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Home My WebLink About1999-10-13 HC Regular Meeting Agenda Packet PALM DESERT REDEVELOPMENT AGENCY MEMORANDUM smy DATE: OCTOBER 15, 1999 TO: SHEILA R. GILLIGAN, DIRECTOR OF COMMUNITY AFFAIRS/ CITY CLERK FROM: DIANA LEAL, SENIOR OFFICE ASSISTAN SUBJECT: HOUSING COMMISSION ATTENDANCE Attached is a copy of the Housing Commission sign-in sheet showing attendance for the October 13, 1999 meeting for your records. Thank you. HOUSING COMMISSION MEETING OF OCTOBER 13, 1999 3:30 P.M. NORTH WING CONFERENCE ROOM SIGN-IN SHEET NAME PLEASE SIGN Carrie McLeod, Chair - ,iiroi Ben Kurtz, Vice Chair `----) Roger Dash I Philip Sladick / ^ (( a Larry Saindon '''..0 ,__., Leo Sullivan < Guest Name Address 4-L s E"//1s.1:;----Thn-TR.-/e-i n / '/c__. L--- ( /3 r ) 7-3-- /S-- '-i-74AjrLf/21/‘/ii-fr4-: --f6-4•4711-4:11 ‘Cte) Av/A)Dia G(/�24 .) 73-3/9` %i 179 -----) _ , 6 AI i __I: �1t ie 73 3/ S <()mac,v /n y(4i c / Pi). �-7_ a civ ahilio D( ii-q-- 12D • POSTED AGENDA HOUSING COMMISSION OCTOBER 13, 1999 3:30 P.M. NORTH WING CONFERENCE ROOM DECLARATION OF POSTING I,Diana Leal,Senior Office Assistant of the Palm Desert Redevelopment Agency,do hereby declare that the foregoing agenda for the Housing Commission Meeting of Wednesday, October 13, 1999 was posted on the bulletin board by the outside entry to the Council Chambers, 73-510 Fred Waring Drive,Palm Desert, on October 6, 1999. Dated: b , 1 9 i a Leal, S o Offic Assistant 0 Palm Desert Redevelopment Agency PALM DESERT REDEVELOPMENT AGENCY MEMORANDUM DATE: OCTOBER 6, 1999 TO: HOUSING COMMISSION MEMBERS FROM: DIANA LEAL, SENIOR OFFICE ASSISTAN I SUBJECT: NOTICE OF HOUSING COMMISSION MEETING A meeting of the Housing Commission will be held on Wednesday, October 13, 1999 at 3:30 p.m. in the North Wing Conference Room. Enclosed is the agenda. Please call me at 776-6349 to let me know if you will be able to attend the meeting because a quorum is necessary in order to conduct business. Thank you for you cooperation in this matter. PALM DESERT REDEVELOPMENT AGENCY MEMORANDUM DATE: OCTOBER 6, 1999 TO: JIM FOLEY,VICE PRESIDENT -RPM COMPANY TERRY PARKER, REGIONAL SUPERVISOR- RPM CO ANY FROM: DIANA LEAL, SENIOR OFFICE ASSISTANT SUBJECT: NOTICE OF HOUSING COMMISSION MEETING You are invited to attend a meeting of the Housing Commission which will be held on Wednesday, October 13,1999 at 3:30 p.m.in the North Wing Conference Room at the City of Palm Desert. ® Please be prepared to present a report regarding the Housing Authority properties. Attached is an agenda packet. Your attendance is greatly appreciated. POSTED AGENDA =s�j. \, Ss ! ' - HOUSING COMMISSION A� • eig h I MEETING •••• 3:30 P.M. Wednesday, October 13, 1999 North Wing Conference Room ****************************************************************** I. CALL TO ORDER II. ORAL COMMUNICATIONS A. Any person wishing to discuss any item not otherwise on the Agenda may address the Commission at this point by giving his/her name and address for the record. Remarks shall be limited to maximum of five minutes unless additional time is authorized by the Commission. B. This is the time and place for any person who wishes to comment on nonhearing Agenda items. It should be noted that at Commission discretion, these comments may be deferred until such time on the Agenda as the item is discussed. Remarks shall be limited to a maximum of five minutes unless additional time is authorized by the Commission. III. APPROVAL OF MINUTES A. MINUTES of the Housing Commission meeting of September 8, 1999 IV. INFORMATIONAL ITEMS A. Housing Authority Properties Tour V. NEW BUSINESS A. Acceptance of Letter of Resignation submitted by Philip Sladick B. Bylaws/Ordinance Revision VI. CONTINUED BUSINESS 1 A. Status of Disposition of Santa Rosa Apartments B. 73-610 Santa Rosa Way Disposition C. RPM Follow-up Items from July 14, 1999 meeting D. Reserve Study- Jim Foley(Continued) E. Acquisition/Rehab/Resale Program Update (Charlene) Rebecca Road Properties - Vacant lot discussion F. Housing Authority Properties (Terre) 1. Fiscal Year 1999/2000 Housing Authority Budget Adjustment and Authorize RPM to enter into a contract with Killer Bee Swarm Removal on behalf of the Housing Authority(Action Required) 2. One Quail Place- Capital Improvement Update - Tree Removal/Landscape - Painting 3. Neighbors Gardens, Catalina Gardens, Taos Palms Apts. and Las Serenas Authorization to Advertise&Call for Bids for the Resurfacing of the Properties (Action Required) 4. Desert Pointe Apartments Authorization to Advertise&Call for Bids for Carport • Installation(Action Required) G. Mobile Home Park Issues 1. Portola Palms Mobile Home Park Sale of Lots -Update (Terre) Sale of Lots#44(Action Required) VII. REPORTS A. Home Improvement Program Update(Bryce) B. Santa Rosa Apartments Rehabilitation Update (Charlene) C. 40-Acre Site Update (Terre) D. Habitat for Humanity Project Update(Terre) E. Housing Projects Update (Terre) VIII. NEXT MEETING DATE-NOVEMBER 10, 1999 IX. ADJOURNMENT s ��•Y . POSTED AGENDA rtil .14 SING COMMISSION - _ ,4 h.I MEETING 3:30 P.M. Wednesday, October 13, 1999 North Wing Conference Room ****************************************************************** I. CALL TO ORDER II. ORAL COMMUNICATIONS A. Any person wishing to discuss any item not otherwise on the Agenda may address the Commission at this point by giving his/her name and address for the record. Remarks shall be limited to maximum of five minutes unless additional time is authorized by the Commission. B. This is the time and place for any person who wishes to comment on nonhearing Agenda items. It should be noted that at Commission discretion, these comments may be deferred until such time on the Agenda as the item is discussed. Remarks shall be limited to a maximum of five minutes unless additional time is authorized by the Commission. Sorter III. APPROVAL OF MINUTES Section A A. MINUTES of the Housing Commission meeting of September 8, 1999 IV. INFORMATIONAL ITEMS A. Housing Authority Properties Tour V. NEW BUSINESS B A. Acceptance of Letter of Resignation submitted by Philip Sladick B. Bylaws/Ordinance Revision wt; VI. CONTINUED BUSINESS P' • A. Status of Disposition of Santa Rosa Apartments B. 73-610 Santa Rosa Way Disposition C C. RPM Follow-up Items from July 14, 1999 meeting D. Reserve Study-Jim Foley(Continued) E. Acquisition/Rehab/Resale Program Update (Charlene) Rebecca Road Properties Vacant lot discussion F. Housing Authority Properties (Terre) D 1. Fiscal Year 1999/2000 Housing AuthorityBudget Adjustment g and Authorize RPM to enter into a contract with Killer Bee Swarm Removal on behalf of the Housing Authority(Action Required) 2• One Quail Place - Capital Improvement Update Tree Removal/Landscape - Painting 3• Neighbors Gardens, Catalina Gardens, Taos Palms Apts. and Las Serenas Authorization to Advertise& Call for Bids for the Resurfacing of the Properties(Action Required) 4. Desert Pointe Apartments Authorization to Advertise& Call for Bids for Carport Installation (Action Required) G. Mobile Home Park Issues G1. Portola Palms Mobile Home Park Sale of Lots - Update Sale of Lots#44 (Action Required) (Terre) VII. REPORTS H A. Home Improvement Program Update(Bryce) B. Santa Rosa Apartments Rehabilitation Update(Charlene) C. 40-Acre Site Update(Terre) D. Habitat for Humanity Project Update (Terre) E. Housing Projects Update (Terre) VIII. NEXT MEETING DATE-NOVEMBER 10, 1999 IX. ADJOU RNMENT RNMENT *.*** fv4c, Minutes ° 9%`S CONVENE 3:35 p.m., Wednesday, October 13, 1999 ROLL CALL Members Present. Carrie McLeod, Larry Saindon, Roger Dash, Leo Sullivan, Ben Kurtz Members Absent: None Others Present: Teresa La Rocca, Dennis Coleman, Charlene Sumpter, Bryce White, Diana Leal Guest(s): Terry Parker, RPM Regional Manager ORAL COMMUNICATIONS The following visitors introduced themselves and expressed their interest in participating as Housing Commission Members: • 1. Patricia Rice of Las Serenas 2. Linda Ward of Las Serenas 3. Bernice B. Lanahaw of Las Serenas 4. Jeanne Leduc, a Palm Desert Resident MINUTES It was moved by L. Saindon and seconded by L. Sullivan to approve the minutes of September 8, 1999. Motion was carried to approve the minutes. INFORMATIONAL A. HOUSING AUTHORITY PROPERTIES TOUR ITEMS Terre spoke of the Housing Authority Properties Tour which took place on September 16, 1999. She inquired if any of the Commission members had any questions or comments. L. Sullivan said that he was impressed with the work which has been done to date. Terre said that the Council will be touring City and RDA properties in January; if there is an opportunity for the commission to take part in that tour, the commission will be notified. 414 R. Dash asked why property flyers do not state that they belonged to the Housing Authority. Terre said that this was done by design so that the properties could stand on their own merit. 1 Minutes Oct. 13, 1999 a0 s�G c0 SSON INFORMATIONAL R. Dash asked how interested tenants know that the apartment ITEMS complexes are affordable housing. Terre said that they usually (CONTD) contact the City or the County to inquire about affordable housing and at that time they are given information on the available programs. Lists of the projects which include addresses and the names of property managers are mailed out to everyone inquiring about available affordable housing. NEW BUSINESS A. ACCEPTANCE OF LETTER OF RESIGNATION SUBMITTED BY PHILIP SLADICK Terre said that the Council has taken action to accept the letter of resignation submitted by Philip Sladick. B. BYLAWS/ORDINANCE REVISION Terre said that this item was placed on the agenda to inquire if any of the commissioners had any questions or comments. Documentation reference the bylaws was distributed at the last Housing Commission meeting. The Bylaws need to be taken back to the Council for amendment to include an alternate commissioner. At this time, two housing commission vacancies exist. CONTINUED A. DISPOSITION OF SANTA ROSA APARTMENTS BUSINESS Terre said that because this item has not become a public record, all discussion on the matter must be continued to a later Housing Commission meeting as a closed session item. She said that the only thing she could comment on was that 24-hour security has been placed on the property and it seems to be working. B. 73-610 SANTA ROSA WAY DISPOSITION Terre advised the proposed acquisition will be going to the Agency for additional action on October 14, 1999. Due to a snag recently discovered by the seller regarding a 5 '/Z year pre-payment clause on the property which will require the Agency to assume the existing note, the property will be discounted further from the asking price. An analysis is being done on the cost to assume the loan. 2 Minutes Oct. 13, 1999 MIMING I MING COMMISSION CONTINUED C. RPM FOLLOW-UP ITEMS FROM JULY 14, 1999 BUSINESS (CONTD) Terry Parker said all of the residents' surveys were read and that most of the issues noted on the surveys were already being addressed by her and Jim Foley. A list of the concerns and what was being done to correct the problems was provided for the commission. Most of the corrections have been implemented. C. McLeod asked about the status of the weight room at One Quail. Terry said that because of the condition of the weight room, it cannot be reopened and RPM is in the process of obtaining bids to redo the weight room. Jim and Terry have discussed other alternatives such as having another organization voluntarily operate the facility. Staff suggested getting residents involved by volunteering to supervise, particularly, at peak use hours. Terry said that this matter has been discussed at the resident meetings. Terre said that RPM Company may want to consider an addendum to the budget giving additional funding to hire someone, possibly from the community. Terry said that she would do what is possible to get the word out to the residents. R. Dash inquired if RPM has considered College of the Desert. Terry said that she asked one of the coaches to see if any of the students would be interested in volunteering their time to assist at One Quail to help supervise both the weight room and Club One Quail. C. McLeod asked about the proposed position to monitor all the properties with reference to maintenance. Terry said that they are proposing to bring on a maintenance lead/ supervisor to handle more of the outside maintenance of all the properties to eliminate contracting out as much as possible. She said that the person they hire will be a supervisor with a preventive maintenance background who will make sure that the properties run efficiently and that the maintenance is kept up. The person will work in conjunction with Charlene. D. RESERVE STUDY - JIM FOLEY (CONTINUED) Terry Parker said that Jim Foley sends his regrets that he could not attend the commission meeting as he is out of the country due to his father passing away. She said that Larry Saindon, Jim and herself met with Robert Norman, President of Associate Reserves, Inc. (A proposal was distributed to the commission). L. Saindon said that he felt the meeting went well and that Associate Reserve would work well with staff. Terre asked how the proposal compared to the prior proposal received. Terry said that a discount would be provided. Terre said 3 Minutes Oct. 13, 1999 MOUSING COSSIG ig CONTINUED that the survey would be extensive and would need to be started from BUSINESS scratch. Terry said that RPM was seeking approval from the (CONTD) Commission so that the survey could begin in December. Motion was made by L. Saindon and seconded by L. Sullivan to forward to the Housing Authority a recommendation to approve the preparation of a reserve study to be done by Associate Reserves. Motion carried. E. ACQUISITION/REHAB/RESALE PROGRAM UPDATE (CHARLENE) - REBECCA ROAD PROPERTIES Charlene said that tile has been installed at one of the houses and carpeting will be installed. She said that they are looking at acquiring a property on Leslie. She is currently negotiating with the bank to acquire the property. Terre said that Margaret Berliner has to place ads regarding the Desert Rose resales so that potential buyers can be qualified. In addition, as soon as the Rebecca Road properties come on line, Margaret will be in charge of selling the properties. F. HOUSING AUTHORITY PROPERTIES (TERRE) 1. Fiscal Year 1999/2000 Housing Authority Budget Adjustment and Authorize RPM to enter into a contract with Killer Bee Swarm Removal on behalf of the Housing Authority (Action Required) Terre said that a staff report was included in the packet with regard to the budget adjustment and authorization to contract Killer Bee Swarm Removal. The work would be for Killer Bee Swarm Removal to go out to the properties to remove, clean out and continue to monitor the honeycombs at the properties on a weekly basis. 4 Minutes Oct. 13, 1999 EO 1SING COMMISSION CONTINUED Motion was made by R. Dash and seconded by BUSINESS B. Kurtz to forward to the Housing Authority a (CONTD) recommendation to approve Fiscal Year 1999/2000 Housing Authority Budget Adjustment and Authorize RPM to enter into a contract with Killer Bee Swarm Removal on behalf of the Housing Authority. Motion carried. 2. ONE QUAIL PLACE - CAPITAL IMPROVEMENT UPDATE Tree Removal/Landscaping Terre said that a meeting was held with a local architect to receive input on a request for proposal. It will be necessary to request proposals based on the City's new contract procedures. At that point, a plan of action will be developed with regard to the removal of trees, specifically, at One Quail. The work may require aerial photos of the property to pinpoint the trees and to put together a landscape plan. It is hoped that the request for proposals are prepared by the November meeting with responses to be submitted by December. Terre said that because money exists in the $1.8 million budget a major portion of the expenses will be covered. Painting A notice of completion has been filed for the painting of the properties. Terre said that a meeting was recently held with the painter to decide on the painting of the carports. Carports will be painted the color of the building trim. 3. NEIGHBORS GARDENS, CATALINA GARDENS, TAOS PALMS APTS. AND LAS SERENAS Authorization to Advertise & Call for Bids for the Resurfacing of the Properties (Action Required) 5 Minutes Oct. 13, 1999 EOUSXTG COMMISSION CONTINUED Terre said that a staff report was prepared asking for BUSINESS Authorization to Advertise & Call for Bids for the (CONTD) Resurfacing of the Properties. The work will include repairs and resurfacing. Charlene said that One Quail and Desert Pointe will be submitted as a separate package for repairs and resurfacing. Motion was made by B. Kurtz and seconded by R. Dash to forward to the Housing Authority recommendation to give Authorization to Advertise & Call for Bids for the Resurfacing of the Properties Motion carried. 