifically address. He said it would be a lot cleaner if the City has its own
regulations in place prior to March 1.
Councilmember Weber requested further clarification, in that it was her
understanding that if the Council didn't pass the proposed Ordinances, and
nothing takes place on March 1, State rules take effect. And staff
commented that the City's water, air, safety, etc., will be impacted by people
wanting to grow marijuana or dispense it.
Mr. Bagato replied the City could potentially be impacted.
Councilmember Weber explained she was persistent in this line of
questioning because she was still aggravated about the plastic bag ban the
Council fell into, which has turned out to be a horrible thing from comments
she's hearing everywhere. She didn't want to be trapped into something else
again, because the same is being said here that the State will take over if
nothing is done. Therefore, if the Council doesn't pass the proposed
Ordinances, the City waits to see what happens on March 1, that the State
comes in with their regulations. However, the City will still have a certain
amount of control as it did with any business.
Mr. Bagato deferred to the City Attorney and asked if the City's regulations
would still be enforced with State control on March 1.
Mr. Hargreaves replied that the banning on dispensaries will still exist. The
problem is that the current Ordinance isn't on the cultivation and delivery
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REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 10, 2015
operations. He said if the City didn't act by March 1, 2015, the State preempt
the City. Although, it wasn't entirely clear how the interaction between local
and State regulations are actually going to play out or what the ability of the
State is going to be if the City does not act before the deadline; there was a
certain amount of ambiguity in the situation. However, anything approved
today can be changed going forward, so if the Council acts today and
definitively closes the door on those three things, it can change its mind and
change it. The danger is that if the City doesn't act within that time period,
Palm Desert may be precluded in the future from regulating to the extend
desired. He said BB&K represented a number of cities and the goal is to put
in place stringent regulations it can rely on. He said the whole situation is
influx, and the anticipation is that there will be ballot measures for voting in
November for legalization of recreational marijuana, which is driving this
whole process of trying to get a regulatory environment in place before
November when the door is kind of open. This is the City first attempt to
avoid being precluded from taking action down the line.
Councilman Jonathan clarified that there was no question that State
regulations are going to be effective March 1, 2016. So if the City doesn't
have it's own Ordinance in place, making its position clear on these points,
then the State regulations supercede whatever the City wants.
Mr. Hargreaves concurred.
Mayor Spiegel declared the public hearing ❑ en and invited public testimony
FAVORING or OPPOSING this matter.
MR. JEFF RIDGE, Desert Hot Springs, California, stated he was President
of 215 Kush Collective Inc., a nonprofit medical marijuana delivery service,
and he's been in operation for five years now. He said the Valley had
patients that rely on a mobile delivery for their marijuana; some are on
ventilators, can't get out of the house, or have a care giver, so there is a
need for delivery of medical cannabis. He recommended the Council go a
step further, because there are people that don't like ordering delivery, is to
look into dispensaries. He said the City could put it to a vote by its residents
and tax medical cannabis. He said Cathedral City has passed a tax at 15%,
Palm Springs is at 10%, and Desert Hot Springs is at 10%, which all went to
the General Fund, so there is benefit to the City. As far as the State
deadline, he felt everyone was panicking, because the new State law gives
cities regulation, it's not taken away. The only way to get a State license is
to get a City permit/license as well. He believed that after the March
deadline, Palm Desert will still have full control. In fact, even the most
prominent bill that looks like it could pass in 2016 for recreational marijuana,
it basically following what the State legislatures have done to try to regulate
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medical marijuana. Therefore, whatever State law might pass, will still give
local control.
With no further testimony offered, Mayor Spiegel declared the public hearing closed.
Mayor Pro Tern Harnik responding to Councilmember Weber's previous
comment regarding the plastic bag ban, stated she hadn't spoken to all those
people she claims didn't like the plastic bag ordinance, as it seems to be
going very well and people seem to have adjusted; she believed the Council
did a good thing forthe community. Secondly, anything the Council can d❑
to maintain local control, it should be doing it. Further, she didn't believe in
taxing people for their pharmaceutical, if in fact it is, stating it was an
imposition and it was wrong.
