Agenda, joint meeting — Indian Wells City Council, September 3, 2026

CITY COUNCIL AND SUCCESSOR

AGENCY JOINT MEETING
AGENDA
Thursday, September 3, 2026
1:30 PM
City Hall Council Chamber
44950 Eldorado Drive, Indian Wells, CA 92210

Welcome to a joint meeting of the Indian Wells City Council and Successor Agency.

Live Stream: Meetings held in the City Hall Council Chamber are streamed live. You can watch the meeting on any device or computer. Members of the public who wish to listen or watch the meeting may access the livestream during the regular meetings. https://www.youtube.com/@CityofIndianWells

Live Zoom: Access via https://zoom.us/join and enter Webinar ID 885 9447 3898 Passcode 290608. OPTION 4: LIVE VIA TELEPHONE 1. Call (669) 444 9171 and enter Meeting ID 885 9447 3898 Passcode 290608.

Public Comments: Members of the Public who wish to speak should fill out a blue slip and submit it to the City Clerk; comments are limited to three (3) minutes. If you are unable to provide comments during meeting, written comments on agenda or non- agenda items or both, may be submitted at [email protected].

Notification: If you are an individual with a disability and need a reasonable modification or accommodation pursuant to the Americans with Disabilities Act (ADA) please contact the City Clerk at 760-346-2489, 48 hours prior to the meeting.

Please turn off all communication devices (phones) or put them on non-audible mode (vibrate) during Council proceedings. All documents for public review are available for public inspection at City Hall reception, 44-950 Eldorado Drive, Indian Wells during normal business hours.

Pages
1 Council Meeting Agenda – September 3, 2026
A.CONVENE THE INDIAN WELLS CITY COUNCIL AND SUCCESSOR AGENCY,

PLEDGE OF ALLEGIANCE AND ROLL CALL

MAYOR TOPER TAYLOR

MAYOR PRO TEM BRIAN PENNA

COUNCIL MEMBER GREG SANDERS

COUNCIL MEMBER DANA REED

COUNCIL MEMBER BRUCE WHITMAN
B.APPROVAL OF THE FINAL AGENDA
C.PROCLAMATIONS AND PRESENTATIONS
C.1 Introduction of New Indian Wells Public Works Superintendent C.2 Emergency Preparedness Month Presentation by Indian Wells Emergency Coordinator Yessica Prieto
D.PUBLIC COMMENTS
Members of the public who wish to speak on Consent Calendar items or items not listed on the agenda may do so at this time. Public comments are limited to three (3) minutes per speaker. Speakers will be alerted when their time is up and are asked to promptly return to their seats. No further comments will be permitted after the allotted time.

Please note that while the City Council values public input, it cannot take action or engage in discussion on items not listed on the agenda.

However, the Council may refer matters raised during public comments to staff for review, follow-up, as appropriate.

E.CITY MANAGER'S REPORTS
The City Manager or Department Heads may make brief
announcements, informal comments, or brief the Council on items of interest.

F.CITY ATTORNEY REPORTS AND COMMENTS
2 Council Meeting Agenda – September 3, 2026
G.CONSENT CALENDAR
All matters listed on the Consent Calendar are routine and will be approved by one motion. Reading of text of Ordinances is waived and Ordinances are adopted as second reading, by title only. There will be no separate discussion of these items unless members of the Council request specific items be removed from the Consent Calendar for separate discussion and action.

G.1 Adoption of Ordinance No. 771 Amending Sections 5.20.040,

5.20.080, and 5.20.220 of the Indian Wells Municipal Code to Authorize Restricted Short-Term Residential Rentals During Designated Special Events and Finding the Action to Be Exempt from the California Environmental Quality Act Under State CEQA Guidelines Sections 15061(b)(3) and 15301 and Public Resources Code Section 21084
RECOMMENDED ACTIONS:

Council ADOPTS Ordinance No. 771 by title only amending Sections

5.20.040, 5.20.080, and 5.20.220 of the Indian Wells Municipal Code to authorize the use of restricted short-term residential rental permits during additional special events designated by the City Council; and FINDS that adoption of the amendments is exempt from the California Environmental Quality Act (“CEQA”) under State CEQA Guidelines sections 15061(b)(3) and 15301 and Public Resources Code section 21084, and that none of the exceptions to the Class 1 categorical exemption identified in State CEQA Guidelines section 15300.2 apply.

G.2 Whistleblower Protection Policy
RECOMMENDED ACTIONS:

Council ADOPTS a Whistleblower Protection Policy establishing a formal process for employees and other covered individuals to report suspected unlawful conduct, fraud, waste, abuse, regulatory violations, unsafe practices, or other improper governmental activity; and FINDS the action exempt from CEQA review under CEQA Guidelines section 15061(b)(3).
3 Council Meeting Agenda – September 3, 2026
G.3 Supplemental Appropriation and Authorization to Retain GHD, Inc. to Perform Technical Review and Operational Evaluation of the Coachella Valley Association of Governments (“CVAG”) Regional Traffic Signal Synchronization (“CV Sync”) System
RECOMMENDED ACTIONS:

Council AUTHORIZES the City Manager and/or his designee to execute a professional services agreement with a GHD, Inc. in an amount not to exceed $62,346 to perform an independent technical evaluation and operational review of the Coachella Valley Association of Governments (CVAG) regional traffic signal synchronization (CV Sync) project within the City of Indian Wells; and
FINDS the project to be exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Section 15301 (Existing Facilities).

G.4 Approve the Modification of Speed Limits on Eldorado Drive and Fairway Drive
RECOMMENDED ACTIONS:

Council APPROVES the modification of speed limits on Eldorado Drive and Fairway Drive, reducing them from 35 miles per hour to 30 miles per hour; and
FINDS the project to be exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Section 15301 (Existing Facilities).

G.5 Supplemental Appropriation and Amendment to Task Order No. 1 with Dokken Engineering for the Dakota Trail Flood Mitigation Project
RECOMMENDED ACTIONS:

Council APPROVES an amendment to Dokken Engineering for expanded engineering design and construction support services for the Dakota Trail Flood Mitigation Project; and
APPROVES a supplemental appropriation of $386,500 from the Capital Improvement Reserve Fund for construction; and
FINDS the project to be exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301, Class 1(c) of Title 14 of the California Code of Regulations.
4 Council Meeting Agenda – September 3, 2026
G.6 Indian Wells Preservation Foundation Event Calendar Fiscal Year 2026-27
RECOMMENDED ACTIONS:

Council APPROVES the Indian Wells Preservation Foundation event calendar for Fiscal Year 2026-27 as recommended by the Community Activities; and
FINDS the action exempt from California Environmental Quality Act (CEQA) review under Guidelines section 15061(b)(3).

G.7 Children’s Museum of the Desert Sponsorship
RECOMMENDED ACTIONS:

Council APPROVES the Children's Discovery Museum sponsorship, including a $37,500 credit for use at the Indian Wells Golf Resort, for Fiscal Year 2026-27; and
FINDS the action exempt from CEQA review under CEQA Guidelines section 15061(b)(3).

G.8 Community Activities Committee Event Calendar for Fiscal Year 2026-27
RECOMMENDED ACTIONS:

Council APPROVES the Community Activities Committee event calendar recommendation for Fiscal Year 2026-27 Event Calendar; and FINDS the project to be exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3).

G.9 Annexation of Property to Proposed Zone A11D Within Landscape and Lighting District No. 91-1 (Highway 111 Frontage at Club Drive/Vicky's of Santa Fe)
RECOMMENDED ACTIONS:

Council ADOPTS Resolution Initiating Proceedings for the Annexation of Territory (Highway 111 Frontage at Club Drive/Vicky's) to Landscape and Lighting District No. 91-1 and the Levy and Collection of Annual Assessments Related Thereto Commencing with Fiscal Year 2027/2028, Pursuant to the Provisions of Part 2 of Division 15 of the California Streets and Highways Code; and
ADOPTS Resolution Declaring the City's Intention to Annex Territory (Highway 111 Frontage at Club Drive/Vicky's) to Landscape and Lighting District No. 91-1, Preliminarily Approving the Engineer's Report and 5 Council Meeting Agenda – September 3, 2026

Proposed Assessments, Setting the Public Hearing Date, and Calling for a Property Owner Protest Ballot Proceeding Pursuant to Article XIII D of the California Constitution; and

DIRECTS staff to mail the Notice of Public Hearing and Assessment Ballot to the affected property owner not less than 45 days prior to the scheduled Public Hearing; and

FINDS the project to be exempt from the California Environmental Quality Act (CEQA) provision pursuant to Section 15060.

H. P UBLIC HEARINGS

No Public Hearings.

I. GENERAL BUSINESS

The Mayor will call upon the members of the public to address the Council regarding the agenda item being considered. After the public has provided comment, the item is closed to further comment and brought to the Council for discussion and action.

I.1 Amendment to Employment Agreement for City Manager

RECOMMENDED ACTIONS:

Council APPROVES the Ninth Amendment to the Employment
Agreement for City Manager Dr. Christopher Freeland; and

FINDS the action exempt from CEQA review under CEQA Guidelines section 15061(b)(3).

I.2 Indian Wells 60th Anniversary Celebration Update

RECOMMENDED ACTIONS:

Council APPROVES the City of Indian Wells 60th Anniversary Celebration Program to support anniversary-related activities, commemorative projects, community events, and community engagement efforts from July 2026 through July 2027; and

FINDS the action exempt from CEQA review under CEQA Guidelines section 15061(b)(3).

6 Council Meeting Agenda – September 3, 2026

J. SUCCESOR AGENCY GENERAL BUSINESS

J.1 Authorize Issuance of Series 2026 Refunding Bonds to refund the Series 2015A and 2016A Outstanding Tax Allocation Bonds of the Successor Agency of the Redevelopment Agency of the City of Indian Wells, Approval of the Preliminary Bond Official Statement, Official Notice of Sale and Continuing Disclosure Certificate

RECOMMENDED ACTIONS:

Successor Agency APPROVES the execution and delivery of Bond Official Statement, Bond Notice of Sale, and Continuing Disclosure Agreement relating thereto, and other documents; and

ADOPTS Resolution reaffirming and authorizing the Issuance of Series 2026 Refunding Bonds in order to refund certain outstanding Series 2015 and 2016 bonds of the dissolved Redevelopment Agency of the City of Indian Wells; and

FINDS the project to be exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the guidelines.

K. COUNCIL MEMBER'S REPORTS AND COMMENTS

On their own initiative, Council Members may make a brief announcement or a brief report on their own activities. Council Members may ask a question for clarification, make a referral to staff, or take action to have staff place a matter of business on a future agenda. The Council may take action on items listed on the Agenda.

K.1 COUNCIL MEMBER WHITMAN

California Joint Power Insurance Authority (JPIA)
Children’s Discovery Museum of the Desert Board
Cove Communities Services Commission
Desert Sands Unified School District
Indian Wells Golf Advisory Committee
Sunline Transit Agency
7 Council Meeting Agenda – September 3, 2026

K.2 COUNCIL MEMBER REED

CVAG Conservation Commission
CVAG Public Safety Committee
Indian Wells Marketing Committee
Indian Wells Finance & Legal Oversight Committee
Wireless Master Plan Ad Hoc Committee

K.3 COUNCIL MEMBER SANDERS

Coachella Valley Animal Campus
Coachella Valley Clean Air Ad Hoc Committee
Cove Communities Service Commission
Desert Sands Unified School District
Desert Recreation District
FAA Ad Hoc Committee
Indian Wells 60th Anniversary Ad Hoc Committee
Indian Wells Marketing Committee
Indian Wells Finance & Legal Oversight Committee
Indian Wells Public Safety Committee
Municipal Code Update Ad Hoc Committee
Neighborhood Recognition Ad Hoc Committee
Wireless Masterplan Ad Hoc Committee
K.4 MAYOR PRO TEM PENNA

Coachella Valley Mountain Conservancy
Indian Wells Preservation Foundation
Indian Wells 60th Anniversary Ad Hoc Committee
Visit Greater Palm Springs
Indian Wells Community Activities Committee
Indian Wells Grants In Aid Committee
Indian Wells Personnel Committee
Indian Wells Public Safety Committee
Indian Wells Tee Committee
Neighborhood Recognition Ad Hoc Committee
Tennis Relationship Expansion Ad Hoc Committee

8 Council Meeting Agenda – September 3, 2026

K.5 MAYOR TAYLOR

CVAG Executive Committee
CVAG Energy & Sustainability Committee
CVAG Homelessness Committee
CVAG Transportation Committee
Coachella Valley Clean Air Ad Hoc Committee
FAA Ad Hoc Committee
Indian Wells Golf Resort Advisory Committee
Indian Wells Personnel Committee
Indian Wells Tee Committee
Municipal Code Update Ad Hoc Committee
Riverside County Transportation Commission
Southern California Association of Governments
Tennis Relationship Expansion Ad Hoc Committee

L. ADJOURNMENT

To a regularly scheduled meeting of the City Council is to be held at 1:30 p.m. on October 15, 2026, in the City Hall Council Chamber.

Affidavit of Posting,
I, Angelica Avila, certify that on August 28, 2026, I caused to be posted a notice of a City Council Meeting to be held on September 3, 2026, at 1:30 p.m. in the City Hall Council Chamber.

Notices were posted at Indian Wells Civic Center and City's Website [ www.cityofindianwells.org]

Angelica Avila, MMC, City Clerk
9 Emergency Services General Update
City of Indian Wells
City Council & Successor Agency Joint Meeting:

September 3, 2026 - Presentation
Item C.2

Introduction
Yessica Prieto
Emergency Services Coordinator
County of Riverside Emergency Management Department
2 Cove Communities Partnership
Collaboration with the City of Palm Desert & the City of Rancho Mirage MOU for Sharing of Emergency Management Resources
MOU for Community Emergency Response Team (CERT) Training 3 Cove Communities CERT Training
Hosted May 17-19, 2026, at the City of Palm Desert
Training in Disaster response, first aid, fire safety, search & rescue
 20-hour class, free to residents
Next class will be:

November 5-7, 2026
4 Cove Communities CERT Training
5 City Emergency Management Plan Overview
Emergency Operations Plan
Base Plan and Annexes Updated 2025
Local Hazard Mitigation Plan
Updated 2023
Plan is reviewed yearly, updated every 5 years
Working on 2028 update
Additional Supporting Plans
Integrated Preparedness Plan
Concepts of Operations BNP Paribas Tennis Tournament
Event Action Plans
6 Community Preparedness Overview
12 Steps of Emergency Preparedness
Class that encourages residents:
Stay Informed & know your hazards
Make a plan & practice it
Build a kit (Including pets)
Prepare home and finances
Stay involved and sign up for Alerts
Whole Community Radio Program
Connects HOAs/Resorts/Hotels with City EOC during incidents Provides direct, reliable emergency messaging
Monthly radio tests are conducted on the 2nd Wednesday of each month 7 Looking Ahead-September Preparedness Month
Stop the Bleed, Hands-on CPR, and AED Training
Collaboration with Desert Regional Medical Center
Mountain View Villas, September 25th
Indian Wells Villas, September 30th
Community Emergency Preparedness Bags
Go on Sale Sept 21st
8 9
Thank you!
Cove Communities CERT
Training Spring 2026

1 Angelica Avila
From:David Sein
Sent:Friday, August 28, 2026 7:32 PM
To:City Clerk
Subject:Question For upcomingcouncil meeting
CAUTION: This email originated outside our organization. Be cautious with any links or attachments. ________________________________
How do you justify Why do you feel it is necessary to raise resident golf fees by $3 while you seemingly can aAord spending one million dollars on a tennis tournament.

David Sein
Indian Wells Resident
City Council & Successor Agency Joint Meeting:

September 3, 2026 - Public Comments
Non-Agenda Item

Angelica Avila
From:

Sent:

To:

Cc:

Subject:

David Sein
Sunday, August 30, 2026 1:47 PM
City Clerk
David Sein
Comment for City Council Meeting 9-3-26
CAUTION: This email originated outside our organization. Be cautious with any (inks or attachments.

Dear Mr. Mayor,
In response to the city of Indian Wells' expenditure of one million dollars on advertising a one -week WTA tennis tournament, as stated by our mayor,
"We want the WTA to feel the warmth of this community, to experience our city firsthand, and to want to return. Bringing world -class events to Indian Wells is not a one-time transaction — it is the beginning of a relationship, and we intend to cultivate it with care and intention." In light of this, I pose a question to you, the mayor: would you also be inclined to cultivate the residents of Indian Wells with the same level of care and attention? Furthermore, given the city's substantial financial reserves of 87 million dollars, I respectfully question the necessity of increasing resident golf fees by $2. Your response would be greatly appreciated.

Sincerely
David Sein
Indian Wells ResidentDavid Sein
1 INDIAN WELLS CITY COUNCIL
September 3, 2026

To: City Council
From: City Manager Department
Prepared by: Jon Berg, Community Development Director; City Attorney’s Office Subject: Adoption of Ordinance No. 771 Amending Sections 5.20.040,

5.20.080, and 5.20.220 of the Indian Wells Municipal Code to Authorize Restricted Short-Term Residential Rentals
During the Women’s Tennis Association Finals Helt at the Indian Wells Tennis Garden and Finding the Action to Be Exempt from the California Environmental Quality Act Under State CEQA Guidelines Sections 15061(b)(3) and 15301 and Public Resources Code Section 21084

RECOMMENDED ACTIONS:

Council ADOPTS Ordinance No. 771 to be read by title only and with further reading waived, amending Sections 5.20.040, 5.20.080, and 5.20.220 of the Indian Wells Municipal Code to authorize the use of restricted short-term residential rental permits during additional special events designated by the City Council; and FINDS that adoption of the amendments is exempt from the California Environmental Quality Act (“CEQA”) under State CEQA Guidelines sections 15061(b)(3) and 15301 and Public Resources Code section 21084, and that none of the exceptions to the Class 1 categorical exemption identified in State CEQA Guidelines section 15300.2 apply.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

Staff has reviewed the proposed action in accordance with the California Environmental Quality Act (“CEQA”), Public Resources Code section 21000 et seq., and the State CEQA Guidelines, California Code of Regulations, title 14, section 15000 et seq.

Staff recommend that the City Council find that adoption of the amendments is exempt from CEQA on two independent grounds.

State CEQA Guidelines Section 15061(b)(3) Common-Sense Exemption The action is exempt under State CEQA Guidelines section 15061(b)(3) because it can be seen with certainty that there is no possibility that the action may have a significant effect on the environment. The Ordinance modifies only the limited periods during which 10 existing residential properties that otherwise comply with Chapter 5.20 of the Indian Wells Municipal Code may operate under restricted short-term residential rental permits. The Ordinance does not authorize construction or other physical development, increase residential density, modify development standards, or exempt any property or rental activity from the other operational and enforcement requirements of Chapter 5.20.

State CEQA Guidelines Section 15301 — Class 1, Existing Facilities The action is also categorically exempt under State CEQA Guidelines section 15301 and Public Resources Code section 21084 because it regulates the permitting, leasing, licensing, and operation of existing private residential structures and involves, at most, a negligible expansion of an existing or former use. Any additional rental activity authorized by the Ordinance is limited to existing residences that otherwise qualify to operate under Chapter 5.20, is limited to discrete periods associated with designated events, and remains subject to the seven-consecutive-night minimum stay and all other applicable operational requirements.

The City Council further finds, based on the record before it, that none of the exceptions to the Class 1 categorical exemption identified in State CEQA Guidelines section 15300.2 apply. The action does not authorize physical changes to any property, does not authorize new construction, does not affect scenic or historical resources, does not authorize activity on a hazardous-waste site, and does not present unusual circumstances creating a reasonable possibility of a significant environmental effect. The limited and temporary additional rental periods authorized by the Ordinance also do not create a significant cumulative environmental impact.

Each exemption stated above independently supports the City Council’s determination that no further environmental review is required under CEQA.

ATTACHMENTS:

1. Ordinance
11 26529.00000\45359873.5
ORDINANCE NO. 771

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF INDIAN WELLS AMENDING SECTIONS 5.20.040, 5.20.080, AND 5.20.220 OF THE INDIAN

WELLS MUNICIPAL CODE TO AUTHORIZE RESTRICTED SHORT-TERM RESIDENTIAL RENTALS DURING THE WOMEN’S TENNIS ASSOCIATION FINALS HELD AT THE INDIAN WELLS TENNIS GARDEN; AND FINDING THE

ACTION TO BE EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT UNDER STATE CEQA GUIDELINES SECTIONS 15061(b)(3) AND 15301 AND PUBLIC RESOURCES CODE SECTION 21084
WHEREAS, the City of Indian Wells, California (“City”) is a municipal corporation duly organized under the Constitution and laws of the State of California; and WHEREAS, the City has authority under Article XI, section 5 of the California Constitution and the City Charter to make and enforce ordinances and regulations with respect to municipal affairs; and
WHEREAS, Chapter 5.20 of the Indian Wells Municipal Code regulates short-term residential rentals within the City; and
WHEREAS, Section 5.20.040 currently authorizes the issuance of restricted short-term residential rental permits that may be used during the annual professional tennis tournament described in Section 5.20.220; and
WHEREAS, Section 5.20.220 currently permits an owner who has registered a property for operation as a short-term residential rental to rent the property for no fewer than seven consecutive nights during the period beginning one week before and ending three days after the annual professional tennis tournament held at the Indian Wells Tennis Garden; and WHEREAS, the City Council desires to preserve that existing annual tennis tournament exception for the BNP Paribas while also applying a similar exception to the Women’s Tennis Association (WTA) Finals held at the Indian Wells Tennis Garden, during which restricted short-term residential rental permits may be used subject to the limitations in the City’s code; and WHEREAS, the City Council further desires to amend the transient occupancy tax reporting requirements applicable to restricted short-term residential rental permits so that those requirements apply appropriately to all exception time periods; and
WHEREAS, the amendments regulate the permitting and operation of existing residential structures and do not authorize construction, physical expansion of any residential structure, increased residential density, or development of new facilities or infrastructure; and WHEREAS, any additional short-term residential rental activity authorized by this Ordinance is limited to properties that are otherwise eligible to operate under Chapter 5.20, remains subject to the operational and enforcement requirements of Chapter 5.20, requires a minimum stay of seven consecutive nights, and may occur only during discrete periods associated with the designated events; and
WHEREAS, on September 3, 2026, the City Council held a duly noticed public hearing regarding this Ordinance and considered all oral and written testimony, the staff report, and the other information in the administrative record; and
ATTACHMENT #1
12 City of Indian Wells
Ordinance No. 771

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WHEREAS, all legal prerequisites to the adoption of this Ordinance have occurred.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF INDIAN WELLS DOES ORDAIN AS FOLLOWS:

SECTION 1. Recitals. The recitals above are true and correct and are incorporated into this Ordinance by this reference.

SECTION 2. California Environmental Quality Act. The City Council finds that the action to adopt this Ordinance is exempt from the California Environmental Quality Act (“CEQA”) on each of the following independent grounds:

A. Common-Sense Exemption. The action is exempt under State CEQA Guidelines section 15061(b)(3) because it can be seen with certainty that there is no possibility that the action may have a significant effect on the environment. The Ordinance modifies only the limited periods during which existing residential properties that otherwise comply with Chapter 5.20 of the Indian Wells Municipal Code may operate under restricted short-term residential rental permits. The Ordinance does not authorize construction or other physical development, increase residential density, modify development standards, or exempt any property or rental activity from the other operational and enforcement requirements of Chapter 5.20.

B. Class 1 Categorical Exemption — Existing Facilities. The action is also categorically exempt under State CEQA Guidelines section 15301 and Public Resources Code section 21084 because it regulates the permitting, leasing, licensing, and operation of existing private residential structures and involves, at most, a negligible expansion of an existing or former use. Any additional rental activity authorized by the Ordinance is limited to existing residences that otherwise qualify to operate under Chapter 5.20, is limited to discrete periods associated with designated events, and remains subject to the seven-consecutive-night minimum stay and all other applicable operational requirements.

The City Council further finds, based on the record before it, that none of the exceptions to the Class 1 categorical exemption identified in State CEQA Guidelines section 15300.2 apply.

The action does not authorize physical changes to any property, does not authorize new construction, does not affect scenic or historical resources, does not authorize activity on a hazardous-waste site, and does not present unusual circumstances creating a reasonable possibility of a significant environmental effect. The limited and temporary additional rental periods authorized by the Ordinance also do not create a significant cumulative environmental impact.

Each exemption stated above independently supports the City Council’s determination that no further environmental review is required under CEQA.

SECTION 3. Amendment to Section 5.20.040. Section 5.20.040(b)(2) of the Indian Wells Municipal Code is amended to read as set forth in Exhibit “A,” attached to and incorporated into this Ordinance by this reference. All other provisions of Section 5.20.040 remain unchanged.

SECTION 4. Amendment to Section 5.20.080. Section 5.20.080(b) of the Indian Wells Municipal Code is amended to read as set forth in Exhibit “A,” attached to and incorporated 13 City of Indian Wells
Ordinance No. 771

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into this Ordinance by this reference. All other provisions of Section 5.20.080 remain unchanged.

SECTION 5. Amendment to Section 5.20.220. Section 5.20.220 of the Indian Wells Municipal Code is amended in its entirety to read as set forth in Exhibit “A,” attached to and incorporated into this Ordinance by this reference.

SECTION 6. Severability. If any section, subsection, sentence, clause, phrase, or portion of this Ordinance is for any reason held invalid or unconstitutional by a court of competent jurisdiction, that decision does not affect the validity of the remaining portions of this Ordinance. The City Council declares that it would have adopted this Ordinance and each section, subsection, sentence, clause, phrase, and portion regardless of whether any one or more sections, subsections, sentences, clauses, phrases, or portions are declared invalid or unconstitutional.

SECTION 7. Effective Date. This Ordinance takes effect 30 days after its adoption.

SECTION 8. Publication and Certification. The City Clerk is directed to certifythe adoption of this Ordinance and cause this Ordinance or a summary of it to be published or posted as required by law.

SECTION 9. Custodian of Records. The custodian of records for this Ordinance is the City Clerk. The records comprising the administrative record are maintained by the City at 44-950 Eldorado Drive, Indian Wells, California 92210.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Indian Wells, California, at a regular meeting held on the 3rd day of September 2026. ________________________
DR. TOPER TAYLOR
MAYOR
14 City of Indian Wells
Ordinance No. 771

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STATE OF CALIFORNIA)
COUNTY OF RIVERSIDE) ss.

CITY OF INDIAN WELLS)
CERTIFICATION FOR ORDINANCE NO. 771
I, Angelica Avila, City Clerk of the City Council of the City of Indian Wells, California, DO HEREBY CERTIFY that Ordinance No. 771, the reading in full thereof unanimously waived, was duly passed and adopted at a regular meeting of the City Council held on the 3rd day of September 2026, and said Ordinance was passed and adopted by the following vote:

AYES:

NOES:
and was thereafter on said day signed by the Mayor of said City of Indian Wells.

ATTEST: APPROVED AS TO FORM:
_____________________________ ______________________________

ANGELICA AVILA TODD LEISHMAN FOR

CITY CLERK BEST, BEST, & KRIEGER LLP

CITY ATTORNEY
15 City of Indian Wells
Ordinance No. 771

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EXHIBIT “A”

CODE AMENDMENTS

1. Section 5.20.040 — Business license and short-term residential rental permit Subsection (b)(2) of Section 5.20.040 is hereby amended to read in its entirety as follows:
(2) Restricted Short-Term Residential Rental Permit. A restricted short- term residential rental permit may be granted to a person not operating under Section 5.20.190, 5.20.200, or 5.20.210 of this Chapter. A person operating under a restricted short-term residential rental permit may operate a short-term residential rental only during an authorized rental period established under Section 5.20.220 and is subject to the seven- consecutive-night minimum stay requirement set forth in that Section.

All other provisions of Section 5.20.040 remain unchanged.

2. Section 5.20.080 — Transient occupancy tax
Subsection (b) of Section 5.20.080 is hereby amended to read in its entirety as follows:
(b) Restricted Short-Term Residential Rental Permit Holders. An owner operating under a restricted short-term residential rental permit, or a managing agent acting on the owner’s behalf, must report and remit transient occupancy tax to the City, even if a zero balance exists for the reporting period, on or before the 30th day following the end of each calendar month during which the restricted short-term residential rental permit authorized operation under Section 5.20.220, on a form prepared by the City or in a manner otherwise acceptable to the City.

All other provisions of Section 5.20.080 remain unchanged.

3. Section 5.20.220 — Special-event exception
Section 5.20.220 is hereby amended to read in its entirety as follows:
§ 5.20.220. Special-event exception.
(a) BNP Paribas. An owner who registers a property for operation as a short-term residential rental under Section 5.20.050 may rent the property for a period of no fewer than seven consecutive nights during 16 City of Indian Wells
Ordinance No. 771

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the period commencing seven days before and ending three days after the conclusion of the annual professional tennis tournament held at the Indian Wells Tennis Garden that, as of 2026, is known as the BNP Paribas Open. That period constitutes an authorized rental period for purposes of this Chapter without further action by the City Council. (b)WTA. An owner who registers a property for operation as a short- term residential rental under Section 5.20.050 may rent the property for a period of no fewer than seven consecutive nights during the period commencing seven days before and ending three days after the conclusion of the professional tennis tournament held at the Indian Wells Tennis Garden that, as of 2026, is known as the Women’s Tennis Association (WTA) Tour. That period constitutes an authorized rental period for purposes of this Chapter without further action by the City Council.
(c)Minimum Stay. A rental authorized under this Section must be for no fewer than seven consecutive nights.
17 INDIAN WELLS CITY COUNCIL
September 3, 2026

To: City Council
From: City Manager Department
Prepared by: Eric Ceja, Assistant City Manager

Subject: Whistleblower Protection Policy

RECOMMENDED ACTIONS:

Council ADOPTS Whistleblower Protection Policy establishing a formal process for employees and other covered individuals to report suspected unlawful conduct, fraud, waste, abuse, regulatory violations, unsafe practices, or other improper governmental activity; and

DIRECTS staff to incorporate the policy into the City’s Personnel Policies and Procedures Manual and implement related employee education and communication.

FINDS the project to be exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3).

BACKGROUND:

The City currently addresses employee concerns and reports of improper conduct through various administrative, Human Resources, supervisory, legal, financial, and risk management processes. To support this, in 2020, the City engaged with Eida Bailey, a financial advisory firm, to establish a hotline for employees to report any wrongdoing. To continue supporting these efforts, and to be compliant with state law, the City now proposes to establish a standalone Whistleblower Protection Policy that provides employees with a clearly defined and consistent process for raising concerns involving potential governmental misconduct.

In 2024, AB 2299 enacted Section 98.11 and Section 1102.8 of the California Labor Code, requiring employers to prominently display a notice regarding employee whistleblower rights and responsibilities. The California Labor Commissioner's Office has also published a model notice for this purpose, which staff have used to update for a city-specific policy.

The purpose of the proposed Whistleblower Protection Policy is to remain compliant with the California Labor Code and provide an updated policy to clearly define the process for reporting.

18 FISCAL IMPACT:

Implementation of the policy is expected to have minimal direct fiscal impact.

Costs may include employee training, outside investigative services, legal consultation, or other resources necessary to investigate particular complaints. Such costs would generally be addressed within existing departmental budgets or through existing City contracts and appropriations.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

The action is not a project within the meaning of Section 15378 of the State of California Environmental Quality Act (“CEQA”) Guidelines, because it has no potential for resulting in physical change in the environment, directly or indirectly; and that the action is nonetheless exempt from the requirements of CEQA in that the activity is covered by the general rule that CEQA applies only to projects that have the potential for causing a significant effect on the environment. (15061(b)(3).)

ATTACHMENTS:

1. City of Indian Wells Whistleblower Protection Policy

2. California Whistleblower Rights and Responsibilities Notice

19 WHISTLEBLOWER PROTECTION POLICY
Purpose
The City of Indian Wells (“City”) is committed to maintaining the highest standards of integrity, accountability, and ethical conduct in all City operations. The purpose of this policy is to encourage employees and other covered individuals to report suspected violations of law, misuse of public resources, fraud, waste, abuse, or other improper governmental activities without fear of retaliation.

This policy is intended to comply with applicable federal and state whistleblower protection laws, including requirements applicable to recipients of federal grant funding.

Scope
This policy applies to:
•All City employees, including full-time, part-time, temporary, seasonal, probationary, and at-will employees;
•City officials and officers, including elected and appointed officials, to the extent permitted by law;
•Applicants for City employment; and
•Volunteers, interns, contractors, consultants, and subrecipients receiving federal grant funds through the City, where applicable.

Policy Statement
The City encourages the good-faith reporting of concerns regarding suspected misconduct, illegal activity, unethical conduct, fraud, waste, abuse, gross mismanagement, violations of grant requirements, or substantial and specific dangers to public health or safety.

The City prohibits retaliation against an employee or other covered individual because the individual has disclosed, or because the City believes the individual has disclosed, or may disclose, information protected by applicable law.

The City also prohibits retaliation against an employee because the employee's family member has, or is perceived to have, engaged in protected activity, to the extent protected by applicable law.

No City employee may prevent, obstruct, or improperly discourage an individual from making a disclosure protected by applicable law or this Policy.

Reportable Conduct
Individuals are encouraged to report suspected conduct including, but not limited to:

1.Violations of federal, state, or local laws or regulations;

2.Violations of City policies, procedures, or ethical standards;

3.Fraud, theft, embezzlement, or misuse of public funds;

4.Waste of public resources;
ATTACHMENT #1
20 WHISTLEBLOWER PROTECTION POLICY

5. Abuse of Authority;

6. Gross mismanagement;

7. Gross waste of federal grant funds;

8. Violations of federal grant requirements or grant agreements;

9. Falsification of records or reports; and

10. Substantial and specific dangers to public health or safety.

GOOD-FAITH REPORTING
Reports made under this Policy should be made in good faith and based on reasonable cause to believe that the information disclosed is true and concerns conduct that violates federal or state law, constitutes a violation or noncompliance with a local, state, or federal rule or regulation, or is otherwise identified as Reportable Conduct under this Policy.

Nothing in this section is intended to narrow or limit any disclosure protected by applicable law.

An employee who knowingly makes a false report or intentionally provides false information may be subject to disciplinary action, consistent with applicable law and City policy.

A report that is unsubstantiated after review or investigation shall not, by itself, be considered a false report if it was made in good faith.

Reporting Procedures
Reports may be made verbally or in writing to any of the following:

1. Immediate Supervisor;

2. Department Director;

3. Human Resources and Risk Management;

4. Assistant City Manager;

5. City Manager;

6. City Attorney; or

7. An appropriate federal, state, or local government agency authorized to receive such reports.

If the allegation involves any person in the normal reporting chain, including a Supervisor, Department Director, Human Resources and Risk Management, Assistant City Manager, City Manager, or City Attorney, the reporting individual may bypass those levels and report directly to another authorized recipient.

Nothing in this Policy requires an individual to report a concern internally before making a disclosure to an authorized government or law enforcement agency or to a public body conducting an investigation, hearing, or inquiry, when external reporting is protected by applicable law.

21 WHISTLEBLOWER PROTECTION POLICY

A person who believes they have experienced retaliation under this Policy may report the retaliation through any of the reporting channels listed above. Supervisors and managers who receive such a complaint shall promptly forward it to an appropriate administrator who is not implicated in the complaint.

CONFIDENTIALITY
The City will make reasonable efforts to maintain the confidentiality of reports and the identity of reporting individuals to the extent permitted by law and consistent with conducting a fair and thorough review or investigation.

Information may be disclosed when necessary to conduct an investigation, comply with legal obligations, or protect the rights of involved parties.

Investigation of Reports
• Reports received under this policy shall be reviewed promptly. • The City may conduct an internal investigation or engage outside investigators, legal counsel, auditors, or other professionals as deemed appropriate. • Reviews and investigations shall be conducted in a fair, objective, and timely manner.
• Corrective action shall be taken when warranted by the investigative findings.

PROHIBITION AGAINST RETALIATION
Protected activity includes, as applicable under this Policy:

1. Filing a complaint with a federal or state enforcement or administrative agency that discloses any information that the employee has reasonable cause to believe violates federal or state law or a violation or noncompliance with a local, state, or federal rule or regulation;

2. Participating in or cooperating in good faith with a local, federal or state enforcement agency that is conducting an investigation into alleged unlawful activity;

3. Testifying in good faith and with reasonable cause as a party, witness, or accused regarding alleged unlawful activity;

4. Associating with another covered individual who is engaged in any of the protected activities enumerated here;

5. Making or filing in good faith and with reasonable cause an internal complaint with the City regarding alleged unlawful activity;

6. Providing informal notice to the City regarding alleged unlawful activity;

7. Calling a governmental agency’s “whistleblower hotline” in good faith;

8. Filing a written complaint under penalty of perjury that the City has engaged in gross mismanagement, a significant waste of public funds, or a substantial and specific danger to public health or safety; and
22 WHISTLEBLOWER PROTECTION POLICY

9. Refusing to participate in any activity that would result in a violation of federal or state law, or a violation or noncompliance with a local, state, or federal rule or regulation.

A disclosure may constitute protected activity even when reporting or disclosing such information is part of the employee's regular job duties.

Employees are prohibited from taking any negative action because of an employee’s protected activity. Such actions include, but are not limited to, the following:

1. Real or implied threats of intimidation to attempt or prevent an individual from reporting alleged wrongdoing;

2. Refusing to hire an individual;

3. Denying promotion to an individual;

4. Taking any form of disciplinary action;

5. Extending a probationary period;

6. Altering work schedules or work assignments;

7. Condoning hostility and criticism of co -workers and third parties;

8. Spreading rumors about a person; and

9. Shunning or unreasonably avoiding a person.

Any employee found to have engaged in retaliation in violation of this policy may be subject to disciplinary action, up to and including termination of employment, consistent with applicable law and City policy.

FEDERAL GRANT COMPLIANCE
The City shall provide employees with written notice of applicable federal whistleblower rights and protections as required by 2 C.F.R. § 200.217 and 41 U.S.C. § 4712.

Employees and covered individuals are protected when making good faith disclosures concerning federal awards, grants, cooperative agreements, or contracts involving:

1. Gross mismanagement of a federal award;

2. Gross waste of federal funds;

3. Abuse of authority relating to a federal award;

4. Violations of laws, regulations, grant conditions, or requirements related to a federal award; and

5. Substantial and specific dangers to public health or safety related to a federal award.

23 WHISTLEBLOWER PROTECTION POLICY

The City shall not retaliate against an individual for making a disclosure concerning federally funded activities when the disclosure is protected by applicable federal law or grant requirements.

RECORD RETENTION
Documentation relating to reports, investigations, findings, and corrective actions shall be maintained in accordance with applicable law, the City’s records retention schedule, and grant requirements.

ADMINISTRATION
The Human Resources and Risk Manager shall administer this Policy and coordinate investigation as appropriate, unless Human Resources is implicated in the reported matter.

If Human Resources or another designated administrator is implicated, responsibility shall be assigned to an appropriate non-implicated official, the City Attorney, outside counsel, or an independent investigator, as appropriate.

If the allegation involves the City Manager, City Attorney, or multiple senior officials such that the normal administrative process presents an actual or apparent conflict, the matter shall be assigned to an appropriate independent or non-implicated authority consistent with applicable law and City governance requirements.

POLICY INTERPRETATION
Nothing in this Policy shall limit any rights or protection provided by federal law, state law, collective bargaining agreements, or other City policies.

EFFECTIVE DATE
This Policy shall become effective upon adoption and shall remain in effect until amended or repealed by the City.

24 WHISTLEBLOWERS ARE PROTECTED
It is the public policy of the State of California to encourage employees to notify an appropriate government or law enforcement agency, person with authority over the employee, or another employee with authority to investigate, discover, or correct the violation or noncompliance, and to provide information to and testify before a public body conducting an investigation, hearing or inquiry, when they have reason to believe their employer is violating a state or federal statute, or violating or not complying with a local, state or federal rule or regulation.

Who is protected? Pursuant to California Labor Code Section 1102.5, employees are the protected class of individuals. "Employee" means any person employed by an employer, private or public, including, but not limited to, individuals employed by the state or any subdivision thereof, any county, city, city and county, including any charter city or county, and any school district, community college district, municipal or public corporation, political subdivision, or the University of California. (California Labor Code Section 1106) What is a whistleblower? A "whistleblower'' is an employee who discloses information to a government or law enforcement agency, person with authority over the employee, or to another employee with authority to investigate, discover, or correct the violation or noncompliance, or who provides information to or testiﬁes before a public body conducting an investigation, hearing or inquiry, where the employee has reasonable cause to believe that the information discloses:

1.A violation of a state or federal statute,2.A violation or noncompliance with a local, state or federal rule or regulation, or3.With reference to employee safety or health, unsafe working conditions or work practices inthe employee's employment or place of employment.

A whistleblower can also be an employee who refuses to participate in an activity that would result in a violation of a state or federal statute, or a violation of or noncompliance with a local, state or federal rule or regulation.

Even if an employee does not engage in such protected activity, but their employer believes they did or will engage in protected activity in the future, they are perceived to be a whistleblower and are protected.

What protections are aﬀorded to whistleblowers?

1.An employer may not make, adopt, or enforce any rule, regulation, or policy preventingan employee from being a whistleblower.2.An employer may not retaliate against an employee who is a whistleblower or is perceived tobe a whistleblower.3.An employer may not retaliate against an employee for refusing to participate in an activity thatwould result in a violation of a state or federal statute, or a violation or noncompliance with astate or federal rule or regulation.

4.An employer may not retaliate against an employee for having exercised their rights as awhistleblower in any former employment.

Under California Labor Code Section 1102.5, if an employer retaliates against a whistleblower, the employer may be required to reinstate the employee's employment and work beneﬁts, pay lost wages and civil monetary penalties, and take other steps necessary to comply with the law.

How to report improper acts
If you have information regarding possible violations of state or federal statutes, rules, or regulations, or violations of ﬁduciary responsibility by a corporation or limited liability company to its shareholders, investors, or employees, call the California State Attorney General’s Whistleblower Hotline at 1-800-952-5225. The Attorney General will refer your call to the appropriate government authority for review and possible investigation.

ATTACHMENT #2
25 INDIAN WELLS CITY COUNCIL
September 3, 2026

To: City Council
From: Public Works Department
Prepared by: Dina Purvis, Public Works Director
Subject: Supplemental Appropriation and Authorization to Retain GHD, Inc. to Perform Technical Review and Operational
Evaluation of the Coachella Valley Association of
Governments (“CVAG”) Regional Traffic Signal
Synchronization (“CV Sync”) System

RECOMMENDED ACTIONS:

FINDS the project to be exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Section 15301 (Existing Facilities).

DISCUSSION:

The Coachella Valley Association of Governments (CVAG) has been leading the deployment of the regional Traffic Signal Synchronization Project, branded as CV Sync.

This major regional Intelligent Transportation System (ITS) initiative is intended to modernize and coordinate traffic signal operations across eleven Coachella Valley jurisdictions. The project includes replacement of legacy traffic controllers with Advanced Transportation Controllers (ATCs), installation of high-speed fiber-optic communications, integration of Advanced Traffic Management Systems (ATMS), and implementation of centralized software to coordinate traffic signals across jurisdictional boundaries.

Major regional corridors running through or bordering Indian Wells—including Highway 111, Cook Street, Washington Street, and Fred Waring Drive —are key components of the CV Sync network. The program is intended to improve regional traffic flow, reduce vehicle emissions, and provide more consistent travel times throughout the Coachella Valley.

However, since implementation, City staff and local motorists have identified localized operational concerns, including signal timing and coordination complaints at key intersections within and adjacent to Indian Wells.
26 In response to these concerns, the City's Public Safety Committee has requested that the City conduct a review of the CV Sync program and its operation within Indian Wells. The Committee's request reflects the importance of ensuring that regional signal coordination also appropriately addresses local traffic conditions, access needs, side -street delays, pedestrian movements, and emergency response operations.

While CV Sync provides significant regional connectivity and traffic management capabilities, localized review and fine-tuning may be necessary to ensure regional timing plans appropriately balance through traffic with the operational needs of Indian Wells residents, businesses, visitors, pedestrians, and emergency responders.

To support the Public Safety Committee's requested review, staff solicited proposals from three of the City's on-call traffic engineering consultants with expertise in Intelligent Transportation Systems (ITS), traffic signal timing, and network communications to conduct a targeted operational assessment of CV Sync within Indian Wells. Following a review of the proposals, GHD, Inc. was determined to be the most qualified consultant to perform the services requested based on its proposed approach, technical qualifications, and understanding of the project scope.

The review will provide the City with an independent evaluation of existing conditions, identify potential operational improvements, and provide technical information to support continued coordination with CVAG. Staff recommends allocating $62,346 for this specialized review to ensure the City maintains appropriate oversight of local traffic operations and works collaboratively with CVAG to maximize traffic efficiency and safety within Indian Wells.

OPTIONS:

1. City Council approves the supplemental appropriation and the professional services agreement with GHD, Inc.

2. City Council does not approve the supplemental appropriation and the Professional Services Agreement with GHD, Inc

3. City Council provides alternative direction.

FISCAL IMPACT:

Staff recommends a supplemental appropriation of $62,346 from General Fund unassigned fund balance to the Engineering Program's professional services account (Account No. 1018201 531000) to fund this technical review. Sufficient fund balance is available to support this appropriation without affecting the City's compliance with its reserve policy. This is a one-time expenditure with no ongoing fiscal impact to future fiscal years' operating budgets.

27 CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

28 INDIAN WELLS CITY COUNCIL
September 3, 2026

To: City Council
From: Public Works Department
Prepared by: Dina Purvis, Public Works Director
Subject: Approve the Modification of Speed Limits on Eldorado Drive and Fairway Drive

RECOMMENDED ACTIONS:

Council APPROVES the modification of speed limits on Eldorado Drive and Fairway Drive reducing them from 35 miles per hour to 30 miles per hour; and

FINDS the project to be exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Section 15301 (Existing Facilities).

DISCUSSION:

Historical Speed Limit Context
On January 8, 1976, the City Council adopted Resolution No. 76-2 designating the speed limit on Fairway Drive from Cook Street easterly to Eldorado Drive at 35 mph. For decades the speed limits on Fairway Drive and Eldorado Drive have been the subject of recurring City Council deliberation. City records show, as early as March 1987, residents raise concerns about excessive speeds on Fairway Drive, prompting the City Council to direct the City Manager to investigate. Over the years, additional reviews and analysis of speed limits along these streets were subjects at Council meetings.

Most recently, in January 2022, Hartzog & Crabill conducted a city-wide radar speed survey on 17 road segments. The 2022 Engineering and Traffic Survey confirmed that existing speed limits were appropriate on all segments studied, including Fairway Drive (Cook Street to Rancho Palmeras and Rancho Palmeras to Eldorado Drive, both at 35 mph) and Eldorado Drive (Fairway Drive to Highway 111 at 35 mph). On April 21, 2022, the City Council adopted Resolution No. 2022-20 designating those speed limits as effective through December 2027.

California Assembly Bill 43 and Speed Limit Reduction
California Assembly Bill 43 authorized local jurisdictions to lower speed limits in areas adjacent to sensitive land uses, including parks. Based on the extensive community 29 outreach, the documented speeding patterns on both streets, and the proximity of Fairway Park, staff was directed to research whether speed limits could be lawfully reduced on Fairway Drive and Eldorado Drive. Staff reviewed the provisions of Assembly Bill 43, consulted with a traffic engineer regarding the feasibility and safety of such reductions, and determined that speed limits on both streets could be safely reduced from 35 mph to 30 mph. The Indian Wells Municipal Code authorizes the City Council to establish and modify speed limits on City streets, providing the legal framework for this action.

Traffic Engineering Consultation and Analysis

Staff consulted with a traffic engineer regarding the feasibility and safety of reducing speed limits on Fairway Drive and Eldorado Drive. The traffic engineer's analysis considered the provisions of AB 43, the characteristics of both roadways, the presence of Fairway Park as a qualifying sensitive land use, and the speed and volume data collected on these corridors.

The traffic engineer's recommendations for the broader Safer Streets corridors also informed this analysis. In this context, the speed limit reduction from 35 mph to 30 mph on both streets represented a complementary and legally supportable measure to address speeding — one that leveraged the authority granted by AB 43 rather than relying solely on physical roadway modifications.

Based on this analysis, staff determined that speed limits on both Fairway Drive and Eldorado Drive could be safely reduced from 35 mph to 30 mph. The 5-mph reduction is consistent with the allowances provided under AB 43 for streets adjacent to parks and other sensitive areas.

Municipal Code Authority

The Indian Wells Municipal Code authorizes the City Council to make speed limit decisions for City streets. This staff report serves to memorialize the administrative action taken to reduce the posted speed limits on Fairway Drive and Eldorado Drive from 35 mph to 30 mph. The speed limit modifications are consistent with both state law and local authority, and align with the broader goals of the City's Safer Streets Program to improve road safety for all users — including pedestrians, cyclists, and golf cart operators — on corridors adjacent to Fairway Park.

This report is to document and approve the reduction of speeds along Fairway and Eldorado, consistent with the traffic engineer’s analysis and California Assembly Bill 43.

30 OPTIONS:

1. Approve the modification of speed limits on Eldorado Drive and Fairway Drive.

2. Do not approve the modification of speed limits on Eldorado Drive and Fairway Drive.

3. Alternative direction.

FISCAL IMPACT:

The cost to fabricate and install new speed limit signage is absorbed using existing funds allocated in the Public Works Department operating budget for sign maintenance.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

This project has been assessed in accordance with the authority and criteria contained in the California Environmental Quality Act (CEQA), the State and local CEQA Guidelines, and the environmental regulations of the City. The City has determined the project to be exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Section 15301 (Existing Facilities).

31 City Council & Successor Agency Joint Meeting:

September 3, 2026 - Public Comments (Provided at the Dais) Consent Item G.4

Buchalter
Members of the City Council
September 3, 2026

Page 2 ends

provided any written clarification as to the action taken by the Council with respect to the Project at the April 16, 2026, meeting.

