Agenda packet — Cathedral City City Council, April 9, 2025

CITY COUNCIL
AGENDA

Study Session 3:00 p.m.

Regular Meeting 5:30 p.m.

Wednesday, April 09, 2025

City Council Chambers
68-700 Avenida Lalo Guerrero
Cathedral City, CA 92234

MAYOR
Nancy Ross

CITY COUNCIL MEMBERS

Mayor Pro Tem
Raymond Gregory

Councilmember
Rita Lamb

Councilmember
Ernesto Gutierrez

Councilmember
Mark Carnevale

STUDY SESSION 3:00PM

Normally no action is taken on Study Session Items, however, the City Council reserves the right to give specific policy direction and take specific action as necessary.

Presentations will be limited to 10 minutes unless other provisions are made in advance.

CALL TO ORDER

ROLL CALL

AGENDA FINALIZATION
At this time the City Council may announce any items being pulled from the agenda or continued to another date.

1. PUBLIC COMMENTS

This is the opportunity for members of the public to comment on any items not appearing on the regular agenda. Because of restrictions contained in California Law, the City Council may not discuss or act on any item not on the agenda but may briefly respond to statements made or ask a question for clarification. The Mayor may also request a brief response from staff to questions raised during public

2 comment or may request a matter be agendized for a future meeting. Public Comment will be limited to three (3) minutes.

2. STUDY SESSION

A. Fiscal Year (FY) 2025/2026 and 2026/2027 Biennial Budget General Fund Overview Discussion
Recommendation: This item is presented for information and discussion only.

3. CLOSED SESSION

A. Conference with Labor Negotiator: Pursuant to Government Code 54957.6

Labor Negotiator: Charles McClendon, City Manager and Eugenia Torres, Human Resources Manager

Employee Organization: Cathedral City Police Management Association (CCPMA)
Recommendation: There is no Staff Recommendation.

B. Conference with Legal Counsel - Anticipated Litigation/Threat of Litigation, Pursuant to Government Code Section 54956.9(d)(2).

Number of Potential Cases: Two
Recommendation: There is no Staff Recommendation.

RECESS

REGULAR MEETING - 5:30 PM

CALL TO ORDER

PLEDGE OF ALLEGIANCE

INVOCATION (MOMENT OF REFLECTION)

ROLL CALL

AGENDA FINALIZATION
At this time the City Council may announce any items being pulled from the agenda or continued to another date.

1. PUBLIC COMMENTS

3 2. COUNCIL REPORTS

This is an opportunity for each member of the City Council to report on any conferences they attend, local events or make any other comments they may have.

3. CONSENT AGENDA

The following Consent Calendar items are expected to be routine and noncontroversial. They will be acted upon by the City Council at one time without discussion. Any Council Member, Staff Member, or Citizen may request removal of an item from the Consent Calendar for discussion.

A. Waive Full Reading of Ordinances on Agenda
Recommendation: Waive Full Reading of Ordinances.

B. Approval of the March 26, 2025, Study Session and Regular City Council Minutes and the April 2, 2025, Special City Council Minutes.

Recommendation: Approve the Minutes of the March 26, 2025, Study Session and Regular City Council Meeting and the April 2, 2025, Special City Council Meeting Minutes.

C. Accept the Resignation of Ruth Fernandez from the Finance Advisory Committee and Mobile Home Fair Practices Commission.

Recommendation: accept the resignation of Ruth Fernandez from the Finance Advisory Committee and Mobile Home Fair Practices Commission effective immediately, and direct staff to proceed with filling the vacant seats.

D. Ratification of Council Appointments to Various Local Agencies Recommendation: To review the updated list of Local Agency Assignments and ratify the appointments.

4. PUBLIC HEARINGS
There are no Public Hearing Items

5. LEGISLATIVE ACTIONS

A. AB 1600 Development Impact Fee (DIF) Annual Update
Recommendation: This items is for presentation and discussion only.

B. City User and Regulatory Fees Update
Recommendation: This item provides findings and recommendations from the recently completed user fee study. Upon incorporating City Council feedback, staff recommend the City Council hold a subsequent Public Hearing, whereby the City Council can determine whether to adopt the
schedule of user and regulatory fees.

C. Preliminary Contract Award for Cathedral City International Hot Air Balloon Festival
4 Recommendation: To approve SoundSkilz as the selected vendor for the Cathedral City International Hot Air Balloon Festival based on the evaluation panel's scoring and recommendation.

6. DISCUSSION ON FUTURE AGENDA ITEMS

This is an opportunity for members of the City Council to request that, and for the City Council to discuss whether, one or more items should be added to the agenda of a future regular or special City Council meeting. To comply with the Brown Act, discussion should be limited to whether to add the item(s), and direction given to the City Manager regarding scheduling and prioritization of the item(s).

7. CLOSED SESSION

ADJOURNMENT

NOTES TO THE PUBLIC

The City of Cathedral City complies with the Americans with Disabilities Act of 1990. If you require special assistance to participate in this meeting, please call the City Clerk’s Office at (760) 770-0322 at least 48 hours prior to the meeting.

If you desire to address the City Council during the meeting, please complete a Request to Speak Form available at the entrance and present it to the City Clerk. Speakers will be called upon at the appropriate time.

Written Comments will be accepted until 2:00 p.m. on the day of the meeting. Written comments may be submitted via email, letter, or other forms of written communication. To email comments please email to [email protected].

Hard copies of written comments and any other document will be provided to the City Council and made available for the general public to review. All written comments received by the submission deadline will be made part of the official record. The meeting minutes will include: The name of the individual submitting the comment and a brief statement summarizing the content of the comment.

Submitted Written Comments will not be read into the record during the meeting.

Staff Report
City Council
Item No. 2.A
Meeting Date: April 9, 2025
From: Kevin Biersack, Financial Services Director
Title: Fiscal Year (FY) 2025/2026 and 2026/2027 Biennial Budget General Fund Overview Discussion
RECOMMENDATION:

This item is presented for information and discussion only.

BACKGROUND:

The City of Cathedral City is proud to participate in the Government Finance Officer Association’s (GFOA’s) Distinguished Budget Presentation Award program for the City’s Biennial Budget. Since FY 2008/2009, we have received this prestigious award for all nine (9) budget documents submitted, covering 17 years of annual budgets. The FY 2025/2026 and FY 2026/2027 Biennial Budget will be the City’s 10th submission to GFOA for this award.

