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HomeMy WebLinkAbout1/1/1994 - CRA MINUTES MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS JANUARY 5, 1994 A regular meeting of the Community Redevelopment Agency of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, January 5, 1994„ at 7:30 p.m. ROLL CALL: Present: Agency Members Hodges, Lyons, Reller-Spurgin, Schlendorf and Chairman Maryanov Absent: None APPROVAL OF MINUTES: It was moved by Schlendorf, seconded by Hodges,and unanimously carried, that the minutes of December 15 and 23, 1993, be approved. PUBLIC COMMENTS: None LEGISLATIVE ACTION: 1. PA2 - APPRAISAL SERVICES Recommendation: That the Agency approve agreement with MacKenzie& Associates, Inc., for appraisal services which may be necessitated for the acquisition of certain parcels within the project area in connection with the future development of a casino within the project area, A324C. (124- City Manager highlighted the recommendation and memorandum of Director of Economic Development. 027) In answer to question by the Agency, the Director of Economic Development stated that although the ' provider was not the lowest bid, all of the proposals were competitive, and that MacKenzie& Associates experience was a heavy factor in the selection of the firm. Res 911 approving the agreement, as recommended, was presented; after which, it was moved by Lyons, seconded by Reller-Spurgin, and unanimously carried, that R911 be adopted. 2. PA1B2 (TEXACO SITE) - AMERICAN OPEN AIR MARKETS LEASE Recommendation: That the Agency approve a lease agreement for Agency-owned property at 395 N. Palm Canyon (aka the Texaco site) by American Open Air Markets, for the development and operation of The Palm Springs Farmers Market, subject to final approval by the City Attorney, A325C. Jury Ogbum,consultant, reviewed his memorandum outlining proposal to lease the former Texaco site for an open air market, consisting of 7 carts and 15 booths, for which the design and color will fit into the village theme, and stated that the merchants in the block are very pleased with the project; that only natural (124- food products, one beverage cart, and possibly one bakery cart will be provided; that a kiosk is proposed 007) to provide information for downtown activity; that it the market will operate 4 days per week, coordinated with Villagefest, and if successful, will operate Thursday through Sunday, November through July 4; that there is no Agency money involved; that the developer is responsible for all on-site improvements and upgrades; that parking requirements have been met; that the adjacent property owner to the south has agreed to allow use of its rest rooms by the vendors, and permanent public rest rooms will be part of the "heritage trail" project that the market will require a land use permit, of which one condition will be a detailed review of awnings and the developer is not opposed to that, and a condition that it be a certified farmer's market, which the developer has asked that it be waived. He stated that the problem with the certification is that it only allows products which are grown and sold by the provider, and since the growing ' season is opposite the desert season, staff thinks it would be more successful if this were not a requirement, and feels that the Planning Commission concern of providing fresh, quality fruits and vegetables can still be accomplished; that the developer has asked for a one-year contract, with two one-year options, and staff agrees with the request; and that lessee agrees to a per month per vendor utility charge to be paid to the City. CRA Minutes 1-5-94, Page 2 2. PA1B2 (Continued) In response to questions by Council, Mr. Ogburn stated that there are no delinquent taxes on the property; that the on-site improvements include undergmunding utilities, irrigation retrofitting,removal of grass and installation of walking surface similar to that at Amado Park and capable of being traversed by wheelchairs and other carriages; that there is no requirement for auditing sales tax„ in that the rental includes a I% application to cover the City's share of the tax allocation; that information concerning use of pesticides can be included, and staff can be involved in the selection of the vendors, including approval of subleases, recognizing that the objective is to have a high-qualiky, open air market; that there will be no hot food vendors; that the proposed hours of operation (9 a.m. to 10 p.m.) if do-able is the certification is not required, although an 8-hour day would be more realistic, and he felt that time frame could be less stringent; and he recommended approval, with the final language of the agreement in a form approved by the City Attorney, and incorporating Council's concerns. Councilmember Schlendorf stated that she wanted information concerning pesticides included, and that she would like to see the final document. Mayor stated he would like the staff monitoring and standards addressed,and would prefer a one year term, with no guaranteed extensions, but was willing to approve extensions if the project is successful the first year. Councilmember Reller-Spurgin asked that the hold harmless provisions be included in the agreement. Resolution 912 approving the leasing of the site, in an agreement form subject to approval of the City Attorney, and incorporating items discussed, was presented; after which, it was moved by Reller-Spur.in, seconded by Lyons, and unanimously carried, that R9112 be adopted. 3. PAI - FORMER BULLOCKS Recommendation: That the Agency approve amendment to the Disposition. & Development Agreement with Wessman Development Company to accomplish paving of the parking lot, which was an Agency requirement under the existing disposition and development agreement, A309C. Chairman stated he would abstain due to a client relationship, and turned the meeting over to the Vice- Chairman. Executive Director reviewed the details of the memorandum of the Director of Economic Development, noting that the work was to have been done by the Agency, and clue to the purchasing requirements that the Agency must follow, there is not enough time prior to the Harvest Festival to bid the project, award (124- a contract, and complete the work; that staff has negotiated with the developer, who is willing to complete 093) the work, and amend the agreement to provide that he will be responsible for the paving, and that the Agency will make a total payment of$73,5541 to cover the design and improvement. Agency member Hodges suggested that a time limit be placed on the completion of the work, in order to make certain it is finished to meet the Harvest Festival dates. Resolution 913 amending the agreement, as recommended, was presented; after which, it was moved by Schlendorf, seconded by Lyons, and unanimously carried, Maryanov abstaining, that R913 be adopted. 4. PA1 - CHEYENNE CATTLE CO. Res approving payment of sewer connection fees by the Agency, and Res amending the budget to appropriate funds, relative to conversion of former Bank of America Building in the Desert Fashion Plaza to the Cheyenne Cattle Co. Matter withdrawn by Executive Director ADJOURNMENT There being no further business, Chairman declared the meeting adjourned. J) JUDITH SUMiCH City Clerk O off( 6�1 2 D n Y� li%d1NUTES OF COMMUNITY RZPD EV7IELCPMIENT hCE1JCVt CIIT17 OF PALM SPP..IINCS JANUARY 19, 1994 A regular meeting of the Comm ,ity Redevelopment Agency of the City of Palm Springs, California, was called to ordev by Ceainnan Maryanov, in the Cou-ncil Chamber, 3200 Tahquitz Canyon Way, on Wednesday, January 19, 1994„ at 7:30 p.m. ROLL CALL: Present: Agency lAcrabers Hodges, Lyons, Reller-Spurgin, Schlendoeff and Chairman Maryanov Absent: None /aPPI;bCV'AL OF MINUTES: It was moved by 5chlendorf, seconded by Rebee Spu9rgin, and unanimously carried, that the iainnut5s off January 5, 1994, be approved. PUBLIC CG➢1vlMFNTS: None LEGISLATIVE ACTION: 1. PA1133 QRUDNIICK ]BLDG) P.S. iVUUM STREET LEASE, Recommendation: That the Agency approve n lcnse agreement for agency-owned property at 261- 265 N. Indian Canyon by P.S. Main Sere--t, for the development and operation of The Plain Street (124- Station and P.S. City Store, subject to final approval by the City Attonney, A326C. 073) Downtown Development Consultant reported that the building is vacant, and has been off the nmrket for some time; 6Gnat staff recommends the agreement be approved for one year, in light of the proposed garning casino which may seu ve as a catalyst for development along Indian Canyon. ' He explained the terms of the proposed agreemem, as outliner] in his memorandum and draft agreement; and the four findings which the Agency must make. In answer to question by the Agency, he stated that the City store iterns would be donated by the City, sold and 40% of the net return from the sales paid to the City, and the balance would be kept by the lessee, and that the tenant may acquire other items for sale from other resources. Agency member Lyons stated that many cities have found a big market for surplus city items, e.g., signs, and he felt the store will be a fccal point our Indian Canyon. Chaimmam stated that the one year option should he based on evaluation of performance and the condition of the real estate market, and he would like the resolution to reflect that. Agency member Schlendorf stated that "city store" was considered a revenue enhancement for the City,and she did not like restricting the revenue to Redevelopment capital improvements on Indian Canyon., and would like the funds to go to the General Fund and used to pay for city services, since the items being sold were purchased with city funds. it was the consensus to approve revisions as noted; after which, Resolution 914 was presented, and it was moved by Lyons, seconded by Re➢.ler-Spurgin, and unanimously carried, that R914 be adopted. Mayor reconvened the City Council in order to act jointly as the Agency/Council on the following: 2. PA1136 - CHEYENNIE CATTLE COMPANY (MALONE) Consideration off actions to: Amend the Property Improvement Loan Program, under special circamnstances, to interest only paynnents over a 5-year period with a single balloon payment at the end of tine period; and authorize expansion of public improvements and infrastructure extension at the inters Rion of TaN quita and Palma Caguoy n DO Ives, afr a cost of$50,(W- ind annthorire the developer and Public Arts Commission to work together in order to allow the developer to contribute an appropriate on-site sculpture to the Art in Public Places Program, and as satisfaction of tlae 1% public arts few. CRA Minutes 1-19-94, Page 2 2. PAIB6 (Continued) Downtown Development Consultant stated that the deal points of a sublease between the Bank of America and the owner of the Cheyenne Cattle Company have progressed, and are the DeBartolo Corporation, and Agency/City support is being sought before finalizing the sublease; that a high- energy, multi-faceted club is proposed at an improvement budget of$1.461 million, which he described, including replacement of air conditioning, upgrading second floor structure for public occupancy load, significant facade renovation, for which some assistance is being requested, i.e., a property improvement loan; that staff recommends amending the loan program to provide that in cases where there is a major investment, the$25,000 limit be retained but at interest only with one balloon final payment at the end of five years; that it would a fully-secured loan, resulting in a major improvement at the intersection, including outdoor dining and expanding the intersection improvement to include pavers, a sidewalk area with landscaping, lighting, furniture to be owned by the City and allowed in the right-of-way; that a sculpture is proposed at the main entry,with a value of$10,000-15,000,and staff recommends authorizing working with the Public Arts Commission and applying the piece as full payment of the 1% fee; that the improvement will have a high fiscal impact on sales and the building improvements a benefit to downtown; that no general funds are involved, and participation will come from the Tax Allocation Bond proceeds. In answer to question by the Council/Agency, City Attorney stated that the ownership of the art generally is with the City, and that the Commission would work out the specific terms of the agreement, which would come back to the Council for approval. Councilmember Hodges stated she would like the City to own it. Mayor stated that he wanted the City Manager to review financial statements,and that expenditure of funds would only be contingent upon the signing of the sublease. Resolution 915 and Resolution 18272 were presented; after which, it was moved by Schlendorf, seconded by Lyons,and unanimously carried, that R915 and 18272 be adopted, subject to striking proviso that funds would be restricted to capital improvements, and.adding that option to renew would be subject to performance and market evaluation. ADJOURNMENT There being no further business, Mayor declared the meeting adjourned. JUDITH SUMICH Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS FEBRUARY 2, 1994 A regular meeting of the Community Redevelopment Agency of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, February 2, 1994„ at 7:30 p.m. ROLL CALL: Present: Agency Members Hodges, Lyons, Reller-Spurgin, Schlendorf and Chairman Maryanov Absent: None PUBLIC COMMENTS: None LEGISLATIVE ACTION: 1. PA61315-16 PALOS VERDES VILLAS OPA FUNDING Recommendation: That the Agency amend the budget to appropriate $1,019,541 from the Housing set aside funds to pay for costs pursuant to owner participation agreement with Palos Verdes Villas, Inc., A299c;and determine the use of the funds within the North Palm Canyon (124- Project Area is a benefit to the Project Area and the community as a whole, and necessary to 096) effectuate the purpose of the Agency's Housing Plan. (124- Housing Specialist reviewed the Memorandum of Director of Economic Development, and 080) noted that all documents have been signed, and the project is ready to move ahead. Resolutions 916 and 917 were presented; after which, it was moved by Reller-Spurgin, seconded by Hodges, and unanimously carried, that R916 and 917 be adopted. 