The Vintage Club Community Association maintains its objection to the approval of the Project, however that may be defined, without a corollary CEQA finding. The Agenda proposed finding the Project exempt from CEQA pursuant to Public Resources Code section 21080,20, and Section 15301, Class 1(c) of Title 14 of the California Code of Regulations. It is not clear, however, that the statutory and categorical exemptions are, in fact, applicable here. Section 21080.20 provides, in relevant part:

This division does not apply to an active transportation plan, a pedestrian plan, or a bicycle transportation plan for the restriping of streets and highways, bicycle parking and storage, signal timing to improve street and highway intersection operations, and the related signage for bicycles, pedestrians, and vehicles. (Emphasis added.) The Project includes more than restriping, bicycle storage, signal timing, and related signage. As proposed, the Project requires the taking of additional private property and existing landscaping to construct a permanent sidewalk. Likewise, section 15301 for existing facilities should not apply to exempt the Project from review under CEQA. That section exempts "the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of existing or former use." Again, the Project, as proposed, mandates an expansion that will require the taking of private property and destruction of current landscaping.

Moreover, section 21080.20 mandates various procedural requirements with respect to application of the exemption, none of which the Council satisfied. Accordingly, the Project has not been found exempt from CEQA; therefore, the Council's approval is unlawful. Further steps to implement the Project should be paused until compliance with CEQA is achieved.

The Vintage Club Community Association further opposes the Project to the extent it requires the acquisition of additional right-of-way. The Council expressly acknowledged that portions of the Project would require additional right-of-way at the April 16, 2026, meeting. Again, the Staff Report noted that Staff would need to continue negotiations to acquire additional right- of-way.1 Given the lack of meeting minutes, the extent of that acknowledgment and any suggested In documents provided in response to a Public Records Act request, it appears that some City staff, in furtherance of the Project, suggested The Vintage Club Community Association may be responsible for constructing a sidewalk along Fairway Drive. Not so. As set forth in the enclosed Pinnacle Design Company June 8, 2026, analysis of the KRM Meridian October 2025 survey, The Vintage Club Community Association "property does not have recorded right of wav sufficient for a sidewalk a the intersection of Cook and Fairway for the first approximately 107' of recorded right of way," and a "continuous sidewalk [is] impossible." Additionally, the existing right-of-way does not allow enough room for either a meandering sidewalk or a back of curb sidewalk as the street is configured.

Buchalter
Members of the City Council
September 3, 2026

Page 3 ends

next steps are unclear. Moreover, there has been limited communication from the City with The Vintage Club Community Association since the April 16, 2026, meeting. There was no formal response to the Association's June 24, 2026, letter, and no formal invitation to discuss the Project.

In conversations with Mr. Leishman this week, he indicated that the City intended to move forward with eminent domain proceedings to acquire the additional right-of-way. Mr. Leishman further stated, in April 2026, a packet was sent from the City's appraiser directly to The Vintage Club Community Association without copying counsel. This is despite the City having notice that Buchalter has represented The Vintage Club Community Association with respect to the Project since 2025. We have not had an opportunity to review the correspondence purportedly sent to our client and we are unaware of any public document making clear the City's intent to utilize eminent domain in this matter. If the City, in fact, determines to remedy its approval and proceed with the Project unchanged, The Vintage Club Community Association strongly opposes the taking of any of its private property by use of eminent domain or other action. The survey data simply does not support the public need for the Project, and protracted litigation does not serve the interests of the Council and its constituents, or Indian Wells and the community -at -large. Moreover, the lack of compliance with CEQA for the Project also undermines any resulting eminent domain proceedings.

The Vintage Club Community Association reiterates its request that the City provide specific notice to The Vintage Club Community Association and its counsel of any Commission, Council, or other meetings at which the Project will be reviewed or discussed in any manner so that it may meaningfully participate in those discussions. This includes copying counsel on any correspondence sent to The Vintage Club Community Association.

Very truly yours,

BUCHALTER LLP
Vincent Whittaker

655 West Broadway
Suite 1600
San Diego, CA 92101
619.219.5335 Phone
619.219.8063 Direct
[email protected]

September 3, 2026
VIA E-MAIL ([email protected])
Members of the City Council
The City of Indian Wells
44-950 Eldorado Drive
Indian Wells, CA 92210
Re: September 3, 2026, City Council Meeting
Dear Sirs:

This letter follows additional correspondence sent to the City Attorney, Todd Leishman, on June 24, 2026, regarding the City of Indian Wells’ (“City”) proposed Safer Streets Project at Fairway Drive (proposed Phase I) and Cook Street (proposed Phase II), and more specifically, proposed improvements on Fairway Drive adjacent to The Vintage Club Community Association. We note that the Safer Streets Project is not agendized for the September 3, 2026, Council Meeting, however, the speed limit on Fairway Drive is. Accordingly, out of an abundance of caution, we submit the following comment letter.

At the City Council meeting on April 16, 2026, the Council discussed the Project, which was on the agenda as General Business Item I.2, Safer Streets Indian Wells Approval of 30% Design Plan. At the meeting, the Council discussed the portions of sidewalk that would require additional right of way and acknowledged potential traffic impacts and tree removal. The Council ultimately approved the Project with modifications from the dais. The Council did not find the action exempt from CEQA or make any related finding.

To date there is no publication of minutes, a resolution, or any other documentation to reflect the action taken by Council with regard to the Project at the April 16, 2026, meeting. Nor is there any Notice of Exemption (NOE) or other document reflecting any CEQA finding regarding the Project. This lack of documentation makes it wholly unclear what the Council approved and how Staff is to proceed regarding the Project. This lack of clarity prevents meaningful participation by the public. Despite a request to Mr. Leishman, the City has not City Council & Successor Agency Joint Meeting:

September 3, 2026 - Public Comments
Consent Item G.4

Members of the City Council
September 3, 2026

Page 2 ends

provided any written clarification as to the action taken by the Council with respect to the Project at the April 16, 2026, meeting.

The Vintage Club Community Association maintains its objection to the approval of the Project, however that may be defined, without a corollary CEQA finding. The Agenda proposed finding the Project exempt from CEQA pursuant to Public Resources Code section 21080.20, and Section 15301, Class 1(c) of Title 14 of the California Code of Regulations. It is not clear, however, that the statutory and categorical exemptions are, in fact, applicable here. Section 21080.20 provides, in relevant part:

This division does not apply to an active transportation plan, a pedestrian plan, or a bicycle transportation plan for the restriping of streets and highways, bicycle parking and storage, signal timing to improve street and highway intersection operations, and the related signage for bicycles, pedestrians, and vehicles. (Emphasis added.) The Project includes more than restriping, bicycle storage, signal timing, and related signage. As proposed, the Project requires the taking of additional private property and existing landscaping to construct a permanent sidewalk. Likewise, section 15301 for existing facilities should not apply to exempt the Project from review under CEQA. That section exempts “the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of existing or former use.” Again, the Project, as proposed, mandates an expansion that will require the taking of private property and destruction of current landscaping.

Moreover, section 21080.20 mandates various procedural requirements with respect to application of the exemption, none of which the Council satisfied. Accordingly, the Project has not been found exempt from CEQA; therefore, the Council’s approval is unlawful. Further steps to implement the Project should be paused until compliance with CEQA is achieved.

1 In documents provided in response to a Public Records Act request, it appears that some City staff, in furtherance of the Project, suggested The Vintage Club Community Association may be responsible for constructing a sidewalk along Fairway Drive. Not so. As set forth in the enclosed Pinnacle Design Company June 8, 2026, analysis of the KRM Meridian October 2025 survey, The Vintage Club Community Association “property does not have recorded right of way sufficient for a sidewalk at the intersection of Cook and Fairway for the first approximately 107’ of recorded right of way,” and a “continuous sidewalk [is] impossible.” Additionally, the existing right-of-way does not allow enough room for either a meandering sidewalk or a back of curb sidewalk as the street is configured.

Members of the City Council
September 3, 2026

Page 3 ends

next steps are unclear. Moreover, there has been limited communication from the City with The Vintage Club Community Association since the April 16, 2026, meeting. There was no formal response to the Association’s June 24, 2026, letter, and no formal invitation to discuss the Project.

In conversations with Mr. Leishman this week, he indicated that the City intended to move forward with eminent domain proceedings to acquire the additional right-of-way. Mr. Leishman further stated, in April 2026, a packet was sent from the City’s appraiser directly to The Vintage Club Community Association without copying counsel. This is despite the City having notice that Buchalter has represented The Vintage Club Community Association with respect to the Project since 2025. We have not had an opportunity to review the correspondence purportedly sent to our client and we are unaware of any public document making clear the City’s intent to utilize eminent domain in this matter. If the City, in fact, determines to remedy its approval and proceed with the Project unchanged, The Vintage Club Community Association strongly opposes the taking of any of its private property by use of eminent domain or other action. The survey data simply does not support the public need for the Project, and protracted litigation does not serve the interests of the Council and its constituents, or Indian Wells and the community-at-large. Moreover, the lack of compliance with CEQA for the Project also undermines any resulting eminent domain proceedings.

Very truly yours,

BUCHALTER LLP
Vincent Whittaker

INDIAN WELLS CITY COUNCIL
September 3, 2026

To: City Council
From: Public Works Department
Prepared by: Dina Purvis, Public Works Director
Subject: Supplemental Appropriation and Amendment to Task Order No. 1 with Dokken Engineering for the Dakota Trail Flood Mitigation Project

RECOMMENDED ACTIONS:

FINDS the project to be exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301, Class 1(c) of Title 14 of the California Code of Regulations.

BACKGROUND:

Neighborhood and Infrastructure Context
The Dakota Trail and Blackfoot Drive area is situated within the Indian Wells Village neighborhood, part of Indian Wells Annexation No. 13, which was annexed into the City in March 2000. The neighborhood streets—including Dakota Trail, Blackfoot Drive, Cheyenne Drive, Elkhorn Trail, and Arapahoe Vista—are 36-foot-wide roadways constructed with rolled curb and gutter and no sidewalks. Over the years, the City has made substantial infrastructure investments in this neighborhood, including sewer main and lateral installations, utility undergrounding, road paving, and traffic control improvements.

Drainage Deficiencies and Engagement of Dokken Engineering Recent storm events in the Coachella Valley have overwhelmed local drainage infrastructure in the project area, resulting in stormwater flows that exceed the capacity of the existing rolled curbs. These conditions have caused flooding and private property impacts near the intersection of Dakota Trail and Blackfoot Drive. In response, the City 32 Council, at its February 5, 2026, Council meeting engaged Dokken Engineering under Task Order No. 1 in the amount of $119,441 to perform an initial drainage study and preliminary engineering design to identify site deficiencies, evaluating 10-year and 100- year hydraulic conditions, and modeling mitigation alternatives such as cross gutters, curb outlet structures, and flow redistribution. Dokken Engineering's preliminary analysis and recommendations memorandum evaluated multiple scenarios to mitigate overtopping and ponding at Dakota Trail and Blackfoot Drive.

DISCUSSION:

Preliminary Analysis Findings
Dokken Engineering's preliminary analysis and recommendations evaluated multiple design scenarios to mitigate the identified drainage deficiencies at Dakota Trail and Blackfoot Drive. The modeling effort assessed hydraulic performance under varying recurrence intervals and examined the feasibility of infrastructure modifications that would redirect or attenuate stormwater flows before they reach the critical intersection.

The preliminary engineering phase has provided the City with a technical foundation and a clear understanding of the drainage problem, the range of viable solutions, and the relative performance of each alternative under modeled storm conditions.

Need for Expanded Scope and Final Design Services
The initial contract amount of $119,441 was scoped to cover only the preliminary drainage analysis and conceptual design phase. To advance the project toward construction, an additional scope and fee authorization of $ 36,500 is necessary to complete the expanded services.

Estimated Construction Costs
Construction costs are estimated at $350,000, based on preliminary engineering completed to date. This estimate will be refined through the engineer's cost estimate prepared during final design. If approved, staff will work with consultant to finalize design and complete work as soon as possible.

OPTIONS:

1. City Council approve a supplemental appropriation of $386,500 from the Capital Improvement Reserve Fund and approve an amendment to Dokken Engineering for expanded engineering design and construction support services for the project.

2. City Council can choose not to approve a supplemental appropriation of $386,500 from the Capital Improvement Reserve Fund and not approve an amendment to Dokken Engineering for expanded engineering design and construction support services for the project.
33 3. Provide alternative direction

FISCAL IMPACT:

The recommended action requires a new supplemental appropriation of $386,500 from the Capital Improvement Reserve Fund: $36,500 to complete the expanded engineering design scope and $350,000 for construction of the Dakota Trail/Blackfoot Drive drainage improvements.

In February 2026, Council appropriated $150,000 from the Capital Improvement Reserve Fund for the Drainage Study and Design at Dakota Trail and Blackfoot Drive. Of that amount, $119,441 was placed under contract through Task Order No. 1 for preliminary drainage analysis and conceptual design, leaving an unspent balance of $30,559 within the existing appropriation.

Completing the expanded design scope — final construction plans, specifications, cost estimates, utility coordination, and construction-phase engineering support — requires an additional $36,500 beyond that remaining balance, for a total design authorization of $67,059 under this amendment. Combined with the original $119,441 contract amount, the total authorized fee to Dokken Engineering will be $186,500.

The $350,000 construction estimate is preliminary and based on the engineering work completed to date; it will be refined through the engineer's construction cost estimate prepared during final design. Staff will return to Council should the final design result in costs exceeding this estimate.

With this action, total Council-authorized funding for the Dakota Trail/Blackfoot Drive drainage project — design and construction combined — will be $536,500 from the Capital Improvement Reserve Fund.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

This action has been reviewed in accordance with the authority and criteria contained in the California Environmental Quality Act (CEQA), the State and local CEQA Guidelines, and the environmental regulations of the City. The City, acting as the Lead Agency, has determined the action qualifies as Categorically Exempt from CEQA pursuant to Section 15301, Class 1(c) of the State CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3.
34 INDIAN WELLS CITY COUNCIL
September 3, 2026
To: City Council
From: City Manager Department
Prepared by: Angelica Avila, City Clerk
Subject: Indian Wells Preservation Foundation Event Calendar Fiscal Year 2026-27
RECOMMENDED ACTIONS:

Council APPROVES the Indian Wells Preservation Foundation event calendar for Fiscal Year 2026-27 as recommended by the Community Activities; and FINDS the action exempt from California Environmental Quality Act (CEQA) review under Guidelines section 15061(b)(3).

BACKGROUND:

The City Council approved an annual sponsorship of $11,000 for the Indian Wells Preservation Foundation (IWPF), designating the City as the presenting sponsor for agreed-upon events. As part of this designation, the City will receive a minimum of 12 tickets or seats for City representatives for each sponsored event.

Additionally, the City Council authorized the Community Activities Committee to collaborate annually with IWPF to establish an event calendar and monitor the sponsorship, with funding allocated as a separate line item in the Committee’s budget.

This collaboration includes:
•Establishing an annual event calendar in partnership with IWPF. •Monitoring the sponsorship to ensure alignment with City goals and community engagement.
•Monitoring the annual sponsorship funding as a separate line item in the Committee’s budget.

The enhanced partnership with IWPF reflects the City’s commitment to supporting initiatives that benefit residents and visitors. The presenting sponsor designation provides visibility for the City and ensures representation at key community events. The IWPF submitted a report for Fiscal Year 2025-26 outlining the events held and providing an overview of the deliverables supported by City funding (Attachment No. 1). 35 Advisory Committee Recommendation

The Community Activities Committee met on August 20, 2026, to review and discuss the proposed event calendar for FY 2026-27. During the meeting, IWPF highlighted the variety of programs planned for the upcoming fiscal year, as detailed in Attachment No.

2. Following its review, the Committee recommends the Council approve the proposed events as presented.

The Committee’s role in coordinating with IWPF supports efficient planning and promotes public accountability. The establishment of a separate budget for the IWPF sponsorship facilitates clear tracking and reporting of expenditures. The proposed event calendar reflects a diverse range of community-focused programming that aligns with the City’s strategic priorities and cultural values.

CITY COUNCIL STRATEGIC GOAL:

Preserving the City’s heritage is a key goal of the City Council, and the Council supports the Indian Wells Historic Preservation Foundation’s efforts to safeguard and celebrate the history of Indian Wells.

FISCAL IMPACT:

No supplemental appropriation required. A subsequent allocation of $11,000 has been incorporated into the City’s annual budgetary appropriation process.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

ATTACHMENTS:

1. IWPF 2025-26 Event Reporting

2. IWPF 2026-27 Event Calendar

36 Indian Wells Preservation Foundation FY 2026-27 Event Calendar City of Indian Wells
City Council & Successor Agency Joint Meeting:

September 3, 2026 - Presentation
Consent Item G.6

Background
•City provides an annual $11,000 sponsorship to IWPF
•City serves as the Presenting Sponsor for approved events •City receives 12 seats/tickets for each sponsored event •Community Activities Committee oversees the calendar, sponsorship activities, and budget monitoring 2 Committee Review
•Reviewed by the Community Activities Committee on August 20, 2026 •Committee recommends approval of the proposed event
calendar
•Programs support community engagement, historic preservation, and cultural education
3 Event Highlights
•Recognition of Historic Landmark #9: Sands Hotel & Spa (November 17, 2026) •Expanded community outreach through the IWPF Mix & Mingle (January 15, 2027) •Launch of the Historic Neighborhood Recognition Program featuring four historic neighborhoods (February 2027 -TBD)
•Indian Wells Oral History Symposium supporting the City's 60th Anniversary celebration (March 2027- TBD) •Continued education and engagement through the Annual Meeting (April 1, 2027) 4 Recommendation
•Council Approves the FY 2026-27 IWPF Event Calendar and Find the action exempt from CEQA review.
•This supports the City Council's strategic goal of preserving and celebrating the heritage of Indian Wells
5 Questions?
6 ATTACHMENT 1
Indian Wells Preservation Foundation (IWPF) Memberships and Events FY 2025-26 Report to City of Indian Wells
Background: In January 2025, Indian Wells City Council approved a Partnership Funding request from the IWPF in the amount $6,000 for City Fiscal Year July 1, 2024 - June 30, 2025, and $11,000 per year thereafter. In exchange, the IWPF agreed to list the City of Indian Wells as a Sponsor of all city-funded events, and to provide 12 tickets to all IWPF events for the City’s discretionary use. Council directed that the funds would be monitored by the Community Activities Committee (CAC).

The IWPF remains grateful for the successful partnership enjoyed with the CAC during its initial fiscal year and looks forward to continued success in the years ahead. In addition, the City’s outreach support through informative e-blasts to residents continues to increase both IWPF memberships and attendance at our events for which the Foundation is most grateful.

MEMBERSHIPS*
Partnership: In November 2024, the City of Indian Wells announced a partnership with the IWPF that included a reduced membership fee to all Indian Wells residents with a Resident Card. The city aided the launch of the Foundation’s Membership Drive, with an e-blast to all IW residents. In January 2023, IWPF memberships were documented at 45 and grew to 113 by June 2025. Today, August 28, 2026, memberships total 233. 37 Memberships as of June 2026:

Household Memberships = 193
Benefactor Memberships = 21
Lifetime Memberships = 10
Corporate Sponsors = 9
Bennion & DeVille Charitable Foundation
City of Indian Wells
Dan Hamilton - The Real Estate Group
Grand Hyatt Indian Wells Resort & Villas
IW Coffee
Kitchen Kitchen
One Valley Foundation
Penna Family Law, APC
Zwemmer Realty Group
*Note:

As of August 28, 2026, Household Memberships = 193 Many Household Memberships include two individuals living in the same household.

Two new corporate sponsors anticipate joining IWPF by September 30, 2026.

EVENTS: DECEMBER 2025 – APRIL 2026
IWPF convened five successful events during FY July 1, 2025 - June 30, 2026, and appreciates the enthusiastic participation of City leadership.

December 3, 2025 - Historic Landmark #8: The Petrie House, Desert Bel Air Estates: The Foundation and the City celebrated the recognition of this iconic 1964 home, designed by William Cody, FAIA. Since 2022, Sheldon and Stephany Anderson have been stewards of the storied estate bringing it back to its prime and garnering a deep friendship with the Petrie family, many of whom attended the event. It included a personal home tour, remarks from Mayor Bruce Whitman, Mayor ProTem Dr. Toper Taylor, City Council members; plaque unveiling, event publication, special guests, video production and reception celebration. Preservationist Tracy Conrad penned Thanks for the Memories, The Desert Sun, “Peek into history at celebration of William F. Cody- designed estate”, November 30, 2025.

Attendees – 87 City sponsorship - $5,000 Event cost - $12,255.51 January 16, 2026: Mix & Mingle, Indian Wells Golf Resort This free, fun event highlighted IWPF’s vision + value, focused on recruiting new members -- bring a friend, eight new members joined. Vice President Kevin Mead presented a thoughtful narrative highlighting Mary Yeakel and the historic neighborhood of Indian Wells Village. The event launched a first time, spirited live auction, spearheaded by dynamos former Mayor Donna Griffith and Mayor ProTem Brian Penna. Tasty Kestrel appetizers and no host bar enhanced its success.
38 Attendees – 116 City sponsorship - $1,500 Event cost - $3,938.50 March 11, 2026 - IWPF Annual Meeting – Indian Wells Country Club This free event presented annual IWPF Report and curated exhibit by Creative Director Katherine Mead with keynote by Vice President Kevin Mead, Advocating and Celebrating Historic Neighborhoods. (See Attachment 2 - Historic Neighborhood Recognition: February 2027). Noteworthy is that IWCC provides the perfect venue for IWPF Annual Meetings given the club’s history and heritage.

IWPF member attendees – 50 City sponsorship - $2,000 Event cost - $1,805 March 27, 2026: Cocktail Soiree Fundraiser and Celebration of National Register of Historic Places Designation for Desert Bel Air Showcase Home: The Foundation, City and attendees celebrated the recognition of this renowned 1961 home, designed by William Cody, FAIA. Since 2019, Karlyn Neel has been the steward of the home, purchasing it from Jessy Moss and Steve Jocz who transformed it from an advertised tear-down to its original external/interior design. The event included curated tours, remarks from Mayor Dr. Toper Taylor, City Council members, special guests Catherine Cody, Lisa Vossler Smith and others and festive cocktail reception celebration. On March 22, 2026, The Desert Sun published Thanks for the Memories, preservationist Tracy Conrad’s feature which included the home.

Attendees – 100 City sponsorship - $2,000 Event cost - $3,304.50 April 24, 2026 - Springtime El Dorado Palms Neighborhood Tour provided a unique walking tour designed as an introduction for Historic Neighborhood Recognition of street blades and their potential influence on community. (See Attachment 2 - Historic Neighborhood Recognition: February 2027). This successful event brought the leadership of Palm Springs Art Museum and residents from several historic neighborhoods to experience these guided walking tours.

Attendees – 52 City sponsorship - $ 500 Event cost - $962.51 Submitted by Ginny Whitman, IWPF Secretary, August 27, 2026 (Treasurer Kim Wilson and President Linda Blank also contributed to the City Report.) IWPF Board: President Linda Blank, Vice President Kevin Mead, Secretary Ginny Whitman, Treasurer Kim Wilson, Creative Director Katherine Mead, Director at Large Donna Griffith, Sponsorship Director Lou Urrutia, Council Liaison Mayor ProTem Brian Penna
39 PROPOSED IWPF ACTIVITIES: NOVEMBER 2026 – APRIL 2027

Historic Landmark #9: Sands Hotel & Spa
Tuesday, November 17, 2026
3-5 PM: Hotel Partners - David Dittmer, Kip Lord, Britt Shufford; Special guests: Martyn Lawrence Bullard, interior designer; Lisa Vossler Smith, Modernism Week CEO; City officials. Venue: Olive Grove, 100 capacity, reception/cash bar, historic plaque unveiling, City contribution - $5,000

IWPF Mix + Mingle: Grand Hyatt Hotel
Friday, January 15, 2027
4:30 - 6:30 PM: Free event, members register to bring potential new IWPF members, features vibrant live/silent auction with Auctioneer Mayor Brian Penna, appetizers/cash bar, 100 capacity, City contribution - $1,500

Historic Neighborhood Recognition: February 2027
Anticipate December 2026 City rollout. Convene during February 2027, weekly curated individual walking tours, celebrating iconic street blade design/placement in historic 4 neighborhoods, 2 hours each – Indian Wells Village, Desert Bel Air, Rancho Palmeras Estates, El Dorado Palms Estates. IWPF and neighborhood residents collaborate to create, organize and implement, City contribution - $1,000

Indian Wells Oral History Symposium: March 2027 date/location, City to determine, aligned with 60th Anniversary of City of Indian Wells Eleven completed video/published interviews (2023 -2026 CSUF - The Lawrence de Graaf Center for Oral and Public History) Mayor ProTem Greg Sanders to moderate community event; selected participants are Mary Roche, Marc Laliberte, Donna Griffith, Charlie Pasarell, feature summary video, celebration reception, 250 capacity, City contribution - $2,500

Annual Meeting: Indian Wells Country Club, Ballroom A
Thursday, April 1, 2027, 3 – 5 PM Free event
Board presents annual report, curated exhibition, guest speaker, 75 capacity, light refreshments, City contribution - $1,000
Submitted to City of Indian Wells Community Activities Committee, August 20, 2026, IWPF President Linda Blank 40 PROPOSED IWPF
ACTIVITIES: November 2026 – APRIL 2027
Historic Landmark #9: Sands Hotel & Spa
Tuesday, November 17, 2026
3-5 PM: Hotel Partners - David Dittmer, Kip Lord, Britt Shufford; Special guests: Martyn Lawrence Bullard, interior designer; Lisa Vossler Smith, Modernism Week CEO; City officials. Venue: Olive Grove, 100 capacity, reception/cash bar, plaque unveiling, City contribution - $5,000
IWPF Mix + Mingle: Grand Hyatt Hotel
Friday, January 15, 2027
4:30 - 6:30 PM: Free event, members register to bring potential new IWPF members, features vibrant live/silent auction with Auctioneer Mayor Brian Penna, appetizers/cash bar, 100 capacity, City contribution - $1,500
Historic Neighborhood Recognition: February 2027
Anticipate December 2026 City rollout. Convene February 2027 curated individual walking tours, celebrating iconic street blade design/placement in historic neighborhoods, 2 hours each – Indian Wells Village, Desert Bel Air, Rancho Palmeras Estates, El Dorado Palms Estates. IWPF and neighborhood residents collaborate to create, organize and implement. City contribution - $1,000 Indian Wells Oral History Symposium: March 2027 date/location aligned with 60th Anniversary of City of Indian Wells
Eleven completed video/published interviews (2023 -2026 CSUF - The Lawrence de Graaf Center for Oral and Public History) Mayor ProTem Greg Sanders to moderate community event; participants Mary Roche, Marc Laliberte, Donna Griffith, Charlie Pasarell, feature summary video, celebration reception, 250 capacity, City contribution - $2,500
Annual Meeting: Indian Wells Country Club
Thursday, April 1, 2027 (tentative)
Board presents traditional reports, curated exhibition, anticipate guest speaker, 2-hours, 60 capacity, light refreshments, City contribution - $1,000 Submitted to City of Indian Wells Community Activities Committee, August 20, 2026, IWPF President Linda Blank ATTACHMENT #2
41 INDIAN WELLS CITY COUNCIL
September 3, 2026
To: City Council
From: City Manager Department
Prepared by: Angelica Avila, City Clerk
Subject: Children’s Museum of the Desert Sponsorship

RECOMMENDED ACTIONS:

Council APPROVES the Children's Discovery Museum sponsorship, including a $37,500 credit for use at the Indian Wells Golf Resort, for Fiscal Year 2026-27; and

FINDS the action exempt from CEQA review under CEQA Guidelines section 15061(b)(3).

BACKGROUND:

The Children's Discovery Museum of the Desert (Children's Museum) is a nonprofit organization founded in 1986 and a charter member of the Association of Youth Museums, dedicated to maintaining the highest standards in youth education, public service, outreach, and museum operations. For nearly four decades, the Children's Museum has served as a regional educational resource where children, families, educators, and community members engage in hands-on learning experiences while celebrating the cultural diversity of the Coachella Valley.

The Children's Museum has long been recognized as a family-oriented destination within the Coachella Valley, providing educational and recreational opportunities that enhance the region's appeal to both residents and visitors. Hotel and tourism partners throughout the Valley regularly promote the Children's Museum as a family-friendly attraction that complements the area's resort offerings and enhances the visitor experience.

The City of Indian Wells has been a longstanding supporter of the Children's Museum. In 1991, the Cove Communities of Indian Wells, Rancho Mirage, and Palm Desert established a $1.6 million Building Trust Fund to facilitate the construction of the Museum's original facility.

Since 1999, the City has provided approximately $448,639 in grant and community assistance funding to support Museum programs and operations. Most recently, in November 2022, the City contributed $25,000 toward facility improvements that resulted in the creation of a new exhibit area serving children aged 0-8.

Supporting regional attractions that expand recreational and educational opportunities for visitors helps strengthen the tourism that benefits the City. While the Museum is located outside the City, it contributes to the overall destination experience that supports hotel occupancy, visitor spending, and the Transient Occupancy Tax revenues that are a primary source of funding for City services and programs. The City’s Marketing Committee finds great value in promoting the Children’s Museum and is constantly looking for opportunities to 42 expand their relationship as a family attraction for their guests.

DISCUSSION:

At its May 2025 meeting, the City Council discussed the Children's Discovery Museum of the Desert and directed staff to explore opportunities for partnership and collaboration between the City and the Museum.

The Children's Museum is a regional educational attraction serving more than 80,000 visitors annually through exhibits, educational programming, camps, outreach activities, and special events. The Museum has a long-standing relationship with the City and has proposed several opportunities to strengthen that partnership.

In August 2026, the Children’s Museum submitted a sponsorship request (Attachment No. 1) to the City of Indian Wells to serve as the host golf course for the proposed Children’s Museum golf tournament, The golf tournament is to serve as a major fundraising effort for Fiscal Year 2026-2027. The request from the Children’s Museum includes:

• Complimentary use of the Indian Wells Golf Resort for the Children's Museum fundraising golf tournament, with the Museum recognizing the City and Golf Resort as the host partner. The Museum believes this would maximize fundraising proceeds to support its educational programs.
o Daily rental of one golf course is valued at $25,000. Food and Beverage services are valued at $12,500, bringing the total value to $37,500. • Resident Benefits Program providing Indian Wells residents:
o $5 off general Museum admission; and
o 10% off Museum memberships with a valid Resident Benefit Card. • Benefits for Indian Wells Hotel Guests:
o $5 off general Museum admission upon proof of stay; and o Promotional materials distributed through participating resorts and hotels

In addition to the points outlined above, the City will also be highlighted in marketing materials for the golf tournament as the host sponsor and receive similar benefits for other golf sponsors (e.g., on course promotion, participation in the event, etc.).

Per the City's Sponsorship Funding Policy, the Children's Museum sponsorship request is consistent with the Sponsorship category, as the primary benefit to the City is enhanced community engagement, educational enrichment, and visibility through public programming and outreach activities.

As a condition of receiving sponsorship funding, the Children's Museum will be required to submit a written report to the City no later than ninety (90) days following the conclusion of the sponsorship period, or on the anniversary of the date the sponsorship was approved, whichever occurs first. The report shall document:

• The activities, programs, or events supported by the City's sponsorship. • How sponsorship benefited the City and furthered community objectives. • Attendance, participation, and outreach metrics achieved. 43 • Marketing and promotional exposure provided to the City, including recognition, advertising, media coverage, social media reach, website traffic, and other applicable visibility measures.
• A summary of sponsorship expenditures and use of City funds, including documentation of actual expenditures such as receipts and invoices.
• An evaluation of the measurable outcomes identified in the sponsorship application and the extent to which those outcomes were achieved.
• Any unforeseen challenges or deviations from the initial plan, with explanations.

The post-sponsorship report will be used by the City to evaluate the sponsorship's effectiveness, ensure compliance with the City's Sponsorship Funding Policy, and inform future funding decisions.

Finance Committee Review and Recommendation
Consistent with the City's Sponsorship Funding Policy, initial Council interest in a Museum partnership was established at the May 2025 meeting referenced above, prior to referral to the Finance Committee. The Finance Committee reviewed the Children's Museum sponsorship request at its meeting on August 6, 2026. Following discussion and consideration of the request, the Finance Committee reviewed the Children's Discovery Museum sponsorship request and expressed its support for the proposed sponsorship, recognizing the Museum as a valuable regional asset that advances educational opportunities, enriches the community, benefits residents and families, and enhances the Coachella Valley visitor experience.

The Committee recommended that the Children’s Discovery Museum be granted credit of $37,500 for use at the Golf Resort for a golf tournament, rather than the use of a particular day, to provide the Children’s Museum with greater flexibility in planning their tournament.

The Committee recommends approval of the sponsorship request and forwards its recommendation to the City Council for consideration.

CITY COUNCIL STRATEGIC GOAL:

This initiative supports the City's strategic goals of enhancing tourism, strengthening economic development, and fostering regional partnerships. As a tourism-driven community that relies heavily on Transient Occupancy Tax (TOT) revenues, Indian Wells benefits from regional attractions that enhance the visitor experience.

The Children's Discovery Museum provides a family-friendly amenity for residents and hotel guests, supporting the City's position as a premier resort destination while delivering value to both visitors and the community. Additionally, this sponsorship expands resident benefits and provides economic development opportunities for the City's local hotel partners by enhancing the range of attractions and experiences available to guests visiting the region.

44 FISCAL IMPACT:

Approval of this sponsorship will result in a $37,500 credit for use at the Indian Wells Golf Resort (comprised of $25,000 in course rental value and $12,500 in food and beverage value), to be applied at the Children's Museum's discretion toward its fundraising golf tournament. This credit will be funded by the City’s Golf Fund in the Fiscal Year 2026-27 budget.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

1. Children’s Discovery Museum Letter
45 PH: 760.321.0602 www.cdmod.org
71-701 Gerald Ford Drive Rancho Mirage CA 92270
August 3, 2026
Mayor and Members of the City Council
City of Indian Wells
44-950 Eldorado Drive
Indian Wells, CA 92210
Dear Mayor and Members of the City Council:

On behalf of the Children’s Discovery Museum of the Desert, I am pleased to request the City of Indian Wells’ continued partnership in supporting educational opportunities for children and families throughout our community.

We are deeply grateful for the City of Indian Wells’ past support of the Museum and its mission. Most recently, the City’s support of our Science Nights has helped us provide engaging, hands-on learning experiences that encourage children and families to explore science, technology, engineering, art, and mathematics together. Partnerships such as this allow the Museum to expand the educational experiences we provide while keeping them accessible to families throughout the Coachella Valley.

The Children’s Discovery Museum of the Desert serves more than 80,000 visitors annually, providing hands-on opportunities for children to learn, explore, create, and discover through play. Beyond our exhibits, the Museum serves children and families through educational programming, field trips, camps, community outreach, access initiatives, and special events.

As we look toward the coming year, we respectfully request the City of Indian Wells’ support in expanding our partnership in three meaningful ways.

Complimentary Use of the Indian Wells Golf Resort
The Museum is planning a benefit golf tournament to generate philanthropic support for our educational mission. We respectfully request that the City of Indian Wells provide complimentary use of the golf course at the Indian Wells Golf Resort for this fundraising event.

Eliminating the expense associated with course use would significantly increase the net proceeds generated by the tournament, allowing more of the funds raised through sponsorships, registrations, and tournament activities to directly support the Museum’s educational programs and services.

Board of Directors
Jamie Steinberg
mint Modern Marketing
Board Chair
Catherine Robinson
First American Title
Immediate Past Board Chair
Davis Meyer
Visit Greater Palm Springs
Executive Director
Wes Oliphant
Affiliated Construction Co., Inc.

Treasurer
Anthony Henry
Cotino, Story Living by Disney
Executive Director
Amir Afsar
Afsar Legal Group
Director
Erika Unruh
Windermere Real Estate
Director
Ruairi M. Clerkin
Merrill Lynch Wealth Management
Director
Marco Rossetti
CBRE
Director
Blaine Amidei
Fortem Loans
Director
Angela Chen
ESQ
Director
Erin Scott Kuhn
Erin Scott Kuhn Strategic
Communications
Director
Peter Kim
California Bank & Trust
Director
ATTACHMENT #1
46 PH: 760.321.0602 www.cdmod.org
71-701 Gerald Ford Drive Rancho Mirage CA 92270

The Indian Wells Golf Resort offers an exceptional setting for an event of this nature and an opportunity to bring together business and community leaders, residents, and Museum supporters around a shared investment in children and families. The Children’s Discovery Museum of the Desert would proudly recognize the City of Indian Wells and the Indian Wells Golf Resort as key partners in making the tournament possible.

Exclusive Benefits for Indian Wells Residents
As part of our continued partnership, the Museum would provide exclusive, year-round benefits to Indian Wells residents presenting a valid City of Indian Wells Resident Benefit Card.

Indian Wells residents would receive:
• $5 off general Museum admission
• 10% off Museum memberships
These benefits would provide Indian Wells families with greater access to the Museum’s hands-on exhibits, programs, and educational experiences throughout the year while creating a direct and tangible benefit for residents through the City’s partnership with the Museum.

Benefits for Guests of Indian Wells Hotels
We would also extend a special admission benefit to guests staying at participating Indian Wells hotels. Hotel guests presenting proof of a current stay at an Indian Wells hotel would receive:
• $5 off general Museum admission
The Museum would work with Indian Wells hotel partners to make the benefit easy to communicate and redeem, including providing appropriate promotional materials and information for hotel staff and guests.

As a family-focused regional attraction, the Children’s Discovery Museum of the Desert provides Indian Wells hotels with an additional high-quality activity to recommend to families visiting the destination. This benefit would enhance the visitor experience while encouraging hotel guests to explore additional attractions and experiences within the Coachella Valley.

We see this request not simply as support for a single fundraising event, but as an opportunity to continue building a mutually beneficial relationship between the City of Indian Wells and the Children’s Discovery Museum of the Desert. Complimentary use of the Indian Wells Golf Resort would allow the Museum to maximize philanthropic revenue generated through the tournament; resident admission and membership discounts would provide an ongoing benefit specifically for Indian Wells families; and the hotel guest benefit would extend the partnership to the City’s important hospitality and tourism community.

Board of Directors

Jamie Steinberg
mint Modern Marketing
Board Chair

Catherine Robinson
First American Title
Immediate Past Board Chair

Davis Meyer
Visit Greater Palm Springs
Executive Director

Wes Oliphant
Affiliated Construction Co., Inc.

Treasurer

Anthony Henry
Cotino, Story Living by Disney
Executive Director

Amir Afsar
Afsar Legal Group
Director

Erika Unruh
Windermere Real Estate
Director

Ruairi M. Clerkin
Merrill Lynch Wealth Management
Director

Marco Rossetti
CBRE
Director

Blaine Amidei
Fortem Loans
Director

Angela Chen
ESQ
Director

Erin Scott Kuhn
Erin Scott Kuhn Strategic
Communications
Director

Peter Kim
California Bank & Trust
Director

47 PH: 760.321.0602 www.cdmod.org
71-701 Gerald Ford Drive Rancho Mirage CA 92270

We are tremendously grateful for the City of Indian Wells’ continued investment in the Museum and, most importantly, in the children and families we collectively serve. From your support of programs such as Science Nights to the partnership we are proposing today, the City has demonstrated a meaningful commitment to education, families, and quality of life throughout our community.

Thank you for your consideration of this request. We would be honored to continue growing our partnership with the City of Indian Wells and look forward to welcoming even more Indian Wells residents and visitors to the Children’s Discovery Museum of the Desert.

Sincerely,
Cindy Burreson
President/CEO
Children’s Discovery Museum of the Desert

Board of Directors

Jamie Steinberg
mint Modern Marketing
Board Chair

Catherine Robinson
First American Title
Immediate Past Board Chair

Davis Meyer
Visit Greater Palm Springs
Executive Director

Wes Oliphant
Affiliated Construction Co., Inc.

Treasurer

Anthony Henry
Cotino, Story Living by Disney
Executive Director

Amir Afsar
Afsar Legal Group
Director

Erika Unruh
Windermere Real Estate
Director

Ruairi M. Clerkin
Merrill Lynch Wealth Management
Director

Marco Rossetti
CBRE
Director

Blaine Amidei
Fortem Loans
Director

Angela Chen
ESQ
Director

Erin Scott Kuhn
Erin Scott Kuhn Strategic
Communications
Director

Peter Kim
California Bank & Trust
Director

48 PH: 760.321.0602 www.cdmod.org
71-701 Gerald Ford Drive Rancho Mirage CA 92270

Board of Directors

Jamie Steinberg
mint Modern Marketing
Board Chair

Catherine Robinson
First American Title
Immediate Past Board Chair

Davis Meyer
Visit Greater Palm Springs
Executive Director

Wes Oliphant
Affiliated Construction Co., Inc.

Treasurer

Anthony Henry
Cotino, Story Living by Disney
Executive Director

Amir Afsar
Afsar Legal Group
Director

Erika Unruh
Windermere Real Estate
Director

Ruairi M. Clerkin
Merrill Lynch Wealth Management
Director

Marco Rossetti
CBRE
Director

Blaine Amidei
Fortem Loans
Director

Angela Chen
ESQ
Director

Erin Scott Kuhn
Erin Scott Kuhn Strategic
Communications
Director

Peter Kim
California Bank & Trust
Director

49 INDIAN WELLS CITY COUNCIL
September 3, 2026

To: City Council
From: City Manager Department
Prepared by: Catherine Manning, Management Assistant
Subject: Community Activities Committee Event Calendar for Fiscal Year 2026-27

RECOMMENDED ACTIONS:

Council APPROVES the Community Activities Committee event calendar recommendation for Fiscal Year 2026-27 Event Calendar; and

FINDS the project to be exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3).

BACKGROUND:

The City Council recognizes the importance of offering community-focused events that foster engagement, connection, and civic pride among residents. These events provide opportunities for community members to come together, celebrate local traditions, and strengthen relationships that contribute to a vibrant and inclusive community.

The Community Activities Committee is responsible for planning and implementing a variety of events throughout the year that provide opportunities for residents to gather and participate in shared experiences. Continued growth in attendance and resident interest in these programs has demonstrated the value of these offerings and supports the Committee’s efforts to expand and enhance its annual event schedule during Fiscal Year 2026–27.

Advisory Committee Recommendation
The Community Activities Committee (“the Committee”) has been tasked to develop and finalize the resident events calendar for Fiscal Year 2026–27. Meeting monthly, the Committee plans and implements a variety of events aimed at enhancing community engagement and resident benefits. Over the coming months, the Committee will continue to review the current list of events, finalize dates, and explore opportunities to introduce new activities that reflect the interests and needs of the community.

On July 9, 2026, the Community Activities Committee met to discuss and finalize calendar recommendations for Fiscal Year 2026–27. Following deliberation, the Committee voted 50 to approve the following recommendations for events this upcoming year:

The Committee recommends the following resident events:
• Resident Welcome Back Party, Wednesday, October 21, 2026 • Movie Night on the Green, Wednesday, October 28, 2026 • Veterans Day Ceremony, Wednesday, November 11, 2026
• Wildlights Event Tickets (November 2026)
• Salton Sea Tour (February 2027)
• Palm Springs Air Museum Resident’s Day (February 2027) • Health and Wellness Classes (Jan 2027)
• Author Series (March 2027)
• Earth Day, Thursday, April 22, 2027
• Excursion Tour (Spring 2027)
• End of Season/60th Anniversary Celebration, Friday, April 30, 2027 • Memorial Day Ceremony, Monday, May 31, 2027
• Summer Event; City 60TH Birthday Celebration, July 14, 2027

The Committee will continue to offer a variety of programs and events throughout the year that encourage residents to engage with their community, build meaningful connections, and participate in recreational, educational, and social activities.

In the coming year, the Committee will collaborate with the City's 60th Anniversary Ad Hoc Committee to coordinate a joint End-of-Season and 60th Anniversary Celebration, commemorating this important milestone in the City's history and honoring six decades of community growth and achievement.

In addition, the Committee plans to host a Summer event in July to celebrate the City's 60th birthday on July 14, providing residents with another opportunity to gather, connect, and celebrate their community. Through these events, the Committee aims to foster a vibrant and inclusive community atmosphere by creating meaningful opportunities for residents of all ages to engage, participate, and build connections, while enhancing overall quality of life.

FISCAL IMPACT:

The Fiscal Year 2026–27 budget for the Community Activities Committee is set at $175,000, as adopted by the City Council. All proposed programs, events, and initiatives for the year are anticipated to be funded within the approved budget allocation. These funds will support a diverse range of community engagement opportunities, including established annual events, resident programs, educational and recreational activities, and new initiatives identified by the Committee throughout the year.

51 CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

ATTACHMENTS:

1. Fiscal Year 2026-27 Events

52 2026-2027 Resident Event Calendar
1 Resident Welcome Back Party – October 21, 2026
Movie Night on the Green – October 28, 2026
Veterans Day – November 11, 2026
Wildlights – November 2026
Health & Wellness Classes – January 2027
Salton Sea Tour – February 2027
Palm Springs Air Museum Resident’s Day – February 2027
Author Series – March 2027
Earth Day – April 22, 2027
Excursion Tour - TBD
End of Season/60th Anniversary Celebration – April 30, 2027 Memorial Day – May 31, 2027
Summer Event/60th Birthday Celebration – July 14, 2027
City Council & Successor Agency Joint Meeting:

September 3, 2026 - Presentation
Consent Item G.8

Resident Event Event Date Event Information
Resident Welcome Back Party 10/21/2026 Date: Wednesday, October 21, 2026 Time: 5:30 P.M. - 8:00 P.M.

Location: Indian Wells Golf Resort, Pavillion
Movie Night on the Green 10/28/2026 Date: Wednesday, October 28, 2026 Time: TBD
Location: Indian Wells Golf Resort, Shots in the Night
Veterans Day 11/11/2026 Date: Wednesday, November 11, 2026 Time: 10:00 A.M.

Location: Indian Wells City Hall
Wildlights November, 2026 Date: TBD
Time: TBD
Location: Living Desert Zoo & Gardens
Health and Wellness Classes January, 2027 TBD
Salton Sea Tour February, 2027 Date: TBD
Time: TBD
Location: North Shore Yacht Club
Palm Springs Air Museum Resident's Day February, 2027 Date: TBD Time: TBD
Location: Palm Springs Air Museum
Author Series March, 2027 Date: TBD
Time: TBD
Location: Indian Wells Golf Resort
Earth Day 4/22/2027 Date: Thursday, April 22, 2027
Time: TBD
Location: Indian Wells Golf Resort
Excursion Tour TBD TBD
End of Season/60th Anniversary Celebration 4/30/2027 Date: Friday, April 30, 2027 Time: TBD
Location: Indian Wells Golf Resort
Memorial Day 5/31/2027 Date: Monday, May 31, 2027
Time: 9:00 A.M. - 10:00 A.M.

Location: Indian Wells Golf Resort, Celebrity Ballroom
Summer Event/60th Birthday Celebration 7/14/2027 Date: Wednesday, July 14, 2027 Time: TBD
Location: Indian Wells Golf Resort
2026/2027 Resident Event Calendar
ATTACHMENT #1
53 INDIAN WELLS CITY COUNCIL
September 3, 2026

To: City Council
From: Finance Department
Prepared by: Kevin McCarthy, Finance Director

Subject: Annexation of Property to Proposed Zone A11D Within Landscape and Lighting District No. 91-1 (Highway 111
Frontage at Club Drive/Vicky's of Santa Fe)

RECOMMENDED ACTIONS:

ADOPTS Resolution Declaring the City's Intention to Annex Territory (Highway 111 Frontage at Club Drive/Vicky's) to Landscape and Lighting District No. 91-1, Preliminarily Approving the Engineer's Report and Proposed Assessments, Setting the Public Hearing Date, and Calling for a Property Owner Protest Ballot Proceeding Pursuant to Article XIII D of the California Constitution; and

DIRECTS staff to mail the Notice of Public Hearing and Assessment Ballot to the affected property owner not less than 45 days prior to the scheduled Public Hearing; and

FINDS the project to be exempt from the California Environmental Quality Act (CEQA) provision pursuant to Section 15060.

BACKGROUND:

The City has been approached by the owner of parcel 633-240-034 — the site of the restaurant known as Vicky's of Santa Fe — requesting that the City assume responsibility for maintenance of the parkway landscaping along Highway 111 and Club Drive.

Accommodating this request requires establishment of a new zone of benefit within Landscape and Lighting District No. 91-1, to be designated Zone A11D, Highway 111 Frontage at Club Drive/Vicky's.

If approved, Zone A11D will provide maintenance and servicing for approximately 11,500 square feet of turf, up to four trees, and the associated landscape irrigation and 54 decorative lighting systems. Covered services include, but are not limited to, landscape maintenance, tree trimming, irrigation system installation and repair, and graffiti and debris removal.

The parcel currently falls within the boundaries of Zones A11A and A11C; however, neither existing zone provides maintenance or servicing of the Highway 111 frontage improvements proposed for inclusion in Zone A11D. Formation of the new zone is therefore necessary to align assessment obligations with the services provided.

Because the proposed annexation would impose a new property-related assessment, it is subject to the procedural requirements of Proposition 218 (Article XIII D of the California Constitution), which requires approval through a property owner protest ballot proceeding. Upon adoption of the resolutions of intention, the Notice of Public Hearing and Assessment Ballot will be mailed to the affected property owner not less than 45 days in advance of the public hearing.

The public hearing is scheduled for November 5, 2026, at which time the ballot will be tabulated. The annexation may proceed only if no majority protest exists, based on the weighted ballots returned.