Councilman Jonathan stated there was certain stigma to medical marijuana,
but it's a very effective alternative for many people, and he knew some of
those people. He was in favor of implementing the Ordinances, because this
was about retaining control. However, he was concerned about the delivery,
because many people can't afford a caretaker or have someone in their
home that can pick up their medicine. He didn't mind implementing the
proposed Ordinances today, but believed the Council needed to keep an
open mind, and if there are complaints about the delivery issue, it can always
be revisited.
Councilmember Weber said she has not read the State ordinance, so when
someone in front of her claims that under the State Ordinance a City can still
regulate it with its city Iicense, she agrees the Council shouIdn'tjump into this
out of fear, thinking the State is going to tell the City what to do. She had
absolute confidence that the City has been able to coordinate the running of
the City no matter what laws came down from the State. Adding that she will
vote against staffs recommendation and worry about it down the road, and
figure out what the Council can do in a proper manner utilizing City licenses
to control what it wants to do.
Councilman Tanner moved to: 1) Waive further reading and adopt Ordinance
No.1300, establishing an Interim Urgency Ordinance to create a temporary moratorium on
cannabis dispensaries, cannabis manufacturers, cultivation, and delivery of cannabis in the
City of Palm Desert; 2) waive further reading and Pass Ordinance No. 1301 to second
reading, approving ZOA 15-322, amending Palm Desert Municipal Code Section 25.34.120
to prohibit cannabis dispensaries, cannabis manufacturers, cultivation, and delivery of
cannabis in the City of Palm Desert. Motion was seconded by Harnik and carried by a 4-1
vote (AYES: Harnik, Jonathan, Tanner, and Spiegel; NOES: Weber).
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C. REQUEST TO COMMENCE WITH COMMUNITY DEVELOPMENT BLOCK
GRANT [CDBG] FISCAL YEAR 2016/2017 GRANT APPLICATION
PROCESS AND ONE-YEAR ACTION PLAN.
Ms. Riddle stated this evening is about opening the public comment section
for the Community Development Block Grant Program for 2016/2017, and
to open the Grant Application Process.
Mayor Spiegel declared the public hearing alien and invited public testimony on this
matter.
MR. BOB HORN, Red Circle, Palm Desert, stated he was the founder and
president of two non -profits for which he will submit applications for CDBG
funds. He noted that one of his board members for Red Hot Ballroom spoke
earlier under Oral Communications of this Agenda. He said the Red Hot
Ballroom Program was in it's 8" year of working at the schools. However,
there was the misconception that the schools were paying the bill, but that
wasn't so. In fact, they got into the business, because the schools had no
money for the Arts. Therefore, he formed a non-profit organization, and they
raise about $60,000 a year, which is used for dance outfits and all kinds of
things for the kids. His second non-profit has to do with Autism children,
stating it was growing in epidemic proportions; 1 out of 68 children are
diagnosed with Autism. It troubled him that very little is offered to special
needs kids, stating they are kept in separate classroom in each of the
schools and not allowed to participate. His program, which is under a
medical advisory board, offers music and motion therapy. He said music
opened up both sides of the brain, which helps with physical and heart
movement. He went on to say they are about to open up a facility in Indio,
which was supposed to be in Palm Desert, but they encountered difficulties
with their negotiations. At this facility, they wi11 be offering ballroom dancing,
stating it helps kids overcome shyness, and they will also offer singing. He
said many Autistic kids have not spoken from birth, but by humming and
singing the words, some get their voices back, adding they have colleagues
wanting to support them from Desert Hot Springs and the Braille Institute.
He said the program was very extensive, it was not just a one time thing, as
they work with these children for 26 weeks. He said the program gives these
special needs parents hope for their kids.
