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HomeMy WebLinkAboutPrelim - CC - 06-26-2014 DRAFT PRELIMINARY MINUTES REGULAR PALM DESERT CITY COUNCIL MEETING THURSDAY, JUNE 26, 2014 CIVIC CENTER COUNCIL CHAMBER 73510 FRED WARING DRIVE, PALM DESERT, CA 92260 I. CALL TO ORDER - 3:00 P.M. Mayor Tanner convened the meeting at 3:05 p.m. I1. ROLL CALL Present: Councilmember Jean M. Benson Councilmember Jan C. Harnik Councilman Robert A. Spiegel arrived at 3:15 p.m. Mayor Pro Tem Susan Marie Weber Mayor Van G. Tanner Also Present: John M. Wohlmuth, City Manager David J. Erwin, City Attorney Robert W. Hargreaves, Assistant City Attorney Rudy P. Acosta, Assistant City Manager Rachelle D. Klassen, City Clerk Russell Grance, Director of Building & Safety Lauri Aylaian, Director of Community Development Martin Alvarez, Director of Economic Development Paul S. Gibson, Director of Finance/City Treasurer Janet M. Moore, Director of Housing Mark Greenwood, Director of Public Works Bo Chen, City Engineer Stephen Y. Aryan, Risk Manager Bill Sullivan, Asst. Chief, Palm Desert Police/Riverside Co. Sheriff's Department Grace L. Mendoza, Deputy City Clerk III. ORAL COMMUNICATIONS - A (CLOSED SESSION ITEMS) None PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 IV. ADJOURN TO CLOSED SESSION Request for Closed Session: A. Conference with Legal Counsel regarding existing litigation pursuant to Government Code Section 54956.9(d)(1): 1) City of Palm Springs v. All Persons Interested, etc., et al., Riverside County Superior Court, Case No. INDIO 51124 B. Conference with Legal Counsel regarding significant exposure to litigation pursuant to Government Code Section 54956.9(d)(2): Number of potential cases: 2 With City Council concurrence, Mayor Tanner adjourned the meeting to Closed Session at 3:06 p.m. He reconvened the meeting at 4:00 p.m. V. RECONVENE REGULAR MEETING - 4:00 P.M. A. REPORT ON ACTION FROM CLOSED SESSION. None VI. PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA - Councilmember Jan C. Harnik VII. INVOCATION - Councilmember Jean M. Benson VIII. ORAL COMMUNICATIONS - B MR. JEFF RISING, Co-owner of ProWest PCM, Inc., Wildomar, CA, wished to go on record regarding possible award of contract to Optimus Construction in the amount of $15,423,351.39 for construction of the Carlos Ortega Villas Project. His firm had sent a letter of protest to this action to the City and was awaiting a formal response to it. Therefore, he asked that the discussion and vote for the award of the contract be continued to a future date so that it could be further considered. Mr. Erwin advised that since receiving the letter from ProWest yesterday, it is Legal Counsel's recommendation that a thorough review of the issues raised be given and will be requesting a continuance of the award of that contract on today's agenda (Housing Authority Meeting, Section IX - Continued Business, Item A) to the first meeting in July. 2 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 MR. WILLIAM RIEFSTECK, of Newport Beach, CA, and on behalf of ProWest PCM, Inc., wished to add to the matter raised by Mr. Rising above. He said that ProWest is currently building two large projects in Palm Desert within view of City Hall—the new athletic facility and tennis courts(at College of the Desert). Further, he wanted it known that ProWest has done a lot of work in this area, with people on staff locally, and is the largest builder of student housing in the State of California. He acknowledged that while student housing is a little different from the Carlos Ortega Villas Project, it's also very similar. Additionally, he said they were also very excited, if the possibility exists that their protest be upheld, and would love to jump in and do this job and will build a quality building like the City is used to getting, because they are a public entity builder and build for them all the time. They're all overforthe UC System(Universityof California),communitycollege districts,school districts, towns, cities, and for the State of California, and they only build in California. MR. TERRY COLLIER, Ajo Lane in the Community of Ironwood, Palm Desert, said he believed Councilmembers and staff had already received previous correspondence and pictures delivered to the City Clerk's Office for distribution. Unfortunately, he was unable to make the meeting on June 12 and now felt he was a little too late to address the matter of concern. He said the community is in somewhat of an uproar over what some feel is a flagrant manipulation on the part of the management firm, HOA (Homeowners Association), and abusiveness from the contractor doing the work of cutting down three very beautiful white pine trees. As himself a retired general contractor observing this contractor work on a Saturday morning, knowing full well that they needed a permit since he talked to them as they were starting work, along with the management firm having been contacted by a representative of the City's Planning Department to inform the management firm that a permit is required, with some rules and standards the City has regarding removal of trees, he felt the trees that were removed were prime specimens and valuable in nature. The photos he submitted to the City clearly indicated that the trees were not cut down and hauled off to any landfill. He believed given the chronology of events occurring here, it was possibly a matter to involve the Police. He acknowledged that there was nothing that could be done about what's been lost, and he and many others were very disappointed about it but would like to see that what remains can be somewhat preserved, and the processes for further removal, should it be thought to do, be toughened up. He said the excuse he was given was that it was about water conservation, but the trade-off was losing habitat for little animals and losing shade, which increases water consumption for at least four or five residences on each side of the subject trees. No water conservation occurred. The trees were not diseased, even though one person said there was root damage to the foundation of his home nearby, but after he went and personally looked at from his prior contracting experience when the neighbor wasn't home,there was no root damage. In conclusion, he asked the City Council to look into this matter. Further, these types of situations and the way this transaction came up for these trees to be removed, is a prime reason why there's nearly a 15% vacancy rate on EI Paseo — people are getting mad and people with good money are leaving this 3 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 area. He went on to say that he came to this area 14 months ago to ease his arthritis and bought in the Ironwood Community, but what he's seen over the last fourorfive meetings has indicated to him that going back to the Santa Barbara area would be better. He hoped Council could find a way to toughen things up so they don't go awry and end up like they did here. He said Council's last meeting was June 12, with the disaster occurring in his community on June 14. In response, Mr. Wohlmuth said City officials did receive the information from Mr. Collier and have looked into it. It appeared that Ironwood wanted to do a re- landscape on their private property,and the City's Community Development Director requested a landscape plan from the management company. He said there is not currently an ordinance in the City requiring a property owner to get a permit to cut down a tree. However, if they're doing re-landscaping over 5,000 square feet, it requires them to do a landscape plan, which has been requested here but has not yet been received; Ironwood is on notice to provide it. MayorTanner personally asked Ms.Aylaian to follow-up on the landscape plan with Ironwood's management company. IX. AWARDS, PRESENTATIONS, AND APPOINTMENTS A. PRESENTATION OF UPDATE TO THE CITY COUNCIL BY KATHLEEN KELLY, ITS REPRESENTATIVE TO THE BOARD OF DIRECTORS OF THE JOSLYN CENTER. Ms. Kelly sincerelythanked City Councilmembers forthe opportunity to serve the Joslyn Center Board as their appointed representative, which she found to be both a privilege and a joy. She said the news she had to share today was all good, believing that most Councilmembers were already very on top of the activities of the Center, and she went on to provide a brief recap. The Center's "new" Executive Director Lee Vanderbeck is no longer new, after having now served over a year and exceeding all of the goals identified for her, beginning with the critical task of stabilizing a committed staff. Ms. Kelly said she'd just attended the Joslyn's Year-end Event, and there is an exceedingly positive, upbeat spirit within the staff about what they do, which they have been doing exceedingly well. She went on to say that the Center continues to provide some very key social services, such as Meals On Wheels, Penny's Pantry, and Safety Net telephone calls to homebound residents, as well as serving as a Cooling Center. She had just counted and found that even in the summer, there are 45 different activities available for folks, including opportunities to participate in every form of fine arts and performing arts, and a range of fitness options at different levels — there's something for anyone who wants to grow and engage. She