4. DESERT POINTE APARTMENTS Authorization to Advertise & Call for Bids for Carport Installation (Action Required) Terre said that the property at the present time does not have carports. The carports can provide some relief to residents in the hot summer months. Charlene advised that 16 carports need to be installed at Catalina Gardens (approximate cost $10,000). She inquired if the item can be added to this request. Terre said that it can be added verbally; however, if the Council decides not to include this work, then it will have to be taken to another meeting. Motion was made by L. Saindon and seconded by B. Kurtz to forward to the Housing Authority recommendation to give Authorization to Advertise & Call for Bids for Carport Installation at Desert Pointe with the addition of Carport installation at Catalina Gardens. Motion carried. G. MOBILE HOME PARK ISSUES 1. PORTOLA PALMS MOBILE HOME PARK SALE OF LOTS - UPDATE (TERRE) Terre said that the sale of Lot 44 is scheduled for action by the Redevelopment Agency and City Council at their meeting of October 14, 1999. 6 Minutes Oct. 13, 1999 aous m CO)MMISS1ON CONTINUED It was moved by L. Sullivan and seconded by L. Saindon to BUSINESS forward the sale of lot 44 to the Redevelopment Agency (CONTD) Board and Council for approval. Motion unanimously carried. REPORTS A. HOME IMPROVEMENT PROGRAM (BRYCE) Bryce said that since the last meeting 3 homes have been assisted. He said that it has been very difficult because most contractors are extremely busy and for each job he has had to contact anywhere from 20 - 27 contractors just to receive one proposal in response. He has been working with Terre on an outreach program to get more participation by disseminating information through service organizations, etc. Contact to be made with various organizations to make presentations about the HIP program. Another avenue which is being looked at is having information advertised in the news and media. C. McLeod suggested that information flyers/brochures be left at hardware store counters. R. Dash inquired about the wall that was placed at Hovley Lane and said that he was impressed with the work. Bryce said that the wall was done at the request of Council and that the catalyst for this project was the Project Area 4 Committee which recommended that the wall be replaced. He said that in addition to the work at Hovley Lane, a retaining wall, sidewalk and landscaping will also be installed. B. SANTA ROSA APARTMENTS REHABILITATION - UPDATE (CHARLENE) Charlene said that the carports are to be delivered on October 26 and the playground equipment is scheduled to be delivered on October 22. Terre said that a pigeon problem exists on the property and staff is looking at various methods to stop the pigeons from landing on the pillars and on the rafters without harming the pigeons. 7 Minutes Oct. 13, 1999 EMTS J G CO S Nr REPORTS C. 40-ACRE SITE UPDATE (TERRE) (CONTD) Staff is focusing on land planning 20 acres with a 40-acre site overlay. Terre said that she will be working on putting together a request for proposal to hire a landscape architect/engineer to assist with the master plan. D. HABITAT FOR HUMANITY (TERRE) Charlene said that the roof has been placed and the exterior of the building has been color coated. The driveway has been poured, sidewalks are in and the drywall is up. Terre said that as soon as Habitat for Humanity informs her of the ribbon cutting ceremony she will inform the commission. E. HOUSING PROJECTS UPDATE (TERRE) The commission was provided with a copy of the housing projects status report. Terre said that 5 units are available at Desert Rose and Margaret Berliner is prequalifying prospective buyers. One of the properties is in foreclosure because the owners obtained a second and defaulted on the note. (A second is prohibited by the Unit Regulatory Agreement.) A company out of San Diego has been soliciting the homeowners by mail to provide loans. Terre has sent them a letter advising them of the consequences should they pursue in providing loans to the homeowners. A letter was sent to all the Desert Rose homeowners warning them that they would be receiving these types of loan solicitation letters, C. McLeod asked if an ad could be placed in the Housing Authority properties' newsletters advising of resales at Desert Rose. Staff will comply. C. McLeod inquired about the waiting list and what the breakdown would be between market and low and moderate. Terry said that the waiting list at One Quail is still substantial (6 month to a year waiting). At this time, RPM is sending out S Minutes Oct. 13, 1999 HOUSING COMMISSION REPORTS letters to persons on the waiting list to determine interest and (CONTD) income. Slots have been opened in the affordable housing program at the 55, 65 and 75% levels and are still overrented at the low level at all of the properties. Once move-ins are complete, occupancy at One Quail Place is expected to reach 97% to 98%. ADJOURNMENT Motion was made by B. Kurtz and seconded by R. Dash to adjourn the meeting. Meeting was adjourned at 4:50 p.m. Carlos L. Ortega Secretary CLO/TLR/dcl 9 O September 6,1999 To: Palm Desert City Council, Housing Commission and Staff From: Philip C. Sladick(Resident Housing Commissioner) Subject: Resignation from the Housing Commission Mayor Spiegel and Housing Commission Members, It is with great sorrow that I must tender my resignation from the Housing Commission. the past year has been a very valuable and enriching experience. I will miss the civic activities. I have only hoped that I might convey the best interests of the residents of One Quail and represented them to the best of my ability. I will be moving to Thousand Palms but not out of the area and should I get the opportunity to purchase a home in the Palm Desert area I will be back as a applicant for the Housing Commission • Respectfully, -- g/e)6---,1---;:4Y Philip f� :ladick# ct� 72-600 Fred Waring Drive =1 co Palm Desert CA 92260 C., r-T-1 r r u.) CITY COUNCIL ACTION: - C APPROVED DENIED RECEIVED ~— OTHER MEET Ir DAT..�..�... NOES /Lti,(?►A y ® ABSENT:��LC�Lt t�', .�..,�,_...._. �..v. ABSTAIN: VERIFIED BY on�• — :_?y -a . . '"" "".._._, Original. � -' "F.1 wi.ta, ,1�_ j C?_erk ' 3 Office PALM DESERT REDEVELOPMENT AGENCY MEMORANDUM DATE: SEPTEMBER 13, 1999 TO: HOUSING COMMISSION MEMBERS FROM: TERESA L. LAROCCA,HOUSING MANAGER SUBJECT: HOUSING COMMISSION APPOINTMENTS Per the City Clerk's office, the tentative schedule for interviews and selection of prospective Commissioners is as follows: October 20 Orientation November/December Interviews January 1, 2000 Term commencement Based on the above, I will make sure that the Housing Authority's Property Manager gets the • word out to residents advising them that the City is looking for candidates from the Housing Authority properties to serve on the Board. It is my understanding that the City Clerk's office does maintain applications from prospective candidates that can serve at large and those will be considered. mh rPin • O A N Y apartment managementMP services O C T di 4 1999 PALM 30, 1999 CEDEE : ENT AGENCY ° TO: Teresa L. La Rocca Housing Manager Palm Desert Redevelopment Agency FROM: Jimmy Foley Vice-President, RPM Company Terry Parker Regional Property Supervisor, RPM Company RE: Follow-up Items/Housing Commission Meeting With regard to the areas of concern resulting from the survey sent to the Housing Authority properties, listed below is RPM's response. • Courtesy Patrol The management staff has had several meetings with the owner of Hi-Tek Security. At our request, the previous staff of Hi-Tek has been changed out and new guards have been placed on-site. Hi-Tek has installed a new key access time stamp system throughout the property in an effort to show movement of the on-duty guards on a daily basis. Hi-Tek Security has also implemented the use of a bicycle for more movement around the property. With regard to "security" issues, some problems are internal. Meaning problem residents. We continually manage our communities and serve 30-day notices to vacate to residents who do not abide by the rules and regulations. This is an on-going process. With the most comprehensive report available and RPM's strict qualifying process along with educating new residents upon move-in, our goal is to minimize this as much as possible. Attitude We have changed out management staff and all managers have completed an eight-week training class with focus on resident relations. LIVE THE DIFFERENCE REGIONAL OFFICE 9320 baseline,suite b•professional building 1 rancho cucamonga,ca 91730 909 483 0348. lax 909 483 2685 • rum COMPANY '- apartment management services Landscaping We've added additional money to the new fiscal year budget to add more color and the majority of new plant material chosen through renovation has been one that blooms, also adding more color. At this point now, roofs and paint are completed. We believe we have all properties under control from a landscape standpoint, with the exception of One Quail Place. As mentioned before, the removal of the trees will be a major contributing factor to the landscape management of this property. The Landscape Company is working closely with Charlene Sumpter with regard to pruning techniques required of a City-owned property. We had requested on two previous occasions the City's criteria for pruning from Mr. Clark, but never did receive them. Weight Room We are currently in the process of obtaining bids to refurbish the existing equipment. Due to the excessive damage continually being done to the back clubhouse area, decisions need to be made with the help of the Housing Commission to the future of Club One Quail. We feel the majority of damage is by the children/teenagers who participate • in this free program. It is currently over-crowded and the activity coordinator is not able to watch the amount of children in the back area. Laundry Rooms Our service contractor has been called on several occasions for service to the machines and has completed the calls within twenty-four hours. On three different occasions, the repair call was that the dryer was not drying. Once the technician arrived on the property, the problem was that the dryer setting was on cool rather than heat. In order to better service the residents, we've numbered all machines and the in-house maintenance staff will first troubleshoot for minor issues in an effort to speed up the repair process. Maintenance Some maintenance issues may have been directly related to the supervision and direction of the manager, which has already been addressed with the change in management. But our original idea was to utilize our journeyman throughout the rehab process and then utilize those funds for a maintenance lead-hand/supervisor. Now with a better understanding of the needs and condition of One Quail Place, we are in the process of LIVE411) THE DIFFERENCE REGIONAL OFFICE 9320 baseline,suite b•professional building 1 rancho cucamonga,ca 91730 909 483 0348• fax 909 4832685 • • 1$!! "gru..- apartment management services interviewing for the position and once a person has been found, we will recommend through the Housing Commission to add this employee to the operating budget. At the end of this fiscal year, the journeyman position will be eliminated thereby decreasing the maintenance expense once again. This maintenance person will also supervise other properties on larger projects, but not necessarily the day to day routine maintenance. Upgrade As part of the re-certification process on the Affordable Program there is a physical inspection of the unit, as well as the completion of the Reserve study we will address interior concerns. Add Covered Parking Carports have been installed at Las Serenas, leaving only Desert Pointe, which is currently in the process of bidding and installation. Keep the Following Areas Clean • On all the properties, with the exception of One Quail Place, we detail the common areas on a daily basis. At One Quail Place, there was a lack of consistency in the employment of a groundskeeper/porter. We did budget an additional groundskeeper in the 1999/2000 budget and we will reassess this decision once the trees have been removed. One Quail Place's laundry room machines are used approximately 8000 times a month. With this amount of traffic, we have instructed our outside staff to detail in the morning and once again in the late afternoon in an effort to keep them clean. Use of Blowers The use of blowers is a necessary part of property upkeep. In an effort to better accommodate the residents, the staff has been instructed to use the blowers a minimum number of days a week and not at all on the weekends. Also, they have been instructed to immediately stop using the blower is a resident is in the area being cleaned. We are currently researching contracted parking lot sweeping in an effort to decrease blower usage. Better Lighting • LIVE THE DIFFERENCE REGIONAL OFFICE 9320 baseline,suite b•professional building 1 rancho cucamonga,ca 91730 909 483 0348• fax 909 4832685 P $NY apartment management services Lighting concerns are being addressed with the landscape architect package. RPM will convert exterior patio lights adjacent to the sidewalks to photocell fixtures and hardwire them inside the apartments. This will automatically turn on and off the fixture at dusk and dawn. Change the Manager This issue has already been addressed. Enforce Rules and Regulations This issue has already been addressed along with security. Through continuing education with new residents and follow-up with existing residents, our goal is to minimize this area of concern. Repairs Take Too Long To Correct We feel with the addition of the new managers and with better supervision and direction • of the maintenance staff, we will be able to reach our company's standard of all service requests being completed within twenty-four hours. As well as the addition of a maintenance lead-hand/supervisor as previously mentioned. cc: Carlos Ortega, Exec. Director, PDRA LIVE THE DIFFERENCE REGIONAL OFFICE 9320 baseline,suite b•professional building 1 rancho cucamonga,ca 91730 909 483 0348• fax 909 4832685 T /' City of Palm Desert t! tar .Mg HousingiteittAuthority ,1 ~ 4I�� Meeting of OCTOBER 14, 1999 . To be considered under: Consent Calendar Resolutions X Ordinances New Business Old Business Informational Items Public Hearings Other 2. Item Title: (Please provide the wording that should appear as the item's title on the agenda). FISCAL YEAR 1999/2000 HOUSING AUTHORITY BUDGET ADJUSTMENT 3. Financial: (Complete if applicable) w/J /q' (a) Account/Project II (b) Amount Requested (c) In the Current Budget? / / (c) Appropriation Required? Approved by Director of Finance: /v 4. Submitted by: TERESA LAROCCA, HOUSING MANAGER •5. Approvals: Department Head Executive Director PALM DESERT REDEVELOPMENT AGENCY MEMORANDUM DATE: OCTOBER 14, 1999 TO: EXECUTIVE DIRECTOR, HONORABLE CHAIRMAN AND MEMBERS OF PALM DESERT HOUSING AUTHORITY FROM: TERESA L. LAROCCA, HOUSING MANAGER SUBJECT: FISCAL YEAR 1999/2000 HOUSING AUTHORITY BUDGET ADJUSTMENT Recommendation: That the Housing Authority, by minute motion: 1. Approve Resolution No. HA-_, which amends the Fiscal Year 1999/2000 Budget; and 2. Authorize RPM to enter into a contract with Killer Bee Swarm Removal on behalf of the Housing Authority in the amount of$21,133.50. Nair Background: Staff is requesting the following adjustments to the Housing Authority Budget: Project: Original Budget Amended Budget One Quail Place $245,700 $266,833.50 The adjustment is necessary to provide funds to the One Quail Place contract service line item for the purpose of entering into a service contract for the removal of existing beehives and weekly monitoring service of bait swarm traps and removal thereof as necessary. During the course of the last several months an unusual high number of beehives have been sighted at One Quail. Recently, upon the removal of a sighted beehive on a structural overhang (see attached photos), Killer Bee Swarm Removal uncovered a massive number of bees and honeycombs wedged between the eaves and the walls at the location. In addition, during the course of construction of the new roofs and more recently during our painting phase, workers were stung on numerous occasions. As a result, management contacted several pest control companies and requested proposals for initial removal and ongoing services. Only Killer Bee Swarm Removal responded advising that they provide removal and weekly monitoring services through which they set traps, inspect the property weekly to inspect traps, empty traps and monitor the activities for formation of new beehives. Based on this, management recommends entering into a contract with Killer Bee Swarm Removal as described. Funds are available in the unobligated Housing Authority fund balance. REVIEWED AND CONCUR: eresa L. LaRocca Housing Manager Finance Director mh t Executive Director • 2 RESOLUTION NO. HA- A RESOLUTION OF THE PALM DESERT HOUSING AUTHORITY, PALM DESERT, CALIFORNIA, AMENDING THE FISCAL YEAR 1999/2000 BUDGET WHEREAS, it is desirable to revise the 1999/2000 Housing Authority budget to provide additional funds in the amount of$21,133.50 for the removal of bee hives and to enter into a contract for monitoring thereof; NOW, THEREFORE, BE IT RESOLVED, by the Board of the Palm Desert Housing Authority, Palm Desert, California, that the 1999/2000 budget is hereby revised. FURTHER, that the Executive Director, or a duly appointed representative, will have the authority to approve interdepartmental budgeted line item variations. PASSED,APPROVED,and ADOPTED at the regular meeting of the Palm Desert Housing Authority held on the day of , 1999, by the following vote, to wit: AYES: NOES: ABSENT: • ABSTAIN: CHAIRMAN ATTEST: SHEILA R. GILLIGAN, SECRETARY rpm OMPAW COMPANY apartment management services October 1, 1999 Teresa L. La Rocca Housing Manager Palm Desert Redevelopment Agency 73-510 Fred Waring Drive Palm Desert, Ca. 92260 RE: Bee Removal, One Quail Place Dear Terre: Earlier this week I gave Charlene a copy of the proposal for preventive maintenance with regard to the bees at One Quail Place. I have tried to obtain two other bids, as required, however after calling all the other major pest control companies in the Valley, no other company handle bees. To show you the severity of the problem, I have enclosed pictures from the last two ` or emergency bee removals that were done for the painters to continue. Should you have any further questions, please do not hesitate to give me a call. Res•ectfully, —i' Te• Pa er ' -gional Property Supervisor ' 'M Company cc: Charlene Sumpter L L I V E T H E DIFFERENCE REGIONAL OFFICE 9320 baseline,suite b•professional building 1 rancho cucamonga,ca 91730 909 483 0348• lax 909 483 2685 .