Here is a review of our six-month biennial budget process:

MILESTONE COMPLETION
Workbook Preparation December and January
City Council Introduction to Budget Process January
Strategic Planning January
Department Reviews/Inputs February
Management Review/Council Budget Book March
Dept Staffing Review with Council February through April Council & Staff Discussions April
Budget Adoption May
During the month of April, there are two Study Session discussions to review the budget workbooks and associated Council questions. The April 9th session will be dedicated to the General Fund. The General Fund, including Measure W, is for “necessary City operations” and accounts for all financial resources except those accounted for in another fund. The April 23rd session will be devoted to the Special Revenue Funds, Proprietary Funds, the Capital Improvement Program (CIP) Plan and the Parks Improvement Program Plan.

The proposed budget will be presented at the May 14th Council Meeting. This proposed budget will include updates and changes from the two budget reviews and discussions held in April. With the Council’s concurrence at the May 14th meeting, the proposed FY 2025/2026 and FY 2026/2027 Biennial Budget will be submitted to Council for final approval at the May 28th meeting.

DISCUSSION:

For the purposes of this Study Session discussion focusing on the General Fund, City staff performed budget balancing analysis to identify expenditure reductions so that forecasted expenditures are on par with forecasted revenues. These reductions included position reductions, operational reductions, and reductions to improvement budgets, as well as detailed review of Public Works projected expenditures to reflect any savings attributable to the implementation of the Desert Recreation District agreement for park maintenance.

The proposed Biennial Budget currently reflects the projected balance changes in the General Fund for each year, calculated as follows:

Additionally, extraordinary expenditures were identified to include the proposed Other Post Employment Benefit (OPEB) payments, as well as one-time expenditures. If the City Council approves these expenditures to be paid from the General Fund’s balance, the proposed budgeted expenditures and fund balance would be:

General Fund revenues above are comprised of the following sources:
Taxes
oProperty Tax
oUtility User Tax
oSales Tax
oTransactions and Use Tax, including Measure W
oCannabis Tax
oTransient Occupancy Tax
oFranchise Fees
Licenses and Permits

Fees and Services
Fines and Forfeits
Intergovernmental
Use of Money and Property
Miscellaneous
Transfers In (from other funds into the General Fund)
For FY 2025/2026, taxes are 71.1% of revenues. Licenses and permits and fees and services are 20.4% of revenues, while the remaining revenues come from the other categories at 8.5%. For FY 2026/2027, the percentages are nearly identical. Taxes are

71.3% of revenues. Licenses and permits and fees and services are 20.6% of revenues, while the remaining revenues come from the other categories at 8.1%.

Expenditures budgeted for the General Fund are comprised of the following areas:
Salaries and Benefits
Operations, utilizing 3 rd party labor
oOperations and Maintenance
oProfessional/Technical Services
Operations
oMaterials and Supplies
oFleet
oTransfers
oUtilities
oTraining and Travel
oPublic Employee Retirement System (PERS) and Other Post Employment Benefits (OPEB) Annual Allocations
oInfrastructure
Street Improvements $900K for both Fiscal Years
Park Improvements $0 FY 2025/2026 and $400K FY 2026/2027 For FY 2025/2026, salaries and benefits are 57.6% of expenditures. Operations utilizing third-party labor are 28.0% of expenditures, and the remaining 14.4% of expenditures are other operations as listed above. Similar percentages were calculated for FY 2026/2027.

Salaries and benefits are 57.9% of expenditures, operations utilizing third-party labor are

28.1% of expenditures, and other operations are 14.0%.

The following are significant expenditures in the currently proposed budget for the General Fund, related both to staffing and to operations:

The General Fund provides salary and benefits for 231 Full-Time Equivalent (FTE) Staff Members, comprised of:
6 Elected Positions
82 City Hall / Public Works
61.5 Fire, including 48 sworn
81.5 Police, including 53 sworn
Of the 231 FTE staff positions, 215.3 are funded through the General Fund, which includes 6 from Measure W. Other funds provide the funding for 15.7 of the positions.

To assist with understanding other major expenditures, staff are providing one-time, extraordinary expenditure items. These are investments in the City and for the community.

They are to be funded by the reserves in our General Fund (100) savings account (Fund Balance). These expenditures consist of:
One-time Professional Services and Trainings
One-time Major Repairs and Replacements
One-time Furniture and Fixtures.

The following are one-time expenditures for FY 2025/2026:

Repairs and replacements for Facilities for FY 2025/2026 are comprised of the following:

The following are one-time expenditures for FY 2026/2027:

Repairs and replacements for Facilities for FY 2026/2027 are comprised of the following:

With the comparison of anticipated revenues, including anticipated FEMA Revenue, to proposed expenditures for FY 2025/2026 and FY 2026/2027 for the General Fund, the anticipated fund balance summaries are below:

If the Council approves the proposed Other Post Employment Benefit (OPEB) payments, as well as the one-time expenditures, to be paid out of General Fund balance, the resulting fund balance summary is as follows:

In addition, the $5 million budget forecasted for the Measure W Fund and its five primary elements is provided below:
Ambulance Services
Community Center Programs and Operations
Community Center Debt Service
Parks Operations
Road Improvements

FISCAL IMPACT:

There is no fiscal impact at this time. The full proposed budget will be presented to City Council in May for approval.

FIVE-YEAR STRATEGIC PLAN:

GOAL C – FISCAL STABILITY AND SUSTAINABILITY
Objective: Cathedral City has economically prospered by facilitating the investment of private dollars in high quality development which benefits the community. We remain financially solvent by instituting prudent fiscal policies and transparent financial practices.

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Staff Report
City Council
Item No. 3.A
Meeting Date: April 9, 2025
From: Charles McClendon, City Manager
Title: Conference with Labor Negotiator: Pursuant to Government Code 54957.6
Labor Negotiator: Charles McClendon, City Manager and Eugenia Torres, Human Resources Manager
Employee Organization: Cathedral City Police Management Association (CCPMA)
Staff Report
City Council
Item No. 3.B
Meeting Date: April 9, 2025
From: Eric S. Vail, City Attorney
Title: Conference with Legal Counsel - Anticipated Litigation/Threat of Litigation, Pursuant to Government Code Section 54956.9(d)(2).

Number of Potential Cases: Two

CITY COUNCIL

MINUTES
Study Session 3:00 pm
Regular Meeting 5:30 pm
Wednesday, March 26, 2025
City Council Chambers
68-700 Avenida Lalo Guerrero
Cathedral City, CA 92234

CALL TO ORDER
Mayor Nancy Ross called the Study Session portion of the meeting to order at 3:00 p.m.

ROLL CALL
Council Present:

Nancy Ross, Mayor
Raymond Gregory, Mayor Pro Tem
Ernesto Gutierrez, Councilmember
Rita Lamb, Councilmember
Mark Carnevale, Councilmember

AGENDA FINALIZATION
There were no changes to the agenda.

