Agenda packet, regular meeting — Palm Desert City Council, December 11, 2025 (part 6 of 6)

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: December 11, 2025
PREPARED BY: Lorena Ritchey, Management Analyst
SUBJECT: REALLOCATION OF COMMUNITY DEVELOPMENT BLOCK GRANT

FUNDS AND PALM DESERT HOUSING AUTHORITY PROJECT
MODIFICATION FOR FISCAL YEAR 2024-25
RECOMMENDATION:

1. Approve the reallocation of $14,987.64 in unused Fiscal Year (FY) 2024–25 Community Development Block (CDBG) Grant Administration funds, which are U.S. Department of Housing and Urban Development (HUD) allocated funds designated for program oversight, to the Palm Desert Housing Authority (PDHA) for eligible CDBG activities.

2. Approve the reallocation of $217,756.47 in FY 2024-25 CDBG funds from the PDHA Candlewood Apartments project to the PDHA Taos Palms Apartments project.

3. Authorize the City Manager to execute any documents necessary to complete the reallocation.

BACKGROUND/ANALYSIS:

The City of Palm Desert receives an annual entitlement in CDBG Program funds from HUD. The City has historically allocated its CDBG funds to nonprofit organizations that provide services to low and moderate-income households. In FY 2024-25, the City received $365,446 in CDBG funds, which were awarded to different projects by the City Council (Council) on June 27, 2024. Of the awarded amount, federal requirements stipulate that funding for public services cannot exceed 15%, funding for program administration is limited to 20%, and there are no funding restrictions for public facilities and improvements.

In the June 27, 2024, Council meeting, $70,430 was allocated for CDBG Administration funds, which are HUD-designated funds used for program oversight, compliance, reporting, and management. A balance of $14,987.54 in Program Administration funds remains available and eligible for reallocation.

On May 8, 2025, the City Council approved the reallocation of $217,756.47 in unused CDBG funds from Program Years 2019–2024 to Palm Desert Housing Authority’s (PDHA) public infrastructure improvements. The reallocation of the $217,756.47 included $110,000 from 2024 and $107,756.47 from 2019-2023. PDHA public infrastructure improvements are reserved for capital improvements at any of the fifteen (15) PDHA-run properties. On October 15, 2025, during early bid preparation, the City’s Capital Project (CP) and Housing Divisions determined that the Taos Palms Apartments parking lot project had become a high priority due to significant flooding and drainage issues requiring immediate corrective action.

The projected cost for the infrastructure corrections is $260,440. As a result, Staff recommends redirecting all of the PDHA CDBG funds to Taos Palms Apartments to support ready-to-implement 1003
City of Palm Desert
Reallocation of CDBG Funds and PDHA Project Modification for FY2024-25

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public facility improvements that directly benefit low and moderate-income residents. In addition, staff further recommends allocating $14,987.64 from unused overall grant management funds to the Taos Palms Apartments project.

Funding Source Amount Current Allocation Proposed Allocation FY 2024-25 CDBG
Program Administration
(Unused)
$14,987.64 Overall grant
management
PDHA’s Taos Palms
Apartments Parking Lot
FY 2024-25 CDBG
Public Improvement
$217,756.47 PDHA Infrastructure
Projects
PDHA’s Taos Palms
Apartments Parking Lot
FY 24/25 CDBG Total $232,744.11
Rationale for Substantial Amendment
The City’s Citizen Participation Plan outlines when a formal public process is required for changes to CDBG-funded activities. Although this action does not formally meet the definition of a substantial amendment, staff are treating it as one for transparency purposes because the reallocation results in all funds being directed to a single project. The criteria used as guidance include:

1. Change in allocation priorities or a change in the method of distribution of funds.

2. To carry out an activity not previously described within an Action Plan of more than $25,000, except for No. 3 below.

3. Change in purpose, scope, location, or beneficiaries of an activity, unless the organization is already awarded funds and they are requesting reallocation to an alternate project/program at the same location and beneficiaries. Proposed clients to be served must remain the same, and the project type must remain the same (e.g., capital improvement vs. public service).

The 30-day public comment period for this reallocation ran from November 10, 2025, through December 10, 2025. The notice of public hearing was published in The Desert Sun on December 1, 2025, at least ten days prior to the hearing. The draft Second Substantial Amendment was posted on the City’s website for public review throughout the entire comment period.

FINANCIAL IMPACT:

This item reallocates existing CDBG funds within the City’s FY 2024-25 and has been included in the approved FY 2024-25 Annual Budget in CDBG Account No. 2204800-4388000 in the amount of $1,077,361 for all projects. Costs for CDBG projects are eligible for 100% reimbursement from HUD; therefore, this action has no impact on the General Fund.

ATTACHMENTS:

1. Palm Desert Program Year 24 Annual Action Plan Substantial Amendment 2

2. Public Hearing 30-Day CDBG English - Taos Apartments

3. Public hearing 30-Day CDBG Spanish - Taos Apartments

4. Public Hearing 10-Day CDBG English - Taos Apartments

5. Public Hearing 10-Day CDBG Spanish - Taos Apartments

6. CDBG Amendment Presentation
1004
City of Palm Desert
Reallocation of CDBG Funds and PDHA Project Modification for FY2024-25

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1005
1006
Annual Action Plan
2024
1 OMB Control No: 2506-0117 (exp. 09/30/2021)
2nd Substantial Amendment: A 2nd Substantial Amendment has been requested in December, 2025 to reallocate remaining funds in the amount of $14,987.64 from PY24 in Admin savings to the Palm Desert Housing Authority who has also asked to reallocate all allocated Public Facilities Improvements Project funds to an urgent drainage issue in one of the parking areas from their original parking lot project. The total allocation to the PDHA would now be $ 232,744.11, including funds from all program years as follows:
2019 $5,596.38
2020 $8,784.90
2021 $59,723.44
2022 $32,467.73
2023 $1,184.02
2024 $124,987.64
1st Substantial Amendment: A Substantial Amendment has been requested in April, 2025 to fully allocate all unspent CDBG funds by repositioning funds with eligible projects. This includes the change in funding for the previously approved PY2024 Desert Arc Project to being fully funded with PY20 CDBG-CV funds in the amount of $180,000 as part of PY20 SA4. PY24 SA1 also includes the funding of the Palm Desert Housing Authority Public Facilities Improvements Project- Parking Lot Upgrades in the amount of $110,000 in PY24 funds for a total of $217,756.47 through the utilization of prior year funds as follows:
2019 $5,596.38
2020 $8,784.90
2021 $59,723.44
2022 $32,467.73
2023 $1,184.02
2024 $110,000.00
Executive Summary
AP-05 Executive Summary - 24 CFR 91.200(c), 91.220(b)

1. Introduction
As a requirement of the U.S. Department of Housing and Urban Development, this document represents the Program Year 2024 Annual Action Plan. The City of Palm Desert (City) has been allocated funds from the Community Development Block Grant (CDBG) .

2. Summarize the objectives and outcomes identified in the Plan 1007
Annual Action Plan
2024
2 OMB Control No: 2506-0117 (exp. 09/30/2021)
This could be a restatement of items or a table listed elsewhere in the plan or a reference to another location. It may also contain any essential items from the housing and homeless needs assessment, the housing market analysis or the strategic plan.

The Annual Action Plan is intended to fund high-priority community needs identified during the annual Citizen Participation Plan process while concurrently aligning with the goals of the previously approved Program Year 2024-2028 Consolidated Plan.

3. Evaluation of past performance
This is an evaluation of past performance that helped lead the grantee to choose its goals or projects.

A performance evaluation is annually assessed through HUD’s review of the Consolidated Annual Performance and Evaluation Report (CAPER). This document states the objectives and outcomes identified in each Annual Action Plan and includes an evaluation of past performance through measurable goals and objectives relative to actual performance. Prior documents can be found at the Palm Desert City Hall.

4. Summary of Citizen Participation Process and consultation process Summary from citizen participation section of plan.

The City held a public comment period from May 31, 2024 - July 1, 2024. On June 27, 2024, the City Council held a public hearing to provide residents an additional opportunity to review and comment on programming of CDBG funds.

As part of SA2, the City utilized it’s Citizen Participation Plan and held a 30-day Public Comment Period and notified the Public 15 days prior to the Public Hearing for consideration of approval of the SA1.

As part of SA1, the City utilized it’s Citizen Participation Plan and held a 30-day Public Comment Period and notified the Public 10 days prior to the Public Hearing for consideration of approval of the SA1.

5. Summary of public comments
This could be a brief narrative summary or reference an attached document from the Citizen Participation section of the Con Plan.

No public comments received.
1008
Annual Action Plan
2024
3 OMB Control No: 2506-0117 (exp. 09/30/2021)

6. Summary of comments or views not accepted and the reasons for not accepting them No public comments received.

7. Summary
1009
Annual Action Plan
2024
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PR-05 Lead & Responsible Agencies – 91.200(b)

1. Agency/entity responsible for preparing/administering the Consolidated Plan Describe the agency/entity responsible for preparing the Consolidated Plan and those responsible for administration of each grant program and funding source.

Agency Role Name Department/Agency
Lead Agency PALM DESERT
CDBG Administrator City Manager's Office / City of Palm Desert HOPWA Administrator
HOME Administrator
HOPWA-C Administrator
Table 1 – Responsible Agencies
Narrative (optional)
Consolidated Plan Public Contact Information
Joe Barron
Senior Contracts and Grants Analyst City of Palm Desert 73510 Fred Waring Drive, Palm Desert, CA 92260 [email protected] | 760.776.6491 | www.palmdesert.gov 1010
Annual Action Plan
2024
5 OMB Control No: 2506-0117 (exp. 09/30/2021)
SA2
Lorena Ritchey
Management Analyst, City of Palm Desert
73510 Fred Waring Drive, Palm Desert, CA 92260
[email protected] | 760.776.6477 | www.palmdesert.gov 1011
Annual Action Plan
2024
6 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-10 Consultation – 91.100, 91.200(b), 91.215(l)

1. Introduction
The City followed its HUD-approved Citizen Participation Plan to consult with the public, nonprofit organizations, governmental agencies, and other stakeholders to prepare the Annual Action Plan as required by 24 CRF 91.100.

Provide a concise summary of the jurisdiction’s activities to enhance coordination between public and assisted housing providers and private and governmental health, mental health and service agencies (91.215(l))
The City conducted outreach and issued public notices regarding the application process for PY24 subrecipient awards.

The City's Outside Agency Funding Committee recommended CDBG budget recommendations, which are incorporated into the Annual Action Plan. The City held a 30-day public comment period from May 31 - June 27, 2024.

On June 27, 2024, the City Council held a public hearing to provide residents an additional opportunity review and comment regarding CDBG funding recommendations. The City Council approved the submission of the Annual Action Plan.

Describe coordination with the Continuum of Care and efforts to address the needs of homeless persons (particularly chronically homeless individuals and families, families with children, veterans, and unaccompanied youth) and persons at risk of homelessness.

The City is actively involved in multiple activities to address the needs of homeless persons, which include coordination with the Continuum of Care. For example, the City is involved in regional coordination efforts between stakeholders throughout the Coachella Valley and Riverside County.

The City has historically funded homelessness services coordinated regionally through the Coachella Valley Association of Governments (CVAG). Since 2017 CVAG has allocated its regional financial commitments for other homelessness services. Last year the City made a financial commitment in the amount of $100,000 to CVAG to continue to implement homelessness services. A summary of accomplishments can be found at City Hall.

The City operates a homelessness assistance program as well. The program that has a primary focus on homelessness locally. The program contracts with the Riverside University Health System to provide a 1012
Annual Action Plan
2024
7 OMB Control No: 2506-0117 (exp. 09/30/2021)
Behavioral Health Specialists in Palm Desert to focus on providing homelessness services. Please note the County of Riverside coordinates the Continuum of Care as well.

Describe consultation with the Continuum(s) of Care that serves the jurisdiction's area in determining how to allocate ESG funds, develop performance standards for and evaluate outcomes of projects and activities assisted by ESG funds, and develop funding, policies and procedures for the operation and administration of HMIS The City does not receive Emergency Solutions Grant (ESG) funds.

2. Describe Agencies, groups, organizations and others who participated in the process and describe the jurisdiction’s consultations with housing, social service agencies and other entities
1013
Annual Action Plan
2024
8 OMB Control No: 2506-0117 (exp. 09/30/2021)
Table 2 – Agencies, groups, organizations who participated 1 Agency/Group/Organization Fair Housing Council of Riverside County, Inc., Agency/Group/Organization Type Service-Fair Housing
What section of the Plan was addressed by Consultation? Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination?
The subrecipient applied for CDBG funds to provide
public services (fair housing).
2 Agency/Group/Organization Cove Communities Senior Association dba The Joslyn Center
Agency/Group/Organization Type Services-Elderly Persons What section of the Plan was addressed by Consultation? Non-Homeless Special Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination?
The subrecipient applied for CDBG funds to provide
public services (elderly persons).
3 Agency/Group/Organization Desert Recreation District
Agency/Group/Organization Type Services-Children
What section of the Plan was addressed by Consultation? Non-Homeless Special Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination?
The subrecipient applied for CDBG funds to provide
public services (youth persons).
4 Agency/Group/Organization OPERATION SAFE HOUSE, INC.

Agency/Group/Organization Type Services-Children
Services-homeless
1014
Annual Action Plan
2024
9 OMB Control No: 2506-0117 (exp. 09/30/2021)
What section of the Plan was addressed by Consultation? Homelessness Needs - Unaccompanied youth Homelessness Strategy
Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination?
The subrecipient applied for CDBG funds to provide
public services (youth homeless persons).
5 Agency/Group/Organization Neighborhood Partnership Housing Services Agency/Group/Organization Type Housing
What section of the Plan was addressed by Consultation? Anti-poverty Strategy Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination?
The subrecipient applied for CDBG funds to provide
housing rehab.
6 Agency/Group/Organization DESERT ARC
Agency/Group/Organization Type Services-Persons with Disabilities What section of the Plan was addressed by Consultation? Non-Homeless Special Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination?
The subrecipient applied for CDBG funds to construct
public facilities and improvements (serving people with disabilities).
7 Agency/Group/Organization RANCH RECOVERY CENTER
Agency/Group/Organization Type Services-Persons with Disabilities Services-Health
What section of the Plan was addressed by Consultation? Non-Homeless Special Needs Anti-poverty Strategy
1015
Annual Action Plan
2024
10 OMB Control No: 2506-0117 (exp. 09/30/2021)
Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination?
The subrecipient applied for CDBG funds to construct
public facilities and improvements (serving people with addictions).
8 Agency/Group/Organization WeeCare
Agency/Group/Organization Type Services-Children
What section of the Plan was addressed by Consultation? Non-Homeless Special Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination?
The subrecipient applied for CDBG funds to provide
public services (youth persons).

Identify any Agency Types not consulted and provide rationale for not consulting The City attempts to keep a comprehensive list of stakeholders potentially eligible to receive CDBG funds for activities consistent with the Consolidated Plan goals. As some stakeholders undergo staffing changes, on occasion City staff is unaware of such changes throughout the program year. As a result, some stakeholders may not realize the City is attempting to consult with their organizations during the Annual Action Plan process. To mitigate this concern, City staff updates its contact list annually to ensure proper channels of communication with stakeholders Other local/regional/state/federal planning efforts considered when preparing the Plan Name of Plan Lead Organization How do the goals of your Strategic Plan overlap with the goals of each plan?
Continuum of Care Housing Services Authority
Both address issues pertaining to homelessness and special needs housing.
1016
Annual Action Plan
2024
11 OMB Control No: 2506-0117 (exp. 09/30/2021)
Name of Plan Lead Organization How do the goals of your Strategic Plan overlap with the goals of each plan?
Housing Element City of Palm Desert Both include the goal of fostering affordable housing.

Table 3 – Other local / regional / federal planning efforts Narrative (optional)
The City encouraged cooperation and coordination through the Citizen's Participation Plan process. The City followed the process as outlined in the Executive Summary Citizen's Participation Plan Section. In addition, the City is a member of the Coachella Valley Association of Governments (CVAG) Homeless Committee that consists of Mayors or Councilmember's of each of the nine (9) Coachella Valley communities as well as the County of Riverside, and a representative from Supervisor V. Manuel Perez's office, and Ex-officials who are represent atives from organizations that serve homeless and similar client base. In addition, three of the Ex -officials are also representatives of the CoC's Eastern Region Committee that reports to the CoC BOG. Through this committee and the CoC, the City is able to work with other local government agencies and service providers to address issues on a local and regional (Coachella Valley) basis and obtain input and insight into community needs that are included within the Consolidated Plan.
1017
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 12 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-12 Participation – 91.105, 91.200(c)

1. Summary of citizen participation process/Efforts made to broaden citizen participation Summarize citizen participation process and how it impacted goal-setting The City conducted outreach and issued public notices regarding the application process for subrecipient awards.

