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HomeMy WebLinkAbout4/4/2001 - STAFF REPORTS (4) CITY OF PALM SPRINGS CITY COUNCIL MINUTES March 14, 2001 A Special Meeting of the City Council of the City of Palm Springs, California, was called to order by Mayor Kleindienst, in the Large Conference Room, 3200 Tahquitz Canyon Way, on Wednesday, March 14, 2001, at 7:00 p.m. ROLL CALL: Present: Councilmembers Jones, Hodges, Oden, Reller-Spurgin, and Mayor Kleindienst Absent: None REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Government Code Section 54956, 24-hour call. Mayor requested clarification regarding the call for Special Meetings. City Attorney stated that the Mayor, or a majority of the Members of the Council must call for a Special Meeting to be held; that the public comments and discussion is limited to the specifics of the agenda; that the notice must be hand delivered to each Member of the Council; that media must be contacted; and that the meeting is held with 24 hour notice. PUBLIC COMMENTS: None (Note: See Study Session notes this date for Comments related to the Indigo Energy Facility.) LEGISLATIVE ACTION: 1. INDIGO ENERGY FACILITY Recommendation: That the City Council discuss an application pending before the California Energy Commission for the Indigo Energy Facility located on 19�h Avenue, west of North Indian Avenue and north of 1-10, Section 15, T3S, R4E. SBBM. Director of Planning & Building stated that this matter is moving on a fast track through the process; that the State will be the permitting authority for the facility; that it is clear that the State is in an energy crisis; that peaking plants are a part of a Governor enacted plan to combat the crisis; that the City is allowed input on the facility; that the plant, if approved by the State will in place by July of this year; that Intergen has proposed to locate the plant north of 1-10; that there will be three gas fired turbines; that the structure will be 32 feet in height; that the wind turbines in the area can be up to 300 feet in height; that there will be some new electrical lines that will be needed; that the consumption of water will be 240 gallons per minute when the facility is running; that the hours of operation will be on an as needed basis; that the range of usage could be approximately 245 to 328 days per year; that the usage is actually based on hours, not days, but that as the State shortages occur, the facility will fire up; that the total hours allowed under the State's plan is for the facility to run somewhere around 7874 hours per year; that the location of the proposed facility is in an industrial area; that the area is zoned for the heaviest type of manufacturing of M-21 that the application is for emergency permitting, which is a 21 day process; that the application process could be complete as early as this week; that there are two hearings required, one locally and one before the CEC; that once the application is Council Minutes 3-14-01, Page 2 complete, the City will have 10 days in which to respond; that some of the issues involved will be the land use, fire department access and concerns for hazardous waste; public works infrastructure and the like; that there will be air quality issues and noise mitigation needs; that a portion of those concerns the State will allow credits to be addressed on a regional basin wide basis; that it is not clear when the local public hearing will be scheduled; that as far as the structure is concerned, it is fairly straight forward and an industrial facility; that desert landscaping and block walls will be utilized; that the site can not be hidden, but will be somewhat softened and screened. Councilmember Oden questioned the size of the site proposed. Director of Planning & Building stated that the area is a 10-acre site, with approximately 3 acres taken for development. Mayor questioned if the development is one building. Director of Planning & Building stated that the facility is housed equipment; that the equipment is brought to the site, then assembled and will be in three towers. Mayor questioned the number of employees, the high usage of water, and what happens to the runoff of the water. Director of Planning & Building stated that the plant is fully automatic; that at the most there will be one employee; that the water is needed to keep the generators cooled off; that the water is recycled in three storage tanks; and that the resulting runoff is minimal, and will most likely be handled through the sewage system. Mayor questioned why a larger site was not being proposed, due to the needs of the State. Mr. Hren, Intergen representative, stated that there is a larger project scheduled in the Valley; that with the short time frame given, at this time the proposed is achievable; that the location of the larger plant is likewise proposed for Palm Springs, but will be located closer to the Divers substation. Councilmember Reller-Spurgin questioned if there is a method in which the energy produced could benefit the residents of Palm Springs or the Coachella Valley. Mr. Hren, stated that the energy produced goes directly to the grid; and that there are no controls that point the usage to a direct area from the facility. Councilmember Reller-Spurgin stated that sympathy for the entire State is valid, but that the residents in the desert have the greatest need in the summer, that there is grave concern for the elderly; that if the air conditioning is shut off during the summer months, it will result in tragedy. Mr. Hren, stated that the concern is shared for the desert residents; that one part of the solution for the need will be the proposed facility supplying power to the Council Minutes 3-14-01, Page 3 State grid; that with the peaking plant located in Palm Springs it may assist the area in negotiating for power; that the facility is clean technology; that the plant will reduce the number of generators that will need to be bought up during blackouts; and that hopefully, with the electricity being generated in the Valley, it may assist during the determinations of who is blacked out. Councilmember Hodges questioned how noisy the facility would be. Mr. Hren, stated that the facility must comply with CEC and City standards. Councilmember Hodges stated that the proposal is interesting; that everyone must be willing to put forth the effort to help secure energy; but that it would even be better if the facility could benefit the residents of Palm Springs and the Valley. Councilmember Oden questioned if the facility could be built in three