Agenda packet, regular meeting — Palm Desert City Council, February 13, 2025 (part 3 of 5)

Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether City’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements.

However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. 723
To the Honorable Mayor and Members of the City Council
City of Palm Desert, California
Purpose of This Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Irvine, California
January 27, 2025
724

CITY OF PALM DESERT
FISCAL YEAR 2023-2024

APPROPRIATIONS LIMIT CALCULATION
Article XIII B of the California Constitution requires adoption of an annual appropriation limit. The original base year limit was adopted in FY 1978-79 and has been adjusted annually for increase by a factor comprised of the percentage change in population combined with either the percentage change in California per capita personal income or the percentage change in local assessment roll due to the addition of local nonresidential new construction. The changes in the local assessment roll due to additional local nonresidential new construction for current and prior periods have not been available from the County Assessor's office.

On November 1988, voters approved Proposition R which increased the limit to $25,000,000. It expired in November 1992. The FY 1993-94 limit was calculated with prior years re-calculated to reflect the expiration of the $25,000,000 limit.

AMOUNT SOURCE
A. 2022-23 APPROPRIATION LIMIT 166,412,854 PRIOR YEAR'S CALCULATION

B. ADJUSTMENT FACTORS

1. POPULATION %
POPULATION % CHANGE (0.0002) STATE DEPT OF FINANCE
POPULATION CONVERTED TO RATIO (-0.02+100)/100 0.999998 CALCULATED

2. INFLATION %
USING % CHANGES IN CALIF PER CAPITA PERSONAL INCOME
PER CAPITA % CHANGE 4.44 STATE DEPT OF FINANCE
PER CAPITA CONVERTED TO RATIO (7.55+100)/100 1.0444 CALCULATED

3. CALCULATION OF FACTOR FOR FY 23-24 1.0444 B1*B2
C. 2023-24 APPROPRIATIONS LIMIT BEFORE ADJUSTMENTS 173,801,207 B3*A D. OTHER ADJUSTMENTS 0 CALCULATED
E. 2023-2024 APPROPRIATIONS LIMIT 173,801,207 C+D
F. APPROPRIATIONS SUBJECT TO LIMIT 67,650,499 CALCULATED G. OVER/(UNDER) LIMIT (106,150,708) F-E
725
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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: February 13, 2025
PREPARED BY: Cesar Lopez, Associate Engineer
Richard D. Cannone, AICP, Development Services Director SUBJECT: ADOPT A RESOLUTION TO REPEAL AND REPLACE THE CITY OF

PALM DESERT STANDARD DETAILS AND DESIGN GUIDELINES
RECOMMENDATION:

Adopt a resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, TO REPEAL AND REPLACE RESOLUTION NO. 2024-077

WHICH ADOPTED THE CITY OF PALM DESERT STANDARD DETAILS AND DESIGN GUIDELINES AND MAKING A FINDING OF EXEMPTION UNDER CEQA.” BACKGROUND/ANALYSIS:

On October 24, 2024, the City of Palm Desert City Council adopted Resolution No. 2024-077 approving updated City of Palm Desert Standard Details and Design Guidelines (Standards) to refine the standards and provide additional minimum criteria for the design, materials, and methods of construction for common items of public and private infrastructure including, but not limited to, streets, storm drains, landscaping, traffic control devices, and streetlights. These Standards have been implemented and are now in effect. However, upon further review, inconsistencies in some illustrations have been identified that require clarification for accurate implementation.

To avoid a questionable interpretation and enforceability of the guidelines, the recommendation is to repeal and replace the Standards to incorporate the items listed below.

The list below specifically identifies the revisions which will be made for implementation:

Standard
No.

Standard Name Proposed Change Reason for the Change
101
(Sheet 2 of
2)

DRAFTING

STANDARDS
AND

TOPOGRAPHY

SYMBOLS
Added “Traffic Line Types” Standards details needed for consistency in designing of
streets.
300 SIDEWALK Added an 8’ sidewalk option Provide detail options for 8- foot sidewalk.
401 WEDGE CURB Wedge curb will not be
allowed.

New private or public
improvements will not allow
wedge curbs.
727
City of Palm Desert
Updated Standard Details and Design Guidelines

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912 BICYCLE/GOLF

CART LANE
SIGNS

PAVEMENT

MARKINGS
Added sign detail The standard was missing
the illustration detail.
918 BICYCLE

DETECTOR

PAVEMENT

MARKING
Added sign detail The standard was missing
the illustration detail.
919 BICYCLE

PAVEMENT

MARKING
Added sign detail The standard was missing
the illustration detail.
1007 PARKWAY

LANDSCAPE

MOUNDING
Minimum parkway distance
from curb to sidewalk
changed from 2’ to 3’
Increased the landscape
area between curb and
meandering sidewalk.

Legal Review:

This report has been reviewed by the City Attorney’s Office.

Environment Review:

The City of Palm Desert (City), in its capacity as the Lead Agency for this project, finds that the project is exempt from CEQA since the proposed Standards do not alter the physical environment and qualify for a CEQA exemption under Guidelines Section 15061(b)(3) since there is no substantial evidence that there is any possibility that the approval of these Standards will have a significant effect on the environment. This does not consist of a project and therefore exempt from any environmental review under CEQA.

FINANCIAL IMPACT:

There is no direct financial impact to the General Fund associated with adopting these Standards. However, operational savings may be realized over time, through more consistent and standardized public improvements.

ATTACHMENTS:

1. Draft Resolution

2. New City of Palm Desert Standard Details and Design Guidelines 728
CITY COUNCIL RESOLUTIONNO.
2 RESOLUTION NO. 2025-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM
DESERT, CALIFORNIA, TO REPEAL AND REPLACE RESOLUTION NO. 2024-077 WHICH ADOPTED THE CITY OF PALM DESERT STANDARD

DETAILS AND DESIGN GUIDELINES AND MAKING A FINDING OF

EXEMPTION UNDER CEQA
WHEREAS, the City of Palm Desert City Council adopted Ordinance 125 in 1976 to help the development community install roadway improvements that were consistent within its City boundaries; and
WHEREAS, the City Council of the City of Palm Desert, California adopted Resolution 2024-077 on October 10, 2024, adopting the City of Palm Desert Standard Details and Design Guidelines; and
WHEREAS, upon further review, inconsistencies in some of the standard details have been identified that required clarification for accurate implementation; and WHEREAS, the standards are not intended to be all inclusive and shall be used as a design guide, thereby allowing exceptions to these standards to be considered by the City Engineer on a case by case basis when deemed appropriate for a specific application; and
WHEREAS, City staff will update this manual periodically as needed subject to review by the Engineering, Development Services, and Public Works Departments to ensure standards and guidelines remain current with industry standards, address best practices, and consider improvements recommended by the development community and other stakeholders; and
WHEREAS, the City Council of the City of Palm Desert, California, did on its regular meeting of February 13, 2025, consider the request by the City Engineer of the City of Palm Desert to recommend approval of updated City of Palm Desert Standard Details and Design Guidelines; and
WHEREAS, The City, in its capacity as the Lead Agency for this project, finds that the project is exempt from CEQA since the proposed Standard Guidelines do not alter the physical environment and qualify for a CEQA exemption under Guidelines Section 15061(b)(3) since there is no substantial evidence that there is any possibility that the approval of these Standards will have a significant effect on the environment.

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

SECTION 1. Recitals. The City Council finds and determines that the recitals set forth above are true and correct, that the recitals are incorporated herein by this reference, and that the recitals constitute the City of Palm Desert City Council’s findings for recommending approval of the revised City of Palm Desert Standard Details and 729
CITY COUNCIL RESOLUTIONNO.
3 Design Guidelines.

Section 2. Findings. The City Council finds that the facts and reasons, which are outlined in the staff report, sufficient to recommend approval of said request.

SECTION 3. CEQA. The City, in its capacity as the Lead Agency for this project, finds that the revised project is exempt from CEQA since the proposed Standard Guidelines do not alter the physical environment and qualify for a CEQA exemption under Guidelines Section 15061(b)(3) since there is no substantial evidence that there is any possibility that the approval of these Standards will have a significant effect on the environment.

SECTION 4. Recommendation. The City Council adopt the revised City of Palm Desert Standard Details and Design Guidelines, attached hereto as Exhibit A. and incorporated herein by reference and repeal Resolution Number 2024-077.

ADOPTED ON , 2025

JAN HARNIK, MAYOR
ATTEST:

ANTHONY J. MEJIA, CITY CLERK
730
CITY COUNCIL RESOLUTIONNO.
4 EXHIBIT A
City of Palm Desert Standard Details and Design Guidelines 731
732

CITY OF PALM DESERT STANDARD DETAILS

AND DESIGN GUIDELINES
INDEX - PAGE 1 OF 2

GENERAL
100 ACRONYMS AND ABBREVIATIONS
101 DRAFTING STANDARDS AND TOPOGRAPHY

SYMBOLS

STREET STANDARDS
SIDEWALKS. DRIVEWAYS. & RAMPS
300 SIDEWALK
301 MEANDERING SIDEWALK
302 DG MULTIPURPOSE TRAIL
303 RESIDENTIAL DRIVEWAY APPROACH (FOR

RIGHT-OF-WAY WIDTH BEHIND CURB OF
1 O' OR MORE)
304 RESIDENTIAL DRIVEWAY APPROACH (FOR

CONFINED RIGHT-OF-WAY)
305 COMMERCIAL DRIVEWAY
306 SINGLE CURB RAMP
307 DUAL CURB RAMP

CURB & GUTTER
400 CURB ONLY
401 WEDGE CURB
402 ASPHALT CONCRETE BERM
403 CURB AND GUTTER
404 CROSS GUTTER
405 VALLEY GUTTER

DRAINAGE
500 UNDER SIDEWALK DRAIN
501 UNDER SIDEWALK DRAIN (CAST IN PLACE)
502 CURB DRAIN CASE A & B
503 CURB SUPPORT DETAIL
504 GUTTER DEPRESSION FOR CURB

OPENING CATCH BASINS
505 MANHOLE FRAME AND COVER
(LOCAL & COLLECTOR STREETS)
506 MANHOLE FRAME AND COVER
(ARTERIAL & SECONDARY STREETS)
507 STANDARD DRYWELL DETAIL
508 VALVE OPERATOR WELL INSTALLATION

MEDIANS
600 TYPICAL MEDIAN CONSTRUCTION
601 RESTRICTED LEFT-TURN MEDIAN OPENING
602 MEDIAN TAPER
603 MEDIAN FLARE

MONUMENTS
700 TYPE A, B, & C MONUMENTS
701 TYPE "B" MONUMENT
702 TIE-OUT STANDARDS
703 STREET CENTERLINE MONUMENT

GEOMETRICS
800 CUL-DE-SAC (SYMMETRICAL)
801 CUL-DE-SAC (ASYMMETRICAL)
802 KNUCKLE
803 UTILITY TRENCH PAVEMENT REPLACEMENT

TRAFFIC
900 TRAFFIC LOOP DETECTOR
901 TYPE P CONTROLLER ASSEMBLY DETAIL
902 TYPE R CONTROLLER ASSEMBLY DETAIL
903 INTERCONNECT PULL BOX DETAILS
Per General Plan or Specific Plan
733
734
735
736
737
738
739
740
741
742
743
744
745
≥
746
747
748
749
750
751
752
753
754
755
756
757
758
759
760
761
762
763
764
765
766
767
768
769
770
771
772
773
774
775
776
777
778
779
780
781
782
Monterey CITY OF PALM DESERT 74-999
783
784
785
786
787
788
789
790

GOLF CART LANE
791

GOLF CART ROUTE
792
P
793
794
795
796
797
798
799
800
801
802
803
804
805
806
807
808
809
810
811
812
813
814
815
816
817
818
819
820
821
822
823
824
825
826

CITY OF PALM DESERT
CITY MANAGER’S OFFICE

INTEROFFICE MEMORANDUM
Date: February 11, 2025
To: Honorable Mayor and Councilmembers
From: Anthony J. Mejia, City Clerk
Subject: City Council Meeting of February 13, 2025
Below you will find questions received from the Mayor or Councilmembers and answers provided by City staff regarding tonight’s City Council meeting:

ITEM 10n: ADOPT A RESOLUTION TO REPEAL AND REPLACE THE CITY OF PALM DESERT

STANDARD DETAILS AND DESIGN GUIDELINES
Q1: Can staff clarify the correct adoption date of Resolution 2024-077, as the staff report references October 24, 2024, while the draft resolution states October 10, 2024?? A1: The correct adoption date of Resolution 2024-077 is October 24, 2024. Staff will ensure the correction is made to the resolution prior to execution.

ITEM 10p: APPROVE PREPAYMENT OF JULY 4, 2025, INDEPENDENCE DAY CELEBRATION EVENT EXPENDITURES IN AN AMOUNT NOT TO EXCEED $130,000 AND TO BE INCLUDED AS PART OF THE FISCAL YEAR (FY) 2025-26 ANNUAL BUDGET Q1: Has staff evaluated the feasibility of using low-noise fireworks as an alternative, considering their potential benefits and limitations?
A1: The City is currently in the second year of a three-year contract with Pyro Spectaculars, Inc. for a traditional pyrotechnic display. While staff has not previously evaluated the feasibility of using lownoise fireworks, this can be explored if directed by the City Council for future events.

ITEM 12c: CONSIDER AN APPEAL OF THE CITY MANAGER’S REVOCATION OF THE BUSINESS LICENSE FOR MASSAGE 111 LOCATED AT 45120 SAN PABLO, SUITE 2A, PALM

DESERT, CALIFORNIA
Q1: Can staff confirm the correct year for the dates listed in Findings 2, 5, and 7, as they currently reference future years (2025 and 2027)?
A1: The correct year for the dates in Findings 2, 5, and 7 should be 2024. A redline staff report and resolution reflecting this correction are included as part of this supplemental packet. 827
828

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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: February 13, 2025
PREPARED BY: Randy Chavez, Deputy Director of Public Works SUBJECT: APPROVE AMENDMENT NO. 4 TO CONTRACT NO. C40350 WITH ST.

FRANCIS ELECTRIC, LLC, FOR TRAFFIC SIGNAL PREVENTIVE

MAINTENANCE AND EMERGENCY ON-CALL SERVICES
RECOMMENDATION:

1. Approve Amendment No. 4 to Contract No. C40350 with St. Francis Electric, LLC, of Riverside, California, for traffic signal preventive maintenance and emergency on-call services to increase compensation in amount not to exceed $200,000 annually.

2. Authorize the City Attorney to make necessary non-monetary changes to the agreement.

3. Authorize the City Manager to execute said amendment.

BACKGROUND/ANALYSIS:

The City contracts for supplemental routine traffic signal maintenance and emergency on-call services to address issues arising from normal wear and tear, collision damage, vandalism, or other factors requiring additional traffic signal maintenance support.

On August 27, 2020, Contract No. C40350 was awarded to St. Francis Electric for maintenance and emergency on-call services, initially in the amount of $50,000 annually for two years, with options for three one-year extensions. Following the second amendment, the contract was extended, and the annual value was increased to $100,000 to address ongoing service needs.

The City exercised the final one-year extension, effective July 1, 2024, at $100,000 annually.

The City has used approximately $80,000 of the current contract funding, leaving a remaining balance of $20,000. In addition, unforeseen repairs, including a recent damaged pole at Country Club Drive and Liberty Drive costing an estimated $30,000, have created an immediate need for additional resources.

Staff recommends approval of Amendment No. 4 to the contract with St. Francis Electric, increasing the funding by $100,000 and bringing the total to $200,000 for Fiscal Year 2024-25.

This amendment will address current contract shortfalls and ensure sufficient resources for traffic signal maintenance and emergency repairs throughout the remainder of the fiscal year.

As this is the final fiscal year of the current agreement, staff will issue a Request for Proposals (RFP) to identify contractors for traffic signal preventative maintenance and emergency on-call services under a multi-year contract beginning in Fiscal Year 2025-26.

Legal Review:

This report has been reviewed by the City Attorney’s Office. 829
City of Palm Desert
Traffic Signal Maintenance

Page 2 of 2 ends

FINANCIAL IMPACT:

The Fiscal Year 2024-25 Annual Budget includes funds in the amount of $311,500 for Traffic Signals Repair and Maintenance under account 1104250-4332500. Currently, this account has an available balance of approximately $160,000; therefore, there is no further financial impact on the General Fund with this action.

ATTACHMENTS:

1. Staff Report and Contract (August 27, 2020)

2. Amendment No. 1 (September 1, 2022)

3. Amendment No. 2 (August 15, 2023)

4. Amendment No. 3 (June 6, 2024)

5. Amendment No. 4
830
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832
833
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837
838
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840
841
842
843
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845
846
847
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851
852
853
854
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856
857
858
859
860
Contract No. ___________

Page 1 of 3 ends

Revised 01-2024
BBK 72500.00001\32445060.1
AMENDMENT NO. #4 TO THE TRAFFIC SIGNAL PREVENTIVE MAINTENANCE AND EMERGENCY ON-CALL SERVICES BETWEEN THE CITY OF PALM DESERT AND ST.

FRANCIS ELECTRIC, LLC

1. Parties and Date.

This Amendment No. 4 to the TRAFFIC SIGNAL PREVENTIVE MAINTENANCE AND EMERGENCY ON-CALL SERVICES, CONTRACT NO. C40350 is made and entered into as of this 13th day of February, 2025, by and between the City of Palm Desert (“City”) and ST.

FRANCIS ELECTRIC, a Limited Liability Company, with its principal place of business at 1420 CITRUS STREET, RIVERSIDE, CALIFORNIA 92507 ("Vendor"). The City and Vendor are sometimes individually referred to herein as "Party" and collectively as "Parties."

2. Recitals.

2.1 Agreement. The City and ST. FRANCIS ELECTRIC, LLC, have entered into an agreement entitled TRAFFIC SIGNAL PREVENTIVE MAINTENANCE AND EMERGENCY ONCALL SERVICES, CONTRACT NO. C40350 dated August 27, 2020 (“Agreement” or “Contract”) for the purpose of retaining the services of ST. FRANCIS ELECTRIC, LLC, to provide MAINTENANCE AND EMERGENCY SERVICES.

2.2 Amendment. The City and ST. FRANCIS ELECTRIC, LLC, desire to amend the Agreement to ADDITIONAL COMPENSATION. The Parties have heretofore entered into that Amendment No. 3 dated June 6, 2024.

2.3 Amendment Authority. This Amendment No. 4 is authorized pursuant to Section

3.5.9 of the Agreement.

3. Terms.

3.1.2 Compensation. Section 3.3.1 of the Agreement is hereby amended in its entirety to read as follows:

Compensation. Contractor shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement. The total compensation shall not exceed Two Hundred Thousand Dollars ($200,000) per fiscal year without written approval of the City Council or City Manager, as applicable.

3.2 Continuing Effect of Agreement. Except as amended by this Amendment No. 4, all other provisions of the Agreement remain in full force and effect and shall govern the actions of the parties under this Amendment No. 4. From and after the date of this Amendment No. 4, whenever the term “Agreement” or “Contract” appears in the Agreement, it shall mean the Agreement as amended by this Amendment No. 4.

3.3 Adequate Consideration. The Parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment No. 4.

3.4 Severability. If any portion of this Amendment No. Click or tap here to enter text.4 is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect. 861
Contract No. ___________

Page 2 of 3 ends

Revised 01-2024
BBK 72500.00001\32445060.1

3.5 Counterparts. This Amendment No. 4 may be executed in duplicate originals, each of which is deemed to be an original, but when taken together shall constitute but one and the same instrument.
[SIGNATURES ON FOLLOWING PAGE]
862
Contract No. ___________

Page 3 of 3 ends

Revised 01-2024
BBK 72500.00001\32445060.1
SIGNATURE PAGE FOR AMENDMENT NO. #4 TO TRAFFIC SIGNAL PREVENTIVE

MAINTENANCE AND EMERGENCY ON-CALL SERVICES BETWEEN THE CITY OF PALM DESERT AND ST. FRANCIS ELECTRIC, LLC
IN WITNESS WHEREOF, the Parties have entered into this Amendment No. #4 to the

TRAFFIC SIGNAL PREVENTIVE MAINTENANCE AND EMERGENCY ON-CALL SERVICES as of 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:

Isra Shah
Best Best & Krieger LLP
City Attorney
ST. FRANCIS ELECTRIC, A LIMITED

LIABILITY COMPANY
By:

Guy Smith
Vice President
City Clerk QC: _____
Contract QC: _____
Insurance:
_____
Initial Review
_____
Final Approval
863
864

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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: February 13, 2025
PREPARED BY: Shelby Goodwin, Special Events Coordinator SUBJECT: APPROVE PREPAYMENT OF JULY 4, 2025, INDEPENDENCE DAY

CELEBRATION EVENT EXPENDITURES IN AN AMOUNT NOT TO
EXCEED $130,000 AND TO BE INCLUDED AS PART OF THE FISCAL YEAR 2025-26 ANNUAL BUDGET
RECOMMENDATION:

1. Approve prepayment of expenditures not to exceed $130,000, to be included in the FY 2025- 26 Annual Budget for production of the July 4, 2025, Independence Day Celebration.

2. Authorize the City Manager to execute vendor contracts associated with event production.

BACKGROUND/ANALYSIS:

For over thirty years, the City of Palm Desert has hosted a premier Independence Day Celebration at the Palm Desert Civic Center Park, drawing more than 10,000 spectators each year. This highly anticipated annual event has featured a spectacular fireworks display, provided by Pyro Spectaculars, a nationally recognized pyrotechnics company known for its safety record and exceptional service.

On February 28, 2024, the City entered into a three-year contract with Pyro Spectaculars, with the option for a one-year extension. The 3-year contract, totaling $155,500, covers three annual displays, with the cost of the 2025 display set at $50,000, plus additional costs for permits not to exceed $5,000, as required by the Riverside County Fire Marshal’s Office. The agreement specifies a deposit of $25,000 to be paid by March 4, 2025.

In addition to the fireworks, the event features a variety of attractions, including food trucks, vendors, children's activities, a color guard presentation, and live music. The fireworks display is synchronized to patriotic music and broadcast on local radio stations, lasting approximately 20 minutes.

To ensure the success of the celebration, the following expenditures in an amount not to exceed $130,000 are anticipated for the event, many of which require contracts and payments to be finalized prior to July 1, 2025:
 20-minute pyrotechnics display
 Professional sound and lighting services for the concert  Two live radio remotes on-site
 Radio promotions
 Shuttle services between The Gardens on El Paseo and the Civic Center Park  Event insurance
865
City of Palm Desert
Preapproval of Independence Day Celebration Expenditures for FY 2025-26

Page 2 of 2 ends

 Health Department and Fire Marshal permit fees
 Golf cart rentals
 Two-way radios for communication among staff and agencies  Police services
 Other related event expenses
Legal Review:

This report has been reviewed by the City Attorney’s Office.

Strategic Plan:

Preapproval of Independence Day Celebration event expenditures for FY 2025/2026 would help address the following priorities as specified in the 2013-2033 Strategic Plan, Envision Palm Desert – Forward Together:
 Economic Development Priority 3: Create and attract entertainment and events to enhance and expand the Palm Desert economy and lifestyle.  Tourism and Marketing Priority 2: Grow existing events and develop new events to enhance the desirability of Palm Desert as a year-round destination.

FINANCIAL IMPACT:

Funding for the 2025 Independence Day Celebration in the amount of $130,000 will be included as part of the FY 2025-26 Annual Budget (City-Produced Events Account No. 1104416-4306101).

This is the same amount approved in the FY 2024-25 Annual Budget.

ATTACHMENTS:

1. Pyro Spectaculars Contract
866
28th February
DocuSign Envelope ID: 8A6C01EE-D6B0-4B05-9955-AC92F4C8E716 Contract No. C47150A
867
DocuSign Envelope ID: 8A6C01EE-D6B0-4B05-9955-AC92F4C8E716 Contract No. C47150A
868
City Manager
L. Todd Hileman
February 28, 2024
Attest:
_________________________________
Anthony J. Mejia
City Clerk
DocuSign Envelope ID: 8A6C01EE-D6B0-4B05-9955-AC92F4C8E716 Contract No. C47150A
869
DocuSign Envelope ID: 8A6C01EE-D6B0-4B05-9955-AC92F4C8E716 Contract No. C47150A
870
DocuSign Envelope ID: 8A6C01EE-D6B0-4B05-9955-AC92F4C8E716 Contract No. C47150A
871
DocuSign Envelope ID: 8A6C01EE-D6B0-4B05-9955-AC92F4C8E716 Contract No. C47150A
872
DocuSign Envelope ID: 8A6C01EE-D6B0-4B05-9955-AC92F4C8E716 Contract No. C47150A
873
DocuSign Envelope ID: 8A6C01EE-D6B0-4B05-9955-AC92F4C8E716 Contract No. C47150A
874
DocuSign Envelope ID: 8A6C01EE-D6B0-4B05-9955-AC92F4C8E716 Contract No. C47150A
875
DocuSign Envelope ID: 8A6C01EE-D6B0-4B05-9955-AC92F4C8E716 Contract No. C47150A
876
DocuSign Envelope ID: 8A6C01EE-D6B0-4B05-9955-AC92F4C8E716 Contract No. C47150A
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CITY OF PALM DESERT
CITY MANAGER’S OFFICE

ITEM 10n: ADOPT A RESOLUTION TO REPEAL AND REPLACE THE CITY OF PALM DESERT

ITEM 12c: CONSIDER AN APPEAL OF THE CITY MANAGER’S REVOCATION OF THE BUSINESS LICENSE FOR MASSAGE 111 LOCATED AT 45120 SAN PABLO, SUITE 2A, PALM

CITY OF PALM DESERT
CITY MANAGER’S OFFICE

INTEROFFICE MEMORANDUM
Date: February 13, 2025
To: Honorable Mayor and Councilmembers
From: Anthony J. Mejia, City Clerk
Subject: City Council Meeting of February 13, 2025
Below you will find questions received from the Mayor or Councilmembers and answers provided by City staff regarding tonight’s City Council meeting:

ITEM 10p: APPROVE PREPAYMENT OF JULY 4, 2025, INDEPENDENCE DAY CELEBRATION EVENT EXPENDITURES IN AN AMOUNT NOT TO EXCEED $130,000 AND TO BE INCLUDED AS PART OF THE FISCAL YEAR (FY) 2025-26 ANNUAL BUDGET Q1: Who was the fireworks vendor prior to the current contract? A1: Pyro Spectaculars was the previous vendor, selected through a Request for Proposals (RFP) process conducted in 2018.

Q2: In previous years, what expenses were included under "other related event expenses," and what were their associated costs?
A2: The miscellaneous event expenses included a 90-minute performance by the Swing Cats Big Band, overnight security services to ensure continuous on-site presence after the arrival of pyrotechnic products, rental of traffic control devices from Tops N Barricades for pedestrian safety, food and beverages for staff and volunteers, and reusable water bottles for event staff. The total cost for these expenses was just under $13,400.

Q3: What were the total operating costs for the Portola Community Center last year when it was used as a quiet space during the fireworks event?
A3: There were no operational costs for the Portola Community Center last year, as it was staffed by a City employee and a Citizen on Patrol volunteer.
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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: February 13, 2025
PREPARED BY: Neal Ennis, Project Manager
Jess Culpepper, Director of Capital Projects
SUBJECT: APPROVE CHANGE ORDER NO. 1 TO CONTRACT C47830 WITH GRANITE CONSTRUCTION COMPANY FOR THE PD LINK PHASE 2
PROJECT (PROJECT NO. CST00005)
RECOMMENDATION:

1. Approve Change Order No. 1 to Contract C47830 with Granite Construction Company, of Indio, California, in the amount of $151,757.33 for the PD Link Phase 2 Project (Project No.

CST00005).

2. Appropriate $35,157.33 from unobligated Measure A Fund Balance to Account No. 2134670- 5000202.

BACKGROUND/ANALYSIS:

On August 22, 2024, the City Council awarded a contract to Granite Construction Company in the amount of $1,166,000, with a 10% contingency. The project commenced on September 23, 2024, and is scheduled to be completed by February 21, 2025.

During the project's construction, several issues were identified that required attention. Notably, the construction of a new path along the CVWD right-of-way, connecting Painters Path across the Palm Valley Channel, exceeded the engineer's original estimate. This was due to the need to realign the path to avoid obstacles, such as boulders and earthen berms. Additionally, the quantities for ADA ramps required in the project surpassed initial estimates. These elements led to an increased project cost.

Legal Review:

This report has been reviewed by the City Attorney’s Office.

Project Description:

This project enhances the City's bicycle and pedestrian network by installing Class II bike lanes and ADA improvements on various streets. It establishes key connections between Town Center Way, El Paseo, the Painter’s Path extension to the Bump and Grind Trailhead, and CV Link.

Additionally, it links the El Paseo Business District to the San Pablo Corridor and Civic Center Park, improving accessibility and connectivity for cyclists and pedestrians.

FINANCIAL IMPACT:
883
City of Palm Desert
Approve Change Order No. 1 to Contract C47830 for the PD Link Phase 2 Project

Page 2 of 2 ends

The PD Link Phase 2 Project was approved as part of the Fiscal Year 2024-25 Capital Improvement Project (CIP) List under Measure A Account No. 2134670-5000202. To accommodate the need for additional work, staff is requesting an additional appropriation of $35,157.33 to fund Change Order No. 1. This action will have no impact on the General Fund.

The table below outlines the current project budget and associated costs.

Project - CST00005
PD Link Phase 2 Budget ConstructionCost Variance
Contract Amount $1,166,000
Contingency $116,600
Budget – Construction Allocation
(2134670-5000202) $1,282,600
Total Construction Cost $1,317,757.33
Amount in Excess of Contract
(Change Order Amount) $151,757.33
Amount in Excess of Budget
(Appropriation Amount) $35,157.33
ATTACHMENTS:

1. Change Order No. 1 to Contract C47830

2. Vicinity Map

3. C47830 Granite Construction Co.

4. Staff Report Award Contract C47830
884

CITY OF PALM DESERT

CONTRACT CHANGE ORDER
Justification:

Contract No / P.O. #:

Change Order No.:

Contingency: YES NO
Account No.:

Project No.:

Vendor No.:

Description of Changes Decrease
In Contract Price
Increase
In Contract Price
Totals:

Net Change in Contract Price:

Original Contract Amount: +
Contingency: +
Total Budget Amount:

Less: Expend. / Encumb. To Date: -
Less: This Change Order Amount: -
Remaining for Project:

Contingency: +
Less: Prior Change Order(s): -
Less: This Change Order: -
Remaining of Contingency:
__________________________________________________________ dollars and ___/100 (___________) Revised Contract Total: ___________________________
Contractor shall construct, furnish all supervision, labor, services, equipment, and materials, and perform all work necessary or required to fully complete the changes to the Contract described in this Change Order for the amount agreed upon between the Contractor and the City of Palm Desert (“City”).