remarked that given the full line-up of opportunities, facility use at the Center has increased by 12% this year, so it was extraordinarily timely that efforts were being undertaken by the City through its City Manager and Council to afford space 4 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 into which the Center can expand. In terms of the future, she said that the Joslyn Center is focusing on Board Development, adding that they excel in quality but not quantity,and asked for any ideas Councilmembers might want to share with her that would be helpful for this objective, as she would appreciate them. Lastly, she said they've finalized the amendment of their bylaws so as to encourage each ofthe Cove Cities to send a Councilmember as a participant at their Board Meetings, and she wanted to highlight that idea as Council thinks about its assignments and activities coming up. Councilman Spiegel noted he'd read in the newspaper that the Joslyn Center was designated as a Cooling Center. He also received the Center's newsletter indicating it was closed on Saturdays and Sundays; however, he said it got hot on those days as well, but without the benefit of a Cooling Center at the Joslyn then. He wondered if this was something Ms. Kelly could investigate, and she quickly agreed to do so. In turn, he offered that the City would also be glad to help in any way. Councilmember Harnik thanked Ms. Kelly for all she'd done. She knew the Board had gone through a lot of restructuring, reviewing of bylaws, and done a great deal this year, and it was very much appreciated. Mayor Tanner concurred, adding that it was not a difficult decision to name Ms. Kelly as the City's liaison to the Joslyn Center; she was an excellent, caring individual, and perfect for the position. On behalf of all Councilmembers, he again expressed gratitude for her service. X. CONSENT CALENDAR A. MINUTES of the Regular City Council Meeting of June 12, 2014. Removed for separate consideration under Section XI, Consent Items Held Over. Please see that portion of the Minutes for Council discussion and action. B. CLAIMS AND DEMANDS AGAINST THE CITY TREASURY - Warrant Nos. 248, 251, 252, 256, and 257. Rec: Approve as presented. C. C4MPLIANCE ANALYSIS AND INVESTMENT REPORTS forthe Month of April 2014 (Joint Consideration with the Successor Agency to the Palm Desert Redevelopment Agency). Rec: Receive and file. 5 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 D. AUDIT, INVESTMENT & FINANCE COMMITTEE Meeting Minutes for April 22, 2014. Rec: Receive and file. E. RESOLUTION NO. 2014-58-A Resolution of the City Council of the City of Palm Desert, California, Setting Forth its Findings and Authorizing the Destruction of Department of Community Development General Plan Amendments that Have Been Digitally Imaged. Rec: Waive further reading and adopt. F. REQUEST FOR AUTHORIZATION to Review the City's Conflict of Interest Code. Rec: By Minute Motion, authorize staff to make a formal review of the City's Conflict of Interest Code, pursuant to the Political Reform Act, and if necessary at the appropriate time thereafter, prepare a resolution to be adopted by the City Council to effect the required amendments. G. REQUEST FOR RATIFICATION of the City Manager's Approval and Execution of a Contract with Dedicated Building Services, LLC, for Janitorial Services to City-owned Facilities for Three (3) Months in Amount Not to Exceed $5,820.69/Month ($17,462.07 Total). Rec: By Minute Motion: 1) Ratify the City Manager's approval and execution of the subject contract with Dedicated Building Services, LLC, Studio City, California, for Janitorial Services to City-owned facilities for three (3) months in an amount not to exceed $5,820.69/month ($17,462.07 total) (Contract No. C33730 ; 2) authorize staff to solicit bids/proposals for a new vendor(Contract No. C33740) — funds are available in General Fund Account No. 110-4340-413-3326 - R/M Janitorial. H. REQUEST FOR RATIFICATION of City Manager's Approval and Execution of a Contract with Dedicated Building Services, LLC, to PerForm Janitorial Services for the City of Palm Desert Parkview Office Complex for Three (3) Months in an Amount Not to Exceed $5,200/Month (Contract No. C33750). Rec: By Minute Motion, ratify the City Manager's approval and execution of the subject contract with Dedicated Building Services, LLC, Studio City, California, to perform Janitorial Services at the City of Palm Desert Parkview Office Complex for three (3) months in an amount not to exceed $5,200/month. 6 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 I. REQUEST FOR APPROVAL of Amendment No. 1 to Contract No. C32600 — Landscape Maintenance Area No. 2 (Project No. 902-13). Rec: By Minute Motion: 1) Approve Amendment No. 1 in the amount of $8,183.28 to increase the subject contract with Kirkpatrick Landscaping, Inc., Indio,California,for Landscape Maintenance Area No. 2; 2) appropriate $8,183.28 from Unobligated General Funds to Account No. 110-4614-453-3370; 3) authorize the Mayor to execute Contract Amendment No. 1. J. REQUEST FOR APPROVAL of Amendment No.2 to Contract No.C32620— Landscape Maintenance Area No. 7 (Project No. 907-13). Rec: By Minute Motion: 1) Approve Amendment No. 2 in the amount of $7,407.84 to increase the subject contract with Kirkpatrick Landscaping, Inc., Indio, California,for Landscape Maintenance Area No. 7; 2) appropriate $7,407.84 from Unobligated General Funds to the various Lighting and Landscape DistrictAccounts;3)authorize the Mayor to execute Contract Amendment No. 2. K. REQUEST FOR ACCEPTANCE OF WORK for Contract No. C33130 — Highway 111 Curb Ramp Modification Project (Project No. 753-14A) (Cora Constructors, Inc., Palm Desert, CA). Rec: By Minute Motion, accept the work as complete and authorize the City Clerk to file a Notice of Completion for the subject project. L. REQUEST FOR ACCEPTANCE OF WORK for Contract No. C33250A — Freedom Dog Park Expansion(Project No. 715-14)(Cora Constructors, Inc., Palm Desert, CA). Rec: By Minute Motion, accept the work as complete and authorize the City Clerk to file a Notice of Completion for the subject project. M. REQUEST FOR RATIFICATION of City Manager's Payment Authorization Memorandums to Desert Recycling, Inc., in the Amount of $19,273 - Corporation Yard Materials. Rec: By Minute Motion, ratify the City Manager's Payment Authorization Memorandums to Desert Recycling, Inc., in the amount of$19,273 for recycling of sand, concrete, and/or asphalt collected throughout the year — funds are available in General Fund Account No. 110-4310-433-3320 - R/M Streets. 7 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 N. REQUEST FOR APPROVAL of Annual Palm Desert Charter Middle School Panther 5K Run/Walk on Sunday, January 25, 2015, Including Road Closures on EI Paseo Between Highway 74 and Portola Avenue (Palm Desert Charter Middle School, Applicant). Rec: By Minute Motion, approve the Annual Palm Desert Charter Middle School 5K Run/Walk on Sunday, January 25, 2015, including road closures on EI Paseo between Highway 74 and Portola Avenue. O. CONSIDERATION of Palm Desert Legislative Review Committee's Recommendations to Provide Letters of Support, Various Position Statements, and Proposed State Legislation. Rec: By Minute Motion, concur with the recommendation of the Legislative Review Committee and approve the recommended letters of support for the following subjects and legislation: 1) Riverside County Office of Military & Defense Services Position Papers; 2) CVWD Chromium 6 Infrastructure Improvements; 3) Transportation Alternatives Program (TAP); 4) AB 1096 (Nestande) - Salton Sea License Plate. P. REQUEST FOR APPROPRIATION and Carryover of Funds for the Palm Springs Art Museum, Palm Desert, Improvements Project (Phase Two). Rec: By Minute Motion, appropriate $40,355 from Fiscal Year 2013-2014 funds and carry over to Fiscal Year 2014-2015 from Account No. 110-4800-454-3880 for the Palm Springs Art Museum, Palm Desert, Improvements Project (Phase Two). Dave Erwin asked that Item A be removed for separate consideration under Section XI, Consent Items Held Over. Upon a motion by Spiegel, second by Harnik, the remainder of the Consent Calendar was approved as presented by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). XI. CONSENT ITEMS HELD OVER A. MINUTES of the Regular City Council Meeting of June 12, 2014. Mr. Erwin called attention to the minutes of June 12, 2014, where there were two items that dealt with the YMCA. One item was the Outside Agency Funding and the other was a YMCA sponsorship request. He noted Mayor Tanner is on the Board of Directors of the YMCA and the Mayor did inquire 8 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 about a possible conflict of interest and was told to go ahead and vote on the two items.Additionally,with regard to the Historical Society's Outside Agency Funding request, Mayor Pro Tem Weber voted in favor, but she is on the Board of the Historical Society. Therefore, in an over abundance of caution, he asked that Mayor Tanner's and Mayor Pro Tem Weber's vote be changed, respectively, to reflect abstention on the two items. Councilman Spiegel moved to approve the Minutes of June 12, 2014, as amended. Motion was seconded by Harnik and carried by a 5-0 