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HomeMy WebLinkAbout01-25-2005 City Council Minutes MINUTES REGULAR CITY COUNCIL MEETING CITY OF LAKE ELSINORE 184 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, JANUARY 25, 2005 ************************************************************** CALL TO ORDER The Regular City Council was called to order by Mayor Magee at 5 :25 p.m. ROLL CALL PRESENT: COUNCILMEMBERS: BUCKLEY, HICKMAN, KELLEY, SCHIFFNER, MAGEE ABSENT: COUNCILMEMBERS: NONE Also present were: City Manager Brady, City Attorney Leibold, Administrative Services Director Pressey, Community Services Director Sapp, Lake & Aquatic Resources Director Kilroy, Engineering Manager Seumalo, Building & Safety Manager Chipman, Information/Communications Manager Dennis, Parks & Open Space Manager Fazzio, Planning Manager Villa, Public Works Manager Payne, Recreation & Tourism Manager Fazzio, City Treasurer Weber and City Clerk/Human Resources Director Kasad. CLOSED SESSION a. CONFERENCE WITH REAL PROPERTY NEGOTIATOR (Government Code Section 54956.8) (F:40.1)(X:114.14) Property: Lake Elsinore Campground and Day Use Facility Negotiating Parties: City of Lake Elsinore and Destination Resorts, LLC, a California limited liability company. Under Negotiation: price and terms of payment. Page Two - City Council Minutes - January 25, 2005 - b. CONFERENCE WITH REAL PROPERTY NEGOTIATOR (Government Code Section 54956.8) (F:40.1)(X:48.1) Property: APN 377-180-037 Negotiating Parties: City of Lake Elsinore and Redevelopment Agency of the City of Lake Elsinore. Under Negotiation: Terms. c. PUBLIC EMPLOYEE PERFORMANCE EVALUATION - City Attorney (Government Code Section 54957) (F:40.1) d. PUBLIC EMPLOYMENT - City Manager (Government Code Section 54957) (F:46.1)(X:40.1) City Attorney Leibold announced the above listed Closed Session discussion items as listed. - THE REGULAR CITY COUNCIL MEETING WAS RECESSED TO CLOSED SESSION AT 5:26 P.M. The Closed Session discussion was completed at 6:45 p.m. RECONVENE IN PUBLIC SESSION Mayor Magee reconvened the Regular City Council Meeting in public session at 7:04 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Mayor Pro Tern Schiffner. INVOCATION - MOMENT OF SILENT PRAYER Mayor Magee led the meeting in a moment of silent prayer. - Page Three - City Council Minutes - January 25, 2005 ROLL CALL PRESENT: COUNCILMEMBERS: BUCKLEY, HICKMAN, KELLEY, SCHIFFNER, MAGEE ABSENT: COUNCILMEMBERS: NONE Also present were: City Manager Brady, City Attorney Leibold, Administrative Services Director Pressey, Community Services Director Sapp, Fire Chief Gallegos, Lake & Aquatic Resources Director Kilroy, Police Lt. Koepp, Engineering Manager Seumalo, Building & Safety Manager Chipman, Information/Communications Manager Dennis, Parks & Open Space Manager Fazzio, Planning Manager Villa, Public Works Manager Payne, Recreation & Tourism Manager Fazzio, City Treasurer Weber and City Clerk/Human Resources Director Kasad. PRESENTATIONS/CEREMONIALS A. Proclamation - Temescal Canyon Varsity Football Team. (F:122.1)(X:142.1) Mayor Magee noted the outstanding efforts of this year's football team, achieving a 10-0 record. He read and presented the proclamation to the Coach and four members of the football team. Coach thanked the City Council for this recognition and for the opportunity to represent the community. B. Proclamation - H.O.P.E.(F:122.1) Mayor Magee congratulated the representatives ofH.O.P.E. on their contributions to the community. He read and presented the proclamation to Mr. Hewison and other representatives of the organization. Mr. Hewison thanked the Council for this recognition and noted the need of the organization for someone with a SUV to assist with deliveries. Page Four - City Council Minutes - January 25, 2005 - C. Presentation - Historical Society. (F: 1 08.1) J.J. Swanson & Ruth Atkins presented representatives ofKB Homes with a plaque in appreciation for their contribution of the furniture from four complete model homes for use in their recent fund-raiser. The representative of KB Homes thanked the Historical Society for the opportunity to participate and stressed their interest in playing an active role in the community. CLOSED SESSION REPORT City Attorney Leibold reported that all matters listed for Closed Session had been discussed with no reportable action; however Item A regarding the Campground was listed later on this agenda for discussion and consideration. PUBLIC COMMENTS - NON-AGENDIZED ITEMS - 1 MINUTE - Ron La Pere, 16867 Wells Street, announced that the Chamber of Commerce had recognized Dan Uhlry as Citizen of the Year; and commended their choice, as well as his commitment to the community. Harvey Ryan, 17561 Sunnyslope, advised that he and Phil Williams had been assigned by the EVMWD Board to attend City Council meetings as their liaisons. He looked forward to cooperative efforts between the two agencies. Donna Franson, 7 Villa Valtelena, announced the upcoming Lake Elsinore Citizens Committee Meeting on January 27th in the Ortega High School, Multi-purpose Room. She advised that future newsletters, notices and meeting attendance would require payment of the $5 annual membership dues. Tim Fleming, 17970 Lakeshore Drive, announced that the