MS. SHERRY FINKE, Coachella Valley Rescue Mission (CVRM), thanked
the City of Palm Desert for its continued support over the years. She
explained that the Mission brought people from hopelessness to becoming
reintegrated, self-sustaining, and independent members of society, but they
simply couldn't serve the numbers they do without the help of the cities. In
2014, they served 1,399 individuals, of which 37% were women, 7% are
veterans, and 18% are domestic survivors of violence, that number grew
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from 3% last year to 18.3% this year. She said they have applied for CDBG
funding in the pass, and this year they will be applying again and using the
funds for their Emergency Services Overnight Annex Program. They were
fortunate this year to expand their services by opening a dedicated facility,
10,000 square feet, solely to house that program. The facility is a place of
refuge for those emergency overnight services clients; it's a safe, secure,
and in a climate control environment. Additionally, case managers' work with
individuals one on one to assist with housing and/or finding help for those
dealing with substance abuse issues, undiagnosed mental illness, or being
chronically homeless. She said it was very important to be open 24 hours
a day, because their approach is to help individuals get back on track. With
the opening of this annex building they have been able to improve their
services to add a program known as the Community Outreach Resource
Program (CORP). She went on to say they are a nonprofit stakeholder, they
partner with other County agency stakeholders for support, and they hoped
the City will continue to partner with them as well.
MS. LAURA NASHISON, Senior Grant Writer for the Desert AIDS Project
(DAP) in Palm Springs and resident of Palm Desert. She said DAP
commends this Council and the City of Palm Desert for the commitment to
developing the Needs Assessment and for implementing the CDBG funding
program. In particular, appreciating the Needs Assessment's, recognition
that persons with HIV/AIDS suffer from a disability that challenges them to
maintain food and housing security. DAP also extends its gratitude for the
support provided to make their facility more energy efficient, stating it was a
pleasure to work with the City's Department of Special Programs. Receiving
CDBG funds for capital improvement has allowed DAP to prioritize funding
for direct client services. They serve almost 3,000 regular clients, which are
predominately low and very low income persons baffling HIV. They depend
on DAP's healthcare and social services to achieve positive health
outcomes. Additionally, they provide the largest HIV testing and prevention
education program in the Coachella Valley, conducting more than 6,000
tests yearly. It is well known that the Coachella Valley has one of the highest
HIV rates in Riverside County. Although, their primary facility is in Palm
Springs, they serve the entire Coachella Valley, including Palm Desert. She
said DAP's services and programs reduce the risk of infection transmission
by ensuring that clients receive the necessary mental and dental healthcare
they need to adhere to treatment. Their food distribution and housing
assistance services prevent hunger and homelessness, both contributing
factors to falling out of care and raising the risk of infection transmission.
MS. CONNIE GOLDS, Founding Director of Desert Best Friends Closet,
stated they have been fortunate to receive CDBG funding from the City of
Palm Desert in the past and hoped they will be considered for funding next
year. She said their mission is to empower low income Coachella Valley
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residents to attain employment through their education and wardrobe
services. She is primarily requesting CDBG funding in order to purchase
items to fill the gap in clothing donations. Although the purchases of a plus
size suit, a shape ware, or a belt may seem trivial, it represented opportunity
to their clients. Opportunity to compete on a level playing field with other job
applicants, and opportunity for them to secure economic self-sufficiency.
She said they teach their clients how to make that positive first impression.
They have expanded their services to include job -search readiness
workshops that support seekers.
