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HomeMy WebLinkAbout2001 - MINUTES - 1/3/2001 CITY OF PALM SPRINGS CITY COUNCIL MINUTES JANUARY 3, 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, January 3, 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 LaVeta Dillman —Chapel on the Way REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on December 29, 2000. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION (All Entities) - See items on Page 5 of agenda this date. PRESENTATIONS: PSHS Student Body Report 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 Item 9: Tom Brooks, PS Youth Center, President of Board, expressed appreciation for City support of the Youth Center; and added that the Center has been in existence for 59 years; that it is needed even more so at this time; that the Center is expanding programs; that attendance is high; that there are vocational types of programs being offered; and that with the City's assistance, the Center's future is bright. Young man, resident, stated that he does attend the Youth Center; that it is fun; that one can play with friends and get help with homework; and added that he would like to continue to go to the Center. b) Comments on matters not on the Agenda: ' Ron Miller, 1750 Sharon, stated that there are steps to a healthy Palm Springs future; that some of those steps include being aware of citizens concerns; that the parking situation does need to be addressed; that City Hall must be business friendly; and that after Council does give direction, staff should be free to carry out the directives. Council Minutes 01-03-01. Page 2 CONSENT AGENDA Items 1 thru 7. Except Item 6. It was moved by Oden, seconded by Jones, and unanimously carried, that Items 1 thru 7, excluding item 6, be adopted. Review by City Manager of Consent Items to be clarified. 1. Approval of Minutes of December 20, 2000. 2. MO 6772 concurring with CRA-A. Kleindienst abstain-Client of spouse 3. MO 6773 approving amendment #1 to A4202 with Alcalde & Fay, Washington D. C. legislative services, extending the term for one year, for a total $24,000. 4. MO 6774 concurring with CRA-B. 5. MO 6775 approving contract with Desert Janitor Company for road maintenance services for a 2-year term with two 1-year options for $4,560 per month. A4328. 6 See Extended Consent Agenda. 7. Res 19965 Claims & Demands. Note abstentions, if any: Councilmember Warrant# Payee Particular Nature of Conflict Hodges 960226 DWA Client of Employer 960227 960256 G&M Const 960262 Granite 960366 Perf Pumb 960458 Doug Wall Reller-Spurgin 960424 Spurgin Spouse EXTENDED CONSENT AGENDA: 6. CS 5.0760 PD240 BELARDO GARDENS — ERIC HEMS'TREET Recommendation: That the Council approve a six-month time extension by Eric Hemstreet to commence construction on an approved final development plan for PD249, Belardo Gardens, property located on the northwest corner of Belardo Road and Sunny Dunes Road, Section 22. Mayor stated that this matter was continued due to neighborhood concerns regarding the development of the property; that there is concern with the use of the property in this location; and that the development is lacking in interest. Councilmember Reller-Spurgin stated that the planned project does include an assisted living center, and based on the appearance of conflict, would abstain from the matter. Councilmember Hodges questioned if the City turned down the project, would any legal ramification come forth. Council Minutes 01-03-01, Page 3 Director of Planning & Building stated that the project has gone through the process; that the project was supported by the Planning Commission and the City Council, that the final plans are being readied for permit; that the project ' does have full construction documents on file and is ready for permitting. City Attorney stated that normally approval of the Council is discretionary; that to be accurate in this case further discussions would need to be held with the Director of Planning & Building; that there may be unusual circumstances that necessitate the time extension; that there is case law regarding time extensions and the lapse of time; and that this situation would warrant continuance should the Council not wish to grant the extension of time. Councilmember Oden stated that support should be given to the project; that the reason for the delays are due to the developer working with the concerns previously expressed by the Council and the neighbors of the project. Councilmember Hodges stated that her concern for the project is not necessarily those expressed by the Mayor, but due to the number of assisted living centers already in the Valley; that when the project first came forward there was a need for more centers; but that the growth of the centers since then has greatly expanded; and questioned if the approval could be modified to approve the extension, but deny any future extensions for the project. Councilmember Jones stated that the extension is limited to six months; and that if the project has not started, the matter