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Agenda packet, regular meeting

Palm Desert City Council
August 24, 2023

Document
Agenda packet, regular meeting
Meeting
August 24, 2023
Body
Palm Desert City Council
Pages
851
Original file
98.0 MB
Text extracted from the city's file for reading and search. Open the original on pub-palmdesert.escribemeetings.com. That file is the official record.

Palm Desert Redistricting 2023 Public Education and Outreach Plan City of Palm Desert Page 2
Citywide Mailer
The City will issue a standalone, bilingual (English/Spanish) Citywide mailer informing residents that the City is redistricting to establish five (5) single-member districts, including hearing dates, information on how to participate, and to learn more by accessing the redistricting website. In addition, the City will feature articles in its digital and hardcopy newsletter, the Brightside.

Good Government, Civil Rights, Civic Engagement, and Community Groups On August 8, 2023, the City shared this draft Public Education and Engagement Plan with the American Civil Liberties Union (ACLU) of Southern California for their consideration and feedback. On August 9, 2023, the City posted this draft plan on its website for a 14-day public review and comment period.

In the coming weeks, the City, utilizing the services of Tripepi Smith, will make a diligent effort to identify any additional Good Government, Civil Rights, and other such groups active in Palm Desert. Once known, the City will conduct stakeholder emails/calls – announcing the launch of the process and the schedule of meetings, and another round promoting public feedback prior to the selection of a final map.

In addition, the City will reach out to known civic/community groups such as Palm Desert Rotary, Soroptimist Palm Desert, Palm Desert Chamber of Commerce, and Neighbors Together, to offer presentations to their members regarding the redistricting process and how to participate.

Dedicated Standalone Website
The City will establish a dedicated, bilingual (English/Spanish) standalone website for this redistricting effort and shall maintain the website for a period of 10 years. The City’s main website homepage shall include a prominent link to the redistricting website.

The website will include the following:
• A general explanation of the redistricting process.
• An explanation of the procedures for a member of the public to provide in-person or remote public comment during a public hearing or to submit written public comment or a draft map to the City, either in a paper or electronic format, for consideration at a future public hearing. • A schedule of all workshop and public hearing dates.
• A notice of the applicable languages in which the local jurisdiction will provide live translation of a workshop or public hearing upon request and instructions for making such a request. • Instructions and a method for a person to sign up to receive regular notices regarding redistricting, including notices of upcoming workshops or public hearings.
• The notice and agenda for each workshop and public hearing. • The recording or written summary of each workshop and public hearing. • Each draft map considered by the City Council at a public hearing. • Each written public comment submitted to the local jurisdiction. • The existing map of election district boundaries prior to redistricting. • The adopted final map of election district boundaries after redistricting.

Interested Parties List
The City will maintain a list of residents and organizations who request to receive notification regarding notices of all future project hearings or meetings and other project-related messaging that is sent by the City.

Coordination With Other Jurisdictions
The City is not aware of any overlapping or nearby jurisdictions currently redistricting.

Page 697 of 851 ends

Palm Desert Redistricting 2023 Public Education and Outreach Plan City of Palm Desert Page 3

SCHEDULE OF PUBLIC HEARINGS, COMMUNITY WORKSHOPS, AND MAP-DRAWING WORKSHOPS Wed., Sept. 6, 2023, at 6:00 pm Community Workshop #1 Civic Center/Zoom Hybrid Pre-Map Workshop to share information on the redistricting process, how to provide public comment, and how to submit a proposed map for consideration.

Spanish & ASL interpreters will be on-site. Spanish interpreter & captioning will be available via Zoom Thurs., Sept. 14, 2023, at 4:30 pm Public Hearing #1 Council Chamber/Zoom Hybrid Public Hearing to inform the City Council and public about the redistricting process, how to provide public comment; how to submit a map for consideration; solicit public comment.

Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Thurs., Sept. 28, 2023, at 4:30 pm Public Hearing #2 Council Chamber/Zoom Hybrid Presentation of demographer’s and early public submitted maps; how to provide public comment; how to submit a map for consideration; solicit public comment.

Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Friday, September 29, 2023 Community Map Drawing Opens
The demographer’s online and paper map drawing tools will be available for the public to draft and submit their own maps for consideration
Wed., Oct. 4, 2023, at 5:00 pm Map Drawing Workshop #1 Zoom The demographer will demonstrate how to use the online mapping tool and submit a map for consideration.

This session will be recorded and posted to the redistricting website.

Spanish interpreter & captioning will be available via Zoom Mon., Oct. 16, 2023, at 5:00 pm Map Drawing Workshop #2 Zoom The demographer will demonstrate how to use the online mapping tool and submit a map for consideration.

This session will be recorded and posted to the redistricting website.

Spanish interpreter & captioning will be available via Zoom Wednesday, November 1, 2023 Community Map Drawing Closes Deadline for the submission of community drawn maps for consideration.

Thurs., Nov. 16, 2023, at 4:30 pm Public Hearing #3 Council Chamber/Zoom Hybrid All demographer and community-drawn maps will be presented for City Council consideration; solicit public comment; City Council will be requested to narrow maps to three (3) to five (5) “focus maps.” Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Wed., Nov. 29, 2023, at 6:00 pm Community Workshop #2 Palm Desert iHub (in-person) Presentation of focus maps; solicit public comment/feedback.

Spanish & ASL interpreters will be on-site.

Wed., Dec. 6, 2023, at 6:00 pm Community Workshop #3 Civic Center/Zoom Hybrid Presentation of focus maps; solicit public comment/feedback.

Spanish & ASL interpreters will be on-site. Spanish interpreter & captioning will be available via Zoom Thurs., Dec. 14, 2023, at 4:30 pm Public Hearing #4 Council Chamber/Zoom Hybrid Provide City Council with community feedback gathered at workshops; solicit additional public comment; request that the City Council further narrow down the number of maps.

Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Page 698 of 851 ends

Palm Desert Redistricting 2023 Public Education and Outreach Plan City of Palm Desert Page 4
Thurs., Jan. 11, 2024, at 4:30 pm Public Hearing #5 Council Chamber/Zoom Hybrid Solicit public comment; select a final map and provide direction on any final adjustments.

Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Thurs., Jan. 25, 2024, at 4:30 pm Public Hearing #6 Council Chamber/Zoom Hybrid Solicit public comment; adoption of a final map and introduction of an ordinance enacting five (5) singlemember districts.

Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Thurs., Feb. 15, 2024, at 4:00 pm City Council Meeting Council Chamber/Zoom Hybrid Solicit public comment; adoption of an ordinance enacting five (5) single-member districts; introduction of an ordinance eliminating use of Ranked Choice Voting in future elections.

Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

LOCATIONS ADDRESS CONTACT INFORMATION
Civic Center
Administrative Services Building
73-510 Fred Waring Drive, Palm
Desert, CA 92260
Main: (760) 346-0611
Email: [email protected]
Council Chamber 73-510 Fred Waring Drive,
Palm Desert, CA 92260
Main: (760) 346-0611
Email: [email protected]
Palm Desert iHub 37023 Cook Street, Suite 102
Palm Desert, CA 92211
Main: (760) 346-0611
Email: [email protected]

Page 699 of 851 ends
Page 700 of 851 ends

ATTACHMENT 2
Optional Processes for Establishing District Boundaries (E.C. §23000 et seq.) For the redistricting process, there are several optional methods available for updating district boundaries, including:

1. Council-Driven Process: The City Council can perform all public outreach with City staff and consultants, draw alternative maps, and select the final map, following state law.

2. Advisory Redistricting Commission: The City Council appoints an Advisory Redistricting Commission to perform some community outreach and provide recommendations to the City Council.

A person who is an elected official of the local jurisdiction, or a family member, staff member, or paid campaign staff of an elected official shall not be appointed to the commission (E.C. §23002).

If the City Council pursues the creation of an Advisory Redistricting Commission, staff would be required to return to City Council with a resolution to establish the Advisory Redistricting Commission, which defines membership requirements, the scope and responsibilities of the Commission, and the commissioner selection process.

3. Independent Redistricting Commission: The City Council may establish an Independent Redistricting Committee that has the full and final authority to draw and adopt the new district boundaries. The Independent Redistricting Commission performs all public outreach, with staff and consultant support. The City Council’s role is to fund the process and decided how the Independent Redistricting Committee members are selected; the City Council may not appoint the Independent Redistricting Committee members.

If an Independent Redistricting Commission is established, the City Council has no authority to review, modify, or approve any maps. The Independent Redistricting Commission approves the final district boundary map.

4. Hybrid Redistricting Commission: The City Council may establish a Hybrid Redistricting Commission that provides the City Council with two or more plans from which the City Council selects one map without any changes. The Hybrid Redistricting Committee performs public outreach and draws two or more maps, with City staff and consultant support. The City Council funds the process and decides how the Hybrid Redistricting Committee members are selected; the City Council may not appoint the Hybrid Redistricting Committee members.

Independent and Hybrid Redistricting Commissions have typically been used in very large counties such as Los Angeles, Santa Barbara, and San Diego, as well as in the cities of Long Beach, Oakland, Sacramento, San Diego, San Francisco, and Santa Barbara. One reason these two types of redistricting commissions are generally used in larger cities or counties is because of the challenge of identifying Commissioners that are qualified and meet the State law membership qualifications.

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ATTACHMENT 2
For both Independent and Hybrid Redistricting Commissions, State law establishes an extensive list of qualifications for membership, and there are post-service limitations on a commissioner’s ability to run for local office, serve on a local board or commission, seek City employment, or otherwise contract with the City. While the City may establish stricter requirements for membership on any redistricting commission, the State law limitations on membership generally include the following requirements (E.C. §23003):
 Must be a resident of city.
 The commission shall not be comprised entirely of members who are registered to vote with the same political party preference.
 Cannot be a candidate for or elected to City Council for the past 8 years (applies to the commissioner and their family members) or be a candidate for or elected to public office for 5 years after service (for commissioner).  Cannot have previously held a “disqualifying position” for the past 8 years (for commissioner and their spouse) or past 4 years (for a commissioner’s non-spouse family members), and a “disqualifying position” includes: (a) officer, employee, or consultant for a candidate, campaign committee, or political party; or (b) contributed $500 or more in a year to a Councilmember candidate.  Cannot participate in campaigns for City Council while on the commission.  Cannot be a candidate to serve in a district that was drawn by the commissioner.  Cannot be hired by the City as an employee or “no bid” consultant for 4 years.  Cannot be appointed to any other City board or commission for 2 years.

Process for Appointing Independent or Hybrid Commission Members As mentioned above, the City Council may not appoint the members to either of these two types of redistricting commissions (E.C. 23003[b]). Rather the City Council must select a methodology for how these appointments are made. Two such approaches are described below:

1. An Independent Selection Panel to Make the Appointments: The City Council may appoint an independent selection body, such as a panel of retired judges; and that selection body directly appoints the commissioners after an open selection process. One of the greatest challenges with using an independent appointment selection method is the level of difficulty in identifying a truly impartial independent selection body.

2. A Random Drawing to Make Commission Appointments: After an open application process, an independent selection body reviews the applications and creates a pool of qualified applicants. A subset of applicants is selected at random from that pool. That subset of applicants then selects the remaining commissioners from the applicants still in the qualified pool. This method follows the model of the State Redistricting Commission and is intended to prevent the governing board from influencing who serves on the commission.

Page 702 of 851 ends

Contract No. A45880
1 Revised 07-2023
BBK 72500.00001\32374915.1

CITY OF PALM DESERT

SHORT-FORM SERVICES AGREEMENT
DEMOGRAPHER SERVICES FOR THE PALM DESERT 2023 REDISTRICTING

1. Parties and Date. This Agreement is made and entered into this 1st day of August, 2023, by and between the City of Palm Desert, a municipal corporation organized under the laws of the State of California with its principal place of business at 73-510 Fred Waring Drive, Palm Desert, California 92260-2578, California (“City”) and National Demographics Corporation, a Corporation, with its principal place of business at P.O. Box 5241, Glendale, CA 91221 ("Vendor"). The City and Vendor are sometimes individually referred to herein as "Party" and collectively as "Parties."
The City is a public agency of the State of California and is in need of services for the following project:

Palm Desert 2023 Redistricting Project
(hereinafter referred to as “the Project”).

2. Terms and Conditions. The Parties shall comply with the Terms and Conditions attached hereto as Exhibit “A” and incorporated herein by this reference.

3. Scope of Services; Schedule. The Vendor shall be solely responsible for providing all materials, labor, tools, equipment, water, light, power, transportation, and superintendence of every nature and all other services and all facilities necessary to execute, complete, and deliver the services as particularly described in the Scope of Services (“Services”) attached hereto as Exhibit “B” and incorporated herein by this reference. The Services shall be completed in a timely manner and in accordance with the Schedule of Services set forth in Exhibit “B”.

4. Term. The term of this Agreement shall be from August 1, 2023, to June 30, 2024, unless earlier terminated as provided herein.

5. Compensation. Vendor shall receive compensation for Services rendered under this Agreement at the rates set forth in Exhibit "B" attached hereto and incorporated herein by this reference. The total compensation shall not exceed Sixty Thousand Dollars ($60,000) per fiscal year (“Agreement Price”). Vendor’s invoices shall include a detailed description of the Services performed. Invoices shall be submitted to the City on a monthly basis. The City shall review and pay all non-disputed and approved charges on such invoices in a timely manner. Vendor shall submit its final invoice to the City within thirty (30) days from the last date of Services performed and failure to do so shall result in a waiver of payment from the City.

6. Insurance. In accordance with Exhibit A, Section C of the Terms and Conditions, Vendor shall, at its expense, procure and maintain for the duration of the Agreement such insurance policies as checked below and provide proof of such insurance policies in a form satisfactory to the City.

Commercial General Liability Insurance:
$1,000,000 per occurrence/$2,000,000 aggregate.
$2,000,000 per occurrence/$4,000,000 aggregate.

Automobile Liability:
$1,000,000 combined single limit for bodily injury and property damage.

DocuSign Envelope ID: A0A73479-883E-4A23-A2B9-92A3319D2E49

Page 703 of 851 ends

Contract No. A45880
2 Revised 07-2023
BBK 72500.00001\32374915.1
Workers’ Compensation:

Statutory Limits / Employer’s Liability $1,000,000 per accident or disease and a waiver of subrogation in favor of the City and their respective officers, agents, employees, volunteers, and representatives.

Professional Liability (Errors and Omissions):

Errors & Omissions liability insurance with a limit of not less than $1,000,000 per claim and in the aggregate.
[SIGNATURES ON THE NEXT PAGE]
DocuSign Envelope ID: A0A73479-883E-4A23-A2B9-92A3319D2E49

Page 704 of 851 ends

Contract No. A45880
3 Revised 07-2023
BBK 72500.00001\32374915.1

SIGNATURE PAGE TO SHORT FORM SERVICES AGREEMENT

BY AND BETWEEN THE CITY OF PALM DESERT

AND NATIONAL DEMOGRAPHICS CORPORATION
IN WITNESS WHEREOF, each of the Parties has caused this Agreement to be executed on the day and year first above written.

CITY OF PALM DESERT
By:

L. Todd Hileman
City Manager
Attest:

By:

Anthony J. Mejia
City Clerk
Approved as to form:

By:

Best Best & Krieger LLP
City Attorney

NATIONAL DEMOGRAPHICS

CORPORATION, A CORPORATION
By:

Its:

President
Printed Name:

Douglas Johnson
By:

Its:

Secretary
Printed Name:

Douglas Johnson
QC: MN
Insurance:
_____
Initial Review
_____
Final Approval
DocuSign Envelope ID: A0A73479-883E-4A23-A2B9-92A3319D2E49

Page 705 of 851 ends

Contract No. A45880
Exhibit “A”
Revised 07-2023
BBK 72500.00001\32374915.1
EXHIBIT “A”

TERMS AND CONDITIONS FOR SERVICES

1. Compliance with Law. Vendor shall comply with all applicable laws and regulations of the federal, state and local government.

Vendor certifies that it fully complies with all requirements and restrictions of state and federal law respecting the employment of undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of 1986, as may be amended from time to time. By its signature hereunder, Vendor certifies that it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Workers’ Compensation or to undertake self-insurance in accordance with the provisions of that Code and agrees to comply with such provisions before commencing the performance of the Services. Vendor represents that it is an equal opportunity employer, and it shall not discriminate against any subcontractor, employee or applicant for employment in violation of state or federal law. Vendor is aware of the requirements of California Labor Code Sections 1720 et seq. and 1770 et seq. (“Prevailing Wage Laws”), which require the payment of prevailing wage rates and the performance of other requirements on certain "public works" and "maintenance" projects. If the work is being performed as part of an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, and if the total compensation is $15,000 or more for maintenance or $25,000 or more for construction, alteration, demolition, installation, or repair, Vendor agrees to fully comply with such Prevailing Wage Laws, including, along with subcontractors, being registered with the Department of Industrial Relations (Labor Code §§ 1725.1; 1771.1). It shall be mandatory upon the Vendor and all subcontractors to comply with all California Labor Code provisions, which include but are not limited to prevailing wages (Labor Code §§ 1771; 1774; 1775), employment of apprentices (Labor Code § 1777.5), certified payroll records (Labor Code §§ 1771.4; 1776), hours of labor (Labor Code §§ 1813; 1815) and debarment of contractors and subcontractors (Labor Code § 1777.1). This Agreement may be subject to compliance monitoring and enforcement.

2. Standard of Care. The Vendor shall perform the Services in accordance with generally accepted professional practices and principles and in a manner consistent with the level of care and skill ordinarily exercised by members of the profession practicing under similar conditions.

3. Insurance. If required by Section 6 of this Agreement, the Vendor shall take out and maintain during this Agreement: A. Commercial General Liability Insurance for bodily injury, personal injury and property damage, at least as broad as Insurance Services Office Commercial General Liability coverage (Occurrence Form CG 0001). The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted; B. Automobile Liability Insurance for bodily injury and property damage including coverage for owned, non-owned, rented, and hired vehicles, at least as broad as Insurance Services Office Form Number CA 0001 (ed. 10/13) covering automobile liability, Code 1 (any auto); C. Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance; and if applicable, as determined by the City’s Risk Manager, D. Professional Liability (Errors and Omissions) that covers the Services to be performed in connection with this Agreement.

Any policy inception date, continuity date, or retroactive date must be before the effective date of this agreement and Vendor agrees to maintain continuous coverage through a period no less than three years after completion of the services required by this agreement.

All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City of Palm Desert, and their elected or appointed officers, agents, officials, employees, volunteers, and representatives or shall specifically allow Vendor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Vendor hereby waives its own right of recovery against the City of Palm Desert or their elected or appointed officers, agents, officials, employees, volunteers, and representatives and shall require similar written express waivers and insurance clauses from each of its subcontractors. Workers’ compensation coverage shall have an endorsement in favor of the City of Palm Desert, and their respective officers, agents, employees, volunteers, and representatives. Insurance carriers shall be licensed and authorized to do business in California. Such insurance carrier shall have not less than an "A-:VII" rating according to the latest Best Key Rating unless otherwise approved by City’s Risk Manager. Vendor shall add the City, and their respective officers, officials, employees, agents, volunteers and representatives as additional insureds on Vendor’s Commercial General Liability, Automobile Liability, and if applicable, Pollution Liability and Cyber Liability policies. Coverage provided by Vendor shall be primary and any insurance or self-insurance procured or maintained by the City shall not be required to contribute with it. The City or its Risk Manager reserves the right at any time during the term of the contract to change the amounts and types of insurance (i.e., pollution, cyber, and fidelity coverages) required by giving the Vendor advance written notice of such change. If such change results in substantial additional cost to the Vendor, the City and Vendor may renegotiate Vendor’s compensation. If the City reduces the insurance requirements, the change shall go into effect immediately and require no advanced written notice.

4. Indemnification. To the fullest extent permitted by law, Vendor shall defend (with counsel of City’s choosing), indemnify and hold the City, and their respective officials, officers, employees, volunteers, agents and representatives free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death (collectively, “Claims”), in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Vendor, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Vendor’s Services, the project, or this Agreement, including without limitation the payment of all expert witness fees, attorney’s fees and other related costs and expenses except such loss or damage caused by the sole negligence or willful misconduct of the City. Vendor’s obligation to indemnify shall survive expiration or termination of this Agreement and shall not be restricted to insurance proceeds, if any, received by Consultant or the City, or their respective officials, officers, employees, agents, volunteers or representatives. If Vendor’s obligation to defend, indemnify, and/or hold harmless arises out of Vendor’s performance as a “design professional” (as that term is defined under Civil Code § 2782.8), then, and only to the extent required by Civil Code § 2782.8, which is fully incorporated herein, Vendor’s indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Vendor, and, upon Vendor obtaining a final adjudication by a court of competent jurisdiction, Vendor’s liability for such claim, including the cost to defend, shall not exceed the Vendor’s proportionate percentage of fault.

5. Laws; Venue. This Agreement shall be interpreted in accordance with the laws of the State of California. If any action is brought to interpret or enforce any term of this Agreement, the action shall be brought in a state or federal court situated in the County of Riverside, State of California.

6. Termination. The City may terminate the whole or any part of this Agreement for any or no reason by giving three (3) calendar days written notice to Vendor. In such event, the City shall be immediately given title and possession to all original field notes, drawings and specifications, written reports and other documents produced or developed for the work. The City shall pay Vendor the reasonable value as determined by the City of any portion of the Services completed prior to termination. The City shall not be liable for any costs DocuSign Envelope ID: A0A73479-883E-4A23-A2B9-92A3319D2E49

Page 706 of 851 ends

Contract No. A45880
Exhibit “A”
Revised 07-2023
BBK 72500.00001\32374915.1
other than the charges or portions thereof which are specified herein. Vendor shall not be entitled to payment for unperformed Services and shall not be entitled to damages or compensation for termination of the Services. Vendor may terminate its obligation to provide further work under this Agreement upon thirty (30) calendar day’s written notice to the City only in the event of the City’s failure to perform in accordance with the terms of this Agreement through no fault of Vendor.

7. Changes. By written notice, the City may from time to time, make changes to the Services furnished to the City by Vendor. If such change causes an increase or decrease in the Agreement Price or in the time required for performance, Vendor or the City shall promptly notify the other party thereof and assert its claim for adjustment within fifteen (15) days after the change is ordered, and an equitable adjustment shall be made. However, nothing in this clause shall excuse the Vendor from proceeding immediately with the Agreement as changed.

8. Miscellaneous Terms. Vendor shall not assign, sublet, or transfer this Agreement or any rights under or interest in this Agreement without the written consent of the City. This Agreement may not be modified or altered except in writing signed by the Parties. There are no intended third-party beneficiaries of any right or obligation of the Parties. This is an integrated Agreement representing the entire understanding of the Parties as to those matters contained herein and supersedes and cancels any prior oral or written understanding or representations with respect to matters covered hereunder. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. The captions of the various paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement. The unenforceability, invalidity, or illegality of any provision(s) of this Agreement shall not render the other provisions unenforceable, invalid, or illegal. Notice may be given or delivered by depositing the same in any United States Post Office, certified mail, return receipt requested, postage prepaid, addressed to the Parties to the addresses set forth in this Agreement. Vendor is retained as an independent contractor and is not an employee of the City. No employee or agent of Vendor shall become an employee of the City. Vendor warrants that the individual who has signed this Agreement has the legal power, right, and authority to make this Agreement and bind the Vendor hereto.

DocuSign Envelope ID: A0A73479-883E-4A23-A2B9-92A3319D2E49

Page 707 of 851 ends

Contract No. A45880
Exhibit “B”
Revised 07-2023
BBK 72500.00001\32374915.1
EXHIBIT “B”
SCOPE OF SERVICES; SCHEDULE OF SERVICES
DocuSign Envelope ID: A0A73479-883E-4A23-A2B9-92A3319D2E49

Page 708 of 851 ends

Contract No. A45880
Exhibit “B”
Revised 07-2023
BBK 72500.00001\32374915.1
DocuSign Envelope ID: A0A73479-883E-4A23-A2B9-92A3319D2E49

Page 709 of 851 ends

Contract No. A45880
Exhibit “B”
Revised 07-2023
BBK 72500.00001\32374915.1
DocuSign Envelope ID: A0A73479-883E-4A23-A2B9-92A3319D2E49

Page 710 of 851 ends

Contract No. ___________
1 Revised 07-2023
BBK 72500.00001\32374915.1

CITY OF PALM DESERT

SHORT-FORM SERVICES AGREEMENT
PALM DESERT 2023 REDISTRICTING OUTREACH

AND ENGAGEMENT SERVICES

1. Parties and Date. This Agreement is made and entered into this 2nd day of August, 2023, by and between the City of Palm Desert, a municipal corporation organized under the laws of the State of California with its principal place of business at 73-510 Fred Waring Drive, Palm Desert, California 92260-2578, California (“City”) and Tripepi Smith, an S Corporation, with its principal place of business at P.O. Box 52152, Irvine, CA 92619 ("Vendor"). The City and Vendor are sometimes individually referred to herein as "Party" and collectively as "Parties." The City is a public agency of the State of California and is in need of services for the following project:

Palm Desert 2023 Redistricting Outreach and Engagement Services (hereinafter referred to as “the Project”).

2. Terms and Conditions. The Parties shall comply with the Terms and Conditions attached hereto as Exhibit “A” and incorporated herein by this reference.

3. Scope of Services; Schedule. The Vendor shall be solely responsible for providing all materials, labor, tools, equipment, water, light, power, transportation, and superintendence of every nature and all other services and all facilities necessary to execute, complete, and deliver the services as particularly described in the Scope of Services (“Services”) attached hereto as Exhibit “B” and incorporated herein by this reference. The Services shall be completed in a timely manner and in accordance with the Schedule of Services set forth in Exhibit “B”.

4. Term. The term of this Agreement shall be from August 2, 2023, to June 30, 2024, unless earlier terminated as provided herein.

5. Compensation. Vendor shall receive compensation for Services rendered under this Agreement at the rates and fees set forth in Exhibit "C" attached hereto and incorporated herein by this reference. The total compensation shall not exceed Sixty Thousand Dollars ($60,000) per fiscal year (“Agreement Price”). Vendor’s invoices shall include a detailed description of the Services performed. Invoices shall be submitted to the City on a monthly basis. The City shall review and pay all non-disputed and approved charges on such invoices in a timely manner.

Vendor shall submit its final invoice to the City within thirty (30) days from the last date of Services performed and failure to do so shall result in a waiver of payment from the City.

6. Insurance. In accordance with Exhibit A, Section C of the Terms and Conditions, Vendor shall, at its expense, procure and maintain for the duration of the Agreement such insurance policies as checked below and provide proof of such insurance policies in a form satisfactory to the City.

Commercial General Liability Insurance:
$1,000,000 per occurrence/$2,000,000 aggregate.
$2,000,000 per occurrence/$4,000,000 aggregate.

Automobile Liability:
$1,000,000 combined single limit for bodily injury and property damage.

Page 711 of 851 ends

Contract No. ___________
2 Revised 07-2023
BBK 72500.00001\32374915.1
Workers’ Compensation:

Statutory Limits / Employer’s Liability $1,000,000 per accident or disease and a waiver of subrogation in favor of the City and their respective officers, agents, employees, volunteers, and representatives.

Professional Liability (Errors and Omissions):

Errors & Omissions liability insurance with a limit of not less than $1,000,000 per claim and in the aggregate.

SIGNATURES TO SHORT FORM SERVICES AGREEMENT

BY AND BETWEEN THE CITY OF PALM DESERT AND TRIPEPI SMITH IN WITNESS WHEREOF, each of the Parties has caused this Agreement to be executed on the day and year first above written.

CITY OF PALM DESERT
By:

Todd Hileman
City Manager
Attest:

By:

Anthony J. Mejia
City Clerk
Approved as to form:

By:

Best Best & Krieger LLP
City Attorney

TRIPEPI SMITH, AN S CORPORATION
By:

Its:

President
Printed Name:

Ryder Todd Smith
By:

Its:

Printed Name:

QC: _____
Insurance:
_____
Initial Review
_____
Final Approval

Page 712 of 851 ends

Contract No. ___________
Exhibit “A”
Revised 07-2023
BBK 72500.00001\32374915.1
EXHIBIT “A”

TERMS AND CONDITIONS FOR SERVICES

1. Compliance with Law. Vendor shall comply with all applicable laws and regulations of the federal, state and local government.

