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Res 2018-33 - Resident Card Criteria - Golf Rates at Desert Willow Golf Resort (DWGR)
FESOLUTION NO. 2018-33 STAFF REPORT CITY OF PALM DESERT ECONOMIC DEVELOPMENT DEPARTMENT MEETING DATE: June 14, 2018 PREPARED BY: Martin Alvarez, Director of Economic Development REQUEST: Approval of a Resolution Modifying the Desert Willow Resident Card Criteria and Golf Rates Recommendation By Minute Motion that the City Council: 1. Approve Resolution No. 2018-33 approving the revised Desert Willow resident card criteria and resident golf rates utilizing the Dynamic Pricing Model Strategic Plan The proposed resolution aligns with the City's Envision Palm Desert Strategic Plan, Parks and Recreation Priority 3: Make recreational and exercise opportunities pervasive in all public spaces; and the Tourism and Marketing Priority 1: Improve access to Palm Desert and its attractions to enhance the ease of lifestyle. Executive Summary Approval of the attached resolution will authorize the implementation of revisions to the resident benefits at Desert Willow Golf Resort as follows: 1. Expansion of the resident card criteria to allow residents and property owners to use proof of property ownership or a one-year lease contract, in conjunction with a utility bill and government-issued form of identification to meet eligibility requirements 2. Implementation of the Dynamic Pricing Model which eliminates the $50 resident golf rate with three-day booking window, but allows discounted resident golf rates between 30% - 60% off of market rates with a 60-day booking window, depending on the time of year and time of day DW Resident Benefits - Staff Report June 14, 2018 Page 2 of 5 Background On June 22, 2017, the City Council authorized staff to form a Desert Willow Resident Advisory Task Force (Task Force) to evaluate all aspects of the resident benefits at Desert Willow Golf Resort. The topics that were addressed by the Task Force included: • Resident Card Criteria • Resident Golf Fees (Peak Season/Off-Peak Periods) • Resident Tee Time Access The City Council approved the composition of the Task Force to include two residents that are golfers, two residents that are non-golfers, a representative from the hospitality industry, a representative from the golf industry, and one City Councilmember. Members of Kemper Sports and of City staff were available to provide information and analyze issues, but were not voting members of the Task Force. Over the course of the eight months starting in September 2017, the Task Force met on four separate occasions to review, evaluate and discuss the resident benefits at Desert Willow Golf Resort. During the first meeting, staff informed the Task Force of the City's goal of evaluating opportunities to improve or augment resident benefits, while ensuring that Desert Willow Golf Resort remained revenue neutral with no impact to the City's General Fund to offset golf course operation costs. During the initial meeting, staff provided the Task Force with background and historical data that included topics such as resident rates, revenues generated at Desert Willow, rounds mix and current benefits offered to residents at Desert Willow. Over the course of the next three meetings, the Task Force provided recommendations to the City Council on the resident card criteria, resident summer golf rates and the Dynamic Pricing Model for resident golf rates. Resident Golf Card Criteria: The first item that the Task Force discussed was the eligibility requirements to secure a resident card. Since the establishment of Desert Willow Golf Resort in 1996, the City Council's policy or eligibility requirements for the resident card has remained unmodified. The resident card criteria and proof of residency currently require the following: 1. A California Driver's License (CDL) or California Identification Card (CID) issued by the California Department of Motor Vehicles (DMV) with the resident's name and Palm Desert address; and 2. A current utility bill with the resident's name and same Palm Desert address listed on the CDL or CID. Residents receiving the resident card are eligible to receive a $50/round golf rate within a three-day (72-hour) booking window. The non-resident golf rates vary depending on the time of the year and time of day. Generally, non-residents pay between $130 and G\Econ Development\Martin Alvarez'2018\SR\DWAdvTFRecom 6-14-18 CLEAN doc DW Resident Benefits - Staff Report June 14, 2018 Page 3 of 5 $185/round during peak season (October —May) and between $54 and $95/round during non-peak periods (June — September). On average, a total of 3,500 resident cards are issued annually and approximately 19,000 of the 80,000 total annual golf rounds are played by residents. Over the years, some residents and property owners have expressed concerns regarding the difficulty of obtaining a CDL or CID as a result of their residency in either an alternate city, state or country. The primary concern has arisen from Canadian citizens with second homes in Palm Desert. Due to recent Homeland Security policies and their citizenship status, it has become very difficult for Canadian citizens to secure a CDL or CID from the DMV. The Task Force reviewed this item at length and unanimously recommended to revise the resident card criteria to reflect the following: Resident Card Criteria (one of the two options may be used to meet eligibility): 1. A current California Drivers' License (CDL) or California Identification Card (CID) issued by the DMV with the resident's name and physical Palm Desert address and a current utility bill or bank statement with the same name and Palm Desert address; or 2. A current property tax bill or current lease agreement (one-year minimum) with a Palm Desert address; and a current utility bill or bank statement with the same name and Palm Desert address; and government-issued photo identification (e.g. driver's license, passport or military identification) with name matching property tax bill or lease agreement. A full policy has been drafted and is included as Exhibit A to the attached resolution. It is unclear how many additional new cards would be issued as a result of the proposed resident card criteria or how many additional resident rounds would be generated. The proposed resident card criteria would allow access to property owners who do not live in Palm Desert full time. Resident Summer Golf Rates: The second item that the Task Force discussed and unanimously voted to recommend to the City Council addresses resident summer golf rates. Currently, resident golf rates are $50/round year round. Normally in the summer months (the end of May through the end of September), non-resident golf rates are lower than $50 as demand decreases. The Task Force unanimously recommended the following resident summer resident golf rates and benefits between June 1 and September 30: • $35/round during daily peak periods • $25/round during daily non-peak periods G\Eton Development\Martin Alvarez\2018\SR\DWAovTFRecom 6-14-18 CLEAN tloc DW Resident Benefits - Staff Report June 14, 2018 Page 4 of 5 These rates would apply to residents without a booking window or use of a loyalty card. In addition, the Task Force recommended additional benefits to guests of residents during this same time period: Resident Guests (up to three) Golf Rates • $45/round during daily peak periods • $35/round during daily non-peak periods Please note that although the use of these resident summer rates was recommended by the Task Force, it is not being recommended by staff. Instead, staff recommends the use of the Dynamic Pricing Model which incorporates a summer pricing model comparable to the discounted resident summer rates described above. Resident Dynamic Pricing Model: The final topic that the Task Force discussed was resident tee time access during the peak period (January — April). Some residents have reported difficultly booking tee times during these peak periods. Resident booking is limited during the peak season due to the current three-day booking window and the demand for golf from visitors during the prime season. The proposed Dynamic Pricing Model (DPM) was discussed with the Task Force. The DPM would allow residents to book 60 days in advance, but eliminates the $50/round golf rate. The DPM provides residents a percentage off the posted golf rates depending on the time of the year and time of day. DPM is a model utilized in the hotel and airline industries. The DPM affords residents a greater discount the further in advance the golfer books a tee time. The closer to the actual date of play, supply is usually limited and thus demand increases. As demand increases, golf rates go up. The DPM that was reviewed and recommended by the Task Force provides the following discounted golf rates based on the time of year and day. Peak Season (January 22 —April 8) 30% off of posted rates Spring (April 9 — May 28) 40% off of posted rates Summer (May 29 - September 23) 60% off of posted rates Fall (September 24 — November 26) 40% off of posted rates Holiday Season (November 27 — January 21) 40% off of posted rates The full pricing ranges and discounts are further detailed on the DPM chart attached as "Exhibit B" to the attached resolution. As an example, the proposed resident golf rates for peak season (January 22 — April 8) including the 30% discount are highlighted below. G\Eton Development\Mann Alvarez\2018\SR\DWAdvTFRecom 6-14-18 CLEAN doc DW Resident Benefits - Staff Report June 14, 2018 Page 5 of 5 Resident 30% Peak Season (Jan. 22 - April 8) off General Public Rates Min Max Min Max Sunrise (Open - 7:55 am) $124 $185 $87 $130 Prime (8:00 am - 12:25 pm) $147 $185 $103 $130 Twilight (12:30 pm- 2:25 pm) $104 $115 $73 $81 Sunset (After 2:30 pm) $65 $75 $46 $53 The DPM allows up to 60 days to book a tee time which would afford residents to book tee times ranging from as high as $130 in prime time to as low as $46 in non-peak periods. This particular model allows the market to set the golf rates and provides a set percentage off (30°/0 - 60%) for residents depending on the time of year and day. The Task Force voted 4-2 in favor of the DPM, with the two resident golfers dissenting. Since the conclusion of the Task Force's work, the City has received many letters and email messages objecting to the proposed Dynamic Pricing Model. Most commenters have objected to the resident golf rate being raised from $50/round to $130/round, which reflects a fundamental misunderstanding of the Task Force recommendation. Staff has been responding to these letters and emails by providing factual information concerning the Dynamic Pricing Model. Fiscal Analysis The proposed modifications to the resident golf benefits at Desert Willow may have an impact on the demand for resident rounds and revenues generated. However, the proposed DPM affords Desert Willow to capture additional revenues if resident golfers utilize the advance booking window. At this time there is no fiscal impact identified to golf operations or to the City's General Fund. LEGAL REVIEW DEPT. REVIEW FINANCIAL REVIEW CITY MANAGER N/A Robert W. Hargreaves Martin Alvarez et Moore Lauri Aylaian City Attorney Economic Development Director of Finance City Manager Director ATTACHMENTS: Resolution No. 2018-33 / Exhibit A, Exhibit B G\Econ Development\Martin Alvarez\2018\SR\DWAdv7FRecom 6-14-18 CLEAN doc RESOLUTION NO. 2018-33 A RESOLUTION OF THE CITY OF PALM DESERT MODIFYING THE RESIDENT CARD CRITERIA AND GOLF RATES AT DESERT WILLOW GOLF RESORT WHEREAS, the City of Palm Desert has developed two public golf courses to provide for recreational facilities; and WHEREAS, the City of Palm Desert has certain obligations in accordance an agreement with the Management Company of the Desert Willow Golf Resort to establish and set said resident green fees and benefits; and WHEREAS, the City of Palm Desert desires to provide for reasonable rates for, and access to, said golf courses for its residents of the City; and WHEREAS, the City of Palm Desert City Council established a Desert Willow Resident Advisory Task Force consisting of resident golfers, resident non-golfers, industry professionals and one councilmember to review and evaluate resident benefits at Desert Willow Golf Resort, and that Task Force that provided recommendations to the City Council; NOW, THEREFORE BE IT RESOLVED, that effective July 1, 2018, the City of Palm Desert hereby modifies the resident card criteria as described on Exhibit A and adjusts the resident golf rate to utilize a Dynamic Pricing Model as described on Exhibit B. ALSO BE IT RESOLVED, that the City of Palm Desert reserves the ability to adjust said resident benefits from time to time. PASSES, APPROVED AND ADOPTED the day of June 2018, AYES: NOES: ABSENT: ABSTAIN: SABBY JONATHAN, MAYOR ATTEST: RACHELLE D. KLASSEN, CITY CLERK CITY OF PALM DESERT, CALIFORNIA G\Econ Development\Marlin Alvarez\2018\SR\Resolution DW Benefits 6-14-18 docx RESOLUTION NO. 2018- 33 EXHIBIT A Palm Desert Resident Golf Card Criteria Proposed proof of residency criteria: (Either Option A or B may be used to meet eligibility) Option A: 1. Current California Driver's License (CDL) OR California Identification Card (CID) with physical Palm Desert address; and 2. Current (within the last 60-days*) utility bill (gas, water, or electric) or bank or credit card statement** with the same name and physical Palm Desert address. OR Option B: 1. Property Tax Bill (Riverside County Tax Assessor Record) from the current Fiscal Year OR a current Lease Agreement (no less than a term of one year); and 2. Current (within the last 60-days*) utility bill (gas, water, or electric) or bank or credit card statement**; and 3. Government issued photo identification matching the name on both the property tax bill/lease agreement and utility bill/bank statement. *Changing the timeframe from 30-days to 60-days for the utility bill/bank or credit card statement allows more flexibility for the applicant. **Adding the bank or credit card statement as an option, in addition to the utility bill, allows an applicant that does not pay the utility bills [e.g. spouse, registered domestic partner, roommate, tenant whose landlord pays utilities, etc.] to provide another piece of official mail in order to receive the card. This is an option for friend or significant other outlined in the current brochure. Existing Children and Dependents Policy If the applicant is a child or dependent of the homeowner, up to the age of 23, they must provide either 1) a Student ID card or registration documentation from a Coachella Valley school/college and legal documentation reflecting that the child is the resident's dependent, as well as the parent/guardian's proof of residency; or 2) child/dependent's CDL or CID with Palm Desert address and parent/guardian's proof of residency reflecting the same Palm Desert address. If last names do not match, legal documentation that the child is the homeowner's dependent is required. 1 RESOLUTION NO. 2018-33 Proposed Children and Dependents Policy If the applicant is a child or dependent of the homeowner, up to the age of 23, they must provide the child/dependent's government issued photo identification, or school photo identification for those under the age of 18, as well as the parent/guardian's proof of residency as outlined in Option I or Option II. If last names of the child/dependent and parent/guardian do not match, legal documentation that the child is the homeowner's dependent is required. (This change allows for property owners' children who do not attend school in the Coachella Valley to obtain the card.) Other proposed clauses: Resident Cards will not be issued to those with fractionalized or multiple ownership (i.e. timeshares) or to those with property tax bills or lease agreements on record as a corporation. If the property tax bill or lease agreement is on record as a trust or an estate, the trust or estate documents must also be provided and match the name on the government issued photo identification card and utility bill or bank or credit card statement. If a spouse or registered domestic partner is not listed on the property tax bill or lease agreement, a marriage certificate or official proof of registered domestic partnership must be provided in order for the spouse or registered domestic partner to obtain the card. The spouse/registered domestic partner must also provide a utility bill or bank or credit card statement with the same address on that of the property tax bill or lease agreement, as well as government issued photo identification. 2 RESOLUTION NO. 2018--33 1 - T , I , U erg en rl en .�U. it M �+ .--I 5D y _ en e7 t� 0+ a X M en k- �t r 00 5� WO Ln en �'+ cat n1 r' a a L.; en te a a +n r� �` N 2 65-EIS . Ca r 4S 45. 5C Ea fiF GR {T-r a 4 ti~ --r a C O Ck O Gg ^ ^^ M a] ". 6 "0 N •1. :J 1S E E E E 0 = n e+7 en tip CC 0 ,, N Tlj P.G - `y' r0 A C EIS , v� 7 s►� v,, E+s 2 Eft x % 5g sIS sus Efs 5 ift Eft Ef Egs GR 1-10 .. N eV el rat °° °° �eeM en o � y ° aav Ns. 0 v4i v1c tn ,„ Nc, t" �C+ vfiv_�ra rl N 47 G ER&r fR .G 49. 5R 5�4 — � E5 Lfr &5 i" 93. 6# = .0 44 fR €A. 5R rl �i Fri. co co r.j aU.i W la Z _I ea N I AN d" = DO to .w Z 1" N r� y N N r+ N CI q [� e6 ,� Lp �Ii CDOs. 0, C R er 00 O C at = Tr lin C N ER 514 614 Y3 C ., 4 4 il,1 6.3 GO 4 i"in in s.'et ^� r, r, Eijg '. r ,N, ,N C) 6.) eu lam. y4 - 51g£f} eu. {fir y} 6t9 64 Nc co 0 C N O+ z R N G. P . w a. g �a ❑ E 4. °' ^ v'7 N N p V'1 N 1l'1 O A in 1t% _ O. .�, ram. lc. C UM �V V'1 © .-. V1 N lc. C r CT y C] .� F r CT R ,CJ C O N CI .u. = , L. N Y. C , O .. E i R , a) p a, O en `� 0 , 0 rn a. 0 O O N ,—. pc p,O Ca G R •CD• Q 01 .0 a O N `'}" ea y CA w a m ¢ y I. is y, Z' es m • �' re CL L7 cn cs. F _rfj cn v a F _rr cn C:� cn F rh G�, L7 v ci E- v� x -C7 v a, E- to u f. en i. CI 4 o, m P. ar b T a Klassen, Rachelle From: Klassen, Rachelle Sent: Friday, June 08, 2018 11:37 AM To: 'Tom Walton' Subject: RE: Questionable Practice Thank you for your e-mail, Mr. Walton, which will be forwarded to City Council for their June 14, 2018, Regular City Council Meeting Agenda packets. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Original Message From: Tom Walton [mailto:twalton@me.com] Sent: Friday, June 08, 2018 11:36 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Cc: Kevin Fahey <faheykevin@comcast.net>; Neddy Thompson <nrthompson@hotmail.com>; Dori Smith <dori@cabaret2u.com>; Lou Gonzalez <golfgonzalez@yahoo.com>; Cory Stepanek <cstepanek@suncoastltc.com>; Dave Patterson <cdpattco@earthlink.net>; Dennis Brea ley<Dennis.Brealey@NA.Surteco.com>; Larry Bohannan <larry.bohannan@thedesertsun.com>; Nicole Hayden <Nicole.Hayden@desertsun.com> Subject: Questionable Practice Rachelle, Please forward to appropriate City official before the June 14th council meeting. Thanks, Tom Walton This was recently added to the Desert Willow page on the City's website: "On Thursday, June 14, the City Council at its regular 4 p.m. meeting will consider changes to the resident rates and benefits. The public is invited to attend and provide input. Under the proposed dynamic pricing system at Desert Willow, residents would have the same ability to book tee times in advance as customers paying full price. The difference is that residents would receive a significant discount off Desert Willow's regular rate. At times of peak demand, residents would be able to choose whether they wanted to play at a higher rate than the current $50 green fees, at times of low demand, resident green fees could be much less than $50. The idea is to give residents, who have broader options about when they will play Desert Willow than visitors, the power of access and choice." THIS SOUNDS REASONABLE, BUT AS THEY SAY, "THE DEVIL IS IN THE DETAIL" AND RESIDENT DYNAMIC PRICING IS NOT THE SOLUTION TO DWGR's ESCALATING EXPENSE PROBLEMS AS NOTED BELOW! Following the public study session May 24, 2018 we understand that the Mayor ordered staff to add this language to the City's Desert Willow web page.. Problem: The City Council has not voted on any resident dynamic pricing strategy as of this date. This is a hard sell technique orchestrated by the Mayor. It does not honestly advise residents of the consequences. January through April, residents can not get a morning tee time unless they pav more than double the. $ o rate. To suggest they are getting a significant discount off Desert Willow's regular rate is also misleading. A discount of 30% off a fictitious rate of $185 is not a benefit for residents. $185 is a fictitious rate that both Kemper and this staff continue to misrepresent to the public. Just ask them how many $185 green fees they sell annually at this municipal golf resort. During the highest demand month, March, this Public Rack sold for $147 not $185 during the prime times. That's 20% less than they represent publicly. Now they want the residents to believe that a 30% discount off the $185 price is good deal for residents. This is total snake oil salesmanship to cover up their real problem! The real problem is DWGR has a run away expense problem due to rising labor, water and other costs. Instead of finding a balanced approach to protect some reasonable and fiscally responsible level of resident, Play at the $ o rate during the peak season, they are further denying resident access during the winter months and trying to sell themselves out of an expense problem they refuse to address, while disenfranchising their residents in the process. This is not frugal or responsible management. And it creates even a larger resident disparity between IWGR & DWGR. Not good for the City, all Palm Desert residents or Palm Desert's realtor businesses. For the past twelve years, Palm Desert has paid this management company more than $2M above the competitive market price other cities pay their management companies. Palm Desert has continued to pay their management company $50,00❑ extra annually not to manage another golf facility within 20-miles of DWGR, after refusing to competitively bid this contract for twenty years. While the City finally agreed to bidding this contract in 2015, it short circuited the process with only two other management companies able to respond and then awarded Kemper another three year contract even though they weren't the lowest bid. Residents can not justify overpaying a management company for all these years and then agree to support policies that cancel resident programs, raise resident prices, restrict resident access and now support a resident dynamic pricing strategy that further raises resident rates during the prime winter months. All residents are paying a big price for such management — and asking WHY? Why would any council member think such practices are justified or good for the City, the residents or Palm Desert realtor businesses? 14- Klassen, Rachelle From: Klassen, Rachelle Sent: Friday, June 08, 2018 11:22 AM To: 'Dori Smith' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony Subject: RE: [SPAM] - Comments on Desert Willow "Dynamic Pricing" Scheme Dear Ms. Smith: Thank you for your e-mail, which is being forwarded to City Council and appropriate City Staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Original Message From: Dori Smith [mailto:dori@cabaret2u.com] Sent: Tuesday, May 29, 2018 11:15 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: [SPAM] - Comments on Desert Willow "Dynamic Pricing" Scheme I encourage all City Council members to vote "NO" on the dynamic pricing model proposed by Kemper when it comes to charging Palm Desert residents to play at Desert Willow. It is unconscionable that — while other Valley cities provide discounted fees and plenty of tee times — Palm Desert is shafting the very people who help pay for the golf courses and have supported the facility since it opened. What should the City do? Keep the current $50 rate and provide more morning tee times to residents. If you do that, you will see increased numbers of residents playing. You should also consider a Valleywide resident rate, to bring in more golfers from other cities. You also need some smart marketing...just one little example: a couple of years ago, a friend and I played on Mother's Day at Indian Canyons South for a GREAT rate because they bothered to (1) offer it on a day that they knew would NOT be busy; and (2) communicate about it. I understand that, in comparison, Desert Willow was "dead" that day. The City also needs to be smarter about how it manages Desert Willow AND how it manages Kemper. Many of us are incredulous and angry that the City pays MUCH more than Indian Wells does for an almost identical facility (2 courses, clubhouse, restaurant). As I mentioned in my email on May 15, you are driving residents away — but then maybe that is your goal. Again...Voting for the proposal to charge residents as much as $130 in the "season" to play golf is how the Palm Desert City Council takes care of its residents? This is your idea of providing residents with affordable recreational opportunities? This is your idea of marketing city services to make money by attracting local residents to the golf course and restaurant? In fact, you are driving us away. 1 Dori J. Smith, Palm Desert z 6 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, June 04, 2018 4:49 PM To: Tom Walton Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony; Hermann, David; Stanley, Jane; Evans, Donna Subject: FW: Do not approve the resident dynamic pricing proposal 6-14-2018 Attachments: Council Vote June - 14 2018 PDF.pdf; ATT00001.txt Dear Mr. Walton: Thank you for your e-mail, which is being forwarded to City Council (via blind copy) and staff for consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Original Message From: Tom Walton [mailto:twaiton@me.coml Sent: Tuesday, May 29, 2018 7:50 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Cc: Larry Bohannan <larry.bohannan@thedesertsun.com>; Nicole Hayden <Nicole.Hayden@desertsun.com>; Kevin Fahey <faheykevin@comcast.net>; Dennis Brealey <Dennis.Brealey@NA.Surteco.com>; Neddy Thompson <nrthompson@hotmail.com>; Cory Stepanek <cstepanek@suncoastltc.com>; Lou Gonzalez <golfgonzalez@yahoo.com>; Dave Patterson <cdpattco@earthlink.net> Subject: Do not approve the resident dynamic pricing proposal 6-14-2018 City Clerk, Please distribute to city council members before the June 14, 2018 council meeting. Thank you, Tom Walton 72720 Yucca Ct. Palm Desert, CA 92260 5-28-18 The City of Palm Desert has walked themselves into a disastrous expense corner at DWGR while restricting resident access and perks to all Palm Desert citizens. While claiming DWGR is a world -class facility, they are finding out how expensive it is to provide world class course conditions and services_ Both the staff and Kemper have been claiming that guests visiting Desert Willow, will be treated to a day at a private country club. Staff also has publicly claimed that the "bar at Desert Willow is set very high". In 1997, when the City Council approved the resident golf card program, they defined Desert Willow as a municipal golf course, with resident perks at all DWGR's amenities. The difference in costs to operate a world -class facility that treats you to a day at a private country club is much different than a best in class municipal golf course! And much different in privileges afforded residents. Hence the operational difference between IWGR vs DWGR and the large resident disparity between IWGR & DWGR. IWGR's council decided years ago to spend a large sum of money to reconstruct both golf courses and build a very large and impressive clubhouse. They also decided to keep their restaurant open 360 days a year and serve nightly dinners. All of these decisions came with a big annual price. Palm Desert officials are using subjective talking points as an excuse not to offer their residents the same tee time protections and discounts for all residents in the pro shop and dinning, claiming we don't want the negative cash flow IWGR is generating. Suggesting that protecting 33% of the morning tee times for their residents is generating this negative cash flow. Unfortunately, those responsible for managing DWGR, neglected to vet the two operations carefully and if they had, they would have found that both resorts generated almost identical green fee revenues over a two year period, even though IWGR was limited to 67% of the remaining tee times for sale to other visitor markets. When this was pointed out to Palm Desert officials, they had another excuse, claiming that the two hotels close to IWGR provided them with a built in higher priced clientele. While this was true years ago, it is not true today as J.W. Marriott purchased one of the hotels and is now packaging hotel deals with golf at the Marriott Desert Springs facility across from DWGR. In recent years, staff decided to propose raising resident rates in an effort to generate additional revenue from the resident market. Staff suggested raising resident rates in perpetuity tied to the CPI. Staff projected DWGR would generate an additional $20,000 for each whole dollar resident price increase. After five whole dollar raises instead of the City seeing an additional $100K in annual resident revenue, they lost $444K while generating 15,800 fewer resident rounds sold the last five fiscal years compared to 2012 levels. This fiscal year, DWGR is claiming a banner year. But, residents have been subjected to a greater level of restriction due to lower pricing in the other markets, below the Average Dollar Per Round budgets and below the prices they sold to these markets last year. This fiscal year 10-months YTD, they generated an additional 11,000 rounds sold, leaving few tee times for residents three days before play. Unlike Indian Wells, Palm Desert does not protect any tee times for their residents during the winter months. Palm Desert residents are only allow to book a tee times three days before play limiting access if there are any times left after the other markets are allowed to book up to sixty days in advance. Palm Desert residents are upset with the large resident disparity in access and perks between IWGR vs DWGR and have requested the City to find a more balanced approach allowing residents some level of tee time protection during the winter months as Indian Wells offers their residents. Palm Desert residents have pointed out to the City that paying 58% more in management fees per round sold than Indian Wells, while not accommodating any relief to this resident disparity, is not fair to all Palm Desert residents and not good for the Palm Desert realtor businesses. Palm Desert's solution is to support their management company's proposal that more than doubles resident rates if they want access to their golf courses during the peak season next year. Council will vote on this proposal June 14, 2018 Klassen, Rachelle From: Don Edon@donswarm.coma Sent: Monday, June 04, 2018 3:23 PM To: Klassen, Rachelle Subject: Re: Concerns regarding Dynamic Pricing Model Thank you Sent from my iPhone On Jun 4, 2018, at 3:11 PM, crklassen@citvofpalmdesert.org> <rklassen@citvofvalnidesert.org> wrote: Dear Mr. Swarm: Thank you for your e-mail, which is being provided to City Council (via blind copy) and staff for consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 ❑irect: 760.776.6304 rklassen@cityofpalmdesert.org From: ❑on jmailto:don@donswarm.coml Sent: Tuesday, May 29, 2018 7:36 PM To: Klassen, Rachelle rrklassen@citvofoalmdesert.org> Subject: Concerns regarding Dynamic Pricing Model Rachelle, I ask that you please share my concerns with council as you have in the recent past regarding the proposed dynamic pricing format. Thank you I attended the study session May 24th and have reviewed the materials presented and came away with three initial concerns. First concern evolves around the apparent lack of regard as to the possible loss of resident rounds. Didn't see this addressed in the presentation. 