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HomeMy WebLinkAboutPost-Meeting Agenda Package - Combined with supplementals - Regular Meeting_Oct12_2023 PALM DESERT CITY COUNCIL REGULAR MEETING POST-MEETING AGENDA Thursday, October 12, 2023 3:30 p.m. Council Chamber, City Hall 73-510 Fred Waring Drive Palm Desert, California This is a joint meeting of the Palm Desert City Council, Successor Agency to the Palm Desert Redevelopment Agency, and the Palm Desert Housing Authority. Pursuant to Assembly Bill 2449, this meeting may be conducted as a hybrid meeting allowing public access via teleconference or in person, and up to two Councilmembers may attend remotely. WATCH THE MEETING LIVE: Watch the City Council meeting live at the City’s website: www.palmdesert.gov under the “Council Agenda” link at the top of the homepage, or on the City’s YouTube Channel. OPTIONS FOR PARTICIPATING IN THIS MEETING: If unable to attend the meeting in person, you may choose from the following options: OPTION 1: VIA EMAIL Send your comments by email to: CouncilMeetingComments@palmdesert.gov. Emails received prior to 10:00 a.m. on the day of the City Council meeting will be made part of the record and distributed to the City Council. Emails will not be read aloud at the meeting. OPTION 2: LIVE VIA ZOOM Access via palmdesert.gov/zoom or zoom.us, click “Join Meeting” and enter Webinar ID 833 6744 9572. 1. OPTION 3: LIVE VIA TELEPHONE (213) 338-8477 and enter Meeting ID 833 6744 9572 followed by #.1. Indicate that you are a participant by pressing # to continue.2. During the meeting, press *9 to add yourself to the queue and wait for the Mayor or City Clerk to announce your name/phone number. Press *6 to unmute your line and limit your comments to three minutes. 3. Pages 1.CALL TO ORDER - CLOSED SESSION - 3:30 P.M. 2.PUBLIC COMMENT FOR CLOSED SESSION ITEMS ONLY This time has been set aside for members of the public to address the City Council on items contained only on the Closed Session Agenda within the three- minute time limit. Speakers may utilize one of the three options listed on the first page of this agenda. 3.RECESS TO CLOSED SESSION 4.CLOSED SESSION AGENDA 4.a Closed Session Meeting Minutes: September 28, 2023 4.b Conference with Real Property Negotiations pursuant to Government Code Section 54956.8 4.b.1 PROPERTY DESCRIPTION: 45653 PORTOLA AVENUE, APN 627- 351-010 Agency: City of Palm Desert City Negotiator: Todd Hileman/Chris Escobedo/Eric Ceja Negotiating Parties: N/A Under Negotiation: Price and Terms 5.ROLL CALL - REGULAR MEETING - 4:00 P.M. 6.PLEDGE OF ALLEGIANCE Councilmember Nestande 7.INSPIRATION Councilmember Harnik 8.REPORT OF CLOSED SESSION City Attorney Hargreaves 9.AWARDS, PRESENTATIONS, AND APPOINTMENTS 9.a PROCLAMATION - COMMUNITY PLANNING MONTH 11 9.b PRESENTATION - MCCALLUM THEATRE 13 10.CITY MANAGER COMMENTS 11.MAYOR/COUNCILMEMBER REPORTS AND REQUESTS FOR ACTION 12.NONAGENDA PUBLIC COMMENTS This time has been set aside for the public to address the City Council on issues that are not on the agenda for up to three minutes. Speakers may utilize one of the three options listed on the first page of the agenda. Because the Brown Act does not allow the City Council to act on items not listed on the agenda, members may briefly respond or refer the matter to staff for a report and recommendation at a future meeting. City Council Meeting Page 2 of 570 13.CONSENT CALENDAR All matters listed on the Consent Calendar are considered routine and may be approved by one motion. The public may comment on any items on the Consent Agenda within the three-minute time limit. Individual items may be removed by the City Council for a separate discussion. RECOMMENDATION: To approve the consent calendar as presented. 13.a APPROVAL OF CITY COUNCIL, SUCCESSOR AGENCY, AND HOUSING AUTHORITY MINUTES 29 RECOMMENDATION: Approve the Minutes of September 28, 2023. 13.b APPROVAL OF WARRANTS 39 RECOMMENDATION: Approve the warrants issued for the period 8/28/2023 to 9/28/2023. 13.c ACCEPT RESIGNATION FROM THE EL PASEO PARKING AND BUSINESS IMPROVEMENT DISTRICT BOARD OF DIRECTORS 63 RECOMMENDATION: With regret, accept the resignation of Sonia Campbell from the El Paseo Parking and Business Improvement District (EPPBID) Board of Directors. 13.d ACCEPT RESIGNATION FROM THE JOSLYN COVE SENIOR CENTER BOARD 65 RECOMMENDATION: With regret, accept the resignation of Peg Leo from The Joslyn Cove Senior Center Board effective immediately. 13.e AUTHORIZE RELEASE OF REQUEST FOR PROPOSALS FOR THE SALE OF CITY-OWNED PROPERTY WITH ASSESSORS PARCEL NUMBERS 625-082-022 AND 625-082-023 SUBJECT TO RECEIPT OF A SURPLUS LAND COMPLIANCE LETTER FROM THE DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT 67 RECOMMENDATION: Authorize the release of a Request for Proposals (RFP) for the sale of city- owned parcels with APN(s) 625-082-022 and 625-082-023, subject to receipt of a Surplus Land Act (SLA) compliance letter from the Department of Housing and Community Development (HCD). City Council Meeting Page 3 of 570 13.f APPROVE CHANGE ORDER NO. 1 TO CONTRACT HA45140 WITH JACOBSSON ENGINEERING CONSTRUCTION, INC., FOR THE FURNISHING AND INSTALLATION OF 10 CARPORTS AT ONE QUAIL PLACE IN THE AMOUNT OF $601,000 (PROJECT CHA00003) 71 RECOMMENDATION: Approve Change Order No. 1 to Contract HA45140 with Jacobsson Engineering Construction, Inc., for the furnishing and installation of 10 carports at One Quail Place in the amount of $601,000. 1. Authorize additional 10% contingency in the amount of $60,100 for unforeseen conditions. 2. Appropriate $661,100 to Account Number No. 8714195-4331100 from the Housing Authority’s Committed Reserve Funds. 3. Authorize the Executive Director or his designee to take any necessary actions to facilitate the agreement, to execute the Change Order and any documents necessary to effectuate the actions taken herewith. 4. 13.g AUTHORIZE AN INCREASE TO THE NOT TO EXCEED AMOUNT FOR HD SUPPLY FACILITIES MAINTENANCE, LTD., IN THE AMOUNT OF $10,000 FOR FISCAL YEAR 2022/23 77 RECOMMENDATION: Authorize an increase of $10,000 to the not to exceed amount of HD Supply Facilities Maintenance in Fiscal Year 2022/23 for an aggregate amount of $220,000. 13.h HOUSING AUTHORITY - AUTHORIZE THE USE OF QUILL, LLC, AND NATIONAL SERVICES COMPANY DBA WAXIE SANITARY SUPPLY FOR THE PURCHASE OF OFFICE, JANITORIAL, AND SANITARY SUPPLIES FOR THE PALM DESERT HOUSING AUTHORITY FOR FISCAL YEAR 2023/24 79 RECOMMENDATION: Authorize the use of, and establish an account with, Quill, LLC, for the purchase of office supplies for the management of the Housing Authority properties pursuant to Section 3.30.160 (E) of the Palm Desert Municipal Code in an amount not to exceed $53,700 for Fiscal Year 2023/24. 1. Authorize the use of, and establish an account with, National Services Company dba Waxie Sanitary Supply for the purchase of janitorial and sanitary supplies for the Housing Authority properties pursuant to Section 3.30.160 (E) of the Palm Desert Municipal Code in an amount not to exceed $32,340 for Fiscal Year 2023/24. 2. City Council Meeting Page 4 of 570 13.i RATIFY A LETTER OF SUPPORT FOR COACHELLA VALLEY ASSOCIATION OF GOVERNMENTS’ RECONNECTING COMMUNITIES PROGRAM FUNDING REQUEST FOR THE ACCESS INDIAN CANYON DRIVE PROJECT 85 RECOMMENDATION: Ratify a letter of support for the Coachella Valley Association of Governments’ (CVAG) Reconnecting Communities Program funding request for the ACCESS Indian Canyon Drive Project. 13.j RECEIVE AND FILE THE INVESTMENT REPORT, GENERAL FUND, PARKVIEW OFFICE COMPLEX, AND DESERT WILLOW GOLF RESORT FINANCIAL REPORTS FOR YEAR ENDING JUNE 30, 2023, AND MONTH ENDING AUGUST 30, 2023 91 RECOMMENDATION: Receive and file the monthly Investment Report, General Fund, Parkview Office Complex, and Desert Willow Golf Resort Financial Reports for the year ending June 30, 2023, and month ending August 30, 2023. 13.k TROPICAL STORM HILARY RECOVERY UPDATE 233 RECOMMENDATION: Receive and file update on the August 2023 Weather Event Storm Recovery and Redevelopment. 14.ACTION CALENDAR The public may comment on individual Action Items within the three-minute time limit. Speakers may utilize one of the three options listed on the first page of the agenda. City Council Meeting Page 5 of 570 14.a AWARD OF CONTRACT NO. HA46390 FOR AFFORDABLE HOUSING COMPLIANCE AND PROPERTY MANAGEMENT SERVICES TO FALKENBERG/GILLIAM AND ASSOCIATES, INC., FOR A FIVE-YEAR TERM, WITH AN INITIAL ANNUAL COST FOR CALENDAR YEAR 2024 IN AN AMOUNT NOT TO EXCEED $655,032 (HA) 235 RECOMMENDATION: Approve the award of Contract No. HA46390 for Affordable Housing Compliance and Property Management Services for the Authority-owned Properties to Falkenberg/Gilliam and Associates, Inc., for a five (5) year term, with an initial cost for calendar year 2024 in an amount not to exceed $655,032 with prescribed allowable increases for subsequent years as noted in the contract. 1. Authorize staff to finalize a contract (also referred to as the “Agreement”) with Falkenberg Gilliam & Associates, Inc., consistent with the terms of the RFP with non-substantive modifications concurred upon by the Executive Director and legal counsel. 2. Authorize an appropriation in the amount of $13,368 from the Housing Authority’s Unobligated Fund Balance to the appropriate professional service accounts. 3. Authorize the Chairperson to execute the Agreement and the Executive Director to execute any documents necessary to facilitate the contract award and implementation. 4. 14.b INTRODUCTION OF ORDINANCE NO. 1401 AMENDING CHAPTER 5.04 OF THE PALM DESERT MUNICIPAL CODE REGARDING BUSINESS LICENSING AND TAXING PROCEDURES, AND MAKING A FINDING OF EXEMPTION UNDER CEQA 359 RECOMMENDATION: Introduce Ordinance No. 1401 entitled, “AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, UPDATING CHAPTER 5.04 REGARDING BUSINESS LICENSING AND TAXING AND MAKING FINDINGS UNDER CEQA.” City Council Meeting Page 6 of 570 14.c AWARD CONTRACT NO. C45460 TO YUNEX, LLC, FOR THE TRAFFIC SIGNAL MODIFICATIONS AND HARDWARE UPGRADES IN THE AMOUNT OF $244,995 (PROJECT N0.MTS00001) 377 RECOMMENDATION: Award Contract No. C45460 to Yunex, LLC, of Riverside, California, for the Traffic Signal Modifications and Hardware Upgrades in the amount of $244,995. 1. Authorize the Director of Finance to set aside a contingency in the amount of $50,000 for unforeseen conditions. 2. Authorize the City Manager to review and approve written requests for the use of contingency per Section 3.30.170 of the Palm Desert Municipal Code. 3. Authorize the City Manager to execute the agreement.4. Authorize the City Manager to execute the Notice of Completion (NOC) and the Secretary to file the NOC upon satisfactory completion of the Project. 5. 14.d AWARD CONTRACT NO. C46400 TO SPORTS FACILITIES MANAGEMENT, INC., FOR THE MANAGEMENT AND OPERATION OF THE PALM DESERT AQUATIC CENTER 411 RECOMMENDATION: At the request of City staff, this matter will be continued to the City Council meeting of October 26, 2023. Furthermore, Mayor Kelly has appointed a Council Subcommittee to consider all the factors relevant to Item 14d on this week's agenda and collaborate with staff on a supplemental report. The Mayor has appointed Councilmember Evan Trubee as liaison to the Parks & Recreation Committee and Councilmember Jan Harnik, as the sole current Councilmember who was serving when the Aquatic Center opened. 15.PUBLIC HEARINGS The public may comment on individual Public Hearing Items within the three- minute time limit. The applicant or appellant will be provided up to five minutes to make their presentation. Speakers may utilize one of the three options listed on the first page of this agenda. City Council Meeting Page 7 of 570 15.a RESOLUTION NO. 2023-047 WITHDRAWING FROM THE RIVERSIDE COUNTY LIBRARY SYSTEM, ASSUMING THE PROVISION OF LIBRARY SERVICES IN PALM DESERT, AND INDICATING ITS INTENT TO ESTABLISH AN INDEPENDENT MUNICIPAL LIBRARY - BUDGET APPROPRIATION AND TRANSFER 559 RECOMMENDATION: Adopt Resolution No. 2023-047 entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, WITHDRAWING FROM THE RIVERSIDE COUNTY LIBRARY SYSTEM, ASSUMING THE PROVISION OF LIBRARY SERVICES IN THE CITY OF PALM DESERT, AND INDICATING ITS INTENT TO ESTABLISH AN INDEPENDENT MUNICIPAL LIBRARY.” 1. Appropriate a total of $1,321,527 to Library Account Fund (252) in the respective accounts listed below. 2. Authorize transfer of $1,321,527 from unobligated General Fund Reserves to Library Services Account Number 2520000-391000. 3. 16.INFORMATION ITEMS 17.ADJOURNMENT City Council Meeting Page 8 of 570 18.PUBLIC NOTICES Agenda Related Materials: Pursuant to Government Code §54957.5(b)(2) the designated office for inspection of records in connection with this meeting is the Office of the City Clerk, Palm Desert Civic Center, 73-510 Fred Waring Drive, Palm Desert. Staff reports for all agenda items considered in open session, and documents provided to a majority of the legislative bodies are available for public inspection at City Hall and on the City’s website at www.palmdesert.gov by clicking “Council Agenda” at the top of the page. Americans with Disabilities Act: It is the intention of the City of Palm Desert to comply with the Americans with Disabilities Act (ADA) in all respects. If, as an attendee or a participant at this meeting, or in meetings on a regular basis, you will need special assistance beyond what is normally provided, the city will attempt to accommodate you in every reasonable manner. Please contact the Office of the City Clerk, (760) 346-0611, at least 48 hours prior to the meeting to inform us of your needs and to determine if accommodation is feasible. AFFIDAVIT OF POSTING I, Níamh M. Ortega, Assistant City Clerk of the City of Palm Desert, do hereby certify, under penalty of perjury under the laws of the State of California, that the foregoing agenda for the Palm Desert City Council, Successor Agency for the Palm Desert Redevelopment Agency, and Housing Authority, was posted on the City Hall bulletin board and City website www.palmdesert.gov no less than 72 hours prior to the meeting. /S/ Níamh M. Ortega Assistant City Clerk City Council Meeting Page 9 of 570 Page 10 of 570 Page 11 of 570 Page 12 of 570 Presentation to The Palm Desert City Council October 12, 2023 Page 13 of 570 •According to The Americans for the Arts, overall economic impact of the McCallum Theatre for the City of Palm Desert is just under $20 million annually. •According to data compiled for the California Department of Tourism: •35% of McCallum Ticket Revenue comes from patrons beyond a 50 mile radius from Palm Desert (i.e. visitors/tourists). Page 14 of 570 The partnership between The City of Palm Desert and McCallum Theatre is featured prominently in a variety of collateral materials, most notably in connection with The Palm Desert Choreography Festival, Open Call Talent Project and other McCallum Theatre Education programs Page 15 of 570 McCallum Theatre 2022- 2023 Season Brochure Page 16 of 570 Page 17 of 570 Page 18 of 570 Page 19 of 570 Page 20 of 570 Page 21 of 570 Page 22 of 570 Instagramable Moment Mural Dedication February 28, 2023 Artist: Autumn Martino Page 23 of 570 Page 24 of 570 McCallum Theatre participated in the Hunger Action Month campaign in September with Gobos on the side of the Theatre Page 25 of 570 McCallum Theatre and The City of Palm Desert present U.S. Army Jazz Ambassadors FREE concert Saturday, November 4 at 7pm Page 26 of 570 THANK YOU! Page 27 of 570 Page 28 of 570 Palm Desert City Council, Successor Agency to the Palm Desert Redevelopment Agency, and Housing Authority Regular Meeting Minutes September 28, 2023, 3:30 p.m. Present: Councilmember Jan Harnik, Councilmember Gina Nestande, Mayor Pro Tem Karina Quintanilla, Councilmember Evan Trubee, and Mayor Kathleen Kelly 1. CALL TO ORDER - CLOSED SESSION - 3:30 P.M. A Regular Meeting of the Palm Desert City Council was called to order by Mayor Kelly on Thursday, September 28, 2023, at 3:30 p.m. in the Council Chamber, City Hall, located at 73-510 Fred Waring Drive, Palm Desert, California. 2. PUBLIC COMMENT FOR CLOSED SESSION ITEMS ONLY None. 3. RECESS TO CLOSED SESSION Mayor Kelly adjourned to Closed Session at 3:31 p.m. 4. CLOSED SESSION AGENDA The following items were considered in closed session: 4.a Closed Session Meeting Minutes: September 14, 2023 4.b Conference with Real Property Negotiations pursuant to Government Code Section 54956.8 4.b.1 Property Description: APN Nos. 694-410-003; 694-160-005 through 008, 694-160-011; 694-120-025; and 685-010-005 Agency: City of Palm Desert City Negotiator: Todd Hileman, Chris Escobedo, Eric Ceja Negotiating Parties: TR Funding II LLC; SG & H Cook Street, LLC; Palm Desert University Gateway; First St. Financial Center Lomitas Under Negotiation: Price and Terms 5. ROLL CALL - REGULAR MEETING - 4:00 P.M. Mayor Kelly reconvened the City Council meeting at 4:00 p.m. 6. PLEDGE OF ALLEGIANCE Councilmember Trubee led the Pledge of Allegiance. 7. INSPIRATION Mayor Kelly provided words of inspiration. Page 29 of 570 Palm Desert City Council Meeting Minutes September 28, 2023 2 8. REPORT OF CLOSED SESSION Assistant City Attorney Shah stated that direction was given by the City Council; no reportable actions were taken. 9. AWARDS, PRESENTATIONS, AND APPOINTMENTS Mayor Kelly presented a proclamation to the participants of the Mini-Muster program from Fire Station No. 33 in celebration of its 31st year of bringing fire safety awareness to Palm Desert elementary school students. She also thanked the Historical Society of Palm Desert for their collaboration with the Fire Department. 10. CITY MANAGER COMMENTS Kevin Kalman, Desert Recreation District, narrated a PowerPoint presentation regarding the upcoming rehabilitation project at the Palm Desert Community Center. 11 . MAYOR/COUNCILMEMBER REPORTS AND REQUESTS FOR ACTION Councilmembers reported on their attendance at various meetings and events. It was further reported that Mayor Pro Tem Quintanilla and Councilmembers Trubee and Harnik attended the League of California Cities Annual Conference in Sacramento. Mayor Pro Tem Quintanilla encouraged the City Council to consider supporting various legislative efforts related to drug safety and prevention policies; noted the Cultural Resource Preservation Committee will bring forward a recommendation to cre ate a historic district. Councilmember Harnik reported on Southern California Association of Governments' efforts relative to the Regional Housing Needs Assessment (RHNA). 12. NON-AGENDA PUBLIC COMMENTS Barbara Wasserkrug, Palm Desert resident, expressed concerns regarding license plate reader data sharing. David Tsikman, Palm Desert resident, shared information regarding recent and upcoming events in the local Jewish Community. Nancy Gutierrez, Palm Desert resident, requested the City Council adopt a ban on any future mask and vaccine mandates. Steve, Desert Hot Springs resident, expressed concerns about central government planning and displayed a poster against the United Nations Agenda 21. 13. CONSENT CALENDAR Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla To approve the consent calendar as presented. Motion Carried (5 to 0) Page 30 of 570 Palm Desert City Council Meeting Minutes September 28, 2023 3 13.a APPROVAL OF CITY COUNCIL, SUCCESSOR AGENCY, AND HOUSING AUTHORITY MINUTES Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla Approve the Minutes of September 14, 2023. Motion Carried 13.b APPROVAL OF WARRANTS Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla Approve the warrants issued for the period 7/25/2023 to 9/14/2023. Motion Carried 13.c APPROVAL OF THE 2023 PALM DESERT GOLF CART PARADE Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla 1. Permit the sale, possession, and consumption of alcoholic beverages on Public Property pursuant to Palm Desert Municipal Code 9.58.040. 2. Waive Palm Desert Municipal Code Section 11.01.140 – Amplified Sound, during the event. 3. Approve a budget transfer of $25,000 from the Police Services Account No. 1104210-4304000 to Account No. 1104210-4304200 (Police Contingency). 4. Authorize the City Manager to execute any documents that may be necessary to facilitate the event. Motion Carried 13.d RESOLUTION NO. 2023-046 AUTHORIZING THE ACCEPTANCE OF ELECTRONICALLY FILED GOVERNMENT CLAIMS Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla Adopt Resolution No. 2023-046 entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, AUTHORIZING ACCEPTANCE OF ELECTRONICALLY FILED GOVERNMENT CLAIMS.” Motion Carried Page 31 of 570 Palm Desert City Council Meeting Minutes September 28, 2023 4 13.e AUTHORIZE OUT-OF-STATE TRAVEL FOR THE CITY MANAGER TO ATTEND THE INTERNATIONAL CITY/COUNTY MANAGEMENT ASSOCIATION ANNUAL CONFERENCE ON SEPTEMBER 30 THROUGH OCTOBER 4, 2023, IN AUSTIN, TEXAS Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla Authorize out-of-state travel for the City Manager to attend the International City/County Management Association Annual Conference on September 30 through October 4, 2023, in Austin, Texas. Motion Carried 13.g SUCCESSOR AGENCY - APPROVE A PURCHASE AND SALE AGREEMENT NO. C46320A-Z BETWEEN THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY AND THE CITY OF PALM DESERT FOR ASSESSOR’S PARCEL NUMBER 620-400-025 Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla 1. Approve a Purchase and Sale Agreement (PSA) No. C46320A -Z between the Successor Agency to the Palm Desert Redevelopment Agency (SARDA) and the City of Palm Desert for Assessor’s Parcel Number (APN) 620-400-025. 2. Authorize the Executive Director and the SARDA Attorney to make non - monetary changes to the PSA. 3. Authorize the Executive Director to execute the PSA and all related documents for the sale. Motion Carried 13.h SUCCESSOR AGENCY - ADOPT RESOLUTION NO. SA-RDA 101 DECLARING ASSESSOR’S PARCEL NO. 620-400-025 “EXEMPT SURPLUS” FOR THE PURPOSES OF THE SURPLUS LAND ACT Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla Adopt Resolution No. SA-RDA 101 entitled, “A RESOLUTION OF THE BOARD OF DIRECTORS OF THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY, DECLARING PURSUANT TO GOVERNMENT CODE SECTIONS 54221(b) AND 54221 (f)(1)(D) THAT CERTAIN REAL PROPERTY OWNED BY THE SUCCESSOR AGENCY AND IDENTIFIED AS ASSESSOR’S PARCEL NUMBER 620-400-025 IS EXEMPT SURPLUS; AND TAKING RELATED ACTIONS.” Motion Carried Page 32 of 570 Palm Desert City Council Meeting Minutes September 28, 2023 5 13.i ACCEPTANCE OF THE CITY’S CITIZENS OPTION FOR PUBLIC SAFETY/SUPPLEMENTAL LAW ENFORCEMENT SERVICES FUND (COPS/SLESF) EXPENDITURE PLAN AND FUNDING FOR FISCAL YEAR 2023/24 Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla Accept the City’s Citizens Option for Public Safety/Supplemental Law Enforcement Services Fund (COPS/SLESF) expenditure plan and fundi ng for Fiscal Year 2023/24. Motion Carried 13.j APPROVE A PURCHASE AND SALE AGREEMENT NO. C46320A-Z BETWEEN THE CITY AND THE SUCCESSOR AGENCY AND A COMPENSATION AGREEMENT BETWEEN THE CITY AND THE RIVERSIDE COUNTY DESIGNATED TAXING ENTITIES FOR ASSESSOR'S PARCEL NUMBER 620-400-025 Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla 1. Approve a Purchase and Sale Agreement (PSA) No. C46320A -Z between the City of Palm Desert and the Successor Agency to the Palm Desert Redevelopment Agency (SARDA) for Assessor’s Parcel Number (APN) 620-400-025. 2. Authorize the City Manager and City Attorney to make non -monetary changes to the PSA. 3. Authorize the City Manager to execute any and all documents associated with the PSA. 4. Approve Compensation Agreements between the City of Palm Desert and the Riverside County designated taxing entities for APN 620-400-025. 5. Authorize the City Manager and City Attorney to make non -monetary changes to the Compensation Agreements. 6. Authorize the City Manager to execute any and all documents associated with the Compensation Agreements. 7. Appropriate $4,600,000 from unobligated Desert Willow Capital Fund Balance Account No. 4414195-4809200 for the purchase of APN 620-400- 025. Motion Carried Page 33 of 570 Palm Desert City Council Meeting Minutes September 28, 2023 6 13.k SUCCESSOR AGENCY - APPROVE A LICENSE AGREEMENT NO. C46320A- Z BETWEEN THE SUCCESSOR AGENCY TO THE PALM DESERT REDEVELOPMENT AGENCY AND THE CITY OF PALM DESERT FOR ASSESSOR’S PARCEL NUMBER 620-400-025 Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla 1. Approve a License Agreement No. C46320A-Z between the Successor Agency to the Palm Desert Redevelopment Agency (SARDA) and the City of Palm Desert for Assessor’s Parcel Number (APN) 620 -400-025 for two (2) years at a rate of one dollar ($1). 2. Authorize the SARDA Attorney to make non -monetary changes to the License Agreement. 3. Authorize the Executive Director to execute the License Agreement and all related documents for the sale. Motion Carried 13.l APPROVE THE ADDITION OF IMPROVEMENTS FOR PUBLIC PARKING AND OPEN SPACE TO APN 620-400-625 TO THE CITY’S CAPITAL IMPROVEMENT PROGRAM Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla 1. Approve the addition of improvements for public parking and open space to APN 620-400-625 to the City’s Capital Improvement Program. 2. Authorize the Director of Finance to appropriate $1,891,588 from unobligated Desert Willow Capital Fund Balance to Account No. 4414195 - 4809200, Project Code CFA 00025, for the parking lot improvements to Lot A. Motion Carried 13.m ADOPTION OF ORDINANCE NO. 1400 AMENDING SECTION 2.36.370 OF THE PALM DESERT MUNICIPAL CODE RELATED TO THE READING OF ORDINANCES AND RESOLUTIONS Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla Adopt Ordinance No. 1400 entitled, “AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, AMENDING SECTION 2.36.370 OF THE PALM DESERT MUNICIPAL CODE RELATED TO THE READING OF ORDINANCES AND RESOLUTIONS.” Motion Carried Page 34 of 570 Palm Desert City Council Meeting Minutes September 28, 2023 7 CONSENT ITEMS HELD OVER 13.f RATIFY A LETTER OF SUPPORT FOR H.N. & FRANCES C. BERGER FOUNDATION’S RECONNECTING COMMUNITIES PROGRAM FUNDING REQUEST FOR THE THOUSAND PALMS FLOOD CONTROL PROJECT Motion by: Mayor Kelly Seconded by: Mayor Pro Tem Quintanilla Ratify a letter of support for the H.N. and Frances C. Berger Foundation’s Reconnecting Communities Program funding request. Motion Carried (4-0-1, Councilmember Nestande RECUSED) 14. ACTION CALENDAR 14.a APPROVE AN AGREEMENT WITH KINGDOM CAUSES DBA CITY NET FOR CITY HOMELESS OUTREACH AND ENGAGEMENT SERVICES Social Services Coordinator Austin narrated a PowerPoint presentation, responded to City Council inquiries, and introduced Jessica Avelar-Bruce, City Net's Chief Program Officer. Motion by: Councilmember Harnik Seconded by: Councilmember Trubee 1. Approve Agreement No. C46330 for $250,813.13 with Kingdom Causes DBA City Net to provide street outreach and engagement homeless services from October 1, 2023, through June 30, 2024, with two optional one-year extensions. 2. Authorize Director of Finance to appropriate $101,000 in unobligated Opioid Settlement Special Funds to Account No. 2264212-4309000 and transfer $150,000 from Permanent Local Housing Allocation Funds Account No. 2254199-4501000 to Account No. 2254212-4309000. 3. Authorize the City Attorney to make non-monetary changes to the agreement and the City Manager or designee to execute the agreement. Motion Carried (5 to 0) Page 35 of 570 Palm Desert City Council Meeting Minutes September 28, 2023 8 15. PUBLIC HEARINGS 15.a HOUSING AND URBAN DEVELOPMENT COMMUNITY DEVELOPMENT BLOCK GRANT – PUBLIC HEARING TO RECEIVE PUBLIC COMMENTS ON FISCAL YEAR 2022/23 COMPREHENSIVE ANNUAL PERFORMANCE AND EVALUATION REPORT Mayor Kelly opened the public hearing. Contracts and Grants Analyst Barron narrated a PowerPoint presentation and responded to City Council inquiries. There being no member of the public wishing to speak, Mayor Kelly closed the public hearing. Motion by: Mayor Pro Tem Quintanilla Seconded by: Councilmember Harnik Receive and file the City’s Fiscal Year (FY) 2022/23 Comprehensive Annual Performance and Evaluation Report (CAPER). Motion Carried (5 to 0) 15.b PALM DESERT REDISTRICTING 2023 – PUBLIC HEARING #2 TO RECEIVE INPUT FROM THE COMMUNITY REGARDING THE REDRAWING OF ELECTION DISTRICT BOUNDARIES Mayor Kelly opened the public hearing. City Clerk Mejia narrated a PowerPoint presentation and responded to City Council inquiries. Steve, Desert Hot Springs resident, spoke in opposition to creating five districts. There being no other member of the public wishing to speak, Mayor Kelly closed the public hearing. 16. INFORMATION ITEMS Mayor Kelly announced that the Palm Desert Area Chamber of Commerce recognized Housing Manager Jessica Gonzales with the Award of Excellence, and thanked Ms. Gonzales for her efforts leading the Housing Division. Page 36 of 570 Palm Desert City Council Meeting Minutes September 28, 2023 9 17. ADJOURNMENT The City Council adjourned at 5:11 p.m. Respectfully submitted: _________________________ Níamh M. Ortega Assistant City Clerk/Assistant Secretary Attest: _________________________ Anthony J. Mejia, MMC City Clerk/Secretary Page 37 of 570 Page 38 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/22/2023 - 9/22/2023 City of Palm Desert Account Number 09/22/202300000336 BEST BEST & KRIEGER LLPW1 REDISTRICTING LGL 7/2343090001104114 971457 477.40 09/22/202300000336 BEST BEST & KRIEGER LLPW1 MONTHLY RETAINER THRU 7/2343015001104120 972736 25,714.00 09/22/202300000336 BEST BEST & KRIEGER LLPW1 LIBRARY LGL SVC 7/2343015001104121 972735 5,541.60 09/22/202300000336 BEST BEST & KRIEGER LLPW1 Additional LGL SVC 7/2343015001104121 972735 20,290.80 09/22/202300000336 BEST BEST & KRIEGER LLPW1 TM37234 7/2343015001104121 971456 902.70 09/22/202300000336 BEST BEST & KRIEGER LLPW1 PERSONNEL LGL 7/2343016001104121 971455 320.40 09/22/202300000336 BEST BEST & KRIEGER LLPW1 DESERT REC LGL THRU 7/2344001004514164 972735 106.80 09/22/202300000336 BEST BEST & KRIEGER LLPW1 HA LGL SVC THRU 7/2343015008714195 971196 647.90 09/22/202300000337 CDW LLCW1 4 Toners42120001104190 LV96190 805.36 09/22/202300000337 CDW LLCW1 FY2324 Equipment Replacement44040005304190 LT90672 409.85 09/22/202300000337 CDW LLCW1 Headset & Webcam Replacement44040005304190 LW32425 221.95 09/22/202300000338 KEYSER MARSTON ASSOCIATES INCW1 AG23 Econ Toolbox & Financial43090001104159 0038083 13,520.00 09/22/202300000338 KEYSER MARSTON ASSOCIATES INCW1 JL23 Econ Toolbox & Financial43090001104159 0037989 3,430.00 09/22/202300000339 PALM DESERT CHAMBER OF COMMERCEW1 PDACC Breakfast KK, KQ. JH43125001104110 74565 90.00 09/22/202300000340 SHI INTERNATIONAL CORPORATIONW1 AutoCAD EXP 10/13/2414301001100000 B17354119 1,512.74 09/22/202300000340 SHI INTERNATIONAL CORPORATIONW1 KnowBe4 Security EXP10/18/2414301001100000 B17354119 863.49 09/22/202300000340 SHI INTERNATIONAL CORPORATIONW1 AutoCAD 10/14/23-10/13/2443620011104190 B17354119 3,673.81 09/22/202300000340 SHI INTERNATIONAL CORPORATIONW1 KnowBe4 Security Training FY2343620011104190 B17354119 2,097.06 09/22/202300000341 SIGNARAMAW1 R/M BUILDINGS - PARKVIEW43696015104195 INV-118159 890.40 09/22/202300000342 STAPLES BUSINESS ADVANTAGEW1 Storage boxes for housing42110008734195 3547205657 168.74 09/22/202300000343 STRATEGIC MARKETING & RESEARCHW1 Market Potential Model Researc43090001104417 0011816 11,500.00 09/22/202302000605 ACCURATE FIRST AID SERVICES LLCW1 FIRST AID SUPPLIES - CORPYARD42190001104330 C-2017 116.39 09/22/202302000606 ALVAREZ, MARTINW1 1023-ICMA-MA AIR11501001100000 1023-ICMA-MA 433.40 09/22/202302000606 ALVAREZ, MARTINW1 1023-ICMA-MA REG43120001104300 1023-ICMA-MA 490.00 09/22/202302000607 BECK OIL INCW1 CITY FLEET GAS AND DIESEL42170001104331 76877 5,122.95 09/22/202302000608 CALIFORNIA BUILDING OFFICIALSW1 CALBO 10/26/23 J. 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MOORE43120001104420 16857 290.00 09/22/2023Report Date 1Page City & Housing DocuSign Envelope ID: 77CC585A-0FCB-4B05-AAEE-0AE510752DF7 Page 39 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/22/2023 - 9/22/2023 City of Palm Desert Account Number 09/22/202302000608 CALIFORNIA BUILDING OFFICIALSW1 CALBO10/24-26/23 AV/SO43120001104420 16860 860.00 09/22/202302000609 CANALES, CHRISTINAW1 RMBRSE CRTFCTN CRSE-CANALES43120001104470 06/12/2023 72.00 09/22/202302000610 CARSON TRAILER INCW1 PURCHASE OF A DUMP TRAILER44030005304310 125172 15,201.65 09/22/202302000611 CASH, PETTYW1 ARC/PC MTG LNCH 9/7/2343125001104470 ARC/PC 9/7/23 189.00 09/22/202302000611 CASH, PETTYW1 ARC MTG LNCH 9/12/2343125001104470 ARC 9/12/23 189.00 09/22/202302000612 CHARTER COMMUNICATIONSW1 SEP23 City Hall Internet43650001104190 0036098090123 386.57 09/22/202302000613 COACHELLA VALLEY WATER DIST.W1 AUG 23 TOWN CENTER WAY43510001104330 307113813150AG23 26.64 09/22/202302000614 COMMERCIAL DOOR METAL SYSTEMS INCW1 R/M BUILDING - FS 3343310002304220 57703 1,999.92 09/22/202302000615 CONSOLIDATED ELECTRICAL DIST. 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CITY HALL43310001104340 AA10065054 107.71 09/22/202302000626 LOCK SHOP INC.W1 KEYS AND LOCKS - CITY HALL43310001104340 C0783 415.18 09/22/202302000626 LOCK SHOP INC.W1 KEYS - PORTOLA CC42190001104344 AA10065098 3.18 09/22/202302000626 LOCK SHOP INC.W1 KEYS AND LOCKS - CC PARK43310001104610 J100115 556.30 09/22/202302000626 LOCK SHOP INC.W1 LOCK REPAIRS - SHERIFF CTR43695005104195 A135228 195.00 09/22/202302000626 LOCK SHOP INC.W1 KEYS AND LOCKS - SHERIFF CTR43695005104195 A135234 660.39 09/22/202302000626 LOCK SHOP INC.W1 LOCK REPAIRS - SHEFIFF CTR43695005104195 A135253-1 1,282.11 09/22/202302000627 LOWE'S HOME CENTERS INC.W1 SUPPLIES - CIP42110001104134 902253-071323 91.50 09/22/202302000627 LOWE'S HOME CENTERS INC.W1 SUPPLIES - CIP42110001104134 902657-071023 83.81 09/22/202302000627 LOWE'S HOME CENTERS INC.W1 R/M BUILDINGS - CITY HALL43310001104340 982620-080723 62.38 09/22/202302000627 LOWE'S HOME CENTERS INC.W1 R/M BUILDINGS - CITY HALL43310001104340 982757-080723 150.12 09/22/202302000627 LOWE'S HOME CENTERS INC.W1 PEST CONTROL SPRAY - 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9/22/2023 City of Palm Desert Account Number 09/22/202302000628 LUA, ROSA MARIAW1 SEI 7/15-29/23 R.LUA11501001100000 CLR LDG 7/29/23 -278.00 09/22/202302000628 LUA, ROSA MARIAW1 SEI 7/15-29/23 R.LUA11501001100000 CLR PRDM 7/29/23 -1,000.50 09/22/202302000628 LUA, ROSA MARIAW1 SEI 7/15-29/23 R.LUA43121011104154 PRDM 7/29/23 1,000.50 09/22/202302000628 LUA, ROSA MARIAW1 SEI 7/15-29/23 R.LUA43121011104154 LDG 7/29/23 314.98 09/22/202302000628 LUA, ROSA MARIAW1 SEI 7/15-29/23 R.LUA43121011104154 CHCKD BAG7/29/23 60.00 09/22/202302000628 LUA, ROSA MARIAW1 SEI 7/15-29/23 R.LUA43121011104154 MILEAGE 7/29/23 14.67 09/22/202302000629 MENDOZA, LIISA MARIEW1 Sign language for 10/12/23 con43061011104416 LMENDOZA1012CONC 180.00 09/22/202302000629 MENDOZA, LIISA MARIEW1 Sign language for 10/19/23 con43061011104416 LMENDOZA1019CONC 180.00 09/22/202302000629 MENDOZA, LIISA MARIEW1 Sign language for 10/16/23 con43061011104416 LMENDOZA1026CONC 180.00 09/22/202302000630 MISACW1 23/24 MISAC Renewal IT Team43630001104190 200006235 520.00 09/22/202302000631 MISACW1 C.Helf- MISAC Annual Conf.43120001104190 200006288 400.00 09/22/202302000631 MISACW1 R.Santos MISAC Annual Conf.43120001104190 200006289 400.00 09/22/202302000632 PALM DESERT ACE HARDWAREW1 SUPPLIES - 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9/22/2023 City of Palm Desert Account Number 09/22/202302000648 UNIFIRST CORPORATIONW1 INDUSTRIAL UNIFORM RENTAL42140001104310 2200024094 176.50 09/22/202302000648 UNIFIRST CORPORATIONW1 INDUSTRIAL UNIFORM RENTAL42140001104310 2200021671 178.22 09/22/202302000648 UNIFIRST CORPORATIONW1 INDUSTRIAL UNIFORM RENTAL42140001104310 2200026676 204.51 09/22/202302000648 UNIFIRST CORPORATIONW1 INDUSTRIAL UNIFORM RENTAL42140001104310 2200016022 177.30 09/22/202302000648 UNIFIRST CORPORATIONW1 INDUSTRIAL UNIFORM RENTAL42140001104310 2200018690 177.30 09/22/202302000649 UNITED RENTALSW1 EQUIPMENT RENTAL43430001104310 222794690-002 936.35 09/22/202302000650 VECTORUSAW1 Aruba - Central Mgmt and suppo43620011104190 98021 6,439.00 09/22/202302000651 VISIT GREATER PALM SPRINGSW1 22-23 CVB-Recon balance due43220001104800 22/23 RECON 157,193.31 09/22/202302000652 WHITE CAP LPW1 SUPPLIES - CIP42110001104134 50022843893 661.91 09/22/202302000653 XEROX FINANCIAL SERVICESW1 Xerox Lease 2TX101725 8-9/2343420001104190 4729030 202.75 09/22/202302000653 XEROX FINANCIAL SERVICESW1 Xerox Copier Lease43420001104190 4749040 2,851.42 09/22/202302000654 XPRESS GRAPHICSW1 Printing and mailing of the43090001104114 23-55965 13,840.58 Examined and Approved Total For Bank ID - W1 441,480.06City Manager Examined and Approved Mayor or Mayor Pro-Tem Audited and Found Correct Director of Finance 09/22/2023Report Date 6Page City & Housing DocuSign Envelope ID: 77CC585A-0FCB-4B05-AAEE-0AE510752DF7 Page 44 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/28/2023 - 9/28/2023 City of Palm Desert Account Number 09/28/202300000345 AVENU MUNISERVICES LLCW1 STARS Svcs 2023 1st Quarters43090001104159 INV06-017220 1,025.00 09/28/202300000346 CDW LLCW1 FY2324Webcam Replacements44040005304190 LX87902 101.47 09/28/202300000347 COUNTY OF RIVERSIDE ANIMAL SERVICESW1 Over-Time Field Services-JUL2343090001104230 AN00000002757 1,701.50 09/28/202300000347 COUNTY OF RIVERSIDE ANIMAL SERVICESW1 Shelter Services-JUL2343090001104230 AN00000002757 4,106.20 09/28/202300000347 COUNTY OF RIVERSIDE ANIMAL SERVICESW1 License Processing-JUL2343090001104230 AN00000002757 1,055.55 09/28/202300000347 COUNTY OF RIVERSIDE ANIMAL SERVICESW1 Operation/Maintenance-JUL2343090001104230 AN00000002757 208.80 09/28/202300000347 COUNTY OF RIVERSIDE ANIMAL SERVICESW1 Animal Field Services-JUL2343090001104230 AN00000002757 22,760.40 09/28/202300000347 COUNTY OF RIVERSIDE ANIMAL SERVICESW1 Licensing Credit-JUL2343090001104230 AN00000002757 -1,465.00 09/28/202300000348 DESERT REDI-MIXW1 Aug23 Weather Event Sand42191001104159 1177753 1,504.09 09/28/202300000349 ENTERPRISE HOLDINGS INCW1 FY 23/24 car rentals for Rivco43042001104210 33875302 1,418.49 09/28/202300000349 ENTERPRISE HOLDINGS INCW1 FY 23/24 car rentals for Rivco43042001104210 33756189 1,402.68 09/28/202300000349 ENTERPRISE HOLDINGS INCW1 FY 23/24 car rentals for Rivco43042001104210 33701245 1,316.70 09/28/202300000349 ENTERPRISE HOLDINGS INCW1 FY 23/24 car rentals for Rivco43042001104210 33422624 1,327.25 09/28/202300000349 ENTERPRISE HOLDINGS INCW1 FY 23/24 car rentals for Rivco43042001104210 33585415 1,501.95 09/28/202300000349 ENTERPRISE HOLDINGS INCW1 FY 23/24 car rentals for Rivco43042001104210 33984241 1,064.42 09/28/202300000350 FAMILY YMCA OF THE DESERTW1 YMCA Hoedown Table Sponsorship43062011104800 HD23-002 2,000.00 09/28/202300000351 FG CREATIVE INCW1 Advertising for October Concer43061011104416 10164 2,225.00 09/28/202300000351 FG CREATIVE INCW1 Facebook Campaign: July43090002424549 10167 100.00 09/28/202300000351 FG CREATIVE INCW1 Outdoor - Lamar43090002424549 10167 2,000.00 09/28/202300000351 FG CREATIVE INCW1 Broadcast Placement - Alpha43090002424549 10167 1,500.00 09/28/202300000351 FG CREATIVE INCW1 Broadcast Placement - AlphaU9243090002424549 10167 1,500.00 09/28/202300000351 FG CREATIVE INCW1 Retainer - September43090002424549 10167 600.00 09/28/202300000351 FG CREATIVE INCW1 Public Relations - September43090002424549 10167 500.00 09/28/202300000351 FG CREATIVE INCW1 Graphics - September43090002424549 10167 350.00 09/28/202300000351 FG CREATIVE INCW1 Website - September43090002424549 10167 300.00 09/28/202300000351 FG CREATIVE INCW1 Monthly Agency Fee: July43215002714491 10160 3,250.00 09/28/202300000351 FG CREATIVE INCW1 Print Ads/Graphic Design: July43215002714491 10160 500.00 09/28/2023Report Date 1Page City & Housing DocuSign Envelope ID: D653DC78-0639-4571-B37F-CCC071A23651 Page 45 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/28/2023 - 9/28/2023 City of Palm Desert Account Number 09/28/202300000351 FG CREATIVE INCW1 Monthly Agency Fee: Annual Pla43215002714491 10160 1,500.00 09/28/202300000351 FG CREATIVE INCW1 Social Media: July43215002714491 10160 2,200.00 09/28/202300000351 FG CREATIVE INCW1 Merchant Relations: July43215002714491 10160 500.00 09/28/202300000351 FG CREATIVE INCW1 Monthly Agency Fee: August43215002714491 10169 3,250.00 09/28/202300000351 FG CREATIVE INCW1 Print Ads/Graphic Design: Augu43215002714491 10169 500.00 09/28/202300000351 FG CREATIVE INCW1 Social Media Services: August43215002714491 10169 2,200.00 09/28/202300000351 FG CREATIVE INCW1 Merchant Relations: August43215002714491 10169 1,250.00 09/28/202300000351 FG CREATIVE INCW1 Facebook Campaign: UPMVJSFYM243215002714491 10171 159.12 09/28/202300000351 FG CREATIVE INCW1 PSL Sep Issue #9755643215002714491 10171 5,000.00 09/28/202300000351 FG CREATIVE INCW1 PSL Sep Issue/The Guide #9760843215002714491 10171 5,000.00 09/28/202300000352 FIRSTCHOICE COFFEE SERVICEW1 COFFEE AND KITCHEN SUPPLIES42190001104340 728493 120.00 09/28/202300000352 FIRSTCHOICE COFFEE SERVICEW1 COFFEE AND KITCHEN SUPPLIES42190001104340 729672 1,112.09 09/28/202300000352 FIRSTCHOICE COFFEE SERVICEW1 COFFEE AND KITCHEN SUPPLIES42190001104340 727262 120.00 09/28/202300000352 FIRSTCHOICE COFFEE SERVICEW1 COFFEE AND KITCHEN SUPPLIES42190001104340 728103 1,248.79 09/28/202300000353 IDEAPEDDLER LLCW1 Calendar - launch and Concept43221001104417 2270 2,500.00 09/28/202300000354 MAAS COMPANIES INCW1 Office Spacing - Aug2343090001104130 083123.06 2,925.00 09/28/202300000354 MAAS COMPANIES INCW1 Projects-Housing - Aug2343090001104159 083123.06 13,845.00 09/28/202300000354 MAAS COMPANIES INCW1 Projects-Housing - Aug2343090001104159 083123.06 -13,845.00 09/28/202300000354 MAAS COMPANIES INCW1 Library Special Proj - Aug2343090001104159 083123.06 6,630.00 09/28/202300000354 MAAS COMPANIES INCW1 Sheriff Substation - Aug2343090001104159 083123.06 97.50 09/28/202300000354 MAAS COMPANIES INCW1 Civic Center Master - Aug2343090001104159 083123.06 3,217.50 09/28/202300000354 MAAS COMPANIES INCW1 Housing - Aug2343311008714195 083123.06 975.00 09/28/202300000354 MAAS COMPANIES INCW1 Sheriff Substation43090001104159 083123.08 9,240.00 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 Aug23 Weather Event Cleanup42191001104159 104247 7,746.31 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 Aug23 Weather Event extra work42191001104159 104249 3,957.56 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 LMA 1 ALLOWABLE EXTRA WORK43370011104614 103899 1,445.06 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 EXTRA WORK - LMA 9 MEDIANS43370011104614 103866 1,403.81 09/28/2023Report Date 2Page City & Housing DocuSign Envelope ID: D653DC78-0639-4571-B37F-CCC071A23651 Page 46 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/28/2023 - 9/28/2023 City of Palm Desert Account Number 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 EXTRA WORK - LMA 9 MEDIANS43370011104614 103895 3,457.94 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 LMA 1 ALLOWABLE EXTRA WORK43370011104614 103898 2,486.47 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 LMA 1 ALLOWABLE EXTRA WORK43370011104614 103900 564.00 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 JL23 LMA 1 LANDSCAPE MAINT43370011104614 103551 41,125.38 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 JL23 LMA 9 LANDSCAPE-MEDIAN43370011104614 103588 24,745.40 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 AG23 LMA 9 LANDSCAPE - MEDIAN43370011104614 103951 24,745.40 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 JL23 LMA 9 LANDSCAPE -ENTRADA43921011104614 103588 5,040.80 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 AG23 LMA 9 LANDSCAPE - ENTRADA43921011104614 103951 5,040.80 09/28/202300000355 MARIPOSA LANDSCAPES INCW1 AUG23 LMA 1 LANDSCAPE MAINT43370011104614 103970 41,125.38 09/28/202300000356 NEARMAP US INCW1 Offline Textured Exp 9/18/2414301001100000 INV01034999 1,158.30 09/28/202300000356 NEARMAP US INCW1 Offline Textured MeshFY232443620011104190 INV01034999 4,401.54 09/28/202300000357 OTIS ELEVATOR COW1 JULY23ELEVATOR SVC - CORP YARD43090001104330 100401210404 213.94 09/28/202300000357 OTIS ELEVATOR COW1 JULY23 ELEVATOR SVC SS43695005104195 666596 206.02 09/28/202300000357 OTIS ELEVATOR COW1 AUG23 ELEVATOR SVC SS43695005104195 100401241974 210.05 09/28/202300000358 PALM DESERT CHAMBER OF COMMERCEW1 Business Breakfast 11/14 VM43125001104430 74592 30.00 09/28/202300000359 PURE WATER PARTNERS LLCW1 3 WATER DISPENSERS - CORPYARD43090001104330 1490668 223.05 09/28/202300000359 PURE WATER PARTNERS LLCW1 3 WATER DISPENSERS - CITY HALL43090001104340 1490668 223.05 09/28/202300000359 PURE WATER PARTNERS LLCW1 1 WATER DISPENSER - PORTOLA CC43090001104344 1490668 74.35 09/28/202300000359 PURE WATER PARTNERS LLCW1 3 WATER DISPENSERS - FIRE STAT43310002304220 1490668 223.05 09/28/202300000360 STAPLES BUSINESS ADVANTAGEW1 Certificate Holders42110001104417 3547681267 50.52 09/28/202300000360 STAPLES BUSINESS ADVANTAGEW1 J.Bounds Tape dispenser42110001104150 3547681214 4.29 09/28/202300000360 STAPLES BUSINESS ADVANTAGEW1 K.Perez ruler42110001104150 3547681214 3.33 09/28/202300000360 STAPLES BUSINESS ADVANTAGEW1 Supply Room Push Pins42110001104159 3547681214 3.30 09/28/202300000360 STAPLES BUSINESS ADVANTAGEW1 Supply Room Copy Paper42110001104159 3547681214 149.92 09/28/202300000360 STAPLES BUSINESS ADVANTAGEW1 KYBRD, MSE, PST NOTES, DST CAN42110001104421 3544901296 156.71 09/28/202300000361 US BANKW1 P-Card Payment11501001100000 4866914555529350 1,179.00 09/28/202300000362 VINTAGE ASSOCIATESW1 JL23 LMA 16 MAINT-PARKS43320011104611 229626 26,098.00 09/28/2023Report Date 3Page City & Housing DocuSign Envelope ID: D653DC78-0639-4571-B37F-CCC071A23651 Page 47 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/28/2023 - 9/28/2023 City of Palm Desert Account Number 09/28/202300000362 VINTAGE ASSOCIATESW1 JL23 LMA 16 COURT LMAINT-PARKS43325011104611 229626 1,135.00 09/28/202300000362 VINTAGE ASSOCIATESW1 JL23LMA16 LANDSCAPE MAINT-COMM43910001104611 229626 837.00 09/28/202300000362 VINTAGE ASSOCIATESW1 JL23 LMA 16 L MAINT - HAYST43320002764374 229626 3,650.00 09/28/202300000362 VINTAGE ASSOCIATESW1 JL23 LMA 17-CIVIC CENTER PARK43320011104610 229627 16,200.00 09/28/202300000362 VINTAGE ASSOCIATESW1 LMA 17 EXTRA WORK - CC PARK43320011104610 229877 10,585.86 09/28/202300000362 VINTAGE ASSOCIATESW1 LMA 17 EXTRA WORK - CC PARK43320011104610 229888 210.00 09/28/202300000362 VINTAGE ASSOCIATESW1 JL23 LMA 17 - SPORTS FIELDS43371001104610 229627 4,500.00 09/28/202300000362 VINTAGE ASSOCIATESW1 JL23LMA 17-MAGNESIA FALLS PARK43320011104611 229627 4,000.00 09/28/202300000362 VINTAGE ASSOCIATESW1 LMA 16 EXTRA WORK - PARKS43320011104611 229664 390.12 09/28/202300000362 VINTAGE ASSOCIATESW1 LMA 16 EXTRA WORK - PARKS43320011104611 229878 1,942.17 09/28/202300000362 VINTAGE ASSOCIATESW1 LMA 16 EXTRA WORK - PARKS43320011104611 229879 1,984.85 09/28/202300000362 VINTAGE ASSOCIATESW1 EXTRA WORK - MAGNESIA FALLS43320011104611 229880 1,000.00 09/28/202300000362 VINTAGE ASSOCIATESW1 JL23 LMA 17 - AQUATIC CENTER43311012424549 229627 1,400.00 09/28/202300000362 VINTAGE ASSOCIATESW1 JL23LMA 17-PARKVIEW OFFCE BLDG43696015104195 229627 2,000.00 09/28/202300000362 VINTAGE ASSOCIATESW1 JL23 LMA 17 - STATE BLDG43696025104195 229627 300.00 09/28/202300000362 VINTAGE ASSOCIATESW1 Aug23 Weather Event Cleanup42191001104159 230084 5,100.00 09/28/202300000362 VINTAGE ASSOCIATESW1 Aug23 Weather Event Cleanup42191001104159 230300 1,032.09 09/28/202300000362 VINTAGE ASSOCIATESW1 Aug23 Weather Event: Park42191001104159 230301 1,296.00 09/28/202300000362 VINTAGE ASSOCIATESW1 Aug23 Weather Event: Park42191001104159 230302 1,080.00 09/28/202300000362 VINTAGE ASSOCIATESW1 Aug23 Weather Event: Park42191001104159 230303 1,944.00 09/28/202300000362 VINTAGE ASSOCIATESW1 Aug23 Weather Event: Park42191001104159 230304 1,296.00 09/28/202300000362 VINTAGE ASSOCIATESW1 Aug23 Weather Event: Park42191001104159 230327 4,760.00 09/28/202300000363 VISUAL EDGE IT INCW1 Usage and supplies 7.23-8.2343420001104190 24AR1079069 1,022.09 09/28/202300000363 VISUAL EDGE IT INCW1 Usage and supplies 3TX40377243420001104190 24AR1082592 133.17 09/28/202300000363 VISUAL EDGE IT INCW1 Usage and supplies 2TX10172543420001104190 24AR1066403 170.60 09/28/202302000658 ACCURATE FIRST AID SERVICES LLCW1 FIRST AID SUPPLIES - CITY HALL42190001104340 C-2018 82.92 09/28/202302000658 ACCURATE FIRST AID SERVICES LLCW1 FIRST AID SUPPLIES - CORPYARD42190001104330 C-2126 132.03 09/28/2023Report Date 4Page City & Housing DocuSign Envelope ID: D653DC78-0639-4571-B37F-CCC071A23651 Page 48 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/28/2023 - 9/28/2023 City of Palm Desert Account Number 09/28/202302000659 AIR & HOSE SOURCE INCW1 AUG23 Weather Event Hoses42191001104159 520486 986.79 09/28/202302000659 AIR & HOSE SOURCE INCW1 Aug23 Weather Event Hoses42191001104159 521069 1,315.88 09/28/202302000660 BECK OIL INCW1 SUPPLY OF GAS AND DIESEL FUEL42170001104331 78955 5,024.42 09/28/202302000660 BECK OIL INCW1 SUPPLY OF GAS AND DIESEL FUEL42170001104331 80379 12,330.48 09/28/202302000661 BMW MOTORCYCLE OF RIVERSIDEW1 FY 23/24 Maintenance and repai43340001104210 6034281 2,134.98 09/28/202302000661 BMW MOTORCYCLE OF RIVERSIDEW1 FY 23/24 Maintenance and repai43340001104210 6034114 1,113.81 09/28/202302000661 BMW MOTORCYCLE OF RIVERSIDEW1 FY 23/24 Maintenance and repai43340001104210 5042381 380.61 09/28/202302000661 BMW MOTORCYCLE OF RIVERSIDEW1 FY 23/24 Maintenance and repai43340001104210 6034060 1,021.93 09/28/202302000661 BMW MOTORCYCLE OF RIVERSIDEW1 FY 23/24 Maintenance and repai43340001104210 6033950 537.08 09/28/202302000662 CALIFORNIA BUILDING OFFICIALSW1 CALBO 10/25/23 T.WILLIAMS43120001104421 16889 145.00 09/28/202302000663 CALIFORNIA FORWARDW1 CAL FORWARD K.QUINT&E.TRUBEE43125001104110 CA FWD 09.28.23 300.00 09/28/202302000664 CECHIN, TERRYW1 0923BOOTREIM - TC43915001104300 0923BOOTREIM-TC 173.99 09/28/202302000665 CELAYA , HORACIOW1 CMRTA DIV IV H.CELAYA 9/14/2343115001104150 MILEAGE 9/14/23 74.02 09/28/202302000665 CELAYA , HORACIOW1 CMRTA DIV IV H.CELAYA 9/14/2343120001104150 REG 9/14/23 40.00 09/28/202302000666 CHARTER COMMUNICATIONSW1 SEP23 Corp Yard Internet43650001104190 1093262090723 82.40 09/28/202302000667 CHAVEZ, VERONICAW1 ICMA 2023 9/30-10/4 V.Chavez11501001100000 ADV PRDM 10/4/23 288.00 09/28/202302000668 CHRISTOPHER GERRYW1 APWA 8/26-30/23 C.GERRY43115001104300 MILEAGE 8/30/23 161.13 09/28/202302000668 CHRISTOPHER GERRYW1 APWA 8/26-30/23 C.GERRY43120001104300 PRDM 8/30/23 333.00 09/28/202302000668 CHRISTOPHER GERRYW1 APWA 8/26-30/23 C.GERRY43120001104300 LDG 8/30/23 1,239.92 09/28/202302000668 CHRISTOPHER GERRYW1 APWA 8/26-30/23 C.GERRY43120001104300 PRK 8/30/23 168.00 09/28/202302000669 COACHELLA VALLEY MOUNTAINSW1 Stationary Reimbursement43695005104195 PVSTATREIMBCVMC0 500.00 09/28/202302000670 COACHELLA VALLEY WATER DIST.W1 PORTOLA MEDIAN WATER43370011104614 805025629618JL23 2,612.69 09/28/202302000670 COACHELLA VALLEY WATER DIST.W1 PORTOLA MEDIAN METER43370011104614 805025629618SP23 230.18 09/28/202302000670 COACHELLA VALLEY WATER DIST.W1 PORTOLA MEDIAN WATER43370011104614 805025629618AG23 191.97 09/28/202302000670 COACHELLA VALLEY WATER DIST.W1 iHUB CVWD (8/15 - 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Shepherd43510002874683 315237847764AG23 76.53 09/28/202302000670 COACHELLA VALLEY WATER DIST.W1 G. 1088 College View Estates43510002874684 315237847764AG23 151.08 09/28/202302000670 COACHELLA VALLEY WATER DIST.W1 SAN LUIS REY AVE - Fire Meter43510002774373 797757405414JU23 111.99 09/28/202302000671 CONSOLIDATED ELECTRICAL DIST. INC.W1 TRAFFIC SUPPLIES42190001104250 5725-1096267 172.50 09/28/202302000671 CONSOLIDATED ELECTRICAL DIST. INC.W1 R/M BUILDING-CIVIC CENTER PARK43310001104610 5725-1095838 90.64 09/28/202302000672 County of Riverside Sheriff DepartmentW1 FY 23/24 Cal Fingerprint ID43040001104210 SH0000043792 50,889.00 09/28/202302000673 DATA TICKET INCW1 PRKNG TICKET PROCESSING-AUG2343090001104422 155982 141.45 09/28/2023Report Date 6Page City & Housing DocuSign Envelope ID: D653DC78-0639-4571-B37F-CCC071A23651 Page 50 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/28/2023 - 9/28/2023 City of Palm Desert Account Number 09/28/202302000674 DEPARTMENT OF INDUSTRIAL RELATIONSW1 2023ConveyanceAtParkviewBldg43696015104195 E 1993860 SB 225.00 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS- AQUATIC CENTER43311012424549 241083 230.56 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS - CORP YARD43310001104330 240042 162.00 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS - CITY HALL43310001104340 239929 1,358.99 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS - CITY HALL43310001104340 240297 189.00 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS-FIRE STATION 7143310002304220 240358 184.09 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS- AQUATIC CENTER43311012424549 240276 162.00 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS- AQUATIC CENTER43311012424549 240277 108.00 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS - IHUB43950004254430 240256 385.00 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS - PARKVIEW43696015104195 240298 135.00 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS - CITY HALL43310001104340 240718 656.76 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS - CIVIC CENTER43310001104610 240751 351.00 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS - FS#3343310002304220 240452 108.00 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS - FS#6743310002304220 240841 108.00 09/28/202302000675 DESERT AIR CONDITIONING INC.W1 HVAC REPAIRS - SHERIFF SUBSTAT43695005104195 240721 231.47 09/28/202302000676 DESERT CANCER FOUNDATIONW1 Sponsorship Paint El Paseo Pin43062011104800 0801423PD 2,500.00 09/28/202302000677 DESERT FIRE EXTINGUISHERW1 R/M BUILDINGS- CORP YARD43310001104330 12470344 394.98 09/28/202302000677 DESERT FIRE EXTINGUISHERW1 R/M BUILDINGS-HISTORICAL SCTY43310001104340 12470342 112.93 09/28/202302000677 DESERT FIRE EXTINGUISHERW1 FIRE EXTINGUISHERS SVC-PSAM43885001104800 12470139 117.58 09/28/202302000677 DESERT FIRE EXTINGUISHERW1 FIRE EXTINGUISHER SVC-iHUB43950004254430 12470345 398.32 09/28/202302000678 DESERT NAPA AUTO PARTSW1 R/M FLEET SUPPLIES43340001104331 025114 23.68 09/28/202302000678 DESERT NAPA AUTO PARTSW1 R/M MOTOR VEHICLES FLEET - #8443340001104331 026557 36.61 09/28/202302000679 DESERT PIPE & SUPPLYW1 R/M BUILDINGS - CIVIC CENTER43310001104610 16714190 41.40 09/28/202302000679 DESERT PIPE & SUPPLYW1 R/M BUILDINGS - CIVIC CENTER43310001104610 16717770 19.38 09/28/202302000680 DOVE PRINTINGW1 Brightside Sep/Oct 2343026001104417 4135 6,511.00 09/28/202302000681 East Valley Republican Women PatriotsW1 SCS - East Valley Republican43930004254430 SCS-EVREPWP 500.00 09/28/202302000682 EISENHOWER MEDICAL CENTERW1 23/241st Pmt Const of EE Child43883004514800 C45450YR1 500,000.00 09/28/2023Report Date 7Page City & Housing DocuSign Envelope ID: D653DC78-0639-4571-B37F-CCC071A23651 Page 51 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/28/2023 - 9/28/2023 City of Palm Desert Account Number 09/28/202302000683 ESCOBEDO, CHRISTOPHERW1 ICMA 9/30 - 10/4/23 C. 