Vendor certifies that it fully complies with all requirements and restrictions of state and federal law respecting the employment of undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of 1986, as may be amended from time to time. By its signature hereunder, Vendor certifies that it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Workers’ Compensation or to undertake self-insurance in accordance with the provisions of that Code and agrees to comply with such provisions before commencing the performance of the Services. Vendor represents that it is an equal opportunity employer, and it shall not discriminate against any subcontractor, employee or applicant for employment in violation of state or federal law. Vendor is aware of the requirements of California Labor Code Sections 1720 et seq. and 1770 et seq. (“Prevailing Wage Laws”), which require the payment of prevailing wage rates and the performance of other requirements on certain "public works" and "maintenance" projects. If the work is being performed as part of an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, and if the total compensation is $15,000 or more for maintenance or $25,000 or more for construction, alteration, demolition, installation, or repair, Vendor agrees to fully comply with such Prevailing Wage Laws, including, along with subcontractors, being registered with the Department of Industrial Relations (Labor Code §§ 1725.1; 1771.1). It shall be mandatory upon the Vendor and all subcontractors to comply with all California Labor Code provisions, which include but are not limited to prevailing wages (Labor Code §§ 1771; 1774; 1775), employment of apprentices (Labor Code § 1777.5), certified payroll records (Labor Code §§ 1771.4; 1776), hours of labor (Labor Code §§ 1813; 1815) and debarment of contractors and subcontractors (Labor Code § 1777.1). This Agreement may be subject to compliance monitoring and enforcement.

2. Standard of Care. The Vendor shall perform the Services in accordance with generally accepted professional practices and principles and in a manner consistent with the level of care and skill ordinarily exercised by members of the profession practicing under similar conditions.

3. Insurance. If required by Section 6 of this Agreement, the Vendor shall take out and maintain during this Agreement: A. Commercial General Liability Insurance for bodily injury, personal injury and property damage, at least as broad as Insurance Services Office Commercial General Liability coverage (Occurrence Form CG 0001). The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted; B. Automobile Liability Insurance for bodily injury and property damage including coverage for owned, non-owned, rented, and hired vehicles, at least as broad as Insurance Services Office Form Number CA 0001 (ed. 10/13) covering automobile liability, Code 1 (any auto); C. Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance; and if applicable, as determined by the City’s Risk Manager, D. Professional Liability (Errors and Omissions) that covers the Services to be performed in connection with this Agreement.

Any policy inception date, continuity date, or retroactive date must be before the effective date of this agreement and Vendor agrees to maintain continuous coverage through a period no less than three years after completion of the services required by this agreement.

All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City of Palm Desert, and their elected or appointed officers, agents, officials, employees, volunteers, and representatives or shall specifically allow Vendor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Vendor hereby waives its own right of recovery against the City of Palm Desert or their elected or appointed officers, agents, officials, employees, volunteers, and representatives and shall require similar written express waivers and insurance clauses from each of its subcontractors. Workers’ compensation coverage shall have an endorsement in favor of the City of Palm Desert, and their respective officers, agents, employees, volunteers, and representatives. Insurance carriers shall be licensed and authorized to do business in California. Such insurance carrier shall have not less than an "A-:VII" rating according to the latest Best Key Rating unless otherwise approved by City’s Risk Manager. Vendor shall add the City, and their respective officers, officials, employees, agents, volunteers and representatives as additional insureds on Vendor’s Commercial General Liability, Automobile Liability, and if applicable, Pollution Liability and Cyber Liability policies. Coverage provided by Vendor shall be primary and any insurance or self-insurance procured or maintained by the City shall not be required to contribute with it. The City or its Risk Manager reserves the right at any time during the term of the contract to change the amounts and types of insurance (i.e., pollution, cyber, and fidelity coverages) required by giving the Vendor advance written notice of such change. If such change results in substantial additional cost to the Vendor, the City and Vendor may renegotiate Vendor’s compensation. If the City reduces the insurance requirements, the change shall go into effect immediately and require no advanced written notice.

4. Indemnification. To the fullest extent permitted by law, Vendor shall defend (with counsel of City’s choosing), indemnify and hold the City, and their respective officials, officers, employees, volunteers, agents and representatives free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death (collectively, “Claims”), in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Vendor, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Vendor’s Services, the project, or this Agreement, including without limitation the payment of all expert witness fees, attorney’s fees and other related costs and expenses except such loss or damage caused by the sole negligence or willful misconduct of the City. Vendor’s obligation to indemnify shall survive expiration or termination of this Agreement and shall not be restricted to insurance proceeds, if any, received by Consultant or the City, or their respective officials, officers, employees, agents, volunteers or representatives. If Vendor’s obligation to defend, indemnify, and/or hold harmless arises out of Vendor’s performance as a “design professional” (as that term is defined under Civil Code § 2782.8), then, and only to the extent required by Civil Code § 2782.8, which is fully incorporated herein, Vendor’s indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Vendor, and, upon Vendor obtaining a final adjudication by a court of competent jurisdiction, Vendor’s liability for such claim, including the cost to defend, shall not exceed the Vendor’s proportionate percentage of fault.

5. Laws; Venue. This Agreement shall be interpreted in accordance with the laws of the State of California. If any action is brought to interpret or enforce any term of this Agreement, the action shall be brought in a state or federal court situated in the County of Riverside, State of California.

6. Termination. The City may terminate the whole or any part of this Agreement for any or no reason by giving three (3) calendar days written notice to Vendor. In such event, the City shall be immediately given title and possession to all original field notes, drawings and specifications, written reports and other documents produced or developed for the work. The City shall pay Vendor the reasonable value as determined by the City of any portion of the Services completed prior to termination. The City shall not be liable for any costs

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Contract No. ___________
Exhibit “A”
Revised 07-2023
BBK 72500.00001\32374915.1
other than the charges or portions thereof which are specified herein. Vendor shall not be entitled to payment for unperformed Services and shall not be entitled to damages or compensation for termination of the Services. Vendor may terminate its obligation to provide further work under this Agreement upon thirty (30) calendar day’s written notice to the City only in the event of the City’s failure to perform in accordance with the terms of this Agreement through no fault of Vendor.

7. Changes. By written notice, the City may from time to time, make changes to the Services furnished to the City by Vendor. If such change causes an increase or decrease in the Agreement Price or in the time required for performance, Vendor or the City shall promptly notify the other party thereof and assert its claim for adjustment within fifteen (15) days after the change is ordered, and an equitable adjustment shall be made. However, nothing in this clause shall excuse the Vendor from proceeding immediately with the Agreement as changed.

8. Miscellaneous Terms. Vendor shall not assign, sublet, or transfer this Agreement or any rights under or interest in this Agreement without the written consent of the City. This Agreement may not be modified or altered except in writing signed by the Parties. There are no intended third-party beneficiaries of any right or obligation of the Parties. This is an integrated Agreement representing the entire understanding of the Parties as to those matters contained herein and supersedes and cancels any prior oral or written understanding or representations with respect to matters covered hereunder. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. The captions of the various paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement. The unenforceability, invalidity, or illegality of any provision(s) of this Agreement shall not render the other provisions unenforceable, invalid, or illegal. Notice may be given or delivered by depositing the same in any United States Post Office, certified mail, return receipt requested, postage prepaid, addressed to the Parties to the addresses set forth in this Agreement. Vendor is retained as an independent contractor and is not an employee of the City. No employee or agent of Vendor shall become an employee of the City. Vendor warrants that the individual who has signed this Agreement has the legal power, right, and authority to make this Agreement and bind the Vendor hereto.

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Contract No. ___________
Exhibit “B”
Revised 07-2023
BBK 72500.00001\32374915.1
EXHIBIT “B”
SCOPE OF SERVICES; SCHEDULE OF SERVICES
Project Team
• Jennifer Nentwig, Principal: Project oversight, handle major presentations, and provide strategic guidance.
• Melanie Moore, Business Analyst: Project manager, review agendas, and provide quality control.
• Mackenna Morrice, Junior Business Analyst: Additional project management support and lead content development.
• Kjerstin Wingert, Senior Graphic Artist: Execution of design and print. • Audrin Baghaie, Junior Business Analyst: Engineer virtual meetings and produce meeting recordings.

Tripepi Smith may adjust the staffing of the team to meet the needs of the City and will do so in collaboration with City Staff.

For video work, printing, niche website development needs or mailing, we sometimes use subcontractors to supplement our services. These engagements are often determined at the time of the need, so it is difficult to predict which subcontractors would work on your project. Firms or people that we routinely subcontract with include:
• InfoSend – Print and Mail House Services
• DLS Printer Services – High-end Printing for Collateral • Emily Baker – Voiceover Work
Proposed Scope of Services:

Tripepi Smith is available to perform the work outlined below, to the extent that the not to exceed amount allows:

Project Management
Tripepi Smith will facilitate all project calls for this engagement and create a living agenda to manage the efforts and timing between the demographer, legal counsel, City and Tripepi Smith.

After the initial set-up, these meetings will be biweekly from (tentatively) September 2023 through January 2024, from the beginning of the outreach process to the adoption of a selected map. The phone calls will typically last up to an hour and will have a detailed agenda and notes. After each call, Tripepi Smith will send a summary email about decisions made on the phone call and related action steps for all involved parties. Call content will focus on action steps, timeline, coordination with City staff and verifications of action steps with the legal and demographic experts.

Graphic Design Support
Tripepi Smith will provide graphic design support by creating a flyer and assisting with graphic design of PowerPoints upon request.

Social Media Support
Tripepi Smith will create copy and graphics for social media posts about the districting process.

We will set up boosted posts (paid advertising) on Facebook and Instagram to help spread the word about meetings and solicit public commentary. If the City is not currently authorized to run

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Contract No. ___________
Exhibit “B”
Revised 07-2023
BBK 72500.00001\32374915.1
“political” advertising on Meta platforms, Tripepi Smith will assist the City with getting the required authorization through our ad hoc support.

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Contract No. ___________
Exhibit “B”
Revised 07-2023
BBK 72500.00001\32374915.1
Creation and Updates to Dedicated Districting Website
Tripepi Smith can create a districting website in coordination with the demographer. Tripepi Smith uses WordPress to create dedicated standalone districting websites, and we can host the districting website for the legally required 10 years. (Hosting fee would be $610/year following the initial year.)
Press Release/News Article for Website
Tripepi Smith will draft press releases throughout the project to ensure local media aids our efforts to reach City residents. Tripepi Smith will identify media contacts, collaborate with City staff to further expand the media list, and ensure we reach diverse media. For key media, Tripepi Smith will follow up with phone calls. We foresee the following possible press releases: (1) announcement of districting kickoff and process schedule announcement, and (2) announcement on the adoption of new district lines.

Community/Civic Group Outreach List Research and Development Tripepi Smith will work with the City to develop a robust stakeholder list and engagement database. If an existing community outreach contact list is available, Tripepi Smith will start with such a list and expand the list based upon our districting outreach involving local community groups - good government, civil rights, civic engagement and language minority groups.

Animated Explainer Video
Tripepi Smith can develop a user-friendly, visually appealing animated explainer video to explain the district formation process and encourage public participation. The video would be customized with language and elements for the City of Palm Desert. We will add captions in English and subtitles in Spanish.

Outreach Emails/Calls
Tripepi Smith can conduct stakeholder emails/calls –announcing the launch of the process and the schedule of meetings/workshops, and another round promoting public feedback prior to the selection of a district map. We would then keep a detailed record of emails and calls made to each stakeholder.

Printing and Mailing
Sending a postcard to every member of the community can be expensive, but it ensures that everyone – even those without social media or Internet access – is able to have a chance to learn about the district formation process. To that end, Tripepi Smith has experience creating mailers to reach each household in a community. Based upon our team’s previous experience developing and coordinating the printing of mailers for Palm Desert, the cost would be approximately $25,000 for a mailer plus about $5,000 in design, translation, and project management fees.

Whatever mailer is sent would include reference to non-English language options and appropriate website URL’s to find information in Spanish.

Advertising
Tripepi Smith can manage a significant advertising campaign to drive community interest in the district formation process. We generally place an emphasis first on leveraging existing City platforms such as the City’s newsletters, website and social media channels to ensure we are being cost-effective with outreach. Second, we prefer to use digital advertising to target people who are actually in Palm Desert. Third, there are likely target rich local ethnic media outlets we can leverage to advertise in that are relatively cost effective, so it would be wise to collaborate with the City to identify those specific publications and work with those publications to connect with their unique audiences.

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Contract No. ___________
Exhibit “B”
Revised 07-2023
BBK 72500.00001\32374915.1
In prior outreach work, Tripepi Smith has focused on these types of paid advertising: local papers, radio, Spotify and Pandora geo-targeted placements, Google geo-targeted display advertising, YouTube geo-targeted video advertising, Facebook and Instagram boosted posts with geotargets, smaller local billboards, and signage on local bus routes in buses or on benches.

Digital advertising would also provide an opportunity to do language targeted advertising so Spanish-speakers are seeing Spanish ads, for example.

Tripepi Smith generally encourages client cities to pay for these costs directly, but Tripepi Smith can pay for these costs and apply a 10% management fee.

Some advertising would require our video and graphic design services, and we can make those available through our ad hoc rates to support the creative development of the ads.

End of Engagement Outreach Report
Tripepi Smith can develop a 10-page summary report near the conclusion of the project and concurrent with the final two public hearings that summarize all the efforts made by the City to connect with residents and seeking their input. The work report would demonstrate both the inperson and digital efforts to connect with residents and denote a clear timeline for that engagement. Metrics such as website traffic, social media reach, workshop attendance and more would be summarized in the report. A draft report would be presented to City Staff for their feedback prior to making the report final.

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Contract No. ___________
Exhibit “C”
Revised 07-2023
BBK 72500.00001\32374915.1
EXHIBIT “C”

COMPENSATION
Time and Materials Engagement
Given the high variability of the type of engagement that may be needed by Tripepi Smith, we could engage with the City on a pure time and materials basis. Tripepi Smith will provide monthly updates on the budget use and how it is being spent depending on the nature of the engagement or project.

Note that given the preliminary analysis required to determine the extent of the districting outreach needs, our minimum engagement for time and materials approach is $5,000. We will bill that initial amount at the kickoff of the project and then credit that amount toward any hourly work for the initial $5,000 in billings. This model addresses the overhead costs related to startup, preparation and initial project management related to redistricting efforts.

During the time and materials engagement, rates and fees outlined in the Ad Hoc section below would apply.

Time at Tripepi Smith is billed in 15-minute increments. See the following examples for how we invoice our time: 1.25, .75, 4 or 6.5 hours.

If Tripepi Smith is requested to be onsite for work that is billable on an ad hoc basis, we will invoice for travel time at half-rate of the resource’s Standard Rate when work is being performed on an ad hoc basis.

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Contract No. ___________
Exhibit “C”
Revised 07-2023
BBK 72500.00001\32374915.1
Sometimes, we have a resource who work across categories of skills. For example, we may have a videographer who operates a drone. When that person is doing the category of skill, that skill rate will apply. In this example, a videographer flying a drone is billed at the drone operator rate.

Other Fees
Because Tripepi Smith offers a broad set of services, including extensive content production, we have some other content production-related fees that may come up during the course of our engagement that you should be aware of.

Website Development/Hosting Fees
Should the City choose to have Tripepi Smith develop a dedicated website (separate from the City's website), there is a one-time fee of $4,610 to develop and launch the site. Subsequent work to post updated content over the course of the project will be billed on a Time and Materials basis.

There is an annual $610 website hosting fee, beginning in 2024. The City shall prepay this amount from 2024 up until the 2034 Census redistricting round. This amount will be invoiced on the final Tripepi Smith invoice of this engagement.

Equipment Fees
Tripepi Smith offers some services that require equipment, such as drone operations and video production. As such, in those cases, the following rates apply:
• $550 for a full day of video equipment use (includes full set of video equipment). Full day is defined as a shoot lasting more than four hours.
• $350 for a half day of video equipment use. Half day is defined as anything up to four hours of video production. All such expenses will be authorized by the organization prior to fee being assessed.
• $500/day drone fee applies and is not inclusive of the drone operator time (drone operator rate).

Larger production projects may require additional fees for extensive equipment needs, multiple cameras, live switchboards and more. These fees will be discussed prior to being incurred with the City.

Printing Fees
Tripepi Smith is happy to use a printer of the client’s choosing for print production work, or to recommend a printer with whom we have experience. Tripepi Smith typically has the printer bill the client directly for work. Tripepi Smith makes no money on print services and has no economic interest in the selected print vendor other than ensuring quality and fair pricing for our clients. If Tripepi Smith is asked to pay the bill for the client, we will apply a 10% agency fee to the reimbursement expense.

Digital Advertising Fees
Tripepi Smith is a Google Partner and Constant Contact Solution Provider and has Facebook Certified staff. We consider digital platforms to be a cornerstone element of any outreach strategy; often this comes with digital advertising fees. Tripepi Smith typically uses a client’s credit card to cover such fees, and those fees are impossible to estimate at this time without our firm being engaged in the work with the team. If a Tripepi Smith credit card is used to run the advertising campaign, then we will charge an additional 10% agency fee on all advertising charges to compensate for the administrative overhead.

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CITY OF PALM DESERT
CITY CLERK’S OFFICE

MEMORANDUM
To: Honorable Mayor and City Council
From: Anthony J. Mejia, City Clerk
Date: August 23, 2023
Subject: Palm Desert Redistricting 2023: Public Education and Outreach Plan – Revised Draft As noted in the staff report, Assembly Bill 764 (Bryan): Local Redistricting is circulating through the legislature and appears to be moving forward to adoption. After the posting of the agenda, City staff became aware that the legislature amended AB 764 to require local jurisdictions to conduct two pre-map and three post-map public hearings. City staff has updated the draft Public Education and Outreach Plan to comply with these new requirements.

The revised draft Plan is enclosed with this memo in redline format and the PowerPoint presentation also highlights the proposed changes.

Enclosure:
· Public Education and Outreach Plan – Revised Draft
· PowerPoint Presentation

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Public Education & Outreach Plan

PALM DESERT
REDISTRICTING 2023

REVISED DRAFT

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Palm Desert Redistricting 2023 Public Education and Outreach Plan City of Palm Desert Page 1

PUBLIC EDUCATION AND OUTREACH PLAN
In accordance with Assembly Bill 764, this Public Education and Outreach Plan is organized to address the provisions of Election Code 21160:

Financial Resources
The City has executed agreements with: 1) National Demographic Corporation to serve as the City’s demographer in an amount not to exceed $60,000, 2) Tripepi Smith to provide outreach and engagement services in an amount not to exceed $60,000, of which $40,000 is budgeted for direct services and $20,000 for advertising, 3) Professional Interpreting to provide on-call Spanish-language document translation and interpreter services in an amount not to exceed $5,000; and 4) CASL Interpreting for on-call American Sign Language interpreter services in an amount not to exceed $5,000. In addition, the City has allocated $25,000 (estimate) for a Citywide English/Spanish mailer to inform residents about the redistricting process. Total financial resources allocated: $155,000.

Key Personnel
The City Clerk has been designated to serve as the primary staff resource and key contact for resident inquires related to redistricting. Other key personnel include William Priest, of Best, Best & Krieger, serving as legal counsel for redistricting/election-related matters; Doug Johnson and Shalice Tilton, of National Demographic Corporation, serving as the City’s demographer; and Jennifer Nentwig and Melanie Moore, of Tripepi Smith, serving as consultants for public education and engagement efforts.

Local Media
The City will issue at least two (2) press releases to each of the identified media organizations below to ensure local media aids our efforts to reach residents. The City will identify media, including those that serve language minority communities, to ensure that we reach diverse media. It is anticipated the first press release will announce the redistricting kickoff and schedule and the second press release will announce the adoption of final map. • Known Local Media:
o English: The Desert Sun, KESQ, NBC Palm Springs, K-NEWS/Alpha Media, iHub Radio, Desert Entertainer, Palm Springs Life, CV News Desk, and Coachella Valley Independent o Spanish: La Prensa Hispana, El Informador del Valle, Televisa Univision, and Telemundo Palm Springs • Good faith efforts will be made to identify additional local media organizations, including those that serve language minority communities.

Social Media
The City will utilize both social media and paid boosted advertising on social media platforms on a regular basis to reach residents including Facebook, Twitter, Instagram, Google Display Ads, and YouTube Ads.

Legal Notices
The City will post or publish public hearing notices on the project website, at locations where the City Council agenda is posted, and in the Desert Sun and La Prensa Hispana.

Radio Advertising
The City will utilize paid radio advertising on top-performing English and Spanish radio stations which serve the greater Palm Desert area:
• English – Alpha Media (Mix 100.5, K-NEWS 104.7)
• Spanish – La Ponderosa 96.7, La Suavecita 94.7
• Bilingual – Spotify & Pandora (geo-targeted placements)

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Palm Desert Redistricting 2023 Public Education and Outreach Plan City of Palm Desert Page 2
Citywide Mailer
The City will issue a standalone, bilingual (English/Spanish) Citywide mailer informing residents that the City is redistricting to establish five (5) single-member districts, including hearing dates, information on how to participate, and to learn more by accessing the redistricting website. In addition, the City will feature articles in its digital and hardcopy newsletter, the Brightside.

Good Government, Civil Rights, Civic Engagement, and Community Groups On August 8, 2023, the City shared this draft Public Education and Engagement Plan with the American Civil Liberties Union (ACLU) of Southern California for their consideration and feedback. On August 9, 2023, the City posted this draft plan on its website for a 14-day public review and comment period.

In the coming weeks, the City, utilizing the services of Tripepi Smith, will make a diligent effort to identify any additional Good Government, Civil Rights, and other such groups active in Palm Desert. Once known, the City will conduct stakeholder emails/calls – announcing the launch of the process and the schedule of meetings, and another round promoting public feedback prior to the selection of a final map.

In addition, the City will reach out to known civic/community groups such as Palm Desert Rotary, Soroptimist Palm Desert, Palm Desert Chamber of Commerce, and Neighbors Together, to offer presentations to their members regarding the redistricting process and how to participate.

Dedicated Standalone Website
The City will establish a dedicated, bilingual (English/Spanish) standalone website for this redistricting effort and shall maintain the website for a period of 10 years. The City’s main website homepage shall include a prominent link to the redistricting website.

The website will include the following:
• A general explanation of the redistricting process.
• An explanation of the procedures for a member of the public to provide in-person or remote public comment during a public hearing or to submit written public comment or a draft map to the City, either in a paper or electronic format, for consideration at a future public hearing. • A schedule of all workshop and public hearing dates.
• A notice of the applicable languages in which the local jurisdiction will provide live translation of a workshop or public hearing upon request and instructions for making such a request. • Instructions and a method for a person to sign up to receive regular notices regarding redistricting, including notices of upcoming workshops or public hearings.
• The notice and agenda for each workshop and public hearing. • The recording or written summary of each workshop and public hearing. • Each draft map considered by the City Council at a public hearing. • Each written public comment submitted to the local jurisdiction. • The existing map of election district boundaries prior to redistricting. • The adopted final map of election district boundaries after redistricting.

Interested Parties List
The City will maintain a list of residents and organizations who request to receive notification regarding notices of all future project hearings or meetings and other project-related messaging that is sent by the City.

Coordination With Other Jurisdictions
The City is not aware of any overlapping or nearby jurisdictions currently redistricting.

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Palm Desert Redistricting 2023 Public Education and Outreach Plan City of Palm Desert Page 3

SCHEDULE OF PUBLIC HEARINGS, COMMUNITY WORKSHOPS, AND MAP-DRAWING WORKSHOPS Wed., Sept. 6, 2023, at 6:00 pm Community Workshop #1 Civic Center/Zoom Hybrid Pre-Map Workshop to share information on the redistricting process, how to provide public comment, and how to submit a proposed map for consideration.

Spanish & ASL interpreters will be on-site. Spanish interpreter & captioning will be available via Zoom Zoom: https://palmdesert.zoom.us/j/87472618314
Thurs., Sept. 14, 2023, at 4:30 pm Pre-Map Public Hearing #1 Council Chamber/Zoom Hybrid Public Hearing to inform the City Council and public about the redistricting process, how to provide public comment; how to submit a map for consideration; solicit public comment.

Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Zoom: https://palmdesert.zoom.us/
Thurs., Sept. 28, 2023, at 4:30 pm Pre-Map Public Hearing #2 Council Chamber/Zoom Hybrid Public Hearing to inform the City Council and public about the redistricting process, how to provide public comment; how to submit a map for consideration; solicit public comment. Presentation of demographer’s and early public submitted maps; how to provide public comment; how to submit a map for consideration; solicit public comment.

Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Zoom: https://palmdesert.zoom.us/
Friday, September 29, 2023 Community Map Drawing Opens
The demographer’s draft maps will be released for public review and comment. The demographer’s online and paper map drawing tools will be available for the public to draft and submit their own maps for consideration Wed., Oct. 4, 2023, at 5:00 pm Map Drawing Workshop #1 Zoom The demographer will demonstrate how to use the online mapping tool and submit a map for consideration.

This session will be recorded and posted to the redistricting website.

Spanish interpreter & captioning will be available via Zoom Zoom: https://palmdesert.zoom.us/j/83593059783
Mon., Oct. 16, 2023, at 5:00 pm Map Drawing Workshop #2 Zoom The demographer will demonstrate how to use the online mapping tool and submit a map for consideration.

This session will be recorded and posted to the redistricting website.

Spanish interpreter & captioning will be available via Zoom Zoom: https://palmdesert.zoom.us/j/86378653984
Wednesday, November 1, 2023 Community Map Drawing Closes Deadline for the submission of community drawn maps for consideration.

Thurs., Nov. 16, 2023, at 4:30 pm Post-Maps Public Hearing #3 Council Chamber/Zoom Hybrid All demographer and community-drawn maps will be presented for City Council consideration; solicit public comment; City Council will be requested to narrow maps to three (3) to five (5) “focus maps.” Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Zoom: https://palmdesert.zoom.us/
Wed., Nov. 29, 2023, at 6:00 pm Community Workshop #2 Palm Desert iHub (in-person) Presentation of focus maps; solicit public comment/feedback.

Spanish & ASL interpreters will be on-site.

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Palm Desert Redistricting 2023 Public Education and Outreach Plan City of Palm Desert Page 4
Wed., Dec. 6, 2023, at 6:00 pm Community Workshop #3 Civic Center/Zoom Hybrid Presentation of focus maps; solicit public comment/feedback.

Spanish & ASL interpreters will be on-site. Spanish interpreter & captioning will be available via Zoom Zoom: https://palmdesert.zoom.us/j/84020763120
Thurs., Dec. 14, 2023, at 4:30 pm Post-Maps Public Hearing #4 Council Chamber/Zoom Hybrid Provide City Council with community feedback gathered at workshops; solicit additional public comment; request that the City Council further narrow down the number of mapsselect a final map and provide direction on any final adjustments.

Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Zoom: https://palmdesert.zoom.us/
Thurs., Jan. 11, 2024, at 4:30 pm Post-Map Public Hearing #5 Council Chamber/Zoom Hybrid Solicit public comment; adopt a final map and introduce an ordinance enacting five (5) single member districts.select a final map and provide direction on any final adjustments.

Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Zoom: https://palmdesert.zoom.us/
Thurs., Jan. 25, 2024, at 4:30 pm Public Hearing #6 City Council Meeting
Council Chamber/Zoom Hybrid
Solicit public comment; adoption of an ordinance enacting five (5) single-member districts; introduction of an ordinance eliminating use of Ranked Choice Voting in future elections.Solicit public comment; adoption of a final map and introduction of an ordinance enacting five (5) single-member districts.

Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Zoom: https://palmdesert.zoom.us/
Thurs., Feb. 15, 2024, at 4:00 pm City Council Meeting Council Chamber/Zoom Hybrid Solicit public comment; adoption of an ordinance enacting five (5) single-member districts; introduction of an ordinance eliminating use of Ranked Choice Voting in future elections.

Spanish and ASL Interpreters available upon request. Captioning provided with online live stream.

