Palm Springs City Council
September 26, 2023

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EXHIBIT “B”

INSURANCE PROVISIONS

Including

Verification of Coverage,

Sufficiency of Insurers,

Errors and Omissions Coverage,

Minimum Scope of Insurance,

Deductibles and Self-Insured Retentions, and

Severability of Interests (Separation of Insureds)
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INSURANCE

1. Procurement and Maintenance of Insurance. Contractor shall procure and maintain public liability and property damage insurance against all claims for injuries against persons or damages to property resulting from Contractor’ s performance under this Agreement.

Contractor shall procure and maintain all insurance at its sole cost and expense, in a form and content satisfactory to the City, and submit concurrently with its execution of this Agree ment.

Contractor shall also carry workers’ compensation insurance in accordance with California workers’ compensation laws. Such insurance shall be kept in full force and effect during the term of this Agreement , including any extensions. Such insurance shall not be cancelable without thirty (30) days advance written notice to City of any proposed cancellation. Certificates of insurance evidencing the foregoing and designating the City, its elected officials, officers, employees, agents, and volunteers as additional named insureds by original endorsement shall be delivered to and approved by City prior to commencement of services. The procuring of such insurance and the delivery of policies, certificates, and endorsements evidencing the same sh all not be construed as a limitation of Contractor’s obligation to indemnify City, its elected officials, officers, agents, employees, and volunteers.

2. M inimum Scope of Insurance . The minimum amount of insurance requir ed under this Agreement shall be as follows:

1. Comprehensive general liability and personal injury with limits of at least one million dollars ($1,000,000.00) combined single limit coverage per occurrence and two million dollars ($2,000,000) general aggregate;

2. Automobile liability insurance with limits of at least one million dollars ($1,000,000.00) per occurrence;

3. Professional liability (errors and omissions) insurance with limits of at least one million dollars ($1,000,000.00) per occurrence and two million dollars ($2,000,000) annual aggregate is:
_________ required
____X____ is not required;

4. Workers’ Compensation insurance in the statutory amount as required by the State of California and Employer’s Liability Insurance with limits of at least one million dollars $1 million per occurrence. If Contractor has no employees, Contractor shall complete the City’s Request for Waiver of Workers’ Compensation Insurance Requirement form.

3. Primary Insurance. For any claims related to this Agreement, Contractor ’s insurance coverage shall be primary with respect to the City and its respective elected officials, officers, employees, agents, and volunteers. Any insurance or self -insurance maintained by City and its respective elected officials, officers, employees, agents, and volunteers shall be in excess of Contractor’s insurance and shall not contribute with it. For Workers’ Compensation and Employer’s Liability Insurance only, the insurer shall waive all rights of subrogation and Item 1U - Page 24

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contribution it may have against City, its ele cted officials, officers, employees, agents, and volunteers.

4. Errors and Omissions Coverage . If Errors & Omissions Insurance is required, and if Contractor provides claims made profes sional liability insurance, Contractor shall also agree in writing either (1) to purchase tail insurance in the amount required by this Agreement to cover claims made within three years of the completion of Contractor ’s services under this Agreement, or (2) to maintain professional liability insurance coverage with the same carrier in the amount required by this Agreement for at least three years after completion of Contractor’ s services under this Agreement. Contractor shall also be required to provide evidence to City of the purchase of the required tail insurance or continuation of the professional liability policy.

5. Sufficiency of Insurers. Insurance required in this Agreement shall be provided by authorized insurers in good standing with the State of California. Coverage shall be provided by insurers admitted in the State of California with an A.M. Best’s Key Rating of B++, Class VII, or better, unless otherwise acceptable to the City.

6. Verification of Coverage. Contractor shall furnish City with both certificates of insurance and endorsements, including additional insured endorsements, affecting all of the coverages required by this Agreement. The certificates and endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All proof of insurance is to be received and approved by the City before work commences. City reserves the right to require Contractor’s insurers to provide complete, certified copies of all required insurance policies at any time. Additional insured endorsements are not required for Errors and Omissions and Workers’ Compensation policies.

Verification of Insurance coverage may be provided by: (1) an approved General and/or Auto Liability Endorsement Form for the City of Palm Springs or (2) an acceptable Certificate of Liability Insurance Coverage with an approved Additional Insured Endorsement with the following endorsements stated on the certificate:

A. "The City of Palm Springs, its officials, employees, and agents are named as an additional insured…” ("as respects City of Palm Springs Contract No.___" or "for any and all work performed with the City" may be included in this statement).

B. " This insurance is primary and non- contributory over any insurance or self- insurance the City may have..." ("as respects City of Palm Springs Contract No.___" or " for any and all work performed with the City" may be included in this statement).

C. " Should any of the above- described policies be canceled before the expiration date thereof, the issuing company will mail 30 days written notice to the Certificate Holder named." Language such as, “endeavor to” mail and "but failure to mail such notice shall impose no obligation or liability of any kind upon the company, its agents or representative" is not acceptable and must be crossed out.

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D. Both the Workers’ Compensation and Employers' Liability policies shall contain the insurer's waiver of subrogation in favor of City, its elected officials, officers, employees, agents, and volunteers.

In addition to the endorsements listed above, the City of Palm Springs shall be named the certificate holder on the policies.

All certificates of insurance and endorsements are to be received and approved by the City before work commences. All certificates of insurance must be authorized by a person with authority to bind coverage, whether that is the authorized agent/broker or insurance underwriter.

Failure to obtain the required documents prior to the commencement of work shall not waive the Contractor’s obligation to provide them.

7. Deductibles and Self -Insured Retentions . Any deductibles or self -insured retentions must be declared to and approved by the City prior to commencing any work or services under this Agreement. At the option of the City, either (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions with respect to the City, its elected officials, officers, employees, agents, and volunteers; or (2) Contractor shall procure a bond guaranteeing payment of losses and related investigations, claim administration, and defense expenses.

Certificates of Insurance must include evidence of the amount of any deductible or self -insured retention under the policy. Contractor guarantees payment of all deductibles and self -insured retentions.

8. Severability of Interests (Separation of Insureds) . This insurance applies separately to each insured against whom claim is made or suit is brought except with respect to the limits of the insurer’s liability.

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Exhibit C

EXECUTIVE ORDER N-6-22 CERTIFICATION

Executive Order N-6-22 issued by Governor Gavin Newsom on March 4, 2022, directs all agencies and departments that are subject to the Governor’s authority to (a) terminate any contracts with any individuals or entities that are determined to be a target of economic sanctions against Russia and Russian entities and individuals; and (b) refrain from ent ering into any new contracts with such individuals or entities while the aforementioned sanctions are in effect.

Executive Order N-6-22 also requires that any contractor that: (1) currently has a contract with the City of Palm Springs funded through grant funds provided by the State of California; and/or (2) submits a bid or proposal or otherwise proposes to or enter into or renew a contract with the City of Palm Springs with State of California grant funds, certify that the person is not the target of any economic sanctions against Russia and Russian entities and individuals.

The contractor hereby certifies, SUBJECT TO PENALTY FOR PERJURY, that a) the contractor is not a target of any economic sanctions against Russian and Russian entities and individuals as discussed in Executive Order N-6-22 and b) the person signing below is duly authorized to legally bind the Contractor.

This certification is made under the laws of the State of California.

Signature:

Printed Name:

Title:

Firm Name:

Date:

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Exhibit D

FEDERAL AVIATION ADMINISTRATION

FEDERAL PROVISIONS

Provision
Reference Provision Description
Page
No.

FAA - 01 Access to Records and Reports 2
FAA - 02 Affirmative Action Requirement * 3
FAA – 03 Breach of Contract Terms 5
FAA – 04 Buy American Preference * 6
FAA – 05 Civil Rights General 7
FAA – 06 Civil Rights – Title VI Assurances * 8
FAA – 07 Clean Air and Water Pollution Control 11
FAA – 08 Contract Work Hours and Safety Standards Act Requirements 12 FAA – 09 Copeland Anti-Kickback Act 14
FAA – 10 Davis Bacon Requirements 15
FAA – 11 Debarment and Suspension * 22
FAA – 12 Disadvantaged Business Enterprise * 23
FAA – 13 Distracted Driving 25
FAA – 14 Prohibition on Certain Telecommunications and Video Surveillance Services or Equipment
26 FAA – 15 Drug Free Workplace Requirements (not applicable to Contractors)
27 FAA – 16 Equal Employment Opportunity 28
FAA – 17 Federal Fair Labor Standards Act * 36
FAA – 18 Lobbying and Influencing Federal Employees 37
FAA – 19 Prohibition of Segregated Facilities 38
FAA – 20 Occupational Safety and Health Act of 1970 39
FAA – 21 Procurement of Recovered Materials * 40
FAA – 22 Right to Inventions 41
FAA – 23 Seismic Safety 42
FAA – 24 Tax Delinquency and Felony Convictions* 43
FAA – 25 Termination of Contract 44
FAA – 26 Trade Restriction Certification (Foreign) * 45 FAA – 27 Veteran’s Preference 47
FAA – 28 Domestic Preferences for Procurements * 48

*Solicitation Clause also
Updated 2.8.2023
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FAA - 01 Access to Records and Reports
APPLICABILITY – pertains to all contracts.

The Contractor must maintain an acceptable cost accounting system. The Contractor agrees to provide the City, the Federal Aviation Administration and the Comptroller General of the United States or any of their duly authorized representatives access to any books, documents, papers and records of the Contractor which are directly pertinent to the specific contract for the purpose of making audit, examination, excerpts and transcriptions. The Contractor agrees to maintain all books, records and reports required under this contract for a period of not less than three years after final payment is made and all pending matters are closed.

Reference: 2 CFR § 200.334, 2 CFR § 200.337, FAA Order 5100.38 Item 1U - Page 29

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FAA - 02 Affirmative Action Requirement

NOTICE OF REQUIREMENT FOR AFFIRMATIVE ACTION TO

ENSURE EQUAL EMPLOYMENT OPPORTUNITY
APPLICABILITY – pertains to all contracts over $10,000 as follows:

Construction – AIP funded construction work contracts and subcontracts that exceed $10,000.

Construction work means construction, rehabilitation, alteration, conversion, extension, demolition or repair of buildings, highways or other changes or improvements to real property, including facilities providing utility services. The term also includes the supervision, inspection and other onsite functions incidental to the actual construction.

Equipment – any equipment project exceeding $10,000 that involves installation of equipment onsite (e.g., electrical vault equipment). This provision does not apply to equipment acquisition projects where the manufacture of the equipment takes place offsite at a manufacturer’s plant (e.g., firefighting and snow removal vehicles).

Professional Services – any professional service agreement if the professional services agreement includes tasks that meet the definition of construction work [as defined by the U.S.

Department of Labor (DOL)] and exceeds $10,000. Examples include installation of monitoring systems (e.g., noise, environmental, etc.).

Property/Land – any agreement associated with land acquisition if the agreement includes construction work (defined above) that exceeds $10,000. Examples include demolition of structures or installation of boundary fencing.

REQUIREMENTS -

1. The Contractor’s attention is called to the “Equal Opportunity Clause” and the “Standard Federal Equal Employment Opportunity Construction Contract Specifications” set forth herein.

2. The goals and timetables for minority and female participation, expressed in percentage terms for the Contractor’s aggregate workforce in each trade on all construction work in the covered area, are as follows:

Timetables
Goals for minority participation for each trade: [N/A]
Goals for female participation in each trade: [N/A]
These goals are applicable to all of the Contractor’s construction work (whether or not it is Federal or federally assisted) performed in the covered area. If the Contractor performs construction work in a geographical area located outside of the covered area, it shall apply the goals established for such geographical area where the work is actually performed. With regard to this second area, the Contractor also is subject to the goals for both its federally involved and nonfederally involved construction.

The Contractor’s compliance with the Executive Order and the regulations in 41 CFR Part 60-4 shall be based on its implementation of the Equal Opportunity Clause, specific affirmative action obligations required by the specifications set forth in 41 CFR 60- 4.3(a) and its efforts to meet the goals. The hours of minority and female employment and training must be Item 1U - Page 30

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substantially uniform throughout the length of the contract, and in each trade, and the Contractor shall make a good faith effort to employ minorities and women evenly on each of its projects. The transfer of minority or female employees or trainees from Contractor to Contractor or from project to project for the sole purpose of meeting the Contractor’s goals shall be a violation of the contract, the Executive Order and the regulations in 41 CFR Part 60-

4. Compliance with the goals will be measured against the total work hours performed.

3. The Contractor shall provide written notification to the Director of the Office of Federal Contract Compliance Programs (OFCCP) within 10 working days of award of any construction subcontract in excess of $10,000 at any tier for construction work under the contract resulting from this solicitation. The notification shall list the name, address, and telephone number of the subcontractor; employer identification number of the subcontractor; estimated dollar amount of the subcontract; estimated starting and completion dates of the subcontract; and the geographical area in which the subcontract is to be performed.

4. As used in this notice and in the contract resulting from this solicitation, the “covered area” is California, Riverside County, Palm Springs.

Reference: 41 CFR Part 60-4
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FAA – 03 Breach of Contract
APPLICABILITY – required for all contracts that exceed the simplified acquisition threshold as stated in 2 CFR Part 200, Appendix II (A). This threshold is occasionally adj usted for inflation and is $250,000.

REQUIREMENT -
See Section 4.5 of the Agreement.

Reference: 2 CFR § 200 Appendix II(A)
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FAA – 04 Buy American Preferences
APPLICABILITY – required for contracts defined as follows:
• Construction Projects involving the replacement, rehabilitation, reconstruction of airfield surfaces such as on runways, taxiways, taxilanes, aprons, roadways, parking lots, etc. – Insert the Certificate of compliance to FAA Buy American Preference based on Construction Projects.
• Equipment and Buildings Projects involving and including the acquisition of equipment such as snow removal equipment, navigational aids, wind cones, and the construction of buildings such as hangars, terminal development, lighting vaults, aircraft rescue & firefighting buildings, etc. - Insert the Certificate of Compliance with FAA Buy American Preference Based on Equipment/Building Projects.

REQUIREMENT -
The Contractor certifies that all constructions materials, defined to mean an article, material, or supply other than an item of primarily iron or steel; a manufactured product; cement and cementitious materials; aggregates such as stone, sand, or gravel; or aggregate binding agents or additives that are or consist primarily of: non- ferrous metals; plastic and polymer -based products (including polyvinylchloride, composite building materials, and polymers used in fiber optic cables); glass (including optic glass); lumber; or drywall used in the project are manufactured in the U.S.

Reference: Title 49 USC § 50101
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FAA – 05 Civil Rights General
APPLICABILITY – required for all contracts regardless of funding source.

REQUIREMENT -
In all its activities within the scope of its airport program, the Contractor agrees to comply with pertinent statutes, Executive Orders, and such rules as identified in Title VI List of Pertinent Nondiscrimination Acts and Authorities to ensure that no person shall, on the grounds of race, color, national origin (including limited English proficiency), creed, sex (including se xual orientation and gender identity), age, or disability be excluded from participating in any activity conducted with or benefiting from Federal assistance. The above provision binds the Contractor and subcontractors from the bid solicitation period through the completion of the contract.

This provision is in addition to that required by Title VI of the Civil Rights Act of 1964.

Reference: 49 USC § 47123
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FAA – 06 Civil Rights – Title VI Assurances
APPLICABILITY – required for all contracts.

REQUIREMENT -
Title VI List of Pertinent Nondiscrimination Acts and Authorities During the performance of this contract, the Contractor, for itself, its assignees, and successors in interest (hereinafter referred to as the “Contractor”) agrees to comply with the following non- discrimination statutes and authorities; including but not limited to:
• Title VI of the Civil Rights Act of 1964 (42 USC § 2000d et seq., 78 stat. 252) (prohibits discrimination on the basis of race, color, national origin); • 49 CFR part 21 (N on-discrimination in Federally -Assisted programs of the Department of Transportation—Effectuation of Title VI of the Civil Rights Act of 1964); • The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, (42 USC § 4601) (prohibits unfair treatment of persons displaced or whose property has been acquired because of Federal or Federal-aid programs and projects); • Section 504 of the Rehabilitation Act of 1973 (29 USC § 794 et seq.), as amended (prohibits discrimination on the basis of disability); and 49 CFR part 27 (Nondiscrimination on the Basis of Disability in Programs or Activities Receiving Federal Financial Assistance); • The Age Discrimination Act of 1975, as amended (42 USC § 6101 et seq.) (prohibits discrimination on the basis of age);
• Airport and Airway Improvement Act of 1982 (49 USC § 47123), as amended (prohibits discrimination based on race, creed, color, national origin, or sex); • The Civil Rights Restoration Act of 1987 (PL 100- 259) (broadened the scope, coverage and applicability of Title VI of the Civil Rights Act of 1964, the Age Discrimination Act of 1975 and Section 504 of the Rehabilitation Act of 1973, by expanding the definition of the terms “programs or activities” to include all of the programs or activities of the Federal -aid recipients, sub-recipients and contractors, whether such programs or activities are Federally funded or not);
• Titles II and III of the Americans with Disabilities Act of 1990 (42 USC § 12101, et seq) (prohibit discrimination on the basis of disability in the operation of public entities, public and private transportation systems, places of public accommodation, and certain testing entities) as implemented by U.S. Department of Transportation regulations at 49 CFR parts 37 and 38; • The Federal Aviation Administration’s Nondiscrimination statute (49 USC § 47123) (prohibits discrimination on the basis of race, color, national origin, and sex); • Executive Order 12898, Federal Actions to Address Environmental Justice in Minority Populations and Low- Income Populations (ensures nondiscrimination against minority populations by discouraging programs, policies, and activities with disproportionately high and adverse human health or environmental effects on minority and low-income populations); Item 1U - Page 35

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• Executive Order 13166, Improving Access to Services for Persons with Limited English Proficiency, and resulting agency guidance, national origin discrimination includes discrimination because of limited English proficiency (LEP). To ensure compliance with Title VI, you must take reasonable steps to ensure that LEP persons have meaningful access to your programs [70 Fed. Reg. 74087 (2005)];
• Title IX of the Education Amendments of 1972, as amended, which prohibits you from discriminating because of sex in education programs or activities (20 USC § 1681, et seq).

Compliance with Nondiscrimination Requirements:

During the performance of this contract, the Contractor, for itself, its assignees, and successors in interest (hereinafter referred to as the “Contractor”), agrees as follows:

1. Compliance with Regulations: The Contractor (hereinafter includes consultants) will comply with the Title VI List of Pertinent Nondiscrimination Acts and Authorities, as they may be amended from time to time, which are herein incorporated by reference and made a part of this contract.

2. Nondiscrimination: The Contractor, with regard to the work performed by it during the contract, will not discriminate on the grounds of race, color, national origin (including limited English proficiency), creed, sex (including sexual orientation and gender identity), age, or disability in the selection and retention of subcontractors, including procurements of materials and leases of equipment. The Contractor will not participate directly or indirectly in the discrimination prohibited by the Nondiscrimination Acts and Authorities, including employment practices when the contract covers any activity, project, or program set forth in Appendix B of 49 CFR part 21.

3. Solicitations for Subcontracts, including Procurements of Materials and Equipment:

In all solicitations, either by competitive bidding or negotiation made by the Contractor for work to be performed under a subcontract, including procurements of materials, or leases of equipment, each potential subcontractor or supplier will be notified by the Contractor of the Contractor’s obligations under this contract and the Nondiscrimination Acts and Authorities on the grounds of race, color, or national origin.

4. Information and Reports: The Contractor will provide all information and reports required by the Acts, the Regulations, and directives issued pursuant thereto and will permit access to its books, records, accounts, other sources of information, and its facilities as may be determined by the City or the Federal Aviation Administration to be pertinent to ascertain compliance with such Nondiscrimination Acts and Authorities and instructions. Where any information required of a Contractor is in the exclusive possession of another who fails or refuses to furnish the information, the Contractor will so certify to the City or the Federal Aviation Administration, as appropriate, and will set forth what efforts it has made to obtain the information.

5. Sanctions for Noncompliance: In the event of a Contractor’s noncompliance with the non-discrimination provisions of this contract, the City will impose such contract sanctions as it or the Federal Aviation Administration may determine to be appropriate, including, but not limited to:

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a. Withholding payments to the Contractor under the contract until the Contractor complies; and/or
b. Cancelling, terminating, or suspending a contract, in whole or in part.

6. Incorporation of Provisions: The Contractor will include the provisions of paragraphs one through six in every subcontract, including procurements of materials and leases of equipment, unless exempt by the Acts, the Regulations, and directives issued pursuant thereto. The Contractor will take action with respect to any subcontract or procurement as the City or the Federal Aviation Administration may direct as a means of enforcing such provisions including sanctions for noncompliance. Provided, that if the Contractor becomes involved in, or is threatened with litigation by a subcontractor, or supplier because of such direction, the Contractor may request the City to enter into any litigation to protect the interests of the City. In addition, the Contractor may request the United States to enter into the litigation to protect the interests of the United States.

Reference: 49 USC § 47123, FAA Order 1400.11
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FAA – 07 Clean Air/Water Pollution Control
APPLICABILITY – This provision is required for all contracts and lower tier contracts that exceed $150,000.

REQUIREMENT -
If the Agreement exceeds $150,000, Contractor agrees to comply with all applicable standards, orders, and regulations issued pursuant to the Clean Air Act (42 USC § 7401- 7671q) and the Federal Water Pollution Control Act as amended (33 USC § 1251-1387). The Contractor agrees to report any violation to the City immediately upon discovery. The City assumes responsibility for notifying the Environmental Protection Agency (EPA) and the Federal Aviation Administration.

Contractor must include this requirement in all subcontracts that exceeds $150,000.

Reference: 2 CFR § 200, Appendix II(G); 42 USC § 7401; 33 USC § 1251

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FAA – 08 Contract Work Hours and Safety Standards
APPLICABILITY – This provision is required for contracts as follows:

Contract Work Hours and Safety Standards Act Requirements (CWHSSA) (40 USC §§ 3702 & 3704) requires contractors and subcontractors on covered contracts to pay laborers and mechanics employed in the performance of the contracts not less than one and one- half times their basic rate of pay for all hours worked over 40 in a workweek.

CWHSSA prohibits unsanitary, hazardous, or dangerous working conditions on federally - assisted projects. The Wage and Hour Division (WHD) within the U.S. Department of Labor (DOL) enforces the compensation requirements of this Act, while DOL’s Occupational Safety and Health Administration (OSHA) enforces the safety and health requirements.

Contract Types –
Construction – This provision applies to all contracts and lower tier contracts that exceed $100,000, and employ laborers, mechanics, watchmen, and guards.

Equipment – This provision applies to any equipment project exceeding $100,000 that involves installation of equipment onsite (e.g., electrical vault equipment). This provision does not apply to equipment acquisition projects where the manufacture of the equipment takes place offsite at the vendor plant (e.g., ARFF and SRE vehicles).

Professional Services – This provision applies to professional service agreements that exceed $100,000 and employs laborers, mechanics, watchmen, and guards. This includes members of survey crews and exploratory drilling operations.

Property – While most land transactions do not involve employment of laborers, mechanics, watchmen, and guards, under certain circumstances, a property acquisition project could require such employment. Examples include the installation of property fencing or testing for environmental contamination

CONTRACT WORKHOURS AND SAFETY STANDARDS ACT REQUIREMENTS

1. Overtime Requirements.

No contractor or subcontractor contracting for any part of the contract work which may require or involve the employment of laborers or mechanics shall require or permit any such laborer or mechanic, including watchmen and guards, in any workweek in which he or she is employed on such work to work in excess of forty hours in such workweek unless such laborer or mechanic receives compensation at a rate not less than one and one-half times the basic rate of pay for all hours worked in excess of forty hours in such workweek.

2. Violation; Liability for Unpaid Wages; Liquidated Damages.

In the event of any violation of the clause set forth in paragraph (1) of this clause, the Contractor and any subcontractor responsible therefor shall be liable for the unpaid wages. In addition, such contractor and subcontractor shall be liable to the United States (in the case of work done under contract for the District of Columbia or a territory, to such District or to such territory), for liquidated damages. Such liquidated damages shall be computed with respect to each individual laborer or mechanic, including watchmen and guards, employed in violation of the clause set forth in paragraph (1) of this clause, in the sum of $29 for each calendar day on which such individual was required o r permitted to work in excess of the standard workweek of forty hours without payment of the overtime wages required by the clause set forth in paragraph (1) of this clause.

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3. Withholding for Unpaid Wages and Liquidated Damages.

The Federal Aviation Administration (FAA) or the City shall upon its own action or upon written request of an authorized representative of the Department of Labor withhold or cause to be withheld, from any moneys payable on account of work performed by the Contractor or subcontractor under any such contract or any other Federal contract with the same prime Contractor, or any other federally -assisted contract subject to the Contract Work Hours and Safety Standards Act, which is held by the same prime Contractor, such sums as may be determined to be necessary to satisfy any liabilities of such Contractor or subcontractor for unpaid wages and liquidated damages as provided in the clause set forth in paragraph (2) of this clause.

4. Subcontractors.

The Contractor or subcontractor shall insert in any subcontracts the clauses set forth in paragraphs (1) through (4) and also a clause requiring the subcontractor to include these clauses in any lower tier subcontracts. The prime contractor shall be responsible for compliance by any subcontractor or lower tier subcontractor with the clauses set forth in paragraphs (1) through (4) of this clause.

Reference: 2 CFR Part 200, Appendix II(E); 2 CFR § 5.5(b); 40 USC § 3702; 40 USC § 3704
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FAA – 09 Copeland Anti-Kickback

APPLICABILITY -
The Copeland (Anti-Kickback) Act (18 USC § 874 and 40 USC § 3145) makes it unlawful to induce by force, intimidation, threat of dismissal from employment, or by any other manner, any person employed in the construction or repair of public buildings or public works, financed in whole or in part by the United States, to give up any part of the compensation to which that person is entitled under a contract of employment. The Copeland Act also requires each contractor and subcontractor to furnish weekly a statement of compliance with respect to the wages paid each employee during the preceding week.

Contract Types –
Construction – This provision applies to all construction contracts and subcontracts financed under the AIP that exceed $2,000.

Equipment – This provision applies to all equipment installation projects (e.g., electrical vault improvements) financed under the AIP that exceed $2,000. This provision does not apply to equipment acquisitions where the equipment is manufactured at the vendor’s plant (e.g., SRE and ARFF vehicles).

Professional Services –The emergence of different project delivery methods has created situations where Professional Service Agreements (PSAs) include tasks that meet the definition of construction, alteration, or repair as defined in 29 CFR Part 5. If such tasks result in work that qualifies as construction, alteration, or repair and it exceeds $2,000, the PSA must incorporate the Copeland Anti-kickback provision.

Property –Ordinarily, land acquisition projects would not involve employment of laborers or mechanics and thus the Copeland Anti-Kickback provision would not apply. However, land projects that involve installation of boundary fencing and demolition of structures would involve laborers and mechanics. The City must include this provision if the land acquisition project involves employment of laborers or mechanics for a contract exceeding $2,000.

REQUIREMENT -
Contractor must comply with the requirements of the Copeland “Anti -Kickback” Act (18 USC 874 and 40 USC 3145), as supplemented by Department of Labor regulation 29 CFR part 3. Contractor and subcontractors are prohibited from inducing, by any means, any person employed on the project to give up any part of the compensation to which the employee is entitled. The Contractor and each Subcontractor must submit to the City, a weekly statement on the wages paid to each employee performing on covered work during the prior week. City must report any violations of the Act to the Federal Aviation Administration.

Reference: 2 CFR Part 200, Appendix II(D); 29 CFR Parts 3 and 5 Item 1U - Page 41

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FAA – 10 Davis Bacon Requirements

APPLICABILITY -
The Davis -Bacon Act (40 USC §§ 3141- 3144, 3146, and 3147) ensures that laborers and mechanics employed under the contract receive pay no less than the locally prevailing wages and fringe benefits as determined by the Department of Labor.

Contract Types –
Construction – all construction contracts and subcontracts that exceed $2,000 and include funding from the AIP.

Equipment – This provision applies to all equipment installation projects (e.g., electrical vault improvements) financed under the AIP that exceed $ 2,000. This provision does not apply to equipment acquisitions where the equipment is manufactured at the vendor’s plant (e.g., SRE and ARFF vehicles)
Professional Services – The emergence of different project delivery methods has created situations where Professional Service Agreements (PSAs) includes tasks that meet the definition of construction, alteration, or repair as defined in 29 CFR Part 5. If such tasks result in work that qualifies as construction, alteration, or repair and it exceeds $2,000, the PSA must incorporate this clause.

Property – Ordinarily, land acquisition projects would not involve employment of laborers or mechanics and thus the provision would not apply. However, land projects that involve installation of boundary fencing and demolition of structures would involve laborers and mechanics. The City must include this provision if the land acquisition project involves employment of laborers or mechanics for a contract exceeding $2,000.

Fencing Projects – Fencing projects that exceed $2,000 must include this provision.

