Boilermakers Local 92:
Bricklayers Local 4:
Cement Masons Local 500:
District Council #36 (Painters, Drywall Finishers, Glaziers, Resilient Floor):
Electrical Workers Local 440:
Elevator Constructors Local 18: ------------------
Heat & Frost Insulators Local 5: ------------------
Iron Workers Local 416: ---------------------
Iron Workers Local 43 3: ---------------------
Laborers Local 300: -----------------------
Laborers Local 1184: ----------------------
Operating Engineers Local 12: __________________ _
Plasterers Local 200: ----------------------
Plater Tenders 1414: _____________________ _
U.A. Local 345: ------------------------
U.A. Local 364: ------------------------
City of Palm Springs CWA
55575.18100\33346385.2
37 58
C – Page 820 of 913
Signatory Unions -
Roofers & Waterproofers Local 220:
Sheet Metal Local 105:
Road Sprinkler Fitters Local 669:
Teamsters Local 166: -----------------------
Southwest Regional Council of Carpenters:
City of Palm Springs CWA
55575.18100\33346385.2
38 59
C – Page 821 of 913
ATTACHMENT A-LETTER OF ASSENT
To be signed by all contractors awarded work covered by the City of Palm Springs Community Workforce Agreement prior to commencing work.
CW A Administrator
City of Palm Springs
101 North D Street
Palm Springs, CA 9 __
Attn: --------
[Contractor's Letterhead]
Re: Community Workforce Agreement - Letter of Assent
Dear Sir/Madame:
This is to confirm that [ name of company] agrees to be party to and bound by the City of Palm Springs Community Workforce Agreement effective __ _... 2019, as such Agreement may, from time to time, be amended by the negotiating parties or interpreted pursuant to its terms.
Such obligation to be a party and bound by this Agreement shall extend to all work covered by the agreement undertaken by this Company on the project and this Company shall require all of its contractors and subcontractors of whatever tier to be similarly bound for all work within the scope of the Agreement by signing and furnishing to you an identical letter of assent prior to their commencement of work.
Sincerely,
[Name of Construction Company]
By: .___ ________ __. Name and Title of Authorized Executive Contractor State License No.: -------------
Business Address: -------------------
Business Phone: ---------------------
[Copies of this letter must be submitted to the CWA Administrator and to the Trades Council Consistent with Section 2.6 (b).]
39 City of Palm Springs CWA
55575.18100\33346385.2
60 C – Page 822 of 913
ATTACHMENT B
FIRST TIER ZIP CODES (CITY BOUNDARY including 20 MILE RADIUS) *Some Zip Codes shared with neighboring cities
(https://www.zip-codes.com/county/ca-riverside.asp)
92201
92203
92210
92211
92220
92223
92230
92234
City of Palm Springs CW A
55575.18100\33346385.2
92236
92240
92241
92253
92260
92262
92264
92270
92276
92282
40 61
C – Page 823 of 913
SECOND TIER ZIP CODES
REMAINDER OF RIVERSIDE COUNTY,
(https://www.zip-codes.com/county/ca-riverside.asp)
,i.
~
City of Palm Springs CW A
55575.18100\33346385.2
Zip Code
91752
92201
92225
92226
92235
92254
92274
92320
92501
92503
92504
92505
92506
92507
92508
92509
92518
92530
92532
92536
92539
92543
92544
92545
92548
92551
92553
92555
92571*
92557
92561
92562
92563
92570*
92567
92582
92583
92584
92585
92586
City
Mecca
Thermal
Calimesa
Riverside
Riverside
Riverside
Riverside
Riverside
Riverside
Riverside
Jurupa Valley
March Air Reserve Base
Lake Elsinore
Lake Elsinor
Aguanga
Hemet
Homeland
Moreno Valley
Moreno Valley
Moreno Valley
Moreno Valley
Mountain Center
Murrieta
Murrieta
41 Nuevo
San Jacinto
San Jacinto
Menifee
Menifee
Menifee
62 C – Page 824 of 913
92587
92590
92591
92592
92595
92596
92860
92879
92880
92881
92882
92883
Menifee
Temecula
Temecula
Temecula
Wildomar
Winchester
Norco
Corona
Corona
Corona
Corona
Corona
~:":!c::.:!:::~-,!!:::=..!!u', ~~~~~~~~~!litiiM.1
_.,.--.. I I ... - I
' . ·- '.it'. ~, I ~ - I! . ~.:.~::~ .....
SliMIFdll
City of Palm Springs CW A
55575.18100\33346385.2
t •.~ ; 1.• .ii • • ::: r -i., • • L ~• I' -• :,_• 7 'I' • .-r . . •-. - • • - - - .~. ~·~""l'rl""'-1•,11 r •• ._ .......
42 63
C – Page 825 of 913
ATTACHMENT C
CITY OF PALM SPRINGS
CRAFT REQUEST FORM
TO THE CONTRACTOR: Please complete and fax this form to the applicable union to request craft workers that fulfill the hiring requirements for this project. After faxing your request, please call the Local to verify receipt and substantiate their capacity to furnish workers as specified below. Please print your Fax Transmission Verification Reports and keep copies for your records.
The City of Palm Springs Community Workforce Agreement establishes a goal that 30% of the total work hours shall be from Local ResidentsVeteFaBs, Feg&Faless ef vmeFe they Fesiae, aBa weFleeFS FesiaiRg: first, in those first tier zip codes which overlap all of the City of Palm Springs, as attached hereto, second, residing within Riverside County. For Dispatch purposes, employees residing within either of these two (2) areas, as well as \leteRms, Feg&Faless ehmeFe tlte~· Fesiae, shall be referred to as Local Residents.
TO THE UNION: Please complete the "Union Use Only" section on the next page and fax this form back to the requesting Contractor. Be sure to retain a copy of this form for your records.
CONTRACTOR USE ONLY
To: Union Local # ____ _ Fax#...,__.,_ _____ _ Date: _________ _ Cc: CW A Administrator
From: Company: ____________ _ Issued By: ____________ _ Contact Phone :...,______.. _______ _ Contact Fax: ..,____. __________ _ PLEASE PROVIDE ME WITH THE FOLLOWING UNION CRAFT WORKERS.
Local Resident, Number Craft Classification Journeyman Veteran of (i.e., plumber, painter, or or workers Report Date Report Time etc.) Apprentice General Dispatch needed
TOTAL WORKERS REQUESTED=
Please have worker(s) report to the following work address indicated below:
Project Name: __________ Site: _________ Address: _ ________ _ Report to: On-site Tel: On-site Fax: _______ _
Comment or Special Instructions:
City of Palm Springs CW A
55575.18100\33346385.2
43 64
C – Page 826 of 913
UNION USE ONLY
Date dispatch request received:
Dispatch received by:
Classification of worker requested:
Classification of worker dispatched:
WORKER REFERRED
Name:
Date worker was dispatched:
Is the worker referred a:
JOURNEYMAN
APPRENTICE
LOCAL RESIDENT
VETERAN
GENERAL DISPATCH FROM OUT OF WORK LIST
City of Palm Springs CW A
55575.18100\33346385.2
44 (check all that apply)
Yes No -- --
Yes -- No --
Yes No -- --
Yes -- No --
Yes -- No --
65 C – Page 827 of 913
City of Palm Springs CW A
55575.18100\33346385.2
ATTACHMENT D
List of Neutral Arbitrators
[Subject to Confirmation]
Mark Burstein
Walter Daugherty
Fred Horowitz
Michael Prihar
Louis Zigman
45 66
C – Page 828 of 913
ATTACHMENT "E"
SUBSTANCE ABUSE POLICY
The Parties recognize the problems which drug and alcohol abuse have created in the construction industry and the need to develop drug and alcohol abuse prevention programs.
Accordingly, the Parties agree that in order to enhance the safety of the work place and to maintain a drug and alcohol free work environment, individual Employers may require applicants or employees to undergo drug and alcohol testing.
1. It is understood that the use, possession, transfer or sale of illegal drugs, narcotics, or other unlawful substances, as well as being under the influence of alcohol and the possession or consuming alcohol is absolutely prohibited while employees are on the Employer's job premises or while working on any jobsite in connection with work performed under the Community Workforce Agreement ("CW A").
2. No Employer may implement a drug testing program which does not conform in all respects to the provisions of this Policy.
3. No Employer may implement drug testing at any jobsite unless written notice is given to the Union setting forth the location of the jobsite, a description of the project under construction, and the name and telephone number of the Project Work Supervisor. Said notice shall be addressed to the office of each Union signing the Community Workforce Agreement.
Said notice shall be delivered in person or by registered mail before the implementation of drug testing. Failure to give such notice shall make any drug testing engaged in by the Employer a violation of the CW A, and the Employer may not implement any form of drug testing at such jobsite for the following six months.
4. An employer who elects to implement drug testing pursuant to this Agreement shall require all employees on the Project Work to be tested. With respect to individuals who become employed on the Project Work subsequent to the proper implementation of this drug testing program, such test shall be administered upon the commencement of employment on the project, whether by referral from a Union Dispatch Office, transfer from another project, or another method. Individuals who were employed on the project prior to the proper implementation of this drug testing program may only be subjected to testing for the reasons set forth in Paragraph 5(f) (1) through 5(f) (3) of this Policy. Refusal to undergo such testing shall be considered sufficient grounds to deny employment on the project.
5. The following procedure shall apply to all drug testing:
a. The Employer may request urine samples only. The applicant or employee shall not be observed when the urine specimen is given. An applicant or employee, at his or her sole option, shall, upon request, receive a blood test in lieu of a urine test. No employee of the Employer shall draw blood from a bargaining unit employee, touch or handle urine specimens, or in any way become involved in the chain of custody of urine or blood specimens. A Union Business Representative, subject to the approval of the individual applicant or employee, shall be 46 City of Palm Springs CW A
55575.18100\33346385.2
67 C – Page 829 of 913
permitted to accompany the applicant or employee to the collection facility to observe the collection, bottling, and sealing of the specimen.
b. The testing shall be done by a laboratory approved by the Substance Abuse & Mental Health Services Administration (SAMHSA), which is chosen by the Employer and the Union.
c. An initial test shall be performed using the Enzyme Multiplied Immunoassay Technique (EMZT). In the event a question or positive result arises from the initial test, a confirmation test must be utilized before action can be taken against the applicant or employee. The confirmation test will be by Gas Chromatography Mass Spectrometry (GC/MS).
Cutoff levels for both the initial test and confirmation test will be those established by the SAMHSA. Should these SAMHSA levels be changed during the course of this agreement or new testing procedures are approved, then these new regulations will be deemed as part of this existing agreement. Confirmed positive samples will be retained by the testing laboratory in secured long-term frozen storage for a minimum of one year. Handling and transportation of each sample must be documented through strict chain of custody procedures. d. In the event of a confirmed positive test result the applicant or employee may request, within forty-eight (48) hours, a sample of his/her specimen from the testing laboratory for purposes of a second test to be performed at a second laboratory, designated by the Union and approved by SAMHSA. The retest must be performed within ten (10) days of the request. Chain of custody for this sample shall be maintained by the Employer between the original testing laboratory and the Union's designated laboratory. Retesting shall be performed at the applicant's or employee's expense. In the event of conflicting test results the Employer may require a third test.
e. If, as a result of the above testing procedure, it is determined that an applicant or employee has tested positive, this shall be considered sufficient grounds to deny the applicant or employee his/her employment on the Project Work. f. No individual who tests negative for drugs or alcohol pursuant to the above procedure and becomes employed on the Project Work shall again be subjected to drug testing with the following exceptions:
1. Employees who are involved in industrial accidents resulting in damage to plant, property or equipment or injury to him/her or others may be tested pursuant to the procedures stated hereinabove.
2. The Employer may test employees following thirty (30) days advance written notice to the employee(s) to be tested and to the applicable Union. Notice to the applicable Union shall be as set forth in Paragraph 3 above and such testing shall be pursuant to the procedures stated hereinabove.
3. The Employer may test an employee where the Employer has reasonable cause to believe that the employee is impaired from performing his/her job. 47 City of Palm Springs CW A
55575.18100\33346385.2
68 C – Page 830 of 913
Reasonable cause shall be defined as exhibiting aberrant or unusual behavior, the type of which is a recognized and accepted symptom of impairment (i.e., slurred speech, unusual lack of muscular coordination, etc.). Such behavior must be actually observed by at least two persons, one of whom shall be a Supervisor who has been trained to recognize the symptoms of drug abuse or impairment and the other of whom shall be the job steward. If the job steward is unavailable or there is no job steward on the project the other person shall be a member of the applicable Union's bargaining unit. Testing shall be pursuant to the procedures stated hereinabove. Employees who are tested pursuant to the exceptions set forth in this paragraph and who test positive will be removed from the Employer's payroll. g. Applicants or employees who do not test positive shall be paid for all time lost while undergoing drug testing. Payment shall be at the applicable wage and benefit rates set forth in the applicable Union's Master Labor Agreement. Applicants who have been dispatched from the Union and who are not put to work pending the results of a test will be paid waiting time until such time as they are put to work. It is understood that an applicant must pass the test as a condition of employment. Applicants who are put to work pending the results of a test will be considered probationary employees.
6. The employers will be allowed to conduct periodic job site drug testing on the Project under the following conditions:
a. The entire jobsite must be tested, including any employee or subcontractor's employee who worked on that project three (3) working days before or after the date of the test;
b. Jobsite testing cannot commence sooner than thirty (30) days after start of the work on the Project;
c. Prior to start of periodic testing, a business representative will be allowed to conduct an educational period on company time to explain periodic jobsite testing program to affected employees;
d. Testing shall be conducted by a SAMHSA certified laboratory, pursuant to the provisions set forth in Paragraph 5 hereinabove.
e. Only two periodic tests may be performed in a twelve month period.
7. It is understood that the unsafe use of prescribed medication, or where the use of prescribed medication impairs the employee's ability to perform work, is a basis for the Employer to remove the employee from the jobsite.
8. Any grievance or dispute which may arise out of the application of this Agreement shall be subject to the grievance and arbitration procedures set forth in the CW A.
9. The establishment or operation of this Policy shall not curtail any right of any employee found in any law, rule or regulation. Should any part of this Agreement be found 48 City of Palm Springs CW A
55575.18100\33346385.2
69 C – Page 831 of 913
unlawful by a court of competent jurisdiction or a public agency having jurisdiction over the parties, the remaining portions of the Agreement shall be unaffected and the parties shall enter negotiations to replace the affected provision.
10. Present employees, if tested positive, shall have the prerogative for rehabilitation program at the employee's expense. When such program has been successfully completed the Employer shall not discriminate in any way against the employee. If work for which the employee is qualified exists he/she shall be reinstated.
11. The Employer agrees that results of urine and blood tests performed hereunder will be considered medical records held confidential to the extent permitted or required by law.
Such records shall not be released to any persons or entities other than designated Employer representatives and the applicable Union. Such release to the applicable Union shall only be allowed upon the signing of a written release and the information contained therein shall not be used to discourage the employment of the individual applicant or employee on any subsequent occasion.