Zoom: https://palmdesert.zoom.us/

LOCATIONS ADDRESS CONTACT INFORMATION
Civic Center
Administrative Services Building
73-510 Fred Waring Drive, Palm
Desert, CA 92260
Main: (760) 346-0611
Email: [email protected]
Council Chamber 73-510 Fred Waring Drive,
Palm Desert, CA 92260
Main: (760) 346-0611
Email: [email protected]
Palm Desert iHub 37023 Cook Street, Suite 102
Palm Desert, CA 92211
Main: (760) 346-0611
Email: [email protected]

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Public Education and
Outreach Plan
Palm Desert Redistricting 2023
August 24, 2023

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Optional Processes for Establishing Districts
Used in the 2018 districting & 2021 redistricting processes Council-Driven Process:

May perform community outreach/workshops and provide
recommendations
Advisory Redistricting Commission (Council appointed):

Full and final authority to adopt maps
Conducts workshops/public hearing
Independent Redistricting Commission (Independently selected):

Conducts workshops/public hearings
Submits two or more final maps for City Council adoption, without changes.

Hybrid Redistricting Commission (Independently selected):

This outreach plan & schedule is based on
a Council-driven process.

If the City Council pursues Options 2-4,
please note that a recruitment and
selection process may delay the schedule
by up to two months.

City staff recommends a Council-driven
process, given that the demographers are
political neutral technicians and District 1
will largely stay intact as previously
indicated. This exercise is mainly to
determine how District 2 will be divide
amongst north and south PD.

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Assembly Bill 764
Two Pre-Map Public Hearings: The purpose of these hearings are typically to inform the public how to participate and gather input on "communities of interest."
Three Post-Map Public Hearings: The purpose is to gather public input regarding the draft maps and to allow the City Council to narrow the number of maps until a final map is adopted.

AB 764 is currently circulating in the
legislature and appears to be headed
towards approval.

AB 764 was recently amended and now
proposes to require:

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REVISED - Schedule of Workshops & Public Hearings
Sept. 6: Community Workshop #1 (Pre-Map)
Sept. 14: Public Hearing #1 (Pre-Map)
Sept. 28: Public Hearing #2 (Pre-Map Post Map - Demographer's maps) Sept. 29: Demographer's Maps released & Community Mapping System Opens Oct. 4 & 16: Map Drawing Workshops
Nov. 1: Community Mapping System Closes
Nov. 16: Public Hearing #3 (Post Map - All maps presented; Select 3-5 Focus Maps) Nov. 29: Community Workshop #2 (Public input on focus maps) Dec. 6: Community Workshop #3 (Public input on focus maps) Dec. 14: Public Hearing #4 (Post Map - Select final map; direct any adjustments Further reduce # of Focus Maps) Jan. 11, 2024: Public Hearing #5 (Post Map - Adopt final map Select final map; direct any adjustments) Jan. 25, 2024: Public Hearing #6 (Adopt Final Map)

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Elements of the Public Education & Outreach Plan
Citywide Mailer: To be mailed as soon as practicable after adoption of the outreach plan
Press Releases: At least two press releases to English and Spanish local media organizations
Social Media: Utilizing both social media and paid boosted advertising on a regular basis on Facebook, Twitter, Instragram, Google Ads, & YouTube Ads.

Radio Advertising: English & Spanish
Legal Notices: Desert Sun & La Prensa
Community Groups: Sept. through Nov., presentations on how to participate and submit maps.

Dedicated Website

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Select a council-driven process, provide feedback on the outreach plan and schedule of public hearings/workshops, and adopt the plan.

Recommendation
For questions or to schedule a presentation for your community group, please contact:

Anthony Mejia, City Clerk
[email protected]
(760) 346-0611

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CITY OF PALM DESERT
CITY MANAGER’S OFFICE

INTEROFFICE MEMORANDUM
Date: August 24, 2023
To: Honorable Mayor and Councilmembers
From: Anthony J. Mejia, City Clerk
Subject: City Council Meeting of August 24, 2023
Below you will find questions received from the Mayor or Councilmembers and answers provided by City staff regarding tonight’s City Council meeting:

ITEM 13d: ACCEPT RESIGNATIONS FROM THE CIVIC ENGAGEMENT COMMITTEE, CULTURAL

ARTS COMMITTEE, AND PARKS AND RECREATION COMMITTEE
Q1: Where are the full bylaws posted on the City’s website? A1: The City Council recently adopted an ordinance to incorporate all bylaws into the Palm Desert Municipal Code (PDMC) for consolidation and easy reference. Please see Title 2, Administration and Personnel, to access the bylaws. In the coming days, City staff will also update the Advisory Body landing webpage to include hyperlinks to the PDMC section of the applicable bylaws.

Q2: Wasn’t there a discussion of permitting non-residents that may hold subject matter experience?
A2: PDMC 2.34.030 states that the City Council may appoint a nonresident in cases where the City Council deems it appropriate to appoint a nonresident who offers specific expertise. In these circumstances, the City Council was unaware that the candidates where nonresidents and therefore did not make a finding or determination that it was necessary to appoint a nonresident for special expertise.

Q3: What measures have been implemented to ensure applicants live within city boundaries as necessary?
A3: City staff has reviewed and verified all appointed body members and applicants are registered voters of the City or their residences are located within City limits. Going forward, City staff will verify the voter registration and/or residential address is within City limits prior to interviews and will ensure that the interview documents indicate whether a candidate is a nonresident.

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08/24/2023 Question & Answer Memo

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ITEM 13e: HOUSING AUTHORITY: RESOLUTION AUTHORIZING EXECUTION AND DELIVERY OF A HOUSING AND LOAN AGREEMENT WITH A0358 MONTEREY, L.P., APPROVING A LOAN IN THE AMOUNT OF $7,235,000 FOR CONSTRUCTION OF 176 AFFORDABLE

HOUSING UNITS AND RELATED ACTIONS
ITEM 13g: APPROVE A HOUSING AGREEMENT BY AND BETWEEN THE CITY OF PALM DESERT AND A0358 MONTEREY, LP, FOR THE CROSSINGS AT PALM DESERT APARTMENTS

PROJECT
Q1: Why is only one, 3-bedroom unit allotted under the 80% AMI and zero designated under the 59% AMI (page 164/298)?
A1: One of the City’s Housing Element’s program, Program 4C, is to implement programs or assist in housing affordable to extremely low-income households. It is difficult to locate adequate and affordable housing if there is a limited supply of larger units. Prices for larger units tend to be affordable only to moderate- and above-moderate income households. Based on the need of units for larger families for lower income households and to maintain the feasibility of the Project, the three-bedroom units were allocated primarily for extremely low households.

Q2: With a priority for Veterans identified, is there a cap on units held for Veterans (page 299)?
A2: Units are not set aside for veterans, therefore there is no cap. Typically, priority to Veterans is provided in the selection from the waitlist when a unit becomes available. The developer will establish a policy on the selection of Households or individuals from the waiting list, including any preference. In accordance with the implemented preferences, Veterans will have priority.

Q3: How frequently has the city had to exercise such inspections as provided in Section 5.2 Maintenance, Repair, Alterations (Page173/306)?
A3: These types of inspections are routinely conducted by the other funding sources and the City is provided any findings. Only when there are findings or concerns does the City exercise the option described in Section 5.2; the City has exercised this option minimal times.

ITEM 13f: APPROVE SECOND AMENDMENT TO THE EL PASEO PARKING & BUSINESS

IMPROVEMENT DISTRICT CONTRACT WITH FG CREATIVE
Q1: Which have the most successful campaigns? How is return on investment (ROI) measured?
A1: The EPPBID’s work is multifaceted, and over the years the board has found ways to make its small budget work hard to help achieve its goals. The ultimate goal is to bring people to the street to help support the many stores, galleries, and restaurants in the district. In terms of marketing, they’ve had great success with social media, raising brand awareness and inviting people to the street whenever there is any kind of activation. The partnership with Palm Springs Life has also been beneficial, using direct email, a dedicated website, and physical pieces such as the El Paseo Catalogue. In each case, ROI is measured by the number of people reached, and their engagement with the content provided through each medium.

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08/24/2023 Question & Answer Memo

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ITEM 13j: REQUEST FOR MAYOR PRO TEM QUINTANILLA TO PARTICIPATE IN THE 2024

LEADERSHIP COACHELLA VALLEY PROGRAM
Q1: What is the rationale for charging this to the general local meetings budget, which has $9,000 to cover everyone's local meetings for the year, rather than to the individual discretionary budget for contributions/meetings of $2,500 per councilmember? A1: This item was brought forward because it was City staff’s understanding that Mayor Pro Tem Quintanilla was seeking funding to attend Leadership Coachella Valley. The individual councilmember discretionary budget would be an appropriate source for payment of Leadership Coachella Valley and Mayor Pro Tem Quintanilla has the full budget of $2,500 available.

ITEM 13o: AWARD ON-CALL CONTRACTS TO MULTIPLE VENDORS FOR PARK AND

FACILITIES REPAIRS AND IMPROVEMENT PROJECTS
Q1: What is the location of the evaporative cooler at Civic Center park? A1: The evaporative cooler in Civic Center Park is located at the baseball field snack bar.

Q2: Why is there only an evaporative cooler and not AC units at the Soccer Park and Freedom Park?
A2: Evaporative coolers are an effective and energy efficient way to cool the snack bars at the parks for most of the year, especially when outdoor sports are taking place.

ITEM 14a: APPROVAL OF AN AGREEMENT FOR LAW ENFORCEMENT SERVICES BETWEEN THE CITY OF PALM DESERT AND THE COUNTY OF RIVERSIDE FOR A THREEYEAR TERM FROM FY2024/2025 TO FY2026/2027 Q1: In keeping staffing levels flat, with the assistance of ALPR, does this allow for deputies to move to other specialized units? Does “reporting out ALPR data” include record requests out of state? Can we get these reports after the first quarter, and monthly thereafter?
A1: The ALPR system increases a deputy’s efficiency in responding to a crime. As a result, they can return to patrol duty sooner which increases their ability to proactively patrol the community. With the City’s ALPR program going live last October, the City has reported out to the Public Safety Committee and City Council on the number of cases ALPR has helped solve and effectiveness of the system with law enforcement activity. The Sheriff’s Department is in the process of creating a “Transparency Portal” which will include shared agencies and out-ofstate agency requests. Once the portal is live, the City will include its information into the regular updates to the Public Safety Committee and City Council.

Q2: What is the annual cost for the California Identification System and Records Management System (Page 584, Section 2.2)? How often does City staff utilize RMS or DOJ access under CLETS [Page 584, Section 2.2A, subsections (a) and (b)]? A2: The cost of the CAL-ID system is $50,889. This system is a statewide fingerprint ID system.

The cost of the Records Management System (RMS) is $117,577. This is a system that stores records. City staff does not utilize CAL-ID, RMS, DOJ law enforcement systems, nor the California Law Enforcement Telecommunications System (CLETS). These systems are utilized by Sheriff’s Department personnel on a regular basis in performance of their work duties.

Q4: Has the City ever had an appointed Police Chief (Page 585, Section 4)? A4: The City’s dedicated lieutenant serves as the City’s Police Chief with guidance from the Palm Desert Station Commander. The City, through the City Manager, has a say in who is

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08/24/2023 Question & Answer Memo

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appointed to be the City’s dedicated lieutenant. The Palm Desert Station Commander is selected by the Sheriff’s Department.

Q5: Administrative fees will not be charged to the City if those charges are provided free of charge to any City in the County. Does Palm Desert get charged the same fees as others for services charged to other cities (Page 587, Section 7)? A5: Government Code 51350 states the Sheriff’s Department cannot charge one city for a service that is available to all areas of the County. These fees are those types of charges described in Section 7 and not included in the contract rate. They include Special Investigations Bureau, SERT (Emergency Services Team), and Aviation. Otherwise, a contract city is charged the same rate as all other contract cities.

Q6: What is the average annual cost for miscellaneous costs? What is the annual budget allocation (Page 588, Section 7.6)?
A6: The annual budget amount is $70,000 and based on prior year actuals. These are costs for blood draws, blood analysis, sexual assault exams and other related items that law enforcement will request from the approved provider if needed for the investigation.

Q8: What is the timeline in which RSO agrees to return records as requested (Page 589, Section 10)?
A8: Depending upon the nature of the request, the Sheriff’s Department responds in a reasonable amount of time often same the day or week. Overall, the Sheriff’s Department is bound by the requirements of the California Public Records Act.

ITEM 14b: PALM DESERT REDISTRICTING 2023 - REVIEW OF THE SCHEDULE OF PUBLIC HEARINGS/WORKSHOPS AND PUBLIC EDUCATION AND OUTREACH PLAN –

OPTIONAL PROCESSES FOR ESTABLISHING DISTRICT BOUNDARIES Q1: Can the timeline be extended for additional days since residents were understandably focused on recovery from Hurricane Hillary?
A1: If requested by the City Council, City staff recommends adjusting the Community Workshop #1 to Tuesday, September 19, 2023, at 6:00 p.m. but maintaining the overall schedule to ensure that a final map and associated ordinances are adopted in advance of the April deadline.

ITEM 14d: REQUEST FOR FEEDBACK AND DIRECTION REGARDING UPDATING CHAPTER

5.04 REGARDING MODIFICATION, SUSPENSION, OR REVOCATION OF BUSINESS

LICENSES
Q1: How often does the City revoke licenses? Are they frequently appealed? A1: In the last 8 months, the City initiated two revocations; Sweet Spot and AZ Spa. Of those, City Council held the revocation hearing on Sweet Spot, but it was not appealed to the district court. AZ Spa canceled its license, and the revocation hearing did not occur.

In the 15 years prior, the City initiated seven license revocations and City staff is not aware that any were appealed.

ITEM 15c: ORDINANCE TO CHANGE THE ZONING DESIGNATION OF PARCEL 1 OF PARCEL MAP NO. 36614, LOCATED APPROX. 500 FEET FROM NW CORNER OF HWY 111 AND FRED WARING DR. FROM RESORT COMMERCIAL CENTER (PC-4) TO DISTRICT COMMERCIAL CENTER (PC-2) - CEQA FINDING
Q1: Is the 7th Whereas clause in the Planning Commission resolution missing the word "not," as in "will not render" (Page 671)?

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08/24/2023 Question & Answer Memo

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A1: Correct, the seventh Whereas of Planning Commission Resolution No. 2837, should read as follows, “WHEREAS, the proposed Change of Zone will not render the existing improvements on the site or land uses nonconforming with any applicable Palm Desert Zoning Ordinance standards.” City staff will proceed with correcting the original resolution for the official record.

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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: August 24, 2023
PREPARED BY: Richard D. Cannone, AICP, Development Services Director REQUEST: INTRODUCTION OF AN ORDINANCE UPDATING CHAPTER 8.20 OF

THE PALM DESERT MUNICIPAL CODE UPDATING PUBLIC NUISANCE

ABATEMENT AND COST RECOVERY PROCEDURES, AND MAKING A

FINDING OF EXEMPTION UNDER CEQA
RECOMMENDATION:

Waive full reading and introduce Ordinance entitled “An Ordinance of the City Council of the City of Palm Desert, California Updating Chapter 8.20 of the Palm Desert Municipal Code Regarding Public Nuisance Abatement and Cost Recovery Procedures, and Making a Finding of Exemption Under CEQA”
BACKGROUND/ANALYSIS:

A recent code compliance matter regarding rodent infestation in Palm Desert Greens revealed challenges for abatement actions. Once staff serves a notice declaring a property a public nuisance, the owner has 10 days to file an appeal. City Council serves as the body (as opposed to a hearing examiner) for any public nuisance abatement appeals and cost recovery actions.

That appeal hearing must be scheduled at a regular city council meeting no more than 30 days after receiving the appeal. This requirement poses a challenge by delaying the process if there is only one city council meeting scheduled for the month.

As a result, staff worked with the city attorney’s office to review Chapter 8.20, Public Nuisances and recommend changes based on current best practices, including delegating abatement appeals and cost recovery to a hearing examiner. Much of this chapter contains the original language from 1988. Notable changes include:

1. Organizes the code sections to provide a roadmap for nuisance abatement and cost recovery procedures.
a. Nuisance abatement
i. Procedure for inspections clarified.
ii. Enforcement official issues Notice to Abate – the proposed ordinance provides more detail on what is required to notify responsible party of the alleged nuisance conditions, what is required to remedy those conditions, and a reasonable time by which the responsible party must gain compliance. iii. Responsible party can appeal Notice to Abate to an independent hearing officer, rather than City Council.
iv. The proposed ordinance requires the City Clerk to schedule hearing and notify appellant in writing and includes more detail on hearing procedures. v. Hearing officer decision is final, further review is available in Superior Court.

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City of Palm Desert
Chapter 8.20 Public Nuisance Update

Page 2 of 2 ends

vi. If nuisance not abated within time required by hearing officer’s order, City may commence abatement.
vii. The City retains the ability to file a Notice of Violation against a property if the nuisance is not abated in the time period listed in the Notice to Abate or hearing officer’s decision/order.
viii. Exception for summary abatement – The proposed ordinance provides greater detail on how summary abatement may be conducted lawfully, including the requirement that a Notice of Summary Abatement must be served on the property owner following a summary abatement action by the City.
b. Cost Recovery
i. City must serve an itemized report of costs on responsible party. Costs are due in 45 days.
ii. Responsible party may appeal the report of abatement costs to a hearing officer, the report of costs does not automatically go to City Council for a hearing.
iii. The hearing procedures are substantially similar to those for Notice to Abate appeals.
iv. Upon expiration of 45 days after the report of abatement costs is served or 30 days after the hearing officer’s decision is served, the City can collect costs through all the same methods available under the previous ordinance. Those methods include a nuisance abatement lien, a special assessment, or a civil action. In a civil action, attorney’s fees may be recovered pursuant to state law. Other remedies include a criminal citation and administrative citation fines.

2. Combines enforcement/remedies provisions.
a. Other than the sections specific to liens and special assessments, the proposed ordinance combines all other enforcement-related provisions and remedies into one section, rather than having these provisions in separate sections.

3. Updates list of property nuisances.
a. Minor changes have been made to the list of nuisances. The definition of “refuse and waste matter” is incorporated into this section rather than being in its own section.

Business-related nuisances are included (with examples provided) in this section rather than being in a separate section.

4. Adds definitions for clarity.

FINANCIAL IMPACT:

There is no fiscal impact associated with the adoption of this ordinance.

ATTACHMENTS:

1. Draft Ordinance

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Ordinance No. ____ Page 1
ORDINANCE NO. ______

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM
DESERT, CALIFORNIA UPDATING CHAPTER 8.20 OF THE PALM

DESERT MUNICIPAL CODE REGARDING PUBLIC NUISANCE

ABATEMENT AND COST RECOVERY PROCEDURES, AND MAKING A

FINDING OF EXEMPTION UNDER CEQA

THE CITY COUNCIL OF THE CITY OF PALM DESERT DOES ORDAIN AS FOLLOWS:

SECTION 1. Amendment to Municipal Code. Palm Desert Municipal Code Chapter 8.20 Public Nuisances is amended to read as follows:
“Chapter 8.20 PUBLIC NUISANCES

8.20.010 Purpose.

8.20.015 Definitions.

8.20.020 Unlawful property nuisances.

8.20.030 Service requirements.

8.20.040 Procedure for inspections.

8.20.050 Notice to Abate.

8.20.060 Notice to Abate appeals and hearings.

8.20.070 Abatement by City.

8.20.080 Summary abatement.

8.20.090 Recordation of Notice of Violation.

8.20.100 City’s right to recover nuisance abatement costs.

8.20.110 Scope of recoverable abatement costs.

8.20.120 Initiation of cost recovery process.

8.20.130 Report of abatement costs appeal hearing procedures.

8.20.140 Initiation of collection process.

8.20.150 Collection of costs as lien.

8.20.160 Collection of costs as a special assessment.

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Ordinance No. ____ Page 2

8.20.170 Enforcement.

8.20.010 Purpose.

The purpose and intent of this Chapter is to provide regulations that will promote the sound maintenance of property and enhance conditions of appearance, habitability, occupancy, and safety of all structures and premises in the City, and to afford due process of law to any person who is directly affected by this process. It is the policy of the City to ensure all applicable laws are followed by the City in performance of this Chapter, including respect for constitutional protections, due process, and equal protection.

In order to further the stated goal of the City of Palm Desert and to protect its citizens and their property from conditions which are offensive or annoying to the senses, detrimental to property values and community appearance, or hazardous or injurious to the health, safety, or welfare of the general public, the City Council has determined that this Chapter pertaining to nuisance abatement is necessary to effectively abate or prevent the development of such conditions in the City.

This Chapter may not be applied, construed, or given effect in a manner that imposes upon the City any duty towards persons or property or that creates a basis for civil liability for damages, except as otherwise imposed by law. The City reserves the right to address abatement of nuisance in a variety of ways at its sole discretion while balancing the use of limited City resources.

8.20.015 Definitions.

For the purposes of this Chapter, unless otherwise apparent from the context, certain words or phrases used in this Chapter are defined as follows:
“Abatement costs” means all costs, fees, and expenses, incidental or otherwise, including attorney’s fees and City staff time charges, incurred by the City in investigating and abating a public nuisance.
“Enforcement official” means any City employee or agent designated by the City Manager with the authority and responsibility to enforce any provision of this Code, including an officer employed by the City and an officer providing services to the City under contract.
“Hearing officer” means an impartial individual designated and authorized by this Chapter to hear and review appeals of a person receiving a notice, decision, or order issued under this Chapter.
“Person” means any natural person or legal entity, including any firm, partnership, association, corporation, organization or entity of any kind, or such person’s authorized representative.

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Ordinance No. ____ Page 3
“Responsible party” means any of the following:

1. A person who causes a code violation to occur;

2. A person who maintains or allows a code violation to continue, by his or her action or failure to act; or

3. A person who is the owner of, and a person who is a tenant, lessee or sublessee with the current right of possession of real property where a property-related code violation occurs or exists.

4. A person whose agent, employee, or independent contractor causes a code violation by its action or failure to act.

5. A person who is the on-site manager of a business, or a person actually or apparently in charge of the business.

6. The parent or the legal guardian of any person under the age of eighteen years of age, who causes a code violation by his or her action or failure to act.

For purposes of this subsection “person” includes a natural person or legal entity, and the owners, corporate officers, trustees, and general partners of a legal entity.

There shall be a legal presumption that the record owner of a parcel according to the county’s latest equalized property tax assessment rolls and a tenant, lessee or sublessee of a parcel has notice of any code violation existing on the premises.

For the purposes of this chapter, there may be more than one responsible Person for a code violation.

8.20.020 Unlawful property nuisances.

It is unlawful and a public nuisance for any person owning, leasing, renting, occupying, or having charge or possession of any property in the City to maintain the property or allow the property to be maintained, with any of the following conditions:

A. Buildings or structures which are abandoned, partially destroyed or left in an unreasonable state of partial construction. For purposes of this subsection, an “unreasonable state of partial construction” is where any partially constructed building or structure, the building permits for which have expired, or substantially detracts from the appearance of the immediate neighborhood;
B. Unpainted buildings or structures that have dry rot, whose materials are warped or infested with termites, or any building or structure whose paint has become excessively cracked, or whose paint has peeled or blistered; C. Exterior walls, fences, driveways or sidewalks which are maintained in a condition of deterioration or disrepair and which are defective or unsightly;

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Ordinance No. ____ Page 4
D. Broken windows, damaged doors or gates which constitute a hazard and an invitation to trespassers or vagrants;
E. Construction equipment, machinery or building materials of any type or description parked or stored on the premises which is visible to the general public except during excavation, construction or demolition operations conducted pursuant to an active building or grading permit for the premises;
F. Land graded without an appropriate city permit which causes erosion, subsidence or surface water drainage problems of such magnitude as to be injurious or potentially injurious to the public health, safety, and welfare or to be injurious or potentially injurious to adjacent properties;
G. Any excavation, pit, well or hole which is open to the public, or unguarded, or abandoned, such that the excavation, pit, well or hole may be dangerous to life; H. Any dust, sand, gravel, trash, or other refuse and waste matter or debris which is allowed to interfere with the reasonable enjoyment of property by neighbors, or detrimentally affects property values in surrounding neighborhoods or community and/or resulting from construction activities within the city; I. All outdoor stairs, porches, hand railings, balconies and awnings not adequately maintained in a safe and structurally sound condition; J. Any swimming pool, spa, pond, fountain or other body of water which is, may become, or which has become polluted, stagnant, a breeding place for insects or otherwise hazardous, odorous or unsightly;
K. A building or structure that is marked or defaced with spray paint, dye or like substance in a manner commonly described as graffiti; L. Any violation of any Palm Desert Municipal Code section, any violation of a Riverside County Code of Ordinances section adopted by the City, or any violation of the uniform codes adopted by the City including, but not limited to, the Uniform Building Code, Code for Abatement of Dangerous Buildings, Plumbing Code, Electrical Code, Mechanical Code, Swimming Pool Code, Fire Code, Health Code or Uniform Housing Code, as the same currently exist or as they may be hereinafter enacted or amended; M. Premises so maintained as to cause the accumulation of polluted or stagnant water when such water causes a hazardous or unhealthy condition, breeding areas for insects, or erosion of foundation walls or soil; N. Maintenance of property so out of harmony or conformity with the maintenance standards of adjacent properties as to interfere with the reasonable enjoyment of property by neighbors, and depreciate the aesthetic and property values of surrounding property;

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Ordinance No. ____ Page 5
O. The intentional outdoor burning of any material, structure, matter or thing, unless authorized by the city fire department or authorized representative by issuance of a permit to do so. There shall be no authorized burning on Friday, Saturday, Sunday or Government Code holidays;
P. To leave or permit any abandoned, unattended or discarded icebox, refrigerator, freezer or other container which has an airtight door or lid with a snap lock or other device which may not be released from the inside, to be left outside of any building or structure at any time;
Q. Stockpiling of fill dirt or other material without a permit; R. The substantial lack of maintenance of grounds, landscape, shrubs, plants or vegetation within the city which are viewable by the general public from a public rightof-way or viewable from neighboring properties such that the property values of surrounding properties are reduced or such that the aesthetics of surrounding properties are detrimentally affected;
S. Landfills which contain organic materials, except as permitted by the chief building officer or director of public works;
T. The existence of the following on property such that the health, safety or general welfare is detrimentally affected or in such a manner that a public nuisance or fire hazard is created:

1. Lumber, junk, trash, debris, refuse, waste matter or other salvage materials visible from a public right-of-way or adjoining property,

2. Attractive nuisances dangerous to children, including abandoned, broken or neglected equipment and machinery, hazardous pools, and excavations,

3. Abandoned or discarded furniture, appliances, play equipment or other household fixtures or other equipment, stored so as to be visible from public right-of-way or from adjoining property,

4. Clotheslines in front yard areas or side yard areas of corner lots, clothes hung to dry on walls, fences, trees, bushes or inside opened garage or carport areas where such is viewable from the public right-of-way,

5. Abandoned, wrecked or inoperative vehicles of all types, and parts thereof,

6. Materials or items of any type stored on roof tops when visible from the public right-of-way,

7. Garbage or trash cans, containers or plastic bags stored in front or side yards, visible from the public right-of-way, or which cause offensive odors,

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Ordinance No. ____ Page 6

8. Gasoline, oil, grease, water or other materials which flow onto the public right-of-way, or the excessive accumulation of refuse and waste, grease and oil on any paved surfaces, buildings, structures, walls or fences,

9. Any tree, shrubbery or plant permitted to grow onto or over the public right-of-way such that pedestrian or vehicular traffic is impaired, or such that vehicle operators cannot clearly observe safety signs and signals,

10. Dead, decayed, diseased or hazardous trees, hedges, weeds, shrubs and overgrown vegetation, cultivated or uncultivated, which is likely to harbor rats, vermin or constitute an unsightly appearance, nuisance, fire hazard, or that is detrimental to neighboring properties or property values,

11. Refuse and waste matter, which by reason of its location or character, is unsightly and interferes with the reasonable enjoyment of property by neighbors, detrimentally affects property values in the surrounding neighborhood, or which would materially hamper or interfere with the prevention or suppression of fire upon the premises. “Refuse and waste matter” means unused or discarded matter and material having no substantial market value and which consists of rubbish, garbage, weeds, palm fronds, leaves, grass, refuse, debris and matter of any kind, including but not limited to rubble, asphalt, concrete, plaster, tile, rocks, bricks, soil, building materials, crates, cartons, containers, boxes, machinery or parts thereof, scrap metal and other pieces of metal (ferrous or nonferrous), furniture or parts thereof, inoperative vehicles or parts thereof, trimmings, cans, bottles, barrels and unapproved fill dirt or similar matter.