2. PAI FORMER BULLOCKS SITE -PARKING FACILITY LIGHTING FIXTURES Recommendation: That the Agency amend the budget to appropriate $19,100 to purchase 6 parking facility lighting fixtures,under purchase order with Delta Lighting Systems, Inc., and amendment to the Disposition & Development Agreement (parking lease portion) with Wessman Development Company regarding interim and permanent development of the former Bullocks site (A309). (See Council Item 15 to appropriate the foods from the Parking Fund to the Redevelopment Fund). Chairman stated he would abstain due to a client relationship, and turned the meeting over to the Vice Chairman. Downtown Development Consultant Ogburn reviewed his report, and stated that the Agency approved an amendment to the development agreement on January 5„ and that the source of (124- funding is from the Parking Fund, which is restricted to meeting parking needs; that a suitable 093) lighting fixture was to be provided by the City, and the cost to be included in the amendment; that the proposed solution is a permanent solution and they should be installed at the ultimate (124- point of redevelopment of the site. In answer to questions by the Agency, he stated that the 080) parking Fund balance is between $2.2 and $2.3 million, and that the Agency ultimately will ` own the parking lot. City Attorney stated that the ownership issue has not been concluded, and it is possible that the lot may rest with the City instead, however, the property is currently owned by the Agency. Member Schlendorf stated she would like a report on the Parking Fund and how much has been transferred, as well as loaned or encumbered by the Housing Fund. Executive Director stated that the Parking fund would have to be reimbursed in the event ' housing credits cannot justify expenditure of Housing Funds committed to the project. Resolution 918, as recommended, was presented; after which, it was moved by Lyons, seconded by Schlendorf,and unanimously carried,Maryanov abstaining,that R918 be adopted. ADJOURNMENT There being no further business;_,Ma. or declared th meeting adjourned. ��VDITH SU A Issistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS MARCH 2, 1994 A Regular Meeting of the Conununity Redevelopment Agency of the Cil.y of Palm Springs, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, March 2, 1994, at 7:30 p.m. ROLL CALL: Present: Agency Members Hodges, Lyons, Reller-Spurgin, Schleudorf and Mayor Maryanov Absent: None REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on February 25, 1994. APPROVAL OF MINUTES: It was moved by Schlendorf, seconded by Hodges, and unanimously carried, that the Minutes of January 19, 1994 be approved. PUBLIC COMMENTS: a) Don Frank expressed opinion that public land is being taken for gaining, and that the City is being used; that people want to know more about gaming, and questioned if it has been before the public or in a public hearing, if citizens have been asked if they want it, and if the City was aware of that the Tribal Council does not own the property where the Casino is to be built; that he felt the agreement will costs millions, and time and effort have been, and will continue to be spent by staff on something that is a high risk, and of unknown value; and lie questioned what the impact is on the Post Office, and possible need for eminent domain (See letter he submitted dated 3-2-94 from, Thomas Luebs & Mort re Desert Rail Authority concerning use of Prairie Schooner site). He also commented concerning Item 1, and asked if the Agency consulted with persons in other redevelopment project areas from which funds will be taken to pay the consultant. b) Darrell Meeks questioned how staff could make a recommendation for an outside consultant, even if funds are from other redevelopment project areas, he still (124- considered it money wasted that could be used within those project areas; that outside 025) consultants should not be hired to do department head jobs; and he questioned why this proposal was not budgeted at the beginning of the year. c) Fred Ebeling stated that the Council should be more open and let the community know what it is doing; that the public should be heard; and that lie hoped PSTV is broadcasting the meeting. d) Lee Vinocour expressed opinion that the staff was over-intelligent and therefore outside consultants were not needed; that the City is on a spending spree; that there are many issues which should be placed on the ballot; and that the Council needed to let people into their own lives. LEGISLATIVE ACTION: 1. ECONOMIC &REDEVELOPMENT CONSULTANT Recommendation: That the Agency approve agreement with Rosenow Speveacek Group,Inc., to provide technical and development assistance for economic development and redevelopment activities, not to exceed $75,000. Director of Economic Development reviewed the details of his report, adding that$75,000 is (124- the maximum that would be spent, unless a agreement is made with a developer that it would 025) pay for the analysis and feasibility studies; that it would be redevelopment funds, and not general funds, which can only be spent to',reacb the goals of redevelopment or housing; and that all agreements which the Agency has had in the past for consulting services have expired. Member Lyons stated that he has a problem with the way redevelopment has been funded in the past, and that it has lacked both expertise and need. CRA Minutes 3-2-94, Page 2 1. ECONOMIC &REDEVELOPMENT CONSULTANT In answer to question by the Agency, the Director of Economic Development stated that the Agency would not be paying for both the City Attorney and the consultant to negotiate contracts; that often the director and a consultant for financial assistance and expertise will reach points of an agreements, at which time the City Attorney would write the development ' agreement; that all points of the agreement would be brought to the Agency in closed session for real property discussion, and the Agency would give the final approval. Councilmember Schlendorf stated that the Agency has had to make critical decisions in negotiating other agreements, which the staff could not make; that she thought the preliminary work was a task of the Director of Economic Development, and she did not like increasing staff, and she felt his expertise was why he was hired. Director of Economic Development stated that this kind of fiscal analysis experience is necessary to look at proposals which may come in, or for studies which may be needed to attract a developer; that the Department includes economic development, ten redevelopment project areas, the housing program, CDBG, recycling and public arts; and that when a developer comes with a proposal who wants to negotiate, he did not have the time nor in some cases the expertise to complete the package with the kind of time commitment necessary. Member Schlendorf stated that the City has had feasibility studies done and has not had a problem getting a developer to pay when that kind of work was needed; that the City must run a lean machine and still keep a sense of equity on the kind of demands that are being made on staff citywide. Director of Economic Development stated that he did not think$75,000 out of a $5 million budget was excessive for the kind of expertise that the consultant can bring; that part of Mr. Ogburn's salary and that of the Economic Development Coordinator is paid by the Agency. In response to questions, he stated that the consultant would be used in an advisory capacity in negotiations; that the costs would be covered by the developer in cases of exclusive right to negotiate; that retaining a consultant on a case-by-case basis would require a 60-day time delay each time to solicit proposal; and that the City Manager, under existing policy, can approve a contract for personal services up to $5,000. Member Hodges stated that she would like to table this matter until the Council discusses the budget; that she felt given the budget situation, the City needed to look to removing redevelopment areas and restoring those areas to the General Fund; that it is not appropriate to consider this contract when there are only a few months left of the fiscal year; that the Council may restructure or do something differently, and she did not favor retaining the consultant even if the services are not used; that she thought there would be major changes in many departments, and one might be redevelopment. Director of Economic Development stated that there may be projects before July for which the Agency may want financial assistance, e.g., Ramon-Gene Autry site,or Prairie Schooner; and that nothing need be spent, and anything of significance could be brought to the Agency for approval. Chairman stated that he felt the Agency should be able to consider this when it has a proposal, and tabling it would suggest that the Agency was not willing to consider anything. Member Hodges stated that if a project comes up and the work is needed, the consultant can be hired, but she did not favor agreeing to a retain the consultant. Member Reller-Spurgin stated that if something did come up, it should come to the Agency ' because redevelopment is important, but the City cannot spend money it does not have. It was moved by Hodges, seconded by Reller-Spurgin, and unanimously carried, that this matter be. tabled until budget discussions for 94-95. + 4 a CRA Minutes 3-2-94 Page 3 2. PA2 - TRIBAL GAMING ENTERPRISE Recommendation: That the Agency approve a memorandum of understanding between the Agua Caliente Band of Cahuilla Indians, the City and the Community Redevelopment Agency, concerning the establishment of a Tribal gaming enterprise, A327C (See Council concurrent action, Item 17). Executive Director reviewed the memorandum of the Director of Economic Development, and stated that the Memorandum of Understanding clarifies land assessment, environmental mitigation, participation formula for the City to share in revenues, and development and construction schedule. He stated that the DDA negotiation is proceeding, to provide for the development and sale of parcels. In answer to questions by the Agency, the City Attorney stated) that the agreement provides for encouragement of Indian gaming activities, but is non-restrictive on whatever the City (124) might wish to do in regard to gaming; and that the Desert Rail letter seems to suggest that the City is doing something inappropriate, but the operative language in the letter is that Desert Rail reserves any rights based on prior agreements it had with the City; that it is not clearly stated that they have a problem with the committing Prairie Schooner site,and he did not know of any agreement concerning any property with Desert Rail; and that over time, Desert Rail has hoped to have the right-of-way and draft agreement, and this is the first time this site has been noted, otherwise there is nothing in the way of prior agreements. Chairman emphasized the Tribe's