HomeMy WebLinkAbout2001 - MINUTES - 8/16/2001 CITY OF PALM SPRINGS
CITY COUNCIL MINUTES
AUGUST 16, 2001
' An Adjourned Regular Meeting of the City Council of the City of Palm Springs, California,
was called to order by Mayor pro tem Oden, in the Council Chamber, 3200 Tahquitz
Canyon Way, on Thursday, August 16, 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 Hodges, Reller-Spurgin, and Mayor pro
tem Oden
Absent: Councilmember Jones and Mayor Kleindienst
The meeting was opened with the Salute to the Flag.
REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in
accordance with Council procedures on August 10, 2001.
REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION
(All Entities) - See items on Page 3 of agenda this date.
PRESENTATIONS: None
HOUSING AUTHORITY: INDUSTRIAL DEVELOPMENT AUTHORITY: FINANCING
AUTHORITY: COMMUNITY REDEVELOPMENT AGENCY- No Business
' PUBLIC COMMENTS:
Philip Tedesco stated the abatement procedure needs to move ahead on the Biltmore
Hotel.
Harold Stone 2980 Plaimor, voiced opposition to the Ocotillo Energy Plant; and added
that the AQMD reports indicate an off-set of mitigating credits; that the credits can go
anywhere; that the result will be emissions in our air; that credits will not reduce the air
pollution put out by the plant; and that it is wrong to allow the plant to be developed.
CONSENT AGENDA: None
PUBLIC HEARINGS:
1. CASE 5.0874B - OCOTILLO ENERGY PROJECT
Recommendation: That the Council amend the Zoning Ordinance to allow
natural gas fueled electrical generation in the "E-I" Energy Industrial Zone; and
review of the California Energy Commission application for certification of a
proposed facility located within a 75 acre site north of Dillon Road, east of Diablo
Road, Zone E-1 and W, Section 9, R4E, SBBM.
City Manager read a prepared statement, and added that the purpose of the
meeting tonight is to generate comments regarding the placement of the project;
that there is a State crisis regarding energy; that tonight will not finalize any
action by the City; that there is not a full compliment of Members of the City
Council Minutes
08-16-01, Page 2
Council present; that the meeting will allow for additional comment regarding the e
proposed project; that there are many questions yet to be answered; that an
independent consultant will be hired to interpret the environmental documents
generated regarding the proposed plant; that the hearing will be continued to
September 5 to a regular meeting; that the full Council will be present at that
meeting; that the final information needed for Council consideration should be
available; and that another opportunity for the public to express its opinion will be
given.
Director of Planning & Building stated that the matter for action tonight is
consideration of first reading of a possible zoning amendment and a Resolution
designating findings regarding the proposed plant; that a number of additional
plants could be placed in the area; that there are no other applications pending
at this time; that the first reading of the Ordinance is recommended with
additional information to be forthcoming for Council review; that the information
requested by the Council should be provided before the proposed second
reading of the Ordinance; that there are some issues that are State level; that
the City of Desert Hot Springs has expressed concerns with the CEQA process;
that the California Energy Commission should address those concerns; and that
the permitting process does fall under State jurisdiction.
Mayor pro tem stated that the meeting was called in response to a request by
InterGen.
City Manager stated that InterGen did request a meeting to outline the process
and to allow further public comment; that tonight the Council is being requested
to consider first reading of a Zoning Amendment; that the hearing is requested to
be continued to September 5, 2001 and that no further action is being requested.
Director of Planning & Building stated that the Ordinance Amendment being
considered is to amend the zone to allow natural gas fueled electrical generation
in the "E-1" Zone; that the "e-1" zone already exists, but the proposed
amendment would allow natural gas fueled electrical generation to be added to
the existing allowances.
Mayor pro tem questioned what is the process of approval of the project.
Director of Planning & Building stated that the Planning Commission will make
recommendations to the Council for consideration regarding the site
development and that the rest of the permitting process is through the State.
Mayor pro tem clarified that the action before the Council is an amendment to
the Zoning Ordinance and not approval of the project.
City Manager stated that much more information is needed before the Council
will be asked to consider the item; that the action tonight is merely a first reading
of the Zoning Ordinance amendment; that the State does have the project on a
"fast Track; and because of the intricacies of the project, the City will hire an
independent consultant to interpret the environmental impact reports for the City.