Contract Purpose:

Contractor Name:

C47830 24251414 1
✔
2134670-5000202 CST00005 V0001010 Construct bike lane and ADA pedestrian improvements for the PD Link project. Granite Construction Company, Inc. Project Close out change order Additional grading and concrete for extension of bike path Relocation of CVWD gate Additional curb ramps and associated tie-in sidewalk and paving Installation of bollards Furnish and install bike racks $ 151,757.33 $ 0.00 $ 151,757.33 $ 151,757.33 $ 151,757.33 $ 151,757.33 $ 1,166,000.00 $ 116,600.00 $ 1,282,600.00 $ 116,600.00 $ 1,166,000.00 -$ 35,157.33 -$ 35,157.33 The amount of the contract will be increased by the sum of: One hundred fifty-one thousand seven hundred fifty-seven 33 $ 151,757.33 $ 1,317,757.33 885
Continued from Front
Contract No. _________ Contract Change Order No. ___
Contract Time Extension: __________________________
Contractor accepts the terms and conditions stated above as full and final settlement of any and all claims arising out of or related to the subject of this Change Order and acknowledges that the compensation (time and cost) set forth herein comprises the total compensation due for the work or change defined in the Change Order, including all impact on any unchanged work. Execution of this Change Order by the Contractor constitutes a binding accord and satisfaction that fully satisfies, waives, and releases the City from all claims, demands, costs, and liabilities, in contract, law or equity, arising out of or related to the subject of the Change Order, whether known or unknown, including but not limited to direct and indirect costs and/or damages for delay, disruption, acceleration, loss of productivity, and stacking of trades, as well as any and all consequential damages. The adjustments to the Contract Price and Contract Time in this Change Order constitute the entire compensation and/or adjustment thereto due to Contractor, including but not limited to all direct, indirect, consequential, profit, labor, equipment, tools, idle time, incidentals, and overhead (field and home office) costs, due to Contractor arising out of or related to the change in the work covered by this Change Order. The Contractor hereby releases and agrees to waive all rights, without exception or reservation of any kind whatsoever, to file any further claim or request for equitable adjustment of any type, for any reasonably foreseeable cause that shall arise out of, or as a result of, this Change Order and/or its impact on the remainder of the work under the Contract. This Change Order will become a supplement to the Contract and all provisions will apply hereto.

1. REQUESTED BY: ______________________
Department Director 2. ACCEPTED BY: ______________________Contractor

3. CERTIFIED FUNDS

AVAILABLE
______________________
Finance Director 4. APPROVED BY: ______________________City Manager NOTE: No payments will be made prior
to City Manager or Council approval
QC: _____
C47830 1
0 calendar days
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Contract No. C47830

CITY OF PALM DESERT

CONTRACT FOR CONSTRUCTION
This Agreement is made and entered into this 22nd day of August, 2024, 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 73-51 0 Fred Waring Drive, Palm Desert, California 92260- 2578, ("City") and Granite Construction Company, a Corporation, with its principal place of business at 585 West Beach Street, Watsonville, CA 95076 ("Contractor").

WITNESSETH: That the parties hereto have mutually covenanted and agreed, and by these presents do covenant and agree with each other as follows:

ARTICLE 1. SCOPE OF WORK.

The Contractor shall perform all Work within the time stipulated in the Contract, and shall provide all labor, materials, equipment, tools, utility services, and transportation to complete all of the Work required in strict compliance with the Contract Documents as specified in Article 5, below, for the following Project:

PD LINK Phase 2 Project
Project No. CST00005
(hereinafter referred to as "the Project").

Demolition and removal of existing improvements, base, roadway markings needed to perform the work shown on the plans. Preparation of existing subgrade, placement of erosion control measures, construction of new pavement and curbs, application of street striping, markings, crosswalks, and bike paths, installation of traffic signs.

Contractor is an independent contractor and not an agent of the City. The Contractor and its surety shall be liable to the City for any damages arising as a result of the Contractor's failure to comply with this obligation.

ARTICLE 2. TIME FOR COMPLETION.

Time is of the essence in the performance of the Work. The Work shall be commenced on the date stated in the City's Notice to Proceed. The Contractor shall complete all Work required by the Contract Documents within 90 Days from the commencement date stated in the Notice to Proceed. By its signature hereunder, Contractor agrees the time for completion set forth above is adequate and reasonable to complete the Work.

ARTICLE 3. CONTRACT PRICE.

The City shall pay to the Contractor as full compensation for the performance of the Contract, subject to any additions or deductions as provided in the Contract Documents, and including all applicable taxes and costs, the sum of One Million, One Hundred, SixtySix Thousand Dollars ($1, 166,00.00). Payment shall be made as set forth in the General Conditions. The City will pay to Contractor compensation based upon the prices set forth in the PD Link Executive Summary.

ARTICLE 4. LIQUIDATED DAMAGES.

Contractor acknowledges that the City will sustain actual damages for each and every Day completion of the Project is delayed beyond the Contract Time. Because of the nature of the Project, it would be impracticable or extremely difficult to determine the City's Revised 0 1-2024
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actual damages. Accordingly, in accordance with Government Code section 53069.85, it is agreed that the Contractor will pay the City the sum of $1 ,000.00 for each and every Day of delay beyond the time prescribed in the Contract Documents for finishing the Work, as Liquidated Damages and not as a penalty or forfeiture. In the event this is not paid, the Contractor agrees the City may deduct that amount from any money due or that may become due the Contractor under the Contract. This Section does not exclude recovery of other damages specified in the Contract Documents. Liquidated damages may be deducted from progress payments due Contractor, Project retention or may be collected directly from Contractor, or from Contractor's surety. These provisions for liquidated damages shall not prevent the City, in case of Contractor's default, from terminating the Contractor.

ARTICLE 5. COMPONENT PARTS OF THE CONTRACT.

The "Contract Documents" include the following:

Notice Inviting Bids
Instructions to Bidders
Bid Forms
Bid Acknowledgement
Bid Schedule
Bid Guarantee
Designation of Subcontractors
Information Required of Bidders
Non-Collusion Declaration Form
Iran Contracting Act Certification
Public Works Contractor DIR Registration Certification
Performance Bond
Payment (Labor and Materials) Bond
Contract for Construction
General Conditions
Special Conditions
Specifications
Addenda
Construction Plans and Drawings
Standard Specifications for Public Works Construction "Greenbook", latest edition, Except Sections 1-9
Standard Plans of the City of Palm Desert, latest edition Standard Plans for Public Works Construction, latest edition Caltrans Standard Specifications, latest edition, Except Division 1 Caltrans Standard Plans, latest edition
California Manual on Traffic Control Devices for Streets and Highways (CAMUTCD), latest edition
Work Area Traffic Control Handbook, latest edition
Reference Specifications
Approved and fully executed Change Orders
Permits
Any other documents contained in or incorporated into the Contract The Contractor shall complete the Work in strict accordance with all of the Contract Documents. 2 Revised 0 1-2024
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All of the Contract Documents are intended to be complementary. Work required by one of the Contract Documents and not by others shall be done as if required by all. In the event of conflict, the various Contract Documents will be given effect in the order set forth in the General Conditions. This Contract shall supersede any prior agreement of the parties.

ARTICLE 6. PROVISIONS REQUIRED BY LAW AND CONTRACTOR COMPLIANCE.

Each and every provision of law required to be included in these Contract Documents shall be deemed to be included in these Contract Documents. The Contractor shall comply with all requirements of applicable federal , state, and local laws, rules, and regulations, including, but not limited to, the provisions of the California Labor Code and California Public Contract Code which are applicable to this Work.

ARTICLE 7. INDEMNIFICATION AND INSURANCE.

A. Indemnification
Revised o 1-2024

1. To the fullest extent permitted by law, Contractor shall immediately defend (with counsel of the City's choosing), indemnify, and hold harmless the City, its officials, officers, agents, employees, and representatives, and each of them from and against:
(a) Any and all claims, demands, causes of action, costs, expenses, injuries, losses or liabilities, in law or in equity, of every kind or nature whatsoever, but not limited to, injury to or death, including wrongful death, of any person, and damages to or destruction of property of any person, arising out of, related to, or in any manner directly or indirectly connected with the Work or this Contract, including claims made by subcontractors for nonpayment, including without limitation the payment of all consequential damages and attorney's fees and other related costs and expenses, however caused, regardless of whether the allegations are false , fraudulent, or groundless, and regardless of any negligence of the City or its officers, employees, or authorized volunteers (including passive negligence), except the sole negligence or willful misconduct or active negligence of the City or its officials, officers, employees, or authorized volunteers;
(b) Contractor's defense and indemnity obligation herein includes, but is not limited to damages, fines, penalties, attorney's fees and costs arising from claims under the Americans with Disabilities Act (ADA) or other federal or state disability access or discrimination laws arising from Contractor's Work during the course of construction of the improvements or after the Work is complete, as the result of defects or negligence in Contractor's construction of the improvements;
(c) Any and all actions, proceedings, damages, costs, expenses, fines, penalties or liabilities, in law or equity, of every kind or nature whatsoever, arising out of, resulting from , or on account of the violation of any governmental law or regulation, compliance with which is the responsibility of Contractor; (d) Any and all losses, expenses, damages (including damages to the Work itself), attorney's fees, and other costs, including all costs of defense which any of them may incur with respect to the failure, neglect, or refusal of Contractor to 3 BBK 72500.00001\32374943.1
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faithfully perform the Work and all of Contractor's obligations under Contract.

Such costs, expenses, and damages shall include all costs, including attorney's fees, incurred by the indemnified parties in any lawsuit to which they are a party.

2. Contractor shall immediately defend, at Contractor's own cost, expense and risk, with the counsel of the City choosing, any and all such aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against the City, its officials, officers, agents, employees and representatives. Contractor shall pay and satisfy any judgment, award or decree that may be rendered against the City, its officials, officers, employees, agents, employees, and representatives, in any such suit, action or other legal proceeding. Contractor shall reimburse the City, its officials, officers, agents, employees, and representatives for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. The only limitations on this provision shall be those imposed by Civil Code section 2782.

3. The provisions of this Article shall survive the termination of this Contract howsoever caused, and no payment, partial payment, or acceptance of occupancy in whole or part of the Work shall waive or release any of the provisions of this Article.

B. Insurance
Revised o 1-2024

1. Without limiting Contractor's indemnification of City, and prior to commencement of Work, Contractor shall obtain, provide, and maintain at its own expense during the term of this Contract, policies of insurance of the type and amounts described below and in a form that is satisfactory to City.

2. General Liability Insurance. Contractor shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01 , in an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, personal injury, and property damage, and a $4,000,000 completed operations aggregate. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO "insured contract" language will not be accepted.

3. Automobile Liability Insurance. Contractor shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Contractor arising out of or in connection with Work to be performed under this Contract, including coverage for any owned, hired, non-owned or rented vehicles, in an amount not less than $1 ,000,000 combined single limit for each accident.

4. Umbrella or Excess Liability Insurance. Contractor may opt to utilize umbrella or excess liability insurance in meeting insurance requirements. In such circumstances, Contractor may obtain and maintain an umbrella or excess liability insurance policy with limits that will provide bodily injury, personal injury, and property damage liability coverage at least as broad as the primary coverages set forth above, including commercial general liability, automotive liability and employer's liability. Such policy or policies shall include the following terms and conditions:
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A drop-down feature requiring the policy to respond in the event that any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason;
(a) Pay on behalf of wording as opposed to reimbursement; and (b) Concurrency of effective dates with primary policies; and (c) Policies shall "follow form" to the underlying primary policies; and (d) Insureds under primary policies shall also be insureds under the umbrella or excess policies.

5. Workers' Compensation Insurance. Contractor shall maintain Workers' Compensation Insurance (Statutory Limits) and Employer's Liability Insurance (with limits of at least $1 ,000,000) for Contractor's employees in accordance with the laws of the State of California, Section 3700 of the Labor Code. In addition, Contractor shall require each subcontractor to similarly maintain Workers' Compensation Insurance and Employer's Liability Insurance in accordance with the laws of the State of California, Section 3700 for all of the subcontractor's employees. Contractor shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the City, its officers, agents, employees, and volunteers.

6. Pollution Liability Insurance. Environmental Impairment Liability Insurance shall be written on a Contractor's Pollution Liability form or other form acceptable to the City providing coverage for liability arising out of sudden, accidental, and gradual pollution and remediation. The policy limit shall be no less than $1 ,000,000 dollars per claim and in the aggregate. All activities contemplated in this Agreement shall be specifically scheduled on the policy as "covered operations". The policy shall provide coverage for the hauling of waste from the Project site to the final disposal location, including non-owned disposal sites.

C. Other Provisions or Requirements
Revised 01-2024

1. Proof of Insurance. Contractor shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers' compensation. Insurance certificates and endorsements must be approved by City's Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this contract. City reserves the right to require complete, certified copies of all required insurance policies, at any time.

2. Duration of Coverage. Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Work hereunder by Contractor, its agents, representatives, employees, or subcontractors.

Contractor must maintain general liability and umbrella or excess liability insurance for as long as there is a statutory exposure to completed operations claims. The City and its officers, officials, employees, and agents shall continue as additional insureds under such policies.
5 BBK 72500.00001 \32374943.1
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Contract No. C47830

3. Primary/Non-Contributing. Coverage provided by Contractor shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City before the City's own insurance or self-insurance shall be called upon to protect it as a named insured.

4. Products/Completed Operations Coverage. Products/completed operations coverage shall extend a minimum of three (3) years after project completion.

Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using subcontractors, the Policy must include work performed "by or on behalf" of the insured. Policy shall contain no language that would invalidate or remove the insurer's duty to defend or indemnify for claims or suits expressly excluded from coverage. Policy shall specifically provide for a duty to defend on the part of the insurer. The City, its officials, officers, agents, and employees, shall be included as additional insureds under the Products and Completed Operations coverage.

5. City's Rights of Enforcement. In the event any policy of insurance required under this Contract does not comply with these requirements, or is canceled and not replaced, City has the right, but not the duty, to obtain the insurance it deems necessary, and any premium paid by City will be promptly reimbursed by Contractor, or City will withhold amounts sufficient to pay premium from Contractor payments. In the alternative, City may cancel this Contract.

6. Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders' Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide, unless otherwise approved by the City's Risk Manager.

7. Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City, its elected or appointed officers, agents, officials, employees, and volunteers, or shall specifically allow Contractor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against the City, its elected or appointed officers, agents, officials, employees, and volunteers and shall require similar written express waivers and insurance clauses from each of its subcontractors.

8. Enforcement of Contract Provisions (non estoppel). Contractor acknowledges and agrees that any actual or alleged failure on the part of the City to inform Contractor of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder.

9. Requirements Not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any 6 BBK 72500.00001\32374943.1
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Revised 01-2024
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type. If the Contractor maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City. 1 O. Notice of Cancellation. Contractor agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty (30) Day notice of cancellation (except for nonpayment for which a ten (10) Day notice is required) or nonrenewal of coverage for each required coverage.
11 . Additional Insured Status. General liability, automobile liability, and if applicable, pollution liability policies shall provide or be endorsed to provide that the City, Coachella Valley Water District, and thier officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies. Coverage shall be at least as broad as coverage provided by ISO's Owners, Lessees, or Contractors Additional Insured Endorsement for the ongoing (i.e. ISO Form CG 20 10 07 04) and completed operations (i.e. ISO Form CG 20 37 07 04) of Contractor.

12. Prohibition of Undisclosed Coverage Limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing.

13. Separation of Insureds. A severability of interests provision must apply for all additional insureds ensuring that Contractor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer's limits of liability. The policy(ies) shall not contain any cross-liability exclusions.

14. Pass Through Clause. Contractor agrees to ensure that its sub-consultants, subcontractors, and any other party involved with the Project who is brought onto or involved in the project by Contractor, provide the same minimum insurance coverage and endorsements required of Contractor. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Contractor agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the Project will be submitted to City for review.

15. City's Right to Revise Requirements. 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 required by giving the Contractor ninety (90) Days advance written notice of such change. If such change results in substantial additional cost to the Contractor, the City and Contractor may renegotiate Contractor's compensation. If the City reduces the insurance requirements, the change shall go into effect immediately and require no advanced written notice.

16. Self-Insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City.

17. Timely Notice of Claims. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor's performance under this Contract, and that involve or may involve coverage under any of the required liability policies.
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18. Additional Insurance. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work.

19. Safety. Contractor shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Contractor shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, but shall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.

ARTICLE 8. PREVAILING WAGES.

Contractor shall be required to pay the prevailing rate of wages in accordance with the Labor Code which such rates shall be made available at the City's Office or may be obtained online at http://www.dir.ca.gov and which must be posted at the job site.

ARTICLE 9. FALSE CLAIMS.

Contractor acknowledges that if a false claim is submitted to the City, it may be considered fraud and Contractor may be subject to criminal prosecution. Contractor acknowledges that the False Claims Act, California Government Code sections 12650, et seq., provides for civil penalties where a person knowingly submits a false claim to a public entity.

These provisions include within their scope false claims made with deliberate ignorance of the false information or in reckless disregard of the truth or falsity of the information. In the event the City seeks to recover penalties pursuant to the False Claims Act, it is entitled to recover its litigation costs, including attorneys' fees.

Contractor hereby acknowledges that the filing of a false claim may the Contractor to an administrative debarment proceeding wherein Contractor may be prevented from further bidding on public contracts for a period of up to five (5) years. [SIGNATURES ON FOLLOWING PAGE]
8 Revised 0 1-2024
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SIGNATURE PAGE TO LONG FORM CONSTRUCTION AGREEMENT

BY AND BETWEEN THE CITY OF PALM DESERT

AND GRANITE CONSTRUCTION COMPANY
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:

Attest:

By:

Approved as to form:
s~ ~ -~ - k_
Best Best & Krieger LLP
City Attorney
Revised 0 1-2024
BBK 72500.00001\32374943.1
9 GRANITE CONSTRUCTION COMPANY, A

CORPORATION
By:

By:
;L,
Bill Moore
Vice President, Desert Cities Region
Jose(//;. Richardson
Regional Chief Estimator
CSLB #89 Class A - General Engineering
Contractor's License Number and
Classification
DIR #1000000085
DIR Registration Number (if applicable)
QC:MN
Insurance:

Initial Review
Final Approval
Bonds
897

ACKNOWLEDGMENT
A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.

State of California
County of Riverside
on August 26, 2024 before me, Kelli Osborn, Notary Public (insert name and title of the officer)
personally appeared William Patrick Moore and Joseph Pasquale Richardson who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENAL TY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature __ \i8 __ ~--~------- (Seal)
898

GRANITE CONSTRUCTION COMP ANY

CERTIFICATE OF SECRET ARY
RESOLVED, that, effective April 9, 2024 through December 31, 2024, the individuals named on the attached Exhibit 1 are authorized to negotiate, execute and/or attest electronic and paper documents necessary for the conduct of the Company's affairs with respect to the submission and execution of construction project bids, bid proposals, bid addenda and all other bid-related documents prepared and submitted on behalf of the Company not to exceed $75 million, relating to any and all domestic construction projects arising out of the Company's operations.

RESOLVED FURTHER, that, effective April 9, 2024 through December 31 , 2024, the individuals named on the attached Exhibit 2 are authorized to negotiate, execute and/or attest electronic and paper documents necessary for the conduct of the Company's affairs with respect to the submission and execution of construction project bids, bid proposals, bid addenda and all other bid-related documents prepared and submitted on behalf of the Company in excess of $75 million, relating to any and all domestic construction projects arising out of the Company's operations.

RESOLVED FURTHER, that, effective April 9, 2024 through December 31 , 2024, the individuals named on the attached Exhibit 1 and Exhibit 2 are authorized to negotiate, execute and/or attest electronic and paper construction contract documents prepared.and submitted on behalf of the Company relating to domestic construction projects arising out of the Company's operations.

RESOLVED FURTHER, that the authority provided for herein shall be in accordance with applicable policies, procedures, and limits of authority previously approved and the Granite Construction Incorporated Delegation of Authority and Policy then in effect.

I, M. Craig Hall, Secretary of GRANITE CONSTRUCTION COMPANY, a California corporation (the "Company"), do hereby certify that the following is a true and correct copy of resolutions duly adopted effective April 22, 2024 by a Unanimous Written Consent of the Board of Directors in accordance with the provisions of Article III, Section 9 of the Bylaws of the Company; that the Directors acting were duly and regularly elected; and that the resolutions adopted have not been repealed and are still in full force and effect:

Dated: April 22, 2024
899
EXHIBIT 1

AUTHORIZED SIGNERS
Granite Construction Company
Desert Cities Region

AUTHORIZED SIGNERS
Bill Moore, VP Desert Cities Region
Ian Firth, District VP
Joseph P. Richardson, Regional Chief Estimator
Rudy Barela, Sr. Operations Finance Manager
Muin Mustafa, Project Executive
Todd Besant, Project Executive

ATTESTORS
Bill Moore, VP Desert Cities Region
Ian Firth, District VP
Joseph P. Richardson, Regional Chief Estimator
Rudy Barela, Sr. Operations Finance Manager
Muin Mustafa, Project Executive
Todd Besant, Project Executive
Kelli Osborn, Estimating Assistant
900
EXHIBIT 2

AUTHORIZED SIGNERS
Granite Construction Company

AUTHORIZED SIGNERS
Kyle T. Larkin, President & CEO
Elizabeth L. Curtis, Executive Vice President
James A. Radich, Executive Vice President & Chief Operating Officer Brian R. Dowd, Senior Vice President
Michael G. Tatusko, Senior Vice President
Bradley J. Williams, Senior Vice President
Bradley J. Estes, Senior Vice President
901
902

Page 1 of 2 ends

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: August 22, 2024
PREPARED BY: Neal Ennis, Project Manager
REQUEST: AWARD CONTRACT C47830 TO GRANITE CONSTRUCTION COMPANY FOR THE PD LINK PHASE 2 PROJECT, PROJECT NO. CST00005
RECOMMENDATION:

1. Award Contract C47830 with Granite Construction Company of Indio, CA, in the amount of $1,166,000, plus a 10% contingency, for the PD Link Phase 2 Project, Project No. CST00005.

2. Authorize the City Attorney to make any necessary nonmonetary changes to the agreement.

3. Authorize the City Manager to execute the agreement and any written requests for change orders up to the contingency amount, amendments, and any other documents necessary to effectuate this action, in accordance with Section 3.30.170 of the Palm Desert Municipal Code.

4. Authorize the City Manager to execute the Notice of Completion (NOC) and the City Clerk to file the NOC upon satisfactory project completion.

BACKGROUND/ANALYSIS:
• In May 2020, the City Council awarded Contract C37870A to KOA Corporation for professional engineering services associated with PD Link Phase 2 Project. • Community engagement meetings were held with residents and cyclists to provide preferences and guidance related to the project.
o Community engagement meeting #1 – October 2020
o Community engagement meeting #2 – October 2020
o Community engagement meeting #3 – March 2021
o Study Session – December 2023
• The consistent feedback regarding cyclist safety prompted a redesign to better serve the community and increase anticipated safety and use.
• The project was scaled back from Class IV bike lane design, which included dedicated separated bike lanes, to an improved Class II painted buffered bike lane design.

Request for Bids
The project was advertised for proposals through the City’s bid management portal, OpenGov, and on July 19, 2024, one proposal was received electronically.

Contractor Location Bid Amount
Granite Construction Company Indio, CA $1,166,000
Granite Construction Company was the sole vendor to submit a responsive bid. Staff reviewed the documents submitted and confirmed that the bid was satisfactory and responsive. Granite 903
City of Palm Desert
Award Contract C47830 with Granite Construction Company for Project No. CST00005

Page 2 of 2 ends

Construction Company is a preferred vendor for the City and has performed satisfactorily on previous City projects. Granite Construction Company’s pricing was within the engineers estimate. Additionally, the reduced design efforts of the project have reduced planned costs of implementation by $1,377,000. Staff recommends awarding the contract to Granite Construction Company in an amount not to exceed of $1,166,000.

Legal Review:

This report has been reviewed by the City Attorney’s office.

FINANCIAL IMPACT:

Funds for this project were included in the approved Capital Improvement Project (CIP) list for Fiscal Year 2024-25 under the Measure A Fund Account No. 2134670-5000202. There is no financial impact to the General Fund from this action.

Project - CST00005
PD Link Phase 2
Measure A Approved
Budget
Project
Expenditures
Funding Source 2134670-5000202 $3,605,000
Engineering/Design $140,640
Construction $1,166,000
Construction Management $200,000
Contingency $116,600
Remaining Project Budget $1,981,760
ATTACHMENTS:

1. Granite Construction Company Proposal

2. Construction Contract C47830

3. Payment and Performance Bonds
904

Page 1 of 9 ends

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: February 13, 2025
PREPARED BY: Veronica Chavez, Director of Finance
SUBJECT: ADOPT RESOLUTIONS APPROVING THE FISCAL YEAR 2024-25 MIDYEAR BUDGET ADJUSTMENTS AND REVISED STAFF ALLOCATION

SCHEDULE
RECOMMENDATION:

1. Adopt a Resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, AMENDING THE FISCAL YEAR 2024-25 BUDGET AS A RESULT OF MID-YEAR ADJUSTMENTS.”

2. Authorize the Director of Finance to appropriate and transfer unobligated funds from Capital Projects Account No. 4004199-4501000 to General Fund Account No. 1100000-3910000 to cover mid-year requests in the total amount of $1,326,110.

3. Adopt a Resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PALM DESERT, CALIFORNIA, ADOPTING AUTHORIZED CLASSIFICATIONS AND ALLOCATED POSITIONS INCLUDED HEREIN ATTACHED AS EXHIBIT “A” AND RESCINDING RESOLUTION NO. 2024-047.”
BACKGROUND/ANALYSIS:

Throughout the budget cycle, staff actively monitors actual revenues and expenditures and prepares a mid-year report for the City Council. The update allows staff to advise the City Council on major budget trends (revenue and expenditure) and propose changes where necessary to meet ongoing service demands or modifications related to economics or other factors. This report provides an update for the General Fund Operating Budget and Other Funds for Fiscal Year (FY) 2024-25 and outlines proposed budget adjustments for both general and other funds.

Based on staff’s analysis, budget revisions are recommended to 1) implement required technical/rebalancing actions to align existing revenue estimates and expenditure budgets with the most current tracking information, 2) reallocate funding among appropriations based on updated needs, 3) implement technical and net-zero adjustments between revenue categories and expenditure appropriations; and 4) account for new or adjusted grants, reimbursements, or fees.

DISCUSSION:

On June 26, 2024, the City Council approved the City’s FY 2024-25 budget with an estimated revenue surplus of $159,865 in the City’s General Fund.

In addition to the approval of the operating budget, the FY 2024-25 Annual Budget authorized appropriations from the General Fund Reserve balance in the amount of $16,824,960, most of which were contingent upon the success of the November 5th election approving Measure G, a one-cent sales and use tax increase. Table A below reflects the intended use of those reserve funds:
905
City of Palm Desert
(FY 2024-25 Midyear Budget Adjustments and Staff Allocation Update)

Page 2 of 9 ends

Table A
2024-25 Request to Draw from Reserved General Fund Balance

1. Capital Transfer to Fund 400 (CIP) 12,300,000

2. PW Facility and Street Maint Costs 110 1,589,600

3. ERP System Implementation (Finance System) 110 1,594,580

4. Additional Public Safety Officers (3)* 110 650,000

5. Additional Public Works Crew for NPD Growth (3)* 110 180,000

6. Dev Svc -Planning Docs on 6/27 Agenda** 110 510,780
TOTAL REQUEST 16,824,960
Additional appropriations have been approved from the reserve throughout the fiscal year and are included in the summary of appropriations on page 4 of this report.

General Fund Revenues
The original estimate for FY 2024-25 General Fund revenues was $83,222,877, representing an increase of approximately $7.66 million (10%) over the FY 2023-24 budget. This estimate was based on recovery indicators and anticipated development activity within the City. What was not known at that time was the impact of the current economic factors as they relate to shoppers and visitors or if Measure G would, in fact, be approved in November.

Staff has continued to evaluate the actual year-to-date revenues and determined that the original estimates need to be increased in the amount of $4.46 million (5.3%) over the originally projected revenues. Although an increase in revenue is necessary, it should be noted that $4 million of that is directly related to Measure G sales tax revenues, so compared to the vast growth the City realized post-pandemic, revenue has begun to normalize.  Sales Tax has begun to show some settling as anticipated, and it is estimated to show an overall decline of approximately 7.5% by June 30th.
 One-Time payment (increase) of Timeshare Mitigation Fees.  Although Transient Occupancy Tax remains on track with prior year receipts, history has shown it trends with Sales Tax revenue.
 Permits and fees have seen moderate decreases related to current development activity in the City.
 Interest earnings indicate a slight increase this year as it continues to trend with prior year end actuals.
 An updated estimate was provided by the County Auditor-Controller, relative to Library related property tax revenue, showing a decrease to the original estimate.  Measure G Sales Tax Revenue will be implemented on April 1, 2025, and is anticipated to generate about $4M in the 2nd Quarter of 2025.

Table B summarizes the net increase of $4.46M to General Fund Revenues:
906
City of Palm Desert
(FY 2024-25 Midyear Budget Adjustments and Staff Allocation Update)

Page 3 of 9 ends

Table B
The General Fund account breakdown of revenue estimates is detailed below:

Table C
GENERAL FUND Revenues Expenditures
Surplus/
(Deficit)
Orginal Budget 83,222,879 83,063,012 159,867
Carryovers and Approp from Reserve* 24,635,376
Midyear Adjustment** 4,458,904 1,326,110 4,618,771
Change to General Fund* 87,681,783 109,024,498
*Appropriations approved from General Fund Reserve
**Midyear Adjustments may be covered by transfer in from Capital Fund (no additional impact to GF)

GENERAL FUND CATEGORY

ORIGINAL
BUDGET

PROPOSED

ADJUSTMENT

REQUEST

REVISED
BUDGET

REQUEST
Revenue Property Tax Increment 1,727,758 200,000 1,927,758 Unsecured Taxes 141,612 10,000 151,612
Unsecured Taxes - No-Low 142,211 10,000 152,211
Timeshare Mitigation Fee 1,754,107 1,711,595 3,465,702
Library Tax - Prop Tax 2,400,000 (221,000) 2,179,000
Sales Tax/Meas A Sales Tx 25,000,000 (2,000,000) 23,000,000 Sales Tax - 1% District Tax - 4,000,000 4,000,000
State Ada License Fee $1 - 350 350
Job Valuation Insp Fee 106,500 (50,000) 56,500
TOT - Collected Fm Audit 5,000 3,500 8,500
Short Term Rentals 2,900,000 (150,000) 2,750,000
Business Lic Delinq Fee 43,000 20,000 63,000
Transient Occ Tax Delinq 11,000 29,000 40,000
Building Permits 1,428,300 (328,000) 1,100,300
Grading Permits 11,000 25,000 36,000
ROW Encroachment Permits 85,500 45,000 130,500
Miscellaneous Permits 800 650 1,450
State Grants - 151,000 151,000
Administration Fees 30,000 100,000 130,000
Zoning Fees 68,000 (7,000) 61,000
Sale Of Map/Plan/Public 3,500 500 4,000
Miscellaneous Fees 15,000 10,000 25,000
Special Events 3,000 (1,500) 1,500
Haul Route Fee 6,000 12,000 18,000
Code Compl Serv Insp Fee 50,000 (25,000) 25,000
Nuisance Abatement Tax 5,600 (1,600) 4,000
Abandoned Veh Abatement 24,999 20,000 44,999
Rebates - 1,000 1,000
Reimb Fr Non-Gov'T Party - 173,909 173,909
Reimb Fr Other Government 200,000 200,000 400,000
Traffic Light - 1,500 1,500
Municipal Court Fines 3,000 8,000 11,000
Vicr Fees - Police Dept 67,000 10,000 77,000
Interest Income 4,500,000 500,000 5,000,000
4,458,904
907
City of Palm Desert
(FY 2024-25 Midyear Budget Adjustments and Staff Allocation Update)

Page 4 of 9 ends

General Fund Expenditures
The original estimate for FY 2023-24 General Fund appropriations was $83,063,012, representing an approximate increase of $7.71 million (10%) compared to FY 2023-24. The original projections included increases in professional services costs, personnel services and benefits related to the MOU negotiations, the cost of contracts due to anticipated labor increases, supply chain issues, and the addition of the new Library Department.