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Apr2343311012424549 198829 2,970.00 09/28/202302000702 LIVIA LASHES LLCW1 SCS - Livia Lashes43930004254430 SCS-LIVIALASH 500.00 09/28/202302000703 LOCK SHOP INC.W1 TRAFFIC SAFETY SUPPLIES42190001104250 AA10065437 38.14 09/28/202302000704 LOWE'S HOME CENTERS INC.W1 TRAFFIC SAFETY SUPPLIES42190001104250 976567-082323 61.35 09/28/202302000704 LOWE'S HOME CENTERS INC.W1 R/M FLEET43340001104331 987870-091323 150.32 09/28/202302000705 LSL CPAsW1 Single Audit 202343020001104151 58364 5,738.00 09/28/202302000706 MACLEOD WATTS INCW1 GASB 75 report for FYE 6.30.2343090005764192 092023PALMD 1,950.00 09/28/202302000707 MELLONI, ADELFOW1 AICP ONE PATH REG-MELLONI43120001104470 3292177-NM 255.00 09/28/202302000707 MELLONI, ADELFOW1 AICP ONE PATH REG-MELLONI43120001104470 3299218-NM 100.00 09/28/202302000707 MELLONI, ADELFOW1 AICP ONE PATH ASSMNT-MELLONI43120001104470 3379530-NM 255.00 09/28/202302000707 MELLONI, ADELFOW1 ZONING PRACTICE PBLCTN-MELLONI43620001104470 3380213-NM 65.00 09/28/202302000707 MELLONI, ADELFOW1 APA MEMBER DUES-MELLONI43630001104470 3379976-NM 783.00 09/28/202302000707 MELLONI, ADELFOW1 AICP PRORATED DUES-MELLONI43630001104470 3379621-NM 100.00 09/28/2023Report Date 9Page City & Housing DocuSign Envelope ID: D653DC78-0639-4571-B37F-CCC071A23651 Page 53 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/28/2023 - 9/28/2023 City of Palm Desert Account Number 09/28/202302000708 MERCHANTS BUILDING MAINTENANCE LLCW1 Aug23 Weather Event Cleanup42191001104159 758531 355.00 09/28/202302000708 MERCHANTS BUILDING MAINTENANCE LLCW1 Aug23 Weather Event Cleanup42191001104159 758532 355.00 09/28/202302000708 MERCHANTS BUILDING MAINTENANCE LLCW1 Aug23 Weather Event Cleanup42191001104159 758533 355.00 09/28/202302000708 MERCHANTS BUILDING MAINTENANCE LLCW1 EXTRA JANITORIAL SRVS43326001104340 752857 400.00 09/28/202302000709 MULTI W SYSTEMS INCW1 2 YEAR SCADA DATA PLAN14301001100000 32330969 1,200.00 09/28/202302000709 MULTI W SYSTEMS INCW1 2 YEAR SCADA DATA PLAN43320011104610 32330969 1,200.00 09/28/202302000710 MUNIZ, RAFAELW1 0823WeatherEventBOOTS-RM42191001104159 0823WTHRBOOTS-RM 184.86 09/28/202302000711 OLSON, DUWAYNEW1 CONSTEXAMCNTR,10/15-20,D.OLSON11501001100000 ADV LDG 10/2023 673.25 09/28/202302000711 OLSON, DUWAYNEW1 CONSTEXAMCNTR,10/15-20,D.OLSON11501001100000 ADV MILE 102023 71.66 09/28/202302000711 OLSON, DUWAYNEW1 CONSTEXAMCNTR,10/15-20,D.OLSON11501001100000 ADV PRDM 102023 407.00 09/28/202302000711 OLSON, DUWAYNEW1 CONSTEXAMCNTR,10/15-20,D.OLSON11501001100000 ADV PRKG 102023 75.00 09/28/202302000712 PORTOLA PALMS HOMEOWNERS ASSNW1 HOA Fees for PPMHP #7343370008734195 OCT 1922815 275.00 09/28/202302000713 PORTOLA PALMS HOMEOWNERS ASSNW1 HOA Fees for PPMHP #12943370008734195 OCT 1922585 275.00 09/28/202302000714 PRO-CRAFT CONSTRUCTION INCW1 PLUMBING SRV - CIVIC CENTER PA43310001104610 22115-68 1,679.51 09/28/202302000714 PRO-CRAFT CONSTRUCTION INCW1 PLUMBING SRV - CIVIC CENTER PA43310001104610 23121-2 600.44 09/28/202302000714 PRO-CRAFT CONSTRUCTION INCW1 PLUMBING SRV - CIVIC CENTER PA43310001104610 23121-4 578.26 09/28/202302000714 PRO-CRAFT CONSTRUCTION INCW1 PLUMBING SRV - PARKS43310001104611 22115-69 1,071.85 09/28/202302000714 PRO-CRAFT CONSTRUCTION INCW1 PLUMBING SRV - PARKS43310001104611 23121-11 845.62 09/28/202302000714 PRO-CRAFT CONSTRUCTION INCW1 PLUMBING SRV - FS 6743310002304220 22115-71 2,072.01 09/28/202302000714 PRO-CRAFT CONSTRUCTION INCW1 PLUMBING SRV - FS 6743310002304220 23121-1 495.00 09/28/202302000714 PRO-CRAFT CONSTRUCTION INCW1 PLUMBING SRV - FS 3343310002304220 23121-3 506.65 09/28/202302000715 QUINN COMPANYW1 EXTRA GNRTR SVCS - FS 6743310002304220 WOG00017106 562.50 09/28/202302000715 QUINN COMPANYW1 EXTRA GNRTR SVCS - FS 3343310002304220 WOG00017108 562.50 09/28/202302000716 RAMIREZ, MELANIEW1 08-23CAPPO-MR Mileage43115001104300 08-23CAPPO-MR 163.75 09/28/202302000716 RAMIREZ, MELANIEW1 08-23CAPPO-MR Meals43120001104300 08-23CAPPO-MR 111.00 09/28/202302000716 RAMIREZ, MELANIEW1 08-23CAPPO-MR Lodging43120001104300 08-23CAPPO-MR 175.93 09/28/202302000717 RASIX COMPUTER CENTER INCW1 1 Black & 1 Color Ink42120001104190 ID104618 218.43 09/28/2023Report Date 10Page City & Housing DocuSign Envelope ID: D653DC78-0639-4571-B37F-CCC071A23651 Page 54 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/28/2023 - 9/28/2023 City of Palm Desert Account Number 09/28/202302000718 RETAIL MARKETING SERVICESW1 SHOPPING CRT RTRVL SRVS-AUG2343090001104422 189275 940.00 09/28/202302000719 RIOS, FREDDYW1 0823WeatherEventBOOTS-FR42191001104159 0823WTHRBOOTS-FR 187.34 09/28/202302000720 SENSERA SYSTEMS INCW1 SITECLOUD SRV EXP 9/14/2414301001100000 225571 540.00 09/28/202302000720 SENSERA SYSTEMS INCW1 SITECLOUD SRV EXP 9/14/2443620001104300 225571 2,052.00 09/28/202302000721 SOUTH COAST LIGHTING & DESIGN INCW1 Lighting for sculpture Sunburs44001004364650 1010553-1 16,833.78 09/28/202302000722 SOUTHERN CALIFORNIA EDISONW1 iHUB SCE (8/3 - 9/1)43950004254430 700423102627SP23 4,577.19 09/28/202302000723 SOUTHWEST AQUATICSW1 JL23 R/M LAGOON - CC PARK43320011104610 07-20705 4,114.00 09/28/202302000723 SOUTHWEST AQUATICSW1 JL23 R/M WATER FEATURE ENTRADA43921011104614 07-20705 1,030.00 09/28/202302000724 STENO SOLUTIONS TRANSCRIPTIONW1 AUG23 Transcrip-Sheriff Dept.43042001104210 43677 103.95 09/28/202302000725 SUNBELT RENTALS INCW1 August '23 Weather Event: Pump42191001104159 143792713-0003 14,804.86 09/28/202302000725 SUNBELT RENTALS INCW1 August '23 Weather Event: Pump42191001104159 143680332-0001 9,018.66 09/28/202302000726 SUPERIOR READY MIX CONCRETEW1 STREET MAINT SUPPLIES42190001104310 363767 2,055.98 09/28/202302000727 T-MOBILE USA INCW1 Sheriff-Timing Advance43042001104210 9544756096 75.00 09/28/202302000727 T-MOBILE USA INCW1 Sheriff GPS Locate43042001104210 9544849628 100.00 09/28/202302000727 T-MOBILE USA INCW1 Sheriff-Area Dump43042001104210 9544572873 100.00 09/28/202302000728 THOMAS A MCGILLISW1 ASL for Oct 5 concert43061011104416 127 180.00 09/28/202302000729 TOWNSEND PUBLIC AFFAIRS INCW1 SP23 Grant Management Services43090001104159 20484 3,750.00 09/28/202302000729 TOWNSEND PUBLIC AFFAIRS INCW1 AG23 Grant Management Services43090001104159 20343 3,750.00 09/28/202302000729 TOWNSEND PUBLIC AFFAIRS INCW1 JL23 Grant Management Services43090001104159 20342 1,875.00 09/28/202302000730 UNIFIRST CORPORATIONW1 INDUSTRIAL UNIFORM RENTAL42140001104310 2200034814 203.60 09/28/202302000731 US BANKW1 ADMIN FEE PA #1 5/23-6/2343090001104159 13885664 89.51 09/28/202302000731 US BANKW1 ADMIN FEE PA #2 5/23-6/2343090001104159 13885664 89.51 09/28/202302000731 US BANKW1 ADMIN FEE PA #3 5/23-6/2343090001104159 13885664 89.51 09/28/202302000731 US BANKW1 ADMIN FEE PA #4 5/23-6/2343090001104159 13885664 89.51 09/28/202302000731 US BANKW1 ADMIN FEE CITY 5/23-6/2343090001104159 13885664 580.16 09/28/202302000731 US BANKW1 ADMIN FEE PA #1 7/2343090001104159 13885664 45.49 09/28/202302000731 US BANKW1 ADMIN FEE PA #2 7/2343090001104159 13885664 45.49 09/28/2023Report Date 11Page City & Housing DocuSign Envelope ID: D653DC78-0639-4571-B37F-CCC071A23651 Page 55 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/28/2023 - 9/28/2023 City of Palm Desert Account Number 09/28/202302000731 US BANKW1 ADMIN FEE PA #3 7/2343090001104159 13885664 45.49 09/28/202302000731 US BANKW1 ADMIN FEE PA #4 7/2343090001104159 13885664 45.49 09/28/202302000731 US BANKW1 ADMIN FEE CITY 7/2343090001104159 13885664 294.84 09/28/202302000732 VASQUEZ, AILEENW1 Wellness Fair F&B42190001104154 REIMB 9.25.2023 330.27 09/28/202302000732 VASQUEZ, AILEENW1 Wellness Fair Supplies42190001104154 REIMB 9.25.2023 156.93 09/28/202302000732 VASQUEZ, AILEENW1 Nick Kittle Workshop F&B42190001104154 REIMB 9.25.2023 8.40 09/28/202302000733 WATERLINE TECHNOLOGIES INCW1 CHEMICALS - AQUATIC CENTER42111002424549 5640627 3,607.48 09/28/202302000733 WATERLINE TECHNOLOGIES INCW1 CHEMICALS - AQUATIC CENTER42111002424549 5640807 1,302.05 09/28/202302000733 WATERLINE TECHNOLOGIES INCW1 CHEMICALS - AQUATIC CENTER42111002424549 5642199 1,370.58 09/28/202302000733 WATERLINE TECHNOLOGIES INCW1 CHEMICALS - AQUATIC CENTER42111002424549 5642222 1,816.02 09/28/202302000733 WATERLINE TECHNOLOGIES INCW1 CHEMICALS - AQUATIC CENTER42111002424549 5643036 2,055.87 09/28/202302000733 WATERLINE TECHNOLOGIES INCW1 CHEMICALS - AQUATIC CENTER42111002424549 5643492 1,358.30 09/28/202302000734 WEST COAST ARBORISTS INCW1 August '23 Weather Event: Tree42191001104159 204569 49,567.88 09/28/202302000735 XEROX FINANCIAL SERVICESW1 Copier Lease 3TX40377243420001104190 4628201 191.98 09/28/202302000735 XEROX FINANCIAL SERVICESW1 Xerox 3TX403772 8-9/23 Lease43420001104190 4749041 191.98 09/28/202302000736 XPRESS GRAPHICSW1 NOTIFICATION-FREDWARING 752-2343320002114311 23-55208 376.76 09/28/202302000737 ZAMUDIO, MARCOW1 PURCHASE A TRAILER HITCH43340001104331 REIM-ALLIANCETRL 316.30 Examined and Approved Total For Bank ID - W1 1,388,172.03City Manager Examined and Approved Mayor or Mayor Pro-Tem Audited and Found Correct Director of Finance 09/28/2023Report Date 12Page City & Housing DocuSign Envelope ID: D653DC78-0639-4571-B37F-CCC071A23651 Page 56 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 8/28/2023 - 8/28/2023 City of Palm Desert Account Number 08/28/202310008704 DEPARTMENT OF THE TREASURYWR Federal W/H P/D 07/28/202321601001100000 70854439 61,552.25 08/28/202310008704 DEPARTMENT OF THE TREASURYWR Medicare W/H P/D 07/28/202321603001100000 70854439 16,613.92 08/28/202310017824 DEPARTMENT OF THE TREASURYWR Federal W/H P/D 08/11/202321601001100000 83610514 521.21 08/28/202310017824 DEPARTMENT OF THE TREASURYWR Medicare W/H P/D 08/11/202321603001100000 83610514 454.92 08/28/202310022242 DEPARTMENT OF THE TREASURYWR Federal W/H P/D 08/02/202321601001100000 33593173 53,615.63 08/28/202310022242 DEPARTMENT OF THE TREASURYWR Medicare W/H P/D 08/02/202321603001100000 33593173 15,486.01 08/28/202310213811 Empower Retirement LLCWR 401-A Retire PayDay: 08/02/2321622011100000 1113461120 11,158.22 08/28/202310213811 Empower Retirement LLCWR 401-A Retire PayDay: 08/02/2321622016100000 1113461120 -11,158.22 08/28/202310213811 Empower Retirement LLCWR 401-A Retire PayDay: 08/02/2310292016100000 1113461120 11,158.22 08/28/202310869742 Empower Retirement LLCWR Deferred Comp PayDay 08/02/2310293006100000 1113445642 14,288.88 08/28/202310869742 Empower Retirement LLCWR DEFERRED COMP PAYDAY 08/02/2321621006100000 1113445642 -5,728.83 08/28/202310869742 Empower Retirement LLCWR Deferred Comp PayDay 08/02/2321623006100000 1113445642 -14,288.88 08/28/202310869742 Empower Retirement LLCWR Deferred Comp PayDay 08/02/2321623001100000 1113445642 14,288.88 08/28/202310869742 Empower Retirement LLCWR DEFERRED COMP PAYDAY 08/02/2310291006100000 1113445642 5,728.83 08/28/202310869742 Empower Retirement LLCWR DEFERRED COMP PAYDAY 08/02/2321621001100000 1113445642 5,728.83 08/28/202311179945 STATE OF CALIFORNIAWR PIT W/H PD: 08/02/202321602001100000 7259388 24,483.16 08/28/202313237299 PUBLIC EMPLOYEES' RETIREMENTWR Health Premium Emp 08-202321608001100000 100000017234259 183,316.06 08/28/202313237299 PUBLIC EMPLOYEES' RETIREMENTWR Health Premium CC 08-202321608001100000 100000017234259 1,985.18 08/28/202313237299 PUBLIC EMPLOYEES' RETIREMENTWR EMP ADJ 08/202321608001100000 100000017234259 12,533.92 08/28/202313237299 PUBLIC EMPLOYEES' RETIREMENTWR Health Premium Retiree 08-202341190005764192 100000017234259 14,351.08 08/28/202314036539 TRANSAMERICA EMPLOYEE BENEFITSWR Supplmental Ins - July21616001100000 2505068976 1,065.84 08/28/202314036539 TRANSAMERICA EMPLOYEE BENEFITSWR Supplmental Ins 07-31-2321616001100000 2505068976 336.86 08/28/202314118729 STATE OF CALIFORNIAWR PIT W/H PD: 08/11/202321602001100000 7272283 89.63 08/28/202315090720 Empower Retirement LLCWR Deferred Comp PayDay 08/16/2310293006100000 1116328953 14,285.60 08/28/202315090720 Empower Retirement LLCWR DEFERRED COMP PAYDAY 08/16/2321621006100000 1116328953 -5,728.83 08/28/202315090720 Empower Retirement LLCWR DEFERRED COMP PAYDAY 08/16/2321621001100000 1116328953 5,728.83 08/28/202315090720 Empower Retirement LLCWR Deferred Comp PayDay 08/16/2321623001100000 1116328953 14,285.60 08/28/2023Report Date 1Page City & Housing DocuSign Envelope ID: FE617364-93D7-4476-84D3-BA9C65CD0EC9 Page 57 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 8/28/2023 - 8/28/2023 City of Palm Desert Account Number 08/28/202315090720 Empower Retirement LLCWR DEFERRED COMP PAYDAY 08/16/2310291006100000 1116328953 5,728.83 08/28/202315090720 Empower Retirement LLCWR Deferred Comp PayDay 08/16/2321623006100000 1116328953 -14,285.60 08/28/202315090726 Empower Retirement LLCWR 401-A Retire PayDay: 08/16/2310292016100000 1116330966 11,132.71 08/28/202315090726 Empower Retirement LLCWR 401-A Retire PayDay: 08/16/2321622011100000 1116330966 11,132.71 08/28/202315090726 Empower Retirement LLCWR 401-A Retire PayDay: 08/16/2321622016100000 1116330966 -11,132.71 08/28/202318648718 STATE OF CALIFORNIAWR PIT W/H PD: 08/16/202321602001100000 7279431 22,251.67 08/28/202319343912 P E R SWR PERS 1105 07/28/202321611001100000 1002440119 60,010.81 08/28/202319343914 P E R SWR PERS 26565 07/28/202321611001100000 1002440120 46,099.92 08/28/202319344190 P E R SWR Rounding 08/11/202341115001104150 1002440137 0.22 08/28/202319344190 P E R SWR PERS 1105 08/11/202321611001100000 1002440137 59,982.02 08/28/202319344192 P E R SWR PERS 26565 08/11/202321611001100000 1002440138 43,508.18 08/28/202319648420 P E R SWR PERS 1105 07/19/202321611001100000 1002427463 59,134.63 08/28/202319648422 P E R SWR PERS 26565 07/19/202321611001100000 1002427464 45,753.44 08/28/202323215011 I C M A RETIREMENT TRUSTWR Retire Hlth Sv-PayDay 08/02/2321626001100000 6502774 5,537.88 08/28/202323215011 I C M A RETIREMENT TRUSTWR Retire Hlth Sv-PayDay 08/02/2310292006100000 6502774 5,537.88 08/28/202323215011 I C M A RETIREMENT TRUSTWR Retire Hlth Sv-PayDay 08/02/2321622006100000 6502774 -5,537.88 08/28/202328885213 I C M A RETIREMENT TRUSTWR Retire Hlth Sv-PayDay 08/11/2321626001100000 6998953 182.32 08/28/202328885213 I C M A RETIREMENT TRUSTWR Retire Hlth Sv-PayDay 08/11/2310292006100000 6998953 182.32 08/28/202328885213 I C M A RETIREMENT TRUSTWR Retire Hlth Sv-PayDay 08/11/2321622006100000 6998953 -182.32 08/28/202329403347 I C M A RETIREMENT TRUSTWR Retire Hlth Sv-PayDay 08/16/2321626001100000 6219070 5,485.28 08/28/202329403347 I C M A RETIREMENT TRUSTWR Retire Hlth Sv-PayDay 08/16/2310292006100000 6219070 5,485.28 08/28/202329403347 I C M A RETIREMENT TRUSTWR Retire Hlth Sv-PayDay 08/16/2321622006100000 6219070 -5,485.28 08/28/202367265861 STERLING ADMINISTRATIONWR FSA HEALTH CARE 08/02/202321616001100000 717247 2,086.73 08/28/202367265861 STERLING ADMINISTRATIONWR FSA DEPENDANT CARE 08/02/202321616001100000 717247 777.07 08/28/202367266418 STERLING ADMINISTRATIONWR FSA DEPENDANT CARE 08/02/202321616001100000 717677 71.43 08/28/202367268607 STERLING ADMINISTRATIONWR FSA HEALTH CARE 08/16/202321616001100000 718308 2,086.73 08/28/202367268607 STERLING ADMINISTRATIONWR FSA DEPENDANT CARE 08/16/202321616001100000 718308 802.07 08/28/2023Report Date 2Page City & Housing DocuSign Envelope ID: FE617364-93D7-4476-84D3-BA9C65CD0EC9 Page 58 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 8/28/2023 - 8/28/2023 City of Palm Desert Account Number Examined and Approved Total For Bank ID - WR 802,499.14City Manager Examined and Approved Mayor or Mayor Pro-Tem Audited and Found Correct Director of Finance 08/28/2023Report Date 3Page City & Housing DocuSign Envelope ID: FE617364-93D7-4476-84D3-BA9C65CD0EC9 Page 59 of 570 Page 60 of 570 Check DateCheck Number Vendor NameBank ID Check Register Amount PaidInvoiceTransaction Desc 9/19/2023 - 9/19/2023 City of Palm Desert Account Number 09/19/202302000598 CV PIPELINE COMPANYW1 August '23 Weather Spanish Wlk42191001104159 S3221 3,267.75 09/19/202302000599 HORIZON PROFESSIONAL LANDSCAPEW1 August '23 Weather Parking Lot42191001104159 6585 1,190.00 09/19/202302000599 HORIZON PROFESSIONAL LANDSCAPEW1 August '23 Weather Event: Medi42191001104159 6586 590.00 09/19/202302000599 HORIZON PROFESSIONAL LANDSCAPEW1 August '23 Weather Fallen Tree42191001104159 6588 870.00 09/19/202302000599 HORIZON PROFESSIONAL LANDSCAPEW1 August '23 Weather Parking Lot42191001104159 6589 1,270.00 09/19/202302000599 HORIZON PROFESSIONAL LANDSCAPEW1 August '23 Weather Tree Remove42191001104159 6590 445.00 09/19/202302000599 HORIZON PROFESSIONAL LANDSCAPEW1 August '23 Weather Tree Remove42191001104159 6591 512.50 09/19/202302000600 MARTIN SWEEPINGW1 August 23 Weather Tamarisk42191001104159 25073 1,650.00 09/19/202302000601 MOWERS PLUS INCW1 Aug 23 Weather Equipment Suppl42191001104159 278888 860.87 09/19/202302000601 MOWERS PLUS INCW1 Aug 23 Weather Equipment Suppl42191001104159 278889 831.54 09/19/202302000602 SUNBELT RENTALS INCW1 August '23 Weather Equipment42191001104159 143880514-0001 3,565.36 09/19/202302000603 UNITED RENTALSW1 Aug 23 Weather Water Pumping42191001104159 223607303-001 1,706.76 09/19/202302000604 WEST COAST SAND & GRAVEL INCW1 Aug 23 Weather Sand42191001104159 645436 492.90 Examined and Approved Total For Bank ID - W1 17,252.68City Manager Examined and Approved Mayor or Mayor Pro-Tem Audited and Found Correct Director of Finance 09/19/2023Report Date 1Page City & Housing DocuSign Envelope ID: B212EEB6-6501-4B78-8720-198119E03CD4 Page 61 of 570 Page 62 of 570 Page 1 of 1 CITY OF PALM DESERT STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Thomas Soule, Public Affairs Manager REQUEST: ACCEPT RESIGNATION FROM THE EPPBID BOARD OF DIRECTORS RECOMMENDATION: With regret, accept the resignation of Sonia Campbell from the El Paseo Parking and Business Improvement District (EPPBID) Board of Directors. BACKGROUND/ANALYSIS: After many years of service on the EPPBID Board of Directors, Sonia Campbell tendered her resignation on September 11, 2023. When her store, Spectacular Shades, closed on August 31, 2023, Ms. Campbell became ineligible to sit on the board, leading to her resignation. The Board will now seek to fill the empty seat accordin g to its bylaws. FINANCIAL IMPACT: There is no fiscal impact. ATTACHMENT: None. Page 63 of 570 Page 64 of 570 Page 1 of 1 CITY OF PALM DESERT STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Erika Castellano, Assistant to the City Council REQUEST: ACCEPT RESIGNATION FROM THE JOSLYN COVE SENIOR CENTER BOARD RECOMMENDATION: With regret, accept the resignation of Peg Leo from The Joslyn Cove Senior Center Board effective immediately. BACKGROUND/ANALYSIS: In June 2019, the City Council appointed Peggy Leo to The Joselyn Cove Senior Center Board of Directors for a term ending June 30, 2021. Mrs. Leo was subsequently reappointed to a term ending June 30, 2025. On September 18, 2023, Mrs. Leo notified City staff of her resignation from The Joslyn Cove Senior Center Board. As a result of this resignation, The Joslyn Cove Senior Center Board is left with one vacancy for a term ending on June 30, 2025. Legal Review: This report has been reviewed by the City Attorney’s office. FINANCIAL IMPACT: There is no fiscal impact associated with this matter. Page 65 of 570 Page 66 of 570 Page 1 of 1 CITY OF PALM DESERT STAFF REPORT MEETING DATE: October 26, 2023 PREPARED BY: Eric Ceja, Director of Economic Development REQUEST: AUTHORIZE RELEASE OF REQUEST FOR PROPOSALS FOR THE SALE OF CITY-OWNED PARCELS WITH ASSESSORS PARCEL NUMBERS 625-082-022 AND 625-082-023 SUBJECT TO RECEIPT OF A SURPLUS LAND ACT COMPLIANCE LETTER FROM THE DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT RECOMMENDATION: Authorize the release of a Request for Proposals (RFP) for the sale of city-owned parcels with APN(s) 625-082-022 and 625-082-023, subject to receipt of a Surplus Land Act (SLA) compliance letter from the Department of Housing and Community Development (HCD). BACKGROUND/ANALYSIS: On February 28, 2023, City staff released a Notice of Availability (NOA) for the “Wallaroo” parcels (APNs 625-082-022 and 625-082-023) and began negotiations with Steven Walker Communities (SWC) for disposition of the properties. SWC has informed the City that it is no longer interested in acquiring the site and there are no other parties that have expressed interest in the properties through the SLA. City staff is now compiling the necessary information to submit to HCD to obtain authorization to dispose of the properties outside of the SLA process and anticipates approval to do so in December 2023. City staff is aware that other parties are interested in acquiring the site and recommends soliciting proposals for uses that are compatible with the surrounding area and achieve a fair market sales price. Compatible uses include single -family and small multi-family residential, daycare, and recreation. Responses to the RFP will be evaluated based on the highest and best use and fair market value for the property and a recommendation will be brough back to the City Council for consideration. Legal Review: This report has been reviewed by Special Counsel, Mr. Robert Messinger, with Burke Williams Sorenson, LLP (BWS). FINANCIAL IMPACT: There is no fiscal impact associated with this request. ATTACHMENT: Map of APNs 625-082-022 and 625-082-023 Page 67 of 570 Page 68 of 570 EL PASEOPALM DESERT D R NCABRILLO AVEALLEY ALESSANDRO DR PALM DESERT DR S SAN MARINO WAY PALM DESERT DR N CABRILLO AVEALESSANDRO DR HWY 111 HWY 111 Date: 2022 I VICINITY MAP Wallaroo Properties 44911 Cabrillo Avenue APN 625-082-022 44911 Cabrillo Avenue APN 625-082-023 Page 69 of 570 Page 70 of 570 Page 1 of 2 PALM DESERT HOUSING AUTHORITY STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Celina Cabrera, Management Analyst and Ryan Gayler, Capital Projects Manager REQUEST: APPROVE CHANGE ORDER NO. 1 TO CONTRACT HA45140 WITH JACOBSSON ENGINEERING CONSTRUCTION, INC., FOR THE FURNISHING AND INSTALLATION OF 10 CARPORTS AT ONE QUAIL PLACE IN THE AMOUNT OF $601,000 (PROJECT CHA00003) RECOMMENDATION: 1. Approve Change Order No. 1 to Contract HA45140 with Jacobsson Engineering Construction, Inc., for the furnishing and installation of 10 carports at One Quail Place in the amount of $601,000. 2. Authorize additional 10% contingency in the amount of $60,100 for unforeseen conditions. 3. Appropriate $661,100 to Account Number No. 8714195-4331100 from the Housing Authority’s Committed Reserve Funds. 4. Authorize the Executive Director or his designee to take any necessary actions to facilitate the agreement, to execute the Change Order and any documents necessary to effectuate the actions taken herewith. BACKGROUND/ANALYSIS: On April 27, 2023, the Housing Authority approved Contract No. HA45140 for One Quail Place Parking Lot Rehabilitation with Jacobsson Engineering Construction Inc., in the amount of $2,274,467.70 and an additional $454,893.54 contingency for unforeseen conditions. After the award, RPM Company identified 10 carport structures requiring removal due to safety concerns. City Building and Safety Inspectors confirmed the risk of eminent structural integrity failure and immediate removal was required. On June 22, 2023, the Housing Authority ratified Contract No. HA45110 with Demo Unlimited for the emergent carport removals in the amount of $51,683.55. This Change Order request is for the furnishing and installation of 10 carport structures, to replace the 10 carports that were removed in June. The contractor has provided a cost proposal in the amount of $601,000 for the work. The contractor has requested that 35 days be added to the contract to obtain the materials and construct the additional structures. Legal Review: This report has been reviewed by the City Attorney’s office. Page 71 of 570 Palm Desert Housing Authority Approve Change Order No. 1 to Contract HA45140 for Carports at One Quail Place Page 2 of 2 Appointed Body Recommendation: The Housing Commission will review this recommendation at its regular meeting on October 11, 2023. Upon request, a verbal report will be provided at the Authority’s regular meeting on October 12, 2023 FINANCIAL IMPACT: The approval of this change order will require an appropriation in a total amount of $661,100, $601,000 for the change order and $60,100 for contingency, from the Housing Authority’s Committed Reserve Funds to Account No. 8714195-4331100. The contract amount for Contract HA45140 will be increased from $2,274,467.70 to 2,875,467.70. Contingency amount increased from $454,893.54 to $514,993.54 for unforeseen conditions. There is no financial impact to the City’s General Fund. ATTACHMENTS: 1. Change Order No. 1 2. Jacobsson Engineering Construction Inc.’s Cost Proposal (dated July 6, 2023) Page 72 of 570 CITY OF PALM DESERT CONTRACT CHANGE ORDER Contractor shall construct, furnish all supervision, labor, services, equipment and materials, and perform all work necessary or required to fully complete the changes to the Contract described in this Change Order for the amount agreed upon between the Contractor and the City of Palm Desert (“City”). Contract Time Extension Revised Contract Time Attachments 1. Justification Description of Changes Decrease In Contract Price Increase In Contract Price Totals: Net Change in Contract Price: Contract No / P.O. #: Change Order No.: Contingency: YES NO Account No.: Project No.: Vendor No.: Contract Name (“Contract”): Contractor Name (“Contractor”): Change Order Date: P116369HA45140 1 CHA0008 8714195-4331100 V0002883 Contract for Construction Jacobsson Engineering Construction, Inc. October 12, 2023 $601,000Furnish and install 10 carports located at One Quail Place $601,000 Cost Proposal $601,000 After the award of the inital agreement in April 2023, 10 carports were identified as being at risk of emminetfailure and were removed in June 2023. This Change Order is to furnish and install the 10 carports that wereremoved. 35 additional days 100 days from commencement Page 73 of 570 Contract No. _________ Contract Change Order No. ___ Continued from Front In consideration of the change(s) described above, the Contract Price is adjusted as follows: The original Contract Price was $_____________________ Net change by previously authorized Change Orders $_____________________ The Contract Price prior to this Change Order was $_____________________ The Contract Price will be changed by this Change Order in the amount of $_____________________ The new Contract Price including this Change Order will be $_____________________ The amount of the Contract will be increased by the sum of: __________________________________________________________ dollars and ___/100 ($___________) Contractor accepts the terms and conditions stated above as full and final settlement of any and all claims arising out of or related to the subject of this Change Order and acknowledges that the compensation (time and cost) set forth herein comprises the total compensation due for the work or change defined in the Change Order, including all impact on any unchanged work. Execution of this Change Order by the Contractor constitutes a binding accord and satisfaction that fully satisfies, waives, and releases the City from all claims, demands, costs, and liabilities, in contract, law or equity, arising out of or related to the subject of the Change Order, whether known or unknown, including but not limited to direct and indirect costs and/or damages for delay, disruption, acceleration, loss of productivity, and stacking of trades, as well as any and all consequential damages. The adjustments to the Contract Price and Contract Time in this Change Order constitute the entire compensation and/or adjustment thereto due to Contractor, including but not limited to all direct, indirect, consequential, profit, labor, equipment, tools, idle time, incidentals, and overhead (field and home office) costs, due to Contractor arising out of or related to the change in the Work covered by this Change Order. The Contractor hereby releases and agrees to waive all rights, without exception or reservation of any kind whatsoever, to file any further claim or request for equitable adjustment of any type, for any reasonably foreseeable cause that shall arise out of, or as a result of, this Change Order and/or its impact on the remainder of the work under the Contract. This Change Order will become a supplement to the Contract and all provisions will apply hereto. 1. REQUESTED BY: ______________________ Department Director 2. ACCEPTED BY: ______________________ Contractor 3. CERTIFIED FUNDS AVAILABLE: ______________________ Finance Director 4. APPROVED BY: ______________________ City Manager NOTE: No payments will be made prior to City Manager and Council approval QC: _____ 2,274,467.70 0 2,274,467.70 601,000 2,875,467.70 Six hundred and one thousand 00 601,000 HA45140 1 Page 74 of 570 Page 75 of 570 Page 76 of 570 Page 1 of 1 PALM DESERT HOUSING AUTHORITY STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Celina Cabrera, Management Analyst REQUEST: AUTHORIZE AN INCREASE TO THE NOT TO EXCEED AMOUNT FOR HD SUPPLY FACILITIES MAINTENANCE, LTD., IN THE AMOUNT OF $10,000 FOR FISCAL YEAR 2022/23 RECOMMENDATION: Authorize an increase of $10,000 to the not to exceed amount of HD Supply Facilities Maintenance in Fiscal Year 2022/23 for an aggregate amount of $220,000. BACKGROUND/ANALYSIS: On May 22, 2022, the Housing Authority authorized the use of HD Supply Facilities Maintenance (“HD Supply”) for the purchase of materials and supplies pursuant to the Palm Desert Municipal Code Section 3.30.160 with a not to exceed amount of $210,000 for FY 2022/23. HD Supply is utilized by the Authority for the purchase of a variety of materials and supplies, including office supplies, janitorial/cleaning supplies, plumbing, window coverings, lighting, ceiling fans, cabinets, and countertops for the management and operation of the Authority’s 15 properties. The budget is monitored by RPM Company. After a recent informal audit, in late June 2023, it was discovered that HD Supply was c lose to meeting their allowed not to exceed amount of $210,000 due to an increase in cost of items plus the compounding increase of unit turnovers. Purchases from HD Supply were stopped; However, additional invoices were issued and the not to exceed is ove r-expended. An increase in not-to-exceed amount is necessary to close the invoices accrued in FY 2022/23. Legal Review: This report has been reviewed by the City Attorney’s office. Appointed Body Recommendation: The Housing Commission will review this recommendation at its regular meeting on October 11, 2023. Upon request, a verbal report will be provided at the Authority’s regular meeting on October 12, 2023 FINANCIAL IMPACT: The financial impact of the authorization to the request would result in an increased not to exceed amount for HD Supply Facilities Maintenance, LTD in FY 2022/23 to $220,000. Authorization does not require an appropriation and does not impact the General Fund. Page 77 of 570 Page 78 of 570 Page 1 of 2 PALM DESERT HOUSING AUTHORITY STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Celina Cabrera, Management Analyst REQUEST: HOUSING AUTHORITY - AUTHORIZE THE USE OF QUILL, LLC, AND NATIONAL SERVICES COMPANY DBA WAXIE SANITARY SUPPLY FOR THE PURCHASE OF OFFICE, JANITORIAL, AND SANITARY SUPPLIES FOR THE PALM DESERT HOUSING AUTHORITY FOR FISCAL YEAR 2023/24 RECOMMENDATION: 1. Authorize the use of, and establish an account with, Quill, LLC, for the purchase of office supplies for the management of the Housing Authority properties pursuant to Section 3.30.160 (E) of the Palm Desert Municipal Code in an amount not to exceed $53,700 for Fiscal Year 2023/24. 2. Authorize the use of, and establish an account with, National Services Company dba Waxie Sanitary Supply for the purchase of janitorial and sanitary supplies for the Housing Authority properties pursuant to Section 3.30.160 (E) of the Palm Desert Municipal Code in an amount not to exceed $32,340 for Fiscal Year 2023/24. BACKGROUND/ANALYSIS: Palm Desert Housing Authority (“Authority”) purchases office supplies, janitorial, and sanitary supplies for the management of its 15 properties to include items such as paper, ink, wr iting material, cleaning, sanitary supplies, etc. Palm Desert Municipal Code Section 3.30.160(E) allows participation in cooperatives when a competitive bid has already been completed. Since 2012, the Authority has secured national government cooperative pricing as members of the national cooperative Omnia Partners, Inc. (“Omnia”). Quill, LLC, and National Services Company dba Waxie Sanitary Supply are successful national contract holders and have confirmed to extend the national cooperative contract pric ing and terms to the Authority. A copy of the Omnia agreement with the respective vendors is on file with the City Clerk’s Office. Legal Review: This report has been reviewed by the City Attorney’s office. Appointed Body Recommendation: The Housing Commission will review this recommendation at its regular meeting on October 11, 2023. Upon request, a verbal report will be provided at the Authority’s regular meeting on October 12, 2023. FINANCIAL IMPACT: Page 79 of 570 Palm Desert Housing Authority Authorize the Use of Quill and Waxie for PDHA FYE 2024 Page 2 of 2 Funds have been included in Housing Authority FY 2023/24 Approved Budget in the appropriate Authority accounts for each of the properties. There is no financial impact to the General Fund from this action. ATTACHMENTS: 1. Omnia Partners Participation Letter- Quill, LLC 2. Omnia Partners Participation Letter- National Services Company dba Waxie Sanitary Supply Page 80 of 570 Page 81 of 570 Page 82 of 570 Page 83 of 570 Page 84 of 570 Page 1 of 1 CITY OF PALM DESERT STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Anthony J. Mejia, City Clerk REQUEST: RATIFY A LETTER OF SUPPORT FOR COACHELLA VALLEY ASSOCIATION OF GOVERNMENTS’ RECONNECTING COMMUNITIES PROGRAM FUNDING REQUEST FOR THE ACCESS INDIAN CANYON DRIVE PROJECT RECOMMENDATION: Ratify a letter of support for the Coachella Valley Association of Governments’ (CVAG) Reconnecting Communities Program funding request for the ACCESS Indian Canyon Drive Project. BACKGROUND/ANALYSIS: The Office of the Secretary of Transportation (OST) released a Notice of Funding Opportunity for the Reconnecting Communities and Neighborhoods (RCN) Program. Funds for the Fiscal Year 2023 RCN Program will be awarded on a competitive basis for projects that advance community- centered connection transportation projects, with a priority for projects that benefit disadvantaged communities, by improving access to daily needs such as jobs, education, health care, food, nature and recreation; fostering equitable development and restoration; and reconnecting communities by removing, retrofitting, or mitigating highways or other transportation facilities that create barriers to community connectivity, including to mobility, access, or economic development. The deadline to submit funding applications was September 28, 2023. The City Council previously ratified a letter of support f or a funding request from the California Transportation Commission’s Local Transportation Climate Adaptation Program for the same project. Specifically, the proposed project is to make improvements that increase the resiliency of Indian Canyon Drive that help to decrease road closures due to flood and sandstorm events. Due to the time sensitivity of this matter, the Legislative Review Committee (Mayor Kelly and Mayor Pro Tem Quintanilla) authorized issuance of the letter and the City Council is requested to ratify the attached letter. Legal Review: This report has been reviewed by the City Attorney’s office. FINANCIAL IMPACT: There is no fiscal impact associated with issuance of the proposed letter. ATTACHMENT: Letter of Support Page 85 of 570 Page 86 of 570 C I T Y O F P A L M D E S E R T 73-510 FRED WARING DRIVE PALM DESERT, CALIFORNIA 92260-2578 TEL: 760-346-0611 INFO@CITYOFPALMDESERT.ORG September 21, 2023 The Honorable Pete Buttigieg Secretary of Transportation 1200 New Jersey Ave, SE Washington, DC 20590 Re: CVAG’s ACCESS Indian Canyon Drive Project – Support Dear Mr. Secretary: I am writing on behalf of the City of Palm Desert to express our strong support of the Coachella Valley Association of Governments’ (CVAG) application to the United States Department of Transportation’s Reconnecting Communities and Neighborhoods (RCN) Program. CVAG’s Addressing Climate Change, Emergencies and Sand Storms (ACCESS) project aims to protect vulnerable communities from frequent and prolonged road closures on Indian Canyon Drive caused by weather events. Frequent sandstorms, including haboobs, cause zero visibility for drivers and reduced tractions. In addition, rainfall easily creates flooding, which can close the road for days. If awarded funds from the RCN program, CVAG's ACCESS project will help make resiliency improvements to Indian Canyon Dr ive, enhancing public health and safety while improving the quality of life for residents and visitors in the Coachella Valley. Addressing this issue is crucial as climate change continues to adversely impact our desert environment, leading to more extreme weather events like flooding and sandstorms. These natural occurrences cause significant damage to our roads, disrupting transportation networks and negatively affecting the lives of residents, businesses, and visitors. The closure of Indian Canyon Drive, for example, cuts off access to job centers, schools, childcare, essential goods, and medical services, including the region's sole Level 1 Trauma Center, Desert Regional Medical Center. Delays resulting from detours during medical emergencies can be a matter of life or death. During severe winds or flooding, our first responders are tasked with rescuing drivers who become stuck in the sand, mud, and dangerous currents. Visitors to the Coachella Valley who are unaware of the dangers presented by Indian Canyon are at great risk when they try to circumvent barriers. Implementing a dedicated program to tackle these challenges is crucial to safeguarding the accessibility and safety of our road infrastructure, ensuring that our community remains protected, connected, and resilient even in the face of changing climatic conditions. CVAG's ACCESS project represents a vital step towards building a resilient transportation system capable of withstanding the challenges posed by climate change and ensuring the well-being of our community. Therefore, we wholeheartedly support CVAG's application to the RCN program for the ACCESS Indian Canyon Drive project and eagerly anticipate your favorable consideration. Sincerely, Kathleen Kelly, Mayor City of Palm Desert Page 87 of 570 Page 88 of 570 From:Brad Anderson To:CouncilMeeting Comments; CouncilMeeting Comments Subject:Public Comment - Agenda Item: 13.i (Palm Desert City Council meeting of October 12, 2023) Date:Saturday, October 7, 2023 7:06:55 PM October 7, 2023 City of Palm Desert City Council/City Hall Chamber 73510 Fred Waring Dr. Palm Desert, CA. Attn: City Clerk/City Council/General Public Re: Written letter to be entered in the Public record and made available for public Inspection for the October 12, 2023 - Palm Desert City Council meeting (Agenda Item: 13.i - Letter of support for City of Palm Springs (OTS) resources) Dear current City Council members, It's unreasonable to consider that the City's assigned Legislative Review committee (Council members Kelly & Quintanilla) have the BEST Interests for City's Residents and Businesses when they have drafted a political aspired letter to the Office of the Secretary of Transportation (OST) dated September 21, 2023. City's own staff report states that the final date for (OST) requests for funding form the "Reconnecting Communities and Neighborhoods program (RCN) was on September 28, 2023. The date of October 12, 2023 is when those two (2) City Council members have requested other City elected officials to support a letter that has misrepresented that Palm Springs region and promotes a narrative of "Climate change" in an potential attempt to "fear monger" and gain political favor. It's been repeatedly demonstrated that the current Palm Desert City Council has been unsuccessful In It's own operations within its boundaries. The Coachella Valley Association of Government (CVAG) has been compromised by its organization structure to promote and fund social Issues over quality of life issues for Coachella Valley Resident's and Businesses. CVAG administered a online survey prior to this official request for funding for the City of Palm Springs asking for written comments on the Indian Canyon Dr. Roadway - and a chance to win a "Gift Card". That survey had several misleading and unavoidable questions that would ONLY support the proposed Bridge(s) and other unnecessary addiction expenses to the Indian Canyon Drive roadway (Very deceptive survey to gain support from everyone that participated). Please consider NOT supporting the Citys letter that was clearly written to be deceptive in nature. It's critical that the current City Council members represent their Resident's by NOT submitting a letter to the (OST). Please consider writing Individual letters if desired like many Local residents will be doing - Sincerely, Brad Anderson | Rancho Mirage, CA. | Cc:11] Page 89 of 570 Page 90 of 570 Page 1 of 1 CITY OF PALM DESERT STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Michelle Nance, Deputy Clerk, I REQUEST: RECEIVE AND FILE THE INVESTMENT REPORT, GENERAL FUND, PARKVIEW OFFICE COMPLEX, AND DESERT WILLOW GOLF RESORT FINANCIAL REPORTS FOR YEAR ENDING JUNE 30, 2023, AND MONTH ENDING AUGUST 30, 2023 RECOMMENDATION: Receive and file the monthly Investment Report, General Fund, Parkview Office Complex, and Desert Willow Golf Resort Financial Reports for the year ending June 30, 2023, and month ending August 30, 2023. BACKGROUND/ANALYSIS: On September 26, 2023, the Finance Committee reviewed the financial reports for the year ending June 30, 2023 and month ending August 30, 2023. The Finance Committee reviews the reports on a bi-monthly basis and then the reports are forwarded to the City Council. Staff recommends the reports be received and filed. FINANCIAL IMPACT: There is no financial impact with this action . ATTACHMENTS: Investment Report, General Fund, Parkview Office Complex, and Desert Willow Golf Resort Financial Reports for the year ending June 30, 2023, and month ending August 30, 2023. Page 91 of 570 Page 92 of 570 City of Palm Desert Investments Summary Through June 2023 The City’s investment portfolio is detailed below. Investment transactions were executed in accordance with the California State Government Code, the City’s Investment Policy and all bond indentures. Investment Portfolio: $ Millions Beginning Ending Book Value Purchases & Redemptions & Book Value % of Asset Class 5/1/2023 Deposits Withdrawals 6/30/2023 Portfolio Agencies 30.97$ -$ -$ 30.97$ 10% Corporates 30.00$ -$ -$ 30.00$ 9% Negotiable CD's -$ -$ -$ -$ 0% CAMP Pool 157.42$ 1.37$ -$ 158.79$ 49% LAIF Pool 20.66$ 0.16$ -$ 20.82$ 6% County Pool 2.50$ -$ -$ 2.50$ 1% Custodian ®64.26$ 0.48$ -$ 64.74$ 20% Trustee ®2.95$ -$ -$ 2.95$ 1% Cash 12.78$ 39.00$ 36.79$ 14.99$ 5% Total 321.54$ 41.01$ 36.79$ 325.76$ 100% ® = Restricted funds based upon bond indenture terms. The City Union Bank checking accounts merged with US Bank in May. Additionally, the City opened new checking accounts with Wells Fargo in May. Cash Deposit and Withdrawal amounts include US Bank to Wells Frago balance transfers as well as sweep account transfers which earned at a fund Yield of 4.95% in June. Major changes to the portfolio over the reporting period include California sales tax of $4.5 M, property taxes of $1.9 M, and Measure A of $.30 M received by the City. Portfolio Allocations, Maturities and Performance: 59% 22% 10% 10% Local Govt Restricted Custody/Trus… Corporate Agency Investment Allocation - 2 4 6 9M 1Y 2Y 3Y 4Y 5Y Investment Maturity 0 2 4 6 1-Jan 1-Feb 1-Mar 1-Apr 1-May 1-Jun Performance - Total Porfolio City Yield LAIF Yield 1Y T-Bill CAMP DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 93 of 570 CITY OF PALM DESERT Portfolio Management June 30, 2023 Portfolio Summary % of Portfolio Book ValueInvestmentsMarket Value Par Value Term Days to Mat./Call YTM/C 365 Equiv. CAMP 158,792,423.09 151.09 5.2401158,792,423.09158,792,423.09 FEDERAL AGENCY - COUPON 13,997,213.17 1994.50 0.43983013,465,070.0014,000,000 00 LAIF 20,817,543.64 16.70 3.150120,817,543.6420,817,543.64 FEDERAL AGENCY - CALLABLE 16,984,552.57 2925.47 0.42793016,219,810.0017,000,000 00 TRUSTEE CASH BALANCES 2,948,750.21 10.95 0.28412,948,750.212,948,750 21 MEDIUM-TERM NOTES 29,997,105.92 6509.65 2.9171,11829,188,710.0030,000,000 00 CUSTODIAN PROJECT FUNDS 64,741,624.30 120.83 4.920164,741,624.3064,741,624 30 RIVERSIDE COUNTY POOL 2,504,768.68 10.81 3.86012,504,768.682,504,768.68 310,783,981.58 100.00%Investments 308,678,699.92310,805,109.92 88 197 4.272 Cash (not included in yield calcula ions) Passbook/Checking 14,985,060.36 1 0.000114,985,060.3614,985,060 36 325,769,041.94Total Cash and Investments 323,663,760.28325,790,170.28 88 197 4.272 Current Year June 30 1,087,906.41 Fiscal Year To Date 9,507,939.23 9,507,939.23 Fiscal Year Ending Average Daily Balance Effective Rate of Return 327,070,790.49 4.05% Total Earnings Month Ending This investment portfolio is in compliance with the provisions of California Government Code Section 53601 and the City of Palm Desert investment policy. Barring unforeseen events, it has sufficient cash to fund city expenditures for the next six months. US Bank Custody Services has provided market value prices for all corporate securities. All balances are bank balances. The "% of Portfolio" calculation on the Portfolio Summary page omits demand deposits. __________________________________________________ ____________________ Veronica Chavez, Finance Director Portfolio CITY AP Reporting period 06/01/2023-06/30/2023 Run Date: 09/11/2023 - 09:45 PM (PRF_PM1) 7.3.11 Report Ver. 