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HomeMy WebLinkAboutCitizens' Advsry PA4 - 04/19/10PALM DESERT REDEVELOPMENT AGENCY CITIZENS' ADVISORY COMMITTEE FOR PROJECT AREA NO. 4 MINUTES APRIL 19, 2010 I. CALL TO ORDER Chairman Benford convened the meeting at 3:00 p.m. II. ROLL CALL Present: Fred Benford, Chairman Roberta Grubb, Vice Chair Terry Archer, Member Russell Campbell, Member Ron Crisp, Member Phyllis Harkins, Member Douglas Luhring, Member Absent: Jane Daugherty, Member Robert Duncan, Member Kelly Litecky, Member Staff Present: Lauri Aylaian, Director of Community Development Shawn Kilpatrick, Code Compliance Officer Justin McCarthy, ACM for Redevelopment Hart Ponder, Code Compliance Manager Catherine Walker, Senior Management Analyst Guests: Richard Kelly, Councilmember Robert Spiegel, Councilmember Mari Schmidt, Planning Commissioner ORAL COMMUNICATIONS Chairman Benford commented that he and two other members of the Committee attended Ethics Training. He mentioned that you have a 50/50 chance of doing something wrong. R , Wd _ BY RDA q ON VERIFIED BY Original on file with City Clerk's Office CITIZENS' ADVISORY COMMITTEE FOR PROJECT AREA NO. 4 MINUTES APRIL 19, 2010 IV. CONSENT CALENDAR A. APPROVAL OF THE MINUTES OF THE CITIZENS' ADVISORY COMMITTEE FOR PROJECT AREA NO. 4 MEETING OF MARCH 15, 2010. Minutes of the meeting from March 15, 2010, were unanimously approved as submitted and carried by a 7-0 vote with Members Daugherty, Duncan, and Litecky ABSENT. V. UNFINISHED BUSINESS None VI. NEW BUSINESS None VII. CONTINUED BUSINESS None Vill. OLD BUSINESS None IX. INFORMATIONAL ITEMS A. UPDATE: PALM DESERT COUNTRY CLUB UNDERGROUNDING (Catherine Walker, Senior Management Analyst) Ms. Walker circulated a copy of the Palm Desert Country Club undergrounding proposed formation timeline, which was provided by Willdan the consultant. She stated that at the next Committee meeting, a preliminary engineer's report will be provided. Willdan will give a presentation to explain the calculation for the assessment and how a benefit calculation works. She noted that there will be preliminary numbers provided in the report as to what the assessments will be. Mr. McCarthy commented that once they have the engineer's estimate for all the parcel assessments, they are thinking of doing an advisory polling in May. The City will send something out to the property owners' that is not binding, which will give the City an indication if the process should continue. GArda\Monica Loredo\Word\PA No. 4\Minutes\2010\Minutes 4-19-10.docx 2 CITIZENS' ADVISORY COMMITTEE FOR PROJECT AREA NO. 4 MINUTES APRIL 19, 2010 Councilman Kelly inquired when the polling would be done. Mr. McCarthy responded mid May. Mr. McCarthy noted that the information might not be back in time for the Project Area No. 4 Committee meeting, but should be back in time for the City Council's consideration at the later meeting in May. Councilmember Spiegel commented that a lot of people are out of town, and asked what if they do not receive the ballot. Mr. McCarthy responded that the polling would only be advisory and not the final binding one. Councilmember Spiegel asked what kind of percentage they would need. Mr. McCarthy replied that it would be a policy decision. They could use the same standard that is used on the petition, which is 70 percent. Councilmember Spiegel stated that maybe the Committee would like to give input on the polling. Member Archer commented that he would think that the questionnaire that would be returned, the percentages would probably be the same in their comments of being in favor or not in favor whether they have 70 percent of the 100 percent that goes out. Chairman Benford stated that the key factor is the wording for proper understanding. Ms. Walker communicated that a preliminary estimate would be provided to each home owner of their potential assessment. Member Harkins asked if the information would be sent to every home within Palm Desert Country Club. Ms. Walker responded to only those that are affected by the assessment. Mr. McCarthy explained that the undergrounding is going to be a benefit assessment district so there is a possibility that people that do not have wires in front of their house could be assessed. Member Harkins inquired if each letter is going to show the individual amount that particular home owner could potentially be charged. Ms. Walker replied yes. Chairman Benford asked over what period of time. Ms. Walker answered that the schedule would be in the engineer's report. G:\rda\Monica Loredo\Word\PA No. 4\Minutes\2010\Minutes 4-19-10.docx 3 CITIZENS' ADVISORY COMMITTEE FOR PROJECT AREA NO. 4 MINUTES APRIL 19, 2010 Member Harkins asked if would be possible to have an insert to put into the May Palm Desert Country Club Newsletter. Councilman Kelly stated that it is not the City's business to promote an assessment district. The City will give all the information the residents need, but that the Palm Desert Country Club Association would need to do that. Vice Chair Grubb commented that it would help if the City Council could see what is going out, and she would like to know what the sample ballot contains. Mr. McCarthy stated that would create some timing issues because it would require a special meeting with the Project Area No. 4 Committee. He communicated that an informal ballot could be too much, and they could go straight out to ballot and get what they get. It was mentioned that it would be Mr. McCarthy's or the City Council's decision. Mr. McCarthy commented that staffs intent is to keep it as simple as possible. Councilmember Kelly interjected that in the past the City has never spent this much money up front. Mr. McCarthy