Palm Desert City Council
December 11, 2025

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: December 11, 2025
PREPARED BY: Daniel Hurtado, Public Safety Coordinator
Tristan Morales, Accounting Supervisor
SUBJECT: RESOLUTION ADOPTING THE GRANT POLICY AND PROCEDURES

MANUAL AND ESTABLISHING A CITYWIDE FRAMEWORK FOR GRANT

IDENTIFICATION, APPLICATION, ADMINISTRATION, REPORTING, AND COMPLIANCE.

RECOMMENDATION:

Adopt a Resolution entitled “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM

DESERT, CALIFORNIA, ADOPTING THE CITY OF PALM DESERT GRANT POLICY AND

PROCEDURES MANUAL AND ESTABLISHING A CITYWIDE FRAMEWORK FOR GRANT IDENTIFICATION, APPLICATION, ADMINISTRATION, REPORTING, AND COMPLIANCE.” BACKGROUND/ANALYSIS:

Grant funding is an essential component of municipal operations, supporting public safety, infrastructure, environmental sustainability, community services, and other City priorities. The City of Palm Desert has historically secured a wide range of federal, state, and private grant awards; however, each department has maintained its own procedures for identifying, applying for, administering, and closing out grants.

To improve consistency, accountability, and audit readiness, staff developed the Grant Policy and Procedures Manual. The Manual establishes a uniform, Citywide framework governing the full grant lifecycle. The Manual has been reviewed by the Finance Department and reflects all applicable requirements under federal, state, and local laws.

The Manual establishes a comprehensive framework for grant administration, including standardized procedures for identification, application, management, and closeout. It defines the roles and responsibilities of all departments involved, ensuring consistency across the organization. The Manual incorporates all major federal and state compliance requirements, including 2 CFR 200, the Single Audit Act, Davis–Bacon Act, civil rights laws, and NEPA/CEQA, thereby strengthening audit readiness and reducing compliance risks.

Fiscal oversight standards are outlined for allowable costs, matching funds, budget modifications, financial reporting, procurement, and asset management. The Manual also requires consistent documentation using internal documentation practices to support transparency, compliance, and effective grant management.

Application and approval procedures are clarified, including required coordination with the City Manager’s Office and Finance Department, and City Council approval for grants that create ongoing obligations or require execution of legal agreements. The Manual also outlines 149
City of Palm Desert
Grant Policy and Procedures Resolution

reporting, closeout, and record retention requirements to ensure accountability and accurate audit documentation. As well as authorizing the City Manager’s Office and Finance Department to issue administrative updates to maintain compliance with evolving laws and regulations, with substantive revisions returning to the City Council for approval.

The adoption of the Grant Policy and Procedures Manual will ensure that all City departments follow a uniform process that enhances fiscal stewardship, improves grant compliance, and supports transparent recordkeeping.

During this fiscal year, the City pursued a wide range of competitive grant opportunities to support transportation improvements, public safety initiatives, community programming, and library services. Several notable awards were secured, including funding for the Traffic Management System through the RCTC CMAQ program, operational support through the Cannabis Tax Grant, and transportation safety planning through the SS4A Vision Zero grant.

Additional awards strengthened community programs, such as Zip Books, Reforma, and in-kind support from SCLC. The City also advanced major federal appropriations requests, most significantly the Cook Street Bridge project and the Emergency Resiliency Plan, which remain under federal consideration. A detailed summary of awarded, pending, and denied applications is provided in the tables below.

Grant Activity Summary – Current Fiscal Year:

Several of the grant awards listed below are administered as reimbursement grants, requiring the City to budget for and incur eligible project costs prior to receiving reimbursement.

Accepted / Awarded Grants
Grant Name Requested Awarded Notes
Energy Efficiency &
Conservation Block Grant
$118,040 $118,040 Reimbursement grant
Zip Books Program $12,160 $12,160 Reimbursement grant
Reforma Grant $500 $500 Library programming
Coachella Valley Mountains
Conservancy
$300,000 $300,000 Reimbursement grant
Cannabis Tax Grant Program $120,800 $120,800 Reimbursement Grant SS4A – Palm Desert Vision
Zero
$720,000 $720,000 Federal planning grant
(reimbursement)
SCLC – Telescopes In-kind In-kind Equipment donation
RCTC – CMAQ Traffic
Management System
$1,000,000 $885,000 Reimbursement grant; partial
award
RUSH/REAP 2.0 $8,000,000 $8,000,000 Prior year award; not counted in FY highlights
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City of Palm Desert
Grant Policy and Procedures Resolution

Pending Grant Applications
Grant Name Requested Notes
Outdoor Recreation Legacy Program (ORLP) $7,000,000 Park improvements Calvert – Cook Street Bridge (Federal
Earmark)
$5,671,000 Included in THUD markup
Padilla – Emergency Resiliency Plan $843,000 Under federal review EMPG FY24 $8,682 Emergency management
staffing
Tobacco Grant Program $389,994 Code enforcement staffing LWCF – Dave Irwin Park $6,000,000 Park development
BigHorn Cares $20,000 Community literacy program
Rejected / Not Awarded
Grant Name Requested Notes
Walmart Community Grant $5,000 Not selected
Veterans Resource Center (Federal Earmark) $1,000,000 Not selected Highway 74 Improvements (Federal Earmark) $2,000,000 Not selected Fire Station 71 (Federal Earmark) $2,000,000 Not selected California Arts in Parks $100,000 Not selected
AARP Grant (Flagship Grant) $15,000 Not selected
Youth Community Access Grant Program $500,000 Not selected Summary Metrics
Category Count Funding Amount
Total Approved/Accepted 9 $10,236,500
Total Pending 7 $19,932,676
Total Rejected/Denied 7 $5,620,000
In-Kind Awards 1 (SCLC Telescopes)
Total Applications Submitted 23 $35,789,176
Legal Review:

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

FINANCIAL IMPACT:

There is no direct financial impact associated with adopting the Grant Policy and Procedures Manual. Improved grant oversight will enhance the City's ability to obtain external funding and reduce audit-related financial risks.

ATTACHMENTS:

1. Draft Resolution

2. City of Palm Desert Grant Policy and Procedures Manual 151
152
RESOLUTION NO. 2025-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM

DESERT, CALIFORNIA, ADOPTING THE CITY OF PALM DESERT

GRANT POLICY AND PROCEDURES MANUAL AND ESTABLISHING A

CITYWIDE FRAMEWORK FOR GRANT IDENTIFICATION,
APPLICATION, ADMINISTRATION, REPORTING, AND COMPLIANCE.

WHEREAS, the City of Palm Desert (“City”) recognizes that grant funding provides critical support for public safety, infrastructure, environmental sustainability, community development, and other essential municipal services; and WHEREAS, effective grant management promotes financial accountability, maximizes external revenue opportunities, and ensures compliance with all applicable federal, state, and local laws; and
WHEREAS, the City has determined it is necessary to establish a comprehensive and uniform Grant Policy and Procedures Manual guiding the identification, application, acceptance, management, reporting, closeout, and audit responsibilities associated with all grants received by the City; and
WHEREAS, the Grant Policy and Procedures Manual standardize departmental responsibilities, establishes clear oversight roles for the City Manager’s Office, Finance Department, and City Attorney’s Office, and ensures audit readiness and compliance with 2 CFR 200 (Uniform Guidance), the Single Audit Act Amendments of 1996, the Federal Grant and Cooperative Agreement Act of 1977, and all other applicable regulations; and WHEREAS, the Manual includes formal procedures for pre-award review, application approval, documentation requirements, procurement standards, financial reporting, equipment management, record retention, closeout, and federal labor and civil rights compliance; and
WHEREAS, maintaining consistent grant records is essential to transparency and internal controls; and
WHEREAS, the City Council finds that adoption of the Grant Policy and Procedures Manual will strengthen organizational accountability, improve fiscal stewardship, and enhance the City’s ability to successfully secure and manage grant funding;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm Desert, California, as follows:

SECTION 1. That the foregoing Recitals are true and correct and are incorporated herein by this reference.
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Resolution No. 2025-____ Page 2
SECTION 2. The City Council hereby adopts the City of Palm Desert Grant Policy and Procedures Manual, attached hereto and incorporated as Exhibit “A,” as the City’s official policy governing grant identification, application, administration, documentation, fiscal management, and compliance requirements.

SECTION 3. All City departments shall comply with the Grant Policy and Procedures Manual, including but not limited to requirements for internal review, documentation, fiscal controls, reporting, procurement, record retention, and use of the established tracking procedure.

SECTION 4. The City Manager’s Office and Finance Department are authorized to issue administrative updates to the Manual to maintain compliance with federal and state regulations, provided that material revisions requiring Council approval are returned to the City Council for action.

SECTION 5. This resolution and the Grant Policy and Procedures Manual shall take effect immediately upon adoption:

ADOPTED ON ________________, 2025.

JAN C. HARNIK
MAYOR
ATTEST:

ANTHONY J. MEJIA

CITY CLERK
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Resolution No. 2025-____ Page 3
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 ___________________.

ANTHONY J. MEJIA

CITY CLERK
155
156
1 CITY OF PALM DESERT
Subject Grant Policy and Procedures Manual
Policy No. CMGR-003
Date Issued: December 11, 2025
Approved by Resolution No. 2025-____
Authored by City Manager’s Office / Finance
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2 Contents
Part I – Grant Policy Statement....................................................................................... 3 Part II – Grant Procedures Manual.................................................................................. 6 Chapter 1: Purpose, Definition, and Authority ................................................................. 6 Chapter 2: Grants Management Policy General Principles ............................................. 7 Chapter 3: Roles and Responsibilities............................................................................. 9 Chapter 4: Grant Pre-Award Process............................................................................ 11 Chapter 5: Grant Post-Award Process .......................................................................... 13 Chapter 6: Federal Requirements for Construction Projects ......................................... 16 Chapter 7: Other Important Federal Guidelines and Policies ........................................ 17 Part III – Appendices, and Adoption .............................................................................. 18 158
3 Part I – Grant Policy Statement
Purpose
The purpose of this policy is to establish a comprehensive and uniform framework governing the identification, application, acceptance, management, and reporting of grant funding within the City of Palm Desert (“City”).

This policy ensures compliance with all federal, state, and local regulations; promotes financial accountability; and provides consistent administrative guidance to all departments.

Grants represent critical funding sources that support public safety, infrastructure, sustainability, and community programs. The City recognizes that effective grant management enhances service delivery, maximizes external revenue opportunities, and safeguards public trust.
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4 Policy Declaration
It is the policy of the City of Palm Desert that:

1. All City departments are encouraged to seek and manage grant funding that aligns with City Council goals and the City’s Strategic Plan.

2. Each department applying for or receiving a grant is responsible for the full lifecycle of that grant—from application through closeout—including administration, compliance, reporting, and fiscal accountability.

3. All departments shall provide the Finance Department with full access to grantrelated materials, including the grant application, grant portal information, login credentials (email and password), and any other items necessary to complete the grant cycle

4. Oversight, policy compliance, and fiscal coordination shall be managed jointly by the City Manager’s Office and the Finance Department.

5. The City shall maintain transparency, accountability, and audit readiness for all grant-funded programs and activities.

6. All grants and details must be put in the Laserfiche “Grants” Folder for tracking and record-retention location, in accordance with this manual.

7. The City shall comply with 2 CFR 200 (Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards), the Single Audit Act Amendments of 1996, and all applicable California statutes and municipal financial policies.

Oversight and Administration
 The City Manager’s Office is responsible for overall policy oversight, ensuring departmental compliance, and maintaining a centralized record of active and completed grants.
 The Finance Department provides fiscal control, auditing, and monitoring for all grant-related revenues and expenditures.
 The City Attorney’s Office shall review all grant agreements and amendments requiring legal review or City Council action.
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5 Departmental Responsibilities
Each department that applies for, receives, or manages a grant shall:

1. Coordinate with the City Manager’s Office and Finance Department prior to any submission;

2. Ensure accuracy and completeness of all application materials;

3. Adhere to all funding conditions, procurement standards, and reporting requirements;

4. Maintain all grant documentation within the designated Laserfiche grant folder and/or other designated record-retention location.

5. Update the Grants Tracker Excel sheet, or other designated tracking method as established, upon submission, award, modification, and closeout; and

6. Complete all required closeout and retention procedures as outlined in this manual.

Grant Documentation and Recordkeeping
All grant documentation—including applications, executed agreements, amendments, reports, correspondence, and closeout materials—must be stored in the Laserfiche Grant Drive.

Each department shall ensure that the Grants Tracker Excel File is continuously updated with accurate information regarding status, funding amount, term, and reporting deadlines.

The City shall retain all grant-related records for a minimum of five (5) years following final audit or closeout, or longer as required by the grantor.

Compliance and Legal Authority
This policy and accompanying procedures are issued under the authority of the Palm Desert City Council, in compliance with:
 Title 2 of the Code of Federal Regulations, Part 200 (Uniform Guidance)  Federal Grant and Cooperative Agreement Act of 1977
 Single Audit Act Amendments of 1996
 California Government Code Sections 53060 et seq.
 City of Palm Desert Fiscal and Procurement Policies
 And all other applicable compliance requirements.
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6 Adoption and Effective Date
This Grant Policy and Procedures Manual is effective upon adoption by the Palm Desert City Council and shall apply to all departments and divisions of the City.

Updates or revisions to this manual may be made by administrative action of the City Manager’s Office and Finance Department, with City Council approval where required.

Part II – Grant Procedures Manual
Chapter 1: Purpose, Definition, and Authority
Purpose
The purpose of this manual is to provide a comprehensive framework for all City of Palm Desert (“City”) departments in identifying, applying for, managing, and closing out grants in compliance with local, state, and federal regulations.

This manual ensures that City staff consistently administers grant programs in a manner that promotes fiscal responsibility, transparency, and adherence to all applicable laws.

By following these procedures, departments will enhance the City’s ability to secure and effectively utilize grant funds to advance community priorities while minimizing administrative and financial risks.

Definition of a Grant
A grant is a form of financial or in-kind assistance provided by an external entity—such as a federal or state agency, foundation, or corporation—to support a specific project or program.

A grant may take the form of:
 A contract or cooperative agreement;
 An intergovernmental agreement or memorandum of understanding;  A loan, loan guarantee, or reimbursement program; or
 Any conditional award requiring performance, reporting, or fiscal accountability.

All grants accepted by the City are subject to applicable laws and regulations, including federal guidance under 2 CFR 200 and all City of Palm Desert fiscal and procurement policies.

Grant Types
The City recognizes the following common grant types:
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7  Discretionary Grants: Competitive awards based on specific application criteria.  Block Grants: Formula-based distributions for a broad program purpose.  Continuation Grants: Renewals or extensions of existing awards.  Cooperative Agreements: Awards with substantial grantor involvement.  Corporate/Foundation Grants: Non-governmental awards supporting City initiatives.
 Pass-Through Grants: Funds received from another agency acting as intermediary.
 Earmarks and Formula Grants: Legislative or formula-based distributions tied to defined metrics.

Governing Laws and Regulations
City departments must comply with the following, as applicable:
 2 CFR 200 – Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards
 Federal Grant and Cooperative Agreement Act of 1977 (31 U.S.C. §6304)  Single Audit Act Amendments of 1996
 OMB Circular A-133 Compliance Supplement
 California Government Code and City of Palm Desert Fiscal and Procurement Policies
Updates and Revisions
This manual is a living document. The City Manager’s Office and Finance Department may propose revisions to reflect changes in law, policy, or best practices. Revisions are effective upon City Manager approval or City Council adoption, as applicable.

Chapter 2: Grants Management Policy General
Principles
The City of Palm Desert encourages its departments to seek supplemental funding opportunities that support municipal services and community programs.

The following principles govern all grant activities:
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8 1. Departmental Responsibility:

Each department applying for or receiving a grant is responsible for the application, implementation, financial management, reporting, and closeout of that grant.

2. Central Oversight:

The City Manager’s Office provides administrative oversight, while the Finance Department ensures fiscal control, compliance, and audit readiness.

3. Consistency and Transparency:

All grant activity must be documented in the Citywide Grants Tracker (Excel) and supported by a complete file in the Laserfiche Grant Drive folder or other designated tracking and record-retention location, in accordance with this manual.

4. Cost Evaluation:

Departments must evaluate all required matching funds, staffing impacts, appropriations, and indirect costs before submitting any grant application.

5. Compliance:

All grants are subject to applicable local, state, and federal rules, and City departments will adhere to all applicable compliance requirements.

Application Approval
Departments may submit grant applications only after internal coordination and approval in accordance with the following rules:
 City Council Approval is required before submission if:

1. The grant creates ongoing City financial obligations.

2. The grant requires City Council execution; or

3. The grant poses potential controversy or political sensitivity.  City Manager Approval may suffice for time-sensitive applications requiring immediate submission, provided Council ratification is sought at the next available meeting.

Application Process

1. Departmental Assessment:

Departments must assess their administrative and fiscal capacity to manage the grant.
164
9 2. Internal Coordination:

Departments must notify the City Manager’s Office and Finance Department prior to submission.

3. Legal Review:

The City Attorney’s Office shall review applications and agreements when required.

4. Filing and Documentation:

A copy of each application and all supporting materials must be uploaded to the Laserfiche Grant Folder.

Grant Award and Acceptance
 All grant awards shall be executed by the City Manager or designee following Council approval where required.
 Copies of all executed agreements must be provided to the Finance Department and City Clerk for filing.
 Departments are responsible for initiating account setup and tracking expenditures in coordination with Finance.

Chapter 3: Roles and Responsibilities
City Council
 Authorizes policies, budgets, and acceptance of major grants.  Approves grant applications requiring significant matching funds or long-term obligations.
 Provides legislative oversight for grant-funded programs.

City Manager’s Office
 Serves as the central oversight authority for City grant activities.  Maintains the Citywide Grants Tracker within the Laserfiche Grant Drive and/or other established tracking mechanisms.
 Ensures consistency in grant administration across departments.  Coordinates interdepartmental communication and compliance.  Reviews applications and reports for alignment with City priorities.

Finance Department
165
10  Ensures fiscal accountability, compliance, and audit readiness.  Establishes grant project codes and applicable accounting codes to track all grant revenues and expenditures.
 Reviews reimbursement requests and prepares financial reports.  Monitors cost allocation, matching funds, and financial reconciliations.  Supports annual single-audit preparation for federal grant compliance.

Department Directors and Grant Managers
 Serve as primary custodians of each grant under their department.  Responsible for all deliverables, performance measures, and compliance reporting.
 Must maintain all documents in the Laserfiche grant folder.  Must update the Grants Tracker Excel sheet promptly after application, award, amendment, or closeout.
 Ensure expenditures are allowable under the grant agreement  Notify the City Manager’s Office and Finance Department of any grant modifications, reporting delays, amendments, departmental changes, or potential compliance issues.
 If the grant’s project manager changes, the department is responsible for training the new project manager on the grant cycle to ensure a smooth transition and prevent any disruptions or compliance issues.

City Attorney’s Office
 Reviews all contracts, grant agreements, and amendments requiring legal review.
 Provides legal guidance to departments regarding grant terms, indemnity, and liability.

All City Staff Engaged in Grant Management
 Must adhere to the City’s conflict-of-interest policies and ethical standards.  Are required to complete any training provided on grant management, compliance, or documentation procedures.
 Must cooperate with the Finance Department and external auditors during audits or reviews.
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11 Chapter 4: Grant Pre-Award Process
The pre-award process begins when a department identifies a potential funding opportunity and continues through submission of the grant application. The City of Palm Desert requires that all grant applications undergo internal review and documentation prior to submission.

Section 4.1 – Project and Program Development
A successful grant project must be well-developed before seeking external funding.

Departments must ensure the proposed project:
 Aligns with the City Council’s goals and the City’s Strategic Plan;  Is feasible and sustainable after the grant period; and  Has measurable outcomes and realistic deliverables.

Pre-Application Development Checklist:

Item Description Complete
(✔)
☐ Project aligns with City
priorities
Confirm alignment with Strategic Plan and
Council objectives
☐ Defined scope, objectives,
and outcomes
Identify deliverables, timeline, and
responsible parties
☐ Feasibility analysis
completed
Determine the operational, fiscal,
appropriation, and staffing feasibility.
☐ Post-grant sustainability
considered
Identify how the program will continue after
funding ends
☐ Partnerships established (if
applicable)
Secure letters of support or commitment
☐ Estimated budget prepared Include indirect costs, match requirements, and in-kind support
Section 4.2 – Review of Grant Opportunities
Departments are responsible for identifying suitable funding sources through federal, state, or private grant databases, newsletters, or professional networks (consultants).

Each opportunity should be evaluated using the following criteria:
 Financial Impact: Total cost, matching requirements, ongoing obligations  Operational Impact: Staffing capacity and cross-department coordination 167
12  Programmatic Impact: Consistency with City priorities and community need  Risk Assessment: Political sensitivity, compliance complexity, or audit exposure Section 4.3 – Coordination and Internal Review
Departments must coordinate with the City Manager’s Office and Finance Department prior to submission.

All proposed applications must be reviewed for compliance, budget accuracy, and administrative capacity.

Pre-Submission Review Checklist:

Review Step Responsible
Party
Notes Date
Completed
Department review of NOFO/FOA
requirements
Department
Coordination meeting with City Manager’s
Office
Department / CMO
Budget review and account setup discussion Finance
Legal review (if applicable) City Attorney
City Manager/City Council approval CMO / Council
Copy of application saved to Laserfiche
Drive
Department
Application logged in Grants Tracker Excel Department
Section 4.4 – Application Preparation
Departments are responsible for the completeness and accuracy of their applications.

All attachments, certifications, and forms must be reviewed and approved prior to submission.

Application Documentation Requirements
 Project narrative and scope of work
 Budget and budget justification
 Letters of support or partnership MOUs
 Required certifications and assurances
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13  Completed federal or state forms and all applicable forms.  Signed City approval form or Council resolution (if required) Section 4.5 – Submission and Recordkeeping
A final copy of the full application package must be:

1. Uploaded to the Laserfiche Grant folder under the designated grant name;

2. Logged in the Citywide Grants Tracker and or tracking mechanism

3. Shared electronically with the City Manager’s Office and Finance Department for internal tracking.

Chapter 5: Grant Post-Award Process
The post-award process begins once the City receives notification of an award and continues through project implementation, reporting, and closeout. The following standards ensure compliance, accountability, and audit readiness.

Section 5.1 – Award Notification, Review, and Acceptance  All award notifications must be reviewed by the City Manager’s Office and Finance Department prior to acceptance.
 The City Manager or designee executes grant agreements following Council authorization (if required).
 Fully executed agreements must be filed with the City Clerk and stored in the department’s Laserfiche grant folder.

Section 5.2 – Fiscal Accountability
Departments must ensure strict financial stewardship of grant funds. The following standards apply:

1. Grant Expenditures:
o Funds may only be used for purposes described in the grant agreement. o Expenditures must be allowable, allocable, reasonable, and properly documented as described in the grant award.

2. Matching Funds:
o All matching requirements must be budgeted and documented prior to expenditure.
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14 3. Budget Modifications:
o Any reallocation or modification requires written approval from both the Finance Department and the granting agency.

4. Financial Reporting:
o Departments must submit periodic financial reports to the grantor and provide copies to Finance and the City Manager’s Office.

Section 5.3 – Equipment and Real Property Management
All property or equipment purchased with grant funds must:
 Be used exclusively for the project during the grant term;  Be recorded in the department’s asset inventory and tagged per City policy;  Be safeguarded against loss or damage;
 Follow grant guidelines for disposition after closeout.  Reference City of Palm Desert Disposal Policy (Resolution 2022-99) Equipment Management Table
Item Serial/Asset Tag Acquisition
Date
Cost Location Disposition
Date/Action
Section 5.4 – Procurement and Suspension/Debarment
Departments must comply with federal, state, and City procurement requirements, using the most stringent rule applicable.

Before contracting under a federally funded grant:
 Verify all vendors and subcontractors are active in SAM.gov and not suspended or debarred.
 Maintain proof of verification in the grant file.
 Ensure all procurement records, bids, and contracts are uploaded to the Laserfiche grant folder.

Section 5.5 – Grant Reporting
Departments are responsible for submitting all required reports accurately and on time.

Reporting Requirements Table:
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15 Report Type Due Date Recipient (Agency) Copy To Status Progress Report Grantor City Manager’s Office
Financial Report Grantor / Finance Finance Department
Final Report Grantor City Manager’s Office / Finance
Section 5.6 – Closeout and Record Retention
Grant Closeout Procedures:

1. Reconcile all revenues and expenditures.

2. Submit final reports to the grantor and provide copies to Finance.

3. Ensure all deliverables are submitted by due dates.

4. Upload all closeout documents to the Laserfiche grant folder.

5. Update the Grants Tracker Excel Sheet to reflect “Closed” status.

Record Retention:

Grant records must be maintained for five (5) years after the final audit year, or longer if required by the grantor.

Section 5.7 – Termination and Continuation of Grant Programs  The City will not continue grant-funded programs or positions once funding expires, unless otherwise approved by the City Council.  Departments must notify the City Manager’s Office 90 days before grant expiration to determine closeout or renewal needs.

Section 5.8 – Conflict of Interest
No City official or employee may participate in the selection, award, or administration of a grant where a real or perceived conflict of interest exists.

Departments must adhere to the City’s Conflict of Interest Code and 2 CFR 200.318(c)(1) as applicable
Section 5.9 – Grant Folder Documentation Requirements
Each grant in the Laserfiche Grant folder location must contain the following (at minimum):

Grant Folder Documentation Checklist:
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16 Folder Section Contents Required Complete (✔)
Application Materials Application, narrative, budget, attachments Award Documentation Award letter, executed agreement, resolution Financial Documentation Expenditure reports, invoices, reimbursements Correspondence Grantor communications, approval letters Reports Progress, financial, and final reports
Equipment/Inventory Purchase documentation, asset logs
Closeout Final report, reconciliation, and audit results Amendments As applicable
Chapter 6: Federal Requirements for Construction
Projects
Departments managing federally funded construction-related projects must comply with all federal labor and safety standards.

These requirements extend to contractors, subcontractors, and subrecipients performing work under City-administered grants.

6.1 Federal Labor Standards and Compliance
When applicable, the following laws and standards must be enforced:

Regulation Summary Requirement
Davis–Bacon Act Requires contractors and subcontractors to pay prevailing wages, as determined by the U.S. Department of Labor (DOL), for all laborers and mechanics on federally funded construction projects exceeding $2,000. Wage determinations must be included in bid specifications.

Contract Work Hours
and Safety Standards
Act (CWHSSA)
Applies to contracts over $100,000. Defines overtime as any hours worked over 40 in a week and mandates overtime pay of 1.5 times the regular rate. Violations may result in liquidated damages of $40 per day per employee.

Copeland AntiKickback ActProhibits employers from inducing employees to give up compensation and requires certified payroll submission.

Fair Labor Standards
Act (FLSA)
Establishes minimum wage, overtime, recordkeeping, and child labor standards for all workers, including those not covered by Davis– Bacon.
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17 To ensure the City remains in compliance, departments must include all required labor provisions in bid solicitations, contracts, and project management documentation, and ensure that certified payroll records are retained for all contractors performing the work.

6.3 Environmental and Safety Compliance
Departments must comply with applicable National Environmental Policy Act (NEPA) and California Environmental Quality Act (CEQA) requirements, as well as all local safety standards.

Copies of environmental documents and approvals must be stored in the grant folder and or record retention area
Chapter 7: Other Important Federal Guidelines and
Policies

7.1 Disadvantaged Business Enterprises (DBE)
The City of Palm Desert promotes participation by minority-owned, women-owned, and disadvantaged business enterprises in federally funded projects.

Departments must make reasonable efforts to ensure DBEs are included in procurement solicitations, consistent with 49 CFR Part 26.

7.2 Civil Rights and Nondiscrimination
The City complies with Title VI of the Civil Rights Act of 1964 and related laws prohibiting discrimination on the basis of race, color, national origin, sex, age, or disability in any program or activity receiving federal assistance.

Departments must ensure equal opportunity in contracting, employment, and service delivery.

7.3 Americans with Disabilities Act (ADA) and Section 504 All programs, facilities, and communications must be accessible to persons with disabilities. Departments must evaluate accessibility impacts and document compliance efforts.

7.4 Lobbying Restrictions
Pursuant to 2 CFR 200.450, federal grant funds may not be used to influence members of Congress or other federal officials.

Departments engaging in lobbying with non-federal funds must submit Form SF-LLL (Disclosure of Lobbying Activities) as required.

7.5 Limited English Proficiency (LEP)
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18 Departments must ensure meaningful access to services and information for individuals with limited English proficiency.

Translated materials or interpreters should be provided when appropriate under Title VI guidance.

7.6 Drug-Free Workplace
All grant-funded programs must comply with 2 CFR 182, requiring a drug-free workplace policy and employee notifications for federally funded activities.

7.7 Conflict of Interest
No City employee, official, or agent shall participate in the selection, award, or administration of a grant or contract supported by federal funds where a real or apparent conflict of interest exists.

Conflicts arise when the employee, a family member, partner, or organization has a financial interest in or potential benefit from the transaction.

Departments must immediately disclose any potential conflict to the City Manager’s Office and Finance Department for review.

7.8 Organizational Conflicts of Interest
An organizational conflict of interest exists when an entity assisting in preparing specifications or applications is also competing for a resulting contract. Such entities must be excluded from participation unless approved by the federal awarding agency.

7.9 Recordkeeping and Audit Compliance
Departments must retain all grant-related records—including applications, contracts, reports, invoices, payrolls, and correspondence—for five (5) years after the final audit year.

If litigation, audit, or investigation is ongoing, records must be retained until all issues are resolved.

Part III – Appendices, and Adoption
Appendices
Appendix A – Citywide Grants Tracking
Each department must maintain current and accurate entries in the Laserfiche grant folder located in the City-of-Palm-Desert Laserfiche:
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19 📂 Laserfiche>City of Palm Desert > Grants
Required Columns:

Column Name Description Example Entry
Grant Title Official name of the funding
program
FEMA Hazard Mitigation Grant
Funding Source Agency or organization providing
funds
FEMA / Cal OES
State/Federally
Funded
State
Department Responsible City department Public Safety
Grant Manager City staff managing the grant D. Hurtado
Application
Submitted
Date of submission 01/15/2025
Award Amount Total funds awarded $250,000
Matching Funds Required local match (if any) $25,000 (10%) Project Start Date Beginning of grant term 07/01/2025
Project End Date End of grant term 06/30/2027
Status Application / Awarded / Active /
Closed
Active
Report Due Dates Periodic reporting schedule Quarterly
Folder Path Link or path to Laserfiche grants Laserfiche/City-Of-PalmDesert/Grants/ Departments must update this tracker:
 Upon submission of any application;
 Upon award, modification, or amendment;
 Upon closeout and final reporting.

Appendix B – Grants Folder Structure
To ensure consistent recordkeeping, all departments must store grant-related documents in the shared Laserfiche directory.
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20 Each department shall maintain a grant folder organized as follows:
📂 City-of-Palm-Desert
┣ 📁 Grants
┃ ┣ 📁 [Department Name]
┃ ┃ ┣ 📁 [Grant Name or Program Title]
┃ ┃ ┃ ┣ 📁 01_Application
┃ ┃ ┃ ┣ 📁 02_Award_and_Agreements
┃ ┃ ┃ ┣ 📁 03_Budget_and_Financials
┃ ┃ ┃ ┣ 📁 04_Reports
┃ ┃ ┃ ┣ 📁 05_Procurement_and_Contracts
┃ ┃ ┃ ┣ 📁 06_Equipment_and_Inventory
┃ ┃ ┃ ┣ 📁 07_Closeout
┃ ┃ ┃ ┗ 📁 08_Audit_and_Correspondence
Each folder must contain complete documentation for that stage of the grant lifecycle.