Citizen Participation Outreach
Sort Order Mode of Outreach Target of Outreach Summary of response/attendance
Summary of
comments received
Summary of comments
not accepted
and reasons
URL (If
applicable)
1 Newspaper Ad
Minorities
Non-English
Speaking - Specify
other language:

Spanish
No response received
No comments
received
NA
Table 4 – Citizen Participation Outreach
1018
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 13 OMB Control No: 2506-0117 (exp. 09/30/2021)
Expected Resources
AP-15 Expected Resources – 91.220(c)(1,2)
Introduction
Anticipated Resources
Program Source of
Funds
Uses of Funds Expected Amount Available Year 1 Expected Amount
Available
Remainder
of ConPlan
$
Narrative
Annual Description
Allocation:
$
Program
Income: $
Prior Year
Resources:
$
Total:
$
CDBG public -
federal
Acquisition
Admin and Planning
Economic Development
Housing
Public Improvements
Public Services 365,446 0 0 365,446 0

1019
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 14 OMB Control No: 2506-0117 (exp. 09/30/2021)
Program Source of
Funds
Uses of Funds Expected Amount Available Year 1 Expected Amount
Available
Remainder
of ConPlan
$
Narrative
Annual Description
Allocation:
$
Program
Income: $
Prior Year
Resources:
$
Total:
$
HOME public -
federal
Acquisition
Homebuyer assistance
Homeowner rehab
Multifamily rental new
construction
Multifamily rental rehab
New construction for
ownership
TBRA 0 0 0 0 0

Table 1 - Expected Resources – Priority Table
Explain how federal funds will leverage those additional resources (private, state and local funds), including a description of how matching requirements will be satisfied
The above sources of funding have been identified as available funds to be leveraged with, where and when possible, nonprofit organizations and other entities awarded CDBG funds to provide assistance to meet the goals and objectives as outlined within the City's Five-Year Consolidated Plan and One-Year Annual Action Plan. Funded organizations will also utilize awarded funds to leverage, where and when possible, dollars available through the organization as well as other grant awards and/or donations to undertake programs/projects that may not otherwise be possible. Organizations have more flexibility to utilize funding more efficiently and effectively to provide needed support services to clients.
1020
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 15 OMB Control No: 2506-0117 (exp. 09/30/2021)
If appropriate, describe publicly owned land or property located within the jurisdiction that may be used to address the needs identified in the plan NA in Palm Desert
Discussion
The City will continue to allocate CDBG funding and other sources of funding when and where available to meet the needs of qualifying individuals as designated by HUD. Programs and projects will be targeted that address goals and objectives identified within the Annual Action Plan and Consolidated Plan. In addition, the funds will be targeted so as to provide the maximize benefit to those in need. 1021
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 16 OMB Control No: 2506-0117 (exp. 09/30/2021)
Annual Goals and Objectives
AP-20 Annual Goals and Objectives
Goals Summary Information
Sort
Order
Goal Name Start
Year
End
Year
Category Geographic
Area
Needs Addressed Funding Goal Outcome Indicator
1 Support Public and
Community Facilities
Improvement
202
3 202
8 Non-Housing
Community
Development
Citywide Affordable Senior
Housing (Increase)
Increase Senior
Services and
Programming
Senior
Transportation
(Enhance Options)
Increase Affordable
Housing
Reduce vacancies
in the City
Rental Assistance
CDBG:
$240,200
Public Facility or Infrastructure
Activities other than
Low/Moderate Income Housing
Benefit: 1000 Persons Assisted
2 Support Fair Housing
Initiatives
202
3 202
8 Citywide Affordable Senior
Housing (Increase)
Increase Affordable
Housing
Reduce vacancies
in the City
CDBG:
$31,816
Public service activities other
than Low/Moderate Income
Housing Benefit: 500 Persons
Assisted
1022
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 17 OMB Control No: 2506-0117 (exp. 09/30/2021)
Sort
Order
Goal Name Start
Year
End
Year
Category Geographic
Area
Needs Addressed Funding Goal Outcome Indicator
3 Fund Vital
Community and
Homeless Services
202
3 202
8 Homeless Citywide Increase Affordable
Housing
CDBG:
$23,000
Public service activities other
than Low/Moderate Income
Housing Benefit: 250 Persons
Assisted
Table 2 – Goals Summary
Goal Descriptions
1 Goal Name Support Public and Community Facilities
Improvement
Goal
Description
2 Goal Name Support Fair Housing Initiatives
Goal
Description
3 Goal Name Fund Vital Community and Homeless Services
Goal
Description
1023
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 18 OMB Control No: 2506-0117 (exp. 09/30/2021)
Projects
AP-35 Projects – 91.220(d)
Introduction
The Annual Action Plan identifies funding the following activities:

Public Services 15%
Public Facilities and Improvements 65%
Program Administration 20%
Projects
# Project Name
1 Public Services
2 Administration
3 Public Facilities and Improvements- The Joslyn Center 4 Public Facilities and Improvements- Desert Arc*
5 Public Facilities & Improvements- The Ranch Recovery Centers, Inc
6 Public Facilities & Improvements- Palm Desert Housing Authority Table 3 - Project Information
Describe the reasons for allocation priorities and any obstacles to addressing underserved needs
The City identifies its highest priority needs during its citizen participation process every year and the Consolidated Plan process every five years. Activities are funded annually taking into consideration these highest priority needs. The primary obstacle to address underserved needs in the community is the lack of resources to provide a greater level of assistance. *Project 4 moved to PY20-CV funds as part of PY24 AAP SA1 1024
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 19 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-38 Project Summary
Project Summary Information
1025
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 20 OMB Control No: 2506-0117 (exp. 09/30/2021)
1 Project Name Public Services
Target Area Citywide
Goals Supported Support Fair Housing Initiatives
Fund Vital Community and Homeless Services
Needs Addressed Increase Affordable Housing
Reduce vacancies in the City
Rental Assistance
Funding CDBG: $54,816
Description Youth Service Programs and Fair Housing Programs designed to meet the needs of local residents.

Target Date 9/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
100 youth will receive services and 500 households will receive fair housing support
Location Description Fair Housing Council of Riverside County: 3933 Mission Inn Avenue, Ste. 100, Riverside, CA 92501
Operation SafeHouse: 9685 Hayes Street, Riverside, CA 92503 Planned Activities Fair Housing Council of Riverside County: Mandated fair housing services
Operation SafeHouse: Case management services for homeless youth at a transitional living facility
Desert Recreation District: Scholarships for families and individuals in the community who may otherwise be unable to participate in recreational activities
2 Project Name Administration
Target Area Citywide
Goals Supported Support Public and Community Facilities Improvement Support Fair Housing Initiatives
Fund Vital Community and Homeless Services
1026
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 21 OMB Control No: 2506-0117 (exp. 09/30/2021)
Needs Addressed Affordable Senior Housing (Increase)
Increase Senior Services and Programming
Senior Transportation (Enhance Options)
Increase Affordable Housing
Reduce vacancies in the City
Rental Assistance
Funding CDBG: $70,430 $55,442.36 SA2 as calculated at end of year Description CDBG Administration. Eligible Activity (Matrix Code): 21A. CDBG National Objective: Planning and Administration: CDBG Citation:
570.206(a)
Target Date 9/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
Admin supports those entities supporting families.

Location Description
Program Administration: 73510 Fred Waring Drive, Palm Desert, CA 92260
Planned Activities Reporting, oversight, monitoring of subrecipients. 3 Project Name Public Facilities and Improvements- The Joslyn Center Target Area Citywide
Goals Supported Support Public and Community Facilities Improvement Needs Addressed Senior Transportation (Enhance Options) Funding CDBG: $75,000
Description ADA Restroom improvements- Continuation in 2024 with additional funding.

Target Date 9/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
500 seniors will benefit from facility improvements.

Location Description The Joslyn Center: 73-750 Catalina Way, Palm Desert, CA 92260 1027
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 22 OMB Control No: 2506-0117 (exp. 09/30/2021)
Planned Activities This multi-phase project will entail a full remodel of each of the five restrooms on The Joslyn Center campus in order to make them fully compliant with ADA requirements and become fully handicap accessible as set forth in the report and survey of Disability Access Consultants conducted on May 21, 2018. This project will benefit all 2000+ members as well as other members of the public and guests that utilize The Joslyn Center. It is estimated that at least 500 individuals consisting of members, public and guests will directly benefit from the ADA upgrades. This request represents the second phase of this project which is the remodel of men's and women's restrooms in building two which consists of meeting rooms and the Arthur Newman Theater.

Because of rising
construction costs, it would be possible to break the remodel of the building’s two restrooms into separate projects consisting of the individual men's and women's restrooms. This option was available in the restroom remodel recently completed in building one. This choice is available by requesting responsive bidders to submit bids for both restrooms and for just one restroom. This would delay the ultimate completion of the project, but allow some flexibility because of rising construction costs. Remodeling the restrooms to ADA compliance is a priority for The Joslyn Center because many of our members experience physical disability which requires a fully accessible restroom.
4 Project Name Public Facilities and Improvements- Desert Arc Target Area Citywide
Goals Supported Support Public and Community Facilities Improvement Needs Addressed Reduce vacancies in the City
Funding CDBG: $110,000
Description HVAC Upgrades
Target Date 9/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
500 LMI households will benefit from infrastructure improvements Location Description Desert ARC: 73-255 Country Club Dr, Palm Desert, CA 92260 1028
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 23 OMB Control No: 2506-0117 (exp. 09/30/2021)
Planned Activities Desert Arc's HVAC (Heating, Ventilation, and Air Conditioning) Replacement Project will encompass the removal and replacement of nine (9) obsolete, rooftop HVAC units on Building 3 of its Palm Desert campus (73275 Country Club Drive). The total amount needed for the HVAC Replacement Project is $509,587.00 with roughly half of the total amount being allocated toward equipment costs at $271,187.00. The current HVAC units are 17 years-old, with an average lifespan of 15 years, and use an R-22 refrigerant coolant which will no longer be available/produced due to new EPA (Environmental Protection Agency) regulations. The old units will be replaced with new 410-A refrigerant rooftop HVAC units which can be retrofitted into the existing system's footprint. The replacement of these units is urgent for two reasons.

Firstly, the 410-A HVAC units will not be available after December 31, 2024 and the 2025 units will require additional construction and fortification to the roof of Building 3 in order to compensate for the additional weight of the 2025 units. Retrofitting the 410- A HVAC units will save crucial time and funds. Secondly, California Department of Social Services Title 22 (Division 6, Chapter 3, Section 82088) mandates that Desert Arc maintain a comfortable temperature for
clients at all times with a maximum indoor temperature of 85 degrees F or 30 degrees F less than outside temperatures in areas of extreme heat. Due to the excessive summer temperatures in Palm Desert, which can reach up to 120 degrees F, it is imperative for Desert Arc to maintain a climate controlled facility to ensure the health and wellbeing of its clients (people with intellectual and developmental disabilities) and staff while also staying in line with state regulations. 5 Project Name Public Facilities & Improvements- The Ranch Recovery Centers, Inc Target Area Citywide
Goals Supported Support Public and Community Facilities Improvement Needs Addressed Reduce vacancies in the City
Funding CDBG: $55,200
Description HVAC units, appliances, dorm room improvements Target Date 9/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
10 ELI Individuals with Chronic Substance Abuse Disorder 1029
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 24 OMB Control No: 2506-0117 (exp. 09/30/2021)
Location Description
Planned Activities Funds are allocated to complete several capital improvement projects at 2 facilities. Time and continuous use take a physical toll on our facilities and, while we take care to maintain and repair everything we can, there comes a point where replacement is necessary. The items requested will help improve the treatment environment for the patients in our
care, improving their safety and well-being. Additionally, a well-kept facility is beneficial for mental and emotional health. Many of our contracts only allow us to utilize contract dollars for direct treatment costs and many of our capital improvement purchases and upgrades are funded through charitable contributions. Projects include: HVAC units, appliances, dorm room improvements
6 Project Name Public Facilities- PD Housing Authority
Target Area Citywide
Goals Supported Enhance public facilities
Needs Addressed Low-to-Moderate Income Housing
Public Facilities
Funding CDBG: $217,756.47 SA2 $232,744.11
Description Public Facilities Improvements- Parking Lot Upgrades at Public Housing Facility
Target Date 5/1/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
250 Public Housing Authority residents
Location Description
Planned Activities Parking Lot Improvements
1030
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 25 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-50 Geographic Distribution – 91.220(f)
Description of the geographic areas of the entitlement (including areas of low-income and minority concentration) where assistance will be directed The City of Palm Desert is located in Riverside County; particularly, the Coachella Valley. Historically, the City has not had any low- and moderate-income census tracts; however, the City now has two eligible census tracts as of recently (ACS data). CDBG funds will be used for low- and moderate-income clientele (or presumed benefit).

Geographic Distribution
Target
Area
Percentage of
Funds
Citywide 100
Table 4 - Geographic Distribution
Rationale for the priorities for allocating investments geographically The City has not historically funded CDBG activities based upon geographic areas since there have not been eligible low and moderate-income census tracts; however, HUD recently revised the census criteria used to determine eligibility. As a result, the City now has two CDBG-eligible census tracts. City staff is currently exploring the possibility of a Section 108 Loan for City Council’s consideration in subsequent program years.

Discussion
1031
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 26 OMB Control No: 2506-0117 (exp. 09/30/2021)
Affordable Housing
AP-55 Affordable Housing – 91.220(g)
Introduction
One Year Goals for the Number of Households to be Supported Homeless 0
Non-Homeless 0
Special-Needs 0
Total 0
Table 6 - One Year Goals for Affordable Housing by Support Requirement One Year Goals for the Number of Households Supported Through Rental Assistance 0
The Production of New Units 0
Rehab of Existing Units 0
Acquisition of Existing Units 0
Total 0
Table 7 - One Year Goals for Affordable Housing by Support Type Discussion
1032
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 27 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-60 Public Housing – 91.220(h)
Introduction
The City will not undertake activities that address public housing in the program year.

Actions planned during the next year to address the needs to public housing Not Applicable. The City does not own nor operate public housing.

Actions to encourage public housing residents to become more involved in management and participate in homeownership
Not Applicable. The City does not own nor operate public housing If the PHA is designated as troubled, describe the manner in which financial assistance will be provided or other assistance
Not Applicable. The City does not own nor operate public housing Discussion
Not Applicable. The City does not own nor operate public housing 1033
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 28 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-65 Homeless and Other Special Needs Activities – 91.220(i) Introduction
The City will continue to work with nonprofit organizations, government agencies, and other stakeholders to fund activities that help prevent and reduce homelessness.

Describe the jurisdictions one-year goals and actions for reducing and ending homelessness including
Reaching out to homeless persons (especially unsheltered persons) and assessing their individual needs
The County of Riverside CoC has established chronically homeless persons as the highest need priority based on the goals HUD has established in its Opening Doors Federal and Strategic Plan to Prevent and End Homelessness. The CoC has implemented a Coordinated Entry System (CES) to ensure appropriate intervention is utilized to serve those who are homeless and providing for a prioritization of vulnerability and linkage to community resources and housing based on the vulnerability prioritization. Within the CoC, there are several outreach teams from County, cities, and nonprofit homeless providers that cover specific populations or geographic regions in the County. There is also specific outreach teams serving the mentally ill, veterans, youth and chronic homeless. The Behavioral Health Systems Department has outreach peer specialists that perform initial field assessments, in depth assessments, referrals to all contacts, linkage to various community organizations.

Addressing the emergency shelter and transitional housing needs of homeless persons The Housing First approach adopted by the County and CoC requires that homeless are helped into permanent housing or rapid re-housing as soon as possible. Transitional housing beds have begun to decrease countywide and permanent housing is increasing because of reallocations made in the HUD CoC Program Consolidated Application and the CoC’s success in obtaining new funding for permanent supportive housing. Both transitional housing and emergency shelters focus on lessening the time that a homeless person or family’s length of time homeless (LOTH) in the shelter by effective and quick assessment of homeless clients and getting them stabilized into permanent housing with intensive case management initially and support in the initial phase of residency in permanent housing. This period will serve as a time to address the other needs to maintain self-sufficiency either by accessing mainstream benefits, employment or medical or mental health support.

The CoC collaborates with the City and other stakeholders to integrate CoC programs, Emergency Solutions Grant (ESG), Social Services to Veteran Families (SSVF), and CDBG funding to increase the number of persons with rapid re-housing assistance. Also, other non-McKinney-Vento funding sources, such as Emergency Food and Shelter Program (EFSP), funded under Federal Emergency Management Agency (FEMA) will be matched as a source for rental / mortgage assistance for families that are 1034
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 29 OMB Control No: 2506-0117 (exp. 09/30/2021)
homeless or at-risk of homelessness in the County’s strategy to meet this goal.