DAVIS-BACON REQUIREMENTS

1. Minimum Wages.
(i) All laborers and mechanics employed or working upon the site of the work will be paid unconditionally and not less often than once a week, and without subsequent deduction or rebate on any account (except such payroll deductions as are permitted by the Secretary of Labor under the Copeland Act (29 CFR Part 3)), the full amount of wages and bona fide fringe benefits (or cash equivalent thereof) due at time of payment computed at rates not less than those contained in the wage determination of the Secretary of Labor which is attached hereto and made a part hereof, regardless of any contractual relationship which may be alleged to exist between the Contractor and such laborers and mechanics.

Contributions made or costs reasonably anticipated for bona fide fringe benefits under section 1(b)(2) of the Davis-Bacon Act on behalf of laborers or mechanics are considered wages paid to such laborers or mechanics, subject to the provisions of paragraph (1)(iv) of this section; also, regular contributions made or costs incurred for more than a weekly period (but not less often than quarterly) under plans, funds, or programs which cover the particular weekly period, are deemed to be constructively made or incurred during such weekly period. Such laborers and mechanics shall be paid the appropriate wage rate and fringe benefits on the wage Item 1U - Page 42

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determination for the classification of work actually performed, without regard to skill, except as provided in 29 CFR § 5.5(a)(4). Laborers or mechanics performing work in more than one classification may be compensated at the rate specified for each classification for the time actually worked therein: Provided, that the employer’s payroll records accurately set forth the time spent in each classification in which work is performed. The wage determination (including any additional classification and wage rates conformed under (1)(ii) of this section) and the Davis-Bacon poster (WH -1321) shall be posted at all times by the Contractor and its subcontractors at the site of the work in a prominent and accessible place where it can easily be seen by the workers.
(ii)(A) The contracting officer shall require that any class of laborers or mechanics, including helpers, which is not listed in the wage determination and which is to be employed under the contract shall be classified in conformance with the wage determination. The contracting officer shall approve an additional classification and wage rate and fringe benefits therefore only when the following criteria have been met:
(1) The work to be performed by the classification requested is not performed by a classification in the wage determination;
(2) The classification is utilized in the area by the construction industry; and (3) The proposed wage rate, including any bona fide fringe benefits, bears a reasonable relationship to the wage rates contained in the wage determination. (B) If the Contractor and the laborers and mechanics to be employed in the classification (if known), or their representatives, and the contracting officer agree on the classification and wage rate (including the amount designated for fringe benefits where appropriate), a report of the action taken shall be sent by the contracting officer to the Administrator of the Wage and Hour Division, U.S. Department of Labor, Washington, DC 20210. The Administrator, or an authorized representative, will approve, modify, or disapprove every additional classification action within 30 days of receipt and so advise the contracting officer or will notify the contracting officer within the 30-day period that additional time is necessary. (C) In the event the Contractor, the laborers, or mechanics to be employed in the classification, or their representatives, and the contracting officer do not agree on the proposed classification and wage rate (including the amount designated for fringe benefits, where appropriate), the contracting officer shall refer the questions, including the views of all interested parties and the recommendation of the contracting officer, to the Administrator for determination. The Administrator, or an authorized representative, will issue a determination within 30 days of receipt and so advise the contracting officer or will notify the contracting officer within the 30-day period that additional time is necessary.
(D) The wage rate (including fringe benefits where appropriate) determined pursuant to subparagraphs (1)(ii) (B) or (C) of this paragraph, shall be paid to all workers performing work in the classification under this contract from the first day on which work is performed in the classification.
(iii) Whenever the minimum wage rate prescribed in the contract for a class of laborers or mechanics includes a fringe benefit which is not expressed as an hourly rate, the contractor Item 1U - Page 43

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shall either pay the benefit as stated in the wage determination or shall pay another bona fide fringe benefit or an hourly cash equivalent thereof.
(iv) If the Contractor does not make payments to a trustee or other third person, the Contractor may consider as part of the wages of any laborer or mechanic the amount of any costs reasonably anticipated in providing bona fide fringe benefits under a plan or program, Provided, that the Secretary of Labor has found, upon the written request of the Contractor, that the applicable standards of the Davis -Bacon Act have been met. The Secretary of Labor may require the Contractor to set aside in a separate account assets for the meeting of obligations under the plan or program.

2. Withholding. The Federal Aviation Administration or the CIty shall upon its own action or upon written request of an authorized representative of the Department of Labor withhold or cause to be withheld from the Contractor under this contract or any other Federal contract with the same prime contractor, or any other federally -assisted contract subject to Davis -Bacon prevailing wage requirements, which is held by the same prime contractor, so much of the accrued payments or advances as may be considered necessary to pay laborers and mechanics, including apprentices, trainees, and helpers, employed by the Contractor or any subcontractor the full amount of wages required by the contract. In the event of failure to pay any laborer or mechanic, including any apprentice, trainee, or helper, employed or working on the site of the work, all or part of the wages required by the contract, the Federal Aviation Administration may, after written notice to the Contractor, City, Applicant, or Owner, take such action as may be necessary to cause the suspension of any further payment, advance, or guarantee of funds until such violations have ceased.

3. Payrolls and Basic Records.
(i) Payrolls and basic records relating thereto shall be maintained by the Contractor during the course of the work and preserved for a period of three years thereafter for all laborers and mechanics working at the site of the work. Such records shall contain the name, address, and social security number of each such worker; his or her correct classification; hourly rates of wages paid (including rates of contributions or costs anticipated for bona fide fringe benefits or cash equivalents thereof of the types described in 1(b)(2)(B) of the Davis -Bacon Act); daily and weekly number of hours worked; deductions made; and actual wages paid. Whenever the Secretary of Labor has found under 29 CFR 5.5(a)(1)(iv) that the wages of any laborer or mechanic include the amount of any costs reasonably anticipated in providing benefits under a plan or program described in section 1(b)(2)(B) of the Davis -Bacon Act, the Contractor shall maintain records that show that the commitment to provide such benefits is enforceable, that the plan or program is financially responsible, and that the plan or program has been communicated in writing to the laborers or mechanics affected, and records which show the costs anticipated or the actual costs incurred in providing such benefits. Contractors employing apprentices or trainees under approved programs shall maintain written evidence of the registration of apprenticeship programs and certification of trainee programs, the registration of the apprentices and trainees, and the ratios and wage rates prescribed in the applicable programs. (ii)(A) The Contractor shall submit weekly for each week in which any contract work is performed a copy of all payrolls to the Federal Aviation Administration if the agency is a party to the contract, but if the agency is not such a party, the Contractor will submit the payrolls to the applicant, the City, or Owner, as the case may be, for transmission to the Federal Aviation Item 1U - Page 44

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Administration. The payrolls submitted shall set out accurately and completely all of the information required to be maintained under 29 CFR § 5.5(a)(3)(i), except that full social security numbers and home addresses shall not be included on weekly transmittals. Instead the payrolls shall only need to include an individually identifying number for each employee (e.g., the last four digits of the employee’s social security number). The required weekly payroll information may be submitted in any form desired. Optional Form WH–347 is available for this purpose from the Wage and Hour Division Web site at http://www.dol.gov/esa/whd/forms/wh347instr.htm or its successor site. The prime contractor is responsible for the submission of copies of payrolls by all subcontractors. Contractors and subcontractors shall maintain the full social security number and current address of each covered worker and shall provide them upon request to the Federal Aviation Administration if the agency is a party to the contract, but if the agency is not such a party, the Contractor will submit them to the applicant, the City, or Owner, as the case may be, for transmission to the Federal Aviation Administration, the Contractor, or the Wage and Hour Division of the Department of Labor for purposes of an investigation or audit of compliance with prevailing wage requirements. It is not a violation of this section for a prime contractor to require a subcontractor to provide addresses and social security numbers to the prime contractor for its own records, without weekly submission to the sponsoring government agency (or the applicant, City, or Owner).
(B) Each payroll submitted shall be accompanied by a "Statement of Compliance," signed by the Contractor or subcontractor or his or her agent who pays or supervises the payment of the persons employed under the contract and shall certify the following:
(1) That the payroll for the payroll period contains the information required to be provided under 29 CFR § 5.5(a)(3)(ii), the appropriate information is being maintained under 29 CFR § 5.5 (a)(3)(i), and that such information is correct and complete; (2) That each laborer and mechanic (including each helper, apprentice, and trainee) employed on the contract during the payroll period has been paid the full weekly wages earned, without rebate, either directly or indirectly, and that no deductions have been made either directly or indirectly from the full wages earned, other than permissible deductions as set forth in Regulations, 29 CFR Part 3;
(3) That each laborer or mechanic has been paid not less than the applicable wage rates and fringe benefits or cash equivalents for the classification of work performed, as specified in the applicable wage determination incorporated into the contract. (C) The weekly submission of a properly executed certification set forth on the reverse side of Optional Form WH -347 shall satisfy the requirement for submission of the “Statement of Compliance” required by paragraph (3)(ii)(B) of this section. (D) The falsification of any of the above certifications may subject the Contractor or subcontractor to civil or criminal prosecution under Section 1001 of Title 18 and Section 231 of Title 31 of the United States Code.
(iii) The Contractor or subcontractor shall make the records required under paragraph (3)(i) of this section available for inspection, copying, or transcription by authorized representatives of the City, the Federal Aviation Administration, or the Department of Labor and shall permit such representatives to interview employees during working hours on the job. If the Contractor or subcontractor fails to submit the required records or to make them available, the Federal agency Item 1U - Page 45

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may, after writte n notice to the Contractor, the City, applicant, or Owner, take such action as may be necessary to cause the suspension of any further payment, advance, or guarantee of funds. Furthermore, failure to submit the required records upon request or to make such records available may be grounds for debarment action pursuant to 29 CFR § 5.12.

4. Apprentices and Trainees.
(i) Apprentices. Apprentices will be permitted to work at less than the predetermined rate for the work they performed when they are employed pursuant to and individually registered in a bona fide apprenticeship program registered with the U.S. Department of Labor, Employment and Training Administration, Office of Apprenticeship Training, Employer and Labor Services, or with a State Apprenticeship Agency recognized by the Office, or if a person is employed in his or her first 90 days of probationary employment as an apprentice in such an apprenticeship program, who is not individually registered in the program, but who has been certified by the Off ice of Apprenticeship Training, Employer and Labor Services or a State Apprenticeship Agency (where appropriate) to be eligible for probationary employment as an apprentice. The allowable ratio of apprentices to journeymen on the job site in any craft classification shall not be greater than the ratio permitted to the contractor as to the entire work force under the registered program. Any worker listed on a payroll at an apprentice wage rate, who is not registered or otherwise employed as stated above, shall be paid not less than the applicable wage rate on the wage determination for the classification of work actually performed. In addition, any apprentice performing work on the job site in excess of the ratio permitted under the registered program shall be paid not less than the applicable wage rate on the wage determination for the work actually performed. Where a contractor is performing construction on a project in a locality other than that in which its program is registered, the ratios and wage rates (expressed in percentages of the journeyman’s hourly rate) specified in the Contractor’s or subcontractor’s registered program shall be observed. Every apprentice must be paid at not less than the rate specified in the registered program for the apprentice’s level of progress, expressed as a percentage of the journeymen hourly rate specified in the applicable wage determination.

Apprentices shall be paid fringe benefits in accordance with the provisions of the apprenticeship program. If the apprenticeship program does not specify fringe benefits, apprentices must be paid the full amount of fringe benefits listed on the wage determination for the applicable classification. If the Administrator determines that a different practice prevails for the applicable apprentice classification, fringes shall be paid in accordance with that determination. In the event the Office of Apprenticeship Training, Employer and Labor Services, or a State Apprenticeship Agency recognized by the Office, withdraws approval of an appr enticeship program, the Contractor will no longer be permitted to utilize apprentices at less than the applicable predetermined rate for the work performed until an acceptable program is approved. (ii) Trainees. Except as provided in 29 CFR § 5.16, trainees will not be permitted to work at less than the predetermined rate for the work performed unless they are employed pursuant to and individually registered in a program which has received prior approval, evidenced by formal certification by the U.S. Department of Labor, Employment and Training Administration. The ratio of trainees to journeymen on the job site shall not be greater than permitted under the plan approved by the Employment and Training Administration. Every trainee must be paid at not less than the rate specified in the approved program for the trainee’s level of progress, expressed as a percentage of the journeyman hourly rate specified in the applicable wage determination. Trainees shall be paid fringe benefits in accordance with the provisions of the Item 1U - Page 46

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trainee program. If the trainee program does not mention fringe benefits, trainees shall be paid the full amount of fringe benefits listed on the wage determination unless the Administrator of the Wage and Hour Division determines that there is an apprenticeship program associated with the corresponding journeyman wage rate on the wage determination that provides for less than full fringe benefits for apprentices. Any employee listed on the payroll at a trainee rate that is not registered and participating in a training plan approved by the Employment and Training Administration shall be paid not less than the applicable wage rate on the wage determination for the classification of work actually performed. In addition, any trainee performing work on the job site in excess of the ratio permitted under the registered program shall be paid not less than the applicable wage rate on the wage determination for the work actually performed. In the event the Employment and Training Administration withdraws approval of a training program, the Contractor will no longer be permitted to utilize trainees at less than the applicable predetermined rate for the work performed until an acceptable program is approved. (iii) Equal Employment Opportunity. The utilization of apprentices, trainees, and journeymen under this part shall be in conformity with the equal employment opportunity requirements of Executive Order 11246, as amended, and 29 CFR Part 30.

5. Compliance with Copeland Act Requirements.

The Contractor shall comply with the requirements of 29 CFR Part 3, which are incorporated by reference in this contract.

6. Subcontracts.

The Contractor or subcontractor shall insert in any subcontracts the clauses contained in 29 CFR §§ 5.5(a)(1) through (10) and such other clauses as the Federal Aviation Administration may by appropriate instructions require, and also a clause requiring the subcontractors to include these clauses in any lower tier subcontracts. The prime contractor shall be responsible for the compliance by any subcontractor or lower tier subcontractor with all the contract clauses in 29 CFR § 5.5.

7. Contract Termination: Debarment.

A breach of the contract clauses in paragraph 1 through 10 of this section may be grounds for termination of the contract, and for debarment as a contractor and a subcontractor as provided in 29 CFR § 5.12.

8. Compliance with Davis-Bacon and Related Act Requirements.

All rulings and interpretations of the Davis -Bacon and Related Acts contained in 29 CFR Parts 1, 3, and 5 are herein incorporated by reference in this contract.

9. Disputes Concerning Labor Standards.

Disputes arising out of the labor standards provisions of this contract shall not be subject to the general disputes clause of this contract. Such disputes shall be resolved in accordance with the procedures of the Department of Labor set forth in 29 CFR Parts 5, 6, and 7. Disputes within the meaning of this clause include disputes between the Contractor (or any of its subcontractors) and the contracting agency, the U.S. Department of Labor, or the employees or their representatives.

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10. Certification of Eligibility.
(i) By entering into this contract, the Contractor certifies that neither it (nor he or she) nor any person or firm who has an interest in the Contractor’s firm is a person or firm ineligible to be awarded Government contracts by virtue of section 3(a) of the Davis -Bacon Act or 29 CFR §

5.12(a)(1).
(ii) No part of this contract shall be subcontracted to any person or firm ineligible for award of a Government contract by virtue of section 3(a) of the Davis-Bacon Act or 29 CFR § 5.12(a)(1). (iii) The penalty for making false statements is prescribed in the U.S. Criminal Code, 18 USC § 1001.

Reference: 2 CFR Part 200, Appendix II(D); 29 CFR Part 5; 49 USC § 47112(b); 40 USC §§ 3141-3144, 3146, and 3147
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FAA – 11 Debarment and Suspension
APPLICABILITY - This requirement applies to covered transactions, which are defined in 2 CFR part 180 (Subpart B). AIP funded contracts are non- procurement transactions, as defined by 2 CFR § 180.970. Covered transactions include any AIP -funded contract, regardless of tier, that is awarded by a contractor, subcontractor, supplier, consultant, or its agent or representative in any transaction, if the amount of the contract is expected to equal or exceed $25,000. This includes contracts associated with land acquisition projects.

REQUIREMENT -
A11.3.1 Bidder or Offeror Certification
By submitting a bid/proposal under the solicitation for this contract, the Contractor mus t have certified that neither it nor its principals are presently debarred or suspended by any Federal department or agency from participation in this transaction.

A11.3.2 Lower Tier Contract Certification

CERTIFICATION OF LOWER TIER CONTRACTORS REGARDING DEBARMENT The Contractor, by administering each lower tier subcontract that exceeds $25,000 as a “covered transaction”, must verify each lower tier participant of a “covered transaction” under the project is not presently debarred or otherwise disqualified from participation in this federally assisted project. The Contractor will accomplish this by:

1. Checking the System for Award Management at website: http://www.sam.gov.

2. Collecting a certification statement similar to the Certification of Offerer /Bidder Regarding Debarment, above.

3. Inserting a clause or condition in the covered transaction with the lower tier contract.

If the Federal Aviation Administration later determines that a lower tier participant failed to disclose to a higher tier participant that it was excluded or disqualified at the time it entered the covered transaction, the FAA may pursue any available remedies, including suspension and debarment of the non-compliant participant.

Reference: 2 CFR part 180 (Subpart B), 2 CFR part 200 Appendix II(H), 2 CFR Part 1200, DOT Order 4200.5; Executive Orders 12549 and 12689
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FAA – 12 Disadvantaged Business Enterprise
APPLICABILITY – all contracts with Airports that have a DBE program on file with the FAA.

Contract Assurance (§ 26.13) –
The Contractor or subcontractor shall not discriminate on the basis of race, color, national origin, or sex in the performance of this contract. The Contractor shall carry out applicable requirements of 49 CFR part 26 in the award and administration of Department of Transportation-assisted contracts. Failure by the Contractor to carry out these requirements is a material breach of this contract, which may result in the termination of this contract or such other remedy as the City deems appropriate, which may include, but is not limited to:
1) Withholding monthly progress payments;
2) Assessing sanctions;
3) Liquidated damages; and/or
4) Disqualifying the Contractor from future bidding as non-responsible.

Prompt Payment (§26.29) – The prime contractor agrees to pay each subcontractor under this prime contract for satisfactory performance of its contract no later than [10 days] days from the receipt of each payment the prime contractor receives from [the City]. The prime contractor agrees further to return r etainage payments to each subcontractor within [30 days] days after the subcontractor’s work is satisfactorily completed. Any delay or postponement of payment from the above referenced time frame may occur only for good cause following written approval of the [City]. This clause applies to both DBE and non-DBE subcontractors.

Termination of DBE Subcontracts (49 CFR § 26.53(f)) –
The prime Contractor must not terminate a DBE subcontractor listed in response to the solicitation (or an approved substitute DBE firm) without prior written consent of the City. This includes, but is not limited to, instances in which the prime contractor seeks to perform work originally designated for a DBE subcontractor with its own forces or those of an affiliate, a non - DBE firm, or with another DBE firm.

The prime Contractor shall utilize the specific DBEs listed to perform the work and supply the materials for which each is listed unless the Contractor obtains written consent of the City.

Unless City consent is pr ovided, the prime Contractor shall not be entitled to any payment for work or material unless it is performed or supplied by the listed DBE.

The City may provide such written consent only if the City agrees, for reasons stated in the concurrence document, that the prime Contractor has good cause to terminate the DBE firm.

For purposes of this paragraph, good cause includes the circumstances listed in 49 CFR §26.53.

Before transmitting to the City its request to terminate and/or substitute a DBE subcontracto r, the prime Contractor must give notice in writing to the DBE subcontractor, with a copy to the City, of its intent to request to terminate and/or substitute, and the reason for the request.

The prime contractor must give the DBE five days to respond to the prime contractor's notice and advise the City and the Contractor of the reasons, if any, why it objects to the proposed Item 1U - Page 50

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termination of its subcontract and why the City should not approve the prime Contractor's action. If required in a particular case as a matter of public necessity (e.g., safety), the City may provide a response period shorter than five days.

In addition to post-award terminations, the provisions of this section apply to preaward deletions of or substitutions for DBE firms put forward by offerors in negotiated procurements.

Reference: 49 CFR part 26
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FAA – 13 Distracted Driving
APPLICABILITY - contracts that exceed the micro-purchase threshold of 2 CFR § 200.320 (currently set at $10,000).

REQUIREMENT -

TEXTING WHEN DRIVING
In accordance with Executive Order 13513, “Federal Leadership on Reducing Text Messaging While Driving”, (10/1/2009) and DOT Order 3902.10, “Text Messaging While Driving”, (12/30/2009), the Federal Aviation Administration encourages recipients of Federal grant funds to adopt and enforce safety policies that decrease crashes by distracted drivers, including policies to ban text messaging while driving when performing work related to a grant or subgrant.

In support of this initiative, the City encourages the Contractor to promote policies and initiatives for its employees and other work personnel that decrease crashes by distracted drivers, including policies that ban text messaging while driving motor vehicles while performing work activities associated with the project. The Contractor must include the substance of this clause in all sub-tier contracts exceeding $10,000 that involve driving a motor vehicle in performance of work activities associated with the project.

Reference: Executive Order 13513, DOT Order 3902.10
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FAA – 14 Prohibition on Certain Telecommunications and Video Surveillance Services and Equipment
APPLICABILITY - all AIP funded contracts and lower-tier contracts.

REQUIREMENT -
Contractor and Subcontractor agree to comply with mandatory standards and policies relating to use and procurement of certain telecommunications and video surveillance services or equipment in compliance with the National Defense Authorization Act [Public Law 115- 232 § 889(f)(1)].

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FAA – 15 Drug Free Workplace Requirements
APPLICABILITY - This provision applies to all AIP funded projects, but not to the contracts between the City and a contractor, subcontractors, suppliers, or subgrantees.

The Drug -Free Workplace Act of 1988 requires some Federal contractors and all Federal grantees to agree that they will provide drug -free workplaces as a condition of receiving a contract or grant from a Federal agency. The Act does not apply to contractors, subcontractors, or subgrantees, although the Federal grantees workplace may be where the contractors, subcontractors, or subgrantees are working.

Reference: 49 CFR part 32, Drug-Free Workplace Act of 1988 (41 U.S.C. 701 et seq., as amended)

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FAA – 16 Equal Employment Opportunity
APPLICABILITY – The purpose of this provision is to provide equal opportunity for all persons, without regard to race, color, religion, sex, or national origin who are employed or seeking employment with contractors performing under a federally-assisted construction contract. There are two provisions ― a construction clause and a specification clause.

The equal opportunity contract clause applies to any contract or subcontract when the amount exceeds $10,000. Once the equal opportunity clause is determined to be applicable, the contract or subcontract must include the clause for the remainder of the year, regardless of the amount or the contract.

Contract Types –
Construction – all construction contracts and subcontracts as required above.

Equipment – all equipment contracts as required above that involves installation of equipment onsite (e.g., electrical vault equipment). This provision does not apply to equipment acquisiti on projects where the manufacture of the equipment takes place offsite at the vendor plant (e.g., ARFF and SRE vehicles).

Professional Services – all professional service agreements as required above.

Property – all land acquisition projects that include work that qualifies as construction work as defined by 41 CFR part 60 as required above. An example is installation of boundary fencing.

REQUIREMENT -
A16.3.1 EEO Contract Clause
During the performance of this contract, the Contractor agrees as follows:
(1) The Contractor will not discriminate against any employee or applicant for employment because of race, color, religion, sex, sexual orientation, gender identity, or national origin.

The Contractor will take affirmative action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, color, religion, sex, sexual orientation, gender identify, or national origin. Such action shall include, but not be limited to, the following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff, or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The Contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided setting forth the provisions of this nondiscrimination clause. (2) The Contractor will, in all solicitations or advertisements for employees placed by or on behalf of the Contractor, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, sexual orientation, gender identity, or national origin.
(3) The contractor will not discharge or in any other manner discriminate against any employee or applicant for employment because such employee or applicant has inquired about, discussed, or disclosed the compensation of the employee or applicant or another employee or applicant. This provision shall not apply to instances in which an employee who has Item 1U - Page 55

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access to the compensation information of other employees or applicants as a part of such employee's essential job functions discloses the compensation of such other employees or applicants to individuals who do not otherwise have access to such information, unless such disclosure is in response to a formal complaint or charge, in furtherance of an investigation, proceeding, hearing, or action, including an investigation conducted by the employer, or is consistent with the contractor's legal duty to furnish information. (4) The Contractor will send to each labor union or representative of workers with which it has a collective bargaining agreement or other contract or understanding, a notice to be provided by the agency contracting officer, advising the labor union or workers’ representative of the Contractor’s commitments under this section 202 of Executive Order 11246 of September 24, 1965, and shall post copies of the notice in conspicuous places available to employees and applicants for employment.
(5) The Contractor will comply with all provisions of Executive Order 11246 of September 24, 1965, and of the rules, regulations, and relevant orders of the Secretary of Labor. (6) The Contractor will furnish all information and reports required by Executive Order 11246 of September 24, 1965, and by the rules, regulations, and orders of the Secretary of Labor, or pursuant thereto, and will permit access to his books, records, and accounts by the contracting agency and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders.
(7) In the event of the Contractor’s noncompliance with the nondiscrimination clauses of this contract or with any such rules, regulations, or orders, this contract may be canceled, terminated, or suspended in whole or in part and the Contractor may be declared ineligible for further Government contracts in accordance with procedures authorized in Executive Order 11246 of September 24, 1965, and such other sanctions may be imposed and remedies invoked as provided in Executive Order 11246 of September 24, 1965, or by rule, regulation, or order of the Secretary of Labor, or as otherwise provided by law. (8) The Contractor will include the provisions of paragraphs (1) through (8) in every subcontract or purchase order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to section 204 of Executive Order 11246 of September 24, 1965, so that such provisions will be binding upon each subcontractor or vendor. The Contractor will take such action with respect to any subcontract or purchase order as may be directed by the Secretary of Labor as a means of enforcing such provisions, including sanctions for noncompliance: Provided, however, that in the event the contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction, the Contractor may request the United States to enter into such litigation to protect the interests of the United States.

A16.3.2 EEO Specification

STANDARD FEDERAL EQUAL EMPLOYMENT OPPORTUNITY

CONSTRUCTION CONTRACT SPECIFICATIONS
a. “Covered area” means the geographical area described in the solicitation from which this contract resulted;
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b. “Director” means Director, Office of Federal Contract Compliance Programs (OFCCP), U.S.

Department of Labor, or any person to whom the Director delegates authority; c. “Employer identification number” means the Federal social security number used on the Employer’s Quarterly Federal Tax Return, U.S. Treasury Department Form 941; d. “Minority” includes:
(1) Black (all persons having origins in any of the Black African racial groups not of Hispanic origin);
(2) Hispanic (all persons of Mexican, Puerto Rican, Cuban, Central or South American, or other Spanish culture or origin, regardless of race);
(3) Asian and Pacific Islander (all persons having origins in any of the original peoples of the Far East, Southeast Asia, the Indian Subcontinent, or the Pacific Islands); and (4) American Indian or Alaskan native (all persons having origins in any of the original peoples of North America and maintaining identifiable tribal affiliations through membership and participation or community identification).

2. Whenever the Contractor, or any subcontractor at any tier, subcontracts a portion of the work involving any construction trade, it shall physically include in each subcontract in excess of $10,000 the provisions of these specifications and the Notice which contains the applicable goals for minority and female participation and which is set forth in the solicitations from which this contract resulted.

3. If the Contractor is participating (pursuant to 41 CFR part 60 -4.5) in a Hometown Plan approved by the U.S. Department of Labor in the covered area either individually or through an association, its affirmative action obligations on all work in the Plan area (including goals and timetables) shall be in accordance with that Plan for those trades which have unions participating in the Plan. Contractors must be able to demonstrate their participation in and compliance with the provisions of any such Hometown Plan. Each contractor or subcontractor participating in an approved plan is individually required to comply with its obligations under the EEO clause and to make a good faith effort to achieve each goal under the Plan in each trade in which it has employees. The overall good faith performance by other contractors or subcontractors toward a goal in an approved Plan does not excuse any covered contractor’s or subcontractor’s failure to take good faith efforts to achieve the Plan goals and timetables.

4. The Contractor shall implement the specific affirmative action standards provided in paragraphs 7a through 7p of these specifications. The goals set forth in the solicitation from which this contract resulted are expressed as percentages of the total hours of employment and training of minority and female utilization the Contractor should reasonably be able to achieve in each construction trade in which it has employees in the covered area. Covered construction contractors performing construction work in a geographical areas where they do not have a Federal or federally assisted construction contract shall apply the minority and female goals established for the geographical area where the work is being performed. Goals are published periodically in the Federal Register in notice form, and such notices may be obtained from any Office of Federal Contract Compliance Programs office or from Federal procurement contracting officers.

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The Contractor is expected to make substantially uniform progress in meeting its goals in each craft during the period specified.

5. Neither the provisions of any collective bargaining agreement, nor the failure by a union with whom the Contractor has a collective bargaining agreement, to refer either minorities or women shall excuse the Contractor’s obligations under these specifications, Executive Order 11246, or the regulations promulgated pursuant thereto.

6. In order for the nonworking training hours of apprentices and trainees to be counted in meeting the goals, such apprentices and trainees must be employed by the Contractor during the training period, and the Contractor must have made a commitment to employ the apprentices and trainees at the completion of their training, subject to the availability of employment opportunities. Trainees must be trained pursuant to training programs approved by the U.S. Department of Labor.

