HomeMy WebLinkAbout2000-08-24MINUTES
REGULAR PALM DESERT REDEVELOPMENT AGENCY MEETING
THURSDAY, AUGUST 24, 2000
CIVIC CENTER COUNCIL CHAMBER
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I. CALL TO ORDER
Chairman Crites convened the meeting at 4:00 p.m.
II. PLEDGE OF ALLEGIANCE - Member Robert A. Spiegel
III. INVOCATION - Member Richard S. Kelly
IV. ROLL CALL
Present:
Member Jean M. Benson
Member Richard S. Kelly
Member Robert A. Spiegel
Chairman Buford A. Crites
Excused Absence:
Vice Chairman Jim Ferguson
Also Present:
Carlos L. Ortega, City Manager and RDA Executive Director
David J. Erwin, City Attorney
Sheila R. Gilligan, Assistant City Manager
Richard J. Folkers, ACM/Director of Public Works and Acting Director of Building & Safety
Phil Drell, Director of Community Development
Paul S. Gibson, Director of Finance/City Treasurer
Carolyn J. Miller, Community Arts Manager
Teresa LaRocca, Housing Manager
Noreen Bouchard, Records Technician
V. ORAL COMMUNICATIONS
MS. BONNIE GARCIA, representing Assemblyman Jim Battin, stated that her office had
taken an interest in helping develop housing in the Coachella Valley, and they had partnered
with Habitat for Humanity on a project designated for the City of Palm Desert. She said they
had worked with local government and local organizations, including Marriott Corporation,
Time Warner Cable, and three area churches to make sure this project moves forward, moves
forward in a timely manner, and is completed to meet Palm Desert's standards. She offered to
answer any questions.
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PALM DESERT REDEVELOPMENT AGENCY MEETING AUGUST 24, 2000
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VI. CONSENT CALENDAR
A. MINUTES of the Regular Meetings of the Redevelopment Agency of July 13, July 27,
and August 10, 2000, and the Adjourned Joint Meetings of the City
Council/Redevelopment Agency of July 31, August 2, August 4, and August 7, 2000.
Rec: Approve as presented.
B. CLAIMS AND DEMANDS AGAINST THE AGENCY TREASURY - Warrant Nos.
1 ORDA, 11RDA, 12RDA, 14RDA, 15RDA, 16RDA, 19RDA, 12-Housing, 14-Housing,
15-Housing, 16-Housing, 17-Housing, 19-Housing, and 14HA.
Rec: Approve as presented.
C. AGENCY'S PORTFOLIO MANAGEMENT SUMMARY for the Month Ending June
30, 2000.
Rec: Receive and file.
Upon motion by Kelly, second by Benson, the Consent Calendar was approved as presented by
a 4-0 vote, with Vice Chairman Ferguson ABSENT.
VII. CONSENT ITEMS HELD OVER
None
VIII.RESOLUTIONS
None
IX. NEW BUSINESS
A. CONSIDERATION OF MULTI -FAMILY DEVELOPMENT CONCEPT.
Housing Manager Terre LaRocca reviewed the staff report, noting that this request was
for the development of a 140-unit, multi -family affordable project. She said the project
would be located on approximately 12 acres of the 40-acre site currently owned by the
City between Merle and 42nd Street, with industrial to the east and Portola Country Club
to the west. She added that this project would help the City meet its requirements in
providing affordable housing. She noted that approval of the recommendation would
allow staff to enter into an Exclusive Right to Negotiate with Palm Desert Development
Company in order to put together a Development and Disposition Agreement to be
brought back to the Agency at a future date. She offered to answer any questions.
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PALM DESERT REDEVELOPMENT AGENCY MEETING AUGUST 24, 2000
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Chairman Crites asked whether the area to the west of this proposed area, adjacent to
Portola Country Club, was under consideration.
Ms. LaRocca responded that the northerly east -most portion of that 40-acre site was
under consideration.
Chairman Crites asked whether the other portion, the southerly and westerly portion, was
designed for single-family.
