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6 (d) Notices. All notices to be given pursuant to this Agreement shall be in writing and shall be deemed received when delivered personally, by facsimile or by reputable overnight courier(e.g., FedEx)to the addresses above. Either party may change its respective address by written notice to the other party of such change. (e) Confidentiality. The terms of this Agreement, including, without limitation, the financial terms and the duration of this Agreement, shall be deemed confidential, and shall not be disclosed by either party without the other’s consent, except that such consent shall not be required for: (i) SCAC’s disclosure of the existence of this Agreement and/or any terms of this Agreement to any professional league having jurisdiction over the subject matter hereof, including, without limitation, the G League, as required by such league; (ii) SCAC’s disclosure of any confidential information to Riverside County; or (iii) information that is or has become generally available to the public other than as a result of disclosure by a party in breach of this Agreement. All press releases, if any, relating to the subject matter of this Agreement shall be subject to the parties’ mutual approval.
(f) Subservience. Notwithstanding anything to the contrary contained in this Agreement, this Agreement (as clarification, including, without limitation, all Sponsorship Benefits) is subject in all respects to all present and future federal, state and municipal laws, regulations, rules, orders and decisions (including, without limitation, those of the Federal Communications Commission) and all present and future contracts entered into by, as well as the Constitution, By-Laws and all other rules, board resolutions, policies and regulations of, the AHL, G League, their Commissioners’ office and affiliated entities, and any and all other leagues, entities or organizations having jurisdiction over the rights and benefits granted to Sponsor herein, including, without limitation, all relevant territorial restrictions, including, without limitation, all agreements entered into by SHPD with the AHL member clubs, the AHL or its affiliated entities in connection therewith, or agreements entered into by SCAC or LALG with the G League member clubs, the G League or its affiliated entities in connection therewith (collectively, “League Rules”). (g) Limitation of Damages. Neither party shall be liable to the other party for any lost profits or consequential, incidental, special or punitive damages by reason of any breach of the terms of this Agreement.
(h) Entire Agreement. This Agreement, including the Standard Terms and Conditions, set forth the entire agreement of the parties, and supersede all prior agreements between the parties, with respect to the subject matter hereof. Any amendment or modification of this Agreement shall be in writing executed by the parties and subject to the consent of the G League to the extent required by League Rules. (i) Governing Law. This Agreement is subject to all applicable federal, state and municipal laws, regulations and ordinances now and hereafter in effect. This Agreement shall be construed in accordance with the laws of the State of California (without regard to principles of conflicts of laws). Any dispute in connection with this Agreement shall be subject to the exclusive jurisdiction of the courts (state or federal, as applicable) located in Los Angeles, CA.
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STAFF REPORT
10/14/2026
TO: Honorable Mayor and City Council Members
FROM: Celina Jimenez, Director of Economic Development
SUBJECT: Approval of the Third Amended and Restated Joint Powers Agreement Amending the Purpose and Powers of the Joint Powers Authority for Visit Greater Palm Springs
EXECUTIVE SUMMARY:
Visit Greater Palm Springs (VGPS) is asking each of its member agencies to approve a Third Amended and Restated Joint Powers Agreement. The amendments do two things: (1) expand VGPS's purpose to include regional economic diversification and destination-enhancing infrastructure such as sports complexes, entertainment venues, and meeting facilities; and (2) expand VGPS's authority to form assessment, benefit, or financing districts, including districts made up of only those members that choose to participate.
STAFF RECOMMENDATION:
Staff recommends that the City Council consider approving the third amended and restated Joint Powers Agreement for Visit Greater Palm Springs and authorize the Mayor and City Manager to execute the agreement.
ALTERNATIVES:
1. Approve the third amended and restated Joint Powers Agreement for Visit Greater Palm Springs and authorize the Mayor and City Manager to execute the agreement
2. Not approve the action
FISCAL IMPACT:
There is no fiscal impact associated with this action.
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BACKGROUND:
Visit Greater Palm Springs (VGPS) is a joint powers authority (JPA) established under the Joint Exercise of Powers Act (Cal. Gov. Code § 6500 et seq.). The City of Coachella is a member of VGPS along with the cities of Palm Desert, Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Springs, Rancho Mirage, and the County of Riverside. The current operative agreement is the Second Amended and Restated Joint Powers Agreement, approved in June 2024. On June 26, 2026, the VGPS Executive Committee approved Resolution No. JPA 2026-003, approving amendments to the purpose and powers of the JPA and authorizing the Third Amended and Restated Joint Powers Agreement to be presented to the JPA member agencies for consideration.
DISCUSSION/ANALYSIS:
Approval of the Third Amended and Restated Joint Powers Agreement does not establish a new district, impose an assessment, or approve a specific sports complex project. Rather, approval expands the purpose and powers of VGPS and provides a framework for VGPS and participating member agencies to consider these opportunities in the future.
The Third Amended and Restated Joint Powers Agreement expands VGPS's stated purpose beyond its existing tourism and hospitality functions to include initiatives that strengthen and diversify the regional economy and facilitate destination-enhancing improvements and infrastructure. The agreement specifically identifies sports complexes, entertainment venues, and meeting facilities as examples of such improvements.
The proposed agreement also expands VGPS's powers related to the formation, renewal, and modification of assessment, benefit, or financing districts. These powers may be exercised regionally or within defined subareas of the JPA's territorial boundaries, allowing a regional district to include only those JPA members participating in the district.
For a regional district that does not include all JPA members, the formation, rate, and management district plan would be subject to approval by the legislative bodies of the JPA members within that district, consistent with applicable law. The agreement further authorizes VGPS to plan, finance, develop, construct, acquire, operate, and maintain tourism-related infrastructure and facilities, either directly or in partnership with public or private entities.
ATTACHMENTS:
1. Third Amended and Restated Joint Powers Agreement
2. Redline of Third Amended and Restated Joint Powers Agreement
3. VGPS Resolution No. JPA 2026-003
4. VGPS Staff Report
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STAFF REPORT
TO: JPA Member Cities and Riverside County
FROM: Scott White, President & CEO
DATE: August 3, 2026
SUBJECT: APPROVAL AND ADOPTION OF THE THIRD AMENDED AND RESTATED JOINT POWERS
AGREEMENT THAT AMENDS THE PURPOSE AND POWERS OF THE JOINT POWERS AUTHORITY RECOMMENDATION:
The JPA Executive Committee of VGPS recommends approval of amendments to the purpose and powers of its existing JPA Agreement, in the form of the Third Amended and Restated Joint Powers Agreement. These amendments would allow VGPS’ members the option to develop a Tourism Improvement District or Infrastructure District, in collaboration with VGPS, to further the goal of construction of a sports complex in the Coachella Valley.
BACKGROUND:
A. Visit Greater Palm Springs and the Operative JPA Agreement.
Visit Greater Palm Springs (“VGPS”) is a Joint Powers Authority operating under the Joint Exercise of Powers Act (California Government Code §§6500 et seq.) The JPA Executive Committee serves as the governing body of VGPS. The JPA Executive Committee adopted the Joint Powers Agreement (“Amended and Restated Agreement”) on January 20, 2016 (“JPA Agreement”). The current operative JPA Agreement for VGPS is the Second Amended and Restated Joint Powers Agreement (the “Second Amended JPA Agreement”), that was approved on June 14, 2024. The members of VGPS are as follows: Desert Hot Springs, Palm Springs, Cathedral City, Rancho Mirage, Palm Desert, Indian Wells, La Quinta, Indio and Coachella (“Member Cities”), and the County of Riverside.
B. Vision of a Sport Complex in the Coachella Valley.
VGPS previously commissioned a series of feasibility studies for a potential regional amateur sports complex in the Coachella Valley. The results of the studies made it clear that a thoughtfully designed indoor facility could fill a critical gap in both our tourism economy and our community recreation infrastructure. Beyond the numbers, this project offers a major step forward in regional quality of life, keeping local athletes closer to home, creating new opportunities for youth development, and supporting wellness, recreation, and community pride. A regional amateur sports complex can generate meaningful economic impact, help retain local talent, and support a more resilient and diversified, year-round economy. By taking the lead, the region can establish itself as a premier destination for sports and tourism, while fueling development across retail, hospitality, and entertainment.
C. Approval of Amendments to the JPA in the Form of Third Amended and Restated Joint Powers Agreement.
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In order to further the vision of such a sports complex in the Coachella Valley, it was determined that the the existing Second Amended JPA Agreement had to be amended to broaden its purpose and powers to enable such. Therefore, Resolution No. JPA 2026-003, was proposed and approved at the June 26, 2026, joint JPA Executive Committee and VGPS Board of Directors meeting. That Resolution included amendments to the Second Amended JPA Agreement, in the form of the Third Amended and Restated Joint Powers Agreement. Those amendments would allow member cities the option to develop a Tourism Improvement District or Infrastructure District, in collaboration with VGPS, to develop such a sports complex.
In particular, the proposed amendments include revisions to the “Purpose” of the Second Amended and Restated JPA (see, Section 3, p. 3), and the “Powers” of that agreement (see, Section 16, p. 8), as indicated below:
Section 3. Purpose
The purpose of VGPS is to benefit all JPA Members and their constituents by jointly:
(a) Marketing, attracting, encouraging, promoting, and doing such other things as might be necessary to enhance, to the greatest extent possible all aspects of the hospitality, convention, and tourism industry in the Coachella Valley and to maximize visitations from national and international markets;
(b) Doing such other things to drive, advance and support initiatives to strengthen and diversify all aspects of the regional economy of the Coachella Valley; and (c)
Developing, fostering and facilitating Coachella Valley destination-enhancing improvements and infrastructure including, but not limited to, sports complexes, entertainment venues, and meeting facilities, either directly and/or forging dynamic public-private partnerships.
Section 16. Powers of the JPA
Pursuant to the Joint Exercise of Powers Act, as set forth in section 6500 et seq. of the California Government Code, this JPA shall have the authority to exercise any power common to the contracting parties, including without limitation any of the following:
(a) The power to make, enter into and perform all necessary contracts; (b) The power to engage necessary employees, to define their qualifications and duties and to provide a schedule of compensation for performance of their duties; (c) The power to retain agents, independent contractors and consultants, including without limitation the power to engage legal counsel and other professional services; (d) The power to acquire, construct, manage, maintain or operate any building, works or improvements;
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(e) The power to acquire by purchase, grant, gift, lease or other lawful means any real property or any personal property that may be necessary or proper to carry out the purposes and intent of the JPA;
(f) The power to hold any real property or any personal property that may be necessary or proper to carry out the purposes and intent of the JPA;
(g) The power to sell, lease or otherwise dispose of any real or personal property including exchanging equivalent properties if it is deemed to be in the best interests of the JPA; (h) The power to donate any surplus real or personal property to any public agency or nonprofit organization;
(i) The power to incur debts, liabilities or obligations, including without limitation the power to borrow money, give security therefore, and purchase on contract; (j) The power to raise revenue for any public purpose consistent with the JPA’s purposes, as set forth in this Agreement, through any legal and appropriate means including assessments which may be established and levied pursuant to the Parking and Business Improvement Area Law of 1989, Streets & Highways Code §36500 et seq., the Property and Business Improvement District Law of 1994, Streets & Highways Code §36600 et seq., and any other applicable provisions of California law authorizing the formation of assessment, benefit, or financing districts as referenced in Section 16(l);
(k) The power to form, renew, and modify improvement districts including all Lodging Establishments, as defined in Section 1, pursuant to the Parking and Business Improvement Area Law of 1989, Streets & Highways Code §36500 et seq., and the Property and Business Improvement District Law of 1994, Streets & Highways Code §36600 et seq., as well as any other applicable provisions of California law authorizing the formation of assessment, benefit, or financing districts, which authorizes joint powers agencies to establish, modify and renew parking and business improvement areas and property and business improvement districts for the purpose of tourism promotion, destination marketing, economic development, and the financing, development, operation, and maintenance of public and private improvements, facilities, and infrastructure, including sports, entertainment, meeting, cultural, and related uses. Approval of this Agreement by the JPA Members constitutes consent to:
(i) the formation of the Greater Palm Springs Convention & Visitors Bureau Tourism Marketing District adopted pursuant to Ordinance No. 2013-001, including all proceedings and actions previously taken by the VGPS in connection with formation of the said district (“2013 TMD”); and
(ii) the formation of the Greater Palm Springs Tourism Business Improvement District pursuant to Resolution No. 2016-004 and to levy an assessment of three percent (3%) on Convention Hotels;
(iii) the renewal of the Greater Palm Springs Tourism Business Improvement District pursuant to Ordinance No. 2020-005 (“2021 TBID”) and to levy an assessment of three percent (3%) on Convention Hotels and one percent (1%) on vacation rentals;
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(l) The power to form these districts, as discussed in the prior section, Section 16(l), and incorporated herein by this reference, shall extend to the ability to establish such districts on a regional basis or within defined subareas of the JPA’s territorial boundaries (“Regional Districts”) that include only those JPA Members in those Regional Districts. Those Regional Districts may, or may not, include all JPA Members depending on the makeup and reach of the Regional District. For any Regional District that does not include all JPA Members within its boundary, the formation, rate, and management district plan shall be subject to approval by the legislative bodies of only the JPA Members in those Regional Districts and may be approved by a majority vote of those JPA Members’ legislative bodies, within those Regional Districts, consistent with applicable law. Incidental to this power to form these Regional Districts will be the power to plan, finance, develop, construct, acquire, operate, and maintain tourism-related infrastructure and facilities, including but not limited to sports complexes, entertainment venues, meeting facilities, and other visitor-serving improvements, either directly or in partnership with public or private entities; (m) The power to adopt rules, regulations, resolutions and ordinances that may be necessary or proper to carry out the purposes and intent of the JPA; (n) The power to enforce rules, regulations, resolutions and ordinances for the administration, maintenance and operation of the JPA;
(o) The power to enter into joint powers agreements pursuant to the Joint Exercise of Powers Act, as set forth in section 6500 et seq. of the Government Code; (p) The power to provide insurance pursuant to section 989 of the Government Code et seq.; (q) The power to sue and be sued in the name of the JPA; (r) The power to conduct certain activities of the JPA in any state or territory of the United States of America or in any foreign country, related to growing and diversifying the economy through promoting and marketing all aspects of the hospitality, convention and tourism industry in the Coachella Valley for the purpose of attracting visitors, groups, meetings, conventions and new businesses from national and international markets, as permitted pursuant to Government Code section 37110;
(s) The power to travel domestically and internationally that is necessary or proper to carrying out the purposes and intent of the JPA;
(t) The power to provide staff and resource support, financial assistance and subsidies to other public agencies, non-profit organizations and the private sector for purposes consistent with the purpose and intent of the JPA;
(u) The power to lobby on behalf of tourism and economic development; (v) The power to form a non-profit corporation or other affiliated non-profit entities for the purpose of promoting and enhancing all aspects of the tourism and economic development industry; and
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(w) The power to take any and all actions necessary for, or incidental to, the powers expressed or implied by this Agreement and all applicable laws.
CONCLUSION
Based on the above, then, the JPA Executive Committee recommends that the JPA Member Cities, and Riverside County, adopt and approve the Third Amended and Restated Joint Powers Agreement, as outlined above.
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1 VISIT GREATER PALM SPRINGS
JOINT POWERS AGREEMENT
(“Third Amended and Restated Agreement”)
A California Joint Powers Authority
Created Pursuant to California Government Code Section 6500 et seq. _________________, 2026
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TABLE OF CONTENTS
RECITALS........................................................................................................................... 1 AGREEMENT..................................................................................................................... 2 Section 1 Definitions ....................................................................................... 2 Section 2 Incorporation of Recitals ................................................................. 3 Section 3 Purpose ............................................................................................ 3 Section 4 Name................................................................................................ 3 Section 5 Second Amended and Restated Agreement Superseded ................ 4 Section 6 Termination...................................................................................... 4 Section 7 JPA Members.................................................................................. 4 Section 8 Additional Members........................................................................ 4 Section 9 Governing Body............................................................................... 5 Section 10 JPA Executive Committee – Powers and Duties............................. 5 Section 11 Territorial Boundaries...................................................................... 6 Section 12 Contributions ................................................................................... 6 Section 13 Withdrawal ...................................................................................... 7 Section 14 Expulsion......................................................................................... 8 Section 15 Separate Entity................................................................................. 8 Section 16 Powers of the JPA............................................................................ 8 Section 17 Power to Invest .............................................................................. 11 Section 18 Bonding ......................................................................................... 11 Section 19 Treasurer and Auditor – Designations........................................... 11 Section 20 Treasurer – Duties and Responsibilities......................................... 11
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Section 21 Independent Audit ......................................................................... 12 Section 22 Auditor’s Duties ............................................................................ 12 Section 23 Attorney’s Fees.............................................................................. 12 Section 24 Voting............................................................................................ 12 Section 25 Severability .................................................................................... 12 Section 26 Waiver ........................................................................................... 13 Section 27 Amendments.................................................................................. 13 Section 28 Ambiguities or Uncertainties......................................................... 13 Section 29 Applicable Law.............................................................................. 13 Section 30 Venue............................................................................................. 13 Section 31 Notices........................................................................................... 13 Section 32 Counterparts................................................................................... 14 Section 33 Privileges and Immunities ............................................................. 14
EXHIBIT A
Territorial Boundaries.......................................................................................................... 18
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VISIT GREATER PALM SPRINGS
Joint Powers Agreement - Third Amended and Restated Agreement 1 This Third Amended and Restated Joint Powers Agreement (this “Agreement”) is entered into by and between the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Desert, Palm Springs and Rancho Mirage, each an independent municipal corporation located in the County of Riverside, State of California, and the County of Riverside, a political subdivision of the State of California, pursuant to the Joint Exercise of Powers Act, as set forth in section 6500 et seq. of the California Government Code. The Joint Powers Authority is known as “Visit Greater Palm Springs” (“VGPS”). The parties to this Agreement are individually referred to herein as “JPA Member” and collectively as “JPA Members.”
RECITALS
WHEREAS, pursuant to the Joint Exercise of Powers Act, if authorized by their legislative or other governing bodies, two or more public agencies which include, but are not limited to, a county or city, may jointly exercise any power common to the contracting parties via a Joint Powers Agreement creating a Joint Powers Authority (“JPA”); and WHEREAS, the JPA Members entered into the original joint powers agreement on February 8, 1989, to jointly encourage, promote, and to do such other things as might be necessary to enhance, to the greatest extent possible, all aspects of the hospitality, convention and tourism industry in the Coachella Valley and to attract visitors from a world wide market, all to the benefit of the member organizations and their citizens via the exercise of all the expressed and implied powers the JPA Members have in common; and WHEREAS, it is intended by the JPA Members that this Agreement shall be amendatory of the Second Amended and Restated Joint Powers Agreement, dated June 14, 2024, including any subsequent amendments (“Second Amended and Restated Agreement”), and shall restate, amend and supersede the Second Amended and Restated Agreement in its entirety as of the Effective Date; and
WHEREAS, on or about _____________, 2026, it was determined by the VGPS President and Chief Executive Officer and his staff that at least two thirds of the entire VGPS Executive Committee and all of the JPA Members voted to amend the purpose and powers of JPA as set forth below, among additional provisions as stated herein; and WHEREAS, on or about _____________, 2026, it was determined by the VGPS President and Chief Executive Officer and his staff that at least two thirds of the entire VGPS Executive Committee and all of the JPA Members voted to approve for adoption and execution this Third Amended and Restated Joint Powers Agreement.
NOW, THEREFORE, in consideration of the terms and conditions hereinafter set forth, and intending to be legally bound hereby, the JPA Members hereby covenant and agree as follows:
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VISIT GREATER PALM SPRINGS
Joint Powers Agreement - Third Amended and Restated Agreement 2 AGREEMENT
Section 1. Definitions
The following words, terms and phrases shall have the following meanings:
“Additional JPA Members” shall mean qualified municipalities that may be added as members of JPA as described in Section 8.
“Board of Directors” shall mean the Board of Directors of the Greater Palm Springs Business Alliance (“GPSBA”) comprised of persons associated with the local hospitality industry for the purposes described in Section 10.
“Convention Hotel” shall mean a hotel, motel or similar property with 50 rooms or greater.
“Joint Exercise of Powers Act” shall mean California Government Code sections 6500-6536.
“JPA” shall mean the Joint Powers Authority and may also be referred to herein as VGPS.
“JPA Executive Committee” shall mean the JPA’s governing body formed for the purposes and having the powers and duties set forth in Section 10. “JPA Member” shall mean a municipality that is party to this Agreement. “JPA Members” shall mean, collectively, the municipalities that have entered into this Agreement.
“JPA Member Contributions” shall mean the annual contribution amounts duly established pursuant to Section 12.
“Lodging Establishments” shall mean any structure, which is occupied or intended or designed for use or occupancy by transients, including but not limited to hotel, resort, motel, inn and individually owned structures; single family homes, duplexes, triplexes, mobile homes, public or private clubs, campgrounds, mobile homes or house trailers at fixed locations, or other like structure or portion thereof and dwelling utilized for short term rental and subject to local transient occupancy tax.
“Partner” shall mean a non-governmental entity whose business and activities are directly related to the convention or tourism industry and the purposes ofthis Agreement. “President and Chief Executive Officer” shall mean the individual employed by VGPS, who is responsible for professionally supervising, managing, and administering VGPS’s dayto day affairs as described in paragraph (e) of Section 10 and elsewhere in this Agreement.
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Joint Powers Agreement - Third Amended and Restated Agreement 3 “TBID” shall mean Tourism Business Improvement District assessment. “Technical Advisory Committee” or “TAC” shall mean the committee which may be appointed by a majority vote of VGPS’s JPA Executive Committee for the purposes described in paragraph (d) of Section 10.
“Treasurer” shall mean the individual appointed by VGPS’s JPA Executive Committee to serve the functions described at Section 19 and may be the same individual appointed as Auditor.
“VGPS Fiscal Year” shall mean the period commencing July 1 of every year and ending June 30 of the following calendar year.
“Visit Greater Palm Springs” or “VGPS” shall mean the Joint Powers Authority formed by the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Desert, Palm Springs and Rancho Mirage, and the County of Riverside.
Section 2. Incorporation of Recitals
The foregoing recitals are incorporated into this Agreement by this reference as though fully set forth herein.
Section 3. Purpose
The purpose of VGPS is to benefit all JPA Members and their constituents by jointly:
(a) Marketing, attracting, encouraging, promoting, and doing such other things as might be necessary to enhance, to the greatest extent possible all aspects of the hospitality, convention, and tourism industry in the Coachella Valley and to maximize visitations from national and international markets;
(b) Doing such other things to drive, advance and support initiatives to strengthen and diversify all aspects of the regional economy of the Coachella Valley; and (c) Developing, fostering and facilitating Coachella Valley destination-enhancing improvements and infrastructure including, but not limited to, sports complexes, entertainment venues, and meeting facilities, either directly and/or forging dynamic public-private partnerships.
Section 4. Name
The name of the JPA shall be “Visit Greater Palm Springs” (“VGPS”) or such other name that may be changed at any time by a resolution approved and adopted by a two-thirds vote of the entire JPA Executive Committee.
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Joint Powers Agreement - Third Amended and Restated Agreement 4 Section 5. Second Amended and Restated Agreement Superseded - Effective Date
It is intended by the JPA Members that this Agreement shall be amendatory of the Second Amended and Restated Agreement and shall restate, amend and supersede the Second Amended and Restated Agreement. Upon its Effective Date, this Agreement shall govern the relationship of the JPA Members. This Agreement shall become effective on the date this Agreement is approved by a two-thirds vote of the entire membership of the JPA Executive Committee and a two-thirds vote of the JPA Members’ legislative bodies (“Effective Date”).
Section 6. Termination
(a) This Agreement may be terminated by unanimous vote of all the JPA Members’ legislative bodies provided, however, the foregoing shall not be construed as limiting the rights of a JPA Member to withdraw its membership in the JPA, and thus terminate this Agreement with respect to such withdrawing JPA Member as described in Section 13; and (b) Pursuant to section 6512 of the Government Code, upon termination of this Agreement and dissolution of the JPA, any surplus money on hand with the JPA shall be returned to the JPA Members’ treasuries in proportion to the JPA Member Contributions made by the respective JPA Member to the JPA.
(c) Upon termination of this Agreement and dissolution of the JPA, all of the resources of the JPA shall be used in an effort to ensure that 100% of the pension liability is funded. Pursuant to Government Code section 6508.2, any remaining obligations of the JPA pension plan and other post-employment benefit liabilities shall be assumed by JPA Members.
The JPA will maintain a policy of funding its pension liability at a minimum of 85% and will promptly notify JPA Members at any time this threshold is not met.
Section 7. JPA Members
The members of the JPA shall consist of the parties to this Agreement which include the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Desert, Palm Springs and Rancho Mirage, and the County of Riverside.
Section 8. Additional Members
Additional JPA Members that qualify to join a joint powers authority under the Joint Exercise of Powers Act may be added as JPA Members at any time by a two-thirds vote of the of the entire JPA Executive Committee and a unanimous vote of the JPA Members’ legislative bodies in compliance with all applicable provisions of the Joint Exercise of Powers Act and all other applicable laws.
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Joint Powers Agreement - Third Amended and Restated Agreement 5 Section 9. Governing Body
(a) The governing body of the JPA shall be known as the JPA Executive Committee and it shall be comprised of: (i) a duly elected or appointed council member of each city JPA Member; and (ii) a member ofthe Riverside County Board of Supervisors. (b) Only those members of the JPA Executive Committee, whose agencies pay the JPA Member Contributions, as set forth in this Agreement, shall be entitled to vote.
Section 10. JPA Executive Committee - Powers and Duties The JPA Executive Committee, consistent with this Agreement and all applicable laws, shall exercise all the powers and perform all duties necessary to conduct the business ofthe JPA, either directly or by delegation of its authority, as the JPA Executive Committee deems appropriate, which shall include but not be limited to the following:
(a) Adopt bylaws or rules of procedure to provide for the organization and administration of the JPA, as the JPA Executive Committee deems appropriate by a majority vote of the JPA Executive Committee;
(b) Approve and adopt a budget for the JPA prior to the commencement of the JPA’s subsequent fiscal year, the term of which shall be set by a majority vote of the JPA Executive Committee;
(c) Delegate authority to manage destination activities and the daily operations of VGPS to GPSBA, including but not limited to strategic development, marketing, travel trade, public relations, human resources and group sales, and employ an individual who shall serve as the President and Chief Executive Officer of the JPA, who shall be responsible for professionally supervising, managing and administering the day-to-day affairs of the JPA, hire and fire JPA employees, retain consultants and independent contractors and perform such other functions as needed. Termination of the President & Chief Executive Officer will require a majority vote of the JPA Executive Committee and GPSBA Board of Directors. The Board of Directors of the GPSBA shall consist of any number of persons associated with the local hospitality industry, which may include, but not be limited to, those who own, manage, govern or serve in senior staff positions for Lodging Establishments or businesses, eateries, public and private regional sports facilities, public and private museums, public and private convention and conference facilities, commercial air transport facilities, commercial ground transportation businesses, plus any other persons from any other industry deemed appropriate. The GPSBA shall manage the destination operations of VGPS, and shall be governed by bylaws, as amended from time to time.
Activities other than tourism related activities, such as but not limited to economic diversification efforts, shall remain the responsibility of the JPA and shall be governed by the JPA Members and/or their assignee(s) as determined by the JPA Executive Committee. (d) Appoint from time to time, if deemed necessary by a majority vote of the JPA Executive Committee, a Technical Advisory Committee (TAC) consisting of a staff member
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Joint Powers Agreement - Third Amended and Restated Agreement 6 employed by each JPA Member as designated by the respective JPA Executive Committee member, for purposes of advising the JPA Executive Committee on any technical issues of the JPA that the JPA Executive Committee may need advice on; (e) Retain an individual licensed to practice law in the State of California who shall serve as General Legal Counsel for the JPA and who shall assist the JPA with any legal assistance as may be requested by the JPA Executive Committee or President/Chief Executive Officer or their authorized designees; and
(f) Create any committees, sub-committees, and advisory committees, as deemed necessary by a majority vote of the JPA Executive Committee, to advance and/or achieve the purposes set forth in this Agreement.