would come back at that time. ' Councilmember Hodges stated that support of the extension could be given at this time, with the understanding that there will be no further extensions. Resolution 19966 as recommended was presented; after which, it was moved by Oden, seconded by Jones and carried by the following vote, that R19966 be adopted. AYES: Hodges, Jones and Oden NO Kleindienst ABSTAIN: Reller-Spurgin. PUBLIC HEARINGS: None COUNCIL COMMENTS/ANNOUNCEMENTS/INTERAGENCY REPORTS: Councilmembers reported on various civic and community organizational meetings and events which they attended, subsequent to the last regular meeting, and announced upcoming events of community interest. LEGISLATIVE ACTION: 8. PERS AMENDMENT Recommendation: That the Council rescind Resolution 19802 and approve paying and reporting the value of employer paid member contributions to PERS City Manager reviewed the staff report, no further report was given. Council Minutes 01-03-01, Page 4 Resolution 19967 as recommended was presented; after which, it was moved by Reller-Spurgin, seconded by Hodges, and unanimously carried that R19967 be adopted. 9. 2000-01 FISCAL YEAR BUDGET AMENDMENTS Recommendation: That the Council amend the budget totaling $459,765 to be funded from the Fiscal Year 1999-00 operating funds surplus. City Manager reviewed the staff report. Mayor stated that the allotment to the Skate Park would be an incentive to show support of the City; that the Council does look forward to the Community fundraising; and that the allotment is based on matching funds. Councilmember Oden stated that the workshop discussion did include support for the Tuskegee Airmen Mural; that the matter is not listed for approval and requested the matter be included at the Council's next regularly scheduled meeting for action. Mayor stated that the funding was recommended .at $5,000 and added that Public Art Funds cannot be used due to the Mural not being publicly accessible. Councilmember Reller-Spurgin questioned the full cost of the Mural. Mayor stated that the full cost is $180,000; that the Los Angeles Airport has designated approximately $30,000; and requested that a breakdown of the funding be furnished to the Council. Resolution 19968 as recommended ($176,265-Tourisn-i & Easter Bowl) was presented, after which; it was moved by Hodges, seconded by Reller-Spurgin, and unanimously carried, that R19968 be adopted. Councilmember Jones stated that the request for $50,000, in his opinion, can not be supported at this time; that when the matter was first introduced to ,the Council, there was no mention that the taxpayers would have to foot the bill; that the Council was told that there were sponsors in line for the project; that the sponsors have seemed to disappear; that the committee needs to make the effort before the Council steps forward; that there has been very little fundraising up to this point; that in addition, there is question regarding the Desert Museum and its allotment for funding; and requested the Skate Park and Desert Museum items be separate for consideration. Councilmember Reller-Spurgin stated that the Council has for a long time been addressing the need for things for the Youth to do; that the Skate Park concept came about from Officer Carr trying to assist the merchants downtown in finding a solution to all the skateboarders on the sidewalks; that a concept for a place for the skateboarders to go is being offered; and through a $30,000 donation towards development plans, the Agua Caliente Band of Cahuilla Indians have shown support; that the purpose of the matching funds is to -encourage fundraising by the committee; that the $50,000 is not a donation to ther fund by the taxpayers; but supports an independent/private partnership in good faith. Councilmember Oden stated that support should be given to the matching of funds; that it is an incentive to all the people working on the project; that the Council Minutes 01-03-01, Page 5 matching funds indicate that the Council supports the issue; that in the case of the Desert Museum, each month a City in the Valley supports a family day; that the Museum is located in this City, but it is the only City that does not support a family day; and that the support allows our citizens to visit the museum. Councilmember Hodges stated that the Skate Park Committee is undertaking a large endeavor; that it is difficult to fundraise; that it is good for the Committee to know that the City is behind the effort; and that the matching support should be given. Mayor questioned if the $1,500 for the Desert Museum would come out of Community Promotion Funds. Director of Finance & Treasurer stated that the funding is from fund balance and not the General Fund. Mayor stated that the Skate Park match is a test of the Community's willingness to support the endeavor; that the project also includes long needed swim park improvements; that the City has not built recreation facilities in a very long time; that park improvements have been made, but general funding has not