1 to Coachella Valley has an abundance of golf facilities. If the Dynamic Pricing Model (DPM) goes into affect, what will the likely impact be on Desert Willow resident cards and rounds? Is this a concern? Is there a plan to financially replace the possible loss of the majority of the 15,211 (20% of total rounds) resident rounds? One example: Westin Mission Hills offers two very good courses and a "Players Club" available to anyone in the Valley. The yearly dues are $169.00 with a guarantee of the rates priced in season from $40.00 to $75.00 with a 4 day advance reservation. Other examples: Palm Springs Tahquitz also has a very attractive program open to valley residents. As does Classic Club in Palm Desert. These are but a few of competitive opportunities that presently exist. One has to wonder what opportunities will arise for disenfranchised Palm Desert resident golfers with up to 15000 rounds becoming available in a competitive market? (Please consider once the resident is lost to the competition it is likely they will not return for the cheap off season DW rates as those rates would also be available at their now favorite course.) Second concern: Availability. 2 ti I wrote Martin Alvarez suggesting the 3 day advance $50 rate be an option to the DPM. If a resident wants the $50 rate then they would live with the 3 day advance reservation plan To date haven't had a response. Many residents are on fixed or limited incomes. If however, they wanted the ability to book well in advance for that special occasion there could be something like the DPM. Third concern: The Champions Club most likely will fall victim to DPM. The Champions Club afforded 1 round mid -week in season guaranteed with a $55.00 rate after the initial $300.00 fee. I ask, please consider other options to the DPM. It does not appear to me, to be a good solution for Palm Desert residents and our municipal golf course. Thank you for listening to these views Don Swarm 3 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, June 04, 2018 10:41 AM To: Tom Walton Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony; Hermann, David; Stanley, Jane; Evans, Donna Subject: FW: INPUT REGARDING RESIDENT DYNAMIC PRICING PROPOSAL Attachments: FIVE YEAR ADPR COMPARISON 2012-2017 PDF.pdf; ATT00001.txt Dear Mr. Walton: Thank you for your e-mail, which is being forwarded to City Council (via blind copy) and staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Original Message From: Tom Walton lmaiito:twalton@me.com] Sent: Thursday, May 31, 2018 7:04 AM To: Klassen, Rachelle rrklassen@cityofpalmdesert.org> Cc: Kevin Fahey <faheykevin@comcast.net>; Neddy Thompson rnrthompson@hotmail.com>; Lou Gonzalez rgolfgonzalez@yahoo.com>; Cory Stepanek restepanek@suncoastltc.com>; Dave Patterson rcdpattco@earthlink.net>; Dennis Brealey <Dennis.Brealey@NA.Surteco.com>; Don Swarm rdon@donswarm.com>; Fred Johns rnevadajohns@prodigy.net>; Dori Smith <dori@cabaret2u.com>; Larry Bohannan rlarry.bohannan@thedesertsun.com>; Nicole Hayden <Nicole.Hayden@desertsun.com> Subject: INPUT REGARDING RESIDENT DYNAMIC PRICING PROPOSAL Good Morning Rachelle, Please distribute to council members and appropriate staff before the June 14, 2018 council meeting. Thank you, Tom Walton 72720 Yucca Ct. Palm Desert, CA 92260 1 RACKS PUBLIC RESIDENT OUTINGS WHOLESALE LOYALTY Average Dollar Per Round (ADPR) 2012-2017 2012 PERCENT OF 2017 PERCENT OF +/- ADPR +1- PERCENT OF TOTAL TOTAL 2012 - 2017 TOTAL ROUNDS ROUNDS SOLD ROUNDS SOLD SOLD 2012 VS 2017 ADPR $96.47 24 $45.04 ! 29 576.72 13 389.86 13 $76.25 I 21 ADPR $101.55 23 $50.14 I 20 $85.81 12 $89.37 16 $73.87 I 30 I 1-40111m THIS CHART CLEARLY SHOWS WHAT HAS HAPPENED TO THE RESIDENT RACK VS OTHER RACKS THE PAST FIVE YEARS. AS A PERCENTAGE OF TOTAL ROUNDS SOLD, THE RESIDENT RACK HAS DECLINED -31% (N JUST FIVE YEARS. THE RESIDENT RACK'S ADPR WAS INCREASED 11%, WHILE IN COMPARISON, THE LOYALTY RACK'S ADPR HAS BEEN LOWERED -3% THE LAST FIVE YEARS YOU CAN CLEARLY SEE HOW THESE MARKETS WERE EFFECTED OVER THE PAST FIVE YEARS DUE TO PRICING CHANGES THIS IS WHAT HAPPENS WHEN A GOLF OPERATION IS RUN AS A PUBLIC GOLF FAC11 !TY.4 S OPPOSED TO A MUNICIPAL GOLF FACILITY AND WHEN A CITY /NCENTIVIZES THEIR MANAGEMENT COMPANY WITH BONUS CLAUSPS w/TWQ )T ANY PROTECTION FOR THE RESIDENTS! A NEIGHBORING CITY DEDICATED THEIR MUNICIPAL GOLF AMENITY TO THE RESIDENTS AND PROUDLY DISPLAYS THIS MESSGE IN THEIR CLUBHOUSE, WHILE PALM DESERT REFUSES TO HONOR THEIR RESIDENT PRIVILEGES AS ADVERTISED ON THEIR WEBSITE AND AS APPROVED BY THE CITY COUNCIL IN 1997 THIS 15 WHY WE HAVE SUCH A LARGE RESIDENT DISPARITY BETWEEN IWGR AND DWGR APPROVING THE RESIDENT DYNAMIC PRICING AS PROPOSED WILL FURTHER EXACERBATE THIS DISPARITY AND WILL DRIVE MANY MORE RESIDENTS AWAY FROM DESERT WILLOW ITS TIME TO STOP MAKING EXCUSES WHY WE CAN'T AND EXPLORE OPPORTUNITIES HOW WE CAN! ITS NOW UP TO THE COUNCIL TO INSIST ON A MORE BALANCED APPROACH TO MINIMIZE THIS DISPARITY BETWEEN THE TWO CITIES. IN THE INTEREST OF THE CITY. ITS RESIDENTS AND OTHER BUSINESSES ESPECIALLY PALM DESERT REALTOR BUSINESSES. 1 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, June 04, 2018 8:56 AM To: 'Tom Walton' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony; Hermann, David; Evans, Donna Subject: RE: Resident Dynamic Pricing Dear Mr. Walton: Thank you for your e-mail, which is being forwarded to City Council (via blind copy) and staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen @cityofpalmdesert.org From: Tom Walton [mailto:twalton@me.com] Sent: Monday, June 04, 2018 8:23 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Cc: Kevin Fahey <faheykevin@comcast.net>; Neddy Thompson <nrthompson@hotmail.com>; Lou Gonzalez <golfgonzalez@yahoo.com>; Cory Stepanek <cstepanek@suncoastltc.com>; Dennis Brealey <Dennis.Brealey@NA.Surteco.com>; Dave Patterson <cdpattco@earthlink.net>; Larry Bohannan <larry.bohannan@thedesertsun.com>; Nicole Hayden <Nicole.Hayden@desertsun.com> Subject: Resident Dynamic Pricing Rachel le, Please distribute to the appropriate City officials before the June 14th council meeting. Thank you, Tom Walton Residents are not the problem at DWGR! This City's insistence on makini DWGR somethinjz it can't financially support is why residents are bein, blocked from their municipal zolf amenity. World -class service and maintenance levels to support an experience of a day at a private country club when you visit DWGR are ideologies and strategies of the past. The City could afford to support these strategies when the golf market was soaring and when RDA funds were covering the extra costs to support a world -class facility. Those days are zone. Rraising resident rates in perpetuity tied to the CPI or the latest proposal for a resident dynamic pricing program to achieve revenue neutrality is absurd. We now have the results to verify how foolish and irresponsible raising resident rates in perpetuity tied to the CPI was. No one was held accountable, even though four staff members signed their names to each of the May 28, 2015 and .Tune 9, 2016 flawed staff reports that again recommended council approve raising the resident rate. Instead of generating an additional $10OK in resident revenues after five whole dollar raises as staff forecasted, DWGR Iost over $444K the last five years. Now they want you to support another scheme to raise resident rates. 1 15 You saw the projections Kemper provided for the next five years at the public study session May 24, 2018. You can't continue to overpay your management company, pay for staff levels to support world -class conditions and services including an experience of a day at a private country club for DWGR visitors, continue to support DWGR amenities that are losing money and then think that a resident dynamic pricing strategy is the solution for future revenue neutrality at Desert Willow. Do you think those negative financial projections recognize why the status quo isn't how DWGR should be programmed for the future? Do you believe that raising resident rates via a dynamic pricing strategy is going to help reduce the large resident disparity between Indian Wells and Palm Desert? It will exacerbate the resident disparity between the two cities while chasing more Palm Desert residents to other desert golf venues. Those expense projections represent where the status quo is taking DWGR. Right to the edge of the proverbial expense cliff. They are failing to understand how to properly reprogram DWGR for the future given today's external environmental conditions and rising costs. Company's that operate like this go broke. Continuing the status quo is pushing DWGR to a disastrous financial crisis in the near future and all residents and Palm Desert realtor businesses are paying the price. We believe there is another avenue for DWGR's future — DWGR needs to be reprogrammed for the forseeable future as a `Best'N Class" municipal golf amenity, that protects some reasonable access for residents in the winter and attracts enough resident play during the shoulder and summer months to reflect 35-40% resident rounds as a percentage of total rounds sold during these periods. They also need to maximize the ADPR from visitors during the peak season - continuing to sell the other four racks for less than the previous year while operating expenses are rising is not a responsible formula for revenue neutrality. Reprogramming DWGR as a "Best 'N Class" municipal golf amenity means cutting overhead and reprogramming those amenities that are not profitable, like the academy. Hard decisions that so far no one at the City is willing to embrace. Protecting some reasonable resident access during the winter months while maximizing visitor ADPR fees is common practice with well run municipal golf facilities. Comping preferred friends when residents can't get access during the winter months is a practice at DWGR that needs to stop. Yet to date, this staff and Kemper refuse to find any balanced solutions that protect the golfing residents both in the winter and summer months or extend pro shop, dining and range discounts and privileges to all Palm Desert residents as other cities provide their residents. This proposed resident dynamic pricing strategy, that more than doubles the $50 rate next winter, is not the answer. And a council member stating, that if you want access you have to pay, does not give us any confidence that we are heading in the right direction. Penalizing resident's access and raising resident pricing in favor of supporting the status quo is troubling to many residents. And, the council should never allow resident pricing and perks to be determined by any management company they hire. We believe Palm Desert is better than this and hopefully the council members will hear us this time. 2 4 Hermann, David From: Hermann, David Sent: Thursday, May 31, 2018 1:57 PM To: 'quancex2@gmail.com' Cc: Alvarez, Martin Subject: RE: City of Palm Desert: Website Contact Us Form Submission Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf; Sample Res Program Pricing 05-2018.pdf Mr. Quance, Thank you for contacting the City of Palm Desert. l have shared your feedback regarding the Desert Willow Golf Resort resident rate and booking window, as well as your concerns about Kemper Sports, with Director of Economic Development Martin Alvarez. Attached for your information is a letter from Mr. Alvarez and a sample rate sheet showing discounted resident green fees at Desert Willow under the dynamic pricing model that was proposed by the ad hoc task force and that will be under consideration by the City Council at its meeting on June 14 at 4 p.m. here at City Hall, 73510 Fred Waring Drive. Thank you again for sharing your time and input with the City and have a wonderful day. Sincerely, David Hermann Public Information Officer Ph: 760.776.6411 Direct: 760.776.6380 dhermann@cityofpolrndesert.org From: webmaster@cityofpalmdesert.org [mailto:webmaster@cityofpalmdesert.org] Sent: Thursday, May 31, 2018 12:03 PM To: Information Mail <info@cityofpalmdesert.org> Subject: City of Palm Desert: Website Contact Us Form Submission A new entry to a form/survey has been submitted. Form Name: Contact Us Date &Time: 05/31/2018 12:03 PM Response #: 1059 Submitter ID: 11674 IP address: 166.137.246.87 Time to complete: 11 min. , 52 sec. Survey Details Page 1 Your Contact Information First Name Email Address Address City ZIP Code I am a: (o) Palm Desert Resident Murray auancex2f'email.com 22 Via Cielo Azul Palm Desert 92260 Last Name Phone Number Address 2 State Quance 760-346-9098 Not answered Not answered Comments or Concerns: Subject: new rates for Desert Willow. Pleased to see that Council is addressing deficit before it becomes a big issue. I'm willing to pay more if I can reserve 21 days out. Only concern: Kemper increases are way above inflation and that needs to be addressed. Thank you, City of Palm Desert This is an automated message generated by the Vision Content Management System'''. Please do not reply directly to this email. 2 1 r Klassen, Rachelle From: Klassen, Rachelle Sent: Friday, May 25, 2018 10:02 AM To: Aylaian, Lauri; Moore, Janet; Hernandez, Anthony Subject: FW: City of Palm Desert: Website Contact Us Form Submission For your information. Rachelle Klassen City Cleric Ph: 760.346.061 1 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Lawson, Brianne Sent: Friday, May 25, 2018 9:05 AM To: Alvarez, Martin<malvarez@cityofpalmdesert.org>; Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: FW: City of Palm Desert: Website Contact Us Form Submission Good Morning, The following message regarding Desert Willow rates was received through the City's informational e-mail. Thank You, Brianne Lawson Clerical Assistant Ph: 760.346.0611 Direct: 760.776.6309 dlawson@cityofpalmdesert.org From: webmasterc citvofr almdesert.org Finailto:webmasterPcitvofralmdesert.ore] Sent: Friday, May 25, 2018 8:56 AM To: Information Mail <infoCu7citvofoalmdesert.org> Subject: City of Palm Desert: Website Contact Us Form Submission A new entry to a form/survey has been submitted. Form Name: Contact Us Date & Time: 05/25/2018 8:55 AM Response #: 1046 Submitter ID: 11651 IP address: 47.158.223.197 Time to complete: 13 min. , 56 sec. Survey Details 1 Page 1 Your Contact Information First Name Email Address Address City ZIP Code I am a: joy Palm Desert Resident Martin andresser00Pemai1.com 42507 Saladin Dr. Palm Desert 92211 Last Name Phone Number Address 2 State Dresser 3106210091 Not answered California Comments or Concerns: I attended the Study Meeting on 5/24/18 regarding rates at Desert Willow Golf Complex. My comments are as follows: 1. As the facility is self-sustaining at this time, there should be no change in rates or policies. Wait for a need. 2.City recreation facilities should benefit residents first and not be a "cash cow" for the city, even to the extent of General Fund subsidies to maintain the facility. Designated funds, such as the facility fee the city collects, should never be used for any purpose other than to maintain Desert Willow. 3.1 have played over 350 rounds at Desert willow over the past 12 years, and I have never met a single player who thought that the reservation system or resident access was a problem. 4. 1 believe your study is flawed because you did not consider the competitive market. Your proposed rate increase to $87 for prime time, in season, resident rates with long reservation times will likely not result in increased revenue. It is above the rate you pay for that time at many courses in the valley, and is well above the rate paid when using tee time booking services. You will drive customers away resulting in reduced revenue. 5. There is no guarantee that allowing reservations further in advance will result in increased resident access. 6. An alternative, if access is really a problem, is to do what Coronado Golf Course does. Their resident rate is (including a cart) is about $64 and can be made only two days in advance. For an additional $15 fee, one can book much further in advance. This only penalizes those who wish to make reservations far in advance, and not everyone to satisfy a few. Thank you, City of Palm Desert This is an automated message generated by the Vision Content Management System"". Please do not reply directly to this email. 2 Klassen, Rochelle From: Klassen, Rachelle Sent: Friday, May 25, 2018 8:24 AM To: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony; Hermann, David Subject: FW: Thank you for the presentation and your comments today on the new DWGR resident program. For your information. (City Council has the information.) Rochelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Dennis Brealey [mailto:dennis.brealey@outlook.com] Sent: Thursday, May 24, 2018 3:57 PM To: Weber, Susan Marie rsweber@cityofpalmdesert.org>; Nestande, Gina<gnestande@cityofpaimdesert.org>; Jonathan, Sabby<sjonathan@cityofpalmdesert.org>; kelly4pd@gmail.com; Harnik, Jan <jharnik@cityofpalmdesert.org> Cc: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Thank you for the presentation and your comments today on the new DWGR resident program. I'm sorry — but one point of clarification I feel compelled to make which I could not comment on in today's session.. Mayor Jonathon pointed out that with the new Dynamic pricing formula, if purchasing in advance in 'peak season', one could pay as little as $46 or $73 instead of the new highly publicized $130 prime time rate. I would like to paint out that those low 'discounted rates' apply to tee times for which a golfer could not finish their round of golf before dark. The average round of golf at DW is 4 hours 15 minutes to 4 hours 30 minutes. For $73 one could tee off at 12:30 — it is dark by 4:30. The $46 rate requires teeing off after 2:30 — at that time you would finish less than half of your round before darkness. The rates have to be much cheaper if you can't finish your round of golf due to darkness. In order to get a prime time tee time —even 60 days in advance, one would have to pay at least $103. For many in Palm Desert, that is not affordable. Our city course should have affordable options for play for all Palm Desert residents — not just those who can afford much higher rates - in all seasons. Thank you again. I Zook forward to addressing the Council members on June 14tn Regards. Dennis Brealey 5/24/18 I Klassen, Rachelle From: Klassen, Rachelle Sent: Wednesday, May 23, 2018 8:18 AM To: 'dennis.brealey@outlook.com' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony; Hermann, David; Evans, Donna; Stanley, Jane Subject: FW: Comments regarding DWGR Task Force presentation - Rancho Mirage City Golf Program Attachments: Westin Mission Hills_Rancho Mirage Golf Program_2018.pdf Dear Mr. Brealey: Thank you for your e-mail, which, by way of my reply here, is being forwarded to City Council (via blind copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@citycfpalrndesert.org From: Dennis Brealey [mailto:dennis.brealey@outlook.com] Sent: Tuesday, May 22, 2018 5:39 PM To: kEVIN fAHEY <faheykevin@comcast.net>; Klassen, Rachelle <rklassen@cityofpalmdesert.org> Cc: 'Barbara Johns' rbarbjohns@prodigy.net>; 'MAZZONE BARNEY/JACKIE' rbmazzone@yahoo.com>; 'Cliff Lindgren' <cliff5447@gmail.com>; 'Don Swarm' <don@donswarm.com>; 'Fred Johns' rnevadajohns@prodigy.net>; 'Diane Waldron' rgdwaldron@hotmaii.com>;'Harold Klempner' <hklempner@gmail.com>; 'Jim 5huler' rj.shuler@earthlink.net>; jfilipekl@wi.rr.com; 'Jim Young' <jim@woodtone.com>; 'Len Hall' <lenhall3@gmail.com>; 'Mark Plinneke' <mark.plinneke@gmail.com>; markspencer110@comcast.net;'Neddy Thompson' <nrthompson@hotmail.com>; phshelley@gmail.com; 'Ran Hoth' rran.hoth@gmail.com>; 'Scott Trollope' <swtrollope@gmail.com>; 'Steve Coulter' <slcoulter2003@yahoo.com>; Aylaian, Lauri<laylaian@cityofpalmdesert.org>; Alvarez, Martin rmalvarez@cityofpalmdesert.org>; Hermann, David <dhermann@cityofpalmdesert.org>; Stanley, Jane <jstanley@cityofpalmdesert.org>; Evans, Donna <devans@cityofpalmdesert.org>; susanmarieweber@earthlink.net; 'Gina Nestande' <gnestande@aol.com>; Kelly, Kathleen <kkelly@cityofpalmdesert.org>; Jonathan, Sabby <sjonathan@cityofpalmdesert.org>; Harnik, Jan <jharnik@cityofpalmdesert.org>; yvetteidavis@gmail.com; Kwebb7@q.com; Jeff & Shawn Davis rtjdavisll@hotmail.com>; Rob & Luanne Engh <Luanne@northlandcorrosion.com>;'Christine Fahey' <c.f.fa hey@comcast.net>; Tom Walton <twalton@me.com>; vmarin❑@kmir.com; Nicole.Hayden@desertsun.com Subject: Comments regarding DWGR Task Force presentation - Rancho Mirage City Golf Program Attached the current Rancho Mirage Westin Mission Hills Golf Program — including both non-resident and Rancho Mirage resident programs. I picked it up this week. The RM Resident card is $89 — with a $70 max green fee charge 'in season'. (compared with the newly proposed $130 at DWGR for PD residents). For a $169'non-resident' card - good for 12 months from date of purchase — Palm Desert residents can join the Rancho Mirage program — and their highest rate 'in season' for non-residents is $75! Rates as low as $40 'off season'. 1 • 2 - 18 hole golf courses. • Beautiful Westin Resort caliber property. • 4 day advanced booking • 20% to 30% discounts Pro Shop Merchandise, Guest Fees and F&B as well as 2 free golf clinics and 2 free range passes... • And men's and women's golf groups like our Champions are available to join also. If our city doesn't want us — it appears others will... Depending on results from the Task Force Presentation we can also reach out to other courses in the area and see if they will welcome Palm Desert golfers with an individual program. I'm not sure that the Mayor and Mr. White recognize there is a strong likelihood they will not only lose the 7,500 resident rounds that are played 'in season' (however misguided they may be - we know they think they want those to `go away' anyway) but also the vast majority of the remaining 8,000+ resident rounds Palm Desert residents play at DWGR throughout the balance of the year. Desert Willow golfers won't just leave DWGR for 'the 4 month season' — we will leave permanently. Golfers are loyal to where they play — if we move for the 'season' — we will move for the year. What financial impact would that have on DWGR? We know it doesn't worry Kemper much whether this proposed 'Dynamic Pricing Model' is successful or not — they might only lose some bonus $ - but in driving away an additional 8,000 rounds of golf from PD residents, over and above the 7,500 lost 'in season rounds' - the city could take a huge financial hit. Even at the current $50 rate — that is a foss of over $400,000 in revenue just for greens fees over the balance of the fiscal year. And that loss will happen in the months the City needs that revenue the most. And consider the impact of losing that many players and their visits to the DWGR clubhouse will have on Food and Beverage sales, Pro Shop sales, and the Golf Academy, with its lessons and clinics, over the balance of the year. All of the clinics I have participated in at DWGR have been filled with almost exclusively 'residents'. That the Mayor (and a CPA at that!) and GM of Desert Willow suggest that the entire anticipated budget shortfall of DWGR should be resolved only on the 'revenue side of the P&L' and should be born entirely by the residents of Palm Desert is inconceivable to me and all residents and business people I have spoken with. Given the state of the DWGR budget, how can the City accept "no expense reductions or productivity improvements' from DWGR for the next fiscal year? Again — inconceivable. The Mayor and Mr. White must be assuming (erroneously 1 believe) that Palm Desertresident golfers wilt return with open arms May 1st after being shunned for previous 4 months. DWGR stands to lose up to 15,0fl0 Resident rounds of golf next year if the new `Dynamic Pricing Model' is implemented and yet apparently Mr. White has planned for no expense reductions? What happens if the Mayor and Mr. White are wrong? I would ask the Council members copied if you were treated as inconsiderately as is proposed by the City and DWGR — and told in order to continue with the benefits we've enjoyed for the past 20 years — you would need pay 160% higher fees; how would you respond when that same vendor then asked you to come back at a time that was more acceptable and convenient for them? Would you return? Of course not. And neither will the vast majority of the 3,500 shunned and offended resident golfers of Palm Desert. If the City doesn't get this new 'Resident' program right — the negative financial impact on DWGR — and on the City will be substantial. 2 I would suggest that my estimation of what will happen is every bit as valid as the one of the Mayor and Mr. White. Which is correct only time will tell. Can the City really afford to take that chance? Especially when other options are readily available that will address the budget shortfall and not alienate Palm Desert resident golfers. Shouldn't that have been the objective of the Task Force to start with — shouldn't it still be? As an eternal optimist, I'm hoping impartiality and good judgement will prevail and the City Council will instruct the Task Force to go back to work to develop a more 'citizen' friendly program that will generate the necessary improvements in expense management and revenue flows to balance the DWGR budget, and still benefit the city, the DWGR and the residents of Palm Desert. Thank you. Dennis Brealey 5/22/18 3 _The Club Membership Program 2O17-2O18 The Westin Mission 1 Tills Golf Resort & Spa Become a member and experience all the wonderful amenities the Westin Mission Hilts Golf Resort & Spa has to offer. Membership Type Price! Annual From Date of Purchase Discounted Seasonal Golf Rates Advance Tee Time Bookings for Golf Complimentary Green Fees Discount on Golf Merchandise Ocotillo* Palm Player's Card Verbena Rancho Mirage Individual Individual Golf Golf, Tennis, Residents Golfer & Range Pass & Fitness $89 $169 $249 $269 $35-$70 $40-$75 $40-$75 $40-$75 4 Days 4 Days 4 Days 4 Days Discount on Guest Green Fees 1 0 0 0 20% 20% 20% 20% 30% 30% 30% 30% 2 2 Complimentary Golf Clinic 2 Verbena Family Golf, Tennis, & Fitness (Max 4 people) $499 $40-$75 4 Days 0 20% 30% 2 2 Complimentary Practice Range Sessions 2 2 unlimited 2 2 Food & Beverage Discount at Pinzimini, 20% 20% 20% 20% 20% Fireside Lounge, & Gary Player Grill Discount Guest Room Rates 20% Complimentary Tennis Court Fees (based on space available) Complimentary Tennis Clinic Sessions Discount on Tennis Merchandise 20% 20% Access to Westin Workout Facility 20% 20% Unlimited Unlimited 4 4 20% 20% Unlimited unlimited Unlimited 'Ocotillo is exclusive to Rancho Mirage residents; Proof of residency required. Membership registration and photo taking is available Monday -Sunday from 11 am-4 pm at Gary Player Pro Shop. Al! rates are valid for 12 months from time of purchase. We reserve the right to cancel or modify membership at any time with prorated refund. Westin Mission Hills reserves the right to discontinue sales that include resort amenities at any time. THE WESTI N MISSION HILLS GOLF RESORT & SPA For more information call the Pete Dye Golf Shop at 760.328.3198 or visit: www.TheClubatWesti nM issionHills-cam 2-5 Hermann, David From: Hermann, David Sent: Monday, May 21, 2018 4:41 PM To: 'Scott Bracke' Subject: RE: desert willow proposed resident fee changes Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf Dear Mr. Bracke and Ms. Krzesowiak, Thank you for your message and for sharing your input on this important topic. I want to reassure you that the reason the City is studying the fee structure at Desert Willow is not to collect more money from residents. The truth is that the City would not be considering a change in the fee structure if it weren't for complaints from some resident golfers about access to Desert Willow during peak hours/season. The City Council is holding a Study Session on this topic this Thursday at 2 p.m. in the Council Chamber here at City Hall. The public is invited to attend. Your written feedback is also being shared with the Council. You might have already seen it, but attached is a letter from Economic Development Director Martin Alvarez that has more details about dynamic pricing. One of the key benefits of this pricing structure is that it empowers residents, who presumably are here most of the time and therefore and have greater options for choosing when to play than visitors who are here for a limited time. Residents can choose when they want to play and at the price they are willing to pay. The Council will consider the facts and input from residents like you and then make a decision. That will not happen at Thursday's Study Session, but at a noticed, regular City Council meeting during which the public will have another chance to provide additional input. Thank you again for sharing your time and concerns with the City and have a wonderful day. Sincerely, David Hermann Public Information Officer Ph: 760.776.6411 Direct: 760.776.6380 dhermann@cityofpalmdesert.org Original Message From: Scott Bracke [mailto:scott993@gmail.comj Sent: Monday, May 21, 2018 1:38 PM To: Hermann, David <dhermann@cityofpalmdesert.org> Subject: desert willow proposed resident fee changes Dear Mr. Hermann, Leave the fee structure the same!! If you need more money, raise resident rates to $60. You are not fooling most of us. You just simply want more money. Don't listen to a few whiners that can't get a tee time in March. That is the way golf works! Most of us understand the system. Those of us that are true Palm Desert residents 1 don't need to play in March. As we are thrifty seniors, we won't want to pay $130 for golf that normally costs much less. We get plenty of golf at DW the other months. $16 per round, right, 120 degree day in August. Again, we are not stupid! If those whiners want more secure tee times in advance, they can buy a Platinum Card. It will likely cost less over a season than "dynamic pricing". We do like the concept of showing property tax statements. Get rid ❑f the pretenders and you will diminish the need to alter the tee time process. We bought our home in Palm Desert because of the privilege to play golf at Desert Willow. Please don't change the process and negate the privilege. Thanks, Scott Bracke and Sarah Krzesowiak 2 Hermann, David From: Hermann, David Sent: Monday, May 21, 2018 1:14 PM To: 'annalee hanson' Subject: RE: desert willow golf resort Ms. Hanson, I posed your question and was told that a dual resident fee system (retaining the three-day booking window with a $50 rate and dynamic pricing residents who want earlier accessibility) would be logistically difficult, if not impossible. will continue to pose the question as the process moves forward and let you know if I receive a different answer. Thank you again for your time and have a wonderful day. Sincerely, David Hermann Public Information Officer Ph: 760.776.6411 Direct: 760.776.6380 clhernnonn@cityofpalmdesert.org From: annalee hanson[mailto:annaleehanson@hotmail.com] Sent: Monday, May 21, 2018 8:50 AM To: Hermann, David <dhermann@cityofpalmdesert.org> Subject: Re: desert willow golf resort Thank you for responding to my email. Along with dynamic pricing , would the $50 still apply with a 3 day window for booking? Thank you, Annalee Hanson From: dhermann@citvofoalmdesert.org <dhermann@citvofoalmdesert.org> Sent: Monday, May 21, 2018 10:22 AM To: annaleehansonPhotmail.com Cc: malvarez(Wcitvofoalmdesert.org Subject: RE: desert willow golf resort Dear Ms. Hanson, Thank you for contacting the City of Palm Desert. To clarify, the City is studying a different fee structure at Desert Willow in response to requests from some resident golfers, who complained about a lack of access to golf at Desert Willow during times of peak demand, such as high season. This proposed structure, called dynamic pricing, is being considered because it would allow residents the same ability to book tee times in advance as visitors. in times of peak demand, residents would be able to choose whether they wanted to play at a higher rate than the current $50 green fees, at times of lower demand, resident green fees could be as i d�� low as $16 per round. The idea is to give residents, who have broader options about when they will play Desert Willow than visitors, the power of access and choice. Attached is a letter with more detailed information from Economic Development Director Martin Alvarez. Please feel free to contact Mr. Alvarez or myself if you have questions or need more information. Thank you again for sharing your time and concerns with the City and have a wonderful day. Sincerely, David Hermann Public Information Officer Ph: 760.776.6411 Direct: 760,776.6380 dhermann@cityofpalmdesert.org From: annalee hansonjmailto:annaleehanson@hotmail.comj Sent: Sunday, May 20, 2018 3:09 PM To: Information Mail <infoPcitvofpaImdesert.org> Subject: desert willow golf resort I'm concerned about the proposed changes for DW mentioned in the Daily Sun paper. It is apparent it is functioning well. 5o why change it. Dw and affordable golf is the main reason I purchased in Palm Desert. Annalee Hanson Sent from Mail for Windows 10 2 2�' Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, May 21, 2018 11:33 AM To: 'Cindy Kelly' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony; Hermann, David; Evans, Donna; Stanley, Jane Subject: RE: Proposed Price Increase for Palm Desert residents at Desert Willow Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf; 05-24-18-cc-ss-dwgr-signed.pdf; 05242018 - STUDY SESSION - DWGR Resident Task Force.pdf Dear Ms. Kelly: Thank you for your e-mail, which, by way of my reply, is being copied to City Council (via blind copy) and appropriate City staff for their consideration. In response, the following are attached: 1) Letter from City Director of Economic Development Martin Alvarez regarding Desert Willow. 