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City of Indian Wells Page 1
Draft Initial Study / MND Response to Comments November 2022 Draft Initial Study and Mitigated Negative Declaration
Application for
Indian Wells Tennis Gardens Sod Farm
Response to Comments
Lead Agency:
City of Indian Wells
Jon Berg, Community Development Director
78200 Miles Avenue
Indian Wells, California 92210
760-200-8400
Prepared by:
MSA Consulting, Inc.
34200 Bob Hope Drive
Rancho Mirage, CA 92270
City of Indian Wells Page 2
Draft Initial Study / MND Response to Comments November 2022 Comments and Reponses to the Comments on the Draft IS/MND
List of Commenters
The following is a list of individuals, representatives, organizations and agencies that submitted written comments on the Draft IS/MND. The City received a total of 1 comment letter from a public agency. Table 1, Comment Letters Received on the Draft IS/MND, provides a list of all comment letters received, from public agencies. Table 1 lists the ID number assigned to each comment letter, the date it was received, and commenter’s name.
Table 1
Comment Letters Received on the IS/MND
State Agencies
Letter
ID
Date Agency Commenter
1 November 21, 2022 California Department of
Fish and Wildlife
Kim Freeburn
CEQA Requirements Regarding Comments and Responses
CEQA Guidelines, Section 15204(b), outlines parameters for submitting comments on negative declarations. Persons and public agencies should focus the on the proposed finding that the project will not have a significant effect on the environment. If persons and public agencies believe that the project may have a significant effect, they should:
1. Identify the specific effect,
2. Explain why they believe the effect would occur, and
3. Explain why they believe the effect would be significant.
CEQA Guidelines, Section 15204(c) , further advises that reviewers should explain the basis for their comments, and should submit data or references offering facts, reasonable assumptions based on facts , or expert opinion supported by facts in support of the comments. Pursuant to Section 15064, an effect shall not be considered significant in the absence of substantial evidence.
CEQA does not require a lead agency to conduct every test or perform all research, study, and experimentation recommended or demanded by commenters. Lead agencies need to respond to potentially significant issues and do not need to provide all information requested by reviewers if good faith efforts at full disclosure are made in the environmental document.
City of Indian Wells Page 3
Draft Initial Study / MND Response to Comments November 2022 Responses to Comment Letters
Written comments on the Draft IS/MND are reproduced on the following pages, along with responses to those comments. Changes to the Draft IS/MND text that result from responding to comments are included on the response and noted with an underline in bold for new text and a strikeout for deleted text. The responses were prepared by MSA Consulting, Inc. on behalf of City staff.
City of Indian Wells Page 4
Draft Initial Study / MND Response to Comments November 2022 Letter 1 – California Department of Fish and Wildlife
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Draft Initial Study / MND Response to Comments November 2022
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Draft Initial Study / MND Response to Comments November 2022
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Draft Initial Study / MND Response to Comments November 2022
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Draft Initial Study / MND Response to Comments November 2022
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Draft Initial Study / MND Response to Comments November 2022
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Draft Initial Study / MND Response to Comments November 2022
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Draft Initial Study / MND Response to Comments November 2022
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Draft Initial Study / MND Response to Comments November 2022
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Draft Initial Study / MND Response to Comments November 2022
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Draft Initial Study / MND Response to Comments November 2022
City of Indian Wells Page 15
Draft Initial Study / MND Response to Comments November 2022 Comments and Responses
Comment 1: The California Department of Fish and Wildlife (CDFW) received a Mitigated Negative Declaration (MND) from the City of Indian Wells for the Project pursuant to the California Environmental Quality Act (CEQA) and CEQA guidelines.
Thank you for the opportunity to provide comments and recommendations regarding those activities involved in the Project that may affect California fish and wildlife. Likewise, we appreciate the opportunity to provide comments regarding those aspects of the Project that CDFW, by law, may be required to carry out or approve through the exercise of its own regulatory authority under the Fish and Game Code.
Response 1: The City thanks the CDFW for participating in the review of the Draft MND. In response to this comment letter.
Comment 2: CDFW Role
CDFW is California’s Trustee Agency for fish and wildlife resources and holds those resources in trust by statute for all the people of the State. (Fish & G. Code, §§ 711.7, subd. (a) & 1802; Pub.
Resources Code, § 21070; CEQA Guidelines § 15386, subd. (a).) CDFW, in its trustee capacity, has jurisdiction over the conservation, protection, and management of fish, wildlife, native plants, and habitat necessary for biologically sustainable populations of those species. (Id., § 1802.) Similarly, for purposes of CEQA, CDFW is charged by law to provide, as available, biological expertise during public agency environmental review efforts, focusing specifically on projects and related activities that have the potential to adversely affect fish and wildlife resources.
CDFW is also submitting comments as a Responsible Agency under CEQA. (Pub. Resources Code, § 21069; CEQA Guidelines, § 15381.) CDFW expects that it may need to exercise regulatory authority as provided by the Fish and Game Code. As proposed, for example, the Project may be subject to CDFW’s lake and streambed alteration regulatory authority. (Fish & G. Code, § 1600 et seq.) Likewise, to the extent implementation of the Project as proposed may result in “take” as defined by State law of any species protected under the California Endangered Species Act (CESA) (Fish & G. Code, § 2050 et seq.), related authorization as provided by the Fish and Game Code will be required.
Response 2: This introductory comment describing the role of CDFW role as a trustee agency does not identify a specific concern or question regarding the adequacy of the MND in identifying and analyzing the potential environmental impacts of the project. For this reason, no further response to this comment is provided.
Comment 3: Project Description Summary
City of Indian Wells Page 16
Draft Initial Study / MND Response to Comments November 2022 Proponent: Garden of Champions, LLC
Objective: The Project proposes to develop a sod grass parking lot for additional parking for the Indian Wells Tennis Gardens (IWTG). The project will be an expansion of the existing IWTG sod grass parking lot facilities immediately to the east. The project will operate as a year-round sod farm with seasonal event parking. The project will provide paved ingress/egress roads, sidewalks, signage, and ride share drop-off/pick-up facilities, located along the project frontage on Miles Avenue. The project site occupies approximately 17 acres south of Miles Avenue and approximately 0.30 miles west of Washington Street in the City of Indian Wells. The Whitewater River is located south and directly adjacent to the Project site.
Location: The Project site occupies approximately 17 acres south of Miles Avenue and approximately 0.30 miles west of Washington Street in the City of Indian Wells, Riverside County, California. The Project site is located within Assessor’s Parcel Number (APN) 604-640-015.
Timeframe: The MND does not include information on a timeframe.
Response 3: This comment provides a summary of the project and does not identify a specific concern or question regarding the adequacy of the Draft MND in identifying and analyzing the potential environmental impacts of the project. For this reason, no further response to this comment is provided.
Comment 4: Comments and Recommendations
CDFW’s comments and recommendations on the MND are explained in greater detail below and summarized here. CDFW is concerned that there is insufficient information in the MND for CDFW to conduct a meaningful review of impacts to biological resources. The MND lacks an accurate description of baseline physical conditions of the Project site; therefore, the MND lacks considerations of the significance of impacts to any special-status plant and animal species that may occupy the site. Without accurate information on baseline physical conditions, CDFW is unable to assess the changes the Project may have on baseline conditions and if these changes are significant. Without this information, CDFW is also unable to provide input on the appropriateness of avoidance, minimization, and mitigation measures. Also, the MND does not discuss the Project’s potential indirect impacts to biological resources within the Whitewater River, located adjacent to the Project site.