(g) Pursuant to Section 6509 of the Government Code, the powers set forth in this Agreementshall be subject to the restrictions upon the manner of exercising such similar powers as are imposed on the City ofRancho Mirage in the exercise ofsimilar powers.
Section 11. Territorial Boundaries
The JPA’s territorial boundaries include the lands situated within the unincorporated areas of the Coachella Valley situated in the County of Riverside and the lands situated within the jurisdictional boundaries of the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Springs, Palm Desert and Rancho Mirage, as depicted in Exhibit A of this Agreement. The territorial boundaries of the VGPS may only be changed by a two-thirds vote of the JPA Executive Committee and a unanimous vote ofthe JPA Members’ legislative bodies.
Section 12. Contributions
(a) Initial Membership Fee. Each new JPA Member shall pay to the JPA a one-(1) time entry fee and operation fee calculated as follows:
(i) Entry Fee: The “Entry Fee” shall be calculated by multiplying the new JPA Member’s current fiscal year’s gross revenue estimate by .55%. (ii) Operation Fee: The “Operation Fee” shall be calculated by multiplying the Entry Fee by 15.62%.
The sum of the Entry Fee and the Operation Fee is due within thirty (30) days of a new JPA Member joining the JPA.
(b) Annual Contribution. Each JPA Member shall pay to the JPA (i) the greater of $35,000 each year, or (ii) the applicable contribution amounts as set forth in the formula below, which may only be modified by a two-thirds vote of the entire JPA Executive Committee and a unanimous vote ofthe JPA Members’ legislative bodies. JPA Members’ legislative bodies shall, at a minimum, make quarterly payments of the annual contribution to VGPS.
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Joint Powers Agreement - Third Amended and Restated Agreement 7 A contribution from each ofthe JPA Members is a funding mechanism equal to:
.0015 x Gross Room Rental Revenue for Lodging Establishments excluding Convention Hotels, and
.0035 x Gross Room Rental Revenue for Convention Hotels (c) The Gross Room Rental Revenue described herein shall not include any transient occupancy tax rebate incentives provided by the JPA Members.
Section 13. Withdrawal
Any Party may withdraw as a JPA Member and the obligations under this Agreement subject to the following conditions:
(a) The withdrawing JPA Member’s legislative body submits a duly adopted resolution to the JPA Executive Committee providing Notice ofWithdrawal. (b) The effective date of withdrawal shall always be the last day of the VGPS’s Fiscal Year.
(c) All JPA Member Contributions must be paid in full by the withdrawing JPA Member through the end of the current VGPS Fiscal Year of the year when the withdrawing JPA Member provides its Notice ofWithdrawal as well as the following VGPS Fiscal Year. (d) After giving notice of withdrawal, a withdrawing JPA Member shall not have voting privileges on the JPA Executive Committee except for operating budget items through the effective date of withdrawal.
(e) A withdrawing JPA Member may again become a party to this Agreement on condition that it pays to the treasury of the VGPS an amount equal to all JPA Member Contributions which the withdrawing JPA Member would have been required to pay if it had not withdrawn from participation.
(f) Partners within the territorial boundaries of the VGPS may remain active Partners as long as their respective government entity is a JPA Member and during the period of their JPA Member’s withdrawal from the Joint Powers Agreement. (g) In the event of withdrawal by a JPA Member, the JPA shall continue to be entitled to the full amount of the TBID unless and until the TBID expires without renewal or is disestablished pursuant to the Property and Business Improvement District Law of 1994, Streets & Highways Code §36600 et seq. The withdrawing JPA Member shall continue to be responsible for collecting the TBID on a monthly basis (including any delinquencies, penalties and interest) from each assessed business and forwarding the same to the JPA.
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Joint Powers Agreement - Third Amended and Restated Agreement 8 Section 14. Expulsion
A JPA Member may be expelled or suspended by a two-thirds (2/3) vote of the VGPS Executive Committee for an event of breach of this Agreement or the Bylaws, as amended from time to time, as determined by the remaining members of the JPA Executive Committee. The procedures for hearing and notice of expulsion and suspension shall be set forth in the bylaws of the JPA Executive Committee.
Section 15. Separate Entity
Except for termination as provided in Section 6 of this Agreement, pursuant to section 6507 of the Government Code, this JPA shall at all times be an independent public entity separate from the parties to this Agreement, and the debts, liabilities and obligations of the JPA shall be its sole responsibility and shall not become the debts, liabilities, or obligations of any one JPA Member except that any JPA Member may separately contract for, or assume responsibility for specific debts, liabilities, or obligations of the JPA.
Section 16. Powers of the JPA
Pursuant to the Joint Exercise of Powers Act, as set forth in section 6500 et seq. of the California Government Code, this JPA shall have the authority to exercise any power common to the contracting parties, including without limitation any of the following:
(a) The power to make, enter into and perform all necessary contracts; (b) The power to engage necessary employees, to define their qualifications and duties and to provide a schedule of compensation for performance of their duties; (c) The power to retain agents, independent contractors and consultants, including without limitation the power to engage legal counsel and other professional services; (d) The power to acquire, construct, manage, maintain or operate any building, works or improvements;
(e) The power to acquire by purchase, grant, gift, lease or other lawful means any real property or any personal property that may be necessary or proper to carry out the purposes and intent of the JPA;
(f) The power to hold any real property or any personal property that may be necessary or proper to carry out the purposes and intent of the JPA; (g) The power to sell, lease or otherwise dispose of any real or personal property including exchanging equivalent properties if it is deemed to be in the best interests of the JPA; (h) The power to donate any surplus real or personal property to any public agency or nonprofit organization;
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Joint Powers Agreement - Third Amended and Restated Agreement 9 (i) The power to incur debts, liabilities or obligations, including without limitation the power to borrow money, give security therefore, and purchase on contract; (j) The power to raise revenue for any public purpose consistent with the JPA’s purposes, as set forth in this Agreement, through any legal and appropriate means including assessments which may be established and levied pursuant to the Parking and Business Improvement Area Law of 1989, Streets & Highways Code §36500 et seq., the Property and Business Improvement District Law of 1994, Streets & Highways Code §36600 et seq., and any other applicable provisions of California law authorizing the formation of assessment, benefit, or financing districts as referenced in Section 16(l); (k) The power to form, renew, and modify improvement districts including all Lodging Establishments, as defined in Section 1, pursuant to the Parking and Business Improvement Area Law of 1989, Streets & Highways Code §36500 et seq., and the Property and Business Improvement District Law of 1994, Streets & Highways Code §36600 et seq., as well as any other applicable provisions of California law authorizing the formation of assessment, benefit, or financing districts, which authorizes joint powers agencies to establish, modify and renew parking and business improvement areas and property and business improvement districts for the purpose of tourism promotion, destination marketing, economic development, and the financing, development, operation, and maintenance of public and private improvements, facilities, and infrastructure, including sports, entertainment, meeting, cultural, and related uses. Approval of this Agreement by the JPA Members constitutes consent to:
(i) the formation of the Greater Palm Springs Convention & Visitors Bureau Tourism Marketing District adopted pursuant to Ordinance No. 2013-001, including all proceedings and actions previously taken by the VGPS in connection with formation of the said district (“2013 TMD”); and
(ii) the formation of the Greater Palm Springs Tourism Business Improvement District pursuant to Resolution No. 2016-004 and to levy an assessment of three percent (3%) on Convention Hotels;
(iii) the renewal of the Greater Palm Springs Tourism Business Improvement District pursuant to Ordinance No. 2020-005 (“2021 TBID”) and to levy an assessment of three percent (3%) on Convention Hotels and one percent (1%) on vacation rentals; (l) The power to form these districts, as discussed in the prior section, Section 16(l), and incorporated herein by this reference, shall extend to the ability to establish such districts on a regional basis or within defined subareas of the JPA’s territorial boundaries (“Regional Districts”) that include only those JPA Members in those Regional Districts. Those Regional Districts may, or may not, include all JPA Members depending on the makeup and reach of the Regional District. For any Regional District that does not include all JPA Members within its boundary, the formation, rate, and management district plan shall be subject to approval by the legislative bodies of only the JPA Members in those Regional Districts and may be approved by a majority vote of those JPA Members’ legislative bodies, within those Regional Districts, consistent with applicable law. Incidental to this power to form these Regional Districts will be the power to plan, finance, develop, construct, acquire, operate, and maintain tourism-related
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Joint Powers Agreement - Third Amended and Restated Agreement 10 infrastructure and facilities, including but not limited to sports complexes, entertainment venues, meeting facilities, and other visitor-serving improvements, either directly or in partnership with public or private entities;
(m) The power to adopt rules, regulations, resolutions and ordinances that may be necessary or proper to carry out the purposes and intent of the JPA; (n) The power to enforce rules, regulations, resolutions and ordinances for the administration, maintenance and operation of the JPA;
(o) The power to enter into joint powers agreements pursuant to the Joint Exercise of Powers Act, as set forth in section 6500 et seq. of the Government Code; (p) The power to provide insurance pursuant to section 989 of the Government Code et seq.;
(q) The power to sue and be sued in the name of the JPA; (r) The power to conduct certain activities of the JPA in any state or territory of the United States of America or in any foreign country, related to growing and diversifying the economy through promoting and marketing all aspects of the hospitality, convention and tourism industry in the Coachella Valley for the purpose of attracting visitors, groups, meetings, conventions and new businesses from national and international markets, as permitted pursuant to Government Code section 37110;
(s) The power to travel domestically and internationally that is necessary or proper in carrying out the purposes and intent of the JPA;
(t) The power to provide staff and resource support, financial assistance and subsidies to other public agencies, non-profit organizations and the private sector for purposes consistent with the purpose and intent of the JPA;
(u) The power to lobby on behalf of tourism and economic development; (v) The power to form a non-profit corporation or other affiliated non-profit entities for the purpose of promoting and enhancing all aspects of the tourism and economic development industry; and
(w) The power to take any and all actions necessary for, or incidental to, the powers expressed or implied by this Agreement and all applicable laws.
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Joint Powers Agreement - Third Amended and Restated Agreement 11 Section 17. Power to Invest
Pursuant to Government Code section 6509.5, the JPA shall have the power to invest any money in its treasury pursuant to the provisions set forth in Government Code section 6505.5 that is not required for the immediate necessities of the JPA, as the JPA may determine from time to time is advisable, in the same manner and upon the same conditions as local agencies pursuant to Government Code section 53601.
Section 18. Bonding
Pursuant to Government Code section 6505.1, individuals occupying the following positions shall file an official bond in an amount deemed sufficient by the JPA Executive Committee:
(a) President/Chief Executive Officer;
(d) Director of Finance; and
(e) Treasurer.
Section 19. Treasurer and Auditor - Designations
Pursuant to Government Code section 6505.6, the JPA Executive Committee shall designate by resolution an officer or employee of the JPA to fill the functions of Treasurer and Auditor of the JPA, and the JPA Executive Committee may appoint one qualified person to serve as both Treasurer and Auditor or two qualified persons to serve as each separately.
Section 20. Treasurer - Duties and Responsibilities
Pursuant to section 6505.5 Government Code, the Treasurer shall do all of the following:
(a) Receive and receipt (account) for all money of the JPA and place it in the treasury of the Treasurer so designated to the credit of the JPA; (b) Be responsible, upon his or her official bond, for the safekeeping and disbursement of all JPA money so held by the Treasurer; (c) Pay when due, out of the money of the JPA held by the Treasurer, all sums payable on outstanding bonds and coupons of the JPA;
(d) Pay any other sums due from the JPA from JPA money, or any portion thereof, only upon warrants of the public officer performing the functions of auditor or controller who has been designated by this Agreement; and
(e) Verify and report in writing no less than five (5) times per year to the President/Chief Executive Officer, the JPA Executive Committee and to all Parties financial statement of activities for the year.
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Joint Powers Agreement - Third Amended and Restated Agreement 12 Section 21. Independent Audit
Pursuant to section 6505.6 of the Government Code, the Treasurer shall cause an independent audit to be made by a certified public accountant or public accountant, in compliance with section 6505 of the Government Code.
Section 22. Auditor’s Duties
The Auditor shall perform the following duties:
(a) Review and recommend to the JPA Executive Committee accounting procedures and policies governing the JPA;
(b) Review and approve all demands listed on the Warrant Registers prior to submittal to the JPA Executive Committee;
(c) Review payroll registers at least monthly;
(d) Review all financial reports being submitted to the JPA Executive Committee and make the JPA Executive Committee aware of any discrepancies or potential problems in the reports;
(e) Review investments made by the President or Treasurer; (f) Review the audit report prepared by a Certified Public Accounting firm prior to finalization of the report and submittal to the JPA Executive Committee; and (g) Assist staff in the selection of the Certified Public Accounting firm.
Section 23. Attorney’s Fees
In the event litigation or other proceeding is required to enforce or interpret any provision of this Agreement, the prevailing party in such litigation or other proceeding shall be entitled to an award of its actual and reasonable attorney's fees, costs and expenses incurred in the proceeding.
Section 24. Voting
Each JPA Member shall have an equal vote. A motion considered by the JPA Executive Committee shall require a majority of votes cast (more than half) to pass such motion. In the event of a tie vote, such motion before the JPA Executive Committee shall be deemed defeated.
Section 25. Severability
If any term, provision, covenant or condition of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions, if any, of this Agreement shall continue in full force and effect, unless enforcement of this
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Joint Powers Agreement - Third Amended and Restated Agreement 13 Agreement as so invalidated would be unreasonable or grossly inequitable under all the circumstances or would frustrate the purposes of this Agreement.
Section 26. Waiver
All waivers must be in writing to be effective or binding upon the waiving Party, and no waiver shall be implied from any omission by a Party to take any action.
Section 27. Amendments
This Agreement may be amended from time to time by a two-thirds vote of the entire JPA Executive Committee and a unanimous vote of the JPA Members’ legislative bodies in compliance with all applicable provisions of the Joint Exercise of Powers Act and all other applicable laws.
Section 28. Ambiguities or Uncertainties
The JPA Members have mutually negotiated the terms and conditions of this Agreement and each JPA Member received independent legal advice from its attorneys with respect to the advisability of executing this Agreement and the meaning of the provisions contained herein.
As such, this Agreement is a product of the joint drafting efforts of all JPA Members and none of the JPA Members shall be deemed to have solely or independently prepared or framed this Agreement. Therefore, any ambiguities or uncertainties are not to be construed against or in favor of any JPA Member.
Section 29. Applicable Law
This Agreement shall be construed and enforced in accordance with the laws of the State of California.
Section 30. Venue
In the event that suit is brought by any party to this Agreement, the parties agree that venue shall be exclusively vested in the State courts of the County of Riverside, California or where appropriate, in the United States District Court, Southern District of California, Riverside, California.
Section 31. Notices
Any notice or communication required hereunder between the JPA and the JPA Members shall be in writing and may be given either personally or by registered mail, returnreceipt requested. Notice, whether given by registered mail or personal delivery, shall be deemed to have been given and received on the actual receipt by any of the addresses designated below as the party to whom notices are to be sent. Any party hereto may at any time, upon written notice to the other party hereto, designate any other address in substitution of the address to which such notice or communication shall be given. Such notices or communications shall be given to the parties at their addresses set forth below:
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Joint Powers Agreement - Third Amended and Restated Agreement 14 City of Cathedral City
68700 Avenida Lalo Guerrero
Cathedral City, CA 92234
Attention: City Manager
City of Coachella
53990 Enterprise Way
Coachella, CA 92236
Attention: City Manager
City of Desert Hot Springs
11999 Palm Drive
Desert Hot Springs, CA 92240
Attention: City Manager
City of Indian Wells
44950 Eldorado Drive
Indian Wells, CA 92210
Attention: City Manager
City of Indio
100 Civic Center Mall
Indio, CA 92201
Attention: City Manager
City of La Quinta
78495 Calle Tampico
La Quinta, CA 92253
Attention: City Manager
City of Palm Desert
73510 Fred Waring Drive
Palm Desert, CA 92260
Attention: City Manager
City of Palm Springs
3200 East Tahquitz Canyon Way
Palm Springs, CA 92262
Attention: City Manager
City of Rancho Mirage
69825 Highway 111
Rancho Mirage, CA 92270
Attention: City Manager
County of Riverside
County Administration Center
4080 Lemon Street
Riverside, California 92501
Attention: County Clerk
Section 32. Counterparts
This Agreement may be executed in duplicate counterpart originals, each of which is deemed to be an original, and all of which when taken together shall constitute one and the same instrument.
Section 33. Privileges and Immunities
Pursuant to section 6513 of the Government Code, all of the privileges and immunities from liability, exemptions from laws, ordinances and rules, all pension, relief, disability, workmen’s compensation, and other benefits which apply to the activity of officers, agents or employees of any the Parties when performing their respective functions within the territorial limits of their respective public agencies, shall apply to them to the same degree and extent while engaged in the performance of any of their functions and duties performed extraterritorially under the provisions of this Agreement. [SIGNATURES APPEAR ON THE FOLLOWING PAGES]
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Joint Powers Agreement - Third Amended and Restated Agreement 15 IN WITNESS WHEREOF, the duly authorized representatives of the JPA Members have each executed this Agreement.
CITY OF CATHEDRAL CITY
_________________________________
Raymond Gregory, Mayor
Dated: ___________________________
_________________________________
Andrew “Andy” Firestine, City Manager
ATTEST:
_________________________________
Chrstina Burton, City Clerk
APPROVED AS TO FORM:
________________________________
Eric S. Vail, City Attorney
CITY OF COACHELLA
_________________________________
Dr. Frank Figueroa, Mayor
Dated: ___________________________
_________________________________
Gustavo Romo, City Manager
ATTEST:
_________________________________
Angela M. Zepeda, City Clerk
APPROVED AS TO FORM:
________________________________
Ryan Guiboa, City Attorney
CITY OF DESERT HOT SPRINGS
_________________________________
Scott Matas, Mayor
Dated: ___________________________
_________________________________
Doria Wilms, City Manager
ATTEST:
_________________________________
Jerryl Soriano, CMC, City Clerk
APPROVED AS TO FORM:
________________________________
Jennifer Mizrahi, City Attorney
CITY OF INDIAN WELLS
_________________________________
Dr. Toper Taylor, Mayor
Dated: ___________________________
_________________________________
Christopher Freeland, City Manager
ATTEST:
_________________________________
Angelica Avila, City Clerk
APPROVED AS TO FORM:
________________________________
Todd Leishman, City Attorney
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Joint Powers Agreement - Third Amended and Restated Agreement 16 CITY OF INDIO
_________________________________
Elaine Holmes, Mayor
Dated: ___________________________
_________________________________
Jonathan Nicks, City Manager
ATTEST:
_________________________________
Cynthia Hernandez, City Clerk
APPROVED AS TO FORM:
________________________________
Steven P. Graham, City Attorney
CITY OF LA QUINTA
_________________________________
Linda Evans, Mayor
Dated: ___________________________
_________________________________
Jon McMillen, City Manager
ATTEST:
_________________________________
Monika Redeva, City Clerk
APPROVED AS TO FORM:
________________________________
William H. Ihrke, City Attorney
CITY OF PALM DESERT
_________________________________
Evan Trubee, Mayor
Dated: ___________________________
_________________________________
Chris Escobedo, City Manager
ATTEST:
_________________________________
Anthony Mejia, City Clerk
APPROVED AS TO FORM:
________________________________
Isra Shah, City Attorney
CITY OF PALM SPRINGS
_________________________________
Naomi Soto, Mayor
Dated: ___________________________
_________________________________
Scott Stiles, City Manager
ATTEST:
_________________________________
Brenda Pree, City Clerk
APPROVED AS TO FORM:
________________________________
Jeffrey Ballinger, City Attorney
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Joint Powers Agreement - Third Amended and Restated Agreement 17 CITY OF RANCHO MIRAGE
_________________________________
Lynn Mallotto, Mayor
Dated: ___________________________
_________________________________
Isaiah Hagerman, City Manager
ATTEST:
_________________________________
Kristie Ramos, City Clerk
APPROVED AS TO FORM:
________________________________
Colin D. Kirkpatrick, City Attorney
COUNTY OF RIVERSIDE
____________________________________
Karen Spiegel, Chairman
____________________________________
Jeff Van Wagenen, County Executive
Manager
ATTEST:
____________________________________
Kimberly A. Rector, Clerk of the Board
APPROVED AS TO FORM:
____________________________________
Minh Tran, County Counsel
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Joint Powers Agreement - Third Amended and Restated Agreement 18 EXHIBIT A
TERRITORIAL BOUNDARIES
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1 VISIT GREATER PALM SPRINGS
JOINT POWERS AGREEMENT
(“Third Amended and Restated Agreement”)
A California Joint Powers Authority
Created Pursuant to California Government Code Section 6500 et seq. _________________, 2026
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TABLE OF CONTENTS
RECITALS........................................................................................................................... 1 AGREEMENT..................................................................................................................... 2 Section 1 Definitions ....................................................................................... 2 Section 2 Incorporation of Recitals ................................................................. 3 Section 3 Purpose ............................................................................................ 3 Section 4 Name................................................................................................ 3 Section 5 Second Amended and Restated Agreement Superseded ................ 4 Section 6 Termination...................................................................................... 4 Section 7 JPA Members.................................................................................. 4 Section 8 Additional Members........................................................................ 4 Section 9 Governing Body............................................................................... 5 Section 10 JPA Executive Committee – Powers and Duties............................. 5 Section 11 Territorial Boundaries...................................................................... 6 Section 12 Contributions ................................................................................... 6 Section 13 Withdrawal ...................................................................................... 7 Section 14 Expulsion......................................................................................... 8 Section 15 Separate Entity................................................................................. 8 Section 16 Powers of the JPA............................................................................ 8 Section 17 Power to Invest .............................................................................. 11 Section 18 Bonding ......................................................................................... 11 Section 19 Treasurer and Auditor – Designations........................................... 11 Section 20 Treasurer – Duties and Responsibilities......................................... 11
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Section 21 Independent Audit ......................................................................... 12 Section 22 Auditor’s Duties ............................................................................ 12 Section 23 Attorney’s Fees.............................................................................. 12 Section 24 Voting............................................................................................ 12 Section 25 Severability .................................................................................... 12 Section 26 Waiver ........................................................................................... 13 Section 27 Amendments.................................................................................. 13 Section 28 Ambiguities or Uncertainties......................................................... 13 Section 29 Applicable Law.............................................................................. 13 Section 30 Venue............................................................................................. 13 Section 31 Notices........................................................................................... 13 Section 32 Counterparts................................................................................... 14 Section 33 Privileges and Immunities ............................................................. 14
EXHIBIT A
Territorial Boundaries.......................................................................................................... 18
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Joint Powers Agreement - Third Amended and Restated Agreement 1 This Third Amended and Restated Joint Powers Agreement (this “Agreement”) is entered into by and between the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Desert, Palm Springs and Rancho Mirage, each an independent municipal corporation located in the County of Riverside, State of California, and the County of Riverside, a political subdivision of the State of California, pursuant to the Joint Exercise of Powers Act, as set forth in section 6500 et seq. of the California Government Code. The Joint Powers Authority is known as “Visit Greater Palm Springs” (“VGPS”). The parties to this Agreement are individually referred to herein as “JPA Member” and collectively as “JPA Members.”
RECITALS
WHEREAS, pursuant to the Joint Exercise of Powers Act, if authorized by their legislative or other governing bodies, two or more public agencies which include, but are not limited to, a county or city, may jointly exercise any power common to the contracting parties via a Joint Powers Agreement creating a Joint Powers Authority (“JPA”); and WHEREAS, the JPA Members entered into the original joint powers agreement on February 8, 1989, to jointly encourage, promote, and to do such other things as might be necessary to enhance, to the greatest extent possible, all aspects of the hospitality, convention and tourism industry in the Coachella Valley and to attract visitors from a world wide market, all to the benefit of the member organizations and their citizens via the exercise of all the expressed and implied powers the JPA Members have in common; and WHEREAS, it is intended by the JPA Members that this Agreement shall be amendatory of the Second Amended and Restated Joint Powers Agreement, dated June 14, 2024, including any subsequent amendments (“Second Amended and Restated Agreement”), and shall restate, amend and supersede the Second Amended and Restated Agreement in its entirety as of the Effective Date; and
WHEREAS, on or about _____________, 2026, it was determined by the VGPS President and Chief Executive Officer and his staff that at least two thirds of the entire VGPS Executive Committee and all of the JPA Members voted to amend the purpose and powers of JPA as set forth below, among additional provisions as stated herein; and WHEREAS, on or about _____________, 2026, it was determined by the VGPS President and Chief Executive Officer and his staff that at least two thirds of the entire VGPS Executive Committee and all of the JPA Members voted to approve for adoption and execution this Third Amended and Restated Joint Powers Agreement.
NOW, THEREFORE, in consideration of the terms and conditions hereinafter set forth, and intending to be legally bound hereby, the JPA Members hereby covenant and agree as follows:
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Joint Powers Agreement - Third Amended and Restated Agreement 2 AGREEMENT
Section 1. Definitions
The following words, terms and phrases shall have the following meanings:
“Additional JPA Members” shall mean qualified municipalities that may be added as members of JPA as described in Section 8.
“Board of Directors” shall mean the Board of Directors of the Greater Palm Springs Business Alliance (“GPSBA”) comprised of persons associated with the local hospitality industry for the purposes described in Section 10.
“Convention Hotel” shall mean a hotel, motel or similar property with 50 rooms or greater.
“Joint Exercise of Powers Act” shall mean California Government Code sections 6500-6536.
“JPA” shall mean the Joint Powers Authority and may also be referred to herein as VGPS.
“JPA Executive Committee” shall mean the JPA’s governing body formed for the purposes and having the powers and duties set forth in Section 10. “JPA Member” shall mean a municipality that is party to this Agreement. “JPA Members” shall mean, collectively, the municipalities that have entered into this Agreement.
“JPA Member Contributions” shall mean the annual contribution amounts duly established pursuant to Section 12.
“Lodging Establishments” shall mean any structure, which is occupied or intended or designed for use or occupancy by transients, including but not limited to hotel, resort, motel, inn and individually owned structures; single family homes, duplexes, triplexes, mobile homes, public or private clubs, campgrounds, mobile homes or house trailers at fixed locations, or other like structure or portion thereof and dwelling utilized for short term rental and subject to local transient occupancy tax.
“Partner” shall mean a non-governmental entity whose business and activities are directly related to the convention or tourism industry and the purposes ofthis Agreement. “President and Chief Executive Officer” shall mean the individual employed by VGPS, who is responsible for professionally supervising, managing, and administering VGPS’s dayto day affairs as described in paragraph (e) of Section 10 and elsewhere in this Agreement.
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Joint Powers Agreement - Third Amended and Restated Agreement 3 “TBID” shall mean Tourism Business Improvement District assessment. “Technical Advisory Committee” or “TAC” shall mean the committee which may be appointed by a majority vote of VGPS’s JPA Executive Committee for the purposes described in paragraph (d) of Section 10.
“Treasurer” shall mean the individual appointed by VGPS’s JPA Executive Committee to serve the functions described at Section 19 and may be the same individual appointed as Auditor.
“VGPS Fiscal Year” shall mean the period commencing July 1 of every year and ending June 30 of the following calendar year.