2) Notice of City Council Study Session on Thursday, May 24, 2018, at 2:00 p.m. in the Council Chamber regarding Desert Willow. 3) Study Session packet provided to City Council in advance of the May 24 session. Please let me know if I can be of any further assistance. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Original Message ----- From: Cindy Kelly(mailto:cindykeily.cgk@gmail.com] Sent: Sunday, May 20, 2018 1:37 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Proposed Price Increase for Palm Desert residents at Desert Willow I was disappointed to read in the Desert Sun this weekend that a rate increase seems likely for Palm Desert residents at Desert Willow Golf Resort. My husband and 1 moved to the Coachella Valley over 10 years ago and we selected Palm Desert for the opportunity to play golf at Desert Willow at resident rates. We understood the value of this opportunity and it was considered in our selection of Palm Desert as our new home. We are full time residents and play Desert Willow many times during the year. The proposed changes, utilizing dynamic pricing, will result in a significant increase of resident rates during peak times. The only extra benefit seems to be the ability to make a tee time farther out than the current requirement of 3 days for a resident. I saw no mention of increasing rates for non residents or players from the Westin Villas or Retreat. A more equitable solution might be to leave the current resident rate for 3 day tee times while adding an option to select tee times farther out at an increased rate. I am proud to have Desert Willow available for Palm Desert residents and recognize it's value compared to other golf courses in the valley. I urge the City Council to consider the impact of price increases for residents so that all residents may continue to enjoy Desert Willow at reasonable rates. Thank you, Cynthia Kelly 74065 Chinook Cir Palm Desert, CA 92211 Sent from my iPad 2 ,a 1 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, May 21, 2018 8:31 AM To: 'Mike Kelly' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony; Hermann, David Subject: RE: Proposed Pricing Changes to Desert Willow Golf Resort Attachments: DWGR-Resp to E-mails-Resdt Rate-Mayll-2018.pdf; 05-24-18-cc-ss-dwgr-signed.pdf; 05242018 - STUDY SESSION - DWGR Resident Task Force.pdf Dear Mr. Kelly: Thank you for your e-mail, which, by way of my reply here, is being forwarded to City Council (via blind copy) and appropriate City staff for their consideration. In response, the following are provided: 1) Letter from City Director of Economic Development Martin Alvarez regarding Desert Willow. 2) Notice of City Council Study Session for Thursday, May 24, 2018, at 2:00 p.m. in the Council Chamber regarding Desert Willow. 3) Study Session packet of information provided to City Council in preparation for the May 24 session. Please let me know if I can be of any further assistance. Rochelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rkiassen@cityofpclmdesert.org From: Mike Kelly[mailto:mikekelly.mck@gmail.comj Sent: Friday, May 18, 2018 10:13 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Proposed Pricing Changes to Desert Willow Golf Resort Rachelle Klassen: City Clerk, City of Palm Desert, When my wife and I moved to the Coachella Valley over 10 years ago, we focused on properties in Palm Desert mainly due to the opportunity to play golf at the DWGR at the resident rate. Having played the courses in our visits prior to relocating here, we understood what an excellent value this was for a Palm Desert resident. Since becoming residents we have utilized this privilege many, many times. Although I don't understand all the details in the proposed "dynamic pricing", it appears that the current value that residents enjoy will no longer be available to us. Also,as I understand the need for DWGR to operate in the black and not be a drain on the city's budget, I don't believe it is fair that general residents have to make up for the advantages in tee times and pricing given to guests at the Westin Villas and owners at The Retreat. DWGR is a gem for the Coachella Valley and point of pride for Palm Desert residents. I have not seen a city - owned golf facility anywhere else in the country that can compare in quality, friendliness and overall excellence. i I urge the City Council to keep the original intent of DWGR as a place of civic pride that all Palm Desert residents may continue to enjoy with availability at reasonable rates. Thank you, Michael C Kelly 74065 Chinook Cir Palm Desert, CA 92211 760.340.0208 (Home) 408.823.7600 (Ce11) M i ke Ke 11v. mck(a , amai l . co m 2 ,33 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, May 21, 2018 8:35 AM To: 'michaelclune@gmail.com' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony; Hermann, David Subject: RE: Rates Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf; 05-24-18-cc-ss-dwgr-signed.pdf; 05242018 - STUDY SESSION - DWGR Resident Task Force.pdf Dear Mr. Clune: Thank you for your e-mail, which, by way of my reply here, is being forwarded to City Council (via blind copy) and appropriate City staff for their consideration, in response, the following are provided: 1) Letter from City Director of Economic Development Martin Alvarez regarding Desert Willow. 2) Notice of City Council Study Session on Thursday, May 24, 2018, at 2:00 p.m. in the Council Chamber regarding Desert Willow. 3) Study Session packet of information provided to City Council in advance of the May 24 session. Please let me know if i can be of any further assistance. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Mike Clune [mailto:michaelclune@gmail.com] Sent: Saturday, May 19, 2018 10:03 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Rates Rachel, As a Palm Desert Resident and avid golfer I see no need for 60 day advance booking for a tee time. I have never booked that far in advance in 55 years of playing golf. We should have a block of tee times available for residents in the early hours up to 24 hours before the scheduled time. It has become increasingly difficult to obtain a tee time in the early morning hours during season. This is our City Course and its hard to believe what is happening to our privileges. Less opportunity to play and higher costs. The City should be aware of what is happening to Golf Courses in general where they can't pay their way and end up being purchased, shortened and developed for residential fee support. This is what will happen if the course looses it's resident base due to increased restrictions and fees. We need year around support of our residents without obstacles to play. Please leave our fees alone and do more to support off season play while reserving early morning slots for residents during season. Tourists will play in available i times or fill in any resident unused spaces. Let's review cost cutting steps such as management prior to fee increases. Thank you. Regards, Mike Clune 2 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, May 21, 2018 8:54 AM To: 'Thomas Dwyer' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony; Hermann, David Subject: RE: DesertvWillow Resident Card Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf; 05-24-18-cc-ss-dwgr-signed.pdf; 05242018 - STUDY SESSION - DWGR Resident Task Force.pdf Dear Mr. Dwyer: Thank you for your e-mail, which, by way of my reply here, is being forwarded to City Council (via blind copy) and appropriate City staff for their consideration. In response, the following are provided: 1) Letter from City Director of Economic Development Martin Alvarez regarding Desert Willow. 2) Notice of City Council Study Session on Thursday, May 24, 2018, at 2:00 p.m. in the Council Chamber regarding Desert Willow. 31 Study Session information packet provided to City Council in advance of the May 24 session. Please let me know if 1 can be of any further assistance. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Thomas Dwyer [mailto:thdwyer@gmail.com] Sent: Saturday, May 19, 2018 11:35 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: DesertvWillow Resident Card Dear Ms. Klassen, I have enjoyed being a Palm Desert Resident Card holder for the past 12 years. I have made many friends at Desert Willow and have promoted the golfing and dining facilities to my neighbors, visiting relatives and friends. I am disappointed that the city council is considering a drastic increase in green fees for Palm Desert resident card holders. I believe the detailed financial study done by Tom Walton and his committee clearly explains where the problems lie. Do the council members refute the documented facts presented by Mr. Walton? Desert Willow golf resort has apparently over the past three years lost over 1.5 million dollars. The golfing industry is going through major changes. Those that serve on the city council are not expected to fully understand Kemper's financial issues. I believe an outside consultant could help rectify the current financial problems and set Desert Willow on the right path into the future. To expect that ending the current resident golf program will solve Kemper's problems is short sighted. It is apparent that Kemper's intent is to put an end to the resident card program. If the city council agrees with Kemper's latest proposal it will only hasten this slide. i 3c; I personally, unlike short term visiting tourists, will not pay $130 per round to play Desert Willow. I would assume that resident golfers that play multiple times weekly will also share my feelings. There are many enjoyable and less expensive green fees to be found in the valley. Desert Willow Golf Resort is a tremendous asset for the city of Palm Desert. Please solve the financial issues at Desert Willow and take care of the tax paying golfing residents that helped make this venue a reality. Sincerely, Thomas H Dwyer 101 Favara Circle Palm Desert, CA 92211 2 31 Hermann, David From: Hermann, David Sent: Monday, May 21, 2018 8:26 AM To: 'matt.stennesl@gmaii.com' Cc: Alvarez, Martin Subject: RE: City of Palm Desert: Website Contact Us Form Submission Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf Dear Mr. Stennes, Thank you for contacting the City of Palm Desert. The City is studying a different fee structure at Desert Willow in response to requests from some resident golfers, who complained about a lack of access to golf at Desert Willow during times of peak demand, such as high season. This proposed structure, called dynamic pricing, is being considered because it would allow residents the same ability to book tee times in advance as visitors. In times of peak demand, residents would be able to choose whether they wanted to play at a higher rate than the current $50 green fees, at times of lower demand, resident green fees could be as low as $16 per round. The idea is to give residents, who have broader options about when they will play Desert Willow than visitors, the power of access and choice. Attached is a letter with more detailed information from Palm Desert Economic Development Director Martin Alvarez. Please feel free to contact Mr. Alvarez or myself if you have questions or need more information. Thank you again for sharing your time and concerns with the City and have a wonderful day. Sincerely, David Hermann Public Information Officer Ph: 760.776.6411 Direct: 760.776.6380 dhermann@cityofpaimdesert.org From: webmaster@cityofpalmdesert.org[maiito:webmaster@cityofpalmdesert.org] Sent: Saturday, May 19, 2018 6:56 AM To: Information Mail <info@cityofpalmdesert.org> Subject: City of Palm Desert: Website Contact Us Form Submission A new entry to a form/survey has been submitted. Form Name: Contact Us Date & Time: 05/19/2018 6:56 AM Response #: 1037 5ubmitter ID: 11635 IP address: 47.158.189.34 Time to complete: 4 min. , 15 sec. Survey Details 1 Page 1 Your Contact Information First Name Email Address Address City ZIP Code I am a: (o) Paim Desert Resident Matthew matt.stepnes11 &maiI.com 77433 Preston Trail Palm Desert 92211 Last Name Phone Number Address 2 State stennes 9492946040 Not answered California Comments or Concerns: Do not increase the green fees for Desert Willow for Palm Desert residents. An increase in fees would make it prohibitive far most Palm Desert residents. Leave the current pricing structure in place. Matt Stennes Thank you, City of Paim Desert This is an automated message generated by the Vision Content Management System'". Please do not reply directly to this email. 2 Hermann, David From: Hermann, David Sent: Monday, May 21, 2018 8:23 AM To: 'annalee hanson' Cc: Alvarez, Martin Subject: RE: desert willow golf resort Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf Dear Ms. Hanson, Thank you for contacting the City of Palm Desert. To clarify, the City is studying a different fee structure at Desert Willow in response to requests from some resident golfers, who complained about a lack of access to golf at Desert Willow during times of peak demand, such as high season. This proposed structure, called dynamic pricing, is being considered because it would allow residents the same ability to book tee times in advance as visitors. in times of peak demand, residents would be able to choose whether they wanted to play at a higher rate than the current $50 green fees, at times of lower demand, resident green fees could be as !ow as $16 per round. The idea is to give residents, who have broader options about when they will play Desert Willow than visitors, the power of access and choice. Attached is a letter with more detailed information from Economic Development Director Martin Alvarez. Please feel free to contact Mr. Alvarez or myself if you have questions or need more information. Thank you again for sharing your time and concerns with the City and have a wonderful day. Sincerely, David Hermann Public Information Officer Ph: 760.776.6411 Direct: 760.776.6380 dhermann@cityofpalmdesert.org From: annalee hanson [mailto:annaleehanson@hotmail,com] Sent: Sunday, May 20, 2018 3:09 PM To: Information Mail tinfo@cityofpalmdesert.org> Subject: desert willow golf resort I'm concerned about the proposed changes for DW mentioned in the Daily Sun paper. It is apparent it is functioning well. So why change it. Dw and affordable golf is the main reason I purchased in Palm Desert. Annalee Hanson Sent from Mail for Windows 10 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, May 21, 2018 11:51 AM To: 'FRED JOHNS' Subject: RE: Desert Willow Golf Resort Ad Hoc Resident Task Force Recommendations - City Council Study Session 5/24/18 Yes — via blind copy. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityotpalmdesert.org From: FREDJOHNS{mailto:nevadajohns@prodigy.net] Sent: Monday, May 21, 2018 11:43 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Re: Desert Willow Golf Resort Ad Hoc Resident Task Force Recommendations - City Council Study Session 5/24/18 Has this been sent to Council Members? Sent from my iPad On May 21, 2018, at 11:28 AM, <rklassen)cityofnalmdesert.orv> <rklassen(citvofnalmdesert.or,> wrote: Dear Mr. Johns: Thank you for your e-mail, which is being forwarded here, to all the parties as before. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Fred Johns(mailto:nevadaiohnsPorodiev.net] Sent: Sunday, May 20, 2018 7:47 AM To: Klassen, Rachelle<rklassentacitvofoaln1desert.org> Subject: Re: Desert Willow Golf Resort Ad Hoc Resident Task Force Recommendations - City Council Study Session 5/24/18 Rachelle: After reviewing the attached Desert Willow Financial Forecast, I have several comments below: The plan projects an increase in losses every year going forward. This is a result of substantially increasing salaries $1,600,222 (payroll) over the next four years by 32%. That is the highest increase in the history of 1 managing Desert Willow. Why would anybody put together a plan that increases losses to the city by increasing wages? It makes no sense. The increase is 300% of the inflation rate. The increase in payroll alone is over 200% of the total annual revenue for resident's golf. No wonder the course is having problems. Total financial mismanagement. All of Kemper's bonuses are based on revenue and not on profits or controlling expenses. This is a win for employees, a win for Kemper and a massive loss for residents who actually own the course. I am sure this is just the tip of the Iceberg. Fred Johns Palm Desert <PastedGraphic-3.tiff ' On May 17, 2018, at 3:40 PM,<rklassentr7citvofnalmdesert.org> <rklassen((citvofpalmdesert.org> wrote: Good day, Palm Desert Residents. Following up from the e-mail earlier this week, please see attached: 1) Notice of City Council Study Session — Scheduled for Thursday. May 24. 2018. at 2:00 p.m. in the Palm Desert Civic Center Council Chamber. 2) Packet for the Study Session, which has been distributed to City Council in preparation for the Study Session. Study Session is open to the public. Note, immediately following the one -hour Study Session, however, the regular City Council, Successor Agency, and Housing Authority Meetings for May 24, 2018, will convene at 3:00 p.m. in the Council Chamber. If I can be of any further assistance, please let me know. (Note: City Council is blind -copied on this e-mail.) <image006.jpg> Rochelle Klassen City Clerk 2 LEP) Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org <image003.jpg> www.cityofpalmdesert.org <image004.jpg> <image005.jpg> Install the Palrn Desert In Touch app to stay in touch with your community Android Apple Mobile Web <05-24-18-ce-ss-dwgr-signed.pdf> <05242018 - STUDY SESSION - DWGR Resident Task Force.pdf5 3 (-1-3 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, May 21, 2018 11:36 AM To: Cliff Lindgren Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony; Evans, Donna; Stanley, Jane Subject: FW: Response to E-mails Regarding Desert Willow Resident Rate Dear Mr. Lindgren: Thank you for your e-mail, which is being forwarded to all parties as before. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cifyofpalmdesert.org From: Cliff Lindgren [mailto:cliff5447@gmail.com] Sent: Monday, May 21, 2018 12:16 AM To: Klassen, Rachelle crklassen@cityofpalmdesert.org> Subject: Re: Response to E-mails Regarding Desert Willow Resident Rate After reading the Alvarez response to citizen input and also reading Kevin FAHEY's letter and backup material, I find it incredulous that the city staff and council continue to defend the one sided contract given to Kemper. Having spent a career in contract management and contract reviews, I can clearly see that the Kemper RFP and resulting contract were carefully crafted to award a contract to Kemper. I would like the council to address specifically why they are working so hard to keep Kemper in place. This agreement smacks of corruption and cronyism. Rigging an RFP to favor a certain party and then awarding a contract despite more competitive responses is unconscionable. On May 14, 2018, at 7:48 PM, <rklassenPcitvofoalmdesert.ore> <rklassenPcitvofoalmdesert.ore> wrote: Dear Palm Desert Residents: Thank you, again, for your e-mails regarding Desert Willow. In reply to those e-mails, the attached letter is provided. If I can be of any further assistance, please let me know. (Note: City Council is blind -copied on this e-mail.) <image002.jpg> Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpaimdesert.org <image003.jpg> www.cityofpalmdesert.org<imageO04.jpg><imageO45.j pg> i Install the Palm Desert In *'ouch app to stay in touch with your community Android Apple Mobile Web <DWGR-Resp to E-mails-Resdt Rate -May 11-2018.pdf5 2 4-5 Klassen, Rachelle From: Michael Borders <michaelborders@LIVE.COM> Sent: Friday, May 18, 2018 9:30 AM To: Klassen, Rachelle Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony; Hermann, David; Stanley, Jane; Evans, Donna Subject: Re: Municipal course dues increase Thank you. I have read Mr. Alvarez's May 11 th letter and reviewed the data points and feel that I am better informed on the discussion topic. I appreciate you getting back to so quickly today. Michael Sent from my Sprint Samsung Galaxy S® 6. Original message From: rklassen@cityofpalmdesert.org Date: 5/18/18 8:42 AM (GMT-08:00) To: michael.borders@live.com Cc: laylaian@cityofpalmdesert.org, malvarez@cityofpalmdesert,org, jmoore@cityofpalmdesert.org, ahernandez@cityofpalmdesert.org, dherrnann@cityofpalmdesert.org, jstanley@cityofpalmdesert.org, devans@cityofpalmdesert.org Subject: FW: Municipal course dues increase Dear Mr. Borders: Thank you for your e-mail. I am sorry if you called my office and were promised a return call — apologies, I did not receive such a message. Please be assured that this e-mail is being forwarded to City Council (blind copy) and appropriate City staff for their consideration. In response, the following is provided: 1) Letter from City Director of Economic Development Martin Alvarez regarding Desert Willow Golf Resort. 2) Notice of Palm Desert City Council Study Session for Thursday, May 24, 2018, regarding the Desert Willow Golf Resort Ad Hoc Resident Task Force Recommendations. This was officially noticed and posted yesterday, May 17, 2018. 3) Study Session information packet provided to City Councilmembers in their agenda packets for next Thursday. If there is any other assistance 1 may provide, please let me know. Rachelle Klassen City Clerk Ph: 760.346.061 1 Direct: 760.776.6304 rklassen@cityofpalmdesert.org i 4c, From: Stanley, Jane Sent: Friday, May 18, 2018 8:09 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: FW: Municipal course dues increase From: Michael Borders[mailto:michael.borders@live.com] Sent: Thursday, May 17, 2018 8:29 PM To: CityhallMail <CitvhaII@citvofoaImdesert.org> Subject: Municipal course dues increase Good evening Mrs. Harnick, I heard from somone that there is a meeting to discuss increasing the resident rates by nearly 200%. I called the City Clerk's office on Monday to check in on this and was told I would receive a call back, but have yet to hear from anyone. Thank you for your help on this. Michael Borders Sent from my Sprint Samsung Galaxy S® 6. 2 Klassen, Rachelle From: Klassen, Rachelle Sent: Thursday, May 17, 2018 3:40 PM To: Barbara Johns; Butch and Jackie Mazzone; Cliff Lindgren; Don Swarm; Fred Johns; Gene Hunt; Glenn and Diane Waldron; Harold Klempner; James and Bette Shuler; James Filipek; Jim Young; 'Ken Boone Jr'; Leonard and Donna Halllenhall3@gmail.com; 'margiemurphy'; Mark Plinneke; Mark Spencer; 'melanie fernandez'; Neddy Thompson; Paul Shelley; Ran Hoth; Scott Trollope; Steve Coulter; Tom Walton Cc: Aylaian, Lauri; Robert W. Hargreaves (Robert.Hargreaves@bbklaw.com); Alvarez, Martin; Moore, Janet; Hermann, David; Hernandez, Anthony Subject: Desert Willow Golf Resort Ad Hoc Resident Task Force Recommendations - City Council Study Session 5/24/18 Attachments: 05-24-18-cc-ss-dwgr-signed.pdf; 05242018 - STUDY SESSION - DWGR Resident Task Force.pdf Good day, Palm Desert Residents. Following up from the e-mail earlier this week, please see attached: 1) Notice of City Council Study Session — Scheduled for Thursday. May 24, 2018, at 2:00 D.M. in the Palm Desert Civic Center Council Chamber. 2) Packet for the Study Session, which has been distributed to City Council in preparation for the Study Session. Study Session is open to the public. Note, immediately following the one -hour Study Session, however, the regular City Council, Successor Agency, and Housing Authority Meetings for May 24, 2018, will convene at 3:00 p.m. in the Council Chamber. If I can be of any further assistance, please let me know. (Note: City Council is blind -copied on this e-mail.) Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org a m ieserf, CA 92260-2578 . www.cityofpal mdesert,org 0 Install the Palm Desert In Touch app to stay in touch with your community Android Apple Mobile Web 1 L4c7 { Klassen, Rachelle From: Sent4. To: - < Cc0 O � �`-"LJ xtrY Uwp LIJ ()_ < U Subject: 01 Net Attachments: Rachelle, kEVIN fAHEY <faheykevin@comcast.net> Thursday, May 17, 2018 10:27 AM Klassen, Rachelle 'Barbara Johns; 'MAZZONE BARNEY/JACKIE'; 'Cliff Lindgren'; 'Don Swarm; 'Fred Johns'; 'Diane Waldron'; 'Harold Klempner'; 'Jim Shuler; jfilipekl@wi.rr.com; 'Jim Young'; 'Len Hall'; 'Mark Plinneke'; markspencer110@comcast.net; 'Neddy Thompson'; phshelley@gmail.com; 'Ran Hoth'; 'Scott Trollope'; 'Steve Coulter'; Aylaian, Lauri; Alvarez, Martin; Hermann, David; Stanley, Jane; Evans, Donna; susanmarieweber@earthlink.net; 'Gina Nestande'; Kelly, Kathleen; Jonathan, Sabby; Harnik, Jan; yvetteidavis@gmail.com; Kwebb7@q.com; Jeff & Shawn Davis; Rob & Luanne Engh; 'Christine Fahey'; Tom Walton; 'Dennis Brealey'; vmarino@kmir.com; Nicole.Hayden@desertsun.com Benchmarking Analysis comparing Palm Desert DWGR Resident Golf Program & Financials to San Diego Municpal Golf Course Benchmarking Analysis San Diego and Palm Desert.pptx; San Diego fy_2017_golf division_budget.pdf; Charter PDF.pdf; DWGR March '18 Financials.pdf; KemperSports.pdf; Century Golf Partners.pdf; San Diego Golf Business Plan.pdf; Copy of Res Dynamic Pricing Chart (2).xlsx; Copy of Res Dynamic Pricing Chart.xlsx I will not be able to attend the study session on DWGR on March 24th so please include this email along with the supporting attachments as part of the public record, Thanks again, Kevin In my prior life as a business consultant, Director of Total quality and VP of Human Resources, I have conducted and participated in numerous benchmarking studies for best in class standards. It should have been the first task given to the task force in reviewing DWGR resident program policies in order to establish goals and develop action plans before diving into solutions. For over a decade Palm Desert has held up San Diego and Torrey Pines as a prime example of a nationally recognized world class resident golf program. Under the heading, better late than never, attached is a PowerPoint presentation comparing San Diego's plan, policies and financials to Palm Desert's. The sources used are the public published records of the two cities and information presented to the task force by Palm Desert city staff and Kemper. The executive summary is that a considerable gap exists between the two cities today in terms of resident benefits and financial results. The only two areas Palm Desert currently leads San Diego is revenue per course by almost $1 million and equal to slightly lower resident pricing at the current $50 rate. However if the Kemper proposed and the Mayor's sponsored Dynamic pricing model for resident pricing is enacted, Palm Desert will fall significantly behind in this area as well. It should be also noted that while Palm Desert has higher budgeted revenue, it's budgeted net income is a half million lower than San Diego. The reason for this disparity is that Palm Desert has much higher operating costs and higher management fees. 1 To: Rachelle Klassen Cc: Barbara Johns; MAZZONE BARNEY/JACKIE; Cliff Lindgren; Don Swarm; Fred Johns; Diane Waldron; Harold Klempner; Jim Shuler; jfilipekl@wi.rr.com; Jim Young; Len Hall; Mark Plinneke; markspencer110@comcast.net; Neddy Thompson; phshelley@gmail.com; Ran Hoth; Scott Trollope; Steve Coulter; Lauri Aylaian; Martin Alvarez; David Hermann; Jane Stanley; devans@cityofpalmdesert.org; susanmarieweber@earthlink.net; Gina Nestande; Kathleen Kelly; Sabby Jonathan; Jan Harnik Subject: Re: Response to E-mails Regarding Desert Willow Resident Rate Obviously, we are not happy with Martin's letter to us received yesterday from the City Clerk. Not only is it disingenuous, is completely ignores opportunities to find ways to minimize the resident disparity between the two cities. Instead, it is more of the same resistance we have seen for over six years to protect the status quo, which is failing all of us. When the staff completely ignores the fact that from 2012 - 2017 the Average Cost Per Round has gone up 6.8% while the Average Dollar Per Round produced has only risen 2% and then writes such an email, we clearly see the cause of the current state of Desert Willow. Paragraph 16. Average Cost Per Round — 2012 = $74 2017 = $79 un 6.8%. Facts: ADPR produced in 2012 vs 2017 — PUBLIC RACK $100 - $102 up 2%. RESIDENT RACK $45 - S50 uv 11 %. LOYALTY RACK down -4%, TOTAL RACKS $85 - $87 uv 2%, Wonder why the City can't protect some reasonable level of resident access while achieving revenue neutral results? The ACPR from 2012 - 2017 has gone up 6.8%. The ADPR is only up 2%. Note resident rack is up 11%. Kemper is under pricing the other racks with their dynamic pricing strategy, well below their ADPR budgets this year, while reporting a 11,700 round increase 9-months YTD across the other four racks. And staff spends time writing these kind of CYA emails. Wonder why we have such a disparity? On May 14, 2018, at 10:48 AM, rklassen@citvofnalmdesert.ora wrote: Dear Palm Desert Residents: Thank you, again, for your e-mails regarding Desert Willow. In reply to those e-mails, the attached letter is provided. If I can be of any further assistance, please let me know. 