vote(AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None) XII. RESOLUTIONS A. RESOLUTION NO. 2014 - 59 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA,APPROVING THE FINAL SUBDIVISION MAP OF TRACT NO. 31676, CORNISHE OF BIGHORN (Cornishe of Bighorn, Applicant). Mr. Greenwood stated this was a two-lot residential subdivision on approximately 11.8 acres behind the gates of the Canyons of Bighorn. Councilman Spiegel asked if this could bring about another Hagadone problem. Mr.Greenwood responded he didn't believe so, because this subdivision was on much lower ground. Councilman Spiegel moved to waive further reading and adopt Resolution No. 2014- 59. Motion was seconded by Harnik and carried by a 5-0 vote(AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). XIII. ORDINANCES A. For Introduction: 1. ORDINANCE NO. 1273-AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, AMENDING CHAPTER 5.12 OF THE PALM DESERT MUNICIPAL CODE - SINGLE-USE CARRYOUT PLASTIC BAGS. Principal Planner Tony Bagato stated this item has been before the Council multiple times. At the last meeting, staff was directed to work with the Retail and Sustainability Committees on the ten-cent charge for retail, which has been eliminated from the proposed Ordinance. The ordinance was to deal mainly with plastic bags and the largest use of them comes from grocery stores. Therefore, the revisions will 9 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 not require the ten-cent charge to retail stores without the grocery component. However, grocery, convenient, and liquor stores, or gas stations will still be required to charge the ten cents. Due to the modifications to the original proposed ordinance, he is introducing it as a brand-new ordinance because he had to reconfigure sections and modified conditions. Staff also removed the requirement for storing of receipts and the potential for City audits. In that respect, staff believes that if there is a violation, staff will deal with a citation without having to require an actual audit or inventory. Councilman Spiegel said the changes made the Ordinance much better. Councilman Spiegel moved to waive further reading and pass Ordinance No. 1273 to second reading. Motion was seconded by Harnik and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). B. For Adoption: None XIV. NEW BUSINESS A. CONSIDERATION OF AN APPEAL OF THE ARCHITECTURAL REVIEW COMMISSION'S DECISION TO DENY EXTERIOR BUILDING COLOR CHANGES FOR AN EXISTING HOME LOCATED AT 40865 AVENIDA ESTRADA, Case No. MISC 14-162 (Eric Vortriede, Applicant/Appellant). Associate Planner Eric Ceja stated before the Council was an appeal of the Architectural Review Commission's (ARC) decision to deny an exterior building color change;the home is on Avenida Estrada south of Hovley Lane. Staff became aware of this paint color change in response to neighborhood complaints. The Palm Desert Municipal Code requires color changes to exterior of building to be reviewed by the ARC. The ARC, in examining the facts of the paint color,denied the property owner's request,finding the paint colorwas inconsistent with the neighborhood itself and incompatible with the blue/grey roof tiles of the home. The applicant has appealed this decision to the City Council for its consideration. Staff recommended the Council uphold the ARC's decision. Mayor Pro Tem Weber stated she drove by the home, looked at it, and she didn't have any problems with it. She asked if any neighbors complained. Mr. Ceja answered yes, stating it was how staff became aware of the matter. 10 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 Mayor Pro Tem Weber asked about the paint softening up after a while, because in her neighborhood there were vividly painted homes that have soften and lightened up. Mr. Ceja agreed, stated that because of the sun, many did lighten over time. Mayor Pro Tem Weber said the color wasn't visible until she turned on the street. She made the comment that the home will be referred to as the "mustard house,"because it was a vivid color, stating howeverthat she didn't have a problem with it. MR. JERRY WILEY, Avenida Estrada, Palm Desert, CA, stated he is the President of the Hovley Collection of Fine Homes, which consists of 36 homes on two streets off Monterey Avenue and Hovley Lane West. He said it's been a long time since he's been at City Hall, stating that 12 or 15 years ago they were at City Hall almost every month along with their many homeowners on various problems, but he was proud to say he hasn't had to come down since. He went on to say the Council has been doing an excellent job, which saves him a lot of trouble and aggravation. He explained that when the Hovley Collection of Fine Homes was originally built 20 years ago, the builder/developer came out with a color scheme of neutral colors consisting of white, grey, and light tan, and it's been that way since the inception. He said the homeowners take great pride in their neighborhood, stating that 100% of them have repainted their home in the existing color palette or in a natural color scheme. He said the home on Avenida Estrada was painted six weeks ago, and the home is owned by the Applicants, Eric Vortriede and his wife, a very nice couple, which the neighborhood enjoys having. However, the problem is that they painted their house a mustard yellow, the brightest thing he's seen; the only thing he could equate it to is a Heinz mustard bottle, which he now has to see every morning. He said if the Applicant had only talked to him, him being the President of the homeowner's association, or checked with City Hall, he would have been informed that he couldn't paint his house that color. He believed the only resolution in this matter is for the Applicant to repaint the house and use a neutral color scheme, which was used by the original developer. Responding to question, he said the HOA did have Covenants, Conditions and Restrictions (CC&Rs), but he wasn't sure if it defined the paint colors, because it's been more than 12 or 15 years since he had to refer to them. MR. ERIC VORTRIEDE, Applicant/Appellant, stated the first time he heard of the Hovley Collection Homes was when he read it on one of the survey's he circulated. For the record, he read out loud the letter he sent to the Council dated June 10, 2014, which is part of the staff report and now on file in the City Clerk's Office. Additionally, he noted the changes to the results of the surveys he had sent out, which are as follows: Out of 19 survey's returned, 2 are vacant, 4 were non-responsive, 3 indicated he should be 11 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 compelled to repaint, 7 felt he should not have to repaint, 2 shared no opinion, and 1 was his own. Responding to question, he confirmed he has lived in the neighborhood for ten years, and to his knowledge and those he spoke to from the neighborhood, believe there are no CC&Rs, including his realtor. Councilmember Harnik said the Palm Desert Municipal Code is what is driving this issue. Mr. Wohlmuth shared that Management Analyst Ryan Stendell informed him the City has an Assessment District in this area because there is no homeowners association maintaining the exterior boundaries. Councilman Spiegel stated the Applicant indicated he couldn't find the color scheme for residential homes under the City's code. He asked if that was a correct statement. Mr. Ceja agreed, stating there is no color palette that is exercised throughout the City. Councilman Spiegel said it may be something the City would like to put together. Mayor Tanner stated the root of the problem is that there are two potential paint standards, one being the homeowner's CC&Rs, if in fact they exist, or the City's Ordinance, which is designed to benefit the homeowners in the Applicant's neighborhood. He said there needed to be a determination on that matter before the Council can take action on the appeal. Ms. Aylaian stated that for the purpose of historical perspectives, she explained that when the City enacted the Ordinance regarding color, it was controversial, there was a great deal of discussion, and the consensus was to not develop a specific palette, because that would be too limiting, stating color of popularity changed over times, and there are myriad shades and variations on any color. The City at that time wanted to allow more flexibility. That being said, the intent was to limit color choices to something similar to what was currently painted, essentially, freezing in place what had been approved and painted to date. She said one will see more vibrant colors today on buildings that were painted previous to the Ordinance being enacted, but if an individual or business wants to substantially change the color of their exterior paint, they are required to check with City Hall and get approval. She said this is an issue that staff has tried to publicize information about in the BrightSide and through press releases. However, it's true there are still people unaware of the requirement. She said staff tries on an ongoing basis to educate people, but it appears they have not been as effective as they could be. 12 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 Councilman Spiegel asked if it would be inappropriate to put together a color palette. Ms. Aylaian said it depended on how