stated that a petition was done before going down that path Councilmember Kelly stated that enough money has been spent on this undergrounding that the City could go straight to a regular ballot, and it would not cost more money for doing a sample ballot. Mr. McCarthy inquired if there would be a need to have some informational meetings. The Committee replied yes. Councilmember Spiegel stated that unfortunately Palm Desert Country Club missed the boat. He mentioned that his neighborhood was undergrounded. In his neighborhood they had to have 70 percent. There were four to five people that were adamant that they should be undergrounded. They went door-to-door and got signatures on 70 percent. When it came to vote, it was 51 percent. He mentioned that if you go to ballot now, people will not know what is going on and there is a lot of stuff missing. His thought is it will not pass. G:\rda\Monica Loredo\Word\PA No. 4\Minutes\2010\Minutes 4-19-10.docx 4 CITIZENS' ADVISORY COMMITTEE FOR PROJECT AREA NO.4 MINUTES APRIL 19, 2010 Member Campbell commented that he has received some feedback even though he does not live in Palm Desert Country Club, and home owners could not see any reason why to underground. They do not want their taxes to go up or pay any kind of assessment. Councilmember Spiegel agreed considering the economy. Ms. Schmidt inquired if a reverse sample ballot could be done. The answer was no. Mr. McCarthy commented that a town hall meeting could be held to do some outreach. At one point there was a great deal of interest from the community to do an undergrounding; therefore, has gone through this process and are here now under changed conditions. Councilmember Spiegel asked if holding off is an option. Mr. McCarthy responded that you could hold off, but the challenge is the validity of the estimates holding together. The estimates have a limited time value. However, he said they have done the engineering and have everything necessary do new estimates. Councilmember Kelly interjected that there is another option. He stated that California Avenue is a thoroughfare, and it could be paid 100 percent with Redevelopment fees. There could be a decision to just do California Avenue. Mr. McCarthy stated that it has not been confirmed yet. It requires legal confirmation before they can proceed that route. Member Harkins mentioned that the Palm Desert Country Club homeowners' association (HOA) would be happy to accommodate a town hall meeting, but the problem is there are other events booked for the next couple of months. She stated that the only way of educating the home owners is through the newsletter or a mailing from the HOA that would have to be board approved. Mr. McCarthy affirmed that timing of the issue is a problem. Ms. Walker added that timing is an issue not only because the City's process, but also with each individual utility's process. She noted that the City cannot dictate the utility's timelines. Vice Chair Grubb commented that it would help presenting something with the bottom line on how much they would be paying each year. If it was something like $7.98 compared to $798; they would go for it. GArda\Monica Loredo\Word\PA No. 4\Minutes\2010\Minutes 4-19-10.docx 5 CITIZENS' ADVISORY COMMITTEE FOR PROJECT AREA NO. 4 MINUTES APRIL 19, 2010 Mr. McCarthy responded that it is very likely it is not going to be inconsequential. He noted that the difficulty has been the disconnect from the community in terms of what is the community's sentiment. Chairman Benford voiced that due to the City's fiscal constraints, they should go directly to the ballot. Ms. Schmidt inquired what type of timeline is needed for the response of the ballot. Ms. Walker answered that there would need to be a quick turnaround; within seven days. Member Crisp asked what the magnitude of what they are looking at on an annual basis based on 30 years or any other numbers that they might have. Mr. McCarthy responded that you could easily have assessments that are $1,000 a year. Member Crisp requested an explanation of the timing issues pertaining to the seven days turnaround. Ms. Walker explained that the preliminary testing of the waters would have to be worked into the process. The individual home owner's assessment would be part of the engineer's report, which at this time it has a deadline of May 12, 2010. So that would have to be turned around prior to the City Council of May 27. Member Crisp asked why it could not go to the June Council meeting. Ms. Walker responded it is because formal ballots are going out June 4 with the final hearing on July 22. Member Crisp inquired why everything could not be pushed down. Does it have to go to City Council in June? Mr. McCarthy replied that it tees off the taxing cycle for property taxes of when an assessment has to get on the books so that you receive your November bill. If you delay it, what you wind up doing is there may be a need to include in the bond issue a capitalize interest. He explained it is interest payments for delayed periods, and that could easily be another $500,000 to $600,000 just to layer a cost. He stated that the way the timeline is setup now; it is done so there are no additional costs. Member Crisp asked when the formal ballots would be mailed out. Ms. Walker replied June 4, 2010, with a 45-day statutory requirement to the opening, which would take you to the July 22 meeting. The preliminary ballot was not incorporated into the timeline. Councilmember Spiegel stated that the preliminary ballot goes out and the return is such that the City Council says that the City should not go out to G:\rda\Monica Loredo\Word\PA No. 4\M1nutes\2010\Minutes 4-19-10.docx 6 CITIZENS' ADVISORY COMMITTEE FOR PROJECT