months; and if the permitting process could be completed through the City during that time. Director of Planning & Building stated that the plant will be operational within three months of approval; and that all the permitting and inspections will be conducted on a state level; that the City will not be involved unless requested by the State. Councilmember Oden questioned if during rolling blackouts, since the plant is located in Palm Springs, is there any way to prevent the City from the blackout; and if the plant would affect rates. Mr. Hren, stated that wholesale electrical power is regulated by FERC; that the City could enter into agreements with a Municipal Utility provider for assistance; and that the rates are normally on a supply/demand basis. Councilmember Jones questioned if the facility would only be operational during peak periods. Mr. Hren, stated that the plant will be brought on line when requested by the ISO, typically during the day and during high demand periods; that the plant could run around the clock, but that it is not the normal expectation to do so. Mayor stated that the energy crisis has affected the State economically; that some projects and developments in the State have been placed on hold due to the crisis; that the State must have electricity; that if winter months were bad with blackouts; that summer will be critical; that the Governor has allowed the peaker plants to be built; that some balance is needed due to generators being stalled by regulation; that MSRC is addressing the issue; that the facility will produce emission, but that those emissions will be the lowest possible based on today's technology; that the State needs available power; that the Governor, in seeing that need, has likewise mandated offsetting credits; that the 135 Megawatt will be a quick fix for energy, but that the City needs 150 megawatts; that the location is appropriate for the use and it is a very good opportunity to get power in our own backyard; and that the plants have to be built somewhere. Council Minutes 3-14-01, Page 4 Director of Planning & Building stated that the Council would need to consider a change in the zone to allow the facility. Councilmember Reller-Spurgin stated that a motion of support should be made; and that a letter of support generated by the Mayor to the State indicating the support of the City. City Attorney stated that the City staff could work up a letter for the Mayor indicating that the Council is supportive of the concept. Mayor stated that while not in opposition of the project, it might be that the Council should wait until more information is generated about the project; that there are meetings upcoming that could affect what the Council desires to express; that the letter should have substance and contain factual information. City Attorney stated that a representative of Desert Hot Springs did call the City of Palm Springs and indicate concern with the facility being located at their gateway. Mayor stated that in representing the City on matters, typically a Resolution of the Council is what is desired by other governmental entities. Councilmember Hodges stated that the City needs to move forward; that the need of support should be shown; that a letter would send a good message to all the entities working on and with the power issue; that a Resolution or a zoning change could be considered at the next regular meeting of the Council; but that at this time, a letter of support should be sent. Councilmember Oden stated that if a letter is desired by the Members of the Council, the letter should be sent immediately so that it would not interfere with an official Resolution of the Council. Councilmember Reller-Spurgin stated it has been expressed that the public hearing dates are not firm at this time; and that the City needs to be certain that when Mr. Hren appears before the State he can show he has the authority and agreement of the City to secure the location of the plant. Motion to prepare a letter indicating the need and the willingness to support a peaking power plant located in the City of Palm Springs was presented; after which, it was moved by Reller-Spurgin, seconded by Hodges and unanimously carried, that the Motion be adopted. ADJOURNMENT: There being no further business, Mayor declared the meeting adjourned. PATRICIA A. SANDERS City Clerk CITY OF PALM SPRINGS CITY COUNCIL MINUTES March 21, 2001 A Regular Meeting of the City Council of the City of Palm Springs, California, was called to order by Mayor Kleindienst, in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, March 21, 2001, at 5:30 p.m., at which time, the City Attorney announced items to be discussed in Closed Session, and at 7:00 p.m., the meeting was convened in open session. ROLL CALL: Present: Councilmembers Jones, Hodges, Oden, Reller-Spurgin, and Mayor Kleindienst Absent: None The meeting was opened with the Salute to the Flag, and an invocation by Reverend David Pelletier— Metropolitan Community Church REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on March 16, 2001. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION (All Entities) - See items on Page 8 of agenda this date. PRESENTATIONS: None HOUSING AUTHORITY: INDUSTRIAL DEVELOPMENT AUTHORITY: FINANCING AUTHORITY: - No Business COMMUNITY REDEVELOPMENT AGENCY: Mayor declared the meeting adjourned for the purpose of convening as the Community Redevelopment Agency; after which, members reconvened as the City Council. PUBLIC COMMENTS: a) Comments on matters not on the agenda: Michael Bracken, 73710 Fred Waring, Coachella Valley Economic Partnership, stated that the partnership was created seven years ago; that it is a cooperative between private and public enterprises; that the purpose of the partnership is to help create jobs; that the activation of Enterprise and Empowerment Zones lends itself to the creation of jobs; that the partnership is targeting higher-end paying jobs; and requested to be scheduled at a future meeting for a full demonstration of the benefits of the partnership. Mayor requested that the matter be scheduled for an upcoming study session for discussion. Councilmember Oden stated that the matter should continue to be scheduled quarterly or biannually. Council Minutes 03-21-01, Page 2 Steven Sims, 255 El Cielo #142, requested the Bicycling Club be included in any discussions regarding the installation or improvements to bike paths; and that the Club would be instrumental in advising the City with bicycle issues. Joy Meredith, Main Street, stated that the Henry Frank Arcade parking