Homeless Census would be held on January 26th and encouraged interested parties to volunteer to help. - Page Five - City Council Minutes - January 25, 2005 Mark McDorman, 3740 Ulla Lane, expressed concern with the pending dedication of Ulla Lane. He indicated that the street was partially held by each individual property owner on the street, within their deeds. He stressed that it should be a private street, due to private ownership. He requested that the Council help them to resolve this issue once and for all. PUBLIC COMMENTS - AGENDIZED ITEMS - 3 MINUTES A request was received to address the following item and deferred to that discussion: Item No. 31. CONSENT CALENDAR MOVED BY KELLEY, SECONDED BY SCHIFFNER AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE CONSENT CALENDAR AS PRESENTED, WITH THE MINUTES CORRECTED AS NOTED IN THE EARLIER STUDY SESSION. 1. The following Minutes were approved: A. Joint City Council/RedevelopmentAgency Study Session- December 28, 2004. (F:44.4) B. Regular City Council Meeting - December 28, 2004. C. City Council Study Session - January 6, 2005. D. Joint City Council/RedevelopmentAgency Study Session- January 11,2005. E. Regular City Council Meeting - January 11, 2005. The following Minutes were received and ordered filed: F. Public Safety Advisory Commission Meeting - November 10, 2004. (F:59.6) Page Six - City Council Minutes - January 25, 2005 - 2. Ratified Warrant List for January 14,2005. (F:12.3) 3. Rejected and referred to Claims Administrator for handling the Claims Against the City filed by Carlos Piro (CL#2004-03), Pamela Lewis (CL #2004-05), and Brean N. Postin (CL#2004-15). (F:52.2) 4. Adopted Updated Resolutions and Authorized Signatures for the State Local Agency Investment Fund - Resolution No. 2005-1. (F:12.1) RESOLUTION NO. 2005-1 REGULAR ACCOUNT RESOLUTION, CITY OF LAKE ELSINORE. 5. Adopted Resolution of Intention to Annex Property into Community Facilities District No. 2003-1 (Law Enforcement, Fire and Paramedic Services) and to Authorize the Levy of a Special Tax within Annexation Area No. 10 (La Laguna Phase 3) - Resolution No. 2005-2. (F:22.3) - RESOLUTION NO. 2005-2 RESOLUTION OF INTENTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE TO ANNEX PROPERTY INTO COMMUNITY FACILITIES DISTRICT NO. 2003-1 (LAW ENFORCEMENT, FIRE AND PARAMEDIC SERVICES) AND TO AUTHORIZE THE LEVY OF A SPECIAL TAX WITHIN ANNEXATION AREA NO. 10 (LA LAGUNA PHASE 3). 6. Adopted Resolution of Intention to Annex Property into Community Facilities District No. 2003-1 (Law Enforcement, Fire and Paramedic Services) and to Authorize the Levy of a Special Tax within Annexation Area No. 11 (Alberhill Ranch) - Resolution No. 2005-3. (F:22.3) RESOLUTION NO. 2005-3 - Page Seven - City Council Minutes - January 25, 2005 RESOLUTION OF INTENTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE TO ANNEX PROPERTY INTO COMMUNITY FACILITIES DISTRICT NO. 2003-1 (LAW ENFORCEMENT, FIRE AND PARAMEDIC SERVICES) AND TO AUTHORIZE THE LEVY OF A SPECIAL TAX WITHIN ANNEXATION AREA NO. 11 (ALBERHILL RANCH). 7. Adopted Resolution Initiating Proceedings and Approving the Engineer's Report for the Annexation of Certain Territory known as Tract 31917 into the City of Lake Elsinore Landscape and Street Lighting District No.1, as LLMD Annexation No.5 (La Laguna Phase 3), Declaring the City's Intention to Order the Annexation and to Levy and Collect Assessments, Determining that these Proceedings shall be taken pursuant to the Landscaping and Lighting Act of 1972 and the Right to Vote on Taxes Act, and Offering a Time and Place for Hearing Objections thereto - Resolution No. 2005-4. (F:22.2) RESOLUTION NO. 2005-4 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, INITIATING PROCEEDINGS AND APPROVING THE ENGINEER'S REPORT FOR THE ANNEXATION OF CERTAIN TERRITORY KNOWN AS THE TRACT 31917 INTO THE CITY OF LAKE ELSINORE LANDSCAPE AND STREET LIGHTING DISTRICT NO. 1, AS ANNEXATION NO.5 TO THE LAKE ELSINORE LANDSCAPE AND STREET LIGHTING MAINTENANCE DISTRICT NO.1, DECLARING THE CITY'S INTENTION TO ORDER THE ANNEXATION AND TO LEVY AND COLLECT ASSESSMENTS, DETERMINING THAT THESE PROCEEDINGS SHALL BE TAKEN PURSUANT TO THE LANDSCAPING AND LIGHTING ACT OF 1972 AND THE RIGHT TO VOTE ON TAXES ACT, AND OFFERING A TIME AND PLACE FOR HEARING OBJECTIONS THERETO. Page Eight - City Council Minutes - January 25, 2005 - 8. Adopted Resolution Initiating Proceedings and Approving the Engineer's Report for the Annexation of Certain Territory Known as Tract 28214 into the City of Lake Elsinore Landscape and Street Lighting District No.1, As LLMD Annexation No.6 (Alberhill Ranch), Declaring the City's Intention to Order the Annexation and to Levy and Collect Assessments, Determining that these Proceedings shall be taken pursuant to the Landscaping and Lighting Act of 1972 and the Right to Vote on Taxes Act, and Offering a Time and Place for Hearing Objections Thereto - Resolution No. 2005-5. (F:22.2) RESOLUTION NO. 2005-5 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, INITIATING PROCEEDINGS AND APPROVING THE ENGINEER'S REPORT FOR THE ANNEXATION OF CERTAIN TERRITORY KNOWN AS THE TRACT 28214 INTO THE CITY OF LAKE ELSINORE LANDSCAPE AND STREET LIGHTING DISTRICT NO. 1, AS ANNEXATION NO.6 TO THE LAKE