descriptive the Council wanted the palette to be. She said staff could put something together if the Council wished to limit people's choices to a specific number of colors. Councilman Spiegel replied the Council wouldn't be faced with this problem if one existed. Councilmember Harnik disagreed, because the problem wasn't whether the palette existed or not, the problem is being aware that there are restrictions. Ms. Aylaian concurred. Councilmember Harnik asked if a general contractorwas obtained to do the painting. Ms. Aylaian noted staff tries to reach out to painting contractors as well. MR. VORTRIEDE said he did hire a general contractor to paint his home. However, with respect to this subject and the dilemma to how to make sure this didn't happen again and hopes the Council votes in his favor, because he frankly didn't want to go through the expense of repainting. If he had known about this restriction in the first place, this would not have been a problem. He believed this was about informing people that the Ordinance exists. He suggested the City pass a resolution to make sure that every business that sells paint in Palm Desert has a notification posted, which states "Notice to Palm Desert Residents and Contractors working in Palm Desert be advised of the Palm Desert Municipal Code," and then state the Ordinance. He asked the Council to not allow this to happen again to someone else, because he couldn't begin to explain how painful and how much it has hurt him and his wife. Mayor Tanner pointed out this matter came to the City's attention and went to the Architectural Review Commission,was because there was a complaint from the neighbor. MR. VORTRIEDE agreed; however, he wished the complainant had approached him about it. Mayor Tanner also pointed out that driving around different neighborhoods didn't allow a property owner to color their home that of the one they saw. MR. VORTRIEDE replied he understood, but the color he chose is kitty corner from his home, which can be seen from driving down on the corner of Hovley Lane and Diamond Back. 13 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 Councilmember Benson agreed with the Applicant, stating one can drive all over Palm Desert and see the same color on houses; there are several on Haystack with the same color. She recalled calling it to the City's attention, and it was the same issue, they didn't ask, which is why this continues to happen, stating property owners feel they have the prerogative to paint their house anything they want. She said the reason the City started this ordinance in the first place was because a restaurant on Highway 111 was painted purple with a bright yellow roof, which stood out. She said the Council was worried it would happen, and it's just been these last few years that this mustard color in a deeper and lighter tone has been the color of preference. MR. HAL GRAHAM,Avenida Estrada, stated he lived across the street from the gold mustard house. He said he had a copy of the CC&Rs, which didn't state the colors, but it did specifically state that one would do nothing to degrade the exterior of the house from that neighborhood that may decrease the value of the house. Therefore, he hated to say it, but it was a bad color for the neighborhood, because it did not fit at all, stating he felt sorry this matter had reached this point. He said he had his home painted between six and eight years ago, and the contractor told him he was going to City Hall to check on his colors, which was a pale yellow, and it turned out to be fine. He said his bonded licensed contractor knew enough to go to City Hall to check on the colors that are permitted within the neighborhood. Therefore, there are CC&Rs that address this matter, which he can provide a copy to the City on another day, because he didn't have them with him. The problem he's having is that there are regulations, and the colors allowed are muted ones. Therefore, if a home stands out like a sore thumb, the next property owner may want to paint their house purple with a yellow trim or a bright orange, because in his estimation it would degrade the neighborhood. In this case, the homes all match, they are pastel, light shades, stating they all blend with each other and the roofs. To him this color was in poor taste, and it's an atrocious color in his estimation. He said if the Applicant had checked with him prior to painting, he would have been more than happy to share that information with him. Councilmember Harnik pointed out that zero landscaping was put into this house, which certainly increased the property value and it was a good effort to conserve water. She too, drove down the street to look at the area and color of the house. Ironically, the white Casa Blanca house has this same mustard color for its block wall, acknowledging it was a strong color. She said the intensities of colors changed, stating that in the minutes, Commissioner Mclntosh stated,"Sometimes this colorcan be a good accent, but not necessarily a good color for the body mass of the building. The Commissioner agreed the neighborhood was washed out and in need of something; however, this color jumped out, stating the Commission has to find the harmony in the community and what works." She went on to say this 14 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 was a tough issue, because here there was a neighbor who was trying to bring about a more contemporary look to the neighborhood to brighten it up, and also did zero scaping. In many ways, everyone wants to be a good neighbor, but at the same time, property rights have to be respected. As mentioned by Councilmember Benson, this color is seen a lot around Palm Desert. She agreed with Commissioner Mclntosh the house has a lot of the same color that perhaps if used with another color to tone it down, it may be more acceptable and palatable to the neighborhood. She expressed her difficulty in telling someone they couldn't paint their home an earth tone color. She said the Council has had a few cases where people weren't aware of the ordinances, so this was a very difficult issue. Councilman Spiegel stated he believed it was incumbent to have something that can be shown to people that want to paint their house, and it will make it a lot easier on the Council. Councilmember Benson said it couldn't be shown if people didn't know about it. Councilman Spiegel agreed, stating the City had to get the word out. Councilmember Harnik suggested getting the word out through Desert Contractors Association (DCA), because she felt this was about communication. She went on to say the Applicant spent a significant amount of money, hired a contractor, which she assumed was licensed and bonded, and is now in an acrimonious situation, because art and color are subjective. She said everyone wants good neighbors, but neighbors that people can work together with and have a nice home life. She said the Architectural Review Commission provided some good ideas to tone the color down, but unfortunately, more costs would be incurred. MR. VORTRIEDE stated he forgot to mention at the ARC meeting that the pictures showed the roof did not match, but that was never the intent. They stopped their paint project once they received a notice. He said the roof color was going to be done with a tinted clear coat to match the trim color. He said they did not finish the project, because he didn't know if they will end up with the color thaYs on the house. If the paint color is approved, the roof will eventually match. MayorTannerasked ifthe roofwill match the brown trim orthe mustard color. MR. VORTRIEDE replied, essentially, the treatment will darken. At the present time, it is extremely sunbaked, but when it darkens, it will bring it more in line with the roof and the rest of the colors. 15 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 Mayor Tanner stated he believed the colors will soften along with the desert scape, and in time the color will probably not stand out as much. However, the house is still distinctive, very different, and stands out. MR. VORTRIEDE agreed, stating that he's realized he was in clear violation of the Ordinance and the ARC did not approve the color. He said he was asking for mercy, which is what all of this boiled down to. Councilmember Harnik asked if it was possible to go back in front of ARC to get ideas of how the color can be toned down to create a neighborly type of effort. She wondered if there was medium ground here, because she was having difficulty telling people they couldn't have a different house. MR. VORTRIEDE responded he wouldn't be making any changes without the ARC being completely on board. He said this big problem didn't have anything to do with choice of color, stating he and his wife chose these colors because it made them happy, and they had no intention of making anyone unhappy. Additionally, shame on him for not taking neighbors consideration on this matter. He said they looked all overthe place and chose a colorthey liked simply for their pleasure, which is how they made their choice and not by asking neighbors. He said this wasn't about the color, but that they have to go through the expense and rigamarole, stating this entire endeavor has cost them many times more than originally budgeted, and this