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HomeMy WebLinkAbout1992 - MINUTES - 3/4/1992 CITY OF PALM SPRINGS CITY COUNCIL MINUTES MARCH 4, 1992 A Regular Meeting of the City Council , of the City of Palm Springs, California, was called to order by Mayor Bono in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, March 4, 1992, at 7:30 p.m. ROLL CALL: Present: Councilmembers Broich, Hodges, Murawski Neel and Mayor Bono Absent: None The meeting was opened with the Flag Salute and an invocation by Shauna Segundo, Bahai Faith. REPORT OF POSTING OF AGENDA: Report of City Clerk: Agenda posted in accordance with Council procedures on February 28, 1992. 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 . APPROVAL OF MINUTES: It was moved by Broich, seconded by Neel , and unanimously carried, that the minutes of January 22 and February 5, 1992, be approved. PUBLIC HEARINGS: 1. CONFLICT OF INTEREST CODE - PARKS & RECREATION Recommendation: That the Council approve revised conflict (063- of interest codes for the Parks & Recreation Commission, 001) and for the Parks, Recreation & Golf Course Department (formerly a portion of the Community Services & General Operations Departments. City Manager highlighted the Memorandum of the City Clerk Mayor declared the hearing opened; there were no appear- ances, and the hearing was closed. Minute Order 4956 approving the codes, as recommended, was presented; after which, it was moved by Broich, seconded by Murawski , and unanimously carried, that MO 4956 be adopted. PUBLIC COMMENTS: a) The following persons spoke re Item 5, Welwood Library: Deyna Hodges, spoke from the audience microphone, (099 as President of the Save the Welwood Memorial Library 005) Committee, and read in full a statement prepared by Lyn Crandall , attorney for the committee, a copy of which is on file with the City Clerk, requesting that the Council explore with the Committee a plan to lease the library property to a non-profit corporation formed by the committee, for a long-term period at a nominal rent to operate a library, open and free to the public. Council Minutes 3-4-92 Page 2 a) Continued Wesley Ross, 175 Geronimo, urged that the Council (099- accept the proposal , which achieves the goals of the 005) original bequest of Welwood Murray, at no cost to the City. Tom Shirley (?) , Linda Vista Road, supported the committee proposal , and added that he Felt the Library Board was influenced by Mr. Kleindienst and it did not cost as much to operate the library as was reported to the Board. Jeannette Hardenburg, 1143 Linda Vista, stated that the Council can take the library back from the Library Board; that the building has the village look that the Council has wanted for the downtown; that the Task Force report was very good; and she questioned if the purported saving of $100,000 from closing the Welwood Library would actually be saved, or if it would be given to the Library Center. Erishka Fairchild, 1001 S. E1 Cielo Road, stated that the Council is joining a developer to destroy a vision of the community's forefathers; that many ideas could have been generated over the past seven years to save the Library; and that only the litigation issues have been covered by the local newspaper. George Goldberg stated that the City has suffered enough legal losses, and does not need more of them; that he felt Mr. Kleindienst has a conflict and Mrs. Kleindienst should resign. Jim Sugitan, 3111 San Juan Road, Chairman of the Task Force, stated that the task force was formed to study uses of the facility that would be in keeping with the deed restrictions; that the proposed General Plan update includes language about cultural heritage, and protection of historic sites; that the library and a number of other sites in the immediate vicinity have been so designated; that the Council should meet with the Historical Site Preservation Board, and direct it to work with the Save the Welwood Committee. Michael Mehas, 6232 Paseo de La Palma, stated that he felt there were ulterior motives in closing the Library; that the Council has gone out for things, and come back empty-handed; and it should get on with things that make sense. Mr. Barrantino stated that the public should know to what extent the Library Board has stripped the use of the facility; that Mr. Wessman wants the building, and the Council seems intent on giving it to him; that; it is a learning center, and a quite place for shoppers to pause; and challenged how the City could afford to give money for Marie Callendars, and Council office support, yet close the Library Barbara Moore stated that she was a member of the Save the WMML Committee which collected 6,000 signatures to an initiative petition; that she felt the nonprofit organization could call upon those people if it is allowed to run the operation; and that she did not want the Council to spend any more money that it does not have. �1O Council Minutes `.