ELSINORE LANDSCAPE AND STREET LIGHTING MAINTENANCE DISTRICT NO.1, DECLARING THE CITY'S INTENTION TO ORDER THE ANNEXATION AND TO LEVY AND COLLECT ASSESSMENTS, DETERMINING THAT THESE PROCEEDINGS SHALL BE TAKEN PURSUANT TO THE LANDSCAPING AND LIGHTING ACT OF 1972 AND THE RIGHT TO VOTE ON TAXES ACT, AND OFFERING A TIME AND PLACE FOR HEARING OBJECTIONS THERETO. - 9. Approved Contract for Professional Services with Kobata & Associates for Swick-Matich Park Development and Implementation Plan. (F:68.1)(X:114.6) 10. Approved Professional Services Agreement for Recreational Aquatic Safety Assessment of Lake Elsinore with Mr. Tom Griffiths, Aquatic Safety Research Group, in the amount of$22,000. (F:68.1)(X:92.1) 11. Approved printing of Public Safety Advisory Commission brochure at a cost - Page Nine - City Council Minutes - January 25, 2005 of$.35 per brochure or a total of about $3,380. (F:59.6) PUBLIC HEARINGS 23. Public Hearing Authorizing the Issuance of Bonds and Approving Bond Documents: formation ofCFD 2005-1 (Serenity): Calling a Special Election: Canvassing Election Results: and Authorizing Levy of Special Taxes. (F:22.3) Administrative Services Director Pressey indicated that this was the process for creating a new Community Facilities District, which was initiated with the Resolution of Intention, adopted on December 14th, followed by noticing of this public hearing. Mayor Magee opened the public hearing at 7 :29 p.m. City Attorney Leibold indicated that notice of this hearing was published as required by the Community Facilities DistrictAct, with verification on file in the City Clerk's Office. Administrative Services Director Pressey clarified that this was the second phase of the Serenity Tract, being developed by KB Homes. He advised that the levy would begin in 2005-06, and the homes developed as of May 1, 2005 would have a weighted average of the taxes of about $2,557. He noted the 2% limitation on taxes and advised that this development had a rate of 1.89%. He detailed the bonds to be issued and indicated that the bonds to be issued were in the amount not to exceed $12 million, but the facilities were estimated to cost approximately $8 million. He invited Bond Counsel Hunt to describe the process. Bond Counsel Hunt indicated that it would first be appropriate to request public testimony. Mayor Magee requested clarification that this only related to the new phase Page Ten - City Council Minutes - January 25, 2005 - of Serenity Homes, and not the existing homes. Administrative Services Director Pressey confirmed that it was only the new development. Mayor Magee asked those persons interested in this item to speak. There were no requests to speak. Councilwoman Kelley noted that at the agenda review, there was a question regarding the obligated amount of the bond, and additional funds were included. Bond Counsel Hunt indicated that the improvements would potentially cost up to $8 million, but the District would be sized to cover the actual improvements at that time. Mayor Magee noted a comment at the 4 p.m. session regarding the street light, and indicated that there was a second light requested by the School District which increased the cost. He clarified that it was at a County intersection. - Mayor Magee inquired if there were any additional property owners with written protests, noting that for this purpose, only written protests would be considered. Mayor Magee closed the public hearing at 7 :31 p.m. Bond Counsel Hunt requested that the Council make a motion on the resolution of formation. MOVED BY SCHIFFNER, SECONDED BY HICKMAN AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 2005-9: RESOLUTION NO. 2005-9 RESOLUTION OF FORMATION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, DETERMINING THE VALIDITY OF PRIOR PROCEEDINGS AND ESTABLISHING CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2005-1 - Page Eleven - City Council Minutes - January 25, 2005 (SERENITY) AND APPROVING FEE DEPOSIT AND REIMBURSEMENT AGREEMENTS. Bond Counsel Hunt requested adoption of the Resolution calling the Special Election. MOVED BY SCHIFFNER, SECONDED BY BUCKLEY AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 2005-10: RESOLUTION NO. 2005-10 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE TO INCUR BONDED INDEBTEDNESS IN THE AMOUNT NOT TO EXCEED $12,000,000 WITHIN THE CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2005- 1 (SERENITY) AND CALLING A SPECIAL ELECTION. Mayor Magee requested that the City Clerk tabulate and report on the ballots cast. City Clerk/Human Resources Director Kasad reported that there was no opposition to the proposed formation. MOVED BY SCHIFFNER, SECONDED BY HICKMAN AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 2005-11: RESOLUTION NO. 2005-11 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE CANVASSING THE RESULTS OF THE ELECTION HELD WITHIN THE CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2005-1 (SERENITY). MOVED BY SCHIFFNER, SECONDED BY BUCKLEY TO ADOPT Page 1\velve - City Council Minutes - January 25, 2005 - ORDINANCE NO. 1139, UPON FIRST READING BY TITLE ONLY: ORDINANCE NO. 1139 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE AUTHORIZING THE LEVY OF A SPECIAL TAX. UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: BUCKLEY, HICKMAN, KELLEY, SCHIFFNER, MAGEE NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: NONE - ABSTAIN: COUNCILMEMBERS: NONE City Attorney Leibold announced for the record that each Resolution and Ordinance No. 1139, were unanimously approved. THE REGULAR CITY COUNCIL MEETING WAS RECESSED AT 7:34 P.M. THE REGULAR CITY COUNCIL MEETING RECONVENED AT 7:40 P.M. 21. Public Hearing - Resolution Determining the Validity of Prior Proceedings Relating to Annexation of Property into the City of Lake Elsinore Community Facilities District No. 2003-1 (Law Enforcement. Fire and Paramedic Services)~ Calling a Special Election~ Canvassing Election Results~ and Authorizing the Levy of Special Taxes for CFD 2003-1 Annexation Area No.9 (Serenity). (F:22.3) - Page Thirteen - City Council Minutes - January 25, 2005 Mayor Magee opened the public hearing at 7 :40 p.m. Administrative Services Director Pressey indicated that this proceeding also related to the new Serenity Development. He explained that all new developments are conditioned to participate in this District, which subsidizes public safety services. He advised that this would be an annual assessment of$312.12 per single family dwelling unit and $156.06 per multi-family unit. He indicated that this was a similar process to the last public hearing. Mayor Magee requested testimony from the public. There was no public testimony on this item. City Attorney Leibold noted for the record that notice was provided as required by the Mello-Roos Act and verification was on file with the City Clerk. Mayor Magee inquired if there was any other property owners wishing to file a written protest to this action. He reminded the public that this was the new Serenity project, and not the existing homes. There were no written protests submitted. Mayor Magee closed the public hearing at 7 :44 p.m. MOVED BY BUCKLEY, SECONDED BY HICKMAN AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 2005-6: RESOLUTION NO. 2005-6 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DETERMINING THE VALIDITY OF PRIOR PROCEEDINGS RELATING TO ANNEXATION OF PROPERTY INTO CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2003-1 (LAW ENFORCEMENT, FIRE AND Page Fourteen - City Council Minutes - January 25, 2005 - PARAMEDIC SERVICES). MOVED BY SCHIFFNER, SECONDED BY BUCKLEY AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 2005-7: RESOLUTION NO. 2005-7 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE ACTING ON BEHALF OF CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2003-1 (LAW ENFORCEMENT, FIRE AND PARAMEDIC SERVICES) CALLING A SPECIAL ELECTION. Mayor Magee requested tabulation and report on the ballots submitted. City Clerk/Human Resources Director Kasad reported that the vote was in support of the proposed annexation to the District. - MOVED BY KELLEY, SECONDED BY BUCKLEY AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 2005-8: RESOLUTION NO. 2005-8 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE ACTING ON BEHALF OF CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2003-1 (LAW ENFORCEMENT, FIRE AND PARAMEDIC SERVICES) CANVASSING THE RESULTS OF THE ELECTION HELD WITHIN ANNEXATION AREA NO.9 (SERENITY) ANNEXED TO SAID DISTRICT. MOVED BY BUCKLEY, SECONDED BY HICKMAN TO ADOPT ORDINANCE NO. 1138, UPON FIRST READING BY TITLE ONLY: - Page Fifteen - City Council Minutes - January 25, 2005 ORDINANCE NO. 1138 ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE ACTING AS THE LEGISLATIVE BODY OF CITY OF LAKE ELSINORE COMMUNITY FACILITIES DISTRICT NO. 2003- 1 (LAW ENFORCEMENT, FIRE AND PARAMEDIC SERVICES) AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN ANNEXATION AREA NO.9 (SERENITY) ANNEXED TO SAID DISTRICT. UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: BUCKLEY, HICKMAN, KELLEY, SCHIFFNER, MAGEE NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: NONE ABSTAIN: COUNCILMEMBERS: NONE 22. Resolution Approving the Annexation of Territory and the Levy of Assessments for Lake Elsinore Landscape and Street Lighting District No.1 as Annexation Area No.3 (Serenity). (F:22.2) Mayor Magee opened the public hearing at 7 :46 p.m. Administrative Services Director Pressey noted that this was also related to the new Serenity Development, and was an annexation into the LLMD. He further noted that all new developments with more than four street lights and landscaped areas are annexed into the district as a condition of development. He detailed the proposed improvements and the first year of assessments. He noted that the district carried at 2% escalator. He detailed Page Sixteen - City Council Minutes - January 25, 2005 - the process for this hearing. City Attorney Leibold announced this matter had been published in accordance with the requirements and verification was on file with the City Clerk. Mayor Magee inquired if there was anyone wishing to provide public testimony on this item. There was no public testimony. He inquired if there were other property owners who wished to file written protests to this action. There were no written protests filed. He reiterated that this was the Serenity 2 project and closed the public hearing at 7:50 p.m. Mayor Magee requested that the City Clerk canvass the election returns. City