sovereign rights, and under the Federal gaming act, it has the right to move ahead without the consent of the City; that the Tribal Council has been very cooperative with the City, and the negotiations were very smooth, .and mutually satisfactory in the resolutions reached. Members Reller-Spurgin and Schlendorf echoed the appreciation. Resolution 919 approving the memorandum of understanding as recommended, was presented; after which, it was moved by Lyons, seconded by Reller-Spurgin, and unanimously carried, that R919 be adopted. ADJOURNMENT There being no further business, Chairman declared the meeting adjourned. JUDrrH1 SUMICH Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS MARCH 16, 1994 A Regular Meeting of the Community Redevelopment Agency of the City of Palm Springs, was called to order by Chairman Maryanov,in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, March 16, 1994, at 7:30 p.m. ROLL CALL: Present: Agency Members Hodges, Lyons, Reller-Spurgin, Schlendorf and Chairman Maryanov Absent: None REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on March 11, 1994. APPROVAL OF MINUTES: It was moved by Schlendorf, seconded by Hodges, and unanimously carried, that the Minutes of February 2, 1994 be approved. PUBLIC COMMENTS: None LEGISLATIVE ACTION: 1. PA2 - FINANCING - 1984 CERTIFICATES OF PARTICIPATION (HEADQUARTERS HOTEL) Recommendation: That the Agency amend the trust agreements, to allow a substitution of the letters of credit and from First National Bank of Minneapolis, with a letter of credit from Citibank, N.A. and would delete SENCA Palm Springs as a party to the transactions. ' Director of Finance explained the purpose of the transaction, and stated that the action in no ( 124- way effects the City's convention center or its indebtedness, but relates only to the Hotel and 043) its eleven partnerships. Resolution 920 as recommended was presented; after which, it was moved by Reller-Spurgin, seconded by Schlendorf, and unanimously carried, that R920 be adopted. ADJOURNMENT There being no further business, Chairman declared the meeting adjourned. T'- L \_/JUDITH SUMICH Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS APRIL 6, 1994 A Regular Meeting of the Community Redevelopment Agency of the City of Palm Springs, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, April 6, 1994, at 7:30 p.m. ROLL CALL: Present: Agency Members Hodges, Lyons, Reller-Spurgin, Schlendorf and Chairman Maryanov Absent: None REPORT POSTING OF AGENDA: Assistant City Clerk reported that the agenda was posted in accordance with Council procedures on April 1, 1994. APPROVAL OF MINUTES: It was moved by Schlendorf, seconded by Hodges, and unanimously carried that the minutes of March 2 and 16, 1994, be approved. PUBLIC COMMENTS: None LEGISLATIVE ACTION: 1. KEYSER MARSTON CONTRACT AMENDMENT Recommendation: That the Agency extend the contract with Keyser Marston through (133- December, 1994, for financial analysis necessary for the Canyon Development Project 005) and for settlement of the only remaining,lawsuit against the Project, all such costs to be paid by Canyon Development. Mayor stated he would abstain due to a,client relationship. City Attorney reviewed the staff report,,no further report was given. Resolution 921 as recommended was presented, after which; it was moved by Hodges, seconded by Lyons, and unanimously carried, Maryanov abstaining, that R921 be adopted. 2. BUDGET AMENDMENTS Recommendation: That the Agency amend the budget for 1993-94 in various project areas to take into account changes in wages and fringe benefits (net reduction of $3,906) and administrative charges (net reduction of $6,789). (124- 080) City Manager reviewed the staff report, no further report was given. Resolutions 922 and 923 as recommended were presented, after which; it was moved by Lyons, seconded by Hodges, and unanimously carried that R922 and 923 be adopted. ADJOURNMENT There being no further business, Chairman declared the rneeting adjourned. JUDITH SUMICH Assistant Secretary —By: PATRICIA A. SANDERS Acting Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS APRIL 20, 1994 A Regular Meeting of the Community Redevelopment Agency of the City of Palm Springs, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Taluquitz Canyon Way, on Wednesday, April 20, 1994, at 6:30 p.m., at which time, the City Attorney announced items to be discussed in Closed Session, and at 7:30 p.m., the meeting convened in open session. ROLL CALL: Present: Agency Members Hodges, Lyons, Reller-Spurgin, Schlendorf and Absent: Agency Members Mayor Maryanov REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on April 15, 1994. CLOSED SESSION REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION(All Entities)-See items on Page 5 of agenda this date; legal counsel to file appeal concerning decision in matter of Frank Miller, John Miller and Madelyn Miller vs. community redevelopment Agency of the City of Palm Springs, et at, 169228, Sup. Ct Riverside Co, Indio. PUBLIC COMMENTS: a) Carla Kimble(see Item 1.) LEGISLATIVE ACTION: 1. PA7 HOUSING Recommendation: That the Agency approve the sale of Agency-owned property at 1820 E. Racquet Club Road to Alberto Lara, for$110,500, with Agency to pay closing costs. (124- During Public Comments,Carla Kimble,representing the Laras,explained the sale transaction, 055) the basis of the loan, and qualification, and urged approval. Housing Coordinator reviewed the staff report, a copy of which is on file with the City Clerk; and the City Attorney reported that the$3,600 "grant" by the Agency, which was added to the purchase price (original selling price $106,000), normally would require a regulatory agreement, however, in this case, because of Federal regulations associated with the type of loan, there is adequate protection, and many more than the City would have required. Resolution 924 approving the sale, was presented; after which, it was moved by Hodges, seconded by Schlendorf, and unanimously carried, Maryanov absent, that R924 be adopted. 2. BUDGET AMENDMENT - ERAF Recommendation: That the Agency amend the budget to appropriate funds for the payment to the Educational Revenue Augmentation Fund from unallocated find balance of Project Area (124- 10 (Canyon), for a total of$269,245; and appropriating funds therefor. 080) Director of Finance reviewed his report, a copy of which is on file with the City Clerk, noting that there is no leeway in terms of making the payment, since if it is not paid, other city revenue sources would be withheld equal to that amount; and that the City has joined in a suit against the State, however, there is not a lot of progress being made. He also stated that the amount is less than last year because of a change in the allocation formula. City Attorney stated that charter cities may have a better position than general law, however, the legislation includes all cities, and the outcome of the litigation may influence how the State balances its budget. Resolution 925 and 926 as recommended, were presented; after which, it was moved by Hodges, seconded by Lyons, and unanimously carried, Maryanov absent, that R925 and 926 be adopted. �-3341 CRA Minutes 4-20-94, Page 2 3. PAS GENERAL &PA9 GENERAL Recommendation: That the Agency approve the budgets submitted by P.S. Unified School (124- District and COD for PA8 (Baristo) and PA9 (Citywide); and by the Riverside County 066) Superintendent of Schools for PA8 (Baristo), all pursuant to pass-through agreements. (124- Resolution 927 as recommended, was presented; after which, it was moved by Hodges, 098) seconded by Lyons, and unanimously carried, Maryanov absent, that R927 be adopted. 4. PA9A - P.S. SENIOR HOUSING Recommendation: That the Agency approve a disposition&development agreement with P.S. Senior Housing, Inc., aka Cooperative Services Inc., a non-profit corporation, for the , development of a 60-unit affordable senior housing project on Agency-owned property on the (124- South side of Vista Chino, west of Sunrise (originally Conard Cole A259), A329C. 091) Member Hodges stated she would abstain since her residence is within 2500 feet of the subject property. Housing Coordinator reviewed the staff report, and no further report was given. John Sharke of Cooperative Services, Inc., explained the income level qualifications. Resolution 928 as recommended, was presented; after which, it was moved by Schlendorf, seconded by Lyons, and unanimously carried, Hodges abstaining, and Maryanov absent, that R928 be adopted. ADJOURNMENT There being no further business, Mayor declared the meeting adjourned. - JUDITH SUMICH Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS MAY 4, 1994 A Regular Meeting of the Community Redevelopment Agency of the City of Palm Springs, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Tahquitz Carryon Way, on Wednesday, May 4, 1994, at 6:30 p.m. ROLL CALL: Present: Agency Members Hodges, Lyons, Reller-Spurgin, Schlendorf and Chairman Maryanov Absent: None (Note: The Public Continents and Item 1. portions of the minutes are duplicated for clarification as part of the Financing Authority record). PUBLIC COMMENTS: a) Patricia Cyrus, representing Desert Rail Authority, opposed inclusion of the Prairie Schooner site in the plan; that a number of letters have been sent regarding the apparent predetermined decision about the property without competitive bidding or public hearing on the city-owned site; that the action conveys the site without a fair and unbiased hearing; that she objected to giving the proceeds to the gaming project, and that the proceeds, which she estimated at $1.2 - $1.5 million should come back to the City of Palm Springs; that DRA is interested in purchasing the lot for a station which would directly benefit the residents and business and she urged a no vote on this matter. LEGISLATIVE ACTION: 1. REFINANCING OF 1987 CBD BOND ISSUE; OF PORTION OF 1991 SERIES B ISSUES; AND NEW ISSUANCE IN PA2 (TAHQUITZ-ANDREAS)OF A NEW DEBT ' Recommendation: That the Agency authorize the refunding of the 1987 CBD Tax Allocation Bonds and the 1991 Series B Tax Allocation Bonds, excluding the Housing Fund portion, and the issuance of new debt for the Tahquitz Andreas Project area, for a total authorization not to exceed $26 million, at an interest rate not to exceed 8%, (1994 Series A Tax Allocation Bonds), and approve a Fiscal Agent Agreement, Escrow Agreements, Official Statements, and a Commitment Agreement and Purchase Contract, authorizing the Executive Director to set the final terms of the sale of the bonds, approving the payment of costs of issuing the bonds and making certain determinations related thereto. In answer to question by the Chair, City Attorney stated that regarding the statement by Ms. Cyrus, he has had letters from her regarding Desert Rail Authority's plan, and has indicated that the Prairie Schooner site is under discussion in terms of gaming and critical to the Tribe to snake it happen, and without the site, gaming probably would not go forward; that there is no determination being made this date by any of the agencies to a commitment of that property to the project; that negotiations are in progress with the Tribe on a development agreement, which cannot be final until after a public hearing thereon by the Agency; at which time, the Agency may consider all testimony and decide whether to go ahead; and that the proposed actions are distinct from that consideration. In answer to question by the Agency, Director of Finance reported that the site is already encumbered relative to the convention center bond issue, and the new issue would provide funds to relieve that encumbrance. He reviewed his memorandum, explaining that future tax increment from the Tahquitz-Andreas Project area would be pledged to secure the bond issue; that the overall reduced savings should be about $1.8 million, contingent on the interest rate at the time of sale, which will be used for land acquisition and other expenses related to the gaming casino; and that there is no general fund obligation involved, and the issue is similar to a home refinancing. In answer to question by the Agency, he explained how insurance of time issue is related; and stated that the actions of the various agencies would authorize the sale, however, until the Council holds a TEFRA hearing, such actions are not final, but allow the staff to do the preliminary work to move forward quickly on interest rates. CRA Minutes 5-4-94, Page 2 1. REFINANCING (Continued) Assistant City Attorney Marticorena amplified on the same question, noting that during the interim, staff will be