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HomeMy WebLinkAboutRes OB-112 (2)RESOLUTION NO. OB - 112 A RESOLUTION OF THE OVERSIGHT BOARD OF DIRECTORS OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY, RECEIVING AND FILING MINUTES OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETINGS OF DECEMBER 11, 2014, AND JANUARY 8, 2015 RECITALS: A. Pursuant to Health and Safety Code Section 34179(3), all actions taken by the Oversight Board of the Successor Agency to the Palm Desert Redevelopment Agency (the "Oversight Board") shall be adopted by resolution. B. There has been presented to this Oversight Board for approval, receiving and filing of Minutes of the Successor Agency to the Palm Desert Redevelopment Agency Meetings of December 11, 2014, and January 8, 2015. NOW, THEREFORE, THE OVERSIGHT BOARD OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY HEREBY FINDS, DETERMINES, RESOLVES, AND ORDERS AS FOLLOWS: Section 1. The above recitals are true and correct and are a substantive part of this Resolution. Section 2. The Oversight Board hereby approves receiving and filing Minutes of the Successor Agency to the Palm Desert Redevelopment Agency Meetings of December 11, 2014, and January 8, 2015, which are made a part hereof and attached hereto as "Exhibit `A'." Section 3. The staff of the Successor Agency is hereby directed to provide the State Department of Finance ("DOF") written notice and information regarding the action taken by the Oversight Board in Section 2 of this Resolution. Such notice and information shall be provided by electronic means and in a manner of DOF's choosing. Section 4. The officers of the Oversight Board and staff of the Successor Agency are hereby authorized and directed, jointly and severally, to do any and all things that they may deem necessary or advisable to effectuate this Resolution. PASSED, APPROVED, AND ADOPTED this 23rd day of February, 2015. AYES: NOES: ABSENT: ABSTAIN: ATTEST: ROBERT A. SPIEGEL, CHAIR C -r,,ZJoncoki LQfsc r' J BY OVERSIGHT BOARD ON 2--3 - 2— LF RACHELLE D. KLASSEN, SECRETARY VERIFIES sr OVERSIGHT BOARD OF THE SUCCESSOR AGENCY Original on file with City Clerk's Offi TO THE PALM DESERT REDEVELOPMENT AGENCY RESOLUTION NO. OB - 112 EXHIBIT A SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING MINUTES December 11, 2014 January 8, 2015 2 RESOLUTION NO. OB-112 MINUTES REGULAR MEETING OF THE BOARD OF DIRECTORS OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY THURSDAY, DECEMBER 11, 2014 CIVIC CENTER COUNCIL CHAMBER 73510 FRED WARING DRIVE, PALM DESERT, CA 92260 I. CALL TO ORDER - 3:00 P.M. I1. ROLL CALL Present: Director Jean M. Benson Director Jan C. Hamik Director Robert A. Spiegel Vice Chair Susan Marie Weber Chair Van G. Tanner Present at 4:00 D.m. Reconvening : Director -elect Sabby Jonathan Also Present: John M. Wohlmuth, Executive Director David J. Erwin, City Attomey Rudy P. Acosta, Assistant City Manager Rachelle D. Klassen, Secretary Russell Grance, Director of Building & Safety Lauri Aylaian, Director of Community Development Martin Alvarez, Director of Economic Development Paul S. Gibson, Director of Finance/City Treasurer Janet M. Moore, Director of Housing Mark Greenwood, Director of Public Works Frankie Riddle, Director of Special Programs Stephen Y. Aryan, Risk Manager Casey Hartman, Battalion Chief, Palm Desert Fire/Riverside Co. Fire Dept./Cal Fire Bill Sullivan, Asst. Chief, Palm Desert Police/Riverside Co. Sheriff's Department Grace L. Mendoza, Deputy City Clerk RESOLUTION NO. OB-112 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING III. ADJOURN TO CLOSED SESSION Reauest for Closed Session: DECEMBER 11, 2014 A. Conference with Real Property Negotiator pursuant to Government Code Section 54956.8: 1) Property: 42455 Washington Street (APN 637-017-002), Palm Desert Negotiating Parties: Agency: John M. Wohlmuth/Rudy P. Acosta/Martin Alvarez/ Successor Agency to the Palm Desert Redevelopment Agency Property Owner: Successor Agency to the Palm Desert Redevelopment Agency Under Negotiation: x Price x Terms of Payment With Successor Agency Board concurrence, Chair Tanner adjourned the meeting to Closed Session at 3:01 p.m. He reconvened the meeting at 4:04 p.m. IV. RECONVENE REGULAR MEETING - 4:00 P.M. A. REPORT ON ACTION FROM CLOSED SESSION. None Note: During the Palm Desert City Council Meeting conducted immediately prior to this Successor Agency Board Meeting, declaration of the 2014 General Municipal Election was made, reorganization of the City Council and annual Mayoral Rotation occurred, with