ATTACHMENT B
Annual TBID Report for
FY 2026-27
PALM SPRINGS SMALL HOTEL TOURISM
BUSINESS IMPROVEMENT DISTRICT
“TBID”
CITY OF PALM SPRINGS, CALIFORNIA
REPORT OF THE TBID ADVISORY BOARD
FISCAL YEAR 2026-2027
Introduction
The Advisory Board of the Palm Springs Small Hotel Business Improvement District (the “TBID”), has caused this report to be prepared pursuant to Section 36533 of the Parking and Business Improvement Law of 1989 (Section 36500 and following of the California Streets and Highways Code) (the “Law”).
This report is for the TBID for Fiscal Year 2026-2027, commencing July 1, 2026 and ending June 30, 2027.
As required by the Law, this report contains the following information:
(1) Any proposed changes in the boundaries of the TBID or in any benefit zones within the TBID;
(2) The improvements and activities to be provided for Fiscal Year 2026-2027; (3) An estimate of the cost of providing the improvements and the activities for that fiscal year;
(4) The method and basis of levying the assessment in sufficient detail to allow each business owner to estimate the amount of the assessment to be levied against his or her business for Fiscal Year 2026-2027.
(5) The amount of any surplus or deficit revenues to be carried over from a previous fiscal year; and
(6) The amount of any contributions to be made from sources other than assessments levied pursuant to the Law.
Advisory Board Report Fiscal Year 2026-2027. Page 2 SECTION 1: Proposed changes in the boundaries of the TBID or in any benefit zones within the TBID.
The boundaries of the TBID are the City Limits of the City of Palm Springs.
These boundaries will continue for Fiscal Year 2026-2027. There are no benefit zones within the TBID.
SECTION 2: The improvements and activities to be provided for Fiscal Year 2026-2027.
No improvements are proposed to be provided for Fiscal Year 2026-2027. The activities listed in Addendum ‘A’ to this Report are proposed to be provided annually. Not all of these activities may be provided during that Fiscal Year, though work may be done on any or all of the activities during the Fiscal Year.
SECTION 3: An estimate of the cost of providing the improvements and the activities for Fiscal Year 2026-2027.
The total cost of providing the activities is estimated to be $ 1,375,000.00. The budget for providing the activities is set forth in Addendum ‘A’ to this Report.
SECTION 4: The method and basis of levying the assessment in sufficient detail to allow each business owner to estimate the amount of the assessment to be levied against his or her business for Fiscal Year 2026-2027.
Except where otherwise defined in this Report, all capitalized terms shall have the meanings set forth in the Palm Springs Municipal Code. Additionally, the following terms shall have the following meanings:
A. “Gross Occupancy Revenue” means the total Rent received from Transients by a Hotel and Motel Business.
B. “Hotel and Motel Business” means any Operator of a Hotel.
C. “Transient Occupancy Tax” means the tax imposed by the City in the Municipal Code.
The Assessment will be levied against each Hotel and Motel Business in the City consisting of 49 rooms or less. No other business shall be subject to the Assessment.
The Assessment will be calculated as a percentage of each day’s Gross Occupancy Revenue. The rate of the Assessment will be set annually by resolution of the City Council adopted pursuant to Section 36535 of the Law. For Fiscal Year 2026-2027 the rate is recommended to be one percent (1.0%).
Advisory Board Report Fiscal Year 2026-2027 Page 3 The Assessment calculated based on each day’s Gross Occupancy Revenues shall be paid to the City no later than the date on which the Hotel and Motel Business is required, pursuant to the Palm Springs Municipal Code, to remit to the City the Transient Occupancy Tax collected by the Hotel and Motel Business on that day.
New Hotel and Motel Businesses established in the District after the beginning of any fiscal year shall not be exempt from the levy of the assessment for that fiscal year but shall instead be subject to the assessment.
SECTION 5: The amount of any surplus or deficit revenues to be carried over from a previous fiscal year
It is projected that $ 505,609.00 in TBID revenues will be carried over from Fiscal Year 2025-2026 to Fiscal Year 2026-2027 to fund activities of the TBID.
SECTION 6: The amount of any contributions to be made from sources other than assessments levied pursuant to the Law.
Assessment Proceeds are estimated to be approximately $ 900,000.00 for Fiscal Year 2026-2027. There are no contributions expected from other funding sources.
Assessment proceeds will be spent only on activities authorized in the resolutions of the City Council of the City of Palm Springs establishing the TBID and/or levying the assessments.
Submitted by: Michael C. Green, President, on behalf of the TBID Advisory Board to the Office of the City Clerk on May 10, 2026.
Activities, Programs and Services
To be Funded by
Palm Springs Small Hotel TBID
Fiscal Year 2025-2026
Addendum "A"
Projected Budget
Est. Carry-Over from 2025-2026 $ 505,609.00
Estimated collections for 2026-2027 $ 900,000.00
Total Estimated Budget (2026-2027) $ 1,405,609.00
Advertising and Direct Marketing
Ad Media, PPC, Social Media $ 805,400.00
Creative Development/Project Direction, Ad Production $ 20,000.00 Agency Fees $ 42,000.00
Photography, Video Production $ 50,000.00
Print Collateral/Printing $ 1,000.00
Website Development/Programming $ 50,000.00
Database Management $ 10,000.00
Public Relations
Newsletters, Paid Articles & Blogs $ 30,000.00
Fams and Missions $ 56,000.00
PR Agency Fees $ 42,000.00
Media Monitoring $ 15,000.00
Special Programs/Artist in Residence $ 150,000.00
Promotions and Events $ 25,000.00
Office Supplies/Postage $ 3,600.00
Research $ 25,000.00
Bookkeeping and Tax Preparation $. 15,000.00
Administration $ 50,000.00
Costs of collecting and administering the assessment
(reimbursed to the city of Palm Springs)
Total Projected Spending for 2026-2027 (Budgeted) $ 1,390,000.00 Fund Balance $ 15,609.00
Addendum "B"
Projected Spending Activities, Programs and Services
of the
Palm Springs Small Hotel TBID
Fiscal Year 2025-2026
Advertising and Direct Marketing
Ad Media, PPC, Social Media $ 675,000.00
Creative Development/Project Direction, Ad Production $ 20,000.00 Agency Fees $ 42,000.00
Photography, Video Production $ 25,000.00
Print Collateral/Printing $ 1,000.00
Website Development/Programming $ 47,000.00 Database Management $ 10,000.00
Public Relations
Newsletters, Paid Articles & Blogs $ 30,000.00 Fams and Missions $ 56,000.00
PR Agency Fees $ 42,000.00
Media Monitoring $ 15,000.00
Special Programs/Artist in Residence $ 50,000.00
Promotions and Events $ 2,000.00
Office Supplies/Postage $ 3,600.00
Research $ 50,000.00
Administration $ 50,000.00
Costs of collecting and administering the assessment
(reimbursed to the city of Palm Springs)
Total Projected Spending for 2025-2026 (Budgeted) $ 1,118,600.00
Carry-over from Fiscal Year 2024-2025 $ 725,626.00
Projected Assessment Collections for 2025-2026 (Per TBID Estimate) $ 898,583.00 Carry-Over + Income $ 1,624,209.00
Less Total Projected Spending for 2025-2026 <$ 1,118,600.00 > Projected Carry-over (Based on Projected Assessment Collections) $ 505,609.00
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