OPTIONS:

Council has the following options:

1. Approve Zone A11D as presented.

2. Deny approval of Zone A11D.

3. Provide an alternative direction.

FISCAL IMPACT:

The proposed maximum annual assessment for Zone A11D in Fiscal Year 2026/2027 is $6,525.75, to be levied against the annexed parcel and collected on the County property tax roll. Beginning in Fiscal Year 2027/2028, the Assessment Engineer will annually calculate the percentage change in the Consumer Price Index (CPI) for All Urban Consumers, Riverside-San Bernardino-Ontario Area, as published by the U.S. Bureau of Labor Statistics, comparing the index as of January 1 of each year to the prior January 1 (or a comparable period).

This calculated percentage, not to exceed 3.0% annually, establishes the allowable increase to the maximum assessment. There is no fiscal impact to the City's General Fund; assessment revenues collected within Zone A11D will fund only the maintenance and servicing costs attributable to that zone.

55 CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

This action has been reviewed per the authority and criteria contained in the California Environmental Quality Act (CEQA), the State and local CEQA Guidelines, and the City's environmental regulations. The City, acting as the Lead Agency, determined that the ordinance is not subject to CEQA pursuant to Sections 15060(c)(2), 15060(c)(3), and 15061(b)(3) of the State CEQA Guidelines, because it will not result in a direct or reasonably foreseeable indirect physical change to the environment as there is no possibility that the action would result in a significant environmental impact, and because it does not constitute a “project” as defined in Section 15378 of the State CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3.

ATTACHMENTS:

1. Resolution Initiating Proceedings for the Annexation

2. Resolution Declaring the City's Intention to Annex Territory

3. Landscape and Lighting District No. 91-1 Engineer's Report for Proposed Annexation of Zone A11D

56 RESOLUTION NO. 2026-__

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF INDIAN WELLS,

CALIFORNIA, INITIATING PROCEEDINGS FOR THE ANNEXATION OF TERRITORY (HIGHWAY 111 FRONTAGE AT CLUB DRIVE/VICKY’S) TO THE LANDSCAPE AND LIGHTING DISTRICT NO. 91-1 AND THE LEVY AND

COLLECTION OF ANNUAL ASSESSMENTS RELATED THERETO
COMMENCING WITH FISCAL YEAR 2027/2028, PURSUANT TO THE
PROVISIONS OF PART 2 OF DIVISION 15 OF THE CALIFORNIA STREETS

AND HIGHWAYS CODE
WHEREAS, the City Council of the City of Indian Wells (the “City Council”), through previous resolutions has established and levied annual assessments for Landscape and Lighting District No. 91-1 (hereinafter referred to as the “District”), pursuant to the provisions of the Landscaping and Lighting Act of 1972, Part 2, Division 15 of the California Streets and Highways Code (hereinafter referred to as the “Act”), which provides for the collection of special benefit assessments by the County of Riverside on behalf of the City of Indian Wells to pay for the maintenance and servicing of improvements and facilities related thereto; and WHEREAS, the City Council desires to initiate proceedings for the annexation of territory to the proposed Zone A11D (Highway 111 Frontage at Club Drive/Vicky’s) located at the southeast corner of Highway 111 and Club Drive (hereinafter referred to as “Annexation Territory”), to the District, pursuant to Chapter 2, Article 2 of said Act; to establish the proposed maximum annual assessment related thereto; and to levy and collect annual assessments against the parcel of land within the Annexation Territory commencing Fiscal Year 2027/2028 for the landscaping improvements and services that will provide special benefits to the property within the Annexation Territory pursuant to Chapter 4, Article 2 of said Act and Article XIII D of the California Constitution; and
WHEREAS, the City Council has retained Willdan as the Assessment Engineer for the purpose of assisting with the annexation of the territory to the District, establishing annual assessments, and preparing and filing an Engineer’s Report with the City Clerk in accordance with said Act.

NOW, THEREFORE, BE IT RESOLVED, DETERMINED, AND ORDERED BY THE CITY COUNCIL OF THE CITY OF INDIAN WELLS AS FOLLOWS:

SECTION 1. The above recitals are all true and correct.

SECTION 2. The City Council hereby orders the Assessment Engineer to prepare and file with the City Clerk an Engineer’s Report concerning the annexation of territory to the District as Zone A11D; the improvements and services connected therewith and the proposed levy of annual assessments beginning in the Fiscal Year commencing July 1, 2027, and ending June 30, 2028, in accordance with Article 4 (commencing with Section 22565) of Chapter 1 of said Act.

Said Engineer’s Report shall contain a description of the improvements and services, an estimate of the costs financed by the levy of the assessments, the properties benefiting from the improvements, and the method of apportioning the assessments connected with the annexation of said territory to the District.

ATTACHMENT #1
57 City of Indian Wells
Resolution No. 2026-_

Page 2 ends

SECTION 3. The proposed improvements and services for the Annexation Territory may include installation, construction, or maintenance of any authorized improvements under the Act, including, but not limited to, landscaping improvements and any facilities which are appurtenant to any of the aforementioned improvements or which are necessary or convenient for the maintenance or servicing thereof, including parkway landscaping and tree maintenance currently owned by the property owner and located on the parcel along its Highway 111 frontage. The Engineer’s Report prepared in connection with the Annexation Territory shall provide a more detailed description of the improvements and services to be provided and for which the property is to be assessed.

SECTION 4. The City Council hereby finds that the territory within the Annexation Territory consists of the parcel of land identified by the Riverside County Assessor’s Office as Assessor’s Parcel Number 633-240-034, located at the southeast corner of Highway 111 and Club Drive. This Annexation Territory includes the property that will receive special benefits from the improvements to be provided.

SECTION 5. The City Council hereby determines that in order to provide the improvements described in Section 3 of this Resolution as detailed in the Engineer’s Report, it is necessary to levy and collect assessments against the parcel within the Annexation Territory commencing Fiscal Year 2027/2028, and said assessments shall be outlined and described in the annexation Engineer’s Report and subsequent annual Engineer’s Reports and imposed pursuant to the provisions of said Act and Article XIII D of the California Constitution.

PASSED, APPROVED, AND ADOPTED by the City Council of Indian Wells, California, at a regular meeting held on the 3rd day of September 2026.

DR. TOPER TAYLOR
MAYOR

58 City of Indian Wells
Resolution No. 2026-_

Page 3 ends

CERTIFICATION FOR RESOLUTION NO. 2026-__

I, Angelica Avila, City Clerk 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 regular meeting of the City Council of the City of Indian Wells on the 3rd day of September 2026, by the following vote:

AYES:

NOES:

ATTEST: APPROVED AS TO FORM:

ANGELICA AVILA TODD LEISHMAN FOR

CITY CLERK BEST BEST & KRIEGER LLP

CITY ATTORNEY

59 RESOLUTION NO. 2026-_

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF INDIAN WELLS, CALIFORNIA, DECLARING THE CITY’S INTENTION TO ANNEX
TERRITORY (HIGHWAY 111 FRONTAGE AT CLUB DRIVE/VICKY’S) TO THE LANDSCAPE AND LIGHTING DISTRICT NO. 91-1, AND TO LEVY AND

COLLECT ANNUAL ASSESSMENTS RELATED THERETO COMMENCING
FISCAL YEAR 2027/2028, PURSUANT TO THE PROVISIONS OF PART 2 OF DIVISION 15 OF THE CALIFORNIA STREETS AND HIGHWAYS CODE;

AND CALLING FOR A PROPERTY OWNER PROTEST BALLOT PROCEEDING

TO SUBMIT TO THE QUALIFIED PROPERTY OWNER(S) THE QUESTION

OF LEVYING SUCH ASSESSMENTS FOR SAID ANNEXATION TERRITORY

PURSUANT TO THE PROVISIONS OF ARTICLE XIII D OF THE

CALIFORNIA CONSTITUTION
WHEREAS, the City Council of the City of Indian Wells (the “City Council”), pursuant to the provisions of the Landscaping and Lighting Act of 1972, Part 2, Division 15 of the California Streets and Highways Code (hereinafter referred to as the “Act”), did by previous resolution initiate proceedings for the annexation of territory to the proposed Zone A11D (Highway 111 Frontage at Club Drive/Vicky’s) located at the southeast corner of Highway 111 and Club Drive (hereinafter referred to as “Annexation Territory”) to the Landscape and Lighting District No. 91- 1 (hereinafter referred to as the “District”) and the levy and collection of assessments against the parcel within said Annexation Territory commencing in Fiscal Year 2027/2028; and WHEREAS, the City Council desires to annex the territory of land comprising the Annexation Territory to the District, to establish such territory as Zone A11D within said District, and to levy and collect new assessments against the parcel of land within the Annexation Territory to pay the costs and expenses related to the special benefits received from the maintenance and operation of the landscaping improvements connected therewith; and WHEREAS, the Assessment Engineer has prepared and filed an Engineer’s Report in connection with the Annexation Territory and the levy of annual assessments connected therewith commencing Fiscal Year 2027/2028 (beginning July 1, 2027, and ending June 30, 2028) with the City Clerk pursuant to Section 22586 of the Act, and said report has been presented to the City Council and is incorporated herein by reference.

NOW, THEREFORE, BE IT RESOLVED, DETERMINED, AND ORDERED BY THE CITY COUNCIL OF THE CITY OF INDIAN WELLS AS FOLLOWS:

SECTION 1. The above recitals are true and correct.

SECTION 2. The Engineer’s Report as presented consists of the following sections. The Plans and Specifications describe the boundaries of the Annexation Territory (Highway 111 Frontage at Club Drive/Vicky’s) and the improvements associated therewith that provide special benefits to the parcel therein. The Method of Apportionment details the method of calculating proportional special benefit and the annual assessment obligation for each affected parcel. The Estimate of Costs includes the calculation of the assessments and the estimated annual funding (“Budget”) required for the annual operation, maintenance and servicing of the local ATTACHMENT #2
60 City of Indian Wells
Resolution No. 2026__

Page 2 ends

improvements and specifically the costs associated with the improvements determined to be of special benefit to the parcel within the Annexation Territory and establishes the proposed maximum assessment for Fiscal Year 2026/2027. The Assessment Range Formula (“Annual Inflationary Adjustment”) to be applied to the proposed Maximum Assessment Rate established in Fiscal Year 2026/2027 is applicable in subsequent fiscal years. The proposed Maximum Assessments, including the Assessment Range Formula, shall be presented to the property owners of record in a protest ballot proceeding pursuant to Article XIII D of the California Constitution. The Boundary Diagram outlines the boundaries of the Annexation Territory. The Assessment Roll contains the maximum assessments and proposed assessments for each Assessor’s Parcel Number within the Annexation Territory.

SECTION 3. The Engineer’s Report is hereby approved on a preliminary basis as submitted or amended by direction of this City Council and is hereby ordered to be filed in the office of the City Clerk as a permanent record and to remain open to public inspection.

SECTION 4. The City Council hereby declares its intention to annex the territory to the Landscape and Lighting District No. 91-1 pursuant to Chapter 2, Article 2 of said Act, and to levy and collect annual assessments against the parcel of land within the Annexation Territory commencing with Fiscal Year 2027/2028 in accordance with said Act and the provisions of Article XIII D of the California Constitution. The territory being annexed to the District as part of these proceedings shall subsequently be designated as Zone A11D (Highway 111 Frontage at Club Drive/Vicky’s).

SECTION 5. The City Council hereby finds that the territory within the Annexation Territory consists of the parcel of land identified by the Riverside County Assessor’s Office as Assessor’s Parcel Number 633-240-034, located at the southeast corner of Highway 111 and Club Drive, and that this Annexation Territory includes the property that will receive special benefits from the improvements to be provided as described in the Engineer’s Report.

SECTION 6. The proposed improvements and services for the Annexation Territory include installation, construction, or maintenance of any authorized improvements under the Act, including, but not limited to, landscaping improvements and any facilities which are appurtenant to any of the aforementioned improvements or which are necessary or convenient for the maintenance or servicing thereof, including landscaping, tree trimming, irrigation system installation and repair, and graffiti and debris removal associated with the proposed Zone A11D.

The Engineer’s Report prepared in connection with the Annexation Territory provides a more detailed description of the improvements and services to be provided and for which the property shall be assessed and that Engineer’s Report is incorporated by reference into this Resolution.

SECTION 7. The City Council hereby determines that to provide the improvements described in Section 6 of this Resolution; it is necessary to levy and collect assessments against the parcel within the Annexation Territory commencing Fiscal Year 2027/2028. The Engineer’s Report referred to in Section 2 of this Resolution establishes the proposed maximum assessment for Fiscal Year 2026/2027 including an annual inflationary adjustment to the maximum assessment rate to be applied beginning in Fiscal Year 2027/2028, and an estimate of the assessment necessary to provide for the annual operation, administration, services, and maintenance of the improvements for Fiscal Year 2026/2027. 61 City of Indian Wells
Resolution No. 2026__

Page 3 ends

SECTION 8. Pursuant to Article XIII D of the California Constitution, a property owner protest ballot proceeding is hereby called on the matter of confirming the proposed new assessments for the Annexation Territory. The ballots and notices so authorized shall be distributed by first-class mail to the property owners of record as of the latest equalized County assessment roll, and each property owner may return the ballot by mail or in person to the City Clerk not later than the conclusion of the Public Hearing for this matter.

The City shall conduct the Public Hearing not less than forty-five (45) days after the mailing of the notice and ballot to the property owners of record, in full compliance with Article XIII D of the California Constitution.

SECTION 9. The City Council hereby authorizes and directs the City Clerk or the City Clerk’s designee to prepare and mail the Notice of the Public Hearing and in the same or separate mailing, mail the property owner protest ballot to the subject property owners regarding the proposed levy of assessments and the assessment range formula outlined in the Engineer’s Report, for return before the date and time of the Public Hearing set forth in this resolution.

SECTION 10. The City Council hereby declares its intention to conduct a Public Hearing concerning the Annexation Territory, the improvements, and the levy of assessments and in accordance with Sections 22587(e) and 22588 of said Act, notice is hereby given that on Thursday, November 5, 2026, at 3:00 p.m., the City Council will hold a Public Hearing for the Annexation Territory and the levy and collection of assessments related thereto commencing in Fiscal Year 2027/2028, or as soon thereafter as feasible. The Public Hearing will be held at City Hall (in the City Council Chambers), which is located at 44950 Eldorado Drive, Indian Wells, California, at the time so fixed. At the Public Hearing, all interested persons shall be afforded the opportunity to hear and to be heard.

SECTION 11. The property owner protest ballot proceeding conducted for the Annexation Territory shall constitute the property owner’s approval or rejection of the annual levy of assessments and assessment range formula. Property owners may return the ballot by mail or in person to the City Clerk not later than the conclusion of the Public Hearing on Thursday, November 5, 2026. After the close of the Public Hearing, pursuant to Article XIII D, section 4, subdivision (e), of the California Constitution, the City shall tabulate the ballots returned to determine whether a majority protest exists. The ballots shall be weighted according to the proportional financial obligation of the affected property. A majority protest exists if, upon the conclusion of the hearing, ballots submitted in opposition to the assessment exceed the ballots submitted in favor of the assessment.

Any interested person may file a written protest with the City Clerk prior to the conclusion of the hearing, or having previously filed a protest, may file a written withdrawal of that protest. A written protest shall state all grounds of objection, and a protest by a property owner shall contain a description sufficient to identify the property owned by such property owner. At the Public Hearing, all interested persons shall be afforded the opportunity to hear and to be heard.

SECTION 12. The City Clerk is hereby authorized and directed to give notice of such Public Hearing as provided by law.
62 City of Indian Wells
Resolution No. 2026__

Page 4 ends

PASSED, APPROVED, AND ADOPTED by the City Council of Indian Wells, California, at a regular meeting held on the 3rd day of September 2026.

DR. TOPER TAYLOR
MAYOR

CERTIFICATION FOR RESOLUTION NO. 2026-__

AYES:

NOES:

ATTEST: APPROVED AS TO FORM:

ANGELICA AVILA TODD LEISHMAN FOR

CITY CLERK BEST BEST & KRIEGER LLP

CITY ATTORNEY

63 City of Indian Wells
Landscape and Lighting District No. 91-1
Engineer’s Report
Proposed Annexation of Zone A11D
(Highway 111 Frontage at Club Drive/Vicky’s)
Establishment of Annual Assessments
Fiscal Year 2026/2027
Intent Meeting: September 3, 2026
Public Hearing: November 5, 202627368 Via Industria
Suite 200
Temecula, CA 92590
T 951.587.3500 | 800.755.6864
F 951.587.3510
www.willdan.com/solutions/financi
ng-and-revenue-optimization
ATTACHMENT #3
64 ENGINEER'S REPORT AFFIDAVIT
Landscape and Lighting District No. 91-1
Proposed Annexation of Zone A11D
(Highway 111 Frontage at Club Drive/Vicky’s)
City of Indian Wells,
Riverside County, State of California
This Report and the enclosed budget, diagram and descriptions outline the annexation of territory to the proposed Zone A11D (Highway 111 Frontage at Club Drive/Vicky’s), within the Landscape and Lighting District No. 91-1 commencing in Fiscal Year 2026/2027. The boundaries of Zone A11D include each lot, parcel, and subdivision of land that will receive a special benefit from the proposed improvements to be provided, as the same existed at the time of the passage of the Resolution of Intention and described herein. Reference is hereby made to the Riverside County Assessor’s maps for a detailed description of the lines and dimensions of the parcel within Zone A11D and the annexation territory. The undersigned respectfully submits the enclosed Report as directed by the City Council.

Dated this ____________ day of ______________, 2026.

Willdan Financial Services
Assessment Engineer
On Behalf of the City of Indian Wells
By: ________________________________
Stacee Reynolds, Principal Consultant
By: ________________________________
Tyrone Peter
P.E. #C 81888
65 TABLE OF CONTENTS
INTRODUCTION ......................................................................................................................... 1 DISTRICT OVERVIEW......................................................................................................... 1 ANNEXATION TERRITORY ................................................................................................ 1 BALLOT PROCEEDINGS ................................................................................................... 2 REPORT CONTENT ............................................................................................................ 3 DISCLAIMER ....................................................................................................................... 4 PART I — PLANS AND SPECIFICATIONS................................................................................ 5 DISTRICT OVERVIEW......................................................................................................... 5 LOCAL LANDSCAPING ZONES ......................................................................................... 5 PART II — METHOD OF APPORTIONMENT ............................................................................. 8 PROPOSITION 218 BENEFIT ANALYSIS........................................................................... 8 ASSESSMENT METHODOLOGY ..................................................................................... 10 PART III — ZONE ANNEXATION BUDGET ............................................................................. 13 PART IV — ASSESSMENT ROLL ........................................................................................... 14 PART V — BOUNDARY DIAGRAM ......................................................................................... 15 66 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 1

INTRODUCTION

DISTRICT OVERVIEW
The City of Indian Wells (the “City”), under the provisions of the Landscaping and Lighting Act of 1972, Part 2 of Division 15 of the California Streets and Highways Code (the “1972 Act”) and the provisions of the California Constitution Article XIII D enacted by Proposition 218 (“Proposition 218”), annually levies and collects special assessments for the City’s maintenance assessment district designated as the Landscape and Lighting District No. 91-1 (the “District”) in order to provide and maintain various landscaping and lighting improvements throughout the City that provide special benefits to properties within the City.

The District was formed in 1991 through the consolidation of several individual landscaping and lighting maintenance districts previously within the City. The current District includes the original districts as separate benefit zones and sub-zones (hereafter referred to jointly as “Zones”).

For Fiscal Year 1997/1998, in part as a result of Proposition 218, which was approved on the November 1996 statewide ballot and added Article XIII D to the California State Constitution, the City closely reviewed and evaluated the District improvements, the associated costs and the benefiting properties. Specific modifications were made to the District, and all applicable assessments were approved through a property owner protest ballot proceeding in compliance with the provisions of Proposition 218.

ANNEXATION TERRITORY
The City Council of the City of Indian Wells, being the governing body of the City with jurisdictional authority over Landscape and Lighting District No. 91-1, may pursuant to Chapter 2, Article 2 of the 1972 Act, annex territory and levy annual assessments for the maintenance, operation, and administration of the District, and Section 22608 of the 1972 Act further states in part “In annexation proceedings, the resolutions, report, notices of hearing, and right of majority protest shall be limited to the territory proposed to be annexed…”.

In addition, the 1972 Act provides for the levy of annual assessments after annexation into an assessment district for the continued maintenance and servicing of the improvements. The 1972 Act further allows various areas to be annexed into an existing district and/or zone of benefit (“Zone”), when the territory in the annexation receives substantially the same proportional special benefits from the improvements. The costs associated with the installation, maintenance, and servicing of the improvements may be assessed to those properties, which receive a special benefit from the installation, maintenance, and servicing of such improvements.

As required pursuant to Chapter 1, Article 4 of the 1972 Act, this Report shall serve as the detailed Engineer’s Report specifically for the annexation of territory to the Landscape and Lighting District No. 91-1 to be designated and referred to as:

Zone A11D – Highway 111 Frontage at Club Drive/Vicky’s
(hereafter referred to as the “Annexation Territory”); and the establishment of the maximum annual assessments related thereto, to be levied and collected upon the property within the Annexation Territory commencing in Fiscal Year 2026/2027 for the special benefits received from the maintenance and servicing of the improvements to be provided by the City through the District/Zone. The Annexation Territory is more specifically described in “Part I – Plans and Specifications” of this Report.
67 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 2 For Fiscal Year 2026/2027, the City Council of the City of Indian Wells proposes to annex the parcel within the Annexation Territory into the proposed Zone A11D to provide an annual funding source to adequately support the ongoing maintenance, servicing, operation, and incidental expenses associated with the improvements and appurtenant facilities that benefit the identified property. A diagram identifying the territory and location of the parcel to be annexed is provided in “Part V – Boundary Diagram” of this Report.

Annually, the City establishes the assessments for each Zone within the District based on the special benefit received by the properties in that Zone and the associated net special benefit expenses. These special benefit expenses are based on the historical and estimated costs to maintain the improvements that provide direct and special benefits to properties within each Zone of the District, including the Annexation Territory, and include all expenditures, deficits, surpluses, revenues, and reserves. Each parcel is assessed proportionately for only those improvements provided and for which the parcel receives special benefits.

This Engineer’s Report (the “Report”) has been prepared pursuant to Chapter 1, Article 4 and Chapter 3 of the 1972 Act, and presented to the City Council for their consideration and approval of the improvements and services to be provided within the Annexation Territory; and the levy and collection of the proposed new/increased annual assessments related thereto to fund the costs and expenses required to service and maintain designated improvement areas within the area that provide special benefits to the parcel commencing in Fiscal Year 2026/2027.

The net annual cost to provide the improvements in the Annexation Territory is based on the various improvements and the types of improvements and services to be provided by the District/Zone for the property that is directly associated with and benefits from those improvements and the net cost of providing those improvements and services are allocated to the benefiting property within the Annexation Territory using a weighted method of apportionment (refer to Assessment Methodology in Section II, Method of Apportionment) that calculates the proportional special benefit and assessment for each parcel as compared to other properties that benefit from the District improvements and services.

The word “parcel,” for the purposes of this Report, refers to an individual property assigned its own Assessor Parcel Number (APN) by the Riverside County Assessor’s Office. The Riverside County Auditor/Controller uses APNs and specific Fund Numbers to identify on the tax roll properties assessed for special district benefit assessments. Each parcel within a Zone is assessed proportionately for only those improvements provided in that Zone from which the parcel receives special benefit.

BALLOT PROCEEDINGS
Pursuant to the provisions of Article XIII D, Section 4 of the California Constitution, the City shall conduct a property owner protest ballot proceeding (referred to as “Ballot Proceeding”) for the proposed levy of an assessment as described in this Report. In conjunction with this Ballot Proceeding, the City Council will conduct a noticed public hearing to consider public testimonies, comments and written protests regarding the annexation, the resulting Zone boundaries, and the assessments described herein. Upon conclusion of the public hearing, property owner protest ballots received will be opened and tabulated to determine whether majority protest exists.

As specified by Article X IIID, Section 4e of the California Constitution:
“A majority protest exists if, upon the conclusion of the hearing, ballots submitted in opposition to the assessment exceed the ballots submitted in favor of the assessment. In tabulating the ballots, the ballots shall be weighted according to the proportional financial obligation of the affected property.”
68 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 3 After completion of the ballot tabulation, the City Council will confirm the results of the balloting. If majority protest exists for the proposed Annexation of Zone A11D, further proceedings to annex the parcel and implementation of the Zone and assessment shall be abandoned at this time.

If no majority protest is found and the City Council determines that the proposed assessment(s) and the assessment range formula conform to the requirements of Proposition 218 (Article XIII D, Section 4 of the California Constitution), the Council may adopt this Report (as submitted or amended), order the annexation of territory to Zone A11D, approve the associated assessment diagrams, and confirm the assessments. In such case, the assessments as approved shall by reference be made part of and incorporated into the Fiscal Year 2027/2028 Engineer’s Report for the District and the assessments for the property shall be submitted to the Riverside County Auditor/Controller for inclusion on the property tax roll for each affected parcel.

REPORT CONTENT
This Report has been prepared in connection with the annexation of a parcel into Landscape and Lighting District No. 91-1, Zone A11D (Highway 111 Frontage at Club Drive/Vicky’s) and the resulting assessment established herein in connection with the annexation of Territory for Fiscal Year 2026/2027, pursuant to a resolution of the City Council and consists of the following five (5) parts.

PART I — PLANS AND SPECIFICATIONS
This section provides an overall description of Zone A11D and the improvements for which the parcel is to be assessed. The proposed assessment as outlined in this Report is based on the local landscaping improvements and appurtenant facilities that provide a special benefit to the property within the Annexation Territory and operational expenses authorized pursuant to the 1972 Act. The plans and specifications contained in this section of the Report describe the overall nature and extent of the improvements. More detailed information regarding the specific plans and specifications associated with the Annexation Territory will be kept on file in the Public Works Department.

PART II — METHOD OF APPORTIONMENT
This section includes a discussion of the general and special benefits associated with the various improvements to be provided within the Annexation Territory (Benefit Analysis), which includes a discussion of the proportional costs of the special benefits and a separation of costs considered to be of general benefit (and therefore not assessed). This section of the Report also outlines the method of calculating each property’s proportional special benefit necessary to calculate the corresponding annual assessment. This method of apportionment is consistent with the previously adopted method of apportionment outlined in the Annual Engineer’s Report.

PART III — ZONE ANNEXATION BUDGET
This section contains an estimate of the annual costs to operate, maintain, and service the local improvements and appurtenant facilities within the Annexation Territory. The budget includes an estimate of the maintenance costs and incidental expenses including, but not limited to: labor, materials, utilities, equipment, and administration expenses as well as the collection of other appropriate funding authorized by the 1972 Act and deemed necessary to fully support the improvements. Those improvements and/or costs determined to be of general benefit shall be funded by a City contribution. This budget establishes the maximum assessments to be approved by the property owner(s) of record within the Annexation Territory as part of the Ballot Proceeding. 69 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 4 This section also identifies and outlines an Assessment Range Formula (inflationary adjustment) that provides for an annual adjustment to the maximum assessment rate establishing limits on future assessments but also provides for reasonable cost adjustments due to inflation.

PART IV — ASSESSMENT ROLL
The Assessment Roll identifies the Assessor Parcel Number of the property within the Annexation Territory and the corresponding “Balloted Maximum Assessment.” The proposed assessment amount established for Fiscal Year 2026/2027 and balloted are based on the parcel’s calculated proportional special benefit as outlined in the Method of Apportionment (Part II of this Report) and the annual assessment rate established by the estimated Budget (Part III of this Report).

PART V — BOUNDARY DIAGRAM
This section of the Report contains a diagram showing the boundaries of the Annexation Territory, which incorporate the parcel determined to receive special benefits from the various District/Zone improvements. Parcel identification, the lines and dimensions of each lot, parcel and subdivision of land within the Annexation Territory are shown on the Riverside County Assessor’s Parcel Maps and shall include any subsequent lot line adjustments or parcel changes therein. Reference is hereby made to the Riverside County Assessor’s Parcel Maps for a detailed description of the lines and dimensions of each lot and parcel of land within the Annexation Territory.

DISCLAIMER
If any section, subsection, sentence, clause, phrase, portion, zone, or subzone of this Engineer’s Report is, for any reason, held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining provisions of the Report and each section, subsection, subdivision, sentence, clause, phrase, portion, zone, or subzone thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, portions, zones, or subzones might subsequently be declared invalid or unconstitutional.
70 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 5 PART I — PLANS AND SPECIFICATIONS

DISTRICT OVERVIEW
The territory within the District consists of lots or parcels of land within the City of Indian Wells and the boundaries of the District. The purpose of this District is to provide in part through annual assessments, funding for the ongoing operation, maintenance, and servicing of local landscaping and lighting improvements and associated appurtenances located within the public rights-of-way and dedicated landscape easements.

Improvements currently provided within the District generally include but are not limited to:
 Landscaping and appurtenant facilities, including, but not limited to, landscaping, planting, shrubbery, trees, irrigation systems, hardscape fixtures, sidewalk maintenance resulting from landscape growth, and appurtenant facilities in public rights-of-way, parkways and dedicated easements within the boundaries of said District/Zone.
 Lighting and appurtenant facilities, including, but not limited to, poles, fixtures, bulbs, conduits, conductors, equipment including guys, anchors, posts and pedestals, metering devices, and appurtenant facilities as required to provide lighting in public rights-of-way, parkways, and dedicated easements within the boundaries of said District/Zone.

The costs associated with the improvements authorized by the provisions of the 1972 Act are equitably spread among the benefiting parcels in proportion to the special benefit they receive.

Only parcels that receive special benefits from the improvements are assessed, and each Zone consists of parcels that benefit from those specific improvements.

Landscape improvements maintained by the District and associated with each Zone were either installed as a condition of development or were installed for the benefit of the properties assessed.

The landscape improvements associated with each Zone may include but are not limited to: open space areas; medians; parkways; slopes; and public rights-of-way or easements that provide special benefits to the parcels. These improvements may include, but are not limited to: turf, ground cover, shrubs and trees, irrigation systems, decorative lighting, water features, entry monuments, hardscapes and associated appurtenances.

LOCAL LANDSCAPING ZONES
In accordance with the 1972 Act, the District utilizes Zones to address variations in the nature, location, and extent of the improvements that provide special benefits to parcels in the District.

Within the boundaries of the District, parcels are assigned to benefit zones each of which is associated with a set of improvements and/or type of improvements that provide the same degree of benefit to properties within that Zone.

EXISTING DISTRICT ZONES OF BENEFIT
For Fiscal Year 2026/2027, the District is comprised of seventeen (17) separate benefit zones (“Zones”), each funding specific improvements and services, as authorized pursuant to Chapter 1 Article 4, Section 22574 of the 1972 Act. A general description of the Zones follows.

Zone A1, El Dorado – Zone A1 consists of those parcels in Tracts 10262 and 10863 that front El Dorado Drive between Highway 111 and Fairway Drive. These parcels receive special benefits from the landscaped medians along El Dorado Drive. Parcels that use El Dorado Drive as the main access way to their properties are included in this Zone.

Zone A2, Montecito/Stardust – Zone A2 contains all parcels within the Montecito/Stardust development (Rancho Palmeras Estates Unit No. 3). This zone consists of residential properties 71 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 6 on Montecito Drive and Stardust Lane west of Rancho Palmeras Drive. The parcels receive special benefits from improvements within the parkway along Rancho Palmeras Drive, adjacent to the development, and the landscaped entryway to the development, on Stardust Lane and Montecito Drive.

Zone A3, Casa Dorado – Zone A3 consists of all parcels in Tracts 2752, 3097, and 4853 that are at the southeast corner of Highway 111 and Rancho Palmeras Drive. These parcels are part of a Homeowners Association (HOA). The HOA, acting as an Agent of the City, contracts for landscape maintenance. The District collects assessments from parcels within the Zone to reimburse the HOA for the contracted maintenance. These parcels receive special benefits from improvements along the frontage on the south side of Highway 111, from Rancho Palmeras Drive to the area’s eastern boundary, a distance of approximately 1,300 feet.

Zone A5B, Cook Street/The Cove – Zone A5B is the development known as “The Cove,” and all parcels within the Zone are part of a HOA. The HOA, acting as an Agent of the City, contracts for landscape maintenance of the entrance to The Cove on Cook Street. The District collects assessments from parcels within the Zone to reimburse the HOA for the contracted maintenance.

Parcels in The Cove receive direct and special benefits from these improvements.

Zone A8, Entrance to Indian Wells Golf Resort – Zone A8 consists of three parcels south of the Coachella Valley Stormwater Channel along Highway 111 and east of El Dorado Drive. These three parcels are the Hyatt Grand Champions of Indian Wells, the Renaissance Esmeralda Hotel, and the parcel owned by the City of Indian Wells. These parcels receive special benefit from the landscaping along the north side of Highway 111, west of El Dorado Drive, to the east side of the Renaissance Esmeralda Hotel. The parcels also receive special benefits from the improvements on Indian Wells Lane leading to the Hyatt Grand Champion and Renaissance Esmeralda Hotel.

Zone A11A, Highway 111 South, at Club Drive – Zone A11A contains parcels located immediately south of Highway 111 near Indian Wells Lane and Club Drive including but not limited to the Miramonte Resort, the Indian Wells Country Club, and the Indian Wells Resort Hotel. These parcels receive special benefits from the parkway landscaping improvements on the south side of Highway 111 between Indian Wells Lane and Club Drive.

Zone A11C, Club Drive – Zone A11C consists of all parcels along Club Drive between Highway 111 and Sandpiper. These parcels are part of Zone A11A but receive additional special benefits from landscaped parkways along Club Drive not associated with other parcels in Zone A11A.

Zone C, The Colony – Zone C lies generally south of Highway 111 and west of Manitou Drive and includes all parcels within Tract 24625, commonly known as “The Colony.” These parcels receive special benefits from landscaped parkways along Highway 111 adjacent to the development.

Zone D, Colony Cove Estates – Zone D lies generally south of Highway 111 and east of Club Drive and includes all parcels within Tract 26494. These parcels receive special benefits from landscaped parkways along Highway 111 adjacent to the development.

Zone E, Desert Horizons – Zone E lies generally north of Highway 111; west of El Dorado Drive; east of Cook Street; and south of Fred Waring Drive (44th Street) and the Whitewater River Channel. This Zone includes only parcels within the Desert Horizons Country Club gated community. These parcels are part of a HOA. The HOA, acting as an Agent of the City, contracts for landscape maintenance. The District collects assessments from parcels within the Zone to reimburse the HOA for the contracted maintenance. Parcels within the Zone receive special benefits from improvements within the easements and public rights-of-way that surround the perimeter of the gated community. The improvements include the parkways along Highway 111, El Dorado Drive, Cook Street, Fred Waring Drive, and Whitewater River Channel. 72 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 7 Zone A19, Mountain Gate – Zone A19 is generally located south of Highway 111 and east of Manitou Drive and includes all parcels within Tract 26595 known as the Mountain Gate Development. Parcels within this Zone receive special benefits from landscaped improvements associated with the development located in the parkway on the south side of Highway 111 adjacent to the development.

Zone A20, Mountain Gate Estates – Zone A20 lies generally south of Highway 111 and east of Manitou Drive and includes all parcels within Tract 27747-1 known as the Mountain Gate Development. Parcels within this Zone receive special benefits from landscaped improvements associated with the development located in the parkway on the south side of Highway 111 adjacent to the development.

Zone A21, Villaggio – Zone A21 lies generally south of Highway 111 and west of Mountain Gate Drive and includes all parcels within Tract 29502 known as the Villaggio. Parcels within this Zone receive special benefits from landscaped improvements associated with the development located in the parkway on the south side of Highway 111 adjacent to the development.

Zone A22, Vaidya – Zone A22 lies generally on the south side of Highway 111 and east of Manitou Drive and includes parcels within Tract 27747 known as Vaidya. Parcels within this Zone receive special benefits from landscaped improvements associated with the development.

Zone A23, Montelena – Zone A23 lies generally on the southeast corner of Highway 111 and El Dorado Drive. Parcels within this Zone receive special benefits from landscaped improvements and includes parcels within Tract 31200 known as Montelena associated with the development.

The landscaping improvements for this District include the entry to the Montelena tract on the east side of El Dorado Drive and along the south side of Highway 111.

Zone A25, Sundance – Zone A25 lies generally on the south of Highway 111, west of El Dorado Drive, east of Camino de Dorado and includes parcels within Tract 27104. Parcels within this Zone receive special benefits from landscaped improvements associated with the development. The landscaping improvements for this District include the entry to the Sundance tract on the west side of El Dorado Drive and along the south side of Highway 111.

Zone A26, Province – Zone A26 lies generally on the southeast corner of Cook Street and Highway 111. Parcels within this Zone receive special benefits from landscaped improvements such as landscaping, ornamental structures and appurtenant structures and includes parcels within Tract 32880 known as Province.

ZONE ANNEXATION TERRITORY FISCAL YEAR 2026/2027
Zone A11D, Highway 111 Frontage at Club Drive/Vicky’s
The Annexation Territory consists of one parcel located at the southeast corner of Highway 111 and Club Drive. The landscaping and appurtenant facilities are improvements owned by the property owner and located on the parcel along its Highway 111 frontage. At the property owner’s request, the City will maintain and service approximately 11,500 square feet of turf and up to four trees, together with the associated landscape irrigation and decorative lighting systems, including landscape maintenance, tree trimming, system installation and repair, and graffiti and debris removal.

The area is identified by the Riverside County Assessor’s Office as parcel 633-240-034.

At the time of annexation, the parcel is included in both Zones A11A and Zone A11C; however, neither existing Zone currently provides maintenance and servicing of the property owner’s Highway 111 frontage improvements proposed for Zone A11D. 73 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 8 PART II — METHOD OF APPORTIONMENT
Part 2 of Division 15 of the Streets and Highways Code, the 1972 Act, permits the establishment of assessment districts by agencies for the purpose of providing certain public improvements, which include the acquisition, construction, installation and servicing of public lights, landscape improvements and appurtenant facilities. The 1972 Act requires that the cost of these improvements be levied according to benefit rather than assessed value.

Section 22573 defines the net amount to be assessed as follows:
“The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the improvements.”
Section 22574 provides for zones as follows:
“The diagram and assessment may classify various areas within an assessment district into different zones where, by reason of variations in the nature, location, and extent of the improvements, the various areas will receive differing degrees of benefit from the improvements. A zone shall consist of all territory which will receive substantially the same degree of benefit from the improvements.”
The formulas used for calculating assessments and the designation of benefit zones reflect the composition of parcels within the District and the improvements and activities to be provided, and have been designed to fairly apportion the cost of providing those improvements based on a determination of the proportional special benefits to each parcel, consistent with the requirements of the 1972 Act and the provisions of Proposition 218 and Article XIII D of the California Constitution.

PROPOSITION 218 BENEFIT ANALYSIS
The costs of the proposed improvements have been identified and allocated to the property within the Annexation Territory based on special benefit. The improvements provided and for which the parcel is to be assessed include local landscaping improvements and related amenities that were installed in connection with the development of the property and/or would otherwise be required for the development of property within the Annexation Territory. The assessments and method of apportionment are based on the premise that these improvements would otherwise not have been required without the development of the parcel within the Annexation Territory.

Article XIII D Section 2i defines Special Benefit as follows:
“Special benefit” means a particular and distinct benefit over and above general benefits conferred on real property located in the district or to the public at large. General enhancement of property value does not constitute “special benefit.” Article XIII D Section 4a defines Proportional Special Benefit assessments as follows:
“An agency which proposes to levy an assessment shall identify all parcels which will have a special benefit conferred upon them and upon which an assessment will be imposed. The proportionate special benefit derived by each identified parcel shall be determined in relationship to the entirety of the capital cost of a public improvement, the maintenance and operation expenses of a public improvement, or the cost of the property related service being provided. No assessment shall be imposed on any parcel which exceeds the reasonable cost of the proportional special benefit conferred on that parcel.” 74 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 9

SPECIAL BENEFITS
The ongoing maintenance and servicing of the landscaped areas and appurtenant facilities within the Annexation Territory provide aesthetic benefits to the property and a more pleasant environment to walk, drive, and live. The primary function of these improvements and related amenities is to serve as an aesthetically pleasing enhancement and green space for the benefit of the immediately surrounding properties and developments for which the improvements were constructed and installed, and/or were facilitated by the development of properties. These improvements are an integral part of the physical environment associated with the parcel within the Annexation Territory and while some of these improvements may in part be visible to properties outside the Annexation Territory or in part proportionately shared with properties in adjacent Zones, collectively if these improvements are not properly maintained, it is the parcel within the Annexation Territory that would be aesthetically burdened. The parcel receives tangible and distinct benefits through its connection to a cohesive and uniformly maintained neighborhood.

The landscape improvements provided by the District may include landscaped medians, parkways, entryways and appurtenant facilities. The annual assessments outlined in this Report are proposed to cover the estimated costs to provide necessary service, operation, administration and maintenance required annually to keep these improvements in a healthy, vigorous and satisfactory condition.

The special benefits associated with the local landscaping improvements are specifically:
 Enhanced desirability of properties through association with the improvements.  Improved aesthetic appeal of properties within the District/Zones providing a positive representation of the area.
 Enhanced adaptation of the urban environment within the natural environment from adequate green space and landscaping.
 Environmental enhancement through improved erosion resistance, and dust and debris control.
 Increased sense of pride in ownership of property within the District/Zones resulting from well- maintained improvements associated with the properties.  Reduced criminal activity and property-related crimes (especially vandalism) against properties in the District through well-maintained surroundings and amenities including abatement of graffiti.
 Enhanced environmental quality of the parcels within the District/Zones by moderating temperatures, providing oxygenation and attenuating noise.

GENERAL BENEFIT
In addition to the special benefits received by the parcels within the District/Zones, there are incidental general benefits conferred by the improvements.

The proper maintenance of landscaping and appurtenant facilities within the District/Zones will not only control dust from blowing into properties within the District/Zones but will also control dust from blowing into properties outside of the district boundaries. The spraying and treating of landscaping within the District/Zones for disease reduces the likelihood of insect infestation and other diseases spreading to landscaping located throughout other properties within the City.

Finally, the proper maintenance of landscaping and ornamental structures provides a positive 75 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 10 visual experience to persons passing by, or driving through, the District/Zone. The above- mentioned items constitute incidental general benefits conferred by the improvements.

The total benefits are a combination of the special benefits to the parcels within the District and the general benefits to the public at large and to the adjacent property owners. The portion of the total landscape maintenance costs which are associated with general benefits will not be assessed to the parcels in the District but will be paid for by other City funds.

Because the landscaping and appurtenant facilities are improvements owned by the property owner, located on the parcel along its Highway 111 frontage, and will be maintained by the City at the property owner’s request for the direct benefit of the parcel, any benefit received by properties outside the Annexation Territory or by the public at large is merely incidental. The general benefit portion of the total benefit received from the improvements is estimated to be less than one percent (1%).

ASSESSMENT METHODOLOGY
Pursuant to the 1972 Act, the costs of the District may be apportioned by any formula or method that fairly distributes the net amount to be assessed, among assessable parcels in proportion to the estimated benefits to be received by each such parcel from the improvements. The apportionment of costs used for each Zone should reflect the composition of the parcels, and the improvements and services provided based on each parcel’s estimated special benefit.

EQUIVALENT BENEFIT UNITS
To assess benefits equitably, it is necessary to relate the different type of parcel improvements to each other. The Equivalent Benefit Unit method of assessment apportionment uses the single- family home as the basic unit of assessment. A single-family home equals one (1) Equivalent Benefit Unit (EBU). Every other land use is converted to EBUs based on an assessment formula that equates the property’s specific development status, type of development (land use), and size of the property, as compared to a single-family home (SFR).

The EBU method of apportioning benefit is typically seen as the most appropriate and equitable assessment methodology for districts formed under the 1972 Act, as the benefit to each parcel from the improvements are apportioned as a function of land use type, size and development.

A summary of Equivalent Benefit Unit (“EBU”) rates for all Zones, except A19-A26 which is assigned one (1) EBU regardless of development status, are shown in the table below:

EQUIVALENT BENEFIT UNIT (EBU) FORMULA
Land Use Benefit Unit Factor
(BUF) Parcel EBU
Non-Residential 6.00 6.0 EBU/Acre

The following formula is used to calculate each parcel’s EBU (proportional benefit).

BUF x (Acres or Units) = Parcel EBU

The total number of EBUs is the sum of all individual EBUs applied to the parcels within each zone that receives special benefit from the improvements. A levy per EBU (Levy Rate) for the zone is established by taking the total cost of the improvements and dividing that amount by the total number of EBUs of all parcels benefiting from the improvements. This Rate is then applied back 76 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 11 to each parcel’s individual EBU to determine the parcel’s proportionate benefit and assessment obligation for the improvements.

Total Balance to Levy / Total EBUs = Levy Rate per EBU

Levy Rate per EBU x Parcel EBU = Parcel Levy Amount

DEFINITIONS
For this District, each parcel is assigned a land use classification. The proposed Zone A11D will be comprised of a lot identified as Non-Residential. The definition is included herein.

Non-Residential – In converting non-residential properties to EBUs, the factor used is a typical standard single-family residential lot area within the City of Indian Wells and the number of lots that could be subdivided into an acre of land. All properties that are developed for non-residential uses are therefore assigned six (6) EBUs per acre and include commercial, industrial, church, school, and other non-residential uses except golf courses.

ANNUAL INFLATIONARY ADJUSTMENT (ASSESSMENT RANGE FORMULA) It is recognized that the cost of providing for the improvements described in “Part I — Plans and Specifications” of this Report will inevitably increase over time as a result of inflation and that any “new or increased assessments” require certain noticing and balloting requirements pursuant to Article XIII D of the California Constitution (Proposition 218). However, Government Code Section 54954.6(a) provides that a “new or increased assessment” does not include “an assessment that does not exceed an assessment formula or range of assessments...previously adopted by the agency or approved by the voters in the area where the assessment is imposed.” This definition of a new or increased assessment is reaffirmed in the Proposition 218 Omnibus Implementation Act, Government Code Section 53753.5.

In order to assure that the improvement funding is sufficient in the future to address the ongoing maintenance and replacement cost increases that naturally occur over time due to inflation, the special benefit assessments being presented to the property owners in the Ballot Proceeding conducted in connection with this Report includes an annual inflationary adjustment (Assessment Range Formula). This inflationary adjustment formula provides for the Fiscal Year 2026/2027 maximum assessments (initial maximum assessment rate) established herein for the Annexation Territory to increase by the Consumer Price Index (CPI) for All Urban Consumers for the Riverside- San Bernardino-Ontario area, as published by the U.S. Department of Labor, Bureau of Labor Statistics.

The adoption of the maximum assessment rates and the Assessment Range Formula described herein does not mean that the annual assessments will necessarily increase each fiscal year, nor does it absolutely restrict the assessments to the annually adjusted maximum assessment rates.

Although the maximum assessment rates that may be levied shall be increased each fiscal year, the actual amount to be assessed will be based on the Balance to Levy for that fiscal year. If the calculated assessment is less than the adjusted maximum assessment, then the calculated assessment may be approved by the City Council for collection. If the calculated assessment (based on the proposed budget) is greater than the adjusted maximum assessment for that fiscal year, then it would be considered an increased assessment and would require property owner approval through another protest ballot proceeding before imposing such an increase. Otherwise, it would be necessary to reduce the budget or provide a contribution from the City to reduce the Balance to Levy (amount to be assessed) to an amount that can be supported by an assessment rate less than or equal to the adjusted maximum assessment rate authorized for that fiscal year. 77 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 12 The Assessment Range Formula shall be applied to the maximum assessment rates for the Annexation Territory commencing in Fiscal Year 2027/2028 and shall be applied in each subsequent fiscal year unless the City Council formally suspends its application. The updated budget and Zone information will be included in the Fiscal Year 2027/2028 annual Engineer’s Report.

Each year the Assessment Engineer shall compute the percentage difference between the CPI on January 1, of each year and the CPI for the previous January 1, or a similar time period, as determined by the Bureau of Labor Statistics for all urban consumers for the Riverside-San Bernardino-Ontario Area, or three percent (3.0%). This percentage difference shall then establish the range of increased assessments allowed based on CPI.

Should the Bureau of Labor Statistics revise such index or discontinue the preparation of such index, the City shall use the revised index or comparable system as approved by the City Council for determining fluctuations in the cost of living.
78 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 13 PART III — ZONE ANNEXATION BUDGET
The budget and assessment outlined herein for the Annexation Territory are based on the City’s estimate of the expenses and related funding necessary for the operation, maintenance and servicing of the Zone improvements identified in Part I of this Report.

This budget represents an estimate of the special benefit expenses anticipated to be collected for Fiscal Year 2026/2027 at the time this Report was prepared and establishes the maximum assessment rates to be balloted and approved by the property owner(s) of record within the Annexation Territory as part of the Ballot Proceeding.

A11D
Zone Description Hwy 111
Vicky’s Annexation Area

DIRECT COSTS
Co n tracted Maintenance Costs (Bldg/Ground Maintenance)3,368$ Utilities - Landscape Water & Electric 1,944
Maintenance Materials 535
Direct Subtotal 5,847$

ADMINISTRATION COSTS
Administrative Personnel Overhead 15$
Public Works Personnel Overhead 55
Professional Fees 23
Admin. Subtotal 94$
Total Direct and Admin. Costs 5,941$

CITY CONTRIBUTIONS/COLLECTIONS AND OPERATING SUBSIDIES
Reserve Fund Collection 585$
Reserve Fund Contribution -
Annual City Operating Contribution -
City of Indian Wells Contribution and Subsidy Subtotal 585$ Balance to Levy 6,526$

DISTRICT STATISTICS
Total Parcels 1
Total Parcels Levied 1
Total Equivalent Benefit Unit (EBU)4.62
FY 2026/2027 Levy Rate per EBU (projected)1,412.50$

FUND BALANCE INFORMATION
Beginning Reserve Balance -
Reserve Fund Collection/(Deduction)585$
Ending Reserve Fund Balance 6/30/2027 585$
79 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 14 PART IV — ASSESSMENT ROLL
The following identifies the Assessor’s Parcel Number (APN) within the Annexation Territory and the corresponding maximum assessment established for Fiscal Year 2026/2027.