situation just added to the matter. He didn't know what to do about the neighbors pain, stating he wished they had approached him, but neither neighbor has spoken a word to him and won't meet his gaze. Mr. Wohlmuth suggested Council deliberate on this issue and come up with a decision. Councilmember Benson stated the Council was back at the same situation it was with the appeal of the wooden fences on whether they should be wooden or concrete. She said she is very much in favor of everyone abiding by City rules, but in this case, as mentioned previously, she can drive all over town and find this same color. She believed it was up to the Council to correct the situation of informing people. She said Palm Desert was one of the few cities in the State that requires property owners a choice of colors, but they couldn't paint their house any color they wanted. In this case, she suggested approving the proposed color and also review the Ordinance to either set a color pattern/shades, similar to its review of the Ordinance on the wooden fences. Councilmember Harnik stated she hoped the neighbors could sit down and find a happy medium, because to take somebody's rights away wasn't right, and she believed everyone wants to be a good neighbor. She was in favor of the motion, but she didn't want a palette to be set making it restrictive, 16 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 because trends and colors changed. She believed the City needed to communicate to the Chamber of Commerce, Desert Contractors Association, Building IndustryAssociation, paint stores, Lowe's, etc. Another issue is that the contractor can be buying the paint outside Palm Desert; therefore, this issue needed to be reviewed, communicated, and education needed to be provided regarding the need for approval from the Architectural Review Commission on paint colors. Councilmember Benson agreed, stating it was a great idea. She said if Realtors are selling a house, they need to inform people that if they are changing the color of the home, they need to check with the City. She said the Council had to take part in the blame, because of the facts that people didn't come to City Hall to inquire about painting their house. She said this color is everywhere, and she didn't believe it hurts the rest of the houses in the neighborhood. She reiterated the Council should approve this request and change the City's regulations so that people are well aware of them. Councilman Spiegel said it was unfortunate, but he believed it was a fair resolution, because the Applicant didn't know and the City didn't inform him. Mayor Tanner reiterated the motion is to include Councilmember Benson's comments and continue to educate homeowners and contractors to make it more apparent of the City's ordinances or CC&Rs if they exist, and allow the Applicant's proposed color stand. Councilmember Benson moved to, by Minute Motion, uphold the Appeal and approve the exterior building color changes for an existing home located at 40865 Avenida Estrada, and direct staff to develop a Citywide education program regarding requirements for preapproval of any exterior modifications to real property. Motion was seconded by Weber and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). B. REQUEST FOR APPROVAL OF A SUCCESSOR MEMORANDUM OF UNDERSTANDING (MOU)BETWEEN THE CITY OF PALM DESERT AND THE PALM DESERT EMPLOYEES ORGANIZATION(PDEO)(CONTRACT NO. C33760). Human Resources Manager Lori Carney stated there are two actions before the Council. One is to approve the Memorandum of Understanding between the City of Palm Desert and its Employee Organization (PDEO). She said this Memorandum has been negotiated by the Cities labor negotiation team, the City Manager and his team, and the Palm Desert Employee's Organization representatives, stating both parties have agreed, and it has been ratified by the employees. The Memorandum contains very few changes, stating that approval of this memorandum also requires approval 17 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 of an Ordinance,which makes a modification to the step system in the Salary Schedule. Councilman Spiegel asked if the memorandum included a salary adjustment of 2% to 5% based upon the change in the Consumer Price Index (CPI). Ms. Carney answered yes for fiscal year 2015, stating that this July 1 St there was no change in salary, but in Fiscal Year 2015, the City will entertain a cost of living adjustment based upon the change in the CPI. Responding to question, she confirmed the PDEO signed off on this item. Councilman Spiegel moved to: 1) By Minute Motion, approve the Memorandum of Understanding (MOU) between the City of Palm Desert and the Palm Desert Employees Organization (PDEO)dated June 26, 2014; 2)Waive further reading and pass Ordinance No. 1274 to second reading, amending Chapter 2.52 of the Palm Desert Municipal Code by amending Section 2.52.420 - Advancements Within Salary Schedules. Motion was seconded by Harnik and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). C. REQUEST FORAPPROVAL OF PAYMENTTO THE COACHELLA VALLEY ASSOCIATION OF GOVERNMENTS (CVAG) FOR OPERATION OF ROY'S DESERT RESOURCE CENTER IN THE AMOUNT OF $103,000. Mr. Gibson noted CVAG has requested payment of$103,000 for Fiscal Year 2014-2015. Responding to question, he said the amount was the same as last year and it's in the budget. Councilman Spiegel moved to, by Minute Motion, approve payment to CVAG for operation of Roy's Desert Resource Center in the amount of $103,000 for Fiscal Year 2014-2015. Motion was seconded by Harnik and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). D. REQUEST FOR AWARD OF CONTRACT TO CLUB CAR, INC., FOR THE GOLF CAR FLEET LEASE AT DESERT WILLOW GOLF RESORT (CONTRACT NO. C33770). Mr. Alvarez stated this contract is to establish a new lease for the golf cart fleet at Desert Willow Golf Resort; the lease will be for a 4-year period. The purpose of the contract is to replace all the golf carts that are currently in service, including 3 utility cars, 1 golf range picker car, 4 marshal golf cars, and 3 transporter cars. Staff went out for a Request for.Proposal, and Club Car, LLC was the sole respondent and existing lease provider. The new lease will be compatible, and the new leased cars will be compatible with the existing GPS system that was approved and installed a year ago. He said staff is recommending approval of this 4-year lease. 18 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 Councilman Spiegel asked how this contract compared to the previous one. Mr. Alvarez invited Mr. White to provide the details in terms of the difference on the actual monetary and trade-in value. Responding to question, he confirmed funds were in the budget for next fiscal year. MR. DEREK WHITE, General Manager at Desert Willow Golf Resort, said the financing is a little different, because it's a six months on and six months off payment. At first glance, the payments will appear drastically different; however, if you cut the amounts in half and compare them to the existing lease, the difference is$3,000 or$4,000 a month. He explained the leasing arrangement will be different as well, because with the previous lease, the fleet was paid off and then the cars were traded in for their value. This time, the remainder of the lease is being financed, therefore, the balloon payment is going to be rolled into the new lease. He said at the end of the day, because of the terms and low interest rates, iYs not a drastic change; the payments will roughly be the same. Councilman Spiegel moved to, by Minute Motion: 1)Award the subject contract to Club Car, Inc., for a four-year Golf Car Fleet Lease in the amount of $976,366 ($33,421.09/six-month on, six-month off structure) at Desert Willow Golf Resort; 2) authorize the Mayorto execute said Lease Agreement—annual cost of contract is included in Desert Willow FY 2014-2015 Operating Budget, with revenues from golf operations being sufficient to cover the annual lease expenditure. Motion was seconded by Harnik and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). E. REQUEST FOR AWARD OF CONTRACT TO PANORAMA CORP. FOR THE DESERT WILLOW DRIVING RANGE RENOVATION PROJECT (CONTRACT NO. C33580). Mr. Alvarez stated staff has been working with both Kemper Sports Management and the golf course architect to develop a comprehensive master plan for capital improvements moving forward. One of the first priorities established is the renovation of the existing east driving range, which has not been renovated in over 15 years. Conditions of the tee areas need re-leveling, and a bunker needs to be taken down and recovered to address safety concerns. This project went out to bid with Panorama Corp being the lowest responsive bidder in the amount of $53,535.35. Staff reviewed their references and determined they are a qualified firm;they have done similarwork in this arena. Responding to question, he confirmed funds were available in the Desert Willow Capital Improvement Fund. Councilman Spiegel moved to, by Minute Motion: 1)Authorize award of the subject contract to Panorama Corp.,Alta Loma, California, in an amount not to exceed$53,535.35 for the Desert Willow Driving Range Renovation Project and the Mayor to execute same; 19 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 