AREA NO. 4 MINUTES APRIL 19, 2010 official ballot, does the undergrounding lose the 25 percent that the City has paid for. Mr. McCarthy responded that it would be a policy decision to be made by the City Council and Redevelopment Agency Board. Typically Redevelopment pays for, assuming there are resources, the improvements that fall within the public right-of-way. It cannot be used on private property. Councilmember Spiegel asked if the count is low enough and the Council decides not to spend the money at this time to go out and ballot, does the area lose the 25 percent forever or can they come back again? Mr. McCarthy responded that it is at the discretion of the City Council. There was some discussion on holding off moving forward due to the economy, and revisiting the project in two years. In addition, there was discussion on how little residents know about the undergrounding in the Palm Desert Country Club area. Ms. Walker reiterated the City is limited; the grassroots would have to come within the community. Mr. McCarthy explained that there is no reason why you could not truncate or stop the process once the estimates are received. Chairman Benford inquired what would be the recommendation to the City Council. Mr. McCarthy replied that the preliminary ballot was his idea to try to address this conundrum that they are saddled with as opposed to going out with a hard ballot and people asking why are we doing this. He stated that the challenge they have is the timing. It is so compressed that it created an awkwardness that has been observed during the Committee meeting. His recommendation is that the timing for a ballot is not good, but having hard information that you can start talking to the community about is valuable and having a meaningful dialog. If there is an interest, try to get a sense if the community wants to wait. Chairman Benford asked if that would be his recommendation. Mr. McCarthy replied that his recommendation right now is that the timing is not good given the economy along with the uncertainty of Palm Desert Country Club Golf Course. He would not want to go into a balloting situation where Palm Desert Country Club Golf was going back to the situation it was in last summer. He would take the estimates that he is going to receive in May, start working with the HOA and start a communication strategy as oppose to sending out letters or a ballot. He would then come back to the City Council with feedback. G:\rda\Monica Loredo\Word\PA No. 4\Minutes\2010\Minutes 4-19-10.docx 7 CITIZENS' ADVISORY COMMITTEE FOR PROJECT AREA NO. 4 MINUTES APRIL 19, 2010 Vice Chair Grubb communicated that she feels it is a fine idea to get all the information then start the campaign, and give up on the ballot this year. Member Luhring asked Mr. McCarthy what he needs from the Committee. He responded that discussion ensued, and that the Project Area No. 4 Committee felt that it was premature to move forward. Councilmember Kelly interjected that it sounds like a motion that needs to be received and filed. After discussion and the Committee coming to a consensus, Chairman Benford motioned that going out to ballot is premature, and requested that City staff bring back to the Committee the engineer's report with the estimates. The motion was unanimously approved and carried by a 7-0 vote with Members Daugherty, Duncan, and Litecky ABSENT. Member Archer mentioned that his experience working with utilities, the second time around they have the same information a lot quicker and easier. They just had to adjust a few numbers for wages, rates, and other things on the same projects. The Committee noted that Ms. Walker was doing a fine job with the undergrounding. B. UPDATE: PALM DESERT COUNTRY CLUB GOLF COURSE (Shawn Kilpatrick, Code Compliance Officer) Ms. Walker informed the Committee that the bankruptcy was formally reinstated. Staff does not have a timeline or schedule for the bankruptcy. Chairman Benford inquired if there is any idea on how well they are doing. Ms. Walker replied that staff does not have that information. Mr. Kilpatrick reported that he was inspecting the golf course on a weekly basis from September to December 2009, and now only inspecting the golf course on a monthly basis. The conditions are similar to last month's report that was presented to the Committee by Mr. Ponder. However, they have started to water the entire course everyday at night. He talked to the groundskeeping staff, and they indicated they are watering to prepare for summer. He noted the clubhouse looks good. Member Harkins inquired about the trees. Mr. Kilpatrick responded that he did not know what their plans are as far as tree maintenance or care. G1rda\Monica Loredo\Word\PA No. 4\Minutes\2010\Minutes 4-19-10.docx 8 CITIZENS' ADVISORY COMMITTEE FOR PROJECT AREA NO. 4 MINUTES APRIL 19, 2010 Vice Chair Grubb asked what are the consequences if the trees are not taken care of. Mr. Kilpatrick that Code Enforcement would get involved and meet with the property owner. X. REPORTS AND REMARKS A. COMMITTEE CHAIRPERSON/MEMBERS Chairman Benford asked Member Harkins if there is anything from the HOA that they should be aware of. Member Harkins responded that their second annual Family Fair is coming up on Saturday. A fire truck will be there, the natural gas ambulance, and the police. She mentioned that they had a great turn out for the Pancake Breakfast thanks to Lt. Shouse and his team. B. AGENCY BOARD LIAISONS C. PLANNING COMMISSION LIAISON D. STAFF XI. ADJOURNMENT Upon a unanimous motion by the Project Area No. 4 Committee, the meeting was adjourned at 3:53 p.m. Monica Loredo, Recording Secretary GArda\Monica Loredo\Word\PA No. 4\Minutes\2010\Minutes 4-19-10.docx 9