HomeMy WebLinkAbout1993 - MINUTES - 6/22/1993 j � CITY OF PALM SPRINGS
CITY COUNCIL MINUTES
JUNE 22, 1993
An Adjourned Regular Meeting of the City Council of the City of Palm Springs, was called to order by
Mayor Maryanov, in the Council Chamber,, 3200 Tahquitz Canyon Way, on Tuesday, June 22, 1993, at
2:30 p.m.
ROLL CALL: Present: Councilmembers Hodges, Lyons, Reller-Spurgin, Schlendorf
and Mayor Maryanov
Absent: None
REPORT OF POSTING OF AGENDA:
City Clerk reported that the agenda was posted in accordance with Council procedures on June
18, 1993.
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 Concerning Item 2:
Lee Haven, Desert Fashion Plaza General Manager and Joe Scama, Valley Players Guild, (133-
commented on positive response to the proposal, and stated that the proposed loan is for tenant 005)
improvements.
b) Note: The following persons spoke regarding the budget, during the Public Comments portion
of the Study Session agenda, and their comments are recorded here for historical purposes.
Greg Jackson, President of the Palm Springs Police Officers Association, commented on the
negotiation package, and expressed his opinion that it was insulting to ask the unit to pay for its
own health and medical plans when the Council receives the same benefit and $800; that the
Council was elected to do its job, and must take its own hits; that many employees accepted work
with the City because of the security of benefits and an acceptable wage; that the proposal to
remove benefits and leave only wages, will make the job unattractive; that the Mayor previously (061-
helped in settling a deadlock, and he asked that perhaps he could do so again; that negotiations 015)
are slow; that the department has lost 8 positions, and two officers will be lost to seniority; and
that employees should not be asked to pay thousands of dollars, compared to a few hundred for
a utility tax.
Katrina Heinrich stated that she received 82 telephone calls, supporting comments she made at the
June 16 meeting, and that dealing with the budget deficit is a hard decision to make and accept.
Beth Armhiser (sp ?) city employee, stated that the police and fire departments receive 56% of
the general fund, and represent 37% of the employees; and that they should be supported through
a special tax or assessment and removed from the General Fund.
Mitch Spike, city employee, stated that many of the personal attacks at the last meeting were
unwarranted; and that if a utility tax is $200 per person, he would write a check for his share,
rather than taking the pay and benefit cuts which would be much more for him.
Fred Ebeling, commented on salary differential of city employees compared to mean income in
the community; and that people want services, but do not want to pay for them.
LEGISLATIVE ACTION:
1. 1993-94 BUDGET
On June 16, 1993, the Council conducted public hearing on the 1991 94 proposed budget; and
adopt various actions concerning its adoption, and continuing appropriation from 1992-93 into (061-
1993-94, 1993-94 appropriation limit calculation,and reservation ofunappropriated fund balances. 015)
Mayor complimented the amount of work and time spent by Councilmembers Lyons, Reller-
Spurgin and Schlendorf, (met in subcommittees not exceed two Councilmembers at one time)and
the Staff in putting together additional budget considerations.
Council Minutes I
6-22-93, Pg. 2
1. 1993-94 BUDGET (Continued)
Councilmember Schlendorf stated that the groups approached the task with the premises that no
specific percentage or amount of money was targeted, rather to look at service levels on a rating
scale of A-E, with mid-range being a satisfactory level, and that level C should be the minimum
in any given area,and that anything that could be cut,would reduce the amount that anyone would
have to bear, thereby resulting in a win situation for the overall city.
Councilmember Reller-Spurgin stated that it was a difficult, but rewarding task, and she felt the
accomplishments were made as a team, and means a win for everyone.