1. PUBLIC COMMENTS
Alan Carvalho thanked the City Council for Tastes and Sounds. He also discussed when Presidential Candidate Bernie Sanders came to Cathedral City and all the City Council Members were in attendance.

3. STUDY SESSION
A. City Entryway Monuments
Recommendation: To review size and cost options for the agreed upon “Mountain Cathedrals” entryway sculpture monument replicas, and discuss sizes particular to locations and funding of each monument placement.

John Corella, Director of Public Works, provided an overview of City Entryway Monuments. The following points were presented for Council’s discussion:

2. CLOSED SESSION
There were no Closed Session Items.
Entryway Monument Size Options
Estimated Costs
City Entryway Locations
Funding Discussion
The City Council took a break at 3:23 p.m. to review the samples of monument pieces displayed in the entry way of the Council Chambers.

The City Council reconvened at 3:26 p.m.

Alan Carvalho made suggestions for designs and other sources of funding.

The Council provided their feedback and asked clarifying questions, which were responded to by staff. The City will collaborate with the Public Arts Commission on monument dimensions for the various locations. Once that process is complete the City will look to see what can be programmed into future projects and which ones can be allocated in future budgets. There was no formal action taken by the City Council.

B. Amendments Made to the 5-Year Strategic Plan at the January 25, 2025 City Council Strategic Plan Workshop
Recommendation: This item is for information, discussion and direction only. If the City Council agrees that staff has captured the updates sufficiently, the adoption of the amended plan is on the Consent Agenda later this evening for adoption.

Anne Ambrose, Assistant City Manager, provided an overview of the amended 5-Year Strategic Plan. The following points were presented:
Strategic Plan
oBackground
oValues, Vision, Mission
Goals and Objectives
oGoal A- Serve the Community with Pride and Dedication
oGoal B- Community Investment
oGoal C- Fiscal Sustainability
oGoal E- Safety
oGoal F- Embracing Inclusive Community
Fiscal Impacts
Strategic Plan Goal
The City Council asked clarifying questions, which were responded to by staff.

There was no formal action taken by the City Council. This item will be considered for formal approval at the Regular Meeting of March 26, 2025.

RECESS
The City Council recessed at 4:02 p.m.

REGULAR MEETING - 5:30 PM

CALL TO ORDER
Mayor Nancy Ross called the Regular Meeting to order at 5:30 p.m.

PLEDGE OF ALLEGIANCE
Mayor Pro Tem Raymond Gregory led the Pledge of Allegiance.

INVOCATION (MOMENT OF REFLECTION)
Councilmember Ernesto Gutierrez offered the Invocation.

ROLL CALL
Council Present:

Nancy Ross, Mayor
Raymond Gregory, Mayor Pro Tem
Ernesto Gutierrez, Councilmember
Rita Lamb, Councilmember
Mark Carnevale, Councilmember

AGENDA FINALIZATION
There were no changes to the agenda.

1. PUBLIC COMMENTS
Janet Ream expressed her concern related to the cannabis odor and feels there is still no action being taken against the cannabis facilities.

Chris Thompson expressed his concern related to the cannabis odor and feels there is still no action being taken against the cannabis facilities.

The following comments were received for the record:

Scott McDonald submitted a letter to the City Council expressing his concern related to the ongoing cannabis odor monitoring efforts, and he urged the City to take action against facilities violating odor regulations.

David Koslow stated that his comment addresses all items on the agenda where the City Council is considering expenditures of public funds and he requests that the City Council declare a moratorium on those and all future items until full information has been presented to the citizens in public meetings.

2. COUNCIL REPORTS
Councilmember Mark Carnevale reported on the following:
His attendance at the last Special City Council Budget Workshop meeting His meeting with developer Craig Smith
His participation in the Design and Development Walking Tour for the Development Code update
The water issue at Date Palm Country Club
His small business of the week is Cat City Smoke Shop
Councilmember Ernesto Gutierrez reported on the following:
His attendance at the Joint Special City Council Meeting with the Tribe His attendance at the Zoning Code update meeting held at Senior Center His attendance at the Butterfly Festival
His attendance at Tastes and Sounds
The illegal food vendors in various areas of the City
The upcoming Parks and Community Events Commission Communications Subcommittee meeting
Councilmember Rita Lamb reported on the following:

Her participation in the Design and Development Walking Tour for the Development Code update
Her attendance at the Senior Center Food Drive at the Grocery Outlet Her participation as Principal For A Day at Nellie Coffman Middle School Her attendance at Tastes and Sounds
She recognized Erin Hyland, PACE Commissioner, for her work in the community Her attendance at the Esperanza Park Community meeting Her meeting with a former student and now entrepreneur Christian Villanueva Mayor Pro Tem Raymond Gregory reported on the following:

His attendance at the Joint Special City Council Meeting with the Tribe His attendance at the Butterfly Festival
His attendance at the Senior Center Food Drive at the Grocery Outlet His attendance at Tastes and Sounds
The last and upcoming Special City Council Budget Workshop meetings His attendance at the Riverside County Transportation Commission Budget and Implementation meeting
His attendance at the Boys and Club pre meatball fundraiser The upcoming Boys and Girls Club Annual Meatball Festival The upcoming Senior Inspiration Awards
His upcoming trip for the Fire Department’s accreditation Mayor Nancy Ross reported on the following:

A show she attended at Mary Pickford along with her spouse Her attendance at the Joint Special City Council Meeting with the Tribe Her attendance at the Coachella Valley Association of Governments Energy and Sustainability meeting
Her attendance at the Montage Community Event
Her attendance at the FIND Food Bank Annual Breakfast
The upcoming FIND Food Bank Annual Telethon Fundraiser Her attendance at the Ofelia Project Luncheon awards
Her meeting with a fellow Animal Campus board member
The upcoming Special Council Budget Workshop meeting
She took a few days off to care for her spouse who was ill Her attendance at a protest on Perez Rd
Her attendance at the Butterfly Festival, where she planted milk weed for the endangered Monarch Butterfly Species
The upcoming Senior Inspiration Awards

3. CONSENT AGENDA
A. Waive Full Reading of Ordinances on Agenda
Recommendation: Waive Full Reading of Ordinances on Agenda.

M.O. 2025-37
B. Approval of the March 12, 2025, Study Session and Regular Council Meeting Minutes, the March 13, 2025, Special Joint City Council and Agua Caliente Band of Cahuilla Indians Tribal Council Meeting Minutes and the March 19, 2025, Special City Council Meeting Minutes.

Recommendation: Approve the March 12, 2025, Study Session and Regular Council Meeting Minutes, the March 13, 2025, Special Joint City Council and Agua Caliente Band of Cahuilla Indians Tribal Council Meeting Minutes and the March 19, 2025 Special City Council Meeting Minutes.