Susan Marie Weber being appointed Mayor (Chair of the Successor Agency Board), and Robert A. Spiegel being appointed Mayor Pro Tem (Vice Chair of the Successor Agency Board), and the rest of the roster was set, including Directors Jan C. Hamik, Sabby Jonathan, and Van G. Tanner. V. AWARDS, PRESENTATIONS, AND APPOINTMENTS None 2 RESOLUTION NO. OB-112 1 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING VI. CONSENT CALENDAR DECEMBER 11, 2014 A. MINUTES of the November 13 and November 27, 2014, Regular Meetings of the Board of Directors of the Successor Agency to the Palm Desert Redevelopment Agency. Rec: Approve as presented. B. CLAIMS AND DEMANDS AGAINST SUCCESSOR AGENCY TREASURY - Warrant Nos. 116SA, 122SA, 127SA, and 132SA. Rec: Approve as presented. C. COMPLIANCE ANALYSIS AND INVESTMENT REPORTS for the Month of October 2014 (Joint Consideration with the Palm Desert City Council). Rec: Receive and file. Upon a motion by Spiegel, second by Tanner, and 4-0-1 vote of the Board of Directors of the Successor Agency (AYES: Harnik, Spiegel, Tanner, and Weber; NOES: None; ABSTAINING: Jonathan), the Consent Calendar was approved as presented. VII. CONSENT ITEMS HELD OVER None VIII. RESOLUTIONS None IX. NEW BUSINESS A. CONSIDERATION OF A REQUEST FOR SEPARATE FUNDING FOR THE FOOD & WINE FESTIVAL PALM DESERT 2015 AND RELATED EVENT AUTHORIZATIONS (CONTRACT NO. C34090) (JOINT CONSIDERATION WITH THE PALM DESERT CITY COUNCIL). Economic Development Manager Ruth Ann Moore stated the Food & Wine Festival Palm Desert began four years ago in 2012, which uses the tents during Fashion Week in March of each year. The Festival consists of three afternoons over the weekend. Friday afternoon includes a five -course luncheon that features one of the national chefs in cooking and wine pairing, and on Saturday and Sunday aftemoon is the grand tasting event. The Festival has grown in stature 3 RESOLUTION NO. OB-112 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING DECEMBER 11, 2014 and cache with its alliance of the James Beard Foundation. Last year's event included 23 celebrity chefs, including four of the top chefs in America as rated by the Food + Wine Magazine; these chefs provide multiple cooking demonstrations featured throughout the festival. As part of the event, there are 36 restaurants sampling food, 43 wineries sample their varieties of wine, 5 wine seminars, 6 craft beers, and 4 craft beer seminars. She provided a two -minute video that showcased the Food & Wine Festival Palm Desert. After the video was shown, she went on to say attendance was now 3,000, which was a 23% increase over 2013. However, with success also came challenges, stating it was not an exaggeration that the event in its current configuration is busting at the seams. She said that with these crowds the tents have become overly warm and very noisy. In order to continue to grow the event and attract the desired demographic that typically attends these festival, the experience requires enhancements to the facilities. Palm Springs Life (PSL) is requesting additional funding of $75,000 to improve the air conditioning in its tents and erect three new one to be used exclusively for chef demonstrations. She said these tents will seat 100 attendees each, but they will also provide adequate audio visual and air conditioning. The funding will also provide for a new entrance tent to accommodate a "marketplace" where sampled wines from the grand tasting will be sold. She said there was no other Southern California festival providing this benefit. Staff is also working with PSL to host a City concierge area where attendees can find information about City amenities and book restaurants during their stay. She said both Fashion Week and Food & Wine Festival Palm Desert will be moving from its current location in 2016. While City staff and PSL staff are working on a new location, there have been discussions to separate the festival into its own major event, which can take place at a different time in the year and in a different location than Fashion Week. Staff hopes to expand the event in both the variety and number of activities, making it another signature event in the City, which meets several of the priorities within Envision Palm Desert, the City's strategic plan to create and attract entertainment and events to enhance the experience of Palm Desert for both its economy and lifestyle. She said Frank Jones and Michael Mathews from Palm Springs Life were in attendance and available to answer any questions. Councilman/Director Jonathan