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HomeMy WebLinkAbout2000-06-12MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY MONDAY, JUNE 12, 2000 8:00 A.M. ADMINISTRATIVE SERVICES CONFERENCE ROOM * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * I. CALL TO ORDER Mayor/Chairman/Chairman Crites convened the meeting at 8:07 a.m. II. ROLL CALL Present: Councilmember/Member/Member Jean M. Benson Mayor Pro-Tempore/Vice Chairman/Vice Chairman Jim Ferguson Councilman/Member/Member Richard S. Kelly Councilman/Member/Member Robert A. Spiegel Mayor/Chairman/Chairman Buford A. Crites Also Present: Carlos L. Ortega, Acting City Manager and RDA Executive Director Sheila R. Gilligan, Acting Assistant City Manager Rachelle D. Klassen, Acting City Clerk Richard J. Folkers, ACM/Director of Public Works Gary Bitterman, Director of Building & Safety Phil Drell, Director of Community Development Paul S. Gibson, Director of Finance/City Treasurer Chief Neil Lingle, Riverside County Sheriff's Department Captain Dan Miller, Riverside County Sheriffs Department/Palm Desert Chief of Police ChiefJohn McLaughlin, California Department ofForestry and Fire Protection/Riverside County Fire J. Luis Espinoza, Finance Operations Manager Patrick Conlon, Special Projects Administrator III. ORAL COMMUNICATIONS None MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * IV. NEW BUSINESS A. CONSIDERATION OF EACH OF THE FISCAL YEAR 2000/01 BUDGETS FOR THE CITY OF PALM DESERT, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY. Mr. Ortega noted the Preliminary Budgets Fiscal Year 2000/2001 for the City and Agency, provided in the form of a large booklet prior to this meeting. He explained it was in draft form, there were some minor changes to be made, and there was an additional booklet containing proposals for new programs and position changes/upgrades, as well as some reports just handed to everyone in attendance this morning. He asked for the Council's/Agency Board's/Housing Authority Board's concurrence that the order of today's discussion would be revenues, followed by the proposed new programs and position papers. All Fund Budget Summary Mr. Gibson highlighted the all fund budget summary, beginning with the General Fund, noting that the proposed budget reflected approximately $112,000 worth of revenues over expenditures. However, with the aforementioned additional programs and positions requested, that amount would be decreased by $15,000 based on the pro and con recommendations for those items, respectively. He called attention to one of the white papers distributed this morning, "2000/01 - Cash Balances for Capital Projects," noting that the all fund budget summary reflected a beginning balance of some $80 million, which was projected to be down to $69 million at the end of the year for all funds. He went on to say that beginning in the current fiscal year, he began informing Department Heads that there were insufficient funds in the particular special revenue funds (i.e. Traffic Signals, New Construction Tax, Measure"A") for the various projects, requiring that General Fund monies be used for the difference. Further, in the coming year, there were carry-overs amounting to $20.9 million worth of Capital Projects, $32.3 million worth of future capital projects in Years 1-5- for a total of $53 million of funds being used. He said that included both current projected fund balances and future revenue being received for Measure "A," Traffic Signals, etc. He said in addition to his concern that funds were being depleted, he noted that $10 million had to be reserved for the parking structure for the mall, and the funds could not be touched nor paid back to the City from the Agency until the project was completed. He said the other notation he wished to make was that $5.2 million had to be transferred to the Year 2000 Reserve to cover projects currently in the works for the Agency, relative to project classification as Agency versus City. He concluded by saying that with the State looking at various distributions of revenue, sales tax, Redevelopment Project Areas slowly coming to an end as far as issuing new debt, franchise fee, cable television- if the State experienced another slowdown and wished to take additional revenues from the cities, he felt it would be prudent for him to make Councilmembers/Agency Board/Housing Authority Board Members aware that the General Fund was being hit for certain capital projects. 2 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Mayor Pro-TemNice ChairmanNice Chairman Ferguson asked for clarification whether that meant the unrestricted reserves were depleted. Mr. Gibson said they were for Special Revenue and Capital Project Funds. He went on to say he'd originally projected $23 million for General Fund in this budget; however, that did not include the $5.2 million transferred to the Capital Projects Fund. Therefore, he said it was estimated that the General Fund would have a balance of approximately $17 million at the end of next year versus last year starting at $28 million, which he felt was a hefty decrease. Revenuel Mr. Gibson went on to point out that last year General Fund Revenues were budgeted at $28.6 million; $30.6 million was being projected for the current year, with $30.9 million for next. He said major increases were coming from sales tax-- $11.8 million was projected to be received this year with $12.3 million for next. Councilman/Member/Member Spiegel felt $12.3 million was unrealistic. Mr. Gibson said that based on both the projections of MRC (Municipal Resource Consultants) and the State that was projecting a seven percent increase, he was projecting only three percent growth on the current. Councilman/Member/Member Spiegel said that based upon the empty storefronts in Desert Crossing, The Gardens, and Shoppingtown, the City was going the other way. Mr. Gibson pointed out that the subject projection was actually conservative; if he'd gone by MRC's projections, it would be at 12.6 or 12.7, taking into account the current missing retail, he was very comfortable with $12.3 million. In further response, he said he was conservative with last year's $10.8 million, and it will be at least $11.8 million, if not higher. Councilman/Member/Member Spiegel said he had predicted that for the current, but he wasn't comfortable with continued growth for the coming year. Public Safety - Fire Mr. Gibson noted that there was a handout distributed at this meeting regarding Fire Services. Mayor/Chairman/Chairman Crites suggested that the Fire Services Budget be held until such time as Council/Agency Board/Housing Authority Board had opportunity to review it thoroughly. Mr. Gibson detailed that the Fire Budget was basically Alternative No. 3 that had been discussed at the Cove Commission. Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson stated he wished to wait on the Fire Budget since it was a fairly complicated and somewhat controversial proposal that the Cove had been wrestling with for some three months. Councilman/Member/Member Kelly 3 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY * * * * * * * * * * * * * * * * * * * * * * * * * * * * JUNE 12, 2000 concurred, stating that in addition to the substantial monies being taken from General Fund for Capital Projects, the Fire Budget would require some $1 million to add firemen, and he advocated his colleagues' becoming very familiar with the subject before taking any action. With City Council/Agency Board/Housing Authority Board concurrence, discussion on the Cove Communities Services Commission proposal for Fire Services was continued to a Study Session of the City Council Thursday, June 22, 2000, at 3:15 p.m. Public Safety - Police Mayor/Chairman/Chairman Crites commended staff for its presentation of the subject material- its organization and easily -understood format. Mr. Ortega stated it was Mrs. Gilligan who should be complimented for a fine job. Basic Level of Service Mrs. Gilligan started by describing the basic service level at $8,437,022, which was considered by the Public Safety Commission and recommended unanimously at that level. In response to Councilman/Member/Member Spiegel's question about comparison to last year, Mr. Gibson stated there was $8,912,730 budgeted last year. Responding further, he said the the $9.1 million figure resulted from the $8.4 plus the other requested items and included Crossing Guards in the total. Dedicated Lieutenant/Captain Mrs. Gilligan reported the subject position was discussed at length by the Public Safety Commission at two different meetings. She said at one point, the Commission was very supportive of a dedicated Captain, which would, in essence, be a Police Chief. However, Chief Lingle attended the last meeting, and he presented a different point of view, saying that it would create some problems in the chain of command- the Sheriff's Department ultimately wanted to see it in about five years- but at this point he felt the Dedicated Lieutenant was the position needed for the operation in the Palm Desert Sheriff's Station. The Commission voted unanimously in favor of the Dedicated Lieutenant; whereas, Mrs. Gilligan noted the Commission voted 3-2 in favor of a Dedicated Captain at its April meeting. She referred further discussion to Chief Lingle, who was in attendance. Upon question by Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson, Chief Lingle responded that from an operational standpoint, there would be two captains within one facility. He said the way the Department worked presently, in terms of staffing deployment, was that all of the contract cities and the unincorporated area of deployment fell under one command, providing the Department an opportunity to ensure that it controlled its resources and placed them where needed. For example, he said if in the City of Palm Desert there was 4 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * a long-term disability/worker's compensation issue or coverage needed because of vacation time, staffing from another contract (not affecting their contracted -for service level) or the unincorporated area of the County could be utilized to make sure Palm Desert's contracted - for level of service was maintained. Under two commands, he said a true negotiation process would be required for the utilization of those resources; it would no longer be Captain Miller's privilege to just move a County person to Palm Desert or one from Rancho Mirage to Palm Desert without an adequate, analyzed assessment of staffing levels for those areas of responsibility as well, which caused Chief Lingle a great deal of concern. He likened it to "two chiefs in one tent," where there would inevitably be issues. He knew that the City of Palm Desert would eventually have its own Chief of Police, possibly within the five-year window previously mentioned, noting that there may be a more definitive reality to this. He went on to say that he'd asked for a compromise on the part of the City Council, noting that this issue was so important to the Sheriffthat ChiefLingle was directed to attend this meeting instead of attending the regular Sheriff's Executive Staff Meeting in Riverside— the Council's decision this morning would affect the way the Sheriff's Department worked throughout Riverside County. He wished to see, if Council was so inclined, approval of the Lieutenant's position, with a critical performance analysis conducted after one year; should it be decided an upgrade of position to Chief of Police was warranted, the County could absorb the Lieutenant's position through attrition. Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson commented that a year ago, the Sheriff's Department asked for a Dedicated Lieutenant, and he remembered Councilman/Member/Member Kelly asking what that person would do. He recalled that there was not a satisfactory answer given, and the position went unapproved; this year there was debate whether it should be a Lieutenant or a Captain, while there was still no answer to the question of why this position was needed. Chief Lingle responded that as far back as 1993, the Sheriffs Department realized that the City of Palm Desert was ready for a Dedicated Lieutenant's position, because as the Valley experienced growth, there were so many demands placed upon the Commander that the Department wasn't able to keep up with the work. He went on to say that as the Department reviewed the workload, in terms of percentages across the Station's lieutenants, there has been an inordinate amount of time attributed directly to the City of Palm Desert. When he was the City's Chief of Police, he envisioned the subject position overseeing not only the administrative side but the operational side of the City's Police Department. By way of comparison, he said the City of Palm Springs Police Department operated with a chief and four commanders. He explained that in the City of Palm Desert, it would be essentially the same size operation with a Chief of Police and two Lieutenants, noting that one of the reasons the Sheriff's Department was able to do it less expensively was because it was leaner at the top. He felt the position would give the City the representation it wanted, not only for purposes of a sundry of meetings, but for functions throughout the community. More importantly, he believed that the position would not only provide an opportunity to ameliorate 5 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY NNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * but clearly successfully manage those many, many programs that the City asked the Department to carry out. For instance, at the last Public Safety Commission Meeting, his interest was piqued by the lack of knowledge about the many Neighborhood Watch Programs that there were across the County, and he remained silent— there were many of those programs. In the past, he recalled that the Department had a Crime Prevention Officer that went back to a Target Team handling those kinds of things, eventually back to a Crime Prevention Officer. He foresaw the subject Lieutenant's position being able to bring all of those positions under one umbrella, working in partnership with the other lieutenants who handled the high percentage of work in the Station to ensure a good grasp of what was happening in the community, while truly having a full-time, legitimate voice in the community. As one who'd sat in Captain Miller's seat, he could say it was a very, very demanding job — probably one of the three most difficult jobs for a commander in the Sheriffs Department, the first being the Robert Presley Detention Center, and the second being the contract city of Moreno Valley— the commander could legitimately use the help. He concluded by stating the position would really improve the Department's overall operation, not only in terms of internal and external representation, but clearly in the management of those programs, administrative, and operational responsibilities that are held dear to the City of Palm Desert. Councilman/Member/Member Kelly didn't think it made much difference what rank, but from the sounds of the responsibilities, it sounded like a position that the City could refer to as its Chief of Police. He didn't feel an organizational chart should prevent the Department from accomplishing something that needed to be done. He wanted to see a person who had Palm Desert as their primary responsibility and who could be referred to as its ChiefofPolice. When constituents asked him why the City utilized the Sheriff's Department rather than its own force, he always explained the many advantages ofcontracting with the Sheriff; however, most people were used to seeing a city have its own Chief of Police. In response to question whether it could be accomplished without regard to particular rank, Chief Lingle said the Sheriffs Department would be pleased to work with the City in whatever fashion was deemed appropriate. Mayor Pro-Tem/Vice ChairmanlVice Chairman Ferguson said ideally, if the City contracted for services with the Sheriffs Department, it would be nice to have a Captain who was in charge of only Palm Desert, lived in Palm Desert, was a member of Palm Desert civic organizations, a member of the community who was clearly identified as the person in charge of law enforcement in the City— someone he could call in the middle of the night if he had a question about what was going on— a primary liaison. Most importantly for him, albeit a tricky matter, he felt the position should be filled by someone who was going to stay put for awhile and not take the next rung on the promotion ladder; it seemed as though Palm Desert was the training ground for higher echelons of the Sheriffs Department. He agreed that it didn't particularly matter what rank was assigned to the position. 6 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY * * * • * * * * * * * * * * • * * * * * * * * * * * * * JUNE 12, 2000 Councilmember/Member/Member Benson felt ChiefLingle did a good job of explaining what was desired, and she felt the City had always given its departments what was needed to effectively do the job— they were the experts. The request had been argued before unsuccessfully; therefore, she felt it should be tried for a year. If it didn't work, the Department was willing to go the other way, but it wouldn't be known without going ahead. She commented that the City knew it took up the time, it had more innovative programs than any other city, and she felt the Department should be given the tools needed to make everything work. Mayor/Chairman/Chairman Crites suggested accepting staffs recommendation for a Dedicated Lieutenant position for the Police Services Budget, asking the Department to return to the City Council's first meeting in September with a proposal to have a "Chief of Police" for Palm Desert. Councilman/Member/Member Spiegel agreed with Councilmember/Member/Member Benson, and he felt the fact that Palm Desert is a contract city has made it as strong as it is. He had no qualms with the Police Department; he was proud of its staff and felt there was a big advantage to contracting with Riverside County, such as being able to fill openings right away. He felt Chief Lingle had offered the reasons for doing what was being requested, and he would support their recommendation. Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson stated he wasn't sure whether or not what was being discussed was mutually exclusive. If it was a lieutenant, he felt that person could do all the things he highlighted— maybe it sounded good if they were a Captain; whoever it was would have someone above them. Therefore, whether it was a Lieutenant or a Captain for the Sheriffs internal purposes, it didn't matter to him. The level of service and other important issues did; he felt those could be accomplished with a Dedicated Lieutenant, and if that didn't work, they could return to look at a Captain. Chief Lingle responded that the Sheriffs Department understood where the City was going, and it needed a window of opportunity to successfully, at least internally, manage that transition. He added that it would change the way their Department worked, not only here but in every community in the County in a very short period of time. Councilman/Member/Member Kelly clarified he believed in the same things as Councilman/Member/Member Spiegel had identified. He noted that when first elected to the City Council, the Cove Communities were getting ready to form their own police department, and he went to them, giving them all the reasons for staying with the Sheriff's Department. He had been a promoter of the Sheriffs Department for some 17 years, it didn't matter to him what the rank, but he wanted someone to identify as the City's person. 7 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Mrs. Gilligan stated that the Public Safety Commission shared the concerns about looking at the year's performance by the Sheriff's Department to better see what the needs were. She felt the Mayor's suggestionxo have the Police Department return with a report on how they would appoint a Police Chief in title, whether a Lieutenant, a Sergeant, a Captain, etc., would be one item to come in September. She said the Commission would then like to become more involved and begin reviewing performance, areas of strengths and weaknesses, beginning in February or March so that it had a better handle in the budget process and the overall operation. She said that would be done prior to the end of the year, and it would include an analysis from the Sheriffs Department as to the success ofthe Dedicated Lieutenant or Police Chief and recommendation regarding whether or not to change it at next year's budget time. Captain Miller commented that with regard to the City's desire for a Chief of Police, whether a Lieutenant or Captain, there is currently a model in place within the County in Norco. He explained that entity has a Dedicated Lieutenant position which they refer to specifically as their Chief of Police; although Palm Desert's situation would be slightly different, with some minor modifications, it could work here. Councilmember/Member/Member Benson moved to approve for inclusion in the FY 00/01 Police Services Budget for adoption June 22, 2000, at 7:00 p.m. the City Manager's recommendation to approve the Dedicated Lieutenant's position subject to the Sheriff's Department returning in September with a proposal for appointing a Palm Desert Chief of Police and a critical performance analysis of the position conducted after one year to evaluate its effectiveness and/or need for upgrade. Motion was seconded by Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson and carried by unanimous vote. Traffic Positions Mrs. Gilligan explained that the $434,058 would increase the City's traffic control by one Sergeant and two patrol officers, bringing the total to ten deputies plus two sergeants. Councilman/Member/Member Spiegel noted that some months ago the Red Light Runner Program was discussed, now enforced in Indian Wells, and this proposal was for $434,058 for additional people to be out on the street trying to arrest speeders or red Tight runners. He said there didn't seem to be a way to stop people from turning left since there's no way to get them after a red light. He wondered if a Red Light Runner program was considered as opposed to additional staffing. Captain Miller said he understood that issue to be dead until the Council chose to bring it up again. He said clearly one of Palm Desert's most significant problems, while not a high crime area, was a high volume of traffic and related issues that were of primary concern to the City Council, demonstrated by its requests for traffic enforcement. He noted that on many occasions he'd been informed that if there was insufficient staffing to provide the levels of traffic enforcement desired, he should request same. He said the subject request would allow 8 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * • ** * * * * * * * * * * * * * * * * * the Department to provide two, five -man traffic teams, each supervised by a Sergeant, that would give better coverage with a higher level of traffic enforcement. With regard to left turns against a red light, he said two additional officers wouldn't specifically improve that issue. In response to Councilman/Member/Member Spiegel's question, Captain Miller said the traffic positions would be utilized for any of the wide variety of traffic enforcement issues, such as accident investigations, traffic enforcement/radar, and the Neighborhood Enforcement Program. With City Council/Agency Board/Housing Authority Board concurrence, the City Manager's recommendation to approve the request for additional traffic positions was approved for inclusion in the FY 00/01 Police Services Budget to be adopted June 22, 2000, at 7:00 p.m. Police Action Counseling Team (PACT) Mrs. Gilligan reported the PACT was initiated last year for $78,000 of funding plus $5,000 added for payment of the contractor's insurance. She said this year the contractor came in with a budget of $128,000— there were four separate budgets ranging from $128,000 - 191,000. The Public Safety Commission heard a report which stated the County was taking over, starting