Post FY 2024-25 Annual Budget Approval
The Annual Budget includes the five-year Capital Improvement Plan (CIP). In the CIP Plan, staff includes any balance from the prior year that needs to be carried over into the subsequent year to complete tasks. Staff also identified projects in the General Fund that were transferred to the Capital Projects Fund as they misstated operating costs. Finally, additional appropriations have been approved by the City Council since the FY 2024-25 Annual Budget request due to unforeseen circumstances/costs. Below is a summary of each of those changes:

Table D
As noted in Table D above, a net zero increase to appropriations is being requested for the General Fund. Staff actively reallocates funds whenever possible to absorb increased costs and maximize use of funds currently allocated. Funds are available in the Capital Projects Fund and may be reallocated. Tables E and F show midyear requests by category and department:

Table E
908
City of Palm Desert
(FY 2024-25 Midyear Budget Adjustments and Staff Allocation Update)

Page 5 of 9 ends

Table F
Department
Original
Budget
Midyear
Adjustment
Revised
Budget
4110 City Council 110 350,401 69,843 420,244
4111 City Clerk 1,192,865 144,754 1,337,619
4112 Legislative Advocacy 40,845 - 40,845
4114 Elections 165,000 165,000
4120-21 Legal 776,110 383,396 1,159,506
4130 City Manager 2,327,045 (46,639) 2,280,406
4132 Special Programs - -
4134 Capital Projects 1,708,874 (134,930) 1,573,944
4150-51 Finance and Audit 2,543,819 297,368 2,841,187
4154 Human Resources 1,117,478 4,359 1,121,837
4159 General Services 6,499,484 75,000 6,574,484
4190 Information Technology 6,633,312 155,499 6,788,811 4191 Unemployment Insurance 10,000 10,000
4192 Insurance 1,180,423 1,180,423
4199 Interfund Transfers 27,905,308 (183,500) 27,721,808 4210 Police Services 23,346,461 23,346,461
4211 Community Safety 131,100 86,000 217,100
4212 Homelessness Service 103,000 103,000
4230 Animal Regulation 592,000 592,000
4250 Traffic 1,694,949 76,809 1,771,758
4300 Public Works 1,862,840 123,965 1,986,805
4310 Streets 3,004,144 (60,542) 2,943,602
4311 Street Resurfacing - -
4312 ADA Improvements 50,000 50,000
4313 Parking Lot Improvements 688,380 688,380
4314 Street Resurfacing - -
4315 Street Resurfacing - -
4330 Corp Yard 256,200 256,200
4331 Fleet 433,615 433,615
4340 Building Maint 1,302,958 (47,728) 1,255,230
4344 Portola Community Ctr 219,750 219,750
4396 NPDES 350,000 350,000
4416 Community Promotions 557,720 557,720
4417 Marketing 2,206,326 79,685 2,286,011
4419 Visitor Services 12,930 12,930
4420 Building and Safety 1,358,441 144,117 1,502,558
4421 Permit Center 1,006,870 173,872 1,180,742
4422 Code Enforcement 950,985 7,677 958,662
4423 Engineering & Land Develop. 296,133 47,455 343,588 4430 Economic Development 1,846,166 (35,186) 1,810,980
4470 Community Development 3,127,325 27,656 3,154,981
4610 Parks and Recreation 2,189,961 2,189,961
4611 Park Maintenance 1,518,375 1,518,375
4614 Landscape Services 4,086,594 (63,085) 4,023,509
4618 Citywide Park Imps 75,177 75,177
4674 Civic Center Park Imps - -
4800 Contributions 1,979,025 265 1,979,290
107,698,388 1,326,110 109,024,498
909
City of Palm Desert
(FY 2024-25 Midyear Budget Adjustments and Staff Allocation Update)

Page 6 of 9 ends

Other Governmental Funds
Other Governmental Funds typically consist of several other types of restrictive purpose funds:

Special Revenue Funds, Debt Service Funds, Capital Improvement Funds, Internal Service Funds, Enterprise Funds, and Fiduciary Funds. Like the General Fund, the Other Funds require adjustments to 1) implement required technical/rebalancing actions to align existing revenue estimates and expenditure budgets with the most current tracking information, 2) reallocate funding among appropriations based on updated needs; and 3) implement a number of technical and net-zero adjustments between revenue categories and expenditure appropriations.

Other funds include transportation, signalization, parks, drainage, fire facility fees, housing mitigation, art in public places, childcare facilities, grant funds, recycling, aquatic center, enterprise funds (including Desert Willow and Parkview Office Complex), capital improvement funds, internal service funds, debt service, assessment districts, landscape and lighting districts and housing authority funds. Estimated revenues for FY 2024-25 for Other Funds were approved at $90,573,174 with an appropriation of $141,834,225. The variance of $51,261,051 was to be 910
City of Palm Desert
(FY 2024-25 Midyear Budget Adjustments and Staff Allocation Update)

Page 7 of 9 ends

absorbed by Fund Balance and transfers from the General Fund, if necessary. Following staff’s analysis, we anticipate a net decrease to appropriations in Other Funds. Most of the decrease is related to the timing of the Fire Station Renovation/Rehab at Stations 33 and 71. Revenue increases are primarily related to grant funding allocations, aquatic facility fee increases, and interest earnings. Table G provides the breakdown of the net decrease to Other Funds:

Table G
All FY 2024-25 budget changes, including this midyear request, are summarized in Table H below.

Other Fund
Revenue
Adjustment
Expenditure
Adjustment
Net
Request
Measure A - (123,922) (123,922)
Housing Mitigation Fee (100,000) (100,000)
Permanent local Housing Allocaiton Grant(PLHA) (150,000) (150,000) Opioid Settlement Funds 352,728 150,000 502,728
Child Care Program (100,000) (100,000)
New Conctruction Tax (500,000) (500,000)
Drainage Facility 150,000 (16,983) 133,017
Park and Recreation 75,108 75,108
Aquatic Facility 266,367 (305,258) (38,891)
Cannabis Tax (65,452) (65,452)
Library Services (170,312) 51,362 (118,950)
El Paseo BID 50,000 50,000 100,000
Landscape & Lighting Zones 37,500 61,003 98,503
Section 29 - BAD (70,000) (70,000)
Assessment Dist Section 29 1,328,700 1,328,700
Economic Development 133,488 133,488
Desert Willow (75,952) (75,952)
SARDA CIP & Properties (12,026,696) (12,026,696)
Library CIP 180,000 180,000
Housing Set Aside Fund (105,109) (105,109)
Housing Asset Fund 1,706,728 1,706,728
1,946,155 (11,162,854) (9,216,699)
911
City of Palm Desert
(FY 2024-25 Midyear Budget Adjustments and Staff Allocation Update)

Page 8 of 9 ends

Table H
Staff Allocation
Finally, an updated staff allocation resolution is included to reflect changes made by the City Manager throughout the current fiscal year to meet City Council goals.

Legal Review:

This report has been reviewed by the City Attorney’s Office.

FINANCIAL IMPACT:

Staff requests a transfer from available Capital Project Funds to cover the total midyear adjustment request of $1,326,110 to the General Fund. Although the City Manager is authorized to make intra- and inter-departmental adjustments as well as intra- and inter-fund adjustments to meet City needs and/or adjust staffing, this request is being brought to the Council to maintain transparency and update budgets to accommodate actual needs.

REVENUE FY 2024-25
Original Budget
Carryovers and
Appropriations Midyear Request
FY 2024-25
Amended Budget
Special Revenue Funds 55,274,298 (508,035) 1,632,667 56,398,930 Capital Project Funds 11,809,555 8,285,882 313,488 20,408,925 Debt Service Funds 122,991 - - 122,991
Internal Service Funds 855,300 1,073,324 - 1,928,624
Enterprise Funds 18,673,509 - - 18,673,509
Fiduciary Funds 3,837,521 622,991 - 4,460,512
Total Other Funds 90,573,174 9,474,162 1,946,155 101,993,491 General Fund 83,222,879 - 4,458,904 87,681,783
Total All Funds 173,796,053 9,474,162 6,405,059 189,675,274 EXPENDITURES FY 2024-25
Original Budget
Carryovers and
Appropriations Midyear Request
FY 2024-25
Amended Budget
Special Revenue Funds 72,029,008 27,247,477 (388,906) 98,887,579 Capital Project Funds 32,709,324 25,296,225 (12,102,648) 45,902,901 Debt Service Funds 120,665 - 1,328,700 1,449,365
Internal Service Funds 3,906,783 1,411,396 5,318,179
Enterprise Funds 25,488,527 2,868,027 28,356,554
Fiduciary Funds 7,579,918 120,665 7,700,583
Total Other Funds 141,834,225 56,943,790 (11,162,854) 187,615,161 General Fund 83,063,012 24,635,376 1,326,110 109,024,498 Total All Funds 224,897,237 81,579,166 (9,836,744) 296,639,659 Other Funds Other Funds
912
City of Palm Desert
(FY 2024-25 Midyear Budget Adjustments and Staff Allocation Update)

Page 9 of 9 ends

The mid-year adjustments have taken into consideration the City Manager’s authorization to adjust staff. An updated Staff Allocation Resolution is included in the packet to support any changes made since the approval of the FY 2024-25 Annual Budget.

ATTACHMENTS:

1. Resolution Adopting Midyear Budget

2. Resolution Adopting Staff Allocation Update

3. Exhibit A- Position Allocation

4. FY 2024-25 Annual Budget Staff Report Approved June 27, 2024 913
914
RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, AMENDING THE FISCAL YEAR 2024-25 BUDGET AS A RESULT OF

MID-YEAR ADJUSTMENTS
WHEREAS, as a result of a mid-year review, it is desirable to revise the FY 2024- 25 Budget;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm Desert, California, that the FY 2024-25 Budget is hereby revised as follows:

1. Each of the amounts shown in Exhibit A, attached hereto, in the General and Other Funds Revenue column entitled “Revised Budget Request”, are hereby accepted as the revised Estimated Revenues for the identified revenue categories.

2. Each of the amounts shown in Exhibit A, attached hereto, in the General and Other Funds Expenditure column entitled "Revised Budget Request", are hereby adjusted and appropriated to the departments, activities and projects identified therein as the revised budgets.

ADOPTED ON February 13, 2025.
________

JAN HARNIK, MAYOR
ATTEST:
_____________

ANTHONY MEJIA, CITY CLERK

CITY OF PALM DESERT, CALIFORNIA
915
Resolution No. _____ Page 2
I, Anthony J. Mejia, City Clerk of the City of Palm Desert, hereby certify that Resolution No. 2025-__ is a full, true, and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Desert on _______________________, 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 ______________, 20__.

ANTHONY J. MEJIA

CITY CLERK
916
Resolution No. _____ Page 3

EXHIBIT A
GENERAL FUND REVENUE REQUEST:

General Fund Original
Budget
Mid-Year
Request
Revised
Budget
3111030 - Property Tax Increment 1,727,758 200,000 1,927,758 3111100 - Unsecured Taxes 141,612 10,000 151,612
3111110 - Unsecured Taxes - No-Low 142,211 10,000 152,211 3122900 - Timeshare Mitigation Fee 1,754,107 1,711,595 3,465,702 3122903 - Library Tax - Prop Tax 2,400,000 (221,000) 2,179,000 3133000 - Sales Tax/Meas A Sales Tx 25,000,000 (2,000,000) 23,000,000 3133100 - Sales Tax - 1% District Tax - 4,000,000 4,000,000 3166010 - State Ada License Fee $1 - 350 350
3166500 - Job Valuation Insp Fee 106,500 (50,000) 56,500 3188311 - TOT - Collected Fm Audit 5,000 3,500 8,500
3188330 - Short Term Rentals 2,900,000 (150,000) 2,750,000 3199600 - Business Lic Delinq Fee 43,000 20,000 63,000
3199800 - Transient Occ Tax Delinq 11,000 29,000 40,000 3221100 - Building Permits 1,428,300 (328,000) 1,100,300 3221200 - Grading Permits 11,000 25,000 36,000
3221500 - ROW Encroachment Permits 85,500 45,000 130,500 3221700 - Miscellaneous Permits 800 650 1,450
3340000 - State Grants - 151,000 151,000
3411100 - Administration Fees 30,000 100,000 130,000
3411300 - Zoning Fees 68,000 (7,000) 61,000
3411500 - Sale Of Map/Plan/Public 3,500 500 4,000
3411700 - Miscellaneous Fees 15,000 10,000 25,000
3411800 - Special Events 3,000 (1,500) 1,500
3412200 - Haul Route Fee 6,000 12,000 18,000
3422400 - Code Compl Serv Insp Fee 50,000 (25,000) 25,000 3424500 - Nuisance Abatement Tax 5,600 (1,600) 4,000
3424600 - Abandoned Veh Abatement 24,999 20,000 44,999
3496000 - Rebates - 1,000 1,000
3499400 - Reimb Fr Non-Gov'T Party - 173,909 173,909
3499500 - Reimb Fr Other Government 200,000 200,000 400,000 3499526 - Traffic Light - 1,500 1,500
3511300 - Municipal Court Fines 3,000 8,000 11,000
3511400 - Vicr Fees - Police Dept 67,000 10,000 77,000
3611000 - Interest Income 4,500,000 500,000 5,000,000
4,458,904
917
Resolution No. _____ Page 4
GENERAL FUND EXPENDITURES REQUEST:

Department
FY 2024-25
Current Budget
Midyear
Request
FY 2024-25
Revised Budget
4110 City Council 110 350,401 69,843 420,244
4111 City Clerk 1,192,865 144,754 1,337,619
4112 Legislative Advocacy 40,845 - 40,845
4114 Elections 165,000 165,000
4120-21 Legal 776,110 383,396 1,159,506
4130 City Manager 2,327,045 (46,639) 2,280,406
4132 Special Programs - -
4134 Capital Projects 1,708,874 (134,930) 1,573,944
4150-51 Finance and Audit 2,543,819 297,368 2,841,187
4154 Human Resources 1,117,478 4,359 1,121,837
4159 General Services 6,499,484 75,000 6,574,484
4190 Information Technology 6,633,312 155,499 6,788,811 4191 Unemployment Insurance 10,000 10,000
4192 Insurance 1,180,423 1,180,423
4199 Interfund Transfers 27,905,308 (183,500) 27,721,808 4210 Police Services 23,346,461 23,346,461
4211 Community Safety 131,100 86,000 217,100
4212 Homelessness Service 103,000 103,000
4230 Animal Regulation 592,000 592,000
4250 Traffic 1,694,949 76,809 1,771,758
4300 Public Works 1,862,840 123,965 1,986,805
4310 Streets 3,004,144 (60,542) 2,943,602
4311 Street Resurfacing - -
4312 ADA Improvements 50,000 50,000
4313 Parking Lot Improvements 688,380 688,380
4314 Street Resurfacing - -
4315 Street Resurfacing - -
4330 Corp Yard 256,200 256,200
4331 Fleet 433,615 433,615
4340 Building Maint 1,302,958 (47,728) 1,255,230
4344 Portola Community Ctr 219,750 219,750
4396 NPDES 350,000 350,000
4416 Community Promotions 557,720 557,720
4417 Marketing 2,206,326 79,685 2,286,011
4419 Visitor Services 12,930 12,930
4420 Building and Safety 1,358,441 144,117 1,502,558
4421 Permit Center 1,006,870 173,872 1,180,742
4422 Code Enforcement 950,985 7,677 958,662
4423 Engineering & Land Develop. 296,133 47,455 343,588 4430 Economic Development 1,846,166 (35,186) 1,810,980
4470 Community Development 3,127,325 27,656 3,154,981
4610 Parks and Recreation 2,189,961 2,189,961
4611 Park Maintenance 1,518,375 1,518,375
4614 Landscape Services 4,086,594 (63,085) 4,023,509
4618 Citywide Park Imps 75,177 75,177
4674 Civic Center Park Imps - -
4800 Contributions 1,979,025 265 1,979,290
TOTAL 107,698,388 1,326,110 109,024,498
918
Resolution No. _____ Page 5
GENERAL FUND SUMMARY:

OTHER FUND REVENUE REQUEST:

GENERAL FUND Revenues Expenditures
Surplus/
(Deficit)
Orginal Budget 83,222,879 83,063,012 159,867
Carryovers and Approp from Reserve* 24,635,376 24,635,376 Midyear Adjustment** 4,458,904 1,326,110 4,618,771
Change to General Fund* 112,317,159 109,024,498
*Appropriations approved from General Fund Reserve
**Midyear Adjustments may be covered by transfer in from Capital Fund (no additional impact to GF) FY 2024-25
Current Budget
Mid Year
Request
FY 2024-25
Revised Budget
2140000 3182900 - Housing Mitigation Fee 149,118 (100,000) 49,118 2260000 3799000 - Restitution Damages/Litig 51,098 352,728 403,826 2280000 3182000 - Child Care Program Fee 207,779 (100,000) 107,779 2310000 3122200 - New Construction Tx C3 16 650,302 (500,000) 150,302 2320000 3122300 - Local Drainage Facilities 70,000 150,000 220,000 2330000 3122400 - Park Development Fees 175,000 75,108 250,108 2420000 3411800 - Special Events - 4,393 4,393
2420000 3632500 - Rental - Others - 74,080 74,080
2420000 3700100 - Aquatic Center Fees 359,000 92,256 451,256 2420000 3700200 - Aquatic Center Programs 190,000 65,258 255,258 2420000 3700300 - Aquatic Food & Retail 99,000 30,380 129,380 2430000 3184200 - Cannabis Tax Sales 912,597 (23,597) 889,000 2430000 3184201 - Cannabis Tax Manufacturing 25,000 (25,000) - 2430000 3184202 - Cannabis Tax Cultivation 20,256 (20,256) - 2430000 3199900 - Cannabis Tax Delinq - 3,401 3,401
2520000 3411700 - Miscellaneous Fees - 688 688
2520000 3777000 - Contributions - 50,000 50,000
2520000 3910000 - Interfund Op Tr In 2,400,000 (221,000) 2,179,000 2710000 3553000 - Special Assessment Levied 250,000 50,000 300,000 2760000 3910000 - Interfund Op Tr In 136,307 37,500 173,807 2890000 3611000 - Interest Income 125,500 (70,000) 55,500 4250000 3111030 - Property Tax Increment - 132,738 132,738 4250000 3790000 - Miscellaneous Revenue - 750 750
4250000 3799700 - Reimbursements 15,000 - 15,000
4520000 36111000-Interest Income - 180,000 180,000
8730000 3611400 - Int-On Inv Trustee Sp/Esc 128,600 1,671,400 1,800,000 8730000 3799200 - Misc Reimbursements - 35,328 35,328
TOTAL 5,964,557 1,946,155 7,910,712
Account
Number
919
Resolution No. _____ Page 6
OTHER FUND EXPENDITURES REQUEST:
920
Resolution No. _____ Page 7
FY 2024-25
Current Budget
Mid Year
Request
FY 2024-25
Revised Budget
2134250 5000904 - TS-Haystack & Hwy 74 397,167 (23,922) 373,245 2134370 4400100 - Capital Project 3,360,000 - 3,360,000 2134565 5000903 - Traffic Calming Program 237,880 (100,000) 137,880 2254212 4309000 - Prof - Other 195,000 (150,000) 45,000 2264212 4309000 - Prof - Other 101,000 150,000 251,000
2324370 5000455 - Sec 29 & Gerald Ford Detention 303,701 (16,983) 286,718 2424549 4211100 - Supplies-Pool Chemicals 195,000 (75,752) 119,248 2424549 4219000 - Supplies-Other 32,500 (2,468) 30,032
2424549 4309000 - Prof - Other 246,500 (26,606) 219,894 2424549 4331100 - Replacement Expenditures 30,000 (10,000) 20,000 2424549 4331101 - Contracted Pool Maintenance 375,000 (100,000) 275,000 2424549 4351000 - Utilities-Water 30,000 (21,016) 8,984 2424549 4351200 - Utilities-Gas 65,000 (51,234) 13,766
2424549 4351400 - Utilities-Electric 180,000 (32,132) 147,868 2424549 4801100 - COGS - Food & Merchandise 62,500 9,666 72,166 2424549 4802101 - Aquatic Contracted Labor 1,819,558 4,284 1,823,842 2524662 4100100 - Salaries-Full Time 1,056,097 (74,405) 981,692 2524662 4100300 - Salaries-Part Time 287,466 (4,529) 282,937 2524662 4111500 - Retirement Contribution 155,202 (10,077) 145,125 2524662 4111600 - Medicare Contrb-Employer 19,482 (1,145) 18,337 2524662 4111700 - Retiree Health 24,975 585 25,560
2524662 4111800 - Employer 457 Contribution 6,000 3,600 9,600 2524662 4112000 - Ins Prem - Long Term Disab. 5,221 (377) 4,844 2524662 4112100 - Ins Prem - Health 158,303 12,358 170,661 2524662 4112400 - Ins Prem - Life 1,781 (128) 1,653
2524662 4211200 - Supplies-Books & Materials 181,942 50,000 231,942 2524662 4309000 - Prof - Other 68,200 50,000 118,200
2524662 4362001 - Software License Fee 156,955 25,000 181,955 2524662 4365000 - Telephones 37,580 480 38,060
2714491 4321500 - Other Advertising 273,500 50,000 323,500 2754685 4332100 - Repair Maintenance 800 4,000 4,800
2764374 4332100 - Repair Maintenance 25,000 7,500 32,500 2764374 4351000 - Utilities-Water 50,000 10,000 60,000
2824373 4332000 - Repair & Maintenance Streets 7,661 35,503 43,164 2824373 4351000 - Utilities-Water 3,405 2,000 5,405
2824373 4351400 - Utilities-Electric 8,852 2,000 10,852 3154350 4364400 - Called Premium Expense - 38,700 38,700 3154350 4364600 - Called Principal - 1,290,000 1,290,000 4414134 4400200 - Capital Outlay 75,952 (75,952) -
4514270 4400100 - Capital Project 12,000,000 (12,000,000) - 4514374 5000455 - Sec 29 & Gerald Ford Detention 269,709 (26,696) 243,013 8704195 4100100 - Salaries-Full Time 348,942 (82,618) 266,324 8704195 4111500 - Retirement Contribution 45,315 (10,672) 34,643 8704195 4111600 - Medicare Contrb-Employer 5,050 (1,188) 3,862 8704195 4111700 - Retiree Health 6,012 (2,459) 3,553
8704195 4112000 - Ins Prem - Long Term Disab. 1,722 (405) 1,317 8704195 4112100 - Ins Prem - Health 71,856 (6,726) 65,130 8704195 4112200 - Ins Prem-Dental/Vision 4,989 (904) 4,085 8704195 4112400 - Ins Prem - Life 586 (137) 449
TOTAL 22,989,361 (11,162,854) 11,826,507
Account Number
921
Resolution No. _____ Page 8
OTHER FUNDS SUMMARY:
*Expenditure amounts in excess of anticipated revenue to be paid from available Fund Balance.

REVENUE FY 2024-25
Original Budget
Carryovers and
Appropriations Midyear Request
FY 2024-25
Amended Budget
Special Revenue Funds 55,274,298 (508,035) 1,632,667 56,398,930 Capital Project Funds 11,809,555 8,285,882 313,488 20,408,925 Debt Service Funds 122,991 - - 122,991
Internal Service Funds 855,300 1,073,324 - 1,928,624
Enterprise Funds 18,673,509 - - 18,673,509
Fiduciary Funds 3,837,521 622,991 - 4,460,512
Total Other Funds 90,573,174 9,474,162 1,946,155 101,993,491 EXPENDITURES FY 2024-25
Original Budget
Carryovers and
Appropriations Midyear Request
FY 2024-25
Amended Budget
Special Revenue Funds 72,029,008 27,247,477 (388,906) 98,887,579 Capital Project Funds 32,709,324 25,296,225 (12,102,648) 45,902,901 Debt Service Funds 120,665 - 1,328,700 1,449,365
Internal Service Funds 3,906,783 1,411,396 5,318,179
Enterprise Funds 25,488,527 2,868,027 28,356,554
Fiduciary Funds 7,579,918 120,665 7,700,583
Total Other Funds 141,834,225 56,943,790 (11,162,854) 187,615,161 922
RESOLUTION NO. 2025-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM

DESERT, CALIFORNIA, ADOPTING AUTHORIZED CLASSIFICATIONS

AND ALLOCATED POSITIONS INCLUDED HEREIN ATTACHED AS
EXHIBIT “A” AND RESCINDING RESOLUTION NO. 2024-047.

WHEREAS, the City of Palm Desert identifies employees by classifications and groups for the purpose of salary and benefit administration; and WHEREAS, the City of Palm Desert has met and conferred in good faith with the Palm Desert Employees Organization (PDEO) in accordance with the Meyers-MiliasBrown Act and the City’s Employer-Employee Relations Ordinance; and

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

SECTION I - ALLOCATED POSITIONS AND AUTHORIZED CLASSIFICATIONS The City of Palm Desert’s Personnel System, Section 2.52 of the Palm Desert Municipal Code prescribes specific terms for appointment and tenure of all City employees. Exhibit A contains the tables of salary ranges that will be retroactively effective to July 1, 2024.

The City Manager is annually authorized to modify the Allocated Classifications, Positions and Salary Schedule during each fiscal year that he determines are reasonably necessary or appropriate for business necessity including, without limitation, the implementation of title and responsibility changes, any minimum wage laws, use of over-hires for training, limited term student internships and modification of vacant positions in so far as such modifications do not exceed the adopted 2024-25 budget. Such modifications have been included in the resolution and accompanying allocated positions; however, it may be necessary to modify them again based on the business necessity of the City. Changes to the allocation will be updated as necessary by the City Manager, and brought back to City Council at year-end for ratification.

SECTION II – PERSONNEL GROUPS/DESIGNATIONS
The City assigns classifications to designated groups for the purposes of defining exempt status, benefits allocation and purchasing authority. These classifications, (listed in the table below), are categorized as follows:

Title Exempt
Group
Executive
Contract
At Will
City Manager X Yes Yes
Assistant City Manager X Yes Yes
City Clerk X Yes Yes
923
Resolution No. 2025-_____ Page 2
City Engineer X Yes Yes
Director of Capital Projects X Yes Yes
Director of Development Services X Yes Yes
Director of Economic Development X Yes Yes
Director of Finance/City Treasurer X Yes Yes
Director of Human Resources X Yes Yes
Director of Library Services X Yes Yes
Director of Public Works A No No
Accounting Manager B No No
Accounting Supervisor B No No
Assistant Building Official B No No
Assistant Director of Library Services B No No
Assistant Planner B No No
Assistant City Clerk B No No
Associate Planner I/II B No No
Business Operations Manager B No No
Capital Projects Manager B No No
Chief Building Official B No No
Code Compliance Supervisor B No No
Communications Analyst B No No
Community Relations Supervisor B No No
Community Services Manager B No No
Deputy Director of Development Services B No No
Deputy Director of Economic Development B No No
Deputy Director of Finance B No No
Deputy Director of Public Works B No No
Economic Development Coordinator B No No
Finance Supervisor B No No
Homeless and Support Services Manager B No No
Housing Manager B No No
Human Resources Manager B No No
Information Systems Manager B No No
Landscape Supervisor B No No
Library Manager B No No
Management Analyst I/II B No No
Principal Planner B No No
Project Manager B No No
Public Affairs Manager B No No
924
Resolution No. 2025-_____ Page 3
Public Works Superintendent
Senior Contracts and Grants Analyst B No No
Senior Engineer B No No
Senior Management Analyst B No No
Senior Planner B No No
Senior Project Manager B No No
Special Events Coordinator B No No
Streets Maintenance Supervisor B No No
Executive Assistant/Coordinator (City Manager) C No No
Human Resources Analyst C No No
Group X: Executive Contract Positions:

The classifications designated as Group X, Executive Contract, have the highest level of executive responsibility and authority; these positions are governed by individual employment agreements.

Group A: Directors and Department Heads
The classifications designated as Group A have a higher level of responsibility and authority and they are exempt from overtime provisions as defined by the Fair Labor Standards Act and set forth in the Personnel Rules and Regulations, Section 2.52.305.

They may be At Will and governed by employment agreements. Among other things, these positions require spending numerous extra hours at meetings, conferences and work.

Group B: Mid-Management/Professional
The classifications designated as Group B are managerial, supervisorial or professional in nature and they are exempt from overtime provisions as defined by the Fair Labor Standards Act and set forth in the Personnel Rules and Regulations, Section 2.52.305.

Among other things, these positions require spending occasional extra hours at meetings, conferences and work.

Group C: Confidential
The classifications designated as Group C are professional in nature and they are exempt from overtime provisions as defined by the Fair Labor Standards Act and set forth in the Personnel Rules and Regulations, Section 2.52.305. Among other things, these positions require spending occasional extra hours at meetings, conferences and work. These positions also assist and act in a confidential capacity to persons who formulate, determine, and effectuate management policies with regard to labor relations, and are defined as “Confidential” in the Personnel Rules and Regulations, Section 2.53.100.