CDFW recommends that the MND is revised to include a complete assessment and analysis of impacts to biological resources. CDFW also recommends that additional avoidance and minimization measures are added to a revised MND to protect burrowing owls, other nesting birds, and other biological resources both within the Project site and within the adjacent Whitewater River.
City of Indian Wells Page 17
Draft Initial Study / MND Response to Comments November 2022 CDFW offers the comments and recommendations below to assist the City of Indian Wells in adequately identifying and/or mitigating the Project’s significant, or potentially significant, direct and indirect impacts on fish and wildlife (biological) resources.
Response 4: As addressed in the MND, the site has been rough graded and stabilized with sod grass. Exhibit 1 includes photographs of existing project site conditions, which were used to describe the baseline physical conditions of the project site. As illustrated in Exhibit 1, the existing project conditions are described as disturbed, graded and stabilized, and characterize the baseline physical conditions described in the MND. As addressed in more detail in the responses to the specific comments below, the MND concluded that the project would not result in any significant impacts to biological resources due to these disturbed conditions.
See Response 6 for discussion on the project’s potential indirect impacts to biological resources within the Whitewater River, located adjacent to the Project site.
See Responses 5, 6, and 7 for discussion addressing CDFW’s recommendations for burrowing owls, other nesting birds, and other biological resources both within the Project site and within the adjacent Whitewater River.
Comment 5: 1) Assessment and Analysis of Impacts to Biological Resources
The MND indicates that that the Project site (APN 604-640-015) has been rough graded and stabilized with sod grass. The MND also indicates that the Project site contains no known significant biological resources (pp. 2, 21). The MND does not indicate if a field assessment or any other biological surveys were conducted at the Project site. Aerial imagery from November 2022 and street-level photos accessed via Google Earth Pro indicate that the Project site is not stabilized with sod grass but contains a sparce cover (typical of desert habitats) of vegetation including native plants like creosote bush (Larrea tridentata). The California Natural Diversity Database (CNDDB) indicates historical observations of a number of special-status species within a one-mile radius of the Project site, including, but not limited to, cottonheads (Nemacaulis denudate var. gracilis; California Rare Plant Rank 2B.2), desert sand-verbena (Abronia villosa var. aurita; California Rare Plan Rank 1B.1), and Coachella Valley milkvetch (Astragalus lentiginosus var. coachellae; CVMSHCP Covered Species).
Without accurate information on baseline physical condition of the Project site, CDFW is unable to conduct a meaningful review of the Project’s impacts on biological resources. Section 15125(c) of the CEQA Guidelines states that knowledge of the regional setting of a project is critical to the assessment of environmental impacts and that special emphasis should be placed on environmental resources that are rare or unique to the region. To enable CDFW staff to adequately review and comment on the project, the MND should include a complete assessment of the flora and fauna within and adjacent to the Project footprint, with particular emphasis on identifying rare, threatened, endangered, and other sensitive species and their associated habitats.
CDFW recommends that the MND is revised to include the following:
City of Indian Wells Page 18
Draft Initial Study / MND Response to Comments November 2022
1. An assessment of the various habitat types located within the project footprint and a map that identifies the location of each habitat type. CDFW recommends that floristic, alliance- and/or association-based mapping and assessment be completed following The Manual of California Vegetation, second edition (Sawyer et al. 20092). Adjoining habitat areas should also be included in this assessment where site activities could lead to direct or indirect impacts offsite. Habitat mapping at the alliance level will help establish baseline vegetation conditions.
2. A general biological inventory of the fish, amphibian, reptile, bird, and mammal species that are present or have the potential to be present within each habitat type onsite and within adjacent areas that could be affected by the project. CDFW’s California Natural Diversity Database (CNDDB) in Sacramento should be contacted at (916) 322-2493 or [email protected] to obtain current information on any previously reported sensitive species and habitat, including Significant Natural Areas identified under Chapter 12 of the Fish and Game Code, in the vicinity of the proposed Project.
Please note that CDFW’s CNDDB is not exhaustive in terms of the data it houses, nor is it an absence database. CDFW recommends that it be used as a starting point in gathering information about the potential presence of species within the general area of the project site.
3. A complete, recent inventory of rare, threatened, endangered, and other sensitive species located within the Project footprint and within offsite areas with the potential to be affected, including California Species of Special Concern (CSSC) and California Fully Protected Species (Fish & G. Code, § 3511). Species to be addressed should include all those which meet the CEQA definition (CEQA Guidelines § 15380). The inventory should address seasonal variations in use of the Project area and should not be limited to resident species. Focused species-specific surveys, completed by a qualified biologist and conducted at the appropriate time of year and time of day when the sensitive species are active or otherwise identifiable, are required. Acceptable species-specific survey procedures should be developed in consultation with CDFW and the U.S. Fish and Wildlife Service, where necessary. Note that CDFW generally considers biological field assessments for wildlife to be valid for a one-year period, and assessments for rare plants may be considered valid for a period of up to three years. Some aspects of the proposed Project may warrant periodic updated surveys for certain sensitive taxa, particularly if the Project is proposed to occur over a protracted time frame, or in phases, or if surveys are completed during periods of drought.
If the City of Indian Wells forgoes the recommended complete inventory of biological resources and analysis and disclosure of these potential resource impacts in a revised MND, CDFW recommends that the following mitigation measure is added to a revised MND:
Mitigation Measure [A]: Assessment of Biological Resources
City of Indian Wells Page 19
Draft Initial Study / MND Response to Comments November 2022 Prior to construction or issuance of a grading permit, the Project applicant will submit to the City and CDFW the results of an assessment of biological resources as described below:
A complete, recent inventory of rare, threatened, endangered, and other sensitive species located within the Project footprint and within offsite areas with the potential to be affected, including California Species of Special Concern (CSSC) and California Fully Protected Species (Fish and Game Code § 3511). Species to be addressed should include all those which meet the CEQA definition (CEQA Guidelines § 15380). The inventory shall address seasonal variations in use of the Project area and shall not be limited to resident species. Focused species-specific surveys, completed by a CVMSHCP Acceptable Biologist and conducted at the appropriate time of year and time of day when the sensitive species are active or otherwise identifiable, are required. Acceptable species- specific survey procedures should be developed in consultation with CDFW and the U.S.
Fish and Wildlife Service, where necessary.
If any rare, threatened, endangered, and other sensitive species are observed within the Project footprint, the Project applicant will prepare a report for review and approval by the City of Indian Wells and CDFW detailing both actions to avoid and minimize impacts to the species and, for species not covered by the CVMSHCP, a mitigation strategy for all unavoidable impacts to these species that reduces Project impacts to a level that is less than significant.
Response 5: The online imagery observed by the Department is outdated. Please see Exhibit 1 for current images of the project site. The photographs were taken November 22, 2022 at the project’s northwest, northeast, and southeast corners. Per the photographs, and as described in the MND, the site has been graded and is stabilized with sod grass. Thus, sparce cover (typical of desert habitats) of vegetation including native plants like creosote bush is not on the property.