12. The Employer shall indemnify and hold the Union harmless against any and all claims, demands, suits, or liabilities that may arise out of the application of this Agreement and/or any program permitted hereunder.
13. Employees who seek voluntary assistance for substance abuse may not be disciplined for seeking such assistance. Requests from employees for such assistance shall remain confidential and shall not be revealed to other employees or management personnel without the employee's consent. Employees enrolled in substance abuse programs shall be subject to all Employer rules, regulations and job performance standards with the understanding that an employee enrolled in such a program is receiving treatment for an illness.
14. This Memorandum, of Understanding shall constitute the only Agreement in effect between the parties concerning drug and alcohol abuse, prevention and testing. Any modifications thereto must be accomplished pursuant to collective bargaining negotiations between the parties.
City of Palm Springs CW A
55575.18100\33346385.2
49 70
C – Page 832 of 913
DRUG ABUSE PREVENTION AND DETECTION
APPENDIX A
CUTOFF LEVELS
SCREENING SCREENING CONFIRMATION
DRUG METHOD LEVEL ** METHOD
Alcohol EMIT 0.02% CG/MS
Amphetamines EMIT 1000 ng/m* CG/MS
Barbiturates EMIT 300 ng/ml CG/MS
Benzodiazepines EMIT 300 ng/ml CG/MS
Cocaine EMIT 300 ng/ml* CG/MS
Methadone EMIT 300 ng/ml CG/MS
Methaqualone EMIT 300 ng/ml CG/MS
Opiates EMIT 2000 ng/ml* CG/MS
PCP (Phencyclidine) EMIT 25 ng/ml* CG/MS
THC (Marijuana) EMIT 50 ng/ml* CG/MS
Propoxyphene EMIT 300 ng/ml CG/MS
* SAMHSA specified threshold
CONFIRMATION
LEVEL
0.02%
500 ng/ml*
200 ng/ml
300 ng/ml
150 ng/ml*
100 ng/ml
300 ng/ml
2000 ng/ml*
25 ng/ml*
15 ng/ml*
100 ng/ml
* * A sample reported positive contains the Indicated drug at or above the cutoff level for that drug. A negative sample either contains no drug or contains a drug below the cutoff level.
EMIT - Enzyme Immunoassay
CC/MS - Gas Chromatography/Mass Spectrometry
City of Palm Springs CW A
55575.18100\33346385.2
so
71 C – Page 833 of 913
SIDE LETTER OF AGREEMENT
TESTING POLICY FOR DRUG ABUSE
It is hereby agreed between the parties hereto that an Employer who has otherwise properly implemented drug testing, as set forth in the Testing Policy for Drug Abuse, shall have the right to offer an applicant or employee a "quick" drug screening test. This "quick" screen test shall consist either of the "ICUP" urine screen or similar test or an oral screen test. The applicant or employee shall have the absolute right to select either of the two "quick" screen tests, or to reject both and request a full drug test.
An applicant or employee who selects one of the quick screen tests, and who passes the test, shall be put to work immediately. An applicant or employee who fails the "quick" screen test, or who rejects the quick screen tests, shall be tested pursuant to the procedures set forth in the Testing Policy for Drug Abuse. The sample used for the "quick" screen test shall be discarded immediately upon conclusion of the test. An applicant or employee shall not be deprived of any rights granted to them by the Testing Policy for Drug Abuse as a result of any occurrence related to the "quick" screen test.
City of Palm Springs CW A
55575.18100\33346385.2
51 72
C – Page 834 of 913
RE: City of Perris Bids - December 2019 thru February 2021 Community Workforce Agreement (CWA)
Effective since August 2019
A review of CWA Covered Proiects:
1 ). Nuevo Road Bridge reconstruction and • Engineers estimate - $10 .2 million.
Widening • 7 bids - 3 bids below the estimate
CW A Covered Project • Lowest bid - $8,649,999 million
2). Morgan Park Phase II • Engineers estimate - $3.475 million.
CW A Covered Project • 7 bids - 3 bids below estimate
• Lowest bid - $3,300,520 million
3). Goetz Road Widening Improvement • Engineers estimate - $6.6 million.
Project • 8 bids - 5 below estimate
CW A Covered Project • Lowest bid - $6,144,444 million. 4 ). Clearing and Grubbing Work/Enchanted • Estimated value - $150,000.00 Hills Park • 2 bids*
CW A Covered Project • Lowest bid - $158,500.00; 5.6% over estimated value.
*The background and discussion provided to the Perris City Council referenced the fact that only two (2) bids were received and went on to claim that the specifications included the CW A requirement, "Which may have resulted in a low bid response".
A review ofNon-CWA Covered Projects:
I). Copper Creek Park • Engineers estimate - $489,103.00.
Non-Covered Project • 5 bids - lowest bid, $536,400.00 (nonresponsive) • Low awarded bid - $687,255.00; 40% over
engineers estimate
2). Civic Center Improvements • Estimated value - $575,000.00 Non-Covered Project • 7 bids- Lowest bid, $557,000.00
• 6 bids exceeded the estimate.
•
3). "A" Street at, Nuevo Road ADA Ramps • Engineers estimate - $300,000.00.
Non-Covered Project • 7 Bidders - Lowest bid, $284,600
• 5 bids exceeded the estimate
73 C – Page 835 of 913
4 ). 3rd Street and "C" Street Traffic Calming • Engineers estimate - $90,000.00.
Improvements • 4 Bidders - Lowest bid, $151,252.00
Non-Covered Project • 69% over engineers estimates.
5). Civic Center Improvements • Estimate value, $200,000.00. 22 7 North D Street • 2 Bidders - Lowest bid, $313,348.56.
Non-Covered Project • * Awarded - 56% overestimate.
• Note: No commentary on the 2 bidders, as
there was on the Enchanted Hills Project; a
CW A Covered Project.
6). GEAR Class III Lane Project • Engineers estimate - none.
Non-Covered Project • Low and only bidder - $69,981.00. • Note: No commentary regarding "lack of
bidders".
74 C – Page 836 of 913
Attachment D -
February 27, 2020
Staff Report
C – Page 837 of 913
City Council Staff Report
Date: February 27, 2020 NEW BUSINESS
Subject: DISCUSSION REGARDING COMMUNITY WORKFORCE
AGREEMENTS AND LABOR PEACE AGREEMENTS
From: David H. Ready, City Manager
Initiated by: Jeffrey S. Ballinger, City Attorney
SUMMARY
At the January 13, 2020 Business Retention Standing Subcommittee, the Subcommittee heard a presentation regarding Community Workforce Agreements (CWA) and Labor Peace Agreements. The Subcommittee also heard from various stakeholders, including representatives of labor groups and the business community.
Based on that discussion, the Subcommittee recommended that the City Council conduct a discussion of CWAs and Labor Peace Agreements, in order to possibly provide direction to City staff to bring back policies that would require such agreements for City projects.
RECOMMENDATION:
Provide direction to staff regarding the applicability of CWAs and/or Labor Peace Agreements.
BACKGROUND:
In the public sector, a Community Workforce Agreement is a variation of a Project Labor Agreement (PLA). A PLA is pre-hire, collective bargaining agreement with one or more labor organizations that establishes the terms and conditions of employment for a specific construction project or class of projects. A Community Workforce Agreement (CWA) is a PLA that includes a targeted hire provision designed to create local jobs and/or achieve other social welfare goals through the construction projects they apply to. Such social welfare goals can include targeted hiring of low-income individuals, veterans, former offenders, residents of low-income neighborhoods, at-risk youth, and (for projects with federal funds) percentage goals for racial minorities and women.
ITEM NO. S P,.
C – Page 838 of 913
2 City Council Staff Report
February 27, 2020 - Page 2
Community Workforce Agreements and Labor Peace Agreements A Labor Peace Agreement, at least as defined by California cannabis law, is defined as an agreement between a cannabis licensee and any bona fide labor organization that, at a minimum, prohibits labor organizations and members from engaging in picketing, work stoppages, boycotts, and any other economic interference with the applicant's business. (Bus. & Prof. Code, § 26001 (x).) This agreement must include a provision that the cannabis business has agreed not to disrupt efforts by the bona fide labor organization to communicate with, and attempt to organize and represent, the business' employees. The agreement must also provide a bona fide labor organization access at reasonable times to areas in which the business' employees work, for the purpose of meeting with employees to discuss their right to representation, employment rights under state law, and terms and conditions of employment. Finally, under state law, the agreement need not mandate any particular method of election or certification of the bona fide labor organization.
This staff report discusses each of these types of agreements and the social, fiscal and legal issues involved with each of them.
STAFF ANALYSIS:
Community Workforce Agreements
As mentioned above, a Community Workforce Agreement is a pre-hire, collective bargaining agreement with one or more labor organizations that is designed to achieve one or more social welfare goals. The predecessors of these agreements, PLAs, have been in use in the United States since the 1930s. PLAs first became the subject of significant public debate in the 1980s. In these instances, government entities made signing PLAs a condition of working on taxpayer funded projects. This type of PLA, also known as a government-mandated PLA, is technically distinct from a PLA that is voluntarily entered into by contractors on public works project. However, for purposes of this discussion, all references to CWA or PLA will refer to CWAs or PLAs that are required by a city program.
The use of CWAs is supported by many construction unions, and some policymakers, who posit that CWAs are needed to ensure that large, complex projects are completed on time and on schedule. According to those who support the use of such agreements, CWAs enable project owners to control costs and ensure that there are no disruptions to the construction schedule, for example from strikes. In particular, proponents of CWAs point to the inclusion of clauses in the agreement that agree to establish labor management problem-solving committees that deal with scheduling, quality control, health and safety, and productivity problems during the project. They also argue that CWAs ensure that the workforce hired has received training and is of high quality. In addition to the stated benefits to project owners, supporters of CWAs also argue that CWA use has a positive impact on local communities, through set goals for local hiring and provision of education.
One issue that frequently arises during discussions of CWAs is cost. Those who oppose CWAs argue that CWAs impact competition for project bids, reducing the C –
3 City Council Staff Report
February 27, 2020 - Page 3
Community Workforce Agreements and Labor Peace Agreements number of potential bidders as non-union contractors, they argue, are less likely to bid due to the potential restrictions a CWA would pose. According to opponents of CWAs, the requced competition leads to higher bids and a higher cost for the project owner.
For example, according to Max Lyons of the Employee Policy Foundation, the cost of a project under a CWA is increased up to 7%, since in many cases contractors are required to pay their employees the union wage, rather than the governmentdetermined prevailing wage. (Tuerck, David G. (Winter 2010) "Why Project Labor Agreements Are Not In The Public Interest". Cato Journal.) Other studies out of Massachusetts, Connecticut and New York concluded that PLA increase construction costs by as much as 20%. (Beacon Hill Study Finds PLAs Increase Cost of School Projects in New York (May 2006).)
In response, supporters of CWAs point out that, by including requirements for targeted hiring or a certain proportion of local workers to enter union apprenticeship programs working on the construction program, CWAs can be used to help local workers gain employment and trade skills. This, proponents point out, re-injects the tax dollars paying for these infrastructure projects back to the communities. (UCLA Labor Center, "Construction Careers for our Communities." p. 5, 46"; Cornejo, Jackie. Building Opportunity: Investing in Our Future through a Port Construction Careers Policy. Los Angeles Alliance for a New Economy (2009)"; Project Labor Agreements in Iowa: An Important Tool for Managing Complex Public Construction Projects, Ralph Scharnau & Michael F. Sheehan, The Iowa Policy Project (2004)".)
Results of studies addressing the cost impact of CWAs on construction projects have varied. For instance, one such study found that they may not lead to greater costs, such as a 2002 paper by the Harvard University Joint Center for Housing Studies, which states that the increased costs cited by opponents of CWAs is based on bids rather than end costs. According to the paper, a project's end costs would usually be higher than bid costs due to expenses that arise during construction. (Project Labor Agreements. John T. Dunlop, Harvard University Joint Center for Housing Studies (2002).) In addition, a 2004 report by the Director of General Services for Contra Costa County, California reported that bids for five of eight projects subject to a CWA were lower than the architect/engineer cost estimate.
A 2009 paper concluded that there was difficulty in identifying the effect of CWAs on cost in construction of schools, due to the differences between schools built with CWAs and those built without them. The report stated that there was not any statistically significant evidence for an increase in costs for school construction. (Project Labor Agreements' Effect on School Construction Costs in Massachusetts.) Likewise, in 1998 the Government Accountability Office produced a report on CWAs that noted an overall lack of data but reported that both "proponents and opponents of the use of [CWAs] said it would be difficult to compare contractor performance on federal projects with and without [CWAs] because it is highly unlikely that two such projects could be found that were sufficiently similar in cost, size, scope, and timing." The GAO report concluded that it would be difficult to draw "any definitive conclusions" on the impact of PLAs on performance. (Project Labor Agreements: The Extent of Their Use and Related Information. U.S. General Accounting Office, GAO/GGD-98-82, May 1998.) C –
4 City Council Staff Report
February 27, 2020 - Page 4
Community Workforce Agreements and Labor Peace Agreements Finally, recent discussions with several local contractors have suggested that costs to City public works projects would not increase appreciably, since contractors and subcontractors are already required to pay State or federal prevailing wages, and in many cases, contractors are already using union labor.
Staff was able to perform research and found examples of CWAs in other jurisdictions.
Among the examples are:
Jurisdiction Year
Long Beach C~y 2016
College Community 2008
Redevelopment
Agency of Los Angeles
Los Angeles 2001
Community College
District
San Francisco 2003
Public Utilities
Commission Water
System
Improvement
Program
City of Los Angeles 2001
Type of Project
Specified College
building projects, including buildings, a parking structure, an aquatics center, and
security systems.
Public works projects of
$500,000 or more.
Projects on CRA land.
Private projects
receiving $1,000,000 or
more from CRA.
General construction
projects receiving at
least $225,000 in school
bond funds.
Specialty construction
projects receiving at
least $25,000 in school
bond funds.
All construction work on
the Hetch Hetchy Water
System upgrade.
Any work on certain,
specific City public
works projects-North
East Sewer Interceptor,
Fire Station 64, Harbor
Community Benefit
40% goal for veterans' and local
residents' employment, which
includes a goal of 15% for local
residents within district boundaries.
5% goal for Small Business and
Minority/Women-owned Enterprises
to participate as contractors or
suppliers.
30% of all work hours under the
agreement to be performed by
residents of law-income
neighborhoods.
10% of the total work hours are
reserved for at-risk and hard-toemploy workers.
Apprentice work hours by
Community Area and Local
Residents.
30% of work hours on covered
construction to be performed by
workers that live in the same zip
code as the project, with further
targeting of some jobs at-risk job
seekers.
30% of work hours should be
performed by apprentices, and half of
all apprentices that work on these
jobs in their first year
Contractors must exercise "good
faith efforts" to employ apprentices in
amounts consistent with State
standards.
30-40% of new construction jobs created be filled by residents of neighborhoods adjacent to the
project.