been used for this type of purpose in years; that the youth is in need of City-sanctioned things to do; that this is a sign of a maturing City; that the request for Desert Museum is a minimal line item; that a family day is a great partnership between the City and the Museum and that a strengthening of the partnership should be pursued. ' Resolution 19969 as recommended ($151,500-Skate Park, Desert Museum, Downtown Experience-Maintenance & Police) was presented; after which, it was moved by Oden, seconded by Reller-Spurgin, and carried by the following vote that R19969 be adopted. AYES: Hodges, Oden, Reller-Spurgin and Kleindienst NO: Jones. Councilmember Hodges stated that she does have some concern with spending any more of the reserves; that there are issues that the City will be facing, such as increased energy costs; and that it may be prudent to consider other possible funding during the next quarter. Councilmember Reller-Spurgin concurred with Councilmember Hodges on future issues; but added that the exhaust issues at the Fire Station have been an issue for some time; that there are some capital improvements that necessitate action in order to maintain equipment. Resolution 19970 as recommended ($45,000-Fire Station #2) was presented; after which, it was moved by Reller-Spurgin, seconded Oden, and carried by the following vote that R19970 be adopted. AYES: Oden, Reller-Spurgin and Kleindienst NO: Hodges and Jones. Councilmember Hodges stated that this matter is of the same concern as previously stated; that in addition there is a concern of giving of public funds to non-profit organizations; and added that the Community should be supporting the Centers. Council Minutes 01-03-01, Page 6 Councilmember Jones concurred with Councilmember Hodges and added that there should be concern for the future; that even though interest rates did drop today, the matter could be reviewed during the next quarter; that there is some question on the basis of the funding decision; that while he personally supports both groups, he is not comfortable with the funding. Councilmember Oden stated that the opportunity to support the partnerships is now; that the youth and the seniors need a safe place to go and one that they want to go to; that in the past the City was unable to assist the organizations; that both organizations assist the City in many ways and added that the City needs to step forward and show its support for both organizations. Councilmember Reller-Spurgin stated that the two donations do need to be understood as one-time donations and not an on going guarantee. Mayor stated that one measuring stick of a Community is the services it provides; that Corporations do examine the quality of life before locating in a City; that the Centers do not discriminate in their services due to age or economics, but serve all; that the Centers have survived many years and give good service; that both Centers have been creative in operating budgets; that the funding is an investment back to the Community; that the service is essential and best provided by the two Centers; and added that the City does not provide like services. Resolution 19971 as recommended ($87,000-Mizell Senior & PS Youth Centers) was recommended; after which, it was moved by Oden, seconded by Reller- Spurgin and carried by the following vote that R19971 be adopted. AYES: Oden, Reller-Spurgin and Kleindienst NO: Hodges and Jones. ADDITIONAL LEGISLATIVE ITEMS: 10A. 2000-01 FISCAL YEAR BUDGET AMENDMENT Recommendation: That the Council amend the fiscal year 2000-01 budget to provide up to $5,000 for improvements to the Large Conference Room in City Hall to be funded from the Fiscal Year 1999-00 operating funds surplus. City Manager reviewed the staff report and added that the curtains are of commercial grade; and that it will last a significant amount of time. Councilmember Hodges stated that the reserves are being chipped away and added that the Council needs to be aware of possible future budget impacts; and questioned the amount of surplus being expended. Director of Finance & Treasurer stated that originally there was a $2 6 million surplus; that $1.1 million was moved to reimburse the Wastewater Treatment Plant. Mayor clarified that the cost for this item is actually within the City Manager's authority for approval. Council Minutes 01-03-01, Page 7 City Manager stated that the Council has held discussions for the renovation in the past; that the expenditure is significant and that the Council should be aware ' of the cost of upgrades. Councilmember Reller-Spurgin questioned the area to be curtained. Mayor stated that in discussions with staff, it has been indicated that more studio space is needed; and that the proposed recommendation would allow the area to be used as a studio and is a reasonable request. Councilmember Hodges stated that while televising of meetings is very desirable; the issue of funding televising improvements should be addressed at the quarterly budget session. Councilmember Oden stated that previous discussion did allow for funding requests upward to $500.000; that the total being recommended is well below that figure; and added that safety and convenience should be considered. Resolution 19972 as recommended was presented; after which, it was moved by Oden, seconded by Kleindienst, and carried by the following vote that R19972 be adopted. AYES. Oden, Reller-Spurgin and Kleindienst NO: Hodges and Jones. 