said the staff report included the minutes from the Marketing Committee wherein the members shared their concern to have staff work with PSL for measurable processes to recoup the investment. He asked staff if that was part of the plan moving forward as the City invests the proposed significant amount, that staff will monitor and try to find ways to create a return. Ms. Moore answered yes, stating the City hopes to expand the event in 2016 into possibly its own signature event. However, if the City entered into a partnership agreement, staff needed to make sure everything was reviewed with attorneys to see what actually becomes a liability to the City versus just being a sponsor. 4 RESOLUTION NO. OB-112 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING DECEMBER 11, 2014 Councilman/Director Jonathan explained there is an expectation that the additional investment will result in additional participants, which will in turn result in additional sales tax and Transient Occupancy Tax (T.O.T.). Therefore, he asked staff to think about establishing a mechanism to gauge that cause and effect relationship. Ms. Moore agreed to work with PSL on that aspect. Mayor/Chair Weber asked if staff had any way of quantifying the increase from the hotels' regular business, and if it could be narrowed for both the hotels and restaurants. Ms. Moore said not for the hotels, but staff has been able to measure the traffic increase in the parking garages across the street from the events, stating specific traffic counts are kept. However, it's very difficult to get information from the stores, because individual sales didn't have to be disclosed to the City, but there is different information that is disclosed to their landlord, and staff has indications from the landlord that during both events, sales increased in the City. Mayor Pro TemNice Chair Spiegel pointed out this was by far the largest City event that attracts a lot of people to spend their money in Palm Desert. Mayor Pro Tem/Vice Chair Spiegel moved to, by Minute Motion: 1) Approve a separate funding of $75,000 for Food & Wine Festival Palm Desert 2015 to be used toward expansion of event facilities; 2) appropriate an additional $75,000 from Unobligated General Funds to Community Sponsorships for FY 2014-2015, Account No. 110-4416-414-3062; 3) authorize use of Successor Agency to the Palm Desert Redevelopment Agency -owned lot at the northeast corner of Shadow Mountain Drive/Larkspur Lane for the events in March 2015; 4) authorize closing a portion of Larkspur Lane in the evenings from 5:00 p.m. - 10:00 p.m. during events in March 2015; 5) authorize use of the north side of Shadow Mountain Drive behind The Gardens On El Paseo and the event for valet parking; 6) permit the consumption of alcoholic beverages on Successor Agency -owned property; 7) authorize City Manager to execute the additional sponsorship agreement and allow City Attorney to make non -substantive changes. Motion was seconded by Harnik. Councilmember/Director Harnik agreed measuring and quantifying was important, but a lot of the effects and benefits are intangible. She and Mayor Pro Tem Spiegel sit on the Marketing and the Hotel & Special Events Committee, and they are always looking for these signature events, which are needed to generate revenue to support this wonderful life in Palm Desert. She said these high profile events raise the image of Palm Desert, and every year she attends Fashion Week, and last year for the first time attended the Food & Wine event. She was amazed as to how wonderful it was, but she also noticed how warm the tent was as well. She said whenever the City sponsors any event, the immediate multiplier won't be seen, but what happened with Fashion Week will happen with the Food & Wine 5 RESOLUTION NO. OB-112 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING DECEMBER 11, 2014 Palm Desert event. However, Food & Wine has grown organically without the City having to work hard to turn it into what it is today. Councilman/Director Tanner stated the comment that jumped out at him from the Marketing Committee minutes was for people not look at the City continuously for X amount of dollars. He understands that if the City contributes $75,000, the opportunity for additional sponsorships will come, and he didn't want that effort to stop. He asked PSL to continue to get sponsorships to get a larger return on investment for everyone involved. He said he loved both events. Councilman/Director Jonathan concurred with previous comments, but if the City can demonstrate