Assessor's
Parcel Number Situs Address EBU
Maximum
Assessment Rate
Maximum
Assessment
633-240-034 45100 CLUB DR 4.62 $ 1,412.50 $ 6,525.75

Note: The budget on page 13 is rounded to the nearest dollar. 80 Landscape and Lighting District No. 91-1 Engineer’s Report – Annexation of Zone A11D Page 15 PART V — BOUNDARY DIAGRAM
The following Boundary Map Diagram incorporates the lot and parcel of land within the Annexation Territory for Fiscal Year 2026/2027, as the same existed at the time this Report was prepared.

81 INDIAN WELLS CITY COUNCIL
September 3, 2026

To: City Council
From: City Manager Department
Prepared by: Eric Ceja, Assistant City Manager
Kevin McCarthy, Finance Director
Subject: Amendment to Employment Agreement for City Manager

RECOMMENDED ACTIONS:

Council APPROVES the Ninth Amendment to the Employment Agreement for City Manager Dr. Christopher Freeland; and

FINDS the action exempt from CEQA review under CEQA Guidelines section 15061(b)(3).

BACKGROUND:

On May 2, 2019, the City Council entered into an Employment Agreement with Dr.

Christopher Freeland to serve as City Manager, effective May 13, 2019. Employment Agreements are used by city councils to establish a formal contract with the City Manager that defines duties, compensation, benefits, termination, severance, and the term of the agreement. These agreements are important to both the City Council and the City Manager given the unique nature of the role, including the political environment, the Council's evolving priorities, and the performance expectations inherent in managing local government.

Annually, the City Council evaluates the City Manager's performance and determines whether any changes to the Agreement are warranted. In previous evaluations, the City Council has approved the City Manager's performance and amended the original contract on eight separate occasions, adjusting the salary and benefits afforded to Dr. Freeland in his role as City Manager.

Performance Review and Contract Amendment No. 9
Consistent with its annual practice, the City Council conducted a performance evaluation of the City Manager for the past year. Based on that evaluation, the Council finds that the City Manager continues to perform his duties effectively and has determined that changes to the City Manager's Employment Agreement are warranted, including:
• Manager shall receive a two-and-one-half percent (2.5%) cost-of-living adjustment increase to the base salary, effective July 1, 2026. 82 • Manager shall receive a two-and-one-half percent (2.5%) merit-based increase to the base salary, effective July 1, 2026.
• A one-time deposit of 170 hours of vacation leave, effective July 1, 2026.

The cost-of-living adjustment is consistent with the COLA applied citywide to all other staff, and the merit-based increase falls within the City’s standard merit pay range of 0% to 5% applicable to all employees.

All other terms of the Agreement remain unchanged. The Employment Agreement will continue to expire on December 31, 2029.

FISCAL IMPACT:

The Ninth Amendment to the Employment Agreement results in a base salary increase of $16,712 and an increase in the value of the Vacation Bank of $28,346, representing a cumulative total of $45,059. The associated costs are allocated across the City's operating funds as follows: General Fund – $31,541; Fire Services Fund – $6,759; Golf Resort Fund – $4,506; and Housing Authority Fund – $2,253. These allocations reflect the proportional distribution of the City Manager's compensated responsibilities among the respective funds.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

ATTACHMENTS:

1. Amendment No. 9

83 26529.00017\45267138.1

CITY OF INDIAN WELLS

NINTH AMENDMENT TO EMPLOYMENT AGREEMENT
This Ninth Amendment to the Employment Agreement – City Manager (“Ninth Amendment”), effective July 1, 2026 (“Effective Date”), is between the City of Indian Wells (the “City”) and Dr. Christopher Freeland (the “Employee” or “Manager”).

Except as modified in this Eighth Amendment and the preceding First, Second, Third, Fourth, Fifth, Sixth, Seventh , and Eighth amendments, the Employment Agreement dated May 2, 2019 (“Agreement”) between the City and the Employee remains in full force and effect, except as provided herein.

For mutual consideration, hereby acknowledged, the parties to this Ninth Amendment agree to the following changes and clarifications to the Agreement, as previously amended:

1.Manager shall receive a two-and-one-half percent (2.5%) cost of living adjustment increase to the base salary, effective July 1, 2026.

2.Manager shall receive a two-and-one-half percent (2.5%) merit- based increase to the base salary, effective July 1, 2026.

3.Manager shall receive a one-time deposit of one hundred and seventy (170) hours of vacation leave, effective July 1, 2026. (Signatures on following page)
ATTACHMENT #1
84 26529.00017\45267138.1

IN WITNESS WHEREOF, the parties have executed this Agreement as indicated below.

CITY OF INDIAN WELLS

___________________________________
_
By: Dr. Toper Taylor, Mayor
DR. CHRISTOPHER FREELAND

_____________________________________
_
By: Dr. Christopher Freeland
ATTEST:

____________________________________
Angelica Avila, MMC
City Clerk

APPROVED AS TO FORM:

______________________________
Todd R. Leishman, for
Best Best & Krieger, LLP
City Attorney

85 INDIAN WELLS CITY COUNCIL
September 3, 2026

To: City Council
From: City Manager Department
Prepared by: Angelica Avila, City Clerk
Subject: Indian Wells 60th Anniversary Celebration Update

RECOMMENDED ACTIONS:

FINDS the action exempt from CEQA review under CEQA Guidelines section 15061(b)(3).

BACKGROUND:

In recognition of the City of Indian Wells' 60th Anniversary, the City Council established an Ad Hoc 60th Anniversary Committee consisting of Councilmember Greg Sanders and Mayor Pro Tem Brian Penna to provide input and recommendations regarding anniversary programming, commemorative projects, community engagement opportunities, and celebration events.

The Ad Hoc Committee met on July 22, 2026, to review proposed activities and establish recommendations for key anniversary initiatives planned between July 2026 and July 2027. Discussions focused on creating meaningful opportunities for resident engagement while honoring the City's history and legacy.

The Ad Hoc Committee reviewed anniversary branding concepts, commemorative projects, historical recognition initiatives, community events, and budget considerations associated with a yearlong celebration commemorating the City's incorporation on July 14, 1967.

The Ad Hoc Committee's recommendations include:

• Combining the Community Activities Committee (CAC) End-of-Season Event with the City's signature 60th Anniversary Celebration on April 30, 2027, at the Indian Wells Golf Resort Pavilion and Driving Range, including a fireworks or drone display. • Recognition events for Richard (Dick) Oliphant and Jan Oliphant at the Fire Station 86 and Community Garden.
• Partner with the Community Activities Committee for summer event to celebrate City’s Birthday on July 14, 2027.
• Explore a featured article in Palm Springs Life Magazine to commemorate the City's history and anniversary.
• Deferring development of an Arcadia Publishing historical book project as a longer- term initiative rather than a primary component of the 60th Anniversary Celebration. • Brand all community events and activities in celebration of the City’s Anniversary.

Branding and Community Outreach

Additional anniversary concepts under consideration include:
• 60th Anniversary logo and branding campaign (Attachment No.1); • State of the City anniversary video;
• Commemorative lapel pins and challenge coins;
• Street and retractable banners;
• City Hall lobby enhancements;
• Resident communications and newsletters;
• Website updates and anniversary content;
• Community volunteer participation; and
• Integration of anniversary messaging into existing City events throughout the year.

In addition, to assist with planning and implementation, the Ad Hoc Committee expanded participation to include community volunteers and resident representatives who will work collaboratively with City staff to develop and coordinate anniversary activities throughout the celebration period.

The Ad Hoc Committee is requesting that the City Council review and approve the proposed anniversary events and initiatives. Council approval of the proposed program will provide direction for planning and implementation efforts and allow staff and committee members to further refine event details, evaluate costs, and prioritize activities within the Council- approved budget of $150,000.

CITY COUNCIL STRATEGIC GOAL:

The City Council approved the development of a City of Indian Wells 60th Anniversary Celebration as one of its approved 2026 City Council Strategic Planning Goals.

FISCAL IMPACT:

At its May budget review, the City approved a budget of $150,000 to support the proposed activities and projects of the Ad Hoc Committee. While detailed cost estimates have not yet been finalized for all individual initiatives, the approved funding provides the resources necessary for staff and committee members to continue planning efforts, develop project 87 scopes, and refine specific cost projections as implementation moves forward.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

1. Indian Wells 60TH Anniversary Logo
88 City’s 60th Anniversary Branding Logo
1 City Council & Successor Agency Joint Meeting:

September 3, 2026 - Presentation
General Business Item I.2

ATTACHMENT #1
INDIAN W-ELLS INDIAN W-ELLS INDIAN W-ELLS .CALIFORNIA" .CALIFORNIA" .CALIFORNIA" Est. 1967 Est. 1967 Est. 1967 INDIAN W-ELLS INDIAN W-ELLS INDIAN W-ELLS INDIAN W-ELLS .CALIFORNIA" .CALIFORNIA" .CALIFORNIA" .CALIFORNIA" Est. 1967 I"· 19(,-Est. 1967 I" 1 'H,-
89 INDIAN WELLS SUCCESSOR AGENCY
September 3, 2026

To: Indian Wells Successor Agency Board Members
From: Finance Department
Prepared by: Kevin McCarthy, City Finance Director
Subject: Authorize Issuance of Series 2026 Refunding Bonds to refund the Series 2015A and 2016A Outstanding Tax
Allocation Bonds of the Successor Agency of the
Redevelopment Agency of the City of Indian Wells, Approval of the Preliminary Bond Official Statement, Official Notice of Sale and Continuing Disclosure Certificate

RECOMMENDED ACTIONS:

Successor Agency APPROVES the execution and delivery of Bond Official Statement, Bond Notice of Sale, and Continuing Disclosure Agreement relating thereto, and other documents; and

FINDS the project to be exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the guidelines.

BACKGROUND:

The former Redevelopment Agency of the City of Indian Wells (the “Former RDA”) was dissolved effective February 1, 2012, pursuant to Assembly Bill No. 1X 26, as amended by Assembly Bill No. 1484 (together, the “Dissolution Act,” codified at Health and Safety Code Section 34170 et seq.).

Upon dissolution, all of the Former RDA’s assets, liabilities, and enforceable obligations, including its outstanding tax allocation bonds, were transferred by operation of law to the Successor Agency of the Redevelopment Agency of the City of Indian Wells (the “Successor Agency”), which is responsible for winding down the Former RDA’s affairs and for paying and performing its enforceable obligations, including debt service on the Series 90 2015A and 2016A Bonds, from property tax increment revenue. The City of Indian Wells serves in the capacity of the Successor Agency.

The Successor Agency plans to refund $2,435,000 in remaining Series 2015A Bonds and $32,300,000 in remaining Series 2016A Bonds to achieve debt service savings that will benefit both the Successor Agency and applicable taxing entities. All costs of the refunding, including a Successor Agency bond issuance fee, will be paid from bond proceeds.

There will be no City General Fund costs or liability for repayment of debt service. The Dissolution Act requires that (A) the total interest cost to maturity on the refunding bonds plus the principal amount of the refunding bonds does not exceed the total remaining interest cost to maturity on the bonds to be refunded plus the remaining principal of the bonds to be refunded, and (B) the principal amount of the refunding bonds does not exceed the amount required to defease the refunded bonds, to establish customary debt service reserves, and to pay related costs of issuance. If the foregoing conditions are satisfied, the initial principal amount of the refunding bonds may be greater than the outstanding principal amount of the bonds to be refunded.

The Dissolution Act requires the Successor Agency to make diligent efforts to ensure that the lowest long‐term cost financing is obtained and requires the Successor Agency to make use of an independent financial advisor in developing financing proposals and to make the work products of the financial advisor available to the Department of Finance at its request. These requirements have been met.

The financing plan as proposed meets the requirements of Section 34177.5 of the Health and Safety Code, as discussed herein.

On May 14, 2026, the Successor Agency adopted Resolution No. 2026-01 (Authorizing Resolution) approving certain documents and authorizing the sale and issuance of Tax Allocation Refunding Bonds Series 2026 to refund the Successor Agency’s Series 2015 and 2016 Bonds. The documents were subsequently approved on June 17, 2026, by the Riverside County Oversight Board with the adoption of Resolution No. 2026-023. The State Department of Finance (“DOF”) approved the refinancing on August 5, 2026.

Under current market conditions, net present value savings total $1,527,281, or 4.4% of bonds refunded. The bonds are expected to be sold by competitive sale the week of September 14, 2026, and savings may be higher or lower depending on market conditions at the time of sale. Interest costs are expected to be reduced from 4.59% to below

3.50%, inclusive of all fees and costs, including Successor Agency costs. The 2026 bonds are expected to be rated “A+” or better by Standard & Poor’s and to qualify for bond insurance, resulting in an effective “AA” bond rating. The repayment dates of the 2026 refunding bonds will be identical to the bonds refunded, with a final maturity of September 1, 2034.
91 Preliminary Official Statement, Notice of Sale & Continuing Disclosure Certificate

The Preliminary Official Statement (POS) describes the security and discloses potential risks to prospective investors. It generally describes the sources of payment for the bonds, the nature of the related projects, economic and demographic characteristics of the redevelopment project area, and inherent known risk factors associated with the security.

The POS is distributed prior to the bond sale, so investors can make informed purchase decisions. The POS should be as close to final as possible, with the actual terms of the pricing (interest rates and principal amounts) left necessarily blank. The final Official Statement will be prepared shortly after the bond sale and must be available in time for bond closings. The POS and the final Official Statement are drafted by disclosure counsel, Best Best & Krieger LLC, and are executed by the Successor Agency.

The Notice of Sale describes the conditions under which the Series 2026 Refunding Bonds will be sold. The refunding bonds are an eight-year term and will be sold on a competitive basis. The true interest rate is expected not to exceed 3.5%. The bonds will be awarded to the bidder offering the lowest true interest cost and meeting the other conditions contained in the Notice of Sale. Bids are submitted electronically on a national internet bidding platform by bond underwriters on the day of the bond sale, specifying the principal amounts, interest rates, and purchase prices for the bonds. By submitting a bid, the underwriter commits to purchasing the bonds at closing at the agreed-upon prices and amounts, subject to certain closing conditions.

To comply with Rule 15c2-12 of the Securities and Exchange Commission, the Successor Agency is required to execute a Continuing Disclosure Certificate, to be acknowledged by Digital Assurance Certification, LLC as the dissemination agent. By executing the Continuing Disclosure Certificate, the Agency covenants to comply with SEC Rule 15c2- 12 and make certain annual and material disclosures on an ongoing basis.

FISCAL IMPACT:

Under current bond market conditions, the present net value savings from the refinancing is approximately $1,527,000. Final net present value savings will depend upon bond market conditions at the time of sale. Federal Reserve policy and the economy's performance between now and then will likely determine the ultimate level of savings.

Interest rates may be higher, lower, or unchanged. If savings are insufficient, no refunding bonds will be sold. The Director of Finance will make that determination at the time of sale.

92 Allocation of Savings

The Riverside County Auditor-Controller will allocate reductions in annual debt service to the appropriate taxing entities through the Recognized Obligation Payment Schedule (ROPS) process. The estimated distribution of property tax shares within the Whitewater Redevelopment Project Area is as follows:

• Desert Sands Unified School District – 38%
• County of Riverside – 36%
• College of the Desert – 8%
• Coachella Valley Water District – 6%
• City of Indian Wells – 5%
• County Schools – 4%
• Coachella Valley Recreation & Park District – 2%
• Other Districts – 1%

The City of Indian Wells is expected to receive approximately 5% of the annual savings, subject to annual allocation determinations under applicable passthrough agreements.

All costs of the refund, including a Successor Agency bond issuance fee, will be paid from bond proceeds. In connection with the refunding, the City will collect a $35,000 administrative fee, which will be paid from the Cost of Issuance upon sale of the bonds

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

ATTACHMENTS:

1. Resolution

2. Preliminary Bond Official Statement & Continuing Disclosure Agreement

3. Notice of Sale

93 .\45304359.1
RESOLUTION NO. 2026-

A RESOLUTION OF THE SUCCESSOR AGENCY TO THE INDIAN WELLS

REDEVELOPMENT AGENCY APPROVING THE FORM OF THE

PRELIMINARY OFFICIAL STATEMENT AND THE CONTINUING

DISCLOSURE CERTIFICATE RELATING TO TAX ALLOCATION REFUNDING

BONDS AND AUTHORIZING CERTAIN OTHER ACTIONS IN CONNECTION

THEREWITH
WHEREAS, the Successor Agency to the Indian Wells Redevelopment Agency (the "Successor Agency") approved the issuance of its tax allocation refunding bonds (the “2026 Bonds”) by Resolution SA No. 2026-01 (the “Bond Resolution”), at its meeting on May 13, 2026, for the purpose of achieving debt service savings; and
WHEREAS, the Countywide Oversight Board for the County of Riverside approved the issuance of the 2026 Bonds by its Resolution No. 2026-023 at its meeting on June 17, 2026; and WHEREAS, the Successor Agency wishes at this time to approve the form of a Preliminary Official Statement and form of the Continuing Disclosure Certificate relating to the 2026 Bonds;

NOW, THEREFORE, BE RESOLVED BY THE SUCCESSOR AGENCY TO THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALMDALE AS FOLLOWS:

SECTION 1. Preliminary Official Statement. The form of the Preliminary Official Statement relating to the 2026 Bonds (the “Preliminary Official Statement”) presented herewith is hereby approved. Each of the Mayor as Chair of the Successor Agency, the City Manager as the chief administrative officer of the Successor Agency, and the Finance Director as the chief financial officer of the Successor Agency, and their respective written designees (each an “Authorized Officer” and collectively, the “Authorized Officers”), are, and each of them is, hereby authorized and directed, for and in the name of the Successor Agency, to sign a certificate pursuant to Rule 15c2-12 promulgated under the Securities Exchange Act of 1934 relating to the Preliminary Official Statement (the “Deemed Final Certificate”). The Authorized Officers are each hereby authorized to deliver the Preliminary Official Statement to the underwriter of the 2026 Bonds (the “Underwriter”), in the form presented at this meeting with such changes, insertions and omissions as may be recommended by Best Best & Krieger LLP (“Bond and Disclosure Counsel”), and approved by the Authorized Officer executing the same, said approval being conclusively evidenced by the delivery of a Deemed Final Certificate.

SECTION 2. Final Official Statement. The Authorized Officers are each hereby further authorized and directed to execute, approve and deliver the final Official Statement in the form of the Preliminary Official Statement, with such changes, insertions and omissions as may be approved by Bond and Disclosure Counsel, and approved by the Authorized Officer executing the same, said execution being conclusive evidence of such approval. The Underwriter is hereby authorized to distribute the Preliminary Official Statement to prospective purchasers of the 2026 Bonds and is directed to deliver copies of any final Official Statement to all actual purchasers of the 2026 Bonds.

SECTION 3. Continuing Disclosure Certificate. The form of the Continuing Disclosure Certificate relating to the 2026 Bonds (the “Continuing Disclosure Certificate”) presented herewith is hereby approved. The Authorized Officers are each hereby authorized and directed to execute and deliver the Continuing Disclosure Certificate in the form presented at this meeting with such changes, insertions and omissions as may be recommended by Bond and Disclosure Counsel and ATTACHMENT #1
94 City of Indian Wells
Resolution No. 2026-_

Page 2 ends

approved by the Authorized Officer executing the same, said execution being conclusive evidence of such approval.

SECTION 4. Sale of Bonds via Competitive Sale. The Successor Agency hereby authorizes the sale of the Bonds through generally accepted electronic means to the highest bidder, after advertising for bids by publication of notice of sale pursuant to Government Code Section 53692 and Section 5808; provided, however, that if no bids are received or if the Successor Agency determines that the bids received are not satisfactory as to price or responsibility of the bidders, the Successor Agency may reject all bids received, if any, and readvertise the sale of the Bonds. The Bonds shall be offered at competitive sale in accordance with the Official Notice of Sale (the “Official Notice of Sale”) in the form presented to this meeting together with any additions thereto or changes therein approved by an Authorized Officer, the distribution thereof to be conclusive evidence of such approval. The Successor Agency hereby delegates to the Authorized Officers the authority to accept an offer from an underwriter to purchase the Bonds pursuant to the Notice of Sale; provided, however, that Bonds shall be awarded to an underwriter only if the principal amount of the Bonds does not to exceed $36,000,000, and the final maturity with respect to the Bonds does not exceed September 1, 2034. Each Authorized Officer is authorized to determine the day on which the Bonds are to be priced in order to attempt to produce the lowest borrowing cost and may reject any terms of the sale if determined not to be in the best interest of the Successor Agency.

SECTION 5. General Approval. Each of the Authorized Officers and other appropriate officers of the Successor Agency acting alone, is authorized and directed, jointly and severally, to do any and all things and to execute and deliver any and all documents and contracts that they may deem necessary or advisable in order to carry out, give effect to and comply with the terms and intent of this resolution and the Bond Resolution.

SECTION 6. Resolution Effective Immediately. This Resolution shall take effect immediately upon its adoption.

SECTION 7. Secretary to Certify. The Secretary shall certify as to the adoption of this Resolution.

PASSED, APPROVED, AND ADOPTED by the Successor Agency to the Redevelopment Agency of the City of Indian Wells, California, at a regular meeting held on the 3rd day of September 2026.

________________________________
DR. TOPER TAYLOR
MAYOR

95 City of Indian Wells
Resolution No. 2026-_

Page 3 ends

CERTIFICATION FOR RESOLUTION NO. 2026-__

I, Angelica Avila, City Clerk of the City of Indian Wells, California, DO HEREBY CERTIFY that the whole number of the members of the Successor Agency to the Redevelopment Agency of the City of Indian Wells is five (5); that the above and foregoing Resolution was duly and regularly passed and adopted at an adjourned regular meeting of the Successor Agency to the Redevelopment Agency of the City of Indian Wells on the 3rd day of November 2026, by the following vote:

AYES:

NOES:

ATTEST: APPROVED AS TO FORM:

__________________________ _______________________________

ANGELICA AVILA TODD LEISHMAN FOR

CITY CLERK BEST, BEST & KRIEGER LLP

CITY ATTORNEY
96 26529.00067\45047363.2
PRELIMINARY OFFICIAL STATEMENT DATED _____________, 2026 NEW ISSUE RATINGS: S&P (Insured): “__”
BOOK ENTRY ONLY S&P (Uninsured): “__”
See “RATINGS”
In the opinion of Best Best & Krieger LLP, Riverside, California, Bond Counsel, subject to certain qualifications described herein, under existing statutes, regulations, rules and court decisions, and assuming certain representations and compliance with certain covenants and requirements described herein, the interest on the Series 2026A Bonds is excluded from gross income for federal income tax purposes and is not an it em of tax preference for purposes of the federal alternative minimum tax imposed on individuals and corporations; however, interest is taken into account in determining the annual adjusted financial statement income of certain corporations for the purpose of computing the alternative minimum tax imposed on certain corporations. In the further opinion of Bond Counsel, interest on the Series 2026A Bonds is exempt from California personal income taxes. See the caption “OTHER INFORMATION – Tax Matters.”
$32,775,000
Successor Agency to the Indian Wells Redevelopment Agency Consolidated Whitewater Redevelopment Project Area
Tax Allocation Refunding Bonds, Series 2026A
Dated: Date of Delivery Due: September 1, as shown on inside cover page The Successor Agency to the Indian Wells Redevelopment Agency Consolidated Whitewater Redevelopment Project Area Tax Allocation Refunding Bonds, Series 2026A (the “Series 2026A Bonds”) will be issued by the Successor Agency to the Indian Wells Redevelopment Agency (the “Successor Agency”) to assist in refinancing certain redevelopment activities with respect to the Consolidated Whitewater Project Area of the Successor Agency (the “Project Area”), as further described herein. The Series 2026A Bonds will be secured and payable under an Indenture of Trust, dated as of May 1, 2014 (the “Original Indenture”) as supplemented and amended by a First Supplemental Indenture of Trust, dated as of August 1, 2015, a Second Supplemental Indenture of Trust, dated as of July 1, 2016, a Third Supplemental Indenture of Trust, dated as of June 1, 2020 and a Fourth Supplemental Indenture of Trust, dated as of ___, 2026 (as amended, the “Indenture”), each by and between the Successor Agency and U.S. Bank Trust Company, National Association, as trustee (the “Trustee”). The payments due under the Indenture will be secured by a pledge of, security interest in and lien on Pledged Tax Revenues (as defined in the Indenture and described herein) allocated as described herein on parity with the Series 2020A Bonds (as defined herein) and subject to certain Pre-Existing Agreements (as defined herein) of the Successor Agency outstanding in the aggregate principal amount of $___________.

The Successor Agency has covenanted not to issue any obligations payable from Tax Increment Revenues (as defined in the Inden ture and described herein) on a senior basis to the Series 2026A Bonds. See “SECURITY FOR THE BONDS.” The Series 2026A Bonds are being issued in fully registered form, and when issued, will be registered in the name of the Initial Purchaser. The Series 2026A Bonds are being issued in denominations of $5,000 or any integral multiple thereof. Interest on the Series 2026A Bonds will be payable semiannually on March 1 and September 1 of each year, commencing March 1, 2027. Payments of principal, premium, if any, and interest on the Series 2026A Bonds will be payable by the Trustee, by wire transfer to the Initial Purchaser, as more fully described herein.

The Series 2026A Bonds are not subject to optional redemption prior to maturity as described herein. The scheduled payment of principal of and interest on the Series 2026A Bonds when due will be guaranteed under a municipal bond insurance policy to be issued concurrently with the delivery of the Series 2026A Bonds by ______________.
[Insert Insurer Logo]
Series 2026A Bonds are special obligations payable solely from certain payments from the Successor Agency and certain other funds. Neither the City of Indian Wells (the “City”), the County of Riverside (the “County”), the State of California (the “State”) nor any political subdivision thereof, except the Successor Agency, shall be obligated to pay the principal of the Series 2026A Bonds, or the interest thereon, except from the funds described above, and neither the faith and the credit nor the taxing power of the County, the State of California nor any political subdivision thereof is pledged to the payment of the principal of or the interest on the Series 2026A Bonds. The issuance of the Series 2026A Bonds shall not directly, indirectly or contingently obligate the City, the County, the State of California or any political subdivision thereof to levy or pledge any form of tax ation whatever therefor or to make any appropriations for their payment. The Successor Agency has no taxing power.

This cover page contains certain information for general reference only . It is not intended to be a summary of the security or terms of this issue.

Investors are advised to read the entire Official Statement to obtain information essential to the making of an informed inve stment decision. Capitalized terms used and not defined on this cover page shall have the meanings set forth herein.

For a discussion of some of the risks associated with a purchase of the Series 2026A Bonds, see “BOND OWNERS’ RISKS.”

MATURITY SCHEDULE
See inside front cover
The Series 2026A Bonds are offered when, as and if issued and received by the Underwriter, subject to the approval of the valid, legal and binding nature of the Series 2026A Bonds by Best Best & Krieger LLP, Bond Counsel, and certain other conditions. Certain legal matters will be passed upon for the Successor Agency by Best Best & Krieger LLP, as Disclosure Counsel, and by the City Attorney, and for the Trustee by its counsel. It is anticipated that the Series 2026A Bonds will be available for delivery through the facilities of The Depository Trust Company on or about ___________, 2026.

Dated: _________________
 Preliminary, subject to change.

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ATTACHMENT #2
97 26529.00067\45047363.2

MATURITY SCHEDULE
$______________
Successor Agency to the Indian Wells Redevelopment Agency Consolidated Whitewater Redevelopment Project Area
Tax Allocation Refunding Bonds, Series 2026A

MATURITY SCHEDULE
BASE CUSIP®1 ___________
Maturity Date
(September 1) Principal Amount Interest Rate Yield Price CUSIP®†
Suffix
$ % %

1 CUSIP® is a registered trademark of the American Bankers Association. CUSIP Global Services (CGS) is managed on behalf of the American Bankers Association by FactSet Research Systems. Copyright© CUSIP Global Services. All rights reserved.

CUSIP® data herein is provided by CGS. This data is not intended to create a database and does not serve in any way as a substitute for the CGS database. CUSIP® numbers are provided for convenience of reference only. None of the Utility Authority, the City, the Underwriter or their agents or counsel assume responsibility for the accuracy of such numbers. 98 26529.00067\45047363.2

INDIAN WELLS SUCCESSOR AGENCY

CITY COUNCIL
Dr. Toper Taylor, Mayor
Brian M. Penna, Mayor Pro-Tem
Greg Sanders, Council Member
Dana Reed, Council Member
Bruce Whitman, Council Member

SUCCESSOR AGENCY/CITY STAFF
Christopher Freeland, City Manager
Kevin McCarthy, Finance Director
Best Best & Krieger LLP, City Attorney and General Counsel to the Successor Agency

SPECIAL SERVICES
Trustee
U.S. Bank Trust Company, National Association.

Los Angeles, California
Bond Counsel and Disclosure Counsel
Best Best & Krieger LLP
Riverside, California
Municipal Advisor
Columbia Capital Management, LLC
Carlsbad, California
Fiscal Consultant
Urban Analytics, LLC
San Francisco, California
Verification Agent
[______________]

99 26529.00067\45047363.2
No dealer, broker, salesperson or other person has been authorized by the Successor Agency to give any information or to make any representations in connection with the offer or sale of the Series 2026A Bonds other than as contained in this Official Statement, and if given or made, such other information or representations must not be relied upon as having been authorized by any of the foregoing. This Official Statement does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the Series 2026A Bonds by any person, in any jurisdiction where such offer, solicitation or sale would be unlawful.

The information set forth herein has been obtained from sources that are believed to be reliable, but is not guaranteed as to accuracy or completeness, and is not to be construed as a representation, by the Successor Agency.

Neither the delivery of this Official Statement nor any sale made hereunder will, under any circumstances, create any implication that there has been no change in the affairs of the Successor Agency since the date hereof. The information and expressions of opinion stated herein are subject to change without notice.

Certain statements included or incorporated by reference in this Official Statement constitute “forward- looking” statements within the meaning of the United States Private Securities Litigation Reform Act of 1995, Section 21E of the United States Securities Exchange Act of 1934, as amended, and Section 27A of the United States Securities Act of 1933, as amended. Such statements are generally identifiable by the words “expects,” “forecasts,” “projects,” “intends,” “anticipates,” “estimates,” “assumes” and analogous expressions. The achievement of certain results or other expectations contained in such forward-looking statements are subject to a variety of risks and uncertainties that could cause actual results to differ materially from those that have been projected. No assurance is given that actual results will meet the forecasts of the Successor Agency in any way, regardless of the optimism communicated in the information, and such statements speak only as of the date of this Official Statement. The Successor Agency disclaim any obligation or undertaking to release publicly any updates or revisions to any forward- looking statement contained herein to reflect any changes in the expectations of the Successor Agency with regard thereto or any change in events, conditions or circumstances on which any such statement is based.

All summaries of the Indenture (as defined herein) and of statutes and other documents referred to herein do not purport to be comprehensive or definitive and are qualified in their entireties by reference to each such statute and document. This Official Statement, including any amendment or supplement hereto, is intended to be deposited with one or more depositories. This Official Statement does not constitute a contract between any Owner of a Series 2026A Bond and the Successor Agency.

The issuance and sale of the Series 2026A Bonds have not been registered under the Securities Act of 1933 or the Securities Exchange Act of 1934, both as amended, in reliance upon exemptions provided thereunder by Sections 3(a)(2) and 3(a)(12), respectively, for the issuance and sale of municipal securities.

IN CONNECTION WITH THE OFFERING OF THE SERIES 2026A BONDS, THE UNDERWRITER

MAY OVERALLOT OR EFFECT TRANSACTIONS THAT STABILIZE OR MAINTAIN THE MARKET

PRICE OF THE BONDS AT A LEVEL ABOVE THAT WHICH MIGHT OTHERWISE PREVAIL IN THE OPEN MARKET. SUCH STABILIZING, IF COMMENCED, MAY BE DISCONTINUED AT ANY TIME.

THE UNDERWRITER MAY OFFER AND SELL THE SERIES 2026A BONDS TO CERTAIN DEALERS

AND DEALER BANKS AND BANKS ACTING AS AGENT AT PRICES LOWER THAN THE PUBLIC

OFFERING PRICE STATED ON THE INSIDE FRONT COVER PAGE OF THIS OFFICIAL STATEMENT

AND SAID PUBLIC OFFERING PRICE MAY BE CHANGED FROM TIME TO TIME BY THE UNDERWRITER.

The City maintains a website and certain social media accounts for various purposes. However, the information presented there is not part of this Official Statement and should not be relied upon in making an investment decision with respect to the Series 2026A Bonds.
100

TABLE OF CONTENTS

-i-
26529.00067\45047363.2
INTRODUCTION ..............................................................1 General ........................................................................1 Purpose .......................................................................1 The City ......................................................................2 The Successor Agency ................................................2 The Project Area .........................................................2 Authority for Issuance of the Series 2026A
Bonds ..................................................................3 Terms of the Series 2026A Bonds ..............................4 Security for the Bonds ................................................4 Municipal Bond Insurance Policy and
Reserve Fund Surety ...........................................5 Professionals Involved in the Offering........................5 Continuing Disclosure ................................................5 Reference to Underlying Documents ..........................6 PLAN OF REFUNDING ....................................................6 General ........................................................................6

ESTIMATED SOURCES AND USES OF
FUNDS .......................................................................7

ANNUAL DEBT SERVICE REQUIREMENTS
OF THE BONDS ........................................................8 THE SERIES 2026A BONDS ............................................8 General ........................................................................8 Redemption of the Series 2026A Bonds .....................8 SECURITY FOR THE BONDS .........................................9 Special Obligations .....................................................9 Tax Increment Financing Generally ............................9 Pledged Tax Revenues .............................................. 10 Tax Sharing ............................................................... 10 Low and Moderate-Income Housing Set-
Aside ................................................................. 11 Redevelopment Property Tax Trust Fund ................. 11 Allocation of Taxes Subsequent to the
Dissolution Act ................................................. 12 Recognized Obligation Payment Schedule ............... 12 Security for the Bonds .............................................. 15 Last and Final Recognized Obligation
Payment Schedule ............................................. 22 BOND INSURANCE ....................................................... 23

SUCCESSOR AGENCY TO THE INDIAN
WELLS REDEVELOPMENT AGENCY ................ 23
The Successor Agency .............................................. 23 General ...................................................................... 24 Successor Agency Staff ............................................ 24 Countywide Oversight Board .................................... 25 Department of Finance Finding of
Completion........................................................ 25

THE CONSOLIDATED WHITEWATER
PROJECT AREA ...................................................... 26 General ...................................................................... 26 Pass-Through Agreements ........................................ 28 Statutory Tax Sharing ............................................... 28 Ten Largest Assessees .............................................. 29 Property Tax Delinquencies ...................................... 30 Property Value by Land Use ..................................... 31 Plan Limitations ........................................................ 31 Assessment Appeals ................................................. 31 Redevelopment Property Tax Trust Fund ................. 34

ESTIMATED REVENUES AND BOND
RETIREMENT......................................................... 36 BOND OWNERS’ RISKS ............................................... 38 Limited Special Obligations ..................................... 38 Recognized Obligation Payment Schedule ............... 38 Reduction in Taxable Value ..................................... 39 Bond Insurance Risk Factors .................................... 39 Risks Related to Real Estate Generally .................... 40 Reduction in Inflationary Rate and Changes
in Legislation .................................................... 40 Change in Law ......................................................... 40 Bankruptcy of Landowners ...................................... 42 Risks Related to Availability of Mortgage
Loans ................................................................ 42 Earthquake, Natural Disasters and Climate
Change .............................................................. 42 Levy and Collection of Taxes ................................... 43 Estimated Revenues ................................................. 43 Hazardous Substances .............................................. 44 Future Legislation and Initiatives ............................. 44 Assessment Appeals ................................................. 44 Economic Risks ........................................................ 44 Investment Risk ........................................................ 45 Secondary Market .................................................... 45 Bankruptcy ............................................................... 45 LIMITATIONS ON TAX REVENUES ........................... 46 Property Tax Limitations - Article XIIIA ................. 46 Implementing Legislation ......................................... 47 Redevelopment Plan Limits ..................................... 48 Unitary Property ....................................................... 48 Property Taxes; Teeter Plan ..................................... 50 Tax Collection Fees .................................................. 50 Future Initiatives ...................................................... 51 OTHER INFORMATION ................................................ 51 Continuing Disclosure .............................................. 51 Litigation .................................................................. 51 Tax Matters .............................................................. 51 Legal Opinion ........................................................... 53 Verification of Mathematical Accuracy ................... 53 Ratings ..................................................................... 54 Miscellaneous ........................................................... 54

APPENDIX A - FISCAL CONSULTANT REPORT ... A--1

APPENDIX B - GENERAL INFORMATION
CONCERNING THE CITY OF INDIAN WELLS.... B--1

APPENDIX C - COMPREHENSIVE ANNUAL

FINANCIAL REPORT FOR THE YEAR ENDED
JUNE 30, 2025 ............................................................ C-1

APPENDIX D - SUMMARY OF CERTAIN
PROVISIONS OF THE INDENTURE ....................... D-1

APPENDIX E - FORM OF OPINION OF BOND
COUNSEL ................................................................... E-1

APPENDIX F - SPECIMEN MUNICIPAL BOND
INSURANCE POLICY ................................................ F-1 APPENDIX G – FORM OF CONTINUING
DISCLOSURE CERTIFICATE .................................. G-1 101

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[THIS PAGE INTENTIONALLY LEFT BLANK]

102

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$32,775,000
Successor Agency to the Indian Wells Redevelopment Agency Consolidated Whitewater Redevelopment Project Area
Tax Allocation Refunding Bonds, Series 2026A

INTRODUCTION
This Introduction is subject in all respects to the more complete information contained elsewhere in this Official Statement and the offering of the Series 2026A Bonds to potential investors is made only by means of the entire Official Statement. Capitalized terms used and not defined in this Introduction shall have the meanings assigned to them elsewhere in this Official Statement.

General
This Official Statement, including the cover page, inside cover page and appendices hereto, provides information in connection with the issuance by the Successor Agency to the Indian Wells Redevelopment Agency (the “Successor Agency”) of its Consolidated Whitewater Redevelopment Project Area Tax Allocation Refunding Bonds, Series 2026A (the “Series 2026A Bonds”). The Series 2026A Bonds will be issued to assist in refinancing certain redevelopment activities with respect to the Consolidated Whitewater Project Area of the Successor Agency (the “Project Area”), as further described herein.

The Series 2026A Bonds will be secured and payable under an Indenture of Trust, dated as of May 1, 2014 (the “Original Indenture”) as supplemented and amended by a First Supplemental Indenture of Trust, dated as of August 1, 2015, a Second Supplemental Indenture of Trust, dated as of July 1, 2016, a Third Supplemental Indenture of Trust, dated as of June 1, 2020, and a Fourth Supplemental Indenture of Trust, dated as of ________, 2026 (as amended, the “Indenture”), each by and between the Successor Agency and U. S. Bank Trust Company, National Association, as successor to MUFG Union Bank, N.A.., as trustee (the “Trustee”). The payments due under the Indenture will be secured by a pledge of, security interest in and lien on Pledged Tax Revenues (as defined in the Indenture and described below) allocated on parity with the Series 2020A Bonds and (each as defined herein) and subject to certain Pre-Existing Agreements and Statutory Tax Sharing payments) (each as defined below). As defined in the Indenture, the term “Pre-Existing Agreements” means the contractual and statutory obligations secured by a lien on Tax Increment Revenues superior to the lien securing the Bonds. See “SECURITY FOR THE BONDS – Tax Sharing.” The Successor Agency has covenanted not to issue any obligations payable from Tax Increment Revenues, described herein, on a senior basis to the Series 2026A Bonds. See “SECURITY FOR THE BONDS.”
Purpose
The Series 2026A Bonds are being issued to refund, on a current basis, all of the outstanding Consolidated Whitewater Redevelopment Project Area Subordinated Tax Allocation Refunding Bonds, Series 2015A outstanding in the aggregate principal amount of $2,435,000 and Consolidated Whitewater Redevelopment Project Area Subordinated Tax Allocation Refunding Bonds, Series 2016A outstanding in the aggregate principal amount of $32,300,000 (the “Refunded Bonds”). Proceeds of the Series 2026A Bonds will additionally be applied to fund the premium for a [Debt Service Reserve Insurance Policy] for the reserve account for the Series 2026A Bonds, and to pay costs of issuance of the Series 2026A Bonds,

 Preliminary, subject to change.
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including the premium for the Policy and the 2026 Reserve Policy (as such terms are defined below). See “PLAN OF REFUNDING” and “ESTIMATED SOURCES AND USES OF FUNDS” herein.

The Refunded Bonds were issued pursuant to the Original Indenture as supplemented and amended by the First Supplemental Indenture of Trust, dated as of August 1, 2015 and the Second Supplemental Indenture of Trust, dated as of July 1, 2016.

The City
The City of Indian Wells (the “City”) is located in the Coachella Valley in eastern Riverside County (the “County”), 20 miles southeast of Palm Springs and 120 miles southeast of Los Angeles. The City is traversed by State Highway 111, which connects the Coachella Valley desert communities to Interstate 10.

For many years the region has been popular with vacationers and retirees because of the dry desert climate, resort amenities, and close proximity to population centers in Los Angeles, Orange County, and San Diego, all of which are within approximately two hours driving time. The City was incorporated as a general law city on July 14, 1967. Subsequently, upon the approval of the voters on November 5, 2002, the City became a charter city. The population is [5,403]. For certain information regarding the City, see APPENDIX B – “GENERAL INFORMATION CONCERNING THE CITY OF INDIAN WELLS.” The Successor Agency
As described below, the Successor Agency has succeeded to certain rights of the Indian Wells Redevelopment Agency (the “Former Agency”). The Former Agency was activated by the City Council (the “City Council”) of the City in 1981, to exercise the powers granted by the California Community Redevelopment Law (Sections 33000 et seq. of the California Health and Safety Code) (the “Redevelopment Law”).

Pursuant to California legislation enacted in 2011 and 2012 and most recently in 2014 (as more fully described herein, the “Dissolution Act”), redevelopment agencies in California, including the Former Agency, were dissolved, and with certain exceptions, could no longer conduct redevelopment activities.

The Successor Agency, however, is authorized to continue to refinance existing bonds in order to achieve a savings in debt service. See “–The Project Area” below. Additional amendments constituting a portion of the Dissolution Act resulted from the enactment of Senate Bill No. 107 (“SB 107”) (Chapter 325, Statutes of 2015), which became effective on September 22, 2015. See also “SUCCESSOR AGENCY TO THE INDIAN WELLS REDEVELOPMENT AGENCY” for a discussion of the Dissolution Act, the formation of the Successor Agency and the current powers, and limitations thereon, of the Successor Agency.

The Project Area
The Redevelopment Plan for the Project Area (as amended, the “Redevelopment Plan”) was adopted by the City Council on July 15, 1982. The Project Area represents approximately 80% of the City’s total acreage. Tax Increment Revenues (as defined in the Indenture and described herein) are generated from approximately 3,327 acres of the Project Area. See “THE CONSOLIDATED WHITEWATER PROJECT AREA.”
Under the Dissolution Act, the Series 2026A Bonds will be secured by a pledge of, and payable from Pledged Tax Revenues (as defined in the Indenture and described herein) consisting mainly of moneys deposited from time to time in a Redevelopment Property Tax Trust Fund held and administered by the Office of the Auditor Controller of the County of Riverside (the “County Auditor-Controller”) with respect to the Successor Agency (the “Redevelopment Property Tax Trust Fund” or “RPTTF”). DISCUSSIONS

HEREIN REGARDING TAX INCREMENT REVENUES OR PLEDGED TAX REVENUES NOW 104

3 26529.00067\45047363.2

REFER TO THOSE MONEYS DEPOSITED BY THE COUNTY AUDITOR-CONTROLLER INTO THE REDEVELOPMENT PROPERTY TAX TRUST FUND EQUAL TO SUCH TAX REVENUES. The Dissolution Act authorizes the issuance of bonds by a successor agency to make payments under certain enforceable obligations, which bonds may be secured by a pledge of property tax increment with the same legal effect as if the Series 2026A Bonds had been issued prior to the Dissolution Act, in full conformity with the applicable provisions of the Redevelopment Law that existed prior to that date. See “SECURITY FOR THE BONDS – Tax Revenues Allocable to the Successor Agency.” Authority for Issuance of the Series 2026A Bonds
The Series 2026A Bonds are being issued by the Successor Agency pursuant to the provisions of the Dissolution Act, the Redevelopment Law and Article 11 (commencing with Section 53588) of Chapter 3 of Part 1 of Division 2 of the Government Code of the State of California.

The Series 2026A Bonds will be payable from and secured by, designated property tax (formerly tax increment revenues) related to the Project Area (the Pledged Tax Revenues), which will include, moneys deposited, from time to time, in the RPTTF on a parity with the Series 2020A Bonds. Pledged Tax Revenues exclude Pre-Existing Agreements as more fully described herein. See “SECURITY FOR THE BONDS.”
The issuance of the Series 2026A Bonds was subject to approvals under the Dissolution Act, of the Countywide Oversight Board, as described below, and the Department of Finance of the State of California (the “State Department of Finance”). All such approvals have been obtained. See “SUCCESSOR AGENCY TO THE INDIAN WELLS REDEVELOPMENT AGENCY.” The Successor Agency approved the issuance of the Series 2026A Bonds by resolution adopted on May 11, 2026. The Countywide Oversight Board approved the issuance of the Series 2026A Bonds by the Successor Agency by resolution adopted on June 9, 2026. The State Department of Finance released its letter approving the Countywide Oversight Board Resolution approving the issuance of the Series 2026A Bonds on June 17, 2026. The Series 2026A Bonds are being issued by the Successor Agency pursuant to the provisions of the Dissolution Act . The Series 2026A Bonds are being issued by the Successor Agency pursuant to the provisions of the Dissolution Act, the Redevelopment Law and Article 11 (commencing with Section 53588) of Chapter 3 of Part 1 of Division 2 of the Government Code of the State of California.

Pursuant to, and as indebtedness under, the Indenture, the Successor Agency has previously issued the following tax allocation refunding bonds, payable from moneys deposited, from time to time, in the RPTTF on a parity with the Series 2026A Bonds.

Bonds, designated as $7,220,000 Successor Agency to the Indian Wells Redevelopment Agency Consolidated Whitewater Redevelopment Project Area Subordinated Tax Allocation Refunding Bonds, Series 2020A (the “Series 2020A Bonds”). The Series 2020A Bonds, the Series 2026A Bonds and any Parity Debt issued as bonds are referred to collectively as, the “Bonds.” The Series 2026A Bonds will be payable from and secured by, designated property tax (formerly tax increment revenues) related to the Project Area, which will include, moneys deposited, from time to time, in the RPTTF on a parity with the Series 2020A Bonds and on a subordinate basis to certain Pre-Existing Agreements, described herein, as provided in the California Health and Safety Code as more fully described herein. Collectively, such tax increment revenues subject to a pledge under the Indenture are referred to herein as “Pledged Tax Revenues.” See “SECURITY FOR THE BONDS.”
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Terms of the Series 2026A Bonds
The Series 2026A Bonds will be issued in denominations of $5,000 and any integral multiple thereof (the “Authorized Denominations”). The Series 2026A Bonds will be dated their date of delivery and are payable with respect to interest semiannually each March 1 and September 1, commencing on March 1, 2027.

The Series 2026A Bonds are being issued in fully registered form, and when issued, will be registered in the name of the Initial Purchaser. Payments of principal, premium, if any, and interest on the Series 2026A Bonds will be payable by the Trustee, by wire transfer to the Initial Purchaser, as more fully described herein.

The Series 2026A Bonds are not subject to redemption prior to maturity. See “THE SERIES 2026A BONDS – Redemption of the Series 2026A Bonds” herein.

Security for the Bonds
The Series 2026A Bonds will be secured by a lien on and pledge of Pledged Tax Revenues on a parity with the Series 2020A Bonds. Under the Indenture, “Pledged Tax Revenues” is defined to mean the portion of the monies deposited from time to time in the RPTTF as provided in paragraph (2) of subdivision (a) of Section 34183 of the California Health and Safety Code that are equal to that portion of taxes levied upon taxable property in the Project Area and received by the Successor Agency on or after the date of issue of the Series 2026A Bonds, pursuant to Article 6 of Chapter 6 of the Redevelopment Law and Section 16 of Article XVI of the Constitution of the State, including all payments, subventions and reimbursements (if any) to the Successor Agency specifically attributable to ad valorem taxes lost by reason of tax exemptions and tax rate limitations, but excluding (i) amounts of such taxes required to be paid by the Successor Agency to pay Pre-Existing Agreements, (ii) amounts required to be paid to taxing entities pursuant to Sections 33607.5 and 33607.7 of the Redevelopment Law. In accordance with the Dissolution Act, the Series 2026A Bonds and Parity Debt shall be payable from and secured by, and Pledged Tax Revenues shall include, subject to the exclusions above, moneys deposited, from time to time, in the RPTTF as provided in paragraph (2) of subdivision (a) of California Health and Safety Code Section 34183. If, and to the extent, that the provisions of Section 34172 or paragraph (2) of subdivision (a) of Section 34183 are invalidated by a final judicial decision, then Pledged Tax Revenues shall include all tax revenues allocated to the payment of indebtedness pursuant to Health & Safety Code Section 33670 or such other section as may be in effect at the time providing for the allocation of tax increment revenues in accordance with Article XVI, Section 16 of the California Constitution, subject to the exclusions set forth above. The Indenture defines “Tax Revenues” to mean the Tax Increment Revenues, exclusive of amounts required to pay or otherwise provide for Pre-Existing Agreements and “Tax Increment Revenues” to mean all taxes allocated and paid to the Successor Agency pursuant to Article 6 of the Redevelopment Law and Section 16 of Article XVI of the Constitution of the State of California, and as provided in the Redevelopment Plan, including all payments and reimbursements, if any, to the Successor Agency specifically attributable to ad valorem taxes lost by reason of tax exemptions and tax rate limitations. The Series 2026A Bonds are special obligations payable solely from certain payments from the Successor Agency and certain other funds .