dealing with the rating companies and the insurance companies, from the assurance that the Council generally is supportive and recognizing the limitation on the action. Agency Member I-lodges stated that she would vote against the tecormnendation, because she did not think it proper to act prior to the public hearing, and it appears the Agency is not paying attention to the public input. Chair stated he disagreed since the process is only being stated, and the Council will weigh all information as part of the hearing. Resolution 929 (Agency) and Res 10 (Financing Authority)as recommended, were presented; after which, it was moved by Lyons, seconded by Schlendorf (Agency), and moved by Schlendorf seconded by Lyons (Authority) and carried by the following vote, that R929 and R10 be adopted: AYES: Lyons, Reller-Spurgin, Schlendorf, & Maryanov NO: Hodges ABSENT: None 2. PA1 - UPDATED DOWNTOWN PARKING IMPLEMENTATION PLAN Recommendation: That the Agency approve a scope of services with Kimley-Horn and Associates, Inc., for $34,800 to update, expand and further detail the 1992 "Palm Springs (124- Downtown Parking Implementation Plan" subject to an agreement in a form acceptable to the 025) City Attorney; and amend the budget to appropriate $34,800 from CBD fund balance (See Council action this date to appropriate said amount from the Parking Fund to the CBD) to (124- provide funds therefor, A330C. 080) Downtown Improvement Director reviewed his memorandum, a copy of which is on file with the City Clerk, stated that since the completion of the analysis in 1992, a number of changes have occurred, including the Palm Canyon Drive improvements, and the casino project, which indicate a need for an updated forecast; that the new analysis will focus on the financial feasibility of two parking structures of approximately 460 spaces,and update the plan in light of changed conditions in order to secure bond financing for such structures; and that pay for parking will also be looked at. In response to question by [lie Agency, he stated that the study does not include two-way traffic analysis on Indian Canyon. City Manager stated that it will be looked at in terms of an intermodal study regarding heavy rail, possibly 90 days from now to start the process, and grant funds will be explored. Resolutions 930 and 931 as recotmnended, were presented; after which, it was moved by Lyons, seconded by Hodges, and unanimously carried, that R930 and 931 be adopted. CLOSED SESSION City Attorney announced Closed Session Items (See Page 5 of agenda of this date.) After which, members convened in Closed Session in the Small Conference Room at 10:40 p.m.; and reconvened in the Chamber at if p.m.; all members present. CLOSED SESSION REPORT City Attorney reported on matters discussed in closed session, as all entities - see items on Page 5 of agenda this date; and that there were no actions taken. ADJOURNMENT There being no further business, Chair declared the meeting adjourned. f JUDITH SUMICH Assistant Secretary MINUTES OF - COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS June 1, 1994 A Regular Meeting of the Community Redevelopment Agency of the City of Palm Springs, was called to order by Chairman Maryanov, in [lie Council Chamber, 3200 Tahyuitz Canyon Way, on Wednesday, ,Tune 1, 1994, at 6:30 p.m., at which time, the City Attorney announced items to be discussed in Closed Session, and at 7:30 p.m., the meeting was convened in open session. ' ROLL CALL: Present Agency Members Hodges, Lyons, Reller-Spurgin, Schlendorf and Chairman Maryanov Absent: None REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION (All Entities) -See items on Page 5 of agenda this date. APPROVAL OF MINUTES: It was moved by Schlendorf, seconded by I-Iodges, and unanimously carried, that the Minutes of April 6, 20 and May 4, 1994, be approved. PUBLIC COMMENTS: None LEGISLATIVE ACTION: 1. CANYON PROJECT AREA Recommendation: That the Council approve an owner participation agreement with Canyon Development, A331C. City Attorney reviewed items previously approved by the Council, including actions in January, 1994, for new land use plan for the project;after which, the developer,Agency subcommittee,and attorneys negotiated means to provide the appropriate financial assistance for the project; that Keyser Marston was hired to study the financing, and concluded that some portions could be supported independently;that the project as a whole needed financial assistance or it would not be financially feasible to develop it; that the Agency can finance the public improvements; that there would not be any financial assistance to other than the infrastructure improvements,most of which can be utilized by other parts of the Canyon Project Area; that the only property tax revenues involved are those generated by the project itself; that the amount of financial assistance over the life of the redevelopment plan has been determined, and if the State takes funds away from the City, Canyon will be its prorata share of it, and it will be allowed an additional 10 years to recover it; that the property only involves property owned or under the control of the developer;that four of the five lawsuits have been resolved, and negotiations are in process to resolve the remaining (124) suit; that regarding tine private construction, a number of restriction are also included in the DDA, i.e., five years in which to start the hotel and 5 more to complete and one 50% of the residences may be built before the hotel may commence;developer will follow regular notice process to secure contractors to build infrastructure, and the Council may review contracts and change orders, and the Agency will monitor and review the construction through a city position to be funded by Canyon Development;that the City will consider providing a bond issue to help finance the project, e.g., tax exempt financing, Mello Roos, but no General Funds will be involved; and claims against Canyon Development will be waived. Agency Member Lyons stated that he has been involved with the negotiations and thinks the project is crucial and is very pleased to have it come to closure; and hoped ground breaking would get started. Agency Member Schlendorf, also a member of the subcommittee, stated that the project will be beautiful and a pride of the community. Agency Member Hodges thanked the subcommittee, and stated that it will be a great project, and one she is looking forward to. Agency Member Roller-Spurgin thanked the developer,staff, the attorneys, and noted that this has worked through two city councils. Resolution 932 approving the owner participation agreement,as recommended,was presented;after which, it was moved by Schlendorf, seconded by Lyons, Maryanov abstaining, and unanimously carried, that R932 be adopted. ADJOURNMENT There being no further business, Chairman declared the meeting adjourned. '�'�JUDITH SUMICH Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS June 8, 1994 An Adjourned Regular Meeting of the Community Redevelopment Agency of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Large Conference Room, City I-Tall, 3200 Talrquitz Carryon Way, on Wednesday, June 8; 1994, at 6:30 p.m., at which time, the City Attorney announced items to be discussed in Closed Session, and at 7:30 p.m., the meeting was convened in open session. ' ROLL CALL: Present Agency Members Hodges, Lyons, Reller-Spurgin, and Mayor Mary<anov Absent: Agency Member Schlendorf REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on June 3, 1994. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION (All Entities)- See items on Page 2 of agenda this date. PUBLIC COMMENTS: None 1. PA1B9 - CARRIAGE TRADE LTD. (A236) Recommendation: That the Agency approve first amendment to Lease Agreement 236(portion of Vineyard Parking Lot) for a storage yard and tack room in connection with a downtown horse-drawn carriage business. Director of Economic Development reviewed details of his memorandum, a copy of which is on file with the City Clerk, and added that the payment includes interest accrued from the day (124- the payments were intended to have begun, so the amount is fully recovered from the 016) beginning; and the interest rate is 8.5%. City Attorney stated that the existing lease requires a personal guarantee and that the requirement has not changed, and there will be followup on it. Agency Member Reller-Spurgin asked if the payment was made in May; and the Assistant City Manager reported that Iwo checks were received, and it was felt that if the money was accepted, the staff would have made a commitment without the Agency's approval, and the issues were resolved during the last week. City Clerk read a statement submitted by Agency Member Schlendorf, concerning her actions at the last meeting related to adding an item about this matter to the agenda at that time, a copy of which is on file with the City Clerk., Resolution 933, as recommended; was presented; after which, it was moved by Hodges, seconded by Lyons, and unanimously carried, Schlendorf absent, that R933 be adopted. ADJOURNMENT There being no further business, Chairman declared the meeting adjourned. . JUDITH SUMICI-I — Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS June 15, 1994 A Regular Meeting of the Community Redevelopment Agency of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, June 15, 1994, at 6:30 p.m., at which time, the City Attorney announced items to be discussed in Closed Session, and at 7:30 p.m., the meeting was convened in open session. ' ROLL CALL: Present: Agency Members Hodges, Lyons, Reller-Spurgin, Schlendorf and Mayor Maryanov Absent: None The meeting was opened with the Salute to the Flag, led by Boy Scout Troop 262, and an invocation by Rabbi Joseph Hurwitz, Temple Isaiah. REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on June 10, 1994. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION(All Entities)- See items on Page 5 of agenda this date. PUBLIC COMMENTS: None LEGISLATIVE ACTION: 1. PA9 9 (CITYWIDE)- PASS-THRU AGREEMENT Recommendation: That the Agency approve a Settlement & Cooperation Agreement with Riverside Co. Supt. of Schools concerning the pass-through of tax increment revenue to Project Area 9 (City-wide), A336C. City Attorney explained the agreement, and noted that it results in the pass-through of 50% (124- of the increment that would have gone to the County, and 100% of special indebtedness funds; 064) and that housing set aside fonds are excluded v Housing Coordinator stated that it amounts to $6,400 for PA 9; and regarding ERAF, if the Agency is obligated to pay additional funds, the pass-through will be reduced on a dollar for dollar ratio in future years. Resolution 934, as recommended, was presented; after which, it was moved by Schlendorf, seconded by Reller-Spurgin, and unanimously carried, that R934 be adopted. 2. PAIO - CANYON PROJECT AREA Reconmrendation: That the Agency approve a Settlement & Cooperation Agreement with Riverside Co. Supt. of Schools concerning the pass-through of tax increment revenue to Project Area 10 Canyon, A337C. Executive Director noted that the agreement is the same as for PA9. (133- Mayor stated he would abstain due to a client relationship. 006) Housing Coordinator had noted that the amount for this project area is $6,900 annual. Resolution 935 as recommended, was presented; after which, it was moved by Schlendorf, seconded by Hodges, and unanimously carried, Maryanov abstaining, that R935 be adopted. ADJOURNMENT There being no further business, Chairman declared the meeting adjourned. - JUDITH SUMICH� Assistant Secretary �3 ,.a. MINUTES,OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS JULY 6, 1994 A Regular Meeting of the Cornmunity Redevelopment Agency of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Talrquitz Canyon Way, on Wednesday, July 6, 1994, at 7:30 p.m., (No Closed Session). ROLL CALL: Present: Agency Members Hodges, Reller-Spurgin, Kleindienst and Mayor Maryanov Absent: Member Lyons REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on July 1, 1994. PUBLIC COMMENTS: a) Rex Crooke, Real Estate Broker, supported Item 6. APPROVAL OF MINUTES: It was moved by Hodges, seconded by Reller-Spurgin, and unanimously carried, that the Minutes of June 1, 8 and 15, 1994, be approved. LEGISLATIVE ACTION: 1. PROJECT AREAS IMPLEMENTATION PLAN/HOUSING COMPLIANCE PLANS Recommendation: That the Agency approve agreement with Rosenow Spevacek Group, Inc., (124- for$14,500 plus up to $300 for reimbursable expenses, to prepare State-mandated Five-Year 056) Implementation Plan/Housing Compliance Plans for each project area adopted after 1976 (Areas 2 through 10); and amend the budget to provide funds therefor, A333C. (124- 099) Director of Economic Development reviewed his memorandum, noting new State requirements for reporting every five years on the various Project Areas, and how plans are proceedings, and how housing goals are being met; that the report must be cornpleted by December, 1994. Resolution 936 and 937, as recommended, respectively, were presented; after which, it was moved by Reller-Spurgin, seconded by Kleindienst, and unanimously carried, Lyons absent, that R937 and 937 be adopted. 