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HomeMy WebLinkAbout2002-12-12MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING THURSDAY, DECEMBER 12, 2002 CIVIC CENTER COUNCIL CHAMBER I. CALL TO ORDER - 3:00 P.M. Mayor Kelly convened the meeting at 3:00 p.m. II. ROLL CALL Present: Mayor Pro-Tempore Jean M. Benson Councilman Buford A. Crites Councilman Jim Ferguson Councilman Robert A. Spiegel Mayor Richard S. Kelly Also Present: Carlos L. Ortega, City Manager/RDA Executive Director David J. Erwin, City Attorney Sheila R. Gilligan, ACM for Community Services Homer Croy, ACM for Development Services Justin McCarthy, ACM for Redevelopment Amir Hamidzadeh, Acting Director of Building & Safety Phil Drell, Director of Community Development Paul S. Gibson, Director of Finance/City Treasurer Teresa L. La Rocca, Director of Housing Joseph S. Gaugush, Director of Public Works/City Engineer David Yrigoyen, Director of Redevelopment Robert P. Kohn, Director of Special Programs III. ORAL COMMUNICATIONS - A None IV. ADJOURN TO CLOSED SESSION Reauest for Closed Session: Conference with Legal Counsel regarding existing litigation pursuant to Government Code Section 54956.9(a): MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 a) Renee Capela v. City of Palm Desert, et al., Riverside County Superior Court Case No. INC 021720 Conference with Legal Counsel regarding significant exposure to litigation pursuant to Government Code Section 54956.9(b): Number of potential cases: 2 By unanimous vote, added 3 cases of potential litigation, making 5 total. By unanimous vote, added: Conference with Legal Counsel regarding significant potential to initiate litigation pursuant to Government Code Section 54956.9(c): Number of potential cases: 1 With Council concurrence, Mayor Kelly adjourned the meeting to Closed Session at 3:03 p.m. V. RECONVENE REGULAR MEETING - 4:00 P.M. Mayor Kelly reconvened the meeting at 4:00 p.m. A. REPORT ON ACTION FROM CLOSED SESSION. None VI. PLEDGE OF ALLEGIANCE - Mayor Richard S. Kelly VII. INVOCATION - Councilman Jim Ferguson VIII. ORAL COMMUNICATIONS - B MR. RICHARD WIDNEY, representing the Palm Desert Community Presbyterian Church, Palm Desert, addressed the City Council regarding the temporary generator set-up their church was using in connection with the remodeling/expansion project now underway. He said one of the neighbors called about the noise, about 66 decibels during the day, which was the same amount of noise as generated by Highway 74. At night, he said not much power was used other than for the alarms, meaning significantly less noise. If their operation was in violation of any City Codes, he asked the City Council's consideration of a waiver for the installation until Southern California Edison would agree to run temporary service to their existing facilities to keep them operational until permanent power was installed. He added that Edison had agreed to look into the matter, and it appeared the changeover 2 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 could happen as quickly as 10-14 days; in the meantime, they were unable to run the church unless they had portable power. Councilman Spiegel moved to add this item to the Agenda for Council discussion and action. Motion was seconded by Crites and carried by a 5-0 vote. Councilman Spiegel said he had received a telephone call earlier that day relative to the generator. He said supposedly, these electrical generators can operate from 8:00 a.m. to 5:00 p.m., Monday through Friday, and not on the weekends. Obviously, if the church did not have any electricity for the weekends, it would not be in a very good position to operate. He said he had gone to the site and listened to the noise on his way to City Offices, and there was one condominium adjacent to the church where the noise was discernable. The generator was as far away from the buildings as possible. He said this was during the day, and it was his understanding that at night the decibel levels are considerably lower. In addition, a member of City staff had gone to the site to measure the decibel level. Mr. Croy stated that because the ambient noise level was above 60 decibels during the day, which is the construction noise going on, the generator was not a factor during that time. The problem was in maintaining the emergency services, which would be for their alarms and fire systems. Without electrical power, they are left open to a possible fire hazard, which would increase the cost to them by having a — fire watch. He said if there was a way staff could work with the Applicant and find a way to get a temporary power pole hooked up to the emergency panel, this would allow the electricity to run the emergency power separately to the emergency services for fire. The generator would not be able to run past the 10:00 time because the limit drops to 45 decibels, and the ambient noise level in that neighborhood was even below that. Councilman Crites noted that evening need was for a relatively small amount of power. If the temporary power pole option does not work, perhaps a smaller generator could be located on the south side of the buildings, and all of the buildings would then buffer that noise from the neighboring condominiums. Councilman Ferguson said his concern was that the people affected be contacted and that a courtesy notice be sent that this will hopefully be resolved quickly and that they could contact the City if any further problems arose. Councilman Crites moved to authorize staff to work with the Church to find a manner for resolving the issues involved with generator usage, including sending a courtesy notification to neighboring residents of intentions to resolve the matter quickly and that if any further problems arose, they could contact the City. Motion was seconded by Spiegel and carried by a 5-0 vote. MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 MR. TOM ROBERTS MR. JAMES HUGHES MR. MEL FINGER The aforementioned, all residents of the Hidden Palms Development, asked the City Council to consider their concerns for Fred Waring Drive, which bordered their neighborhood on the north side: 1) Noise from all traffic. 2) Excessive traffic speed. 