to its constituents that there is a financial return on the investment and partnership with Palm Springs Life, so much the better. MR. MICHAEL MATHEWS, Palm Springs Life, thanked the Council for its support, stating they truly believe in what they have been able to accomplish in conjunction with the City. In response to Councilman Tanner's concern, he said they never ease up on trying to find sponsorships, noting they have secured Aqua Caliente Resort Spa & Casino as the presenting sponsor, which they didn't have previously. However, it takes a lot of sponsorships to make an event like this work. With respect to the tents, the upgrade includes flooring, infrastructure, labor, etc., and the air conditioning is a crucial part. If there was any real criticism of Food & Wine, it was about the heat and wanting cooler tents. He can say with a lot of enthusiasm, right now versus last year, they have double their ticket sales, which meant people are responding to this event. Previously, the event had 3,000 attendees, and he believed it will grow to about 4,500 next year. Mayor/Chair Weber said staff pointed out it was Palm Desert's name on the event, even though the City is sponsoring, which is an advantage to the City of Palm Desert for a signature event. Ms. Moore agreed, stating Palm Desert is named in all the advertising for this event, including the national Sunset Magazine. Mayor/Chair Weber called for the vote and the motion carried by a 5-0 vote (AYES: Hamik, Jonathan, Spiegel, Tanner, and Weber; NOES: None). X. CONTINUED BUSINESS None XI. OLD BUSINESS None 6 RESOLUTION NO. OB-112 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY ME TING DECEMBER 11, 2014 XII. PUBLIC HEARINGS None XIII. REPORTS, REMARKS, SUCCESSOR AGENCY BOARD ITEMS REQUIRING ACTION A. EXECUTIVE DIRECTOR None B. SUCCESSOR AGENCY COUNSEL None C. CHAIR AND MEMBERS OF THE SUCCESSOR AGENCY None XIV. ADJOURNMENT On a motion by Spiegel and unanimous consent of the Successor Agency Board, Chair Weber adjourned the meeting at 6:51 p.m. ATTEST: �-.. - SUSAN MARIE WEBER, CHAIR RA IfE LE D . KLASSE ' , SECRETARY) SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY 7 RESOLUTION NO. OB - 112 [THIS PAGE LEFT INTENTIONALLY BLANK.] RESOLUTION NO. OB-112 MINUTES REGULAR MEETING OF THE BOARD OF DIRECTORS OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY THURSDAY, JANUARY 8, 2015 CIVIC CENTER COUNCIL CHAMBER 73510 FRED WARING DRIVE, PALM DESERT, CA 92260 I. CALL TO ORDER - 3:00 P.M. Chair Weber convened the meeting at 3:01 p.m. II. ROLL CALL Present: Director Jan C. Harnik Director Sabby Jonathan Vice Chair Robert A. Spiegel Director Van G. Tanner Chair Susan Marie Weber Also Present: John M. Wohlmuth, Executive Director David J. Erwin, City Attorney Rudy P. Acosta, Assistant City Manager Rachelle D. Klassen, Secretary Russell Grance, Director of Building & Safety Lauri Aylaian, Director of Community Development Martin Alvarez, Director of Economic Development Paul S. Gibson, Director of Finance Janet M. Moore, Director of Housing Mark Greenwood, Director of Public Works Frankie Riddle, Director of Special Programs Stephen Y. Aryan, Risk Manager Bill Sullivan, Asst. Chief, Palm Desert Police/Riverside Co. Sheriff's Department Grace L. Mendoza, Deputy City Clerk III. ADJOURN TO CLOSED SESSION Reauest for Closed Session: None RESOLUTION NO. OB-112 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING JANUARY 8, 2015 With Successor Agency Board concurrence, Chair Weber adjourned the meeting to Closed Session of the City Council and Housing Authority at 3:02 p.m. She reconvened the meeting at 4:01 p.m. IV. RECONVENE REGULAR MEETING - 4:00 P.M. A. REPORT ON ACTION FROM CLOSED SESSION. None V. AWARDS, PRESENTATIONS, AND APPOINTMENTS None VI. CONSENT CALENDAR A. MINUTES of the December 11 and December 25, 2014, Regular Meetings of the Board of Directors of the Successor Agency to the Palm Desert Redevelopment Agency. Rec: Approve as presented. B. CLAIMS AND DEMANDS AGAINST SUCCESSOR AGENCY TREASURY - Warrant Nos. 138SA, 144SA, 146SA, and 152SA. Rec: Approve as presented. Upon a motion by Spiegel, second by Tanner, and 5-0 vote of the Board of Directors of the Successor Agency (AYES: Harnik, Jonathan, Spiegel, Tanner, and Weber; NOES: None), the Consent Calendar was approved as presented. VII. CONSENT ITEMS HELD OVER None VIII. RESOLUTIONS None 2 RESOLUTION NO. OB-112 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING IX. NEW BUSINESS JANUARY 8, 2015 A. REQUEST FOR APPROVAL OF A DISPOSITION AND DEVELOPMENT AGREEMENT, AUTHORIZING