7. The Contractor shall take specific affirmative actions to ensure equal employment opportunity. The evaluation of the Contractor’s compliance with these specifications shall be based upon its effort to achieve maximum results from its actions. The Contractor shall document these efforts fully, and shall implement affirmative action steps at least as extensive as the following:
a. Ensure and maintain a working environment free of harassment, intimidation, and coercion at all sites, and in all facilities at which the Contractor’s employees are assigned to work. The Contractor, where possible, will assign two or more women to each construction project. The Contractor shall specifically ensure that all foremen, superintendents, and other onsite supervisory personnel are aware of and carry out the Contractor’s obligation to maintain such a working environment, with specific attention to minority or female individuals working at such sites or in such facilities. b. Establish and maintain a current list of minority and female recruitment sources, provide written notification to minority and female recruitment sources and to community organizations when the Contractor or its unions have employment opportunities available, and maintain a record of the organizations’ responses. c. Maintain a current file of the names, addresses, and telephone numbers of each minority and female off -the-street applicant and minority or female referral from a union, a recruitment source, or community organization and of what action was taken with respect to each such individual. If such individual was sent to the union hiring hall for referral and was not referred back to the Contractor by the union or, if referred, not employed by the Contractor, this shall be documented in the file with the reason therefor, along with whatever additional actions the Contractor may have taken. d. Provide immediate written notification to the Director when the union or unions with which the Contractor has a collective bargaining agreement has not referred to the Contractor a minority person or woman sent by the Contractor, or when the Contractor has other information that the union referral process has impeded the Contractor’s efforts to meet its obligations.
e. Develop on-the-job training opportunities and/or participate in training programs for the area which expressly include minorities and women, including upgrading programs Item 1U - Page 58

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and apprenticeship and trainee programs relevant to the Contractor’s employment needs, especially those programs funded or approved by the Department of Labor.

The Contractor shall provide notice of these programs to the sources compiled under 7b above.
f. Disseminate the Contractor’s EEO policy by providing notice of the policy to unions and training programs and requesting their cooperation in assisting the Contractor in meeting its EEO obligations; by including it in any policy manual and collective bargaining agreement; by publicizing it in the company newspaper, annual report, etc.; by specific review of the policy with all management personnel and with all minority and female employees at least once a year; and by posting the company EEO policy on bulletin boards accessible to all employees at each location where construction work is performed.
g. Review, at least annually, the company’s EEO policy and affirmative action obligations under these specifications with all employees having any responsibility for hiring, assignment, layoff, termination, or other employment decisions including specific review of these items with onsite supervisory personnel such superintendents, general foremen, etc., prior to the initiation of construction work at any job site. A written record shall be made and maintained identifying the time and place of these meetings, persons attending, subject matter discussed, and disposition of the subject matter. h. Disseminate the Contractor’s EEO policy externally by including it in any advertising in the news media, specifically including minority and female news media, and providing written notification to and discussing the Contractor’s EEO policy with other contractors and subcontractors with whom the Contractor does or anticipates doing business. i. Direct its recruitment efforts, both oral and written, to minority, female, and community organizations, to schools with minority and female students and to minority and female recruitment and training organizations serving the Contractor’s recruitment area and employment needs. Not later than one month prior to the date for the acceptance of applications for apprenticeship or other training by any recruitment source, the Contractor shall send written notification to organizations such as the above, describing the openings, screening procedures, and tests to be used in the selection process.
j. Encourage present min ority and female employees to recruit other minority persons and women and, where reasonable, provide after school, summer, and vacation employment to minority and female youth both on the site and in other areas of a contractor’s work force.
k. Validate all tests and other selection requirements where there is an obligation to do so under 41 CFR part 60-3.
l. Conduct, at least annually, an inventory and evaluation at least of all minority and female personnel, for promotional opportunities and encourage these employees to seek or to prepare for, through appropriate training, etc., such opportunities. m. Ensure that seniority practices, job classifications, work assignments, and other personnel practices do not have a discriminatory effect by continually monitoring all Item 1U - Page 59

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personnel and employment related activities to ensure that the EEO policy and the Contractor’s obligations under these specifications are being carried out. n. Ensure that all facilities and company activities are nonsegregated exc ept that separate or single- user toilet and necessary changing facilities shall be provided to assure privacy between the sexes.
o. Document and maintain a record of all solicitations of offers for subcontracts from minority and female construction contractors and suppliers, including circulation of solicitations to minority and female contractor associations and other business associations.
p. Conduct a review, at least annually, of all supervisor’s adherence to and performance under the Contractor’s EEO policies and affirmative action obligations.

8. Contractors are encouraged to participate in voluntary associations, which assist in fulfilling one or more of their affirmative action obligations (7a through 7p). The efforts of a contractor association, joint contractor -union, contractor-community, or other similar group of which the Contractor is a member and participant may be asserted as fulfilling any one or more of its obligations under 7a through 7p of these specifications provided that the Contractor actively participates in the group, makes every effort to assure that the group has a positive impact on the employment of minorities and women in the industry, ensures that the concrete benefits of the program are reflected in the Contractor’s minority and female workforce participation, makes a good faith effort to meet its individual goals and timetables, and can provide access to documentation which demonstrates the effectiveness of actions taken on behalf of the Contractor. The obligation to comply, however, is the Contractor’s and failure of such a group to fulfill an obligation shall not be a defense for the Contractor’s noncompliance.

9. A single goal for minorities and a separate single goal for women have been established.

The Contractor, however, is required to provide equal employment opportunity and to take affirmative action for all minority groups, both male and female, and all women, both minority and non- minority. Consequently, the Contractor may be in violation of the Executive Order if a particular group is employed in a substantially disparate manner (for example, even though the Contractor has achieved its goals for women generally, the Contractor may be in violation of the Executive Order if a specific minority group of women is underutilized).

10. The Contractor shall not use the goals and timetables or affirmative action standards to discriminate against any person because of race, color, religion, sex, sexual orientation, gender identity, or national origin.

11. The Contractor shall not enter into any subcontract with any person or firm debarred from Government contracts pursuant to Executive Order 11246.

12. The Contractor shall carry out such sanctions and penalties for violation of these specifications and of the Equal Opportunity Clause, including suspension, termination, and cancellation of existing subcontracts as may be imposed or ordered pursuant to Executive Order 11246, as amended, and its implementing regulations, by the Office of Federal Contract Compliance Programs. Any contractor who fails to carry out such sanctions and Item 1U - Page 60

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penalties shall be in violation of these specifications and Executive Order 11246, as amended.

13. The Contractor, in fulfilling its obligations under these specifications, shall implement specific affirmative action steps, at least as extensive as those standards prescribed in paragraph 7 of these specifications, so as to achieve maximum results from its efforts to ensure equal employment opportunity. If the Contractor fails to comply with the requirements of the Executive Order, the implementing regulations, or these specifications, the Director shall proceed in accordance with 41 CFR part 60-4.8.

14. The Contractor shall designate a responsible official to monitor all employment related activity t o ensure that the company EEO policy is being carried out, to submit reports relating to the provisions hereof as may be required by the Government, and to keep records. Records shall at least include for each employee, the name, address, telephone numbers, construction trade, union affiliation if any, employee identification number when assigned, social security number, race, sex, status (e.g., mechanic, apprentice, trainee, helper, or laborer), dates of changes in status, hours worked per week in the indicated trade, rate of pay, and locations at which the work was performed. Records shall be maintained in an easily understandable and retrievable form; however, to the degree that existing records satisfy this requirement, contractors shall not be required to maintain separate records.

15. Nothing herein provided shall be construed as a limitation upon the application of other laws which establish different standards of compliance or upon the application of requirements for the hiring of local or other area residents (e.g. those under the Public Works Employment Act of 1977 and the Community Development Block Grant Program).

Reference: 2 CFR 200, Appendix II(C), 41 CFR § 60- 1.4, 41 CFR § 60- 4.3, Executive Order 11246

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FAA – 17 Federal Fair Labor Standards Act
APPLICABILITY – Contract Types – Per the Department of Labor, all employees of certain enterprises having workers engaged in interstate commerce; producing goods for interstate commerce; or handling, selling, or otherwise working on goods or materials that have been moved in or produced for such commerce by any person are covered by the FLSA.

All consultants, sub-consultants, contractors, and subcontractors employed under this federally assisted project must comply with the FLSA.

Professional Services – 29 CFR § 213 exempts employees in a bona fide executive, administrative or professional capacity. Because professional firms employ individuals that are not covered by this exemption, the agreement with a professional services firm must include the FLSA provision.

REQUIREMENT -
The provisions of 29 CFR part 201, the Federal Fair Labor Standards Act (FLSA), are incorporated by reference with the same force and effect as if given in full text. The FLSA sets minimum wage, overtime pay, recordkeeping, and child labor standards for full and part -time workers.

The Contractor has full responsibility to monitor compliance to the referenced statute or regulation. The Contractor must address any claims or disputes that arise from this requirement directly with the U.S. Department of Labor – Wage and Hour Division.

Reference: 29 USC § 201, et seq; 2 CFR § 200.430
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FAA – 18 Lobbying and Influencing Federal Employees
APPLICABILITY- all contracts exceeding $100,000.

REQUIREMENT -
Consultants and contractors that apply or bid for an award of $100,000 or more must have certified that it will not and has not used Federal appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee of any agency , a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal contract, grant, or another award covered by 31 USC §1352. Each tier must also disclose any lobbying with non -Federal funds that takes place in connection with obtaining any Federal award.

For an award over $100,00, the bidder or offeror certifies by signing and submitting this bid or proposal, to the best of his or her knowledge and belief, that:
• No Federal appropriated funds have been paid or will be paid, by or on behalf of the bidder or offeror, to any person for influencing or attempting to influence an officer or employee of an agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement. • If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form -LLL, “Disclosure Form to Report Lobbying,” in accordance with its instructions.
• The undersigned shall require that the language of this certification be included in the award documents for all sub- awards at all tiers (including subcontracts, sub -grants, and contracts under grants, loans, and cooperative agreements) and that all sub- recipients shall certify and disclose accordingly.

This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352, title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure.

Reference: 31 USC § 1352 – Byrd Anti-Lobbying Amendment, 2 CFR part 200, Appendix II(I), 49 CFR part 20, Appendix A
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FAA – 19 Prohibition of Segregated Facilities
APPLICABILITY - The Contractor must comply with the requirements of the EEO clause by ensuring that facilities they provide for employees are free of segregation on the basis of race, color, religion, sex, sexual orientation, gender identity, or national origin. This clause must be included in all contracts that include the equal opportunity clause, regardless of the amount of the contract.

Contract Types – any contract containing the Equal Employment Opportunity clause of 41 CFR § 60-1.4. This obligation flows down to s ubcontract and sub-tier purchase orders containing the Equal Employment Opportunity clause.

Construction – Construction work means construction, rehabilitation, alteration, conversion, extension, demolition or repair of buildings, highways, or other changes or improvements to real property, including facilities providing utility services. The term also includes the supervision, inspection, and other onsite functions incidental to the actual construction.

Equipment – On site installation of equipment such as airfield lighting control equipment meets the definition of construction and thus this provision would apply. This provision does not apply to equipment projects involving manufacture of the item at a vendor’s manufacturing plant. An example would be the manufacture of a SRE or ARFF vehicle.

Professional Services – Professional services that include tasks that qualify as construction work as defined by 41 CFR part 60 -1. Examples include the installation of nois e monitoring equipment.

Property/Land – Land acquisition contracts that include tasks that qualify as construction work as defined by 41 CFR part 60- 1. Examples include demolition of structures or installation of boundary fencing.

REQUIREMENT -
(a) The Contractor agrees that it does not and will not maintain or provide for its employees any segregated facilities at any of its establishments, and that it does not and will not permit its employees to perform their services at any location under its control where segregated facilities are maintained. The Contractor agrees that a breach of this clause is a violation of the Equal Employment Opportunity clause in this contract. (b) “Segregated facilities,” as used in this clause, means any waiting rooms, work areas, res t rooms and wash rooms, restaurants and other eating areas, time clocks, locker rooms and other storage or dressing areas, parking lots, drinking fountains, recreation or entertainment areas, transportation, and housing facilities provided for employees that are segregated by explicit directive or are in fact segregated on the basis of race, color, religion, sex, sexual orientation, gender identity, or national origin because of written or oral policies or employee custom. The term does not include separate or single-user rest rooms or necessary dressing or sleeping areas provided to assure privacy between the sexes. (c) The Contractor shall include this clause in every subcontract and purchase order that is subject to the Equal Employment Opportunity clause of this contract.

Reference: 2 CFR Part 200, Appendix II (C); 41 CFR Part 60-1 Item 1U - Page 64

Revised 4.13.23 Page 61 of 70

FAA – 20 Occupational Safety and Health Act
APPLICABILITY – Contract Types – All contracts and subcontracts must comply with the Occupational Safety and Health Act of 1970 (OSH). The U.S. Department of Labor Occupational Safety and Health Administration (OSHA) oversees the workplace health and safety standards wage provisions from OSH.

REQUIREMENT -
All contracts and subcontracts that result from this solicitation incorporate by r eference the requirements of 29 CFR Part 1910 with the same force and effect as if given in full text. The employer must provide a work environment that is free from recognized hazards that may cause death or serious physical harm to the employee. The employer retains full responsibility to monitor its compliance and their subcontractor’s compliance with the applicable requirements of the Occupational Safety and Health Act of 1970 (29 CFR Part 1910). The employer must address any claims or disputes that pertain to a referenced requirement directly with the U.S.

Department of Labor – Occupational Safety and Health Administration.

Reference: 29 CFR part 1910
Item 1U - Page 65

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FAA – 21 Procurement of Recovered Materials
APPLICABILITY – Contract Types – This provision applies to any contracts that include procurement of products designated in subpart B of 40 CFR part 247 where the purchase price of the item exceeds $10,000 or the value of the quantity acquired by the preceding fiscal year exceeded $10,000.

Construction and Equipment – all construction and equipment projects.

Professional Services and Property – if the agreement includes procurement of a product that exceeds $10,000.

REQUIREMENT -
Contractor and subcontractor agree to comply with Section 6002 of the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act, and the regulatory provisions of 40 CFR Part 247. In the performance of this contract and to the extent practicable, the Contractor and subcontractors are to use products containing the highest percentage of recovered materials for items designated by the Environmental Protection Agency (EPA) under 40 CFR Part 247 whenever:
1) The contract requires procurement of $10,000 or more of a designated item during the fiscal year; or
2) The contractor has procured $10,000 or more of a designated item using Federal funding during the previous fiscal year.

The list of EPA -designated items is available at www.epa.gov/smm/comprehensive - procurement-guidelines-construction-products.

Section 6002(c) establishes exceptions to the preference for recovery of EPA -designated products if the contractor can demonstrate the item is:
a) Not reasonably available within a timeframe providing for compliance with the contract performance schedule;
b) Fails to meet reasonable contract performance requirements; or c) Is only available at an unreasonable price.

Reference: 2 CFR § 200.323, 2 CFR Part 200, Appendix II (J); 40 CFR part 247, 42 USC § 6901, et seq (Resource Conservation and Recovery Act)
Item 1U - Page 66

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FAA – 22 Rights to Inventions
APPLICABILITY – Contract Types – This provision applies to all contracts and subcontracts with small business firms or nonprofit organizations that include performance of experimental, developmental, or research work. This clause is not applicable to construction, equipment, or professional service contracts unless the contract includes experimental, developmental, or research work.

REQUIREMENT -
Contracts or agreements that include the performance of experimental, developmental, or research work must provide for the rights of the Federal Government and the City in any resulting invention as established by 37 CFR part 401, Rights to Inventions Made by Non- profit Organizations and Small Business Firms under Government Grants, Contracts, and Cooperative Agreements. This contract incorporates by reference the patent and inventions rights as specified within 37 CFR §401.14. Contractor must include this requirement in all sub- tier contracts involving experimental, developmental, or research work.

Reference: 2 CFR § 200, Appendix II(F), 37 CFR 401

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FAA - 23 Seismic Safety
APPLICABILITY – Contract Types – This provision applies to construction of new bui ldings and additions to existing buildings financed in whole or in part through the Airport Improvement Program.

Professional Services– any contract involved in the construction of new buildings or structural addition to existing buildings.

Construction – any contract involved in the construction of new buildings or structural addition to existing buildings.

Equipment – if the project involves construction or structural addition to a building such as an electrical vault project to accommodate or install equipment.

Land – This provision will not typically apply to a property/land project.

REQUIREMENT -
A23.3.1 Professional Service Agreements for Design

SEISMIC SAFETY
In the performance of design services, the Consultant agrees to furnish a building design and associated construction specification that conform to a building code standard that provides a level of seismic safety substantially equivalent to standards as established by the National Earthquake Hazards Reduction Program (NEHRP). Local building codes that model their building code after the current version of the International Building Code (IBC) meet the NEHRP equivalency level for seismic safety. At the conclusion of the design services, the Consultant agrees to furnish the Owner a “certification of compliance” that attests conformance of the building design and the construction specifications with the seismic standards of NEHRP or an equivalent building code.

A23.3.2 Construction Contracts

SEISMIC SAFETY
The Contractor agrees to ensure that all work performed under this contract, including work performed by subcontractors, conforms to a building code standard that provides a level of seismic safety substantially equivalent to standards established by the National Earthquake Hazards Reduction Program (NEHRP). Local building codes that model their code after the current version of the International Building Code (IBC) meet the NEHRP equivalency level for seismic safety.

Reference: 49 CFR Part 41
Item 1U - Page 68

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FAA – 24 Tax Delinquency and Felony Conviction
APPLICABILITY – This provision applies to all contracts funded in whole or part with AIP.

REQUIREMENT -
The Contractor must have certified under the procurement process that resulted in the award of this contract that:
• Contractor has not been convicted of a Federal felony within the last 24 months; or • Contractor does not have any outstanding tax liability for which all judicial and administrative remedies have lapsed or been exhausted.

Reference: Sections 8113 of the Consolidated Appropriations Act, 2022 (Public Law 117-103), and similar provisions in subsequent appropriations acts.

DOT Order 4200.6 – Appropriations Act Requirements for Procurement and Non-Procurement Regarding Tax Delinquency and Felony Convictions

Item 1U - Page 69

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FAA – 25 Termination of Contract
APPLICABILITY – All contracts and subcontracts in excess of $10,000.

REQUIREMENT -
See Section 4.5 of the Agreement.

Reference: 2 CFR § 200 Appendix II(B), FAA Advisory Circular 150/5370-10, Section 80-09 Item 1U - Page 70

Revised 4.13.23 Page 67 of 70

FAA – 26 Foreign Trade Restriction
APPLICABILITY – all AIP funded projects.

REQUIREMENT -

TRADE RESTRICTION CERTIFICATION
By accepting this contract the Contractor certifies the following statements are true – 1) is not owned or controlled by one or more citizens of a foreign country included in the list of countries that discriminate against U.S. firms as published by the Office of the United States Trade Representative (USTR);
2) has not knowingly entered into any contract or subcontract for this project with a person that is a citizen or national of a foreign country included on the list of countries that discriminate against U.S. firms as published by the USTR; and 3) has not entered into any subcontract for any product to be used on the Federal project that is produced in a foreign country included on the list of countries that discriminate against U.S. firms published by the USTR.

This certification concerns a matter within the jurisdiction of an agency of the United States of America and the making of a false, fictitious, or fraudulent certification may render the maker subject to prosecution under Title 18 USC Section 1001.

The Contractor must provide immediate written notice to the City if the Contractor learns that its certification or that of a subcontractor was erroneous when submitted or has become erroneous by reason of changed circumstances. The Contractor must require subcontractors provide immediate written notice to the Contractor if at any time it learns that its certification was erroneous by reason of changed circumstances.

Unless the restrictions of this clause are waived by the Secretary of Transportation in accordance with 49 CFR 30.17, no contract shall be awarded to an Offeror or subcontractor:
1) who is owned or controlled by one or more citizens or nationals of a foreign country included on the list of countries that discriminate against U.S. firms published by the USTR or
2) whose subcontractors are owned or controlled by one or more citizens or nationals of a foreign country on such USTR list or
3) who incorporates in the public works project any product of a foreign country on such USTR list.

Nothing contained in the foregoing shall be construed to require establishment of a system of records in order to render, in good faith, the certification required by this provision. The knowledge and information of a contractor is not required to exceed that which i s normally possessed by a prudent person in the ordinary course of business dealings.

The Contractor agrees it will incorporate this provision for certification without modification in all lower tier subcontracts. The Contractor may rely on the certification of a prospective subcontractor that it is not a firm from a foreign country included on the list of countries that Item 1U - Page 71

Revised 4.13.23 Page 68 of 70

discriminate against U.S. firms as published by USTR, unless the Contractor has knowledge that the certification is erroneous.

This certification is a material representation of fact upon which reliance was placed when making an award. If it is later determined that the Contractor or subcontractor knowingly rendered an erroneous certification, the Federal Aviation Administration (FAA) may direct through the City cancellation of the contract or subcontract for default at no cost to the City or the FAA.

Reference: 49 USC § 50104, 49 CFR part 30

Item 1U - Page 72

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FAA – 27 Veteran’s Preference
APPLICABILITY – This provision applies to all AIP funded projects that involve labor to carry out the project. This preference, which excludes executive, administrative, and supervisory positions, applies to covered veterans [as defined under § 47112(c)] only when they are readily available and qualified to accomplish the work required by the project.

REQUIREMENT -
In the employment of labor (excluding executive, administrative, and supervisory positions), the Contractor and all sub- tier contractors must give preference to covered veterans as defined within Title 49 United States Code Section 47112. Covered veterans include Vietnam -era veterans, Persian Gulf veterans, Afghanistan -Iraq war veterans, disabled veterans, and small business concerns (as defined by 15 USC 632) owned and controlled by disabled veterans .

This preference only applies when there are covered veterans readily available and qualified to perform the work to which the employment relates.

Reference: 49 USC § 47112(c)
Item 1U - Page 73

Revised 4.13.23 Page 70 of 70

FAA – 28 Domestic Preferences for Procurements
APPLICABILITY – all contracts and Purchase orders for work or products under the grant.

REQUIREMENT -
The Contractor certifies by signing and submitting its bid or proposal that, to the greatest extent practicable, the Contractor has provided a preference for the purchase, acquisition, or use of goods, products, or materials produced in the United States (including, but not limited to, iron, aluminum, steel, cement, and other manufactured products) in compliance with 2 CFR § 200.322.

Reference: 2 CFR § 200.322; 2 CFR Part 200, Appendix II(L)

Item 1U - Page 74

ATTACHMENT B

PUBLIC INTEGRITY BUSINESS DISCLOSURE
Item 1U - Page 75
~
2,

3. .4,

5. Name of ~ntify

PUBLIC INTEGRITY DISCLOSURE
APPLICANT DlSCLOSURE FO.RM

RED RAWR SERVICES INC
Addres.s of Entity (Prin.c.ip_ar Place of Busine.ss)
2 62 :;E l S;f STREET, PERttl.S CA .~2.570
Local -0r Galifornia Address (ff different than #2)
N I~.

State wher-e Entity is Registered with :Secrefary of State,

CALIFORNIA
If oth~ tnan Callforni~. is the Entity also t~ lstered In California? Yes q No Type of Entity
00 Corporation D Llmited~Uabitity Cbrnpan,y O Pa.rtnership O Tr1.tst D Other (plea..se specify)

6.- Officers , Directors , Members ,. Manag~rs , Trust~es ; Other Fiductaries (pleas-e specify) Note: 11 any respon _se _ls no( a natur~I person, please i~entify aJJ offjcers, director$, memb.ers, ·managers . and other fl.ducf aries for the member, mana·ger, trµst, or other eotity
SCOT'D MQORE I&] Officer D Drrector D Mem.ber D Manag~r (name] 0 G'.eneral Partner D Limited Partn·e-r
[]Other ..

JACOB MOOaE . 00 Officer D Oir¢ct_or O Member O M·a·nager [name] O .Ge"neral Partner D Limited Partner
Othe r
D Officei D Olre-cto.r O Member D Manager
[name] D General Partner D Limited Partner
O ottieJ
Item 1U - Page 76

7. owners/lnvestots with a 5% beneffcla_l intere_st in the Appli_cant Entity or -a related entity•

EXAMPLE
JA_NE DOE 50%-, ABC COM_pAN¥, Inc.
[oame of owner/investor] (p_erceh(age-of beneficial interest in entity .and. name of entity]
A,
·SCOT~ MOORE 1001
_[name of owner/investor] [percentage of beneflc_ial .interest in ,entity and. name of entity]

8. [name of owner1inv.estor] [percentage-o.f beneficial interest in .entity .and name of entity].

C.
[name of ownerlinv.estor] [11eroenta9e of beneficlal interesi in enttty -and name of en~ity]
D .
.
[!1ame oi owner/investor-] [percentage of benefiaial interest in entity ·and name of entity)
E.
[rame of owner/investor] {percent~ge :of beneficial interest in entity and·n~.m~ ef el)tity]
I DECLARE· UNDER PENALTY OF Pf:RJURY UNDER,THE LAWS OF TME STATE OF- CALIFORNIA THAT THE FOREGOING IS. TRUE-A~O CORRECT~
S1g~ los1~ me,. n1e Date
o:a/ 2.2./23
: ,. •• . ~. · .. ,..... -PR~!=::TnliThfll1
Item 1U - Page 77

CITY COUNCIL STAFF REPORT
09/26/2023
SUBJECT:

APPROVE THE DONATION OF A 2010 MIGHTY MOVER TRAILER, EQUIPMENT NO. 2T9210, TO THE INDIO POLICE DEPARTMENT
RECOMMENDATION:

Waive the surplus equipment bid and auction requirements of Section 7.07.020 (3) of the Municipal Code and approve the donation of the surplus 2010 Mighty Mover trailer to the Indio Police Department.

1. Authorize the City Manager to execute all necessary documents2.

Attachments
Item 1V

CITY COUNCIL STAFF REPORT

DATE: S EPTEMBER 26, 2023 CONSENT CALENDAR

SUBJECT: APPROVE THE DONATION OF A 2010 MIGHTY MOVER TRAILER, EQUIPMENT NO. 2T9210, TO THE INDIO POLICE DEPARTMENT

FROM: Scott C. Stiles, City Manager

BY: Police Department

SUMMARY:

The City of Palm Springs purchased a 2023 Stealth trailer that was placed into service as a DUI enforcement trailer on August 2, 2023. The addition of the new DUI trailer resulted in the surplus of a 2010 Mighty Mover trailer that was placed into service in 2010 as a DUI enforcement trailer. The Indio Police Department has indicated that they need a DUI trailer and are willing to accept the transfer of ownership of the 2010 Mighty Mover trailer.

The Department recommends the trailer be donated to the City of Indio, through its Police Department.

RECOMMENDATION:

1. Waive the surplus equipment bid and auction requirements of Section 7.07.020 (3) of the Municipal Code and approve the donation of the surplus 2010 Mighty Mover trailer to the Indio Police Department.

2. Authorize the City Manager to execute all necessary documents.

BACKGROUND:

On July 15, 2009, Palm Springs City Council accepted grant funding from the California Office of Traffic Safety to be used towards the purchase of a DUI trailer . Using this funding, the City purchased a 24-foot Mighty Mover trailer, assigned Equipment Number 2T9210, which went into service on May 5, 2010.

On September 29, 2022, Palm Springs City Council accepted grant funding from the California Office of Traffic Safety to be used towards the purchase of a new DUI trailer.

The City has purchased a 2023 Stealth trailer, which has been fully equipped as a DUI enforcement trailer and was put into service on August 2, 2023. With the acquisition of the new trailer, the Department no longer has use for the 2010 trailer.

Item 1V - Page 1
City Council Staff Report
September 26, 2023 – Page 2
DUI Trailer Donation

STAFF ANALYSIS:

The City of Palm Springs Fleet Maintenance Manager has estimated the surplus value of the 2010 Mighty Mover trailer at less than $1,000. It is estimated that continued maintenance and repair of the trailer will exceed the value of the item. The Director of Procurement and Contracting has canvassed all other City Departments, as required by Section 7.07.020 (5) of the Municipal Code and has determined that this surplus property has no beneficial use to any of those Departments. Pursuant to Section 7.07.020 (6)(g) of the Municipal Code, surplus property may be donated to a non- profit organization or other public entity following determination by the City Council the donation would serve a public purpose. The donation of the trailer to the Indio Police Department would not only provide a resource for their department, but it would also reinforce Coachella Valley-wide law enforcement efforts to reduce drugged and impaired driving on our roadways.

The Police Department has access to a newly purchased DUI enforcement trailer and is no longer in need of the 2010 Mighty Mover trailer. The Indio Police Department has drafted a letter ( Attachment A ) indicating they are willing to accept the transfer of ownership of the trailer, which would be used for DUI enforcement by their agency. Staff recommends donation of the 2010 Mighty Mover trailer to the Indio Police Department.

ENVIRONMENTAL ASSESSMENT:

The requested City Council action is not a "Project" as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a "Project" means the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. According to Section 15378(b), a “Project” does not include: (5) Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.