Helping homeless persons (especially chronically homeless individuals and families, families with children, veterans and their families, and unaccompanied youth) make the transition to permanent housing and independent living, including shortening the period of time that individuals and families experience homelessness, facilitating access for homeless individuals and families to affordable housing units, and preventing individuals and families who were recently homeless from becoming homeless again
The CoC implemented a Coordinated Entry System (CES) to assess homeless persons using the VI-SPDAT that tracks the length of time a client has been on the streets or in an emergency shelter. DPSS uses HUD’s CoC Program planning grant funding to measure system-wide performance in HMIS, such as length of time homeless. This is used to help the CoC prioritize and house those with longest length of time homeless. The planning process also included working with the CoC Standards and Evaluation Committee to continue developing strategies to prioritize persons with longest time homeless and most severe needs, including:

The CoC has also adopted a Housing First approach that is evidenced-based and endorsed by HUD to place a homeless person in permanent housing and provide supportive services intended to keep them stably housed.

Homeless CoC youth providers have implemented outreach and service-based events in the communities to draw homeless youth, unaccompanied and transitional age into contact with services available to them. The Operation SafeHouse is the only CoC youth provider that has opened a permanent supportive housing program called the Harrison House, which is for transitional age youth, in the eastern desert region of Riverside County.

Helping low-income individuals and families avoid becoming homeless, especially extremely low-income individuals and families and those who are: being discharged from publicly funded institutions and systems of care (such as health care facilities, mental health facilities, foster care and other youth facilities, and corrections programs and institutions); or, receiving assistance from public or private agencies that address housing, health, social services, employment, education, or youth needs.

The CoC Discharge Policy is mandated by the State and followed by the CoC. The CoC established a Discharge Planning Committee, responsible for implementing policies and protocols and coordinating with various organizations, to ensure that persons being discharged from a publicly funded institution or system of care are not discharged immediately into homelessness. The goals are to identify discharge housing needs inclusive of housing and supportive services and to link the individual with community resources that will include mental health services, substance abuse support, and housing. The Hospital Association of Southern California Inland Area serves as the lead agency on the Discharge Planning 1035
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 30 OMB Control No: 2506-0117 (exp. 09/30/2021)
Committee to facilitate communication regarding the discharge planning needs of homeless persons from acute care hospitals. The Riverside County University Health System – Behavioral Health, collaborates with DPSS and the CoC in the coordination and implementation of discharge planning for homeless individuals disabled by a serious mental health and/or substance abuse disorder(s). Foster Care and extended foster care programs help transition dependent youth who are emancipating from foster care to independent living. The Department of Public Social Services, Riverside Sheriff’s, and Probation Department support the Continuum of Care’s mission of working towards reintegrating persons leaving correctional facilities to community-based living and self-sufficiency.

Discussion
1036
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 31 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-75 Barriers to affordable housing – 91.220(j)
Introduction:

The City does not plan to undertake any activities this program year using CDBG funds to remove barriers to affordable housing.

Actions it planned to remove or ameliorate the negative effects of public policies that serve as barriers to affordable housing such as land use controls, tax policies affecting land, zoning ordinances, building codes, fees and charges, growth limitations, and policies affecting the return on residential investment
The City does not plan to undertake any activities this program year using CDBG funds to remove barriers to affordable housing.

Discussion:
1037
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 32 OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-85 Other Actions – 91.220(k)
Introduction:

The City will continue to work with various stakeholders to meet the needs of its residents that remain in-need of CDBG-eligible activities consistent with Consolidated Plan goals.

Actions planned to address obstacles to meeting underserved needs The City will continue to work toward the reduction/elimination of obstacles to meet underserved needs through the funding of various organizations that are established to provide direct services to those in need. The City is not equipped to provide direct services; therefore, funding organizations that do is essential to our success in addressing the identified goals and objectives. The City will continue to partner with service providers to address obstacles and address barriers that exist. In addition, the City works with the County of Riverside, the CoC, local agencies, nonprofits, etc. to address various aspects related to CoC programs and activities, as well as obstacles that face the underserved in general.

However, the CoC addresses issues relative to homelessness, mental and physical illnesses, domestic violence, etc. and has a wide range of members where collaboration in other areas is an option. Through these working relationships, obstacles such as lack of communication between agencies, improved services, limited resources, tracking and monitoring, and other needed resources are obtained, gaps in services are better identified, and there is a more cohesive approach to identifying and resolving issues.

Actions planned to foster and maintain affordable housing The City and the Palm Desert Housing Authority will continue to maintain the existing affordable housing stock through the funding sources identified previously; however, as noted with the elimination of redevelopment agencies, there is no longer what is considered “20% Set Aside Funds”. Therefore, maintaining existing properties and programs will be the primary focus, provided funding is available, for some time to come. However, new projects and programs will be planned and implemented where and when possible.

Actions planned to reduce lead-based paint hazards
The City’s Building & Safety and Housing departments distribute informational pamphlets on Lead Based Paint Hazards and refer all calls to the County of Riverside Environmental Health Department. The City addresses this issue on a case-by-case basis through multiple steps.

Actions planned to reduce the number of poverty-level families The City is continuing to team up with service providers to provide assistance for poverty level families, including funding food and services options during the Program Year. In addition, the City will seek out additional partnerships for programs that encourage self-sufficiency including employment and training, 1038
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 33 OMB Control No: 2506-0117 (exp. 09/30/2021)
housing options, and safety net programs.

Actions planned to develop institutional structure
The City will continue to work with outside agencies to maintain and develop relationships, including with nonprofit organizations, private businesses, the CoC, and nonprofit organizations in the region.

Actions planned to enhance coordination between public and private housing and social service agencies
The City will continue to work with various County departments, agencies, and nonprofit organizations to identify and carry out goals and objectives of the CDBG Program, and to create a more cooperative working relationship with all interested parties. The City invites these groups to attend public hearings, community meetings, and special meetings that address specific programs and projects. The City has an approved Citizen’s Participation Plan that it follows in this regard. In addition, City staff regularly attends CoC meetings that involve multiple organizations and various County Departments as well as other local jurisdictions wherein discussions are held on homelessness as well as supportive services to other at-risk groups of individuals and families.

Discussion:
1039
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 34 OMB Control No: 2506-0117 (exp. 09/30/2021)
Program Specific Requirements
AP-90 Program Specific Requirements – 91.220(l)(1,2,4)
Introduction:

Community Development Block Grant Program (CDBG)
Reference 24 CFR 91.220(l)(1)
Projects planned with all CDBG funds expected to be available during the year are identified in the Projects Table. The following identifies program income that is available for use that is included in projects to be carried out.

1. The total amount of program income that will have been received before the start of the next program year and that has not yet been reprogrammed 0

2. The amount of proceeds from section 108 loan guarantees that will be used during the year to address the priority needs and specific objectives identified in the grantee's strategic plan. 0

3. The amount of surplus funds from urban renewal settlements 0

4. The amount of any grant funds returned to the line of credit for which the planned use has not been included in a prior statement or plan 0

5. The amount of income from float-funded activities 0
Total Program Income: 0
Other CDBG Requirements

1. The amount of urgent need activities 0

2. The estimated percentage of CDBG funds that will be used for activities that benefit persons of low and moderate income.Overall Benefit - A consecutive period of one, two or three years may be used to determine that a minimum overall benefit of 70% of CDBG funds is used to benefit persons of low and moderate income. Specify the years covered that include this Annual Action Plan. 0.00% 1040
City of Palm Desert PY 24 CDBG Annual Action Plan- Approved 35 OMB Control No: 2506-0117 (exp. 09/30/2021)
HOME Investment Partnership Program (HOME)
Reference 24 CFR 91.220(l)(2)

1. A description of other forms of investment being used beyond those identified in Section 92.205 is as follows:

2. A description of the guidelines that will be used for resale or recapture of HOME funds when used for homebuyer activities as required in 92.254, is as follows:

3. A description of the guidelines for resale or recapture that ensures the affordability of units acquired with HOME funds? See 24 CFR 92.254(a)(4) are as follows:

4. Plans for using HOME funds to refinance existing debt secured by multifamily housing that is rehabilitated with HOME funds along with a description of the refinancing guidelines required that will be used under 24 CFR 92.206(b), are as follows:

5. If applicable to a planned HOME TBRA activity, a description of the preference for persons with special needs or disabilities. (See 24 CFR 92.209(c)(2)(i) and CFR 91.220(l)(2)(vii)).

6. If applicable to a planned HOME TBRA activity, a description of how the preference for a specific category of individuals with disabilities (e.g. persons with HIV/AIDS or chronic mental illness) will narrow the gap in benefits and the preference is needed to narrow the gap in benefits and services received by such persons. (See 24 CFR 92.209(c)(2)(ii) and 91.220(l)(2)(vii)).

7. If applicable, a description of any preference or limitation for rental housing projects. (See 24 CFR

92.253(d)(3) and CFR 91.220(l)(2)(vii)). Note: Preferences cannot be administered in a manner that limits the opportunities of persons on any basis prohibited by the laws listed under 24 CFR 5.105(a).

NA
1041
1042

CITY OF PALM DESERT

NOTICE OF PUBLIC COMMENT PERIOD AND PUBLIC HEARING
FOR THE SUBSTANTIAL AMENDMENT TO PROGRAM 2024

CDBG ANNUAL ACTION PLAN
In compliance with the U.S. Department of Housing and Urban Development (HUD) Citizen Participation Requirements (24 CFR Part 91), the City of Palm Desert invites public review and comment on the Draft Substantial Amendment to the Program Year 2024 Community Development Block Grant (CDBG) Annual Action Plan. The Annual Action Plan identifies the City’s housing and community development needs and outlines how CDBG funds will be allocated to address these needs, while the Citizen Participation Plan establishes procedures for public involvement in HUD-related planning and funding decisions.

The proposed amendments include:
 Program Year 2024: Reallocate $217,756.47 and the associated project from the Palm Desert Housing Authority – Candlewood Apartments Parking Lot Improvement Project to the Taos Apartments Drainage Improvement Project to address flooding and emergency drainage needs, an eligible Public Facility Improvement.
 Program Year 2024: Allocate $14,987.64 in PY 2024 funds to the Palm Desert Housing Authority Public Facilities Improvements Project – Taos Apartments Drainage Improvement, utilizing unexpended FY 2024–2025 administrative funds to fully fund the project.

These amendments ensure alignment with the City’s Consolidated Plan and program priorities, including targeted infrastructure improvements and support for critical community resources.

To encourage broad participation, particularly from low- and moderate-income residents, minority communities, persons with disabilities, and non-English-speaking individuals, the public is invited to review and provide comments on the Draft Substantial Amendment from November 10 through December 10, 2025. Copies of the draft amendment will be available on the City’s website at [https://www.palmdesert.gov/departments/specialprograms/community-development-block-grant-cdbg]. Written comments may be submitted by December 11, 2025, to the City Clerk’s Office, 73-510 Fred Waring Drive, Palm Desert, CA 92260 (Attention: City Clerk), by fax to (760) 340-0574, or by email to [email protected].

A public hearing regarding the Draft Substantial Amendment will be held during the Palm Desert City Council meeting on December 11, 2025, at 4:00 PM at the Palm Desert Civic Center, 73-510 Fred Waring Drive, Palm Desert, CA 92260. The meeting will be livestreamed at https://www.palmdesert.gov/connect/city-council, and a telephone 1043
number for public participation will be included on the posted meeting agenda prior to the hearing date and available on the City’s website.

The City encourages participation from low- and moderate-income residents, minorities, persons with disabilities, and persons with limited English proficiency. The City will provide reasonable accommodations and auxiliary aids, including alternative formats such as large print, Braille, or translated materials, upon request at least one week in advance. To request accommodations, please contact the ADA Coordinator at (760) 776-6450 (TDD for hearing/speech impairments) or [email protected].

Following the public comment period and hearing, all comments received will be reviewed and incorporated as appropriate before the final submission to HUD.

All comments received will be considered prior to final submission of the amendment to HUD.

Si necesita ayuda con esta notificación, llame al (760) 346-0611 para hablar con Damian Olivares.

Anthony J. Mejia, MMC
City Clerk, City of Palm Desert
Published: November 10, 2025
1044

CIUDAD DE PALM DESERT
AVISO DE PERIODO DE COMENTARIOS PÚBLICOS Y AUDIENCIA PÚBLICA PARA LA ENMIENDA SUSTANCIAL AL PLAN DE ACCIÓN ANUAL DEL AÑO DEL PROGRAMA 2024 DEL CDBG
En cumplimiento con los Requisitos de Participación Ciudadana del Departamento de Vivienda y Desarrollo Urbano de los Estados Unidos (HUD, por sus siglas en inglés) conforme al 24 CFR Parte 91, la Ciudad de Palm Desert invita al público a revisar y comentar sobre el Borrador de la Enmienda Sustancial al Plan de Acción Anual del Año del Programa 2024 del Programa de Subsidios en Bloque para el Desarrollo Comunitario (CDBG, por sus siglas en inglés).

El Plan de Acción Anual identifica las necesidades de vivienda y desarrollo comunitario de la Ciudad y establece cómo se asignarán los fondos del CDBG para abordar dichas necesidades, mientras que el Plan de Participación Ciudadana establece los procedimientos para la participación del público en las decisiones de planificación y financiamiento relacionadas con el HUD.

Las enmiendas propuestas incluyen:
 Año del Programa 2024: Reasignar $217,756.47 y el proyecto asociado de la Autoridad de Vivienda de Palm Desert – Proyecto de Mejoramiento del Estacionamiento de los Apartamentos Candlewood al Proyecto de Mejoramiento del Drenaje en los Apartamentos Taos, con el fin de abordar necesidades de inundación y drenaje de emergencia, una Mejora de Instalación Pública elegible.  Año del Programa 2024: Asignar $14,987.64 en fondos del PY 2024 al Proyecto de Mejoras en Instalaciones Públicas de la Autoridad de Vivienda de Palm Desert – Mejoramiento del Drenaje en los Apartamentos Taos, utilizando fondos administrativos no utilizados del ejercicio fiscal 2024–2025 para financiar completamente el proyecto.

Estas enmiendas aseguran la alineación con el Plan Consolidado y las prioridades del programa de la Ciudad, incluyendo mejoras dirigidas a la infraestructura y apoyo a recursos comunitarios esenciales.

Con el fin de fomentar una amplia participación, particularmente de residentes de ingresos bajos y moderados, comunidades minoritarias, personas con discapacidades y personas con dominio limitado del inglés, el público está invitado a revisar y presentar comentarios sobre el Borrador de la Enmienda Sustancial del 10 de noviembre al 10 de diciembre de 2025. Copias del borrador estarán disponibles en el sitio web de la Ciudad en: https://www.palmdesert.gov/departments/special-programs/communitydevelopment-block-grant-cdbg Los comentarios por escrito pueden enviarse hasta el 11 de diciembre de 2025, por correo postal a la Oficina del Secretario Municipal, 73-510 Fred Waring Drive, Palm 1045
Desert, CA 92260 (Atención: City Clerk), por fax al (760) 340-0574, o por correo electrónico a [email protected].

Una audiencia pública sobre el Borrador de la Enmienda Sustancial se llevará a cabo durante la reunión del Concejo Municipal de Palm Desert el 11 de diciembre de 2025 a las 4:00 p.m., en el Centro Cívico de Palm Desert, 73-510 Fred Waring Drive, Palm Desert, CA 92260. La reunión será transmitida en vivo en https://www.palmdesert.gov/connect/city-council, y el número telefónico para la participación pública se incluirá en la agenda publicada antes de la fecha de la audiencia y estará disponible en el sitio web de la Ciudad.

La Ciudad alienta la participación de residentes de ingresos bajos y moderados, minorías, personas con discapacidades y personas con dominio limitado del inglés. La Ciudad proporcionará adaptaciones razonables y ayudas auxiliares, incluyendo formatos alternativos como letra grande, Braille o materiales traducidos, si se solicitan con al menos una semana de anticipación.

Para solicitar adaptaciones, comuníquese con el Coordinador de la ADA al (760) 776- 6450 (TDD para personas con discapacidad auditiva o del habla) o por correo electrónico a [email protected].

Después del periodo de comentarios públicos y la audiencia, todos los comentarios recibidos serán revisados e incorporados según corresponda antes de la presentación final al HUD.

Si necesita ayuda con esta notificación, llame al (760) 346-0611 para hablar con Damian Olivares.

Anthony J. Mejia, MMC
Secretario Municipal, Ciudad de Palm Desert
Publicado: 10 de noviembre de 2025
1046

CITY OF PALM DESERT

NOTICE OF PUBLIC COMMENT PERIOD AND PUBLIC HEARING
FOR THE SUBSTANTIAL AMENDMENT TO PROGRAM YEAR 2024

These amendments ensure alignment with the City’s Consolidated Plan and program priorities, including targeted infrastructure improvements and support for critical community resources.

To encourage broad participation, particularly from low- and moderate-income residents, minority communities, persons with disabilities, and non-English-speaking individuals, the public is invited to review and provide comments on the Draft Substantial Amendment from December 1 through December 10, 2025. Copies of the draft amendment will be available on the City’s website at [https://www.palmdesert.gov/departments/specialprograms/community-development-block-grant-cdbg]. Written comments may be submitted by December 11, 2025, to the City Clerk’s Office, 73-510 Fred Waring Drive, Palm Desert, CA 92260 (Attention: City Clerk), by fax to (760) 340-0574, or by email to [email protected].