THE TRANSFER OF APPROXIMATELY 113 ACRES, KNOWN AS A.P.N. 694-200-001 AND PORTION OF A.P.N. 694-160-003, FROM THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY TO THE TRUSTEES OF THE CALIFORNIA STATE UNIVERSITY, PURSUANT TO THE LONG-RANGE PROPERTY MANAGEMENT PLAN (JOINT CONSIDERATION WITH THE PALM DESERT CITY COUNCIL). Mr. Alvarez stated the City and former Redevelopment Agency, which is now the Successor Agency, and Cal State San Bernardino have a long-standing relationship by the establishment of Cal State University San Bernardino, Palm Desert Campus at the corner of Cook Street and Frank Sinatra Drive. Staff has been working with Cal State to develop a Disposition and Development Agreement that would allow for the transfer of the remainder land owned by the Successor Agency to Cal State. What has transpired over the years is that in 2001 the former Redevelopment Agency transferred 55 acres to Cal State to develop Cal State University San Bernardino, Palm Desert Campus. To date, five buildings have been built and enrollment has grown to 1,100 students. With the Dissolution of Redevelopment, the Successor Agency now has to dispose those assets that were owned by the former Redevelopment Agency, one of which is now up for discussion and also listed on the Long -Range Property Management Plan (LRPMP); this asset has been approved to be transferred to Cal State as the remainder land. Additionally, there is 2.67 acres near Gerald Ford Drive that has been identified with the ability to transfer to the City for a future fire station, which has also been approved by the Department of Finance (DOF). Additionally, 20 acres are identified as UC Regents, which has already been transferred to University of California, Riverside for the Palm Desert Campus. The item before the Council this evening is a Disposition and Development Agreement that will allow the transfer of the remainder land to Cal State San Bernardino, which is identified in green in the map attached to the staff report. He said Cal State San Bernardino is in the process of a Master Plan, which will include the proposed acreage that will allow them to expand the University at a future date. The proposed Agreement includes the following provisions that give the City some ability and control: 1) CSU agrees that it shall use the Reserve Property strictly for educational purposes; 2) CSU agrees the words "Palm Desert" will be used on this campus for future name identification; 3) CSU shall not convey or sell the property without written consent from the Successor Agency and the City; 4) CSU will provide the City the opportunity to review future buildings, facility, and master planning along with other access points that will come about as part of the Master Plan process; 5) CSU shall provide the City with the opportunity to review landscaping so that there is consistency with sustainable principals and local water 3 RESOLUTION NO. OB-112 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING JANUARY 8, 2015 conservation efforts; 6) CSU will continue to work cooperatively with regional educational partners to advance higher learning opportunities in the Coachella Valley. He said staff has worked diligently with Cal State and both Legal Counsels to develop the proposed Agreement. He introduced members of Cal State that were present as follows: Dr. Douglas Freer, Vice President for Administration and Finance; Dr. Sharon Brown -Welty, Dean of Cal State -San Bernardino, Palm Desert Campus; Dr. John Welty, President Emeritus, CSU-Fresno, and CSU Trustee Professor; and Mr. Hamid Azhand, Director of Capital Planning. Mayor Pro TemNice Chair Spiegel stated he wants staff to ensure the City didn't end up with a Kentucky Fried Chicken (KFC) restaurant out there, which was his main concern. Mr. Alvarez replied there is language in the Agreement that allows Cal State to have food vendors and food restaurants for students just like a normal campus, but not a stand-alone facility that would be privately operated. Mayor Pro Tem/Vice Chair Spiegel asked if Cal State was still working on a dormitory. Cal State representatives indicated they were. Councilmember/Director Harnik commented she was happy to see this moving along. Councilman/Director Jonathan said staff eluded that the property is to be used as an educational institution, however, Section 3.1 of the Agreement limits that condition to 25 years. He questioned what happens after the 25 years and would the City lose its control allowing the State to do what it wants. Mr. Alvarez agreed it