Council Minutes
08-16-01, Page 3
' Councilmember Reller-Spurgin stated that one of the reasons for requesting the
meeting was that at the last meeting the item did not come up for discussion by
the Council until 1"30 a.m.; that it is not fair to the Council, nor to the people it
represents to try to discuss an item of this magnitude at that hour; that InterGen
did also request the meeting for tonight; that the reputation of the City is not
being business friendly;' that when someone wants the City to listen the Council
does need to make itself available to hear the information; that if this project
moves a mere 60 feet into County land, the process will begin again and no
longer be in a fast track process; that the action before the Council is for land
use related only; that personally she is not an air quality expert; that the AQMD
is; that the AQMD representatives are in the audience; that the project is not
about money for the City, but about is it appropriate at this location and if there
are any long term effects; that the Members of the Council need to listen and let
the experts tell the City what the results of the studies are.
Mayor pro tem questioned the lead for the project.
Director of Planning & Building stated the State of California Energy Commission
would be the lead agency to authorize the permits; that the City is being
requested to amend the Zoning Ordinance; that the first reading tonight will
assist in moving the project along; that there will be additional information given
to the Council as it becomes available; and that the plan is for the plant to be
operational by the upcoming summer.
' Mayor pro tem declared the hearing open.
Tom Mulhall, Terra Cotta Inn, read a prepared statement on behalf Sherry
Johnson, of the Indio Chamber of Commerce that did request that the matter be
continued for further study; and added that careful consideration should be given
to the air quality impacts the project would produce.
Mayor Matt Weyuker, Desert Hot Springs, stated that the City of Desert Hot
Springs will be the City that will be most impacted by pollution; that studies have
indicated that the wind will carry the pollution directly to the three schools located
in the City; and added that the matter needs additional study before any action is
taVen.
Arthur Lyons, Palm Springs, stated that the project is an opportunity for the City;
that in fact a lot of opportunities have escaped the City over the years; that if the
City does not approve the zoning amendment, the project will merely move about
3,000 yards and locate in the County; that the City will still have the impacts, but
lose any possible revenue related to the project; and added that it may be that
the City of Desert Hot Springs is awaiting the opportunity to move the plant to its
City.
William Vasta, 5301 Waverly, stated that this is an opportunity for the City to
explore its options; that any decision should not be made in haste; that the State
is no longer under the threat of blackouts; that the power plants that have been
closing are due to maintenance, not lack of power; that there is plenty of land
available that is not close to residential areas available to locate the plant; and
that it is an illogical impulse for the City to buy a power plant.
Council Minutes
08-16-01, Page 4
William Thomas, Desert Hot Springs, stated that there are alternatives to this
type of plant, such as solar powered plants that produce no pollution; that the
State is spending millions on renewable energy programs and would assist a
solar plant with its funding; and that a plant of this size could cause major
pollution problems in the Valley.
Tom Suitt, Palm Springs, stated that balance is needed to make a decision; that
there is a lot of confusion and unanswered questions regarding the plant; that
more information is needed to help educate the public; that the City does need to
hire experts to interpret the information gathered regarding the plant and report
the findings back to the Council.
David Hoopes, Desert Hot Springs, stated that the new motto for the City of
Desert Hot Springs is "Clearly above the rest; that due to the higher elevations
of the City and the wind of the area, it is clear that this City will be the most
impacted by pollution; that the airborne pollution will be in excess of AQMD
regulations; that the plant will not only impact the air quality but add to humidity
and deplete the water tables; and that the City of Palm Springs should reject the
issue.
Betty Wallin, Desert Hot Springs, stated that the City, of Palm Springs should
deny the zoning request due to the impact to Desert Hot Springs.
Harold Stone, 2900 Plaimor, presented information to the Council containing
information from the CEC and SCAQMD, copy on file in Office of the City Clerk,
and added that the people have not endorsed the proJect; that the people would
be willing to pay more in taxes, rather than have the plant built; that the State is
not in a power crisis; that the State is selling power it bought for $236/megawatt
for $1/megawatt; that if there were a shortage, the State would not be selling
surplus; that the applicant requests a special meeting with the Council and one is
called; that being business friendly does not mean approving everything that a
business proposes; that the independent consultant should be able to answer
many questions regarding the environmental impacts for the City and urged the
City Council to wait until all information is received.
