HomeMy WebLinkAboutPrelim Minutes - RDA 05/12/2005PRELIMINARY MINUTES
REGULAR PALM DESERT REDEVELOPMENT AGENCY MEETING
THURSDAY, MAY 12, 2005
CIVIC CENTER COUNCIL CHAMBER
I. CALL TO ORDER - 3:00 P.M.
Chairman Crites convened the meeting at 3:00 p.m.
II. ROLL CALL
Present:
Member Jean M. Benson
Vice Chairman Jim Ferguson
Member Richard S. Kelly
Member Robert A. Spiegel
Chairman Buford A. Crites
Also Present:
Justin McCarthy, Acting City Manager
Robert W. Hargreaves, Deputy City Attorney
Sheila R. Gilligan, ACM for Community Services
Homer Croy, ACM for Development Services
Rachelle D. Klassen, City Clerk
Mark D. Greenwood, City Engineer
Amir Hamidzadeh, Director of Building & Safety
Paul S. Gibson, Director of Finance/City Treasurer
Duane K. Munson, Interim Director of Human Resources
Michael J. Errante, Director of Public Works
David Yrigoyen, Director of Redevelopment & Housing
Robert P. Kohn, Director of Special Programs
Walt Holloway, Battalion Chief, Palm Desert/Riverside County Fire Dept./CDF
Craig Kilday, Chief/Captain, Palm Desert Police/Riverside Co. Sheriff's Dept.
III. ADJOURN TO CLOSED SESSION
Request for Closed Session:
None
Upon a motion by Member Spiegel, second by Member Benson, and 5-0 vote of the
Agency Board, Chairman Crites adjourned the meeting to Closed Session for the City
Council at 3:01 p.m.
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PALM DESERT REDEVELOPMENT AGENCY MEETING MAY 12, 2005
IV. RECONVENE REGULAR MEETING - 4:00 P.M.
Chairman Crites reconvened the meeting at 4.00 p.m.
V. AWARDS, PRESENTATIONS, AND APPOINTMENTS
None
VI. CONSENT CALENDAR
A. MINUTES of the Regular Redevelopment Agency Meeting of April 28, 2005.
Rec: Approve as presented.
APPROVED the Minutes on a 3-0-2 vote, with Member Benson and Vice
Chairman Ferguson ABSTAINING due to their absence from that
meeting.
B. CLAIMS AND DEMANDS AGAINST THE AGENCY TREASURY - Warrant
Nos. 222RDA, 224RDA, 228RDA, 225RDA, 229-Housing, 226HA, and
230HA.
Rec: Approve as presented.
C. REQUEST FORAPPROVAL of Final Paymentto Southern California Edison
for the Fred Waring Drive Undergrounding Project.
Rec: By Minute Motion: 1) Authorize final payment to Southern California
Edison in the amount of $4,958.42 for the Fred Waring Drive
Undergrounding Project; 2) authorize the Director of Finance to
appropriate said funds from Unobligated RDA Project Area No. 1
funds.
D. REQUEST FOR ACCEPTANCE OF WORK for Contract No. R21180B —
Country Club Village Sewer and Street Improvements (Temco, Newhall, 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.
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PALM DESERT REDEVELOPMENT AGENCY MEETING MAY 12, 2005
E. REQUEST FOR RATIFICATION of a Professional Services Contract for
Conceptual Design of the City/College of the Desert Aquatic Facility
(Contract No. C23750) (Joint Consideration with the Palm Desert
City Council).
Rec: By Minute Motion, ratify staff's authorization to proceed with a
professional design services contract with Aquatic Design Group,
Carlsbad, California, in the amount of $7,500 and authorize a 10%
contingency for conceptual design of the City/COD Aquatic Facility —
funds are available in Account No. 850-4549-454-4001.
Upon motion by Ferguson, second by Spiegel, the Consent Calendarwas approved
as presented by a 5-0 vote, with the exception of Item A, with Member Benson and Vice
Chairman Ferguson ABSTAINING thereon due to their absence from the meeting of
April 28, 2005.