Ms. LaRocca responded that it could perhaps be single-family in the future, or some self-
help, or senior housing. She added that it was yet to be determined, but it would most
definitely be a single-family project. She noted that as a point of information, she had
received some calls from Portola Country Club residents and had attempted to answer
them. She said she had provided James Lewis of Desert Management the information,
along with the map, regarding the project and had advised that staff would be happy to
meet with homeowners at their request to answer any questions or concerns they might
have. Upon question by Chairman Crites relative to whether such a meeting had taken
place, Ms. LaRocca responded that it was her understanding that Desert Management
was going to meet with the Board of Portola Country Club earlier in the day; however,
she was not sure whether or not that meeting had taken place.
Chairman Crites stated it was his understanding that Agency Board approval of staff's
recommendation would not approve a project but would simply give the right to
negotiate for a potential project and that some time in the next six months a project
would be brought back to the Agency Board for approval, modification, or rejection.
Ms. LaRocca agreed.
MR. BUD RUGGIERO, resident of Portola Country Club, 74-499 Mercury Circle East,
expressed concern about the rapid growth that is occurring throughout this area. He said
he was concerned with traffic, power, and water, and two of these were already
problems. He said the traffic was already horrendous, even though it was not yet "the
season." With respect to power, he said he had been on the air conditioning recycling
system since the time it began over ten years ago, and he had never been cut off until this
year, and he had already been cut off four times so far. He asked that the Council be
very careful about not running out of utilities.
MS. KITTY MC COY, President of the Portola Homeowners Association, asked that the
Council consider the situation of the residents in this area. She expressed concern with
the traffic and schools in the area.
MS. EILEEN HARRISON, two-year resident of Palm Desert, commended the Council
for doing a wonderful job in developing the City. She said she was impressed with the
City of Palm Desert and with Portola Country Club; however, she wondered why
notification of this proposal was presented to only a mere handful of adjacent property
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PALM DESERT REDEVELOPMENT AGENCY MEETING AUGUST 24, 2000
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owners less than 48 hours prior to this Council meeting. She said she would like to
know who initiated the proposal, whether it was the developer or the Council. She added
that she would also like to know why this property would not be considered for a higher
and better use of real estate. She noted that she and her husband were surprised when
their small lot was assessed at $75,000, and this meant that 12.5 acres developed with
utilities and streets would be assessed by the County at more than $10 million. She
asked whether a lot of thought had gone into this proposal and whether these points had
been considered. She expressed concern with the fact that the nearest elementary school
was more than two miles away, with the middle and high schools being across the wash.
The closest public transportation was on Cook Street, a half -mile walk down an unlit
street. In addition, the Police and Fire Departments must take a very circuitous route to
service the area. She also was concerned that consideration of this project was scheduled
for a Council meeting during the summer months when more than half of the adjacent
property owners are out of the Valley. She said she had some alternatives for a higher
and better use of the land, such as industrial/commercial use (which would produce
taxes) or a home for the elderly which would be affordable.
Chairman Crites noted that approval of staff's recommendation at this time would begin
a process of looking whether or not such a proposal would be accepted. He said it would
give up to six months for the process of consultation with neighbors and homeowners,
looking at financing, etc. It would then come back to the Agency Board for approval.
Member Kelly stated that the residents would then have an opportunity to be part of the
committees working on this project, and Chairman Crites agreed.
Chairman Crites stated that with regard to the issue of power, when power was
deregulated a short number of years ago, the Palm Desert City Council sent out a special
newsletter to all of its citizens to make everyone aware that what they thought they were
receiving in terms of utility deregulation was unlikely to be what they ended up with. He
said the Coachella Valley Association of Governments was also going to go back and
look at what the Valley can do about this issue, and it would primarily be to bring
appropriate pressure upon the State of California, since the decision making in terms of
power regulation was both Federal and State rather than local in nature. He said the
Council would do its part to try and convince people that perhaps some hasty decisions
were made that were a great deal for the power industry but not particularly a good deal
for the citizens of the State of California.