An outline of the two committee's initial findings and suggestions, from which the three
Councilmember reported, is on file with the City Clerk, and highlighted, as follows:
1
a) Parks&Recreation: An additional cut of$485,607, including closing the Swim Center
from November to March, reducing service level from annual flowers to perennials,
closing Victor and Baristo Parks and considering sale of park property, contracting
maintenance and increasing some fees. During subsequent discussion, Director of Parks,
Recreation&Golf Course stated that some of the cuts were already included in prior cut
proposals, as it was not his understanding that the cuts were additions to those already
considered, therefore, the $485,607 figure would have to be modified somewhat.
b) Police Service: Current service level is excellent, the department is excellent and makes
the very best use of its time; added cuts total $184,000, leaving two areas possibly at
satisfactory and all others at above satisfactory to excellent levels of service, and that no
changes were recommended in patrol.
c) Fire Service: Proposal of fire fighters, previously submitted in study sessions, was
suggested, i.e., a cut of$352,000 deleting 3 current vacant positions (generally used o
fund overtime) and 2 positions which are expected to become vacant, resulting in a 14-
man service level -or a decrease of 2-and that further study be given to closing Station
2 or 5 and rebuilding in the DeMuth Park area,permitting 3-man crews. Perception was
that this will enhance the fire consolidation effort.
d) Public Works: A total of$1.117 million was suggested,which included cutting a Traffic
Engineering Assistant,contracting for Engineering Plan check,establishing fees for traffic
engineering work for special events, e.g., parade detours, special events, etc.;
establishing fees for service requests, information and research, which takes longer than
15 minutes; that there is a window of time over the next two years in which street
maintenance of effort is not required for Measure A funds, and $200,000 will be
transferred to the General Fund, rather than left in the Gas Tax Fund; that this action has
a down side, and the long-term impact can be major if the maintenance is left undone;
that street sweeping program will be reduced by 50%; that the Graffiti removal program
will be deleted, and other sources of providing the service will be sought, e.g., a grant
to provide labor costs since City has the paint, or service clubs taking it on as a project.
e) Economic Development: An additional $60,000, provides for Industrial Specialist and
part-time person to bring figures together and get plans started.
f) City Clerk: Provide one-half time temporary relief, possibly charged to Redevelopment
Fund to free trained personnel time for back-logged records management, several areas
currently at less than satisfactory levels.
g) Library Services: $90,500 in additional cuts,over previous$150,000, included eliminate
overdue notices, cancelling some services, reducing catalogue contracts, proctor exams
service, and reducing library collection purchases.
h) Tourism: Reorganization of staff, eliminating Visitor Information Center Manager, and
providing lead worker pay, $20,000-30,000 saving; also consider option of cutting
$150,000 from tourism or raise the TOT which would produce$200,000 to the General
Fund. Hotel community is divided on the issue, whether to raise TOT or impose utility
tax, and if the TOT is not raised, the suggestion would he to cut $150,000 from the
tourism budget.
i) Insurance Benefits: Desire is to have co-pay plan, deductibles, and increase co-payment
for prescription drugs. Councilmember Realer-Spurgin requested City Manager to
schedule a meeting for her with the Risk Manager to review the proposal.
:.tsr
Council Minutes
6-22-93, Pg. 3
1. 1993-94 BUDGET (Continued)
Mayor also requested to meet with the Risk Manager concerning workers' compensation and
liability coverages; and that he wanted to review legal services and decide if those should be in-
house or contracted for-other than litigation.
Councilmember Schlendorf stated that the committee will resume on June 23 with the remaining
departments;and Councilmember Hodges stated that she felt the committee was doing in excellent
job, and willing to accept the recommendations, and the Council should not start picking it apart,
otherwise it will just be going over the same issues it has for the past weeks.
Mayor agreed that the committee did a good job, but he had problems with some of the
recommendations, in that he was not certain what was actually being recommended. He stated
that he did not have a problem with the Swim Center proposal, but the figures were not precise,
and questioned if there was any obligation to keeping it open in terms of use by the High School;
and questioned what "closing" the parks meant. He also questioned why Francis Stevens was not
included, and that he felt the entire complex should be sold, and did not favor selling any property
at distressed prices when the market is at its lowest.