•...................•.. , t F ,ti nx it 41- ,�''� City of Palm Desert ; , '4„ �l_ 21, 1 a Housing AuthorityAlgt itb • ; 104.7.k., '_//7 rb ,r,,.., i r 4,iY 'Orb w9' ` 3 ' ' t `tea d , r Meeting of OCTOBER 14, 1999 . c ,, To be considered under: 4 , Consent Calendar X Resolutions Ordinances New Business Old Business Informational Items Public Hearings Other 2. Item Title: (Please provide the wording that should appear as the itcm's title on the agenda). AUTHORIZATION TO ADVERTISE AND CALL FOR BIDS FOR THE RE-SURFACING OF THE PARKING LOTS FOR THE HOUSING AUTHORITY PROPERTIES KNOWN AS TAOS PALMS APARTTMENTS, CATALINA GARDENS, NEIGHBORS GARDENS AND LAS SERENAS APARTMENTS 3. Financial: (Complete if applicable) 1 (a) Account/Project N (b) Amount Requested (c) In the Current Budget? (c) Appropriation Required? Approved by Director of Finance: i 4. Submitted by: CHARLENE SUNPTER, SR. REHAB CONST. SPECIALIST 5. Approvals: Department Head Executive Director 1 i PALM DESERT REDEVELOPMENT AGENCY INTEROFFICE MEMORANDUM DATE: OCTOBER 14, 1999 TO: EXECUTIVE DIRECTOR, HONORABLE CHAIRMAN AND MEMBERS OR REDEVELOPMENT AGENCY BOARD FROM: CHARLENE SUMPTER, SENIOR REHAB. CONSTRUCTION SPECIALIST SUBJECT: AUTHORIZATION TO ADVERTISE AND CALL FOR BIDS FOR THE RE- SURFACING OF THE PARKING LOTS FOR THE HOUSING AUTHORITY PROPERTIES KNOWN AS TAOS PALMS APARTMENTS, CATALINA GARDENS, NEIGHBORS GARDENS AND LAS SERENAS APARTMENTS RECOMMENDATION: Staff recommends that the Agency Board,by minute motion, authorize the City Clerk to advertise and call for bids for the re-surfacing of the Housing Authority Properties known as Taos Palms Apartments, Catalina Gardens, Neighbors Gardens and Las Serenas Apartments. BACKGROUND Capital improvements on the Housing Authority Properties began in January of 1999. As part of the capital improvements, staff is recommending that parking lots at the following locations be re-surfaced. The work will include the repair and re-surfacing of parking lots at Taos Palms, Neighbors Gardens, Catalina Gardens, and Las Serenas Apartments. The general work consists of mobilization, cutting out areas of the driveways that are in need of repair, patching, and then re-surfacing them. All trash enclosures will have new concrete approaches concrete for more strength and durability. New curbs and gutters will be poured in areas that will not allow a repair to be made. Staffs cost estimate is $250,000 - $300,000 and funds are available in the Housing Authority's unobligated bond fund balance (Tax Allocation (Housing Set-Aside) Revenue Bonds, Series 1998). Bid award will be scheduled for early December with re-slurring commencing the latter part of December and completion projected for the end of February. REVIEWED AND CONCUR C/k � v Charlene Sumpter Sr. Rehab Construction Specialist ousing Manager mh Executive Director PALM DESERT REDEVELOPMENT AGENCY 1111 MEMORANDUM DATE: OCTOBER 14, 1999 TO: EXECUTIVE DIRECTOR, HONORABLE CHAIRMAN AND MEMBERS THE PALM DESERT HOUSING AUTHORITY FROM: CHARLENE SUMPTER, SENIOR REHABILITATION CONSTRUCTION SPECIALIST RE: AUTHORIZATION TO ADVERTISE AND CALL FOR BIDS FOR THE INSTALLATION OF CARPORTS AT DESERT POINTE Recommendation: That the Palm Desert Housing Authority, by minute motion, authorize the City Clerk to advertise and call for bids for the installation of carports at Desert Pointe Apartments. Background: Desert Pointe(64-unit apartment complex) is the only Housing Authority property without covered parking. There are currently 102 uncovered spaces on site. Staff recommends the installation of carports to provide one covered parking space per apartment, thereby creating a total of 64 covered parking spaces to provide shade to tenants during the summer months. Staff has estimated the approximate cost to be S77,000.00, and funds are available in the Housing Authority's unobligated bond fund balance (Tax Allocation (Housing Set-Aside) Revenue Bonds, Series 1998). Staff recommends the following time line: Bid documents available 10-21-99 Advertise in newspaper of local circulation 10-21-99 thru 10-28-99 Job walk through 10-25-99 Close of bids 11-19-99 Award of bids 12-09-99 Begin carport installation 12-l 3-99 r /.(i , REVIEWED AND CONCUR Charlene Sumpter Cso. Senior Rehab Construction Specialist Housing Manager mhaeC Executive Director I7 A. it Z.,„" `^ t v `0 1 41 �4'apuuc � � 0.vtZt- kipC 1...:_11'1,\%kti 4 I.,,r c. .\ '4.-: 4..1N v. k te 0 1:1 •�� \��V) ov.%.Z of VI 3- 3- k `° 'O44z4.11, 3. . . kt b.t. \ Kg&Ill ii Wkiabli i . 1 i UR �`� Nl�1U mum it TI .J„\IL\, N ak 1 • ►111\ t1t'l1 M «W,1� a ; aim ,Nt: .; , • 1111 ; ►slit e maw y k ez oaw� •� it '( o ite i ay., AIM M i ' i�i11 si 0 ittig 11.\ MAU p4".+2 i 4 tt N 4:,,Q,..1 \ ou;24 a`' Cril Li�� V� �' .pOrZ or CS Wit ' ): m eai.2 o�o� .. City of Palm Desert i, Council Agenda Request Af y4o- Meeting of ocrmBER 14, 1999 . To be considered under: Consent Calendar Resolutions Ordinances New Business Old Business Informational Items Public Hearings X Other • 2. Item Title:(Please provide the wording that should appear as the item's title on the agenda) PUBLIC HEARING FOR THE SALE OF /DBTTF HOME LOT #44 (622-351-044-1) , LOCATED AT 43-155 PORTOLA AVENUE (PORTOLA PAINS MOBILE HONE PARK) AT FAIR MARKET VALUE 3. Financial: (Complete if applicable) (a) Account/Project# (b) Amount Requested (c) In the Current Budget? (c) Appropriation Required? • Approved by Director of Finance: 4. Submitted by: TERESA LA ROCCA, HOUSING MANAGER 5. Approvals: Department Head City Manager • • City of Palm Desert r4' ?.; R.D.A. Agenda Request Nit. I y. Meeting of OCTOBE 14, 1999 . To be considered under: Consent Calendar Resolutions Ordinances New Business Old Business Infonnational items Public Hearings Other r . 2. Bens Title: (Please provide the wording that should appear as the item's title on the agenda). PUBLIC HHEARING FOR TIE SALE OF 1IOBILE IIO'_E LOT 44 (622-351-944-1) , LOCATED AT 43-155 PORTOLA AVENUE (PORTOLA PALUS MOBILE IIONIE PARK) AT FAIR MARKET VALUE 3. Financial: (Complete if applicable) (a) Account/Project # (b) Amount Requested (c) In the Current Budget? (c) Appropriation Required? Approved by Director of Finance: 4. Submitted by: 1'LP.ESA LA ROCCA, HOUSING MANAGER 5. Approvals: Dcpartmcnt Head Executive Director LyO PALM DESERT REDEVELOPMENT AGENCY MEMORANDUM 44""" DATE: OCTOBER 14, 1999 TO: CITY MANAGER, HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL EXECUTIVE DIRECTOR, HONORABLE CHAIRMAN AND MEMBERS OF THE REDEVELOPMENT AGENCY BOARD FROM: TERESA LA ROCCA, HOUSING MANAGER SUBJECT: PUBLIC HEARING FOR THE SALE OF MOBILE HOME LOT: #44 (APN# 622-351-044-1), LOCATED AT 43-155 PORTOLA AVENUE (PORTOLA PALMS MOBILE HOME PARK) AT FAIR MARKET VALUE RECOMMENDATION 1. That the City Council adopt Resolution No. authorizing Palm Desert Redevelopment Agency to sell at fair market value mobile home lot #44 (APN# 622-351-044-1) located at 43-155 Portola Avenue (Portola Palms Mobile Home Park) for$24,500. 2. That the Redevelopment Agency adopt Resolution No. making and finding that the sales price for the lot and mobile home not less than its fair market value in accordance with the highest and best use under the Redevelopment Plan for Project Area 1 Amended. BACKGROUND On March 10, 1998 the Portola Palms Mobile Home Park Acquisition Association Board of Directors approved the conveyance of 37 lots from the Acquisition Association to the Redevelopment Agency by Deed in lieu of foreclosure in consideration for full satisfaction of all obligation secured by Deed of Trust dated September 25, 1992 (Ring Note) and Deed of Trust dated September 22,1992 (Natter Note). The Corporate Grant Deed in favor of the Agency dated February 25, 1998 was recorded on March 31, 1998 by Instrument No. 120533. Health and Safety Code §33433 requires that before any property of the Agency is sold or leased, the conveyance must first be approved by the City Council by resolution at a public hearing. The purpose of the public hearing is to receive public testimony as prescribed by law. Notice of the time and place of the public hearing must be published in a newspaper of general circulation in the community for at least 2 weeks prior to the public hearing.New • PUBLIC HEARING FOR THE SALE OF MOBILE HOME LOT: #44 (APN#622-351-044-1) LOCATED AT 43-155 PORTOLA AVENUE (PORTOLA PALMS MOBILE HOME PARK) AT FAIR MARKET VALUE Page 2 Fair market value was established by an appraisal dated 4/15/98 prepared by R.F. Sweet and Associates which establishes the average price per lot at$22,500 with a minor pricing differential depending on lot orientation within the park. Fair market value of lot#44 herein described is established at $24,500. Funds for payment of taxes and closing costs are available in the housing fund balance account from funds transferred to the Agency from the Portola Palms Mobile Home Acquisition Association at close of escrow. Report required by Health and Safety Code §33433 (a) is attached hereto for your review and information, and has been available to the general public as required by law. REVIEWED AND CONCUR RESA LA ROCCA Executive Director, RDA Housing Manager TLR:dcl City Manager RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA AUTHORIZING THE PALM DESERT REDEVELOPMENT AGENCY TO SELL MOBILE HOME LOT#44 LOCATED AT 43-155 PORTOLA AVENUE (PORTOLA PALMS MOBILE HOME PARK) AND MAKING A FINDING THAT THE MONETARY CONSIDERATION RECOVERED FOR THE SALE IS NOT LESS THAN FAIR MARKET VALUE RECITALS: A. Pursuant to Health and Safety Code §33433, the City Council, is required to hold a public hearing before any property of the Agency acquired in whole or in part, directly or indirectly, with tax increment money is sold or leased for development pursuant to the Redevelopment Plan, said sale shall first be approved by the City Council by resolution after public hearing. B. Pursuant to Health and Safety Code §33433 (b) the City Council must make a finding that the price to be paid for the property is not less than its for market value at the highest and best use under the Redevelopment Plan. C. Pursuant to Health and Safety Code §33433 (a), the Agency is required to make available for inspection a report containing: proposed sale; cost to the Agency, value of interest to be sold, sales price for inspection and available to the public. NOW,THEREFORE,the City Council of the City of Palm Desert hereby finds,determines,resolves and orders as follows: Section L. That a duly noted public hearing in conformity with the requirement of Health and Safety Code §33433 (a) was held on October 14, 1999. Section 2. The City Council has reviewed and considered all written and oral comments, questions and concerns regarding the Agency's proposed sale of mobile home lot#44 received prior to and at the public hearing on said sale. Section 3. The City Council accepts and has filed with the Office of the City Clerk, the report required by Health and Safety Code §33433 (a). Section 4 The City Council finds that the price to be paid for the property is not less than fair market value at the highest and best use under the Redevelopment Plan for Project Area 1 Amended. Section 5,The City Council hereby authorizes the Agency to sell the subject lot at fair market value and authorizes the Executive Director of the Agency to execute all required documents to complete the transaction. L 1 Resolution No. PASSED, APPROVED and ADOPTED this 14th day of October, 1999. AYES: NOES: ABSENT: ABSTAIN: Mayor ATTEST: Sheila R. Gilligan, City Clerk 2 RESOLUTION NO. A RESOLUTION OF THE PALM DESERT REDEVELOPMENT AGENCY AUTHORIZING THE SALE OF MOBILE HOME LOT #44 LOCATED AT 43-155 PORTOLA AVENUE (PORTOLA PALMS MOBILE HOME PARK) AT FAIR MARKET VALUE RECITALS: A. Pursuant to Health and Safety Code §33433, the Redevelopment Agency, is required to hold a public hearing before any property of the Agency acquired in whole or in part, directly or indirectly, with tax increment money is sold or leased for development pursuant to the Redevelopment Plan, said sale shall first be approved by the Agency by resolution after public hearing. B. Pursuant to Health and Safety Code §33433 (b), a report shall be made available for inspection by the public no later than the first publication of the first notice of the hearing mandated by subsection(a). A resolution approving the sale shall be adopted and shall contain a finding that the consideration received for the sale of the property is not less than its fair market value the highest and best use under the Redevelopment Plan for Project Area#1 Amended. C. Pursuant to Health and Safety Code §33435,the Agency shall obligate purchaser(s) of real property acquired in redevelopment projects to refrain from restricting the rental, sale, or lease of the property on the basis of race, color, religion, sex, marital status, ancestry, or national origin of any person. NOW, THEREFORE, the Palm Desert Redevelopment Agency hereby finds, determines, resolves and orders as follows: Section 1. A duly noted public hearing in conformity with the requirement of Health and Safety Code §33433 (a) was held on October 14, 1999. Section 2. The Agency finds the consideration received for the sale of the property is not less than its fair market value at the highest and best use under the Redevelopment Plan for Project Area 1, Amended. Section 3. The Grant Deed shall contain language prescribed by Health and Safety Code §33435 as required. 1 Section 4,The Agency hereby authorizes the conveyance of lot#4/1 at Portola Palms Mobile Home Park for a fair market value. 