10-15% of construction work hours
C –
5 City Council Staff Report
February 27, 2020 - Page 5
Community Workforce Agreements and Labor Peace Agreements Los Angeles Unified 2003
School District
Port of Oakland 2001
City of Santa Ana 2017
San Francisco 2007
Station/Jail, Metro
Detention Center, Police
Administration Building,
etc.
New or Rehabbed
School Construction
funded by local school
bonds.
All work under the Port's
5 Year capital program,
as well as unplanned
projects of $50,000 or
more
Construction or
demolition work on City
public works projects,
over $250,000 for
specialty work or
$500,000 for general
work.
Construction work on
be performed by at-risk workers,
including workers from poor households and workers with a history of incarceration or receipt of public assistance, among other things.
50% of the work hours be performed
by residents of zip codes served by
one of the 8 school districts that
make up the unified district.
30% of the work be completed by
apprentices.
The school district also operates a
pre-apprenticeship program, We
Build, overseen by a joint labormanagement board. Program delivers a 10-week skills and safety
training curriculum developed in
conjunction with the Building Trades.
There is no requirement that
contractors hire their workforce
through We Build. However, the preapprenticeship program provides a pipeline of trained and oriented
workers, many of whom meet the
targeting requirements established
by the CWA. We Build's training
model enables its graduates to better
compete with other aspiring
apprentices. The program boasts a
90% placement rate. 50% of all construction hours be
worked by residents of the Port's
local impact area, which includes the
neighboring communities of
Alameda, Emeryville, Oakland and
San Leandro.
20% of all hours worked be
performed by apprentices from the
local impact area, providing an entrypoint into construction careers for new and aspiring construction
workers.
30% of the total works hours to be
performed from workers residing
within the City, and Veterans
regardless of where they reside.
Apprentices with certain
requirements generally to constitute
up to 30% of each craft's workforce.
Goal that 20% of work hours be
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6 City Council Staff Report
February 27, 2020 - Page 6
Community Workforce Agreements and Labor Peace Agreements Public Utilities
Commission City of New York 2009 City of Perris 2018
Cleveland
Hospital
University performed by Cleveland residents.
Renovation and
rehabilitation of cityowned buildings;
Eleven large-scale new
construction projects,
including the Police
Academy and a branch
library, among others;
Funding for renovation
and rehabilitation of
New York Public
Schools, overseen by
the New York City
School Construction
Authority;
Renovation and
rehabilitation of water
systems facilities
controlled by the New
York City Department of
Environmental
Protection.
City public works
projects of $1,000,000
or more.
Additionally, the agreement
formalizes the existing relationship
between the local Trades Council
and the pre-apprenticeship
curriculum offered to 9-12 grade
students at Max S. Hayes Vocational
High School. The unions agree to
participate in development of the
curriculum at Max Hayes, and to use
reasonable efforts to require
contractors and unions to provide
jobs to Max Hayes building trades
graduates. The trades agree to devote one class of the joint labormanagement pre-apprenticeship program to Max Hayes building
trades graduates. Graduates receive
direct entry into union construction
apprenticeships. Those graduates
who get into the program by virtue of
graduation from Max Hayes high
school are to be employed on
University Hospital construction
projects that are covered by the
CWA.
45% of new apprentice slots be filled
by New York City residents including
public high school graduates,
veterans, women, housing authority
and Section 8 residents, and adults
in need of economic opportunity.
A commitment that affiliated unions
will reserve apprenticeship slots for
direct entry of these groups, meaning
that qualified apprenticeship
candidates who are also a member
of one of these named groups have
an easier time getting into an
apprenticeship program.
30% of the labor and craft positions
be workers residing within the City
and local zip codes
C –
7 City Council Staff Report
February 27, 2020 - Page 7
Community Workforce Agreements and Labor Peace Agreements 10% be disadvantaged workers
and/or veterans residing within the
City or County. Goal that 30% of total worked hours
be by workers residing within the City
and local areas, as well as veterans,
regardless of residence.
Therefore, should the City Council wish to proceed with implementing a CWA program, the first issue to be resolved is, what one or more types of community benefits does the City Council wish to achieve? Is it local hires, veteran hires, lower income hires, apprenticeship opportunities? These are all legitimate social welfare benefits that can accrue to a community as a result of a CWA program.
The next issue to be resolved is what size of City projects (usually measured in dollars) does the City Council wish to be subject to CWAs. Some, but not all, of the abovereferenced projects include a dollar threshold, i.e., $250,000, $1,000,000, $100,000,000. While such a threshold is not necessary, the City Council may want to consider such a threshold, if the Council wishes to proceed incrementally.
Labor Peace Agreements
Unlike Community Workforce Agreements, Labor Peace Agreements do not specifically require the use of union labor. Instead, Labor Peace Agreements set out general parameters of a workplace environment within which unionization can be fostered (though not required). So, for example, under California's cannabis statutes, cannabis operators with 20 or more employees must provide a notarized statement that the operator will enter into, or has already entered into, and will abide by a Labor Peace Agreement. The state definition of a Labor Peace Agreement is an agreement between a cannabis licensee and any bona fide labor organization that, at a minimum, prohibits labor organizations and members from engaging in picketing, work stoppages, boycotts, and any other economic interference with the applicant's business. (Bus. & Prof. Code, § 26001 (x).)
The agreement must include a provision that the cannabis business has agreed not to disrupt efforts by the bona fide labor organization to communicate with, and attempt to organize and represent, the business' employees. In addition, the agreement must also provide a bona fide labor organization access at reasonable times to areas in which the business' employees work, for the purpose of meeting with employees to discuss their right to representation, employment rights under state law, and terms and conditions of employment. Finally, the Labor Peace Agreement need not mandate any particular method of election or certification of the bona fide labor organization.
Some cities have recently adopted ordinances that reduce the minimum number of employees of cannabis businesses from 20, to a lower number. For instance, Cathedral City recently adopted an ordinance that requires cannabis operators with 10 or more employees to enter into a Labor Peace Agreement. See Attachment 1.
Likewise, the City of Pomona has adopted an ordinance that requires cannabis C –
8 City Council Staff Report
February 27, 2020 - Page 8
Community Workforce Agreements and Labor Peace Agreements permittees with 5 or more employees to enter into, and abide by, a labor peace agreement. See Attachment 2. A proposed draft ordinance similar to Cathedral City's is attached, for discussion purposes, as Attachment 3.
Like PLAs or CWAs, Labor Peace Agreements have withstood legal challenges when the public agency imposing them is doing so to protect a proprietary, as opposed to a regulatory interest. At the state level, the State of California is asserting a proprietary interest in the significant sums of tax revenue that are expected to be received from the cannabis industry. Again, as with the PLAs/CWAs, as the application of Labor Peace Agreements moves away from the City's proprietary interests and towards its regulatory interests, the legal issues become less clear.
Therefore, the City Council is being asked to consider whether to extend the application of the State's Labor Peace Agreement requirement to those cannabis businesses that employ fewer than 20 employees.
ENVIRONMENTAL IMPACT:
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: (2) "Continuing administrative or maintenance activities, such as purchases for supplies, personnelrelated actions, general policy and procedure making .... " Should the City Council provide direction to bring back a program to implements CWAs and/or labor peace agreements, such action would constitute general policy and procedure making.
C –
9 City Council Staff Report
February 27, 2020 - Page 9
Community Workforce Agreements and Labor Peace Agreements FISCAL IMPACT:
As discussed above, there is conflicting information regarding the fiscal impacts of Community Workforce Agreements and Labor Peace Agreements. Some reports estimate that Community Workforce Agreements may increase the cost of public works projects anywhere from 7% to 20%. On the other hand, conversations with local contractors have indicated that there may be only insignificant increases. Finally, no studies have been found that account for the secondary impacts of CWAs, in terms of the benefits to the community resulting from increased employment and apprentice opportunities. As such, it is not possible to say definitively what the fiscal impacts of these agreement programs are.
SUBMITTED:
Marcus L. Fuller, MPA, P.E., P.L.S.
Assistant City Manager/City Engineer
City Attorney
ATTACHMENTS:
<
-:&..-----J2~ ,,
David H. Ready, E.
City Manager
1. Cathedral City Cannabis Labor Peace Agreement
2. Pomona Cannabis Labor Peace Agreement
3. Draft City of Palm Springs Cannabis Labor Peace Agreement C –
10 ATTACHMENT 1
C –
11 ORDINANCE NO. 817
AN ORDINANCE OF THE CllY COUNCIL OF THE CITY OF
CATHEDRAL CITY CALIFORNIA AMENDING CHAPTER 5.88
OF THE CATHEDRAL CITY MUNICIPAL CODE TO REQUIRE
CANNABIS BUSINESSES TO ENTER INTO LABOR PEACE
AGREEMENTS AS A CONDITION OF LICENSURE RENEWAL
WHEREAS, Business and Professions Code section 26051.5 requires every cannabis business with 20 or more employees seeking a license to operate from the State to enter into a labor peace agreement; and
WHEREAS, the City Council desires to make a labor peace agreement a requirement of obtaining a City cannabis business license renewal for all cannabis businesses with 1 O or more employees.
THE CITY COUNCIL OF THE CITY OF CATHEDRAL CITY DOES ORDAIN AS FOLLOWS:
SECTION 1. Amendment of Chapter 5.88.
Chapter 5.88 (Cannabis Businesses) of the Cathedral City Municipal Code is amended as follows:
A. Section 5.88.055(&) Is amendment to add a new subparagraph 4 and renumber the existing subparagraph 4 to 5.
•4. For licensees that have 10 or more full-time equivalent non-supervisorial employees, proof that the licensee has entered into and abided by the terms of a labor peace agreement.•
B. Section 5.88.025 Is amended to insert the following definition in alphabetical order. "Non-supervisorial employee• means an individual employed by the licensee that does n9t have the authority to hire, fire, transfer, suspend, lay off, recall, promote, discharge, assign, reward, or discipline other employees, or responsibility to direct them orto adjust their grievances, or effectively to recommend such action, if, in connection with the foregoing, the exercise of that authority is not of a merely routine or clerical nature, but requires the use of independent judgment For the purposes of this definition, an individual shall not be considered an employee of a licensee if the individual is working for the licensee pursuant to a written agreement that expressly states the individual is an independent contractor.• SECTION 2. CEQA.
The City Council hereby finds that this Ordinance is exempt from the California Environmental Quality Act (CEQA) under Section 15061(b)(3) of the State CEQA Guidelines because it can be seen with certainty that this Ordinance does not have the potential to cause a significant effect on the environment.
SECTION 3. Effective Date.
This Ordinance shall be effective 30 days from and after its final passage. Notwithstanding the foregoing, the City Council hereby mandates a grace period of ninety (90) days from the effective date of this Ordinance to educate beverage vendors of the terms of this Ordinance, during which time no action shaU be taken by the City to enforce this Ordinance.
C –
12 SECTION 4. Severability.
If any. section, subsection, subdivision, sentence, clause, phrase, or portion of this Ordinance, is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, then such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council of the City of Cathedral City hereby declare they would have adopted this Ordinance, and each section, subsection, subdivision, sentence, clause, phrase, or portion thereof, irrespective of the fact that anyone or more sections, subsections, subdivisions, sentences, clauses, phrases, or portions thereof be declared invalid or unconstit~onal.
SECTION 5. Publlcatlon.
The City clerk is authorized and directed to cause this Ordinance to be published within fifteen (15) days after its passage in a newspaper of general circulation and circulated within the City in accordance with Government Code Section 36933(a) or, to cause this Ordinance to be published in the manner required by law using the alternative summary and pasting procedure authorized under Government Code Section 39633(c).
INTRODUCED at the regular meeting of Cathedral City City Council on the 14th day of November, 2018.
APPROVED AND ADOPTED this 28th day of November, 2018.
---·
ATTEST: APPROVED AS TO FORM:
' Eric S. Vail, City Attorney
C –
13 I, TRACEY R. MARTINEZ, CITY CLERK of the City of Cathedral City, do hereby certify that the foregoing Ordinance was introduced on the 14th day of November 201 a. and adopted at a regular meeting of the City Council of the City of Cathedral City held on the 12th day of December, 2018 by the following vote:
AYES: Councilmembers Gutierrez, Gregory and Aguilar; Mayor Pro Tem Carnevale and Mayor Prttis
NOES: None
ABSENT: None
ABSTAIN: None
C –
14 ATTACHMENT 2
C –
15 ORDINANCE NO. 4257
AN ORDINANCE OF THE CITY OF POMONA, CALIFORNIA, AMENDING THE POMONA CITY CODE BY ADDING CHAPTER 68, "COMMERCIAL
CANNABIS BUSINESSES"
WHEREAS, on February 4, 2008, the City Council adopted Ordinance No. 4096 to prohibit the establishment and operation of medical marijuana dispensaries citywide and on January 11, 2016 City Council adopted Ordinance No. 4215, amending the Pomona Zoning Ordinance to prohibit marijuana cultivation citywide;
WHEREAS, on February 22, 2016 City Council adopted Ordinance No. 4217, amending Chapter 34 of the Pomona City Code to add Article IX relating to the prohibition of marijuana deliveries citywide;
WHEREAS, on November 8, 2016, California voters approved Proposition 64, titled the "Adult Use of Marijuana Act" (the "AUMA") and enacted a state statutory scheme legalizing, controlling, and regulating the cultivation, processing, manufacturing, distribution, testing, and sale of nonmedical ("adult-use" or "recreational") cannabis, including cannabis products, for use by adults twenty-one (21) years of age and older;
WHEREAS, the following percentages of the populations for the respective jurisdictions voted affirmatively to pass AUMA: 57.40 percent statewide; 59.5 percent in Los Angeles County; and 57 percent in City of Pomona;
WHEREAS, on June 27, 2017, Governor Brown signed Senate Bill 94, the "Medicinal and Adult-Use Cannabis Regulation and Safety Act" ("SB 94" or the "MAUCRSA"). SB 94 creates one state regulatory structure for medical and adult-use commercial cannabis activities, reconciling AUMA, with the Compassionate Use Act of 1996 (Proposition 215) and MCRSA (collectively referred to as ''the Act"). SB 94 provided that a state license will not be approved for a business to engage in Commercial Cannabis Activity if the business activity violates any local ordinance or regulation;
WHEREAS, in preparation for the implementation of MAUCRSA, in November 2017, the three State licensing authorities charged with licensing and regulating commercial cannabis activities in California, the Bureau of Cannabis Control ("BCC"), the California Department of Food and Agriculture ("CDF A"), and the California Department of Public Health ("CDPW'), commenced releasing emergency regulations, outlining the standards and licensing procedures for both medicinal and adult-use commercial cannabis, and began issuing licenses for such activities on January 1, 2018;
WHEREAS, on November 6, 2017, City Council passed Ordinance 4241, to explicitly prohibit Commercial Cannabis Activity citywide, and Ordinance 4242, which established a -1-
C –
16 e. Testing Laboratories (only): For applicants seeking to operate a testing laboratory, describe operating procedures as required by the applicable state law and regulations, with references to the applicable state law or regulation requiring same.
