HomeMy WebLinkAboutPrelim - SA-RDA - 12-11-2014�DRAFT
PRELIMINARY MINUTES
REGULAR MEETING OF THE
BOARD OF DIRECTORS OF THE SUCCESSOR AGENCY
TO THE PALM DESERT REDEVELOPMENT AGENCY
THURSDAY, DECEMBER 11, 2014
CIVIC CENTER COUNCIL CHAMBER
73510 FRED WARING DRIVE, PALM DESERT, CA 92260
CALL TO ORDER - 3:00 P.M.
II. ROLL CALL
Present:
Director Jean M. Benson
Director Jan C. Harnik
Director Robert A. Spiegel
Vice Chair Susan Marie Weber
Chair Van G. Tanner
Present at 4:00 p.m. Reconvening:
Director-elect Sabby Jonathan
Also Present:
John M. Wohlmuth, Executive Director
David J. Erwin, City Attorney
Rudy P. Acosta, Assistant City Manager
Rachelle D. Klassen, Secretary
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
Frankie Riddle, Director of Special Programs
Stephen Y. Aryan, Risk Manager
Casey Hartman, Battalion Chief, Palm Desert Fire/Riverside Co. Fire Dept./Cal Fire
Bi(I Sullivan, Asst. Chief, Palm Desert Police/Riverside Co. SherifPs Department
Grace L. Mendoza, Deputy City Clerk
PRELIMINARY MINUTES
SUCCESSOR AGENCY TO THE
PALM DESERT REDEVELOPMENT AGENCY MEETING
III. ADJOURN TO CLOSED SESSION
Request for Closed Session:
DECEMBER 11, 2014
A. Conference with Real Property Negotiator pursuant to Government Code
Section 54956.8:
1) Prope�ty: 42455 Washington Street (APN 637-017-002), Palm Desert
Negotiating Parties:
Agency: John M. Wohlmuth/Rudy P. Acosta/Martin Alvarez/
Successor Agency to the Palm Desert
Redevelopment Agency
Property Owner: Successor Agency to the Palm Desert
Redevelopment Agency
Under Negotiation: x Price x Terms of Payment
With Successor Agency Board concurrence, Chair Tanner adjourned the meeting to
Closed Session at 3:01 p.m. He reconvened the meeting at 4:04 p.m.
IV. RECONVENE REGULAR MEETING - 4:00 P.M.
A. REPORT ON ACTION FROM CLOSED SESSION.
None
Note: During the Palm Desert City Council Meeting conducted immediately prior to this
SuccessorAgency Board Meeting, declaration of the 2014 General Municipal Election was
made, reorganization of the City Council and annual Mayoral Rotation occurred, with
Susan Marie Weber being appointed Mayor (Chair of the Successor Agency Board), and
Robert A. Spiegel being appointed Mayor Pro Tem (Vice Chair of the Successor Agency
Board), and the rest of the roster was set, including Directors Jan C. Harnik,
Sabby Jonathan, and Van G. Tanner.
V. AWARDS, PRESENTATIONS, AND APPOINTMENTS
None
DRAFT
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PRELIMINARY MINUTES
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SUCCESSOR AGENCY TO THE
PALM DESERT REDEVELOPMENT AGENCY MEETING DECEMBER 11, 2014
VI. CONSENT CALENDAR
A. MINUTES of the November 13 and November 27, 2014, Regular Meetings of the
Board of Directors of the Successor Agency to the Palm Desert Redevelopment
Agency.
Rec: Approve as presented.
B. CLAIMS AND DEMANDS AGAINST SUCCESSOR AGENCY TREASURY -
Warrant Nos. 116SA, 122SA, 127SA, and 132SA.
Rec: Approve as presented.
C. COMPLIANCE ANALYSIS AND INVESTMENT REPORTS for the Month of
October 2014 (Joint Consideration with the Palm Desert City Council).
Rec: Receive and file.
Upon a motion by Spiegel, second by Tanner, and 4-0-1 vote of the Board of Directors
of the Successor Agency (AYES: Hamik, Spiegel, Tanner, and Weber; NOES: None;
ABSTAINING: Jonathan), the Consent Calendar was approved as presented.
VII. CONSENT ITEMS HELD OVER
None
VIII. RESOLUTIONS
None
IX. NEW BUSINESS
A. CONSIDERATION OF A REQUEST FOR SEPARATE FUNDING FOR THE
FOOD & WINE FESTIVAL PALM DESERT 2015 AND RELATED EVENT
AUTHORIZATIONS (CONTRACT NO. C34090) (JOINT CONSIDERATION WITH
THE PALM DESERT CITY COUNCIL).