FISCAL IMPACT:

The surplus value of the 2010 Mighty Mover trailer is estimated at less than $1,000. It is anticipated that the donation of this item would better serve the City of Indio in our joint efforts to reduce the impacts of drugged and impaired driving throughout the Coachella Valley.

REVIEWED BY:

Department Director: Andrew G. Mills
Procurement and Contracting Director: Kim Baker
City Manager: Scott Stiles

ATTACHMENTS:

A. Indio Police Department Letter
Item 1V - Page 2
ATTACHMENT "A"
Item 1V - Page 3
Item 1V - Page 4
Mike Washburn

INDIO POLICE DEPARTMENT
46-800 JACKSON STREET· INDIO, CALIFORNIA 92201
Phone (760) 391-4057 • Fax (760) 391-4036 • lndio.org
Our Community. . .Our Commitment
Chiefof Police February 10, 2016
Chief Andrew Mills
Palm Springs Police Department
200 S. Civic Drive
Palm Springs, CA 92262
Sent via email: Andrew. [email protected]
Re: Request to acquire Palm Springs Police Department's used DUI Trailer
Dear Chief Mills,
This letter is following up on communication last week between Sergeant Kevin Lu of your department and Sergeant Jeff Bottoms from IPD related to the potential acquisition, by the Indio Police Department, of your used DUI Trailer.

We are fully aware and accept the following conditions related to the equipment:
• IPD is aware PSPD has an additional DUI Trailer due to the fact you recently acquired a new one
• IPD understands PSPD used the trailer for DUI checkpoints and enforcement, and IPD will utilize the equipment in the same manner.
• IPD will accept the trailer if it is available.

Thank you for your consideration of this request and assistance to tacilitate the transter it accepted. Please feel free to contact Assistant Chief Chris Shaefer at [email protected] or by telephone at 760- 391-4118 if you have any questions.

Cordially,
~~ "'-✓---­
Mike Washburn
Chief of Police
Cc: Sergeant Kevin Lu ([email protected] ) and Sergeant Jeff Bottoms ([email protected] )
INTEGRITY  PROFESSIONALISM  SERVICE  RESPECT INDIO  l•lfflidi·M-EIO,,M,li

CITY COUNCIL STAFF REPORT
09/26/2023
SUBJECT:

ADOPT A RESOLUTION IDENTIFYING PALM SPRINGS, CALIFORNIA, AS A PARTNER WITH THE GOVERNOR’S OFFICE OF EMERGENCY SERVICES IN THE

QUAKE SAFE CITY PROGRAM
RECOMMENDATION:

Adopt a resolution entitled, "A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF PALM SPRINGS, CALIFORNIA, TO PARTICIPATE IN THE CALIFORNIA QUAKE SAFE CITY PROGRAM"
Attachments
Item 1W

CITY COUNCIL STAFF REPORT

DATE: S EPTEMBER 26, 2023 CONSENT CALENDAR

SUBJECT: ADOPT A RESOLUTION IDENTIFYING PALM SPRINGS, CALIFORNIA , AS A PARTNER WITH THE GOVERNOR’S OFFICE OF EMERGENCY

SERVICES IN THE QUAKE SAFE CITY PROGRAM

FROM: Scott C. Stiles, City Manager

BY: Fire Department, Emergency Management

SUMMARY:

The California Governor’s office is requesting the City of Palm Springs be one of first ten cities in California to participate in the Governor’s “Quake Safe” City program. This flexible program is about educating our communit y and business partners on the importance of earthquake preparedness. The City would be joining the State in memorializing our commitment to keeping our community ready by prioritizing earthquake preparedness.

Participating cities will be highlighted in a Governor’s press release.

RECOMMENDATION:

1. Adopt a resolution between CalOES and the City of Palm Springs , California, for earthquake early warning and Quake Safe City.

STAFF ANALYSIS:

Palm Springs is surrounded by a number of major and minor earthquake fault s.

Earthquakes range in severity with the potential consequences being the loss of life and/or long-term damage to infrastructure. Education and outreach to the community and our business partners enables them to be prepared for an earthquake or other disaster.

Early detection and warning systems give advanced notice providing crucial seconds to “drop, cover, and hold.”

The California Office of Emergency Services (CalOES) reached out to the City of Palm Springs requesting the City to be one of first ten cities in California to participate in the Governor’s “Quake Safe” City program. The program focuses on education and outreach as well as participation in early warning programs.

The City has a robust outreach and education program and actively raises awareness for Item 1W - Page 1
City Council Staff Report
September 26, 2023 – Page 2
Quake Safe City Resolution
all-hazards preparedness, including earthquakes. The City provides monthly education on the importance of emergency and disaster preparedness through a variety of methods including outreach to the Organized Neighborhoods of Palm Springs (ONE-PS). The City also hosts multiple 20-hour Community Emergency Response Team (CERT) training and certifications courses annually.

The City advocates for all residents, businesses, and visitors to be informed. This includes signing up for emergency notifications.

FISCAL IMPACT:

The City’s participation in the State’s “Quake Safe” City program provides the City access to State messaging and outreach material at no cost. This includes California Quake Safe branding and advertising.

REVIEWED BY:

Emergency Manager: Daniel DeSelms
Department Director: Paul Alvarado
City Manager: Scott Stiles
ATTACHMENTS:

A.)
Quake Safe City Resolution
Item 1W - Page 2

ATTACHMENT A
Item 1W - Page 3
RESOLUTION NO. _____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PALM SPRINGS, CALIFORNIA, TO PARTICIPATE IN THE

CALIFORNIA QUAKE SAFE CITY PROGRAM

WHEREAS, Earthquakes range in severity and potential impact in terms of damage and lives lost. Earthquakes can happen anywhere and anytime. and

WHEREAS, Earthquake Warning California is a public awareness campaign conducted by the California Governor’s Office of Emergency Services. The education and outreach program aims to raise awareness about the need for all Californians to be earthquake prepared for the moment when an earthquake strikes and the after -event recovery. Statewide outreach and coordination with cities is essential to meet our goals and help save lives; and

WHEREAS, the California Governor’s Office of Emergency Services wants to enter into a partnership with the City of Palm Springs to establish a flexible framework to educate residents about earthquakes through the first of it kind initiative “Quake Safe City;” and

WHEREAS, the Participants share mutual concern on the occurrence of earthquakes having adverse effects on the life and health of their population, damaging property and the environment, and having a negative impact on the economy and infrastructure of the affected territories; and

WHEREAS, Cal OES is founded on public service, and exists to protect lives, property, and the environment, through effective preparedness, response and recover y from all threats, risks, and emergencies. Cal OES continues to promote good practices in disaster risk management, ensuring the State’s preparedness through strong leadership, collaboration and significant partnerships; and

WHEREAS, the City Council of Palm Springs, California plays a key role in reducing earthquake risks, enhancing community resilience, and implementing activities for the prevention, mitigation, warning, response, and recovery of all disasters; and

WHEREAS, the cooperation between the City of Palm Springs and Cal OES plays a fundamental role in implementing solidarity between the people and in joining forces with the public and private sector in order to prevent, mitigate, and improve adverse effects from emergencies and disasters

THE CITY COUNCIL OF THE CITY OF PALM SPRINGS DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1.

T hat the foregoing Recitals are true and correct and are incorporated herein by this reference.

SECTION 2. Participants will work in good faith and in joint partnership and Item 1W - Page 4
Resolution No. _____

cooperation between Cal OES and the City Council of Palm Springs, California will collaborate in prevention and mitigation to provide a broad framework for cooperation and support between the Participants in developing risk reduction initiatives that will continue to promote improved emergency services to individuals, families, communities, and the public and private sector;

Participants will pursue the following common objectives: a) raise awareness through earthquake education and risk management; b) build thriving communities via Earthquake Early Warning integration; c) facilitate a statewide initiative through robust public outreach; d) expand training and exercises and sharing best pract ices with public and private sectors; and e) build community resilience through preparedness and mitigation;

Participants will identify areas of cooperation related to prevention, preparedness and response to disasters and emergencies and enjoy the benefits that can derive from the exchange of scientific and technical information and experts;

Participants will seek opportunities to scale up infrastructure improvements, leverage technology and facilitate access to resources to build a state- wide movement for earthquake planning and preparedness;

Participants will proactively deploy Earthquake Early Warning technology, such as MyShake App, on all city devices;

Participants will engage in statewide and local earthquake drills (including and not limited to the Great California ShakeOut in October), organize local earthquake events and include earthquake preparedness messages in public events and addresses;

Participants will regularly share inspiring and instructive messages on social media, host and promote local events, and identify local organization and businesses to foster educational outreach.

SECTION 3.

Make sure that the Resolution always contains a header for all pages except the first page. It should read as shown on the next page. Do not add any additional footers, etc. ALWAYS RUN SPELL CHECK! [ABC]

SECTION 4. The last section is always followed by the following verbiage:

ADOPTED THIS ___TH DAY OF ________________, _________.

SCOTT C. STILES

CITY MANAGER

ATTEST:

Item 1W - Page 5
Resolution No. _____

BRENDA PREE

CITY CLERK
Item 1W - Page 6
Resolution No. _____

CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.

CITY OF PALM SPRINGS )

I, BRENDA PREE , City Clerk of the City of Palm Springs, hereby certify that Resolution No. ____ is a full, true and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Springs on _______________________, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Springs, California, this ______ day of ______________, _________.

Brenda Pree, City Clerk
City of Palm Springs, California
Item 1W - Page 7

CITY COUNCIL STAFF REPORT
09/26/2023
SUBJECT:

UPDATE ON SISTER CITY PROGRAM
RECOMMENDATION:

Allow Al Jones, President of the Board, to update Council on the program and its activity.

Attachments
Item 1X

CITY COUNCIL STAFF REPORT

DATE: SEPTEMBER 26, 2023 CONSENT CALENDAR

SUBJECT: UPDATE ON SISTER CITY PROGRAM

FROM: Scott C. Stiles, City Manager

SUMMARY:

On January 26, 2023, the City Council approved a Sister Cities International Program Agreement with San Miguel de Allende, Guanajuato, Mexico. Since then, both Cities held missions to connect Chambers of Commerce and program “ambassadors,” learn from one another, and discuss potential exchange programs.

RECOMMENDATION:

Allow Al Jones, President of the Board, to update Council on the program and its activity.

BACKGROUND:

The Sister City Board is undertaking programs and activities including:

• P romoting and expanding tourism,
• C reating opportunities for economic growth,
• S ponsoring municipal business and trade exchanges,
• Publicizing and marketing our respective artistic exhibits and performing arts, and • Developing and implementing cultural exchange programs.

ALIGNMENT WITH STRATEGIC PLANNING:

N/A.

FISCAL IMPACT
:

Occasional expenses associated with proposed activities have been budgeted in Fiscal Years 2023-25.

REVIEWED BY:

City Manager: Scott Stiles

Item 1X - Page 1

CITY COUNCIL STAFF REPORT
09/26/2023
SUBJECT:

AUTHORIZE ISSUANCE OF A LETTER TO GOVERNOR GAVIN NEWSOM

REGARDING THE URGENT NEED FOR FUNDING FOLLOWING TROPICAL

STORM HILARY
RECOMMENDATION:

Authorize issuance of a letter to Governor Gavin Newsom regarding the urgent need for funding following Tropical Storm Hilary.

Attachments
Item 1Y

CITY COUNCIL STAFF REPORT

DATE: SEPTEMBER 26, 2023 CONSENT CALENDAR

SUBJECT: AUTHORIZE ISSUANCE OF A LETTER TO GOVERNOR

GAVIN NEWSOM REGARDING THE URGENT NEED FOR FUNDING

FOLLOWING TROPICAL STORM HILARY

FROM: Scott C. Stiles, City Manager

BY: Brenda Pree, City Clerk

RECOMMENDATION:

Authorize issuance of a letter to Governor Gavin Newsom regarding the urgent need for funding following Tropical Storm Hilary.

BACKGROUND:

At the request of Councilmember Middleton,
the City Council is asked to consider issuing
a letter ( Attachment A ) to Governor Gavin Newsom regarding the urgent need for funding following Tropical Storm Hilary.

FISCAL IMPACT:

There is no fiscal impact.

REVIEWED BY:

Department Director: Brenda Pree
City Manager: Scott Stiles

ATTACHMENTS:

A. Letter to Governor Gavin Newsom

Item 1Y - Page 1
Post Office Box 27 43 • Palm Springs, California 9 2263-2743

ATTACHMENT A
Letter to Governor Gavin Newsom
Item 1Y - Page 2
City of Palm Spring s
Office of the City Council
Mayor Grace Garner • Mayor Pro Tem Jeffrey Bernstein
Ron deHarte • Christy Holstege • Lisa Middleton
3200 E. Tahquitz Canyon Way • Palm Springs, California 92262 Tel: 760.323.8200 • Fax: 760.323.8207 • TDD 760.864.9527 • www.palmspringsca.gov Post Office Box 2743 • Palm Springs, California 92263-2743 September 26, 2023
Governor Gavin Newsom
State of California
1021 O Street, Suite 9000
Sacramento, CA 95814
RE: Urgent need for funding following Tropical Storm Hilary Dear Gov. Newsom:

Thank you for your recent visit to the City of Palm Springs as we braced for Tropical Storm Hilary. When we met with you on Sunday, we expressed our concerns that the desert would be immobilized by devastating flood waters and high winds. The storm’s destruction will no doubt impact our community for the weeks and months to come.

Your decision to mobilize state resources was hugely beneficial. However, additional funding is critical if we are going to not only rebuild our communities’ infrastructure, but also ensure we are better positioned for future storms.

One of the hardest hit roadways was Indian Canyon Drive, a critical connection point for the Cities of Palm Springs and Desert Hot Springs and the quickest route from Interstate 10 to reach the Coachella Valley’s only Level 1 trauma center. As you will see from the
photos and news coverage on
www.cvag.org/flooding, large
chunks of Indian Canyon are
washed away and the remaining
roadway has sustained
considerable damage. Our most
optimistic estimates say the road
will be closed for weeks, but it
may take longer. This closure is
already paralyzing the region's
transportation network and
preventing our residents from
accessing work, school and other
essential services . A lternative
routes are turning into parking lots
as frustrated residents try to make
it to their destinations.

Climate data trends for the Palm Springs area indicate that unpredictable weather events , such as extended droughts and major flood events , are becoming even more frequent with climate change. Our cities have been working closely with the Coachella Valley Association of Governments (CVAG) to address roadways like Indian Canyon Drive, which has long been a top priority project for the entire Coachella Valley. Last month, CVAG submitted an application to the California Transportation Commission’s (CTC) Local Transportation Climate Adaptation Program for what we are calling the Addressing Climate Change, Emergencies and Sand Storms (ACCESS) – Indian Canyon Drive Project. The ACCESS project includes improvements that increase our climate Item 1Y - Page 3

Post Office Box 2743 • Palm Springs, California 92263-2743 resiliency, enhance mobility, preserve the environment, and improve public health and safety for residents and visitors. Specifically, the project includes two bridges to elevate at -grade crossings along the Whitewater River. It also includes a solar-shaded active transportation pathway that connects Desert Hot Springs to CV Link, a 40-mile bike, pedestrian, and low -speed electric vehicle pathway. The project also includes wildlife undercrossing s that protects the ecosystem for threatened and endangered species, which aligns with the Coachella Valley Multiple Species Habitat Conservation Plan. We are seeking $50 million for this $74 million project, with CVAG and our local agencies covering the remaining costs.

The solution for Indian Canyon stemmed from a Flood and Blowsand Risk Assessment and Improvement Plan that CVAG wrapped in 2019. The study identified solutions to increase the resilience of impacted local roads and find more cost-effective alternatives to keep roads like Indian Canyon open. Thoughtful placement of pre -fabricated bridges and culverts have replaced previous plans of a $250 milli on bridge that extends across the entirety of the Whitewater River.

Tropical Storm Hilary is unfortunately just the latest climate related event to wreak havoc on our community and local roads. In 2019, the Coachella Valley experienced the Valentine’s Day deluge that also flooded Indian Canyon Drive, Gene Autry, and Vista Chino – the same roads that are now damaged and closed as a result of Tropical Storm Hilary. Even before this storm, in 2023 alone, Indian Canyon Drive has been closed for 38 days due to flood and blowsand events. It becomes nearly impossible to get in and out of our cities after these events. Emergency response times are compromised due to the impassable roads, putting lives at risk during critical situations. The repair of these roads is not just a matter of convenience but a necessity for the safety, economic stability, and overall wellbeing of our residents.

As we have after previous storms, our communities are now banding together to clear our roads and repair the damage. But as the Coachella Valley continues to feel the impacts of climate change, we need the State’s continued partnership in order to take a more proactive approach – and to secure funding for long-term solutions that will keep roads such as Indian Canyon open during future weather events. Should you have any questions or need additional information, please contact Mayor Grace Garner at [email protected] .

Sincerely,

Grace Garner, Mayor

Jeffrey Bernstein, Mayor Pro Tem Ron deHarte, Council Member

Christy Holstege, Council Member Lisa Middleton, Council Member

Item 1Y - Page 4
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CITY COUNCIL STAFF REPORT
09/26/2023
SUBJECT:

A REQUEST BY CITY OF PALM SPRINGS FOR A GENERAL PLAN AMENDMENT

TO ADOPT ITS SIXTH CYCLE HOUSING ELEMENT AND APPROVE THE

ASSOCIATED EIR ADDENDUM
RECOMMENDATION:

Open the public hearing and receive public testimony.1.

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

CITY OF PALM SPRINGS, CALIFORNIA, APPROVING AN ADDENDUM TO

THE PREVIOUSLY CERTIFIED ENVIRONMENTAL IMPACT REPORT TO THE 2007 GENERAL PLAN FOR AN AMENDMENT TO THE HOUSING ELEMENT AND ADOPTING THE 2021-2029 HOUSING ELEMENT UPDATE.”

2. Attachments
Item 2A

CITY COUNCIL STAFF REPORT

DATE: S EPTEMBER 26, 2023 PUBLIC HEARING

SUBJECT: A REQUEST BY CITY OF PALM SPRINGS FOR A GENERAL PLAN

AMENDMENT TO ADOPT ITS SIXTH CYCLE HOUSING ELEMENT AND

APPROVE THE ASSOCIATED EIR ADDENDUM

FROM: Scott C. Stiles, City Manager

BY: Department of Planning Services

SUMMARY:

The purpose of this public hearing item is to consider the 6th cycle draft Housing Element for the 2021- 2029 planning period. In July 2021, the Planning Commission and City Council first reviewed the draft Housing Element and provided feedback, prior to the City submitting the draft to the California Department of Housing and Community Development (HCD) for review and certification. HCD has conducted three reviews of the draft Housing Element and determined in May 2023 that the draft addresses most statutory requirements and the C ity may adopt the draft Housing Element after making additional revisions. While the City hasn’t received a conditional certification from HCD, the City may adopt the draft Housing Element to maintain a compliant housing element in accordance with state law.

RECOMMENDATION:

1. Open the public hearing and receive public testimony,

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

CITY OF PALM SPRINGS, CALIFORNIA, APPROVING AN ADDENDUM TO THE PREVIOUSLY CERTIFIED ENVIRONMENTAL IMPACT REPORT TO THE 2007

GENERAL PLAN FOR AN AMEN DMENT TO THE HOUSING ELEMENT AND ADOPTING THE 2021-2029 HOUSING ELEMENT UPDATE.”

BACKGROUND:

General Plan Requirements
California law requires each city and county to adopt a comprehensive, long-term general plan to guide its physical development. California Government Code, Section 65302, Item 2A - Page 1
City Council Staff Report
September 26, 2023 -- Page 2
Draft Housing Element

requires that general plans include the following elements: land use, circulation, housing, conservation, open space, noise, safety, and environmental justice.

The Housing Element serves as a policy document to assess housing characteristics, community needs and establishes programs to meet those needs. Municipal agencies are required to adopt land use plans and regulatory systems that provide opportunities and incentives to encourage, not constrain, the development of new housing, especially housing that serves residents of low and moderate incomes and special needs. California requires that each jurisdiction prepare a Housing Element as part of its General Plan to ensure that all jurisdictions are planning for the projected housing demand throughout California (California Government Code Section 65580 et seq.). However, u nlike other elements of a General Plan, the Housing Element must be updated by deadlines set by the State.

The City’s current General Plan
was approved in 2007, except the Housing Element was
updated in 2014 to comply with state law for the 5th cycle planning period (2014-2021).

In late 2019, the City began a limited update to the General Plan (“Update”) . Due to budget limitations, the Upda te is limited in scope and focus es on four chapters of the General Plan that are most in need of revisions: the Land Use Element, Circulation Element, Housing Element and Safety Element. Minor updates to the remainder of the document, including the Vision & Priority statements, are also proposed as part of the Update. Because of statutory deadlines for housing elements in state law, the C ity is moving forward the adoption of the Housing Element first and will follow with the remaining Update later this year.

Housing Element Review and Certification
State law requires cities and counties to submit their draft Housing Element to the California Department of Housing and Community Development (HCD) for review and certification that the document complies with State Housing Element Laws (California Government Code Section 65580 et seq.). The City has submitted the draft Housing Element for three formal reviews by the HCD and met informally with HCD staff to discuss issues. In HCD’s most recent review (May 2023), they identified that the draft Housing Element met most statutory requirements, but additional revisions were required before they could find the draft was substantially compliant with State Housing Element Law.

Since that time, staff and the C ity’s consultant have revised the draft Housing Element (Attachment B) to comply. Based on HCD’s letter, dated May 23, 2023, the City was directed to revise, adopt and resubmit its draft Housing Element to HCD to ensure the City has a compliant housing element. However , certification by the HCD is not guaranteed until another formal review by their office occurs. Copies of HCD’s review letters are included as Appendix B to the draft Housing Element.

Housing Element certification is important for several reasons. Without certification the City is potentially subject to state-mandated streamline review requirements for qualifying housing projects (commonly known as “builder’s remedy”), is exposed to legal challenges from both the State’s Attorney General and private parties and may be ineligible for grant Item 2A - Page 2
City Council Staff Report
September 26, 2023 -- Page 3
Draft Housing Element

funds. If a court determines the City’s housing element does not comply with the State’s Housing Element Law, the court can impose fines ($10,000 to $100,000 per month for months 1-3; $30,000 to $300,000 per month for months 4- 6; $60,000 to $600,000 per month after month 6). If the City fails to bring its Housing Element into compliance within six months of a court order instructing it to do so, the court can appoint a receiver to take over the process from the City. Therefore, it will be important for the City to finalize the housing element so that certification from the State in achieved in a timely manner.

Regional Housing Needs Assessment (RHNA)
An important component of all Housing E lements is a plan to accommodate the local share of the regional housing need for all economic segments of the community , as determined by the Regional Housing Needs Assessment (RHNA). HCD determines the amount of housing needed to support population growth every eight years and assigns the total regional housing need to each of the State’s regional associations of governments. For our region, the Southern California Association of Governments (SCAG) allocates a fair share of the RHNA housing need to each of its member cities and counties within its jurisdiction.

For the 2021-2029 planning period, Palm Springs’ RHNA allocation was assigned 2,557 units out of the 1,341,827 total units for the SCAG region. The following table identifies the assigned number of RHNA units by income group and the 2023 income ranges.

Income Group RHNA Annual Income Range1
Extremely Low Income:
(<30% of Median Income) 272 units $22,400 or less
Very Low Income:
(30%-50% of Median Income) 273 units $22,401 to $37,300 Low Income:
(50%-80% of Median Income) 408 units $37,301 to $59,650 Moderate Income:
(80%-120% of Median Income) 461 units $59,651 to $90,700 Above Moderate Income:
(>120% of Median Income) 1,143 units $90,701 or more
Total: 2,557 units
1 Two-person household in Riverside County in 2023. Subject to change annually.

As part of the housing element process, each City must demonstrate there is sufficient capacity to accommodate the housing needs identified in their RHNA allocation. Sufficient capacity is demonstrated by showing that a City has an adequate amount of land that is zoned with appropriate allowable densities and development standards , among other factors, to accommodate the RHNA . An analysis of vacant parcels is conducted to determine where additional housing can be built under current zoning and regulations. If current regulations/zoning is insufficient to accommodate the RHNA allocation, a housing Item 2A - Page 3
City Council Staff Report
September 26, 2023 -- Page 4
Draft Housing Element

element must describe steps to increase housing capacity, which typically includes amendments to land use plans and zoning regulations to accommodate higher residential densities or allowing housing to be built in areas where residential was not previously permitted. As described in this report, the draft Housing Element requires programs to address some regulatory constraints and some sites are proposed for rezoning, but only to provide a buffer for no net loss requirements under State law.

STAFF ANALYSIS:

Housing Element Organization
The draft Housing Element has been comprehensively updated to reflect several recent changes in State law, updates to current housing conditions and organized into the seven sections. Each section and a summary of its contents follows.

• Setting the Context – this section introduces the Housing Element and its goals; provides legal context under state law; identifies the Housing Element’s relation to other plans and programs; and summarizes public outreach and engagement that occurred during the Housing Element update.
• Community Profile – the community profile section describes housing needs in the City, focusing on demographics, housing characteristics and trends, and housing that is available for meeting resident needs for varying segments of the population in the City.
• Constraints Analysis – housing constraints refer to land use regulations, housing policies, zoning, and other factors that influence the price and availability of housing opportunities in Palm Springs. This section provides an overview of the City’s General Plan, Zoning Ordinance, Consolidated Plan, Analysis of Impediments, and other documents that identify public policies and governmental regulations that may limit or enhance housing opportunities in Palm Springs. This section also evaluates and identifies issues and contributing factors to fair housing in the City, as well as programs to address fair housing issues. • Housing Production Needs – t his section summarizes the City’s share of the region’s need for housing, the land available to accommodate that need, and the various financial and administrative resources that the City can leverage to address its housing production needs. The City’s approach to addressing RHNA targets is outlined in this section and involves housing production, planned production, and available land. Additional discussion from this section is provided on the following page.
• Program Evaluation – this section analyzes the effectiveness of the existing Housing Element; the appropriateness of goals, objectives, and policies; and the progress in implementing programs for the previous housing element planning period. It concludes that, although the goals were met in different ways than originally intended, the City succeeded in achieving most of its quantified objectives for the 2014-2021 Housing Element.
• Goals, Policies, and Actions – t his section outlines the goals and policies for addressing the City’s housing needs and includes five goals with seven to ten Item 2A - Page 4
City Council Staff Report
September 26, 2023 -- Page 5
Draft Housing Element

policies each to address the identified housing needs.
• I mplementation Actions – in res ponse to each of the five goals in the prior section, the implementation actions section includes programs and actions to achieve the City’s housing goals and policies. A table summarizing the programs and action, along with the funding source, implementing entity and timeframe to complete each item, is provided at the end of this section in the Housing Element.

The draft Housing Element also includes appendices, including a summary of the neighborhood outreach comments and copies of HCD letters.

RHNA Allocation Strategy
The context for housing planning has dramatically changed since the last RHNA and housing element cycle in 2014 and municipalities are required to plan for much greater housing need in the current planning period. To ensure the Ci ty is meeting its RHNA allocation during this planning period, the draft Housing Element describes a strategy that includes identifying both the production of new housing units (planned, approved, and under construction) and sites that are zoned for new housing through a land inventory .

Together, these strategies are expected to provide a buffer that exceeds the RHNA allocation and may assist the City in securing a Prohousing Designation from HCD.

The new housing units identified in the draft Housing Element include above- moderate- income units in approved projects such as Escena, Miralon, and Desert Palisades, as well as affordable projects like Monarch, Vista Sunrise II and Aloe Palm Canyon. Table 3-36 summarizes the credit from new projects that is expected under the RHNA. Another component for housing production that is assumed by the draft Housing Element, is the production of accessory dwelling units (ADUs), which, based on survey data, provide affordable rental units. The draft Housing Element assumes roughly 500 ADUs will be constructed during the 2021-2029 planning period and assist the City in meeting some of its needs for the low and moderate-income units.

The land inventory in the draft Housing Element identifies sites that are zoned for new housing at the appropriate densities, focusing mainly on medium- and higher-density sites that can accommodate the lower - and moderate- income units since new housing production is anticipated to accommodate most of the above-moderate units required for RHNA. Table 3-39 identifies 16 sites that may accommodate various low - or moderate- income developments, based on density, lot size and site suitability. Under current zoning, sites one through fourteen are appropriately zoned to accommodate low - or moderate-income unit projects. Sites 15 and 16 will require re- zoning to high density to accommodate low- and moderate-income unit projects, respectively. However, as noted above, the re- zoning is not required to meet the RHNA allocation. A summary of the strategy to address RHNA requirements is found in Table 3- 41 of the draft Housing Element and a map showing the inventory sites is provided in Figure 3-25.

Housing Plan
The draft Housing Element includes goals, policies, and actions to comply with state law Item 2A - Page 5
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September 26, 2023 -- Page 6
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and achieve its housing plan for the 2021- 2029 planning period. There are five broad goals, re- stated below from the Goals, Policies and Action section, that serve as the overarching policy for the housing plan. Each goal has several policies and implementation actions and programs to realize these goals. The programs are found in the Implementation Actions section of the draft Housing Element, and Table 3 -45 summarizes all programs and actions and identifies corresponding funding sources, implementing departments/entities and timeframes for each action item.