(1 t) For applicants with five or more employees, the applicant shall attest that the applicant will enter into a labor peace agreement and will abide by the terms of the agreement, and the applicant shall provide a copy thereof to the City. For applicants that have not yet entered into a labor peace agreement, the applicant shall provide a notariz.ed statement indicating that within 30-days of licensure the applicant will enter into and abide by the labor peace agreement.
( 12) All applicants shall submit a workforce plan that includes at least the following provisions: (1) commitment for 300/4 of employees to be local hires; this local hires requirement is satisfied when a business shows that it has either hired or made a good faith effort to hire bona fide residents of Pomona who have not established residency after application for employment with the pennittee; (2) commitment to offer apprenticeships and/or compensation for continuing education in the field; and (3) pay a living wage to its employees.
(13) Collective Bargaining Agreement: If applicable, the applicant shall submit current collective bargaining agreement with labor organization that currently represents cannabis workers in the United States.
( 14) Seller's Permit: The applicant shall provide a valid seller's pennit number issued by the California Department of Tax and Fee Administration, if applicable.
If the applicant has not yet received a seller's permit, the applicant shall attest that the applicant is or will before commencing operations, apply for a seller's permit. ( 15) Indemnification Agreement: To the fullest extent permitted by local, state and federal law, the City shall not assume any liability whatsoever with respect to having issued a Commercial Cannabis Pennit or otherwise approving the operation of any commercial cannabis business. As a condition to the approval of any Commercial Cannabis Pennit, the applicant is to execute a separate Indemnification Agreement prepared by the City that fully indemnifies the City for all liabilities associated with the Commercial Cannabis Permit, the Commercial Cannabis Pennittee's Commercial Cannabis Activities, and any action taken by the Cannabis Permittee. The Indemnification Agreement shall include the defense of the City and reimbursement of all fees, costs and expenses incurred by the City related to any action arising from the Agreement. (16) Payment of Application Fee: Each applicant shall pay the applicable fee(s) pursuant to this Chapter.
(b) Background Check. Pursuant to California Penal Code Sections 111 OS(b )( 11) and 13300(b )(1 t ), which authorizes City authorities to access state and local summary criminal -19-
C –
17 ATTACHMENT 3
C –
18 ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF PALM SPRINGS, CALIFORNIA, ADDING PALM
SPRINGS MUNICIPAL CODE SECTION 5.55.115 TO
REQUIRE CANNABIS BUSINESSES TO ENTER INTO
LABOR PEACE AGREEMENTS AS A CONDITION OF
CANNABIS BUSINESS LICENSURE, TRANSFER OR
RENEWAL
City Attorney's Summary
This ordinance amends the City of Palm Springs Municipal Code requirements for cannabis businesses by requiring
those cannabis businesses with five (5) or more employees to enter into a labor peace agreement.
WHEREAS, Business and Professions Code section 26051.5 requires every cannabis business with 20 or more employees seeking a license to operate from the State to enter into a labor peace agreement; and
WHEREAS, the City Council desires to make a labor peace agreement a requirement of obtaining a City cannabis business license issuance, renewal or transfer for all cannabis businesses with five (5) or more employees.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM SPRINGS DOES ORDAIN AS FOLLOWS:
SECTION 1. Findings. That the findings and determinations reflected above are true and correct, and are incorporated by this reference herein as the cause and foundation for the action taken by the and through this Ordinance.
SECTION 2. Code Amendment. Section 5.55.115 of the Palm Springs Municipal Code is hereby added to read as follows:
"5.55.115 Labor Peace Agreements.
A. For applicants or permittees that have five (5) or more full-time equivalent non-supervisorial employees, the applicant for a new permit, or for a renewal or transfer, shall provide proof, satisfactory to the City, that the applicant or permittee has entered into and will abide by the terms of a labor peace agreement.
B. For purposes of this section, "non-supervisorial employee" means an individual employed by the licensee/permittee that does not have the authority to hire, fire, transfer, suspend, lay off, recall, promote, discharge, assign, reward, or discipline other employees, or responsibility to direct them or to adjust their grievances, or effectively to recommend such 55575.18000\32616353. l
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19 Ordinance No.
Page2
action, if, in connection with the foregoing, the exercise of that authority is not of a merely routine or clerical nature, but requires the use of independent judgment. For the purposes of this definition, an individual shall not be considered an employee of a licensee/permittee if the individual is working for the licensee pursuant to a written agreement that expressly states the individual is an independent contractor." SECTION 3. Effective Date. This ordinance shall become effective 30 days after its adoption.
SECTION 4. Certification. The Mayor shall sign and the City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same, or the summary thereof, to be published and posted pursuant to the provisions of law.
SECTION 5. Severability. If any section or provision of this Ordinance is for any reason held to be invalid or unconstitutional by any court of competent jurisdiction, or contravened by reason of any preemptive legislation, the remaining sections and/or provisions of this ordinance shall remain valid. The City Council hereby declares that it would have adopted this Ordinance, and each section or provision thereof, regardless of the fact that any one or more section(s) or provision(s) may be declared invalid or unconstitutional or contravened via legislation.
PASSED, APPROVED BY THE PALM SPRINGS CITY
COUNCIL THIS DAY OF _______ , 2020.
ATTEST:
ANTHONY J. MEJIA, MMC
CITY CLERK
GEOFF KORS
MAYOR
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF PALM SPRINGS )
I, ANTHONY J. MEJIA, City Clerk of the City of Palm Springs, do hereby certify that Ordinance No. _ is a full, true, and correct copy, and was introduced by the City Council at a regular meeting held on the _ day of ______ , 2020, and adopted at a regular meeting of the City Council held on the _ day of ______ , 2020, by the following vote:
55575.18000\32616353.l
C –
20 Ordinance No.
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--=--;...;;.._ ____ , 2020.
ANTHONY J. MEJIA, MMC
CITY CLERK
55575.18000\32616353. l
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Attachment E -
SOLIS REPORT
2026
C – Page 858 of 913
2026
CITY OF PALM SPRINGS
CWA STATS
C – Page 859 of 913
COMMUNITY WORKFORCE AGREEMENT
The City of Palm Springs Community Workforce Agreement establishes a goal that 30% of the total work hours shall be from workers residing in the first-tier zip codes which overlap all of the City of Palm Springs.
AIRPORT ESCALATORS - work just started, no stats to report Construction Cost: $ 1,103,944.00
Awarding Contractor: Schindler
RACQUET CLUB ROA - work just started, no stats to report Construction Cost: $ 1,103,944.00
Awarding Contractor: Matich Corp.
SOUTH PALM CANYON ROAD- work just started, no stats to report Construction Cost: $ 2,210,000.00
Awarding Contractor: Eagle Paving
AIRPORT BAGGAGE
Construction Cost: $7,281,225.00
Awarding Contractor: Matich Corp.
Total Project Hours – 2,565.25 Total Workers – 57 Palm Springs – 8 Riverside – 27 Non – 22
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
2,565.25
830.25 1,735.00 32.37% 67.63%
PALM SPRINGS RESIDENT 707.00 1,858.25 27.56% 72.44%
TOTAL RS/PS RESIDENTS 2,565.25 1,537.25 1,028.00 59.93% 40.07% APPRENTICES 382.00 40.00 48.00 45.45% 54.55%
PAVEMENT REHAB 2026
Construction Cost: $ 8,072,751.00
Awarding Contractor: Matich Corp.
Total Project Hours – 1,650.00 Total Workers – 33 Palm Springs – 0 Riverside – 12 Non – 21
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
1,650.00
377.25 1,272.75 22.86% 77.14%
PALM SPRINGS RESIDENT 378.00 1,271.50 22.94% 77.06%
TOTAL RS/PS RESIDENTS 1,650.00 755.75 894.25 45.80% 54.20% APPRENTICES 73.00 73.00 0.00 100.00% 0.00%
C – Page 860 of 913
DEMUTH PARK DEVELOPMENT
Construction Cost: $6,500,000.00
Awarding Contractor: Zeco, Inc.
Total Project Hours – 9,720.53 Total Workers – 45 Palm Springs – 18 Riverside – 12 Non – 15
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
9,720.53
3,964.00 5,756.53 40.78% 59.22%
PALM SPRINGS RESIDENT 2,542.00 7,178.53 26.15% 73.85%
TOTAL RS/PS RESIDENTS 9,720.53 6,506.00 3,214.53 66.93% 33.07% APPRENTICES 1,413.25 712.00 701.25 50.38% 49.62%
DEMUTH PICKLEBALL COURTS
Construction Cost: $5,300,000.00
Awarding Contractor: Dearke E&C, Inc
Total Project Hours – 10,024.00 Total Workers – 32 Palm Springs – 8 Riverside – 9 Non – 15
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
10,024.00
2,803.50 7,220.50 27.97% 72.03%
PALM SPRINGS RESIDENT 3,212.25 6,811.75 32.05% 67.95%
TOTAL RS/PS RESIDENTS 10,024.00 6,015.75 4,008.25 60.01% 39.99% APPRENTICES 2,924.00 2,401.50 522.50 82.13% 17.87%
INDIAN CANYON DRIVE
Construction Cost: $8,108,067.00
Awarding Contractor: Grbcon, Inc.
Total Project Hours – 12,128.00 Total Workers – 60 Palm Springs – 2 Riverside – 12 Non – 46
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
12,128.00
632.50 11,495.50 5.22% 94.78%
PALM SPRINGS RESIDENT 41.00 12,086.50 0.34% 99.66%
TOTAL RS/PS RESIDENTS 12,128.00 674.00 11,454.00 5.56% 94.44% APPRENTICES 1,887.00 104.50 1,782.50 5.54% 94.46%
C – Page 861 of 913
LIBRARY RENOVATION
Construction Cost: $29,739,439.00
Awarding Contractor: Swinerton
Total Project Hours – 22,240.27 Total Workers – 200 Palm Springs – 28 Riverside – 53 Non – 119
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
22,240.27
9,495.43 12,744.84 42.69% 57.31%
PALM SPRINGS RESIDENT 2,589.75 19,650.52 11.64% 88.36%
TOTAL RS/PS RESIDENTS 22,240.27 12,085.18 10,155.09 54.34% 45.66% APPRENTICES 5,707.16 4,366.66 1,340.50 76.51% 23.49%
SOUTH PALM CANYON BRIDGE
Construction Cost: $10,510,913.00
Awarding Contractor: Riverside Construction Company
Total Project Hours – 24,977.00 Total Workers – 228 Palm Springs – 11 Riverside – 97 Non – 120
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
24,977.00
15,258.00 9,719.00 61.09% 38.91%
PALM SPRINGS RESIDENT 950.00 24,027.00 3.80% 96.20%
TOTAL RS/PS RESIDENTS 24,977.00 16,275.00 8,702.00 65.16% 34.84% APPRENTICES 1,888.00 1,77.00 711.00 62.34% 37.66%
CLOSED PROJECTS – FINAL STATS
COMMON USE PODIUMS – BONO CONCOURSE
Construction Cost: $1,805,00.00
Awarding Contractor: CALTEC
Total Project Hours – 2,645.62 Total Workers – 53 Palm Springs – 13 Riverside – 21 Non – 19
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
2,645.62
982.16 1,663.46 37.12% 62.88%
PALM SPRINGS RESIDENT 1,013.46 1,632.16 38.31% 61.69%
TOTAL RS/PS RESIDENTS 2,645.62 1,995.62 650.00 75.43% 24.57% APPRENTICES 308.83 217.33 91.50 70.37% 29.63%
C – Page 862 of 913
PAVEMENT REHAB
Construction Cost: $10,000.000.00
Awarding Contractor: Matich Corp.
Total Project Hours – 15,816.15 Total Workers – 156 Palm Springs – 25 Riverside – 52 Non – 79
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
15,816.15
4,627.40 11,188.75 29.26% 70.74%
PALM SPRINGS RESIDENT 4,250.50 11,565.65 26.87% 73.13%
TOTAL RS/PS RESIDENTS 15,816.15 8,286.90 7,259.25 52.40% 47.60% APPRENTICES 1,449.00 765.50 683.50 52.83% 47.17%
STORM DRAIN
Construction Cost: $11,555,555.00
Awarding Contractor: Mamco Inc. dba Alabbasi Construction Total Project Hours – 27,075.32 Total Workers – 157 Palm Springs – 26 Riverside – 69 Non – 62
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
27,075.32
11,614.25 15,461.07 42.90% 57.10%
PALM SPRINGS RESIDENT 7,012.00 20,063.32 25.90% 74.10%
TOTAL RS/PS RESIDENTS 27,075.32 19,189.00 7,886.32 70.87% 29.13% APPRENTICES 4,237.08 2,436.00 1,810.08 57.49% 42.51%
PLAZA THEATRE RENOVATIONS
Construction Cost: $17,000,000 to $21,000,000
Awarding Contractor: Woodcliff
Total Project Hours – 53,927.32 Total Workers – 89 Palm Springs – 9 Riverside – 17 Non – 63
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
53,927.32
23,985.57 29,941.75 44.48% 55.52%
PALM SPRINGS RESIDENT 5,710.00 48,217.32 10.59% 89.41%
TOTAL RS/PS RESIDENTS 53,927.32 29,695.57 24,231.75 55.07% 44.93% APPRENTICES 14,346.50 10,607.50 3,739.00 73.94% 26.06%
C – Page 863 of 913
NAVIGATION CENTER
Construction Cost: $16-20 million
Awarding Contractor: Tilden-Coil
Total Project Hours – 69,107.77 Total Workers – 600 Palm Springs – 66 Riverside – 198 Non – 336
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
69,107.77
25,965.11 43,142.66 37.57% 62.43%
PALM SPRINGS RESIDENT 11,279.07 57,828.70 16.32% 83.68% TOTAL RS/PS RESIDENTS 69,107.77 37,244.18 31,863.59 53.89% 46.11% APPRENTICES 21,582.24 13,538.64 8,043.60 62.73% 37.27%
SLURRY SEAL – 2025
Construction Cost: $3,460,758.00
Awarding Contractor: Pavement Recycling Systems, Inc.
Total Project Hours – 8,318.56 Total Workers – 52 Palm Springs – 1 Riverside – 15 Non – 36
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
8,318.56
1,911.56 6,407.00 22.98% 77.02%
PALM SPRINGS RESIDENT 260.00 8,058.56 3.13% 96.87%
APPRENTICES 993.25 131.00 862.25 13.19% 86.81%
TOTAL RS/PS RESIDENTS 8,318.56 2,171.56 6,147.00 26.10% 73.90%
BOGERT TRAIL
Construction Cost: $2,342,139.00
Awarding Contractor: Ferreira Construction
Total Project Hours – 3,282.75 Total Workers – 65 Palm Springs – 1 Riverside – 30 Non – 34
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
3,282.75
1,833.50 1,449.25 55.85% 44.15%
PALM SPRINGS RESIDENT 8.00 3,250.75 .25% 99.75%
TOTAL RS/PS RESIDENTS 3,282.75 1,841.50 1,441.25 56.10% 43.90% APPRENTICES 37.00 29.00 8.00 78.38% 21.62%
C – Page 864 of 913
AIRPORT TAXI
Construction Cost: $7,281,225.00
Awarding Contractor: Matich Corp.