ADOPTED ON FEBRUARY 13, 2025.
925
Resolution No. 2025-_____ Page 4

JAN HARNIK
MAYOR
ATTEST:

ANTHONY J. MEJIA

CITY CLERK
926
Resolution No. 2025-_____ Page 5
I, Anthony J. Mejia, City Clerk of the City of Palm Desert, hereby certify that Resolution No. 2023-__ is a full, true, and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Desert on February 16, 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
927
928
Rev FY 2024-2025 City of Palm Desert
Allocated Positions
Resolution No. 2025-____
Exhibit "A"
Classification Allocated
Positions Salary Grade ExemptStatus Notes:

City Manager 1 CM Exempt X
Assistant City Manager 1 73 Exempt X
Management Analyst I/II 1 40/42 Exempt B
Homeless and Support Services Manager 1 48 Exempt B
Management Aide I/II 1 34/36 Non-Exempt
Executive Coordinator 1 39 Non-Exempt C (confidential)
1104130 6
Human Resources
Director of Human Resources 1 64 Exempt X
Human Resources Specialist 1 36 Non-Exempt
Human Resources Analyst I/II 2 40/42 Exempt C (confidential) 1104154 4
City Clerk 1 66 Exempt X
Assistant City Clerk 1 46 Exempt B
Senior Administrative Assistant 1 34 Non-Exempt
Receptionist 1 20 Non-Exempt
Records Coordinator 1 38 Non-Exempt
Senior Deputy Clerk 2 38 Non-Exempt
Deputy Clerk I/II 1 34/36 Non-Exempt
1104111 8
Total City Manager 18
Library Services
Director of Library Services 1 68 Exempt X
Assistant Director of Library Services 1 56 Exempt B
Library Manager 2 50 Exempt B
Librarian I/II 4 40/42 Exempt B
Library Assistant 12 20 Non-Exempt
2524662 20
Total Library Services 20

CITY MANAGER
City Clerk

LIBRARY SERVICES

Page 1 of 5 ends

Rev FY 2024-2025 City of Palm Desert
Allocated Positions
Resolution No. 2025-____
Exhibit "A"
Classification Allocated
Positions Salary Grade ExemptStatus Notes:

Finance
Director of Finance/City Treasurer 1 71 Exempt X
Deputy Director of Finance 2 63 Exempt B
Accounting Manager 1 53 Exempt B
Finance Supervisor 1 46 Exempt B
Senior Contracts and Grants Analyst 1 46 Exempt B
Senior Management Analyst 1 45 Exempt B
Management Analyst I/II 2 40/42 Exempt B
Accountant 3 43 Non-Exempt
Senior Administrative Assistant 2 34 Non-Exempt
Administrative Assistant I/II 0 28/32 Non-Exempt
Payroll Coordinator 1 38 Non-Exempt
Accounting Technician I/II 3 28/32 Non-Exempt
1104150 18
Affordable Housing
Housing Manager 1 51 Exempt B
Senior Management Analyst 1 45 Exempt B
8704195 2
Information Technology
Information Systems Manager 1 62 Exempt B
Cyber Security Officer 1 50 Exempt B
Management Aide I/II 1 34/36 Non-Exempt
Senior Information Systems Administrator 1 48 Non-Exempt Senior GIS Admin 1 47 Non-Exempt
Senior Biz Systems Enterprise 1 46 Non-Exempt
Biz Systems Enterprise 1 42 Non-Exempt
1104190 7
Total Finance 27
Director, Econ Development 1 70 Exempt X
Deputy Director, Econ Development 1 63 Exempt B
Management Analyst I/II 1 40/42 Exempt B
Administrative Assistant I/II - Econ. Dvlpt. 1 28/32 Non-Exempt 4430 4
Special Programs
Special Events Coordinator 1 42 Exempt B
Management Analyst I/II- Environmental 1 40/42 Exempt B Management Analyst I/II - Art 1 40/42 Exempt B
Administrative Assistant I/II - Special Programs 1 28/32 Non-Exempt 4430 4
Public Affairs
Public Affairs Manager 1 56 Exempt B
Community Relations Supervisor 1 46 Exempt B
Communications Analyst I/II 1 40/42 Exempt B
Management Analyst I/II 1 40/42 Exempt B

FINANCE
Economic Development

Page 2 of 5 ends

Rev FY 2024-2025 City of Palm Desert
Allocated Positions
Resolution No. 2025-____
Exhibit "A"
Classification Allocated
Positions Salary Grade ExemptStatus Notes:

Management Aide I/II 1 34/36 Non-Exempt
Visitor Services Specialist 1 28 Non-Exempt
Visitor Services Assistant (PT) 2 20 Non-Exempt
4417 8
Total Economic Development 16
Development Services /Planning
Director of Development Services 1 70 Exempt X
Dep Dir of Development Services 1 63 Exempt B
Executive Assistant 1 36 Non-Exempt
Principal Planner 2 53 Exempt B
Associate Planner I/II 1 42/44 Exempt B
Planning Technician 2 34 Non-Exempt
Management Analyst I/II 1 40/42 Exempt
GIS Analyst 1 42 Non-Exempt
4470 10
Engineering Services
Associate Engineer 1 48 Exempt B
1104423 1
Building & Safety
Chief Building Official 1 62 Exempt B
Assistant Building Official 1 51 Exempt B
Senior Building Inspector 1 42 Non-Exempt
Building Inspector I/II 3 34/38 Non-Exempt
Adminstrative Assistant I/II 1 28/32 Non-Exempt
4420 7
Code Compliance
Code Compliance Supervisor 1 46 Exempt B
Code Compliance Officer I/II 4 30/34 Non-Exempt
Administrative Assistant I/II 1 28/32 Non-Exempt
4422 6
Palm Desert Permit Center
Management Analyst I/II 1 40/42 Exempt
Senior Permit Technician 1 35 Non-Exempt
Management Aide I/II 1 34/36 Non-Exempt
Permit Technician I/II 3 28/32 Non-Exempt
Office Assistant II 1 20/24 Non-Exempt
4421 7
Total Development Services 30

DEVELOPMENT SERVICES

Page 3 of 5 ends

Rev FY 2024-2025 City of Palm Desert
Allocated Positions
Resolution No. 2025-____
Exhibit "A"
Classification Allocated
Positions Salary Grade ExemptStatus Notes:

Capital Projects Administration
Director of Capital Projects 1 70 Exempt X
Capital Projects Manager 1 53 Exempt B
Senior Project Manager 2 50 Exempt B
Project Manager 1 48 Exempt B
Senior Public Works Inspector 1 40 Non-Exempt
Public Works Inspector I/II 2 34/37 Non-Exempt
Total Capital Projects 8
Director of Public Works 1 70 Exempt X
Deputy Director of Public Works 1 63 Exempt B
Business Operations Manager 1 50 Exempt B
Senior Management Analyst 1 45 Exempt B
Senior Project Manager 1 50 Exempt B
Management Analyst I/II 1 40/42 Exempt B
Senior Administrative Assistant 1 34 Non-Exempt
Administrative Assistant I/II 1 28/32 Non-Exempt
Office Assistant I/II 1 20/24 Non-Exempt
4300 9
Community Services
Community Services Mger 1 51 Exempt B
Public Works Superintendent 1 48 Exempt B
Management Analyst I/II 1 40/42 Exempt B
Landscape Inspector 3 34 Non-Exempt
4614 6
Facilities Management
Project Manager 1 48 Exempt B
Senior Facilities Specialist 1 38 Non-Exempt
Facilities Specialist 1 36 Non-Exempt
Project Technician 1 34 Non-Exempt
4340 4
Streets Maintenance
Public Works Superintendent 1 48 Exempt B
Streets Maintenance Supervisor 1 46 Exempt B
Senior Maintenance Worker 1 40 Non-Exempt
Maintenance Worker III 4 36 Non-Exempt
Maintenance Worker I/II 9 28/32 Non-Exempt
4310 15

PUBLIC WORKS

CAPITAL PROJECTS

Page 4 of 5 ends

Rev FY 2024-2025 City of Palm Desert
Allocated Positions
Resolution No. 2025-____
Exhibit "A"
Classification Allocated
Positions Salary Grade ExemptStatus Notes:

Traffic Signal Maintenance
Project Manager 1 48 Exempt B
Senior Traffic Signal Specialist 1 45 Non-Exempt
Traffic Signal Technician I/II 3 34/38 Non-Exempt
4310 5
Total Public Works 39
TOTAL ALLOCATED POSITIONS 158

Page 5 of 5 ends

934
935
936
937
938
939
940
941
942

CITY OF PALM DESERT
CITY MANAGER’S OFFICE

ITEM 10r: ADOPT RESOLUTIONS APPROVING THE FISCAL YEAR 2024-25 MID-YEAR BUDGET

ADJUSTMENTS AND REVISED STAFF ALLOCATION SCHEDULE
Q1: Can staff summarize the changes between Resolution 2024-047 and the proposed replacement?
A1: The proposed changes between Resolution 2024-047 and the replacement resolution include various position adjustments, transfers, additions, and deletions across multiple departments. A side-by-side comparison is attached for reference. The changes are as follows:

Position Changes:
• Human Resources: HR Manager reclassified to HR Director. • City Clerk: Administrative Assistant I/II reclassified to Senior Administrative Assistant. • Finance:
o Management Analyst II reclassified to Senior Management Analyst. o Accounting Technician II reclassified to Payroll Coordinator. o Accounting Technician I/II reclassified to Management Analyst I/II. o Administrative Assistant I/II reclassified to Senior Administrative Assistant. • Housing: Management Analyst II reclassified to Senior Management Analyst. • Information Technology:
o Senior Network Engineer reclassified to Cyber Security Officer. o Business Systems Enterprise reclassified to Senior Business Systems Enterprise. • Permit Center: Land Development Technician reclassified to Permit Technician I/II position. • Public Affairs:
o Marketing Assistant reclassified to Management Aide I/II. o Visitor Services Assistant (Full-Time) reclassified to Visitor Services Specialist. • Community Services: Landscape Supervisor reclassified to Public Works Superintendent. 943
02/13/2025 Question & Answer Memo

Page 2 of 2 ends

• Traffic Signal: Senior Project Manager reclassified to Project Manager position.

Transfers, Additions and Deletions:
• Engineering Services: Deleted City Engineer, Senior Engineer, and two Assistant Engineer positions.
• Finance: Added Accounting Manager position.
• Public Affairs: Added two part-time Visitor Services Assistant positions. • Engineering Services (Moved under Development Services): Added Associate Engineer position.
• Public Works: Transferred Administrative Assistant I/II position from Street Maintenance Division to Business Operations Division.
• Street Maintenance:
o Added Public Works Superintendent position.
o Added four Maintenance Worker I/II positions.

Q2: Are the proposed position increases for currently filled roles? A2: Most of the reclassified positions are currently filled, with the exception of the Maintenance Worker positions, where one vacancy remains.

Q3: What is the rationale for implementing position upgrades mid-year instead of as part of the new budget cycle?
A3: The approach to mid-year position upgrades is guided by established personnel policies and the authority granted to the City Manager to make necessary adjustments throughout the fiscal year.

Q4: While these changes remain within the current fiscal year allocations, what are the projected annualized impacts on next year’s budget?
A4: The estimated net increase for all position changes is $281,397, assuming all vacant positions are filled by the end of the fiscal year. Based on current vacancy projections, the estimated cost impact of unfilled positions is approximately $265,012.
944
Rev FY 2024-2025 City of Palm Desert
Allocated Positions
Resolution No. 2025-____
Exhibit "A"
Classification
Allocated
Positions Grade
Allocated
Positions Grade
City Manager 1 CM 1 CM
Assistant City Manager 1 73 1 73
Management Analyst I/II 1 40/42 1 40/42
Homeless and Support Services Manager 1 48 1 48
Management Aide I/II 1 34/36 1 34/36
Executive Coordinator 1 39 1 39
1104130 6 6
Human Resources
Director of Human Resources 0 1 64
Human Resource Manager 1 62 0 32
Human Resources Specialist 1 36 1 36
Human Resources Analyst I/II 2 40/42 2 40/42
1104154 4 4
City Clerk 1 66 1 66
Assistant City Clerk 1 46 1 46
Senior Administrative Assistant 0 34 1 34
Administrative Assistant I/II - City Council 1 28/32 0 28/32 Receptionist 1 20 1 20
Records Coordinator 1 38 1 38
Senior Deputy Clerk 1 38 2 38
Deputy Clerk I/II 1 34/36 1 34/36
1104111 7 8
Engineering Services
City Engineer 1 70 0 70
Senior Engineer 1 56 0 56
Assistant Engineer 2 44 0 44
1104423 4 0
Total City Manager 21 18
Library Services
Director of Library Services 1 68 1 68
Assistant Director of Library Services 1 56 1 56
Library Manager 2 50 2 50
Librarian I/II 4 40/42 4 40/42
Library Assistant 12 20 12 20
2524662 20 20
Total Library Services 20 20
Reso 2024-47 Reso 2025-

CITY MANAGER
City Clerk

LIBRARY SERVICES

Page 1 of 5 ends

Rev FY 2024-2025 City of Palm Desert
Allocated Positions
Resolution No. 2025-____
Exhibit "A"
Classification Reso 2024-47 Reso 2025-
Finance
Director of Finance/City Treasurer 1 71 1 71
Deputy Director of Finance 2 63 2 63
Accounting Manager 0 53 1 53
Finance Supervisor 1 46 1 46
Senior Contracts and Grants Analyst 1 46 1 46
Senior Management Analyst 0 45 1 45
Management Analyst I/II 2 40/42 2 40/42
Accountant 3 43 3 43
Senior Administrative Assistant 1 34 2 34
Administrative Assistant I/II 1 28/32 0 28/32
Payroll Coordinator 0 38 1 38
Accounting Technician I/II 4 28/32 3 28/32
1104150 16 18
Affordable Housing
Housing Manager 1 51 1 51
Senior Management Analyst 0 40/42 1 45
Management Analyst I/II 1 40/42 0 14
8704195 2 2
Information Technology
Information Systems Manager 1 62 1 62
Cyber Security Officer 0 50 1 50
Management Aide I/II 1 34/36 1 34/36
Senior Information Systems Administrator 1 48 1 48
Senior Network Engineer 1 48 0 48
Senior GIS Admin 1 47 1 47
Senior Biz Systems Enterprise 0 46 1 46
Biz Systems Enterprise 2 42 1 42
1104190 7 7
Total Finance 25 27
Director, Econ Development 1 70 1 70
Deputy Director, Econ Development 1 63 1 63
Management Analyst I/II 1 40/42 1 40/42
Administrative Assistant I/II - Econ. Dvlpt. 1 28/32 1 28/32 4430 4 4
Special Programs
Special Events Coordinator 1 42 1 42
Management Analyst I/II- Environmental 1 40/42 1 40/42
Management Analyst I/II - Art 1 40/42 1 40/42
Administrative Assistant I/II - Special Programs 1 28/32 1 28/32 4430 4 4
Public Affairs
Public Affairs Manager 1 56 1 56
Community Relations Supervisor 1 46 1 46
Communications Analyst I/II 1 40/42 1 40/42

FINANCE
Economic Development

Page 2 of 5 ends

Rev FY 2024-2025 City of Palm Desert
Allocated Positions
Resolution No. 2025-____
Exhibit "A"
Classification Reso 2024-47 Reso 2025-
Management Analyst I/II 1 40/42 1 40/42
Management Aide I/II 0 34/36 1 34/36
Marketing Assistant 1 28 0 28
Visitor Services Specialist 0 28 1 28
Visitor Services Assistant (FT) 1 24 0 24
Visitor Services Assistant (PT) 0 20 2 20
4417 6 8
Total Economic Development 14 16
Development Services /Planning
Director of Development Services 1 70 1 70
Dep Dir of Development Services 1 63 1 63
Executive Assistant 1 36 1 36
Principal Planner 2 53 2 53
Associate Planner I/II 1 42/44 1 42/44
Planning Technician 2 34 2 34
Management Analyst I/II 1 40/42 1 40/42
GIS Analyst 1 42 1 42
4470 10 10
Engineering Services
Associate Engineer 0 48 1 48
1104423 0 1
Building & Safety
Chief Building Official 1 62 1 62
Assistant Building Official 1 51 1 51
Senior Building Inspector 1 42 1 42
Building Inspector I/II 2 34/38 3 34/38
Adminstrative Assistant I/II 1 28/32 1 28/32
4420 6 7
Code Compliance
Code Compliance Supervisor 1 46 1 46
Code Compliance Officer I/II 4 30/34 4 30/34
Administrative Assistant I/II 1 28/32 1 28/32
4422 6 6
Palm Desert Permit Center
Management Analyst I/II 1 40/42 1 40/42
Senior Permit Technician 1 35 1 35
Land Development Technician 1 38 0 38
Management Aide I/II 1 34/36 1 34/36
Permit Technician I/II 2 28/32 3 28/32
Office Assistant II 1 20/24 1 20/24
4421 7 7
Total Development Services 29 30

DEVELOPMENT SERVICES

Page 3 of 5 ends

Rev FY 2024-2025 City of Palm Desert
Allocated Positions
Resolution No. 2025-____
Exhibit "A"
Classification Reso 2024-47 Reso 2025-
Capital Projects Administration
Director of Capital Projects 1 70 1 70
Capital Projects Manager 1 53 1 53
Senior Project Manager 2 50 2 50
Project Manager 1 48 1 48
Senior Public Works Inspector 1 40 1 40
Public Works Inspector I/II 2 34/37 2 34/37
Total Capital Projects 8 8
Director of Public Works 1 70 1 70
Deputy Director of Public Works 1 63 1 63
Business Operations Manager 1 50 1 50
Senior Management Analyst 1 45 1 45
Senior Project Manager 1 50 1 50
Management Analyst I/II 1 40/42 1 40/42
Senior Administrative Assistant 1 34 1 34
Administrative Assistant I/II 0 28/32 1 28/32
Office Assistant I/II 1 20/24 1 20/24
4300 8 9
Community Services
Community Services Mger 1 51 1 51
Public Works Superintendent 0 48 1 48
Supervising Landscape Supervisor 1 46 0 46
Management Analyst I/II 1 40/42 1 40/42
Landscape Inspector 3 34 3 34
4614 6 6
Facilities Management
Project Manager 1 48 1 48
Senior Facilities Specialist 1 38 1 38
Facilities Specialist 1 36 1 36
Project Technician 1 34 1 34
4340 4 4
Streets Maintenance
Public Works Superintendent 0 48 1 48
Streets Maintenance Supervisor 1 46 1 46
Senior Maintenance Worker 2 40 1 40
Maintenance Worker III 4 36 4 36
Administrative Assistant I/II 1 28/32 0 28/32
Maintenance Worker I/II 5 28/32 9 28/32
4310 13 15

PUBLIC WORKS

CAPITAL PROJECTS

Page 4 of 5 ends

Rev FY 2024-2025 City of Palm Desert
Allocated Positions
Resolution No. 2025-____
Exhibit "A"
Classification Reso 2024-47 Reso 2025-
Traffic Signal Maintenance
Senior Project Manager 1 50 0 50
Project Manager 1 48 1 48
Senior Traffic Signal Specialist 1 45 1 45
Traffic Signal Technician I/II 3 34/38 3 34/38
4310 5 5
Total Public Works 36 39
TOTAL ALLOCATED POSITIONS 153 158

Page 5 of 5 ends

950

Page 1 of 2 ends

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: February 13, 2025
PREPARED BY: Cesar Lopez, Associate Engineer
Richard Cannone, Director of Development Services
SUBJECT: GERALD FORD APARMENTS – ACCEPT PUBLIC IMPROVEMENTS

AND RELEASE RELATED BONDS, AND ACCEPT A MAINTENANCE
BOND
RECOMMENDATION:

1. Accept public improvements for Gerald Ford Apartments.

2. Release the following bonds:
a Faithful Performance Bond in the amount of $108,091.50 b Labor and Materials Bond in the amount of $108,091.50 c Grading Bond in the amount of $173,470.

3. Accept the Maintenance Bond in the amount of $10,809.15 BACKGROUND/ANALYSIS:

On December 8, 2005, the City Council approved by Resolution No. 05-105, a Tentative Tract Map 33837 for 755 residential units known as the Spanish Walk community and Gerald Ford Apartments.

On June 7, 2022, the Planning Commission approved by Resolution No. 2813, approving a Precise Plan (PP22-0004) for a 150-unit affordable multifamily development. The project includes eight three-story apartment buildings, a single-story clubhouse, and open space amenities on a 6.8-acre parcel, developed by Gerald Ford Apartment, LP (c/o Western National Group, 8 Executive Circle, Irvine, CA 92614). Per the resolution, bonds for public improvements were required before the grading permit (RG22-0009) was issued. This requirement was met and the following bonds were provided:
 Public Improvements:
o $108,091.50 for Faithful Performance
o $108,091.50 for Labor and Materials
 Grading: $173,470
On February 3, 2025, the Public Works Department verified the completion of all public improvements for this project. Additionally, the Engineer of Record has submitted the Letter of Certification verifying the completion of improvements.

Project requirements are documented in the approved grading plan (RG22-0009, PG22-0030) and the Engineer’s Estimate. A Record Drawing of the improvements is on file with the Development Services Department. Offsite improvements for Gerald Ford Drive, as specified in 951
City of Palm Desert
Accept Public Improvements, Release Bonds, and Accept Maintenance Bond

Page 2 of 2 ends

the approved plans, are postponed until the final street segment is completed, aligning with the design for Fire Station 102, a Capital Improvement Project.

Per Palm Desert Municipal Code Section 26.28.140, a 10% Maintenance Bond is required for one year after completion. The developer has submitted a $10,809.15 bond for this purpose.

Legal Review:

This report has been reviewed by the City Attorney’s Office.

FINANCIAL IMPACT:

With the approval of this action, the City of Palm Desert will be responsible for the maintenance of public improvements, including streets, storm drains, and sidewalks. Costs to maintain these improvements are estimated to be approximately $387 annually.

ATTACHMENTS:

1. Vicinity Map

2. Faithful Performance and Labor and Material Bonds

3. Grading Bond

4. Maintenance Bond
952
Gerald Ford Drive
Union Pacifi c RR
10 10
Union Pacifi c RR
Paseo Bravo
10 10
Paseo Animado
Paseo Del Corazon
Paseo Divertido
Gerald
Ford
Driv
e
Via Del La Paz
Varner Rd
Union Pacifi c RR
Paseo Bravo
Paseo Gusto
Paseo Gregario
Paseo Del Corazon
Paseo Divertido
Via Del La Paz
Vicinity Map
0 0.02 0.04 0.08 mi
0 0.03 0.07 0.13 km
1:2,257

6.82 Acres
N
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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: February 13, 2025
PREPARED BY: Cesar Lopez, Associate Engineer
Richard Cannone, Director of Development Services
SUBJECT: WEST COAST SELF STORAGE - ACCEPT PUBLIC IMPROVEMENTS

AND RELEASE RELATED BONDS, AND ACCEPT A MAINTENANCE
BOND
RECOMMENDATION:

1. Accept public improvements for West Coast Self Storage.

2. Release the following bonds:
a Faithful Performance Bond in the amount of $48,696.50 b Labor and Materials Bond in the amount of $24,348.25
c Grading Bond in the amount of $11,415.25

3. Accept the Maintenance Bond in the amount of $4,869.65 BACKGROUND/ANALYSIS:

On December 6, 2022, the Planning Commission approved Resolution No. 2825, granting a Precise Plan (PP22-0005) for a 52,528-square-foot self-storage facility on a 1.87-acre property at the northwest corner of Dinah Shore Drive and Dick Kelly Drive, developed by West Coast Self-Storage Group. Per the resolution, bonds for public improvements were required before issuing the grading permit (PG23-0025). The following bonds were submitted at the time of grading approval:
 Public Improvements:
o $48,696.50 for Faithful Performance
o $24,348.25 for Labor & Materials
 Grading:
o $11,415.25
On January 9, 2025, the Public Works Department confirmed the completion of all public improvements. The Engineer of Record also provided a Letter of Certification verifying compliance. Project requirements are documented in the approved grading plan (PG23-0025) and the Engineer’s Estimate. A Record Drawing of the improvements is on file with the Development Services Department.

Per Palm Desert Municipal Code Section 26.28.140, a 10% Maintenance Bond is required for one year after completion. The developer has submitted a $4,869.65 bond for this purpose.

Legal Review:

This report has been reviewed by the City Attorney’s Office. 977
City of Palm Desert
Accept Public Improvements, Release Bonds, and Accept Maintenance Bond

Page 2 of 2 ends

FINANCIAL IMPACT:

ATTACHMENTS:

1. Vicinity Map

2. Faithful Performance and Labor and Material Bonds

3. Grading Bond

4. Maintenance Bond

5. 978
Spyder
Circle
Dinah Shore Drive
ck Kelly Drive
Warhol Ln
Perugino Ter Perugino Ter
Spyder Circle
Dinah Shore Drive
Pasini Ter
Dick Kelly Drive
Spyder Circle Durer Pl
Dinah
Sh
ore
Drive
asini Ter
Raphael Dr
Union Pacifi c RR
10 Union Pacifi c RR
Dinah Shore
Drive
Raphael
Dr
Dinah Shore Drive
Vicinity Map
0 0.02 0.04 0.08 mi
0 0.03 0.07 0.13 km
1:2,257
N

1.85Acres
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DESCRIPTION ACCOUNT QTY PAID
PermitTRAK $4,869.65
PG23-0025 Address: 73761 SPYDER CIR APN: 694240009 $4,869.65 CASH IN LIEU - FEE GL-6100000-2280100 0 $4,869.65
TOTAL FEES PAID BY RECEIPT: R58149 $4,869.65
Printed: Tuesday, February 4, 2025 3:57 PM
Date Paid: Tuesday, February 04, 2025
Paid By: WEST COAST SELF STORAGE GROUP
Pay Method: ACH 991891
1 of 1
Cashier: AM
Cash Register Receipt
City of Palm Desert
Receipt Number
R58149
1035
1036

Page 1 of 2 ends

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: February 13, 2025
PREPARED BY: Randy Chavez, Deputy Director of Public Works SUBJECT: APPROVE CHANGE ORDER NO. 1 TO CONTRACT NO. C47350 WITH CALSTRIPE, INC., FOR ON-CALL CITYWIDE STREET AND BIKE LANE STRIPING IMPROVEMENTS (PROJECT NO. MST00002)
RECOMMENDATION:

1. Approve Change Order No. 1 to Contract No. C47350 with Cal-Stripe, Inc., of Colton, California, for On-Call Citywide Street and Bike Lane Striping Project to increase compensation to an amount not to exceed $950,000 annually, subject to CPI.

2. Authorize City Manager to execute the change order and any documents necessary to effectuate the actions taken herewith.

BACKGROUND/ANALYSIS:

To enhance the safety and functionality of the City’s roadways and bike lanes, the City budgets funds annually for pavement marking and striping maintenance. On March 28, 2024, the City executed a 27-month maintenance services contract with Cal-Stripe, Inc. (Contract C47350) with an annual not-to-exceed amount of $450,000 and the option for two one-year extensions. Due to the efficient execution of work this fiscal year, the City has expedited much of the planned striping and maintenance ahead of schedule. As a result, additional funding is being requested to continue this momentum and address further pavement marking needs rather than delaying work until the next fiscal year.

In Fiscal Year (FY) 2024-25, the Contractor successfully completed all scheduled roadway and curb maintenance activities (see attached Completed Task Orders). This included exfoliating and repainting 122,530 feet of red curbs for no-parking enforcement, striping 27,580 feet of crosswalks, and painting 3,140 feet of regulatory curbs (yellow, white, gray, and blue). In addition, 6,180 feet of crosswalks were cleaned to improve surface visibility under this contract.

Of the $450,000 allocated for FY 2024-25, $417,000 has already been expended.

While progress has been made, a backlog of deferred maintenance persists, requiring additional investment. This backlog is due to staff not requesting adequate funding in previous years and instead operating within the allocated budget. The City has also received community feedback advocating for red curb repainting to improve pedestrian safety, enhance neighborhood accessibility, and ensure clearer parking guidelines for residents and visitors. In response, red curb painting was prioritized, accounting for 74% of the expended funds in FY 2024-25.

To support maintenance efforts, staff recommends approving Change Order No. 1 with the Contractor to increase the annual not-to-exceed amount by $500,000, raising the total to $950,000. This additional funding allows the City to expand arterial striping, improving roadway safety and visibility. The proposed tasks (see Pending Task Orders) include striping along 1037
City of Palm Desert
Street and Bike Lane Striping

Page 2 of 2 ends

Highway 111, Monterey Avenue, Portola Avenue, and Washington Street, with an estimated cost of $485,000. Looking ahead, the City anticipates to allocate $950,000 in the FY 2025-26 budget to continue proactive maintenance efforts, and is currently developing a Roadway Striping Maintenance Program for future years.

Legal Review:

This report has been reviewed by the City Attorney’s Office.

FINANCIAL IMPACT:

Measure A funds totaling $450,000 were allocated in the approved Capital Improvement Project (CIP) List for FY 2024-25 across two projects: the Citywide Street Striping and Lane Improvements Project and the Bike Lane Striping Project. Cost savings from these projects is available for transfer to the Street Resurfacing Program Account No. 2134315-4332000 to facilitate this request. There is no impact to the General Fund.

The following table outlines the budget sources:

Project Account FY 24/25
Budget
Estimated
Expenses
Balance
Citywide Street Striping & Lane
Improvements (MST00002)
2134315-4332000 $300,000 $900,000 ($600,000)
Bike Lane Striping (MST00004) 2134633-5000204 $150,000 $50,000 $100,000 Street Resurfacing Program 2134311-4332000 $3,000,000 $2,500,000 $500,000 Total $3,450,000 $3,450,000 $0
ATTACHMENTS:

1. Change Order No. 1

2. Staff Report and Contract (March 28, 2024)

3. Completed Tasks Orders

4. Pending Task Orders
1038

CITY OF PALM DESERT

CONTRACT CHANGE ORDER
Justification:

Contract No / P.O. #:

Change Order No.:

Contingency: YES NO
Account No.:

Project No.:

Vendor No.:

Description of Changes Decrease
In Contract Price
Increase
In Contract Price
Totals:

Net Change in Contract Price:

Original Contract Amount: +
Contingency: +
Total Budget Amount:

Less: Expend. / Encumb. To Date: -
Less: This Change Order Amount: -
Remaining for Project:

Contract Purpose:

Contractor Name:

C47350 24251501 1
✔
2134315-4332000 MST00002 On-Call Citywide Street and Bike Lane Striping Cal-Stripe, Inc. Additional On-Call Citywide Street and Bike Lane Striping $ 500,000.00 $ 0.00 $ 500,000.00 $ 500,000.00 $ 500,000.00 $ 500,000.00 Additional On-Call Citywide Street and Bike Lane Striping $ 450,000.00 $ 450,000.00 $ 450,000.00 -$ 500,000.00 -$ 500,000.00 The amount of the contract will be increased by the sum of: Five Hundred Thousand 00 $ 500,000.00 $ 950,000.00 1039
Continued from Front
Contract No. _________ Contract Change Order No. ___
Contract Time Extension: __________________________
Contractor accepts the terms and conditions stated above as full and final settlement of any and all claims arising out of or related to the subject of this Change Order and acknowledges that the compensation (time and cost) set forth herein comprises the total compensation due for the work or change defined in the Change Order, including all impact on any unchanged work. Execution of this Change Order by the Contractor constitutes a binding accord and satisfaction that fully satisfies, waives, and releases the City from all claims, demands, costs, and liabilities, in contract, law or equity, arising out of or related to the subject of the Change Order, whether known or unknown, including but not limited to direct and indirect costs and/or damages for delay, disruption, acceleration, loss of productivity, and stacking of trades, as well as any and all consequential damages. The adjustments to the Contract Price and Contract Time in this Change Order constitute the entire compensation and/or adjustment thereto due to Contractor, including but not limited to all direct, indirect, consequential, profit, labor, equipment, tools, idle time, incidentals, and overhead (field and home office) costs, due to Contractor arising out of or related to the change in the work covered by this Change Order. The Contractor hereby releases and agrees to waive all rights, without exception or reservation of any kind whatsoever, to file any further claim or request for equitable adjustment of any type, for any reasonably foreseeable cause that shall arise out of, or as a result of, this Change Order and/or its impact on the remainder of the work under the Contract. This Change Order will become a supplement to the Contract and all provisions will apply hereto.

1. REQUESTED BY: ______________________
Department Director 2. ACCEPTED BY: ______________________Contractor

3. CERTIFIED FUNDS

Page 1 of 3 ends

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: March 28, 2024
PREPARED BY: Randy Chavez, Deputy Director of Public Works REQUEST: AWARD A CONTRACT TO CAL-STRIPE, INC., FOR ON-CALL CITYWIDE

STREET AND BIKE LANE STRIPING IMPROVEMENTS IN AN ANNUAL AMOUNT NOT TO EXCEED $450,000 (MST00002)
RECOMMENDATION:

1. Award a 27-month contract to Cal-Stripe, Inc. for On-call Citywide Street and Bike Lane Striping Improvements in an annual amount not to exceed $450,000, with the option of two, one-year extensions.