Additionally, special-status species established by the CNDDB do not occur onsite. Moreover, the property does not include rare, threatened, endangered, and other sensitive species onsite.
Considering the existing project site conditions, the following is not necessary:
1. An assessment of the various habitat types within the project footprint and map;
2. A general biological inventory of the fish, amphibian, reptile, bird, and mammal species that are present or have the potential to be present within each habitat type onsite and within adjacent areas that could be affected by the project.
3. A complete, recent inventory of rare, threatened, endangered, and other sensitive species located within the project footprint and within offsite areas with the potential to be affected.
Additionally, due to the existing site conditions, the mitigation recommended by the CDFW regarding an assessment and analysis of impacts to biological resources is not necessary.
Comment 6: 2) Burrowing Owls
The MND does not discuss if the Project site has the potential to provide suitable foraging and/or nesting habitat for burrowing owl (Athene cunicularia; California Species of Special Concern and
City of Indian Wells Page 20
Draft Initial Study / MND Response to Comments November 2022 CVMSHCP Covered Species). Burrowing owls have been identified in the Whitewater River upstream and downstream of the Project site, and suitable burrowing owl foraging and/or nesting habitat may exist within the Project site or adjacent to the Project site in the Whitewater River.
Take of individual burrowing owls and their nests is defined by Fish and Game Code section 86, and prohibited by sections 3503, 3503.5, and 3513. Take is defined in Fish and Game Code section 86 as “hunt, pursue, catch, capture or kill, or attempt to hunt, pursue, catch, capture or kill.” CDFW recommends that the City of Indian Wells follow the recommendations and guidelines provided in the Staff Report on Burrowing Owl Mitigation (CDFG 20123). The Staff Report on Burrowing Owl Mitigation, specifies three steps for project impact evaluations:
A habitat assessment;
Surveys; and
An impact assessment
As stated in the Staff Report on Burrowing Owl Mitigation, the three progressive steps are effective in evaluating whether a project will result in impacts to burrowing owls, and the information gained from the steps will inform any subsequent avoidance, minimization, and mitigation measures. Habitat assessments are conducted to evaluate the likelihood that a site supports burrowing owl. Burrowing owl surveys provide information needed to determine the potential effects of proposed projects and activities on burrowing owls, and to avoid take in accordance with Fish and Game Code sections 86, 3503, and 3503.5. Impact assessments evaluate the extent to which burrowing owls and their habitat may be impacted, directly or indirectly, on and within a reasonable distance of a proposed CEQA project activity or non-CEQA project.
CDFW recommends that the MND is revised to include the findings of a burrowing owl habitat assessment, focused surveys, and an impact assessment. If occupied burrows are located within or near the Project site, including the Whitewater River located to the south of the Project site, avoidance and minimization measures need to be identified in the MND to support the Project applicant in avoiding the unlawful take of burrowing owls and their nests and eggs.
CDFW recommends that the following mitigation measure is added to a revised MND:
Mitigation Measure BIO-[B]: Burrowing Owls
No less than 60 days prior to the start of Project-related activities, a burrowing owl habitat assessment shall be conducted by a qualified biologist according to the specifications of the Staff Report on Burrowing Owl Mitigation (California Department of Fish and Game, March 2012 or most recent version).
If the habitat assessment demonstrates suitable burrowing owl habitat, then focused burrowing owl surveys shall be conducted by a qualified biologist according to the Staff Report on Burrowing Owl Mitigation. If burrowing owls are detected during the focused surveys, the qualified biologist and Project Applicant shall prepare a Burrowing Owl Plan that shall be submitted to CDFW for review and approval prior to commencing Project activities. The Burrowing Owl Plan shall describe proposed avoidance,
City of Indian Wells Page 21
Draft Initial Study / MND Response to Comments November 2022 monitoring, relocation, and minimization. The Burrowing Owl Plan shall include the number and location of occupied burrow sites, acres of burrowing owl habitat that will be impacted, details of site monitoring, and details on proposed buffers and other avoidance measures if avoidance is proposed. If impacts to occupied burrowing owl habitat or burrow cannot be avoided, the Burrowing Owl Plan shall also describe the avoidance and minimization actions that will be implemented. Proposed implementation of burrow exclusion and closure should only be considered as a last resort, after all other options have been evaluated as exclusion is not in itself an avoidance, minimization, or mitigation method and has the possibility to result in take. If impacts to occupied burrows cannot be avoided, information shall be provided regarding adjacent or nearby suitable habitat available to owls along with proposed relocation actions. If no suitable habitat is available nearby, details regarding the creation and funding of artificial burrows (numbers, location, and type of burrows) and management activities for relocated owls shall also be included in the Burrowing Owl Plan. The Permittee shall implement the Burrowing Owl Plan following CDFW review and approval.
Preconstruction burrowing owl surveys shall be conducted no less than 14 days prior to the start of Project-related activities and within 24 hours prior to ground disturbance, in accordance with the Staff Report on Burrowing Owl Mitigation (2012 or most recent version). Preconstruction surveys should be performed by a qualified biologist following the recommendations and guidelines provided in the Staff Report on Burrowing Owl Mitigation. If the preconstruction surveys confirm occupied burrowing owl habitat, Project activities shall be immediately halted. The qualified biologist shall coordinate with CDFW and prepare a Burrowing Owl Plan that shall be submitted to CDFW for review and approval prior to commencing Project activities.
Response 6: As described in the MND and indicated in Exhibit 1, the project site is heavily disturbed, and does not contain suitable habitat for burrowing owls. However, the MND included a pre-construction survey as a mitigation measure because burrowing owls were identified on the adjacent Tennis Garden site. Therefore, with mitigation, the MND determined that less than significant impacts are anticipated from the implementation of the project.
Additionally, the Whitewater Channel is maintained by CVWD by periodic dredging to manage flood control drainage. This is done to keep vegetation out of the Channel which would otherwise restrict stormwater flows during storm events, and ensure the associated debris and vegetation is not carried downstream clogging culverts and drop-structures, etc. This maintenance activity from CVWD occurs periodically and removes any temporary nesting bird habitat “desert scrub vegetation” from the Channel.
With the foregoing, a project impact evaluation, which involves a habitat assessment, surveys, and an impact assessment, is not necessary. However, Mitigation Measure BIO-1, as outlined in the MND, required a preconstruction survey prior to any ground disturbance. Mitigation Measure BIO-1 has been revised to state the following, per CDFW’s request:
“BIO-1: A pre-construction survey shall be conducted on the project site no less than 14 within 30 days prior to the start of any project-related activities and within 24 hours
City of Indian Wells Page 22
Draft Initial Study / MND Response to Comments November 2022 prior to ground disturbance to avoid a direct take of burrowing owls (BUOW), in accordance with the Staff Report on Burrowing Owl Mitigation (2012 or most recent version). Preconstruction surveys should be performed by a qualified biologist following the recommendations and guidelines provided in the Staff Report on Burrowing Owl Mitigation. The qualified biologist shall coordinate with and submit a Burrowing Owl Plan to the CDFW for review and approval prior to commencing project activities. The qualified biologist conducting the 30-day pre-construction BUOW survey must submit a letter report to the City of Indian Wells documenting the results of the survey.”