�¢ 3-4-92 Page 3 a) Continued Will Kleindienst, 651 Paseo El Mirador, President (099- of the Library Board, stated that funding the library 005) has been an issue for years; that the Library Board was faced with a tough decision of meeting needs at the Library Center, which accounts for 98% of the library activity, and voted 5-0 to consolidate funds to address the needs of the majority of patrons; that the WMML is a designated Historic Site of the highest order, and cannot be demolished within Council approval ; that the task force was asked to find alternative solutions for the WMML considering the deed restrictions; that the various scenarios of the task force were copies of matters in a 1988 Library Board report that had already been done, and did not produce any additional revenue,; that it will be four months before the library fs. closed, and 90 days after that when the reversionary clause is effective; and that the only use of the property is a lending library. Mr. Sugitan took exception to remarks about the task force, and offered to debate Mr. Kleindienst on the issue. Jeremy Crocker, 330 W. Arenas, stated that the terms of the OPA with Mr. Wessman dictate the price to be paid, and the high cost of giving away the building should be considered. Alex Jablow, Prima Vera, President of the Friends of the Library, stated that it was very wrong to impugn anything but the best of intentions of the Library Board or the City Librarian; and that he felt the Board acted in the belief that it was doing the best thing for the Library, and whether one agrees or not, it is wrong to allege improper motivation for the decision. Barry Beaumont, 2261 Broadmoor, supported Ms. Hodges proposal . b) The following persons spoke re Item 3: Robert Kuznik, Palm Springs Disposal , stated that (148- the proposed contract deal points have been agreed 001) to; that the agreement will allow complying with the mandates of AB939; and he thanked the staff and Council subcommittee members for the hard work in forging the agreement. Art Lyons, 646 Morongo, commented on the good reputation of the current company, and his opinion that it would be a mistake to cut them off. Ruth Licata, 530 N. Calle Marcus, member of the citizen committee for recycling, relayed positive comments from local residents to her about the service. Jean O'Hare expressed favor with the mandatory pickup policy, and the delinquent accounts on the tax rolls, and positive comments about the quality of service. ae , Council Minutes 3-4-92 Page 4 b) Continued Jean Agee expressed pleasure with the' service; urged (148- approval of the contract; and asked that the company 001) be given a fair return on its investment, and the people work for it. John Hollinger, 1089 Olive Way, stated that the public does not know what has taken Place, or what the proposed contract contains. He questioned why a 3-month advance billing cycle is allowed; that he opposed mandatory service when people are gone for several months; that he opposed placing the delinquencies on the tax rolls; and that the Council should schedule a public hearing on the proposed contract. Mr. Ricky (?) attorney for Western Waste, stated that the company would like an opportunity to submit a proposal , and did not believe there was any reason why the Council could not do that. Jim Rodman, General Manager, Western Waste, stated that he felt his company has been (besmirched; that it is the fifth largest in the country, and has had clients for decades; and it still wants to submit a proposal . David Little, recycling division of Western Waste, urged delaying approval of a new contract, and that his company be allowed to give the City a comparison proposal Darlene Knowland, 2360 Caliente, asked why the Council was not seeking competitive bids. Jack Valene, P.S. Disposal Services employee, spoke in favor of the company, its policies, and urged retain- ing the company, and the local people who work: for it. Art Torres, former employee of Western Waste, stated that employees of former providers are usually asked to come to work for the new provider; ghat the citizens deserve to know they are getting the best contract; and that the only way to determine if that is the case, is to get a comparison bid. Jerry London, 566 Fern Canyon, stated that the real issue is whether the community is satisfied with the service; that there is a high percentage of users involved in the recycling program; and that if the company provides good service, he felt the City should stay with it. Alfred Rivas, P.S. Disposal Services employee, commented on the company' s safety program and fairness to its employees. Alex Jablow supported the P.S. Disposal Services, and stated that after 20 years, the community owes it some degree of loyalty, and should work with it in developing a new contract. Council Minutes 3-4-92 page 5 ' c) The following persons spoke on other matters not on the agenda: Peter Tynberg, 1599 Via Norte, regarding Canyon Develop- ment, and lack of follow-through in closing escrows on agreed deals, later withdrawn and re-offered for less money, and under the threat of using the CRA power of eminent domain. Lloyd Maryanov, 670 Ocotillo, endorsed comments of Mr. Lyons and Ms. Licata, and questioned the status of the City' s personal computer maintenance contract, which was removed from the agenda several weeks ago. Eric Langman, President of the P.S. Hotel Association, commented regarding a letter received by operators of small hotels, rEoative to a notification by the City for rental registration of units not subject to Room Tax; and stated that a committee will