was a provision that potentially could allow it to happen, stating the 25-year limit is language used in previous agreements. However, once the land is transferred, the City is holding them to use the property for educational purposes, but after 25 years the Successor Agency has gone away and those provisions fade off into the distance. He said it was a good question and it can be discussed with Cal State as well. Councilman/Director Jonathan stated 25 years often seems like a long time, but it feels like it's been 25 years since a few on the Council started the satellite campus at the College of the Desert grounds in trailers. Therefore, the 25-year provision concerned him because Cal State may not build out the whole thing and use part of the land to have a storage yard, etc. He has seen other agreements where there is a condition that if the use is something other than educational, ownership of the property reverts back to the City. Additionally, in Section 3.2 the word "Palm Desert" is required to appear in the name of the campus in some way, shape, or form. However, he had the pleasure of meeting with Dr. Welty, who gave him the understanding that it was not an easy thing to just say it will be so 4 RESOLUION NO. OB-112 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING JANUARY 8, 2015 because it wasn't that simple. He said the provision is soft in that there is an exception that states, "unless a different name is designated beyond CSU's control," and for what the City has given to this campus, including this land, he hoped that unconditionally the words "Palm Desert" will appear in the name of this campus. Councilmember/Director Harnik agreed, stating the language between Section 3.1 and Section 3.2 conflicted. She asked if the word "shall" can be included in both sections. Councilman/DirectorJonathan suggested omitting the sentence that states "unless a different name is designated," under Section 3.2. He said maybe representatives from CSU may address this, but his preference was to not have a 25-year limit on the educational use, and if a limit needed to be included, the Agreement needs to indicate ownership reverts back to the City if it's ever used for something other than educational purposes. Mayor/Chair Weber and Councilmember/Director Hamik questioned if the language of the 25-year limit needed to be included in the agreement. Mr. Alvarez replied the 25-year limit language has been used in previous agreement in terms of life of agreements, specifically Disposition and Development Agreements (DDA). He agreed to bring the matter up and discuss it with Cal State. DR. DOUGLAS FREER, Vice President for Administration & Finance at Cal State, San Bernardino, explained that Cal State's restrictions would also prevent them from turning some portion of the property over for some other use besides education. He said their agreement under its own Trustees required them to use the property for educational purposes for a period beyond 25 years, as long as it was still within the control of the University. Councilman/Director Jonathan stated that elimination of the 25-year provision in Section 3.1 should then not pose an issue. DR. FREER replied he didn't have an answer for sure, stating he would have to finish the consultation on the matter with their counsel. However, he reiterated Cal State is held to the same type of agreement that once they take the land for educational purposes, they have to commit to using it for that purpose. Councilman/Director Jonathan expressed concem that current players may not be around 25 years from now, and if the State wanted a waste station on 20 of those acres, they could do it after 25 years. 5 RESOLUTION NO. OB-112 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING JANUARY 8, 2015 Councilmember/Director Harnik asked if the language on the 25-year limit had anything to do with the State or Successor Agency. Mr. Alvarez answered no, stating it was just language used in previous agreements. DR. FREER said Cal State University is prepared to accept the name "Palm Desert" as the recommendation, but in all the naming of its campuses there is always the overwrite that can come from the Governor. However, CaI State has to reasonably assume that once the Board of Trustees has adopted the name, that's the recommendation going forward. Mayor/Chair Weber asked for further clarification in that the Governor could change the name of the campus once the property is transferred. DR. FREER said he didn't know for certain, but he would assume, if the campus