3) Attention to the sound wall proposed for the continued widening of Fred Waring past Deep Canyon, possibly modifying the existing wall to retain the character of the development. MR. ADAM LEEDS, on behalf of his father Gary Leeds, addressed the City Council relative to the matter of the Best Western Palm Desert Resort Hotel and Transient Occupancy Taxes. He said the Hotel had been losing a lot of money every month, and as a result the bank had now put a receivership on the property, and the Hotel would be going into bankruptcy. The positive side was that they had a viable buyer, and a deal was in the works. The problem was there was not enough money for the banks, the property taxes, and transient occupancy taxes required by the City. He added that when the sale occurs, no money would be going to his father and, in fact, he would be losing close to $1 to $1.5 million. He asked that the City reconsider, grant relief, and waive the penalties for the transient occupancy taxes. If this is not granted, the Hotel would go into bankruptcy because of the severity of the transient occupancy taxes and penalties. Councilman Spiegel moved to add this item to the Agenda. Motion was seconded by Ferguson and carried by a 5-0 vote. Mr. Erwin stated this matter had come to the Council previously, particularly in August when Mr. Gary Leeds was present and indicated a plan would be worked out, although that never occurred. The request had been to the Council previously to eliminate the penalties. He said perhaps the Council would consider allowing him to take this matter under consideration to review the escrow instructions and to assure the City that between the City Manager and City Attorney that no funds will be going out and there would be funds coming to the City that would satisfy the taxes that are due. Councilman Ferguson said if there is a buyer that can pull this out of bankruptcy and the deal is structure in a way that keeps the transient occupancy revenues flowing to the City, keeps the Hotel afloat, and keeps the applicant out of bankruptcy court, he was willing to look at it. However, it was impossible to make an objective decision until the City hears from the receiver and the buyer about the nature of the transaction and the escrow instructions. 4 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 With City Council concurrence, the City Attorney's office was authorized to take the request under consideration and work with the Leeds family and its attorney to review the escrow instructions from the pending sale in order to ensure the City's receipt of funds that would satisfy the taxes due. With Council concurrence, Mayor Kelly suspended the remainder of the Agenda at this point in order to consider Public Hearing Item A. Please see that portion of the Minutes for Council discussion. IX. AWARDS, PRESENTATIONS, AND APPOINTMENTS A. REORGANIZATION OF THE CITY COUNCIL. 1. SELECTION OF MAYOR AND MAYOR PRO-TEMPORE. Mayor Kelly declared the office of Mayor vacant and invited nominations for that position. Councilman Spiegel nominated Mayor Pro-Tem Jean M. Benson as Mayor. The nomination was seconded by Crites and carried by a 4-0-1 vote, with Benson ABSTAINING. Mayor Kelly declared the office of Mayor Pro-Tempore vacant and invited nominations for that position. Councilman Ferguson nominated Councilman Robert A. Spiegel as Mayor Pro-Tempore. Nomination was seconded by Crites and carried by a 5-0 vote. a) Comments by Outgoing Mayor and Mayor Pro-Tempore. Outgoing Mayor Kelly said it had been a pleasure for him to serve the City of Palm Desert and its residents as Mayor. The citizens treat the Councilmembers very well, and it is a pleasure to be out in the community. The City has great citizens and great staff, and he had enjoyed working with his colleagues on the Council. Outgoing Mayor Pro-Tem and newly selected Mayor Benson said it had been a pleasure for her in the past to represent the City of Palm Desert, and she was looking forward to serving in this capacity once again. She thanked outgoing Mayor Kelly for the great job he had done the past year. She also thanked the citizens and staff for working together for the good of the City. 5 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 b) Comments by Newly Selected Mayor and Mayor Pro-Tempore. Newly selected Mayor Pro-Tem Spiegel said he was proud of the Palm Desert, City staff, and his fellow Councilmembers. He read a Letter to the Editor, published in The Desert Sun while he was out of town for Thanksgiving, praising the City of Palm Desert and its staff, and he agreed with the writers. Reorganization: Mayor Jean M. Benson Mayor Pro-Tempore Robert A. Spiegel Councilman Buford A. Crites Councilman Jim Ferguson Councilman Richard S. Kelly X. CONSENT CALENDAR A. MINUTES of the Regular City Council Meetings of November 14, and November 28, 2002; and the Adjourned Joint City Council/Redevelopment Agency Meeting of December 3, 2002. Rec: Approve as presented. B. CLAIMS AND DEMANDS AGAINST THE CITY TREASURY - Warrant Nos. 119, 121, 125, 127, 130, 131, 136, 137, 140, 143, 124PDOC, and 134PDOC. Rec: Approve as presented. C-1. CLAIM AGAINST THE CITY (#477) by Susan Reed in an Unspecified Amount. Rec: By Minute Motion, reject the Claim and direct the City Clerk to so notify the Claimant. C-2. CLAIM AGAINST THE CITY (#496) by Brooke Biller-Deapen in an Unspecified Amount. Rec: By Minute Motion, reject the Claim and direct the City Clerk to so notify the Claimant. C-3. CLAIM AGAINST THE CITY (#497) by Dennis Lock in an Unspecified Amount. Rec: By Minute Motion, reject the Claim and direct the City Clerk to so notify the Claimant. 6 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 C-4. CLAIM AGAINST THE CITY (#498) by Alma June Weborg in the Amount of $1.4 Million. Rec: By Minute Motion, reject the Claim and direct the City Clerk to so notify the Claimant. D. CITY'S/AGENCY'S PORTFOLIO MASTER SUMMARY for October 2002 (Joint Consideration with the Palm Desert Redevelopment Agency). Rec: Receive and file. E. MINUTES of City Committee and Commission Meetings. 1. Housing Commission Meeting of October 9, 2002. 2. Investment and Finance Committee Meeting of October 23, 2002. 3. Library Promotion Committee Meeting of September 11, 2002. 4. Public Safety Commission Meeting of September 11, 2002. 