its own County -wide PACT through Dr. Tonkins. She said Palm Desert would eventually fall under that umbrella, so the County would provide the same type of program for the City through its contractual fees to the Sheriff's Department. The Commission recommended a total of $189,000, and she said staff recommended, with concurrence of the City Manager, a total of $128,280 (a $42,500 increase over last year). She went on to note Dr. Tonkins' request shows 20 hours per week spent with the Palm Desert PACT; however, it was felt, realistically, Dr. Tonkins would probably be spending a great deal of her time in Riverside to establish the County's program. Therefore, she said it was staffs recommendation to leave it at the original request of $128,280, work with the County for the next three to six months when it is scheduled to be operational through the County. Further, she said if the City went under the County's program and had funding left from the original budget, those extra funds could be used to further enhance Palm Desert's PACT. In response to question by Councilman/Member/Member Spiegel, Mrs. Gilligan answered that this item as a separate funding issue probably would not appear next year. However, she said if there were certain issues in Palm Desert that the City felt warranted extra attention, enhancements to the program for those items could be budgeted. Councilmember/Member/Member Benson stated she felt the program had been successful, no negative comments had been received from either the community, the officers involved, or any of the organizational partners (i.e. Shelter From the Storm, Eisenhower Medical Center). Therefore, she recommended approval so that the program got off on a good scale 9 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * with the County's, noting that it would probably also be picked up by other communities in the State. Councilmember/Member/Member Benson moved to approve the City Manager's recommendation to include in the FY 00/01 Police Services Budget to be adopted June 22, 2000, at 7:00 p.m., the Police Action Counseling Team (PACT) in the amount of $128,280. Motion was seconded by Councilman/Member/Member Kelly and carried unanimously. Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson agreed, stating that he'd looked at the $179,000 and the $128,000 budgets, and the difference really was in attending conferences, doing education, hiring a public relations person, etc. Therefore, he felt the $128,000 amount was satisfactory to provide necessary services to the children needing them. Police Golf Cart Mrs. Gilligan said this item went back and forth at the Public Safety Commission as well. In fact, she said the Commission actually voted against it, feeling it was going to be a promotional tool. She said staff continued to recommend it, not at $16,750, but at $10,000 with the feeling that it could be used significantly for an obvious police presence in the park during special events, for El Paseo, in parking lots— it would be a good addition, not from a public relations standpoint, but from a police presence standpoint. Councilman/Member/Member Kelly said he felt the primary reason the Commission voted against it was that when asked whether it was an efficient use, police staff said it wasn't. He said he checked how many times the City provided its police with golf carts and found there had been almost 100 times for special events over the past five years. He believed the golf cart was worth its value in public relations alone, and he knew it would be used, too. Mayor Pro-TemlVice Chairman/Vice Chairman said he didn't understand the distinction between law enforcement and community relations; he felt they went hand in hand. He cited the City's innovative alternative fuel program, there were golf cart lanes in existence, and seeing the Police Department use golf carts on El Paseo, in the Park, and in different areas would not only promote that program, but would serve a definite purpose. He felt a warmer image of the community's law enforcement through the use of a golf cart was an easy decision to make— even if it didn't add any efficiency, it had a community relations value worth far more than $10,000. Councilman/Member/Member Spiegel said he didn't disagree, but he didn't want it to in any way cut into the bicycle program. He felt that was one of the most effective programs the City had, particularly on El Paseo, and he'd like to see it used more in the parking lots at Westfield, etc. 10 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY * * * * * * * * * * * * * * * * * * * * * * * * * * * JUNE 12, 2000 * With City Council/Agency Board/Housing Authority Board concurrence, the City Manager's recommendation to approve the purchase of a police golf cart in an amount not to exceed $10,000 was authorized for inclusion in the FY 00/01 Police Services Budget to be adopted June 22, 2000, at 7:00 p.m. Crime Prevention Mini Pick-up Truck Mrs. Gilligan said the subject equipment would be used for programs such as Neighborhood Watch and the Crime Free Multi -Housing Program. She said in response to question by the Public Safety Commission, the police advised that there were five Neighborhood Watch programs in existence in the City, with more planned to come on board in the not too distant future. Captain Miller added that there were six or seven apartment complexes involved in the Crime Free Multi -Housing Program, requiring presentations, meetings, etc. Councilman/Member/Member Kelly said with the exception of a couple of areas of the City, he didn't feel Palm Desert was the type of community where Neighborhood Watch worked that well. He believed the gated communities already had security companies, in areas that weren't gated, residents could install a security alarm, and he noted many residents left in the summer. Councilman/Member/Member Spiegel commented that his neighborhood had a Neighborhood Watch sign, but he couldn't recall a meeting being held in the 17 years he'd lived there. In response to Councilmember/Member/Member Benson's question whether this expenditure could be made from the CalCops grant funds, Captain Miller said it could. Therefore, she suggested this item be purchased through that program for the purchase of front-line law enforcement equipment. City Council/Agency Board/Housing Authority Board concurred that the expenditure for the mini pick-up truck be referred back to the Public Safety Commission for authorization as an expenditure of CalCops grant funds. 11 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Storefront Substation Mrs. Gilligan said this item_had been considered by the Commission several times; no one doubted that there would be a benefit from this type of storefront operation. However, she noted it would not be manned by deputies, they would be Community Service Officers, information and assistance with a major problem would still have to be obtained through the main station. Therefore, she stated staff recommended postponing this program for a year, allowing the Commission to work on it with the Chief and the Captain. Councilman/Member/Member Kelly commented that with regard to the subject storefront, it was the same amount of money as putting another officer on the street, and he measured its effectiveness against what another officer could do. With City Council/Agency Board/Housing Authority Board concurrence, City Manager's recommendation to postpone consideration of this program for one year, with the Public Safety Commission directed to work with the Sheriffs Department to return with a proposal that would provide a deputy and the ability to provide on -site services, was approved. Palm Desert K-9 Unit Mrs. Gilligan said when this issue first came up, it was at approximately $10,000; however, it was now at $181,454. She said Palm Desert Station's K-9 unit with "Rudo" made a presentation at the Public Safety Commission, resulting in the Commission's recommendation to utilize the dog already operating out of Palm Desert since it felt $181,000 was unrealistic. She went on to say there would be a feature story on the K-9 unit in next month's Bright Side which would provide some beneficial public relations. With City Council/Agency Board/Housing Authority Board concurrence, City Manager's recommendation to deny the request for initiating a separate, Palm Desert K-9 unit was approved. Mr. Ortega called City Council/Agency Board/Housing Authority Board members' attention to the fact that with regard to the proposed fire staffing, it represented an initial $700,000 to the City, which had been included in the Budget Summary for FY 00/01. Therefore, he said if the full recommendation was approved, money was already incorporated into next year's figures. 12 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY * * * * * * * * * * * * * * * * * * * * * * * * * * * Position Pavers Finance •Accounting Technician I Part-time to Full-time ($17,900) JUNE 12, 2000 Mr. Ortega noted that when the number of personnel and the growth in the Departments was contemplated, it should be taken into account that the major burden resulting from such growth had fallen on the Finance Department. Councilman/Member/Member Spiegel commented that in the last three years, there was almost a $250,000 increase in expense. Mr. Ortega responded that in that time, Desert Willow had become a full-fledged operation; it was included with a substantial budget of its own, over $7 million. With City Council/Agency Board/Housing Authority Board concurrence, the City Manager's recommendation to approve the recommendation for making the part-time Accounting Technician I full-time was authorized for inclusion in the FY 00/01 Budget to be adopted June 22, 2000, at 7:00 p.m. Upon question and further discussion, Mr. Gibson called Council/Agency/Authority members' attention to page 19 of the Preliminary Budget where number of staff was shown, pointing out that the positions being recommended in the position papers had not been included since they had not yet been discussed at the time of the book's printing. Community Affairs •Reclassification of Visitor Information Center Coordinator to Visitor Information Center Manager - Range 680 ($5,000) Mrs. Gilligan explained that when responsibility for the Visitor Information Center (VIC) was assumed, staff was weak in knowledge as to what type of an effort would be taken to run it successfully. Presently, it is manned with a Coordinator, two full-time employees, and 11 volunteers. At the time it was established, she said it was agreed the Coordinator's position would be revisited in one year; two years will have passed in October 2000. She said after careful review of the supervisorial responsibilities, the addition of the merchandising program, established solely at the VIC and all under the management of one person, approval of the subject reclassification was recommended to a manager level. In response to Councilmember/Member/Member Benson's question about the return on the merchandise, Mr. Gibson said $30,000 of revenue was budgeted for FY 00/01. In further 13 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * response to Councilman/Member/Member Spiegel, Mr. Gibson answered the operation would reflect a loss in its current structure— cost of merchandise outweighed the revenue. Mrs. Gilligan commented that start-up expenses associated with the enterprise, accessories for the program such as boxes, bags, tags, displays, and setting up the inventory system accounted for a good deal of the costs that ate into the profits. However, she felt that it was nearing a break-even point. Mr. Gibson added that exposure to the operation and the available merchandise was increasing and would also aid in its success. Councilmember/Member/Member Benson added that there was a definite public relations benefit being realized by the City's operation of the VIC. Upon inquiry whether a profit/loss statement could be produced for the operation, Mr. Gibson said he could provide it. Councilman/Member/Member Spiegel asked his colleagues to bear in mind that when the profit/loss statement was reviewed, it should be noted that there was no rent being paid for the merchandise being sold, it was purely cost of goods from sales, the shortage, the mark-downs, and the accessories— it shouldn't be a money-maker, but it also shouldn't lose. Mrs. Gilligan added that the operation had been running seven days per week; it would begin closing on Sundays through the summer but was open for major holidays except Easter and Christmas. She said judging from the data base established and the number of inquiries received there, it could certainly be deemed successful. Councilman/Member/Member Spiegel agreed, and he commended Mrs. Gilligan and Ms. Gomez for the work they'd done. He went on to say it was the first place most people saw Palm Desert-- its look and the people manning it were terrific. Councilman/Member/Member Kelly felt it was great to be able to buy Palm Desert merchandise there. Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson also felt it was great, explaining he wanted the profit/loss statement because he wanted to be in a position to explain the operation to residents— it wasn't losing money, but it wasn't making a fortune, either. With City Council/Agency Board/Housing Authority Board concurrence, City Manager's recommendation to approve the reclassification of the Visitor Information Center Coordinator to Visitor Information Center Manager - Range 680 was authorized for inclusion in the FY 00/01 Budget to be adopted June 22, 2000, at 7:00 p.m. 14 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * •One -Year Public Art Intern Program ($35,000) Mrs. Gilligan stated that this was an idea resulting from the interview process for the Community Arts Manager position; one of the applicants actually headed up the master's program at USC, the only university in the country with a master's program in public art. She said both Councilmember Benson and Mayor Crites challenged her to explore the possibilities, which she'd done with Ms. Miller. She went on to say this program would be initiated through the same incredibly enthusiastic woman. She said an intern would be placed with the City who would also be attending classes while receiving credit for working at the City as part of her master's program. Palm Desert would be the first city to undertake such a program, and Mrs. Gilligan said because the intern would have to move here and establish a residency, the hourly rate was set at $18 per hour. She said the program would allow the City to move its programs forward, such as getting the maintenance program underway (which now had a plan but needed someone to implement it); therefore, it offered an incredible opportunity to bring in a breath of fresh air, new ideas from the program, and get some badly needed work done as well. In response to Councilman/Member/Member Spiegel's question about the anticipated receipts of AIPP funds, Mr. Gibson answered the total would be $294,000. Councilmember/Member/Member Benson felt it was a great program, and she felt the Art Department was another case where once a project was conceived, it led to others and more and more work, making it hard to get caught up. Councilmember/Member/Member Benson moved to concur with the City Manager's recommendation to authorize for inclusion in the FY 00/01 Budget to be adopted June 22, 2000, at 7:00 p.m. the one-year Public Art Intern Program. Councilman/Member/Member Spiegel agreed, noting that he was at first skeptical, leading him to spend some time with Mrs. Gilligan for an explanation. He said some of the things that were slated for this program were work on the Desert Dessert artwork in the park, Washington Charter School fence that needed repainting, etc.— there were many projects still up in the air, and the intern could assist in that regard. Councilman/Member/Member Spiegel seconded the motion, and it carried unanimously. Public Works •Acceptance of State Routes 111 and 74 into Palm Desert City Ownership ($??) Mr. Folkers stated the subject item had been considered previously; noting that in current dealings with CalTrans, primarily on Highway 111 for the improvements there, as well as 15 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Highway 74, there are some severe restrictions. He commented that Mr. Drell had tried to talk with CalTrans about getting bike lanes on Highway 74, without success. He said the intent would be for the City to take it over, referring to the background information in his report and explaining that an analysis had been done that revealed over the last 13 years, CalTrans only paid out about $150 in claims. He recalled that there had been 11 claims on one street and four or five on the other, which was a concern that had always been raised with regard to the City's liability. From an operations standpoint, he said the City was currently responsible for painting the curbs, for the parkway, and for the median; the City also was involved in the sweeping. He said CalTrans had done some resurfacing of certain parts, some were yet to be done; as part of the City's construction projects, it had pretty much taken care of resurfacing on 111 with the exception of about 1.5 miles that would be done as the widening was completed. On Highway 74, he said a complete resurfacing had been done, so that was in good shape. In response to Councilman/Member/Member Kelly's question whether all the projects were in process that would make three lanes through the City of Palm Desert, Mr. Folkers answered no. He hoped in the next couple of weeks approval would be given for the Highway 74/Highway 111 project to San Marcos, and 74 would be to south of El Paseo. The last segment was the portion that ran from Larkspur to Portola— Portola was out to bid— and from west of Portola back to Larkspur, from east of Portola over to Deep Canyon. Unfortunately, he said they were back for the fourth go -around with CalTrans on plans for the work at Highways 74 and 111. Upon Councilman/Member/Member Kelly's further inquiry whether there was an advantage to going about this in two steps, taking Highway 74 first followed by 111 so as not to lose any clout in getting three lanes through the City, Mr. Folkers said there was not. Councilman/Member/Member Kelly said if 74 was taken over first, the City could get its golf and bike lanes, as there were many citizen complaints about those areas; he felt there was an advantage to taking over 74. Councilmember/Member/Member Benson agreed, adding that the City could then exercise better control over the traffic there. Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson asked, exclusive of estimates on exposure to liability, if Public Works had done a cost benefit analysis of taking over jurisdiction of both Highways that concluded it would be in the City's best interest to do so. Mr. Folkers said it had not; some analyses had been done, but not cost -benefit. Mr. Ortega felt until that was done, including the Director of Finance's involvement, noting the report stated CalTrans would be willing to provide a certain number of years of maintenance cost, it was not the liability but the long run maintenance that was the issue. Therefore, if Council chose to approve staffs recommendation, he proposed returning with at least a five-year pro forma, possibly 10-, or 15-year, of what taking it over would mean. 16 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Councilman/Member/Member Spiegel commented that when CalTrans resurfaced Highway 74, all the work was done at night, the street was never closed. He felt it was much better than any street the City resurfaced, noting the City didn't spend that kind of overtime money. However, he felt it was an excellent job, and it was now a wonderful street — concurring with Mr. Ortega's concern for long run maintenance. He wasn't sure there was a big advantage other than the City being able to make its own decisions. With City Council/Agency Board/Authority Board concurrence, the City Manager's recommendation to direct staff to conduct a study relative to the City's exposure for liability and anticipated maintenance costs involved with accepting ownership of Highways 74 and 111 was approved. •Addition of a Traffic Signal Technician (Cost $242,000 - Savings $2,000) Mr. Folkers stated the City had contracted for many years with the County to provide traffic signal technicians, with the exception of one year. He said some seven years ago, there was a requirement that the City hold the County and itself harmless for any acts that took place, resulting in the City's going to a private contractor for one year. Unfortunately, he said the private contractor's response was from the City of Big Bear, and it took a great deal of time, caused some other problems, so the City went back with the County. He explained the City was growing and becoming more sophisticated with interconnected traffic signals; the City of Rancho Mirage recently went ahead and hired a traffic technician, although they did not have the number of signals that Palm Desert had. In thoroughly discussing the matter with Transportation Engineer Mark Greenwood, he said because of some of the service/response/maintenance problems encountered with the County, staff felt it would be prudent to add a position of Traffic Signal Technician, the associated equipment, and materials. Further, he said it would be the intent to work with the City of Rancho Mirage to provide back-up between the two cities. In response to Mayor/Chairman/Chairman Crites' question about making it a three -city position, Mr. Folkers said staff had mentioned such an idea to SunLine during a meeting with CVAG in talking about situations that involved all Valley communities (i.e. street sweeping). He said because of their workload and several other factors, it had never come to pass; therefore, staff decided to proceed in the subject manner. He added that staff had spoken with Indian Wells, and if Palm Desert had a technician, they would probably come aboard. Upon inquiry by Councilman/Member/Member Spiegel, Mr. Folkers said he'd talked with Rancho Mirage's Public Works Director, but finalization had not been accomplished pending such approval. Councilman/Member/Member Spiegel noted that the budget request was for an increase of $324,000 over this year, and he felt that would go down substantially if the City combined with other cities. 17 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Councilman/Member/Member Kelly agreed that it would be important to tie in with another entity, because ifthere was just one person, there would be no coverage for that person being off. Mayor Pro-Tem/Vice Chairman/Vice Chairman suggested implementing this program through the Cove Commission. Mr. Folkers felt that was an excellent idea since the three cities already worked closely on public safety issues. With City Council/Agency Board/Authority Board concurrence, consideration of the Traffic Signal Technician Position was referred to the Cove Commission. •Addition of a Landscape Inspector Position ($47,000 Salary/$25,000 Truck) Mr. Folkers noted the Landscape Manager was currently administering many innovative programs. He said there were presently two Landscape Inspectors, and the amount of work continued to grow with the addition of medians, the Community Gardens, etc., requiring additional help to ensure successful installation and maintenance of such projects, and staff was finding it difficult to keep up. With City Council/Agency Board/Authority Board concurrence, approval was given for the City Manager's recommendation to authorize for inclusion in the FY 00/01 Budget a new Landscape Inspector position. Mr. Ortega observed that one of the reasons the position was recommended for approval was the Landscaping Maintenance Districts. He believed there was no reason the City shouldn't account for all of its overhead and charge appropriately; therefore, he would be meeting with Mr. Gibson to discuss the matter. He felt those were really private issues, not public at -large; therefore, the City should not be picking up the overhead. •Addition of a Construction Inspector Position ($56,000) Mr. Folkers said a similar situation existed here— there was a