M.O. 2025-38
C. Check Demand - February
Recommendation: Receive and File
M.O. 2025-39
D. Notice of Completion for HSIP Cycle 9B: Varner Road Safety Improvements Project (C08751)
Recommendation: To accept and approve the Highway Safety Improvements Program (HSIP) Cycle 9B, Varner Road Safety Improvements Project (C08751), as complete; authorize the City Manager to execute and file a notice of completion with the Riverside County Recorder’s Office; and authorize the release of retention funds to Granite Construction Company, upon expiration of the notice of completion (NOC).

M.O. 2025-40
E. Adopt the Public Works Title VI Implementation Plan to Comply with Updated Caltrans Local Assistance Procedures Manual (LAPM) Requirements.

Recommendation: To adopt the Public Works Department Title VI Implementation Plan in compliance with Caltrans Local Assistance Procedures (LAPM) requirements; appoint the Public Works Director as the Title VI Coordinator; and authorize the Public Works Director to execute the Public Works Nondiscrimination Policy Statement included in the Public Works Department Title VI Implementation Plan.

M.O. 2025-41
F. AB1600 Development Impact Fee Funds Project Commitments Recommendation: To approve the AB1600 Development Impact Fee Project Commitments List.

M.O. 2025-42
G. Amended Five-Year Strategic Plan
Recommendation: To approve the amended five-year Strategic Plan.

M.O. 2025-43
A motion was made by Mayor Pro Tem Gregory and seconded by Councilmember Carnevale to approve the Consent Agenda.

RESULT: PASS [5 TO 0]
MOVER: Raymond Gregory, Mayor Pro Tem
SECONDER: Mark Carnevale, Councilmember
AYES: Carnevale, Ross, Gregory, Gutierrez, Lamb
NOES:

ABSENT:

ABSTAIN:

4. PUBLIC HEARINGS
There were no public hearings.

5. LEGISLATIVE ACTIONS
A. 2024 Housing Element Annual Progress Report
Recommendation: To receive the 2024 Housing Element Annual Progress Report and authorize its transmittal to the California Department of Housing and Community Development and the California Governor’s Office of Land Use and Climate Innovation.

M.O. 2025-44
A motion was made by Mayor Pro Tem Gregory and seconded by Councilmember Gutierrez to receive the 2024 Housing Element Annual Progress Report and authorize its transmittal to the California Department of Housing and Community Development and the California Governor’s Office of Land Use and Climate Innovation.

RESULT: PASS [5 TO 0]
MOVER: Raymond Gregory, Mayor Pro Tem
SECONDER: Ernesto Gutierrez, Councilmember
AYES: Carnevale, Ross, Gregory, Gutierrez, Lamb
NOES:

ABSENT:

ABSTAIN:

B. Contract with Petrochem Materials Innovation, LLC for Fiscal Year 2024- 2025 Rubberized Emulsion Aggregate Slurry Projects
Recommendation: To approve a contract with Petrochem Materials Innovation, LLC. (PMI) for $1,441,901.29 to supply and apply Rubber Emulsion Aggregate Slurry (REAS) on East Palm Canyon Drive (C08695), Assessment District (AD) 86-5 Neighborhood streets (C08696), Vista Chino Drive (C08697), and Date Palm Drive (C08698), including traffic control, crack seal, asphalt patchwork and striping replacement; and, approve a fifteen percent (15%) contingency in the amount of $217,098.71 for unforeseeable construction costs, making the total encumbrance $1,659,000.00; and, authorize the City Manager to execute the required contract documents; and, authorize the City Engineer to request bonds and insurance for the project, and issue the notice to proceed.

Art Gregoire expressed his concern with the current road work in the Cove area and hopes that the roads will be back to normal when complete.

M.O. 2025-45
A motion was made by Mayor Pro Tem Gregory and seconded by Councilmember Lamb to approve a contract with Petrochem Materials Innovation, LLC. (PMI) for $1,441,901.29 to supply and apply Rubber Emulsion Aggregate Slurry (REAS) on East Palm Canyon Drive (C08695), Assessment District (AD) 86-5 Neighborhood streets (C08696), Vista Chino Drive (C08697), and Date Palm Drive (C08698), including traffic control, crack seal, asphalt patchwork and striping replacement; and, approve a fifteen percent (15%) contingency in the amount of $217,098.71 for unforeseeable construction costs, making the total encumbrance $1,659,000.00; and, authorize the City Manager to execute the required contract documents; and, authorize the City Engineer to request bonds and insurance for the project, and issue the notice to proceed.

RESULT: PASS [5 TO 0]
MOVER: Raymond Gregory, Mayor Pro Tem
SECONDER: Rita Lamb, Councilmember
AYES: Carnevale, Ross, Gregory, Gutierrez, Lamb
NOES:

ABSENT:

ABSTAIN:

C. Approval of Funding from the Parks and Community Events Commission (PACE) Fiscal Year 2024-2025 Events Budget for a Second Mobile Spay and Neuter Clinic
Recommendation: To approve $3,000 from the Parks and Community Events Commission (PACE) Fiscal Year 2024-2025 PACE events budget to fund a portion of the second Mobile Spay and Neuter Clinic at the Cathedral City Library on Wednesday, April 23, 2025, and an additional thirty (30) large dogs at the Riverside County Animal Shelter.

The following comment was received for the record:

Danny Lee expressed his support for the proposed services, but feels this type of expenditure should be paid from the general fund, leaving the Parks and Community Events budget to fund events that children and families can enjoy.

M.O. 2025-46
A motion was made by Mayor Pro Tem Gregory and seconded by Councilmember Lamb to approve $3,000 from the Parks and Community Events Commission (PACE) Fiscal Year 2024-2025 PACE events budget to fund a portion of the second Mobile Spay and Neuter Clinic at the Cathedral City Library on Wednesday, April 23, 2025, and an additional thirty (30) large dogs at the Riverside County Animal Shelter.

RESULT: PASS [5 TO 0]
MOVER: Raymond Gregory, Mayor Pro Tem
SECONDER: Rita Lamb, Councilmember
AYES: Carnevale, Ross, Gregory, Gutierrez, Lamb
NOES:

ABSENT:

ABSTAIN:

D. Purchase of Three (3) 2025 Chevrolet Silverado EV 2WT Trucks for the Facilities Division, Public Works Maintenance, and Environmental Division.

Recommendation: To authorize the purchase of three (3) 2025 Chevrolet Silverado EV 2WT trucks for the Facilities, Public Works Maintenance, and Environmental Divisions, respectively, at a total cost of $194,655.69; and authorize the City Manager, or his designee, to execute all required documents for purchase.