5. Sister Cities Subcommittee Meeting of September 26, 2002. Rec: Receive and file F. REQUEST FOR ADOPTION of Resolutions of the City Council of the City of -- Palm Desert, California, Setting Forth Its Findings and Authorizing the Destruction of Files from the Department of Building & Safety that Have Been Digitally Imaged onto CDs (June, July, and August 2002). Rec: Waive further reading and adopt: 1) Resolution No. 02-149 (June 2002); 2) Resolution No. 02-150 (July 2002); 3) Resolution No. 02-151 (August 2002). G-1. REQUEST FOR DECLARATION, of Surplus Property and Disposal Authorization (Computer Equipment and Related Accessories). Removed for separate consideration under Section XI, Consent Items Held Over. Please see that portion of the Minutes for Council discussion and action. G-2. REQUEST FOR DECLARATION, of Surplus Property and Disposal Authorization (Miscellaneous Office Furniture/Equipment and Public Works -related Equipment). Removed for separate consideration under Section XI, Consent Items Held Over. Please see that portion of the Minutes for Council discussion and action. MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 H. REQUEST FOR AWARD OF BID for Digital Imaging Services. Rec: By Minute Motion, award bid to California CD Imaging Center, Rancho Cucamonga, California, for digital imaging services in the amount of $1.38 per sheet, in an amount not to exceed $20,000. I. REQUEST FOR AUTHORIZATION to Cancel Capital Improvement Project No. 628-02 — Construction of a Right -Turn Lane on Highway 74 at the Entrance to Indian Springs Mobile Home Park. Rec: By Minute Motion, cancel the subject project from the City's Capital Improvement Program and reallocate the funds to the Fred Waring Drive Improvement - Measure "A" Account. J. REQUEST FOR APPROVAL of Agreement for Traffic Signal Energy and Maintenance Costs for the Intersection of Gerald Ford Drive/University Park Drive (Contract No. C20690). Rec: By Minute Motion, authorize the Mayor to execute the subject agreement with State College Business Park Partners, Indian Wells, California. K. REQUEST FOR APPROVAL of the Fifth Amendment to the Agreement for Law Enforcement Services with the County of Riverside (Contract No. C15145). Rec: By Minute Motion, approve the Fifth Amendment to the subject Agreement with the County of Riverside and authorize the Mayor to execute same. L. REQUEST FOR APPROVAL of Waiver to Transfer Award of Juvenile Accountability Incentive Block Grant (JAIBG) 2002 Funds. Rec: By Minute Motion, authorize the waiver to transfer the award of funds allocated to the City of Palm Desert under the subject program to the Riverside County Probation Department for the purpose of supporting the Coachella Valley Gang Task Force — waiver authorizes the transfer of the $5,933 award via the JAIBG. 8 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 M. REQUEST FOR AUTHORIZATION to Negotiate a Temporary License Agreement for Property Adjacent to the South Side of Painter's Path Between West El Paseo and the Palm Valley Storm Channel (Contract No. C20700). Rec: By Minute Motion, authorize staff to negotiate and the Mayor to execute a Temporary License Agreement with the Sandpiper Homeowners Associations, with properties bounded on the north by Painter's Path, in order to construct a privacy wall and landscaping in the City -owned right-of-way. N. REQUEST FOR AUTHORIZATION to Advertise and Call for Bids for Construction of the Magnesia Falls Drive Improvements (Contract No. C20710, Project No. 648-99). Rec: By Minute Motion, authorize the City Clerk to advertise and call for bids for the subject project. O. REQUEST FOR AWARD OF CONTRACT for Professional Consulting Services to Analyze and Inventory City Infrastructure Assets for GASB 34 Compliance (Contract No. C20720). Rec: By Minute Motion: 1) Award the subject contract to GK & Associates, Diamond Bar, California, in the amount of $35,000; 2) authorize a 10% contingency for the project in the amount of $3,500; 3) authorize the Mayor to execute said agreement. P-1. REQUEST FOR APPROVAL of Change Order No. 1 to Contract No. C19030 — Environmental Documents, Design Plans, Specifications, and Estimates for the Portola Avenue Widening. Rec: By Minute Motion, approve Change Order No. 1 in the amount of $6,700 to the subject contract with The Keith Companies, Palm Desert, California, to provide the subject work and construction staking for the Portola Avenue Widening from Alessandro Drive to El Cortez Way (Project No. 630-99). 9 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 P-2. REQUEST FOR APPROVAL of Change Order No. 1 to Contract No. C19990 — Construction of the Fred Waring Drive Strip Park Between San Pablo Avenue and Florine Avenue on the North Side of Fred Waring Drive. Rec: By Minute Motion, approve Change Order No. 1 to the subject contract with Sierra Landscape Company, Inc., Palm Desert, California, granting a 14 calendar -day contract extension for the project — net contract amount to remain unchanged. Q. REQUEST FOR ACCEPTANCE OF WORK for Contract No. C19800 — Fred Waring Drive Roadway Construction from San Pablo Avenue to Deep Canyon Road (Granite Construction Company, Indio, CA). Rec: By Minute Motion, accept the work as complete and authorize the City Clerk to file a Notice of Completion for the subject project. Approved 4-0-1 (Ferguson ABSTAINING). R-1. REQUEST FOR AUTHORIZATION to Release Subdivision Improvement Security for Tract No. 19503-1 (G. George Fox Declaration of Trust, Applicant). Rec: By Minute Motion, authorize the City Clerk to release the subject improvement bond securities. R-2. REQUEST FOR AUTHORIZATION to Substitute Securities for Parcel 2 of Parcel Map No. 22794 (Prime Residential, LLC, Applicant). Rec: By Minute Motion, authorize the City Clerk to release securities (bonds) posted by Victor P. Reim and Thomas S. Schreier and accept securities (certificate of deposit) posted by the Applicant. S-1. REQUEST FOR APPROVAL of Bronze Sculpture, Goat Pair, for the 2003 El Paseo Exhibition (Contract Series No. C20270). Rec: By Minute Motion, concur with the recommendation of the Art In Public Places Commission to include the subject bronze sculpture by Peter Woytuk in the 2003 El Paseo Exhibition and authorize the Mayor to execute the required agreement between the City and the artist/artist's representative. 