Director of Parks, Recreation&Golf Course explained the figures concerning the Swim Center,
and added that the equipment would be removed from the parks, and it would be allowed to
"return to a vacant lot" condition; that the Commission opposed closing of any park; that Frances
Stevens is an historical site; that joint use agreement with the Schoch District is more for the
facilities and the parks are used more at will; and noted that some of the cuts sire partial
duplications of previous cuts which the Council has already seen
In answer to question by Council, Police Chief reported that the service level will be decreased;
that 50% of the cases are currently assigned, and cases are screened for probable solving, and that
process will be tightened up; that reduced investigation will place the service level at satisfactory;
that one secretary was already cut; and that of the 8 positions that weree previously noted for cut,
all were vacant except 1, and the additional 5 cuts are all filled.
In answer to question by Council, Fire Chief stated that the proposed cuts results in a decreased
daily minimum staffing, and provides a less effective initial fire force and less safe condition to
operate in; that he felt the current level is marginal to less than satisfactory; that making the cuts
work operationally will have to be discussed; that minimum staffing would be 14; that reassigning
fire prevention if Stations 5 and 2 are consolidated may still allow a 5-minute response time to
serve the remainder of the community; that the Airport station cannot be closed, and fire captain
funded by the Airport provides supervision of one station although not specifically on site; that
ISO rating may or may not be affected; and the education is the key to getting a benefit assessment
approved.
Councilmember Reller-Spurgin stated that until the community feels the affects of the budget
crisis, it will not believe that one really exists; and these cuts will make everyone aware that the
community is in deep trouble;and that the Council must stop the pain and do what it must do,and
move forward for a positive future.
Councilmember Schlendorf stated that the Council has little choice, and the proposal is not what
would be preferred, but it is satisfactory level of service, and people need to understand that; that
employees are giving 100%0 effort in service and the City does not have the resources to keep
doing that.
Councilmember Lyons stated that: for long-term solutions, he wanted to make certain the budget
included charter city costs, fire consolidation, and economic feasibility for a municipal electric
utility.
Mayor declared a brief recess.
MVR Fund&Gas Tax Fun Reserve Transfers: Proposal provides for a,transfer of$200,000 from
both reserve funds, recognizing that minimum level of street maintenance will create greater
expenses next year to recover that amount, because major street rebuilding will be required rather
than maintenance. Director of Public Works stated that the pavement deteriorates faster than it
can be maintained; that$200,000 overall is not a lot, because a couple of million dollars is already
needed each year, and it will add to the larger costs. Councilmember Schlendorf stated the
committee took into consideration that the Council must find a permanent solution, and the
window of opportunity was limited to this year, and a solution will need to be worked on
immediately. Councilmember Reller-Spurgin stated that the situation currently requires$2 million
more than the City can provide, and one more year can be tolerated.
Council Minutes 0' 3
6-22-93, Pg. 4
1. 1993-94 BUDGET (Continued)
Graffiti Removal: Mayor expressed concern about eliminating this program. Comments and
suggestions were made that possibly CDBG funds could be used, operation paintbrush funds,
redevelopment funds, volunteer labor, or combinations thereof.
Rehabilitation Program: Mayor disagreed with the department recommendation, and felt this
program was essential; Councilm9mber Lyons stated that if it cannot be funded, he would agree
to dropping it.
Other Fire Services: Councilmember Hodges suggested that when consideration is given to fire
stations 2 and 5 or disposal of 5, perhaps one of the warehouse facilities on the Knutson Tract,
located at Ramon and Gene Autry, could be used as a temporary site (Fire Chief to explore
possibility). Observation made that the budget is not impacted by the possible closing of the
Station, but is a separate issue to be addressed. Councilmember Lyons asked that $30,000 be
added for the reserve program- Councilmember Hodges suggested $15,000; and the Fire Chief
stated that$30,000 would provide two reserves per day on duty, and support a compliment of 20
reservists. Mayor agreed it should be budgeted for; figures to be verified and adjusted.
Enterprise Funds: Councilmember Schlendorf stated that the committee felt that the Enterprise
Funds were left status quo, and any adjustments in personnel salaries or benefits would flow
through those funds as well. Director of Finance stated that there were no changes in the Golf
Course Fund, the Wastewater Treatment Fund, and minor cuts in th; Airport Fund, and
corrections made to the Convention Center Fund, otherwise they remained as proposed.