2. Authorize the City Manager to review and approve written contract amendment and change order requests for unanticipated conditions per Section 3.30.170 of the Palm Desert Municipal Code.

3. Authorize the City Attorney to make any necessary non-monetary changes to the agreement.

4. Authorize the City Manager to execute the agreement and any documents necessary to effectuate the actions taken herewith.

BACKGROUND/ANALYSIS:

To ensure the safety and functionality of City roadways and parking lots, annual contracting for striping services remains an integral component of our infrastructure maintenance efforts.

As part of this commitment, on January 24, 2024, the City released a Request For Proposal (RFP) for on-call striping services. This encompasses all public sites in Palm Desert needing new striping or re-striping, including bike lanes, roadways, and parking lots. The scope also incorporates repainting of red curbs throughout various streets citywide. While previous services have been on a project basis, the City is opting for an on-call basis to provide greater flexibility and efficiency.

The City received three proposals from companies by the deadline of February 22, 2024. The companies submitting proposals include:

Company Location
Cal-Stripe, Inc. Colton, CA
Superior Pavement Marking Inc. Cypress, CA
PCI Azuza, CA
A Selection Committee comprising of three staff members from the Public Works and Capital Projects Departments reviewed the proposals. The proposals were reviewed for clarity and conformance with the guidelines, content of the proposal, experience and performance, comments by references, and fee proposal (range of costs). As demonstrated below, all three 1041
City of Palm Desert
(On-call Street and Bike Lane Striping)

Page 2 of 3 ends

companies provided the necessary information and satisfactorily fulfilled the essential criteria required in this RFP.

Criteria Cal-Stripe Superior Pavement PCI
Clarity and Conformance X X X
Proposal Content X X X
Experience and Performance X X X
References X X X
Fee Proposal X X X
Following an evaluation, the Committee proposes awarding a contract to Cal-Stripe, Inc. for oncall services. Cal-Stripe, Inc. (Contractor) best demonstrated clarity and conformance and understood exactly the request of this RFP. Despite the pre-bid meeting being optional, the Contractor displayed their dedication by being the only contractor in attendance, underscoring their commitment to understanding the project's scope. The Contractor also demonstrated extensive experience to further solidify the recommendation.

Although pricing among companies were generally competitive, the Contractor offered many rates that are favorable when compared to the other companies. It's worth noting that effectively comparing costs presents challenges due to the contract's on-call nature rather than a low-bid structure, leading to fluctuations in line-item expenses. Notwithstanding, staff identified many line items as favorable, underscoring the contractor’s grasp of the service scope.

For instance, given the significant upcoming red curb repainting, the Contractor offered the most favorable costs for preparation and painting. In addition, the Contractor offers free mobilization for work exceeding $5,000, a condition highly favorable for the City, considering that most work falls within this bracket. In contrast, other contractors do not offer this, with mobilization costs ranging from $1,250 to $4,750 (depending on the scope of service). The cost proposal displays the Contractor’s comprehension of the project, likely demonstrated by their attendance at the pre-proposal meeting.

Lastly, the City conducted a thorough reference check on Contractor, receiving commendable feedback on their past performance, reliability, punctuality in project completion, delivery of highquality work, and overall client satisfaction.

Legal Review:

This report has been reviewed by the City Attorney’s Office.

FINANCIAL IMPACT:

Funds in the amount of $300,000 are included in the approved Capital Improvement Project (CIP) List for Fiscal Year (FY) 2023-24 for the Citywide Street Striping and Lane Improvements Project. Funding for the Bike Lane Striping Project was included under Year 2 (FY 2024-25) of the CIP List; however, for economies of scale, the two projects were advertised as one project.

Only funds available in this fiscal year will be encumbered at this time, so no appropriation is necessary. Staff will budget accordingly for future years during the annual budget approval process.
1042
City of Palm Desert
(On-call Street and Bike Lane Striping)

Page 3 of 3 ends

The Citywide Street and Bike Lane Improvements Project (MST00002) funding is as follows:

Project Account FY 23/24 Budget FY 23/24 Cost Future Years Citywide Street Striping and Lane
Improvements (MST00002)
2134315-4332000 $300,000 $300,000 $300,000
Bike Lane Striping (MST00004) 2134633-5000204 $0.00 $0.00 $150,000 Total $300,000 $300,000 $450,000
The project is funded under Measure A Funds; therefore, there is no financial impact on the general fund beyond project administrative costs.

ATTACHMENTS:

1. Agreement

2. Bonds
1043
Revised 11-2-20
BBK 72500.00001\32374943.1
- 1 -

CITY OF PALM DESERT

MAINTENANCE SERVICES AGREEMENT

1. Parties and Date. This Agreement No. C47350 is made and entered into this 28th day of March, 2024, 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, (“City”) and Cal-Stripe, a Corporation, with its principal place of business at 2040 East Steel Road, Colton, CA 92324 ("Vendor"). The City and Vendor are sometimes individually referred to herein as "Party" and collectively as "Parties."

2. Recitals.

2.1 Contractor.

Contractor desires to perform and assume responsibility for the provision of certain maintenance services required by the City on the terms and conditions set forth in this Agreement.

Contractor represents that it is experienced in providing maintenance services to public clients, that it and its subcontractors have all necessary licenses and permits to perform the services in the State of California, and that it is familiar with the plans of City. Contractor shall not subcontract any portion of the work required by this Agreement, except as expressly stated herein, without prior written approval of City. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement.

2.2 Project.

The City is a public agency of the State of California and is in need of services for the following project:

On-Call Citywide Street and Bike Lane Striping Project
Project No. MST00002
(hereinafter referred to as “the Project”).

3. Terms.

3.1 Scope of Services and Term.

3.1.1 General Scope of Services. Contractor promises and agrees to furnish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately supply the maintenance services necessary for the Project (“Services”).

The Services are more particularly described in Exhibit “A” attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state, and federal laws, rules and regulations.

3.1.2 Term. The term of this Agreement shall be from April 1, 2024, to June 30, 2026, unless earlier terminated as provided herein. The City shall have the unilateral option, at its sole discretion, to renew this Agreement automatically for no more than two (2) additional oneyear terms. Contractor shall complete the Services within the term of this Agreement and shall meet any other established schedules and deadlines. The Parties may, by mutual, written consent, extend the term of this Agreement if necessary to complete the Services.

3.2 Responsibilities of Contractor.

3.2.1 Control and Payment of Subordinates; Independent Contractor. The Services shall be performed by Contractor or under its supervision. Contractor will determine the means, methods, and details of performing the Services subject to the requirements of this Agreement. City retains Contractor on an independent contractor basis and not as an employee.

Any personnel performing the Services under this Agreement on behalf of Contractor shall not be DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1044
Contract No. C47350
2 employees of City and shall at all times be under Contractor’s exclusive direction and control.

Contractor shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Contractor shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers’ compensation insurance.

3.2.2 Schedule of Services. Contractor shall perform the Services in a prompt and timely manner in accordance with the Schedule of Services set forth in Exhibit “B” attached hereto and incorporated herein by reference. Contractor represents that it has the professional and technical personnel required to perform the Services in conformance with such conditions. Upon request of City, Contractor shall provide a more detailed schedule of anticipated performance to meet the Schedule of Services.

3.2.3 Conformance to Applicable Requirements. All work prepared by Contractor shall be subject to the approval of City.

3.2.4 City’s Representative. The City hereby designates Bassam AL-Beitawi, or his or her designee, to act as its representative for the performance of this Agreement (“City’s Representative”). City’s Representative shall have the power to act on behalf of the City for all purposes under this Agreement except for increasing compensation. Contractor shall not accept direction or orders from any person other than the City’s Representative or his or her designee.

3.2.5 Contractor’s Representative. Contractor hereby designates Adam Lippa, or his or her designee, to act as its representative for the performance of this Agreement (“Contractor’s Representative”). Contractor’s Representative shall have full authority to represent and act on behalf of the Contractor for all purposes under this Agreement. The Contractor’s Representative shall supervise and direct the Services, using his best skill and attention, and shall be responsible for all means, methods, techniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement.

3.2.6 Coordination of Services. Contractor agrees to work closely with City staff in the performance of Services and shall be available to City’s staff, consultants, and other staff at all reasonable times.

3.2.7 Standard of Care; Performance of Employees. Contractor shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Contractor represents and maintains that it is skilled in the professional calling necessary to perform the Services. Contractor warrants that all employees and subcontractors shall have sufficient skill and experience to perform the Services assigned to them. Finally, Contractor represents that it, its employees, and subcontractors have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, including a City Business License, and that such licenses and approvals shall be maintained throughout the term of this Agreement. Contractor shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Contractor’s failure to comply with the standard of care provided for herein.

Any employee of the Contractor or its sub-contractors who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Contractor and shall not be re-employed to perform any of the Services or to work on the Project.

DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1045
Contract No. C47350
3 3.2.8 Period of Performance. Contractor shall perform and complete all Services under this Agreement within the term set forth in Section 3.1.2 above (“Performance Time”).

Contractor shall perform the Services in strict accordance with any completion schedule or Project milestones described in Exhibits “A” or “B” attached hereto, or which may be provided separately in writing to the Contractor. Contractor agrees that if the Services are not completed within the aforementioned Performance Time and/or pursuant to any such completion schedule or Project milestones developed pursuant to provisions of this Agreement, it is understood, acknowledged and agreed that the City will suffer damage.

3.2.9 Disputes. Should any dispute arise respecting the true value of any work done, of any work omitted, or of any extra work which Contractor may be required to do or respecting the size of any payment to Contractor during the performance of this Contract, Contractor shall continue to perform the Work while said dispute is decided by the City. If Contractor disputes the City’s decision, Contractor shall have such remedies as may be provided by law.

3.2.10 Laws and Regulations; Employee/Labor Certifications. Contractor shall keep itself fully informed of and in compliance with all local, state, and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Contractor shall be liable for all violations of such laws and regulations in connection with the Services and this Agreement. All violations of such laws and regulations shall be grounds for the City to terminate the Agreement for cause. City is a public entity of the State of California subject to certain provisions of the Health & Safety Code, Government Code, Public Contract Code, and Labor Code of the State. It is stipulated and agreed that all provisions of the law applicable to the public contracts of a municipality are a part of this Agreement to the same extent as though set forth herein and will be complied with.

3.2.10.1 Employment Eligibility; Contractor. Contractor 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 and shall require all subconsultants and subsubconsultants to comply with the same. Contractor certifies that it has not committed a violation of any such law within the five (5) years immediately preceding the date of execution of this Agreement and shall not violate any such law at any time during the term of the Agreement.

3.2.10.2 Labor Certification. By its signature hereunder, Contractor 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.

3.2.10.3 Equal Opportunity Employment. Contractor represents that it is an equal opportunity employer, and it shall not discriminate against any subcontractor, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Contractor shall comply with all relevant provisions of City’s Minority Business Enterprise program, Affirmative Action Plan or other related programs or guidelines currently in effect or hereinafter enacted.

3.2.10.4 Air Quality. Contractor must fully comply with all applicable laws, rules and regulations in furnishing or using equipment and/or providing services, including, but DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1046
Contract No. C47350
4 not limited to, emissions limits and permitting requirements imposed by the California Air Resources Board (CARB). Contractor shall specifically be aware of the CARB limits and requirements’ application to “portable equipment”, which definition is considered by CARB to include any item of equipment with a fuel-powered engine. Contractor shall indemnify City against any fines or penalties imposed by CARB or any other governmental or regulatory agency for violations of applicable laws, rules and/or regulations by Contractor, its subcontractors, or others for whom Contractor is responsible under its indemnity obligations provided for in this Agreement.

3.2.10.5 Water Quality Management and Compliance. To the extent applicable, Contractor’s Services must account for, and fully comply with, all local, state and federal laws, rules and regulations that may impact water quality compliance, including, without limitation, all applicable provisions of the Federal Water Pollution Control Act (33 U.S.C. §§ 1300); the California Porter-Cologne Water Quality Control Act (Cal Water Code §§ 13000-14950); laws, rules and regulations of the Environmental Protection Agency and the State Water Resources Control Board; the City’s ordinances regulating discharges of storm water; and any and all regulations, policies, or permits issued pursuant to any such authority regulating the discharge of pollutants, as that term is used in the Porter-Cologne Water Quality Control Act, to any ground or surface water in the State. Failure to comply with the laws, regulations and policies described in this Section is a violation of law that may subject Contractor to penalties, fines, or additional regulatory requirements.

3.2.11 Insurance.

3.2.11.1 Minimum Requirements. Without limiting Contractor’s indemnification of City, and prior to commencement of the Services, Contractor shall obtain, provide, and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form that is satisfactory to City. (A) General Liability Insurance. Contractor shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, personal injury, and property damage. 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. Contractor shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Contractor arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, nonowned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident. The City’s Risk Manager may modify this requirement if it is determined that Consultant will not be utilizing a vehicle in the performance of his/her duties under this Agreement. (C) Umbrella or Excess Liability Insurance. Contractor may opt to utilize umbrella or excess liability insurance in meeting insurance requirements. In such circumstances, Contractor may obtain and maintain an umbrella or excess liability insurance policy with limits that will provide bodily injury, personal injury, and property damage liability coverage at least as broad as the primary coverages set forth above, including commercial general liability and employer’s liability. Such policy or policies shall include the following terms and conditions:
(a) A drop-down feature requiring the policy to
respond if any primary insurance that would
DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1047
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5 otherwise have applied proves to be uncollectible in
whole or in part for any reason;
(b) Pay on behalf of wording as opposed to
reimbursement;
(c) Concurrency of effective dates with primary
policies; and
(d) Policies shall “follow form” to the underlying
primary policies.
(e) Insureds under primary policies shall also be
insureds under the umbrella or excess policies.
(D) Workers’ Compensation Insurance. Contractor shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000). Contractor shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers, and representatives. (E) Fidelity Coverage. [RESERVED]
(F) Cyber Liability Insurance. [RESERVED]
(G) Pollution Liability Insurance. Environmental Impairment Liability Insurance shall be written on a Contractor’s Pollution Liability form or other form acceptable to the City providing coverage for liability arising out of sudden, accidental, and gradual pollution and remediation. The policy limit shall be no less than $1,000,000 dollars per claim and in the aggregate. All activities contemplated in this Agreement shall be specifically scheduled on the policy as “covered operations”. The policy shall provide coverage for the hauling of waste from the Project site to the final disposal location, including non-owned disposal sites.

3.2.11.2 Other Provisions and Requirements.
(A) Proof of Insurance. Contractor shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers’ compensation. Insurance certificates and endorsements must be approved by City’s Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this contract.

City reserves the right to require complete, certified copies of all required insurance policies, at any time.
(B) Duration of Coverage. Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the work hereunder by Contractor, his/her agents, representatives, employees, or subconsultants. (C) Primary/Non-Contributing. Coverage provided by Contractor shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1048
Contract No. C47350
6 and non-contributory basis for the benefit of City before the City’s own insurance or self-insurance shall be called upon to protect it as a named insured.
(D) City’s Rights of Enforcement. In the event any policy of insurance required under this Agreement does not comply with these specifications, or is canceled and not replaced, City has the right, but not the duty, to obtain the insurance it deems necessary, and any premium paid by City will be promptly reimbursed by Contractor, or City will withhold amounts sufficient to pay premium from Contractor payments. In the alternative, City may cancel this Agreement.
(E) Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the City’s Risk Manager.
(F) Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers, and representatives, or shall specifically allow Contractor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers, and representatives, and shall require similar written express waivers and insurance clauses from each of its subcontractors. (G) Enforcement of Contract Provisions (non estoppel). Contractor acknowledges and agrees that any actual or alleged failure on the part of the City to inform Contractor of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder.
(H) Requirements Not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Contractor maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.
(I) Notice of Cancellation. Contractor agrees to oblige its insurance agent or broker and insurers to provide City with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage.
(J) Additional Insured Status. General liability, automobile liability, and if applicable, pollution liability and cyber liability, policies shall provide or be endorsed to provide that the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers, and representatives, shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies.

DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1049
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7 (K) Prohibition of Undisclosed Coverage Limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing.
(L) Separation of Insureds. A severability of interests provision must apply for all additional insureds ensuring that Contractor’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions. (M) Pass Through Clause. Contractor agrees to ensure that its subconsultants, sub-contractors, and any other party involved with the Project who is brought onto or involved in the project by Contractor, provide the same minimum insurance coverage and endorsements required of Contractor. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Contractor agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the Project will be submitted to City for review. (N) City’s Right to Revise Specifications. 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 required by giving the Contractor ninety (90) days advance written notice of such change. If such change results in cost to the Contractor, the City and Contractor may renegotiate Contractor’s compensation. If the City reduces the insurance requirements, the change shall go into effect immediately and require no advanced written notice. (O) Self-Insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City.
(P) Timely Notice of Claims. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor’s performance under this Agreement, and that involve or may involve coverage under any of the required liability policies.
(Q) Additional Insurance. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the work.

3.2.12 Safety. Contractor shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Contractor shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, but shall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.

DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1050
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8 3.2.13 Bonds.

3.2.13.1 Performance Bond. If required by law or otherwise specifically requested by City in Exhibit “C” attached hereto and incorporated herein by reference, Contractor shall execute and provide to City concurrently with this Agreement a Performance Bond in the amount of the total, not-to-exceed compensation indicated in this Agreement, and in a form provided or approved by the City. If such bond is required, no payment will be made to Contractor until it has been received and approved by the City.

3.2.13.2 Payment Bond. If required by law or otherwise specifically requested by City in Exhibit “C” attached hereto and incorporated herein by reference, Contractor shall execute and provide to City concurrently with this Agreement a Payment Bond in the amount of the total, not-to-exceed compensation indicated in this Agreement, and in a form provided or approved by the City. If such bond is required, no payment will be made to Contractor until it has been received and approved by the City.

3.2.13.3 Bond Provisions. Should, in City’s sole opinion, any bond become insufficient, or any surety be found to be unsatisfactory, Contractor shall renew or replace the affected bond within ten (10) days of receiving notice from City. In the event the surety or Contractor intends to reduce or cancel any required bond, at least thirty (30) days prior written notice shall be given to the City, and Contractor shall post acceptable replacement bonds at least ten (10) days prior to expiration of the original bonds. No further payments shall be deemed due or will be made under this Agreement until any replacement bonds required by this Section are accepted by the City. To the extent, if any, that the total compensation is increased in accordance with the Agreement, the Contractor shall, upon request of the City, cause the amount of the bonds to be increased accordingly and shall promptly deliver satisfactory evidence of such increase to the City. To the extent available, the bonds shall further provide that no change or alteration of the Agreement (including, without limitation, an increase in the total compensation, as referred to above), extensions of time, or modifications of the time, terms, or conditions of payment to the Contractor, will release the surety. If the Contractor fails to furnish any required bond, the City may terminate this Agreement for cause.

3.2.13.4 Surety Qualifications. Only bonds executed by an admitted surety insurer, as defined in Code of Civil Procedure Section 995.120, shall be accepted. The surety must be a California-admitted surety with a current A.M. Best’s rating no less than A:VIII and satisfactory to the City. If a California-admitted surety insurer issuing bonds does not meet these requirements, the insurer will be considered qualified if it is in conformance with Section 995.660 of the California Code of Civil Procedure, and proof of such is provided to the City.

3.2.14 Accounting Records. Contractor shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Contractor shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant to this Agreement. Contractor shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement.

3.2.15 Work Sites.

3.2.15.1 Inspection of Site. Contractor shall visit sites where Services are to be performed and shall become acquainted with all conditions affecting the Services prior to commencing the Services. Contractor shall make such examinations as it deems necessary to determine the condition of the work sites, its accessibility to materials, workmen and equipment, DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1051
Contract No. C47350
9 and to determine Contractor’s ability to protect existing surface and subsurface improvements.

No claim for allowances–time or money–will be allowed as to such matters after commencement of the Services.

3.2.15.2 Field Measurements. Contractor shall make field measurements, verify field conditions, and shall carefully compare such field measurements and conditions and other information known to Contractor with the Contract, including any plans, specifications, or scope of work before commencing Services. Errors, inconsistencies, or omissions discovered shall be reported to the City immediately and prior to performing any Services or altering the condition.

3.2.15.3 Hazardous Materials and Differing Conditions. Should Contractor encounter material reasonably believed to be polychlorinated biphenyl (PCB) or other toxic wastes, hazardous substances and hazardous materials as defined in California state or federal law at the site which have not been rendered harmless, the Contractor shall immediately stop work at the affected area and shall report the condition to the City in writing. The City shall contract for any services required to directly remove and/or abate PCBs, hazardous substances, other toxic wastes, and hazardous materials, and shall not require the Contractor to subcontract for such services. The Services in the affected area shall not thereafter be resumed except by written agreement of the City and Contractor.

3.2.16 Loss and Damage. Contractor shall be responsible for all loss and damage which may arise out of the nature of the Services agreed to herein, or from the action of the elements, or from any unforeseen difficulties which may arise or be encountered in the prosecution of the Services until the same is fully completed and accepted by City.

3.2.17 Warranty. Contractor warrants all Services under the Agreement (which for purposes of this Section shall be deemed to include unauthorized work which has not been removed and any non-conforming materials incorporated into the work) to be of good quality and free from any defective or faulty material and workmanship. Contractor agrees that for a period of one year (or the period of time specified elsewhere in the Agreement or in any guarantee or warranty provided by any manufacturer or supplier of equipment or materials incorporated into the work, whichever is later) after the date of final acceptance, Contractor shall within ten (10) days after being notified in writing by the City of any defect in the Services or non-conformance of the Services to the Agreement, commence and prosecute with due diligence all Services necessary to fulfill the terms of the warranty at its sole cost and expense. Contractor shall act sooner as requested by the City in response to an emergency. In addition, Contractor shall, at its sole cost and expense, repair and replace any portions of the work (or work of other contractors) damaged by its defective Services or which becomes damaged in the course of repairing or replacing defective work. For any work so corrected, Contractor’s obligation hereunder to correct defective work shall be reinstated for an additional one (1) year period, commencing with the date of acceptance of such corrected work. Contractor shall perform such tests as the City may require to verify that any corrective actions, including, without limitation, redesign, repairs, and replacements comply with the requirements of the Agreement. All costs associated with such corrective actions and testing, including the removal, replacement, and reinstitution of equipment and materials necessary to gain access, shall be the sole responsibility of the Contractor. All warranties and guarantees of subcontractors, suppliers, and manufacturers with respect to any portion of the work, whether express or implied, are deemed to be obtained by Contractor for the benefit of the City, regardless of whether or not such warranties and guarantees have been transferred or assigned to the City by separate agreement and Contractor agrees to enforce such warranties and guarantees, if necessary, on behalf of the City. In the event that Contractor fails to perform its obligations under this Section, or under any other warranty or guaranty under this Agreement, to the reasonable satisfaction of the City, the City shall have the right to correct and DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1052
Contract No. C47350
10 replace any defective or non-conforming work and any work damaged by such work or the replacement or correction thereof at Contractor's sole expense. Contractor shall be obligated to fully reimburse the City for any expenses incurred hereunder upon demand.

3.3 Fees and Payments.

3.3.1 Compensation. Contractor shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit “C” attached hereto and incorporated herein by reference. The total annual compensation shall not exceed FOUR HUNDRED FIFTY THOUSAND DOLLARS ($450,000) per Fiscal Year without written approval of the City Council or City Manager, as applicable.

3.3.2 Payment of Compensation. Contractor shall submit to City monthly invoices which provides a detailed description of the Services and hours rendered by Contractor. City shall, within thirty (30) days of receiving such statement, review the statement and pay all non-disputed and approved charges. Contractor shall submit its final invoice to City within thirty (30) days from the last date of provided Services or termination of this Agreement and failure by the Contractor to submit a timely invoice shall constitute a waiver of its right to final payment. Payment shall not constitute acceptance of any Services completed by Contractor. The making of final payment shall not constitute a waiver of any claims by the City for any reason whatsoever.

3.3.3 Deductions. City may deduct or withhold, as applicable, from each progress payment an amount necessary to protect City from loss because of: (1) stop payment notices as allowed by state law; (2) unsatisfactory prosecution of the Services by Contractor; (3) sums representing expenses, losses, or damages as determined by the City, incurred by the City for which Contractor is liable under the Agreement; and (4) any other sums which the City is entitled to recover from Contractor under the terms of the Agreement or pursuant to state law, including Section 1727 of the California Labor Code. The failure by the City to deduct any of these sums from a progress payment shall not constitute a waiver of the City's right to such sums.

3.3.4 Reimbursement for Expenses. Contractor shall not be reimbursed for any expenses unless authorized in writing by City.

3.3.5 Extra Work. At any time during the term of this Agreement, City may request that Contractor perform Extra Work. As used herein, “Extra Work” means any work which is determined by City to be necessary for the proper completion of the Project, but which the parties did not reasonably anticipate would be necessary at the execution of this Agreement. Contractor shall not perform, nor be compensated for, Extra Work without written authorization from City’s Representative.

3.3.6 Prevailing Wages. Contractor is aware of the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., (“Prevailing Wage Laws”), which require the payment of prevailing wage rates and the performance of other requirements on “public works” and “maintenance” projects. If the Services are 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, Contractor agrees to fully comply with such Prevailing Wage Laws. City shall provide Contractor with a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement. Contractor shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Services available to interested parties upon request and shall post copies at the Contractor’s principal place of business and at the Project site. Contractor shall defend, indemnify, and hold the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers and DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1053
Contract No. C47350
11 representatives free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. It shall be mandatory upon the Contractor and all subcontractors to comply with all California Labor Code provisions, which include but are not limited to prevailing wages (Labor Code Sections 1771, 1774 and 1775), employment of apprentices (Labor Code Section 1777.5), certified payroll records (Labor Code Sections 1771.4 and 1776), hours of labor (Labor Code Sections 1813 and 1815) and debarment of contractors and subcontractors (Labor Code Section 1777.1). The requirement to submit certified payroll records directly to the Labor Commissioner under Labor Code section 1771.4 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Section 1771.4.

3.3.7 Registration/DIR Compliance. If the Services are being performed as part of an applicable “public works” or “maintenance” project, and if the total compensation is $15,000 or more, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Contractor and all subcontractors performing such Services must be registered with the Department of Industrial Relations. Contractor shall maintain registration for the duration of the Project and require the same of any subcontractors, as applicable. This Project may also be subject to compliance monitoring and enforcement by the Department of Industrial Relations. It shall be Contractor’s sole responsibility to comply with all applicable registration and labor compliance requirements.

Any stop orders issued by the Department of Industrial Relations against Contractor or any subcontractor that affect Contractor’s performance of Services, including any delay, shall be Contractor’s sole responsibility. Any delay arising out of or resulting from such stop orders shall be considered Contractor caused delay and shall not be compensable by the City. Contractor shall defend, indemnify, and hold the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers, and representatives free and harmless from any claim or liability arising out of stop orders issued by the Department of Industrial Relations against Contractor or any subcontractor.

3.4 Termination of Agreement.

3.4.1 Grounds for Termination. City may, by written notice to Contractor, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Contractor of such termination, and specifying the effective date thereof, at least seven (7) days before the effective date of such termination. Upon termination, Contractor shall be compensated only for those Services which have been adequately rendered to City, and Contractor shall be entitled to no further compensation. Contractor may not terminate this Agreement except for cause.

3.4.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Contractor to provide all finished or unfinished information of any kind prepared by Contractor in connection with the performance of Services under this Agreement. Contractor shall be required to provide such document and other information within fifteen (15) days of the request.

3.4.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated.

3.5 General Provisions.

3.5.1 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose:

DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1054
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12 Contractor: CAL-STRIPE, INC.
2040 EAST STEEL ROAD Colton, CA 92324
COLTON, CA 92324
ATTN: ADAM LIPPA
City: City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, CA 92260-2578
ATTN: BASSAM AL-BEITAWAI
Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.

3.5.2 Indemnification.

3.5.2.1 Scope of Indemnity. To the fullest extent permitted by law, Contractor shall defend, indemnify and hold the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers and representatives free and harmless from any and all claims, demands, causes of action, suits, actions, proceedings, costs, expenses, liability, judgments, awards, decrees, settlements, loss, damage or injury of any kind, in law or equity, regardless of whether the allegations are false, fraudulent, or groundless, 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 Contractor, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Services, the Project or this Agreement, including without limitation the payment of all expert witness fees, attorneys’ fees and other related costs and expenses except such Claims caused by the sole or active negligence or willful misconduct of the City.

3.5.2.2 Additional Indemnity Obligations. Contractor shall defend, with counsel of City’s choosing and at Contractor’s own cost, expense, and risk, any and all Claims covered by this section that may be brought or instituted against the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers and representatives. In addition, Contractor shall pay and satisfy any judgment, award or decree that may be rendered against the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers, and representatives as part of any such claim, suit, action, or other proceeding.

Contractor shall also reimburse City for the cost of any settlement paid by the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers, and representatives as part of any such claim, suit, action, or other proceeding. Such reimbursement shall include payment for City’s attorney’s fees and costs, including expert witness fees.

Contractor shall reimburse the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers, and representatives, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided.

Contractor’s obligation to indemnify shall survive expiration or termination of this Agreement, and shall not be restricted to insurance proceeds, if any, received by the Contractor, the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers, and representatives.

3.5.3 Governing Law; Government Code Claim Compliance. This Agreement shall be governed by the laws of the State of California. Venue shall be in Riverside County. In addition to any and all Agreement requirements pertaining to notices of and requests for compensation or DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1055
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13 payment for extra work, disputed work, claims and/or changed conditions, Contractor must comply with the claim procedures set forth in Government Code sections 900 et seq. prior to filing any lawsuit against the City. Such Government Code claims, and any subsequent lawsuit based upon the Government Code claims shall be limited to those matters that remain unresolved after all procedures pertaining to extra work, disputed work, claims, and/or changed conditions have been followed by Contractor. If no such Government Code claim is submitted, or if any prerequisite contractual requirements are not otherwise satisfied as specified herein, Contractor shall be barred from bringing and maintaining a valid lawsuit against the City.

3.5.4 Time of Essence. Time is of the essence for each and every provision of this Agreement.

3.5.5 City’s Right to Employ Other Contractors. City reserves right to employ other contractors in connection with this Project.

3.5.6 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the parties.

3.5.7 Assignment or Transfer. Contractor shall not assign, hypothecate, or transfer, either directly or by operation of law, this Agreement or any interest herein without the prior written consent of the City. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer.

3.5.8 Construction; References; Captions. 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. Any term referencing time, days or period for performance shall be deemed calendar days and not workdays. All references to Contractor include all personnel, employees, agents, and subcontractors of Contractor, except as otherwise specified in this Agreement. All references to the City include its elected or appointed officers, and their respective agents, officials, employees, volunteers, and representatives except as otherwise specified in this Agreement. The captions of the various articles and 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.

3.5.9 Amendment; Modification. No supplement, modification or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties.

3.5.10 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel or otherwise.

3.5.11 No Third-Party Beneficiaries. Except to the extent expressly provided for in Section 3.5.7, there are no intended third-party beneficiaries of any right or obligation assumed by the Parties.

3.5.12 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.