Neither the City, the County, the State of California (the “State”) nor any political subdivision thereof, except the Successor Agency, shall be obligated to pay the principal of the Series 2026A Bonds, or the interest thereon, except from the funds described above, and neither the faith and the credit nor the taxing power of the County, the State of California nor any political subdivision thereof is pledged to the payment of the principal of or the interest on the Series 2026A Bonds. The issuance of the Series 2026A Bonds shall not directly, indirectly or contingently obligate the City, the County, the State of California or any political subdivision thereof to levy or pledge any form of taxation whatever therefor or to make any appropriations 106

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for their payment. The Successor Agency has no taxing power. See APPENDIX D – “SUMMARY OF CERTAIN PROVISIONS OF THE INDENTURE” attached hereto.

Municipal Bond Insurance Policy and Reserve Fund Surety Concurrently with the issuance of the Series 2026A Bonds, _________________________ will issue its Municipal Bond Insurance Policy (the “Policy”) guaranteeing the scheduled payment of principal of and interest on the Series 2026A Bonds when due as set forth in the form of the Policy included as APPENDIX F – “SPECIMEN MUNICIPAL BOND INSURANCE POLICY.” [In order to further secure the payment of the principal of and interest on the Series 2026A Bonds, the Series 2026 Subaccount of the Reserve Account will be funded by the purchase of a Municipal Bond Debt Service Reserve Insurance Policy for the reserve account for the Series 2026A Bonds (the “2026 Reserve Policy”) issued by _______________ in an amount to provide coverage equal to the portion of the Reserve Requirement for the Series 2026A Bonds. The 2026 Reserve Policy will secure the Series 2026A Bonds. The initial Reserve Requirement for the Series 2026A Bonds is the amount of $_______. See “SECURITY FOR THE BONDS – Security for the Bonds – Specimen Municipal Bond Debt Service Reserve Insurance Policy” The 2026 Reserve Policy is not available to secure the payment of the principal of and interest on the Series 2020A Bonds or any other series of Bonds or Parity Debt.] [In connection with the delivery of the Series 2020A Bonds, the Series 2020 Subaccount of the Reserve Account was funded by the purchase of a Municipal Bonds Debt Service Reserve Fund Insurance Policy (the “2020 Reserve Policy”) issued by _____________________ in the amount of $______________, equal to the initial Reserve Requirement for the Series 2020A Bonds. See “SECURITY FOR THE BONDS – Security for the Bonds – Reserve Requirement.” The 2020 Reserve Policy is not available to secure the payment of the principal of and interest on the Series 2026A Bonds, or any other series of Bonds or Parity Debt.]
Professionals Involved in the Offering
U.S. Bank Trust Company, National Association, Los Angeles, California, will act as trustee with respect to the Series 2026A Bonds under the Indenture.

Columbia Capital Management, LLC has acted as Municipal Advisor to the Successor Agency in the structuring and presentation of the financing.

Urban Analytics, LLC, San Francisco, California, has acted as Fiscal Consultant to the Successor Agency and has prepared an analysis of taxable values and tax increment revenues in the Project Area. See APPENDIX A – “FISCAL CONSULTANT REPORT” herein.

All proceedings in connection with the issuance of the Series 2026A Bonds are subject to the approval of Best Best & Krieger LLP, Bond Counsel. Best Best & Krieger LLP is also acting as Disclosure Counsel. Certain legal matters will be passed on for the Successor Agency by the City Attorney, as general counsel to the Successor Agency. Bond Counsel and Disclosure Counsel undertake no responsibility for the accuracy, completeness or fairness of this Official Statement. .

Continuing Disclosure
Pursuant to the Continuing Disclosure Certificate, the Successor Agency has covenanted for the benefit of the Owners of the Bonds to comply with Securities and Exchange Commission Rule 15c2- 12(b)(5) (the “Rule”), in which it covenants to provide information regarding the Successor Agency on an 107

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annual basis as well as information regarding material adverse events, if any such events should occur to the owners of the Bonds and to the Municipal Securities Rulemaking Board (“MSRB”) during the term of the Bonds. See APPENDIX G - “FORM OF CONTINUING DISCLOSURE CERTIFICATE.” These covenants have been made in order to assist the Underwriters in complying with the Rule.

Reference to Underlying Documents
Brief descriptions of the Series 2026A Bonds, the Indenture, the Successor Agency, the Project Area and other related information are included in this Official Statement. Such descriptions and information do not purport to be comprehensive or definitive. The summaries of and references to all documents, statutes, reports and other instruments referred to herein is qualified in its entirety by reference to such document, statute, report or instrument, copies of which are all available for inspection at the offices of the Successor Agency. Certain capitalized terms used and not defined herein shall have the meaning given to those terms in APPENDIX D – “SUMMARY OF CERTAIN PROVISIONS OF THE INDENTURE.”

PLAN OF REFUNDING
General
Net proceeds of the Series 2026A Bonds, together with other available moneys, will be applied to prepay and refund on a current basis all of the Consolidated Whitewater Redevelopment Project Area Tax Allocation Bonds, Series 2015A (the “Series 2015A Bonds”) outstanding in the principal amount of $2,435,000 and its Consolidated Whitewater Redevelopment Project Area Subordinated Tax Allocation Refunding Bonds, Series 2016A, outstanding in the principal amount of $32,300,000 (the “Series 2016A Bonds,” and together with the Series 2015A Bonds, the “Refunded Bonds”).With the refunding of the Refunded Bonds, there will remain no Senior Bonds (as defined in the Indenture) outstanding. The following table details the Refunded Bonds.
2015 Bonds
Maturity Date
(September 1) Principal Amount
Interest
Rate
2027 $2,435,000 5.00%

2016 Bonds
Maturity Date
(September 1) Principal Amount
Interest
Rate
2027
2028
2029
2030
2031
2032
2033
2034

108

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On the date of issuance of the Series 2026A Bonds, a portion of the proceeds thereof, together with other available moneys, will be irrevocably deposited in a special trust fund for the Refunded Bonds, to be held in trust by U.S. Bank Trust Company, National Association, as prior trustee, in accordance with those Irrevocable Refunding Instructions with respect to the Refunded Bonds dated _________________, 2026 (the “Instructions”). Such funds on hand and proceeds deposited into the Bond Fund pursuant to the Instructions will be invested in U.S. Treasury securities, with the remainder held uninvested, and applied to pay the scheduled principal of and interest on the Refunded Bonds on _______________, 2026, and the redemption price of all of the Refunded Bonds on __________, 2026, at a redemption price equal to 100% of their principal amount as specified in the Instructions, plus accrued interest. See “ESTIMATED SOURCES AND USES OF FUNDS.” Upon deposit of such proceeds and other moneys into the Bond Fund, the Refunded Bonds will no longer be deemed outstanding.

The moneys and securities held in accordance with the Instructions are pledged to the payment of the Refunded Bonds. Moneys deposited and in accordance with the Instructions are not available to pay principal of or interest on the Series 2026A Bonds or other outstanding bonds of the Successor Agency.

See “ESTIMATED SOURCES AND USES OF FUNDS” below. See also “OTHER INFORMATION – Verification of Mathematical Accuracy” below.

ESTIMATED SOURCES AND USES OF FUNDS
Set forth below are the estimated sources and uses of proceeds of the Series 2026A Bonds.

Sources:

Par Amount of Series 2026A Bonds
Amounts Released from accounts of Refunded Bonds

TOTAL SOURCES

Uses:

Transfer to Escrow Fund
Costs of Issuance (1)
TOTAL USES:

(1) Includes premiums for the Policy and the 2026 Reserve Policy, legal fees, rating agency fees and expenses, fees of the Municipal Advisor, fees of the Fiscal Consultant, Underwriter’s discount, printing costs, and other issuance costs of the Series 2026A Bonds. 109

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ANNUAL DEBT SERVICE REQUIREMENTS OF THE BONDS
The following table provides the annual debt service requirements of the Parity Debt, and the Series 2026A Bonds.

Bond
Year
Ended
Series 2026A Bonds
(Sept. 1) 2020 Bonds Principal Interest Total Annual Total

THE SERIES 2026A BONDS
General
The Series 2026A Bonds will be dated as of the date of original delivery, will bear interest at the rates per annum and will mature on the dates and in the amounts set forth on the inside cover page hereof .

The Series 2026A Bonds are being issued in fully registered form, and when issued, will be registered in the name of the Initial Purchaser. The Series 2026A Bonds are being issued in denominations of $5,000 or any integral multiple thereof. Interest on the Series 2026A Bonds is payable semiannually on March 1 and September 1 of each year, commencing March 1, 2027 (each an “Interest Payment Date”). Principal of and premium, if any, on the Series 2026A Bonds is payable upon the surrender thereof at the corporate trust office of the Trustee in Los Angeles, California. Interest will be paid by check of the Trustee mailed by first class mail, postage prepaid, on each Interest Payment Date to the registered owners as of the fifteenth day of the month preceding the Interest Payment Date (the “Record Date”). At the written request of an Owner of either the Series 2026A Bonds in an aggregate principal amount of at least $1,000,000, which written request is on file with the Trustee as of any Record Date, interest on the applicable Series 2026A Bonds shall be paid on each succeeding Interest Payment Date by wire transfer in immediately available funds to such account within the United States of America as shall be specified in such written request (any such written request shall remain in effect until rescinded in writing by the Owner). The principal of and premium (if any) on the Series 2026A Bonds shall be payable in lawful money of the United States of America by check or draft of the Trustee upon presentation and surrender thereof at the Office of the Trustee.

Redemption of the Series 2026A Bonds
The Series 2026A Bonds are not subject to option redemption prior to maturity. 110

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SECURITY FOR THE BONDS
Special Obligations
The Series 2026A Bonds will be special obligations of the Successor Agency and are payable, as to interest thereon and principal thereof, exclusively from the Pledged Tax Revenues and funds on deposit in certain funds and account established under the Indenture, allocated as described herein on parity with the Series 2020A Bonds, and the Successor Agency is not obligated to pay such principal and interest except from such Pledged Tax Revenues. Series 2026A Bonds are special obligations payable solely from certain payments from the Successor Agency and certain other funds. Neither the City, the County, the State of California (the “State”) nor any political subdivision thereof, except the Successor Agency, shall be obligated to pay the principal of the Series 2026A Bonds, or the interest thereon, except from the funds described above, and neither the faith and the credit nor the taxing power of the County, the State of California nor any political subdivision thereof is pledged to the payment of the principal of or the interest on the Series 2026A Bonds. The issuance of the Series 2026A Bonds shall not directly, indirectly or contingently obligate the City, the County, the State of California or any political subdivision thereof to levy or pledge any form of taxation whatever therefor or to make any appropriations for their payment. The Successor Agency has no taxing power.

Tax Increment Financing Generally
Prior to the Dissolution Act, the Redevelopment Law authorized the financing of redevelopment projects through the use of tax revenues. This financing mechanism provides that the taxable valuation of the property within a project area on the property tax roll last equalized prior to the effective date of the ordinance that adopts the redevelopment plan becomes the base year valuation. Thereafter, the increase in taxable valuation becomes the increment upon which taxes are levied and allocated to the applicable agency.

Redevelopment agencies have no authority to levy property taxes, but must instead look to this allocation of tax revenues to finance their activities.

Under the Redevelopment Law and Section 16 of Article XVI of the State Constitution, taxes on all taxable property in a project area levied by or for the benefit of the State, any city, county, city and county, district or other public corporation (the “Taxing Agencies”) when collected are divided as follows:
(i) An amount each year equal to the amount that would have been produced by the then current tax rates applied to the assessed valuation of such property within the project area last equalized prior to the effective date of the ordinance approving the redevelopment plan, plus the portion of the levied taxes in excess of the foregoing amount sufficient to pay debt service on any voter-approved bonded indebtedness of the respective Taxing Agencies incurred for the acquisition or improvement of real property and approved on or after January 1, 1989, is paid into the funds of the respective Taxing Agencies; and
(ii) That portion of the levied taxes in excess of the amount described in paragraph (i) is deposited into a special fund of the applicable redevelopment agency to pay the principal of and interest on loans, moneys advanced to, or indebtedness incurred by, such agency to finance or refinance activities in or related to such project area.

That portion of the levied taxes described in paragraph (ii) above, less amounts deducted pursuant to Section 34183(a) of the Dissolution Act for permitted administrative costs of the County Auditor- Controller, constitute the amounts required under the Dissolution Act to be deposited by the County Auditor-Controller into the RPTTF. In addition, Section 34183 of the Dissolution Act effectively eliminates the “on and after January 1, 1989” reference from paragraph (i) above. 111

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Pledged Tax Revenues
In accordance with the Dissolution Act, the Bonds and Parity Debt shall be payable from and secured by, and Pledged Tax Revenues shall include, subject to the exclusions above, moneys deposited, from time to time, in the RPTTF as provided in paragraph (2) of subdivision (a) of California Health and Safety Code Section 34183 as more fully described below. If, and to the extent, that the provisions of Section 34172 or paragraph (2) of subdivision (a) of Section 34183 are invalidated by a final judicial decision, then Pledged Tax Revenues shall include all tax revenues allocated to the payment of indebtedness pursuant to Health & Safety Code Section 33670 or such other section as may be in effect at the time providing for the allocation of tax increment revenues in accordance with Article XVI, Section 16 of the California Constitution, subject to the exclusions set forth above. The Indenture defines “Tax Increment Revenues” to mean all taxes allocated and paid to the Successor Agency pursuant to Article 6 of the Redevelopment Law and Section 16 of Article XVI of the Constitution of the State of California, and as provided in the Redevelopment Plan, including all payments and reimbursements, if any, to the Successor Agency specifically attributable to ad valorem taxes lost by reason of tax exemptions and tax rate limitations. The Indenture defines “Tax Revenues” to mean the Tax Increment Revenues, exclusive of amounts required to pay or otherwise provide for Pre-Existing Agreements.

Tax Sharing
The Redevelopment Law authorized redevelopment agencies to make payments to school districts and other taxing agencies to alleviate any financial burden or detriments to such taxing agencies caused by a redevelopment project. The Former Agency entered into agreements with seven taxing entities regarding payments under Section 33401 (the “Pass-Through Agreements”). Additionally, Sections 33607.5 and 33607.7 of the Redevelopment Law required mandatory tax sharing applicable to redevelopment projects adopted after January 1, 1994 or amended thereafter (as is the case for the Redevelopment Plan) in certain manners specified in such statutes (the “Statutory Pass-Through Amounts”).

By application, the statutory formula for Statutory Pass-Through Amounts, which applies to tax increment revenues net of the housing set-aside is as follows: The first 25% of net tax increment generated by the increase in assessed value after the establishment of the project area or the effective date of the amendment is required to be paid to affected taxing entities. In addition, beginning in the 11th year of collecting tax increment, an additional 21% of the increment generated by increases in assessed value after the tenth year must be so paid. Finally, beginning in the 31st year of collecting tax increment, an additional 14% of the increment generated by increases in assessed value after the 30th year must be so paid.

The tax sharing payments described above are required to be made prior to payment of debt service on bonds or loans secured by tax increment from project areas which are subject to Assembly Bill 1290 (being Chapter 942, Statutes of 1993) (“AB 1290”). However, the provisions of Section 33607.5(e) of the Redevelopment Law set forth a process pursuant to which such payments may be subordinated to debt service on newly-issued bonds or loans. The Successor Agency did not take any action to subordinate the payments with respect to the pass-through payments to debt service on the Series 2020A Bonds or the Series 2026A Bonds.

The Dissolution Act requires county auditor-controllers to distribute from the RPTTF amounts required to be distributed under the Pass-Through Agreements and for Statutory Pass-Through Amounts to the taxing entities for each six-month period before amounts are distributed by the County Auditor- Controller from the RPTTF to the Successor Agency’s Redevelopment Obligation Retirement Fund each January 2 and June 1, unless: (i) pass-through payment obligations have previously been made subordinate to debt service payments for the bonded indebtedness of the Former Agency, as succeeded to by the Successor Agency; (ii) the Successor Agency has reported, no later than the December 1 and May 1 112

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preceding the January 2 or June 1 distribution date, that the total amount available to the Successor Agency from the RPTTF allocation to the Successor Agency’s Redevelopment Obligation Retirement Fund, from other funds transferred from the Former Agency and from funds that have or will become available through asset sales and all redevelopment operations is insufficient to fund the Successor Agency’s enforceable obligations, pass-through payments and the Successor Agency’s administrative cost allowance for the applicable six month period; and (iii) the State Controller has concurred with the Successor Agency that there are insufficient funds for such purposes for the applicable six-month period.

If the requirements set forth in clauses (i) through (iii) of the foregoing paragraph have been met, the Dissolution Act provides for certain modifications in the distributions otherwise calculated to be distributed for such six-month period. To provide for calculated shortages to be paid to the Successor Agency for enforceable obligations, the amount of the deficiency will first be deducted from the residual amount otherwise calculated to be distributed to the taxing entities under the Dissolution Act after payment of the Successor Agency’s enforceable obligations, pass-through payments and the Successor Agency’s administrative cost allowance. If such residual amount is exhausted, the amount of the remaining deficiency will be deducted from amounts available for distribution to the Successor Agency for administrative costs for the applicable six-month period in order to fund the enforceable obligations. Finally, funds required for servicing bond debt may be deducted from the amounts to be distributed under subordinated pass-through obligations, if any, in order to be paid to the Successor Agency for enforceable obligations, but only after the amounts described in the previous two sentences have been exhausted. The Dissolution Act provides for a procedure by which the Successor Agency may make Statutory Pass-Through Amounts subordinate to the Series 2026A Bonds. The Successor Agency has not undertaken the requisite procedures to obtain such subordination of the Statutory Pass-Through Amounts and, therefore, Statutory Pass-Through Amounts are senior to the Bonds, including the Series 2026A Bonds. Furthermore, the Pass-Through Agreements have not been expressly subordinated to the Series 2026A Bonds and therefore constitutes obligations senior in right of payment to the Bonds. See the captions “SECURITY FOR THE BONDS” for information regarding the revenues derived from the Project Area and the tables under the caption “ESTIMATED REVENUES AND BOND RETIREMENT” for projections of Tax Revenues after deduction of the Pass-Through Agreements and Statutory Pass-Through Amounts.

Low and Moderate-Income Housing Set-Aside
Prior to the Dissolution Act, the Redevelopment Law required generally that redevelopment agencies set aside in a low- and moderate-income housing fund not less than 20% of all tax revenues allocated to such agencies. This 20% set-aside requirement was eliminated by the Dissolution Act. There are currently no obligations outstanding which will have a prior lien on the Low and Moderate Housing Fund. Accordingly, Pledged Tax Revenues are not subject to the former set aside requirement for such purposes and the former set aside requirement is included in Pledged Tax Revenues pledged to the payment of debt service on the Bonds, including the Series 2026A Bonds.

Redevelopment Property Tax Trust Fund
The Dissolution Act authorizes bonds, including the Series 2026A Bonds, to be secured by a pledge of moneys deposited from time to time in a RPTTF held by a county auditor-controller with respect to a successor agency, which are equivalent to the tax increment revenues that were formerly allocated under the Redevelopment Law to the redevelopment agency and formerly authorized under the Redevelopment Law to be used for the financing of redevelopment projects, less amounts deducted pursuant to Section 34183(a) of the Dissolution Act for permitted administrative costs of the county auditor-controller.

Successor agencies have no power to levy property taxes and must look specifically to the allocation of taxes as described below.
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Allocation of Taxes Subsequent to the Dissolution Act
The Dissolution Act requires the County Auditor-Controller to determine the amount of property taxes that would have been allocated to the Former Agency (pursuant to subdivision (b) of Section 16 of Article XVI of the State Constitution) had the Former Agency not been dissolved pursuant to the operation of California Assembly Bill X1 26 (“AB 26”), using current assessed values on the last equalized roll on August 20, and to deposit that amount in the RPTTF for the Successor Agency established and held by the County Auditor-Controller pursuant to the Dissolution Act. The Dissolution Act provides that any bonds authorized thereunder to be issued by the Successor Agency will be considered indebtedness incurred by the dissolved Former Agency, with the same legal effect as if the bonds had been issued prior to the effective date of AB 26, in full conformity with the applicable provision of the Redevelopment Law that existed prior to that date so that property tax revenues (formerly tax increment revenues) are paid to the Successor Agency in such amounts and on such dates to ensure the timely payment of debt service on the Series 2020A Bonds, the Series 2026A Bonds and any such Parity Debt. Pursuant to the Dissolution Act, the Successor Agency has covenanted to take all actions necessary to ensure that the Series 2026A Bonds will be included in the Successor Agency’s Recognized Obligation Payment Schedules (as defined herein) as prepared from time to time under the Dissolution Act. See “Recognized Obligation Payment Schedule” below.

Taxes levied on the property within the Project Area on that portion of the taxable valuation over and above the taxable valuation of the applicable base year property tax roll within the Project Area, to the extent they constitute Tax Increment Revenues, less administrative costs, as described herein, will be deposited in the RPTTF for transfer by the County Auditor-Controller to the Successor Agency’s Redevelopment Obligation Retirement Fund established pursuant to the Dissolution Act on January 2 and June 1 of each year to the extent required for payments listed in the Successor Agency’s Recognized Obligation Payment Schedule in accordance with the requirements of the Dissolution Act. See “Recognized Obligation Payment Schedule” below.

Recognized Obligation Payment Schedule
The Dissolution Act provides for the completion, approval and submission of an annual Recognized Obligation Payment Schedule (the “Recognized Obligation Payment Schedule”) pursuant to which enforceable obligations (as defined in the Dissolution Act) of the successor agency are listed, together with the source of funds to be used to pay for each enforceable obligation. The timing for the preparation and approval of a Recognized Obligation Payment Schedule, among other procedures, was changed with the amendments to the Dissolution Act under SB 107. On or before each February 1, with respect to each fiscal year, the Dissolution Act requires successor agencies to prepare and approve, and submit to the Countywide Oversight Board and the State Department of Finance for approval, a Recognized Obligation Payment Schedule pursuant to which enforceable obligations (as such term is defined in the Dissolution Act) of the successor agency are listed, together with the source of funds to be used to pay for each enforceable obligation. As defined in the Dissolution Act, “enforceable obligation” includes bonds, including the required debt service, reserve set-asides and any other payments required under the indenture or similar documents governing the issuance of the outstanding bonds of the former redevelopment agency, as well as other obligations such as loans, judgments or settlements against the former redevelopment agency, any legally binding and enforceable agreement that is not otherwise void as violating the debt limit or public policy, contracts necessary for the administration or operation of the successor agency, and amounts borrowed from the Housing Fund. The Dissolution Act permits a successor agency to request additional amounts on a Recognized Obligation Payment Schedule to fund a reserve when required by a bond indenture or when the next property tax allocation will be insufficient to pay all enforceable obligations due under the provisions of the bonds for the next payment due in the following half of the calendar year. 114

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Under the Dissolution Act, the categories of sources of payments for enforceable obligations listed on a Recognized Obligation Payment Schedule are the following: (i) the Housing Fund; (ii) bond proceeds; (iii) reserve balances; (iv) administrative cost allowance; (v) the RPTTF (but only to the extent that no other funding source is available or when payment from property tax revenues is required by an enforceable obligation or otherwise required under the Dissolution Act); or (vi) other revenue sources (including rents, concessions, asset sale proceeds, interest earnings, and any other revenues derived from the former redevelopment agency, as approved by the oversight board).

The Dissolution Act provides that, commencing on the date that the first Recognized Obligation Payment Schedule is valid, only those payments listed in the Recognized Obligation Payment Schedule may be made by the Successor Agency from the funds specified in the Recognized Obligation Payment Schedule. Each annual Recognized Obligation Payment Schedule may be amended once, provided that (i) the Successor Agency submits the amendment to State Department of Finance no later than October 1, (ii) the oversight board makes a finding that the amendment is necessary for the payment of approved enforceable obligations during the second half of the Recognized Obligation Payment Schedule period (from January 1 to June 30, inclusive), and (iii) the Successor Agency may only amend the amount requested for payment of approved enforceable obligations. The State Department of Finance shall notify the Successor Agency and the County Auditor-Controller as to whether the Successor Agency’s requested amendment is approved at least 15 days before the January 2 property tax distribution.

The Recognized Obligation Payment Schedule must be submitted by the Successor Agency, after approval by the oversight board, to the County Administrative Officer, the County Auditor-Controller, the State Department of Finance and the State Controller by February 1 in each year. If the Successor Agency does not submit a Countywide Oversight Board -approved Recognized Obligation Payment Schedule by such deadline, the City will be subject to a civil penalty equal to $10,000 per day for every day that the schedule is not submitted. Additionally, the Successor Agency’s administrative cost allowance will be reduced by 25% for any fiscal year for which the Successor Agency does not submit a Countywide Oversight Board approved Recognized Obligation Payment Schedule within 10 days of the February 1 deadline. If the Successor Agency fails to submit a Recognized Obligation Payment Schedule by the February 1 deadline, any creditor of the successor agency or the department or any affected taxing entity shall have standing to, and may request a writ of mandate to, require the Successor Agency to immediately perform this duty. For additional information regarding procedures under the Dissolution Act relating to late Recognized Obligation Payment Schedules and implications thereof on the Series 2026A Bonds, see the caption “BOND OWNERS’ RISKS – Recognized Obligation Payment Schedule.” With respect to each Recognized Obligation Payment Schedule submitted by the Successor Agency, the Dissolution Act requires the State Department of Finance to make a determination of the enforceable obligations and the amounts and funding sources available to pay approved enforceable obligations no later than April 15. Within five business days of the determination by the State Department of Finance, the Successor Agency may request additional review by the State Department of Finance and an opportunity to meet and confer on disputed items, if any. The State Department of Finance will notify the Successor Agency and the County Auditor-Controller as to the outcome of its review at least 15 days before the February 1 property tax distribution date preceding the applicable Recognized Obligation Payment Schedule period. Additionally, the County Auditor-Controller may review a submitted Recognized Obligation Payment Schedule and object to the inclusion of any items that are not demonstrated to be enforceable obligations and may object to the funding source proposed for any items, provi ded that the County Auditor-Controller must provide notice of any such objections to the Successor Agency, the Countywide Oversight Board and the State Department of Finance at least 60 days prior to the next February 1 property tax distribution date.
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The Successor Agency has submitted each Recognized Obligation Payment Schedule to State Department of Finance on or before the applicable statutory deadline.

See the caption “– Last and Final Recognized Obligation Payment Schedule” for a description of the Last and Final Recognized Obligation Payment Schedule authorized by the Dissolution Act pursuant to SB 107.

In connection with the allocation and distribution by the County Auditor-Controller of property tax revenues deposited in the RPTTF, under the Dissolution Act the County Auditor-Controller must prepare estimates of the amounts of: (i) property tax to be allocated and distributed; and (ii) the amounts of pass - through payments to be made for the upcoming fiscal year, and provide those estimates to the entities receiving the distributions and State Department of Finance by no later than October 1 and April 1 of each year, as applicable. If, after receiving such estimate from the County Auditor -Controller, the Successor Agency determines and reports, no later than December 1 or May 1, as applicable, that the total amount available to the Successor Agency from the RPTTF allocation to the Successor Agency’s Redevelopment Obligation Retirement Fund, from other funds transferred from the Former Agency and from funds that have or will become available through asset sales and all redevelopment operations, is insufficient to fund the payment of pass-through obligations, Agency enforceable obligations listed on the Recognized Obligation Payment Schedule and the Successor Agency’s administrative cost allowance, the County Auditor-Controller must notify the State Controller and the State Department of Finance by no later than 10 days from the date of the Successor Agency’s notification. If the State Controller concurs that there are insufficient funds to pay required debt service, and if the Successor Agency ’s tax sharing obligations described in Section 38183(a)(1) of the Dissolution Act have been subordinated to the Successor Agency’s enforceable obligations, then the Dissolution Act provides for certain adjustments to be made to the estimated distributions, as described in more detail under the caption “– Tax Increment Financing Generally” above.

The Dissolution Act provides that any bonds authorized to be issued by the Successor Agency will be considered indebtedness incurred by the dissolved Former Agency, with the same legal effect as if such bonds had been issued prior to the effective date of AB 26, in full conformity with the applicable provision of the Redevelopment Law that existed prior to such date, will be included in the Successor Agency ’s Recognized Obligation Payment Schedule and will be secured by a pledge of, and lien on, and will be repaid from moneys deposited from time to time in the RPTTF established pursuant to the Dissolution Act.

Additionally, if an enforceable obligation provides for an irrevocable commitment of property tax revenue and where allocation of revenues is expected to occur over time, the Dissolution Act provides that a successor agency may petition the State Department of Finance to provide written confirmation that its determination of such enforceable obligation as approved in a Recognized Obligation Payment Schedule is final and conclusive, and reflects the State Department of Finance’s approval of subsequent payments made pursuant to the enforceable obligation. If the confirmation is granted by the State Department of Finance, then the State Department of Finance’s review of such payments in each future Recognized Obligation Payment Schedule will be limited to confirming that they are required by the prior enforceable obligation.

Pursuant to the Dissolution Act, the Successor Agency has covenanted to take all actions necessary to ensure that the Series 2026A Bonds will be included in the Successor Agency’s Recognized Obligation Payment Schedules as prepared from time to time under the Dissolution Act.

The Successor Agency has no power to levy and collect property taxes, and any property tax limitation, legislative measure, voter initiative or provisions of additional sources of income to taxing agencies having the effect of reducing the property tax rate could reduce the amount of Tax Increment Revenues and, accordingly, Pledged Tax Revenues that would otherwise be available to pay the principal 116

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of, and interest on, the Series 2026A Bonds. Likewise, broadened property tax exemptions could have a similar effect. See “BOND OWNERS’ RISKS” and “LIMITATIONS ON TAX REVENUES.” The Successor Agency cannot guarantee that this process prescribed by the Dissolution Act of administering the Tax Increment Revenues and the contractual and statutory tax sharing amounts will effectively result in adequate Pledged Tax Revenues for the payment of principal and interest on the Series 2026A Bonds when due. See “–Recognized Obligation Payment Schedule.” See also “ESTIMATED REVENUES AND BOND RETIREMENT” for additional information regarding the Statutory Pass- Through Amounts and Pre-Existing Agreements applicable to the Successor Agency and the revenues derived from the Project Area. The Successor Agency has no power to levy and collect taxes, and various factors beyond its control could affect the amount of Pledged Tax Revenues available in any six-month period to pay the principal of and interest on the Series 2026A Bonds. See “BOND OWNERS’ RISKS.” The Series 2026A Bonds are not a debt of the City, the County, the State or any of its political subdivisions (except the Successor Agency), and none of the City, the County, the State or any of its political subdivisions (except the Successor Agency) is liable therefor. The Series 2026A Bonds do not constitute indebtedness within the meaning of any constitutional or statutory debt limitation or restriction.

Security for the Bonds
Pledged Tax Revenues. The following is a discussion of the flow of funds under the Indenture after payments of debt service for the entire year, and payments with respect to Pre -Existing Agreements, are set aside.

Under the Indenture, the Pledged Tax Revenues (as defined below) allocated and paid to the Successor Agency are pledged to the payment of debt service on the Series 2026A Bonds and Parity Debt (subject to the lien of the Pre-Existing Agreements) together with moneys in the funds and accounts. See Table 6 herein showing the projected Pledged Tax Revenues, and debt service coverage on the Series 2026A Bonds.
“Pledged Tax Revenues” means the portion of the monies deposited from time to time in the RPTTF as provided in paragraph (2) of subdivision (a) of Section 34183 of the California Health and Safety Code that are equal to that portion of taxes levied upon taxable property in the Project Area and received by the Successor Agency on or after the date of issue of the Series 2026A Bonds, pursuant to Article 6 of Chapter 6 of the Redevelopment Law and Section 16 of Article XVI of the Constitution of the State, including all payments, subventions and reimbursements (if any) to the Successor Agency specifically attributable to ad valorem taxes lost by reason of tax exemptions and tax rate limitations, but excluding (i) amounts of such taxes required to be paid by the Successor Agency to pay Pre-Existing Agreements, and (ii) amounts required to be paid to taxing entities pursuant to Sections 33607.5 and 33607.7 of the Redevelopment Law.

In accordance with the Dissolution Act, the Series 2026A Bonds and Parity Debt shall be payable from and secured by, and Pledged Tax Revenues shall include, subject to the exclusions above, moneys deposited, from time to time, in the RPTTF as provided in paragraph (2) of subdivision (a) of California Health and Safety Code Section 34183. If, and to the extent, that the provisions of Section 34172 or paragraph (2) of subdivision (a) of Section 34183 are invalidated by a final judicial decision, then Pledged Tax Revenues shall include all tax revenues allocated to the payment of indebtedness pursuant to Health & Safety Code Section 33670 or such other section as may be in effect at the time providing for the allocation of tax increment revenues in accordance with Article XVI, Section 16 of the California Constitution, subject to the exclusions set forth above.
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Pre-Existing Agreements include Pass-Through Agreements to other taxing agencies, which are discussed under the caption, “THE CONSOLIDATED WHITEWATER PROJECT AREA – Pass-Through Agreements,” herein.

Pass-Through Agreements and Statutory Tax Sharing. The Successor Agency has entered into tax-sharing agreements with taxing entities and school districts with respect to the portions of the Project Area that were adopted prior to 1994 (the “Pass-Through Agreements”) which are senior to the payment of debt service on the Series 2026A Bonds. See “Tax Sharing” above, “THE CONSOLIDATED WHITEWATER PROJECT AREA – Pass-Through Agreements” and “– Statutory Tax Sharing,” and APPENDIX A – “FISCAL CONSULTANT REPORT – Fiscal Agreements.” Debt Service Fund. The Indenture establishes a special trust fund known as the “Debt Service Fund” and the accounts therein which shall be held by the Trustee in accordance with Indenture. Pursuant to the Indenture, the Successor Agency shall deposit all of the Pledged Tax Revenues received in any Bond Year from the RPTTF in accordance with the Dissolution Act for the purpose of paying debt service on the Series 2026A Bonds and any Parity Debt in the Redevelopment Obligation Retirement Fund immediately upon receipt thereof by the Successor Agency, and promptly thereafter shall transfer amounts therein to the Trustee for deposit in the Debt Service Fund established and held under the Indenture until such time that the aggregate amounts on deposit in such Debt Service Fund equal the aggregate amounts required to be deposited into the Interest Account, the Principal Account and the Reserve Account in such Bond Year pursuant to Indenture and for deposit in such Bond Year in the funds and accounts established with respect to Parity Debt, as provided in any Supplemental Indenture.

In the event that the amount of Pledged Tax Revenues is not sufficient to pay debt service on the Series 2026A Bonds and any Parity Debt outstanding, any such insufficiency shall be allocated among the Series 2026A Bonds and any Parity Debt on a pro rata basis (based on the amount of debt service coming due during any such period of insufficiency).

Moneys in the Debt Service Fund shall be transferred in the following amounts at the following times, in the following respective special accounts within the Debt Service Fund, which accounts are held by the Trustee to pay debt service on the Bonds and any Parity Debt not otherwise provided for in a Parity Debt Instrument, in the following order of priority:
(a) Interest Account. On or before the fourth Business Day preceding each date on which interest on the Bonds and any such Parity Debt becomes due and payable, the Trustee shall withdraw from the Debt Service Fund and transfer to the Interest Account an amount which, when added to the amount then on deposit in the Interest Account, will be equal to the aggregate amount of the interest becoming due and payable on the Bonds and any such Parity Debt on such date. No such transfer and deposit need be made to the Interest Account if the amount contained therein is at least equal to the interest to become due on the Interest Payment Date upon all of the Bonds and any such Parity Debt. All moneys in the Interest Account shall be used and withdrawn by the Trustee solely for the purpose of paying the interest on the Bonds as it shall become due and payable (including accrued interest on any Series 2020A Bonds, Series 2026A Bonds and any such Parity Debt purchased or redeemed prior to maturity pursuant to the Indenture). (b) Principal Account. On or before the fourth Business Day preceding each date on which principal of the Bonds and any such Parity Debt becomes due and payable at maturity, the Trustee shall withdraw from the Debt Service Fund and transfer to the Principal Account an amount which, when added to the amount then on deposit in the Principal Account, will be equal to the amount of principal coming due and payable on such date on the Bonds and any such Parity Debt. 118

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All moneys in the Principal Account shall be used and withdrawn by the Trustee solely for the purpose of paying the principal of the Bonds and any such Parity Debt upon the maturity thereof. (c) Sinking Account. On or before the fourth Business Day preceding each date on which any Outstanding Term Bonds become subject to mandatory Sinking Account redemption, the Successor Agency shall withdraw from the Debt Service Fund and transfer to the Trustee for deposit in the Sinking Account an amount which, when added to the amount then contained in the Sinking Account, will be equal to the aggregate principal amount of the Term Bonds required subject to mandatory Sinking Account redemption on such date. All moneys on deposit in the Sinking Account shall be used and withdrawn by the Trustee for the sole purpose of paying the principal of the Term Bonds as it shall become due and payable upon the mandatory Sinking Account redemption thereof.
(d) Reserve Account. In the event that the amount on deposit in the Reserve Account at any time becomes less than the Reserve Requirement, the Trustee shall promptly notify the Successor Agency of such fact. Promptly upon receipt of any such notice, the Successor Agency shall transfer to the Trustee an amount sufficient to maintain the Reserve Requirement on deposit in the Reserve Account. If there shall then not be sufficient Pledged Tax Revenues on deposit in the Redevelopment Obligation Retirement Fund to transfer an amount sufficient to maintain the Reserve Requirement on deposit in the Reserve Account, the Successor Agency shall be obligated to continue making transfers as Pledged Tax Revenues become available in the Redevelopment Obligation Retirement Fund until there is an amount sufficient to maintain the Reserve Requirement on deposit in the Reserve Account. No such transfer and deposit need be made to the Reserve Account so long as there shall be on deposit therein a sum at least equal to the Reserve Requirement. All money in the Reserve Account shall be used and withdrawn by the Trustee solely for the purpose of making transfers to the Interest Account, the Principal Account and the Sinking Account in such order of priority, in the event of any deficiency at any time in any of such accounts or for the retirement of all the Bonds then Outstanding, except that so long as the Successor Agency is not in default under the Indenture, any amount in the Reserve Account in excess of the Reserve Requirement shall be withdrawn from the Reserve Account semiannually on or before four (4) Business Days preceding each March 1 and September 1 by the Trustee and deposited in the Interest Account. All amounts in the Reserve Account on the Business Day preceding the final Interest Payment Date shall be withdrawn from the Reserve Account and shall be transferred either (i) to the Interest Account and the Principal Account, in such order, to the extent required to make the deposits then required to be made pursuant to the Indenture or, (ii) if the Successor Agency shall have caused to be transferred to the Trustee an amount sufficient to make the deposits required by the Indenture, then, at the Written Request of the Successor Agency, such amount shall be transferred as directed by the Successor Agency.

The Reserve Account may be maintained in the form of one or more separate sub-accounts which are established for the purpose of securing separate series of Bonds or Parity Debt (to the extent secured by the Reserve Account) or for holding the proceeds of separate issues of the Bonds and any Parity Debt (to the extent secured by the Reserve Account) in conformity with applicable provisions of the Code to the extent directed by the Successor Agency in writing to the Trustee.

The Reserve Requirement with respect to the Series 2026A Bonds shall be satisfied by the delivery of the 2026 Reserve Policy, described herein, to the Trustee. The Trustee shall credit the 2026 Reserve Policy to the Series 2026 Subaccount of the Reserve Account, which subaccount is created under Indenture. The Trustee shall comply with all of the terms and provisions of the 2026 Reserve Policy for the purpose of assuring that funds are available thereunder when required for the purposes of the Reserve Account, within the limits of the coverage amount provided by the 119

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2026 Reserve Policy. All amounts drawn by the Trustee under the 2026 Reserve Policy will be deposited into the Series 2026 Subaccount of the Reserve Account and applied for the purposes of paying principal and interest on the Series 2026A Bonds. (e) Redemption Account. On or before the Business Day preceding any date on which Bonds are subject to redemption, other than mandatory Sinking Account redemption of Bonds, the Trustee shall withdraw from the Debt Service Fund for deposit in the Redemption Account an amount required to pay the principal of and premium, if any, on the Bonds or other Parity Debt to be so redeemed on such date. The Trustee shall also deposit in the Redemption Account any other amounts received by it from the Successor Agency designated by the Successor Agency in writing to be deposited in the Redemption Account. All moneys in the Redemption Account shall be used and withdrawn by the Trustee solely for the purpose of paying the principal of and premium, if any, on the Bonds or other Parity Debt upon the redemption thereof, on the date set for such redemption, other than mandatory Sinking Account redemption of Term Bonds. (f) Equal Rights. It is the intention of the Successor Agency that the Bonds and Parity Debt shall be secured by and payable from all moneys deposited in the Redevelopment Obligation Retirement Fund on an equal basis. To the extent that moneys deposited in the Redevelopment Obligation Retirement Fund are insufficient to pay debt service on the Bonds and Parity Debt as it becomes due, the Bonds and Parity Debt shall be payable on a pro-rata basis from all available moneys deposited in the Redevelopment Obligation Retirement Fund.

Reserve Requirement. The “Reserve Requirement” is defined in the Indenture to mean, with respect to the Series 2020A Bonds and any Parity Debt issued as Bonds (including the Series 2026A Bonds) pursuant to a Supplemental Indenture supplemental to the Indenture, as of any calculation date, the lesser of (i) Maximum Annual Debt Service with respect to the Series 2020A Bonds, the Series 2026A Bonds or Parity Debt, as applicable, or (ii) 125% of average Annual Debt Service on the Series 2020A Bonds, the Series 2026A Bonds or Parity Debt, as applicable; provided, that in no event shall the Successor Agency, in connection with the issuance of Parity Debt pursuant to a Supplemental Indenture be obligated to deposit an amount in the Reserve Account which is in excess of the amount permitted by the applicable provisions of the Tax Code to be so deposited from the proceeds of tax -exempt bonds without having to restrict the yield of any investment purchased with any portion of such deposit and, in the event the amount of any such deposit into the Reserve Account is so limited, the Reserve Requirement shall, in connection with the issuance of such of additional Parity Debt pursuant to a Supplemental Indenture, be increased only by the amount of such deposit as permitted by the Code; and, provided further that the Successor Agency may meet all or a portion of the Reserve Requirement by depositing a Qualified Reserve Account Credit Instrument meeting the requirements of paragraph (d) immediately above. In order to further secure the payment of the principal of and interest on the Series 2026A Bonds, the Series 2026 Subaccount of the Reserve Account will be funded by the purchase of the 2026 Reserve Policy issued by _________________ in an amount to provide additional coverage equal to the portion of the Reserve Requirement for the Series 2026A Bonds. The 2026 Reserve Policy will secure the Series 2026A Bonds. The initial Reserve Requirement for the Series 2026A Bonds is the amount of $_______. See “– Specimen Municipal Bond Debt Service Reserve Insurance Policy” below. The 2026 Reserve Policy is not available to secure the payment of the principal of and interest on the Series 2020A Bonds or any other series of Bonds or Parity Debt.

As defined in the Indenture, the term “Qualified Reserve Account Credit Instrument” means (i) the 2026 Reserve Policy (and includes the 2020 Reserve Surety) or (ii) an irrevocable standby or direct-pay letter of credit or surety bond issued by a commercial bank or insurance company and deposited with the Trustee pursuant to the Indenture, provided that all of the following requirements are met by the Successor Agency at the time of delivery thereof to the Trustee: (a) the long -term credit rating of such bank or 120

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insurance company is “A” (without regard to modifier) or higher; (b) such letter of credit or surety bond has a term of at least twelve (12) months; (c) such letter of credit or surety bond has a stated amount at least equal to the portion of the Reserve Requirement with respect to which funds are proposed to be released pursuant to paragraph (d) immediately above; (d) the Trustee is authorized pursuant to the terms of such letter of credit or surety bond to draw thereunder an amount equal to any deficiencies which may exist from time to time in the Interest Account, the Principal Account or the Sinking Account for the purpose of making payments required pursuant to the Indenture; and (e) prior written notice is given to the Indenture before the effective date of any such Qualified Reserve Account Credit Instrument.

In connection with the delivery of the Series 2020A Bonds, the 2020 Reserve Surety was issued by Build America Mutual Assurance Company in an amount equal to the initial Reserve Requirement for the Series 2020A Bonds. The 2020 Reserve Surety secures the Series 2020A Bonds in the amount of $____________________. See “– Security for the Bonds - Reserve Requirement” below. The 2020 Reserve Surety is not available to secure the payment of the principal of and interest on the Series 2026A Bonds or any other series of Bonds or Parity Debt.
“Maximum Annual Debt Service” is defined in the Indenture to mean, as of the date of calculation, the largest Annual Debt Service for the current or any future Bond Year payable on the Bonds or any Parity Debt in such Bond Year.

If circumstances should ever cause a Qualified Reserve Account Credit Instrument to be canceled or discharged, such cancellation or discharge could be determined to create a deficiency in the Reserve Requirement previously satisfied by such Qualified Reserve Account Credit Instrument.

Specimen Municipal Bond Debt Service Reserve Insurance Policy.

The 2026 Reserve Policy provides that upon notice from the Trustee to _________________ to the effect that insufficient amounts are on deposit in the Debt Service Fund to pay the principal of (at maturity or pursuant to mandatory redemption requirements) and interest on the Series 2026A Bonds, _______________ will promptly deposit with the Trustee an amount sufficient to pay the principal of and interest on the Series 2026A Bonds or the available amount of the 2026 Reserve Policy, whichever is less.

The Trustee will ascertain the necessity for a claim upon the 2026 Reserve Policy in accordance with the provisions of this paragraph and provide notice to __________ at least three business days prior to each date upon which interest or principal is due on the Series 2026A Bonds. The Successor Agency will repay any draws under the 2026 Reserve Policy and pay all related reasonable expenses incurred by ____________ from available Pledged Tax Revenues. Interest will accrue and be payable on such draws and expenses from the date of payment by ______ at the Late Payment Rate as defined in the Indenture.

Repayment of draws and payment of expenses and accrued interest thereon at the Late Payment Rate (collectively, the “Policy Costs”) will commence in the first month following each draw, and each such monthly payment will be in an amount at least equal to 1/12 of the aggregate of Policy Costs related to such draw. Amounts in respect of Policy Costs paid to _______ will be credited first to interest due, then to the expenses due and then to principal due. As and to the extent that payments are made to ___________ on account of principal due, the coverage under the 2026 Reserve Policy will be increased by a like amount, subject to the terms of the 2026 Reserve Policy. All cash and investments in the Series 2026A Subaccount of the Reserve Account established for the Series 2026A Bonds, if any, will be transferred to the Debt Service Fund for payment of the debt service on the Series 2026A Bonds before any drawing may be made on the 2026 Reserve Policy or any other Reserve Fund Credit Instrument in lieu of cash.

Payment of any Policy Cost will be made prior to replenishment of any cash amounts. Draws on all Reserve Fund Credit Instruments (including the 2026 Reserve Policy) on which there is available 121

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coverage will be made on a pro-rata basis (calculated by reference to the coverage then available thereunder) after applying all available cash and investments in the Series 2026A Subaccount of the Reserve Account.

Payment of Policy Costs and reimbursement of amounts with respect to other Reserve Fund Credit Instruments will be made on a pro-rata basis prior to replenishment of any cash drawn from the Series 2026A Subaccount of the Reserve Account. For the avoidance of doubt, “available coverage” means the coverage then available for disbursement pursuant to the terms of the applicable alternative credit instrument without regard to the legal or financial ability or willingness of the provider of such instrument to honor a claim or draw thereon or the failure of such provider to honor any such claim or draw.

Draws under the 2026 Reserve Policy may only be used to make payments on Series 2026A Bonds.

Issuance of Additional Successor Agency Parity Debt. The Successor Agency will not incur any additional obligations which are senior to the lien of Pledged Tax Revenues under the Indenture. Indenture provides that the Successor Agency may issue or incur additional Parity Debt subject to the conditions summarized in part below. See APPENDIX D – “SUMMARY OF CERTAIN PROVISIONS OF THE INDENTURE” – “Issuance of Parity Debt” for a more complete description of the conditions precedent to the issuance or incurrence of Parity Debt.
(a) The Successor Agency may issue and sell refunding bonds payable from Pledged Tax Revenues on a parity with Bonds and any outstanding Parity Debt, if (a) annual debt service on such refunding bonds is lower than annual debt service on the bonds or other indebtedness being refunded during every year the Bonds or Parity Debt, as applicable, will be Outstanding and (b) the final maturity of any such refunding bonds does not exceed the final maturity of the Bonds or Parity Debt being refunded, as applicable.
(b) In the event the Successor Agency issues Parity Debt pursuant to a Supplemental Indenture supplemental hereto, the Successor Agency shall cause the amount on deposit in the Reserve Account to equal the Reserve Requirement.
(c) The Successor Agency shall deliver to the Trustee a certificate of the Successor Agency certifying that the conditions precedent to the issuance of such Parity Debt set forth in clauses (a) and (b) above have been satisfied.

Issuance of Successor Agency Subordinate Debt. Indenture provides that the Successor Agency may issue or incur Subordinate Debt in such principal amount as shall be determined by the Successor Agency.