Discussion resulted in consensus to adjourn the meeting to June 23 at 7 p.m. to finalize and adopt
the budget; and it was moved by Schlendorf, seconded by Lyons, and unanimously carried, that
this matter to be continued to June 23, 1993.
2. DOWNTOWN PROPERTY IMPROVEMENT PROGRAM - VALLEY PLAYERS GUILD
Staff Recommendation: That the Council approve a loan for exterior tenant improvements to the
Valley Players Guild from funds currently available in the Downtown Property Improvement
Program, for $25,000, at 6% interest and repayment over 36 months, for the purpose of
improving an outdoor garden amphitheater at the Desert Fashion Plaza as a new location for the
Palm Springs Playhouse, in documents forms acceptable to the City Attonney, A_.
City Manager distributed staff recommendation to amend the current policy on the downtown (133-
property improvement program, to allow tenant loans up to $25,000 for improvements, limited 005)
to non-profit organizations and recommended that it be added to the agenda,to be considered prior
to the subject matter; and that both matters then be continued to June 23, 1993.
It was moved by Schlendorf, seconded by Reller-Spurgin, and unanimously carried, that the
amendment to the policy be determined eligible for consideration, and added to the agenda; after
which, it was moved by Schlendorf, seconded by Reller-Spurgin, and unanimously carried, that
both matters be continued to June 23, 1993,
3. MUNICIPAL CODE AMENDMENT - VISITOR &PROMOTION BOP,RD (Intro. 6-16-93)
City Clerk read title of Ordinance 1449, to change the size of two of the hotel categories
represented, as follows:
AN ORDINANCE OF THE CITY OF PALM SPRINGS, CALIFORNIA, AMENDING
SECTION 2.23.030 TO THE PALM SPRINGS MUNICIPAL CODE, REGULATING (060-
THE TERM, VACANCIES AND VOTE OF THE MEMBERS OF THE VISITORS 024)
AND PROMOTION BOARD.
It was moved by Lyons,seconded by Reller-Spurgin,and unanimously carried, that further reading
be waived, and that 01449 be adopted.
4. DOWNTOWN DEVELOPMENT CENTER
Staff Recommendation: That the Council approve a one-year contract with Jerry Ogburn, dba
REDAC2 for continuation of the downtown development center program, and extension of the (133-
program to include five other project areas and a portion of PA2,located along the Palm Canyon- 005)
Indian Canyon Drive corridor, for a cost of$129,000 - A3244.
Councilmember Reller-Spurgin suggested that the contract be reconsidered if city employee cuts
are other than 10%.
''li'1� d tii
Council Minutes
6-22-93, Pg. 5
4. DEVELOPMENT CENTER (Continued)
City Attorney pointed out that a 90-day notice of cancellation has economic value, and that an
additional amendment could be considered later.
It was the consensus of the Council, that the contract amendment document be revised ¢o reflect
a total 10%reduction from last year's contract,and provide a 90-day cancellation, and that further
amendments may be considered along the lines of the discussion.
Minute Order 5211, revised to reduce the contract amount to an amount which is overall 10% less
than original contract(net$121,320)and provide 90-day cancellation,was presented;after which,
it was moved by Hodges, seconded by Reller-Spurgin, and unanimously carried, that MO5211 be
adopted.
5. Res 18122 and Res 18123 companion actions to Community Redevelopment Agency Item 2 of this
dated, relative to Wastewater Treatment Fund loan to Canyon Redevelopment Project Area, and (061-
budget amendment to appropriate the funds, were presented; after which, it was moved by 015)
Hodges, seconded by Schlendorf, and unanimously carried, that R18122 and 18123 be adopted.
ADJOURNMENT
There being no further business, Mayor declared the meeting further adjourned to Closed Session
(Personnel)and thereafter to Wednesday,June 23, 1993,at 7 p.m.,Large Conference Room, City
Hall. r'
JUDITH SUMICH
City Clerk