M.O. 2025-47
A motion was made by Councilmember Gutierrez and seconded by Mayor Pro Tem Gregory to approve the purchase of three (3) 2025 Chevrolet Silverado EV 2WT trucks for the Facilities, Public Works Maintenance, and Environmental Divisions, respectively, at a total cost of $194,655.69; and authorize the City Manager, or his designee, to execute all required documents for purchase.

RESULT: PASS [5 TO 0]
MOVER: Ernesto Gutierrez, Councilmember
SECONDER: Raymond Gregory, Mayor Pro Tem
AYES: Carnevale, Ross, Gregory, Gutierrez, Lamb
NOES:

ABSENT:

ABSTAIN:

E. Replacement of Electric Vehicle (EV) Charging Stations in the Cathedral City Parking Structure
Recommendation: To authorize the replacement of the existing electric vehicle (EV) charging stations with four (4) new Level 2 EV chargers in the Cathedral City parking structure in an amount not to exceed $14,800 and authorize the Director of Public Works to execute an operations and maintenance agreement with EV Range.

Art Gregoire provided some insight on his experience with charging his electric vehicle and feels the City should explore installing level 3.

M.O. 2025-48
A motion was made by Mayor Pro Tem Gregory and seconded by Councilmember Lamb to approve the replacement of the existing electric vehicle (EV) charging stations with four (4) new Level 2 EV chargers in the Cathedral City parking structure in an amount not to exceed $14,800 and authorize the Director of Public Works to execute an operations and maintenance agreement with EV Range.

RESULT: PASS [5 TO 0]
MOVER: Raymond Gregory, Mayor Pro Tem
SECONDER: Rita Lamb, Councilmember
AYES: Carnevale, Ross, Gregory, Gutierrez, Lamb
NOES:

ABSENT:

ABSTAIN:

F. Sign Toppers for the Intersection of Channel Drive and Valley Vista Drive and the Intersection of Channel Drive and Carroll Drive.

Recommendation: Approve the installation of 2 sign toppers, each, for the intersection at Channel Drive and Valley Vista Drive and the intersection of Channel Drive and Carroll Drive at a total cost of $610.00 to be paid from City Council District Improvement Funds and authorize the waiver of the sign topper application fee and the staff report preparation fee.

Sue Townsley thanked Council for attending the Senior Center Food Drive at Grocery Outlet. She discussed this project and thanked all involved. She would like a 3rd sign topper to be framed and provided to Jane Rasco.

Art Gregoire discussed Jane and Diane and all that they did in the community.

M.O. 2025-49
A motion was made by Mayor Pro Tem Gregory and seconded by Councilmember Gutierrez to approve the installation of 2 sign toppers, each, for the intersection at Channel Drive and Valley Vista Drive and the intersection of Channel Drive and Carroll Drive at a total cost of $610.00 to be paid from City Council District Improvement Funds and a third sign as requested to be purchased using Councilmember Lamb’s City Council District Improvement Funds to be entrusted to the care of Jane Rasco and authorize the waiver of the sign topper application fee and the staff report preparation fee.

RESULT: PASS [5 TO 0]
MOVER: Raymond Gregory, Mayor Pro Tem
SECONDER: Ernesto Gutierrez, Councilmember
AYES: Carnevale, Ross, Gregory, Gutierrez, Lamb
NOES:

ABSENT:

ABSTAIN:

6. DISCUSSION ON FUTURE AGENDA ITEMS
There was no discussion on future agenda items.

7. CLOSED SESSION
There were no Closed Session Items.

ADJOURNMENT
Mayor Nancy Ross Adjourned the meeting at 7:55 p.m.

Nancy Ross, Mayor Tracey R. Hermosillo, City Clerk

CITY COUNCIL

MINUTES
Special Meeting
Wednesday, April 02, 2025
2:00 PM
City Hall
Council Chambers
68-700 Avenida Lalo Guerrero
Cathedral City, CA 92234
MAYOR
Nancy Ross

CITY COUNCIL MEMBERS
Mayor Pro Tem
Raymond Gregory
Councilmember
Rita Lamb
Councilmember
Ernesto Gutierrez
Councilmember
Mark Carnevale

CALL TO ORDER
Mayor Nancy Ross called the Special Meeting to order at 2:00 p.m.

ROLL CALL
Council Present:

Nancy Ross, Mayor
Raymond Gregory, Mayor Pro Tem
Ernesto Gutierrez, Councilmember
Rita Lamb, Councilmember
Mark Carnevale, Councilmember

AGENDA FINALIZATION
There were no changes to the agenda.

1. AGENDA ITEM
A. Community and Economic Development Staff Review

Recommendation: This item is presented for information, discussion and direction only.

Andrew Firestine, Director of Community and Economic Development, provided an overview of the Community and Economic Development Department’s staffing and budget analysis.

The following comment was received for the record:

David Koslow expressed his concern related to the summary of existing staffing and certain specifics of the Code Enforcement section of the staff report. He requested that the City Council place an item on their next agenda related to the anticipated shortfalls in city revenues and the increases in fiscal obligations.

The City Council provided their feedback and asked clarifying questions, which were responded to by staff. This was a presentation only, there was no formal action taken by the City Council.

ADJOURNMENT
Mayor Nancy Ross adjourned the meeting at 3:28 p.m.

Nancy Ross, Mayor Tracey R. Hermosillo, City Clerk
Staff Report
City Council
Item No. 3.C
Meeting Date: April 9, 2025
From: Tracey Hermosillo, City Clerk
Title: Accept the Resignation of Ruth Fernandez from the Finance Advisory Committee and Mobile Home Fair Practices Commission.

RECOMMENDATION:

To accept the resignation of Ruth Fernandez from the Finance Advisory Committee and Mobile Home Fair Practices Commission effective immediately, and direct staff to proceed with filling the vacant seats.

BACKGROUND:

Ruth Fernandez was appointed to serve on the Finance Advisory Committee on June 26, 2019, reappointed on June 16, 2021, and again on June 26, 2024. Her term expires on June 30, 2027. She was also appointed to serve on the Mobile Home Fair Practices Commission July 24, 2019. The appointments on the Mobile Home Fair Practices Committee have no expiration date at this time, they have been temporary appointments, as they only meet as needed.

DISCUSSION:

On March 26, 2025, staff received a letter of resignation from Ruth Fernandez from the Finance Advisory Committee, effective immediately.

With the resignation of Mrs. Fernandez, the Finance Advisory Committee will have one vacancy, and the Mobile Home Fair Practices Commission will have one vacancy.

Staff recommends that the City Council direct staff to do the following:
• Pursuant to Government Code 54974, post a Notice of Vacancy. No appointment can be made sooner than 10 days after the Notice of Vacancy has been posted. • Post the vacancy on social media and the City’s website. • Accept applications through May 2, 2025.