U. The existence of the following activities within a commercial or industrial zoning district:

1. Excessive noise levels beyond acceptable limits defined in Chapter

9.24. 2. Noxious odors or toxic fumes.

3. Vibrations or disturbances that disrupt the nearby properties.

4. Unauthorized outdoor storage or disposal of hazardous materials.

5. Excessive light pollution that negatively impacts neighboring properties.

6. Activities resulting in significant traffic congestion beyond normal capacity.

7. Any other activities or operations deemed by an enforcement official as causing a public nuisance.

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Upon a finding of any nuisance in this subsection (U), an enforcement official may regulate or enjoin the hours of operation or the activities of businesses within the city commercial and industrial districts.

8.20.030 Service requirements.

A. Except where this Chapter prescribes another procedure or the parties otherwise agree to an alternate means, any notice or document required to be served under this Chapter must be served by personal service or first-class mail.

B. Service is deemed effective on the date it is personally delivered or deposited in the mail.

C. Failure of any person to receive a document properly served under this Chapter does not affect the validity of the notice or document, service, or any action or proceeding under this Chapter.

D. The notices and documents that are authorized by this Chapter may be combined in the discretion of the City.

8.20.040 Procedure for inspections.

A. Whenever it is appropriate to make an inspection to enforce any of the provisions of this Chapter, or whenever an enforcement official has reasonable cause to believe that there exists in any building or on any property any public nuisances, the enforcement official may request entry to such building or property at all reasonable times to inspect the same and ascertain whether the provisions of this code or applicable state codes are being obeyed and to make any examinations and surveys as may be necessary in the performance of their enforcement duties. These may include the taking of photographs, samples or other physical evidence. All inspections, entries, examinations and surveys shall be done in a reasonable manner. If such building or property is occupied, the enforcement official shall first present proper credentials or identification and request entry. If the building or property is unoccupied, the enforcement official shall make a reasonable effort to locate the owner or other persons having charge or control of the building or property and request entry. If entry is refused, the enforcement official shall have recourse to every remedy provided to secure entry, including, but not limited to, securing a court ordered inspection warrant pursuant to the procedures provided in state law, including California Civil Procedure Section 1822.50 et seq., as it may be amended from time to time.

B. When an enforcement official shall have first obtained a proper inspection warrant or other remedy provided by law to secure entry, no owner or occupant of the building or property shall fail or neglect, after proper request is made as provided in this section, to promptly permit entry therein by the enforcement official for the purpose of inspection and examination pursuant to this Chapter.

8.20.050 Notice to Abate.

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A. Whenever an enforcement official determines that a nuisance, as designated in Section 8.20.030, is occurring or exists, he or she may issue a written order to any responsible party (“Notice to Abate”).

B. A Notice to Abate issued pursuant to this section must contain the following information:

1. The address of the real property on which the alleged nuisance condition exists;

2. A description of the alleged nuisance conditions and the code section(s) prohibiting the alleged nuisance condition;

3. A brief description of the required corrective actions;

4. A reasonable compliance period in which to complete the nuisance abatement actions (with all required City approvals, permits and inspections, when applicable);

5. A statement that the City may record a Notice of Violation with the Riverside County Recorder’s Office against the premises; and

6. The period and manner in which a responsible party may contest the Notice to Abate as set forth in Section 8.20.070.

C. Whenever the enforcement official intends to abate a public nuisance by demolition of a building or structure if the responsible party fails to comply, then the City must comply with the following additional requirements:

1. The Notice to Abate must contain a statement that the City intends to abate the nuisance with City personnel or contractors by demolition of a building or structure if the nuisance conditions are not repaired, rehabilitated, removed, terminated, or demolished within the compliance deadline set forth in the Notice to Abate; and

2. The City must serve the Notice to Abate on all secured lienholders of record with the Riverside County Recorder’s Office.

D. Any Notice to Abate issued under this section must be served in the manner required under Section 8.20.040.

E. The provisions of this section do not apply in cases involving emergency or summary abatement under Section 8.20.090.

8.20.060 Notice to Abate appeals and hearings.

A. Any person issued a Notice to Abate has a right to appeal the City’s nuisance determination in accordance with this section. An appeal must be filed within

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fifteen (15) calendar days following the date of service of the Notice to Abate. A written notice of appeal must contain the following information: (i) the name and contact information of the appellant, and (ii) the grounds for appeal in sufficient detail to enable the hearing officer and City to understand the nature of the controversy. The failure of any person who has been served with a Notice to Abate to timely and properly file an appeal is a failure to exhaust administrative remedies.

B. The City Manager may select the hearing officer. The hearing officer must be selected in a manner that avoids the potential for pecuniary or other bias.

C. If a timely and proper appeal is filed, then the City Clerk must schedule the hearing no sooner than fifteen (15) calendar days and no later than sixty (60) calendar days from receipt of the notice of appeal, unless the parties waive such time limits. The failure to hold the hearing within this time period does not invalidate any action of the hearing officer. The City Clerk must notify the appellant in writing of the date, time, and location of the hearing at least ten (10) calendar days before the date of the scheduled hearing. The notice of hearing must be served in accordance with Section 8.20.040.

D. The City bears the burden of proof to establish a nuisance exists by a preponderance of evidence. The issuance of a Notice to Abate is prima facie evidence of the existence of a violation. The scope of the appeal is limited to whether any nuisance condition identified in the Notice to Abate exists.

E. All parties have the right to present evidence and witnesses. The formal rules of evidence and discovery do not apply. The rules of privilege are effective to the same extent that they are now or hereafter may be recognized in civil actions. Irrelevant or unduly repetitious evidence may be excluded. Oral evidence may be taken only on oath or affirmation. The appellant and respondent may represent themselves or be represented by anyone of their choice. No party has the right to cross-examine any other party or witness except for good cause shown to the satisfaction of the hearing officer. The appellant may bring an interpreter to the hearing at his or her sole expense.

The City may, at its discretion, record the hearing by stenographer, court reporter, audio recording, or video recording.

F. The hearing officer’s decision must be in writing, set forth the hearing officer’s findings of fact and conclusions of law, order the abatement of any confirmed nuisance conditions within a deadline determined by the hearing officer to be reasonable, and include a statement that if the nuisance is not abated then it may be abated by the City. If the hearing officer determines that each and every nuisance condition described in the Notice to Abate is nonexistent, the Notice to Abate is deemed cancelled. The hearing officer must render a decision within fifteen (15) calendar days following the conclusion of the hearing. Failure of the hearing officer to render a decision within this time period does not invalidate any action of the hearing officer or automatically grant the appeal. The hearing officer’s decision must be served in accordance with Section 8.20.040. The hearing officer’s decision is the final administrative decision of the City regarding the Notice to Abate and is not subject to appeal to the City Council or any other board or commission of the City. The hearing

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officer’s decision is final and effective on the date of service of the decision. The decision must contain the following statement: “The decision of the hearing officer is final and binding. Judicial review of this decision is subject to the provisions and time limits set forth in California Code of Civil Procedure section 1094.6 et seq.” Failure to seek timely judicial review pursuant to California Code of Civil Procedure section 1094.5 et seq. means all objections to the hearing officer’s decision are waived.

8.20.070 Abatement by City.

If a nuisance is not completely abated within the time prescribed by the Notice to Abate or, if appealed, in the hearing officer’s decision, the City is authorized to abate a public nuisance by any other method authorized by law, such abatement may be performed through inspections and directives to remediate the violation or legal proceedings designed to secure enforcement of the city’s municipal code or the city may commence the abatement work itself. The City and its agents are expressly authorized to enter the premises for such purpose. Except in cases involving an imminent hazard, entry onto any real property to abate a public nuisance must be pursuant to a warrant issued by a court of competent jurisdiction.

8.20.080 Summary abatement.

A. If, in the reasonable opinion of the enforcement official, there exists a condition that constitutes an imminent threat of harm to public health or safety, or imminent hazard to real or personal property, the enforcement official may cause the conditions to be summarily abated in accordance with the following procedure. When determining whether a hazard is sufficiently imminent to warrant emergency abatement, the enforcement official may consider whether there is insufficient time to follow the administrative process for non-emergency abatements described in this Chapter.

B. If time permits, the enforcement official may attempt to contact the owner or occupant of the property to notify the responsible party that the condition must be immediately abated to eliminate the imminent hazard.

C. If the enforcement official is unable to make contact, or if after contact with the owner or occupant does not take action within the time prescribed by the enforcement official, he or she is authorized to take all actions necessary to eliminate or mitigate the hazardous condition, utilizing the City’s own forces or private contractors.

D. Nothing in this Section prevents public safety officers from taking actions in emergency situations as they may deem necessary or appropriate in order to protect the public health, safety, and general welfare.

E. As soon as reasonably possible under the circumstances, following any summary abatement action by the City to abate an immediate hazard, the City must provide each responsible party with a “Notice of Summary Abatement.” The Notice of Summary Abatement must be served in accordance with Section 8.20.040 and contain the following information:

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1. A brief description of the condition and reasons why it constituted an imminent threat or hazard;

2. A brief description of the law prohibiting or pertaining to the imminent threat or hazard; and

3. A brief description of the actions the City took to abate the imminent threat or hazard.

F. The City’s determination that a condition constituted an imminent threat or hazard may be appealed as set forth in Section 8.20.070.

G. The enforcement official must keep an itemized account of the costs incurred by the City in abating the public nuisance. The City is entitled to recover all abatement costs incurred in the abatement of an imminent threat or hazard in accordance with the procedures set forth in this Chapter.

8.20.090 Recordation of Notice of Violation.

A. If a nuisance is not completely abated as determined by the City within the time prescribed by the Notice to Abate or, if appealed, in the hearing officer’s decision, the City may record a Notice of Violation with the Riverside County Recorder’s Office against the premises.

B. The City must record a Rescission of Notice of Violation with the Riverside County Recorder’s Office within fourteen (14) business days of its determination that a violation or a public nuisance has been fully abated or corrected.

C. Upon recordation, the City must serve a copy of the recorded Notice of Violation or Rescission of Notice of Violation on each person having an ownership interest in the property in accordance with 8.20.040.

8.20.100 City’s right to recover nuisance abatement costs.

Whenever the City incurs abatement costs in abating a public nuisance or seeking to abate a code violation or public nuisance, the City is entitled to recover the abatement costs related to those code enforcement efforts in accordance with the procedure set forth in this Chapter. The City may commence cost recovery proceedings at any time.

8.20.110 Scope of recoverable abatement costs.

Recoverable abatement costs include all costs, fees, and expenses, incidental or otherwise, including attorney’s fees, incurred by the City in investigating and abating a public nuisance.

8.20.120 Initiation of cost recovery process.

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A. To initiate the process for recovery of abatement costs, the City must serve an itemized report of abatement costs on the responsible party identifying all abatement costs and demanding payment. The report must provide notice that any unpaid amounts may become a lien and special assessment against the property unless the City receives full and timely payment. The right to appeal and appeal procedures must be specified in the report.

B. The report of abatement costs must be served in accordance with Section

8.20.040. If the code violation or public nuisance is related to real property, then the report of abatement costs must be served upon each person with a recorded interest in the subject property.

C. Timely, full payment of the abatement costs must be remitted to the City within forty-five (45) calendar days following the date of service of the report of abatement costs.

D. Any person issued a report of abatement costs has a right to appeal the report of abatement costs in accordance with the procedures set forth in Section

8.20.070 (A).

8.20.130 Report of abatement costs appeal hearing procedures.

A. Report of abatement costs appeal hearings and hearing officer determinations shall proceed in accordance with the procedures set forth in Section

8.20.070, except as otherwise provided in this Section.

B. The scope of the appeal is limited to the appropriateness of the amount of the abatement costs, and the hearing officer’s decision may confirm, discharge, or modify the amount of costs.

C. The hearing officer’s decision must be in writing, set forth the hearing officer’s findings of fact and conclusions of law, and demand payment of any confirmed abatement costs within thirty (30) calendar days following the date of service of the hearing officer’s decision. The hearing officer’s decision is the final administrative decision of the City regarding the abatement costs.

D. Any confirmed abatement costs must be tendered to the City within 30 calendar days following the date of service of the hearing officer’s decision.

8.20.140 Initiation of collection process.

Upon expiration of forty-five (45) calendar days after the report of abatement costs, or thirty (30) calendar days after the hearing officer’s decision in the event of an appeal, if the full amount of the final abatement costs has not been paid, any unpaid costs may be collected by the City in accordance with Sections 8.20.160 through

8.20.180.

8.20.150 Collection of costs as lien.

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A. Pursuant to Government Code section 38773.1, abatement costs may be levied by the City as a lien against the property on which the nuisance was abated. If the abatement costs have not been paid in full within the time required by this Chapter, the City may record a lien against the nuisance property for any unpaid amount. Before recording a lien, the City must serve each person with a recorded interest in the subject property with notice of the lien. In addition, any owner of record must be served in accordance with Government Code section 38773.1.

B. The nuisance abatement lien must be recorded in the office of the County Recorder of Riverside County, California; and from the date of recording, the nuisance abatement lien will have the force, effect, and priority of a judgment lien, and will continue in effect until discharged by the City.

C. The lien must specify the City as the agency for whose benefit the lien is established, the amount of the lien, the date of any abatement order (including a Notice to Abate and/or hearing officer’s decision), the street address, legal description, and assessor’s parcel number of the parcel on which the lien is imposed, and the name and address of the recorded owner of the parcel.

D. The nuisance abatement lien may be foreclosed by an action brought by the City for a money judgment. All costs and expenses relating to the processing, recording and enforcement of the abatement lien, including recording fees, noticing costs and attorney fees may be added to the amount of the lien and will be secured thereby.

E. Upon payment or other satisfaction of the abatement lien, a notice of release of lien must be prepared and recorded by the City forthwith.

8.20.160 Collection of costs as a special assessment.

A. Pursuant to Government Code section 38773.5, abatement costs may be levied by the City as a special assessment against the property on which the nuisance was abated. If the abatement costs have not been paid in full within the time required by this Chapter, the City may levy a special assessment against the real property on which the violation occurred. The City must serve each person with a recorded interest in the subject property with notice of the imposition of the special assessment. In addition, any owner of record must be served in accordance with Government Code section 38773.5.

The notice must specify that the property may be sold after three years by the County Tax Collector for unpaid delinquent assessments.

B. The notice of special assessment is entitled to recordation with the Riverside County Recorder’s Office. A copy of the notice of special assessment must be transmitted to the County Tax Assessor and Tax Collector, whereupon the Tax Assessor and Tax Collector must add the amount of the special assessment on the next regular bill for real estate taxes levied against the property identified in the notice of special assessment. Thereafter, the special assessment will be collected at the same time and in the same manner as ordinary municipal taxes are collected, and will be

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subject to the same penalties and the same procedure and sale in the case of delinquency as provided by law for ordinary municipal taxes. After recordation, the special assessment may be foreclosed on as a lien in the manner and means provided by law.

8.20.170 Enforcement.

A. It is unlawful and declared a public nuisance for any person to violate any provision of this Chapter. It is unlawful and declared a public nuisance for any person to violate any hearing officer order or decision made under this Chapter.

B. Any person who violates any provision of this Chapter is guilty of a misdemeanor punishable by a fine of up to $1,000, or by imprisonment in the County jail not exceeding six months, or by both, except the City Attorney or enforcement official may prosecute a violation of this Chapter as an infraction, in his or her discretion.

C. Upon entry of a second or subsequent civil or criminal judgment within a two-year period against an owner of a property responsible for a public nuisance and subject to this Chapter, the city is authorized to request that the court order the owner to pay treble the costs of abatement, except if any such judgment relates to an abatement of conditions pursuant to California Health and Safety Code § 17980.

D. Violation of this Chapter may be punished by issuance of an administrative citation fine, as set forth in Chapter 8.81 of this Code.

E. In addition to any other remedies set forth in this Code or otherwise provided by law, the City Attorney is authorized to bring a civil or equitable action, at his or her discretion, to seek the abatement of any violation of this Chapter, to recover the City’s abatement costs, or to enforce any provision of this Chapter.

F. The prevailing party in any action, administrative proceeding, or special proceeding to abate a public nuisance, or in any appeal or other judicial action arising therefrom, shall be entitled to recover its reasonable attorneys’ fees. Recovery of attorneys’ fees shall be limited to those actions or proceedings in which the city elects, at the initiation of that individual action or proceeding, to seek recovery of its own attorneys’ fees. In no action or proceeding shall an award of attorneys’ fees to a prevailing party exceed the amount of reasonable attorneys’ fees incurred by the city in the action or proceeding. In addition to the award of attorneys’ fees pursuant to this subsection, the prevailing party in any action, administrative proceeding, or special proceeding to abate a public nuisance, or in any appeal or other judicial action arising therefrom, shall be entitled to recover its reasonable attorneys’ fees incurred in any post-judgment proceedings to collect or enforce the judgment.

G. Each and every day a violation is maintained, caused, aided, abetted, concealed, suffered, or permitted is a separate offense.

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H. The regulations, remedies, procedures, and penalties provided by this Chapter are cumulative to each other and to any other available under City, State, or federal law.”
SECTION 2. Severability. If any section, subsection, clause or phrase of this Ordinance or any part thereof is for any reason held to be invalid, unconstitutional, or unenforceable by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portion of the Ordinance. The City Council declares that it would have passed each section, subsection, paragraph, sentence, clause, or phrase thereof, irrespective of the fact that any one or more section, subsection, sentence, clause or phrase would be declared invalid, unconstitutional or unenforceable.

SECTION 3. CEQA. The City Council hereby finds and determines that this Ordinance is exempt from CEQA pursuant to State CEQA Guidelines section 15061(b)(3) because it can be seen with certainty that the Ordinance would not have the potential or possibility for causing a significant effect on the environment.

Specifically, the proposed changes to the Municipal Code are primarily technical and administrative in nature. The Ordinance would update the public nuisance determination, appeal, abatement, and cost recovery provisions. No construction is proposed and the amendments do not constitute any project approvals. In reviewing the Ordinance the City Council has exercised its independent judgment and has reviewed and considered the Ordinance in light of all testimony received, both oral and written.

Therefore, based upon the entire administrative record, the City Council hereby determines that no further environmental review is required for the Ordinance.

SECTION 4. Publication. The City Clerk of the City of Palm Desert, California, is hereby directed to publish this Ordinance in the Desert Sun, a newspaper of general circulation, published and circulated in the City of Palm Desert, California, and shall be in full force and effective thirty (30) days after its adoption.

PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council of the City of Palm Desert, California, on the ____ day of ___________, 2023 by the following roll call vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
______________________
KATHLEEN KELLY, Mayor

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Ordinance No. ____ Page 16
ATTEST:
_____________________________
Anthony Mejia, City Clerk
City of Palm Desert, California
APPROVED AS TO FORM:
____________________________
City Attorney

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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: August 24, 2023
PREPARED BY: Richard D. Cannone, AICP, Development Services Director REQUEST: REQUEST FOR FEEDBACK AND DIRECTION REGARDING UPDATING CHAPTER 5.04 REGARDING MODIFICATION, SUSPENSION, OR
REVOCATION OF BUSINESS LICENSES.

RECOMMENDATION:

1. Approve staff recommendation that the City Manager be authorized to suspend a business license and unless appealed within seven (7) calendar days upon receiving the suspension notice, the suspension would automatically convert to a revocation.

2. Provide direction to staff on whether the appeal body for a business license suspension should remain with City Council or be delegated to a hearing examiner.

BACKGROUND/ANALYSIS:

City Council previously provided direction to staff to update the business license suspension procedures in Chapter 5.04, to grant the City Manager the ability to suspend a business license without having to wait for city council authorization. The suspension and revocation procedures of that chapter were originally adopted in 1974 and were last updated in 1983 to align with best practices at the time.

As part of this update, staff would like to further streamline the revocation procedures consistent with current best practices. Staff requests City Council feedback/direction on the following:

1. Revocation Authority – Currently, the written notice of a business license suspension also serves as a notice for the revocation hearing with City Council. The revocation hearing must be placed on a City Council agenda at least 10 days after the notice but no longer than 30 days after the notice. Within the past 6-months staff has brought forward two business license suspensions/revocations: the Sweet Spot and AZ Spa. The revocation hearing for Sweet Spot was held and their license was revoked and the revocation hearing for AZ Spa was cancelled due to the owner canceling their business license. The preparation for both revocations hearings involves a substantial amount of staff time.

Table 1 below summarizes the suspension and revocation authority for municipalities within the Coachella Valley:

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City of Palm Desert
City Council Direction – Business License Suspension/Revocation Code Update

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Table 1: Revocation/Suspension Authority
Municipality Suspension Revocation
Coachella None; straight to revocation Finance Director Indio None; straight to revocation Finance Director
La Qunita None; straight to revocation City Manager or other city officer or employee charged
with the administration of the
chapter
Indian Wells None; straight to revocation Planning Director Rancho Mirage None; straight to revocation Public Works Director Cathedral City None; straight to revocation Finance Director Palm Springs None; straight to revocation City Manager, or authorized designee charged with the
administration of the business
license tax and regulatory
program.

Staff Recommendation:

To streamline revocation procedures, staff recommends that the City Manager be authorized to suspend a business license and unless appealed within seven (7) calendar days upon receiving the suspension notice, the suspension automatically convert to a revocation.

2. Revocation Appeal Body - Table 2 below summaries appeal body for business license revocations for municipalities within the Coachella Valley:

Table 2: Appeal Body
Municipality Appeal Body
Coachella City Council
Indio City Council
La Qunita City Manager
Indian Wells Planning Commission
Rancho Mirage City Council
Cathedral City City Council
Palm Springs Administrative Appeals Board
Requested Direction:

Does City Council want to continue to be the appeal body for business license revocations as proposed above or should that authority be delegated to a hearing examiner.

Staff Analysis/Considerations:

Currently, none of the cities within the Coachella Valley use a hearing examiner for business license appeals. However, Palm Springs uses an Administrative Appeals

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City of Palm Desert
City Council Direction – Business License Suspension/Revocation Code Update

Page 3 of 3 ends

Board that functions like a hearing examiner. This board hears appeals of nuisance abatement orders, code enforcement orders, enforcement of any zoning or land use regulation, animal control orders, and similar matters. The board does not have authority to hear appeals of any action taken by the city council or any other board or commission of the city.

Palm Desert currently uses a hearing examiner to conduct administrative citation hearings for health and safety violations. In recent years, municipalities have trended towards establishing a hearing examiner system for code enforcement and licensing actions, and land use permits, as the permit process has become increasingly complicated from a legal and procedural standpoint. The basic purpose of having a hearing examiner conduct these hearings is to have a professionally trained individual making objective decisions that are supported by an adequate record allowing the governing body to focus on policy-making decisions.

FINANCIAL IMPACT:

There is no fiscal impact associated with this item.

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CITY OF PALM DESERT
CITY MANAGER’S OFFICE

INTEROFFICE MEMORANDUM
Date: August 24, 2023
To: Honorable Mayor and Councilmembers
From: Anthony J. Mejia, City Clerk
Subject: City Council Meeting of August 24, 2023
Below you will find questions received from the Mayor or Councilmembers and answers provided by City staff regarding tonight’s City Council meeting:

ITEM 13d: ACCEPT RESIGNATIONS FROM THE CIVIC ENGAGEMENT COMMITTEE, CULTURAL

ARTS COMMITTEE, AND PARKS AND RECREATION COMMITTEE
Q1: Where are the full bylaws posted on the City’s website? A1: The City Council recently adopted an ordinance to incorporate all bylaws into the Palm Desert Municipal Code (PDMC) for consolidation and easy reference. Please see Title 2, Administration and Personnel, to access the bylaws. In the coming days, City staff will also update the Advisory Body landing webpage to include hyperlinks to the PDMC section of the applicable bylaws.

Q2: Wasn’t there a discussion of permitting non-residents that may hold subject matter experience?
A2: PDMC 2.34.030 states that the City Council may appoint a nonresident in cases where the City Council deems it appropriate to appoint a nonresident who offers specific expertise. In these circumstances, the City Council was unaware that the candidates where nonresidents and therefore did not make a finding or determination that it was necessary to appoint a nonresident for special expertise.

Q3: What measures have been implemented to ensure applicants live within city boundaries as necessary?
A3: City staff has reviewed and verified all appointed body members and applicants are registered voters of the City or their residences are located within City limits. Going forward, City staff will verify the voter registration and/or residential address is within City limits prior to interviews and will ensure that the interview documents indicate whether a candidate is a nonresident.

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08/24/2023 Question & Answer Memo

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ITEM 13e: HOUSING AUTHORITY: RESOLUTION AUTHORIZING EXECUTION AND DELIVERY OF A HOUSING AND LOAN AGREEMENT WITH A0358 MONTEREY, L.P., APPROVING A LOAN IN THE AMOUNT OF $7,235,000 FOR CONSTRUCTION OF 176 AFFORDABLE

HOUSING UNITS AND RELATED ACTIONS
ITEM 13g: APPROVE A HOUSING AGREEMENT BY AND BETWEEN THE CITY OF PALM DESERT AND A0358 MONTEREY, LP, FOR THE CROSSINGS AT PALM DESERT APARTMENTS

PROJECT
Q1: Why is only one, 3-bedroom unit allotted under the 80% AMI and zero designated under the 59% AMI (page 164/298)?
A1: One of the City’s Housing Element’s program, Program 4C, is to implement programs or assist in housing affordable to extremely low-income households. It is difficult to locate adequate and affordable housing if there is a limited supply of larger units. Prices for larger units tend to be affordable only to moderate- and above-moderate income households. Based on the need of units for larger families for lower income households and to maintain the feasibility of the Project, the three-bedroom units were allocated primarily for extremely low households.

Q2: With a priority for Veterans identified, is there a cap on units held for Veterans (page 299)?
A2: Units are not set aside for veterans, therefore there is no cap. Typically, priority to Veterans is provided in the selection from the waitlist when a unit becomes available. The developer will establish a policy on the selection of Households or individuals from the waiting list, including any preference. In accordance with the implemented preferences, Veterans will have priority.

Q3: How frequently has the city had to exercise such inspections as provided in Section 5.2 Maintenance, Repair, Alterations (Page173/306)?
A3: These types of inspections are routinely conducted by the other funding sources and the City is provided any findings. Only when there are findings or concerns does the City exercise the option described in Section 5.2; the City has exercised this option minimal times.

ITEM 13f: APPROVE SECOND AMENDMENT TO THE EL PASEO PARKING & BUSINESS

IMPROVEMENT DISTRICT CONTRACT WITH FG CREATIVE
Q1: Which have the most successful campaigns? How is return on investment (ROI) measured?
A1: The EPPBID’s work is multifaceted, and over the years the board has found ways to make its small budget work hard to help achieve its goals. The ultimate goal is to bring people to the street to help support the many stores, galleries, and restaurants in the district. In terms of marketing, they’ve had great success with social media, raising brand awareness and inviting people to the street whenever there is any kind of activation. The partnership with Palm Springs Life has also been beneficial, using direct email, a dedicated website, and physical pieces such as the El Paseo Catalogue. In each case, ROI is measured by the number of people reached, and their engagement with the content provided through each medium.

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08/24/2023 Question & Answer Memo

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ITEM 13j: REQUEST FOR MAYOR PRO TEM QUINTANILLA TO PARTICIPATE IN THE 2024

LEADERSHIP COACHELLA VALLEY PROGRAM
Q1: What is the rationale for charging this to the general local meetings budget, which has $9,000 to cover everyone's local meetings for the year, rather than to the individual discretionary budget for contributions/meetings of $2,500 per councilmember? A1: This item was brought forward because it was City staff’s understanding that Mayor Pro Tem Quintanilla was seeking funding to attend Leadership Coachella Valley. The individual councilmember discretionary budget would be an appropriate source for payment of Leadership Coachella Valley and Mayor Pro Tem Quintanilla has the full budget of $2,500 available.