A public hearing regarding the Draft Substantial Amendment will be held during the Palm Desert City Council meeting on December 11, 2025, at 4:00 PM at the Palm Desert Civic Center, 73-510 Fred Waring Drive, Palm Desert, CA 92260. The meeting will be livestreamed at https://www.palmdesert.gov/connect/city-council, and a telephone 1047
number for public participation will be included on the posted meeting agenda prior to the hearing date and available on the City’s website.

Following the public comment period and hearing, all comments received will be reviewed and incorporated as appropriate before the final submission to HUD.

All comments received will be considered prior to final submission of the amendment to HUD.

Si necesita ayuda con esta notificación, llame al (760) 346-0611 para hablar con Damian Olivares.

Anthony J. Mejia, MMC
City Clerk, City of Palm Desert
Published: December 1, 2025
1048

Con el fin de fomentar una amplia participación, particularmente de residentes de ingresos bajos y moderados, comunidades minoritarias, personas con discapacidades y personas con dominio limitado del inglés, el público está invitado a revisar y presentar comentarios sobre el Borrador de la Enmienda Sustancial del 1 al 10 de diciembre de 2025. Copias del borrador estarán disponibles en el sitio web de la Ciudad en:
https://www.palmdesert.gov/departments/special-programs/community-developmentblock-grant-cdbg Los comentarios por escrito pueden enviarse hasta el 11 de diciembre de 2025, por correo postal a la Oficina del Secretario Municipal, 73-510 Fred Waring Drive, Palm 1049
Desert, CA 92260 (Atención: City Clerk), por fax al (760) 340-0574, o por correo electrónico a [email protected].

Para solicitar adaptaciones, comuníquese con el Coordinador de la ADA al (760) 776- 6450 (TDD para personas con discapacidad auditiva o del habla) o por correo electrónico a [email protected].

Después del periodo de comentarios públicos y la audiencia, todos los comentarios recibidos serán revisados e incorporados según corresponda antes de la presentación final al HUD.

Si necesita ayuda con esta notificación, llame al (760) 346-0611 para hablar con Damian Olivares.

Anthony J. Mejia, MMC
Secretario Municipal, Ciudad de Palm Desert
Publicado: 1 de diciembre de 2025
1050
Community Development Block
Grant Substantial Amendments
Program Year 2024-2025
Lorena Ritchey, Management Analyst
1051
CDBG
Reallocation
Plan (PY
2024–2025)
Unspent Funds:
• FY 2024 Grant Administrator Savings: $14,987.64
• FY 2024 PDHA Candlewood Apartments Allocation: $217,756.47 Reallocation Funds:
• Reallocate: $14,987.64 to PDHA Taos Palms Apartment
• Reallocate $217,756.47 to PDHA Taos Palms Apartment
Infrastructure
• Total Reallocated Funds: $232,744.11
1052
Outcome if
approved
With Council’s approval, staff will allocate all funds to the PDHA Taos Palms Apartments project, where immediate infrastructure corrections are required—maximizing community impact and ensuring the effective use of federal funds.
1053
Questions
1054

Page 1 of 3 ends

CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: December 11, 2025
PREPARED BY: Bobby Keatinge, Associate Planner
SUBJECT: INTRODUCE AN ORDINANCE TO AMEND TITLE 25 OF THE PALM

DESERT MUNICIPAL CODE PERTAINING TO TWO-UNIT PROJECTS
AND TITLE 26 PERTAINING TO URBAN LOT SPLITS AND FINDING THE

PROJECT IS EXEMPT FROM FURTHER ENVIRONMENTAL REVIEW
(CASE NO. ZOA25-0002)
RECOMMENDATION:

Introduce an Ordinance entitled “AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, AMENDING CHAPTER 25.34 (SPECIAL USE PROVISIONS) AND CHAPTER 26.30 (URBAN LOT SPLITS) OF THE CITY OF PALM DESERT MUNICIPAL

CODE RELATING TO URBAN LOT SPLITS AND TWO-UNIT PROJECTS AND DETERMINING THE ORDINANCE TO BE EXEMPT FROM CEQA”
BACKGROUND/ANALYSIS:

On September 16, 2021, Governor Newsom signed Senate Bill (SB) 9 into law, effective January 1, 2022, as part of the State’s efforts to address housing affordability and supply.

SB 9 established two key provisions:
 Two-Unit Projects (Government Code § 65852.21), requiring ministerial approval of up to two primary dwelling units within a single-family residential zone when applications comply with statutory requirements.
 Urban Lot Splits (Government Code § 66411.7), requiring local agencies to ministerially approve a parcel map to subdivide one single-family lot into two legal parcels when statemandated criteria are met.

On December 16, 2021, the City Council of Palm Desert adopted Urgency Ordinance No. 1373, amending Chapter 25.34 (Special Use Provisions) and adding Chapter 26.30 (Urban Lot Splits) to the Palm Desert Municipal Code (PDMC). This urgency ordinance was re-adopted on January 13, 2022.

On September 19, 2024, Governor Newsom signed SB 450 into law to strengthen and clarify the provisions of SB 9. Key provisions of SB 450 include:
 60-Day Timelines: Requires cities/counties to approve or deny complete SB 9 two-unit project and urban lot split applications within 60 days, or they are deemed approved (Gov.

Code §§ 65852.21(h), 66411.7(b)).
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Case No. ZOA25-0002 – Ordinance to Amend PDMC Titles 25 and 26

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 Objective Standards Only: Confirms that jurisdictions may apply only objective zoning, subdivision, and design standards that apply in single-family zones. (Gov. Code §§ 65852.21(b), 66411.7(c)).
 State Enforcement: Expands the California Department of Housing & Community Development’s (HCD) enforcement authority to review local SB 9 ordinances and actions for compliance, and to pursue remedies (Gov. Code § 65585).  Clean-Up/Clarification: Makes other technical and conforming changes to the statutes put in place by SB 9.

Project Description:

To comply with SB 9, as clarified by SB 450, staff proposes an ordinance that amends PDMC §

25.34.180 (Two-Unit Projects) and § 26.30.010 (Urban Lot Splits).  A Two-Unit Project refers to a proposed housing development containing no more than two residential units on a single lot in a single-family residential zone. This may include two new units on a single vacant lot or the addition of one new unit to one existing unit on a single occupied lot. The two units may consist of any combination of single-family units, duplex units, and/or Accessory Dwelling Units (ADUs), but are limited to two units total per lot. ADUs are regulated separately under State ADU law and remain subject to applicable objective height, setback, and development standards.  An Urban Lot Split refers to a proposed parcel map that subdivides an existing parcel to create no more than two new parcels of approximately equal lot area in a single-family residential zone. An Urban Lot Split must not require the demolition or alteration to housing that has been occupied by a tenant in the last three years and it is not permitted with a designated historic landmark or district, among other provisions. Urban Lot Splits are subject to the objective standards of the underlying zoning district, except where State law establishes specific minimums, such as a 1,200-square-foot minimum lot size, a maximum four-foot side and rear setback, and an exemption from parking requirements when located within one-half mile of transit or within one block of a car-share vehicle.

Both Two-Unit Projects and Urban Lots Splits must meet the objective standards and requirements established by the California Government Code and the Palm Desert Municipal Code.

The proposed ordinance includes amendments to the Palm Desert Municipal Code that align the City’s regulations with updated statutory requirements, including 60-day review deadlines, reliance on objective standards, and integration of state enforcement provisions. Under the proposed ordinance, the City would be required to review and approve or deny an application for a Two-Unit Project or an Urban Lot Split within 60 days from the date a complete application is received. If an application is denied, the City must provide written comments to the applicant, including a list of items that are defective or deficient, along with a description of how the application can be remedied. Objective development standards would refer to the objective standards of the underlying zone since SB 450 prohibits the City from establishing objective standards that apply exclusively to Two-Unit Projects and Urban Lot Splits. 1056
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Case No. ZOA25-0002 – Ordinance to Amend PDMC Titles 25 and 26

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Adoption of the ordinance will align City regulations with SB 9 and SB 450. Staff therefore recommends that the City Council adopt the Ordinance (Attachment 1). Additional PDMC sections may require future updates to maintain consistency.

Planning Commission Recommendation:

At its regular meeting on October 21, 2025, the Planning Commission adopted Resolution 2902, recommending that the City Council approve the proposed Zoning Ordinance Amendment.

Public Notice:

Public notice was provided for the December 11, 2025, regular meeting of the City Council consistent with PDMC § 25.60.060. A public hearing notice was published in The Desert Sun on November 26, 2025, at least 10 days prior to the hearing date.

Environmental Review:

Under California Government Code sections 65852.21(k) and 66411.7(n), the adoption of an ordinance by a city or county implementing the provisions of Government Code sections 66411.7 and 65852.21 regulating urban lot splits and two-unit projects is statutorily exempt from the requirements of the California Environmental Quality Act ("CEQA"). Therefore, the proposed ordinance is statutorily exempt from CEQA because it implements laws enacted by SB 9 and SB 450.

Findings of Approval:

Findings can be made in support of the project under the City’s Municipal Code. Findings in support of this project are contained in the Ordinance attached to this staff report.

Legal Review:

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

FINANCIAL IMPACT:

There is no financial impact to the General Fund with this action.

ATTACHMENTS:

1. Zoning Ordinance Amendment

2. Zoning Ordinance Amendment – Tracked Changes
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ORDINANCE NO. ____

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM
DESERT, CALIFORNIA, AMENDING CHAPTER 25.34 (SPECIAL USE PROVISIONS) AND CHAPTER 26.30 (URBAN LOT SPLITS) OF THE

CITY OF PALM DESERT MUNICIPAL CODE RELATING TO URBAN LOT

SPLITS AND TWO-UNIT PROJECTS AND DETERMINING THE

ORDINANCE TO BE EXEMPT FROM CEQA
WHEREAS, the City of Palm Desert, California (" City") is a municipal corporation, duly organized under the constitution and laws of the State of California; and WHEREAS, the Planning and Zoning Law authorizes cities to establish by ordinance the regulations for land use and development; and WHEREAS, in 2021, the California Legislature approved, and Governor Gavin Newsom signed into law Senate Bill 9 ("SB 9"), which among other things, adds Government Code section 65852.21 and 66411.7 to impose new limits on local authority to regulate urban lot splits and two-unit projects; and WHEREAS, in 2024, the California Legislature approved, and the Governor signed into law, Senate Bill 450 (“SB 450”), which further amends state law established under SB 9;
WHEREAS, SB 450 maintains the goals of SB 9 with key provisions to ensure homeowners can fully utilize the streamlined housing options put in place by SB 9; and WHEREAS, the City desires to amend its local Ordinance to provide opportunities for streamlining the construction of urban lot splits and two-unit projects; and WHEREAS, on October 21, 2025, the Planning Commission held a duly-noticed public hearing considered the staff report, recommendations by staff, and public testimony concerning this proposed Ordinance. Following the public hearing, the Planning Commission adopted Planning Commission Resolution No. 2902 to forward the Ordinance to the City Council with a recommendation in favor of its adoption; and WHEREAS, on December 11, 2025, the City Council held a duly-noticed public hearing to consider the Ordinance, including: (1) the public testimony and agenda reports prepared in connection with the Ordinance, (2) the policy considerations discussed therein, and (3) the consideration and recommendation by the City’s Planning Commission; and
WHEREAS, all legal prerequisites to the adoption of the Ordinance have occurred.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, DOES ORDAIN AS FOLLOWS:
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2 SECTION 1. Incorporation. The recitals above are each incorporated by reference and adopted as findings by the City Council.

SECTION 2. CEQA. The City Council finds that, under California Government Code sections 65852.21(k), and 66411.7(n), the adoption of an ordinance by a city or county implementing the provisions of Government Code sections 66411.7 and 65852.21 regulating urban lot splits and two-unit projects is statutorily exempt from the requirements of the California Environmental Quality Act ("CEQA"). Therefore, the proposed ordinance is statutorily exempt from CEQA in that the proposed ordinance implements laws enacted by SB 9 and SB 450.

SECTION 3. Code Amendment. The City Council approves and adopts the PDMC amendments to Titles 25 and 26 as shown in “Exhibit A”, which is attached hereto and incorporated herewith.

SECTION 4. Effective Date. This Ordinance takes effect 30 days after its adoption.

SECTION 5. Publication. The City Clerk is directed to certify to the adoption of this Ordinance and post or publish this Ordinance as required by law.

SECTION 6. Custodian of Records. The custodian of records for this Ordinance is the City Clerk and the records comprising the administrative record are located at 73-510 Fred Waring Drive, Palm Desert, CA.

SECTION 7. Severability. If any provision of this Ordinance or its application to any person or circumstance is held to be invalid by a court of competent jurisdiction, such invalidity has no effect on the other provisions or applications of the Ordinance that can be given effect without the invalid provision or application, and to this extent, the provisions of this Ordinance are severable. The City Council declares that it would have adopted this Ordinance irrespective of the invalidity of any portion thereof.

ADOPTED ON December 11, 2025.

JAN C. HARNIK
MAYOR
ATTEST:

ANTHONY J. MEJIA

CITY CLERK
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3 I, Anthony J. Mejia, City Clerk of the City of Palm Desert, California, do hereby certify that Ordinance No. ____ is a full, true, and correct copy, and was introduced at a regular meeting of the Palm Desert City Council on _________, 2025, and adopted at a regular meeting of the City Council held on __________, 2025, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

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

ANTHONY J. MEJIA

CITY CLERK
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4 “EXHIBIT A”

ZONING ORDINANCE AMENDMENT
SECTION 1. Amendment to Palm Desert Municipal Code. Palm Desert Municipal Code Section 25.34.180 is hereby amended as follows:

25.34.180 Two-unit projects.

A. Purpose. The purpose of this section is to allow and appropriately regulate twounit projects in accordance with Government Code Section 65852.21.

Notwithstanding any other provision of this section or this code, the City shall follow requirements of state law for reviewing and approving or denying applications for two-unit projects.

B. Definition. A "two-unit project" means the development of 2 primary dwelling units or if there is already a primary dwelling unit on the lot, the development of a second primary dwelling unit on a legally subdivided lot in accordance with the requirements of this section and Government Code Section 65852.21.

C. Application.

1. An application for a two-unit project must be submitted on the City's approved form.

2. The applicant must obtain a certificate of compliance with the Subdivision Map Act for the lot and provide the certificate with the application.

3. Only a complete application will be considered. The City will inform the applicant in writing of any incompleteness within 30 days after the application is submitted.

4. The City will review and approve or deny an application within 60 days from the date a complete application is received. If an application is denied, the City will provide written comments to the applicant with a list of items that are defective or deficient, with a description of how the application may be remedied.

5. The City may establish a fee to recover its costs for adopting, implementing, and enforcing this section of the code, in accordance with applicable law.

The City Council may establish and change the fee by resolution. The fee must be paid with the application.

D. Approval.
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5 1. An application for a two-unit project is approved or denied ministerially, by the Director of Development Services, without discretionary review.

2. The ministerial approval of a two-unit project does not take effect until the City has confirmed that the required documents have been recorded, such as the deed restriction and easements.

3. The approval must require the owner and applicant to hold the City harmless from all claims and damages related to the approval and its subject matter.

4. The approval must require the owner and applicant to reimburse the City for all costs of enforcement, including attorneys' fees and costs associated with enforcing the requirements of this code.

5. The City will review and approve or deny an application within 60 days from the date a complete application is received. If an application is denied, the City will provide written comments to the applicant with a list of items that are defective or deficient, with a description of how the application may be remedied. If the City has not approved or denied a complete application within 60 days, the application is deemed approved.

E. Requirements. A two-unit project must satisfy each of the following requirements:

1. Map Act Compliance. The lot must have been legally subdivided.

2. Zone. The lot is in a single-family residential zone. For purposes of this section, a single-family residential zone is a zone where the only residential use that is allowed as a primary use is a single residential dwelling on a lot.

3. Lot Location.
a. The lot is not located on a site that is any of the following:
i. Prime farmland, farmland of statewide importance, or land that is zoned or designated for agricultural protection or preservation by the voters.
ii. A wetland.
iii. Within a very high fire hazard severity zone, unless the site complies with all fire-hazard mitigation measures required by existing building standards.
iv. A hazardous waste site that has not been cleared for residential use.
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6 v. Within a delineated earthquake fault zone, unless all development on the site complies with applicable seismic protection building code standards.
vi. Within a 100-year flood hazard area, unless the site has either:
(A) Been subject to a letter of map revision prepared by the Federal Emergency Management Agency and issued
to the local jurisdiction, or
(B) Meets Federal Emergency Management Agency
requirements necessary to meet minimum flood plain
management criteria of the National Flood Insurance
Program.
vii. Within a regulatory floodway unless all development on the site has received a no-rise certification.
viii. Land identified for conservation in an adopted natural community conservation plan, habitat conservation plan, or other adopted natural resource protection plan.
ix. Habitat for protected species.
x. Land under conservation easement.