lot needs to be refinished; that discussions were held three years ago regarding improvements, but have not come to fruition; that the parking lot is in a hazardous state at this time; and requested Council consideration of improvements to the lot. Hernando Rose, 254 N.P.C., stated the Municipal lot located at the Henry Frank Arcade needs immediate attention; that there are safety concerns; that the other Municipal lots have been refurbished, but that this one remains a hazard; that the lot projects a negative image for the stores and requested Council consideration of the repaving. Mark Richards, 455 N. Hermosa, stated that the emergency rooms at Desert Hospital and Eisenhower need attention; that the wait to see a physician at an ER can range up to five hours; and requested intervention on the issue by the media and the City. b) Comment on Items 4 & 5: Tom Suitt, 38315 Maracaibo Circle, requested Council support of the Foreign Trade Zone issues; that the expansion is needed in the City; that the Zones will assist in attracting high Tech and clean businesses for the area; that incentives will be given to the private section; and added that it is a good opportunity for the City to market domestic and foreign trade. c) Comments on Item 12: Jane Smith, President Movie Colony Association, requested the Appeal be upheld; and added that the Bike Weekend should be denied based on noise, gangs and trash generated in the City. Don Swedoll. Eagle Rider, stated that as an applicant of a small business, the process within the City is lengthy; that it is believed that the application has been linked to Bike Weekend; that the business has been prejudged; that all the concerns regarding the business were addressed and overcome; that it has been one year since the process started; that rather than just giving up, the attitude has been one of balance, that with every adversity, comes a greater benefit; and added that it is hoped that the Council will review the matter with an open mind. Council Minutes 03-21-01, Page 3 Jim Stuart, requested the item concerning Eagle Rider be considered as a separate matter; that the City should consider approving a CUP with conditions for the business rather than allow the business to appeal to the Tribal Council where the matter will be approved with no conditions; and added that Item 18 should be approved; and requested Council review contracts with Palm Springs Disposal Services regarding rates and Time Warner cable regarding the availability of FOX Channel. d) Comments regarding Item 18: Kelley Coulter, 533 S. Calle Encilia, expressed opposition to the pedestrian bridge; and added that if the Council approves the bridge, a precedence will be set for other businesses; that at the neighborhood meeting, when the developer was asked what would the bridge gain for the citizens, it was explained a piece of art, a place to hang banners; that the City will be surrendering a public access with no compensation to its citizens. Michael Howard, Sims Road, expressed opposition to the pedestrian bridge; and added that the residents do not want the vista destroyed. Jim Davis, stated that the concept of the bridge should be commended and upheld by the Council; that the Hotel Association supports the project; and added that the Eagle Rider CUP should be granted; that the property is blighted; that there are Federal and State laws that do regulate the decibels of motorcycle noise; that if the business changed the mufflers, the warranty would be void and added that the City needs to be kind to those who want to bring business to Palm Springs. John Pinkney, 74760 Hwy 111, Suite 200, incoming Chamber President, stated that the Chamber is in support of the project; and added that when people come to invest time and money in the City, those efforts need to be supported. d) Comments on Item 19: David Smith, 726 Indian Canyon, Raven Hotel Management, stated that there are deep concerns by the hoteliers regarding the Bike Weekend; that the noise level is high all day and all night; that access to downtown is difficult; that the marketing of the hotels is for a destination of a quality atmosphere; that this event does not meet that marketing; and requested Council consideration of regulating the noise and allowing access to the downtown area during the event. Robert Fike, 269 Camino Sur, stated that the City should promote quality events; that the Bike Weekend is too noisy; that access to downtown is prevented; that the majority of the bikers have illegal mufflers; that City Ordinances should not be suspended to allow the event and added that the Visitors Bureau needs to focus on other types of events for promotion. Note: Mr. Fike filed a letter on behalf of Robert Seale, 289 Camino Sur, copy on file in Office of the City Clerk. Council Minutes 03-21-01, Page 4 Jerry Ritter, 269 Camino Sur, stated that Municipal Codes are set in place to provide a quality of life for its citizens; that when an event needs an Ordinance suspended, a red flag should be raised; that the laws need to be followed; and advised the Council to listen to its voters. Arnold Moss, 1420 Hillview Cove, stated that the producer has worked hard to conduct a good event for the City; that funds are raised for charity purposes; that revenues are generated for the City; and added that without the event many organizations will suffer financially. Mike McCullough, Lions Club President, stated that the Lions Club works with Palm Springs Unified School District to provide indigent children with eye glasses; that Bike Weekend generously donated the funds to the Lions Club to provide 25 children with glasses and added that the Club supports the continuation of the event. Karol Markley, no address given, stated that Palm Springs is a desert oasis that should be protected; that peace and quiet should be cherished; that Bike Weekend is not about money, but noise pollution; that the motorcycles roar around town day and night; that hotel guests are driven away, and that the entire City is polluted with noise. Frank Tysen, stated that all agree with the City that sidewalk lighting is an improvement, but that the issue of street lighting should have been discussed with the involvement of the neighborhoods; that the Heritage Trail is not working and that it is a direct result of no neighborhood involvement; that the City has established an Office of Neighborhood Involvement and that the Office should be utilized; that a survey was done of all the Tennis Club Hotels regarding Bike Weekend; that the result was 9 of 11 responding were