Total Project Hours – 9,890.00 Total Workers – 88 Palm Springs – 14 Riverside – 26 Non – 48
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
9,890.00
3,079.75 6,810.25 31.14% 68.86%
PALM SPRINGS RESIDENT 1,833.25 8,056.75 18.54% 81.46%
TOTAL RS/PS RESIDENTS 9,890.00 4,913.00 4,977.00 49.68% 50.32% APPRENTICES 845.50 498.00 347.50 58.90% 41.10%
GENE AUTRY WINDWALL
Construction Cost: $2,500,000.00
Awarding Contractor: Dearke E&C, Inc
Total Project Hours – 6,522.25 Total Workers – 73 Palm Springs – 16 Riverside – 27 Non – 30
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
6,522.25
1,689.50 4,832.75 25.90% 74.10%
PALM SPRINGS RESIDENT 2,025.50 4,496.75 31.06% 68.94%
TOTAL RS/PS RESIDENTS 6,522.25 3,715.00 2,807.25 56.96% 43.04% APPRENTICES 1,143.00 804.50 338.50 70.38% 29.62%
WASTEWATER DEMO
Construction Cost: $3,140,000.00
Awarding Contractor: Resource Environmental
Total Project Hours – 4,722.25 Total Workers – 46 Palm Springs – 9 Riverside – 8 Non – 29
PROJECT
HOURS
LOCAL
RESIDENTS NON-LOCAL LOCAL % NON-LOCAL %
RIVERSIDE RESIDENTS
4,722.25
354.00 4,368.25 7.50% 92.50%
PALM SPRINGS RESIDENT 900.25 3,822.00 19.06% 80.94%
TOTAL RS/PS RESIDENTS 4,722.25 1,254.25 3,468.00 26.56% 73.44% APPRENTICES 304.00 304.00 0.00 100.00% 0.00%
C – Page 865 of 913
OVERALL TOTALS
Project Total Hours Local Hours PALM
SPRINGS RIVERSIDE NON
Airport Baggage 2,565.25 1,537.25 8 27 22
Pavement 2026 1,650.00 755.75 0 12 21
DeMuth Park 9720.53 6506 18 12 15
DeMuth Pickleball 10,024.00 6,015.75 8 9 15
Indian Canyon Drive 12,128.00 674.00 2 12 46
Library Reno 22,240.27 12,085.18 28 53 119
SPC Bridge 24,977.00 16,275.00 11 97 120
Podiums 2,645.62 1,995.62 13 21 19
Pavement 2025 15,816.15 8,286.90 25 52 79
Storm Drain 27,075.32 19,189.00 26 69 62
Plaza Theatre 53,927.32 29,710.00 9 17 63
Navigation Center 69,107.77 37,279.07 66 198 336
Slurry Seal 8,318.56 2,171.56 1 15 36
Bogert Trail 3,282.75 1,841.50 1 30 34
Airport Taxi 9,890.00 4,913.00 14 26 48
Gene Autry 6,522.25 3,715.00 16 27 30
WasteWater 4,722.25 1,254.25 9 8 29
Cumulative 284613.04 154204.83 255 685 1094
59.93%
45.80%
66.93%
60.01%
5.56%
54.34%
65.16%
75.43%
52.40%
70.87%
55.09%
53.94%
26.10%
56.10%
49.68%
56.96%
26.56%
54.18%
0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% 90.00% Airport Baggage
Pavement 2026
DeMuth Park
DeMuth Pickleball
Indian Canyon Drive
Library Reno
SPC Bridge
Podiums
Pavement 2025
Storm Drain
Plaza Theatre
Navigation Center
Slurry Seal
Bogert Trail
Airport Taxi
Gene Autry
WasteWater
Cumulative
30 % Local Worker Goal
C – Page 866 of 913
-5 5 15 25 35 45 55 65 75
Airport Baggage
Pavement 2026
DeMuth Park
DeMuth Pickleball
Indian Canyon Drive
Library Reno
SPC Bridge
Podiums
Pavement 2025
Storm Drain
Plaza Theatre
Navigation Center
Slurry Seal
Bogert Trail
Airport Taxi
Gene Autry
WasteWater
Cumulative
Palm Springs Residents
C – Page 867 of 913
CITY COUNCIL STAFF REPORT
DATE: SEPTEMBER 9, 2026 BUSINESS & LEGISLATIVE
SUBJECT: APPROVE A FUNDING AND SERVICES AGREEMENT WITH
CARAVANSERAI - ALLIANCE FOR ENTREPRENEURS FOR
IMPLEMENTATION OF THE SMALL BUSINESS SUPPORT PROGRAM
("BIZUP: PALM SPRINGS")
FROM: Scott C. Stiles, City Manager
BY: Flinn Fagg, Assistant City Manager
SUMMARY:
This item requests City Council approval of a Funding and Services Agreement (Attachment A) between the City of Palm Springs (“City”) and Caravanserai - Alliance for Entrepreneurs (“Caravanserai”) to implement the Small Business Support Program, operating under the name “BizUp: Palm Springs” (“Program”). The Program will provide business training, one-on-one consulting, and micro-grant capital to early-stage and under-resourced entrepreneurs in Palm Springs. While the program will be open to all small business owners and entrepreneurs in Palm Springs, priority outreach will be given to Section 14 survivors and their descendants. The initiative expands access to capital and business support services, advances economic empowerment for marginalized communities, and furthers the City’s Section 14 restorative justice commitments.
Under the proposed Agreement, the City will allocate $1,000,000 over five (5) years ($200,000 annually, disbursed in quarterly installments of $50,000) to Caravanserai. Of each year’s allocation, 75 percent ($150,000) will fund direct micro-grants to entrepreneurs and 25 percent ($50,000) will fund program delivery, consistent with the terms outlined in Attachment B.
RECOMMENDATION:
1) Approve a Funding and Services Agreement with Caravanserai - Alliance for Entrepreneurs for implementation of the Small Business Support Program ("Bizup:
Palm Springs"); and
2) Authorize the City Manager or their designee to execute all necessary documents.
D – Page 868 of 913
City Council Staff Report
September 9, 2026 -- Page 2
Funding Agreement with Caravanserai
BUSINESS PRINCIPAL DISCLOSURE:
Caravanserai is a 501(c)(3) nonprofit registered in the state of California; thus, there are no owners. Their public integrity disclosure is included as Attachment D.
BACKGROUND:
In November 2024, the Palm Springs City Council approved a comprehensive framework for restorative justice and housing and economic development initiatives stemming from the Section 14 settlement discussions (Attachment C). This included a direct financial settlement of $5.91 million for verified former Section 14 residents and their descendants; $20 million over ten years for housing programs, including a First-Time Homebuyer Assistance Program and a Community Land Trust; and $1 million over five years for small business support, delivered in partnership with Caravanserai.
The small business commitment builds on a Small Business Entrepreneur Pilot Program that the City launched with Caravanserai in February 2024, prior to the settlement framework. The pilot opened a Caravan Small Business Development Center (“Caravan SBDC”) location at 2150 E. Tahquitz Canyon Way in Palm Springs, providing business training and access-to-capital support to early-stage entrepreneurs from historically underserved communities, including women, LGBTQ individuals, veterans, African American and Spanish-speaking populations, and persons with disabilities.
In April 2024, following community engagement on the City’s Section 14 commitments, the City Council directed staff to review the results of the Caravanserai pilot program and evaluate potential expanded funding. Across the two completed program years (2024 and 2025), Caravanserai served 70 entrepreneurs, funded 35 businesses, created 21 new jobs, and generated $1.18 million in revenue growth, contracts, and investments captured by participants.
The Program proposed in this Agreement applies the same training-and-micro-grant model at full scale over a five-year term, with continued priority outreach to Section 14 survivors and descendants alongside the broader Palm Springs small business community.
STAFF ANALYSIS:
Program Partner
Caravanserai - Alliance for Entrepreneurs is a nonprofit organization that operates Caravan SBDC, a small business development center affiliated with the Orange County Inland Empire SBDC Network. Through the center and its network, Program participants have access to more than 150 business consultants across finance, marketing, sales, operations, and compliance, at no cost to participants or to the City. Caravanserai is independently audited each year and holds a GuideStar Platinum transparency rating, placing it in the top 1 percent of nonprofits nationally.
D – Page 869 of 913
City Council Staff Report
September 9, 2026 -- Page 3
Funding Agreement with Caravanserai
Program Design
The Program will run two cohorts per year of 20-25 participants each, training 40-50 entrepreneurs annually (200-250 over five years). Every cohort receives ten business group workshops and ten one-on-one coaching sessions, delivered in a hybrid format (inperson and online) and fully bilingual in English and Spanish. The curriculum covers business vision and planning, financial management, customer discovery and competitive analysis, marketing and sales, banking and financial systems, and technology and operations, tailored to the needs of each cohort. After graduation, participants retain access to ongoing Caravan SBDC consulting at no cost, for as many sessions as appropriate.
Selection is competitive and based on the strength of each applicant’s business. Priority outreach will be given to Section 14 survivors and descendants, and the Program remains open to all Palm Springs entrepreneurs.
Micro-Grant Eligibility
Graduates who complete the training program, the required Caravan SBDC coaching sessions, and a business plan qualify for a $3,750 micro-grant. Up to 40 grants will be awarded each year (200 over the life of the Program). Before funds are disbursed, each recipient must provide:
• Government-issued photo identification
• Business formation and registration records (fictitious business name statement, articles of organization or incorporation, EIN confirmation, as applicable) • An active City of Palm Springs business license, along with any other licenses or permits the business requires to be in compliance
• Business bank account verification (voided check, bank verification letter, or recent statement)
• Evidence of active business operations (sales records, contracts, leases, payroll records, or comparable documentation)
• Most recent business tax return, where applicable
Grant funds may be used for business licenses and incorporation, equipment, marketing, rent, inventory, and payroll (with restrictions). Funds may not be used for taxes, bonuses, severance, personal expenses, legal settlements, expenses reimbursed by insurance, or investment purposes, including but not limited to cryptocurrency, stocks, or other speculative financial instruments. Recipients must submit invoices and progress reports on the use of funds.
Outreach Plan
Caravanserai will promote the Program through email newsletters, text message campaigns, in-person information sessions, social media, and its established relationships across the regional small business community, including community organizations, financial institutions, and chambers of commerce. All outreach materials will be bilingual in English and Spanish.
D – Page 870 of 913
City Council Staff Report
September 9, 2026 -- Page 4
Funding Agreement with Caravanserai
Outreach for each cohort follows a phased timeline that puts the Section 14 community first. The first recruitment period opens with a 90-day priority outreach window spanning the full first program quarter, allowing multiple rounds of information sessions and sustained relationship-building with Section 14 representatives before any citywide promotion begins. Each recruitment period after the first opens with a standard 30-day priority window. During each priority window, all outreach activity is dedicated to Section 14 survivors and descendants. Applications remain open to all Palm Springs entrepreneurs throughout, and selection remains competitive. After each priority window closes, outreach expands citywide. This cycle repeats before each cohort, twice per program year, consistent with the implementation timeline below.
Outreach Phase (each
recruitment period)
Activities
Section 14 priority
outreach: first 90 days of
the first recruitment
period, first 30 days of
each recruitment period
thereafter
All outreach (newsletters, text campaigns, etc.) is
dedicated to Section 14 survivors and descendants.
Community information sessions at trusted neighborhood
locations, including Ajalon Missionary Baptist Church and the James O. Jessie Desert Highland Unity Center, with
Section 14 representatives invited to co-host. Application walkthrough sessions and technical support webinars for Section 14 applicants. In-person application and technical assistance at the Unity Center and the Caravanserai office.
General recruitment:
following each priority
window
Outreach expands citywide through newsletters, text
campaigns, social media, and partner organizations.
Continued application walkthroughs, technical support
webinars, and in-person assistance at accessible
community locations and the Caravanserai office through the close of applications.
Ongoing Continued engagement with Section 14 representatives between cohorts to share program updates, report
outcomes, and gather community feedback. Year-round
outreach partnerships with community organizations and
financial institutions.
Caravanserai will engage Section 14 representatives throughout the Program, inviting them to raise awareness among survivors and descendants, co-host information sessions, and help keep the community informed between recruitment cycles.
Caravanserai staff will walk applicants through the application and required documentation step by step, in person and online, in English and Spanish.
Community Outreach To Date
In advance of this Agreement, City staff and Caravanserai representatives held a twohour community information session with Section 14 survivors and descendants on July
D – Page 871 of 913
City Council Staff Report
September 9, 2026 -- Page 5
Funding Agreement with Caravanserai
22, 2026. The session provided an overview of the Program and its structure, as well as an overview of Caravanserai and the business training, consulting, and micro-grant services it will provide. This session forms the foundation for the ongoing, priority outreach to the Section 14 community described below.
Implementation Timeline
The Program timeline is organized around program quarters, with Quarter 1 beginning when the first quarterly disbursement is received from the City. In Year 1, the full first quarter is dedicated to Section 14 priority outreach before citywide recruitment begins.
Years 2-5 follow the same four-quarter cycle each year, aligned to the City’s disbursement schedule.
Program Quarter Milestones
Quarter 1 (begins
upon first City
disbursement)
Program launch. Applications open. The full quarter (90 days) is dedicated to Section 14 priority outreach, beginning with Section 14 representatives and community partners.
Quarter 2 Citywide general recruitment opens and closes. Cohort 1 selected and training begins.
Quarter 3 Cohort 1 completes training and micro-grants are awarded to eligible graduates (up to 20). Cohort 2 recruitment begins with a 30-day Section 14 priority outreach window.
Quarter 4 Cohort 2 trains and completes. Micro-grants awarded (up to 20).
Cohort 1 grant reporting and follow-up consulting. Year 1 evaluation and annual report to the City.
Years 2-5 The same four-quarter cycle repeats each program year: two cohorts, up to 40 micro-grants, and annual reporting. Outcome tracking continues for 12 months after each cohort.
Program Structure and Budget
• Funding: $1,000,000 over five (5) years ($200,000 annually), disbursed in quarterly installments of $50,000.
• Micro-Grant Allocation: 75% of annual funding ($150,000) is dedicated directly to entrepreneur micro-grants.
• Program Delivery Allocation: 25% of annual funding ($50,000) covers program administration, training, outreach, and evaluation.
• Roll-Forward Provision: Any micro-grant funds not awarded in a given program year roll forward into the following year’s micro-grant pool; they are never redirected to program operations.
• Caravan SBDC Consulting: One-on-one business consulting is provided at no cost to participants or the City, with an estimated added value of $40,000 per year ($200,000 over five years), bringing total estimated program value to $1,200,000 over five years.
D – Page 872 of 913
City Council Staff Report
September 9, 2026 -- Page 6
Funding Agreement with Caravanserai
Category Annual 5-Year Total
Micro-grants to entrepreneurs (75%) $150,000 $750,000
Program delivery (25%) $50,000 $250,000
Total City investment $200,000 $1,000,000
Caravan SBDC consulting (no cost to City) $40,000 $200,000 Total program value $240,000 $1,200,000
Anticipated Outcomes, Metrics, and Reporting
Over five years, the Program is anticipated to train 200-250 Palm Springs entrepreneurs across ten cohorts and deploy $750,000 in micro-grant capital through 200 grants of $3,750. Caravanserai will track outcomes from the application stage through 12 months after each cohort, measuring businesses funded, businesses started, jobs created and retained, revenue growth, and additional capital secured, among other metrics.