10B. NEW WEST ENERGY ' Recommendation: That the Council receive a briefing from New West Energy relative to rulings that the California Public Utilities Commission may make regarding Southern California Edison's application to initiate a Rate Stabilization Plan and rate increase which may effect Palm Springs Energy Service's ability to provide competitive electric energy to its customers and consider action in response to the CPUC rulings. Assistant City Manager reviewed the staff report and introduced Robert Nichols and Frederick Burmedess, New West Energy. Mr. Nichols gave a power point presentation, copy on file in Office of the City Clerk; and added with the increased costs it would not be to the advantage of the Citizens of Palm Springs to be members of New West Energy; that New West Energy is requesting the agreement between the City and the Corporation be suspended until a future date; that it has been projected that SCE could raise rates as high as 60%, and that the Corporation does not have the protections offered to SCE and would result in its rates being increased even higher; that the partnership has operated with the goal of being a better value than SCE; that many efforts have been put forward to partner with the City in a positive fashion, but with the crisis looming, the Corporation can not be the partner it wishes to be with the City and recommended the agreement be suspended at this time. ' Mayor stated that the report is appreciated; that PSES has stood by the City; that the rates have remained below SCE rates; that the commitment to� provide service to the Community has been proven over and over; that PSES has generously supported the Community, not only in its service, but contributions to various parades and has been a good partner to the City; that the crisis facing the residents of California regarding energy will not be easily solved; that Council Minutes 01-03-01, Page 8 certainly PSES can not solve the situation by itself, that it is clear that the ratepayer will have to pay for the crisis facing the State; that State leaders should have seen this crisis coming and have done nothing to curtail it; that now there is a threat to the livelihood of the State; and that hopefully the partnership with PSES can be renewed in the future. Assistant City Manager stated that approval of the proposed Minute Order would also include New West Energy transitioning its customers back to SCE. Mayor stated that personally he would rather pay PSES higher rates than return to SCE; that deregulation was supposed to free the citizens, but rather the citizens are seeing a system that has failed; that those in charge should have seen this coming; that even though the City of Palm Springs adamantly opposed the State's position, it was not listened to and this is the result. Councilmember Reller-Spurgin stated the crisis will result not only in people and corporations moving from California, but some will die; due to the situation. Mayor stated that a trickle effect will happen; and riot only will electricity costs rise, but all service costs. Councilmember Hodges stated that even though the situation is understandable for PSES, in her opinion, she must vote no in protest of the partnership being suspended. Minute Order 6776 as recommended was presented; after which, it was moved by Reller-Spurgin, seconded by Oden and carried by the following vote that MO6776 be adopted. AYES: Jones, Oden, Reller-Spurgin and Kleindienst NO Hodges. ADDED STARTERS None REPORTS & REQUESTS: DEPARTMENTAL reports or requests-Received & Filed 11. Treasurer's Investment Report — November 20, 2000 CITY COUNCIL reports or requests Mayor Kleindienst: Requested a report regarding status of Downtown light standard surplus. Councilmember Oden: Requested reflectors be installed on the Vista Chino & Sunrise median; and added that action needs to be taken by the City for some type of recognition of Sonny Bono's contributions to the City. 12, Rent Review Commission vacancy: Mayor appointed Mr. Michael Holzman to the 6-30-01 term; after which, the Council ratified the appointment. Council Minutes 01-03-01, Page 9 ' PUBLIC reports or requests Ron Miller, stated that there are many unanticipated demands on the budget; and lawsuits could be avoided if questions were asked periodically by the Council. STAFF reports or requests City Manager stated that applications are now available for CDBG funding and that January 27, 2001 has been set for the James O. Jessie Desert Highland Center dedication. ADJOURNMENT: There being no further business, Mayor declared th ie ting adjourned. PATRICIA A. SANDERS City Clerk