3.5.13 Prohibited Interests. Contractor maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1056
Contract No. C47350
14 for Contractor, to solicit or secure this Agreement. Further, Contractor warrants that it has not paid, nor has it agreed to pay any company or person, other than a bona fide employee working solely for Contractor, any fee, commission, percentage, brokerage fee, gift, or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer, or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

3.5.14 Cooperation; Further Acts. The Parties shall fully cooperate with one another and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement.

3.5.15 Authority to Enter Agreement. Contractor has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party.

3.5.16 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original.

3.5.17 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings, or agreements. This Agreement may only be modified by a writing signed by both parties.
[SIGNATURES ON NEXT PAGE]
DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1057
Contract No. C47350
Exhibit “C”

SIGNATURE PAGE TO MAINTENANCE SERVICES AGREEMENT

BY AND BETWEEN THE CITY OF PALM DESERT

AND CAL-STRIPE, INC
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:

Isra Shah
Best Best & Krieger LLP
City Attorney

CAL-STRIPE, A CORPORATION
By:

Rudy Zavalani
President
By:

Cheryl Zavalani
Secretary
Contractor’s License Number and
Classification
DIR Registration Number (if applicable)
QC: MN
Insurance:
_____
Initial Review
_____
Final Approval
_____
Bonds
General Engineering Class A CA # 685387
1000001100
DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1058
Contract No. C47350
Exhibit “A”
Revised 01-2024
BBK 72500.00001\32374915.1
EXHIBIT “A”

SCOPE OF SERVICES
See following pages
DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1059
4-24-2023-SF
February 22, 2024
Introduction:

Cal Stripe Inc. has been a California licensed contractor since 1994. During our time in business, we have maintained and performed all aspects of striping installation, removals as well as integrating the newest technology available within our trade.

Once a designated scope of work is assigned, our project manager will provide a highlighted map of the area, as well as a budgetary number based on the unit pricing provided. This will give the city a better understanding of what can be accomplished as well as what will be included.

We will assign one of our Superintendents, Dave Carter, or Rick Zamora to manage and oversee the project.

Our Project Manager and Estimator, Adam Lippa will provide the budget, coinciding maps and consulting services. All their contact information is provided on our contact page.

Page 1 of 7 ends

2040 East Steel Road, Colton Ca 92324
Phone: (909) 884-7170 Fax (909) 884-7106
Cell: (909) 206-7206
General Engineering Class A CA # 685387
DIR# 1000001100
Signatory to Laborers Union Local 1184
ESTIMATOR / PM: Adam Lippa
Email: [email protected]
DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1060

CHANGES OR DELETIONS OF ANY ITEMS OR TERMS MUST BE APPROVED PRIOR TO BID TIME CAL STRIPE - ESTIMATOR: ADAM LIPPA
Experience and Technical Competence:

Cal Stripe Inc. maintains a Class A, General Engineering License (#685387), since 1994, and expiring on 1/31/2026. This license allows us to provide a full and vast variety of striping, marking and sign contracting services, all in house, without any subcontractors.

See a copy of the pocket version of the license provided.

Cal Stripe Inc. has maintained a backlog of projects ranging from citywide restripes, to highway and freeway reconfigurations. Cal Stripe also serves as a backbone contractor within the airport and military contracting community providing airfield marking installation and removal services.

All of our equipment is CARB compliant, and meets all of California requirements to be roadworthy, and dependable equipment. With a fleet of over 75 trucks and pieces of equipment, we supply our own back up if the equipment happens to be down for maintenance.

Cal Stripe carries a bonding capacity of single limit of $20 million, and an aggregate limit of $50 million, through Liberty Mutual located in Orange, California.

Cal Stripe also has a General Liability capacity of $5 million for various types of projects, both as a subcontractor and a prime contractor.

Page 2 of 7 ends

DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1061

CHANGES OR DELETIONS OF ANY ITEMS OR TERMS MUST BE APPROVED PRIOR TO BID TIME CAL STRIPE - ESTIMATOR: ADAM LIPPA
Staffing / Key Personnel:

Provided is a list of our Staff and Key Office Personnel that will assist in this type of project. 1) Dave Carter / Superintendent / 909-841-8110 / [email protected] 2) Rick Zamora / Superintendent / 951-201-5523 / [email protected] 3) Joseph / Scheduler / 909-884-7170 / [email protected] 4) Lorraine Manzanares / Contracts Dept. / 909-884-7170 / [email protected] 5) Jane Toothman / Payroll / 909-884-7170 / [email protected] 6) Adam Lippa / Estimator/ Project Manager / 909-884-7170 / [email protected] 7) Bo Boisvert / Jr. Estimator / 909-856-9200 / [email protected] 8) Steve Pierce / Operations Manager / 909-262-2144 / [email protected] 9) Greg Works / General Operations / 909-841-8876 / [email protected] 10) Norma Axel / Billing, General Information / 909-884-7106 - [email protected]

Page 3 of 7 ends

DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1062

CHANGES OR DELETIONS OF ANY ITEMS OR TERMS MUST BE APPROVED PRIOR TO BID TIME CAL STRIPE - ESTIMATOR: ADAM LIPPA
Vendor References:

1. PPG / Ennis Flint, Inc. / Angela Flynt
4161 Piedmont Pkwy, Suite 370
Greensboro, NC 27410
(800) 331-8118

2. Traffic Logix / Jim Merrill
3 Harriett Lane
Spring Valley, NY 10977
(866) 915-6449

3. RoadMax Road Products / Jason, Glen
14567 Rancho Vista Dr.

Fontana, CA 92335
909-559-4134

4. Swarco Road Marking Systems
8637 SE Morrison
Portland, OR 97216
503-421-5227

Page 4 of 7 ends

DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1063

CHANGES OR DELETIONS OF ANY ITEMS OR TERMS MUST BE APPROVED PRIOR TO BID TIME CAL STRIPE - ESTIMATOR: ADAM LIPPA
Completed Projects within the Last 3 Years:

Project Owner: Contractor: Location / Name: Contact
Number:

Value:

CALTRANS 06-0Q2804 Caltrans (Prime) RT.99 & 178

RECONSTRUCT LANES
& SHOULDERS
(925) 932-7900
(925) 932-0500
$2,253,000.00
City of Lancaster City of Lancaster
(Prime)
Slow Street Imps. (661) 723-6000 $153,000.00
City of San Bernardino City of San Bernardino
(Prime)
FY 2022-2023 Citywide
Restriping
(909) 384-5045 $270,000.00
Ontario Int. Airport Coffman Spec. Runway 8R/26L Rehab (858) 536-3100 $485,000.00 Riverside County Riverside County
(Prime)
County-Wide RPM
Replacement
(951) 955-6804 $180,000.00
City of Redlands Matich Corp. PMP 2022 Street
Resurfacing
(909) 382-7400 $425,000.00
City of Palm Desert Matich Corp. Fred Waring Street Rehab (909) 382-7400 $42,495.00 City of Laquinta / Indio (JV) PMI Slurry Seal of Jefferson St and Other Roads
(760) 603-0961 $680,000.00
MCAS Miramar Romero Q4 Rubber Removal and
Runway Restripe
(760) 781-3646 $165,000.00
CVAG Ames Construction CV Link Segment 1 (602) 431-2111 $715,000.00

Page 5 of 7 ends

DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1064

CHANGES OR DELETIONS OF ANY ITEMS OR TERMS MUST BE APPROVED PRIOR TO BID TIME CAL STRIPE - ESTIMATOR: ADAM LIPPA
Subcontractors:
- With Cal Stripe’s vast equipment and staff of over 50 Laborers, all signatory to LIUNA 1184, all services will be conducted with our own forces.

Page 6 of 7 ends

DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1065

CHANGES OR DELETIONS OF ANY ITEMS OR TERMS MUST BE APPROVED PRIOR TO BID TIME CAL STRIPE - ESTIMATOR: ADAM LIPPA
Proposed Method of Work:
• Once a segment of work is issued by the City of Palm Desert, Adam will provide a budgetary price, based on unit pricing per the RFP. Included with the price will be a map highlighting the area and scope of work to be performed. This will enable the city to follow our progress, and this will provide an on-track price for said scopes of work. A preconstruction meeting will always be welcomed and encouraged to ensure the city is receiving the management it needs to complete the project or task at hand.
• A “Mobilization / Move-In” will only be applied to Work Order value of under $5000.00. • All units provided are considered to be restriping of existing stripe and or markings. The city must determine whether it will be thermoplastic or traffic paint materials. • The current 6” details, per 2018 Caltrans Standards will be implemented. • A baseline schedule will be provided to allow the city to properly track and inspect the work, as needed.
• All pricing provided is complete, in place, including equipment, materials, labor and taxes included. • When curb painting is required, Cal Stripe will clean prep and or scrape the existing loose flaking paint and dirt off the surface. Once it is cleaned, it will be repainted according to the city’s requirement.
• The green preformed thermoplastic Bike Lane Markings will be per City Std 205, following the manufacturer’s installation instructions.
• The green preformed Sharrow marking will be per City Std. 205H, following the manufacturer’s instructions.
• When the city requires removals, it will be required to determine the method. Either by grinding, or waterblasting. Since AQMD and Caltrans doesn’t allow dry sandblasting, this method will not be used, due to the silica sand content.
o If Grinding is preferred, Cal Stripe will use a Shibeci Polyplaner and a street sweeper, with water to contain the debris. Once debris is contained, it will be properly disposed of at a local waste facility.
o If the waterblasting method is preferred, Cal Stripe will use its Stripe Hog SH8000 Blaster Unit. The water must be disposed of in a washout pit or a clean sewer drain, and the solids will be disposed of at a local waste facility. o Neither method includes any hazardous testing and or disposal of any kind. o If the city cannot provide an area for dumping of solid grinding removal debris, the item for disposal will be applied.

Page 7 of 7 ends

DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1066
Contract No. C47350
Exhibit “B”
Revised 01-2024
BBK 72500.00001\32374915.1
EXHIBIT “B”

SCHEDULE OF SERVICES
This contract is for on-call services from April 1, 2024, to June 30, 2026, unless earlier terminated as provided herein.

DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1067
Contract No. C47350
Exhibit “C”
Revised 01-2024
BBK 72500.00001\32374915.1
EXHIBIT “C”

COMPENSATION
Year 1
• Services shall be rendered on a task order basis from April 1, 2024, to June 30, 2024. • Not to exceed $300,000
Year 2
• Services shall be rendered on a task order basis from July 1, 2024, to June 30, 2025. • Not to exceed $450,000
Year 3
• Services shall be rendered on a task order basis from July 1, 2025, to June 30, 2026. • Not to exceed $450,000
DocuSign Envelope ID: F73103DC-883B-44FD-8812-2D50E5222A72 1068
TASK ORDER QUOTATION 1: School Zones X-Walks and Markings May 30, 2024 CAL STRIPE JOB NO.: 24029
PROJECT DESCRIPTION: Citywide Maintenance Service Contract CONTACT: Bassam / Chris / David
PRIME CONTRACTOR NAME: City of Palm Desert
PRIME CONTRACTORS JOB NUMBER: MST0000(564-23) / C4350

1. Cal Stripe Inc.’s extra work proposal is good for 30 days only.

2. If this proposal is accepted, it is to be incorporated as an exhibit to the Contract or purchase order.

3. An executed change order or a signed purchase order, is required prior to any work being scheduled for this proposal.

4. Owner to provide payment for all completed work in accordance with the extra work pricing schedule. Payments must be received in full by Cal Stripe no later than 30 calendar days. No Retention will be held from the payment.

5. Any required Testing, Engineering, Design, Permits, Licenses or Applications, and the like to be provided by others.

6. Prices are based on Documents, Lists, Plans & Specifications submitted by the Owner

7. All proposed extra work must be directed by the Owner in writing prior to Cal Stripe performing this work.

8. For the purpose of this Task Order, one (1) move-in is considered to be a period of consecutive eight (8) hour days of continuous work, not including holidays. Any discontinuities in this period, other than holidays, or for our own convenience, will be charged as an additional move-in at the Addition Move-in Charge as quoted herein.

9. Traffic control plans are not included.

10. If Contractor requires a Bond, the Prime Contractor shall pay for the cost of the bond.

11. Cal Stripe carries $5,000,000.00 of insurance coverage only. Additional coverage required by Prime to be paid by Prime Contractor.

Additional Term(s):

A. The following materials and services are included in this quote: Re-Paint Existing Markings [YES] – Paint Existing X-Walks [YES] – Convert Standard 12” to 24” Crosswalk Bars [YES] – Removals of Any Kind [NO] – Sweeping Prior to Install [NO] B. [1] Total move-ins that are included in this quote for Permanent Striping. Additional move in charge $ 5000.00 ea.

Page 1 of 3 ends

CAL STRIPE INC.
2040 E. Steel Road
Colton, CA. 92324
Phone: (909) 884-7170
Fax: (909) 884-7106
Cell: (909)206-7206
General Engineering Class A
Ca. Lic.# 685387
Signatory Laborers Union Local No.1184
ESTIMATOR: Adam Lippa
1069

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
ITEM # QTY UNITS DESCRIPTION UNIT $ TOTAL
1 9696 LF Paint 12" Crosswalk (Yellow). $2.25 $ 21,816.00 2 17884 LF Paint 24" Crosswalk (Yellow. $4.50 $ 80,478.00 3 10 EA Paint "SCHOOL" Legend (35 sqft ea) $88.00 $ 880.00 4 9 EA
Paint "SLOW SCHOOL XING Legend (79
sqft ea) $200.00 $ 1,800.00
TOTAL TASK ORDER: $ 104,974.00
Additional Terms: Cal Stripe will need approximately 15 days to complete.

Written authorization required prior to extra work commencement.

A. All terms and conditions are per Cal Stripe Inc’s. original project quote. The signer acknowledges payment terms as stated on this extra work proposal for all extra work performed.

AGREED TO AND ACCEPTED:

BY: _______________________________________ ___________________________________ (Signature) (Date)
_______________________________________
(Name and Title)

Page 2 of 3 ends

Bassam AL-Beitawi
5/31/2024
1070
Ronald Reagan Elementary
Legend
500 ft
N
➤
1071
Colonel Mitchell Paige Middle School
Legend
1000 ft
N
➤
1072
Carter Elementary
Legend
900 ft
N
➤
1073
Palm Desert High School
Legend
1000 ft
N
➤
1074
Lincoln Elementary
Legend
1000 ft
N
➤
1075
George Washington Charter School
Legend
500 ft
N
➤
1076
TASK ORDER QUOTATION 2: Red Curb Painting at Civic Center Park May 30, 2024 CAL STRIPE JOB NO.: 24029
PROJECT DESCRIPTION: Citywide Maintenance Service Contract CONTACT: Bassam / Chris / David
PRIME CONTRACTOR NAME: City of Palm Desert
PRIME CONTRACTORS JOB NUMBER: MST0000(564-23) / C4350

1. Cal Stripe Inc.’s extra work proposal is good for 30 days only.

2. If this proposal is accepted, it is to be incorporated as an exhibit to the Contract or purchase order.

3. An executed change order or a signed purchase order, is required prior to any work being scheduled for this proposal.

5. Any required Testing, Engineering, Design, Permits, Licenses or Applications, and the like to be provided by others.

6. Prices are based on Documents, Lists, Plans & Specifications submitted by the Owner

7. All proposed extra work must be directed by the Owner in writing prior to Cal Stripe performing this work.

9. Traffic control plans are not included.

10. If Contractor requires a Bond, the Prime Contractor shall pay for the cost of the bond.

11. Cal Stripe carries $5,000,000.00 of insurance coverage only. Additional coverage required by Prime to be paid by Prime Contractor.

Additional Term(s):

A. The following materials and services are included in this quote: Scrape / Clean / Repaint Red Curbs [YES] B. [1] Total move-ins that are included in this quote for Cleaning and Painting Red Curbs. Additional move in charge $3,225.00 ea.

Page 1 of 3 ends

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
ITEM # QTY UNITS DESCRIPTION UNIT $ TOTAL
Civic Center Park
1 4100 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 9,020.00 Civic Center City Hall
2 2285 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 5,027.00 3 230 LF Scrape, Clean and Repaint Existing Blue Curbs. $2.20 $ 506.00 4 200 LF Scrape, Clean and Repaint Existing Yellow Curbs. $2.20 $ 440.00 5 40 LF Scrape, Clean and Repaint Existing White Curbs. $2.20 $ 88.00 Civic Center / Parkview Office Complex
6 1590 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 3,498.00 Aquatic Center Lot
7 310 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 682.00 TOTAL TASK ORDER: $ 19,261.00
Additional Terms: Cal Stripe will need approximately __ days to complete.

Written authorization required prior to extra work commencement.

A. All terms and conditions are per Cal Stripe Inc’s. original project quote. The signer acknowledges payment terms as stated on this extra work proposal for all extra work performed.

AGREED TO AND ACCEPTED:

BY: _______________________________________ ___________________________________ (Signature) (Date)
_______________________________________
(Name and Title)

Page 2 of 3 ends

1078

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
EXHIBIT A:

Page 3 of 3 ends

1079

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
EXHIBIT A (cont.):

Page 4 of 4 ends

1080
Aquatic Center Lot
Write a description for your map.

Legend
Baseball Park
Palm Desert Swim Club
Path Measure
Path Measure
200 ft
N
➤
1081
Civic Center Park - Red Curb
Write a description for your map.

Legend
Palm Desert Civic Center Park
Path Measure
500 ft
N
➤
1082
Civic Center City Hall
Write a description for your map.

Legend
Baseball Park
Palm Desert Swim Club
Path Measure
Path Measure
200 ft
N
➤
1083
Park View Office Complex
Write a description for your map.

Legend
Baseball Park
Palm Desert Swim Club
Path Measure
Path Measure
200 ft
N
➤
1084
TASK ORDER QUOTATION 3: Red Curb Painting on El Paseo May 30, 2024 CAL STRIPE JOB NO.: 24029
PROJECT DESCRIPTION: Citywide Maintenance Service Contract CONTACT: Bassam / Chris / David
PRIME CONTRACTOR NAME: City of Palm Desert
PRIME CONTRACTORS JOB NUMBER: MST0000(564-23) / C4350

1. Cal Stripe Inc.’s extra work proposal is good for 30 days only.

2. If this proposal is accepted, it is to be incorporated as an exhibit to the Contract or purchase order.

3. An executed change order or a signed purchase order, is required prior to any work being scheduled for this proposal.

5. Any required Testing, Engineering, Design, Permits, Licenses or Applications, and the like to be provided by others.

6. Prices are based on Documents, Lists, Plans & Specifications submitted by the Owner

7. All proposed extra work must be directed by the Owner in writing prior to Cal Stripe performing this work.

9. Traffic control plans are not included.

10. If Contractor requires a Bond, the Prime Contractor shall pay for the cost of the bond.

11. Cal Stripe carries $5,000,000.00 of insurance coverage only. Additional coverage required by Prime to be paid by Prime Contractor.

Additional Term(s):

Page 1 of 3 ends

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
ITEM # QTY UNITS DESCRIPTION UNIT $ TOTAL
1 4675 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 10,285.00 2 390 LF Scrape, Clean and Repaint Gray Curbs. $2.20 $ 858.00 TOTAL TASK ORDER: $ 11,143.00
Additional Terms: Cal Stripe will need approximately __ days to complete.

Written authorization required prior to extra work commencement.

A. All terms and conditions are per Cal Stripe Inc’s. original project quote. The signer acknowledges payment terms as stated on this extra work proposal for all extra work performed.

AGREED TO AND ACCEPTED:

BY: _______________________________________ ___________________________________ (Signature) (Date)
_______________________________________
(Name and Title)

Page 2 of 3 ends

5/30/2024
Bassam AL-Beitawi, Senior Project Manager
1086

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
EXHIBIT A:

Page 3 of 3 ends

1087
El Paseo - Hwy 111 to Hwy 111 Red Curbs
Write a description for your map.

Legend
El Paseo
Untitled Polygon
3000 ft
N
➤
1088
TASK ORDER QUOTATION 7: Restripe Aquatic Ctr Parking Lot June 18, 2024 CAL STRIPE JOB NO.: 24029
PROJECT DESCRIPTION: Citywide Maintenance Service Contract CONTACT: Bassam / Chris / David
PRIME CONTRACTOR NAME: City of Palm Desert
PRIME CONTRACTORS JOB NUMBER: MST0000(564-23) / C4350

1. Cal Stripe Inc.’s extra work proposal is good for 30 days only.

2. If this proposal is accepted, it is to be incorporated as an exhibit to the Contract or purchase order.

3. An executed change order or a signed purchase order, is required prior to any work being scheduled for this proposal.

5. Any required Testing, Engineering, Design, Permits, Licenses or Applications, and the like to be provided by others.

6. Prices are based on Documents, Lists, Plans & Specifications submitted by the Owner

7. All proposed extra work must be directed by the Owner in writing prior to Cal Stripe performing this work.

9. Traffic control plans are not included.

10. If Contractor requires a Bond, the Prime Contractor shall pay for the cost of the bond.

11. Cal Stripe carries $5,000,000.00 of insurance coverage only. Additional coverage required by Prime to be paid by Prime Contractor.

Additional Term(s):

A. The following materials and services are included in this quote: Restripe of Pavement Markings / Legends [YES] – Restripe ADA Stalls [YES] – Restripe Blue and White X-Hatching Areas [YES] – Restripe Cart Stalls [YES] B. [1] Total move-ins that are included in this quote for Parking Lot Restripe. Additional move in charge $3,225.00 ea.

Page 1 of 3 ends

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
ITEM # QTY UNITS DESCRIPTION UNIT $ TOTAL
1 140 LF Paint 12" Limit Line / Crosswalk $2.25 $ 315.00 2 3 EA Paint Stop Legend. $135.00 $ 405.00
3 20 EA Paint Type I (10') Arrow. $35.00 $ 700.00
4 3 EA Paint Type IV Arrow. $45.00 $ 135.00
5 60 LF Paint Detail 21 (Double Yellow) $0.75 $ 45.00
6 5 EA Paint ADA Legend $50.00 $ 250.00
7 1358 LF Paint Blue / White 4" Stall Crosshatching Areas. $1.75 $ 2,376.50 TOTAL TASK ORDER: $ 4,226.50
Additional Terms: Cal Stripe will require 1 day for layout, removal and installation of markings and signage. This intersection will be completed in 1 shift.

Written authorization required prior to extra work commencement.

A. All terms and conditions are per Cal Stripe Inc’s. original project quote. The signer acknowledges payment terms as stated on this extra work proposal for all extra work performed.

AGREED TO AND ACCEPTED:

BY: _______________________________________ ___________________________________ (Signature) (Date)
_______________________________________
(Name and Title)

Page 2 of 3 ends

EXHIBIT A:
1090

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA

Page 3 of 3 ends

1091
Repaint all existing striping and
Pavement marking
Repaint all existing striping, pavement marking,
double yellow centerline, “STOP” legend and bar,
and crosswalk
Aquatic Center Parking Lot
1092
TASK ORDER QUOTATION 8: REVISED - Exfoliate Curb in Civic Center Lot July 1, 2024 CAL STRIPE JOB NO.: 24029
PROJECT DESCRIPTION: Citywide Maintenance Service Contract CONTACT: Bassam / Chris / David
PRIME CONTRACTOR NAME: City of Palm Desert
PRIME CONTRACTORS JOB NUMBER: MST0000(564-23) / C4350

1. Cal Stripe Inc.’s extra work proposal is good for 30 days only.

2. If this proposal is accepted, it is to be incorporated as an exhibit to the Contract or purchase order.

3. An executed change order or a signed purchase order, is required prior to any work being scheduled for this proposal.

5. Any required Testing, Engineering, Design, Permits, Licenses or Applications, and the like to be provided by others.

6. Prices are based on Documents, Lists, Plans & Specifications submitted by the Owner

7. All proposed extra work must be directed by the Owner in writing prior to Cal Stripe performing this work.

9. Traffic control plans are not included.

10. If Contractor requires a Bond, the Prime Contractor shall pay for the cost of the bond.

11. Cal Stripe carries $5,000,000.00 of insurance coverage only. Additional coverage required by Prime to be paid by Prime Contractor.

Additional Term(s):

A. The following materials and services are included in this quote: Exfoliate Existing Red Curbs [YES] B. [0] Total move-ins that are included in this quote for Cleaning and Painting Red Curbs. Additional move in charge $3,225.00 ea.

Page 1 of 3 ends

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
ITEM # QTY UNITS DESCRIPTION UNIT $ TOTAL
1 1650 LF Clean and Exfoliate Exisitng Red Curb. $6.85 $ 11,302.50 Limits of Exfoliation for this T.O. will be in Civic
Center Lot at Main Driveway to the Building
Entrance, Shown in Exhibit A, Attached.

TOTAL TASK ORDER: $ 11,302.50
Additional Terms: Cal Stripe will need approximately __ days to complete.

Written authorization required prior to extra work commencement.

A. All terms and conditions are per Cal Stripe Inc’s. original project quote. The signer acknowledges payment terms as stated on this extra work proposal for all extra work performed.

AGREED TO AND ACCEPTED:

BY: _______________________________________ ___________________________________ (Signature) (Date)
_______________________________________
(Name and Title)

Page 2 of 3 ends

Bassam AL-Beitawi - Senior Project Manager
7/1/2024
1094

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
EXHIBIT A:

Main Drive Entrance to Civic Center City Hall Areas for Work Shown in Red.

Page 3 of 3 ends

1095
Curb Area to be Exfoliated
Write a description for your map.

Legend
Civic Center
200 ft
N
➤
1096
TASK ORDER QUOTATION 9: Red Curb Painting on San Pablo June 24, 2024 CAL STRIPE JOB NO.: 24029
PROJECT DESCRIPTION: Citywide Maintenance Service Contract CONTACT: Bassam / Chris / David
PRIME CONTRACTOR NAME: City of Palm Desert
PRIME CONTRACTORS JOB NUMBER: MST0000(564-23) / C4350

1. Cal Stripe Inc.’s extra work proposal is good for 30 days only.

2. If this proposal is accepted, it is to be incorporated as an exhibit to the Contract or purchase order.

3. An executed change order or a signed purchase order, is required prior to any work being scheduled for this proposal.

5. Any required Testing, Engineering, Design, Permits, Licenses or Applications, and the like to be provided by others.

6. Prices are based on Documents, Lists, Plans & Specifications submitted by the Owner

7. All proposed extra work must be directed by the Owner in writing prior to Cal Stripe performing this work.

9. Traffic control plans are not included.

10. If Contractor requires a Bond, the Prime Contractor shall pay for the cost of the bond.

11. Cal Stripe carries $5,000,000.00 of insurance coverage only. Additional coverage required by Prime to be paid by Prime Contractor.

Additional Term(s):

A. The following materials and services are included in this quote: Scrape / Clean / Repaint Red Curbs [YES] B. [0] Total move-ins that are included in this quote for Cleaning and Painting Red Curbs. Additional move in charge $3,225.00 ea.

Page 1 of 3 ends

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
ITEM # QTY UNITS DESCRIPTION UNIT $ TOTAL
1 895 LF Scrape, Clean and Repaint Existing Red Curbs. $1.90 $ 1,700.50 TOTAL TASK ORDER: $ 1,700.50
Additional Terms: Cal Stripe will need approximately __ days to complete.

Written authorization required prior to extra work commencement.

A. All terms and conditions are per Cal Stripe Inc’s. original project quote. The signer acknowledges payment terms as stated on this extra work proposal for all extra work performed.

AGREED TO AND ACCEPTED:

BY: _______________________________________ ___________________________________ (Signature) (Date)
_______________________________________
(Name and Title)

Page 2 of 3 ends

1098

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
EXHIBIT A:

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San Pablo-Hwy 111 to El Paseo
Write a description for your map.

Legend
200 ft
N
➤
1100
TASK ORDER QUOTATION 10: Red Curb Painting on Arterial Streets July 17, 2024 CAL STRIPE JOB NO.: 24029
PROJECT DESCRIPTION: Citywide Maintenance Service Contract CONTACT: Bassam / Chris / David
PRIME CONTRACTOR NAME: City of Palm Desert
PRIME CONTRACTORS JOB NUMBER: MST0000(564-23) / C4350

1. Cal Stripe Inc.’s extra work proposal is good for 30 days only.

2. If this proposal is accepted, it is to be incorporated as an exhibit to the Contract or purchase order.

3. An executed change order or a signed purchase order, is required prior to any work being scheduled for this proposal.

5. Any required Testing, Engineering, Design, Permits, Licenses or Applications, and the like to be provided by others.

6. Prices are based on Documents, Lists, Plans & Specifications submitted by the Owner

7. All proposed extra work must be directed by the Owner in writing prior to Cal Stripe performing this work.

9. Traffic control plans are not included.

10. If Contractor requires a Bond, the Prime Contractor shall pay for the cost of the bond.

11. Cal Stripe carries $5,000,000.00 of insurance coverage only. Additional coverage required by Prime to be paid by Prime Contractor.

Additional Term(s):

3/30/2023 rev. SF
CAL STRIPE INC.
2040 E. Steel Road
Colton, CA. 92324
Phone: (909) 884-7170
Fax: (909) 884-7106
Cell: (909)206-7206
General Engineering Class A
Ca. Lic.# 685387
Signatory Laborers Union Local No.1184
ESTIMATOR: Adam Lippa
1101

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
ITEM # QTY UNITS DESCRIPTION UNIT $ TOTAL
HWY 74 to Monterey
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 5000 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 11,000.00 Monterey Ave to Dinah Shore
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 36000 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 79,200.00 HWY 111
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 19000 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 41,800.00 Fred Waring
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 6700 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 14,740.00 72 160 LF Scrape, Clean and Repaint Existing Yellow Curbs. $2.20 $ 352.00 Portola
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 8600 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 18,920.00 72 200 LF Scrape, Clean and Repaint Existing Yellow Curbs. $2.20 $ 440.00 Cook St
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 5800 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 12,760.00 Hovley Lane East
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 5000 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 11,000.00 Country Club Drive
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 8500 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 18,700.00 Frank Sinatra
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 3200 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 7,040.00 Gerald Ford
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 1600 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 3,520.00 Dinah Shore
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 600 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 1,320.00 El Dorado
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 1400 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 3,080.00 Washington Ave
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 1100 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 2,420.00 72 200 LF Scrape, Clean and Repaint Existing Yellow Curbs. $2.20 $ 440.00 Hovley Lane West
71 4 HR Street Sweeping Service $195.00 $ 780.00
72 1350 LF Scrape, Clean and Repaint Existing Red Curbs. $2.20 $ 2,970.00 TOTAL TASK ORDER: $ 240,622.00
Additional Terms: Cal Stripe will need approximately __ days to complete.

Written authorization required prior to extra work commencement.

A. All terms and conditions are per Cal Stripe Inc’s. original project quote. The signer acknowledges payment terms as stated on this extra work proposal for all extra work performed.