The Finance Department and City Manager’s Office will conduct periodic reviews of folder compliance.

Appendix C – Definitions and Acronyms
Term / Acronym Definition
2 CFR 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards
CFDA Catalog of Federal Domestic Assistance (now Federal Assistance Listings)
CMO City Manager’s Office
DBE Disadvantaged Business Enterprise
DUNS / UEI Unique Entity Identifier assigned by the federal government FOA / NOFO Funding Opportunity Announcement / Notice of Funding Opportunity LEP Limited English Proficiency
OMB Office of Management and Budget
SAM.gov System for Award Management – a federal database verifying entities’ eligibility
Uniform Guidance Common term for 2 CFR 200
176
21 Laserfiche Grant
Folder
City’s shared drive used for document storage and collaboration Prepared by: Daniel Hurtado, Tristan Morales
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178

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: December 11, 2025
PREPARED BY: Daniel Hurtado, Public Safety Coordinator
SUBJECT: RESOLUTION ACCEPTING THE CALIFORNIA DEPARTMENT OF

JUSTICE TOBACCO GRANT PROGRAM AWARD AND AUTHORIZING

THE CITY MANAGER TO EXECUTE ALL REQUIRED GRANT

DOCUMENTS
RECOMMENDATION:

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

PALM DESERT, CALIFORNIA, ACCEPTING THE CALIFORNIA DEPARTMENT OF

JUSTICE TOBACCO GRANT PROGRAM AWARD AND AUTHORIZING RELATED ACTIONS.”

2. Authorize the City Manager, or designee, to execute the Memorandum of Understanding (MOU), Grant Agreement, Summary of Award, Budget Detail, Government Taxpayer ID Form, any future amendments, and all other documents required by the California Department of Justice, provided that any amendments do not obligate additional City funds.

BACKGROUND/ANALYSIS:

The California Department of Justice (DOJ) administers the Tobacco Grant Program, established under Proposition 56, to support local enforcement and youth tobacco prevention efforts. The City of Palm Desert has historically conducted tobacco retail inspections in partnership with the Riverside County Sheriff’s Department; however, these efforts have been limited by the availability of staffing and funding.

To enhance compliance operations, expand youth access prevention activities, and address identified gaps in monitoring the City's 40 licensed tobacco retailers, staff submitted a competitive grant application on June 23, 2025, the opening day of the DOJ grant submission window.

The City applied for funding to support tobacco retail compliance checks, enforcement operations, education, data reporting, and program administration over a 36-month grant period.

As part of the application requirements, the City secured a formal Letter of Commitment from the Riverside County Sheriff’s Department, dated June 9, 2025. The letter (page 1) affirms the Sheriff’s Department’s partnership and commitment to carry out the enforcement activities identified in the proposal.

DOJ has since notified the City that it has been selected for award, with the final award amount to be confirmed through the forthcoming Grant Agreement and Summary of Award. The governing body must adopt a resolution accepting the award before the City can execute the MOU, incur reimbursable expenses, or begin grant-funded activities. 179
City of Palm Desert
(Tobacco Grant Resolution)

Legal Review:

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

FINANCIAL IMPACT:

An appropriation will be necessary from the General Fund to initially fund the expenditures related to this grant award. Staff will request the appropriation upon final award. All eligible expenditures will be reimbursed by the DOJ under the Tobacco Grant Program. If the City is awarded its full requested amount, the grant will provide $421,494 in funding over a 36-month term, fully supporting the planned enforcement and education activities and ultimately reimbursing the General Fund resources.

ATTACHMENTS:

1. Resolution

2. Letter of Intent (LOI)

3. Letter of Commitment – Riverside County Sheriff’s Department

4. 2025 Tobacco Grant Program Email
180
RESOLUTION NO. 2025-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM

DESERT, CALIFORNIA, ACCEPTING THE CALIFORNIA DEPARTMENT

OF JUSTICE TOBACCO GRANT PROGRAM AWARD AND

AUTHORIZING RELATED ACTIONS
WHEREAS, the California Department of Justice (DOJ) Tobacco Grant Program provides funding to local agencies for enforcement, education, and related activities pursuant to Proposition 56 and Revenue and Taxation Code section 30130.57; and WHEREAS, the City of Palm Desert has been notified that it has been selected to receive a Tobacco Grant Program award, with the final award amount to be determined upon issuance of the Grant Agreement and Summary of Award by DOJ; and WHEREAS, the DOJ Grantee Handbook requires a governing body resolution for agencies whose governing bodies require such action to formally accept the award and authorize participation; and
WHEREAS, DOJ requires that the resolution authorize the City to enter into a contract/Memorandum of Understanding (MOU), incur eligible grant-related expenses, receive reimbursement, and authorize future amendments without requiring an additional resolution.

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

SECTION 1. That the foregoing Recitals are true and correct and are incorporated herein by this reference.

SECTION 2. The City Council formally accepts the California Department of Justice Tobacco Grant Program award, with the final award amount to be established in the DOJ-issued Grant Agreement and Summary of Award.

SECTION 3. The City Manager, or designee, is authorized to execute the Memorandum of Understanding (MOU), Grant Agreement, Summary of Award, Budget Detail, Governmental Taxpayer ID Form, and all other documents required by DOJ to implement the grant.

SECTION 4. The City of Palm Desert is authorized to incur eligible grant-related expenses and receive reimbursement from DOJ in accordance with the Grant Agreement and Grantee Handbook.

SECTION 5. The City Manager, or designee, is authorized to execute future amendments to the Grant Agreement, including amendments that modify project timelines, increase or decrease funding, revise the scope of work, or adjust the budget, 181
Resolution No. 2025-____ Page 2
without requiring an additional resolution, provided such amendments comply with City policy and do not obligate additional local funds.

ADOPTED ON ________________, 2025.

JAN C. HARNIK
MAYOR
ATTEST:

ANTHONY J. MEJIA

CITY CLERK
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 ___________________.

ANTHONY J. MEJIA

CITY CLERK
182

OFFICE OF THE CITY MANAGER
November 25, 2025

LETTER OF INTENT TO ACCEPT AWARD
California Department of Justice
Tobacco Grant Program
[email protected]
Dear Tobacco Grant Program Staff:

CllY Of
73-5 10 FRED WARING DRIVE
PALM DESERT, CALIFORNIA 92260-2578
TEL: 760 346-0611
FAX: 760 340-0574
[email protected]
On behalf of the City of Palm Desert, thank you for the opportunity to participate in the California Department of Justice Tobacco Grant Program. The City is honored to be selected for award consideration and is committed to supporting the State's efforts to reduce youth access to tobacco products and strengthen local enforcement capacity.

This Letter of Intent confirms that the City of Palm Desert intends to accept the Tobacco Grant Program award issued by the California Department of Justice. The City appreciates the Department's continued investment in public health and enforcement partnerships throughout California.

The City affirms the following:
• The City of Palm Desert will obtain a governing body resolution formally accepting the award and authorizing the City to enter into a Memorandum of Understanding (MOU) with the California Department of Justice, as required by the Grantee Handbook.
• The City understands that the final award amount will be determined and reflected in the forthcoming Summary of Award and Grant Agreement provided by DOJ.
• Upon receipt of the contract documents, the City will promptly review, execute, and return all required opening documents within the established submission timelines.

We are grateful for this significant opportunity and look forward to partnering with the Department throughout the grant term. Please proceed with issuance of the final contractual documents at your earliest convenience.

Sincerely,
ris Escobedo
City Manager
City of Palm Desert
QP11tm00Nuomo,w 183
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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: December 11, 2025
PREPARED BY: Ryan Lamb, Senior Project Manager
SUBJECT: AWARD A TASK ORDER TO ACCENTURE LLP FOR CONSTRUCTION

MANAGEMENT SERVICES OF THE NEW LIBRARY FACILITY
(PROJECT NO. CFA00027)
RECOMMENDATION:

1. Award a task order to Accenture LLP for Construction Management Services of the New Library Facility in the amount of $1,662,667.

2. Authorize the City Manager to execute the task order and any other documents necessary to effectuate this action.

BACKGROUND/ANALYSIS:

On November 13, 2025, City Council awarded a Progressive Design-Build (PD-B) Contract to Tilden-Coil Constructors, Inc. The PD-B scope of work includes two phases:

Phase 1A: Pre-construction services focused on refining the project’s design through the Design Development phase, developing Construction Documents and obtaining final approvals, and culminating in a final negotiated Guaranteed Maximum Price (GMP) for Phase 2 services.

Phase 1B: Early Construction Package for the abatement and demolition of the Parkview Office Building and site preparation activities in advance of new construction.

Phase 2: Construction execution of the new facility, commissioning, and closeout.

The facility is intended to provide:
 A new home for the Palm Desert Library
 Community space for public events and shared space for Coachella Valley Association of Governments (CVAG), Veterans Services, and Friends of the Library  Visitor Center, Café, and Community Room with adjacent Demonstration Kitchen for a unique experience for visitors and residents
To ensure the project stays on schedule, meets all technical and quality milestones, and is completed efficiently, staff recommends engaging Accenture, to provide professional construction management services. Accenture (formerly known as Anser Advisory) was previously selected to provide Construction Management Services through a competitive procurement process, which included a qualifications-based evaluation and interviews conducted by a multi-departmental staff panel.

As part of their scope, Accenture will provide the following:
189
City of Palm Desert
Award a Task Order for CM Services – New Library Facility (CFA00027)

Preconstruction Services:
 Constructability Review
 Schedule Review
 Cost Estimating and Budget Control
 Technical specification review
 GMP assessment and recommendation
Construction Administration Services:
 Quality assurance, contractor coordination, and field inspections  Change Order Estimating and Budget Control
 Warranty documentation and closeout support
A detailed breakdown of all services is included in the attached proposal.

Legal Review:

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

FINANCIAL IMPACT:

Funding for this project is included in the approved FY 2025/26 Financial Plan and Five-Year Capital Improvement Project (CIP) list, utilizing Library Capital Funds, Measure G Funds (4524136-4400100), and Capital Bond Funds (4514136-4400100). This action will have no fiscal impact on the General Fund. The table below outlines project budget and expenses:

Authorized Budgets
Date
Authorized Total
Library
Capital
Measure
G
Capital
Bond
FY 2024-25 CIP Budget 7/1/2024 4,000,000 4,000,000
FY 2025-26 CIP Budget 7/1/2025 26,000,000 - 6,000,000 20,000,000 Total Authorized Budget to Date 30,000,000 4,000,000 6,000,000 20,000,000 Conceptual Design:

Richärd Kennedy Architects (C47340) 4/15/2024 642,865 642,865 - - Cost Estimating:

Accenture LLP (C44810) 4/1/2024 70,295 70,295 - -
Surveying:

TKE Engineering (C47460) 5/1/2024 67,500 67,500 - -
Traffic Study:

HR Green (A48090) 7/23/2024 50,169 50,169 - -
Geotechnical Engineering:

Sladden Engineering (C49180A) 4/21/2025 9,500 9,500 - - Lead & Asbestos Survey:

Belfor USA (C49180B) 9/4/2025 12,850 12,850 - -
Staff Time for Fiscal Year 2024-25 6/30/2025 48,574 48,574 Progressive Design Build:

Tilden-Coil Constructors 11/13/2025 3,233,959 3,098,247 135,712 - Total Authorized Expenditures to Date 4,135,712 4,000,000 135,712 - 190
City of Palm Desert
Award a Task Order for CM Services – New Library Facility (CFA00027)

Authorized Budgets
Date
Authorized Total
Library
Capital
Measure
G
Capital
Bond
Construction Management Services* 12/11/2025
Accenture LLP* 1,662,627 - 1,662,627 -
Remaining Project Budget Available 24,201,661 - 4,201,661 20,000,000 *This request
ATTACHMENTS:

1. CM Services Task Order

2. Accenture LLP Proposal

3. C44810 Anser Advisory CM Services

4. C44810 Amendment No. 3
191
192

CITY OF PALM DESERT

TASK ORDER
Contract No / P.O. #:

Task Order No.:

Task Order Bonds Needed?: YES NO
Account No.:

Project No.:

Vendor No.:

Description of Work
Contract Purpose:

Contractor Name:

Project Manager:

This Task Order is hereby executed on:

The dollar amount for this task order is:
_________________________________________________________ dollars and ___/100 (___________) Estimated Completion Date:

The undersigned Contractor hereby agrees that it will provide all equipment, furnish all materials, except as may be otherwise noted above, and perform all work specified above in accordance with the Agreement identified above and will accept as full payment therefore in the amount shown above.

NOTE: No payments will be made prior
to City Manager or Council approval QC: _____

1. APPROVED BY:
_____________________
City Manager 2. ACCEPTED BY: ______________________
Contractor
The Contractor is hereby authorized to perform the following work subject to the provisions of the Agreement identified above:

Retention Required?: YES NO

3. CERTIFIED FUNDS
AVAILABLE:
_____________________
Finance Director
C44810 25262164 TOCFA00027 ✔
✔
4524136-4400100 CFA00027 V0016597 Construction Management Services Ryan Lamb December 11, 2025 Provide comprehensive construction management services throughout all phases of the New Library Facility Project.

Services include:

Preconstruction Services:
• Constructability Review
• Schedule Review
• Cost Estimating and Budget Control
• Technical specification review
• GMP assessment and recommendation
Construction Administration Services:
• Quality assurance, contractor coordination, and field inspections • Change Order Estimating and Budget Control
• Warranty documentation and closeout support
The detailed description of the work is defined in Accenture's proposal dated 11/17/2025.

ONE MILLION SIX HUNDRED SIXTY-TWO THOUSAND SIX HUNDRED TWENTY-SEVEN 00 $ 1,662,627.00 February 29, 2028 Accenture LLP Accenture LLP 193
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Contract No. C44810
1 AMENDMENT NO. 3 TO THE PROFESSIONAL SERVICES AGREEMENT

BY AND BETWEEN THE CITY OF PALM DESERT

AND ACCENTURE, LLP

1. Parties and Date.

This Amendment No. 3 (“Amendment”) to the Professional Services Agreement ,Contract No. C44810, is made and entered into on September 16, 2025, 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 Accenture LLP, through its disregarded entity Accenture Infrastructure and Capital Projects, LLC, a Limited Liability Company, with its principal place of business at 300 Spectrum Center Dr., Floor 14, Irvine, California, 92618 Consultant”). City and Consultant are sometimes individually referred to as “Party” and collectively as “Parties.”

2. Recitals.

2.1 Agreement. The City and Consultant entered into a Professional Services Agreement dated February 16, 2023 (“Agreement”), for the purpose of retaining the services of Consultant for On-Call Construction Management Services (“Project”).

2.2 Background. The parties previously entered into two previous amendments, one of which was erroneously titled amendment No. 1, resulting in duplicate amendment No.1’s.

2.3 Amendments. The previous amendments were entered into on February 3, 2025, and August 12, 2025, one to extend the term of the Agreement and the other to update Consultants legal entity name, respectively. The City and Consultant now desire to amend the Agreement to memorialize, consolidate, and correct the amendments previously entered into between the parties.

2.4 Amendment Authority. This Amendment is authorized pursuant to Section

3.6.14 of the Agreement.

2.5 Amendment No. 3. The purpose of this Amendment No. 3 is to memorialize, consolidate, and correct the understanding between the parties regarding the amendments entered into on February 3, 2025, and August 12, 2025.

For the avoidance of doubt, it shall be memorialized and understood that the Amendment dated August 12, 2025, shall be legally known as Amendment No. 2, not Amendment No. 1 as entitled.

3. Terms.

3.1 Continuing Effect of Agreement. Except as amended by this Amendment No.

Docusign Envelope ID: EB15BCCA-FF9D-4032-B5E3-31D6C3AECC5A 257
Contract No. C44810
2 3, all other provisions of the Agreement remain in full force and effect and shall govern the actions of the Parties under this Amendment No. 3. From and after the date of this Amendment No. 3, whenever the term “Agreement” appears in the Agreement, it shall mean the Agreement as amended by this Amendment No. 3.

3.2 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. 3.

3.4 Severability. If any portion of this Amendment No. 3 is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.
[SIGNATURES ON FOLLOWING PAGE]
Docusign Envelope ID: EB15BCCA-FF9D-4032-B5E3-31D6C3AECC5A 258
Contract No. C44810
3 City Clerk QC: _____
Contracts QC: _____
Insurance:
___________
Initial Review
___________
Final Approval
SIGNATURE PAGE FOR AMENDMENT NO. 3 TO PROFESSIONAL SERVICES

AGREEMENT BY AND BETWEEN THE CITY OF PALM DESERT

AND ACCENTURE, LLP

CITY OF PALM DESERT

Chris Escobedo,
City Manager
Attest:

Anthony J. Mejia,
City Clerk
Approved to form by:
__________________________________
Isra Shah,
City Attorney

ACCENTURE, LLP

Tyson Atwood,
Senior Vice President

Craig Halvorson,
Executive Vice President
Docusign Envelope ID: EB15BCCA-FF9D-4032-B5E3-31D6C3AECC5A 259
260

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: December 11, 2025
PREPARED BY: Cesar Lopez, Senior Engineer
SUBJECT: RESOLUTION APPROVING FINAL TRACT MAP NO. 39276 RECOMMENDATION:

Adopt a Resolution entitled “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, APPROVING FINAL TRACT MAP NO. 39276 FOR FINANCING AND

CONVEYANCE PURPOSES LOCATED SOUTH OF FRANK SINATRA DRIVE AND WEST OF PORTOLA AVENUE.”
BACKGROUND/ANALYSIS:

On November 4, 2025, the Planning Commission approved Tentative Tract Map 39276 (TTM 39276) by Resolution No. 2906. The request by Blue Fern West (Applicant), was to subdivide an 81.43-acre property into eleven (11) lots for finance and conveyance purposes.  The lots are located south of Frank Sinatra Drive and West of Portola Avenue.  The approval does not have any conditions of approval.  No construction permits will be issued, and no bonds will be collected in connection with this map.

Final Tract Map (FTM) 39726 serves as a Finance Map to facilitate the financing and conveyance but does not allow for any construction. This map allows the project site to be subdivided into larger financing parcels. FTM 39726 has been deemed technically correct by the City Engineer and consistent with TTM 39276.

Legal Review:

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

FINANCIAL IMPACT:

There is no direct fiscal impact with this action.

ATTACHMENTS:

1. Resolution 2025-

2. Tentative Tract Map 39276

3. Final Tract Map 39276
261
262
RESOLUTION NO. 2025-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM
DESERT, CALIFORNIA, APPROVING FINAL TRACT MAP NO. 39276

FOR FINANCING AND CONVEYANCE PURPOSES LOCATED SOUTH
OF FRANK SINATRA DRIVE AND WEST OF PORTOLA AVENUE.

WHEREAS, Parcel Map conforms to the requirements of the Subdivision Map Act and City Ordinances; and
WHEREAS, the Tentative Tract Map 39276 (TTM 39276) was approved on November 4, 2025 by Planning Commission Resolution 2903 to subdivide a 81.43-acre property into eleven (11) lots for finance and conveyance purposes only located south of Frank Sinatra Drive and West of Portola Avenue (APN: 620-170-009). Tract Map 39276 serves as a Finance Map to facilitate the financing and conveyance but does not allow for any construction; and
WHEREAS, TTM 39276 has no conditions of approval and the Final Subdivision Map of Tract Map 39276 has been deemed technically correct by the City Engineer.

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

SECTION 1. That the foregoing Recitals are true and correct and are incorporated herein by this reference.

SECTION 2. The Final Subdivision Map of Parcel Map 39276, City of Palm Desert, California, is hereby approved as the official map of said tract, subject to the conditions of the Tentative Map.

SECTION 3. The Director of Development Services is directed to process the Parcel Map for recording upon receipt of the required payment of all fees.

SECTION 4. Effective Date. This Resolution shall take effect immediately upon this adoption.

ADOPTED ON ________________, 2025.

JAN HARNIK, MAYOR
ATTEST:

ANTHONY J. MEJIA, CITY CLERK
263
Resolution No. 2024-____ 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 ______________, 2025.

ANTHONY J. MEJIA

CITY CLERK
264

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DESERT GREENS DRIVE EAST

CABIN CIRCLE

DESERT GREENS DRIVE EAST

CUDY CIRCLE
DRIVE

HOLLISTER
PORTOLA AVENUE EX. 55' C.V.W.D. EASEMENT
1EX. 55' C.V.W.D. EASEMENT
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43' 7'
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N 01°21'36" E 2614.10' LOT 4 624,196 SF 14.33 AC. LOT 5 911,784 SF 20.93 AC.

A
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B
B LOT 2 625,234 SF 14.35 AC. LOT "A" LOT 1 70,112 SF 1.61 AC. LOT "B" 24,002 SF 0.55 AC. LOT "C" 31,638 SF 0.73 AC. "A" 188,557 SF 4.33 AC. LOT 1024' 142' 325' 157'
1012' N 63°25'32" W 28.93' N 63°20'09" E 28.97' N 11°24'32" E 39.00' N 60°12'15" E 32.96' ∆=01°01'07" R=2050.00' 36.45' N 78°35'28" W 2.01' N 11°24'32" E 39.00' N 32°54'26" W 32.93' N 89°52'40" E 582.02' 915' 616'
84'
13'
70' 83'
741' 55'
2043'
19'
35'160'
120' 70'
195'
246' 558'
1440' 512'
1587' 352'
456'
658' 164'
157'
34'
182'
30'
90' 90'
458'
325' 19'
90'
368'
225'
15' 457'
137' 635'
676' 818'
1436' 78'
1434'
927'
1038' N 89°52'40" E 39.00' N 89°52'40" E 39.00' N 89°46'49" E 1274.81' N 89°52'40" E 613.23' =08°12'56" R=2050.00' 293.95' N 01°21'57" E 167.96'
191'
224'
364' 125' (EXISTING IMPROVEMENTS) ±18' ±66' ±9' ±9' EX. BARRIER CURB ±7' PORTOLA AVENUE L ±41' C (PUBLIC ROAD) SCALE: 1" = 10' R/WEX. EX. RAISED MEDIAN SECTION B-B ±34' R/WEX. ±6' ±14' ±14' EX. BARRIER CURB ±14' ±14' ±6' ±32' EX. BIKE EX. TRAVEL LANE EX. TRAVEL LANE LANE EX. TRAVEL LANE EX. TRAVEL LANE EX. BIKE LANE ±34' 15' R/W PROP.LANDSCAPE PARKWAY 6' SIDEWALK EX. CURB & GUTTER PROP. MEANDERING SIDEWALK 125' (EXISTING IMPROVEMENTS) ±66' ±18' ±9' ±9' EX. BARRIER CURB ±7' FRANK SINATRA DRIVE ±41' (PUBLIC ROAD) SCALE: 1" = 10' R/WEX. EX. RAISED MEDIAN SECTION A-A ±34' R/WEX. ±14' ±14' ±6' EX. BARRIER CURB ±32' ±6' ±14' ±14' EX. TRAVEL LANE EX. TRAVEL LANE EX. BIKE LANE EX. BIKE EX. TRAVEL LANE EX. TRAVEL LANE LANE ±34' 15' R/W PROP. LANDSCAPE PARKWAY 6' SIDEWALK EX. CURB & GUTTER PROP. MEANDERING SIDEWALK CL EAST NORTH SOUTH WEST CENTERLINE EASEMENT EXISTING FLOWLINE HIGH POINT NUMBER PROPOSED RIGHT OF WAY TYPICAL (E) (N) (S) (W) C/L ESMT. EX. FLHP NO. PROP. R/WTYP. ABBREVIATIONS P.U.E. PUBLIC UTILITY EASEMENT AC ACREAGE C&G CURB AND GUTTER APN ASSESSORS PARCEL NUMBER E/P EDGE OF PAVEMENT GB GRADE BREAK G.N.V. GROUND NATIVE VEGETATION LP LOW POINT PE PAD ELEVATION PIG POINT OF INTERSECTION, GUTTER FL SF SQUARE FEET R RADIUS STD. STANDARD TOE BOTTOM OF SLOPE TOP TOP OF SLOPE TP TOP OF PAVEMENT A.C. ASPHALT CONCRETE P/L PROPERTY LINE N.T.S. NOT TO SCALE MIN. MINIMUM MAX. MAXIMUM EXISTING OVERHEAD TELEPHONE EXISTING IRRIGATION EXISTING GAS EXISTING SEWER EXISTING RIGHT OF WAY EXISTING EASEMENT EXISTING ELECTRIC PROPOSED BOUNDARY AND PARCEL LINE PROPOSED AND EXISTING CENTER LINE PROPOSED CURB PROPOSED EASEMENT EXISTING BOUNDARY EXISTING SEWER FORCE MAIN EXISTING IRRIGATION DRAIN LINE EXISTING CABLE EXISTING CONTOURS EXISTING SPOT ELEVATIONS LEGEND EXISTING WATER X EXISTING EASEMENT DELTA EXISTING LOT LINE PROPOSED LOT LINE PROPOSED RIGHT OF WAY EXISTING TELEPHONE CFD COMMUNITY FACILITIES DISTRICT TENTATIVE TRACT MAP NO. 39276 DATA TABLE ASSESSOR'S PARCEL NUMBER 620-170-009 EXHIBIT DATE: SEPTEMBER 18, 2025 SOURCE OF TOPOGRAPHY ADDRESS AEROTECH MAPPING, INC. 200 SPECTRUM CENTER DRIVE, SUITE 300 IRVINE, CALIFORNIA 92618 DATE OF TOPOGRAPHY OCTOBER 31, 2024 PUBLIC UTILITY PURVEYORS SOUTHERN CALIFORNIA EDISON SOUTHERN CALIFORNIA GAS COMPANY FRONTIER COMMUNICATIONS COACHELLA VALLEY WATER DISTRICT SPECTRUM COACHELLA VALLEY WATER DISTRICT UNDERGROUND SERVICE ALERT EXISTING ZONING PROPOSED ZONING EXISTING GENERAL PLAN LAND USE PROPOSED GENERAL PLAN LAND USE PLANNED RESIDENTIAL, 22 DU/AC. (P.R.-22) PLANNED RESIDENTIAL, 22 DU/AC. (P.R.-22) TOWN CENTER NEIGHBORHOOD LAND USE DESCRIPTION 1 EXISTING EASEMENT NOTES ZONE "X": AREAS DETERMINED TO BE OUTSIDE THE 0.2% ANNUAL CHANCE FLOODPLAIN AS SHOWN ON RIVERSIDE COUNTY, CALIFORNIA, FLOOD INSURANCE RATE MAPS, COMMUNITY PANEL MAP NUMBER: 06065C1595G FEMA FLOOD ZONE DESIGNATION EFFECTIVE DATE: AUGUST 28, 2008 APPLICANT / ADDRESS CONTACT 18300 REDMOND WAY, SUITE 120 REDMOND, WASHINGTON 98052 KIM MOLINA EXHIBIT PREPARER ADDRESS MSA CONSULTING, INC. 34200 BOB HOPE DRIVE RANCHO MIRAGE, CALIFORNIA 92270 CONTACT PAUL DEPALATIS, AICP TELEPHONE (760) 320-9811 REVISIONS NO. DATE 1 09/18/2025 ADDED NOTE #5 TO NOTES SECTION LIQUEFACTION MODERATE LIQUEFACTION ZONE 1. TOWN CENTER NEIGHBORHOOD THE CITY OF PALM DESERT OF THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA LEGAL DESCRIPTION (800) 684-8123 (877) 238-0092 (800) 921-8101 (760) 398-2651 (877) 719-3278 (760) 398-2651 (800) 227-2600 DESCRIPTION ELECTRIC GAS TELEPHONE WATER CABLE SEWER USA LAND OWNER THIS MAP INCLUDES THE ENTIRE CONTIGUOUS OWNERSHIP OF THE LAND DIVIDER. 2. THERE ARE EXISTING DWELLINGS, BUILDINGS, OR OTHER STRUCTURES KNOWN ON THIS PROPERTY. BLUE FERN WEST, LLC. ACREAGE TELEPHONE (619) 606-5020 MSA CONSULTING ,INC.

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GIS 34200 Bob Hope Drive Rancho Mirage, CA 92270 | 760.320.9811 | MSAConsultinginc.com SHEET SHEETS 1OF 1 25' SOUTHERN CALIFORNIA EDISON COMPANY EASEMENT, FOR PUBLIC UTILITIES PURPOSES & RIGHTS INCIDENTAL THERETO, RECORDED NOVEMBER 21, 1966, REC. NO. 112551 OF OFFICIAL RECORDS. (PLOTTED HEREON) 2 6' SOUTHERN CALIFORNIA EDISON COMPANY EASEMENT, FOR PUBLIC UTILITIES PURPOSES & RIGHTS INCIDENTAL THERETO, RECORDED FEBRUARY 09, 1979, REC. NO. 029009 OF OFFICIAL RECORDS. (PLOTTED HEREON) (TO BE ABANDONED) 3 55' COACHELLA VALLEY COUNTY WATER DISTRICT EASEMENT, FOR UNDERGROUND PIPELINE PURPOSES & RIGHTS INCIDENTAL THERETO, RECORDED APRIL 24, 1979, REC. NO. 082275 OF OFFICIAL RECORDS. (PLOTTED HEREON)
4 6' SOUTHERN CALIFORNIA EDISON COMPANY EASEMENT, FOR PUBLIC UTILITIES PURPOSES & RIGHTS INCIDENTAL THERETO, RECORDED MAY 21, 1979, REC. NO. 104181 OF OFFICIAL RECORDS. (PLOTTED HEREON) (TO BE ABANDONED) 5 15' COACHELLA VALLEY WATER DISTRICT EASEMENT, TO BUILD & MAINTAIN AN UNDERGROUND PIPELINE & NECESSARY DEVICES & APPURTENANCES WITH THE RIGHT OF INGRESS & EGRESS PURPOSES & RIGHTS INCIDENTAL THERETO, RECORDED APRIL 26, 1985, REC.

