CITY COUNCIL STAFF REPORT
DATE: SEPTEMBER 9, 2026 CONSENT CALENDAR
SUBJECT: AUTHORIZE THE CITY OF PALM SPRINGS TO ENTER INTO A THIRTY-
SIX MONTH LEASE AGREEMENT WITH CLUB CAR, LLC FOR ONE
HUNDRED FIFTY-TWO (152) 2027 TEMPO LITHIUM-ION GOLF CARS, FIVE (5) 2027 CARRYALL 500 – MAINTENANCE CART – LITHIUM, ONE (1) 2027 CARRYALL 500 – DRIVING RANGE UNIT, ONE (1) 2027 CARRYALL 500 – CAFÉ EXPRESS – LITHIUM, AND ONE (1) 2027 CARRYALL 500 – MAINTENANCE CART – LITHIUM TO SERVE THE
PALM SPRINGS TAHQUITZ CREEK GOLF RESORT
FROM: Scott C. Stiles, City Manager
BY: Department of Parks & Recreation
SUMMARY:
The Department of Parks & Recreation seeks authorization to enter into a thirty-six month lease agreement with Club Car, LLC, for a new fleet of golf cars, range picker, maintenance vehicles, and a beverage cart, replacing the current leased golf cars to serve the Palm Springs Tahquitz Creek Golf Resort.
RECOMMENDATION:
1) Approve a thirty-six month lease (Attachment A) of one hundred fifty-two 2027 Tempo Lithium Ion Golf Cars, five 2027 CarryAll 500 – Maintenance Cart – Lithium maintenance vehicles, one 2027 CarryAll 500 – Driving Range Unit, one 2027 CarryAll 500 – CAFÉ Express – Lithium beverage cart, one 2027 CarryAll 500 – Maintenance Cart – Lithium maintenance vehicle, subject to final City Manager and City Attorney approval, through Club Car, LLC, for a monthly lease payment of $25,576.79, and a total lease agreement amount of $920,764.46; and 2) Authorize the City Manager, or designee, to execute all necessary documents.
BUSINESS PRINCIPAL DISCLOSURE:
A copy of Club Car, LLC’s public integrity disclosure form is included as Attachment B.
City Council Staff Report
September 9, 2026 -- Page 2
Golf Cars and Ancillary Equipment Lease Agreement
BACKGROUND:
Century Golf Partners Management (“Century Golf”) operates and manages the Tahquitz Creek Golf Resort, comprised of both the Resort and Legends golf courses, on behalf of the City of Palm Springs. Since assuming management responsibilities of the City’s two golf courses in 2008, Century Golf has successfully operated and maintained these facilities, providing comprehensive management of all aspects of the City golf courses and is one of the most experienced golf course operators in the country.
Historically, the City has entered into various lease agreements with financial institutions to provide both golf cars and ancillary vehicles for the Tahquitz Creek Golf Resort and Legends course. On September 29, 2022, the City Council approved the current lease agreements with Yamaha Motor Finance Corporation, U.S.A. for the golf cars, range picker, utility vehicles and beverage cart. The current lease agreement expired in June 2026.
STAFF ANALYSIS:
Century Golf works diligently to secure the best pricing available in the golf industry. Their ownership and association of forty-five golf properties and more than four thousand five hundred leased golf carts provides a strategic position with which they aggressively negotiate corporate pricing agreements with the most qualified equipment providers in the industry. As such, they can extend their leveraged 39% corporate pricing discounts to the City's benefit, enabling the best overall value for public funds.
The City often purchases directly with vendors through cooperative purchasing agreements. In determining if the lease pricing secured by Century Golf was competitive, staff reviewed the current Cooperative Purchasing Agreement through Sourcewell with Club Car (Contract #091024-CCR) which offers a discount range from 4%-34% off MSRP, which is less competitive than has been offered directly through Century Golf. On this basis, staff recommends that the City Council award the lease agreement, leveraging the volume pricing discounts that Century Golf is able to obtain on the City’s behalf.
Pursuant to Section 7.03.09 of the Municipal Code, the City Council may award a contract without competition, when it is determined that an unusual or unique situation exists, in that due to experience and expertise demonstrated in prior contracts with the City, or experience or expertise with similarly described contracts with other public agencies, a particular contract is uniquely qualified for a particular procurement, that makes the application of this Title contrary to the public interest.