AGREED TO AND ACCEPTED:

BY: _______________________________________ ___________________________________ (Signature) (Date)
_______________________________________
(Name and Title)
1102
1103
TASK ORDER QUOTATION 11 – 3rd Rev: San Pablo Clean Specialty Cross Walks July 31, 2024 CAL STRIPE JOB NO.: 24029
PROJECT DESCRIPTION: Citywide Maintenance Service Contract CONTACT: Bassam / Chris / David
PRIME CONTRACTOR NAME: City of Palm Desert
PRIME CONTRACTORS JOB NUMBER: MST0000(564-23) / C4350

1. Cal Stripe Inc.’s extra work proposal is good for 30 days only.

2. If this proposal is accepted, it is to be incorporated as an exhibit to the Contract or purchase order.

3. An executed change order or a signed purchase order, is required prior to any work being scheduled for this proposal.

5. Any required Testing, Engineering, Design, Permits, Licenses or Applications, and the like to be provided by others.

6. Prices are based on Documents, Lists, Plans & Specifications submitted by the Owner

7. All proposed extra work must be directed by the Owner in writing prior to Cal Stripe performing this work.

9. Traffic control plans are not included.

10. If Contractor requires a Bond, the Prime Contractor shall pay for the cost of the bond.

11. Cal Stripe carries $5,000,000.00 of insurance coverage only. Additional coverage required by Prime to be paid by Prime Contractor.

Additional Term(s):

A. The following materials and services are included in this quote: Scrape / Clean / Repaint Red Curbs [YES] – Disposal of Water [NO] – Repainting of Any Kind [NO]
B. [1] Total move-ins that are included in this quote for Cleaning. Additional move in charge $3,225.00 ea.

C. City must provide meter to fill truck with water.

D. City must provide yard, field to dump water after cleaning.

Page 1 of 3 ends

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
ITEM # QTY UNITS DESCRIPTION UNIT $ TOTAL
1 1 LS Mobilization / Flagging Operation for Traffic Control. $3,225.00 $ 3,225.00 Clean Specialty Crosswalks at Non-Signalized Intersections 6 6180 SQFT
Cleaning of Existing Pavement Markings by
Waterblasting. $1.07 $ 6,612.60
San Pablo Mid-Block #1
San Pablo Mid-Block #2
San Pablo n/o Catalina
San Pablo at Alessandro
San Pablo at HWY 111
City must provide area to dump the water.

TOTAL TASK ORDER: $ 9,837.60
Additional Terms: Cal Stripe will need approximately __ days to complete.

Written authorization required prior to extra work commencement.

A. All terms and conditions are per Cal Stripe Inc’s. original project quote. The signer acknowledges payment terms as stated on this extra work proposal for all extra work performed.

AGREED TO AND ACCEPTED:

BY: _______________________________________ ___________________________________ (Signature) (Date)
_______________________________________
(Name and Title)

Page 2 of 3 ends

Bassam AL-Beitawi, Sr. Project Manager
8/8/2024
1105

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
EXHIBIT A:

Page 3 of 3 ends

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1113
TASK ORDER QUOTATION 13 – Magnesia Falls / Rutledge School Zone Red Curbs August 13, 2024
CAL STRIPE JOB NO.: 24029
PROJECT DESCRIPTION: Citywide Maintenance Service Contract CONTACT: Bassam / Chris / David
PRIME CONTRACTOR NAME: City of Palm Desert
PRIME CONTRACTORS JOB NUMBER: MST0000(564-23) / C4350

1. Cal Stripe Inc.’s extra work proposal is good for 30 days only.

2. If this proposal is accepted, it is to be incorporated as an exhibit to the Contract or purchase order.

3. An executed change order or a signed purchase order, is required prior to any work being scheduled for this proposal.

5. Any required Testing, Engineering, Design, Permits, Licenses or Applications, and the like to be provided by others.

6. Prices are based on Documents, Lists, Plans & Specifications submitted by the Owner

7. All proposed extra work must be directed by the Owner in writing prior to Cal Stripe performing this work.

9. Traffic control plans are not included.

10. If Contractor requires a Bond, the Prime Contractor shall pay for the cost of the bond.

11. Cal Stripe carries $5,000,000.00 of insurance coverage only. Additional coverage required by Prime to be paid by Prime Contractor.

Additional Term(s):

A. The following materials and services are included in this quote: Gray Out Conflicting Curbs [YES] – Re-Paint Red Curbs [YES] – Repaint White Curbs [YES] B. [1] Total move-ins that are included in this quote for Curb Painting. Additional move in charge $3,225.00 ea.

Page 1 of 3 ends

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
ITEM # QTY UNITS DESCRIPTION UNIT $ TOTAL
Magnesia Falls / Rutledge School Zone Red Curbs
72 2485 LF Repaint Red Curbs. $2.20 $ 5,467.00
72 470 LF Repaint White Curbs. $2.20 $ 1,034.00
72 395 LF Paint / Gray Out Curbs. $2.20 $ 869.00
TOTAL TASK ORDER: $ 7,370.00
Additional Terms: Cal Stripe will need approximately __ days to complete.

Written authorization required prior to extra work commencement.

A. All terms and conditions are per Cal Stripe Inc’s. original project quote. The signer acknowledges payment terms as stated on this extra work proposal for all extra work performed.

AGREED TO AND ACCEPTED:

BY: _______________________________________ ___________________________________ (Signature) (Date)
_______________________________________
(Name and Title)

Page 2 of 3 ends

Bassam AL-Beitawi -Sr. Project Manager
8/13/2024
1115

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
EXHIBIT A:

Page 3 of 3 ends

1116
Lincoln ES - Red / White Curbs
Write a description for your map.

Legend
Abraham Lincoln Elementary
100 ft
N
➤
1117
1118
Palm Desert Charter MS Red / White Curbs
Write a description for your map.

Legend
Path Measure
Path Measure
100 ft
N
➤
1119
TASK ORDER QUOTATION 14 – Red Curbs at School X-Walks August 21, 2024 CAL STRIPE JOB NO.: 24029
PROJECT DESCRIPTION: Citywide Maintenance Service Contract CONTACT: Bassam / Chris / David
PRIME CONTRACTOR NAME: City of Palm Desert
PRIME CONTRACTORS JOB NUMBER: MST0000(564-23) / C4350

1. Cal Stripe Inc.’s extra work proposal is good for 30 days only.

2. If this proposal is accepted, it is to be incorporated as an exhibit to the Contract or purchase order.

3. An executed change order or a signed purchase order, is required prior to any work being scheduled for this proposal.

5. Any required Testing, Engineering, Design, Permits, Licenses or Applications, and the like to be provided by others.

6. Prices are based on Documents, Lists, Plans & Specifications submitted by the Owner

7. All proposed extra work must be directed by the Owner in writing prior to Cal Stripe performing this work.

9. Traffic control plans are not included.

10. If Contractor requires a Bond, the Prime Contractor shall pay for the cost of the bond.

11. Cal Stripe carries $5,000,000.00 of insurance coverage only. Additional coverage required by Prime to be paid by Prime Contractor.

Additional Term(s):

A. The following materials and services are included in this quote: Re-Paint Red Curbs [YES] B. [1] Total move-ins that are included in this quote for Curb Painting. Additional move in charge $3,225.00 ea. 3/30/2023 rev. SF
CAL STRIPE INC.
2040 E. Steel Road
Colton, CA. 92324
Phone: (909) 884-7170
Fax: (909) 884-7106
Cell: (909)206-7206
General Engineering Class A
Ca. Lic.# 685387
Signatory Laborers Union Local No.1184
ESTIMATOR: Adam Lippa
1120

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
ITEM # QTY UNITS DESCRIPTION UNIT $ TOTAL
Repaint 20' of Red CurbOn Each Side of Yellow X-Walks within School Zones 72 2700 LF Repaint Red Curbs. $2.20 $ 5,940.00
Palm Desert Charter School and Lincoln E.S Was
Already Completed on Another Project.

TOTAL TASK ORDER: $ 5,940.00
Additional Terms: Cal Stripe will need approximately __ days to complete.

Written authorization required prior to extra work commencement.

A. All terms and conditions are per Cal Stripe Inc’s. original project quote. The signer acknowledges payment terms as stated on this extra work proposal for all extra work performed.

AGREED TO AND ACCEPTED:

BY: _______________________________________ ___________________________________ (Signature) (Date)
_______________________________________
(Name and Title)
8/21/2024
Bassam AL-Beitawi - Sr. Project Manager
1121
Ronald Reagan Elementary
Legend
500 ft
N
➤
1122
Colonel Mitchell Paige Middle School
Legend
1000 ft
N
➤
1123
Carter Elementary
Legend
900 ft
N
➤
1124
Lincoln Elementary
Legend
1000 ft
N
➤
1125
Palm Desert High School
Legend
1000 ft
N
➤
1126
George Washington Charter School
Legend
500 ft
N
➤
1127
TASK ORDER QUOTATION 15 – Fire Hydrant Red Curbs
August 22, 2024
CAL STRIPE JOB NO.: 24029
PROJECT DESCRIPTION: Citywide Maintenance Service Contract CONTACT: Bassam / Chris / David
PRIME CONTRACTOR NAME: City of Palm Desert
PRIME CONTRACTORS JOB NUMBER: MST0000(564-23) / C4350

1. Cal Stripe Inc.’s extra work proposal is good for 30 days only.

2. If this proposal is accepted, it is to be incorporated as an exhibit to the Contract or purchase order.

3. An executed change order or a signed purchase order, is required prior to any work being scheduled for this proposal.

5. Any required Testing, Engineering, Design, Permits, Licenses or Applications, and the like to be provided by others.

6. Prices are based on Documents, Lists, Plans & Specifications submitted by the Owner

7. All proposed extra work must be directed by the Owner in writing prior to Cal Stripe performing this work.

9. Traffic control plans are not included.

10. If Contractor requires a Bond, the Prime Contractor shall pay for the cost of the bond.

11. Cal Stripe carries $5,000,000.00 of insurance coverage only. Additional coverage required by Prime to be paid by Prime Contractor.

Additional Term(s):

A. The following materials and services are included in this quote: Re-Paint Existing Red Curbs [YES] B. [1] Total move-ins that are included in this quote for Curb Painting. Additional move in charge $3,225.00 ea.

CHANGES OR DELETIONS OF ANY ITEM MUST BE APPROVED PRIOR TO BID TIME ESTIMATOR: ADAM LIPPA
ITEM # QTY UNITS DESCRIPTION UNIT $ TOTAL
Repaint 30' of Red Curbs, 15' On Center at Each Fire Hydrant 72 6120 LF Repaint Red Curbs. $2.20 $ 13,464.00
There are approximatley 203 Fire Hydrants on the arterial streets only.

Hydrants on residential streets are not included in this Task Order.

TOTAL TASK ORDER: $ 13,464.00
Additional Terms: Cal Stripe will need approximately __ days to complete.

Written authorization required prior to extra work commencement.

A. All terms and conditions are per Cal Stripe Inc’s. original project quote. The signer acknowledges payment terms as stated on this extra work proposal for all extra work performed.

AGREED TO AND ACCEPTED:

BY: _______________________________________ ___________________________________ (Signature) (Date)
_______________________________________
(Name and Title)
Bassam AL-Beitawi - Sr. Project Manager
9/24/2024
1129
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Page 1 of 4 ends

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: February 13, 2025
PREPARED BY: Eric Ceja, Director of Economic Development SUBJECT: APPROVAL OF THE ESTABLISHMENT OF THE CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT 2025-1 (SHADOW RIDGE PUBLIC

SERVICES) AND LEVY OF A SPECIAL TAX FOR SERVICES AND

CONDUCT A SPECIAL ELECTION
RECOMMENDATION:

1. Open the public hearing and take testimony, if any, regarding the formation of the Community Facilities District 2025-1 (“District”).

2. Following the public hearing, in the absence of a majority protest, consider the following:
a. Adopt a Resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF PALM DESERT, CALIFORNIA, DETERMINING THE VALIDITY OF PRIOR

PROCEEDINGS, FORMING THE CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (SHADOW RIDGE PUBLIC SERVICES), AUTHORIZING THE

LEVY OF A SPECIAL TAX THEREIN, ESTABLISHING AN APPROPRIATIONS LIMIT, AND TAKING CERTAIN OTHER ACTIONS RELATING TO SAID DISTRICT.” b. Adopt a Resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF PALM DESERT, CALIFORNIA, ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF THE CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (SHADOW RIDGE PUBLIC SERVICES) CALLING A SPECIAL LANDOWNER

ELECTION RELATING TO THE LEVY OF A SPECIAL TAX THEREIN AND THE ESTABLISHMENT OF AN APPROPRIATIONS LIMIT.”

3. Conduct the Special Election and Canvass results, and consider the following:
a. Adopt a Resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF PALM DESERT, CALIFORNIA, ACTING IN ITS CAPACITY AS THE LEGISLATIVE BODY OF THE CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (SHADOW RIDGE PUBLIC SERVICES) DECLARING THE RESULTS OF A

SPECIAL LANDOWNER ELECTION RELATING TO THE LEVY OF A SPECIAL TAX THEREIN AND THE ESTABLISHMENT OF AN APPROPRIATIONS LIMIT.” b. Introduce an Ordinance entitled, “AN ORDINANCE OF THE CITY COUNCIL OF THE

CITY OF PALM DESERT, CALIFORNIA, ACTING IN ITS CAPACITY AS THE

LEGISLATIVE BODY OF THE PALM DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (SHADOW RIDGE PUBLIC SERVICES) AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN SAID DISTRICT.”
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City of Palm Desert
Shadow Ridge CFD Public Hearing

Page 2 of 4 ends

BACKGROUND/ANALYSIS:

On January 25, 2024, the City Council approved an amendment to Development Agreement 98- 1 (the “DA”), allowing the sale of 18+ acres to Toll Brothers for the development of a 93-home subdivision within the Marriott Shadow Ridge Golf Club. As part of this amendment, Toll Brothers is required to form a CFD over the property to offset certain public safety and service costs. Toll Brothers has received all entitlement approvals for this development and is in the process of recording their final map. The formation of the CFD over this property satisfies the conditions of the amended DA.

To facilitate this requirement, on December 10, 2024, Brookfield Holdings (Shadow) LLC, the owner of all of the property within the District, submitted a Petition and Waiver to request the formation of the District pursuant to the Mello-Roos Community Facilities Act of 1982 (Cal. Gov.

Code, § 53311 et seq.) (“Act”) in order to provide a method of financing specified public services to serve the District and to pay all costs associated with forming the District. In addition, all of the landowners within the District waived certain notice and election requirements in order to allow for expedited proceedings.

On January 9, 2025, the City Council adopted Resolution No. 2025-001 (the “Resolution of Intention”) declaring the City Council’s intention to establish the District and to authorize the levy of a special tax in accordance with the Rate and Method of Apportionment of Special Tax attached as Exhibit B to the Resolution of Intention (the “Rate and Method”). The Resolution of Intention was the initial step for forming the District pursuant to the procedures prescribed by the Act, which include holding a public hearing and submitting the formation of the proposed District to the landowners at a special election to be conducted following the conclusion of the public hearing. The Resolution of Intention set February 13, 2025, as the date of public hearing. Notice of the public hearing was published in accordance with the Act. The Resolution of Intention also directed Staff to prepare and file a report on the proposed District that describes the Services and includes an estimate of the cost of providing the Services.

Subsequent to the adoption of Resolution No. 2025-001, and as required by the Act, the Boundary Map was recorded with the Riverside County Recorder’s office on January 28, 2025.

The purpose of the District is to mitigate the adverse fiscal impacts on municipal services associated with new development projects, including residential developments. Unlike Development Impact Fees which provide funding for initial infrastructure costs only, the District is intended to pay for ongoing municipal services to serve the District.

As permitted by the Act, the specified Services to be financed through the District are specified in Exhibit A to the Resolution of Intention, and include the following:
· Law enforcement services;
· Maintenance of parks, parkways and open space;
· Maintenance of streets and roadways;
· Flood and storm protection services; and
· Other eligible services permitted by the Act.
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Shadow Ridge CFD Public Hearing

Page 3 of 4 ends

The Services will be financed through the annual levy of special taxes against the taxable properties in the District. As specified in Section C of the Rate and Method, the proposed initial maximum annual special tax for each Assessor’s Parcel of Developed Property in its Base Year shall be $2,200. Such maximum annual special tax shall be subject to an escalator of 2% per year.

The specific format that must be followed for the formation of the District includes the following steps. At the public hearing, the City Council will hear any testimony concerning the District.

Section 53325 of the Act provides that the City Council may modify the Resolution of Intention (Resolution No. 2025-001) by:

1. Eliminating proposed Services;

2. Changing the rate or method of apportionment so as to reduce the maximum special tax for all or a portion of the owners of property within the proposed District or by removing territory from the proposed District; or

3. Removing territory from the proposed district.

After the closing of the public hearing, the City Council may adopt Resolution 2025-__ (Attachment No. 1), approving the formation of the District and the levy of the special tax, subject to a special election, if written protests have not been filed by the owners of one-half or more of the area of land within the proposed District and not exempt from the special tax.

Following the formation of the District, the City Council may call a special election by the landowners within the District by adopting Resolution No. 2025-__ (Attachment No. 2). Each landowner has one vote for each acre, or portion thereof, owned by the landowner. The City Council may call such election for February 13, 2025. The City Council may levy the special tax if two-thirds of the votes cast at the special election are in favor of levying the special tax. The landowner’s ballot will be opened and the votes tallied by the City Clerk at the City Council meeting.

Following the vote, and assuming the election is successful, the City Council is requested to consider Resolution No. 2025- __ (Attachment No. 3), which is a resolution declaring the results of the Special Election in the District and directs the recording of a Notice of Special Tax Lien, and introduce Ordinance No.___ (Attachment No. 4), which is an ordinance establishing the levy of the special tax.

Should the City Council adopt the Resolutions described above and introduce the Ordinance, the City Council City Clerk will subsequently record the Notice of Special Tax Lien with the Riverside County Recorder’s Office. A second reading of the Ordinance will be scheduled for the February 27, 2025, regular City Council meeting date.

Legal Review:

This report was prepared by the City’s bond counsel, Nossaman, LLP. 1145
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Shadow Ridge CFD Public Hearing

Page 4 of 4 ends

FINANCIAL IMPACT:

The proposed District will provide the funding mechanism for the Services through the levy of an annual special tax, commencing with Fiscal Year 2025-26. The individual property owners within the District will be responsible for the annual payments of special taxes levied within the District.

CFD No. 2025-1 will be fiscally self-sustaining. Ongoing administration fees will be paid by owners of properties included in CFD No. 2025-1 through the levy of annual special taxes.

Properties within CFD No. 2025-1 are subject to the Annual Special Tax Requirement as described in the Rate and Method of Apportionment.

ATTACHMENTS:

1. Resolution No. 2025-______ - Establishing the District

2. Resolution No. 2025-______ - Calling Special Election

3. Resolution No. 2025-______ - Declaring Results of the Election

4. Ordinance No. _______ - Levying Special Tax

5. Shadow Ridge City Council Report – January 9, 2025

6. City Council Resolution 2025-001 – Shadow Ridge CFD
1146
1 RESOLUTION NO. _____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PALM DESERT, CALIFORNIA, ACTING IN ITS CAPACITY

AS THE LEGISLATIVE BODY OF THE CITY OF PALM
DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1
(SHADOW RIDGE PUBLIC SERVICES) CALLING A

SPECIAL LANDOWNER ELECTION RELATING TO THE

LEVY OF A SPECIAL TAX THEREIN AND THE

ESTABLISHMENT OF AN APPROPRIATIONS LIMIT
WHEREAS, on January 9, 2025, the City Council of the City of Palm Desert adopted Resolution No. 2025-001 (the “Resolution of Intention”), stating its intention to form City of Palm Desert Community Facilities District No. 2025-1 (Shadow Ridge Public Services) (the “CFD”) pursuant to Chapter 2.5 of Part 1 of Division 2 of Title 5, commencing with Section 53311, of the California Government Code (the “Act”); and WHEREAS, the Resolution of Intention, incorporating a map of the proposed boundaries of the CFD , and stating the services to be provided, and the rate and method of apportionment of the special tax to be levied within the CFD to pay for the services, is on file with the City Clerk and the provisions of the Resolution of Intention are incorporated herein by this reference as if fully set forth herein; and WHEREAS, on February 13, 2025, the City Council held a public hearing as required by the Act relative to the proposed formation of the CFD; and WHEREAS, at the hearing, all interested persons desiring to be heard on all matters pertaining to the formation of the CFD, the services to be provided therein and the levy of such special tax were heard and a full and fair hearing was held; and WHEREAS, no written protests have been filed with the City Clerk by 50% or more of the registered voters residing within the territory of the CFD, or property owners that own one-half or more of the area of land within the CFD, and not exempt from the proposed special taxes; and
WHEREAS, on February 13, 2025, the City Council of the City of Palm Desert adopted a resolution entitled “A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF PALM DESERT DETERMINING THE VALIDITY OF PRIOR PROCEEDINGS, FORMING THE CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (SHADOW RIDGE PUBLIC SERVICES), AUTHORIZING THE LEVY OF A

SPECIAL TAX THEREIN, ESTABLISHING AN APPROPRIATIONS LIMIT, AND TAKING CERTAIN OTHER ACTIONS RELATING TO SAID DISTRICT” (the “Resolution of Formation”), ordering the formation of the CFD, defining the public services (the “Services”) to be provided by the CFD, authorizing the levy of a special tax on property within the CFD and preliminarily establishing an appropriations limit for the CFD, all pursuant to the Act; and
1147
2 WHEREAS, pursuant to the provisions of the Resolution of Formation, the propositions of the levy of the special tax and the establishment of the appropriations limit shall be submitted to the qualified electors of the CFD as required by the provisions of the Act.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT,

ACTING AS LEGISLATIVE BODY OF THE CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (SHADOW RIDGE PUBLIC SERVICES) DOES HEREBY RESOLVE AS FOLLOWS:

1. Recitals. The City Council finds and determines that all the foregoing recitals are true and correct and incorporated herein.

2. Special Tax. Except for property within the CFD that is exempt, wholly or partially, from the levy of the special tax specified in the rate and method of apportionments of special tax attached to the Resolution of Formation as Exhibit B, the whole of the property within the CFD shall pay for the Services pursuant to the levy of special tax authorized by the Resolution of Formation.

3. Issues Submitted. Pursuant to the Act, the issues of the levy of the special tax and the establishment of the appropriations limit shall be submitted to the qualified electors (as defined below) of the CFD at an election called therefor as provided below.

4. Qualified Electors. The City Council hereby finds that fewer than 12 persons have been registered to vote within the territory of the CFD for each of the 90 days preceding the close of the public hearings heretofore conducted and concluded by the City Council for the purposes of these proceedings. Accordingly, and pursuant to Section 53326 of the Act, the City Council finds that, for these proceedings, the qualified electors are the landowners within the CFD and that the vote shall be by such landowners or their authorized representatives, each having one vote for each acre or portion thereof such landowner owns in the CFD as of the close of the public hearing.

5. Conduct of Election. The City Council hereby calls a special election to consider the issues described in Section 3, above, which election shall be held on February 13, 2025, and the results thereof canvassed at the meeting of the City Council on February 13, 2025. The City Clerk is hereby designated as the official to conduct the election and to receive all ballots until 4:00 p.m. (PST), on the election date. The voter ballot shall be returned to the office of the City Clerk at 73-510 Fred Waring Drive, Palm Desert, California 92260. It is hereby acknowledged that the City Clerk has on file the Resolution of Formation, a map of the boundaries of the CFD, and a sufficient description to allow the City Clerk to determine the electors of the CFD. Pursuant to Section 53327 of the Act, the election shall be conducted by messenger or mail-delivered ballot pursuant to Section 4000 of the California Elections Code. The City Council hereby finds that paragraphs (a), (b), (c) (1) and (c)(3) of Section 4000 are applicable to this special election, except that Sections 53326 and 53327 of the Act shall govern for purposes of determining the date of the election.
1148
3 6. Ballot. As authorized by Section 53353.5 of the Act, the issues described in Section 3 above shall be combined into a single ballot measure, the form of which as attached hereto as Exhibit A is hereby approved. The City Clerk is hereby authorized and directed to cause a ballot, in substantially the form of Exhibit A, to be delivered to each of the qualified electors of the CFD. Each ballot shall indicate the number of votes to be voted by the respective landowner to which the ballot pertains. Each ballot shall be accompanied by all supplies and written instructions necessary for the use and return of the ballot. The envelope to be used to return the ballot shall be enclosed with the ballot, have the return postage prepaid, and contain the following: (a) the name and address of the landowner, (b) a declaration, under penalty of perjury, stating that the voter is the owner of record or authorized representative of the landowner entitled to vote and is the person whose name appears on the envelope, (c) the printed name, signature and address of the voter, (d) the date of signing and place of execution of the declaration pursuant to clause (b) above, and (e) a notice that the envelope contains an official ballot.

7. Waivers. The City Council hereby further finds that the provisions of Section 53326 of the Act requiring a minimum of 90 days following the adoption of the Resolution of Formation to elapse before the special election are for the protection of the qualified electors of the CFD. There is on file with the City Clerk a written waiver executed by all the qualified electors of the CFD allowing for a shortening of the time for the special election to expedite the process of formation of the CFD and waiving any requirement for notice, analysis and arguments in connection with the election. Accordingly, the City Council finds and determines that the qualified electors have been fully apprised of and have agreed to the shortened time for the election and waiver of analysis and arguments, and have thereby been fully protected in these proceedings. The City Council also finds and determines that the City Clerk has concurred in the shortened time for the election.

Analysis and arguments with respect to the ballot measures are hereby waived, as provided in Section 53327 of the Act.

8. Accountability. Pursuant to and in compliance with the provisions of Government Code Section 50075.1, the City Council hereby establishes the following accountability measures pertaining to the levy by the CFD of the special tax:
a. Such special tax shall be levied for the specific purposes set forth herein.
b. The proceeds of the levy of such special tax shall be applied only to the specific purposes set forth herein.
c. The CFD shall establish an account or accounts into which the proceeds of such special tax shall be deposited.
d. The Director of Finance, or their designee, acting for an on behalf of the CFD, shall annually file a report with the City Council as required pursuant to Government Code Section 50075.3
1149
4 9. Effective Date. The City Clerk shall certify the adoption of this Resolution.

This Resolution shall take effect upon its adoption.

PASSED, APPROVED and ADOPTED by the City Council of the City of Palm Desert, California, on this 13th day of February, 2025, by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

JAN C. HARNICK
MAYOR
ATTEST:

ANTHONY J. MEJIA

CITY CLERK
1150
A-5

EXHIBIT A

OFFICIAL BALLOT

SPECIAL ELECTION

CITY OF PALM DESERT
COMMUNITY FACILITIES DISTRICT NO. 2025-1
(SHADOW RIDGE PUBLIC SERVICES)
This ballot is for a special landowner election. This ballot is provided to the following owner of land within the City of Palm Desert Community Facilities District No. 2025-1 (Shadow Ridge Public Services) (the “District”):

Name of Landowner
APN(s) of Parcel(s)
Owned
Total Number of
Acres Owned Total Votes

BROOKFIELD

HOLDINGS (SHADOW)
LLC
694-290-010
694-290-011
694-320-010
694-320-011
694-290-009 (portion)
694-320-008 (portion)

17.01 18
The District is formed pursuant to the Mello-Roos Community Facilities Act of 1982, as amended, set forth in California Government Code Section 53311 et seq. (the “Act”).

Pursuant to the Act, the above-named Landowner is entitled to cast the number of votes shown above under the heading “Total Votes,” representing the total votes (one vote for each acre or portion thereof) for the property owned by the Landowner.

In order to be counted, this ballot must be executed below and returned in the enclosed postage paid envelope to the office of the City Clerk of the City of Palm Desert, as the elections official, for receipt no later than 4:00 p.m. on February 13, 2025, either by mail or in person. The City Clerk’s office is located at 73-510 Fred Waring Drive, Palm Desert, California, 92260.

To vote, mark a cross (X) in the voting square after the word “YES” or after the word “NO”.

All marks otherwise made are forbidden and make the ballot void. If you wrongly mark, tear, or deface this ballot, return it to the City Clerk to obtain a replacement ballot. 1151
A-6
PROPOSITION A: Shall a special tax be levied annually on taxable property within the City of Palm Desert Community Facilities District No. 2025-1 (Shadow Ridge Public Services) (the “CFD”), in an amount and in accordance with the rate and method attached as an exhibit to the Resolution of Intention of the CFD adopted by the City Council on January 9, 2025 (the “Resolution”), commencing in the City’s fiscal year 2025-26, to pay for the municipal services for the CFD, as described in the Resolution, and to pay expenses incidental thereto and to the levy and collection of the special taxes; and establish an annual appropriations limit for the CFD at an amount equal to all the proceeds of the special tax collected annually within the District and, pursuant to Article XIIIB of the California Constitution, as adjusted for changes in the costs of living and changes in population? Yes
No
Certification for Special Election Ballot
The undersigned declares under penalty of perjury under the laws of the State of California that such person is the authorized representative of the above-named Landowner and is legally authorized and entitled to cast this ballot on behalf of the above-named Landowner and to bind the Landowner thereby, and that this ballot is signed by the undersigned as of the date set forth below. By execution in the space provided below, you also confirm your written waiver of the time limits pertaining to the conduct of the election and any requirement for analysis and arguments with respect to the ballot measure.

Landowner: BROOKFIELD HOLDINGS (SHADOW) LLC
Signature: ________
Name (print):

Title:

Date:
1152
1 63189330.v2
RESOLUTION NO. 2025-__

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PALM DESERT, CALIFORNIA, DETERMINING THE

VALIDITY OF PRIOR PROCEEDINGS, FORMING THE

CITY OF PALM DESERT COMMUNITY FACILITIES
DISTRICT NO. 2025-1 (SHADOW RIDGE PUBLIC

SERVICES), AUTHORIZING THE LEVY OF A SPECIAL

TAX THEREIN, ESTABLISHING AN APPROPRIATIONS

LIMIT, AND TAKING CERTAIN OTHER ACTIONS

RELATING TO SAID DISTRICT
WHEREAS, the City Council of the City of Palm Desert adopted Resolution No. 2025-1 (the “Resolution of Intention”), stating its intention to form City of Palm Desert Community Facilities District No. 2025-1 (Shadow Ridge Public Services) (the “CFD”) pursuant to Chapter 2.5 of Part 1 of Division 2 of Title 5, commencing with Section 53311, of the California Government Code (the “Act”); and
WHEREAS, the Resolution of Intention, incorporating a map of the proposed boundaries of the CFD, and stating the services to be provided, and the rate and method of apportionment of the special tax to be levied within the CFD to pay for the services, is on file with the City Clerk and the provisions of the Resolution of Intention are incorporated herein by this reference as if fully set forth herein; and WHEREAS, on February 13, 2025, the City Council held a noticed public hearing as required by the Act and the Resolution of Intention with respect to the proposed formation of the CFD; and
WHEREAS, at the hearing, all interested persons desiring to be heard on all matters pertaining to the formation of the CFD, the services to be provided therein and the levy of such special tax were heard and a full and fair hearing was held; and WHEREAS, at the hearing, evidence was presented to the City Council on such matters before it, including a special report (the “Report”), attached as Exhibit C hereto and hereby incorporated herein, prepared by, or on behalf of, the City officer who is or will be responsible for the CFD describing the services to be provided through the CFD and the costs thereof pursuant to the Resolution of Intention, a copy of which is on file with the City Clerk; and
WHEREAS, no written protests have been filed with the City Clerk by 50% or more of the property owners that own one-half or more of the area of land within the CFD, and not exempt from the proposed special taxes.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT, DOES HEREBY RESOLVE AS FOLLOWS:
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2 63189330.v2

1. Recitals. The City Council finds and determines that all the foregoing recitals are true and correct and incorporated herein.

2. No Majority Protest. The proposed special tax to be levied within the CFD has not been precluded by majority protest pursuant to Section 53324 of the Act.