NO. 088224 OF OFFICIAL RECORDS. (PLOTTED HEREON) SCHOOL DISTRICT DESERT SANDS UNIFIED 6 4' CITY OF PALM DESERT EASEMENT, FOR THE PURPOSES OF STUB POLES, GUY WIRES, ANCHORS AND OTHER APPURTENANT FIXTURES AND/OR EQUIPMENT NEEDED FOR ANCHORAGE PURPOSES & RIGHTS INCIDENTAL THERETO, RECORDED FEBRUARY 04, 1987, REC. NO. 031452 OF OFFICIAL RECORDS. (PLOTTED HEREON)
7 A SOUTHERN CALIFORNIA EDISON COMPANY EASEMENT, FOR THE PURPOSES OF PUBLIC UTILITIES & RIGHTS INCIDENTAL THERETO, RECORDED FEBRUARY 20, 1987, REC. NO. 047125 OF OFFICIAL RECORDS. (PLOTTED HEREON) A CITY OF PALM DESERT EASEMENT, AFFECTING PARCEL(S) A & B, FOR THE PURPOSES OFPUBLIC ROAD AND HIGHWAY & RIGHTS INCIDENTAL THERETO, RECORDED JANUARY 07, 1986,REC. NO. 3616 OF OFFICIAL RECORDS. (PLOTTED HEREON) 8 A CITY OF PALM DESERT EASEMENT, FOR THE PURPOSES OF RETAINING ALL PUBLIC UTILITY

EASEMENTS EXISTING WITH SAID PUBLIC RIGHT-OF-WAY & RIGHTS INCIDENTAL THERETO, 9 RECORDED OCTOBER 31, 1991, REC. NO. 376424 OF OFFICIAL RECORDS. (PLOTTED HEREON)RESOLUTION NO. 91-102, VACATING A PORTION OF FRANK SINATRA DRIVE, RECORDEDOCTOBER 31, 1991 AS INSTRUMENT NO. 376424 OF OFFICIAL RECORDS. THAT PORTION BEING VACATED IS SUBJECT TO THE CONDITION THAT THE CITY OF PALM DESERT RESERVES THE RIGHT 10 TO REVIEW PLANS FOR ANY BLOCK WALL ON PROPERTY LINE AS ESTABLISHED BY THIS ABANDONMENT. THE VACATION IS FOR THE SOUTHERLY 5 FEET OF NORTHERLY 55 FEET OF FRANK SINATRA DRIVE. (NO PLOTTABLE EASEMENTS)A VERIZON CALIFORNIA INC. EASEMENT, FOR THE PURPOSES OF TRANSMISSION OF ELECTRICENERGY FOR COMMUNICATIONS, TELECOMMUNICATIONS, VIDEO, INTELLIGENCE BYELECTRICAL MEANS AND/OR OTHER PURPOSES, RECORDED MARCH 30, 2006, 11 REC. NO. 2006-0225361 OF OFFICIAL RECORDS. (PLOTTED HEREON) (LOCATION SHOWN IS APPROXIMATE IN NATURE) A WIRELESS COMMUNICATION EASEMENT AND ASSIGNMENT AGREEMENT DATED: NOVEMBER 29, 2012, RECORDED DECEMBER 11, 2012, REC. NO. 2012-0601828 OF 12 OFFICIAL RECORDS. NOTE: MEMORANDUM OF LEASE AMENDMENT AGREEMENT RECORDED APRIL 23, 2024, INSTRUMENT NO. 2024-0117234 OF OFFICIAL RECORDS.(PLOTTED HEREON) (LOCATION SHOWN IS APPROXIMATE IN NATURE) PORTOLA VICINITY MAP N.T.S. CITY OF PALM DESERT
SITE

AVENUE GERALD FORD DRIVE FRANK SINATRA DRIVE COUNTRY CLUB DRIVE INTERSTATE 10
AVENUE
COOK STREET DINAH SHORE DR.

MONTEREY CITY OF RANCHO MIRAGE FOR FINANCING & CONVEYANCE PURPOSES GENERAL NOTES EXISTING GROSS AREA 81.43 AC. PROPOSED NET AREA 78.83 AC. PROPOSED LOT 1 (CELL TOWER) 1.61 AC. PROPOSED LOT 2 (FUTURE RESIDENTIAL) 14.35 AC. PROPOSED LOT 3 (FUTURE RESIDENTIAL) 13.13 AC. PROPOSED LOT 4 (FUTURE RESIDENTIAL) 14.33 AC. PROPOSED PUBLIC RIGHT OF WAY DEDICATION 2.60 AC. (FRANK SINATRA DRIVE & PORTOLA AVENUE) BEING THE EAST 1/2 OF THE NORTHEAST 1/4 OF SECTION 5, TOWNSHIP 5 SOUTH, RANGE 5 EAST, SAN BERNARDINO MERIDIAN. 3. THE CELL TOWER LEASES, AND CELL TOWER EASEMENTS AS DISCLOSED BY THE DOCUMENT NO.___ RECORDED__ AFFECT THE LAND THAT IS LOCATED WITHIN LOT 1. 4. THIS MAP IS FOR PURPOSES OF LAND SALE AND OWNERSHIP TRANSFER ONLY. NO DEVELOPMENT IS PROPOSED ON ANY PARCEL WITHOUT A SUBSEQUENT ENTITLEMENT APPROVAL. PROPOSED LOT 5 (FUTURE RESIDENTIAL) 20.93 AC. PROPOSED LOT 6 (FUTURE RECREATION AREA) 4.00 AC. PROPOSED LOT "A" (PRIVATE INTERIOR COLLECTOR ROAD) 4.33 AC. PROPOSED LOT "B" (RETENTION) 0.55 AC. PROPOSED LOT "C" (RETENTION) 0.73 AC. PROPOSED LOT "D" (RETENTION) 2.30 AC. PROPOSED LOT "E" (OPEN SPACE) 2.57 AC. 5. ALL EXISTING EASEMENTS WILL REMAIN IN PLACE, UNLESS NOTED TO BE ABANDONED OR RELOCATED. BENCH MARK CPD BM #144 N 2224690.35' E 6525012.50' NAD83 CA ZONE 6 ELEVATION 274.00 BASIS OF BEARINGS BASED UPON THE CALIFORNIA COORDINATE SYSTEM (CCS83), ZONE 6, 2004.0 EPOCH, AS PER CITY OF PALM DESERT CONTROL SURVEY MONUMENTS BM 105 AND BM 144. TAKEN AS: N 10°26'34" E R:\2848\Acad\Planning\Tentative Map\2848 TTM 39276 - FINANCING MAP.dwg, 9/18/2025 3:51:26 PM, dgallerani, MSA Consulting, Inc. 265
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SHEET 1 OF 5 SHEETS
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{NOTARY'S ACKNOWLEDGMENT
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{SIGNATURE OMISSIONS
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No. 8223
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IN THE CITY OF PALM DESERT, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA TRACT MAP NO. 39276
BEING A SUBDIVISION OF THE EAST 1/2 OF THE NORTHEAST 1/4 OF SECTION 5, TOWNSHIP 5 SOUTH, RANGE 6 EAST, S.B.M.

FOR FINANCING PURPOSES ONLY
{EASEMENTS
SEE SHEET 2}
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44226
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FOR FINANCING PURPOSES ONLY

IN THE CITY OF PALM DESERT, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA TRACT MAP NO. 39276
BEING A SUBDIVISION OF THE EAST 1/2 OF THE NORTHEAST 1/4 OF SECTION 5, TOWNSHIP 5 SOUTH, RANGE 6 EAST, S.B.M.
268
2650.63' 1324.83' 2681.38' 2652.67'
2650.03'
2650.03'
1941.77'
(1941.77')R2
LOT 1
LOT 2
LOT 3
LOT 4
LOT 5
LOT 6
LOT "B"
LOT "D"
LOT "E"
LOT "F"
LOT "G"

63.53'
616.56'
LOT "A"
LOT "C"
517.93'
1995.29'
1324.83'
R.S. 159/6
E. 1/2
N.E. 1/4
SEC. 5
DETAIL "A"
{NOT TO SCALE}
J.N. 2848
SHEET 3 OF 5 SHEETS

PORTOLA

VICINITY MAP
N.T.S.

CITY OF
PALM
DESERT
SITE
AVENUE

GERALD FORD
DRIVE

FRANK SINATRA DRIVE

COUNTRY CLUB DRIVE
INTERSTATE 10
AVENUE

COOK STREET
DINAH
SHORE
DR.

MONTEREY

CITY OF
RANCHO
MIRAGE

FOR FINANCING PURPOSES ONLY
{
}
{FOUND 2 1/2" BRASS DISK STAMPED "L.S. 4146 1987 S5 T5S R6E", DOWN 1.6' PER R2, ACCEPTED AS THE N 1/4 CORNER OF SECTION 5.

FOUND 2 1/2" BRASS DISK STAMPED "L.S. 4146 1987 E 1/16 S5 T5S R6E", DOWN 0.6' PER R1, ACCEPTED AS THE NW CORNER OF THE E 1/2 OF THE NE 1/4 OF SECTION 5.

FOUND GEAR SPIKE & WASHER "L.S. 8508", FLUSH, PER CORNER RECORD 2017-340, ACCEPTED AS THE NE CORNER SECTION 5.

FOUND 1" IRON PIPE W/TAG "P.L.S. 8223", FLUSH, PER R2, ACCEPTED AS THE NW CORNER OF PARCEL 1.

FOUND 1" IRON PIPE W/TAG "P.L.S. 8223", FLUSH, PER R2, ACCEPTED AS THE SW CORNER OF PARCEL 1.

FOUND GEAR SPIKE & WASHER "L.S. 8508", FLUSH, PER CORNER RECORD 2023-1966, ACCEPTED AS THE E 1/4 CORNER SEC 5.

FOUND BOAT SPIKE, NO I.D., DOWN 0.3' IN ASPHALT, PER CORNER RECORD 2017-0356, ACCEPTED AS THE SE CORNER OF SECTION 5.

FOUND 1" I.P. WITH NAIL, NO I.D., DOWN 0.3' IN ASPHALT, PER CORNER RECORD 2010-0628, ACCEPTED AS THE SW CORNER OF SECTION 5.

FOUND 1 1/2" COPPERWELD, STAMPED "L.S. 5491", FLUSH IN ASPHALT IN LIEU OF 2" BRASS DISK, PER CORNER RECORD 2010-0644, ACCEPTED AS THE W 1/4 CORNER OF SECTION 5.}
2 1
3 4
5 6
8 9
{\Fromand|c0;\L\C5;MONUMENT NOTES}
1 2 3
5 6
8 9
E.S.P.

CPD BM #105
N 2219321.93'
E 6524023.07'
NAD83 CA ZONE 6
ELEVATION OF 241.26

NOT TO SCALE
CPD BM #144
N 2224690.35'
E 6525012.50'
NAD83 CA ZONE 6
ELEVATION OF 274.00GEODETIC NORTH CCS83 GRID NORTH
CONVERGENCE ANGLE AT THE CPD BM #105
827.86'(GRID)

FOUND GEAR SPIKE & WASHER
L.S. 8508, FLUSH,
PER C.R. 2023-1966, ACCEPTED AS
S.E. COR OF N.E. 1/4 SEC 5.

N 2222096.38
E 6524124.92
NAD83 CA ZONE 6
FOUND GEAR SPIKE & WASHER S 84%%D18'17" E
L.S. 8508, FLUSH,
PER C.R. 2017-340, ACCEPTED AS
N.E. CORNER SECTION 5.
{N 2224772.50
E 6524188.71
NAD83 CA ZONE 6}

BASIS OF BEARINGS
8 9 10
2 6
1 3
4 2
1 5 5
8 11 12
11 12
FRANK SINATRA DRIVE 4 PORTOLA AVENUE
DOC# 2018-0074280
REC. 2/28/2018 O.R.

QUITCLAIM DEED
32 W. 1/2
N.E. 1/4
SEC. 5
R.S. 138/52
3 6
4 6 5 5 4
7 8
8 9
5 32
3 5
3 4
32 4
5 1995.29'
1941.77'

55.02'
SEE DETAIL "A"

AT LEFT
\A1;S'LY LINE OF THE NE 1/4
0'
500'
SCALE 1"=250'
250' 750' 1000'
SEE SHEET 2 FOR EASEMENT NOTES
SEE SHEETS 4 AND 5 FOR

DETAILED LOT DIMENSIONS

INDICATES SHEET NUMBER
#
5 4
65'
4'
55'
25'
55'
25'
6'
15' 15'
5'
6'
6'
\A1;W'LY LINE OF THE SW 1/4
\A1;W'LY LINE OF THE NE 1/4
\A1;N'LY LINE OF THE NE 1/4
\A1;S'LY LINE OF THE SE 1/4

IN THE CITY OF PALM DESERT, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA TRACT MAP NO. 39276
BEING A SUBDIVISION OF THE EAST 1/2 OF THE NORTHEAST 1/4 OF SECTION 5, TOWNSHIP 5 SOUTH, RANGE 6 EAST, S.B.M.

10.00'
\A1;65'
269
LOT 5
LOT "G"
LOT "A"

20.932 AC.

2.008 AC.

2.572 AC.

4.329 AC.
1587.45'1995.29'
645.19' 679.84'
558.13'
L1
L5 L3
L6
L9 L8
C
1 C
2 C
3 (OPEN SPACE)
L2
LOT "C"
L10
L11
L12
L13
LOT 4

17.921 ACRES
665.00'
1273.59'
157.30'
1220.02'
LOT 3

9.712 ACRES
L4
DETAIL "A"
{NOT TO
SCALE}
J.N. 2848
SHEET 4 OF 5 SHEETS

FOR FINANCING PURPOSES ONLY

FRANK SINATRA DRIVE
SEE SHEET 3 FOR EASEMENT NOTES,

SURVEYORS NOTES AND BOUNDARY DIMENSIONS
\pxql;SEE SHEET 5
8 9 10
2 6
3 2
1 2
3 4

10.00'
L1
558.13'
L2
1587.45'
SEE DETAIL "A"

AT RIGHT
3 4
(PUBLIC STREET)
(ACCESS EASEMENT)
1 3
3 1
9 10
6 1995.29'
9 10 8

CURVE DATA
NO. DELTA RADIUS LENGTH
C1 1539.00'39.82'
C2 1500.00'38.81'
C3 1461.00'37.80'
0'
200'
SCALE 1"=100'
100' 300' 400'
65'
4'
55'
25'
6'
5'
55'
25'
6'
65' 5'

55.02'
SEE DETAIL "B"

AT LEFT
L4
DETAIL "B"
{NOT TO SCALE}
L5 L3
C
1 C
2 C
3 L9 18.52'

78.00'

FRANK SINATRA DRIVE
LOT 4 LOT 5
LOT "A" LOT "C"
L8

IN THE CITY OF PALM DESERT, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA TRACT MAP NO. 39276
BEING A SUBDIVISION OF THE EAST 1/2 OF THE NORTHEAST 1/4 OF SECTION 5, TOWNSHIP 5 SOUTH, RANGE 6 EAST, S.B.M.
\A1;65'
\A1;65'
L7
\A1;39' \A1;39'

LINE DATA
NO. BEARING LENGTH L1 65.02'
L2 N 89%%D52'40" E 55.02'
L3 29.07'
L4 N 89%%D52'40" E 78.00'
L5 29.07'
L6 65.02'

96.52'
L8 18.52'
L9 18.52'
L10 N 88%%D38'24" W 100.00'
L11 11.00'
L12 N 88%%D38'24" W 42.00'
L13 11.00'
270
LOT 1
LOT 6
LOT "B"
LOT "D"
LOT "F"
LOT 5
LOT "G"
1587.45'
1995.29'
2060.32'
817.57' 457.24'
PRC
L O T "
C "
616.56'
455.71'
675.51'
160.00' 352.23'

1.610 AC.

2.295 AC.

0.591 AC.

4.004 AC.

0.551 AC.

2.572 AC.

4.329 AC.

C
2 C 5
C 6
C
C
9 C
1 0
C
1 1
C
8 C
1 3
L13
L14
L15
L16
L17
L18
L20
L19
L22
L23
L24
L25
L30
L32
L34
L35
L36
L37
L38
L39
L40
L33
L31 L26 L29
L27 L28
L41
(RETENTION)
(RETENTION)
(RETENTION)
(OPEN SPACE)

20.932 AC.

L21
C
1 2
L42
L47
LOT 2
LOT 3
LOT "E"

14.353 ACRES

9.712 ACRES

0.548 ACRES
635.00'
C 1
4 C 1 5
C 1
L5 L6 L8
L9
665.00'
157.30'
L10 L11
L12
C
3 C
4 C 1 6
J.N. 2848
SHEET 5 OF 5 SHEETS

FOR FINANCING PURPOSES ONLY
\pxql;SEE SHEET 4
SEE SHEET 3 FOR EASEMENT NOTES,

SURVEYORS NOTES AND BOUNDARY DIMENSIONS
3 1
4 11 12
11 12 5
5 3
SEE DETAIL "A"

AT RIGHT
DETAIL "A"
{NOT TO
SCALE}
1 P
O
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5 6
LOT 4

FRANK SINATRA DRIVE

63.53'
5 2060.32'
1929.76'
P
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SEE DETAIL "B"

AT RIGHT
LOT 1
LOT 2
LOT "F"

1.610 AC.

2.295 AC.

DETAIL "B"
{NOT TO SCALE}
LOT 6
LOT "G"
LOT "C"
LOT "B"
(PUBLIC STREET)

10.00'
3 4
\A1;65'
(PUBLIC STREET)

0.591 AC.

4.004 AC.

2.572 AC.

4.329 AC.
558.13'
L1
L3
L4
C
1 L18
L19
L20
L22
0' 200'
SCALE 1"=100'
100' 300' 400'
C
1 2
C
1 3
L30
L31 L33
L35
L40
(ACCESS EASEMENT)
(OPEN SPACE)
(OPEN SPACE)
6'
55'
25'
15' 15'
55'
25'
L21

90.00'
455.71'
L34
L42
(PUBLIC STREET)
L32
L45
L47
L44
1995.29'

IN THE CITY OF PALM DESERT, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA TRACT MAP NO. 39276
BEING A SUBDIVISION OF THE EAST 1/2 OF THE NORTHEAST 1/4 OF SECTION 5, TOWNSHIP 5 SOUTH, RANGE 6 EAST, S.B.M.

L43
L46
\A1;39'
\A1;39'

14.353 ACRES
1273.59'
1220.02'

17.921 ACRES
C 1 5

CURVE DATA
NO. DELTA RADIUS LENGTH
C1 1539.00'39.82'
C2 646.00' 901.43'
C3 646.00' 362.65'
C4 646.00' 147.14'
C5 646.00' 364.43'
C6 646.00'27.23'
C7 607.00' 847.01'
C8 568.00' 792.59'
C9 00%%D22'23" 568.00'3.70'
C10 568.00' 245.80'
C11 568.00' 543.10'
C12 08%%D13'09" 2050.00' 294.08'
C13 2050.00'35.99'
C14 20.00'16.43'
C15 180.00'81.62'
C17 215.00'97.14'

LINE DATA
NO. BEARING LENGTH
L1 65.02'
L2 N 89%%D52'40" E 55.02'
L3 29.07'
L4 18.52'
L5 N 88%%D38'24" W 100.00'
L6 11.00'
N 88%%D38'24" W 42.00'
L8 11.00'
L9

86.10'
L13 90.00'
L14 N 88%%D38'24" W 26.72'
L15 181.39'
L16 N 28%%D14'40" E 157.35'
L17 33.59'
L18 N 28%%D14'40" E 181.96'
L19 90.00'
L20 N 28%%D14'40" E 30.00'
L21 90.98'
L22 0.98'
L23 15.00'
L24 32.68'
L25 N 89%%D47'03" E 78.89'
L26 167.95'
L27 136.55'
L28 31.41'
L29 N 89%%D46'49" E 50.02'
L30 136.71'
L31 32.84'
L32 39.00'
L33 39.00'
L34 33.27'
L35 134.70'
L36 N 88%%D38'24" W 70.22'
L37 120.00'
L38 35.01'
L39 N 66%%D11'34" E 194.80'
L40 206.24'
L41 1377.32'
L42 136.71'
L43 41.34'
L44 28.19'
L45 43.35'
L46 19.41'
L47 115.29'

LINE DATA
NO. BEARING LENGTH
616.56'
8 (A C
C
ES
S
E
A S
EMEN T
)
L10 N 28%%D35'11" W 37.04'
L11 88.72'
L12 N 88%%D38'24" W 17.00'
C16 185.00' 75.58'
(R)
(R)
(R)

2.01'
L2
271
272

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: December 11, 2025
PREPARED BY: Ivan Tenorio, Homeless and Supportive Services Manager SUBJECT: APPROVE THE HOMELESSNESS TASK FORCE 2026 ANNUAL WORK PLAN
RECOMMENDATION:

Approve and reaffirm the existing Work Plan categories for the 2026 Annual Work Plan, effective January 1, 2026.

BACKGROUND/ANALYSIS:

The Homelessness Task Force has six (6) established service categories that guide staff on how to focus their efforts on homelessness. On September 11, 2025, staff distributed an online survey to the Task Force members to submit their rankings of the six (6) established service categories. The survey results were incorporated into the final plan, ensuring it reflects Task Force priorities and aligns with past practice.

The survey gathered input on the importance of each category, allowing staff to align service prioritization with Task Force preferences. These six categories, with the associated services, were ranked by the Task Force as follows:

Category Existing/New Services

1. Outreach &
Engagement
Existing Street outreach, case management, linkage to
permanent supportive housing, linkage to treatment
centers, and vital documentation. Additionally, focus
on hotspots as they emerge or raise concerns for the
community.

2. Shelter Existing Reduce shelter capacity from five beds to three.

Reduced shelter beds to better align with actual
utilization.

3. Bridge Housing Existing Continued partnership with CVAG’s Housing First program, subject to Permanent Local Housing
Allocation funding allocation.

4. Crisis Intervention
and Prevention
Existing Prioritizes strengthened coordination with County Behavioral Health resources, including CBAT and
Mobile Crisis Teams, to improve responsiveness to
mental health crises.

5. Community
Programs
Existing Focuses on enhancing visibility and access to
essential services through an upgraded City website
and comprehensive resource directories.

6. Homeless
Prevention
Resources
Existing Collaborate with the City’s Housing Authority to connect with low-income community complexes and
273
City of Palm Desert
Approve 2026 Work Plan

provide resources to families who may need
assistance.

Staff recommends that the City Council approve the 2026 Homeless Task Force Annual Work Plan to support continued progress in addressing homelessness. By reinforcing service priorities and maintaining strong partnerships with regional providers, the City will support a coordinated response to homelessness and provide meaningful support to residents who are experiencing or at risk of homelessness.

Homelessness Task Force:

On November 10, 2025, the Homelessness Task Force reviewed and recommended that the City Council approve the proposed Work Plan.

FINANCIAL IMPACT:

Homeless Services Program costs are covered by Opioid Settlement and Permanent Local Housing Allocation funding. Therefore, there is no impact to the General Fund with this action. 274

PALM DESERT HOUSING AUTHORITY

STAFF REPORT
MEETING DATE: December 11, 2025
PREPARED BY: Kalaina Perez, Management Analyst
SUBJECT: APPROVE A TWO-YEAR MAINTENANCE AGREEMENT WITH VM POOL

SERVICE AND REPAIRS FOR POOL AND SPA MAINTENANCE AT
HOUSING AUTHORITY PROPERTIES.

RECOMMENDATION:

1. Approve a two-year maintenance agreement with VM Pool Service & Repairs Inc., with three one-year extension options, at an annual not-to-exceed amount of $209,040 per fiscal year, and up to $75,000 for additional as-needed services.

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

3. Authorize the Executive Director, or designee, to execute any change orders or amendments to the agreement.

BACKGROUND/ANALYSIS:

The Palm Desert Housing Authority (PDHA) owns and operates 15 residential properties that include 16 pools and 7 spas. Routine maintenance of these aquatic facilities is essential to ensure resident safety, maintain regulatory compliance with City, County, and State requirements, and protect the City’s property assets.

The PDHA issued a Request for Proposals (RFP) on July 30, 2025, and received three qualified proposals. VM Pool Service & Repairs Inc. (VM Pool) submitted the most cost-effective and responsible proposal, meeting all required qualifications, including Department of Industrial Regulations (DIR) registration. The table below summarizes the cost proposals submitted by the three qualified contractors:

RFP Submittals
Contractor Proposed
Monthly Amount
Proposed
Annual Amount
VM Pool Repair and Service $17,420 $209,040
Service First $29,900 $358,800
Ocean Springs Tech $30,624 $367,488
The VM Pool proposal includes an annual bid of $209,040 for daily maintenance services of all PDHA pools and spas. Additionally, staff is recommending that the PDHA allocate an additional $75,000 for as-needed services. VM Pools has been providing services to the PDHA properties under the current contract (HA48770) since January 1, 2025, at a monthly rate of $15,500, which expires on December 31, 2025.

The proposed contract provides ongoing maintenance services for the Authority’s aquatic facilities, including routine inspections, chemical balancing, equipment maintenance, and 275
City of Palm Desert
Approve Contract for Pool and Spa Maintenance at PDHA Properties

emergency response as needed. The agreement also includes flexibility for annual renewal options to ensure continuity of services and alignment with the budget.

Legal Review:

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

Appointed Body Recommendation:

The Housing Commission reviewed this item at its regular meeting on November 12, 2025, and recommended that the Housing Authority approve the contract.

FINANCIAL IMPACT:

Funding for the contract is included in the Housing Authority’s FY 2025-26 operating budget and is available within the individual property expense accounts. There is no impact on the City’s General Fund with this action.

ATTACHMENTS:

1. Draft Maintenance Services Agreement
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PALM DESERT HOUSING AUTHORITY

MAINTENANCE SERVICES AGREEMENT

1. Parties and Date. This Agreement is made and entered into this 11th day of December, 2025, by and between the Palm Desert Housing Authority, a Public Body, Corporate and Politic, a political subdivision 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, (“Authority”) and VM Pool Service and Repairs, Inc, a Corporation, with its principal place of business at 40395 Firenze Court, Indio, CA 92203 ("Contractor"). The Authority and Contractor 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 Authority 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 Authority. Contractor shall not subcontract any portion of the work required by this Agreement, except as expressly stated herein, without prior written approval of Authority. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement.

2.2 Project.

The Authority is in need of services for the following project:

Housing Authority Commercial Pool and Spa Maintenance
(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 Authority 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 January 1, 2026, to December 31, 2027, unless earlier terminated as provided herein. The Authority shall have the unilateral option, at its sole discretion, to renew this Agreement automatically for no more than three (3) additional one-year 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 277
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means, methods, and details of performing the Services subject to the requirements of this Agreement. The Authority 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 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 Authority, 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 Authority.

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

3.2.5 Contractor’s Representative. Contractor hereby designates Victor Monterroso, Owner, 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 Authority staff in the performance of Services and shall be available to Authority’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 of Palm Desert 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 Authority, any services necessary to correct errors or omissions which are caused by the Contractor’s failure to comply with the standard of care 278
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provided for herein. Any employee of the Contractor or its sub-contractors who is determined by the Authority 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 Authority, 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.

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 Authority 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 Authority. If Contractor disputes the Authority’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 Authority to terminate the Agreement for cause. The Authority 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 279
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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 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 Authority, 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 Authority. (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 $1,000,000 per occurrence, $2,000,000 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. 280
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(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
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 Authority, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the Authority, 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 Authority 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 Authority 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 Authority’s Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with Authority at all times during the term of this contract. The Authority reserves the right to require complete, certified copies of all required insurance policies, at any time.
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(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 Authority 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 Authority before the Authority’s own insurance or selfinsurance shall be called upon to protect it as a named insured. (D) Authority’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, Authority has the right, but not the duty, to obtain the insurance it deems necessary, and any premium paid by Authority will be promptly reimbursed by Contractor, or Authority will withhold amounts sufficient to pay premium from Contractor payments. In the alternative, Authority 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 Authority’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 Authority, 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 Authority, 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 Authority to inform Contractor of non-compliance with any requirement imposes no additional obligations on the Authority 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 Authority 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 Authority. 282
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(I) Notice of Cancellation. Contractor agrees to oblige its insurance agent or broker and insurers to provide Authority 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 Authority, 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. (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 Authority 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 Authority for review.
(N) Authority’s Right to Revise Specifications. The Authority 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 Authority and Contractor may renegotiate Contractor’s compensation. If the Authority 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 the Authority. The Authority reserves the right to require that selfinsured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by the Authority. (P) Timely Notice of Claims. Contractor shall give the Authority 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. 283
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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.

3.2.13 Bonds.

3.2.13.1 Performance Bond. If required by law or otherwise specifically requested by Authority, Contractor shall execute and provide to Authority 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 Authority. If such bond is required, no payment will be made to Contractor until it has been received and approved by the Authority.

3.2.13.2 Payment Bond. If required by law or otherwise specifically requested by Authority, Contractor shall execute and provide to Authority 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 Authority. If such bond is required, no payment will be made to Contractor until it has been received and approved by the Authority.

3.2.13.3 Bond Provisions. Should, in Authority’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 Authority. 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 Authority, 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 Authority. To the extent, if any, that the total compensation is increased in accordance with the Agreement, the Contractor shall, upon request of the Authority, cause the amount of the bonds to be increased accordingly and shall promptly deliver satisfactory evidence of such increase to the Authority. 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 Authority 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 Authority. 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 Authority.
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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 Authority 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, 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 Authority 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 Authority in writing. The Authority 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 Authority 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 Authority.

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 Authority 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 Authority 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 285
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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 Authority 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 Authority, regardless of whether or not such warranties and guarantees have been transferred or assigned to the Authority by separate agreement and Contractor agrees to enforce such warranties and guarantees, if necessary, on behalf of the Authority. 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 Authority, the Authority shall have the right to correct and 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 Authority 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 compensation shall not exceed TWO HUNDRED NINE THOUSAND FORTY AND 00/100 DOLLARS ($209,040.00) Per Full Fiscal Year, prorated for any partial fiscal year within the Term of this Agreement,without written approval of the Authority Board or Executive Director, as applicable.

The Authority may request additional work at rates and manner as set forth in this Agreement on an as needed basis as specified in Section 3.3.5. Contractor shall not perform Extra Work, shall not presume extra work will be guaranteed, nor be compensated for Extra Work without written authorization from the Authority. Work performed as Extra Work shall not exceed the annual amount of SEVENTY-FIVE THOUSAND AND 00/100 DOLLARS ($75,000.00) Per Full Fiscal Year, prorated for any partial fiscal year within the Term of this Agreement. Contractor shall not be reimbursed for any expenses unless authorized by the Authority Board or Executive Director, as applicable.

The total compensation under this Agreement, including base and additional services, shall not exceed TWO HUNDRED EIGHTY-FOUR THOUSAND FORTY AND 00/100 DOLLARS ($284,040.00) PER FULL FISCAL YEAR (Prorated for partial fiscal years), and shall not exceed a cumulative total of FIVE HUNDRED SIXTY-EIGHT THOUSAND EIGHTY AND 00/100 DOLLARS ($568,080.00) for the full two-year Term on this Agreement.

3.3.2 Payment of Compensation. Contractor shall submit to Authority monthly invoices which provides a detailed description of the Services and hours rendered by Contractor.

Authority 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 Authority 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.

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of final payment shall not constitute a waiver of any claims by the Authority for any reason whatsoever.

3.3.3 Deductions. Authority may deduct or withhold, as applicable, from each progress payment an amount necessary to protect Authority 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 Authority, incurred by the Authority for which Contractor is liable under the Agreement; and (4) any other sums which the Authority 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 Authority to deduct any of these sums from a progress payment shall not constitute a waiver of the Authority's right to such sums.

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

3.3.5 Extra Work. At any time during the term of this Agreement, Authority may request that Contractor perform Extra Work. As used herein, “Extra Work” means any work which is determined by Authority 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 Authority’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 $1,000 or more, Contractor agrees to fully comply with such Prevailing Wage Laws. Authority 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 Authority, 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 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 287
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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 Authority. Contractor shall defend, indemnify, and hold the Authority, 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. Authority 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 Authority, 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, Authority 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, Authority 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:

Contractor: VM Pool Service And Repairs
40395 Firenze Court
Indio, Ca 92203
Attn: Victor Monterroso, Owner
Authority: Palm Desert Housing Authority
73-510 Fred Waring Drive
Palm Desert, CA 92260-2578
ATTN: Melinda Gonzalez, Development Services
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 288
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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 Authority, 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 Authority.

3.5.2.2 Additional Indemnity Obligations. Contractor shall defend, with counsel of Authority’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 Authority, 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 Authority, 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 Authority for the cost of any settlement paid by the Authority, 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 Authority’s attorney’s fees and costs, including expert witness fees. Contractor shall reimburse the Authority, 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 Authority, 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 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 Authority. 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 Authority.