Comment 7: 3) Nesting Birds
The MND indicates that the Project site contains no known significant biological resources (pp. 2, 21). Aerial imagery from November 2022 and street-level photos accessed via Google Earth Pro indicate that the Project site contains sparse cover of shrubs and trees including, but not limited to, creosote bush (Larrea tridentata). Many bird species nest in trees and shrubs, while some birds nest on the ground like killdeer (Charadrius vociferus) and others nest in burrows (burrowing owl). Project activities include grading the Project site, which may impact nesting birds.
It is the Project proponent’s responsibility to comply with all applicable laws related to nesting birds and birds of prey. Fish and Game Code sections 3503, 3503.5, and 3513 afford protective measures as follows: section 3503 states that it is unlawful to take, possess, or needlessly destroy the nest or eggs of any bird, except as otherwise provided by Fish and Game Code or any regulation made pursuant thereto. Fish and Game Code section 3503.5 makes it unlawful to take, possess, or destroy any birds in the orders Falconiformes or Strigiformes (birds-of-prey) or to take, possess, or destroy the nest or eggs of any such bird except as otherwise provided by Fish and Game Code or any regulation adopted pursuant thereto. Fish and Game Code section 3513 makes it unlawful to take or possess any migratory nongame bird except as provided by rules and regulations adopted by the Secretary of the Interior under provisions of the Migratory Bird Treaty Act of 1918, as amended (16 U.S.C. § 703 et seq.).
To support the Project applicant in avoiding the illegal take of nests, eggs, and nesting birds, CDFW recommends that the following mitigation measure is added to a revised MND:
Mitigation Measures BIO-[C]: Nesting Birds
Nesting bird surveys shall be performed by a qualified avian biologist no more than 3 days prior to vegetation removal or ground-disturbing activities. Pre-construction surveys shall focus on both direct and indirect evidence of nesting, including nest locations and nesting behavior. The qualified avian biologist will make every effort to avoid potential nest predation as a result of survey and monitoring efforts. If active nests are found during the pre-construction nesting bird surveys, a qualified biologist shall establish an appropriate nest buffer to be marked on the ground. Nest buffers are species specific and shall be at least 300 feet for passerines and 500 feet for raptors. A smaller or larger buffer may be determined by the qualified biologist familiar with the nesting
City of Indian Wells Page 23
Draft Initial Study / MND Response to Comments November 2022 phenology of the nesting species and based on nest and buffer monitoring results.
Established buffers shall remain on site until a qualified biologist determines the young have fledged or the nest is no longer active. Active nests and adequacy of the established buffer distance shall be monitored daily by the qualified biologist until the qualified biologist has determined the young have fledged or the Project has been completed. The qualified biologist has the authority to stop work if nesting pairs exhibit signs of disturbance.
Response 7: As described in the MND and indicated in Exhibit 1, the project site is heavily disturbed, graded, and includes irrigated turf to stabilize dust blowing from the site. The project site does not contain sparse cover of shrubs and trees. Additionally, as stated in Response 5, the Whitewater Channel is maintained by CVWD by periodic dredging to manage flood control drainage. This is done to keep vegetation out of the Channel which would otherwise restrict stormwater flows during storm events, and ensure the associated debris and vegetation is not carried downstream clogging culverts and drop-structures, etc. This maintenance activity from CVWD occurs periodically and removes any temporary nesting bird habitat “desert scrub vegetation” from the Channel. The graded and active site does not provide nesting habitat for bird species. As stated on page 22 of the MND, past disturbance of the site makes it unlikely that the site servs as a migratory wildlife corridor or a native wildlife nursery site. Therefore, the project would not result in the take of any migratory bird under the Migratory Bird Treaty Act. However, as stated above, the project proponent shall conduct a preconstruction survey prior to any ground disturbance to avoid a direct take of burrowing owls (Mitigation Measure BIO-1).
Comment 8: 4) Artificial Nighttime Lighting
The MND indicates that the Project site is located directly adjacent to the Whitewater River, and that Project activities include outdoor lightning plan including both permanent tennis stadium lightning mounted on 90-feet tall steel poles and temporary portable lightning up to 25-feet high for special event parking (pp. 12-13). The MND also indicates that light fixtures will be downward- orientated and may incorporate motion sensors. Examples of lightning fixtures that may be used were also provided.
MND lacks an analysis of direct and indirect impacts that artificial nighttime lightning may have on biological resources located within the Whitewater River. The section of the Whitewater River located adjacent to the Project site contains sparce cover of vegetation cover that may support nesting birds. This section of the Whitewater River may also have suitable burrowing owl nesting habitat. The Whitewater River also serves as an important biological corridor for wildlife.
Available research indicates that artificial nighttime lighting alters ecological processes including, but not limited to, the temporal niches of species; the repair and recovery of physiological function; the measurement of time through interference with the detection of circadian and lunar and seasonal cycles; and the detection of resources and natural enemies and navigation4. Further, many of the effects of artificial nighttime lightning on population or ecosystem-level processes are still poorly known.
Artificial nighttime lightning within or near the Whitewater River should be avoided completely or minimized by fully shielding all light sources, directing light away from natural areas, reducing
City of Indian Wells Page 24
Draft Initial Study / MND Response to Comments November 2022 light intensity, and lowering the height of all lightning sources, among other strategies to minimize the negative impacts of nighttime lightning. CDFW recommends that the MND be updated to include a discussion of the direct and indirect impacts of artificial lighting expected to adversely affect biological resources in the Whitewater River, as well as migratory birds that fly at night, bats, and other nocturnal and crepuscular wildlife. In addition, appropriate avoidance and minimization measures should be included in the IS/MND.
Because of the potential for artificial nighttime lighting used during construction and during operation of the Project to adversely impact biological resources, CDFW recommends that the City of Indian Wells add the following mitigation measure to a revised MND:
Mitigation Measure BIO-[D]: Artificial Nighttime Lighting
During Project construction activities and long-term operations, the Project shall eliminate all nonessential lighting throughout the Project area and avoid or limit the use of artificial light during the hours of dawn and dusk when many wildlife species are most active. Ensure that lighting for Project activities is shielded, cast downward, and does not spill over onto other properties or upward into the night sky (see the International Dark-Sky Association standards at http://darksky.org/) . The height of lightning sources will also be minimized. Use LED lighting with a correlated color temperature of 3,000 Kelvins or less, properly dispose of hazardous waste, and recycle lighting that contains toxic compounds with a qualified recycler.
Response 8: The MND states that the Indian Wells Tennis Gardens currently consists of permanent tennis stadium and practice court lights mounted on 90-feet tall steel poles, and temporary portable lighting up to 25-feet high used on sod grass overflow parking areas. These lights are existing and operate as part of the offsite Tennis Garden stadium facilities and are not proposed as part of the project.
The permanent lighting proposed for the project will only be installed along the entryway and new rideshare lane on Miles Avenue. The lights will be motion detected lighting and only used during the BNP Paribas tennis tournament in April (for 3 weeks). The parking lot lighting in the turf area will be portable temporary lights, as are currently used during the BNP Paribas tournament in the adjacent existing turf parking lot immediately to the east (also not permanent). Exhibit 2 has been included to illustrate the Photometric Plan for the proposed project. The photometric exhibit indicates that the foot candles are 0.0 at the interface of the project’s entry road and the Whitewater River stormwater channel. Therefore, the proposed lighting for the project would not result in nighttime lighting within or near the Whitewater River channel, and revisions to the MND or mitigation is not necessary.