3. Prior Proceedings Valid. All prior proceedings taken by the City Council in connection with the establishment of the CFD, and the levy of the special tax have been duly considered and are hereby found and determined to be valid and in conformity with the Act, including without limitation, the filing of a petition of a landowner requesting institution of proceedings to establish the CFD, adoption of the Resolution of Intention, publication of notice of public hearing on the establishment of the CFD, and conducting the public hearing on the establishment of the CFD.

4. Report. The Report, as now submitted is hereby approved and is made a part of the record of the hearing, and is kept on file with the transcript of these proceedings and open for public inspection.

5. Name of CFD. The community facilities district designated “City of Palm Desert Community Facilities District No. 2025-1 (Shadow Ridge Public Services)” is hereby established pursuant to the Act.

6. Boundaries of CFD. The boundaries of the CFD, as set forth in the map of the CFD, on file with the City Clerk’s office and as described in the Resolution of Intention, and recorded in the Riverside County Recorder’s Office on January __, 2025 in Book __ of Maps of Assessment and Community Facilities Districts, at pages __ and __, as Document No. ___, are hereby approved, are incorporated herein by reference and shall be the boundaries of the CFD.

7. Description of Services. The type of public services proposed to be financed by the CFD pursuant to the Act shall consist of those items shown in Exhibit A hereto and by this reference incorporated herein (the “Services”).

8. Special Tax.
a. Except to the extent that funds are otherwise available to the CFD to pay for the Services, a special tax (the “Special Tax”) sufficient to pay the costs thereof, secured by the recordation of a continuing lien against all non-exempt real property in the CFD, is intended to be levied annually within the CFD, and collected in the same manner as ordinary ad valorem property taxes or in such other manner as may be prescribed by the City Council.
b. The proposed rate and method of apportionment of the Special Tax among the parcels of real property within the CFD are shown in Exhibit B attached hereto and hereby incorporated herein, and include sufficient detail to allow each landowner within the proposed CFD to estimate the maximum amount such owner will have to pay. 1154
3 63189330.v2

9. Increased Demands. It is hereby found and determined that the Services are necessary to meet increased demands placed upon local agencies, including the City, as the result of development occurring in the CFD. The Services are in addition to those provided in the territory of the CFD as of the date hereof and will not supplant services already available within the territory of the CFD as of the date hereof. The City Council hereby determines the rate and method of apportionment set forth in Exhibit B to be reasonable.

10. Accountability Measures. Pursuant to and in compliance with the provisions of Government Code Section 50075.1, the City Council hereby establishes the following accountability measures pertaining to the levy by the CFD of the Special Tax above:
a. Such Special Tax shall be levied for the specific purposes set forth herein.
b. The proceeds of the levy of such Special Tax shall be applied only to the specific purposes set forth herein.
c. The CFD shall establish an account or accounts into which the proceeds of such Special Tax shall be deposited.
d. The Director of Finance, or their designee, acting for an on behalf of the CFD, shall annually file a report with the City Council as required pursuant to Government Code Section 50075.3.

11. Responsible Official. The City’s Director of Finance, or designee thereof, 73-510 Fred Waring Drive, Palm Desert, California, telephone number (760) 346-0611, is the officer of the City who will be responsible for preparing annually a current roll of the levy of the Special Tax obligations by assessor’s parcel number and who will be responsible for estimating future levies of the Special Tax.

12. Tax Lien. Upon recordation of a notice of special tax lien pursuant to Section 3114.5 of the California Streets and Highways Code, a continuing lien to secure each levy of the Special Tax shall attach to all nonexempt real property in the CFD, and this lien shall continue in force and effect until the Special Tax obligation is prepaid and permanently satisfied and the lien canceled in accordance with law or until collection of the Special Tax by the City ceases.

13. Appropriations Limit. In accordance with the Act, the annual appropriations limit, as defined by subdivision (h) of Section 8 of Article XIII B of the California Constitution, of the CFD is hereby preliminarily established at an amount equal to all the proceeds of the special tax collected annually within the District, and such appropriations limit shall be submitted to the voters of the CFD as hereafter provided. The proposition establishing such annual appropriations limit shall become effective if approved by the qualified electors voting thereon and shall be adjusted in accordance with the applicable provisions of the Act and the Constitution. 1155
4 63189330.v2

14. Election. Pursuant to the provisions of the Act, the proposed levy of the Special Tax and the proposed establishment of the appropriations limit specified above shall be submitted to the qualified electors of the CFD at an election, the time, place and conditions of which election, shall be as specified by a separate resolution of this Council.

The City Clerk is directed to certify and attest to this Resolution and to take any and all necessary acts to call, hold, canvass, and certify an election or elections on the levy of the Special Tax and the establishment of the appropriations limit.

15. Effective Date. This resolution shall take effect upon its adoption.

PASSED, APPROVED and ADOPTED by the City Council of the City of Palm Desert, California, on this 13th day of February, 2025, by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

JAN C. HARNIK
MAYOR
ATTEST:

ANTHONY J. MEJIA

CITY CLERK
1156
A-1
63189330.v2

EXHIBIT A

CITY OF PALM DESERT
Community Facilities District No. 2025-1
(Shadow Ridge Public Services)

DESCRIPTION OF SERVICES
The services to be funded, in whole or in part, by the community facilities district (the "CFD") include, but are not limited to: (i) police protection and related services of the City of Palm Desert required to sustain the public safety service delivery capability for emergency and non-emergency services including related facilities, equipment, vehicles, services, supplies and personnel; (ii) Fire protection and suppression services, and ambulance and paramedic services; (iii) maintenance and lighting of parks, parkways, streets, roads and open space; (iv) flood and storm protection services; and (v) other public services authorized to be funded under Section 53313 of the California Government Code.

The District may fund any of the following related to the services described in the preceding sentence: obtaining, constructing, furnishing, operating and maintaining equipment, apparatus or facilities related to providing the services and/ or equipment, apparatus, facilities or fixtures in areas to be maintained, paying the salaries and benefits of personnel necessary or convenient to provide the services, payment of insurance costs and other related expenses and the provision of reserves for repairs and replacements and for the future provision of services. It is expected that the services will be provided by the City, either with its own employees or by contract with third parties, or any combination thereof.

The services to be financed by the District are in addition to those provided in the territory of the District before the date of creation of the District, and will not supplant services already available within that territory when the District is created.

Administrative Expenses: The administrative expenses to be funded by the District include the direct and indirect expenses incurred by the City in carrying out its duties with respect to the District (including, but not limited to, the levy and collection of the special taxes) including the fees and expenses of attorneys, any fees of the County of Riverside related to the District or the collection of special taxes, an allocable share of the salaries of the City staff directly related thereto and a proportionate amount of the City's general administrative overhead related thereto, any amounts paid by the City from its general fund with respect to the District or the services authorized to be financed by the District, and expenses incurred by the City in undertaking action to foreclose on properties for which the payment of special taxes is delinquent, and all other costs and expenses of the City in any way related to the District.

Other: The incidental expenses that may be funded by the District include, in addition to the administrative expenses identified above, the payment or reimbursement to the City of all costs associated with the establishment and administration of the District. 1157
B-1
63189330.v2

EXHIBIT B

CITY OF PALM DESERT
Community Facilities District No. 2025-1
(Shadow Ridge Public Services)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX
(see attached)
1158
C-1
63189330.v2

EXHIBIT C

CITY OF PALM DESERT
Community Facilities District No. 2025-1
(Shadow Ridge Public Services)

CFD REPORT
(see attached)
1159
1160
1 RESOLUTION NO. 2025-__

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PALM DESERT, CALIFORNIA, ACTING IN ITS CAPACITY

AS THE LEGISLATIVE BODY OF THE CITY OF PALM
DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1
(SHADOW RIDGE PUBLIC SERVICES) DECLARING THE

RESULTS OF A SPECIAL LANDOWNER ELECTION

RELATING TO THE LEVY OF A SPECIAL TAX THEREIN

AND THE ESTABLISHMENT OF AN APPROPRIATIONS
LIMIT
WHEREAS, the City Council of the City of Palm Desert has adopted a Resolution entitled “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT

DETERMINING THE VALIDITY OF PRIOR PROCEEDINGS, FORMING THE CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (SHADOW RIDGE

PUBLIC SERVICES), AUTHORIZING THE LEVY OF A SPECIAL TAX THEREIN,

ESTABLISHING AN APPROPRIATIONS LIMIT, AND TAKING CERTAIN OTHER ACTIONS RELATING TO SAID DISTRICT” (the “Resolution of Formation”), ordering the formation of the “City of Palm Desert Community Facilities District No. 2025-1 (Shadow Ridge Public Services)” (the “CFD”), authorizing the levy of a special tax on property within the CFD and preliminarily establishing an appropriations limit for the CFD, all pursuant to Chapter 2.5 of Part 1 of Division 2 of Title 5, commencing with Section 53311, of the California Government Code (the “Act”); and WHEREAS, under the provisions of the Resolution of Formation and pursuant to a resolution calling a special election (the “Election Resolution”) heretofore adopted by the City Council, the propositions of the levy of the special tax and the establishment of the appropriations limit were submitted to the qualified electors of the CFD as required by the provisions of the Act; and
WHEREAS, the landowners of record within the CFD, as of close of the public hearing held on February 13, 2025, unanimously consented to a waiver of the time limits for setting the lection and a waiver of any written analysis, arguments or rebuttals as set forth in the Act. Such waivers are set forth in written certificated executed by the landowners which are on file with the City Clerk, as the election official concurring therein; and
WHEREAS, pursuant to the terms of the Election Resolution, which are by this reference incorporated herein, the special election has been held and the City Clerk has certified to a Canvass and Statement of Results of Election (the “Canvass”), a copy of which is attached hereto as Exhibit A; and
WHEREAS, the City Council has been informed of the Canvass, finds it appropriate and wishes to complete its proceedings for the CFD. 1161
2 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT,

ACTING AS LEGISLATIVE BODY OF THE CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (SHADOW RIDGE PUBLIC SERVICES) DOES HEREBY RESOLVE AS FOLLOWS:

1. Recitals. The City Council finds and determines that all the foregoing recitals are true and correct and incorporated herein.

2. Issues Presented. The issues presented at the special election were the levy of a special tax within the CFD and the approval of establishing an annual appropriations limit at an amount equal to all the proceeds of the special tax collected annually within the District, all pursuant to the Resolution of Formation.

3. Canvass and Issues Approved. The City Council hereby approves the Canvass of the special election held February 13, 2025 and finds that it shall be a permanent part of the record of its proceedings for the CFD. Pursuant to the Canvass, the issues presented at the special election were approved by the qualified electors of the CFD by more than two-thirds of the votes cast at the special election.

4. Proceedings Approved. Pursuant to the voter approval, the CFD is hereby declared to be fully formed with the authority to levy the special taxes and to have the established appropriations limit, all as heretofore provided in these proceedings and in the Act. It is hereby found that all prior proceedings and actions taken by the City Council with respect to the CFD were valid and in conformity with the Act. The City Council is hereby authorized to take the necessary steps to levy the authorized special tax on property within the CFD.

5. Notice of Tax Lien. The City Clerk, or designee, is hereby directed to complete, execute and cause to be recorded in the office of the County Recorder of the County of Riverside a notice of special tax lien in the form required by the Act, such recording to occur no later than fifteen (15) days following adoption of this resolution by the City Council.

6. Accountability. Pursuant to and in compliance with the provisions of Government Code Section 50075.1, the City Council hereby establishes the following accountability measures pertaining to the levy by the CFD of the special tax:
a. Such special tax shall be levied for the specific purposes set forth the issues presented voters and described herein.
b. The proceeds of the levy of such special tax shall be applied only to the specific purposes set forth in the issues presented to voters and described herein. c. The CFD shall establish an account or accounts into which the proceeds of such special tax shall be deposited.
1162
3 d. The Director of Finance, or their designee, acting for an on behalf of the CFD, shall annually file a report with the City Council as required pursuant to Government Code Section 50075.3

7. Effective Date. The City Clerk shall certify the adoption of this Resolution.

This Resolution shall take effect upon its adoption.

PASSED, APPROVED and ADOPTED by the City Council of the City of Palm Desert, California, on this 13th day of February, 2025, by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

JAN C. HARNIK
MAYOR
ATTEST:

ANTHONY J. MEJIA

CITY CLERK
1163
A-1

EXHIBIT A

CERTIFICATE OF ELECTION OFFICIAL

REGARDING

CANVASS AND STATEMENT OF RESULTS OF ELECTION
The undersigned, Election Official of the CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (SHADOW RIDGE PUBLIC SERVICES) (the “CFD”), located in the County of Riverside, State of California, does hereby certify that pursuant to the provisions of Section 53326 of the California Government Code, I did canvass the returns of the votes cast at the SPECIAL ELECTION for the CFD held on February 13, 2025.

I further certify that this Canvass and Statement of Results of Election shows the whole number of votes cast in the CFD for or against the proposition is complete, true and correct.

NUMBER OF ELIGIBLE VOTES: 18
VOTES CAST ON PROPOSITION A: YES _________________________ N O ________________________
WITNESS my hand this 13th day of February, 2025.
___________________________________
City Clerk, as Elections Official

CITY OF PALM DESERT COMMUNITY FACILITIES
DISTRICT NO. 2025-1 (SHADOW RIDGE PUBLIC

SERVICES)
1164
1 ORDINANCE NO. ___

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

PALM DESERT, CALIFORNIA, ACTING IN ITS CAPACITY

AS THE LEGISLATIVE BODY OF THE PALM DESERT
COMMUNITY FACILITIES DISTRICT NO. 2025-1
(SHADOW RIDGE PUBLIC SERVICES) AUTHORIZING

THE LEVY OF A SPECIAL TAX WITHIN SAID DISTRICT
WHEREAS, on January 9, 2025, the City Council of the City of Palm Desert adopted Resolution 2025-001 (the “Resolution of Intention”), and has conducted proceedings (the “Proceedings”) to establish the City of Palm Desert Community Facilities District No. 2025-1 (Shadow Ridge Public Services) (the “CFD”) pursuant to the MelloRoos Community Facilities Act of 1982, Chapter 2.5 of Part 1 of Division 2 of Title 5, as amended, commencing with Section 53311, of the California Government Code (the “Act”) to levy a special tax (the “Special Tax”) to finance certain municipal services (the “Services) as provided in the Resolution of Intention and the Act; WHEREAS, on February 13, 2025, pursuant to notice as specified in the Act, and as part of the Proceedings, the City Council has held a public hearing under the Act relative to the determination to proceed with the formation of the CFD and the rate and method of apportionment of the Special Tax to be levied within the CFD to finance the Services, and at such hearing all persons desiring to be heard on all matters pertaining to the formation of the CFD and the levy of the Special Tax were heard, substantial evidence was presented and considered by the City Council and a full and fair hearing was held;
WHEREAS, on February 13, 2025, upon the conclusion of the public hearing, the City Council adopted “A Resolution of the City Council of the City of Palm Desert Determining the Validity of the Prior Proceedings, Forming the City of Palm Desert Community Facilities District No. 2025-1 (Shadow Ridge Public Services), Authorizing the Levy of a Special Tax Therein, Establishing an Appropriations Limit, and Taking Other Certain Actions Relating to Said District” (the “Resolution of Formation”), pursuant to which it completed the Proceedings for the establishment of the CFD, the authorization of the levy of the Special Tax within the CFD and the calling of an election within the CFD on the propositions of levying the Special Tax and establishing an appropriations limit within the CFD, respectively; and
WHEREAS, on February 13, 2025 a special election was held among the landowners within the CFD at which such landowners approved the levy of the Special Tax by the two-thirds vote required by the Act, which approval has been confirmed by resolution of the City Council.
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2 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT, IN

ITS CAPACITY AS THE LEGISLATIVE BODY OF CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (SHADOW RIDGE PUBLIC SERVICES), DOES HEREBY ORDAIN AS FOLLOWS:

Section 1. The City Council finds the above recitals are true and correct and incorporated herein by this reference.

Section 2. By the passage of this Ordinance, the City Council hereby authorizes and levies the Special Tax within the CFD pursuant to the Act, at the rate and in accordance with the rate and method of apportionment of Special Tax (“Rate and Method of Apportionment”) on file with the City Clerk and as approved in the Resolution of Formation, and attached as Exhibit A to this Ordinance. By this reference, both the Resolution of Intention and the Resolution of Formation are incorporated herein. The Special Tax is hereby levied commencing in fiscal year 2025-26 and in each fiscal year thereafter to pay for the Services for the CFD, as contemplated by the Resolution of Formation and the Proceedings and all costs of administering the CFD.

Section 3. The City Council is hereby further authorized to determine, by ordinance, resolution, or by other action if permitted by then applicable law, on or before August 1 of each year, the specific special tax to be levied for the next ensuing fiscal year on each parcel of land within the CFD, in the manner as provided in the Rate and Method of Apportionment. The City Council further directs the City of Palm Desert’s Director of Finance, or designee, or an employee or consultant of the City of Palm Desert, to determine each fiscal year the specific amount of Special Tax to be levied.

Section 4. Exemptions from the levy of the Special Tax shall be as provided in the Resolution of Formation, the Rate and Method of Apportionment and the applicable provisions of the Act. In no event shall the Special Tax be levied on any parcel within the CFD in excess of the maximum Special Tax specified in the Resolution of Formation.

Section 5. All of the collections of the Special Tax shall be used as provided in the Act and in the Resolution of Formation, including, but not limited to, the payment of costs of the Services, the payment of the costs of the City in administering the CFD, and the costs of collecting and administering the Special Tax.

Section 6. The Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem taxes are collected and shall have the same lien priority, and be subject to the same penalties and the same procedure and sale in cases of delinquency as provided for ad valorem taxes; provided, however, that the City Council may provide for other appropriate methods of collection by resolution(s) of the City Council. In addition, the provisions of Section 53356.1 of the Act shall apply to delinquent Special Tax payments. The Director of Finance of the City, or designee, is hereby authorized and directed to provide all necessary information to the auditor/tax collector of the County of Riverside in order to effect proper billing and collection of the Special Tax, so that the Special Tax shall be included on the secured property tax roll of the County of Riverside for fiscal year 2025-26 and for each fiscal year thereafter until no longer 1166
3 required to pay for the Services or until otherwise terminated by the City. The City may also directly bill the Special Tax, may collect the Special Tax at a different time or in a different manner if needed to meet the financial obligations of the CFD.

Section 7. If for any reason any portion of this ordinance is found to be invalid, or if the Special Tax is found inapplicable to any particular parcel within the CFD, by a court of competent jurisdiction, the balance of this ordinance and the application of the Special Tax to the remaining parcels within the CFD shall not be affected.

Section 8. The Mayor shall sign this Ordinance and the City Clerk shall cause the same to be published no later than 15 days after its passage at least once in a newspaper of general circulation in the City.

Section 9. The City Clerk, or designee, is hereby directed to execute and cause to be recorded in the office of the County Recorder of the County of Riverside a notice of special tax lien in the form required by the Act, said recording to occur not later than 15 days following final passage by the City Council of this Ordinance, and to perform all other acts which are required by the Act, this Ordinance or by law in order to accomplish the purpose of this Ordinance.

Section 10. This Ordinance shall take effect thirty (30) days from the date of final passage.

PASSED, APPROVED and ADOPTED by the City Council of the City of Palm Desert, California, on this _____ day of ____________, 2025, by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

JAN C. HARNIK
MAYOR
ATTEST:

ANTHONY J. MEJIA

CITY CLERK
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EXHIBIT A

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX

RATE AND METHOD OF

APPORTIONMENT OF SPECIAL TAX
For the City of Palm Desert Community Facilities District No. 2025-1 (Shadow Ridge Public Services), County of Riverside, State of California
The Special Tax as hereinafter defined shall be levied on all Assessor’s Parcels within the City of Palm Desert Community Facilities District No. 2025-1 (Shadow Ridge Public Services), (“CFD 2025-1”), other than Assessor’s Parcels classified as Exempt Property as defined herein and collected each Fiscal Year commencing in Fiscal Year 2025-26, in an amount determined by the CFD Administrator through the application of the procedures described below. All the real property within CFD 2025-1, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent, and in the manner herein provided.

A. DEFINITIONS
The terms hereinafter set forth have the following meanings:
“Act” means the Mello-Roos Communities Facilities Act of 1982 as amended, being Chapter 2.5, Part 1, Division 2 of Title 5 of the Government Code of the State of California. “Administrative Expenses” means the following actual or reasonably estimated expenses related to the administration of CFD 2025-1: (i) the costs of determining the amount of the levy of the Special Tax, the collection of Special Taxes, including the expenses of collecting delinquencies and pursuing foreclosures; (ii) the payment of a proportional share of salaries and benefits of any City employee and City overhead whose duties are directly related to the administration of CFD 2025-1; (iii) fees and expenses for counsel, audits, costs associated with responding to public inquiries regarding CFD 2025- 1; and (iv) any and all other costs incurred in connection with the administration of CFD 2025-1.
“Annual Escalation Factor” means two percent (2%).
“Assessor’s Parcel” means a lot or parcel shown in an Assessor’s Parcel Map with an assigned assessor’s parcel number.
“Assessor’s Parcel Map” means an official map of the Assessor of the County designating parcels by assessor’s parcel number.
“Base Year” means the first year that any Assessor’s Parcel of Taxable Property is classified as Developed Property.
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“Building Permit” means a permit issued for new construction of a Residential Unit. For purposes of this definition, “Building Permit” shall not include permits for construction or installation of retaining walls, grading, utility improvements, or other such improvements not intended for human habitation.
“Certificate of Occupancy” means a document issued by the City certifying that a newly constructed Residential Unit complies with all applicable codes and ordinances and that it is suitable and safe for occupancy.
“CFD Administrator” means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement and providing for the levy and collection of the Special Tax for CFD 2025-1.
“CFD 2025-1” means City of Palm Desert Community Facilities District No. 2025-1 (Shadow Ridge Public Services) established by the City Council under the Act. “City” means the City of Palm Desert.
“City Council” means the Council of the City of Palm Desert, acting as the legislative body of CFD 2025-1.
“County” means the County of Riverside.
“Developed Property” means an Assessor’s Parcel of Taxable Residential Property for which a Certificate of Occupancy was issued on or before June 1 preceding the Fiscal Year for which the Special Tax is being levied.
“Exempt Property” means all Assessor’s Parcels within CFD 2025-1 that are exempt from the Special Tax pursuant to the Act or Section F herein. “Fiscal Year” means the period commencing on July 1 of any year and ending the following June 30.
“Land Use Type” means any of the land use types listed in Table 1 below. “Maximum Special Tax” means the maximum Special Tax determined in accordance with Section C, which may be levied in any Fiscal Year on an Assessor’s Parcel of Taxable Property.
“Property Owner Association Property” means for each Fiscal Year any property within the boundaries of CFD 2025-1 that was owned by, or irrevocably dedicated as indicated in an instrument recorded with the County Recorder to a property owner association, including any master or sub-association, as of June 1. “Proportionately” means in a manner such that the ratio of the actual Special Tax levy to the Maximum Special Tax is equal for all Assessor’s Parcels within each Land Use Class.
“Public Property” means any property that is owned by, dedicated or irrevocably dedicated to a city, the federal government, the State of California, the County, or any other public agency (each, a “Public Entity”); provided, however, that any such property 1169
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is leased by such a Public Entity to a private entity and is thereby subject to taxation pursuant to Section 53340.1 of the Act, such leasehold estate shall be classified and taxed according to the use thereof.
“Public Services” means those authorized services that may be funded by CFD 2025- 1 pursuant to the Act, as amended including but not limited to police protection services, fire protection services, paramedic services, park maintenance, street maintenance and flood control.
“Residential Property” means Assessor’s Parcels of Developed Property within CFD 2025-1 for which a Building Permit has been issued for purposes of constructing one or more Residential Unit(s).
“Residential Unit” means any residence in which a person or persons may live, which is not considered to be used for non-residential purposes. “Special Tax” means the special tax authorized to be levied within CFD 2025-1 pursuant to the Act, to fund the Special Tax Requirement.
“Special Tax Requirement” means the amount, as determined by the CFD Administrator, for any Fiscal Year to: (i) pay the costs of providing the Public Services during such Fiscal Year, (ii) pay Administrative Expenses associated with the Special Tax, (iii) establish or replenish any operational reserve fund established for Public Services, (iv) pay incidental expenses related to the Public Services as authorized pursuant to the Act, (v) fund an amount equal to a reasonable estimate of delinquencies expected to occur in the Fiscal Year in which the Special Tax will be levied (“Estimated Special Tax Delinquency Amount”) and (vi) fund the shortfall, if any, in the Special Tax revenues collected in the preceding Fiscal Year necessary to fund the Special Tax Requirement for such Fiscal Year where such shortfall resulted from delinquencies in the payment of the Special Tax in such Fiscal Year that exceeded the Estimated Special Tax Delinquency Amount included in the Special Tax Requirement for such Fiscal Year. “Taxable Property” means all Assessor’s Parcels that are not exempt from the Special Tax pursuant to the Act or Section F.
“Undeveloped Property” means an Assessor’s Parcel of Taxable Property which is not classified as Developed Property.

B. CLASSIFICATION OF ASSESSOR’S PARCELS
Each Fiscal Year, beginning with Fiscal Year 2025-26, using the definitions above, each Assessor’s Parcel within CFD 2025-1 shall be classified by the CFD Administrator as Taxable Property or Exempt Property. In addition, each such Fiscal Year, each Assessor’s Parcel of Taxable Property shall be further classified by the CFD Administrator as Developed Property or Undeveloped Property and subject to the levy of the Special Tax pursuant to Section C below.

C. SPECIAL TAX RATES
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1. Developed Property
Each Fiscal Year commencing in Fiscal Year 2025-26, each Assessor’s Parcel of Developed Property shall be subject to the Special Tax.

The initial Maximum Special Tax for each Assessor’s Parcel of Developed Property in its Base Year shall be $2,200.

For each subsequent Fiscal Year following the Base Year, the Maximum Special Tax rates shall be increased from the Maximum Special Tax rate in effect for the prior Fiscal Year by the Annual Escalation Factor.

2. Undeveloped Property
Each Assessor’s Parcel classified as Undeveloped Property shall be exempt from the levy of the Special Tax.

3. Exempt Property
No Special Tax shall be levied on Exempt Property as defined in Section F.

For each Fiscal Year, if the use or ownership of an Assessor’s Parcel or Exempt Property changes so that such Assessor’s Parcel is no longer classified as one of the uses set forth in Section F, therefore making such Assessor’s Parcel no longer eligible to be classified as Exempt Property, such Assessor’s Parcel shall be deemed to be Taxable Property and shall be taxed pursuant to the provisions of Section C.

D. METHOD OF APPORTIONMENT OF SPECIAL TAX
Commencing in Fiscal Year 2025-26 and for each subsequent Fiscal Year, the CFD Administrator shall levy the Special Tax on all Taxable Property of CFD 2025-1 until the total amount of Special Tax levied equals the Special Tax Requirement. The Special Tax shall be levied Proportionately on each Assessor’s Parcel of Developed Property within CFD 2025-1 up to 100% of the Maximum Special Tax to satisfy the Special Tax Requirement.

Notwithstanding any provision of this Section D to the contrary, under no circumstances will the Special Tax levied against any Assessor’s Parcel of Developed Property that is classified as Residential Property be increased by more than ten percent (10%) per Fiscal Year as a consequence of delinquency or default in the payment of the Special Tax by the owner of any other Assessor’s Parcel.

E. PREPAYMENT OF SPECIAL TAX
The Special Tax for an Assessor’s Parcel of Undeveloped Property that has been issued a Building Permit or for an Assessor’s Parcel of Developed Property may be prepaid. The prepayment amount shall be the lesser of (i) $66,000 or (ii) the Maximum Special Tax that will be in effect the following Fiscal Year times the number of Fiscal Years remaining in the 30-year period defined in Section I below.

F. EXEMPTIONS
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The City Council shall classify as Exempt Property: (i) Public Property, (ii) Property Owner Association Property, (iii) Assessor’s Parcels with public or utility easements making impractical their utilization for other than the purposes set forth in the easement, including but not limited to property designated for open space, trails, pathways, parks or park and recreation related facilities, and (iv) property reasonably designated by the City or CFD Administrator as Exempt Property due to deed restrictions, conservation easement, or similar factors.

G. APPEALS
Any property owner claiming that the amounts or application of the Special Tax is not correct may file a written notice of appeal with the CFD Administrator not later than twelve months after having paid the first installment of the Special Tax. The CFD Administrator shall promptly review the appeal, and if necessary, meet with the property owner, consider written and oral evidence regarding the amount of the Special Tax, and rule on the appeal. If the decision of the CFD Administrator requires that the Special Tax for an Assessor’s Parcel be modified or changed in favor of the property owner, a cash refund shall not be made but an adjustment shall be made to the Special Tax on that Assessor’s Parcel in the subsequent Fiscal Year(s) to compensate for the overpayment of the Special Tax.

H. MANNER OF COLLECTION
The Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided, however, that the Special Tax may be billed and collected at a different time or in a different manner if necessary to meet the financial obligations of CFD 2025-1.

I. DURATION OF TAX
For each Residential Unit, the Special Tax shall be levied for a cumulative 30-year period to fund the Special Tax Requirement unless such tax is no longer required as determined by the City Council.

J. INTERPRETATION
The City may interpret, clarify, and revise this Rate and Method to correct any inconsistency, vagueness, or ambiguity, by resolution and/or ordinance, that does not create a material adverse effect on the levy and collection of the Special Tax. 1172
YES: 5
NO: 0
ABSTAIN: 0
CONFLICT: 0
ABSENT: 0

ALL ACTIONS ARE DRAFT PENDING APPROVAL OF THE FINAL MINUTES Minute Action Summary
Palm Desert City Council - Regular Meeting
Agenda Number: 14.c.

Title: RESOLUTION NO. 2025-001 DECLARING INTENTION TO ESTABLISH THE CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1

SHADOW RIDGE PUBLIC SERVICES) AND SET A PUBLIC HEARING DATE FOR FEBRUARY 13, 2025
Date: Thursday, January 9, 2025
Motion by: Councilmember Joseph Pradetto
Seconded by: Mayor Pro Tem Trubee
Adopt Resolution No. 2025-001 entitled, “A RESOLUTION OF INTENTION OF THE CITY

COUNCIL OF THE CITY OF PALM DESERT TO ESTABLISH THE CITY OF PALM DESERT COMMUNITY FACILITIES DISTRICT NO. 2025-1 (SHADOW RIDGE PUBLIC SERVICES),

TO AUTHORIZE THE LEVY OF A SPECIAL TAX THEREIN, AND TAKING OTHER ACTIONS RELATED THERETO.”

1. 2. Direct staff to record the Boundary Map by January 24, 2025.

Set a Public Hearing for February 13, 2025, to consider formation of Community Facilities District No. 2025-1, and calling for a special election pursuant to the Mello-Roos Community Facilities District Act of 1982.

3. YES: 5 NO: 0 ABSTAIN: 0 CONFLICT: 0 ABSENT: 0
Motion Carried
Mayor Harnik
Councilmember Joseph
Pradetto
Mayor Pro Tem Trubee Councilmember
Nestande
Councilmember
Quintanilla
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Palm Desert City CouncilFebruary 13, 2025

Palm Desert City Council
February 13, 2025