Economic Development Manager Ruth Ann Moore stated the Food & Wine
Festival Palm Desert began four years ago in 2012, which uses the tents during
Fashion Week in March of each year. The Festival consists of three afternoons
over the weekend. Friday aftemoon includes a five-course luncheon that features
one of the national chefs in cooking and wine pairing, and on Saturday and
Sunday afternoon is the grand tasting event. The Festival has grown in stature
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PRELIMINARY MINUTES DRAFT
SUCCESSOR AGENCY TO THE
PALM DESERT REDEVELOPMENT AGENCY MEETING DECEMBER 11, 2014
and cache with its alliance of the James Beard Foundation. Last year's event
included 23 celebrity chefs, including four of the top chefs in America as rated by
the Food + Wine Magazine; these chefs provide multiple cooking demonstrations
featured throughout the festival. As part of the event, there are 36 restaurants
sampling food, 43 wineries sample their varieties of wine, 5 wine seminars, 6 craft
beers, and 4 craft beer seminars. She provided a two-minute video that
showcased the Food & Wine Festival Palm Desert. After the video was shown,
she went on to say attendance was now 3,000, which was a 23% increase over
2013. However, with success also came challenges, stating it was not an
exaggeration that the event in its current configuration is busting at the seams.
She said that with these crowds the tents have become overly warm and very
noisy. In order to continue to grow the event and attract the desired demographic
that typically attends these festival, the experience requires enhancements to the
facilities. Palm Springs Life (PS�) is requesting additional funding of $75,000 to
improve the air conditioning in its tents and erect three new one to be used
exclusively for chef demonstrations. She said these tents will seat 100 attendees
each, but they will also provide adequate audio visual and air conditioning. The
funding will also provide for a new entrance tent to accommodate a"marketplace"
where sampled wines from the grand tasting will be sold. She said there was no
other Southern California festival providing this benefit. Staff is also working with
PSL to host a City concierge area where attendees can find information about City
amenities and book restaurants during their stay. She said both Fashion Week
and Food & Wine Festival Palm Desert will be moving from its current location in
2016. While City staff and PSL staff are working on a new location, there have
been discussions to separate the festival into its own major event, which can take
place at a different time in the year and in a different location than Fashion Week.
Staff hopes to expand the event in both the variety and number of activities,
making it another signature event in the City, which meets several of the priorities
within Envision Palm Desert, the City's strategic plan to create and attract
entertainment and events to enhance the experience of Palm Desert for both its
economy and lifestyle. She said Frank Jones and Michael Mathews from Palm
Springs Life were in attendance and available to answer any questions.
Councilman/Director Jonathan said the staff report included the minutes from the
Marketing Committee wherein the members shared their concern to have staff
work with PSL for measurable processes to recoup the investment. He asked staff
if that was part of the plan moving forward as the City invests the proposed
significant amount, that staff will monitor and try to find ways to create a return.
Ms. Moore answered yes, stating the City hopes to expand the event in 2016 into
possibly its own signature event. However, if the City entered into a partnership
agreement, staff needed to make sure everything was reviewed with attorneys to
see what actually becomes a liability to the City versus just being a sponsor.
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PRELIMINARY MINUTES DRAFT
SUCCESSOR AGENCY TO THE
PALM DESERT REDEVELOPMENT AGENCY MEETING DECEMBER 11, 2014
Councilman/DirectorJonathan explained there is an expectation thatthe additional
investment will result in additional participants, which will in turn result in additional
sales tax and Transient Occupancy Tax (T.O.T.). Therefore, he asked staff to
think about establishing a mechanism to gauge that cause and effect relationship.
Ms. Moore agreed to work with PSL on that aspect.
Mayor/Chair Weber asked if staff had any way of quantifying the increase from the
hotels' regular business, and if it could be narrowed for both the hotels and
restaurants.
Ms. Moore said not for the hotels, but staff has been able to measure the traffic
increase in the parking garages across the street from the events, stating specific
traffic counts are kept. However, it's very difficult to get information from the
stores, because individual sales didn't have to be disclosed to the City, but there
is different information that is disclosed to their landlord, and staff has indications
from the landlord that during both events, sales increased in the City.
Mayor Pro TemNice Chair Spiegel pointed out this was by far the largest City
event that attracts a lot of people to spend their money in Palm Desert.