3.5.4 Time of Essence. Time is of the essence for each and every provision of this Agreement.
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3.5.5 Authority’s Right to Employ Other Contractors. Authority 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 Authority. 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 Authority 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 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, Authority shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer, or employee of Authority, during the term of his or her service with Authority, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.
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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.

3.5.18 Federal Provisions. Reserved.
[SIGNATURES ON NEXT PAGE]
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SIGNATURE PAGE TO MAINTENANCE SERVICES AGREEMENT

BY AND BETWEEN THE PALM DESERT HOUSING AUTHORITY
AND VM POOL SERVICE AND REPAIRS, INC.

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

PALM DESERT HOUSING AUTHORITY
By:

Chris Escobedo
Executive Director
Attest:

By:

Anthony J. Mejia
Secretary
Approved as to form:

By:

Isra Shah
Best Best & Krieger LLP
General Counsel

VM POOL SERVICE AND REPAIRS, INC, A

CORPORATION
By:

Victor Monterroso
President
By:

Hilda Monterroso
Secretary
Contractor’s License Number and
Classification
DIR Registration Number (if applicable)
Clerks QC: ________
Contracts QC: ________
Insurance:
___________
Initial Review
___________
Final Review
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EXHIBIT “A”

SCOPE OF SERVICES
Request for Proposals (RFP) published July 30, 2025
Inclusive of the Scope of Services
Routine Maintenance Services
Perform daily seven-day-a-week and year-round service of all pools and spas at the properties, as required by Riverside County Health Department Standards and any other governing entity.

NO EXCEPTIONS.

Daily services include, but not limited to:
• Clean and chemical balance bodies of water
• Check and adjust chlorine, pH, and other chemical levels as required to maintain water quality.
• Skim, vacuum, brush, and empty baskets of all pools and spas. • Remove debris caused by all maintenance activities on the same working day that such debris is accumulated.
• Inspect and maintain detailed records/logs on all pools, spas, and equipment including detailed logs of chemical levels and work performed each day. • Ensure compliance with Riverside County Environmental Health Department Standards, California Department of Public Health, and any other health regulations regarding pool safety and water quality.
• Furnish all pool chemicals related to daily operations of the Authority pools and spas. • Maintain and adjust chemical controllers to include calibration and standardization; automatic pool leveling equipment, including valves, floating weirs and skimmer checks. • On-site storage of chemicals is prohibited; except as required to be kept on site by a health and/or safety regulatory body. Documentation must be presented to validate a request to store chemicals on site.
• A log of every service, including date and time, along with repair made shall be submitted to property management weekly.

Preventative Equipment Maintenance:
• Inspect and perform maintenance of pool pumps, filters, heaters, mechanical, electrical and related equipment.
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• Log and bring to the attention of the Authority of identified potential issues. • Lubricate moving parts, replace seals, and clean filters as needed. • Communicate with the Authority and property management regarding the conditions of all pools, spas, and equipment by providing a monthly report.

Equipment Room Inspection and Maintenance:
• The contractor shall keep the equipment rooms at each property clean and tidy manner. • If repairs to the equipment room are recommended, such recommendations must be made to the Authority and property management.

Chemicals
• On-site storage of chemicals is strictly prohibited; except as required to be on-site by a health and/or safety regulatory body. Documentation must be presented to validate a request to store chemicals on site.
• Handling of pool and spa chemicals must comply with the guidelines set forth by the California Division of Occupational Safety and Health (Cal/OSHA) and other safety regulatory bodies
Repairs and Additional Service
Repairs:
• Repairs outside of preventative maintenance is outside of the daily maintenance required and described above.
• Written estimates shall be submitted for approval prior to the purchase of parts and/or installation thereof.
• Estimates shall be detailed and include a minimum of the following: property name, pool/spa identification number, part number, cost per unit, warranty information, and prevailing wage statement.
• All repairs, including the replacement of damaged and malfunctioning components of equipment such as pumps, motors, lighting, control systems, as well as replacement of filters are outside of the regular maintenance agreement and are considered Additional Services.
• Additional service is a separate item from normal contractual duties. The contractor is expected to complete the daily maintenance duties and extra work shall not interfere with nor delay these duties.

Repair Logging and Documentation:
• Maintain a comprehensive log of all repairs conducted, including date, time, nature of the issue, actions taken, and parts replaced.
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• Submit monthly repair reports to property management detailing all maintenance and repair activities.
• Ensure that all repair logs are accessible to the Authority and property management upon request for review and audit purposes.

Warranty Management:
• Provide documentation of all warranties for parts and labor associated with repairs. • Manage warranty claims on behalf of the Authority, ensuring timely resolution and replacement of faulty components.
• Maintain a record of all warranty information and provide updates to the Authority as warranties expire or are renewed.

Emergency Response:
• Establish a 24/7 emergency contact protocol.
• An emergency that is causing a hazard to the public or property must be responded to within two (2) hours. Failure to do so may result in monetary deductions from the monthly billing.
• Provide emergency repair services with a response time of 2 hours for issues posing immediate safety hazards or significant operational disruptions. • Emergency response work should be limited to the level required to mitigate an emergency and further repairs should be completed during normal working hours. • Emergency response is a separate item from normal contractual duties and is considered an additional service. The contractor is expected to complete the daily maintenance duties and responding to an emergency shall not interfere with nor delay these duties.
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EXHIBIT “B”

SCHEDULE OF SERVICES
“The contractor shall perform the services in accordance with the mutually agreed-upon schedule for each month.”
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EXHIBIT “C”

COMPENSATION
Contractor shall be compensated at a base rate of Two Hundred Nine Thousand Forty Dollars ($209,040) per fiscal year, with amounts prorated for any partial fiscal year. In addition, Contractor shall receive Seventy-Five Thousand Dollars ($75,000) per fiscal year, likewise prorated for any partial fiscal year, for any additional services authorized by the Authority under this agreement. The combined compensation for each fiscal year shall not exceed Two-Hundred Eighty-Four Thousand Forty Dollars ($284,040), prorated for any partial fiscal year. The total compensation payable under this agreement for the full contract term shall not exceed Five Hundred Sixty-Eight Thousand Eight Dollars ($568,080). Payment and Performance Bonds apply and will follow. 297
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EXHIBIT “D”

VENDOR PROPOSAL/QUALIFICATIONS
298

VM POOL SERVICES & REPAIR

TABLE OF CONTENTS
XX
I. COVER LETTER………………………………………………………………......

II. EXPERIENCE AND TECHNICAL COMPETENCE……………………………..

III. FIRM STAFFING AND KEY PERSONNEL……………………………………...

IV. PROPOSED METHOD TO ACCOMPLISH THE WORK………………………..

Exhibit "D"
299
40395 FIRENZE COURT
INDIO, CA 92203
Email: [email protected] Phone: (760) 343-8616
I

VM POOL SERVICES & REPAIR
08/05/2025
The Palm Desert Housing Authority
73-510 Fred Waring Drive,
Palm Desert CA 92260
Subject: Proposal for Commercial Pool & Spa Maintenance & Repair Service at Apartment Complexes
Dear Palm Desert Housing Authority,
VM Pool Services & Repair, is pleased to submit this proposal for the Commercial Pool & Spa Maintenance & Repair Service at Apartment Complexes, demonstrating our commitment to delivering high-quality, timely, and cost-effective pool service, repair, and construction of anything pool related. With 15+ years of experience in the industry, we have a proven track record of successfully completing projects of similar scope and complexity, including the construction of pools, the continued maintenance of those projects for efficiency and quality of the work performed.

We understand the importance that The Palm Desert Housing Authority must have on its contractors to meet the needs required by contract and/or project goals. We therefore adhere to strict timelines, maintaining budget requirements, while ensuring that each project has the upmost quality control measures to satisfy our client’s needs. Our team is equipped with the necessary expertise and resources to meet these requirements, from initial planning to project execution and completion.

Our proposal includes a detailed scope of work, project schedules as needed, and a clear cost breakdown, ensuring transparency and accountability throughout the project lifecycle. We are confident that our approach will not only meet but exceed your expectations.

We are eager to become your trusted pool maintenance professionals and look forward to speaking in detail and answer any questions you may have. We are available for a meeting at your convenience and look forward to the opportunity to partner with you on this important project.

Thank you for your time and consideration.

Sincerely,
Victor Monterroso, President
VM Pool Services & Repair
Phone: (760) 343-8616
Exhibit "D"
300
Exhibit "D"
301

PROPOSED METHOD TO ACCOMPLISH THE WORK
IV.

I. Technical and Management Approach To Routine Maintenance Services:

Within the contractual parameters, VM Pool Services & Repair understands the importance of a clean and safe pool, and we are committed to providing reliable, consistent service to keep your pool in top condition year-round. We believe in open and honest communication, providing clear explanations of our services and addressing any questions or concerns you may have. For this reason we have previously incorporated the requirements desired by individuals, businesses, and city/county customers. a. Services Performed:
 Clean with chemicals, water treatment.
 Check chlorine, pH, and other chemical levels as required to maintain water quality.
 Skim, vacuum, brush, and empty baskets of pools and spas.  Remove debris caused by any working being performed or accumulated debris.  Inspect and maintain detailed records/logs on all pools, spas, and equipment including detailed logs of chemical levels and work performed each day.  Ensure compliance with city, county, and state rules regarding pool safety and water quality.
 Furnish all pool chemicals related to daily operations of the Authority pools and spas.
 Performance of calibration and standardization of pool leveling equipment, including valves, floating weirs and skimmer checks.
 We do not store or ask to store any equipment that our business or its employees need for the use and day to day operations with any customers.  We continuously submit daily service logs, including date, time, and repairs, to property management weekly.
b. Equipment Maintenance :
 We inspect and perform maintenance of pool pumps, filters, heaters, mechanical, electrical and related equipment.
 Log and bring to the attention of the Authority of identified potential issues.  Lubricate moving parts, replace seals, and clean filters as needed.  We communicate to our customers regarding the conditions of all pools, spas, and equipment by providing Comprehensive 30-Day Monthly Pool, Spa, and Equipment Update Report.

Exhibit "D"
302
Palm Desert Housing Authority
Commercial Pool and Spa Maintenance and Repair Services at Apartment Communities

COST PROPOSAL
The undersigned, hereby declare that they have carefully examined the location of the proposed services, work, familiarized themselves with the local conditions affecting the cost of the services and work, and have read and examined the terms and conditions for the following Palm Desert Housing Authority (“Authority”) Request for Services:
“COMMERCIAL POOL AND SPA MAINTENANCE AND REPAIR SERVICE AT APARTMENT COMMUNITIES”
The undersigned, hereby propose to furnish all labor, materials, equipment, tools, transportation, and services, and to discharge all duties and obligations necessary and required to perform and complete the Services and Work in strict accordance with the Cost Proposal.

DAILY MAINTENANCE COST PROPOSAL
It is understood that the price shown herein includes all routine and daily maintenance described in the Scope of Services of the RFP and shall be inclusive of all costs for the Proposer to accomplish the work.

For each item, the averaged one-month maintenance cost shall be indicated, and the total of these costs shall be extended for the two-year term of the Agreement:

Property Type of Feature Cost
(Monthly)
Cost
(Annual)

CALIFORNIA VILLAS
77-107 California Drive
(1) Swimming Pool,
(1) Spa $1,320.00 $15,840.00

CANDLEWOOD
74000 Shadow Mountain Drive
(1) Swimming Pool,
(1) Spa $1,320.00 $15,840.00

CARLOS ORTEGA VILLAS
77-915 Avenue of the States
(1) Swimming Pool
$870.00 $10,440.00
VENDOR NAME: VM POOL SERVICES & REPAIR
ADDRESS: 40395 FIRENZE COURT, INDIO, CA 92203
EMAIL: (760) 343-8616
PHONE: [email protected]
Exhibit "D"
303
Palm Desert Housing Authority
Commercial Pool and Spa Maintenance and Repair Services at Apartment Communities Cost Proposal

CATALINA GARDENS
73-600A Catalina Way
(1) Swimming Pool
$870.00 $10,440.00

DESERT POINTE
43-805 Monterey Avenue
(1) Swimming Pool
$870.00 $10,440.00

LAGUNA PALMS
73875 Santa Rosa Way
(1) Swimming Pool
$870.00 $10,440.00

LAS SERENAS
73-315 Country Club Drive
(3) Swimming Pools
(1) Spa $3,510.00 $42,120.00

NEIGHBORS
73-535 Santa Rosa Way
(1) Swimming Pool
$870.00 $10,440.00

ONE QUAIL PLACE
72-600 Fred Waring Drive
(4) Swimming Pools
(4) Spas $5,280.00 $63,360.00

TAOS PALMS
44-830 Las Palmas Avenue
(1) Swimming Pool
$870.00 $10,440.00

THE PUEBLOS
73-695 Santa Rosa Way
(1) Swimming Pool
$770.00 $9,240.00
Total Annual Cost Proposal in Figures: $209,040
Total Annual Cost Proposal in Words: Two Hundred Nine Thousand Forty (In the event of a conflict between the numbers written in ‘figures’, the ‘words’ shall control.) Exhibit "D"
304
Palm Desert Housing Authority
Commercial Pool and Spa Maintenance and Repair Services at Apartment Communities Cost Proposal

ADDITIONAL SERVICES COST PROPOSAL
Extra/Additional Work and/or Emergency Responses are subject to Authority authorization.

Written estimates shall be submitted for approval prior to the purchase of parts and/or installation thereof.

Provide hourly costs associated with the types of services listed that are outside of the scope of daily maintenance:

SERVICE COST (HOURLY)
Response to emergency call out within 2 hours of notification $110.00 Emergency Equipment Repairs (safety hazard resulting from callout)
$90.00
Equipment Repairs Outside of Daily Maintenance $90.00
Extra work not pertaining to normal maintenance service. $90.00 Other: New plaster, New Tile, New Plumbing
$150.00 Per Hour Each
Person, Plus $22.00 Per SQ
Describe other extra work that should be included, that is outside of routine maintenance:

SERVICE COST

1. Clean filter, plus parts as needed per job $90.00 Per Filter

2. Remove Concrete $6.00 Each Square Feet

3. Install new concrete $22.00 Each Square Feet

4. Gunite & Gunite Repair $310.00 Yard
I hereby declare under penalty of perjury that the foregoing is true and correct.

Submitted By: _______________________ Title:_________________________ (Authorized Representative Signature)
Print Name:

Contractor’s License Number and Classification:

DIR Registration Number: ______________

VICTOR MONTERROSO
957537, C-61/D35, C53
Exhibit "D"
305
Contract No. ___________
Exhibit “E” Revised 01-2024
BBK 72500.00001\32374915.1
EXHIBIT “E”

DELIVERABLES AND REPORTING

1. Daily Pool Log
a. Record all water testing results, including pH, free chlorine, combined chlorine, alkalinity, calcium hardness, and temperature.
b. Document any chemicals added or adjustments made.

2. Daily Inspection Report
a. Confirm completion of all routine maintenance tasks, including surface cleaning, pool floor cleaning, equipment inspection, deck/area checks, and equipment room maintenance.
b. Note any hazards, deficiencies, or issues requiring Property Managers' attention. c. Identify any extra work performed outside of the maintenance scope (if authorized)

3. Field Report (Water Testing Specifications)
a. Provide all details of all water testing, including measured values, adjustments made, and any deviation from acceptable ranges.
b. Note any unusual water conditions or operational concerns observed during testing.

4. Monthly Summary Report
a. A list of all routine maintenance tasks completed.
b. A summary of water testing results and adjustments.
c. Identification of all extra work and completed or pending approval by the property management company.

5. Exclusions/Extra Work Identification
a. Contractor shall provide a list of all maintenance activities not included in the daily maintenance scope.

6. Ad-Hoc Reporting
a. Contractor shall provide any other specific documentation, forms, or reports as reasonably requested by the housing authority or its authorized representatives. 306

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: December 11, 2025
PREPARED BY: Bobby Keatinge, Associate Planner
SUBJECT: MILLS ACT CONTRACTS BETWEEN THE CITY AND THE PROPERTY

OWNERS OF TWO DESIGNATED HISTORIC RESOURCES LOCATED
AT 73411 WILLOW STREET AND 72801 EL PASEO, UNIT 808
RECOMMENDATION:

1. Adopt a resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PALM DESERT, CALIFORNIA, APPROVING A MILLS ACT AGREEMENT BETWEEN THE CITY AND THE OWNER OF THE PROPERTY LOCATED AT 73411 WILLOW STREET.”

2. Adopt a resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PALM DESERT, CALIFORNIA, APPROVING A MILLS ACT AGREEMENT BETWEEN THE CITY AND THE OWNER OF THE PROPERTY LOCATED AT 72801 EL PASEO, UNIT 808.

BACKGROUND/ANALYSIS:

The Mills Act Program enables California cities to enter into contracts with owners of historic properties (as designated by the City Council) to provide them with tax relief in exchange for a contract to actively participate in the restoration and maintenance of historic resources. A Mills Act contract is effective for an initial 10-year period and is then automatically extended annually for an additional year, unless, after the initial term, either the City or the owner provides written notice to decide not to renew the contract.

During the effective term of the contract, the property owner must improve, rehabilitate, or maintain the property consistent with the United States Secretary of the Interior’s Standards for Rehabilitation, and provide visibility of the historical resource from the public right-of-way and/or other accessible areas.

The Environmental Resources Element (ERE) of the General Plan outlines the City’s goals and policies for protecting cultural resources. Goals 6.9.4 and 6.9.5 state that the City will require sites with significant cultural resources and structures to be preserved. A property must be designated as a local Historic Landmark or be a contributing property to a Historic District to be enrolled in the program.

Currently, 49 properties are participating in the program, with the last requests approved by the City Council in December 2024.

The current proposed applicants utilized the updated Mills Act guidelines approved by City Council in 2025, including an updated contract and an eligible scope of work checklist. The items presented include two (2) separate requests for Mills Act contracts, summarized in Table 1 below:
307
City of Palm Desert
2025 Mills Act Contracts

Table 1 – Proposed Mills Act Contract Properties
Case Number Address Applicant Name Landmark/District Name Date MILLS25-0002 73411 Willow Street
Todd Blake Verwers
and Mette Krebs
Petersen
Gracious Oriental House 6/12/2025
MILLS25-0003 72801 El Paseo, Unit 808 Robert Elwee Kinsey Sandpiper Circles 5-10 3/23/2017 Legal Review:

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

Environment Review:

Entering into a “Mills Act Contract” with the owners of historical property is not subject to the provisions of the California Environmental Quality Act (CEQA) because it is not a project as defined in CEQA Guidelines § 15378 (Definitions – Project). Implementation of the Mills Act is a government fiscal activity that does not involve commitment to any specific project, resulting in a potentially significant physical impact on the environment (CEQA Guidelines § 15378 (b) (4)).

FINANCIAL IMPACT:

After the Mills Act Contracts are recorded, the County Assessor values the property by an income capitalization method, following guidelines provided by the State Board of Equalization.

Due to the timing and method of valuing the restricted property, it is challenging to accurately estimate the tax savings and resulting fiscal impacts to the City under a particular historical property contract.

However, the Office of Historic Preservation (California Department of Parks and Recreation) estimates that property owners participating in the program may realize annual property tax savings of between 40% and 60% for newly improved or purchased older properties. The City’s property tax revenue will be reduced accordingly.

ATTACHMENTS:

1. Draft Resolution and Mills Act Contract for 73411 Willow Street (MILLS25-0002)

2. Draft Resolution and Mills Act Contract for 72541 El Paseo, Unit 808 (MILLS25-0003) 308
RESOLUTION NO. 2025-

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

CALIFORNIA, APPROVING A MILLS ACT AGREEMENT BETWEEN THE CITY AND THE OWNER OF THE PROPERTY LOCATED AT 73411 WILLOW
STREET
CASE NOS. MILLS25-0002
WHEREAS, the City Council of the City of Palm Desert is authorized by California Government Code § 50280 et seq. (known as “the Mills Act”) to enter into contracts with the owners of qualified historical properties to provide for appropriate use, maintenance, and rehabilitation such that these historic properties retain their historic characteristics; and WHEREAS, the City Council of the City of Palm Desert has adopted Resolution No. 9136 (2000 Series), establishing the Mills Act Historic Property Tax Incentive Program as an ongoing historic preservation program to promote the preservation, maintenance, and rehabilitation of historic resources through financial incentives; and
WHEREAS, the City Council of the Palm Desert has designated this property as a historic resource of the City of Palm Desert on June 12, 2025 pursuant to the policies in the Title 29 of the Palm Desert Municipal Code; and
WHEREAS, Todd Blake Verwers and Mette Krebs Petersen are the owners of that certain qualified real property, together with associated structures and improvement thereon, located on Assessor’s Parcel Number 630-082-007, located at 73411 Willow Street, in the City of Palm Desert, California; and
WHEREAS, the City and the Owners, for their mutual benefit, now desire to enter into an agreement to limit the use of the property to prevent inappropriate alterations and to ensure that character-defining features are preserved and maintained in an exemplary manner, and repairs and improvements are completed as necessary to carry out the purposes of California Government Code, Chapter 1, Part 5 of Division 1 of Title 5, Article 12, Sec. 50280 et seq., and to qualify for an assessment of valuation pursuant to Article 1.9, Sec. 439 et. seq. of the Revenue and Taxation Code; and
WHEREAS, the City Council conducted a meeting in the Council Chamber of City Hall, 73510 Fred Waring Drive, Palm Desert, California, on December 11, 2025, for the purpose of considering approval of the historic property preservation agreement, and has duly considered all evidence and testimony of the applicant and interested parties, and the evaluation and recommendation by staff, present at said hearing; and
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm Desert, California, as follows:

SECTION 1. Findings. Based upon all the evidence, the City Council makes the following findings:
a) Environmental Resources Element Program 6.9.4 and 6.9.5 states that the City will require sites with significant cultural resources and structures to be preserved. b) The subject property, located at 73411 Willow Street, has been recognized as a historic asset in the community by its designation as a Historic Landmark by the City Council by Resolution No. 2025-038 on June 12, 2025. As such, maintaining 309
the structure will meet the City’s goals for historic preservation listed in policies

6.9.4 and 6.9.5 of the Environmental Resources Element.

SECTION 2. Environmental Determination. The City Council has determined that the above actions do not constitute a project, as defined in California Environmental Quality Act Guidelines § 15378 and are not subject to environmental review.

SECTION 3. Historic Property Preservation Agreement Approved. The City Council hereby approves the Mills Act Agreement between the City of Palm Desert and the Owners of the Historic Property Located at 73411 Willow Street, to be entered into by the City and the property owners, Todd Blake Verwers and Mette Krebs Petersen.

SECTION 4. City Manager Authorized to Sign Agreement for City. The City Council hereby authorizes the Community Development Director to execute said agreement on behalf of the Council of the City of Palm Desert.

SECTION 5. Custodian of Records. The documents and materials that constitute the record of proceedings on which these findings are based are located at the City’s office at 73510 Fred Waring Drive, Palm Desert, CA 92260. Anthony J. Mejia, MMC, the City Clerk of the City of Palm Desert is the custodian of the record of proceedings.

SECTION 6. Effective Date. This Resolution shall become effective immediately upon its adoption.

ADOPTED ON _______________.

JAN C. HARNIK
MAYOR
ATTEST:

ANTHONY J. MEJIA

CITY CLERK
310

STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.

CITY OF PALM DESERT )
I, Anthony J. Mejia, City Clerk of the City of Palm Desert, California, DO HEREBY CERTIFY that the foregoing Resolution No. 25-__ was duly adopted by the City Council of the City of Palm Desert at a regular meeting held on the ___ day of December, 2025 by the following vote of the Council:

AYES:

NOES:

ABSENT:
(SEAL)
_________________________
ANTHONY J. MEJIA

CITY CLERK
311
Recording Requested by: )
When Recorded Mail to: )
)

CITY OF PALM DESERT )
73-510 Fred Waring Drive )
Palm Desert, CA 92260 )
)
Attention: Cultural Resources )
Administrator )
)
)
)
(Space above for Recorder’s Office)

HISTORIC PROPERTY PRESERVATION AGREEMENT
(“MILLS ACT CONTRACT”)
between

THE CITY OF PALM DESERT
a California municipal corporation
and
Todd Blake Verwers
and Mette Krebs Petersen
Owner(s) of the property located at
73411 Willow Street
APN 630-082-007 ---------
312
HISTORIC PROPERTY PRESERVATION AGREEMENT (“MILLS
ACT CONTRACT”)
This agreement (“Agreement”) is made this 11th day of December 2025, by and between the City of Palm Desert, a California municipal corporation (“City”), and Todd Blake Verwers and Mette Krebs Petersen (“Owners”).

RECITALS

1. California Government Code section 50280, et. seq. allow cities the discretion to enter into contracts with the owners of qualified historic properties, as defined in Government Code section 50280.1, for the purpose of providing for the use, maintenance, protection, and restoration of such historic property, so as to retain its characteristics as property of historic significance; and

2. Owner holds fee title to that certain real property, together with associated structures and improvements thereon, generally located at 73411 Willow Street within the City of Palm Desert, California (“Historic Property”). A legal description of the Historic Property is attached hereto as Exhibit “A,” and incorporated herein by this reference; and

3. On June 12, 2025 the City Council designated the Historic Property as a historic resource, pursuant to the terms and provisions of Title 29 of the Palm Desert Municipal Code; and

4. City and Owners desire to enter into this Agreement for the purpose of protecting and preserving the characteristics of historical significance of the Historic Property that help provide the community with its own unique civic identity and character; and

5. Owners, in consideration for abiding by the terms of this Agreement, shall be entitled to qualify for a reassessment of valuation of the Historic Property, pursuant to the provisions of Chapter 3, Part 2, of Division 1 of the California Revenue and Taxation Code, and any corresponding adjustment in property taxes resulting therefrom.

TERMS
NOW, THEREFORE, the City and Owners, in consideration of mutual covenants and conditions set forth herein, do hereby agree as follows:

1. Effective Date and Term of Agreement. This Agreement shall be effective and 313
commence on December 11, 2025 (“Effective Date”), and shall remain in effect for a term of ten (10) years thereafter.

2. Yearly Renewal. Each year upon the anniversary of the Effective Date (“Renewal Date”), an additional one (1) year shall automatically be added to the remaining term of the Agreement, unless a notice of nonrenewal is delivered as provided in Section 3 of this Agreement.

3. Nonrenewal. If either the Owners or City desires at any point not to renew this Agreement, Owner or City shall serve a written notice of nonrenewal upon the party in advance of the Renewal Date (“Notice of Nonrenewal”). The Notice of Nonrenewal shall be effective, only if served by Owners upon City at least ninety (90) days prior to the Renewal Date, or if served by City upon Owners, the Notice of Nonrenewal shall be effective, only if served upon Owners at least sixty (60) days prior to the Renewal Date. If either City or Owners serves a Notice of Nonrenewal in any year, this Agreement shall remain in effect for the balance of the remaining Agreement term.

4. Owner Protest of City Nonrenewal. Within fifteen (15) days of Owners’ receipt of the Notice of Nonrenewal from the City, Owners may file with the City a written protest of the Notice of Nonrenewal. Upon receipt of the written protest, the City Council shall set a hearing prior to the expiration of the Renewal Date of this Agreement. Owners may furnish to the City Council any information that Owners deems relevant, and shall furnish that which is requested or required by the City Council. The City Council may, at any time prior to the annual Renewal Date, withdraw its Notice of Nonrenewal.

5. Standards for Historical Property. During the term of this Agreement, the Historic Property shall be subject to the following conditions, requirements, and restrictions:

A. Owners shall preserve and maintain the characteristics of the cultural and historical significance of the Historic Property. Attached hereto as Exhibit “B” and incorporated herein by this reference, is a list of the minimum standards and conditions for t h e maintenance, use, protection, and preservation of the Historic Property, which shall be complied with by Owner at all times throughout the term of this Agreement. In addition, Owners shall comply with the terms of the City’s Cultural Resources Ordinance 1168 (Title 29 of the Palm Desert Municipal Code), and shall obtain any and all applicable permits 314
necessary to protect, preserve, restore, and rehabilitate the Historic Property, so as to maintain its historical and cultural significance.

B. Owners shall, where necessary, repair, maintain, restore, and rehabilitate the Historic Property according to the rules and regulations of both the Office of Historic Preservation of the State Department of Parks and Recreation, and the City of Palm Desert. The condition of the Historic Property’s exterior on the Effective Date of this Agreement is documented in the photographs attached hereto as Exhibit “C” and incorporated herein by this reference. At a minimum, Owners shall continually maintain the exterior of the Historic Property in the same condition as documented and depicted in Exhibit “C.” C. Owners shall carry out specific restoration, repair, maintenance, and/or rehabilitation projects on the Historic Property, as outlined in Exhibit “D,” attached hereto and incorporated herein by this reference. All such projects shall be undertaken and completed in accordance with both the Secretary of Interior’s Standards for Rehabilitation and Guidelines for Rehabilitating Historic Buildings, in addition to the City of Palm Desert’s design guidelines.

D. Owners shall not be permitted to block the view corridor with any new structure such as walls, fences or shrubbery, so as to prevent the view of the Historic Property from the public right-of-way.

6. Periodic Examinations. Upon reasonable advance notice, Owners shall allow reasonable periodic examinations of the exterior of the Historic Property by representatives of the County Assessor, the State Department of Parks and Recreation, the State Board of Equalization and/or the City, as may be necessary to determine Owners’ compliance with the terms and provisions of this Agreement.

7. Provision of Information of Compliance. Owners hereby agrees to furnish City with any and all information requested by the City, which the City deems necessary or advisable to determine eligibility of the Historic Property and compliance with the terms and provisions of this Agreement.

8. Breach of Agreement; Remedies.

A. Notice of Breach; Opportunity to Cure. If Owners breaches any provision of this Agreement, City may give written notice to Owners by registered or certified mail, detailing Owners’ violations. If such violation is not corrected to the 315
reasonable satisfaction of City within thirty (30) days after the date of notice of violation, or within such a reasonable time as may be required to cure the violation (provided the acts to cure the violation are commenced within thirty (30) days and thereafter diligently pursued to completion), the City may, without further notice, declare Owners to be in breach of this Agreement. Upon City’s declaration of Owners’ breach of this Agreement, City may pursue any and all remedies available pursuant to local, state, or federal law, including those specifically provided for in this section.

B. Remedy - Termination. City may terminate this Agreement, if the City determines, following a duly noticed public hearing in accordance with Government Code section 50286, that: 1.) Owner breached any of the conditions of this Agreement; 2.) Owners allowed the Historic Property to deteriorate to the point that it no longer meets the standards for a qualified historic property or; 3.) Owners failed to maintain and preserve the Historic Property in accordance with the terms of this Agreement. If this Agreement is terminated pursuant to this paragraph, Owners shall pay a cancellation fee to the Office of the Auditor for the County of Riverside, as required by Government Code section 50286.

C. Alternative Remedies. As an alternative to termination of this Agreement for Owner’s breach of any condition, City may bring an action in court necessary to enforce this Agreement including, but not limited to, an action to enforce this Agreement by specific performance, injunction, or receivership.

9. Destruction of Property; Eminent Domain; Termination. If the Historic Property is destroyed by earthquake, fire, flood, or other natural disaster such that in the opinion of the City Building Official more than sixty percent (60%) of the original fabric of the structure must be replaced, this Agreement shall be terminated, because the historic value of the structure will have been deemed destroyed. If the Historic Property is acquired in whole or in part by eminent domain or other acquisition by any entity authorized to exercise the power of eminent domain, and the acquisition is determined by the City Council to frustrate the purpose of this Agreement, this Agreement shall be terminated. No cancellation fee pursuant to Government Code section 50286 shall be imposed if the Agreement is terminated, pursuant to this Section.