ITEM 13o: AWARD ON-CALL CONTRACTS TO MULTIPLE VENDORS FOR PARK AND

FACILITIES REPAIRS AND IMPROVEMENT PROJECTS
Q1: What is the location of the evaporative cooler at Civic Center park? A1: The evaporative cooler in Civic Center Park is located at the baseball field snack bar.

Q2: Why is there only an evaporative cooler and not AC units at the Soccer Park and Freedom Park?
A2: Evaporative coolers are an effective and energy efficient way to cool the snack bars at the parks for most of the year, especially when outdoor sports are taking place.

ITEM 14a: APPROVAL OF AN AGREEMENT FOR LAW ENFORCEMENT SERVICES BETWEEN THE CITY OF PALM DESERT AND THE COUNTY OF RIVERSIDE FOR A THREEYEAR TERM FROM FY2024/2025 TO FY2026/2027 Q1: In keeping staffing levels flat, with the assistance of ALPR, does this allow for deputies to move to other specialized units? Does “reporting out ALPR data” include record requests out of state? Can we get these reports after the first quarter, and monthly thereafter?
A1: The ALPR system increases a deputy’s efficiency in responding to a crime. As a result, they can return to patrol duty sooner which increases their ability to proactively patrol the community. With the City’s ALPR program going live last October, the City has reported out to the Public Safety Committee and City Council on the number of cases ALPR has helped solve and effectiveness of the system with law enforcement activity. The Sheriff’s Department is in the process of creating a “Transparency Portal” which will include shared agencies and out-ofstate agency requests. Once the portal is live, the City will include its information into the regular updates to the Public Safety Committee and City Council.

Q2: What is the annual cost for the California Identification System and Records Management System (Page 584, Section 2.2)? How often does City staff utilize RMS or DOJ access under CLETS [Page 584, Section 2.2A, subsections (a) and (b)]? A2: The cost of the CAL-ID system is $50,889. This system is a statewide fingerprint ID system.

The cost of the Records Management System (RMS) is $117,577. This is a system that stores records. City staff does not utilize CAL-ID, RMS, DOJ law enforcement systems, nor the California Law Enforcement Telecommunications System (CLETS). These systems are utilized by Sheriff’s Department personnel on a regular basis in performance of their work duties.

Q4: Has the City ever had an appointed Police Chief (Page 585, Section 4)? A4: The City’s dedicated lieutenant serves as the City’s Police Chief with guidance from the Palm Desert Station Commander. The City, through the City Manager, has a say in who is

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08/24/2023 Question & Answer Memo

Page 4 of 5 ends

appointed to be the City’s dedicated lieutenant. The Palm Desert Station Commander is selected by the Sheriff’s Department.

Q5: Administrative fees will not be charged to the City if those charges are provided free of charge to any City in the County. Does Palm Desert get charged the same fees as others for services charged to other cities (Page 587, Section 7)? A5: Government Code 51350 states the Sheriff’s Department cannot charge one city for a service that is available to all areas of the County. These fees are those types of charges described in Section 7 and not included in the contract rate. They include Special Investigations Bureau, SERT (Emergency Services Team), and Aviation. Otherwise, a contract city is charged the same rate as all other contract cities.

Q6: What is the average annual cost for miscellaneous costs? What is the annual budget allocation (Page 588, Section 7.6)?
A6: The annual budget amount is $70,000 and based on prior year actuals. These are costs for blood draws, blood analysis, sexual assault exams and other related items that law enforcement will request from the approved provider if needed for the investigation.

Q8: What is the timeline in which RSO agrees to return records as requested (Page 589, Section 10)?
A8: Depending upon the nature of the request, the Sheriff’s Department responds in a reasonable amount of time often same the day or week. Overall, the Sheriff’s Department is bound by the requirements of the California Public Records Act.

ITEM 14b: PALM DESERT REDISTRICTING 2023 - REVIEW OF THE SCHEDULE OF PUBLIC HEARINGS/WORKSHOPS AND PUBLIC EDUCATION AND OUTREACH PLAN –

OPTIONAL PROCESSES FOR ESTABLISHING DISTRICT BOUNDARIES Q1: Can the timeline be extended for additional days since residents were understandably focused on recovery from Hurricane Hillary?
A1: If requested by the City Council, City staff recommends adjusting the Community Workshop #1 to Tuesday, September 19, 2023, at 6:00 p.m. but maintaining the overall schedule to ensure that a final map and associated ordinances are adopted in advance of the April deadline.

ITEM 14d: REQUEST FOR FEEDBACK AND DIRECTION REGARDING UPDATING CHAPTER

5.04 REGARDING MODIFICATION, SUSPENSION, OR REVOCATION OF BUSINESS

LICENSES
Q1: How often does the City revoke licenses? Are they frequently appealed? A1: In the last 8 months, the City initiated two revocations; Sweet Spot and AZ Spa. Of those, City Council held the revocation hearing on Sweet Spot, but it was not appealed to the district court. AZ Spa canceled its license, and the revocation hearing did not occur.

In the 15 years prior, the City initiated seven license revocations and City staff is not aware that any were appealed.

ITEM 15c: ORDINANCE TO CHANGE THE ZONING DESIGNATION OF PARCEL 1 OF PARCEL MAP NO. 36614, LOCATED APPROX. 500 FEET FROM NW CORNER OF HWY 111 AND FRED WARING DR. FROM RESORT COMMERCIAL CENTER (PC-4) TO DISTRICT COMMERCIAL CENTER (PC-2) - CEQA FINDING
Q1: Is the 7th Whereas clause in the Planning Commission resolution missing the word "not," as in "will not render" (Page 671)?

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08/24/2023 Question & Answer Memo

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A1: Correct, the seventh Whereas of Planning Commission Resolution No. 2837, should read as follows, “WHEREAS, the proposed Change of Zone will not render the existing improvements on the site or land uses nonconforming with any applicable Palm Desert Zoning Ordinance standards.” City staff will proceed with correcting the original resolution for the official record.

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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: August 24, 2023
PREPARED BY: Anthony J. Mejia, City Clerk
REQUEST: JOINT CITY COUNCIL AND HOUSING AUTHORITY PUBLIC HEARING

TO CONSIDER REMOVAL OF BLAIR ARMSTRONG FROM THE PALM

DESERT HOUSING COMMISSION IN ACCORDANCE WITH HEALTH
AND SAFETY CODE SECTION 34282
RECOMMENDATION:

1. Pursuant to Health and Safety Code Section 34282, conduct a hearing on the removal of Blair Armstrong from the Palm Desert Housing Commission.

2. Find Blair Armstrong to be in neglect of duty of his obligations as a Housing Commissioner and remove him from the Palm Desert Housing Commission, effective immediately.

BACKGROUND/ANALYSIS:

On June 23, 2022, the City Council/Housing Authority appointed Blair Armstrong to the Housing Commission for a term ending June 20, 2025. Since that time, Mr. Armstrong accrued six (6) unexcused absences in the past twelve (12) months. Over the past several months, City staff has attempted to reach out to Mr. Armstrong via emails, voicemails, and letters with no response.

The Palm Desert Municipal Code (PDMC) includes a provision for automatic resignation of a member due to excessive unexcused absences; however, Health and Safety Code Section 34282 specifically pertains to the removal of a Housing Commissioner and supersedes the PDMC.

Pursuant to Section 34282, a Housing Commissioner may be removed for reasons of inefficiency, neglect of duty, or misconduct in office. However, such action requires City Council/Housing Authority action at a hearing. Commissioner Armstrong must be informed of the charges at least 10 days prior to the hearing, and have the opportunity to be heard at the hearing.

As such, it is necessary for the City Council/Housing Authority to make one of the findings above in order to proceed with his removal from the Housing Commission. Staff recommends that the City Council/Housing Authority find that Commissioner Armstrong’s pattern of absence from Housing Commission meetings and lack of communication with staff constitutes “neglect of duty” of his office, and that the City Council/Housing Authority remove Commissioner Armstrong from the Housing Commission, effective immediately.

FINANCIAL IMPACT:

There is no fiscal impact.

ATTACHMENTS:

1. Notice of Public Hearing – Certified Letter, dated July 10, 2023

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C I T Y O F P A L M D E S E R T
73-510 FRED WARING DRIVE
PALM DESERT, CALIFORNIA 92260-2578
TEL: 760-346-0611
[email protected]
July 10, 2023
Blair Armstrong SENT VIA EMAIL
& CERTIFIED MAIL
Palm Desert, CA 92260
Mr. Armstrong:

Enclosed you will find a notice of public hearing for consideration of removing you from the Housing Commission due to accruing six (6) unexcused absences in the past twelve (12) months. City staff has attempted to contact you on several occasions via email, letters, and voicemails, urging you to contact us so we may better understand the reason for your absences and work with you to reach a resolution.

I want to ensure that you are aware that State law prohibits the Housing Authority from removing you from office without your voluntary resignation or conducting a public hearing.

We have provided you with multiple opportunities to resign voluntarily, and this letter serves as notification of the charges against you.

The City Council holds its community volunteers in high regard, and it is my sincere desire to resolve this matter without the need for a public hearing. However, we cannot move forward with filling your position on the Housing Commission without the public hearing or your cooperation. To that end, I am enclosing a voluntary resignation form for your consideration, or you may simply call or send an email to that effect. I hope you will contact us before August 17, 2023, at which point this matter will be listed on the Housing Authority agenda.

Phone: 760-776-6304
Email: [email protected]
Respectfully,
Anthony J. Mejia, City Clerk
City of Palm Desert

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C I T Y O F P A L M D E S E R T
73-510 FRED WARING DRIVE
PALM DESERT, CALIFORNIA 92260-2578
TEL: 760-346-0611
[email protected]
July 10, 2023
Blair Armstrong SENT VIA EMAIL
& CERTIFIED MAIL
Palm Desert, CA 92260
Re: NOTICE OF PUBLIC HEARING – CONSIDERATION OF REMOVING BLAIR

ARMSTRONG FROM THE PALM DESERT HOUSING COMMISSION
Mr. Armstrong:

NOTICE IS HEREBY GIVEN that a Public Hearing of the Palm Desert Housing Authority will be held on August 24, 2023, at 4:00 p.m. in the Council Chamber, City Hall, located at 73510 Fred Waring Drive, Palm Desert, California, relative to the following:

Consideration of Removing Blair Armstrong from the Palm Desert Housing Commission Charges: Due to six (6) unexcused absences in the past twelve (12) months, find Blair Armstrong to be in neglect of duty and remove him from the Palm Desert Housing Commission, effective immediately.

Anthony J. Mejia, City Clerk
City of Palm Desert

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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: August 24, 2023
PREPARED BY: Jessica Gonzales, Housing Manager
REQUEST: RESOLUTION: APPROVE A PROPOSED PLAN FOR BOND ISSUANCE

BY THE CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT

AUTHORITY FOR THE CROSSINGS AT PALM DESERT APARTMENT

PROJECT
RECOMMENDATION:

1. Conduct the public hearing under the requirements of Tax and Equity Fiscal Responsibility Act (“TEFRA”) and the Internal Revenue Code of 1986, as amended (the “Code”) in connection with the proposed issuance in one or more series of revenue bonds by the California Statewide Communities Development Authority (“CSCDA”), a joint exercise of powers authority and public entity of the State of California, in an amount not to exceed Sixty Million Dollars $60,000,000.00 (the “Bonds”), to finance the acquisition, construction and development of the 176-unit Crossings at Palm Desert Apartments, a multifamily rental housing project located at located at the southeast corner of Dick Kelly Drive & Gateway Drive, Palm Desert, California (the “Project”) and receive public comments.

2. Adopt Resolution in the form attached hereto approving the issuance of the Bonds by CSCDA for the benefit of A0357 Palm Desert, L.P., a California Limited Partnership (the "Borrower") a partnership of which Urban Housing Communities, LLC (the "Developer") or a related person to the Developer is the general partner, to provide for the financing of the Project.

Such adoption is solely for the purposes of satisfying the requirements of TEFRA, the Code and California Government Code Sections 6500 et seq..

BACKGROUND/ANALYSIS:

On July 14, 2022, the City Council unanimously adopted a resolution approving the development of a 176-unit apartment project, known as “Crossings at Palm Desert Apartments”, located at the southeast corner of Dick Kelly Drive & Gateway Drive, Palm Desert. The Borrower is requesting bond financing from the CSCDA in an aggregate principal amount not to exceed Sixty Million Dollars ($60,000,000.00) of tax-exempt revenue bonds to construct the project. CSCDA was formed to provide local governments with tools for the timely financing of public benefit projects.

As part of the process to issue bonds, the local agency is required to hold a public hearing and adopt a resolution supportive of the bond issuance. The Bonds to be issued by the CSCDA for the Project will be the sole responsibility of the Borrower, and the City will have no financial, legal, moral obligation, liability or responsibility for the Project or the repayment of the Bonds for the financing of the Project. All financing documents with respect to the issuance of the Bonds will contain clear disclaimers that the Bonds are not the obligations of the City and will be paid solely from funds provided by the Borrower.

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City of Palm Desert
Crossings at Palm Desert Apartment Project - TEFRA Hearing, Bond Issuance

Page 2 of 2 ends

On July 13, 2023, the City Council conducted a TEFRA hearing for this same purpose. When the required public hearing notice was published for the previous TEFRA hearing, the name of the limited partnership was listed incorrectly. This request is to satisfy the required TEFRA public hearing referencing the correct limited partnership, A0358 Monterey, L.P.

Affordable housing development is a priority of the City Council, and therefore staff recommends that the City Council take public testimony during the public hearing and adopt a resolution supporting the Borrower’s request.

Strategic Plan:

One of the priorities of the City’s Envision Palm Desert Strategic Plan, as part of Land, Use, Housing and Open Space, is to facilitate development of high-quality housing for people of all income levels. This request meets that objective by diversifying the City’s housing stock for lower income households.

FINANCIAL IMPACT:

There is no fiscal impact to the City resulting from the approval of the Borrower’s request.

Adoption of the resolution would allow CSCDA to issue housing bonds for the financing of the construction of 176-unit Crossings at Palm Desert Apartment project.

ATTACHMENTS:

1. City Council Resolution

2. City Council Public Hearing Notice

3. Indemnity Agreement

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RESOLUTION NO. 2023 -__

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT

APPROVING THE ISSUANCE BY THE CALIFORNIA STATEWIDE

COMMUNITIES DEVELOPMENT AUTHORITY OF EXEMPT FACILITY BONDS

FOR THE CROSSINGS AT PALM DESERT APARTMENTS
WHEREAS, the California Statewide Communities Development Authority (the "Authority") is authorized pursuant to the provisions of California Government Code Section 6500 et seq. and the terms of an Amended and Restated Joint Exercise of Powers Agreement, dated as of June 1, 1988 (the "Agreement"), among certain local agencies throughout the State of California, including the City of Palm Desert (the "City"), to issue revenue bonds in accordance with Chapter 7 of Part 5 of Division 31 of the California Health and Safety Code for the purpose of financing multifamily rental housing projects; and
WHEREAS, A0358 Monterey, L.P., a California limited partnership has requested that the Authority adopt a plan of financing providing for the issuance of exempt facility bonds for a qualified residential rental project pursuant to Section 142(a)(7) of the Internal Revenue Code of 1986 (the "Code") in one or more series issued from time to time, including bonds issued to refund such exempt facility bonds in one or more series from time to time, and at no time to exceed $60,000,000 in outstanding aggregate principal amount (the "Bonds"), to finance or refinance the acquisition, construction and development of a multifamily rental housing project located at the southeast corner of Dick Kelly Drive & Gateway Drive, Palm Desert, California (the "Project"); and
WHEREAS, pursuant to Section 147(f) of the Code, prior to their issuance, private activity bonds are required to be approved by the "applicable elected representative" of the governmental units on whose behalf such bonds are expected to be issued and by a governmental unit having jurisdiction over the entire area in which any facility financed by such bonds is to be located, after a public hearing held following reasonable public notice; and WHEREAS, the members of this City Council (this "City Council") are the applicable elected representatives of the City; and
WHEREAS, there has been published, at least 7 days prior to the date hereof, in a newspaper of general circulation within the City, a notice that a public hearing regarding the Bonds would be held on a date specified in such notice; and
WHEREAS, such public hearing was conducted on such date, at which time an opportunity was provided to interested parties to present arguments both for and against the issuance of the Bonds; and
WHEREAS, the Authority is also requesting that the City Council approve the issuance of any refunding bonds hereafter issued by the Authority for the purpose of refinancing the Bonds which financed the Project (the "Refunding Bonds"), but only in such cases where federal tax laws would not require additional consideration or approval by the City Council; and WHEREAS, it is intended that this resolution shall constitute the approval of the issuance of the Bonds required by Section 147(f) of the Code and Section 9 of the Agreement;

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BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PALM DESERT AS FOLLOWS:

SECTION 1. The above recitals are true and correct.

SECTION 2. The City Council hereby approves the issuance of the Bonds and the Refunding Bonds by the Authority. It is the purpose and intent of the City Council that this resolution constitute approval of the Bonds for the purposes of (a) Section 147(f) of the Code and (b) Section 9 of the Agreement.

SECTION 3. The issuance of the Bonds shall be subject to the approval of the Authority of all financing documents relating thereto to which the Authority is a party. The City shall have no responsibility or liability whatsoever with respect to the Bonds.

SECTION 4. Neither the City nor its staff have reviewed or considered the financial feasibility of the Project or the expected financing or operation of the Project with regard to any State of California statutory requirements. The adoption of this Resolution shall not obligate the City or any department thereof to (i) provide any financing to acquire or construct the Project or any refinancing of the Project; (ii) approve any application or request for or take any other action in connection with any planning approval, permit or other action necessary for the acquisition, construction, rehabilitation, installation or operation of the Project; (iii) make any contribution or advance any funds whatsoever to the Authority; or (iv) take any further action with respect to the Authority or its membership therein.

SECTION 5. The officers of the City are hereby authorized and directed, jointly and severally, to do any and all things and to execute and deliver any and all documents that they deem necessary or advisable in order to carry out, give effect to and comply with the terms and intent of this resolution and the financing approved hereby.

SECTION 6. This resolution shall take effect immediately upon its passage.

ADOPTED ON August 24, 2023

KATHLEEN KELLY
MAYOR
ATTEST:

ANTHONY J. MEJIA

CITY CLERK

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NOTICE OF PUBLIC HEARING

REGARDING ISSUANCE OF

EXEMPT FACILITY BONDS FOR

THE CROSSINGS AT PALM DESERT APARTMENTS
NOTICE IS HEREBY GIVEN that, at 4:00 p.m., or as soon thereafter as the matter can be heard, on Thursday, August 24, 2023, at the Civic Center Council Chamber, 73510 Fred Waring Drive, Palm Desert, California, the City Council of the City of Palm Desert (the "City") will conduct a public hearing as required by Section 147(f) of the Internal Revenue Code of 1986 (the "Code"), at which it will hear and consider information concerning a proposed plan of financing providing for the issuance by the California Statewide Communities Development Authority of exempt facility bonds for a qualified residential rental project pursuant to Section 142(a)(7) of the Code in one or more series issued from time to time, including bonds issued to refund such exempt facility bonds in one or more series from time to time, and at no time to exceed $60,000,000 in outstanding aggregate principal amount, to finance or refinance the acquisition, construction and development of a multifamily rental housing project located at the southeast corner of Dick Kelly Drive & Gateway Drive, Palm Desert, California. The facilities are to be owned by A0358 Monterey, L.P., a California limited partnership (the "Project").

Those wishing to comment on the proposed financing or refinancing and the nature and location of the Project may either appear in person at the public hearing or submit written comments, which must be received by 12:00 p.m. on the day of the hearing. Written comments should be sent to City of Palm Desert at 73510 Fred Waring Drive, Palm Desert, California 92260-2578 Attention: City Clerk or emailed to
[email protected].

CITY COUNCIL FOR THE CITY OF PALM DESERT
Anthony J. Mejia, MMC
City Clerk

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INDEMNITY AGREEMENT
THIS INDEMNITY AGREEMENT (this “Agreement”) is entered into as of July ____, 2023, by and between URBAN HOUSING COMMUNITIES, LLC, a California limited liability company (“UHC”), and the CITY OF PALM DESERT, a California municipal corporation (the “City”), with reference to the following facts and circumstances:

R E C I T A L S
WHEREAS, A0357 Palm Desert, L.P., a California Limited Partnership, a partnership of which UHC or a related person to UHC is the general partner, has requested that the California Statewide Communities Development Authority (the “CSCDA”) adopt a plan of financing providing for the issuance of exempt facility bonds for a qualified residential rental project pursuant to Section 142(a)(7) of the Internal Revenue Code of 1986 (the “Code”) in one or more series issued from time to time, including bonds issued to refund such exempt facility bonds in one or more series from time to time, and at no time to exceed Sixty Million Dollars ($60,000,000.00) in aggregate principal amount (the “Bonds”), to finance or refinance the acquisition, construction and development of a multifamily rental housing project located at the southeast corner of Dick Kelly Drive and Gateway Drive, Palm Desert, California; and WHEREAS, pursuant to Section 147(f) of the Code, the issuance of the Bonds by CSCDA must be approved by the City because the Project is located within the territorial limits of the City; and
WHEREAS, the City Council of the City (the “City Council”) is the elected legislative body of the City and is one of the “applicable elected representatives” required to approve the issuance of the Bonds under Section 147(f) of the Code; and WHEREAS, the CSCDA has requested that the City Council approve the issuance of the Bonds by the CSCDA in order to satisfy the public approval requirement of Section 147(f) of the Code and the requirements of Section 9 of the Amended and Restated Joint Exercise of Powers Agreement relating to the CSCDA, dated as of June 1, 1988 (the “Agreement”), among certain local agencies, including the City; and
WHEREAS, pursuant to Section 147(f) of the Code, the City Council has, following notice duly given, held a public hearing regarding the issuance of the Bonds, and on July 13, 2023 adopted Resolution No. ___ of the City approving the issuance of the Bonds.

NOW, THEREFORE, in consideration of the foregoing recitals, and the City’s adoption of Resolution No. ____, UHC and the City agree as follows:

1. Indemnification. From and after the execution of this Agreement, UHC hereby agrees to indemnify, defend (with counsel reasonably acceptable to City) and hold harmless the City and its officers, employees and council members (collectively, the “City Parties”) from and against all legal actions or proceedings, and any other claims, liabilities, losses, judgments, damages, awards, costs and expenses (including reasonable attorneys’ fees and court costs actually incurred by the City Parties) arising directly or indirectly out of or related to the City’s

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-2-
P6401-0001\2828123v2.doc
approval of the issuance of the Bonds as provided in Resolution No. ___ of the City and adopted on July 13, 2023.

2. Governing Law; Interpretation/Construction of Agreement. This Agreement shall be construed in accordance with the laws of the State of California in effect at the time of the execution of this Agreement. This Agreement shall be construed according to its fair meaning as if prepared by both parties hereto.

3. Modifications; Waivers. No modifications of this Agreement, shall be effective unless it is in writing and is duly authorized and executed by the parties hereto, and similarly no waiver by either party of any provision of this Agreement shall be effective unless it is in writing and is duly authorized and executed by the waiving party.

4. Severability. If any term, provision, condition or covenant of this Agreement or the application thereof to any party or circumstance shall, to any extent, be held invalid or unenforceable, the remainder of this instrument, or the application of such term, provision, condition or covenant to persons or circumstances other than those as to whom or which it is held invalid or unenforceable, shall not be affected thereby, and each term and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law.

5. Merger of Prior Agreements and Understandings. This Agreement contains the entire understanding between the parties related to the matters covered by this Agreement and all prior or contemporaneous agreements, understandings, representations and statements, whether oral or written, are merged herein and shall be of no further force or effect.

6. Counterparts; Electronic Delivery. This Agreement may be executed in any number of counterparts which, when taken together, shall constitute a fully-executed original. [Remainder of this page intentionally left blank]
[Signatures appear on next page]

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-3-
P6401-0001\2828123v2.doc
IN WITNESS WHEREOF, UHC and the City have executed this Agreement as of the date first set forth above.

URBAN HOUSING COMMUNITIES, LLC,
a California limited liability company
By:

Name:

Title:

By:

Name:

Title:

CITY OF PALM DESERT,
a California municipal corporation
By:

Name: Kathleen Kelly
Title: Mayor
ATTEST:

Anthony J. Mejia, City Clerk

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Crossings at
Palm Desert
Public Hearing
August 24, 2023

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Crossings at Palm
Desert Apartments
A multifamily rental housing community
located at located at the southeast corner of
Dick Kelly Drive & Gateway Drive, Palm
Desert
The proposed 100% affordable housing
development will consist of 176 units varying
from one-, two- and three-bedroom units.

Staff recommends that the City Council take
public testimony and adopt the resolution
supporting the Borrower’s request.

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PROPOSED PLAN

FOR BOND ISSUANCE
• The California Statewide Communities Development Authority (“CSCDA”) is authorized to issue revenue bonds for the purpose of financing multifamily rental housing projects;
• The Borrower, a partnership of the Developer has requested that CSCDA adopt a plan of financing providing for the issuance of multi-family housing revenue bonds. • The proposed plan includes the issuance of tax-exempt revenue bonds not to exceed Sixty Million Dollars ($60,000,000.00) for the purpose of constructing the project.
• The proposed plan requires the local jurisdiction to hold a public hearing and adopt a resolution supportive of the bond issuance to meet the requirements of the Tax and Equity Fiscal Responsibility Act (“TEFRA”) and the Internal Revenue Code of 1986 (“Code”).
• The City has no other obligations beyond satisfying the requirements of TEFRA and the Code.
• The bonds to be issued by the CSCDA for the financing of this community will be the sole responsibility of the Borrower, including the repayment. • The City has supported and satisfied the requirements of TEFRA and the Code for other developments including The Sands, Vitalia, and Gerald Ford Apartments.

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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: August 24, 2023
PREPARED BY: Nick Melloni, Principal Planner
REQUEST: ORDINANCE TO CHANGE THE ZONING DESIGNATION OF PARCEL 1 OF PARCEL MAP NO. 36614, LOCATED APPROX. 500 FEET FROM NW CORNER OF HWY 111 AND FRED WARING DR. FROM RESORT
COMMERCIAL CENTER (PC-4) TO DISTRICT COMMERCIAL CENTER
(PC-2) – CEQA FINDING
RECOMMENDATION:

Waive full reading and introduce Ordinance entitled “An Ordinance of the City of Palm Desert, California, adopting a Notice of Exemption in accordance with the California Environmental Quality Act (CEQA) and approving a change of zone from PC-4 to PC-2 for the property located on Parcel 1 of Parcel Map No. 36614 at 72221 Highway 111 (Assessor’s Parcel Number 640- 020-054)”
BACKGROUND/ANALYSIS:

The project is a request by 72221 Highway 111 LLC (Applicant) to change the zoning designation of a parcel located at 72221 Highway 111 (Assessor’s Parcel Number 640-020-054) from Resort Commercial Center (PC-4) to District Commercial Center (PC-2). This is a 1.34-acre parcel developed with an existing 16,008-square-foot multi-tenant commercial building and associated parking lot, which is shared with neighboring parcels in the same shopping center.

Strategic Plan:

The project implements Goal 5 of Land Use, Housing & Open Space priorities by making the zoning of the site more consistent with the General Plan Land Use element.

Appointed Body Recommendation:

At its July 18, 2023, regular meeting, the Planning Commission adopted Resolution No. 2837 (Attachment #2) recommending that the City Council adopting a notice of exemption in accordance with CEQA and approving the Change of zone request.

Project Description:

The proposed Change of Zone will not result in non-conformities for the existing land uses within the center, and will not result in non-conformities to development standards for the parcel. The requested zoning designation is consistent with the General Plan Land Use Designation for the site, Suburban Retail Center. Additionally, the change is consistent with requirements of Senate Bill 330 regarding “downzoning”, or reducing density levels, for housing. A detailed analysis of this is provided in the Planning Commission Staff Report Dated July 18, 2023, provided as Attachment #3 of this report.

Public Notification:

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City of Palm Desert
CZ23-0001 – Change of Zone 72221 Highway 111

Page 2 of 2 ends

Public noticing was conducted for the August 24, 2023, City Council meeting per the requirements of PDMC Section 25.60.060 and Government Code Sections 65090 to 65094. A public hearing notice was published a minimum of ten (10) days before the hearing date in The Desert Sun newspaper. Notices were mailed to all property owners within 300 feet of the project site. No comments have been received as of the date of this report.