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PROVIDE A DETAILED MANAGEMENT FEE PROPOSAL BASE FEE $300,000 annually - Same fee for past 19 years Term Three Years with (2) one year options INCENTIVE FEES Adjusted Gross Revenue 4% of revenue from $7.5MM to $10MM 5% of revenue over $10MM $25,000 if we achieve a Loyalty Index Score above the National Premium Facility Bench- mark as measured in the Annual National Golf Foundation Golfer Survey Program Achieving Fiscal Year Budget $25,000 if we acheive the approved annual Fiscal Year EBITDA budget Customer Service ALTERNATIVES 20 mile non -compete $500k Cash Reserve Balance Base fee reduced by $50,000 if ammended and removed Base fee reduced by $50,000 if ammended and removed There are no additional fees for national or regional support executives, services or associated expenses. All discounts and rebates ore credited directly back to the property. FINANCIAL INFORMATION As a privately held company, KemperSports does not provide financial information in a public RFP process due to confidentiality concerns. However, we will make available our company's CFO, Jim Lawler to review appropriate financial information with City representatives if requested. BANK REFERENCES BMO Harris Bonk, NA ATTN - Joseph Jacob, Senior Vice President 312-461.3608 111 West Monroe Street - 5W Chicago, IL 60603 Wells Fargo Equipment Finance ATTN - Jennifer L. Gaalswyk, Relationship Manager Golf & Turf Division 515-557-4442 800 Walnut Street Des Moines, IA 50309 MAC N0005-044 Jennifer. L.Gaalswyk@a wellsfa rgo.cam i 48 KemperSports 11 DESERT WILLOW GOLF RESORT REFERENCES CHAMBERS BAY University Place, WA Client: Main Contact: Email: Phone: Secondary Contact: Phone: Email: Address: Website: Initial Contract Date: Pierce County, WA Mr. Tony Tipton - Director of Pierce County Parks & Recreation ttipton©co. pierce.wa.us 253-798-4250 Brion Ziegler - Director Pierce County Public Works 253-798-7250 brionziegler@co.pierce.wa.us 6320 Grandview Drive West University Place, Washington 98467 www.cha m bersbaygalf.com 2007 Scope of Services: KemperSports was selected in a national search to provide pre -development planning and budgeting as well as pre -opening marketing for this $20 million dollar project. KemperSports transitioned to full operations management of the golf course and surrounding park facilities when the course and public space opened in June 2007. Selected by the United States Golf Association to host the 2010 U.S. Amateur end 2015 U.S. Open, Chambers Bay has quickly established itself as one of the top destination courses in the country. Chambers Bay boosts $1.9M in overall Food and Beverage revenues and does have done as many as 39,000 rounds, but will play 32,500 in 2016 rounds annually. Awards & Accolades: • • #2 America's Best Municipal Courses - GolfWeek Magazine (2015) #30 Best Modern Courses - GolfWeek Magazine (2016) American's Best New Public Course for 2008 - Golf Digest Produced over $130MM in economic development for Pierce County in hosting 2015 U.S. Open �. 47 KemperSports 11 DESERT WILLOW GOLF RESORT CRITERIA"D" ro Management Fee Posal P 0 A. PROVIDE A DETAILED MANAGEMENT FEE PROPOSAL ' There ore no additional fees For national or regianai support executives, services or associated expenses. All discounts and rebates are credited directly bock to the property. FINANCIAL INFORMATION As a privately held company, KemperSports does not provide financial information in o public RFP process due to confidentiality concerns. However, we will make available our company's CFD, Jim Lawler to review appropriate financial information with City representatives if requested. BANK REFERENCES BMO Harris Bank, NA ATTN - Joseph Jacob, Senior Vice President 312-4613608 111 West Monroe Street - 5W Chicago, IL 60603 Wells Fargo Equipment Finance ATTN - Jennifer L. Gaalswyk, Relationship Manager Goff & Turf Division 515-557-4442 800 Walnut Street Des Moines, IA 50309 MAC N0005-044 JennifertGaalswyk@wellsfargo.com alswyk[Nwellsfargo.com 5 Klassen, Rachelle From: Michael Borders <michael.borders@live.com> Sent: Thursday, May 17, 2018 8:29 PM To: CityhallMail Subject: Municipal course dues increase Good evening Mrs. Harnick, I heard from somone that there is a meeting to discuss increasing the resident rates by nearly 200%. I called the City Clerk's office on Monday to check in on this and was told I would receive a call back, but have yet to hear from anyone. Thank you for your help on this. Michael Borders Sent from my Sprint Samsung Galaxy S® 6. 1 c,cc, Klassen, Rachelle From: Klassen, Rachelle Sent: Thursday, May 17, 2018 3:40 PM To: Barbara Johns; Butch and Jackie Mazzone; Cliff Lindgren; Don Swarm; Fred Johns; Gene Hunt; Glenn and Diane Waldron; Harold Klempner; James and Bette Shuler; James Filipek; Jim Young; 'Ken Boone Jr; Leonard and Donna Halllenhall3@gmail.com; 'margiemurphy'; Mark Plinneke; Mark Spencer; 'melanie fernandez'; Neddy Thompson; Paul Shelley; Ran Hoth; Scott Trollope; Steve Coulter; Tom Walton Cc: Aylaian, Lauri; Robert W. Hargreaves (Robert.Hargreaves@bbklaw.com); Alvarez, Martin; Moore, Janet; Hermann, David; Hernandez, Anthony Subject: Desert Willow Golf Resort Ad Hoc Resident Task Force Recommendations - City Council Study Session 5/24/18 Attachments: 05-24-18-cc-ss-dwgr-signed.pdf; 05242018 - STUDY SESSION - DWGR Resident Task Force.pdf Good day, Palm Desert Residents. Following up from the e-mail earlier this week, please see attached: 1) Notice of City Council Study Session —Scheduled for Thursday. Mav 24, 2018. at 2:00 D.M. in the Palm Desert Civic Center Council Chamber. 2) Packet for the Study Session, which has been distributed to City Council in preparation for the Study Session. Study Session is open to the public. Note, immediately following the one -hour Study Session, however, the regular City Council, Successor Agency, and Housing Authority Meetings for May 24, 2018, will convene at 3:00 p.m. in the Council Chamber. If I can be of any further assistance, please let me know. (Note: City Council is blind -copied on this e-mail.) Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklossen@cityofpalmdesert.org 73-510 Fred Waring Drive. Palm Desert. CA 9226D-2578 www.cityofpalmdesert.org Install the Palm Desert In Touch app to stay in touch with your community Android Apple Mobile Web 1 c;-7 Hermann, David From: Hermann, David Sent: Friday, May 18, 2018 8:45 AM To: 'rricci1940@aol.com' Cc: Alvarez, Martin Subject: RE: City of Palm Desert: Website Contact Us Form Submission Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf Mr. Ricci, Thank you for contacting the City of Palm Desert. What the City is considering is not a proposal to raise resident rates, it is a proposal to implement a new rate system, called dynamic pricing. Dynamic pricing would reduce resident rates at some times of the year while ensuring that residents have an opportunity to play at peak times (an option we are told that residents currently don't enjoy) at a rate that, while potentially higher than the current $50 resident rate, would be significantly discounted from the rates that non-residents receive. Dynamic pricing would benefit residents much more than visitors. Visitors' ability to play Desert Willow is entirely limited by the timing and length of their stay in Palm Desert. In contrast residents live here and have a broad range of choices about when they will play. Dynamic pricing would empower residents giving them the ability to choose a tee time and discounted rate that works best for their schedule and budget. You might have heard about a $130 rate. Under one scenario, this is the rate that a resident might pay to golf at 10 a.m. in peak season when there is lots of demand from visitors to play Desert Willow at rates as high as $185. If a residents' tee time was earlier or later in the day, the rate would be much lower and residents would have the same opportunity to book rounds well in advance, just like visitors. In off peak times, the resident green fees could be as low as $16 under dynamic pricing. Attached is a letter from the City's Economic Development Director, Martin Alvarez, that includes more detailed information. If you have additional questions, please feel free to contact me or Mr. Alvarez, who is copied on this message. Thank you again for sharing your time and concerns with the City and have a wonderful day! Sincerely, David Hermann Public information Officer Ph: 760.776.6411 Direct: 760.776.6380 dhermann@cityofpalmdesert.org David Hermann Public Information Officer Ph: 760.776.6411 Direct: 760.776.6380 dhermann@cifyofpormdesert.org Frorn: webmaster@cityofpalmdesert.org [mailto:webmaster@cityofpalmdesert.org] Sent: Thursday, May 17, 2018 5:42 PM 1 To: Information Mail <info@cityofpalmdesert.org> Subject: City of Palm Desert: Website Contact Us Form Submission A new entry to a form/survey has been submitted. Form Name: Date & Time: Response #: Submitter ID: IP address: Time to complete: Survey Details Page 1 Contact Us 05/17/2018 5:42 PM 1032 11630 215.170.13 7.81 8 min. , 32 sec. Your Contact Information First Name Email Address Address City ZIP Code I am a: (o) Palm Desert Resident Richard racci1940C7aol.com 74102 via venezia Palm desert 92260 Last Name Phone Number Address 2 State Ricci 3109200783 Not answered California Comments or Concerns: Dear mr mayor & council members I find it appalling that you are attempting to raise the price of golf for residents. Most of us are retired living on a fixed pension. What you are proposing is out of the question 1 could understand a 10 % increase & no more than that Why are you he'll bend on doing this . You represent the citizens so start acting responsible Regards Richard Ricci Thank you, City of Palm Desert This is an automated message generated by the Vision Content Management SystemTM. Please do not reply directly to this email. 2 Klassen, Rachelle From: Hermann, David Sent: Friday, May 18, 2018 8:33 AM To: 'Bricci2009@aol.com' Cc: Alvarez, Martin Subject: RE: City of Palm Desert: Website Contact Us Form Submission Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf Dear Ms. Ricci, Thank you for contacting the City of Palm Desert. I want to reassure you that the City highly values all its residents and appreciates those, like you, who enjoy playing golf at Desert Willow. What the City is considering is not a proposal to raise resident rates, it is a proposal to implement a new rate system, called dynamic pricing. Dynamic pricing would reduce resident rates at some times of the year while ensuring that residents have an opportunity to play at peak times (an option we are told that residents currently don't enjoy) at a rate that, while potentially higher than the current $50 resident rate, would be significantly discounted from the rates that non-residents receive. Dynamic pricing would benefit residents much more than visitors. Visitors' ability to play Desert Willow is entirely limited by the timing and length of their stay in Palm Desert. In contrast residents live here and have a broad range of choices about when they will play. Dynamic pricing would empower residents giving them the ability to choose a tee time and discounted rate that works best for their schedule and budget. You might have heard about a $130 rate. Under one scenario, this is the rate that a resident might pay to golf at 10 a.m. in peak season when there is lots of demand from visitors to play Desert Willow at rates as high as $185. If a residents' tee time was earlier or later in the day, the rate would be much lower and residents would have the same opportunity to book rounds well in advance, just like visitors. In off peak times, the resident green fees could be as low as $16 under dynamic pricing. Attached is a letter from the City's Economic Development Director, Martin Alvarez, that includes more detailed information. If you have additional questions, please feel free to contact me or Mr. Alvarez. Thank you again for sharing your time and concerns with the City and have a wonderful day! Sincerely, David Hermann Public Information Officer Ph: 760.776.6411 Direct: 760.776.6380 dhermann@cityofpalmdesert.org From: webmaster@cityofpalmdesert.org [mailto:webmaster@cityofpalmdesert.org] Sent: Thursday, May 17, 2018 6:05 PM To: Information Mail rinfo@cityofpalmdesert.org> Subject: City of Palm Desert: Website Contact Us Form Submission A new entry to a form/survey has been submitted. Form Name: Contact Us 1 Date & Time: Response #: 5ubmitter ID: IP address: Time to complete: Survey Details Page 1 05/17/2018 6:04 PM 1033 11631 216.170.137.81 21 min. , 33 sec. Your Contact Information First Name Email Address Address City ZIP Code I am a: (c) Palm Desert Resident Comments or Concerns: Beverly Bricci2009@aol.com 74102 Via Venezia Palm ❑esert 92260 Last Name Phone Number Address 2 State Ricci 3109800671 Not answered California I am writing regarding the proposed increase to resident rates at Desert Willow Golf Resort. I am not sure the purpose behind the large increase other than to eliminate local residents from golfing at Desert Willow. Penalizing local residents who support the resort seems to be counter intuitive. Most residents who use the resort are retired and are on fixed incomes. An increase to the degree you a r ,1 ..f:r, ing would eliminate many local residents from golfing at Desert Willow. Why target a group of people who find it hard enough to even get a tee time during the "season?" I can fully support a 10% increase and would gladly pay it to retain the ability to golf at Desert Willow. Please don't penalize local residents who support this community. Thank you, City of Palm Desert This is an automated message generated by the Vision Content Management System'"". Please do not reply directly to this email. 2 Klassen, Rachelle From: Klassen, Rachelle Sent: Thursday, May 17, 2018 2:16 PM To: 'gene@heliotex.com' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony; Hermann, David; Evans, Donna; Stanley, Jane Subject: FW: Letter to each of the City Council Members Attachments: Letter to Palm Desert 5-16-18.docx; DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf Dear Mr. Hunt: Thank you for your letter, which, by way of my reply here, is being forwarded to City Council (blind copy) and appropriate City staff for their consideration. In response, the attached letter from City Director of Economic Development Martin Alvarez is also attached. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: gene@heliotex.com [mailto:gene@heliotex.com] Sent: Thursday, May 17, 2018 1:02 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Letter to each of the City Council Members Hello, I have attached a letter that I would like to see distributed to each of the City Council members. I have been told to email this letter to you and that you will see that each council member gets a copy. I appreciate you assistance. Please return the email receipt to me so that I will know that you received the email. Thank you, Gene Hunt 77877 Mountain View Palm Desert, CA 92211 gene Pheliotex.com Cell 760-835-7848 1 May 16, 2018 Palm Desert City Hall - City Clerk 73-510 Fred Waring Drive Palm Desert, CA 92260 To: Palm Desert City Council Members, My name is Gene Hunt and I am a resident of Palm Desert. I also run a small business here in the City. I have built two homes in Palm Desert. Prior to that, I worked for Government for 31 years and handled budgets in the millions of dollars. I have been playing at Desert Willow from 1997 and continue today. Since that time, 1 have discussed the issues with other members of the Men's club as well as some of the former general managers of Desert Willow Golf Club. I was a member of the Men's' Club since its inception, but quit several years back given the continual degradation of the benefits given to members. During the last twenty years, particularly in the last ten, I have watched Kemper Sport make every effort to denigrate City residents and do everything within their power to reduce our participation at Desert Willow Golf Course. It is my understanding that Kemper Sports has now proposed the City allow them to raise resident rates from $50.00 a round to $130.00 a round, an increase of 260%. We are already second- class citizens, only being allowed to make a tee time three days in advance. I find that I am disappointed and baffled why City staffers are allowing City residents to be made to be the scapegoats for what apparently is mismanagement or incompetence by Kemper Sports. Since there is no specific virtue in doing things the way they have always been done, why has the City allowed Kemper Sports to continue to operate the Desert Willow Golf Course if they are doing so at a loss, as I am told? If they are operating at a loss to the City, why is the City paying them uncontracted bonuses (I am told) and also allowing them to give away thousands of free rounds to people they consider VIP's? Since we find that several of the City Staffers are close personal friends of Kemper Sports employees, why are they not being replaced by unbiased employees to evaluate this issue? Collusion, incompetence or flat out laziness is typically the explanation for not doing a good job of investigating alternatives. However, having been the project manager on many diverse government projects, I have found that the main problem typically is failure to define the problem correctly. In this case, in order to deflect responsibility, Kemper Sports is trying and apparently succeeding in convincing City staff that residents are the problem. I'm sorry, but if anyone thinks that is the case, then they need to be replaced, whether elected or civil service. City residents are NOT the problem. Mismanagement or incompetence is the problem. When the large restaurant opened at Desert Willow, I asked the Kemper manager at that time, Rodney Young, 1 believe was his name, whether Desert Willow was now a golf course with a restaurant or a restaurant or a restaurant with a golf course. He thought fora moment and replied that he was not sure. I'm sorry, that is a big problem. Fortunately, the Restaurant budget is separate. There area lot of qualified companies in the U.S. who can run a golf course. This contract should be put out to bid, without restrictive qualifiers that tip the scales in favor of Kemper Sports. Let Kemper Sports complete with other companies on an equal basis, no geographical limitations or other requirements which favor Kemper Sports. Why that is being allowed. I am extremely disappointed in the City's handling of this issue. I never thought that Kemper Sports would be able to successfully scapegoat residents as the problem, nor that the City would actually entertain it as the reason. I would point out to the City that it has a large swimming pool, City sports Center, dog parks and playfields. I do not use any of them. However, even though many of the users of the pool for example -1.3 Palm Desert City Hall - City Clerk Page two of two May 16, 2018 are NOT City residents and the fact that a great percentage of City residents have their own pools, I understand the City subsidizing the Aquatic Center. In the 2016-2017 City Budget, the Aquatic Center loss was 4.4 times the loss of the Desert Willow Golf Course. My question is, what does the City intend to do to eliminate this loss? Will the City be raising the user fees for residents and non-residents by 260% or more? Or, as what appears to be the case, are residents using the Golf Course being penalized while other residents are not? Yet there is a suggestion is that residents using the golf course are somehow getting away with something? Why is that? Collectively we own the course. The answer appears to be that we have a private for -profit vendor involved with the golf course who is trying to increase his return. Whereas the Aquatic Center is operated by the City. What I would like to see 1. I would like the City to recognize this "red herring" for exactly what it is, a poorly disguised effort to deflect responsibility for mismanagement or incompetence. 1 believe that the City should represent and support its residents, not Kemper Sports. The City should not allow the rates to be raised for residents unless you are willing to raise user rates for all City services proportionately to cover losses. Are you willing to raise user rates for the pool, and add user fees for the sports center, ball field usage, permits etc. by 260%? If not, why do you feel it is appropriate to single out residents who use the City's golf course? D❑ not allow Kemper Sports to raise rates. Please support the residents, not the for -profit Sporting Company. 2. Discontinue paying uncontracted bonuses to Kemper Sports particularly if they cannot run the golf course at a profit for the City. Surely there is a company out there who can. 3. Put future management of the course out for competitive bids every two years. 4. Do not allow the "dynamic pricing" scheme which is simply a way to extort yet more money from residents. If a minor raise "needs" to be done, it should be a fixed rate. In closing, you are our representatives. Please support your residents and ensure that the problem is correctly defined and addressed. Surely you are not asking residents to increase their cost by 260% in order to oav Kemper Sports a bonus. Thank you, c 7 ' Gene Hunt 77877 Mountain View Palm Desert, CA 92211 760-835-7848 gene@heliotex.com PS: Please distribute copies to all City Counsel members and the Mayor. Please email me back or call to confirm receipt. Klassen, Rachelle From: Klassen, Rachelle Sent: Thursday, May 17, 2018 8:13 AM To: 'margiemurphy' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Hernandez, Anthony; Evans, Donna; Stanley, Jane Subject: RE: Desert Willows Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf Dear Ms. Murphy: Thank you for your a -mail, which, by way of my reply here, is being forwarded to City Council (blind copy) and appropriate City staff for their consideration. Attached in response is a copy of a letter from City Director of Economic Development Martin Alvarez. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: margiemurphy [mailto:margiemurphy@earthlink.net] Sent: Wednesday, May 16, 2018 7:44 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: FW: Desert Willows From: margiemurphy <mareiemurohvPearthlink.net> Sent: Monday, May 14, 2018 8:18 PM To:'rkllassen@cityofpalmdesert.org' <rkllassenPcitvofpalmdesert.org> Subject: Desert Willows Here we go again! This happened 3 years ago where the rates for the PD residents were increased but luckily we got it back to the $49 dollars. What is the difference in Indian Wells & Desert Willows, it should be the same rate!! Desert Willows is the best, & I mean the best, public course in the entire valley! They have an outstanding Staff, everyone is accommodating to you. I come to Palm Desert for the golf, Jan -May (from Washington State) for 20 years now, spend a lot of $'s but if you increase the rates you are impacting a lot of snow birds & most of all the Canadians, whose dollar is not as strong as the US, & they are really the greatest!! I hope my voice can be heard as the increase will impact a lot of people & visitors to Palm Desert! Margie Murphy 360-301-4047 1 Klassen, Rachelle From: Klassen, Rachelle Sent: Wednesday, May 16, 2018 12:04 PM To: 'melanie fernandez' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Hernandez, Anthony; Evans, Donna; Stanley, Jane Subject: RE: increased resident fees at Desert Willow Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf Dear Mr. and Mrs. Fernandez: Thank you for your e-mail, which, by way of my reply here, is being copied to City Council (blind copy) and appropriate City staff for their consideration. Additionally, please see the attached letter from the City's Director of Economic Development in response. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpolmdesert.org From: melanie fernandez [ma ilto:melbelle209@gmail.com] Sent: Tuesday, May 15, 2018 2:30 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: increased resident fees at Desert Willow To the Palm Desert City Council Members: 1 am writing with regards to the proposed changes to the Desert Willow resident fee. We purchased our home here 10 years ago. One amenity that swayed us into buying here was the resident fee at Desert Willow and the Champions Clubs that were offered. We are both avid golfers. I played in the Champions Club for a few years, then the price to join the club skyrocketed. In addition the resident fee went from $48 to $50.00. If you had to cancel last minute, your credit card was charged the greens fee. It's obvious that the management at Desert Willow does not want residents playing at a reduced fee unless the weather is too hot and there are no tourist to gouge with high rates. The process to book times as a resident is manipulative. Three days in advance, online and 48 hour cancelation notice. I have followed the City Council meetings and the so called "bid" process in which Kemper received the go ahead again- in spite of residents' complaints. t So, to me you have two options. Just become a regular golf course offering no discounts to residents. Let all the reactors know that this is no longer a selling point. If any local taxes or fees go to Desert Willow, then end them. Or, you could do the right thing, honor your original agreement making Desert Willow an amenity to the residents here. Melanie and Juan Fernandez Palm Desert Residents 2 Klassen, Rachelle From: Tom Walton <twalton@me.com> Sent: Tuesday, May 15, 2018 9:04 AM To: Klassen, Rachelle Cc: Barbara Johns; MAZZONE BARNEY/JACKIE; Cliff Lindgren; Don Swarm; Fred Johns; Diane Waldron; Harold Klempner; Jim Shuler; jfilipekl@wi.rr.com; Jim Young; Len Hall; Mark Plinneke; markspencerll0@comcast.net; Neddy Thompson; phshelley@gmail.com; Ran Hoth; Scott Trollope; Steve Coulter; Aylaian, Lauri; Alvarez, Martin; Hermann, David; Stanley, Jane; Evans, Donna; susanmarieweber@earthlink.net; Gina Nestande; Kelly, Kathleen; Jonathan, Sabby; Harnik, Jan Subject: Re: Response to E-mails Regarding Desert Willow Resident Rate Obviously, we are not happy with Martin's letter to us received yesterday from the City Clerk. Not only is it disingenuous, is completely ignores opportunities to find ways to minimize the resident disparity between the two cities. Instead, it is more of the same resistance we have seen for over six years to protect the status quo, which is failing all of us. When the staff completely ignores the fact that from 2012 - 2017 the Average Cost Per Round has gone up 6.8❑% while the Average Dollar Per Round produced has only risen 2% and then writes such an email, we clearly see the cause of the current state of Desert Willow. Paragraph 16. Average Cost Per Round— 2012 = $74 2017 = $79 un 6.8❑%. Facts: ADPR produced in 2012 vs 2017 — PUBLIC RACK $100 - $102 up 2%. RESIDENT RACK $45 - S50 up 11 %.. LOYALTY RACK down -4%, TOTAL RACKS $85 - $87 up 2%. Wonder why the City can't protect some reasonable level of resident access while achieving revenue neutral results? The ACPR from 2012 - 2017 has gone up 6.8%. The ADPR is only up 2%. Note resident rack is up 11%. Kemper is under pricing the other racks with their dynamic pricing strategy, well below their ADPR budgets this year, while reporting a 11,700 round increase 9-months YTD across the other four racks. And staff spends time writing these kind of CYA emails. Wonder why we have such a disparity? On May 14, 2018, at 10:48 AM, rklassen a citvofnalmdesert.ore wrote: Dear Palm Desert Residents: Thank you, again, for your e-mails regarding Desert Willow. In reply to those e-mails, the attached letter is provided. If I can be of any further assistance, please let me know. (Note: City Council is blind -copied on this e-mail.) <image002.jpg> Rochelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org <image003.jpg> www.cityofpal mdesert,org<image004.jpg> <ima ge005.jpg> i J ■ Install the Palm Desert In Touch app to stay in touch with your community Android Apple Mobiie Web <DWGR-Resp to E-mails-Resdt Rate-May11-2418.pdf> 2 Hermann, David From: Hermann, David Sent: Monday, May 14, 2018 1:31 PM To: 'gaylefoote5@gmail.com' Cc: Alvarez, Martin Subject: RE: Web Site Inquiry Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf Dear Mr. and Mrs. Foote, Thank you for contacting the City of Palm Desert. Please see the attached letter from Palm Desert Economic Development Director Martin Alvarez. The letter was written in response to the misinformation that is being circulated regarding the resident discount at Desert Willow Golf Resort. Should you have additional questions, please feel free to contact Mr. Alvarez via email (he is copied on this message) or by phone at 760-346-0611, ext. 467. Thank you again for sharing your time and concerns with the City and have a wonderful day. Sincerely, David Hermann Public Information Officer Ph: 760.776.6411 Direct: 760.776.6380 dhermann@cityofpalmdesert.org Original Message From: gaylefoote5@gmail.com [mailto:gaylefoote5@gmail.com] Sent: Friday, May 11, 2018 7:35 PM To: Information Mail <info@cityofpalmdesert.org> Subject: Web Site Inquiry Greetings, In February of this year my husband and I purchased a home in Palm Desert. We looked at homes in all the cities and were torn between Indian Weils and Palm Desert. The tie breaker for us to purchase in Palm Desert was Desert Willow Golf Course and the great deal offered to residents of your city. It has been brought to our attention that this discount is in jeopardy during the prime golfing months when most of us snowbirds are living in our homes there. To have the rate change from $50 to $130 per round would be prohibitive for us as well as most retired people. This discount is a huge perk for being a resident and eliminating it would make the surrounding cities far more appealing to potential buyers. I know we would have purchased in Indian Wells if this discount did not exist. We ask that you give this change great consideration and vote against any change that would take this benefit away from your residents. Sincerely, Jim and Gayle Foote i Klassen, Rachelle From: Klassen, Rachelle Sent: Tuesday, May 15, 2018 8:43 AM To: 'Ken Boone Jr' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Stanley, Jane; Evans, Donna Subject: RE: Desert Willow Golf Attachments: DWGR-Resp to E-mails-Resdt Rate-May11-2018.pdf Dear Mr. Boone: Thank you for your a -mail, which, by way of my reply here, is being forwarded to the City Council (blind copy) and appropriate City staff for their consideration. Attached here for your consideration is a response from the City's Director of Economic Development Martin Alvarez. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Ken Boone Jr [mailto:kwboonejr@gmail.com) Sent: Tuesday, May 15, 2018 6:35 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Desert Willow Golf Dear Rachelle Klassen, 1 am a resident of Palm Desert and a long time member of the Desert Willow Champions Club. All of us as members have supported Desert Willow golf and play in our Wednesday golf event every week. I live in Palm Desert because of the ability and privilege of being part of this wonderful opportunity of golf at a home owners discount. We support the restaurant and golf shop most every week. We invite non residents to play with us through out the season on other dates besides the Wednesday Champions Club date of play. With that said, I truly think that many of us live and support the golf course and promote other that are non residents to play and spend there money at Desert Willows. Please continue to give us this discounted rate for all the reasons I have stated. We all pay city taxes and have enjoyed the benefit of Desert Willow Golf by living in Palm Desert. The reward to the City of Palm Desert for us promoting Desert Willow golf far out ways the privilege we have of playing on Wednesday morning at a discounted rate to its residents. Sincerely, Ken Boone 332 Vista Royale Dr. Palm Desert, CA 92211 760-668-5131 i Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, May 14, 2018 2:58 PM To: 'Fred Johns' Cc: Aylaian, Lauri; Alvarez, Martin; Carney, Lori; Hermann, David; Moore, Janet; Evans, Donna; Stanley, Jane Subject: RE: Desert Willow Resident Fees Underfunded Pension debt grows to $132 million Thank you, Mr. Johns. (Note: City Council is blind -copied on this e-mail.) Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cifyofpalmdesert,org From: Fred Johns(mailto:nevadajohns@prodigy.net] Sent: Monday, May 14, 2018 2:33 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Desert Willow Resident Fees Underfunded Pension debt grows to $132 million Ms. Klassen: Thank you for sending me Mr. Alvarez's response to my email regarding Desert Willow. His financial analysis of the profitability of Desert Willow is myopic and does not focus on the total revenue and expenses related to Desert Willow. As you are aware, it is much broader and does not take into account many related revenue -generating aspects. To focus on more fees from the residents of Palm Desert when they are already paying substantial property and sales taxes which supports overly generous pensions and Cadillac healthcare benefits is an insult to its citizens. Who do you think pays all these excessive debt -ridden benefits...its residence of course. I think if you want to take a look at Desert Willow, the council should certainly take a HARD LOOK at these out -of -control expenses. Citizens are sick and tired of the one-way street. Government is always increasing fees or taxes instead controlling costs. When is it going to stop? If you want to control costs why not start with unfunded pension liabilities? That said, the city's pension plan is among the lowest funded in the region at about 69 percent. Below are the local data for 2012. I am researching more current data. Local agencies are just learning the latest information about their unfunded liabilities. Here's where they stood in 2012, the latest complete profile provided by CaIPERS: 1. Palm Springs: $97,018,122 2. Coachella Valley Water District: $88,366,267 3. Indio: $41,366,565 4. Palm Desert: $33,984,599 t 5. Cathedral City: $29,295,448 6. Rancho Mirage: $11,626,857 7. Desert Water Agency: $10,453,411 8. Coachella: $9,640,464 9. La Quinta: $7,362,339 10. Desert Hot Springs: $6,700,950 There are many retirees in Palm Desert who are CPA's, Actuaries and Lawyers who have plenty of time and would he more than willing to assist in any comprehensive studies. Thank you, Fred Johns 2 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, May 14, 2018 10:49 AM To: Barbara Johns; Butch and Jackie Mazzone; Cliff Lindgren; Don Swarm; Fred Johns; Glenn and Diane Waldron; Harold Klempner; James and Bette Shuler; James Fiiipek; Jim Young; Leonard and Donna Halllenhall3@gmail.com; Mark Plinneke; Mark Spencer; Neddy Thompson; Paul Shelley; Ran Hoth; Scott Trollope; Steve Coulter; Tom Walton Cc: Aylaian, Lauri; Alvarez, Martin; Hermann, David; Stanley, Jane; Evans, Donna Subject: Response to E-mails Regarding Desert Willow Resident Rate Attachments: DWGR-Resp to E-mails-Resdt Rate-Mayll-2018.pdf Dear Palm Desert Residents: Thank you, again, for your e-mails regarding Desert Willow. In reply to those e-mails, the attached letter is provided. If I can be of any further assistance, please let me know. (Note: City Council is blind -copied on this e-mail.) Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org www.cityofpal mdesert.arg ° O Install the Palm Desert In Touch app to stay in touch with your community Android Apple Mobile Web 1 CITYOF PULMO[S[RT 73-510 FRED WARING DRIVE PALM DESERT, CALIFORNIA 92260-2578 TEL: 760 346-06i inro@lcityorpalmdesert.org May 11,2018 Via E-Mai! Dear Palm Desert Resident: Thank you for contacting the City of Palm Desert and for your input regarding resident rates at Desert Willow Golf Resort. Regarding green fees at Desert Willow, no one is proposing to raise the resident rate from $50 to $130. This is not just misleading, it is fa€se. Since Desert Willow's first course opened 20 years ago, the resident rate has only changed by $5 from $45 to $50. In that time, resident play as a share of overall rounds at Desert Willow has remained relatively constant. About one in four rounds at Desert Willow is played at the resident rate. Revenues from resident play have also remained steady at about 15 percent of total resort revenues. What has motivated the discussion about changing the resident rate is Desert Willow resident users, who have complained about a lack of access to Desert Willow's two courses during peak season. Some have also complained about the difficulty of obtaining a Desert Willow resident card. To address this, a task force made up of Palm Desert residents met over several months to consider alternatives. In the end, the task force unanimously voted to make getting a Desert Willow resident card easier so that all Palm Desert property owners could obtain one. A majority of the task force also recommended dynamic pricing as a solution to the problem of limited resident access during times of peak demand. Following a capitalistic, market driven model, dynamic pricing reduces green fees when demand is low and increases green fees when demand is high. Under the proposed dynamic pricing system at Desert Willow, residents would have the same ability to book tee times in advance as customers paying full price. The difference is that residents would receive a significant discount off Desert Willow's regular rate. The amount of that discount has not yet been determined by the City Council, but the task force recommended a range of between 30 percent and 60 percent off regular green fees, depending on the season. This would ensure that residents have equal access at all times while ensuring that hundreds of people paying $50 a round to play Desert Willow during peak season do not displace people who now pay $185 for the same round, putting the golf resort's fiscal health in jeopardy. mNtivvN AlfT LEvMEv Palm Desert Resident Page 2 May 11, 2018 There have been suggestions that Indian Wells residents enjoy greater benefits from their municipal golf course than Palm Desert residents do from Desert Willow Golf Resort. In response, it is important to note that Palm Desert and Indian Wells are very different communities. Both cities offer amenities to their residents. Indian Wells offers its roughly 5,400 residents tickets to the BNP Paribas Open tennis tournament and to other events sponsored or organized by the city. Palm Desert provides its more than 50,000 residents with a public library, a state of the art Aquatic Center, and a dozen parks, including Civic Center Park, located throughout the community. Both cities offer their residents discounted rates to play their municipal golf courses. A significant difference is that Desert Willow Golf Resort operates without the need for tax dollars that pay for other core services such as police and fire protection. This is not the case in Indian Wells, where the City has subsidized Indian Wells Golf Resort operations with hundreds of thousands of dollars in general fund money. When it was conceived some 25 years ago, Desert Willow was intended to serve two purposes. The first goal was to create an economic generator for the City, stimulating resort development in the open desert that then made up most of the community's north end. Desert Willow's second purpose was to provide residents with a recreational amenity that would be self-supporting and not burden the City's general fund. Contrary to what has been suggested in some communications to the City, Palm Desert's Charter makes no mention of Desert Willow. But an article from February 1997, titled "Why is Palm Desert Building Desert Willow," in the City's newsletter celebrating Desert Willow's opening clearly states the City's rationale for the expensive project's development. Former city manager Carlos Ortega is quoted as saying, "In developing Desert Willow, "We are not spending millions of dollars on building a golf course; rather we are building a resort development including infrastructure for attracting major hotels.... These hotels will bring in visitors who shop, eat and stay in Palm Desert — thus generating even more TOT and sales tax revenue."' Paim Desert residents can be proud that Desert Willow has been successful in achieving both of the project's original goals. As an economic engine, Desert Willow directly stimulated the development of the Club Intrawest (now Embarc) and Westin Desert Willow Villas timeshare projects, as well as the nearby Courtyard and Residence Inn hotels. These businesses generate transient occupancy tax (TOT) and other revenues that support core City services including public safety. As a self-supporting recreational amenity, Desert Willow has provided Palm Desert residents with a high end private country club -like golf experience for $50 or less a round for more than 20 years. CITY Of HEM OESERT La *eiMnu ON anu[a wn Paim Desert Resident Page 3 May 11, 2018 !t costs Desert Willow, and by extension the City, approximately $79 to provide a round of golf at Desert Willow based on the 80,000 rounds played last year and the related $6.32 million in golf related expenses. The resident rate currently stands at $50 a round. Coachella Valley visitors and other Desert Willow golfers pay much higher green fees, up to $185 per round. These higher green fees help ensure that Palm Desert's resident golfers can continue to play Desert Willow at a significantly reduced rate. It also ensures that all residents, including thousands of non -golfers, are not picking up the tab for the residents who play at Desert Willow. Across the nation and here in the Coachella Valley, the golf course industry is struggling. As a community, we also want to be mindful of how reduced rates at Desert Willow impact surrounding country clubs and golf courses. These businesses, which do not have the benefit of government support, are vital to our economy and important to the quality of life enjoyed by our residents. It is important that the City not do anything that further harms their viability. The City of Palm Desert values input from residents regarding all City amenities, and we will continue to reach out to golfers and all Desert Willow users to ensure that this spectacular amenity continues to be what it always has been — a valuable economic and recreational asset to our community. Martin Alvarez Director of Economic Development /rdk EI Y Of PREfO UESERJ 401 WM or IERnED wn Klassen. Rochelle From: Klassen, Rachelle Sent: Thursday, May 10, 2018 11:44 AM To: 'kEVIN fAHEY'; Weber, Susan Marie Cc: torn walton; Barbara Powers Subject: RE: How can you vote to disenfranchise 187 Palm Desert residents who purchased golf course home on PDCC? Dear Mr. Fahey: Received your e-mail and will be distributing to City Councilmembers. Rochelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: kEVIN fAHEY [mailto:faheykevin@comcast.net] Sent: Thursday, May 10, 2018 11:36 AM To: Weber, Susan Marie <sweber@cityofpalmdesert.org> Cc: tom walton <twcthfsh@gmail.com>; Klassen, Rachelle rrklassen@cityofpalmdesert.org>; Barbara Powers <o pen spaceaction @gma i I.com > Subject: RE: How can you vote to disenfranchise 187 Palm Desert residents who purchased golf course home on PDCC? Susan Marie, 1 just want to provide some additional insight on this matter which comes from my meeting with Dick Oliphant in March. Dick as you know was the original developer of PDCC and continues to be involved in development projects throughout the valley. Dick confirmed that the original market price and valuation of the lots on the golf course were much higher than non - golf course property and that relationship remains that way for golf communities in today's real estate market. Any conclusion that the homeowners on the former executive course will see an increase in their market valuation from the new development is simply not accurate. As a long time Indian Wells city council member and former Mayor, Dick was also involved in creating a number of landscape districts. He thought the former executive course is a good example of where a landscape district would make sense and could work well for all stakeholders. Thank you for taking the time to listen. Kind Regards, Kevin Rachelle, can you please forward this note to the other council members? Thanks, Kevin i From: tom walton imailto:twcthfshC❑7amail.coml Sent: Thursday, May 10, 2018 1:27 PM To: Susan Marie Weber Subject: Fwd: How can you vote to disenfranchise 187 Palm Desert residents who purchased golf course home on PDCC? Susan Marie, Appreciated the opportunity to discuss some important city issue with you today. I know this position is late, but I hate to see you or any other council member put in such a position as having to vote today on such an important zoning change. Below are me comments and input to the city earlier. Here's the background info. below. Also, if you consider the reason we have zoning, as defined below, I fail to see how changing the zoning at the PDCC 9-hole course prevents new development from interfering with existing uses and/or preserves the "charter" of the 187 existing community homes. My biggest concern is that this council is now put in a very difficult position because there was no forward thinking or steps defined to deal with failed golf courses that were originally used to help the original developer price these home and lots higher (more profit for the original developer). Now that the original owner has profited from both higher lot and home prices as well as selling the non proprietary golf courses, another developer has seen an opportunity to profit at the expenses of 187 Palm Desert owners who's homes back up to the 9-hole PDCC golf course. But in order for this developer to profit, the council will have to disenfranchise 187 Palm Desert residents. Not a position anv council member should be nut in. The City should have a series of steps required by both proprietors and home owners, well though out and well published before granting any developer a zone change to remove a golf course and put homes or condos and roads in any resident's property that fronts or backs up to a golf course. PDCC will not be the last country club to ask the city to bail them out at resident's expense. Time to develop the required steps by all parties before these residents are disenfranchised. With responsible leadership and accountability, the City could define sensible and fair steps required by both residents and developers before the council approves any zone changes. All of this should be able to be accomplished in the next six months, with the council making the final determination by the end of November 2018. Begin forwarded message: From: rklassen ii)i.citvofnalrndesert.ora Subject: RE: How can you vote to disenfranchise 187 Palm Desert residents who purchased golf course home on PDCC? Date: April 30, 2018 at 11:17:43 AM PDT To: twalton(a rne.com Thank you for your e-mail, Mr. Walton, which I will include in the correspondence section of that report for the May 10 agenda. 2 d•7 Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@ cityofpalmdesert.org From: Tom Walton jmailto:twaltonfWme.coml Sent: Monday, April 30, 2018 10:03 AM To: Klassen, Rachelle<rklassenPcitvofoalmdesert.org> Subject: How can you vote to disenfranchise 187 Palm Desert residents who purchased golf course home on PDCC? To Rachelle Klassen, As I won't be able to attend the May loth meeting, would you please see that council members get my input. Thank you, Tom Walton 72720 Yucca Ct. Palm Desert, CA 92260 The original developer, built the PDCC courses so he could charge more money for the lots and houses he built facing both the nine hole executive course and the 18-hole championship course. Because the memberships were non-proprietary, the developer kept control and had total ownership of these courses. After he benefitted from these higher real estate prices, he then sold the courses, pocketing that money. New golf proprietors bought these courses over time until the last owner, who was not a golf course proprietor, but a developer from Canada. And, he bought these courses for a song, less than $2M. His intentions were quickly realized when he turned off the water on the 9-hole course and refused to market this executive course. They even refused to lease this 9-hole course at another proprietor's request. Instead this company chose to disenfranchised 187 Palm Desert owners who's properties back up to the 9-hole course, in order to line their pockets at these resident's expense. Now, this company wants the City to support a zoning change so they can put in a high density condominium project. The question is, how can we stand by and allow our residents to be so grossly disenfranchised while an outside developer profits? What is the purpose of zoning? Does the City have any responsibility to protect these 187 resident home values by not allowing obtrusive zoning changes that will clearly devalue these homes? The primary purpose of zoning is to segregate uses that are thought to be incompatible. In practice, zoning also is used to prevent new development from interfering with existing uses and/or to preserve the "character" of a community. Did this developer have other choices? Of course he did. He could have found other properly zoned land in Palm Desert to build his condo project somewhere else. To help sell such a project, they could have offered special membership 3 programs at PDCC to the buyers of those properties. This would have been a responsible win, win strategy. If a developer was concerned about this community, do you believe they would have chosen the path they did and then ask Palm Desert council members to bail them out at the demise of another 187 residents? If vou bail them out on the 9-hole course, how lona before they will ask vou to re -zone the 18-hole championship course thus negatively effectina the value of many more Palm Desert residents. PDCC isn't the first and won't be the last to ask the City to bail them out at the demise of residents. Other clubs have addressed this very issue and found solutions. Don't let smart developers use our council for their profit. The City needs to come up with a logical and fair process for helping resolve the current PDCC issue and other clubs with housing developments surrounding their golf courses. The formula that smart developers win and 187 Palm Desert residents lose is not the answer. This City needs to get ahead of the curve and stop reacting behind the curve. We're asking the council not to approve this zoning request and harm 187 residents. 4 Klassen, Rachelle From: Klassen, Rachelle Sent: Wednesday, May 09, 2018 8:11 AM To: 'Don' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Evans, Donna; Stanley, Jane Subject: RE: PLEASE STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER Dear Mr. Swarm: Thank you for your e-mail, which, by way of my reply here, is being forwarded to the City Council (blind copy) and appropriate City staff for their consideration. Rochelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalrndesert.org From: Don (mailto:don@donswarm.com] Sent: Tuesday, May 08, 2018 7:19 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: PLEASE STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER Rachelle, I could not have said it better so I'm copying Tom's e-mail to you to voice my support of his message. Please share this as you did with Tom's e-mail. Thank you very much for your understanding. Don Swarm Sent from my iPhone Begin forwarded message: Subject: STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER City Clerk, Please circulate this to the council members before the Public Study Session May 24, 2018. THERE IS NO DISPUTE, INDIAN WELLS RESIDENTS ENJOY MUCH MORE BENEFIT FROM IWGR THAN PALM DESERT RESIDENTS ENJOY FROM 1 ❑WGR. NOT ONLY THE GOLFING RESIDENTS. BUT ALL INDIAN WELLS RESIDENTS WHO ALSO ENJOY DINING AND PRO SHOP DISCOUNTS. IF YOU BELIEVE SUCH A LARGE DISPARITY IN RESIDENT PERKS, GOLF ACCESS AND PRICING IS GOOD FOR PALM DESERT CITY, PALM DESERT RESIDENTS AND PALM DESERT REAL ESTATE BUSINESSES, CONTINUE TO SUPPORT THE STATUS QUO. IF YOU BELIEVE RAISING THE RESIDENT RATE FROM $50 TO $130 IN ORDER FOR PALM DESERT RESIDENTS TO GET ACCESS TO THEIR PUBLIC COURSES NEXT WINTER, THEN APPROVE KEMPER'S PROPOSED RESIDENT DYNAMIC PRICING STRATEGY THAT FAILED TO GET AN UNANIMOUS APPROVAL AT THE TASK FORCE LEVEL. IF YOU BELIEVE A MUNICIPAL PUBLIC GOLF RESORT THAT PRODUCES OVER $I0M IN GROSS REVENUES ANNUALLY IS ONLY CAPABLE OF REPORTING A CUMULATIVE $1.75M NET LOSS THE PAST THREE YEARS WHILE SUPPRESSING RESIDENT ACCESS — CONTINUE TO SUPPORT THE STATUS QUO IF YOU BELIEVE DWGR IS CAPABLE OF A BETTER FINANCIAL RESULT WHILE PRESERVING SOME REASONABLE LEVEL OF RESIDENT ACCESS ❑URING THE WINTER MONTHS, INSIST ON UNBIASED PROFESSIONAL EXPERTISE TO HELP REPROGRAM DWGR FOR THE FUTURE. There is a plaque on the FireCiiff course as you drive over the bridge from the 17th green to the 18th tee which reads: -- Richard S. Kelly Bridge — "Dedicated on January 29, 2003". VISION: To create a world -class facility for the residents of Palm Desert and guests from around the world". HOPEFULLY THE MESSAGE OF THIS VISION IS NOT LOST FOREVER, and Palm Desert residents will be able to play year round with friends and guests at special resident & guest rates! WHY WAS DWGR BUILT? AS ORIGINALLY APPROVED IN 1997 BY THE CITY COUNCIL AND AS CURRENTLY DISPLAYED ON THE CITY'S WEBSITE — "TO INCREASE TOURISM AND REVENUE TO THE CITY" (VIA INCREASED SALES TAXES AND T.O.T. TAXES)."However, as a municipal golf course, the Citv felt that residents should have the onnortunity to eniov Desert Willow's amenities at a reduced rate. As a result, City Council approved the Palm Desert Resident Golf Card Program which provides Palm Desert 2 residents the ability to play Desert Willow at special discounted rates". IT DOESN'T SAY EXCEPT FOR THE WINTER MONTHS! APPROVING KEMPER'S PROPOSED RESIDENT DYNAMIC PRICING STRATEGY WILL FURTHER EXACERBATE THE DISPARITY BETWEEN OUR TWO CITIES, WHICH IS NOT FAVORABLE TO PALM DESERT, PALM DESERT REALTOR BUSINESSES OR THE RESIDENTS. Insist on a more balanced approach to achieving revenue neutral while protecting resident privileges at D WGR. Vote NO to raising resident rates from $50 to $130 in order for residents to gain access next season. Tom Walton 72720 Yucca Ct. Palm Desert, CA 92260 3 Klassen, Rachelle From: Klassen, Rachelle Sent: Tuesday, May 08, 2018 2:21 PM To: 'Neddy' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Evans, Donna; Stanley, Jane Subject: RE: DW resident rate hike Dear Neddy: Thank you for your e-mail, which, by way of my reply here, is being copied to City Council (blind copy) and appropriate City staff for their consideration. Rochelle Klassen City Clerk Ph: 760,346.0611 ❑irect: 760.776.6304 rklassen@cityofpalmdesert.org From: Neddy (mailto:nrthompson@hotmail.com] Sent: Tuesday, May 08, 2018 2:01 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: DW resident rate hike Dear Ms. Klassen, Please add my name (and note if useful) to the list of residents who do not want to see resident golf rates move from $50 to $130 during winter golf. Keeping rates affordable for Palm Desert residents across the income spectrum successfully reflects the values intended in the original city charter. Hopefully, there is a shared commitment among Kemper staff, City staff and community members to create a fiscally responsible plan for residents that benefits all those involved. The very significant rate increase that's been proposed would effectively eliminate many in the community who are interested in the game of golf from an opportunity to play their city course. Thank you. Sincerely, Neddy Thompson Sent from my iPhone i �r� Klassen, Rachelle From: Klassen, Rachelle Sent: Tuesday, May 08, 2018 8:26 AM To: 'Cliff Lindgren' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Evans, Donna; Stanley, Jane Subject: RE: Desert Willows Dear Mr. Lindgren: Thank you for your e-mail, which, by way of my reply here, is being forwarded to City Council (blind copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Original Message From: Cliff Lindgren [mailto:cliff5447@gmail.com] Sent: Monday, May 07, 2018 10:30 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Desert Willows I am a Palm Desert resident that enjoys playing golf at Desert Willows. I find Kempers proposal to raise rates to $130 for early tee times ridiculous. That is the same rate that everyone is paying. There are virtually no golfers paying the full rate that Kemper claims to charge. All the time shares and condos get a reduced rate of $130 or less. The whole relationship between Kemper and the city management staff smacks of corruption and cronyism. i urge you to stand up for the residents of Palm Desert and develop a fee system that reflects the intend of the original charter of providing residents a quality and affordable golf experience Cliff Lindgren 74176 Quicksilver Dr Palm Desert I Klassen, Rachelle From: Klassen, Rachelle Sent: Tuesday, May 08, 2018 8:25 AM To: Alvarez, Martin; Moore, Janet; Hermann, David Cc: Evans, Donna; Stanley, Jane Subject: FW: OPPOSITION TO KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER!!!! For your information. (Note: City Council is blind -copied on this e-mail.) Rachelle Klassen City Clerk Ph: 760.346.061 1 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Tom Walton [mailto:twalton@me.com] Sent: Monday, May 07, 201810:30 PM To: Mark Plinneke <mark.plinneke@gmail.com> Cc: Klassen, Rachelle <rklassen@cityofpalmdesert.org>; Aylaian, Lauri <laylaian@cityofpalmdesert.org> Subject: Fwd: OPPOSITION TO KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER!! Il Dear Mr. Plinneke, I don't know you and don't believe I have ever met you. So, to see my name used in your input to the City was shocking at best. For the record, while l support your First Amendment rights to express yourself, I do not agree with your attack on this management company. While we may not agree with how DWGR is currently being managed, we do believe that this company and its employees at DWGR are highly respected professionals. So, your reference to them as "out-of-state" faceless and unresponsive corporation, is out of line and does nothing to help with our cause to find win win opportunities for the City and the residents. Please do not use my name in any of your future tasteless communications to the City. Toni Walton Begin forwarded message: From: rklassen( citvofpaimdesert.ora Subject: RE: OPPOSITION TO KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER!!!! Date: May 7, 2018 at 2:35:43 PM POT To: mark.olinneke�7a.amail.com Cc: twalton ac me.com, lavlaian(cr7citvofoalmdesert.ora, malvarezc citvofDaimdesert.ora, imoore(a7.citvofoalmdesert.ora, dhermannacitvofnalmdesert.ora, devansecitvofoalmdesert.ora, istanlev a( ..citvofcalmdesert.ora Dear Mr. Plinneke: Thank you for your e-mail, which, by way of my reply here, is being copied to City Council (blind copy) and appropriate City staff for their consideration. 1 �"1 Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Mark Plinneke Imailto:mark.olinnekec mail.coml Sent: Monday, May 07, 2018 1:39 PM To: Klassen, Rachelle <rklassenPcitvofoaImdesert.ore> Cc: Walton Tom <twalton(tme.com> Subject: OPPOSITION TO KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER!!!! Ms. Rachelle Klassen, I fully support the views expressed below by Mr. Walton. PLEASE protect the residents of Palm Desert from the greed and gross mismanagement of this "out-of-state" faceless and unresponsive corporation. Council Members: REPRESENT OUR INTERESTS NOT THEIR INTEREST! We are watching you and depending on you to do right by your constituents!!! Thank you. Mark Plinneke 41692 Aventine Court Palm Desert, CA 92260 City Clerk, Please circulate this to the council members before the Public Study Session May 24, 2018. THERE IS NO DISPUTE, INDIAN WELLS RESIDENTS ENJOY MUCH MORE BENEFIT FROM 1WGR THAN PALM DESERT RESIDENTS ENJOY FROM DWGR. NOT ONLY THE GOLFING RESIDENTS. BUT ALL INDIAN WELLS RESIDENTS WHO ALSO ENJOY DINING AND PRO SHOP DISCOUNTS. IF YOU BELIEVE SUCH A LARGE DISPARITY IN RESIDENT PERKS, GOLF ACCESS AND PRICING IS GOOD FOR PALM DESERT CITY, PALM DESERT RESIDENTS AND PALM DESERT REAL ESTATE BUSINESSES, CONTINUE TO SUPPORT THE STATUS QUO. IF YOU BELIEVE RAISING THE RESIDENT RATE FROM $50 TO $130 IN ORDER FOR PALM DESERT RESIDENTS TO GET ACCESS TO THEIR PUBLIC COURSES NEXT WINTER, THEN APPROVE KEMPER'S PROPOSED RESIDENT DYNAMIC PRICING STRATEGY THAT FAILED TO GET AN UNANIMOUS APPROVAL AT THE TASK FORCE LEVEL. IF YOU BELIEVE A MUNICIPAL PUBLIC GOLF RESORT THAT PRODUCES OVER $10M IN GROSS REVENUES ANNUALLY IS ONLY CAPABLE OF REPORTING A 2 ct.g CUMULATIVE $1.75M NET LOSS THE PAST THREE YEARS WHILE SUPPRESSING RESIDENT ACCESS - CONTINUE TO SUPPORT THE STATUS QUO IF YOU BELIEVE DWGR IS CAPABLE OF A BETTER FINANCIAL RESULT WHILE PRESERVING SOME REASONABLE LEVEL OF RESIDENT ACCESS ❑URING THE WINTER MONTHS, INSIST ON UNBIASED PROFESSIONAL EXPERTISE TO HELP REPROGRAM DWGR FOR THE FUTURE. There is a plaque on the FireCliff course as you drive over the bridge from the 17th green to the 18th tee which reads: -- Richard S. Kelly Bridge — "Dedicated on January 29, 2003". VISION: To create a world -class facility for the residents of Palm Desert and guests from around the world". HOPEFULLY THE MESSAGE OF THIS VISION IS NOT LOST FOREVER, and Palm Desert residents will be able to play year round with friends and guests at special resident & guest rates! WHY WAS DWGR BUILT? AS ORIGINALLY APPROVE❑ IN 1997 BY THE CITY COUNCIL AND AS CURRENTLY ❑ISPLAYED ON THE CITY'S WEBSITE - "TO INCREASE TOURISM AND REVENUE TO THE CITY" (VIA INCREASED SALES TAXES AND T.O.T. TAXES)."However, as a municipal golf course, the City felt that residents should have the ouuortunity to eniov Desert Willow's amenities at a reduced rate. As a result, City Council approved the Palm Desert Resident Golf Card Program which provides Palrn Desert residents the ability to play Desert Willow at special discounted rates". IT DOESN'T SAY EXCEPT FOR THE WINTER MONTHS! APPROVING KEMPER'S PROPOSED RESIDENT DYNAMIC PRICING STRATEGY WILL FURTHER EXACERBATE THE DISPARITY BETWEEN OUR TWO CITIES, WHICH IS NOT FAVORABLE TO PALM DESERT, PALM DESERT REALTOR BUSINESSES OR THE RESIDENTS. Insist on a more balanced approach to achieving revenue neutral while protecting resident privileges at DWGR. Vote NO to raising resident rates from $50 to $130 in order for residents to gain access next season. 3 Tom Walton 72720 Yucca Ct. Palm Desert, CA 92260 4 (00 Klassen, Rachelle From: Klassen, Rachelle Sent: Tuesday, May 08, 2018 8:18 AM To: 'Steve Coulter' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Evans, Donna; Stanley, Jane Subject: RE: Proposed Resident Dynamic Pricing for Desert Willow Golf Resort (DWGR) Dear Mr. Coulter: Thank you for your e-mail, which, by way of my reply here, is being forwarded to City Council (blind copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpolmdesert.org From: Steve Coulter[mailto:slcoulter2003@yahoo.com) Sent: Monday, May 07, 2018 5:24 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Proposed Resident Dynamic Pricing for Desert Willow Golf Resort (DWGR) I am extremely disappointed to hear about a proposed dynamic pricing for residents of Palm Desert at Desert Willow. My understanding is that the model would be a 30°/o discount from the rate paid by all guests. That translates to my morning greens fees in winter changing from $50 to $130. The DWGR has been part of the selling package for real estate sales in Palm Desert for years! Certainly, we have a "city course of which we can be proud. Indian Wells and La Quinta also have very fine municipal courses. So, when we purchased our home several years ago, the real estate agent certainty used DWGR as a big selling point. We agreed and moved here. Anytime friends or family come to town, I have strongly recommended DWGR and taken them to play whenever I am available. Such a policy change to drastically increase Palm Desert resident rates in the winter is abusive and will certainly not only drive business away from DWGR, but will also eliminate a strong selling point for home sales in Palm Desert. Fewer home sales and lower home prices will both cut into the Palm Desert budget far deeper than a short- sighted greens fee boost designed to dissuade residential play in favor of non-residential play. Remember, Kemper's goal is not the sarne as the goal should be for Palm Desert City Council. Theirs is singularly focused on extracting dollars out of the golfers. If the City Council accepts this abusive proposed resident dynamic pricing strategy from Kemper, you will simply drive business away from DWGR. Shadow Ridge, Indian Wells, Classic Club are only a few of the nearby courses that become far more attractive to play if DWGR rates increase to this ludicrous, proposed level. I will "vote with my wallet" and move my golf elsewhere. 