“Visit Greater Palm Springs” or “VGPS” shall mean the Joint Powers Authority formed by the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Desert, Palm Springs and Rancho Mirage, and the County of Riverside.
Section 2. Incorporation of Recitals
The foregoing recitals are incorporated into this Agreement by this reference as though fully set forth herein.
Section 3. Purpose
The purpose of VGPS is to benefit all JPA Members and their constituents by jointly:
(a) Marketing, attracting, encouraging, promoting, and doing such other things as might be necessary to enhance, to the greatest extent possible all aspects of the hospitality, convention, and tourism industry in the Coachella Valley and to maximize visitations from national and international markets;
(b) Doing such other things to drive, advance and support initiatives to strengthen and diversify all aspects of the regional economy of the Coachella Valley; and (c) Developing, fostering and facilitating Coachella Valley destination-enhancing improvements and infrastructure including, but not limited to, sports complexes, entertainment venues, and meeting facilities, either directly and/or forging dynamic public-private partnerships.
Section 4. Name
The name of the JPA shall be “Visit Greater Palm Springs” (“VGPS”) or such other name that may be changed at any time by a resolution approved and adopted by a two-thirds vote of the entire JPA Executive Committee.
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Joint Powers Agreement - Third Amended and Restated Agreement 4 Section 5. Second Amended and Restated Agreement Superseded - Effective Date
It is intended by the JPA Members that this Agreement shall be amendatory of the Second Amended and Restated Agreement and shall restate, amend and supersede the Second Amended and Restated Agreement. Upon its Effective Date, this Agreement shall govern the relationship of the JPA Members. This Agreement shall become effective on the date this Agreement is approved by a two-thirds vote of the entire membership of the JPA Executive Committee and a two-thirds vote of the JPA Members’ legislative bodies (“Effective Date”).
Section 6. Termination
(a) This Agreement may be terminated by unanimous vote of all the JPA Members’ legislative bodies provided, however, the foregoing shall not be construed as limiting the rights of a JPA Member to withdraw its membership in the JPA, and thus terminate this Agreement with respect to such withdrawing JPA Member as described in Section 13; and (b) Pursuant to section 6512 of the Government Code, upon termination of this Agreement and dissolution of the JPA, any surplus money on hand with the JPA shall be returned to the JPA Members’ treasuries in proportion to the JPA Member Contributions made by the respective JPA Member to the JPA.
(c) Upon termination of this Agreement and dissolution of the JPA, all of the resources of the JPA shall be used in an effort to ensure that 100% of the pension liability is funded. Pursuant to Government Code section 6508.2, any remaining obligations of the JPA pension plan and other post-employment benefit liabilities shall be assumed by JPA Members.
The JPA will maintain a policy of funding its pension liability at a minimum of 85% and will promptly notify JPA Members at any time this threshold is not met.
Section 7. JPA Members
The members of the JPA shall consist of the parties to this Agreement which include the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Desert, Palm Springs and Rancho Mirage, and the County of Riverside.
Section 8. Additional Members
Additional JPA Members that qualify to join a joint powers authority under the Joint Exercise of Powers Act may be added as JPA Members at any time by a two-thirds vote of the of the entire JPA Executive Committee and a unanimous vote of the JPA Members’ legislative bodies in compliance with all applicable provisions of the Joint Exercise of Powers Act and all other applicable laws.
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Joint Powers Agreement - Third Amended and Restated Agreement 5 Section 9. Governing Body
(a) The governing body of the JPA shall be known as the JPA Executive Committee and it shall be comprised of: (i) a duly elected or appointed council member of each city JPA Member; and (ii) a member ofthe Riverside County Board of Supervisors. (b) Only those members of the JPA Executive Committee, whose agencies pay the JPA Member Contributions, as set forth in this Agreement, shall be entitled to vote.
Section 10. JPA Executive Committee - Powers and Duties The JPA Executive Committee, consistent with this Agreement and all applicable laws, shall exercise all the powers and perform all duties necessary to conduct the business ofthe JPA, either directly or by delegation of its authority, as the JPA Executive Committee deems appropriate, which shall include but not be limited to the following:
(a) Adopt bylaws or rules of procedure to provide for the organization and administration of the JPA, as the JPA Executive Committee deems appropriate by a majority vote of the JPA Executive Committee;
(b) Approve and adopt a budget for the JPA prior to the commencement of the JPA’s subsequent fiscal year, the term of which shall be set by a majority vote of the JPA Executive Committee;
(c) Delegate authority to manage destination activities and the daily operations of VGPS to GPSBA, including but not limited to strategic development, marketing, travel trade, public relations, human resources and group sales, and employ an individual who shall serve as the President and Chief Executive Officer of the JPA, who shall be responsible for professionally supervising, managing and administering the day-to-day affairs of the JPA, hire and fire JPA employees, retain consultants and independent contractors and perform such other functions as needed. Termination of the President & Chief Executive Officer will require a majority vote of the JPA Executive Committee and GPSBA Board of Directors. The Board of Directors of the GPSBA shall consist of any number of persons associated with the local hospitality industry, which may include, but not be limited to, those who own, manage, govern or serve in senior staff positions for Lodging Establishments or businesses, eateries, public and private regional sports facilities, public and private museums, public and private convention and conference facilities, commercial air transport facilities, commercial ground transportation businesses, plus any other persons from any other industry deemed appropriate. The GPSBA shall manage the destination operations of VGPS, and shall be governed by bylaws, as amended from time to time.
Activities other than tourism related activities, such as but not limited to economic diversification efforts, shall remain the responsibility of the JPA and shall be governed by the JPA Members and/or their assignee(s) as determined by the JPA Executive Committee. (d) Appoint from time to time, if deemed necessary by a majority vote of the JPA Executive Committee, a Technical Advisory Committee (TAC) consisting of a staff member
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Joint Powers Agreement - Third Amended and Restated Agreement 6 employed by each JPA Member as designated by the respective JPA Executive Committee member, for purposes of advising the JPA Executive Committee on any technical issues of the JPA that the JPA Executive Committee may need advice on; (e) Retain an individual licensed to practice law in the State of California who shall serve as General Legal Counsel for the JPA and who shall assist the JPA with any legal assistance as may be requested by the JPA Executive Committee or President/Chief Executive Officer or their authorized designees; and
(f) Create any committees, sub-committees, and advisory committees, as deemed necessary by a majority vote of the JPA Executive Committee, to advance and/or achieve the purposes set forth in this Agreement.
(g) Pursuant to Section 6509 of the Government Code, the powers set forth in this Agreementshall be subject to the restrictions upon the manner of exercising such similar powers as are imposed on the City ofRancho Mirage in the exercise ofsimilar powers.
Section 11. Territorial Boundaries
The JPA’s territorial boundaries include the lands situated within the unincorporated areas of the Coachella Valley situated in the County of Riverside and the lands situated within the jurisdictional boundaries of the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Springs, Palm Desert and Rancho Mirage, as depicted in Exhibit A of this Agreement. The territorial boundaries of the VGPS may only be changed by a two-thirds vote of the JPA Executive Committee and a unanimous vote ofthe JPA Members’ legislative bodies.
Section 12. Contributions
(a) Initial Membership Fee. Each new JPA Member shall pay to the JPA a one-(1) time entry fee and operation fee calculated as follows:
(i) Entry Fee: The “Entry Fee” shall be calculated by multiplying the new JPA Member’s current fiscal year’s gross revenue estimate by .55%. (ii) Operation Fee: The “Operation Fee” shall be calculated by multiplying the Entry Fee by 15.62%.
The sum of the Entry Fee and the Operation Fee is due within thirty (30) days of a new JPA Member joining the JPA.
(b) Annual Contribution. Each JPA Member shall pay to the JPA (i) the greater of $35,000 each year, or (ii) the applicable contribution amounts as set forth in the formula below, which may only be modified by a two-thirds vote of the entire JPA Executive Committee and a unanimous vote ofthe JPA Members’ legislative bodies. JPA Members’ legislative bodies shall, at a minimum, make quarterly payments of the annual contribution to VGPS.
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Joint Powers Agreement - Third Amended and Restated Agreement 7 A contribution from each ofthe JPA Members is a funding mechanism equal to:
.0015 x Gross Room Rental Revenue for Lodging Establishments excluding Convention Hotels, and
.0035 x Gross Room Rental Revenue for Convention Hotels (c) The Gross Room Rental Revenue described herein shall not include any transient occupancy tax rebate incentives provided by the JPA Members.
Section 13. Withdrawal
Any Party may withdraw as a JPA Member and the obligations under this Agreement subject to the following conditions:
(a) The withdrawing JPA Member’s legislative body submits a duly adopted resolution to the JPA Executive Committee providing Notice ofWithdrawal. (b) The effective date of withdrawal shall always be the last day of the VGPS’s Fiscal Year.
(c) All JPA Member Contributions must be paid in full by the withdrawing JPA Member through the end of the current VGPS Fiscal Year of the year when the withdrawing JPA Member provides its Notice ofWithdrawal as well as the following VGPS Fiscal Year. (d) After giving notice of withdrawal, a withdrawing JPA Member shall not have voting privileges on the JPA Executive Committee except for operating budget items through the effective date of withdrawal.
(e) A withdrawing JPA Member may again become a party to this Agreement on condition that it pays to the treasury of the VGPS an amount equal to all JPA Member Contributions which the withdrawing JPA Member would have been required to pay if it had not withdrawn from participation.
(f) Partners within the territorial boundaries of the VGPS may remain active Partners as long as their respective government entity is a JPA Member and during the period of their JPA Member’s withdrawal from the Joint Powers Agreement. (g) In the event of withdrawal by a JPA Member, the JPA shall continue to be entitled to the full amount of the TBID unless and until the TBID expires without renewal or is disestablished pursuant to the Property and Business Improvement District Law of 1994, Streets & Highways Code §36600 et seq. The withdrawing JPA Member shall continue to be responsible for collecting the TBID on a monthly basis (including any delinquencies, penalties and interest) from each assessed business and forwarding the same to the JPA.
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Joint Powers Agreement - Third Amended and Restated Agreement 8 Section 14. Expulsion
A JPA Member may be expelled or suspended by a two-thirds (2/3) vote of the VGPS Executive Committee for an event of breach of this Agreement or the Bylaws, as amended from time to time, as determined by the remaining members of the JPA Executive Committee. The procedures for hearing and notice of expulsion and suspension shall be set forth in the bylaws of the JPA Executive Committee.
Section 15. Separate Entity
Except for termination as provided in Section 6 of this Agreement, pursuant to section 6507 of the Government Code, this JPA shall at all times be an independent public entity separate from the parties to this Agreement, and the debts, liabilities and obligations of the JPA shall be its sole responsibility and shall not become the debts, liabilities, or obligations of any one JPA Member except that any JPA Member may separately contract for, or assume responsibility for specific debts, liabilities, or obligations of the JPA.
Section 16. Powers of the JPA
Pursuant to the Joint Exercise of Powers Act, as set forth in section 6500 et seq. of the California Government Code, this JPA shall have the authority to exercise any power common to the contracting parties, including without limitation any of the following:
(a) The power to make, enter into and perform all necessary contracts; (b) The power to engage necessary employees, to define their qualifications and duties and to provide a schedule of compensation for performance of their duties; (c) The power to retain agents, independent contractors and consultants, including without limitation the power to engage legal counsel and other professional services; (d) The power to acquire, construct, manage, maintain or operate any building, works or improvements;
(e) The power to acquire by purchase, grant, gift, lease or other lawful means any real property or any personal property that may be necessary or proper to carry out the purposes and intent of the JPA;
(f) The power to hold any real property or any personal property that may be necessary or proper to carry out the purposes and intent of the JPA; (g) The power to sell, lease or otherwise dispose of any real or personal property including exchanging equivalent properties if it is deemed to be in the best interests of the JPA; (h) The power to donate any surplus real or personal property to any public agency or nonprofit organization;
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Joint Powers Agreement - Third Amended and Restated Agreement 9 (i) The power to incur debts, liabilities or obligations, including without limitation the power to borrow money, give security therefore, and purchase on contract; (j) The power to raise revenue for any public purpose consistent with the JPA’s purposes, as set forth in this Agreement, through any legal and appropriate means including assessments which may be established and levied pursuant to the Parking and Business Improvement Area Law of 1989, Streets & Highways Code §36500 et seq., the Property and Business Improvement District Law of 1994, Streets & Highways Code §36600 et seq., and any other applicable provisions of California law authorizing the formation of assessment, benefit, or financing districts as referenced in Section 16(l); (k) The power to form, renew, and modify improvement districts including all Lodging Establishments, as defined in Section 1, pursuant to the Parking and Business Improvement Area Law of 1989, Streets & Highways Code §36500 et seq., and the Property and Business Improvement District Law of 1994, Streets & Highways Code §36600 et seq., as well as any other applicable provisions of California law authorizing the formation of assessment, benefit, or financing districts, which authorizes joint powers agencies to establish, modify and renew parking and business improvement areas and property and business improvement districts for the purpose of tourism promotion, destination marketing, economic development, and the financing, development, operation, and maintenance of public and private improvements, facilities, and infrastructure, including sports, entertainment, meeting, cultural, and related uses. Approval of this Agreement by the JPA Members constitutes consent to:
(i) the formation of the Greater Palm Springs Convention & Visitors Bureau Tourism Marketing District adopted pursuant to Ordinance No. 2013-001, including all proceedings and actions previously taken by the VGPS in connection with formation of the said district (“2013 TMD”); and
(ii) the formation of the Greater Palm Springs Tourism Business Improvement District pursuant to Resolution No. 2016-004 and to levy an assessment of three percent (3%) on Convention Hotels;
(iii) the renewal of the Greater Palm Springs Tourism Business Improvement District pursuant to Ordinance No. 2020-005 (“2021 TBID”) and to levy an assessment of three percent (3%) on Convention Hotels and one percent (1%) on vacation rentals; (l) The power to form these districts, as discussed in the prior section, Section 16(l), and incorporated herein by this reference, shall extend to the ability to establish such districts on a regional basis or within defined subareas of the JPA’s territorial boundaries (“Regional Districts”) that include only those JPA Members in those Regional Districts. Those Regional Districts may, or may not, include all JPA Members depending on the makeup and reach of the Regional District. For any Regional District that does not include all JPA Members within its boundary, the formation, rate, and management district plan shall be subject to approval by the legislative bodies of only the JPA Members in those Regional Districts and may be approved by a majority vote of those JPA Members’ legislative bodies, within those Regional Districts, consistent with applicable law. Incidental to this power to form these Regional Districts will be the power to plan, finance, develop, construct, acquire, operate, and maintain tourism-related
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Joint Powers Agreement - Third Amended and Restated Agreement 10 infrastructure and facilities, including but not limited to sports complexes, entertainment venues, meeting facilities, and other visitor-serving improvements, either directly or in partnership with public or private entities;
(m) The power to adopt rules, regulations, resolutions and ordinances that may be necessary or proper to carry out the purposes and intent of the JPA; (n) The power to enforce rules, regulations, resolutions and ordinances for the administration, maintenance and operation of the JPA;
(o) The power to enter into joint powers agreements pursuant to the Joint Exercise of Powers Act, as set forth in section 6500 et seq. of the Government Code; (p) The power to provide insurance pursuant to section 989 of the Government Code et seq.;
(q) The power to sue and be sued in the name of the JPA; (r) The power to conduct certain activities of the JPA in any state or territory of the United States of America or in any foreign country, related to growing and diversifying the economy through promoting and marketing all aspects of the hospitality, convention and tourism industry in the Coachella Valley for the purpose of attracting visitors, groups, meetings, conventions and new businesses from national and international markets, as permitted pursuant to Government Code section 37110;
(s) The power to travel domestically and internationally that is necessary or proper in carrying out the purposes and intent of the JPA;
(t) The power to provide staff and resource support, financial assistance and subsidies to other public agencies, non-profit organizations and the private sector for purposes consistent with the purpose and intent of the JPA;
(u) The power to lobby on behalf of tourism and economic development; (v) The power to form a non-profit corporation or other affiliated non-profit entities for the purpose of promoting and enhancing all aspects of the tourism and economic development industry; and
(w) The power to take any and all actions necessary for, or incidental to, the powers expressed or implied by this Agreement and all applicable laws.
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Joint Powers Agreement - Third Amended and Restated Agreement 11 Section 17. Power to Invest
Pursuant to Government Code section 6509.5, the JPA shall have the power to invest any money in its treasury pursuant to the provisions set forth in Government Code section 6505.5 that is not required for the immediate necessities of the JPA, as the JPA may determine from time to time is advisable, in the same manner and upon the same conditions as local agencies pursuant to Government Code section 53601.
Section 18. Bonding
Pursuant to Government Code section 6505.1, individuals occupying the following positions shall file an official bond in an amount deemed sufficient by the JPA Executive Committee:
(a) President/Chief Executive Officer;
(d) Director of Finance; and
(e) Treasurer.
Section 19. Treasurer and Auditor - Designations
Pursuant to Government Code section 6505.6, the JPA Executive Committee shall designate by resolution an officer or employee of the JPA to fill the functions of Treasurer and Auditor of the JPA, and the JPA Executive Committee may appoint one qualified person to serve as both Treasurer and Auditor or two qualified persons to serve as each separately.
Section 20. Treasurer - Duties and Responsibilities
Pursuant to section 6505.5 Government Code, the Treasurer shall do all of the following:
(a) Receive and receipt (account) for all money of the JPA and place it in the treasury of the Treasurer so designated to the credit of the JPA; (b) Be responsible, upon his or her official bond, for the safekeeping and disbursement of all JPA money so held by the Treasurer; (c) Pay when due, out of the money of the JPA held by the Treasurer, all sums payable on outstanding bonds and coupons of the JPA;
(d) Pay any other sums due from the JPA from JPA money, or any portion thereof, only upon warrants of the public officer performing the functions of auditor or controller who has been designated by this Agreement; and
(e) Verify and report in writing no less than five (5) times per year to the President/Chief Executive Officer, the JPA Executive Committee and to all Parties financial statement of activities for the year.
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Joint Powers Agreement - Third Amended and Restated Agreement 12 Section 21. Independent Audit
Pursuant to section 6505.6 of the Government Code, the Treasurer shall cause an independent audit to be made by a certified public accountant or public accountant, in compliance with section 6505 of the Government Code.
Section 22. Auditor’s Duties
The Auditor shall perform the following duties:
(a) Review and recommend to the JPA Executive Committee accounting procedures and policies governing the JPA;
(b) Review and approve all demands listed on the Warrant Registers prior to submittal to the JPA Executive Committee;
(c) Review payroll registers at least monthly;
(d) Review all financial reports being submitted to the JPA Executive Committee and make the JPA Executive Committee aware of any discrepancies or potential problems in the reports;
(e) Review investments made by the President or Treasurer; (f) Review the audit report prepared by a Certified Public Accounting firm prior to finalization of the report and submittal to the JPA Executive Committee; and (g) Assist staff in the selection of the Certified Public Accounting firm.
Section 23. Attorney’s Fees
In the event litigation or other proceeding is required to enforce or interpret any provision of this Agreement, the prevailing party in such litigation or other proceeding shall be entitled to an award of its actual and reasonable attorney's fees, costs and expenses incurred in the proceeding.
Section 24. Voting
Each JPA Member shall have an equal vote. A motion considered by the JPA Executive Committee shall require a majority of votes cast (more than half) to pass such motion. In the event of a tie vote, such motion before the JPA Executive Committee shall be deemed defeated.
Section 25. Severability
If any term, provision, covenant or condition of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions, if any, of this Agreement shall continue in full force and effect, unless enforcement of this
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Joint Powers Agreement - Third Amended and Restated Agreement 13 Agreement as so invalidated would be unreasonable or grossly inequitable under all the circumstances or would frustrate the purposes of this Agreement.
Section 26. Waiver
All waivers must be in writing to be effective or binding upon the waiving Party, and no waiver shall be implied from any omission by a Party to take any action.
Section 27. Amendments
This Agreement may be amended from time to time by a two-thirds vote of the entire JPA Executive Committee and a unanimous vote of the JPA Members’ legislative bodies in compliance with all applicable provisions of the Joint Exercise of Powers Act and all other applicable laws.
Section 28. Ambiguities or Uncertainties
The JPA Members have mutually negotiated the terms and conditions of this Agreement and each JPA Member received independent legal advice from its attorneys with respect to the advisability of executing this Agreement and the meaning of the provisions contained herein.
As such, this Agreement is a product of the joint drafting efforts of all JPA Members and none of the JPA Members shall be deemed to have solely or independently prepared or framed this Agreement. Therefore, any ambiguities or uncertainties are not to be construed against or in favor of any JPA Member.
Section 29. Applicable Law
This Agreement shall be construed and enforced in accordance with the laws of the State of California.
Section 30. Venue
In the event that suit is brought by any party to this Agreement, the parties agree that venue shall be exclusively vested in the State courts of the County of Riverside, California or where appropriate, in the United States District Court, Southern District of California, Riverside, California.
Section 31. Notices
Any notice or communication required hereunder between the JPA and the JPA Members shall be in writing and may be given either personally or by registered mail, returnreceipt requested. Notice, whether given by registered mail or personal delivery, shall be deemed to have been given and received on the actual receipt by any of the addresses designated below as the party to whom notices are to be sent. Any party hereto may at any time, upon written notice to the other party hereto, designate any other address in substitution of the address to which such notice or communication shall be given. Such notices or communications shall be given to the parties at their addresses set forth below:
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Joint Powers Agreement - Third Amended and Restated Agreement 14 City of Cathedral City
68700 Avenida Lalo Guerrero
Cathedral City, CA 92234
Attention: City Manager
City of Coachella
53990 Enterprise Way
Coachella, CA 92236
Attention: City Manager
City of Desert Hot Springs
11999 Palm Drive
Desert Hot Springs, CA 92240
Attention: City Manager
City of Indian Wells
44950 Eldorado Drive
Indian Wells, CA 92210
Attention: City Manager
City of Indio
100 Civic Center Mall
Indio, CA 92201
Attention: City Manager
City of La Quinta
78495 Calle Tampico
La Quinta, CA 92253
Attention: City Manager
City of Palm Desert
73510 Fred Waring Drive
Palm Desert, CA 92260
Attention: City Manager
City of Palm Springs
3200 East Tahquitz Canyon Way
Palm Springs, CA 92262
Attention: City Manager
City of Rancho Mirage
69825 Highway 111
Rancho Mirage, CA 92270
Attention: City Manager
County of Riverside
County Administration Center
4080 Lemon Street
Riverside, California 92501
Attention: County Clerk
Section 32. Counterparts
This Agreement may be executed in duplicate counterpart originals, each of which is deemed to be an original, and all of which when taken together shall constitute one and the same instrument.
Section 33. Privileges and Immunities
Pursuant to section 6513 of the Government Code, all of the privileges and immunities from liability, exemptions from laws, ordinances and rules, all pension, relief, disability, workmen’s compensation, and other benefits which apply to the activity of officers, agents or employees of any the Parties when performing their respective functions within the territorial limits of their respective public agencies, shall apply to them to the same degree and extent while engaged in the performance of any of their functions and duties performed extraterritorially under the provisions of this Agreement. [SIGNATURES APPEAR ON THE FOLLOWING PAGES]
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Joint Powers Agreement - Third Amended and Restated Agreement 15 IN WITNESS WHEREOF, the duly authorized representatives of the JPA Members have each executed this Agreement.
CITY OF CATHEDRAL CITY
_________________________________
Raymond Gregory, Mayor
Dated: ___________________________
_________________________________
Andrew “Andy” Firestine, City Manager
ATTEST:
_________________________________
Chrstina Burton, City Clerk
APPROVED AS TO FORM:
________________________________
Eric S. Vail, City Attorney
CITY OF COACHELLA
_________________________________
Dr. Frank Figueroa, Mayor
Dated: ___________________________
_________________________________
Gustavo Romo, City Manager
ATTEST:
_________________________________
Angela M. Zepeda, City Clerk
APPROVED AS TO FORM:
________________________________
Ryan Guiboa, City Attorney
CITY OF DESERT HOT SPRINGS
_________________________________
Scott Matas, Mayor
Dated: ___________________________
_________________________________
Doria Wilms, City Manager
ATTEST:
_________________________________
Jerryl Soriano, CMC, City Clerk
APPROVED AS TO FORM:
________________________________
Jennifer Mizrahi, City Attorney
CITY OF INDIAN WELLS
_________________________________
Dr. Toper Taylor, Mayor
Dated: ___________________________
_________________________________
Christopher Freeland, City Manager
ATTEST:
_________________________________
Angelica Avila, City Clerk
APPROVED AS TO FORM:
________________________________
Todd Leishman, City Attorney
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Joint Powers Agreement - Third Amended and Restated Agreement 16 CITY OF INDIO
_________________________________
Elaine Holmes, Mayor
Dated: ___________________________
_________________________________
Jonathan Nicks, City Manager
ATTEST:
_________________________________
Cynthia Hernandez, City Clerk
APPROVED AS TO FORM:
________________________________
Steven P. Graham, City Attorney
CITY OF LA QUINTA
_________________________________
Linda Evans, Mayor
Dated: ___________________________
_________________________________
Jon McMillen, City Manager
ATTEST:
_________________________________
Monika Redeva, City Clerk
APPROVED AS TO FORM:
________________________________
William H. Ihrke, City Attorney
CITY OF PALM DESERT
_________________________________
Evan Trubee, Mayor
Dated: ___________________________
_________________________________
Chris Escobedo, City Manager
ATTEST:
_________________________________
Anthony Mejia, City Clerk
APPROVED AS TO FORM:
________________________________
Isra Shah, City Attorney
CITY OF PALM SPRINGS
_________________________________
Naomi Soto, Mayor
Dated: ___________________________
_________________________________
Scott Stiles, City Manager
ATTEST:
_________________________________
Brenda Pree, City Clerk
APPROVED AS TO FORM:
________________________________
Jeffrey Ballinger, City Attorney
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Joint Powers Agreement - Third Amended and Restated Agreement 17 CITY OF RANCHO MIRAGE
_________________________________
Lynn Mallotto, Mayor
Dated: ___________________________
_________________________________
Isaiah Hagerman, City Manager
ATTEST:
_________________________________
Kristie Ramos, City Clerk
APPROVED AS TO FORM:
________________________________
Colin D. Kirkpatrick, City Attorney
COUNTY OF RIVERSIDE
____________________________________
Karen Spiegel, Chairman
____________________________________
Jeff Van Wagenen, County Executive
Manager
ATTEST:
____________________________________
Kimberly A. Rector, Clerk of the Board
APPROVED AS TO FORM:
____________________________________
Minh Tran, County Counsel
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Joint Powers Agreement - Third Amended and Restated Agreement 18 EXHIBIT A
TERRITORIAL BOUNDARIES
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JOINT POWERS AGREEMENT
(“Third Amended and Restated Agreement”)
A California Joint Powers Authority
Created Pursuant to California Government Code Section 6500 et seq. _________________, 2026
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TABLE OF CONTENTS
RECITALS........................................................................................................................... 1 AGREEMENT..................................................................................................................... 2 Section 1 Definitions ....................................................................................... 2 Section 2 Incorporation of Recitals ................................................................. 3 Section 3 Purpose ............................................................................................ 3 Section 4 Name................................................................................................ 3 Section 5 Second Amended and Restated Agreement Superseded – Eff. ....... 4 Section 6 Termination...................................................................................... 4 Section 7 JPA Members.................................................................................. 4 Section 8 Additional Members........................................................................ 4 Section 9 Governing Body............................................................................... 5 Section 10 JPA Executive Committee – Powers and Duties............................. 5 Section 11 Territorial Boundaries...................................................................... 6 Section 12 Contributions ................................................................................... 6 Section 13 Withdrawal ...................................................................................... 7 Section 14 Expulsion/Withdrawal……………………………………………. 7
Section 15 Separate Entity................................................................................. 7 Section 16 Powers of the JPA............................................................................ 8 Section 17 Power to Invest .............................................................................. 10 Section 18 Bonding ......................................................................................... 10 Section 19 Treasurer and Auditor – Designations........................................... 10 Section 20 Treasurer – Duties and Responsibilities......................................... 11
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Section 21 Independent Audit ......................................................................... 11 Section 22 Auditor’s Duties ............................................................................ 11 Section 23 Attorney’s Fees……………………………………………………. 12
Section 24 Voting…………………………………………………………….. 12
Section 25 Severability.................................................................................... 12 Section 26 Waiver ........................................................................................... 13 Section 27 Amendments.................................................................................. 13 Section 28 Ambiguities or Uncertainties......................................................... 13 Section 29 Applicable Law.............................................................................. 13 Section 30 Venue............................................................................................. 13 Section 31 Notices........................................................................................... 13 Section 32 Counterparts................................................................................... 14 Section 33 Privileges and Immunities ............................................................. 14
EXHIBIT A
Territorial Boundaries.......................................................................................................... 18
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Joint Powers Agreement - Third Amended and Restated Agreement This Third Amended and Restated Joint Powers Agreement (this “Agreement”) is entered into by and between the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Desert, Palm Springs and Rancho Mirage, each an independent municipal corporation located in the County of Riverside, State of California, and the County of Riverside, a political subdivision of the State of California, pursuant to the Joint Exercise of Powers Act, as set forth in section 6500 et seq. of the California Government Code. The Joint Powers Authority is known as “Visit Greater Palm Springs” (“VGPS”). The parties to this Agreement are individually referred to herein as “JPA Member” and collectively as “JPA Members.”