Environment Review:

Pursuant to CEQA and the State CEQA Guidelines, the project was found to be exempt from further environmental review per Section 15061(b)(3) (General Rule exemption). The project enacts the General Plan in accordance with the Zoning Ordinance by changing the designation of the site to PC-2. The project site is an existing approved commercial center. No significant impacts on the environment are anticipated.

FINANCIAL IMPACT:

There is no fiscal impact associated with the recommended action.

ATTACHMENTS:

1. Ordinance No. ________

2. Planning Commission Resolution No. 2837

3. Planning Commission Staff Report – July 18, 2023

4. Draft Planning Commission Minutes – July 18, 2023

5. Notice of Exemption

6. Reference Site Plan

7. Public Hearing Notice

8. Council PowerPoint

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ORDINANCE NO. ____

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM

DESERT, CALIFORNIA, ADOPTING A NOTICE OF EXEMPTION

PURSUANT TO THE CALIFORNIA ENVIRONMENTAL QUALITY ACT
(CEQA) AND APPROVING A CHANGE OF ZONE FROM PC-4 TO PC-2 FOR THE PROPERTY LOCATED ON PARCEL 1 OF PARCEL MAP NO
36614 AT 72221 HIGHWAY 111 (ASSESSOR’S PARCEL NUMBER 640- 020-054)
WHEREAS, 72221 Highway 111, LLC (“Applicant”), submitted a request to change the zoning designation of a 1.34-acre parcel located at 72221 Highway 111, legally described as Parcel 1 of PM 36614 (Assessor’s Parcel Number 640-020-054; Case No.

CZ230001) from Resort Planned Commercial (PC-4) to District Planned Commercial (PC2) (“Project”); and WHEREAS, the Project site has a land use designation of Suburban Retail Center in the Palm Desert General Plan adopted on November 10, 2016, and a zoning designation of Resort Commercial Center (PC-4); and
WHEREAS, the Project site has been developed with existing improvements, which generally consist of a multi-tenant commercial building, related parking lot, and landscaping; and
WHEREAS, the Project site is adequately served by existing public utilities and services; and
WHEREAS, under Section 21067 of the Public Resources Code, Section 15367 of the California Environmental Quality Act (CEQA) Guidelines (Cal. Code Regs., tit. 14, § 15000 et seq.) and the City of Palm Desert’s (“City’s”) local CEQA Guidelines, the City is the Lead Agency for the Project; and
WHEREAS, pursuant to Palm Desert Municipal Code (PDMC) Chapter 25.02 establishes that the Suburban Retail Center General Plan land use designation is implemented by the District Commercial Center (PC-2) zoning designation, and is therefore, consistent with the 2016 Palm Desert General Plan; and WHEREAS, the proposed change of zone will not render the existing improvements on the site or land uses nonconforming with any applicable Palm Desert Zoning Ordinance standards; and
WHEREAS, the Project has complied with the requirements of the "City of Palm Desert Procedure for Implementation of CEQA” Resolution No. 2019-41, in that the Director of Development Services has determined that the Project will not have a foreseeable significant impact on the environment and that the Project is eligible for an exemption pursuant to Section 15061(b)(3) of the CEQA Guidelines; therefore, no further environmental review is necessary at this time; and

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ORDINANCE NO. ____
2 WHEREAS, on July 18, 2023, the Planning Commission of the City of Palm Desert, California, held a duly noticed public hearing to consider Applicant’s request for approval of the above-noted Project request and did adopt Resolution No. 2837, recommending approval to the Palm Desert City Council; and
WHEREAS, on August 24, 2023, the City Council of the City of Palm Desert, California held a duly noticed public hearing to consider the Applicant’s request for approval of the above-noted Project request; and
WHEREAS, at said public hearing, upon hearing and considering the testimony and arguments of all interested persons desiring to be heard, the City Council did find the following facts and reasons exist to justify approval of said request:

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

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA DOES ORDAIN AS FOLLOWS:

SECTION 1. Adoption of Recitals. The City Council hereby finds that the foregoing recitals are true and correct and are incorporated herein as substantive findings of this Ordinance.

SECTION 2. Change of Zone. The change of zone is identified in “Exhibit A”.

SECTION 3. General Plan Consistency. The City Council hereby finds that the proposed zone change to PC-2 is consistent with the City of Palm Desert General Plan.

SECTION 4. CEQA. The application has complied with the requirements of the “City of Palm Desert Procedure for Implementation of CEQA” Resolution No. 2019-41, in that the Planning Commission finds that the Project is an exemption from CEQA pursuant to Section 15061(b)(3) of the CEQA Guidelines as the Project is a determination on whether a use that is not listed shall be deemed a conditional use. No direct, foreseeable impact on the environment can be identified at this time.

SECTION 5. Severability. If any section, subsection, clause or phrase of this Ordinance, or any part thereof, is for any reason held to be invalid, unconstitutional, or unenforceable by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portion of the Ordinance. The City Council declares that it would have passed each section, subsection, paragraph, sentence, clause, or phrase thereof, irrespective of the fact that any one or more section, subsection, sentence, clause or phrase would be declared invalid, unconstitutional or unenforceable.

SECTION 6. Publication. The City Clerk of the City of Palm Desert, California, is hereby directed to publish this Ordinance in the Desert Sun, a newspaper of general circulation, published and circulated in the City of Palm Desert, California, and shall be in full force and effective thirty (30) days after its adoption.

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ORDINANCE NO. ____
3 ADOPTED ON September 14, 2023.

KATHLEEN KELLY
MAYOR
ATTEST:

ANTHONY J. MEJIA

CITY CLERK
I, Anthony J. Mejia, City Clerk of the City of Palm Desert, hereby certify that Ordinance No. ____ is a full, true, and correct copy, and was introduced at a regular meeting of the City Council of the City of Palm Desert on August 24, 2023, and adopted at a regular meeting of the City Council held on September 14, 2023, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Desert, California, on ____________________________.

ANTHONY J. MEJIA

CITY CLERK

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ORDINANCE NO. ____
4

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PLANNING COMMISSION RESOLUTION NO. 2837

A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF PALM

DESERT, CALIFORNIA, ADOPTING A NOTICE OF EXEMPTION

PURSUANT TO THE STATE OF CALIFORNIA ENVIRONMENTAL QUALITY

ACT (CEQA) AND RECOMMENDING THAT THE CITY COUNCIL APPROVE A CHANGE OF ZONE FROM PC-4 TO PC-2 FOR THE PROPERTY
LOCATED ON PARCEL 1 OF PARCEL MAP NO 36614 AT 72221 HIGHWAY 111 (ASSESSOR’S PARCEL NUMBER 640-020-054)
CASE NO. CZ23-0001
WHEREAS, 72221 Highway 111 (“ Applicant”), submitted a request to change the zoning designation of a 1.34-acre parcel located at 72221 Highway 111, legally described as Parcel 1 of PM 36614 from Resort Planned Commercial ( PC-4) to District Planned Commercial (PC-2); and
WHEREAS, the Project site has a land use designation of Suburban Retail Center in the Palm Desert General Plan adopted on November 10, 2016, and a zoning designation of Resort Commercial Center (PC-4); and
WHEREAS, the Project site has been developed with existing improvements, which generally consist of a multi-tenant commercial building and related parking lot and landscaping; and
WHEREAS, the Project site is adequately served by existing public utilities and services; and
WHEREAS, under Section 21067 of the Public Resources Code, Section 15367 of the State California Environmental Quality Act (CEQA) Guidelines ( Cal. Code Regs., tit. 14, § 15000 et seq.) and the City of Palm Desert’s (“City’s”) Local CEQA Guidelines, the City is the lead agency for the Project; and
WHEREAS, under Palm Desert Municipal Code (PDMC) Chapter 25.02 establishes that the Suburban Retail Center General Plan land use designation is implemented by the District Commercial Center (PC-2) zoning designation; therefore, consistent with the 2016 Palm Desert General Plan; and
WHEREAS, the proposed Change of Zone will render the existing improvements on the site or land uses nonconforming with any applicable Palm Desert Zoning Ordinance standards; and
WHEREAS, under Section 21067 of the Public Resources Code, Section 15367 of the State CEQA Guidelines ( Cal. Code Regs., tit. 14, § 15000 et seq.), and the City of Palm Desert’s (“City’s”) Local CEQA Guidelines, the City is the lead agency for the Project; and WHEREAS, the Project has complied with the requirements of the "City of Palm Desert Procedure for Implementation of CEQA” Resolution No. 2019-41, in that the Director of Development Services has determined that the Project will not have a foreseeable significant impact on the environment and that the Project is eligible for an exemption exempt Section 15061(b)(3) General Rule of the CEQA Guidelines; therefore, no further environmental review is necessary at this time; and

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PLANNING COMMISSION RESOLUTION NO. 2837
2 WHEREAS, the Planning Commission of the City of Palm Desert, California, did on the 18th day of July 2023, hold a duly noticed public hearing to consider the request by the Applicant for approval of the above-noted Project request; and WHEREAS, at the said public hearing, upon hearing and considering all testimony and arguments, if any, of all interested persons desiring to be heard, the Planning Commission did find the following facts and reasons, which are outlined in the staff report, exist to justify approval of said request:

NOW, THEREFORE, BE IT RESOLVED by the Planning Commission of the City of Palm Desert, California, as follows:

SECTION 1. Recitals. The Planning Commission hereby finds that the foregoing recitals are true and correct and are incorporated herein as substantive findings of this Resolution.

SECTION 2. General Plan Consistency. The Planning Commission hereby finds that the proposed zone change to PC-2 is consistent with the City of Palm Desert General Plan.

SECTION 3. CEQA. The application has complied with the requirements of the “City of Palm Desert Procedure for Implementation of CEQA” Resolution No. 2019-41, in that the Planning Commission finds that the Project is an exemption from CEQA per Section 15061(b)(3) of the CEQA guidelines as the Project is a determination on whether a use that is not listed shall be deemed a conditional use. No direct, foreseeable impact on the environment can be identified at this time.

SECTION 4. Project Recommendation. The Planning Commission hereby recommends to the Palm Desert City Council approval of Case No. CZ23-0001 to change the zoning designation of Parcel 1 of PM 36614 to District Commercial Center (PC-2) as depicted in Exhibit A, attached hereto; and
SECTION 5. Custodian of Records. The documents and materials that constitute the record of proceedings on which these findings are based are located at the City’s office at 73510 Fred Waring Drive, Palm Desert, CA 92260. Richard D. Cannone, AICP, the Secretary to the Palm Desert Planning Commission, is the custodian of the record of proceedings.

SECTION 6. Execution of Resolution. The Chairperson of the Planning Commission signs this Resolution, and the Secretary to the Commission shall attest and certify to the passage and adoption thereof.

NOW, THEREFORE, BE IT RESOLVED by the Planning Commission of the City of Palm Desert, California, as follows:

1. That the above recitations are true and correct and constitute the findings for recommendation by the Planning Commission in this case.

2. That the Planning Commission does hereby recommend approval of Case No.

CZ23-0001.

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PLANNING COMMISSION RESOLUTION NO. 2837
ADOPTED ON July 18, 2023.

Nana Dena
Nancy DeLun-a ( Jul 25, 202318: 24 PDT)

NANCY DE LUNA

CHAIRPERSON
ATTEST:
00 RICHARD D. CANNONE, AICP

SECRETARY
I, Richard D. Cannone, AICP, Secretary of the City of Palm Desert, hereby certify that Resolution No. 2837 is a full, true, and correct copy, and was duly adopted at a regular meeting of the Planning Commission of the City of Palm Desert on July 18, 2023, by the following vote:

AYES: DE LUNA, GREENWOOD, GREGORY, and PRADETTO
NOES: NONE
ABSENT: HOLT
ABSTAIN: NONE
RECUSED: NONE
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Desert, California, on July, 2023.

RICHARD D. CANNONE, AICP

SECRETARY
3

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PLANNING COMMISSION RESOLUTION NO. 2837
4

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Res No 2837
Final Audit Report
Created: 2023- 07- 25
By: Monica O' Reilly ( moreilly@palmdesert. gov)
Status: Signed
Transaction ID: CBJCHBCAABAAS2Vf5lrVNvKLv2ed8o0SVILZzJKDYVr3 Res No 2837" History
Document created by Monica O' Reilly ( moreilly@palmdesert. gov) 2023- 07- 25 - 11: 39: 44 PM GMT
Document emailed to nancyjdeluna@gmail. com for signature 2023- 07- 25 - 11: 39: 59 PM GMT
Email viewed by nancyjdeluna@gmail. com
2023- 07- 26 - 1: 24: 36 AM GMT
rQ Signer nancyjdeluna@gmail. com entered name at signing as Nancy DeLuna 2023- 07- 26 - 1: 24: 54 AM GMT
r-Q Document e- signed by Nancy DeLuna ( nancyjdeluna@gmail. com) Signature Date: 2023- 07- 26 - 1: 24: 56 AM GMT - Time Source: server O Agreement completed.
2023- 07- 26 - 1: 24: 56 AM GMT
2023- 07- 26
0 Adobe Acrobat Sign

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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: July 18, 2023
PREPARED BY: Nick Melloni, Principal Planner
REQUEST: CONSIDERATION OF A RECOMMENDATION TO THE CITY COUNCIL TO

ADOPT A NOTICE OF EXEMPTION PURSUANT TO THE CALIFORNIA

ENVIRONMENTAL QUALITY ACT (CEQA) AND APPROVAL OF CHANGE OF ZONE 23-0001 TO CHANGE THE ZONING DESIGNATION OF PARCEL 1 OF PARCEL MAP NO. 36614, LOCATED APPROXIMATELY 500 FEET FROM THE NORTHWEST CORNER OF HIGHWAY 111 AND FRED WARING DRIVE
FROM RESORT COMMERCIAL CENTER (PC-4) TO DISTRICT COMMERCIAL CENTER (PC-2)
RECOMMENDATION:

Waive further reading and adopt Planning Commission Resolution No. 2837 to:

1. Conduct a public hearing and receive public testimony.

2. Recommend that the City Council adopt a Notice of Exemption pursuant to the General Rule Exemption under Section 15061(b)(3) “General Rule.”

3. Recommend that the City Council approve Case No. CZ23-0001 for a Change of Zone for Parcel 1 of Parcel Map No. 36614 from the PC-4 to PC-2 zoning designation.

EXECUTIVE SUMMARY
The project is a request by 72221 Highway 111 LLC (Applicant) to change the zoning designation of a parcel located at 72221 Highway 111 (Assessor’s Parcel Number 640-020-054) from Resort Commercial Center (PC-4) to District Commercial Center (PC-2). This is a 1.34-acre parcel developed with an existing 16,008-square-foot multi-tenant commercial building and associated parking lot, which is shared with neighboring parcels in the same shopping center.

City staff has reviewed the request and concludes that the proposed Change of Zone will not result in non-conformities for the existing land uses within the center or development standards for the parcel.

The requested zoning designation is consistent with the General Plan Land Use Designation for the site, Suburban Retail Center.

Adopting the staff’s recommendation will result in a recommendation that the City Council adopt a notice of exemption pursuant to CEQA under the General Rule exemption and approve Case No. CZ23-0001.

BACKGROUND/ANALYSIS:
a) Property Description: The project site is a 1.34-acre parcel located at 72221 Highway 111, near the northwest corner of Highway 111 and Fred Waring Drive. The lot is more specifically Parcel No. 1 of Parcel Map (PM) 36614. The site contains multi-tenant commercial buildings totaling approximately 16,008 square feet, with existing tenants, including a dog groomer, tattoo shop, and restaurant. The parcel and building were originally approved in 1979 as part of the “Las Sombras” development via Development Plan 01-78 and Variance 01-78, which established a commercial center on the northwest corner of Fred Waring Drive and Highway 111 for five (5) parcels and five (5) buildings and granted a

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City of Palm Desert
Case No. CZ23-0001 Change of Zone

Page 2 of 5 ends

parking variance. At the original time of approval, the complex was intended to be occupied by primarily restaurant land uses. Construction of the buildings was completed in 1980. The project parcel has an existing parking lot with a total of 59 spaces, accessible from Fred Waring Drive and Painters Path, and has access to approximately 508 total spaces from adjoining parcels within the commercial center.

The building currently has seven (7) suites, four (4) of which are occupied by a restaurant, tattoo shop, dog grooming business, and private gym. There is a pending application for a Use Determination (UD23-0001) and Conditional Use Permit (CUP). b) Current Zoning & General Plan Land Use Designation:

Table 1 – Adjacent Land Use and Designations
Existing Uses General Plan Zoning
Project
Site Commercial Suburban Retail Center Resort Commercial Center (PC-4) North Commercial Suburban Retail Center Resort Commercial Center (PC-4)
South Restaurant/Commercial Suburban Retail Center Resort Commercial Center (PC-4)
East Commercial Regional Retail Regional Commercial
Center (PC-3)
West Professional Office Employment Center District Commercial Center (PC-2)
Project Description/Analysis:

The project is a request to change the zoning designation of the project site from PC-4 to PC-2. If approved, the change will require the zoning map be altered to reflect the parcel specific change.

The applicant has requested the change to enable additional land uses to open within the existing commercial building.

Requests to amend the zoning designation of the parcel require approval by the City Council pursuant to Palm Desert Municipal Code (PDMC) 25.78.040 upon a recommendation of the Planning Commission. The PDMC does not establish specific findings for the approval of a change of zone. Staff has analyzed the proposed change based on the following criteria:

1. General Plan Land Use Consistency.

2. Conformance of existing site conditions with Zoning Requirements.

3. Conformance with SB 330, with regard to downzoning for housing.

General Plan Land Use Consistency
The General Plan Land Use Designation for the site is Suburban Retail Center. This designation was adopted for the site in conjunction with the comprehensive 2035 General Plan Update adopted by the Palm Desert City Council in November 2016. This land use designation is intended to provide a concentration of retail businesses, including “big box” and “large format” retailers in a setting that provides surface parking to accommodate parking requirements for the businesses. Allowable uses include small-scale and large-scale retail, as well as flexibility to allow multi-family housing in a mixed-use configuration at densities of ten (10) to 15 dwelling units per acre.

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City of Palm Desert
Case No. CZ23-0001 Change of Zone

Page 3 of 5 ends

Under state law, more specifically Government Code Section 65860, zoning provisions must be consistent with the General Plan for general law cities and charter cities with a population greater than two million persons. Palm Desert is a charter city, and the state requirement for zoning consistency with the general plan does not apply; however, it is a practice that has been historically applied and encouraged by the PDMC. PDMC Section 25.04.020 Zoning Districts establishes how each General Plan land use designation is implemented through zoning and establishes that the Suburban Retail Center is implemented through the PC-2 zoning designation. The current PC-4 designation is, according to this chapter, more appropriate for the Resort and Entertainment General Plan land use designation. Based on the preceding, the proposed zoning designation is consistent with the General Plan.

Zoning Consistency
The project site is developed with an existing retail commercial building, which contains existing tenants. The proposed Change of Zone must be evaluated to ensure that the new zone will not result in nonconforming land uses or inconsistent development standards. To evaluate this, staff reviewed the existing approved land uses on the parcel for consistency with the allowed land uses established by Table 25.16-1 Use Matrix for Commercial and Industrial Districts. The Table 2 below summarizes the land use conformity based on the current and proposed zoning designation:

Table 2 – Land Use Classification Conformance Determination Existing or
Proposed
Land Use
Classification
Land Use
Classification
Regulation under
PC-4
Regulation under
PC-2
Conformance
(Allowed by
Zone)
Pet Groomer Personal Services Permitted by right Permitted by right Yes Restaurant Personal Services Permitted by right
Allowed by
administrative use
permit
Yes
Tattoo Shop Personal Services Permitted by right Permitted by-right Yes Bar/Lounge
Not listed – Use
Determination
Required
Not listed – Use
Determination
Required
Not listed – Use
Determination
Required
Not listed
In summary, the existing land uses on the project site will remain largely unaffected as they are permitted by right. Restaurant uses, which are permitted by right under the current zoning designation will require Administrative Use Permit (AUP) approval before they will be allowed to open under the District Center Designation. The existing restaurant will require an AUP if future expansions of the space are requested in the future. Notably, there is a pending application for a bar/lounge proposed on the property, though this will require a separate action by the Planning Commission to determine whether that specific use is allowable.

Due to the existing improvements on the site, the request must also be elevated to determine that the change will not result in nonconformities with the development standards due to the change.

Table 3 on the next page summarizes and evaluates the conformance of the existing site with the current and proposed zoning designation:

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City of Palm Desert
Case No. CZ23-0001 Change of Zone

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Table 3 – General Development Standard Conformance Determination Development
Standard
Existing Site
Condition
PC-4
Requirement
PC-2
Requirement
Conformance
under PC-2
Lot size
minimum
area

1.37 acres 4 acres 5 acres No
Front yard
setback
minimum
21’ None None Yes
Side yard
(interior) 1.2’ minimum 0’ 0’ Yes
Street side
yard N/A None None Yes
Rear yard,
minimum 120’+ 20’ 20’ Yes
Floor area
ratio 0.27 1.0 0.10 Yes
Maximum
building
height
Approximately
20’ 35’ 55’ Yes
Maximum
building size
16,008square
feet None
30,000
square feet
maximum
Yes
As indicated above, the existing project would comply with applicable general development standards under the PC-2 zoning designation. The parcel area does not meet the minimum requirement of the PC-2 zone with regard to the minimum required lot size; however, the project does not include a subdivision request, and this requirement is not relevant, nor does it render the building non-conforming. The table only covers general development standards and does not analyze site-specific design standards, which are not relevant to the change of zone.

The parcel is contiguous with other properties within the PC-2 zoning district located to the west of the site across Painters Path. At the time of the application, the existing development is adequately served by existing utilities with adequate sewer and water lines. No new alterations to the site are proposed at this time in conjunction with the Change of Zone.

Senate Bill 330/ Housing Crisis Act
The Housing Crisis Act (HCA), otherwise known as SB 330/SB 8, broadly restricts the City from reducing the zoning of a property to a less intensive residential use. The PC-4 and PC-2 zone allow for residential land uses; therefore, the HCA is relevant to the project. The proposed change will increase the maximum residential density of the site from ten (10) dwelling units to up to 15 dwelling units per acre.

Public Input:

Public Notification
Public noticing was conducted for the July 18, 2023, Planning Commission meeting per the requirements of PDMC Section 25.60.060 and Government Code Sections 65090 to 65094. A public hearing notice was published a minimum of ten (10) days before the hearing date in The Desert Sun

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City of Palm Desert
Case No. CZ23-0001 Change of Zone

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newspaper. Notices were mailed to all property owners within 300 feet of the project site. No comments have been received as of the date of this report.

Environmental Assessment/Environment Review:

Pursuant to CEQA and the State CEQA Guidelines, the project was found to be exempt from further environmental review per Section 15061(b)(3) (General Rule exemption). The project enacts the General Plan in accordance with the Zoning Ordinance by changing the designation of the site to PC2. The project site is an existing approved commercial center. No significant impacts on the environment are anticipated.

Findings of Approval:

Findings can be made in support of the project under the City’s Municipal Code. Findings in support of this project are contained in Planning Commission Resolution No. 2837, attached to this staff report.

REVIEWED BY:

Department Director: Richard D. Cannone, AICP
Principal Planner Nick Melloni
ATTACHMENTS:

1. Draft Planning Commission Resolution No. 2837

2. Public Hearing Notice

3. Notice of Exemption

4. For Reference Only: Site Plan

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City of Palm Desert Page 1

PLANNING COMMISSION

CITY OF PALM DESERT, CALIFORNIA

MINUTES
This meeting was conducted by teleconference, and there was in-person public access to the meeting location.

1. CALL TO ORDER
A Regular Meeting of the Planning Commission was called to order by Chair DeLuna on Tuesday, July 18, 2023, at 6:00 p.m.

2. ROLL CALL

Present: Commissioners John Greenwood, Ron Gregory, Vice-Chair Joseph Pradetto, and Chair Nancy DeLuna.

Absent: Commissioner Holt.

Staff

Present: Ryan Guiboa, City Attorney; Richard D. Cannone, Director of Development Services; Nick Melloni, Principal Planner; Carlos Flores, Senior Planner, Anna Dan, Associate Planner I, Eric Ceja, Director of Economic Development, and Monica O’Reilly, Executive Administrative Assistant.

3. PLEDGE OF ALLEGIANCE
Vice-Chair Pradetto led the Pledge of Allegiance.

4. NON-AGENDA PUBLIC COMMENT:

None.

Tuesday, July 18, 2023 6:00 p.m.

Regular Meeting

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Planning Commission Minutes July 18, 2023
City of Palm Desert Page 2

5. CONSENT CALENDAR:

The staff report(s) and Zoom video of the meeting are available on the City’s website. Click on the following link to access: https://www.palmdesert.gov/ourcity/committees-and-commissions/commission-information.

A. APPROVAL OF MINUTES
RECOMMENDATION: Approve the Planning Commission Study Session minutes of June 20, 2023.

RECOMMENDATION: Approve the Planning Commission Meeting minutes of June 20, 2023.

MOTION BY COMMISSIONER GREENWOOD, SECOND BY VICE-CHAIR PRADETTO, CARRIED 4-0 (HOLT ABSENT), to approve the Planning Commission Study Session and Regular Meeting minutes of June 20, 2023.

CONSENT ITEMS HELD OVER:

None.

6. ACTION CALENDAR
None.

7. PUBLIC HEARINGS
The staff report(s) and Zoom video of the meeting are available on the City’s website. Click on the following link to access: https://www.palmdesert.gov/ourcity/committees-and-commissions/commission-information.

A. CONSIDERATION OF A REQUEST TO APPROVE A ONE-YEAR TIME EXTENSION FOR TENTATIVE PARCEL MAP 37234 TO SUBDIVIDE A 32-ACRE AREA INTO FOUR (4) PARCELS AT THE SOUTHEAST CORNER OF MONTEREY AVENUE AND DICK

KELLY DRIVE
Principal Planner Melloni narrated a PowerPoint presentation on this item.

Chair DeLuna opened the Public Hearing.

Chris Chambers, the representative for the property owner, stated that the extension is due to having a buyer for the two residential parcels under contract. The buyer is preparing to submit a Precise Plan application.

There being no others desiring to speak, the Public Hearing was closed.

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Planning Commission Minutes July 18, 2023
City of Palm Desert Page 3

MOTION BY COMMISSIONER GREGORY, SECOND BY COMMISSIONER
GREENWOOD, CARRIED 4-0 (HOLT ABSENT), approving Planning Commission Resolution No. 2835:

1. Granting the extension of time to extend the project approval until September 12, 2024.

B. CONSIDERATION TO ADOPT A NOTICE OF EXEMPTION PURSUANT TO THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA); AND APPROVAL OF A CONDITIONAL USE PERMIT AND PRECISE PLAN TO DEVELOP A 3,539-SQUAREFOOT, SINGLE-STORY BUILDING WITHIN THE PALM DESERT CIVIC CENTER

CAMPUS LOCATED AT THE NORTHEAST CORNER OF SAN PABLO AVENUE AND FRED WARING DRIVE (ASSESSOR’S PARCEL NUMBER 622-250-014) Commissioner Greenwood interjected he is with Prest Vuksic Greenwood Architects (PVG Architects), who are the Applicant and architects for this project, and recused himself from this item.

Senior Planner Flores presented the staff report and responded to the Planning Commission’s questions regarding public events and parking for events.

Chair DeLuna opened the Public Hearing.

Nicole Williams, PVG Architects, noted that she had a presentation; however, it is a repeat of the presentation given by Mr. Flores.

There being no others desiring to speak, the Public Hearing was closed.

MOTION BY VICE-CHAIR PRADETTO, SECOND BY COMMISSIONER GREGORY, CARRIED 3-0 (HOLT ABSENT AND GREENWOOD RECUSED), approving Planning Commission Resolution No. 2836:

1. Adopting a Notice of Exemption for a Class 32 Categorical Exemption in accordance with CEQA Guidelines Section 15332 as an Infill development.

2. Approving Conditional Use Permit (CUP) 23-0001 and Precise Plan (PP) 23-0001 for a 3,539-square-foot, single-story building located at the northeast corner of San Pablo Avenue and Fred Waring Drive (Assessor’s Parcel Number 622-250-014).