Clerk/Human Resources Director Kasad reported no majority protest to the proposed action. - MOVED BY BUCKLEY, SECONDED BY SCHIFFNER AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 2005-12: RESOLUTION NO. 2005-12 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, APPROVING THE ANNEXATION OF TERRITORY AND THE LEVY OF ASSESSMENTS FOR LAKE ELSINORE LANDSCAPE AND STREET LIGHTING DISTRICT NO.1 AS ANNEXATION AREA NO. 3 (SERENITY). BUSINESS ITEMS 31. Appointment of Planning Commissioner. (F:60.2) Mayor Magee noted that this was an appointment to fill the seat recently - Page Seventeen - City Council Minutes - January 25, 2005 vacated by Harvey Ryan, upon his election to the EVMWD Board. He explained that two Councilmembers were asked to be part of a subcommittee for interviews. Mayor Pro Tern Schiffner indicated that he and Councilman Hickman interviewed the applicants and found them all worthy, however, decided that the best applicant for consideration was John Gonzales. Councilman Hickman expressed concurrence with this recommendation, but thanked all of the applicants, noting that they were all well qualified. Mayor Magee noted that the sub-committee's recommendation was unammous. Councilwoman Kelley commented that in the past Mr. Gonzales had been her appointment to a number of committees including the Palm Trees, the Fire Station Naming and the Country Club Heights. MOVED BY KELLEY, SECONDED BY SCHIFFNER AND CARRIED BY UNANIMOUS VOTE TO APPOINT JOHN GONZALES TO THE VACANCY ON THE PLANNING COMMISSION FORA TERM CONTINUING UNTIL JUNE, 2008. 34. Lake Elsinore Campground and Day Use Facility Concession Agreement. (F:1l4.13) Lake & Aquatic Resources Kilroy indicated that the City staff was pleased to bring forward a proposal for a plan to invest $17 million in the Campground facility. He indicated that the concessionaire had done a great job in operating a very old facility. He introduced Chet Roberts, President of Pyramid Enterprises, for an overview of the proposal. Mr. Roberts indicated that this discussion would culminate two years of negotiations with City staff, and they were pleased to come before the Council to provide an overview of the project. He indicated that they Page Eighteen - City Council Minutes - January 25, 2005 - would proceed in three phases, to maintain the continuity of the facility throughout the development phase. He detailed the proposed improvements including 160 full hook-up sites, a recreation center, swimming pool, realignment of the entrance, tennis courts and a dry storage area. He commented on the sensitivity of the tree situation and indicated that they would preserve the existing trees where possible. He indicated that they will work to create an environment that is much safer for the campers. He commended City staff on their two years of negotiations and thanked them for their efforts. Lake & Aquatic Resources Director Kilroy requested that the City Attorney highlight the details of the agreement. City Attorney Leibold indicated that there would be a $17 million investment over a period of up to three years. She indicated that upon completion, a new financial arrangement would come into effect for 5% of the gross receipts, with a minimum of $150,000 for the first five years. She advised that the term was for 40 years, and the City had a buy out provision based on the unamortized value of the improvements. She indicated that it was a long term agreement with the improvements coming through the standard City entitlement process. She noted that one of the key improvements was the realignment of the entrance with Lincoln Avenue. - City Treasurer Weber questioned the track record of the concessionaire on a project of this type and their successes. Lake & Aquatic Resources Director Kilroy noted that they were teaming with a developer that had done a number of projects. He also noted that a completion bond would be required as insurance, with a check for $50,000 up-front and the completion bond for the $17 million. City Treasurer Weber inquired if they had done a project of this size before. Mr. Roberts indicated that they had not, as this would be a five star resort; but stressed that his career was operating campgrounds, so he brought good experience to the project. City Treasurer Weber inquired into the biggest project they had done. Mr. Roberts indicated that he manages about 200 campgrounds across the United States, but they have not been involved in one nearly this size. City - Page Nineteen - City Council Minutes - January 25, 2005 Treasurer Weber indicated that people usually want to do some verification of dollars involved in a project of this size. He indicated that he did not think there had been any audit of the receipts coming in; and suggested verification would be more prudent for the City, than going into this arrangement based on trust. He suggested that there was a need to know the potential capabilities of the campground. He questioned who had looked at the numbers to make sure they made sense. Mayor Magee questioned the concessionaire's track record over the last three years. Lake & Aquatic Resources Director Kilroy indicated that when the City operated the facility it was loosing about $160,000 a year, and it was flooded. He further