1 Resolution No. PASSED, APPROVED and ADOPTED this 14th day of October, 1999. AYES: NOES: ABSENT: ABSTAIN: Mayor ATTEST: Sheila R. Gilligan, City Clerk Now- 2 33433 REPORT LOT#44 (APN# 622-351-044-1) LOCATED AT 43-155 PORTOLA AVENUE (PORTOLA PALMS MOBILE HOME PARK) Pursuant to Health and Safety Code §33433 (a) and (b), the Agency provides the following summary: A. Agreement cost to the Agency includes: 1. Estimated acquisition cost plus interest per lot: $32,900 2. Appraised average fair market value of the interest being conveyed through the sale based on an appraisal dated 4/13/98: Lot#44: $22,500 3. The purchase price to be paid by the buyers of lot #44: $24,500 4. Elimination of blight The lot is one (1) of 141 mobile home spaces located at Portola Palms Mobile Home Park, a low and moderate income park developed prior to the 1973 incorporation of the City. The park was converted from private ownership to resident-ownership in 1992 with assistance from the State MPROP Program and the Palm Desert Redevelopment Agency. Thirty seven of the spaces were not purchased by the occupant tenants and are now owned by the Palm Desert Redevelopment Agency. The Agency wishes to sell the spaces to create 100% resident stability of the park, thereby eliminating the vacant spaces scattered throughout the park and encouraging ownership of rental spaces thereby turning total control of the park over to its residents. HOME IMPROVEMENT PROGRAM PROJECTS FISCAL YEAR 1999-2000 Prepared by Bryce Lynn White October 4, 1999 ADDRESS SCOPE OF WORK_ STATUS 76-822 New York Ave. Remove existing roof and Complete replace with new Replace electric conduit in Complete garage and breakers Install new wooden fence Complete 74-166 Parosella St. Trim palm trees; install new front Complete yard grass and colored sand landscape Remove existing roof and Complete replace with new Repair drywall In progress 74-300 Goleta Ave. Remove existing and install Complete new furnace, condenser, *i,. compressor and duct work Remove existing roof and Complete replace with new 77-818 Calypso Rd. Install new furnace, condenser, Complete and compressor Repair electric conduit and Complete breaker Repair stucco next to eaves Complete 42-584 Rebecca Rd. County EDA- remodel kitchen Soliciting proposals 77-050 Michigan Dr. Remove existing and install new Complete furnace, condenser, compressor and additional duct work Build carport Soliciting proposals 73-527 Silvermoon Trail Install rigid roof insulation Complete Remove existing roof and Complete replace with new Nor ADDRESS SCOPE OF WORK STATUS 77-045 Michigan Dr. Build 6' slump-stone block wall Complete frontage of corner lot 74-036 De Anza Way Remove deteriorated asphalt Complete driveway and replace with concrete Build carport Complete 73-220 Catalina Way Install evaporative cooler and Complete repair window opening 73-100 San Gorgonio Way Build block wall In progress Repair fences In progress New lawn landscaping In progress 45-685 Verba Santa Dr. Install concrete driveway and Processing application block wall 72-760 Davis Rd. Replace garage door and repair Soliciting proposals garage wall 44-810 San Clemente Cr. Close opening between sun Soliciting proposals room and house Security gates and decorative Soliciting proposals archways on both sides of `r house Replace garage and front door Soliciting proposals Paint house Soliciting proposals 77-200 Indiana Ave. Front yard landscaping In progress 43-865 Carmel Ave. Block wall; new roof Processing application 74-761 Leslie Ave. Correct code compliance Soliciting proposals violations Paint house Soliciting proposals Landscape Soliciting Proposals Install new septic system In progress 42-696 Rebecca Rd. Remove deteriorated asphalt Soliciting proposals driveway and replace with concrete Build carport Soliciting proposals Nor ADDRESS SCOPE OF WORK STATUS 72-638 Pitahaya St. Build up plat areas of roof*low Processing application Replace roof Repair NC system 74-082 Catalina Way Replace NC system Processing application 77-060 Michigan Dr. Replace fencing Processing application Build carport 44-755 San Benito Circle New landscaping Processing application Pump septic system Repair leak shower area Repair wood siding & paint exterior Noir `roar 3 HOME IMPROVEMENT PROGRAM Totals to Date Completed: 19 Grants 2 Matching Fund Grants 7 Loans 2 County EDA Loans In Progress: 4 Grants 1 Loan 1 County EDA Loan Processing: 6 Grants 3 Loans 1 County EDA Loan TOTAL HIP: 46 MAKE A DIFFERENCE DAY: 44 TOTAL IN PROGRAMS: 90 H.\DBRADLEY\W\HIP\PROJSTAT.WPD 4 UPDATE: SEPTEMBER 30, 1999 PREPARED BY: Charlene Sumpter • SANTA ROSA APARTMENTS: • Color coating- Completed • Installation of the block walls- completed • Final Grading- completed • Landscaping-completed • Carports material has been ordered and will be installed once material arrives • Counter top installation- completed • Carpeting- completed • Playground equipment has been ordered and is scheduled for delivery on October 22. The equipment will be installed by a certified playground installer immediately after delivery. HOUSING AUTHORITY PROPERTIES: ROOFING: One Quail Place: Completed Neighbors Gardens: Completed Taos Palms: Completed Desert Pointe: Completed PAINTING: One Quail Place: In progress--Broken down into four phases,three phases are completed, and have completed the spraying of the fourth S phase. Items remaining are trim on half of the third phase, and all trim on the fourth phase Neighbors Gardens Completed Taos Palms Completed Desert Pointe Completed LANDSCAPING& DEFERRED MAINTENANCE: One Quail Place: Request for Proposal package is completed. Requesting authorization to go out to bid for the re-surfacing of driveways for the following Housing Authority Properties: Neighbors Gardens Las Serenas Taos Palms Catalina Gardens PROPERTY ACQUISITION: • Santa Rosa Villas is in Escrow - 12 unit apartment building located directly across from the Santa Rosa Apartments. • PALM DESERT REDEVELOPMENT AGENCY MEMORANDUM •DATE: OCTOBER 4, 1999 TO: CARLOS L. ORTEGA, EXECUTIVE DIRECTOR FROM: TERESA LA ROCCA, HOUSING MANAGE SUBJECT: HOUSING PROJECTS UPDATE PORTOLA PALMS MOBILEHOME PARK - 14 Escrows closed - 1 Escrow open - Baddour and Associates are marketing the vacant lots and holding an open house on the weekend. Model mobile home is in place; 25 spaces remain unsold. HOME IMPROVEMENT PROGRAM TOTALS TO DATE Completed: 19 Grants • _2. Matching Fund Grants _7 Loans _2 County EDA Loans In Progress: A Grants _1 Loans _1 County EDA Loan Processing: .S Grants 3 Loans _1 County EDA Loan Total HIP: 46 Make a Difference Days: 44 TOTAL PROPERTIES IN PROGRAM 90 to. HOUSING AUTHORITY RENTAL, UNITS As of October 4, 1999: • One Quail Place 88.86%occupied Neighbors 100% occupied Catalina 100% occupied Desert Pointe 98.43%occupied Taos Palms 100% occupied Las Serenas 99.33% occupied Pueblos 100%occupied Monthly tenant meetings are being held with One Quail Place residents. Staff is attending to observe. SANTA ROSA APARTMENTS Complete rehabilitation scheduled for mid October, 1999. 24-hour security is on site. DESERT ROSFF Five available units. Prospective buyers being pre-qualified. HABITAT FOR HUMANITY -- Construction underway. PROPOSED ACQUISITION 41ir► CATALINA WAY - New home site- landbanking. ► VIRGINIA AVENUE - Landbanking for future development. ► REBECCA ROAD (REHAB) - Rehab has begun. Completion scheduled for October 30, 1999. ► PROPERTY PURCHASE - Negotiating the purchase of a home located on Leslie near the Rebecca Road properties. In escrow on 73-610 Santa Rosa Way will close by mid October. HOUSING AUTHORITY PROPERTIES - COMPLETED IMPROVEMENTS ► Perimeter landscaping in progress -to be reviewed. ► Painting and carport installation. * Neighbors painting -Perimeter wall in progress * Desert Pointe painting complete. • * One Quail Place in progress. H:\DLEAL\WPDOCS\TL\HOUSING.COM\HSGRPT99.00T 2 One Quail Place Welcome To One Quail Place Apartments, The Perfect Location in Palm Desert! Price List One Bedroom-One Bath: "A" Plan 12-Month Lease Plan: $640.00 Upstairs $660.00 Downstairs 6-Month Lease Plan: $675.00 Upstairs $695.00 Downstairs Two Bedroom-One Bath: "B" Plan 12-Month Lease Plan: $680.00 Upstairs $705.00 Downstairs 6-Month Lease Plan: $705.00 Upstairs $730.00 Downstairs Two Bedroom-Two Bath: "C" Plan 12-Month Lease Plan: $725.00 Upstairs $750.00 Downstairs 6-Month Lease Plan: $750.00 Upstairs $775.00 Downstairs **End Unit, add $15.00** Escrow Deposit $300.00 for Plan"A" $400.00 for Plan"B"or"C" There is a $30.00 Application Fee Per Applicant (Non-Refundable) -No Pets Allowed- Proudly Managed By: rpm company apartment management services -Live The Difference- 72-600 Fred Waring Drive,Palm Desert,Ca.92260 Leasing Office(760)568-9835-Fax(760)341-6810 Las S 73-315 Country Club Driv:4, Palm Desert, Ca. 92260 (760) 773-9040 Price List: One Bedroom/One Bath. $500.00 12-Month Lease $525.00 6-Month Lease One Bedroom plus den/One bat $550.00 12-Month Lease $575.00 6-Month Lease $30.00 per person application fee (non-refundable) . _ scrow ' epos '- $300.00 Pet Deposit $200.00 'sp•-""jorm- •. for • tot' e,Sts•art.cf • • ',Off co-mmtknty recreation' center 1140, spaci,ouis• actOvirvos, roam, eq bu'Ippecl.kitchen, a'TV a.vtd/VCR, fireplace/awl/ Three/poo , ho-rseisho&pit, hydro-spa/and/gcor bar '• 0 We (2Tc/by-Cl/net/It- holne,s• have/ Large/ private/ patios, a/nd. • home. hais, a/ priAiat ontrance.. 0 i.A4•• apouttnie.iqts• are/ equ.i,pped/ with, cloubLe/-cloor, fro-st-free'refri-o-oratar, oa/s,rano&0.414/tra/sly dposobb. Our co nvenient locatiovv& w(thin/walla/nor di.4tcwtc&of a/major sho-pp' center and,close/to-the/bum LiAi.e/. A Lso-aNcLacthier iis•the/Senior ShattL& proudly managed b rpm company', apartment management services -Live the Difference- Catam gcutden otpantments 72-600 Cata&ina gtay Tam '( esent, Ca. 92260 (760) 568-2640 Price List One Bedroom-One Bath (590-sq. ft.) $525.00 12-Month Lease $550.00 6-Month Lease Studio Apartment (464 sq. ft.) $425.00 12-Month Lease $450.00 6-Month Lease Escrow Deposit $300.00 Pet Deposit $300.00 There is a $30.00 application fee for each adult (non- refundable). Please return the following with your application: 1 . Valid Picture I.D. 2. Social Security Card or Equivalent 3. Proof of Income Proudly Managed by rpm company apartment management services -Live The Difference- • cDesent Qotnte ulpantntents 42-805 LMonteney (Ave. Tam m T( esei t, Ca. 92260 (760) 240-6945 Price List Studio $450.00 (12-Month Lease) $475.00 (6-Month Lease) One Bedroom/One Bath $550.00 (12-Month Lease) $575.00 (6-Month Lease) Two Bedroom/One Bath $625.00 (12-Month Lease) $650.00 (6-Month Lease) Two Bedroom/Two Bath $660.00 (12-Month Lease) $685.00 (6-Month Lease) esenow CDepostt $300.00 Studio/One Tedkoom $400.00 ioh two Tedhoom -Sony, JUo CPets- c Pease netunn with the kentao appoication the t0000wing: 1. cUaoid n1 ictuke Ddenti6ieation 2. Socia.Q Seeunity Card on equiwaoent 3. LAoo cUenitiabQe 9.nconle (pay stubs, tax netunns) 4. $100.00 hooding deposit (cheele on money okdek) S. $20.00 (pek aduot) appoication tee (cheel2 on money onden) • pkoudoy managed by: kpm company apartment management services -Live The Difference- �. Ne4&iorS'Apcu'tv 'w,s1dt ' 73 -535 Sa/vitw2o Way palm/De/sort, Ca/. 92260 (760) 568 -3640 Price List Two-Bedroom-Two Baths $600.00 12-Month Lease $625.00 6-Month Lease Escrow Deposit $400.00 -No Pets Allowed- There is a $30.00 application fee for each adult (non- refundable). Please return completed application with the following: 1. Valid Picture I.D. 2. Social Security Card or Equivalent 3. Proof of Income proudly managed by: rpm company apartment management services -Live the Difference- Taos Palms Apartments 44-830 Las Palmas Palm Desert, Ca. 92260 (760) 34 0-694 5 Price List Two Bedrooms/One Bath $615. 00 12-Month Lease $64 0. 0 0 6-Month Lease Escrow Deposit $400. 00 Sorry, No Pets. Please return with the rental application the following: 1. Valid Picture Identification 2. Social Security Card or Equivalent 3. All Verifiable Income 4. $100.00 holding deposit (check or money order) 5. $30.00 (per person) application fee (non-refundable) (check or money order) proudly managed by: rpm company apartment management services L -Live the Difference- PROTECT YOUR CHILDREN'S • HEALTH FREE EXAMS AND IMMUNIZATIONS (IF YOU QUALIFY) Santa Rosa del Valle, Inc. "Kids First" are coming to YOU with our Medical RV to One Quail Place Apartments 72-600 Fred Waring Drive, Palm Desert RECOMMENDED FOR ❖DAYCARE ENTRY ❖SCHOOL ENTRY •:•PRE-SCHOOL ENTRY ❖SPORTS PHYSICALS HEPATITIS B VACCINE FOR ALL CHILDREN *IN A SERIES OF 3 DOSES* COMING Wednesday, November 10th through Thursday, November 126 9:00am to 5:00pm For an appointment, leave your name and telephone number in the office and someone will be contacting you or you can call (760) 775-4181 for more information. DRAFT GROUND LEASE THIS GROUND LEASE (this "Lease") is made as of October , 1999, by and between the PALM DESERT REDEVELOPMENT AGENCY, a public body corporate and politic (herein "Landlord") and SHELTER FROM THE STORM, INC., a California non-profit corporation(herein "Tenant"). RECITALS A. Landlord is the owner of certain real property (the "Premises") located in the City of Palm Desert, County of Riverside, State of California, as more fully described on Exhibit 1 hereto. The Premises contain approximately 20 apartment units. B. Tenant desires to lease the Premises for the purpose of operating a transitional housing program for women and children who are survivors of domestic violence and who are of very low and low income. C. Landlord desires to lease the Premises and the existing improvements thereon to Tenant in accordance with the terms and conditions set forth hereinbelow. NOW THEREFORE, the Parties agree as follows: 1. Definitions. (a) "Affiliate" means any entity controlling, controlled by, or under common control with Tenant. N (b) "Affordable Rent"means the rent determined under California Health & Safety Code Section 50053(b) for the very low and lower income households, as amended from time to time. (c) "Area median income" shall mean the area median income for the San Bernardino - Riverside County area as published by the Department of Housing and Community Development pursuant to California Health and Safety Code Section 50093. (d) "Capital Replacement Reserve" means a reserve fund to be established by Tenant, as more particularly set forth in Section 13 of this Lease. (e) "City" means the City of Palm Desert, California. (f) "Environmental Laws" means all federal, state, local, or municipal laws, rules, orders,regulations, statutes, ordinances, codes, decrees, or requirements of any government authority regulating, relating to, or imposing liability or standards of conduct concerning any Hazardous Substance (as later defined), or pertaining to occupational health or industrial hygiene (and only to the extent that the occupational health or industrial hygiene laws, ordinances, or regulations relate to Hazardous Substances on, under, or about the Premises), occupational or environmental conditions on, under, or about the Premises, as now or may at any later time be in effect, including without limitation, the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (CERCLA)[42 USCS§§9601 et seq.]; the Resource Conservation and Recovery Act of 1976 (RCRA)[42 USCS § ' 6901 et seq.]; the Clean Water Act, also known as the Federal Water Pollution Control Act (FWPCA) [33 USCS§ '1251 et seq.]; the Toxic Substances Control Act (TSCA)[15 USCS§'2601 et seq.]; the Aik Hazardous Materials Transportation Act (HMTA)[49 USCS 1801 et seq.]; the Insecticide, Fungicide, Rodenticide Act[7 USCS 0 136 et seq.]; the Superfund Amendments and Reauthorization Act[42 USCS §6901 et seq.]; the Clean Air Act[42 USCS§§ 7401 et seq]; the Safe Drinking Water Act[42 USCS§ '300f et seq.]; the Solid Waste Disposal Act[42 USCS§§6901 et seq.]; the Surface Mining Control and Reclamation Act[30 USCS§§ 1201 et seq.]; the Emergency Planning and Community Right to Know Act[42 USCS§§11001 et seq.]; the Occupational Safety and Health Act[29 USCS • § ' 655 and 657]; the California Underground Storage of Hazardous Substances Act[H& S C§ '25280 et seq.]; the California Hazardous Substances Account Act[H& S C§§25300 et seq.]; the California Hazardous Waste Control Act[H& S C§§25100 et seq.]; the California Safe Drinking Water and Toxic Enforcement Act[H& S C§. 