VII. CONSENT ITEMS HELD OVER
None
Vill. RESOLUTIONS
None
IX. NEW BUSINESS
A. REQUEST FOR EXTENSION OF THE TERM OF THE LEASE
AGREEMENT DATED MAY 11, 1989, BETWEEN THE PALM DESERT
REDEVELOPMENT AGENCY AND THE FAMILYYMCA OF THE DESERT.
MR. ROB BALLEW, CEO of the YMCA, said he appreciated the relationship
between the YMCA and the City and offered to answer any questions.
Member Spiegel moved to, by Minute Motion, extend the term of the subject Lease
Agreement to May 1, 2006. Motion was seconded by Kelly and carried by a 5-0 vote.
B. CONSIDERATION OF THE TRANSFER OF THE DISPOSITION
DEVELOPMENT AGREEMENT BETWEEN THE PALM DESERT
REDEVELOPMENT AGENCY AND CNL HOSPITALITY PARTNERSHIP L.P.
TO ASHFORD HOSPITALITY LIMITED PARTNERSHIP.
Mr. McCarthy noted the staff report and recommendation in the packets and
stated that staff was available to answer any questions.
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PALM DESERT REDEVELOPMENT AGENCY MEETING MAY 12, 2005
Member Spiegel asked whether the new company would retain the Marriott
brand.
Mr. Yrigoyen responded that that was an obligation as part of the Disposition
Development Agreement. He said they had informed the Agency that they
are currently talking to Marriott residents and would continue that process.
Upon further question, Mr. Yrigoyen responded that he did not know whether
the same staff would be retained or if new staff would be brought in.
However, with the last transfer, the same staff was maintained.
Member Benson moved to, by Minute Motion, authorize transfer of the subject
Disposition Development Agreement and authorize the Chairman to execute all documents
necessary to approve said transfer to Ashford Hospitality Limited Partnership. Motion was
seconded by Kelly and carried by a 4-0 vote, with Vice Chairman Ferguson ABSENT.
C. REQUEST FOR APPROVAL OF AN AGREEMENT FOR PROJECT
MANAGEMENT SERVICES FOR THE PROJECT KNOWN AS LAGUNA
PALMS APARTMENTS (CONTRACT NO. R23010B).
Upon question by Member Spiegel, Housing Authority Administrator Janet
Moore responded that RPM was the property manager, but this agreement
was for the actual project management for construction of the renovations.
Member Spiegel moved to, by Minute Motion: 1) Approve an agreement with The
Keith Companies, Palm Desert, California, for the subject services in an amount not to
exceed $44,850 plus $1,000 for reimbursable costs for the project known as Laguna Palms
Apartments, based on the proposal and rate sheet provided; 2) authorize the Chairman to
execute said contract; 3) appropriate $45,850 to Account No. 870-4481-464-4001 for this
purpose. Motion was seconded by Kelly and carried by a 4-0 vote, with Vice Chairman
Ferguson ABSENT.
D. REQUEST FOR DIRECTION RELATIVE TO THE HENDERSON
COMMUNITY BUILDING AT ENTRADA DEL PASEO.
Mr. McCarthy noted the staff report and recommendation in the packets and
stated that staff was available to answer any questions.
Member Benson said she was not prepared to spend $3.5 million on this
building and felt there should be an ad hoc committee of the Council to look
over all of the options.
Upon question by Member Spiegel, Ms. Aylaian responded that the architect
for this project was Patel Architecture in Rancho Mirage. She said when the
architect was selected, it involved a competitive process, and an honorarium
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PALM DESERT REDEVELOPMENT AGENCY MEETING MAY 12, 2005
had been provided to three different architecture firms, including Prest-
Vuksic and Kristi Hanson Architects. Patel Architecture was selected by the
committee that reviewed the presentations of all three and made
recommendations to the Agency Board.