1 played over 90°/0 of my golf in the valley at DWGR last year (nearly 60 rounds), and have signed up for the Elite card again this year. But if this proposal is accepted, those fess will be going to other valley courses next year. This is a shame. ! believe that if you pick up the phone and call DWGR, you will find that I am a very loyal and supportive customer of theirs. But, that support has its limits and this proposed pricing is over the limit of reason. The course will lose. A selling point for Palm Desert residency will suffer. Please vote against this proposal from Kemper and maintain the positive relationship with Palm Desert residents. The other nearby municipalities certainly treat their residents in such a manner. Steve Coulter 74085 Via Venezia 1 (C( Palm Desert 2 Klassen, Rachelle From: Klassen, Rachelle Sent: Tuesday, May 08, 2018 8:17 AM To: 'Glenn and Diane Waldron' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Evans, Donna; Stanley, Jane Subject: RE: STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER Dear Mr. & Mrs. Waldron: Thank you for your e-mail, which, by way of my reply here, is being forwarded to City Council (blind copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Glenn and Diane Waldron [mailto:gdwaldron@hotmail.com] Sent: Monday, May 07, 2018 4:42 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Fwd: STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER I am forwarding Tom's email as it says everything necessary. Please add this to the emails in support of this position. Thank you, Glenn & Diane Waldron 38771 Nyasa Drive Palm Desert Sent from my iPad Begin forwarded message: From: Tom Walton <twalton@me.com> Date: May 7, 2018 at 9:50:25 AM PDT To: Tom Walton <twalton@me.com> Subject: Fwd: STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER HI ALL, Enclosed is my input to the council. Pretty easy to send Rachelle Klassen an email, which will be sent to all council members letting them know your position regarding Kemper's proposal to raise resident rates next winter from $50 tp $130 in favor of being able to book a tee time 60- days in advance. Hopefully all of you will find a few minutes and join us who are speaking out. f i . 3 Begin forwarded message: From: rklassene.citvofoalmdesert.ora Subject: RE: STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER Date: May 7, 2018 at 8:12:54 AM PDT To: twalton( me.com Cc: Iavlaian(citvofDalmdesert.ora, maIvarezZcitvofpalmdesert.ora, imoore( citvofpalmdesert.ora, dhermannacitvofpalmdesert.ora, devans( citvofpalmdesert.ora, istanlev c( citvofi aimdesert.orq Dear Mr. Walton: Thank you for your e-mail, which, by way of my reply here, I'm copying to City Council (via blind copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklossen:cityofpalmdesert.org From: Tom Walton Imailto:twalton@me.comj Sent: Monday, May 07, 2018 7:27 AM To: Klassen, Rachelle <rklassenPcitvofoalmdesert.org> Subject: STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER City Clerk, Please circulate this to the council members before the Public Study Session May 24, 2018. THERE IS NO DISPUTE, INDIAN WELLS RESIDENTS ENJOY MUCH MORE BENEFIT FROM IWGR THAN PALM DESERT RESIDENTS ENJOY FROM DWGR. NOT ONLY THE GOLFING RESIDENTS. BUT ALL INDIAN WELLS RESIDENTS WHO ALSO ENJOY DINING AND PRO SHOP DISCOUNTS. IF YOU BELIEVE SUCH A LARGE DISPARITY IN RESIDENT PERKS, GOLF ACCESS AND PRICING IS GOOD FOR PALM DESERT CITY, PALM DESERT RESIDENTS AND PALM DESERT REAL ESTATE BUSINESSES, CONTINUE TO SUPPORT THE STATUS QUO. IF YOU BELIEVE RAISING THE RESIDENT RATE FROM $50 TO $130 IN ORDER FOR PALM DESERT RESIDENTS TO GET ACCESS TO THEIR PUBLIC COURSES NEXT WINTER, THEN APPROVE KEMPER'S PROPOSED RESIDENT DYNAMIC PRICING STRATEGY THAT FAILED TO GET AN UNANIMOUS APPROVAL AT THE TASK FORCE LEVEL. IF YOU BELIEVE A MUNICIPAL PUBLIC GOLF RESORT THAT PRODUCES OVER $10M IN GROSS REVENUES ANNUALLY 1S ONLY CAPABLE OF REPORTING A 2 dt CUMULATIVE $I.75M NET LOSS THE PAST THREE YEARS WHILE SUPPRESSING RESIDENT ACCESS — CONTINUE TO SUPPORT THE STATUS QUO IF YOU BELIEVE DWGR IS CAPABLE OF A BETTER FINANCIAL RESULT WHILE PRESERVING SOME REASONABLE LEVEL OF RESIDENT ACCESS DURING THE WINTER MONTHS, INSIST ON UNBIASED PROFESSIONAL EXPERTISE TO HELP REPROGRAM DWGR FOR THE FUTURE. There is a plaque on the FireCliff course as you drive over the bridge from the 17th green to the 18th tee which reads: -- Richard S. Kelly Bridge — "Dedicated on January 29, 2003". VISION: To create a world -class facility for the residents of Palm Desert and guests from around the world". HOPEFULLY THE MESSAGE OF THIS VISION IS NOT LOST FOREVER, and Palm Desert residents will be able to play year round with friends and guests at special resident & guest rates! WHY WAS DWGR BUILT? AS ORIGINALLY APPROVED IN 1997 BY THE CITY COUNCIL AND AS CURRENTLY DISPLAYED ON THE CITY'S WEBSITE — "TO INCREASE TOURISM AND REVENUE TO THE CITY" (VIA INCREASED SALES TAXES AND T.O.T. TAXES)."However, as a municipal golf course, the City felt that residents should have the opportunity to eniov Desert Willow's amenities at a reduced rate. As a result, City Council approved the Palm Desert Resident Golf Card Program which provides Palm Desert residents the ability to play Desert Willow at special discounted rates". IT DOESN'T SAY EXCEPT FOR THE WINTER MONTHS! APPROVING KEMPER'S PROPOSED RESIDENT DYNAMIC PRICING STRATEGY WILL FURTHER EXACERBATE THE DISPARITY BETWEEN OUR TWO CITIES, WHICH IS NOT FAVORABLE TO PALM DESERT, PALM DESERT REALTOR BUSINESSES OR THE RESIDENTS. Insist on a more balanced approach to achieving revenue neutral while protecting resident privileges at DWGR. Vote NO to raising resident rates from $50 to $130 in order for residents to gain access next season. 3 1 �� Tom Walton 72720 Yucca Ct. Palm Desert, CA 92260 4 Klassen, Rachelle From: Klassen, Rachelle Sent: Tuesday, May 08, 2018 8:14 AM To: 'hklempner@gmail.com' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Evans, Donna; Stanley, Jane Subject: RE: Rate change for next winter Dear Mr. Klempner: Thank you for your e-mail, which, by way of my reply here, is being forwarded to City Council (blind copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Original Message From: hklempner@gmail.com [mailto:hklempner@gmail.com] Sent: Monday, May 07, 2018 4:04 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Rate change for next winter Sorry to say but has KEMPER gone mad. Apparently Desert Willows doesn't want the residents of Palm Desert playing there as $130 rate is absolutely ridiculous. There are far better deals in the valley than $130 so with that being said if the rate goes up I will be going across the street where they have some common sense Regards, Harold Klempner Sent from my iPhone i \o7 Klassen, Rachelle From: Tom Walton <twalton@me.com> Sent: Monday, May 07, 2018 10:30 PM To: Mark Plinneke Cc: Klassen, Rachelle; Aylaian, Lauri Subject: Fwd: OPPOSITION TO KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER!!+! Dear Mr. Plinneke, I don't know you and don't believe I have ever met you. So, to see my name used in your input to the City was shocking at best. For the record, while 1 support your First Amendment rights to express yourself, I do not agree with your attack on this management company. While we may not agree with how DWGR is currently being managed, we do believe that this company and its employees at DWGR are highly respected professionals. So, your reference to them as "out-of-state" faceless and unresponsive corporation, is out of line and does nothing to help with our cause to find win win opportunities for the City and the residents. Please do not use my name in any of your future tasteless communications to the City. Tom Walton Begin forwarded message: From: rklassen aecitvofoalmdesert.ora Subject: RE: OPPOSITION TO KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER!!!! Date: May 7, 2018 at 2:35:43 PM PDT To: mark.glinneke5,gmail.com Cc: twaltonccr�,me.com, lavlaianCc citvofpalmdesert.ora, malvarez(cr7,citvofpalmdesert.ora, imooreecitvofoalmdesert.orq, dhermannCa7citvofgalmdesert.ora, devansacitvofDalmdesert.ora, istanlev(a7citvofgalmdesert.ora Dear Mr. Plinneke: Thank you for your e-mail, which, by way of my reply here, is being copied to City Council (blind copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityotpalmdesert.org From: Mark Plinneke fmailto:mark.oIinnekePemail.comj Sent: Monday, May 07, 2018 1:39 PM To: Klassen, Rachelle <rklassenPcityofoaImdesert.org> Cc: Walton Tom <twa ItonP me.com> Subject: OPPOSITION TO KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER!!!! Ms. Rachelle Klassen, 1 I fully support the views expressed below by Mr. Walton. PLEASE protect the residents of Palm Desert from the greed and gross mismanagement of this "out-of-state" faceless and unresponsive corporation. Council Members: REPRESENT OUR INTERESTS NOT THEIR INTEREST! We are watching you and depending on you to do right by your constituents!!! Thank you. Mark Plinneke 41692 Aventine Court Palm Desert, CA 92260 City Clerk, Please circulate this to the council members before the Public Study Session May 24, 2018. THERE IS NO DISPUTE, INDIAN WELLS RESIDENTS ENJOY MUCH MORE BENEFIT FROM IWGR THAN PALM DESERT RESIDENTS ENJOY FROM DWGR. NOT ONLY THE GOLFING RESIDENTS. BUT ALL INDL4N WELLS RESIDENTS WHO ALSO ENJOY DINING AND PRO SHOP DISCOUNTS. IF YOU BELIEVE SUCH A LARGE DISPARITY IN RESIDENT PERKS, GOLF ACCESS AND PRICING I5 GOOD FOR PALM DESERT CITY, PALM DESERT RESIDENTS AND PALM DESERT REAL ESTATE BUSINESSES, CONTINUE TO SUPPORT THE STATUS QUO. IF YOU BELIEVE RAISING THE RESIDENT RATE FROM $50 TO $130 IN ORDER FOR PALM DESERT RESIDENTS TO GET ACCESS TO THEIR PUBLIC COURSES NEXT WINTER, THEN APPROVE KEMPER'S PROPOSED RESIDENT DYNAMIC PRICING STRATEGY THAT FAILED TO GET AN UNANIMOUS APPROVAL AT THE TASK FORCE LEVEL. IF YOU BELIEVE A MUNICIPAL PUBLIC GOLF RESORT THAT PRODUCES OVER $10M IN GROSS REVENUES ANNUALLY IS ONLY CAPABLE OF REPORTING A CUMULATIVE $1.75M NET LOSS THE PAST THREE YEARS WHILE SUPPRESSING RESIDENT ACCESS — CONTINUE TO SUPPORT THE STATUS QUO IF YOU BELIEVE DWGR IS CAPABLE OF A BETTER FINANCIAL RESULT WHILE PRESERVING SOME REASONABLE LEVEL OF RESIDENT ACCESS DURING THE WINTER MONTHS, INSIST ON UNBIASED PROFESSIONAL EXPERTISE TO HELP REPROGRAM DWGR FOR THE FUTURE. There is a plaque on the FireCliff course as you drive over the bridge from the 17th green to the 18th tee which reads: -- Richard S. Kelly Bridge — "Dedicated on January 29, 2003". 2 0 9 VISION: To create a world -class facility for the residents of Palm Desert and guests from around the world". HOPEFULLY THE MESSAGE OF THIS VISION IS NOT LOST FOREVER, and Palm Desert residents will be able to play year round with friends and guests at special resident & guest rates! WHY WAS DWGR BUILT? AS ORIGINALLY APPROVED IN 1997 BY THE CITY COUNCIL AND AS CURRENTLY DISPLAYED ON THE CITY'S WEBSITE — "TO INCREASE TOURISM AN❑ REVENUE TO THE CITY" (VIA INCREASED SALES TAXES AND T.O.T. TAXES)."However, as a municipal golf course, the City felt that residents should have the opportunity to eniov Desert Willow's amenities at a reduced rate. As a result, City Council approved the Palm Desert Resident Golf Card Program which provides Palm Desert residents the ability to play Desert Willow at special discounted rates". IT DOESN'T SAY EXCEPT FOR THE WINTER MONTHS! APPROVING KEMPER'S PROPOSED RESIDENT DYNAMIC PRICING STRATEGY WILL FURTHER EXACERBATE THE DISPARITY BETWEEN OUR TWO CITIES, WHICH IS NOT FAVORABLE TO PALM DESERT, PALM DESERT REALTOR BUSINESSES OR THE RESIDENTS. Insist on a more balanced approach to achieving revenue neutral while protecting resident privileges at DWGR. Vote NO to raising resident rates from $50 to $130 in order for residents to gain access next season. Tom Walton 72720 Yucca Ct. Palm Desert. CA 92260 3 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, May 07, 2018 2:36 PM To: 'mark.plinneke@gmail.com' Cc: Walton Tom; Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Evans, Donna; Stanley, Jane Subject: RE: OPPOSITION TO KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER!±±± Dear Mr. Plinneke: Thank you for your e-mail, which, by way of my reply here, is being copied to City Council (blind copv) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Mark Plinneke[mailto:mark.plinneke@gmail.com] Sent: Monday, May 07, 2018 1:39 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Cc: Walton Tom <twalton@me.com> Subject: OPPOSITION TO KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER!!!! Ms. Rachelle Klassen, I fully support the views expressed below by Mr. Walton. PLEASE protect the residents of Palm Desert from the greed and gross mismanagement of this "out-of-state" faceless and unresponsive corporation. Council Members: REPRESENT OUR INTERESTS NOT THEIR INTEREST! We are watching you and depending on you to do right by your constituents!!! Thank you. Mark Plinneke 41692 Aventine Court Palm Desert, CA 92260 City Clerk, Please circulate this to the council members before the Public Study Session May 24, 2018. 1 THERE IS NO DISPUTE, INDIAN WELLS RESIDENTS ENJOY MUCH MORE BENEFIT FROM IWGR THAN PALM ❑ESERT RESIDENTS ENJOY FROM DWGR. NOT ONLY THE GOLFING RESIDENTS. BUT ALL INDIAN WELLS RESIDENTS WHO ALSO ENJOY DINING AND PRO SHOP DISCOUNTS. IF YOU BELIEVE SUCH A LARGE DISPARITY 1N RESIDENT PERKS, GOLF ACCESS AND PRICING IS GOOD FOR PALM DESERT CITY, PALM DESERT RESIDENTS AND PALM DESERT REAL ESTATE BUSINESSES, CONTINUE TO SUPPORT THE STATUS QUO. 1F YOU BELIEVE RAISING THE RESIDENT RATE FROM $50 TO $130 IN ORDER FOR PALM DESERT RESIDENTS TO GET ACCESS TO THEIR PUBLIC COURSES NEXT WINTER, THEN APPROVE KEMPER'S PROPOSED RESIDENT ❑YNAMIC PRICING STRATEGY THAT FAILED TO GET AN UNANIMOUS APPROVAL AT THE TASK FORCE LEVEL. IF YOU BELIEVE A MUNICIPAL PUBLIC GOLF RESORT THAT PRODUCES OVER $IOM 1N GROSS REVENUES ANNUALLY IS ONLY CAPABLE OF REPORTING A CUMULATIVE SI .75M NET LOSS THE PAST THREE YEARS WHILE SUPPRESSING RESIDENT ACCESS —CONTINUE TO SUPPORT THE STATUS QUO IF YOU BELIEVE DWGR I5 CAPABLE OF A BETTER FINANCIAL RESULT WHILE PRESERVING SOME REASONABLE LEVEL OF RESIDENT ACCESS DURING THE WINTER MONTHS, INSIST ON UNBIASED PROFESSIONAL EXPERTISE TO HELP REPROGRAM DWGR FOR THE FUTURE. There is a plaque on the FireCliff course as you drive over the bridge from the 17th green to the 18th tee which reads: -- Richard S. Kelly Bridge — "Dedicated on January 29, 2003". VISION: T❑ create a world -class facility for the residents of Palm Desert and tuests from around the world". HOPEFULLY THE MESSAGE OF. THIS VISION IS NOT LOST FOREVER, and Palm Desert residents will be able to play year round with friends and guests at special resident & guest rates! WHY WAS DWGR BUILT? AS ORIGINALLY APPROVED IN 1997 BY THE CITY COUNCIL AND AS CURRENTLY DISPLAYED ON THE CITY'S WEBSITE — "TO INCREASE TOURISM AND REVENUE TO THE CITY" (VIA INCREASED SALES TAXES AND T.O.T. TAXES)."However, as a municipal golf course, the City felt that residents should have the opportunity to enjoy Desert Willow's amenities at a reduced rate. As a result, City Council approved the Palm Desert Resident Golf Card Program which provides Palm Desert residents the ability to play Desert Willow at special discounted rates". IT DOESN'T SAY EXCEPT FOR THE WINTER MONTHS! 2 APPROVING KEMPER'S PROPOSED RESIDENT DYNAMIC PRICING STRATEGY WILL FURTHER EXACERBATE THE DISPARITY BETWEEN OUR TWO CITIES, WHICH IS NOT FAVORABLE TO PALM DESERT, PALM DESERT REALTOR BUSINESSES OR THE RESIDENTS. Insist on a more balanced approach to achieving revenue neutral while protecting resident privileges at DWGR. Vote NO to raising resident rates from $50 to $130 in order for residents to gain access next season. Tom Walton 72720 Yucca Ct. Palm Desert. CA 92260 3 \� 3 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, May 07, 2018 2:33 PM To: 'Jim Shuler' Cc: Tom Walton; 'Louis Gonzalez'; Bette Shuler; Jim Philpot; Mike Downey; Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Evans, Donna; Stanley, Jane Subject: RE: STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER Dear Mr. Shuler: Thank you for your e-mail, which, by way of my reply here, is being forwarded to City Council (blind copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph; 760.346.0611 Direct: 760.776.6304 rklassen@cityofpolmdesert.org From: Jirn Shuler [mailto:j.shuler@earthlink.netl Sent: Monday, May 07, 2018 1:13 PM To: Klassen, Rachelle <rkiassen@cityofpalmdesert.org> Cc: Tom Walton <twalton@me.com>; 'Louis Gonzalez' <golfgonzalez@yahoo.com>; Bette Shuler <b.shuler@earthlink.net>; Jim Philpot <philpot14@gtnail.co>; Mike Downey <mdowney04@gmail.co> Subject: STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER City Clerk, Please circulate this to the council members before the Public Study Session May 24, 2018. We are previous residents of Indian Wells and are quite familiar with their policies regarding the Indian Wells Golf Resort. We lived there for 4 years and frequently played their course for the resident rate of $35. A major negative of their policies, at that time, was the absence of any organized play and no guest play privileges. We were new to the area and did not know many people, and therefore found it difficult to find playing partners. IWGC has since corrected these polices and allows guests at a discounted guest rate. In 2003, we decided to purchase a new home and began the shopping process. We had learned of Desert Willow Golf Course and the wonderful policies in place at that time. The playing rate was slightly higher, $45, than IWGC, but we liked the course better, and there was a very active weekly men's and women's golf club every Wednesday. Indian Wells and Palm Desert are very similar in housing and living conditions. The better golf opportunity made the difference to my wife and I and we focused on finding a home in Palm Desert. We moved to Palm Desert in 2003. We obtained a resident card and joined the Champion's Club. At that time, there were enough players to have shotgun starts every week. There were member/guest days, member/member and club championship tournaments, away events, couples mixers, and annual clothing gifts to all members. Frequently, large groups of players gathered in the restaurant after play to enjoy each other's company and lunch. Over time, the rates began to increase, the special events stopped, we were forced to pay for the Platinum membership to play in the Champions Club, and eventually watched the Champion's Club cancelled. This action on the part of course management was met with strong resistance from the displaced resident members. You all know the history of how we wound up in this position. Although the Champion's Club was reinstated, it is a far cry from it's former glory. We don't have any information on the future of the Champions Club at this point. We hope it will continue, at a minimum, in it's current form. A return to the former features of the club would do a lot to heal the resident wounds from this conflict. From our perspective it appears that city management is no longer concerned with living up to the original intent of the city in building Desert Willow. There is a plaque on the Firecliff course as you drive over the bridge from the 17th green to the 18th tee which reads: Richard S. Kelly Bridge -- "Dedicated on January 29, 2003". Vision : To create a world -class facility for the residents of Palm Desert and guests from around the world". WHY WAS DWGR BUILT? AS ORIGINALLY APPROVED IN 1997 BY THE CITY COUNCIL AND AS CURRENTLY DISPLAYED ON THE CITY'S WEBSITE - "TO INCREASE TOURISM AND REVENUE TO THE CITY" (VIA INCREASED SALES TAXES AND T.O.T. TAXES). "However, as a municipal golf course, the City felt that residents should have the oonortunity to eniov Desert Willow's amenities at a reduced rate. As a result, City Council approved the Palm Desert Resident Golf Card Program which provides Palm Desert residents the ability to play Desert Willow at special discounted rates". IT DOESN'T SAY EXCEPT FOR THE WINTER MONTHS! Please vote NO to raising resident rates from $50 to $130 in order for residents to gain access next season. Minor increases in green's fees can be understandable. Taking a position that the resident's don't matter is not. James and Bette Shuler 129 Vista Monte Palm Desert, CA 92260 760-837-3910 2 �t5 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, May 07, 2018 10:58 AM To: 'Scott Trollope' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Evans, Donna; Stanley, Jane Subject: RE: Comments re: proposal to raise Desert Willow rates for residents Dear Mr. Trollope: Thank you for your e-mail, which, by way of my reply here, is being copied to City Council (blind copy) and appropriate City staff for their information. Rochelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklossen@cityofpalmdesert.org From: Scott Trollope [ma ilto:swtrollope@gmail.com] Sent: Monday, May 07, 2018 9:59 AM To: Klassen, Rachelle <rklassen@cityofpaimdesert.org> Subject: Comments re: proposal to raise Desert Willow rates for residents Hi Rachelle If you could please pass these comments on to the appropriate people in City Council, that would be appreciated regards Scott Trollope 5 La Paz Lane Palm Desert 92260 ************************************************ Councillors I understand that Palm Desert City Council will be reviewing and considering proposals to be made by a Desert Willow task force soon, and I thought it important to add my comments to the many you will no doubt be receiving. I have discussed these ideas at length with numerous other residents, and we are aligned. I am a snowbird, and a Palm Desert property tax payer, have been for 10 years. I bought initially in PD after first playing Desert Willow. Bottom line(s): - I fully support, and congratulate, the idea of removing the need to go through the DMV to get documentation in order to get a golf card. The DMV is clearly an unnecessarily formal step, glad to see it may go; - I also support, as do many others, the protection of 25% of winter tee times for those purchasing a pass (hopefully not more than $150) with advance booking privileges. If necessary, a 7 day booking window would be acceptable, although I understand 14 days is being considered. HOWEVER; i �1� - We all believe that the proposal to raise massively the cost for residents (PROPERTY TAX PAYING INDIVIDUALS) to a 30% discount off rack rate flies in the face of the original intent of building the course, and funding of DW by tax payers. - By DW's own data about 25% of 85,000 rounds played at DW are by residents, meaning nearly 75% are played by non-residents. If you are truly concerned with your "stakeholders" (property tax payers), it would be more effective to increase cost for non-resident play than resident play, by a factor of 3:1. See suggestions below: So - it seems to me that the solutions are fairly simple: - increase non-resident cost by some nominal amount ($5-10 per round? =$300 - 600k additional funds) - increase resident cost by $10 per round? (as long as a 7 day advance booking and no DMV requirement is offered) = $200k additional funds ($50 is too little to play a course of DW quality, in my view - $60 is still acceptable, in line roughly with the $55 net of clubhouse credit at Classic Club) - fix the contract with Kemper next time it comes around in 2 years (their fixed pay is way too high) - allocate 1%? of PD property tax to DW ops, surely it's worth that?? MANY people have bought into PD to have low cost access to DW - the business model which does not return some small percentage ofproperty tax to the running of DW is very poorly designed. - Keep DW facility open for dinner/happy hour to better utilize a huge investment! I trust these comments will be reviewed in the constructive frame intended, and that the right thing (by PD property tax payers) is done. Best regards Scott Trollope 5 La Paz Lane Palm Desert, 92260 2 --1 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, May 07, 2018 8:13 AM To: 'Tom Walton' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Evans, Donna; Stanley, Jane Subject: RE: STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER Dear Mr. Walton: Thank you for your e-mail, which, by way of my reply here, I'm copying to City Council (via blind copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert,org From: Tom Walton [mailto:twalton@me.com] Sent: Monday, May 07, 2018 7:27 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO $130 NEXT WINTER City Clerk, Please circulate this to the council members before the Public Study Session May 24, 2018. THERE IS NO DISPUTE, INDIAN WELLS RESIDENTS ENJOY MUCH MORE BENEFIT FROM IWGR THAN PALM DESERT RESIDENTS ENJOY FROM DWGR. NOT ONLY THE GOLFING RESIDENTS. BUT ALL INDIAN WELLS RESIDENTS WHO ALSO ENJOY DINING AND PRO SHOP DISCOUNTS. IF YOU BELIEVE SUCH A LARGE DISPARITY IN RESIDENT PERKS, GOLF ACCESS AND PRICING IS GOOD FOR PALM DESERT CITY, PALM DESERT RESIDENTS AND PALM DESERT REAL ESTATE BUSINESSES, CONTINUE TO SUPPORT THE STATUS QUO. IF YOU BELIEVE RAISING THE RESIDENT RATE FROM $50 TO $130 IN ORDER FOR PALM DESERT RESIDENTS TO GET ACCESS TO THEIR PUBLIC COURSES NEXT WINTER, THEN APPROVE KEMPER'S PROPOSED RESIDENT DYNAMIC PRICING STRATEGY THAT FAILED TO GET AN UNANIMOUS APPROVAL AT THE TASK FORCE LEVEL. IF YOU BELIEVE A MUNICIPAL PUBLIC GOLF RESORT THAT PRODUCES OVER $IOM IN GROSS REVENUES ANNUALLY IS ONLY CAPABLE OF REPORTING A CUMULATIVE $1.75M NET LOSS THE PAST THREE YEARS WHILE SUPPRESSING RESIDENT ACCESS — CONTINUE TO SUPPORT THE STATUS QUO IF YOU BELIEVE DWGR IS CAPABLE OF A BETTER FINANCIAL RESULT WHILE PRESERVING SOME REASONABLE LEVEL OF RESIDENT ACCESS DURING THE WINTER MONTHS, INSIST ON UNBIASED PROFESSIONAL EXPERTISE TO HELP REPROGRAM DWGR FOR THE FUTURE. 1 11, There is a plaque on the FireCliff course as you drive over the bridge from the 17th green to the 18th tee which reads: -- Richard S. Kelly Bridge — "Dedicated on January 29, 2003". VISION: To create a world -class facility for the residents of Palm Desert and guests from around the world". HOPEFULLY THE MESSAGE OF THIS VISION IS NOT LOST FOREVER, and Palm Desert residents will be able to play year round with friends and guests at special resident & guest rates! WHY WAS DWGR BUILT? AS ORIGINALLY APPROVED IN 1997 BY THE CITY COUNCIL AND AS CURRENTLY DISPLAYED ON THE CITY'S WEBSITE — "TO INCREASE TOURISM AND REVENUE TO THE CITY" (VIA INCREASED SALES TAXES AND T.O.T. TAXES)."However, as a municipal golf course, the City felt that residents should have the opportunity to eniov Desert Willow's amenities at a reduced rate. As a result, City Council approved the Palm Desert Resident Golf Card Program which provides Palm Desert residents the ability to play Desert Willow at special discounted rates". IT DOESN'T SAY EXCEPT FOR THE WINTER MONTHS! APPROVING KEMPER'S PROPOSED RESIDENT DYNAMIC PRICING STRATEGY WILL FURTHER EXACERBATE THE DISPARITY BETWEEN OUR TWO CITIES, WHICH IS NOT FAVORABLE TO PALM DESERT, PALM DESERT REALTOR BUSINESSES OR THE RESIDENTS. Insist on a more balanced approach to achieving revenue neutral while protecting resident privileges at DWGR. Vote NO to raising resident rates from $50 to $130 in order for residents to gain access next season. Tom Walton 72720 Yucca Ct. Palm Desert, CA 92260 2 o 1 Klassen, Rachelle From: Klassen, Rachelle Sent: Thursday, May 03, 2018 2:02 PM To: 'Jim Filipek' Cc: madeleinemathieul3@gmail.com; Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David Subject: RE: Desert Willow resident privileges Dear Mr. Filipek: Thanks for your e-mail, which, by way of my reply here, is being forwarded to City Council (via blind copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Original Message From: Jim Filipek [mailto:jfilipekl@wi.rr.com] Sent: Thursday, May 03, 2018 1:49 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Cc: madeleinemathieul3@gmail.com Subject: Desert Willow resident privileges Please extend current privileges as they run a nice operation for golf and dining. James R Filipek 1 Klassen, Rachelle From: Klassen, Rachelle Sent: Wednesday, May 02, 2018 1:35 PM To: 'Barbara Johns' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Evans, Donna; Stanley, Jane Subject: RE: Please Forward: Desert Willow Resident Rate Increase Dear Ms. Johns: Thank you for your e-mail, which, by way of my reply here, I am forwarding to City Council (via blind -copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org ��rgrnal Message From: Barbara Johns [mailto:barbjohns@prodigy.net] Sent: Wednesday, May 02, 2018 1:21 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Please Forward: Desert Willow Resident Rate Increase The proposed increase in the resident rate for Desert Willow— a whopping 170%— is outrageous. What kind of City Council provides a municipal golf course, then makes it virtually inaccessible to the residents of the municipality? Surely the cash cow that is Desert Willow is providing adequate income to offset a generous resident rate. The increase in TOT and property taxes from the new builds surrounding the golf course— in and of themselves — should more than make up any perceived loss from providing a resident rate. At a time when golf is declining in popularity, the council should be doing everything it in power to retain golfers, not discourage them. There are many other venues, you know. Barbara Johns 75945 Sarazen Way Palm Desert, California 1 Klassen, Rachelle From: Klassen, Rachelle Sent: Tuesday, May 01, 2018 4:19 PM To: 'nevadajohns@prodigy.net' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David Subject: FW: Kemper Proposal to increase Resident Rates Dear Mr. Johns: Thank you for your e-mail, which, by way of my reply here, I'm forwarding to the rest of City Council (blind -copied) and appropriate City staff for their consideration. Rochelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Fred Johns [mailto: Sent: Tuesday, May 01, 2018 2:50 PM To: Klassen, Rachelle<rklassen@cityofpalmdesert.org>; susanmarie@cityofpalmdesert.org; ginanestande@cityofpalmdesert.org; Kelly, Kathleen <kkelly@cityofpalmdesert.org> Subject: [SPAM] - Kemper Proposal to Increase Resident Rates Council Members: I have recently heard that Kemper made a proposal to replace the $50 resident rate with a 30% discount off the public rate of $185, requiring residents to pay as much as $130 if they want access January thru April. This proposal puts the cost to play golf for the average resident outside their ability to pay. Plus, there are many other options outside of Palm Desert to play golf at a lower rate. This proposal would definitely eliminate most of the residents playing golf at Desert Willow, reducing revenue and eroding goodwill toward the Council and Kemper. It is incomprehensible to me that anyone would make such a proposal unless it was to Kemper's own benefit, not the residents or the city. I truly believe this is a grave mistake and will create a tremendous backlash. It is also well known that Kemper Management costs are the highest in the desert. It is a shame that the revenues needed to pay Kemper's management cost are being borne on the