24249.5 et seq.]; and the Porter-Cologne Water Quality Act[Water Code§.13000 et seq.], together with any amendments of or regulations promulgated under the statutes cited above and any other federal, state, or local law, statute, ordinance, or regulation now in effect or later enacted that pertains to occupational health or industrial hygiene, and only to the extent that the occupational health or industrial hygiene laws, ordinances, or regulations relate to Hazardous Substances on, under, or about the Premises, or the regulation or protection of the environment, including ambient air, soil, soil vapor, groundwater, surface water, or land use. (g) "Hazardous Substances" includes without limitation: (i) Those substances included within the definitions of hazardous substance, hazardous waste, hazardous material, toxic substance, solid waste, or pollutant or contaminant in CERCLA, RCRA, TSCA, HMTA, or under any other Environmental Law; (ii) Those substances listed in the United States Department of Transportation (DOT) Table 49[CFR§ 172.101], or by the Environmental Protection Agency (EPA), or any successor agency, as hazardous substances[40 CFR Part 302]; (iii) Other substances, materials, and wastes that are or become regulated or classified as hazardous or toxic under federal, state, or local laws or regulations; and (iv) Any material, waste, or substance that is (1) a petroleum or refined petroleum product, (2) asbestos, (3)polychlorinated biphenyl, (4) designated as a hazardous substance pursuant to 33 USCS § 1321 or listed pursuant to 33 USCS § 1317, (5) a flammable explosive, or(6) a radioactive material. (h) "Persons or Families of Very Low or Lower Income" means persons or families whose income do not exceed the amounts set forth in California Health and Safety Code Sections 50105 (very low income) or 50079.5 (lower income), for persons and families who have incomes not greater than the applicable percentage of the area median income for the very low or lower income categories. (i) "Premises" is the subject real property located in the City of Palm Desert, County of Riverside, State of California, and more particularly described in Exhibit 1 attached hereto and incorporated herein by reference. (j) "Program" shall mean the transitional housing program to be provided by Tenant and described in Section 5(a). (k) "Regulatory Agreement" means the agreement to be recorded prior to the Commencement Date, to encumber the Premises. 2. Lease of the Premises. Landlord leases the Premises to Tenant, and Tenant leases the Premises from Landlord, for the Term set forth in Section 3 hereof, and on the conditions set forth in this Lease. ki -2- • C:\WINDOWS\TEMP\F962.1A-1.WPD rev.10/4/99 3. Term. The term of this Lease (the "Term") shall commence on the Commencement Date, ' and shall end five (5) years thereafter. Prior to the expiration of the Term, Landlord agrees to negotiate ' y with Tenant in good faith an extension of the Term if Tenant has been providing services pursuant to the Program in a quality manner. 4. Use. Tenant shall use the Premises solely for providing housing to participants in Tenant's Program, provided that all such occupants shall be Low and Very Low Income Households, and provided that at no time shall Tenant charge the participants a rent that exceeds an Affordable Rent, and for no other purpose whatsoever. 5. Consideration/Rent. Tenant shall pay to Landlord as rent for the entire term("Rent"), the sum of$1.00, and Tenant shall, as additional consideration, provide the provide the following services: (a) Tenant shall provide from the Premises, at Tenant's sole cost and expense, a transitional housing program (the "Program") for women and children who are survivors of domestic violence and who have completed a stay at Tenant's emergency shelter. The program shall be designed to promote the participants' self-sufficiency and facilitate their move to permanent housing in 24 months or less. The program shall provide approximately 150 transitional housing beds and serve approximately 60 families (60 women and 90 children). (b) Tenant shall provide participants supportive services including outreach, case management, individual and group therapy for adults and children, drug/alcohol counseling,job assistance, child care, parenting classes, life skills training, health assessments, HIV testing/education, legal advocacy, workshops on entering/re-entering the workplace for domestic violence survivors, and follow-up. (c) All participants shall be either employed or in vocational training within 60 days •► of entry into the transitional housing program at the Premises. 6. Report. Tenant shall keep at Tenant's principal place of business in Riverside, California, true and correct records of the operation of the Program, and all income and expenses realized or incurred with respect to the Premises. The records shall be kept at the Premises for not less than three years after the end of each calendar year of the Program. Landlord shall have the right, at any reasonable time and from time to time, after giving reasonable notice, to do any or all of the following: to audit the records; to cause an audit of the records to be made; to make abstracts from the records; to make copies of any or all of the records; to examine any or all contracts, subleases, licenses, and concession agreements; and to make copies of any or all contracts, subleases, licenses or concession agreements. Landlord may not make such audits more than one time per calendar year, unless Tenant has defaulted in a material obligation that Tenant has failed to cure within the time period set forth in Section 19(a)hereof, in which case Landlord may exercise these rights at any time. Tenant shall make all records specified in the notice available at the time specified in the notice and at the place where the records are to be kept. 7. Taxes. (a) Covenant to Pay Taxes. As additional rent, Tenant shall pay directly to the appropriate taxing authorities all taxes ("Taxes") levied or assessed upon or against the Premises during the term and all property taxes levied on personal property located on the Premises. All taxes shall be paid at least 10 days prior to their due date. Tenant shall furnish to Landlord at least 5 days prior to the date when any Taxes would become delinquent receipts or other appropriate evidence establishing their payment, and before any fine, interest or penalty shall become due or be imposed by operation of law for their non-payment, and Tenant shall promptly furnish to Landlord satisfactory evidence establishing -3- C:\WINDOWS\TEMP\F962JA-1.WPD rev. 10/4/99 such payment. Tenant may comply with this requirement by retaining a tax service to notify Landlord whether the taxes have been paid. (b) Definition of Taxes. The term "Taxes" shall include all real property taxes (including increases in real property taxes caused by reappraisals that are the result of changes in the ownership of Landlord's interest),possessory interest taxes, personal property taxes, charges and assessments, (including street improvement liens) which are levied, assessed upon or imposed by any governmental authority or political subdivision thereof during any calendar year of the Term hereof with respect to the Premises and the Premises and any improvements, fixtures, and equipment and all other property of Tenant or Landlord, real or personal, or used in connection with the operation of the Premises and any tax which shall be levied or assessed in addition to or in lieu of such real or personal property taxes, and any license fees, tax measured by or imposed upon rents, or other tax or charge upon Landlord's leasing of the Premises or the receipt of rent hereunder. All assessments, taxes, fees, levies and charges imposed by governmental agencies for services such as fire protection, street, sidewalk and road maintenance, refuse removal and other public services generally provided without charge to owners or occupants prior to the adoption of Proposition 13 by the voters of the State of California in the June 1978 election, also shall be deemed included within the definition of"taxes" for the purposes of this Lease. (c) Possessory Interest. Pursuant to Health and Safety Code Section 33673, the Premises are required to be assessed and taxed in the same manner as privately owned property. Tenant shall pay taxes upon the entire property and not merely the assessed value of its leasehold interest. Landlord will provide notice to the Riverside County Assessor within thirty (30) days of the commencement of this Lease as required by Health and Safety Code Section 33673.1; provided that the failure to do so,by Landlord, shall not be deemed to constitute a default or waiver of Landlord's right to do so retroactively. Tenant shall not apply for or receive any exemption from the payment of property taxes and assessments. (d) Proration of Tenant's Tax Liability. Tenant's liability to pay Taxes shall be prorated on the basis of a 365- day year to account for any fractional portion of a fiscal tax year included in the term at its commencement or expiration. 8. Condition of the Premises. (a) Landlord has recently undertaken the complete rehabilitation of the Premises. Tenant has inspected the Premises and has determined that the Premises are in good condition and repair. Tenant hereby fully approves the physical condition of the Premises, and accepts the Premises in their"as-is" condition. Landlord has no obligation to construct any further improvements or make any further repairs to the Premises. Landlord makes no warranty whatsoever to Tenant as to the condition of any portion of the Premises following the acceptance of same by Tenant. (b) Tenant hereby agrees to indemnify and defend the City and/or Landlord for any claims which may be asserted against the City and/or Landlord under the Comprehensive Environmental Response and Compensation and Liability Act, as amended (42 U.S.C. Section 9601 et seq.) ("CERCLA") or under any other county, state, federal, or local environmental law for any conditions existing during the time Tenant has title to the Premises, and provided such indemnitee is not responsible for such conditions. This indemnity shall not apply in the event of Landlord's own gross negligence or wilful misconduct. 9. Compliance with State Law. Tenant covenants to maintain and operate the Premises in compliance with the current City and State of California standards and laws, and in compliance with all applicable law or regulation with respect to the payment of prevailing wages, to the extent applicable to -4- C:\WINDOW S\TEMP\F962JA-1.WPD rev.10/4/99 Tenant. In performing this Lease, Tenant is an independent contractor and is not the agent of Landlord. Landlord shall not have any responsibility for payment to any contractor or supplier of Tenant. 10. Mechanics' Liens. Tenant shall pay all costs for construction done by it or caused to be done by it on the Premises as permitted or required by this Lease. Tenant shall keep the Premises free and clear of all mechanics' liens resulting from construction done by or for Tenant. If a mechanic's lien is recorded against the Premises, then Tenant's failure to discharge same, by bond or otherwise,within 30 days after the filing thereof, shall be a default hereof. Tenant shall have the right to contest the correctness or the validity of any such lien if, immediately on demand by Landlord, Tenant procures and records a lien release bond issued by a corporation authorized to issue surety bonds in California in an amount equal to one and one-half times the amount of the claim of lien. The bond shall meet the requirements of Civil Code §3143 and shall provide for the payment of any sum that the claimant may recover on the claim (together with costs of suit, if it recovers in the action). Tenant shall hold harmless, defend and indemnify Landlord and the Premises and the Premises against all liability and loss of any type arising out of work performed on the Premises by Tenant, together with reasonable attorneys' fees and all costs and expenses reasonably incurred by Landlord in negotiating, settling, defending or otherwise protecting against such claims. If Tenant does not cause to be recorded the bond described in California Civil Code Section 3142 or otherwise protect the Premises under any alternative or successor statue, and a final judgment has been rendered against Tenant by a court of competent jurisdiction for the foreclosure of a mechanics'materialman's, contractor's or subcontractor's lien claim, and if Tenant fails to stay the execution of the judgment by lawful means or to pay the judgment, Landlord shall have the right, but not the duty, to pay or otherwise discharge, stay or prevent the execution of any such judgment or lien or both. Tenant shall reimburse Landlord for all sums paid by Landlord under this section, together with all Landlord's attorneys fees and costs,plus interest on those sums, fees, and costs, at the maximum legal rate that may be charged by non-exempt lenders under the usury laws of the State of California. On completion of any substantial work of improvement during the term, Tenant shall file or cause to be filed a notice of completion. 11. Other Restrictions. (a) Waste. Tenant shall not remove any improvements from the Premises nor waste, destroy or modify any improvements on the Premises, except as permitted by this Lease. (b) Hazardous Substances. Tenant shall not use, handle, store, transport, generate, release, or dispose of any Hazardous Substances on, under, or about the Premises, except that Tenant may use small quantities of common chemicals customarily used in an office such as adhesives, lubricants, and cleaning fluids in order to conduct business at the Premises. Tenant shall comply at Tenant's sole cost and expense with any Environmental Laws. At any time during the term of this Lease, Tenant shall, within ten (10) days after written request from Landlord, disclose in writing all Hazardous Substances that are being used by Tenant on the Premises, the nature of the use, and the manner of storage and disposal. Tenant agrees to indemnify, defend and hold Landlord harmless from any liabilities, losses, claims, damages,penalties, fines, attorney fees, expert fees, court costs, remediation costs, investigation costs, or other expenses resulting from or arising out of the use, storage, treatment, transportation, release, or disposal of Hazardous Substances on or about the Premises by Tenant. This covenant shall survive the assignment or sale of Tenant's interest in this Lease and the expiration or sooner termination of this Lease. (c) Utilities and Services. Tenant shall make all arrangements for and pay(or cause its subtenants to pay) for all utilities and services furnished to or used by it or its subtenants, including, without limitation, gas, electricity, water, telephone service, communications, cable television, and trash collection, and for all connection charges. -5- C:\WINDOWS\TEMP\F962JA-1.WPD rev.10/4/99 12. Maintenance. (a) Throughout the Term, Tenant shall, at Tenant's sole cost and expense, maintain the Premises and every part thereof in good condition and repair and in accordance with (i) all applicable laws, rules, ordinances, orders and regulations of federal, state, county, municipal, and other governmental agencies and bodies having or claiming jurisdiction and all their respective departments, bureaus, and officials; (ii) the insurance underwriting board or insurance services office having or claiming jurisdiction over the Premises; and (iii) all insurance companies insuring all or any part of the Premises. Landlord shall not have any responsibility to maintain the Premises whatsoever. (b) Landscape maintenance shall include, but not be limited to: commercially reasonable watering/irrigation; fertilization; mowing, edging, and trimming of grass; tree and shrub pruning; trimming and shaping of trees and shrubs to maintain a healthy, natural appearance and safe road conditions and visibility, and optimum irrigation coverage; replacement, as needed, of all plant materials; control of weeds in all planters, shrubs, lawns, ground covers, or other planted areas; and staking for support of trees. (c) Clean-up maintenance shall include, but not be limited to: commercially reasonable maintenance of all private paths, parking areas, driveways and other paved areas in clean and weed-free condition; maintenance of all such areas clear of dirt, mud, trash, debris or other matter which is unsafe or unsightly; removal of all trash, litter and other debris from improvements and landscaping prior to mowing; clearance and cleaning of all areas maintained prior to the end of the day on which the maintenance operations are performed to ensure that all cuttings, weeds, leaves and other debris are properly disposed of by maintenance workers. (d) All maintenance work shall conform to all applicable federal and state Occupation Safety and Health Act standards and regulations for the performance of maintenance. (e) Any and all chemicals, unhealthful substances, and pesticides used in and during maintenance shall be applied only by persons in strict accordance with all governing regulations. (f) Parking lots, lighting fixtures, trash enclosures, and all areas shall be kept free from any accumulation of debris or waste materials by regularly scheduled maintenance. (g) Except as provided in Section 15 hereof, Tenant shall promptly and diligently repair, restore, and replace as required to maintain or comply as above, or to remedy all damage to or destruction of all or any part of the improvements. The completed work of maintenance, compliance, repair,restoration, or replacement shall be substantially equal in value, quality and use to the condition