Comment 9: 5) CVMSHCP Implementation
The proposed Project occurs within the CVMSHCP Plan Area, is not located within a Conservation Area, and is subject to the provisions and policies of the CVMSHCP. To be considered a covered activity, the Permittees need to demonstrate that proposed actions are consistent with the CVMSHCP and its associated Implementing Agreement. Among other
City of Indian Wells Page 25
Draft Initial Study / MND Response to Comments November 2022 obligations under the CVMSHCP, the City of Indian Wells is required to collect Local Development Mitigation Fees and transmit them to the Coachella Valley Conservation Commission. CDFW recommends that the City of Indian Wells add the following mitigation measures to a revised MND:
Mitigation Measure BIO-[E]: CVMSHCP Compliance
Prior to construction and issuance of any grading permit, the City of Indian Wells shall ensure compliance with the Coachella Valley Multiple Species Habitat Conservation Plan (CVMSHCP) and its associated Implementing Agreement and shall ensure the collection and payment of the CVMSHCP Local Development Mitigation Fee.
Response 9: As stated in the MND, the project is not in a Conservation Area and the City, as a participant in the MSHCP, is required to comply with all relevant CVMSHCP policy. This includes the payment of fees. Pages 21 and 22 of the MND required that the project implement these fees.
These fees are collected at issuance of Building Permits as a Standard Condition, however, to satisfy the CDFW’s request, the mitigation above will be included in the MND.
“BIO-2: Prior to construction and issuance of any grading permit, the City of Indian Wells shall ensure compliance with the Coachella Valley Multiple Species Habitat Conservation Plan (CVMSHCP) and its associated Implementing Agreement and shall ensure the collection of payment of the CVMSHCP Local Development Mitigation Fee.”
Additionally, previous onsite disturbance was required to pay all development impact fees, including the CVMSHCP Local Development Mitigation Fee.
Comment 10: Environmental Data
CEQA requires that information developed in environmental impact reports and negative declarations be incorporated into a database which may be used to make subsequent or supplemental environmental determinations. (Pub. Resources Code, § 21003, subd. (e).) Accordingly, please report any special status species and natural communities detected during Project surveys to the California Natural Diversity Database (CNDDB). The CNNDB field survey form can be filled out and submitted online at the following link:
https://wildlife.ca.gov/Data/CNDDB/Submitting-Data .
The types of information reported to CNDDB can be found at the following link:
https://www.wildlife.ca.gov/Data/CNDDB/Plants-and-Animals .
Response 10: The City thanks the Department for this information. However, due to the disturbed character of the project site, special status species and natural communities are not located on the project site. See Exhibit 1, and above responses.
Comment 11: Environmental Document Filing Fees
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Draft Initial Study / MND Response to Comments November 2022 The Project, as proposed, would have an impact on fish and/or wildlife, and assessment of environmental document filing fees is necessary. Fees are payable upon filing of the Notice of Determination by the Lead Agency and serve to help defray the cost of environmental review by CDFW. Payment of the environmental document filing fee is required in order for the underlying project approval to be operative, vested, and final. (Cal. Code Regs, tit. 14, § 753.5; Fish & G.
Code, § 711.4; Pub. Resources Code, § 21089.)
Response 11: The City thanks the Department for this information. As a standard Condition of Project Approval, the project proponent shall comply with filing environmental document filing fees compliant with Cal. Code Regs, tit. 14, § 753.5; Fish & G. Code, § 711.4; Pub. Resources Code, § 21089.
Comment 12: Conclusions
CDFW appreciates the opportunity to comment on the MND to assist the City of Indian Wells in identifying and mitigating Project impacts to biological resources. CDFW recommends that a complete assessment of biological resources be completed for the Project to identify baseline biological conditions, including the presence of any special status species; to assess if the Project will make significant changes to these baseline conditions; and to inform appropriate avoidance, minimization, and mitigation measures. CDFW also recommends that additional avoidance and minimization measures are added to a revised MND to protect burrowing owls, other nesting birds, and other biological resources both within the Project site and within the adjacent Whitewater River. CDFW personnel are available for consultation regarding biological resources and strategies to minimize impacts. Questions regarding this letter or further coordination should be directed to Jacob Skaggs, Environmental Scientist, at [email protected].
Response 12: The City thanks the Department for their participation in this process. This comment summarizes and concludes the Department’s letter. No additional response required.
SITE PHOTOGRAPHS - NORTHWEST CORNER
EXHIBIT 1
PARKING LOT EXPANSION - INDIAN WELLS TENNIS GARDENPage 370 of 388
SITE PHOTOGRAPHS - NORTHWEST CORNER
EXHIBIT 1
PARKING LOT EXPANSION - INDIAN WELLS TENNIS GARDENPage 371 of 388
SITE PHOTOGRAPHS - NORTHEAST CORNER
PARKING LOT EXPANSION - INDIAN WELLS TENNIS GARDEN
EXHIBIT 1Page 372 of 388
SITE PHOTOGRAPHS - SOUTHEAST CORNER
PARKING LOT EXPANSION - INDIAN WELLS TENNIS GARDEN
EXHIBIT 1Page 373 of 388
PHOTOMETRIC PLAN
PARKING LOT EXPANSION - INDIAN WELLS TENNIS GARDEN
EXHIBIT 2Page 374 of 388
INDIAN WELLS CITY COUNCIL
November 28, 2022
To: City Council
From: Finance Department
Prepared by: Kevin McCarthy, City Finance Director
Subject: Resolution Amending the City’s Resident and
Resident Guest Amenity Fees
RECOMMENDED ACTION:
Council APPROVES Resolution Amending the Resident Amenity Fee.
DISCUSSION:
SUMMARY
During the October 3, 2022, City Council Meeting, Council directed the Golf Ad Hoc Committee to consider options to amend the methodology for the computation of the Resident Amenity Fee. The Golf Resort Ad Hoc Committee met with Staff to discuss opportunities to re-craft the fee to be more equitable and balanced, including all relevant golf rate categories. Based on discussions with the City auditors and the Golf Ad Hoc Committee, a weighted average calculation is recommended for the City Council's consideration.
BACKGROUND
Current Resident and Guest Golf Rates
Indian Wells residents possessing a Resident Benefit Card may play the golf courses at the Indian Wells Golf Resort for a discounted rate. The discounted rate varies seasonally:
January 1 – April 30, Residents play at a discounted rate of $50.00 May 1 – December 31 Residents play at a discounted rate of $35.00 Resident Walk-ups (without a reserved tee time) play at a discounted rate of $35.00 year-round.
All residents must present their resident benefit card at check-in to receive the special resident rates.