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E 9/21/2023 Page 94 of 570 YTM/C 365 Page 1 Par Value Book Value Maturity Date Stated RateMarket Value June 30, 2023 Portfolio Details - Investments Average BalanceIssuer Portfolio Management CITY OF PALM DESERT Days to Mat./CallMoody'sCUSIPInvestment # Purchase Date CAMP 5.240C.A.M.P. POOL (CITY)13 154,438,584.68 154,438,584.68 5.240154,438,584.68SYS13 1 5.240C.A.M.P. POOL (DESERT WILLOW)12444 4,353,838.41 4,353,838.41 5.2404,353,838.41SYS12444 1 158,792,423.09158,792,423.09158,792,423.09158,133,720.55Subtotal and Average 5.240 1 U.S. BANK / LAIF BOND PROCEEDS 0.203LOCAL AGENCY INVESTMENT FUND12-33-084 0.00 0.00 0.2030.00252026003 1 0.000.000.000.00Subtotal and Average 0.000 0 FEDERAL AGENCY - COUPON 0.505FEDERAL HOME LOAN BANK664 3,000,000.00 2,999,816.54 10/28/20240.50007/28/2021 2,833,650.00 Aaa3130ANAC4 485 0.500FEDERAL HOME LOAN BANK710 5,000,000.00 5,000,000.00 12/08/20230.50011/04/2021 4,830,800.00 Aaa3130APR72 160 0.360FEDERAL HOME LOAN MTG CORP706 3,000,000.00 2,997,952.72 10/16/20230.12510/21/2021 2,893,710.00 Aaa3137EAEY1 107 0.350FEDERAL HOME LOAN MTG CORP707 3,000,000.00 2,999,443.91 09/08/20230.25010/21/2021 2,906,910.00 Aaa3137EAEW5 69 13,997,213.1713,465,070.0014,000,000.0013,996,804.52Subtotal and Average 0.439 199 LAIF 3.150LOCAL AGENCY INVESTMENT FUND12000 20,817,543.64 20,817,543.64 3.15020,817,543.6412000 1 20,817,543.6420,817,543.6420,817,543.6420,660,775.78Subtotal and Average 3.150 1 FEDERAL AGENCY - CALLABLE 0.520FEDERAL FARM CREDIT BANK668 5,000,000.00 4,985,335.03 12/23/20240.32009/14/2021 4,655,800.00 Aaa3133EMLP5 541 0.370FEDERAL FARM CREDIT BANK698 3,000,000.00 2,999,727.50 10/20/20230.34010/20/2021 2,908,920.00 Aaa3133ENBN9 111 0.331FEDERAL FARM CREDIT BANK699 3,000,000.00 2,999,490.04 10/12/20230.27010/19/2021 2,901,330.00 Aaa3133ENAU4 103 0.400FEDERAL HOME LOAN BANK660 3,000,000.00 3,000,000.00 07/29/20240.40007/29/2021 2,854,620.00 Aaa3130AN7K0 394 0.450FEDERAL HOME LOAN BANK708 3,000,000.00 3,000,000.00 11/24/20230.45011/24/2021 2,899,140.00 Aaa3130APMC6 146 16,984,552.5716,219,810.0017,000,000.0016,984,043.41Subtotal and Average 0.427 292 TRUSTEE CASH BALANCES 0.030GOLDMAN SACHS GOVERNMENT FUND382 0.00 0.00 0.0300.00 Aaa252026000-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND383 0.00 0.00 0.03007/01/2022 0.00 Aaa252026001-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND384 0.00 0.00 0.0300.00 Aaa252026002-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND385 0.00 0.00 0.0300.00 Aaa252026003-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND386 0.00 0.00 0.0300.00 Aaa252026004-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND401 0.00 0.00 0.0300.00 Aaa252026017-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND402 0.00 0.00 0.0300.00 Aaa252026018-G 1 Portfolio CITY AP Run Date: 09/11/2023 - 09:45 PM (PRF_PM2) 7.3.11 Report Ver. 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 95 of 570 YTM/C 365 Page 2 Par Value Book Value Maturity Date Stated RateMarket Value June 30, 2023 Portfolio Details - Investments Average BalanceIssuer Portfolio Management CITY OF PALM DESERT Days to Mat./CallMoody'sCUSIPInvestment # Purchase Date TRUSTEE CASH BALANCES 5.020GOLDMAN SACHS GOVERNMENT FUND404 27.47 27.47 5.02027.47 Aaa260128000-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND405 0.00 0.00 0.03007/01/2022 0.00 Aaa260128001-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND407 0.00 0.00 0.03007/01/2022 0.00 Aaa260128002-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND408 0.00 0.00 0.03007/01/2022 0.00 Aaa260128003-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND409 0.00 0.00 0.03007/01/2022 0.00 Aaa260128004-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND410 0.00 0.00 0.0300.00 Aaa260128005-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND412 0.00 0.00 0.0300.00 Aaa260128006-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND414 0.00 0.00 0.0300.00 Aaa260128007-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND415 0.00 0.00 0.0300.00 Aaa260128008-G 1 5.020GOLDMAN SACHS GOVERNMENT FUND416 143.83 143.83 5.020143.83 Aaa260128009-G 1 5.020GOLDMAN SACHS GOVERNMENT FUND417 853.68 853.68 5.020853.68 Aaa260128010-G 1 5.020GOLDMAN SACHS GOVERNMENT FUND418 165,719.72 165,719.72 5.020165,719.72 Aaa260128011-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND419 0.00 0.00 0.0300.00 Aaa261470000-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND420 0.00 0.00 0.0300.00 Aaa261470001-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND421 0.00 0.00 0.0300.00 Aaa261470002-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND671 43.72 43.7243.72 Aaa263346000-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND672 0.50 0.5007/01/2022 0.50 Aaa263346001-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND673 0.19 0.190.19 Aaa263346002-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND674 874,214.36 874,214.36874,214.36 Aaa263346003-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND675 0.00 0.00 0.03007/01/2022 0.00 Aaa263346004-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND676 0.94 0.94 0.03007/01/2022 0.94 Aaa263346005-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND677 0.00 0.000.00 Aaa263346006-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND678 1.53 1.531.53 Aaa263346007-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND679 1.69 1.69 0.03007/01/2022 1.69 Aaa263599000-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND680 81.25 81.2507/01/2022 81.25 Aaa263599001-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND682 1,416,852.99 1,416,852.991,416,852.99 Aaa263599002-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND683 0.00 0.000.00 Aaa263599003-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND684 0.00 0.00 0.03007/01/2022 0.00 Aaa269048000-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND685 19.62 19.6219.62 Aaa271146000-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND687 0.10 0.1007/01/2022 0.10 Aaa271146001-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND688 0.03 0.03 0.03007/01/2022 0.03 Aaa271146002-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND689 468,407.70 468,407.70468,407.70 Aaa271146003-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND690 0.00 0.00 0.03007/01/2022 0.00 Aaa271146004-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND691 0.70 0.70 0.03007/01/2022 0.70 Aaa271146005-G 1 0.000GOLDMAN SACHS GOVERNMENT FUND692 0.00 0.000.00 Aaa271146006-G 1 0.030GOLDMAN SACHS GOVERNMENT FUND693 0.00 0.00 0.03007/01/2022 0.00 Aaa277580000-G 1 Portfolio CITY AP Run Date: 09/11/2023 - 09:45 PM (PRF_PM2) 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 96 of 570 YTM/C 365 Page 3 Par Value Book Value Maturity Date Stated RateMarket Value June 30, 2023 Portfolio Details - Investments Average BalanceIssuer Portfolio Management CITY OF PALM DESERT Days to Mat./CallMoody'sCUSIPInvestment # Purchase Date TRUSTEE CASH BALANCES 0.005GOLDMAN SACHS GOVERNMENT FUND744 22,380.19 22,380.19 0.00522,380.19 Aaa263599004 1 2,948,750.212,948,750.212,948,750.212,948,063.13Subtotal and Average 0.284 1 MEDIUM-TERM NOTES 0.450AMAZON.COM INC.662 3,000,000.00 3,000,000.00 05/12/20240.45007/19/2021 2,852,400.00 A023135BW5 316 0.500CATERPILLAR FINANCIAL SERVICES697 3,000,000.00 2,998,687.54 05/17/20240.45010/08/2021 2,841,930.00 A14913R2L0 321 5.250Freddie Mac760 5,000,000.00 5,000,000.00 12/30/20245.25012/30/2022 5,000,000.00 Aaa3134GYAB8 548 6.750GOLDMAN SACHS GOVERNMENT FUND752 5,000,000.00 5,000,000.00 10/29/20276.75010/31/2022 5,000,000.00 A238150APM1 1,581 3.999MORGAN STANLEY747 5,000,000.00 5,000,000.00 07/23/20254.00009/01/2022 5,000,000.00 A16174468C6 753 0.500TOYOTA MOTOR CREDIT CORP658 3,000,000.00 3,000,000.00 06/18/20240.50006/18/2021 2,831,460.00 A89236TJH9 353 0.530TOYOTA MOTOR CREDIT CORP659 3,000,000.00 2,999,135.77 06/18/20240.50007/08/2021 2,831,460.00 A89236TJH9 353 0.525TOYOTA MOTOR CREDIT CORP667 3,000,000.00 2,999,282.61 06/18/20240.50009/14/2021 2,831,460.00 A89236TJH9 353 29,997,105.9229,188,710.0030,000,000.0029,996,979.61Subtotal and Average 2.917 650 CUSTODIAN PROJECT FUNDS 4.920FIRST AMERICAN US TREASURY MMF647 6,008,950.46 6,008,950.46 4.9206,008,950.46 Aaa6736302420-G 1 4.920FIRST AMERICAN US TREASURY MMF648 26,204,708.31 26,204,708.31 4.92026,204,708.31 Aaa6736302430-G 1 4.920FIRST AMERICAN US TREASURY MMF649 12,405,185.02 12,405,185.02 4.92012,405,185.02 Aaa6736302440-G 1 4.920FIRST AMERICAN US TREASURY MMF650 20,122,780.51 20,122,780.51 4.92020,122,780.51 Aaa6736302450-G 1 64,741,624.3064,741,624.3064,741,624.3064,501,303.53Subtotal and Average 4.920 1 RIVERSIDE COUNTY POOL 3.860POOLED INVESTMENT FUND052460 2,504,768.68 2,504,768.68 3.8602,504,768.68 Aaa052460 1 2,504,768.682,504,768.682,504,768.682,504,768.68Subtotal and Average 3.860 1 CUSTODIAN PROJECT FUNDS 0.010GOLDMAN SACHS TREASURY FUND498 0.00 0.00 0.0100.00 Aaa6736302420 1 0.010GOLDMAN SACHS TREASURY FUND499 0.00 0.00 0.0100.00 Aaa6736302430 1 0.010GOLDMAN SACHS TREASURY FUND500 0.00 0.00 0.0100.00 Aaa6736302440 1 0.010GOLDMAN SACHS TREASURY FUND501 0.00 0.00 0.0100.00 Aaa6736302450 1 0.000.000.000.00Subtotal and Average 0.000 0 Portfolio CITY AP Run Date: 09/11/2023 - 09:45 PM (PRF_PM2) 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 97 of 570 YTM/C 365 Page 4 Par Value Book Value Stated RateMarket Value June 30, 2023 Portfolio Details - Investments Average BalanceIssuer Portfolio Management CITY OF PALM DESERT Days to Mat./CallMoody'sCUSIPInvestment # Purchase Date 327,070,790.49 310,805,109.92 4.272 88308,678,699.92 310,783,981.58Total and Average Portfolio CITY AP Run Date: 09/11/2023 - 09:45 PM (PRF_PM2) 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 98 of 570 YTM/C 365 Page 5 Par Value Book Value Stated RateMarket Value June 30, 2023 Portfolio Details - Cash Average BalanceIssuer Portfolio Management CITY OF PALM DESERT Days to Mat./CallMoody'sCUSIPInvestment # Purchase Date CUSTODIAN PROJECT FUNDS 0.000CITY OF PALM DESERT753 0.00 0.0010/27/2022 0.00SYS753 1 UNION BANK CHECKING ACCOUNTS 0.000CITY OF PALM DESERT MAIN13016 0.00 0.000.00SYS13016 1 0.000DESERT WILLOW GOLF COURSE13013 0.00 0.0007/01/2022 0.00SYS13013 1 0.000PUBLIC SAFETY CHECKING602 0.00 0.0007/01/2022 0.00SYS602 1 0.000RECREATIONAL FACILITIES CORP13020 0.00 0.0007/01/2022 0.00SYS13020 1 0.000US Bank 1101 10,086,424.15 10,086,424.1505/26/2023 10,086,424.15SYS9121 1 0.000US Bank 1DW102 862,387.05 862,387.0505/26/2023 862,387.05SYS9154 1 0.000US Bank 1PDRFC103 613,463.61 613,463.6105/26/2023 613,463.61SYS9162 1 0.000US Bank 1PUBSAF107 1,136,961.77 1,136,961.7705/26/2023 1,136,961.77SYS4316 1 0.000WELLS FARGO BANKWFDW111 1,257,616.39 1,257,616.3905/24/2023 1,257,616.39 A1SYS6359 1 0.000WELLS FARGO BANKWFMAIN108 231,961.00 231,961.0005/19/2023 231,961.00 A1SYS6391 1 0.000WELLS FARGO BANKWFPDRFC112 796,246.39 796,246.3905/24/2023 796,246.39 A1SYS6342 1 0.00 327,070,790.49 325,790,170.28 4.272 88 1Average Balance 323,663,760.28 325,769,041.94Total Cash and Investments Portfolio CITY AP Run Date: 09/11/2023 - 09:45 PM (PRF_PM2) 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 99 of 570 CITY OF PALM DESERT LONG-TERM LOANS RECEIVABLE June 30, 2023 11-Sep-23 12:50 PM SymPro Book Stated No.Investment Value Maturity Date Interest Rate 1 City Loan to RDA*-$ N/A 0.20% 348 EIP Loan **1,053,000.00$ 09/02/34 7.00% 594 Highlands Utility Undergrounding ***42,270.34$ 09/02/36 5.35% Assessment District 04-01 Deferred Loan Footnotes *On May 17, 2019, the California State Department of Finance (DOF) denied the 1986 City Loan in the principal amount of $6,000,000 as an enforceable obligation of the Successor Agency of the Palm Desert Redevelopment Agency. Several attempts have been made to challenge this decision. The DOF, however, continues to maintain its position and its interpretation of the dissolution law as it relates to the loans. ** EIP balance adjustments made on March 2 and on September 2 of each year. *** Highlands balance adjustments made on March 2 and on September 2 of each year. DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 100 of 570 PALM DESERT HOUSING AUTHORITY Portfolio Management June 30, 2023 Portfolio Summary % of Portfolio Book ValueInvestmentsMarket Value Par Value Term Days to Mat./Call YTM/C 365 Equiv. CAMP 50,910,721.38 198.08 5.240150,910,721.3850,910,721.38 LAIF 998,018.16 11.92 3.3601998,018.16998,018.16 51,908,739.54 100.00%Investments 51,908,739.5451,908,739.54 1 1 5.204 Cash (not included in yield calculations) Passbook/Checking 5,164,918.74 1 0.00015,164,918.745,164,918.74 57,073,658.28Total Cash and Investments 57,073,658.2857,073,658.28 1 1 5.204 Current Year June 30 221,090.67 Average Daily Balance Effective Rate of Return 56,887,871.97 4.73% Total Earnings Month Ending This investment portfolio complies with the provisions of California Government Code Section 53601 and the City of Palm Desert investment policy. Barring unforeseen events, it has sufficient cash to fund Housing Authority operations for the next six months. All balances are bank balances. The "% of Portfolio" calculation on the Portfolio Summary page omits demand deposits. __________________________________________________ ____________________ Veronica Chavez, Finance Director Portfolio HA AP Reporting period 06/01/2023-06/30/2023 Run Date: 09/11/2023 - 09:48 PM (PRF_PM1) 7.3.11No fiscal year history available Report Ver. 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E 9/21/2023 Page 101 of 570 Days to Mat./Call Page 1 Par Value Book Value Maturity Date Stated RateMarket Value June 30, 2023 Portfolio Details - Investments Average BalanceIssuer Portfolio Management PALM DESERT HOUSING AUTHORITY YTM/C 365Moody'sCUSIPInvestment # Purchase Date CAMP 1CA ASSET MANAGEMENT PROGRAM12008 50,910,721.38 50,910,721.38 5.24050,910,721.38SYS12008 5.240 50,910,721.3850,910,721.3850,910,721.3850,699,533.59Subtotal and Average 1 5.240 CUSTODIAN PROJECT FUNDS 1GOLDMAN SACHS TREASURY FUND590 0.00 0.00 0.0100.00 Aaa6736302460 0.010 0.000.000.000.00Subtotal and Average 0 0.000 LAIF 1LOCAL AGENCY INVESTMENT FUND21003 998,018.16 998,018.16 3.360998,018.16SYS21003 3.360 998,018.16998,018.16998,018.16990,502.52Subtotal and Average 1 3.360 CUSTODIAN PROJECT FUNDS 1FIRST AMERICAN US TREASURY MMF597 0.00 0.00 4.86001/01/2021 0.00 Aaa6736302460-G 4.860 0.000.000.000.91Subtotal and Average 0 0.000 56,887,871.97 51,908,739.54 1 5.20451,908,739.54 51,908,739.54Total and Average Portfolio HA AP Run Date: 09/11/2023 - 09:48 PM (PRF_PM2) 7.3.11 Report Ver. 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 102 of 570 Days to Mat./Call Page 2 Par Value Book Value Stated RateMarket Value June 30, 2023 Portfolio Details - Cash Average BalanceIssuer Portfolio Management PALM DESERT HOUSING AUTHORITY YTM/C 365Moody'sCUSIPInvestment # Purchase Date CHECKING 1HOUSING AUTH CHECKING25015 1,045,814.24 1,045,814.241,045,814.24SYS25015 0.000 1HOUSING AUTH CHECKINGHSG104 3,165.80 3,165.8006/01/2023 3,165.80SYS9204 0.000 1HOUSING AUTH TRUST25016 0.00 0.0007/01/2020 0.00SYS25016 0.000 1WELLS FARGO BANKWFHSG113 3,620,040.20 3,620,040.2006/01/2023 3,620,040.20 A1SYS6375 0.000 1WELLS FARGO BANKWFHSGT 495,898.50 495,898.5006/01/2023 495,898.50 A1SYS6367 0.000 0.00 56,887,871.97 57,073,658.28 1 5.204 1Average Balance 57,073,658.28 57,073,658.28Total Cash and Investments Portfolio HA AP Run Date: 09/11/2023 - 09:48 PM (PRF_PM2) 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 103 of 570 RDA SUCCESSOR AGENCY Portfolio Management June 30, 2023 Portfolio Summary % of Portfolio Book ValueInvestmentsMarket Value Par Value Term Days to Mat./Call YTM/C 365 Equiv. RIVERSIDE COUNTY POOL 340.91 10.00 3.8601340.91340.91 CAMP 5,973.09 10.05 5.24015,973.095,973.09 LAIF 762.35 10.01 3.3601762.35762.35 TRUSTEE CASH BALANCES - MMA 12,467,964.88 199.74 0.000112,467,964.8812,467,964.88 TRUSTEE CASH BALANCES - GF 25,848.53 10.21 5.020125,848.5325,848.53 12,500,889.76 100.00%Investments 12,500,889.7612,500,889.76 1 1 0.013 Cash (not included in yield calculations) Passbook/Checking 29,439,853.42 1 0.000129,439,853.4229,439,853.42 41,940,743.18Total Cash and Investments 41,940,743.1841,940,743.18 1 1 0.013 Current Year June 30 135.00 Average Daily Balance Effective Rate of Return 49,358,587.00 0.00% Total Earnings Month Ending This investment portfolio is in compliance with the provisions of California Government Code Section 53601 and the City of Palm Desert investment policy. Pursuant to ABX126, the availability of cash to fund the Palm Desert RDA Successor Agency's debt service is dependent upon the County of Riverside and the State of California. All balances are bank balances. The "% of Portfolio" calculation on the Portfolio Summary page omits demand deposits. __________________________________________________ ____________________ Veronica Chavez, Finance Director Portfolio RDAS AP Reporting period 06/01/2023-06/30/2023 Run Date: 09/11/2023 - 09:44 PM (PRF_PM1) 7.3.11No fiscal year history available Report Ver. 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E 9/21/2023 Page 104 of 570 Days to Mat./Call Page 1 Par Value Book Value Maturity Date Stated RateMarket Value June 30, 2023 Portfolio Details - Investments Average BalanceIssuer Portfolio Management RDA SUCCESSOR AGENCY YTM/C 365Moody'sCUSIPInvestment # Purchase Date RIVERSIDE COUNTY POOL 1POOLED INVESTMENT FUND052470 340.91 340.91 3.86007/01/2020 340.91 Aaa052470 3.860 340.91340.91340.91340.91Subtotal and Average 1 3.860 CAMP 1C.A.M.P. POOL (RDA S.A.)578 5,973.09 5,973.09 5.2405,973.09SYS578 5.240 5,973.095,973.095,973.095,948.31Subtotal and Average 1 5.240 LAIF 1L.A.I.F. (RDA S.A.)604 762.35 762.35 3.36007/01/2020 762.35SYS604 3.360 762.35762.35762.35756.61Subtotal and Average 1 3.360 TRUSTEE CASH BALANCES - MMA 1U.S. BANK MONEY MARKET ACCOUNT830 0.05 0.0507/01/2020 0.05 P-1247394001-U 0.000 1U.S. BANK MONEY MARKET ACCOUNT832 0.00 0.00 0.01007/01/2020 0.00 P-1247394003-U 0.010 1U.S. BANK MONEY MARKET ACCOUNT833 1.03 1.031.03 P-1247394002-U 0.000 1U.S. BANK MONEY MARKET ACCOUNT834 414,240.55 414,240.55414,240.55 P-1247394000-U 0.000 1U.S. BANK MONEY MARKET ACCOUNT837 14.42 14.4214.42 P-1236781002-U 0.000 1U.S. BANK MONEY MARKET ACCOUNT838 0.00 0.00 0.01007/01/2020 0.00 P-1236781003-U 0.010 1U.S. BANK MONEY MARKET ACCOUNT839 7,343,214.39 7,343,214.397,343,214.39 P-1236781000-U 0.000 1U.S. BANK MONEY MARKET ACCOUNT842 0.00 0.00 0.01007/01/2020 0.00 P-1253446003-U 0.010 1U.S. BANK MONEY MARKET ACCOUNT843 7.66 7.667.66 P-1253446002-U 0.000 1U.S. BANK MONEY MARKET ACCOUNT844 2,040,474.27 2,040,474.272,040,474.27 P-1253446000-U 0.000 1U.S. BANK MONEY MARKET ACCOUNT845 0.41 0.4107/01/2020 0.41 P-1253446001-U 0.000 1U.S. BANK MONEY MARKET ACCOUNT853 2,669,988.69 2,669,988.692,669,988.69 P-1224324000-U 0.000 1U.S. BANK MONEY MARKET ACCOUNT855 0.79 0.7907/01/2020 0.79 P-1224324001-U 0.000 1U.S. BANK MONEY MARKET ACCOUNT856 22.55 22.5522.55 P-1224324002-U 0.000 1U.S. BANK MONEY MARKET ACCOUNT857 0.00 0.00 0.01007/01/2020 0.00 P-1224324003-U 0.010 1U.S. BANK MONEY MARKET ACCOUNT881 0.07 0.0709/01/2020 0.07 P-1236781001-U 0.000 12,467,964.8812,467,964.8812,467,964.8812,467,913.70Subtotal and Average 1 0.000 TRUSTEE CASH BALANCES - GF 1GOLDMAN SACHS GOVERNMENT FUND811 25,848.53 25,848.53 5.02025,848.53 Aaa277861000-G 5.020 1GOLDMAN SACHS GOVERNMENT FUND812 0.00 0.00 0.0300.00 Aaa277861001-G 0.030 1GOLDMAN SACHS GOVERNMENT FUND813 0.00 0.00 0.03007/01/2020 0.00 Aaa277861002-G 0.030 1GOLDMAN SACHS GOVERNMENT FUND814 0.00 0.00 0.03007/01/2020 0.00 Aaa277861003-G 0.030 Portfolio RDAS AP Run Date: 09/11/2023 - 09:44 PM (PRF_PM2) 7.3.11 Report Ver. 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 105 of 570 Days to Mat./Call Page 2 Par Value Book Value Stated RateMarket Value June 30, 2023 Portfolio Details - Investments Average BalanceIssuer Portfolio Management RDA SUCCESSOR AGENCY YTM/C 365Moody'sCUSIPInvestment # Purchase Date 25,848.5325,848.5325,848.5325,743.79Subtotal and Average 1 5.020 49,358,587.00 12,500,889.76 1 0.01312,500,889.76 12,500,889.76Total and Average Portfolio RDAS AP Run Date: 09/11/2023 - 09:44 PM (PRF_PM2) 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 106 of 570 Days to Mat./Call Page 3 Par Value Book Value Stated RateMarket Value June 30, 2023 Portfolio Details - Cash Average BalanceIssuer Portfolio Management RDA SUCCESSOR AGENCY YTM/C 365Moody'sCUSIPInvestment # Purchase Date UNION BANK CHECKING ACCOUNTS 1RDA SUCCESSOR AGENCY582 0.00 0.000.00SYS582 0.000 1RDA SUCCESSOR AGENCYRDA106 29,439,853.42 29,439,853.4206/01/2023 29,439,853.42SYS4021 0.000 0.00 49,358,587.00 41,940,743.18 1 0.013 1Average Balance 41,940,743.18 41,940,743.18Total Cash and Investments Portfolio RDAS AP Run Date: 09/11/2023 - 09:44 PM (PRF_PM2) 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 107 of 570 PALM DESERT RDA SUCCESSOR AGENCY LONG-TERM LOANS RECEIVABLE June 30, 2023 11-Sep-23 12:52 PM . SymPro Book Stated No.Investment Value Maturity Date Interest Rate 738 EIP Loan *126,000.00$ 09/02/29 3.00% Footnotes *EIP balance adjustments made on March 2 and September 2 of each year. DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 108 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 109 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 110 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 111 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 112 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 113 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 114 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 115 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 116 of 570 MALIA M. COHEN California State Controller LOCAL AGENCY INVESTMENT FUND REMITTANCE ADVICE Agency Name CITY OF PALM DESERT Account Number As of 07/14/2023, your Local Agency Investment Fund account has been directly credited with the interest earned on your deposits for the quarter ending 06/30/2023 Earnings Ratio .00008636172883763 Interest Rate 3 15% Dollar Day Total $1,877,841,667.91 Quarter End Principal Balance $20,655,369.99 Quarterly Interest Earned $162,173.65 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 117 of 570 MALIA M. COHEN California State Controller LOCAL AGENCY INVESTMENT FUND REMITTANCE ADVICE Agency Name PALM DESERT HOUSING AUTHORITY Account Number As of 07/14/2023, your Local Agency Investment Fund account has been directly credited with the interest earned on your deposits for the quarter ending 06/30/2023 Earnings Ratio .00008636172883763 Interest Rate 3 15% Dollar Day Total $90,025,963.56 Quarter End Principal Balance $990,243.36 Quarterly Interest Earned $7,774.80 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 118 of 570 MALIA M. COHEN California State Controller LOCAL AGENCY INVESTMENT FUND REMITTANCE ADVICE Agency Name S/A TO THE PALM DESERT Account Number As of 07/14/2023, your Local Agency Investment Fund account has been directly credited with the interest earned on your deposits for the quarter ending 06/30/2023 Earnings Ratio .00008636172883763 Interest Rate 3 15% Dollar Day Total $68,767.53 Quarter End Principal Balance $756.41 Quarterly Interest Earned $5.94 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 119 of 570 Fund Detail Report Parameters:Query: Fund Detail County of Riverside Treasurer-Tax Collector Account Number Run Date:07-Jul-2023 09:56:05 AM User:Susan From : To : As at : 01-Jun-2023 30-Jun-2023 07-Jul-2023 Balance Calculation Based On:Value Date Closing BalanceReceiptsInstrumentEntityDeal NoValue Date T/TBank Value Date Peoplesoft Desc. /p g Ticket No Journal Date external ref t Receipts AmountCR Payments Account Name : Account Number : City Of Palm Desert 6/1/2023 6/1/2023 $2,504,768.68 OB $2,504,768.68 $0.00 $2,504,768.68 $2,504,768.68 $0.00 Account Name : Account Number : RDA Successor Agcy Palm Desert 6/1/2023 6/1/2023 $2,505,109.59 OB $340.91 $0.00 $340.91 $340.91 $0.00 Printed on 7/7/2023 Page 1 of 1End of Report DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 120 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 121 of 570 CITY OF PALM DESERTPortfolio ManagementMay 31, 2023Portfolio Summary% ofPortfolioBookValueInvestmentsMarketValueParValueTermDays toMat./CallYTM/C365 Equiv.CAMP 158,111,006.67 151.05 5.1601158,111,006.67158,111,006.67FEDERAL AGENCY - COUPON 13,996,367.69 2294.52 0.43983013,465,070.0014,000,000.00LAIF 20,655,369.99 16.67 2.993120,655,369.9920,655,369.99FEDERAL AGENCY - CALLABLE 16,983,499.13 3225.48 0.42793016,219,810.0017,000,000.00TRUSTEE CASH BALANCES 2,948,039.44 10.95 0.28212,948,039.442,948,039.44MEDIUM-TERM NOTES 29,996,844.59 6809.69 2.9171,11829,188,710.0030,000,000.00CUSTODIAN PROJECT FUNDS 64,493,016.61 120.83 4.790164,493,016.6164,493,016.61RIVERSIDE COUNTY POOL 2,504,768.68 10.81 3.72012,504,768.682,504,768.68309,688,912.80 100.00%Investments307,585,791.39309,712,201.3995 198 4.190Cash(not included in yield calculations)Passbook/Checking17,425,685.45 1 0.000117,425,685.4517,425,685.45327,114,598.25Total Cash and Investments325,011,476.84327,137,886.8495 198 4.190Current YearMay 311,075,338.14Fiscal Year To Date8,420,032.82Average Daily BalanceEffective Rate of Return322,926,682.733.92%Total Earnings Month EndingThis investment portfolio is in compliance with the provisions of California Government Code Section 53601 and the City of Palm Desert investment policy. Barring unforeseen events, it has sufficient cashto fund city expenditures for the next six months. Union Bank Custody Services has provided market value prices for all corporate securities. All balances are bank balances. The "% of Portfolio"calculation on the Portfolio Summary page omits demand deposits. __________________________________________________ ____________________Veronica Chavez, Finance DirectorPortfolio CITYAPReporting period 05/01/2023-05/31/2023Run Date: 09/11/2023 - 16:23PM (PRF_PM1) 7.3.11Report Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E9/21/2023Page 122 of 570 YTM/C365Page 1Par Value Book ValueMaturityDateStatedRateMarket ValueMay 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDateCAMP5.160C.A.M.P. POOL (CITY)13 153,775,851.63 153,775,851.63 5.160153,775,851.63SYS13 15.160C.A.M.P. POOL (DESERT WILLOW)12444 4,335,155.04 4,335,155.04 5.1604,335,155.04SYS12444 1158,111,006.67158,111,006.67158,111,006.67157,443,226.55Subtotal and Average 5.160 1U.S. BANK / LAIF BOND PROCEEDS0.203LOCAL AGENCY INVESTMENT FUND12-33-084 0.00 0.00 0.2030.00252026003 10.000.000.000.00Subtotal and Average 0.000 0FEDERAL AGENCY - COUPON0.505FEDERAL HOME LOAN BANK664 3,000,000.00 2,999,805.00 10/28/20240.50007/28/2021 2,833,650.00 Aaa3130ANAC4 5150.500FEDERAL HOME LOAN BANK710 5,000,000.00 5,000,000.00 12/08/20230.50011/04/2021 4,830,800.00 Aaa3130APR72 1900.360FEDERAL HOME LOAN MTG CORP706 3,000,000.00 2,997,367.78 10/16/20230.12510/21/2021 2,893,710.00 Aaa3137EAEY1 1370.350FEDERAL HOME LOAN MTG CORP707 3,000,000.00 2,999,194.91 09/08/20230.25010/21/2021 2,906,910.00 Aaa3137EAEW5 9913,996,367.6913,465,070.0014,000,000.0013,995,972.24Subtotal and Average 0.439 229LAIF2.993LOCAL AGENCY INVESTMENT FUND12000 20,655,369.99 20,655,369.99 2.99320,655,369.9912000 120,655,369.9920,655,369.9920,655,369.9920,655,369.99Subtotal and Average 2.993 1FEDERAL AGENCY - CALLABLE0.520FEDERAL FARM CREDIT BANK668 5,000,000.00 4,984,508.06 12/23/20240.32009/14/2021 4,655,800.00 Aaa3133EMLP5 5710.370FEDERAL FARM CREDIT BANK698 3,000,000.00 2,999,652.50 10/20/20230.34010/20/2021 2,908,920.00 Aaa3133ENBN9 1410.331FEDERAL FARM CREDIT BANK699 3,000,000.00 2,999,338.57 10/12/20230.27010/19/2021 2,901,330.00 Aaa3133ENAU4 1330.400FEDERAL HOME LOAN BANK660 3,000,000.00 3,000,000.00 07/29/20240.40007/29/2021 2,854,620.00 Aaa3130AN7K0 4240.450FEDERAL HOME LOAN BANK708 3,000,000.00 3,000,000.00 11/24/20230.45011/24/2021 2,899,140.00 Aaa3130APMC6 17616,983,499.1316,219,810.0017,000,000.0016,983,006.39Subtotal and Average 0.427 322TRUSTEE CASH BALANCES0.030GOLDMAN SACHS GOVERNMENT FUND382 0.00 0.00 0.0300.00 Aaa252026000-G 10.030GOLDMAN SACHS GOVERNMENT FUND383 0.00 0.00 0.03007/01/2022 0.00 Aaa252026001-G 10.030GOLDMAN SACHS GOVERNMENT FUND384 0.00 0.00 0.0300.00 Aaa252026002-G 10.030GOLDMAN SACHS GOVERNMENT FUND385 0.00 0.00 0.0300.00 Aaa252026003-G 10.030GOLDMAN SACHS GOVERNMENT FUND386 0.00 0.00 0.0300.00 Aaa252026004-G 10.030GOLDMAN SACHS GOVERNMENT FUND401 0.00 0.00 0.0300.00 Aaa252026017-G 10.030GOLDMAN SACHS GOVERNMENT FUND402 0.00 0.00 0.0300.00 Aaa252026018-G 1Portfolio CITYAPRun Date: 09/11/2023 - 16:23PM (PRF_PM2) 7.3.11Report Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 123 of 570 YTM/C365Page 2Par Value Book ValueMaturityDateStatedRateMarket ValueMay 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDateTRUSTEE CASH BALANCES5.010GOLDMAN SACHS GOVERNMENT FUND404 27.35 27.35 5.01027.35 Aaa260128000-G 10.030GOLDMAN SACHS GOVERNMENT FUND405 0.00 0.00 0.03007/01/2022 0.00 Aaa260128001-G 10.030GOLDMAN SACHS GOVERNMENT FUND407 0.00 0.00 0.03007/01/2022 0.00 Aaa260128002-G 10.030GOLDMAN SACHS GOVERNMENT FUND408 0.00 0.00 0.03007/01/2022 0.00 Aaa260128003-G 10.030GOLDMAN SACHS GOVERNMENT FUND409 0.00 0.00 0.03007/01/2022 0.00 Aaa260128004-G 10.030GOLDMAN SACHS GOVERNMENT FUND410 0.00 0.00 0.0300.00 Aaa260128005-G 10.030GOLDMAN SACHS GOVERNMENT FUND412 0.00 0.00 0.0300.00 Aaa260128006-G 10.030GOLDMAN SACHS GOVERNMENT FUND414 0.00 0.00 0.0300.00 Aaa260128007-G 10.030GOLDMAN SACHS GOVERNMENT FUND415 0.00 0.00 0.0300.00 Aaa260128008-G 15.000GOLDMAN SACHS GOVERNMENT FUND416 143.23 143.23 5.000143.23 Aaa260128009-G 15.000GOLDMAN SACHS GOVERNMENT FUND417 850.10 850.10 5.000850.10 Aaa260128010-G 15.000GOLDMAN SACHS GOVERNMENT FUND418 165,025.07 165,025.07 5.000165,025.07 Aaa260128011-G 10.030GOLDMAN SACHS GOVERNMENT FUND419 0.00 0.00 0.0300.00 Aaa261470000-G 10.030GOLDMAN SACHS GOVERNMENT FUND420 0.00 0.00 0.0300.00 Aaa261470001-G 10.030GOLDMAN SACHS GOVERNMENT FUND421 0.00 0.00 0.0300.00 Aaa261470002-G 10.000GOLDMAN SACHS GOVERNMENT FUND671 43.72 43.7243.72 Aaa263346000-G 10.000GOLDMAN SACHS GOVERNMENT FUND672 0.50 0.5007/01/2022 0.50 Aaa263346001-G 10.000GOLDMAN SACHS GOVERNMENT FUND673 0.19 0.190.19 Aaa263346002-G 10.000GOLDMAN SACHS GOVERNMENT FUND674 874,210.65 874,210.65874,210.65 Aaa263346003-G 10.030GOLDMAN SACHS GOVERNMENT FUND675 0.00 0.00 0.03007/01/2022 0.00 Aaa263346004-G 10.030GOLDMAN SACHS GOVERNMENT FUND676 0.94 0.94 0.03007/01/2022 0.94 Aaa263346005-G 10.000GOLDMAN SACHS GOVERNMENT FUND677 0.00 0.000.00 Aaa263346006-G 10.000GOLDMAN SACHS GOVERNMENT FUND678 1.53 1.531.53 Aaa263346007-G 10.030GOLDMAN SACHS GOVERNMENT FUND679 1.69 1.69 0.03007/01/2022 1.69 Aaa263599000-G 10.000GOLDMAN SACHS GOVERNMENT FUND680 81.25 81.2507/01/2022 81.25 Aaa263599001-G 10.000GOLDMAN SACHS GOVERNMENT FUND682 1,416,846.97 1,416,846.971,416,846.97 Aaa263599002-G 10.000GOLDMAN SACHS GOVERNMENT FUND683 0.00 0.000.00 Aaa263599003-G 10.030GOLDMAN SACHS GOVERNMENT FUND684 0.00 0.00 0.03007/01/2022 0.00 Aaa269048000-G 10.000GOLDMAN SACHS GOVERNMENT FUND685 19.62 19.6219.62 Aaa271146000-G 10.000GOLDMAN SACHS GOVERNMENT FUND687 0.10 0.1007/01/2022 0.10 Aaa271146001-G 10.030GOLDMAN SACHS GOVERNMENT FUND688 0.03 0.03 0.03007/01/2022 0.03 Aaa271146002-G 10.000GOLDMAN SACHS GOVERNMENT FUND689 468,405.71 468,405.71468,405.71 Aaa271146003-G 10.030GOLDMAN SACHS GOVERNMENT FUND690 0.00 0.00 0.03007/01/2022 0.00 Aaa271146004-G 10.030GOLDMAN SACHS GOVERNMENT FUND691 0.70 0.70 0.03007/01/2022 0.70 Aaa271146005-G 10.000GOLDMAN SACHS GOVERNMENT FUND692 0.00 0.000.00 Aaa271146006-G 10.030GOLDMAN SACHS GOVERNMENT FUND693 0.00 0.00 0.03007/01/2022 0.00 Aaa277580000-G 1Portfolio CITYAPRun Date: 09/11/2023 - 16:23PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 124 of 570 YTM/C365Page 3Par Value Book ValueMaturityDateStatedRateMarket ValueMay 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDateTRUSTEE CASH BALANCES0.005GOLDMAN SACHS GOVERNMENT FUND744 22,380.09 22,380.09 0.00522,380.09 Aaa263599004 12,948,039.442,948,039.442,948,039.442,947,403.58Subtotal and Average 0.282 1MEDIUM-TERM NOTES0.450AMAZON.COM INC.662 3,000,000.00 3,000,000.00 05/12/20240.45007/19/2021 2,852,400.00 A023135BW5 3460.500CATERPILLAR FINANCIAL SERVICES697 3,000,000.00 2,998,562.94 05/17/20240.45010/08/2021 2,841,930.00 A14913R2L0 3515.250Freddie Mac760 5,000,000.00 5,000,000.00 12/30/20245.25012/30/2022 5,000,000.00 Aaa3134GYAB8 5786.750GOLDMAN SACHS GOVERNMENT FUND752 5,000,000.00 5,000,000.00 10/29/20276.75010/31/2022 5,000,000.00 A238150APM1 1,6113.999MORGAN STANLEY747 5,000,000.00 5,000,000.00 07/23/20254.00009/01/2022 5,000,000.00 A16174468C6 7830.500TOYOTA MOTOR CREDIT CORP658 3,000,000.00 3,000,000.00 06/18/20240.50006/18/2021 2,831,460.00 A89236TJH9 3830.530TOYOTA MOTOR CREDIT CORP659 3,000,000.00 2,999,061.06 06/18/20240.50007/08/2021 2,831,460.00 A89236TJH9 3830.525TOYOTA MOTOR CREDIT CORP667 3,000,000.00 2,999,220.59 06/18/20240.50009/14/2021 2,831,460.00 A89236TJH9 38329,996,844.5929,188,710.0030,000,000.0029,996,722.35Subtotal and Average 2.917 680CUSTODIAN PROJECT FUNDS4.790FIRST AMERICAN US TREASURY MMF647 5,985,876.10 5,985,876.10 4.7905,985,876.10 Aaa6736302420-G 14.790FIRST AMERICAN US TREASURY MMF648 26,104,082.29 26,104,082.29 4.79026,104,082.29 Aaa6736302430-G 14.790FIRST AMERICAN US TREASURY MMF649 12,357,549.14 12,357,549.14 4.79012,357,549.14 Aaa6736302440-G 14.790FIRST AMERICAN US TREASURY MMF650 20,045,509.08 20,045,509.08 4.79020,045,509.08 Aaa6736302450-G 164,493,016.6164,493,016.6164,493,016.6164,266,937.74Subtotal and Average 4.790 1RIVERSIDE COUNTY POOL3.720POOLED INVESTMENT FUND052460 2,504,768.68 2,504,768.68 3.7202,504,768.68 Aaa052460 12,504,768.682,504,768.682,504,768.682,504,768.68Subtotal and Average 3.720 1CUSTODIAN PROJECT FUNDS0.010GOLDMAN SACHS TREASURY FUND498 0.00 0.00 0.0100.00 Aaa6736302420 10.010GOLDMAN SACHS TREASURY FUND499 0.00 0.00 0.0100.00 Aaa6736302430 10.010GOLDMAN SACHS TREASURY FUND500 0.00 0.00 0.0100.00 Aaa6736302440 10.010GOLDMAN SACHS TREASURY FUND501 0.00 0.00 0.0100.00 Aaa6736302450 10.000.000.000.00Subtotal and Average 0.000 0Portfolio CITYAPRun Date: 09/11/2023 - 16:23PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 125 of 570 YTM/C365Page 4Par Value Book ValueStatedRateMarket ValueMay 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDate322,926,682.73 309,712,201.39 4.190 95307,585,791.39 309,688,912.80Total and AveragePortfolio CITYAPRun Date: 09/11/2023 - 16:23PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 126 of 570 YTM/C365Page 5Par Value Book ValueStatedRateMarket ValueMay 31, 2023Portfolio Details - CashAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDateCUSTODIAN PROJECT FUNDS0.000CITY OF PALM DESERT753 0.00 0.0010/27/2022 0.00SYS753 1UNION BANK CHECKING ACCOUNTS0.000CITY OF PALM DESERT MAIN13016 0.00 0.000.00SYS13016 10.000DESERT WILLOW GOLF COURSE13013 0.00 0.0007/01/2022 0.00SYS13013 10.000PUBLIC SAFETY CHECKING602 0.00 0.0007/01/2022 0.00SYS602 10.000RECREATIONAL FACILITIES CORP13020 0.00 0.0007/01/2022 0.00SYS13020 10.000US Bank 1101 10,951,975.91 10,951,975.9105/26/2023 10,951,975.91SYS9121 10.000US Bank 1DW102 606,588.79 606,588.7905/26/2023 606,588.79SYS9154 10.000US Bank 1PDRFC103 1,270,853.42 1,270,853.4205/26/2023 1,270,853.42SYS9162 10.000US Bank 1PUBSAF107 1,136,961.77 1,136,961.7705/26/2023 1,136,961.77SYS4316 10.000WELLS FARGO BANKWFDW111 1,832,503.91 1,832,503.9105/24/2023 1,832,503.91 A1SYS6359 10.000WELLS FARGO BANKWFMAIN108 1,609,650.00 1,609,650.0005/19/2023 1,609,650.00 A1SYS6391 10.000WELLS FARGO BANKWFPDRFC112 17,151.65 17,151.6505/24/2023 17,151.65 A1SYS6342 10.00322,926,682.73 327,137,886.84 4.190 951Average Balance325,011,476.84 327,114,598.25Total Cash and InvestmentsPortfolio CITYAPRun Date: 09/11/2023 - 16:23PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 127 of 570 CITY OF PALM DESERT LONG-TERM LOANS RECEIVABLE May 31, 2023 11-Sep-23 10:07 AM SymPro Book Stated No. Investment Value Maturity Date Interest Rate 1 City Loan to RDA* -$ N/A 0.20% 348 EIP Loan ** 1,053,000.00$ 09/02/34 7.00% 594 Highlands Utility Undergrounding *** 42,270.34$ 09/02/36 5.35% Assessment District 04-01 Deferred Loan Footnotes *On May 17, 2019, the California State Department of Finance (DOF) denied the 1986 City Loan in the principal amount of $6,000,000 as an enforceable obligation of the Successor Agency of the Palm Desert Redevelopment Agency. Several attempts have been made to challenge this decision. The DOF, however, continues to maintain its position and its interpretation of the dissolution law as it relates to the loans. ** EIP balance adjustments made on March 2 and on September 2 of each year. *** Highlands balance adjustments made on March 2 and on September 2 of each year. DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 128 of 570 PALM DESERT HOUSING AUTHORITY Portfolio Management May 31, 2023 Portfolio Summary % of Portfolio Book ValueInvestmentsMarket Value Par Value Term Days to Mat./Call YTM/C 365 Equiv. CAMP 50,692,251.25 198.08 5.160150,692,251.2550,692,251.25 LAIF 990,243.36 11.92 2.9931990,243.36990,243.36 CUSTODIAN PROJECT FUNDS 2.47 10.00 4.86012.472.47 51,682,497.08 100.00%Investments 51,682,497.0851,682,497.08 1 1 5.118 Cash (not included in yield calculations) Passbook/Checking 1,045,814.24 1 0.00011,045,814.241,045,814.24 52,728,311.32Total Cash and Investments 52,728,311.3252,728,311.32 1 1 5.118 Current Year May 31 220,987.33 Average Daily Balance Effective Rate of Return 55,278,737.04 4.71% Total Earnings Month Ending This investment portfolio complies with the provisions of California Government Code Section 53601 and the City of Palm Desert investment policy. Barring unforeseen events, it has sufficient cash to fund Housing Authority operations for the next six months. All balances are bank balances. The "% of Portfolio" calculation on the Portfolio Summary page omits demand deposits. __________________________________________________ ____________________ Veronica Chavez, Finance Director Portfolio HA AP Reporting period 05/01/2023-05/31/2023 Run Date: 09/11/2023 - 09:48 PM (PRF_PM1) 7.3.11No fiscal year history available Report Ver. 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E 9/21/2023 Page 129 of 570 Days to Mat./Call Page 1 Par Value Book Value Maturity Date Stated RateMarket Value May 31, 2023 Portfolio Details - Investments Average BalanceIssuer Portfolio Management PALM DESERT HOUSING AUTHORITY YTM/C 365Moody'sCUSIPInvestment # Purchase Date CAMP 1CA ASSET MANAGEMENT PROGRAM12008 50,692,251.25 50,692,251.25 5.16050,692,251.25SYS12008 5.160 50,692,251.2550,692,251.2550,692,251.2550,478,153.08Subtotal and Average 1 5.160 CUSTODIAN PROJECT FUNDS 1GOLDMAN SACHS TREASURY FUND590 0.00 0.00 0.0100.00 Aaa6736302460 0.010 0.000.000.000.00Subtotal and Average 0 0.000 LAIF 1LOCAL AGENCY INVESTMENT FUND21003 990,243.36 990,243.36 2.993990,243.36SYS21003 2.993 990,243.36990,243.36990,243.36990,243.36Subtotal and Average 1 2.993 CUSTODIAN PROJECT FUNDS 1FIRST AMERICAN US TREASURY MMF597 2.47 2.47 4.86001/01/2021 2.47 Aaa6736302460-G 4.860 2.472.472.472.46Subtotal and Average 1 4.860 55,278,737.04 51,682,497.08 1 5.11851,682,497.08 51,682,497.08Total and Average Portfolio HA AP Run Date: 09/11/2023 - 09:48 PM (PRF_PM2) 7.3.11 Report Ver. 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 130 of 570 Days to Mat./Call Page 2 Par Value Book Value Stated RateMarket Value May 31, 2023 Portfolio Details - Cash Average BalanceIssuer Portfolio Management PALM DESERT HOUSING AUTHORITY YTM/C 365Moody'sCUSIPInvestment # Purchase Date CHECKING 1HOUSING AUTH CHECKING25015 1,045,814.24 1,045,814.241,045,814.24SYS25015 0.000 1HOUSING AUTH TRUST25016 0.00 0.0007/01/2020 0.00SYS25016 0.000 0.00 55,278,737.04 52,728,311.32 1 5.118 1Average Balance 52,728,311.32 52,728,311.32Total Cash and Investments Portfolio HA AP Run Date: 09/11/2023 - 09:48 PM (PRF_PM2) 7.3.11 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 131 of 570 RDA SUCCESSOR AGENCYPortfolio ManagementMay 31, 2023Portfolio Summary% ofPortfolioBookValueInvestmentsMarketValueParValueTermDays toMat./CallYTM/C365 Equiv.RIVERSIDE COUNTY POOL 340.91 10.00 3.7201340.91340.91CAMP 5,947.46 10.05 5.16015,947.465,947.46LAIF 756.41 10.01 2.9931756.41756.41TRUSTEE CASH BALANCES - MMA 12,467,911.94 199.74 0.000112,467,911.9412,467,911.94TRUSTEE CASH BALANCES - GF 25,740.18 10.21 5.000125,740.1825,740.1812,500,696.90 100.00%Investments12,500,696.9012,500,696.901 1 0.013Cash(not included in yield calculations)Passbook/Checking37,113,677.82 1 0.000137,113,677.8237,113,677.8249,614,374.72Total Cash and Investments49,614,374.7249,614,374.721 1 0.013Current YearMay 31189.93Average Daily BalanceEffective Rate of Return41,704,643.510.01%Total Earnings Month EndingThis investment portfolio is in compliance with the provisions of California Government Code Section 53601 and the City of Palm Desert investment policy. Pursuant to ABX126, the availability of cash tofund the Palm Desert RDA Successor Agency's debt service is dependent upon the County of Riverside and the State of California. All balances are bank balances. The "% of Portfolio" calculation on thePortfolio Summary page omits demand deposits.