2. GRANADA VILLAGE: Discussion,and action if any, concerning request for subsidy relative to a proposed project on the SW corner of E. Palm Canyon and Araby Drive. This matter was continued to July 20, at developer request. 3. 1994-95 BUDGET: adopting Agency budget for fiscal year 94-95. Director of Finance provided an overview of the Agency's budget, and stated that after (124- removal of restricted funds, the year-end balance should be about $64,000, with hopefully a 09 ) refinancing of the Convention Center issue resulting in additional cash flow. Resolution 938 as recommended, was presented; after which, it was moved by Reller-Spurgin, seconded by Hodges, and unanimously carried, Lyons absent, that R938 be adopted. 4. CONTINUING APPROPRIATIONS Recommendation: That the Agency approve continuing appropriations from 93-94 into 94-95 fiscal year. Director of Economic Development responded to question as to why certain projects have been continued for quite some time, and that regarding the Bullock's site, there is still maintenance required by the Agency, and discussions regarding the original intent of development. Chairman Maryanov and Member Kleindienst stated that they would abstain regarding Bullocks and Las Flores (Item 5), it was determined this item should be continued to the next meeting. Council Minutes 7-6-94, Page 2 5. PA1B - PLAZA LAS FLORES Res approving Certificate of Completion pursuant to Owner Participation Agreement with John Wessman dba Wessman Development Company, of all construction and development required on site by the participant, A191C. ' This matter continued to July 20, for a full membership of the Agency. 6. PA 4- HAIG Recommendation: That the Agency approve Owner Participation Agreement for a tax- increment incentive financing package for Haig Atamian, dba Haig's Printing, for a new (124- printing facility to be constructed at 5500 Rio Blanco Road, Ramon-Bogie Project Area, 104) A332C. Director of Economic Development reviewed his report, noting that details of the intent of the agreement were discussed at recent study session; and the affect of the assessment district on financing; that the agreement provides for a rebate of other tax increment that accrues as a result of building is almost equal to the payment on the assessment, and creates an economic incentive to proceed; that the Tribal Council favors the mechanism, and feels it will help in not only this project, but others in the future. Resolution 939 as recommended, was presented; after which, it was moved by Hodges, seconded by Reller-Spurgin, and unanimously carried, Lyons absent, that R939 be adopted. ADJOURNMENT There being no further business, Chairman declared the meeting adjourned. UDITH SUMICH Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS JULY 20, 1994 A Regular Meeting of the Community Redevelopment Agency of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, July 20, 1994, at 6:30 p.m., at which time, the City Attorney announced items to be discussed in Closed Session, and at 7:30 p.m., the meeting was convened in open session. ROLL CALL: Present: Agency Members Hodges, Lyons, Reller-Spurgin, Kleindienst and Mayor Maryanov Absent: None REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on July 15, 1994. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION(All Entities)- See items on Page 6 of agenda this date. PUBLIC HEARINGS 1. PAl MONTE VISTA HOTEL Recommendation: That the Agency approve Settlement Agreement with Frank Miller, Madelyn Miller and John Miller, owners of the Monte Vista Hotel, concerning the Agency (124- acquisition of the property at 400-428 N. Palm Canyon Drive, A334C. 068) Executive Director reported that upon acquisition of the property, the Millers will file for dismissal of the litigation, with prejudice. He reviewed in detail the memorandum of the Director of Economic Development, adding that the agreement has been executed by the Millers, and that proceeds from the sale of bonds will be used to purchase the properly, to thereafter be sold to the Investors 2000; and that James Stuart, dba Group One, will receive a flat fee commission of$50,000, as the real estate agent of record. City Attorney stated that the Agency must make a finding of actual value of the property, and the sales price is in fact the market value and the loss in value is because the contract amount was made a number of years ago when real estate property was higher. Mayor declared the hearing opened on the sale of said property by the Agency; there were no appearances, and the hearing was closed. Resolution 940, approving the settlement agreement 334C, and purchase agreement with [he Millers,was presented;after which, it was moved by Reller-Spurgin,seconded by Kleindienst, and unanimously carried, that R940 be adopted. Resolution 941 authorizing sale/purchase agreement with Investors 2000, Ltd, A335C, as recommended, after which, it was moved by Reller-Spurgin, seconded by Lyons, and unanimously carried, that R941 be adopted. PUBLIC COMMENTS: None LEGISLATIVE ACTION: 2. GRANADA VILLAGE Discussion, and action if any, concerning request for subsidy relative to a proposed project on the SW corner of E. Palm Canyon and Araby Drive. This item was continued to September 7, 1994. 3. CONTINUING APPROPRIATIONS Resolution 942 approving continuing appropriations from 93-94 into 94-95 fiscal year, was presented after which, it was moved by Reller-Spurgin, seconded by Lyons, and unanimously (124- carried, that R942 be adopted; Kleindienst and Maryanov abstaining regarding: Bullocks & 0,119) Plaza de las Flores matters. CRA Minutes 7-20-94, Page 2 4. PA1B - PLAZA LAS FLORES Downtown Development Center Director Ogbmn highlighted the memorandum of the Director of Economic Development; after which, Resolution 943 approving Certificate of Completion 124- pursuant to Owner Participation Agreement with John Wessman dba Wessman Development 049) Company, of all construction and development required on site by the participant, A191C,was ' presented; after which, it was moved by Hodges, seconded by Reller-Spurgin, and unanimously carried, Kleindienst and Maryanov abstaining, due to client relationships, that R943 be adopted. ADJOURNMENT There being no further business Mayor declared the meeting adjourned. UDITH SUMICH Assistant Secretary 1 MINUTES OF CITY OF PALM SPRINGS COMMUNITY REDEVELOPMENT AGENCY JULY 27, 1994 A Special Meeting of the Community Redevelopment Agency of the City of Palm Springs, California, was called to order by Chairman Mayanov, in the Large Conference Room, City Hall, 3200 Tahhquitz Canyon Way, on Wednesday, July 27, 1994, at 7:30 p.m., pursuant to Call and Notice given July 22, 1994. ROLL CALL: Present: Councilmembers Hodges, Kleindienst, Lyons, Reller-Spurgin, and Mayor Maryanov Absent: None PUBLIC COMMENTS: a) Howard Lapham stated that this meeting should have been a public hearing, since the proposal is entirely different than what was presented May 18; that it appears the Agency will have $6.5 million more of debt; that if the Prairie Schooner is sold, it will be $2.3 million and, after adding the cost of the issue, the life of the bond will be$7 million to release a$2.3 million property, likewise the Monte Vista Hotel, i.e., instead of $1.6 million, the repayment will be $4 million; that he suggested a loan from the Wastewater Treatment Plant at 5% interest, repaid from tax increment and the repayment would be less than$5.5 million in 12 years; that the Treatment Platt is not at capacity, and has capacity for expansion, and that the Council should look at alternatives, noting that the citizens finance committee has submitted a report to the Council suggesting a third alternative. b) Don Frank questioned if the proposed action had anything to do with the Prairie Schooner site. City Attorney stated that the purpose is to raise revenue that will be used to help make the casino transaction go forward; that the sale of the property is not on the agenda, and he expected the deal to be put together and to be on the September 7 agenda, and it will be a noticed public hearing. LEGISLATIVE ITEM: 1. 1991 SERIES B BOND PROCEEDS/FINDING & REVIEW OF REFUNDING TAX ALLOCATION BOND ISSUE AND ALTERNATE FUNDING OPTIONS Recommendation: That the Agency review the refunding of the 1991 Tax Allocation Bond Issue; review other funding options for the Casino and Monte Vista projects; and make the finding that the Convention Center, located in the Tahquitz Andreas Project Area, is of value and benefit to the Ramon/Bogie & Bar'isto Farrell Project Areas. Bill Marticorena, Rutan&Tucker, Agency Counsel, stated that in May the Agency approved a composite financing to attempt to attain positive savings in refunding the two outstanding issues - CDB and 1991 Tax Allocation - and to let the Agency raise about $4 million to (155- provide financing to meet obligations in relation to the casino and the Monte Vista; that since 004) then, the intent was to secure bond insurance to allow going forward at about a $500,000 savings; that there were meetings with MB1A and on-site inspections were made, along with gathering data about what is happening in the community and what is proposed for development; that the Agency was informed that MBIA declined to provide the bond insurance, in that it generally felt that the community was in transition and a number of products would be positive if built, but they were no more than that; that there were tremendous property declines, mainly in the Tahquitz-Andreas project area, when the Spa came off the tax roll going to the Tribe and certain hotel appeals were made, as well as the vacancy factor in the Fashion Plaza, all of which led to the decline of the insurance issue; that a new scenario was tried to provide the needed funding and a positive cost savings on the existing bond issues, and a strategy, similar to the first, was developed with the ability to sell Series A bonds, and be A rated; that there probably will be a $135,00a,cost savings on the existing financing, and the Agency to net about$4 million in new proceeds; that the difference is that because the insurance could not be obtained, the savings is less; that there are no technical amendments to the financing documents, at this time, and if that is necessary, the matter will be back to the Agency at its next meeting; that, effectively, the Agency will derive revenue from PA9 for about 10 years, and after that it will go to the County to repay deferrals; that Standard & Poors will accept PA9 revenue as additional security, with no cash flow impact on PA9, and to the extent that it is needed for PA9, the money would be returned from the CBD Project Area. CRA Minutes 7-27-94, Page 2 1. REFUNDING (Continued) He stated that a cross-benefit resolution of both the Agency, and of the City Council, were provided for action at this time, and it is a policy decision and not one which affects the financing going forward; that in 1991, the Tax Allocation Bond issue raised money from a number of the Project Areas, and about $900,000 remains in the Ramon-Bogie (PA5) and Baristo-Farrell (PA9)Project Areas, which has not been spent; that proposed projects did not occur and those funds can be used in the Tahquitz Project Area, through the cross-benefit resolution, resulting in an additional $900,000; that it would not be a commitment, rather an opportunity to use those funds in that mamier. Suzanne Harold, Rod Gunm Associates, explained how the savings works, the bottom line being that over the long-term, the Agency will save $135,000, and that the term of the issue was reduced from the year 2021 to 2017; that the security pledge of PA9 is only an annual impact, and would be used to repay the debt, in the event of default; that there is no property pledged as a result of the security; and that if used for the CBD, there is a definite repayment schedule to PA9. Director of Finance affirmed the Mayor's statement that a bank financing would be possible, if the Agency posted a certificate of deposit, or other