be meeting with the Assistant City Manager, and suggested that in the future, a different tact be taken in addressing such issues. Bill Drury, 839 San Lorenzo, stated that a request was made at the last study session to close S. Riverside Drive at Sunrise Way, because of the problems of the intersection in relationship to the bridge and poor visibility, and asked that consideration be given to residents on San Lorenzo who will be jeopardized, because San Lorenzo is narrow and is not a fully improved street, which is not the case of S. Riverside Drive. Dee Dee Stone, 142 Eastlake, commented on the need to televise all meetings on PEG. Linda Cooper Lee, expressed her views on favoritism, eminent domain, Mr. Wessman, closing of the library, and her opinion that Councilmembers have submitted to blackmail and collusion, and she called for their individual resignations, except Ms. Hodges. Fred Ebling, 2460 Tuscan Road, asked that test pattern be shown on channel 17, when broadcasting is not being done. MAYOR DECLARED A SHORT RECESS. LEGISLATIVE ACTION: 2. COMPREHENSIVE FEE SCHEDULE - GOLF COURSE RATES On February 19, 1992 the Council continued consideration of amendments to the fee schedule concerning the golf (114) course, pending a joint meeting of representatives of the City Council , Parks & Recreation Commission, staff and the Mens' & Women's Clubs. Director of Parks, Recreation & Golf Course reported that as a result of the above joint meeting, the proposed changes in rates reflects certain permanent changes relating to green fees, reservation policy, discount card fees, and trail fees; and other pilot programs relating to: prime time, standby list, and lifting mandatory cart requirement in June. Council Minutes 3-4-92 Page 6 2. GOLF COURSE RATES (Continued) Councilmember Neel stated that there has never been one demand on taxpayer dollars to support the municipal course, (114) and he recommended maintaining the status quo, i .e. , no changes to the fee schedule or to the regulations. Councilmember Broich stated that he opposed such action, and that the committee met, and reached agreement. Councilmember Neel stated that the time should not have been spent to begin with; that the changes will lead to $100,000 shortfall ; that golf is an expensive activity; that it is too much money to give away when the City already faces financial ,difficulty; that it is one of the few areas that pays for 'itself; and it should not be run in the hole. Councilmember Broich stated that the proposal does not cause the citizens to fund the course; that the course will still make a profit. In answer to questions by Council , Director of Parks, Recreation & Golf Course stated that the proposal will result in $17,000 less than projected for the year, but will not result in putting the fund "in the red. " Director of Finance stated that the current year' s revenues are running slightly under his projections; that the proposal would reduce those projections by $17,000-20,000, and the maximum, under conditions which would be worse than they are now, would be $50,000; and that he felt the original projections would be met, and the proposal would impact that by $0-20,0000. Councilmember Neel stated that surplus funds provide the revenues needed for capital improvement, and emergency repairs; and complaints about lack of sand traps and lakes is offset by the fact that such amenities slow down play, and cost money to install and maintain. Director of Finance stated that the approach has been to run both municipal courses as one course, however, the new course would have to stand on its own; that excess funds might offset each case, but he did not expect any surplus funds. Councilmember Broich stated that the golf course made $68,000 last year, and the proposed changes could result in more play. Councilmember Murawski stated that the economy is in a recession, and the weather has not been good for golf, and he felt it would be better to defer the proposal to next year, and hope for an improved economy. Motion by Neel , seconded by Murawski , to retain the current rates, rules and regulations, carried by the following vote: AYES: Neel , Murawski & Bono NOES: Broich & Hodges ABSENT: None Council Minutes 3-4-92 Page 7 3. WASTE DISPOSAL CONTRACT On February 19, 1992, the Council continued to this date consideration of proposal of P.S. Disposal Services. City Attorney stated that negotiations began in October, (148- and if the contract points are approved by the Council , 001) he will put the formal contract together for final action. He highlighted the terms, noting the following: a) no increase in rates before January 1, 1994; b) formula for future rate increases, and threshold at which Council must approve increases; c) no return on -investment provision; d) 60-day advance billing, and continuation of delinquencies on the tax roll ; e) provisions for consumer complaint and resolution of disputes; f) equipment replacement schedule, and inspection provisions; g) approval required for: any change in ownership in excess of 25%; h) flat 10-year contract, no automatic negotiation or extension; and i ) increased franchise fee to $500,000, without pass-through to residential users. Councilmember Murawski stated that he did not have any