Commissioner Greenwood returned to the meeting at 6:21 p.m.

C. CONSIDERATION OF A RECOMMENDATION TO THE CITY COUNCIL TO ADOPT A

NOTICE OF EXEMPTION PURSUANT TO THE CALIFORNIA ENVIRONMENTAL QUALITY ACT AND APPROVAL OF CHANGE OF ZONE 23-0001 TO CHANGE THE ZONING DESIGNATION OF PARCEL 1 OF PARCEL MAP NO. 36614, LOCATED APPROXIMATELY 500 FEET FROM THE NORTHWEST CORNER OF HIGHWAY 111 AND FRED WARING DRIVE FROM RESORT COMMERCIAL CENTER (PC-4) TO DISTRICT COMMERCIAL CENTER (PC-2)
Principal Planner Melloni presented the staff report.

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Planning Commission Minutes July 18, 2023
City of Palm Desert Page 4
Commissioner Gregory commented that the Change of Zone would benefit the development.

Chair DeLuna opened the Public Hearing.

Adam Gilbert, the applicant, stated that the Change of Zone would help get tenants into the building and answered questions from the Planning Commission.

There being no others desiring to speak, the Public Hearing was closed.

MOTION BY COMMISSIONER GREENWOOD, SECOND BY COMMISSIONER GREGORY, CARRIED 4-0 (HOLT ABSENT), approving Planning Commission Resolution No. 2837:

1. Recommending that the City Council adopt a Notice of Exemption pursuant to the General Rule Exemption under Section 15061(b)(3) “General Rule.”

2. Recommending that the City Council approve Case No. CZ23-0001 for a Change of Zone for Parcel 1 of Parcel Map No. 36614 from the PC-4 to PC-2 zoning designation.

D. CONSIDERATION TO ADOPT A NOTICE OF EXEMPTION PURSUANT TO THE

CALIFORNIA ENVIRONMENTAL QUALITY ACT AND A USE DETERMINATION (UD) THAT A BAR/LOUNGE IS SIMILAR TO OTHER USES PERMITTED IN THE DISTRICT PLANNED COMMERCIAL (PC-2) ZONING DISTRICT AND MAY BE ALLOWED, SUBJECT TO AN ADMINISTRATIVE USE PERMIT AT 72221 HIGHWAY 111, SUITE 110
Associate Planner Dan narrated a PowerPoint presentation on this item. Staff responded to questions from the Planning Commission regarding the Administrative Use Permit (AUP)/Conditional Use Permit (CUP) process for a bar and lounge and other bars and lounges previously approved through a CUP application.

There was a discussion between the Planning Commission, the City Attorney, and City staff regarding a policy on a UD and AUP process.

Chair DeLuna opened the Public Hearing.

Adam Gilbert, the property owner at 72221 Highway 111, noted that the operator for Adults Only (bar/lounge) is available via Zoom to answer any questions. He mentioned that Adults Only is an existing brand with a location in Los Angeles and is considered a high-end bar.

There being no others desiring to speak, the Public Hearing was closed.

Vice-Chair Pradetto requested changing the Planning Commission resolution to clarify AUPs related to bars and lounges are to be considered by the Commission for approval.

City staff proposed the following changes to Resolution No. 2838:

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Planning Commission Minutes July 18, 2023
City of Palm Desert Page 5

1. Whereas, Palm Desert Municipal Code 25.64.040 establishes that the Zoning Administrator may refer to an Administrative Use Permit to the Planning Commission for review and approval.

2. Whereas, at said public hearing, the Planning Commission expressed that Bars/Lounges shall be referred to the Planning Commission for such consideration.

3. Section 2. Findings on Use Determination. Adding to Section 2, “. . . subject to an Administrative Use Permit referred to the Planning Commission.”

MOTION BY VICE-CHAIR PRADETTO, SECOND BY COMMISSIONER GREENWOOD, CARRIED 4-0 (HOLT ABSENT), approving Planning Commission Resolution No. 2838:

1. Adopting a Notice of Exemption, pursuant to the General Rule Exemption under Section 15061(b)(3), “General Rule.”

2. Approving Case No. UD23-0001 to deem a Bar/Lounge use as an administratively allowed use within the District Planned Commercial (PC-2) zoning designation.

8. INFORMATIONAL REPORTS & COMMENTS
A. SUMMARY OF CITY COUNCIL ACTIONS
Director Cannone reported that the City Council requested City staff look at the 111 Development Code and provide an assessment of the code. The Council had previously discussed the code in 2019 related to a concern with building heights.

B. COMMITTEE MEETING UPDATES

1. Cultural Arts Committee
None.

2. Parks and Recreation Commission
None.

C. PLANNING COMMISSIONERS
None.

D. CITY STAFF
Principal Planner Melloni reported that City staff intends to hold a second community meeting on the Objective Design Standards for residential and multifamily development on August 7, 2023, at the Palm Desert iHub. There will be a special session with the Planning Commission on August 8. Additionally, staff requested proposals to amend the University Neighborhood Specific Plan.

Commissioner Greenwood requested that staff email the dates for the meetings on the Objective Design Standards and various events to the Planning Commission.

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Planning Commission Minutes July 18, 2023
City of Palm Desert Page 6
E. ATTENDANCE REPORT
The attendance report was provided with the agenda materials. The Commission took no action on this matter.

9. ADJOURNMENT
The Planning Commission adjourned the meeting at 7:03 p.m.

Respectfully submitted,

Monica O’Reilly, Executive Administrative Assistant
Recording Secretary
ATTEST:

Richard D. Cannone, AICP, Director of Development Services Secretary
APPROVED BY THE PLANNING COMMISSION: 08/01/2023

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Notice of Exemption FORM “B”

NOTICE OF EXEMPTION
TO:

Office of Planning and Research
P. O. Box 3044, Room 113
Sacramento, CA 95812-3044
FROM: City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, CA 92260
Clerk of the Board of Supervisors
or
County Clerk
County of: Riverside
2724 Gateway Dr, Riverside,
CA 92507

1. Project Title: CZ23-0001

2. Project Applicant: 72221 Highway 111 LLC

3. Project Location – Identify street address and
cross streets or attach a map showing project
site (preferably a USGS 15’ or 7 1/2’
topographical map identified by quadrangle
name):
72221 Highway 111 in Palm Desert in Riverside
County. Parcel 1 of PM 36614

4. (a) Project Location – City: Palm Desert (b) Project Location – County: Riverside

5. Description of nature, purpose, and
beneficiaries of Project:

A request to change the zoning designation of Parcel
1 of PM 36614 to PC-2.

6. Name of Public Agency approving project: City of Palm Desert

7. Name of Person or Agency undertaking the
project, including any person undertaking an
activity that receives financial assistance
from the Public Agency as part of the activity
or the person receiving a lease, permit,
license, certificate, or other entitlement of use
from the Public Agency as part of the activity:
72221 Highway 111 LLC

8. Exempt status: (check one)
(a) Ministerial project. (Pub. Res. Code § 21080(b)(1); State CEQA Guidelines § 15268)
(b) Not a project.
(c) Emergency Project. (Pub. Res. Code § 21080(b)(4); State CEQA Guidelines § 15269(b),(c))
(d) Categorical Exemption.

State type and section
number:

State CEQA Guidelines §15332 – “Class 32 – Infill
Project”
(e) Declared Emergency. (Pub. Res. Code § 21080(b)(3); State CEQA Guidelines § 15269(a))
(f) Statutory Exemption.

State Code section number:
(g) Other. Explanation: General Rule – Section 15061(b)(3)

9. Reason why project was exempt: The project is exempt from CEQA per the general rule. The change of zone will ensure the Zoning
Designation of the parcel is consistent with the
Suburban Retail Center General Plan Land Use

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Notice of Exemption FORM “B”
Designation

10. Lead Agency Contact Person: Nick Melloni, Principal Planner Telephone: (760) 346-0611

11. If filed by applicant: Attach Preliminary Exemption Assessment (Form “A”) before filing.

12. Has a Notice of Exemption been filed by the public agency approving the project?  Yes  No

13. Was a public hearing held by the lead agency to consider the exemption?  Yes  No If yes, the date of the public hearing was: August 24, 2023 Signature: Date: August 24, 2023
Title: Principal Planner
 Signed by Lead Agency  Signed by Applicant
Date Received for Filing:
(Clerk Stamp Here)
Authority cited: Sections 21083 and 21100, Public Resources Code.

Reference: Sections 21108, 21152, and 21152.1, Public Resources Code.

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NO PARKIN G NO PARKIN G EV CAPABLE EV CAPABLE EV CAPABLE EV CAPABLE C VE APA ELB APN: 640-020-008

EXISTING

BUILDING
APN: 640-020-054
APN: 640-0
20-007

OLIVEGARDEN

BUILDING
HWY. 111 PAIN
T
E
R
S
PAT
H

PROPERTY LINE

PROPERTY LINE

PROPERTY LINE

PROPERTY L NI E

PROPERTY L NI E

PROPERTY L NI E

PROPERTY LINE
PROPERTY LINE PROPERTY LINE PROPERTY LINE PROPERTY LINE SITE PLAN DMA DESIGN AND CONSTRUCTION GENERAL CONTRACTOR LIC# 955470 22421 BARTON RD #360 GRAND TERRACE, CA 92313 (951)712-6575 THE FIRM 72221 HWY 111 PALM DESERT, CA SHEET: CLIENT: DRAWINGS PROVIDED BY: DATE: 5/14/2021 SITE PLAN A-1

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C I T Y O F P A L M D E S E R T
73-510 FRED WARING DRIVE
PALM DESERT, CALIFORNIA 92260-2578
TEL: 760-346-0611
[email protected]

CITY OF PALM DESERT

PUBLIC HEARING NOTICE
CASE NO. CZ/EA23-0001

NOTICE IS HEREBY GIVEN THAT A PUBLIC HEARING WILL BE HELD BEFORE THE CITY COUNCIL

OF THE CITY OF PALM DESERT, CALIFORNIA, TO CONSIDER THE ADOPTION OF AN ORDINANCE

FOR A NOTICE OF EXEMPTION PURSUANT TO THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) AND APPROVAL OF A CHANGE OF ZONE FROM PC-4 TO PC-2 FOR THE PROPERTY LOCATED AT 72221 HIGHWAY 111
The City of Palm Desert (City), in its capacity as the Lead Agency for this project and pursuant to the California Environmental Quality Act (CEQA), finds that the project qualifies for exemption from further CEQA review per CEQA Guidelines Section 15061(b)(3).

PROJECT LOCATION/DESCRIPTION:

PROJECT LOCATION: 72221 Highway 111 in the City of Palm Desert, located in Riverside County.

Assessor’s Parcel Number 640-020-054, Parcel 1 of PM 36614.

PROJECT DESCRIPTION: The request will change the zoning designation of the existing 1.34-acre parcel from Resort Commercial Center (PC-4) to District Commercial Center (PC-2).

PLANNING COMMISSION RECOMMENDATION: At its regular meeting on July 18, 2023, the Planning Commission adopted Resolution No. 2837 recommending that the City Council approve of the project request.

PUBLIC HEARING: NOTICE IS HEREBY GIVEN that the City Council of the City of Palm Desert, California, will hold a Public Hearing at its meeting on August 24, 2023. The City Council meeting begins at 4:00 p.m. in the Council Chamber located at 73510 Fred Waring Drive, Palm Desert, California. Pursuant to Assembly Bill 361, this meeting may be conducted by teleconference. There will be in-person access to the meeting location. Options for remote participation will be listed on the Posted Agenda for the meeting at: https://www.palmdesert.gov/our-city/mayor-and-city-council-/city-council-meeting-information-center REVIEW OF PROJECT INFORMATION: Information concerning the proposed designation is available for review in the Office of the City Clerk at 73510 Fred Waring Drive, Palm Desert, California, during regular business hours.

COMMENT ON THIS APPLICATION: Response to this notice may be made as follows:
• Written comments may be submitted to the City Council by letter to the address below or email at [email protected]. Transmittal prior to the start of the meeting is required. Any correspondence received during or after the meeting will be distributed to the City Council as soon as practicable and retained for the official record.

Any challenge of the proposed project in court may be limited to raising only those issues raised at the public hearing described in this notice, or in written correspondence delivered to the City Clerk at, or prior, to the public hearing. (Government Code Section 65009[b][2]).

Si necesita ayuda con esta notificación por favor llame a la Ciudad de Palm Desert y comuníquese con Gloria Sanchez (760) 346-0611 ext. 354.

PUBLISH: DESERT SUN ANTHONY J. MEJIA, MMC, CITY CLERK
AUGUST 13, 2023 CITY OF PALM DESERT, CALIFORNIA

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Change of Zone 23-0001

PALM DESERT CITY COUNCIL
AUGUST 24, 2023
8/24/2023 1

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Vicinity Map
Highway 111
Larkspur Lane
8/24/2023 2

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Project Request
Project Applicant: 72221 Highway 111 LLC
Change the zoning designation of the 1.34-acre site from PC-4 (Resort Commercial Center to PC-2 (District Commercial Center) containing a development known as Bump and Grind Plaza
Assessor’s Parcel Number 640-020-054
Consistent with General Plan Land Use Designation (Suburban Retail Center) Project recommend for approved by Palm Desert Planning Commission on July 18, 2023, per Resolution No. 2837.
8/24/2023 3

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8/24/2023
4

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Analysis
No findings established by the Palm Desert Municipal Code.  General Plan Land Use Consistency.
 Conformance of existing site conditions with Zoning Requirements.  Site served by existing utilities
 Conformance with SB 330, with regard to downzoning for housing.

Public Notice sent on August 13, 2023 to property owners within 300 feet of project site. 8/24/2023 5

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Analysis – Land Use Consistency
8/24/2023 6
Existing or Proposed
Land Use
Classification
Land Use Classification Regulation under PC-4 Regulation under PC-2 Conformance
(Allowed by Zone)
Pet Groomer Personal Services Permitted by right Permitted by right Yes Restaurant Personal Services Permitted by right Allowed by administrative use permit Yes
Tattoo Shop Personal Services Permitted Permitted Yes
Bar/Lounge Not listed – Use
Determination Required
Not listed – Use
Determination Required
Not listed – Use
Determination Required Not listed

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Analysis – Development Standards
8/24/2023 7
Development Standard Existing Site Condition PC-4 Requirement PC-2 Requirement Conformance under PC-2 Lot size minimum area 1.37 acres 4 acres 5 acres No
Front yard setback
minimum 21’ None None Yes
Side yard (interior) 1.2’ minimum 0’ 0’ Yes
Street side yard N/A None None Yes
Rear yard, minimum 120’+ 20’ 20’ Yes
Floor area ratio 0.27 1.0 0.10 Yes
Maximum building
height Approximately 20’ 35’ 55’ Yes
Maximum building size 16,008square feet None 30,000 square feet maximum Yes

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Pursuant to CEQA and the State CEQA Guidelines, the project was found to be exempt from further environmental review per Section 15061(b)(3) (General Rule exemption). The project enacts the General Plan in accordance with the Zoning Ordinance by changing the designation of the site to PC-2. The project site is an existing approved commercial center. No significant impacts on the environment are anticipated.
8/24/2023 8
CEQA

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Recommendation
Waive further reading and pass to second reading City Council Ordinance No. 1398 adopting a notice of exemption, and approving Case No. Change of Zone (CZ) 23-0001. 8/24/2023 9

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CITY OF PALM DESERT
CITY MANAGER’S OFFICE

INTEROFFICE MEMORANDUM
Date: August 24, 2023
To: Honorable Mayor and Councilmembers
From: Anthony J. Mejia, City Clerk
Subject: City Council Meeting of August 24, 2023
Below you will find questions received from the Mayor or Councilmembers and answers provided by City staff regarding tonight’s City Council meeting:

ITEM 13d: ACCEPT RESIGNATIONS FROM THE CIVIC ENGAGEMENT COMMITTEE, CULTURAL

ARTS COMMITTEE, AND PARKS AND RECREATION COMMITTEE
Q1: Where are the full bylaws posted on the City’s website? A1: The City Council recently adopted an ordinance to incorporate all bylaws into the Palm Desert Municipal Code (PDMC) for consolidation and easy reference. Please see Title 2, Administration and Personnel, to access the bylaws. In the coming days, City staff will also update the Advisory Body landing webpage to include hyperlinks to the PDMC section of the applicable bylaws.

Q2: Wasn’t there a discussion of permitting non-residents that may hold subject matter experience?
A2: PDMC 2.34.030 states that the City Council may appoint a nonresident in cases where the City Council deems it appropriate to appoint a nonresident who offers specific expertise. In these circumstances, the City Council was unaware that the candidates where nonresidents and therefore did not make a finding or determination that it was necessary to appoint a nonresident for special expertise.

Q3: What measures have been implemented to ensure applicants live within city boundaries as necessary?
A3: City staff has reviewed and verified all appointed body members and applicants are registered voters of the City or their residences are located within City limits. Going forward, City staff will verify the voter registration and/or residential address is within City limits prior to interviews and will ensure that the interview documents indicate whether a candidate is a nonresident.

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08/24/2023 Question & Answer Memo

Page 2 of 5 ends

ITEM 13e: HOUSING AUTHORITY: RESOLUTION AUTHORIZING EXECUTION AND DELIVERY OF A HOUSING AND LOAN AGREEMENT WITH A0358 MONTEREY, L.P., APPROVING A LOAN IN THE AMOUNT OF $7,235,000 FOR CONSTRUCTION OF 176 AFFORDABLE

HOUSING UNITS AND RELATED ACTIONS
ITEM 13g: APPROVE A HOUSING AGREEMENT BY AND BETWEEN THE CITY OF PALM DESERT AND A0358 MONTEREY, LP, FOR THE CROSSINGS AT PALM DESERT APARTMENTS

PROJECT
Q1: Why is only one, 3-bedroom unit allotted under the 80% AMI and zero designated under the 59% AMI (page 164/298)?
A1: One of the City’s Housing Element’s program, Program 4C, is to implement programs or assist in housing affordable to extremely low-income households. It is difficult to locate adequate and affordable housing if there is a limited supply of larger units. Prices for larger units tend to be affordable only to moderate- and above-moderate income households. Based on the need of units for larger families for lower income households and to maintain the feasibility of the Project, the three-bedroom units were allocated primarily for extremely low households.

Q2: With a priority for Veterans identified, is there a cap on units held for Veterans (page 299)?
A2: Units are not set aside for veterans, therefore there is no cap. Typically, priority to Veterans is provided in the selection from the waitlist when a unit becomes available. The developer will establish a policy on the selection of Households or individuals from the waiting list, including any preference. In accordance with the implemented preferences, Veterans will have priority.

Q3: How frequently has the city had to exercise such inspections as provided in Section 5.2 Maintenance, Repair, Alterations (Page173/306)?
A3: These types of inspections are routinely conducted by the other funding sources and the City is provided any findings. Only when there are findings or concerns does the City exercise the option described in Section 5.2; the City has exercised this option minimal times.

ITEM 13f: APPROVE SECOND AMENDMENT TO THE EL PASEO PARKING & BUSINESS

IMPROVEMENT DISTRICT CONTRACT WITH FG CREATIVE
Q1: Which have the most successful campaigns? How is return on investment (ROI) measured?
A1: The EPPBID’s work is multifaceted, and over the years the board has found ways to make its small budget work hard to help achieve its goals. The ultimate goal is to bring people to the street to help support the many stores, galleries, and restaurants in the district. In terms of marketing, they’ve had great success with social media, raising brand awareness and inviting people to the street whenever there is any kind of activation. The partnership with Palm Springs Life has also been beneficial, using direct email, a dedicated website, and physical pieces such as the El Paseo Catalogue. In each case, ROI is measured by the number of people reached, and their engagement with the content provided through each medium.

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08/24/2023 Question & Answer Memo

Page 3 of 5 ends

ITEM 13j: REQUEST FOR MAYOR PRO TEM QUINTANILLA TO PARTICIPATE IN THE 2024

LEADERSHIP COACHELLA VALLEY PROGRAM
Q1: What is the rationale for charging this to the general local meetings budget, which has $9,000 to cover everyone's local meetings for the year, rather than to the individual discretionary budget for contributions/meetings of $2,500 per councilmember? A1: This item was brought forward because it was City staff’s understanding that Mayor Pro Tem Quintanilla was seeking funding to attend Leadership Coachella Valley. The individual councilmember discretionary budget would be an appropriate source for payment of Leadership Coachella Valley and Mayor Pro Tem Quintanilla has the full budget of $2,500 available.

ITEM 13o: AWARD ON-CALL CONTRACTS TO MULTIPLE VENDORS FOR PARK AND

FACILITIES REPAIRS AND IMPROVEMENT PROJECTS
Q1: What is the location of the evaporative cooler at Civic Center park? A1: The evaporative cooler in Civic Center Park is located at the baseball field snack bar.

Q2: Why is there only an evaporative cooler and not AC units at the Soccer Park and Freedom Park?
A2: Evaporative coolers are an effective and energy efficient way to cool the snack bars at the parks for most of the year, especially when outdoor sports are taking place.

ITEM 14a: APPROVAL OF AN AGREEMENT FOR LAW ENFORCEMENT SERVICES BETWEEN THE CITY OF PALM DESERT AND THE COUNTY OF RIVERSIDE FOR A THREEYEAR TERM FROM FY2024/2025 TO FY2026/2027 Q1: In keeping staffing levels flat, with the assistance of ALPR, does this allow for deputies to move to other specialized units? Does “reporting out ALPR data” include record requests out of state? Can we get these reports after the first quarter, and monthly thereafter?
A1: The ALPR system increases a deputy’s efficiency in responding to a crime. As a result, they can return to patrol duty sooner which increases their ability to proactively patrol the community. With the City’s ALPR program going live last October, the City has reported out to the Public Safety Committee and City Council on the number of cases ALPR has helped solve and effectiveness of the system with law enforcement activity. The Sheriff’s Department is in the process of creating a “Transparency Portal” which will include shared agencies and out-ofstate agency requests. Once the portal is live, the City will include its information into the regular updates to the Public Safety Committee and City Council.

Q2: What is the annual cost for the California Identification System and Records Management System (Page 584, Section 2.2)? How often does City staff utilize RMS or DOJ access under CLETS [Page 584, Section 2.2A, subsections (a) and (b)]? A2: The cost of the CAL-ID system is $50,889. This system is a statewide fingerprint ID system.

The cost of the Records Management System (RMS) is $117,577. This is a system that stores records. City staff does not utilize CAL-ID, RMS, DOJ law enforcement systems, nor the California Law Enforcement Telecommunications System (CLETS). These systems are utilized by Sheriff’s Department personnel on a regular basis in performance of their work duties.

Q4: Has the City ever had an appointed Police Chief (Page 585, Section 4)? A4: The City’s dedicated lieutenant serves as the City’s Police Chief with guidance from the Palm Desert Station Commander. The City, through the City Manager, has a say in who is

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08/24/2023 Question & Answer Memo

Page 4 of 5 ends

appointed to be the City’s dedicated lieutenant. The Palm Desert Station Commander is selected by the Sheriff’s Department.

Q5: Administrative fees will not be charged to the City if those charges are provided free of charge to any City in the County. Does Palm Desert get charged the same fees as others for services charged to other cities (Page 587, Section 7)? A5: Government Code 51350 states the Sheriff’s Department cannot charge one city for a service that is available to all areas of the County. These fees are those types of charges described in Section 7 and not included in the contract rate. They include Special Investigations Bureau, SERT (Emergency Services Team), and Aviation. Otherwise, a contract city is charged the same rate as all other contract cities.

Q6: What is the average annual cost for miscellaneous costs? What is the annual budget allocation (Page 588, Section 7.6)?
A6: The annual budget amount is $70,000 and based on prior year actuals. These are costs for blood draws, blood analysis, sexual assault exams and other related items that law enforcement will request from the approved provider if needed for the investigation.

Q8: What is the timeline in which RSO agrees to return records as requested (Page 589, Section 10)?
A8: Depending upon the nature of the request, the Sheriff’s Department responds in a reasonable amount of time often same the day or week. Overall, the Sheriff’s Department is bound by the requirements of the California Public Records Act.

ITEM 14b: PALM DESERT REDISTRICTING 2023 - REVIEW OF THE SCHEDULE OF PUBLIC HEARINGS/WORKSHOPS AND PUBLIC EDUCATION AND OUTREACH PLAN –

OPTIONAL PROCESSES FOR ESTABLISHING DISTRICT BOUNDARIES Q1: Can the timeline be extended for additional days since residents were understandably focused on recovery from Hurricane Hillary?
A1: If requested by the City Council, City staff recommends adjusting the Community Workshop #1 to Tuesday, September 19, 2023, at 6:00 p.m. but maintaining the overall schedule to ensure that a final map and associated ordinances are adopted in advance of the April deadline.

ITEM 14d: REQUEST FOR FEEDBACK AND DIRECTION REGARDING UPDATING CHAPTER

5.04 REGARDING MODIFICATION, SUSPENSION, OR REVOCATION OF BUSINESS

LICENSES
Q1: How often does the City revoke licenses? Are they frequently appealed? A1: In the last 8 months, the City initiated two revocations; Sweet Spot and AZ Spa. Of those, City Council held the revocation hearing on Sweet Spot, but it was not appealed to the district court. AZ Spa canceled its license, and the revocation hearing did not occur.

In the 15 years prior, the City initiated seven license revocations and City staff is not aware that any were appealed.

ITEM 15c: ORDINANCE TO CHANGE THE ZONING DESIGNATION OF PARCEL 1 OF PARCEL MAP NO. 36614, LOCATED APPROX. 500 FEET FROM NW CORNER OF HWY 111 AND FRED WARING DR. FROM RESORT COMMERCIAL CENTER (PC-4) TO DISTRICT COMMERCIAL CENTER (PC-2) - CEQA FINDING
Q1: Is the 7th Whereas clause in the Planning Commission resolution missing the word "not," as in "will not render" (Page 671)?

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08/24/2023 Question & Answer Memo

Page 5 of 5 ends

A1: Correct, the seventh Whereas of Planning Commission Resolution No. 2837, should read as follows, “WHEREAS, the proposed Change of Zone will not render the existing improvements on the site or land uses nonconforming with any applicable Palm Desert Zoning Ordinance standards.” City staff will proceed with correcting the original resolution for the official record.

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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: August 24, 2023
PREPARED BY: Eric Ceja, Director of Economic Development REQUEST: CONSIDER APPROVAL OF A TRANSIENT OCCUPANCY TAX (TOT) SHARING

AGREEMENT BETWEEN THE CITY OF PALM DESERT AND NEWAGE DESERT

SPRINGS, LLC
RECOMMENDATION:

1. Approve the DRAFT TOT Sharing Agreement between the City of Palm Desert and Newage Desert Springs, LLC remitting 50% of incremental TOT generation not to exceed $10 million to the property owner for the development and expansion of conference/ballroom space at the JW Marriott Desert Springs.

2. Authorize the City Attorney to make non-substantive changes to the Agreement.

3. Authorize the City Manager to execute said Agreement.

BACKGROUND/ANALYSIS:

The JW Marriot Desert Springs occupies 450 acres in the City of Palm Desert and is the premier resort property for the Coachella Valley. With more than 880 rooms, two (2) 18-hole golf courses, spa, and restaurants, the resort is the largest attraction of convention/ballroom space in the Coachella Valley. The resort is also the largest employer in the City of Palm Desert. The resort continues to attract large convention/ballroom space events; however, it is facing new competition from other resorts outside of California and near coastal communities within the State. To retain existing conventions, and attract new convention users, the property owners seek to expand their offerings of convention/ballroom space with a 25,000 square foot expansion. This new convention space will replace an existing ancillary and temporary tent structure used to supplement current convention operations.

To support the construction cost of the new convention/ballroom space the owners have approached the City of Palm Desert for assistance in funding of the new building. The proposal for assistance includes the lesser of 50% reimbursement of new TOT generation or $10 million and beginning only once the convention/ballroom expansion is complete and receives a Certificate of Occupancy.