Events of Default and Acceleration of Maturities. Each of the following events constitutes an Event of Default under the Indenture:
(a) Failure to pay any installment of the principal of any Bonds when and as the same shall become due and payable, whether at maturity as therein expressed, by proceedings for redemption, by acceleration, or otherwise.
(b) Failure to pay any installment of interest on any Bonds when and as the same shall become due and payable.
(c) Failure by the Successor Agency to observe and perform any of the other covenants, agreements or conditions on its part in the Indenture or in the Series 2020A Bonds and Series 2026A Bonds contained, if such failure shall have continued for a period of thirty (30) days after written notice thereof, specifying such failure and requiring the same to be remedied, shall 122

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have been given to the Successor Agency by the Trustee or Bond Insurer or any other Insurer; provided, however, if in the reasonable opinion of the Successor Agency the failure stated in the notice can be corrected, but not within such thirty (30) day period, such failure shall not constitute an Event of Default if corrective action is instituted by the Successor Agency within such thirty (30) day period and the Successor Agency shall thereafter diligently and in good faith cure such failure in a reasonable period of time.
(d) The Successor Agency shall commence a voluntary case under Title 11 of the United States Code or any substitute or successor statute.

For purposes of determining whether any event of default has occurred under and as described in the preceding clauses (a) or (b), no effect shall be given to payments made by Bond Insurer under the Policy.

Subject in all respects to the provisions of Indenture, if an Event of Default has occurred and is continuing, the Trustee may, and if requested in writing by the Owners of a majority of the principal amount of the Bonds then Outstanding the Trustee shall, (a) declare the principal of the Bonds, together with the accrued interest thereon, to be due and payable immediately, and upon any such declaration the same shall become immediately due and payable, anything in the Indenture or in the Bonds to the contrary notwithstanding, and (b) upon receipt of indemnity satisfactory to it from any liability or expense, including payment of the fees and expenses of its counsel and agents, exercise any other remedies available to the Trustee and the Owners in law or at equity. The Trustee shall be entitled as a matter of right to the appointment of a receiver or receivers for the Pledged Tax Revenues, if appropriate, and for the revenues, income, product, and profits thereon, if any, ex parte, and without notice, and the Successor Agency consents to the appointment of such receiver upon the occurrence of an Event of Default . If any receivership, bankruptcy, insolvency, or reorganization or other judicial proceedings affecting the Successor Agency is filed, the Trustee shall be entitled to file such proofs of claims and other documents as may be necessary or advisable in order to have claims of the Trustee and Owners allowed in such proceedings for the entire amount due and payable under the Indenture at the time of the institution of such proceedings, and also for any additional amount which may become due and payable after such date, without prejudice to the right of any Owner to file a claim on his own behalf. The Trustee shall not be obligated to take any such action unless offered compensation, indemnity for its potential liability, and reimbursement for its legal fees and expenses in accordance with the Indenture.

Promptly upon becoming aware of the occurrence of an Event of Default, the Trustee shall give notice of such Event of Default to the Successor Agency by telephone confirmed in writing. Such notice shall also state whether the principal of the Bonds shall have been declared to be or have immediately become due and payable. With respect to any Event of Default described in clauses (a) or (b) above the Trustee shall, and with respect to any Event of Default described in clause (c) above the Trustee in its sole discretion may, also give such notice to the Owners in the same manner as provided in the Indenture for notices of redemption of the Bonds, which shall include the statement that interest on the Bonds shall cease to accrue from and after the date, if any, on which the Trustee shall have declared the Bonds to become due and payable pursuant to the preceding paragraph (but only to the extent that principal and any accrued, but unpaid, interest on the Bonds is actually paid on such date).

This provision, however, is subject to the condition that if, at any time after the principal of the Bonds shall have been so declared due and payable, and before any judgment or decree for the payment of the moneys due shall have been obtained or entered, the Successor Agency shall deposit with the Trustee a sum sufficient to pay all principal on the Bonds matured prior to such declaration and all matured installments of interest (if any) upon all the Bonds, with interest on such overdue installments of pr incipal and interest (to the extent permitted by law) at the weighted average interest rate then borne by the Outstanding Bonds, and the fees and expenses of the Trustee, including any fees and expenses of its 123

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attorneys, and any and all other defaults known to the Trustee (other than in the payment of principal of and interest on the Bonds due and payable solely by reason of such declaration) shall have been made good or cured to the satisfaction of the Trustee or provision deemed by the Trustee to be adequate shall have been made therefor, then, and in every such case, the Owners of a majority of the principal amount of the Bonds then Outstanding, by written notice to the Successor Agency and to the Trustee, may, on behalf of the Owners of all of the Bonds, rescind and annul such declaration and its consequences. However, no such rescission and annulment shall extend to or shall affect any subsequent default or shall impair or exhaust any right or power consequent thereon.

Application of Funds Upon Acceleration. All of the Pledged Tax Revenues and all sums in the funds and accounts established and held by the Trustee upon the date of the declaration of acceleration as provided in the Indenture, and all sums thereafter received by the Trustee, shall be applied by t he Trustee as follows and in the following order:
(a) To the payment of any fees, costs and expenses incurred by the Trustee to protect the interests of the Owners of the Bonds; payment of the fees, costs and expenses of the Trustee (including fees and expenses of its counsel, including any allocated costs of internal counsel) incurred in and about the performance of its powers and duties under the Indenture and the payment of all fees, costs and expenses owing to the Trustee pursuant to Indenture, together with interest on all such amounts advanced by the Trustee at the maximum rate permitted by law; and (b) To the payment of the whole amount then owing and unpaid upon the Bonds for interest and principal, with interest on such overdue amounts at the respective rates of interest borne by the Outstanding Bonds, and in case such moneys shall be insufficient to p ay in full the whole amount so owing and unpaid upon the Bonds, then to the payment of such interest, principal and interest on overdue amounts without preference or priority among such interest, principal and interest on overdue amounts ratably to the aggregate of such interest, principal and interest on overdue amounts.
(c) To the payment of amounts owed to any Insurer under the Indenture.

Last and Final Recognized Obligation Payment Schedule
SB 107 amended the Dissolution Act to permit a successor agency to submit a Last and Final Recognized Obligation Payment Schedule (a “Last and Final Recognized Obligation Payment Schedule”) for approval by the oversight board and State Department of Finance if: (i) The successor agency’s only remaining debt is administrative costs and payments pursuant to enforceable obligations with defined payment schedules, (ii) All remaining obligations have been previously listed on a Recognized Obligation Payment Schedule and approved by State Department of Finance, and (iii) The successor agency is not a party to outstanding or unresolved litigation. The Last and Final Recognized Obligation Payment Schedule must list the remaining enforceable obligations of the successor agency in the following order: (A) enforceable obligations to be funded from the RPTTF, (B) enforceable obligations to be funded from bond proceeds or other legally or contractually dedicated or restricted funding sources, and (C) loans or deferrals authorized for repayment to the city that created the redevelopment agency or the successor to the former redevelopment agency’s housing functions and assets. The Last and Final Recognized Obligation Payment Schedule must also include the total outstanding obligation and a schedule of remaining payments for each enforceable obligation described in (A) and (B) above, and the total outstanding obligation and an interest rate of 4%, for any loans or deferrals listed pursuant to (C) above. The Last and Final Recognized Obligation Payment Schedule will also establish the maximum amount of RPTTF revenues to be distributed to the successor agency for each remaining fiscal year until all obligations have been fully paid. State Department of Finance approval is required for any Last and Final Recognized Obligation Payment 124

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Schedule to become effective. The county auditor-controller is also required to review the Last and Final Recognized Obligation Payment Schedule and provide any objection to the inclusion of any items or amounts to State Department of Finance. Successor agencies may only amend an approved Last and Final Recognized Obligation Payment Schedule twice. Commencing on the effective date of the approved Last and Final Recognized Obligation Payment Schedule, the successor agency will not prepare or transmit annual Recognized Obligation Payment Schedules.

After the Last and Final Recognized Obligation Payment Schedule is approved by State Department of Finance, the county auditor-controller will continue to allocate moneys in the successor agency’s RPTTF pursuant to Section 34183 of the Dissolution Act; however, the county auditor-controller will allocate such moneys in each fiscal period, after deducting the county auditor-controller’s administrative costs, in the following order of priority: (A) pass-through payments pursuant to Section 34183(a)(1) of the Dissolution Act, (B) scheduled debt service payments on tax allocation bonds listed and approved in the Last and Final Recognized Obligation Payment Schedule, (C) scheduled payments on revenue bonds listed and approved in the Last and Final Recognized Obligation Payment Schedule, but only to the extent the revenues pledged for them are insufficient to make the payments and only if the successor agency’s tax increment revenues were also pledged for the repayment of bonds, (D) scheduled payments for debts and obligations listed and approved in the Last and Final Recognized Obligation Payment Schedule to be paid from the RPTTF, (E) payments listed and approved on the Last and Final Recognized Obligation Payment Schedule that were authorized but unfunded in prior periods, (F) repayment of loans and deferrals to the city that created the redevelopment agency or the successor to the former redevelopment agency’s housing functions and assets that are listed and approved on the Last and Final Recognized Obligation Payment Schedule, and (G) any moneys remaining in the RPTTF after the payments and transfers described in (A) to (F), above, will be distributed to taxing entities in accordance with Section 34183(a)(4) of the Dissolution Act.

If the successor agency reports to the county auditor-controller that the total available amounts in the RPTTF will be insufficient to fund the successor agency’s current or future fiscal year obligations, and if the county auditor-controller concurs that there are insufficient funds to pay the required obligations, the county auditor-controller may distribute funds pursuant to Section 34183(b) of the Dissolution Act. See the caption “– Tax Increment Financing Generally” above.

The Successor Agency has not submitted a Last and Final Recognized Obligation Payment Schedule and has no current plans to seek approval of a Last and Final Recognized Obligation Payment Schedule.

BOND INSURANCE
[TO COME]

SUCCESSOR AGENCY TO THE INDIAN WELLS REDEVELOPMENT AGENCY The Successor Agency
As described below, the Successor Agency was established by the City Council following dissolution of the Former Agency pursuant to the Dissolution Act. Set forth below is a discussion the history of the Former Agency and the Successor Agency, the governance and operations of the Successor Agency and its powers under the Redevelopment Law and the Dissolution Act, and the limitations thereon. 125

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General
The City, acting pursuant to the Redevelopment Law, activated the Former Agency by Ordinance No. 186 of the City adopted on October 16, 1981. Under the terms of this Ordinance the City Council declared itself to be the governing body of the Former Agency.

As of February 1, 2012, all redevelopment agencies in the State were dissolved, including the Former Agency, and successor agencies were designated as successor entities to the former redevelopment agencies to expeditiously wind down the affairs of the former redevelopment agencies and also to satisfy “enforceable obligations” of the former redevelopment agency all under the supervision of a new oversight board, the State Department of the Finance and the State Controller.

The present members of the City Council acting as the Successor Agency are as follows:

Dr. Toper Taylor, Mayor
Brian M. Penna, Mayor Pro-Tem
Greg Sanders, Council Member
Dana Reed, Council Member
Bruce Whitman, Council Member
The Successor Agency is a component unit of the City for financial reporting purposes and does not leave separate audited financial statements. The audited financial statements of the City for year ending June 30, 2025, are included herein as APPENDIX C. The City’s strategic financial planning system has received national and state finance officer associations’ recognition for “excellence in financial reporting” and “Distinguished Budgeting.” The inclusion of such financial statements should not suggest that the City is obligated in any way with respect to the Bonds. The Bonds are payable solely from Pledged Tax Revenues and other sources as described herein. The taxing power of the City, the County, the State of California or any political subdivision thereof is not pledged to the payment of the Bonds.

The Successor Agency has one project area, The Consolidated Whitewater Project Area, referred to as the Project Area herein (see “THE CONSOLIDATED WHITEWATER PROJECT AREA”).

Pursuant to Resolution No. 2012-03 (the “Establishing Resolution”) adopted by the City Council on January 12, 2012, and Sections 34171(j) and 34173 of the Dissolution Act, the City Council appointed itself as successor to the Former Agency. On June 27, 2012, the Redevelopment Law was amended by AB 1484, which clarified that successor agencies are separate political entities and that the successor agency succeeds to the organizational status of the former redevelopment agency but without any legal authority to participate in redevelopment activities except to complete the work related to an approved enforceable obligation.

As discussed below, many actions of the Successor Agency are subject to approval by an “oversight board” and the review or approval by the State Department of Finance, including the issuance of bonds such as the Series 2026A Bonds.

Successor Agency Staff
The City Manager also serves as the Executive Director of the Successor Agency. The City Finance Director maintains the Successor Agency’s financial records and serves as the Successor Agency’s Treasurer. The City Attorney also serves as the Successor Agency’s counsel. Brief résumés of the key staff at the City and Successor Agency are set forth below:
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Christopher Freeland was appointed City Manager for the City of Indian Wells on May 2, 2019.

Prior to this new assignment, Chris spent over 18 years with the City of West Covina where he served in several executive roles, including City Manager, Assistant City Manager, Community Development Director, Human Resources Director, Parks and Recreation Director, and Deputy City Manager. He has extensive experience in economic development, working on the revitalization of several shopping centers, an auto plaza, a regional mall, and an award-winning brownfield development. During his tenure in West Covina, Chris was successful in restructuring the City’s finances, building new playgrounds and sports facilities, replacing aging police and fire equipment, completing a General Plan Update, streamlining the entitlement process for new businesses, reducing and refinancing all city debt, and much more.

Chris holds a Bachelor of Arts in Political Science and a Bachelor of Science in Civil Engineering from Cal Poly Pomona, a Master of Public Administration from Cal State Long Beach and is a graduate of the UC Berkeley Executive Leadership Program for Strategic Management of Public Organizations. Chris has served on various League of California Cities Public Policy Committees, and currently holds a seat on the Transportation, Public Works and Communications Committee.

Kevin McCarthy, City Finance Director and Successor Agency Treasurer, has been with the City and Former Agency and Successor Agency since 1998. Mr. McCarthy previously served as the senior accountant for the SunLine Transit Agency, the Coachella Valley’s public bus service. Mr. McCarthy earned his business management degree from California State University, San Bernardino.

Countywide Oversight Board
California Health and Safety Code Section 34179 provides for the appointment of a countywide oversight board (in place of the former successor agency oversight boards) with specific duties to approve certain successor agency actions pursuant to Health and Safety Code Section 34180 and to direct the successor agency in certain other actions pursuant to Health and Safety Code Section 34181. The Countywide Oversight Board for the County of Riverside (the “Countywide Oversight Board”) was created pursuant to California Health and Safety Code Section 34179(j). Pursuant to Health and Safety Code Section 34179, the County Auditor-Controller selected the County Executive Office to staff the Countywide Oversight Board for the County of Riverside. The Countywide Oversight Board is governed by a seven- member governing board. The Memorandum of Understanding and Resolution delegating the staffing obligations to the County Executive Office was approved by the County of Riverside Board of Supervisors on February 27, 2018 pursuant to Minute Order No. 3.11.

Department of Finance Finding of Completion
The Dissolution Act established a process for determining the liquid assets that redevelopment agencies should have shifted to their successor agencies when they were dissolved, and the amount that should be available for remittance by the successor agencies to their respective county auditor-controllers for distribution to affected taxing entities within the project areas of the former redevelopment agencies.

This determination process was required to be completed through the final step (review by the State Department of Finance) by November 9, 2012 with respect to affordable housing funds and by April 1, 2013 with respect to non-housing funds. Within five business days of receiving notification from the State Department of Finance, a successor agency must remit to the county auditor-controller the amount of unobligated balances determined by the State Department of Finance, or it may request a m eet and confer with the State Department of Finance to resolve any disputes.

The Successor Agency has paid to the County Auditor-Controller all unobligated balances relating to affording housing funds, as determined by the State Department of Finance. In July 2013, the Successor Agency remitted to the County Auditor-Controller all unobligated balances relating to all other funds 127

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determined by the State Department of Finance. The Successor Agency has made all payments required under AB 1484 and has received its finding of completion from the State Department of Finance on April 26, 2013. On January 17, 2014, the State Department of Finance approved the Successor Agency’s Long-Range Property Management Plan which was submitted on September 20, 2013.

THE CONSOLIDATED WHITEWATER PROJECT AREA
General
In 1982, the Successor Agency adopted redevelopment plans for two separate projects, Whitewater Redevelopment Project Area No. 1 and Whitewater Redevelopment Project Area No. 2. In 1987 the two project areas were consolidated into one project area and named the “Consolidated Whitewater Project Area,” which is referred to herein as the “Project Area.” Currently, 3,327 acres within the Project Area produce tax increment.

The Project Area includes 80% of land within the City limits. The Project Area is predominately residential with 65.3% of its fiscal year 2025-26 valuation in single-family residential use and 18.3% in condominiums. 6.2% of the Project Area valuation is in commercial use, 9.2% is classified as exceptional residential properties, golf courses and other use types. and 1% is classified as vacant.

There are 2,348 single family homes in the Project Area as of July 1, 2025. Residential country clubs located in the Project Area include the Hyatt Regency Resort and Spa, Renaissance Indian Wells Resort and Spa, Miramonte Resort and Spa, the Vintage Club and the El Dorado Country Club.

Of the major taxpayers Indian Wells Hotel, the Renaissance Indian Wells Resort and Spa (owned by BBC Esmeralda), the Miramonte Resort and Spa (owned by Indian Wells Property), and The Vintage Club and El Dorado Country Club (each, a private golf course) are all located in the Project Area and together represent approximately 5.0% of the assessed valuation in the Project Area. The Project Area includes 171 holes of golf, divided among the various private clubs and resorts, as well as numerous grass, clay and hard surface tennis courts serving the resort developments. The City and the Successor Agency have reconstructed two championship quality eighteen-hole golf courses owned by the City, along with the clubhouse, known as the Indian Wells Golf Resort.
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INSERT PROJECT AREA MAP

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Pass-Through Agreements
Under redevelopment law existing at the time of the Former Agency’s plan adoption, taxing jurisdictions that would experience a fiscal burden due to the existence of the redevelopment plan could enter into fiscal agreements with redevelopment agencies to alleviate that burden. Such agreements, known as Section 33401 fiscal, or passthrough, agreements, generally provide for redevelopment agencies to pay to a taxing entity some or all of that entity’s share of the tax increment received by the Successor Agency.

Taxing entities could separately receive their share of the growth in valuation due to inflation, known as Section 33676 or the 2% payments.

The Successor Agency has agreements with seven taxing entities regarding payments under Section 33401 (the Pass-Through Agreements herein). Under these agreements, the County Auditor- Controller passes through to the taxing entities varying percentages of the tax increment that the entities would otherwise receive.

The fiscal agreement with the County, covering both the County General Fund and the County Fire District, requires these entities to receive 100% of the combined County and County Fire District share of tax increment, totaling approximately 36% of the tax increment. The Coachella Valley Water District receives 100% of its 6% share of tax increment. Three entities – the Desert Sands Unified School District, County Superintendent of Schools and the College of the Desert – each receive 30% of their share of tax increment (respectively and approximately, 38%, 4% and 8%) above a $5 million threshold, calc ulated annually. The Desert Recreation and Park District and the Coachella Valley Mosquito Abatement District each receive 100% of their shares (approximately 2% and 1%) of tax increment over a threshold of $6.5 million annually.

Under the Section 33401 fiscal agreements, the taxing entities agreed to rescind any resolutions then in effect also claiming payments under Section 33676. Consequently, there are no resolutions in effect requiring payments under Section 33676.

The Section 33401 fiscal agreements contain no clauses allowing the Successor Agency to subordinate payments to the taxing entities to debt service payments. Therefore, all passthrough payments made under the fiscal agreements are senior to the Series 2020A Bonds, the Series 2026A Bonds, any other series of Bonds or Parity Debt.

Statutory Tax Sharing
In addition, certain sub-areas of the Project Areas are subject to the tax sharing provisions of AB 1290. Under Section 33607.5 and Section 33607.7 of the Law (added by AB 1290), any territory added to a project area after 1994 is required to share in tax increment revenues generated by such territory pursuant to a statutory formula (“Statutory Tax Sharing”). See APPENDIX A – “FISCAL CONSULTANT REPORT – Fiscal Agreements” for a description of the Successor Agency’s obligation to make statutory tax sharing payments.

The adoption of Ordinance 551 on November 6, 2003 eliminating the plan limitation on the issuance of indebtedness also triggered a statutory requirement that the Successor Agency commence making Statutory Tax Sharing payments to taxing entities not already subject to fiscal agreements. This requirement of the Redevelopment Law sets the date on which new Statutory Tax Sharing payments commence as the date on which the plan limitation eliminated by the ordinance would have gone into effect.

As the plan limitation on the issuance of indebtedness had been January 1, 2004, the new Statutory Tax Sharing payments for certain taxing entities commenced on that date. 130

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The taxing entities subject to the Statutory Tax Sharing payments, and their approximate shares of tax increment, are the County Recreation and Park District (0.5%), the Coachella Valley Cemetery District (0.4%), the Desert Center Hospital District (0.6%) and the Coachella Valley Resource Conservation District (0.03%). The Statutory Tax Sharing payments are senior to debt service payable on the Series 2020A Bonds and the Series 2026A Bonds.

The Statutory Tax Sharing payments, specified in redevelopment law established by AB 1290, provide taxing entities with their share of 25% percent of incremental tax revenues above certain thresholds; in this case the initial threshold is the tax increment received from assessed valuation in 2003-04. Tax increment above that amount is distributed to the four taxing entities identified above that did not already have Section 33401 fiscal agreements in effect with the Successor Agency. New thresholds are established ten and thirty years beyond the initial threshold date and a portion of tax increment above these new thresholds are also paid to taxing entities.

Projections used in the fiscal consultant’s report incorporate the pass-through payments made under the AB 1290 Statutory Tax Sharing provisions as well as under the Pass-Through Agreements.

Ten Largest Assessees
Table 1 below sets forth the ten largest assessees in the Project Area whose property in the aggregate comprises approximately 6.79% of the total taxable value in the Project Area. As noted below, certain parcels owned by these entities are located adjacent to, but outside of, the Project Area and as such do not generate RPTTF tax increment and are excluded from the valuations shown.

Table 1

Consolidated Whitewater Project Area
Ten Largest Fiscal Year 2025-2026 Assessees
Property Owner Secured Unsecured Total
Percent
of Total Principal Use
INDIAN WELLS HOTEL $ 173,751,920 $ 206,412 $ 173,958,332 2.77% Hotel/Motel BBC ESMERALDA 82,119,087 0 82,119,087 1.31% Hotel/Motel VINTAGE CLUB 31,138,781 887,243 32,026,024 0.51% Golf Courses

ELDORADO COUNTRY
CLUB 28,419,437 345,062 28,764,499 0.46% Golf Courses

VILLAGE SHOPPING

CENTER AT INDIAN
WELLS 26,165,434 0 26,165,434 0.42% Retail
INDIAN WELLS PROP 22,891,044 0 22,891,044 0.36% Hotel/Motel COOK LEO W 15,874,745 0 15,874,745 0.25% Hotel/Motel
IW GOLF CLUB 15,208,364 0 15,208,364 0.24% Golf Courses SCHMID INV 15,040,877 0 15,040,877 0.24% Office
INDIAN WELLS VILLAGE II 14,649,770 0 14,649,770 0.23% Retail Total, Top Ten: $ 425,259,459 $ 1,438,717 $ 426,698,176 6.79% Total, Top Twenty: $ 543,994,006 $ 2,805,037 $ 546,799,043 8.71% Total, Top Hundred: $1,093,623,478 $ 2,805,037 $1,096,428,515 17.46% Total for the Area: $6,260,780,330 $19,958,724 $6,280,739,054 100.00%

Source: Riverside County Office of the Assessor; Urban Analytics.

The Indian Wells Hotel is a 22 acre-resort and spa on Indian Wells Lane with a primary resort property valued at $146.4 million and 37 villas and other hotel parcels comprise the remainder of the $173,751,902 assessed value. The assessed valuation of improvements on the primary resort parcel 131

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increased by approximately $22.8 million in fiscal year 2025-26. The BBC Esmeralda property is the nearby 20-acre Renaissance Indian Wells Resort and Spa also on Indian Wells Lane.

Vintage Club and El Dorado Country Club are golf course properties, while the Village Shopping Center at Indian Wells is a 104,600 square foot shopping center.

Property Tax Delinquencies
The County utilizes a mechanism for the distribution of tax increment revenue to the former redevelopment agencies that has a similar effect on the Successor Agency ’s tax increment revenues as the device known as the Teeter Plan (Section 4701 et seq. of the California Revenue and Taxation Code).

The Teeter Plan allows counties to distribute secured property tax revenue to participating jurisdictions without regard to delinquencies by maintaining a reserve fund to cover delinquencies and allocating revenue based on the original secured roll, retaining all delinquent tax payments and penalties.

Under the mechanism used by the County to distribute tax increment revenue to the former redevelopment agencies, the County pays one-half of the taxes from the net taxable assessed valuation appearing on the equalized roll to each agency’s RPTTF on January 2 and the other one-half on June 1; delinquencies are not deducted from the RPTTF revenue, and delinquent tax payments and defaulted tax redemptions, penalties and interest are not added to RPTTF revenue. Consequently, the Successor Agency is not affected by delinquent tax payments. However, the County Auditor-Controller’s office has indicated that the County may cease to use this mechanism at some future date. There is no indication of when or whether this change may occur or what tax increment distribution mechanism would replace it.

In the past five years, the delinquency rate for all secured properties in the Project Area has been negligible The overall delinquency rate for the last full fiscal year (2024-25) for all secured properties in the Project Area was 2.9% as of June 2, 2025.
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Property Value by Land Use
Table 2 below sets forth the distribution of property value located in the Project Area by principal purpose for which the land is used.

Table 2

Consolidated Whitewater Project Area
Property Value by Land Use(1)
Fiscal Year 2025-2026
Land Use Secured AV
Percent of
AV
Number
of Parcels
Percent of
Parcels Acres
Percent of
Acres
Commercial $ 385,222,107 6.2% 55 0.8% 109 3.3%
Single-Family
Residential 4,090,104,011 65.3% 2,348 33.5% 695 20.9% Condominiums 1,145,043,149 18.3% 1,690 24.1% 139 4.2% Other Residential 35,914,435 0.6% 41 0.6% 18 0.6% Vacant 26,584,961 0.4% 34 0.5% 166 5.0%
Other 577,911,666 9.2% 2,833 40.5% 2,199 66.1%
Total $6,260,780,330 100.0% 7,001 100.0% 3,327 100.0% _____________________
(1) Valuations include homeowner’s exemptions, restored by the Auditor prior to the calculation of tax increment. Acreage is estimated using tax roll data and information provided by the Successor Agency . Timeshares are included in Commercial Secured assessed valuation figure but are excluded from the parcel count and acreage figures.

Source: Riverside County Office of the Assessor; Urban Analytics.

Plan Limitations
Under the provisions of Redevelopment Law, the following limitations were formerly imposed upon the redevelopment plan for the Project Area: (1) the time limit on the effectiveness of the Redevelopment Plan - July 15, 2025, (2) the time limit for the repayment of indebtedness - July 15, 2035, (3) tax increment dollars that may be allocated to the Successor Agency - $1.2 billion, and (4) the amount of bonded indebtedness outstanding at one time - $120 million. SB 107, which became effective September 22, 2015, amended the Dissolution Act to provide that the time limits for receiving property tax revenues and the limitation on the amount of property tax revenues that may be received by the Successor Agency are no longer effective for purposes of paying the Successor Agency’s enforceable obligations such as the Series 2026A Bonds and Parity Debt. Accordingly, the projections set forth in this Official Statement and in the Fiscal Consultant’s Report attached to this Official Statement as Appendix A were prepared without regard to the original time and financial limitations set forth in the Redevelopment Plan.

Assessment Appeals
Property owners can appeal the assessment of their property to the county assessment appeals board. See “BOND OWNERS’ RISKS – Assessment Appeals” and APPENDIX A – “FISCAL CONSULTANT REPORT.” The Fiscal Consultant conducted a review of pending and recently resolved assessment appeals in order to determine potential impact on current and future Project Area value and tax increment revenue. The results of this review are described in the Fiscal Consultant’s Report attached as APPENDIX A, portions of which are summarized below.

There are two basic types of assessment appeals provided for under California law. The first type of appeal, commonly referred to as a base year assessment appeal, involves a dispute on the valuation assigned by the county assessor immediately subsequent to a change in ownership or completion of new 133

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construction. If the base year value assigned by the county assessor is reduced, the valuation of the property cannot increase in subsequent years more than two percent annually unless and until another change in ownership and/or additional new construction activity occurs.

The most common type of appeal filed, a Proposition 8 appeal, in which the property owner seeks a reduction in a particular year’s assessment based on the current economic value of the property. The county assessor may also adjust valuations based on Proposition 8 criteria. Reductions in valuation made under Proposition 8 are temporary, with valuations restored to their full assessments once the economic reason for the reduction no longer applies. Such reductions can affect the Successor Agency’s tax increment while they are in effect.

The Riverside County Assessor (the “Assessor”) annually reports on the number of assessments by the City subject to Proposition 8 reductions, and the amount of Proposition 8 reductions, as shown below.

For Fiscal Year 2025-26, the Assessor reports 156 properties reduced through Proposition 8 in the City of Indian Wells and $230,388,091 in reduced valuation. This continues a downward trend in Proposition 8 reductions in the City from a high of 4,434 properties and $902,804,427 in reduced valuation in Fiscal Year 2012-13 and 4,116 properties with $915,179,042 in reduced valuation in Fiscal Year 2011-12.

With respect to direct property owner appeals, the County experienced a high level of assessment appeals in the late 1990’s and again in the late 2000’s. Within the Project Area, the primary cause of such appeals was declining market value of improved and unimproved residential property. Further significant appeals to assessed values in the Project Area may be filed from time to time in the future. The Successor Agency cannot predict the extent of any such appeals or their likelihood of success.

Based on information provided by the County Assessor’s office on October 25, 2025 there are 193 appeals pending in the Project Area, as shown in Table 3. The amount of assessed valuation in dispute (the original county valuation less the applicant's opinion of value) is $413.7 million for pending appeals. The disputed amounts will be resolved in the appeals process and some portion of those amounts may be adjusted. To provide some indication of the proportion of valuation upheld on appeal. Table 3 below provides information on resolved appeals filed in previous years in the Project Area. Overall, the 843 appeals settled in the Project Area during the fiscal years 2016-17 to 2025-26 period resulted in reductions in valuation of $92.2 million out of $2.7 billion in enrolled valuation subject to appeals, or 3.4%. The overall retention rate has thus been approximately 96.6% of the original valuation.

The potential exposure of the Successor Agency’s tax increment revenue to appeals, were either (i) the County Auditor-Controller to change its policy of deducting appeal-related tax refunds solely from supplemental revenue and not from tax increment or (ii) the Assessor to continue Proposition 8 reductions on future rolls for properties granted prior year reductions, may be seen by applying the retention rate to the amount of valuation in dispute in pending appeals.

Applying the 96.6% retention rate for resolved appeals to the $757.1 million in total valuation for parcels with appeals pending indicates a potential valuation reduction of $25.5 million or approximately $255,000 in tax revenue. If the full amount of disputed valuation were granted, the reduction in valuation would be $413.7 million or approximately $4.1 million in tax revenue. As noted below herein, and under the heading “Tax Increment Projection” in APPENDIX A – “FISCAL CONSULTANT REPORT – Assessment Appeals,” no assumptions are made regarding any potential appeal-related adjustments to Project Area valuation.

See APPENDIX A – “FISCAL CONSULTANT REPORT – Assessment Appeals.” The County has two years from the date of filing to rule on appeal requests . If the County reduces the assessed value of any parcel, there can be no assurance that the reduction will be by the amount estimated by the Fiscal 134

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Consultant. Also, additional appeals on property within the Project Area may be filed in the future. The Successor Agency cannot predict the extent of any such appeals or their likelihood of success.

The following Table 3 illustrates the pending and resolved assessment appeals in the Project Area, and a projection of the estimated impact of pending appeals on assessed value.

Table 3

Successor Agency to the Indian Wells Redevelopment Agency Consolidated Whitewater Redevelopment Project
Assessment Appeals
Roll Year Status
Number of
Appeals County Valuation
Applicant
Opinion of Value
Valuation After
Appeal Retention Rate*
2025-26 Resolved - - - - -
2025-26 Pending 24 $ 55,699,504 $ 51,801,000 TBD TBD 2024-25 Resolved 73 188,300,494 95,757,296 $ 188,300,494 100.0% 2024-25 Pending 12 126,708,773 67,267,603 TBD TBD
2023-24 Resolved 101 379,070,691 230,480,742 377,483,556 99.6% 2023-24 Pending 42 116,011,837 26,950,452 TBD TBD
2022-23 Resolved 76 287,614,683 184,749,090 271,041,765 94.2% 2022-23 Pending 75 204,566,091 47,545,160 TBD TBD
2021-22 Resolved 105 437,576,828 174,031,392 415,030,646 94.8% 2021-22 Pending 34 81,067,623 21,341,147 TBD TBD
2020-21 Resolved 131 455,129,178 273,515,821 432,160,890 95.0% 2020-21 Pending 6 168,074,453 123,569,171 TBD TBD
2019-20 Resolved 115 337,199,607 222,297,451 323,245,579 95.9% 2019-20 Pending - - - - -
2018-19 Resolved 96 268,238,022 176,430,134 262,406,377 97.8% 2018-19 Pending - - - - -
2017-18 Resolved 71 180,959,784 112,400,942 179,428,735 99.2% 2017-18 Pending - - - - -
2016-17 Resolved 75 188,363,118 118,589,533 181,180,567 96.2% 2016-17 Pending - - - - -
All Years Resolved 843 $2,722,452,405 $1,588,252,401 $2,630,278,609 96.6% All Years Pending 193 $ 752,128,281 $ 338,474,533 TBD TBD _____________________________
(1) Retention Rate is the proportion of value retained after resolution of an appeal. The rate is calculated by dividing the “Valuation After Appeal” into the “County Valuation.” For withdrawn and denied appeals, the “Valuation After Appeal” is the original County valuation.

Data obtained from the Riverside County Assessor’s Assessment Appeals Database as of October 25, 2025.

Source: Riverside County Office of the Assessor; Urban Analytics.

Under Section 51 of the Revenue and Taxation Code the annual increase in assessed valuation for real property is limited to the lesser of two percent or the October-to-October change in the California Consumer Price Index (CCPI) preceding the January 1 lien date. The State Board of Equalization reports the figure annually in late December. Since 1976-77 the CCPI has been above two percent in all but eleven years, with the lowest CCPIs being a negative 0.24% for fiscal year 2010-11 and a positive 0.75% for fiscal year 2011-12. The factor applied to the fiscal years 2017-18 through 2025-26 rolls was 2.00% with the exception of fiscal year 2021-22, which was 1.04%. This factor, referred to at times in this Analysis as the Proposition 13 inflation factor, is applied to land and improvements where the property has not been sold or, in the case of improvements, newly constructed. Properties whose valuations have been reduced under Proposition 8 continue to receive an inflationary adjustment under Proposition 13 on the reduced valuation.

A number of appeals have been filed by large property owners in the Project Area, shown on Table 4 below. Properties owned by BBC Esmerelda, Indian Wells Hotel and Village Shopping Center have appeals pending for the 2024-25 roll year; BBC Esmerelda, Village Shopping Center and IW Golf Club also have appeals pending for prior roll years.
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Table 4

Successor Agency to the Indian Wells Redevelopment Agency Consolidated Whitewater Redevelopment Project
Assessment Appeals by Large Owners
Year Owner
Resolved /
Pending
County
Valuation
Applicant
Opinion of Value
Valuation After
Appeal
2024-25 BBC ESMERALDA 1 Pending $ 80,508,910 $ 40,254,455 TBD 2024-25 INDIAN WELLS HOTEL OWNER 2 Pending 1,182,934 934,554 TBD 2024-25 VILLAGE SHOPPING CENTER 2 Pending 22,439,886 11,219,944 TBD 2024-25 INDIAN WELLS PROP 1 Resolved 16,533,619 872,000 $ 16,533,619 2024-25 IW GOLF CLUB 32 Resolved 13,623,457 6,788,116 13,623,457 2023-24 BBC ESMERALDA 1 Pending 78,930,305 58,500 TBD
2023-24 IW GOLF CLUB 34 Pending 8,447,314 6,636,173 TBD 2023-24 VILLAGE SHOPPING CENTER 2 Pending 21,999,890 10,999,946 TBD 2023-24 INDIAN WELLS HOTEL OWNER 32 Resolved 138,366,984 110,313,560 138,366,984 2022-23 BBC ESMERALDA 1 Pending 77,382,653 19,345,663 TBD 2022-23 IW GOLF CLUB 36 Pending 7,394,497 7,049,402 TBD 2022-23 VILLAGE SHOPPING CENTER 2 Resolved 21,568,522 10,784,262 20,500,000 2021-22 BBC ESMERALDA 1 Pending 75,865,347 18,966,336 TBD 2021-22 IW GOLF CLUB 29 Pending 4,053,343 2,066,400 TBD 2021-22 IW GOLF CLUB 4 Resolved 4,947,000 4,567,339 3,908,831 2021-22 VILLAGE SHOPPING CENTER 2 Resolved 17,720,000 10,572,807 17,720,000 2020-21 BBC ESMERALDA 1 Pending 75,087,442 49,000,000 TBD 2020-21 VILLAGE SHOPPING CENTER 1 Resolved 14,876,539 7,438,270 12,450,000 _______________________
Data obtained from the Riverside County Assessor's Assessment Appeals Database as of 10/25/2025 Source: Riverside County Office of the Assessor; Urban Analytics.

Redevelopment Property Tax Trust Fund
The County of Riverside Auditor Controller maintains the Redevelopment Property Tax Trust Fund (RPTTF), depositing into the fund property tax increment, revenue from supplemental assessments and other revenue each January and June before deducting County administration charges, pass-through payments, and Successor Agency enforceable obligations. The residual amount is distributed to taxing entities.
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As shown in Table 5, property tax deposits for the current fiscal year are $62.2 million. This amount includes $59.0 million in secured and unsecured property tax increment, $3.0 million in supplemental property tax revenue and $0.2 million in other revenu e. The amount of residual revenue is $15.9 million, approximately 1.7 times the amount required for non-administrative enforceable obligations.

Table 5

Successor Agency to the Indian Wells Redevelopment Agency Consolidated Whitewater Redevelopment Project
Historical Residual Redevelopment Property Tax Trust
Fund Revenues
Fiscal
Year ROPS Period
Property Tax
Deposits
(A)
County
Administrative
Distributions
(B)
Passthrough
Distribution
(C)
Available for
Enforceable
Obligations
(D=A-B-C)
Administrat
ive
Obligations
(E)
Debt Service
and Non
Administrati
ve
Obligations
(F)
Residual
RPTTF
(G=D-E-F)
Ratio of Residual
RPTTF to Debt
Service and Non-
Administrative
Obligations
(H=G/F)
2021-22 21-22B & 22-23A 47,049,429 448,019 27,130,048 19,471,361 300,000 8,055,688 11,115,673 1.3799 2022-23 22-23B & 23-24A 52,151,533 408,582 30,188,751 21,554,199 240,000 9,178,295 12,135,904 1.3222 2023-24 23-24B & 24-25A 56,199,059 341,463 32,613,915 23,243,680 240,000 8,914,376 14,089,304 1.5805 2024-25 24-25B & 25-26A 59,202,367 311,262 34,302,807 24,588,298 250,000 9,553,306 14,784,992 1.5476 2025-26 25-26B & 26-27A 62,164,879 493,565 36,056,509 25,614,805 250,000 9,460,548 15,904,257 1.6811 _______________________
Source: County of Riverside Auditor Controller
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ESTIMATED REVENUES AND BOND RETIREMENT
The Successor Agency has retained Urban Analytics, LLC, San Francisco, California (the “Fiscal Consultant”), to analyze the Project Area and to project future Tax Increment Revenues for the Project Area. The Fiscal Consultant’s report is included as APPENDIX A and should be read in its entirety.

Based on assessment roll data provided by the County Assessor, the total assessed valuation in the Project Area is $6.3 billion in Fiscal Year 2025-26 after deducting all exemptions. This represents an increase of 5.6% over Fiscal Year 2024-25 valuation and follows gains of 4.66%, 5.99%, 7.69% and 2.96% in the preceding fiscal years.

The secured roll accounted for 99.7% of the total valuation in the Project Area in Fiscal Year 2025- 26, with the unsecured roll comprising 0.3%. There was no utility roll valuation in the Project Area.

The Fiscal Year 2025-26 valuation increase of $330.0 million was attributable to a combination of factors. Secured valuation increases from new ownership on 1,519 parcels accounted for $184.5 million of the gain, the Proposition 13 inflation factor contributed $97.2 million while new development on 155 parcels contributed $47.6 million of overall growth. The unsecured roll grew by $3.3 million.

The Tax Rate calculated by the City is 1.000% for the secured roll and the unsecured roll for the Successor Agency. In accordance with Health and Safety Code Section 33670(e) the Successor Agency Tax Rate excludes taxes related to bonded indebtedness of the City approved by the voters of the City on or after January 1, 1989, and issued for the acquisition or improvement of real property. The Successor Agency does not receive, on an annual basis, all Tax Increment Revenues, unless required to pay debt service.

Actual levels of future Tax Increment Revenues will depend upon the rate of growth in tax increment resulting from change of ownership and inflation, further development, and changes in tax rates, and may differ from the projections presented herein.
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Table 6

Successor Agency to the Indian Wells Redevelopment Agency Historical Assessed Valuation and Tax Increment Verification Fiscal Year 2021-22 through 2025-26
Roll FY 2021-22 FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 Secured and Utility
- Land $1,579,796,712 $1,639,719,439 $1,699,160,580 $1,774,710,567 $1,893,110,280 - Improvements 3,389,685,424 3,698,433,210 3,954,125,982 4,141,346,626 4,337,946,108 - Personal Property - 15,209,535 19,105,604 22,381,178 37,701,635 - Exemptions (8,321,796) (7,936,252) (7,771,462) (7,613,792) (7,977,693) Secured Total $4,961,160,340 $5,345,425,932 $5,664,620,704 $5,930,824,579 $6,260,780,330 Unsecured
- Land - - - - -
- Improvements $ 4,890,885 $ 5,208,315 $ 5,704,512 $ 4,540,084 $ 5,190,972 - Personal Property 12,286,537 10,770,548 12,334,131 12,106,886 14,767,752 - Exemptions - - - - -
Unsecured Total $ 17,177,422 $ 15,978,863 $ 18,038,643 $ 16,646,970 $ 19,958,724

Totals: $4,978,337,762 $5,361,404,795 $5,682,659,347 $5,947,471,549 $6,280,739,054 Percent Change 2.96% 7.69% 5.99% 4.66% 5.60%

Plus: HOPTR AV * $ 7,036,400 $ 6,697,600 $ 6,444,200 $ 6,227,200 $ 6,003,200 Less: Base AV (390,429,692) (390,429,692) (390,429,692) (390,429,692) (390,429,692) Incremental AV: $4,594,944,470 $4,977,672,703 $5,298,673,855 $5,563,269,057 $5,896,312,562

Incremental Revenue $ 45,949,445 $ 49,776,727 $ 52,986,739 $ 55,632,691 $ 58,963,126 _________________________________
* The Homeowner's Property Tax Relief exemption, reimbursed by the state.

Source: Urban Analytics; County of Riverside, the Successor Agency.

Tax increment is projected over the duration of the plan in the Project Area, as shown in Table 7 below and in Table 10 of the Fiscal Consultant’s Report. Table 10 in the Fiscal Consultant’s Report attached hereto as APPENDIX A sets forth estimated Fiscal Year 2025-26 Tax Increment Revenues and Tax Revenues and forecasts growth in Tax Increment Revenues and Pledged Tax Revenues through Fiscal Year 2034-35, incorporating the Proposition 13 adjustment of 2% in real property. The projection does not take into consideration any changes in assessed valuation due to new construction, property sales, Proposition 8 reductions, assessment appeals or other factors. The actual growth rate may be less than the projected rate in the Project Area. Secured personal property and unsecured valuations are assumed to remain constant throughout.

Table 7

Successor Agency to the Indian Wells Redevelopment Agency Estimated Debt Service Coverage
Fiscal Years 2026-27 through 2034-35
Year
Available Tax
Increment
Revenues(1)
County
Admin. Fee
Pass-
Through
Payments
Pledged
Tax
Revenues(2)
Debt Service
on the Series
2020A Bonds
Debt
Service on
the 2026A
Bonds
Debt
Service on
All Bonds
Excess
Tax
Increment
Coverage
on All
Bonds
(%)
2026 $58,963,126 $58,963,126 $ 33,945,187 -- -- -- -- 2027 59,913,061 59,913,061 34,510,138 -- -- -- --
2028 61,177,876 61,177,876 35,262,355 $ 24,972,913 $ 598,313 2029 62,467,987 62,467,987 36,029,618 25,475,884 607,240 2030 63,783,901 63,783,901 36,812,225 25,988,916 600,738 2031 65,126,133 65,126,133 37,610,484 26,512,207 604,128 139

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2032 66,495,209 66,495,209 38,424,709 27,045,965 597,195 2033 67,891,667 67,891,667 39,255,218 27,590,398 605,155 2034 69,316,054 69,316,054 40,102,338 28,145,719 602,685 2035 70,768,929 70,768,929 40,968,382 28,710,164 -- Total $645,903,943 $645,903,943 $372,920,654. $214,442,166 $4,215,454. ___________________________________
(1) Indicated amounts reflect the projected Tax Increment Revenues for the indicated years. Assumes 2% annual increase in value. (2) Indicated amounts are the projected Pledged Tax Revenues for the indicated years.

Source: Urban Analytics and the Placement Agent.

BOND OWNERS’ RISKS
The following factors, along with all other information in this Official Statement, should be considered by potential investors in evaluating the Series 2026A Bonds and the credit quality of the Series 2026A Bonds. The following does not purport to be an exhaustive listing of risks and other considerations which may be relevant to investing in the Series 2026A Bonds. In addition, the order in which the following information is presented is not intended to reflect the relative importance of any such risks . For a discussion of certain matters that will or could cause reductions in the Pledged Tax Revenues available in future years, see “LIMITATIONS ON TAX REVENUES” of this Official Statement.

Limited Special Obligations
The Series 2026A Bonds are special obligations payable solely from certain payments from the Successor Agency and certain other funds. Neither the City, the County, the State of California (the “State”) nor any political subdivision thereof, except the Successor Agency, shall be obligated to pay the principal of the Series 2026A Bonds, or the interest thereon, except from the funds described above, and neither the faith and the credit nor the taxing power of the County, the State of California nor any political subdivision thereof is pledged to the payment of the principal of or the interest on the Series 2026A Bonds. The issuance of the Series 2026A Bonds shall not directly, indirectly or contingently obligate the City, the County, the State of California or any political subdivision thereof to levy or pledge any form of taxation whatever therefor or to make any appropriations for their payment. The Successor Agency has no taxing power.

Recognized Obligation Payment Schedule
The Dissolution Act provides that only those payments listed in a Recognized Obligation Payment Schedule may be made by the Successor Agency from the funds specified in the Recognized Obligation Payment Schedule. The Successor Agency prepares a single Recognized Obligation Payment Schedule each year, covering payments due in the January to June period (referred to as ROPS “B”) and in the July to December period (referred to as ROPS “A”). In order to have sufficient funds in a subsequent period, the Successor Agency may identify on its Recognized Obligation Payment Schedule an amount necessary to be retained in the RPTTF to be applied to obligations shown on a subsequent Recognized Obligati on Payment Schedule. The Controller deposits funds into the RPTTF twice each year, once on January 2 and again on June 1. Any amount remaining in the RPTTF after payment of administrative costs, passthrough payments and Recognized Obligation Payment Schedule obligations is immediately distributed to other taxing entities. Pledged Tax Revenues will not be withdrawn from the RPTTF by the County Auditor - Controller and remitted to the Successor Agency without a Recognized Obligation Payment Schedule approved by the State Department of Finance. See “SECURITY FOR THE BONDS – Recognized Obligation Payment Schedule.” If the Successor Agency were to fail to complete an approved Recognized Obligation Payment Schedule, the availability of Pledged Tax Revenues to the Successor Agency could be adversely affected for such period.
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Reduction in Taxable Value
Tax Increment Revenues allocated to the Successor Agency are determined by the amount of incremental taxable value in the Project Area allocable to the Project Area and the current rate or rates at which property in the Project Area is taxed. The reduction of taxable values of property caused by economic factors beyond the Successor Agency’s control, such as a relocation out of the Project Area by one or more major property owners, or the transfer, pursuant to California Revenue and Taxation Code Section 68, of a lower assessed valuation to property within the Project Area by a person displaced by eminent domain or similar proceedings, appeals to value under Proposition 8 or other assessment appeals, or the discovery of hazardous substances on a property within the Project Area (see “Hazardous Substances,” below) or the complete or partial destruction of such property caused by, among other eventualities, an earthquake (see “Earthquake” below), flood or other natural disaster, could cause a reduction in the Pledged Tax Revenues securing the Series 2026A Bonds. Property owners may also appeal to the Assessor for a reduction of their assessed valuations or the Assessor could order a blanket reduction in assessed valuations based on then current economic conditions. See APPENDIX A – “FISCAL CONSULTANT REPORT – Assessment Appeals.”
Bond Insurance Risk Factors
The scheduled payment of principal of and interest on the Series 2026A Bond when due will be guaranteed under the Policy. The following are risk factors relating to the Policy.