problems with P.S. Disposal Services, but was upset with the process followed; that the Council has spent two years digging out of "sweetheart" contracts; that the voters should know what is going on, in that the Council is faced with a contract that it cannot negotiate or get any other proposals unless impasse is reached with the company; that there is no way of knowing if this is the best contract that can be obtained; that the Councilmembers are not experts in this subject; and he questioned the City Attorney and the City Manager if this is the very best contract that the Council can get. City Attorney stated that the City has not gone through a bid process, so it is not known if there is something better on the market. City Manager concurred. Councilmember Murawski stated that the current contract prevents any choice; that the company is not a bad company, and has served the community for twenty years; that the proposal provides no fee increase in the first year, but an increase of 3% every year thereafter for ten years, which could be a 50% fee increase, plus pass-throughs; that every successful businessman would not enter a contract without first doing a comparison; that the economy is tough, and it may be that a deal could be negotiated that would help the citizens of Palm Springs; that the Council offered a two-year contract plus other concessions, and in return threat of suit was made because the Council was not negotiating in good faith, and he felt that the threat was not good faith; that he felt it would be easy to vote and have the problem go away, but he asked for the Council to support a denial of the proposal , and call for an open bid process, which could include absorbing current employees at the same salary; that he cautioned voters to pay close attention to how the Council voted on this action, and felt that anyone who allowed such deal making did not belong on the Council ; that they can give all the rhetoric they want, but the contract does not give the citizens the best contract capable of being attained; that he hoped this kind of contracting would be an election campaign issue; that he complimented the City Attorney David Aleshire for his work, but felt he had a conflict of interest because Frank Aleshire was Council Minutes 3-4-92 page 8 3. WASTE DISPOSAL CONTRACT (Continued) the City Manager• who signed the original waste disposal contract; that he recommended that the Council retain (148- an outside attorney to meet in closed session with the 001) Council to advise members on what legal rights it has; that there are many months remaining before the contract expires; and that the Council should not rush into the decision. Councilmember Broich stated that he felt his views were clear over the years; that the City faces State mandates; that a valid contract has been put together; that the Council cannot seek another bid unless impasse has been reached; that the Council put together the criteria, and the company has met every demand, and he could not see that impasse could be declared; that the City Attorney has advised the Council it must negotiate between November and May in the year before the contract expires, which it has been doing, and doing so in good Faith; that the proposal provides a 10-year, no future guarantee, and returns a $500,000 revenue to the City each year, plus free pickup for its needs which is valued at $319,000 per year; that the company has met every single deal point except the new trucks; that it is a local company and a lot of local people work for it; that he has not had a problem with the service, but has opposed the mandatory billing; and that someone else may come in a bid for less, but this company is in place and there have been no miajor complaints, and no complaints that have not been handled. Councilmember Murawski asked that the Council take the opportunity to ask the City Manager to get another attorney to advise the Council , not necessarily to go to bid, but to find out what all of the ramifications are, which could be done in two weeks. Councilmember Neel stated that there are enough attorney fees being paid by the City; that the proposal is fair, and the company has bent over backward to respond to the Council 's demands that the company has been in business in the city for years, and there is no reason to throw it out; and that the negotiating was done in good faith. Councilmember Hodges stated that she believes that the City should go out to bid as a democratic process, but in this case, the Council was prevented from doing so under the terms of the existing contract, until impasse was reached; that the Council put together a listing of what it wanted to include, and the company has said yes or compromised on every issue; that there are not a lot of complaints about the company; that she did not have a problem in approving what was negotiated; that she did not feel it necessary to go with another attorney, and she has confidence in the City Attorney and the firm, and he should not be held for the decisions of his father; that she felt the Council should proceed; and that she did not know if the contract is the best:, but it is a very good one, and a very fair one. Motion by Neel , seconded by Broich, to approve the contract points, and direct the City Attorney to prepare the final document, carried by the following vote: AYES: Broich, Hodges & Neel NOES: Murawski & Bono ABSENT: None Council Minutes 3-4-92 Page 9 4. DESERT RAIL AUTHORITY Recommendation: That the Council consider approving a Memorandum of Understanding with the Desert Rail Authority (143- outlining its desire to construct a monorail , and its 001) relationship with the City. City Manager noted that the Council received the MOU. It was moved by Hodges, seconded by Murawski , and carried by the following vote, that the MOU be approved: AYES: Broich, Hodges, Murawski & Bono NO: Neel ABSENT: None 5. 