Indian Wells residents possessing a Resident Benefit Card also receive significant discounts for their friends and family. When accompanied by a resident, the discounted resident guest rate is as follows:
July 1 - August 21: The Resident Guest Rate is $55 (Monday - Thursday); $65 (Friday - Sunday)
August 30 - September 30: The Resident Guest Rate is $65 (Monday - Thursday); $75 (Friday - Sunday)
October 1 - April 30: The Resident Guest Rate is $110 (Monday - Thursday); $110 (Friday - Sunday)
May 1 - May 17: The Resident Guest Rate is $89 (Monday - Thursday); $99 (Friday - Sunday)
May 18 - May 31: The Resident Guest Rate is $79 (Monday - Thursday); $89 (Friday - Sunday)
June 1 - June 20: The Resident Guest Rate is $55 (Monday - Thursday); $65 (Friday - Sunday)
Special Revenue Fund: 1984-2017
Between 1984 and 2017, the Golf Resort was operated as a Special Revenue Fund , which accounted for the operations of the Golf Course Operator. Capital expenses, City administrative costs, and depreciation were accounted for in separate funds. This made it difficult to track the total costs of the Golf Resort.
Business Enterprise Fund: 2018
In 2018, the City Council decided to change the Golf Resort to a Business Enterprise fund which would allow for tracking capital expenses, City administrative costs, and depreciation in one business fund. City Staff worked with its auditor to remove the Golf Resort’s assets and deprecation from the City and place them into the newly created business enterprise fund. The business enterprise fund is a separate accounting and financial reporting mechanism for which revenues and expenditures are segregated into a fund with financial statements separate from all other governmental activities. This meant the Golf Resort would operate as a stand-alone business.
The Resident Amenity Fee
The decision to operate the Golf Resort as a for-profit business meant the Council needed to address the lost opportunity revenue brought about by the decision to offer low-cost Resident and Resident Guest rates. Council had previously implemented various forms of General Fund subsidies such as the “cost of golf” methodology or a “Resident Community” fee.
The City developed the Resident Amenity Fee (“RAF”) methodology in response to the creation of the Golf Enterprise Fund. The Resident Amenity Fee is the General Fund subsidy (expenditure) paid to the Indian Wells Golf Resort for the lost opportunity revenue that the Golf Resort, as a stand-alone business, would have otherwise received from a non- resident tee time.
Current Methodology Used to Calculate the RAF
During the May 16, 2019, City Council meeting, the Council discussed and implemented the current Resident Amenity Fee. The current methodology for calculating the Resident Amenity Fee is outlined below. Attachment #1 of this report includes the terms and definitions utilized in the computation.
1. Monthly, the Golf Resort determines the Mathematical Average rate in three round categories: (1) Eighteen Hole Prime, (2) Eighteen Hole Non-Prime, and (3) Tournaments.
2. Next, determine the average monthly Resident Rate by dividing the total amount of Resident golf fee revenue collected by the total number of Resident Rounds played. (Resident Golf Revenue/Resident Rounds).
3. Calculate the RAF by determining the variance between the mathematical average and Resident Rate (computed in step 2), then multiply it by the total number of Resident Rounds played. (“mathematical average” less the average Resident Rate) * (Resident Rounds).
The current methodology has been criticized since some 18-hole rate categories were omitted from the calculation (e.g., Troon Rewards Program, Wholesale, and other categories.). As such, the Golf Ad Hoc Committee, in consultation with the City’s auditors and Staff, has developed a much more equitable methodology based upon weighted averages of golf rate categories determined per hour, per day, and per course basis, all but three categories are included in the calculation.
Proposed Methodology Used to Calculate the RAF
The proposed new RAF methodology is preferred for several reasons:
1. Auditors support and recommend the new method;
2. Includes previously omitted rate categories;
3. Computed on an hourly basis of use rather than monthly averages of uses and rates in the existing methodology.
The proposed new RAF methodology is as follows:
1. The Golf Resort determines the Weighted Average (per hour, category, and course) of actual rounds in eight round categories: (1) Eighteen Hole Prime, (2) Eighteen Hole Non-Prime, (3) Tournaments, (4) PGA Tour, (5) Troon Programs, (6) Wholesaler, (7) nine-hole, and (8) Special. The Weighted Average methodology calculates the average hourly rate in each category, and the number of actual rounds played in each category.
2. Next, determine the average Resident Rate by dividing the total amount of Resident golf fee revenue collected by the total number of Resident Rounds played per hour, per day, and course basis. (Resident Golf Revenue/Resident Rounds).
3. Calculate the Resident Amenity Fee by determining the variance between the Weighted Average and Resident Rate on a per-hour, per-day, and per-course basis, then multiply it by the actual number of Indian Wells Resident Rounds played on a per-hour per course basis. (“weighted average” less the Resident Rate) * (Resident Rounds).
The weighted average formula includes the Eighteen Hole Prime, Eighteen Hole Non- Prime, Tournaments, PGA Tour, Troon Programs, Wholesaler, the nine -hole and afternoon rates, and the Special category.
The weighted average formula excludes the PGA/Cart, Juniors, and comp rounds. These rate categories are omitted because they are either courtesy rates provided to PGA members and children playing after 3:00 pm or rate categories used for sales, marketing, and potential revenue-generating opportunities. In addition, Resident and resident guest rates are removed in determining the statistical average.
Proposed Methodology Used to Calculate the Resident Guest Amenity Fee
The Resident Guest Rate was modified in 2019 by the Golf Resort Advisory Committee and is calculated based on the annualized cost of golf under the theory that the Golf Resort should not profit off a Resident’s friends or family.
During the year, the fees collected would equal the cost of golf on a per-round basis. To capture the average cost of golf per round ($90 in 2019), Resident Guest rates vary from $110 during the season to $55 during the summer. This staff report shows a complete breakdown of seasonal rates in the “Current Resident and Guest Golf Rates” section.
Since implementing the Resident Guest Rate, the Golf Resort has not captured any subsidy of this rate for accounting purposes. Therefore, the weighted average methodology is recommended for applying to the Resident Guest Amenity Fee.
1. The Golf Resort determines the Weighted Average (per hour, category, and course) of actual rounds in eight round types: (1) Eighteen Hole Prime, (2) Eighteen Hole Non-Prime, (3) Tournaments, (4) PGA Tour, (5) Troon Programs, (6) Wholesaler, (7) nine-hole, and (8) Special. The Weighted Average methodology calculates the average hourly rate in each category, and the number of actual rounds played in each category.
2. Next, determine the average per hour per course Resident Guest Rate by dividing the total amount of Resident Guest golf fee revenue collected by the total number of Resident Rounds played on a per hour, per day, and course basis. (Resident Guest Golf Revenue/Resident Guest Rounds).
3. Calculate the Resident Guest Amenity Fee by determining the variance between the Weighted Average and Resident Guest Rate on a per hour, per day, and per course basis, then multiply it by the actual number of Indian Wells Resident Guest Rounds played on a per hour, per day, and per course basis. (“weighted average” less the Resident Guest Rate) * (Resident Guest Rounds).
FISCAL IMPACT
Using annualized data from the Fiscal Year 2021-22, implementing the Weighted Average of actual rounds in seven round categories, as explained above, will reduce the annual General Fund subsidy for the RAF by $210,721, roughly equivalent to 10.1%, as seen in the table below.
Using the same weighted average methodology on the Resident Guest rates discussed above, the Resident Guest Amenity Fee (subsidy) would increase the General Fund subsidy by $234,276. The increase is due to the non-collection of the Resident Guest subsidy since the inception of the Resident Guest program.