__________________________________________________ ____________________Veronica Chavez, Finance DirectorPortfolio RDASAPReporting period 05/01/2023-05/31/2023Run Date: 09/08/2023 - 16:59PM (PRF_PM1) 7.3.11No fiscal year history availableReport Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E9/21/2023Page 132 of 570 Days toMat./CallPage 1Par Value Book ValueMaturityDateStatedRateMarket ValueMay 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementRDA SUCCESSOR AGENCYYTM/C365Moody'sCUSIP Investment #PurchaseDateRIVERSIDE COUNTY POOL1POOLED INVESTMENT FUND052470 340.91 340.91 3.72007/01/2020 340.91 Aaa052470 3.720340.91340.91340.91340.91Subtotal and Average 1 3.720CAMP1C.A.M.P. POOL (RDA S.A.)578 5,947.46 5,947.46 5.1605,947.46SYS578 5.1605,947.465,947.465,947.465,922.34Subtotal and Average 1 5.160LAIF1L.A.I.F. (RDA S.A.)604 756.41 756.41 2.99307/01/2020 756.41SYS604 2.993756.41756.41756.41756.41Subtotal and Average 1 2.993TRUSTEE CASH BALANCES - MMA1U.S. BANK MONEY MARKET ACCOUNT830 0.05 0.0507/01/2020 0.05 P-1247394001-U 0.0001U.S. BANK MONEY MARKET ACCOUNT832 0.00 0.00 0.01007/01/2020 0.00 P-1247394003-U 0.0101U.S. BANK MONEY MARKET ACCOUNT833 1.03 1.031.03 P-1247394002-U 0.0001U.S. BANK MONEY MARKET ACCOUNT834 414,238.79 414,238.79414,238.79 P-1247394000-U 0.0001U.S. BANK MONEY MARKET ACCOUNT837 14.42 14.4214.42 P-1236781002-U 0.0001U.S. BANK MONEY MARKET ACCOUNT838 0.00 0.00 0.01007/01/2020 0.00 P-1236781003-U 0.0101U.S. BANK MONEY MARKET ACCOUNT839 7,343,183.21 7,343,183.217,343,183.21 P-1236781000-U 0.0001U.S. BANK MONEY MARKET ACCOUNT842 0.00 0.00 0.01007/01/2020 0.00 P-1253446003-U 0.0101U.S. BANK MONEY MARKET ACCOUNT843 7.66 7.667.66 P-1253446002-U 0.0001U.S. BANK MONEY MARKET ACCOUNT844 2,040,465.61 2,040,465.612,040,465.61 P-1253446000-U 0.0001U.S. BANK MONEY MARKET ACCOUNT845 0.41 0.4107/01/2020 0.41 P-1253446001-U 0.0001U.S. BANK MONEY MARKET ACCOUNT853 2,669,977.35 2,669,977.352,669,977.35 P-1224324000-U 0.0001U.S. BANK MONEY MARKET ACCOUNT855 0.79 0.7907/01/2020 0.79 P-1224324001-U 0.0001U.S. BANK MONEY MARKET ACCOUNT856 22.55 22.5522.55 P-1224324002-U 0.0001U.S. BANK MONEY MARKET ACCOUNT857 0.00 0.00 0.01007/01/2020 0.00 P-1224324003-U 0.0101U.S. BANK MONEY MARKET ACCOUNT881 0.07 0.0709/01/2020 0.07 P-1236781001-U 0.00012,467,911.9412,467,911.9412,467,911.9412,467,861.59Subtotal and Average 1 0.000TRUSTEE CASH BALANCES - GF1GOLDMAN SACHS GOVERNMENT FUND811 25,740.18 25,740.18 5.00025,740.18 Aaa277861000-G 5.0001GOLDMAN SACHS GOVERNMENT FUND812 0.00 0.00 0.0300.00 Aaa277861001-G 0.0301GOLDMAN SACHS GOVERNMENT FUND813 0.00 0.00 0.03007/01/2020 0.00 Aaa277861002-G 0.0301GOLDMAN SACHS GOVERNMENT FUND814 0.00 0.00 0.03007/01/2020 0.00 Aaa277861003-G 0.030Portfolio RDASAPRun Date: 09/08/2023 - 16:59PM (PRF_PM2) 7.3.11Report Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 133 of 570 Days toMat./CallPage 2Par Value Book ValueStatedRateMarket ValueMay 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementRDA SUCCESSOR AGENCYYTM/C365Moody'sCUSIP Investment #PurchaseDate25,740.1825,740.1825,740.1825,643.32Subtotal and Average 1 5.00041,704,643.51 12,500,696.90 1 0.01312,500,696.90 12,500,696.90Total and AveragePortfolio RDASAPRun Date: 09/08/2023 - 16:59PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 134 of 570 Days toMat./CallPage 3Par Value Book ValueStatedRateMarket ValueMay 31, 2023Portfolio Details - CashAverageBalanceIssuerPortfolio ManagementRDA SUCCESSOR AGENCYYTM/C365Moody'sCUSIP Investment #PurchaseDateUNION BANK CHECKING ACCOUNTS1RDA SUCCESSOR AGENCY582 37,113,677.82 37,113,677.8237,113,677.82SYS582 0.0000.0041,704,643.51 49,614,374.72 1 0.0131Average Balance49,614,374.72 49,614,374.72Total Cash and InvestmentsPortfolio RDASAPRun Date: 09/08/2023 - 16:59PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 135 of 570 PALM DESERT RDA SUCCESSOR AGENCY LONG-TERM LOANS RECEIVABLE May 31, 2023 11-Sep-23 10:09 AM . SymPro Book Stated No.Investment Value Maturity Date Interest Rate 738 EIP Loan *126,000.00$ 09/02/29 3.00% Footnotes *EIP balance adjustments made on March 2 and September 2 of each year. DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 136 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 137 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 138 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 139 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 140 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 141 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 142 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 143 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 144 of 570 6/21/23, 11:10 AM LAIF Regular Monthly Statement https://laifms.treasurer.ca.gov/RegularStatement.aspx 1/1 Local Agency Investment Fund P.O. Box 942809 Sacramento, CA 94209-0001 (916) 653-3001 June 21, 2023 LAIF Home PMIA Average Monthly Yields CITY OF PALM DESERT CITY TREASURER 73-510 FRED WARING DRIVE PALM DESERT, CA 92260 2578 Account Number: May 2023 Statement Tran Type Definitions Account Summary Total Deposit:0.00 Beginning Balance:20,655,369.99 Total Withdrawal 0 00 Ending Balance 20,655,369.99 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 145 of 570 6/21/23, 11:12 AM LAIF Regular Monthly Statement https://laifms.treasurer.ca.gov/RegularStatement.aspx 1/1 Local Agency Investment Fund P.O. Box 942809 Sacramento, CA 94209-0001 (916) 653-3001 June 21, 2023 LAIF Home PMIA Average Monthly Yields PALM DESERT HOUSING AUTHORITY CITY TREASURER 73-510 FRED WARING DRIVE PALM DESERT, CA 92260 2578 Account Number: May 2023 Statement Tran Type Definitions Account Summary Total Deposit:0.00 Beginning Balance:990,243.36 Total Withdrawal 0 00 Ending Balance 990,243.36 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 146 of 570 6/21/23, 11:11 AM LAIF Regular Monthly Statement https://laifms.treasurer.ca.gov/RegularStatement.aspx 1/1 Local Agency Investment Fund P.O. Box 942809 Sacramento, CA 94209-0001 (916) 653-3001 June 21, 2023 LAIF Home PMIA Average Monthly Yields S/A TO THE PALM DESERT REDEVELOPMENT AGENCY FINANCE DIRECTOR 73-510 FRED WARING DRIVE PALM DESERT, CA 92260 2578 Account Number: May 2023 Statement Tran Type Definitions Account Summary Total Deposit:0.00 Beginning Balance:756.41 Total Withdrawal 0 00 Ending Balance 756.41 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 147 of 570 Fund Detail Report Parameters:Query: Fund Detail County of Riverside Treasurer-Tax Collector Account Number: Run Date:12-Jun-2023 10:58:21 AM User:Susan From : To : As at : 01-May-2023 31-May-2023 12-Jun-2023 Balance Calculation Based On:Value Date Closing BalanceReceiptsInstrumentEntityDeal NoValue Date T/TBank Value Date Peoplesoft Desc. /p g Ticket No Journal Date external ref t Receipts AmountCR Payments Account Name : Account Number : City Of Palm Desert 5/1/2023 5/1/2023 $2,504,768.68 OB $2,504,768.68 $0.00 $2,504,768.68 $2,504,768.68 $0.00 Account Name : Account Number : RDA Successor Agcy Palm Desert 5/1/2023 5/1/2023 $2,505,109.59 OB $340.91 $0.00 $340.91 $340.91 $0.00 Printed on 6/12/2023 Page 1 of 1End of Report DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 148 of 570 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 149 of 570 City of Palm Desert Investments Summary July 1st through August 31st, 2023 The City’s investment portfolio is detailed below. Investment transactions were executed in accordance with the California State Government Code, the City’s Investment Policy and all bond indentures. Investment Portfolio: Book Value Purchases &Redemptions &Book Value % of Asset Class 7/1/2023 Deposits Withdrawals 8/31/2023 Portfolio Agencies 30.97$ -$ -$ 30.97$ 10% Corporates 30.00$ -$ -$ 30.00$ 9% Negotiable CD's -$ -$ -$ -$ 0% CAMP Pool 158.79$ 21.52$ 0.75$ 179.56$ 56% LAIF Pool 20.82$ -$ 20.00$ 0.82$ 0% County Pool 2.50$ 0.20$ -$ 2.70$ 1% Custodian ®64.74$ 0.54$ 0.13$ 65.15$ 20% Trustee ®2.95$ 4.38$ 2.19$ 5.14$ 2% Cash 14.99$ 112.32$ 121.53$ 5.78$ 2% Total 325.76$ 138.96$ 144.60$ 320.12$ 100% ® = Restricted funds based upon bond indenture terms. Key Trends Cash Deposit and Withdrawal amounts include sweep account transfers which earned at a fund Yield of 5.21% in August. Major changes to the portfolio include transferring 20M from LAIF to CAMP, California sales tax of $4.4 M, property taxes of $1.9 M, and Measure A of $.32 M received by the City. Payments for contract law enforcement 9M, contract fire service 4.4M, annual PERs unfunded liability payment 2.6M, JPIA insurance payment of 1.6M, and 2.19 in debt services payments. Portfolio Allocations, Maturities and Performance: 58% 22% 10% 10% Local Govt Restricted… Corporate Agency Investment Allocation - 2 4 6 8 9M 1Y 2Y 3Y 4Y 5Y Investment Maturity 0 2 4 6 1-Mar 1-Apr 1-May 1-Jun 1-Jul 1-Aug Performance - Total Porfolio City Yield LAIF Yield 1Y T-Bill CAMP DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 150 of 570 CITY OF PALM DESERTPortfolio ManagementJuly 31, 2023Portfolio Summary% ofPortfolioBookValueInvestmentsMarketValueParValueTermDays toMat./CallYTM/C365 Equiv.CAMP 159,509,140.92 151.15 5.3101159,509,140.92159,509,140.92FEDERAL AGENCY - COUPON 13,998,058.65 1684.49 0.43983013,465,070.0014,000,000.00LAIF 20,817,543.64 16.68 3.305120,817,543.6420,817,543.64FEDERAL AGENCY - CALLABLE 16,985,606.01 2615.45 0.42793016,219,810.0017,000,000.00TRUSTEE CASH BALANCES 2,949,447.61 10.95 0.29612,949,447.612,949,447.61MEDIUM-TERM NOTES 29,997,367.26 6199.62 2.9171,11829,188,710.0030,000,000.00CUSTODIAN PROJECT FUNDS 64,873,150.34 120.80 5.090164,873,150.3464,873,150.34RIVERSIDE COUNTY POOL 2,697,698.66 10.87 3.86012,697,698.662,697,698.66311,828,013.09 100.00%Investments309,720,571.17311,846,981.1782 196 4.356Cash(not included in yield calculations)Passbook/Checking9,219,115.40 1 0.00019,219,115.409,219,115.40321,047,128.49Total Cash and Investments318,939,686.57321,066,096.5782 196 4.356Current YearJuly 311,230,693.48Fiscal Year To Date1,230,693.48Average Daily BalanceEffective Rate of Return325,898,332.124.45%Total Earnings Month EndingThis investment portfolio is in compliance with the provisions of California Government Code Section 53601 and the City of Palm Desert investment policy. Barring unforeseen events, it has sufficient cashto fund city expenditures for the next six months. US Bank Custody Services has provided market value prices for all corporate securities. All balances are bank balances. The "% of Portfolio" calculationon the Portfolio Summary page omits demand deposits. __________________________________________________ ____________________Veronica Chavez, Finance DirectorPortfolio CITYAPReporting period 07/01/2023-07/31/2023Run Date: 09/20/2023 - 12:39PM (PRF_PM1) 7.3.11Report Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E9/21/2023Page 151 of 570 YTM/C365Page 1Par Value Book ValueMaturityDateStatedRateMarket ValueJuly 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDateCAMP5.310C.A.M.P. POOL (CITY)13 155,135,651.23 155,135,651.23 5.310155,135,651.23SYS13 15.310C.A.M.P. POOL (DESERT WILLOW)12444 4,373,489.69 4,373,489.69 5.3104,373,489.69SYS12444 1159,509,140.92159,509,140.92159,509,140.92158,815,543.02Subtotal and Average 5.310 1U.S. BANK / LAIF BOND PROCEEDS0.203LOCAL AGENCY INVESTMENT FUND12-33-084 0.00 0.00 0.2030.00252026003 10.000.000.000.00Subtotal and Average 0.000 0FEDERAL AGENCY - COUPON0.505FEDERAL HOME LOAN BANK664 3,000,000.00 2,999,828.08 10/28/20240.50007/28/2021 2,833,650.00 Aaa3130ANAC4 4540.500FEDERAL HOME LOAN BANK710 5,000,000.00 5,000,000.00 12/08/20230.50011/04/2021 4,830,800.00 Aaa3130APR72 1290.360FEDERAL HOME LOAN MTG CORP706 3,000,000.00 2,998,537.66 10/16/20230.12510/21/2021 2,893,710.00 Aaa3137EAEY1 760.350FEDERAL HOME LOAN MTG CORP707 3,000,000.00 2,999,692.91 09/08/20230.25010/21/2021 2,906,910.00 Aaa3137EAEW5 3813,998,058.6513,465,070.0014,000,000.0013,997,663.18Subtotal and Average 0.439 168LAIF3.305LOCAL AGENCY INVESTMENT FUND12000 20,817,543.64 20,817,543.64 3.30520,817,543.6412000 120,817,543.6420,817,543.6420,817,543.6420,817,543.64Subtotal and Average 3.305 1FEDERAL AGENCY - CALLABLE0.520FEDERAL FARM CREDIT BANK668 5,000,000.00 4,986,162.00 12/23/20240.32009/14/2021 4,655,800.00 Aaa3133EMLP5 5100.370FEDERAL FARM CREDIT BANK698 3,000,000.00 2,999,802.50 10/20/20230.34010/20/2021 2,908,920.00 Aaa3133ENBN9 800.331FEDERAL FARM CREDIT BANK699 3,000,000.00 2,999,641.51 10/12/20230.27010/19/2021 2,901,330.00 Aaa3133ENAU4 720.400FEDERAL HOME LOAN BANK660 3,000,000.00 3,000,000.00 07/29/20240.40007/29/2021 2,854,620.00 Aaa3130AN7K0 3630.450FEDERAL HOME LOAN BANK708 3,000,000.00 3,000,000.00 11/24/20230.45011/24/2021 2,899,140.00 Aaa3130APMC6 11516,985,606.0116,219,810.0017,000,000.0016,985,113.28Subtotal and Average 0.427 261TRUSTEE CASH BALANCES0.030GOLDMAN SACHS GOVERNMENT FUND382 0.00 0.00 0.0300.00 Aaa252026000-G 10.030GOLDMAN SACHS GOVERNMENT FUND383 0.00 0.00 0.03007/01/2022 0.00 Aaa252026001-G 10.030GOLDMAN SACHS GOVERNMENT FUND384 0.00 0.00 0.0300.00 Aaa252026002-G 10.030GOLDMAN SACHS GOVERNMENT FUND385 0.00 0.00 0.0300.00 Aaa252026003-G 10.030GOLDMAN SACHS GOVERNMENT FUND386 0.00 0.00 0.0300.00 Aaa252026004-G 10.030GOLDMAN SACHS GOVERNMENT FUND401 0.00 0.00 0.0300.00 Aaa252026017-G 10.030GOLDMAN SACHS GOVERNMENT FUND402 0.00 0.00 0.0300.00 Aaa252026018-G 1Portfolio CITYAPRun Date: 09/20/2023 - 12:39PM (PRF_PM2) 7.3.11Report Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 152 of 570 YTM/C365Page 2Par Value Book ValueMaturityDateStatedRateMarket ValueJuly 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDateTRUSTEE CASH BALANCES5.220GOLDMAN SACHS GOVERNMENT FUND404 27.58 27.58 5.22027.58 Aaa260128000-G 10.030GOLDMAN SACHS GOVERNMENT FUND405 0.00 0.00 0.03007/01/2022 0.00 Aaa260128001-G 10.030GOLDMAN SACHS GOVERNMENT FUND407 0.00 0.00 0.03007/01/2022 0.00 Aaa260128002-G 10.030GOLDMAN SACHS GOVERNMENT FUND408 0.00 0.00 0.03007/01/2022 0.00 Aaa260128003-G 10.030GOLDMAN SACHS GOVERNMENT FUND409 0.00 0.00 0.03007/01/2022 0.00 Aaa260128004-G 10.030GOLDMAN SACHS GOVERNMENT FUND410 0.00 0.00 0.0300.00 Aaa260128005-G 10.030GOLDMAN SACHS GOVERNMENT FUND412 0.00 0.00 0.0300.00 Aaa260128006-G 10.030GOLDMAN SACHS GOVERNMENT FUND414 0.00 0.00 0.0300.00 Aaa260128007-G 10.030GOLDMAN SACHS GOVERNMENT FUND415 0.00 0.00 0.0300.00 Aaa260128008-G 15.210GOLDMAN SACHS GOVERNMENT FUND416 144.42 144.42 5.210144.42 Aaa260128009-G 15.210GOLDMAN SACHS GOVERNMENT FUND417 857.19 857.19 5.210857.19 Aaa260128010-G 15.210GOLDMAN SACHS GOVERNMENT FUND418 166,401.49 166,401.49 5.210166,401.49 Aaa260128011-G 10.030GOLDMAN SACHS GOVERNMENT FUND419 0.00 0.00 0.0300.00 Aaa261470000-G 10.030GOLDMAN SACHS GOVERNMENT FUND420 0.00 0.00 0.0300.00 Aaa261470001-G 10.030GOLDMAN SACHS GOVERNMENT FUND421 0.00 0.00 0.0300.00 Aaa261470002-G 10.000GOLDMAN SACHS GOVERNMENT FUND671 43.72 43.7243.72 Aaa263346000-G 10.000GOLDMAN SACHS GOVERNMENT FUND672 0.50 0.5007/01/2022 0.50 Aaa263346001-G 10.000GOLDMAN SACHS GOVERNMENT FUND673 0.19 0.190.19 Aaa263346002-G 10.000GOLDMAN SACHS GOVERNMENT FUND674 874,217.95 874,217.95874,217.95 Aaa263346003-G 10.030GOLDMAN SACHS GOVERNMENT FUND675 0.00 0.00 0.03007/01/2022 0.00 Aaa263346004-G 10.030GOLDMAN SACHS GOVERNMENT FUND676 0.94 0.94 0.03007/01/2022 0.94 Aaa263346005-G 10.000GOLDMAN SACHS GOVERNMENT FUND677 0.00 0.000.00 Aaa263346006-G 10.000GOLDMAN SACHS GOVERNMENT FUND678 1.53 1.531.53 Aaa263346007-G 10.030GOLDMAN SACHS GOVERNMENT FUND679 1.69 1.69 0.03007/01/2022 1.69 Aaa263599000-G 10.000GOLDMAN SACHS GOVERNMENT FUND680 81.25 81.2507/01/2022 81.25 Aaa263599001-G 10.000GOLDMAN SACHS GOVERNMENT FUND682 1,416,858.81 1,416,858.811,416,858.81 Aaa263599002-G 10.000GOLDMAN SACHS GOVERNMENT FUND683 0.00 0.000.00 Aaa263599003-G 10.030GOLDMAN SACHS GOVERNMENT FUND684 0.00 0.00 0.03007/01/2022 0.00 Aaa269048000-G 10.000GOLDMAN SACHS GOVERNMENT FUND685 19.62 19.6219.62 Aaa271146000-G 10.000GOLDMAN SACHS GOVERNMENT FUND687 0.10 0.1007/01/2022 0.10 Aaa271146001-G 10.030GOLDMAN SACHS GOVERNMENT FUND688 0.03 0.03 0.03007/01/2022 0.03 Aaa271146002-G 10.000GOLDMAN SACHS GOVERNMENT FUND689 468,409.62 468,409.62468,409.62 Aaa271146003-G 10.030GOLDMAN SACHS GOVERNMENT FUND690 0.00 0.00 0.03007/01/2022 0.00 Aaa271146004-G 10.030GOLDMAN SACHS GOVERNMENT FUND691 0.70 0.70 0.03007/01/2022 0.70 Aaa271146005-G 10.000GOLDMAN SACHS GOVERNMENT FUND692 0.00 0.000.00 Aaa271146006-G 10.030GOLDMAN SACHS GOVERNMENT FUND693 0.00 0.00 0.03007/01/2022 0.00 Aaa277580000-G 1Portfolio CITYAPRun Date: 09/20/2023 - 12:39PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 153 of 570 YTM/C365Page 3Par Value Book ValueMaturityDateStatedRateMarket ValueJuly 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDateTRUSTEE CASH BALANCES0.005GOLDMAN SACHS GOVERNMENT FUND744 22,380.28 22,380.28 0.00522,380.28 Aaa263599004 12,949,447.612,949,447.612,949,447.612,949,447.52Subtotal and Average 0.296 1MEDIUM-TERM NOTES0.450AMAZON.COM INC.662 3,000,000.00 3,000,000.00 05/12/20240.45007/19/2021 2,852,400.00 A023135BW5 2850.500CATERPILLAR FINANCIAL SERVICES697 3,000,000.00 2,998,812.14 05/17/20240.45010/08/2021 2,841,930.00 A14913R2L0 2905.250Freddie Mac760 5,000,000.00 5,000,000.00 12/30/20245.25012/30/2022 5,000,000.00 Aaa3134GYAB8 5176.750GOLDMAN SACHS GOVERNMENT FUND752 5,000,000.00 5,000,000.00 10/29/20276.75010/31/2022 5,000,000.00 A238150APM1 1,5503.999MORGAN STANLEY747 5,000,000.00 5,000,000.00 07/23/20254.00009/01/2022 5,000,000.00 A16174468C6 7220.500TOYOTA MOTOR CREDIT CORP658 3,000,000.00 3,000,000.00 06/18/20240.50006/18/2021 2,831,460.00 A89236TJH9 3220.530TOYOTA MOTOR CREDIT CORP659 3,000,000.00 2,999,210.49 06/18/20240.50007/08/2021 2,831,460.00 A89236TJH9 3220.525TOYOTA MOTOR CREDIT CORP667 3,000,000.00 2,999,344.63 06/18/20240.50009/14/2021 2,831,460.00 A89236TJH9 32229,997,367.2629,188,710.0030,000,000.0029,997,245.02Subtotal and Average 2.917 619CUSTODIAN PROJECT FUNDS5.090FIRST AMERICAN US TREASURY MMF647 5,984,015.29 5,984,015.29 5.0905,984,015.29 Aaa6736302420-G 15.090FIRST AMERICAN US TREASURY MMF648 26,304,972.79 26,304,972.79 5.09026,304,972.79 Aaa6736302430-G 15.090FIRST AMERICAN US TREASURY MMF649 12,381,629.38 12,381,629.38 5.09012,381,629.38 Aaa6736302440-G 15.090FIRST AMERICAN US TREASURY MMF650 20,202,532.88 20,202,532.88 5.09020,202,532.88 Aaa6736302450-G 164,873,150.3464,873,150.3464,873,150.3464,853,143.67Subtotal and Average 5.090 1RIVERSIDE COUNTY POOL3.860POOLED INVESTMENT FUND052460 2,697,698.66 2,697,698.66 3.8602,697,698.66 Aaa052460 12,697,698.662,697,698.662,697,698.662,683,570.65Subtotal and Average 3.860 1CUSTODIAN PROJECT FUNDS0.010GOLDMAN SACHS TREASURY FUND498 0.00 0.00 0.0100.00 Aaa6736302420 10.010GOLDMAN SACHS TREASURY FUND499 0.00 0.00 0.0100.00 Aaa6736302430 10.010GOLDMAN SACHS TREASURY FUND500 0.00 0.00 0.0100.00 Aaa6736302440 10.010GOLDMAN SACHS TREASURY FUND501 0.00 0.00 0.0100.00 Aaa6736302450 10.000.000.000.00Subtotal and Average 0.000 0Portfolio CITYAPRun Date: 09/20/2023 - 12:39PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 154 of 570 YTM/C365Page 4Par Value Book ValueStatedRateMarket ValueJuly 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDate325,898,332.12 311,846,981.17 4.356 82309,720,571.17 311,828,013.09Total and AveragePortfolio CITYAPRun Date: 09/20/2023 - 12:39PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 155 of 570 YTM/C365Page 5Par Value Book ValueStatedRateMarket ValueJuly 31, 2023Portfolio Details - CashAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDateCUSTODIAN PROJECT FUNDS0.000CITY OF PALM DESERT753 0.00 0.0010/27/2022 0.00SYS753 1BANK CHECKING ACCOUNTS0.000CITY OF PALM DESERT MAIN13016 0.00 0.000.00SYS13016 10.000DESERT WILLOW GOLF COURSE13013 0.00 0.0007/01/2022 0.00SYS13013 10.000PUBLIC SAFETY CHECKING602 0.00 0.0007/01/2022 0.00SYS602 10.000RECREATIONAL FACILITIES CORP13020 0.00 0.0007/01/2022 0.00SYS13020 10.000US Bank 1101 5,727,425.01 5,727,425.0105/26/2023 5,727,425.01SYS9121 10.000US Bank 1DW102 61,987.05 61,987.0505/26/2023 61,987.05SYS9154 10.000US Bank 1PDRFC103 1,000.00 1,000.0005/26/2023 1,000.00SYS9162 10.000US Bank 1PUBSAF107 1,136,961.77 1,136,961.7705/26/2023 1,136,961.77SYS4316 10.000WELLS FARGO BANKWFDW111 860,955.39 860,955.3905/24/2023 860,955.39 A1SYS6359 10.000WELLS FARGO BANKWFMAIN108 82,959.00 82,959.0005/19/2023 82,959.00 A1SYS6391 10.000WELLS FARGO BANKWFPDRFC112 1,347,827.18 1,347,827.1805/24/2023 1,347,827.18 A1SYS6342 10.00325,898,332.12 321,066,096.57 4.356 821Average Balance318,939,686.57 321,047,128.49Total Cash and InvestmentsPortfolio CITYAPRun Date: 09/20/2023 - 12:39PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 156 of 570 PALM DESERT HOUSING AUTHORITYPortfolio ManagementJuly 31, 2023Portfolio Summary% ofPortfolioBookValueInvestmentsMarketValueParValueTermDays toMat./CallYTM/C365 Equiv.CAMP 51,140,509.56 198.09 5.310151,140,509.5651,140,509.56LAIF 998,018.16 11.91 3.3051998,018.16998,018.1652,138,527.72 100.00%Investments52,138,527.7252,138,527.721 1 5.272Cash(not included in yield calculations)Passbook/Checking4,195,946.84 1 0.00014,195,946.844,195,946.8456,334,474.56Total Cash and Investments56,334,474.5656,334,474.561 1 5.272Current YearJuly 31242,509.49Average Daily BalanceEffective Rate of Return56,037,735.355.10%Total Earnings Month EndingThis investment portfolio complies with the provisions of California Government Code Section 53601 and the City of Palm Desert investment policy. Barring unforeseen events, it has sufficient cash to fundHousing Authority operations for the next six months. All balances are bank balances. The "% of Portfolio" calculation on the Portfolio Summary page omits demand deposits.__________________________________________________ ____________________Veronica Chavez, Finance DirectorPortfolio HAAPReporting period 07/01/2023-07/31/2023Run Date: 09/20/2023 - 12:38PM (PRF_PM1) 7.3.11No fiscal year history availableReport Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E9/21/2023Page 157 of 570 Days toMat./CallPage 1Par Value Book ValueMaturityDateStatedRateMarket ValueJuly 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementPALM DESERT HOUSING AUTHORITYYTM/C365Moody'sCUSIP Investment #PurchaseDateCAMP1CA ASSET MANAGEMENT PROGRAM12008 51,140,509.56 51,140,509.56 5.31051,140,509.56SYS12008 5.31051,140,509.5651,140,509.5651,140,509.5650,918,133.90Subtotal and Average 1 5.310CUSTODIAN PROJECT FUNDS1GOLDMAN SACHS TREASURY FUND590 0.00 0.00 0.0100.00 Aaa6736302460 0.0100.000.000.000.00Subtotal and Average 0 0.000LAIF1LOCAL AGENCY INVESTMENT FUND21003 998,018.16 998,018.16 3.305998,018.16SYS21003 3.305998,018.16998,018.16998,018.16998,018.16Subtotal and Average 1 3.305CUSTODIAN PROJECT FUNDS1FIRST AMERICAN US TREASURY MMF597 0.00 0.00 4.86001/01/2021 0.00 Aaa6736302460-G 4.8600.000.000.000.00Subtotal and Average 0 0.00056,037,735.35 52,138,527.72 1 5.27252,138,527.72 52,138,527.72Total and AveragePortfolio HAAPRun Date: 09/20/2023 - 12:38PM (PRF_PM2) 7.3.11Report Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 158 of 570 Days toMat./CallPage 2Par Value Book ValueStatedRateMarket ValueJuly 31, 2023Portfolio Details - CashAverageBalanceIssuerPortfolio ManagementPALM DESERT HOUSING AUTHORITYYTM/C365Moody'sCUSIP Investment #PurchaseDateCHECKING1HOUSING AUTH CHECKING25015 0.00 0.000.00SYS25015 0.0001HOUSING AUTH CHECKINGHSG104 3,165.80 3,165.8005/29/2023 3,165.80SYS9204 0.0001HOUSING AUTH TRUST25016 0.00 0.0007/01/2020 0.00SYS25016 0.0001WELLS FARGO BANKWFHSG113 3,696,532.54 3,696,532.5406/01/2023 3,696,532.54 A1SYS6375 0.0001WELLS FARGO BANKWFHSGT 496,248.50 496,248.5006/01/2023 496,248.50 A1SYS6367 0.0000.0056,037,735.35 56,334,474.56 1 5.2721Average Balance56,334,474.56 56,334,474.56Total Cash and InvestmentsPortfolio HAAPRun Date: 09/20/2023 - 12:38PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 159 of 570 RDA SUCCESSOR AGENCYPortfolio ManagementJuly 31, 2023Portfolio Summary% ofPortfolioBookValueInvestmentsMarketValueParValueTermDays toMat./CallYTM/C365 Equiv.RIVERSIDE COUNTY POOL 343.41 10.00 3.8601343.41343.41CAMP 6,000.05 10.04 5.31016,000.056,000.05LAIF 762.35 10.01 3.3101762.35762.35TRUSTEE CASH BALANCES - MMA 12,468,016.12 190.77 0.000112,468,016.1212,468,016.12TRUSTEE CASH BALANCES - GF 1,261,048.04 19.18 5.02011,261,048.041,261,048.0413,736,169.97 100.00%Investments13,736,169.9713,736,169.971 1 0.463Cash(not included in yield calculations)Passbook/Checking28,207,497.23 1 0.000128,207,497.2328,207,497.2341,943,667.20Total Cash and Investments41,943,667.2041,943,667.201 1 0.463Current YearJuly 311,335.45Average Daily BalanceEffective Rate of Return42,181,051.840.04%Total Earnings Month EndingThis investment portfolio is in compliance with the provisions of California Government Code Section 53601 and the City of Palm Desert investment policy. Pursuant to ABX126, the availability of cash tofund the Palm Desert RDA Successor Agency's debt service is dependent upon the County of Riverside and the State of California. All balances are bank balances. The "% of Portfolio" calculation on thePortfolio Summary page omits demand deposits.__________________________________________________ ____________________Veronica Chavez, Finance DirectorPortfolio RDASAPReporting period 07/01/2023-07/31/2023Run Date: 09/20/2023 - 12:36PM (PRF_PM1) 7.3.11No fiscal year history availableReport Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E9/21/2023Page 160 of 570 Days toMat./CallPage 1Par Value Book ValueMaturityDateStatedRateMarket ValueJuly 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementRDA SUCCESSOR AGENCYYTM/C365Moody'sCUSIP Investment #PurchaseDateRIVERSIDE COUNTY POOL1POOLED INVESTMENT FUND052470 343.41 343.41 3.86007/01/2020 343.41 Aaa052470 3.860343.41343.41343.41343.02Subtotal and Average 1 3.860CAMP1C.A.M.P. POOL (RDA S.A.)578 6,000.05 6,000.05 5.3106,000.05SYS578 5.3106,000.056,000.056,000.055,973.96Subtotal and Average 1 5.310LAIF1L.A.I.F. (RDA S.A.)604 762.35 762.35 3.31007/01/2020 762.35SYS604 3.310762.35762.35762.35762.35Subtotal and Average 1 3.310TRUSTEE CASH BALANCES - MMA1U.S. BANK MONEY MARKET ACCOUNT830 0.05 0.0507/01/2020 0.05 P-1247394001-U 0.0001U.S. BANK MONEY MARKET ACCOUNT832 0.00 0.00 0.01007/01/2020 0.00 P-1247394003-U 0.0101U.S. BANK MONEY MARKET ACCOUNT833 1.03 1.031.03 P-1247394002-U 0.0001U.S. BANK MONEY MARKET ACCOUNT834 414,242.25 414,242.25414,242.25 P-1247394000-U 0.0001U.S. BANK MONEY MARKET ACCOUNT837 14.42 14.4214.42 P-1236781002-U 0.0001U.S. BANK MONEY MARKET ACCOUNT838 0.00 0.00 0.01007/01/2020 0.00 P-1236781003-U 0.0101U.S. BANK MONEY MARKET ACCOUNT839 7,343,244.57 7,343,244.577,343,244.57 P-1236781000-U 0.0001U.S. BANK MONEY MARKET ACCOUNT842 0.00 0.00 0.01007/01/2020 0.00 P-1253446003-U 0.0101U.S. BANK MONEY MARKET ACCOUNT843 7.66 7.667.66 P-1253446002-U 0.0001U.S. BANK MONEY MARKET ACCOUNT844 2,040,482.66 2,040,482.662,040,482.66 P-1253446000-U 0.0001U.S. BANK MONEY MARKET ACCOUNT845 0.41 0.4107/01/2020 0.41 P-1253446001-U 0.0001U.S. BANK MONEY MARKET ACCOUNT853 2,669,999.66 2,669,999.662,669,999.66 P-1224324000-U 0.0001U.S. BANK MONEY MARKET ACCOUNT855 0.79 0.7907/01/2020 0.79 P-1224324001-U 0.0001U.S. BANK MONEY MARKET ACCOUNT856 22.55 22.5522.55 P-1224324002-U 0.0001U.S. BANK MONEY MARKET ACCOUNT857 0.00 0.00 0.01007/01/2020 0.00 P-1224324003-U 0.0101U.S. BANK MONEY MARKET ACCOUNT881 0.07 0.0709/01/2020 0.07 P-1236781001-U 0.00012,468,016.1212,468,016.1212,468,016.1212,468,009.51Subtotal and Average 1 0.000TRUSTEE CASH BALANCES - GF1GOLDMAN SACHS GOVERNMENT FUND811 1,261,048.04 1,261,048.04 5.0201,261,048.04 Aaa277861000-G 5.0201GOLDMAN SACHS GOVERNMENT FUND812 0.00 0.00 0.0300.00 Aaa277861001-G 0.0301GOLDMAN SACHS GOVERNMENT FUND813 0.00 0.00 0.03007/01/2020 0.00 Aaa277861002-G 0.0301GOLDMAN SACHS GOVERNMENT FUND814 0.00 0.00 0.03007/01/2020 0.00 Aaa277861003-G 0.030Portfolio RDASAPRun Date: 09/20/2023 - 12:36PM (PRF_PM2) 7.3.11Report Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 161 of 570 Days toMat./CallPage 2Par Value Book ValueStatedRateMarket ValueJuly 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementRDA SUCCESSOR AGENCYYTM/C365Moody'sCUSIP Investment #PurchaseDate1,261,048.041,261,048.041,261,048.04305,863.00Subtotal and Average 1 5.02042,181,051.84 13,736,169.97 1 0.46313,736,169.97 13,736,169.97Total and AveragePortfolio RDASAPRun Date: 09/20/2023 - 12:36PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 162 of 570 Days toMat./CallPage 3Par Value Book ValueStatedRateMarket ValueJuly 31, 2023Portfolio Details - CashAverageBalanceIssuerPortfolio ManagementRDA SUCCESSOR AGENCYYTM/C365Moody'sCUSIP Investment #PurchaseDateUNION BANK CHECKING ACCOUNTS1RDA SUCCESSOR AGENCY582 0.00 0.000.00SYS582 0.0001RDA SUCCESSOR AGENCYRDA106 28,207,497.23 28,207,497.2306/01/2023 28,207,497.23SYS4021 0.0000.0042,181,051.84 41,943,667.20 1 0.4631Average Balance41,943,667.20 41,943,667.20Total Cash and InvestmentsPortfolio RDASAPRun Date: 09/20/2023 - 12:36PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 163 of 570 CITY OF PALM DESERT ACCOUNT STATEMENT For the Month Ending July 31, 2023 Customer Service PO Box 11813 Harrisburg, PA 17108-1813 Contents Cover/Disclosures Summary Statement Individual Accounts CITY OF PALM DESERT MITCHELL ARBAUGH 73-510 FRED WARING DR PALM DESERT, CA 92260 Client Management Team Accounts included in Statement 553-00 CITY OF PALM DESERT 553-04 DESERT WILLOW GOLF RESORT 553-06 PALM DESERT HOUSING AUTHORITY 553-08 RDA SUCCESSOR AGENCY -- PALM DESERT www.camponline.comOnline Access 1-800-729-7665Customer Service Important Messages CAMP will be closed on 09/04/2023 for Labor Day. Jeremy King Key Account Manager 213 Market Street Harrisburg, PA 17101-2141 1-800-729-7665 kingj@pfmam.com Rachael Miller Client Consultant 213 Market Street Harrisburg, PA 17101-2141 1-800-729-7665 millerr@pfmam.com DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 164 of 570 For the Month Ending July 31, 2023 Account Statement Important Disclosures Important Disclosures 365 and dividing the result by 7. The yields quoted should not be considered a representation of the yield of the fund in the future, since the yield is not fixed. Average maturity represents the average maturity of all securities and investments of a portfolio, determined by multiplying the par or principal value of each security or investment by its maturity (days or years), summing the products, and dividing the sum by the total principal value of the portfolio. The stated maturity date of mortgage backed or callable securities are used in this statement. However the actual maturity of these securities could vary depending on the level or prepayments on the underlying mortgages or whether a callable security has or is still able to be called. Monthly distribution yield represents the net change in the value of one share (normally $1.00 per share) resulting from all dividends declared during the month by a fund expressed as a percentage of the value of one share at the beginning of the month. This resulting net change is then annualized by multiplying it by 365 and dividing it by the number of calendar days in the month. YTM at Cost The yield to maturity at cost is the expected rate of return, based on the original cost, the annual interest receipts, maturity value and the time period from purchase date to maturity, stated as a percentage, on an annualized basis. YTM at Market The yield to maturity at market is the rate of return, based on the current market value, the annual interest receipts, maturity value and the time period remaining until maturity, stated as a percentage, on an annualized basis. Managed Account A portfolio of investments managed discretely by PFMAM according to the client’s specific investment policy and requirements. The investments are directly owned by the client and held by the client’s custodian. Unsettled Trade A trade which has been executed however the final consummation of the security transaction and payment has not yet taken place. Please review the detail pages of this statement carefully. If you think your statement is wrong, missing account information, or if you need more information about a transaction, please contact PFMAM within 60 days of receipt. If you have other concerns or questions regarding your account, or to request an updated copy of PFMAM's current disclosure statement, please contact a member of your client management team at PFMAM Service Operations at the address below. PFM Asset Management LLC Attn: Service Operations 213 Market Street Harrisburg, PA 17101 NOT FDIC INSURED     NO BANK GUARANTEE     MAY LOSE VALUE This statement is for general information purposes only and is not intended to provide specific advice or recommendations. PFM Asset Management LLC ("PFMAM") is an investment adviser registered with the U.S. Securities and Exchange Commission and a subsidiary of U.S. Bancorp Asset Management, Inc. ("USBAM"). USBAM is a subsidiary of U.S. Bank National Association ("U.S. Bank"). U.S. Bank is a separate entity and subsidiary of U.S. Bancorp. U.S. Bank is not responsible for and does not guarantee the products, services or performance of PFMAM. PFMAM maintains a written disclosure statement of our background and business experience. If you would like to receive a copy of our current disclosure statement, please contact Service Operations at the address below. Proxy Voting PFMAM does not normally receive proxies to vote on behalf of its clients. However, it does on occasion receive consent requests. In the event a consent request is received the portfolio manager contacts the client and then proceeds according to their instructions. PFMAM’s Proxy Voting Policy is available upon request by contacting Service Operations at the address below. Questions About an Account PFMAM’s monthly statement is intended to detail our investment advisory activity as well as the activity of any accounts held by clients in pools that are managed by PFMAM. The custodian bank maintains the control of assets and executes (i.e., settles) all investment transactions. The custodian statement is the official record of security and cash holdings and transactions. PFMAM recognizes that clients may use these reports to facilitate record keeping and that the custodian bank statement and the PFMAM statement should be reconciled and differences resolved. Many custodians use a settlement date basis which may result in the need to reconcile due to a timing difference. Account Control PFMAM does not have the authority to withdraw funds from or deposit funds to the custodian outside the scope of services provided by PFMAM. Our clients retain responsibility for their internal accounting policies; implementing and enforcing internal controls and generating ledger entries or otherwise recording transactions. Market Value Generally, PFMAM’s market prices are derived from closing bid prices as of the last business day of the month as supplied by Refinitiv or Bloomberg. For certain short-term investments or where prices are not available from generally recognized sources the securities are priced using a yield-based matrix system to arrive at an estimated market value. Prices that fall between data points are interpolated. Non-negotiable FDIC-insured bank certificates of deposit are priced at par. Although PFMAM believes the prices to be reliable, the values of the securities may not represent the prices at which the securities could have been bought or sold. Explanation of the valuation methods for a registered investment company or local government investment program is contained in the appropriate fund offering documentation or information statement. Amortized Cost The original cost of the principal of the security is adjusted for the amount of the periodic reduction of any discount or premium from the purchase date until the date of the report. Discount or premium with respect to short term securities (those with less than one year to maturity at time of issuance) is amortized on a straightline basis. Such discount or premium with respect to longer term securities is amortized using the constant yield basis. Tax Reporting Cost data and realized gains / losses are provided for informational purposes only. Please review for accuracy and consult your tax advisor to determine the tax consequences of your security transactions. PFMAM does not report such information to the IRS or other taxing authorities and is not responsible for the accuracy of such information that may be required to be reported to federal, state or other taxing authorities. Financial Situation In order to better serve you, PFMAM should be promptly notified of any material change in your investment objective or financial situation. Callable Securities Securities subject to redemption prior to maturity may be redeemed in whole or in part before maturity, which could affect the yield represented. Portfolio The securities in this portfolio, including shares of mutual funds, are not guaranteed or otherwise protected by PFMAM, the FDIC (except for certain non-negotiable certificates of deposit) or any government agency. Investment in securities involves risks, including the possible loss of the amount invested. Actual settlement values, accrued interest, and amortized cost amounts may vary for securities subject to an adjustable interest rate or subject to principal paydowns. Any changes to the values shown may be reflected within the next monthly statement’s beginning values. Rating Information provided for ratings is based upon a good faith inquiry of selected sources, but its accuracy and completeness cannot be guaranteed. Shares of some local government investment programs and TERM funds are marketed through representatives of PFMAM's affiliate, PFM Fund Distributors, Inc. which is registered with the SEC as a broker/dealer and is a member of the Financial Industry Regulatory Authority (“FINRA”) and the Municipal Securities Rulemaking Board (“MSRB”). You may reach the FINRA by calling the FINRA Hotline at 1-800-289-9999 or at the FINRA website address https://www.finra.org/investors/investor-contacts. A brochure describing the FINRA Regulation Public Disclosure Program is also available from FINRA upon request. Key Terms and Definitions Dividends on local government investment program funds consist of interest earned, plus any discount ratably amortized to the date of maturity, plus all realized gains and losses on the sale of securities prior to maturity, less ratable amortization of any premium and all accrued expenses to the fund. Dividends are accrued daily and may be paid either monthly or quarterly. The monthly earnings on this statement represent the estimated dividend accrued for the month for any program that distributes earnings on a quarterly basis. There is no guarantee that the estimated amount will be paid on the actual distribution date. Current Yield is the net change, exclusive of capital changes and income other than investment income, in the value of a hypothetical fund account with a balance of one share over the seven-day base period including the statement date, expressed as a percentage of the value of one share (normally $1.00 per share) at the beginning of the seven-day period. This resulting net change in account value is then annualized by multiplying it by DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 165 of 570 For the Month Ending July 31, 2023 Account Statement Consolidated Summary Statement CITY OF PALM DESERT Investment Allocation Investment Type Closing Market Value Percent 210,655,650.53 100.00 Joint Powers Authority $210,655,650.53 Total 100.00% Portfolio Summary and Income Closing Market Value Current Portfolio Holdings Cash Dividends Yield CAMP Pool 946,532.97 210,655,650.53 5.43 % $946,532.97 $210,655,650.53 Total Maturity Distribution (Fixed Income Holdings) Portfolio Holdings Closing Market Value Percent 210,655,650.53 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 100.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Under 30 days 31 to 60 days 61 to 90 days 91 to 180 days 181 days to 1 year 1 to 2 years 2 to 3 years 3 to 4 years 4 to 5 years Over 5 years Total $210,655,650.53 1 100.00% Weighted Average Days to Maturity Sector Allocation 100.00% Joint Powers Authority Summary Page 1 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 166 of 570 For the Month Ending July 31, 2023 Account Statement Consolidated Summary Statement CITY OF PALM DESERT and Income Closing Market Value Change in Value Trades MaturitiesDeposits ValueAccount Name Account Number Cash DividendsUnsettled Redemptions / Sales/Purchases /Opening Market 553-00 154,438,584.68 697,066.55 0.00 0.00 155,135,651.23 0.00 697,066.55 CITY OF PALM DESERT 553-04 4,353,838.41 19,651.28 0.00 0.00 4,373,489.69 0.00 19,651.28 DESERT WILLOW GOLF RESORT 553-06 50,910,721.38 229,788.18 0.00 0.00 51,140,509.56 0.00 229,788.18 PALM DESERT HOUSING AUTHORITY 553-08 5,973.09 26.96 0.00 0.00 6,000.05 0.00 26.96 RDA SUCCESSOR AGENCY -- PALM DESERT $209,709,117.56 $946,532.97 $0.00 $0.00 $210,655,650.53 $946,532.97 Total $0.00 Summary Page 2 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 167 of 570 For the Month Ending July 31, 2023Account Statement - Transaction Summary CITY OF PALM DESERT - CITY OF PALM DESERT - 553-00 Opening Market Value Purchases Redemptions Change in Value Closing Market Value 154,438,584.68 697,066.55 0.00 0.00 $155,135,651.23 CAMP Pool Unsettled Trades 0.00 697,066.55 Cash Dividends and Income July 31, 2023 June 30, 2023 Asset Summary CAMP Pool 155,135,651.23 154,438,584.68 $155,135,651.23 $154,438,584.68 Total Asset Allocation 100.00% CAMP Pool Account 553-00 Page 1 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 168 of 570 For the Month Ending July 31, 2023Account Statement CITY OF PALM DESERT - CITY OF PALM DESERT - 553-00 Total Settlement Dollar AmountShare or Trade Shares OwnedDateTransaction Description of TransactionUnit PriceDate CAMP Pool 154,438,584.68 Opening Balance 07/31/23 08/01/23 Accrual Income Div Reinvestment - Distributions 1.00 697,066.55 155,135,651.23 155,135,651.23 155,135,651.23 155,135,651.23 154,461,070.70 3,909,185.11 0.00 0.00 104,909,185.11 50,226,466.12 697,066.55 155,135,651.23 0.00 0.00 697,066.55 154,438,584.68 Monthly Distribution Yield Average Monthly Balance Closing Balance Fiscal YTDMonth of Cash Dividends and Income Closing Balance Check Disbursements Redemptions (Excl. Checks) Purchases Opening Balance Closing Balance July January-July 5.31% Account 553-00 Page 2 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 169 of 570 For the Month Ending July 31, 2023Account Statement - Transaction Summary CITY OF PALM DESERT - DESERT WILLOW GOLF RESORT - 553-04 Opening Market Value Purchases Redemptions Change in Value Closing Market Value 4,353,838.41 19,651.28 0.00 0.00 $4,373,489.69 CAMP Pool Unsettled Trades 0.00 19,651.28 Cash Dividends and Income July 31, 2023 June 30, 2023 Asset Summary CAMP Pool 4,373,489.69 4,353,838.41 $4,373,489.69 $4,353,838.41 Total Asset Allocation 100.00% CAMP Pool Account 553-04 Page 1 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 170 of 570 For the Month Ending July 31, 2023Account Statement CITY OF PALM DESERT - DESERT WILLOW GOLF RESORT - 553-04 Total Settlement Dollar AmountShare or Trade Shares OwnedDateTransaction Description of TransactionUnit PriceDate CAMP Pool 4,353,838.41 Opening Balance 07/31/23 08/01/23 Accrual Income Div Reinvestment - Distributions 1.00 19,651.28 4,373,489.69 4,373,489.69 4,373,489.69 4,373,489.69 4,354,472.32 104,703.55 0.00 0.00 2,104,703.55 2,268,786.14 19,651.28 4,373,489.69 0.00 0.00 19,651.28 4,353,838.41 Monthly Distribution Yield Average Monthly Balance Closing Balance Fiscal YTDMonth of Cash Dividends and Income Closing Balance Check Disbursements Redemptions (Excl. Checks) Purchases Opening Balance Closing Balance July January-July 5.31% Account 553-04 Page 2 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 171 of 570 For the Month Ending July 31, 2023Account Statement - Transaction Summary CITY OF PALM DESERT - PALM DESERT HOUSING AUTHORITY - 553-06 Opening Market Value Purchases Redemptions Change in Value Closing Market Value 50,910,721.38 229,788.18 0.00 0.00 $51,140,509.56 CAMP Pool Unsettled Trades 0.00 229,788.18 Cash Dividends and Income July 31, 2023 June 30, 2023 Asset Summary CAMP Pool 51,140,509.56 50,910,721.38 $51,140,509.56 $50,910,721.38 Total Asset Allocation 100.00% CAMP Pool Account 553-06 Page 1 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 172 of 570 For the Month Ending July 31, 2023Account Statement CITY OF PALM DESERT - PALM DESERT HOUSING AUTHORITY - 553-06 Total Settlement Dollar AmountShare or Trade Shares OwnedDateTransaction Description of TransactionUnit PriceDate CAMP Pool 50,910,721.38 Opening Balance 07/31/23 08/01/23 Accrual Income Div Reinvestment - Distributions 1.00 229,788.18 51,140,509.56 51,140,509.56 51,140,509.56 51,140,509.56 50,918,133.90 1,451,249.43 0.00 0.00 1,451,249.43 49,689,260.13 229,788.18 51,140,509.56 0.00 0.00 229,788.18 50,910,721.38 Monthly Distribution Yield Average Monthly Balance Closing Balance Fiscal YTDMonth of Cash Dividends and Income Closing Balance Check Disbursements Redemptions (Excl. Checks) Purchases Opening Balance Closing Balance July January-July 5.31% Account 553-06 Page 2 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 173 of 570 For the Month Ending July 31, 2023Account Statement - Transaction Summary CITY OF PALM DESERT - RDA SUCCESSOR AGENCY -- PALM DESERT - 553-08 Opening Market Value Purchases Redemptions Change in Value Closing Market Value 5,973.09 26.96 0.00 0.00 $6,000.05 CAMP Pool Unsettled Trades 0.00 26.96 Cash Dividends and Income July 31, 2023 June 30, 2023 Asset Summary CAMP Pool 6,000.05 5,973.09 $6,000.05 $5,973.09 Total Asset Allocation 100.00% CAMP Pool Account 553-08 Page 1 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 174 of 570 For the Month Ending July 31, 2023Account Statement CITY OF PALM DESERT - RDA SUCCESSOR AGENCY -- PALM DESERT - 553-08 Total Settlement Dollar AmountShare or Trade Shares OwnedDateTransaction Description of TransactionUnit PriceDate CAMP Pool 5,973.09 Opening Balance 07/31/23 08/01/23 Accrual Income Div Reinvestment - Distributions 1.00 26.96 6,000.05 6,000.05 6,000.05 6,000.05 5,973.96 170.26 0.00 0.00 170.26 5,829.79 26.96 6,000.05 0.00 0.00 26.96 5,973.09 Monthly Distribution Yield Average Monthly Balance Closing Balance Fiscal YTDMonth of Cash Dividends and Income Closing Balance Check Disbursements Redemptions (Excl. Checks) Purchases Opening Balance Closing Balance July January-July 5.31% Account 553-08 Page 2 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 175 of 570 Local Agency Investment Fund P.O. Box 942809 Sacramento, CA 94209-0001 (916) 653-3001 September 12, 2023 LAIF Home PMIA Average Monthly Yields CITY OF PALM DESERT CITY TREASURER 73-510 FRED WARING DRIVE PALM DESERT, CA 92260-2578 Account Number: 98-33-621 July 2023 Statement Tran Type Definitions Effective Date Transaction Date Tran Type Confirm Number Web Confirm Number Authorized Caller Amount 7/14/2023 7/19/2023 QRD 1736151 N/A SYSTEM 162,173.65 Account Summary Total Deposit:162,173.65 Beginning Balance:20,655,369.99 Total Withdrawal:0.00 Ending Balance:20,817,543.64 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 176 of 570 Local Agency Investment Fund P.O. Box 942809 Sacramento, CA 94209-0001 (916) 653-3001 September 12, 2023 LAIF Home PMIA Average Monthly Yields PALM DESERT HOUSING AUTHORITY CITY TREASURER 73-510 FRED WARING DRIVE PALM DESERT, CA 92260-2578 Account Number: 25-33-003 July 2023 Statement Tran Type Definitions Effective Date Transaction Date Tran Type Confirm Number Web Confirm Number Authorized Caller Amount 7/14/2023 7/19/2023 QRD 1734679 N/A SYSTEM 7,774.80 Account Summary Total Deposit:7,774.80 Beginning Balance:990,243.36 Total Withdrawal:0.00 Ending Balance:998,018.16 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 177 of 570 Local Agency Investment Fund P.O. Box 942809 Sacramento, CA 94209-0001 (916) 653-3001 September 12, 2023 LAIF Home PMIA Average Monthly Yields S/A TO THE PALM DESERT REDEVELOPMENT AGENCY FINANCE DIRECTOR 73-510 FRED WARING DRIVE PALM DESERT, CA 92260-2578 Account Number: 65-33-023 July 2023 Statement Tran Type Definitions Effective Date Transaction Date Tran Type Confirm Number Web Confirm Number Authorized Caller Amount 7/14/2023 7/19/2023 QRD 1735101 N/A SYSTEM 5.94 Account Summary Total Deposit:5.94 Beginning Balance:756.41 Total Withdrawal:0.00 Ending Balance:762.35 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 178 of 570 Parameters:Query: Fund Summary County of Riverside Treasurer-Tax CollectorFund Summary Report Bank: oneof Account Number: oneof 052460, 052470 Counterparty: equalto Run Date:02-Aug-2023 08:34:52 AM User:Susan From : To : As at : 01-Jul-2023 31-Jul-2023 02-Aug-2023 Balance Calculation Based On:Value Date TotalBalance Forward Totaltrans_typeAccount NameAccount Numbe Balance ForwardAccount NameAccount Number Total ReceiptsTotal Receipts Total PaymentsTotal Payments City Of Palm Desert052460 $2,504,768.68 $192,929.98 $0.00 $2,697,698.66 RDA Successor Agcy Palm Desert052470 $340.91 $2.50 $0.00 $343.41 Grand Total:$2,505,109.59 $192,932.48 $0.00 $2,698,042.07 Printed on 8/2/2023 Page 1 of 1End of Report DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 179 of 570 CITY OF PALM DESERTPortfolio ManagementAugust 31, 2023Portfolio Summary% ofPortfolioBookValueInvestmentsMarketValueParValueTermDays toMat./CallYTM/C365 Equiv.CAMP 179,557,419.07 157.12 5.5201179,557,419.07179,557,419.07FEDERAL AGENCY - COUPON 13,998,904.11 1374.45 0.43983013,465,070.0014,000,000.00LAIF 817,543.64 10.26 3.3051817,543.64817,543.64FEDERAL AGENCY - CALLABLE 16,986,659.46 2305.40 0.42793016,219,810.0017,000,000.00TRUSTEE CASH BALANCES 5,144,189.13 11.64 0.31515,144,189.135,144,189.13MEDIUM-TERM NOTES 29,997,628.60 5889.54 2.9171,11829,188,710.0030,000,000.00CUSTODIAN PROJECT FUNDS 65,149,574.93 120.73 5.190165,149,574.9365,149,574.93RIVERSIDE COUNTY POOL 2,697,698.66 10.86 3.86012,697,698.662,697,698.66314,349,617.60 100.00%Investments312,240,015.43314,366,425.4375 195 4.597Cash(not included in yield calculations)Passbook/Checking5,779,745.96 1 0.00015,779,745.965,779,745.96320,129,363.56Total Cash and Investments318,019,761.39320,146,171.3975 195 4.597Current YearAugust 311,203,989.98Average Daily BalanceEffective Rate of Return320,275,540.684.43%Total Earnings Month EndingThis investment portfolio is in compliance with the provisions of California Government Code Section 53601 and the City of Palm Desert investment policy. Barring unforeseen events, it has sufficient cashto fund city expenditures for the next six months. US Bank Custody Services has provided market value prices for all corporate securities. All balances are bank balances. The "% of Portfolio" calculationon the Portfolio Summary page omits demand deposits. __________________________________________________ ____________________Veronica Chavez, Finance DirectorPortfolio CITYAPReporting period 08/01/2023-08/31/2023Run Date: 09/21/2023 - 08:12PM (PRF_PM1) 7.3.11No fiscal year history availableReport Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E9/21/2023Page 180 of 570 YTM/C365Page 1Par Value Book ValueMaturityDateStatedRateMarket ValueAugust 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDateCAMP5.520C.A.M.P. POOL (CITY)13 175,914,340.44 175,914,340.44 5.520175,914,340.44SYS13 15.520C.A.M.P. POOL (DESERT WILLOW)12444 3,643,078.63 3,643,078.63 5.5203,643,078.63SYS12444 1179,557,419.07179,557,419.07179,557,419.07170,309,085.38Subtotal and Average 5.520 1U.S. BANK / LAIF BOND PROCEEDS0.203LOCAL AGENCY INVESTMENT FUND12-33-084 0.00 0.00 0.2030.00252026003 10.000.000.000.00Subtotal and Average 0.000 0FEDERAL AGENCY - COUPON0.505FEDERAL HOME LOAN BANK664 3,000,000.00 2,999,839.62 10/28/20240.50007/28/2021 2,833,650.00 Aaa3130ANAC4 4230.500FEDERAL HOME LOAN BANK710 5,000,000.00 5,000,000.00 12/08/20230.50011/04/2021 4,830,800.00 Aaa3130APR72 980.360FEDERAL HOME LOAN MTG CORP706 3,000,000.00 2,999,122.59 10/16/20230.12510/21/2021 2,893,710.00 Aaa3137EAEY1 450.350FEDERAL HOME LOAN MTG CORP707 3,000,000.00 2,999,941.90 09/08/20230.25010/21/2021 2,906,910.00 Aaa3137EAEW5 713,998,904.1113,465,070.0014,000,000.0013,998,508.65Subtotal and Average 0.439 137LAIF3.305LOCAL AGENCY INVESTMENT FUND12000 817,543.64 817,543.64 3.305817,543.6412000 1817,543.64817,543.64817,543.649,204,640.41Subtotal and Average 3.305 1FEDERAL AGENCY - CALLABLE0.520FEDERAL FARM CREDIT BANK668 5,000,000.00 4,986,988.97 12/23/20240.32009/14/2021 4,655,800.00 Aaa3133EMLP5 4790.370FEDERAL FARM CREDIT BANK698 3,000,000.00 2,999,877.50 10/20/20230.34010/20/2021 2,908,920.00 Aaa3133ENBN9 490.331FEDERAL FARM CREDIT BANK699 3,000,000.00 2,999,792.99 10/12/20230.27010/19/2021 2,901,330.00 Aaa3133ENAU4 410.400FEDERAL HOME LOAN BANK660 3,000,000.00 3,000,000.00 07/29/20240.40007/29/2021 2,854,620.00 Aaa3130AN7K0 3320.450FEDERAL HOME LOAN BANK708 3,000,000.00 3,000,000.00 11/24/20230.45011/24/2021 2,899,140.00 Aaa3130APMC6 8416,986,659.4616,219,810.0017,000,000.0016,986,166.72Subtotal and Average 0.427 230TRUSTEE CASH BALANCES0.030GOLDMAN SACHS GOVERNMENT FUND382 0.00 0.00 0.0300.00 Aaa252026000-G 10.030GOLDMAN SACHS GOVERNMENT FUND383 0.00 0.00 0.03007/01/2022 0.00 Aaa252026001-G 10.030GOLDMAN SACHS GOVERNMENT FUND384 0.00 0.00 0.0300.00 Aaa252026002-G 10.030GOLDMAN SACHS GOVERNMENT FUND385 0.00 0.00 0.0300.00 Aaa252026003-G 10.030GOLDMAN SACHS GOVERNMENT FUND386 0.00 0.00 0.0300.00 Aaa252026004-G 10.030GOLDMAN SACHS GOVERNMENT FUND401 0.00 0.00 0.0300.00 Aaa252026017-G 10.030GOLDMAN SACHS GOVERNMENT FUND402 0.00 0.00 0.0300.00 Aaa252026018-G 1Portfolio CITYAPRun Date: 09/21/2023 - 08:12PM (PRF_PM2) 7.3.11Report Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 181 of 570 YTM/C365Page 2Par Value Book ValueMaturityDateStatedRateMarket ValueAugust 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDateTRUSTEE CASH BALANCES5.220GOLDMAN SACHS GOVERNMENT FUND404 27.70 27.70 5.22027.70 Aaa260128000-G 10.030GOLDMAN SACHS GOVERNMENT