of the improvements before the event giving rise to the work, except as expressly provided to the contrary in this Lease. Landlord shall not be required to furnish any services or facilities or to make any repairs or alterations of any kind in or on the Premises. Landlord's election to perform any obligation of Tenant under this provision on Tenant's failure or refusal to do so shall not constitute a waiver of any right or remedy for Tenant's default, and Tenant shall promptly reimburse, defend and indemnify Landlord against all liability, loss, cost and expense arising from it. (h) Nothing in this provision defining the duty of maintenance shall be construed as limiting any right given elsewhere in this Lease to alter, modify, demolish, remove, or replace any improvement, or as limiting provisions relating to condemnation or to damage or destruction during the final year or years of the Term. No deprivation, impairment, or limitation of use resulting from any event or work contemplated by this section shall entitle Tenant to any offset, abatement, or reduction in rent nor to any termination or extension of the Term. L -6- C:\WINDOWS\TEMP\F962JA-1.WPD rev.10/4/99 (i) In determining whether Tenant has acted promptly as required under the foregoing section, one of the criteria to be considered is the availability of any applicable insurance proceeds. (j) Tenant waives the provisions of California Civil Code Sections 1941 and 1942 with respect to Landlord's obligations for tenantability of the Premises and Tenant's right to make repairs and deduct the expenses of such repairs from rent. 13. Capital Replacement Reserve. fl (a) Tenant shall deposit monthly an amount equal to one-twelfth (1/12th) of the sum of$2�D per each unit, which shall be deposited into a separate interest-bearing trust account (the "Capital Replacement Reserve"). Funds in the Capital Replacement Reserve shall be used for capital replacements to the Premises' fixtures and equipment which are normally capitalized under generally accepted accounting principles. As capital repairs and improvements of the Premises become necessary, the Capital Replacement Reserve shall, with the approval of Landlord's Executive Director, be the first source of payment therefor; provided, however, that Tenant may first use other funds for payment with the prior consent of Landlord's Executive Director, which approval shall not be unreasonably withheld. The non-availability of funds in the Capital Replacement Reserve does not in any manner relieve Tenant of the obligation to undertake necessary capital repairs and improvements and to continue to maintain the Premises in the manner prescribed in Section 12 hereof. Tenant, at its expense, shall submit to Landlord on not less than an annual basis an accounting for the Capital Replacement Reserve. (b) Capital repairs to and replacement of the improvements on the Premises shall include only those items with a long useful life, including without limitation the following: (i) Appliance replacement; (ii) Hot water heater replacement; (iii) Plumbing fixtures replacement, including tubs and showers, toilets, lavatories, sinks, faucets; (iv) Air conditioning and heating replacement; (v) Asphalt replacement; (vi) Roofing replacement; (vii) Landscape tree replacement and irrigation pipe and controls replacement; (viii) Gas line pipe replacement; (ix) Lighting fixture replacement; and (x) Miscellaneous motors and blowers. 14. Alterations. Neither Tenant nor any subtenant shall make any alterations or additions to the Premises (other than non-structural alterations costing not more than$10,000) without Landlord's prior written consent, which shall not be unreasonably withheld. (Landlord acknowledges that items of ordinary maintenance and repair are not alterations or additions for the purposes hereof.) If Tenant or • any subtenant makes any alterations to the Premises as provided in this section, the alterations or additions shall not be commenced until 20 days after Landlord has received notice from Tenant or the -7- C:\WINDOWS\TEMP\F962JA-1.WPD rev.10/4/99 subtenant stating the date the installation of the alterations or additions is to commence so that Landlord can post and record an appropriate notice of nonresponsibility. 15. Destruction. (a) Lease to Govern Tenant's Rights. Tenant waives the provisions of Civil Code Sections 1932(2) and 1933(4) with respect to any destruction of the Premises, and agrees that Tenant's rights in case of destruction shall be governed solely by the provisions of this Lease. (b) Restoration by Tenant. Except as provided below, Tenant shall promptly and diligently repair, restore and replace as required to maintain the Premises in first class condition and repair, or to remedy all damage to or destruction of all or any part of the improvements from any cause whatsoever, so long as the cost of the work so required does not exceed 50% of the replacement cost of the Premises (or, in the last two years of the Term, 25% of the replacement cost of the Premises). The completed work of maintenance, compliance, repair, restoration or replacement shall be equal in value, quality and use to the condition of the Premises before the event giving rise to the work, except as expressly provided to the contrary in this Lease. Landlord shall not be required to furnish any services or facilities or to make any repairs or alterations of any kind in or on the Premises. Landlord's election to perform any obligation of Tenant under this provision on Tenant's failure or refusal to do so shall not constitute a waiver any right or remedy for Tenant's default, and Tenant shall promptly reimburse, defend and indemnify Landlord against all liability, loss, cost and expense arising from it. Any casualty or destruction shall not terminate this Lease. (c) Extraordinary Damage or Destruction; Tenant's Right to Terminate. If at any time during the Term more than 50% of the floor area of the improvements comprising the Premises are destroyed, or, if during the last 2 years of the Term 25% of the floor area of the improvements comprising the Premises are destroyed, then Tenant shall have the option of repairing and reconstructing the Premises or of terminating this Lease. If Tenant elects to repair and reconstruct, Tenant shall promptly do so in accordance with the terms of this Lease. To exercise its right of termination, Tenant must comply with all of the following conditions: (i) Give Landlord notice of termination within 30 days after the damage or destruction, specifying the date of termination which shall be not less than 60 days nor more than 120 days after the date such notice of termination is given; (ii) Prior to the termination date, cure any defaults on Tenant's part under this Lease; (iii) Continue to make all payments when due as required by the provisions of this Lease until the date of termination; (iv) Prior to the termination date, pay in full any outstanding indebtedness incurred by Tenant and secured by an encumbrance or encumbrances on the leasehold, or alternatively, deliver to Landlord the written consent of the holders of all such encumbrances to the early termination of this Lease and extinguishment of their liens; (v) On or before the termination date, deliver possession of the Premises to Landlord, quitclaim all right, title and interest in the Premises to Landlord and cease to do business on the Premises; (sr -8- C:\WINDOWS\TEMP\F962JA-1.WPD rev.10/4/99 (vi) Prior to the termination date, cause to be discharged all liens and encumbrances resulting from any act or omission of Tenant; Nosy (vii) Prior to the termination date, effectively relinquish, assign, and deliver to Landlord all insurance proceeds resulting from the casualty, less the amounts required to pay in full the Loan. (d) Insurance Proceeds. If Tenant is obligated or elects to restore the Premises pursuant to this Section, the proceeds of any insurance maintained under this Lease shall be made available to Tenant by Landlord for payment of costs and expenses of repair. If the insurance proceeds are insufficient to cover the cost of repair, then any amounts required over the amount of the insurance proceeds received that are required to complete said repair shall be paid by Tenant. Tenant shall deposit with Landlord (or the Mortgagee) the deficiency prior to expending any insurance proceeds. 16. Insurance and Indemnity. (a) Liability Insurance. (i) Tenant shall procure at its sole cost and expense, and keep in effect from the Commencement Date of this Lease and at all times until the end of the Term, Commercial General Liability Insurance applying to the use and occupancy of the Premises, or any part thereof, and the business operated by Tenant, its sublessees, licensees, employees, agents, or any other occupant, on the Premises. Such insurance shall include Blanket Contractual Liability coverage. Such coverage shall have a minimum combined single limit of liability of at least Three Million Dollars ($3,000,000). All such policies shall be written to apply to all bodily injury,property damage,personal injury and other covered loss, however occasioned, occurring during the policy term, shall be endorsed to add Landlord and the City of Palm Desert and their members, officers, employees and agents as additional insureds, and to provide that such coverage shall be primary and that any insurance maintained by Landlord shall be excess insurance only. Such coverage shall be endorsed to waive the insurer's rights of subrogation against Landlord. (ii) The Commercial General Liability insurance shall be in force the first day of the Term of this Lease. (iii) Tenant shall also maintain Workers' Compensation insurance in accordance with California law, and an employer's liability insurance endorsement with customary limits. Any policy shall be endorsed with a waiver of subrogation clause for Landlord and the City and their members, officers, employees, and agents. (iv) All insurance described in this Section shall be endorsed to provide Landlord with 30 days' advance notice of cancellation or change in its terms. (v) If at any time during the term the amount or coverage of insurance which Tenant is required to carry under this Section is, in Landlord's reasonable judgment, materially less than the amount or type of insurance coverage L typically carried by owners or lessees of properties located in Riverside County, California, which are comparable to other properties as the -9- C:\WINDOWS\TEMP\F962JA-1.WPD rev.10/4/99 Premises, Landlord shall have the right to require Tenant to increase the tor amount or change the types of insurance coverage required under this Section. Such requirements shall be designed to assure protection from and against the kind and extent of risks which exist at the time a change in insurance is required. (vi) Landlord shall notify Tenant in writing of changes in insurance requirements and, if Tenant does not deposit certificates evidencing acceptable insurance policies with Landlord incorporating such changes within sixty (60) calendar days of receipt of such notice, this Tenant shall be in default under this Lease without the requirement of further notice to Tenant, and Landlord shall be entitled to exercise all legal remedies. (vii) If Tenant fails or refuses to maintain insurance as required hereunder, or fails to provide the proof of insurance, Landlord shall have the right to declare this Lease in default without further notice to Tenant, and Landlord shall be entitled to exercise all legal remedies for breach of this Lease. (viii) The procuring of such required policies of insurance shall not be construed to limit Tenant's liability hereunder, nor to fulfill the indemnification provisions and requirements of this Lease. Notwithstanding said insurance policies, Tenant shall be obligated for the full and total amount of any damage, injury, or loss caused by negligence or neglect connected with this Lease or with the use or occupancy of the Premises. (b) Property Insurance. (i) Tenant shall obtain and keep in force during the term of this Lease a policy of insurance covering loss or damage to the Premises, and all personal property of Tenant, in the amount of the full replacement value thereof, as the same may exist from time to time, but in no event less than the total amount required by lenders having liens on the Premises, against all perils included within the classification of fire, extended coverage, builder's risk, vandalism, malicious mischief("all risk," as that term is used in the insurance industry). If such insurance coverage has a deductible clause, the deductible amount shall not exceed $10,000 per occurrence, and Tenant shall be liable for such deductible amount. (ii) In addition to the foregoing, Tenant shall insure its furniture, fixtures, and equipment in their full replacement value. (iii) Not less often than every three (3) years during the Term of this Lease, Tenant and Landlord shall agree in writing on the full replacement cost of the Premises and all improvements thereon. If, in the opinion of Landlord, the amount or type of property damage insurance coverage, or an other amount or type of insurance at that time is not adequate or not provided for herein, Tenant shall either acquire or increase the insurance coverage as required by Landlord. L -10- C:\WINDOWS\TEMP\F962JA—I.WPD rev.10/4/99 (c) Insurance Policies. `ow, (i) If Tenant shall fail to obtain any insurance required hereunder, Landlord may, at its election, obtain such insurance and Tenant shall, as additional rent, reimburse Landlord for the cost thereof plus a ten percent (10%) handling charge, within five (5) days following demand therefor. Insurance required hereunder shall be issued by companies reasonably satisfactory to Landlord. Tenant shall deliver to Landlord copies of policies of such insurance or certificates evidencing the existence and amounts of such insurance with loss payable clauses as required by this Section 16. No such policy shall be cancelable or subject to reduction of coverage or other modification except after fifteen (15) days'prior written notice to Landlord. Tenant shall, at least thirty(30) days prior to the expiration of such policies, furnish Landlord with renewals or "binders" thereof. Tenant shall not do or permit to be done anything which shall invalidate the insurance policies referred to in this Section 16. If Tenant does or permits to be done anything which shall increase the cost of the insurance policies referred to in Section 16(b), then Tenant shall forthwith upon Landlord's demand reimburse Landlord for any additional premiums attributable to any act or omission or operation of Tenant causing such increase in the cost of insurance. All policies of insurance shall name Landlord, the City, and, at Landlord's option, any additional parties designated by Landlord, as an additional insured. All insurance required to be provided hereunder is in addition to, and not in lieu of, the indemnity provisions of Sections 16(e) and 16(f)hereof. (ii) Tenant shall not use the Premises in any manner, even if the use is for purposes permitted herein, that will result in the cancellation of any insurance which within five (5) calendar days cannot be renewed or replaced. Tenant further agrees not to keep on the Premises or permit to be kept, used, or sold thereon, anything prohibited by any fire or other insurance policy covering the Premises. Tenant shall, at Tenant's sole cost and expense, comply with any and all requirements, in regard to the Premises, of any insurance organization necessary for maintaining fire and extended coverage insurance. (d) Waiver of Subrogation. Tenant and Landlord each hereby release and relieve the other, and the City, and waive their entire right of recovery against the other and the City for loss or damage arising out of or incident to the perils insured against under Section 16(b) which perils occur in, on, or about the Premises, whether due to the negligence of Landlord or Tenant or their agents, employees, contractors and/or invitees. Tenant and Landlord shall, upon obtaining the policies of insurance required hereunder, give notice to the insurance carrier or carriers that the foregoing mutual waiver of subrogation is contained in this Lease. (e) Indemnity. Tenant shall indemnify, defend, protect, and hold harmless Landlord from and against any and all claims, losses, proceedings, damages, causes of action, liability, costs and expenses, (including attorneys' fees) arising from or in connection with, or caused by(i) any act, omission or negligence of Tenant or any sublessee of Tenant, or their respective contractors, licensees, invitees, agents, servants