indicated that when Pyramid took over the boat launch became operational and the City had received about $30,000 a year. Mayor Magee inquired if there had been an audit of those books. Lake & Aquatic Resources Director Kilroy indicated that there had not been a formal audit, but the City received monthly statements. City Attorney Leibold commented that each of the monthly statements was in order and there had been no cause for a formal audit. She stressed that there were specific requirements for maintenance of the books and records, including the requirement that they use a CPA to provide audited financial statements. She advised that she and the Administrative Services Director had reviewed the plan and felt very comfortable with their performance to date. She indicated that it was viewed as a mutually beneficial plan. Mayor Magee inquired if the City Treasurer felt more comfortable based on this information. City Treasurer Weber indicated that from a business standpoint it should have been audited up-front. He commented that it was good it was in the contract, but he was not sure why it was not done in the beginning to understand the status. He questioned if there had been adequate due diligence in that this was the first time the developer was doing a project of this type. He indicated that he trusted staff's judgment, but it would be good to verify. Page Twenty - City Council Minutes - January 25, 2005 - Councilman Buckley commented that the City would get more money out of this plan than it was currently receiving. City Attorney Leibold noted that due diligence was conducted. Mr. Roberts introduced Fred Rice, who had the experience of doing this type of development. Fred Rice, indicated that he had been in the development arena for 35 years, and noted that in 1995-98, he did a $150 million project in Nevada. He indicated that most of his projects are single family residences in the $20 to $50 million range. He indicated that he owns two mobile home parks, and this is not a large project for him. He stressed that he is capable of building and operating a project of this size. Mayor Magee noted that Mr. Rice was the Development arm and Mr. Roberts was the Management arm, and they were joining efforts on this project. He noted that they were making a considerable investment in the community. - Councilwoman Kelley commented that over the years, when there was an interest in overhauling the campground, there was a concern for the tent camping area. She noted that the boy scouts frequently used the area and she was very concerned with the preservation of that area for tent camping. Mr. Roberts confirmed that they would preserve an area for the boy scouts, which would be affordable, but closer to the lake. MOVED BY BUCKLEY, SECONDED BY SCHIFFNER TO APPROVE THE CONCESSION AGREEMENT AND AUTHORIZE THE MAYOR TO EXECUTE THE AGREEMENT SUBJECT TO ANY MINOR MODIFICATIONS AS MAY BE APPROVED BY THE CITY ATTORNEY. Mayor Pro Tern Schiffner indicated that he was looking forward to seeing the project started and completed. He commented that he was happy to have them here. - Page Twenty-One - City Council Minutes - January 25, 2005 Mayor Magee noted that this was a $1 7 million investment for tourist recreation oriented business over the course of three years, which would make a dramatic impact on the valley. He suggested that it would fire the community's economic motor, and commended staff and the City Attorney on an excellent job. He noted that while the agreement was for 40 years, there was a buy-out provision. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE. 32. Final Plan to Rehabilitate the Boat Launch Facility at the LERA Campground. (F: 114.13)(X:92.1) Lake & Aquatic Resources Director Kilroy noted that this was a request for direction for rehabilitation of the facility. He explained that the facility was built in the mid-1960's and was overdue for rehabilitation. He reminded Council that the City had received a $3 million grant, which would cover %'s of the total project amount, but not the improvements to the adjacent peninsula. He indicated that to insure operational safety of the shoreline, it had been considered by the Public Safety Advisory Commission and they recommended four different options. He detailed the options, and indicated the options were reviewed by Noble Consultants, who recommended option 2 for functionality. He explained that the project would consist of floating docks/breakwater system, removal of a portion of the peninsula, with the remaining portion of the peninsula graded and contoured to take out any abrupt grades. He advised that it would include a 425 foot dock, anchored by pilings~ which would serve as a visible barrier. He indicated that the Public Safety Advisory Commission had reviewed the recommendation on January It\ but had several concerns. He stressed that the criteria was safety to swimmers and boaters, and staff had recommended consideration of no breakwater at all, but some felt the breakwater was desirable. He advised that the recommendation of plan 2, carried a total cost from $4.89 million to $5.2 million, depending on the cost of dredging and fill material. He indicated that staff had set aside $909,000 in the Capital Improvement