MS. MONICA LOPEZ, Program Manager at the Fair Housing Council of
Riverside County, thanked the City fortheir continued support. She said their
agency is nonprofit and they will be seeking funding for the 2016/2017 fiscal
year underthe C D B G grant, to continue services it currently provides to Palm
Desert residents. The Fair Housing Council's goal is to provide
comprehensive services that will affirmatively address and promote equal
housing opportunities for all individuals throughout the communities and
eliminate housing disparities, including guidance in resolving housing
disputes. She said housing was one of the main barriers for many
individuals in being able to obtain home ownership. She said there was an
increase of number of calls from individuals who are being displaced in this
area because of the high increase in rent. Their services include,
anti -discrimination services, education on fair housing loans to housing
providers and residents, conduct outreach activities to educate the public
about equal housing opportunities. They also provide landlord tenant
mediation services, and education and counseling services to tenants and
landlords on their rights and responsibilities. The goal is to assist more than
800 Palm Desert residents during the 2016/2017 fiscal year, and they will be
requesting $31,967. She said they looked forward to submitting their
proposal and speaking to the Council at the next meeting. She handed out
a flyer of their upcoming workshop.
Mayor Spiegel left the public hearing open for the Community Development Block
Grant Program for 2016/2017, and the Grant Application Process.
0:4'111M:4 01=7:4=1 �,1_1N1114�
A. CITY MANAGER
1. City Manager Meeting Summaries Report for the Period of
November 2- 25, 2015.
Mr. Wohlmuth noted his printed report provided in the agenda packets
and offered to answer questions. In response to Mayor Spiegel's
question as to why the Licenses, Permits & Charges revenue item
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was down 93% on the General Fund Financial Report, he and
Mr. Gibson said that was mostly attributable to building activity being
much less this year than last year. Prior year saw a great many more
permits from building activity at Westfield Mall and other large
projects.
With City Council concurrence, the City Manager's Meeting Summaries were
received and filed.
2. Director of Community Development Appointment
Mr. Wohlmuth reported that he'd already notified City
Councilmembers and now wished to publicly announce that the City
has offered the Director of Community Development position to
current Senior Management Analyst Ryan Stendell, which he's
accepted and will begin officially on Monday, December 28. He went
on to also publicly thank current Acting Director of Community
Development Tony Bagato for serving in this capacity the last two
months. Further, he shared that there were three internal and two
external candidates for the position; and he was tremendously proud
of Tony Bagato, Ryan Stendell, and Eric Ceja for being as prepared
and wanting to take the next step with the City of Palm Desert. He
assured City Council that there is a fine "bench" of candidates in the
City organization, certainly in the Community Development
Department.
Councilmembers congratulated Ryan and Tony for their good work.
B. CITY ATTORNEY
None
C. CITY CLERK
None
D. PUBLIC SAFETY
1. Fire Department
None
2. Police Department
None
39
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REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 10, 2015
E. MAYOR AND MEMBERS OF THE CITY COUNCIL
Mavor's Meetina Summaries Report for the Period of
November 7 - 27, 2015.
Then-MayorfCouncilmember Weber went on to report that on
November 19, Councilman Jonathan and she attended the Cal State
San Bernardino 2nd Annual Founder's Society Dinner, where the City
was presented with a Founder's Society Medallion. She added the
Founder's Society was comprised of people, organizations, or non-
profits who have donated considerable money to the Palm Desert
Campus. She looked forward to displaying the medallion in the lobby
display case.
With City Council concurrence, the Meeting Summaries Report was received and
filed.
2. Council Reauests for Action/Committee Reports/Comments:
a) Councilman Van Tanner Reports and Comments —
attended/participated in the noted items and made comments,
as follows:
- Riverside County Sheriff's Department Blue Light Ceremony
at Rancho Mirage City Hall on Monday night, December 7;
fit individuals were recognized and remembered for giving
their lives in the line of duty.
- Jean M. Benson Childcare Center Christmas Program
presented by the 2-4 year -olds last evening, and it was great
fun.
- College of the Desert Foundation Citizens of Distinction
Awards Luncheon today where Mayor Pro Tem Harnik
presided and did so wonderfully.
- Shelter From The Storm "Hats Off' Luncheon tomorrow.