was ever to be designated as an independent CSU campus, the conversation would be in front of the whole board about the naming of the campus. Councilmember/Director Harnik noted there was also the potential it could be named CSU-Coachella Valley, but she would certainly like to have the name "Palm Desert" included. DR. FREER said it was Cal State's intention to reiterate the importance of the Palm Desert name, and they plan to include it in this Agreement, and he saw no reason why someone would change it at some future date. Councilman/Director Tanner inquired about CaI State University Code 89046, which states "Cal State may lease or license the operation of retail, commercial, restaurant and service uses as defined by CSU's mission," asking if alcohol can be on the campus at this point. DR. FREER replied there was that possibility. He said most of their campuses have an overwhelming percentage of students that are not even 21 years of age, but most of their campuses have a small venue, obviously under significant control. The examples' one sees at a campus is never a stand-alone fast-food practice, but there is a food court, student union, or an athletic venue in the form of food stands as part of the general operations of the University. Mayor/Chair Weber shared that when she was at Cal State University in San Bernardino, there was alcohol served in the student union, asking if that meant there will be alcohol at the Palm Desert campus. Councilman/Director Tanner commented it was allowed under Cal State's Code. 6 RESOLUTION NO. OB-112 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING JANUARY 8, 2015 DR. FREER said there could be, but they haven't made any determination of the kind of venues that would be in any of the future buildings. Councilman/Director Tanner pointed out alcohol is being sold right across the street from the campus. Mayor Pro Tem/Vice Chair Spiegel said the only real question was on the 25-year limit on the use of the property, but if the language can be changed to state 50 years, it may make everyone happy. Councilmember/Director Harnik inquired about Cal State's limit on the use of the property, stating that Dr. Freer had eluded it was longer. DR. FREER said their assumption is similar to other land acquisitions for any CSU campus that once CSU accepts property for that purpose, he has never seen a situation where portions of land ends up being used for another purpose. In many cases, the campus grows to the point where it will need additional property at some future date. Mayor Pro Tem/Vice Chair Spiegel noted the Agreement didn't allow Cal State to use it for any other purpose. The Council/Board discussed the motion and agreed to striking language from Section 3.1 relating to the 25-year limit, and Section 3.2 in reference to the naming of the campus. DR. FREER stated he and Dr. Brown -Welty were fine with what is being proposed, but they obviously had to run the details with their legal counsel before it went to the Board of Trustees at the end of the month. Councilmember/Director Hamik moved to, waive further reading and adopt Resolution Nos. 2015 - 04 and SA -RDA 040, approving the subject Disposition and Development Agreement and related actions, with DDA amended, as follows: Section No. 3.1 - Use of Reserve Property, - with the first sentence to read "CSU agrees that it shall use the Reserve Property only for educational purposes as part of CSU mission and for no other purpose whatsoever, except as provided in this DDA," striking the phrase, " 01 1'V V V. Section 3.2 - Name - Subsection (ii) to read, "ifa separate campus of the CSU is built upon the Reserve Property, that the name of the CSU Campus shall be `California State University, Palm Desert'.", striking the phrase, ".. Motion was seconded by Jonathan and it carried by a 5-0 vote (AYES: Harnik, Jonathan, Spiegel, Tanner, and Weber; NOES: None). 7 RESOLUTION NO. OB-112 MINUTES SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY MEETING JANUARY 8, 2015 X. CONTINUED BUSINESS None XI. OLD BUSINESS None XII. PUBLIC HEARINGS None XIII. REPORTS, REMARKS, SUCCESSOR AGENCY BOARD ITEMS REQUIRING ACTION A. EXECUTIVE DIRECTOR None B. SUCCESSOR AGENCY COUNSEL None C. CHAIR AND MEMBERS OF THE SUCCESSOR AGENCY None XIV. ADJOURNMENT On a motion by Spiegel, second by Weber, and unanimous consent of the Successor Agency Board, Chair Weber adjourned the meeting at 7:48 p.m. ATTEST: RA EL E D. LASSEN, ECRETARY J SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY �-�- - Ll z w<r SUSAN MARIE WEBER, CHAIR 8