The purpose of this subsection (E)(3) is merely to summarize the requirements of Government Code Sections 65913.4(a)(6)(B)–(K). b. Not Historic. The lot must not be a historic property or within a historic district that is included on the State Historic Resources Inventory.

Nor may the lot be or be within a site that is designated by ordinance as a city or county landmark or as a historic property or district.

4. No Impact on Protected Housing. The two-unit project must not require or include the demolition or alteration of any of the following types of housing:
a. Housing that is income-restricted for households of moderate, low, or very low income.
b. Housing that is subject to any form of rent or price control through a public entity's valid exercise of its policy power.
c. Housing, or a lot that used to have housing, that has been withdrawn from rental or lease under the Ellis Act (Government Code Sections 1064
7 7060–7060.7) at any time in the 15 years prior to submission of the urban lot split application.
d. Housing that has been occupied by a tenant in the last 3 years. i. The applicant and the owner of a property for which a two-unit project is sought must provide a sworn statement as to this fact with the application for the parcel map. The City may conduct its own inquiries and investigation to ascertain the veracity of the sworn statement, including, but not limited to, surveying owners of nearby properties; and the City may require additional evidence of the applicant and owner as necessary to determine compliance with this requirement.

5. Unit Standards. Except as otherwise provided in this section or state law (including, but not limited to, Government Code section 65852.21), development on the resulting lots must comply with the objective standards of the underlying zone.
a. Quantity.
i. No more than 2 dwelling units of any kind may be built on a lot that results from an urban lot split. For purposes of this paragraph, "unit" means any dwelling unit, including, but not limited to, a primary dwelling unit, a unit created under this section of this code, an ADU, or a JADU.
ii. A lot that is not created by an urban lot split may have a twounit project under this section, plus any ADU or JADU that must be allowed under state law and the City's ADU
ordinance.
b. Height Restrictions. Except as otherwise provided in this section or state law (including, but not limited to, Government Code section 65852.21), development on the resulting lots must comply with the objective standards of the underlying zone.
c. Lot Coverage. The lot coverage of the subject property's zoning district or specific plan designation shall apply to the existing and newly created parcel, the application of this lot coverage standard is only enforced to the extent that it does not prevent two primary dwelling units on the lot at 800 square feet each.
d. Setbacks.
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8 i. Generally. All setbacks must conform to those objective setbacks that are imposed through the underlying zone.
ii. Exceptions. Notwithstanding subsection 25.34.180(E)(6)(f)(i) above:
(A) Existing Structures. No setback is required for an
existing legally established structure or for a new
structure that is constructed in the same location and
to the same dimensions as an existing legally
established structure.
(B) 800 Square Feet; Four-Foot Side and Rear. The
setbacks imposed by the underlying zone must yield to
the degree necessary to avoid physically precluding
the construction of up to two units on the lot or either of the two units from being at least 800 square feet in floor area, but in no event may any structure be less than
four feet from a side or rear property line.
iii. Front Setback Area (Street Facing). Notwithstanding any other part of this code, dwellings that are constructed after an urban lot split must have the front setback street as required by the underlying zone.
e. Parking. Each new primary dwelling unit must have at least one offstreet parking space per unit unless 1 of the following applies:
(A) The parcel is located within one-half mile walking
distance of either a high-quality transit corridor, as
defined in subdivision (b) of Section 21155 of the
Public Resources Code, or a major transit stop, as
defined in Section 21064.3 of the Public Resources
Code.
(B) There is a car share vehicle located within one block of the parcel.
f. Architecture. Except as otherwise provided in this section or state law (including, but not limited to, Government Code section 65852.21), development on the resulting lots must comply with the objective standards of the underlying zone.
g. Utilities.
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9 i. Each primary dwelling unit on the lot must have its own direct utility connection to the utility service provider.
ii. Each primary dwelling unit on the lot that is or that is proposed to be connected to an on-site wastewater treatment system must first have a percolation test completed within the last 5 years or, if the percolation test has been recertified, within the last 10 years.

Building and Safety. All structures built on the lot must comply with all current local building standards. A project under this section is a change of use and subjects the whole of the lot, and all structures, to the City's current code.

6. Regulation of Uses.
a. Residential-only. No non-residential use is permitted on the lot. b. No STRs. No dwelling unit on the lot may be rented for a period of less than 30 days.

7. Deed Restriction. The owner must record a deed restriction, acceptable to the City, that does each of the following:
a. Expressly prohibits any rental of any dwelling on the property for a period of less than 30 days.
b. Expressly prohibits any non-residential use of the lot. c. States that the property is formed by an urban lot split and is therefore subject to the City's urban lot split regulations, including all applicable limits on dwelling size and development.

F. Specific Adverse Impacts.

1. Notwithstanding anything else in this section, the City may deny an application for a two-unit project if the building official makes a written finding, based on a preponderance of the evidence, that the project would have a "specific, adverse impact" on either public health and safety or on the physical environment and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact.

2. "Specific adverse impact" has the same meaning as in Government Code Section 65589.5(d)(2): "a significant, quantifiable, direct, and unavoidable impact, based on objective, identified written public health or safety standards, policies, or conditions as they existed on the date the application 1067
10 was deemed complete" and does not include: (a) inconsistency with the zoning ordinance or general plan land use designation; or (b) the eligibility to claim a welfare exemption under Revenue and Taxation Code Section 214(g).

3. The building official may consult with and be assisted by planning staff and others as necessary in making a finding of specific, adverse impact.

G. Remedies. If a two-unit project violates any part of this code or any other legal requirement:

1. The buyer, grantee, or lessee of any part of the property has an action for damages or to void the deed, sale, or contract.

2. The City may:
a. Bring an action to enjoin any attempt to sell, lease, or finance the property.
b. Bring an action for other legal, equitable, or summary remedy, such as declaratory and injunctive relief.
c. Pursue criminal prosecution, punishable by imprisonment in County Jail or state prison for up to 1 year, by a fine of up to $10,000.00, or both, or a misdemeanor.
d. Record a notice of violation.
e. Withhold any or all future permits and approvals.
f. Pursue all other administrative, legal, or equitable remedies that are allowed by law or the City's code.

SECTION 2. Amendment to Palm Desert Municipal Code. Palm Desert Municipal Code Section 26.30.010 is hereby amended as follows:

26.30.010. Urban lot splits.

A. Purpose. The purpose of this section is to allow and appropriately regulate urban lot splits in accordance with Government Code Section 66411.7. Notwithstanding any other provision of this section or this code, the City shall follow requirements of state law for reviewing and approving or denying an application for an urban lot split.
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11 B. Definition. An “urban lot split” means the subdivision of an existing, legally subdivided lot into two lots in accordance with the requirements of Government Code Section 66411.7 and this section.

C. Application.

1. An application for an urban lot split must be submitted on the city’s approved form. Only a complete application will be considered. The city will inform the applicant in writing of any incompleteness within thirty days after the application is submitted.

2. The city may establish a fee to recover its costs for adopting, implementing, and enforcing this section of the code, in accordance with applicable law.

The city council may establish and change the fee by resolution. The fee must be paid with the application.

D. Approval.

1. An application for a parcel map for an urban lot split is approved or denied ministerially, by the director of development services, without discretionary review.

2. A tentative parcel map for an urban lot split is approved ministerially if it complies with all the requirements of this section. The tentative parcel map may not be recorded. A final parcel map is approved ministerially as well, but not until the owner demonstrates that the required documents have been recorded, such as the deed restriction and easements. The tentative parcel map expires three months after approval.

3. The approval must require the owner and applicant to hold the city harmless from all claims and damages related to the approval and its subject matter.

4. The approval must require the owner and applicant to reimburse the city for all costs of enforcement, including attorneys’ fees and costs associated with enforcing the requirements of this code.

E. Requirements. An urban lot split must satisfy each of the following requirements:

1. Map Act Compliance.
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12 a. The urban lot split must conform to all applicable objective requirements of the Subdivision Map Act (Government Code Section 66410 et seq., “SMA”), including implementing requirements in this code, and a list of application requirements except as otherwise expressly provided in this section.
b. If an urban lot split violates any part of the SMA, the city’s subdivision regulations, including this section, or any other legal requirement:
i. The buyer or grantee of a lot that is created by the urban lot split has all the remedies available under the SMA, including, but not limited to, an action for damages or to void the deed, sale, or contract.
ii. The city has all the remedies available to it under the SMA, including, but not limited to, the following:
(A) An action to enjoin any attempt to sell, lease, or finance the property.
(B) An action for other legal, equitable, or summary
remedy, such as declaratory and injunctive relief.
(C) Criminal prosecution, punishable by imprisonment in County Jail or state prison for up to one year, by a fine of up to ten thousand dollars, or both, or a
misdemeanor.
(D) Record a notice of violation.
(E) Withhold any or all future permits and approvals.
c. Notwithstanding Section 66411.1 of the SMA, no dedication of rightsof-way or construction of offsite improvements is required for an urban lot split.

2. Zone. Development Standards. The lot to be split is in a single-family residential zone. For purposes of this section, a single-family residential zone is a zone where the only residential use that is allowed as a primary use is a single residential dwelling on a lot. Except as otherwise provided in this section or state law (including, but not limited to, Government Code section 66411.7(m)), development on the resulting lots must comply with the objective standards of the underlying zone.

3. Lot Location.
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13 a. The lot to be split is not located on a site that is any of the following:
i. Prime farmland, farmland of statewide importance, or land that is zoned or designated for agricultural protection or preservation by the voters.
ii. A wetland.
iii. Within a very high fire hazard severity zone, unless the site complies with all fire-hazard mitigation measures required by existing building standards.
iv. A hazardous waste site that has not been cleared for residential use.
v. Within a delineated earthquake fault zone, unless all development on the site complies with applicable seismic protection building code standards.
vi. Within a one hundred year flood hazard area, unless the site has either:
(A) Been subject to a letter of map revision prepared by the Federal Emergency Management Agency and issued
to the local jurisdiction, or
(B) Meets Federal Emergency Management Agency
requirements necessary to meet minimum flood plain
management criteria of the National Flood Insurance
Program.
vii. Within a regulatory floodway unless all development on the site has received a no-rise certification.
viii. Land identified for conservation in an adopted natural community conservation plan, habitat conservation plan, or other adopted natural resource protection plan.
ix. Habitat for protected species.
x. Land under conservation easement.
b. The purpose of this subsection (E)(3) is merely to summarize the requirements of Government Code Sections 65913.4(a)(6)(B)–(K). (See Government Code Section 66411.7(a)(3)(C)).
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14 4. Not Historic. The lot to be split must not be a historic property or within a historic district that is included on the State Historic Resources Inventory.

Nor may the lot be or be within a site that is designated by ordinance as a city or county landmark or as a historic property or district.

5. No Prior Urban Lot Split.
a. The lot to be split was not established through a prior urban lot split. b. The lot to be split is not adjacent to any lot that was established through a prior urban lot split by the owner of the lot to be split or by any person acting in concert with the owner.

6. No Impact on Protected Housing. The urban lot split must not require or include the demolition or alteration of any of the following types of housing:
a. Housing that is income-restricted for households of moderate, low, or very low income.
b. Housing that is subject to any form of rent or price control through a public entity’s valid exercise of its policy power.
c. Housing, or a lot that used to have housing, that has been withdrawn from rental or lease under the Ellis Act (Government Code Sections 7060–7060.7) at any time in the fifteen years prior to submission of the urban lot split application.
d. Housing that has been occupied by a tenant in the last three years. i. The applicant and the owner of a property for which an urban lot split is sought must provide a sworn statement as to this fact with the application for the parcel map. The city may conduct its own inquiries and investigation to ascertain the veracity of the sworn statement, including, but not limited to, surveying owners of nearby properties; and the city may require additional evidence of the applicant and owner as necessary to determine compliance with this requirement.

7. Lot Size.
a. The lot to be split must be at least two thousand four hundred square feet.
b. The resulting lots must each be at least one thousand two hundred square feet.
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15 c. Each of the resulting lots must be between sixty percent and forty percent of the original lot area.

8. Easements.
a. The owner must enter into an easement agreement with each publicservice provider to establish easements that are sufficient for the provision of public services and facilities to each of the resulting lots. b. Each easement must be shown on the tentative parcel map. c. Copies of the unrecorded easement agreements must be submitted with the application. The easement agreements must be recorded against the property before the final map may be approved, in accordance with subsection (D)(2) above.

9. Lot Access.
a. Each resulting lot must adjoin the public street right-of-way. b. Each resulting lot must have frontage on the public street right-ofway of at least twelve and one half feet. c. All vehicular access must be at the frontage on the public right-ofway.

10. Unit Standards.
a. Quantity. No more than two dwelling units of any kind may be built on a lot that results from an urban lot split. For purposes of this paragraph, “unit” means any dwelling unit, including, but not limited to, a primary dwelling unit, a unit created under Section 25.34.180 of this code, an accessory dwelling unit (ADU), or a junior accessory dwelling unit (JADU).
b. Setbacks.
i. Generally. All setbacks must conform to those objective setbacks that are imposed through the underlying zone.
ii. Exceptions. Notwithstanding subparagraph (e)(i) above:
(A) Existing Structures. No setback is required for an
existing legally established structure or for a new
structure that is constructed in the same location and
to the same dimensions as an existing legally
established structure.
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16 (B) Eight Hundred Square Feet; Four-Foot Side and Rear.

The setbacks imposed by the underlying zone must
yield to the degree necessary to avoid physically
precluding the construction of up to two units on the lot or either of the two units from being at least eight
hundred square feet in floor area, but in no event may
any structure be less than four feet from a side or rear property line.
c. Parking. Each new primary dwelling unit that is built on a lot after an urban lot split must have at least one off-street parking space per unit unless one of the following applies:
i. The lot is located within one-half mile walking distance of either:
(A) A corridor with fixed route bus service with service intervals no longer than fifteen minutes during peak
commute hours; or
(B) A site that contains:
(1) An existing rail or bus rapid transit station,
(2) A ferry terminal served by either a bus or rail
transit service, or the intersection of two or more
major bus routes with a frequency of service
interval of fifteen minutes or less during the
morning and afternoon peak commute periods.
(3) The site is located within one block of a carshare vehicle location. (C) Nonconforming Conditions. An urban lot split may be approved without requiring a legal nonconforming
zoning condition to be corrected.
d. Between Resulting Lots. Separate conveyance of the resulting lots is permitted. If dwellings or other structures (such as garages) on different lots are adjacent or attached to each other, the urban lot split boundary may separate them for conveyance purposes if the structures meet building code safety standards and are sufficient to allow separate conveyance. If any attached structures span or will span the new lot line, the owner must record appropriate CC&Rs, easements, or other documentation that is necessary to allocate rights and responsibility between the owners of the two lots. 1074
17 11. Regulation of Uses.
a. Residential-Only. No non-residential use is permitted on any lot created by urban lot split.
b. No Short-term Rentals (STRs). No dwelling unit on a lot that is created by an urban lot split may be rented for a period of less than thirty days.
c. Owner Occupancy. The applicant for an urban lot split must sign an affidavit stating that the applicant intends to occupy one of the dwelling units on one of the resulting lots as the applicant’s principal residence for a minimum of three years after the urban lot split is approved.

12. Deed Restriction. The owner must record a deed restriction, acceptable to the city, that does each of the following:
a. Expressly prohibits any rental of any dwelling on the property for a period of less than thirty days.
b. Expressly prohibits any non-residential use of the lots created by the urban lot split.
c. States that the property is formed by an urban lot split and is therefore subject to the city’s urban lot split regulations.. d. Specific Adverse Impacts.
i. Notwithstanding anything else in this section, the city may deny an application for an urban lot split if the building official makes a written finding, based on a preponderance of the evidence, that the project would have a “specific, adverse impact” on either public health and safety or on the physical environment and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact. ii. “Specific adverse impact” has the same meaning as in Government Code Section 65589.5(d)(2): “a significant,
quantifiable, direct, and unavoidable impact, based on
objective, identified written public health or safety standards, policies, or conditions as they existed on the date the application was deemed complete” and does not include: (1) inconsistency with the zoning ordinance or general plan land use designation; or (2) the eligibility to claim a welfare 1075
18 exemption under Revenue and Taxation Code Section
214(g).
iii. The building official may consult with and be assisted by planning staff and others as necessary in making a finding of specific, adverse impact.
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ATTACHMENT 2
ZONING ORDINANCE AMENDMENT – TRACKED CHANGES
SECTION 1. Amendment to Palm Desert Municipal Code. Palm Desert Municipal Code Section 25.34.180 is hereby amended as follows:

25.34.180 Two-unit projects.

A. Purpose. The purpose of this section is to allow and appropriately regulate twounit projects in accordance with Government Code Section 65852.21.