In the event of default of the scheduled payment of principal of or interest on the Series 2026A Bond when all or some becomes due, the Trustee on behalf of the Owners of the Series 2026A Bond shall have a claim under the Policy for such payments. However, in the event of any acceleration of the due date of such principal by reason of mandatory or optional redemption or acceleration resulting from default or otherwise, other than any advancement of maturity pursuant to a mandatory sinking fund payment, the payments are to be made in such amounts and at such times as such payments would have been due had there not been any such acceleration. The Policy does not insure against redemption premium, if any. The payment of principal and interest in connection with mandatory or optional prepayment of the Series 2026A Bond by the Successor Agency from the bond owner as a voidable preference under applicable bankruptcy law is covered by the insurance policy, however, such payments will be made by the Bond Insurer at such time and in such amounts as would have been due absence such prepayment by the Successor Agency unless the Bond Insurer chooses to pay such amounts at an earlier date.

A default of payment of principal and interest does not result in an acceleration of the Bonds or the obligations of the Bond Insurer unless consented to by all of the bond insurers of the Successor Agency’s bonds. The Bond Insurer may direct and must consent to any remedies and all of the bonds insuers of Successor Agency’s bonds consent may be required in connection with amendments to any applicable bond documents.

In the event the Bond Insurer is unable to make payment of principal and interest as such payments become due under the Policy, the Series 2026A Bond are payable solely from the moneys received pursuant to the applicable bond documents. In the event the Bond Insurer becomes obligated to make payments with respect to the Series 2026A Bond, no assurance is given that such event will not adversely affect the market price of the Series 2026A Bond or the marketability (liquidity) for the Series 2026A Bond.

The insured ratings on the Series 2026A Bond are dependent in part on the financial strength of the Bond Insurer and its claim paying ability. The Bond Insurer’s financial strength and claims paying ability are predicated upon a number of factors which could change over time. No assurance is given that the ratings of the Bond Insurer and of the ratings on the Series 2026A Bond insured by the Bond insurer will 141

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not be subject to downgrade and such event could adversely affect the market price of the Series 2026A Bond or the marketability (liquidity) for the Series 2026A Bond. See description of “OTHER INFORMATION – Rating” herein.

The obligations of the Bond Insurer are unsecured obligations and in an event of default by the Bond Insurer, the remedies available may be limited by applicable bankruptcy law or state law related to insolvency of insurance companies.

None of the Neither the Successor Agency, the Municipal Advisor nor the Underwriter has made independent investigation into the claims paying ability of the Bond Insurer and no assurance or representation regarding the financial strength or projected financial strength of the Bond Insurer is given.

Thus, when making an investment decision, potential investors should carefully consider the ability of the Successor Agency to pay principal and interest on the Series 2026A Bond and the claims paying ability of the Bond Insurer, particularly over the life of the investment. See “BOND INSURANCE” herein for further information provided by the Bond Insurer and the Policy, which includes further instructions for obtaining current financial information concerning the Bond Insurer.

Risks Related to Real Estate Generally
The Owners and Beneficial Owners of the Series 2026A Bonds will be subject to the risks generally incident to an investment secured by real estate, including, without limitation, (a) adverse changes in local market conditions, such as changes in the market value of real property within and in the vicinity of the respective project areas, the supply of or demand for competitive properties in such project areas, and the market value of competitive properties in the event of sale or foreclosure, (b) changes in real estate tax rates and other operating expenses, governmental rules (including, without limitation, zoning laws and laws relating to endangered species and hazardous materials) and fiscal policies, and (c) natural disasters (including, without limitation, earthquakes, fires, droughts and floods), which may result in uninsured losses.

Reduction in Inflationary Rate and Changes in Legislation As described in greater detail below (see “LIMITATIONS ON TAX REVENUES”), Article XIIIA of the California Constitution provides that the full cash value base of real property used in determining taxable value may be adjusted from year to year to reflect the inflationary rate, not to exceed a 2% increase for any given year, or may be reduced to reflect a reduction in the consumer price index or comparable local data. Such measure is computed on a calendar year basis. Article XIIIA limits inflationary assessed value adjustments to the lesser of the actual inflationary rate or 2%, and there have been several years in which taxable values were adjusted by an actual inflationary rate that was less than 2%. The adjusted inflationary rate for Fiscal Year 2025-26 is 2.00%. The Successor Agency is unable to predict whether future annual inflationary adjustments to the taxable value base of real property within the Project Area will be in the amount of the full 2% permitted under Article XIIIA or will be in an amount less than 2%. The Fiscal Consultant’s report assumes 2% growth (see APPENDIX A - “FISCAL CONSULTANT’S REPORT” herein).

Change in Law
In addition to the other limitations on Pledged Tax Revenues, the California electorate or Legislature could adopt a constitutional or legislative property tax decrease with the effect of reducing Pledged Tax Revenues payable to the Successor Agency. There is no assurance that the California electorate or Legislature will not at some future time approve additional limitations that could reduce the Pledged Tax Revenues and adversely affect the security of the Series 2026A Bonds. 142

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By way of example of two recent failed tax initiatives, an initiative measure (the “Split Roll Initiative”) to amend Article XIIIA qualified for the State’s November 2020 ballot but was defeated at the polls. If adopted, the Split Roll Initiative would have based property taxes for commercial and industrial properties on market values beginning in tax year 2020-21. Nearly a year later, another initiative proposal, the “Housing Affordability and Tax Cut Act of 2022,” would have taxed tax many types of California properties, including commercial properties, residential properties, industrial properties, mixed-use properties and vacant land with a full cash value of more than $4 million. Effectively, it would have dismantled Proposition 13’s property tax safeguards. Proponents had until the end of April 2022 to gather the required number of signatures, but failed to do so. The Successor Agency is unable to predict how any similar initiative, if adopted, would affect the relationship of the assessed value between land use types (i.e., residential versus commercial) in the Project Areas or what other impacts such an Initiative might have on the local economy or the Tax Revenues.

Concentration of Property Ownership
Concentration of ownership presents a risk in that, if one or more of the largest property owners in the Project Area were to default on their taxes (and if the County were to change its current practice of distributing Tax Revenues to the Successor Agency regardless of delinquencies) or were to successfully appeal the tax assessments on property within the Project Area, a substantial decline in Tax Revenues could occur. The top ten taxpayers the Project Area represents 6.8% of the total incremental assessed value of the Project Area.

Availability of Property and Casualty Insurance
On May 26, 2023, State Farm General Insurance Company (“State Farm”) announced that it would cease accepting certain new applications, including all business and personal lines property and casualty insurance, effective May 27, 2023. State Farm indicated in its release that the decision was due to historic increases in construction costs outpacing inflation, rapidly growing catastrophe exposure, and a challenging reinsurance market. State Farm indicated it would work constructively with the California Department of Insurance and State policy makers to help build market capacity in California. It was taking this action, however, to improve the company’s financial strength and would continue to evaluate its approach based on changing market conditions. State Farm independent contractor agents licensed and authorized in California would continue to serve existing customers for these products and new customers for products not impacted by the decision.

According to the California Department of Insurance, however, insurance companies declined to renew 2.8 million homeowner policies in the State. Insurers have been exiting the State, refusing to write new policies in areas they consider to be at high risk, or in some cases refusing to offer coverage for high- value homes, which insurance companies generally classify as homes with a replacement cost of $750,000 or higher. Such cancellations generally have resulted in increased cost to homeowner’s as they obtain replacement coverage. The California FAIR Plan Association provides insurance to homeowners who cannot otherwise find insurance coverage, but policies through the FAIR Plan do not provide as much coverage as traditional homeowner’s insurance and tend to bear rates that are higher than traditional homeowner’s insurance. Though several legislative and policy revisions are circulating, neither the Authority nor Successor Agency can predict whether homeowner’s insurance will continue to be available to home purchasers at affordable rates. An increase in homeowner’s insurance rates or a reduction in the availability of new homeowner’s insurance policies will increase the overall cost to purchase homes. Any adverse impact of the foregoing on property values in the Project Area and the real estate market in general cannot be predicted.
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Bankruptcy of Landowners
The bankruptcy of a major assessee in the Project Area could delay and/or impair the collection of property taxes by the County with respect to properties in the bankruptcy estate . Although the Successor Agency is not aware of any major property owners in the Project Area that are in bankruptcy or threatening to declare bankruptcy, the Successor Agency cannot predict the effects on the collections of Pledged Tax Revenues if such an event were to occur.

Risks Related to Availability of Mortgage Loans
In the past, events in the United States of America and world-wide capital markets have adversely affected the availability of mortgage loans and business loans, and since the beginning of 2022, mortgage interest rates have risen. Potential buyers of homes and commercial properties within the Project Area may be adversely affected by increases in mortgage interest rates, or any such unavailability of mortgage loans.

Such events could hinder the ability of the current owners to resell their homes or commercial properties, or the sale of properties in the future.

Earthquake, Natural Disasters and Climate Change
There are no known major faults within City limits; however, there are several faults in the Indian Wells area that potentially could result in damage to buildings, roads, bridges, and property within the City in the event of an earthquake. Past experiences, including the July 1992, Landers 7.5 and Big Bear 6.6 Richter Scale earthquakes, have not resulted in damage to infrastructure or property in the City. One fault that could affect the City is the San Andreas Fault, which is located approximately 8 to 10 miles northeast of the City. Other faults in the vicinity of the City include the San Jacinto Fault located 25 to 30 miles southwest of the City, and the Mission Creek Fault located 10 to 12 miles northeast of the City.

If an earthquake were to substantially damage or destroy taxable property within the City, the assessed valuation of such property could be reduced. Such a reduction of assessed valuations could result in a reduction of the funds in the General Fund and available to make Base Rental Payments that secure the Bonds.

Although heavy rainfall is rare in the City, even moderate precipitation can cause significant flooding as the desert soil is unable to hold water. Droughts and wildfires are common hazards in the City, particularly during the summer season. Dust devils can cause havoc with wind speeds of 40 to 60 miles per hour.

California continues to be negatively impacted by unsustainable emissions of greenhouse gas emissions which negatively impact residents, natural resources and wildlife. The State is experiencing rising average temperatures, decreasing snowpack, warmer storms, higher sea levels and more extreme natural disasters such as floods, landslides and wildfire. The desert eco-system represents one-third of California’s biodiversity, and rising average temperatures threaten the sustainability of plant and wildlife in the region, together with air quality as a result of agri-business and development with the Coachella Valley.

Cybersecurity
The City, like other public and private entities, relies on a large and complex technology environment to conduct its operations, and consequently faces the threat of cybersecurity incidents. Such incidents can result from unintentional events, or from deliberate attacks by unauthorized entities or individuals attempting to gain access to the City’s information technology systems to misappropriate assets 144

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or information or to cause operational disruption and damage. The City and its departments face cyber threats from time-to-time, including but not limited to hacking, viruses, malware, phishing, distributed denial-of-service, and other attacks on computers, networks, and systems. The City has not experienced a major cyber breach that resulted in a financial loss. The City currently purchases cyber insurance coverage.

The City maintains a Cyber Risk Management program that identifies and prioritizes the digital risks and had developed a complex layered cyber security posture to protect the City’s digital assets and networks. In addition, the City is instituting measures to increase cloud security with the use of safety measures that will aid in the governance of the City’s cloud solutions and protect City data stored with cloud-based providers.

In an effort to cultivate a cybersecurity culture, the City practices annual mandatory security awareness training and monthly phishing simulations for end-users to assess the City’s human risk exposure. The City disseminates notices of common threat vectors and safeguards that staff should follow.

The Successor Agency is informed that the County maintains an Information Security Office (ISO), whose mission is to protect and maintain the confidentiality, integrity, and availability of information and information technology assets within Riverside County. The goal of the ISO is to implement effective security controls and security operations to prevent cyber intrusions into the County's networks including:
promoting the awareness of information security to all County employees; preventing and/or minimi zing data leakage and disruptions to application and network services; performing incident management and response to cyber security threats; managing the risk of security exposure, compromise, and intellectual property; monitoring systems for anomalies such as asset misuse, loss, or unauthorized disclosure; and ensuring Countywide compliance with State and federal statutes and regulations. Current operations include 24/7 security monitoring, breach detection, incident management, cyber intelligence situational awareness, and security advisory notifications.

Levy and Collection of Taxes
The Successor Agency has no independent power to levy and collect property taxes. Any reduction in the tax rate or the implementation of any constitutional or legislative property tax decrease could reduce the Pledged Tax Revenues and, accordingly, could have an adverse impact on the ability of the Successor Agency to make debt service payments on the Series 2026A Bonds. Likewise, delinquencies in the payment of property taxes could have an adverse effect on the Successor Agency’s ability to make timely debt service payments on the Series 2026A Bonds. The County currently allocates 100% of the Tax Revenues collected on the secured property tax roll to the Successor Agency, regardless of the actual amount of payments made by taxpayers (see “Property Taxes; Teeter Plan,” below). The County currently allocates Tax Revenues collected with respect to unsecured property to the Successor Agency based upon the tax increment actually collected.

Estimated Revenues
In estimating that Pledged Tax Revenues will be sufficient to pay debt service on the Series 2026A Bonds, the Successor Agency has made certain assumptions with regard to present and future assessed valuation in the Project Area, future tax rates and percentage of taxes collected. The Successor Agency believes these assumptions to be reasonable, but there is no assurance these assumptions will be realized and to the extent that the assessed valuation and the tax rates are less than expected, the Pledged Tax Revenues available to pay debt service on the Series 2026A Bonds will be less than those projected and such reduced Pledged Tax Revenues may be insufficient to provide for the payment of principal of, premium (if any) and interest on the Series 2014 Bonds, the Series 2015A Bonds, the Series 2016A Bonds, the Series 2026A Bonds and any Parity Debt.
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Hazardous Substances
An additional environmental condition that may result in the reduction in the assessed value of property would be the discovery of a hazardous substance that would limit the beneficial use of taxable property within the Project Area. In general, the owners and operators of a property may be required by law to remedy conditions of the property relating to releases or threatened releases of hazardous substances.

The owner or operator may be required to remedy a hazardous substance condition of property whether or not the owner or operator has anything to do with creating or handling the hazardous substance. The effect, therefore, should any of the property within the Project Area be affected by a hazardous substance, could be to reduce the marketability and value of the property by the costs of remedying the condition.

Future Legislation and Initiatives
Article XIIIA, Article XIIIB and Proposition 218 were each adopted as measures that qualified for the ballot pursuant to California’s initiative process. From time to time other initiative measures could be adopted, further affecting revenues of the Successor Agency or the Successor Agency ’s ability to expend revenues. In addition, there are currently a number of proposed legislative changes to the Dissolution Act which, if adopted, would also affect revenues of the Successor Agency or the Successor Agency ability to expend revenues. The nature and impact of these measures cannot currently be anticipated.

Assessment Appeals
Property taxable values may be reduced as a result of Proposition 8, which reduces the assessed value of property, or of a successful appeal of the taxable value determined by the Assessor . An appeal may result in a reduction to the Assessor’s original taxable value and a tax refund to the applicant property owner. A reduction in taxable values within the Project Area and the refund of taxes which may arise out of successful appeals by property owners will affect the amount of Pledged Tax Revenues under the Indenture. The Successor Agency has in the past experienced reductions in its Tax Increment Revenues as a result of assessment appeals. The actual impact to tax increment is dependent upon the actual revised value of assessments resulting from values determined by the County Assessment Appeals Board or through litigation and the ultimate timing of successful appeals. For a discussion of historical assessment appeals in the Project Area and summary information regarding pending and resolved assessment appeals for the Successor Agency, see “THE CONSOLIDATED WHITEWATER PROJECT AREA – Assessment Appeals” and APPENDIX A – FISCAL CONSULTANT REPORT – Assessment Appeals.” Direct and Overlapping Indebtedness
The ability of land owners within the respective project area to pay property tax installments as they come due could be affected by the existence of other taxes and assessments, imposed upon the land.

In addition, other public agencies whose boundaries overlap those of the respective project area could, without consent of the Successor Agency, and in certain cases without the consent of the owners of the land within the Project Area, impose additional taxes or assessment liens on the property to finance public improvements.

Economic Risks
The Successor Agency’s ability to make payments on the Series 2026A Bonds will be partially dependent upon the economic strength of the Project Area. If there is a decline in the general economy of the Project Area, the owners of property may be less able or less willing to make timely payments of property taxes causing a delay or stoppage of the collection of Tax Increment Revenues. In the event of 146

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decreased values, Pledged Tax Revenues may decline even if property owners make timely payment of taxes.

Investment Risk
Funds held under the Indenture are required to be invested in Permitted Investments as provided under the Indenture. See APPENDIX D attached hereto for a summary of the definition of Permitted Investments. The funds and accounts of the Successor Agency, into which a portion of the proceeds of the Series 2026A Bonds will be deposited and into which Pledged Tax Revenues are deposited, may be invested by the Successor Agency in any investment authorized by law. All investments, including the Permitted Investments and those authorized by law from time to time for investments by municipalities, contain a certain degree of risk. Such risks include, but are not limited to, a lower rate of return than expected and loss or delayed receipt of principal.

Further, the Successor Agency cannot predict the effects on the receipt of Pledged Tax Revenues if the County were to suffer significant losses in its portfolio of investments or if the County or the City were to become insolvent or declare bankruptcy. See “BOND OWNERS’ RISKS – Bankruptcy.” Secondary Market
There can be no guarantee that there will be a secondary market for the Series 2026A Bonds, or, if a secondary market exists, that the Series 2026A Bonds can be sold for any particular price. Occasionally, because of general market conditions or because of adverse history or economic prospects connected with a particular issue, secondary marketing practices in connection with a particular issue are suspended or terminated. Additionally, prices of issues for which a market is being made will depend upon the then prevailing circumstances.

Bankruptcy
The rights of the Owners of the Series 2026A Bonds may be subject to bankruptcy, insolvency, reorganization, moratorium and other similar laws affecting creditors’ rights under currently existing law or laws enacted in the future and may also be subject to the exercise of judicial discretion under certain circumstances. The opinion of Bond Counsel as to the enforceability of the obligation to make payments on the Series 2026A Bonds will be qualified as to bankruptcy and such other legal events. See APPENDIX E – “FORM OF OPINION OF BOND COUNSEL.”
Federal Tax-Exempt Status of the Bonds
The Internal Revenue Code of 1986, as amended (the “Code”) imposes a number of requirements that must be satisfied for interest on state and local obligations, such as the Series 2026A Bonds, to be excludable from gross income for federal income tax purposes. These requirements include limitations on the use of Series 2026A Bond proceeds, limitations on the investment earnings on Series 2026A Bonds proceeds prior to expenditure, a requirement that certain investment earnings on the Series 2026A Bond proceeds be paid periodically to the United States and a requirement that the issuers file an information report with the Internal Revenue Service (the “IRS”). The Successor Agency has covenanted in certain of the documents referred to herein that they will comply with such requirements. Failure to comply with the requirements stated in the Code and related regulations, rulings and policies may result in the treatment of interest on the Series 2026A Bonds as taxable, retroactively to the date of issuance of such Series 2026A Bonds.
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IRS Audit of Tax-Exempt Issues
The IRS has a program for the auditing of tax-exempt issues, including both random and targeted audits. It is possible that the Series 2026A Bonds will be selected for audit by the IRS. It is also possible that the market value of the Series 2026A Bonds might be affected as a result of such an audit of the Series 2026A Bonds (or by an audit of similar obligations).

LIMITATIONS ON TAX REVENUES
Property Tax Limitations - Article XIIIA
Article XIIIA of the California Constitution. Section 1(a) of Article XIIIA of the California Constitution limits the maximum ad valorem tax on real property to one percent of full cash value, to be collected by the counties and apportioned according to law. Section 2 of Article XIIIA defines “full cash value” to mean “the county assessor’s valuation of real property as shown on the 1975-76 tax bill under full cash value or, thereafter, the appraised value of real property when purchased, newly constructed, or a change in ownership has occurred after the 1975 assessment.” The full cash value may be adjusted annually to reflect inflation at a rate not to exceed 2% per year, or reduction in the consumer price index or comparable data for the area under taxing jurisdiction or reduced in the event of declining property value caused by substantial damage, destruction or other factors. Legislation enacted by the California Legislature to implement Article XIIIA provides that notwithstanding any other law, local agencies may not levy any ad valorem property tax except to pay debt service on indebtedness approved by the voters as described above.

In the general elections of 1986, 1988, and 1990, the voters of the State approved various measures which further amended Article XIIIA. One such amendment generally provides that the purchase or transfer of (i) real property between spouses or (ii) the principal residence and the first $1,000,000 of the full cash value of other real property between parents and children, do not constitute a “purchase” or “change of ownership” triggering reassessment under Article XIIIA. This amendment will reduce the tax increment of the Successor Agency. Other amendments permitted the Legislature to allow persons over 55 who sell their residence and on or after November 5, 1986, to buy or build another of equal or lesser value within two years in the same county, to transfer the old residence’s assessed value to the new residence, and permitted the Legislature to authorize each county under certain circumstances to adopt an ordinance making such transfers or assessed value applicable to situations in which the replacement dwelling purchased or constructed after November 8, 1988, is located within that county and the original property is located in another county within California.

In the June 1990 election, the voters of the State approved additional amendments to Article XIIIA permitting the State Legislature to extend the replacement dwelling provisions applicable to persons over 55 to severely disabled homeowners for replacement dwellings purchased or newly constructed on or after June 5, 1990, and to exclude from the definition of “new construction” triggering reassessment improvements to certain dwellings for the purpose of making the dwelling more accessible to severely disabled persons. In the November 1990 election, the voters approved the amendment of Article XIIIA to permit the State Legislature to exclude from the definition of “new construction” seismic retrofitting improvements or improvements utilizing earthquake hazard mitigation technologies constructed or installed in existing buildings after November 6, 1990.

Both the California Supreme Court and the United States Supreme Court have upheld the constitutionality of Article XIIIA.
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Article XIIIB of the California Constitution. On November 6, 1979, California voters approved Proposition 4, the Gann Initiative, which added Article XIIIB to the California Constitution. The principal effect of Article XIIIB is to limit the annual appropriations of the State and any city, county, school district, authority or other political subdivision of the State to the level of appropriations for the prior fiscal year, as adjusted for changes in the cost of living, population and services rendered by the government entity.

Appropriations subject to Article XIIIB include generally the proceeds of taxes levied by the State or other entity of local government, exclusive of certain State subventions, refunds of taxes, benefit payments from retirement, unemployment insurance and disability insurance funds.

Effective September 30, 1980, the California Legislature added Section 33678 to the Law which provides that the allocation of taxes to a redevelopment agency for the purpose of paying principal of, or interest on, loans, advances, or indebtedness will not be deemed the receipt by the Successor Agency of proceeds of taxes levied by or on behalf of the Successor Agency within the meaning of Article XIIIB or any statutory provision enacted in implementation thereof, including Section 33678 of the Law. The constitutionality of Section 33678 has been upheld by the Second and Fourth District Courts of Appeal in two decisions: Bell Community Redevelopment Agency v. Woosely and Brown v. Community Redevelopment Agency of the City of Santa Ana. On the basis of these decisions, the Successor Agency has not adopted an appropriations limit.

Proposition 218. On November 5, 1996, the voters of the State approved Proposition 218, the “Right to Vote on Taxes Act.” Proposition 218 added Articles XIIIC and XIIID to the State Constitution, which contain a number of provisions affecting the ability of the public agencies to levy and collect both existing and future taxes, assessments, fees and charges.

Article XIIIC removes limitations on the initiative power in matters of local taxes, special taxes, assessments, fees and charges. While the matter is not free from doubt, it is likely that a court would hold that the initiative power cannot be used to reduce or repeal the levy of property taxes or to materially affect the collection and pledge of Pledged Tax Revenues.

The interpretation and application of the initiative provisions of Proposition 218 will ultimately be determined by the courts with respect to a number of the matters discussed above, and while it is not possible at this time to predict with certainly the outcome of such determination, the Successor Agency does not believe that Proposition 218 will materially affect its ability to pay principal of and interest on the Series 2026A Bonds.

Implementing Legislation
Legislation enacted by the California Legislature to implement Article XIIIA provides that all taxable property is shown at full assessed value as described above. In conformity with this procedure, all taxable property value is shown at 100% of assessed value and all general tax rates reflect the $1.00 per $100 of taxable value. Tax rates for bond debt service and pension liability are also applied to 100 % of assessed value.

Future assessed valuation growth allowed under Article XIIIA (new construction, change of ownership, 2% annual value growth) will be allocated on the basis of “situs” among the jurisdictions that serve the tax rate area within which the growth occurs. Local agencies and school districts will share the growth of “base” revenue from the tax rate area. Each year’s growth allocation becomes part of each agency’s allocation in the following year. The Successor Agency is not able to predict the nature or magnitude of future revenue sources which may be provided by the State to replace lost property tax 149

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revenues. Article XIIIA effectively prohibits the levying of any other ad valorem property tax above the 1% limit except for taxes to support indebtedness approved by the voters as described above.

Redevelopment Plan Limits
The redevelopment plans for each project area comprising the Project Area originally included separate time and financial limitations applicable to each project area comprising the Project Area. SB 107, which became effective September 22, 2015, amended the Dissolution Act to provide that the time limits for receiving property tax revenues and the limitation on the amount of property tax revenues that may be received by the Former Agency and the Successor Agency set forth in the Redevelopment Pl an are not effective for purposes of paying the Successor Agency’s enforceable obligations such as the Series 2026A Bonds and Parity Debt. Accordingly, the projections set forth in this Official Statement and in the Fiscal Consultant’s Report attached to this Official Statement as Appendix A were prepared without regard to the time and financial limitations set forth in the Redevelopment Plan. Previous descriptions of the source of payment and security for the Series 2014 Bonds and the Series 2015A Bonds included summary descriptions of time and financial limitations applicable to each project area comprising the Project Area, which limits are no longer applicable to the repayment of principal of and interest on such Bonds.

The redevelopment plan includes a limit on the amount of bonded indebtedness that can be outstanding at one time. This limit is $120,000,000 in 1987 dollars and is to be adjusted annually using the local Consumer Price Index. Using the CPI for the Los Angeles-Anaheim area for the years 1987 through 2018 the current limit on bonded indebtedness is estimated by the Fiscal Consultant to be $273,482,776.

The Successor Agency reported total outstanding bonded indebtedness of $137 million on its most recent ROPS.

Unitary Property
Assembly Bill 2890 (Statutes of 1986, Chapter 1457), which added Section 98.9 to the California Revenue and Taxation Code, provided that, commencing with the Fiscal Year 1988-89, assessed value derived from State-assessed unitary property (consisting mostly of operational property owned by utility companies) was to be allocated county-wide as follows: (i) each tax rate area will receive the same amount from each assessed utility received in the previous fiscal year unless the applicable county-wide values are insufficient to do so, in which case values will be allocated to each tax rate area on a pro rata basis; and (ii) if values to be allocated are greater than in the previous fiscal year, each tax rate area will receive a pro rata share of the increase from each assessed utility according to a specified formula. Additionally, the lien date on State-assessed property was changed from March 1 to January 1.

Assembly Bill 454 (Statutes of 1987, Chapter 921) further modified the distribution of tax revenues derived from property assessed by the State Board of Equalization. Chapter 921 provided for the consolidation of all State-assessed property, except for regulated railroad property, into a single tax rate area in each county. Chapter 921 further provided for a new method of establishing tax rates on State- assessed property and distribution of property tax revenues derived from State-assessed property to taxing jurisdictions within each county as follows: for revenues generated from the 1% tax rate, each jurisdiction, including redevelopment project areas, will receive a percentage up to 102% of its prior year State-assessed unitary revenue; and if county-wide revenues generated for unitary property are greater than 102% of the previous year’s unitary revenues, each jurisdiction will receive a percentage share of the excess unitary revenue generated from the application of the debt service tax rate to county-wide unitary taxable value, further, each jurisdiction will receive a percentage share of revenue based on the jurisdiction’s annual debt service requirements and the percentage of property taxes received by each jurisdiction from unitary property taxes in accordance with a new formula. Railroads will continue to be assessed and revenues allocated to all tax rate areas where railroad property is sited. 150

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The intent of Chapters 1457 and 921 was to provide redevelopment agencies with their appropriate share of revenue generated from the property assessed by the State Board of Equalization.

As noted in the Fiscal Consultant’s Report, the secured roll accounted for 99% of the total valuation in the Project Area in Fiscal Year 2025-26, with the unsecured roll comprising less than 1%. There was no non-unitary utility roll valuation (the unitary utility roll is based on countywide assessments and is not reported by project area). The Successor Agency receives approximately $_______ in unitary revenue annually from the one percent levy, and has projected that amount to be allocated for Fiscal Year 2026-27 within the Project Area. The Successor Agency cannot predict the effect of any future litigation or settlement agreements on the amount of unitary tax revenues received or to be received nor the impact on unitary property tax revenues of any transfer of electrical transmission lines to tax-exempt agencies.

Litigation Regarding Unitary Property
The County is currently involved in a series of lawsuits involving state-calculated assessments of unitary property (“unitary taxes”). These lawsuits have been brought by telecommunication companies, an electric utility company and other utility companies. While each of these lawsuits is separate, they all seek refunds of property taxes that have been paid under California’s “pay first, litigate later” rule. Practically, this means that the County may be required to issue significant refunds to these providers. The unitary tax is collected by the County on behalf of special districts, school districts and water districts who utilize unitary tax revenue to pay for debt service. The County acts as the collection agent for all local property taxes, including the unitary taxes as set forth above. If these companies prevail, the County would be responsible for issuing refunds and then collecting or offsetting future amounts of revenue from these special districts. As such, the County has issued notices to said districts pursuant to Revenue and Taxation Code Sections 5146 and 5148 indicating that the County may be required to collect funds from the special districts to pay any refunds ordered by the Court or schedule an offset of future tax revenues.

First, AT&T, T-Mobile, Sprint and several other companies (the “Telecommunication and Utility Companies”) have each filed lawsuits against the County seeking a refund of unitary taxes paid for tax years ranging from 2014-2015 to the present. The Telecommunication and Utility Companies also seek a reduction in the unitary tax rate to reflect a lower rate that they believe is assessed against other business and commercial properties. The Telecommunication and Utility Companies further argue that the unitary tax rate cannot be higher than 1% as capped by Proposition 13.

The Telecommunication and Utility Companies are seeking a refund amount, in total, of approximately $33,000,000 to $43,000,000 in taxes. The earliest cases were initially either tolled or stayed by agreement of the parties due to a parallel lawsuit involving the County of Santa Clara, which lawsuit ended with an appellate decision in favor of the government. A more recent Telecommunication and Utility Companies case against the County, Pacific Bell Telephone Company v. County of Riverside, is under appeal after a decision upon demurrer at the trial court that was favorable to the County. The other unitary tax cases brought by the Telecommunication and Utility Companies are currently tolled or stayed pending the outcome of the Pacific Bell case. The County does not anticipate resolution of the Pacific Bell case until at least late 2025.

Second, the County is also facing another unitary tax lawsuit entitled Southern California Edison v. Board of Equalization. This lawsuit was filed by electric utility provider Edison against the State’s Board of Equalization and nineteen (19) counties, including the County, seeking a total refund of approximately $5.5 billion. The County received approximately $53,329,392 in Fiscal Year 2020-2021 at the valuation approved by the State, and the County’s share is estimated to be $1,281,000. Edison would like that amount to be reduced by approximately 10.32% resulting in an adjusted tax of approximately $42,872,680. As such, Edison seeks a refund from the County in the amount of approximately $10,456,712. Edison has filed 151

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identical lawsuits for three additional years as well. In total, the potential total refund to Edison for all four years would be approximately $45,000,000. Of note, the County acts as the collection agent for the unitary taxes, and, if Edison were to prevail, a majority of the refunded amount would be attributable to cities, special districts and school districts that receive the unitary tax revenue. This matter is being heard in Orange County Superior Court. The County does not anticipate a ruling in this matter until at least the middle of 2026.

Third, the County entered into a tolling agreement with Edison on January 29, 2024, to extend the time for Edison to file a separate lawsuit alleging that the unitary tax rate cannot be higher than 1% (the same argument raised by the Telecommunication and Utility Companies, described above). If Edison were to prevail, it will be entitled to a tax refund of approximately $18,000,000 for the 2018-2019 tax year.

Property Taxes; Teeter Plan
The County utilized a mechanism for the distribution of tax increment revenue to the former redevelopment agencies that has a similar effect on the Successor Agency ’s tax increment revenues as the device known as the Teeter Plan (Section 4701 et seq. of the California Revenue and Taxation Code). The Teeter Plan allows counties to distribute secured property tax revenue to participating jurisdictions without regard to delinquencies by maintaining a reserve fund to cover delinquencies and allocating revenue based on the original secured roll, retaining all delinquent tax payments and penalties. Under the mechanism used by the County to distribute tax increment revenue to the former redevelopment agencies, the County pays one-half of the taxes from the net taxable assessed valuation appearing on the equalized roll to each agency’s RPTTF on January 2 and the other one-half on June 1; delinquencies are not deducted from the RPTTF revenue, and delinquent tax payments and defaulted tax redemptions, penalties and interest are not added to RPTTF revenue. Consequently, the Successor Agency is not affected by delinquent tax payments.

For the past five years, the delinquency rate for all secured properties in the Project Area has been negligible As of October 2025, the delinquency rate on Fiscal Year 2024-25 secured property taxes in the Project Area was 2.9%.

Tax Collection Fees
Legislation enacted by the State Legislature authorizes county auditors to determine property tax administration costs proportionately attributable to local jurisdictions and to submit invoices to the jurisdictions for such costs. Subsequent legislation specifically includes redevelopment agencies among the entities which are subject to a property tax administration charge. The County administration fee amounts to approximately 2% of the tax increment revenues from a project area. The calculations of Pledged Tax Revenues take such administrative costs into account.

Proposition 87
On November 8, 1988, the voters of the State approved Proposition 87, which amended Article XVI, Section 16 of the State Constitution to provide that property tax revenue attributable to the imposition of taxes on property within a redevelopment project area for the purpose of paying debt service on certain bonded indebtedness issued by a taxing entity (other than the Former Agency or the Successor Agency) and approved by the voters of the taxing entity after January 1, 1989, will be allocated solely to the payment of such indebtedness and not to redevelopment agencies. Effective September 22, 2015, the Dissolution Act provides that such debt service override revenues approved by the voters for the purpose of supporting pension programs, capital projects, or programs related to the State Water Project that are not pledged to or not needed for debt service on successor agency obligations will be allocated and paid to the entity that levies the override.
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Future Initiatives
Article XIIIA, Article XIIIB and Proposition 218 were each adopted as measures that qualified for the ballot under California’s initiative process. From time to time other initiative measures could be adopted, further affecting property tax revenues or the Successor Agency’s ability to expend such revenues.

In addition, legislative changes to the Dissolution Act which, if adopted, would also affect revenues of the Successor Agency or the Successor Agency’s ability to expend revenues. The nature and impact of these measures cannot currently be anticipated.

OTHER INFORMATION
Continuing Disclosure
Pursuant to the Continuing Disclosure Certificate, the Successor Agency has covenanted for the benefit of the Owners of the Series 2026A Bonds to comply with Securities and Exchange Commission Rule 15c2-12(b)(5) (the “Rule”), in which it covenants to provide information regarding the Successor Agency on an annual basis as well as information regarding material adverse events, if any such events should occur to the owners of the Bonds and to the Municipal Securities Rulemaking Board (“MSRB”) during the term of the Bonds. See APPENDIX G - “FORM OF CONTINUING DISCLOSURE CERTIFICATE.” These covenants have been made in order to assist the Underwriters in complying with the Rule.

Litigation
At the time of delivery of and payment for the Series 2026A Bonds, the Successor Agency will certify that, except as disclosed herein, to their respective best knowledge there is no litigation, action, suit, proceeding or investigation, at law or in equity, before or by any court, governmental agency or body, pending against or threatened against the Successor Agency in any way affecting the existence of the Successor Agency or the titles of its officers to their respective offices or seeking to restrain or enjoin the issuance, sale or delivery of the Series 2026A Bonds, the application of the proceeds thereof in accordance with the Indenture, or the collection or application of Tax Increment Revenues or the Pledged Tax Revenues to be pledged to pay the principal of and interest on the Series 2026A Bonds, or the pledge thereof, or in any way contesting or affecting the validity or enforceability of the Series 2026A Bonds, the Indenture, or any action of the Successor Agency contemplated by any of said documents, or in any way contesting the completeness or accuracy of this Official Statement or the powers of the Successor Agency or its authority with respect to the Indenture or any action of the Successor Agency contemplated by said documents, or in any way contesting the completeness or accuracy of this Official Statement or the powers of the Successor Agency or its authority with respect to the Indenture or any act ion of the Successor Agency contemplated by said documents, or which would adversely affect the exclusion of interest paid on the Series 2026A Bonds from gross income for Federal income tax purposes or the exemption of interest paid on the Series 2026A Bonds from California personal income taxation, nor, to the knowledge of the Successor Agency, is there any basis therefor.

Tax Matters
In the opinion of Best Best & Krieger LLP, Riverside, California, subject, however, to certain qualifications described in this Official Statement, under existing statutes, regulations, rulings and judicial decisions, and assuming the accuracy of certain representations and compliance with certain covenants, the interest on the Series 2026 Bonds is excluded from gross income for federal income tax purposes, and interest on the Series 2026 Bonds is not an item of tax preference for purposes of calculating the federal alternative minimum tax imposed on individuals and corporations; however, interest on the Series 2026 153

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Bonds is taken into account in determining the annual adjusted financial statement income of certain corporations for the purpose of computing the alternative minimum tax imposed on certain corporations.

In the further opinion of Bond Counsel, interest on the Series 2026 Bonds is exempt from California personal income tax.

The opinions set forth in the preceding paragraph are subject to the condition that the Utility Authority and City comply with all requirements of the Internal Revenue Code of 1986, as amended (previously defined as the “Tax Code”) that must be satisfied subsequent to the issuance of the Series 2026 Bonds. The Utility Authority and City have made certain representations and covenanted to comply with each such requirement. Inaccuracy of these representations or failure to comply with these covenants may result in interest on the Series 2026 Bonds being included in gross income for federal income tax purposes, possibly from the date of original issuance of the Series 2026 Bonds. The opinion of Bond Counsel assumes the accuracy of these representations and compliance with these covenants. Bond Counsel has not undertaken to determine (or to inform any person) whether any actions taken (or not taken), or events occurring (or not occurring), or any other matters coming to Bond Counsel’s attention after the date of issuance of the Series 2026 Bonds may adversely affect the value of, or the tax status of interest on, the Series 2026 Bonds. Accordingly, the opinion of Bond Counsel is not intended to, and may not, be relied upon in connection with any such actions, events, or matters.

If the initial offering price to the public (excluding bond houses and brokers) at which a Series 2026 Bond is sold is less than the amount payable at maturity thereof, then such difference constitutes “original issue discount” for purposes of federal income taxes and State of California personal income taxes. If the initial offering price to the public (excluding bond houses and brokers) at which a Series 2026 Bond is sold is greater than the amount payable at maturity thereof, then such difference constitutes “original issue premium” for purposes of federal income taxes and State of California personal income taxes. De minimis original issue discount and original issue premium is disregarded.

Under the Tax Code, original issue discount is treated as interest excluded from federal gross income and exempt from State of California personal income taxes to the extent properly allocable to each owner thereof subject to the limitations described in the first paragraph of this section. The original issue discount accrues over the term to maturity of the Series 2026 Bond on the basis of a constant interest rate compounded on each interest or principal payment date (with straight -line interpolations between compounding dates). The amount of original issue discount accruing during each period is added to the adjusted basis of such Series 2026 Bonds to determine taxable gain upon disposition (including sale, prepayment, or payment on maturity) of such Series 2026 Bond. The Tax Code contains certain provisions relating to the accrual of original issue discount in the case of purchasers of the Series 2026 Bonds who purchase the Series 2026 Bonds after the initial offering of a substantial amount of such maturity. Owners of such Series 2026 Bonds should consult their own tax advisors with respect to the tax consequences of ownership of Series 2026 Bonds with original issue discount, including the treatment of purchasers who do not purchase in the original offering, the allowance of a deduction for any loss on a sale or other disposition, and the treatment of accrued original issue discount on such Series 2026 Bonds under federal individual alternative minimum taxes.

Under the Tax Code, original issue premium is amortized on an annual basis over the term of the Series 2026 Bond (said term being the shorter of the bond’s maturity date or its call date). The amount of original issue premium amortized each year reduces the adjusted basis of the owner of the Series 2026 Bond for purposes of determining taxable gain or loss upon disposition. The amount of original issue premium on a Series 2026 Bond is amortized each year over the term to maturity of the Series 2026 Bond on the basis of a constant interest rate compounded on each interest or principal payment date (with straight -line interpolations between compounding dates). Amortized Series 2026 Bond premium is not deductible for federal income tax purposes. Owners of premium Series 2026 Bonds, including purchasers who do not 154

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purchase in the original offering, should consult their own tax advisors with respect to State of California personal income tax and federal income tax consequences of owning such Series 2026 Bonds.

Current and future legislative proposals, if enacted into law, clarification of the Tax Code, or court decisions may cause interest with respect to the Series 2026 Bonds to be subject, directly or indirectly, to federal income taxation or to be subject to or exempted from state income taxation, or otherwise prevent beneficial owners from realizing the full current benefit of the tax status of such interest. The introduct ion or enactment of any such legislative proposals, clarification of the Tax Code, or court decisions may also affect the market price for, or marketability of, the Series 2026 Bonds. Prospective purchasers of the Series 2026 Bonds should consult their own tax advisors regarding any pending or proposed federal or state tax legislation, regulations or litigation, as to which Bond Counsel expresses no opinion.

The opinion of Bond Counsel is based on current legal authority, covers certain matters not directly addressed by such authorities, and represents Bond Counsel’s judgment as to the proper treatment of the Series 2026 Bonds for federal income tax purposes. It is not binding on the Internal Revenue Service (“IRS”) or the courts. Furthermore, Bond Counsel cannot give and has not given any opinion or assurance about the future activities of the Utility Authority and City or about the effect of future changes in the Tax Code, the applicable regulations, the interpretation thereof or the enforcement thereof by the IRS. The Utility Authority and City have covenanted, however, to comply with the requirements of the Tax Code.

A copy of the proposed form of opinion of Bond Counsel is attached hereto as APPENDIX C.

Owners of the Series 2026 Bonds should also be aware that the ownership or disposition of, or the accrual or receipt of interest on, the Series 2026 Bonds may have federal or state tax consequences other than as described above. Bond Counsel expresses no opinion regarding any federal or state tax consequences arising with respect to the Series 2026 Bonds other than as expressly described above.

The opinions expressed by Bond Counsel are based upon existing legislation and regulations as interpreted by relevant judicial and regulatory authorities as of the date of such opinion, and Bond Counsel has expressed no opinion with respect to any proposed legislation or as to the tax treatment of interest on the Series 2026 Bonds, or as to the consequences of owning or receiving interest on the Series 2026 Bonds, as of any future date. Prospective purchasers of the Series 2026 Bonds should consult their own tax advisors regarding any pending or proposed federal or state tax legislation, regulations or litigation, as to which Bond Counsel expresses no opinion.

Legal Opinion
Best Best & Krieger LLP, Riverside, California, will render is opinion with respect to the validity of the Series 2026A Bonds in substantially the form set forth in Appendix E hereto. Copies of such approving opinion will be available at the time of delivery of the Series 2026A Bonds.

Verification of Mathematical Accuracy
________________________________ certified public accountants, will verify, from the information provided to them, the mathematical accuracy of the computations contained in schedules to determine that the amounts to be held in the Bond Fund pursuant to the Instructions will be sufficien t to pay principal, interest and redemption price due on the Refunded Bonds through and including the redemption date. __________________ will express no opinion on the assumptions provided to them, nor as to the exemption from taxation of interest on the Series 2026A Bonds. 155

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Ratings
S&P Global Ratings, a Standard & Poor’s Financial Services LLC business, a part of McGraw Hill Financial (“Standard & Poor’s”) has assigned to the Series 2026A Bond its municipal bond rating of “__” with the understanding that the Policy insuring the payment when due of the principal of and interest on the Series 2026A Bond will be issued concurrently with the delivery of the Series 2026A Bonds by _______________. Standard and Poor’s has assigned to the Series 2026A Bonds an underlying rating of “__.” Such ratings reflect only the views of Standard & Poor’s, and do not constitute a recommendation to buy, sell or hold any of the Series 2026A Bonds. Explanation of the significance of such ratings may be obtained only from Standard and Poor’s Ratings Services, 55 Water Street, New York, New York 10041.

The ratings issued reflect only the view of such rating agency, and any explanation of the significa nce of such ratings should be obtained from such rating agency. There is no assurance that such ratings will be retained for any given period of time or that they will not be revised downward or withdrawn entirely by such rating agency if, in the judgment of such rating agency, circumstances so warrant. Any such downward revision or withdrawal of any rating obtained may have an adverse effect on the market price of the Series 2026A Bonds.

Sale of Series 2026A Bonds
The Series 2026A Bonds were sold to _________ (the “Underwriter”) at competitive bid. The Underwriter is offering the Series 2026A Bonds at the initial offering prices set forth on the inside front cover page hereof. The initial offering prices may be changed from time to time and concessions from the offering prices may be allowed to dealers, banks and others. The Underwriter will purchase the Series 2026A Bonds at a price equal to $________, which represents the principal amount of the Series 2026A Bonds, [plus/less] a net original issue [premium/discount] of $_______ and less an Underwriter’s discount of $__.

The Municipal Advisor
The material contained in this Official Statement was prepared by the Successor Agency with the assistance of the Municipal Advisor who advised the Successor Agency as to the financial structure and certain other financial matters relating to the Series 2026A Bonds. The information set forth herein received from sources other than the Successor Agency has been obtained from sources which are believed to be reliable, but such information is not guaranteed by the Municipal Advisor as to accuracy or completeness, nor has it been independently verified.

Miscellaneous
All quotations from and summaries and explanations of the Indenture and other statutes and documents contained herein do not purport to be complete, and reference is made to such documents, Indenture and statutes for full and complete statements of their provisions. (Balance of this page intentionally left blank.)

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This Official Statement is submitted only in connection with the sale of the Series 2026A Bonds by the Successor Agency. All estimates, assumptions, statistical information and other statements contained herein, while taken from sources considered reliable, are not guaranteed by the Successor Agency. The information contained herein should not be construed as representing all conditions affecting the Successor Agency or the Series 2026A Bonds.

SUCCESSOR AGENCY TO THE INDIAN

WELLS REDEVELOPMENT AGENCY

By:

Finance Director of the City
on behalf of the Successor Agency

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APPENDIX A

FISCAL CONSULTANT REPORT

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APPENDIX B

GENERAL INFORMATION CONCERNING THE CITY OF INDIAN WELLS The following information is presented as general background data. The Series 2026A Bonds are payable solely from Pledged Tax Revenues and other sources as described herein. The taxing power of the City, the County, the State of California or any political subdivision thereof is not pledged to the payment of the Series 2026A Bonds.

The City of Indian Wells (the “City”) is located in the Coachella Valley in eastern Riverside County (the “County”), 20 miles southeast of Palm Springs and 120 miles southeast of Los Angeles. The City is traversed by State Highway 111, which connects the Coachella Valley desert communities to Interstate 10 .

Most of the City consists of relatively level desert land, with elevation estimated to be 119 feet above sea level. The average temperature in January is approximately 54 degrees F, while the average temperature in July is approximately 92 degrees F. The City experiences approximately 3.3 inches of rain per year.

The City was incorporated as a general law city on July 14, 1967. Subsequently, upon the approval of the voters on November 5, 2002, the City became a charter city. The City’s Charter was filed with the California Secretary of State on December 20, 2002. The City has a council-manager form of government.

The council members are elected at large to alternating four-year terms at elections held every two years.

There is an automatic rotation of Council Members serving as Mayor and Mayor Pro Tempore. The City contracts with Riverside County for fire, police and paramedic services.

The City is home to internationally recognized sporting and cultural events. In 1990, the City was awarded a national Citation for Excellence in Urban Design from the American Institute of Architects. Palm and date trees surround and decorate the community. In 1991, the City’s fire and police departments were recognized by the League of California Cities for their public safety program.

The City is one of the most affluent cities in the County, with a per capital personal income of $97,249 according to the City’s demographic data.

The employment base of the City is based primarily on the tourist industry. The City offers four major resorts to visitors from around the world: the Hyatt Regency Indian Wells Resort and Spa, the Renaissance Indian Wells Resort and Spa, the Miramonte Resort and Spa, and the Indian Wells Resort Hotel.

The city boasts a total of 171 holes of golf, which are divided amongst the city’s various private clubs and resorts, as well as forty-plus grass, clay and hard surface tennis courts. The city is host to major sporting events and is home to the Indian Wells Tennis Garden, a facility that seats over 16,000 spectators, making it one of the largest outdoor tennis stadiums in the country. 161

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DEMOGRAPHIC AND ECONOMIC INFORMATION
Population
There are a large number of second homes in the City resulting in a seasonal population that is well in excess of the City’s year-round population. In addition to the permanent residents, the City has seasonal residents that usually reside in the City during the tourist season, October through April . The table below displays population changes and per capita personal income for the Cityfor the past 10 fiscal years.

CITY OF INDIAN WELLS
Fiscal Year Population(1)
Personal Income
(in thousands)
Per Capita
Personal Income
2014-15 5,228 469,484,673 90,390
2015-16 5,307 447,589,123 82,703
2016-17 5,342 472,424,421 86,683
2017-18 5,389 513,911,206 92,198
2018-19 5,445 529,521,295 97,249
2019-20 5,428 592,602,660 109,175
2020-21 4,762 597,158,324 125,401
2022-23 4,774 698,280,138 146,267
2023-24 4,797 784,977,051 163,639
2024-25 4,862 857,819,677 176,434

(1) Population projections are provided by the California Department of Finance Projections.

Source: City of Indian Wells.