against the event; that the event causes guests to leave the hotels due to the noise; that the pedestrian bridge proposed for Desert Shadows sounds like a good project, but recommended that the Council place the matter to a vote on whether a tunnel or bridge should be constructed for the project. Ralph Thornton, stated that the City should support the Bike Weekend. e) Comment on Item 22: Mike Davis and Tom Reese, 621 NPC, Palate Restaurant, stated that the City has requested TUMF fees be paid before the restaurant will be issued opening permits; that the location was used as a restaurant for a number of years before this business was proposed; that the fees were not figured in the business plan, that the levy of the fee may prohibit the restaurant from opening; that the area was condemned and blighted; that the partners have taken on the project to improve the area and turn it around for the City; that it should not be the responsibility of the proposed business to pay the TUMF fee; that the fee should have been collected from the previous business; that if the City is going to levy Council Minutes 03-21-01, Page 5 the fee, it is requested that the Council work with the business regarding payments to allow the business to open. Mary Ellen Handler, no address given, stated that for over 18 years 621 NPC was operated as Mary's Playhouse Preschool; that the business was later sold to Crafters Cottage; that from Crafters Cottage a restaurant was opened; that the site was used as a restaurant for many years; and added that the proposed business needs help to open and requested City assistance in making it happen. f) Comment on Item 25: Miles Barrett, no address given, requested Council support of the item and added that staff should be commended for its quick reaction to the matter and urged that the City support efforts to provide energy to the State. APPROVAL OF CONSENT AGENDA: Items 1 thru 17. Except Item #12. It was moved by Oden, seconded by Reller-Spurgin, and unanimously carried, that Items 1 thru 17, excluding item 12 be adopted. CONSENT AGENDA: Review by City Manager of Consent Items to be clarified. Councilmember Oden commented that in the midst of the energy crisis the new LED lamps will be energy efficient; and requested staff clarification on the location of the sidewalks for item 8. City Engineer stated that the missing links would be provided on Via Escuela on the west wide of Avenue Caballeros. Mayor commented that the concern was addressed at staff level to provide the links of sidewalks in areas that children utilize to walk to school; and added that the funds are S13821. Councilmember Oden stated that item 14 does cause some concern based on the higher cost of the vehicles and the higher cost of natural gas for fuel; and added that the goal of providing clean air is commendable, but that the investment may be too high. Mayor stated that the concern is justified; that the cost for fuel of CNG is lower than conventional at this time and that other alternative fuel methods are being investigated, but that it is still prudent to support CNG at this time. 1. Approval of Minutes of February 21 & March 7, 2001. Approved. Council Minutes 03-21-01, Page 6 2. MO 6817 approving supplemental space use agreement with Paradies Shops, LLC at the Palm Springs International Airport for additional office space for Suite A111.1 at $239.50 per month. A4159. 3. Not Used 4. MO 6818 approving an agreement with Maritime Trust/Foreign-Trade Zone Solutions for consulting services to assist with the Foreign-Trade Zone #236 activation for $12,500. A4342. 5. MO 6819 approving an agreement with Maritime Trust/Foreign-Trade Zone Solutions to provide consulting services to assist with the foreign-trade zone major boundary modification (expansion) application for $15,000. A4350. 6. MO 6820 awarding a contract with S & K Electric, Inc. for the LED lamp retrofit installation project for $64,000,00. CP01-02 A4351. 7. Res 20004 approving Parcel Map 28236 for property located at 4801 Sunny Dunes Road and 712 and 730 Eugene Road, Section 19, T4S, RSE. Applicant: Donald E. Williams /Sanborn A/E. 8. MO 6821 awarding contract to Contreras Construction Company, Schedules A and B, for the 2000-01 SIB 821 sidewalk project for $52,764.75, located on Via Escuela from Sunrise to Farrell and Avenida Caballeros from Chia to Chuckwalla. CPOO-17 A4352. 9. MO 6822 approving Change Order#1 to A4311 with Al Miller & Sons Roofing for re-roofing of Fire Station #1 for$20,480, total contract $143,657. CP00-13. 10. MO 6823 approving an agreement with Palm Springs Leisure Properties, LLC for project consultant/staffing processing with respect to a revision to Planned Development District 231, CODA, and associated Tentative Tract Map for a resort golf development located on the east side of Gene Autry Trail, south of Vista Chino. A4353. 11. MO 6824 approving an agreement with Dudek and Associates for processing an application, including Environmental Assessment, for a revision to PD231, CODA, and associated Tentative Tract Map for a resort golf development located on the east side of Gene Autry Trail, south of Vista Chino. A4354. 12. SEE EXTENDED CONSENT AGENDA 13. MO 6825 approving the purchase from Kustom Signals, Inc., for six handheld laser speed measuring devices and two moving radar devices for police department traffic enforcement activities for $25,142.10. Council Minutes 03-21-01. Page 7 14. MO 6826 approving the cooperative purchase of seventeen replacement vehicles through the County of Riverside with Ramsey Street Ford for $382,949.40; and MO 6827 approving the purchase of five service bodies for CNG trucks from Phenix Enterprises for $25,638.75, all inclusive of tax and delivery and a $50.00 surcharge to Riverside County for each vehicle, for a total purchase price of$411,000. 15. MO 6828 approving Supplement #6 to A4035 CaLease Master Lease/Purchase agreement for the purchase of seventeen vehicles for various departments for $411,000. 16, MO 6829 approving an agreement with John R. Trueblood, architect, for architectural design services for the firing range maintenance storage roam at the police department for $6,420. A4355. 