2) authorize the Director of Finance to set aside a 10% contingency for the project in the amount of$5,353.53;3)appropriate$58,888.88 from Account No. 441-4195-495-8092 for this purpose. Motion was seconded by Harnik and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). F. REQUEST FOR AWARD OF CONTRRCT TO LANDCORP PROPERTY MAINTENANCE OF CALIFORNIA, LLC, TO PROVIDE JANITORIAL SERVICES AT DESERT WILLOW GOLF RESORT (CONTRACT NO. C33540). Mr. Alvarez stated staff worked with Kemper Sports Management to reduce labor cost associated with routine janitorial services, and they put together a Request for Proposals and received several. He said Landcorp Property Maintenance, LLC, from California was the lowest responsive bidder. The contract amount is$59,613 annually for janitorial services at Desert Willow. He said staff recommended approval of this contract. Responding to question, he confirmed funds are in the budget. He added this contract will bring forth a savings of about $35,000 a year. Councilman Spiegel moved to, by Minute Motion: 1) Award the subject contract to Landcorp Property Maintenance of California, LLC, in the amount of $59,613 ($4,967.75/month)for standard Janitorial Services during FY 2014-2015 at Desert Willow Golf Resort; 2) approve up to 10% of the contract amount ($5,961.30) for special/unforeseen Janitorial Services needed throughout the fiscal year; 3)authorize the Mayor to execute said contract — funds are available in Desert Willow's FY 2014-2015 Operating Budget. Motion was seconded by Weber and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). G. REQUEST FOR APPROVAL OF MARKETING PLAN AND RELATED DIGITAL AND PRINT MEDIA PLANS FOR FISCAL YEAR 2014-2015. Tourism & Marketing Manager ponna Gomez stated this was a request for approval of the City's Marketing Plan and related Media Plan for Fiscal Year 2014-2015. She pointed out the Marketing Plan incorporated segments from the City's Strategic Plan. Councilmember Harnik moved to, by Minute Motion, concur with the Marketing Committee's recommendation and approve: 1) The Marketing Plan for FY 2014-2015; 2) Digital and Print Media Plans for FY 2014-2015. Motion was seconded by Weber. Councilmember Harnik noted there has been so much work done on this plan with the Marketing Committee and Councilman Spiegel, and it was impressive work. Mayor Tanner called for the vote, and the motion carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). 20 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 H. REQUEST FOR AWARD OF CONTRACT TO JNS MEDIA SPECIALISTS FOR MEDIA-BUYING SERVICES IN AN AMOUNT NOT TO EXCEED $250,000 FOR FISCAL YEAR 2014-2015 (CONTRACT NO. C31972). Responding to question, Tourism & Marketing Manager ponna Gomez said this contact and the ne� one on the agenda did not include extensions; therefore, they will go out to bid next year. Councilman Spiegel moved to, by Minute Motion: 1) Award the subject contract to JNS Media Specialists, La Quinta, California, in an amount not to exceed $250,000 for media buying and related services- FY 2014-2015; 2)authorize the Mayor to execute said Media-buying Agreement on behalf of the City—funds are proposed within the requested FY 2014-2015 Marketing Budget, Account No. 110-4417-414-3221 - Advertising/Media Buys. Motion was seconded by Harnik and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). I. REQUEST FOR AWARD OF CONTRACT TO OFF MADISON AVE FOR DIGITAL MARKETING AND PUBLIC RELATIONS SERVICES FOR FISCAL YEAR 2014-2015 (CONTRACT NO. C32022). Tourism & Marketing Manager ponna Gomez stated the Marketing Committee reviewed this contract, which they endorsed and approved. Responding to question, she confirmed this contract will also go out to bid next year. Councilman Spiegel moved to, by Minute Motion: 1) Award the subject contract to Off Madison Ave, Phoenix, Arizona (OMA), for Digital Marketing and Public Relations Services; 2) authorize the Mayor to execute said Agreement on behalf of the City; 3) authorize the expenditure of an amount not to exceed $200,000 for Digital Media Advertising and Production Services; 4) authorize the expenditure of an amount not to exceed $87,000 for Website Management, Media Placement Services, e-Newsletter Production, and overall account management — funds are expected to be available in Account Nos. 110-4417-414-3090 (Monthly Retainer), 110-4417-414-3221 (Media Buys), and 110-4417-414-3219 (Advertising Production)with approval of the FY 2014-2015 City Budget. Motion was seconded by Harnik and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). J. REQUEST FOR APPROVAL OF CONTRACT AMENDMENT FOR FG CREATIVE, INC., IN THE AMOUNT OF $242,500 FOR ADVERTISING SERVICES AND EXPENDITURES FOR THE EL PASEO BUSINESS IMPROVEMENT DISTRICT (EPBID) (CONTRACT NO. C31982). Economic Development Manager Ruth Ann Moore stated this contract was for advertising services for the EI Paseo Business Improvement District. The funding comes through collections from the businesses in the District and it doesn't affect the General Fund. At the last EI Paseo Board of 21 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 Directors Meeting, the Board recommended unanimously to extend this contract; therefore, staff recommended approval. Responding to question, she said the contact and fees are the same as last year's. Councilman Spiegel moved to, by Minute Motion: 1)Approve Contract Amendment No. 31982 in the amount of$242,500($45,000-Agency Services, $197,500-Advertising and Promotional Expenditures); 2) authorize the Mayor to execute said Contract Amendment—funds have been included in the proposed Financial Plan for FY2014-2015- Other Advertising, Account No. 271-4491-464-3215 - this expenditure is not part of the General Fund. Motion was seconded by Harnik and carried by a 5-0 vote(AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). K. REQUEST FORAWARD OF CONTRACT TO 5M CONTRACTING, INC., IN THE AMOUNT OF $176,500 FOR THE DECONSTRUCTION OF IMPROVEMENTS FOR THE APARTMENT COMPLEX AT 45330 OCOTILLO DRIVE AND FOUR SINGLE-FAMILY HOMES AT 43845,43878, 43895, AND 43915 PORTOLA AVENUE (CONTRACT NO. C33530, PROJECT NO. 633-07). Mr. Greenwood requested this item to be continued to the next City Council Meeting. Councilman Spiegel moved to, by Minute Motion, continue this item to the meeting of July 10, 2014. Motion was seconded by Weber and carried by a 5-0 vote. L. REQUEST FORAPPROVAL OF CONTRACT EXTENSION AGREEMENTS FOR BUILDING & SAFETY DEPARTMENT PLAN REVIEW SERVICES WITH SCOTT FAZEKAS&ASSOCIATES,WILLDAN ENGINEERING,AND CALIFORNIA CODE CHECK. Mr. Grance stated the current contract for the three existing consultants includes a provision that allows for a 1-year extension. The consultants have agreed to the original agreement with the same compensation for the next fiscal year. Mayor Pro Tem Weber moved to, by Minute Motion, approve extending the Professional Services Agreements with Scott Fazekas & Associates, Irvine, California (Contract No. C32951A); Willdan Engineering, San Bernardino, California (Contract No. C32951 B); and California Code Check, Westlake Village, California (Contract No. C32951 C); for Building Plan Review Services - FY 2014-2015 and not exceeding a total of $70,000 — funds will be available in the FY 2014-2015 Budget, Account No. 110-4420-422-3010. Motion was seconded by Harnik and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). 22 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 M. REQUEST FOR APPROVAL OF THE ANNUAL BUDGET FOR THE PRESIDENT'S PLAZA III PROPERTY AND BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2014-2015. Senior Management Analyst Ryan Stendell stated this was the annual budget for President's Plaza II Property and Business Improvement District. The budget is in the fourth year of the fifth-year term. At the end of the fifth year, the City will have to re-ballot the assessment district. As of this year, there are no changes other than the ones approved within the district's budget where residents signed off for a five-year time period with a set budget for each year, the only differential is a cost of living increase every year. Councilman Spiegel moved to waive further reading and adopt: 1) Resolution No. 2014-61, approving the President's Plaza II I Property and Business Improvement District Annual Budget for FY 2014-2015; 2) Resolution No. 2014 - 62, ordering the levy and collection of assessments for FY 2014-2015. Motion was seconded by Harnik and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). N. CONSIDERATIONOFTHEAPPROPRIATIONANDAUTHORIZATION FOR THE DIRECTOR OF FINANCE/CITY TREASURER TO USE AND APPLY $2.1 MILLION FROM THE ENERGY INDEPENDENCE FUND AND APPROXIMATELY $2.5 MILLION FROM THE GENERAL FUND TO PREPAY THE LEASE AGREEMENT WITH RESPECT TO, AND REDEMPTION OF, THE OUTSTANDING PALM DESERT FINANCING AUTHORITY ENERGY INDEPENDENCE PROGRAM, VARIABLE-RATE DEMAND LEASE REVENUE BONDS, SERIES 2009 (FEDERALLY TAXABLE) (JOINT CONSIDERATION WITH THE PALM DESERT FINANCING AUTHORITY). Mr. Gibson stated this request would call the outstanding Wells Fargo Bonds related to the Energy Independence Fund where the General Fund would be lending the money to cover those funds and earning interest on them. He said the loans are on the tax roll as a collection, with the