Member Benson stated that the City of Palm Desert had owned this piece of property for
over ten years, and it was first designed for multiple housing/apartments of a much
greater density. She said the City had looked for years to find the right project to put in
there. She noted that the reason the project was being started with the single-family
homes in the middle was to lessen the impact on the Portola Country Club residents.
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PALM DESERT REDEVELOPMENT AGENCY MEETING AUGUST 24, 2000
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Member Spiegel stated he felt it was imperative that the residents of Portola Country
Club be included in the planning of this project.
Member Benson moved to, by Minute Motion, concur with the concept and preliminary site
plan for the development of approximately 12.5 acres of the City -owned 40-acre site located east of
Portola Country Club, between 42nd Avenue and Merle Drive, and authorize staff to enter into an
Exclusive Right to Negotiate with Palm Desert Development Company (PDDC) for a period not to
exceed six months for the development of a 144-unit affordable multi -family housing project on the
12.5 acre site. Motion was seconded by Kelly, with the clear understanding that this is only the start
of a process, and the residents will be a vital part of the process. Motion carried by 4-0 vote, with
Vice Chairman Ferguson ABSENT.
Chairman Crites stated that he would assume that the residents of Portola Country Club
would be contacted relative to discussion of this project and to obtain their input.
Ms. LaRocca responded that staff would follow up with this.
Chairman Crites also asked that everyone in Portola Country Club be notified when this
project comes back to the Agency Board for approval.
B. REOUEST FOR APPROVAL OF PAYMENT FOR UNDERGROUND UTILITY
CONVERSION ALONG HIGHWAY 74 (JOINT CONSIDERATION WITH THE
PALM DESERT CITY COUNCIL).
Mr. Ortega noted the report in the packets, noting that these resolutions would allow the
Redevelopment Agency to have the ability at a later time to reimburse the City for the
underground work.
Councilman/Member Spiegel moved to waive further reading and adopt: 1) City Council
Resolution No. 00-99, approving payment by the Palm Desert Redevelopment Agency for the cost
of the conversion of existing overhead communication and electrical facilities to underground
locations along Highway 74; 2) Redevelopment Agency Resolution No. 399, approving payment by
the Agency for the cost of the conversion of existing overhead communication and electrical
facilities to underground locations along Highway 74. Motion was seconded by Benson and carried
by a 4-0 vote with Mayor Pro-Tem/Vice Chairman Ferguson ABSENT.
C. REOUEST FOR APPROVAL OF REVISED AND EXPANDED HOME
IMPROVEMENT PROGRAM GUIDELINES (JOINT CONSIDERATION WITH
THE PALM DESERT CITY COUNCIL).
Rehabilitation Construction Specialist Bryce White reviewed the staff report, noting that
the revised and expanded guidelines included in the packets were approved by the
Housing Commission at its meeting of May 10, 2000. He said staff's recommendation
was that the City Council/Agency Board approve the guidelines. He noted that in the
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PALM DESERT REDEVELOPMENT AGENCY MEETING AUGUST 24, 2000
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Fiscal Year 2000/01, $300,000 was approved from the 20% unobligated housing set -
aside funds for the home improvement program, and staff was requesting that the City
Council/Agency Board specifically appropriate those funds to the home improvement
program at this time, as well.
Mayor/Chairman Crites noted that the program limits itself to owner -occupied housing.
He said when he looked at some of the issues where cities are trying to encourage the
rehabilitation of homes (i.e. downtown Palm Springs), one of the difficulties faced by the
City of Palm Springs was properties owned by people who do not live there and which
are leased out. He asked what would be done for, in essence, rental housing with this
kind of program or if it was just a blank.
Mr. White responded that at this point in time, it was a blank; however, staff would take
this under consideration.
Councilman/Member Spiegel stated the problem, as he saw it, was that the income of
most of the property owners who rent out the properties was such that they would not be
qualified for the loan.
Mayor/Chairman Crites stated that a lot of times those are the properties which are most
in need of this kind of program.
Councilman/Member Kelly stated it was important to find a different way to get at them.