RECITALS
WHEREAS, pursuant to the Joint Exercise of Powers Act, if authorized by their legislative or other governing bodies, two or more public agencies which include, but are not limited to, a county or city, may jointly exercise any power common to the contracting parties via a Joint Powers Agreement creating a Joint Powers Authority (“JPA”); and WHEREAS, the JPA Members entered into the original joint powers agreement on February 8, 1989, to jointly encourage, promote, and to do such other things as might be necessary to enhance, to the greatest extent possible, all aspects of the hospitality, convention and tourism industry in the Coachella Valley and to attract visitors from a world- wide market, all to the benefit of the member organizations and their citizens via the exercise of all the expressed and implied powers the JPA Members have in common; and WHEREAS, it is intended by the JPA Members that this Agreement shall be amendatory of the Second Amended and Restated Joint Powers Agreement, dated June 14, 2024, including any subsequent amendments (“Second Amended and Restated Agreement”), and shall restate, amend and supersede the Second Amended and Restated Agreement in its entirety as of the Effective Date; and
WHEREAS, on or about _____________, 2026, it was determined by the VGPS President and Chief Executive Officer and his staff that at least two thirds of the entire VGPS Executive Committee and all of the JPA Members voted to amend the purpose and powers of JPA as set forth below, among additional provisions as stated herein; and WHEREAS, on or about _____________, 2026, it was determined by the VGPS President and Chief Executive Officer and his staff that at least two thirds of the entire VGPS Executive Committee and all of the JPA Members voted to approve for adoption and execution this Third Amended and Restated Joint Powers Agreement.
NOW, THEREFORE, in consideration of the terms and conditions hereinafter set forth, and intending to be legally bound hereby, the JPA Members hereby covenant and agree as follows:
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Joint Powers Agreement - Third Amended and Restated Agreement
AGREEMENT
Section 1. Definitions
The following words, terms and phrases shall have the following meanings:
“Additional JPA Members” shall mean qualified municipalities that may be added as members of JPA as described in Section 8.
“Board of Directors” shall mean the Board of Directors of the Greater Palm Springs Business Alliance (“GPSBA”) comprised of persons associated with the local hospitality industry for the purposes described in Section 10.
“Convention Hotel” shall mean a hotel, motel or similar property with 50 rooms or greater.
“Joint Exercise of Powers Act” shall mean California Government Code sections 6500-6536.
“JPA” shall mean the Joint Powers Authority and may also be referred to herein as VGPS.
“JPA Executive Committee” shall mean the JPA’s governing body formed for the purposes and having the powers and duties set forth in Section 10. “JPA Member” shall mean a municipality that is party to this Agreement. “JPA Members” shall mean, collectively, the municipalities that have entered into this Agreement.
“JPA Member Contributions” shall mean the annual contribution amounts duly established pursuant to Section 12.
“Lodging Establishments” shall mean any structure, which is occupied or intended or designed for use or occupancy by transients, including but not limited to hotel, resort, motel, inn and individually owned structures; single family homes, duplexes, triplexes, mobile homes, public or private clubs, campgrounds, mobile homes or house trailers at fixed locations, or other like structure or portion thereof and dwelling utilized for short term rental and subject to local transient occupancy tax.
“Partner” shall mean a non-governmental entity whose business and activities are directly related to the convention or tourism industry and the purposes of this Agreement. “President and Chief Executive Officer” shall mean the individual employed by VGPS, who is responsible for professionally supervising, managing, and administering VGPS’s dayto- day affairs as described in paragraph (e) of Section 10 and elsewhere in this Agreement. “TBID” shall mean Tourism Business Improvement District assessment.
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Joint Powers Agreement - Third Amended and Restated Agreement “Technical Advisory Committee” or “TAC” shall mean the committee which may be appointed by a majority vote of VGPS’s JPA Executive Committee for the purposes described in paragraph (d) of Section 10.
“Treasurer” shall mean the individual appointed by VGPS’s JPA Executive Committee to serve the functions described at Section 19 and may be the same individual appointed as Auditor.
“VGPS Fiscal Year” shall mean the period commencing July 1 of every year and ending June 30 of the following calendar year.
“Visit Greater Palm Springs” or “VGPS” shall mean the Joint Powers Authority formed by the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Desert, Palm Springs and Rancho Mirage, and the County of Riverside.
Section 2. Incorporation of Recitals
The foregoing recitals are incorporated into this Agreement by this reference as though fully set forth herein.
Section 3. Purpose
The purpose of VGPS is to benefit all JPA Members and their constituents by jointly:
(a) Marketing, attracting, encouraging, promoting, and doing such other things as might be necessary to enhance, to the greatest extent possible all aspects of the hospitality, convention, and tourism industry in the Coachella Valley and to maximize visitations from national and international markets;
(b) Doing such other things to drive, advance and support initiatives to strengthen and diversify all aspects of the regional economy of the Coachella Valley; and (c)
Developing, fostering and facilitating Coachella Valley destination-enhancing improvements and infrastructure including, but not limited to, sports complexes and entertainment venues, either directly and/or forging dynamic public-private partnerships.
Section 4. Name
The name of the JPA shall be “Visit Greater Palm Springs” (“VGPS”) or such other name that may be changed at any time by a resolution approved and adopted by a two-thirds vote ofthe entire JPA Executive Committee.
Section 5. Second Amended and Restated Agreement Superseded - Effective Date
It is intended by the JPA Members that this Agreement shall be amendatory of the Second Amended and Restated Agreement and shall restate, amend and supersede the Second
Item 24.
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Joint Powers Agreement - Third Amended and Restated Agreement Amended and Restated Agreement. Upon its Effective Date, this Agreement shall govern the relationship of the JPA Members. This Agreement shall become effective on the date this Agreement is approved by a two-thirds vote of the entire membership of the JPA Executive Committee and a two-thirds vote of the JPA Members’ legislative bodies (“Effective Date”).
Section 6. Termination
(a) This Agreement may be terminated by unanimous vote of all the JPA Members’ legislative bodies provided, however, the foregoing shall not be construed as limiting the rights of a JPA Member to withdraw its membership in the JPA, and thus terminate this Agreement with respect to such withdrawing JPA Member as described in Section 13; and (b) Pursuant to section 6512 of the Government Code, upon termination of this Agreement and dissolution of the JPA, any surplus money on hand with the JPA shall be returned to the JPA Members’ treasuries in proportion to the JPA Member Contributions made by the respective JPA Member to the JPA.
(c) Upon termination of this Agreement and dissolution of the JPA, all of the resources of the JPA shall be used in an effort to ensure that 100% of the pension liability is funded. Pursuant to Government Code section 6508.2, any remaining obligations of the JPA pension plan and other post-employment benefit liabilities shall be assumed by JPA Members.
The JPA will maintain a policy of funding its pension liability at a minimum of 85% and will promptly notify JPA Members at any time this threshold is not met.
Section 7. JPA Members
The members of the JPA shall consist of the parties to this Agreement which include the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Desert, Palm Springs and Rancho Mirage, and the County of Riverside.
Section 8. Additional Members
Additional JPA Members that qualify to join a joint powers authority under the Joint Exercise of Powers Act may be added as JPA Members at any time by a two-thirds vote of the of the entire JPA Executive Committee and a unanimous vote of the JPA Members’ legislative bodies in compliance with all applicable provisions of the Joint Exercise of Powers Act and all other applicable laws.
Section 9. Governing Body
(a) The governing body of the JPA shall be known as the JPA Executive Committee and it shall be comprised of: (i) a duly elected or appointed council member of each city JPA Member; and (ii) a member ofthe Riverside County Board of Supervisors. (b) Only those members of the JPA Executive Committee, whose agencies pay the JPA Member Contributions, as set forth in this Agreement, shall be entitled to vote.
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Joint Powers Agreement - Third Amended and Restated Agreement Section 10. JPA Executive Committee - Powers and Duties The JPA Executive Committee, consistent with this Agreement and all applicable laws, shall exercise all the powers and perform all duties necessary to conduct the business ofthe JPA, either directly or by delegation of its authority, as the JPA Executive Committee deems appropriate, which shall include but not be limited to the following:
(a) Adopt bylaws or rules of procedure to provide for the organization and administration of the JPA, as the JPA Executive Committee deems appropriate by a majority vote of the JPA Executive Committee;
(b) Approve and adopt a budget for the JPA prior to the commencement of the JPA’s subsequent fiscal year, the term of which shall be set by a majority vote of the JPA Executive Committee;
(c) Delegate authority to manage destination activities and the daily operations of VGPS to GPSBA, including but not limited to strategic development, marketing, travel trade, public relations, human resources and group sales, and employ an individual who shall serve as the President and Chief Executive Officer of the JPA, who shall be responsible for professionally supervising, managing and administering the day-to-day affairs of the JPA, hire and fire JPA employees, retain consultants and independent contractors and perform such other functions as needed. Termination of the President & Chief Executive Officer will require a majority vote of the JPA Executive Committee and GPSBA Board of Directors. The Board of Directors of the GPSBA shall consist of any number of persons associated with the local hospitality industry, which may include, but not be limited to, those who own, manage, govern or serve in senior staff positions for Lodging Establishments or businesses, eateries, public and private regional sports facilities, public and private museums, public and private convention and conference facilities, commercial air transport facilities, commercial ground transportation businesses, plus any other persons from any other industry deemed appropriate. The GPSBA shall manage the destination operations of VGPS, and shall be governed by bylaws, as amended from time to time.
Activities other than tourism related activities, such as but not limited to economic diversification efforts, shall remain the responsibility of the JPA and shall be governed by the JPA Members and/or their assignee(s) as determined by the JPA Executive Committee. (d) Appoint from time to time, if deemed necessary by a majority vote of the JPA Executive Committee, a Technical Advisory Committee (TAC) consisting of a staff member employed by each JPA Member as designated by the respective JPA Executive Committee member, for purposes of advising the JPA Executive Committee on any technical issues of the JPA that the JPA Executive Committee may need advice on; (e) Retain an individual licensed to practice law in the State of California who shall serve as General Legal Counsel for the JPA and who shall assist the JPA with any legal assistance as may be requested by the JPA Executive Committee or President/Chief Executive Officer or their authorized designees; and
(f) Create any committees, sub-committees, and advisory committees, as deemed
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Joint Powers Agreement - Third Amended and Restated Agreement necessary by a majority vote of the JPA Executive Committee, to advance and/or achieve the purposes set forth in this Agreement.
(g) Pursuant to Section 6509 of the Government Code, the powers set forth in this Agreementshall be subject to the restrictions upon the manner of exercising such similar powers as are imposed on the City ofRancho Mirage in the exercise ofsimilar powers.
Section 11. Territorial Boundaries
The JPA’s territorial boundaries include the lands situated within the unincorporated areas of the Coachella Valley situated in the County of Riverside and the lands situated within the jurisdictional boundaries of the cities of Cathedral City, Coachella, Desert Hot Springs, Indian Wells, Indio, La Quinta, Palm Springs, Palm Desert and Rancho Mirage, as depicted in Exhibit A of this Agreement. The territorial boundaries of the VGPS may only be changed by a two-thirds vote of the JPA Executive Committee and a unanimous vote ofthe JPA Members’ legislative bodies.
Section 12. Contributions
(a) Initial Membership Fee. Each new JPA Member shall pay to the JPA a one-(1) time entry fee and operation fee calculated as follows:
(i) Entry Fee: The “Entry Fee” shall be calculated by multiplying the new JPA Member’s current fiscal year’s gross revenue estimate by .55%. (ii) Operation Fee: The “Operation Fee” shall be calculated by multiplying the Entry Fee by 15.62%.
The sum of the Entry Fee and the Operation Fee is due within thirty (30) days of a new JPA Member joining the JPA.
(b) Annual Contribution. Each JPA Member shall pay to the JPA (i) the greater of $35,000 each year, or (ii) the applicable contribution amounts as set forth in the formula below, which may only be modified by a two-thirds vote of the entire JPA Executive Committee and a unanimous vote ofthe JPA Members’ legislative bodies. JPA Members’ legislative bodies shall, at a minimum, make quarterly payments of the annual contribution to VGPS.
A contribution from each ofthe JPA Members is a funding mechanism equal to:
.0015 x Gross Room Rental Revenue for Lodging Establishments excluding Convention Hotels, and
.0035 x Gross Room Rental Revenue for Convention Hotels (c) The Gross Room Rental Revenue described herein shall not include any transient occupancy tax rebate incentives provided by the JPA Members.
Section 13. Withdrawal
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Joint Powers Agreement - Third Amended and Restated Agreement Any Party may withdraw as a JPA Member and the obligations under this Agreement subject to the following conditions:
(a) The withdrawing JPA Member’s legislative body submits a duly adopted resolution to the JPA Executive Committee providing Notice ofWithdrawal. (b) The effective date of withdrawal shall always be the last day of the VGPS’s Fiscal Year.
(c) All JPA Member Contributions must be paid in full by the withdrawing JPA Member through the end of the current VGPS Fiscal Year of the year when the withdrawing JPA Member provides its Notice ofWithdrawal as well as the following VGPS Fiscal Year. (d) After giving notice of withdrawal, a withdrawing JPA Member shall not have voting privileges on the JPA Executive Committee except for operating budget items through the effective date of withdrawal.
(e) A withdrawing JPA Member may again become a party to this Agreement on condition that it pays to the treasury of the VGPS an amount equal to all JPA Member Contributions which the withdrawing JPA Member would have been required to pay if it had not withdrawn from participation.
(f) Partners within the territorial boundaries of the VGPS may remain active Partners as long as their respective government entity is a JPA Member and during the period of their JPA Member’s withdrawal from the Joint Powers Agreement. (g) In the event of withdrawal by a JPA Member, the JPA shall continue to be entitled to the full amount of the TBID unless and until the TBID expires without renewal or is disestablished pursuant to the Property and Business Improvement Area Law of 1994, Streets & Highways Code §36600 et seq. The withdrawing JPA Member shall continue to be responsible for collecting the TBID on a monthly basis (including any delinquencies, penalties and interest) from each assessed business and forwarding the same to the JPA.
Section 14. Expulsion/Withdrawal
A JPA Member may be expelled or suspended by a two-thirds (2/3) vote of the VGPS Executive Committee for an event of breach of this Agreement or the Bylaws, as amended from time to time, as determined by the remaining members of the JPA Executive Committee. The procedures for hearing and notice of expulsion and suspension shall be set forth in the bylaws of the JPA Executive Committee.
Section 15. Separate Entity
Except for termination as provided in Section 6 of this Agreement, pursuant to section 6507 of the Government Code, this JPA shall at all times be an independent public entity separate from the parties to this Agreement, and the debts, liabilities and obligations of the JPA shall be its sole responsibility and shall not become the debts, liabilities, or obligations of any one JPA Member except that any JPA Member may separately contract for, or assume responsibility for specific debts, liabilities, or obligations of the JPA.
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Joint Powers Agreement - Third Amended and Restated Agreement Section 16. Powers of the JPA
Pursuant to the Joint Exercise of Powers Act, as set forth in section 6500 et seq. of the California Government Code, this JPA shall have the authority to exercise any power common to the contracting parties, including without limitation any of the following:
(a) The power to make, enter into and perform all necessary contracts; (b) The power to engage necessary employees, to define their qualifications and duties and to provide a schedule of compensation for performance of their duties; cThe power to retain agents, independent contractors and consultants, including without limitation the power to engage legal counsel and other professional services; (d) The power to acquire, construct, manage, maintain or operate any building, works or improvements;
(e) The power to acquire by purchase, grant, gift, lease or other lawful means any real property or any personal property that may be necessary or proper to carry out the purposes and intent of the JPA;
(f) The power to hold any real property or any personal property that may be necessary or proper to carry out the purposes and intent of the JPA; (g) The power to sell, lease or otherwise dispose of any real or personal property including exchanging equivalent properties if it is deemed to be in the best interests of the JPA; (h) The power to donate any surplus real or personal property to any public agency or nonprofit organization;
(i) The power to incur debts, liabilities or obligations, including without limitation the power to borrow money, give security therefore, and purchase on contract; (j) The power to raise revenue for any public purpose consistent with the JPA’s purposes, as set forth in this Agreement, through any legal and appropriate means other than levying a tax or assessment beyond the scope of those assessments which may be established and levied pursuant to the Parking and Business Improvement Area Law of 1989, Streets & Highways Code §36500 et seq., and the Property and Business Improvement District Law of 1994, Streets & Highways Code §36600 et seq; (k) The power to form, renew, and modify improvement districts including all Lodging Establishments, as defined in Section 1, pursuant to the Parking and Business Improvement Area Law of 1989, Streets & Highways Code §36500 et seq., and the Property and Business Improvement District Law of 1994, Streets & Highways Code §36600 et seq., as well as any other applicable provisions of California law authorizing the formation of assessment, benefit, or financing districts, which authorizes joint powers agencies to establish, modify and renew parking and business improvement areas and property and business
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Joint Powers Agreement - Third Amended and Restated Agreement improvement districts for the purpose of tourism promotion, destination marketing, economic development, and the financing, development, operation, and maintenance of public and private improvements, facilities, and infrastructure, including sports, entertainment, cultural, and related uses. Approval of this Agreement by the JPA Members constitutes consent to:
(i) the formation of the Greater Palm Springs Convention & Visitors Bureau Tourism Marketing District adopted pursuant to Ordinance No. 2013-001, including all proceedings and actions previously taken by the VGPS in connection with formation of the said district (“2013 TMD”); and
(ii) the formation of the Greater Palm Springs Tourism Business Improvement District pursuant to Resolution No. 2016-004 and to levy an assessment of three percent (3%) on Convention Hotels;
(iii) t h e renewal of the Greater Palm Springs Tourism Business Improvement District pursuant to Ordinance No. 2020-005 (“2021 TBID”) and to levy an assessment of three percent (3%) on Convention Hotels and one percent (1%) on vacation rentals; (l) The power to form these districts, as discussed in the prior section, Section 16(k), and incorporated herein by this reference, shall extend to the ability to establish such districts on a regional basis or within defined subareas of the JPA’s territorial boundaries (“Regional Districts”) that include only those JPA Members in those Regional Districts. Those Regional Districts may, or may not, include some or all JPA Members depending on the makeup and reach of the Regional District. For any Regional District that does not include all JPA Members within its boundary, the formation, rate, and management district plan shall be subject to approval by the legislative bodies of only the JPA Members in those Regional Districts and may be approved by a majority vote of those JPA Members’ legislative bodies, within those Regional Districts, consistent with applicable law. Incidental to this power to form these Regional Districts will be the power to plan, finance, develop, construct, acquire, operate, and maintain tourismrelated infrastructure and facilities, including but not limited to sports complexes, entertainment venues, and other visitor-serving improvements, either directly or in partnership with public or private entities; (m) The power to adopt rules, regulations, resolutions and ordinances that may be necessary or proper to carry out the purposes and intent of the JPA; (n) The power to enforce rules, regulations, resolutions and ordinances for the administration, maintenance and operation of the JPA;
(o) The power to enter into joint powers agreements pursuant to the Joint Exercise of Powers Act, as set forth in section 6500 et seq. of the Government Code; (p) The power to provide insurance pursuant to section 989 of the Government Code et seq.;
(q) The power to sue and be sued in the name of the JPA; (r) The power to conduct certain activities of the JPA in any state or territory of the United States of America or in any foreign country, related to growing and diversifying the
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Joint Powers Agreement - Third Amended and Restated Agreement economy through promoting and marketing all aspects of the hospitality, convention and tourism industry in the Coachella Valley for the purpose of attracting visitors, groups, meetings, conventions and new businesses from national and international markets, as permitted pursuant to Government Code section 37110;
(s) The power to travel domestically and internationally that is necessary or proper to carrying out the purposes and intent of the JPA;
(t) The power to provide staff and resource support, financial assistance and subsidies to other public agencies, non-profit organizations and the private sector for purposes consistent with the purpose and intent of the JPA;
(u) The power to lobby on behalf of tourism and economic development; (v) The power to form a non-profit corporation or other affiliated non-profit entities for the purpose of promoting and enhancing all aspects of the tourism and economic development industry; and
(w) The power to take any and all actions necessary for, or incidental to, the powers expressed or implied by this Agreement and all applicable laws.
Section 17. Power to Invest
Pursuant to Government Code section 6509.5, the JPA shall have the power to invest any money in its treasury pursuant to the provisions set forth in Government Code section 6505.5 that is not required for the immediate necessities of the JPA, as the JPA may determine from time to time is advisable, in the same manner and upon the same conditions as local agencies pursuant to Government Code section 53601.
Section 18. Bonding
Pursuant to Government Code section 6505.1, individuals occupying the following positions shall file an official bond in an amount deemed sufficient by the JPA Executive Committee:
(a) President/Chief Executive Officer;
(b) Director of Finance; and
(c) Treasurer.
Section 19. Treasurer and Auditor - Designations
Pursuant to Government Code section 6505.6, the JPA Executive Committee shall designate by resolution an officer or employee of the JPA to fill the functions of Treasurer and Auditor of the JPA, and the JPA Executive Committee may appoint one qualified person to serve as both Treasurer and Auditor or two qualified persons to serve as each separately.
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Joint Powers Agreement - Third Amended and Restated Agreement Section 20. Treasurer - Duties and Responsibilities
Pursuant to section 6505.5 Government Code, the Treasurer shall do all of the following:
(a) Receive and receipt (account) for all money of the JPA and place it in the treasury of the Treasurer so designated to the credit of the JPA; (b) Be responsible, upon his or her official bond, for the safekeeping and disbursement of all JPA money so held by the Treasurer; (c) Pay when due, out of the money of the JPA held by the Treasurer, all sums payable on outstanding bonds and coupons of the JPA;
(d) Pay any other sums due from the JPA from JPA money, or any portion thereof, only upon warrants of the public officer performing the functions of auditor or controller who has been designated by this Agreement; and
(e) Verify and report in writing no less than five (5) times per year to the President/Chief Executive Officer, the JPA Executive Committee and to all Parties financial statement of activities for the year.
Section 21. Independent Audit
Pursuant to section 6505.6 of the Government Code, the Treasurer shall cause an independent audit to be made by a certified public accountant or public accountant, in compliance with section 6505 of the Government Code.
Section 22. Auditor’s Duties
The Auditor shall perform the following duties:
(a) Review and recommend to the JPA Executive Committee accounting procedures and policies governing the JPA;
(b) Review and approve all demands listed on the Warrant Registers prior to submittal to the JPA Executive Committee;
(c) Review payroll registers at least monthly;
(d) Review all financial reports being submitted to the JPA Executive Committee and make the JPA Executive Committee aware of any discrepancies or potential problems in the reports;
(e) Review investments made by the President or Treasurer; (f) Review the audit report prepared by a Certified Public Accounting firm prior to finalization of the report and submittal to the JPA Executive Committee; and
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Joint Powers Agreement - Third Amended and Restated Agreement (g) Assist staff in the selection of the Certified Public Accounting firm.
Section 23. Attorney’s Fees
In the event litigation or other proceeding is required to enforce or interpret any provision of this Agreement, the prevailing party in such litigation or other proceeding shall be entitled to an award of its actual and reasonable attorney's fees, costs and expenses incurred in the proceeding.
Section 24. Voting
Each JPA Member shall have an equal vote. A motion considered by the JPA Executive Committee shall require a majority of votes cast (more than half) to pass such motion. In the event of a tie vote, such motion before the JPA Executive Committee shall be deemed defeated.
Section 25. Severability
If any term, provision, covenant or condition of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions, if any, of this Agreement shall continue in full force and effect, unless enforcement of this Agreement as so invalidated would be unreasonable or grossly inequitable under all the circumstances or would frustrate the purposes of this Agreement.
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Joint Powers Agreement - Third Amended and Restated Agreement Section 26. Waiver
All waivers must be in writing to be effective or binding upon the waiving Party, and no waiver shall be implied from any omission by a Party to take any action.
Section 27. Amendments
This Agreement may be amended from time to time by a two-thirds vote of the entire JPA Executive Committee and a unanimous vote of the JPA Members’ legislative bodies in compliance with all applicable provisions of the Joint Exercise of Powers Act and all other applicable laws.
Section 28. Ambiguities or Uncertainties
The JPA Members have mutually negotiated the terms and conditions of this Agreement and each JPA Member received independent legal advice from its attorneys with respect to the advisability of executing this Agreement and the meaning of the provisions contained herein.
As such, this Agreement is a product of the joint drafting efforts of all JPA Members and none of the JPA Members shall be deemed to have solely or independently prepared or framed this Agreement. Therefore, any ambiguities or uncertainties are not to be construed against or in favor of any JPA Member.
Section 29. Applicable Law
This Agreement shall be construed and enforced in accordance with the laws of the State of California.
Section 30. Venue
In the event that suit is brought by any party to this Agreement, the parties agree that venue shall be exclusively vested in the State courts of the County of Riverside, California or where appropriate, in the United States District Court, Southern District of California, Riverside, California.
Section 31. Notices
Any notice or communication required hereunder between the JPA and the JPA Members shall be in writing and may be given either personally or by registered mail, returnreceipt requested. Notice, whether given by registered mail or personal delivery, shall be deemed to have been given and received on the actual receipt by any of the addresses designated below as the party to whom notices are to be sent. Any party hereto may at any time, upon written notice to the other party hereto, designate any other address in substitution of the address to which such notice or communication shall be given. Such notices or communications shall be given to the parties at their addresses set forth below:
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Joint Powers Agreement - Third Amended and Restated Agreement City of Cathedral City
68700 Avenida Lalo Guerrero
Cathedral City, CA 92234
Attention: City Manager
City of Coachella
53990 Enterprise Way
Coachella, CA 92236
Attention: City Manager
City of Desert Hot Springs
11999 Palm Drive
Desert Hot Springs, CA 92240
Attention: City Manager
City of Indian Wells
44950 Eldorado Drive
Indian Wells, CA 92210
Attention: City Manager
City of Indio
100 Civic Center Mall
Indio, CA 92201
Attention: City Manager
City of La Quinta
78495 Calle Tampico
La Quinta, CA 92253
Attention: City Manager
City of Palm Desert
73510 Fred Waring Drive
Palm Desert, CA 92260
Attention: City Manager
City of Palm Springs
3200 East Tahquitz Canyon Way
Palm Springs, CA 92262
Attention: City Manager
City of Rancho Mirage
69825 Highway 111
Rancho Mirage, CA 92270
Attention: City Manager
County of Riverside
County Administration Center
4080 Lemon Street
Riverside, California 92501
Attention: County Clerk
Section 32. Counterparts
This Agreement may be executed in duplicate counterpart originals, each of which is deemed to be an original, and all of which when taken together shall constitute one and the same instrument.