Steven Bayrd, Whitewater, stated that the bigger picture needs to be examined
and that the bigger picture is that most of the pollution the valley will receive will
be coming from the west, not generated by this plant.
Shari Joseph, 401 S. El Cielo, stated that there are questions that are
unanswered, such as will the heat add an adverse impact on the generated
pollution; that this type of pollution will reduce the visual beauty of the Valley and
the agricultural yields; that the so called energy crises is now questionable; that
the profits will go to Shell Oil Company, InterGen and the City of Palm Springs;
that this plant is premature; that if the plant were so good, there would be no
need to promote community benefits; that the City Council should be the
guardians for the health and welfare of the citizens; and that should the Council
approve the zoning amendment, every breath of every citizen will be affected.
Council Minutes
08-16-01, Page 5
' Nancy Stuart, 1037 Tamarisk, stated that it was wise for the Council to call the
meeting; that the decision must be careful and made with information; that
options need to be left open and approve the first reading of the zone change.
Joan Heredia, Santa Barbara, URS Corporation, stated that the company was
the agent to prepare the EIR regarding the plant; that the company does
consulting work for both private companies and public partnerships; that the full
EIR has been submitted to the CEC; that it does address all environmental,
health, visual and noise issues; that the comments regarding the long term
effects are appreciated; that URS does stand ready to assist the City and its
consultants in the interpretation of any documents; that there will be some visual
impact from 1-10; that the plant will have motion detection lighting; that there will
be an increase of humidity of .06 percent; that the amount of increase should not
be perceptible; and that the plant is state of the art technology.
Victor Cohen, 1011 E. Sierra Way, stated that there is strong opposition from
those who oppose everything; that the State is in a power crisis; that everyone
wants power, but most do not want the plant located in their backyard; that the
proposed plant will help the City in its growth; that it will assist the City financially;
and requested the action be approved.
Theresa Covey, North Palm Springs, stated that the location of the plant is
questionable and added that the plant would be located in a flood plain.
Barbara Grumbine, North Palm Springs, stated that the air impact on Joshua
Tree Monument is not mitigatable and that the Council should deny the action.
Wendie Busig-Kohn, 591 N. Belardo, presented a Los Angeles newspaper article
and requested that Member Hodges review it.
Tomas Covey, North Palm Springs, stated that the citizens have stepped up to
the plate and conserved energy; that there have been no blackouts thus far this
summer; that there are procedural questions such as will this hearing be
continued, will testimony tonight preclude any further testimony at a future
hearing, has the City Attorney reviewed the recommendation, how many times
can the Council vote on this matter; and added the reason there are no plants in
Baldwin Hills, or South Gate is that the people sent the Governor back to
Sacramento.
Philip Losey, Cathedral City, stated that the moral high ground is if we want
others to adopt new technology to assist in clean air emissions, then we must do
so; and that this plant does promote clean technology.
Joyce Manley, Whitewater, stated that the homeowners are concerned over the
lack of care for the Whitewater area; that this is the area that will bear the brunt
of the pollution; that there are not enough credits to offset this type of pollution;
' and that based on newspaper articles, there is no need for additional plants at
this time.
John Cotton, North Palm Springs, stated that Palm Springs may become an
Industrial City rather than a resort with the approval of this matter; that there is
Council Minutes
08-16-01, Page 6
no reason to hurry the decision regarding the plant; that: the plant will be located
330 feet from his residence; that no one that close to the plant would be
supportive of the issue; that there are many questions that need to be answered;
that it is still up in the air whether the State can supersede the Council's decision
regarding the zoning; and requested denial of the issue.
Marian Harvey, Latham & Watkins, representing InterGen, stated that this
process is somewhat different than most; that typically the City would be the lead
agency for the development of a plant in its City boundaries; that in this case the
CEC will be the CEQA and permit lead agency; that Phase I of the CEQA has
been completed; that the Phase does include environmental issues that are
under review by the CEC; that the staff assessment of the CEQA should be at
hand by the end of the month; that the review will be objective; and following the
review there will be a number of hearings for detailed analysis to be given.
Sharon Lock, 1517 Sagebrush, stated that there are concerns with the matter
being fastracked; that there is time for the information to be examined and to
request an independent analysis of the data; that there is a question of air quality
impact; and that the decision made should not compromise the current or future
residents of the City.