FUND405 0.00 0.00 0.03007/01/2022 0.00 Aaa260128001-G 10.030GOLDMAN SACHS GOVERNMENT FUND407 0.00 0.00 0.03007/01/2022 0.00 Aaa260128002-G 10.030GOLDMAN SACHS GOVERNMENT FUND408 0.00 0.00 0.03007/01/2022 0.00 Aaa260128003-G 10.030GOLDMAN SACHS GOVERNMENT FUND409 0.00 0.00 0.03007/01/2022 0.00 Aaa260128004-G 10.030GOLDMAN SACHS GOVERNMENT FUND410 0.00 0.00 0.0300.00 Aaa260128005-G 10.030GOLDMAN SACHS GOVERNMENT FUND412 0.00 0.00 0.0300.00 Aaa260128006-G 10.030GOLDMAN SACHS GOVERNMENT FUND414 0.00 0.00 0.0300.00 Aaa260128007-G 10.030GOLDMAN SACHS GOVERNMENT FUND415 0.00 0.00 0.0300.00 Aaa260128008-G 15.210GOLDMAN SACHS GOVERNMENT FUND416 145.04 145.04 5.210145.04 Aaa260128009-G 15.210GOLDMAN SACHS GOVERNMENT FUND417 141,747.83 141,747.83 5.210141,747.83 Aaa260128010-G 15.210GOLDMAN SACHS GOVERNMENT FUND418 167,114.81 167,114.81 5.210167,114.81 Aaa260128011-G 10.030GOLDMAN SACHS GOVERNMENT FUND419 0.00 0.00 0.0300.00 Aaa261470000-G 10.030GOLDMAN SACHS GOVERNMENT FUND420 0.00 0.00 0.0300.00 Aaa261470001-G 10.030GOLDMAN SACHS GOVERNMENT FUND421 0.00 0.00 0.0300.00 Aaa261470002-G 10.000GOLDMAN SACHS GOVERNMENT FUND671 65.38 65.3865.38 Aaa263346000-G 10.000GOLDMAN SACHS GOVERNMENT FUND672 283,575.50 283,575.5007/01/2022 283,575.50 Aaa263346001-G 10.000GOLDMAN SACHS GOVERNMENT FUND673 305,000.19 305,000.19305,000.19 Aaa263346002-G 10.000GOLDMAN SACHS GOVERNMENT FUND674 874,200.00 874,200.00874,200.00 Aaa263346003-G 10.030GOLDMAN SACHS GOVERNMENT FUND675 0.00 0.00 0.03007/01/2022 0.00 Aaa263346004-G 10.030GOLDMAN SACHS GOVERNMENT FUND676 0.94 0.94 0.03007/01/2022 0.94 Aaa263346005-G 10.000GOLDMAN SACHS GOVERNMENT FUND677 0.00 0.000.00 Aaa263346006-G 10.000GOLDMAN SACHS GOVERNMENT FUND678 1.53 1.531.53 Aaa263346007-G 10.030GOLDMAN SACHS GOVERNMENT FUND679 1.69 1.69 0.03007/01/2022 1.69 Aaa263599000-G 10.000GOLDMAN SACHS GOVERNMENT FUND680 1,099,081.25 1,099,081.2507/01/2022 1,099,081.25 Aaa263599001-G 10.000GOLDMAN SACHS GOVERNMENT FUND682 1,416,864.83 1,416,864.831,416,864.83 Aaa263599002-G 10.000GOLDMAN SACHS GOVERNMENT FUND683 0.00 0.000.00 Aaa263599003-G 10.030GOLDMAN SACHS GOVERNMENT FUND684 0.00 0.00 0.03007/01/2022 0.00 Aaa269048000-G 10.000GOLDMAN SACHS GOVERNMENT FUND685 31.23 31.2331.23 Aaa271146000-G 10.000GOLDMAN SACHS GOVERNMENT FUND687 95,550.10 95,550.1007/01/2022 95,550.10 Aaa271146001-G 10.030GOLDMAN SACHS GOVERNMENT FUND688 270,000.03 270,000.03 0.03007/01/2022 270,000.03 Aaa271146002-G 10.000GOLDMAN SACHS GOVERNMENT FUND689 468,400.00 468,400.00468,400.00 Aaa271146003-G 10.030GOLDMAN SACHS GOVERNMENT FUND690 0.00 0.00 0.03007/01/2022 0.00 Aaa271146004-G 10.030GOLDMAN SACHS GOVERNMENT FUND691 0.70 0.70 0.03007/01/2022 0.70 Aaa271146005-G 10.000GOLDMAN SACHS GOVERNMENT FUND692 0.00 0.000.00 Aaa271146006-G 10.030GOLDMAN SACHS GOVERNMENT FUND693 0.00 0.00 0.03007/01/2022 0.00 Aaa277580000-G 1Portfolio CITYAPRun Date: 09/21/2023 - 08:12PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 182 of 570 YTM/C365Page 3Par Value Book ValueMaturityDateStatedRateMarket ValueAugust 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDateTRUSTEE CASH BALANCES0.005GOLDMAN SACHS GOVERNMENT FUND744 22,380.38 22,380.38 0.00522,380.38 Aaa263599004 15,144,189.135,144,189.135,144,189.133,091,699.24Subtotal and Average 0.315 1MEDIUM-TERM NOTES0.450AMAZON.COM INC.662 3,000,000.00 3,000,000.00 05/12/20240.45007/19/2021 2,852,400.00 A023135BW5 2540.500CATERPILLAR FINANCIAL SERVICES697 3,000,000.00 2,998,936.74 05/17/20240.45010/08/2021 2,841,930.00 A14913R2L0 2595.250Freddie Mac760 5,000,000.00 5,000,000.00 12/30/20245.25012/30/2022 5,000,000.00 Aaa3134GYAB8 4866.750GOLDMAN SACHS GOVERNMENT FUND752 5,000,000.00 5,000,000.00 10/29/20276.75010/31/2022 5,000,000.00 A238150APM1 1,5193.999MORGAN STANLEY747 5,000,000.00 5,000,000.00 07/23/20254.00009/01/2022 5,000,000.00 A16174468C6 6910.500TOYOTA MOTOR CREDIT CORP658 3,000,000.00 3,000,000.00 06/18/20240.50006/18/2021 2,831,460.00 A89236TJH9 2910.530TOYOTA MOTOR CREDIT CORP659 3,000,000.00 2,999,285.21 06/18/20240.50007/08/2021 2,831,460.00 A89236TJH9 2910.525TOYOTA MOTOR CREDIT CORP667 3,000,000.00 2,999,406.65 06/18/20240.50009/14/2021 2,831,460.00 A89236TJH9 29129,997,628.6029,188,710.0030,000,000.0029,997,506.36Subtotal and Average 2.917 588CUSTODIAN PROJECT FUNDS5.190FIRST AMERICAN US TREASURY MMF647 6,009,523.15 6,009,523.15 5.1906,009,523.15 Aaa6736302420-G 15.190FIRST AMERICAN US TREASURY MMF648 26,417,045.70 26,417,045.70 5.19026,417,045.70 Aaa6736302430-G 15.190FIRST AMERICAN US TREASURY MMF649 12,434,400.60 12,434,400.60 5.19012,434,400.60 Aaa6736302440-G 15.190FIRST AMERICAN US TREASURY MMF650 20,288,605.48 20,288,605.48 5.19020,288,605.48 Aaa6736302450-G 165,149,574.9365,149,574.9365,149,574.9364,882,067.26Subtotal and Average 5.190 1RIVERSIDE COUNTY POOL3.860POOLED INVESTMENT FUND052460 2,697,698.66 2,697,698.66 3.8602,697,698.66 Aaa052460 12,697,698.662,697,698.662,697,698.662,697,698.66Subtotal and Average 3.860 1CUSTODIAN PROJECT FUNDS0.010GOLDMAN SACHS TREASURY FUND498 0.00 0.00 0.0100.00 Aaa6736302420 10.010GOLDMAN SACHS TREASURY FUND499 0.00 0.00 0.0100.00 Aaa6736302430 10.010GOLDMAN SACHS TREASURY FUND500 0.00 0.00 0.0100.00 Aaa6736302440 10.010GOLDMAN SACHS TREASURY FUND501 0.00 0.00 0.0100.00 Aaa6736302450 10.000.000.000.00Subtotal and Average 0.000 0Portfolio CITYAPRun Date: 09/21/2023 - 08:12PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 183 of 570 YTM/C365Page 4Par Value Book ValueStatedRateMarket ValueAugust 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDate320,275,540.68 314,366,425.43 4.597 75312,240,015.43 314,349,617.60Total and AveragePortfolio CITYAPRun Date: 09/21/2023 - 08:12PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 184 of 570 YTM/C365Page 5Par Value Book ValueStatedRateMarket ValueAugust 31, 2023Portfolio Details - CashAverageBalanceIssuerPortfolio ManagementCITY OF PALM DESERTDays toMat./CallMoody'sCUSIP Investment #PurchaseDateCUSTODIAN PROJECT FUNDS0.000CITY OF PALM DESERT753 0.00 0.0010/27/2022 0.00SYS753 1BANK CHECKING ACCOUNTS0.000CITY OF PALM DESERT MAIN13016 0.00 0.000.00SYS13016 10.000DESERT WILLOW GOLF COURSE13013 0.00 0.0007/01/2022 0.00SYS13013 10.000PUBLIC SAFETY CHECKING602 0.00 0.0007/01/2022 0.00SYS602 10.000RECREATIONAL FACILITIES CORP13020 0.00 0.0007/01/2022 0.00SYS13020 10.000US Bank 1101 3,474,964.13 3,474,964.1305/26/2023 3,474,964.13SYS9121 10.000US Bank 1DW102 61,987.05 61,987.0505/26/2023 61,987.05SYS9154 10.000US Bank 1PDRFC103 1,000.00 1,000.0005/26/2023 1,000.00SYS9162 10.000US Bank 1PUBSAF107 0.00 0.0005/26/2023 0.00SYS4316 10.000WELLS FARGO BANKWFDW111 1,509,129.24 1,509,129.2405/24/2023 1,509,129.24 A1SYS6359 10.000WELLS FARGO BANKWFMAIN108 38,518.00 38,518.0005/19/2023 38,518.00 A1SYS6391 10.000WELLS FARGO BANKWFPDRFC112 694,147.54 694,147.5405/24/2023 694,147.54 A1SYS6342 10.00320,275,540.68 320,146,171.39 4.597 751Average Balance318,019,761.39 320,129,363.56Total Cash and InvestmentsPortfolio CITYAPRun Date: 09/21/2023 - 08:12PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 185 of 570 PALM DESERT HOUSING AUTHORITYPortfolio ManagementAugust 31, 2023Portfolio Summary% ofPortfolioBookValueInvestmentsMarketValueParValueTermDays toMat./CallYTM/C365 Equiv.CAMP 51,380,217.63 198.09 5.520151,380,217.6351,380,217.63LAIF 998,018.16 11.91 3.4341998,018.16998,018.1652,378,235.79 100.00%Investments52,378,235.7952,378,235.791 1 5.480Cash(not included in yield calculations)Passbook/Checking4,254,546.16 1 0.00014,254,546.164,254,546.1656,632,781.95Total Cash and Investments56,632,781.9556,632,781.951 1 5.480Current YearAugust 31242,704.94Average Daily BalanceEffective Rate of Return56,344,985.965.07%Total Earnings Month EndingThis investment portfolio complies with the provisions of California Government Code Section 53601 and the City of Palm Desert investment policy. Barring unforeseen events, it has sufficient cash to fundHousing Authority operations for the next six months. All balances are bank balances. The "% of Portfolio" calculation on the Portfolio Summary page omits demand deposits.__________________________________________________ ____________________Veronica Chavez, Finance DirectorPortfolio HAAPReporting period 08/01/2023-08/31/2023Run Date: 09/20/2023 - 15:49PM (PRF_PM1) 7.3.11No fiscal year history availableReport Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E9/21/2023Page 186 of 570 Days toMat./CallPage 1Par Value Book ValueMaturityDateStatedRateMarket ValueAugust 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementPALM DESERT HOUSING AUTHORITYYTM/C365Moody'sCUSIP Investment #PurchaseDateCAMP1CA ASSET MANAGEMENT PROGRAM12008 51,380,217.63 51,380,217.63 5.52051,380,217.63SYS12008 5.52051,380,217.6351,380,217.6351,380,217.6351,148,242.08Subtotal and Average 1 5.520CUSTODIAN PROJECT FUNDS1GOLDMAN SACHS TREASURY FUND590 0.00 0.00 0.0100.00 Aaa6736302460 0.0100.000.000.000.00Subtotal and Average 0 0.000LAIF1LOCAL AGENCY INVESTMENT FUND21003 998,018.16 998,018.16 3.434998,018.16SYS21003 3.434998,018.16998,018.16998,018.16998,018.16Subtotal and Average 1 3.434CUSTODIAN PROJECT FUNDS1FIRST AMERICAN US TREASURY MMF597 0.00 0.00 4.86001/01/2021 0.00 Aaa6736302460-G 4.8600.000.000.000.00Subtotal and Average 0 0.00056,344,985.96 52,378,235.79 1 5.48052,378,235.79 52,378,235.79Total and AveragePortfolio HAAPRun Date: 09/20/2023 - 15:49PM (PRF_PM2) 7.3.11Report Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 187 of 570 Days toMat./CallPage 2Par Value Book ValueStatedRateMarket ValueAugust 31, 2023Portfolio Details - CashAverageBalanceIssuerPortfolio ManagementPALM DESERT HOUSING AUTHORITYYTM/C365Moody'sCUSIP Investment #PurchaseDateCHECKING1HOUSING AUTH CHECKING25015 0.00 0.000.00SYS25015 0.0001HOUSING AUTH CHECKINGHSG104 0.00 0.0005/29/2023 0.00SYS9204 0.0001HOUSING AUTH TRUST25016 0.00 0.0007/01/2020 0.00SYS25016 0.0001WELLS FARGO BANKWFHSG113 3,755,747.66 3,755,747.6606/01/2023 3,755,747.66 A1SYS6375 0.0001WELLS FARGO BANKWFHSGT 498,798.50 498,798.5006/01/2023 498,798.50 A1SYS6367 0.0000.0056,344,985.96 56,632,781.95 1 5.4801Average Balance56,632,781.95 56,632,781.95Total Cash and InvestmentsPortfolio HAAPRun Date: 09/20/2023 - 15:49PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 188 of 570 RDA SUCCESSOR AGENCYPortfolio ManagementAugust 31, 2023Portfolio Summary% ofPortfolioBookValueInvestmentsMarketValueParValueTermDays toMat./CallYTM/C365 Equiv.RIVERSIDE COUNTY POOL 343.41 10.00 3.8601343.41343.41CAMP 6,028.17 10.05 5.52016,028.176,028.17LAIF 762.35 10.01 3.4341762.35762.35TRUSTEE CASH BALANCES - MMA 12,468,069.07 199.93 0.000112,468,069.0712,468,069.07TRUSTEE CASH BALANCES - GF 1,544.91 10.01 5.02011,544.911,544.9112,476,747.91 100.00%Investments12,476,747.9112,476,747.911 1 0.004Cash(not included in yield calculations)Passbook/Checking9,628,518.02 1 0.00019,628,518.029,628,518.0222,105,265.93Total Cash and Investments22,105,265.9322,105,265.931 1 0.004Current YearAugust 3137.99Average Daily BalanceEffective Rate of Return40,094,571.730.00%Total Earnings Month EndingThis investment portfolio is in compliance with the provisions of California Government Code Section 53601 and the City of Palm Desert investment policy. Pursuant to ABX126, the availability of cash tofund the Palm Desert RDA Successor Agency's debt service is dependent upon the County of Riverside and the State of California. All balances are bank balances. The "% of Portfolio" calculation on thePortfolio Summary page omits demand deposits.__________________________________________________ ____________________Veronica Chavez, Finance DirectorPortfolio RDASAPReporting period 08/01/2023-08/31/2023Run Date: 09/20/2023 - 15:55PM (PRF_PM1) 7.3.11No fiscal year history availableReport Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E9/21/2023Page 189 of 570 Days toMat./CallPage 1Par Value Book ValueMaturityDateStatedRateMarket ValueAugust 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementRDA SUCCESSOR AGENCYYTM/C365Moody'sCUSIP Investment #PurchaseDateRIVERSIDE COUNTY POOL1POOLED INVESTMENT FUND052470 343.41 343.41 3.86007/01/2020 343.41 Aaa052470 3.860343.41343.41343.41343.41Subtotal and Average 1 3.860CAMP1C.A.M.P. POOL (RDA S.A.)578 6,028.17 6,028.17 5.5206,028.17SYS578 5.5206,028.176,028.176,028.176,000.96Subtotal and Average 1 5.520LAIF1L.A.I.F. (RDA S.A.)604 762.35 762.35 3.43407/01/2020 762.35SYS604 3.434762.35762.35762.35762.35Subtotal and Average 1 3.434TRUSTEE CASH BALANCES - MMA1U.S. BANK MONEY MARKET ACCOUNT830 0.05 0.0507/01/2020 0.05 P-1247394001-U 0.0001U.S. BANK MONEY MARKET ACCOUNT832 0.00 0.00 0.01007/01/2020 0.00 P-1247394003-U 0.0101U.S. BANK MONEY MARKET ACCOUNT833 1.03 1.031.03 P-1247394002-U 0.0001U.S. BANK MONEY MARKET ACCOUNT834 414,244.01 414,244.01414,244.01 P-1247394000-U 0.0001U.S. BANK MONEY MARKET ACCOUNT837 14.42 14.4214.42 P-1236781002-U 0.0001U.S. BANK MONEY MARKET ACCOUNT838 0.00 0.00 0.01007/01/2020 0.00 P-1236781003-U 0.0101U.S. BANK MONEY MARKET ACCOUNT839 7,343,275.75 7,343,275.757,343,275.75 P-1236781000-U 0.0001U.S. BANK MONEY MARKET ACCOUNT842 0.00 0.00 0.01007/01/2020 0.00 P-1253446003-U 0.0101U.S. BANK MONEY MARKET ACCOUNT843 7.66 7.667.66 P-1253446002-U 0.0001U.S. BANK MONEY MARKET ACCOUNT844 2,040,491.33 2,040,491.332,040,491.33 P-1253446000-U 0.0001U.S. BANK MONEY MARKET ACCOUNT845 0.41 0.4107/01/2020 0.41 P-1253446001-U 0.0001U.S. BANK MONEY MARKET ACCOUNT853 2,670,011.00 2,670,011.002,670,011.00 P-1224324000-U 0.0001U.S. BANK MONEY MARKET ACCOUNT855 0.79 0.7907/01/2020 0.79 P-1224324001-U 0.0001U.S. BANK MONEY MARKET ACCOUNT856 22.55 22.5522.55 P-1224324002-U 0.0001U.S. BANK MONEY MARKET ACCOUNT857 0.00 0.00 0.01007/01/2020 0.00 P-1224324003-U 0.0101U.S. BANK MONEY MARKET ACCOUNT881 0.07 0.0709/01/2020 0.07 P-1236781001-U 0.00012,468,069.0712,468,069.0712,468,069.0712,468,067.36Subtotal and Average 1 0.000TRUSTEE CASH BALANCES - GF1GOLDMAN SACHS GOVERNMENT FUND811 1,544.91 1,544.91 5.0201,544.91 Aaa277861000-G 5.0201GOLDMAN SACHS GOVERNMENT FUND812 0.00 0.00 0.0300.00 Aaa277861001-G 0.0301GOLDMAN SACHS GOVERNMENT FUND813 0.00 0.00 0.03007/01/2020 0.00 Aaa277861002-G 0.0301GOLDMAN SACHS GOVERNMENT FUND814 0.00 0.00 0.03007/01/2020 0.00 Aaa277861003-G 0.030Portfolio RDASAPRun Date: 09/20/2023 - 15:55PM (PRF_PM2) 7.3.11Report Ver. 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 190 of 570 Days toMat./CallPage 2Par Value Book ValueStatedRateMarket ValueAugust 31, 2023Portfolio Details - InvestmentsAverageBalanceIssuerPortfolio ManagementRDA SUCCESSOR AGENCYYTM/C365Moody'sCUSIP Investment #PurchaseDate1,544.911,544.911,544.911,544.91Subtotal and Average 1 5.02040,094,571.73 12,476,747.91 1 0.00412,476,747.91 12,476,747.91Total and AveragePortfolio RDASAPRun Date: 09/20/2023 - 15:55PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 191 of 570 Days toMat./CallPage 3Par Value Book ValueStatedRateMarket ValueAugust 31, 2023Portfolio Details - CashAverageBalanceIssuerPortfolio ManagementRDA SUCCESSOR AGENCYYTM/C365Moody'sCUSIP Investment #PurchaseDateCHECKING ACCOUNTS1RDA SUCCESSOR AGENCY582 0.00 0.000.00SYS582 0.0001RDA SUCCESSOR AGENCYRDA106 9,622,988.82 9,622,988.8206/01/2023 9,622,988.82SYS4021 0.0001RDA SUCCESSOR AGENCYWFRDA899 5,529.20 5,529.2008/01/2023 5,529.20 AaSYS899 0.0000.0040,094,571.73 22,105,265.93 1 0.0041Average Balance22,105,265.93 22,105,265.93Total Cash and InvestmentsPortfolio RDASAPRun Date: 09/20/2023 - 15:55PM (PRF_PM2) 7.3.11DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2EPage 192 of 570 CITY OF PALM DESERT ACCOUNT STATEMENT For the Month Ending August 31, 2023 Customer Service PO Box 11813 Harrisburg, PA 17108-1813 Contents Cover/Disclosures Summary Statement Individual Accounts CITY OF PALM DESERT MITCHELL ARBAUGH 73-510 FRED WARING DR PALM DESERT, CA 92260 Client Management Team Accounts included in Statement 553-00 CITY OF PALM DESERT 553-04 DESERT WILLOW GOLF RESORT 553-06 PALM DESERT HOUSING AUTHORITY 553-08 RDA SUCCESSOR AGENCY -- PALM DESERT www.camponline.comOnline Access 1-800-729-7665Customer Service Important Messages CAMP will be closed on 09/04/2023 for Labor Day. CAMP will be closed on 10/09/2023 for Columbus Day. Jeremy King Key Account Manager 213 Market Street Harrisburg, PA 17101-2141 1-800-729-7665 kingj@pfmam.com Rachael Miller Client Consultant 213 Market Street Harrisburg, PA 17101-2141 1-800-729-7665 millerr@pfmam.com DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 193 of 570 For the Month Ending August 31, 2023 Account Statement Important Disclosures Important Disclosures 365 and dividing the result by 7. The yields quoted should not be considered a representation of the yield of the fund in the future, since the yield is not fixed. Average maturity represents the average maturity of all securities and investments of a portfolio, determined by multiplying the par or principal value of each security or investment by its maturity (days or years), summing the products, and dividing the sum by the total principal value of the portfolio. The stated maturity date of mortgage backed or callable securities are used in this statement. However the actual maturity of these securities could vary depending on the level or prepayments on the underlying mortgages or whether a callable security has or is still able to be called. Monthly distribution yield represents the net change in the value of one share (normally $1.00 per share) resulting from all dividends declared during the month by a fund expressed as a percentage of the value of one share at the beginning of the month. This resulting net change is then annualized by multiplying it by 365 and dividing it by the number of calendar days in the month. YTM at Cost The yield to maturity at cost is the expected rate of return, based on the original cost, the annual interest receipts, maturity value and the time period from purchase date to maturity, stated as a percentage, on an annualized basis. YTM at Market The yield to maturity at market is the rate of return, based on the current market value, the annual interest receipts, maturity value and the time period remaining until maturity, stated as a percentage, on an annualized basis. Managed Account A portfolio of investments managed discretely by PFMAM according to the client’s specific investment policy and requirements. The investments are directly owned by the client and held by the client’s custodian. Unsettled Trade A trade which has been executed however the final consummation of the security transaction and payment has not yet taken place. Please review the detail pages of this statement carefully. If you think your statement is wrong, missing account information, or if you need more information about a transaction, please contact PFMAM within 60 days of receipt. If you have other concerns or questions regarding your account, or to request an updated copy of PFMAM's current disclosure statement, please contact a member of your client management team at PFMAM Service Operations at the address below. PFM Asset Management LLC Attn: Service Operations 213 Market Street Harrisburg, PA 17101 NOT FDIC INSURED     NO BANK GUARANTEE     MAY LOSE VALUE This statement is for general information purposes only and is not intended to provide specific advice or recommendations. PFM Asset Management LLC ("PFMAM") is an investment adviser registered with the U.S. Securities and Exchange Commission and a subsidiary of U.S. Bancorp Asset Management, Inc. ("USBAM"). USBAM is a subsidiary of U.S. Bank National Association ("U.S. Bank"). U.S. Bank is a separate entity and subsidiary of U.S. Bancorp. U.S. Bank is not responsible for and does not guarantee the products, services or performance of PFMAM. PFMAM maintains a written disclosure statement of our background and business experience. If you would like to receive a copy of our current disclosure statement, please contact Service Operations at the address below. Proxy Voting PFMAM does not normally receive proxies to vote on behalf of its clients. However, it does on occasion receive consent requests. In the event a consent request is received the portfolio manager contacts the client and then proceeds according to their instructions. PFMAM’s Proxy Voting Policy is available upon request by contacting Service Operations at the address below. Questions About an Account PFMAM’s monthly statement is intended to detail our investment advisory activity as well as the activity of any accounts held by clients in pools that are managed by PFMAM. The custodian bank maintains the control of assets and executes (i.e., settles) all investment transactions. The custodian statement is the official record of security and cash holdings and transactions. PFMAM recognizes that clients may use these reports to facilitate record keeping and that the custodian bank statement and the PFMAM statement should be reconciled and differences resolved. Many custodians use a settlement date basis which may result in the need to reconcile due to a timing difference. Account Control PFMAM does not have the authority to withdraw funds from or deposit funds to the custodian outside the scope of services provided by PFMAM. Our clients retain responsibility for their internal accounting policies; implementing and enforcing internal controls and generating ledger entries or otherwise recording transactions. Market Value Generally, PFMAM’s market prices are derived from closing bid prices as of the last business day of the month as supplied by Refinitiv or Bloomberg. For certain short-term investments or where prices are not available from generally recognized sources the securities are priced using a yield-based matrix system to arrive at an estimated market value. Prices that fall between data points are interpolated. Non-negotiable FDIC-insured bank certificates of deposit are priced at par. Although PFMAM believes the prices to be reliable, the values of the securities may not represent the prices at which the securities could have been bought or sold. Explanation of the valuation methods for a registered investment company or local government investment program is contained in the appropriate fund offering documentation or information statement. Amortized Cost The original cost of the principal of the security is adjusted for the amount of the periodic reduction of any discount or premium from the purchase date until the date of the report. Discount or premium with respect to short term securities (those with less than one year to maturity at time of issuance) is amortized on a straightline basis. Such discount or premium with respect to longer term securities is amortized using the constant yield basis. Tax Reporting Cost data and realized gains / losses are provided for informational purposes only. Please review for accuracy and consult your tax advisor to determine the tax consequences of your security transactions. PFMAM does not report such information to the IRS or other taxing authorities and is not responsible for the accuracy of such information that may be required to be reported to federal, state or other taxing authorities. Financial Situation In order to better serve you, PFMAM should be promptly notified of any material change in your investment objective or financial situation. Callable Securities Securities subject to redemption prior to maturity may be redeemed in whole or in part before maturity, which could affect the yield represented. Portfolio The securities in this portfolio, including shares of mutual funds, are not guaranteed or otherwise protected by PFMAM, the FDIC (except for certain non-negotiable certificates of deposit) or any government agency. Investment in securities involves risks, including the possible loss of the amount invested. Actual settlement values, accrued interest, and amortized cost amounts may vary for securities subject to an adjustable interest rate or subject to principal paydowns. Any changes to the values shown may be reflected within the next monthly statement’s beginning values. Rating Information provided for ratings is based upon a good faith inquiry of selected sources, but its accuracy and completeness cannot be guaranteed. Shares of some local government investment programs and TERM funds are marketed through representatives of PFMAM's affiliate, PFM Fund Distributors, Inc. which is registered with the SEC as a broker/dealer and is a member of the Financial Industry Regulatory Authority (“FINRA”) and the Municipal Securities Rulemaking Board (“MSRB”). You may reach the FINRA by calling the FINRA Hotline at 1-800-289-9999 or at the FINRA website address https://www.finra.org/investors/investor-contacts. A brochure describing the FINRA Regulation Public Disclosure Program is also available from FINRA upon request. Key Terms and Definitions Dividends on local government investment program funds consist of interest earned, plus any discount ratably amortized to the date of maturity, plus all realized gains and losses on the sale of securities prior to maturity, less ratable amortization of any premium and all accrued expenses to the fund. Dividends are accrued daily and may be paid either monthly or quarterly. The monthly earnings on this statement represent the estimated dividend accrued for the month for any program that distributes earnings on a quarterly basis. There is no guarantee that the estimated amount will be paid on the actual distribution date. Current Yield is the net change, exclusive of capital changes and income other than investment income, in the value of a hypothetical fund account with a balance of one share over the seven-day base period including the statement date, expressed as a percentage of the value of one share (normally $1.00 per share) at the beginning of the seven-day period. This resulting net change in account value is then annualized by multiplying it by DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 194 of 570 For the Month Ending August 31, 2023 Account Statement Consolidated Summary Statement CITY OF PALM DESERT Investment Allocation Investment Type Closing Market Value Percent 230,943,664.87 100.00 Joint Powers Authority $230,943,664.87 Total 100.00% Portfolio Summary and Income Closing Market Value Current Portfolio Holdings Cash Dividends Yield CAMP Pool 1,038,014.34 230,943,664.87 5.54 % $1,038,014.34 $230,943,664.87 Total Maturity Distribution (Fixed Income Holdings) Portfolio Holdings Closing Market Value Percent 230,943,664.87 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 100.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Under 30 days 31 to 60 days 61 to 90 days 91 to 180 days 181 days to 1 year 1 to 2 years 2 to 3 years 3 to 4 years 4 to 5 years Over 5 years Total $230,943,664.87 1 100.00% Weighted Average Days to Maturity Sector Allocation 100.00% Joint Powers Authority Summary Page 1 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 195 of 570 For the Month Ending August 31, 2023 Account Statement Consolidated Summary Statement CITY OF PALM DESERT and Income Closing Market Value Change in Value Trades MaturitiesDeposits ValueAccount Name Account Number Cash DividendsUnsettled Redemptions / Sales/Purchases /Opening Market 553-00 155,135,651.23 20,778,689.21 0.00 0.00 175,914,340.44 0.00 778,689.21 CITY OF PALM DESERT 553-04 4,373,489.69 19,588.94 (750,000.00) 0.00 3,643,078.63 0.00 19,588.94 DESERT WILLOW GOLF RESORT 553-06 51,140,509.56 239,708.07 0.00 0.00 51,380,217.63 0.00 239,708.07 PALM DESERT HOUSING AUTHORITY 553-08 6,000.05 28.12 0.00 0.00 6,028.17 0.00 28.12 RDA SUCCESSOR AGENCY -- PALM DESERT $210,655,650.53 $21,038,014.34 ($750,000.00)$0.00 $230,943,664.87 $1,038,014.34 Total $0.00 Summary Page 2 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 196 of 570 For the Month Ending August 31, 2023Account Statement - Transaction Summary CITY OF PALM DESERT - CITY OF PALM DESERT - 553-00 Opening Market Value Purchases Redemptions Change in Value Closing Market Value 155,135,651.23 20,778,689.21 0.00 0.00 $175,914,340.44 CAMP Pool Unsettled Trades 0.00 778,689.21 Cash Dividends and Income August 31, 2023 July 31, 2023 Asset Summary CAMP Pool 175,914,340.44 155,135,651.23 $175,914,340.44 $155,135,651.23 Total Asset Allocation 100.00% CAMP Pool Account 553-00 Page 1 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 197 of 570 For the Month Ending August 31, 2023Account Statement CITY OF PALM DESERT - CITY OF PALM DESERT - 553-00 Total Settlement Dollar AmountShare or Trade Shares OwnedDateTransaction Description of TransactionUnit PriceDate CAMP Pool 155,135,651.23 Opening Balance 08/15/23 08/15/23 Purchase - Incoming Wires 1.00 20,000,000.00 175,135,651.23 08/31/23 09/01/23 Accrual Income Div Reinvestment - Distributions 1.00 778,689.21 175,914,340.44 175,914,340.44 175,914,340.44 175,914,340.44 166,128,512.17 4,687,874.32 0.00 0.00 125,687,874.32 50,226,466.12 778,689.21 175,914,340.44 0.00 0.00 20,778,689.21 155,135,651.23 Monthly Distribution Yield Average Monthly Balance Closing Balance Fiscal YTDMonth of Cash Dividends and Income Closing Balance Check Disbursements Redemptions (Excl. Checks) Purchases Opening Balance Closing Balance August January-August 5.52% Account 553-00 Page 2 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 198 of 570 For the Month Ending August 31, 2023Account Statement - Transaction Summary CITY OF PALM DESERT - DESERT WILLOW GOLF RESORT - 553-04 Opening Market Value Purchases Redemptions Change in Value Closing Market Value 4,373,489.69 19,588.94 (750,000.00) 0.00 $3,643,078.63 CAMP Pool Unsettled Trades 0.00 19,588.94 Cash Dividends and Income August 31, 2023 July 31, 2023 Asset Summary CAMP Pool 3,643,078.63 4,373,489.69 $3,643,078.63 $4,373,489.69 Total Asset Allocation 100.00% CAMP Pool Account 553-04 Page 1 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 199 of 570 For the Month Ending August 31, 2023Account Statement CITY OF PALM DESERT - DESERT WILLOW GOLF RESORT - 553-04 Total Settlement Dollar AmountShare or Trade Shares OwnedDateTransaction Description of TransactionUnit PriceDate CAMP Pool 4,373,489.69 Opening Balance 08/24/23 08/24/23 Redemption - Outgoing Wires 1.00 (750,000.00) 3,623,489.69 08/31/23 09/01/23 Accrual Income Div Reinvestment - Distributions 1.00 19,588.94 3,643,078.63 3,643,078.63 3,643,078.63 3,643,078.63 4,180,573.20 124,292.49 0.00 (750,000.00) 2,124,292.49 2,268,786.14 19,588.94 3,643,078.63 0.00 (750,000.00) 19,588.94 4,373,489.69 Monthly Distribution Yield Average Monthly Balance Closing Balance Fiscal YTDMonth of Cash Dividends and Income Closing Balance Check Disbursements Redemptions (Excl. Checks) Purchases Opening Balance Closing Balance August January-August 5.52% Account 553-04 Page 2 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 200 of 570 For the Month Ending August 31, 2023Account Statement - Transaction Summary CITY OF PALM DESERT - PALM DESERT HOUSING AUTHORITY - 553-06 Opening Market Value Purchases Redemptions Change in Value Closing Market Value 51,140,509.56 239,708.07 0.00 0.00 $51,380,217.63 CAMP Pool Unsettled Trades 0.00 239,708.07 Cash Dividends and Income August 31, 2023 July 31, 2023 Asset Summary CAMP Pool 51,380,217.63 51,140,509.56 $51,380,217.63 $51,140,509.56 Total Asset Allocation 100.00% CAMP Pool Account 553-06 Page 1 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 201 of 570 For the Month Ending August 31, 2023Account Statement CITY OF PALM DESERT - PALM DESERT HOUSING AUTHORITY - 553-06 Total Settlement Dollar AmountShare or Trade Shares OwnedDateTransaction Description of TransactionUnit PriceDate CAMP Pool 51,140,509.56 Opening Balance 08/31/23 09/01/23 Accrual Income Div Reinvestment - Distributions 1.00 239,708.07 51,380,217.63 51,380,217.63 51,380,217.63 51,380,217.63 51,148,242.08 1,690,957.50 0.00 0.00 1,690,957.50 49,689,260.13 239,708.07 51,380,217.63 0.00 0.00 239,708.07 51,140,509.56 Monthly Distribution Yield Average Monthly Balance Closing Balance Fiscal YTDMonth of Cash Dividends and Income Closing Balance Check Disbursements Redemptions (Excl. Checks) Purchases Opening Balance Closing Balance August January-August 5.52% Account 553-06 Page 2 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 202 of 570 For the Month Ending August 31, 2023Account Statement - Transaction Summary CITY OF PALM DESERT - RDA SUCCESSOR AGENCY -- PALM DESERT - 553-08 Opening Market Value Purchases Redemptions Change in Value Closing Market Value 6,000.05 28.12 0.00 0.00 $6,028.17 CAMP Pool Unsettled Trades 0.00 28.12 Cash Dividends and Income August 31, 2023 July 31, 2023 Asset Summary CAMP Pool 6,028.17 6,000.05 $6,028.17 $6,000.05 Total Asset Allocation 100.00% CAMP Pool Account 553-08 Page 1 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 203 of 570 For the Month Ending August 31, 2023Account Statement CITY OF PALM DESERT - RDA SUCCESSOR AGENCY -- PALM DESERT - 553-08 Total Settlement Dollar AmountShare or Trade Shares OwnedDateTransaction Description of TransactionUnit PriceDate CAMP Pool 6,000.05 Opening Balance 08/31/23 09/01/23 Accrual Income Div Reinvestment - Distributions 1.00 28.12 6,028.17 6,028.17 6,028.17 6,028.17 6,000.96 198.38 0.00 0.00 198.38 5,829.79 28.12 6,028.17 0.00 0.00 28.12 6,000.05 Monthly Distribution Yield Average Monthly Balance Closing Balance Fiscal YTDMonth of Cash Dividends and Income Closing Balance Check Disbursements Redemptions (Excl. Checks) Purchases Opening Balance Closing Balance August January-August 5.52% Account 553-08 Page 2 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 204 of 570 Local Agency Investment Fund P.O. Box 942809 Sacramento, CA 94209-0001 (916) 653-3001 September 12, 2023 LAIF Home PMIA Average Monthly Yields CITY OF PALM DESERT CITY TREASURER 73-510 FRED WARING DRIVE PALM DESERT, CA 92260-2578 Account Number: 98-33-621 August 2023 Statement Tran Type Definitions Effective Date Transaction Date Tran Type Confirm Number Web Confirm Number Authorized Caller Amount 8/14/2023 8/10/2023 RW 1737422 1697813 JAMES BOUNDS -20,000,000.00 Account Summary Total Deposit:0.00 Beginning Balance:20,817,543.64 Total Withdrawal:-20,000,000.00 Ending Balance:817,543.64 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 205 of 570 Local Agency Investment Fund P.O. Box 942809 Sacramento, CA 94209-0001 (916) 653-3001 September 12, 2023 LAIF Home PMIA Average Monthly Yields PALM DESERT HOUSING AUTHORITY CITY TREASURER 73-510 FRED WARING DRIVE PALM DESERT, CA 92260-2578 Account Number: 25-33-003 August 2023 Statement Tran Type Definitions Account Summary Total Deposit:0.00 Beginning Balance:998,018.16 Total Withdrawal:0.00 Ending Balance:998,018.16 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 206 of 570 Local Agency Investment Fund P.O. Box 942809 Sacramento, CA 94209-0001 (916) 653-3001 September 12, 2023 LAIF Home PMIA Average Monthly Yields S/A TO THE PALM DESERT REDEVELOPMENT AGENCY FINANCE DIRECTOR 73-510 FRED WARING DRIVE PALM DESERT, CA 92260-2578 Account Number: 65-33-023 August 2023 Statement Tran Type Definitions Account Summary Total Deposit:0.00 Beginning Balance:762.35 Total Withdrawal:0.00 Ending Balance:762.35 DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 207 of 570 Parameters:Query: Fund Summary County of Riverside Treasurer-Tax CollectorFund Summary Report Bank: oneof Account Number: oneof 052460, 052470 Counterparty: equalto Run Date:06-Sep-2023 07:58:47 AM User:Susan From : To : As at : 01-Aug-2023 31-Aug-2023 06-Sep-2023 Balance Calculation Based On:Value Date TotalBalance Forward Totaltrans_typeAccount NameAccount Numbe Balance ForwardAccount NameAccount Number Total ReceiptsTotal Receipts Total PaymentsTotal Payments City Of Palm Desert052460 $2,697,698.66 $0.00 $0.00 $2,697,698.66 RDA Successor Agcy Palm Desert052470 $343.41 $0.00 $0.00 $343.41 Grand Total:$2,698,042.07 $0.00 $0.00 $2,698,042.07 Printed on 9/6/2023 Page 1 of 1End of Report DocuSign Envelope ID: 4996490F-8376-4CD6-AD9B-EFA1A6277B2E Page 208 of 570 Monthly Financial Report June 2023 CITY OF PALM DESERT OVERVIEW This report summarizes the City’s financial performance for the month ending June 30, 2023. Financial analysis for this report is provided for the General Fund REVENUES TO DATE As of June 30, 2023, approximately $82.55M or 114% of the General Fund operating budget revenue has been received as detailed below. GENERAL FUND REVENUE EXPLAINED The total CY YTD Actual Revenue is slightly less than PY Actual due to the $4.9M ARPA Federal Funds received for lost revenue related to the pandemic. The reduction to Cannabis Tax also decreased the transfer in amount compared to PY YTD. The total CY YTD Actual Expenditures exceeded PY Actual by approximately $15M, and was $14.5M lower than CY budget. The increased costs in CY are related to Public Works and Capital Improvement Projects in various stages of acquisition, development, or construction during FY 2022/23. Fire Services for FY 2022/23 increased dramatically compared to PY. They were also slightly higher than budget resulting from County labor negotiations with Cal- Fire. Staff anticipates this trend to continue as milestones are reached within the labor contract, as well as when the new fire station begins to operate. GENERAL FUNDSUMMARY Page 209 of 570 Monthly Financial Report June 2023 CITY OF PALM DESERT Page 2 Timing of expenditures vary throughout the fiscal year. Interfund Transfers Out are related to programs and/or projects that may be funded by the General Fund such as the Aquatic Facility, Fire Services, Turf Rebates, Discover Palm Desert, etc. EXPENDITURES TO DATE GENERAL FUND EXPENDITURES This summary report is derived from detailed financial information generated by the City’s Finance Department. If you have questions or would like additional information on this report, please contact the Finance Department via email at vchavez@palmdesert.gov PERFORMANCE SUMMARY Page 210 of 570 Monthly Financial Report August 2023 CITY OF PALM DESERT OVERVIEW This report summarizes the City’s financial performance for the month ending August 31, 2023. Financial analysis for this report is provided for the General Fund REVENUES TO DATE As of August 31, 2023, approximately $1.75M or 2% of the General Fund operating budget revenue has been received as detailed below. GENERAL FUND REVENUE EXPLAINED The first half of every fiscal year presents a negative cash flow picture as our primary revenue sources ramp up for the year for the following reasons: Property Tax is received in January/June. Sales Tax is generally highest in Q4 and Q1. Transient Occupancy Tax is also at its peak in Q4 and Q1, as those times are considered “season” for the desert. CY YTD Actual reflects a slight decrease compared to PY Actual and CY Budget. This is on trend with current economic forecasts. Budgets are approved as an annual total, so for the purpose of this report YTD Budget is calculated by percentage of PY YTD Actual. General Govt costs include annual insurance premiums in CY YTD. PY Actual was higher due to adjustments from the Class and Comp Study and COLA’s. Expenditure variances may result from timing differences in billing. GENERAL FUNDSUMMARY Page 211 of 570 Monthly Financial Report August 2023 CITY OF PALM DESERT Page 2 Timing of expenditures vary throughout the fiscal year. General Government costs include insurance, internal departments costs, homelessness services, audit and contributions. EXPENDITURES TO DATE GENERAL FUND EXPENDITURES This summary report is derived from detailed financial information generated by the City’s Finance Department. If you have questions or would like additional information on this report, please contact the Finance Department via email at vchavez@palmdesert.gov PERFORMANCE SUMMARY Page 212 of 570 City of Palm Desert Parkview Office Complex Income Statement for month and fiscal year to date June 30, 2023 Fiscal year 2022-2023 June-23 June-23 #%YTD YTD #% Budget Actual Variance Variance Budget Actual Variance Variance Revenues* Rental 62,500$ 111,681$ 49,181$ 178.69%750,000$ 981,637$ 231,637$ 130.88% Total Revenues 62,500$ 111,681$ 49,181$ 178.69%750,000$ 981,637$ 231,637$ 130.88% Expenses** Tenant Improvements [1]11,422$ -$ (11,422)$ 0.00%137,060$ 14,950$ 122,110$ 10.91% Repairs & Maintenance- Building 2,500$ 18,515$ 16,015$ 740.62%30,000$ 52,568$ (22,568)$ 175.23% Repairs & Maintenance- Streets 1,667$ 376$ (1,291)$ 22.55%20,000$ 2,255$ 17,745$ 11.28% Repairs & Maintenance- Other Equip 1,667$ -$ (1,667)$ 0.00%20,000$ -$ 20,000$ 0.00% CAM Janitorial Services 13,740$ 9,783$ (3,957)$ 71.20%137,400$ 165,429$ (28,029)$ 120.40% CAM Landscaping Services 2,642$ 4,600$ 1,958$ 174.13%26,417$ 25,300$ 1,117$ 95.77% CAM Alarm 315$ -$ (315)$ 0.00%3,150$ 4,133$ (983)$ 131.21% CAM Pest Control 171$ 341$ 171$ 0.00%1,705$ 2,046$ (341)$ 120.00% CAM Utilities-Gas/Electric [2]1,175$ 6,839$ 5,664$ 582.07%79,100$ 83,200$ (4,100)$ 105.18% CAM Utilities-Waste Disposal 820$ 1,154$ 334$ 140.69%8,200$ 9,323$ (1,123)$ 113.70% CAM Utilities-Water 400$ 993$ 593$ 248.32%4,000$ 4,316$ (316)$ 107.90% CAM Utilities-Telephone 750$ 1,006$ 256$ 134.17%7,500$ 6,276$ 1,224$ 83.68% Total Expenses 37,267$ 43,608$ (6,341)$ 117.01%474,532$ 369,797$ 104,735$ 77.93% Operating Income 25,233$ 68,073$ 42,841$ 269.78%275,468$ 611,841$ 336,372$ 222.11% Equipment Replacement Reserve [3]-$ -$ -$ 0.00%-$ -$ -$ 0.00% Net Income 25,233$ 68,073$ 42,841$ >100%275,468$ 611,841$ 336,372$ >100% [1] Tenant improvements are completed at various times throughout the year. [2] YTD overage in gas/electric covered by additional revenue received from rent increases at new lease signing. [3] Funds are recorded to the equipment replacement reserve at yearend after the calculation of depreciation. CAM charges are broken out for Finance Committee reporting purposes, but are all budgeted as "Common Area Maintenance." Budget overages in CAM line items are often offset by budget savings in other CAM line items. Note: This schedule does not include rents received into this enterprise fund for other City-owned buildings **Above expenses include only operational budgets. An additional $1,497,600 and $300,000 are set aside in FY22/23 for capital improvements and transfers, respectively. PARKVIEW FY23 Fin Committee WkshtReport Jun 2023 Page 1Page 213 of 570 City of Palm Desert Parkview Office Complex Income Statement for month and fiscal year to date August 31, 2023 Fiscal year 2023-2024 August-23 August-23 #%YTD YTD #% Budget Actual Variance Variance Budget Actual Variance Variance Revenues* Rental 62,500$ 109,168$ 46,668$ 174.67%125,000$ 216,452$ 91,452$ 173.16% Total Revenues 62,500$ 109,168$ 46,668$ 174.67%125,000$ 216,452$ 91,452$ 173.16% Expenses** Tenant Improvements 10,833$ -$ (10,833)$ 0.00%130,000$ -$ 130,000$ 0.00% Repairs & Maintenance- Building 2,500$ -$ (2,500)$ 0.00%30,000$ -$ 30,000$ 0.00% Repairs & Maintenance- Streets 1,667$ -$ (1,667)$ 0.00%20,000$ -$ 20,000$ 0.00% Repairs & Maintenance- Other Equip 1,667$ -$ (1,667)$ 0.00%20,000$ -$ 20,000$ 0.00% CAM Janitorial Services 13,740$ -$ (13,740)$ 0.00%137,400$ -$ 137,400$ 0.00% CAM Landscaping Services 2,642$ -$ (2,642)$ 0.00%26,417$ -$ 26,417$ 0.00% CAM Alarm 315$ -$ (315)$ 0.00%3,150$ -$ 3,150$ 0.00% CAM Pest Control 171$ -$ (171)$ 0.00%1,705$ -$ 1,705$ 0.00% CAM Utilities-Gas/Electric [1]1,175$ 11,027$ 9,852$ 938.45%114,100$ 11,027$ 103,073$ 9.66% CAM Utilities-Waste Disposal 820$ 834$ 14$ 101.66%8,200$ 1,667$ 6,533$ 20.33% CAM Utilities-Water 400$ 251$ (149)$ 62.66%4,000$ 251$ 3,749$ 6.27% CAM Utilities-Telephone 750$ 513$ (237)$ 68.44%7,500$ 513$ 6,987$ 6.84% Total Expenses 36,679$ 12,624$ 24,054$ 34.42%502,472$ 13,458$ 489,014$ 2.68% Operating Income 25,821$ 96,544$ 70,723$ 373.89%(377,472)$ 202,994$ 580,465$ -53.78% Equipment Replacement Reserve -$ -$ -$ 0.00%-$ -$ -$ 0.00% Net Income 25,821$ 96,544$ 70,723$ >100%(377,472)$ 202,994$ 580,465$ >100% [1] Increase in electric bill due to Summer weather; amount paid includes July's billing. CAM charges are broken out for Finance Committee reporting purposes, but are all budgeted as "Common Area Maintenance." Budget overages in CAM line items are often offset by budget savings in other CAM line items. Note: This schedule does not include rents received into this enterprise fund for other City-owned buildings *Revenues do not include interest income, which is allocated at fiscal year-end. Several updated lease documents were approved by Council over the November-January timeframe, which is expected to lead to increased revenues in the second half of the fiscal year. PARKVIEW FY23-24 Finance Committee WkshtReport Aug 2023 Page 1Page 214 of 570 City of Palm Desert Parkview Office Complex Vacancy Rate Schedule by Suite August 31, 2023 Rentable Square Feet:46,207 Square Feet Occupied:31,330 % Occupied:68% % Vacant:32% Suite No.Tenant Square Ft. 10-110 Advantec 1,250 10-113 Lift to Rise 720 10-117 Lift to Rise 1,227 10-120 State of California 1,000 10-123 Lift to Rise 758 10-126 ACT for Multiple Sclerosis 928 10-129 Congressman Ken Calvert 41st District 875 10-132 Anser Advisory 1,345 10-138 Golden Construction 488 10-201 State of California 766 10-212 State of California 1,104 10-220 Lift to Rise 1,240 20-100 State of California 15,233 20-102 State of California 4,396 Total Occupied Suites 31,330 sq/ft Suite No.Tenant Square Ft. 10-101 Vacant 1,319 10-104 Vacant 1,380 10-118 Vacant - 10-135 Vacant 1,800 10-141 Vacant 421 10-209 Vacant 3,040 10-215 Vacant 5,833 10-219 Vacant 1,084 Total Vacant Suites 14,877 sq/ft Vacancy Rate Summary Occupied Suites Vacant Suites Page 215 of 570 Page 216 of 570 Desert Willow Golf Resort Standard Summary Income Statement MTD- June 2023 For the Twelve Months Ending June 30, 2023 MTD Revised % of MTD % of Actual Budget Forecast Prior Year PY REVENUES Green Fees & Cart Fees 482,607 407,847 118%384,761 125% Merchandise 60,539 49,663 122%48,689 124% Other Pro Shop 15,751 12,900 122%12,900 122% Range 2,800 1,735 161%1,735 161% Food & Beverage 328,742 214,414 153%204,204 161% Academy Merchandise 4,174 4,059 103%4,059 103% Other Academy 13,429 14,207 95%14,207 95% Other G&A Income 2,429 13,083 19%13,083 19% --------------------------------------------------------------------------------------------------------------------------- TOTAL REVENUE 910,470 717,908 127%683,638 133% --------------------------------------------------------------------------------------------------------------------------- COST OF SALES Merchandise 28,418 24,831 114%22,230 128% Academy 3,200 3,166 101%2,735 117% Food & Beverage 74,051 72,901 102%59,418 125% --------------------------------------------------------------------------------------------------------------------------- TOTAL COGS 105,668 100,898 105%84,383 125% --------------------------------------------------------------------------------------------------------------------------- COGS - Merchandise %46.9%50.0%94%45.7%102.8% COGS - Academy %76.7%78.0%98%67.4%113.7% COGS - F&B %25.4%34.0%75%33.2%76.4% PAYROLL Course and Grounds 193,608 209,089 93%190,081 102% Carts, Range, Starters, Etc.49,864 47,157 106%42,870 116% Food and Beverage 242,705 196,960 123%175,857 138% Pro Shop 70,352 69,713 101%63,375 111% Clubhouse Services 18,951 18,030 105%16,391 116% Academy 20,180 17,828 113%16,207 125% General and Administrative 62,755 63,728 98%61,277 102% Marketing 41,382 41,821 99%38,724 107% --------------------------------------------------------------------------------------------------------------------------- TOTAL PAYROLL 699,796 664,326 105%604,781 116% --------------------------------------------------------------------------------------------------------------------------- OPERATING EXPENSES Course and Grounds 156,871 177,948 88%161,771 97% Carts, Range, Starters, Etc.4,832 14,920 32%11,243 43% Food and Beverage 55,590 46,974 118%44,737 124% Pro Shop 9,698 25,483 38%6,599 147% Clubhouse Services 55,133 74,863 74%41,292 134% Academy 1,695 4,893 35%1,895 89% General and Administrative 66,866 37,061 180%33,090 202% Marketing 9,853 9,593 103%5,535 178% --------------------------------------------------------------------------------------------------------------------------- TOTAL OPERATING EXPENSES 360,537 391,734 92%306,162 118% --------------------------------------------------------------------------------------------------------------------------- TOTAL EXPENSES 1,166,002 1,156,958 101%995,326 117% --------------------------------------------------------------------------------------------------------------------------- EBITDA (255,532)(439,050)58%(311,688)82% ------------------------------------------------------------------------------------------------------------FINANCE COMMITTEE FINANCIAL JUNE 2023 Page 217 of 570 Desert Willow Golf Resort MTD- June 2023 Standard Summary Income Statement For the Twelve Months Ending June 30, 2023 MTD Revised % of MTD % of Actual Budget Forecast Prior Year PY EBITDA (255,532)(439,050)58%(311,688)82% --------------------------------------------------------------------------------------------------------------------------- MANAGEMENT FEES (221,667)(221,667)100%(236,383)94% --------------------------------------------------------------------------------------------------------------------------- FINANCING ACITIVITY