10 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 S-2. REQUEST FOR APPROVAL of the Disbursement of Art In Public Places Funds for the Allen Root Artwork at Cornerstone Plaza Located at 74-000 Country Club Drive (Michael Homme Construction Company, Applicant). Rec: By Minute Motion, concur with the recommendation of the Art In Public Places Commission to approve disbursement of AIPP funds in the amount of $10,644.28 paid by Michael Homme Construction for fees related to the placement of artwork. S-3. REQUEST FOR AUTHORIZATION to Serve Wine in Connection with two Receptions to be held in the Civic Center North Wing Gallery. Rec: By Minute Motion, permit the possession and consumption of alcoholic beverages in connection with the subject receptions to be held December 10, 2002, and February 12, 2003, respectively. T. REQUEST FOR WAIVER of Fees Associated with the National Multiple Sclerosis Society's Annual Walk-A-Thon. Rec: By Minute Motion, waive fees associated with the subject event scheduled to be held on Saturday, April 12, 2003, at the Palm Desert Civic Center Park. U. INFORMATIONAL ITEMS: 1. Report on the Fred Waring Drive Widening Project 2. Status of the Highway 111 Improvement Program Councilman Ferguson stated that he would be ABSTAINING from the vote on Item Q because it dealt with one of his clients. Councilman Kelly noted that with regard to Item N, he wanted to be sure the bridge width was enough for parking, golf cart lane, and bicycle lane. Mayor Benson asked that Items G-1 and G-2 be removed for separate consideration under Section XI, Consent Items Held Over. Upon motion by Crites, second by Kelly, the remainder of the Consent Calendar was approved as presented by a 5-0 vote, with Councilman Ferguson ABSTAINING on Item Q. 11 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 XL CONSENT ITEMS HELD OVER G-1. REQUEST FOR DECLARATION of Surplus Property and Disposal Authorization (Computer Equipment and Related Accessories). Mayor Benson said she would like to see staff contact non-profit agencies and let them know what surplus property the City in case they have some needs for said property. She said there were a lot of items listed, and she felt these agencies should have first choice before the items are disposed of. Councilman Ferguson noted that the Cove Commission (Rancho Mirage, Indian Wells, Palm Desert) just adopted a formal policy of surplus inventory that sends notice to everyone interested in receiving said notice whenever there is surplus property. He suggested that the City of Palm Desert put together such a program as well so that staff does not have to contact these agencies each time there is surplus property; instead, notices are sent out, and the agencies could contact the City if they are interested in looking at what is declared surplus. Mayor Pro-Tem Spiegel added that some of the non-profit agencies have thrift shops where they can sell merchandise to raise funds. They might be interested in taking some of these items as well. Councilman Crites moved to, by Minute Motion, declare the items listed on Exhibit "A" of the accompanying staff report as surplus property and authorize disposal, with staff directed to contact non-profit agencies so that they might have first choice of the surplus items prior to disposal by any other means. Motion was seconded by Ferguson and carried by a 5-0 vote. G-2. REQUEST FOR DECLARATION of Surplus Property and Disposal Authorization (Miscellaneous Office Furniture/Equipment and Public Works -related Equipment). Councilman Crites moved to, by Minute Motion, declare the items listed on Exhibit "A" of the accompanying staff report as surplus property and authorize appropriate disposal, with staff directed to contact non-profit agencies so that they might have first choice of the surplus items prior to disposal by any other means. Motion was seconded by Ferguson and carried by a 5-0 vote. 12 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 XII. RESOLUTIONS A. RESOLUTION NO. 02-152 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, INITIATING PROCEEDINGS TO ABANDON A PORTION OF THAT PUBLIC SERVICE EASEMENT AFFECTING LOTS 33 AND 34, DESCRIBED AS A PUBLIC UTILITY EASEMENT, AS SHOWN ON RECORD OF SURVEY BOOK 23, PAGE 38, UNDER PROVISIONS OF PART 3, DIVISION 9, OF THE STREETS & HIGHWAYS CODE, AND FIXING A TIME AND PLACE FOR HEARING ALL PERSONS INTERESTED IN OR OBJECTING TO THE PROPOSED ABANDONMENT. Councilman Kelly moved to waive further reading and adopt Resolution No. 02-152. Motion was seconded by Ferguson and carried by a 5-0 vote. B. RESOLUTION NO. 02-153 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, AMENDING THE APPENDIX OF THE CONFLICT OF INTEREST CODE PURSUANT TO THE POLITICAL REFORM ACT OF 1974. Mr. Ortega noted that this would add new positions to the City's Conflict of Interest Code. Councilman Crites moved to waive further reading and adopt Resolution No. 02-153. Motion was seconded by Spiegel and carried by a 5-0 vote. XIII. ORDINANCES For Introduction: None For Adoption: A. ORDINANCE NO. 1024 — AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, REVISING CHAPTER 19.01 IN TITLE 19 OF THE CODE OF THE CITY OF PALM DESERT, CALIFORNIA, RELATING TO SWIMMING POOL CONSTRUCTION AND SAFETY. Mayor Pro-Tem Spiegel moved to waive further reading and adopt Ordinance No. 1024. Motion was seconded by Ferguson and carried by a 5-0 vote. 13 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 XIV. NEW BUSINESS A. REQUEST FOR APPROVAL OF CONTRACT TO PERFORM CITY OF PALM DESERT/PARKVIEW OFFICE COMPLEX SPRAYED POLYURETHANE FOAM ROOFING PROJECT (CONTRACT NO. C20730). Mayor Pro-Tem Spiegel moved to, by Minute Motion, award the subject contract to Petronella Roofing, Cathedral City, California, in the amount of $265,000 and authorize the Mayor to execute same. Motion was seconded by Kelly and carried by a 5-0 vote. B. REQUEST FOR AUTHORIZATION TO PURCHASE EQUIPMENT FOR DRYWELL MAINTENANCE. Mr. Ortega noted the staff report and recommendation in the packets. Mayor Pro-Tem Spiegel moved to, by Minute Motion: 1) Authorize the purchase of an FX30 Vacuum Excavation System from Ditch Witch of Southern California, Corona, California, as proposed in the quotation for $40,657.85; 2) authorize the purchase of a Ford F-450 bi-fuel truck from Fritts Ford, Riverside, California, as proposed in the quotation for $38,495.30; 3) authorize the appropriation of $79,153.15 for purchase of the equipment from the Drainage