Budget, but would require up to an addition $1.3 million. He noted other Page 1\venty-1\vo - City Council Minutes - January 25, 2005 - possible options for funding and recommended concurrence with the Public Safety Advisory Commission recommendation for option 2, with staff being directed to investigate other funding sources. Councilman Buckley noted that he had requested consideration of this item after the Concession Agreement, so there would be a new revenue stream. He suggested approving the project with funding from Capital or the new revenues from the campground itself. Councilman Hickman expressed concern with the needed $1.3 million, since only $900,000 was in the budget. He noted the other needs for this year such as Highway 74 infrastructure and the new fire station. He stressed the need to come up with some creative financing, as other projects are more important and budgets will get tight. Mayor Pro Tern Schiffner addressed the concern for additional funds and indicated that staff had several options for financing, as well as possible one time revenue sources. He indicated that he did not see a great problem over the two year period. He stressed that this was really needed to make the operation worthwhile and address the safety issues at the same time. He indicated that he was in favor of moving ahead. - Councilman Hickman indicated that he was in favor of the project, but concerned with the financing. Councilwoman Kelley commented that no one would argue that transportation was a priority, but this action was directing staff to find a way to finance the project. She stressed that they would have to identify the funding source. She indicated that she was willing to assign that responsibility and support the motion. MOVED BY BUCKLEY, SECONDED BY HICKMAN TO SUPPORT OPTION 2 AND DIRECT STAFF TO IDENTIFY FUNDING WITH CAPITAL FUNDS OR CAMPGROUND CONCESSION REVENUE. - Page 1\venty- Three - City Council Minutes - January 25, 2005 Councilwoman Kelley questioned the use of the campground concession money. Councilman Buckley clarified that it would be the income the campground would be generating, due to the new agreement. Councilwoman Kelley expressed concern with locking into something that would not pan out, time wise. Administrative Services Director Pressey inquired if there was any limitation on the capital funds. Councilman Buckley clarified that staff should look at capital first, then concession monies and general fund last. Mayor Pro Tern Schiffner indicated that he was reluctant to look at a process that would tie staff up too tightly, but this proposal would not do that, as capital is a broad category. Mayor Magee clarified that the intent was no general fund money and no unallocated revenues. He noted that at the study session a concern was raised regarding the 15/74 interchange; and indicated that had discussions with Caltrans and they think they will be able to resolve that issue. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE. 33. Formation and Selection of General Plan Advisory Committee. (F:83.l )(X:59.l) City Manager Brady indicated that the City was in the process of updating the General Plan and had approved $500,000 this year and $500,000 next year in funding. He further indicated that the consultants had been hired to update the plan and staff had met with them in the process. He noted Council's interest in public participation and a number of organizations, agencies and individuals which had been mentioned for participation. He suggested that the Committee be limited to 10 to 15 members, including representatives of the Chamber, Schools, Water District, Business Owners, Residents, Adjacent Residents, a Planning Commissioner, the Tourism Industry and the Development Community. He suggested that the Council encourage people to apply and turn their names in to the City Clerk's Office; Page 1\venty-Four - City Council Minutes - January 25, 2005 - with the matter returning to the February 220d meeting for appointments. Mayor Magee requested that Councilwoman Kelley and Councilman Buckley serve as appointees to a subcommittee to review those interested in serving on the GPAC, and bring a recommendation back to Council. He reiterated that anyone interested in participating contact the City Clerk's Office or the City Council Members on the subcommittee. He noted that the Mayor would appoint the Chairperson to the GPAC. Councilman Buckley suggested that to make the February 220d meeting, everyone interested should submit their names by February 10th, so the subcommittee can decide how to proceed. MOVED BY MAGEE, SECONDED BY BUCKLEY AND CARRIED BY UNANIMOUS VOTE TO APPOINT COUNCILMEMBERS BUCKLEY AND KELLEY TO THE SUBCOMMITTEE TO SELECT AND RECOMMEND THE MEMBERS FOR THE GPAC TO INCLUDE THE AGENCIES PREVIOUSLY LISTED PRIOR TO FEBRUARY 22ND. - THE REGULAR CITY COUNCIL MEETING WAS RECESSED AT 8:29 P.M. THE REGULAR CITY COUNCIL MEETING WAS RECONVENED AT 8:33 P.M. PUBLIC COMMENTS - NON-AGENDIZED ITEMS - 3 MINUTES Paula Graver, 117 N. Poe Street, read a letter from a soldier serving in Iraq, thanking the community for the support of the troops. She noted that there was a website for positive information on the effort in Iraq being www.strikersnews.com She also read a