17. Res 20005 and 20006 approving Payroll Warrants and Claims & Demands. Note abstentions, if any: Councilmember Warrant# Payee Particular Nature of Conflict Hodges 962287 DWA Client of Employer 962288 DWA 962321 Chris Foster 962331 Granite Construction 962442 Preferred Plumbing Reller-Spurgin 962484 Spurgin Spouse 962619 Spurgin EXTENDED CONSENT AGENDA: 12. Cs 5.0852 — CONDITIONAL USE PERMIT - EAGLE RIDER Mayor stated that regarding item 12, at the last meeting due to a conflict of interest he did abstain; that the time allotted by the FPPC for the abstention has passed and that he is now eligible to vote. Councilmember Oden stated that he did in fact vote against the motion at the last meeting; that the City is working with the developer for alternative locations, that personally, it is believed that the proposed location is good; that the property is blighted; that it has been addressed to be abated; that the improvements to the area will benefit all; that the business can move to another City, but the motorcycles will still come to Palm Springs; that the result is there will be no tax base generated; and that the City does need to continue being in a progressive mode. Councilmember Reller-Spurgin stated that her previous vote was not anti- business, but one of a listening Councilmember. Council Minutes 03-21-01. Page 8 Mayor stated that the Council did previously approve a change in the Zoning Ordinance specifically to allow this type of business through a Conditional Use Permit; that there is no better location in the City for this business; that the previous use was a gas station that made automobile repairs; that a high volume of cars were dealt with at the location; that there is a concern on the decision being based on noise; that the motorcycles are factory installed exhaust systems; that the bikes are no different than the ones used by the police department; that the police department bikes are considered quiet and efficient; that the proposed business will be renting the same type of bikes; that it may be best to have a field trip to see first hand the type of noise generated from the bikes and the difference, if any, from the police bikes; that the City constructed an Ordinance to help this business; that the location has high traffic; and that the business is appropriate for the location. Councilmember Hodges stated that at the last meeting the motion for a field trip was her own; that the motion was not supported at the last meeting; that the field trip will only be beneficial if the concerned neighbors turn out; and that the Community needs to be notified when the event is to take place. City Manager stated that the demonstration would be coordinated to include the police department motorcycles. Motion to continue the matter to April 4, 2001 was presented; after which it was moved by Kleindienst, seconded by Oden, and carried by the following vote that the matter be continued. AYES: Hodges, Oden and Kleindienst NO: Jones and Reller-Spurgin. PUBLIC HEARINGS: 18A. DESERT SHADOWS Case 5.0853, PD 264, TTM29988 AND APPEAL REGARDING PEDESTRIAN BRIDGE Recommendation: That the Council approve Case 5.0853, Planned Development District 264 and Tentative Tract Map No. 29988 to Desert Shadows 3 LP for a 17-unit condominium project and recreation building on a 1.85 acre parcel located at 100 E. Stevens Road, R3/C1 Zone, Section 10; and 18B. Recommendation: That the Council consider an appeal by Desert Shadows 3 LP of the Planning Commission decision to deny an amendment to the application to include a private pedestrian bridge spanning Indian Canyon Drive, North, for the purpose of connecting the proposed 17 unit condominium project and recreation building located on the northwest corner of Indian Canyon Drive and Stevens Road. Council Minutes 03-21-01, Page 9 Director of Planning & Building reviewed the staff reports on both matters and added that in the case of the bridge the Planning Commission did not approve the matter due to the visual effect; and reviewed site plans in the Chamber. Councilmember Hodges questioned the improvements on Stevens Road. Director of Planning & Building stated that the road is wider with two lanes for travel and one lane for parking. Councilmember Jones questioned if the bridge would have support pillars in the public right of way. Director of Planning & Building stated that a free span bridge would be put in place with no supportive pillars in the right of way. Councilmember Oden questioned when the original project started, and if the applicant had intentionally separated the two matters before the Council. Director of Planning & Building stated that the original project started in 1992; and that the application for the Planned Development District for the condominiums was filed before the bridge application came forward. Mayor declared the hearing (on both issues) open. The following persons spoke in favor of the project and bridge concept: Ralph Raya, 968 Village Square South Ralph Thornton, P.S. Chamber of Commerce Linda Ferguson, 334 Santa Elena Denise Goolsby, President, Hotel Association Greg Demetre, 343 W. Baristo Mathew Talala, 215 Helena Circle Ginny Foat, Uptown Business Association Kitty West, Realtor, 111 Tahquitz Canyon Way Wayne Gottlieb, 1542 N. Palm Canyon Linda Payne, Co-owner of Desert Shadows Steven Payne, Co-owner of Desert Shadows Sue Lavato, Co-owner of Desert Shadows Ray LaVato, Co-owner of Desert Shadows The following persons spoke against the bridge concept: Michael Howard, no address given Steven Sims, no address given There being no further appearances the hearing was closed. Council Minutes 03-21-01, Page 10 Councilmember Oden stated that before the project started the area was blighted; that needles from drug addicts and trash was rampant; that the applicants invested in the property; that from that investment, the uptown has changed; that in reviewing the comments of the Planning Commission, some are not understandable; that it may be that the Master Plan of the City needs to be addressed; that Indian Avenue may end up being an entryway to town; and questioned the difference between an encroachment license and an easement. City Attorney stated that an encroachment license gives permission that is generally revocable; that an easement is permitting process that allows something to be put in place that will occupy the public right of way; and that in this matter an encroachment license would be issued. Councilmember Oden stated that in such things like the Walk of Stars, easements are granted for the use of the public right of way to add a uniqueness to the City; that the Council has strived to be open and listening; that all decisions of the Council are not unanimous, but that one motto is "where there is no vision, the people perish". Councilmember Jones stated that the area of the proposed project has changed tremendously; and that the bridge concept should be approved with the condition that the bridge