backs of Palm Desert Residents through taxes and fees. Given a choice, future homebuyers will select Indian Wells or La Quinta rather than Palm Desert. I don't think you should underestimate the value of Desert Willow to its residents. Most of the residents cannot afford a private club and Desert Willow has been an attractive benefit for moving to the city. Fred Johns 75945 Sarazen Way Palm desert, CA 92211 2 Klassen, Rachelle From: M. E. C. < mcarman53@gmail.com > Sent: Wednesday, April 25, 2018 5:31 PM To: CityhaI Mail Cc: Leslie Bill; Carman Mary Subject: Desert Willow Resident Rate Task Force Attention: Council members Harnik, Kelly and Nestande We have recently been made aware of the ad hoc Task Force formed to bring forward proposals related to the municipal golf courses located at Desert Willow and managed by Kemper Sport. We have been led to understand that current deliberations at the Task Force level propose to eliminate the favourable Palm Desert resident rate and replace it with a substantially increased 'preferential' rate of 30% of the best available rate. There are other benefits proposed for summer rate savings but these do not benefit seasonal residents and a recommendation to remove the requirement for a California ID. Further, we understand that some sort of focus group or listening session may be recommended. As a result of this information we searched the City of Palm Desert website and located information related to this ad hoc Task Force, notably the Council minutes for meetings held on March 9 and June 22, 2017. Minutes from the March 9 Council meeting discussion do not lead us to believe that significant resident rate increases were contemplated, rather that such a Task Force would be " ... charged with taking a fresh look at all aspects of resident privileges at Desert Willow Golf Resort". Subsequently, the June 22, 2017 Council minutes noted approval of the formation of Desert Willow ad hoc Task Force "... tasked to look at all resident benefits at Desert Willow, including tee time access, resident golf rates, resident card criteria, and general benefits to the club house, restaurant, and other sorts of discounts. " Recognizing that the information shared with us may not be accurate, and depending on the timing of any consultation, (`seasonal' residents of Palm Desert are not available in the summer and fall months for study sessions, nor are we readily able to monitor city council proposals, such as the one that could come forward), we wished to share our views for future consideration when the Task Force reports to Council: ■ We have been playing golf at Desert Willow as our desert "home course" for over 15 years. As we retired, the choice of a Palm Desert address for our winter home was directly related to the availability of these two excellent municipal courses at favorable rates. The staff at Desert Willow are another reason for selecting these courses, as they treat all residents as 'members', providing a truly enjoyable golf experience. We purchase a Platinum Card annually to be able to bring friends and family to the courses. And finally, we highly recommend Desert Willow to all who ask what our favourite desert course is to play. We would sadly have to reconsider all of this should significant increases to resident rates be proposed and adopted. Based on our average of 40 games played at Desert Willow in a 3 month period, increases from the current $50/round/person to $130/roundlperson (30%discount from posted rates) would add $6400 per couple to our anticipated golf expenditures. i tC;o-L-1 • Should the increased rate be a proposal to permit greater access for residents to the course during the busy season, albeit at a higher rate but with an longer booking window while leaving the existing Resident rate with a 3 day booking period in place, that is understandable. This may not impact residents such as ourselves who purchase the Platinum Card and pay those higher rates in the busiest 6 weeks of the season for ourselves and visiting family and friends, as noted previously. • Improving summer discounts, if such discounts are a trade-off for increasing winter resident rates, would be discriminatory to seasonal residents who, we would note, pay taxes for year-round services and do not expect to be treated as second class citizens. • A change in rates such as those reportedly to be recommended by the Task Force, would dramatically alter our willingness to play at Desert Willow, and undoubtedly we would not be alone in making that decision. SCGA and online booking options already provide competitive deals for other Coachella Valley courses, with rates only slightly greater than the current $50 resident rate and these options would likely replace the Desert Willow courses as a preferred golfing option. The resulting loss of resident players' patronage may actually have an overall negative financial impact for Kemper Sport and the City. • While we are second homeowners, we have obtained California ID cards but understand the frustration and difficulties this imposes on others. We would note that the Coachella Valley Card, valuable for resident rates at Classic Club, does not require a California ID. In conclusion, we would be dismayed if significant changes to resident golf benefits were to be implemented by Council in the absence of clear communication as to the rationale behind the changes, the timely release of all Reports produced by said group, and without the input from seasonal residents, Thank you for your consideration and we trust that we will receive the requested documents or website links as the Task Force report is made available. Mary Carman Bill Leslie Residents of the City of Palm Desert, Palm Valley Country Club and Ottawa, Canada. 2 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, April 23, 2018 8:17 AM To: 'Mark Spencer' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Stanley, Jane; Evans, Donna Subject: RE: Desert Willow Dear Mr. Spencer: Thank you for your e-mail, which, by way of my reply here, is being copied to City Council (via blind copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Original Message From: Mark Spencer [mailto:markspencer110@comcast.net] Sent: Friday, April 20, 2018 7:41 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Desert Willow Why should Indian Wells residents have 33% of their morning tee times protected Oct. - May and receive pro shop, dining, range and guest privileges while paying $55 during the winter months and Palm Desert residents get none of these perks and now will have to pay $130 to get access to their public golf courses during the winter months, while the city has paid over $2M additional dollars in management fees the past twelve years and Kemper receives $175,000 bonus without regard to P&L or budget performance? Seriously what is going on? Owners can't get on anymore between about Dec10 and April10. It didn't use to be that way. You have taken something away without explanation. You have not honored you're word. As a homeowner I'd like an explanation, I'd like you to honor you're word. 1 Klassen, Rachelle From: Klassen, Rachelle Sent: Monday, April 23, 2018 8:15 AM To: jim@woodtone.com' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hermann, David; Stanley, Jane; Evans, Donna Subject: FW: Desert Willow Resident Rate Proposal Attachments: Tom Walton Letter.pdf Dear Mr. Young: Thank you for your e-mail, which, by way of my reply here, is being copied to City Council (via blind copy) and appropriate City staff for their consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cifyofpalmdesert.org From: Jim Young [mailto:jim@woodtone.com] Sent: Friday, April 20, 2018 5:35 PM To: Klassen, Rachelle rrklassen@cityofpalmdesert.org> Cc: Tom Walton <twalton@me.com> Subject: Desert Willow Resident Rate Proposal Please make copies available to all city councillors . Thank you, Jim Young 838 Fire Dance Ln. Palm Desert, CA 1 To : Palm Desert City Councillors April 20, 2018 Re: Desert Willow Residents Rate What the heck is going on here? Why the change of policy ? Why has the administration changed its policy from granting the residents of Palm Desert a preferred rate to play Desert Willow , a rate comparable to that for the residents of Indian Wells, La Quinta and other desert communities to one that is much higher? Why did your predecessors pick the preferred rate of $45 ( now $50) instead of the newly proposed rate of $130 in the first place? Might it have something to do the preferred rates at Torrey Pines ? At Silverrock? At Indian Wells Resort ? Of course it did. The council wanted to follow many other sunny communities and offer those that bought homes, supported local restaurants and stores and contributed significantly to the local economy and give those people a break on the cost of the golf. It was an inducement to buy a home in Palm Desert. So we, and many others, did. Now in the middle of the game you want to change the rules . The rack rates at resorts like Palm Desert are set high for those coming to town for a week or two and wanting to play golf in the sunshine. Those same people would not pay those high rates at home but for a couple of games on a holiday, no problem. But for those living here, whether for 12 months or only 4 or 5 months, those rates are too high. We won't pay them. We don't have to pay there. There are good golf courses in the area that charge less and we will go there. To my knowledge, the other city courses mentioned currently charge residents $55 and Tess. Tom Walton goes on to point out that other cities also protect more tee times for residents , give better summer rates and so on. But just looking at this proposed rate hike from $50 to $130 , is this simply a money grab? You see no reason to honour the original premise behind the founding fathers of this golf course? You see no reason to keep the resident rate in your city comparable to Indian Wells or La Quinta? Who cares about being competitive with the other cities, who cares about the perception of being fair and comparable with the other city courses. Lets just jack the rate 2 % times to $130 and take the money. Why don't you consider dropping the resident rate altogether? Just make everyone pay Rack Rate ? What is your reasoning for the 30% discount? What is the logic behind this new price of $130 . Other than it is $80 more than $50 so lets take the money. Hell, make it full rack for everyone and get even more money I The truth is many of the Desert Willow resident rate play will disappear. We'II go play Terra Lago North for the Resident Rate of $75 . Or play Eagle Falls for $79 or play Escena or the Classic or wherever. We can play a dozen other great courses for Tess than $130 for sure. Are none of you golfers to know that ? It's your choice, you can raise the rate to $200 if you like. I am astonished that Kemper has convinced enough members of the Task Force to recommend this $130 rate. Astounding. With regards, Jim Young Canadian Here 4.5 months per year. Klassen, Rachelle From: Klassen, Rachelle Sent: Friday, April 20, 2018 9:25 AM To: Kelly, Kathleen Subject: RE: Concerned Palm Desert Resident Yes - sure will. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Original Message From: Kelly, Kathleen Sent: Friday, April 20, 2018 9:24 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: RE: Concerned Palm Desert Resident Could you please make sure that they get notice of the upcoming study session? I have told them that while public testimony is not taken there, it is a good way to learn exactly what we learn, so that they can follow up with their own experiences. Thanks, Kathleen Kelly Councilwoman Ph: 760.346.0611 Direct: 760.776.6316 kkelly@cityofpalmdesert.org Original Message From: Klassen, Rachelle Sent: Friday, April 20, 2018 8:30 AM To: `MAZZONE BARNEY/JACKIE' <bmazzone@yahoo.com> Cc: Aylaian, Lauri <laylaian@cityofpalmdesert.org>; Alvarez, Martin<malvarez@cityofpalmdesert.org>; Moore, Janet <jmoore@cityofpalmdesert.org>; Stanley, Jane <jstanley@cityofpalmdesert.org> Subject: RE: Concerned Palm Desert Resident Dear Barney and Jackie Mazzone: Thank you for your e-mail, which, by way of my reply here, is being forwarded to City Council (via blind copy) and appropriate City staff for consideration. Rachelle Klassen City Clerk i 3a Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Original Message From: MAZZONE BARNEY/JACKIE [mailto:bmazzone@yahoo.com) Sent: Thursday, April 19, 2018 8:11 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Concerned Palm Desert Resident 12years ago we purchased a home In Palm Desert only because we wanted to have Desert Willow as our home course. I guess we were stupid because if we purchased in Indian Wells, well they know how to put their people first, giving them 2 weeks prior booking, and a golf fee Way below Desert Willow. We would set our alarm clock to wake us at midnight so we could goon line and try to book our tee times With a 3 day advance. It was not A great way to make your tax paying public very happy. We turned to Classic Club, at least you Could book during daylight hours With a 3 and one half day advance. 1 think that this mistreatment of Residents has hurt even our home Prices, as who will want to buy into This injustance when there are so many better deals out there for City homeowners. This past year, 2018 I am appalled at the offers Given to the general public, who pay no taxes, etc and we as homeowners get the shaft. We are Looking around to replace Desert Willow. I think the City Fathers Should take a second look and do what's right for residents. Thank you, Barney and Jackie Mazzone 91 Hudson Ct Palm Desert 92211 From Butch and Jackie Mazzone 2 13l Klassen, Rachelle From: Klassen, Rachelle Sent: Friday, April 20, 2018 8:27 AM To: 'Ran Hoth' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet Subject: RE: Desert Willow public asset Dear Ran Hoth: Thank you for your e-mail, which, by way of my reply here, is being forwarded to City Council (via blind copy) and appropriate City staff for consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@citycfpalmdesert.org 0 ' inal Message ram: Ran Hoth [mailto:ran.hoth@gmail.com] Sent: Thursday, April 19, 2018 7:21 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Desert Willow public asset Dear city Council members: Our family have been PD property owners for more than fifty years. The disparity in fee structure for access to our own public golf course compared to IW is almost unconscionable. We try to get access to DW during the winter season with little success. The proposal to raise resident greens fees by more than 100% is ridiculous. Please try to balance the city budget by decreasing third party management fees versus gouging the local property owners who should be your most important stakeholders. Ran Hoth 47895 Oasis Ct Palm Desert 1 Klassen, Rochelle From: Klassen, Rachelle Sent: Friday, April 20, 2018 8:30 AM To: 'MAZZONE BARNEY/JACKIE' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Stanley, Jane Subject: RE: Concerned Palm Desert Resident Dear Barney and Jackie Mazzone: Thank you for your e-mail, which, by way of my reply here, is being forwarded to City Council (via blind copy) and appropriate City staff for consideration. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Ori inal Message om: MAllONE BARNEY/JACKIE [mailto:bmazzone@yahoo.com] Sent: Thursday, April 19, 2018 8:11 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Concerned Palm Desert Resident 12years ago we purchased a home In Palm Desert only because we wanted to have Desert Willow as our home course. I guess we were stupid because if we purchased in Indian Wells, well they know how to put their people first, giving them 2 weeks prior booking, and a golf fee Way below Desert Willow. We would set our alarm clock to wake us at midnight so we could go on line and try to book our tee times With a 3 day advance. It was not A great way to make your tax paying public very happy. We turned to Classic Club, at least you Could book during daylight hours With a 3 and one half day advance. l think that this mistreatment of Residents has hurt even our home Prices, as who will want to buy into This injustance when there are so many better deals out there for City homeowners. This past year, 2018 I am appalled at the offers Given to the general public, who pay no taxes, etc and we as homeowners get the shaft. We are Looking around to replace Desert Willow. I think the City Fathers Should take a second look and do what's right for residents. Thank you, Barney and Jackie Mazzone 91 Hudson Ct Palm Desert 92211 From Butch and Jackie Mazzone 1 Klassen, Rachelle From: Ienhall3 rlenhall3@gmail.com> Sent: Friday, April 20, 2018 10:06 AM To: Klassen, Rachelle Subject: Desert Willows Resident golf rates I voted for you and expect you to keep the Desert Willows Champions Club and Palm Desert resident golfing rates at at their current level. Please remember the courses were built with Palm Desert resident taxes. The Kemper management group continues to disregard this and attempts yearly to rid themselves of the original promised resident golfing privileges. We are full time Portola CC residents. Leonard and Donna Hall 73994 Zircon Cir W Palm Desert 1 \3+ Klassen, Rachelle From: Paul Shelley <phsheiiey@gmail.com> Sent: Friday, April 20, 2018 10:06 AM To: Klassen, Rachelle Subject: Desert Willows Resident Golf Task Force Hello Rachelle, I understand that Council will again be reviewing the policy with regards to the treatment of residents with respect to the use of Desert Willows golf facility. I would like to provide my comments and views on this matter. • My wife and I bought a seasonal property in Palm Desert on the basis that we would be able to play at Desert Willows at a significantly reduced rate from the rack rate. This is consistent with other Coachella Valley cities and as the city owns and paid for the golf courses it seems to me to be a total reversal of policy if this is allowed to be altered in a material way. • While we are seasonal residents we pay all of the taxes as full time residents and believe we add a meaningful impact to the economy of Palm Desert. • We believe that Kemper is looking to change this arrangement owing to their own lack of ability to run the operation on a profitable basis. Comparing Desert Willows to Indian Wells there is a considerable difference in operations. As I understand it Indian Wells reserves 1/3 of their morning tee times in the winter for residents. At Desert Willows no such arrangement is in place. In fact, I find I can obtain tee times from October - January but not in February or March as the demand and advance booking for non residents fills the course. • Indian Wells is full in their large lounge and patio daily as they provide incentives such as happy hours to get good use of the property. Desert Willows does no such thing. Desert Willows has a wonderful food and beverage facility but the lack of interest in attracting more users with some kind of attractive pricing ensures they get nowhere near the volume that Indian Wells does. In our view Desert Willows should be doing more to attract Palm Desert residents to use the facility rather than their desired approach to provide less and less incentive for Palm Desert residents. Golf is a sport that is declining with the changing population and I believe it would be short-sighted of Council to ignore the residents who are living there and simply rely on visitors who may pay more. When the visitor interest in golf declines in the future will Palm Desert residents be asked to come back after being treated poorly if in fact Council approves a change from the existing policy. I for one am very concerned about this issue and would consider selling my property if Council makes changes to an accepted policy. I believe that the existing management of the facility should be mandated to operate it in such a way as to support the Palm Desert residents and be creative about raising addition revenues by using the dining facilities more fully as suggested above and other such changes rather than the simple way of increasing rates. I spent my life in the business world and the answer to a problem is generally not to increase rates but to look at the underlying way the operation is managed. Respectfully, Paul Shelley i Hermann, David From: Hermann, David Sent: Tuesday, April 17, 2018 217 PM To: 'Al Hodgins' Cc: Alvarez, Martin Subject: RE: Web Site Inquiry Dear Mr. and Mrs. Hodgins, Thank you for contacting the City of Palm Desert and for your thoughtful email. I am so sorry that obtaining a Desert Willow resident card has proven to be such an ordeal for you. I have forwarded your message to Martin Alvarez, the City's Director of Economic Development. Mr. Alvarez oversees Desert Willow Golf Resort on the City's behalf and the resident card program. I hope it will come as some comfort to you to know that the City has been studying the resident card requirements and ways to improve the process, especially for seasonal residents. Mr. Alvarez will have more details, but I believe that those changes are in the works and should be in place prior to next season. Mr. Alvarez or a member of his team should be following up with you soon. Thank you again for sharing your time and concerns with the City and have a wonderful day. Sincerely, David Hermann Public Information Officer Ph: 760.776.6411 Direct: 760.776.6380 dhermann@cityofpalmdesert.org From: Al Hodgins [mailto:al.hodgins@icloud.comj Sent: Tuesday, April 17, 2018 10:29 AM To: Information Mall <info@cityofpalmdesert.org> Subject: Web Site Inquiry The Trials and Tribulations of obtaining a Desert Willow Resident Card. Hello, I am writing you today to express my concerns about the process by which Palm Desert Residents apply for and receive a Palm Desert Resident Card for the purpose of Golfing at the beautiful Palm Desert owned Desert Willow Golf Courses. My wife and I were thrilled to purchase a property in the community of Villa Portofino just a few blocks down the street from Desert Willow and in the heart of the beautiful City of Palm Desert. This occurred in the spring of 2014 and after a lengthy process of moving in and getting settled the next order of business was to obtain our Desert Willow Resident Cards. Little did we know what kind of effort this would take and how complex this would be. 2015 i 13) 1.We made an appointment at the DMV. The closest DMV where we could get an appointment was in Banning, so we traveled there for that purpose. 2. We completed the appropriate forms and provided our passports. The DMV required us to submit a Legal Presence document —194 . We were told we could print these on-line. 3. We went to the local library and managed to print my I94 form, but my wife's 194 form was not available on 1 i ne. 4. We returned to the DMV and were informed that without the Legal Presence form (194) we could not complete the application process. We were given a phone number to call at Homeland Security and were asked to make arrangements to get the document through them. 5. After several weeks and a number of phone calls we managed to get an appointment at Homeland Security in Los Angeles. We traveled there for our appointment and met with a Homeland Security Officer. We provided our Passports and the Legal Presence document, which I printed on line and asked if he could provide one for my wife. He asked us why we needed it and almost "lost it" when we told him the truthful purpose was for us to obtain a California ID card, which would in turn get us our Desert Willow Resident Card. There was a point where he became extremely agitated and both my wife and I were very concerned that we may have virtually opened up Pandora's box just for the sake of a Golf Discount Card. This quickly became a very stressful and toxic situation. Thankfully the agent eventually settled down a bit and he issued my wife her 194 form and corrected mine (mine was apparently incorrect). He sent us on our way and asked us not to return. 6. We returned to the DMV, waited for 3 hours to see an agent, submitted our documents and we received our California ID cards in the mail about 5 weeks later. My wife's card had an expiry of about 3 weeks when we received it because of the 194 that Homeland Security printed for her. Mine expired a few weeks after that. We submitted the new ID Cards and the proper utility forms to Palm Desert and received our Resident Cards. 2016 1. We visited the new DMV in Palm Desert, stood in line for an hour for the application forms and for someone to look at our Passports. When we were asked about our legal presence documents we said that we did not have any. They said there would be a delay in our application and that we might have to provide more information. 2. We waited 2 hours in the waiting area for our numbers to come up; we submitted our documents and the agent processed our applications without incident or question. 3. The DMV informed us that it would take up to 6 weeks for our applications to be processed and that we would have to call a phone number they provided to follow up to see if ID cards would even be issued. (Because we were not submitting I94's) 4. We called the number many times at all times during the day without anyone ever answering or returning our call. 2 � 3� 5. A month later we decided to visit the Palm Desert Community Center to see if they would re -issue our Resident cards given that we had a receipt showing that we had made application for our California ID cards at the DMV, we had several utility bills, we had our property tax roles and given that we are just honest retired folks looking to play golf at Desert Willow at an affordable price. 6. New cards were issued for which we were very grateful. 2017 In 2017 we went through the same process as 2016 above other than very lengthy wait times at the DMV. It took us more than 4 hours to make our application for California ID cards and we were told they were not likely to be issued because we are seasonal residents. Thankfully, with our receipts from the DMV in hand and the appropriate utility bills we managed to once again get our Resident Cards without another trip to Homeland Security. The purpose of my letter today is to make sure you know what some of your seasonal residents are going through in order to golf at Desert Willow. This is a facility that we absolutely adore, where we have built friendships, where we financially support with the purchase of an annual Platinum Card, golf lessons and numerous purchases in the clubhouse and restaurant. It is true that we are only here about 5 months of the year but Palm Desert is where we truly call home for 5 months of the year. We support a local church, we volunteer in the community (as we cannot work) we spend an average of $8,000 a month in the community, we own property and therefore pay annual property taxes in the amount of $3500 a year. We pay an additional $14,000 a year looking after our property, with HOA dues that provide for utility costs, landscaping, security, gate maintenance, HVAC services, Insurance all of which filters into and through the community. We are honest law-abiding citizens that have supported Palm Desert for more than 25 years. We started brining our children here for vacations in the early 90's and have continued to visit every year since. We are now property owners and where we as visitors gladly paid the highest rack rate for golfing at DW we believe that property ownership should come with a few privileges and one of them is the privilege of golfing at DW at a resident rate. We clearly want the City of Palm Desert to control and limit the number of Resident Cards issued each year as everyone knows how difficult it is to even get a tee time during the peak months, but I have to ask, why a tax role, utility bills, HOA Invoices could not be used to validate my residency? Why do you insist on putting me through the very difficult process of acquiring a California ID card? As a seasonal resident I cannot get a 5 year CID card, I need to apply each and every year. I earnestly ask you today to look at this situation and see if there is some other way this process could facilitate the acquisition of a Resident Card even if it comes at an additional cost. Thank -you Al and Sharon Hodgins 2808 Via Calderia, 3 Palm Desert, CA 92260 al.hodRins@ieloud.com 780-289-7654 4 t 59' Klassen, Rachelle From: Rob Lasorsa arlasorsa@dc.rr.com> Sent: Sunday, February 18, 2018 3:59 PM To: CityhallMail; weber Cc: Information Mail; dwhite@desertwillow.com; pbucy@desertwillow.com; rszydlowski@desertwillow.com Subject: [SPAM] - Desert Willow Golf Resort benefits for the Retreat at Desert Willow Residents Dear City Council Members: It has come to our attention that the homeowner's at the Retreat at Desert Willow receive special membership benefits at our "City Owned" Desert Willow Golf Club. Already we have noticed new, special pricing on the DW web site for those Retreat residents and, furthermore, below is an advertisement on the Retreat at Desert Willow web site: "With the purchase of a home at The Retreat at Desert Willow, the new homeowner, along with one other, will receive membership privileges to resort. " It goes on to state the following membership benefits: MEMBERSHIP PERKS • Annual cards issued to Owner plus 1 • Complimentary Practice Range access at either the Resort or Academy based on availability • 25% off Best Available Public Rate (Non -Resident Online Pricing) • Cardholder and up to 3 guests • Tee Times made up to 60 days in advance • Discount not available on special offers or loyalty program pricing • 50% off GHIN Handicap • 25% off Apparel (Non -Sale Items) • 15% off Accessories, Gift Items, and Footwear (Non -Sale Items) • 15% off Individual Golf Lessons • 10% off Restaurant Dining (Food Only) Is the Retreat at Desert Willow owned by the City of Palm Desert? Why would homeowners at the Retreat at Desert Willow received extra benefits that other homeowners in Palm Desert do not receive? Are these new homeowners, with all of these Desert Willow benefits, full time residents? Are we missing something here? We pay additional tax assessments and fees to our City for all of the benefits for living in this wonderful community, INCLUDING special resident rates at Desert Willow. Reasonable t times for PD residents is becoming increasingly difficult. 1 Desert Willow has added some benefits to allow more time "lead" time to reserve t times, but this is at a higher cost AND is available to ALL Platinum Club Members - not just Palm Desert residents. To make matters more complicated, residents at the Retweet are able to make t times 60 DAYS in advance AND at a much cheaper price than Platinum Club Members. Here is the thing... Approximately two years ago when Desert Willow came to the City Council to ask for approval of over six hundred thousand dollars for Firecliff renovations it was overwhelmingly approved. 1 was at that meeting and, personally, spoke to voice my support of the renovations and the approval of this "enormous" use of resident taxes. I know our particular groups, that normally play Desert Willow at least twice a week - has only played once over the last month because of the lack of reasonable t times to residents. We have had to travel to other courses in the Valley to get our golf "fix". We would much rather play Desert Willow, what I consider the absolute best set of courses in the Desert as stated on my Yelp Review: A 5 star review of Desert Willow Golf Resort by Rob L. httDs://www.veha.comlbiz/desert-willow-eolf-resort-nalm- desert?hrid=O831OS YJIoO]e8o 1 O9HZve&utm source=ishare&utm content=review For what it is worth, we have the following recommendations: 1) Remove any extra benefits for those purchasing property at The Retweet at Desert Willow. They should simply receive the same benefits as the rest of tax paying FULL TIME residents (and ONLY if they are full time residents). 