All members of the Finance Advisory Committee and Mobile Home Fair Practices Commission are appointed by the majority of the members of the City Council. Interviews will be scheduled during the Study Session portion of the Meeting with the ability for the City Council to make appointments during the regular portion of the meeting, if that is the desire of the City Council. This will be tentatively scheduled for May 14, 2025.

FISCAL IMPACT:

There is no fiscal impact with this item.

FIVE-YEAR STRATEGIC PLAN:

Not applicable
ATTACHMENTS:

1. Letter of Resignation

Staff Report
City Council
Item No. 3.D
Meeting Date: April 9, 2025
From: Tracey Hermosillo, City Clerk
Title: Ratification of Council Appointments to Various Local Agencies RECOMMENDATION:

To review the updated list of Local Agency Assignments and ratify the appointments.

BACKGROUND:

Each year the City Council reviews the list of Local Agency Assignments in the event any changes need to be made due to schedule changes and/or Council changes due to an election. This list includes the following local agencies and other assignments:
Coachella Valley Association of Governments – Executive Committee * Coachella Valley Association of Governments – Conservation Commission Coachella Valley Association of Governments – Energy & Environment Resources Committee
Coachella Valley Association of Governments – Homeless Committee Coachella Valley Association of Governments – Public Safety Committee Coachella Valley Association of Governments – Transportation Committee Coachella Valley Animal Campus
Coachella Valley Economic Partnership (CVEP) *
Coachella Valley Mosquito and Vector Control Board of Trustees Coachella Valley Mountains Conservancy Board
Greater Palm Springs Convention & Visitors Bureau (CVB) * Riverside County Transportation Commission
Southern California Association of Governments (SCAG) – Annual Meeting * SunLine Transit Agency
Palm Springs Unified School District 2x2 Sub-Committee Tri-Cities (PS, DHS, CC) Community Assistance Program Sub-Committee Coachella Valley Water District 2X2 Sub-Committee
Parks and Community Events Commission Liaison
Public Arts Commission Liaison
Historic Preservation Commission Liaison
Sphere of Influence (Palm Desert) 2X2 Sub-Committee
SB 1383 Recycling Compliance
Coachella Valley Conservation Commission Trails Management Sub-Committee *indicates the Mayor typically represents the City, however, it is not required.

DISCUSSION:

On December 11, 2024, the City Council ratified the local agency assignments list, and all of the agencies were notified of their respective appointments. Since then, Councilmember Ernesto Gutierrez has indicated his desire to serve on the Coachella Valley Conservation Commission, as he has done in the years past, and Mayor Nancy Ross has agreed.

Attached is the list of Local Agency Assignments with this change for your review, there are no other changes in assignments. Staff recommends the City Council ratify the assignments and direct the City Clerk to notify CVAG of this change of the representation for the City on the Conservation Commission.

FISCAL IMPACT:

There is no fiscal impact with this report.

FIVE-YEAR STRATEGIC PLAN:

N/A
ATTACHMENTS:

1. List of Agency Assignments

8 1
3 Staff Report
City Council
Item No. 5.A
Meeting Date: April 9, 2025
From: Kevin Biersack, Financial Services Director
Title: AB 1600 Development Impact Fee (DIF) Annual Update RECOMMENDATION:

This item is for presentation and discussion only.

BACKGROUND:

Development Impact Fees (DIF Fees) are established by the City Council. They are one- time fees charged to new development. DIF fees are intended to pay for backbone infrastructure and capital facilities required to serve the new developments and new residents. Municipalities are prohibited from using DIF fees to fund ongoing operations, maintenance, or to make up for existing service deficiencies. DIF fees must be accounted for, set aside, and saved until the municipality has the required funding to build the needed facilities.

This report presents the AB 1600 Development Impact Fees intended for use in Fiscal Year 2025/2026.

On September 27, 2023, the City Council Adopted an updated Development Impact Fee Schedule to reflect the adopted recommendations based on the results of a comprehensive cost of service study. During interim years, i.e., between comprehensive studies, the City Council has authorized inflationary adjustments to fees. The September 2023 Fee Study update was implemented on January 1, 2024.

This year represents the first update since the comprehensive fee study from January 1, 2024 through June 30, 2025. This update will apply the authorized inflationary adjustments to the previously adopted AB 1600 Development Impact Fee Schedule. Once approved by the City Council, this update will be used to implement the adjusted fees on July 1, 2025.

DISCUSSION:

The current AB 1600 Development Impact Fee schedule was adopted in September 2023 8 1
3 and implemented on January 1, 2024. Construction costs have continued to increase since 2023. Built into the schedule is an automatic Fee Adjustment using the Construction Cost index (CCI) for the 20-City Average as reported by Engineering News Record (ENR) for a twelve-month period/year or a similar published index if the CCI is no longer available. Given increased costs, there could be a shortfall between current development impact fees and what it will cost to build the municipal facilities required to serve future residents. This automatic fee adjustment helps to mitigate that shortfall. The Fee Schedule for Development Impact Fees are as follows:
oParks
oTransportation
oGeneral Government Facilities
oFire Facilities
oPolice Facilities.
This increase in AB 1600 Development Impact Fees is for an 18-month inflationary adjustment comprised of 2.97% based on calendar year 2025 over 2024 (1.6%/year) and six months of calendar year 2024 over 2023 (1.35%) ENR CCI (Construction Cost Index). The detailed computation is outlined in Appendix A.

FISCAL IMPACT:

With the 2.97% ENR compounded CCI increase along with equivalent development activity in the upcoming fiscal year, DIF revenues could provide additional DIF funds’ revenue up to $60,000 for fiscal year (FY) 2025/2026.

FIVE-YEAR STRATEGIC PLAN:

The implementation of updated Development Impact Fees supports the following strategic plan goals:

GOAL B: COMMUNITY INVESTMENT Objective: Cathedral City roads, gateways, public spaces, and other city infrastructure are well planned, designed, constructed, and maintained.

GOAL C: FISCAL STABILITY AND SUSTAINABILITY Objective: Cathedral City has economically prospered by facilitating the investment of private dollars in high-quality development which benefits the community. We remain financially solvent by implementing prudent fiscal policies and transparent financial practices.

ATTACHMENTS:

1.Exhibit A – Illustration of Current Fees and Proposed Fees

Staff Report
City Council
Item No. 5.B
Meeting Date: April 9, 2025
From: Kevin Biersack, Financial Services Director
Title: City User and Regulatory Fees Update
RECOMMENDATION:

This item provides findings and recommendations from the recently completed user fee study. Upon incorporating City Council feedback, staff recommend the City Council hold a subsequent Public Hearing, whereby the City Council can determine whether to adopt the schedule of user and regulatory fees.