Mayor Pro TemNice Chair Spiegel moved to, by Minute Motion: 1) Approve a separate
funding of $75,000 for Food & Wine Festival Palm Desert 2015 to be used toward expansion of
event facilities; 2) appropriate an additional $75,000 from Unobligated General Funds to
Community Sponsorships for FY 2014-2015, Account No. 110-4416-414-3062; 3) authorize use
of Successor Agency to the Palm Desert Redevelopment Agency-owned lot at the northeast
corner of Shadow Mountain Drive/Larkspur Lane for the events in March 2015; 4) authorize
closing a portion of Larkspur Lane in the evenings from 5:00 p.m. - 10:00 p.m. during events in
March 2015; 5) authorize use of the north side of Shadow Mountain Drive behind The Gardens
On EI Paseo and the event for valet parking; 6) permit the consumption of alcoholic beverages
on Successor Agency-owned property; 7) authorize City Manager to execute the additional
sponsorship agreement and allow City Attorney to make non-substantive changes. Motion was
seconded by Hamik.
Councilmember/Director Harnik agreed measuring and quantifying was important,
but a lot of the effects and benefits are intangible. She and Mayor Pro Tem
Spiegel sit on the Marketing and the Hotel & Special Events Committee, and they
are always looking for these signature events, which are needed to generate
revenue to support this wonderful life in Palm Desert. She said these high profile
events raise the image of Palm Desert, and every year she attends Fashion Week,
and last year for the first time attended the Food & Wine event. She was amazed
as to how wonderful it was, but she also noticed how warm the tent was as well.
She said wheneverthe City sponsors any event, the immediate multiplierwon't be
seen, but what happened with Fashion Week will happen with the Food & Wine
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PRELIMINARY MINUTES
DRAFT
SUCCESSOR AGENCY TO THE
PALM DESERT REDEVELOPMENT AGENCY MEETING DECEMBER 11, 2014
Palm Desert event. However, Food & Wine has grown organically without the City
having to work hard to tum it into what it is today.
Councilman/Director Tanner stated the comment that jumped out at him from the
Marketing Committee minutes was for people not look at the City continuously for
X amount of dollars. He understands that if the City contributes $75,000, the
opportunity for additional sponsorships will come, and he didn't want that effort to
stop. He asked PSL to continue to get sponsorships to get a larger return on
investment for everyone involved. He said he loved both events.
Councilman/Director Jonathan concurred with previous comments, but if the City
can demonstrate to its constituents that there is a financial return on the
investment and partnership with Palm Springs Life, so much the better.
MR. MICHAEL MATHEWS, Palm Springs Life, thanked the Council for its support,
stating they truly believe in what they have been able to accomplish in conjunction
with the City. In response to Councilman Tanner's concem, he said they never
ease up on trying to find sponsorships, noting they have secured Aqua Caliente
Resort Spa & Casino as the presenting sponsor, which they didn't have previously.
However, it takes a lot of sponsorships to make an event like this work. With
respect to the tents, the upgrade includes flooring, infrastructure, labor, etc., and
the air conditioning is a crucial part. If there was any real criticism of Food & Wine,
it was about the heat and wanting cooler tents. He can say with a lot of
enthusiasm, right now versus last year, they have double their ticket sales, which
meant people are responding to this event. Previously, the event had 3,000
attendees, and he believed it will grow to about 4,500 next year.
Mayor/Chair Weber said staff pointed out it was Palm Desert's name on the event,
even though the City is sponsoring, which is an advantage to the City of Palm
Desert for a signature event.
Ms. Moore agreed, stating Palm Desert is named in all the advertising for this
event, including the national Sunset Magazine.
Mayor/Chair Weber called for the vote and the motion carried by a 5-0 vote (AYES:
Harnik, Jonathan, Spiegel, Tanner, and Weber; NOES: None).
X. CONTINUED BUSINESS
None
XI. OLD BUSINESS
None
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PRELIMINARY MINUTES
SUCCESSOR AGENCY TO THE
PALM DESERT REDEVELOPMENT AGENCY MEETING
-� =7� -
DECEMBER 11, 2014
XII. PUBLIC HEARINGS
None
XIII. REPORTS, REMARKS, SUCCESSORAGENCY BOARD ITEMS REQUIRING ACTION
A. EXECUTIVE DIRECTOR
None
:l
SUCCESSOR AGENCY COUNSEL
None
C
CHAIR AND MEMBERS OF THE SUCCESSOR AGENCY
None
XIV. ADJOURNMENT
On a motion by Spiegel and unanimous consent of the Successor Agency Board, Chair
Weber adjourned the meeting at 6:51 p.m.
ATTEST:
RACHELLE D. KLASSEN, SECRETARY
SUCCESSOR AGENCY TO THE
PALM DESERT REDEVELOPMENT AGENCY
SUSAN MARIE WEBER, CHAIR
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