large, ongoing construction program, including projects from Public Works, Community Development, and the Redevelopment Agency, and while staff tried to provide all the support it had for the various projects, public and private, it couldn't keep up. Therefore, another person was requested for this purpose. In response to Councilman/Member/Member Spiegel, Mr. Folkers said contracting -out was close to 75% higher, if someone could even be contracted at this time. 18 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * With City Council/Agency Board/Authority Board concurrence, approval was given for the City Manager's recommendation to authorize for inclusion in the FY 00/01 Budget a new Construction Inspector position. •Reclassification of Transportation Engineer to Senior Transportation Engineer - Range 800 ($4,500) Mr. Folkers noted that Mr. Greenwood had assumed a great deal of responsibility, recently becoming a Professional Engineer, and his reclassification was justified. He added that staff was currently doing in-house design with the technician working under Mr. Greenwood, work that had previously been done outside. With City Council/Agency Board/Authority Board concurrence, approval was given for the City Manager's recommendation to authorize for inclusion in the FY 00/01 Budget the Reclassification of the Transportation Engineer to Senior Transportation Engineer. •Equipment Storage Center/Civic Center Park ($90,000) Mr. Folkers stated this item had been approved previously; however, due to an ambitious workload and feeling that we could get by without it, it was deleted. Right now he said there is a storage building at the north end of the ball fields, half of which is used by Palm Desert Youth Sports Group. He said staff planned to place a building on the north side of the trash enclosure; it would be a site for storage of equipment, enabling the City to vacate the building at the north end, and Palm Desert Youth Sports could use it entirely. It was felt this would be of a long run benefit— less equipment wear and tear in addition to reducing any potential vandalism. With City CounciVAgency Board/Authority Board concurrence, approval was given for the City Manager's recommendation to authorize for inclusion in the FY 00/01 Budget the Equipment Storage Center/Civic Center Park. •Capital Outlay for Equipment ($61,000) Mr. Folkers said the City was very fortunate to have dedicated employees who maintained its equipment as well as they did. Therefore, he said replacement of certain pieces of it was recommended. With City Council/Agency Board/Authority Board concurrence, approval was given for the City Manager's recommendation to authorize for inclusion in the FY 00/01 Budget the Capital Outlay for Equipment. 19 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * •Corporation Yard Expansion Project ($2 million from the New Construction Tax Fund) Mr. Folkers said currently_ the extension of Joni Drive from Velie to 42nd Avenue was underway, meaning the bifurcation ofthe existing Corporation Yard. This required expansion of the existing Yard to the west, into the 40 acres presently owned by the RDA. He said the subject request initiated that process, noting that one of the problems now being faced was storage of certain traffic signal components (i.e. mast arms) that were purchased ahead because of long lead times; they may need to be stored on the 40 acres with a temporary chain link security fence. With City Council/Agency Board/Authority Board concurrence, approval was given for the City Manager's recommendation to authorize for inclusion in the FY 00/01 Budget the Corporation Yard Expansion Project. Mayor/Chairman/Chairman Crites admonished staffto ensure it acquired enough property for the City's present and future needs. Councilman/Member/Member Kelly concurred. •Addition of New Irrigation Well for Civic Center Park ($500,000) Mr. Folkers said about two weeks ago, the existing well went down for three days, resulting in the need to use water from the Water District. He explained that water was pushed all the way to the north end of the Park. As the date palm grove matured, it would require increased amounts of water; therefore, he said staff recommended implementing a redundancy factor — if the current well went down mid -summer, many of the facility's plants would probably not survive. With the recommended additional well, there would always be one to send water wherever needed. He noted that when first designed, it was not anticipated that there would be such intense water use in the Park. With City Council/Agency Board/Authority Board concurrence, approval was given for the City Manager's recommendation to authorize for inclusion in the FY 00/01 Budget the contract with an irrigation specialist to review the overall system in Civic Center Park and make recommendations for improvements in same as well as the addition of a new well. •Addition of a Landscape Specialist Position ($101,400) In response to Councilman/Member/Member Spiegel's question, Mr. Folkers said the subject position would require a higher level of skill than that of the previously discussed Landscape Inspector. He added this position would be more involved with the review of design plans; whereas, the Inspector would be in the field on a day-to-day basis, helping as needed with various designs. The subject position would perform a similar function to that formerly provided by Eric Johnson, on a much higher level-- overview and working with the landscape architects. 20 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY * * * * * * * * * * * * * * * * * * * * * * * * * * * JUNE 12, 2000 With City Council/Agency Board/Authority Board concurrence, approval was given for the City Manager's recommendation to postpone consideration of the subject position until review of overall organization of the City and Redevelopment Agency was completed. Building & Safety •Reorganization as Submitted ($58,033)— Deletion of One Deputy Building Official, Addition of one Supervising Plans Examiner, Addition of One Plans Examiner Mr. Bitterman explained the proposed reorganization ofthe Department ofBuilding & Safety. He said there was currently a Building Official, a Deputy Building Official, and two Permit Specialists— there was no effective Plan Check Section; the proposed eliminated the Deputy Building Official and substituted one of Supervising Plans Examiner, then hiring a Plans Examiner to be combined with the two existing Permit Specialists. He said the reasoning was that there was already an effective Supervisor for the Inspections Section, Mr. Pudis; there was also an effective Supervisor in the Code Section, Mr. Ponder. Therefore, the Deputy Building Official was only supervising the two Permit Specialists. He believed it would be more efficient if there was a layered expertise system where Permit Specialists handled routine items over the counter; tenant improvements and small commercial buildings would be handled by the Plans Examiner, and a Supervising Plans Examiner would have a fairly high level of expertise, although not required to be an engineer, to supervise the Plan Check Section, perform plan reviews personally, and make decisions as to what went to the contract plan check organizations that handled the heavy commercial and residential projects that had substantial structural engineering packages associated with them. He felt this manner was more efficient as it would avoid having to hire a structural engineer to work on staff, as they normally came at a pretty high price. Upon inquiry by Councilman/Member/Member Spiegel whether the request for staffwas large enough and whether or not Code Compliance required additional staff, Mr. Bitterman responded that perhaps Code Compliance would be further analyzed next year. With City Council/Agency Board/Authority Board concurrence, the City Manager's recommendation to approve the Reorganization of the Building & Safety Department was authorized for inclusion in the FY 00/01 Budget to be adopted June 22, 2000. Community Development •Reclassification of Senior Office Assistant to Planning Technician Mr. Ortega stated the recommendation was to deny the request; however, Mr. Drell had submitted additional information. Therefore, he recommended taking the same action as was 21 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * taken for the Landscape Specialist, postponing consideration until a review of the overall organization was completed in the near future. Mayor/Chairman/Chairman Crites suggested that with this and the previous items discussed that were pending, funds should be reserved for their potential later approval, thereby providing an accurate picture of total maximum expenditures. With City Council/Agency Board/Authority Board concurrence, approval was given for the City Manager's recommendation to postpone consideration of the Reclassification of Senior Office Assistant to Planning Technician to a time after the overall organizational review was completed. Redevelopment Aeencv •Reclassification of Senior Office Assistant to Financial Technician ($10,000) Mr. Ortega said the Agency had two requests, one similar to a previous consideration— when the person was employed, it was for a certain position because that was what was believed to be needed at that time. He remarked that there was a now a Housing Authority, and there was ongoing construction (i.e. Fred Waring project). Therefore, the subject position was really a Financial Technician rather than its existing classification. He noted that staff recognized that last year; however, with Mr. Wohlmuth's leaving, etc., the matter was not revisited. With City Council/Agency Board/Authority Board concurrence, the City Manager's recommendation to approve the Reclassification of Senior Office Assistant to Financial Technician was authorized for inclusion in the FY 00/01 Budget to be adopted June 22, 2000. •Reclassification of the Rehabilitation Construction Specialist from I to II Mr. Ortega affirmed that the subject reclassification should be postponed until consideration of the Home Improvement Program (HIP), for which expanded scope was being sought, that would have a bearing on the subject position. Housine Authority - Updated Guidelines Councilmember/Member/Member Benson felt approval should be given, as it was a successful program, something that was helping clean up the City. Her colleagues concurred. With City Council/Agency Board/Authority Board concurrence, authorization was given to include both the Reclassification of the Rehabilitation Construction Specialist from I to II and the Updated Guidelines in the FY 00/01 Budget to be adopted June 22, 2000. 22 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * In response to question by Councilmember/Member/Member Benson about the Santa Rosa Apartments, Councilman/Member/Member Spiegel said the fence was being worked on currently, and as soon as it went to Planning, Shelter from The Storm was nearly ready to move in. He added that they were also awaiting the HUD allocation. With City Council/Agency Board/Authority Board concurrence, Mayor/Chairman/Chairman Crites recessed the meeting at 9:34 a.m. He reconvened the meeting at 9:41 a.m. General Fund 110-4110-410-xxxx City Council Councilman/Member/Member Spiegel noted that the subject Department Budget seemed to be cut back. Mrs. Gilligan responded that the category of Local Meetings was split into two accounts, one being specifically for local Council meetings, the other being for attendance at certain events and for buying tables where employees were invited. 110-4114-410-xxxx Elections In response to Councilman/Member/Member Spiegel's question why the significant increase ($28,483 to $50,000) in the Budget since the last election in FY 97/98, Mrs. Gilligan answered that when the election was conducted in odd -numbered years, as the Registrar of Voters asked the City to do so they could better man the balloting system, a guaranteed 50% reduction in the cost was the benefit. Now the City was back with the Statewide General Election and paying full price, currently quoted at $49,471. 