HS 1 Diverse, Balanced Housing Opportunity . Facilitate a diverse and balanced range of housing types, prices, and opportunities to address current and future housing needs in the City.

HS 2 Housing and Neighborhood Quality . Foster a high quality of life and vibrant neighborhoods through the preservation and improvement of housing and neighborhood character and provision of community services.

HS 3 Housing Assistance and Special Needs. Facilitate and encourage a broad range of rental and ownership opportunities, housing products, and community supportive services for people with special housing needs.

HS 4 Resource Conservation. Fulfill the City’s housing needs while protecting the natural environment and resources, the safety of housing, and promoting an environmentally sustainable ethic.

HS 5 Fair Housing. Affirm, promote, and implement social justice and equity in the provision, type, and affordability of housing and the availability of services for all Palm Springs residents.

The goals and policies in the first draft Housing Element remain largely the same as those reviewed by the Planning Commission and City Council in July 2021, but improvements were made based on comments received by both bodies at that time and HCD reviews during the past two years.

The greatest extent of changes to the draft Housing Element were based on HCD review to comply with state law, including several laws enacted in recent years related to housing accountability and affirmatively furthering fair housing (AFFH). The Constraints Analysis section was expanded to include additional discussion on fair housing issues, resulting in the identification of additional improvements to several programs under Goal HS 5 above to strengthen the City’s compliance with AFFH and Assembly Bill 686 (AB 686). Programs have been added and revised that were not part of the initial draft Housing Element, including the following programs of note (among others):

• HS 1.4 Accessory Dwelling Units. New actions:
o Monitor ADU production and affordability to ensure 40 du/year at appropriate affordability levels. Direct 20% of ADUs in high resource/ income areas (HRIA). If ADU assumptions in HRIA areas do not actualize by 2025, identify at least 2 mixed use sites in the HRIA for rezone to Item 2A - Page 6
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residential.
o Create and maintain a volunteer rental registry by mid- 2024 that allows owners to advertise ADUs.
o Facilitate and streamline ADU approvals through the drafting and use of pre-approved plans. Distribute educational materials to residents. • HS 1.7 Inclusionary Housing and Commercial Linkage. Modified program to include commercial linkage and added program that if such program is adopted, use of funds should consider strategies for affordable housing r ehabilitation, preservation and/or new construction and prioritized to address AFFH considerations or disadvantaged communities.
• HS 1.8 (prev. HS 1.4) Development Code Update. Modified actions and added program that involves modifying development standards in R-3 and R-4 zones to allow a third story and standards to ensure projects can achieve maximum density. • HS 1.9 Variety of Housing for All. New actions:
o Amend the zoning code to permit emergency shelters, transitional and supportive housing, and low-barrier navigation centers per state law. o Amend zoning code to revise codes and permitting process for residential care facilities to remove barriers to housing for disabled people. • HS 2.4 Housing Rehabilitation Program. Revised actions:
o Expand homeowner rehabilitation program to include $275,000 annually, subject to Council approval; increase maximum grant amount to $15,000 per unit.
o Prioritize very low -income households and target disadvantaged neighborhoods through affirmatively marketing via ONE -PS and flie rs to targeted groups/areas.
o Explore ways to improve and preserve the physical condition of trailer and mobile homes; review state NOFAs as they become available for funding. • HS 2.6 Mobile Home Preservation/Expansion. Revised actions:
o Collaborate with HCD on park inspection; enforce compliance with maintenance codes and offer home rehab assistance.
o Explore feasibility of a Crime Free Multi -Housing program in conjunction with the Police Department.
o Explore/facilitate options for facilitating resident ownership of mobile home parks.
o Evaluate/revise development standards for mobile home parks to allow expansion and encourage development of new parks.
• HS 2.7 Neighborhood Services. Added actions:
o Evaluate ways to encourage and increase participation of mul tifamily and mobile home parks in Neighborhood Organizations.
o Assist in outreaching to and engaging historically disadvantaged neighborhoods (See HS5.9).

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• HS 2.9 Neighborhood Safety. Revised actions:
o Implement and support Neighborhood Watch programs in each neighborhood.
o Implement grants and programs to reduce violence and crime in Desert Highland and San Rafael areas.
o Investigate implementing Crime Free housing within multiunit housing and mobile home parks.
• HS2.10 Economic Opportunity. New program and actions:
o Develop the IHub campus to build and grow renewable energy -based companies and work with the College of the Desert to build a campus in the City.
o C omplete a broadband master plan to assess coverage and plan to serve underserved neighborhoods; program projects into the CIP. o Implement community workforce agreement that reserves 30% total hours of qualified public works projects for disadvantaged groups. • HS 3.7 Homeownership and Building Generational Wealth. New program and actions:
o Present homeownership gap closure program to City Council for consideration and adoption.
o Seek funding and issue RFPs for three sites in Desert Highlands neighborhood.
o Provide funds, land, and assistance to facilitate self-help projects on 3 sites. • HS 3.8 Regional Housing Forums. New actions:
o Attend monthly meetings of the Collaborative Action Network and seek opportunities to address the valley’s housing needs.
o Pursue pro-housing designation with HCD to receive preference in housing, community development, and infrastructure program.
o Participate in efforts to increase the funding commitments in the Catalyst fund for affordable housing in the valley.

Several new programs and implementation actions were created for Goal HS 5, Fair Housing:
• HS 5.1 Fair Housing. Revised actions:
o Contract with local fair housing providers to perform a wide range of educational, advocacy, and mediation services, averaging up to 750 landlord-tenant issues and 20 fair housing complaints
o Engage the Human Rights Commission to promote improved relations; civic peace; intergroup understanding; and acceptance, respect, and participation of all persons in the community
o As required by the federal government, prepare an Analysis of Impediments to Fair Housing Choice or Fair Housing Assessment and implement its findings
o Distribute information about fair housing laws and resources in libraries, community centers, social service offices, and other public locations o Continue to hold community forums, observances. and educational venues Item 2A - Page 8
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to improve community relations and appreciation of the City’s diversity. o Conduct training and education to the public, property owners, and tenants, focusing on key issues to each audience
o Provide annual statistics on tenant -landlord issues, testing, training and education, discrimination cases, hate crimes, and school violence to HRC • HS 5.2 Support and Expand Housing and Services to Assist People Living with HIV/AIDS. New actions:
o Identify additional housing opportunities for affordable housing for people living with HIV/AIDS.
o E xpand collaborative network of supportive services to serve people living with HIV/AIDS.
o Support efforts DAP to implement their Master Plan and provide community clinical services.
• HS 5.3 Senior Housing and Services. New program/actions:
o Seek opportunities to expand the amount of affordable senior housing through new development.
o Continue, as feasible, to provide and preserve a full range of housing services for senior residents.
o Support Mizell Center and assist, where feasible, health, social, transit, and other services to seniors
• HS 5.4 Housing People with Disabilities. New program/actions:
o Support and seek opportunities, as feasible, to expand a variety of housing types to help address the diverse needs of persons living with disabilities. o Work with local and regional service providers to publicize information on available resources for housing and services for people with disabilities. o For residential care facilities serving six or fewer, modify definition, allow by right in all zones allowing residential uses, and treat like any other residential use in accordance with state law.
o F or residential care facilities serving seven or more residents, remove conditional use permit requirement, allow by right in all zones allowing residential, and treat like any other residential use in the same zone. o Explore opportunities to improve design standards for accessibility in multiple-family buildings to increase the number of accessible units. o Include fair housing outreach and education to reduce the occurrence of fair housing complaints related to disability of residents.
o Periodically review, amend, and implement the City’s ADA “Transition Plan” to improve accessibility to community infrastructure, facilities, and services. o Review HCD’s Technical Ad visory on Group Homes and revise zoning codes to ensure they do not constrain housing for people with disabilities. • HS5.5 Housing for Homeless People. New program/actions:
o Seek and earmark state and federal funds to continue to provide services and support existing and future housing opportunities for homeless people. o Work with county partners, CVAG, and local partners in pursuing projects to address the housing and supportive service needs of homeless people. o Amend PSMC to remove code constraints to accommodating housing for Item 2A - Page 9
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homeless people:
 T ransitional and supportive housing, permanent supportive housing, and low barrier navigation centers per GC 65583 (a)(5), §65651(a), and §65662.
 D efine single- room occupancy units and allow by right in zones where multifamily and mixed uses are permitted as required by AB 2162.
 D evelop a management plan, parking standards (AB 139), and concentration standards to ensure shelters are designed and operated in an effective manner.
 Rezone and redesignate up to 9.1 acres in the M -2 zone to allow residential uses and emergency shelters by right and make other required code amendments to comply with AB 2339.
o Fund, administer, and complete the development of additional projects to house homeless people in Palm Springs (Navigation Center, Aloe, Vista Sunrise, etc.).
• HS 5.6 Housing for Families with Children. New program/actions:
o Expand family housing options with the development of affordable and suitable housing for families; complete Monarch Apartments. o Support and fund services for families, including early childcare literacy, tutoring/afterschool, and recreational services to youth and children. o Continue to improve housing security through advocating for 370 project - based vouchers and preserving 44-unit Sunnyview affordable project. • HS 5.7 Employee Housing. New program/action:
o Amend the Zoning Code to define employee housing, specify zones where such uses are permitted, and develop a by right permitting process consistent with the Health and Safety Code, §17021.5 and 17021.6. • HS 5.8 Activate Palm Springs. New programs/actions:
o Conduct workshops and readiness assessment by end of 2023 that outlines the City’s needs, assets, and opportunities for improving program outcomes.
o By the middle of 2024, develop an implement ation plan that sets forth transformative actions that will be implemented citywide and in neighborhoods, including disadvantaged neighborhoods.
• HS5.9 Disadvantaged Communities. New programs/actions:
o Implementation all actions, metrics, and timeframes set forth in Table 3-34 contained in the Assessment for Fair Housing Section of the Housing Element.
o Annually report progress to the Human Rights Commission and adjust actions as needed to continue progress and achievement goals. o With the initiation of Activate Palm Springs program, seek opportunities for leveraging that effort to further address disadvantaged communities. • HS5.10 Housing Mobility. New program/action:
o Target RHNA site inventory in high income/resource areas for low- income affordable housing. Offer regulatory and financial incentives (Programs Item 2A - Page 10
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HS1.2 and HS1.3) to prospective developers to assist in the development of housing that addresses the unmet low income RHNA.

Many of the above programs, particularly those associated with Fair Housing goals and policies, include measurable metrics and geographic targeting to address housing mobility, new housing choices and affordability in relatively higher opportunity or income areas, place-based strategies for community revitalization and dis placement protection.

Table 3-34 in the draft Housing Element summarizes the Priority Fair Housing Issues, Contributing Factors, and Meaningful Actions.

Public Participation
There have been several opportunities to engage with the community on the draft Housing Element and receive input from the public. The following list summarizes the public engagement and participation opportunities that have been part of the process to update the Housing Element:

• General Plan Steering Committee. On October 20, 2020, the Steering Committee reviewed the draft Housing Element and RHNA strategy, including proposed sites for re-zoning.
• Community Workshops. City staff hosted two community -wide workshops at the Palm Springs Convention Center. The first workshop occurred on February 24, 2020 and asked attendees to provide feedback on the C ity’s housing conditions via a workstation and electronic survey. On July 13, 2021, the second workshop included an overview of the City’s approach to addressing its RHNA allocation and introduced the land use plan.
• Neighborhood Listening Sessions. In June 2021, City staff invited community members to four listening sessions in targeted areas of the City to understand challenges area residents face finding, getting access to, attaining or staying in safe and sanitary housing, gaining access to physical activities, foods, public facilities and community services and reducing pollution exposure. These sessions were held at the Demuth Community Center, James O. Jesse Unity Center, Mizell Center, and Vista Del Monte Elementary School. The session held at VDM Elementary was conducted with Spanish translation. Appendix A of the Draft Housing Element is a summary of comments received at these listening sessions.
• Online Posting. The draft Housing Element was posted online after each revision for public review and comment, prior to submitting to HCD for review. • Surveys. The City administered three surveys related to the Update. The first survey sought feedback on the Vision & Priority statements. The second survey was an interactive online exercise requesting participants map community assets and identify areas for improvement. The second survey also requested feedback on some emerging themes related to land use, mobility, housing, and open space that came out of the first community -wide workshop and prior survey. The third survey was conducted as part of the neighborhood listening sessions to understand participants thoughts on housing, parks, public facilities, healthy food, Item 2A - Page 11
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medical care, and transit. The responses to these surveys informed the proposed goals, policies, and programs in the draft Housing Element. • Public Meetings. In addition to the General Pan Steering Committee meetings and neighborhood listening sessions, the draft Housing Element was reviewed by the Planning Commission and City Council at public meetings in July 2021.

HCD Review and Next Steps
As previously identified, HCD has yet to certify the draft Housing Element and another formal review is required. Based on their most recent review, staff believes the draft Housing Element as revised addresses their comments and substantially complies with State Housing Laws. Staff currently has on- going discussions with HCD and hopes to gain informal approval prior to City Council review. The attached draft resolution includes a statement that will allow staff to make any technical or clerical revisions to the draft Housing Element as may be necessary to obtain a finding of substantial compliance from HCD. In the event the re are revisions of greater substance, staff would present these changes to the Planning Commission and City Council for approval.

PLANNING COMMISSION ACTION:

At their regular meeting of September 13 , 2023, the Planning Commission held a public hearing and reviewed the draft Housing Element. The Commission overall had favorable comments on the document and voted unanimously to recommend City Council approval.

ENVIRONMENTAL ASSESSMENT
:

Any update to the City's General Plan is subject to the requirements of the California Environmental Quality Act (CEQA). The City prepared an Environmental Impact Report (EIR), State Clearinghouse No. 2006071060, for the comprehensive update to the General Plan in 2007 (2007 General Plan). On October 24, 2007, the City Council certified that the Final EIR, which included a Draft EIR, comments and responses thereto, and related technical appendices, for the 2007 General Plan in accordance with CEQA.

Following review of the draft Housing Element, the City, as Lead Agency, has determined that the draft Housing Element is a Project subject to CEQA (Public Resources Code [PRC] Sections 21000 et seq.; California Code of Regulations, Title 14, Sections 15000 et se q.). The City analyzed Project impacts with the General Plan EIR and it was determined that the proposed Housing Element Update would not result in any new significant environmental impacts or a substantial increase in the severity of a previously identified significant impact. An Addendum to the 2007 General Plan Final EIR was prepared to document this conclusion. No further environmental review is required. (Public Resources Code§ 21166; CEQA Guidelines§§ 15162, 15164.) The EIR Addendum is included as Attachment C.

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ALIGNMENT WITH STRATEGIC PLANNING:

Adoption of the draft Housing Element will provide policy framework and programs for improving homelessness and increasing affordable housing, which improve quality of life goals (1A and 1C) of the City Council’s Strategic Plan.

FISCAL IMPACT:

Implementation of the programs contained in the Housing Element as well as periodic monitoring and reporting will require ongoing actions by City staff, which will be funded by the General Fund through the annual budget review and approval process. The Planning Department has also budgeted $100,000 in FY 23/24 towards implementing programs.

REVIEWED BY:

Department Assistant Director: David A. Newell
Department Director: Christopher Hadwin
Assistant City Manager: Flinn Fagg
City Manager: Scott Stiles

ATTACHMENTS:

A. Draft Resolution
B. Draft Housing Element
C. EIR Addendum
D. Public Comment
E. Letter from Agua Caliente Band of Cahuilla Indians
Item 2A - Page 13

ATTACHMENT A
Item 2A - Page 14
RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PALM SPRINGS, CALIFORNIA, APPROVING AN

ADDENDUM TO THE PREVIOUSLY CERTIFIED
ENVIRONMENTAL IMPACT REPORT TO THE 2007

GENERAL PLAN FOR AN AMENDMENT TO THE HOUSING
ELEMENT AND ADOPTING THE 2021- 2029 HOUSING
ELEMENT UPDATE.

THE CITY COUNCIL FINDS AND DETERMINES AS FOLLOWS:

A. On October 24 , 2007, t he City of Palm Springs (“City”) approved a comprehensive update to its general plan by adopting Resolution #22077 (“2007 General Plan”) and has updated and subsequently amended it from time to time, including but not limited to, the approval of a Housing Element for the 5 th cycle planning period (2014-2021)
by adopting Resolution #23477. The City prepared and certified an Environmental Impact Report (EIR), State Clearinghouse No. 2006071060, for the 2007 General Plan, in accordance with the California Environmental Quality Act (CEQA).

B. Government Code Section 65580 et seq. (the State “Housing Element Law”) requires that every city and county prepare and periodically update the housing element of its general plan.

C. To comply with Housing Element Law, i n late 2019, t he City began amending its general plan by comprehensively updating Housing Element for the 6 th cycle
planning period, 2021-2029. After conducting a robust public engagement and outreach program and completing several reviews with HCD, as described in recitals below, the City has prepared a draft Housing Element to plan for the provision of housing accessible to all income categories and comply with Housing Element Law (the “draft Housing Element”).

D. In an effort to proactively engage with residents and stakeholders for the preparation of the draft Housing Element , the City provided a variety of public engagement opportunities, including a community interest list, a dedicated webpage, community surveys, neighborhood listening sessions and stakeholder meetings.

Additionally, the draft Housing Element was circulated for review and comments in advance of its approval and considered at public meetings by the Planning Commission on July 21, 2021 and September 13, 2023, and by the City Council on July 26, 2021 and September 26, 2023.

E. T he State Housing Element Law requires every city to submit a draft of its housing element to the California Department of Housing and Community Development (HCD) for review and comment as to whether the C ity’s draft housing element substantially complies with the Housing Element Law . The following reviews occurred with HCD:

1. First Review. On August 2, 2021, the City submitted the first draft of the draft Housing Element to HCD for review and comment. On October 1, 2022, HCD responded with comments requesting various revisions.

Item 2A - Page 15
Resolution No. _____

2. Second Review. On November 2, 2021, the City submitted the second draft of the draft Housing Element to HCD for review and comment. On January 14, 2022, HCD responded with comments requesting various revisions.

3. Third Review. On March 27, 2023, the City submitted the third draft of the draft Housing Element to HCD for review and comment. On May 23, 2023, HCD responded that the draft H ousing Element met most statutory requirements, but additional revisions were required before HCD could find the draft was substantially compliant with State Housing Element Law.

F. A notice of a public hearing of the Planning Commission of the City of Palm Springs, California to consider a general plan amendment to recommend City Council adopt the draft Housing Element was given in accordance with applicable law.

G. O n September 13, 2023, a public hearing on the amendment to the 2007 General Plan was held by the Planning Commission to review the draft Housing Element, and at said hearing the Planning Commission reviewed and considered all of the evidence presented in connection with the hearing, including, but not limited to, the staff report, and all written and oral testimony presented. After closing the public hearing, the Commission voted 6-0 to recommend City Council approve the draft Housing Element after adopting an associated Addendum to the certified EIR to the 2007 General Plan.

H. A notice of a public hearing of the City Council of the City of Palm Springs, California to consider a general plan amendment for the draft Housing Element and associated EIR Addendum was given in accordance with applicable law.

I. On September 26, 2023, a public hearing on the amendment to the 2007 General Plan was held by the City Council to review the draft Housing Element , and at said hearing the Council reviewed and considered all of the evidence presented in connection with the hearing, including, but not limited to, the staff report, and all written and oral testimony presented.

J. The draft Housing Element is a Project subject to the CEQA (Public Resources Code [PRC] Sections 21000 et seq.; California Code of Regulations, Title 14, Sections 15000 et seq.). The City prepared an Addendum to the EIR for the 2007 General Plan to analyze Project impacts and determined that the adoption of the draft Housing Element would not result in any new significant environmental impacts or a substantial increase in the severity of previously identified significant environmental impacts pursuant to Public Resources Code Section 21166 and CEQA Guidelines Sections 15162 and 15164.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM SPRINGS DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1.

T hat the foregoing Recitals are true and correct and are incorporated herein by this reference.

Item 2A - Page 16
Resolution No. _____

SECTION 2. The City Council has reviewed and considered the information contained in the Addendum to the 2007 General Plan EIR. Pursuant to CEQA, the City Council determines that no further environmental review is required. (Public Resources Code Section 21166; CEQA Guidelines Sections 15162, 15164)

SECTION 3. Based upon the foregoing, the City Council of the City of Palm Springs approves the subject General Plan Amendment and adopt s the 2021- 2029 Housing Element, included an attachment to this resolution.

SECTION 4.

The City Council directs City Staff to submit the adopted 2021- 2029 Housing Element to HCD for review pursuant to Government Code Section 65585(g) and is further directed to make any technical or clerical revisions to the Housing Element as may be necessary to obtain a finding of substantial compliance from HCD.

ADOPTED THIS 26TH DAY OF SEPTEMBER, 2023.

SCOTT STILES

CITY MANAGER

ATTEST:

BRENDA PREE

CITY CLERK
Item 2A - Page 17
Resolution No. _____

CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.

CITY OF PALM SPRINGS )

I, BRENDA PREE , City Clerk of the City of Palm Springs, h ereby certify that Resolution No. ____ is a full, true and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Springs on _______________________, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Springs, California, this ______ day of ______________, _________.

Brenda Pree, City Clerk
City of Palm Springs, California
Item 2A - Page 18

ATTACHMENT B
Item 2A - Page 19
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HOUSING ELEMENT
Table of Contents
SETTING THE CONTEXT ......................................................................... 1 Introduction ................................ ................................ ................................ .. 1 Legal Context ................................ ................................ ................................ . 2 Related Plans and Programs ................................ ................................ ... 3 Public Outreach and Engagement ................................ ......................... 4 COMMUNITY PROFILE ............................................................................ 5 Demographic Profile ................................ ................................ .................. 5 Housing Profile ................................ ................................ .......................... 11 Special Needs Groups ................................ ................................ ............. 25 Housing Preservation Needs ................................ ................................ 36 CONSTRAINTS ANAL YSIS ..................................................................... 49 Nongovernmental Constraints ................................ ............................ 49 Governmental Constraints ................................ ................................ .... 58 Fair Housing Assessment ................................ ................................ ...... 84 HOUSING PRODUCTION NEEDS ...................................................... 135 Regional Housing Needs ................................ ................................ ...... 135 Regional Housing Needs Credits ................................ ...................... 137 Land Inventory for Housing ................................ ............................... 147 Implementation Resources................................ ................................ . 161 PROGRAM EVALUATION .................................................................... 164 Quantified Objectives ................................ ................................ ............ 164 Program Evaluation ................................ ................................ ............... 169 Public Participation ................................ ................................ ............... 174 GOALS, POLICIES, AND ACTIONS .................................................... 180 Goal HS1: Diverse, Balanced Housing Opportunity .................. 181 Goal HS2: Housing and Neighborhood Quality ........................... 183 Goal HS3: Housing Assistance and Special Needs ..................... 185 Goal HS4: Resource Conservation ................................ .................... 187 Goal HS5: Fair Housing ................................ ................................ ......... 189 IMPLEMENT ATION ACTIONS ........................................................... 190

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Page ii Palm Springs General Plan

Tables
Table 3-1 Population Trends, 2010–2018 ................................ ................. 6 Table 3-2 Household Trends, 2010–2018 ................................ ................. 7 Table 3-3 Occupations and Annual Earnings ................................ ........... 8 Table 3-4 Household Income, 2010–2018 ................................ ................ 9 Table 3-5 Households by Income Category ................................ ............. 10 Table 3-6 Housing Growth, 2010–2020 ................................ ................... 11 Table 3-7 Characteristics of Housing Sold in 2019 .............................. 14 Table 3-8 Housing Tenure, 2010–2018 ................................ .................... 15 Table 3-9 Existing Home Prices, 2019-2020 ................................ .......... 16 Table 3-10 Apartment Rents, 2020 ................................ ............................ 17 Table 3-11 Housing Affordability ................................ ................................ 19 Table 3-12 Housing Problems ................................ ................................ ...... 21 Table 3-13 Housing Problems of Lower Income Households .......... 22 Table 3-14 Special Housing Needs ................................ ............................. 25 Table 3-15 Senior Housing Communities ................................ ................ 27 Table 3-16 Affordable Family Housing ................................ ..................... 29 Table 3-17 Homeless Services Provided ................................ .................. 34 Table 3-18 Assisted Multifamily Housing ................................ ................ 37 Table 3-19 Mobile Home Parks and Regulatory Restrictions .......... 45 Table 3-20 List of Qualified Entities in Riverside County .................. 48 Table 3-21 Street Infrastructure Requirements ................................ .... 52 Table 3-22 Residential Development Fees ................................ .............. 53 Table 3-23 Total Fee Burden for Prototypical Projects ...................... 54 Table 3-24 General Plan Designations Allowing Housing ................. 58 Table 3-25 Zoning Code Allowances of Housing Types ...................... 60 Table 3-26 Development Standards in Residential Zones ................. 67 Table 3-27 Parking Standards in Residential Zones ............................ 70 Table 3-28 Adequacy of Zoning for Affordable Housing .................... 74 Table 3-29 Residential Development Approval Process .................... 80 Table 3-30 Fair Housing Issues in Disadvantaged
Neighborhoods ................................ ................................ ... 101 Table 3-31 Projects in/near Disadvantaged Neighborhoods ........ 103 Table 3-32 Performance Levels of Palm Springs Schools ............... 107 Table 3-33 City Compliance with Fair Housing Laws....................... 127 Table 3-34 Priority Fair Housing Issues, Contributing
Factors, and Meaningful Actions ................................ . 132 Table 3-35 Palm Springs RHNA, 2021–2029 ................................ ....... 136 Table 3-36 Credits Toward the 2021–2029 RHNA ............................ 137 Table 3-37 Accessory Dwelling Unit Rent Survey, 2020 ................. 145 Table 3-38 Accessory Dwelling Unit Projections 2021-2029 ....... 146 Item 2A - Page 21

Palm Springs General Plan Page iii

HOUSING ELEMENT
Table 3-39 Low-Moderate Income Sites: 2021–2029 RHNA ......... 149 Table 3-40 Assessment of Fair Housing Implications of Sites ...... 152 Table 3-41 Strategy to Address the 2021–2029 RHNA ................... 153 Table 3-42 Progress Meeting Housing Element Objectives ........... 169 Table 3-43 Progress Toward Housing Element Programs .............. 170 Table 3-44 Summary of Program Changes due to Outreach .......... 179 Table 3-45 Housing Program Summary ................................ ................ 214

Figures
Figure 3-1 Palm Springs Population Growth, 1950–2020 ............ 5 Figure 3-2 Palm Springs Median Housing Price, 2012-19 ......... 16 Figure 3-3 Palm Springs Apartment Rents, 2010–2019 ............. 17 Figure 3-4 Palm Springs, Foreclosures, 2006–2019 .................... 18 Figure 3-5 Residential Alterations/Additions ($millions) ......... 24 Figure 3-6 Assisted Affordable Housing in Palm Springs........... 36 Figure 3-7 Affordable Housing Projects in Palm Springs ........... 47 Figure 3-8 Land Ownership Pattern in Palm Springs .................. 86 Figure 3-9 Disadvantaged Incorporated Communities ............. 100 Figure 3-10 Median Household Income in Palm Springs ............ 111 Figure 3-11 Low–Moderate Incomes in Palm Springs ................. 112 Figure 3-12 Racial/Ethnic Demographics in Palm Springs ........ 113 Figure 3-13 Homeowner Overpayment in Palm Springs ............ 114 Figure 3-14 Renter Overpayment in Palm Springs........................ 115 Figure 3-15 Renter Overcrowding in Palm Springs ...................... 116 Figure 3-16 Housing Resource Opportunity Areas ....................... 117 Figure 3-17 Jobs Proximity in Palm Springs ................................ .... 118 Figure 3-18 Environmental Quality, Palm Springs ........................ 119 Figure 3-19 Affordable Housing in the Coachella Valley ............. 120 Figure 3-20 Distribution and Use of Housing Vouchers .............. 121 Figure 3-21 Landlord-Tenant Complaints, 2015–2020 ............... 124 Figure 3-22 Housing Discrimination Complaints, 2015–20 ...... 125 Figure 3-23 Prevalence of Harassment at School, 2015 .............. 126 Figure 3-24 ADUs Approved in Palm Springs, 2015–2020 ........ 144 Figure 3-25 Housing Opportunity Sites ................................ ............. 150 Figure 3-26 Broadband Availability ................................ .................... 160

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Page iv Palm Springs General Plan

Appendices
Appendix A: Summary Outreach to Disadvantaged Communities Appendix B: Correspondence from the Department of Housing and Community Development

Item 2A - Page 23

Palm Springs General Plan Page 1

HOUSING ELEMENT

SETTING THE CONTEXT

INTRODUCTION
Palm Springs’ 2021-2029 Housing Element is the City’s official plan for addressing the housing needs of its residents and workforce. It is the City's framework of goals and policies that guide future decisions and priorities with respect to housing. It also provides a detailed programs for meeting existing and future housing needs for residents of all income levels, abilities, and special needs.