Interest Expense - Debt (20,972)(3,000)699%21,997 -95% Interest Expense - Leases (7,437)(4,519)165%(2,162)344% Interest Income 18,683 30 62278%2,091 894% --------------------------------------------------------------------------------------------------------------------------- TOTAL FINANCING ACTIVITY (9,726)(7,489)130%21,926 -44% --------------------------------------------------------------------------------------------------------------------------- OTHER INCOME (EXPENSE) Non-Operating Revenue 137,917 25,200 5.47 25,200 547% Facility Rent (8,000)(8,000)100%(8,000)100% Depreciation & Amortization (147,213)(92,710)159%(95,722)154% Taxes (1,045)21 -4865%810 -129% --------------------------------------------------------------------------------------------------------------------------- TOTAL OTHER INCOME (EXPENSE)(18,342)(75,489)24%(77,711)24% --------------------------------------------------------------------------------------------------------------------------- NET INCOME (505,265)(743,694)68%(603,857)84% ======================================================================== Paid Rounds 8,583 3,498 245%6,879 125% Other Rounds 388 61 637%196 198% Total Rounds 8,971 3,559 252%7,075 127% Revenue/Paid Rounds 106 75 141%99 107% Revenue/Total Rounds 101 74 138%97 105% Green Fees / Cart Fees per Paid Rounds 56 42 134%56 101% Green Fees / Cart Fees per Total Rounds 54 41 130%54 99% F&B Revenue/Total Rounds 37 21 173%29 127% Merchandise Revenue/Total Rounds 8 9 92%9 93% FINANCE COMMITTEE FINANCIAL JUNE 2023 Page 218 of 570 Desert Willow Golf Resort Standard Summary Income Statement YTD JUNE 2023 For the Twelve Months Ending June 30, 2023 YTD Revised % of YTD % of Forecast Rolling Actual Budget Forecast Prior Year PY Budget 12 Months REVENUES Green Fees & Cart Fees 9,950,274 9,870,914 101%9,060,713 110%9,870,914 9,950,274 Merchandise 1,189,967 1,167,967 102%1,060,234 112%1,167,967 1,189,967 Other Pro Shop 489,034 478,841 102%482,003 101%478,841 489,034 Range 74,730 72,665 103%77,941 96%72,665 74,730 Food & Beverage 4,875,792 4,744,535 103%3,975,953 123%4,744,535 4,875,792 Academy Merchandise 90,049 85,296 106%64,932 139%85,296 90,049 Other Academy 365,365 356,923 102%323,023 113%356,923 365,365 Other G&A Income 44,230 49,772 89%37,621 118%49,772 44,230 ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- TOTAL REVENUE 17,079,440 16,826,914 102%15,082,421 113%16,826,914 17,079,440 ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- COST OF SALES Merchandise 657,772 637,864 103%535,124 123%637,864 657,772 Academy 67,646 68,151 99%48,281 140%68,151 67,646 Food & Beverage 1,342,255 1,375,820 98%1,135,836 118%1,375,820 1,342,255 ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- TOTAL COGS 2,067,673 2,081,835 99%1,719,241 120%2,081,835 2,067,673 ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- COGS - Merchandise %55.3%54.6%101%50.5%109.5%54.6%653.3% COGS - Academy %75.1%79.9%94%74.4%101.0%79.9%927.7% COGS - F&B %30.7%29.0%106%31.5%97.4%29.0%390.4% PAYROLL Course and Grounds 2,194,666 2,209,889 99%1,965,215 112%2,209,889 2,194,666 Carts, Range, Starters, Etc.636,221 631,008 101%555,405 115%631,008 636,221 Food and Beverage 2,791,048 2,755,341 101%2,161,803 129%2,755,341 2,791,048 Pro Shop 683,412 676,522 101%630,480 108%676,522 683,412 Clubhouse Services 242,624 242,985 100%213,835 113%242,985 242,624 Academy 348,940 340,366 103%298,976 117%340,366 348,940 General and Administrative 552,579 561,038 98%563,015 98%561,038 552,579 Marketing 301,696 297,298 101%272,983 111%297,298 301,696 ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- TOTAL PAYROLL 7,751,186 7,714,446 100%6,661,711 116%7,714,446 7,751,186 ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- OPERATING EXPENSES Course and Grounds 1,942,987 1,865,714 104%1,751,891 111%1,865,714 1,942,987 Carts, Range, Starters, Etc.115,318 115,385 100%98,741 117%115,385 115,318 Food and Beverage 691,563 651,363 106%462,081 150%651,363 691,563 Pro Shop 92,893 102,337 91%55,104 169%102,337 92,893 Clubhouse Services 595,562 587,787 101%538,431 111%587,787 595,562 Academy 36,112 40,708 89%29,109 124%40,708 36,112 General and Administrative 698,417 685,293 102%585,483 119%685,293 698,417 Marketing 96,261 113,892 85%103,663 93%113,892 96,261 ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- TOTAL OPERATING EXPENSES 4,269,113 4,162,481 103%3,624,504 118%4,162,481 4,269,113 ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- TOTAL EXPENSES 14,087,972 13,958,762 101%12,005,456 117%13,958,762 14,087,972 ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- EBITDA 2,991,468 2,868,152 104%3,076,966 97%2,868,152 2,991,468 -------------------------------------------------------------------------------------------------------------------------------------------------------- FINANCE COMMITTEE FINANCIAL JUNE 2023 Page 219 of 570 Desert Willow Golf Resort YTD JUNE 2023 Standard Summary Income Statement For the Twelve Months Ending June 30, 2023 Revised YTD Revised % of YTD % of Forecast Rolling Actual Budget Forecast Prior Year PY Budget 12 Months EBITDA 2,991,468 2,868,152 104%3,076,966 97%2,868,152 2,991,468 ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- MANAGEMENT FEES (459,578)(459,578)100%(465,550)99%( 459,578 ) (459,578) ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- FINANCING ACITIVITY Interest Expense - Debt (54,025)(21,308)254%(22,550)240%( 21,308 ) (54,025) Interest Expense - Leases (63,231)(54,435)116%(35,371)179%( 54,435 ) (63,231) Interest Income 118,833 63,743 186%4,858 2446%63,743 118,833 ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- TOTAL FINANCING ACTIVITY 1,576 (12,000)-13%(53,064)-3%( 12,000 ) 1,576 ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- OTHER INCOME (EXPENSE) Non-Operating Revenue 213,517 100,800 212%100,800 212%100,800 213,517 Facility Rent (96,000)(96,000)100%(96,000)100%( 96,000 ) (96,000) Depreciation & Amortization (1,224,975)(1,124,697)109%(1,135,771)108%( 1,124,697 ) (1,224,975) Taxes (27,227)(23,587)115%(25,471)107%( 23,587 ) (27,227) ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- TOTAL OTHER INCOME (EXPENSE)(1,134,686)(1,143,484)99%(1,156,442)98%( 1,143,484 ) (1,134,686) ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------- NET INCOME 1,398,781 1,253,090 112%1,401,911 100%1,253,090 1,398,781 Paid Rounds 96,417 93,602 103%95,843 101%93,602 96,417 Other Rounds 2,153 1,764 122%2,727 79%1,764 2,153 Total Rounds 98,570 95,366 103%98,570 100%95,366 98,570 Revenue/Paid Rounds 177 180 99%157 113%180 177 Revenue/Total Rounds 173 176 98%153 113%176 173 Green Fees / Cart Fees per Paid Rounds 103 105 98%95 109%105 103 Green Fees / Cart Fees per Total Rounds 101 104 98%92 110%104 101 F&B Revenue/Total Rounds 49 50 99%40 123%50 49 Merchandise Revenue/Total Rounds 16 16 99%14 112%16 16 FINANCE COMMITTEE FINANCIAL JUNE 2023 Page 220 of 570 Desert Willow Golf Resort Standard Summary Income Statement MTD - August 2023 For the Two Months Ending August 31, 2023 MTD MTD % of MTD % of Actual Budget Budget Prior Year PY REVENUES Green Fees & Cart Fees 211,546 212,484 100%208,529 101% Merchandise 29,268 28,195 104%27,642 106% Other Pro Shop 351,663 309,126 114%303,064 116% Range 2,280 2,111 108%2,070 110% Food & Beverage 145,655 124,419 117%121,680 120% Academy Merchandise 1,205 863 140%846 142% Other Academy 14,364 10,307 139%10,105 142% Other G&A Income 8,811 4,000 220%4,000 220% ------------------------- ------------------------------------------------------------------------------------------------------------------ TOTAL REVENUE 764,791 691,506 111%677,937 113% ------------------------- ------------------------------------------------------------------------------------------------------------------ COST OF SALES Merchandise 16,424 15,391 107%14,469 114% Academy 1,025 673 152%610 168% Food & Beverage 38,361 43,705 88%51,942 74% ------------------------- ------------------------------------------------------------------------------------------------------------------ TOTAL COGS 55,811 59,769 93%67,021 83% ------------------------- ------------------------------------------------------------------------------------------------------------------ COGS - Merchandise %56.1%54.6%102.8%52.3%107.2% COGS - Academy %85.1%78.0%109.1%72.1%118.1% COGS - F&B %29.3%39.8%73.6%49.1%59.6% PAYROLL Course and Grounds 176,939 183,657 96%186,645 95% Carts, Range, Starters, Etc.41,189 38,670 107%39,463 104% Food and Beverage 159,584 138,119 116%139,701 114% Pro Shop 59,520 60,946 98%52,285 114% Clubhouse Services 20,703 20,754 100%20,932 99% Academy 9,903 7,994 124%6,960 142% General and Administrative 45,560 46,070 99%44,438 103% Marketing 17,915 17,371 103%16,604 108% ------------------------- ------------------------------------------------------------------------------------------------------------------ TOTAL PAYROLL 531,312 513,581 103%507,028 105% ------------------------- ------------------------------------------------------------------------------------------------------------------ OPERATING EXPENSES Course and Grounds 99,583 133,171 75%128,237 78% Carts, Range, Starters, Etc.4,703 5,481 86%5,883 80% Food and Beverage 21,202 25,022 85%27,359 77% Pro Shop 5,013 5,723 88%5,286 95% Clubhouse Services 81,716 60,063 136%61,616 133% Academy 2,336 2,959 79%3,631 64% General and Administrative 49,582 45,183 110%49,648 100% Marketing 9,892 12,880 77%6,862 144% ------------------------- ------------------------------------------------------------------------------------------------------------------ TOTAL OPERATING EXPENSES 274,027 290,482 94%288,523 95% ------------------------- ------------------------------------------------------------------------------------------------------------------ TOTAL EXPENSES 861,150 863,833 100%862,572 100% ------------------------- ------------------------------------------------------------------------------------------------------------------ EBITDA (96,359) (172,327)56%(184,635)52% -------------------- -------------------------------------------------------------------------------------------------------- FINANCE COMMITTEE MEETING FINANCIAL REPORT Page 221 of 570 Desert Willow Golf Resort Standard Summary Income Statement MTD - August 2023 For the Two Months Ending August 31, 2023 MTD MTD % of MTD % of Actual Budget Budget Prior Year PY EBITDA (96,359) (172,327)56%(184,635)52% ------------------------- ------------------------------------------------------------------------------------------------------------------ MANAGEMENT FEES (22,500)(21,667)104%(22,500)100% ------------------------- ------------------------------------------------------------------------------------------------------------------ FINANCING ACITIVITY Interest Expense - Debt (3,333)(4,166)80%(2,927)114% Interest Expense - Leases (7,141)(6,491)110%(272)2624% Interest Income 19,589 4,420 443%4,367 449% ------------------------- ------------------------------------------------------------------------------------------------------------------ TOTAL FINANCING ACTIVITY 9,115 (6,237)-146%1,168 780% ------------------------- ------------------------------------------------------------------------------------------------------------------ OTHER INCOME (EXPENSE) Non-Operating Revenue - - - - - Facility Rent (8,000)(8,000)100%(8,000)100% Depreciation & Amortization (120,955)(80,082)151%(95,722)126% Taxes (12)(185)6%(2,550)0% ------------------------- ------------------------------------------------------------------------------------------------------------------ TOTAL OTHER INCOME (EXPENSE)(128,967)(88,267)146%(106,272)121% ------------------------- ------------------------------------------------------------------------------------------------------------------ NET INCOME (238,710) (288,497)83%(312,238)76% ============== ================================================================ Paid Rounds 3,622 3,788 96%3,826 95% Other Rounds 346 338 102%340 102% Total Rounds 3,968 4,126 96%4,166 95% Revenue/Paid Rounds 211 183 116%177 119% Revenue/Total Rounds 193 168 115%163 118% Green Fees / Cart Fees per Paid Rounds 58 56 104%55 107% Green Fees / Cart Fees per Total Rounds 53 51 104%50 107% F&B Revenue/Total Rounds 37 30 122%29 126% Merchandise Revenue/Total Rounds 11 9 118%9 121% FINANCE COMMITTEE MEETING FINANCIAL REPORT Page 222 of 570 Desert Willow Golf Resort Standard Summary Income Statement YTD - August 2023 For the Two Months Ending August 31, 2023 YTD YTD % of YTD % of Annual Rolling Actual Budget Budget Prior Year PY Budget 12 Months REVENUES Green Fees & Cart Fees 456,657 527,662 87%519,582 88%9,689,934 9,887,349 Merchandise 60,237 66,356 91%65,055 93%1,024,999 1,185,149 Other Pro Shop 358,190 317,045 113%310,829 115%443,753 536,395 Range 4,300 4,406 98%4,320 100%74,571 74,710 Food & Beverage 251,383 233,973 107%229,312 110%4,542,220 4,897,863 Academy Merchandise 2,131 4,841 44%4,746 45%34,548 87,434 Other Academy 21,691 15,616 139%15,310 142%332,820 371,747 Other G&A Income 8,811 4,000 220%4,000 220%40,529 49,041 ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- TOTAL REVENUE 1,163,400 1,173,899 99%1,153,152 101%16,183,376 17,089,688 ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- COST OF SALES Merchandise 32,686 36,154 90%34,373 95%560,213 656,085 Academy 1,887 3,776 50%3,614 52%26,948 65,920 Food & Beverage 78,161 86,993 90%89,496 87%1,444,466 1,330,920 ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- TOTAL COGS 112,734 126,923 89%127,482 88%2,031,627 2,052,925 ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- COGS - Merchandise %54.3%54.5%99.6%52.8%102.7%54.7%656.3% COGS - Academy %88.6%78.0%113.5%76.1%116.3%78.0%956.7% COGS - F&B %34.0%40.6%83.8%43.5%78.2%34.3%373.3% PAYROLL Course and Grounds 341,693 367,314 93%363,478 94%2,249,711 2,172,881 Carts, Range, Starters, Etc.85,022 77,340 110%81,358 105%636,724 639,885 Food and Beverage 308,120 278,690 111%269,169 114%2,643,163 2,829,999 Pro Shop 112,317 112,454 100%100,694 112%709,181 695,035 Clubhouse Services 39,062 41,507 94%41,657 94%249,025 240,029 Academy 16,779 18,023 93%17,201 98%318,591 348,518 General and Administrative 88,090 92,140 96%89,847 98%583,258 550,822 Marketing 34,480 35,075 98%34,740 99%283,449 301,436 ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- TOTAL PAYROLL 1,025,563 1,022,543 100%998,145 103%7,673,101 7,778,604 ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- OPERATING EXPENSES Course and Grounds 249,881 273,283 91%263,184 95%1,910,494 1,929,684 Carts, Range, Starters, Etc.8,373 11,329 74%11,742 71%101,317 111,949 Food and Beverage 38,081 46,095 83%51,926 73%522,637 677,717 Pro Shop 12,491 8,581 146%7,414 168%97,499 97,970 Clubhouse Services 164,667 125,975 131%124,153 133%603,338 636,076 Academy 5,631 6,332 89%6,717 84%32,457 35,026 General and Administrative 90,291 80,561 112%76,742 118%666,237 711,967 Marketing 13,266 20,681 64%12,852 103%163,985 96,676 ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- TOTAL OPERATING EXPENSES 582,681 572,837 102%554,730 105%4,097,964 4,297,064 ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- TOTAL EXPENSES 1,720,978 1,722,303 100%1,680,358 102%13,802,692 14,128,592 ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- EBITDA (557,577) (548,404)102%(527,205)106%2,380,684 2,961,096 -------------------- ---------------------------------------------------------------------------------------------------------------------------- -------------------- FINANCE COMMITTEE MEETING FINANCIAL REPORT Page 223 of 570 Desert Willow Golf Resort Standard Summary Income Statement YTD - August 2023 For the Two Months Ending August 31, 2023 YTD YTD % of YTD % of Annual Rolling Actual Budget Budget Prior Year PY Budget 12 Months EBITDA (557,577) (548,404)102%(527,205)106%2,380,684 2,961,096 ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- MANAGEMENT FEES (45,000) (43,333)104%(44,167)102%(460,000) (460,411) ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- FINANCING ACITIVITY Interest Expense - Debt (6,667)(8,332)80%(5,597)119%(50,000) (55,095) Interest Expense - Leases (14,431) (13,116)110%(2,300)627%(70,594) (75,362) Interest Income 39,240 8,840 444%7,480 525%53,040 150,593 ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- TOTAL FINANCING ACTIVITY 18,143 (12,608)-144%(417)-4349%(67,554)20,136 ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- OTHER INCOME (EXPENSE) Non-Operating Revenue - - - - - 101,100 213,517 Facility Rent (16,000) (16,000)100%(16,000)100%(96,000) (96,000) Depreciation & Amortization (241,910) (160,164)151%(191,443)126%(1,095,273) (1,275,442) Taxes (32)(234)13%(2,590)1%(22,856) (24,669) ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- TOTAL OTHER INCOME (EXPENSE)(257,941) (176,398)146%(210,033)123%(1,113,029) (1,182,594) ------------------------- ------------------------------------------------------------------------------------------------------------------------------------------- ------------------------- NET INCOME (842,376) (780,743)108%(781,822)108%740,101 1,338,227 ============== ============================================================================== ============== Paid Rounds 7,753 9,532 81%9,628 81%91,224 94,652 Other Rounds 586 487 120%490 120%2,169 2,133 Total Rounds 8,339 10,019 83%10,118 82%93,393 96,785 Revenue/Paid Rounds 185 123 150%120 154%177 2,119 Revenue/Total Rounds 180 117 154%114 158%173 2,069 Green Fees / Cart Fees per Paid Rounds 108 55 195%54 200%106 1,176 Green Fees / Cart Fees per Total Rounds 106 53 201%51 206%104 1,150 F&B Revenue/Total Rounds 1 23 4%23 4%0 9 Merchandise Revenue/Total Rounds 13 8 154%8 159%11 143 FINANCE COMMITTEE MEETING FINANCIAL REPORT Page 224 of 570 2018-2019 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 OPERATIONAL INCOME STATEMENT Actuals Actuals Actuals Actuals Actuals Estimated Beginning Cash Balance 3,327,774 3,596,022 2,374,599 3,817,067 4,911,680 7,074,899 REVENUES Green Fees & Cart Fees 7,080,240 5,582,594 7,481,139 9,060,713 9,950,274 9,689,934 Merchandise 809,498 713,947 785,205 1,060,234 1,189,967 1,024,999 Other Pro Shop 501,340 517,703 491,579 482,003 489,034 443,753 Range 43,827 35,476 67,454 77,941 74,730 74,571 Food & Beverage 2,869,768 2,216,719 2,181,902 3,975,953 4,875,792 4,542,220 Academy Merchandise 92,285 76,911 77,263 64,932 90,049 34,548 Other Academy 216,465 173,351 268,967 323,023 365,365 332,820 Other G&A Income 24,542 28,722 14,504 37,621 44,230 40,529 Transfer in from GF - - - - - TOTAL REVENUE 11,637,965 9,345,423 11,368,013 15,082,421 17,079,440 16,183,376 EXPENDITURES Cost of Good Sold 1,355,396 1,121,263 1,200,530 1,719,241 2,067,673 2,031,627 Payroll 5,264,339 5,171,186 5,410,712 6,661,711 7,736,206 7,673,101 Operating Expenses 3,086,672 2,954,736 2,918,415 3,624,504 4,251,906 4,097,964 Equipment/Leases 636,885 450,384 469,030 988,548 670,162 867,083 Other Expense 609,758 513,878 557,776 518,614 604,061 603,450 Loan Repayment from City ($1M still outstanding)- - - 500,000 500,000 500,000 Capital Improvement Plan Firecliff Golf Course Renovation - - - - - 3,500,000 Annual DWGR Capital Replacement Expenditures 658,476 271,100 459,151 414,346 687,227 515,500 Annual Perimeter & DW Drive Expenditures 142,881 182,157 187,417 190,454 195,855 1,500,000 Total CIP 801,357 453,257 646,568 604,801 883,082 5,515,500 TOTAL EXPENDITURES 11,754,407 10,664,704 11,203,031 14,617,418 16,713,090 21,288,725 Net Surplus/(Deficit)(116,442) (1,319,281) 164,982 465,003 366,350 (5,105,349) Transfer in from Capital Reserve 657,435 367,697 577,065 464,767 883,082 5,000,000 Accrual to Cash Basis Adjustment (272,745) (269,839) 700,421 164,843 913,787 OPERATIONS RESERVE PLAN/ANALYSIS Ending DW Cash Balance/Reserve 3,596,022 2,374,599 3,817,067 4,911,680 7,074,899 6,969,550 Restricted for Outstanding Operational Loan 2,000,000 2,000,000 2,000,000 1,500,000 1,000,000 1,000,000 90 Day Operations Reserve 2,738,262 2,552,862 2,639,116 3,378,154 3,832,502 3,818,306 Reserve Surplus/(Deficit) *(1,142,240) (2,178,263) (822,049) 33,525 2,242,397 2,151,244 * - Risk to General Fund *CIP Reserve is currently fully funded by Amenity Fee from TimeShares/Capital Reserve Fund Balance is held by the City. Desert Willow Golf Resort Budget and Cash Flow Analysis FINANCE COMMITTEE MEETING FINANCIAL REPORT Page 225 of 570 DWGR Round Mix Analysis For the Month Ended August 31, 2023 Rounds Dollars Category 2023/2024 %Budget %Variance 2022/2023 %Variance 2023/2024 %Budget %Variance 2022/2023 %Variance Public Rack 1,367 38%1,218 32%149 1,230 32%137 90,378$ 43%80,298 38%10,080$ 78,724$ 38%11,654$ Residents 610 17%536 14%74 541 14%69 28,600$ 14%22,914 11%5,686$ 22,465$ 11%6,135$ Outings 295 8%448 12%(153) 453 12%(158) 18,102$ 9%28,988 14%(10,886)$ 28,420$ 14%(10,318)$ Wholesale 503 14%708 19%(205) 715 19%(212) 34,647$ 16%42,618$ 20%(7,971)$ 41,782$ 20%(7,135)$ Loyalty/Special 847 23%878 23%(31) 887 23%(40) 38,469$ 18%37,294$ 18%1,175$ 36,563$ 18%1,906$ Total 3,622 3,788 (166) 3,826 (204) 210,196$ 212,113$ (1,917)$ 207,954$ 2,242$ -4%-5%-1%1% Comp/Employee 346 338 8 340 6 -$ -$ -$ -$ Total 3,968 4,126 (158) 4,166 (198) 210,196$ 212,113$ (1,917)$ 207,954$ 2,242$ 2023/2024 Budget 2022/2023 Public Rack 66$ 66$ 64$ Residents 47$ 43$ 42$ Outings 61$ 65$ 63$ Wholesale 69$ 60$ 58$ Loyalty/Special 45$ 42$ 41$ Total 58.03$ 56.00$ 54.35$ Average Dollars per Round G:\Finance\Derek White\My Documents\Analytics\ADR Analysis Monthly Reports\2023-2024\ADR analysis 23-24 FINANCE COMMITTEE MEETING FINANCIAL REPORT Page 226 of 570 DWGR Round Mix Analysis For the Two Months Ending August 31, 2023 Rounds Dollars Category 2023/2024 %Budget %Variance 2022/2023 %Variance 2023/2024 %Budget %Variance 2022/2023 %Variance Public Rack 2,676 35%2,822 30%(146) 2,850 30%(174) 172,134$ 38%191,067$ 36%(18,933)$ 187,321$ 36%(15,187)$ Residents 1,157 15%1,163 12%(6) 1,175 12%(18) 51,950$ 12%50,235 10%1,715$ 49,250$ 10%2,700$ Outings 1,106 14%1,345 14%(239) 1,359 14%(253) 75,672$ 17%84,218 16%(8,546)$ 82,567$ 16%(6,895)$ Wholesale 1,063 14%1,989 21%(926) 2,009 21%(946) 70,092 16%108,454$ 21%(38,362) 106,327 21%(36,235) Loyalty/Special 1,751 23%2,213 23%(462) 2,235 23%(484) 78,409$ 17%92,786$ 18%(14,377)$ 90,967$ 18%(12,558)$ Total 7,753 9,532 (1,779) 9,628 (1,875) 448,257$ 526,761$ (78,504)$ 516,432$ (68,175)$ -19%-19%-15%-13% Comp/Employee 586 487 99 490 96 -$ -$ -$ -$ Total 8,339 10,019 (1,680) 10,118 (1,779) 448,257$ 526,761$ (78,504)$ 516,432$ (68,175)$ 2023/2024 Budget 2022/2023 Public Rack 64$ 68$ 66$ Residents 45$ 43$ 42$ Outings 68$ 63$ 61$ Wholesale 66$ 55$ 53$ Loyalty/Special 45$ 42$ 41$ Total 57.82$ 55.26$ 53.64$ Average Dollars per Round G:\Finance\Derek White\My Documents\Analytics\ADR Analysis Monthly Reports\2023-2024\ADR analysis 23-24 FINANCE COMMITTEE MEETING FINANCIAL REPORT Page 227 of 570 Desert Willow/PDRFC Statement of Cash Flows-Combined Indirect Method Reconciliation 8/31/2023 Cash Flows from Operating Activities Net Income (Loss)(842,376) Adjustments to reconcile net loss to net cash provided by operating activities Depreciation & Amortization expense 241,910 Bad Debt expense - Gain on disposal of assets - (Increase) Decrease in assets Accounts Receivable 107,858 Due from Employees - Inventories (4,534) Prepaid expenses (145,273) Increase (Decrease) in liabilities Accounts Payable 218,455 Accrued Liabilities (320,588) Deferred Revenue 92,076 Interest - Due to Affiliates 16,000.00 205,904 Net cash flows from operating activities (636,472) FINANCE COMMITTEE MEETING FINANCIAL REPORT Page 228 of 570 Desert Willow/PDRFC Statement of Cash Flows-Combined Direct Method 8/31/2023 Cash Flows from Operating Activities Cash Received From Customers 1,775,256 Interest Received 39,240 Other Operating Cash Receipts 0 Cash Paid to Suppliers and Employees (2,429,839) Interest Paid (21,098) Taxes Paid (32) Net cash flows from operating activities (636,473) Cash Flows from Investing Activities Contributed Capital - Purchases of Property and Equipment (561,500) Proceeds from sale of Property and Equipment - Net cash flows from investing activities (561,500) Cash Flows from Financing Activities Loan proceeds-KSM/CITY - Principal payments (142,984) Net cash flows from financing activities (142,984) Net change in cash (1,340,957) Cash at beginning of period 7,074,899 Cash at end of period 5,733,942 FINANCE COMMITTEE MEETING FINANCIAL REPORT Page 229 of 570 DWGR F&B Revenue Analysis Year-to-Date Revenue Analysis 8/31/2023 Dining Analysis 2023.2024 2022.2023 Variance % Dining Covers 3,721 4,725 (1,004) -21% Dining Revenue 104,419$ 111,526$ (7,107) -6% Dining - Ave Check 28.06$ 23.60$ 4.46$ 19% Catering Analysis 2023.2024 2022.2023 Variance % Catering Covers 919 1,231 (312)$ -25% Catering Revenue 93,545$ 78,540$ 15,005$ 19% Catering Ave Check 101.79$ 63.80$ 37.99$ 60% Outlet Analysis 2023.2024 2022.2023 Variance % Outlet Rounds 8,333 10,118 (1,785)$ -18% Outlet Revenue 44,777$ 31,115$ 13,662$ 44% Outing Ave Check 5.37$ 3.08$ 2.30$ 75% Total F&B Revenue 242,741$ 221,181$ 21,560$ 10% FINANCE COMMITTEE MEETING FINANCIAL REPORT Page 230 of 570 2023.2024 July August Dining Covers 1,976 1,745 Catering Covers 374 545 2,350 2,290 Dining Revenue 53,982$ 50,437$ Catering Revenue 26,330$ 67,215$ 80,312$ 117,652$ Dining - Ave Check 27.32$ 28.90$ Catering - Ave Check 70.40$ 123.33$ Outlet Revenue 22,744$ 22,032$ Rounds 4,371 3,962 $'s per Round 5.20$ 5.56$ 2022.2023 Dining Covers 2,493 2,232 Catering Covers 609 622 3,102 2,854 Dining Revenue 58,206$ 53,320$ Catering Revenue 27,779$ 50,761$ 85,985$ 104,081$ Dining - Ave Check 23.35$ 23.89$ Catering - Ave Check 45.61$ 81.61$ Outlet Revenue 18,415$ 12,700$ Rounds 5,952 4,166 $'s per Round 3.09$ 3.05$ PDRFC COVER ANALYSIS FINANCE COMMITTEE MEETING FINANCIAL REPORT Page 231 of 570 Page 232 of 570 Page 1 of 2 CITY OF PALM DESERT STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Veronica Chavez, Director of Finance Martin Alvarez, Director of Public Works Jess Culpeper, Director of Capital Projects REQUEST: TROPICAL STORM HILARY RECOVERY UPDATE RECOMMENDATION: Receive and file update on the August 2023 Weather Event Storm Recovery and Redevelopment. BACKGROUND/ANALYSIS: On August 20, 2023, Tropical Storm Hillary wreaked havoc on the Coachella Valley. An emergency declaration was immediately put in place within the City of Palm Desert. Under the direction of the City Manager, staff took immediate action to procure needed services to protect life and property as authorized by the emergency declaration. City staff worked tirelessly to ensure the community endured minimal impact. Part of that work included engaging various vendors to provide necessary supplies and services in support of emergency operations, in addition to costs anticipated to be incurred as a result of the response to the weather event. On September 14, 2023, the City Council approved an appropriation of $1,765,000 to cover the initial emergency response, as well as any immediate anticipated recovery costs. The City Council later approved a $2,000,000 appropriation on September 28th for costs associated with the Mid Valley Channel, as it relates to this recovery effort. Moving forward, City staff will be providing updates in order to facilitate expeditious response to provide an efficient recovery, as well as prepare for future storms by redeveloping and shoring up infrastructure weaknesses identified as a result of Hillary. Below is the most recent update relative to this effort: Description General Disaster Freedom Park Spanish Walk Combined Total Mid Valley Channel September Appropriations $1,146,455 $317,651 $300,894 $1,765,000 $2,000,000 Invoices to date $311,313 $17,651 $150,894 $479,858 $0.00 Balance Remaining $835,142 $300,000 $150,000 $1,285,142 $2,000,000 Anticipated Costs $632,846 $300,000 $150,000 $1,082,846 $2,000,000 Balance Remaining $202,296 0 0 $202,296 0 Legal Review: This report has been reviewed by the City Attorney’s office. Page 233 of 570 City of Palm Desert Tropical Storm Hillary Recovery Update Page 2 of 2 FINANCIAL IMPACT: At this time, City staff believes the appropriations in place are sufficient to cover immediate costs. As studies are completed and infrastructure identified as necessary components to storm recovery and/or preparedness, additional appropriations may be necessary. 20% of the 2023- 24 Budgeted General Fund Revenues ($15,110,893) have been reserved and set aside for this purpose. Additional monies are identified in both the Facilities Reserve $19M (infrastructure, parks, etc.) and CIP Reserve $14M categories and may be used at C ity Council’s direction, for this purpose. Page 234 of 570 Page 1 of 3 PALM DESERT HOUSING AUTHORITY STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Veronica Chavez, Director of Finance Jessica Gonzales, Housing Manager REQUEST: AWARD OF CONTRACT FOR AFFORDABLE HOUSING COMPLIANCE AND PROPERTY MANAGEMENT SERVICES TO FALKENBERG/ GILLIAM and ASSOCIATES, INC., FOR A FIVE-YEAR TERM, WITH AN INITIAL ANNUAL COST FOR CALENDAR YEAR 2024 IN AN AMOUNT NOT TO EXCEED $655,032 RECOMMENDATION: 1. Approve the award of contract for Affordable Housing Compliance and Property Management Services for the Authority-owned Properties to Falkenberg/Gilliam and Associates, Inc., for a five (5) year term, with an initial cost for calendar year 2024 in an amount not to exceed $655,032 with prescribed allowable increases for subsequent years as noted in the contract. 2. Authorize staff to finalize a contract (also referred to as the “Agreement”) with Falkenberg Gilliam & Associates, Inc., consistent with the terms of the RFP with non-substantive modifications concurred upon by the Executive Director and legal counsel. 3. Authorize an appropriation in the amount of $13,368 from the Housing Authority’s Unobligated Fund Balance to the appropriate professional service accounts. 4. Authorize the Chairperson to execute the Agreement and the Executive Director to execute any documents necessary to facilitate the contract award and implementation. BACKGROUND/ANALYSIS: A Request for Proposals (“RFP”) for qualified licensed firm s for affordable housing compliance and property management services (“Services”) for the fifteen (15) income-restricted properties (collectively, the “Properties”) owned by the Palm Desert Housing Authority (the “Authority”) was posted on July 28, 2023 to the City of Palm Desert’s (“City”) online bid management provider (“OpenGov Procurement”) available on the City’s website. Concurrently, a “Notice Inviting Proposals” was published in the Desert Sun newspaper on July 28, 2023. On August 29, 2023, at 3:00 p.m., the following proposals were received: Staff performed an extensive due diligence review of the two (2) proposals submitted. An evaluation of the proposals was performed by six (6) individual City staff members from different FIRM CORPORATE OFFICE Falkenberg/Gilliam and Associates, Inc. Pasadena, CA Sterling Asset Management Company Fairfield, CA Page 235 of 570 Palm Desert Housing Authority Award of Contract to Falkenberg/Gilliam & Associates, Inc. Page 2 of 3 departments independently reviewing each firm’s qualifications and whether their respective proposed services met the evaluation criteria set forth in the RFP. Unanimously, based on the written and interview responses Falkenberg/Gilliam and Associates, Inc. (“FGA”) were deemed most qualified with very thorough and conci se responses while Sterling Asset Management Company (“Sterling”) failed to provide complete, clear, and direct responses. Sterling also did not meet some of the RFP evaluation criteria. The evaluating panel recommended an award of contract to FGA. FGA Proposal: FGA currently manages approximately 1,791 apartment units throughout Southern California, all of which are affordable units. Furthermore, FGA has over fifty (50) years of experience in this industry, and has experience as a property management company for affordable rental properties. The proposed Agreement with FGA is for an initial five (5) year term with extension options as noted in the Agreement. Prior to the termination date of the term, the Agreement requires the parties to enter good faith negotiations to enter into a new agreement, with the ability to extend the current Agreement while those negotiations are ongoing (if needed). The scope of services for this Agreement consists of the day-to-day operation of fifteen (15) affordable housing properties. Services will include, but not be limited to: compliance with affordable housing rules and requirements; responding to residents' concerns and complaints; enforcement of house rules and regulations; application of fair housing laws and enforcement of the Housing Authority’s Administrative Policies and Procedures; qualifying applicants and tenants annually for income certification; conducting credit, rental, employment, and criminal background checks; all leasing activities; monitoring day-to-day maintenance of properties and maintenance contracts; performing property and unit inspections; collecting and disbursing funds; providing monthly accounting reports that include receipts and expenditures; an nual financial reporting/filings; occupancy reportin g; and administration of funds. The Agreement can be terminated for unsatisfactory performance upon a 90-day written notice by either party; in addition, the Housing Authority may terminate for convenience with 180 days written notice. The Agreement management fee in the case of occupied units shall be in the amount of $49.00 per unit per month, to be increased three percent (3%) biannually commencing on January 1, 2026, and every other January 1st thereafter for the remainder of the term of the Agreement. Staff therefore recommends approval of award of contract for Affordable Housing Compliance and Property Management Services for the Authority Owned Properties to FGA in an amount not to exceed $655,032 for calendar year 2024, with prescribed allowable increases for subsequent years as noted in the contract. Legal Review: Page 236 of 570 Palm Desert Housing Authority Award of Contract to Falkenberg/Gilliam & Associates, Inc. Page 3 of 3 This report has been reviewed by the City Attorney’s office and special counsel, Richards Watson and Gershon. Appointed Body Recommendation: The Housing Commission will review this recommendation at its regular meeting on October 11, 2023. Upon request, a verbal report will be provided at the Authority’s regular meeting on October 12, 2023. FINANCIAL IMPACT: The fiscal impact is the annual Agreement amount for Affordable Housing Compliance and Property Management Services. Funds have been included in Housing Authority FY 2023/24 Approved Budget in the appropriate Authority accounts for each of the properties. An additional $13,368 amount is being requested to be allocated to each of the property budgets for the anticipated management service fee increase. There is no financial impact to the General Fund from this action. ATTACHMENTS: 1. Request for Proposal, dated July 28, 2023 2. FGA Proposal, dated August 29, 2023 3. DRAFT Management Services Agreement Page 237 of 570 Page 238 of 570 REQUEST FOR PROPOSAL 2023-RFP-205 AFFORDABLE HOUSING COMPLIANCE AND PROPERTY MANAGEMENT SERVICES City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260 RELEASE DATE: July 28, 2023 DEADLINE FOR QUESTIONS: August 14, 2023 RESPONSE DEADLINE: August 29, 2023, 3:00 pm RESPONSES MUST BE SUBMITTED ELECTRONICALLY TO: https://procurement.opengov.com/portal/cityofpalmdesert Page 239 of 570 City of Palm Desert REQUEST FOR PROPOSAL Affordable Housing Compliance and Property Management Services I. Summary and Background .................................................................... II. Board and Administrative Personnel ..................................................... III. Notice Inviting Proposals ...................................................................... IV. Requests for Clarification ...................................................................... V. General Terms ...................................................................................... VI. Term of Contract ................................................................................... VII. Qualifications and Experience ............................................................... VIII. Content and Format of Proposal ........................................................... IX. Evaluation Criteria ................................................................................ X. Selection Process .................................................................................. XI. Protests................................................................................................. XII. Submittal Requirements ....................................................................... XIII. RFP Conditions ...................................................................................... XIV. General Conditions ............................................................................... XV. Scope of Services .................................................................................. Attachments: A - Palm Desert Housing Authority Properties B - Cost Proposal C - Supplemental Questions D - Property Management Services Agreement Page 240 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 3 1. SUMMARY AND BACKGROUND 1.1. Summary The Palm Desert Housing Authority (“Authority”) is requesting proposals from qualified property management firms ("Firms") for comprehensive Affordable Housing Compliance and Property Management Services (“Services”) to establish a Property Management Services Agreement ("Agreement") for its income restricted properties portfolio. Note: the use of the term "Firm" throughout this Request for Proposal ("RFP") may be interchangeably used with "Respondent", "Proposer", "Entity". "Organization", etc., and shall all mean the same. Respondent(s) shall have extensive knowledge and experience with affordable housing compliance as well as strong property management experience in affordable and income restricted housing and must have managed at least 800 affordable rental housing units at one time during the last three (3) years. Respondent (s) must have familiarity with the Coachella Valley and area property management. Respondent(s) must also have strong knowledge and experience with the Housing Authority of the County of Riverside Section 8 Housing Choice Voucher (HCV) program and HOME Investment Partnership Program. Managing of affordable housing units includes but is not limited to day- to-day operations; compliance with affordable housing rules and requirements; respond to residents' concerns and complaints, enforcement of house rules and regulations, application of fair housing laws and enforcement of the Authority’s Administrative Policies and Procedures, qualifying applicants and tenants annually for income certification; conducting credit, rental, employment, and criminal background checks, all leasing activities; monitor day-to-day maintenance of Properties, any maintenance contracts, perform property and unit inspections; perform maintenance and repairs; collect and disburse funds; provide monthly accounting reports that include receipts and expenditures; annual financial reporting/filings; occupancy reporting; and administration of funds (“Services”). See Scope of Services. This Request for Proposal (“RFP”) has the following objectives: • Establish a comprehensive solicitation for Services at the Palm Desert Housing Authority affordable income restricted rental Properties. • Achieve high-quality, cost-effective Services. • Detail expectations for Services at the Properties. • Determine the qualifications of the respondents to manage all aspects of the Authority’s affordable rental housing. If an award is made, the Authority will award all work to a single Respondent. Respondent’s must demonstrate the potential to increase their management portfolio. Additional types of properties may be added to the successful Respondent’s scope of work subsequent to award. 1.2. Background The Authority is a public body, corporate and politic, established to provide affordable, decent, safe, and sanitary housing within the City of Palm Desert under the former Palm Desert Redevelopment Agency Page 241 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 4 ("former Agency"). The Authority is a housing successor entity resulting from the elimination of the Community Redevelopment Agencies in 2012. The Authority owns 1,114 affordable housing units located at fifteen (15) rental properties ("Properties") in residential areas throughout the City of Palm Desert ("City"). Units consist of studios, one bedroom, and two bedrooms ranging from approximately 410 square feet to 800 square feet in size (Attachment A). The Authority Properties have been acquired or rehabilitated with funding sources that require adherence to certain income restrictions, regulations pertaining to rental operations and ongoing property management. The se funds include the HOME Investment Partnership Program and Housing Set-Aside funds. In addition, to these Properties, others may be added to the portfolio in the future or current Properties may be deleted due to ownership changes or development plans. The Authority Property rents are subsidized based on the Area Median Income ("AMI") for Riverside County. The 2023 AMI published by the California Department Housing of Community Development (HCD) can be found online at the Authority's website, www.pdhousingauthority.org . The Properties have income restricted units that range from 20% AMI to 120% AMI, with respective rents ranging from $276 to $1,751. The current operating budget anticipates $9,294,000 in annual rental income. Average monthly rent, for all Properties, is $695. The property management company that may be awarded a contract from this RFP is expected to transition to operational control of the Properties as early as January 1, 2024. 1.3. Contact Information Celina Cabrera Management Analyst Email: ccabrera@cityofpalmdesert.org Phone: (760) 776-6449 Department: Economic Development 1.4. Timeline The dates below are the timeline of events for this RFP. The Authority retains the sole discretion to adjust the timeline of events without prior notice or responsibility to Proposer(s). Nothing set forth herein shall be deemed to bind the Authority to award a contract for the Services and the Authority reserves the right to amend, cancel or modify any part of or all of this RFP at any time. Release of Request for Proposal July 28, 2023 Last Day to Submit Questions for Clarification August 14, 2023, 5:00pm Clarifications Issued by City on or before August 17, 2023, 5:00pm Page 242 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 5 Deadline for Receipt of Proposals submitted on or before August 29, 2023, 3:00pm 2. BOARD AND ADMINISTRATIVE PERSONNEL The powers of the Authority are vested in the five City of Palm Desert City Council Member's who appointed themselves as the Palm Desert Housing Authority Board ("Authority Board"). The legal authority in creating guiding legislation regarding the Properties is vested in the Authority Board. The Authority Board has also appointed a seven (7) member citizen's Housing Commission that includes two (2) appointed representatives from the Properties that serve in an advisory capacity to the Authority Board. The City of Palm Desert City Manager is the Housing Authority Executive Director. The Executive Director is responsible for the implementation and administration of policies adopted by the Authority Board with the assistance of the Housing Manager. Under no circumstances may a Firm intending to submit a proposal to this RFP contact any member of the Housing Authority Board, Housing Commissioners, or any Housing Authority/City staff member other than the Housing Authority personnel contact. Failure to comply with this request may result in disqualification All questions should be in writing as noted in Section 4. 3. NOTICE INVITING PROPOSALS 3.1. NOTICE RFP No.: 2023-RFP-205 Project Title: Affordable Housing Compliance and Property Management Services Project No. (if applicable): N/A PUBLIC NOTICE IS HEREBY GIVEN that proposals will be received by the Palm Desert Housing Authority (“Authority”) electronically through the City of Palm Desert’s ("City") online bid management provider (“OpenGov Procurement”), until 3:00 pm, Tuesday, August 29, 2023. Proposals may not be submitted by fax, email, telephone, mail, hand delivery, or other means; any proposals received through any means other than OpenGov Procurement will be returned to the proposer unopened. The Authority is requesting proposals to provide: The Palm Desert Housing Authority is soliciting proposals from qualified property management firms to enter into an Agreement for comprehensive Affordable Housing Compliance and Property Management Services for its income restricted rental properties portfolio. The award of this contract is subject to available budget adequate to carry out the provisions of the proposed Agreement including the identified scope of work. The Authority reserves the right to reject any or all proposals determined not to be in the best interest of the Authority. Page 243 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 6 The Palm Desert Housing Authority is committed to inclusion and diversity and welcomes proposals and bids from contractors, consultants, and vendors of all faiths, creeds, ancestries, and ethnicities without regard to disability, gender identity, sexual orientation, or immigration status. The Authority condemns and will not tolerate prejudice, racism, bigotry, hatred, bullying, or violence towards any group within or outside of our community. 3.2. SCOPE OF SERVICES The Services sought under this Request for Proposals (“RFP”) are set forth in more detail in Section 15, Scope of Services, incorporated herein by this reference. Notwithstanding the inclusion of such Services in the Scope of Services Section, the final scope of Services negotiated between Authority and the successful Proposer shall be set forth in the Property Management Services Agreement (“Agreement”) executed by and between the Authority and the successful Proposer. A sample copy of the Agreement is attached and incorporated herein by this reference. 3.3. REGISTRATION Interested proposers may register as vendors and download the Request for Proposals (“RFP”). To register, visit the City's electronic bidding website, OpenGov Procurement, and proceed to "Subscribe" as a vendor with the Authority to receive new project notifications. Interested proposers may "Follow" the RFP to view and/or download the RFP details, receive addenda alerts and notices, and draft and submit a response. 3.4. PRE-PROPOSAL MEETING For this RFP, there is no pre-proposal meeting. All prospective Proposers are encouraged to inspect all Properties. Failure to inspect the Properties on the part of the Proposer shall not relieve the Proposer of any responsibility for adherence to any of the provisions of this RFP. 4. REQUESTS FOR CLARIFICATION All questions, requests for interpretations or clarifications, either administrative or technical must be requested in writing VIA THE "Q&A" tab through the Authority’s online bid management provider (“OpenGov-Procurement”). All written questions, if answered, will be answered in writing, conveyed to all interested firms, and posted through OpenGov-Procurement. Oral statements regarding this RFP by any persons should be considered unverified information unless confirmed in writing. To ensure a response, questions must be received in writing by 5:00 pm (local time) on Monday, August 14, 2023. 5. GENERAL TERMS 1. The Authority Reserves the Right to: a. Select one, or none of the Respondent proposals. b. To defer selection of any Respondent to a time of the Authority's choosing. Page 244 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 7 c. Request additional information or clarifications from any Respondent, or to allow corrections of errors or omissions. d. Request an oral interview and brief presentation from any Respondent prior to final selection. i. Respondents chosen for an oral interview may be provided not less than five (5) business days' notice, along with the date, time, and place for interviews. ii. Expenses will be the responsibility of the Respondent. e. Consider experience and qualifications information about listed individuals involved in direct property management operations in addition to the information submitted in the proposal, in any additional information requested, or interview. f. Reject any and all proposals and waive any irregularities or to terminate the RFP process at any time, if deemed by the Authority to be in its best interests. g. Cancel this RFP at any time, for any reason, and without liability. Respondents assume the sole risk and responsibility for all expenses connected with the preparation of proposals. h. Not to award a contract pursuant to this RFP and/or to extend its contract with its existing property management service provider. i. Award the contract at a time other than that stated in the timetable. j. Modify duration of the contract or change the contract start and end dates. 