Description
Fiscal Year
2021-22
Current Resident Golf
Amenity Fee Calculation 2,085,364$
Proposed Resident Golf
Amenity Fee Calculation 1,874,643$
Variance/Savings 210,721$ 10.1%
The Resident Amenity Calculation
ATTACHMENTS:
1. Resolution
2. Golf Resort – Terms and definitions
RESOLUTION NO. 2022-46
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF INDIAN WELLS,
CALIFORNIA, ADOPTING A RESIDENT AMENITY FEE POLICY AND
RESCINDING PRIOR RESIDENT AMENITY FEE POLICIES
WHEREAS, the City Council of the City of Indian Wells promotes the ideal of the Indian Wells Golf Resort as a community benefit and intends to offer discount golf fees to Residents possessing a valid Resident Benefit Card; and
WHEREAS, the City desires and intends to operate the Indian Wells Golf Resort in an Enterprise Fund as a standalone business venture; and
WHEREAS, the City recognizes the importance of subsidizing the Resident discount rate to the Indian Wells Golf Resort as revenue for its ongoing operations and capital replacements.
WHEREAS, the City plans for the Resident discount subsidy in the General Fund during the development of the Biannual budget.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF INDIAN WELLS, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The City Council hereby RESCINDS prior Resident Amenity Fee Policies.
SECTION 2. The City Council hereby ADOPTS that specific Resident Amenity Fee Policy set forth in Exhibit “A” attached hereto and incorporated herein by reference.
SECTION 3. This Resolution shall take effect upon adoption.
PASSED, APPROVED, AND ADOPTED by the City Council of the City of Indian Wells, California, at a special meeting held on this 28th day of November 2022. _________________________________
DANA REED
MAYOR
ATTACHMENT#1
City of Indian Wells
Resolution No. 2022-46
CERTIFICATION FOR RESOLUTION NO. 2022-46
I, Angelica Avila, City Clerk of the City Council of the City of Indian Wells, California, DO HEREBY CERTIFY that the whole number of the members of the City Council is five (5); that the above and foregoing Resolution was duly and regularly passed and adopted at a special meeting of the City Council of the City of Indian Wells on the 28th day of November 2022, by the following vote:
AYES:
NOES:
ATTEST: APPROVED AS TO FORM:
___________________________________ _________________________________
ANGELICA AVILA TODD LEISHMAN
CITY CLERK CITY ATTORNEY
City of Indian Wells
Resolution No. 2022-46
EXHIBIT “A”
CITY OF INDIAN WELLS
RESIDENT AMENITY FEE POLICY
1. PURPOSE OF THIS POLICY
The Policy's purpose is to establish monthly procedures associated with calculating the Resident Amenity Fee and subsidizing the Indian Wells Golf Resort as a business enterprise fund and a standalone business venture.
The Resident Amenity Fee shall be computed on a per hour, per day, per course basis based on month-end actuals and paid to the Indian Wells Golf Resort within sixty (60) days of the month- end close.
2. RESIDENT AMENITY FEE
The Resident Amenity Fee shall be calculated using the Weighted Average Methodology. The following golf rate categories shall be included in the weighted average formula: the Eighteen Hole Prime, Eighteen Hole Non-Prime, Tournaments, PGA Tour, Troon Programs, Wholesaler, nine-hole and afternoon rates, and the Special category.
Excluded in the weighted average formula are the PGA/Cart, Juniors, and comp rounds. These rate categories are omitted because they are either courtesy rates provided to PGA members and children playing after 3:00 pm or rate categories used for sales, marketing, and potential revenue- generating opportunities.
Procedure in calculating the Resident Golf Amenity Fee
1. The Golf Resort determines the Weighted Average of actual rounds in eight round categories: (1) Eighteen Hole Prime, (2) Eighteen Hole Non-Prime, (3) Tournaments, (4) PGA Tour, (5) Troon Programs, (6) Wholesaler, (7) nine-hole, and (8) Special on a per hour, per day, and per course basis. The Weighted Average methodology calculates the average rate in each category and the number of actual rounds played in each category.
2. Next, determine the average Resident Rate by dividing the total amount of Resident golf fee revenue collected by the total number of Resident Rounds played per hour, per day, and per course basis. (Resident Golf Revenue/Resident Rounds).
3. Calculate the Resident Amenity Fee by determining the variance between the Weighted Average and Resident Rate on a per hour, per day, and per course basis, then multiply it by the actual number of Indian Wells Resident Rounds played on a per-hour per course basis. (“weighted average” less the Resident Rate) * (Resident Rounds).
Procedure in calculating the Resident Guest Golf Amenity Fee
1. The Golf Resort determines the Weighted Average of actual rounds in eight round types:
(1) Eighteen Hole Prime, (2) Eighteen Hole Non-Prime, (3) Tournaments, (4) PGA Tour, (5) Troon Programs, (6) Wholesaler, (7) nine-hole, and (8) Special on a per hour, per day,
City of Indian Wells
Resolution No. 2022-46
and per course basis. The Weighted Average methodology calculates the average rate in each category and the number of actual rounds played in each category.
2. Next, determine the average per hour per course Resident Guest Rate by dividing the total amount of Resident Guest golf fee revenue collected by the total number of Resident Rounds played on a per hour, per day, and per course basis. (Resident Guest Golf Revenue/Resident Guest Rounds).
3. Calculate the Resident Guest Amenity Fee by determining the variance between the Weighted Average and Resident Guest Rate on a per hour, per day, and per course basis, then multiply it by the actual number of Indian Wells Resident Guest Rounds played on a per hour, per day, and per course basis. (“weighted average” less the Resident Guest Rate) * (Resident Guest Rounds).
Indian Wells Golf Resort
City’s Resident and Resident Guest Amenity Fees
Terms and definitions
The methodology for calculating the Resident Amenity Fee includes several golf rate categories as defined below.
1.Eighteen hole prime: Rounds played Friday – Sunday from First Tee Time out to the Last Tee Time that can finish 18 holes (Pace of Play 4h 30m). Usually, 3:00 pm is the last tee time.
2.Eighteen-hole non-prime: Rounds played Monday - Thursday from First Tee Time out to the Last Tee Time that can finish 18 holes. (Pace of Play 4h 30m) Usually, 3:00 pm is the last tee time.
3.Tournament: Rounds Played Monday – Sunday from the First Tee time out to the Last Tee Time that can finish 18 holes (Pace of Play 4h 30m). Usually, 3:00 pm is the last tee time.
4.PGA Tour: Rounds Played by qualified PGA members Monday – Sunday from the First Tee time out to the Last Tee Time that can finish 18 holes (Pace of Play 4h 30m). Usually, 3:00 pm is the last tee time.
5.Troon Programs: Rounds Played by qualified Troon Awards members Monday – Sunday.
6.Junior: Rounds Played Monday – Sunday. Age-restricted program limited to children under eighteen years old. Children play free after 3:00 with a paying adult.
7.Nine holes: Rounds Played Monday – Sunday. The nine-hole rate is typically made available late afternoon, after 3:00 pm.
8.PGA/Cart: Rounds Played Monday – Sunday. This rate is limited to PGA members and same-day booking. Typically, pro shop staff from nearby markets.
9.Wholesaler: Rounds Played Monday – Sunday. Strategically discounted rounds typically with limited booking windows.
10. Special: Rounds Played in limited-time segments. A promotional rate is typically targeted to drive rounds to a specific time on the tee sheet.