Fund 420 - Nuisance Water Inlet/Drywell Program. Motion was seconded by Kelly and carried by a 5-0 vote. C. REQUEST FOR APPROVAL OF GRANT APPLICATION TO THE COACHELLA VALLEY MOUNTAINS CONSERVANCY FOR ACQUISITION OF LAND IN THE SANTA ROSA AND SAN JACINTO MOUNTAINS NATIONAL MONUMENT. Mr. Ortega noted the staff report in the packet. He stated this would allow the three-phase acquisition of hillside the City has contracted for, and staff recommended approval. Mayor Pro-Tem Spiegel moved to waive further reading and adopt Resolution No. 02-154, approving grant application and authorizing the City Manager to execute necessary agreements associated with $750,000 Coachella Valley Mountains Conservancy Grant for Fox Canyon acquisition. Motion was seconded by Kelly and carried by a 5-0 vote. 14 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 D. REQUEST FOR AUTHORIZATION TO DEVELOP REIMBURSEMENT AGREEMENT WITH THE CITY OF RANCHO MIRAGE FOR WIDENING OF THE NORTH SIDE OF DINAH SHORE DRIVE FROM MIRIAM WAY WEST 1,300 FEET TO THE CITY LIMITS (CONTRACT NO. C20740, PROJECT NO. 644-02). Mr. Ortega noted the staff report in the packets. Mayor Pro-Tem Spiegel asked whether the Rancho Mirage side would be three lanes on Dinah Shore, and Mr. Gaugush responded that it would. Mayor Pro-Tem Spiegel moved to, by Minute Motion, authorize staff to develop the subject reimbursement agreement with the City of Rancho Mirage in the amount of approximately $200,000 — funds are available in Measure "A" - 213 Account. Motion was seconded by Kelly and carried by a 5-0 vote. E. REQUEST FOR CONSIDERATION OF ALTERNATIVE WRAP FOR THE SHOPPER HOPPER. Business Support Manager Ruth Ann Moore reviewed the staff report, noting the new wrap would include the shopping centers serviced by the vehicles. She noted and reviewed the four wrap concepts, including the original artwork from last year which had been modified to fit the new vehicles and three new designs highlighting the centers. She said all were in concept form and could be modified as the Council chose. She asked that the Council, if it should choose a different design from the previous concept, also authorize funding to implement the new design for the wraps and the collateral materials. Councilman Kelly said he felt the reproduction was not very good on the design with the names of the centers. He noted that to give an indication of the value of the advertisement on the wraps, at SunLine, purchasers pay about $3,000 per month for the wraps. He said he felt this was a great opportunity for the Shopper Hopper to advertise the City's shopping centers, and he felt strongly that the City should take advantage of this opportunity. The City spends about $1.7 million advertising through the Convention & Visitors Bureau and thousands of dollars in other ways to promote and advertise the City. He felt it would be a big mistake not to take advantage of the opportunity to use the Shopper Hopper to advertise the community, and it could be done in a way that the Shopper Hopper will still look good. He encouraged the Council to approve design #1 with the advertising. Ms. Moore noted that Options 1, 2, and 3 advertised all of the centers. 15 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 Councilman Ferguson said he liked Option #2 with the brown and red bags and felt it looked much cleaner than the others. He said with regard to the existing wrap, he felt it was visually confusing as it goes down the street. The City was trying to convey that this is a courtesy ride, and he felt the idea to put the centers on the wrap to show where the Shopper Hopper can take riders is an excellent one. Councilman Crites said while he did not have any strong feelings, his first visual reaction would be toward Option #2. Mayor Pro-Tem Spiegel said he liked Option #2 as well. Mayor Benson agreed. Councilman Ferguson moved to, by Minute Motion, approve the recommendation and authorize staff to proceed with proposal No. 2, as presented at the meeting. Motion was seconded by Benson and carried by a 4-1 vote, with Councilman Kelly voting NO. F. REQUEST FOR APPROVAL OF ARTISTS SELECTED FOR PUBLIC ART AT THE FRED WARING DRIVE STRIP PARK. Mr. Ortega noted the staff report in the packets and offered to answer any questions. Councilman Kelly said he felt strongly that the particular art that is selected does not fit with the theme that has been created with that corridor park, and he was opposed to it. Councilman Crites suggested that no action be taken until the planting in the park has been completed and then that some models be taken and put into the landscaping. He agreed with Councilman Kelly but said he was willing to not vote on this until the Council can actually look at them in the landscape to see what they look like. If he were to vote at this time, he would have to vote against the recommendation. Councilman Ferguson said on the three art items on this particular Agenda, they are all related to the City of Palm Desert, and they make statements about the City's projects. To just be handed one artist in a black and white staff report, he felt there should be more input as a Council, since it is really the City's art rather than the art of a developer who has paid into the program for his/her own building. He said he did not feel the Council had been given that opportunity, and he would like to have a process where the Council can look at a range of artists, see what kind of statement the Council wants to make for the City of Palm Desert for that particular corridor, and recruit an 16 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 artist who makes that statement rather than just be presented with an artist with a particular design. Mayor Benson noted that there were three artists considered by the Art In Public Places Commission (AIPP). Public Arts Manager Richard Twedt noted that the AIPP was recommending two of the three artists. Mayor Pro-Tem Spiegel said he felt some of the pieces looked kind of weird, and he agreed with Councilman Crites that the landscape should be in before the Council makes a decision, since there really is no rush at this time. Councilman Crites moved to continue this matter to the meeting of January 9, 2003, with the Council and/or a committee appointed by the Council to meet on -site in January to look at these pieces