110-4416-414-xxxx Community Promotions Councilman/Member/Member Spiegel noted the contribution to the Palm Springs Desert Resorts Convention & Visitors Bureau (PSDRCVB) was increased by $25,000. Mr. Gibson responded that amount was the minimum, it may be more depending upon how TOT came out. He added at current estimate, the City may be at $7 million for TOT, meaning even more money required for the PSDRCVB if next year's revenues were similar, as it was based strictly on percentage. Further, he noted that as the Residence and Courtyard Inns were added, they became convention -type hotels that meant a higher percentage. Mrs. Gilligan stated that as far as the advertising contract and public relations, those budgets were exactly the same; interviews would be conducted Wednesday for the Public Relations Coordinator, and the RFP for Advertising Coordinator would be noticed very shortly. She 23 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * said the successful candidate for each program would be working with staff to break down the respective budgets. 110-4417-414-xxxx Bright Side Mayor/Chairman/Chairman Crites commented he felt the Bright Side was excellent. Councilman/Member/Member Kelly said he'd also received a nice compliment on the publication from a new Palm Desert resident. Mrs. Gilligan reported the next issue would contain a resident survey on cable television issues; it was geared for specific answers to let them know what could and could not be done with cable service. 110-4112-410-xxxx Legislative Advocacy In response to inquiry by Councilman/Member/Member Spiegel, Mr. Gibson said Citylink was the service by which Management Analyst Ray Janes could download various legislation of interest to the City. Mr. Ortega said he would further review this item. 110-4121-411-xxxx Legal Special Services Councilman/Member/Member Spiegel noted the amount was the same as last year, yet the Wymer case was gone. Mr. Gibson responded that the projected was actually going to be higher— approximately $200,000 based on the last billing received. For next year, he said the following amounts were estimated: 1) Personnel Matters at $40,000; 2) Rent Review at $35,000; 3) Litigation at $50,000; 4) Code Enforcement at $15,000; 5) $10,000 for Land. 110-4132-411-xxxx Administrative Services Mrs. Gilligan explained that it was budgeted at the same level as last year, pending City Manager's review of the organization. 110-4260-422-xxxx Risk Management Upon inquiry by Councilman/Member/Member Spiegel regarding the expenditure for Employee Safety Program ($15,000), Mrs. Gilligan stated the Employee Safety Training Program was being encouraged. She added that California State Law mandated that the City have a Safety Committee that met quarterly and that programs be established that benefitted the workplace and its employees. 24 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 ,* * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * 1 10-451 1 -442-xxxx Environmental Conservation Mrs. Gilligan stated here, too, the same budget was submitted as last year, pending the City Manager's review of the organization. In response to Mayor/Chairman/Chairman Crites' question, Mr. Gibson said that the salaries of two position came out of this Department— the clerical position was filled, the Environmental Conservation Manager's position was unfilled. Responding to Mayor/Chairman/Chairman Crites' further inquiry, Mrs. Gilligan explained that person had bridged the gap with regard to the status with trash, restaurant recycling, followed by her being placed in the Building & Safety Department for over 30 days to provide clerical coverage, then helped out in Human Resources to provide assistance when Ms. Darling was away from the office. She added that filling ofthe Human Resources Technician position had been postponed, and Ms. Cogley-Brown often assisted the Human Resources Department. With regard to Mayor Pro-Tern/Vice Chairman/Vice Chairman Ferguson's inquiry as to why the difference in amount of salaries from this year to the next, Mr. Gibson stated a savings was realized in the current year while the Environmental Conservation Manager's position remained unfilled. Next year, he said the lower level of that position's range was calculated for budgeting purposes. 110-4190-41 5-xxxx Data Processing Mr. Gibson commented that for part of this budget, the computer consultant excess between the $15,000 - 50,000, staff recommended a carryover of the balance for purposes of the IT Study being conducted and/or any recommendations resulting from same. In response to Councilman/Member/Member Spiegel's comment regarding the substantial increase in expenditures for salary and benefits from 97/98 to 00/01($72,521 to $236,375), Mr. Gibson answered that two positions had been added in that process, one of which took the place of Naning San Pedro's position. Mayor/Chairman/Chairman Crites noted that from his experience at the College in the past five years, it too had a the significant increase in the percentage of its budget allocated for information technology and related items. 1 10-4192-41 9-xxxx Insurance Mr. Gibson stated this budget went up due to the City's past liability exposure. 25 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * 110-4199-499-xxxx Interfund Transfers Out Mr. Gibson remarked that _this budget included the S700,000 for the Fire Department' s Alternative No. 3. Mr. Ortega noted that the money was being reserved, the actual approval had not been given. 110-4800-454-xxxx Outside Agency Funding Mr. Gibson explained this budget reflected that already approved by City Council for the various Outside Agencies. Councilman/Member/Member Spiegel said he agreed with the additional $34,000 for the Senior Center, but he felt it now had an aggressive Director that could be challenged to work on building up the endowment. He commented there were many cities that couldn't fund their senior centers at all, but since this one was in Rancho Mirage, Indian Wells, and Palm Desert, the ante was upped each year. 110-4210-422-xxxx Police Services Upon inquiry by Councilman/Member/Member Kelly as to the number of positions serving the City through its contract, Mr. Gibson affirmed the 65 and 11.5 positions shown on page 91 of the Preliminary Budget, noting that was the last he was aware of. He would confirm the number with Captain Miller. Councilman/Member/Member Kelly said he would appreciate having that number so he could readily access the information for various comparisons, further asking if such a summary report could be provided by Captain Miller. 110-4310-433-xxxx Public Works Street Maintenance In response to Councilman/Member/Member Spiegel's question about acquisition of a small sweeper, Mr. Folkers responded it was for a smaller unit with small brushes, a vacuum -type to get into the corners. Councilman/Member/Member Kelly felt this was a sorely needed piece of equipment, relating that he'd seen someone using a blower to clean a parking lot. He said any way that would reduce the use of blowers would be good. On a related issue, Mayor/Chairman/Chairman Crites asked about an area in Palms to Pines East (between Smoky's and Big 5 Sports) that he felt continued to be a maintenance problem— holes in the pavement, etc. He acknowledged that it was private property but felt it needed attention. 26 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY NNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Mr. Drell responded that the parking lot would be redone, noting that the property owner had been cited for those items. However, the City was allowing some time for compliance pending the planned remodeling project. Councilman/Member/Member Kelly didn't believe it would be cost prohibitive to simply fill the large holes with asphalt patch. Mayor/Chairman/Chairman Crites added he felt the back sides of the buildings should also be steam -cleaned to clean up the center's appearance. Both agreed these were normal maintenance issues which they felt staff should tend to assertively. 110-4344-413-xxxx Public Works - Portola Community Center Councilman/Member/Member Spiegel noted the services budget was up nearly $10,000. Mr. Folkers responded the projected budget was $53,000; the amount requested was the same as was adopted for this year, $62,600. 110-4315-433-3320 Public Works - Striping In response to Councilman/Member/Member Spiegel's inquiry whether $100,000 was enough, since he felt restriping was something definitely needed, Mr. Folkers answered that the City contracted with the County for striping on main streets. He added that City staff did most of the legend work and red curbing. At a recent Public Works staff meeting, he said it was determined that staff should start attending to red curbing immediately. He said that with the new construction projects, staff felt $100,000 was sufficient. Upon inquiry by Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson regarding last year's budget of $125,000 where only $75,000 was actually utilized, Mr. Folkers said between the contract with the County, work done by contractors, and what the City spent for materials, that was the amount. He quickly pointed out that $75,000 was projected, it could end up being higher ($80,000-85,000). Councilman/Member/Member Kelly said he felt it was the Council's desire to have well -maintained striping; therefore, the budget shouldn't be short-changed. He added that as a safety issue, it was a big help when streets were well -striped. Mr. Folkers said he would ensure that the striping was taken care of. In answer to Councilman/Member/Member Spiegel's question regarding how large a crew there was to perform such maintenance, besides the County, Mr. Folkers said there were hand crews that went out with stencils to catch the turn arrows, stop bars, and legends, etc. He added that more thermo-plastic was being utilized, a longer -lived material. 27 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * 1 10-4360-413-xxxx Public Works - Auto Fleet Councilman/Member/Member Spiegel questioned why there was need to spend an additional $100,000 over what was spent this year. Mr. Folkers stated staff was trying to replace all the older units with CNG, and for some, the maintenance costs were getting to the point where they needed to be replaced. In response to Councilman/Member/Member Kelly's inquiry about the availability of a CNG compact pick-up, Mr. Folkers said currently, only one -ton models were available for some reason such as gas storage or size; staff would also prefer half -ton models. Councilman/Member/Member Kelly suggested Dick Cromwell at SunLine be contacted to see what information he might have on such vehicles. 1 10-4420-422-xxxx Building & Safety Councilman/Member/Member Spiegel remarked that $100,000 more was being spent on professional services (plan checks) than was spent in the current year. Mr. Bitterman responded that there was an RFP solicited from three organizations to provide contractual plan checks. He said approximately $375,000 worth ofrevenue would be realized in the next fiscal year; he did not anticipate spending the entire amount if the City hired some qualified people for the positions requested. Further, he said it would depend on what types of building projects were submitted— if there was a lot of tract housing, only the models were checked; custom homes were nearly as complex as some commercial buildings, stating an example might be the Marriott Time Shares where only one would be checked since a number of buildings would be identical. However, he said the clubhouse would require a full plan check. He said every effort would be made to minimize the expenditure. 110-4230-442-3090 Animal Control In response to Councilman/Member/Member Spiegel's question whether the subject budget had anything to do with the new facility, Councilmember/Member/Member Benson replied not yet. Councilman/Member/Member Kelly related that he'd seen an excellent article in this month' s Reader's Digest regarding animal shelters, and he would provide the information to his colleagues. 