Chairman Crites said he had several questions:
Stopping, redesigning, and going with a different design adds time to
the process, and he asked how much that additional time cost as
compared with increased construction costs associated with the
redesign?
Ms. Aylaian responded that the escalation of construction costs was
the real wild card here. Switching designers or starting over with the
same designer would likely add four to six months to the design time;
therefore, construction would be pushed out another six months, and
escalation of construction costs has been approximately15% per
year.
One of the big increases as noted in the staff report was the LEED
(Leadership in Energy Efficiency and Design) certification. Part of the
LEED certification was designed to lower long-term maintenance and
energy costs. He asked how much of the increase that we have in
the building of something is decreased by how much we save over a
10- or 20-year period.
Ms. Aylaian responded that the annual costs for operating this
building are probably $30,000 to $40,000 per year as far as utility
costs, which is generally where the LEED savings come in.
Therefore, even a dramatic savings (i.e., 20% with an extra energy -
efficient building) would not result in recouping large first -cost
premiums for the energy efficiency. She added that the way the
building was designed, not getting a LEED certification would not
result in very dramatic savings because this architect was one who
was selected in part because he is noted for green architecture and
for energy -conserving design.
It would be helpful to see a breakdown of the increased cost.
Ms. Aylaian responded that she had a 12- to 13-page detailed cost
estimate on every element in the building.
The chart included in the staff report indicates an increase of
$214,000 for the building design complexity because it is "more
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elaborate than envisioned." How much of that is the extra public
meeting space and everything the Council chose to add?
Ms. Aylaian responded that none of that was included in the $214,000
figure but was instead included in the $243,500 item for public
meeting space.
Member Spiegel asked if the costs had been discussed with the architect
and if he had any recommendations to bring the costs down.
Ms. Aylaian responded that the numbers before the Agency Board were the
result of a collaborative effort between staff, the architect, and a construction
firm that worked on the estimates. In addition, two other firms had reviewed
everything. The bottom line was that this level of custom design was not
going to be value engineered down to a traditional conventional design.
Vice Chairman Ferguson asked how much was projected to be spent when
the Visitor Center is finally completed.
Ms. Aylaian responded that it would be approximately $4.3 million. On a
square foot basis, she said that worked about to approximately $524 per
square foot for the Visitor Center; for the multi -use building, it would be
approximately $603 per square foot. Since that building was smaller, the
cost per square foot was typically a little higher.
Member Kelly said with everything he saw here and with the experience with
construction of other buildings in the City, he felt this building should be
completed as soon as possible before it costs even more and we end up with
a building that is not as nice. This is a high class building designed with all
of the modern energy efficiency, and he felt it needed to move forward.
Vice Chairman Ferguson agreed and said he was surprised with the request
to make changes once again. This property was purchased to do something
unique, special, and different. He was very happy with the way Cuistot
turned out, and from what he could tell, the Visitor Center was going to be
spectacular. He felt it would not be possible to build something like this
again in the future for anything close to what is being spent for it now. He
said he was advised once that buildings should designed and constructed
as if they had no tenants. Tenants change, but buildings don't; on that
basis, he said he felt this building filled out the site with a third building that
is truly on a parwith the two previous buildings and the landscaping that has
been done.
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MR. RAY RODRIGUEZ, 39-417 Palace Drive, Palm Desert, spoke on behalf
of the Palm Desert Chamber of Commerce and expressed support and
confidence in the Agency Board as it considers this matter. He said they
appreciated the future potential home for the Chamber and were eagerly
anticipating that.
Member Benson said she did not see the need to spend so much money,
especially with the existing Visitor Center building on the corner of Monterey
and Highway 111, which could be used by the Chamber of Commerce. With
regard to providing meeting space for non-profit agencies, she said there
were other places where these groups could meet, such as the Portola
Community Center, which is currently used by groups.