City earning 7% interest rate on the General Fund loan part of it. This is the first date that the City could call the bonds. He said the City is not lending any more money as Coachella ValleyAssociation of Governments(CVAG)is now issuing their Energy type of loan/process; therefore, it made sense to call the bonds at this time. Councilmember/Commissioner Harnik moved to, by Minute Motion: 1)Appropriate and authorize the Director of Finance/City Treasurerto use and apply$2.1 million from the Energy Independence Fund and approximately $2.5 million from the General Fund to prepay the Lease Agreement Between the City and the Palm Desert Financing Authority with respect to, and redemption of, the outstanding Palm Desert Financing Authority Energy Independence Program, Variable-rate Demand Lease Revenue Bonds, Series 23 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 2009 (Federally Taxable); 2) authorize the Mayor, City Manager, and Director of Finance/City Treasurer to execute any ancillary documents necessary to effectuate the actions taken herewith. Motion was seconded by Weber and carried by a 5-0 vote(AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). O. INFORMATIONAL REPORT CONCERNING AN APPLICATION BY A PRIVATE PARTY TO ANNEX 590 ACRES OF UNINCORPORATED RIVERSIDE COUNTY PROPERTY INTOTHE CITYOF CATHEDRAL CITY. Councilmember Harnik inquired about whether she needed to leave the Council Chamber on a receive and file item if she had a conflict of interest. City Attorney responded she didn't. Ms. Aylaian stated this was purely for Council's information. Over the past couple of years, staff has been tracking whaYs been going on north of the I-10 Freeway. The intention is to advise the Council that a private party has proposed to develop or annex 590 acres to Cathedral City. Therefore, if Council hears about annexation plans or discussions, it is not contiguous with Palm Desert's Sphere of Influence or in the areas it has studied or been interested in the past. Responding to question, she confirmed it did not include the Classic Club. Mayor Pro Tem Weber moved to, by Minute Motion, receive and file the report. Motion was seconded by Spiegel and carried by a 4-0-1 vote (AYES: Benson, Spiegel, Weber, and Tanner; NOES: None; ABSTAINING: Harnik). P. REQUEST FOR APPROVAL OF THE JOSLYN CENTER'S FISCAL YEAR 2014-2015 CAPITAL IMPROVEMENT PROGRAM BUDGET. Mr. Aryan stated this item is for approvat of the City's portion for the Joslyn Center's Fiscal Year 2014-2015 Capital Improvement Program Budget. He said the City shared these cost with the cities of Indian Wells and Rancho Mirage, and Palm Desert's contribution is $14,835 or 69% of the total budget. Because this item is not included in the current budget, action for appropriation of the funds is required. He noted the annual Cove Communities budget contributions to the Joslyn Center's operating budget is part of the upcoming review during the public hearing comments of the City's annual budget. Councilman Spiegel moved to, by Minute Motion: 1) Appropriate $14,835 from Account No. 231-4164-415-4001; 2) approve the FY 2014-2015 Joslyn Center Capital Improvement Budget and Palm Desert's contribution in the amount of $14,835. Motion was seconded by Weber and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). 24 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 XV. CONTINUED BUSINESS None XVI. OLD BUSINESS A. REQUEST FOR APPROVAL OF A NEW OPERATIONS AGREEMENT WITH THE FAMILY Y.M.C.A. OF THE DESERT FOR ONGOING MANAGEMENT OF THE PALM DESERT AQUATIC CENTER(CONTRACT NO. C33470). Senior Management Analyst Ryan Stendell stated at the April 10, 2014, the Council authorized staff to negotiate a new operations agreement with the Family YMCA of the Desert (YMCA) for ongoing operations of the Palm Desert Aquatic Center (PDAC). At that meeting, everyone had indicated they were happy with the agreement, and the YMCA requested a longer term. The proposed agreement is the same with exception of a 3-year term and two 1-year optional renewals for a total of 5 years in the new agreement. He said everything is operating smoothly, which is why staff proposed to keep the agreement the same with the exception of the term. Councilmember Harnik moved to, by Minute Motion: 1) Approve the subject contract, authorizing a new Operations Agreement with the Family Y.M.C.A. of the Desert, for ongoing management of the Palm Desert Aquatic Center, subject to final review and approval of the City Attorney; 2) authorize the Mayor to execute said contract—funding is available in Fund 242. Motion was seconded by Weber and carried by a 4-0-1 vote(AYES: Benson, Harnik, Spiegel, and Weber; NOES: None; ABSTAINING: Tanner). XVII. PUBLIC HEARINGS A. REQUEST FOR APPROVAL OF THE FINAL ENGINEER'S REPORT AND ORDER TO LEVY FOR FISCAL YEAR 2014-2015 FOR THE CITY OF PALM DESERT BENEFIT ASSESSMENT DISTRICT NO. 1. Senior Management Analyst Ryan Stendell stated this was an annual public hearing related to the Section 29 Benefit Assessment District No. 1. Staff recommended approval of the levy for Fiscal Year 2014-2015. Mayor Tanner declared the public hearing open and invited public testimony FAVORING or OPPOSING this matter. With no public testimony offered, he declared the public hearing closed. Councilmember Harnik moved to waive further reading and adopt Resolution No. 2014-63,approving the Annual Engineer's Report and ordering the levy and collection of assessments within the City of Palm Desert Benefit Assessment District No. 1 for FY 2014-2015, pursuant to the provisions of the Benefit Assessment Act of 1982. Motion was 25 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 seconded by Benson and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). B. REQUEST FOR APPROVAL OF THE FINAL ENGINEER'S REPORT AND TO ORDER THE LEVY AND C�LLECTION OF ANNUAL ASSESSMENTS WITHIN THE CONSOLIDATED PALM DESERT LANDSCAPE AND LIGHTING DISTRICT FOR FISCAL YEAR 2014-2015. Senior Management Analyst Ryan Stendell stated this was an annual public hearing related to the City's stock of landscape and lighting districts. The City maintains various street frontages and common areas throughout Palm Desert. Staff recommended approval of the Resolutions, which allows the levy to take place for Fiscal Year 2014-2015. He pointed out representatives from the City's financial consultant was available to answer questions of the financing mechanism attached to this District. Mayor Tanner declared the public hearing open and invited public testimony FAVORING or OPPOSING this matter. With no public testimony offered, he declared the public hearing closed. Councilmember Harnik moved to waive further reading and adopt: 1)Resolution No. 2014 - 64, approving the Final Engineer's Report for the Consolidated Palm Desert Landscaping and Lighting District - FY 2014-2015; 2) Resolution No. 2014 - 65, ordering the levy and collection of assessments within the Consolidated Palm Desert Landscaping and Lighting District-FY 2014-2015. Motion was seconded by Weber and carried by a 5-0 vote (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). C. REQUEST FOR APPROVAL OF MAJOR AMENDMENT TO INCLUDE THE CITY OF DESERT HOT SPRINGS AND MISSION SPRINGS WATER DISTRICT AS PERMIT AGENCIES UNDER THE COACHELLA VALLEY MULTIPLE SPECIES HABITAT CONSERVATION PLAN (CVMSHCP). Principal Planner Tony Bagato stated this was a major update to the Multiple Species Plan. He noted Katie Barrows from CVAG was available to assist. The Plan was originally approved without the City of Desert Hot Springs and Mission Springs Water District as part of the plan, and this amendment is being required as a public hearing to incorporate the two entities as permanent agencies into the Plan. He displayed a map of the conversation area with Desert Hot Springs and Mission Springs Water District boundaries. He noted that with the two agencies added to the plan, the fees will decrease by 8% across the board, because now there is more land incorporated to spread out the development cost for acquisition of the conservation area. Councilman Spiegel asked if all the CVAG cities were required to approve the Plan. 26 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 Mr. Bagato answered yes. Mayor Tanner declared the public hearing open and invited anyone who wished to speak on the matter to do so at this time. With no public testimony offered, he declared the public hearing closed. Councilmember Harnik moved to: 1) Waive further reading and adopt Resolution No. 2014 - 66, making responsible agency findings pursuant to the California Environmental Quality Act (CEQA) for the Coachella Valley Multiple Species Habitat Conservation Plan/Natural Community Conservation Plan (CVMSHCP or "Plan"), which also includes the City CounciPs approval of the CVMSHCP as revised by the Major Amendment and authorizes the Mayor to execute the revised Implementing Agreement (IA), and directs that a Notice of Determination be filed; 2) Waive further reading and adopt Resolution No. 2014-67,establishing the CVMSHCP Implementation Policy,which contains the procedures and requirements for implementation of the CVMSHCP; 3) By Minute Motion,approve an Amendment to the Coachella Valley Conservation Commission Joint Powers Agreement to add the City of Desert Hot Springs and Mission Springs