and try to get a better focus of the art in relation to its surroundings. Mr. Twedt noted that the art pieces were in Santa Ana, and there would be some expense in bringing them to Palm Desert. He asked whether Art In Public Places should pick up the cost to bring the art here. Councilman Ferguson noted that no one had said anything about bringing the art to Palm Desert. Using the development at Desert Willow as an example, this was the City's development, the Council met with five different architects and design/build teams and walked through each step of the process together. He suggested that on City art projects, the Council have an opportunity to work with AIPP, meet with the artists, and have more involvement with the selection. Councilman Crites said he felt it would not be an enormous expenditure to bring out the two art pieces in order for the Council to have actual artwork to look at rather than a black and white photo. Mayor Benson suggested that for any City projects, a policy be implemented where both Council and AIPP look at the proposed art rather than AIPP making a recommendation to Council. Councilman Ferguson agreed. Mayor Pro-Tem Spiegel seconded the motion, and the motion carried by a 5-0 vote. With Council concurrence, staff was directed to eliminate the term "strip" from the name of the park. 17 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 G. REQUEST FOR APPROVAL OF THE CREATION OF AN ENTRANCE SIGN/SCULPTURE FOR THE CITY OF PALM DESERT AT THE NORTHWEST CORNER OF FRED WARING DRIVE AND WASHINGTON STREET (CONTRACT NO. C20750). Councilman Crites suggested that this matter be continued to the next meeting. He said the staff report noted that there is a decision from AIPP that the City change its focus in terms of entrance signage and that the same theme of signage be used out on the entrance off of Interstate 10, etc. He said he would like the opportunity to have input on how we artistically going to welcome people into the community. Councilman Kelly agreed. Mayor Benson said she thought this was only the Washington entrance that was approved and did not know it was a City sign concept. Mr. Twedt noted that the Commission did not vote on this and were just talking about having a common look to the signage. Councilman Crites moved to continue this matter to the meeting of January 9, 2003. Motion was seconded by Ferguson and carried by a 5-0 vote. XV. CONTINUED BUSINESS A. REQUEST FOR APPROVAL OF THE COMMISSIONING OF ARTWORK FOR THE PROPERTY LOCATED AT 74-900 GERALD FORD DRIVE (DUTT HOSPITALITY GROUP, INC., APPLICANT) (Continued from the meeting of November 14, 2002). Councilman Crites moved to, by Minute Motion: 1) Rescind the previous action taken on August 22, 2002, to approve a sculpture; 2) deny Applicant's request to commission Artist Bill Ware to create an artwork, consisting of three acrylic on canvas panels, for the Hampton Inn located at 74-900 Gerald Ford Drive; 3) direct staff to bring back Art In Public Places Commission's recommendations after the Ordinance and guidelines review. Motion was seconded by Spiegel and carried by a 5-0 vote. XVI. OLD BUSINESS None 18 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 XVII. PUBLIC HEARINGS NOTE: The following Public Hearing was considered prior to reorganization of the City Council. A. REQUEST FOR PUBLIC INPUT RELATIVE TO PROPOSED USES OF COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS FOR FISCAL YEAR 2003/04. Mayor Kelly declared the public hearing open and invited public input. DR. RICHARD FARMER, Foundation for the Retarded of the Desert, 73-255 Country Club Drive, Palm Desert, submitted a report relative to reductions made by the State of California (on file and of record in the City Clerk's Office). These reductions resulted in lost revenues for the Foundation in an amount over $1.1 million per year. He said they owed SunLine $28,000 for labor to service their vehicles, averaging approximately $6,000 per month, and they needed about $70,000 for the remainder of this fiscal year, until June 30, 2003, to cover this expense. With no further input offered, Mayor Kelly declared the public hearing closed. No action was required or taken on this matter. Later in the meeting, Mayor Pro-Tem Spiegel noted that Dr. Farmer had requested consideration of funding to cover the SunLine expenses in addition to being considered for the CDBG funds, which would not be until July if he was approved. He suggested perhaps getting the other cities involved in this so that some funds could be given to the Foundation for the Retarded. B. CONSIDERATION OF APPROVAL OF PRECISE PLAN OF DESIGN FOR A SINGLE -STORY BANK AND A TWO-STORY OFFICE BUILDING WITH TOWER ELEMENTS, HAVING ROOF ELEMENTS TO A MAXIMUM OF 35 FEET, AND A HEIGHT EXCEPTION TO ALLOW THE MAIN TWO-STORY ELEMENT AT 27 FEET ON A 2.33 ACRE SITE ON THE NORTH SIDE OF COUNTRY CLUB DRIVE, 450 FEET EAST OF PORTOLA AVENUE (74-150 COUNTRY CLUB DRIVE) Case No. PP 01-02 Amendment #1 (Sanborn AE, Inc., for Canyon Bank, Applicant). Planning Manager Steve Smith reviewed the staff report in detail, noting that since Council approval of a zone change in June of 2001, the applicant had changed architects and the building design and site plan had been modified. Upon question by Mayor Benson regarding the height exception by the City Council for the office building on San Pablo, Mr. Smith responded that this 19 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 was the Prest-Vuksic building that Council approved six to eight weeks ago, although they had not yet started on this building. Councilman Crites noted that particular approval happened because the Council felt there was remarkably innovative stylistic elements that were compelling enough to do something that was outside the norm. He asked whether Mr. Smith was professionally saying this building had the same level of architectural innovation and creativity seen in that other building. Mr. Smith responded that in his opinion, this building did not have the architectural interest the other building had. Councilman Ferguson said his understanding was the same as Councilman Crites, that the exception was granted because of architectural merit. Mr. Erwin added that particular project had been referred to his office after Council approved it subject to his finding that in the City