2. Release of Information a. The Authority will not release proposals submitted in response to this RFP during the proposal evaluation process. All Proposals and evaluations will be made public when a recommendation is made to the Housing Commission and/or the Authority Board regarding this RFP. 3. Proprietary Information a. All Proposals submitted in response to this RFP become the property of the Authority and under the Public Records Act (Government Code §6250 et. seq) are public records, and as such may be subject to public review. b. Respondent is required to identify all proprietary information in its proposal that Respondent wishes to remain confidential for trade secret or other proprietary information. Page 245 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 8 c. If Respondent fails to identify proprietary information, it agrees by submission of its proposal that that it is nonproprietary and may be made available upon public request after a contract award. d. Note that under California law, price proposal to a public agency is not a trade secret. 6. TERM OF CONTRACT A. The Authority intends to award a contract for Services as follows: 1. Term resulting from this RFP is a five (5) year base term, beginning January 1, 2024 and expiring December 30, 2028. 2. Following the initial term, the Authority may opt to renew the contract two (2) additional terms of three (3) years each term and expiring December 31, 2034. a. Contract extension may be exercised contingent upon satisfactory performance and at the sole discretion of the Authority. 7. QUALIFICATIONS AND EXPERIENCE Only proposals from responsible organizations engaged in the performance of property management services of affordable housing communities will be considered. Proposals must clearly demonstrate: A. Competency in performing comparable on-site Services, B. Prior experience with the management of affordable income restricted rental residential properties, C. Financial resources sufficient to provide Services, and D. Personnel adequate to manage Property. Respondent(s) must meet the following minimum criteria for qualifications and experience: A. At least ten (10) years' experience in managing rent restricted properties as evidenced by: 1. A description of the firm including year of establishment, size of firm, number of employees, longevity of staff and any applicable partnerships; and 2. At least one principal with ten (10) years' experience in providing affordable housing compliance and property management services for a minimum of 800 affordable rental housing units at one time during the last three (3) years; and 3. Experience managing properties operated and regulated under rental subsidy assistance programs or projects where tenants are eligible for such programs and certification of prospective and current tenants is performed by onsite property management staff; and Page 246 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 9 4. Qualified staff as evidenced by resumes and position descriptions of senior management members who would be assigned to oversee the project; and 5. Capacity to increase portfolio while maintaining quality and responsive service; and 6. Experience with high-quality property management financial tracking and reporting, and an array of financing requirements including the Authority’s purchasing policy, Housing Set- Aside, tax exempt bond, tax credit partnerships, HCD, RHCP, CHFA, MHP and Federal programs. Required reports include, but not limited to: a. Monthly financial statements with budget vs. actual and explanation of material variances. b. Rental income accounts receivable and aging report c. Accounts payable d. Copies of bank statement and bank reconciliations e. Vacancies and collections f. Move-in / move-out reports. g. Cash flow report h. Waiting lists i. Listing of all vendor contracts; including expenditures, licenses, insurance certifications and expiration dates j. Affordable compliance due dates for the year k. Monthly maintenance and preventative maintenance report 7. Possess a California valid real estate broker's license and any/all license necessary to conduct this type of services and work to be performed. 8. CONTENT AND FORMAT OF PROPOSAL 8.1. Required Contents* In order to maintain uniformity with all proposals submitted, proposals must include all of the following information. Proposal content, completeness, clarity and conciseness are essential and will be considered when assessing the proposer’s capabilities. Failure to complete and submit any of the information requested in this RFP with the Proposal response may render the Proposal non-responsive and may not be considered for award. A. Cover Letter 1. Letter that serves as an executive summary of the proposal limited to no more than two (2) pages. The letter should include an overview of the firm including qualifications and Page 247 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 10 organizational strengths, the firm’s understanding of the work to be performed, and why the firm believes it to be the best qualified to perform the services requested. B. Qualifications and Related Experience 1. A description of the company's relevant affordable housing compliance and property management experience including the location, size, funding program operated, duration of properties managed and a description of the role of management. C. Service Approach 1. Describe the technical and management approach to providing the Services as outlined in the Scope of Services. 2. Include a draft first year schedule of tasks, milestones, and deliverables that will provide for timely provision of the Services. 3. Provide a sample Management Plan, including a clear and concise description of the proposed property management program consisting of maintenance control, quality assurance, and tenant relations activities. The Plan should provide quality control for the property performance including but not limited to regular review of files, review of data discrepancies, review of compliance, work orders, etc. 4. Provide a proposed pro forma budget for expected property operations income and expenses, including proposed per unit, per month, management fee. 5. In reviewing the Scope of Services described herein, the Proposer may identify additional necessary tasks along with a discussion of its proposed method to accomplish the work. D. Personnel 1. Staffing: Provide the number of staff to be assigned to perform the Services as well as your firm’s capacity to provide additional personnel as needed. 2. Key Personnel: Identify key persons that will be principally responsible for working with the Authority. Indicate the role, qualifications, office location, and responsibility of each individual. Designate who would provide day to day direction of the required work and become the Authority's primary contact person. 3. Team Organization: Describe proposed team organization, including identification and responsibilities of key personnel. Identify the appropriate annual salaries and benefits for each position. 4. Resumes: Provide experience and resumes of proposed personnel who will be assigned to this contract. Include an organizational chart. 5. Subcontractors: The Proposer shall identify functions that are likely to be subcontracted and identify the subcontractor that is anticipated to perform each function. Page 248 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 11 E. References 1. Provide a minimum of two (2) references, which the Firm has performed affordable housing compliance and property management services for similar types of properties as required by this RFP, during the past three (3) years. 2. It is preferable that references be with other municipalities or government entities. 3. Include references only where your company was tasked with qualifying low-income households. *Response required 8.2. Supplemental Questions* Attachment C includes a list of supplemental questions Responders shall formulate responses to and upload in this Section. *Response required 8.3. Additional Information Outside of Proposal Requirements Respondents may choose to provide additional materials beyond that which is requested. Upload additional materials in this Section of the proposal. 8.4. Cost Proposal* The gross revenue from the Properties fluctuates with changes in tenant incomes. Due to the unpredictability of gross revenues, the Authority recognizes that it may be infeasible to base the Proposer's management fee on a percentage of the gross revenues of the Properties. Consequently, Proposers are asked to propose a flat monthly management fee for the Properties. Detail the breakdown of your fee structure for Services. Include any flat fees, staffing costs, overhead and profit, and additional applicable costs outside of operational management of the Properties. See Attachment B. Complete and upload, with additional pages as necessary, reflecting your fee structure. *Response required 8.5. Non-Collusion Declaration* The undersigned declares: I am an authorized representative of my company, the party making the foregoing Proposal, to certify the following. The Proposal is not made in the interest of, or on behalf of, any undisclosed person, partnership, company, association, organization, or corporation. The Proposal is genuine and not collusive or sham. The Proposer has not directly or indirectly induced or solicited any other Proposer to put in a false or sham bid Proposal. The Proposer has not directly or indirectly colluded, conspired, connived, or agreed with any Proposer or anyone else to put in a sham Proposal, or to refrain from Proposing. The Proposer has not in any manner, directly or indirectly, sought by agreement, communication, or conference with anyone to fix the Proposal Price of the Proposer or any other Proposer, or to fix any overhead, profit, or cost element of the Proposal Page 249 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 12 Price, or of that of any other Proposer. All statements contained in the Proposal are true. The Proposer has not, directly or indirectly, submitted his or her Proposal Price or any breakdown thereof, or the contents thereof, or divulged information or data relative thereto, to any corporation, partnership, company, association, organization, bid depository, or to any member or agent thereof to effectuate a collusive or sham Proposal, and has not paid, and will not pay, any person or entity for such purpose. Any person executing this declaration on behalf of a Proposer that is a corporation, partnership, joint venture, limited liability company, limited liability partnership, or any other entity, hereby represents that he or she has full power to execute, and does execute, this declaration on behalf of the Proposer. I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct. ☐ Please confirm *Response required 8.6. Type of Business* ☐ C Corporation (if corporation, two signatures are required) ☐ S Corporation (if corporation, two signatures are required) ☐ Limited Liability C Corporation (if corporation, two signatures are required) ☐ Partnership ☐ Limited Liability Partnership ☐ Sole Proprietor/Individual ☐ Other *Response required 8.7. Litigation* Provide litigation history for any claims filed by your firm or against your firm related to the provision of Services in the last five (5) years (or type "N/A"). *Response required 8.8. Changes to Agreement* The Authority's standard Property Management Services Agreement is included as an attachment herein. The Proposer shall identify any objections to and/or request changes to the standard Agreement language in this section of the proposal (or type "N/A"). If you are identifying changes here ALSO upload a copy of the redlined Language/Agreement with your Proposal. Changes requested may affect the Authority's decision to enter into an Agreement. *Response required 8.9. No Deviations from the RFP* In submitting a proposal in response to this RFP, Proposer is certifying that it takes no exceptions to this RFP including, but not limited to, the Agreement. If any exceptions are taken, such exceptions must be clearly noted here, and may be reason for rejection of the proposal. As such, Proposer is directed to Page 250 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 13 carefully review the proposed Agreement and, in particular, the insurance and indemnification provisions therein (or type "N/A"). Maximum response length: 5000 characters *Response required 8.10. Certification of Proposal: The undersigned hereby submits its proposal and, by doing so, agrees to furnish services in accordance with the Request for Proposal (RFP), and to be bound by the terms and conditions of the RFP.* ☐ Please confirm *Response required 8.11. Sample Documents* Upload sample lease agreement with all addenda, sample certification forms, a typical monthly/annual report, check lists, income worksheets, and tenant application. *Response required 9. EVALUATION CRITERIA Issuance of this RFP and receipt of proposals does not commit the Authority to award a contract. The Authority expressly reserves the right to postpone RPF opening for its own convenience, to accept or reject any or all proposals received in response to this RFP, to negotiate with more than one proposer concurrently, to waive information and minor irregularities in any proposal received or to cancel all or part of this RFP. The Authority will evaluate proposals based on the following criteria: No. Evaluation Criteria Scoring Method Weight (Points) Page 251 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 14 1. Proposer's Qualifications Including size of portfolio, number of years firm has been in business, amount, scope of services and length of experience working with affordable housing and specialized compliance areas; years of experience of key organizational staff; familiarity with the Coachella Valley and area properties; and professional references provided regarding current/past performance. The Proposer must meet the minimum. Points Based 15 (15% of Total) 2. Proposer's Compliance Knowledge Extensive knowledge and experience with affordable housing compliance regulations, the Housing Authority’s purchasing policy, relocation compliance, funding programs, policies and procedures including but not limited to qualifying applicants and tenants annually for income certification. Points Based 15 (15% of Total) 3. Principal Manager Availability Demonstration that the Firm's Principal Manager will work closely with Authority Staff. The Authority expects Principal Manager to make frequent site visits and communicate often with site managers and Authority. Points Based 12 (12% of Total) Page 252 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 15 4. Firm's Capacity Management of at least 800 affordable rental restricted units at one time during the last three (3) years, which must include income certification of prospective and current residents by onsite property management staff. Longevity of staff, training programs provided for staff, operating policies and personnel procedures, financial reporting and compliance capabilities, accounting procedures, and cost management/control abilities, and procedures. Points Based 10 (10% of Total) 5. Firm's Clarity and Approach Proposal content, completeness, clarity, and conciseness are essential. These aspects may be considered when assessing the proposer's capabilities to deliver clarity. Including those items listed under 8(c). Points Based 10 (10% of Total) 6. Maintenance Ability Demonstration of experience managing maintenance subcontracts. Knowledge and experience of regular ongoing repairs, cost controls, unit turn times, response time, insurance repairs, capital improvement/replacement project planning process and related maintenance procedures. Ability to manage and oversee any improvements or modifications made to properties. Points Based 10 (10% of Total) Page 253 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 16 7. Good Standing of Firm Have no outstanding or pending complaints as determined through the Better Business Bureau, State of California Department of Consumer Affairs, Fair Housing, local law enforcement agencies, that have not been disclosed as part of the Proposal and have no unsatisfactory record of performance with any public agency. Provide overview of any current or pending legal suits or cases. Points Based 10 (10% of Total) 8. Cost Property Management firm may be compensated based on the fee structure presented in proposal (the Authority reserves right to negotiate and/or modify fee structure). Points Based 8 (8% of Total) 9. Demonstrated Understanding of "Palm Desert's Quality" Communication strategies/procedures, tenant outreach process, tenant dispute resolution process, response to tenant expectations, rules and regulation enforcement procedures, social service, and activities development. Points Based 5 (5% of Total) Page 254 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 17 10. Firm's Location Provide the location of the firm's offices. What type of work is performed at each location. How accessible is Staff at these locations to the Authority? Define the organizational hierarchy of each location. Points Based 5 (5% of Total) 10. SELECTION PROCESS The Authority staff will conduct an initial review of the minimum qualifications of each. At the sole discretion of Authority, respondents who meet the minimum criteria for qualifications and experience minimum will then be evaluated equally and objectively by Authority staff and/or representatives. Proposals should clearly identify how each criterion is met. Evaluation of proposals to this RFQ/RFP will be based on the information provided in the proposal and, if applicable, additional information requested, interviews and reference responses. The Authority reserves the right to request additional information or documentation from the proposer regarding its submittal documents, personnel, financial viability, or other items in order to complete the selection process. If a responding proposer chooses to provide additional materials beyond those requested, those materials should be included in a separate section of the proposal and clearly marked as additional information outside of proposal requirements. 11. PROTESTS 11.1. Protest Contents Protests based on the content of the Request for Proposal (RFP) shall be submitted to the office of the City Clerk, 73-510 Fred Waring Drive, Palm Desert, CA 92260 no later than ten (10) calendar days prior to the scheduled proposal submittal deadline. If necessary, the proposal submittal deadline may be extended pending a resolution of the protest. Proposer may protest a contract award if the Proposer believes that the award was inconsistent with City policy, or this RFP is not in compliance with law. A protest must be filed in writing with the City Clerk's office (email is not acceptable) within five (5) business days after receipt of notification of the contract award. Any protest submitted after 5 pm of the fifth business day after notification of the contract award will be rejected by the Authority as invalid and the Proposer’s failure to timely file a protest will waive the Proposer’s right to protest the contract award. The Proposer’s protest must include supporting documentation, legal authorities in support of the grounds for the protest and the name, address and telephone number of the person representing the Proposer for purposes of the protest. Any matters not set forth in the protest shall be deemed waived. Page 255 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 18 11.2. Authority Review The Authority will review and evaluate the basis of the protest provided the protest is filed in strict conformity with the foregoing. The Authority shall provide the Proposer submitting the protest with a written statement concurring with or denying the protest. Action by the Authority relative to the protest will be final and not subject to appeal or reconsideration. The procedure and time limits set forth in this section are mandatory and are the Proposer’s sole and exclusive remedy in the event of protest. Failure to comply with these procedures will constitute a waiver of any right to further pursue the protest, including filing a Government Code claim or legal proceedings. 12. SUBMITTAL REQUIREMENTS 12.1. General It is strongly recommended that the Proposer submit proposals in the format identified in this RFP to allow the Authority to fully evaluate and compare the proposal. All requirements and questions in the RFP should be addressed and all requested data shall be supplied. The Authority reserves the right to request additional information which, in the Authority’s opinion, is necessary to assure that the Proposer’s competence, number of qualified employees, business organization, and financial resources are adequate to perform according to the Agreement. 12.2. Preparation Proposals should be prepared in such a way as to provide a straightforward, concise delineation of capabilities to satisfy the requirements of this RFP. Responses should emphasize the Proposer’s demonstrated capability to perform the Services. Expensive bindings and promotional materials, etc., are not necessary or desired. However, technical literature that supports the approach to providing the Services and work plan should be forwarded as part of the proposal. Emphasis should be concentrated on completeness, approach to the work and clarity of proposal. 12.3. Site Examination Proposers may visit the Authority and its physical facilities to determine the local conditions which may in any way affect the performance of the work; familiarize themselves with all federal, state and local laws, ordinances, rules, regulations, and codes affecting the performance of the work; make such investigations, as it may deem necessary for performance of the Services at its proposal price within the terms of the Agreement; and correlate its observations, investigations, and determinations with the requirements of the Agreement. 12.4. Authorization The proposal shall be signed by an individual, partner, officer or officers authorized to execute legal documents on behalf of the Proposer. 12.5. Confidentiality of Proposal Proposals submitted in response to this RFP shall be held confidential by the Authority and shall not be subject to disclosure under the California Public Records Act (Cal. Government Code section 6250 et seq.) until after either the Authority and the successful Proposer have completed negotiations and entered into Page 256 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 19 an Agreement or the Authority has rejected all proposals. All correspondence with the Authority including responses to this RFP will become the exclusive property of the Authority and will become public records under the California Public Records Act. The Authority will have no liability to the Proposer or other party as a result of any public disclosure of any proposal or the Agreement. If a Proposer desires to exclude a portion of its proposal from disclosure under the California Public Records Act, the Proposer must mark it as such and state the specific provision in the California Public Records Act which provides the exemption as well as the factual basis for claiming the exemption. For example, if a Proposer submits trade secret information, the Proposer must plainly mark the information as “Trade Secret” and refer to the appropriate section of the California Public Records Act which provides the exemption as well as the factual basis for claiming the exemption. If a request is made for information marked “Confidential”, “Trade Secret” or “Proprietary” (“Proprietary Information”), the Authority will provide Proposers who submitted the information with reasonable notice to seek protection from disclosure by a court of competent jurisdiction. Proposer shall have five (5) working days after receipt of such notice to give the Authority written notice of Proposer's objection to the Authority's release of Proprietary Information. Proposer shall indemnify, defend and hold harmless the Authority, and its officers, directors, employees, and agents from and against all liability, loss, cost or expense (including attorney's fees) arising out of a legal action brought to compel the release of Proprietary Information. Proposals which indiscriminately identify all or most of the proposal as exempt from disclosure without justification may be deemed unresponsive and disqualified from further participation in this RFP. 12.6. Submittal Instructions The proposal must be received no later than 3:00 pm, on or before Tuesday, August 29, 2023 through the City’s electronic bidding system, OpenGov Procurement. It is solely the responsibility of Proposer to see that its proposal is properly submitted in #Content and Format of Proposal in proper form and prior to the stated closing time. The City’s electronic bidding system will not accept late proposals. The Authority will only consider proposals that have transmitted successfully and have been sent an email with a time stamp from the City’s electronic bidding system indicating that the proposal was submitted successfully. Proposers shall be solely responsible for informing themselves with respect to the proper utilization of the City’s electronic bidding system, ensuring the capability of their computer system to upload the required documents, and the stability of their internet service. Failure of the Proposer to successfully submit an electronic proposal shall be at the Proposer’s sole risk, and no relief will be given for late and/or improperly submitted proposals. Proposers experiencing any technical difficulties with the proposal submission process may contact OpenGov Procurement Support using the instant help chat function (located at the bottom right of the screen while on the website) during business hours, or by emailing support@procurenow.com. Neither the Authority nor OpenGov Procurement make any guarantee as to the timely availability of assistance or assurance that any given problem will be resolved by the proposal submission date and/or time. 13. RFP CONDITIONS Page 257 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 20 13.1. Americans with Disabilities Act Proposer must comply with all applicable requirements of federal and state civil rights law and rehabilitation statutes. 13.2. Equal Opportunity The Authority requires Respondents to be an Equal Opportunity Employer and fully comply with all government regulations regarding nondiscriminatory employment practices. 13.3. Law of the State of California The resulting contract is subject to State of California law, whether substantive or procedural. Proposer shall comply with all federal, state, county and local laws concerning this type of Services. Additionally, the contract shall apply all statutory, charter and ordinance provisions applicable to public contracts within the City of Palm Desert. 13.4. Labor Compliance The selected Property Management Company shall be aware of the requirements of California Labor Code sections 1720 et seq., 1770 et seq., and California Code of Regulations, Title 8, Section 16000 et seq. (“Prevailing Wage Laws”) which require the payment of prevailing wage rates and the performance of other requirements on applicable “public works” and “maintenance” projects. If applicable, the selected Property Management Company shall fully comply with the Prevailing Wage Laws. 13.5. Permits and Licenses The selected Property Management Company shall secure or maintain in force during the period covered by any contract resulting from this RFP all licenses and permits required by law for the operation of their business including when required. 13.6. Insurance Requirements The selected Property Management Company will be required to carry insurance coverage meeting the minimums detailed in standard Property Management Agreement as attached as an Attachment to this RFP. 14. GENERAL CONDITIONS 14.1. Amendments to RFP/ Addendum If it becomes necessary for the Authority to revise any part of this RFP, or to provide clarification or additional information after the RFP documents are released, a written addendum will be posted on Open Gov. The Authority reserves the right to amend the RFP or issue to all Proposers addenda to answer questions for clarification. 14.2. Amendments to Proposals Unless specifically requested by the Authority, no amendment, addendum or modification will be accepted after a proposal has been submitted to Authority. If a change to a proposal that has been Page 258 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 21 submitted is desired, the submitted proposal must be withdrawn and the replacement proposal submitted prior to the deadline stated herein for receiving proposals. 14.3. Non-Responsive Proposals A proposal may be considered non-responsive if conditional, incomplete, or if it contains alterations of form, additions not called for, or other irregularities that may constitute a material change to the proposal. 14.4. Costs for Preparing The Authority will not compensate any Proposer for the cost of preparing any proposal, and all materials submitted with a proposal shall become the property of the Authority. The Authority will retain all proposals submitted and may use any idea in a proposal regardless of whether that proposal is selected. 14.5. Cancellation of RFP The Authority reserves the right to cancel this RFP at any time prior to contract award without obligation in any manner for proposal preparation, interview, fee negotiation or other marketing costs associated with this RFP. 14.6. Price Validity Prices provided by Proposers in response to this RFP are valid for 180 days from the proposal due date. The Authority intends to award the contract within this time but may request an extension from the Proposers to hold pricing, until negotiations are complete, and the contract is awarded. 14.7. No Commitment to Award Issuance of this RFP and receipt of proposals does not commit the Authority to award a contract. The Authority expressly reserves the right to postpone the proposal for its own convenience, to accept or reject any or all proposals received in response to this RFP, to negotiate with more than one Proposer concurrently, or to cancel all or part of this RFP. 14.8. Right to Negotiate and/or Reject Proposals The Authority reserves the right to negotiate any price or provision, task order or service, accept any part or all of any proposals, waive any irregularities, and to reject any and all, or parts of any and all proposals, whenever, in the sole opinion of the Authority, such action shall serve its best interests and those of the tax-paying public. The Agreement, if any is awarded, will go to the Proposer whose proposal best meets the Authority’s requirements. 14.9. Non-Discrimination The Authority does not discriminate on the basis of race, color, national origin, religion, age, ancestry, medical condition, disability or gender in consideration for an award of contract. The Authority's commitment to diversity and inclusion can be found here. 15. SCOPE OF SERVICES Page 259 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 22 15.1. The Authority's Expectations and Priorities The Authority considers the continuous operations of its fifteen (15) income-restricted rental properties, collectively known as "Properties," to have a direct influence on the residents' lives and well-being. The chosen firm will be entrusted with the task of maintaining appropriate staffing levels to effectively address tenant requirements while delivering the Scope of Services in a cost-effective manner. Proposals should include the proposer's suggested property management and staffing plan to efficiently provide Services. 15.2. General Requirements of Services Below is a general outline of the fundamental Services to be provided. Additionally, Services that are not explicitly mentioned but are related to the listed items should be expected and taken into account. The property management services to be provided will encompass, but not be limited to, the following: • Property Management, Reporting, and Transition (if necessary) • Leasing • Marketing of Vacancies • Rent Determination and Eligibility Certification • Unit Inspections • Operation and Maintenance • Financial Management and Reporting • Procurement Requirements • Resident Management Relations • Utilities and Services • Employees • Hazardous Materials • Security 15.3. General Responsibilities The selected Proposer will bear the responsibility for delivering the entire range of Services outlined in this document. Throughout the execution of these responsibilities, the Proposer must adhere to all relevant Federal, State, County, and Local laws. The property management staff will be mandated to undergo thorough initial training, with additional training sessions required every two years, starting from the commencement of the contract. The chosen Proposer will be expected to: Page 260 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 23 • Operate the property in line with widely accepted industry standards for companies providing affordable housing compliance and property management services. • Submit a monthly lease compliance report, encompassing all grievances and notices served to residents, and the status of all legal actions related to the property. • Complete any reports required by the Authority including those mandated by Local, County, State, Federal • Follow Authority's adopted Administrative Plan and provide statutory updates and recommend revisions annually. • Maintain a comprehensive system of records, books, and accounts following the directives and retention policy of the Authority. This includes, but is not limited to, resident records, maintenance records, resident applications, credit reports, leases, and work orders o All records, books, and accounts are subject to examination by an authorized representative of the Authority and/or a Regulatory Agency. • Provide a written Building Operation Plan, outlining essential and preventive measures to preserve and extend the lifespan of the structure and mechanical systems. The plan will encompass, but not necessarily be limited to, the following components: o A Preventative Maintenance Plan with a monthly schedule o An assessment of necessary immediate and projected (two-year) capital improvements, including cost estimates and identification of any required building alterations/modifications to facilitate on-site operations o An evaluation of safety, fire, and security concerns o A specific assessment of the condition of system(s), elevators, and roofs o Conduct annual management inspections of building systems, including roofing, fire, heating, water, and electrical systems o Provide monthly and annual reports on emergency and routine work orders, along with their completion times for the property. 15.4. Tenant and Property Response Management Daily operations of the Properties revolve around various crucial tasks including: managing the annual operating budget, property marketing, payment of property expenses, tenant selection procedures, tenant certification procedures and leasing (which includes executing, administering and enforcing the terms all rental agreements, in compliance with federal, state and local laws), occupancy status, compliance with affordable housing rules, routine maintenance, enforcement of house rules and regulations, and enforcement of the Authority’s Administrative Policies and Procedures. Page 261 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 24 Utilize the Authority's Administrative Plan, California Code of Regulations Title 25, the California Department Housing of Community Development published income limits (Title 25, Section 6932), and any other applicable affordable, rental standard policies and industry best practices for tenant selection, qualifying, conducting backgrounds, leasing, rent re/assignment, rent collection, inspections, recertification, renewals, and vacancy advertisement as needed. The selected firm is expected to manage response to all daily needs of the tenants and property. A. Focus on a customer service culture and serving the needs of tenants. B. Provide accountability to the public. C. Manage the Properties as self-sufficient individual entities on all day-to-day operation, leasing and maintenance. D. Manage and maintain Properties within the annual operating budget. E. Apply operational policies and procedures in a uniform manner. F. Ensure compliance with program requirements. G. Communicate with tenants and Authority staff in a clear and concise manner. H. Setup and prepare emergency response resources and an implementation plan. I. Manage waiting list through semi-annual updates of prospective applicants in conformance with Authority tenant selection policies. J. Produce semi-annual reports detailing number of new applicants, number of dropped applicants, and total for each waiting list. K. Create, implement and supervise maintenance schedules and repairs. L. Ensure independent contractor license status and insurance coverage. 15.5. Operations, Maintenance, and Capital Needs Routine maintenance and capital replacement projects are vital to the ongoing success of the Properties. The Authority prides itself on maintaining premier affordable housing communities. The selected Proposer shall, at all times, maintain the property in a good, clean, habitable, and attractive condition acceptable to the Authority. Repairs shall be performed as necessary, to ensure cost control without sacrificing quality of services, and shall be budgeted as part of the operating expense of the Property. The selected Proposer shall: A. Maintain and adhere to preventative maintenance, subject to any limitations imposed by the Authority, including but not limited to: 1. All interior and exterior cleaning, painting, decorating, and carpentry. Page 262 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 25 2. The periodic inspection, maintenance and repair of plumbing, heating, and ventilating systems, stoves and refrigerators 3. The periodic inspection, maintenance of outdoor grounds and facilities 4. Any other routine maintenance and repair work that becomes necessary B. Prepare a monthly report including a narrative summary of problem areas, steps or recommendations to rectify, and a summary of maintenance activities. C. Prepare vacant units for occupancy. Turn around for each vacant unit will be completed within fifteen (15) business days from move out, unless there are extenuating circumstances (death, major damage, etc) 1. At least 98% of the units at each site are to be market ready at all times. 2. Pre-occupancy inspections shall be completed for each unit with tenant identifying in writing the condition of the unit at the time of occupancy. D. Perform preventive maintenance of the Property to preserve the physical assets in accordance with sound property management practices. Included among these responsibilities are inspections of sidewalks, walkways, stairs, and paved areas to identify trip and other hazards and remediate in a timely manner. E. Systematically and promptly receive and investigate all service requests from tenants no later than 10 calendar days. Take any necessary action and keep records of the action taken. 1. Complaints of a serious nature shall be reported to the Authority at the conclusion of an investigation (i.e., death, crime, etc.) F. Emergency repair requests shall be received and serviced immediately but no more than a 24- hour basis. Emergency repair requests include, but not limited to: gas leaks, broken water lines, toilet stoppage, electrical (exposed/frayed wires, electrical failure, etc.), burst water heater, destruction of exterior door (door broken and unable to lock), broken window or window lock, defective or omission smoke detectors, elevator failure, structural, main line stoppage, no water G. Utilize a maintenance request/maintenance tracking system or software program that provides quarterly reports to Authority staff detailing work orders received (date & time), completion (date & time), and hours completed, or subcontractors used to complete work. H. Oversight of replacements and repairs related to plumbing lines, lighting, curbs, sidewalks, window coverings, paint, and unit appliances/fixtures (i.e., light bulb replacement, roof repairs, stucco repair, etc.). I. Participate in capital needs planning and budgeting. J. Recommend process and material use improvements to extend the Properties longevity while minimizing long-term cost impacts. Page 263 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 26 K. Conduct annual assessment of available energy and water efficiency improvements that help to identify future operating cost savings. L. Training for staff and residents on fire, earthquake safety, and crime prevention shall be conducted annually, or more frequently if determined to be reasonably necessary. M. The following tests, at a minimum, should be conducted as follows: 1. Monthly: Fire alarm system test 2. Quarterly: Emergency power test 3. Semi-Annually: Smoke detector test 4. Annually: Fire drills N. Coordinate and accompany inspectors from the Authority, the Authority's insurance carrier, and other Authority authorized parties. O. Obtain and maintain in full force and effect, all licenses and permits required by law for operation and any services. 15.6. Financial Management and Accounting Affordable housing properties routinely face long-term challenges with regards to financial sustainability. The expectation of the property manager is to be proactive to improve financial sustainability of operations. The Authority staff will work with the selected firm to develop annual operating and capital improvement project (CIP) budgets. Property manager will be responsible for budget implementation. The selected firm is expected to: A. Provide monthly, quarterly, annual reports from a financial software package capable of delivering accrual-based accounting reports. B. Comply and assist with preparation of an annual fiscal audit focused on compliance with Generally Accepted Accounting Procedures. C. Implement proper internal controls for accounts receivable and payable, account reconciliation, security deposits, records retention, electronic backup, and expenditures for services. D. Act as the Authority’s fiscal agent for day-to-day operations while complying with the Authority's Procurement Policy. E. Work with the Authority staff to ensure the most efficient system of reporting. 15.7. Contracts and Procurement A. Purchase materials, supplies, equipment, tools, and services that are necessary for the operation and maintenance of the Property and maintain a current inventory of the Page 264 of 570 Request For Proposal #2023-RFP-205 Title: Affordable Housing Compliance and Property Management Services 27 same. The purchasing and procurement of goods and services must be done in accordance of the Authority's procurement policy. B. Procure consultants and specialty contractors as necessary, for special maintenance requiring repair skills not usually possessed by regular maintenance employees. C. Enter into contracts and oversee not-to-exceed contracts for Services including, but not limited to: landscape maintenance, pest management, pool services, laundry, floor covering, courtesy patrol, HVAC, custodial cleaning, other services such as electrical systems, trash removal, solar system services, fire alarm and suppression systems, security gates, etc. 15.8. Regulatory Compliance The Properties were developed by the former Redevelopment Agency using 20% housing set aside funds with very limited outside funding sources. Properties are subject to restrictive requirements that require the units be operated as affordable housing. The income levels for each property are very low (up to 50% AMI), low (up to 80% AMI), and moderate (up to 120% AMI). The Authority relies heavily on its property management firm to properly document all aspects of the qualification of its income restricted residents, keep detailed records, and ensure compliance with regulatory covenants. In order to confirm compliance with regulatory covenants, the Authority staff may conduct the following routine procedures to monitor compliance by the selected property management firm: A. Perform annual random sample monitoring of income re/certification procedures, files, tenant lease agreements, and rent roll records to review compliance with income certification requirements. B. Conduct semi-annual random audit of tenant files to review proper records retention for verification of continued income eligibility, occupancy limits, vehicle registration and insurance, etc. C. Review the prospective tenant waiting list files for compliance with tenant selection policy, applicant verification procedures, and waiting list noticing requirements. 15.9. Performance Indicators The Authority staff may annually review management operations through a series of performance indicators to be agreed upon as part of any contract awarded from the proposal received for this Request for Proposal. Page 265 of 570 Property Address Studio 1 Bedroom 2 Bedroom Total Units Amenities 1 California Villas 77-107 California Dr 0 140 1 141 Resident Service Building, Computer Room with Internet Access, Pool, Spa and Laundry Facility 2 Desert Pointe 43-805 Monterey Ave 34 24 6 64 Pool, Children’s Play Area, Laundry Facilities, and Assigned Covered Parking 3 Laguna Palm 73-875 Santa Rosa Way 4 18 26 48 Pool, Laundry Facility, and Community Courtyard 4 Neighbors 73-535 Santa Rosa Way 0 0 24 24 Pool, Laundry Facility, and Covered Parking 5 One Quail Place 72-600 Fred Waring Drive 0 156 228 384 Gated Community, 4 Pools, 4 Spas, 4 Tennis Courts, Basketball Courts, Tennis Courts, Community Courtyard with Picnic Area, Children's Play Area, Resident Library, 4 Laundry Facilities, and Assigned Covered Parking 6 Palm Village 73-650 Santa Rosa Way 0 0 36 36 Laundry Facility and Covered Parking 7 Santa Rosa 73-625 Santa Rosa Way 0 0 20 20 Laundry Facility and Covered Parking 8 Taos Palms 44-830 Las Palmas Ave 0 0 16 16 Gated Community, Pool, and Laundry Facility 9 Candlewood 74-000 Shadow Mountain 2 26 4 32 Pool, Spa, Laundry Facility, Assigned Covered Parking, and Shared Community Room 10 Carlos Ortega Villas 77-915 Avenue of the States 0 72 1 73 Community Clubhouse, Computer Room with Internet Access, Pool with ADA Access, Laundry Facility, and Covered Parking 11 Catalina Gardens 73-600A Catalina Way 48 24 0 72 Pool, Laundry Facility, Assigned Covered Parking, and Community Room 12 La Rocca Villas 42-135 Golden Eagle Lane 0 27 0 27 Laundry Facility, Resident Service Building, Assigned Covered Parking, Resident Service Building, ADA Accessiblity. 13 Las Serenas 73-315 Country Club Dr 0 150 0 150 Community Clubhouse, Computer Room with Internet Access, 3 Pools, 1 Spa, and Assigned Covered Parking. 14 Pueblos 73-695 Santa Rosa Way 0 15 0 15 Pool, Adjacent Community/Resident Services Building, Laundry Facility, and Assigned Covered Parking 15 Sage Crest Senior 73-811 Santa Rosa Way 0 14 0 14 Assigned Covered Carport Parking, Community Courtyard, and Elevator Multi-Family Apartment Properties Senior Apartment Properties Palm Desert Housing Authority Properties Attachment A Page 266 of 570 A. 1.Dollar Per Unit $ 2.Other Fees (Use additional sheet if necessary):$ 3.$ 4.$ 5.$ 6.$ 7.$ 8.$ B. 1.$ 2.$ 3.$ 4.$ 5.$ 6.$ C. Describe other costs and estimates. 1.$ 2.$ 3.$ 4.$ 5.$ 6.$ I certify the fees listed are applicable up to 180 days from Proposal submittal. Signature of Authorized Representative Date Printed Name Date Firm's Name Cost Cost Provide the following fee structures to fulfill the Services outlined in this RFP. The proposed fee structure shall be valid for the initial proposed five (5) year base agreement term. Include additional sheets if needed. Cost Proposal Management Fee calculation should be based off a flat fee rather than based on a percentage of the gross revenues of the Properties. Gross revenues can fluctuate with changes of tenant incomes and occupancies. Respondents are asked to propose a flat monthly management fee for the Properties. List the types of Operational Costs that will be paid from the Properties operations (i.e. staffing, benefits, overhead, etc). Include detail of what is included with the cost. Cost Description Other Costs Operationsal Costs Description Management Fee Description Page 267 of 570 Supplemental Questions The following supplemental questions apply to the Proposer, predecessors' entity, any related entity of the Proposer, or past known affiliated entity to Proposer. Answer the following questions on a separate page. Number answers to correspond with this form and upload as part of your response to the RFP. Questions, in some instances, have additional questions to help formulate the response. 