Section 33. Privileges and Immunities
Pursuant to section 6513 of the Government Code, all of the privileges and immunities from liability, exemptions from laws, ordinances and rules, all pension, relief, disability, workmen’s compensation, and other benefits which apply to the activity of officers, agents or employees of any the Parties when performing their respective functions within the territorial limits of their respective public agencies, shall apply to them to the same degree and extent while engaged in the performance of any of their functions and duties performed extraterritorially under the provisions of this Agreement. [SIGNATURES APPEAR ON THE FOLLOWING PAGES]
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Joint Powers Agreement - Third Amended and Restated Agreement IN WITNESS WHEREOF, the duly authorized representatives of the JPA Members have each executed this Agreement.
CITY OF CATHEDRAL CITY
_________________________________
Raymond Gregory, Mayor
Dated: ___________________________
_________________________________
Andrew Firestine, City Manager
ATTEST:
_________________________________
Christina Burton, City Clerk
APPROVED AS TO FORM:
________________________________
Eric S. Vail, City Attorney
CITY OF COACHELLA
_________________________________
Dr. Frank Figueroa, Mayor
Dated: ___________________________
_________________________________
Gustavo Romo, City Manager
ATTEST:
_________________________________
Angela M. Zepeda, City Clerk
APPROVED AS TO FORM:
________________________________
Ryan Guiboa, City Attorney
CITY OF DESERT HOT SPRINGS
_________________________________
Scott Matas, Mayor
Dated: ___________________________
_________________________________
Doria Wilms, City Manager
ATTEST:
_________________________________
Jerryl Soriano, CMC, City Clerk
APPROVED AS TO FORM:
________________________________
Jennifer Mizrahi, City Attorney
CITY OF INDIAN WELLS
_________________________________
Dr. Toper Taylor, Mayor
Dated: ___________________________
_________________________________
Christopher Freeland, City Manager
ATTEST:
_________________________________
Angelica Avila, City Clerk
APPROVED AS TO FORM:
________________________________
Todd Leishman, City Attorney
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Joint Powers Agreement - Third Amended and Restated Agreement
CITY OF INDIO
_________________________________
Elaine Holmes, Mayor
Dated: ___________________________
_________________________________
Jonathan Nicks, City Manager
ATTEST:
_________________________________
Cynthia Hernandez, City Clerk
APPROVED AS TO FORM:
________________________________
Steven P. Graham, City Attorney
CITY OF LA QUINTA
_________________________________
Linda Evans, Mayor
Dated: ___________________________
_________________________________
Jon McMillen, City Manager
ATTEST:
_________________________________
Monika Redeva, City Clerk
APPROVED AS TO FORM:
________________________________
William H. Ihrke, City Attorney
CITY OF PALM DESERT
_________________________________
Evan Trubee, Mayor
Dated: ___________________________
_________________________________
Chris Escobedo, City Manager
ATTEST:
_________________________________
Anthony Mejia, City Clerk
APPROVED AS TO FORM:
________________________________
Isra Shah, City Attorney
CITY OF PALM SPRINGS
_________________________________
Naomi Soto, Mayor
Dated: ___________________________
_________________________________
Scott Stiles, City Manager
ATTEST:
_________________________________
Brenda Pree, City Clerk
APPROVED AS TO FORM:
________________________________
Jeffrey Ballinger, City Attorney
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Joint Powers Agreement - Third Amended and Restated Agreement
CITY OF RANCHO MIRAGE
_________________________________
Lynn Mallotto, Mayor
Dated: ___________________________
_________________________________
Isaiah Hagerman, City Manager
ATTEST:
_________________________________
Kristie Ramos, City Clerk
APPROVED AS TO FORM:
________________________________
Colin Kirkpatrick, City Attorney
COUNTY OF RIVERSIDE
____________________________________
Karen Spiegel, Chairman
____________________________________
Jeff Van Wagenen, County Executive Officer
ATTEST:
____________________________________
Kimberly A. Rector, Clerk of the Board
APPROVED AS TO FORM:
____________________________________
Minh Tran, County Counsel
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Joint Powers Agreement - Third Amended and Restated Agreement
EXHIBIT A
TERRITORIAL BOUNDARIES
Item 24.
STAFF REPORT
10/14/2026
TO: Honorable Mayor and City Council Members
FROM: Gustavo J. Romo, City Manager
PREPARED BY: Jessica Torres, PIO Department Assistant
Anita Ward, Care Solace Consultant
SUBJECT: Discussion of Proposed Social and Mental Health Care Coordination Services with Care Solace, Inc. Utilizing Opioid Settlement Funds PROJECT DESCRIPTION:
Mental health affects everyone - nearly half of the population will experience a mental health concern during the course of their lifetime. According to the report, Key Substance Use and Mental Health Indicators in the United States: Results from the 2021 National Survey on Drug Use and Health developed by SAMHSA (Substance Abuse and Mental Health Services Administration):
18.8 percent of adults aged 18 or older (or 46.5 million people) received any of the following mental health services in the past year: inpatient or outpatient mental health services, prescription medication for a mental health issue, or virtual (i.e., telehealth) services.
About four percent of Americans - across all income, geographic, and ethnic backgrounds - live with a chronic, severe, and disabling mental illness. Approximately 21 percent of adolescents have had a mental health disorder by the age of
18. Care Solace proposes to assist the City of Coachella by providing its residents with a streamlined, confidential, and free pathway to mental health and substance use care. The service acts as a care coordination platform that connects people to vetted, local providers.
How Care Solace Can Help
Connecting Residents to Providers: Care Solace has a large database of mental health care and substance use treatment providers. It can match Coachella residents with professionals based on their specific needs, insurance, and other preferences. Personalized Assistance: Care Solace offers a 24/7/365 "Care Companion" team that can guide residents through finding and scheduling appointments. They can even make calls on the resident's behalf, helping them navigate insurance and reduce wait times.
Item 25.
Addressing Barriers to Care: The service is designed to remove common obstacles to seeking mental health support, such as the difficulty of finding a provider who is accepting new patients or the confusion of navigating different insurance plans. Care Solace can assist residents whether they have private insurance, Medicaid, or no insurance at all.
Support for the Whole Community: Care Solace works with municipalities to provide community-wide solutions for all residents. The platform can also help with connecting people to social services like housing and food assistance. Confidentiality: The service is confidential, and any information shared is securely stored. Users can even access an anonymous self-service tool to search for providers on their own.
STAFF RECOMMENDATION:
Staff recommends that the City Council direct staff to prepare a Professional Services Agreement with Care Solace, Inc. to provide social and mental health care coordination services utilizing funds received through the National Opioid Settlement Agreements and place the Agreement on the agenda for the next regularly scheduled Council meeting for consideration.
FISCAL IMPACT:
Annual pricing for the City of Coachella is based on a fee of $1.00 per resident/per year. There is sufficient funding in the Opioid Settlement Agreements revenue accounts to award a Professional Services Agreement to Care Solace, Inc. without impacting the City’s General Fund or any other non-restricted funds.
BACKGROUND:
This item was previously placed on the September 21st City Council meeting agenda. Due to the consultant’s absence, the item is being brought back for discussion.
California has joined multiple national lawsuits against manufacturers, distributors, and other entities responsible for aiding the opioid epidemic. As a result, the City of Coachella has received funds from national Opioid Settlement Agreements (OSA) and anticipates receiving funds for the next five to twelve years, depending on the settlement. Each state’s share of the funding has been determined by agreement among the states using a formula that considers the impact of the opioid crisis on the state - the number of overdose deaths, the number of residents with Substance Use Disorder (SUD), and the number of opioids prescribed - along with the population of the state. California jurisdictions receiving OSA allocations must utilize funds for substance use prevention, intervention, harm reduction, treatment, and recovery services in communities.
The City is considering entering into an agreement with Care Solace, Inc. (“Contractor”) for a three-year term to utilize a portion of funding received by the City of Coachella under the California Opioid Settlements to provide services to the community. Through this additional
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strategy to expand the use of OSA funds, the Contractor would serve as a central hub for social and mental health care coordination services for Coachella residents.
DISCUSSION/ANALYSIS:
Care Solace provides timely connections to verified mental health providers and local social services, expands on existing programs, and bridges the gaps for needs that exceed the scope of those services. Serving as a coordinated point of entry to mental health and social services, Care Solace supports the entire Coachella ecosystem from first responders to crisis centers, to social workers, to courts and jails, and to all residents. Through a tech-enabled human approach, Care Solace will ensure that individuals receive equitable access to reliable, ethical, and high-quality mental health care, regardless of coverage, including private insurance, Employee Assistance Program (EAP), Medicaid, and sliding scale options for those without insurance. Care Solace’s care coordination will help bridge the gap to behavioral health services for individuals in even the most vulnerable communities.
Care Solace’s three main proprietary services - Care Loop, Care Match, and Care Companions - will amplify the City’s current initiatives and services while filling gaps and offering insights through its proposed Scope of Services (Attachment A).
The Contractor’s Provider Database offers City residents and agencies access to more than 473,000 verified mental health providers, 110,000 of which are in California, including those offering advanced pathways to care. Providers are geocoded, so an individual can select a local provider for in-person sessions if that is the preference. Selection filters also include language, ethnicity, age, specialization, and more. All services are confidential and accessible 24/7/365, can be accessed via phone or internet, and do not require any special equipment or access speed.
This proposed project aligns with DHCS requirements for using opioid abatement funding:
1. Approved Uses:
CONNECT PEOPLE WHO NEED HELP TO THE HELP THEY NEED (CONNECTIONS TO CARE)
Provide connections to care for people who have - or are at risk of developing - Opioid Use Disorder (OUD) and any co-occurring Substance Use Disorder / Mental Health conditions (SUD/MH) through evidence-based or evidence-informed programs or strategies that may include, but are not limited to, those that:
i. Support centralized call centers that provide information and connections to appropriate services and supports for persons with OUD and any co-occurring SUD/MH conditions. ii. Purchase automated versions of Screening, Brief Intervention, and Referral to Treatment (SBIRT) services and support ongoing costs of the technology. iii. Expand warm hand-off services to transition to recovery services. Care Solace delivers monthly impact reports including Key Performance Indicators (KPIs) through a variety of data points, as well as live Impact Reporting via an administrative dashboard, allowing the City team secure access to real-time data on community mental health and KPIs. Additional data
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can be requested, such as client satisfaction and feedback on Care Solace customer services from users who utilize the Care Companion services.
CONCLUSION:
Care Solace’s efforts underscore the City’s Strategic Plan by leveraging data analytics to provide transparency and guide evidence-informed decision-making. Care Solace’s goal is to provide a single interface to mental health services and thereby ensure that communities can easily and equitably access mental health care and wraparound social services, without being limited by resources or fragmentation. It is the only service that aggregates hundreds of thousands of clinical therapy and telehealth resources as well as insurance information into one database to streamline care coordination and reduce time and attrition in accessing mental health care. As the only U.S.-based mental health care coordination service with proprietary software, a database of more than 673,000 health care providers, and warm-handoff processes, the Contractor uniquely qualifies as a Single Available Source for procurement.
Implementation of the Care Solace Central Hub of Care will provide another powerful tool in Coachella’s toolkit to connect residents with licensed behavioral health care providers and social services, and will further efforts to impact mental health and community well-being through a dedicated funding source.
ATTACHMENT(S):
Attachment A: Care Solace Proposed Scope of Services
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Calming the Chaos of Mental Health Care
July 2026
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The City of Coachella mental health challenges
Coachella is young and overwhelmingly Latino (~97% Hispanic/Latino,~45,400 residents,~25% under 18).
Stigma, language, cost, and provider shortages are repeatedly cited as barriers.
Mental health issues are common in Coachella / Coachella Valley About 26% of Coachella Valley adults have been diagnosed with one or more mental health disorders (2025 HARC survey).
Treatment access is a major gap. In 2025, more than 26,000 Coachella Valley adults needed mental health care in the past year and could not get it - reported barriers (cost, complexities, insurance, waitlists, few providers, transportation).
Youth rates are high. About one in five Coachella Valley children have been diagnosed with a mental health condition (2025). Data gathered from the Coachella Valley Unified School District (CVUSD) reveals specific youth mental health challenges:
Chronic Sadness/Hopelessness: Around 31% of middle and high school students in CVUSD reported experiencing chronic feelings of sadness or hopelessness in the past 12 months.
Suicidal Ideation: Approximately 14% of local middle/high school students reported seriously considering suicide in the past year.
Bullying/Harassment: About 26% reported experiencing harassment or bullying on school grounds Coachella Valley Community Health Needs Assessment (CHNA): Health Assessment and Research for Communities (HARC) conducts triennial community health surveys across the Coachella Valley. Findings for Eastern Coachella Valley (including Coachella):
Geographic & Economic Disparities: Low-income, geographically isolated communities in the East Valley face higher rates of being under-insured or uninsured, directly creating barriers to mental healthcare.
Provider Shortages: Over 86% of hospital beds and a overwhelming majority of specialty providers (including psychiatry) are located in the Western Valley (Palm Springs/Rancho Mirage), forcing East Valley residents to travel or face long waitlists.
Language Barriers: Over 50% of residents identify as Hispanic/Latino and ~40% prefer speaking Spanish at home, highlighting a critical need for bilingual mental health providers.
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Care Solace proposes to assist the City of Coachella
by providing its residents with a streamlined,
confidential, and free pathway to mental health
and substance use care. The service acts as a care
coordination platform - a hub - that connects
people to vetted, local mental health and social
services providers.
Schools
Municipality
Employees
Justice
Systems
First Responders Non-profits
CBOs
Residents
Social Services
Mental Health Care
Providers
Hospitals/Clinics
Businesses/
Employers
Connecting Residents to Providers: Care Solace has
a large curated network of mental health care and
substance use treatment providers.
Personalized Assistance: Care Solace offers a
24/7/365 service through a Care Companion team
that offer services in more than 200 languages.
Addressing Barriers to Care: The service is designed
to remove common obstacles to seeking mental
health support, even insurance.
Support for the Whole Community
Confidentiality: Users can access an anonymous
self-service tool to search for providers on their own.
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Care Solace makes it easy to access care
Resident, CBO,
noprofit, first
responder, hospital
Mental Health
Providers
Social Services
Care Match Self-Serve Tool
For an anonymous pathway to care, your
residents can utilize Care Match, our selfserve tool, to find verified providers on their own.
Scan QR Code
Residents use our proprietary software to
easily submit referrals. We navigate the
mental health care system and report on
impacts.
Call a Care Companion
Departments, agencies, and residents connect
through a dedicated QR code, or with a single
call or text. Care is available 24/7/365 in 200+
languages to coordinate care.
Schools
Municipality
Employees
Justice
Systems
First Responders Non-profits
CBOs
Residents
Social Services
Mental Health Care
Providers
Hospitals/Clinics
Businesses/
Employers
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Riverside County and Care Solace
Other Riverside County cities: Beaumont, Murrieta, Temecula
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Riverside County Presenting Needs
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Our Model
Our Services
110,000 in California
4,432 in Riverside County
1,400 offer teletherapy
Care Solace Addresses the Provider Challenges
Matches are made using many factors
Location and current contact information
Preferred communication method
Accepted insurances
Language and culture
Age groups
Specializations (DSM-5)
Availability
No commercial relationship
with providers.
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Murrieta faced access challenges: limited providers, unavailable beds, fragmented services, static shared lists, obstacles related to no insurance and public insurance, scarcity of culturally relevant care, and obscured provider availability. “Our main priority is ensuring that all of our residents have access to necessary resources and solutions. Mental health is a top crisis in America, which led us to partner with Care Solace. Regardless of insurance or severity of need, Care Solace is there for our residents and those that work in Murrieta, seven days a week, 24 hours a day, 365 days a year. Anyone can speak to a live person to help navigate the care system, which is invaluable.”
The City of Murrieta, CA launched a three year partnership with Care Solace to close the gaps in access to mental health care and wrap-around social, community, and medical services in support of the 120,000 Murrieta residents, as well as the school district and city departments/agencies, Care Solace serves as a cenPage 291 tral navigation hub to connect individuals to providers and services.
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Care Solac
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approved, fundable stratOeugrySeurvnicdeser the opioid
settlement’s Schedule E.
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Calming the Chaos of Mental Health Care
[email protected]
213-880-1238
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Care Solace, Inc. | RFP No. CD 2026-04
care⁄solace
Proposal for City of Coachella, CA
Opioid Settlement Funds: Citywide Mental Health Care Coordination Submitted by Care Solace, Inc.
Primary Contact: Anita Ward, Chief Growth Officer
[email protected] | 213-880-1238
caresolace.org | Page 1
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Care Solace, Inc. | RFP No. CD 2026-04
Executive Summary
Care Solace appreciates the opportunity to propose citywide mental health care coordination to the city of Coachella, CA funded through California's Opioid Settlement Fund (OSF). Care Solace is a behavioral health care navigation platform on a mission to improve access to care, regardless of circumstance. Through a tech-enabled, human-delivered model, Care Solace ensures that every Coachella resident, regardless of insurance status, language, or ability to pay, receives a rapid, well-matched connection to mental health, substance use disorder (SUD), and social services.
Coachella is a predominantly Latino community (about 97% Hispanic/Latino) of approximately 43,000 to 46,000 residents. Care Solace's Spanish-primary, 200+ language Care Companion model, 24/7/365 availability, and no-barrier access design align directly with the community's needs and with the opioid settlement's core mandate to connect people who need help to the help they need.
Care Solace serves as a Central Hub of Care
Connecting first responders, justice systems, school health professionals, community-based organizations, county services, mental health care providers, social services, and residents through a single coordinated point of entry available 24 hours a day, 7 days a week, 365 days a year. caresolace.org | Page 2
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Care Solace, Inc. | RFP No. CD 2026-04
4.1 Organization / Firm Information
Field Details
Legal Name Care Solace, Inc.
Entity Type C Corporation
EIN 47-4430091
Founded 2017
Headquarters 120 Birmingham Dr, Ste 200, Cardiff, CA 90007 Website www.caresolace.org
Primary Contact Anita Ward, Chief Growth Officer
Phone 213-880-1238
Email [email protected]
Care Solace, Inc. is a social purpose organization that provides human-centered, technology-enabled care navigation that connects individuals with verified, available, insurance-matched behavioral health, substance use, and social services 24 hours a day, 7 days a week, 365 days a year, in more than 200 languages. The core model pairs the Care Match platform - a multi-modal system that ingests insurance, location, clinical need, language, age, and provider data for real-time matching - with live human Care Companions. This navigation infrastructure converts a person's decision to seek help into a confirmed, attended appointment - closing the most dangerous gap in the behavioral health continuum. Care Solace navigates individuals to whatever evidence-based care they need, including MOUD, residential treatment, faith-based recovery programs, outpatient therapy, sober housing, and co-occurring disorder treatment.
Care Solace's services are directly aligned with California's approved Opioid Settlement Fund uses, including High Impact Abatement Activities (HIAA), Schedule A Core Strategies (Warm Hand-Off Programs and Recovery Services), and Schedule E remediation categories detailed later in this proposal.
4.2 Experience and Capabilities
Overview
Care Solace has provided behavioral health care coordination services since 2017 demonstrating nearly a decade of operational experience. The organization serves 14,000+ community partners including school districts, municipalities, employers, first responder agencies, counties, states, and community-based organizations across all 50 states. The platform has facilitated hundreds of thousands of care connections for individuals facing behavioral health, substance use disorder, and social services challenges. caresolace.org | Page 3
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Care Solace, Inc. | RFP No. CD 2026-04
Full Service Model
Care Solace delivers services to City residents, departments, and agencies through five integrated components:
Care Companions
Care Companions are live human navigators, available by phone, email, video chat, or text 24 hours a day, 7 days a week, 365 days a year.
• Respond to individuals with empathy in more than 200 languages • Gain the trust of the individual
• Conduct a personalized needs assessment covering clinical need, desired treatment type, social services need, cultural preference, language, insurance status, and any accommodations the individual may need • Search and verify provider availability, specialties, and acceptance of Medi-Cal, private insurance, EAP, and sliding-scale/uninsured options
• Schedule appointments directly on the individual's behalf (concierge-level service) • Follow up to confirm appointments were attended and that Care Solace and provider services met expectations - if not, they assist in locating additional providers
• Facilitate warm handoffs to detox, residential SUD treatment, medication-assisted treatment (MAT) programs, and recovery residences
Every Care Companion is trained in trauma-informed communication and supervised by a licensed clinical team equipped to manage complex and escalated cases, including active crises and individuals with Opioid Use Disorder (OUD).
Care Match Self-Service Portal
Care Match is a confidential, anonymous, 24/7/365 self-service online portal for care navigation. Care Solace will create and operate a proprietary web link co-branded with the City of Coachella's logo, made available on any City website or benefit platform. From any cell phone, mobile device, or computer, and in any language, an individual can confidentially search Care Solace's proprietary provider database and be matched to verified community providers based on:
• Location
• Mental health concern(s)
• Addictions
• Type of preferred treatment, including SUD/MAT specialization • Language, proximity, gender, and cultural identity of a provider • Insurance or financial need, including Medi-Cal, private insurance, EAP, sliding-scale, or self-pay • Faith-based services
• LGBTQIA+ allied services
caresolace.org | Page 4
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Care Solace, Inc. | RFP No. CD 2026-04
Verified Provider Database
Care Solace maintains a continuously updated, verified provider database:
Category Scale Notes
National Provider Network 700,000+ Verified behavioral health and social services providers California Providers 100,000+
Includes Medi-Cal-enrolled, EAP, sliding-scale, and
uninsured options
SUD / MAT Specialists Included
Detox, residential treatment, outpatient SUD, and MAT
facilities
Social Services Resources Included
Housing, food, transportation, job training, recovery
support
Languages Supported 200+
Spanish supported as a primary language for the
Coachella community
All providers are verified for active licensure, insurance acceptance, and availability, and are geo-coded so individuals can select a local, in-person provider, or telehealth if preferred.
Social Services Database
Care Companions work with the individual to understand their holistic needs, including food, shelter, and additional medical care. Care Solace's integrated social services connects residents to resources supporting the full range of social determinants of health addressing non-clinical barriers that frequently derail recovery, including housing, food access, transportation, employment, and legal aid.
Dedicated Client Success Team
A dedicated Client Success team ensures consistent delivery of services to City residents and agencies and provides ongoing data and impact reporting to the City team, including real-time onboarding support for staff and community partners.
Experience with Opioid Use Disorder and Medi-Cal Populations Care Solace has extensive experience serving individuals with OUD and SUD across its partner communities. The platform is specifically configured to surface MAT providers, residential SUD facilities, and recovery residences. Care Companions are trained to engage individuals at any stage of readiness, including those in active crisis, using motivational interviewing techniques and trauma-informed practices.
Across the national network, over half of service requests facilitated through Care Solace involve individuals with public insurance (Medi-Cal/Medicaid) or no insurance at all, reflecting deep operational experience serving the uninsured and underinsured populations most severely impacted by the opioid epidemic. Care Solace's model means no individual is turned away based on inability to pay or insurance status.
Ecosystem Support: City Partners, First Responders, and CBOs Care Solace is purpose-built to serve a city ecosystem: municipal governments and city departments, police departments and first responder agencies, homeless intervention and street outreach teams, employers and EAPs, schools and school districts, and community-based and faith organizations. For Coachella, Care Solace will establish direct onboarding and training for city staff, first responders, and community partners so that every point of contact, from a 911 call to a community health fair, can activate a warm handoff to Care Solace in real time. caresolace.org | Page 5
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Care Solace, Inc. | RFP No. CD 2026-04
Equity, Inclusion, and Cultural Competency
Coachella is a predominantly Latino community with significant Spanish-speaking and uninsured populations - precisely the communities Care Solace is designed to serve. The equity framework includes Spanish as a primary supported language (not an add-on) with 200+ additional languages available; culturally responsive Care Companions trained to navigate diverse cultural frameworks around mental health and substance use; provider filtering by cultural affiliation, LGBTQIA+ competency, and faith alignment; no-barrier access with no insurance or appointment required to reach a Care Companion; and SDOH integration addressing housing, food, and transportation barriers to recovery.
Riverside County Behavioral Health Landscape: Local Market Data Coachella is located within Riverside County. Care Solace's existing Riverside County data, drawn from a live provider database and Service Demand Overview dashboard, demonstrates both the depth of local provider capacity available through Care Solace and the specific behavioral health and substance use patterns of the surrounding community that a Coachella deployment would serve.
Verified Provider Capacity in Riverside County
Care Solace's verified provider database includes 39,790 total published providers in Los Angeles County, of which 10,293 (25.9%) offer teletherapy, expanding access for residents facing transportation or scheduling barriers.
Age Group Served Provider Count % of LA County Providers Children (3–11) 1,769 39.6%
Adolescents (12–17) 2,910 65.1%
Adults (18–64) 4,268 95.5%
Seniors (65+) 2,143 48%
Care Type Provider Count % of LA County Providers
Anxiety 4,155 93%
Depression 4,110 92%
Trauma & Stress 4,062 90%
Bipolar 3,881 87%
Disruptive Behavior 3,809 85.3%
Suicidal Ideation and Self-Harm 3,830 85.7%
Obsessive Compulsive 3,334 75%
Couple / Family Counseling 1,772 39.7%
This provider density means Coachella residents referred through Care Solace are not limited to a small local panel; they draw on more than 4,000 verified Riverside County providers spanning every major care type and age group, with same-region teletherapy options available for over 1,400 of them. caresolace.org | Page 6
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Care Solace, Inc. | RFP No. CD 2026-04
Regional Service Demand: What Riverside County Residents Are Requesting Care Solace's Service Demand Overview dashboard for Los Angeles County reflects 78,603 total service requests, providing a directly relevant picture of the behavioral health and substance use needs a Coachella deployment is likely to encounter.
The near-even split between warm handoffs (agency/staff-initiated) and self-service searches demonstrates that Care Solace's model successfully serves both institutional referral pathways, the core mechanism this proposal is designed to fund, and residents who prefer anonymous, self-guided access.
Demographics of LA County Service Requests
Hispanic/Latino residents already represent a large share of Riverside County service requests through Care Solace, directly mirroring Coachella's demographic composition and reinforcing the relevance of Care Solace's Spanish-language, culturally responsive model to this community.
Insurance Type % of Requests
Private Insurance 38.6%
Public Insurance (Medi-Cal/Medicaid) 47.9%
No Insurance 9.6%
Self Pay 2%
Unknown Insurance 1%
Military Insurance 0.9%
Nearly 60% of Riverside County service requests involve public insurance, no insurance, or self-pay. These reflect the exact population segments most affected by the opioid crisis and least likely to have an existing path to treatment absent a no-barrier navigation service like Care Solace. caresolace.org | Page 7
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Care Solace, Inc. | RFP No. CD 2026-04
Substance Use and Opioid-Specific Demand
Within the Substance Abuse category of Riverside County service requests, opioid-related need accounts for 18% of substance use service requests, alongside alcohol (59%), cannabis (37%), sedative/hypnotic (10%), stimulant (12%), inhalant (16%), and hallucinogen (4%) needs. This confirms sustained regional demand for the SUD and MAT navigation pathways Care Solace is proposing to deliver under this opioid settlement-funded contract.