Jim Stuart, 1037 Tamarisk, stated that the bottom line is that the plant is coming;
that the plant will be located in Palm Springs or in the County of Riverside; that
the action before the Council at this meeting is a first step; that each citizen has
his own view on the matter and the need for the City to bring an independent
consultant is paramount; that there will be benefits from the plant; that there may
be legislature passed regarding those Cities that have plants will not suffer future
blackouts; that South Gate and Baldwin Hills would have required power lines to
run over residential homes; that in this case that would riot happen; that the
location is perfect for the power plant; that it has been said that the plant will
produce less pollution than is currently being generated on the streets at this
time; that with the approval the standards of the industry may change to place
tighter regulation on the western located plants; and that should the City endorse
the project, there should also be some type of guarantee with the approval, such
as a reduction of kilowatt hours for the citizens.
Bob Hren, InterGen Vice President, thanked the Council for the meeting to allow
additional input; that it is difficult to address all the concerns in the time
permitted; but that all concerns have been noted and will be addressed; that the
CEC has held on public hearing in Palm Springs; that the findings and
documents are available at the City's library; that there does seem to be a lot of
confusion on the issue; that before the Council tonight is just the zoning
amendment; that the actual fate of the plant will be decided by another process;
that experts are reviewing all the data connected with the proposal; that the data
is complex; that there were many comments made by Desert Hot Springs
citizens; that there have been studies performed regarding the wind path and
intensity; that it has been found that the impact will be less than 4% of the time;
that there are concerns with the present amount of PM10 in the Valley; that
InterGen is looking for ways to reduce the PM10 impact in the valley; that the
offset of the PM10 will help reduce the impact of the pollution; that all Agencies
are being worked with; that this plant is state of the art; and that the findings do
Council Minutes
08-16-01, Page 7
' show that the bottom line will be with the approval of the plant and employing
mitigating measures there will be reduced emissions in the valley.
Martha Gilbreath, 2040 E, Calle Lileta, resident for 45 years; stated that it is
wrong for this issue to be held in the month of August; that there are many that
are on vacation during this time; that the only barrier between InterGen and the
Coachella Valley is the zone change; that it is questionable why a plant would be
located in an area where the air pours through the pass; that it would be better to
build the plant in the lower end of the valley; that there are not as many people to
be impacted; that the Torres Martinez Tribe is already building a power plant;
that the 2% increase to the City's budget from the revenue of the plant will not
compensate for 50 years of pollution; and that the final point is that a smog
producing plant should not be allowed at the wind entrance of the City.
Tony Hoetker, Palm Springs, stated opposition to the plant; that the air quality at
this time is poor; that this type of decision should not be rushed; that all citizens
should be involved in this decision; and that the Coachella Valley is known as a
recreational destination and not as an energy-producing destination.
Joy Meredith, no address given, stated that the accelerated process for this
project is uncomfortable; that there are a number of questions that are
unanswered such as how much money is our air worth; that the benefits to the
City have not been given, other than monetary; and requested that Council not
' fast track the issue.
Frank Tysen, no address given, stated that 30 years ago two oil refineries
wanted to locate in the Banning/Beaumont area; that fortunately the Regional Air
Pollution Authority was formed and that the refineries did not happen; that there
is a question of the City's priority, whether the City should be a major industrial
center or a quaint resort community with tourism based on clean air; that the
question of being business friendly is based on who, the power plant
representatives or the hotels in town, and that the Council does need to
remember who it represents.
Daryl Gilbreath, 2040 Calle Lileta, stated that the State is under pressure for
energy; that the plant could be located in Mecca or Thermal; that InterGen is
playing hard ball with the City; that if the threat is that the City approves the
zoning change or it will locate elsewhere, the sentiment is good riddance; that all
the facts have not been given; that there will be a visual plume constantly in view
of the City; and that the Council should do the sensible thing and turn the
amendment down.
Fred Noble, no address given, stated that truth is often the casualty of passion;
that there have been several hours of opposition testimony given and the
applicant allowed about 10 minutes; that the applicant has not been allowed the
opportunity to refute any of the testimony; that all need to understand that to
' deny the zoning change will kill the power plant; that at the best, most plants
operate with 50-60 parts of NOX; that this plant has a 30 — 40% improvement
over those numbers; that with the mitigating measures the air quality will be
improved; that currently tourism is down based on the threat of blackouts; that
rates will not come down until supply comes up; that if the State reverses itself
Council Minutes
08-16-01, Page 8
on direct access, the City will have the salvation for tourism that is beyond any
tax benefit InterGen will give; and added that if the matter is placed on a slow
process, the project will be over.