Mayor/Chairman Crites stated that he supported this program; however, he asked
whether staff would be bringing back some way to attempt to do what
Councilman/Member Kelly just stated.
Ms. LaRocca stated that staff could look at some type of program where an absentee
landlord would do a "matching" in consideration for a low -interest loan from the City.
She said it could be in the form of a low -interest loan program providing that their
tenants are 80% or below median income.
Councilman/Member Spiegel suggested that staff also work with Code Enforcement to
try to get some of the areas cleaned up that need cleaning.
Ms. LaRocca stated that staff would come back with recommendations.
Councilman/Member Kelly stated that a lot of people who are having trouble
landscaping their yards and keeping them up have the problems because they own them
but do not have the resources. He said where it is a rental and people are making money
on them, they do have the money, and it seemed that the City could be more strict with
those people.
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PALM DESERT REDEVELOPMENT AGENCY MEETING AUGUST 24, 2000
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Councilman/Member Spiegel moved to, by Minute Motion, approve the revised and expanded
guidelines for the "Make A Difference Home Improvement Program" (HIP) as recommended and
outlined in the accompanying report. Motion was seconded by Kelly and carried by a 4-0 vote, with
Mayor Pro-Tem/Vice Chairman Ferguson ABSENT.
X. CONTINUED BUSINESS
None
XL OLD BUSINESS
None
XII. REPORTS, REMARKS, AND AGENCY BOARD ITEMS REQUIRING ACTION
A. EXECUTIVE DIRECTOR
None
B. AGENCY COUNSEL
Request for Closed Session:
Conference with Real Property Negotiator pursuant to Government Code Section
54956.8:
1) Property: Land located in Section 4 - Desert Willow - Palm Desert, CA
Negotiating Parties:
Agency: Carlos L. Ortega
Property Owner: Palm Desert Redevelopment Agency
Under Negotiation: x Price x Terms of Payment
2) Property: 43-740 Kelsey Circle South, Palm Desert, CA
Negotiating Parties:
Agency: Carlos L. Ortega/Palm Desert Redevelopment Agency
Property Owner: Joshua and Kari Atchley
Under Negotiation: x Price x Terms of Payment
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PALM DESERT REDEVELOPMENT AGENCY MEETING AUGUST 24, 2000
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C. CHAIRMAN AND MEMBERS OF THE AGENCY
Member Spiegel stated that he was informed the previous day that Shelter From the
Storm had been notified that the money from HUD ($750,000) was now available. He
said the organization should be going forward the beginning of September.
XIII.AWARDS, PRESENTATIONS, AND APPOINTMENTS
None
With Agency Board concurrence, Chairman Crites adjourned the meeting at 6:00 p.m. for
dinner and Closed Session. He reconvened the meeting at 7:00 p.m.
XIV. PUBLIC HEARINGS
A. REOUEST FOR APPROVAL OF THE SALE OF MOBILE HOME LOT NO. 35
(APN 622-351-035) LOCATED AT 43-155 PORTOLA AVENUE (PORTOLA PALMS
MOBILE HOME PARK) AT FAIR MARKET VALUE (JOINT CONSIDERATION
WITH THE PALM DESERT CITY COUNCIL).
Housing Manager Terre LaRocca noted that with this sale, there were 13 vacant lots left.
Mayor/Chairman Crites declared the public hearing open and invited testimony in FAVOR of
or OPPOSED to this request. No testimony was offered, and he declared the public hearing
closed.
Councilman/Member Spiegel moved to: 1) Waive further reading and adopt City Council
Resolution No. 00-100, authorizing the Palm Desert Redevelopment Agency to sell at fair market
value mobile home lot number 35 (APN 622-351-035) for $24,500; the lot is located at 43-155
Portola Avenue (Portola Palms Mobile Home Park); 2) waive further reading and adopt
Redevelopment Agency Resolution No. 400, making and finding that the sales price for the lots and
mobile home is not less than its fair market value in accordance with the highest and best use under
the Redevelopment Plan for Project Area No. 1 Amended. Motion was seconded by Kelly and
carried by 4-0 vote, with Mayor Pro-Tem/Vice Chairman Ferguson ABSENT.