Century Golf solicited quotes for lease of the golf cars and ancillary equipment from three national vendors: Club Car, EZ Go, and Yamaha. A summary of the lease costs from each vendor is shown in the following tables.
City Council Staff Report
September 9, 2026 -- Page 3
Golf Cars and Ancillary Equipment Lease Agreement
Club Car Quantity Lease/Month Total Month
w/Tax
Annually 36 Month
Lease
Golf Cars 152 $139.00 $23,082.34 $276,988.08 $830,964.24 Maintenance Cart 5 $365.33 $1,995.62 $23,947.38 $71,842.14 Range Unit 1 $456.60 $498.84 $5,986.03 $17,958.08
Beverage Cart 1 FREE USE FREE USE FREE USE FREE USE
Maintenance Cart 1 FREE USE FREE USE FREE USE FREE USE
Total Monthly $25,576.79
Total Annually $306,921.49
Total 36-Month Lease $920,764.46
Yamaha Quantity Lease/Month Total Month
w/Tax
Annually 36 Month
Lease
Golf Cars 152 $143.00 $23,746.58 $284,958.96 $854,876.88 Maintenance Cart 6 $299.00 $1,794.00 $23,519.34 $70,558.02 Range Unit 1 $399.00 $399.00 $5,230.89 $15,692.67
Total Monthly $26,142.43
Total Annually $313,709.19
Total 36-Month Lease* $941,127.57
*Yamaha was only able to provide three (3) of the four (4) required carts. Yamaha’s total of $941,127.57 plus the cost of the beverage cart $26,150.52 provide for a total three six (36) month lease cost of $967,278.09.
EZ Go Quantity Lease/Month Total Month
w/Tax
Annually 36 Month
Lease
Golf Cars 152 $139.72 $23,201.90 $278,422.84 $835,268.52 Range Unit 1 $438.41 $478.96 $5,747.56 $17,242.67
Total Monthly $23,680.87
Total Annually $284,170.39
Total 36-Month Lease* $852,511.18
*EZ Go was only able to provide two (2) of the four (4) required carts. EZ Go’s total of $852,511.18 plus the cost of the beverage cart $26,150.52 and six (6) maintenance carts $70,558.02 provide for a total three six (36) month lease cost of $949,219.72.
Wells Fargo Quantity Lease/Month Total Month
w/Tax
Annually 36 Month
Lease
Beverage Cart 1 $664.90 $726.40 $8,716.84 $26,150.52
Total 36-Month Lease* $26,150.52
Club Car, LLC provided the lowest lease rate and has all of the needed fleet of new golf cars and ancillary equipment to operate the Tahquitz Creek Golf Resort.
Century Golf has worked closely with Parks & Recreation staff as well as members of the Parks & Recreation Commission – Golf Ad-Hoc Committee to ensure these new golf cars and ancillary vehicles fulfill the needs of the golf resort.
ENVIRONMENTAL ASSESSMENT:
The requested City Council action is not a “Project” as defined by the California City Council Staff Report
September 9, 2026 -- Page 4
Golf Cars and Ancillary Equipment Lease Agreement
Environmental Quality Act (CEQA). Pursuant to Section 15375(a), a “Project” means the whole of an action which has a potential for resulting in a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.
According to Section 15378(b), A Project does not include: (5) Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.
ALIGNMENT WITH STRATEGIC PLANNING:
This item aligns with the following City Council Strategic Plan Broad Goal: Public Safety and Community Services.
FISCAL IMPACT:
The estimated total monthly lease payment for the fleet of golf cars and ancillary equipment is $25,576.79, a total of $920,764.46 over the thirty-six-month term of the lease agreement. Funding for these agreements is included within the golf course management fund for the Tahquitz Creek Golf Resort and will be budgeted in future fiscal years.
REVIEWED BY:
Director of Parks & Recreation: Nicholas S. Gonzalez
Procurement & Contracting Manager: Tabitha Richards
Assistant City Manager: Teresa Gallavan
City Manager: Scott Stiles
ATTACHMENTS:
A. Lease Agreement
B. Public Integrity Disclosure