is distinctive and a landmark for the City. Councilmember Hodges stated that when the project first started the hotel on the site was dilapidated; that vision of the project has come to fruition; that when something is presented by Desert Shadows the concept is dependable; that the concept is always followed through and ends up beautiful; that this proposal can only benefit the area; that it may be that the hanging of banners by the City on the bridge may not be appropriate, but that the concept of the bridge itself is good; that the Planning Commission discussion regarding the issue is somewhat interesting; and added that both matters before the Council should be supported. Councilmember Reller-Spurgin concurred and added that the bridge will be an opportunity to be a part of the art in public places program. Mayor stated that each area of Palm Springs is becoming unique unto itself; that the significant differences in the Community is what makes Palm Springs what it is; that it is somewhat bothersome when one neighbor does not support another; that the uptown area has made remarkable changes; that the area has never been thought of as a stepchild of the downtown; that each area of the City is discovering its own niche and like to believe that the Council had a role in the successes; that the City is in its strongest position of the past 25 years; that the City has supported Desert Shadows since its inception; that with the City's assistance a blight area has been removed; that Community Redevelopment Agency funds were used to vacate streets and clean up the neighborhood; that the support of the neighbors of the project is evident; that the bridge concept will be a challenge; that the design will need to be a landmark for the Community; Council Minutes 03-21-01, Page 11 that the design will be critical; that there is a good design team in place; and that the Council looks forward to something spectacular for the Community. Resolution 20007 for approval of PDD 264 and TTM29988 with conditions was presented; after which, it was moved by Jones, seconded by Oden, and unanimously carried that R20007 be adopted. and Motion for staff to prepare a resolution with findings overruling the Planning Commission decision regarding the bridge concept for its next meet of April 4, 2001 was presented; after which, it was moved by Jones, seconded by Oden and unanimously carried that the Motion be adopted. COUNCIL COMMENTS/ANNOUNCEMENTS/INTERAGENCY REPORTS: None LEGISLATIVE ACTION: 19. PALM SPRINGS BIKE & HOT ROD WEEKEND Recommendation: That the Council consider adopting a resolution suspending certain regulatory ordinances to allow for the 2001 American Heat, Palm Springs Motorcycles & Hot Rod Weekend to occur October 12 through 14, 2001. Director of Facilities reviewed the staff report. Councilmember Oden questioned if there would be a secured location to house the motorcycles; and if there were any projections for costs of security. Director of Facilities stated that the Marquis Hotel has volunteered its underground storage area for motorcycle use; and that the costs for security will rise with each year of the event. Police Chief stated that at a previous study session there was a concern raised regarding the increasing size of the event; that the event may outgrow the police departments manpower to manage the event; that eventually the City may need to hire contractual services as additional support; that at this time the police department is trying to stay ahead of the curve; that it is anticipated that this year the City's police department will be able to handle the event; and that it is hoped that the event will be managed and maintained like the Laughlin event. Police Commander, stated that he has attended the Laughlin event since 1992; that the event is well maintained by the local police department; that the attendance of the motorcycles is larger than Palm Springs and that there are very little problems connected to the event. Council Minutes 03-21-01, Page 12 Councilmember Oden stated that the promoter does need to be aware as the resources are needed to maintain the event, they will be contracted for and that the promoter will be billed. Director of Facilities stated that the promoter does conduct this same type of event in other areas; that it is familiar with security needs and does host the third largest motorcycle event in the States. Councilmember Hodges stated that her support was not given last year for the event and that it would not be given this year; that support would be considered if the event was moved to another area such as the Marketfair location. Councilmember Jones stated that his support was not given last year for the event and would not be given this year; that it is not clear why this event should be held in the City; that a high demand is placed for police services; that tourists are frightened away during the weekend; that the City is promoted as one to come to for relaxation, golf and the like; that noise is not one of the reasons tourists come to this City; that a different venue should be found to replace this event and that the event is totally inappropriate for the City. Councilmember Oden questioned if the amount of police presence was based on the event or the number of people that came to town for the event. Police Chief stated that there are approximately 30,000 people in the downtown area and that policing is based on the sheer number. Councilmember Oden stated that when Spring Break was eliminated it was thought that another event could easily replace it; that it is not always easy to replace an event with another that will generate revenue for the City; that there are issues that do need to be addressed such as requiring quiet zones and having a level of security for the Community in place; and questioned the revenue generated from the event. Director of Facilities stated that the estimates were over $1 million in commerce is generated in the Community with $160,000 alone in hotel transient occupancy tax. Mayor stated that the revenue estimated from Loew's is approximately $100,000 a year; and questioned the revenue the City will receive from the Bike Weekend. Director of Finance stated that total economic impact for the City is around $1 million dollars; that revenue directly to the City is approximately $166,000 in additional TOT and around $30,000 in sales tax, bringing the three day event to about $200,000 in direct revenue to the City. Mayor questioned who pays the police costs for the event. Council Minutes 03-21-01, Page 13 Director of