poem entitled "God Bless a Soldier". She invited everyone to attend the second anniversary of the rallies on March lih. Chris Hyland, 15191 Wavecrest, noted an article about the flood control letter. - Page 1\venty-Five - City Council Minutes - January 25, 2005 She stated that she was present as a private citizen, and stressed her first amendment right as either a citizen or an elected official. She questioned if the Council was aware that sand was poured into the end of the levee and indicated that it should have been impervious material. She indicated that it was the opinion of many that the levee should not have been configured in a 900 curve. She reiterated the need for an impervious material that would not erode. Vida Boice, 17 Ponte Negra, addressed the City Council and Police Chief regarding continuing issues with motorcycles in her neighborhood. She indicated that it had been discussed with police representatives, and stressed that police officers were being paid to deal with the problem. She stressed that the riders were making the area a racetrack and indicated that the police needed to do more. Mayor Magee suggested talking with the Police Chief regarding the exact location so it could be addressed with the ROVE program. Mrs. Boice further addressed her concerns with Railroad Canyon Road. She indicated that she had no problem using Franklin Street as an alternative, but stressed that it was in bad shape and questioned if it would be adequate. She indicated that it was difficult for two big cars to pass, as it currently existed. Mayor Magee indicated that City Engineer Seumalo would be happy to meet with Mrs. Boice and listen to her concerns. CITY MANAGER COMMENTS City Manager Brady commented on the following: 1) Congratulated Dan Uhlry on his Citizen of the Year recognition. 2) Commended the Chamber of Commerce on a very nice event. 3) Addressed Ulla Lane, and indicated that staff was aware of the issues, had met with the residents several times, and were looking at the concerns. He noted that staff was also looking at similar concerns on Timberlake with the traffic from the development of the adjacent property. Page 1\venty-Six - City Council Minutes - January 25, 2005 - 4) Indicated that staff was looking at Franklin Street, and noted that it was part of the unfunded project list. CITY ATTORNEY COMMENTS City Attorney Leibold commented on the following: 1) Wished City Manager Brady a Happy Birthday. COMMITTEE REPORTS No Reports. CITY TREASURER COMMENTS City Treasurer Weber had no comments. - CITY COUNCIL COMMENTS Councilman Buckley commented on the following: 1) Thanked Congressman Issa's Office for the opportunity to attend the inauguration, and noted a line from the President's speech, that "to serve the people, one needs to trust them". Councilman Hickman commented on the following: 1 ) Offered kudos to the Chamber of Commerce for the Installation Dinner, and noted that the women looked gorgeous. 2) Congratulated Citizen of the Year Dan Uhlry, Packman Winner- Sally Myers, Large Business of the Year - Lake Chevrolet, Small Business of the Year - A Better Party. - Page 1\venty-Seven - City Council Minutes - January 25, 2005 3) Offered congratulations to John Gonzales on his appointment to the Planning Commission. Councilman Schiffner commented on the following: 1) Concurred with Councilman Hickman that the women at the Chamber Dinner looked nicer than the men. Councilwoman Kelley commented on the following: 1) Congratulated Mr. Cousins on a wonderful installation, noting that the food was great, and the decorations were outstanding. 2) Congratulated John Gonzales, noting that he had been in the community a long time. 3) Thanked Mayor Magee for being able to playa part on the General Plan subcommittee. She reiterated that interested parties should contact herself, Councilman Buckley or the City Clerk. 4) Wished City Manager Brady a Happy Birthday. Mayor Magee commented on the following: 1) Recognized Mr. Cousins and the Chamber Board for their work on the Chamber Installation. He concurred that Dan Uhlry was truly the Citizen of the Year. 2) Noted that the brochures for the RDA and PSAC were approved this evening. He indicated that staff working with the graphic artist had elevated this work to a top notch project. 3) Noted that there was an announcement for the last meeting that he forgot to read. He apologized to Ms. Graver and noted that from 10 Page Twenty-Eight - City Council Minutes - January 25, 2005 - a.m. to 3 p.m. on March 1ih there would be a celebration of the 2nd Anniversary of the Support the Troops Rally, with over 100 motorcycles. He further noted that there were still rallies every Saturday from 10 a.m. to 2 p.m. in front of Burger King. He indicated that people wanting to get involved could contact Ms. Graver at 951-805-2878 or Alaskan.angel@verizon.net. 4) Announced the following upcoming events: January 26th Homeless Census starting at the Cultural Center February 5th Household Hazardous Waste Collection at the City Yard February 6th Open Air Market, Downtown ADJOURNMENT THE REGULAR CITY COUNCIL MEETING WAS ADJOURNED AT 8:49 P.M. - ROBERTE.MA E,MAYOR CITY OF LAKE LSINORE ~ VICKI KASAD, CMC, CITY CLERK! HUMAN RESOURCES DIRECTOR CITY OF LAKE ELSINORE -