Caravanserai will provide quarterly financial and program reporting to the City, including metrics and detailed financial receipts. In addition, an annual impact report will be provided to the City Council, detailing expenditures and program results.
ENVIRONMENTAL ASSESSMENT:
Approval of this Agreement is exempt from environmental review under the general rule in California Environmental Quality Act (“CEQA”) Guidelines Section 15061(b)(3). The activity is covered by the general rule which exempts activities that can be seen with certainty to have no possibility of causing a significant effect on the environment.
ALIGNMENT WITH STRATEGIC PLANNING:
This item aligns with the following City Council Strategic Plan Broad Goal: Economic Development.
FISCAL IMPACT:
The Program will be funded at a total allocation of $1,000,000 over five (5) years ($200,000 annually), consistent with the small business support commitment approved by City Council as part of the Section 14 restorative justice framework on November 14, 2024. The program will be funded out of the Economic Development budget in account 1002100-40105 for fiscal year 2027 and appropriated in future Economic Development budgets. No additional General Fund impact beyond the amounts already contemplated in that framework is anticipated.
D – Page 873 of 913
City Council Staff Report
September 9, 2026 -- Page 7
Funding Agreement with Caravanserai
REVIEWED BY:
Finance Director: Kristopher J. Mooney
Assistant City Manager: Flinn Fagg
City Manager: Scott Stiles
ATTACHMENTS:
A. Funding and Services Agreement between the City of Palm Springs and Caravanserai - Alliance for Entrepreneurs
B. BizUp: Palm Springs – Program Overview (Caravanserai) C. Palm Springs Section 14 Open Session/Settlement Framework Summary – Small Business Support Program (November 14, 2024)
D. Public Integrity Disclosure
D – Page 874 of 913
ATTACHMENT A
D – Page 875 of 913
FUNDING AGREEMENT
CARAVANSERAI PROJECT
This FUNDING AGREEMENT (“Agreement”) is made and entered into on October 1, 2026 (“Effective Date”), by and between the City of Palm Springs, a California charter city and municipal corporation (“CITY”), and Caravanserai Project, Inc., a Washington, D.C. nonprofit corporation, having its principal place of business at 400 S El Cielo Road, Suite E, Palm Springs, CA 92262 (“RECIPIENT”).
RECITALS
A. CITY and RECIPIENT are mutually interested in funding of programs and services to the Palm Springs community.
B. RECIPIENT has agreed to provide such services to the Palm Springs community pursuant to the terms of this Agreement.
C. Based on its experience and reputation, RECIPIENT is qualified to provide the services and desires to provide such services.
D. CITY desires to support the services of RECIPIENT.
NOW, THEREFORE, in consideration of the promises and mutual agreements contained herein, the parties hereto agree as follows:
AGREEMENT
1. SERVICES OF RECIPIENT
1.1 Scope of Services. In compliance with all terms and conditions of this Agreement, RECIPIENT agrees to provide services as generally described in Exhibit “A” attached hereto and incorporated herein by this reference (collectively, “the Services”).
1.2 Compliance with Law. All services rendered under this Agreement shall be provided in accordance with all applicable federal, state, and local laws, statutes and ordinances and all lawful orders, rules, and regulations.
1.3 Licenses and Permits. RECIPIENT shall obtain at its sole cost and expense such licenses, permits, and approvals as may be required by law for the performance of the services required by this Agreement.
1.4 Promotional Literature. In the event RECIPIENT distributes promotional literature advertising the Services, CITY shall be acknowledged as a sponsor of the Services.
1.5 Volunteer Coordination. To the extent reasonable, if requested by CITY, RECIPIENT agrees to notify its employees, members, or volunteers of opportunities to volunteer at CITY events.
D – Page 876 of 913
1.6 No Additional Funding. The Agreement represents the full understanding and agreement of the Parties with respect to the compensation to RECIPIENT, and any further compensation or sponsorship by CITY to RECIPIENT shall be made, if at all, pursuant to a separate, written agreement executed by both Parties.
2. TIME FOR COMPLETION
The time for completion of the services to be performed by RECIPIENT is an essential condition of this Agreement. RECIPIENT shall prosecute regularly and diligently the work of this Agreement according to the agreed upon schedule of performance set forth in Exhibit “A.” RECIPIENT shall not be accountable for delays in the progress of its work caused by any condition beyond its control and without the fault or negligence of RECIPIENT. Delays shall not entitle RECIPIENT to any additional compensation regardless of the party responsible for the delay.
3. PAYMENT
3.1 Amount of Payment. CITY agrees to provide RECIPIENT with funding in an amount not to exceed One Million Dollars ($1,000,000) to be used for providing the Services, paid as set forth below.
3.2 Method of Payment.
Based on the City Manager’s determination, payment will be made by CITY of a minimum of four (4) payments annually, distributed at last three (3) months apart. The first such payment shall be made on the following date: October 1, 2026. Subsequent payments shall be made as follows: in quarterly disbursements of $50,000 in accordance with Exhibit “A” Section IV. Subsequent payments shall not be made unless RECIPIENT provides an invoice and a written progress report showing the work performed in pursuit of the SERVICES. Submission of such progress report shall be provided at least quarterly, with the first such report being due within three (3) months following the Effective Date, and subsequent reports being due three (3) months thereafter.
3.3 Emergency Payments. Notwithstanding the payment schedule provided above, in the event RECIPIENT requires emergency funding, RECIPIENT shall make written request therefor, which request shall be reviewed and considered by the City Manager, Finance Director and City Attorney. In no event shall any request for an emergency payment cause the maximum amount of payment, set forth in section 3.1 above, to be exceeded.
3.4. Changes. In the event any change or changes to the Services is requested by CITY, the parties hereto shall execute a written amendment to this Agreement setting forth with particularity all terms of such amendment including, but not limited to, any additional funding.
4. PERFORMANCE SCHEDULE
4.1 Time of Essence. Time is of the essence in the performance of this Agreement.
D – Page 877 of 913
4.2 Schedule of Performance. RECIPIENT shall complete the Services no later than at the end of the Term. Any remaining unused funds after such date shall be returned to the CITY.
4.3 Force Majeure. The time for performance of any obligation to be rendered under this Agreement may be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of a party, if that party notifies the other party within ten (10) days following the commencement of such condition. Unforeseeable causes include, but are not limited to, acts of God or of a public enemy, acts of the government, fires, earthquakes, floods, epidemic, quarantine restrictions, riots, strikes, freight embargoes, and unusually severe weather.
4.4 Term. Unless earlier terminated in accordance with Section 4.5 of this Agreement, this Agreement shall continue in full force and effect from October 1, 2026, and lasting until September 30, 2031, unless extended by mutual, written agreement of the parties.
4.5 Termination Prior to Expiration of Term. CITY reserves the right to terminate this Agreement at any time, with or without cause, upon thirty (30) days written notice to RECIPIENT. Where termination is due to the fault of RECIPIENT and constitutes an immediate danger to health, safety, and general welfare, the period of notice shall be such shorter time as may be determined by the CITY. Upon receipt of the notice of termination, RECIPIENT shall immediately cease all services except such as may be specifically approved by CITY Representative. RECIPIENT shall be entitled to compensation for all services rendered prior to receipt of the notice of termination and for any services authorized by the CITY Representative after such notice. RECIPIENT may terminate this agreement, with or without cause, upon thirty (30) days written notice to CITY.
5. COORDINATION OF WORK
5.1 Representative of Recipient. The following principals of RECIPIENT are designated as being the principals and representatives of RECIPIENT authorized to act and make all decisions on its behalf with respect to the specified services and work: Franzene Minott, Co-Chief Executive Officer and Bradley Chargualaf, Co-Chief Executive Officer.
5.2 Representative of City. The following principal of CITY is designated as being the principal and representative of CITY (“CITY Representative”) authorized to act and make all decisions on its behalf with respect to this Agreement: City Manager or their designee.
5.3 Prohibition Against Subcontracting or Assignment. RECIPIENT shall not contract with any other individual or entity to perform any services required under this Agreement without the CITY's express written approval. In addition, neither this Agreement nor any interest may be assigned or transferred, voluntarily or by operation of law, without the prior written approval of CITY.
5.4 Independent Contractor. Neither CITY nor any of its employees shall have any control over the manner, mode, or means by which RECIPIENT, its agents or employees, perform the services required, except as otherwise specified. RECIPIENT shall perform all
D – Page 878 of 913
required services as an independent contractor of CITY and shall not be an employee of CITY and shall remain at all times as to CITY a wholly independent contractor with only such obligations as are consistent with that role; however, CITY shall have the right to review RECIPIENT’s work product, result, and advice. RECIPIENT shall not at any time or in any manner represent that it or any of its agents or employees are agents or employees of CITY.
5.5 Designated Oversight and Staff Responsibility. A designated point person from CITY staff shall be assigned to oversee compliance, monitor reports, and audit program expenses as needed. This individual will act as the liaison between CITY and RECIPIENT and ensure adherence to all contractual obligations.
5.6 Material Changes Affecting RECIPIENT. In the event of material internal changes with RECIPIENT’s organization, RECIPIENT shall notify the CITY Representative, in writing, within ten (10) calendar days of such change. For purposes of this Section, a material change includes any change in RECIPIENT’s board of directors, executive management, managing or member partners (including their ownership shares), RECIPIENT’s policies or procedures, or any written allegation, investigation into, or finding of any violation of federal, state, or local law or regulation. In addition, any other event or occurrence that materially affects RECIPIENT’s operations shall be reported to the CITY Representative, in writing, within ten (10) calendar days.
6. INSURANCE
RECIPIENT shall procure and maintain, at its sole cost and expense, policies of insurance as required by the City Attorney, as specified in Exhibit “B.”
7. INDEMNIFICATION.
7.1 Indemnification. To the fullest extent permitted by law, RECIPIENT shall defend (at RECIPIENT’s sole cost and expense), indemnify, protect, and hold harmless CITY, its elected officials, officers, employees, agents, and volunteers (collectively the “Indemnified Parties”), from and against any and all liabilities, actions, suits, claims, demands, losses, costs, judgments, arbitration awards, settlements, damages, demands, orders, penalties, and expenses including legal costs and attorney fees (collectively “Claims”), including but not limited to Claims arising from injuries to or death of persons (RECIPIENT’s employees included), for damage to property, including property owned by CITY, from any violation of any federal, state, or local law or ordinance, and from errors and omissions committed by RECIPIENT, its officers, employees, representatives, and agents, that arise out of or relate to RECIPIENT’s performance under this Agreement. This indemnification clause excludes Claims arising from the sole negligence or willful misconduct of the CITY, its elected officials, officers, employees, agents, and volunteers. Under no circumstances shall the insurance requirements and limits set forth in this Agreement be construed to limit RECIPIENT’s indemnification obligation or other liability under this Agreement. RECIPIENT’s indemnification obligation shall survive the expiration or earlier termination of this Agreement until all actions against the Indemnified Parties for such matters indemnified are fully and finally barred by the applicable statute of limitations or, if an action is timely filed, until such action is final. This provision is intended for the benefit of third party Indemnified Parties not otherwise a party to this Agreement.
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8. RECORDS AND REPORTS
8.1 Reports. RECIPIENT shall prepare and submit to the CITY Representative a report concerning the performance of the Services required by this Agreement within 30 days of completion of the Services or upon expiration of this Agreement, whichever occurs first.
The report shall include all promotional materials developed for the Programming and additional media and related items pertaining to the programming.
8.2 Records. RECIPIENT shall keep such books and records as shall be necessary to properly perform the services required by this Agreement and enable the CITY Representative to evaluate the performance of such services. The CITY Representative shall have full and free access to such books and records at all reasonable times, including the right to inspect, copy, audit, and make records and transcripts from such records.
8.3 Cost Records. RECIPIENT shall maintain all books, documents, papers, employee time sheets, accounting records, and other evidence pertaining to costs incurred while performing under this Agreement. RECIPIENT shall make such materials available at its offices at all reasonable times during the term of this Agreement and for three (3) years from the date of final payment for inspection by CITY and copies shall be promptly furnished to CITY upon request.
8.4 Financial Records. RECIPIENT shall provide to CITY an Annual Financial Report, including a balance sheet, income statement, and a description of the RECIPIENT’s operations prepared in compliance with generally accepted auditing principles (GAAP) and certified by a licensed Certified Public Accountant no later than eight (8) months following the close of RECIPIENT’s fiscal year end on September 30, of each year, in addition to the Internal Revenue Form 990 (to be filed within the same time) concerning the performance of the Services required by this Agreement, and again within thirty (30) days following completion of the Services or upon expiration of this Agreement, whichever occurs first.
8.5 Progress Reports. RECIPIENT must submit regular progress reports detailing the status of the services and any use of funds.
8.6 Invoices. All reimbursement requests must be accompanied by detailed invoices and corresponding progress reports.
8.7 Annual Audit. In addition to the information required above, if the amount set forth in Section 3.1 is over Seventy Five Thousand Dollars ($75,000), RECIPIENT shall provide an independent audit at least annually during the term of this Agreement.
RECIPIENT may request, and the Finance Director shall have the authority to approve or disapprove, that RECIPIENT meet the above-referenced audit requirement by conducting and providing to CITY an audit that is focused on RECIPIENT’s internal controls.
9. ENFORCEMENT OF AGREEMENT
9.1 California Law. This Agreement shall be construed and interpreted both as to validity and to performance of the parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim, or matter arising out of or in relation
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to this Agreement shall be instituted in the Superior Court of the County of Riverside, State of California, or any other appropriate court in such county, and RECIPIENT covenants and agrees to submit to the personal jurisdiction of such court in the event of such action.
9.2 Interpretation. This Agreement shall be construed as a whole according to its fair language and common meaning to achieve the objectives and purposes of the Parties.
The terms of this Agreement are contractual and the result of negotiation between the Parties. Accordingly, any rule of construction of contracts (including, without limitation, California Civil Code Section 1654) that ambiguities are to be construed against the drafting party, shall not be employed in the interpretation of this Agreement. The caption headings of the various sections and paragraphs of this Agreement are for convenience and identification purposes only and shall not be deemed to limit, expand, or define the contents of the respective sections or paragraphs.
9.3 Waiver. No delay or omission in the exercise of any right or remedy of a nondefaulting party on any default shall impair such right or remedy or be construed as a waiver.
No consent or approval of CITY shall be deemed to waive or render unnecessary CITY’s consent to or approval of any subsequent act of RECIPIENT. Any waiver by either party of any default must be in writing. No such waiver shall be a waiver of any other default concerning the same or any other provision of this Agreement.
9.4 Rights and Remedies are Cumulative. Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the parties are cumulative. The exercise by either party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other party.