BACKGROUND:

In 1987, following the California State Supreme Court Nollan vs. California Coastal Commission decision, the California Mitigation Fee Act was passed. These actions set the stage for Assembly Bill 1600, and Government Code sections 66000-66011. Later, Ehlrich vs. City of Culver City (1993), Doland vs. City of Tigard (1994), and Proposition 218 (1997) (among others) occurred, enabling public agencies to impose a user fee for government services when:
The individual’s decision to use the governmental service is voluntary, and The fee charged is reasonably related to both the level and cost of the service to be provided.

During the past 20 years, the list below comprises the City’s actions to update user and regulatory fees:
In 2005, the City conducted a Cost Allocation Plan (“CAP”) and User Fee Study (“UFS”) and adopted the studies' recommendations.
In 2010, the City conducted a new CAP and UFS, but due to the economic impact of the 2007-09 financial market collapse, the City did not implement the 2010 recommendations.
During the January 2020 City Council retreat, Council requested Staff conduct an updated CAP and UFS study. During the September 23, 2020 Council meeting, Council authorized Staff to utilize ClearSource Financial Consulting to conduct the CAP and UFS update. On September 8, 2021, the City Council adopted an updated Schedule of User and Regulatory Fees based on the results of the comprehensive cost of service study which was implemented on December 1, 2021. In August 2023, City Council adopted the first interim authorized inflationary adjustment based on Bureau of Labor Statistics (BLS) Consumer Price Index (CPI) to the City’s current schedule of fees. The increase was implemented November 1, 2023.
In April 2024, City Council Adopted the second interim authorized inflationary adjustment based on the BLS) CPI to the City’s current schedule of fees. The increase was implemented July 1, 2024.
During February through March 2025, ClearSource Financial Consulting collaborated with City staff to review current fee schedule as well as cost of service data to determine the necessary fee adjustments to ensure the City‘s cost of Service is captured/recouped.

This report summarizes the findings and recommendations from the recently completed user and regulatory fee study. Since user and regulatory fees are set at the direction of the City Council, upon Council’s review and concurrence with the study’s results, a subsequent public hearing must be noticed and held in conformance with Government Code Section 66016. If updated fees are adopted by the Council at that time, staff recommends the updated fee schedule become effective beginning July 1, 2025.

DISCUSSION:

Industry best practice and California statute support establishing user and regulatory fees in accordance with the estimated reasonable cost of service. All fees should bear a fair and reasonable relationship to the payer’s burdens on, or benefits received from, the activities and/or services provided by the City. Additionally, ongoing review and adjustment of fees provides multiple benefits, including:
Keeping pace with general cost inflation.
Avoiding fee spikes that can occur when municipalities leave fees unchanged for a multi-year period.
Providing fee payers, city staff, and city policymakers with a pattern of consistency that provides information for forecasting and decision-making purposes. Helps meet fee-payer service level expectations by collecting fees to fund the existing level of services provided.
Encouraging generational equity among fee payers by avoiding long-term stagnation of fees followed by significant fee increases.

This study specifically examined fee categories including, but not limited to:
Building Fees, such as permitting of new construction or modifications to existing structures
Planning Fees, such as entitlement review and review for compliance with the zoning code
Land Development Engineering Fees, such as public improvement review, and Encroachment Permit Fees, for work or activities conducted in the City right-of-way Fire Prevention Fees – such as plan review and inspection for compliance with Fire Code
Police Department Fees – such as vehicle impound and false alarm response This study specifically excluded examinations of the following:
Development Impact Fees
Taxes
Assessments
Fines or Penalties
Franchise Fees
Utility Rates and Services Charges
These items are subject to different approval thresholds or are not subject to the same cost of service limitations as the fees examined as part of this study. Consequently, they are specifically excluded from the scope of this study.

The proposed fees are intended to comply with applicable federal, state, and local laws including providing confirmation that the proposed fees and charges are not a tax as defined in Article 13C of the California Constitution and that the proposed fees are no more than necessary to cover the reasonable costs of the City’s activities and services addressed in the fees. Additionally, the way costs are allocated to a payor bear a fair and reasonable relationship to the payor’s burdens on, or benefits received from the activities and services provided by the City.

Nearly every service for which a fee is imposed can be described as follows, contrasting the components of the full cost of service, which is the maximum fee amount justified, against the local agency’s goals for cost recovery:

Based on the consultant’s experience working with municipalities throughout California, most fee-paying stakeholders and city councilmembers accept high-cost recovery targets for development-related fees as long as:

The elements of the cost of service and assumptions are clearly communicated. The city clearly communicates that only eligible costs are included in fees.

PRIMARY STUDY OUTCOMES
Building Fees
Cities throughout the State typically target full cost recovery from building permit fees. Full cost recovery is targeted at the proposed fees.
The building fee schedule is proposed to be simplified to facilitate application of fees to projects and assist customers in estimating permit fees. Establish fixed, consolidated fees for the City’s most common minor permits. This will allow applicants to easily estimate permit fees and allow staff to efficiently administer the fee calculation and collection process.
Use a fee methodology that results in lower fees for less complex projects and higher fees for more complex projects (i.e., establish a nexus between fees and typical service requirements).

Planning Fees
Due to the nature of development within California, many projects take a significant amount of resources over a multi-month and potentially multi-year timeframe, depending on project complexity and magnitude.
Flat fees are collected for projects that typically exhibit less variability in processing time than deposit-based fee services. Current recovery for flat (fixed) fee services varies widely.
Several planning fees have been restructured from deposit-based to flat fees to improve operational efficiency.
In order for the billing system to function properly on deposit -based large projects, the City must have systems in place to track time amongst the various development requests examined by staff and contractors. For deposit-based projects the City should bill project applicants for effort including intake, processing, technical reviews, inspections, meetings, and issuance/approvals.

Engineering and Encroachment Permit Fees
Land Development engineering and encroachment fees have been streamlined and recalibrated to enhance the correlation between services provided and fees collected. The proposed fee methodology is scaled to allow for lower fees for less complex projects and higher fees for more complex projects. Fee categories have been organized to reflect the phases of development, i.e., pre- entitlement review, post entitlement review, inspections, administrative and research requests, and miscellaneous service requests.
Full cost recovery is targeted for most services due to the regulatory nature of the services and the high level of direct benefit resulting from construction activities including enjoyment of property enhancements, increased property values, and the desire to avoid having other Cathedral City residents and businesses subsidize private construction activities.
The department uses a combination of outside service providers and internal staff to perform certain plan review and inspection activities. The proposed fee structure encourages recovery of City costs in addition to contract service provider costs, while developing fixed fees intended to scale to reflect project complexity. The proposed fees are calculated based on project characteristics such as the number of sheets reviewed, the number of acres inspected, or the type of project reviewed and inspected. These modifications are consistent with industry trends in calculating fees for service.