The provisions contained within the DRAFT TOT Sharing Agreement include:
 The City’s participation of up to 50% of project financing cost through a Transient Occupancy Tax Rebate (TOT).
 The TOT Rebate is based on historical TOT generation from the site based on a look-back clause that allows the City to establish the TOT baseline on the previous 3-years of TOT generation once the structure is complete and receives a Certificate of Occupancy.  TOT above this baseline will be split 50/50 between the City and Desert Springs Marriott; however, all TOT generation below the baseline will be 100% retained by the City.

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City of Palm Desert
JW Marriot TOT Sharing Agreement

Page 2 of 2 ends

 The 50/50 split will cease once half (50%) of project cost are remitted back to Desert Springs. Based on Desert Springs assumptions for construction cost, the City has agreed that the total reimbursement will not exceed $10 million.  The term of this agreement is 15-years from issuance of the Certificate of Occupancy for the expanded convention/ballroom space.
 The City will need to verify actual construction costs of the project to determine maximum of the 50/50 split.

If approved, ownership will submit entitlement and construction documents to move forward with expansion of the convention space.

Strategic Plan:
 Economic Development: Priority 1 – Expand job and business creation opportunities.  Economic Development: Priority 3 - Create and attract entertainment and events to enhance and expand the Palm Desert economy and lifestyle.  Land Use, Housing and Open Space: Priority 4 – Utilize progressive land use policies and standards to support ongoing and future needs.
 Tourism and Marketing: Priority 4 - Support the city’s tourism industry through enhancement of its marketing efforts with an allocation of additional city resources, the development of partnerships, and coordination of existing efforts.

Project Description:

The TOT Sharing Agreement will only apply to the incremental TOT generated once the expansion of the conventions/ballroom space is complete. As such, the only consideration, at this time, is the potential reimbursement of TOT to the property owner once the expansions construction is complete and occupied.

Environment Review:

The approval of a TOT Sharing Agreement is not a project under the California Environmental Quality Act (CEQA) and is not subject to a CEQA review. A separate public hearing by the Planning Commission for entitlement review of the expanded conference/ballroom space will be considered at a later date.

FINANCIAL IMPACT:

Approval of staff’s recommendation will not impact the current TOT received. There is no fiscal impact to what the City currently receives from TOT from the JW Marriott Desert Springs. The tax sharing agreement only impacts the increase in TOT generation upon successful completion of the project. From that point forward, 50% of new TOT generation, not to exceed $10 million over 15-years, will be remitted back to the property owner.

ATTACHMENTS:

1. DRAFT TOT Sharing Agreement

2. Public Hearing Notice

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CITY OF PALM DESERT

PUBLIC HEARING NOTICE

NOTICE IS HEREBY GIVEN THAT A PUBLIC HEARING WILL BE HELD BEFORE THE CITY

COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, TO CONSIDER APPROVAL OF A

TRANSIENT OCCUPANCY TAX (TOT) SHARING AGREEMENT BETWEEN THE CITY OF

PALM DESERT AND NEWAGE DESERT SPRINGS, LLC
PROJECT LOCATION/DESCRIPTION:

PROJECT LOCATION: 74-855 Country Club, Palm Desert, CA, 92260 PROJECT DESCRIPTION: The JW Marriott is proposing to expand their conference/ballroom space and replace the existing tent structure located south of the existing conference/ballroom space. Newage Desert Springs, LLC, and the City of Palm Desert, are proposing to participate in a TOT Sharing Agreement, in which, the City will reimburse Newage Desert Springs, LLC, 50% of TOT generation over the next 15-years, in an amount not to exceed the greater of $10,000,000 or 50% of the total cost of the project. Plans for the expansion will be brought forward for planning entitlements and design at a later date pending approval of this agreement.

PUBLIC HEARING: NOTICE IS HEREBY GIVEN that the City Council of the City of Palm Desert, California, will hold a Public Hearing at its meeting on August 24, 2023. The City Council meeting begins at 4:00 p.m. in the Council Chamber located at 73510 Fred Waring Drive, Palm Desert, California. Pursuant to Assembly Bill 361, this meeting may be conducted by teleconference.

There will be in-person access to the meeting location. Options for remote participation will be listed on the Posted Agenda for the meeting at: https://www.palmdesert.gov/our-city/mayor-andcity-council-/city-council-meeting-information-center REVIEW OF PROJECT INFORMATION: Information concerning the proposed TOT Sharing Agreement is available for review in the Office of the City Clerk at 73510 Fred Waring Drive, Palm Desert, California, during regular business hours, and on the City’s website at https://www.palmdesert.gov/our-city/mayor-and-city-council-/city-council-meeting-informationcenter.

COMMENT ON THIS APPLICATION: Response to this notice may be made as follows:
 Written comments may be submitted to the City Council by letter to the address below or email at [email protected]. Transmittal prior to the start of the meeting is required. Any correspondence received during or after the meeting will be distributed to the City Council as soon as practicable and retained for the official record.

Any challenge of the proposed project in court may be limited to raising only those issues raised at the public hearing described in this notice, or in written correspondence delivered to the City Clerk at, or prior, to the public hearing. (Government Code Section 65009[b][2]).

Si necesita ayuda con esta notificación por favor llame a la Ciudad de Palm Desert y comuníquese con Gloria Sanchez (760) 346-0611 ext. 354.

PUBLISH: DESERT SUN ANTHONY J. MEJIA, MMC, CITY CLERK
AUGUST 12, 2023 CITY OF PALM DESERT, CALIFORNIA

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TRANSIENT OCCUPANCY TAX SHARING AGREEMENT
THIS TRANSIENT OCCUPANCY TAX SHARING AGREEMENT (“Agreement”) dated as of August 24, 2023, is entered into by and between the City of Palm Desert, a California charter city (“City”), and Kam Sang Company, Inc., a California corporation, dba JW Marriott Desert Springs Resort & Spa (“Operator”).

RECITALS
A. The general welfare of the City depends in large measure upon the facilities, goods and services that businesses make available to the public, which, in turn, generate tax revenue to help fund necessary municipal services for the City and its residents.

B. The Operator, which specializes in luxury resort hotels and facilities desires to expand its conference capacity at its JW Marriott Desert Springs Resort & Spa property located at 74-855 Country Club Drive, Palm Desert CA 92260, by constructing new ballroom that will add an additional 25,000 square feet of space available for conferences, weddings and other rental activities.

C. The City recognizes that the expansion of a resort hotel and spa in Palm Desert would (i) attract increased visitors to the City; (ii) contribute to the economic vitality of the City; (iii) expand the City’s tax base; (iv) generate increased transient occupancy, sales and use taxes and other revenue to the City; (v) create and provide additional jobs in the City; and (vi) otherwise improve economic and physical conditions in the City. Taken together, these benefits would enhance the quality of facilities, goods and services available to the City and its residents, such as police, fire, street maintenance, and parks and recreation programs.

D. The Palm Desert General Plan 2035 includes the goal of encouraging the development of tourism and leisure opportunities that attract residents and visitors, including a full-service resort that incorporates local amenities and attractions, such as the mineral hot springs.

E. The City desires to encourage and incentivize such expanded operations in the City to assist the City in achieving its economic development goals by sharing a portion of the transient occupancy tax revenues generated by the resort with the Operator.

F. The City is authorized under California law to provide economic incentives to businesses for economic development purposes.

G. Prior to entering into this Agreement, and pursuant to Government Code section 53083, the City Council of the City provided public notice of an Economic Development Subsidy report containing all requisite information, including the name and address of the Operator, a description of the subsidy, and projected tax revenue. The Economic Development Subsidy Report is attached hereto as Exhibit A.

H. By its approval of this Agreement, the City Council of the City of Palm Desert has made a discretionary finding and determination that this Agreement serves a valid public purpose through expanding economic opportunities in the City, expanding the City’s employment base, and

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generating transient occupancy, use and sales taxes and other revenue that the City can utilize to fund general governmental services.

NOW, THEREFORE, based upon the foregoing Recitals and in consideration of the mutual covenants and conditions hereinafter set forth, the parties agree as follows:

AGREEMENT

1. DEFINITIONS
The capitalized terms and words used in this Agreement shall have the following meanings unless expressly provided to the contrary.

1.1 “Ballroom” means a newly constructed multi-purpose room of not less than 25,000 square feet in size that may be rented for a variety of events including, but not limited to, conferences, weddings, and other social and business functions.

1.2 “Baseline TOT Amount” means the amount established from the cumulative average of the past 3 years of transient occupancy tax payments by Operator to the City with such calculation made upon issuance of a certificate of occupancy for the Ballroom.

1.3 “Commencement Date” means the first day of the month following the certificate of occupancy for the new Ballroom at the Property.

1.4 “Event of Default” means any event so designated in this Agreement.

1.5 “Economic Development Subsidy” means a payment made by the City to the Operator in an amount equal to fifty percent (50%) of the TOT remitted to the City by the Operator for that period in excess of the Baseline TOT Amount.

1.6 “Fiscal Year” means the City’s fiscal year of July 1 to June 30.

1.7 “Laws” means all applicable Federal, State, or local statutes, laws, ordinances, regulations, orders, and rules.

1.8 “Maximum Payment” means the lesser of Ten Million Dollars ($10,000,000.00) or fifty percent (50%) of Project Costs.

1.9 “Operating Period,” means the period beginning with the Commencement Date and continuing for a period of fifteen (15) years, or earlier termination of this Agreement as provided hereunder.

1.10 “Party” means any party to this Agreement. The “Parties” shall be all parties to this Agreement.

1.11 “Penalty Assessments” means penalties, assessments, collection costs and other costs, fees, or charges resulting from late or delinquent payment of Transient Occupancy Tax and which are levied, assessed, or otherwise collected from the Operator.

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1.12 “Person” means any entity, whether an individual, trustee, corporation, partnership, trust, unincorporated organization, governmental agency or otherwise.

1.13 “Project Costs” means the total funds expended to complete the construction of the Ballroom but does not include any indirect costs.

1.14 “Property” means 74-855 Country Club Drive, Palm Desert CA 92260 (APNs:
624-040-034, 624-300-002, 624-300-004, 624-310-001, 624-310-002, 624-310-003, 624-310-004, 624-320-002, 624-320-003, and 624-360-011).

1.15 “Resort” means a luxury resort, including a hotel, spa, and other guest amenities, owned by the Operator and operating at the Property as contemplated by and pursuant to the terms of this Agreement.

1.16 “Transient Occupancy Tax” or “TOT” means an amount attributable to the taxable room stay generated by the Resort and remitted to the City pursuant to the TOT Law. TOT shall not include Penalty Assessments, sales tax, any business improvement district (BID) fees or taxes, or any other taxes or fees levied by, collected for, or allocated to a Federal, State or local government or other entity.

1.17 “TOT Law” means (i) California Revenue and Taxation Code section 7280 granting cities and counties authority to levy TOT; (ii) State of California County Tax Collectors Reference Manual Chapter 13000: Transient Occupancy Tax, and any successor law thereto; (iii) Palm Desert Municipal Code Chapter 3.28; and (iv) any other Laws authorizing the City to levy TOT.

2. OPERATOR’S OBLIGATIONS

2.1 Agreement Contingencies. The validity of this Agreement is contingent upon the Operator completing construction of the Ballroom and obtaining from the City a certificate of occupancy . This Agreement is further contingent upon the Operator maintaining any government approvals required to operate the Resort at the Property. The City’s approval of this Agreement does not have any binding effect on any future land use applications or other approvals that the City may consider relating to the development of the Property or operation of a Resort on the Property.

2.2 Resort Operations. The Operator hereby covenants and agrees that it will continue throughout the term of this Agreement, to operate its hospitality business that offers resort room stays, spa, dining, as and other guest amenities and programs.

2.3 Indemnification. The Operator shall indemnify, defend, and hold harmless the City and its officers, employees and agents, from and against all liabilities, obligations, claims, damages, penalties, causes of action, judgments, costs and expenses (including, without limitations, reasonable attorneys’ fees and expenses) (collectively “Claims”) imposed upon or incurred by or asserted against the City arising out of any act or omission of the Operator and the Resort; provided, however, that the aforesaid obligations of the Operator shall not apply to the extent any Claim results from the active negligence or intentional misconduct of the City, or any of the City’s officers, employees agents or contractors. In the event that any action, suit or proceeding is brought against the City by reason of any such occurrence, the Operator, upon City’s request and using

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counsel approved by the City, will defend such action, suit or proceeding at the Operator’s sole cost and expense.

2.4 Compliance with Laws. The Operator shall comply with all Laws concerning its organization, existence and transactions in operating the Resort at the Property and performing its obligations hereunder.

2.5 Anti-discrimination. The Operator shall not discriminate against any employee or
applicant for employment because of age, sex, marital status, race, handicap, color religion creed, ancestry, national origin, or any other class protected by Law.

2.6 Operator’s Representations and Warranties. The Operator makes the following
representations and warranties as of the effective date of this Agreement:

2.6.1 No Litigation. There is no litigation, action, suit or other proceeding pending or threatened against the Operator that may adversely affect the validity or enforceability of this Agreement. To the best of the Operator’s knowledge, the Operator is not in violation of any Law, the effect of which would prohibit the Operator from performing its obligations hereunder.

2.6.2 Authority. The Operator has the full power and authority to enter into this Agreement and all authorizations and approvals required to make this Agreement binding upon the Operator have been duly obtained.

2.6.3 No Breach. To the Operator’s knowledge, none of the undertakings contained in this Agreement violate any applicable Law, conflicts with, or constitutes a breach or default under any agreement by which the Operator is bound or regulated.

2.6.4 Warranty against Payment of Consideration for Agreement. The Operator has not paid or given, and will not pay or give, to any third Person, any money or other consideration for obtaining this Agreement, other than normal costs of conducting business and costs of professional services such as accountants and attorneys.

2.7 Release of City Officials. No member, official, agent, employee, or attorney of the
City shall be personally liable to the Operator, or any successor in interest of the Operator, in the event of any default or breach of this Agreement by the City, or for any amount which may become due to the Operator or its successors. The Operator hereby waives and releases any Claim it may have personally against the members, officials, agents, employees, consultants, or attorneys of the City with respect to any default or breach of this Agreement by the City or for any amount that may become due to the Operator or its successors.

2.8 Monthly Report & TOT Remittance. The Operator shall submit a monthly report

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to the City’s Finance Director. Together with the monthly report, the Operator shall remit a monthly TOT payment to the City’s Finance Director in accordance with the requirements of the City’s Transient Occupancy Tax Ordinance (Palm Desert Municipal Code Chapter 3.28).

2.9 Annual Report. The Operator shall submit an annual report to the City’s Finance Director each Fiscal Year containing the following information:

2.9.1 Name of the Operator and Resort;

2.9.2 Date of the Transient Occupancy Tax Sharing Agreement;

2.9.3 Transient Occupancy Tax revenue owed to the City during the reporting period; and

2.9.4 The number of full-time, part-time and temporary jobs generated by the Resort during the reporting period.

2.10 Expiration of Operating Period. The Operator agrees that upon the expiration of the Operating Period, or earlier termination of this Agreement, all TOT revenue sharing between the Parties shall cease, and the City shall be entitled to receive one hundred percent (100%) of all TOT generated by the Resort.

3. CITY’S OBLIGATIONS

3.1 Payment of Economic Development Subsidy. The Economic Development Subsidy shall be payable to Operator by City in annual installments within one hundred twenty (120) days subsequent to the end of the City’s fiscal year and in accordance with the City Finance Department’s procedures as they may change from time to time. Payment of the Economic Development Subsidy shall continue for the duration of the Operating Period, or earlier termination of this Agreement.

3.2 City’s Obligation to Provide Assistance Conditional on TOT Generation. The City’s obligation to provide the Operator with the Economic Development Subsidy payment pursuant to Section 3.1 of this Agreement, is conditioned upon the Resort generating TOT and the Operator remitting the appropriate amount of TOT owed to the City for each month during the Operating Period, or earlier termination of this Agreement.

3.3 Recapture of Economic Development Subsidy Payments. If, at any time during or after the term of this Agreement, a court of competent jurisdiction determines that all or any portion of the TOT received by the City was improperly allocated and/or paid to the City, and requires redistribution, repayment or offsets against any future TOT payments, or otherwise recaptures from the City any such TOT revenues determined to have been improperly allocated or paid, then the Operator will, within thirty (30) days after written demand from the City, repay all Economic Development Subsidy payments (or applicable portions thereof) paid to the Operator which are attributable to such repayment, offset, or recaptured TOT. If the Operator fails to make such repayment within thirty (30) days of the City’s written demand, then such obligation will accrue interest from the date of the City’s original written demand at the then-maximum legal rate imposed by the California Code of Civil Procedure on prejudgment monetary obligations, compounded

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monthly, until paid. Nothing in this Section 3.3 will require repayment by the Operator of any Economic Development Subsidy payments made or received with respect to TOT for any periods other than those periods for which a court of competent jurisdiction has required redistribution, repayment offset, or recapture by or against City.

3.4 Legal Challenge. Should any third party successfully challenge the validity of this Agreement through a taxpayer suit which results in a final judgment in favor of said third party, either Party may terminate this Agreement upon thirty (30) days written notice to the other Party.

Each Party agrees to vigorously defend any such legal challenges, including appeals of adverse court ruling where appropriate. In the event of such legal challenge, each Party will be responsible for all of its own costs and expenses, including attorneys’ fees and expert witnesses.

4. DEFAULTS AND REMEDIES

4.1 Events of Default. Any of the following shall initiate an Event of Default for purposes of this Agreement:

4.1.1 The Operator materially breaches any of its obligations under Section 2 of this Agreement.

4.1.2 The City fails to timely make an Economic Development Subsidy payment to the Operator, once the accuracy of the amount is verified, pursuant to its obligation under this Agreement.

When any of the initiating events described in this Section 4.1 occur, the City or the Operator may give the other Party written notice to cure. Where such act or omission is not cured by the breaching Party within thirty (30) days after that Party’s receipt of written notice that such obligation was not performed, it shall constitute an Event of Default; provided that, if cure cannot reasonably be effected within such 30-day period, such failure shall not be an Event of Default so long as the Party promptly (in any event, within ten (10) days after receipt of such notice) commences cure and notifies the other Party of its intent to cure, and thereafter diligently (in any event within a reasonable time after receipt of such notice) prosecutes such cure to completion.

4.2 Remedies Upon Default. Upon the occurrence of any Event of Default and thirty
(30) days after written notice of such default, and after a reasonable opportunity to cure such default, if the defaulting Party has not cured the Event of Default, the non-defaulting Party may terminate this Agreement and/or file any action available in law or equity against the defaulting Party.

5. GENERAL PROVISIONS

5.1 Time of the Essence. Time is of the Essence under this Agreement and all Parties’
obligations hereunder.

5.2 Venue. In the event of any litigation hereunder, all such actions shall be instituted

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in the Superior Court of Riverside, State of California, or in an appropriate municipal court in the County of Riverside, State of California or an appropriate Federal District Court in the Central District of California.

5.3 Applicable Law. The laws of the State of California shall govern the interpretation
and enforcement of this Agreement.

5.4 Execution in Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be an original, but all of which shall constitute one and the same instrument.

5.5 Attachments Incorporated. Any attachment to this Agreement is incorporated
herein by this reference.

5.6 Copies. Any executed copy of this Agreement shall be deemed an original for all
purposes.

5.7 Severability. If any one or more of the provisions contained herein shall for any
reason be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability, unless it affects the substantial rights of a Party or defeats the purpose of this Agreement, shall not affect any other provision of this Agreement, but this Agreement shall be construed as if such invalid, illegal or unenforceable provision has not been contained herein.

5.8 Interpretation. The language in all parts of this Agreement shall in all cases be
construed as a whole according to its fair meaning, and not strictly for or against any Party. When the context of this Agreement requires, the neutral gender includes the masculine, the feminine, a partnership or corporation of joint venture or other entity, and the singular includes the plural.

5.9 No Partnership or Joint Venture. The Parties hereto agree that nothing contained
in this Agreement shall be deemed or construed as creating a partnership, joint venture, or association between the City and the Operator, or cause the City or the Operator to be responsible in any way for the debts or obligations of the other Party, and no other provision contained in this Agreement nor any acts by the Parties hereto shall be deemed to create any relationship between the City and the Operator other than that of contracting Parties. Further, nothing herein shall give or is intended to give any rights of any kids to any Person not an express Party hereto.

5.10 Integration. This Agreement, including the attachments, if any, attached hereto, is the entire Agreement between and final expression of the Parties, and there are no agreements or representations between the Parties except as expressed herein. All prior negotiations and agreements between the City and the Operator with respect to the subject matter hereof are superseded by this Agreement. Except as otherwise provided herein, no subsequent change or addition to this Agreement shall be binding unless in writing and signed by the Parties hereto.

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5.11 Non-waiver. None of the provisions of this Agreement shall be considered waived by any Party except when such waiver is given in writing. The failure of any Party to insist in any one or more instances upon strict performance of any of its rights hereunder shall not be construed as a waiver of any such provisions or the relinquishment of any such rights for future, but the same shall continue and remain in full force and effect.

5.12 Attorneys Fees. In the event of the bringing of an arbitration, action or suit by a Party hereto against another Party hereunder by reason of any breach of any covenants or agreements or intentional inaccuracies in any of the representations and warranties on the part of the other Party arising out of this Agreement or any other dispute between the Parties concerning this Agreement, each Party will be responsible for all of its own costs and expenses, including attorneys’ fees and expert witnesses.

5.13 Assignment. Except for a one-time assignment and transfer, at the time the Operator purchases the Property, to a newly formed single purpose entity that is controlled by, and an affiliate of, the Operator, which City hereby approves, no portion of this Agreement may be assigned by the Operator without the express written consent of the City, nor may any interest in this Agreement be transferred by the Operator without the express written consent of the City.

5.14 Notices. Any notice, approval, demand or other communication required or desired to be given pursuant to this Agreement shall be in writing and shall be effective upon personal service (including by means of professional messenger service) or, five (5) days after mailing via United States first-class mail, or two (2) days after mailing via Federal Express or other similar reputable overnight delivery service. Any notice shall be address as set forth below:

For CITY: Todd Hileman, City Manager
City of Palm Desert
73510 Fred Waring Drive
Palm Desert, CA 92260
Phone: (760) 461-6065
Facsimile: (760)
For OPERATOR: Ronnie Lam, President
Kam Sang Company
411 East Huntington Drive
Arcadia, CA 91006
Phone: (626) 446-2988
Facsimile: (626)

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IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed as of the day and year first above written.

CITY: OPERATOR:

City of Palm Desert, Kam Sang Company, Inc.,
a California charter city a California corporation,
dba The Palm Desert Hot Springs Resort & Spa
By: By:

Todd Hileman, City Manager Name:

Its:

ATTEST:

By:

Anthony Mejia, MMC, City Clerk
APPROVED AS TO FORM:

By: _____________________________
Leslie E. Devaney, City Attorney
By:

Name:

Its:

Robert Hargreaves, City Attorney

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EXHIBIT A
Economic Development Subsidy Report

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A-1

ECONOMIC DEVELOPMENT SUBSIDY REPORT
(GOVERNMENT CODE SECTION 53083)

REGARDING A TRANSIENT OCCUPANCY TAX SHARING AGREEMENT

BETWEEN THE CITY OF PALM DESERT
AND

NEWAGE DESERT SPRINGS, LLC, A DELAWARE LIMITED LIABILITY COMPANY,

DBA JW MARRIOTT DESERT SPRINGS RESORT & SPA
AND

IN CONNECTION WITH THE DEVELOPMENT OF A NEW BALLROOM FACILITY TO BE LOCATED AT 74-855 COUNTRY CLUB DRIVE, PALM DESERT CA 92260 (APNS 624-040-034, 624-300-002, 624-300-004, 624-310-001, 624-310-002, 624-310-003, 624-310-004, 624-320-002, 624-320-003, AND 624-360-011).

Pursuant to Government Code Section 53083, the City Council of the City of Palm Desert must hold a noticed public hearing and, prior to the public hearing, provide all of the following information in written form available to the public including through the City’s website, regarding a proposed economic development subsidy to be provided by the City of Palm Desert (“City”) pursuant to a Transient Occupancy Tax (“TOT”) Sharing Agreement (“Agreement”) by and between the City and Newage Desert Springs, LLC, a Delaware Limited Liability Company, dba JW Marriott Desert Springs Resort & Spa (“Developer”).

This Economic Development Subsidy Report (“Report”) is being published on the City’s website in advance of the public meeting to be held on August 24, 2023. The purpose of this Report is to provide the information to inform the public about the subsidy provided under the Agreement, as required pursuant to Government Code Section 53083. This Report shall remain available to the public and posted on the City’s website until the end date of the economic development subsidy, as further described in Section 2 below.

1. The name and address of all corporations or any other business entities, except for sole proprietorships, that are the beneficiary of the economic development subsidy.

This Agreement is between the City and the Developer (Newage Desert Springs, LLC, a Delaware limited liability company, dba JW Marriott Desert Springs Resort & Spa). The Developer will own and operate the business benefitting from the economic development subsidy.

2. The start and end dates and schedule, if applicable, for the economic development subsidy.

The Agreement for the proposed Transient Occupancy Tax Revenue Sharing Agreement will go before the City Council on August 24, 2023. The Agreement will commence on the first day of the month following the issuance by the City of a certificate of occupancy for the new Ballroom at the JW Marriott Desert Springs Resort & Spa, 74-855 Country Club Drive, Palm Desert, CA 92260

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A-2
The Agreement will end fifteen (15) years from the commencement date, unless earlier terminated pursuant to the terms of the Agreement, or upon the earlier payment of the lesser of Ten Million Dollars ($10,000,000.00) or fifty percent (50%) of the total funds expended by the Developer to complete the construction of the new Ballroom, but does not include any indirect costs.

3. A description of the economic development subsidy, including the estimated total amount of the expenditure of public funds by, or of revenue lost to, the local agency as a result of the economic development subsidy.

The economic development subsidy to be provided by the City consists of payments to be made by the City to the Developer, in an amount equal to fifty percent (50%) of the TOT remitted to the City by the Developer for a period of fifteen (15) years not to exceed the lesser of Ten Million Dollars ($10,000,000.00) or fifty percent (50%) of the total funds expended by Newage Desert Springs, LLC, to complete the construction of the new Ballroom but does not include any indirect costs.

At the end of the payout period, all future TOT revenues would be retained by the City.

4. A statement of the public purposes for the economic development subsidy.

The public purposes for the economic development subsidy include: (i) the attraction of increased visitors to the City; (ii) the contribution to the economic vitality of the City; (iii) expansion of the City’s tax base; (iv) generation of increased transient occupancy, sales and use taxes and other revenue to the City; (v) creation and provision of additional jobs in the City; and (vi) otherwise improve economic and physical conditions in the City. Taken together, these benefits would enhance the quality of facilities, goods and services available to the City and its residents, such as police, fire, street maintenance, and parks and recreation programs.

5. The projected tax revenue to the local agency as a result of the economic development subsidy.

The incremental Transient Occupancy Tax revenue projected to be received by the City as a result of the economic subsidy is $57,600,000 over the fifteen (15) year term of the Agreement.

6. Estimated number of jobs created by the economic development subsidy, broken down by fulltime, part-time, and temporary positions.

It is anticipated that a total of 50 full-time and 25 part-time positions will be created as a result of the City’s economic development subsidy of the development of the new Ballroom at the JW Marriott Desert Springs Resort & Spa.

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JW MARRIOTT

DESERT SPRINGS

RESORT AND SPA
City Counc il August 24, 2023 Page 849 of 851

JW MARRIOTT DESERT SPRINGS

RESORT AND SPA
- L A R GEST R E SORT I N T H E C OA C HEL L A VA L L E Y - OVE R 8 0 0 - ROOM S
- T W O ( 2 ) 1 8 - H OEL G OL F C OU R SE
- SPA
- SE VE R AL R E STAU RANTS
- L A R GEST C ONVE NTI ON/B AL LROOM SPA C E
- L A R GEST E M P LOY ER
Proposal: TOT Sharing Agreement to
expand the ballroom space by 25,000 sq. ft.

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TOT SHARING
AGREEMENT • City to reimburse 50% of the TOT increment
generated over a 15-year period up to $10M
• The TOT increment is a baseline, established
by the average TOT generation over the past 3-years
• Anything above this baseline will be
reimbursed at 50%
• Once 50% of project financing cost are
recouped the City will retain 100% TOT
• Project cost will be verified upon completion

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