HomeMy WebLinkAboutCC RES 2020-50RESOLUTION NO. 2020-50
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM
DESERT, CALIFORNIA, AUTHORIZING AND APPROVING AN
EXTENSION OF THE TERM AND DEFERRAL OF INTEREST PAYMENTS
ON LOANS MADE BY THE CITY TO THE DESERT WILLOW GOLF
RESORT
WHEREAS, the City Council approved Resolution 2010-61 authorizing a loan in the
amount of $500,000 to the Desert Willow Golf Resort, funded from the golf course capital
account; and
WHEREAS, the City Council approved Resolution 2015-82 extending the term of the
$500,000 loan approved by Resolution 2010-61; and
WHEREAS, the City Council approved Resolution 2017-36 authorizing a loan of up to
$2,000,000 to the Desert Willow Golf Resort, funded from the Unobligated General Fund, and
the City has disbursed $1,500,000 of that loan for operating cash flow to fund the day-to-day
operations of Desert Willow Golf Resort; and
WHEREAS, the City Council recognizes the fiscal impacts of the COVID-19 public health
crises are such that the City desires to further extend the term of the $500,000 loan and defer
interest payments on the loans described above.
NOW, THEREFORE, the City Council of the City of Palm Desert, California, DOES
HEREBY DETERMINE, ORDER AND RESOLVE, as follows:
Section 1. The above recitals are true and correct.
Section 2. The City Council herby authorizes and approves a further extension of
the term of the $500,000 loan for five years and a deferral of interest payments on loans
made by the City to the Desert Willow Golf Resort as described herein commencing with
the fiscal year 2019-2020 through the fiscal year 2020-2021 and further authorizing the
City Manager to extend the interest payment deferrals for up to an additional two years.
Section 3. The Director of Finance is hereby directed to take any such actions to
facilitate the deferral of interest payments described herein.
Section 4. The City Manager or his/her designee is hereby authorized and directed
to take any such actions necessary to implement this resolution.
PASSED, APPROVED and ADOPTED this 11th day of June 2020, by the following vote to wit:
AYES: HARNIK, JONATHAN, KELLY, WEBER, and NESTANDE
NOES: NONE
ABSENT: NONE
ABSTAIN: NONEji(47V\
GINA NESTANDE, MAYOR
ATTEST:
L- /4„4_,
GRACE L. ROCHA, ACTING CITY CLERK
CITY OF PALM DESERT, CALIFORNIA