Fire Prevention and Ambulance Fees
Use fee methodology that results in lower fees for less complex projects and higher fees for more complex projects (i.e., a nexus between fees and typical service requirements).
Adopting a more comprehensive array of fees will allow the city to use more fixed fee billings rather than deposit-based billings.
Ambulance fees have been added to this fee study update. Based on a review of the initial ambulance fees approved by City Council on July 9, 2008, an increase is recommended to align with current market rates in the Coachella Valley and surrounding area.

In summary, similar fees are collected by communities throughout the region and the State.

The proposed fee amounts do not exceed the City’s cost of service and are in-range of amounts charged by other jurisdictions. The attached User and Regulatory Fee Study Report includes:
Fee Comparison with other jurisdictions,
Cost of Service Analysis, including calculations and changes highlighted, and Proposed Fee Schedule, including hourly billing rates
FISCAL IMPACT:

Based on the matching of user-requested services with the current cost of providing said services, the anticipated increase would be approximately $200,000 to the city’s General Fund. For the ambulance fee update, the City is forecasting an approximate increase of $300,000 in the first year.

FIVE-YEAR STRATEGIC PLAN:

The implementation of updated User and Regulatory Fees supports the following strategic plan goals:

GOAL B: COMMUNITY INVESTMENT Objective: Cathedral City roads, gateways, public spaces, and other city infrastructure are well planned, designed, constructed, and maintained.

ATTACHMENTS:

1.User and Regulatory Fee Study

Staff Report
City Council
Item No. 5.C
Meeting Date: April 9, 2025
From: Ryan Hunt, Communications & Events Manager
Title: Preliminary Contract Award for Cathedral City International Hot Air Balloon Festival
RECOMMENDATION:

To approve SoundSkilz as the selected vendor for the Cathedral City International Hot Air Balloon Festival based on the evaluation panel's scoring and recommendation.

BACKGROUND:

On January 24, 2025, the City of Cathedral City issued a Request for Proposals (RFP) seeking qualified professional special event production companies to plan and implement the Cathedral City International Hot Air Balloon Festival. The RFP was posted on the City's website and distributed to potential vendors.

The Cathedral City International Hot Air Balloon Festival is a signature three-day event held annually in November, the weekend before Thanksgiving. Since its inception in 2015, the festival has grown from several thousand local attendees to over 25,000 regional visitors, generating significant tourism impact for the greater Palm Springs region.

The event features hot air balloon launches, competitions, and evening balloon glows. The festival opens each morning with sunrise balloon launches and competitions visible across the valley. Festival grounds include live entertainment, food vendors, a beer and wine garden, and an artisan market. Special activities include tethered balloon rides (weather permitting), family entertainment zones, and headline musical performances.

The RFP schedule included the following key dates:
-Deadline to receive unique questions from submitters: February 14, 2025 -Posting of answers to unique questions: February 20, 2025 -Proposal submission deadline: March 7, 2025, at 2:00 p.m.

DISCUSSION:

The City received four (4) proposals for the Cathedral City International Hot Air Balloon Festival by the submission deadline. Proposals were submitted by:
-SoundSkilz
-Revel Republic
-Fantasy Balloon Flights
-JJ-LA
An evaluation panel consisting of the following members conducted a thorough review of all proposals:
-Ryan Hunt, Communications & Events Manager (lead)
-Chris Parman, Events Consultant and 2025 LGBT+ Days event producer -Adam Chastain, Events & Recreation Coordinator
-Colleen Pace, Chief Sales & Marketing Officer with Visit Greater Palm Springs -Erin Hyland, Parks & Community Events Commission Chair Each proposal was evaluated based on the following criteria as outlined in the RFP:
-Past production experience
-Quality of event productions
-Size of event experience
-Promotional marketing communications plan
-Festival implementation plan
-Booking entertainment abilities
-Experience working with state and/or local government staff -Budgeting experience
-Community involvement or ability to network with volunteer groups and/or charities The evaluation committee scored each proposal on a scale of 1-100. The average scores were as follows:

1. SoundSkilz - 92.2

2. Revel Republic - 89.0

3. JJ-LA - 85.8

4. Fantasy Balloon Flights - 76.6
SoundSkilz received the highest average score of 92.2 points. The committee found that SoundSkilz demonstrated superior qualifications and experience in all categories, particularly in:

1. Event Production Experience: SoundSkilz has extensive experience producing large-scale events, including hot air balloon festivals and other major community events.

2. Marketing & Promotion Plan: Their comprehensive marketing strategy included innovative digital marketing approaches, traditional media outreach, and strategic partnerships with regional tourism entities.

3. Implementation Plan: Their detailed festival implementation plan addressed all key aspects of the event, including balloon operations, entertainment programming, vendor management, and safety protocols.

4. Government Experience: SoundSkilz has successfully worked with multiple municipal governments on similar events throughout Southern California.

A standout element of SoundSkilz's proposal is their partnership with Carol Popejoy-Davis, who has been hired as a consultant for this project. Ms. Popejoy-Davis served as the Executive Director of the Temecula Valley Balloon & Wine Festival for 17 years. Under her leadership, that festival grew into one of Southern California's premier events, attracting over 40,000 attendees annually and generating significant economic impact for the Temecula region. Her extensive experience in balloon operations, safety protocols, vendor management, and entertainment booking adds considerable value and specialized expertise to the SoundSkilz team.

Following City Council approval, staff will work with SoundSkilz to negotiate and finalize specific contract terms, timelines, deliverables, and payment schedules. These negotiations will ensure that the final agreement aligns with the City's budget constraints while maximizing the festival's potential impact and success. The finalized Contract for Services Agreement will be presented to City Council at a future meeting for review and approval.

FISCAL IMPACT:

The fiscal year 2026-27 biennial budget includes funding for the Cathedral City International Hot Air Balloon Festival.

Additional revenue is anticipated from sponsorships, vendor fees, and other sources as outlined in the proposed budget submitted by SoundSkilz. The final revenue projections and detailed budget will be finalized during contract negotiations and presented to Council with the finalized agreement.

FIVE-YEAR STRATEGIC PLAN:

This action supports Goal F-3: Promote additional community events and celebrations.

ATTACHMENTS:

1. Sample Contract for Services Agreement

2. RFP for Cathedral City International Hot Air Balloon Festival

3. Special Events Proposal Scoring Summary

Cathedral City City CouncilApril 9, 2025

Cathedral City City Council
April 9, 2025