10. Waiver. City does not waive any claim of default by Owners, if City does not enforce or terminate this Agreement. All other remedies at law or in equity which are not otherwise 316
provided for in this Agreement or in City’s regulations governing historic properties are available to the City to pursue in the event that there is a breach of this Agreement. No waiver by City of any breach or default under this Agreement shall be deemed to be a waiver of any other subsequent breach thereof or default hereunder.

11. Binding Effect of Agreement. Owners hereby subjects the Historic Property to the covenants, conditions, and restrictions set forth in this Agreement. City and Owner hereby declare their specific intent that the covenants, conditions, and restrictions set forth herein shall be deemed covenants running with the land and shall inure to and be binding upon Owner’s successors and assigns in title or interest to the Historic Property. Each and every contract, deed or other instrument herein after executed, covering or conveying the Historic Property, or any portion thereof, shall conclusively be held to have been executed, delivered and accepted subject to the covenants, reservations and restrictions set forth in this Agreement, deed, or other instrument.

12. Covenants Run with the Land. City and Owner hereby declare their understanding and intent that the burden of the covenants, reservations and restrictions set forth herein touch and concern the land in that it restricts development of the Historic Property. City and Owner hereby further declare their understanding and intent that the benefit of such covenants, reservations and restrictions touch and concern the land by enhancing and maintaining the cultural and historical characteristics and significance of the Historic Property for the benefit of the public and the Owner.

13. Notice. Any notice required to be given by the terms of this Agreement shall be provided at the address of the respective parties as specified below or at any other address as may be later specified by the parties hereto:

City: City of Palm Desert
Department of Development Services
73-510 Fred Waring Drive
Palm Desert, CA 92260
Owner(s):Todd Blake Verwers
and Mette Krebs Petersen
73411 Willow Street
Palm Desert, CA 92260
317

14. Effect of Agreement. None of the terms, provisions or conditions of this Agreement shall be deemed to create a partnership between the parties hereto or any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause the parties to be considered joint venturers or members of any joint enterprise.

15. Indemnity of City. Owner shall defend, indemnify, and hold harmless City and its elected officials, officers, agents and employees from any actual or alleged claims, demands, causes of action, liability, loss, damage, or injury to property or persons, including wrongful death, whether imposed by a court of law or by administrative action of any federal, state or local governmental agency, arising out of or incident to (i) the direct or indirect use operation, or maintenance of the Historic Property by Owner or any contractor, subcontractor, employee, agent, lessee, licensee, invitee, or any other person; (ii) Owner’s activities in connection with the Historic Property; and (iii) any restrictions on the use or development of the Historic Property, from application or enforcement of Title 29 of the City’s Municipal Code, or from the enforcement of this Agreement. This indemnification includes, without limitation, the payment of all penalties, fines, judgments, awards, decrees, attorneys’ fees, and related costs or expenses, and the reimbursement of City, its elected officials, employees, and/or agents for all legal expenses and costs incurred by each of them. Owner’s obligation to indemnify shall survive the termination, cancellation, or expiration of this Agreement and shall not be restricted to insurance proceeds, if any, received by City, its elected officials, employees, or agents.

16. Binding Upon Successors. All of the agreements, rights, covenants, reservations and restrictions contained in this Agreement shall be binding upon and shall inure to the benefit of the parties herein, their heirs, successors, legal representatives, assigns and all persons acquiring any part or portion of the Historic Property, whether by operation of law or in any manner whatsoever.

17. Legal Costs. In the event legal proceedings are brought by any party or parties to enforce or restrain a violation of any of the covenants, conditions or restrictions contained herein, or to determine the rights and duties of any party hereunder, the prevailing party in such proceeding may recover all reasonable attorneys’ fees to be fixed by the court, in addition to court costs and other relief ordered by the court.

18. Severability. In the event that any of the provisions of this Agreement are held to be unenforceable or invalid by any court of competent jurisdiction, or by subsequent preemptive legislation, the validity and enforceability of the remaining provisions, or portions 318
thereof, shall not be effected thereby.

19. Recordation. No later than twenty (20) days after the Effective Date, City shall cause this Agreement to be recorded in the office of the County Recorder of the County of Riverside. Owner shall provide written notice of the contract to the State Office of Historic Preservation within six (6) months of entering into the contract.

20. Amendments. This Agreement may be amended, in whole or in part, only by written recorded instrument executed by the parties hereto.

21. Governing Law and Venue. This Agreement shall be construed and governed in accordance with the laws of the State of California. Any action at law or in equity brought by either of the parties hereto for the purpose of enforcing a right or rights provided for by this Agreement shall be tried in a court of competent jurisdiction in the County of Riverside, State of California, and the parties hereby waive all provisions of law providing for a change of venue in such proceedings to any other county.
319
IN WITNESS WHEREOF, City and Owner have executed this Agreement on the day and year first above written.

Dated: CITY OF PALM DESERT
By
ATTESTED TO:

By
Dated: _____________________ Owner
,Owner
,Owner

APPROVED AS TO FORM
City Attorney
320
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 )
)ss

COUNTY OF RIVERSIDE )
On , before me, , the undersigned,
a notary public in and for said State, personally appeared personally known to me (or 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.

WITNESS my hand and official seal.

Notary Signature
321

EXHIBIT A

PROPERTY DESCRIPTION
Real property in the City of Palm Desert, County of Riverside, State of California, described as follows:

Lot 73 of Palm Desert Unit No. 10, in the City of Palm Desert, County of Riverside, State of California, as shown by Map on file in Book 33, Page(s) 99 and 100 of Maps, in the County Recorder of said County, California.

APN: 630-082-007
Also known as: 73411 Willow Street, Palm Desert, CA 92260 322

EXHIBIT B

MINIMUM STANDARDS AND CONDITIONS FOR

MAINTENANCE, USE, PROTECTION, AND PRESERVATION

OF HISTORIC PROPERTY

1. The Historic District Property shall comply with all regulations of Title 8 and Title 9 of the Palm Desert Municipal Code, including the definition of “Good Repair” as outlined in Section 29.20 and 29.60.160;

2. The Historic Property shall continue to be maintained in a manner consistent with the level of maintenance that has customarily been employed at the property and consistent with the typical condominium development in the Palm Desert Area.

3. The Historic Property shall not have non-operational vehicles or portions of them in public view.

4. The Historic Property Shall not have stagnant or standing water.

5. The Historic Property Shall not have overgrown or decaying landscaping. All landscape features should be maintained including, but not limited to, grass, trees, and any plantings.

6. The Historic Property shall prominently display and properly maintain its City Landmark plaque.
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EXHIBIT C

EXTERIOR PHOTOGRAPHS OF HISTORIC PROPERTY
324
325
326
327
328

EXHIBIT D

PENDING AND REQUIRED PROJECTS FOR HISTORIC PROPERTY
329
330
RESOLUTION NO. 2025-

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

CALIFORNIA, APPROVING A MILLS ACT AGREEMENT BETWEEN THE CITY AND THE OWNER OF THE PROPERTY LOCATED AT 72801 EL PASEO, UNIT 808
CASE NOS. MILLS25-0003
WHEREAS, the City Council of the City of Palm Desert is authorized by California Government Code § 50280 et seq. (known as “the Mills Act”) to enter into contracts with the owners of qualified historical properties to provide for appropriate use, maintenance, and rehabilitation such that these historic properties retain their historic characteristics; and WHEREAS, the City Council of the City of Palm Desert has adopted Resolution No. 9136 (2000 Series), establishing the Mills Act Historic Property Tax Incentive Program as an ongoing historic preservation program to promote the preservation, maintenance, and rehabilitation of historic resources through financial incentives; and
WHEREAS, the City Council of the Palm Desert has designated this property as a historic resource of the City of Palm Desert on March 23, 2017 pursuant to the policies in the Title 29 of the Palm Desert Municipal Code; and
WHEREAS, Robert Elwee Kinsey is the owner of that certain qualified real property, together with associated structures and improvement thereon, located on Assessor’s Parcel Number 640-220-025, located at 72801 El Paseo, Unit 808 in the City of Palm Desert, California; and
WHEREAS, the City and the Owner, for their mutual benefit, now desire to enter into an agreement to limit the use of the property to prevent inappropriate alterations and to ensure that character-defining features are preserved and maintained in an exemplary manner, and repairs and improvements are completed as necessary to carry out the purposes of California Government Code, Chapter 1, Part 5 of Division 1 of Title 5, Article 12, Sec. 50280 et seq., and to qualify for an assessment of valuation pursuant to Article 1.9, Sec. 439 et. seq. of the Revenue and Taxation Code; and
WHEREAS, the City Council conducted a meeting in the Council Chamber of City Hall, 73510 Fred Waring Drive, Palm Desert, California, on December 11, 2025, for the purpose of considering approval of the historic property preservation agreement, and has duly considered all evidence and testimony of the applicant and interested parties, and the evaluation and recommendation by staff, present at said hearing; and
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm Desert, California, as follows:

SECTION 1. Findings. Based upon all the evidence, the City Council makes the following findings:
a) Environmental Resources Element Program 6.9.4 and 6.9.5 states that the City will require sites with significant cultural resources and structures to be preserved. b) The subject property, located at 72801 El Paseo, Unit 808 has been recognized as a historic asset in the community by its designation as a contributing structure to Historic District by the City Council by Resolution No. 2017-030 on March 23, 331
2017. As such, maintaining the structure will meet the City’s goals for historic preservation listed in policies 6.9.4 and 6.9.5 of the Environmental Resources Element.

SECTION 2. Environmental Determination. The City Council has determined that the above actions do not constitute a project, as defined in California Environmental Quality Act Guidelines § 15378 and are not subject to environmental review.

SECTION 3. Historic Property Preservation Agreement Approved. The City Council hereby approves the Mills Act Agreement between the City of Palm Desert and the Owner of the Historic Property Located at 72801 El Paseo, Unit 808, to be entered into by the City and the property owner, Robert Elwee Kinsey.

SECTION 4. City Manager Authorized to Sign Agreement for City. The City Council hereby authorizes the Community Development Director to execute said agreement on behalf of the Council of the City of Palm Desert.

SECTION 5. Custodian of Records. The documents and materials that constitute the record of proceedings on which these findings are based are located at the City’s office at 73510 Fred Waring Drive, Palm Desert, CA 92260. Anthony J. Mejia, MMC, the City Clerk of the City of Palm Desert is the custodian of the record of proceedings.

SECTION 6. Effective Date. This Resolution shall become effective immediately upon its adoption.

ADOPTED ON _______________.

JAN C. HARNIK
MAYOR
ATTEST:

ANTHONY J. MEJIA

CITY CLERK
332

STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.

CITY OF PALM DESERT )
I, Anthony J. Mejia, City Clerk of the City of Palm Desert, California, DO HEREBY CERTIFY that the foregoing Resolution No. 25-__ was duly adopted by the City Council of the City of Palm Desert at a regular meeting held on the ___ day of December, 2025 by the following vote of the Council:

AYES:

NOES:

ABSENT:
(SEAL)
_________________________
ANTHONY J. MEJIA

CITY CLERK
333
Recording Requested by: )
When Recorded Mail to: )
)

CITY OF PALM DESERT )
73-510 Fred Waring Drive )
Palm Desert, CA 92260 )
)
Attention: Cultural Resources )
Administrator )
)
)
)
(Space above for Recorder’s Office)

HISTORIC PROPERTY PRESERVATION AGREEMENT
(“MILLS ACT CONTRACT”)
between

THE CITY OF PALM DESERT
a California municipal corporation
and
Robert Elwee Kinsey
Owner(s) of the property located at
72801 El Paseo, Unit 808
APN 640-220-025 ---------
334
HISTORIC PROPERTY PRESERVATION AGREEMENT (“MILLS
ACT CONTRACT”)
This agreement (“Agreement”) is made this 11th day of December 2025, by and between the City of Palm Desert, a California municipal corporation (“City”), and Robert Elwee Kinsey (“Owner”).

RECITALS

1. California Government Code section 50280, et. seq. allow cities the discretion to enter into contracts with the owners of qualified historic properties, as defined in Government Code section 50280.1, for the purpose of providing for the use, maintenance, protection, and restoration of such historic property, so as to retain its characteristics as property of historic significance; and

2. Owner holds fee title to that certain real property, together with associated structures and improvements thereon, generally located at 72801 El Paseo, Unit 808 within the City of Palm Desert, California (“Historic Property”). A legal description of the Historic Property is attached hereto as Exhibit “A,” and incorporated herein by this reference; and

3. On March 23, 2017 the City Council designated the Historic Property as a historic resource, pursuant to the terms and provisions of Title 29 of the Palm Desert Municipal Code; and

4. City and Owner desire to enter into this Agreement for the purpose of protecting and preserving the characteristics of historical significance of the Historic Property that help provide the community with its own unique civic identity and character; and

5. Owner, in consideration for abiding by the terms of this Agreement, shall be entitled to qualify for a reassessment of valuation of the Historic Property, pursuant to the provisions of Chapter 3, Part 2, of Division 1 of the California Revenue and Taxation Code, and any corresponding adjustment in property taxes resulting therefrom.

TERMS
NOW, THEREFORE, the City and Owner, in consideration of mutual covenants and conditions set forth herein, do hereby agree as follows:

1. Effective Date and Term of Agreement. This Agreement shall be effective and 335
commence on December 11, 2025 (“Effective Date”), and shall remain in effect for a term of ten (10) years thereafter.

2. Yearly Renewal. Each year upon the anniversary of the Effective Date (“Renewal Date”), an additional one (1) year shall automatically be added to the remaining term of the Agreement, unless a notice of nonrenewal is delivered as provided in Section 3 of this Agreement.

3. Nonrenewal. If either the Owner or City desires at any point not to renew this Agreement, Owner or City shall serve a written notice of nonrenewal upon the party in advance of the Renewal Date (“Notice of Nonrenewal”). The Notice of Nonrenewal shall be effective, only if served by Owner upon City at least ninety (90) days prior to the Renewal Date, or if served by City upon Owner, the Notice of Nonrenewal shall be effective, only if served upon Owner at least sixty (60) days prior to the Renewal Date. If either City or Owner serves a Notice of Nonrenewal in any year, this Agreement shall remain in effect for the balance of the remaining Agreement term.

4. Owner Protest of City Nonrenewal. Within fifteen (15) days of Owner’s receipt of the Notice of Nonrenewal from the City, Owner may file with the City a written protest of the Notice of Nonrenewal. Upon receipt of the written protest, the City Council shall set a hearing prior to the expiration of the Renewal Date of this Agreement. Owner may furnish to the City Council any information that Owner deems relevant, and shall furnish that which is requested or required by the City Council. The City Council may, at any time prior to the annual Renewal Date, withdraw its Notice of Nonrenewal.

5. Standards for Historical Property. During the term of this Agreement, the Historic Property shall be subject to the following conditions, requirements, and restrictions:

A. Owner shall preserve and maintain the characteristics of the cultural and historical significance of the Historic Property. Attached hereto as Exhibit “B” and incorporated herein by this reference, is a list of the minimum standards and conditions for t h e maintenance, use, protection, and preservation of the Historic Property, which shall be complied with by Owner at all times throughout the term of this Agreement. In addition, Owner shall comply with the terms of the City’s Cultural Resources Ordinance 1168 (Title 29 of the Palm Desert Municipal Code), and shall obtain any and all applicable permits 336
necessary to protect, preserve, restore, and rehabilitate the Historic Property, so as to maintain its historical and cultural significance.

B. Owner shall, where necessary, repair, maintain, restore, and rehabilitate the Historic Property according to the rules and regulations of both the Office of Historic Preservation of the State Department of Parks and Recreation, and the City of Palm Desert. The condition of the Historic Property’s exterior on the Effective Date of this Agreement is documented in the photographs attached hereto as Exhibit “C” and incorporated herein by this reference. At a minimum, Owner shall continually maintain the exterior of the Historic Property in the same condition as documented and depicted in Exhibit “C.” C. Owner shall carry out specific restoration, repair, maintenance, and/or rehabilitation projects on the Historic Property, as outlined in Exhibit “D,” attached hereto and incorporated herein by this reference. All such projects shall be undertaken and completed in accordance with both the Secretary of Interior’s Standards for Rehabilitation and Guidelines for Rehabilitating Historic Buildings, in addition to the City of Palm Desert’s design guidelines.

D. Owner shall not be permitted to block the view corridor with any new structure such as walls, fences or shrubbery, so as to prevent the view of the Historic Property from the public right-of-way.

6. Periodic Examinations. Upon reasonable advance notice, Owner shall allow reasonable periodic examinations of the exterior of the Historic Property by representatives of the County Assessor, the State Department of Parks and Recreation, the State Board of Equalization and/or the City, as may be necessary to determine Owner’s compliance with the terms and provisions of this Agreement.

7. Provision of Information of Compliance. Owner hereby agrees to furnish City with any and all information requested by the City, which the City deems necessary or advisable to determine eligibility of the Historic Property and compliance with the terms and provisions of this Agreement.

8. Breach of Agreement; Remedies.

A. Notice of Breach; Opportunity to Cure. If Owner breaches any provision of this Agreement, City may give written notice to Owner by registered or certified mail, detailing Owner’s violations. If such violation is not corrected to the 337
reasonable satisfaction of City within thirty (30) days after the date of notice of violation, or within such a reasonable time as may be required to cure the violation (provided the acts to cure the violation are commenced within thirty (30) days and thereafter diligently pursued to completion), the City may, without further notice, declare Owner to be in breach of this Agreement. Upon City’s declaration of Owner’s breach of this Agreement, City may pursue any and all remedies available pursuant to local, state, or federal law, including those specifically provided for in this section.

B. Remedy - Termination. City may terminate this Agreement, if the City determines, following a duly noticed public hearing in accordance with Government Code section 50286, that: 1.) Owner breached any of the conditions of this Agreement; 2.) Owner allowed the Historic Property to deteriorate to the point that it no longer meets the standards for a qualified historic property or; 3.) Owner failed to maintain and preserve the Historic Property in accordance with the terms of this Agreement. If this Agreement is terminated pursuant to this paragraph, Owner shall pay a cancellation fee to the Office of the Auditor for the County of Riverside, as required by Government Code section 50286.

C. Alternative Remedies. As an alternative to termination of this Agreement for Owner’s breach of any condition, City may bring an action in court necessary to enforce this Agreement including, but not limited to, an action to enforce this Agreement by specific performance, injunction, or receivership.

9. Destruction of Property; Eminent Domain; Termination. If the Historic Property is destroyed by earthquake, fire, flood, or other natural disaster such that in the opinion of the City Building Official more than sixty percent (60%) of the original fabric of the structure must be replaced, this Agreement shall be terminated, because the historic value of the structure will have been deemed destroyed. If the Historic Property is acquired in whole or in part by eminent domain or other acquisition by any entity authorized to exercise the power of eminent domain, and the acquisition is determined by the City Council to frustrate the purpose of this Agreement, this Agreement shall be terminated. No cancellation fee pursuant to Government Code section 50286 shall be imposed if the Agreement is terminated, pursuant to this Section.

10. Waiver. City does not waive any claim of default by Owner, if City does not enforce or terminate this Agreement. All other remedies at law or in equity which are not otherwise 338
provided for in this Agreement or in City’s regulations governing historic properties are available to the City to pursue in the event that there is a breach of this Agreement. No waiver by City of any breach or default under this Agreement shall be deemed to be a waiver of any other subsequent breach thereof or default hereunder.

11. Binding Effect of Agreement. Owner hereby subjects the Historic Property to the covenants, conditions, and restrictions set forth in this Agreement. City and Owner hereby declare their specific intent that the covenants, conditions, and restrictions set forth herein shall be deemed covenants running with the land and shall inure to and be binding upon Owner’s successors and assigns in title or interest to the Historic Property. Each and every contract, deed or other instrument herein after executed, covering or conveying the Historic Property, or any portion thereof, shall conclusively be held to have been executed, delivered and accepted subject to the covenants, reservations and restrictions set forth in this Agreement, deed, or other instrument.

12. Covenants Run with the Land. City and Owner hereby declare their understanding and intent that the burden of the covenants, reservations and restrictions set forth herein touch and concern the land in that it restricts development of the Historic Property. City and Owner hereby further declare their understanding and intent that the benefit of such covenants, reservations and restrictions touch and concern the land by enhancing and maintaining the cultural and historical characteristics and significance of the Historic Property for the benefit of the public and the Owner.

13. Notice. Any notice required to be given by the terms of this Agreement shall be provided at the address of the respective parties as specified below or at any other address as may be later specified by the parties hereto:

City: City of Palm Desert
Department of Development Services
73-510 Fred Waring Drive
Palm Desert, CA 92260
Owner(s): Robert Elwee Kinsey
72801 El Paseo, Unit 808
Palm Desert, CA 92260

14. Effect of Agreement. None of the terms, provisions or conditions of this Agreement 339
shall be deemed to create a partnership between the parties hereto or any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause the parties to be considered joint venturers or members of any joint enterprise.

15. Indemnity of City. Owner shall defend, indemnify, and hold harmless City and its elected officials, officers, agents and employees from any actual or alleged claims, demands, causes of action, liability, loss, damage, or injury to property or persons, including wrongful death, whether imposed by a court of law or by administrative action of any federal, state or local governmental agency, arising out of or incident to (i) the direct or indirect use operation, or maintenance of the Historic Property by Owner or any contractor, subcontractor, employee, agent, lessee, licensee, invitee, or any other person; (ii) Owner’s activities in connection with the Historic Property; and (iii) any restrictions on the use or development of the Historic Property, from application or enforcement of Title 29 of the City’s Municipal Code, or from the enforcement of this Agreement. This indemnification includes, without limitation, the payment of all penalties, fines, judgments, awards, decrees, attorneys’ fees, and related costs or expenses, and the reimbursement of City, its elected officials, employees, and/or agents for all legal expenses and costs incurred by each of them. Owner’s obligation to indemnify shall survive the termination, cancellation, or expiration of this Agreement and shall not be restricted to insurance proceeds, if any, received by City, its elected officials, employees, or agents.

16. Binding Upon Successors. All of the agreements, rights, covenants, reservations and restrictions contained in this Agreement shall be binding upon and shall inure to the benefit of the parties herein, their heirs, successors, legal representatives, assigns and all persons acquiring any part or portion of the Historic Property, whether by operation of law or in any manner whatsoever.

17. Legal Costs. In the event legal proceedings are brought by any party or parties to enforce or restrain a violation of any of the covenants, conditions or restrictions contained herein, or to determine the rights and duties of any party hereunder, the prevailing party in such proceeding may recover all reasonable attorneys’ fees to be fixed by the court, in addition to court costs and other relief ordered by the court.

18. Severability. In the event that any of the provisions of this Agreement are held to be unenforceable or invalid by any court of competent jurisdiction, or by subsequent preemptive legislation, the validity and enforceability of the remaining provisions, or portions thereof, shall not be effected thereby.
340

19. Recordation. No later than twenty (20) days after the Effective Date, City shall cause this Agreement to be recorded in the office of the County Recorder of the County of Riverside. Owner shall provide written notice of the contract to the State Office of Historic Preservation within six (6) months of entering into the contract.

20. Amendments. This Agreement may be amended, in whole or in part, only by written recorded instrument executed by the parties hereto.

21. Governing Law and Venue. This Agreement shall be construed and governed in accordance with the laws of the State of California. Any action at law or in equity brought by either of the parties hereto for the purpose of enforcing a right or rights provided for by this Agreement shall be tried in a court of competent jurisdiction in the County of Riverside, State of California, and the parties hereby waive all provisions of law providing for a change of venue in such proceedings to any other county.
341
IN WITNESS WHEREOF, City and Owner have executed this Agreement on the day and year first above written.

Dated: CITY OF PALM DESERT
By
ATTESTED TO:

By
Dated: _____________________ Owner
,Owner
,Owner

APPROVED AS TO FORM
City Attorney
342
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 )
)ss

COUNTY OF RIVERSIDE )
On , before me, , the undersigned,
a notary public in and for said State, personally appeared personally known to me (or 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.

WITNESS my hand and official seal.

Notary Signature
343

EXHIBIT A

PROPERTY DESCRIPTION
Real property in the City of Palm Desert, County of Riverside, State of California, described as follows:

PARCEL 1:

ALL OF LOT 24 OF TRACT NO. 2518, IN THE CITY OF PALM DESERT, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY MAP ON FILE IN BOOK 46 PAGES 21 AND 22 OF MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA.

PARCEL 2:

AN UNDIVIDED 1/16TH INTEREST IN AND TO LOT 34 OF TRACT NO. 2518 FOR RECREATION PURPOSES AND THE FACILITIES THEREFORE.

PARCEL 3:

AN UNDIVIDED NON-EXCLUSIVE RIGHT FOR INGRESS AND EGRESS OVER A 20 FOOT ACCESS EASEMENT OVER LOTS 33 AND 34 OF TRACT 2518, SAID RIGHT BEING APPURTENANT TO THE LAND DESCRIBED AS PARCEL 1.

APN: 640-220-025
Also known as: 72801 El Paseo, Unit 808, Palm Desert, CA 92260 344

EXHIBIT B

MINIMUM STANDARDS AND CONDITIONS FOR

MAINTENANCE, USE, PROTECTION, AND PRESERVATION

OF HISTORIC PROPERTY

1. The Historic District Property shall comply with all regulations of Title 8 and Title 9 of the Palm Desert Municipal Code, including the definition of “Good Repair” as outlined in Section 29.20 and 29.60.160;

2. The Historic Property shall continue to be maintained in a manner consistent with the level of maintenance that has customarily been employed at the property and consistent with the typical condominium development in the Palm Desert Area.

3. The Historic Property shall not have non-operational vehicles or portions of them in public view.

4. The Historic Property Shall not have stagnant or standing water.

5. The Historic Property Shall not have overgrown or decaying landscaping. All landscape features should be maintained including, but not limited to, grass, trees, and any plantings.

6. The Historic Property shall prominently display and properly maintain its City Landmark plaque.
345

EXHIBIT C

EXTERIOR PHOTOGRAPHS OF HISTORIC PROPERTY
346
347

EXHIBIT D

PENDING AND REQUIRED PROJECTS FOR HISTORIC PROPERTY
348

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: December 11, 2025
PREPARED BY: Mariela Salazar, Management Analyst
SUBJECT: MOVING EXPENSES ASSOCIATED WITH RELOCATION OF THE CA

DEPARTMENT OF FOOD AND AGRICULTURE FROM PARKVIEW

BUILDING, AND PARKING SPACE LEASE WITH THE STATE OF
CALIFORNIA FOR THE USE OF TEN (10) DESIGNATED PARKING
SPACES AT 73-710 FRED WARING DRIVE
RECOMMENDATION:

1. Approve payment of moving services in the amount of $4,670 to Mother Lode Van & Storage for the relocation of the California Department of Food and Agriculture (CDFA) from the Parkview Building, plus a 10% contingency.

2. Approve the Parking Space Lease Agreement with the CA Department of General Services (acting on behalf of CDFA) for ten (10) designated parking spaces located at 73-710 Fred Waring Drive, effective January 1, 2026, through September 30, 2031.

3. Authorize the City Attorney to make any necessary, nonmonetary changes to the Agreement.

4. Authorize the City Manager to execute any documents and take all necessary actions to complete the relocation.

BACKGROUND/ANALYSIS:

The California Department of Food and Agriculture (CDFA) currently occupies office space within the Parkview Building under a lease executed on October 1, 2023 (Lease File No. 1934- 005), with a term through September 30, 2031.

In March 2024, the City Council directed staff to proceed with the deconstruction of the Parkview Building to make way for the construction of the new Palm Desert Library. To maintain the overall project timeline and ensure continuity of CDFA’s State operations, CDFA agreed to vacate the building early.

Relocation Timeline:

The Department of General Services has identified a suitable relocation site for CDFA, with the move anticipated to occur during the first week of December. Early relocation is necessary to prevent delays to the City’s deconstruction schedule and ensure the library project proceeds as planned. CDFA has requested that the City secure ten (10) designated parking spaces, as their new facility does not include allocated parking for department vehicles.

Parking Space Lease Agreement:

As part of the negotiated early termination of CDFA’s office lease, the City and State have prepared a Parking Space Lease Agreement to provide continuity for CDFA operations. 349
City of Palm Desert
CDFA Relocation Costs and Parking Space Lease Agreement

Key terms include:

1. The use of ten (10) designated, exclusive parking spaces at the City-owned lot located at 73-710 Fred Waring Drive (See location map attached).

2. No rental fee, recognizing CDFA’s cooperation in early termination.

3. The terms of the Parking Agreement align with the remainder of the original lease:

January 1, 2026, through September 30, 2031.

4. The City is responsible for the maintenance and repair of all parking spaces, including the individual access gates for each space.

5. Use is limited to official State business and compliance with all applicable laws and regulations.

6. Acceptance of the parking spaces in “AS-IS” condition, consistent with standard City lease provisions.

7. No additional funding requested for maintenance, as costs are covered through the City’s existing Public Works maintenance budget.

Execution of this Agreement supports CDFA’s continued operations at its new location and completes the administrative actions needed to close out the Parkview Building lease.

Relocation and Moving Costs:

CDFA requires moving services to relocate furnishings, equipment, and boxed materials from the Parkview Building. CDFA has provided an estimate from Mother Lode Van & Storage, who is their preferred vendor, in the amount of $4,670, which includes packing, loading, transportation, and delivery. A 10% contingency is requested to address minor adjustments in scope, such as additional packing materials or labor. No additional costs beyond this amount are anticipated.

FINANCIAL IMPACT:

Approval of this item will result in a one-time expenditure of $4,670, plus a 10% contingency of $467, for a total not-to-exceed amount of $5,137. Funds are available within the Government Professional Contract-Parkview Account (5104195-4309200). There is no impact to the General Fund anticipated with this action.

ATTACHMENTS:

1. Moving Quote: Mother Lode Van & Storage

2. Parking Space Lease Agreement-City/State of California (CDFA)

3. Aerial Map-Parking Space Location
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351
352
353
354
72500.00000\44359426.1 1

PARKING SPACE LEASE AGREEMENT
(Parking Lot Located at 73-710 Fred Waring Drive)
This PARKING SPACE LEASE AGREEMENT (“Agreement”) is entered into as of December 11, 2025, between DIRECTOR OF THE DEPARTMENT OF GENERAL SERVICES OF THE STATE OF CALIFORNIA (the “State”) and CITY OF PALM DESERT, a California municipal corporation (“City”) (each individually a “Party” and collectively the “Parties”).

RECITALS
This Agreement is predicated upon the following facts, which the Parties agree are true and correct:

A. City and State are parties to that certain Lease dated as of August 15, 2023 (Lease File No. 1934-005) (the “Existing Office Lease”), pursuant to which City leased to State certain office space located at 73-710 Fred Waring Drive, Suite 201, Palm Desert, California, together with certain parking spaces.

B. City and State have agreed to an early termination of the Existing Office Lease.

C. As a condition to the termination of the Existing Office Lease, City and State have agreed to enter into this Agreement with respect to the City owned parking lot located at 73-710 Fred Waring Drive, Palm Desert, California (“Parking Lot”).

D. City and State desire for City to lease to State ten (10) parking spaces in the Parking Lot on the terms and conditions set forth in this Agreement.