28 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * 110-4470-412-xxxx Planning & Community Development In response to Mayor/Chairman/Chairman Crites' question regarding the status of hiring a consultant to perform the General Plan update, Mr. Drell said he was awaiting a meeting with Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson in order to proceed. He said proposals had been received and provided to the review committee. 1 10-4430-422-xxxx Business Support Center Councilmember/Member/Member Benson called attention to the report provided this morning. She said it outlined the summer promotion conducted every year (Million Dollar Days). When it began, she said there was enough money to cover it; last year it was cut back somewhat, and this year it had to be eliminated since there wasn't enough in the budget— it would just be a weekend promotion. She said the feedback from other business centers like Westfield, Desert Crossing, etc., that were asked to participate said that they had to know almost a year in advance in order to ask their corporations for money for their respective budgets. She said they couldn't wait until April when we decided that there wasn't enough money; it was too late. She said there was normally about $30,000 per year available, and she told Business Support Manager Ruth Ann Moore that she would ask City Council to match that amount so there was a guaranteed $60,000 available. However, since that time she said Mr. Gibson explained to her that only half of the fees collected from the COD Street Fair were placed into that special Citywide fund; it could be the whole amount. Upon Councilman/Member/Member Kelly's question, Mr. Gibson answered the other half of the fees went towards Business License— the agreement was that $1.00 would go for Business License, the other half to Promotion Activities. Councilmember/Member/Member Benson said that was primarily what it was meant to do (Citywide promotion) when the agreement was negotiated with COD to keep the Street Fair operating eight or nine years ago. In response to Councilman/Member/Member Spiegel, Councilmember/Member/Member Benson said with the whole amount, a longer promotion, like Million Dollar Days, could be organized if it was known every year that there was $60,000 available to finance it. Responding further, she said all the merchants liked the promotion; they liked Million Dollar Days because their patrons liked the dollars. She said they didn't like the passport as well. She reiterated that it wouldn't be any additional money requested, just shifted from Business License to the Citywide Promotion. 29 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * With City Council/Agency Board/Authority Board concurrence, authorization was given to budget revenue received from the COD Street Fair fees in its entirety in the Citywide Promotion Account commencing with FY 00/01. Special Revenue Funds 213-0000-349-9500 Measure "A" Reimbursement from Other Government Councilman/Member/Member Spiegel asked about the difference in the amount requested in 00/01, $3,600,000, and that projected for 99/00, $378,000. Mr. Gibson explained it was tied directly to the City's Capital Projects, such as Highway 111— getting money back from RCTC, the State, and CVAG for such projects. 241-0000-xxx-xxxx Golf Course Capital Improvement In response to Mr. Ortega, Mr. Gibson said the monies received from Intrawest went into the subject account— the one-time access fee, the annual access fee, amenity fees, etc. He said the last part of IROC's payment was received about two weeks ago. Responding further, he said all but the interest was received from IROC and currently used for the perimeter landscaping, for the various related capital improvements that were needed for Desert Willow, such as the Clubhouse improvements. 214-4199-499-5010 Housing Mitigation Fee Mayor/Chairman/Chairman Crites commented that there was now a program to bring to the Council on the 40 acres on the back side of the Corporation Yard. Mr. Ortega responded it was based upon the subcommittee's approval. Mr. Drell added there were approximately 250 units— 140 multifamily and 110 single family. Mr. Ortega said it had been cut back substantially; the previous plan was for over 300. 220-4161-415-xxxx Community Development Block Grant In response to Councilman/Member/Member Spiegel, Mr. Gibson said it was not really being cut back; sometimes it was multiple years being affected. He said occasionally the prior year's funding wasn't completely spent, and it was carried over that reflected a higher amount. 30 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * 230-4220-422-xxxx Fire Services Mayor/Chairman/Chairman_Crites noted this budget consideration would be held until the Study Session to be conducted June 22, 2000, at 3:15 p.m. 236-4195-454-3090 Waste Recycling Fees In response to Mayor/Chairman/Chairman Crites' question about awarding of the waste contract, Mr. Ortega said recommendation for approval of a new franchise would be on the agenda for the July 13 meeting. Responding further, he said there were seven responses, and he let Councilmembers know that he'd authorized a change order for the consultant to review the greater -than -anticipated response to the request for proposals. Mrs. Gilligan added that the Trash Subcommittee met with the City Manager and the consultant relative to bringing something forward in July. 228-4800-454-xxxx Child Care Program In response to Mayor/Chairman/Chairman Crites', Mr. Drell said there was money in the fund; however, a consultant had to be retained to perform a nexus study to justify the relationships between the affected projects, the need for child care, and the expenses incurred by the City as a result of same. Responding further, he said approximately$120,000 had been collected. 436-4650-454-xxxx Art In Public Places Mayor/Chairman/Chairman Crites commented that he and his colleagues were all to look at the proposed Monterey centerpiece. Mrs. Gilligan responded that the project was going to be on the June 22 meeting agenda. Mr. Folkers added it was presently in the Public Works Conference Room, and staff would be happy to show it to Councilmembers. In further response, Mrs. Gilligan stated Landscape Manager Spencer Knight was a great person to sit down with each person to provide information as to why it was selected, the traffic problems that were ironed out, etc. She further affirmed that Mr. Nettleship was going to be at the June 22 meeting. 452-4662-454-4001 Library Fund Upon Councilman/Member/Member Spiegel's question whether funding for the additional hours was included in this budget, Mrs. Gilligan said it was included as well as five extra hours/week for the two coordinators. Therefore, she said the Library would now be open 10:00 a.m. to 5:00 p.m. (adding three hours from 10:00 a.m. to 1:00 p.m.) on Thursdays. 31 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * 241-4195-495-xxxx Golf Course Capital Improvement Fund In response to Councilmember/Member/Member Benson's question whether the equipment used to mow and maintain the Golf Course was City -owned, Mr. Ortega answered it was leased by Kemper. She went on to say when she was at Desert Willow on Saturday, she noticed one gentleman having a terrible time mowing, spending more time trying to get the mower to go than actually mowing the lawn. Mr. Ortega remarked that he also saw the same problem right in front of the Clubhouse on Sunday. He felt the problem was that area was sodded, and that grass was particularly hard on the small lawn mowers. On a related note, Mr. Gibson added that the Golf Course Committee would be meeting later today to discuss the budget. He offered a copy of the report contained within that agenda. (In further discussion, it was determined consideration of the Budget at the Golf Course Committee meeting would be postponed until both Councilmembers could be present.) 520-4195-495-xxxx Desert Willow Golf Course Mr. Gibson stated the numbers listed in this budget would change based upon the result of the Golf Course Committee's review. Special Assessment Funds Mr. Gibson noted that Mr. Folkers had taken the majority of these to City Council with a separate resolution approving them. He stated the only notation he would make, per Mr. Folkers memo regarding same, is that balloting may need to be conducted on a number of the Districts because the cost is higher than what had been approved for collection. Debt Service Assessment District Funds Mr. Ortega stated that the subject funds were basically pass-throughs; they were collected and then paid. Capital Improvement Programs Mayor Pro-TemNice ChairmanNice Chairman Ferguson referred to the memo from Mr. Gibson that explained reserve monies from special funds were depleted, noting that there was roughly a $20 million increase in the Capital Projects for FY 00/01 over the previous 10 years. Since Mr. Gibson had made it clear that any new money requested to be spent this year had to come directly from the General Fund, he asked whether the FY 00/01 Capital Projects should be prioritized. 32 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Mr. Gibson clarified that should additional projects be requested later in the year, at least staff would know which projects to delete in order to add the new in lieu of hitting the General Fund every time a new project was approved. Mr. Folkers provided a colored handout and stated that over a five-year period, there was a deficit as far as traffic signals; however, for the current year they were funded. Mr. Gibson added that was with the contingency that two of the signals would be reimbursed. Mr. Folkers went on to say that the Portola signals were part of the program that would be presented, with monies called out for same. In response to question, he said cutting into the Palms to Pines center from Highway 111 was already included; it was a carryover and was funded. Responding to Mayor/Chairman/Chairman Crites' question, Mr. Folkers said there would be a study for Portola. Mr. Ortega added those being reviewed here were not yet approved for construction. Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson recalled that there was a good deal of discussion regarding whether the inclusion of a signal at Shadow Mountain/Portola might negate the need for a signal at Fairway/Portola. Mr. Folkers disagreed, adding the report would point that out. Council concurred that there was definitely more discussion needed on this matter. Mr. Folkers said with regard to the earlier question about Highway 111, the Larkspur to Indian Wells program was included in this year's projects. He commented that the Hovley Lane project (on the north side in Indian Wells, the old Sunterra property) would effect getting the full four lanes through that section. Responding to Councilman/Member/Member Kelly's question regarding how much was being taken out of the General Fund for Capital Programs, Mr. Gibson said currently, $5.2 million was being transferred to FY 99/00 to cover existing projects approved this year where all the funding was not available due to the reservation of $10 million of funds for the mall parking structure. He said the problem existed if and when any additional projects were approved next year, they would have to come from the General Fund or from re -prioritizing existing projects. In further response, he said all the projects were budgeted and had available funds; he reiterated his concern for approval of any new projects above those listed here. Mr. Ortega clarified that the $10 million had to be set aside and remain untouched because of the agreement for the parking structure, and the money would not be freed up until the project was completed. At that point, he said RDA could reimburse the City, further noting those funds could be reserved for another four years. 