Facilities stated that the promoter gave a deposit before the event and was billed final costs for the event, which were paid immediately. Mayor stated that replacing the event and moving forward will be difficult, that whether the event is one that is "your type" or not, the event does bring in more people than most events; that the promoter completely covers all City costs; that if the event is too large, what is the threshold to determine when an event gets too large; that the City does need to provide something for everyone; that the economy is unpredictable at this time; and it may not be in the best interest of the City to be selective on what should come in; that the event is getting better; that it has been a tremendous event for the City; that the police presence may need to be increased, but that the promoter can make the decision whether those costs are worth putting on the event. Councilmember Jones stated that generally speaking the neighborhoods are strong supporters of tourism; that when the White Party is in town, the event is supported; that there is a difference with this event in that it generates noise; that the event moves into neighborhoods and disrupts the lives of the citizens the Council represents; that the event is difficult and that the support of the neighborhoods should not be sacrificed. Councilmember Reller-Spurgin questioned if there is some way to prevent the motorcycles from entering residential areas. Police Chief stated that signage and barricades could be place at the entryways of neighborhood and enforcement enacted. Councilmember Reller-Spurgin stated that it is this event that the most complaints are received; that the roar of motorcycles is heard in the small hours of the morning cruising up and down Sunrise; that it is appreciated that the promoter is willing to cover the costs of the event; but that there are many complaints from the residents regarding noise and from the merchants with the closing of streets for the event. Resolution 20008 as recommended was presented; after which, it was moved by Oden, seconded by Kleindienst and carried by the following vote that R20008 be adopted. AYES: Oden, Reller-Spurgin and Kleindienst NO: Hodges and Jones. Council Minutes 03-21-01, Page 14 20. PALM SPRINGS OPERA GUILD Recommendation: That the Council waive in-kind fees for the Palm Springs Opera Guild's "Opera in the Park 2001" for $955; and approve City sponsorship for the event in future years. Director of Facilities reviewed the staff report. Councilmember Hodges questioned how many organizations does the City waive events for. Director of Facilities stated Tour de Palm Springs, Desert Aids Walk, and various parades. City Attorney stated that staff has been discussing a policy for guidelines relating to waivers and that at this time there is no such guideline in place. Minute Order 6830 waiving fees and Minute Order 6831 approving City sponsorship were presented; after which, it was moved by Reller-Spurgin, seconded by Oden, and unanimously carried, that MO6830 and 6831 be adopted. 21. UTILITY USER TAX WAIVER ON INTERRUPTIBLE POWER PENALTIES Recommendation: That the Council approve the Tax Administrator's action of waiving of the City imposed 5% Utility Users Tax on penalties incurred by Palm Springs businesses for violations of their interruptible power agreements with Southern California Edison for the past year, City Manager reviewed the staff report. Councilmember Jones stated that many of the violators have subscribed for years to a program that resulted in a price break for the cost of electricity; that it is difficult to understand why after saving thousands of dollars the violators would complain about the penalities; that this action does not help homeowners in anyway, but large businesses who have the ability for payment and added that the action does not help the needy but the affluent. Councilmember Oden questioned the profile of those in the program. Director of Finance stated the larger hotels and businesses in town participated in the program; that on the program there was money saved, but the penalty that has been levied was extremely high; that the penalty was so high that the PUC has suspended the program at this time. Councilmember Oden stated that the action is a gesture of goodwill. Council Minutes 03-21-01, Page 15 Resolution 20009 as recommended was presented; after which, it was moved by Hodges, seconded by Oden, and carried by the following vote that R20009 be adopted. AYES: Hodges, Oder, Reller-Spurgin and Kleindienst NO: Jones. 22. PALATE RESTAURANT—TUMF FEES Recommendation: That the Council consider payment over time of TUMF fees for the Palate restaurant located at 621 North Palm Canyon Drive in the form of a promissory note to be paid monthly over a period of two years for a total amount of$7839.87. A----. City Manager reviewed the staff report. Councilmember Oden stated that the property site has been vacant for a while; that it is appreciated when people come to the Community to make an investment; that it is unfortunate that the additional costs came as a surprise and added that the City should invest in those that invest in the City. Councilmember Jones questioned if there was any collateral. City Manager stated that the note is unsecured; that the concern was a blighted property being turned around to a usable property. Councilmember Jones questioned why the previous owners did not pay the fees. City Manager stated that it seemed that the use evolved over time and the City was not aware of the use. City Attorney stated that TUMF fees are collected by CVAG through the City; that if the City does not collect the fee from the developer and there is a shortfall the City must pay; that there is a risk that the fee will not be repaid; that the City will be setting a precedence by approval of a promissory note; that it would be advisable to have guidelines in place for a deferral of the fees; that if the City were asked to do the same thing again for a longer term, there would be a longer risk for repayment; and advised that such action may apply to future situations. Mayor stated that TUMF fees are required when building permits are issued and questioned why the previous business did not pay the fees. Director of Planning & Building stated that the original permit was for Crafters Cottage; that it did include a catering kitchen; that the TUMF fees were paid for that use; that the project evolved to a restaurant and the fees were not paid. Council Minutes 03-21-01, Page 16 Mayor clarified that the permit issued was