Palm Springs is a truly unique community, one that was forged from its history and culture, natural desert environment, role as a tourist and year -round destination , and aspiration and values . Palm Springs’s housing element sets forth programs that:
• Identify actions that make available adequate sites, with appropriate zoning and development standards and services and facilities to accommodate its housing needs;
• Assist in the development of adequate housing to meet the needs of extremely low -, very low -, low -, and moderate - income households;
• Address and, where appropriate and legally possible,
remove governmental and nongovernmental constraints to
the maintenance, improvement, and development of housing for all income levels and for people with disabilities; • Conserve and improve the condition of the existing
affordable-housing stock;
• Preserve for lower income households the assisted housing developments at -risk of conversion to market -rate, which may include ways to mitigate the loss of housing; and
• Promote and affirmatively further fair housing opportunities throughout the community for all persons consistent with its commitment to social justice and equity.

The following describe the legal context, related planning efforts, and public engagement program for the housing element.

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LEGAL CONTEXT
California law requires that all local governments develop housing programs to meet their “fair share” of existin g and future housing needs for all income groups. Palm Springs —as with all local governments in California —must therefore prepare a housing element to meet local housing needs. The housing element must contain proactive goals, policies, and programs that are designed to facilitate the development, improvement, and preservation of housing commensurate with its housing need as established by the City, regional government, and the State of California.

State law prescribes the scope and content of the housing element.

Pursuant to S ection 65583 of the Government Code , the housing element contains five basic parts:
◆ Analysis of demographic, social, and housing characteristics; special housing needs; and current and future housing needs due to population growth, demographic change, and other considerations.
◆ Analysis of potential governmental and nongovernmental constraints that affect the development, maintena nce, and improvement of housing for all income groups and people with disabilities, and programs to address actual constraints. ◆ Inventory of resources available to address the city’s housing needs, including available land for housing, financial
resources, and administrative capacity to manage housing programs.
◆ An evaluation of the varied accomplishments with respect to housing production and assistance from the prior housing element and discussion of findings from public engagement venues on the future of housing in the city.
◆ Goals, policies, and implementation programs to address the development, improvement, and conservation of housing to meet current and future needs of residents and workforce in the community.

The housing element has been structured to address each of the requirements in state law, including new legislation enacted since the previous housing element was adopted by the City.

Requirements for the content of
the housing element are found in
Article 10.6 of Chapter 3 of
Planning and Zoning Law,
commencing with Government
Code Section 65580 . The
housing elemen t is the most
complex of the general plan
elements, the only element
required to be completely
updated on a fixed schedule, and
the only one subject to receiving
a letter of compliance from the
state of California.

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RELATED PLANS AND PROGRAMS
The City’s housing element is directly relat ed to a number of state - and federally mandated requirements for housing policy and planning. A description of these plans and programs follows.

Federal Planning Requirements
Palm Springs is required to prepare two 5-year plans as a condition of receiving certain federal funds for housing and community development activities, specifically Community Development Block Grants (CDBG). The “Consolidated Plan” (2020) identifies housing and community development needs for lower - and moderate - income households. The “ Analysis of Impediments to Fair Housing Choice” (2019) ensures that policies, procedures, and programs are in place to affirmatively further fair housing. The housing element builds on these plans, and its goals, policies, and programs are consistent with applicable federal and state law.

Regional Housing Needs Assessment
State housing element law requires the Southern California Association of Governments to determine the amount of housing needed in its region and allocate the housing production need to each community. The allocation of housing need is based on statewide and local projections of population, employment, and housing need. State law requires cities to ensure that adequate sites, public facilities, infrastructure, and services are available to facilitate housing production commensurate with assigned need.

Palm Springs’ housing element sets forth goals, policies, and programs to address its share of the region’s housing need.

General Plan Consistency
State law requires that general plans contain goals and policies that are internally consistent within each element and the general plan .

For example, policies within the housing element must be consistent with one another and other elements, including the land use element, circulation elements, safety element, and others. A s one or more elements of the general plan are updated at different times in the future, the housing element will be amended to maintain consistency in goals, policies, and programs. The General Plan update also includes an update to the safety element to incorporate climate change, resiliency, and environmental justice.

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PUBLIC OUTREACH AND ENGAGEMENT
State law requires that local governments make a "diligent effort" to achieve participation by all segments of the city in the development of the housing element. Palm Springs solicited input from the public throughout the process—during development of the draft element, public review of the draft element, and the adoption process.

The City’s pr ogram for participation is listed below and described later in the program evaluation of the housing element. • ConPlan and Analysis of Impediments. In 2019/2020, the City prepared two studies mandated by the federal
government that address the needs of low - and moderate- income households, special needs groups , and fair housing.

Each effort included broad public engagement in accordance with the City’s adopted Citizens Participation Plan.
• General Plan Outreach. The General Plan update occurred concurrently with the housing element. It included a general plan steering committee, community surveys, road shows, and public workshops , among others. These venues
provided opportunities for participants to shape the City’s vision; land use plan, including housing sites; and other related matters.
• Consultations. Direct consultations occurred with a wide range of stakeholders, residents, and neighborhoods,
including those historically underrepresented ( the latter summarized in Appendix A ). Consultations also occurred with the Agua Caliente Indian Reservation . These
consultations helped identify housing sites, refine goals and priorities, and draft programs for the housing element. • Public Hearings . The Planning Commission and City
Council were briefed on new legislation early in the process.

The Affordable Housing Subcommittee of the City Council also provided formative direction. The draft housing element was posted for review on the City’s website on July 8, 2021.

Elected bodies reviewed the draft element prior to its release to the Department of Housing and Community Development.

Adoption hearings were also duly noticed for the public.

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COMMUNITY PROFILE
The community profile provides the context that informs the goals, policies, and program s for meeting the c ity’s housing needs . This section describes housing needs in Palm Springs , focusing on demographics, housing characteristics, special needs groups, and housing that is available for meeting the city’s housing needs.

DEMOGRAPHIC PROFILE
Population Growth
As of 2020, Palm Springs’ year -round population is 47,427 residents, according to the Department of Finance. Historically, the city’s population has increased by 5,000 to 10,000 persons every decade since the 1950s , but since 1990 , the population has increased at a much slower rate (Figure 3-1).

While the census does not estimate the Palm Springs seasonal population, local reports estimate that the population swells to almost 75,000 residents during the winter. Many seasonal residents and snowbirds also rent or occupy timeshares, resort
condominiums, or second homes during the winter season.

Figure 3-1 Palm Springs Population Growth, 1950–2020
1950 1960 1970 1980 1990 2000 2010 2020
Palm Springs 7,660 13,468 20,936 32,359 40,181 42,807 44,552 47,427 0 10,000
20,000
30,000
40,000
50,000
Source: California Department of Finance
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Population Characteristics
Palm Springs has experienced gradual changes in racial and ethnic composition over the past decade. As shown in Table 3 -1, White residents compose the majority o f residents (61 percent), and Hispanics are the second largest group at 2 8 percent. Since 2010, notable trends include a 9 percent decline in African Americans and double-digit increases in other minority groups.

As a resort -retirement community, P alm Springs has a very low ratio of children to adults. As shown in Table 3-1, almost two-thirds of its residents are middle age and seniors. Of particular note, seniors 65 years and older made up the majority of population growth since 2010. In 2018, many senior residents are age 75 years and older. As a result, the median age of Palm Springs residents, at 55 years, is among the highest in California.

Table 3-1 Population Trends, 2010–2018
Race/Ethnicity
2010 2018 Pcnt
Change in
Residents
No. of
Residents Percent
No. of
Residents Percent
Total Population 44,552 100% 47,525 100% 7%
+ White 28,313 64% 28,871 61% 2%
+ Hispanic 11,286 25% 13,225 28% 17%
+ African American 1,850 4% 1,686 4% -9%
+ Asian 1,977 4% 2,356 5% 19%
+ Other 1,126 <3% 1,387 3% 23%
Age Groups
+ 0–17 (children & youth) 6,124 14% 5,871 12% -253
+ 18–24 (college age) 2,573 6% 2,610 5% 37
+ 25–44 (young adults) 8,625 19% 8,456 18% -169
+ 45–64 (middle-age) 15,419 35% 15,798 33% 379
+ 65+ (seniors) 11,811 27% 14,790 31% 2,979
Median Age 51.6 54.8
Source: U.S. Census, 2010; American Community Survey 2014-2018.

Each age group tends to have different housing needs. Generally, college-age adults ages 18 to 24 desire affordable rental options.

Adults between ages 25 and 44 look for more affordable housing options. Middle-aged adults look for larger single-family homes that can accommodate families, while seniors may wish to downsize into smaller single- or multiple-family developments.

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Household Characteristics
A household is defined as all members living in the same home. The Census Bureau define s t wo basic types of households: family and nonfamily. Family households refer to related persons living in the same home. Nonfamily households refer to single-persons or unrelated individuals living together in the same housing unit.

These distinctions have general implications for housing need.

Since 1990, family households declined 54 percent to 38 percent in 2010, before increasing to 43 percent by 2018. The overall decline is due to the aging of the population and emergence of Palm Springs as a retirement destination, but the recent reversal is due to changes in the census, which now includes same sex married couples in the category for family households.

Single persons remain the most common type of household (Table 3-2). Over the past eight years, the number of one-person households increased while larger households (typically families with children) with five or members declined. These trends are due to aging residents, where the entire increase in householder by age was in the 65 years and above group. As a result, the city has one of the lowest average household sizes in California.

Table 3-2 Household Trends, 2010–2018
Household Type
2010 2018 Pct
Change in
Hhlds
Nos. of
Hhlds Percent
Nos. of
Hhlds Percent
Households 22,746 100% 23,719 100% 4%
+ Family Households 8,865 38% 10,218 43% 18%
- with own children 2,891 2,560
+ Single Persons 10,006 44% 10,663 45% 7%
+ Unrelated Individuals 4,075 18% 2,838 12% -30%
Household Size
+ One Person 10,006 44% 10,663 45% 7%
+ Two to Four 11,624 51% 12,088 51% 4%
+ Five or More 1,116 5% 968 4% -13%
Householder Age
+ Less than 35 years 2,422 11% 2,141 9% -12%
+ 35 to 64 years 12,107 53% 11,873 50% -2%
+ 65 years and older 8,217 36% 9,537 41% 16%
Average Household Size 1.94 1.98
Source: U.S. Census, 2010; American Community Survey, 2014-2018.

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Employment
Palm Spring residents are employed in a variety of occupations that influence the income (discussed later) and type of housing that residents can afford. As shown in Table 3-3 and described below, the City’s occupational profile is mostly either higher or lower median earnings. There are fewer moderate-income earning occupations than would be expected. Retirees are not included in the following statistics.

The primary occupational group is management, business, science, and arts occupations, composing 38 percent of all occupations. The median ear nings vary significantly depending on full -time/part- time status. Full-time employees earn upwards of $88,100 annually.

The prevalence of arts and community services jobs in this category reduces its median earnings. Many of the other occupations’ earnings exceed $100,000.

The two next largest categories of occupations held by Palm Springs residents are services and sales/office, which make up 27 and 22 percent of all jobs, respectively. Earnings range from $21,000 to $50,000 annually depending on occupation and full-time status. The last two categories —production/transportation/material moving and natural resources/construction/maintenance —total 13 percent of all jobs and have median earnings of $27,000 to $44,000.

Table 3-3 Occupations and Annual Earnings
Occupations
Total Part-
& Full-Time
Percent of
Occupations
Median Earnings
(rounded $1,000s)
All Occupations 19,536 100%
Management, business, science, and
arts occupations 7,457 38% All jobs: $68,000
FT only: $88,100
Services (healthcare support, food prep,
bldg. maintenance, personal care) 5,244 27% All jobs: $21,100 FT only: $26,400
Sales and office occupations (including
administrative support)
4,342 22% All jobs: $30,200
FT only: $49,000
Production, transportation, and material-
moving occupations 1,360 7% All jobs: $27,300
FT only: $33,300
Natural resources, construction, and
maintenance occupations 1,133 6% All jobs: $34,000
FT only: $44,100
Source: American Community Survey, 2014-2018. Tables B24011; B24021.

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Household Income
Palm Springs residents have a median household income of $50,000, up slightly since 2010. Therefore, in comparison with the region, Palm Springs’ median household income is about 79 percent of the county median income. The household income profile shows that approximately 50 percent of households have incomes below $50,000, 25 percent have incomes from $50,000 to $100,000, and 25 percent have incomes that exceed $100,000.

Though the Census Bureau does not track inflation-adjusted income over time, many of the number of households in an income category have remained constant in size. Others have recorded significant change, such as a 15 percent decline in the $25,000 to $34,999 and 16 percent decline in the $35,000 to $ 49,999 household income brackets. Of note, there was also a 35 percent increase in the $100,000 to $150,000 income bracket and 24 percent increase in the $150,000-plus income bracket.

As expected, t he median income of households differs by tenure.

According to the 201 8 American Community Survey (ACS) , renter households earned a median income of about $3 4,000;
homeowners earned $66,000 annually, or almost twice the median household income of renters. Altogether, 12 percent of families in Palm Springs live in poverty. Table 3 -4 summarizes household incomes in Palm Springs and changes since 2010.

Table 3-4 Household Income, 2010–2018
Household Income
2010 2018
Change in
Nos. Hhlds
Total
Hhlds Percent
Total
Hhlds Percent
Total Households 23,357 23,719
+ Less than $15,000 3,142 13.5% 3,052 12.8% -3%
+ $15,000 to $24,999 3,081 13.2% 3,057 12.9% -1%
+ $25,000 to $34,999 3,180 13.6% 2,683 11.3% -16%
+ $35,000 to $49,999 3,499 15.0% 2,983 12.6% -15%
+ $50,000 to $74,999 3,561 15.2% 3,864 16.3% 9%
+ $75,000 to $99,999 2,371 10.2% 2,269 9.6% -4%
+ $100,000 to $149,999 1,938 8.3% 2,616 11.0% 35%
+ $150,000 or more 2,585 11.1% 3,195 13.5% 24%
Median Household Income $44,731 $50,361
Percent of County Median 77% 79%
Sources: U.S. Census, 2010; American Community Survey, 2014-2018.

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The State of California , Department of Housing and Community Development (HCD), analyzes household income according to different categories r elative to the county median family income (CMFI). These categories are: extremely low, very low, low, moderate, and above moderate. Extremely low and very low income are often combined into one category, very low . The three low income groups are often considered “lower” income.

Table 3 -5 shows the number and percentage of households by income and tenure in Palm Springs. Among renters, households are equally distributed among the lower and moderate income groups, except for above moderate income renters ( totals 24 percent).

Among owners, each group is less than 1/5 of total households, except above moderate income, which comprises 51 percent.

Household income differs among different race and ethnic groups.

Not controlling for household characteristics (such as householder age, retiree status, number of household members, or type) Asians have the highest median household income, followed by Whites, Blacks, and Hispanics. With regard to persons living in poverty, approximately 16 percent of Asians and Whites live in poverty, and about 26 percent of Hispanics and Blacks.

Table 3-5 Households by Income Category
Household Income1
Renter
Hhlds
Owner
Hhlds
Total
Hhlds
Percent
of Total
Total Households 9,360 (100%) 14,380 (100%) 23,740 100% + Extremely Low 1,800 (19%) 1,325 (9%) 3,125 13% + Very Low 1,865 (20%) 1,200 (8%) 3,065 13%
+ Low 1,875 (20%) 2,055 (14%) 3,930 17%
+ Moderate 1,565 (17%) 2,420 (17%) 3,985 17%
+ Above Moderate 2,255 (24%) 7,380 (51%) 9,635 41% Household Income
Characteristics2
Income Profile by Race and Ethnicity
White Hispanic Asian Black
+ Median Household Income $51,000 $38,000 $59,000 $43,000 + Percent of Residents in Poverty 16% 26% 16% 27%
Sources: 1. Comprehensive Housing Affordability Strategy, 2014-2018; 2. American Community Survey.

Notes:

Extremely low income: defined as earning 30 percent or less of the CMFI Very low income: defined as earning between 31 and 50 percent of CMFI Low income: defined as earning 51 to 80 percent of CMFI Moderate income: defined as earning 81 to 120 percent of CMFI Above moderate income: defined as earning more than 120 percent of CMFI Item 2A - Page 33

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HOUSING PROFILE
This section describes and analyzes housing characteristics and trends to provide a basis for assessing the match between the demand and supply of housing in Palm Springs. These include housing growth trends, housing characteristics, age and condition of housing, housing prices and rents, and homeownership.

Housing Growth
Palm Springs has 36,012 housing units as of 2020. This does not include the significant inventory of accessory dwelling units in the community. From 2010 to 2020, the city experienced modest housing growth, averaging 250 new units built annually (Table 3-6).

Of that increase, 85 percent were single-family detached units.

Looking forward, the City has approved a significant number of applications for h ousing development that total approximately 2,262 single-family and condominium units.

Over the decade, there has been a minimal increase in the number of attached single -family units, smaller 2-4 unit projects, and projects with five or more units. Th ese types of housing units typically are more affordable to middle income persons. The City has recognized this imbalance and, in 2019, adopted a program to facilitate and encourage production of these housing types. This housing element also contains policies and programs to support the construction of these types of housing products in the city.

Table 3-6 Housing Growth, 2010–2020
Unit Type
Housing Units
Percent 2010 Percent 2020
Total Units 34,794 100% 36,012 100%
1 unit detached 12,665 36% 13,706 38%
1 unit, attached 8,410 24% 8,504 24%
2 to 4 units 2,905 8% 2,931 8%
5 or more units 8,667 25% 8,724 24%
Mobile home 2,147 6% 2,147 6%
Housing Types
Single-Family 21,075 61% 22,210 62%
Multiple-Family 11,572 33% 11,655 32%
Other 2,147 6% 2,147 6%
Source: Department of Finance, 2010-2020.

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Housing Types
Palm Springs offers diverse housing stock consisting of s ingle- family homes, condominiums/townhomes, apartments, and mobile homes. The following provides a brief description and illustrations of the primary types of housing in the community.

Single Family Homes
Single-family housing is the predominant type in Palm Springs.

Single-family homes range from smaller, 1,000-square-foot homes to homes in affluent areas that are 10,000 square feet or more.

Approximately 22,210 homes are single-family residential units.

Condominiums
Palm Springs has an extensive inventory of 13,511 condominiums, comprising nearly one -third of all homes in Palm Springs.

Condominium projec ts come in multiple styles, from single-story flats to multistory complexes, and are also owned as second homes.

These numbers do not include resort condominiums.

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Apartments
Apartments are the most common rental housing product, totaling 7,251 units or 17 percent of homes in Palm Springs. Apartments come in many styles and product types, including a mix of garden- style projects, low-rise apartment projects, mixed residential - commercial use, live-work, and other styles.

Manufactured Housing and Accessory Units
Palm Springs has 11 mobile home parks, with a total of 2,147 mobile home units, or 6 percent of the city’s entire housing stock. Two of the mobile home parks are resident owned; the remainder are not.

Manufactured (micro) homes are provided in mobile home parks.

In addition, Palm Springs has about 860 accessory dwelling units and casitas that are built in existing single -family neighborhoods.

These types of units are built as detached or attached units, typically one story in height, and dispersed in different neighborhoods.

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Housing Characteristics
As of January 2020, approximately 47 percent of all homes in Palm Springs are single -family homes, with a considerable share being attached units. Multiple -family housing composes 47 percent of homes, and mobile home units compose 6 percent.

Table 3 -7 describes the key characteristics of single-family, condominiums, and mobile homes. Similar data are not available for apartments, which are tracked in a different manner.
• Bedrooms. Single-family homes are predominantly two - and three-bedroom units, larger than condos or apartments (which are predominantly one- or two-bedroom units). The vast majority of mobile home units have two bedrooms.
• Lot Sizes. Single-family homes have significantly larger lot sizes compared to mobile homes and condominiums. This is a function of the type of development and the minimum
density and lot sizes required by the zoning code.
• Unit Size. Single-family homes are the largest housing type; 75 percent are larger than 1,600 square feet, and the median is 2,030 square feet . Condos average 1,000 square feet or smaller and are slightly smaller than mobile homes.

Table 3-7 Characteristics of Housing Sold in 2019
Characteristics
Housing Units by Type
Single Family Condos Mobile Homes
Bedrooms
+ 1 or less -- 24% 10%
+ 2 beds 13% 57% 76%
+ 3 beds 56% 19% 14%
+ 4 or more 32% -- --
Lot Size (in square feet)
+ 1st Quartile 8,276 871 N/A
+ 2nd Quartile 10,454 1,307 N/A
+ 3rd Quartile 12,197 2,178 N/A
Unit Size (in square feet)
+ 1st Quartile 1,584 854 1,000
+ 2nd Quartile 2,030 1,188 1,344
+ 3rd Quartile 2,649 1,501 1,450
Sources: Redfin, 2019-2020.

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Housing Tenure
An appropriate number of ownership and rental opportunities is essential to attract and retain Palm Spring residents. As of 2018, homeowners comprise 61 percent of households ( 14,371
households). The homeownership rate is highest in single -family homes and mobile homes . Given the production of single -family homes and condominiums over the past decade (and limited apartment construction), homeownership rates are increasing.

As a resort community, Palm Springs has visitors each year who stay in vacation homes during the summer or winter months and rent their homes in addition to the many who own second homes. The City has registered 2, 500 short-term rentals used for recreational purposes and prohibits accessory dwellings and apartments from being used as short-term rentals so as to maintain a sufficient supply of affordable rental housing in the city. Homeownership rates vary by race and ethnicity. Whites have the highest rate (67%), followed by Asians (53%), Blacks (43%), and Hispanics (35%).

Vacancies are a key driver of the rent and sales price of housing. The vacancy rate reflects the balance between the demand for housing and the availability of housing. Typically, a vacancy rate of 5 to 6 percent for rentals and 1.5 to 2 percent for ownership housing is optimal, offering a variety of choice and price competition. In 2018, 4 percent of ownership units and 10 percent of rentals were vacant, according to the California Department of Finance.

Table 3-8 details changes in housing tenure in Palm Springs housing stock between 2010 and 2018.

Table 3-8 Housing Tenure, 2010–2018

2010 2018
Number Percent Number Percent
Total housing units 34,794 -- 37,434 --
Occupied housing units 22,746 -- 23,719 --
Owner occupied 13,349 59% 14,371 61%
Renter occupied 9,397 41% 9,348 39%
Vacant housing units 12,048 35% 13,715 37%
+ Seasonal or recreational use 8,151 23% 10,258 27%
Homeowner Vacancy Rate 6.7 -- 4.0 --
Rental Vacancy Rate 15.5 -- 10.4 --
Sources: U.S. Census, 2010; American Community Survey, 2014-2018.

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Housing Prices
Palm Springs has seen a dramatic increase in home prices. As shown in Figure 3 -2, the median sales price increased 83 percent for a single-family home and increased by 75 percent for condominiums from 2012 to 2019. Housing prices increased more than six ti mes the change in median household income.

Figure 3-2 Palm Springs Median Housing Price, 2012-19
Table 3 -9 displays median home prices in Palm Springs as of 2019/2020. Single -family homes sold for a median price of $675,000, and condo s sold for a median price of $255,000, with variations according to the size of home. Mobile homes are the most affordable housing option, with a median sales price of $135,000.

Table 3-9 Existing Home Prices, 2019-2020
Size
Housing Sales Price
Single-Family Condos Mobile homes
Median Price $675,000 $255,000 $135,000
1 bedroom N/A $136,500 $125,000
2 bedrooms $547,500 $279,500 $145,000
3 bedrooms $650,000 $355,500 N/A
4 bedrooms $849,000 N/A N/A
Source: Redfin 2019-2020.

$0K
$100K
$200K
$300K
$400K
$500K
$600K
$700K
2012 2013 2014 2015 2016 2017 2018 2019
Single-Family Units
Condominiums
Source: Redfin
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Apartment Rents
Apartment rents increased more than 50 percent during the 2010s.

As shown in Figure 3-3, asking rents remained low because the vacancy rate was high, but rents began increasing with falling vacancy rates. Compared to household income , asking rents rose five times faster than changes in the median household income.

Figure 3-3 Palm Springs Apartment Rents, 2010–2019

As of 2020, the median apartment rent ranged from $91 5 for a studio unit to $1,500 for a three-bedroom unit (Table 3-10). Of the 31 apartment complexes surveyed, only 2 offered three-bedroom units. A s listed later in this element , about half of the publi cly assisted apartments in Palm Springs offer three-bedroom units.

Table 3-10 Apartment Rents, 2020
Size
Apartment Survey
# Properties Quartile Range Median Rent
Studio 6 $907 – $1,019 $915
1 bedroom 23 $1,040 - $1,310 $1,150
2 bedrooms 28 $1,228 – $1,552 $1,350
3 bedrooms 2 $1,368 – $1,653 $1,500
4 bedrooms 0 N/A N/A
Source: Costar 2020.

Source: Costar
$0.00
$0.20
$0.40
$0.60
$0.80
$1.00
$1.20
$1.40
$1.60
$1.80

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

9.0%

10.0%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Rent/Sqft. % Vacant
Rent Per Sqft
Vacancy Rate
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Housing Foreclosures
Foreclosures are a key indicator of Palm Springs’ housing market.

During the 2008 to 2011 recession, foreclosure rates soared, with the number of annual foreclosures 10 times higher than in prerecession years (Figure3-4). Palm Springs, like many cities in the Coachella Valley, adopted a number of program s to reduce the number of foreclosures and rehabilitate foreclosed homes.

Figure 3-4 Palm Springs, Foreclosures, 2006–2019
As the market began to recover in 2012, foreclosures declined. Since then, the median value of single -family homes has risen 75 to 85 percent. The recovery in home values, strong job growth, and refinancing of mortgages to historic low rates has virtually ended recent memory of the foreclosure crisis in Palm Springs. This is evidenced in part by the doubling in the value of r esidential alterations and additions since 2010.

As of 2020, the prevalence of “seriously underwater” properties is very low in Palm Springs , according to ATTOM Data Solutions. A seriously underwater property is one in which the loan to value ratio is 125 percent or above, meaning the property owner owes at least 25 percent more than the market value of the property. As of 2019/2020, however, only 3.5 percent of residential properties in Palm Springs are considered seriously underwater.
0 100
200
300
400
500
600
700
800
Foreclosures
Source: Southern California Association of Governments
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Housing Affordability
Housing affordability is an important policy issue for communities.

The inability to afford housing leads to a number of undesirable situations, including the doubling up of families in a single home, overextension of a household ’s financial resources, premature deterioration of housing due to the high number of occupants, situations where children and seniors cannot afford to live near other family members because of the lack of affordable housing options, and in more extreme cases, homelessness.

HCD is the state agency responsible for reviewing housing elements and assessing the need for housing assistance . HCD and the Regional Housing Needs Assessment use the same four household groups based on their income level —specifically very low, low, moderate, and above moderate . A household should not pay more than 30 to 40 percent of gross income for housing costs; otherwise, the housing is considered not affordable.

Table 3 -11 compares the maximum housing price and rent that could be afforded by households for each of the four income ranges.

It should be note d, however, that the table refers to the maximum income of households within each income group. As a result, households in the lower end of an income group may be unable to afford the maximum home price or rent shown for that group.

Table 3-11 Housing Affordability
Income Level
Category
Percentage of
County MFI
Maximum
Household
Income1
Maximum
Affordable
Price2
Maximum
Affordable
Rent3
Extremely Low Less than 30% $26,200 $106,000 $505
Very Low 31% to 50% $37,650 $156,000 $791
Low 51% to 80% $60,250 $262,000 $1,356
Median 100% $75,300 $335,000 $1,732
Moderate 81% to 120% $90,350 $409,000 $2,108
Source: https://www.zillow.com/mortgage-calculator/house-affordability/.

Notes: Figures are estimated and will vary slightly depending on project specifications.

Assumptions:
1 Household size of four persons. 2020 maximum income limits are established by the California Department of Housing and Community Development according to median family income (MFI). 2 Assumes 30-year loan, 3.5% interest rate, 1.2% property tax, $25,000 down payment, and $250 monthly debt, Debt-to-income ratio is 36%, though certain loans allow higher DTIs, such as FHA (43%) and VA (41%).
3 Rental payment is assumed at no more than 30% of income since rent is not tax deductible. Assumes total utility allowance of $150 monthly, which is deducted to arrive at the maximum monthly rent.

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Housing Affordability by Income Level
The following summarizes the affordability of housing based on the housing price and rental surveys (summarized in Tables 3-9 and 3- 10) and the affordability assumptions in Table 3-11.

Very Low Income (0 to 50 percent AMFI)
Very low income (VLI) housing is affordable to households earning up to 50 percent of the area median family income (AMFI).

Extremely low income (ELI) refers to up to 30 percent of AM FI. A four-person VLI household can afford a home priced at up to $156,000 and an apartment for $791 per month. ELI households can afford a home priced at $ 106,000 and apartment rent of $505.

Based on housing surveys, no ownership units of any type are affordable except mobile homes. No apartments, except publicly subsidized units, are affordable to VLI and ELI households.

However, accessory dwellings are affordable to this income group.