Vice Chairman Ferguson noted that this had variously described as the
"Chamber Building," and he felt it was anything but that. It was a community
building for non -profits, of which the Chamber of Commerce was one. In
moving forward with the building, he was sure discussion would be held to
determine the best location for the Chamber. He acknowledged the Portola
Community Center as a place for non-profit groups to meet, but there were
no places for other groups to meet. He agreed with Member Kelly that by
the time the City gets done "futzing" around with this, it will wind up with a
conventional building that costs just as much as what it is prepared to spend
now.
Member Kelly moved to, by Minute Motion, approve naming the planned multi -use
building the Henderson Community Building and direct staff to increase the budget and
continue design as planned. Motion was seconded by Ferguson and carried by a 4-1 vote,
with Member Benson voting NO.
E. REQUEST FOR AUTHORIZATION TO NEGOTIATE A DISPOSITION AND
DEVELOPMENT AGREEMENT FOR DEVELOPMENT OF 26
AFFORDABLE SENIOR RENTAL UNITS AND 94 AFFORDABLE SINGLE-
FAMILY HOMES ON A 20-ACRE PARCEL OWNED BY THE
REDEVELOPMENT AGENCY.
Member Kelly moved to, by Minute Motion, authorize Redevelopment Agency staff
to negotiate the subject Disposition and Development Agreement with ComDyn LLC, Santa
Monica, California, for development of 26 units of senior rental housing and 94 single-
family homes as part of the City of Palm Desert's affordable housing program. Motion was
seconded by Spiegel and carried by a 5-0 vote.
X. CONTINUED BUSINESS
None
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XI. OLD BUSINESS
None
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PALM DESERT REDEVELOPMENT AGENCY MEETING MAY 12, 2005
XII. PUBLIC HEARINGS
A. REQUEST FOR AUTHORIZATION FOR THE PALM DESERT
REDEVELOPMENT AGENCY AND THE PALM DESERT HOUSING
AUTHORITYTO ENTER INTO A HOUSING COOPERATION AGREEMENT
IN ORDER TO PLAN, UNDERTAKE, CONSTRUCT OR OPERATE
HOUSING PROJECTS (JOINT CONSIDERATION WITH THE
PALM DESERT HOUSING AUTHORITY).
Housing Authority Administrator Janet Moore reviewed the staff report and
recommendation and offered to answer any questions.
Chairman Crites declared the public hearing open and invited testimony in FAVOR
of or in OPPOSITION to this request. With no testimony offered, he declared the
public hearing closed.
Member Kelly moved to: 1) Waive further reading and adopt Redevelopment
Agency Resolution No. 500 and Housing Authority Resolution No. HA-26, approving a
Housing Cooperation Agreement; 2) by Minute Motion, authorize the Palm Desert
Redevelopment Agency and Palm Desert Housing Authority to enter into a Housing
Cooperation Agreement, in accordance with Housing Cooperation Law, in order to plan,
undertake, construct or operate housing projects (Contract No. R23800); 3) by Minute
Motion, authorize the Chairman to execute all documents necessary to enter into the
Housing Cooperation Agreement. Motion was seconded by Spiegel and carried by a 5-0
vote.
XIII. REPORTS, REMARKS, AND AGENCY BOARD ITEMS REQUIRING ACTION
A. EXECUTIVE DIRECTOR
1►C•7T
B. AGENCY COUNSEL
1►C•7T
C. CHAIRMAN AND MEMBERS OF THE AGENCY
Chairman Crites suggested reversing the order of agenda consideration in
order to take up business of the Redevelopment Agency, Housing Authority,
and, when needed, Financing Authority Meetings at each future regular
meeting, followed by the City Council Agenda.
Agency Board members concurred with this direction.
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PALM DESERT REDEVELOPMENT AGENCY MEETING MAY 12, 2005
XIV. ADJOURNMENT
With Agency Board concurrence, Chairman Crites adjourned the meeting at
6:18 p.m.
ATTEST:
RACHELLE D. KLASSEN, CITY CLERK
CITY OF PALM DESERT, CALIFORNIA
BUFORD A. CRITES, CHAIRMAN
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