9.5 Legal Action. In addition to any other rights or remedies, either party may take legal action, in law or in equity, to cure, correct, or remedy any default, to recover damages for any default, to compel specific performance of this Agreement, to obtain injunctive relief, a declaratory judgment, or any other remedy consistent with the purposes of this Agreement.
11. CITY OFFICERS AND EMPLOYEES; NON-DISCRIMINATION
11.1 Non-Liability of City Officers and Employees. No officer or employee of CITY shall be personally liable to the RECIPIENT, or any successor-in-interest, in the event of any default or breach by CITY or for any amount which may become due to the RECIPIENT or its successor, or for breach of any obligation of the terms of this Agreement.
11.2 Conflict of Interest. RECIPIENT acknowledges that no officer or employee of the CITY has or shall have any direct or indirect financial interest in this Agreement, nor shall RECIPIENT enter into any agreement of any kind with any such officer or employee during the term of this Agreement and for one year thereafter. RECIPIENT warrants that RECIPIENT has not paid or given, and will not pay or give, any third party any money or other consideration in exchange for obtaining this Agreement.
11.3 Covenant Against Discrimination. In connection with its performance under this Agreement, RECIPIENT shall not discriminate against any employee or applicant for
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employment because of actual or perceived race, religion, color, sex, age, marital status, ancestry, national origin (i.e., place of origin, immigration status, cultural or linguistic characteristics, or ethnicity), sexual orientation, gender identity, gender expression, physical or mental disability, or medical condition (each a “prohibited basis”). RECIPIENT shall ensure that applicants are employed, and that employees are treated during their employment, without regard to any prohibited basis. As a condition precedent to CITY’s lawful capacity to enter this Agreement, and in executing this Agreement, RECIPIENT certifies that its actions and omissions hereunder shall not incorporate any discrimination arising from or related to any prohibited basis in any RECIPIENT activity, including but not 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; and further, that RECIPIENT is in full compliance with the provisions of Palm Springs Municipal Code Section 7.05.02, including without limitation the provision of benefits, relating to non-discrimination in city contracting.
12. MISCELLANEOUS PROVISIONS
12.1 Notice. Any notice, demand, request, consent, approval, or communication that either party desires, or is required to give to the other party or any other person shall be in writing and either served personally or sent by pre-paid, first-class mail to the address set forth below. Notice shall be deemed communicated seventy-two (72) hours from the time of mailing if mailed as provided in this Section. Either party may change its address by notifying the other party of the change of address in writing.
To City: CITY OF PALM SPRINGS
CITY MANAGER/CITY CLERK
3200 E. Tahquitz Canyon Way
Palm Springs, California 92262
(760) 322-8362
To RECIPIENT: CARAVANSERAI PROJECT
Attn: Franzene Minott and Bradley Chargualaf,
Co-Chief Executive Officers
[email protected]
[email protected]
2150 E Tahquitz Canyon Way #3
Palm Springs, CA 92263
(760) 537-6442
12.2 Integrated Agreement. This Agreement contains all of the agreements of the parties and supersedes all other written agreements.
12.3 Amendment. No amendments or other modifications of this Agreement shall be binding unless through written agreement by all Parties.
12.4 Severability. Whenever possible, each provision of this Agreement shall be interpreted in such a manner as to be effectiv e and valid under applicable law. In the event
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that any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement, which shall be interpreted to carry out the intent of the parties.
12.5 Successors in Interest. This Agreement shall be binding upon and inure to the benefit of the Parties’ successors and assignees.
12.6 Third Party Beneficiary. Except as may be expressly provided for in this Agreement, nothing contained in this Agreement is intended to confer, nor shall this Agreement be construed as conferring, any rights, including, without limitation, any rights as a third-party beneficiary or otherwise, upon any entity or person not a party to this Agreement.
12.7 Recitals. The above-referenced Recitals are hereby incorporated into the Agreement as though fully set forth in this Agreement and each Party acknowledges and agrees that such Party is bound, for purposes of this Agreement, by the same.
12.8 Authority. The persons executing this Agreement on behalf of the Parties warrant that they are duly authorized to execute this Agreement on behalf of Parties and that by so executing this Agreement the Parties are formally bound to the provisions of this Agreement.
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IN WITNESS WHEREOF, the Parties have executed this Agreement as of the dates stated below.
“CITY”
City of Palm Springs
Date:__________________________ By: _______________________________ Scott C. Stiles
City Manager
APPROVED AS TO FORM: ATTEST
By: ___________________________ By: _______________________________ Jeffrey S. Ballinger Brenda Pree
City Attorney City Clerk
“RECIPIENT”
CARAVANSARAI PROJECT, INC.
Date: __________________________ By : ______________________________ Franzene Minott
______________________________
Co-Chief Executive Officer
Date: __________________________ ______________________________ Bradley Chargualaf
______________________________
Co-Chief Executive Officer
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EXHIBIT “A”
SCOPE OF SERVICES/WORK
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BIZUP: PALM SPRINGS
Palm Springs Business Training and Access to Capital Program Overview I. Program Summary
In 2024, the City of Palm Springs committed $1,000,000 over five years to economic development as part of its restorative justice commitment following the Section 14 settlement, naming Caravanserai - Alliance for Entrepreneurs as the delivery partner.
This overview describes how RECIPIENT will deliver that commitment: a five-year business training and access to capital program focused on Section 14 survivors and descendants and the broader Palm Springs small business community.
The program builds directly on two completed program years funded by the City in 2024 and 2025. Those two years served 70 entrepreneurs, funded 35 businesses, created 21 new jobs, and generated $1.18 million in revenue growth, contracts, and investments captured by participants. This 5-year initiative applies the same model at full scale.
Each program year, RECIPIENT shall train 40-50 entrepreneurs across two cohorts, award up to 40 micro-grants of $3,750, and provide unlimited one-on-one business consulting through Caravan SBDC, RECIPIENT's small business development center within the larger Orange County Inland Empire SBDC Network. Through the center and its network, entrepreneurs have access to more than 150 business consultants across finance, marketing, sales, operations, and compliance, at no cost to them or to the City. Over five years, the program will train 200-250 entrepreneurs and deploy $750,000 in direct micro-grant capital into Palm Springs businesses.
II. Program Design
The program runs two cohorts per year of 20-25 participants each. Every cohort receives ten business group workshops and ten one-on-one coaching sessions, delivered in a hybrid format (in-person and online) and fully bilingual in English and Spanish. The curriculum covers business vision and planning, financial management, customer discovery and competitive analysis, marketing and sales, banking and financial systems, and technology and operations, tailored to the needs of each cohort.
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Selection is competitive, based on the strength of each applicant's business.
Priority outreach will be given to Section 14 survivors and descendants, and the program remains open to all Palm Springs entrepreneurs.
After graduation, participants keep access to ongoing consulting through Caravan SBDC at no cost, for as many sessions as appropriate.
III. Micro-Grant Eligibility
Graduates who complete the training program, the required coaching sessions through Caravan SBDC, and a business plan qualify for a $3,750 micro-grant. Up to 40 grants are awarded each year, 200 over the life of the program. Before funds are disbursed, each recipient must provide:
• Government-issued photo identification
• Business formation and registration records (fictitious business name statement, articles of organization or incorporation, EIN confirmation, as applicable) • An active City of Palm Springs business license, along with any other licenses or permits the business requires to be in compliance
• Business bank account verification (voided check, bank verification letter, or recent statement)
• Evidence of active business operations (sales records, contracts, leases, payroll records, or comparable documentation)
• Most recent business tax return, where applicable
Grant funds may be used for business licenses and incorporation, equipment, marketing, rent, inventory, and payroll (with restrictions). Funds may not be used for taxes, bonuses, severance, personal expenses, legal settlements, expenses reimbursed by insurance, or investment purposes, including but not limited to cryptocurrency, stocks, or other speculative financial instruments. Recipients submit invoices and progress reports on the use of funds.
IV. Outreach Plan
RECIPIENT shall promote the program through email newsletters, text message campaigns, in-person info sessions, social media, and its established relationships across the regional small
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business community, including community organizations, financial institutions, and chambers of commerce. All outreach materials are bilingual in English and Spanish.
Outreach for each cohort follows a phased timeline that puts the Section 14 community first. The first recruitment period opens with a 90-day priority outreach window spanning the full first program quarter, allowing multiple rounds of information sessions and sustained relationship-building with Section 14 representatives before any citywide promotion begins. Each recruitment period after the first opens with a standard 30-day priority window. During each priority window, all outreach activity is dedicated to Section 14 survivors and descendants. Applications remain open to all Palm Springs entrepreneurs throughout, and selection remains competitive. After each priority window closes, outreach expands citywide. This cycle repeats before each cohort, twice per program year, consistent with the quarterly implementation timeline below.
Outreach Phase (each
recruitment period)
Activities
Section 14 priority
outreach: first 90 days
of the first recruitment
period, first 30 days of
each recruitment period
thereafter
All outreach (newsletters, text campaigns, etc.) is dedicated to Section 14 survivors and descendants. Community information sessions at trusted neighborhood locations, including Ajalon Missionary Baptist Church and the James O. Jessie Desert Highland Unity Center, with Section 14 representatives invited to co-host. Application walkthrough sessions and technical support webinars for Section 14 applicants. In-person application and technical assistance at the Unity Center and the RECIPIENT office.
General recruitment:
following each priority
window
Outreach expands citywide through newsletters, text campaigns, social media, and partner organizations. Continued application walkthroughs, technical support webinars, and in-person assistance at accessible community locations and the RECIPIENT office through the close of applications.
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Ongoing Continued engagement with Section 14 representatives between cohorts to share program updates, report outcomes, and gather community feedback. Year-round outreach partnerships with community organizations and financial institutions.
RECIPIENT shall engage Section 14 representatives throughout the program, inviting them to raise awareness among survivors and descendants, co-host information sessions, and help keep the community informed between recruitment cycles.
RECIPIENT staff shall walk applicants through the application and required documentation step by step, in person and online, in English and Spanish.
V. Implementation Timeline
The timeline is organized around program quarters with Quarter 1 beginning when the first quarterly disbursement is received from the City. In Year 1, the full first quarter is dedicated to Section 14 priority outreach before citywide recruitment begins.
Years 2-5 follow the same four-quarter cycle each year, aligned to the City's disbursement schedule.
Program Quarter Milestones
Quarter 1 (begins
upon first City
disbursement)
Program launch. Applications open. The full quarter (90 days) is dedicated to Section 14 priority outreach, beginning with Section 14 representatives and community partners.
Quarter 2 Citywide general recruitment opens and closes. Cohort 1 selected and training begins.
Quarter 3 Cohort 1 completes training and micro-grants are awarded to eligible graduates (up to 20). Cohort 2 recruitment begins with a 30-day Section 14 priority outreach window.
Quarter 4 Cohort 2 trains and completes. Micro-grants awarded (up to 20).
Cohort 1 grant reporting and follow-up consulting. Year 1 evaluation and annual report to the City.
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Years 2-5 From Year 2 onward, each program year follows the standard fourquarter cycle: two cohorts, each recruited with a 30-day Section 14 priority outreach window, up to 40 micro-grants, and annual reporting. Outcome tracking continues for 12 months after each cohort.
VI. Budget
The City's total investment is $1,000,000 over five years, or $200,000 per year, received in quarterly disbursements of $50,000 consistent with the City's disbursement framework. Each year, 75 percent of funds ($150,000) go directly to entrepreneurs as micro-grants and 25 percent ($50,000) covers program delivery. Any micro-grant funds not awarded in a given program year roll forward into the following year's micro-grant pool; they are never redirected to program operations.
Category Annual 5-Year Total
Micro-grants to entrepreneurs (75%) $150,000 $750,000
Program delivery (25%) $50,000 $250,000
Total City investment $200,000 $1,000,000
Caravan SBDC consulting (no cost to the City) $40,000 $200,000 Total program value $240,000 $1,200,000
Program Delivery Line Item (Annual) Amount
Program administration and personnel: operations, fiscal management, participant coordination, micro-grant distribution, and reporting to the City $30,000
Consultants, trainers, and mentors $6,800
Outreach and marketing $2,750
Program supplies and participant support $2,250
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55575.18100\42987944.1 16
Evaluation, monitoring, and compliance $3,650
Administration and indirect costs (10%) $4,550
Total program delivery $50,000
Caravan SBDC added value: one-on-one consulting is provided through Caravan SBDC at no cost to participants or the City, drawing on the more than 150 business consultants available through the center and the Orange County Inland Empire SBDC Network. Participants may take as many sessions as appropriate, during the program and after it ends. The estimated value of this service is $40,000 per year, bringing the total program value to $240,000 per year and $1,200,000 over five years.
VII. Anticipated Outcomes and Reporting
Over five years, the program will train 200-250 Palm Springs entrepreneurs across ten cohorts and deploy $750,000 in micro-grant capital through 200 grants of $3,750. RECIPIENT tracks outcomes from the application stage through 12 months after each cohort, measuring businesses funded, businesses started, jobs created and retained, revenue growth, and additional capital secured along with other metrics.
RECIPIENT shall provide quarterly financial and program reporting with an annual impact report, and shall align the reporting schedule and format with the City's requirements. RECIPIENT is independently audited each year and holds a GuideStar Platinum transparency rating, placing it in the top 1 percent of nonprofits nationally.
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55575.18100\42987944.1 17
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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55575.18100\42987944.1 18
INSURANCE
1. Procurement and Maintenance of Insurance. RECIPIENT shall procure and maintain public liability and property damage insurance against all claims for injuries against persons or damages to property resulting from RECIPIENT’s performance under this Agreement. RECIPIENT 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 Agreement. RECIPIENT 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 shall not be construed as a limitation of RECIPIENT’s obligation to indemnify City, its elected officials, officers, agents, employees, and volunteers.
2. Minimum Scope of Insurance. The minimum amount of insurance required under this Agreement shall be as follows:
(i) 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; (ii) Automobile liability insurance with limits of at least one million dollars ($1,000,000.00) per occurrence;
(iii) 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
_________ is not required;
(iv) 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 RECIPIENT has no employees, RECIPIENT shall complete the City’s Request for Waiver of Workers’ Compensation Insurance Requirement form.
3. Primary Insurance. For any claims related to this Agreement, RECIPIENT’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 RECIPIENT’s insurance and shall not contribute with it. For Workers’ Compensation and Employer’s Liability
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55575.18100\42987944.1 19
Insurance only, the insurer shall waive all rights of subrogation and contribution it may have against City, its elected officials, officers, employees, agents, and volunteers.
4. Errors and Omissions Coverage. If Errors & Omissions Insurance is required, and if RECIPIENT provides claims made professional liability insurance, RECIPIENT 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 RECIPIENT’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 RECIPIENT’s services under this Agreement.
RECIPIENT 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. RECIPIENT shall furnish City with both certificates of insurance and endorsements, including additional insured endorsements, effecting 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 RECIPIENT’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:
1. "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).
2. "This insurance is primary and non-contributory over any insurance or selfinsurance 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).
3. "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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55575.18100\42987944.1 20
4. 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 RECIPIENT’s obligation to provide them.