security, of equal amount. Agency Member Hodges stated that she has never agreed with the refinancing, and disagrees even more so now; that the savings will not be as much as was projected in May; that the future of Palm Springs is being jeopardized, i.e., in the CBD; that the current bonds would be repaid in 2008, and perhaps tax increment could be generated for new projects rather than continually paying for the projects already completed; that she had hoped staff would be more creative; that she felt it was not good for the City, nor was there enough benefit, and that it will tie the hands of the Agency and City for the next 21 years; that there is no money in the project areas, because it is already pledged to projects or bonds; and that there will not be any additional funds to do anything creative. ' Councilmember Kleindienst stated that he agreed there were problems in the Redevelopment Agency and were they inherited by the current Agency, and how the Agency is handled must be looked at, i.e., in terms of an established plan, and a focus on implementing a plan, and the capital to get projects off the ground; and that he felt this was a creative and credible solution to the current issue. Mayor stated that excess funds are being used to pay debt on cleaning up the Monte Vista Hotel situation, which results in purchasing the property at $1.5 million that the Court determined was based on a valid agreement, even though the current market value is $1 million; and the Agency needs to get the property cleaned up and sold; that the Prairie Schooner site was pledged previously, and the proposed financing will release it; and that the result is a positive added cash position, even though not as much as before, and it supported the action. Resolution 944, making the cross-benefit finding, was presented; after which, it was moved by Lyons, seconded by Reller-Spurgin, and carried by the following vote, that R944 be adopted: AYES: Kleindienst, Lyons, Reller-Spurght, & Maryanov NO: Hodges ABSENT: None ADJOURNMENT There being no further business, Chairman declared the meeting adjourned. 1 � i JUDITH SUMICH Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS AUGUST 3, 1994 A Regular Meeting of the Comtumtity Redevelopment Agency, of the City of Paint Springs, California, was called to order by Chairman Matyanov, in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, August 3, 1994, at 6:00 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, Kleindienst, Lyons and Chairman Maryanov Absent: Councilmember Reller-Spurgin The meeting was opened with the Salute to the Flag, and an invocation by Father Daniel Devitt, St. Theresa Catholic Church. REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on July 29, 1994. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION(All,Entities)- See items on Page 6 of agenda this date. APPROVAL OF MINUTES: It was moved by Kleindienst, seconded by Hodges, and unanimously carried, Reller-Spurgin absent, Lyons abstaining, that the minutes of July 6 and 20, 1994, be approved. PUBLIC COMMENTS: a) Howard Lapham read a statement concerning refinancing of the bond issues, emphasizing that the City and its agencies has $300 million in debt services to be repaid over the next 30 years; that the only benefit in proceeding will be to the bond consultants and underwriters; that the MBIA did not provide insurance because one large-scale project on which the City is depending did not happen and there is no time certainty to it as to when it will come about; that there is no clear cut financing strategy in place, and questioned where the money will come from to make up the golf course deficit; that the challenge is to find a better way to raise revenue without paying $700,000 in bond issue costs; that increasing the CRA debit will mean repaying $11.5 million to borrow $4 million, and the net present value savings of $135,000 does nothing to change the numbers, and it would be better for the Agency to take a Sewer Plant fund loan at 5-6% interest over 12 years, secured by the repayment from tax increment from the project areas. LEGISLATIVE ACTION: 1. PA4 - ECONOMIC INCENTIVE ZONE - CROSSLEY INDUSTRIAL TRACT Recommendation: That the Agency designate the Crossley Road Industrial Tract as an Economic Development Incentive Zone for the purpose of promoting industrial projects. (124- Director of Economic Development reviewed his report in detail, noting that because of the 101) assessment district costs, an offer could be made to repay the assessment through the tax increment as a result of the project which was to be built, and the sanic offer could be made to other leaseholders/owners to develop the area and to encourage building; and that because it is Indian land, there are a number of tax credit benefits available, and the area was found to be marketable as an industrial tract to build in and to bring in jiobs, and the incentive zone is recommended for five years. Agency Member Lyons stated that this is the type of economic improvement that needs to happen, and there should be clean industry in the economic mix; that a good job is being done to lure clean industry, but there needs to be incentives because the State is giving incentives for business to leave the Slate. In answer to question by the Agency, the Director of Economic Development stated that the project area is Ramon-Bogie; that there is no problem in doing M I .ii is proposed with regard to the bond refinancing. CRA Minutes 8-3-94, Page 2 1. PA5 (Continued) Director of Finance stated that assessments are separate bills; that A.D. 155 and 159 are contiguous, and this will provide better security; that the bonds are only secure if the leaseholder pays the City to pay the bondholder; and that the refinancing only pledges existing tax increment, and there is no pledge to future additional property tax or annual 2% increases. ' In answer to question by Agency, he stated that the assessments are currently on the tax bill. Resolution 945 as recommended, was presented; after which, it was moved by Lyons, seconded by Kleindienst, and unanimously carried, Reller-Spurgin absent, that R945 be adopted. 2. REFINANCING OF BOND ISSUES Recommendation: That the Agency amend R929, to add PA9 as additional security to refinance the bond issues, and amend related documents approved therein. City Manager reported that this matter was previously discussed, and this is a cleanup action. In answer to question by Agency, the Director of Finance reported that the bottom line savings is $135,000, and present value may possibly change again. Agency Member Hodges staled that she would continue to be opposed, on the basis of it not being good business practice to mortgage funds of the City through redevelopment and to tie the hands of future councils, and the progress of the community; and that it is not a good decision for the amount of money to be derived. Resolution 946 as recommended, was presented; after which, it was moved by Lyons, seconded by Kleindienst, and carried by the following vote, that R946 be adopted: ' AYES: Kleindienst, Lyons, &Maryanov NO: Hodges ABSENT: Reller-Spurgin ADJOURNMENT There being no further business, Chairman declared the meeting adjourned. JUDITH SUMICH Assistant Secretary MINUTES OF CITY OF PALM SPRINGS COMMUNITY REDEVELOPMENT AGENCY AUGUST 10, 1994 A Special Meeting of the Community Redevelopment Agency of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, August 10, 1994, at 7:30 p.m., pursuant to Call slid Notice given August 5, 1994. ROLL CALL: Present: Councilmembers Hodges, Kleindienst, Lyons, Reller-Spurgin, and Chairman Maryanov Absent: None PUBLIC COMMENTS: None LEGISLATIVE ITEM: 1. PA2 - PRAIRIE SCHOONER SITE Consideration of action to accept title to the Prairie Schooner site from the City of Palm Springs. See also City Council minutes of this date. Resolution 947 was presented; after which, it was moved by Reller-Spurgin, seconded by Kleindienst, and carried by the following vote, that R947 be adopted: AYES: Kleindienst, Lyons, Reller-Spurgin &Maryanov NO: Hodges ABSENT: None ADJOURNMENT There being no further business, Chairman declared the meeting adjourned. JUDITH SUMICH Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS SEPTEMBER 7, 1994 A Regular Meeting of the Community Redevelopment Agency, of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Talrquitz Canyon Way, on Wednesday, September 7, 1994, at 6:00 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, Kleindienst, Lyons, and Reller-Spurgin, and Chairman Maryanov Absent: None The meeting was opened with the Salute to the Flag, and an invocation by Father Andrew Green, St. Paul's in the Desert REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on September 2, 1994. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION(All Entities)- See items on Page 5 of agenda this date. APPROVAL OF MINUTES: It was moved by Kleindienst, seconded by Hodges, and unanimously carried, that the minutes of July 27, 1994, be approved. PUBLIC HEARINGS: (See Combined City Council Hearing Minutes this date to Tribal Gaming) PUBLIC COMMENTS: None LEGISLATIVE ACTION: ' 1. PA9A - FORMER VISTA CHINO MANOR SITE Recommendation: That the Agency authorize payoff of two promissory notes held by the Palm Desert National Bank, totaling$1.007 million for acquisition of 7.5 acres on the south side of 124- 024- Vista Chino, approximately 600 ft west of Sunrise Way, A259C; and amend the budget 91) therefor. Agency Member Hodges stated she would abstain due to the proximity of her residence to the (124- subject site. 099 Redevelopment/Housing Coordinator highlighted the memorandum of the Director of Economic Development, noting that the original notes totalled approximately$1.2 million;and that the first is secured by a deed of trust, and the second by a certificate of deposit; that both notes mature in December, 1994, and that funds are available in the Housing Fund and the certificate of deposit to payoff the notes. Resolution 948 and 949 as recommended, were presented; after which, it was moved by Lyons, seconded by Kleindienst, and unanimously carried, Hodges abstaining, that R948 and 949 be adopted. 2. PA9A- SENIOR HOUSING Recommendation: That the Agency amend the budget to appropriate $259,000 from the ' Housing set aside funds to provide a subsidy for the construction of an affordable senior 124- housing project by P.S. Senior Housing, file. (Cooperative Services Inc. A329C,)on the south Ogg) side of Vista Chino.west of Sunrise Way (prior reference: Conard/Cole Vista Chino Manor). Agency Member Hodges stated she would abstain due to the proximity of her residence to the subject site. CRA Minutes 9-7-94, Page 2 2. PA9A (Continued) Redevelopment/Housing Coordinator highlighted the memorandum of the Director of Economic Development,noting that by R928 the Agency approved the DDA with Cooperative Services Inc., aka Palm Springs Senior Housing Inc., for a 60-unit project funded by HUD, through its Section 202 Program; and that the Agency pledged a subsidy of up to $259,000, to pay construction costs disallowed by I-IUD; and that the proposed action is housekeeping, and allocated the funds for that cormnitment. Resolution 950 as recommended, was presented; after which, it was moved by Lyons, seconded by Kleindienst, and unanimously carried, Hodges abstaining, that R950 be adopted. 3. REQUEST FOR FINANCIAL SUBSIDY GRANADA VILLAGE Recommendation:Consideration of request for financial subsidy toward the development of the (124- Granada Village on Araby and E. Palm Canyon Drive. This matter continued at Developer's 056) request to September 21, 1994, upon motion by Reller-Spurgiu, seconded by Kleindienst, and unanimously carried. REPORTS (For Information):Financial disclosures in various project areas filed with Agency Assistant (124- Secretary; reported for record purposes, pursuant to the Health &. Safety Code, Community 024) Redevelopment laws. ADJOURNMENT There being no further business, Chairman declared the meeting adjourned. `_/JUDITH SUMICH Assistant Secretary !� 5 MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS SEPTEMBER 21, 1994 A Regular Meeting of the Community Redevelopment Agency, of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Tahquitz Carryon Way, on Wednesday, September 21, 1994, at 6:00 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: Agency Members Hodges,Kleindienst,Lyons,Reller-Spurgin and Chairman Maryanov Absent: None REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on September 16, 1994. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION(All Entities)- See items on Page 6 of agenda this date. APPROVAL OF MINUTES: It was moved by Kleindienst, seconded by Reller-Spurgin, and unanimously carried, that the Minutes of August 3, 10 and September 7, 1994, be approved. PUBLIC COMMENTS: a) Betty Tuminello suggested contacting the State Department of Housing&Community Development before seeking funding, or committing use of City funds for projects. b) Eric Meeks commented that buses should stay longer downtown for people attending the follies. ' c) James Jessie reported that the Community Action Association met and recommends and urges approval of Item 1. LEGISLATIVE ACTION: 1. HOUSING - CVHC SELF-HELP HOUSING PROGRAM Recommendation: That the Agency authorize participation in the construction of 20 single- family homes in the Highland Gateway Redevelopment Project Area, including grant of Housing Set Aside Funds, amend the budget to appropriate set aside funds. i Redevelopment & Housing Specialist highlighted the memorandum of the Director of (124- Economic Development,noting that the Housing Fund participation is limited to$625,000,and 056 ) responded that the current balance of the fund is about$1.5 million; that the CVHC is a non- profit organization; and that the sites are along the Granada Avenue corridor. (124- 099) Resolutions 954, 955 and 956, as recommended, were presented; after which, it was moved by Lyons, seconded by Hodges, and unanimously carried, that R954, 955 and 956 be adopted. 2. SETTLEMENT AGREEMENT - COUNTY RE SB2557 LITIGATION Recommendation: That the Agency approve Settlement Agreement with the County of the SB2557 litigation(property tax collection fees and booking fees), A341C (see City A3430). City Attorney reviewed details of his report, noting the various levels of court decisions, ( 124- os8 adding that in his opinion, continued litigation would not be successful, and the reasons noted ) in his report, and that there would be no additional money required from the Agency at this time. Resolution 957 as recommended, was presented; after which, it was moved by Hodges, seconded by Reller-Spurgin, and unanimously carried, that R957 be adopted. CRA Minutes 9-21-94, Page 2 3. PLAZA THEATER LEASE AMENDMENT Recommendation: That the Agency consider request from Partnership for the Performing Arts for a cap on the annual rent paid to the Agency for the use of the Plaza Theatre (A270C). Riff Markowitz spoke concerning the success of the Follies, and his costs associated with it compared to his gross revenue, and asked that the Council re-evaluate the basis of the agreement. Agency Member Lyons stated that he originally doubted the success of the project, and was pleased that it has been; that it has added a new dimension and texture to downtown; that he did not know what fair market rent is on Palm Canyon, and did not believe that the highest and best use should necessarily pay the same as the person next door; that this use is the highest and best use for the theater, and has logistical and labor costs unlike its neighbors, and is due some consideration. He questioned the issue of a gift of public funds. City Attorney stated that the issue has not been extensively addressed, and the charter city issue confuses it somewhat, and there is one case law when dealing with "in negotiations"but (124- there is more of an issue when adjustments are made retroactive for a payment that has come 074) due versus those that might come due in the future; and that his concerns were related to past- due more than a prospective consideration. Agency member Lyons stated that Mr. Markowitz should receive a reasonable rate of return, and he would like to explore a workable straight rental rate. Chairman suggested that the remaining term also be looked at, and that perhaps a council committee be designed to meet with Mr Markowitz, the City Manager and Director of Finance to develop a recommendation; also that August 1 be the break in the continuum of the debt accrual. It was moved by Lyons,seconded by Reller-Spurgin,and unanimously carried, that this matter be continued to October 5, 1994. Members Lyons and Reller-Spurgin were appointed to meet with the staff and Mr. Markowitz to work out a solution. 4. REQUEST FOR FINANCIAL SUBSIDY - GRANADA VILLAGE Consideration of request for financial subsidy toward the development of the Granada Village on Araby and E. Palm Carryon Drive. Executive Director reported that the developer has requested a further continuance; and this item will be rescheduled, when timely. ADJOURNMENT There being no further business, Mayor declared the meeting adjourned. / L _",AUDITH SUMICH Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS OCTOBER 5, 1994 A Regular Meeting of the Cotmnunity Redevelopment Agency, of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Talrquitz Canyon Way, on Wednesday, October 5, 1994, at 6:00 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, Kleindienst, Lyons and Chairman Maryanov Absent: Councilmember Reller-Spurgin REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on September 30, 1994. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION(All Entities)- See items on Page 5 of agenda this date. PUBLIC COMMENTS: a) The following persons spoke concerning a lawsuit filed this date by Don Frank and Fred Ebeling: Dee Dee Stone criticized the Agency for agreeing to a real estate purchase and sale to the Agra Caliente Tribe, and her opinion that the lawsuit is not against gaming, rather the unethical use of CRA funds. Herb Rafetto, Hyatt ? Hotel, also speaking for Mel Haber, stated that the casino is an integral part of the future of the City, and questioned the motivation for the lawsuit, and urged citizens to express their views to the litigants. ' Tim Allison, Riviera Hotel, concurred with Mr. Rafetto, adding that his hotel set aside is own interest in gaining, and supported the casino, with an expectation that it is the right direction for Palm Springs, in which they may be able to follow in the future. He stated he felt the litigants were self-interested, and not looking for the good of the community; and he urged that the Council be strong in its conviction. John Fetter, Marquis Hotel, also agreed, adding opinion that it is a nuisance lawsuit that the casino is needed to prime the economic pump; that it is in the best interest of the community; and that self motives must be set aside in that interest. He urged that the Council make certain of its legal grounds, and move ahead with the project. Fred Ebeling stated he could not comment on the lawsuit, but urged that everyone read it to understand what are the real issues. Jeff Lesker, as an individual and representing the Wyndham Hotel, offered similar comments to other hoteliers, and added that the Council must not allow an eleventh hour attack to slow it down in reaching the goal of the casino. Eric Meeks, resident and owner Celebrity Bookstore, stated that the lawsuit is not frivolous, and does not attack the right to have gaming if it is done correctly; that it rather addresses use of redevelopment money as justification to buy land and lose $3 million; that the casino must earn $1 billion before the City gets its money back; and that the EIR concludes that it creates more ills. b) Darrell Meeks commented regarding Item 1, opposing action that would reduce the rent, and questioned if a minimum rent will be required; that no minimum and no maximum will set an adverse precedent for other city tenants, e.g., at the Airport; that the police and fire employees have not received increases, and are agreeing to a 2-year status quo, no increase, contract. c) Clayton Cardoza, Desert Hot Springs, read a prepared statement concerning a property on Hermosa, and lack of information from City Hall about it. He was referred to the City Manager for followup. CRA Minutes 10-5-94, Page 2 d) Chairman stated that the Agency is entering into a redevelopment deal and not a land deal; that the purpose of redevelopment is to help remove blighted area, and provide redevelopment; that the casino project is one of the best ways to accommodate redevelopment, remove blight, and produce revenue to meet the needs of the community. He stated that it has not been possible to "read" the lawsuit, since it was only just served on the City today, and individual Councilmembers this evening. LEGISLATIVE ACTION: 1. PLAZA THEATER LEASE AMENDMENT Consideration of request from Partnership for the Performing Arts for a cap on the amoral rent paid to the Agency for the use of the Plaza Theatre (A270C). Executive Director gave a brief overview of the theater, its initial use, and the basics of the existing agreement, and recomtuendation tharthe outstanding balance be repaid over five years, plus interest, that rent be capped for the following year at $75,000, the same in the year after that and CPI continence, with a maximum cap of$120,000, and other language be provided to address fundraisers, buses, and trash enclosure barrier; and that if the Agency concurs, the City Attorney be directed to prepare an amendment with those details. Agency Member Hodges stated that the theater was dark for quite some time after it was refurbished, except for the Film Festival, and the City has been fortunate to have the follies for the past three years; that possibly other events could be produced their, but there is an agreement in place, and they are not asking for very much, in exchange the City receives a great benefit to the community. Agency Member Lyons stated this is a marketing tool which few cities have, and it has become (1124- an integral part of "Palm Springs"; that there are other considerations besides money. 074) Agency Member Reller-Spurgin stated that Palm Springs and the Follies have become synonymous, and she wanted them to remain "Palm Springs" Follies. Chairman noted that people in other parts of the world recognize the Palm Springs Follies,that the original projections are no less than what the amendment will produce; and that the rent was out of line with the total cost of the production, and what the City could derive if rented to other uses; and that there is nothing which requires Mr. Markowitz to continue to lose money, nor continue to produce the Follies. It was moved by Lyons, seconded by lUcindienst, and unanimously carried that the City Attorney prepare an agreement amendment to adjust rental rates, apply caps, provide repayment of outstanding debt over 5 years, plus interest, and other housekeeping, and return it in final form for Agency approval. ADJOURNMENT There being no further business, Chairman declared the meeting, adjourned. \\1 jIJ ITIIMI H Assistant Secretary 9'3'KG 2 MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS OCTOBER 19, 1994 A Regular Meeting of the Community Redevelopment Agency, of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, October 19, 1994, at 6:00 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,Kleindienst,Reller-Spurgin, Lyons and Chairman Maryanov Absent: None REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on October 14, 1994. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION(All Entities)- See items on Page 5 of agenda this date. APPROVAL OF MINUTES: It was moved by Kleindienst,seconded by Hodges, and unanimously carried, that the Minutes of September 21 and October 5, 1994 be approved. PUBLIC COMMENTS: a) Dick Sroda commented regarding the Casino and exclusive right concerning land acquisition,expressing opinion that it will require additional police and fire services, and change the social structure of the community; that it will require $18.5 million profit to the Indians before the City will realize any money; that he did not consider councilmembers as such anymore, and that there will be more lawsuits in the future. LEGISLATIVE ACTION: 1. PA4 CROSSLEY INDUSTRIAL TRACT ECONOMIC DEVELOPMENT INCENTIVE ZONE - HOLLISTER Recommendation: That the Agency approve an owner participation agreement for tax increment incentive financing package with F. Martin&Agnes I3ollister dba A-Z Rentals, to effectuate the redevelopment of an industrial building in the above zone, at 5700 Indian (124- Springs Road, A342C. 102) Director of Economic Development reviewed his report, explaining the extent of the agreement, adding that the owner will spend about$50,000 in building improvements, and the tax increment as a result of the improvement is proposed to be used to pay the approximately $40,000 of the$52,000 assessment against the property, as part of District 155, and will help in stimulating other projects in the area. Agency Members expressed appreciation for this effort, and encouraged this type of activity in that area. Resolution 958, as recommended, was presented; after which, it was moved by Lyons, seconded by Reller-Spurgin, and unanimously carried, that R958 be adopted. ADJOURNMENT ' There being no further business, Mayor declared the meeting adjourned. `- JUDITH SUMICH Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS NOVEMBER'2, 1994 A Regular Meeting of the Community Redevelopment Agency, of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Taliquitz Canyon Way, on Wednesday, November 2, 1994, at 6:00 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: Agency Members Hodges,Kleindienst,Lyons,Reller-Spmgin and Chairman Maryanov Absent: None REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on October 28, 1994. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION(All Entities)- See items on Page 5 of agenda this date. PUBLIC COND,4ENTS: a) Dick Sroda expressed opinions concerning the Agency's proposal and contract relative to the gaming casino, the effect of gaming on society and the economy; and that the Council has advocated in its agreement to promote,gaming and to lobby for it, which lie opposed. LEGISLATIVE ACTION: I. PA1B2 - MONTE VISTA Recommendation: That the Agency amend the budget to appropriate $67,000 to complete repairs at the Monte Vista Hotel, City Attorney provided a brief report. Resolution 959 amending the budget, as recommended, was presented; alter which, it was (124— moved by Reller-Spurgin, seconded by Lyons, and carried by the, following vote, that R959 099) be adopted: AYES: Kleindienst, Lyons, Reller-Spurgin & Maryanov NO: Hodges ABSENT: None 2. CANYON PROJECT - CROCKER SETTLEMENT AGREEMENT Recommendation: That the Agency approve a Settlement Agreement with Jeremy Crocker concerning Jeremy Crocker vs. the Community Redevelopment Agency, the City of Palm Springs and Canyon Development, Case Indio 65118, A343C. (133- 006) Chairman stated he would abstain due to a client relationship with parties who work with Canyon Development. City Attorney explained that this is a last of the litigation which followed the OPA with Canyon Development; that Mr. Crocker's opposition related to financing and the affect on the taxpayers; that the settlement provided that there were no changes other than those approved by the City Council, and noted in his report on file with the City Clerk, to which Mr. Crocker has agreed that his interest in protecting the taxpayer has been satisfied; and that this removes the last impediment to allowing the project to move forward. It was moved by Hodges, seconded by Reller-Spurgin, and unanimously carried, Maryanov Abstaining, that the settlement agreement be approved. CRA Minutes 11-2-94, Page 2 3. PA1137 - PLAZA THEATER Recommendation: That the Agency approve first amendment to lease agreement with the Partnership for the Performing Arts, A270C. ' Executive Director detailed his memorandum as on file with the City Clerk. (124_ Chairman noted that the follies brings in a lot of people and publicity for the community, and 074) is a success, and that the lease does not require (lie specific 'follies" production. Resolution 960 as recommended, was presented; after which, it was moved by Hodges, seconded by Reller-Spurgin, and unanimously carried, that R960 be adopted, ADJOURNMENT There being no further business, Chairman declared the meeting adjourned. ti ,�� JUDITH SUMICH �� '-- Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS NOVEMBER 23, 1994 An Adjourned Regular Meeting of the Community Redevelopment Agency of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Large Conference Room, City Hall, 3200 Tahquitz Canyon Way, on Wednesday, November 23, 1994,at 6:00 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: Agency Members Hodges, Kleindienst, Lyons, Reller-Spurgin and Chairman Maryauov Absent: None REPORT OF POSTING OF AGENDA: Assistant City Clerk reported that the agenda was posted in accordance with Council procedures on November 19, 1994. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION (All Entities) See items on Page 2 of agenda This (late. PUBLIC COMMENTS: a) Comments regarding item 1: Maggie Montez, Prudential Real Estate, stated that Economic Development had been contacted regarding a backup offer for the Monte Vista; that she had been told that the Monte Vista was in escrow, and that backup offers would not be accepted; that she had reviewed the documentation for the sale of the hotel; that her client is not offering as mach for the hotel but can offer a $100,000 deposit and will close in 30 days. Director of Economic Development stated that the Prudential party did view the hotel; that the current negotiations are down to the wire; that a backup offer could be accepted, but the party does need to realize that the hotel is currently in negotiations. City Attorney stated that the matter is on the agenda for approval; and that when a contract is entered into, there could be problems when backup offers are accepted. Mayor stated that the Director of Economic Development could gel the details from Ms. Montez; that a backup offer does not need to be accepted, but that the City should listen to the offer. b) Comments regarding matters not on the agenda: Linda Cooper Lee, stated that she is a long time Palm Springs resident, that in her opinion, the Council is not reflecting the attitude of the Citizens regarding gaming; that in her opinion, the actions the Council are taking are flaunting the law; that the Council did take an Oath of Office; that the Oath should be upheld; that if the Council would admit that they had made a mistake; that the citizens have a right to know if the actions of Council are legal; and that there are two Palm Springs Citizens and the Attorney General's Office that will determine the legality. Mayor stated that the Council is not trying to purport what is legal; that there was a hearing held in Superior Court in Indio regarding the matter, and the case was thrown out; and that it is the Court's responsibility to decide legal issues. COMMUNITY REDEVELOPMENT AGENCY PUBLIC HEARING: 1. PA1B2 - MONTE VISTA HOTEL Recommendation: That the Agency hold the 'required public hearing regarding the proposed sale of the Monte Vista Hotel, pursuant to the State Health and Safety Code; authorize the sale to 124- Stephen Tuckman; approve a Disposition and Development Agreement with said party; and 124- appointed James Stuart, dba Group One, as the agency's agent of record for the transaction. 068) Director of Economic Development reviewed the staff report and added that two weeks ago staff had asked for a budget amendment to cover the costs of repairs and management costs; and that o , Council Minutes 11-23-94, Page 2 1. PA1B2 - MONTE VISTA HOTEL (Cont'd) he has met with the Tuckmans' and that they will be a great addition to the Palm Springs fannily. City Attorney stated that the most significant finding is whether the hotel is being sold at market value; that the purchase price is fair market value; and that no further justification is required; that ' the agreement that was in the packet does have additional negotiation points; that some modifications may change the agreement; and suggested the Council approve the agreement subject to the terms of funding of the property; that the property is warranted to the best of the City's knowledge; that regarding the conveyance and assignment of the property the financing can not be made until improvements to the property are completed, subject to the Community Redevelopment Agency approval, and 25% of the principal of the note is paid, with the balance interest rate at or near market value; that the Community Redevelopment Agency will approve the rehab plan; that the closing date can be extended up to 150 days; and that the number of units are 55; that the buyer has the right to inspect the property. Mayor declared the hearing open. Maggie Montez, Prudential Real Estate, stated that it is unusual for a buyer to offer a promissory note rather than cash; that the sale is contingent of the sale of Oregon property; that everyone wants to see the property developed; and that usually the down payment on this type of property is 30%. There being no further business, Mayor declared the hearing closed. Councilmember Lyons stated that Councilmember Reller-Spurgin and he went to view the Tuckman's properties located in Oregon; that before and after pictures were viewed of the properties, as well as trips to the physical locations; that it was inspirational to see what has been done with (lie properties; and that this will be a restoration of a landmark downtown. Councilmember Reller-Spurgin stated that it is the intent of the Tuckman's to bring in retail to the ' building. Councilmember Hodges stated that the reports concerning the Tuckman's are impressive; that it sounds like they are fine hotel operators; that there are some points in the agreement that are not agreeable; and that due to the complete package, she will be voting against the approval. Mayor stated that there are points of the agreement that are not satisfactory, but that a vacant building is more unsatisfactory; that currently there is no TOT or property tax being collected; that all combined the Tuckman's will be investing $300,000 in the property; that there will be a $100,000 down payment and $200,000 in improvements; that is close to 30% of the sale price; that if there were an option the City would not be involved in real estate; that Councilmember Lyons and Reller-Spurgin did look at other properties the Tuckman's own; that the report back was favorable; and the operators will be good for the Connmunitty. Resolution 961 as recommended was presented, after which; it was moved by Lyons, seconded by Reller-Spurgin and carried by the following vote: AYES: Kleindieust, Lyons Reller-Spurgin and Maryanov NO: Hodges ABSENT: None ADJOURNMENT ' There being no further business, Chairman declared the meeting adjourned. JUDITH SUMICH Assistant Secretary -By: 'PATRICIA A. SANDERS Acting Assistant Secretary MINUTES OF COMMUNITY REDEVELOPMENT AGENCY CITY OF PALM SPRINGS DECEMBER 7, 1994 A Regular Meeting of the Community Redevelopment Agency, of the City of Palm Springs, California, was called to order by Chairman Maryanov, in the Council Chamber, 3200 Tahquitz Canyon Way, on Wednesday, December 7, 1994, at 6:00 p.m., at which time, the City Attorney announced items to be discussed in Closed Session, and at 7:00 p.m., (he meeting was convened in open session. ROLL CALL: Present: Agency Members Hodges, Klein dienst, Lyons, Reller-Spurgin and Chairman Maryanov Absent: None REPORT OF POSTING OF AGENDA: City Clerk reported that the agenda was posted in accordance with Council procedures on December 2, 1994. REPORT OF CITY ATTORNEY ON MATTERS DISCUSSED IN CLOSED SESSION (All Entities) -See items on Page 5 of agenda this date. APPROVAL OF MINUTES: It was moved by Hodges, seconded by Lyons, and unanimously carried, that the Minutes of October 19, 1994 be approved. PUBLIC COMMENTS: a) Fred Ebeling, resident, stated that consents were made at the last meeting that certain people purported to represent the citizens; that lie did not believe that anyone said they represented other than themselves; that Judge Dougherty sits on the P.S. Consolidated Court, and his wife is president elect of the P.S. Board of Realtors, and lie felt the judge should have abstained from hearing the case; and that he thought the Mayor should also abstain. Chairman stated that regarding the property on Tahquitz, in which he has an interest, was confirmed by the Planning Department, via a survey, to be outside of the 300 foot distance; and lie explained that the property interest is held by a partnership in which he has an interest. LEGISLATIVE ITEMS: 1. PA137 - LOUISE'S PANTRY Recommendation: That the Agency approve a settlement agreement between the Community Redevelopment Agency and Louise's Pantry Inc., David Jeter, John Wessman,Wessmw Development Co., Ilcy Enterprises, and Craig Yount, A345C. Agency Member Kleindienst and Chaimiar. Maryanov slated they would abstain due to a client relationship (124- witi Mr. Wessnnan. 049) Assistant City Manager reviewed the details of his report, a copy of which is on file with the City Clerk, as well as the terms of the agreement, noting that the net cost to the Agency is about$13,000. Resolution 962, as recommended, was presented; after which, it was moved by Hodges seconded by Reller- Spurgin and unanimously carried, that R962 be adopted. ADJOURNMENT There being no further business, Mayor declared the meeting adjourned. JUDITII SUMICL Assistant Secretary