AGREEMENT
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties agree as follows:

1. Lease of Parking Spaces. Beginning on January 1, 2026 (“Effective Date”), and continuing through September 30, 2031 (“Term”), City shall lease to State and State shall lease from City ten (10) spaces in the Parking Lot (collectively, “the Spaces,” and individually, each a “Space”) under the following terms:

1.1 Location. The location of the Spaces shall be as set forth and depicted on Exhibit A attached hereto and incorporated herein.

1.2 Use. State shall have the exclusive use of the Spaces during the Term, unless otherwise agreed upon by the Parties. The Spaces shall be used by the State solely for the purpose of providing vehicular parking for employees of the State or vehicular parking for vehicles owned by the State and used by the Department of Food and Agriculture.

1.3 Rent. During the Term, in consideration for the termination of the Existing Office Lease, State shall not be obligated to pay any rent for the Spaces. 355
72500.00000\44359426.1 2

1.4 Signage. Subject to the City’s prior written approval, State may, at its own expense, post appropriate signs in the Spaces designating their exclusive use for State, and State’s employees. City reserves the right to direct State to modify, relocate or remove those signs in its discretion.

1.5 Laws, Rules and Regulations. State shall at comply with all federal, state and local laws, rules, orders and regulations applicable to use of the Spaces and the Parking Lot, and shall be solely responsible for all consequences of failing to do so, including payment of any fine or penalties assessed.

1.6 Repairs; Alignment. The City shall be entitled to make changes in the alignment, location, size, extent or configuration of the Parking Lot as the City, in its reasonable discretion, shall deem desirable and in the interest of all persons using the Parking Lot, including, but not limited to, the addition, elimination, location and relocation of parking areas, driveways, entrances, exits, landscaped or prohibited areas and the determination of direction and flow of traffic, provided that no such change reduces the number of parking spaces available to the State.

The City reserves the right to temporarily close the entire Parking Lot (or portions thereof) after giving reasonable notice to affected parties, for repairs and alterations, and in order to prevent a public dedication thereof or the accrual of prescriptive rights thereon.

2. Maintenance. City shall maintain, at the City’s expense, the Spaces in the same manner as City maintains the remainder of the Parking Lot; City shall also be responsible for repairing and maintaining any gates used to control access specifically to the 10 spaces. State shall promptly notify City in writing In the event State becomes aware that any of the gates used to control access to the Spaces is in need of maintenance or repair.

3. Alterations. The State shall not, without the prior written consent of the City, which consent may be withheld in City’s sole discretion, construct, alter, improve, or demolish any of the Spaces, the Parking Lot or any improvements located thereon.

4. Indemnification. State shall defend, indemnify and hold City, its elected officials, officers, employees, agents and volunteers free and harmless from and against any and all claims, demands, causes of action, costs (including, without limitation, litigation costs and attorneys’ fees), expenses, loss, damage, injury or liability, in law or equity, to property or persons, including wrongful death, in any manner arising out of or in any way connected with State’s lease of the Spaces from City pursuant to this Agreement, including claims made by third-parties using State’s Spaces or the Parking Lot as a result of this Agreement. The provisions of this Section 4 shall survive the termination of this Agreement.

5. Assumption of Risk, Waiver, and City’s Non-liability. To the maximum extent allowed by law, except for City’s willful misconduct or sole, actively negligent acts, State assumes any and all risk of loss, damage or injury of any kind to any person or property that is on or about the Spaces or Parking Lot as a result of or in connection with this Agreement. State’s assumption of risk shall include, without limitation, personal injury of State or State’s guests or invitees, including wrongful death, and loss or damage to State’s or State’s guest or invitees’ vehicles or personal property caused by any reason, including, without limitation, third-party vandalism or theft, any condition of the Spaces or Parking Lot, accident, fire or other casualty on or about the 356
72500.00000\44359426.1 3
Spaces or Parking Lot. To the maximum extent allowed by law, except for City’s willful misconduct or City’s sole, actively negligent acts, State hereby waives all claims and demands against City, its elected officials, officers, employees, agents and volunteers arising from or in any connection with any of the foregoing and any other occurrence on or about the Spaces or Parking Lot, and agrees to indemnify, defend and hold harmless City, its elected officials, officers, employees, agents and volunteers for the same pursuant to Section 4 of this Agreement.

6. Acceptance of Parking Spaces As-Is. State acknowledges that it is accepting the Spaces and Parking Lot in their AS-IS condition, as of the Effective Date. State acknowledges and agrees that City has made absolutely no representations, guarantees or warranties regarding the condition of the Spaces or Parking Lot, nor has City made representations, guarantees or warranties regarding whether the Spaces or Parking Lot and improvements thereon comply with applicable covenants and restrictions of record, building codes, ordinances or statutes in effect at the commencement of this Agreement.

7. Damage or Destruction of Parking Spaces or Parking Lot. If during the Term (or any Extension Term) of this Agreement, any portion of the Spaces or Parking Lot is damaged by fire or other catastrophic cause, so as to render such portion of the Spaces or Parking Lot untenable, the obligations under this Agreement may be suspended while such portion of the Spaces or Parking Lot remains untenable. In the event of such damage, State shall give City notice of such untenable condition and City shall elect in its sole discretion, whether to repair the Spaces or Parking Lot or to cancel this Agreement with respect thereto. City shall notify State in writing of its election within thirty (30) days after service of notice by State. In the event that City elects not to repair the Spaces or Parking Lot or portion thereof, this Agreement shall be deemed cancelled as of the date the damage occurred with respect to the untenable portion(s) of the Spaces or Parking Lot. If this Agreement is cancelled pursuant to this section, City shall not be liable to State for any reason or under any theory and State shall not be entitled to recover damages of any kind or nature from City. Additionally, if during the Term, any portion of the Spaces or Parking Lot is damaged by fire or other catastrophic cause, so as to render such portion of the Spaces or Parking Lot untenable, then State can elect in writing to cancel this Agreement with respect to the untenable portion(s) of the Spaces or Parking Lot by providing written notice of its election to City within thirty (30) days of the damage.

8. Termination.

8.1 Return Of Premises. State agrees that it will, upon any termination of this Agreement, return the Spaces in as good condition and repair as the Spaces now are or shall hereafter be put.

8.2 Holding Over. In the event State shall hold over and continue to occupy the Spaces with the consent of City, expressed or implied, the tenancy shall be deemed to be a tenancy from month-to-month upon the same terms and conditions, including rent, as existed and prevailed at the time of the expiration of the Term (or the Extension Term, as applicable) of this Agreement (except for rent which shall be as applicable to the Extension Period).

9. Miscellaneous Terms.

9.1 Notices. All notices or other communications required or permitted between the Parties under this Agreement shall be in writing, and may be (i) personally delivered, (ii) sent by 357
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United States registered or certified mail, postage prepaid, return receipt requested, (iii) sent by telecopier, or (iv) sent by nationally recognized overnight courier service (e.g., Federal Express), addressed to the Parties at the addresses provided in this Section 9.1, subject to the right of either Party to designate a different address for itself by notice similarly given. Any notice so given by registered or certified United States mail shall be deemed to have been given on the second (2nd) business day after the same is deposited in the United States mail. Any notice not so given by registered or certified mail, such as notices delivered by telecopier or courier service (e.g., Federal Express), shall be deemed given upon delivery confirmation by the telecopier or courier service.

To City: To State:

City of Palm Desert ____________
73-510 Fred Waring Dr. ____________
Palm Desert, California 92260 ____________
Attn: City Manager

9.2 Attorney’s Fees. If either Party commences an action against the other Party arising out of or in connection with this Agreement, the prevailing Party in such litigation shall be entitled to have and recover from the other Party reasonable attorneys’ fees and all other costs of such action.

9.3 Governing Law; Choice of Venue. This Agreement shall be governed by and construed in accordance with the laws of the State of California. This Agreement shall be deemed to have been made in the City of Palm Desert, County of Riverside, California, regardless of the order of the signatures of the Parties. Any litigation or other legal proceedings that arise under or in connection with this Agreement shall be conducted in a federal or state court located within or for the County of Riverside, California.

9.4 Amendments and Modification. This Agreement may only be modified or amended by a written document signed by both Parties.

9.5 Assignment. State shall not assign any of its rights or obligations under this Agreement without the prior express written consent of City, which may be given or withheld in City’s sole and absolute discretion.

9.6 Successors and Assigns. This Agreement shall be binding on and inure to the benefit of the Parties’ successors and assigns.

9.7 Waiver. No waiver of any default under this Agreement 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.

9.8 No Third-Party Beneficiaries. This Agreement is expressly declared to be for the sole benefit of the Parties hereto. No other person or entity not a signatory to this Agreement shall have any rights or causes of actions against any Party to this Agreement because of that Party’s entry into this Agreement.
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9.9 Time of Essence. Time of the essence in the performance of the Parties’ obligations under this Agreement.

9.10 Entire Agreement. This Agreement represents the entire agreement between the Parties with respect to the subject matter herein, and supersedes all prior and contemporaneous communications, negotiations, understandings, promises, and agreements, whether oral or written.

9.11 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed to be an original, but, all of which, when taken together, shall constitute one and the same instrument.

9.12 Authority to Execute. 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.
[Signatures on following page]
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IN WITNESS WHEREOF, the parties have executed this Agreement on the day and year first written above.

CITY OF PALM DESERT,
a California municipal corporation
By: __________________________________ Date: ____________________ Chris Escobedo, City Manager
ATTEST: APPROVED AS TO LEGAL FORM:

By: ____________________________ By: __________________________ Anthony Mejia, MMC, City Clerk City Attorney, Best Best & Krieger LLP
Date: __________________________ Date: ________________________

STATE OF CALIFORNIA
Approved:

DIRECTOR OF THE DEPARTMENT

OF GENERAL SERVICES
By: _______________________________
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EXHIBIT A

DEPICTION OF LOCATION OF PARKING SPACES
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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: December 11, 2025
PREPARED BY: Carlos Acoeda, Business Enterprise Systems Administrator Jenavieve Alvarez, Management Aide
Clayton von Helf, Information Systems Manager
SUBJECT: APPROVE PURCHASE AND IMPLEMENTATION OF CLARITI BUSINESS

LICENSE SOFTWARE SYSTEM
RECOMMENDATION:

1. Approve and authorize the City Manager to finalize and execute an agreement with Speridian, LLC, for Clariti Business Licensing System implementation costs of $205,820, plus 10% contingency.

2. Approve and authorize the City Manager to finalize an agreement with Park Consulting Group for consulting services and project management for a 3-month term in the amount of $49,500, plus 10% contingency.

3. Authorize the City Manager to review and approve contract amendments and change orders up to contingency amounts, for unforeseen circumstances associated with each agreement, per Section 3.30.170 of the Palm Desert Municipal Code.

4. Authorize City Attorney to make necessary non-monetary changes to any of the agreements and authorize City Manager to execute any documents necessary to facilitate the contract award and implementation of the Clariti Business Licensing Software System.

BACKGROUND/ANALYSIS:

In January 2024, the City initiated the project to replace its Land Management System, Trakit, with the Clariti Land Management Solution. In October 2025, the new Clariti system successfully went live. Clariti is a cloud-based solution that uses the Salesforces Customer Relationship Management (CRM) platform. The configuration of the public portal enables the streamlined delivery of many permitting services through a combination of smart workflow configurations and automation of routine tasks. This implementation increases our internal and external transparency, customer service capabilities, and the accuracy of our information.

During the January 9, 2025, study session, staff recommended and requested feedback from City Council on bringing business licensing functions back in-house and establishing an annual fixed date for Business Licensing Renewals. The City Council gave direction to move forward with this recommendation. The Clariti Business Licensing Module was included in this year’s budget request, and Staff is now requesting approval of the related services necessary to kick off the implementation.

A Business Licensing System digitally manages all business licenses under the jurisdiction of the City. The system provides an efficient and centralized way to process applications, renewals, 365
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and payments while maintaining accurate records and compliance tracking for all licensed businesses.

Currently, the City’s business licensing process is administered through HDL Coren & Cone (HDL), a private company that provides online application and renewal services, customer support, and payment processing. While HDL has provided a stable platform, the City’s reliance on an external vendor limits customizations, flexibility, reporting capabilities, and integration with other systems. Additionally, any inquiries or adjustments must go through HDL’s service team, which often results in delays.

Benefits of a Business Licensing Software System
The Clariti Community Development Software digitally manages the business licensing process by streamlining applications, payments, and communications with a single, user-friendly interface. Implementing an in-house business licensing module through Clariti will allow the City to consolidate licensing operations within the same platform used for permitting and other functions.

Upgrading to an in-house business licensing system will:
 Improve customer service by providing a modern, self-service online portal where businesses can apply for, renew, and pay for licenses without manual processing or thirdparty involvement.  Streamline internal processes by automating workflows.  Enhance reporting and data analysis capabilities by offering real-time access to licensing data and reports.
 Increase system integration by connecting licensing with the City’s permitting system.  Reduce dependency on third-party vendors, allowing City staff to make direct adjustments and maintain control over timelines and functionality.

Staff is proposing to enter into a contract with Speridian, LLC, and Park Consulting Group for the implementation and support of the Clariti Business Licensing System.

Timeline
The timeline for this implementation is expected to be approximately 5 months, with the kickoff scheduled to begin in January 2026 and the go-live date set for May 2026.

Throughout the entire project, staff will communicate regularly with businesses to ensure they are informed, prepared, and supported during the transition to the new Business Licensing system. Outreach will include website updates, email notifications, mailers, and guides for using the new Clariti Business Licensing Portal.

FINANCIAL IMPACT:

Funding for this contract has been included in the Fiscal Year 2025-26 budget under Account No. 1104190-4390000. Therefore, there is no additional impact on the City’s General Fund. 366
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There are no additional operational software costs for the Clariti Business Licensing module. The city is currently under a four-year software agreement with Clariti, which is paid annually and includes a 5% annual increase (as shown below). This will be part of the City’s annual software costs. We are currently in the third year of the contract, and the renewal of the software at the 4- year mark will be subject to City Council approval in 2027.

Year One Year Two
Year
Three Year Four
Four Year
Total
Annual Software
Costs $299,075 $303,529 $318,705 $334,640 $1,255,949
Annual
Support/Maint $50,625 $67,500 $67,500 $1,255,949
Totals $299,074 $354,154 $386,205 $402,140 $2,511,898
ATTACHMENTS:

1. Speridian Implementation Contract

2. Speridian Implementation Proposal

3. Park Consulting Group Contract

4. Park Consulting Group Proposal
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9.15.25 CITY OF PALM DESERT

PROFESSIONAL SERVICES AGREEMENT

1. Parties and Date. This Agreement is made and entered into on December 10, 2025, 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 Speridian Technologies, LLC, a Limited Liability Company, with its principal place of business at 2400 Louisiana Blvd NE, Building 3, Albuquerque, NM 87110 ("Consultant"). The City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties."

1.1 City Council Approval.

On December 11, 2025, City Council approved the award of this Agreement to the Consultant above.

2. Recitals.

2.1 Project.

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

Implementation of Clariti Business Licensing System Project (hereinafter referred to as “the Project”).

2.2 Consultant.

Consultant desires to perform and assume responsibility for the provision of certain professional services required by the City on the terms and conditions set forth in this Agreement. Consultant is duly licensed and has the necessary qualifications to provide such services.

3. Terms.

3.1 Scope of Services and Term.

3.1.1 General Scope of Services. Consultant 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 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 January 6, 2026, to August 31, 2026, unless earlier terminated as provided herein. Contractor shall complete the Services within the term of this Agreement and shall meet any other established schedules and deadlines.
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9.15.25 3.2 Responsibilities of Consultant.

3.2.1 Independent Contractor; Control and Payment of Subordinates. The Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods, and details of performing the Services subject to the requirements of this Agreement. City retains Consultant on an independent contractor basis and not as an employee. Any personnel performing the Services shall not be employees of City and shall at all times be under Consultant's exclusive direction and control. Neither City, or any of its officials, officers, directors, employees, or agents shall have control over the conduct of Consultant or any of Consultants officers, employees or agents, except as set forth in this Agreement. Consultant 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. Consultant 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. Consultant 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. Consultant represents that it has the professional and technical personnel required to perform the Services expeditiously. Upon request of City, Consultant 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 Consultant shall be subject to the approval of City.

3.2.4 Substitution of Key Personnel. Consultant has represented to City that certain key personnel will perform and coordinate the Services. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of City. In the event that City and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to terminate this Agreement for cause. The key personnel for performance of this Agreement are as follows: Scott Weiler, VP Salesforce Growth & Strategy.

3.2.5 City's Representative. The City hereby designates Clayton von Helf, or his/her designee, to act as its representative in all matters pertaining to the administration and performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on behalf of the City for review and approval of all products submitted by Consultant but not the authority to enlarge the scope of Services or change the total compensation due to Consultant under this Agreement. The City Manager shall be authorized to act on City's behalf and to execute all necessary documents which enlarge the scope of services or change the Consultant's total compensation subject to the provisions contained in Section 3.3 of this Agreement.

Consultant shall not accept direction or orders from any person other than the City Manager, City's Representative or his/her designee.

3.2.6 Consultant's Representative. Consultant hereby designates Scott Weiler, VP Salesforce Growth & Strategy, or his/her designee, to act as its 370
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9.15.25 representative for the performance of this Agreement ("Consultant's Representative").

Consultant's Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Agreement. The Consultant's Representative shall supervise and direct the Services, using his/her 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.

3.2.7 Coordination of Services. Consultant 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.

3.2.8 Standard of Care; Performance of Employees. Consultant 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. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services. Consultant warrants that all employees and subconsultants shall have sufficient skill and experience to perform the Services assigned to them. Consultant represents that it, its employees and subconsultants have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, and that such licenses and approvals shall be maintained throughout the term of this Agreement. Consultant 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 Consultant's failure to comply with the standard of care provided herein. Any employee of the Consultant or its sub-consultants 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 Consultant and shall not be re-employed to perform any of the Services or to work on the Project.

3.2.9 Period of Performance. Consultant shall perform and complete all Services under this Agreement within the term set forth in Section 3.1.2 above (“Performance Time”). Consultant shall also 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 separately agreed upon in writing by the City and Consultant (“Performance Milestones”). Consultant agrees that if the Services are not completed within the aforementioned Performance Time and/or pursuant to any such Performance Milestones developed pursuant to provisions of this Agreement, it is understood, acknowledged and agreed that the City will suffer damage.

Neither City nor Consultant shall be considered in default of this Agreement for delays in performance caused by circumstances beyond the reasonable control of the nonperforming Party. For purposes of this Agreement, such circumstances include a Force Majeure Event. A Force Majeure Event shall mean an event that materially affects a Party’s performance and is one or more of the following: (1) Acts of God or other natural disasters; (2) terrorism or other acts of a public enemy; (3) orders of governmental authorities (including, without limitation, unreasonable and unforeseeable delay in the 371
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9.15.25 issuance of permits or approvals by governmental authorities that are required for the services); (4) strikes and other organized labor action occurring at the site and the effects thereof on the services, only to the extent such strikes and other organized labor action are beyond the control of Consultant and its subcontractors, and to the extent the effects thereof cannot be avoided by use of replacement workers; and (5) pandemics, epidemics or quarantine restrictions. For purposes of this section, “orders of governmental authorities,” includes ordinances, emergency proclamations and orders, rules to protect the public health, welfare and safety, and other actions of a public agency applicable to the services and Agreement.

Should a Force Majeure Event occur, the non-performing Party shall, within a reasonable time of being prevented from performing, give written notice to the other Party describing the circumstances preventing continued performance and the efforts being made to resume performance of this Agreement. Force Majeure Events and/or delays, regardless of the Party responsible for the delay, shall not entitle Consultant to any additional compensation. Notwithstanding the foregoing in this section, the City may still terminate this Agreement in accordance with the termination provisions of this Agreement.

3.2.10 Laws and Regulations; Employee/Labor Certification. Consultant 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 and shall give all notices required by law. Consultant 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.

3.2.10.1 Employment Eligibility; Consultant. Consultant 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 sub-subconsultants to comply with the same.

Consultant 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 Equal Opportunity Employment. Consultant represents that it is an equal opportunity employer, and it shall not discriminate against any subconsultant, employee or applicant for employment because of race, religion, color, national origin, physical disability, ancestry, sex, age, marital status, gender, gender identity, gender expression, sexual orientation, reproductive health decision making, veteran or military status, or any other consideration made unlawful by federal, state, or local laws. 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. Consultant shall also 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. 372
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9.15.25 3.2.10.3 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant 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.

3.2.11 Insurance.

3.2.11.1 Minimum Requirements. Without limiting Consultant’s indemnification of City, and prior to commencement of the Services, Consultant 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. Consultant 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 $1,000,000 per occurrence, $2,000,000 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. Consultant 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 Consultant arising out of or in connection with Work to be performed under this Agreement, 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. The City’s Risk Manger 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) Professional Liability (Errors & Omissions) Insurance.

Consultant shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of $1,000,000 per claim and in the aggregate. Any policy inception date, continuity date, or retroactive date must be before the effective date of this Agreement and Consultant agrees to maintain continuous coverage through a period no less than three years after completion of the Services required by this Agreement.
(D) Workers’ Compensation Insurance. Consultant shall
maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000). Consultant shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the City, its officers, agents, employees, volunteers, and representatives. (E) Umbrella or Excess Liability Insurance. Consultant
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9.15.25 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:
(1) A drop-down feature requiring the policy to respond if any primary insurance that would otherwise have
applied proves to be uncollectible in whole or in part
for any reason;
(2) Pay on behalf of wording as opposed to
reimbursement;
(3) Concurrency of effective dates with primary
policies; and
(4) Policies shall “follow form” to the underlying primary policies.
(5) Insureds under primary policies shall also be
insureds under the umbrella or excess policies.
(G) Cyber Liability Insurance. Consultant shall procure and maintain Cyber Liability insurance with limits of $1,000,000 per occurrence/loss, which shall include the following coverage:
(1) Liability arising from the theft, dissemination and/or use of confidential or personally identifiable
information; including credit monitoring and
regulatory fines arising from such theft,
dissemination, or use of the confidential
information.
(2) Network security liability arising from the
unauthorized use of, access to, or tampering with
computer systems.
(3) Liability arising from the failure of technology
products (software) required under the contract for
Consultant to properly perform the services
intended.
(4) Electronic Media Liability arising from personal
injury, plagiarism or misappropriation of ideas,
domain name infringement or improper deep-linking
or framing, and infringement or violation of
intellectual property rights.
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9.15.25 (5) Liability arising from the failure to render professional services
If coverage is maintained on a claims-made basis, Consultant shall maintain such coverage for an additional period of three (3) years following termination of the Agreement.

3.2.11.2 Other Provisions or Requirements.
(A) Proof of Insurance. Consultant 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 Agreement. City reserves the right to require complete, certified copies of all required insurance policies, at any time. (B) Duration of Coverage. Consultant shall procure and
maintain for the duration of the Agreement insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Services hereunder by Consultant, his/her agents, representatives, employees or subconsultants.
(C) Primary/Non-Contributing. Coverage provided by
Consultant 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.
(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 Consultant, or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may terminate 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
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9.15.25 subrogation against the City, its elected or appointed officers, agents, officials, employees, volunteers, and representatives or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against the City, its elected or appointed officers, agents, officials, employees, volunteers and representatives and shall require similar written express waivers and insurance clauses from each of its subconsultants.
(G) Enforcement of Contract Provisions (non estoppel).

Consultant acknowledges and agrees that any actual or alleged failure on the part of the City to inform Consultant 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 Consultant maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Consultant. 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. Consultant 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 and its officers, officials, employees, agents, volunteers and representatives shall be additional insureds with regard to liability and defense of suits or claims arising out of the performance of the Agreement, under such policies. This provision shall also apply to any excess/umbrella liability policies. (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 Consultant’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 crossliability exclusions. 376
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9.15.25 (M) Pass Through Clause. Consultant agrees to ensure that its subconsultants, subcontractors, and any other party involved with the Project who is brought onto or involved in the Project by Consultant, provide the same minimum insurance coverage and endorsements required of Consultant. Consultant 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. Consultant agrees that upon request, all agreements with subconsultants, subcontractors, and others engaged in the Project will be submitted to City for review. (N) City’s Right to Revise Specifications. The City and the City’s Risk Manager reserve the right at any time during the term of the Agreement to change the amounts and types of insurance required by giving the Consultant ninety (90) days advance written notice of such change. If such change results in additional cost to the Consultant, the City and Consultant may renegotiate Consultant’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 selfinsured 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. Consultant shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Consultant’s performance under this Agreement, and that involve or may involve coverage under any of the required liability policies.
(Q) Additional Insurance. Consultant 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 Services.

3.2.12 Water Quality Management and Compliance. Consultant shall keep itself and all subcontractors, staff, and employees fully informed of and in compliance with all local, state and federal laws, rules and regulations that may impact, or be implicated by the performance of the Services including, without limitation, all applicable provisions of the City’s ordinances regulating water quality and storm water; the Federal Water Pollution Control Act (33 U.S.C. § 1251, et seq.); the California Porter-Cologne Water Quality Control Act (Water Code § 13000 et seq.); and any and all regulations, policies, or permits issued pursuant to any such authority. Consultant must comply with the lawful requirements of the City, and any other municipality, drainage district, or other local agency with jurisdiction over the location where the Services are to be conducted, regulating water quality and storm water discharges. Failure to comply with laws, regulations, and ordinances listed in this Section is a violation of federal and state law.

Consultant warrants that all employees and subcontractors shall have sufficient skill and experience to perform the work assigned to them without impacting water quality in violation of the laws, regulations, and policies of this Section. 377
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9.15.25 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 compensation shall not exceed Two Hundred Five Thousand, Eight Hundred Twenty and 00/100 Dollars ($205,820.00) without written approval of the City Council or City Manager, as applicable.

3.3.2 Payment of Compensation. Consultant shall submit to City milestone-based invoices which provide a detailed description of the Services and hours rendered by Consultant. City shall, within 30 days of receiving such invoice, review the invoice and pay all non-disputed and approved charges. If the City disputes any of Consultant's fees, the City shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth therein. Consultant 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 Consultant to submit a timely invoice may constitute a waiver of its right to final payment. Payment shall not constitute acceptance of any Services completed by Consultant. The making of final payment shall not constitute a waiver of any claims by the City for any reason whatsoever.

3.3.2.1 Retainer. RESERVED

3.3.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by City or included in Exhibit "C" of this Agreement.

3.3.4 Travel Expenses. In accordance with Government Code section 53232.2(c), the Internal Revenue Service rates for reimbursement of travel, meals, lodging, and other actual and necessary expenses as established in Publication 463, or any successor publication, shall be used to determine reimbursement rates for Consultant. Travel in business class, first class or any category on any flight above the coach/economy level will not be reimbursed.

3.3.5 Extra Work. At any time during the term of this Agreement, City may request that Consultant 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. Consultant shall not perform, nor be compensated for, Extra Work without written authorization from the City.

3.4 Labor Code Requirements.

3.4.1 Prevailing Wages. Consultant 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 378
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9.15.25 an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, Consultant agrees to fully comply with such Prevailing Wage Laws. City shall provide Consultant with a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement. Consultant 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 Consultant's principal place of business and at the project site. It is the intent of the parties to effectuate the requirements of sections 1771, 1774, 1775, 1776, 1777.5, 1813, and 1815 of the Labor Code within this Agreement, and Consultant shall therefore comply with such Labor Code sections to the fullest extent required by law. Consultant shall defend, indemnify, and hold the City, its officials, officers, employees, agents, volunteers and representatives, free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws.

3.4.2 Registration/DIR Compliance. If the Services are being performed on a public works project of over $25,000 when the project is for construction, alteration, demolition, installation, or repair work, or a public works project of over $15,000 when the project is for maintenance work, in addition to the foregoing, then pursuant to Labor Code sections 1725.5 and 1771.1, the Consultant and all subconsultants must be registered with the Department of Industrial Relations (“DIR”). Consultant shall maintain registration for the duration of the Project and require the same of any subconsultants. This Project may also be subject to compliance monitoring and enforcement by the DIR. It shall be Consultant’s sole responsibility to comply with all applicable registration and labor compliance requirements, including the submission of payroll records directly to the DIR.

Any stop orders issued by the DIR against Consultant or any subconsultant that affect Consultant’s performance of Services, including any delay, shall be Consultant’s sole responsibility. Any delay arising out of or resulting from such stop orders shall be considered Consultant caused delay and shall not be compensable by the City.

Consultant shall defend, indemnify, and hold the City, its officials, officers, employees, agents, volunteers and representatives free and harmless from any claim or liability arising out of stop orders issued by the DIR against Consultant or any subconsultant.

3.4.3 Labor Certification. By its signature hereunder, Consultant 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 Worker's 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.

3.5 Accounting Records.

3.5.1 Maintenance and Inspection. Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Consultant 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. Consultant 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 379
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9.15.25 payment under this Agreement.

3.6 General Provisions.

3.6.1 Termination of Agreement.

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

The rights and remedies of the City provided in this section shall not be exclusive and are in addition to any other rights and remedies provided by law, equity or under this Agreement.

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

3.6.1.3 Early Termination. Notwithstanding any
provision herein to the contrary, if for any fiscal year of this Agreement the City Council fails to appropriate or allocate funds for future payment under the Agreement after exercising reasonable efforts to do so, the City may upon seven (7) days’ written notice, order work on the Project to cease. Upon termination, Consultant shall be compensated only for those Services which have been adequately rendered to City, and Consultant shall be entitled to no further compensation.

3.6.1.4 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.

3.6.2 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:

Consultant: Speridian Technologies, LLC
2400 Louisiana Blvd NE, Building 3
Albuquerque, New Mexico 87110
ATTN: Carl Elliott
City: City of Palm Desert
73-510 Fred Waring Drive
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9.15.25 Palm Desert, CA 92260-2578
ATTN: Clayton von Helf
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.

3.6.3 Ownership of Materials and Confidentiality.

3.6.3.1 Documents & Data; Licensing of Intellectual
Property. This Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement ("Documents & Data"). All Documents & Data shall be and remain the property of City and shall not be used in whole or in substantial part by Consultant on other projects without the City’s express written permission. Within thirty (30) days following the completion, suspension, abandonment or termination of this Agreement, Consultant shall provide to City reproducible copies of all Documents & Data, in a form and amount required by City. City reserves the right to select the method of document reproduction and to establish where the reproduction will be accomplished. The reproduction expense shall be borne by City at the actual cost of duplication. In the event of a dispute regarding the amount of compensation to which the Consultant is entitled under the termination provisions of this Agreement, Consultant shall provide all Documents & Data to City upon payment of the undisputed amount. Consultant shall have no right to retain or fail to provide to City any such documents pending resolution of the dispute. In addition, Consultant shall retain copies of all Documents & Data on file for a minimum of fifteen (15) years following completion of the Project and shall make copies available to City upon the payment of actual reasonable duplication costs. Before destroying the Documents & Data following this retention period, Consultant shall make a reasonable effort to notify City and provide City with the opportunity to obtain the documents.

3.6.3.2 Subconsultants. Consultant shall require all
subconsultants to agree in writing that City is granted a non-exclusive and perpetual license for any Documents & Data the subconsultant prepares under this Agreement.

Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by professionals other than Consultant or its subconsultants, or those provided to Consultant by the City.