Low Income (51 to 80 percent AMFI)
Low income (LI) housing is affordable to households earning 5 1 to 80 percent of the AMFI. For a four-person household, this percentile translates into a home that is priced at up to $ 262,000 and apartment rent of $1,356 per month. Though a low income household could not afford the median priced single -family home, condo, or townhome, they could afford most mobile home units as well as the me dian apartment rent for two-bedroom units in the city. The City has some of the more affordable apartments in Riverside County, even for luxury apartments. Accessory dwelling units are also affordable to this income group.

Moderate Income (81 to 120 percent AMFI)
Moderate income (MI) housing is affordable to households earning 81 to 120 percent of the AMFI. For a four -person household, this translates into a single-family home priced at up to $409,000 and an apartment rent ing up to $2, 108 per month. At the se levels, a moderate income household could afford a limited number of existing condominiums, but townhomes and single -family homes remain unaffordable. All mobile home units are affordable to moderate income households. A moderate income household could readily afford the broad range of apartment rents for two- or three- bedroom units in the community.

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Palm Springs General Plan Page 21

HOUSING ELEMENT
Housing Overpayment and Overcrowding
The mismatch between household income and housing costs typically results in two problems: overpayment and overcrowding.

Households spending too much for housing have limited income left for other basic necessities of life. To avoid paying too much for housing, households may double up with others. This may lead to overcrowding, traffic and parking shortages, increased wear and tear on a home, and undesirable and unhealthful living conditions.

Housing overpayment refers to a household that pays more than 30 percent of its gross income for rental or ownership costs. According to the Census Bureau, 5 6 percent of renters and 35 percent of homeowners overpay for housing in Palm Springs. Half of these owners and half of the se renters spend more than 50 percent of their income for housing , which is considered “severe
overpayment.” This is much more prevalent among lower income households (see Table 3-12).

Housing overcrowding refers to a situation where a household has more members than habitable rooms in a home . Habitable rooms exclude halls, kitchens, bathrooms, and other nonhabitable rooms.

The 2014-2018 ACS reports overcrowding in 3.5 percent (828) of all units in Palm Springs. Of these 828 units, 667 are renter occupied and 161 are owner occupied. These rates of overcrowding are very low and reflect the very small household size in Palm Springs.

Table 3-12 Housing Problems
Household Tenure Units
Household Overpayment
None Moderate Severe Total
Renters 9,348 37% 27% 29% 100%
Owners 14,371 63% 18% 17% 100%
Total 23,719 53% 21% 22% 100%

Household Tenure Units
Household Overcrowding
None Moderate Severe Total
Renters 9,348 93% 5% 3% 100%
Owners 14,371 99% 1% 0% 100%
Total 23,719 97% 2% 1% 100%
Source: American Community Survey, 2014-2018.

Notes:

Moderate overpayment refers to households spending 30% to 50% of income on housing Severe overpayment refers to households spending more than 50% of their income for housing.

Moderate overcrowding refers to a housing unit with an average of 1.0 to 1.5 persons per habitable room.

Severe overcrowding refers to a housing unit where there are 2.0 or more persons per habitable room.

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Housing Needs of Lower Income Households
Lower income households include three categories—extremely low (ELI), very low (VLI), and low income (LI). These groups have the following income levels for a four -person household : $26,200 for ELI, $37,500 for VLI, and 60,250 for LI. These groups are known to have the greatest unmet housing needs , such as overpayment , overcrowding, or substandard housing—collectively referred to as “housing problems” by state and federal housing agencies.

Table 3-13 shows the prevalence of housing problems for ELI, VLI, and LI households. While few lower -income (ELI, VLI, and LI) households live in overcrowded units , t he key issue is housing overpayment. Of note, 59 to 77 percent of homeowners and 72 to 87 percent of renters overpay for housing. Among ELI households, 72 percent of homeowners and 77 percent of renters overpay. The City’s 2021-2029 RHNA assumes a continued increase of 545 new ELI and VLI households in Palm Springs over the next eight years.

Table 3-13 Housing Problems of Lower Income Households
Tenure
Total
Households
Over-
crowding
Over-
payment
Any Housing
Problem
Owners
Extremely Low 1,325 24 (2%) 950 (72%) 950 (72%)
Very Low 1,200 14 (1%) 920 (77%) 925 (77%)
Low 2,055 0 (0%) 1,210 (59%) 1,215 (59%)
Renters
Extremely Low 1,800 80 (4%) 1,390 (77%) 1,415 (79%)
Very Low 1,865 90 (5%) 1,625 (87%) 1,675 (90%)
Low 1,870 90 (5%) 1,350 (72%) 1,410 (75%)
Source: CHAS Dataset, Department of Housing and Urban Development, 2014-2018.

Responding to the above housing needs requires a diverse strategy of permanent housing, rental assistance, and other support. The City permits ADUs—many of which are affordable to ELI and VLI households—and has a tremendous track record of production. The City is dedicating more than $3 million each to assist in the development of the Monarch Apartments (7 ELI, 24 VL, 19 LI units) and Aloe Apartments (23 ELI, 37 VLI, 11 LI units). The City supports many nonprofit groups that serve ELI, VL, and LI residents. The City also works with the Housing Authority to publicize the voucher program, which targets ELI and VLI residents.

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Palm Springs General Plan Page 23

HOUSING ELEMENT
Housing Condition
Palm Springs strives to ensure that neighborhoods provide a safe and healthful environment for residents. Housing that contains substandard living conditions affects the health of residents and the quality of the neighborhood. Housing conditions in Palm Springs can be estimated in different ways.
◆ Code Violations. Substandard housing is defined by Uniform Housing Code Section 1001 to include: inadequate sanitation, structural hazards, nuisances, faulty weather protection, fire hazards, inadequate maintenance, overcrowding, or
hazardous wiring, plumbing, or mechanical. Data are
unavailable for these conditions in Palm Springs.
◆ Housing Age . Housing condition is often inferred by age.

Homes built in the last 30 years are generally in good
condition, but older homes are likely to need reinvestment.

Homes built before 1978 may contain lead -based paint,
which is a health hazard, especially to children. Given the many historic homes in Palm Springs, however, housing age is not an appropriate measure of housing conditions.
◆ Incomplete Facilities . The lack of complete plumbing or kitchen facilities is often pointed to as substandard housing.

According to the 2012-2016 CHAS, 20 owner-occupied units lacked complete facilities, and 315 rented units lacked complete facilities. However, accessory units may share complete facilities (kitchen) with a main house. Less than 1 percent of homes were not heated by gas or electricity , although many homes in Palm Springs are powered by solar. ◆ Vacant/Boarded-up Housing. Code compliance staff
enforce boarded/vacant building and property maintenance codes. The codes were passed in the early 2000s to address distressed properties from prior recessions. With
improvements in home appreciation since then, the number of distressed properties has declined. Approximately 50 single-family and 10 multiple family units need replacement.

It is estimated that 1 percent of all homes , both single -family and multiple-family dwellings, either lack complete plumbing or kitchen facilities, are boarded up, or are considered substandard and in need of substantial rehabilitation.

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Palm Springs takes great pride in the quality and distinctive character of its housing and neighborhoods. Maintaining the condition and appearance of housing is essential for maintaining the value of homes and ongoing quality of life of a neighborhood .

Monitoring the value of residential alterations and additions can provide useful information on how well housing is maintained.

Since 2010, the city has experienced a significant increase in the dollar value of residential alterations and additions. As shown in Figure 3-5, the value of residential addition and alteration permits jumped considerably following the end of the recession in 2012.

During the decade, more than $1 58 million was invested in residential improvements. Permit valuation increased 100 percent, from $10 to $22 million annually over the decade.

Figure 3-5 Residential Alterations/Additions ($millions)

Though Palm Springs experienced property maintenance
challenges in the early 2010s, housing reinvestment has improved.

Of the total value of residential alterations and additions , single - family homes comprised 91 percent of the value , followed by apartments (5%), and condominiums (4%) of all permit valuations. $5.0
$10.0
$15.0
$20.0
$25.0
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Condominiums
Apartments
Single-Family
Source: City of Palm Springs, Building and Safety
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Palm Springs General Plan Page 25

HOUSING ELEMENT

SPECIAL NEEDS GROUPS
Special needs are those associated with specific demographic or occupational groups that call for specific program responses.

Section 65583(a)(7) of the Government Code specifically requires analysis of the special housing needs of people who are elderly or disabled (including developmental disabilities), female -headed households, large families, farmworkers, and people experiencing homelessness. This assessment has been expanded to include persons with HIV/AIDS.

These special-needs groups often spend a disproportionate amount of their income to secure safe, decent, and appropriate housing and are sometimes subjec t to discrimination based on their specific needs or circumstances. They also have limited housing
opportunities in the private market. Table 3-14 provides a summary of the number of special needs housing groups in Palm Springs.

Table 3-14 Special Housing Needs
Housing Needs Group
Number of People
or Households
Percent of People or
Households
Senior Households1 9,537 40%
Family Households with Children1 2,560 11%
Female Headed Family Households1 821 3%
Large Family Households1 957 4%
People with Disabilities1 8,156 17%
People with HIV/AIDS2 2,900 N/A
People who are Homeless3 189 <1%
People employed in Agriculture4 <26 <1%
Sources:

1. American Community Survey, 2014-2018

2. Riverside County Public Health Department, 2020

3. 2020 Riverside County Homeless Count (http://rchi.cs.ucr.edu/CityBreakdown)

4. The ACS reported 26 people employed in the farming, fishing, and forestry industries.

The following section contains a detailed analysis of the housing needs of special needs groups . The constraints analysis in the housing element addresses specific issues that may impede the development, maintenance, and improvement of needed housing.

Goals, policies, and programs to address special housing needs are included in the “housing plan” portion of the housing element.

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Seniors
Seniors have special needs because limited income, disabilities and health costs, and the need for transportation and supportive services make it more difficult for them to find and retain adequate affordable housing. As of 2017, the city had 14,790 seniors ages 65 and older and 9,537 senior-headed households (40 percent of all households). Of these households, 74 percent owned a home and 26 percent rented a home.

Seniors have been the fastest-growing segment of the Palm Springs population, increasing by approximately 20 percent each decade since 1990 . The percentage of Palm Springs’ populati on aged 55 years and older increased from 39 percent in 2000 to 44 percent in 2010 to at least 50 percent of all residents in 2018. If these trends continue and seniors stay in Palm Springs, the City can expect an increasing number of elderly residents needing assisted living care.

As seniors age, they have a higher incidence of disabilities that affect how well they can manage daily personal needs. According to the ACS, 33 percent of Palm Springs ’ seniors have a disability.

Approximately 60 percent of seni ors earn moderate or above moderate income incomes and only 20 percent overpay for housing.

Among the many low income seniors (35 percent of owners and 60 percent of renters), 76 percent of them overpay for housing.

According to the City’s 2020 -2024 Consolidated Plan, the primary housing-related needs for Palm Springs’ seniors are:
• Affordable senior rental housing (apartments), in particular homes affordable for lower income households.
• Housing assistance, specifically, funding to repair homes, provide utility assistance, and home maintenance.
• Supportive services for living independently, including food, health care, and other services.

Providing housing for seniors in Palm Springs is a key priority. An appropriate mix of affordable support services can allow seniors to live as independently as possible without changing their residences.

Services can include transportation, health care, home maintenance assistance, and lower-cost loans or grants to rehabilitate homes.

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Palm Springs General Plan Page 27

HOUSING ELEMENT
Palm Springs offers a variety of housing opportunities for seniors.

Table 3-15 lists the types and quantity of age-restricted housing available in the community and its affordability level.

Table 3-15 Senior Housing Communities
Housing Project Address Units Affordability
Vista Del Monte Co-op Apartments 1207 E. Vista Chino 51 Apts Lower Income Vista Serena Co-op Apartments 1201 E. Vista Chino 59 Apts Lower Income Palm Springs Pointe Apartments 3200 Baristo Rd 116 Apts Lower Income El Dorado Mobile Home Park 6000 E Palm Canyon 377 MHs Lower Income Sahara Mobile Home Park 1955 S. Camino Real 255 MHs Lower Income Four Seasons Retirement Four Seasons Blvd 477 SFR Market Rate Palm Springs View 6300 Bolera Dr 184 MHs Market Rate
Ramon Mobile Park 1441 E. Ramon Rd 264 MHs Market Rate
Parkview Mobile Estates 393 W. Mesquite Ave 187 MHs Market Rate Source: PlaceWorks 2020.

Notes: MH = mobile home; SFR = single-family residential

Note: In addition to independent housing, th e city also has 16 residential care facilities for the elderly in facilities serving six or fewer residents. In addition, the city has 6 larger facilities, serving 300 plus residents.

To meet the needs of senior residents , the City endeavors to encourage the provision of a full range of housing options for seniors and foster partnerships with agencies that serve senior residents. As detailed in the Housing Plan, the City commits to:
• Seek opportunities to increase the supply of affordable housing for seniors
• Provision of h ousing rehabilitation grants to income qualified seniors to repair their homes
• Provision and preservation of existing affordable housing, including age-restricted mobile home parks
• Permitting of residential care facilities and other assisted living options for residents
• Support l ow-cost transit options through Sunline and the improvement of bus stops and shelters
• Support nonprofit and for-profit agencies to provide a wide range of senior services
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Family Households
State law requires that the housing element include an analysis of the housing needs of two types of families—large families with five or more members and female -headed households. Family
households in Palm Springs have special needs for a variety of reasons, including the lack of larger rental and ownership housing, higher housing costs, and higher expenses for children.

Large families with five or more persons have special needs due to a lower per-capita income, the need for affordable childcare, and the need for affordable larger units, which are often in limited supply.

In 2017, Palm Springs had 957 large family households. In this group, 346 large families, or 36 percent of the group, own a home, and 611 large households, or 64 percent, rent housing.

Palm Springs has 2,911 families with children under the age of 18.

Of th ese, 1, 561 are married couples with children, 420 are-male- headed families, and 930 are female-headed families. Their housing needs are typically threefold:
• Income. Palm Springs is home to 930 f emale headed
households with children with no husband present. For this group, the med ian family income was $24,921 and the
poverty rate was 35 percent. There were also 420 male
headed families with children and with no wife present. The income s tatistics were similar. ; t he median family income was $26,354, and the poverty rate was 37 percent.
• Rental Housing . About 72 percent of single-parent male- headed households and 64 percent of single-parent female- headed households rent housing. Finding affordable housing is challenging in Palm Springs. The shortage of family
housing suitable for large families is more acute. In a survey of 30 apartment complexes, only 2 properties offered units with three or more bedrooms suitable for large families. • Childcare. According to Kidsdata.org, in Riverside County the average annual day care costs $12,930 for an infant, and $8,240 for a preschooler. Childcare slots are available for just 18 percent of children. However, families with children can receive assi stance through the Head Start program
(operated through PSUSD) or the California State Preschool program, which is free and serves 3–4 year old children.

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Palm Springs General Plan Page 29

HOUSING ELEMENT
Though most families reside in conventional single -family homes, the City has been active in providing affordable apartments, mobile homes, and single-family housing developments as well. Table 3-16 provides a summary of affordable family projects in Palm Springs.

Table 3-16 Affordable Family Housing
Housing Project Address Units Affordability
Coyote Run I Apartments 3601 N. Sunrise Way 140 Lower Income Coyote Run II Apartments 3401 N. Sunrise Way 66 Lower Income Rosa Gardens Apartments 555 Rosa Parks Rd 57 Lower Income Sunnyview Villa Apartments 2950 N Indian Canyon Dr 44 Lower Income Palos Verdes Villas 392 E. Stevens Rd 98 Lower Income
Pacific Palms Apartments 423 S Calle El Segundo 140 Lower Income Rancheria del Sol Apartments 303 S Calle El Segundo 76 Lower Income Santiago Sunrise Village MHP 1500 E. San Rafael Rd 175 Lower Income Single-Family Homes Scattered 54 Low//Moderate
Source: PlaceWorks 2020.

The City recently approved funding for the Monarch Apartments, a 60-unit affordable housing project consisting of 28 one -bedroom, 16 two-bedroom, and 16 three -bedroom units. The project is expected to be completed by 2023. A graphic of a portion of the property, including signature park, is below.

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People with Disabilities
The State of California defines disability as a physical or menta l impairment that “limits a major life activity” (Government Code Sections 12926 to 12926.1). Because of these limits , disabled persons have special needs for accessible housing. Many disabled persons live on fixed incomes, which limits their ability to af ford housing. Persons with a disability may also have limited housing choices (e.g., single-story homes, projects with elevators, need for a service animal).

The ACS tallies people with a disability who live in housing; people living in assisted living car e facilities or group quarters are not included. Therefore, the count of disabled people is a conservative estimate. According to the 2018 ACS, 8,156 Palm Springs residents (17 percent of “noninstitutionalized” residents) had one or more of these disabilities:
◆ Ambulatory Difficulty: 4,520 people (9.9 percent)
◆ Independent Living: 3,047 people (7.4 percent)
◆ Hearing Difficulty: 2,753 people (5.8 percent)
◆ Cognitive Difficulty: 2,689 people (5.9 percent)
◆ Vision Difficulty: 1,685 people (3.6 percent)
◆ Self-Care Difficulty: 1,408 people (3.1 percent)
Planning for the housing needs of people with disabilities involves a multifaceted approach: 1) Ensure that affordable housing is accessible; 2) Allow residents to modify or retrofit their homes to accommodate their disability; 3) To the extent feasible, ensure that housing is linked with services (such as transportation and social services) that allow residents to live at home; and 4) Provide fair housing services and education so that people are treated fairly.

Palm Springs’ affordable apartment housing that was constructed with state and federal funds is accessible to people with disabilities, as required by the federal American with Disabilities Act. The City also has a reasonable accommodation ordinance that allows residents to modify their homes to accommodate a disability.

Finally, the City currently contracts with a fair housing service provider to address fair housing concerns that might arise for property owners, landlords, or people with disabilities.

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HOUSING ELEMENT
Developmental Disabilities
A developmental disability, according to the Welfare Institutions Code, Section 4512, is one that originates before an individual becomes 18 years old, continues or can be expected to continue indefinitely, and is a substantial disability for that individual. This includes mental retardation, cerebral palsy, epilepsy, autism, and disabling conditions closely related to mental retardation. In 2019, the Inland Regional Center (IRC) reports that 150 developmentally disabled people live in Palm Springs. The majority of disabled people reside in a private home with their parent or guardian. With respect to age, about one-third are under age 18.

Individuals with developmental disabilities require housing types with varying levels of care —from independent living facilities, to group quarters, to institutional environments that provide on -site medical care. Important considerations are accessibility of the home and surroundings, access to medical care, affordability, and proximity to public transportation. The City’s continued implementation of the Americans with Disabilities Act and California Building Code, as well as thorough permitting and inspection practices, will ensure that housing is safe, adequate, and functional for this population.

Several nonprofit organizations provide housing and services for developmentally disabled people in the Coachella Valley. Angel View operates 19 group homes that house more than 100 children and young adults. Three of these facilities are in Palm Springs. The Inland Regional Center oversees eight single-family, supervised residential facilities that house four to six residents each. In Cathedral City, Casas San Miguel de Allende provides 38 apartments, and Canyon Springs is a State -operated intermediate care facility for 63 adults.

IRC is the State-designated coordinating service agency for people with development disabilities. It contracts with community -based service providers to help IRC consumers live the most independent and empowered lives possible. Although there are no intermediate care faci lities for this group in Palm Springs, Desert Arc serves developmentally disabled people through out the larger Coache lla Valley. This nonprofit provides employment training, employment, adult daycare, and independence training. Of its more than 500 clients, 36 are Palm Springs residents.

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People Living with HIV/AIDS
Persons living HIV/AIDS (PLWH/A) may face biases and
misconceptions about their illness that affect access to housing.

Such persons may also be the target for hate crimes. As of December 2018, 8,984 PLWH/A were living in Riverside County, and 5,977 were in east Riverside County. A large number of PLWH/A reside in Palm Springs, where the prevalence rate for PLWH/A is 7,170 per 100,000, or 20 times the rate in California (376.0 per 100,000).

PLWH/A have a wide range of housing and service needs. Short - term housing needs for persons with HIV/ AIDS may include independent housing, shelters or transitional housing, and hospice.

Long-term needs include affordable housing in close proximity to public transportation and health care facilities. As with other persons with disabilities, persons with HI V/AIDS may face discrimination that affects their access to housing due to fear, the need for reasonable accommodations, or other factors.

Affordable housing for PLWH/A is in very short supply. The City participated in the financing of Vista Sunrise, an 80-unit apartment project that provides special-needs, affordable housing for PLWH/A and those at risk of homelessness. DAP Health Project in Palm Springs provides medical care and support services to people living with HIV/AIDS in the d esert. AAP–Food Samaritans maintains an active program for distributing food vouchers to men, women, and children living with HIV/AIDS and other chronic illnesses.

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Palm Springs General Plan Page 33

HOUSING ELEMENT
Homeless People
In 2020, the Riverside County Department of Public Social Services conducted a “point-in-time” countywide survey of the homeless population. Information from the survey is summarized in the Riverside County 2020 Homeless Count and Subpopulation Survey.

The purpose of the project was to identify demographic information and assess the service needs of the homeless population. The count includes unsheltered individuals in each city.

As is the case through California, the Coachella Valley has seen a significance increase in the prevalence of homelessness over the past two years . In the Coachella Valley, the unsheltered homeless population increased 27 percent from 2018 to 2020. The count was not conducted in 2021 due t o COVID. In 202 2, Palm Springs reported 222 unsheltered homeless persons, a more than 75 percent increase the count of 126 people in 2018.

Like most communities, the homeless population in Palm Springs is diverse and it reflects the diversity of subpopula tions and background of homeless people that are present. The common denominator, though, is the prevalence of trauma and a
constellation of associated health problems. As detailed at http://rchi.cs.ucr.edu/CityBreakdown, the following characteristics were identified for unsheltered homeless people:
• Gender: 74 percent were adult males , 2 5 percent adult females, and 1 percent unknown. Ninety-five percent were single homeless individuals (5 percent youth).
• Race and Ethnicity: 57 percent were White, 20 percent Black or African American, and 23 percent were unknown.
• Trauma: 10 percent were victims of domestic violence , 6 percent had post-traumatic stress disorder.
• Disabilities: Disabilities included physical disability (37%), poor mental health (34%), substance abuse (33%), brain
injury (23%), and developmental disability (22%).
• Health Condition: 93 percent reported no t living with HIV/AIDS, 7 percent reported living with HIV/AIDS.
• Living Situation: Common living situations included: on the street (48%), vehicles (15%), encampment/bridges (15%).

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Shown in Table 3 -17, t he City’s strategy for addressing homelessness involves outreach and engagement, provision of housing (emergency shelter, transitional and permanent supportive housing), rehabilitative services , and collaboration with regional governmental entities. The City supports public, private, and nonprofit entities that provide emergency rental assistance, food/groceries and hot meals, physical and mental health services, social services, and jobs and employment training.

Table 3-17 Homeless Services Provided
Facilities and
Organizations Types of Services
Housing Crisis
Response Team
Palm Springs partners with Riverside County to provide mental health housing crisis teams to engage and refer individuals to resources for housing, mental health, and substance-use treatment. The focus is on reaching out to “on-the-street” homeless people.

Temporary and
Permanent Housing
Palm Springs assists in the provision of 18 scattered transitional apartments (Desert Horizons), 40 scattered apartments (Desert Vista), 25 permanent supportive units (Path of Life), 6-bed transitional facility for LGBTQ emancipating foster care youth ages 18-21 (Sanctuary, the only such program of its kind in the nation), and 10 SROs for formerly homeless and disabled persons. The City has agreements with housing developers to create new permanent supportive housing at the Aloe (25 units) and Vista Sunrise II project (29 units).

Drop-in Center A center with resources such as showers, laundry assistance, clothing, bathrooms, obtaining permanent housing, supportive housing, shelter, and program placement. Martha’s Village and Kitchen operates the Center to assist unsheltered individuals.

Wrap-Around Services Under contract with Martha’s Village and Kitchen, Palm Springs offers wrap-around services to assist residents in obtaining appropriate housing, accessing health/disability /social security and other benefits, employment training and jobs, and providing a variety of other support services for Palm Springs’ homeless population.

Other Supportive
Services
Palm Springs participates with agencies to provide other services.

These include grocery distribution and hot meals (Well in the Desert), emergency rental assistance food and shelter (Catholic Charities and St. Theresa’s church), and emergency assistance to seniors (Jewish Family Services and Senior Advocates of the Desert).

Source: City of Palm Springs, 2020.

In 2019, the State Legislature approved a one -time grant to Palm Springs for $10 million t o develop a strategy and plan for services for addressing homelessness in the community. The City allocated the funds to three projects (Aloe, Sunrise Vista II, and Monarch). In addition, the City will be opening a new homeless navigation center in north Palm Springs to further serve residents.

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HOUSING ELEMENT
Farmworkers
Historically, the Coachella Valley has long been known for its agricultural operations. The Valley’s agricultura l industry is the second largest contributor to the economy, employs approximately 12,000 people and produces nearly a billion dollars annually in agricultural products each year. These includes crops such as dates, bell peppers, lettuce, grapes, citrus, and other crops.

Riverside County Agricultural Department reports that 300 to 330 farming operations are active in the Coachella Valley. While Palm Springs once had limited farming operations, no known farming operations exist today in the city or its spher e according to the California Department of Conservation. No non irrigated farmland, irrigated farmland, prime farmland, farmland of statewide importance, unique farmland, or grazing land exists in the City.

The City’s primary industry related to agricultu re is cannabis. To facilitate that industry, the City allows agricultural structures in used exclusively in connection with the production, harvesting, storage, drying, or raising of agricultural commodities, including livestock. The structure may be used for storing agricultural commodities and farm implements, and the processing,
manufacturing, testing, treatment, and packaging of such products.

Riverside County conducted a comprehensive survey of
farmworkers in 2006 and found that 90 percent lived in Mec ca, Thermal, Coachella, and Indio. 1 None listed Palm Springs as their residence and no further data is available from the USDA census.

The ACS reports that 26 residents are employed in the farming, forestry, fishing, and natural resources sector. Given that the City fronts the Santa Rosa and San Jacinto Mountains, the majority of the 26 employees are likely in the forestry sector.

The City does not permit agricultural housing in the community due to the lack of the demand for such housing. However, as required by the Employee Housing Act, the Housing Plan contains a program to amend the zoning code to allow for employee housing as required in the California Health and Safety Code, 17021.5 and 17021.6.

1 Institute for Urban Research and Development, Coachella Valley Farm Worker Survey, January 2007; Accessed at: http://lib.ncfh.org/pdfs/2k12/8920.pdf Item 2A - Page 58

HOUSING PRESERVATION NEEDS
This section provides an inventory of the city’s affordable housing.

In accordance with Government Code Section 65583(a)(9), this section contains an inventory of publicly subsidized multiple-family projects in Palm Springs and an analysis of existing assisted housing developments that are eligible to change from low-income housing uses during the next 10 years due to termination of subsidy contracts, mortgage prepayment, or expiration of use restrictions.

Palm Springs has a large inventory of residential developments that have received government assistance or are under rent control—6 percent of all housing units. These include 1,167 apartment units, 832 mobile home units re gulated by affordability agreements or rent control, and 53 single-family homes. An undetermined number of additional housing units in Palm Springs were assisted by other programs not directly under City jurisdiction.

Figure 3-6 provides a summary of the affordable housing projects by number and type of occupancy in Palm Springs.

Figure 3-6 Assisted Affordable Housing in Palm Springs
Table 3-18 provides an inventory of publicly subsidized apartments in the city, followed by a description of each project, affordability covenants, and other project information.
-
200
400
600
800
1,000
1,200
1,400
Mobile Homes Apartments Single-Family
All Ages Age-Restricted Special Needs
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HOUSING ELEMENT
Table 3-18 Assisted Multifamily Housing
Development Name
Type of
Unit Form of Assistance
Units |
Affordable
Subsidy
Terminates
Vista Del Monte
1207 E. Vista Chino
Senior/
Disabled
Original: HUD 202/811

51 DU
50 LI 2039
Vista Serena
1210 E. Vista Chino
Senior/
Disabled
Original: HUD 202/811

59 DU
58 LI 2036
Heritage Apartments
300 S Calle El Segundo Seniors Former CRA Funds 136 DU
68 LI 2026
Palm Springs Pointe
3200 Baristo Road Senior Original: HUD 202/811
New: 4% LIHTC (2006)
116 DU
115 LI 2062
Sunnyview Villas
2950 N. Indian Canyon Family Original: Section 221(d)(4) New 4% LIHTC (2022)
44 DU
44 LI 2068
Rosa Gardens
555 Rosa Parks Road
Large
Family
4% LIHTC (2009); HOME;
MHP; CRA
57 DU
56 LI 2069
Pacific Palms Apartments
410 S. Calle Encilia
Non-
Targeted
Original: 4% LIHTC (2000)
New: 4% LIHTC (2020)
140 DU
138 LI 2075
Coyote Run I Apartments
3601 N. Sunrise Avenue
Large
Family
LIHTC (9%), HCD-RHCP,
former CRA
140 DU
139 LI 2048
Coyote Run II Apartments
3401 N. Sunrise Avenue
Large
Family
LIHTC (4%); HCD-HOME
and MHP, former CRA
66 DU
65 LI 2061
Rancheria del Sol
303 S. Calle El Segundo Family Original: Section 236(d)(1) New: 4% LIHTC (2014)
76 DU
75 LI 2069
Seminole Garden
2601 S. Linden Way
Large
Family
Original: Section 221(d)(3)
New: 4% LIHTC (2002)
60 DU
60 LI 2032
Tahquitz Court Apartments
2890 E. Tahquitz Canyon
Family/
Senior
Original: Tax Exempt
Bond; City Assistance
108 DU
107 LI 2026
Palos Verdes Villas
392 E. Stevens Road Family Original: CalHFA (1992);
former CRA funds (1992)
98 DU
20 LI 2025
Racquet Club
2383 E. Racquet Club Family Riverside County Housing
Authority; public housing
9 DU
9 LI perpetuity
Calle de Carlos-I & II
3721-3989 Calle de Carlos Family Riverside County Housing Authority; public housing
4 DU
4 LI perpetuity
Palm Springs View Apts.
500 W San Rafael Dr
Non-
targeted
Tax Exempt Bond (1986),
9% LIHTC (1990); bond
(1996).
119 DU
119 LI 2031
Vista Sunrise Apartments
1313 E. Vista Chino PLWH/A HOME; 4% LIHTC; former
CRA; CalHFA
80 DU
79 LI 2062
Nightengale Manor
2951 De Anza Road Homeless Former CRA funds; County
of Riverside
12 DU
12 LI 2068
Source: City of Palm Springs, 2020.