Codes there was the ability of the Council to approve height variation without going through the variance process. He said in his opinion, that did exist in the City Code. Mayor Benson declared the public hearing open and invited testimony in FAVOR of or in OPPOSITION to this project. MR. ALAN SANBORN, 1227 S. Gene Autry Trail, Palm Springs, spoke as the architect for the project. He said part of the struggles with the two-story building and trying to keep the parapet down to the 25 feet was trying to get a decent ceiling height inside two levels and still be able to provide air conditioning in the structure, etc. He said he had worked hard to also try to vary the parapet height so that there would be more interest in the building instead of having a continuous height all the way around the building at 25 feet. Some elements on the building were down at 25 feet, and there were some pop -ups on corners that were up to 27 feet. Because the building was so long and set back on such a deep site, they thought it was important for people who worked in the office building on the second floor to be able to know where the lobby and elevators were, and the tower element was only over that public space in the building. With no further testimony offered, Mayor Benson declared the public hearing closed. Councilman Kelly noted that on the drawing, there was a block of landscaping in the interior, which he felt should be out in front so that there is a larger setback. Councilman Ferguson said he did not feel there should be any two-story buildings on the north side of Country Club between Portola and Cook Street, although the City's zoning did allow for it. He said he was troubled by the 20 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 concept of an exception because it had no definition and no parameters. There had already been three exceptions to the City's height ordinance, and he said he would like a memorandum from the City Attorney showing where that exception exists, what the extent of it is, how it differs from a variance, and how that standard is applied as a useful tool. Legalisms aside, he said he did not find anything exceptional about the architecture for this particular project. Mayor Benson said her concept on the one approved by the Council on San Pablo was because the height element did not bother anyone and would not be in anyone's view corridor. This particular project concerned her because it was backing up against Desert Willow and would block the view of the mountains. Councilman Ferguson noted that most of the City's two-story buildings serve as buffers between residential neighborhoods and high volume arterials, and they are a great natural sound barrier and tend to blend in. But there is vast open space out in that area, a whole section of land bought by the City, a beautiful resort hotel across the street, and single -story buildings from the corner all the way down to the shopping center. To stick a two-story building in there that does nothing but obstruct the view did not make sense to him. Councilman Crites said he had high respect for Mr. Sanborn, his firm, and members of his family. However, he noted that generally when architectural relief is needed, it starts with the low part of the building at the highest end of the existing height, and then the relief comes in the form of exceptions rather than being below the maximum height and having the relief going up to the maximum height. Mr. Drell asked if the Council wanted staff to look again at the ordinance that was begun when the San Pablo building was approved which addressed standards that could be described to developers and architects relative to heights and exceptions. Councilman Kelly agreed with comments made about the building in that area. He said he felt it was important to make sure there was good landscaping in front and that the buildings are single story. Mayor Pro-Tem Spiegel concurred. MR. SANBORN said the two-story building had been approved previously, and they just modified the architecture. He asked if the Council could continue this matter and allow them to come back with the project at the acceptable height, which would not require asking for something special. He also noted to Councilman Kelly that the landscape area was a requirement 21 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 they inherited from the previous approval. He said they would have no problem moving it around, but they understood they had it where the City wanted it to be. Councilman Ferguson moved to continue this matter to a time uncertain. Motion was seconded by Spiegel and carried by a 5-0 vote. C. CONSIDERATION OF AN AMENDMENT TO CHAPTER 25.56 OF THE PALM DESERT MUNICIPAL CODE TO REGULATE THE CONVERSION OF ABANDONED PUBLIC UTILITY WELL SITES TO PRIVATE WATER EXPORT IRRIGATION WELL SITES Case No. ZOA 02-05 (City of Palm Desert, Applicant). Mr. Drell reviewed the staff report and offered to answer any questions. Mayor Benson declared the public hearing open and invited testimony in FAVOR of or in OPPOSITION to this matter. With no testimony offered, she declared the public hearing closed. Mayor Pro-Tem Spiegel moved to waive further reading and pass Ordinance No. 1030 to second reading. Motion was seconded by Kelly and carried by a 5-0 vote. D. REQUEST FOR APPROVAL OF AMENDMENT TO DISPOSITION AND DEVELOPMENT AGREEMENT BETWEEN THE REGENTS OF THE UNIVERSITY OF CALIFORNIA, THE RICHARD J. HECKMANN FOUNDATION AND THE PALM DESERT REDEVELOPMENT AGENCY (JOINT CONSIDERATION WITH THE PALM DESERT REDEVELOPMENT AGENCY). Mr. Yrigoyen reviewed the staff report, noting that the public hearing was being held pursuant to Health and Safety Code Sections 33445 and 33433, essentially finding that there are no other reasonable means of funding for the transfer of the land and the $2 million loan other than with redevelopment funds. He said the Council/Agency Board also had the 33433 report finding that there is a fair reuse value consideration in the transfer of the land. The other aspect of the hearing provided for the fact that the project was of benefit to Project Area 4, in which case funds could be utilized from Project Area 4 contingencies. He offered to answer any questions. Mayor/Chairman Benson declared the public hearing open and invited testimony in FAVOR of or in OPPOSITION to