Notwithstanding any other provision of this section or this code, the City shall follow requirements of state law for reviewing and approving or denying applications for two-unit projects director of development services may approve an application for an urban lot split if required by state law.

A.B. Definition. A "two-unit project" means the development of 2 primary dwelling units or if there is already a primary dwelling unit on the lot, the development of a second primary dwelling unit on a legally subdivided lot (Government Code Section 66499.34) in accordance with the requirements of this section and Government Code Section 65852.21.

B.C. Application.

1. 1.

2. Only individual property owners may apply for a two-unit project. "Individual property owner" means a natural person holding fee title individually or jointly in the person's own name or a beneficiary of a trust that holds fee title. "Individual property owner" does not include any corporation or corporate person of any kind (partnership, LP, LLC, C corp, S corp, etc.) except for a community land trust (as defined by Revenue and Taxation Code Section 402.1(a)(11)(C)(ii)) or a qualified nonprofit corporation (as defined by Section 214.15).

3.1. An application for a two-unit project must be submitted on the City's approved form.

4.2. The applicant must obtain a certificate of compliance with the Subdivision Map Act for the lot and provide the certificate with the application.

5.3. Only a complete application will be considered. The City will inform the applicant in writing of any incompleteness within 30 days after the application is submitted.

4. The City will review and approve or deny an application within 60 days from the date a complete application is received. If an application is denied, the City will provide written comments to the applicant with a list of items that Formatted: Font: (Default) Arial, Not Bold, No
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are defective or deficient, with a description of how the application may be remedied.

6.5. The City may establish a fee to recover its costs for adopting, implementing, and enforcing this section of the code, in accordance with applicable law.

The City Council may establish and change the fee by resolution. The fee must be paid with the application.

C.D. Approval.

1. An application for a two-unit project is approved or denied ministerially, by the Director of Development Services, without discretionary review.

2. The ministerial approval of a two-unit project does not take effect until the City has confirmed that the required documents have been recorded, such as the deed restriction and easements.

3. The approval must require the owner and applicant to hold the City harmless from all claims and damages related to the approval and its subject matter.

4. The approval must require the owner and applicant to reimburse the City for all costs of enforcement, including attorneys' fees and costs associated with enforcing the requirements of this code.

D.E. Requirements. A two-unit project must satisfy each of the following requirements:

1. Map Act Compliance. The lot must have been legally subdivided.

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ii. A wetland.
iii. Within a very high fire hazard severity zone, unless the site complies with all fire-hazard mitigation measures required by existing building standards.
iv. A hazardous waste site that has not been cleared for residential use.
v. Within a delineated earthquake fault zone, unless all development on the site complies with applicable seismic protection building code standards.
vi. Within a 100-year flood hazard area, unless the site has either:
(A) Been subject to a letter of map revision prepared by the Federal Emergency Management Agency and issued
to the local jurisdiction, or
(B) Meets Federal Emergency Management Agency
requirements necessary to meet minimum flood plain
management criteria of the National Flood Insurance
Program.
vii. Within a regulatory floodway unless all development on the site has received a no-rise certification.
viii. Land identified for conservation in an adopted natural community conservation plan, habitat conservation plan, or other adopted natural resource protection plan.
ix. Habitat for protected species.
x. Land under conservation easement.
. The purpose of this subsection (E)(3)subpart is merely to summarize the requirements of Government Code Sections 65913.4(a)(6)(B)– (K). (See Government Code Section 66411.7(a)(3)(C)).

6.4. No Impact on Protected Housing. The two-unit project must not require or include the demolition or alteration of any of the following types of housing:
a. Housing that is income-restricted for households of moderate, low, or very low income.
b. Housing that is subject to any form of rent or price control through a public entity's valid exercise of its policy power.

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c. Housing, or a lot that used to have housing, that has been withdrawn from rental or lease under the Ellis Act (Government Code Sections 7060–7060.7) at any time in the 15 years prior to submission of the urban lot split application.
d. Housing that has been occupied by a tenant in the last 3 years. i. The applicant and the owner of a property for which a two-unit project is sought must provide a sworn statement as to this fact with the application for the parcel map. The City may conduct its own inquiries and investigation to ascertain the veracity of the sworn statement, including, but not limited to, surveying owners of nearby properties; and the City may require additional evidence of the applicant and owner as necessary to determine compliance with this requirement.

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ii. Exceptions. Notwithstanding subsection 25.34.180(E)(6)(f)(i) above:
(A) Existing Structures. No setback is required for an
existing legally established structure or for a new
structure that is constructed in the same location and
to the same dimensions as an existing legally
established structure.
(B) 800 Square Feet; Four-Foot Side and Rear. The
setbacks imposed by the underlying zone must yield to
the degree necessary to avoid physically precluding
the construction of up to two units on the lot or either of the two units from being at least 800 square feet in floor area, but in no event may any structure be less than
four feet from a side or rear property line.
iii. Front Setback Area (Street Facing). Notwithstanding any other part of this code, dwellings that are constructed after an urban lot split must have the front setback street as required by the underlying zone.
(A)
(A) The parcel is located within one-half mile walking
distance of either a high-quality transit corridor, as
defined in subdivision (b) of Section 21155 of the
Public Resources Code, or a major transit stop, as
defined in Section 21064.3 of the Public Resources
Code.
(B) There is a car share vehicle located within one block of the parcel.
s. i.
t. h.
i. Each primary dwelling unit on the lot must have its own direct utility connection to the utility service provider.
ii. Each primary dwelling unit on the lot that is or that is proposed to be connected to an on-site wastewater treatment system must first have a percolation test completed within the last 5 years or, if the percolation test has been recertified, within the last 10 years.

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v. Building and Safety. All structures built on the lot must comply with all current local building standards. A project under this section is a change of use and subjects the whole of the lot, and all structures, to the City's current code.7.

7.6. Regulation of Uses.
a. Residential-only. No non-residential use is permitted on the lot. b. No STRs. No dwelling unit on the lot may be rented for a period of less than 30 days.

8.7. Deed Restriction. The owner must record a deed restriction, acceptable to the City, that does each of the following:
a. Expressly prohibits any rental of any dwelling on the property for a period of less than 30 days.
b. Expressly prohibits any non-residential use of the lot. c. c.

E.F. Specific Adverse Impacts.

2. "Specific adverse impact" has the same meaning as in Government Code Section 65589.5(d)(2): "a significant, quantifiable, direct, and unavoidable impact, based on objective, identified written public health or safety standards, policies, or conditions as they existed on the date the application was deemed complete" and does not include: (a) inconsistency with the zoning ordinance or general plan land use designation; or (b) the eligibility to claim a welfare exemption under Revenue and Taxation Code Section 214(g).

3. The building official may consult with and be assisted by planning staff and others as necessary in making a finding of specific, adverse impact.

F.G. Remedies. If a two-unit project violates any part of this code or any other legal requirement:

1. The buyer, grantee, or lessee of any part of the property has an action for damages or to void the deed, sale, or contract.
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26.30.010. Urban lot splits.

A. Purpose. The purpose of this section is to allow and appropriately regulate urban lot splits in accordance with Government Code Section 66411.7. Notwithstanding any other provision of this section or this code, the City shall follow requirements of state law for reviewing and approving or denying director of development services may approve an application for an urban lot split if required by state law.

A.B. Definition. An “urban lot split” means the subdivision of an existing, legally subdivided lot (Government Code Section 66499.34) into two lots in accordance with the requirements of Government Code Section 66411.7 and this section.

B.C. Application.
a. Revenue and Taxation Code Section 402.1(a)(11)(C)(ii)) or a qualified nonprofit corporation (as defined by Section 214.15).

3.2. The city may establish a fee to recover its costs for adopting, implementing, and enforcing this section of the code, in accordance with applicable law.

The city council may establish and change the fee by resolution. The fee must be paid with the application.

C.D. Approval.

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1. An application for a parcel map for an urban lot split is approved or denied ministerially, by the director of development services, without discretionary review.

3. The approval must require the owner and applicant to hold the city harmless from all claims and damages related to the approval and its subject matter.

4. The approval must require the owner and applicant to reimburse the city for all costs of enforcement, including attorneys’ fees and costs associated with enforcing the requirements of this code.

D.E. Requirements. An urban lot split must satisfy each of the following requirements:

1. Map Act Compliance.
a. The urban lot split must conform to all applicable objective requirements of the Subdivision Map Act (Government Code Section 66410 et seq., “SMA”), including implementing requirements in this code, and a list of application requirements except as otherwise expressly provided in this section.
b. If an urban lot split violates any part of the SMA, the city’s subdivision regulations, including this section, or any other legal requirement:
i. The buyer or grantee of a lot that is created by the urban lot split has all the remedies available under the SMA, including, but not limited to, an action for damages or to void the deed, sale, or contract.
ii. The city has all the remedies available to it under the SMA, including, but not limited to, the following:
(A) An action to enjoin any attempt to sell, lease, or finance the property.
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(B) An action for other legal, equitable, or summary
remedy, such as declaratory and injunctive relief.
(C) Criminal prosecution, punishable by imprisonment in County Jail or state prison for up to one year, by a fine of up to ten thousand dollars, or both, or a
misdemeanor.
(D) Record a notice of violation.
(E) Withhold any or all future permits and approvals.
c. Notwithstanding Section 66411.1 of the SMA, no dedication of rightsof-way or construction of offsite improvements is required for an urban lot split.

2. Zone. Development Standards. The lot to be split is in a single-family residential zone. For purposes of this section, a single-family residential zone is a zone where the only residential use that is allowed as a primary use is a single residential dwelling on a lot. Except as otherwise provided in this section or state law (including, but not limited to, Government Code section 66411.7(m))65852.21), development on the resulting lots must comply with the objective standards of the underlying zone.

3. Lot Location.
a. The lot to be split is not located on a site that is any of the following:
i. Prime farmland, farmland of statewide importance, or land that is zoned or designated for agricultural protection or preservation by the voters.
ii. A wetland.
iii. Within a very high fire hazard severity zone, unless the site complies with all fire-hazard mitigation measures required by existing building standards.
iv. A hazardous waste site that has not been cleared for residential use.
v. Within a delineated earthquake fault zone, unless all development on the site complies with applicable seismic protection building code standards.
vi. Within a one hundred year flood hazard area, unless the site has either:
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(A) Been subject to a letter of map revision prepared by the Federal Emergency Management Agency and issued
to the local jurisdiction, or
(B) Meets Federal Emergency Management Agency
requirements necessary to meet minimum flood plain
management criteria of the National Flood Insurance
Program.
vii. Within a regulatory floodway unless all development on the site has received a no-rise certification.
viii. Land identified for conservation in an adopted natural community conservation plan, habitat conservation plan, or other adopted natural resource protection plan.
ix. Habitat for protected species.
x. Land under conservation easement.
b. The purpose of this subsection (E)(3) (a) is merely to summarize the requirements of Government Code Sections 65913.4(a)(6)(B)–(K). (See Government Code Section 66411.7(a)(3)(C)).

4. Not Historic. The lot to be split must not be a historic property or within a historic district that is included on the State Historic Resources Inventory.

Nor may the lot be or be within a site that is designated by ordinance as a city or county landmark or as a historic property or district.

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7060–7060.7) at any time in the fifteen years prior to submission of the urban lot split application.
d. Housing that has been occupied by a tenant in the last three years. i. The applicant and the owner of a property for which an urban lot split is sought must provide a sworn statement as to this fact with the application for the parcel map. The city may conduct its own inquiries and investigation to ascertain the veracity of the sworn statement, including, but not limited to, surveying owners of nearby properties; and the city may require additional evidence of the applicant and owner as necessary to determine compliance with this requirement.

7. Lot Size.
a. The lot to be split must be at least two thousand four hundred square feet.
b. The resulting lots must each be at least one thousand two hundred square feet.
c. Each of the resulting lots must be between sixty percent and forty percent of the original lot area.

10. Unit Standards.
a. Quantity. No more than two dwelling units of any kind may be built on a lot that results from an urban lot split. For purposes of this paragraph, “unit” means any dwelling unit, including, but not limited to, a primary dwelling unit, a unit created under Section 25.34.180 of this code, an accessory dwelling unit (ADU), or a junior accessory dwelling unit (JADU).
b. i.
i. Generally. All setbacks must conform to those objective setbacks that are imposed through the underlying zone.
ii. Exceptions. Notwithstanding subparagraph (e)(i) above:
(A) Existing Structures. No setback is required for an
existing legally established structure or for a new
structure that is constructed in the same location and
to the same dimensions as an existing legally
established structure.
(B) Eight Hundred Square Feet; Four-Foot Side and Rear.

11. Regulation of Uses.
a. Residential-Only. No non-residential use is permitted on any lot created by urban lot split.
b. No Short-term Rentals (STRs). No dwelling unit on a lot that is created by an urban lot split may be rented for a period of less than thirty days.
c. Owner Occupancy. The applicant for an urban lot split must sign an affidavit stating that the applicant intends to occupy one of the dwelling units on one of the resulting lots as the applicant’s principal residence for a minimum of three years after the urban lot split is approved.

12. a.
a. Expressly prohibits any rental of any dwelling on the property for a period of less than thirty days.
b. Expressly prohibits any non-residential use of the lots created by the urban lot split.
c. c.
f.d. Specific Adverse Impacts.
i. Notwithstanding anything else in this section, the city may deny an application for an urban lot split if the building official makes a written finding, based on a preponderance of the evidence, that the project would have a “specific, adverse impact” on either public health and safety or on the physical environment and for which there is no feasible method to satisfactorily mitigate or avoid the specific adverse impact. ii. “Specific adverse impact” has the same meaning as in Government Code Section 65589.5(d)(2): “a significant,
quantifiable, direct, and unavoidable impact, based on
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objective, identified written public health or safety standards, policies, or conditions as they existed on the date the application was deemed complete” and does not include: (1) inconsistency with the zoning ordinance or general plan land use designation; or (2) the eligibility to claim a welfare exemption under Revenue and Taxation Code Section
214(g).
iii. The building official may consult with and be assisted by planning staff and others as necessary in making a finding of specific, adverse impact.
(Ord. 1373 § 3, 2021)
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CITY OF PALM DESERT

STAFF REPORT
MEETING DATE: December 11, 2025
PREPARED BY: Sijifredo Fernandez, Senior Planner
SUBJECT: URGENCY ORDINANCE (ZOA 22-0005) AMENDING SECTION 25.34.030

OF THE PALM DESERT MUNICIPAL CODE RELATING TO ACCESSORY

DWELLING UNITS AND JUNIOR ACCESSORY DWELLING UNITS AND

DETERMINATION OF EXEMPTION FROM THE CALIFORNIA

ENVIRONMENTAL QUALITY ACT (CEQA)
RECOMMENDATION:

1. Conduct the public hearing and receive public testimony.

2. Adopt an Urgency Ordinance entitled “AN URGENCY ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, AMENDING SECTION 25.34.030 OF THE

PALM DESERT MUNICIPAL CODE RELATING TO ACCESSORY DWELLING UNITS AND

JUNIOR ACCESSORY DWELLING UNITS TO COMPLY WITH THE RECENT CHANGES IN

STATE LAW, AND FINDING THE ACTION TO BE STATUTORILY EXEMPT FROM CEQA UNDER PUBLIC RESOURCES CODE SECTION 21080.17.”
BACKGROUND/ANALYSIS:

In recent years, the California Legislature and Governor have enacted several bills that limit local authority to regulate Accessory Dwelling Units (ADUs) and Junior Accessory Dwelling Units (JADUs). In late 2025, four additional bills were adopted that further amended state ADU law. A summary of these changes is provided below.

AB 462 – Coastal Development Permits (CDP); Disaster-Affected Areas AB 462 modifies several permitting requirements related to Coastal Development Permits (CDP) for ADUs within the Coastal Zone. In addition to these CDP-related changes, AB 462 also modifies the regulations governing the issuance of a Certificate of Occupancy (CofO) for an ADU in disaster-affected areas.

Historically, state law has prohibited a local agency from issuing a CofO for an ADU before one is issued for the primary dwelling (i.e., the primary dwelling must have a CofO before the ADU can receive one). AB 462 creates a narrow exception to this prohibition for detached ADUs when all of the following conditions are satisfied:
1) The Governor has declared a state of emergency for the county on or after February 1, 2025; 2) The primary dwelling was substantially damaged or destroyed by an event referenced in the state of emergency proclamation; and
3) The ADU has been issued construction permits and passed all required inspections. (Gov. Code, § 66328(b).) If these conditions are satisfied, the detached ADU can receive 1091
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ADU Amendment Urgency Ordinance

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a CofO before the primary dwelling. In all other scenarios, the primary dwelling still needs a CofO before one can be issued for an ADU. AB 462 was enacted as an urgency measure, taking effect immediately upon the Governor's signature (on October 10, 2025).

The following three bills were enacted as non-urgency measures and take effect on January 1, 2026.