2) Allow full time residents to make t times a minimum of 14 days in advance for the $50 rate (instead of the current three days) Thank you for your time, Rob Lasorsa PO Box 14114 Palm Desert CA 92255 Street Address: 75595 Dempsey Drive Palm Desert CA 92211 (760) 779-9148 rlasorsa(a,,dc.rr.com 2 Klassen, Rachelle From: Klassen, Rachelle Sent: Friday, June 08, 2018 1:16 PM To: 'Kay B. Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony Subject: RE: Desert Willow Resident Play and Fees Attachments: Res 2018-33 - Resident Card Criteria - Golf Rates at DWGR.pdf Thank you for your e-mail, Ms. Bastasini. It will be forwarded to City Council for their consideration on the June 14, 2018, City Council Agenda. For your reference, I'm attaching a copy of the Staff Report that is on the agenda for Council's action. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert,org From: Kay B. [mailto:kaybast@aol.com] Sent: Friday, June 08, 2018 12:23 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Desert Willow Resident Play and Fees Honorable City Council Members: I am hearing recent info that there is going to be some changes in the Desert Willow Resident Play and Fees. I am a Broker ,own and operate my own Real Estate Company for 30 years and basically work the whole of the Valley....more of a small boutique carriage trade business specializing in mid to high end properties i also have been a member of Desert Estates Network which consists of 22 members ,for over 20 years, again high profile Brokerages operating from Palm Springs out to the east valley of La Quinta, Indio....We meet on a monthly basis , network among each other, discuss all aspects of real estate and note any particular items of interest taking place in any one of our cities... This subject matter was a discussion at our monthly meeting yesterday and I can say that there was much chagrin in hearing about the changes that are on the table to be voted on that we as a group perceive to be negative...Every city in the Valley has a city course avail for preferred rate resident play....which has a positive affect on potential buyers looking at real estate where they can play at a preferred rate... I would respectfully request that the City Council give any change to the current policy in effect notable consideration as to the negative aspects and affect the changes will have... Respectfully Submitted... Kay Bastasini, Broker i Kay Bastasini, Broker Desert Vintage Realty 760-774-4439 DRE License # 00970604 2 1 Lff5 Klassen, Rachelle From: Klassen, Rachelle Sent: Friday, June 08, 2018 1:48 PM To: 'doug@dougbalog.com' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony Subject: RE: Desert Willow Golf Resort Proposed Price Increase to Residents Attachments: Res 2018-33 - Resident Card Criteria - Golf Rates at DWGR.pdf Dear Mr. Balog: Thank you for your e-mail, which will be distributed to City Council and appropriate City staff for the June 14, 2018, Regular City Council Meeting Agenda packet. For your reference, attached is a copy of the staff report being considered by City Council on June 14. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: doug@dougbalog.com [mailto:doug@dougbalog.corn] Sent: Friday, June 08, 2018 1:41 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Cc: 'Annette@CDARonline.org' Annette@CDARonline.org>; 'Diane@DianeBusch.com' <Diane@DianeBusch.com>; 'Scott@ScottJNewton.com' <Scott@Scott.INewton.com>; 'PaulHerreraCDAR@gmail.com' Pa u I He rre ra CDAR@gma i l.com> Subject: Desert Willow Golf Resort Proposed Price Increase to Residents Attention: Rachelle D. Klassen, City Clerk Please forward the following message to City Council Members and appropriate City Staff. As a resident of Palm Desert and a Palm Desert Real Estate Broker Associate, I am encouraging the Palm Desert City Council members at the June 14th Council Meeting to reject the Desert Willow Golf Resort Management Company proposal to implement a new pricing schedule for Desert Willow Golf Resort for this upcoming year. It was brought to my attention the Mayor, Resort Management Company Manager and a select number of City staffers are proposing to quietly undermine the 'Palm Desert Resident Golf Program' at Desert Willow Golf Resort —which in fact is owned by Palm Desert residents! The Council's recommendation to eliminate the current preferred golf rates program from $50 to a $130 proposed percentage discount formula for Palm Desert residents will effectively end the Palm Desert Resident golf program. From information I gathered regarding the Task Force, it seems the outcome of the Task Force was 'predetermined' by the Mayor, Manager of Desert Willow Golf Resort Management Company and a select group of City staffers all participating on the Task Force. A matter of such importance to Palm Desert Residents requires more discussion and recommendations from an independent, impartial Task Force. i Our Coachella Valley real estate peers sell features and benefits to prospective homeowners for each City; one maior benefit is the Resident Golf Program discounted golf rate. Our neighboring cities; Rancho Mirage, Indian Wells and La Quinta offer their residents rates of $50 to $70 per golf round. I'm even more surprised the City Task Force has not enlisted the opinion of our local real estate association; CDAR (California Desert Association of Realtors) since our industry is on the front line of prospective new homeowners and businesses seeking residency in Palm Desert. Palm Desert would be at a distinct disadvantage to neighboring cities with the proposed new pricing schedule. Most Important, Palm Desert Residents would not benefit in the enjoyment of their `RESIDENT OWNED' golf course and their 'RESIDENT OWNED' club house amenities! I encourage City Council Members to reject the proposed price schedule and appoint a truly independent, impartial Task Force to develop a more balanced and `resident friendly' program for City Of Palm Desert's jewel of public amenities. Cheers Doug The $ALOG Group inninntlpngr kitwY hpmrs Doug Balog Broker Associate CaIBRE# 01197951 C: 760.275.2343 B:760.601.5151 E: douoOdouabaloa.com www.douabaJoa.com BERKSHiRIE: HATHAWAY LUXURY CC>LLEC T 1c 2 Klassen, Rachelle From: Klassen, Rachelle Sent: Friday, June 08, 2018 2:29 PM To: 'ray padilla' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony Subject: RE: Ms. Klassen please forward the attached to all parties concerned. Thank you its greatly appreciated. Attachments: Res 2018-33 - Resident Card Criteria - Golf Rates at DWGR,pdf Dear Mr. Padilla: Thank you for your e-mail, which will be forwarded to City Council and City staff for their consideration for the June 14, 2018, Regular City Council Meeting Agenda item. For your reference, attached is a copy of the staff report prepared for this matter. Rochelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rkiossen@cityofpalmdesert.org From: ray padilla [mailto:ray_pad@yahoo.coml Sent: Friday, June 08, 2018 2:10 PM To: Klassen, Rachelle rrklassen@cityofpalmdesert.org> Subject: Ms. Klassen please forward the attached to all parties concerned. Thank you its greatly appreciated. Subject: RE: PLEASE STOP KEMPER'S PROPOSAL TO RAISE RESIDENT RATES TO S130 NEXT WINTER Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen @cityofpal mdesert. org I am a very concerned citizen of Palm Desert and yes a golfer. I am concerned that the proposal/contract being considered between our city and Kemper Golf will be implemented to the detriment of not only resident golfers but to all of the Palm Desert future residents for whom Desert Willow was intended. Many of us who avail ourselves of the beautiful tax dollar built Desert Will Golf Resort come from business backgrounds and understand what is being put forward by Kemper as dynamic pricing (also called: surge pricing, time based pricing etc.} and do not begrudge any business a fair profit. But 138% increase on the backs of the residents f I4" whose tax dollars assisted in the creation of our facility exceeds fair pricing. Dynamic Pricing is most effective when applied fairly to both parties. Especially where public entity dollars are concerned. To economically deprive residents of using the facility during peek season does not serve the intent of any public facility or service. it should be remembered that Palm Desert has one of the most desirable facilities in the Coachella Valley and as such, you as the city's stewards have a great amount of leverage and responsibility to prevent exorbitant resident price increases. I understand that long term relationships are comfortable but there comes a time in every business or public entity's relationship when the cost outweighs the comfort. I am sure Kemper enjoys and has enjoyed the intrinsic value of listing Desert Willow as a client on its resume as much as the dollars it has earned over the years from its management contract with our city. However if Kemper cannot make a fair profit without rates that penalize Palm Desert residents than perhaps our city council and city administrators should reopen the bidding process via RFP. Respectfully, Ray Padilla 661 Desert Falls Driver North Palm Desert, CA 92211 2 4-1 Klassen, Rachelie From: Klassen, Rachelle Sent: Friday, June 08, 2018 5:13 PM To: 'Barbara Johns' Subject: RE: Desert Willow pricing Attachments: Res 2018-33 - Resident Card Criteria - Golf Rates at DWGR.pdf Thank you for your e-mail, Ms. Johns. It will be distributed to City Council and staff for the June 14, 2018, regular City Council Meeting Agenda Packets. For your reference, attached is a copy of the staff report for the item on next Thursday's meeting. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org Original Message From: Barbara Johns [mailto:barbjohns@prodigy.net] Sent: Friday, June 08, 2018 4:33 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: Desert Willow pricing Regarding Desert Willow dynamic pricing: Kemper's "rack rate" changes every day and throughout the day. How can the Council justify its use when determining what residents will pay? Very few customers pay the rack rate, even during high season. Barbara Johns 75945 Sarazen Way Palm Desert 1 Klassen, Rachelle From: Klassen, Rachelle Sent: Tuesday, June 12, 2018 9:18 AM To: 'Downey Michael' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony Subject: RE: Desert Willow Resident Pricing Dear Michael: Thank you for your e-mail, which will be distributed to the City Council for the June 14 agenda packets. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklcassen@cityofpalmdesert,org From: Downey Michael [mailto:mdowney04@gmail.com] Sent: Tuesday, June 12, 2018 9:16 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Cc: susanmarie@cityofplamdesert.org; ginanestande@cityofplamdesert.org; Kelly, Kathleen kkel ly@ cityofpa lmdese rt.org> Subject: Desert Willow Resident Pricing Dear Ms. Klassen, Please distribute this message to all council members prior to the June 14th meeting concerning proposed changes to the Desert Willow Residents Dynamic Pricing program. Thank you, Michael Downey 1609 Via San Martino Palm Desert, CA 92260 12 June 2018 1 To Whom It May Concern: I am writing to make you aware of our concern with the proposed change to the resident pricing formula at Desert Willow Golf Club. In 2014, while considering our move to the Coachella Valley, we looked at property in both La Quinta and Palm Desert. Both cities were thought to be of equal value but the one "big plus" for us was the ability to play at our municipal course as residents. As a result, we purchased our home and have been proud residents ever since. Both of us participate in the community as members of the emergency response team., also supporting local merchants and restauranteurs when possible.... I have the Visa bills to prove it!! What we find disappointing is that Kemper Management, with no affiliation to our community, has proposed to drastically change the residents pricing currently in place. They have NO community involvement, yet members of the city management team are considering Kemper's position. Although the change will not result in our moving immediately, we will discontinue to support Palm Desert merchants and restauranteurs. If city hall will not support us as residents, we have a difficult time understanding why we should support the Palm Desert merchants. It would be unfortunate not to play Desert Willow, but there are many golf courses in the Valley which would welcome an influx of Palm Desert Golfers. When voting, please take the time to consider your options from a community perspective. Thanking You in Advance, Michael Downey Madeleine Mathieu z 5n Klassen, Rachelle From: Klassen, Rachelle Sent: Wednesday, June 13, 2018 8:19 AM To: 'todd@toddlater.com' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony Subject: FW: My name is Todd Later Attachments: My name is Todd Later.docx Dear Mr. Later: Thank you for your e-mail and letter, which will both be distributed to City Council and City staff for their consideration for the June 14 meeting. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Todd Later [mailto:todd@toddlater.com] Sent: Tuesday, June 12, 2018 7:55 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: My name is Todd Later Please see my letter attached regarding the upcoming Palm Desert City Council Meeting on Thursday, June 14' at 4:00pm. Please circulate to all appropriate Parties. Thank you very much. Best regards, -Todd Later 1 151 My name is Todd Later, and I am an Owner and full-time Resident at 25 Covington Drive in Palm Desert. I reside in the Montecito Home Community, which is immediately adjacent to the Desert Willow Golf Resort ("DWGR"). I am also a Realtor with Sotheby's International Realty and the Team of Dave Kibbey & Associates, specializing in the purchasing and selling of homes in the Palm Desert, Rancho Mirage and Indian Wells Communities. As a pertinent note, both I, and my Dave Kibbey Team Associates have sold four (4) single family homes within the 98-home Montecito Community within the past 4 months, beginning in February of this Year. purchased my home in Palm Desert in August, 2013. I researched many Desert Communities (with gated security) and determined that Palm Desert offered the best overall amenity package, in which golf and dining facilities were my two highest priorities. I specifically chose the Montecito Community, because of the immediate proximity to both DWGR and the JW Marriott Desert Springs Resort and Spa. The three primary Communities of Palm Desert, Rancho Mirage and Indian Wells offer very similar competitive golf discounted fees. Discounted golf fees are a fundamental consideration for many avid golf retirees who relocate to the Desert Region. As an active Realtor specializing in these three communities, I personally promote the key advantages of competitive golf fees and the corresponding Owner/Resident privileges as a primary attraction. As you are aware, the neighboring Communities of Rancho Mirage and Indian Wells offer Resident Rates in the $50.00 range, during the high -Season in their respective Communities. DWGR has been equally competitive with its approximate $45.00 to $50.00 Resident Rates. As an aside, Indian Wells offers free Fitness Center services at the Indian Wells Hyatt Resort and up to 20% discounts on many Indian Wells restaurants. Golf discounts, fitness and dining service discounts are all valuable perks offered to prospective home buyers and are heavily promoted in the CDAR Multiple Listing Service ("MLS"). The majority of every available home listing in the MIS, in these three communities, list the golf, dining or fitness services as a material perk to purchasing a home in these Communities. Based upon my own personal experience and professional residential sales experience, retaining the current Resident Rate discounted fees at DWGR in the range of $45.00 to $50.00 during the prime times in Prime Season are a fundamental factor in keeping DWGR competitive in the Desert Region, both in attracting a higher volume of Resident golfers and in impacting residential home sales in the Palm Desert Community. Every one of my sales pitches to prospective golfers interested in purchasing a home in the Desert Region includes the competitive golf fees available in the respective Communities. If DWGR proceeds to materially increase the Resident Rate fees, as proposed, Palm Desert will no longer be competitive with Rancho Mirage and Indian Wells Resident golfers, and over time, the City of Palm Desert will experience both a reduction in revenue at DWGR, as Palm Desert golfers will seek more economic alternatives and new prospective homeowners who enjoy golf on a regular basis will seek the more competitive opportunities offered to Residents in Rancho Mirage and Indian Wells. I actively request, on behalf of my fellow Palm Desert golfers and fellow Realtors affiliated with CDAR, that the City Council seriously re-evaluate the potential consequences of approving the Kemper Sports "Dynamic Pricing' Proposal in relation to its potential negative impact on the City of Palm Desert. Thank you for your consideration. -Todd Later lc-3D Klassen, Rachelle From: Klassen, Rachelle Sent: Wednesday, June 13, 2018 10:48 AM To: 'donsummers760@gmail.com' Cc: Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony Subject: FW: City of Palm Desert Resident Golf Card Program Attachments: City of Palm Desert - 6-13-18.pdf Dear Mr. Summers: Thank you for your e-mail and letter, which will be distributed to City Council and appropriate City staff for the June 14 agenda packets. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Don Summers[maiito:donsummers760@gmail.com] Sent: Wednesday, June 13, 2018 10:41 AM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org> Subject: City of Palm Desert Resident Golf Card Program Dear Ms. Klassen: Please circulate the attached letter to the honorable members of the Palm Desert City Council, the City Manager, and to members of the Task Force. Thanking you in advance, Sincerely, Don Summers, CRS Broker, REALTOR CDPE, CHS, CRS, GREEN, SFR Cal BRE #01290389 cell: 760-774-9690 FAX: (888) 400-9170 (toll -free) SUMMERS REALTY Resort, Vacation & Estate -Quality Homes in the California Desert 77707 Carla Court Palm Desert, CA 92211 Cal BRE #01951125 e-mail: donsummers760(&2mail.com Follow me on twitter: www.twitter.com/DonSummersCRS i U.5-5 Don Summers, Broker SUMMERS REALTY 77707 Carla Court Palm Desert, CA 92211 760-774-9690 June 13, 2018 Ms. Rachelle Klassen, City Clerk, City of Palm Desert Please distribute to: Members of the City Council City Manager Task Force Members Honorable Members of the City Council, Ms. Aylaian, Members of the Task Force: Re: City of Palm Desert Resident Golf Card Program. 1 am opposed to ANY changes to the City of Palm Desert Resident Golf Card Program, including any increases in greens fees, at Desert Willow Golf Resort. I attended the grand opening of the Desert Willow Golf Resort Clubhouse. I heard the speeches. I heard how proud we should be for investing in the development of OUR OWN municipal golf resort. I heard how the celebration of the grand opening of OUR clubhouse was the culmination of the City Council's two goals in originally developing the resort: 1) creation of a world -class, public -access golf resort that would attract visitors from all over the world to the City of Palm Desert, and 2) low-cost access to the citizen -residents of Palm Desert to enjoy golf at THEIR golf resort. The proposed Dynamic Pricing model. if approved. would renege on the Promises made to us citizen -residents by the City of Palm Desert. 1 am a golfer. My wife and I moved to the desert in 2000. When we started to search for a home in 1999, my wife and I listed the usual criteria: number of bedrooms and bathrooms, pool/spa, number of garage spaces, budget. However, I also had one non-negotiable requirement: the property must be within the city limits of Palm Desert. To us, the pride evidenced by the vision and the quality of the development of Desert Willow was enough for us to choose Palm Desert as our new home. I wanted to be eligible for the Resident Golf Card Program at Desert Willow. We had researched the development of Desert Willow and the promise of low-cost access made to the citizen -residents of the city. The proposed Dynamic Pricing model, if approved, would renege on that fundamental promise made to the citizen - residents of the city. 5 i R. Klassen, City Clerk June 13, 2018 If the Dynamic Pricing model is approved. I expect the Resident Golfer Card Program will end for lack of participation. If so. Property values in the City of Palm Desert would decline on a relative basis to other cities in the valley. In addition to being a golfer, I am a real estate broker. I have eamed the highest designation one can obtain in real estate (CRS — Certified Residential Specialist). I have served as the state-wide Broker for one of the larger resort development builders in the county. Currently, I own my own brokerage. Upon teaming that a prospective buyer likes to play golf, I make a point of taking them to lunch at Desert Willow, even playing a round of golf with them there. It is there that I tell them about the history of the golf course, about the intention of the city to create a first-class municipal golf resort with the dual goals of providing a substantial benefit for its residents and to attract visitors from all over the world. I have sold dozens and dozens of homes in Palm Desert to golfers. 1 am proud of my city. When one of my golfer -clients purchases a home in the City of Palm Desert, I can attest that access to the Resident Golf Card Program at Desert Willow was as much a deciding factor in the purchase of their home as it originally was for me, even if it means paying a little more. I expect many of my real estate colleagues have had similar experiences with a substantial number of their buyers. While only based on my conversations with my clients, I strongly believe that should the Resident Goff Card rates be increased any more than minimal cost -of -living percentages, participation in the Resident Golf Card Program will wither to the point the program will end. This would eliminate a substantial benefit to owning a home in the City of Palm Desert. This will certainly lead to a decline in Palm Desert property values on a relative basis to other cities in the desert which have a more attractive and low-cost municipal golf option. Desert Willow Golf Resort should be viewed and managed as a community amenity. not strictly as a "profit center." Desert Willow Golf Resort is clearly a world -class public -assess golf resort. It attracts tens of thousands of tourist -visitors a year to our community. These golfers not only play golf, but shop and dine out (sales taxes), and rent hotel rooms and short-term vacation rentals (TOT). i've rnet many golfers who put playing at Desert Willow on their list of 3 or 4 courses to play each time they visit. Someone smarter than me should be able to empirically calculate the economic value such a magnet golf resort contributes to the City of Palm Desert, but it should be safe to assume it is substantial. As such, these tourist -visitors contribute to our economy and to our city coffers in many, many ways —not just in greens fees. To this day, I consider Desert Willow one of the finest lifestyle amenities our city offers to its residents -consistent with the vision those members of the City Council originally intended when approving its development. Desert Willow should be considered as much an asset to the community as well -maintained parks, or walking trails, or bike paths, or community recreational facilities, or skateboard parks, or college campuses, or community festivals, or holiday celebrations, or performing arts facilities, or even the Aquatic Center. z R. Klassen, City Clerk June 13, 2018 Anyone who looks at operating Desert Willow strictly as a profit center is deaf to the original promises made to us citizen -residents and blind to the contributions it makes to the quality of life and to our economy. Kemper: Manaae better. City Council: Raise fees on those who are not citizen -residents. As the steward of our community asset, Kemper should be challenged first with the difficult task of managing better: cutting waste and expenses wherever possible while continuing to maintain high standards in the management of the club. Only after this has been undertaken should there be any consideration for revenue increases. Even then, when it is painfully clear that revenues need to be increased, raising rates on the city's citizen -residents should be considered a last resort. if you must, increase revenues on all other non-resident discount programs first. If, after cutting unnecessary expenses, you feel obligated to increase revenues, simply look no further than the discounted rates charged to tee time booking web sites (GolfNow, Standbygolf, etc.) and to the discount card programs currently being offered to non-residents of Palm Desert. These discount programs to non-residents do not respect the support we citizen -residents of Palm Desert originally made to develop the facility, and that we continue to make, through our taxes and votes, to support and maintain this valuable community asset. In summary, the proposed Dynamic Pricing model 1) reneges on the promises made to the citizen -residents of the city, 2) would negatively affect property values in the city, 3) seems to redefine Desert Willow Golf Resort as a profit center, not as a community amenity, 4) seems to focus on raising revenues first before the more difficult task of cutting expenses has been attempted, and 5) if revenues must be increased, increasing rates an citizen -residents should be considered only as an absolute last resort. Respectfully submitted, Don Summers Resident of Palm Desert since 2000 3 \5G Klassen, Rachelle From: Sent: To: Cc: Subject: Dear Mr. Coulter: Klassen, Rachelle Wednesday, June 13, 2018 3:56 PM Steve Coulter Aylaian, Lauri; Alvarez, Martin; Moore, Janet; Hernandez, Anthony FW: Dynamic Pricing Schedule That Should Be Considered Thank you for your e-mail, which will be distributed to City Council and appropriate City staff for inclusion in the June 14 agenda packets. Rachelle Klassen City Clerk Ph: 760.346.0611 Direct: 760.776.6304 rklassen@cityofpalmdesert.org From: Steve Coulter [mailto:slcoulter2003@yahoo.com] Sent: Wednesday, June 13, 2018 3:02 PM To: Klassen, Rachelle <rklassen@cityofpalmdesert.org>; Tom Walton <twalton@me.com> Subject: Dynamic Pricing Schedule That Should Be Considered I have voiced my (negative) opinions on the changes to the resident fees schedules already. They are prohibitively high for the average resident to play and will drive resident rounds to other local courses. This is primarily due to the fact that the average resident (and, certainly, me) goes golfing with just a few hours to a few days notice. So the "Minimum" fee in the Dynamic Pricing Model is absolutely useless for us. In addition, we look at the ability to complete a round. So, if the tee time is not going to allow for a full 18 holes, those times and rates are again, useless. If the Council is interested in maintaining the residents' playing base, a better discount should be considered, rather than simply trying to maximize the extraction of dollars from residents. The Kemper proposal is: Peak (Jan 22 - Apr 8) Spring (Apr 9 - May 28) Summer (May 29 - Sep 23) Fall (Sep 24 - Nov 26) Holiday (Nov 27 - Jan 21) 30% off 40% off 60% off 40% off 40% off Typical resident rate (per my comments above) $130 (Sunrise or Prime) $81 (Sunrise or Prime) either $20 or $26 (Sunset or Twilight) either $57 or $93 (Twilight or Sunrise/Prime) $93 (Sunrise or Prime) Here's my suggestion is: Peak 60% $74 Spring 50% $67.50 Summer 40% $30 - $39 Fall 50% $47.50 - $77.50 Holiday 60% $62 Early birds in the summer will still pay a little more ($57), but you generally have prices that are far more in line with the current $50 rates, with a discount in summer which is when all valley courses discount their fees. Steve Coulter 74085 Via Venezia, Palm Desert, CA 92260 1 Klassen, Rachelle From: Stanley, Jane Sent: Thursday, June 14, 2018 11:32 AM To: Klassen, Rachelle Subject: FW: Desert Willow Resident Rate Increases Blind copied to the City Council From: Rob Lasorsa [mailto:rlasorsa@dc.rr.com] Sent: Thursday, June 14, 2018 11:27 AM To: CityhallMail <Cityhall@cityofpalmdesert.org> Cc: Information Mail <info@cityofpalmdesert.org>; Larry.Bohannan@DesertSun.com; info@kemperlesnik.com; dwhite@desertwillow.com; bnation@desertwillow.com; bsimpson@kempersports.com; jburns@desertwillow.com; slesnik@kempersports.com; sskinner@kempersports.com; jlesnik@kempersports.com Subject: Desert Willow Resident Rate Increases Dear City Council Members and Others: It has come to our attention that our City/RESIDENT owned Desert Willow Golf Club is considering, through the City, a increase in rates for tax paying residents. We understand that this would be considered "dynamic pricing" and rates would vary according to time of year, t time availability, and other factors. However it is discussed and "disguised", new resident pricing will amount to a significant price increase for residents. We urge City Council to vote against ANY plan that involves resident price increases or any other "dynamic" pricing options. We pay additional tax assessments and fees to our City for all of the benefits for living in this wonderful community, INCLUDING special resident rates at Desert Willow. Reasonable t times for PD residents has become increasingly difficult. In fact, City Council should be acting to help residents with Desert Willow t-time availability. The first four or five t times, especially on weekends, should be solely blocked off for residents only and at the current resident rate. Let me also add Approximately two years ago when Desert Willow came to the City Council to ask for approval of over six hundred thousand dollars for Firecliff renovations it was overwhelmingly approved. I was at that meeting and spoke to voice my support of the renovations and the approval of this "enormous" use of resident taxes. 1 Our groups thoroughly enjoy Desert Willow, what I consider the absolute best set of courses in the Desert as stated on my Yelp Review: A 5 star review of Desert Willow Golf Resort by Rob L. https://www.velp.com/biz/desert-willow-golf-resort-palm- desert?hrid=O83IOSYJIoOJe8o1O9HZva&utm source=ishare&utm content=review However, if these price increases go through, we will have to take our business elsewhere. We have already discussed with a number of clubs pricing opportunities for Palm Desert Residents that could be as high 50 golfers that currently play Desert Willow. This will be tremendously detrimental to Desert Willow, especially during the Late Spring, Summer, and Early Fall months when we are greatly needed. Additionally, let me be succinctly clear: I have voted, time and again, AND helped to financially support FOUR of the current five members of City Council. Those votes and financial support will disappear if any increases or "dynamic" pricing changes are made against Palm Desert Residents at Desert Willow Golf. One more thing If this is being initiated by Kemper Sports, drop them! Kemper Sports has a history of managing "Goat Tracks" and charging enormous sums of money at their courses (see Bandon Dunes in Oregon and Streamsong Resort in Florida). Don't let them dictate their philosophies to Palm Desert City Residents who OWN Desert Willow Golf Club. Thank you for your time, Rob Lasorsa PO Box 14114 Palm Desert CA 92255 Street Address: 75595 Dempsey Drive Palm Desert CA 92211 (760) 779-9148 rlasorsa@dc.rr.com 2