or employees, wheresoever the same may occur; (ii) any use of the Premises, or any accident, injury, death or damage to any person or property occurring in, on or about the Premises, or any part thereof, or from the conduct of Tenant's business or from any activity, work or • thing done,permitted or suffered by Tenant or its sublessees, contractors, employees, or invitees, in or about the Premises or elsewhere (other than arising as a result of Landlord's gross negligence or -11- C:\WINDOWS\TEMP\F962.1A-1.WPD rev.10/4/99 intentional misconduct); and (iii) any breach or default in the performance of any obligations on Tenant's part to be performed under the terms of this Lease, or arising from any negligence of Tenant, or any such `11* claim or any action or proceeding brought thereon; and in case any action or proceeding be brought against Landlord by reason of any such claim, Tenant upon notice from Landlord shall defend the same at Tenant's expense by counsel satisfactory to Landlord. Tenant, as a material part of the consideration to Landlord, hereby assumes all risk of damage to property or injury to persons in, upon or about the Premises arising from any cause other than Landlord's gross negligence or intentional acts, and Tenant hereby waives all claims in respect thereof against Landlord. These provisions are in addition to, and not in lieu of, the insurance required to be provided by Sections 15(a) and 16(b) hereof. Landlord further agrees to indemnify, defend, and hold Tenant harmless from any claims, losses or damages that result from any personal injury or property damage occurring on any property owned by Landlord that is adjacent to the Premises that is not leased to Tenant or which is to be maintained by Tenant, unless such personal injury or property damage results from Tenant's negligent or intentional act or omission. (f) Exemption of Landlord from Liability. Tenant hereby assumes all risks and liabilities of a landowner in the possession, use or operation of the Premises. Tenant hereby agrees that Landlord shall not be liable for injury to Tenant's business or any loss of income therefrom or for damage to the goods, wares, merchandise or other property of Tenant, Tenant's employees, invitees, customers, contractors, workers, or any other person in or about the Premises, including any liability arising from the physical condition of the Premises or the presence of any hazardous or toxic materials or substances on the Premises, nor shall Landlord be liable for injury to the person of Tenant, Tenant's employees, agents or contractors, whether such damage or injury is caused by or results from hazardous or toxic materials or substances, fire, steam, electricity, gas, water, or rain, or from the breakage, leakage, obstruction or other defects of pipes, sprinklers, wires, appliances, plumbing, air conditioning or lighting fixtures, or from any other cause, whether the said damage or injury results from conditions arising upon the Premises or from other sources or places and regardless of whether the cause of such damage or injury or the means of repairing the same is inaccessible to Tenant. These provisions are in *41w. addition to, and not in lieu of, the insurance required to be provided by Sections 15(a) and 16(b)hereof. Nothing contained herein shall be construed as excusing Landlord from liability for its gross negligence or intentional misconduct. 17. Condemnation. (a) Rights and Obligations Governed by Lease. If during the term there is any taking of all or any part of the Premises or any interest in this Lease by Condemnation, the rights and obligations of the parties shall be determined pursuant to this Section. Each party waives the provisions of California Code of Civil Procedure Section 1265.130 allowing either party to petition the Superior Court to terminate this Lease in the event of a partial taking of the Premises. (b) Total Taking. If the Premises are totally taken by condemnation, this Lease shall terminate on the date of taking. (c) Partial Taking. If any portion less than all of the Premises are taken by Condemnation, this Lease shall remain in effect, except that Tenant can elect to terminate this Lease if the portion of the Premises not so taken cannot be so repaired or reconstructed, taking into consideration the amount of the award available for repair, so as to be suitable for Tenant's continued use of the Premises for the same use as the Premises are being used immediately prior to the taking and the remaining premises would not be economically feasible usable by Tenant. If Tenant elects to terminate this Lease, Tenant must exercise its right to terminate by giving notice to Landlord within 90 days after the nature and the extent of the taking have been finally determined. If Tenant elects to terminate this Lease, Tenant also shall notify Landlord of the date of termination, which date shall not be later than 180 days after Tenant has notified Landlord of its election to terminate; except that this Lease shall terminate Air on the Date of Taking if the Date of Taking falls on a date before the date of termination as designated -12- C:\WINDOWS\TEMP\F962.1A—l.WPD rev. 10/4/99 by Tenant. If Tenant does not terminate this Lease within the ninety-day period, this Lease shall continue in full force and effect without any modification in rent payable hereunder. (d) Restoration of Premises. If there is a partial taking of the Premises and this Lease remains in full force and effect and pursuant to Section 17(c), Tenant shall accomplish all necessary restoration. (e) Application of Award. No award for any partial or entire taking shall be apportioned, and Tenant hereby assigns to Landlord any award which may be made in such taking or condemnation, together with any and all rights of Tenant now or hereafter arising in or to the same or any part thereof; provided, however, that nothing contained herein shall be deemed to give Landlord any interest in or require Tenant to assign to Landlord any award made to Tenant for the loss of goodwill and relocation expenses recoverable against the condemning authority, or in the event of a partial taking, the cost of restoring the Premises to a usable condition. 18. Assignment, Subletting and Encumbering. (a) Except for temporary occupancies by participants in the Program, Tenant shall not voluntarily assign or encumber its interest in this Lease, or in the Premises, or sublease substantially all or any part of the Premises or the Premises, or allow any other person or entity(except Tenant's authorized representatives) to occupy or use all or any part of the Premises, without Landlord's consent, which consent may be granted or withheld in Landlord's sole and absolute discretion. 19. Default. (a) Tenant's Default. The occurrence of any of the following shall constitute a default by Tenant: (i) Failure to pay rent or any other payment required to be made by Tenant hereunder within 5 days of its due date. (ii) Tenant's failure to conduct the Program from the Premises, or the cessation or suspension of the Program from the Premises. (iii) Abandonment or surrender of the Premises or the leasehold estate by Tenant. (iv) Failure to perform any other material covenant or provision of this Lease, if the failure to perform is not cured within 30 days after written notice. If the failure to perform cannot reasonably be cured within 30 days, Tenant shall not be in default of this Lease if Tenant commences to cure the failure to perform within the 30 day period and thereafter diligently and in good faith prosecutes the cure to completion, and such default is cured within a total of 90 days from the date of the notice. (v) The subjection of any right or interest to attachment, execution, or other levy, or to seizure under legal process, if not released within 30 days after notice from Landlord to Tenant. (vi) An assignment by Tenant for the benefit of creditors or the filing of a voluntary or involuntary petition by or against Tenant under any law for the purpose of adjudicating Tenant a bankrupt; or for extending time for payment, adjustment, or satisfaction of Tenant's liabilities; or for -13- C:\WINDOW S\TEMP\F962JA-1.WPD rev.10/4/99 reorganization, dissolution, or arrangement on account of or to prevent bankruptcy or insolvency; unless the assignment or proceeding, and all consequent orders, adjudications, custodies, and supervisions are dismissed, vacated, or otherwise permanently stayed or terminated within 90 days after the assignment, filing, or other initial event. (vii) The appointment of a receiver, unless such receivership is terminated within 90 days after the appointment of the receiver, to take possession of Tenant's interest in the Premises or of Tenant's interest in the leasehold estate or of Tenant's operations on the Premises for any reason, including but not limited to, assignment for benefit of creditors or voluntary or involuntary bankruptcy proceedings, but not including receivership (A) pursuant to the Loan, or(B) instituted by Landlord, the event of default being not the appointment of a receiver at Landlord's instance but the event justifying the receivership. (b) Remedies. (i) Cumulative Nature of Remedies. If any default by Tenant shall continue uncured, following notice of default as required by this Lease, for the period, if any, applicable to the default under the applicable provision of this Lease, Landlord shall have the remedies described in this subsection (b) in addition to all other rights and remedies provided by law or equity, to which Landlord may resort cumulatively or in the alternative. (ii) Termination. Landlord may at Landlord's election terminate this Lease by giving Tenant notice of termination. In the event Landlord terminates this Lease, Landlord may recover possession of the Premises (which Tenant shall surrender and vacate upon demand) and remove all persons and property therefrom, and Landlord shall be entitled to recover as damages all of the following: (A) The worth at the time of the award of any unpaid rent or other charges which have been earned at the time of termination; (B) The worth at the time of the award of the amount by which the unpaid rent and other charges which would have been earned after termination until the time of the award exceeds the amount of the loss of such rental or other charges that Tenant proves could have been reasonably avoided; (C) The worth at the time of the award of the amount by which the unpaid rent and other charges for the balance of the term after the time of the award exceeds the amount of the loss of such rental and other charges that Tenant proves could have been reasonably avoided; and (D) Any other amount necessary to compensate Landlord for the detriment proximately caused by Tenant's failure to perform its obligations under this Lease or which in the ordinary course of things would be likely to result therefrom. As used in subsections (A) and (B) above, the "worth at the time of the award" Lshall be computed by allowing interest at the rate of 12 percent per annum. As used in subsection (C) -14- C:\WINDOWS\TEMP\F962JA-1.WPD rev.10/4/99 above, the "worth at the time of the award" shall be computed by discounting such amount at the discount rate of the Federal Reserve Bank of San Francisco at the time of the award, plus two percent. (c) Continuation of the Lease. Even though Tenant has breached this Lease and abandoned the Premises, at Landlord's option this Lease shall continue in effect for so long as Landlord does not terminate Tenant's right to possession, and Landlord may enforce all of its rights and remedies hereunder, including the right to recover rent as it comes due under this Lease, and in such event Landlord will permit Tenant to sublet the Premises or to assign its interest in the Lease, or both, with the consent of Landlord, which consent will not unreasonably be withheld provided the proposed assignee or sublessee is reasonably satisfactory to Landlord as to credit and will occupy the Premises for the same purposes specified herein. For purposes of this subsection, the following shall not constitute a termination of Tenant's right to possession: (i) acts of maintenance or preservation or efforts to relet the Premises; or(ii) the appointment of a receiver under the initiative of Landlord to protect Landlord's interest under this Lease. (d) Use of Tenant's Personal Property. Landlord may at Landlord's election use Tenant's personal property and trade fixtures located on, about or appurtenant to the Premises or any of such property and fixtures without compensation and without liability for use or damage, or store them for the account and at the cost of Tenant. The election of one remedy for any one item shall not foreclose an election of any other remedy for another item or for the same item at a later time. (e) Assignment of Subrents. Tenant assigns to Landlord all subrents and other sums falling due from unit occupants, subtenants, licensees, and concessionaires (herein collectively called "subtenants") during any period in which Tenant is in default, and Tenant shall not have any right to such sums during that period. Landlord may at Landlord's election reenter the Premises with or without process of law, without terminating this Lease, and either or both collect these sums or bring action for the recovery of the sums directly from such obligors. Landlord shall receive and collect all subrents and ',ow proceeds from reletting, applying them: first, to the payment of reasonable expenses (including attorneys' fees or brokers' commissions or both)paid or incurred by or on behalf of Landlord in recovering possession, placing the Premises in good condition, and preparing or altering the Premises for reletting; second, to the reasonable expense of securing new subtenants; third, to the fulfillment of Tenant's covenants to the end of the Term; and fourth, to Landlord's uses and purposes. Tenant shall nevertheless pay to Landlord on the due dates specified in this Lease the equivalent of all sums required of Tenant under this Lease, plus Landlord's expenses, less the proceeds of the sums assigned and actually collected under this provision. (f) Waiver of Rights. Tenant hereby waives any right of redemption or relief from forfeiture under California Code of Civil Procedure Sections 1174 or 1179, or under any other present or future law, in the event Tenant is evicted or Landlord takes possession of the Premises by reason of any default by Tenant hereunder. (g) Landlord's Default. Landlord shall not be deemed to be in default in the performance of any obligation required to be performed by it hereunder unless and until it has failed to perform such obligation within 60 days after written notice by Tenant to Landlord specifying wherein Landlord has failed to perform such obligation; provided, however, that if the nature of Landlord's obligation is such that more than 60 days are required for its performance, then Landlord shall not be deemed to be in default if it shall commence such performance within such 60 day period and thereafter diligently and in good faith prosecute the cure to completion. 20. Landlord's Entry on Premises. Landlord and its authorized representatives shall have the right to enter the Premises at all reasonable times, on 24 hours telephone notice to Tenant (except in the case of emergency, in which case no notice is required) for any of the following purposes: -15- C:\WINDOWS\TEMP\F962JA-1.WPD rev.10/4/99 (a) To determine whether the Premises are in good condition and whether Tenant is complying with its obligations under this Lease; Nor (b) To do any necessary maintenance and to make any restoration to the Premises that Landlord has the right to perform; (c) To serve, post, or keep posted any notices required or allowed under the provisions of this Lease; (d) In the last year of the Term, to show the Premises to prospective brokers, agents, buyers, lenders, or persons interested in an exchange, at any time during the Term. Landlord shall not be liable in any manner for any inconvenience, disturbance, loss of business, nuisance, or other damage arising out of Landlord's entry on the Premises as provided in this section, except damage resulting from the acts or omissions of Landlord or its authorized representatives. Tenant shall not be entitled to an abatement or reduction of rent if Landlord exercises any rights reserved in this section. Landlord shall conduct its activities on the Premises as allowed in this section in a manner that will cause the least possible inconvenience, annoyance, or disturbance to Tenant. 