AB 1154 – JADU Owner-Occupancy; Short-Term Rental
When a JADU is developed, existing state law requires a property owner to reside in the JADU or the remaining portion of the single-family dwelling. AB 1154 narrows this requirement to now only apply when a JADU shares sanitation facilities (bathroom) with a single-family dwelling. If the JADU has its own bathroom, then the property owner does not have to reside on the property at all. (See amended Gov. Code, § 66333(b).)
AB 1154 also expressly prohibits JADUs from being used as short-term rentals (i.e., rented for a term shorter than 30 days). (See amended Gov. Code, § 66333(g).) Most ADU ordinances already include this prohibition (as well as prohibiting ADUs from being used as short-term rentals). However, it is now required by state law.

SB 9; SB 543 – ADU Ordinance Submittal to HCD; Approval Under existing law, local agencies are required to submit a copy of their ADU ordinance to the California Department of Housing and Community Development (HCD) within 60 days of adoption.

This year’s SB 91 and SB 543 creates a penalty for failing to do so by rendering null and void any local ordinance that is not submitted to HCD within 60 days of adoption. (See amended Gov.

Code, § 66326(d); new Gov. Code, § 66333.5(d).) The bills further specify that a local ADU ordinance is null and void if HCD issues findings that the ordinance does not comply with state law and the local agency fails to respond to HCD within 30 days. (Id.) SB 543 – ADU Size; Number of ADUs; Impact Fees; Permitting Timeline SB 543 makes numerous changes and clarifications to state ADU law, the most notable of which are summarized below.

ADU & JADU Size
Existing law limits the maximum size of a JADU to 500 square feet and prohibits local ADU ordinances from imposing certain development standards that would prevent an ADU created under Government Code Section 66314 through 66322 from being at least 800 square feet.

SB 543 amends state ADU law to specify that allowable square footage of an ADU or JADU refers to square footage of “interior livable space.” (See amended Gov. Code, § 66313(d), 66321(b)(2).)
Impact Fees

1 Not to be confused with the SB 9 of 2021 (Stats. 2021, Ch. 162) regarding urban lot splits and second primary dwelling units.
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Existing law exempts ADUS that are 750 square feet or smaller from development impacts fees (DIFs).

SB 543 clarifies that DIFs may not be imposed on an ADU that has 750 or fewer square feet of interior livable space or on a JADU with 500 or fewer square feet of interior livable space. The bill also exempts an ADU or JADU with fewer than 500 square feet of interior livable space from school impact fees. (See amended Gov. Code, § 66311.5.) Quantity of ADUs Created Under Government Code Section 66323 Existing state law creates four categories of ADUs that must be approved if they comply with the limited standards provided in Government Code section 66323(a)(1)–(4). These are:
1) A converted ADU and JADU created on a lot with a proposed or existing single-family dwelling (Gov. Code, § 66323(a)(1));
2) A detached ADU created on a lot with a proposed or existing single-family dwelling (Gov.

Code, § 66323(a)(2));
3) Converted ADUs created in an existing multifamily dwelling (Gov. Code, § 66323(a)(3)); and
4) Detached ADUs created on a lot with a proposed or existing multifamily dwelling.

For some time, there has been uncertainty as to whether ADUs created under Government Code Section 66323 could be combined. Some practitioners interpreted the statute as not requiring local agencies to allow combinations. Initially, HCD took the same position in its 2020 ADU Handbook. However, over the last few years, HCD has taken the opposite position, arguing that yes, combinations are permitted. (See HCD January 2025 ADU Handbook, at p. 19 “Pursuant to Government Code section 66323, subdivision (a), local governments must allow units created pursuant to subparagraphs (1) and (2) together or (3) and (4) together”). SB 543 codifies HCD’s most recent interpretation by amending Government Code section 66323 to specifically allow combinations. Thus, a lot with a multifamily dwelling can now have a converted ADU or ADUs created under Section 66323(a)(3) and detached ADUs created under Section 66323(a)(4). And a lot with a single-family dwelling can now have a converted ADU and a JADU created under section 66323(a)(1) and a detached ADU created under section 66323(a)(2).

ADU Permitting Process
Existing law has long required local agencies to approve or deny an ADU application within 60 days of receiving a complete application. However, state law was silent with respect to incompleteness determinations, subsequent resubmittals, and appealing local decisions on ADU applications.

SB 543 requires local agencies to now:
(1) Determine whether an ADU application is complete within 15 business days of submittal; (2) If the application is incomplete, within the same 15 days, provide the applicant with a list of incomplete items and how to address them;
(3) Review a resubmitted application for completeness within 15 business days; (4) Provide the applicant with a written appeal process for any incompleteness determination or denial (to the Planning Commission or City Council, or both); and 1093
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(5) Provide a final written determination on the appeal within 60 business days of receiving the appeal. (See amended Gov. Code, §§ 66317 [ADUs], 66335 [JADUs].) Analysis:

AB 462 took effect immediately upon signing, but technically, it doesn’t require any change to a local ordinance; the City simply needs to follow the new rules for CDP processing and issuance of a CofO, if applicable. However, the remaining bills take effect on January 1, 2026. For the City’s ADU ordinance to remain valid and enforceable, it must comply with requirements of these bills by January 1, 2026, or the City’s entire existing ADU ordinance becomes null and void as a matter of law, and the City will have to allow ADUs with no regulation except for the few requirements imposed in the state ADU law itself. The approval of ADUs and JADUs based solely on these default statutory standards, without local regulations governing height, setback, landscape, and architectural review, among other things, would threaten the character of existing neighborhoods and negatively impact property values, personal privacy, and fire safety.

The proposed ordinance is an urgency measure, meaning it will take effect immediately upon adoption. Normally, planning and zoning ordinances are approved through a standard process that includes a recommendation by the Planning Commission, a first reading and introduction before the Council, and a second reading at a regular Council meeting. Under the normal process, an ordinance becomes effective 30 days following its adoption.

In this case, an urgency ordinance is necessary because the new ADU laws will take effect on January 1, 2026, which is earlier than a non-urgency adoption would take effect. The urgency ordinance will be followed by a non-urgency ordinance, subject to all normal procedures.

For the above reasons, staff recommends that the City Council adopt the proposed urgency ordinance (Attachment 1), which will ensure that the City’s ADU ordinance remains valid on January 1, 2026.

Environment Review:

Under California Public Resources Code section 21080.17, CEQA does not apply to the adoption of an ordinance by a city or county implementing the provisions of Chapter 13 of Division 1 of Title 7 of the California Government Code, which is California’s ADU law. Therefore, the adoption of the proposed urgency Ordinance is statutorily exempt from CEQA in that it implements state ADU law.

FINANCIAL IMPACT:

There is no direct financial impact associated with this action.

ATTACHMENTS:

1. Draft Urgency Ordinance

2. Exhibit A to Draft Urgency Ordinance
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-1-
URGENCY ORDINANCE NO. ________

AN URGENCY ORDINANCE OF THE CITY COUNCIL OF

THE CITY OF PALM DESERT, CALIFORNIA, AMENDING
SECTION 25.34.030 OF THE CITY OF PALM DESERT

MUNICIPAL CODE RELATING TO ACCESSORY

DWELLING UNITS AND JUNIOR ACCESSORY DWELLING

UNITS TO COMPLY WITH THE RECENT CHANGES IN

STATE LAW, AND FINDING THE ACTION TO BE

STATUTORILY EXEMPT FROM CEQA UNDER PUBLIC
RESOURCES CODE § 21080.17
WHEREAS, the City of Palm Desert, California (“City”) is a municipal corporation, duly organized under the constitution and laws of the State of California; and WHEREAS, state law authorizes cities to act by ordinance to provide for the creation and regulation of accessory dwelling units (“ADUs”) and junior accessory dwelling units (“JADUs”); and
WHEREAS, the City Council of the City of Palm Desert, California, did on the 11th day of December 2025, hold a duly noticed public hearing for approval of the above-noted Project request; and
WHEREAS, in recent years, the California Legislature has approved, and the Governor has signed into law, numerous bills that, among other things, amend various sections of the Government Code to impose new limits on local authority to regulate ADUs and JADUs; and
WHEREAS, in 2025, the California Legislature approved, and the Governor signed into law, further amendments to state ADU law; and
WHEREAS, new updates to state ADU law take effect January 1, 2026, and for the City’s ADU ordinance to remain valid, it must be amended to reflect the most recent changes to state law; and
WHEREAS, the City desires to amend its local regulatory scheme for the construction of ADUs and JADUs to reflect the most recent changes to state law; and WHEREAS, there is a current and immediate threat to the public health, safety, or welfare based on the passage of bills updating state ADU law because if the City’s ordinance does not comply with this legislation by January 1, 2026 and the City’s ADU ordinance becomes null and void in its entirety the City would be required to approve ADUs and JADUs in accordance with the few default standards that are imposed by Chapter 13 of Division 1 of Title 7 of the California Government Code, which is the state ADU law; and
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WHEREAS, the approval of ADUs and JADUs based solely on the default statutory standards, without local regulations governing height, setback, landscape, and architectural review, among other things, would threaten the character of existing neighborhoods, and negatively impact property values, personal privacy, and fire safety.

These threats to public safety, health, and welfare justify adoption of this Ordinance as an urgency ordinance, to be effective immediately upon adoption by a four-fifths vote of the City Council; and
WHEREAS, to protect the public safety, health, and welfare, the City Council may adopt this Ordinance as an urgency measure in accordance with Government Code section 36937, subdivision (b).

NOW, THEREFORE, the City Council of the City of Palm Desert does ordain as follows:

Section 1. Incorporation. The recitals above are each incorporated by reference and adopted as findings by the City Council.

Section 2. CEQA. Under California Public Resources Code section 21080.17, the California Environmental Quality Act (“CEQA”) does not apply to the adoption of an ordinance by a city or county implementing the provisions of Article 2 of Chapter 13 of Division 1 of Title 7 of the California Government Code, which is California’s ADU law.

Therefore, adoption of the urgency Ordinance is statutorily exempt from CEQA in that it implements state ADU law.

Section 3. General Plan. The City Council hereby finds that the adoption of the urgency Ordinance is consistent with the General Plan as a matter of law under Government Code section 66314(c).

Section 4. Code Amendment. Section 25.34.030 of the Palm Desert Municipal Code is hereby amended and restated to read in its entirety as provided in Exhibit “A,” attached hereto and incorporated herein by reference.

Section 5. Effective Date. This Ordinance takes effect immediately upon its adoption.

Section 6. HCD Submittal. In accordance with Government Code sections 66326 and 66333.5, the City Clerk is directed to submit a copy of this Ordinance to the California Department of Housing and Community Development within 60 days after adoption.

Section 7. Publication. The City Clerk certifies that this Ordinance was adopted by the City Council at a regular meeting on December 11, 2025. 1096
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Section 8. Custodian of Records. The custodian of records for this Ordinance is the City Clerk and the records comprising the administrative record are located at 73-510 Fred Waring Drive, Palm Desert, CA 92260.

Section 9. Severability. If any provision of this Ordinance or its application to any person or circumstance is held to be invalid by a court of competent jurisdiction, such invalidity has no effect on the other provisions or applications of the Ordinance that can be given effect without the invalid provision or application, and to this extent, the provisions of this Ordinance are severable. The City Council declares that it would have adopted this Ordinance irrespective of the invalidity of any portion thereof.

PASSED, APPROVED, AND ADOPTED this ____ day of __________, 2026. ________________________________

JAN HARNIK
MAYOR
ATTEST:
______________________________
ANTHONY J. MEJIA

CITY CLERK
I, Anthony J. Mejia, City Clerk of the City of Palm Desert, California, do hereby certify that Ordinance No. ____ is a full, true, and correct copy, and was introduced at a regular meeting of the Palm Desert City Council on December 11, 2025, and adopted at a regular meeting of the City Council held on___________ , 2025, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

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

ANTHONY J. MEJIA

CITY CLERK
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EXHIBIT A
Amended ADU Regulations
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1 Section 25.34.030 Accessory Dwelling Units
(a) Purpose. The purpose of this section is to allow and regulate accessory dwelling units (ADUs) and junior accessory dwelling units (JADUs) in compliance with Chapter 13 of Division 1 of Title 7 of the California Government Code. (b) Effect of Conforming. An ADU or JADU that conforms to the standards in this section will not be:
(1) Deemed to be inconsistent with the city’s general plan and zoning designation for the lot on which the ADU or JADU is located. (2) Deemed to exceed the allowable density for the lot on which the ADU or JADU is located.
(3) Considered in the application of any local ordinance, policy, or program to limit residential growth.
(4) Required to correct a nonconforming zoning condition, as defined in subsection below. This does not prevent the city from enforcing compliance with applicable building standards in accordance with Health and Safety Code section 17980.12.
(c) Definitions. As used in this section, terms are defined as follows:
(1) “Accessory dwelling unit” or “ADU” means an attached or a detached residential dwelling unit that provides complete independent living facilities for one or more persons and is located on a lot with a proposed or existing primary residence. An accessory dwelling unit also includes the following:
(A) An efficiency unit, as defined by section 17958.1 of the California Health and Safety Code; and
(B) A manufactured home, as defined by section 18007 of the California Health and Safety Code.
(2) “Accessory structure” means a structure that is accessory and incidental to a dwelling located on the same lot.
(3) “Complete independent living facilities” means permanent provisions for living, sleeping, eating, cooking, and sanitation on the same parcel as the single-family or multifamily dwelling is or will be situated. (4) “Efficiency kitchen” means a kitchen that includes all of the following:
(A) A cooking facility with appliances.
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2 (B) A food preparation counter and storage cabinets that are of a reasonable size in relation to the size of the JADU.
(5) “Junior accessory dwelling unit” or “JADU” means a residential unit that satisfies all of the following:
(A) It is no more than 500 square feet of interior livable space in size. (B) It is contained entirely within an existing or proposed single-family structure. An enclosed use within the residence, such as an attached garage, is considered to be a part of and contained within the singlefamily structure. (C) It includes its own separate sanitation facilities or shares sanitation facilities with the existing or proposed single-family structure. (D) If the unit does not include its own separate bathroom, then it contains an interior entrance to the main living area of the existing or proposed single-family structure in addition to an exterior entrance that is separate from the main entrance to the primary dwelling. (E) It includes an efficiency kitchen, as defined in subsection above.
(6) “Livable space” means a space in a dwelling intended for human habitation, including living, sleeping, eating, cooking, or sanitation. (7) “Living area” means the interior habitable area of a dwelling unit, including basements and attics, but does not include a garage or any accessory structure.
(8) “Nonconforming zoning condition” means a physical improvement on a property that does not conform with current zoning standards. (9) “Passageway” means a pathway that is unobstructed clear to the sky and extends from a street to one entrance of the ADU or JADU. (10) “Proposed dwelling” means a dwelling that is the subject of a permit application and that meets the requirements for permitting. (11) “Public transit” means a location, including, but not limited to, a bus stop or train station, where the public may access buses, trains, subways, and other forms of transportation that charge set fares, run on fixed routes, and are available to the public.
(12) “Tandem parking” means that two or more automobiles are parked on a driveway or in any other location on a lot, lined up behind one another. 1102
3 (d) Approvals. The following approvals apply to ADUs and JADUs created under this section:
(1) Ministerial ADU and Building Permits Required. Every ADU and JADU requires an ADU permit and a building permit. The city will review and approve permit applications in accordance with subsection 3) below. (2) Processing Fee. The city may charge a fee to reimburse it for costs incurred in processing ADU permits, including the costs of adopting or amending the city’s ADU ordinance. The ADU-permit processing fee is determined by the Director and approved by the city council by resolution. (3) Process and Timing.
(A) Completeness.
(i) Determination in 15 days. The city will determine whether an application to create or serve an ADU or JADU is complete and will provide written notice of the determination to the applicant within 15 business days after the city receives the application submittal.
(ii) Incomplete items. If the city’s determination under subsection above is that the application is
incomplete, the city’s notice must list the incomplete items and describe how the application can be made complete.
(iii) Cure. After receiving a notice that the application is incomplete, the applicant may cure and address the items that were deemed by the city to be incomplete.
(iv) Subsequent submittals. If the applicant submits additional information to address incomplete items, within 15 business days of the subsequent submittal the city will determine in writing whether the additional information remedies all the incomplete items that the city identified in its original notice.