Ralph Thornton, no address given, stated that one of the themes tonight is that
business, money and growth is evil; that not all in the City think so; that all are in
this City because of the ability to make money; that safeguards do need to be set
in place, but that it does need to be realized that the biggest polluter is people;
and that the bottom line is that if you want to get rid of pollution, then get rid of
people.
Carrie Allen, no address given, stated as a previous Planning Commissioner she
was vigoursly opposed to wind mills; and that the opposition was wrong; that
over the years the City has been accused of being unfriendly to business; and
that in this case the first step should be taken tonight and the debate allowed to
be continued.
Joan Sanca, no address given, stated that the zoning change should not be
granted; that the City does have power now; that as time goes by, more solar
energy will be used; and that the citizens should be listened to.
There being no further appearances, testimony was concluded and the hearing
continued to September 5, 2001.
Mayor pro tem requested the Director of Planning & Building to explain the
CEQA process.
Director of Planning & Building stated that the process is controlled on the State
level; that the CEQA will contain all the information that a local CEQA would
contain; and that when the final document becomes available, a copy will be
provided to the library for public review.
Councilmember Hodges stated that there has been a lot of information given at
the meeting; that it is important to allow as much public testimony as possible
regarding the project; that there has not been pressure; on her to approve the
project; that the only request has been to consider the project; that time must be
allowed for the Members to process the information that has been given; that
while everyone wants power, we must also think of the future; that it has been
said that if the City denies the project it will move just a few feet to the County of
Riverside property; that the statement does need to be verified; that the process
tonight is to allow the public to speak and to continue to consider the project
while additional information and clarification is sought.
Councilmember Reller-Spurgin stated that overall the topic; tonight is that the
Council should do the right thing; that the Members of the Council always do
what they think is the right thing for the City; that none feel that their decision is
wrong or not in the best interest of the Community; that the voting by the Council
is pure; that with this issue, doing the right thing for one member, may not be the
same right thing for another member; that at this time the: City Attorney, InterGen
and CVAG are working to see if direct access is possible; that the issue is of
great importance to the residents; that the cumulative effect of the various
Council Minutes
08-16-01, Page 9
' powers being proposed in the Valley is also being evaluated; and that right now
the right thing to do is allow time for questions to be answered.
Mayor pro tern stated that there have been no threats given regarding the
project; that the City does have a responsibility to assist the State through the
energy crisis; that the entire State has been affected through its tourism due to
the power crisis; that the AQMD will do the job that it should; that the bottom line
is that there is no amount of money available to sacrifice the quality of life for our
Community; that there have been several plants proposed in the Valley; that the
impacts do need to be considered with this project; that there are a lot of
unanswered questions; that the Governor has stated that consideration would be
given to direct access to those Cities with power plants, and that is a significant
statement; and that over the next few weeks the information and interpretations
should become available to enable the Council to make a decision.
Councilmember Reller-Spurgin requested the Resolution be revised to include
language that approval is contingent on pending information forthcoming from
the CEC and AQMD.
City Clerk read Title of Ordinance as follows:
AN ORDINANCE OF THE CITY OF PALM SPRINGS, CALIFORNIA,
AMENDING THE ZONING ORDINANCE IN REGARD TO ALLOWING
NATURAL GAS FUELED ELECTRIC GENERATION FACILITIES SUBJECT TO
A CONDITIONAL USE PERMIT I THE "E-1" ENERGY INDUSTRIAL ZONE
after which, it was moved by Reller-Spurgin, seconded by Hodges, and
unanimously carried, Jones and Kleindienst absent, that further reading be
waived and the Ordinance be introduced for first reading.
Resolution 20159 as revised was presented; after which, it was moved by Reller-
Spurgin, seconded by Hodges and unanimously carried, Jones and Kleindienst
absent, that R20159 be adopted.
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: None
ADDITIONAL LEGISLATIVE ITEMS: None.
ADDED STARTERS: None.
REPORTS & REQUESTS:
CITY COUNCIL reports or requests
Council Minutes
08-16-01, Page 10
PUBLIC reports or requests
STAFF reports or requests
ADJOURNMENT:
There being no further busi yor prored the meeting adjourned.
PATRICIA A. SANDERS
City Clerk