21. Notices. Any notice, demand, request, consent, approval or communication that either party desires or is required to give to the other party shall be in writing and shall be deemed given as of the time of hand delivery to the addresses set forth below, or three days after deposit into the United States mail, postage prepaid, by registered or certified mail, return receipt requested. Unless notice of a different address has been given in accordance with this Section, all such notices shall be addressed as follows: If to Landlord, to: Palm Desert Redevelopment Agency 73-510 Fred Waring Drive Palm Desert, California 92260 Attn.: Executive Director Tel.: (760) 346-0611 Fax: (760) 341-6372 With a copy to: Richards, Watson & Gershon 333 South Hope Street, 38th Floor Los Angeles, California 90071 Attn.: Jeffrey A. Rabin and William L. Strausz Tel.: (213) 626-8484 Fax: (213) 626-0078 If to Tenant, to: Shelter from the Storm P.O. Box 14155 Palm Desert, California 92255-4155 Attn.: Executive Director Tel.: (760) 328-7233 Fax: (760) 77U - 7 c-7, v L -16- C:\WINDOWS\TEMP\F962.1A-1.WPD rev.10/4/99 With a copy to: ax: 22. Attorneys' Fees. (a) If either party becomes a party to any litigation concerning this Lease or the Premises,by reason of any act or omission of the other party or its authorized representatives, and not by any act or omission of the party that becomes a party to that litigation or any act or omission of its authorized representatives, the party that causes the other party to become involved in the litigation shall be liable to that party for actual attorney's fees and court costs incurred by it in the litigation. (b) If either party commences an action against the other party arising out of or in connection with this Lease, the prevailing party shall be entitled to have and recover from the losing party reasonable attorneys' fees and costs of suit. 23. Estoppel Certificates. In the event of a proposed sale or refinancing the Premises or any part thereof, or any interest herein, at any time and from time to time, within twenty(20) days after notice of request by either party, the other party shall execute, acknowledge, and deliver to the requesting party, or to such other recipient as the notice shall direct, a statement certifying that this Lease is unmodified and in full force and effect; or, if there have been modifications, that it is in full force and effect as modified in the manner specified in the statement and acknowledging that there are no uncured defaults or failures to perform any covenant or provision of this Lease on the part of the requesting party or specifying any such defaults or failures which are claimed to exist. The statement shall also state the dates to which the rent and any other charges have been paid in advance. The statement shall be such that it can be relied on by any auditor, creditor, commercial banker, and investment banker of either party and by any prospective purchaser or the Lender of the Premises or all or any part or parts of Tenant's or Landlord's interests under this Lease. 24. Surrender of Premises. At the expiration or earlier termination of the Term, Tenant shall surrender to Landlord the possession of the Premises. Surrender or removal of improvements, fixtures and trade fixtures shall be as directed in the provisions of this Lease on ownership of improvements, fixtures and trade fixtures at expiration or termination. Except as provided in Section 15 hereof to the contrary, Tenant shall leave the surrendered property and any other property in good and broom clean condition. All property that Tenant is not required to surrender but that Tenant does abandon shall, at Landlord's election, become Landlord's property at expiration or the sooner termination of this Lease. 25. No Discrimination. (a) Tenant shall not discriminate upon the basis of race, color, creed, religion, sex, marital status, age, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Premises, or any part thereof, nor shall Tenant or any person claiming under or through Tenant establish or permit any such practice or practices of discrimination or segregation with respect to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees of the Premises. The foregoing covenant shall run with the land. Tenant shall insert into and make a part of any lease, rental agreement, occupancy permit, use or sales agreement or any other document pertaining to the Premises a provision that there shall be no restrictions imposed thereon because of race, color, creed, religion, sex, marital status, age, national origin or ancestry. -1 7- C:\WINDOWS\TEMP\F962JA—I.WPD rev.10/4/99 (b) Tenant agrees, for itself, its successors and assigns, to refrain from restricting the rental, sale or lease of the Premises on the basis of race, color, creed, religion, ancestry, sex, marital "or' status, national origin or age of any person. All deeds, leases or contracts entered into with respect to the Premises shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: (i) In deeds: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, national origin, sex, marital status, age or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land herein conveyed, nor shall the grantee himself or herself, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees in the land herein conveyed. The foregoing covenants shall run with the land." (ii) In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: That there be no discrimination against or segregation of any person or group of persons, on account of age, race, color, creed, religion, sex, marital status, national origin, or ancestry, in the leasing, subleasing, transferring, use or occupancy, tenure or enjoyment of the land herein leased nor shall the ' lessee himself or herself, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, sublessees, subtenants or vendees in the land herein leased." (iii) In contracts: "There shall be no discrimination against or segregation of, any person, or group of persons on account of race, color, creed, religion, age, national origin, sex, marital status or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land, nor shall the transferee himself or herself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees of the land." 26. Miscellaneous. (a) Governing Law. This Lease shall be construed and interpreted in accordance with the laws of the State of California. (b) Quiet Enjoyment. Upon Tenant's paying the rent and other sums provided hereunder, and observing and performing all of the covenants, conditions, and provisions on Tenant's part to be observed and performed hereunder, Tenant shall have quiet possession of the Premises for the entire term hereof, subject to all of the provisions of this Lease. -1 8- C:\WINDOWS\TEMP\F962JA-1.WPD rev.10/4/99 (c) Transfer of Landlord's Interest. In the event of any transfer or transfers of Landlord's interest in the Premises, the transferor shall be automatically relieved of any and all obligations and liabilities on the part of Landlord accruing from and after the date of such transfer. (d) Waiver. The waiver by Landlord or Tenant of any breach by the other party of any term, covenant, or condition herein contained shall not be deemed to be a waiver of such term, covenant, or condition or any subsequent breach of the same or any other term, covenant, or condition herein contained. The subsequent acceptance of rent hereunder by Landlord shall not be deemed to be a waiver of any preceding breach by Tenant of any term, covenant, or condition of this Lease, other than the failure to pay the particular rents so accepted, regardless of Landlord's knowledge of such preceding breach at the time of acceptance of such rent. Any payment given Landlord by Tenant may be accepted by Landlord on account of moneys or damages due Landlord, notwithstanding any qualifying statements or conditions made by Tenant in connection therewith, which such statements and/or conditions shall be of no force or effect whatsoever unless specifically agreed to in writing by Landlord at or before the time of deposit of such payment. Landlord's consent to or approval of, any such act shall not be deemed to render unnecessary the obtaining of Landlord's consent to, or approval of, any subsequent or similar act by Tenant, or be construed as the basis of an estoppel to enforce the provision or provisions of this Lease requiring such consent. (e) Brokers. Each party warrants to and for the benefit of the other that it has had no dealings with any real estate broker or other agent (attorneys excepted) in connection with the negotiation or making of this Lease. (f) Headings. The captions of the various sections of this Lease are for convenience and ease of reference only and do not define, limit, augment, or describe the scope, content, or intent of this Lease or of any part or parts of this Lease. (g) Rent Defined. All monetary obligations of Tenant to Landlord under the terms of this Lease, including, without limitation, the Advance Rent and Annual Rent, reimbursement for real property taxes, insurance and maintenance expenses incurred by Landlord, are deemed to be Rent. (h) Force Majeure; Extension of Times of Performance. In addition to specific provisions of this Agreement,performance by the parties hereunder shall not be deemed to be in default and all performance and dates shall be extended where delays or defaults are due to strikes, lock-outs, riots, floods, earthquakes, fires, casualties, freight embargoes, lack of transportation, governmental restrictions, litigation beyond the control or without the fault the party seeking relief, unusually severe weather, acts or omissions of the other party, acts or the failure to act of the City or any other public or governmental agency or entity(except that acts or the failure to act of Landlord shall not excuse performance by Landlord), or any other causes without the fault of the party claiming an extension of time to perform. Notwithstanding anything to the contrary in this Agreement, an extension of time for any such cause shall be for the period of the enforced delay and shall commence to run from the time of the commencement of the cause, if the notice by the party claiming such an extension is sent to the other party within thirty(30) days of the commencement of the cause. Times of performance under this Agreement may also be extended in writing by the written mutual agreement of Landlord and Tenant. Tenant is not entitled pursuant to this Section 26(h) to an extension of time to perform because of past, present or future difficulty in obtaining suitable temporary or permanent financing for the development of the Premises. (i) Gender; Number. The neuter gender includes the feminine and masculine, the masculine includes the feminine and neuter, and the feminine includes the neuter, and each includes corporation, partnership, or other legal entity whenever the context so requires. The singular number includes the plural whenever the context so requires. -19- C:\WINDOWS\TEMP\F962JA—I.WPD rev.10/4/99 (j) No Joint Venture. Nothing contained herein shall be construed to render Landlord in any way or for any purpose a partner,joint venturer, or associated in any relationship with Tenant other than that of Landlord and Tenant, nor shall this Lease be construed to authorized to act as agent for the other. (k) Exhibits. All exhibits to which reference is made in this Lease are hereby incorporated by reference. Any reference to "this Lease" includes matters incorporated by reference. (1) No Right To Holdover. Tenant has no right to retain possession of the Premises or any part thereof beyond the expiration or earlier termination of this Lease. Any holding over approved by Landlord or evidenced by the acceptance of rent or other consideration shall be deemed to be on a month to month basis. In the event that Tenant holds over in violation of this Section then Tenant shall pay Rent monthly, in advance, equal to the fair market rent of the Premises. Nothing contained herein shall be construed as a consent by Landlord to any holding over by Tenant. No acceptance of rent or any other sum by Landlord shall be construed to create a term longer than month to month. (m) Entire Agreement; Modification. This Lease contains the entire agreement between the parties with respect to the subject matter hereof. No verbal agreement or implied covenant shall be held to vary the provisions hereof, any statements, law or custom to the contrary notwithstanding. No promise, representation, warranty, or covenant not included in this Lease has been or is relied on by either party. Each party has relied on its own inspection of the Premises and examination of this Lease, the counsel of its own advisors, and the warranties, representations, and covenants in this Lease itself. The failure or refusal of either party to inspect the Premises, to read this Lease or other documents, or to obtain legal or other advice relevant to this transaction constitutes a waiver of any objection, contention, or claim that might have been based on such reading, inspection, or advice. No provision of this Lease may be amended or varied except by an agreement in writing signed by the parties hereto and the Lender under the Loan or their respective successors. (n) Joint and Several Obligations. "Party" shall mean Landlord or Tenant; and if more than one person is Landlord or Tenant, the obligations imposed on that party shall be joint and several. (o) Interest on Past-Due Obligations. Any monetary payment due Landlord hereunder, other than late charges, not received by Landlord within ten (10) days following the date on which it was due, shall bear interest from the date due at the Prime Rate published in the Wall Street Journal,plus four percent (4%)per annum, but not exceeding the maximum rate allowed by the usury law of the State of California, in addition to the potential late charge provided for in Section 5(d). (p) Severability. The invalidity or illegality of any Provision shall not affect the remainder of this Lease and all remaining Provisions shall, notwithstanding any such invalidity or illegality, continue in full force and effect. (q) Time of Essence. Time is of the essence with respect to the performance of all obligations to be performed or observed by the parties under this Lease. (r) Consents to Tenant. Neither Landlord's execution of this Lease nor any consent or approval given by Landlord hereunder in its capacity as Landlord shall waiver, abridge, impair or otherwise affect Landlord's powers and duties as a governmental body. Any requirements under this Lease that Landlord obtain consents or approvals of Landlord are in addition to and not in lieu of any requirements of law that Landlord obtain approvals or permits. -20- C:\WINDOWS\TEMP\F962JA-I.WPD rev.10/4/99 (s) Records. Landlord or any representative or designee thereof may examine the books and records of Tenant, or any officer, employee, agent, contractor, affiliate, related person, assignee or franchise, as such books and records relate to, directly or indirectly, the manufacture, production, assembly, development, acquisition or disposition of real or personal property by Tenant. (t) Execution in Counterparts. This Lease may be executed in two or more counterparts, each of which shall be an original, but all of which shall constitute one and the same instrument. IN WITNESS WHEREOF, the undersigned have executed this Ground Lease at Palm Desert, California, as of the date first written above. Tenant: Landlord: SHELTER FROM THE STORM, a PALM DESERT REDEVELOPMENT California non-profit corporation AGENCY, a public body, corporate and politic By: President By: Chairperson By: Secretary Attest: Now Secretary -21- C:\WINDOWS\TEMP\F962JA-1.WPD rev.10/4/99 Exhibit 1 �•- Legal Description THE LAND SITUATED IN THE STATE OF CALIFORNIA, COUNTY OF RIVERSIDE, CITY OF PALM DESERT AND IS DESCRIBED AS FOLLOWS: slaw —1— C:\WINDOWS\TEMP\F962JA-1.WPD rev.10/4/99 • ms r`'ti : 9an, ig� AeatiedlimizeRi Afe-A€0-' 73-510 FRED WARING DRIVE, PALM DESERT, CAUFORNIA 92260-2578 TELEPHONE(760)346-0611 FAX(760) 341.6372 FACSIMILE TRANSMITTAL COVER 'SHEET DELIVER TO: Chairperson Carrie McLeod AGENCY/FIRM: Housing Commission DEPARTMENT: DATE: i 0 l FAX NUMBER: 3 46-7 9 5 7 PHONE: 3 41-7017 VERIFY: `) pages INCLUDING this cover sheet. If this transmission is incomplete, immediately call the person designated below: • FROM: Teresa La Rocca PHONE: 776-6349 X Deliver to recipient immediately. In accordance with your request. Hard copy to follow. COMMENTS: Attached is the draft Housing CommiW oin� Agenda for your review and approval . Please res o d by %D / as packets will be mailed out on /Q�(Qicis . Thank you . 310.6, ortAd chap cuitevilla, uiCie e4-71A P1rM