Industry and Employment
The City is a part of the Riverside-San Bernardino Primary Metropolitan Statistical Area (“PMSA”), which includes all of Riverside and San Bernardino Counties. In addition to varied manufacturing employment, the PMSA has large and growing commercial and service sector employment, as reflected in the following table.
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RIVERSIDE-SAN BERNARDINO-ONTARIO MSA
ANNUAL AVERAGE EMPLOYMENT BY INDUSTRY(1)
(IN THOUSANDS)
2021 2022 2023 2024 2025(1)
Civilian Labor Force(2) 2,108,400 2,140,500 2,180,300 2,209,100 2,232,200 Civilian Employment 1,951,600 2,049,900 2,078,100 2,093,800 2,099,300 Civilian Unemployment 156,700 90,700 102,300 115,300 132,800 Civilian Unemployment Rate 7.4% 4.2% 4.7% 5.2% 6.0%

Total Farm 13,700 13,800 13,200 13,700 14,100
Total Nonfarm 1,575,100 1,660,200 1,681,000 1,700,400 1,705,400 Total Private 1,333,100 1,410,200 1,420,700 1,430,200 1,422,900 Goods Producing 207,700 216,300 215,300 212,900 206,400 Mining & Logging 1,400 1,500 1,500 1,600 1,500
Construction 110,100 114,700 115,400 116,200 112,400
Manufacturing 96,100 100,000 98,500 95,200 92,500
Service Providing 1,367,400 1,443,900 1,465,700 1,487,500 1,499,000 Trade, Transportation & Utilities 443,200 464,900 457,900 456,400 447,500 Wholesale Trade 67,400 69,500 68,900 68,600 68,700
Retail Trade 177,000 181,000 183,000 182,600 180,500
Transportation, Warehousing & Utilities 198,800 214,400 206,000 205,200 198,300 Information 12,500 13,000 13,300 13,000 12,800
Financial Activities 45,200 46,000 44,900 44,100 42,600 Professional & Business Services 166,600 173,900 164,400 161,800 159,200 Private Educational & Health Services 254,300 267,900 287,800 306,000 320,500 Leisure & Hospitality 160,200 180,900 187,600 185,300 182,600 Other Services 43,600 47,400 49,400 50,700 51,300
Government 242,000 250,000 260,200 270,200 282,500
Total, All Industries(3) 1,588,800 1,674,000 1,694,100 1,714,100 1,719,500

(1) As of June 2025.
(2) Civilian labor force data are by place of residence; includes self-employed individuals, unpaid family workers, household domestic workers, and workers on strike.
(3) Industry employment is by place of work; Does not include self-employed individuals, unpaid family workers, household domestic workers and workers on strike. Items may not add to total due to independent rounding. The “Total, All Industries” data is not directly comparable to the employment data found in this Appendix C.

Source: State of California, Employment Development Department, March 2024 Benchmark.

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The following table summarizes the labor force, employment and unemployment figures for the period from 2021 through 2025 for the County, the State and the nation as a whole.

COUNTY OF RIVERSIDE,

STATE OF CALIFORNIA AND UNITED STATES
Average Annual Civilian Labor Force, Employment and Unemployment Year and Area Labor Force Employment(2) Unemployment(3) Unemployment
Rate (%)
2021
County of Riverside 1,119,000 1,036,100 82,900 7.4
State of California 18,954,600 17,564,900 1,389,700 7.3 United States 162,497,000 156,099,000 6,398,000 3.9

2022
County of Riverside 1,140,400 1,091,800 48,700 4.3
State of California 19,218,300 18,393,900 824,400 4.3
United States 165,025,000 159,259,000 5,766,000 3.5

2023
County of Riverside 1,165,500 1,110,100 55,400 4.8
State of California 19,471,000 18,551,800 919,200 4.7
United States 167,439,000 161,124,000 6,315,000 3.8

2024
County of Riverside 1,181,300 1,118,600 62,700 5.3
State of California 19,644,100 18,600,900 1,043,100 5.3 United States 168,547,000 161,661,000 6,886,000 4.1

2025(4)
County of Riverside 1,198,100 1,120,800 77,300 5.5
State of California 19,824,400 18,621,700 1,202,800 6.1 United States 170,342,000 163,106,000 7,236,000 4.2

Note: Data is not seasonally adjusted.
(1) Annual averages, unless otherwise specified.
(2) Includes persons involved in labor-management trade disputes. (3) The unemployment rate is computed from unrounded data; therefore, it may differ from rates computed from rounded figures in this table.
(4) Through July 2025.

Source: U.S. Department of Labor – Bureau of Labor Statistics, California Employment Development Department. March 2024 Benchmark.
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The following table sets forth the major employers located in the City as of June 30, 2025:

CITY OF INDIAN WELLS

MAJOR EMPLOYERS
Business Name
Number of
Employees
Percent of Total
Employment (%)
Hyatt Regency Resort & Spa 463 25.72%
Renaissance Esmeralda Resort 443 24.61%
Miramonte Resort and Spa 203 11.28%
Indian Wells Golf Resort (1) 191 10.61%
Toscana Country Club 146 8.11%
El Dorado Country Club (2) 115 6.39%
Desert Horizons Country Club (1) 100 5.56%
Southwest Community Church 95 5.28%
Indian Wells Resort Hotel 68 3.78%
Indian Wells Country Club 67 3.72%
Merrill Lynch Wealth Management 43 2.53%
Total Top Employers 1,891 105%

Total City Employment (2) 1,800

(1) Includes Seasonal Employees.
(2) Count is at peak of season.

Source: Avenu Insights & Analytics. Total City Labor Force provided by EDD Labor Force Data.

Effective Buying Income
“Effective Buying Income” is defined as personal income less personal tax and nontax payments, a number often referred to as “disposable” or “after-tax” income. Personal income is the aggregate of wages and salaries, other than labor-related income (such as employer contributions to private pension funds), proprietor’s income, rental income (which includes imputed rental income of owner-occupants of non-farm dwellings), dividends paid by corporations, interest income from all sources and transfer payments (such as pensions and welfare assistance). Deducted from this total are personal taxes (federal, state and local, nontax payments, fines, fees, penalties, etc.) and personal contributions to social security insurance and federal retirement payroll deductions. According to U.S. government definitions, the resultant figure is commonly known as “disposable personal income.”
The following table summarizes the total effective buying income for the County, the State and the United States for the period 2021 through 2025:

RIVERSIDE COUNTY AND CALIFORNIA

TOTAL EFFECTIVE BUYING INCOME,
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MEDIAN HOUSEHOLD EFFECTIVE BUYING INCOME AND
PERCENT OF HOUSEHOLDS WITH INCOMES OVER $50,000(1)

Total Effective
Buying Income(2)
Median
Household Effective
Buying Income
Median
County EBI as
a percentage
of State and
Federal EBI
Percent of
Households
with
Income over
$50,000
2021
Riverside County $60,749,087 $60,203 -- 58.41%
California 1,290,894,604 67,510 89.18% 62.86
United States 9,809,944,764 56,790 106.01 --
2022
Riverside County $71,160,967 $70,683 -- 65.97%
California 1,452,426,152 76,880 91.94% 68.53
United States 11,208,582,540 63,679 111.00 --
2023
Riverside County $72,687,953 $71,389 -- 66.37%
California 1,461,799,662 76,990 92.73% 68.58
United States 11,454,846,397 64,600 110.51 --
2024
Riverside County $76,381,809 $75,248 -- 68.70%
California 1,510,708,521 80,609 93.35% 70.31
United States 11,987,185,826 67,310 111.79 --
2025
Riverside County $78,899,757 $78,404 -- 70.76%
California 1,557,429,767 82,265 95.31% 71.01
United States 12,525,577,707 69,245 113.22 --
___________________________
(1) Estimated, as of January 1 of each year.
(2) Dollars in thousands.

Source: The Nielsen Company.

Commercial Activity
Commercial activity is an important factor in the County’s economy. Much of the County’s commercial activity is concentrated in central business districts or small neighborhood commercial centers in cities. There are five regional shopping malls in the County: Galleria at Tyler (Riverside), Hemet Valley Mall, Westfield Palm Desert Shopping Center, Moreno Valley Mall and the Promenade at Temecula. There are also three factory outlet malls (Desert Hills Factory Stores, Cabazon Outlets and Lake Elsinore Outlet Center) and over 200 area centers in the County.
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The table below presents taxable sales permits and taxable sales for the years 2020 through 2024 for the County.

TAXABLE SALES
County of Riverside
2020-2024
(Dollars in Thousands)
Year Permits Taxable Sales
2020 69,284 $42,313,474
2021 64,335 55,535,196
2022 66,738 62,117,153
2023 68,670 61,331,274
2024 70,577 60,343,097

Source: Taxable Sales in California, California Department of Tax and Fee Administration.

Building and Real Estate Activity
The two tables below are a five-year summary of building permit valuations and new dwelling units authorized in the County (in both incorporated and unincorporated areas).

COUNTY OF RIVERSIDE
BUILDING PERMIT VALUATIONS(1)
(IN MILLIONS)
2019 2020 2021 2022 2023
Valuation
Residential $ 2,275,404 $ 2,519,303 $ 2,262,642 $ 2,921,113 $3,306,086 Non-Residential $ 1,285,855 $ 1,153,777 $ 1,543,998 $ 1,701,617 $1,676,498 Total $3,561,261 $3,673,081 $3,806,640 $4,622,731 $4,982,584

Units
Single Family 6,563 8,443 7,360 8,863 8,984
Multiple Family 1,798 723 1,126 2,861 6,428
Total 8,361 9,166 8,486 11,724 15,322
______________________
Note: Totals may not add due to rounding.

Source: Construction Industry Research Board.

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The following table sets forth a comparison of annual median housing prices for Los Angeles County, Riverside County and Southern California for the years indicated.

COUNTY OF RIVERSIDE

COMPARISON OF MEDIAN HOUSING PRICES
Year Los Angeles Orange Ventura
San
Bernardino Riverside San Diego
Santa
Barbara
2020 $660,000 $ 950,000 $740,000 $378,500 $488,250 $730,000 $ 970,000 2021 826,500 1,182,500 850,000 460,000 586,000 836,700 937,500 2022 799,670 1,131,760 818,000 464,940 575,000 850,000 1,055,000 2023 853,340 1,300,000 899,000 506,000 607,500 911,500 1,190,000 2024 912,370 1,362,000 895,000 490,950 624,790 975,000 1,275,000

Source: Los Angeles Almanac.

The following table sets forth a comparison of residential foreclosures recorded in Riverside County for the last five years.

COUNTY OF RIVERSIDE

COMPARISON OF HOME FORECLOSURES
Year Foreclosures
2020(1) 314
2021(1) 274
2022 407
2023 395
2024 381
___________________________
(1) Foreclosures were lower in 2020 and
2021 than in prior years due to a
moratorium on foreclosure of certain
mortgage and court closures related to
the COVID-19 pandemic. The statewide
moratorium ended on June 30, 2022.

Source: DQNews (2020-2021); County
Assessor (2022-2024).

Agriculture
Agriculture remains an important source of income in the County. In 2023, principal agricultural products were nursery stock, dates, eggs, alfalfa, avocados, lemons, bell peppers, milk, table grapes and turf grass.

Four areas in the County account for the major portion of agricultural activity: the Riverside/Corona and San Jacinto/Temecula Valley Districts in the western portion of the County, the Coachella Valley in the central portion and the Palo Verde Valley near the County’s eastern border. Agricultural production in the County may be impacted by drought conditions and other climate issues. 168

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The following table sets forth the value of agricultural production in the County for the years 2019 through 2023, the last year being the most recent year for which data is currently available.

COUNTY OF RIVERSIDE

VALUE OF AGRICULTURAL PRODUCTION
2019 2020 2021 2022 2023
Citrus Fruits

$121,934,000

$126,567,000

$127,473,000

$132,062,000

$149,171,000
Trees and Vines 268,368,000 282,840,000 280,105,000 270,078,000 298,806,000 Vegetables, Melons, Misc. 354,217,000 334,440,000 324,895,000 328,236,000 378,351,000 Field and Seed Crops 141,652,000 156,114,000 135,033,000 159,419,000 157,174,000 Nursery 204,768,000 247,765,000 267,547,000 318,683,000 358,175,000 Apiculture 6,123,000 5,858,000 5,925,000 5,950,000 6,917,000 Aquaculture 4,776,000 4,596,000 4,873,000 5,749,000 6,735,000 Livestock and Poultry

219,427,000

260,040,000

260,059,000

270,282,000

185,011,000
Grand Total

$1,321,265,000

$1,418,220,000

$1,405,910,000

$1,490,459,000

$1,540,340,000
_________________________
Source: Riverside County Agricultural Commissioner.

Utilities
Water and sewer services for the City are provided by the regional Coachella Valley Water District.

Electricity is supplied by the Southern California Edison Company and the Imperial Irrigation District and natural gas is supplied by the Southern California Gas Company. General Telephone provides telephone service to the City.

Transportation
State Highway 111 passes through the City. Highway 111 is the principal highway connecting the desert communities of eastern Riverside County. State Highway 74, which links with Highway 111 at Palm Desert, leads to San Diego. Highway 111 intersects Interstate 10, a major transportation artery connecting Los Angeles to Phoenix and parts east. Interstate 10 provides access from the City to the major interchange at Beaumont where the San Bernardino, Pomona and Riverside Freeways all meet.

Approximately 17 miles to the north in Palm Springs is the county’s largest airport, Palm Springs Municipal Airport. With a 7,000-foot runway and modern terminal, the airport serves as the flight hub for the Coachella Valley.

A Southern Pacific main line moves 5 miles north of the City . The Sunline System provides bus service between the Coachella Valley communities, while Greyhound and Continental Trailways provide expanded regional bus transportation out of Palm Springs. Overnight delivery service is available to Los Angeles, San Diego, Phoenix and San Francisco. Two direct truck carriers run daily to Los Angeles.

Education
The City is part of the Desert Sands Unified School District. Children in grades K through 2 attend school one mile away at the Gerald Ford Elementary School. Two Palm Desert Schools also serve the City, Grades K through 5 at the Washington School and Grades 3 through 5 at the Lincoln School. Palm Desert Middle School is for grades 6 through 8, and Palm Desert High School is the area’s high school (grades 9- 12). The Desert Sands Unified School District also operates an adult continuation school. 169

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The College of the Desert is a public community college offering two-year programs and is located midway between the City and Palm Springs. Other community colleges in the area include Mt. San Jacinto College and Riverside City College.

California State University, San Bernardino has established a satellite campus in nearby Palm Desert to serve the residents of the Coachella Valley.

The Riverside Campus of the University of California is located 75 miles west of the City. Other institutions of higher education in the general area include Loma Linda University, California Baptist College, the University of Redlands, California Polytechnic College at Pomona and the Claremont Colleges.

Community Facilities
Resort amenities coupled with a spectacular contrast between the desert and the mountains make the City a popular location for retirees and tourists. In addition to the golf resorts, the City enjoys a close proximity to the San Bernardino National Forest and the San Jacinto Wilderness Area . Camping, hiking, fishing and mountain climbing are all regional attractions.

Nine television stations (via cable) and at least seven radio stations serve the Indian Wells area . In addition to the Los Angeles Times, the City receives local news in the daily Desert Sun. A paper of more regional interest, the Riverside Press Enterprise is also circulated in the City.

Medical Facilities
Although the City has no major hospitals within its incorporation limits, there are two major medical facilities within five miles either east or west of the City. The John F. Kennedy Memorial Hospital in Indio serves the City and has 162 beds. The Eisenhower Medical Center, nationally known for its Betty Ford Center, is in Rancho Mirage and has a 261 bed capacity.

The City, along with the communities of Palm Desert and Rancho Mirage formed the Joint Power Agreement of the Cove Communities Public Services Commission to pool paramedic, firefighting resources and certain recreation services. As a result, the communities have realized greater economies in the provision of these services.

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APPENDIX C

COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE YEAR ENDED JUNE 30, 2025

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APPENDIX D

SUMMARY OF CERTAIN PROVISIONS OF THE INDENTURE

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APPENDIX E

FORM OF OPINION OF BOND COUNSEL
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APPENDIX F

SPECIMEN MUNICIPAL BOND INSURANCE POLICY

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APPENDIX G

FORM OF CONTINUING DISCLOSURE CERTIFICATE

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1 OFFICIAL NOTICE OF SALE
$33,310,000*

SUCCESSOR AGENCY TO THE

INDIAN WELLS REDEVELOPMENT AGENCY

CONSOLIDATED WHITEWATER REDEVELOPMENT PROJECT AREA
TAX ALLOCATION REFUNDING BOND, SERIES 2026A
NOTICE IS HEREBY GIVEN that electronic bids will be received in the manner described below through the Ipreo LLC’s BiDCOMPTM/PARITY® System (“Parity”) by the Successor Agency To The Indian Wells Redevelopment Agency (the “Successor Agency”) for the purchase of the tax allocation refunding bonds captioned above (the “Bonds”). Bidding procedures and sale terms are as follows:

Issue: The Bonds are described in the Successor Agency’s Preliminary Official Statement for the Bonds dated September 30, 2026 (the “Preliminary Official Statement”).

Time: Bids for the Bonds must be received by the Successor Agency by 8:00 a.m, California time, on September 14, 2026.

Place: Electronic bids must be submitted in the manner and subject to the terms and conditions described under “TERMS OF SALE—Form of Bids; Delivery of Bids” below, but no bid will be accepted after the time for receiving bids specified above.

THE RECEIPT OF BIDS ON SEPTEMBER 14, 2026, MAY BE POSTPONED OR

CANCELLED
AT OR PRIOR TO THE TIME BIDS ARE TO BE RECEIVED. NOTICE OF SUCH

POSTPONEMENT OR CANCELLATION WILL BE COMMUNICATED BY THE SUCCESSOR

AGENCY THROUGH THOMSON REUTERS AND/OR BLOOMBERG BUSINESS NEWS (COLLECTIVELY, THE “NEWS SERVICES”) AND/OR PARITY (AS DESCRIBED IN “TERMS OF SALE—FORM OF BIDS; DELIVERY OF BIDS” BELOW) AS SOON AS PRACTICABLE FOLLOWING SUCH POSTPONEMENT OR CANCELLATION. Notice of the new date and time for receipt of bids shall be given through Parity and/or one or more of the News Services as soon as practicable following a postponement and no later than 1:00 p.m., California time, on the business day preceding the new date for receiving bids.

As an accommodation to bidders, notice of such postponement and of the new sale date and time will be given to any bidder requesting such notice in writing from the Successor Agency’s municipal advisor (the “Municipal Advisor”):

Columbia Capital Management
Attention: James Prichard or Curt de Crinis
telephone number ,(913) 312-8072
e:mail: [email protected]
[email protected]
However, failure of any bidder to receive such supplemental notice shall not affect the sufficiency of any such notice or the legality of the sale of the Bonds. See “TERMS OF SALE— Postponement or Cancellation of Sale.”
ATTACHMENT #3
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2 The Successor Agency reserves the right to modify or amend this Official Notice of Sale in any respect, including, without limitation, increasing or decreasing the principal amounts for the maturities of the Bonds; provided, that any such modification or amendment will be communicated to potential bidders through one or more of the News Services and/or Parity not later than 1:00 p.m., California time, on the business day preceding the date for receiving bids. Failure of any potential bidder to receive notice of any modification or amendment will not affect the sufficiency of any such notice or the legality of the sale of the Bonds. Bidders are required to bid upon the Bonds as so modified or amended. See “TERMS OF SALE—Right to Modify or Amend.” Bidders are referred to the Preliminary Official Statement for additional information regarding the Successor Agency, the Bonds, the security for the Bonds and other matters. See “CLOSING PROCEDURES AND DOCUMENTS—Official Statement.” Capitalized terms used and not defined in this Official Notice of Sale have the meanings given to them in the Preliminary Official Statement.

This Official Notice of Sale will be submitted for posting to Parity (as described in “TERMS OF SALE—Form of Bids; Delivery of Bids” below). If the summary of the terms of sale of the Bonds posted on Parity conflicts with this Official Notice of Sale in any respect, the terms of this Official Notice of Sale shall control, unless a notice of an amendment is given as described herein.

TERMS RELATING TO THE BONDS

THE SUCCESSOR AGENCY FOR ISSUANCE, PURPOSES, PAYMENT OF PRINCIPAL

AND INTEREST, REDEMPTION, DEFEASANCE, SOURCES AND USES OF FUNDS, SECURITY

AND SOURCES OF PAYMENT, FORM OF LEGAL OPINION OF BOND COUNSEL AND OTHER

INFORMATION REGARDING THE BONDS ARE PRESENTED IN THE PRELIMINARY OFFICIAL

STATEMENT, WHICH EACH BIDDER IS DEEMED TO HAVE OBTAINED AND REVIEWED PRIOR TO BIDDING FOR THE BONDS. THIS OFFICIAL NOTICE OF SALE GOVERNS ONLY THE TERMS OF SALE, BIDDING, AWARD AND CLOSING PROCEDURES FOR THE BONDS.

THE DESCRIPTION OF THE BONDS CONTAINED IN THIS OFFICIAL NOTICE OF SALE IS

QUALIFIED IN ALL RESPECTS BY THE DESCRIPTION OF THE BONDS CONTAINED IN THE PRELIMINARY OFFICIAL STATEMENT.

Issue. The Bonds will be issued as fully registered bonds without coupons in book-entry only form in denominations of one Bond for each maturity of the Bonds, all dated the date of delivery, which is expected to be September 30, 2026. If the sale is postponed, notice of the new date of the sale will also set forth any new expected date of delivery of the Bonds.

Book-Entry Only. The Bonds will be registered in the name of a nominee of The Depository Trust Company (“DTC”), New York, New York. DTC will act as securities depository for the Bonds.

Individual purchases will be made in book-entry form only in denominations of $5,000 or any integral multiple thereof and the successful bidder (the “Purchaser”) will not receive certificates representing its interest in the Bonds purchased. As of the date of award of the Bonds, the Purchaser must either participate in DTC or must clear through or maintain a custodial relationship with an entity that participates in DTC.

Interest Rates. Interest on the Bonds will be payable on March 1, 2027, and semiannually thereafter on March 1 and September 1 of each year (each an “Interest Payment Date”). Interest shall be calculated on the basis of a 30-day month, 360-day year from the dated date of the Bonds.

Bidders may specify any number of separate interest rates for the Bonds, and the same interest rate or rates may be repeated as often as desired, provided:
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3 (i) each interest rate specified in any bid for the Bonds must be a multiple of one- twentieth or one-eighth of one percent per annum;
(ii) the maximum interest rate bid for any maturity shall not exceed 5% per annum; (iii) no Bond shall bear a zero rate of interest;
(iv) each Bond shall bear interest from its dated date to its stated maturity date at the single rate of interest for the respective Bond specified in the bid; and (v) all Bonds maturing at any one time shall bear the same rate of interest. See the Preliminary Official Statement – “THE BONDS – Description of the Bonds.” Maximum Discount. All bids must be for not less than all of the Bonds hereby offered for sale and must provide for a purchase price of not less than 98% of the aggregate par amount thereof.

Principal Payments. The Bonds shall be serial and/or term Bonds, as specified by each bidder, and principal shall be payable on September 1 of each year, commencing on September 1, 2027, as shown below. Subject to the Successor Agency’s right to modify or amend this Notice of Sale (see “TERMS OF SALE—Right to Modify or Amend”), the final maturity of the Bonds shall be September 1, 2034. The principal amount of the Bonds maturing or subject to mandatory sinking fund redemption in any year shall be in integral multiples of $5,000. For any term Bonds specified, the principal amount for a given year may be allocated only to a single term Bond and must be part of an uninterrupted annual sequence from the first mandatory sinking fund payment to the term Bond maturity. The aggregate amount of the principal amount of the serial maturity or mandatory sinking fund payment for the Bonds is shown below for information purposes only. Bidders for the Bonds must provide bids for all of the Bonds Principal Amounts.

Subject to the Successor Agency’s right to modify or amend this Notice of Sale (see “TERMS OF SALE—Right to Modify or Amend”), and to adjustment as provided in this Notice of Sale (see “— Adjustment of Principal Payments”), the aggregate principal amount of the serial maturity or mandatory sinking fund payment for the Bonds in each year is as follows:
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4 Maturity
Date
(September 1)
Principal
Amount
2027
2028
2029
2030
2031
2032
2033
2034
Adjustment of Principal Payments. The principal amounts set forth in this Official Notice of Sale reflect certain estimates of the Successor Agency with respect to the likely interest rates and reoffering yields of the winning bid and the premium/discount that will be contained in the winning bid. The Successor Agency reserves the right to change the principal payment schedule set forth above after the determination of the successful bidder, by adjusting one or more of the principal payments of the Bonds, in increments of $5,000, as determined in the sole discretion of the Successor Agency, in order to provide sufficient proceeds to accomplish the purposes of the financing, reduce principal to eliminate excess proceeds due to a bid premium, increase principal to compensate for bid discount and to achieve approximately level annual debt service. Any such adjustment will not change the average per Bond dollar amount of the underwriter’s discount. In the event of any such adjustment, no rebidding or recalculation of the bids submitted will be required or permitted and no successful bid may be withdrawn.

See also “TERMS OF SALE—Right to Modify or Amend,” regarding the Successor Agency’s right to modify or amend this Official Notice of Sale in any respect including, without limitation, increasing or decreasing the principal amount of any serial maturity or mandatory sinking fund payment for the Bonds and adding or deleting serial or term maturity and mandatory sinking fund payment dates, along with corresponding principal amounts with respect thereto.

A BIDDER AWARDED THE BONDS BY THE SUCCESSOR AGENCY WILL NOT BE

PERMITTED TO WITHDRAW ITS BID, CHANGE THE INTEREST RATES IN ITS BID OR THE

REOFFERING PRICES IN ITS REOFFERING PRICE CERTIFICATE AS A RESULT OF ANY

CHANGES MADE TO THE PRINCIPAL PAYMENTS OF SUCH BONDS IN ACCORDANCE WITH THIS OFFICIAL NOTICE OF SALE.

Optional Redemption of the Bonds. The Bonds are not subject to optional call and redemption prior to maturity.

Legal Opinions and Tax Matters. Upon delivery of the Bonds, Best Best & Krieger LLP, Bond Counsel to the Successor Agency (“Bond Counsel”), will deliver its legal opinion as to the validity and enforceability of the Bonds.

A complete copy of the proposed form of opinion of Bond Counsel is set forth in Appendix F to the Preliminary Official Statement. A copy of the opinion of Bond Counsel will be furnished to 179

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5 the Purchaser upon delivery of the Bonds. See the Preliminary Official Statement – “TAX MATTERS.”

TERMS OF SALE
Maximum Discount. All bids must provide for a purchase price of not less than 98% of the aggregate par amount of the Bonds. Individual maturities of the Bonds may be reoffered at par, a premium or a discount.

Form of Bids; Delivery of Bids. Each bid for the Bonds must be: (1) for not less than all of the Bonds offered for sale, (2) unconditional, and (3) submitted via Parity; and after the verbal award, an email copy of the completed and signed applicable Official Bid Form conforming to the Parity bid by the winning bidder, with any adjustments made by the Successor Agency pursuant hereto must be submitted by the winning bidder. Electronic bids must conform to the procedures established by Parity. No bid submitted to the Successor Agency shall be subject to withdrawal or modification by the bidder.

All bids will be deemed to incorporate all of the terms of this Official Notice of Sale. If the sale of the Bonds is canceled or postponed, all bids for the Bonds shall be rejected. No bid submitted to the Successor Agency shall be subject to withdrawal or modification by the bidder. No bid will be accepted after the time for receiving bids. The Successor Agency retains absolute discretion to determine whether any bidder is a responsible bidder and whether any bid is timely, legible and complete and conforms to this Official Notice of Sale.

The Successor Agency takes no responsibility for informing any bidder prior to the time for receiving bids that its bid is incomplete, illegible or nonconforming with this Official Notice of Sale or has not been received.

Electronic bids will be received exclusively through Parity in accordance with this Official Notice of Sale. For further information about Parity, potential bidders may contact either the Municipal Advisor at the number provided above or Parity at: (212) 404-8107.

Warnings Regarding Electronic Bids. Bids for the Bonds must be submitted electronically via Parity. However, none of the Successor Agency, the Municipal Advisor or Bond Counsel assumes any responsibility for any error contained in any bid submitted electronically or for failure of any bid to be transmitted, received or opened by the time for receiving bids, and each bidder expressly assumes the risk of any incomplete, illegible, untimely or nonconforming bid submitted by electronic transmission by such bidder, including, without limitation, by reason of garbled transmissions, mechanical failure, engaged telecommunications lines, or any other cause arising from submission by electronic transmission.

If a bidder submits an electronic bid for the Bonds through Parity, such bidder thereby agrees to the following terms and conditions:
(1) if any provision in this Official Notice of Sale with respect to the Bonds conflicts with information or terms provided or required by Parity, this Official Notice of Sale, including any amendments or modifications issued through Parity and/or the News Services, will control;
(0) each bidder will be solely responsible for making necessary arrangements to access Parity for purposes of submitting its bid in a timely manner and in compliance with the requirements of this Official Notice of Sale; 180

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6 (2) the Successor Agency will not have any duty or obligation to provide or ensure access to Parity to any bidder, and the Successor Agency will not be responsible for proper operation of, or have any liability for, any delays, interruptions or damages caused by use of Parity or any incomplete, inaccurate or untimely bid submitted by any bidder through Parity;
(3) the Successor Agency is permitting use of Parity as a communication mechanism, and not as an agent of the Successor Agency, to facilitate the submission of electronic bids for the Bonds; Parity is acting as an independent contractor, and is not acting for or on behalf of the Successor Agency; (4) the Successor Agency is not responsible for ensuring or verifying bidder compliance with any procedures established by Parity;
(5) the Successor Agency may regard the electronic transmission of a bid through Parity (including information regarding the purchase price for the Bonds or the interest rates for any maturity of the Bonds) as though the information were submitted on the Official Bid Form and executed on the bidder’s behalf by a duly authorized signatory;
(6) if the bidder’s bid is accepted by the Successor Agency, the signed, completed and conforming Official Bid Form submitted by the bidder by email or facsimile transmission after the verbal award, this Official Notice of Sale and the information that is transmitted electronically through Parity will form a contract, and the bidder will be bound by the terms of such contract; and (7) information provided by Parity to bidders will form no part of any bid or of any contract between the Purchaser and the Successor Agency unless that information is included in this Official Notice of Sale or the Official Bid Form.

Basis of Award. Unless all bids are rejected, the Bonds will be awarded to the responsible bidder who submits a conforming bid that represents the lowest true interest cost to the Successor Agency. The true interest cost will be that nominal interest rate that, when compounded semiannually and applied to discount all payments of principal and interest payable on the Bonds to the dated date of the Bonds, results in an amount equal to the principal amount of the Bonds plus the amount of any net premium or discount. For the purpose of calculating the true interest cost, mandatory sinking fund payments for any term Bonds specified by a bidder will be treated as Bonds maturing on the dates of such mandatory sinking fund payments. In the event that two or more bidders offer bids for the Bonds at the same true interest cost, the Successor Agency will determine by lot which bidder will be awarded the Bonds. Bid evaluations or rankings made by Parity are not binding on the Successor Agency.

No Good Faith Deposit. No good faith deposit is required.

Establishment of Issue Price for the Bonds. In the event the Successor Agency receives at least three (3) bona fide bids for the Bonds, then the Issue Price for the Bonds shall be established based on the reasonably expected initial offering prices of the Bonds as of the Sale Date (the “Expected Offering Prices”). The Expected Offering Prices shall consist of the prices for each maturity of the Bonds used by the winning bidder in formulating its bid to purchase the Bonds.

The winning bidder shall be required to deliver on the date of original delivery of the Bonds to the winning bidder (the “Delivery Date”) a certificate in the form attached hereto as Exhibit A (a 181

26529.00067\44879392.2

7 “Reoffering Price Certificate”), and provide to the Successor Agency and Bond Counsel, in writing, the Expected Offering Prices as of the Sale Date.

In the event the Successor Agency receives fewer than three (3) bona fide bids for the Bonds, then the Issue Price for the Bonds shall be established based on the first price at which at least 10% of each maturity of the Bonds was sold to the Public (as defined below). The winning bidder shall be required to deliver on the Delivery Date a certificate to such effect, and provide to the Successor Agency, in writing, evidence satisfactory to Bond Counsel to the Successor Agency of such sales prices for each maturity of the Bonds. In the event that the winning bidder has not sold at least 10% of each maturity of the Bonds to the Public as of the Delivery Date (each, an “Unsold Maturity”), the winning bidder shall (i) provide to the Successor Agency, in writing, on the Delivery Date, the Expected Offering Prices for each Unsold Maturity and a certificate regarding same and (ii) have a continuing obligation to provide to the Successor Agency, in writing, evidence satisfactory to Bond Counsel to the Successor Agency of the first price at which at least 10% of each Unsold Maturity is sold to the Public, contemporaneous with each such sale, until at least 10% of all such Unsold Maturities have been sold to the Public. The proposed form of such certificate with respect to the Issue Price of the Bonds will be provided upon request to the Municipal Advisor.

As used herein, the term “Sale Date” means the date on which bids are received for the purchase of the Bonds, being ________, 2026 (or such other date to which the sale of the Bonds is postponed as described above). The term “Public” means any person (including an individual, trust, estate, partnership, association, company, or corporation) other than an Underwriter (as defined herein) or a related party to an Underwriter. The term “related party” generally means any two or more persons who have greater than 50 percent common ownership, directly or indirectly. As used herein, the term “Underwriter” means (i) any person that agrees pursuant to a written contract with the Successor Agency (or with the lead underwriter to form an underwriting syndicate) to participate in the initial sale of the Bonds to the Public, and (ii) any person that agrees pursuant to a written contract directly or indirectly with a person described in clause (i) of this paragraph to participate in the initial sale of the Bonds to the Public (including a member of a selling group or a party to a retail distribution agreement participating in the initial sale of the Bonds to the Public).

For the purposes of this paragraph, sales of the Bonds to the other securities brokers or dealers will not be considered sales to the general public.

The Successor Agency may determine to treat (i) the first price at which 10% of a maturity of the Bonds (the “10% test”) is sold to the public as the issue price of that maturity and/or (ii) the initial offering price to the public as of the sale date of any maturity of the Bonds as the issue price of that maturity (the “hold-the-offering-price rule”), in each case applied on a maturity-by-maturity basis. The successful bidder shall advise the County if any maturity of the Bonds satisfies the 10% test as of the date and time of the award of the Bonds. Any maturities of the Bonds that do not satisfy the 10% test as of the date and time of the award shall be subject to the hold-the- offering-price rule. Bids will not be subject to cancellation in the event that the competitive sale requirements described above are not satisfied. Bidders should prepare their bids on the assumption that some or all of the maturities of the Bonds will be subject to the hold-the-offering- price rule in order to establish the issue price of the Bonds.

By submitting a bid (unless the successful bidder is purchasing the Bonds for its own account and not with a view to distribution or resale to the public), the successful bidder shall (i) confirm that the underwriters have offered or will offer the Bonds to the public on or before the date of award at the offering price or prices (the “initial offering price”), or at the corresponding yield or yields, set forth in the bid submitted by the successful bidder and (ii) agree, on behalf of the underwriters participating in the purchase of the Bonds, that the underwriters will neither offer 182

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8 nor sell unsold Bonds of any maturity to which the hold-the-offering-price rule shall apply to any person at a price that is higher than the initial offering price to the public during the period starting on the sale date and ending on the earlier of the following: (1) the close of the fifth (5th) business day after the sale date; or (2) the date on which the underwriters have sold at least 10% of that maturity of the Bonds to the public at a price that is no higher than the initial offering price to the public. The successful bidder will advise the Successor Agency promptly after the close of the fifth (5th) business day after the sale whether it has sold 10% of that maturity of the Bonds to the public at a price that is no higher than the initial offering price to the public.

The Successor Agency acknowledges that, if the hold-the-offering price rule applies, in making the representations set forth above, the winning bidder will rely on (i) the agreement of each underwriter to comply with the requirements for establishing issue price of the Bonds, including, but not limited to, its agreement to comply with the hold-the-offering-price rule, if applicable to the Bonds, as set forth in an agreement among underwriters and the related pricing wires, (ii) in the event a selling group has been created in connection with the initial sale of the Bonds to the public, the agreement of each dealer who is a member of the selling group to comply with the requirements for establishing issue price of the Bonds, including, but not limited to, its agreement to comply with the hold-the-offering-price rule, if applicable to the Bonds, as set forth in a selling group agreement and the related pricing wires, and (iii) in the event that an underwriter or dealer who is a member of the selling group is a party to a third-party distribution agreement that was employed in connection with the initial sale of the Bonds to the public, the agreement of each broker-dealer that is a party to such agreement to comply with the requirements for establishing issue price of the Bonds, including, but not limited to, its agreement to comply with the hold-the-offering-price rule, if applicable to the Bonds, as set forth in the third-party distribution agreement and the related pricing wires. The Successor Agency further acknowledges that each underwriter shall be solely liable for its failure to comply with its agreement regarding the requirements for establishing issue price of the Bonds, including, but not limited to, its agreement to comply with the hold-the-offering-price rule, if applicable to the Bonds, and that no underwriter shall be liable for the failure of any other underwriter, or of any dealer who is a member of a selling group, or of any broker-dealer that is a party to a third-party distribution agreement to comply with its corresponding agreement to comply with the requirements for establishing issue price of the Bonds, including, but not limited to, its agreement to comply with the hold-the-offering-price rule, if applicable to the Bonds.

Right of Rejection and Waiver of Irregularity. The Successor Agency reserves the right, in its sole discretion, to reject any and all bids and to waive any irregularity or informality in any bid which does not materially affect such bid or change the ranking of the bids.

Right to Modify or Amend. Other than with respect to postponement or cancellation as described in this Official Notice of Sale, and in addition to the Successor Agency’s right to adjust the payment amounts of the Bonds as provided in “TERMS RELATING TO THE BONDS— Adjustment of Principal Payments” the Successor Agency reserves the right to modify or amend this Official Notice of Sale in any respect including, without limitation, increasing or decreasing the principal amount of any serial maturity for the Bonds and adding or deleting a maturity, along with corresponding principal amounts with respect thereto; provided, that, subject to the terms of this Notice of Sale (see “TERMS RELATING TO THE BONDS—Adjustment of Principal Payments”) any such modification or amendment will be communicated to potential bidders through Parity and/or the News Services not later than 1:00 p.m., California time, on the business day preceding the date for receiving bids. Failure of any potential bidder to receive notice of any modification or amendment will not affect the sufficiency of any such notice or the legality of the sale of the Bonds. 183

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9 Postponement or Cancellation of Sale. The Successor Agency may postpone or cancel the sale of the Bonds at or prior to the time for receiving bids. Notice of such postponement or cancellation shall be given through Parity and/or the News Services as soon as practicable following such postponement or cancellation. If a sale is postponed, notice of a new sale date will be given through Parity and/or the News Services as soon as practicable following a postponement and no later than 1:00 p.m., California time, on the business day preceding the new date for receiving bids. Failure of any potential bidder to receive notice of postponement or cancellation will not affect the sufficiency of any such notice.

Prompt Award. The Successor Agency will take official action awarding the Bonds or rejecting all bids with respect to the Bonds not later than 24 hours after the time for receipt of bids for the Bonds, unless such time period is waived by the Purchaser.

CLOSING PROCEDURES AND DOCUMENTS
Delivery and Payment. Delivery of the Bonds will be made through the facilities of DTC in New York, New York, and is presently expected to take place on or about September 30, 2026. Payment for the Bonds (including any premium) must be made at the time of delivery in immediately available funds to the Trustee. Any expense for making payment in immediately available funds shall be borne by the Purchaser. The Successor Agency will deliver to the Purchaser, dated as of the delivery date, the legal opinion with respect to the Bonds described in Appendix B to the Preliminary Official Statement.

Qualification for Sale. The Successor Agency will furnish such information and take such action not inconsistent with law as the Purchaser may request and the Successor Agency may deem necessary or appropriate to qualify the Bonds for offer and sale under the Blue Sky or other securities laws and regulations of such states and other jurisdictions of the United States of America as may be designated by the Purchaser; provided, that the Successor Agency will not execute a general or special consent to service of process or qualify to do business in connection with such qualification or determination in any jurisdiction. By submitting its bid for the Bonds, the Purchaser assumes all responsibility for qualifying the Bonds for offer and sale under the Blue Sky or other securities laws and regulations of the states and jurisdictions in which the Purchaser offers or sells the Bonds, including the payment of fees for such qualification. Under no circumstances may the Bonds be sold or offered for sale or any solicitation of an offer to buy the Bonds be made in any jurisdiction in which such sale, offer or solicitation would be unlawful under the securities laws of the jurisdiction.

No Litigation. Upon delivery of the Bonds, the Successor Agency will deliver a certificate stating that no litigation of any nature is pending, or to the knowledge of the officer of the Successor Agency executing such certificate, threatened, restraining or enjoining the sale, issuance or delivery of the Bonds or any part thereof, or the entering into or performance of any obligation of the Successor Agency, or concerning the validity of the Bonds, the ability of the Successor Agency to levy and collect the special taxes required to pay debt service on the Bonds, the corporate existence of the Successor Agency, or the entitlement of any officers of the Successor Agency who will execute the Bonds to their respective offices.

Right of Cancellation. The Purchaser will have the right, at its option, to cancel this contract for the sale of the Bonds if the Successor Agency fails to execute the Bonds and tender the same for delivery within 30 days from the sale date, and in such event the Purchaser will not be entitled to any damages or other compensation.
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10 CUSIP Numbers. It is anticipated that CUSIP numbers will be printed on the Bonds, but neither the failure to print such numbers on any Bond nor error with respect thereto shall constitute cause for a failure or refusal by the purchaser thereof to accept delivery of and pay for the Bonds in accordance with the terms of the purchase contract. All expenses of printing CUSIP numbers on the Bonds and the CUSIP Service Bureau charge for the assignment of said numbers shall be paid by the successful bidder. The Municipal Advisor shall be responsible for obtaining the CUSIP numbers and providing them to the Successor Agency and the successful bidder.

Expenses of the Successful Bidder. CUSIP Service Bureau charges, California Debt and Investment Advisory Commission fees (under California Government Code Section 8856), The Depository Trust Company charges and all other expenses of the successful bidder will be the responsibility of the successful bidder. Pursuant to Section 8856 of the California Government Code, the Purchaser must pay to the California Debt and Investment Advisory Commission, within 60 days from the sale date, the statutory fee for the Bonds purchased.

Official Statement. Copies of the Preliminary Official Statement with respect to the Bonds will be furnished or electronically transmitted to any potential bidder upon written request to the Municipal Advisor. (The contact information for the Municipal Advisor is set forth above in this Official Notice of Sale.) In accordance with Rule 15c2-12 of the Securities and Exchange Commission (“Rule 15c2-12”), the Successor Agency deems the Preliminary Official Statement final as of its date, except for the omission of certain information permitted by Rule 15c2-12. Within seven business days after the date of award of the Bonds, the Purchaser of the Bonds will be furnished with a reasonable number of copies (not to exceed 50) of the final Official Statement, without charge, for distribution in connection with the resale of the Bonds.

By submitting a bid for the Bonds, the Purchaser of the Bonds agrees: (1) to disseminate to all members of the underwriting syndicate, if any, copies of the final Official Statement, including any supplements, (2) to promptly file a copy of the final Official Statement, including any supplements, with the Municipal Securities Rulemaking Board, and (3) to take any and all other actions necessary to comply with applicable Securities and Exchange Commission and Municipal Securities Rulemaking Board rules governing the sale and delivery of the Bonds by the Purchaser, including, without limitation, the delivery of a final Official Statement, including any supplements, to each investor who purchases Bonds.

The form and content of the final Official Statement is within the sole discretion of the Successor Agency. The name of a Purchaser of the Bonds will not appear on the cover of the final Official Statement.

Certificate Regarding Official Statement. At the time of delivery of the Bonds, the Purchaser will receive a certificate, signed by an authorized representative of the Successor Agency, confirming to the Purchaser that (i) such authorized representative has determined that, to the best of such authorized representative’s knowledge and belief, the final Official Statement (excluding reoffering information, information relating to The Depository Trust Company and its book-entry system, as to which no view will be expressed) did not as of its date, and does not as of the date of closing, contain any untrue statement of a material fact or omit to state a material fact necessary in order to make the statements made therein, in the light of the circumstances under which they were made, not misleading, (ii) such authorized representative knows of no material adverse change in the condition or affairs of the Successor Agency that would make it unreasonable for such Purchaser of the Bonds to rely upon the final Official Statement in connection with the resale of the Bonds, and (iii) the Successor Agency authorizes the Purchaser of the Bonds to distribute copies of the final Official Statement in connection with the resale of the Bonds.
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11 Purchaser Certificate Concerning Official Statement. As a condition of delivery of the Bonds, the Purchaser of the Bonds will be required to execute and deliver to the Successor Agency, prior to the date of closing, a certificate to the following effect:
(i)The Purchaser has provided to the Successor Agency the initial reoffering prices or yields on the Bonds as printed in the final Official Statement, and the Purchaser has made a bona fide offering of the Bonds to the public at the prices and yields so shown.

(ii) The Purchaser has not undertaken any responsibility for the contents of the final Official Statement. The Purchaser, in accordance with and as part of its responsibilities under the federal securities laws, has reviewed the information in the final Official Statement and has not notified the Successor Agency of the need to modify or supplement the final Official Statement.
(iii) The foregoing statements will be true and correct as of the date of closing.

Continuing Disclosure. In order to assist bidders in complying with Rule 15c2-12, the City will undertake, pursuant to a Continuing Disclosure Certificate, to provide certain annual financial information, operating data and notices of the occurrence of certain events. A description of this undertaking is set forth in the Preliminary Official Statement and will also be set forth in the final Official Statement.

The City believes it is in compliance in all material respects with its prior continuing disclosure undertaking. See the Preliminary Official Statement – “CONTINUING DISCLOSURE.” Additional Information. Prospective bidders should read the entire Preliminary Official Statement, copies of which may be obtained in electronic form from the Municipal Advisor.

Sales Outside of the United States. The Purchaser must undertake responsibility for compliance with any laws or regulations of any foreign jurisdiction in connection with any resale of the Bonds to persons outside the United States.

Dated: _____ , 2026.
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12 EXHIBIT A TO OFFICIAL BID FORM
FORM OF REOFFERING PRICE CERTIFICATE*

TO BE DELIVERED IF COMPETITIVE SALE REQUIREMENTS ARE MET (I.E., 3 BIDS FROM

COMPETITIVE PROVIDERS ARE RECEIVED)
$ __________________________________________

SUCCESSOR AGENCY TO THE

INDIAN WELLS REDEVELOPMENT AGENCY

CONSOLIDATED WHITEWATER REDEVELOPMENT PROJECT AREA
TAX ALLOCATION REFUNDING BOND, SERIES 2026A

ISSUE PRICE CERTIFICATE
The undersigned, on behalf of [NAME OF UNDERWRITER] (“[SHORT NAME OF UNDERWRITER]”), hereby certifies as set forth below with respect to the sale of the above- captioned obligations (the “Bonds”).

1. Reasonably Expected Initial Offering Price.
(a) As of the Sale Date, the reasonably expected initial offering prices of the Bonds to the Public by [SHORT NAME OF UNDERWRITER] are the prices listed in Schedule 1 (the “Expected Offering Prices”). The Expected Offering Prices are the prices for the Maturities of the Bonds used by [SHORT NAME OF UNDERWRITER] in formulating its bid to purchase the Bonds. Attached as Schedule 1 is a true and correct copy of the bid provided by [SHORT NAME OF UNDERWRITER] to purchase the Bonds.
(b) [SHORT NAME OF UNDERWRITER] was not given the opportunity to review other bids prior to submitting its bid.
(c) The bid submitted by [SHORT NAME OF UNDERWRITER] constituted a firm offer to purchase the Bonds.

2. Defined Terms.
(a) Maturity means Bonds with the same credit and payment terms. Bonds with different maturity dates, or Bonds with the same maturity date but different stated interest rates, are treated as separate Maturities.
(b) Public means any person (including an individual, trust, estate, partnership, association, company, or corporation) other than an Underwriter or a related party to an Underwriter. The term “related party” for purposes of this certificate generally means any two or more persons who have greater than 50 percent common ownership, directly or indirectly. (c) Sale Date means the first day on which there is a binding contract in writing for the sale of a Maturity of the Bonds. The Sale Date of the Bonds is [DATE]. (d) Underwriter means (i) any person that agrees pursuant to a written contract with the Issuer (or with the lead underwriter to form an underwriting syndicate) to participate in the initial sale of the Bonds to the Public, and (ii) any person that agrees pursuant to a written contract directly or indirectly with a person described in clause (i) of this paragraph to participate in the initial sale of the 187

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13 Bonds to the Public (including a member of a selling group or a party to a retail distribution agreement participating in the initial sale of the Bonds to the Public).

The representations set forth in this certificate are limited to factual matters only. Nothing in this certificate represents [SHORT NAME OF UNDERWRITER]’s interpretation of any laws, including specifically Sections 103 and 148 of the Internal Revenue Code of 1986, as amended, and the Treasury Regulations thereunder. The undersigned understands that the foregoing information will be relied upon by the Issuer with respect to certain of the representations set forth in the Certificate as to Arbitrage and with respect to compliance with the federal income tax rules affecting the Bonds, and by Best Best & Krieger LLP in connection with rendering its opinion that the interest on the Bonds is excluded from gross income for federal income tax purposes, the preparation of the Internal Revenue Service Form 8038-G, and other federal income tax advice that it may give to the Issuer from time to time relating to the Bonds.

Dated: [ISSUE DATE] [UNDERWRITER]
By: ___________________________________
Name and Title
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14 SCHEDULE 1

EXPECTED OFFERING PRICES
Maturity
Dates
(September 1)
Principal
Amount
Interest
Rate
Offering Price
or Yield

* Subject to adjustment in accordance with the Official Notice of Sale. † To be completed by Purchaser.
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Indian Wells City CouncilSeptember 3, 2026

Indian Wells City Council
September 3, 2026