3.6.3.3 Right to Use. City shall not be limited in any way in its use or reuse of the Documents and Data or any part of them at any time for purposes of this Project or another project, provided that any such use not within the purposes intended by this Agreement or on a project other than this Project without employing the 381
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9.15.25 services of Consultant shall be at City’s sole risk. If City uses or reuses the Documents & Data on any project other than this Project, it shall remove the Consultant’s seal from the Documents & Data and indemnify and hold harmless Consultant and its officers, directors, agents, and employees from claims arising out of the negligent use or re-use of the Documents & Data on such other project. Consultant shall be responsible and liable for its Documents & Data, pursuant to the terms of this Agreement, only with respect to the condition of the Documents & Data at the time they are provided to the City upon completion, suspension, abandonment, or termination. Consultant shall not be responsible or liable for any revisions to the Documents & Data made by any party other than Consultant, a party for whom the Consultant is legally responsible or liable, or anyone approved by the Consultant.

3.6.3.4 Indemnification – Documents and Data.

Consultant shall defend, indemnify and hold the City, its directors, officials, officers, employees, volunteers, agents and representatives free and harmless, pursuant to the indemnification provisions of this Agreement, for any alleged infringement of any patent, copyright, trade secret, trade name, trademark, or any other proprietary right of any person or entity in consequence of the use on the Project by City of the Documents & Data, including any method, process, product, or concept specified or depicted.

3.6.3.5 Confidentiality. All ideas, memoranda,
specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City.

3.6.3.6 Confidential Information. The City shall refrain from releasing Consultant’s proprietary information ("Proprietary Information") unless the City's legal counsel determines that the release of the Proprietary Information is required by the California Public Records Act or other applicable state or federal law, or order of a court of competent jurisdiction, in which case the City shall notify Consultant of its intention to release Proprietary Information. Consultant shall have five (5) working days after receipt of the release notice to give City written notice of Consultant's objection to the City's release of Proprietary Information. Consultant shall indemnify, defend, and hold harmless the City, and its officers, directors, employees, agents, volunteers and representatives from and against all liability, loss, cost or expense (including attorney’s fees) arising out of a legal action brought to compel the release of Proprietary Information.

City shall not release the Proprietary Information after receipt of an objection notice unless either: (1) Consultant fails to fully indemnify, defend (with City's choice of legal counsel), 382
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9.15.25 and hold City harmless from any legal action brought to compel such release; and/or (2) a final and non-appealable order by a court of competent jurisdiction requires that City release such information.

3.6.4 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.

3.6.5 [Reserved]

3.6.6 Indemnification.

3.6.6.1 To the fullest extent permitted by law,
Consultant shall defend (with counsel of City’s choosing), indemnify and hold the City, its officials, officers, employees, volunteers, agents, and representatives free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subconsultants or agents in connection with the performance of the Consultant’s Services, the Project or this Agreement, including without limitation the payment of all expert witness fees, attorney’s fees and other related costs and expenses except such loss or damage caused by the sole negligence or willful misconduct of the City.

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

3.6.6.2 If Consultant’s obligation to defend, indemnify, and/or hold harmless arises out of Consultant’s performance as a “design professional” (as that term is defined under Civil Code section 2782.8), then, and only to the extent required by Civil Code section 2782.8, which is fully incorporated herein, Consultant’s indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant, and, upon Consultant obtaining a final adjudication by a court of competent jurisdiction, Consultant’s liability for such claim, including the cost to defend, shall not exceed the Consultant’s proportionate percentage of fault.

3.6.7 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.

3.6.8 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in Riverside County.

3.6.9 Time of Essence. Time is of the essence for each and every provision of this Agreement.
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9.15.25 3.6.10 City's Right to Employ Other Consultants. City reserves right to employ other consultants in connection with this Project.

3.6.11 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the Parties.

3.6.12 Assignment; Subcontracting. Consultant shall not assign, sublet, or transfer this Agreement or any rights under or interest in this Agreement without the written consent of the City, which may be withheld for any reason. Any attempt to so assign or so transfer without such consent shall be void and without legal effect and shall constitute grounds for termination. Consultant shall not subcontract any portion of the Services 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.

3.6.13 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 Consultant include all personnel, employees, agents, and subconsultants of Consultant, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents, 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.

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

3.6.15 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.

3.6.16 No Third-Party Beneficiaries. There are no intended third-party beneficiaries of any right or obligation assumed by the Parties.

3.6.17 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.

3.6.18 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant 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 Consultant, any fee, commission, percentage, 384
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9.15.25 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.

3.6.19 Authority to Enter Agreement. Consultant 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.

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

3.6.21 Survival. All rights and obligations hereunder that by their nature are to continue after any expiration or termination of this Agreement, including, but not limited to, the indemnification obligations, shall survive any such expiration or termination. [SIGNATURES ON FOLLOWING PAGE]
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9.15.25 SIGNATURE PAGE TO PROFESSIONAL SERVICES AGREEMENT

BY AND BETWEEN THE CITY OF PALM DESERT

AND SPERIDIAN TECHNOLOGIES, LLC
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:

Chris Escobedo
City Manager
Attest:

By:

Anthony J. Mejia
City Clerk
Approved as to form:

By:

Isra Shah
City Attorney

SPERIDIAN TECHNOLOGIES, A

LIMITED LIABILITY COMPANY
By:

Satish Ganta
Executive Vice President, Enterprise
Solutions
Clerk QC: _______
Contract QC: ______
Insurance:
__________
Initial Review
__________
Final Approval
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9.15.25 EXHIBIT “A” AND “B”

SCOPE OF WORK AND SCOPE OF SERVICES
City of Palm Desert
Clariti Implementation – Phase 2
Business License and Additional Items
Statement of Work
October 10, 2025
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9.15.25 Contents

1. BACKGROUND

2. SCOPE OF WORK

2.1 CLARITI BUSINESS LICENSE MODULE

2.1.1 Business License Scope

2.1.2 Data Migration from HdL

2.1.3 Project Management Methodology and Timeline

2.2 PHASE 2 ADDITIONS AND IMPROVEMENTS

2.3 SPERIDIAN MANAGED SERVICES

3. YOUR OBLIGATIONS AND PROJECT ASSUMPTIONS

3.1 YOUR OBLIGATIONS

3.2 SPERIDIAN OBLIGATIONS

7.3 SUPPORT ASSUMPTIONS

4. FEES

AGREEMENT CHANGE

5. REVIEW MEETINGS

6. REQUIRED CONSENTS

7. SECURITY AND PRIVACY GUIDELINES

8. EXECUTION
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9.15.25 S P E R I D I A N C O N T R A C T I N F O R M A T I O N Customer Name: City of Palm Desert
Exhibit Number: SOW Number 2
Customer Name: City of Palm Desert Speridian Technologies, LLC Customer Address: 73510 Fred Waring Drive
Palm Desert, CA 92260-2578 USA
2355 Main Street, Suite 240
Irvine, CA 92614
Contact:

Phone:

Email:

Clayton von Helf
(760) 776-6338
[email protected]
Contact: Cindy Sullivan
Phone: (925) 963-3020
Email: [email protected]
Contact Information
Speridian Contracts Manager/Administrator: Client Accounts Payable:

Name: David Galceran Name: Accounts Payable
Address: 2355 Main Street, Suite 240
Irvine, CA 92614
Address: 73510 Fred Waring Drive
Palm Desert, CA 92260-2578 USA
Phone: (949) 242-3313 Phone:

Email: [email protected] Email:

Speridian Project Manager Client Project Manager
Name: Mario Noronha Name: Clayton von Helf
Address: 2355 Main Street, Suite 240
Irvine, CA 92614
Address: 73510 Fred Waring Drive
Palm Desert, CA 92260-2578 USA
Phone: (437) 661-2939 Phone: (760) 776-6338
Email: [email protected] Email: [email protected]

1. Background
The services described herein (“Statement of Work”) (“SOW”), effective from the date signed shall be governed by the terms of the Professional Services Agreement, dated October 25, 2025, between Speridian Technologies LLC (“Speridian”), and City of Palm Desert (“You” or “Your’).

Speridian will work under this SOW for providing Phase 2 Services for the City of Palm Desert Clariti Community Development (CD) Software, which Speridian implemented.

2. Scope of Work
The following services are included as part of the Statement of Work:
 Implementation of Business Licenses Module
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9.15.25  Additional configuration and modifications to Clariti Software implementation  Managed Support Services during Phase 2

4. Clariti Business License Module
The Clariti Business Licensing solution enables the City of Palm Desert to manage the full lifecycle of business licenses, ensuring regulatory compliance, public safety, and operational transparency. The system supports initial application, review, inspection (where applicable), issuance, and renewal processes, with configurable workflows tailored to the City’s licensing requirements.

Business licenses are issued to ensure that entities operating within the City are in good standing, having paid taxes, maintained insurance, and complied with local ordinances. The solution accommodates various license types such as restaurants, daycares, tattoo parlors, and medical dispensaries, and integrates with other departments (e.g., Fire or Building) for inspection and compliance tracking.

Key features include:
• Online intake and application submission
• Automated fee calculation and payment processing
• Multi-departmental review workflows
• Inspection scheduling and tracking
• License issuance with expiration management
• Renewal notifications and processing
Clariti’s flexible data model and configurable license journeys allow the City to manage licenses individually or in bulk, with support for endorsements, conditional submissions, and complex expiration rules. The system also integrates with external systems and supports robust reporting, document generation, and online portal access for applicants.

2.1.1 Business License Scope
Palm Desert is currently using HdL to process their business License. These are typical volumes from September 2025.

License Status Count
New / in process 619
Current 5,526
Renewal Sent / Delinquent 2,607
Total 8,752
The following Business License types will be configured and implemented using Clariti’s standard Business Licensing functionality, tailored to meet the operational and regulatory needs of the City of Palm Desert.

Description Subtype Fees
Category A - In City (Retail sales,
amusement centers, clubs,
professionals, agents)
N/A Annual - Flat
Category B – Contractors
(Constructors, subcontractors,
specialty trades)
Annual – Varies by
State license and
class
Category C – Out-of-City
(solicitors, vendors, service
providers)
Varies
Special District Subtype 1 Multiplier
Special District Subtype 2 Multiplier
Special District Subtype 3 Multiplier
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9.15.25 Special District Subtype 4 Multiplier
In addition to core license configuration, the following supporting features will be implemented to enable a complete and efficient Business Licensing process within the Clariti system. • Portal Intake – Additional pages added to current Clariti Portal • Fee Calculation and Payment Processing – Existing payment processor will be used.
• Application Automation – For Processing
• License Automation – For annual Renewals and notifications of renewals • Letter Templates
• Email Templates
• Inspection Scheduling using existing Inspection functionality, if needed • Report Dashboard and list to manage Business License
• Training session(s) focused on educating business license users about new modules, enhancements, reporting and workflow updates.

Internally focused for staff.

Out of Scope:
• No additional Interfaces are expected to be added for Business Licenses • Adjustment of license expiration dates. Expiration dates on the records will be used, typically 1 year from issuance.

2.1.2 Data Migration from HdL
The City will provide data exports of existing Business License records from the HdL system. This dataset will be mapped to Clariti’s licensing data model and imported using Clariti’s standard data import tools.

Given the expected simplicity of the source file, a streamlined import process is anticipated.

Field Name Example Value
Account Number 11714555
Business Name (DBA) ACME CONSTRUCTION
Business Address Line 1 112 MAIN STREET STE A
Business Address Line 2 SAN MARCOS, CA 92078-3823
Located Inside City No
Location Type Commercial
Mailing Address Line 1 112 MAIN STREET STE A
Mailing Address Line 2 SAN MARCOS, CA 92078-3823
Phone Number (760) 747-1111
Email Address [email protected]
Rate Class Business License
Rate Type Category B – Licensed Contractors
Business Type CONTRACTOR – GENERAL
SIC Code 1542001
SIC Description General Contractors – Nonresidential
Buildings, Other Than Industrial Buildings
NAICS Code 334115
NAICS Description New Single-Family Housing Construction (except Operative Builders)
Account Type New Application
Business Status Active
391
Contract No. ___________
Exhibit “A” and “B” Revised 01-2024
BBK 72500.00001\32374915.1

9.15.25 License Status Current
Start Date 04/23/2025
Submittal Date 04/23/2025
Expire Date 03/31/2026

2.1.3 Project Management Methodology and Timeline
Speridian will implement the Clariti Business Licensing module using our standard hybrid agile-waterfall methodology, previously applied during the City’s original Clariti implementation. For this smaller, focused project, the approach will be streamlined to accelerate delivery while maintaining alignment with Palm Desert’s operational goals.

This proven methodology emphasizes collaboration, transparency, and rapid value delivery, with minimal disruption to City operations. Key phases include Initiation, Discovery, Configuration, Validation, and GoLive, each supported by structured workshops, sprint-based development, and iterative testing.

Speridian proposes a structured, phased implementation approach spanning 23 weeks, designed to deliver measurable value early while ensuring long-term sustainability and stakeholder alignment. The timeline is broken into distinct phases that reflect the City’s operational priorities and the complexity of the Business License transformation into the Clariti system.

1. Discovery & Sprint 0
Weeks 1–4 (January 6, 2026 – January 31, 2026)
 Stakeholder workshops
 Requirements gathering
 Initial backlog creation
 Environment setup and planning

2. Sprint 1-3
Weeks 5-13 (February 3, 2026 – April 4, 2026)
 Iterative configuration and development
 Each release focuses on a specific functional area (e.g., Permitting, Planning, Code Enforcement, Licensing, Inspections, Fees, Reports, Integrations)
 Includes sprint planning, design, configuration, unit testing, and internal validation  Releases are sequenced to balance complexity, resource availability, and business impact

3. System Integration Testing (SIT)
Weeks 14-16 (April 7, 2026 – April 25, 2026)
 End-to-end testing across all configured modules
 Validation of integrations, workflows, and data flows  Issue triage and resolution

4. User Acceptance Testing (UAT)
Weeks 17-20 (April 28, 2026 – May 23, 2026)
 City-led testing of configured solution
 Feedback collection and rework
 Final readiness assessment

5. Deployment & Go-Live
Weeks 21 (May 26, 2026 – May 30, 2026)
 Production environment setup
 Final data migration
 Cutover planning and execution
 Staff training and go-live support

6. Hypercare Support
392
Contract No. ___________
Exhibit “A” and “B” Revised 01-2024
BBK 72500.00001\32374915.1

9.15.25 Weeks 22-23 (June 2, 2026 – June 13, 2026)
 Post-go-live stabilization
 Issue resolution and performance monitoring
 Transition to ongoing support

2.2Phase 2 Additions and Improvements
During the initial Clariti implementation, several items were identified that fell outside the original scope or represented late-stage changes to previously defined requirements. These items were captured in a backlog but were not implemented due to timing constraints or evolving priorities.

For Phase 2, Speridian will work collaboratively with the City of Palm Desert to evaluate and address this backlog. Rather than committing to a fixed list of enhancements, this phase will be structured around a time-and-materials model with a cap, allowing flexibility to prioritize and refine items based on current operational needs.

Backlog Management Process
• A weekly or bi-weekly prioritization meeting will be held with City stakeholders to review the backlog, clarify requirements, and define user stories. • Items will be estimated and ranked by priority, with the highest-value items selected for development.
• Work will proceed in agile sprints, with each sprint including:
o Scope refinement and estimation
o Configuration and development
o Quality assurance (QA)
o User Acceptance Testing (UAT)
o Production deployment following successful UAT
This iterative approach ensures that enhancements are delivered efficiently, with continuous feedback and alignment to City goals. It also allows for flexibility as users gain experience with the live system and reassess the necessity or impact of previously requested changes.

Time Allocation
The scope of Phase 2 will be defined by a block of hours dedicated to backlog refinement, development, testing, and deployment. This structure enables the City to maximize value while maintaining control over priorities and budget.

2.3Speridian Managed Services
To support the ongoing success of the Clariti implementation, Speridian will provide managed services to the City of Palm Desert throughout Phase 2. While enhancements and backlog items are addressed in parallel, Speridian will continue to monitor and resolve production issues, ensuring system stability and user satisfaction.

All support activities will be tracked and managed through Speridian’s JIRA Service Desk, with defined service level objectives (SLOs) and transparent communication.

Support Areas and Responsibilities
393
Contract No. ___________
Exhibit “A” and “B” Revised 01-2024
BBK 72500.00001\32374915.1

9.15.25 Support Area Speridian Tasks
Business Support
- Manage break/fix tickets raised by the City
- Perform root cause analysis and resolution
- Assist users with daily inquiries and troubleshooting Application
Support
- Manage user accounts, roles, and permissions
- Configure security settings to maintain appropriate access controls Data Management - Configure list views for efficient data navigation - Update reports and dashboards to reflect evolving business needs Integration Support
- Monitor data flows between integrated systems
- Provide alerts for anomalies or disruptions
- Resolve integration-related issues in collaboration with stakeholders Note: Integration development, customization, and data upgrades are out of scope
Release Support
- Assist with Clariti release cycle management
- Provide release summaries and recommendations for feature adoption - Support change management and deployment planning
Configuration and Change Requests
Any configuration changes will be handled in the Phase 2 Backlog process.

3. Your Obligations and Project Assumptions
You acknowledge that Speridian’s ability to perform the Services and any related tasks depends upon your fulfillment of the following obligations and the following project assumptions:

3.1 Your Obligations
 Provide Speridian with reasonable access to the relevant functional, technical, and business resources to support the performance of the Services.
 Provide Speridian with accurate documentation of the severity of defects being reported.  Provide development, testing and production environments.  Be responsible for allocating user acceptance testing resources and the creation and execution of relevant test scripts.
 Respond to support-related inquiries and information requests from the Speridian team in a timely manner to ensure efficient issue resolution and continuity of serviceMaintain a properly configured hardware/operating system platform to support the applications.  Designate Project Manager(s) who shall be responsible for coordinating with Speridian’s Service Delivery Manager and Project Manager for all project management and the direction of services provided to you by Speridian.

3.2 Speridian Obligations
 Speridian will provide training on accessing and submitting tickets through Speridian’s Managed Support Services ticketing platform.
 Speridian will provide support for addressing defects, bugs, technical issues, features, upgrades, or enhancements at the request/direction of Palm Desert.  Speridian will provide detailed solutions to be reviewed by Palm Desert for review and approval prior to doing any configuration or development.
394
Contract No. ___________
Exhibit “A” and “B” Revised 01-2024
BBK 72500.00001\32374915.1

9.15.25  Speridian will perform primary functional testing and unit testing, and as such, will work closely with Palm Desert’s QA team supporting all aspects of testing.  Speridian will assign a Service Manager that will be responsible for tracking and reporting on requests, activity, project, and budget consumption associated with the managed services.  Speridian will assign a dedicated Project Manager responsible for overseeing the implementation of Business Licensing and Phase 2 enhancements. This individual will manage project activities, track progress against the timeline and budget, and provide regular status reporting to the City of Palm Desert.

7.3 Support Assumptions
 Speridian will provide Standard Support during hours of business operation: Monday through Friday, 8 a.m. PST to 5 p.m. PST.
 The support in this engagement will be delivered by Speridian using a blended onshore/offshore delivery model.
 This Applicational Support and Operational Support will follow a shared resource model.

Resource assignments will be made at Speridian’s discretion.  Speridian’s ticketing system will be used to manage work requests under this engagement.  Speridian and the client will organize and conduct work planning meetings to outline the required Operational and Application Support needed for the month.  Speridian will provide regular status reports which will include a summary of progress made towards Operational or Application Support requests and budget consumption.  CLARITI, a Software-as-a-Service (SaaS) solution built on Salesforce.com, may experience issues between Priority Levels 1, 2, and some Level 3 issues that are outside Contractor’s and CLARITI’s control, being solely attributable to Salesforce.com. For these issues, Contractor will escalate to Salesforce.com. For Salesforce.com platform issues, Salesforce only offers response times and a resolution plan without definite resolution times. Therefore, Contractor is limited to providing a resolution plan with expected response durations. For more details, refer to Salesforce.com support documentation. For Salesforce.com issues, the Contractor will continue to engage with Salesforce.com until resolution. The Contractor will keep the City informed during the process.
 Any services that require access to Salesforce and/or Clariti hosting environments, servers and folder access to which Speridian doesn’t have access, and product related issues which require support from either the Salesforce or Clariti Product Development team, are NOT covered under this agreement.
 Any travel-related costs would be handled on a case-by-case basis and would be billed to the client as actuals for the duration of the required support.

4. Fees
The total amount of this Statement of work is $205,820.

Description Hours List Rate
(Per Hour)
Discounted
Rate
Amount
Business License 1360 130 92 $125,120
Phase 2 Additions 600 130 92 $55,200
Managed Services Support (6 months,
issue/bug fix)
300 130 85 $25,500
Total 2260 $205,820
Payment Schedule
395
Contract No. ___________
Exhibit “A” and “B” Revised 01-2024
BBK 72500.00001\32374915.1

9.15.25 Deliverable/Date Date Amount
Signed SOW January 2, 2026 $34,303.33
Discovery (First Month) January 31, 2026 $34,303.33
Sprint 1 (Second Month) February 28, 2026 $34,303.33
Sprint 2 & 3 (Third Month) March 31, 2026 $34,303.33
SIT (Fourth Month) April 30, 2026 $34,303.33
Production Deployment
Business License (Fifth
Month)
May 31, 2026 $34,303.33
 The client agrees to pay Speridian the invoice amount within 30 days from receipt of invoices.  Travel is not included in this contract. Should the client require Speridian to travel, travel by Speridian must be pre-approved in writing by the client for such expenses to be reimbursable under this SOW. Travel expenses will be reimbursed by the client at cost.

Agreement Change
 If the client wishes to add or change the above team composition, a change order will be required.

5. Review Meetings
City of Palm Desert and Speridian Support Managers shall have monthly meetings (“Review Meetings”) which may be attended remotely to monitor, review, and discuss the performance of the Services.

Before each Review Meeting, each representative shall notify the other of any material problems and/or concerns relating to the performance of the Services for discussion at the Review Meeting. At the Review Meeting, the parties shall work in good faith to agree on a plan to address such problems.

In the event of any problem being unresolved or a failure to agree on a place for rectification of the problem, the matter shall be resolved under the terms of the Agreement. Progress in implementing any remediation plans shall be included in the agenda for subsequent Review Meetings.

6. Required Consents
City of Palm Desert is responsible for promptly obtaining and providing to Speridian all Required Consents necessary for Speridian to provide the Services described in the SOW. A Required Consent means any consents or approvals required to give Speridian the right or license to access, use and/or modify the hardware, software, firmware, and other products City of Palm Desert uses.

7. Security and Privacy Guidelines
During the Term of any SoW established under the Maintenance Services Agreement, Speridian shall maintain the security and privacy requirements as set forth in the Agreement or as required by City of Palm Desert, and Speridian shall require all subcontractors performing any services under the terms of the Agreement or this SOW, as a condition to their engagement, to provide their services in full compliance with such requirements. Any changes to the existing physical of logical controls that affect, or impact City of Palm Desert must be approved by City of Palm Desert in advance and requested on a Change Request Form.
396
Contract No. ___________
Exhibit “A” and “B” Revised 01-2024
BBK 72500.00001\32374915.1

9.15.25 EXHIBIT “C”

COMPENSATION
The total amount of this Statement of work is $205,820.

Description Hours List Rate
(Per Hour)
Discounted
Rate
Amount
Business License 1360 130 92 $125,120
Phase 2 Additions 600 130 92 $55,200
Managed Services Support (6 months,
issue/bug fix)
300 130 85 $25,500
Total 2260 $205,820
Payment Schedule

Deliverable/Date Date Amount
Signed SOW January 2, 2026 $34,303.33
Discovery (First Month) January 31, 2026 $34,303.33
Sprint 1 (Second Month) February 28, 2026 $34,303.33
Sprint 2 & 3 (Third Month) March 31, 2026 $34,303.33
SIT (Fourth Month) April 30, 2026 $34,303.33
Production Deployment
Business License (Fifth
Month)
May 31, 2026 $34,303.33
397
398
Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 1 City of Palm Desert
Clariti Implementation – Phase 2
Business License and Additional Items
Statement of Work
October 10, 2025
399
Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 2 Contents

1. BACKGROUND

2. SCOPE OF WORK

2.1 CLARITI BUSINESS LICENSE MODULE

2.1.1 Business License Scope

2.1.2 Data Migration from HdL

2.1.3 Project Management Methodology and Timeline

2.2 PHASE 2 ADDITIONS AND IMPROVEMENTS

2.3 SPERIDIAN MANAGED SERVICES

3. YOUR OBLIGATIONS AND PROJECT ASSUMPTIONS

3.1 YOUR OBLIGATIONS

3.2 SPERIDIAN OBLIGATIONS

7.3 SUPPORT ASSUMPTIONS

4. FEES

AGREEMENT CHANGE

5. REVIEW MEETINGS

6. REQUIRED CONSENTS

7. SECURITY AND PRIVACY GUIDELINES

8. EXECUTION
400
Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 3

S P E R I D I A N C O N T R A C T I N F O R M A T I O N Customer Name: City of Palm Desert
Exhibit Number: SOW Number 2
Customer Name: City of Palm Desert Speridian Technologies, LLC Customer
Address:
73510 Fred Waring Drive
Palm Desert, CA 92260-2578 USA
2355 Main Street, Suite 240
Irvine, CA 92614
Contact:

Phone:

Email:

Clayton von Helf
(760) 776-6338
[email protected]
Contact: Cindy Sullivan
Phone: (925) 963-3020
Email:
[email protected]
Contact Information
Speridian Contracts
Manager/Administrator:

Client Accounts Payable:

Name: David Galceran Name: Accounts Payable
Address: 2355 Main Street, Suite 240
Irvine, CA 92614
Address: 73510 Fred Waring Drive
Palm Desert, CA 92260-2578 USA
Phone: (949) 242-3313 Phone:

Email: [email protected] Email:

Speridian Project Manager Client Project Manager
Name: Mario Noronha Name: Clayton von Helf
Address: 2355 Main Street, Suite 240
Irvine, CA 92614
Address: 73510 Fred Waring Drive
Palm Desert, CA 92260-2578
USA
Phone: (437) 661-2939 Phone: (760) 776-6338
Email: [email protected] Email: [email protected]

1. Background
The services described herein (“Statement of Work”) (“SOW”), effective from the date signed shall be governed by the terms of the Professional Services Agreement, dated October 25, 401
Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 4 2025, between Speridian Technologies LLC (“Speridian”), and City of Palm Desert (“You” or “Your’).

Speridian will work under this SOW for providing Phase 2 Services for the City of Palm Desert Clariti Community Development (CD) Software, which Speridian implemented.

2. Scope of Work
The following services are included as part of the Statement of Work:
 Implementation of Business Licenses Module
 Additional configuration and modifications to Clariti Software implementation  Managed Support Services during Phase 2

2.1 Clariti Business License Module
The Clariti Business Licensing solution enables the City of Palm Desert to manage the full lifecycle of business licenses, ensuring regulatory compliance, public safety, and operational transparency. The system supports initial application, review, inspection (where applicable), issuance, and renewal processes, with configurable workflows tailored to the City’s licensing requirements.

Business licenses are issued to ensure that entities operating within the City are in good standing, having paid taxes, maintained insurance, and complied with local ordinances. The solution accommodates various license types such as restaurants, daycares, tattoo parlors, and medical dispensaries, and integrates with other departments (e.g., Fire or Building) for inspection and compliance tracking.

Key features include:
• Online intake and application submission
• Automated fee calculation and payment processing
• Multi-departmental review workflows
• Inspection scheduling and tracking
• License issuance with expiration management
• Renewal notifications and processing
Clariti’s flexible data model and configurable license journeys allow the City to manage licenses individually or in bulk, with support for endorsements, conditional submissions, and complex expiration rules. The system also integrates with external systems and supports robust reporting, document generation, and online portal access for applicants.

2.1.1 Business License Scope
Palm Desert is currently using HdL to process their business License. These are typical volumes from September 2025.

License Status Count
New / in process 619
Current 5,526
Renewal Sent / Delinquent 2,607
Total 8,752
402
Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 5 The following Business License types will be configured and implemented using Clariti’s standard Business Licensing functionality, tailored to meet the operational and regulatory needs of the City of Palm Desert.

Description Subtype Fees
Category A - In City (Retail
sales, amusement centers,
clubs, professionals, agents)
N/A Annual - Flat
Category B – Contractors
(Constructors, subcontractors,
specialty trades)
Annual – Varies by
State license and
class
Category C – Out-of-City
(solicitors, vendors, service
providers)
Varies
Special District Subtype 1 Multiplier
Special District Subtype 2 Multiplier
Special District Subtype 3 Multiplier
Special District Subtype 4 Multiplier
In addition to core license configuration, the following supporting features will be implemented to enable a complete and efficient Business Licensing process within the Clariti system.
• Portal Intake – Additional pages added to current Clariti Portal • Fee Calculation and Payment Processing – Existing payment processor will be used.
• Application Automation – For Processing
• License Automation – For annual Renewals and notifications of renewals • Letter Templates
• Email Templates
• Inspection Scheduling using existing Inspection functionality, if needed • Report Dashboard and list to manage Business License
• Training session(s) focused on educating business license users about new modules, enhancements, reporting and workflow updates.

Internally focused for staff.

Out of Scope:
• No additional Interfaces are expected to be added for Business Licenses • Adjustment of license expiration dates. Expiration dates on the records will be used, typically 1 year from issuance.

2.1.2 Data Migration from HdL
The City will provide data exports of existing Business License records from the HdL system.

This dataset will be mapped to Clariti’s licensing data model and imported using Clariti’s 403
Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 6 standard data import tools. Given the expected simplicity of the source file, a streamlined import process is anticipated.

Field Name Example Value
Account Number 11714555
Business Name (DBA) ACME CONSTRUCTION
Business Address Line 1 112 MAIN STREET STE A
Business Address Line 2 SAN MARCOS, CA 92078-3823
Located Inside City No
Location Type Commercial
Mailing Address Line 1 112 MAIN STREET STE A
Mailing Address Line 2 SAN MARCOS, CA 92078-3823
Phone Number (760) 747-1111
Email Address [email protected]
Rate Class Business License
Rate Type Category B – Licensed Contractors
Business Type CONTRACTOR – GENERAL
SIC Code 1542001
SIC Description General Contractors – Nonresidential
Buildings, Other Than Industrial
Buildings
NAICS Code 334115
NAICS Description New Single-Family Housing
Construction (except Operative
Builders)
Account Type New Application
Business Status Active
License Status Current
Start Date 04/23/2025
Submittal Date 04/23/2025
Expire Date 03/31/2026

2.1.3 Project Management Methodology and Timeline
Speridian will implement the Clariti Business Licensing module using our standard hybrid agile-waterfall methodology, previously applied during the City’s original Clariti implementation. For this smaller, focused project, the approach will be streamlined to accelerate delivery while maintaining alignment with Palm Desert’s operational goals.

This proven methodology emphasizes collaboration, transparency, and rapid value delivery, with minimal disruption to City operations. Key phases include Initiation, Discovery, Configuration, Validation, and Go-Live, each supported by structured workshops, sprint-based development, and iterative testing.

Speridian proposes a structured, phased implementation approach spanning 23 weeks, designed to deliver measurable value early while ensuring long-term sustainability and 404
Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 7 stakeholder alignment. The timeline is broken into distinct phases that reflect the City’s operational priorities and the complexity of the Business License transformation into the Clariti system.