this request. MR. MIKE WEBSTER, Vice Chancellor for Administration at the University of California at Riverside, spoke in favor of this agreement and transfer of land. He noted that they were committed to start construction on Phase I in 22 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 April of 2003 and on Phase II in September of 2003, with an approximate 12 January 13, 2003to 14-month construction time for the two facilities. Councilman/Member Crites said he appreciated very much all of the hard work done by City staff to bring this remarkably time-consuming and complex and difficult task to fruition. MR. WEBSTER agreed and said Justin McCarthy, Dave Yrigoyen, Jim Grayson (attorney representing the City), and Carlos Ortega had played a major role in this endeavor. He said in his responsibilities at the University, he deals with an enormous array of governmental agencies and other institutions, and Palm Desert is the most professional group he had ever met with. Mayor Pro-TemNice Chairman Spiegel said he was impressed with the new Chancellor and her enthusiasm. He said that the Chancellor had committed that as soon as the first building is finished, there will be 12 faculty assigned to that building who will be living in our community and would be responsible for all of the academics that go on there. Councilman/Member Ferguson said he felt the City would be remiss if it did not give the lion's share of thanks to Chancellor Ray Orbach who a number of years ago was willing to take on the Office of the President in the U.C. system, the lobbyists in the U.C. system, work with Mr. Heckmann and Governor Gray Davis to secure the $10 million to take a chance on putting a U.C. campus with a CSU campus 60 miles from Riverside. Mayor/Chairman Benson said she felt working with Terry Green was a big asset, especially since he is a resident of the community. With no further testimony offered, Mayor/Chairman Benson declared the public hearing closed. Councilman/Member Ferguson moved to waive further reading and adopt: 1) City Council Resolution No. 02-156, approving the sale of the property by the Palm Desert Redevelopment Agency to the University of California, Riverside, for development pursuant to the Redevelopment Plan for Project area No. 2, and loan by the Agency for costs of certain public improvements; 2) Redevelopment Agency Resolution No. 458, approving the sale of property by the Agency to the University of California, Riverside, for development pursuant to the Redevelopment Plan for Project Area No. 2, and loan by the Agency for costs of certain public improvements. Motion was seconded by Spiegel and carried by a 5-0 vote. 23 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 E. REQUEST FOR APPROVAL OF FINDINGS IN CONNECTION WITH THE SALE AND ISSUANCE OF TAX ALLOCATION REVENUE BONDS (PROJECT AREA NO. 2), SERIES 2003, OF THE PALM DESERT FINANCING AUTHORITY (JOINT CONSIDERATION WITH THE PALM DESERT FINANCING AUTHORITY). Redevelopment Finance Manager Dennis Coleman reviewed the staff report, noting that the proposed resolutions made findings of public benefit and certain findings with respect to the use of tax allocation funds with respect to Health and Safety Code 33445. Mayor/President Benson declared the public hearing open and invited testimony in FAVOR of or in OPPOSITION to this matter. With no testimony offered, she declared the public hearing closed. Mayor Pro-TemNice President Spiegel moved to waive further reading and adopt: 1) City Council Resolution No. 02-157, making a finding of significant public benefit and other findings in connection with the sale and issuance of Tax Allocation Revenue Bonds (Project Area No. 2), Series 2003, of the Palm Desert Financing Authority; 2) Financing Authority Resolution No. FA-39, acknowledging a finding of significant public benefit in connection with the sale and issuance of the Authority's Tax Allocation Revenue Bonds (Project Area No. 2), Series 2003. Motion was seconded by Kelly and carried by a 5-0 vote. XVIII. REPORTS AND REMARKS A. CITY MANAGER None B. CITY ATTORNEY None C. CITY CLERK None D. MAYOR AND MEMBERS OF THE CITY COUNCIL o City Council Reauests for Action: None 24 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 o City Council Committee Reports: None o City Council Comments: 1. Councilman Spiegel noted the Coachella Valley Park & Recreation District had purchased a junior golf course and would be coming to the Council next month with a request for $30,000. The golf course was purchased by insuring the owner's life for the value of the course. They would maintain it and staff it at their own expense but would ask the Council to help with the insurance. He added that this would be an annual thing until the owner passes away. 2. Mayor Benson thanked Terre LaRocca for her efforts on behalf of the recent Habit for Humanity home constructed in Palm Desert in one day. She said Ms. LaRocca went above and beyond the call of duty that day. She said the crowds were coming and going all day long, Tommy Bahama's and the other restaurants kept the food supply coming from breakfast through dinner for both the public and the workers, and it was very heartwarming at 1:00 a.m. to see how happy the family was when that house was finished except for the detail work that had to be completed. She noted that the co-founders of Habitat for Humanity would be in the area on December 30 for another celebration. She added that she felt it was important to also thank the more than 500 construction workers who helped with the project. Councilman Kelly suggested that some kind of story be published to let people know what happened that day in Palm Desert. Mrs. Gilligan responded that it would be a feature story in the January edition of the City's newsletter. She added that the television stations provided great coverage of the event. Mayor Benson suggested that a copy of the City's newsletter with this story be sent to Western Cities Magazine in case they wish to use it in their publication. 25 MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING DECEMBER 12, 2002 XIX. ADJOURNMENT Mayor Pro-Tem Spiegel moved to adjourn the meeting at 5:59 p.m. Motion was seconded by Kelly and carried by a 5-0 vote. ATTEST: c RACHELLE D. KLASS N, CITY CLEI1K CITY OF PALM DESERT, CALIFORNIA N `M. BENSON, MAYOR 26