CRA: Palm Springs Community Redevelopment Agency (former) LIHTC: Low income housing tax credits
MHP: California Multifamily Housing Program
HOME: State Home Investment Partnership Funds
CalHFA: California Housing Finance Agency (bonds)
Sections 221, 236, 241: Federal HUD financing for affordable housing Item 2A - Page 60

Senior Housing
Vista Serena and Vista Del Monte
Palm Springs has a large population of retired senior residents.

Vista Serena Co-op, completed in 1998 with 59 units, and Vista Del Monte Co -op, completed in 2001 with 52 units, offer affo rdable units to very low income seniors. Both projects were financed under HUD’s Section 202 Supportive Housing for the Elderly Program. The City sold land at a subsidized price to help finance these projects.

HUD provided interest-free capital advances to finance the construction, rehabilitation, or acquisition of structures. The capital advance does not have to be repaid as long as the project serves very low-income seniors for 40 years. These projects are deed restricted as affordable until 2036 and 2039, respectively.

Palm Springs Pointe
Palm Springs Pointe Apartments provide 116 units of affordable housing to very low income seniors. Originally built in 1981 with federal financing, this property had been receiving p roject rental assistance contract funds, which makes up the difference between the reduced rents that eligible seniors pay and the operating expenses of a particular development . The City has been assisting the project by providing an extended free lease on the land in return for 45 -year affordability covenants . In 2006, the Las Palmas Foundation acquired/renovated the project using 4 percent low income housing tax credits ( LIHTC). The City also extended the project’s ground lease. Under the LIHTC, a covenant requires that all 116 units remain affordable for lower income seniors until 2062.

Heritage/La Ventana Apartments
The Heritage Apartments is a 136-unit apartment complex built on allottee land that offers affordable rents for lower income seniors.

Built in 1979, the property was originally financed without public subsidy. In 2000, the new property owners sought to make significant repairs to address long-term deferred maintenance. The City of Palm Springs entered into an owner participation agreement (OPA) in which the former community redevelopment agency (CRA) provided $450,000 in set-aside funds in return for a covenant to reserve 68 units as affordable for very low income households .

The owner matched the agency’s funds in interior improvements.

The covenant runs for 25 years to 2026, so the complex is at risk of conversion during this housing element cycle.

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HOUSING ELEMENT
Large-Family Housing
Rosa Gardens
Rosa Gardens Apartments is a 57 -unit apartment complex that offers affordable housing for very low/low income large families.

The City entered into an OPA with the developer to finance construction, contributing $1. 6 million in gap financing and an additional $400,000 in Neighborhood Stabilization funds for mitigation of on -site stormwater runoff. In addition, the project received $3 million in LIHTC funds, $4.1 million in HOME Investment Partnership funds, $4 million in State Multi family Housing Program funds , and other f unding. The total project cost was estimated at $21.1 million. Upon completion in 2011, the Rosa Gardens project was deed restricted as affordable, with a covenant running for 55 years ending in 2069.

Coyote Run I
Coyote Run I Apartments is a 140-unit project that offers affordable housing for lower income families. Coachella Valley Housing Coalition owns and operates the project. In 1991, the Palm Springs CRA approved an OPA to finance the construction of the project, providing a loan of $200,000 and contributing land for the project.

HCD provide d $4.5 million in loans under its Rental Housing Construction Program . The project is deed restricted with a requirement of a minimum of 100 percent of units for low and very low income residents earning less than 60 percent of median family income. The affordability covenant for the Coyote Run I apartments runs for 30 years until May 2048.

Coyote Run II
Coyote Run II Apartments is a 66-unit project that offers affordable housing for low er income, large families. The Coachella Valley Housing Coalition owns and operates the project. Built in 2006, the former CRA entered into an OPA to finance expansion of the project, providing $1.7 million in former Palm Springs funds, including land.

The project also re ceived funding through a 4 percent LIHTC in 2003 and HCD HOME and Multifamily Housing Program funds. The land was previously owned by the City as a remainder parcel from the original Fredericks Development project (Sunrise Norte) and conveyed to the Coyote Run project. The affordability covenant for the Coyote Run II apartments runs for 55 years until 2061.

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Family Projects
Rancheria del Sol
Rancheria del Sol Apartments is a garden-style apartment project that offers 75 units affordable to lower income families. Built in 1972, the project was originally constructed with a CHFA loan and later refinanced with a HUD Section 236(j)(1) loan . The apartment project had a 40-year low income use restriction, which matured in 2012, and the pr oject was assis ted with a Project Based Section 8 rental subsidy . In 2014, Rancheria Housing Partners secured a 4 percent LIHTC for the purpose of rehabilitating and preserving the project. Under this program , the project offers units at the following affordability level s: 12 very low income and 63 low income units. The mortgage maturity date was extended 55 years to 2069, so the project is not at risk of conversion.

Palos Verdes
In 1992, the former Palm Springs CRA approved an OPA pursuant to Res. No. 849 to assist in facilitating c onstruction of a 98 -unit apartment project. The OPA pledged a financial subsidy of $1.468 million in exchange for the dedication of 20 units set aside for 30 years as affo rdable to households earning below 50 percent of median income. Over the following decades, the developer, CRA, and the California Housing Finance Agency entered into fo ur subordination agreements , the most recent in 2016. I n 2016 , a CalHFA loan of $8.3 million was approved to finance rehabilitation and preservation of the project. Under the current agreement, the project will continue to be affordable until 2025 ; therefore, it is at risk of conversion during this housing cycle.

Pacific Palms
Pacific Palms Apartments is a garden -style project that provides 138 housing units affordable to very low and low income families.

Originally built in January 2000, the project was financed with a 4 percent LIHTC, with affordability covenants put in place until the year 2055. Over the next 20 years, the project gradually needed rehabilitation. In 2019, the City held a public hearing to authorize the release of up to $23 million of tax-exempt bonds to purchase and rehabilitate the project. Land and acquisition will cost $18 million.

Rehabilitation costs of $4 million will also upgrade th e project to comply with current building codes and energy efficiency standards. As a condition of the tax credit financing, the affordability covenant was extended 55 years (until 2075).

Pacific Palms Apartments
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HOUSING ELEMENT
Tahquitz Court
Tahquitz Court is a garden -style apartment project that provides 108 units of housing affordable for lower income f amilies. The project was originally built in 1963 as the San Carlos Apartments.

In 1993, the Corporate Fund for Housing (CFH) bought the property and rehabilitated it using proceeds from a $3. 4 million tax exempt bond. To support the effort, the City approved a $590,000 forgivable grant for rehabilitation costs and bond issuance. In return, a 30-year affordability covenant was included in the 1993 Regulatory Agreement, guaranteeing the affordability of the project until 2023.

The bond has since been repaid. In 2012, LINC proposed for a LIHTC but was not approved for $16 million in tax credits. The owners have issued notice to the City that they will opt out in 2026.

Sunnyview Villas
Sunnyview Villas Apartments offers 44 affordable units for low income families. Built in 19 71, this project was financed through a Section 221(d)(3) market rate mortgage and received a Project Based Section 8 subsidy to ensure the affordability of its units.

Under this p rogram, HUD directly pays the property owner the difference between a tenant’s rent contribution (30 percent of monthly income) and the fair market rent set by HUD. In 2020, Sunnyview Villas’ rental affordability covenant expired when the mortgage ma tured, though HUD granted an extension to the project’s HAP contract another 20 years till 2040. In 202 3, the property owners will rehabilitate the property with $20 million in bond funds, and extend affordability for 55 years.

Seminole Gardens
Seminole Gardens is a garden-style apartment that o ffers 60 units affordable to very low and low income families. Built in 19 64, this apartment project was originally financed by a Section 221(d)(3) market rate mortgage . When the original mortgage expired , however, the affordability of rents was maintained with project- based Section 8 vouchers. In 2002, the Jamboree Housing Corporation and Preservation Partners Development rehabilitated the project with 4 percent low income tax credits. Under terms of the financing, the affordability of 60 units to lower income households was extended for 30 years until 20 32. Therefore, this residential project is not considered at risk of conversion.

Sunnyview Villas
Item 2A - Page 64

Special Needs Housing
Nightingale Manor
Since the lat e 1980s, the County has owned this property for the purpose of providing housing for homeless people. On July 11, 2011, the Palm Springs City Council approved a n OPA for $80,000 with Jewish Family Services of San Diego to rehabilitate the Nightingale Manor as a 10 -unit, single-room occupancy ( SRO), permanent supportive housing. The target population is persons who are homeless or at risk of being homeless. Under the terms of the OPA, the project has a new affordability covenant of 55 years for low income households (< 60 percent of MFI). The project’s affordability covenant was extended to 2068 and is therefore not at risk of conversion. Jewish Family Services operates the project.

Vista Sunrise
Opened in 2007, Vista Sunrise is an 80 -unit project affordable for very low and low income residents living with HIV/AIDS. This project includes social service facilities provided by the DAP Health Project and health care provided by the County of Riverside, which also provided $1.5 million in HOME funds. A dditional funding included a 4 percent LIHTC, an Affordable Housing Program loan , and a Multifamily Housing Program loan from HCD. The City of Palm Springs also contributed an additional $2 million, including $1.3 million in cash; 1.2 acres of land; and waiver of park, transportation, and completion of off -site improvements. The total development cost of the project was approximately $11 million. Covenants will guarantee affordability for 55 years till December 29, 2061.

Palm Springs View
Palm Springs View is a 1 19-unit apartment project. To finance its construction in 1986, the City issued a bond of $5.4 million subject to the condition that 60 percent of the project units be affordable to low income residents. The maturity date was to be 45 ye ars from the date of issuance. In 1990, the project financing was restructured as a condition of receiving a 9 percent LIHTC. The length of the covenant pursuant to the tax credits is unknown. In 1996, pursuant to the amended regulatory agreement, the City issued a bond not to exceed $3.12 million to refinance the project. In the restated agreement, 119 units were to be affordable to low income residents.

The affordability term of the project is assumed to be 45 years , meaning that the covenant would extend until 2030/2031.

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HOUSING ELEMENT
Preservation Analysis
Palm Springs has four affordable housing projects in which affordability covenants will expire on 314 units by 2031. These are Palm Springs View, Tahquitz Court, Palos Verdes, and Heritage Apartments. The City will b e faced with how to preserve existing affordable projects. Available options fall into four categories:
◆ New Construction. National studies show that median total development costs per unit for affordable apartments in California are $ 250,000 (land included) and $20 0,000
(without land) based on a sample of LIHTC projects. Under this scenario, replacing the 314 at-risk affordable units would cost between $62.8 million (without the land) and $ 78.5 million (inclusive of land).
◆ Acquisition/Rehabilitation (A/R). Over the past five years, several apartment A/R projects were completed in Palm
Springs. The average total development cost (inclusive of land) for such projects was $180,000 per unit. Under this scenario, replacing the at -risk units in Palm Sprin gs would cost an estimated $56.5 million. Because these are existing projects, the total development cost is inclusive of land costs. ◆ Rehabilitation. There is no industry standard for estimating rehabilitation costs for multiple-family housing since the cost depends on the improvement s (e.g., energy conservation , roofing, or deferred maintenance ). If apartment
rehabilitation projects average $100,000 per unit, the cost of preserving units (assuming deed restrictions were extended) would translate to $31.4 million.
◆ Extend Rent Subsidies. The cost depends on the difference between the market rent and subsidized rent and length of affordability control. Given the average difference in the low rents in Palm Springs versus Cou nty fair market rent ( about $100 per month), it would cost an estimated $20.7 million to extend ren t subsidies for 55 years. This is the least costly scenario, but it would not qualify for RHNA credits.

Option 4 would be the most affordable way to preserve at -risk projects in Palm Springs, particularly given that rent increases on older projects are controlled under state law until 2029.

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Mobile Home Parks
Palm Springs has 1 3 mobile home parks, providing an estimated 2,147 units of housing. Typically, mobile home parks offer one of the more affordable housing options for families and seniors. • Rent Controlled. F our mobile home parks are subject to rent control: Ramon Park, Safari, Palm Springs View Estates, and Sahara . Re nt increases for applicable un its are
controlled to a percentage of the consumer price index. Rent- controlled mobile home parks must provide and maintain
services and facilities in accordance with the City ’s rent control ordinance.
• Not Rent Controlled. Mobile homes are exempt from rent control if the unit is not the principal residence of the owner, the park is situated on Indian trust or allottee land, or the mobile home park is used for recreational vehicles. However, affordability controls on the mobile home units may still apply if the project has received financial assistance from a private or governmental agency.
• Resident Owned. The City has two mobile home parks (El Dorado Mobile Homes and Parkview Mobile Estates) that are resident owned, where the property owner owns the trailer and holds common interest in the underlying land. Such
mobile home parks are similar to condominiums. El Dorado also received state funds for conversion to ownership.

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HOUSING ELEMENT
Of the 13 mobile home parks in Palm Springs, the City has provided financial assistance to 3, so these parks have affordability controls in place beyond the rent control ordinance. These projects are described following Table 3-19, which lists all mobile home parks in Palm Springs; their occupancy characteristics (senior age restricted or all ages); affordability controls, if any; and the number of trailers in the park. Figure 3 -7 at the conclusion of this section shows the location of affordable housing in Palm Springs.

Table 3-19 Mobile Home Parks and Regulatory Restrictions Development Name Occupants
Total Units |
Affordability
Controlled
Rent
Control
Publicly
Assist.

Resident
Owned
Palm Canyon Mobile Club
1880 S. Palm Canyon Drive All Ages 229 DU
N/A No No No
Golden Sands MHP
1900 San Rafael Road All Ages 152 DU
N/A No No No
Horizon Mobile Village
3575 E. Palm Canyon Drive All Ages 168 DU
N/A No No No
Sun Canyon Estates1
22840 Sterling Avenue All Ages 202 DU
N/A No No No
CareFree Mobile Village1
17069 N Indian Canyon Dr All Ages 96 DU
N/A No No No
Western Village Ranch
88 Bonanza Road All Ages 129 DU
N/A No No No
Happy Trailer RV Park
211 W Mesquite Ave All Ages 137 DU
N/A No No No
Parkview Mobilehome Estate
393 West Mesquite Ave Seniors 187 DU
N/A No No Yes
Ramon Park
1441 E. Ramon Road Seniors 264 DU
117 DU Yes No No
Safari Park
2601 Cherokee Way Seniors 215 DU
83 DU Yes No No
Palm Springs View Estates
6300 Bolero Rd Seniors 184 DU
184 DU Yes No No
Santiago Sunrise Village
1500 E. San Rafael Road All Ages 175 DU
85 LI DU No Yes No
Sahara Mobile Homes
1955 S. Camino Real Seniors 254 DU
252 LI Yes Yes No
El Dorado Mobile Homes
6000 E. Palm Canyon Drive Seniors 377 DU
111 LI No Yes Yes
Total 2,769 DU
832 LI
Source: City of Palm Springs 2020.

Note: Number of affordable units in rent-controlled parks refer to the units under rent control.

1. Mobilehome parks located in the City’s Sphere of Influence

Item 2A - Page 68

El Dorado Mobile Home Park
The El Dorado MHP is a 377 -unit project . In 2000, its property owners notified the City of the desire to convert the park from rental to ownership status. To facilitate that effort, the former Palm Springs CRA assisted tenants to buy land in advance of the conversion of the park to condominium ownership. The Palm Springs CRA assisted 17 moderate -income purchasers at a cost of $85,000 and provided $39,000 to low income renters for their income certifications. The park received $1 million from the Mobile Home Park Resident Ownership Program to assist low income buyers. Presently, there is no affordability covenant because the City funds were not provided with a condition of guaranteeing rents. No additional information is available on the other affordable units.

Santiago Sunrise Village
Santiago Sunrise Village i s a 175 -unit mobile home park built in 1982. The former CRA assist ed with financing its construction in return for an agreement that 85 units (50 percent) be deed restricted at rents affordable to low income residents. In 2004, the City facilitated conversion of the project to a nonprofit corporation, acquisition/rehabilitation of the park, and purchase of the ground land lease and adjacent 20 acres of land. Financing was obtained by the issuance of $ 3.77 million in Multifamily Mortgage Revenue Bonds (including the underlying fee interest of the land at a value of $392,000). In 2014, the owner refinanced the mortgage loan to address other rehabilitation needs. As a CRA -funded project, the affordability covenants extend for 55 years until 2058.

Sahara Mobile Home Park
Sahara MHP is a 254 -space unit mobile home park built in 1955.

Over the years, Sahara MHP incurred housing rehabilitation needs.

To address that need, the CRA entered into an owner participation agreement in 2002 (amended in 2007 ) with Millen nium Housing and loaned $850,000 for acquisition and rehabilitation costs. In return, Millennium deed restricted 50 percent of units (127 spaces) as affordable to very low and low income units for 55 years . T he other 125 units are rent controlled . In 2012, the City issued $15 million in refunding bonds through the ICFA to finance rehab needs, and extended the expiration date of the covenants to 2057. In 2021, Millennium refinanced the $12.5 million in bonds in return for extending the affordability covenant to 2076.

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HOUSING ELEMENT
Figure 3-7 Affordable Housing Projects in Palm Springs

Item 2A - Page 70

Qualified Entities
Owners of government -assisted developments cannot terminate subsidy contracts, prepay a federally assisted mortgage, or discontinue use restrictions without first providing an exclusive "notice of opportunity to submit an offer to purchase" to each identified qualified entity. As such, State law requires the Housing Element to identify local public agencies, public or private nonprofit corporations, and for -profit organizations with the legal and managerial capacity to acquire and manage at-risk projects.

The following entities in Table 3 -20 are certified for Riverside County and can be found at: https://www.hcd.ca.gov/policy- research/preserving-existing-affordable-housing.shtml.

Table 3-20 List of Qualified Entities in Riverside County Entity Address City
St. Vincent de Paul Village 3350 E St San Diego
Neighborhood Housing Services of the
Inland Empire, Inc.
1390 North D St San Bernardino
BUILD Leadership Development Inc. 1280 Bison, Ste. B9-200 Newport Beach Coachella Valley Housing Coalition 45-701 Monroe St, Ste. G., Plaza I Indio Anka Behavioral Health 1850 Gateway Blvd., Suite 900 Concord Housing Corporation of America 31423 Coast Highway, Ste. 7100 Laguna Beach Southern California Presbyterian Homes 516 Burchett St Glendale The East Los Angeles Community Union 1248 Goodrich Blvd. Los Angeles Nexus for Affordable Housing 1572 N. Main Street Orange Orange Housing Development Corp. 414 E. Chapman Avenue Orange Keller & Company 4309 Argos Drive San Diego
Poker Flats LLC 1726 Webster Los Angeles
Coalition for Economic Survival 514 Shatto Place, Suite 270 Los Angeles CSI Support & Development Services 201 E. Huntington Drive Monrovia ROEM Development Corporation 1650 Lafayette Circle Santa Clara Innovative Housing Opportunities, Inc. 19772 Macarthur Blvd. Ste. 110 Irvine Source: California Department of Housing and Community Development

The City has successfully worked with a variety of partners to extend the affordability controls on existing affordable properties which have become eligible to convert to nonaffordable rents.

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HOUSING ELEMENT

CONSTRAINTS ANALYSIS
Housing constraints refer to land use regulations, housing policies, zoning, and other factors that influence the price and availability of housing opportunities in Palm Springs. This section provides an overview of the City’s General Plan, Zoning Ordinance, Consolidated Plan, Analysis of Impedim ents, and other documents that identify public policies and governmental regulations that may limit or enhance housing opportunities in Palm Springs.

NONGOVERNMENTAL CONSTRAINTS
There are a number of nongovernmental constraints to the ability to deliver housing, especially affordable housing, in Palm Springs.

The most severe of these are high land costs, high construction costs (for labor, materials and financing), and financing availability.

Land Prices
Land costs a re typically one of the primary costs of building housing. Land costs include the costs of raw land, site improvements, and all associated costs. Residential land in the Coachella Valley is affordable compared to other Southern California markets. However, increased in-migration and competing land uses will continue to place significant upward pressure on land costs, particularly in Palm Springs and other upscale resort cities.

The supply of undeveloped land has historically not been a constraining factor to development in Palm Springs, although the cost of the land is a consideration. Factors affecting the costs of land include: overall availability within a given subregion; environmental site conditions; public service and infrastructure availability; aes thetic considerations such as views, terrain, and vegetation; the proximity to urban areas; and parcel size.

Raw land for residential uses ranges in cost from approximately $20 to $30 per square foot in most of the urban areas of the city. Land zoned for higher density housing will cost more as more units are allowed per acre. V acant land that is zoned for multifamily residential use is valued at $8 to $15 per square foot for R-2 zoned land, and $25 to $30 per square foot for R-3 and R-4 zoned land.

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Land Ownership
Palm Springs has a unique pattern of land ownership. The city is divided into Indian and non -Indian property holdings in a grid of square-mile sections of alternating ownerships. This pattern dates back to the establishment of the Agua Caliente Indian Reservation in 1876.

Reservation lands fall into three categories:
◆ Tribal Trust Lands. In the 1970s, the City and the Tribe came to an agreement that recognized the Tribe’s authority to regulate Indian Trust lands . Under amendments to this
agreement, the Tribe consults with the City on land use and development proposals located on Tribal Trust Lands, with the Tribal Council retaining final authority over land use matters on Indian lands.
◆ Allotted Trust Lands. These lands are where title is held by the United States for members of the Tribe ( Allottee). The Tribe retains sovereign authority over land uses and
regulation, but the lands are subject to the same development standards and regulation as land owned by non-Indians (per agreement between the Tribe and the City). With consent of the U.S. Department of the Interior, Bureau of Indian Affairs, an Allottee can sell or lease such lands.
◆ Fee Lands. Fee lands are parcels that were originally allotted to a tribal member as trust lands, but have been sold outright to another entity. Although the Fee Lands remain within the historical boundaries of the Reservation, they now can be owned by anyone. Because of the sale to other entities, these properties are exclusively under control of the third party , and land use and development rights are no different than any other privately owned parcel.

The City continues to issue building permits for housing on Indian- and non-Indian-owned land. Although the Tribe maintains appeal authority on Allotted Trust lands, they have not disapproved a housing project in years. Though the present land ownership pattern has not constrained the production of housing, the City does not include tribal trust lands as a means to achieve its RHNA.

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HOUSING ELEMENT
Construction Costs
Construction costs for residential development vary considerably.

Factors to consider include the cost of land, which varies depending on topography or presence of environmental constraints. The availability of infrastructure to serve development is also a large cost component, particularly if water, sewer, and drainage facilities are needed. Finally, the quality of materials is also a consideration.

Single-Family Development
Construction costs include labor, materials, site improvements, and developer profit. R.S. Means and Reed Construction Data provide construction cost manuals for calculating the average cost per square foot of residential construction in Southern California.

Regionwide numbers may not accurately reflect the actual costs of building in Palm Springs. Construction costs range from $1 20 to $180 per square foot, or an average of $150 per square foot. This translates into a cost of $300,000 for a 2,000 square-foot home.

Multifamily Development
The California HCD analyzed approximately 400 low income housing tax credit projects and found that construction costs were 70 percent of the cost of developing and building affordable housing. Total costs averaged $250,000 per unit or $300 per square foot. Other costs included developer fees (13 percent), demolition and site prep aration (8 percent), and other fees (10 percent).

Though reducing the quality of materials is often cited as a way to reduce building costs, the City must consider such strategies in light of the long-term impact on the life cycle cost of projects.

Manufactured Housing
Manufactured housing is a more cost-effective alternative for developing housing than conventional single - and multiple-family housing. However, travel costs must also be factored into the price.

In Palm Springs, the cost savings are maximized if the home manufacturer is in the Coachella Valley. No estimates are available for constructing such housing. However, given that the sales price is only one -half that of single -family residen ce, one can assume substantially lower development costs.

The above estimates should be considered average costs and not applicable to every community or development type in the city.

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On- and Off-Site Improvements
Residential developers are required to provide on - and off -site improvements that are necessary to ensure public safety and quality of life, to mitigate identified environmental impacts, and to ensure orderly development of land. Such improvements are also mandated by the State Subdivision Map Act and the CEQA. The City sets these requirements through the general plan, municipal code, or typical improvement conditions placed on all new development.

Typical improvements may include public improvements within the development site (“on -site improvement”) or adjacent to or near the development site (“off-site improvement”). If not in place, their installation will be required as conditions of approval of the subdivision, parcel map, or site development permit. These include:
• Street development or improvement, including streetlights, street trees, traffic signals, sidewalks, etc. (See Table 3-21). • Utilities, including water, sewer, storm drains, and dry utilities underground to support residential development. • Land for park and recreational purposes, or easements for other public improvements.

Table 3-21 Street Infrastructure Requirements
Roadway Type Lanes
ROW (ft)
Curb-Curb (ft) Sidewalks
Bicycle
Lane
Major (6-lane divided) Thoroughfare 6 110’ | 86’ Both 8’ wide Likely Major (4-lane divided) Thoroughfare 4 100’ | 76’ Both 8’ wide Possible Secondary Thoroughfare 2-4 80-88’ | 64’ Up to 8’wide Possible Collector (2 lane (un)divided) 2 60-66’ | 40’ Varies Possible Local 2 50-60’ | 28-36’ Varies Possible
Source: Palm Springs Municipal Code and Engineering Design Standards, 2021

Site improvements have not constrained development as several subdivisions are under construction. Surrounding cities (e.g., Palm Desert, Cathedral City, and others) also have nearly identical street standards, including 40’ curb-curb requirements on local streets. At times, the City has contributed t o the cost of installing off-site improvements when affordable housing is proposed. In particular, the City will allow a waiver of undergrounding of utilities in accordance with a DDA executed for affordable housing.

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Palm Springs General Plan Page 53

HOUSING ELEMENT
Local Government Fees
Palm Springs, like other cities throughout the region, charge s various fees and assessments to cover the cost of processing development permits and ensuring that adequate public facilities , infrastructure, and municipal services are available to support residential developments. These include planning fees, building permit fees, special permits, and development impacts fees.

The primary residential development fees are listed in Table 3-22 followed by an assessment of their impact on housing development.

To address state law transparency requirements, these are listed at https://www.palmspringsca.gov/government/departments/plann ing/applications-fees
Table 3-22 Residential Development Fees

Single-Family
Housing
Multiple-Family
Housing
Fee Reduction
for Affordable
Housing
City Development Fees
Architectural Review $3,325 $3,325 Yes
Major Development Permit $6,727 $6,727 Yes
Minor Development Permit $3,325 $3,325 Yes
Conditional Use Permit $6,520 $6,520 Yes
General Plan Amendment $14,095 $14,095 Yes
Zone Change $14,167 $14,167 Yes
Tentative Tract Map $13,258 $13,258 Yes
Tentative Parcel Map $10,703 $10,703 Yes
Variance $4,655 $4,655 Yes
Development Impact Fees
City Public Art ¼% valuation ¼% valuation Yes
Construction Tax $.040/ gross bldg. area or $500/unit Yes * Park In-lieu $750–$1,500 based on bedroom size Yes
County Drainage Fee $4,213 – $10,311 per acre No
** Water – Backup Facility +
Imported Water charge
$3,840
(5/8x3/4 pipe)
$8,425
(1 inch line) No
City Sewer Facility $3,000/du $3,000/du Yes
County TUMF $2,310/du $1,330/du No
Palm Springs USD $4.08 / sf $4.08 / sf No
CVMSHCP $1,371/du $254-$571/du No
Source: City of Palm Springs Planning Department, 2021.

Note: Projects may require site-specific environmental assessments, not included in table totals. * Park In-lieu fees depend on Quimby fee and land costs ** Water fees depend on zone.

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