1. Discovery & Sprint 0
Weeks 1–4 (January 6, 2026 – January 31, 2026)
 Stakeholder workshops
 Requirements gathering
 Initial backlog creation
 Environment setup and planning

2. Sprint 1-3
Weeks 5-13 (February 3, 2026 – April 4, 2026)
 Iterative configuration and development
 Each release focuses on a specific functional area (e.g., Permitting, Planning, Code Enforcement, Licensing, Inspections, Fees, Reports, Integrations)  Includes sprint planning, design, configuration, unit testing, and internal validation  Releases are sequenced to balance complexity, resource availability, and business impact

3. System Integration Testing (SIT)
Weeks 14-16 (April 7, 2026 – April 25, 2026)
 End-to-end testing across all configured modules
 Validation of integrations, workflows, and data flows  Issue triage and resolution

4. User Acceptance Testing (UAT)
Weeks 17-20 (April 28, 2026 – May 23, 2026)
 City-led testing of configured solution
 Feedback collection and rework
 Final readiness assessment

5. Deployment & Go-Live
Weeks 21 (May 26, 2026 – May 30, 2026)
 Production environment setup
 Final data migration
 Cutover planning and execution
 Staff training and go-live support

6. Hypercare Support
Weeks 22-23 (June 2, 2026 – June 13, 2026)
 Post-go-live stabilization
 Issue resolution and performance monitoring
 Transition to ongoing support

2.2Phase 2 Additions and Improvements
405
Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 8 During the initial Clariti implementation, several items were identified that fell outside the original scope or represented late-stage changes to previously defined requirements. These items were captured in a backlog but were not implemented due to timing constraints or evolving priorities.

For Phase 2, Speridian will work collaboratively with the City of Palm Desert to evaluate and address this backlog. Rather than committing to a fixed list of enhancements, this phase will be structured around a time-and-materials model with a cap, allowing flexibility to prioritize and refine items based on current operational needs.

Backlog Management Process
• A weekly or bi-weekly prioritization meeting will be held with City stakeholders to review the backlog, clarify requirements, and define user stories. • Items will be estimated and ranked by priority, with the highest-value items selected for development.
• Work will proceed in agile sprints, with each sprint including:
o Scope refinement and estimation
o Configuration and development
o Quality assurance (QA)
o User Acceptance Testing (UAT)
o Production deployment following successful UAT
This iterative approach ensures that enhancements are delivered efficiently, with continuous feedback and alignment to City goals. It also allows for flexibility as users gain experience with the live system and reassess the necessity or impact of previously requested changes.

Time Allocation
The scope of Phase 2 will be defined by a block of hours dedicated to backlog refinement, development, testing, and deployment. This structure enables the City to maximize value while maintaining control over priorities and budget.

2.3Speridian Managed Services
To support the ongoing success of the Clariti implementation, Speridian will provide managed services to the City of Palm Desert throughout Phase 2. While enhancements and backlog items are addressed in parallel, Speridian will continue to monitor and resolve production issues, ensuring system stability and user satisfaction.

All support activities will be tracked and managed through Speridian’s JIRA Service Desk, with defined service level objectives (SLOs) and transparent communication.

Support Areas and Responsibilities
406
Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 9 Support Area Speridian Tasks
Business Support
- Manage break/fix tickets raised by the City
- Perform root cause analysis and resolution
- Assist users with daily inquiries and troubleshooting Application
Support
- Manage user accounts, roles, and permissions
- Configure security settings to maintain appropriate access controls Data Management - Configure list views for efficient data navigation - Update reports and dashboards to reflect evolving business needs Integration
Support
- Monitor data flows between integrated systems
- Provide alerts for anomalies or disruptions
- Resolve integration-related issues in collaboration with stakeholders Note: Integration development, customization, and data upgrades are out of scope
Release Support
- Assist with Clariti release cycle management
- Provide release summaries and recommendations for feature adoption
- Support change management and deployment planning
Configuration and Change Requests
Any configuration changes will be handled in the Phase 2 Backlog process.

3. Your Obligations and Project Assumptions
You acknowledge that Speridian’s ability to perform the Services and any related tasks depends upon your fulfillment of the following obligations and the following project assumptions:

3.1 Your Obligations
 Provide Speridian with reasonable access to the relevant functional, technical, and business resources to support the performance of the Services.  Provide Speridian with accurate documentation of the severity of defects being reported.
 Provide development, testing and production environments.  Be responsible for allocating user acceptance testing resources and the creation and execution of relevant test scripts.
 Respond to support-related inquiries and information requests from the Speridian team in a timely manner to ensure efficient issue resolution and continuity of serviceMaintain a properly configured hardware/operating system platform to support the applications.
 Designate Project Manager(s) who shall be responsible for coordinating with Speridian’s Service Delivery Manager and Project Manager for all project management and the direction of services provided to you by Speridian. 407
Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 10

3.2 Speridian Obligations
 Speridian will provide training on accessing and submitting tickets through Speridian’s Managed Support Services ticketing platform.  Speridian will provide support for addressing defects, bugs, technical issues, features, upgrades, or enhancements at the request/direction of Palm Desert.  Speridian will provide detailed solutions to be reviewed by Palm Desert for review and approval prior to doing any configuration or development.  Speridian will perform primary functional testing and unit testing, and as such, will work closely with Palm Desert’s QA team supporting all aspects of testing.  Speridian will assign a Service Manager that will be responsible for tracking and reporting on requests, activity, project, and budget consumption associated with the managed services.
 Speridian will assign a dedicated Project Manager responsible for overseeing the implementation of Business Licensing and Phase 2 enhancements. This individual will manage project activities, track progress against the timeline and budget, and provide regular status reporting to the City of Palm Desert.

7.3 Support Assumptions
 Speridian will provide Standard Support during hours of business operation: Monday through Friday, 8 a.m. PST to 5 p.m. PST.
 The support in this engagement will be delivered by Speridian using a blended onshore/offshore delivery model.
 This Applicational Support and Operational Support will follow a shared resource model. Resource assignments will be made at Speridian’s discretion.  Speridian’s ticketing system will be used to manage work requests under this engagement.
 Speridian and the client will organize and conduct work planning meetings to outline the required Operational and Application Support needed for the month.  Speridian will provide regular status reports which will include a summary of progress made towards Operational or Application Support requests and budget consumption.
 CLARITI, a Software-as-a-Service (SaaS) solution built on Salesforce.com, may experience issues between Priority Levels 1, 2, and some Level 3 issues that are outside Contractor’s and CLARITI’s control, being solely attributable to Salesforce.com. For these issues, Contractor will escalate to Salesforce.com. For Salesforce.com platform issues, Salesforce only offers response times and a resolution plan without definite resolution times. Therefore, Contractor is limited to providing a resolution plan with expected response durations. For more details, refer to Salesforce.com support documentation. For Salesforce.com issues, the Contractor will continue to engage with Salesforce.com until resolution. The Contractor will keep the City informed during the process.
408
Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 11  Any services that require access to Salesforce and/or Clariti hosting environments, servers and folder access to which Speridian doesn’t have access, and product related issues which require support from either the Salesforce or Clariti Product Development team, are NOT covered under this agreement.  Any travel-related costs would be handled on a case-by-case basis and would be billed to the client as actuals for the duration of the required support.

4. Fees
The total amount of this Statement of work is $205,820.

Description Hours List Rate
(Per Hour)
Discounted
Rate
Amount
Business License 1360 130 92 $125,120
Phase 2 Additions 600 130 92 $55,200
Managed Services Support (6
months, issue/bug fix)
300 130 85 $25,500
Total 2260 $205,820
Payment Schedule

Deliverable/Date Date Amount
Signed SOW January 2, 2026 $34,303.33
Discovery (First Month) January 31, 2026 $34,303.33
Sprint 1 (Second Month) February 28, 2026 $34,303.33
Sprint 2 & 3 (Third
Month)
March 31, 2026 $34,303.33
SIT (Fourth Month) April 30, 2026 $34,303.33
Production Deployment
Business License (Fifth
Month)
May 31, 2026 $34,303.33
 The client agrees to pay Speridian the invoice amount within 30 days from receipt of invoices.
 Travel is not included in this contract. Should the client require Speridian to travel, travel by Speridian must be pre-approved in writing by the client for such expenses to be reimbursable under this SOW. Travel expenses will be reimbursed by the client at cost.

Agreement Change
 If the client wishes to add or change the above team composition, a change order will be required.
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Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 12

5. Review Meetings
City of Palm Desert and Speridian Support Managers shall have monthly meetings (“Review Meetings”) which may be attended remotely to monitor, review, and discuss the performance of the Services.

Before each Review Meeting, each representative shall notify the other of any material problems and/or concerns relating to the performance of the Services for discussion at the Review Meeting. At the Review Meeting, the parties shall work in good faith to agree on a plan to address such problems.

In the event of any problem being unresolved or a failure to agree on a place for rectification of the problem, the matter shall be resolved under the terms of the Agreement. Progress in implementing any remediation plans shall be included in the agenda for subsequent Review Meetings.

6. Required Consents
City of Palm Desert is responsible for promptly obtaining and providing to Speridian all Required Consents necessary for Speridian to provide the Services described in the SOW. A Required Consent means any consents or approvals required to give Speridian the right or license to access, use and/or modify the hardware, software, firmware, and other products City of Palm Desert uses.

7. Security and Privacy Guidelines
During the Term of any SoW established under the Maintenance Services Agreement, Speridian shall maintain the security and privacy requirements as set forth in the Agreement or as required by City of Palm Desert, and Speridian shall require all subcontractors performing any services under the terms of the Agreement or this SOW, as a condition to their engagement, to provide their services in full compliance with such requirements. Any changes to the existing physical of logical controls that affect, or impact City of Palm Desert must be approved by City of Palm Desert in advance and requested on a Change Request Form.
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Statement of Work for City of Palm Desert – Phase 2 Additional and Improvements 13

8. Execution
IN WITNESS WHEREOF, the parties have caused this SOW to be duly executed below.

By approving this Engagement Agreement, the client authorizes Speridian to commence the services designated above and agrees to these terms and conditions including the payment terms. Approval of this Agreement shall be made by receipt of this document with an authorized formal signature. Speridian will counter-sign and return a copy for City of Palm Desert’s records.

This quote shall become binding upon execution by You and acceptance by Speridian.

City of Palm Desert: SPERIDIAN TECHNOLOGIES LLC:

Authorized Signature: Authorized Signature:
________________________________ ________________________________ Name: Name: Satish Ganta
Title: Title: Sr. Vice President, Enterprise
Solutions
Signature Date: ________________ Signature Date: ______________ 411
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9.15.25 CITY OF PALM DESERT

PROFESSIONAL SERVICES AGREEMENT

1. Parties and Date. This Agreement is made and entered into on December 10, 2025, 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 Park Consulting Group, Inc., an S Corporation, with its principal place of business at 7533 S Center View Ct., Ste R, West Jordan, UT 84084 ("Consultant"). The City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties."

1.1 City Council Approval.

On December 11, 2025, City Council approved the award of this Agreement to the Consultant above.

2. Recitals.

2.1 Project.

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

Business License Advisory and Implementation Services
(hereinafter referred to as “the Project”).

2.2 Consultant.

Consultant desires to perform and assume responsibility for the provision of certain professional services required by the City on the terms and conditions set forth in this Agreement. Consultant is duly licensed and has the necessary qualifications to provide such services.

3. Terms.

3.1 Scope of Services and Term.

3.1.1 General Scope of Services. Consultant 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 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 January 1, 2026, to March 31, 2026, unless earlier terminated as provided herein. Contractor shall complete the Services within the term of this Agreement and shall meet any other established schedules and deadlines.
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9.15.25 3.2 Responsibilities of Consultant.

3.2.1 Independent Contractor; Control and Payment of Subordinates. The Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods, and details of performing the Services subject to the requirements of this Agreement. City retains Consultant on an independent contractor basis and not as an employee. Any personnel performing the Services shall not be employees of City and shall at all times be under Consultant's exclusive direction and control. Neither City, or any of its officials, officers, directors, employees, or agents shall have control over the conduct of Consultant or any of Consultants officers, employees or agents, except as set forth in this Agreement. Consultant 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. Consultant 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. Consultant 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. Consultant represents that it has the professional and technical personnel required to perform the Services expeditiously. Upon request of City, Consultant 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 Consultant shall be subject to the approval of City.

3.2.4 Substitution of Key Personnel. Consultant has represented to City that certain key personnel will perform and coordinate the Services. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of City. In the event that City and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to terminate this Agreement for cause. The key personnel for performance of this Agreement are as follows: Glenn Park, Principal Consultant; Bryan Tung, Implementation Consultant; Jared Tan, Development Consultant; David Bloomgren, Training Consultant..

3.2.5 City's Representative. The City hereby designates Clayton Von Helf, or his/her designee, to act as its representative in all matters pertaining to the administration and performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on behalf of the City for review and approval of all products submitted by Consultant but not the authority to enlarge the scope of Services or change the total compensation due to Consultant under this Agreement. The City Manager shall be authorized to act on City's behalf and to execute all necessary documents which enlarge the scope of services or change the Consultant's total compensation subject to the provisions contained in Section 3.3 of this Agreement.

Consultant shall not accept direction or orders from any person other than the City Manager, City's Representative or his/her designee.

3.2.6 Consultant's Representative. Consultant hereby designates Glenn 414
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9.15.25 Park, Founder and Principal, or his/her designee, to act as its representative for the performance of this Agreement ("Consultant's Representative"). Consultant's Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Agreement. The Consultant's Representative shall supervise and direct the Services, using his/her 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.

3.2.7 Coordination of Services. Consultant 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.

3.2.8 Standard of Care; Performance of Employees. Consultant 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. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services. Consultant warrants that all employees and subconsultants shall have sufficient skill and experience to perform the Services assigned to them. Consultant represents that it, its employees and subconsultants have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, and that such licenses and approvals shall be maintained throughout the term of this Agreement. Consultant 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 Consultant's failure to comply with the standard of care provided herein. Any employee of the Consultant or its sub-consultants 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 Consultant and shall not be re-employed to perform any of the Services or to work on the Project.

3.2.9 Period of Performance. Consultant shall perform and complete all Services under this Agreement within the term set forth in Section 3.1.2 above (“Performance Time”). Consultant shall also 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 separately agreed upon in writing by the City and Consultant (“Performance Milestones”). Consultant agrees that if the Services are not completed within the aforementioned Performance Time and/or pursuant to any such Performance Milestones developed pursuant to provisions of this Agreement, it is understood, acknowledged and agreed that the City will suffer damage.

Neither City nor Consultant shall be considered in default of this Agreement for delays in performance caused by circumstances beyond the reasonable control of the nonperforming Party. For purposes of this Agreement, such circumstances include a Force Majeure Event. A Force Majeure Event shall mean an event that materially affects a Party’s performance and is one or more of the following: (1) Acts of God or other natural disasters; (2) terrorism or other acts of a public enemy; (3) orders of governmental authorities (including, without limitation, unreasonable and unforeseeable delay in the 415
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9.15.25 issuance of permits or approvals by governmental authorities that are required for the services); (4) strikes and other organized labor action occurring at the site and the effects thereof on the services, only to the extent such strikes and other organized labor action are beyond the control of Consultant and its subcontractors, and to the extent the effects thereof cannot be avoided by use of replacement workers; and (5) pandemics, epidemics or quarantine restrictions. For purposes of this section, “orders of governmental authorities,” includes ordinances, emergency proclamations and orders, rules to protect the public health, welfare and safety, and other actions of a public agency applicable to the services and Agreement.

Should a Force Majeure Event occur, the non-performing Party shall, within a reasonable time of being prevented from performing, give written notice to the other Party describing the circumstances preventing continued performance and the efforts being made to resume performance of this Agreement. Force Majeure Events and/or delays, regardless of the Party responsible for the delay, shall not entitle Consultant to any additional compensation. Notwithstanding the foregoing in this section, the City may still terminate this Agreement in accordance with the termination provisions of this Agreement.

3.2.10 Laws and Regulations; Employee/Labor Certification.

Consultant 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 and shall give all notices required by law. Consultant 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.

3.2.10.1 Employment Eligibility; Consultant. Consultant 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 sub-subconsultants to comply with the same.

Consultant 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 Equal Opportunity Employment. Consultant represents that it is an equal opportunity employer, and it shall not discriminate against any subconsultant, employee or applicant for employment because of race, religion, color, national origin, physical disability, ancestry, sex, age, marital status, gender, gender identity, gender expression, sexual orientation, reproductive health decision making, veteran or military status, or any other consideration made unlawful by federal, state, or local laws. 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. Consultant shall also 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.

3.2.10.3 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the 416
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9.15.25 Consultant 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.

3.2.11 Insurance.

3.2.11.1 Minimum Requirements. Without limiting Consultant’s indemnification of City, and prior to commencement of the Services, Consultant 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. Consultant 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 $1,000,000 per occurrence, $2,000,000 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. Consultant 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 Consultant arising out of or in connection with Work to be performed under this Agreement, 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. The City’s Risk Manger 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) Professional Liability (Errors & Omissions) Insurance.

Consultant shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of $1,000,000 per claim and in the aggregate. Any policy inception date, continuity date, or retroactive date must be before the effective date of this Agreement and Consultant agrees to maintain continuous coverage through a period no less than three years after completion of the Services required by this Agreement.
(D) Workers’ Compensation Insurance. Consultant shall
maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000). Consultant shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the City, its officers, agents, employees, volunteers, and representatives. (E) Umbrella or Excess Liability Insurance. Consultant
may opt to utilize umbrella or excess liability insurance in meeting insurance requirements. In such circumstances, Consultant shall 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 417
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9.15.25 forth above, including commercial general liability and employer’s liability. Such policy or policies shall include the following terms and conditions:
(1) A drop-down feature requiring the policy to respond if any primary insurance that would otherwise have
applied proves to be uncollectible in whole or in part
for any reason;
(2) Pay on behalf of wording as opposed to
reimbursement;
(3) Concurrency of effective dates with primary
policies; and
(4) Policies shall “follow form” to the underlying primary policies.
(5) Insureds under primary policies shall also be
insureds under the umbrella or excess policies.

3.2.11.2 Other Provisions or Requirements.
(A) Proof of Insurance. Consultant 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 Agreement. City reserves the right to require complete, certified copies of all required insurance policies, at any time. (B) Duration of Coverage. Consultant shall procure and
maintain for the duration of the Agreement insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Services hereunder by Consultant, his/her agents, representatives, employees or subconsultants.
(C) Primary/Non-Contributing. Coverage provided by
Consultant 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.
(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 418
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9.15.25 deems necessary, and any premium paid by City will be promptly reimbursed by Consultant, or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may terminate 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, agents, officials, employees, volunteers, and representatives or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against the City, its elected or appointed officers, agents, officials, employees, volunteers and representatives and shall require similar written express waivers and insurance clauses from each of its subconsultants.
(G) Enforcement of Contract Provisions (non estoppel).

Consultant acknowledges and agrees that any actual or alleged failure on the part of the City to inform Consultant 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 Consultant maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Consultant. 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. Consultant 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 and its officers, officials, employees, agents, volunteers and representatives shall be additional insureds with regard to liability and defense of suits or claims arising out of the performance of the Agreement, under such policies. This provision shall also apply to any excess/umbrella liability policies. 419
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9.15.25 (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 Consultant’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 crossliability exclusions. (M) Pass Through Clause. Consultant agrees to ensure
that its subconsultants, subcontractors, and any other party involved with the Project who is brought onto or involved in the Project by Consultant, provide the same minimum insurance coverage and endorsements required of Consultant. Consultant 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. Consultant agrees that upon request, all agreements with subconsultants, subcontractors, and others engaged in the Project will be submitted to City for review. (N) City’s Right to Revise Specifications. The City and the City’s Risk Manager reserve the right at any time during the term of the Agreement to change the amounts and types of insurance required by giving the Consultant ninety (90) days advance written notice of such change. If such change results in additional cost to the Consultant, the City and Consultant may renegotiate Consultant’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 selfinsured 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. Consultant shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Consultant’s performance under this Agreement, and that involve or may involve coverage under any of the required liability policies.
(Q) Additional Insurance. Consultant 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 Services.

3.2.12 Water Quality Management and Compliance. Consultant shall keep itself and all subcontractors, staff, and employees fully informed of and in compliance with all local, state and federal laws, rules and regulations that may impact, or be implicated by the performance of the Services including, without limitation, all applicable provisions of the City’s ordinances regulating water quality and storm water; the Federal Water Pollution Control Act (33 U.S.C. § 1251, et seq.); the California Porter-Cologne Water 420
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9.15.25 Quality Control Act (Water Code § 13000 et seq.); and any and all regulations, policies, or permits issued pursuant to any such authority. Consultant must comply with the lawful requirements of the City, and any other municipality, drainage district, or other local agency with jurisdiction over the location where the Services are to be conducted, regulating water quality and storm water discharges. Failure to comply with laws, regulations, and ordinances listed in this Section is a violation of federal and state law.

Consultant warrants that all employees and subcontractors shall have sufficient skill and experience to perform the work assigned to them without impacting water quality in violation of the laws, regulations, and policies of this Section.

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 compensation shall not exceed Forty-Nine Thousand Five Hundred and 00/100 Dollars ($49,500.00) without written approval of the City Council or City Manager, as applicable.

3.3.2 Payment of Compensation. Consultant shall submit to City monthly invoices which provide a detailed description of the Services and hours rendered by Consultant. City shall, within 30 days of receiving such invoice, review the invoice and pay all non-disputed and approved charges. If the City disputes any of Consultant's fees, the City shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth therein. Consultant 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 Consultant to submit a timely invoice may constitute a waiver of its right to final payment. Payment shall not constitute acceptance of any Services completed by Consultant. The making of final payment shall not constitute a waiver of any claims by the City for any reason whatsoever.

3.3.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by City or included in Exhibit "C" of this Agreement.

3.3.4 Travel Expenses. In accordance with Government Code section 53232.2(c), the Internal Revenue Service rates for reimbursement of travel, meals, lodging, and other actual and necessary expenses as established in Publication 463, or any successor publication, shall be used to determine reimbursement rates for Consultant. Travel in business class, first class or any category on any flight above the coach/economy level will not be reimbursed.

3.3.5 Extra Work. At any time during the term of this Agreement, City may request that Consultant 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. Consultant shall not perform, nor be compensated for, Extra Work without written authorization from the City.
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9.15.25 3.4 Labor Code Requirements.

3.4.1 Prevailing Wages. Consultant 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, Consultant agrees to fully comply with such Prevailing Wage Laws. City shall provide Consultant with a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement. Consultant 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 Consultant's principal place of business and at the project site. It is the intent of the parties to effectuate the requirements of sections 1771, 1774, 1775, 1776, 1777.5, 1813, and 1815 of the Labor Code within this Agreement, and Consultant shall therefore comply with such Labor Code sections to the fullest extent required by law. Consultant shall defend, indemnify, and hold the City, its officials, officers, employees, agents, volunteers and representatives, free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws.

3.4.2 Registration/DIR Compliance. If the Services are being performed on a public works project of over $25,000 when the project is for construction, alteration, demolition, installation, or repair work, or a public works project of over $15,000 when the project is for maintenance work, in addition to the foregoing, then pursuant to Labor Code sections 1725.5 and 1771.1, the Consultant and all subconsultants must be registered with the Department of Industrial Relations (“DIR”). Consultant shall maintain registration for the duration of the Project and require the same of any subconsultants. This Project may also be subject to compliance monitoring and enforcement by the DIR. It shall be Consultant’s sole responsibility to comply with all applicable registration and labor compliance requirements, including the submission of payroll records directly to the DIR.

Any stop orders issued by the DIR against Consultant or any subconsultant that affect Consultant’s performance of Services, including any delay, shall be Consultant’s sole responsibility. Any delay arising out of or resulting from such stop orders shall be considered Consultant caused delay and shall not be compensable by the City.

Consultant shall defend, indemnify, and hold the City, its officials, officers, employees, agents, volunteers and representatives free and harmless from any claim or liability arising out of stop orders issued by the DIR against Consultant or any subconsultant.

3.4.3 Labor Certification. By its signature hereunder, Consultant 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 Worker's 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.

3.5 Accounting Records.

3.5.1 Maintenance and Inspection. Consultant shall maintain complete 422
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9.15.25 and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Consultant 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. Consultant 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.

3.6 General Provisions.

3.6.1 Termination of Agreement.

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

The rights and remedies of the City provided in this section shall not be exclusive and are in addition to any other rights and remedies provided by law, equity or under this Agreement.

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

3.6.1.3 Early Termination. Notwithstanding any
provision herein to the contrary, if for any fiscal year of this Agreement the City Council fails to appropriate or allocate funds for future payment under the Agreement after exercising reasonable efforts to do so, the City may upon seven (7) days’ written notice, order work on the Project to cease. Upon termination, Consultant shall be compensated only for those Services which have been adequately rendered to City, and Consultant shall be entitled to no further compensation.

3.6.1.4 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.

3.6.2 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:
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9.15.25 Consultant: Park Consulting Group
200 Spectrum Center Drive, Suite 300
Irvine, CA 92618
ATTN: Glenn Park, Principal Consultant
City: City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, CA 92260-2578
ATTN: Clayton von Helf, Information Systems
Manager
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.

3.6.3 Ownership of Materials and Confidentiality.

3.6.3.1 Documents & Data; Licensing of Intellectual
Property. This Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement ("Documents & Data"). All Documents & Data shall be and remain the property of City and shall not be used in whole or in substantial part by Consultant on other projects without the City’s express written permission. Within thirty (30) days following the completion, suspension, abandonment or termination of this Agreement, Consultant shall provide to City reproducible copies of all Documents & Data, in a form and amount required by City. City reserves the right to select the method of document reproduction and to establish where the reproduction will be accomplished. The reproduction expense shall be borne by City at the actual cost of duplication. In the event of a dispute regarding the amount of compensation to which the Consultant is entitled under the termination provisions of this Agreement, Consultant shall provide all Documents & Data to City upon payment of the undisputed amount. Consultant shall have no right to retain or fail to provide to City any such documents pending resolution of the dispute. In addition, Consultant shall retain copies of all Documents & Data on file for a minimum of fifteen (15) years following completion of the Project and shall make copies available to City upon the payment of actual reasonable duplication costs. Before destroying the Documents & Data following this retention period, Consultant shall make a reasonable effort to notify City and provide City with the opportunity to obtain the documents.

3.6.3.2 Subconsultants. Consultant shall require all
subconsultants to agree in writing that City is granted a non-exclusive and perpetual license for any Documents & Data the subconsultant prepares under this Agreement. 424
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9.15.25 Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by professionals other than Consultant or its subconsultants, or those provided to Consultant by the City.

3.6.3.3 Right to Use. City shall not be limited in any way in its use or reuse of the Documents and Data or any part of them at any time for purposes of this Project or another project, provided that any such use not within the purposes intended by this Agreement or on a project other than this Project without employing the services of Consultant shall be at City’s sole risk. If City uses or reuses the Documents & Data on any project other than this Project, it shall remove the Consultant’s seal from the Documents & Data and indemnify and hold harmless Consultant and its officers, directors, agents, and employees from claims arising out of the negligent use or re-use of the Documents & Data on such other project. Consultant shall be responsible and liable for its Documents & Data, pursuant to the terms of this Agreement, only with respect to the condition of the Documents & Data at the time they are provided to the City upon completion, suspension, abandonment, or termination. Consultant shall not be responsible or liable for any revisions to the Documents & Data made by any party other than Consultant, a party for whom the Consultant is legally responsible or liable, or anyone approved by the Consultant.

3.6.3.4 Indemnification – Documents and Data.

Consultant shall defend, indemnify and hold the City, its directors, officials, officers, employees, volunteers, agents and representatives free and harmless, pursuant to the indemnification provisions of this Agreement, for any alleged infringement of any patent, copyright, trade secret, trade name, trademark, or any other proprietary right of any person or entity in consequence of the use on the Project by City of the Documents & Data, including any method, process, product, or concept specified or depicted.

3.6.3.5 Confidentiality. All ideas, memoranda,
specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City.

3.6.3.6 Confidential Information. The City shall refrain from releasing Consultant’s proprietary information ("Proprietary Information") unless the City's legal counsel determines that the release of the Proprietary Information is required by the California Public Records Act or other applicable state or federal law, or order of a court of competent jurisdiction, in which case the City shall notify Consultant of its 425
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9.15.25 intention to release Proprietary Information. Consultant shall have five (5) working days after receipt of the release notice to give City written notice of Consultant's objection to the City's release of Proprietary Information. Consultant shall indemnify, defend, and hold harmless the City, and its officers, directors, employees, agents, volunteers and representatives from and against all liability, loss, cost or expense (including attorney’s fees) arising out of a legal action brought to compel the release of Proprietary Information.

City shall not release the Proprietary Information after receipt of an objection notice unless either: (1) Consultant fails to fully indemnify, defend (with City's choice of legal counsel), and hold City harmless from any legal action brought to compel such release; and/or (2) a final and non-appealable order by a court of competent jurisdiction requires that City release such information.

3.6.4 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.

3.6.5 Reserved

3.6.6 Indemnification.

3.6.6.1 To the fullest extent permitted by law,
Consultant shall defend (with counsel of City’s choosing), indemnify and hold the City, its officials, officers, employees, volunteers, agents, and representatives free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subconsultants or agents in connection with the performance of the Consultant’s Services, the Project or this Agreement, including without limitation the payment of all expert witness fees, attorney’s fees and other related costs and expenses except such loss or damage caused by the sole negligence or willful misconduct of the City.

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

3.6.6.2 If Consultant’s obligation to defend, indemnify, and/or hold harmless arises out of Consultant’s performance as a “design professional” (as that term is defined under Civil Code section 2782.8), then, and only to the extent required by Civil Code section 2782.8, which is fully incorporated herein, Consultant’s indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant, and, upon Consultant obtaining a final adjudication by a court of competent jurisdiction, Consultant’s liability for such claim, including the cost to defend, shall not exceed the Consultant’s proportionate percentage of fault.

3.6.7 Entire Agreement. This Agreement contains the entire agreement of the Parties with respect to the subject matter hereof, and supersedes all prior 426
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9.15.25 negotiations, understandings, or agreements.

3.6.8 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in Riverside County.

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

3.6.10 City's Right to Employ Other Consultants. City reserves right to employ other consultants in connection with this Project.

3.6.11 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the Parties.

3.6.12 Assignment; Subcontracting. Consultant shall not assign, sublet, or transfer this Agreement or any rights under or interest in this Agreement without the written consent of the City, which may be withheld for any reason. Any attempt to so assign or so transfer without such consent shall be void and without legal effect and shall constitute grounds for termination. Consultant shall not subcontract any portion of the Services 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.

3.6.13 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 Consultant include all personnel, employees, agents, and subconsultants of Consultant, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents, 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.

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

3.6.15 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.

3.6.16 No Third-Party Beneficiaries. There are no intended third-party beneficiaries of any right or obligation assumed by the Parties.

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9.15.25 invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.

3.6.18 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant 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 Consultant, 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.

3.6.19 Authority to Enter Agreement. Consultant 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.

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

3.6.21 Survival. All rights and obligations hereunder that by their nature are to continue after any expiration or termination of this Agreement, including, but not limited to, the indemnification obligations, shall survive any such expiration or termination. [SIGNATURES ON FOLLOWING PAGE]
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9.15.25 SIGNATURE PAGE TO PROFESSIONAL SERVICES AGREEMENT

BY AND BETWEEN THE CITY OF PALM DESERT
AND PARK CONSULTING GROUP, 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:

Chris Escobedo
City Manager
Attest:

By:

Anthony J. Mejia
City Clerk
Approved as to form:

By:

Isra Shah
City Attorney
Park Consulting Group, Inc., an S

CORPORATION
By:

Glenn Park
President
By:

Glenn Park
Secretary
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Contract No. ___________
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Exhibit "A" Contract No. ______
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432