Substance Category % of Substance-Related Requests
Alcohol 59%
Cannabis 37.8%
Opioid 17.9%
Inhalant 16.2%
Sedative or Hypnotic 9.6%
Stimulant 12.4%
Hallucinogen 3.6%
Care Solace's Service Needs data also shows that of all social service needs requested alongside mental health and SUD services in Riverside County, affordable housing information is the single largest need at 48.5%, followed by meals (20.5%), food assistance (21.4%), and food pantry access (25.6%). This underscores why Care Solace's integrated SDOH services, not a standalone clinical referral list, is essential to supporting individuals through the full arc of recovery.
Projected Return on Investment for Coachella
Using Care Solace's cost-offset modeling methodology, which is grounded in published cost-of-illness research on untreated serious mental illness (SMI), including the Kaiser/Commonwealth (“KC”) study baselines, `the following table projects the financial and public-health impact of a Care Solace deployment in Coachella..
Metric Coachella, CA
Census Population Estimate 47,000
Estimated Cases of Serious Mental Illness (SMI) in City 4,043 Estimated Count of Untreated SMI Cases in City 1,435
Estimated Annual Cost per Individual with Untreated SMI (KC Study Baselines) $6,608.86 Estimated Total Cost of Untreated SMI in City (Annual) $9,484,591 Care Solace Price per Resident $1.00
Estimated Price for Care Solace's Service (Annual, at $1.00/resident) $47,000 Untreated SMI Individuals Breakeven Point 6 individuals Untreated SMI Utilization Percentage Breakeven Point 0.45% Expected Annual Savings at 3% Utilization Goal (Untreated SMI Only) $241,084 Expected Suicide Preventions at 3% Utilization Goal (Untreated SMI Only) 1 caresolace.org | Page 8
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Care Solace, Inc. | RFP No. CD 2026-04
The Case for Investment
At a 3% utilization goal, Care Solace is projected to generate over $240,000 in annual cost offsets for Coachella from untreated SMI alone, approximately 5× the estimated annual service cost, while helping connect residents to opioid and substance use treatment before crisis escalation. The breakeven point is remarkably low: successfully connecting just 6 previously untreated SMI individuals to care, or reaching 0.45% utilization among the untreated SMI population, fully offsets the cost of the program for the year.
Note: This ROI model is calculated on untreated SMI cost offsets only and does not include the additional avoided costs associated with opioid overdose, emergency department utilization, incarceration, or lost productivity — all of which Care Solace's SUD/MAT navigation and warm hand-off services are also designed to reduce. Figures should be read alongside the RFP's stated target population of approximately 47,000 residents; Care Solace will confirm final population-based pricing at contract negotiation.
4.3 Project Period
Care Solace confirms full availability and capacity to operate throughout the anticipated contract period. Care Solace is an operationally mature organization with established infrastructure, staffing, and technology systems capable of onboarding immediately upon contract execution.
Timeline Phase Key Activities
Month 1 Onboarding & Setup
Contract execution; City branding applied to portal; staff and partner training; Care Companion team briefed on Coachella community context
Month 2 Soft Launch
Portal live; Care Companions active; first responder and City staff warm handoff protocols in place
Month 3 Full Operations All channels active; first monthly impact report delivered to City Months 4–ongoing Ongoing Service Delivery
Full 24/7/365 operations; monthly KPI reports; quarterly OSF remediation summaries; annual HIAA documentation
4.4 Staffing and Capacity
Name / Role Title Responsibilities
Anita Ward Chief Growth Officer
Primary relationship and contract oversight; executive point of contact for City leadership
Natasha Conahan Chief Operating Officer Oversees all Care Companion operations and clinical protocols Kevin Coordt Customer Success Lead
Day-to-day client success, reporting, and City integration; named prior to contract execution
Ashley McDevitt Provider Research Lead
Maintains and expands the California provider database; ensures SUD/MAT provider availability
Care Companion Team 24/7 Navigation Staff
Multilingual Care Companions (Spanish-primary) available around the clock via phone, text, email, and video
caresolace.org | Page 9
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Care Solace, Inc. | RFP No. CD 2026-04
Name / Role Title Responsibilities
Vivian Richards Clinical Oversight
Licensed mental health professional supervising complex and escalated cases
Clinical Oversight
All Care Companion interactions involving OUD, active SUD, or crisis situations are supervised by a licensed mental health professional, ensuring clinical safety and appropriate escalation pathways for Coachella's highest-need residents.
4.5 Cost Proposal
Care Solace proposes a transparent, population-based pricing model aligned to the City's available Opioid Settlement Funds of $109,295.23 and a target population of approximately 62,000 Coachella residents.
Line Item Amount / Detail
Contract Period TBD
Target Population 47,000 residents
Annual Per-Resident Rate $1.00
Total Contract Value $47,000
Pricing Model Population-based flat rate; unlimited service access for all residents All services described in this proposal — 24/7 Care Companions, the self-service portal, provider database access, reporting, and HIAA documentation — are included within the proposed contract value. There are no hidden fees, per-use charges, or add-on costs. Care Solace's model is specifically designed to provide comprehensive coverage regardless of the volume of resident utilization.
2.4 Implementation and Reporting
Care Solace provides a dedicated analytics dashboard and monthly impact reports to the City of Coachella. All data is strictly anonymized and free of Personally Identifiable Information (PII). Reports include:
• Total utilization and number of users
• Total number of matches and successful connections
• Time to match and time to appointment
• Total communications and confirmed appointments
• Referral sources (staff-initiated warm handoffs vs. resident self-search) • Demographic breakdowns (age, gender, ethnicity)
• Insurance pathways utilized (Medi-Cal, private, uninsured/sliding scale) • Top 100 providers accepting referrals and top 100 insurance plans associated with service requests caresolace.org | Page 10
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Care Solace, Inc. | RFP No. CD 2026-04
• Zip code analysis to identify geographic access patterns • Type of needs, including opioid/SUD-related vs. general mental health Monthly reports will specifically delineate KPIs related to opioid remediation — including the number of successful connections to SUD and MAT providers — to support the City's mandatory annual expenditure reporting to DHCS.
Care Solace will also produce an annual summary that maps service utilization directly to California's High Impact Abatement Activities (HIAA) List of Opioid Remediation Uses, as required.
HIAA Compliance
Care Solace's reporting infrastructure is already configured to map service utilization to California's HIAA and Schedule A/B/E OSF approved uses — providing the City with audit-ready annual documentation without additional administrative burden.
Schedule E Alignment: Opioid Settlement Fund Remediation Categories Because Coachella's award is funded through opioid settlement dollars, Care Solace's services have been mapped directly to California's Schedule E approved opioid remediation categories, demonstrating that this engagement is a fundable, high-value use of the City's OSF allocation.
Schedule E Category How Care Solace Delivers
A.1 — Prevention Programs
Enables early intervention by making it easier for residents to access behavioral health services before reaching crisis levels; supports prevention of opioid misuse through improved access to mental health and SUD resources
A.2 — Connection to Care
Provides 24/7 anonymous matching to SUD and mental health providers based on need, insurance, and availability; Care Companions guide individuals through appointment scheduling and follow-ups A.4 — Treatment and Recovery
Support
Refers individuals to outpatient/inpatient treatment, MAT providers, and recovery programs; enhances continuity of care and supports treatment retention
A.5 — First Responder & Diversion
Programs
Complements co-responder and mobile crisis response teams by providing post-crisis navigation and linkage to services; reduces reliance on emergency departments and law enforcement
A.7 — Support for People in Recovery
Facilitates continued access to support resources during and after treatment; helps residents reintegrate and maintain recovery through long-term service coordination
Cross-Reference: HIAA and Schedule A/B Alignment
OSF Category Approved Use How Care Solace Delivers
HIAA #2
New/Expanded SUD Treatment
Infrastructure
Expands access to SUD/MAT providers for all
Coachella residents via 24/7 Care Companions and
verified provider database
Schedule A — Core
Strategy E
Warm Hand-Off Programs and
Recovery Services
Care Companions facilitate live warm handoffs to
detox, residential treatment, MAT, and recovery
residences — the defining function of this RFP
caresolace.org | Page 11
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Care Solace, Inc. | RFP No. CD 2026-04
OSF Category Approved Use How Care Solace Delivers
Schedule B — Section B
Support People in Treatment
and Recovery
Follow-through check-ins confirm appointment
attendance; SDOH navigation supports housing,
transportation, and job training for individuals in
recovery
Schedule B — Section C
Connect People Who Need
Help to the Help They Need
The Care Match platform and 24/7 Care
Companions are purpose-built for this mandate —
connecting residents to verified, available providers
in real time
Why This Matters for Coachella
Care Solace is an approved, fundable strategy under the opioid settlement's Schedule E. Its measurable outcomes, real-time reporting, and equity-focused delivery model make it a high-value investment that helps Coachella meet public health goals while optimizing the use of restricted opioid funds.
4.6 References
Care Solace provides the following references for organizations receiving similar care coordination and navigation services. Additional references available upon request.
Reference 1
Field Detail
Type of Service Citywide behavioral health care coordination and navigation Organization City of Monrovia, CA
Contact Name / Title Dylan Feik, City Manager
Email / Phone [email protected]
Reference 2
Field Detail
Type of Service Citywide behavioral health care coordination and navigation Organization City of Stockton, CA
Contact Name / Title Alex Bailey, Program Manager III
Email / Phone [email protected]
Reference 3
Field Detail
Type of Service Citywide behavioral health care coordination and navigation Organization City of Murrieta, CA
caresolace.org | Page 12
Item 25.
Care Solace, Inc. | RFP No. CD 2026-04
Field Detail
Contact Name / Title Lori Stone, City Councilmember
Email / Phone [email protected]
Closing
Care Solace is ready to serve the City of Coachella. We are grateful for the City's commitment to addressing the opioid crisis and to ensuring every resident — regardless of insurance status, language, or circumstance — has a clear path to care. Care Solace exists precisely for this mission. We welcome the opportunity to serve as Coachella's Central Hub of Care and look forward to the next steps.
For questions regarding this proposal, please contact:
Anita Ward, Chief Growth Officer, Care Solace, Inc.
[email protected] | 213-880-1238
caresolace.org | Page 13
Item 25.
STAFF REPORT
10/14/2026
TO: Honorable Mayor and City Council Members
FROM: Kendra Reif, Community Development Director
PREPARED BY: Kendra Reif, Community Development Director SUBJECT: Urgency Ordinance No. 1239 Establishing Expedited Permitting Procedures for Electric Vehicle Charging Stations
STAFF RECOMMENDATION:
Staff recommends that the City Council adopt Urgency Ordinance No. 1239, adding Chapter
17.120, Electric Vehicle Charging Station Permitting, to Title 17 of the Coachella Municipal Code, and make the environmental determination set forth in Section 4 of the ordinance. Adoption as an urgency ordinance requires a four-fifths vote of the City Council and is intended to take effect immediately pursuant to Government Code Section 36937(b).
FISCAL IMPACT:
The ordinance does not appropriate funds or approve City construction of charging infrastructure.
Implementation would require staff time to maintain the permitting checklist, update application materials and the City website, coordinate departmental reviews, and administer statutory processing timelines. Permit fees would be charged pursuant to the applicable City fee schedule and would be limited to the City’s estimated reasonable cost of providing the service. The amount of any additional administrative cost or permit revenue has not been quantified for this report.
EXECUTIVE SUMMARY:
Urgency Ordinance No. 1239 would add Chapter 17.120 to the Coachella Municipal Code to establish expedited permitting procedures for electric vehicle charging stations consistent with California Government Code Sections 65850.7 and 65850.71. The ordinance provides for administrative review, electronic applications and signatures, a publicly available permitting checklist, and specified processing deadlines while maintaining applicable building, electrical, fire, accessibility, and public health and safety requirements.
Urgency adoption is proposed to address uncertainty affecting current and future permit applications and pending litigation alleging noncompliance with State permitting requirements, without admitting any allegation or liability. The ordinance supports the General Plan’s
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greenhouse gas reduction policies and includes a determination that adoption is not subject to CEQA or, alternatively, is exempt under the common-sense exemption.
Staff recommends adoption by a four-fifths vote of the City Council, with immediate effectiveness.
Implementation would require administrative staff time but would not authorize a capital expenditure or appropriate additional funding.
BACKGROUND:
Assembly Bill 1236 and Assembly Bill 970, codified in Government Code Sections 65850.7 and 65850.71, establish requirements for expedited review of electric vehicle charging station permit applications. These requirements include administrative permitting, a publicly available application checklist, electronic submittals, and specified processing timelines. Review of charging equipment is limited to applicable public health and safety requirements, except where additional review is expressly authorized by State law.
The proposed ordinance establishes a dedicated chapter of the Municipal Code to provide a clear permitting framework for applicants and City staff. It applies to both charging stations serving an existing primary use and facilities where vehicle charging is the primary use of the site.
DISCUSSION:
Chapter 17.120 would establish the following permitting procedures and requirements.
Administrative review and application checklist. The Building Official would administer the expedited process and maintain a checklist of required application information. The checklist, forms, submittal requirements, and applicable fees would be published on the City website.
Applications and supporting documents could be submitted electronically, and electronic signatures would be accepted as required by State law.
Processing deadlines. For applications proposing 1 to 25 charging stations at a single site, the ordinance specifies five business days to issue an incompleteness notice and 20 business days after an application is deemed complete for the specified adverse action. For applications proposing more than 25 charging stations, those periods are 10 and 40 business days, respectively.
Applications may be deemed complete or approved when the City does not act within the applicable periods, subject to the conditions established by State law.
Health and safety review and appeals. Charging stations would remain subject to applicable building, electrical, accessibility, fire, structural, and utility safety requirements. A conditional use permit may be required only upon the findings authorized by State law concerning a specific adverse public health or safety impact. Denial requires substantial evidence that the impact cannot be satisfactorily mitigated or avoided. The ordinance establishes appeals to the Planning Commission and, for a denied conditional use permit, to the City Council.
Small and large charging stations. The ordinance distinguishes charging stations ancillary to another use from facilities where charging is the primary use. Small stations would not undergo
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discretionary architectural or aesthetic review solely because charging equipment is proposed. For large stations, the draft includes a three-acre minimum lot size, 200-foot minimum street frontage, underlying-zone setbacks and height limits, security plans, and circulation requirements.
Noncharging amenities, such as commercial kiosks, restrooms, and resting facilities, would undergo administrative architectural and site plan review as described in the ordinance.
Parking and private association approvals. Required parking for an existing use would be reduced as necessary to accommodate charging equipment, consistent with State law. Applicable accessibility requirements would continue to apply. City permit approval would not be conditioned on approval by a homeowners’ or property owners’ association.
Implementation and State law. The ordinance addresses right-of-way installations, concurrent departmental review, inspections, and fees limited to reasonable service costs. It authorizes the Building Official to update administrative procedures and expressly provides that mandatory State law controls in the event of a conflict. All siting, utility, and development requirements must be implemented within those State-law limits.
ENVIRONMENTAL REVIEW:
Consistent with Section 4 of the proposed ordinance, adoption is not a project subject to the California Environmental Quality Act pursuant to CEQA Guidelines Sections 15060(c)(2) and 15060(c)(3), because the ordinance establishes administrative permitting procedures and will not result in a direct or reasonably foreseeable indirect physical change in the environment. In the alternative, adoption is exempt under CEQA Guidelines Section 15061(b)(3), because it can be seen with certainty that the ordinance itself will not have a significant effect on the environment.
Individual installations processed through a building permit or similar nondiscretionary approval are ministerial and are not subject to CEQA. Any discretionary use permit required pursuant to Government Code Section 65850.7 remains subject to CEQA to the extent required by law.
Adoption of the ordinance does not approve a specific charging facility or construction project.
ALTERNATIVES:
The City Council may adopt the urgency ordinance; direct revisions and adopt an amended urgency ordinance following City Attorney review; or continue the item and provide direction to staff. Continuing the item would delay establishment of the Municipal Code procedures and would not suspend the City’s obligations under State law.
RECOMMENDED ALTERNATIVE(S):
Staff recommends that the City Council adopt Urgency Ordinance No. 1239, adding Chapter
17.120, Electric Vehicle Charging Station Permitting, to Title 17 of the Coachella Municipal Code, and make the environmental determination set forth in Section 4 of the ordinance. Adoption as an urgency ordinance requires a four-fifths vote of the City Council and is intended to take effect immediately pursuant to Government Code Section 36937(b).
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ATTACHMENTS:
1. Proposed Urgency Ordinance No. 1239 adding Chapter 17.120 to the Coachella Municipal Code.
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City of Coachella
Urgency Ordinance
No. 1239
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URGENCY ORDINANCE NO. 1239
AN URGENCY ORDINANCE OF THE CITY COUNCIL OF THE CITY OF COACHELLA, CALIFORNIA, ADDING A NEW CHAPTER 17.120 TO THE
COACHELLA MUNICIPAL CODE ESTABLISHING PROCEDURES FOR
EXPEDITED PERMIT PROCESSING OF ELECTRIC VEHICLE CHARGING
SYSTEMS WITHIN THE CITY OF COACHELLA
WHEREAS, the State of California has established a policy to promote and encourage the use of electric vehicles and electric vehicle charging infrastructure and to remove unreasonable barriers to the installation of electric vehicle charging stations; and WHEREAS, California Government Code Section 65850.7 requires cities and counties to administratively approve applications to install electric vehicle (“EV”) charging stations through the issuance of a building permit or similar nondiscretionary permit and requires local agencies to establish an expedited, streamlined permitting process for such installations; and WHEREAS, the State of California adopted Assembly Bill (“AB”) 1236 and its companion AB 970, which mandate “by-right” administrative approval and strict timelines for local review to reduce barriers to EV charging infrastructure installations; and WHEREAS, AB 1236 requires every city and county in California to adopt an expedited and streamlined permitting process for EV charging stations to support broader EV deployment goals; and
WHEREAS, AB 970 builds on California’s earlier EV charging permit streamlining law (AB 1236) by establishing specific deadlines for local jurisdictions to process electric vehicle charging station permit applications and tying automatic application approval to jurisdiction inaction; and
WHEREAS, California Government Code Section 65850.71 establishes mandatory timelines for determining the completeness and approval of applications for electric vehicle charging stations; and
WHEREAS, in developing this Ordinance, the City has consulted with the Riverside County Fire Department and Imperial Irrigation District, as applicable, consistent with Government Code section 65850.7; and
WHEREAS, the City is concerned that an overconcentration of large-scale electric-vehicle charging stations within particular areas of the City could create cumulative impacts on surrounding land uses, including increased vehicle and truck traffic, queuing, noise, lighting and glare, electrical-grid demand, public safety, and the availability of land for other commercial and industrial uses, and therefore finds it necessary to establish reasonable, objective siting and
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development standards that address those impacts while remaining consistent with applicable state law; and
WHEREAS, the City Council desires to facilitate the installation of electric vehicle charging infrastructure within the City of Coachella while protecting public health and safety and ensuring compliance with applicable building, electrical, accessibility, and fire safety standards; and
WHEREAS, an expedited and streamlined permitting process will reduce unnecessary regulatory barriers, provide greater certainty to property owners, businesses, contractors, and electric vehicle charging providers, and support the expansion of electric vehicle charging infrastructure throughout the City; and
WHEREAS, the City Council finds that adoption of this Urgency Ordinance is consistent with California Government Code Sections 65850.7 and 65850.71 and other applicable provisions of State law; and
WHEREAS, Government Code section 65850.7 required the City to adopt an expedited, streamlined permitting process for electric vehicle charging stations by September 30, 2017; litigation is now pending alleging that the City has not fully complied with that requirement; and, without admitting any allegation or liability, the City Council finds that immediate adoption is necessary to eliminate uncertainty affecting current and future permit applications, ensure that such applications are processed uniformly and without unlawful barriers under objective health-andsafety standards, avoid continued delay in the installation of code compliant charging infrastructure, and reduce the risk that judicial proceedings will disrupt the City’s permitting operations or divert public resources; therefore, allowing the urgency ordinance to become effective immediately, rather than after the ordinary statutory period, is necessary for the immediate preservation of the public peace, health, and safety; and WHEREAS, the City Council further finds that adoption of this Ordinance promotes the orderly development of the City and serves the best interests of the residents of Coachella; and WHEREAS, all prerequisites to the adoption of this Ordinance have occurred.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COACHELLA DOES ORDAIN AS FOLLOWS:
SECTION 1. INCORPORATION OF RECITALS.
The City Council hereby finds that all of the foregoing recitals presented herewith are true and correct and are hereby incorporated and adopted as findings of the City Council.
SECTION 2. FINDINGS.
The City Council of the City of Coachella herby adopts this Ordinance based on the following findings:
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A. General Plan Consistency. Based on the entire record before the City Council and all written and oral evidence presented, including the staff report, the City Council hereby finds and determines that the proposed Ordinance is consistent with the goals and policies of the City of Coachella General Plan and is reasonably related to the public welfare of the citizens of the City and surrounding regions. Specifically, the provisions of this Ordinance promote the use of electric vehicles by allowing electric vehicle charging stations to be approved administratively in the City to be consistent with California Government Code section 65850.7. Permitting these types of uses within the City of Coachella furthers the City’s goals and policies as set forth in the City of Coachella General Plan, specifically:
a. General Plan Elements: Permitting electric vehicle charging stations in the City with specific objective development standards, is consistent with the goals and polices of the City of Coachella Sustainability and Natural Environment Element, specifically:
i. GHG reduction incentives. Periodically review fee structures for potential opportunities to provide financial and administrative incentives to support installation of renewable energy generators, energy efficiency measures, land use patterns, and other measures that reduce greenhouse gas emissions.
ii. Municipal operations. Conduct city operations and institutionalize practices that reduce municipal greenhouse gas (GHG) emissions and lead the community in reducing GHG emissions.
iii. Existing GHG emissions. Work with community members and businesses to support their efforts to reduce greenhouse gas emissions. b. Finally, the City Council finds the proposed Ordinance to permit electric vehicle charging stations by-right is reasonably related to the public welfare of the citizens of the City and surrounding region; more specifically, the proposed Ordinance includes appropriate development standards to ensure that the permitted stations meet all City public health and safety standards including Building and Safety Codes.
SECTION 3. CHAPTER 17.120 IS ADDED TO TITLE 17 OF THE COACHELLA MUNICIPAL CODE.
Title 17 of the Coachella Municipal Code is hereby amended to add Chapter 17.120 to read in its entirety as follows:
CHAPTER 17.120 – ELECTRIC VEHICLE CHARGING STATION PERMITTING
17.120.010 – Intent and Purpose.
The purpose and intent of this Chapter is to:
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A. Promote and encourage the installation and use of electric vehicle charging stations within the City;
B. Establish an expedited and streamlined permitting process for electric vehicle charging stations consistent with California Government Code Sections 65850.7 and 65850.71, as those sections may be amended from time to time;
C. Remove unreasonable barriers and minimize costs associated with permitting electric vehicle charging stations;
D. Provide a clear, predictable, and timely administrative review process for electric vehicle charging station applications; and
E. Protect public health and safety and preserve the Building Official's authority to identify and address higher-priority life-safety conditions.
17.120.020 – Definitions.
"Building Official" means the Building Official of the City of Coachella or the Building Official's authorized designee.
"City" means the City of Coachella.
"Electric vehicle charging station" or "charging station" means any level of electric vehicle supply equipment station that is designed and built in compliance with Article 625 of the California Electrical Code, as amended from time to time, and delivers electricity from a source outside an electric vehicle into a plug-in electric vehicle.
A “small electric vehicle charging station” means a station that is designed and operated as a use ancillary to the primary permitted use on site (such as a single family residence, condominium, apartment, office building, commercial retail, parking lot, garage or structure) in order to deliver electricity to personal or commercial passenger vehicles and trucks owned or operated by individuals who either reside or work on the site or are guests on the site where the charging station is located.
A “large electric vehicle charging station” means a station that is designed and operated as the primary permitted use on the site in order to charge personal passenger vehicles and trucks and/or commercial passenger vehicles and trucks and which is open to the public, whether with or without the payment of fees, subscriptions or other monetary charges for the service. A “large electric vehicle charging station” includes the electrical and mechanical equipment as defined in Article 625 of the California Electrical Code, and any subsequent amendments, that is necessary to deliver electricity from a source outside the electric vehicle into a plug-in electric vehicle. It does not include ancillary equipment and facilities that are not directly necessary for the charging of plug-in electric vehicles, including but not limited to, canopies (with or without solar panels), patronage resting facilities, commercial sale kiosks or buildings, public restrooms, family amenities or pet amenities. Such ancillary equipment and facilities are not subject to the expedited application and permitting requirements of this Ordinance and shall be subject to Administrative Architectural and
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Site Plan Review pursuant to Chapter 17 of the City of Coachella Municipal Code.
An "electronic submittal" means the submission of an application or associated documentation by electronic mail, internet-based permitting system or portal, or other electronic means authorized by the City.
A "feasible method to satisfactorily mitigate or avoid a specific, adverse impact" includes, but is not limited to, any cost-effective method, condition, or mitigation imposed by the City on another similarly situated application in a prior successful application for a permit.
A "specific, adverse impact" means a significant, quantifiable, direct, and unavoidable impact based on objective, identified, and written local., state or federal public health or safety standards, policies, or conditions in existence on the date the application is deemed complete.
17.120.030 – Applicability.
A. This Chapter applies to the permitting of all electric vehicle charging stations in the City. Electric vehicle charging stations legally established or permitted prior to the effective date of this ordinance are not subject to the requirements of this ordinance unless physical modifications or alterations are undertaken that materially change the size, type, or components of a charging station or hydrogen stations in such a way as to require a new permit.
B. Applications qualifying for expedited processing pursuant to California Government Code Sections 65850.7 and 65850.71 shall be processed administratively and shall not be subject to discretionary review except as expressly authorized by State law and this Chapter.
C. Nothing in this Chapter shall exempt an electric vehicle charging station from applicable health and safety requirements of local, State, or federal law.
17.120.040 – Expedited Permitting Process.
A. The Building Official shall implement and maintain an expedited, streamlined administrative permitting process for electric vehicle charging stations consistent with California Government Code Sections 65850.7 and 65850.71.
B. The Building Official shall adopt and maintain a checklist identifying all information and requirements necessary for an electric vehicle charging station application to qualify for expedited review.
C. The checklist may incorporate or refer to the recommendations and best practices contained in the most current version of the “Plug-In Electric Vehicle Infrastructure Permitting Checklist” of the “Zero-Emission Vehicles in California: Community Readiness Guidebook” as published by the Governor’s Office of Planning and Research, or any successor publication or guidance issued by the State of California.
D. The City's checklist, application forms, submittal requirements, applicable fees, and other required permitting documentation shall be made available on a publicly accessible City website.
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E. The Building Official is authorized to administratively update the checklist, application requirements, forms, and procedures as necessary to remain consistent with amendments to State law, applicable building and electrical codes, and State-issued permitting guidance, provided such updates do not impose requirements inconsistent with State law.
17.120.050 – Electronic Submittal and Signatures.
A. The City shall allow electronic submittal of applications for electric vehicle charging stations and all associated supporting documentation.
B. The City shall accept electronic signatures on applications, forms, plans, and other required documentation in lieu of wet signatures to the extent required by State law.
C. Electronic applications may be submitted through the City's online permitting system, electronic mail, or another electronic method designated by the Building Official.
17.120.060 – Application Completeness.
A. Prior to submitting an application for processing, the applicant shall verify that the installation of an electric vehicle charging station will not have specific, adverse impact to public health and safety and building occupants. Verification by the applicant includes but is not limited to: electrical system capacity and loads; electrical system wiring, bonding and overcurrent protection; building infrastructure or existing easements affected by charging station equipment and associated conduits/piping/ducting; and areas of charging station equipment and vehicle circulation or parking.