The city may not require the application to include an item that was not included in the original notice.
(v) Deemed complete. If the city does not make a timely determination as required by this subsection (A), the
application or resubmitted application is deemed complete for the purposes of subsection below.
(vi) Appeal of incompleteness. An applicant may appeal the city’s determination that the application is incomplete by submitting a written appeal to the city clerk. The planning commission will review the written appeal and affirm or 1103
4 reverse the completeness determination and provide a final written determination to the applicant within 60 business days after receipt of the appeal.
(B) No discretion or hearing. Ministerial permits for an ADU or JADU are considered and approved without discretionary review or a hearing.
(C) Deadline to approve or deny ministerial approvals. The city must approve or deny an application to create an ADU or JADU within 60 days from the date that the city receives a complete application. If the city has not approved or denied the complete application within 60 days, the application is deemed approved unless either:
(i) The applicant requests a delay, in which case the 60-day time period is tolled for the period of the requested delay, or (ii) When an application to create an ADU or JADU is submitted with a permit application to create a new single-family or multifamily dwelling on the lot, the city may delay acting on the permit application for the ADU or JADU until the city acts on the permit application to create the new single-family or multifamily dwelling, but the application to create the ADU or JADU will still be considered ministerially without discretionary review or a hearing.
(D) Denial. If the city denies an application to create an ADU or JADU, the city must provide the applicant with comments that include, among other things, a list of all the defective or deficient items and a description of how the application may be remedied by the applicant.

Notice of the denial and corresponding comments must be provided to the applicant within the 60-day time period established by subsection above.
(E) Appeal of denial. An applicant may appeal the city’s denial of the application by submitting a written appeal to the city clerk. The planning commission will review the written appeal and affirm or reverse the denial and provide a final written determination to the applicant within 60 business days after receipt of the appeal. (F) Concurrent review of demolition. A demolition permit for a detached garage that is to be replaced with an ADU is reviewed with the application for the ADU and issued at the same time. (e) Classes.
(1) Class 1: Statutorily Regulated. Class 1 ADUs and JADUs are approved under Government Code section 66323. If an ADU or JADU complies with 1104
5 each of the general requirements in subsection (f) below, it is allowed in each of the scenarios provided in this subsection 1). An ADU and JADU approved under subsection A) may be combined with an ADU approved under subsection B), and ADUs approved under subsection C) may be combined with ADUs approved under
subsection D).
(A) Converted on Lot with Single-Family: One ADU as described in this subsection A) and one JADU on a lot with a proposed or existing single-family dwelling on it, where the ADU or JADU:
(i) Is either: within the space of a proposed single-family dwelling; within the existing space of an existing single-family dwelling; or (in the case of an ADU only) within the existing space of an accessory structure, plus up to 150 additional square feet if the expansion is limited to accommodating ingress and egress; and
(ii) Has exterior access that is independent of that for the singlefamily dwelling; and (iii) Has side and rear setbacks sufficient for fire and safety, as dictated by applicable building and fire codes.
(iv) The JADU complies with the requirements of Government Code sections 66333 through 66339.
(B) Limited Detached on Lot with Single-Family: One detached, newconstruction ADU on a lot with a proposed or existing single-family dwelling, if the detached ADU satisfies each of the following limitations:
(i) The side- and rear-yard setbacks are at least four feet. (ii) The total floor area is 800 square feet of livable space or smaller.
(iii) The peak height above grade does not exceed the applicable height limit in subsection 2) below.
(C) Converted on Lot with Multifamily: One or more ADUs within portions of existing multifamily dwelling structures that are not used as livable space, including but not limited to storage rooms, boiler rooms, passageways, attics, basements, or garages, if each converted ADU complies with state building standards for dwellings.

Under this subsection C), at least one converted ADU is allowed within an existing multifamily dwelling, up to a quantity equal to 25 percent of the existing multifamily dwelling units. 1105
6 (D) Limited Detached on Lot with Multifamily: No more than two detached ADUs on a lot with a proposed multifamily dwelling, or up to eight detached ADUs on a lot with an existing multifamily dwelling, if each detached ADU satisfies all of the following:
(i) The side- and rear-yard setbacks are at least four feet. If the existing multifamily dwelling has a rear or side yard setback of less than four feet, the city will not require any modification to the multifamily dwelling as a condition of approving the ADU.
(ii) The peak height above grade does not exceed the applicable height limit provided in subsection 2) below.
(iii) If the lot has an existing multifamily dwelling, the quantity of detached ADUs does not exceed the number of primary
dwelling units on the lot.
(2) Class 2: Locally Regulated. Class 2 ADUs are approved under Government Code sections 66314–66322. Except for Class 1 ADUs approved under subsection 1) above, all ADUs are subject to the standards set forth in subsections f) and below.
(f) General Requirements. The following requirements apply to all Class 1 and Class 2 ADUs and JADUs:
(1) Zoning.
(A) A Class 1 ADU approved under subsection 1) may be created on a lot in a residential or mixed-use zone.
(B) A Class 2 ADU approved under subsection above may be created on a lot that is zoned to allow single-family dwelling residential use or multifamily dwelling residential use. (C) In accordance with Government Code section 66333(a), a JADU may only be created on a lot zoned for single-family residences. (2) Height.
(A) Except as otherwise provided by subsections )(2)(B) and C) below, a detached ADU created on a lot with an existing or proposed single family or multifamily dwelling unit may not exceed 16 feet in height.
(B) A detached ADU may be up to 18 feet in height if it is created on a lot with an existing or proposed single family or multifamily dwelling unit that is located within one-half mile walking distance of a major 1106
7 transit stop or high quality transit corridor, as those terms are defined in Section 21155 of the Public Resources Code, and the ADU may be up to two additional feet in height (for a maximum of 20 feet) if necessary to accommodate a roof pitch on the ADU that is aligned with the roof pitch of the primary dwelling unit.
(C) A detached ADU created on a lot with an existing or proposed multifamily dwelling that has more than one story above grade may not exceed 18 feet in height.
(D) An ADU that is attached to the primary dwelling may not exceed 25 feet in height or the height limitation imposed by the underlying zone that applies to the primary dwelling, whichever is lower.

Notwithstanding the foregoing, ADUs subject to this subsection D) may not exceed two stories.
(E) For purposes of this subsection 2), height is measured from existing legal grade or the level of the lowest floor, whichever is lower, to the peak of the structure.
(3) Fire Sprinklers.
(A) Fire sprinklers are required in an ADU or JADU if sprinklers are required in the primary residence.
(B) The construction of an ADU or JADU does not trigger a requirement for fire sprinklers to be installed in the existing primary dwelling. (4) Rental Term. No ADU or JADU may be rented for a term that is shorter than 30 days. This prohibition applies regardless of when the ADU or JADU was created.
(5) No Separate Conveyance. An ADU or JADU may be rented, but, except as otherwise provided in Government Code section 66341, no ADU or JADU may be sold or otherwise conveyed separately from the lot and the primary dwelling (in the case of a single-family lot) or from the lot and all of the dwellings (in the case of a multifamily lot).
(6) Septic System. If the ADU or JADU will connect to an onsite wastewatertreatment system, the owner must include with the application a percolation test completed within the last five years or, if the percolation test has been recertified, within the last 10 years.
(7) Owner Occupancy.
(A) ADUs. ADUs are not subject to an owner-occupancy requirement. (B) JADUs.
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8 (i) Generally. As required by state law, JADUs are generally subject to an owner-occupancy requirement. A natural person with legal or equitable title to the property must reside on the property, in either the primary dwelling or JADU, as the person’s legal domicile and permanent residence.
(ii) Exceptions. The owner-occupancy requirement in this subsection B) does not apply in either of the following situations:
(I) The JADU has separate sanitation facilities (i.e., does not share sanitation facilities with the existing primary dwelling unit structure).
(II) The property is entirely owned by another
governmental agency, land trust, or housing
organization.
(8) Deed Restriction. Prior to issuance of a certificate of occupancy for an JADU, a deed restriction must be recorded against the title of the property in the County Recorder’s office and a copy filed with the Director. The deed restriction must run with the land and bind all future owners. The form of the deed restriction will be provided by the city and must provide that:
(A) The JADU may not be sold separately from the primary dwelling. (B) The JADU is restricted to the approved size and to other attributes allowed by this section.
(C) The deed restriction runs with the land and may be enforced against future property owners.
(D) The deed restriction may be removed if the owner eliminates the JADU, as evidenced by, for example, removal of the kitchen facilities.

To remove the deed restriction, an owner may make a written request of the Director, providing evidence that the JADU has in fact been eliminated. The Director may then determine whether the evidence supports the claim that the JADU has been eliminated.

Appeal may be taken from the Director’s determination consistent with other provisions of this Code. If the JADU is not entirely physically removed, but is only eliminated by virtue of having a necessary component of an JADU removed, the remaining structure and improvements must otherwise comply with applicable provisions of this Code.
(E) The deed restriction is enforceable by the director or his or her designee for the benefit of the city. Failure of the property owner to comply with the deed restriction may result in legal action against the 1108
9 property owner, and the city is authorized to obtain any remedy available to it at law or equity, including, but not limited to, obtaining an injunction enjoining the use of the JADU in violation of the recorded restrictions or abatement of the illegal unit. (9) Building & Safety.
(A) Must comply with building code. Subject to subsection B) below, all ADUs and JADUs must comply with all local building code requirements.
(B) No change of occupancy. Construction of an ADU does not constitute a Group R occupancy change under the local building code, as described in Section 310 of the California Building Code, unless the building official makes a written finding based on substantial evidence in the record that the construction of the ADU could have a specific, adverse impact on public health and safety.

Nothing in this subsection B) prevents the city from
changing the occupancy code of a space that was uninhabitable space or that was only permitted for nonresidential use and was subsequently converted for residential use in accordance with this section.
(10) Certificate of Occupancy Timing.
(A) Generally. No certificate of occupancy for an ADU or JADU may be issued before the certificate of occupancy is issued for the primary dwelling unit.
(B) Limited Exception for State-declared Emergencies.

Notwithstanding subsection A) above, a certificate of
occupancy for an ADU may be issued before a certificate of occupancy for the primary dwelling if each of the following requirements are met:
(i) The county is subject to a proclamation of a state of emergency made by the California Governor on or after
February 1, 2025.
(ii) The primary dwelling was substantially damaged or destroyed by an event referenced in the Governor’s state of emergency proclamation.
(iii) The ADU has been issued construction permits and has passed all required inspections.
(iv) The ADU is not attached to the primary dwelling.
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10 (g) Specific ADU Requirements. The following requirements apply only to Class 2 ADUs approved under subsection above. This subsection g) does not apply to Class 1 ADUs or JADUs approved under subsection 1) above. (1) Maximum Size.
(A) The maximum size of a detached or attached ADU subject to this subsection g) is 850 square feet of interior livable space for a studio or one-bedroom unit and 1,000 square feet of interior livable space for a unit with two or more bedrooms.
(B) An attached ADU that is created on a lot with an existing primary dwelling is further limited to 50 percent of the floor area of the existing primary dwelling.
(C) Application of other development standards in this subsection g), such as FAR or lot coverage, might further limit the size of the ADU, but no application of the percent-based size limit in subsection above or of an FAR, front setback, lot coverage limit, or open-space requirement may require the ADU have less than 800 square feet of interior livable space.
(2) Setbacks.
(A) ADUs that are subject to this subsection g) must conform to 4- foot side and rear setbacks. ADUs that are subject to this subsection g) must conform to 20-foot front setbacks, subject to subsection above.
(B) No setback is required for an ADU that is subject to this subsection g) if the ADU is constructed in the same location and to the same dimensions as an existing structure.
(3) Lot Coverage. No ADU subject to this subsection g) may cause the total lot coverage of the lot to exceed 50 percent, subject to subsection above.
(4) Minimum Open Space. No ADU subject to this subsection g) may cause the total percentage of open space of the lot to fall below 50 percent, subject to subsection above.
(5) Passageway. No passageway, as defined by subsection above, is required for an ADU.
(6) Parking.
(A) Generally. One off-street parking space is required for each ADU or bedroom, whichever is less. The parking space may be provided in 1110
11 setback areas or as tandem parking, as defined by subsection above.
(B) Exceptions. No parking under subsection A) is required in the following situations:
(i) The ADU is located within one-half mile walking distance of public transit, as defined in subsection above.
(ii) The ADU is located within an architecturally and historically significant historic district.
(iii) The ADU is part of the proposed or existing primary residence or an accessory structure.
(iv) When on-street parking permits are required but not offered to the occupant of the ADU.
(v) When there is an established car share vehicle stop located within one block of the ADU.
(vi) When the permit application to create an ADU is submitted with an application to create a new single-family or new multifamily dwelling on the same lot, provided that the ADU or the lot satisfies any other criteria listed in subsections g)(6)(B)(i) through (v) above.
(C) No Replacement. When a garage, carport, covered parking structure, or uncovered parking space is demolished in conjunction with the construction of an ADU or converted to an ADU, those offstreet parking spaces are not required to be replaced. (7) Architectural Requirements.
(A) The materials and colors of the exterior walls, roof, and windows and doors must be the same as those of the primary dwelling. (B) The roof slope must match that of the dominant roof slope of the primary dwelling. The dominant roof slope is the slope shared by the largest portion of the roof.
(C) The exterior lighting must be limited to down-lights or as otherwise required by the building or fire code.
(D) The ADU must have an independent exterior entrance, apart from that of the primary dwelling.
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12 (E) The interior horizontal dimensions of an ADU must be at least 10 feet wide in every direction, with a minimum interior wall height of seven feet.
(F) No window or door of the ADU may have a direct line of sight to an adjoining residential property. Each window and door must either be located where there is no direct line of sight or screened using fencing, landscaping, or privacy glass to prevent a direct line of sight. (G) All windows and doors in an ADU less than 30 feet from a property line that is not a public right-of-way line must either be (for windows) clerestory with the bottom of the glass at least six feet above the finished floor, or (for windows and for doors) utilize frosted or obscure glass.
(8) Historical Protections. An ADU that is on or within 600 feet of real property that is listed in the California Register of Historic Resources must be located so as to not be visible from any public right-of-way.
(9) Allowed Stories. No ADU subject to this subsection g) may have more than one story, except that an ADU that is attached to the primary dwelling may have the stories allowed under subparagraph D) of this section.
(h) Fees. The following requirements apply to all Class 1 ADUs and JADUs and Class 2 ADUs that are approved under subsections 1) or above. (1) Impact Fees.
(A) No impact fee is required for a JADU or for an ADU that has less than 750 square feet of interior livable space. For purposes of this subsection 1), “impact fee” means a “fee” under the Mitigation Fee Act (Gov. Code § 66000(b)) and a fee under the Quimby Act (Gov. Code § 66477). “Impact fee” here does not include any connection fee or capacity charge for water or sewer service. (B) A JADU or ADU with less than 500 square feet of interior livable space does not increase assessable space by 500 square feet for purposes of Education Code section 17620(a)(1)(C), and is therefore not subject to school fees under Education Code section 17620. (C) Any impact fee that is required for an ADU that has 750 square feet or more of interior livable space must be charged proportionately in relation to the square footage of the primary dwelling unit. (E.g., the floor area of the ADU, divided by the floor area of the primary dwelling, times the typical fee amount charged for a new dwelling.) (2) Utility Fees.
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13 (A) If an ADU or JADU is constructed with a new single-family home, a separate utility connection directly between the ADU or JADU and the utility and payment of the normal connection fee and capacity charge for a new dwelling are required.
(B) Except as described in subsection A), JADUs and
converted ADUs on a single-family lot that are created under subsection A) above are not required to have a new or
separate utility connection directly between the JADU or ADU and the utility. Nor is a connection fee or capacity charge required.

Notwithstanding the rest of this paragraph, a direct utility connection is required for separate conveyance of an ADU when separate conveyance is allowed under this code.
(C) Except as described in subsection A), all ADUs that are not covered by subsection B) require a new, separate utility connection directly between the ADU and the utility for any utility that is provided by the city. All utilities that are not provided by the city are subject to the connection and fee requirements of the utility provider. (i) The connection is subject to a connection fee or capacity charge that is proportionate to the burden created by the ADU based on either the floor area or the number of drainagefixture units (DFU) values, as defined by the Uniform Plumbing Code, upon the water or sewer system.
(ii) The portion of the fee or charge that is charged by the city may not exceed the reasonable cost of providing this service. (i) Nonconforming Zoning Code Conditions, Building Code Violations, and Unpermitted Structures.
(1) Generally. The city will not deny an ADU or JADU application due to a nonconforming zoning condition, building code violation, or unpermitted structure on the lot that does not present a threat to the public health and safety and that is not affected by the construction of the ADU or JADU. (2) Unpermitted ADUs and JADUs constructed before 2020. (A) Permit to Legalize. As required by state law, the city may not deny a permit to legalize an existing but unpermitted ADU or JADU that was constructed before January 1, 2020, if denial is based on either of the following grounds:
(i) The ADU or JADU violates applicable building standards, or (ii) The ADU or JADU does not comply with state ADU or JADU law or this ADU ordinance (section NN.NNN).
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14 (B) Exceptions:
(i) Notwithstanding subsection above, the city may
deny a permit to legalize an existing but unpermitted ADU or JADU that was constructed before January 1, 2020, if the city makes a finding that correcting a violation is necessary to comply with the standards specified in California Health and Safety Code section 17920.3.
(ii) Subsection above does not apply to a building that is deemed to be substandard in accordance with California Health and Safety Code section 17920.3.
(j)
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Palm Desert City CouncilDecember 11, 2025

Palm Desert City Council
December 11, 2025