B. REOUEST FOR APPROVAL OF THE SALE OF 75-357 KELSEY CIRCLE SOUTH
AND 42-740 REBECCA ROAD AT FAIR MARKET VALUE (JOINT
CONSIDERATION WITH THE PALM DESERT CITY COUNCIL).
Housing Manager Terre LaRocca reviewed the staff report, noting that the Rebecca Road
sale would be brought back to the Council/Redevelopment Agency Board at the
September 14th meeting because the buyers decided to buy the other house in the middle
of this process. She said that property was being deleted from this request, and the one
that stands is the 75-357 Kelsey Circle South.
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PALM DESERT REDEVELOPMENT AGENCY MEETING AUGUST 24, 2000
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Mayor/Chairman Crites declared the public hearing open and invited testimony in
FAVOR of or OPPOSED to this request. No testimony was offered, and he declared the
public hearing closed.
Councilman/Member Spiegel moved to: 1) Waive further reading and adopt City Council
Resolution No. 00-101, authorizing the Palm Desert Redevelopment Agency to sell
75-357 Kelsey Circle South at fair market value; 2) waive further reading and adopt Redevelopment
Agency Resolution No. 401, making a finding that the sale price for 75-357 Kelsey Circle South is
not less than fair market value in accordance with the highest and best use under the Redevelopment
Plan for Project Area No. 1 Amended. Motion was seconded by Kelly and carried by a 4-0 vote,
with Mayor Pro-Tem/Vice Chairman Ferguson ABSENT.
C. REOUEST FOR APPROVAL OF THE CONVEYANCE OF A SINGLE FAMILY LOT
TO HABITAT FOR HUMANITY OF THE COACHELLA VALLEY, INC., AND
APPROVAL OF A DISPOSITION AND DEVELOPMENT AGREEMENT (JOINT
CONSIDERATION WITH THE PALM DESERT CITY COUNCIL).
Ms. LaRocca noted that Bonnie Garcia from Assemblyman Jim Battin's office was
present at the earlier portion of the meeting to speak on this matter. She said staff had
received a proposal from Assemblyman Battin's office, and they were working in
conjunction with Habitat for Humanity on the construction of a home in Palm Desert.
She said the City had a lot located on Catalina Way, which could be donated for that
purpose.
Mayor/Chairman Crites declared the public hearing open and invited testimony in FAVOR of
or OPPOSED to this request. No testimony was offered, and he declared the public hearing
closed.
Councilman/Member Spiegel moved to: 1) Waive further reading and adopt City Council
Resolution No. 00-102, approving the conveyance by the Palm Desert Redevelopment Agency of a
single family residential lot known as APN 627-052-010-1 and located on Catalina Way, Palm
Desert, California, to Habitat for Humanity of the Coachella Valley, Inc., for the purpose of
constructing a single family dwelling to be made available to a family of lower income; 2) waive
further reading and adopt Redevelopment Agency Resolution No. 402, approving the conveyance of
a single family residential lot known as APN 627-052-010-1 and located on Catalina Way, Palm
Desert, California, to Habitat for Humanity of the Coachella Valley, Inc., for the purpose of
constructing a single family dwelling to be made available to a family of lower income and approve
both the Disposition and Development Agreement and Declaration of Conditions, Covenants, and
Restrictions that will effectuate this plan. Motion was seconded by Kelly and carried by a 4-0 vote,
with Mayor Pro-Tem/Vice Chairman Ferguson ABSENT.
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PALM DESERT REDEVELOPMENT AGENCY MEETING AUGUST 24, 2000
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XV. ADJOURNMENT
Upon motion by Spiegel, second by Kelly, and 4-0 vote of the Agency Board, with Vice
Chairman Ferguson ABSENT, Chairman Crites adjourned the meeting at 8:22 p.m.
ATTEST:
/ 47
BUFORD A CRITES, CHAIRMAN
> SHEILA . �_LLIGAN, RETARY TO THE
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PALM DESERT REDEV OPMENT AGENCY
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