7. Deductibles and Self-Insured Retentions. Any deductibles or selfinsured 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) RECIPIENT 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. RECIPIENT 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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ATTACHMENT B
D – Page 896 of 913
BIZUP: PALM SPRINGS
Palm Springs Business Training and Access to Capital Program Overview Program Summary
In 2024, the City of Palm Springs committed $1,000,000 over five years to economic development as part of its restorative justice commitment following the Section 14 settlement, naming Caravanserai - Alliance for Entrepreneurs as the delivery partner. This overview describes how Caravanserai will deliver that commitment: a five-year business training and access to capital program focused on Section 14 survivors and descendants and the broader Palm Springs small business community.
The program builds directly on two completed program years funded by the City in 2024 and 2025. Those two years served 70 entrepreneurs, funded 35 businesses, created 21 new jobs, and generated $1.18 million in revenue growth, contracts, and investments captured by participants. This 5-year initiative applies the same model at full scale.
Each program year, Caravanserai will train 40-50 entrepreneurs across two cohorts, award up to 40 micro-grants of $3,750, and provide unlimited one-on-one business consulting through Caravan SBDC, Caravanserai's small business development center within the larger Orange County Inland Empire SBDC Network. Through the center and its network, entrepreneurs have access to more than 150 business consultants across finance, marketing, sales, operations, and compliance, at no cost to them or to the City. Over five years, the program will train 200-250 entrepreneurs and deploy $750,000 in direct micro-grant capital into Palm Springs businesses.
Program Design
The program runs two cohorts per year of 20-25 participants each. Every cohort receives ten business group workshops and ten one-on-one coaching sessions, delivered in a hybrid format (in-person and online) and fully bilingual in English and Spanish. The curriculum covers business vision and planning, financial management, customer discovery and competitive analysis, marketing and sales, banking and financial systems, and technology and operations, tailored to the needs of each cohort.
D – Page 897 of 913
Selection is competitive, based on the strength of each applicant's business. Priority outreach will be given to Section 14 survivors and descendants, and the program remains open to all Palm Springs entrepreneurs.
After graduation, participants keep access to ongoing consulting through Caravan SBDC at no cost, for as many sessions as appropriate.
Micro-Grant Eligibility
Graduates who complete the training program, the required coaching sessions through Caravan SBDC, and a business plan qualify for a $3,750 micro-grant. Up to 40 grants are awarded each year, 200 over the life of the program. Before funds are disbursed, each recipient must provide: • Government-issued photo identification • Business formation and registration records (fictitious business name statement, articles of organization or incorporation, EIN confirmation, as applicable) • An active City of Palm Springs business license, along with any other licenses or permits the business requires to be in compliance • Business bank account verification (voided check, bank verification letter, or recent statement) • Evidence of active business operations (sales records, contracts, leases, payroll records, or comparable documentation) • Most recent business tax return, where applicable Grant funds may be used for business licenses and incorporation, equipment, marketing, rent, inventory, and payroll (with restrictions). Funds may not be used for taxes, bonuses, severance, personal expenses, legal settlements, expenses reimbursed by insurance, or investment purposes, including but not limited to cryptocurrency, stocks, or other speculative financial instruments. Recipients submit invoices and progress reports on the use of funds.
Outreach Plan
Caravanserai will promote the program through email newsletters, text message campaigns, inperson info sessions, social media, and its established relationships across the regional small
D – Page 898 of 913
business community, including community organizations, financial institutions, and chambers of commerce. All outreach materials are bilingual in English and Spanish.
Outreach for each cohort follows a phased timeline that puts the Section 14 community first.
The first recruitment period opens with a 90-day priority outreach window spanning the full first program quarter, allowing multiple rounds of information sessions and sustained relationship-building with Section 14 representatives before any citywide promotion begins.
Each recruitment period after the first opens with a standard 30-day priority window. During each priority window, all outreach activity is dedicated to Section 14 survivors and descendants.
Applications remain open to all Palm Springs entrepreneurs throughout, and selection remains competitive. After each priority window closes, outreach expands citywide. This cycle repeats before each cohort, twice per program year, consistent with the quarterly implementation timeline below.
Outreach Phase (each
recruitment period)
Activities
Section 14 priority
outreach: first 90 days
of the first recruitment
period, first 30 days of
each recruitment period
thereafter
All outreach (newsletters, text campaigns, etc.) is dedicated to Section 14 survivors and descendants. Community information sessions at trusted neighborhood locations, including Ajalon Missionary Baptist Church and the James O. Jessie Desert Highland Unity Center, with Section 14 representatives invited to co-host. Application walkthrough sessions and technical support webinars for Section 14 applicants. In-person application and technical assistance at the Unity Center and the Caravanserai office.
General recruitment:
following each priority
window
Outreach expands citywide through newsletters, text campaigns, social media, and partner organizations. Continued application walkthroughs, technical support webinars, and in-person assistance at accessible community locations and the
Caravanserai office through the close of applications.
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Ongoing Continued engagement with Section 14 representatives between cohorts to share program updates, report outcomes, and gather community feedback. Year-round outreach partnerships with community organizations and financial institutions.
Caravanserai will engage Section 14 representatives throughout the program, inviting them to raise awareness among survivors and descendants, co-host information sessions, and help keep the community informed between recruitment cycles. Caravanserai staff will walk applicants through the application and required documentation step by step, in person and online, in English and Spanish.
Implementation Timeline
The timeline is organized around program quarters with Quarter 1 beginning when the first quarterly disbursement is received from the City. In Year 1, the full first quarter is dedicated to Section 14 priority outreach before citywide recruitment begins. Years 2-5 follow the same four-quarter cycle each year, aligned to the City's disbursement schedule.
Program Quarter Milestones
Quarter 1 (begins
upon first City
disbursement)
Program launch. Applications open. The full quarter (90 days) is dedicated to Section 14 priority outreach, beginning with Section 14 representatives and community partners.
Quarter 2 Citywide general recruitment opens and closes. Cohort 1 selected and training begins.
Quarter 3 Cohort 1 completes training and micro-grants are awarded to eligible graduates (up to 20). Cohort 2 recruitment begins with a 30-day Section 14 priority outreach window.
Quarter 4 Cohort 2 trains and completes. Micro-grants awarded (up to 20).
Cohort 1 grant reporting and follow-up consulting. Year 1 evaluation and annual report to the City.
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Years 2-5 From Year 2 onward, each program year follows the standard fourquarter cycle: two cohorts, each recruited with a 30-day Section 14 priority outreach window, up to 40 micro-grants, and annual reporting. Outcome tracking continues for 12 months after each cohort.
Budget
The City's total investment is $1,000,000 over five years, or $200,000 per year, received in quarterly disbursements of $50,000 consistent with the City's disbursement framework. Each year, 75 percent of funds ($150,000) goes directly to entrepreneurs as micro-grants and 25 percent ($50,000) covers program delivery. Any micro-grant funds not awarded in a given program year roll forward into the following year's micro-grant pool; they are never redirected to program operations.
Category Annual 5-Year Total
Micro-grants to entrepreneurs (75%) $150,000 $750,000
Program delivery (25%) $50,000 $250,000
Total City investment $200,000 $1,000,000
Caravan SBDC consulting (no cost to the City) $40,000 $200,000 Total program value $240,000 $1,200,000
Program Delivery Line Item (Annual) Amount
Program administration and personnel: operations, fiscal management, participant coordination, micro-grant distribution, and reporting to the City $30,000
Consultants, trainers, and mentors $6,800
Outreach and marketing $2,750
Program supplies and participant support $2,250
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Evaluation, monitoring, and compliance $3,650
Administration and indirect costs (10%) $4,550
Total program delivery $50,000
Caravan SBDC added value: one-on-one consulting is provided through Caravan SBDC at no cost to participants or the City, drawing on the more than 150 business consultants available through the center and the Orange County Inland Empire SBDC Network. Participants may take as many sessions as appropriate, during the program and after it ends. The estimated value of this service is $40,000 per year, bringing the total program value to $240,000 per year and $1,200,000 over five years.
Anticipated Outcomes and Reporting
Over five years, the program will train 200-250 Palm Springs entrepreneurs across ten cohorts and deploy $750,000 in micro-grant capital through 200 grants of $3,750. Caravanserai tracks outcomes from the application stage through 12 months after each cohort, measuring businesses funded, businesses started, jobs created and retained, revenue growth, and additional capital secured along with other metrics.
Caravanserai proposes quarterly financial and program reporting with an annual impact report, and will align the reporting schedule and format with the City's requirements. Caravanserai is independently audited each year and holds a GuideStar Platinum transparency rating, placing it in the top 1 percent of nonprofits nationally.
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ATTACHMENT C
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• Caravanserai Project: Provides an access-to-capital program for individuals from marginalized and under-resourced communities, supporting the launch of both for-profit businesses and nonprofit organizations in Palm Springs. • February 2024: $35K (seven local participants, $5K grants to cover essential startup expenses)
• 2021-2023: Over 3000 attendees
o Over 7 5% of these entrepreneurs are women, 80% BIPOC entrepreneurs (29% Black/ African American, 49% Hispanic, 12% Asian).
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B • T • • P
Graduation ~
• Cohort-format • Attendance at all • Participants selected business-focused sessions following a competitive
workshops • Develop road map for application process
• 1 : 1 coaching and venture • Ideal participant is:
mentorship sessions • Present pitch deck 1. For-profit entrepreneur • Access to seed located in Palm Springs /
investments and serves primarily Palm
ongoing support from Springs customers
Caravan SBDC 2. Early-stage entrepreneur
3. Minority entrepreneur
4. Low-income
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Community
Wellbein2
• Fosters community
engagement
• Enhance quality of
life for all residents
• Enrich variety and
availability of local
amenities
Connection to
Capital
• Connecting
beneficiaries with
sources of capital
• Invested over $2M
Economy Resilience
• Diverse business
environment
• Sustainable small to
mid-sized businesses
• Long-term stability
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ATTACHMENT D
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CITY OF PALM SPRINGS – PUBLIC INTEGRITY DISCLOSURE
APPLICANT DISCLOSURE FORM
(Revised 05/16/19)
PUBLIC INTEGRITY DISCLOSURE
APPLICANT DISCLOSURE FORM
1. Name of Entity
2. Address of Entity (Principle Place of Business)
3. Local or California Address (if different than #2)
4. State where Entity is Registered with Secretary of State If other than California, is the Entity also registered in California? Yes No
5. Type of Entity
Corporation Limited Liability Company Partnership Trust Other (please specify)
6. Officers, Directors, Members, Managers, Trustees, Other Fiduciaries (please specify) Note: If any response is not a natural person, please identify all officers, directors, members, managers and other fiduciaries for the member, manager, trust or other entity _________________________________________________ Officer Director Member Manager [name]
General Partner Limited Partner
Other ____________________________________
_________________________________________________ Officer Director Member Manager [name]
General Partner Limited Partner
Other ____________________________________
_________________________________________________ Officer Director Member Manager [name]
General Partner Limited Partner
Other ____________________________________
California
Bradley Chargualaf
X
Franzene Minott
X
X
Craig Dougherty
2150 E. Tahquitz Canyon Way, #3, Palm Springs, CA 92262 X
501(c)(3) Nonprofit
Caravanserai Project
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CITY OF PALM SPRINGS – PUBLIC INTEGRITY DISCLOSURE
APPLICANT DISCLOSURE FORM
(Revised 05/16/19)
7. Owners/Investors with a 5% beneficial interest in the Applicant Entity or a related entity
EXAMPLE
JANE DOE
[name of owner/investor]
50%, ABC COMPANY, Inc.
[percentage of beneficial interest in entity
and name of entity]
A.
[name of owner/investor] [percentage of beneficial interest in entity and name of entity]
B.
[name of owner/investor] [percentage of beneficial interest in entity and name of entity]
C.
[name of owner/investor] [percentage of beneficial interest in entity and name of entity]
D.
[name of owner/investor] [percentage of beneficial interest in entity and name of entity]
E.
[name of owner/investor] [percentage of beneficial interest in entity and name of entity]
I DECLARE UNDER PENALTY OF PERJURY UNDER THE LAWS OF THE STATE OF CALIFORNIA THAT THE FOREGOING IS TRUE AND CORRECT.
Signature of Disclosing Party, Printed Name, Title Date
PENALTIES
Falsification of information or failure to report information required to be reported may subject you to administrative action by the City.
9/1/2026
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CITY COUNCIL STAFF REPORT
DATE: September 9, 2026 BUSINESS & LEGISLATIVE
SUBJECT: DISCUSSION OF CITY MAYORAL POSITION AND REPORT FROM AD
HOC SUBCOMMITTEE
FROM: Scott C. Stiles, City Manager
BY: Brenda Pree, City Clerk
SUMMARY:
This report provides an opportunity for the City Council Mayoral Position Ad Hoc Subcommittee (Garner/deHarte) to provide an update on ongoing discussions regarding the City’s mayoral position.
RECOMMENDATION:
Receive and file this report and provide direction to Staff as appropriate.
BACKGROUND:
At the City Council meeting of April 8, 2026, the City Council created an ad hoc subcommittee to further discussions regarding the City’s mayoral position, and appointed Councilmember Garner and Councilmember deHarte as subcommittee members.
STAFF ANALYSIS:
Staff has consolidated California Voting Rights Act (CVRA) records within the City’s document repository (Laserfiche) and established a dedicated webpage to enhance public access to historical materials related to the subject matter. This aims to facilitate efficient searches and promote transparency.
ALIGNMENT WITH STRATEGIC PLANNING
This item aligns with the City Council’s Strategic Plan Foundation to advance fiscal sustainability and organizational resilience.
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City Council Staff Report
August 26, 2026 -- Page 2
Discussion of City Mayoral Position and Report from Ad Hoc Subcommittee FISCAL IMPACT:
None at this time.
REVIEWED BY:
Department Director: Brenda Pree
City Manager: Scott Stiles
ATTACHMENTS:
A. California Voting Rights Act (CVRA) Document Central Link: California Voting Rights Act (CVRA) and City Webpage
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ATTACHMENT A
California Voting Rights Act (CVRA)
Document Central Link: California Voting Rights
Act (CVRA) & City Webpage
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*These time frames are for internal agenda management purposes only. It should not be relied on by any third party for purposes of establishing when an agenda item may actually be heard.
TENTATIVE UPCOMING MEETING SCHEDULE
Updated Thursday, September 3, 2026
September 30 – Regular Meeting
• DWA Turf Conversion Program/Ord. 80 – Presentation (10 minutes) • Historic Designation, 550 Palisades Dr. – Public Hearing (10 minutes) • Discussion of Resolution Focusing Council on Local Matters – Business & Legislative (30 min.)
October 14 – Regular Meeting
• Hunger Action Month by FIND Food Bank – Presentation (5 minutes) • Old Las Palmas Underground Utilities Assessment Districts – Public Hearing (15 minutes) • Discussion of Flock Cameras – Business & Legislative (30 minutes) • Vacation Rental Ordinance (Event Houses) – Business & Legislative (30 minutes) October 28 – Regular Meeting
November 23 – Regular Meeting
• FY26 and FY27 Q1 Financial Update – Business & Legislative (30 minutes)
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