14ELWOOD MURRAY LIBRARY At the study session February 18, the Council asked that (099 matter be placed on agenda to discuss pursuing grant funds 005) for the Welwood Murray Library. No discussion. It was moved by Hodges, seconded by Broich, and unanimously carried, that this matter be tabled. ADDITIONAL LEGISLATIVE ITEMS: 6A. MUNICIPAL CODE AMENDMENT - GOING OUT OF BUSINESS SALES Recommendation: That the Council amend the Municipal Code to restrict going out-of-business sale permits to businesses established for one or more years. City Manager recommended that both an urgency ordinance, and an ordinance For introduction be considered. City Clerk read title of Ordinance 1406, and Ordinance for introduction, each entitled: AN ORDINANCE OF THE CITY OF PALM SPRINGS, CALIFORNIA, (103- AMENDING CHAPTER 5.60 OF THE PALM SPRINGS MUNICIPAL 001) CODE RELATING TO GOING OUT OF BUSINESS SALES TO ESTABLISH ELIGIBILITY REQUIREMENTS OF ONE YEAR FOR PERMIT ISSUANCE. It was moved by Broich, seconded by Neel , and unanimously carried, that further readings be waived, that Ordinance 1406 be adopted as an urgency measure, and that the second ordinance be introduced for first reading. 6B. SUNLINE TRANSIT Recommendation: That the Council consider request by (143- Sunline to support its application for Federal transit 002) Administration Discretionary Funds to purchase 40 new buses. Resolution 17804, as recommended, was presented; after which, it was moved by Neel , seconded by Broich, and unani- mously carried, that R17804 be adopted. Council Minutes 3-4-92 Page 10 6C. CONVENTION CENTER MANAGEMENT Recommendation: That the Council approve contract with Leisure Management International for management/operation of the Convention Center, pursuant to prior Council action - A3079. (139 001) City Manager highlighted the general terms of the contract, which covers an initial term of 5 years, supervising all subcontractors and concessionaires, including renewals and extensions; a base monthly fee of $16,667; Council approval of annual budget; event of default; and funding of all capital expenditures by the City. MO 4957, approving agreement, as recommended, was presented; after which, it was moved by Murawski , seconded by Hodges, and unanimously carried, that MO 4957 be adopted. CONSENT AGENDA: 7. Res 17805 authorizing acquisition of two additional parcels (056- needed for right-of-way for improvements in Assessment District 011) 157. 8. Res 17806 designating the Parking Fund as an Enterprise Fund. (086401) 9. MO 4958 exercising option to extend security services agreement (139- for the Convention Center with O' Linn Executive Security Services 001) Inc. for one year, ending March 16, 1993 - A2622. 10. MO 4959 awarding purchase of self-contained breathing apparatus (084- parts to Vallen Safety for $11,142.81. 008) 11. Res 17807 and 1780EI approving Payroll Warrants & Claims & (086- Demands. 010) 12. Motion concurring in CRA actions this date, R850 - 851. (124;I It was moved by Broich, seconded by Murawski , and unani- mously carried, that R17805 trough 17808, N10 4958 and 4959, and motion in Item 12, be adopted; Hodges abstaining on R17808. ADDED STARTERS: 13. SPRING BREAK CONTRACTUAL LAW ENFORCEMENT It was moved by Broich, seconded by Neel , and unanimously carried, that this matter be determined eligible for consid- eration, and added to the agenda. (113- Recommendation: That the Council approve contractual 001) services with the CHP and the Riverside County Sheriff for law enforcement services during Spring Break, 1992, A3080, $132,584, and A3081, $42,382 respectively. MO 4960 and 4961 as recommended, respectively, were presented; after which, it was moved by Broich, seconded by Neel , and unanimously carried, that VO 4960 and 4961 be adopted. Council Minutes 3-4-92 Page 11 REPORTS & REQUESTS: CITY COUNCIL reports or requests a) Councilmember Hodges requested a report from Canyon Development as to status of acquisition of properties; that it has been a long time in the process, and many properties are tied up; and that she does not want to have to buy the property. b) Councilmember Hodges questioned what the status is of the City' s computer maintenance contract. City Manager stated that staff is pursing the reversion from contract computer services to an in-house opera- tion, which should save $200,000 per year, and will include PC services. c) Councilmember Hodges requested that the issue of rent control on small hotels be discussed at a future study session. STAFF reports or requests - None ADJOURNMENT There being no further business,; Mayor declared the meeting adjourned. JUDITH SUMICH City Clerk