B. A permit application that satisfies the information requirements in the City’s adopted checklist shall be deemed complete and be promptly processed. A completed application does not authorize an applicant to energize, connect, or otherwise utilize an electrical vehicle charging station until approval and all necessary permits are granted by the City.
C. If the Building Official determines that the permit application is incomplete, he or she shall issue a written correction notice to the applicant, detailing all deficiencies in the application and any additional information required to be eligible for expedited permit issuance.
D. For an electric vehicle charging station, the Building Official shall issue the notice not later than:
a. Five business days after submission of the application, if the application is for at least 1, but not more than 25 electric vehicle charging stations at a single site. b. Ten business days after submission of the application, if the application is for more than 25 electric vehicle charging stations at a single site.
If the Building Official fails to issue a written correction notice to the applicant within the time prescribed, the application shall be deemed complete.
E. A permit application for an electric vehicle charging station shall demonstrate compliance with Imperial Irrigation District utility policies prior to approval.
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17.120.070 – Administrative Review and Approval.
A. The Building Official shall review all electric vehicle charging station applications to determine whether the charging station meets all health and safety requirements of local, state, and federal law. The requirements in this Section are declared to be limited to those standards necessary to ensure that the charging station will not have an unmitigated specific adverse impact on public health and safety. Notwithstanding the expedited permit processing set forth in this Chapter, the Building Official retains authority at all times to identify and address higher priority life-safety situations.
B. Upon confirmation by the Building Official that the permit application and supporting documents meet the requirements of the City adopted checklist, and is consistent with all applicable laws and safety standards, the Building Official shall, consistent with Government Code section 65850.7, as may be amended, approve the application and issue all necessary permits.
C. If the Building Official makes a finding based on substantial evidence that the electric vehicle charging station could have a specific, adverse impact upon the public health or safety, the City may deny the permit and require the applicant to apply for a conditional use permit pursuant to Chapter 17 of the City of Coachella Municipal Code. For an electric vehicle charging station, the Building Official shall issue the denial and finding not later than:
a. Twenty business days after the application is deemed complete, if the application is for at least 1, but not more than 25 electric vehicle charging stations at a single site. b. Forty business days after the application is deemed complete, if the application is for more than 25 electric vehicle charging stations at a single site.
If the Building Official fails to issue to the applicant a written denial/finding and referral to the Planning Commission for a conditional use permit within the time prescribed, the application shall be deemed approved.
17.120.080 – Appeals.
The Building Official’s decision may be appealed by the applicant to the Planning Commission by submitting a written request for a review of such decision within five business days of such decision, requesting review of such decision by the Planning Commission. Such request shall be made in writing to the Development Services Department. Upon receipt of such request, the Development Services Department shall schedule the matter for Planning Commission review and shall forward to the Planning Commission for its consideration all of the documents and materials submitted with the permit application, together with a report on the decision of the Building Official and the reasons therefor. The Planning Commission may act upon the application as if it were the initial consideration of the application. No public hearing shall be required for such action. If the Planning Commission finds that there is not substantial evidence of a specific, adverse impact upon the public health or safety, the Planning Commission shall order issuance of the permits for the charging station or hydrogen station. If the Planning Commission finds that there is substantial evidence of a specific, adverse impact upon the public health or safety, the Planning Commission shall order that the applicant apply for a conditional use permit pursuant to Chapter 17 of the City of Coachella
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Municipal Code.
Notwithstanding any provision of Chapter 17 to the contrary, an application for a conditional use permit to install an electric vehicle charging station shall not be denied unless the Planning Commission makes written findings based upon substantial evidence in the record that the proposed installation would have a specific, adverse impact upon the public health or safety, and there is no feasible method to satisfactorily mitigate or avoid the specific, adverse impact. The findings shall include the basis for the rejection of potential feasible alternatives. If denied, the Planning Commission’s decision may be appealed by the applicant to the City Council in the manner provided by Chapter 17 of the City of Coachella Municipal Code.
Any conditions imposed by the Building Official, Planning Commission or the City Council shall be designed to mitigate the specific adverse impact(s) upon the public health or safety at the lowest cost possible.
17.120.090 Homeowners' and Property Owners' Associations The City shall not condition approval of an electric vehicle charging station permit upon approval of the charging station by a homeowners' association or other association as defined in California Civil Code Section 4080.
Nothing in this Section shall be construed as determining or modifying the private rights or obligations of an applicant under applicable covenants, conditions, restrictions, leases, easements, or other private agreements.
17.120.100 Parking
A. If an electric vehicle charging station or associated equipment interferes with, reduces, eliminates, or otherwise impacts parking spaces otherwise required for an existing use, the number of required parking spaces for the existing use shall be reduced by the amount necessary to accommodate the electric vehicle charging station and associated equipment, consistent with California Government Code Section 65850.71.
B. The installation of an electric vehicle charging station shall not, by itself, require replacement parking for spaces displaced by the charging station or associated equipment when prohibited by State law.
C. Nothing in this Section eliminates applicable accessibility requirements for parking spaces, electric vehicle charging stations, accessible routes, or associated facilities.
17.120.110 Installation and Safety Requirements
Electric vehicle charging stations shall comply with all applicable State and federal health, safety, accessibility, and performance requirements, including, as applicable:
A. The California Building Code;
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B. The California Electrical Code, including Article 625; C. The California Green Building Standards Code;
D. Applicable accessibility requirements of the California Building Code; E. Applicable requirements and standards established by the Society of Automotive Engineers; F. Applicable standards established by the National Electrical Manufacturers Association; G. Applicable standards of nationally recognized testing laboratories, including Underwriters Laboratories or successor organizations;
H. Applicable rules and requirements of the California Public Utilities Commission and California Department of Food and Agriculture; and
I. Other applicable State or federal health and safety requirements.
17.120.120 Electrical and Structural Requirements
A. An electric vehicle charging station shall meet the applicable safety and performance standards established by the California Electrical Code, the Society of Automotive Engineers, the National Electrical Manufacturers Association, and accredited testing laboratories such as Underwriters Laboratories, and where applicable, rules of the Public Utilities Commission and Imperial Irrigation District (“IID ”) or other applicable local electric utility company regarding safety and reliability.
B. Installation of electric vehicle charging stations and associated wiring, binding, disconnecting means and overcurrent protective devices shall meet the requirements of Article 625 and all applicable provisions of the California Electrical Code.
C. Electric vehicle charging stations shall be incorporated into applicable electrical load calculations for new and existing electrical services. Charging equipment shall be treated as a continuous load where required by the California Electrical Code.
D. Anchorage of either floor-mounted or wall-mounted electric vehicle charging stations shall meet the requirements of the California Building or Residential Code as applicable per occupancy, and the provisions of the manufacturer’s installation instructions. Mounting of charging stations shall not adversely affect building elements.
E. Installation shall not adversely affect required structural, fire-resistance-rated, accessibility, or other life-safety elements of a building or site.
17.120.130 Additional Objective Health and Safety Standards for Large Electric Vehicle Charging Stations
A. For large electric vehicle charging stations, the minimum lot size shall be 3.0 acres. Minimum street frontage for large electric vehicle charging stations shall be 200 feet.
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B. Building setbacks: Same as underlying zoning.
C. Amenities. Amenities and other ancillary equipment and facilities that are not directly necessary for the charging of plug-in electric vehicles from an outside source, including but not limited to, canopies (with or without solar panels), patronage resting facilities, commercial sales kiosks or buildings, public restrooms, family amenities or pet amenities, are not subject to the expedited application and permitting requirements of this ordinance but shall be subject to Administrative Architectural and Site Plan Review pursuant to Chapter 17 of the City of Coachella Municipal Code.
D. Building Height: Same as underlying zoning.
E. Security: All large electric vehicle charging stations shall include a security plan subject to review and approval by the Development Services Department and the Police Department. The security plan may include, but is not limited to a security surveillance system, security personnel, or a perimeter wrought iron or tubular steel fence with visibility into the facility at a maximum height of 8 feet.
F. Vehicle Types and Circulation/Parking: The applicant shall identify the vehicle types served by the station.
a. Access/Internal Circulation/ Egress from the Site. The applicant shall provide appropriate truck and other vehicle turning templates on plan subject to review and approval by the City’s Engineering Department.
b. Driveways, parking, and queuing areas shall comply with all Fire Codes, Traffic Engineering and Planning/Zoning requirements.
c. All proposed signage for the station shall be subject to Chapter 17 of the City of Coachella Municipal Code.
17.120.140 Planning and Zoning Review for Small Electric Vehicle Charging Stations A. Installation of a small electric vehicle charging station shall not be subject to discretionary planning or zoning review except where expressly authorized by California Government Code Section 65850.7 or other applicable State law.
B. Planning review, when necessary, shall be administrative and limited to determining compliance with objective requirements that are consistent with State law.
C. A small electric vehicle charging station application shall not be subjected to discretionary architectural, aesthetic, or design review solely because electric vehicle charging equipment is proposed.
D. Nothing in this Section prevents application of objective accessibility, circulation, right-of-way, fire access, or other health and safety standards authorized by State law.
17.120.150 Coordination of City Review
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To the extent practicable and consistent with applicable law, City departments reviewing an electric vehicle charging station application shall coordinate their reviews concurrently rather than sequentially.
The Building Official may establish administrative procedures to consolidate Building, Planning, Engineering, Fire, and other applicable City reviews in order to meet the processing timelines established by State law.
17.120.160 Public Right-of-Way Installations
A. Electric vehicle charging stations proposed within the public right-of-way shall additionally comply with California Government Code Section 65850.72 and applicable, published City requirements governing work within the public right-of-way that are consistent with State law.
B. The City shall develop and publish the checklist, fees, charges, and other information required by California Government Code Section 65850.72. The City Council shall adopt any criteria used to determine appropriate locations within the public right-of-way or, if it determines there are no appropriate locations, the City shall publish that determination as required by State law.
C. Nothing in this Chapter grants a private party the right to occupy or use City property or public right-of-way without obtaining any separate authorization required by law.
17.120.170 Fees
Permit fees for electric vehicle charging stations shall be established by resolution of the City Council or other applicable City fee schedule and shall not exceed the City’s estimated reasonable cost of providing the service for which the fee is charged, consistent with California Government Code section 66014 and other applicable State law.
Nothing in this Chapter authorizes the imposition of a fee prohibited by State law.
17.120.180 Inspections
A. The City shall conduct required inspections of permitted electric vehicle charging station installations in a timely manner.
B. The Building Official may establish procedures for consolidated inspections, remote inspections, photographic verification, or other inspection methods when permitted by applicable law and determined appropriate by the Building Official.
C. Approval of an inspection shall not relieve an owner, contractor, installer, or equipment provider from responsibility for compliance with applicable codes, manufacturer's specifications, utility requirements, or other applicable laws.
17.120.190 Administrative Regulations
The Building Official is authorized to establish administrative policies, procedures, checklists,
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standard plans, forms, and technical guidance necessary to implement this Chapter, provided such requirements are consistent with applicable State law.
Administrative procedures may be modified without amendment of this Chapter when necessary to reflect amendments to State law, building codes, State permitting guidance, technology, or City permitting systems.
17.120.200 Conflict With State Law
This Chapter shall be interpreted to be consistent with California Government Code Sections 65850.7, 65850.71, and 65850.72 and other applicable State law.
If any provision of this Chapter conflicts with a mandatory provision of State law, the applicable State law shall control, and the remaining provisions of this Chapter shall remain in effect.
SECTION 4. CEQA DETERMINATION.
The City Council finds that adoption of this Ordinance is not a project subject to the California Environmental Quality Act pursuant to CEQA Guidelines Sections 15060(c)(2), and 15060(c)(3), because the Ordinance establishes administrative permitting procedures and it will not result in a direct or reasonably foreseeable indirect physical change in the environment. In the alternative, adoption of this Ordinance is exempt under CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that the Ordinance itself will not have a significant effect on the environment.
Individual applications processed through a building permit or similar nondiscretionary permit are ministerial and are not subject to CEQA. Any discretionary use permit required under California Government Code Section 65850.7 shall remain subject to CEQA to the extent required by law.
SECTION 5. SEVERABILITY.
If any section, subsection, subdivision, sentence, or clause or phrase in this Ordinance or any part thereof is for any reason held to be unconstitutional, invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this Ordinance or any part thereof. The City Council hereby declares that it would have adopted each section irrespective of the fact that any one or more subsections, subdivisions, sentences, clauses, or phrases are declared unconstitutional, invalid, or ineffective.
SECTION 6. EFFECTIVE DATE.
This Ordinance shall take effect immediately.
SECTION 7. PUBLICATION AND CERTIFICATION.
The City Clerk shall certify to the adoption of this Ordinance and cause it, or a summary of it, to be published or posted in the manner required by California Government Code Section 36933, in a
Item 26.
City of Coachella
Urgency Ordinance
No. 1239
99999.92017\45389404.1
newspaper of general circulation printed and published within the City of Coachella, pursuant to all legal requirements.
Item 26.
City of Coachella
Urgency Ordinance
No. 1239
99999.92017\45389404.1
I hereby certify that the foregoing Ordinance was PASSED, APPROVED AND ADOPTED by the City Council of the City of Coachella on the October 14, 2026.
DR. FRANK FIGUEROA
MAYOR
ATTEST:
ANGELA M. ZEPEDA
CITY CLERK
APPROVED AS TO FORM:
RYAN GUIBOA
CITY ATTORNEY
Item 26.
City of Coachella
Urgency Ordinance
No. 1239
99999.92017\45389404.1
STATE OF CALIFORNIA
COUNTY OF RIVERSIDE
CITY OF COACHELLA
)
) ss.
)
I HEREBY CERTIFY that the foregoing Urgency Ordinance No. 1239 was duly adopted by the City Council of the City of Coachella at a regular meeting thereof, held on this October 14, 2026 by the following vote of Council:
AYES:
NOES:
ABSENT:
ABSTAIN:
___________________________________
Delia Granados
Deputy City Clerk
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STAFF REPORT
10/14/2026
TO: Honorable Mayor and City Council Members
FROM: Castulo Estrada, Utilities Director
PREPARED BY: Castulo Estrada, Utilities Director
SUBJECT: Receive and File the Water and Wastewater Cost of Service and Rate Study Prepared by NewGen Strategies & Solutions and Authorize Staff to Initiate the Proposition 218 Notice and Public Hearing Process for Proposed Water and Wastewater Rates for Fiscal Years 2027 through 2031
STAFF RECOMMENDATION:
Staff recommends that Council review the Draft Water and Wastewater Cost of Service and Rate Studies prepared by NewGen Strategies & Solutions and approve the proposed five-year water and wastewater rate schedules for purposes of Proposition 218 noticing.
FISCAL IMPACT:
The Cost of Service and Rate Studies includes proposed rate increases which shall be considered each year. Recommended rates summarized in the Studies shall be implemented after a successful Proposition 218 process.
BACKGROUND:
The City of Coachella owns and operates the Utility System providing potable water service and wastewater service to the residents, businesses and industries within the City and its service areas.
The cost of water and wastewater service is recovered through water and wastewater rates. The last Water Utility Revenue Rate Analysis (rate study) was finalized in 2009. In March of 2010, Ordinance No. 1016 adopted new rates commencing May 1, 2010. Ordinance No. 1016 adopted the following schedule:
Effective Date 5/1/2010 1/1/2011 1/1/2012 1/1/2013 1/1/2014 1/1/2015 Monthly Meter Charge
5/8" – 3/4" $9.69 $10.66 $11.92 $12.52 $13.14 $13.80
1" $13.57 $14.93 $16.69 $17.53 $18.40 $19.32
1 1/2" $17.45 $19.19 $21.46 $22.53 $23.66 $24.84
2" $28.11 $30.92 $34.57 $36.30 $38.12 $40.02
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Effective Date 5/1/2010 1/1/2011 1/1/2012 1/1/2013 1/1/2014 1/1/2015 3" $106.62 $117.28 $131.14 $137.70 $144.59 $151.82
4" $135.70 $149.27 $166.91 $175.26 $184.02 $193.22
6" $203.55 $223.91 $250.37 $262.88 $276.03 $289.83
8" $281.09 $309.20 $345.74 $363.03 $381.18 $400.24
Consumption Charge (per
HCF)
Block 1: 0 – 41 HCF $1.05 $1.16 $1.30 $1.36 $1.43 $1.50 Block 2: Over 41 HCF $1.21 $1.31 $1.45 $1.51 $1.58 $1.65 Per the above table, the last water rate increase was adopted on 1/1/2015. Water rates have not been adjusted since.
Similarly, the last Wastewater Rate Study for the Coachella Sanitary District (CSD) was finalized in November of 2017 and adopted a schedule of annual rate increases effective July 1, 2018 through July 1, 2021. The last sewer rate increase took effect on 7/1/2021, and sewer rates have not been adjusted since. The current single-family residential sewer charge is $49.74 per month.
Council previously authorized a Professional Services Agreement with NewGen Strategies & Solutions (NewGen) to conduct a Comprehensive Water and Wastewater Rate Study. NewGen has completed a draft Water and Wastewater Cost of Service and Rate Study (Study) for the City, which is presented with this report.
Primary Drivers:
Operational and maintenance costs increase every year due to a number of factors including the cost of materials, inflation, increase in staff, and increase in infrastructure inventory. The 2023 Utility Operations Staffing Study prepared by Raftelis found the Utilities Department understaffed relative to peer agencies and recommended 10 new full-time positions across the water and wastewater utilities. The 2024 Base Compensation Study prepared by Arthur J. Gallagher & Co. found that the City's utility salaries were, on average, 12.2% below the market median. The Water and Wastewater Cost of Service Studies incorporate the findings of the Staffing and Compensation reports.
Wastewater operations face similar pressures. For the wastewater utility, the Study includes the phased addition of 3.5 wastewater treatment operator positions and one SCADA and instrumentation technician identified in the Staffing Study, the salary adjustments from the Compensation Study, and new funding of $500,000 per year for depreciation beginning in FY 2027. CSD must also continue to meet its existing debt obligations and debt service coverage requirements.
On April 17, 2024, the State Water Resources Control Board re-adopted a Maximum Contaminant Level (MCL) of 10 parts per billion for hexavalent chromium (chromium-6), effective October 1, 2024. Chromium-6 occurs naturally in the groundwater of the Coachella Valley. All six of CWA's active wells exceed the new MCL, with average concentrations ranging from roughly 13 to 22 parts per billion, and Well 20 is also anticipated to require treatment. CWA's compliance plan was
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accepted by the Division of Drinking Water on November 3, 2025, which, together with Senate Bill 466, extends the construction completion deadline to July 3, 2031.
Following bench- and pilot-scale testing, CWA selected reduction coagulation filtration as the treatment technology for all seven well sites. The preliminary estimated capital cost is $54.1 million, including approximately $5.0 million for design. These figures are preliminary estimates based on the Preliminary Design Report and are subject to change as design progresses. Once all treatment systems are operational, the new facilities are expected to add approximately $891,000 per year in operating and maintenance costs.
The Study develops a five-year financial plan for Fiscal Years (FY) 2027 through 2031 accommodating both staffing demands as well as the Chrome 6 related expenditures. Proposed rates would take effect on January 1 of each year from 2027 through 2031.
DISCUSSION/ANALYSIS:
Water Rates
Revenue Requirement. The Study projects that CWA's net revenue requirement will increase from approximately $9.4 million in FY 2026 to $15.8 million in FY 2031. The increase is frontloaded: the net revenue requirement rises 42.7% in FY 2027 as pay-as-you-go capital spending begins and staffing costs increase, then by 5.8%, 5.1%, 5.3%, and 0.7% in the following four years.
The Study conservatively assumes CWA will fund the entire chromium-6 construction program with revenue bonds, adding approximately $2.5 million in annual debt service beginning in FY 2030.
Financial Condition. At current rates, CWA's debt service coverage ratio is projected at 0.07x in FY 2026, below the 1.10x required by its bond covenants. Under the proposed rates, coverage recovers to 1.37x in FY 2027 and remains at or above 1.28x in each year of the forecast. The water fund balance is also projected to decline to approximately $1.7 million in FY 2027, about $548,000 below the recommended reserve level. Projected rates assure that the expected fund balance meets or exceeds the recommended level in each year thereafter.
Rate Structure. CWA's current rates consist of a fixed monthly meter charge and a two-tier volumetric rate that applies equally to all customers. The Study recommends a fixed monthly meter charge that scales with meter size and a three-tier volumetric rate.
Rate Component Jan 1,
2027
Jan 1,
2028
Jan 1,
2029
Jan 1,
2030
Jan 1,
2031
Monthly Meter Charge
5/8" – 3/4" $19.67 $20.81 $21.87 $23.02 $23.19
1" $26.88 $28.43 $29.88 $31.45 $31.68
1 1/2" $44.89 $47.49 $49.90 $52.52 $52.91
2" $66.51 $70.36 $73.93 $77.82 $78.39
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Rate Component Jan 1,
2027
Jan 1,
2028
Jan 1,
2029
Jan 1,
2030
Jan 1,
2031
3" $134.97 $142.77 $150.02 $157.91 $159.07
4" $225.04 $238.06 $250.14 $263.30 $265.23
6" $495.27 $523.91 $550.50 $579.46 $583.72
8" $585.34 $619.19 $650.62 $684.84 $689.88
Consumption Charge (per
HCF)
Tier 1: 0 – 8 HCF $2.89 $3.06 $3.21 $3.38 $3.41
Tier 2: 9 – 17 HCF $3.08 $3.25 $3.42 $3.60 $3.63
Tier 3: Over 17 HCF $3.84 $4.06 $4.27 $4.49 $4.52
Customer Bill Impacts. A single-family residential customer with a ¾-inch meter using 21 hundred cubic feet (HCF) per month currently pays $45.30 per month. That bill would increase to $85.83 on January 1, 2027, an 89.5% increase, and then by 5.8%, 5.1%, 5.3%, and 0.7% in the following four years, reaching $101.16 in FY 2031. First-year increases for other sample customers range from 100.5% for multi-family residential to 128.4% for high-use commercial.
Even with the proposed increase, CWA's estimated FY 2028 bill of $90.80 for the same singlefamily customer is below the $104.72 average of 18 regional water agencies surveyed.
Wastewater Rates
Revenue Requirement. Wastewater revenue requirement is expected to expand from $8.0 million in FY 2026 to $10.3 million in FY 2031. Operation and maintenance expense is projected to increase from approximately $6.1 million in FY 2026 to $9.5 million over this forecast period, driven by general cost escalation, the staffing and compensation adjustments described above, and funding for depreciation. Rate-funded debt service remains stable, while the $7.9 million capital improvement program is almost entirely growth-related and is funded from connection fees. The Study accommodate the expansion in required revenues by recommending revenue adjustments of
5.3%, 9.8%, 6.8%, 4.8%, and 3.9%, effective January 1 of each year from 2027 through 2031.
Financial Condition. The sewer operating fund begins in a stable position with over $11.0 million in reserves, but will need to use some of it’s balance to account for capital projects. The operating fund will transfer approximately $4.55 million to the connection fee fund to assure that the growth fund remains solvent while growth-related projects are concluded. These transfers will be made from existing reserves, will not affect sewer rates, and will be repaid as future connection fee revenue is received. Under the proposed rates, the operating fund balance is projected to decline from approximately $11.0 million at the end of FY 2026 to approximately $6.7 million at the end of FY 2031, remaining above the minimum reserve requirement in every year. Debt service coverage ranges from 2.49x to 4.38x, well above the 1.25x target. The Study applies the same reserve policy as the water utility: 90 days of operation and maintenance expense plus 30 days of capital spending.
Rate Structure. NewGen reviewed CSD's existing rate structure and recommends keeping it.
Single-family residential customers would continue to pay a flat monthly charge, and all other customers would continue to pay a fixed monthly charge based on meter size plus a volumetric
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charge per HCF of water use that varies by customer class to reflect wastewater strength. The proposed rates realign each charge with the cost of service. Proposed rates are summarized below; the full schedule for all meter sizes is included as an attachment.
Rate Component Current 1/1/2027 1/1/2028 1/1/2029 1/1/2030 1/1/2031 Single-Family (flat) $49.74 $54.73 $60.21 $63.23 $66.38 $68.32 ¾-inch Fixed Charge $24.08 $26.34 $30.07 $32.05 $33.63 $34.65 Multi-Family
($/HCF) $3.55 $3.93 $4.17 $4.31 $4.53 $4.66
Comm. Low
($/HCF) $3.09 $3.13 $3.32 $3.44 $3.61 $3.72
Comm. Medium
($/HCF) $4.00 $4.78 $5.08 $5.26 $5.52 $5.68
Comm. High
($/HCF) $8.90 $12.57 $13.35 $13.81 $14.51 $14.92
Institutional ($/HCF) $3.04 $3.05 $3.24 $3.35 $3.52 $3.62 Customer Bill Impacts. The single-family residential monthly sewer charge would increase from $49.74 to $54.73 on January 1, 2027, a 10.0% increase, and would reach $68.32 in FY 2031.
Because the Study found that single-family, multi-family, and medium- and high-strength commercial customers were not previously paying their full share of cost of service expenses, firstyear increases vary by class: 38.6% for high-strength commercial, 18.9% for medium-strength commercial, 10.3% for multi-family, and approximately 2% for low-strength commercial and institutional customers. After FY 2028, annual increases range from approximately 3% to 5% for all classes. The current single-family charge of $49.74 is about 2% below the $50.78 average of 18 regional agencies surveyed. The estimated FY 2028 charge of $60.21 would be above the current average, although the comparison does not reflect increases other agencies may adopt by then.
Proposition 218 Process. If Council approves the recommended action, staff will mail written notice of the proposed water and wastewater rates to all affected property owners and customers of record at least 45 days before the public hearing. Council may adopt the proposed rates following the public hearing unless written protests are received from a majority of affected parcels. Adopting rates would also allow CWA to submit a complete DWSRF financing application for the chromium-6 program.
Attachments
1. Draft Water Cost of Service and Rate Study (NewGen Strategies & Solutions, October, 2026)
2. Draft Wastewater Cost of Service and Rate Study (NewGen Strategies & Solutions, October, 2026)
3. CWA_Prop 218 Notice_DRAFT-ENG-final
4. CSD_Prop 218 Notice_DRAFT-ENG-final
Item 27.
www.newgenstrategies.net
WATER COST OF
SERVICE & RATE
STUDY
REPORT
OCTOBER 2026
Prepared for:
Mr. Cástulo Estrada – Utilities Director
City of Coachella
53462 Enterprise Way
Coachella, CA 92236
© 2026 NEWGEN STRATEGIES AND SOLUTIONS, LLC
Docusign Envelope ID: 0A69781F-E9A1-8C93-8289-DC1CD0665253
Item 27.
Economics | Strategy | Stakeholders | Sustainability
www.newgenstrategies.net
900 Bestgate Road, Suite 402
Annapolis, MD 21401
Phone: (410) 266-9101
October 7, 2026
Mr. Cástulo Estrada
Utilities Director
City of Coachella
53462 Enterprise Way
Coachella, CA 92236
Subject: Coachella Water Authority Cost of Service and Rate Study Dear Mr. Estrada,
NewGen Strategies and Solutions, LLC is pleased to submit to the City of Coachella our report detailing our completed Water Cost of Service and Rate Study for the Coachella Water Authority. This report summarizes our study’s results regarding the forecasted costs of providing water treatment and distribution service to the City’s water customers and our recommendations for recovering those costs over the fiscal years 2027 through 2031. The rates described in our report are fair and equitable, align with Proposition 218 requirements, and will result in the sustainable operation of the City’s water utility.