ATTACHMENT #2
11. Comp Rounds: Rounds Played Monday – Sunday. Unpaid rounds are typically used for sales, marketing, and potential revenue-generating opportunities. Golf Resort staff are included in this category as well.
12. Member: Rounds Played Monday – Sunday. Indian Wells Residents pay a discounted golf rate.
13. Member Guest Prime: Rounds Played Friday – Sunday. Discounted golf rate reserved for guests of Indian Wells Residents.
14. Member Guest Non-Prime: Rounds Played Monday –Thursday. Discounted golf rate reserved for guests of Indian Wells Residents.
Other key terms:
Mathematical Average: Simple average or arithmetic mean, all numbers are treated equally and assigned equal weight.
The Weighted Average: A weighted average assigns weights that determine in advance the relative importance of each data point. A weighted average is often computed to equalize the frequency of the values in a data set. In this case, the weighted average includes the number of actual rounds played in each round category listed. Weighted averages assign priority (or weight) to each number. A weighted average can be more beneficial than a regular average because it offers more nuance.
INDIAN WELLS CITY COUNCIL
November 28, 2022
To: City Council
From: City Manager Department
Prepared by: Christopher Freeland, City Manager
Subject: Discussion on Possible Changes to Resident In- Season Golf Rate and Golf Tee Time Availability
RECOMMENDED ACTION:
Council DISCUSSES possible future changes to the availability of resident tee times during the seasonal months of January through April; and Takes NO ACTION relating to the discussion.
DISCUSSION:
At the October 3, 2022, City Council Meeting, Council directed the Golf Ad Hoc Committee to consider options to amend the Golf Resident Amenity Fee and report to the City Council at a future City Council meeting. This was at the initial request of Councilmember Rob Bernheimer. There is no action to be taken during the item discussion, staff is seeking direction from the Council.
During the review of the data for the Golf Resident Amenity Fee analysis, Councilmember Bernheimer recognized trends in the data showing the most profitable rounds played at the Indian Wells Golf Resort are played during the seasonal months of January through April, before 11:00 am, with some individuals paying rates over $200.00 round.
Residents pay a discounted rate of $50.00 per round of golf between January 1 and April
30. Additionally, Resident Walk-up same-day play (without a reserved tee time) is $35.00 per round between January 1 and April 30. For the remaining months, Resident play is $35.00 per round.
In addition, the City and hotel partners have an agreement to protect the golf tee sheet from October 1 through May 31 from 7:00 am to 12:50 pm. This means, one-third of the daily golf tee sheet is for resident play, one-third for hotel guests, and one-third open to the public for play. This protection was developed through the Easement Agreement between the City of Indian Wells (Golf Resort), Hyatt Regency, and Renaissance Esmerelda when the Golf Resort was first established and as modified over the years.
Councilmember Bernheimer has requested City Council discuss this matter and provide direction for possible revisions to the current Resident Golf availability. Specifically, he believes the City Council should examine the current tee sheet prote ction policy as an opportunity to reduce the City’s subsidy for golf during January and April and convert certain resident tee times to open to the public rounds . Councilmember Bernheimer recommends that the City consider the following changes to the Resident Golf Rate and Tee Time Reservation policies as follows:
1. Resident Golf Rate In-Season: Reduce from $50.00 per round to $35.00 per round.
2. Resident Tee Time Booking: Fridays, Saturdays, and Sundays until 11:00 a.m. from January 1 through April 30, the advance booking window for residents is reduced from fourteen days to two days. This will allow the Golf Resort to sell the rounds at a higher rate, and if they are not booked within two days, residents and their guests could then reserve the tee times at the resident and guest rates. No change any other time of year and no change after 11:00 a.m. January through April.
It is important to note that any change in the tee sheet protections requires approval from Hyatt and Renaissance Esmerelda as partners in the existing Easement Agreement.
FISCAL IMPACT:
The fiscal impact is currently unknown. Based upon the Resident Amenity Fee report on today’s agenda and depending on the future direction of the City Council, savings could be in the hundreds of thousands of dollars by replacing resident tee times for higher paying open to public rounds of golf.
The City currently provides a Resident Golf Amenity of over $2 million annually.
Public Comment: November 28, 2022
GB Item I.2
Vue Restaurant:
• Total covers down significantly versus last year year-to-date (-36.6%). • Resident covers down year-to-date (24.1%) versus last year. • Average check $42.88 this year-to-date versus last year $31.78, or up 35.0%. • One must ask, are the total covers and resident covers down significantly versus last year because of high menu pricing and menu offerings.
• Total revenues at the Vue down $88,024 for the year-to-date, or down 14.4°%o. • Vue net operating income loss increased year-to-date by $126,428, or 79% versus last year-to-date. • Food cost of sales 38% year-to-date versus last year 32.9%. • Year-to-date sales down $88,024 (14.4%) yet payroll up $61,550 versus last year.
Beverage Cart:
• Revenue up and net income up — great job!
Banquet:
• Revenue up year-to-date versus last year $129,580 (43.9%). This revenue increase represents over 55% of the total IWGR revenue increase year-to-date.
• Net operating income up significantly versus last year $76,214, or 222%.
What is most disappointing is that with an increase of $232,000 in revenue year-to-date, zero dollars were brought to the bottom line, in fact the loss increased by $553,830 versus last year.
It is time for the City Council and Troon (management company) to' commit for the IWGR to be cash flow positive at the net income level and after capital expenses. A'serious and well thought out strategic plan must be developed immediately and City management needs to be held responsible for achieving such strategic plan.
Also on the positive side, I encourage residents to visit the driving range where Callaway's Top Tracer has been implemented.
The Winter Festival is in full swing. It includes a skating rink for those that wish to participate.
Remember, the residents technically own the IWGR and your input, involvement, participation and expectations are important to the success of the IWGR. The IWGR is a benefit for residents, but it also must be operated as a business.
Ty Peabody
Paid for by the Committee to Elect Ty Peabody for City Council These are my thoughts, which do not involve any input from other Council members.
From:Donna Griffith
To:Angelica Avila
Subject:Fwd: Public comment
Date:Monday, November 28, 2022 7:33:13 AM
CAUTION: This email originated outside our organization. Be cautious with any links or attachments.
Would you please give this to council
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From:
Sent: Sunday, November 27, 2022 8:29:08 PM
To: Donna Griffith
Subject: Fw: Public comment
Good afternoon,
I am quite dismayed at learning of possible changes to the resident golf amenities. It is my understanding that the city wants to limit the booking of tee times on weekends in
season.
Has the focus of the city council and staff moved away
from emphasizing the resident “quality of life”, to a more commercial strategy focusing on non resident revenue
opportunities for the city and Troon? I realize how
difficult it must be to balance the need for non resident revenue against the benefits provided to the IW
Taxpayers, but a more commercial revenue approach
cannot be the sole reason for this decision.
As a city who's mantra is Quality of Life", it does appear that this balance is sorely off target! Allowances are made for golf events for non residents seemingly at the cost of residents. How do events like the weekend Troon
tournament scheduled for December translate to the
bottom line? At what cost to full time residents and those residents that have returned for the season?
Public Comment: November 28, 2022
General Business Item I.2
Please consider your residents as an important part of
everything the city does……including pointing out the
resident benefits when selling property in Indian Wells.
Thanks very much,
Jim Kent
Sent from my iPad