- City Employee Holiday Party on Saturday night at The Living
Desert Reserve.
bj Mayor Pro Tem Jan Harnik Reports and Comments — Mayor
Pro Tem Harnik attended/participated in the noted items and
made comments, as follows:
- UCR Update received by Mayor Spiegel, City Manager, and
she a few weeks ago, nice to hear that they still are committed
to the City and are trying to find the best ways to work with us.
- P.D.H.S. Ophelia Girls City Hall Visit where many City female
staffers, Councilmember Weber, and she spoke to the girls to
provide insight and professional advice.
5If:
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- B.A.M. (Behind A Miracle) on El Paseo was another great
event on Saturday, November 21.
- CVAG is looking for an efficient and cost-effective way to
solicit public input for the CV/Link Project. This is important for
both resident -voters and to hear from seasonal residents as
well.
- Peace Officer Public Safety Awards Luncheon on Tuesday,
November 24.
- American Fundraising Professionals' Luncheon on
Wednesday, November 18, where good friend and outstanding
community member Jan Hawkins was honored and made an
absolutely inspirational two -minute acceptance speech —talking
about how everyone can give two minutes back to their
community and make a huge impact. She encouraged
everyone to find their two -minute philanthropic endeavor.
- Loving All Animals Super Pet Adoption Event in Civic Center
Park on Saturday -Sunday, November 14-15. She said it was
a great, well -organized event where she adopted two cats
herself.
c} Councilman Sabbv Jonathan Resorts/Comments - Councilman
Jonathan attended/participated in the noted items and made
comments, as follows:
- CVEP (Coachella Valley Economic Partnership) Economic
Summit.
- Palm Desert Charter Middle School Annual Dinner.
- COD Foundation Kickoff Reception.
- Bighorn Sheep institute Annual Party.
- Backyard Beekeeping Committee Meeting.
- Citizens' Sustainability Committee Meeting.
- Family YMCA of the Desert Board Meeting.
- City Hall SMART Team Meeting.
- Cove Communities Services Commission Meeting.
- Cal State Palm Desert Campus Annual Founder's Dinner.
- Memorial Service for former City Attorney Dave Erwin - all of
Council attended.
- Heart Walk at Civic Center Park.
- Palm Desert Country Club Open Space Committee, along
with couple of other Councilmembers.
- B.A.M. on El Paseo.
- Peace Officers Public Safety Awards Luncheon.
- Martha's Village Turkey Trot on El Paseo.
- Reopening of the Community Garden on Guadalupe.
- Met with Lee Vanderbeck and received a tour of Joslyn
Center; great things going on there.
Eli
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- Utility Undergrounding Ad Hoc Committee Meeting.
- Palm Desert Area Chamber of Commerce Breakfast.
- Palm Desert Historical Society Fall Luncheon - attended
along with other Councilmembers.
- Housing Commission Meeting.
- COD Academic Angels Citizens of Distinction Luncheon
today, and he also congratulated Mayor Pro Tern Harnik for
her opening comments there.
d) Mayor Sr)ieael Reports/Comments -
- SunLine Transit Agency had a goal of collecting 15 tons but
ended up collecting 16'/z tons during their recent food drive. It
was conducted in three locations, one being at the Palm
Desert Walmart, with two-thirds of the food being distributed
down -Valley, one-third up -Valley.
e) Mavor Pro Tem Jan Harnik Reauest for Action - Review of the
Sign Ordinance on El Paseo once again. Believes some
simple changes could make it more effective for both retailers
and shoppers.
3. Council Consideration of Travel Reauests and Reports:
None
XIX. ADJOURNMENT
With City Council concurrence, Mayor Spiegel adjourned the meeting at 6:46 p.m.
ROBERT A. SPIEGEL, MAYOR
ATTEST:
RACHELLE D. KLASSEN, CITY CLERK
CITY OF PALM DESERT, CALIFORNIA