for the use intended; that over time the restaurant evolved; that the new applicant is wanting to open a business based on that expanded use; that TUMF fees are based on trip generation; that if the fees are not paid by the developer, the City has to pay; that the City does need assurance that the fees will be paid; that the situation causes reluctance based on others in the future requesting the same thing; that the City does need to help businesses, but should not be in business. Councilmember Reller-Spurgin concurred with the Mayor and added that the loan is for two years and is unsecured. Councilmember Jones stated that the previous item acted on was to return money to multi-million dollar corporations; that this action is to assist a small business that is trying to get started in our Community; that the reasoning of the Council is frustrating and not understandable. Councilmember Oden stated that the concerns of the Council are understandable; that there is no policy in place; that there needs to be a better way to communicate with the businesses in the Community on what is needed to move ahead. Mayor questioned if a hotel operator does not pay its transient occupancy tax and a new owner buys the hotel, if the new owner is responsible for the back payment. Director of Finance stated it would be responsible. Motion to approve a promissory note for two years in the amount of $7,839.87 was presented; after which, it was moved by Oden, seconded by Jones and failed by the following vote. AYES: Jones and Oden NO: Hodges, Reller-Spurgin and Kleindienst. 23. 2000-01 FISCAL YEAR BUDGET AMENDMENTS Recommendation: That the Council amend the fiscal Year 2000-01 budget to appropriate $666,000 from the reserves in various funds to cover the higher cost of natural gas. City Manager reviewed the staff report. Council Minutes 03-21-01, Page 17 Councilmember Jones stated that the additional energy costs will impact the budget by over $1 million dollars; that at the previous workshops advice was rendered not to spend any reserve funds; that the impacts facing the City were uncertain; that in the future, caution needs to be used; that there are other indicators working to show that changes are happening; that the airport traffic is down 10%; that TOT in February throughout the Valley is down; that extreme prudence needs to be utilitized for any future spending; and that the energy costs are even higher than one would have imagined it would go. Councilmember Reller-Spurgin stated that Councilmember Jones did repeatedly caution prudence in loaning and spending City funds. Mayor stated that the budget amendment in January were needed and not regretted. Resolutions (4) 20010, 20011, 20012 and 20013 as recommended were presented; after which, it was moved by Hodges, seconded by Reller-Spurgin and unanimously carried that R20010, 20011, 20012 and 20013 were adopted. 24. 2001-02 AIRPORT LANDSIDE FEE STUDY Recommendation: That the Council concur with the Airport Commission's recommendation that air quality incentives for all landside commercial operators be reviewed as part of the 2001-02 Airport Landside Fee study. Assistant City Manager-Operations reviewed the staff report, no further report was given. Minute Order 6832 as recommended was presented; after which, it was moved by Hodges, seconded by Reller-Spurgin, and unanimously carried that MO6832 be adopted. 25. INDIGO ENERGY FACILITY Recommendation: That the Council review the California Energy Commission Emergency Application for a proposed electric energy power plant located north of Interstate 10, west of Indian Canyon Drive and consider adoption of an Interim Urgency Ordinance to allow "Simple Cycle" peaking electrical generation facilities in the M-2 Zone. Section 15, T3S, R4E. City Manager reviewed the staff report. Mayor stated that the last action of the Council was to send a letter to the CEC in support of the project; that a representative of the Council likewise needs to attend the upcoming hearing with the CEC to voice the City's support; that this is a short term solution to a long term problem; that the plant will not be online forever; that the plants will be phased out and removed from the grid; and that Council Minutes 03-21-01, Page 18 the offsets given to the plant will remain in place, after the plant is no longer used. Councilmember Hodges questioned if the plant was temporary, what would happen to the facility once it was no longer used. Director of Planning & Building stated that the plant will be used for quite awhile; that once the site is decommissioned, the facility will be removed, but that staff would continue to monitor the situation with the State. Mayor stated that the State is running in a deficit of 5,000 Megawatts right now; that the plant is needed; that there will be opposition, but that the State is energy starved at this time. Director of Planning & Building stated that minor revisions would be made to the Ordinance to indicate the natural gas use. Resolution 20014 as recommended was presented; after which, it was moved by Hodges, seconded by Jones, and unanimously carried that R20014 be adopted; and it was further moved by Oden, seconded by Reller-Spurgin that further reading be waived and the Title of Urgency Ordinance 1593 be read for adoption. City Clerk read Title of Urgency Ordinance 1593 as follows: AN URGENCY ORDINANCE OF THE CITY OF PALM SPRINGS, CALIFORNIA, AMENDING SECTION 72.17.1.01.D.9 OF THE ZONING ORDINANCE TO ALLOW ELECTRICAL POWER PLANTS IN THE M2 MANUFACTURING ZONE SUBJECT TO THE ISSUANCE OF A CONDITIONAL USE PERMIT ADDITIONAL LEGISLATIVE ITEMS: None. ADDED STARTERS: None REPORTS & REQUESTS: CITY COUNCIL reports or requests 26. Riverside County Community Action Liaison: City Manager recommended Dale Cook be appointed; after which, it was moved by Oden, seconded by Hodges, and unanimously carried that the appointment be approved. Shawn Smith-Personnel Board removal: Motion to removed Shawn Smith from the Personnel Board was presented; after which, It was moved by Oden, seconded by Reller-Spurgin, and unanimously carried that the motion be adopted. Council Minutes 03-21-01, Page 19 Personnel Board Member vacancy Term 6-30-02: Mayor appointed Florence Klaasen to the Personnel Board for a term ending 6-30-02, after which; it was moved by Reller-Spurgin, seconded by Oden, and unanimously carried that appointment be ratified. PUBLIC reports or requests - None STAFF reports or requests ADJOURNMENT: There being no further business, Mayor declared the meeting adjourned. PATRICIA A. SANDERS City Clerk