33 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Councilman/Member/Member Kelly asked where the money would have come from for those Capital Projects otherwise. Mr. Gibson said it would have come from part of that $10 million; it was originally General Fund money. In further response, he said it wasn't all General Fund; Special Revenues accounted for around three fourths of the total projects — Traffic Signal Funds, Measure "A" Funds, etc. Mr. Ortega summarized that it was a cash availability issue and not a long term funding problem. Councilman/Member/Member Kelly said he would have appreciated having this information when approval to provide the $10 million was requested, even though he speculated the same decision probably would have been made. Mr. Gibson answered that he provided the information to the City Manager at the time. Councilman/Member/Member Spiegel noted some items had already been approved (i.e. the Beginner's Skate Park at $300,000). Mayor Pro-Tem/Vice ChairmanNice Chairman Ferguson cited the line item for open space land acquisition at $2.4 million. Mr. Gibson responded that all the projects listed under Capital Projects were funded. He said it was the additional projects that would be problematic. Further, he said many of the items were RDA projects that were listed in the five-year program. In response to further comment and question, Mr. Ortega said if the funding sources were reviewed, those that were RDA shouldn't be worrisome. He said after more review, staff would be coming back with some alternative methods of conducting business that may put some money back into the City's General Fund. For example, he cited the Facade Improvement Program, while currently funded as a City expenditure, it didn't have to be if it were administered a bit differently. Additionally, he explained that certain business decisions were made in order to do what was best for the City in the long run. However, in the interim, the City was put into some financial situations; in some instances, it might be a better decision to "bite the bullet" and make it an Agency project to avoid the aforementioned issues. He said in order to conserve the General Fund, staff would be bringing some recommendations on how to proceed a little differently, estimating some $4.5 million that would fall into that category. Upon question by Mayor/Chairman/Chairman Crites, Mr. Ortega affirmed that the $10 million was invested and drawing interest. Councilman/Member/Member Spiegel said with regard to the parking structure, he understood that the intent was not to expand the Penney's store; therefore, not requiring the parking structure behind Penney's at this point. He presumed that meant about two thirds of the parking structure would be built with one third or one fourth held back and asked if that still applied to the total $10 million or if it could be done in percentages. Mr. Ortega said initially, the mall wanted the City to get a guarantee from an outside source that the 34 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * $10 million would be available, and the City said it would not because buying such guarantee cost additional money. Instead, he said the agreement was made that the City would put the money into a special fund .so that it could not be used for anything else; therefore, the agreement required Mr. Gibson to set aside the money in said fund. He reiterated that it was not a cash flow issue; the cash was there, it just couldn't be used for anything else until it was spent, and then RDA would reimburse the City. He said it could not be reimbursed when 75% complete, only after a Notice of Completion was filed. Messrs. Drell and Ortega agreed that the project may need to be redefined relative to the issue of how the structure would be impacted by Penney's. Mr. Ortega recalled that it was an agreement between the City and the developer, not a development agreement with the Agency, in order to avoid the issues previously discussed. He said in the future it may be necessary to designate projects as Agency projects initially, even if they cost 10-15% more, in order to avoid impacting the City. Redevelonment Agency Mr. Ortega commented that many of the items were basically for debt service. He called attention to the actual administrative costs, explaining that much of that was directly related to items approved in the City Budget (reimbursement for City overhead). Project Area No. 2 Mayor/Chairman/Chairman Crites said in looking at this budget, he was reminded to state that Tribal Chair Richard Milanovich suggested the City Manager call Tom Davis, Tribal Public Works Projects Administrator, to discuss traffic issues and casinos. Debt Service Project Areas Mr. Ortega stated the Agency had approximately $224 million of total debt. Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson asked about bonding capacity in Project Area Nos. 1 and 2. Mr. Ortega said he had copies of reports containing that information. In response to Councilman/Member/Member Spiegel's question, Mr. Gibson said tax increment was sufficient to cover the outstanding debt. He added that it had actually grown considerably in Project Area No. 4 due to Indian Ridge— it had doubled in the last two years. Upon further question, he provided the following amounts of tax increment revenues: 35 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Project Area No. 1 — Annexed Area $13.1 million current year Annexed Area $14.2 million for next year Original Territory $5.6 million current year Original Territory $5.9 million next year Project Area No. 2 — $7.2 current year $7.8 next year Project Area No. 3 — Limited amount of growth Project Area No. 4 — $4 million current year $4.4 million next year ($2.4 million for last year) Mr. Gibson commented that the County was typically 1-1'/2 years behind in updating assessed values. For instance, he said the new growth in Bighorn may not be reflected yet. In response to Mayor/Chairman/Chairman Crites, he answered the part of The Reserve located in Palm Desert was in Project Area No. 1. Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson stated the Palm Desert portion of The Reserve was sold out. Mayor/Chairman/Chairman Crites added the entire project was 90% sold out. Mr. Ortega said the Agency continued to do very well; however, it continued to spend large chunks, as was its purpose. Responding to comment by Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson that there should still be considerable capacity for obligation in Project Area No. 1 to 2004, Mr. Ortega said the Project Areas summary would show bonding capacity, there was still a good deal of money for open space. In response to Councilman/Member/Member Kelly's comment about flat -land open space, Mayor/Chairman/Chairman Crites urged the creation of a subcommittee to identify such strategic locations. Councilman/Member/Member Kelly and Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson volunteered for this purpose. With City Council/Agency Board/Authority Board concurrence, Councilman/Member/Member Kelly and Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson were appointed to the subcommittee for identification of certain strategic locations of open space. In response to Mayor Pro-TemNice Chairman/Vice Chairman Ferguson' s question about the status of the Council Chamber Entry project, Mr. Drell said an architect had been retained, only one bid was received. Mr. Folkers said the project was proceeding. 36 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY DUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Mayor/Chairman/Chairman Crites asked for an update on the Council Chamber Entry project to be on the next City Council Meeting Agenda. Redevelopment Housing Set -Aside Mr. Ortega called attention to the Housing Authority revenues, some $4 million gross with approximately $2.8 million of expenditures. He added that since the City took it over, there had been a complete reversal of expenditures to net operating income of some $2.5 million. In response to Councilmember/Member/Member Benson's question, Mr. Ortega responded carports had been approved for each location. Additionally, he said staff was also compiling a report to request a major resurfacing program. In response to Mayor/Chairman/Chairman Crites' question, Mr. Ortega answered that revenues were being reinvested in affordable housing. Further responding, he said some of those funds were being allocated for the 40-acre project, and the net operating income was after reserves were set aside for Housing Authority properties. He added that there would be a request for a major renovation of the landscaping at One Quail Place; Ron Gregory had been working on it. Unfortunately, he said it would mean taking away many trees. Upon inquiry by Mayor/Chairman/Chairman Crites regarding the Desert Rose audit by the State, Mr. Ortega said he had not heard anything yet. He explained that the issue seemed to be Agency funds spent on widening Fred Waring Drive and whether or not they were a legitimate expenditure related to the project. He said the expenditures for street work raised their interest when they did not realize many of which were for internal streets; he said they were also looking at the child care center and its relation to the residents there. He said the worst scenario would be that they would determine regular Redevelopment funds should be substituted for the housing funds. Further, he said regarding Fred Waring, there was some tough money received for what the City considered general widening versus that which was project specific; he said he wasn't terribly concerned. Annendix In response to comment, Mayor/Chairman/Chairman Crites said the census results should be available this fall. He said according to the local coordinator, Walter McIntyre, everyone had done a commendable job on the count this time. ShorDer Horner Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson said he reviewed the report on the Shopper Hopper. He said under the current level of service, if the number of riders was compared to the expenditure, the City was paying $8.14 per rider; a third unit would increase that amount to $14.76. He felt it wasn't justified. 37 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Councilman/Member/Member Kelly agreed. He added that he liked keeping it in the City and helping the merchants by circulating patrons in the retail areas; however, he was not enthused about adding a third. Councilman/Member/Member Spiegel asked whether consideration should be given for bringing in people for special events when Rancho Mirage and Indian Wells were involved. He felt it would be nice to provide some transportation to Palm Desert's retail for those guests. Councilmember/Member/Member Benson recalled the El Paseo merchants were looking at something to run a shuttle from hotels. Mrs. Gilligan responded that the hotels didn't want to participate in the funding— they already had their own vans. Councilman/Member/Member Kelly added that such a program was done several years ago, and the hotels said they would pay, then they were less than forthcoming. Further, he commented that Shoppingtown nor Desert Crossing were interested in it. With City CounciUAgency Board/Authority Board concurrence, it was determined that a third Shopper Hopper was not warranted in the City of Palm Desert at this time, with review of same to be performed from time to time to monitor future needs. Councilman/Member/Member Spiegel moved to add the following Closed Session consideration to this Agenda. Motion was seconded by Mayor Pro-Tem/Vice Chairman/Vice Chairman Ferguson and carried by unanimous vote. Request for Closed Session: Public Employment pursuant to Government Code Section 54957. Title of Position: City Manager 38 MINUTES ADJOURNED JOINT MEETING OF THE PALM DESERT CITY COUNCIL, PALM DESERT REDEVELOPMENT AGENCY, AND THE PALM DESERT HOUSING AUTHORITY JUNE 12, 2000 * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * V. ADJOURNMENT With City Council/Agency Board/Authority Board concurrence, Mayor/Chairman/Chairman Crites adjourned to Closed Session at 11:00 a.m. He reconvened the meeting at 11:17 a.m. and immediately adjourned with no action announced from Closed Session. ATTEST: BUFORD tRITES, MAYOR/CHAIRMAN/CHAIRMAN RACHELLE D. KLASSE1, ACTING CITY CLERK/ ACTING AGENCY SECRETARY/ ACTING AUTHORITY SECRETARY, PALM DESERT CITY COUNCIL/ PALM DESERT REDEVELOPMENT AGENCY/ PALM DESERT HOUSING AUTHORITY 39