We appreciate the opportunity to provide our services to the City and would like to express our sincere appreciation to City staff. The dedication and assistance provided by City staff was essential to the completion of this study. It has been a distinct pleasure to work with the City of Coachella. Please contact us if you have any questions regarding our study or our recommendations.
Sincerely,
NewGen Strategies and Solutions, LLC
Eric Callocchia
Partner
Docusign Envelope ID: 0A69781F-E9A1-8C93-8289-DC1CD0665253
Item 27.
Economics | Strategy | Stakeholders | Sustainability Water Cost of Service and Rate Study Report Table of Contents
Executive Summary
Section 1 Background and Scope of Work .......................................................................1-1 City of Coachella Background........................................................................................1-1 Coachella Water Authority..................................................................................1-1 Study Background..........................................................................................................1-2 California's Chromium-6 (Hexavalent Chromium) Treatment Mandate ............1-2 Study Process.................................................................................................................1-4 Section 2 Revenue Requirements...................................................................................2-1 Operating and Maintenance Costs................................................................................2-1 Administration ....................................................................................................2-1 Operations...........................................................................................................2-1 Manpower Study.................................................................................................2-2 Compensation Study...........................................................................................2-2 Chromium-6 Operating Costs..............................................................................2-3 Debt Service...................................................................................................................2-4 Planned Capital Improvements.....................................................................................2-5 Chromium-6 Capital Improvements....................................................................2-6 Miscellaneous Revenues.....................................................................................2-8 Revenue Requirement Forecast....................................................................................2-9 Section 3 Cost of Service And Rate Design Analysis.........................................................3-1 Proposition 218 .............................................................................................................3-1 Scope and Applicability .......................................................................................3-1 Substantive Rate-Setting Requirements.............................................................3-1 Cost of Service Process..................................................................................................3-2 Step 1: Functionalization of Costs.......................................................................3-2 Step 2: Allocation of Functionalized Costs to Demand Components .................3-3 Step 3: Distribution of Costs to Customers.........................................................3-4 Test Year........................................................................................................................3-5 Functionalization.................................................................................................3-5 Allocation ............................................................................................................3-5 Distribution .........................................................................................................3-6 Section 4 Cash Flow and Fund Balance Forecasts.............................................................4-1 Cost of Service Based Rates Forecast............................................................................4-1 Reserve Analysis............................................................................................................4-1 Debt Service Coverage Ratio .........................................................................................4-3 Section 5 Customer Bill Impacts......................................................................................5-1 Sample Customer Bills...................................................................................................5-1 Regional Bill Comparison...............................................................................................5-2 Docusign Envelope ID: 0A69781F-E9A1-8C93-8289-DC1CD0665253
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Table of Contents
ii Water Cost of Service and Rate Study Report
Section 6 Findings, Conclusions, and Recommendations .................................................6-1 Findings..........................................................................................................................6-1 Conclusions....................................................................................................................6-2 Recommendations.........................................................................................................6-2 List of Tables
Table 2-1 Operating and Maintenance Cost Forecast (000’s) .................................................2-4 Table 2-2 Annual Debt Service (000’s).....................................................................................2-5 Table 2-3 Preliminary Site Specific Chromium-6 Improvement Summary ..............................2-6 Table 2-4 Summary of Chromium-6 Capital Costs (000’s).......................................................2-7 Table 2-5 Miscellaneous Revenue Forecast (000’s).................................................................2-8 Table 2-6 Revenue Requirement Forecast (000’s)...................................................................2-9 Table 3-1 Test Year Functionalization......................................................................................3-5 Table 3-2 Test Year Allocation .................................................................................................3-5 Table 3-3 Fixed Charge Calculation..........................................................................................3-6 Table 3-4 Summary of Variable Charge Cost Components......................................................3-7 Table 3-5 Test Year Volumetric Tiers.......................................................................................3-7 Table 3-6 Test Year Rate Calculation .......................................................................................3-8 Table 4-1 Cost of Service Based Rate Forecast - Monthly .......................................................4-1 Table 4-2 Reserve Policy Guideline Summary..........................................................................4-2 Table 4-3 Cash Flow Forecast at Recommended Rates (000’s) ...............................................4-3 Table 5-1 Sample Customer Bills..............................................................................................5-1 Table 5-2 Regional Water Agencies.........................................................................................5-2 List of Figures
Figure 1-1. Cost of Service Study Process................................................................................1-4 Figure 5-1: Regional Bill Comparison (FY 2028 Rates).............................................................5-3 Appendix A – Test Year Rate Calculations
Appendix B – Functionalization Detail
Appendix C – Allocation Detail
Appendix D – Volumetric Rate Calculation Detail
©2026 NEWGEN STRATEGIES AND SOLUTIONS, LLC
Docusign Envelope ID: 0A69781F-E9A1-8C93-8289-DC1CD0665253
Item 27.
Economics | Strategy | Stakeholders | Sustainability Water Cost of Service and Rate Study Report
EXECUTIVE SUMMARY
The City of Coachella (City) retained NewGen Strategies and Solutions, LLC (NewGen) to prepare a comprehensive water cost of service and rate study. The study establishes a five-year financial plan for the water utility, allocates the cost of providing water service among customer classes in proportion to the demands each class places on the system, and designs rates that recover those costs in a manner consistent with Proposition 218. This Executive Summary presents the study's principal findings and recommendations; the analysis supporting them is set out in Sections 1 through 6 and the appendices that follow.
The central conclusion of the study is that CWA's existing water rates are no longer sufficient to fund the cost of providing water service. The Authority must finance an estimated $54.1 million state-mandated Chromium-6 treatment program alongside its ongoing operating and capital needs, and at current rates the water fund is projected to produce a debt service coverage ratio of 0.07x in FY 2026 — below the
1.10x required by the Authority's bond covenants. NewGen recommends that CWA adopt the five-year, cost-of-service-based rate schedule developed in this study, with rates effective January 1 of each year from 2027 through 2031, and that it initiate the Proposition 218 notice and protest process required to do so.
Why Rates Must Increase
The single largest driver of the Authority's revenue requirement is California's Chromium-6 maximum contaminant level, which took effect in 2024 and requires public water systems to reduce hexavalent chromium concentrations to 10 parts per billion. CWA has identified seven groundwater wells — Wells 11, 12, 16, 17, 18, 19, and 20 — that require treatment to achieve compliance. The Authority selected Reduction Coagulation Filtration as the treatment approach, at an estimated capital cost of $54.1 million, together with the ongoing operating costs of running and maintaining the new facilities.
Because the Drinking Water State Revolving Fund (DWSRF) application process requires an applicant to demonstrate adopted rates sufficient to repay a loan before a complete financing package can be submitted, the financial plan underlying this study conservatively assumes that CWA self-funds the entire program through revenue bonds, with no grant or subsidized financing. That assumption adds approximately $2.5 million of annual debt service beginning in FY 2030. If the Authority subsequently secures a DWSRF loan, or the principal forgiveness for which it may qualify as a Disadvantaged Community, its actual revenue requirement will fall below the level the adopted rates are designed to recover.
Combined with the Authority's ongoing operating and maintenance costs, existing debt service, and payas-you-go capital program, these obligations increase the net revenue requirement from $8.0 million in FY 2026 to $15.8 million in FY 2031. The increase is heavily front-loaded: the net revenue requirement rises 68.7% in FY 2027 as capital spending begins and operating costs step up, then changes by 5.8%, 5.1%,
5.3%, and 0.7% over the four years that follow.
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EXECUTIVE SUMMARY
2 Water Cost of Service and Rate Study Report
Cost of Service and Rate Design
Rates were developed using the industry-standard, three-step process described in Section 3. Costs were first functionalized into the activities the utility performs — supply and treatment, transmission and distribution, customer service, and metering. Functionalized costs were then allocated to the demand components that cause them: base (average day) demand, maximum day demand, maximum hour demand, and customer- and meter-related costs. Finally, allocated costs were distributed to customer classes in proportion to each class's contribution to those demands.
Applied to the Test Year 2030 net revenue requirement of $15.7 million, this process allocates 54.8% of costs to base demand, 6.9% to customer-related costs, 17.7% to maximum day demand, 11.1% to meterrelated costs, and 9.5% to maximum hour demand. Customer- and meter-related costs are recovered through fixed monthly service charges that scale with meter size, and the base, maximum day, and maximum hour costs are recovered through a three-tier volumetric rate. Because higher tiers reflect a greater share of peaking cost, the tier differentials are grounded in measured system demand characteristics rather than in conservation policy alone — an important distinction under Proposition 218 and the case law interpreting it.
The resulting rate schedule is summarized below. The full schedule for all meter sizes appears in Table 4‑1.
Table ES-1
Proposed Water Rates, FY 2027 – FY 2031
Rate Component
Effective
January 1, 2027
Effective
January 1, 2028
Effective
January 1, 2029
Effective
January 1, 2030
Effective
January 1, 2031
Monthly Meter Charge (¾-inch) $19.67 $20.81 $21.87 $23.02 $23.19 Tier 1: 0 – 8 HCF $2.89 $3.06 $3.21 $3.38 $3.41
Tier 2: 9 – 17 HCF $3.08 $3.25 $3.42 $3.60 $3.63
Tier 3: Over 17 HCF $3.84 $4.06 $4.27 $4.49 $4.52
Customer Bill Impacts
The rate adjustment falls unevenly across time rather than across customer classes: the great majority of the increase occurs in the first year, after which annual changes are modest. A single-family residential customer with a ¾-inch meter using 21 HCF per month currently pays $45.30 per month. That bill increases to $85.83 effective January 1, 2027, and then rises by 5.8%, 5.1%, 5.3%, and 0.7% in the following four years, reaching $101.16 in FY 2031. First-year increases for other customer categories range from 100.5% for multi-family residential to 128.4% for high-use commercial accounts, with institutional customers at 109.7%.
Notwithstanding the magnitude of the first-year adjustment, CWA remains competitively priced within its region. At 21 HCF per month, the Authority's estimated FY 2028 bill of $90.80 is below the $104.72 average of the 18 comparison agencies surveyed in Section 5, and 12 of those 18 agencies charge more than CWA would for the same level of service. The Authority moves from among the lowest-priced agencies in the survey to a position near the middle of the group.
Docusign Envelope ID: 0A69781F-E9A1-8C93-8289-DC1CD0665253
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EXECUTIVE SUMMARY
Water Cost of Service and Rate Study Report 3
Financial Outlook
Under the recommended rates, total water fund revenues grow from $10.7 million in FY 2027 to $16.5 million in FY 2031, sufficient to fund operating and maintenance costs, existing and future debt service, and the pay-as-you-go portion of the capital improvement program. Debt service coverage recovers from
0.07x in FY 2026 to 1.37x in FY 2027 and remains at or above 1.25x in every subsequent year — above the
1.10x covenant requirement and at the recommended limit. The ending fund balance dips to $1.7 million in FY 2027, below the recommended minimum, before recovering to $6.2 million by FY 2031. The Authority meets or exceeds its recommended reserve balance in every year of the forecast except FY 2027, against targets of 90 days of operating expenses for the operating reserve and 30 days of average annual pay-as-you-go capital spending for the capital reserve.
Recommendations
• Adopt the five-year rate schedule. Fixed monthly service charges by meter size and three-tier volumetric rates should take effect January 1 of each year from 2027 through 2031, as set out in Table 4-1.
• Initiate the Proposition 218 process without delay. Written notice must be mailed to affected property owners and customers of record at least 45 days before the public hearing, and adopted rates are a prerequisite to submitting a complete DWSRF financing package. • Pursue DWSRF financing, including principal forgiveness. As a Disadvantaged Community, CWA may qualify for principal forgiveness that would reduce debt service below the level assumed in this study.
• Formally adopt a reserve policy. An operating reserve of 90 days of operating expenses and a capital reserve of 30 days of average annual pay-as-you-go capital spending should be codified. • Monitor annually and update the study within five years. The study should be revisited sooner if the scope, schedule, or financing terms of the Chromium-6 program change materially, or if water sales diverge significantly from projected demand.
• Pair the adjustment with outreach and customer assistance. The Authority should communicate the regulatory basis for the Chromium-6 program ahead of the public hearing and evaluate a lowincome assistance program funded from a source other than water rate revenue. •
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Economics | Strategy | Stakeholders | Sustainability Water Cost of Service and Rate Study Report Section 1
BACKGROUND AND SCOPE OF WORK
City of Coachella Background
The City of Coachella is located at the east end of the Coachella Valley in Riverside County, California, approximately 40 miles south of Palm Springs. Incorporated in 1946, Coachella encompasses approximately 30 square miles and is home to a population of roughly 43,000 residents. The surrounding area is characterized by agricultural land to the south, undeveloped land to the east and north, and urban growth to the west.
The City’s utility service area encompasses approximately 32 square miles and has a sphere of influence that extends across approximately 53 square miles in the eastern Coachella Valley. The City provides utility services to approximately 9,255 residential and commercial customers across its water system and 8,919 across its wastewater system.
Coachella Water Authority
The City of Coachella began providing water service in 1957 and serves as the municipal water utility for the City. CWA provides potable water service to approximately 9,000 residential and commercial customers within a service area of roughly 32 square miles. The Authority’s water system is designed around local groundwater as its principal source of supply, supplemented by a distribution infrastructure built to serve the demands of a growing desert community.
Water Supply
The CWA’s primary source of water supply is local groundwater pumped from City-owned and operated wells. The system currently includes six (6) operational wells, all of which are active within the City’s distribution system. The total pumping capacity of the active wells is approximately 11,800 gallons per minute (gpm), or approximately 16.9 million gallons per day (MGD).
Distribution System Infrastructure
The water distribution system is divided into two pressure zones — the Low Zone and the 150 Zone — and includes the following key infrastructure components:
• Six active groundwater wells (with a future Well 20 under construction) • Three (3) storage reservoirs with a total reservoir storage capacity of approximately 10.5 million gallons (MG)
• Two (2) booster pumping stations
• Approximately 120 miles of pipeline, ranging from 4 inches to 24inches in diameter Together, these facilities provide reliable potable water service to the approximately 9,000 residential and commercial customer connections within the CWA service area.
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1-2 Water Cost of Service and Rate Study Report
Current Rate Structure
CWA currently employs a two-part water rate structure comprised of fixed monthly meter charges that vary by meter size and a two-tier inclining block volumetric rate structure. The existing rate structure does not distinguish between customer classes; all customers are subject to the same meter charges, volumetric tier thresholds and per hundred cubic feet (HCF) rate in each tier.
Study Background
The City of Coachella engaged NewGen Strategies and Solutions, LLC (NewGen) to conduct a Comprehensive Water Rate Study for the CWA. The purpose of this Study was to ensure that the City’s water utilities have sufficient, defensible funding to meet their operational, capital, and current debt service obligations, and that utility rates are proportionate to the cost of providing service consistent with the requirements of Proposition 218.
The pressures driving the need for this Study included, among other factors:
• Increasing costs of labor, materials, and water supply • Regulatory mandated Chromium-6 treatment requirements • The need to fund major capital asset maintenance and replacement • The requirement to maintain adequate reserves and meet existing debt service obligations • The City’s Utilities Department Utility Manpower Study recommendations • A Compensation Study’s recommendations
NewGen’s analysis encompasses a five-year rate forecast period from Fiscal Year (FY) 2027 through FY 2031, with recommended rates anticipated to take effect on January 1, 2027, following the completion of Proposition 218 noticing and public hearing process
California's Chromium-6 (Hexavalent Chromium) Treatment Mandate Hexavalent chromium, commonly called chromium-6, is an odorless and tasteless heavy metal that may be found in groundwater naturally or as a result of improper disposal of contaminated industrial waste.
Studies have linked long-term exposure to a risk of cancer when ingested. In the Coachella Valley specifically, the presence of chromium-6 is not a product of industrial contamination. The rock, gravel, sands, and sediments that make up the Coachella Valley's groundwater aquifer naturally contain chromium-3, and through weathering and natural chemical reactions over extended periods, chromium6 is naturally formed from chromium-3 and is present in low levels in the groundwater.
Regulatory History of Chromium-6
California first adopted a specific Maximum Contaminant Level (MCL) for chromium-6 in 2014, setting a limit of 10 parts per billion (ppb). That MCL was invalidated in 2017 through a court ruling that found the state had not adequately documented the economic feasibility of compliance. For the next seven years, chromium-6 was only indirectly regulated through the broader total chromium standard, which meant a water system could technically be in compliance even with relatively high chromium-6 levels as long as total chromium stayed below 50 ppb.
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Background and Scope of Work
Water Cost of Service and Rate Study Report 1-3
On April 17, 2024, the California State Water Resources Control Board voted to re-adopt a maximum contaminant level (MCL) of 10 parts per billion (ppb) for hexavalent chromium, after completing a new and more thorough economic feasibility analysis. The new MCL became effective October 1, 2024.
California is the only state to set its own MCL specifically for chromium-6. The federal standard for total chromium used by other states is 100 ppb.
Community water systems were required to complete initial compliance sampling by April 1, 2025, and compliance plans are required within 90 days for any source that exceeds the MCL. The rule allows water systems up to three years to achieve compliance, with the timeline scaled by system size.
Implications for Coachella Water Authority
The chromium-6 mandate has a profound and system-wide impact on CWA. All six of CWA's active groundwater wells (Wells 11, 12, 16, 17, 18, and 19) draw from the East Whitewater River Subbasin of the Coachella Valley Groundwater Basin, and all six have average chromium-6 concentrations above the 10 µg/L MCL, with measured levels ranging from roughly 13 µg/L at Well 18 up to 22 µg/L at Well 17. A seventh well (Well 20), currently under development and expected online in 2028, is also anticipated to require treatment after testing. In short, CWA's entire groundwater supply portfolio requires treatment.
With over 9,255 service connections, CWA falls in the regulation's 1,000–9,999 connection category, which carried an initial compliance deadline of October 1, 2027. However, the passage of Senate Bill 466, which shields water systems from violation determinations while actively implementing a state boardapproved compliance plan, has given CWA additional time to comply. CWA's compliance plan was accepted by the Division of Drinking Water on November 3, 2025, extending the effective construction completion deadline to July 3, 2031.
Following a technology evaluation and bench- and pilot-scale testing completed in 2025, CWA selected reduction coagulation filtration (RCF) as the preferred treatment technology for all impacted well sites.
The RCF process works by adding a small dose of ferrous iron (ferrous chloride) to the raw water, which chemically reduces the soluble hexavalent chromium to the much less toxic trivalent form. The resulting chromium precipitate is then captured through filtration media before the water enters the distribution system. The existing sodium hypochlorite already used for disinfection at each well serves double duty as the oxidant in the RCF process, keeping the chemical systems relatively streamlined.
A Preliminary Design Report (PDR), prepared by Corona Environmental Consulting in collaboration with Water Works Engineers, establishes the design and operational parameters for RCF systems at each wellsite, along with conceptual capital and O&M cost estimates. The design targets a finished water chromium-6 concentration of 8 µg/L or less at the entry point to the distribution system, conservatively below the 10 µg/L MCL to provide a compliance buffer.
NewGen’s study incorporates both the capital and operational costs of implementing the treatment plan developed in the Preliminary Design Report.
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Study Process
NewGen completed the study using a four-step process:
Revenue Requirements – Development of the full cost of providing water service Cost of Service – Allocation of revenue requirements to customer classes or types of customers consistent with their demands on the system
Financial Plan – Development of a financial plan to fund system revenue requirements considering current and future customers and demand
Utility Pricing – Development of specific water rates consistent with the Cost-of-Service analysis and sufficient to generate revenue to meet the requirements of the Financial Plan Figure 1-1. Cost of Service Study Process
This report details the information provided to NewGen to conduct the study and NewGen’s findings, conclusions, and recommendations regarding CWA’s water rates.
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Economics | Strategy | Stakeholders | Sustainability Water Cost of Service and Rate Study Report Section 2
REVENUE REQUIREMENTS
Operating and Maintenance Costs
The CWA's operating budget is organized into two broad functional divisions: Administration and Operations. Together they reflect the full scope of activities required to manage, maintain, and deliver water service within the City of Coachella's service area.
Administration
The Administration division handles the organizational, financial, legal, and regulatory overhead of running the utility. Its expenditure categories span several areas:
Staffing and Compensation includes salaries for regular full-time employees as well as part-time and temporary staff, standby and overtime pay, and benefit-related costs such as group health insurance, payroll tax obligations, and contributions to PERS (the California Public Employees' Retirement System).
These costs reflect the management, billing, customer service, finance, and administrative personnel who keep the utility running day to day.
Professional and Legal Services covers contracted support that the authority does not staff internally, including City Attorney services (both general and special matters), professional and contract services for consulting or technical assistance, and merchant account fees associated with payment processing.
Regulatory and Franchise Obligations reflect the CWA's status as a utility operating within the City of Coachella. The budget includes a Franchise Fee Expense and an In Lieu Tax Expense, both of which represent payments to the City in lieu of the taxes and fees that a private utility would otherwise owe.
Overhead and General Expenses include communications, advertising, meetings, general office supplies, minor equipment, minor software, and dues and subscriptions.
Intergovernmental Transfers include a transfer to the City's General Fund representing a General Government Administration Fee representing the water utility’s share of citywide overhead services such as HR, IT, and finance support.
Operations
The Operations division covers the hands-on, day-to-day work of physically producing and delivering water to customers.
Field Staffing includes the wages and benefits of the crews who operate and maintain the water system such as well operators, maintenance technicians, field supervisors, and related personnel. As with administration, this includes regular salaries, standby and overtime pay (particularly important for 24/7 operational coverage and emergency response), temporary staff, group insurance, payroll taxes, and PERS retirement contributions.
Repair and Maintenance Services covers the ongoing upkeep of the distribution system, including pipeline repairs, pump and well maintenance, valve exercising, hydrant maintenance, and general infrastructure preservation.
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2-2 Water Cost of Service and Rate Study Report
Professional Services and Lab Fees reflect contracted technical support and the cost of water quality testing. Utilities are required under state and federal regulations to regularly test their water supply, and lab fees cover the analysis of samples collected throughout the system.
Energy Charges includes the electricity consumed by groundwater pumping. Extracting water from the aquifer and pressurizing it through the distribution system is highly energy-intensive, making electricity one of the dominant recurring costs of running a groundwater-based system.
Ground Water Replenishment reflects payments made for managed aquifer recharge, a practice where imported water or recycled water is injected into the ground to replenish the underlying groundwater basin. This is both an operational requirement and a water supply sustainability measure.
Equipment and Vehicle Costs cover the rental and use of equipment and vehicles necessary for field operations, including maintenance trucks, excavation equipment, and specialized tools.
Fuel is budgeted separately for the Water Department's vehicle fleet.
Communications and Supplies provide the operational infrastructure for field work, including radios or mobile communications used by crews, as well as the general supplies (fittings, pipe materials, lubricants, tools) consumed in day-to-day maintenance.
Computer Software supports operations-side systems, likely including work order management, asset management, or SCADA-adjacent software used to monitor and control the water system.
Manpower Study
In September 2023, Raftelis completed a Utility Operations Staffing Study for the City of Coachella's Utilities Department, evaluating both the Water Authority and Sanitary District across staffing levels, organizational structure, technology, and maintenance practices. Benchmarking against five peer utilities in southern California, including CVWD, Indio Water Authority, Mission Springs Water District, Desert Water Agency, and the City of Redlands, the study found that Coachella's ratios of customer accounts, pipeline miles, and wastewater volume per employee were consistently above peer averages, strongly indicating that the department was understaffed relative to its workload.
Raftelis issued nine recommendations spanning staffing additions, organizational restructuring, technology upgrades, and compensation, with the central staffing recommendation being the addition of 10 new full-time positions across both utilities, including a Chief Treatment/Distribution Operator for the Water Authority, three additional Water Operator I positions, four Wastewater Operator I positions, a shared Equipment Operator, and a shared SCADA/Instrumentation Technician.
Since the 2023 study, the City has implemented a phased-in plan to increase staffing levels consistent with the Staffing Study. NewGen’s study includes additional new staff above and beyond the FY 2026 budgeted positions to bring the number of water staff to a level consistent with the Staffing Study.
Compensation Study
In August and September 2024, Arthur J. Gallagher & Co. (Gallagher) completed a Base Compensation Study for the City of Coachella covering 12 utility-related benchmark classifications including positions such as Water Superintendent, Water Distribution Operator, Senior Water Service Worker, SCADA/Instrumentation Technician, Assistant Engineer, and several wastewater roles. The study compared the City's salaries at that time against a defined labor market of comparable water and wastewater agencies in the region.
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Revenue Requirements
Water Cost of Service and Rate Study Report 2-3
The central finding was that the City's base salaries were, on average, 12.2% below the market median.
Gallagher considered this finding significant given its standard that salaries within 5% of the median are competitive. Nearly all surveyed classifications fell below market, with some positions lagging by 20% or more. Gallagher recommended a new salary schedule and proposed range placements for each classification aligned to market median data, with the intent of providing the City with a structured, defensible framework for closing the compensation gap over time and improving its ability to recruit and retain qualified utility staff.
The City has incorporated the recommendations of the Compensation Study into its budgets, and NewGen’s study reflects labor costs consistent with the findings of the Compensation Study. The City’s plan is to adjust salaries over three years, with FY 2027 being the second year and FY 2028 being the final year.
Chromium-6 Operating Costs
The Preliminary Design Report provides O&M cost estimates of the ongoing financial burden the RCF treatment program will impose on CWA's operations. The O&M costs are broken down into five categories, as follows:
• Energy. Each RCF system adds pumping load that does not exist today related to roughly 18–25 additional horsepower per wellsite, depending on flow, and results in additional electricity consumption at each location. At CWA's current electricity rate of $0.114/kWh, the incremental annual energy cost per well ranges from roughly $5,000 to $9,000, depending on each well's utilization rate. Because CWA's wells operate at very different frequencies the energy impact varies substantially by wellsite.
• Chemicals. Two chemicals are consumed continuously by the RCF process: ferrous chloride (FeCl₂), the reducing agent that converts hexavalent chromium to its trivalent form, and sodium hypochlorite (NaOCl), the oxidant already used for disinfection that also drives the precipitation reaction. Ferrous chloride is dosed at approximately 1.13 mg/L, consuming about 12 pounds per day per well when operating at full design capacity. At $0.50/lb, the annual ferrous chloride cost per well runs roughly $4,000–$14,000 depending on utilization. Sodium hypochlorite is used in small additional amounts, adding only a few thousand dollars annually. Combined chemical costs per well fall in the range of approximately $5,000–$14,000 per year. • Residuals Management (Backwash Disposal). The filter vessels must be backwashed periodically to flush out accumulated chromium solids. For the six active wells discharging to the sanitary sewer, CWA negotiated a zero-dollar sewer discharge fee with the City of Coachella and the Valley Sanitation District, making backwash disposal essentially free from a direct-cost standpoint. The main residuals-related cost for sewer-discharge wells is a small water loss penalty resulting from the unrecovered backwash volume, which represents treated water that cannot be delivered to customers. At CWA's current water rate, this amounts to less than $200 per well per year and is essentially negligible. Well 19 is the exception: its sewer capacity constraints require a recyclebackwash approach in which backwash water is recycled back through the system and the resulting concentrated solids are hauled off-site for disposal. This makes Well 19 significantly more expensive to operate than the other wells, adding tens of thousands of dollars annually in solids disposal costs that push its total O&M to $173,000/year under the recommended design alternative, which is roughly 30–60% higher than the sewer-discharge wells. • Filter Media Replacement. The granular media inside the filter vessels (sand, anthracite, and gravel) must be replaced approximately every ten years as it loses effectiveness. The PDR Docusign Envelope ID: 0A69781F-E9A1-8C93-8289-DC1CD0665253