Water District(MSWD)as Members. Motion was seconded by Spiegel and carried by a 5-0 vote. (AYES: Benson, Harnik, Spiegel, Weber, and Tanner; NOES: None). D. CONSIDERATION OF THE ADOPTION OF THE CITY MANAGER'S AND EXECUTIVE DIRECTOR'S PROPOSED FINANCIAL PLAN FOR FISCA� YEAR 2014-2015 FOR THE CITY OF PALM DESERT AND THE PALM DESERT HOUSING AUTHORITY(JOINT CONSIDERATION WITH THE PALM DESERT HOUSING AUTHORITY). Mr. Wohlmuth stated the proposed budget was reviewed by Council through two study sessions, stating the plan reflects a budget of $48,517,500 Revenue Projections and $48,250,546 Expenditure Plan for a net balance of $267,000 in the good. With Council's help, a lot of hard work went into this budget, including the work by the Finance Department and Finance Director Paul Gibson. He said staff recommended approval and offered to answer any questions. Councilman/Member Spiegel questioned why the City was paying for people to go to I�apa-Zihuatanejo. Mr. Wohlmuth responded the Sister City trip was discussed in the budget study sessions. Responding to question about how many are going and how many the City was going to pay for, he said the City was paying for one person, but two people are going. He went on to say that Councilmember/Member Benson represented the Sister City Committee as a liaison, so it seemed that if the City was paying for one, it should probably pay for two. Councilman/Member Spiegel disagreed. 27 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 Councilmember/Member Benson said she would like to add an item to the budget relating to the building that the Historical Society rents from the City. It has come to her attention that Verizon has refused to rewire the building, because it's old. However, their telephone and fire alarms are connected to that system. The Historical Society has a quote from Time Warner to update the system for a total of $15,000, which should be added to the budget to make the building safe. She said that as landlords of the property, the City should maintain it in good working condition. CouncilmemberlMember Harnik stated she would like to know more about the matter before voting on it today. Mr. Wohlmuth explained the Palm Desert's first Fire Station on EI Paseo is now the Historical Society. The building is very old and it's the City's first historical designation. The building has a Verizon line, but it's intermittent and now working well. However, to staff's surprise, it wasn't hooked up to Time Warner. He said Time Warner is an option of providing that inter- connectivity for both the phone and security system. Staff has looked into this matter and learned that for Time Warner to bring in that line, the cost is about $14,000; however, the funds are not in the proposed budget. If the Council would like to add it, it has the capacity within the budget to do so. Normally, he didn't bring these items last minute, because the budget has been prepared for over a month. He said the Council could add it to the agenda at this time or he can bring it forth at a later date as a contract and appropriation of funds. Councilman/Member Spiegel suggested adding it to the next agenda. Councilmember/Member Harnik agreed, stating she would like to see the contract and proposal before voting on it. Mayor/Chairman Tanner inquired about the security system and questioned if there was a safety issue at this point. Mr. Wohlmuth explained the Historical Society did have a security system, but with the connectivity issue, the system will not work. Responding to question, he agreed to bring this item to the next meeting for award of contract and appropriation of$14,000. Mayor/Chairman Tanner declared the public hearing o�en and invited public testimony FAVORING or OPPOSING this matter. With no public testimony offered, he declared the public hearing closed. Mayor Pro Tem/Vice Chairman Weber moved to: 1) Waive further reading and adopt Resolution No. 2014-68, adopting a City Program and Financial Plan for the Fiscal Year July 1, 2014, through June 30, 2015; 2)Waive further reading and adopt Resolution 28 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 No. 2014 - 69, establishing the Appropriations Limit for FY 2014-2015; 3) Waive further reading and adopt Resolution No. HA - 64, adopting a Housing Authority Program and Financial Plan for the Fiscal Year July 1, 2014, through June 30, 2015; 4)Waive further reading and adopt Resolution No. 2014- 70, setting the Salary Schedule, Salary Ranges, and Allocated Classifications; 5) By Minute Motion, approve the Out-of-State Travel as listed in the accompanying Memo with direction to staff to bring a report to the next meeting regarding consideration of a Time Warnercontractfora communications upgrade at the Historical Society of Palm Desert and the corresponding appropriation in the FY 2014-2015 Budget. Motion was seconded by Benson. Councilmember/Member Harnik stated that regarding the Ixtapa-Zihuatanejo trip, there was significant discussion on the item during the budget study sessions. She said Council knows going forward these are things they will need to take a closer look, because the expenses are significant. However, Mayor/ChairmanTanner indicated he would pay for his own trip. Mayor/Chairman Tanner called for the vote, and the motion carried by a 4-1 vote (AYES: Benson, Harnik, Weber, and Tanner; NOES: Spiegel). XVIII. REPORTS AND REMARKS A. CITY MANAGER 1. City Manager Meeting Summaries for the Period of June 2-13, 2014. Mr. Wohtmuth noted the printed report in the agenda packets and offered to answer questions. With City Council concurrence, the Meeting Summaries were received and filed. B. CITY ATTORNEY None C. CITY CLERK 1. Request for Confirmation of Summer 2014 City Council Meeting Schedule. Ms. Klassen said staff wished to double-check with Council to confirm that the traditional schedule of taking a break in the summer(holding the first regular meeting in July and the last regular meeting in August, and cancelling the second regular meeting in July and the first regular meeting in August) was again going to be observed this year. 29 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 Councilmembers concurred with this direction, adding that if something were to come up needing attention that a Special Meeting or Adjourned Regular Meeting could be called to accommodate such a situation. D. PUBLIC SAFETY 1. Fire De�artment None 2. Police Department None E. MAYOR AND MEMBERS OF THE CITY COUNCIL 1. Citv Council Requests for Action: None 2. City Council Consideration of Travel RecLuests and Reports: None 3. City Council Committee Reports: a) Coachella Valley Economic Partnershiq — Councilmember Harnik said CVEP just held its Annual Meeting for partners and investors and just launched their Workforce and Jobs Model. They also just celebrated the opening of the Health & Medical Innovation Center on the Palm Springs Accelerator Campus of the Coachella Valley iHub, which is something everyone's involved in. She said there were local entrepreneurial inventors that came in, including one who came up with a great way to reduce bio-hazard medical waste, another developed a medical record-sharing efficiency program that protects the patient while still complying with HIPAA regulations, and yet another developed a garment that increases the quality of life and prevents ulcers for patients in long-term care. She said the work they're doing is amazing, and they'll be tremendous assets in our community with the business generated by producing these innovations. 30 PRELIMINARY MINUTES DRAFT REGULAR PALM DESERT CITY COUNCIL MEETING JUNE 26, 2014 4. City Council Comments: a)Palm Springs T.O.T. Collections—Councilman Spiegel said he was told by the Mayor of Palm Springs that last month they had an increase in Hotel Occupancy Tax of over$700,000. They were really doing a great job there, and he felt Palm Desert may be missing out here. 5. Sug_qested Items for Future City Council Meeting Agendas: a) Deaf and Hearinq Impaired Participation at Council Meetinqs: Mayor Pro Tem Weber said a few weeks ago she attended a function put on for the deaf community hosted by Congressman Raul Ruiz. She said the room was quite full, and it was apparent to her that members of the deaf community were very interested in being involved in their local governments. Therefore, she'd like to ask staff to investigate how Palm Desert can make it easier for people who are either deaf or hard of hearing to participate in Council Meetings. Further, she was aware that one of the cities to the west of Palm Desert already has implemented such a program by providing everyone with an iPad so that they can follow along with closed- caption capability. This meant those folks could attend the Council Meeting and participate by following along with the discussion, and if they see something that has been said, they can go to the microphone and address it. She'd given Mr. Wohlmuth the packet provided to all participating in the aforementioned event and asked that the matter be brought to a future Council Meeting. XIX. ADJOURNMENT On a motion by Spiegel, second by Harnik, and 5-0 vote of the City Council, Mayor Tanner adjourned the meeting at 5:44 p.m. VAN G. TANNER, MAYOR ATTEST: RACHELLE D. KLASSEN, CITY CLERK CITY OF PALM DESERT, CALIFORNIA 31