1. Describe specific experiences where the Firm worked directly with tenants to collect income and other necessary information in order to certify tenants for affordable housing programs. Include experience conforming to LIHTC, HOME, or other compliance procedures. a. Does the Firm currently have a portfolio that includes rental units in the City of Palm Desert? b. Is the certification of tenants performed by the on -site manager? c. Approximately how many evictions do you process each year? d. What percentage of past tenants has your firm evicted? (Describe number of units that were evicted out of a total number of units) 2. Describe the Firm's experience managing properties which house special need and/or elderly tenants. 3. Describe the Firm's experience with managing projects requiring relocation. 4. Describe how your entity ensures feedback from tenants on performance of the overall entity's management of the property. 5. Describe what systems the Firm has in place that allows the Firm to provide Services efficiently. a. What are your office hours? b. What is your availability after hours? What arrangements do you have in place to handle emergencies? c. Describe response time to phone calls, emails, or other correspondence. Page 268 of 570 d. What types of regular communication can the Housing Authority expect to receive from you? 6. Describe the Firm's experience managing properties which present security conditions requiring interaction with law enforcement agencies. 7. Describe the Firm's rent collection procedure including how the Firm handles late rent payments. 8. Describe the Firm's estimated time to submit standard leasing reports and complete month end financial reports to the Housing Authority (i.e., financial reports will be provided by the _____ day of the month following the month they are for.) 9. Do you use property management software for record-keeping purposes? What types of records do you keep and what is your record retention policy? 10. Provide a description of the Firm's system for supervising ongoing maintenance, responding to tenant complaints, tracking and completing repairs, and whether repairs are conducted by Firm Staff or contracted out. a. State the Firm’s response time, in day or hours, for: i. Routine maintenance requests ii. Estimated time to turn a rental unit that has had normal wear and tear of previous tenant. 11. Describe the Firm’s procedure to respond to 24-hour emergency calls and the amount of time it takes to respond to the call. 12. Describe how often property walks are conducted by the onsite manager. What are the Firm’s procedures to maintaining records? Does the frequency of the property walks change depending on property size? Page 269 of 570 13. Describe the Firm’s experience, if any, intervening with one or more distressed occupied properties and managing the property before, during, and after rehabilitation. Include the unit count and occupancy status. 14. Provide any experience with state relocation requirements with any property managed. 15. Provide any experience with public bidding for ‘Public Works’ type projects including prevailing wage for recent work at any managed property. 16. Has your Firm ever failed to accept a contract award or to complete a contract awarded to you? If yes, explain with details of the contract type, date, owner, and reason. 17. Has your Firm ever surrendered a bid bond or a bid security? If yes, explain with details of the contract type, date, owner, and reason. 18. Has your Firm ever had a contract terminated? If yes, explain with details of the contract type, date, owner, and reason. 19. Within the past two (2) years, has your Firm, or predecessor Firm, received an OSHA violation and/or non-compliance notice from any local municipality, state, or federal agency? If yes, describe the situation, the type of notice received, and were there any fines imposed. Page 270 of 570 AGREEMENT FOR PROPERTY MANAGEMENT SERVICES THIS AGREEMENT FOR PROPERTY MANAGEMENT SERVICES (this “Agreement”) is made and entered into effective this _______________, by and between the PALM DESERT HOUSING AUTHORITY, a public body, corporate and politic having a principal place of business at 73-510 Fred Waring Drive, Palm Desert, California, (the "Authority") and ________________________, a _________________, , having a principal place of business at _________________________________________ (the "Manager"). The Authority and the Manager may be referred to herein individually as a "Party" and collectively as the "Parties." RECITALS A. The Authority is a public body, corporate and politic, designated to be the operator (“Operator”) of those certain real properties described on Exhibit A attached hereto and incorporated herein by this reference (the "Properties"). B.The Manager is engaged in the business of managing, maintaining, repairing, operating and leasing apartment buildings, and has represented to the Authority that the Manager is experienced and competent in said business. C. The Authority and Manager desire to enter into this Agreement. NOW, THEREFORE, in consideration of the foregoing premises and of the mutual and dependant covenants contained in this Agreement, the Parties agree as follows: 1. Effective Date. The effective date of this Agreement (the "Effective Date") shall be January 1, 2024. 2. Appointment. The Authority hereby appoints Manager and Manager accepts appointment as the manager of the Properties on the terms and conditions set forth in this Agreement. The Parties acknowledge and agree that this Agreement is only a Management Agreement between the Parties, that the Parties are not joint venturers or partners, and that Manager shall not be deemed to be an employee of the Authority. The Manager shall at all times be an independent contractor. 3. Professional Management Standards and the Administrative Plan. (a)Manager agrees to exert its best efforts, to furnish the services of its organization, and to exercise the highest degree of professional competence in managing the Properties and to provide the Authority with the economic return consistent with proper management under the guidelines provided by Authority for affordable housing. (b) The Manager shall manage, maintain, repair, operate and lease the Properties consistent with other multi-unit apartment complexes or similar type properties in the surrounding vicinity with comparable facilities and amenities. Sample Page 271 of 570 (c) Notwithstanding the authority granted to Manager by this Agreement, Manager agrees to abide by those standards and instructions that Authority may issue from time to time in connection with the Administrative Plan (the “Administrative Plan”). In the event of any inconsistency between this Agreement and the Administrative Plan, this Agreement shall control. The Administrative Plan adopted by Resolution No. HA-100, and any amendments thereto, include the statements of policies of the Authority for the purpose of property operations. (d) The Manager hereby covenants and agrees to use Manager's best efforts to actively manage, maintain, repair, operate and lease the Properties at their maximum potential, considering the Authority’s guidelines for affordable housing and the Administrative Plan. Manager will provide copies of any procedural manuals created for the purpose of implementing said Administrative Plan. (e) The Manager shall be responsive to all tenant requests and concerns in a timely manner and shall make its best efforts to satisfy tenant requests and concerns at on-site offices. The Manager shall make its best efforts to notify Authority of tenant requests and concerns which are likely to be expressed by a tenant directly to the Authority. Manager shall establish policies in order to address tenant requests and concerns and resolution in the event of a dispute in accordance with the Administrative Plan. (f) Each of the Properties having sixteen (16) or more units shall have a member of Manager’s management staff that shall live on-site. The Housing Authority shall not be responsible for furnishings, equipment, postage, utilities, telephone, or such other ancillary costs of the on-site staff. The specific apartment shall be approved by the Housing Authority prior to occupancy by staff. All other Properties having less than sixteen (16) units shall have a caretaker that lives on-site. All Properties will have an emergency contact available seven days a week, 24 hours a day. 4. Periodic Requirements The Manager shall perform the following: (a) Not less than once each week: (i) A member of the Manager’s management staff will walk each property in its entirety to identify any items of concern that may or may not be visible from frequently traveled thoroughfare and prepare a detailed report of findings to be provided to Authority monthly. (ii) Inspect all mechanical and physical systems located on the Properties and provide a report to Authority of said inspections monthly. (b) Not less than once during every calendar month: (i) Analyze the occupancy level of the Properties. Sample Page 272 of 570 (ii) Analyze the financial condition of the Properties including, without limitation, cash flow, income, expenses, and per unit average cost. (iii) Provide Authority with a report regarding the status of maintenance and repair projects including those in process, upcoming, completed, and those that have not been completed or which are recommended and have not yet been implemented, and which are to be carried over to the next fiscal year. (c) Not less than once annually on or before February 1st, (i) Prepare and deliver to Authority a comprehensive financial budget plan (Plan), described in Section 18, including reserve accounts where applicable, for the Properties for the upcoming fiscal year operations July 1 to June 30. (ii) Examine the general condition of the Properties, prepare a list of needed repairs and maintenance, and deliver that list to Authority along with the estimated costs for review. Once reviewed by Authority, incorporate estimations into the Plan. Said list will include all items identified by Manager and be prioritized by the Manager in order of necessity. (i.e. Critical, Health and Safety, Necessary, Preventative, etc.) (d) Manager will notify Authority of work, supplies, services, maintenance, or repairs (emergency or otherwise) that were not included in the current operating budget but that may be necessary prior to the next operating budget year: (i) In December of each year, Manager will provide Authority a report of necessary budget adjustments to be made for work that was pre-approved by the Authority and estimates of anticipated work that is necessary. (ii) In the event there are items that have not been included in the Plan or in Section 4(d)(i), above, then as necessary, Manager will provide a report of those items by priority to the Authority. Authority staff will determine whether said requests should be forwarded as a special item to the Authority Board. (e) On the basis of the information gathered pursuant to Sections (a)-(d) of this Section 4, Manager shall recommend in writing amendments and updates to the Administrative Plan at least once annually. The proposed amended Administrative Plan, together with any recommendations of Manager for achieving maximum economic return of the Properties in light of the affordable housing requirements of the Properties, shall be submitted to the Authority. Any amendments to budget, policies or actions in the Administrative Plan are subject to the prior written approval of the Authority unless the sole reason for the proposed amendment was due to changes in or inconsistencies with current law. The Manager will continually review the Administrative Plan for the purpose of keeping the Authority advised of necessary or desirable changes. (f) Crime-Free Multi Housing Program. Throughout the term of this Agreement, the Agent covenants and agrees to participate in and fully complete the City’s Crime-Free Multi Housing Program for the Properties. Evidence of compliance with this Sample Page 273 of 570 requirement shall be forwarded annually to the Housing Authority within said twelve (12) month period. 5. Determination of Performance Criteria. The Parties have developed various performance criteria categories which will be used to evaluate the performance of the Manager. Such performance criteria categories are described on Exhibit G attached hereto and incorporated herein by reference. 6. Term. The Parties agree that the term ("Term") of this Agreement shall be for 60 months, commencing January 1, 2024 and ending December 31, 2028, and may be extended in accordance with the provisions of Section 28 below. 7. On-Site Management Office. The Authority shall provide adequate space on the Properties for a management office in accordance with Exhibit C attached hereto and incorporated herein by this reference. The Manager shall prepare and submit designs and budget for pre-approval to furnish and/or refurbish the management offices. The Authority shall pay all approved expenses related to such office, including, but not limited to, furnishings, equipment, postage, office supplies, electricity, telephone, answering service, and security monitoring services, if any. The Authority shall retain ownership of all of the foregoing purchases. 8. Information on the Properties. The Manager acknowledges that it has been furnished with any available building plans and specifications as well as environmental reports, if available, for each of the Properties. Manager also acknowledges that it has received copies of any available manufacturer's preventive maintenance schedules, guarantees and warranties pertinent to the fixtures, mechanical equipment, and appliances used in the operation of the Properties. The Manager shall maintain files for each of the Properties with current plans and specifications, environmental reports, manufacturer's preventive maintenance schedules, guarantees and warranties pertinent to any new installations, repairs, fixtures, appliances as well as any equipment, used in the operation of the Properties. 9. Familiarity With Equipment. The Manager has become thoroughly familiar with the character, location, construction, layout, plan and operation of the Properties, and especially of the electrical, heating, plumbing, air conditioning and ventilation systems, and all other mechanical equipment, and the Manager shall maintain such familiarity. 10. Leasing. The Manager will act as the Authority's exclusive agent in leasing the dwelling units (the "Units") in the Properties. The following provisions will apply: (a) The Manager shall use all reasonable efforts to keep the Properties leased by procuring tenants for the Properties and negotiating and executing on behalf of the Authority all leases for the Units. The Manager is authorized to enter into and execute initial leases with tenants for a minimum term of six (6) months and a maximum term of 12 months without the further written approval of the Authority. The Authority shall provide the Manager with income and rent guidelines for each of the Properties annually or as frequently as Department of Housing and Community Development (“HCD”) issues Sample Page 274 of 570 adjustments to the Riverside County Median Income levels. Such guidelines shall include a provision for utility allowances, if applicable, as set by the Riverside County Housing Authority which are in effect at the time the rents are established. Any lease for a shorter or longer period shall require the prior written consent of the Authority. The Manager shall also submit to the Authority copies of all notices terminating any tenant leases and all notices to vacate served on any tenant prior to the expiration of the lease term or after the expiration of the lease term if tenancy has converted to month-to-month, together with an explanation for the applicable notice. Manager shall provide Authority with the equipment detail of each Unit annually for the purpose of determining the proper utility allowances by March 1st of each year. (b) The Manager shall lease all the Units in accordance with the terms of this Agreement, in compliance with all applicable Federal, state, and local laws, in accordance with the Administrative Plan and any further direction from the Authority. (c) The Manager will be responsible for screening and selection of existing and prospective tenants in accordance with affordable housing guidelines and applicable Federal, State and local laws. The Manager will follow the tenant selection policy described in the Administrative Plan and will show the Properties to all prospective tenants who qualify under the Authority’s affordable guidelines based on the waiting list policy and Unit availability. (d) The Manager will prepare and verify eligibility certifications and recertifications in accordance with the guidelines established by the Authority. Rents will be adjusted pursuant to the Rent Setting Policy of the Authority adopted by Resolution HA-32 and any amendments thereto. (e) The Manager shall not decline to lease any Unit on the Properties to a prospective tenant, or otherwise discriminate, on the basis of race, color, national origin, ancestry, sex, gender, gender identity, gender expression, religion, physical or mental disability, genetic information, marital status, familial status, sexual orientation, or any other classification then protected by law. (f) Prior to executing any lease with a tenant, the Manager shall obtain the written consent of the applicant to perform a complete background check, and shall perform same, including: (1) investigate the financial ability and history of the prospective tenant to pay rent, (2) perform necessary credit checks, (3) obtain references from employers and prior landlords, (4) verify the income of tenants as specified in the Administrative Plan, (5) verify all matters that are required to be checked by Federal and/or state law, in accordance with the type of affordable funding involved, and (6) verify those matters that may and should be checked to ensure and promote the safety and welfare of all tenants of the Properties, Manager’s staff and the public. A non-exclusive list of the required and permissive verifications, consent language and sampling of reputable online resources are set forth in Exhibit K, as may be modified by changes in applicable law. Manager shall comply at all times with applicable Federal, State and local law in all aspects of the tenant screening and application process. Sample Page 275 of 570 11. Security Deposits. The Manager will collect, deposit, and disburse security deposits in accordance with the terms of each tenant's lease. The amount of each security deposit will be as specified in the Administrative Plan or applicable law. The collection and disbursement of security deposits will also be governed by the then applicable state and local laws. All tenant security deposits will be placed in one or more trust accounts separate from all other accounts and funds of the Manager and/or the Authority. The security account or accounts will be established at a bank as specified by the Authority whose deposits are insured by an agency of the United States government. The security deposit account or accounts will be carried in the Authority's name and designated on record as “PDHA Security Deposit Account” and in addition, the Director of Finance of the City of Palm Desert (the "Director of Finance"), his/her designees, and up to four designated representatives of the Manager shall be included as signatories to the security deposit account or accounts. The balance of the security deposit account or accounts shall not be used to pay general operating expenses without the written consent of the Authority. Notwithstanding the foregoing, security deposits received must be documented and accounted for at all times and the Manager must comply with any applicable state and local laws concerning interest payments on security deposits. The number and structure of security deposit accounts is set forth in Exhibit D attached hereto and incorporated herein by this reference. 12. Collection of Rents and Other Receipts. The Manager will collect when due all rents, charges and other amounts receivable on the Authority's account in connection with the management, maintenance, repair, operation, and leasing of the Properties. Such receipts (except for tenants’ security deposits, which will be handled as specified in Section 11 above) will be deposited in an account or accounts, separate from all other accounts and funds, of the Manager, at the bank as specified by the Authority whose deposits are insured by an agency of the United States Government. This account or accounts will be carried in the Authority's name and designated on record as “PDHA General Operating Account" and in addition, the Financial Operations Manager, the Director of Finance, his/her designees, and up to four designated representatives of the Manager shall be included as signatories to this account, or accounts. The number and structure of operating accounts is set forth in Exhibit D attached hereto and incorporated herein by this reference. 13. Enforcement of Leases. The Manager will ensure full compliance by each tenant with the terms of that tenant's lease. Voluntary compliance will be emphasized. Involuntary termination of tenancies shall comply with all applicable laws and regulations. The Manager is designated as the Authority’s agent with the right to enter and take possession of the Units, in accordance with applicable law, and shall lawfully terminate any tenancy when, in the Manager's reasonable judgment, sufficient cause (including, but not limited to, nonpayment of rent) for such termination occurs under the terms of the tenant's lease. For this purpose, the Manager is authorized to consult with legal counsel qualified to bring unlawful detainer actions and to execute notices to vacate and judicial pleadings incident to such actions. The Manager shall keep the Authority informed of such actions and follow such direction as the Authority may provide for the conduct of any such action. Attorney’s fees and costs incurred in connection with unlawful detainer actions will be paid out of the General Operating Account as an expense of the Properties. Notwithstanding the foregoing, the Manager is at all times ultimately responsible for the Sample Page 276 of 570 enforcement of leases. Payment by the Authority of legal fees and costs incurred in connection with unlawful detainer actions does not create an attorney-client relationship between the Authority and Manager’s unlawful detainer legal counsel. 14. Maintenance and Repair. The Manager will maintain the Properties in good, clean, safe and sanitary condition in accordance with the Administrative Plan and local codes and in a condition acceptable to the Authority at all times. This will include, but not be limited to, cleaning, painting, plumbing, grounds care, and such other maintenance and repair works as may be necessary, subject to any limitations imposed by the Authority in addition to those contained herein. Manager will ensure all vendors maintain the required licensing, insurance, permits, and approvals for any work performed in accordance with this Agreement, as well as all local, State, and Federal codes and regulations. Manager will maintain an on-site property entry log for all vendors. Incident thereto, the following provisions will apply: (a) The Manager will complete preventative maintenance activities in the most cost effective and efficient manner as possible, while not jeopardizing the expectations in quality for the Properties. (b) The Manager will contract in compliance with Section 21 hereof with qualified independent contractors for the maintenance and repair of roofs, air-conditioning and heating systems, and for extraordinary repairs beyond the capability of regular maintenance employees. (c) The Manager is aware of the requirements of California Labor Code Section 1720 et seq., 1770 et seq., and California Code of Regulations, Title 8, Section 16000 et seq. (“Prevailing Wage Laws”) which require the payment of prevailing wage rates and the performance of other requirements on “public works” and “maintenance” projects. The projects performed under this contract may be subject to compliance monitoring and enforcement by the Department of Industrial Relations. If the services are being performed as part of an applicable “public works” or “maintenance” project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000 or more, Manager agrees to fully comply with such Prevailing Wage Laws, including but not limited to requirements related to public works contractor registration and maintenance and submittal of certified payroll records. Authority shall provide Manager with a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement. Manger shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the services and shall post copies of the Manager’s principal place of business and at the project site. Manager shall defend, indemnify, and hold the Authority, its elected official officers, employees, and agents free and harmless from any claim or liability arising of any failure or alleged failure to comply with the Prevailing Wage Laws. (d) The Manager will systematically receive and investigate all service requests from tenants, take such action thereon as may be warranted and will keep records of the same. Service requests will be addressed within four working days; provided, however, emergency requests will be received and serviced on a 24-hour basis. Sample Page 277 of 570 The Manager shall promptly investigate and respond to serious complaints as appropriate, and shall comply with all applicable Federal and state laws in connection with same, including but not limited to the requirements of the Fair Employment and Housing Act and other applicable fair housing laws, and shall promptly report such complaints and Manager’s response thereto to the Authority. The Manager shall advise tenants to report to law enforcement all complaints involving actual or threatened criminal activity. The Manager shall provide the Authority with a monthly summary of all serious complaints received by the Manager. This summary shall include a brief description of each complaint and Manager’s response thereto. (e) The Manager is authorized to purchase while complying with the provisions of Section 21, on behalf of the Authority, all materials, equipment, tools, appliances, supplies and services necessary for proper maintenance and repair. The Authority shall retain ownership of all said materials, equipment, tools, appliances and supplies. (f) Notwithstanding any of the foregoing provisions, the prior written approval of the Authority will be required for any maintenance or repair project in which the overall cost is expected to exceed $15,000 for labor, materials, and/or otherwise in connection with the maintenance and repair of the Properties. This limitation does not apply to recurring expenses within the limits of the operating budget or to emergency repairs involving manifest danger to persons or properties, or that are required to avoid suspension of any necessary service to the Properties. In the latter event, the Manager will inform the Authority in writing of the facts as promptly as possible. For purposes herein, “recurring expenses” shall include utilities, pest control, laundry services, pool services, courtesy patrol, regulatory permits, and vermin extermination. (g) Manager shall enter into all service contracts (such as pool maintenance/repair, laundry, vermin extermination and landscape maintenance) in accordance with Section 21 and maintain all required permits and approvals on equipment, pools, facilities, etc. for each of the Properties. (h) The Manager shall not undertake any work of construction or any work which would modify or change the exterior of any building or grounds. 15. Utilities and Services. The Manager will make arrangements for water, electricity, gas, sewage and trash disposal, telephone and cable service for the Properties. The Manager will enter into such contracts as may be necessary to secure such utilities, acting as Manager for the Authority. 16. Employees. (a) All personnel of the Manager involved with the management, maintenance, repair, operation or leasing of the Properties will be employees of the Manager and will be hired, paid, directed, supervised, and discharged by the Manager. The Manager will provide sufficient resources (staff and/or services) in order to fulfill its obligations to the Authority under the terms of this Agreement. All costs associated with hiring and discharging of such employees will be borne by the Manager. The Manager Sample Page 278 of 570 warrants that it has established employment policies in accordance with employment laws and said policies include a drug free work place or similar substance abuse policy, a zero- tolerance violence in the workplace policy and all other policies mandated by state and Federal law. The Manager warrants that all of its employees meet all qualifications, licensing and code requirements, applicable to completing assigned tasks. The Manager warrants that training will be provided to employees as may be required by local, State or Federal Law and will be conducted by an individual or entities qualified to provide such training. It is understood that, subject to sub-Sections (b) and (c), below, all direct costs associated with employees working "on-site" and specifically identified on Exhibit F will be borne by the Authority to include their direct salary (but not bonuses), Social Security taxes, employment taxes, medical insurance, Pension Plan, Worker's Compensation, uniforms, Housing allowance and other benefits (if applicable). The Authority shall have the right to interview and approve the hiring of any prospective site managers or regional (non-site specific) staff included in Exhibit “F”. Only the cost of those positions set forth on Exhibit F shall be paid by the Authority. Positions may be added, deleted or modified from Exhibit F based on property need with approval of the Manager and the Executive Director of the Authority. Notwithstanding the foregoing, all personnel of the Manager are exclusively the employees of Manager, and not of the Authority. (b) Manager shall have full and exclusive responsibility and liability for payment of all federal, state and local payroll taxes and for contributions for unemployment insurance, Social Security (FICA) and other benefits imposed or assessed under any provision of law or by regulation, and which are measured by salaries, wages, or other remuneration paid or payable by Manager to its employees engaged in any work in connection with this Agreement or indicated herein, for the payment of which the Authority will reimburse the Manager, subject to the written approval of the Finance Director. The Manager shall have full and exclusive responsibility and liability for the withholding and payment of any income taxes required to be withheld from the wages or salaries of said employees under any provision of law or regulation. The Manager agrees to save and hold the Authority harmless from all claims for penalties, interest, or costs which may be assessed under any law or any rules or regulations thereunder with respect to its failure or inability to perform the aforesaid responsibilities. (c) Upon ten days demand from the Authority, the Manager shall cause any employee of the Manager to be removed from the Properties, at the Manager's sole cost and expense. (d) Manager shall be solely responsible for the methods and means of managing its personnel to achieve the desired results. Authority’s authority over and involvement in Manager’s employment matters shall be limited consistent with Manager’s status as sole employer of its employees. 17. Disbursements from General Operating Account. (a) From the funds collected and deposited by the Manager in the General Operating Account pursuant to Section 12 above, the Manager will make or request the following disbursements promptly when payable: Sample Page 279 of 570 (i) The Manager shall request from the Director of Finance of the Authority reimbursement to the Manager for compensation payable to the employees specified in “Exhibit F” together with an overhead charge percentage that will be determined annually by the Manager and approved by the Director of Finance of the Authority. This percentage will be applied to gross payroll with respect to employees specified in “Exhibit F”, included on “Exhibit F” and submitted once each year during budget review. Said percentage may be adjusted during the budget year with written approval of the Authority, and will include the employer’s portion of medical, dental, life, Workers Compensation, taxes and assessments payable to local, state and federal governments in connection with the employment of such personnel. (ii) Notwithstanding the provisions of sub-Section (a)(i), above, the Manager shall make disbursements of all sums otherwise due and payable by the Authority as expenses of the Properties authorized to be incurred by the Manager under the terms of this Agreement, including compensation payable to the Manager, pursuant to Section 27 below, for its services hereunder. (iii) All checks between $2,500 and $4,999 shall require at least two signatures. All checks over $5,000 shall require at least two signatures, one of which must be the signature of an authorized representative of the Authority. (iv) All wire transfers will be initiated by the Director of Finance of the Authority or his/her designee. (b) Except for the disbursements mentioned in Section 12 above, funds will be disbursed or transferred from the General Operating Account only as the Authority may from time to time direct in writing. Manager reimbursement checks in excess of $500 shall require signatures of both the authorized signatory of Manager and the Finance Director of the Authority or his/her designee. (c) In the event the balance in the General Operating Account is at any time insufficient to pay disbursements due and payable under Section 17(a) above, the Manager will inform the Authority prior to disbursing funds of that fact and the Authority’s Director of Finance will then remit to the Manager sufficient funds to cover the delinquency. In no event will the Manager be required to use its own funds to pay such disbursements that are directly related to the operation of the Properties. (d) The Authority will pay for or reimburse to Manager only those expenses that are expressly authorized by this Agreement to be borne by the Authority. Any expenses incurred by Manager as a result of any legal judgment or administrative ruling against Manager or its officers, employees or agents, or any monetary settlement in lieu of same to resolve any dispute, or the costs incurred by Manager in connection therewith, including attorneys' fees for advice to or defense of Manager, shall be the sole responsibility of the Manager. In the event any Authority monies have been disbursed for this purpose, the Manager shall immediately reimburse Authority. The Authority may, in its sole discretion, elect to pay or reimburse the Manager for all or a portion of such expenses and/or costs if the Authority deems that to be in the best interests of the Authority or the community which it serves or to promote the public health, safety and/or Sample Page 280 of 570 welfare, and only upon written agreement between the Authority and Manager, signed by each of the Parties. 18. Budgets. Manager will prepare and submit annual operating budgets for the Properties in forms satisfactory to the Director of Finance, which budgets shall include but not be limited to the following: Current Year Final Budget Adopted; Current Year Expected Actual; Upcoming Year Budget Request; Detailed Descriptions for any marginal deviations from Current Year; Detailed Descriptions for any Capital Expenditures for each Property; including Reserve Accounts where applicable. and Exhibit F described above. Except as permitted under Section 14(e) above, annual disbursements for operating expenses will not exceed the amount authorized by the approved budget without the prior written consent of the Authority. The Manager shall prepare a recommended operating budget for each fiscal year during the term of this Agreement, and shall submit to the Authority by March 1st of each year for the following fiscal year (July 1 to June 30). Additionally, the Manager shall prepare and submit to the Authority a budget for each fiscal year thereafter covering the period from July 1 through the next following June 30. Each year of the term the Authority will promptly inform the Manager of any changes incorporated in the approved budget, and the Manager will keep the Authority informed of any material anticipated deviation from the receipts or disbursements stated in the approved budget. Manager may, upon the written request and after receipt of written approval of the Authority, make disbursements exceeding the budgeted allowances within the budgeted categories for the Properties. 19. Records and Reports. In addition to any requirements specified in the Administrative Plan or other provisions of this Agreement, the Manager will have the following responsibilities with respect to accounts and reports: (a) The Manager will establish and maintain, on a modified accrual basis, a comprehensive system of records, books and accounts in a manner satisfactory to the Authority. All records, books and accounts will be subject to examination at reasonable hours by any authorized representative of the Authority. The Manager shall maintain the books and records in good condition and order and shall preserve the books and records for such time period as the Authority would be legally required to preserve and maintain the books and records. (b) The Manager will be subject to a quarterly review and an annual audit conducted by a firm of the Authority's choice. The Manager agrees to make available all applicable records to the Authority's auditors for annual review. The report will be prepared in accordance with generally accepted auditing standards. The audit report submitted by the audit firm will also be subject to a single audit at the Authority's discretion. The preparer’s services will be an expense of the Authority. (c) The Manager will furnish information as may be requested by the Authority from time to time with respect to the financial, physical or operational condition of the Properties, including, without limitation: (i) calculation and billing rent and other tenant charges; (ii) maintaining accounts receivable and delinquency records; (iii) maintaining rent rolls; (iv) processing and paying operating and capital invoices; (v) recording activity and comparing such activity to budgeted amounts; (vi) reconciling all Sample Page 281 of 570 expenditures; (vii) remitting excess funds to the Authority and requesting needed funds from the Authority; (viii) processing payroll for personnel employed in the discharge of this Agreement and in compliance with taxing authorities and other reporting requirements associated with payroll; and (ix) reports detailed in Exhibit I. (d) By the 20th day of each month, the Manager will furnish the Authority with an itemized list of all delinquent accounts, including general operating accounts, as of the tenth day of the same month. (e) The Manager shall submit, to the Authority’s Finance Director those reports set forth in Exhibit H on the periodic bases set forth in Exhibit H. Reports designated as “monthly” on Exhibit H shall be submitted by the 20th day of each month; reports designated as “quarterly” shall be submitted by the 20th day of every third month, and reports designated as “annual” shall be submitted at the end of the fiscal year or the end of the calendar year as set forth on Exhibit H. In explanation but not limitation of the foregoing, the monthly reports to be submitted include: a statement of receipts and disbursements during the previous month; a schedule of accounts receivable and payable; reconciled bank statements for all accounts maintained by the Manager on behalf of the Authority reflecting disbursements and deposit amounts as of the end of the previous month; a copy of general ledger account transactions and monthly aggregate utility consumption by utility; and such other matters relative to the management, operation, and maintenance of the Properties including actual income and expense balances compared to budgeted or expected results as required by the Finance Director of Authority. Additional reports may be requested throughout the year as the Authority deems necessary. (f) On the 20th day of each month, the Manager will submit to the Authority the reports listed on Exhibit I attached hereto and incorporated herein by reference, to assist the Authority in determining compliance with that certain Stipulation for Entry of Judgment in case number Indio 51124 as consolidated with case numbers Indio 51143 and 51159 which has been provided to the Manager. (g) Confidentiality. All books, records, operating statements, leases, and other material or information relevant to the operation or financial nature of the Properties shall be maintained in the strictest confidence and shall not be available to any employee or salesperson of any affiliate of Agent, nor to any other party without the prior written consent of the Housing Authority or under compulsion of law (e.g., subpoena). 20. Fidelity Bond. The Manager will place the Properties on a master fidelity bond, which provides blanket coverage equal to two months gross rent potential. The bond will provide coverage for all principals and agents of the Manager and all persons who participate directly or indirectly in the management of the Properties and their assets, accounts and records. The premiums for such a bond will be paid and borne by the Manager. Specifically, coverage for the Manager, including all applicable persons in the Manager's employ, will be paid by the Manager, and coverage for the Authority’s personnel, if applicable, will be paid by the Authority. Said fidelity bond shall be issued by a company which is reasonably acceptable to the Authority, and Manager shall deliver Sample Page 282 of 570 to the Authority a copy of said fidelity bond upon execution by the Authority of this Agreement. 21. Bids, Discounts, Rebates or Commissions. The Authority and Manager agree to obtain contract materials, supplies and services at the lowest possible cost and on the most advantageous terms to the Properties and to secure and credit to the Properties all discounts, rebates and commissions obtainable with respect to purchases, service contracts and all other transactions on behalf of the Properties. The Manager agrees that no goods and services shall be purchased from individuals, related companies and companies having a financial or pecuniary interest (a "conflict-of-interest") with the Manager. All vendor accounts shall be opened in the Authority's name, upon prior written approval of the Authority. The Manager will develop detailed scopes of work, materials, supplies, equipment and contractual services for any work or repair the cost of which may exceed $5,000 for a single Unit or project. The Manager shall comply with the procedures set forth in Ordinance No. 928 of the City of Palm Desert, and any amendments thereto, in connection with the purchase of any materials, supplies, equipment and contractual services to be paid for by the Authority under this Agreement. The Manager agrees to accept the bid which represents the lowest price, taking into consideration the bidder's reputation for quality of workmanship or materials and timely performance, and the time frame within which the services or goods are needed. The Manager must make every reasonable effort to assure that the Authority is obtaining services, supplies and purchases at the lowest possible cost. The Manager must make a written record of any verbal estimate obtained. Copies of all required bids and documentation of all other written or verbal cost comparisons made by the Manager shall be made part of the records of the Properties and shall be retained for three years from the date the work was completed. This documentation shall be subject to inspection by the Authority or its designee and the Manager agrees to submit such documentation upon request. Further, Manager shall annually submit a report to the Authority describing the outcome of all bidding procedures, which report shall include the names of all bidders and the amount of their bids, and shall indicate to which bidder the contract was awarded. The Manager agrees to make available to the Authority, when requested, all records of the Manager, which relate to the provision of goods or services to the Authority whenever funds from the Properties have been used to pay for such goods and/or services (other than management services). 22. Resident Services Program. The Manager will be responsible for carrying out any resident retention or social services program described in the Administrative Plan and any other program or service that may become available that are in the best interest of the residents or community to promote public health, public safety or tenant welfare. 23. Resident - Management Relations. The Manager will establish quarterly meetings at Properties containing 150 or more units to encourage and promote communication and tenants’ initiatives. Sample Page 283 of 570 24. Defense, Indemnity and Hold Harmless Agreement. The Manager and Authority agree that the Authority, the Successor Agency to the Palm Desert Redevelopment Agency, the City of Palm Desert, and their respective officials, officers, employees, and agents (collectively “Indemnitees”) should, to the extent permitted by law, be fully protected against any loss, injury, damage, complaint, claim, lawsuit, cost, expense, attorneys fees, litigation costs, defense costs, court costs or any other cost arising out of or in any way related to Manager’s performance of this Agreement. Accordingly, the provisions of this defense, indemnity and hold harmless provision are intended by the Parties to be interpreted and construed to provide the fullest protection possible under the law to the Indemnitees. Manager acknowledges that Authority would not enter into this Agreement in the absence of the commitment of Manager to indemnify, defend, protect and hold harmless the Authority as set forth herein. To the full extent permitted by law, Manager shall indemnify, defend, protect and hold harmless the Indemnitees from any liability, complaints, claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory proceedings, losses, expenses or costs of any kind, whether actual, alleged or threatened, actual attorney fees incurred by Authority, court costs, interest, defense costs including expert witness fees and any other costs or expenses of any kind whatsoever without restriction or limitation incurred in relation to, as a consequence of or arising out of or in any way attributable actually, allegedly or impliedly, in whole or in part to the performance of this Agreement. All obligations under this provision shall be paid by Manager as they are incurred by the Authority. Manager shall defend the Indemnitees, and bear the expense thereof, with lawyers selected or approved by the Authority. Without affecting the rights of the Indemnitees under any provision of this Agreement or this Section 24, the Manager shall not be required to indemnify, defend, protect and hold harmless the Indemnitees as set forth above for liability attributable solely to the fault of the Indemnitees. 25. Professional Services Insurance Requirements. Manager shall not commence work under this Agreement until it has provided evidence satisfactory to the Housing Authority that it has secured all insurance required under this Section. In addition, Manager shall not allow any subcontractor to commence work on any subcontract until it has provided evidence satisfactory to the Housing Authority that the subcontractor has secured all insurance required under this section. Without limiting Manager’s indemnification of the Housing Authority, City of Palm Desert, the Successor Agency to the Palm Desert Redevelopment Agency and prior to commencement of Work, Manager shall obtain, provide, and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form satisfactory to the Housing Authority. (a) General Liability Insurance. The Manager shall obtain, at its sole cost Commercial General Liability coverage “occurrence” form CG 00 01 or its exact equivalent, with minimum limits of $2,000,000 per occurrence and $4,000,000 in the general aggregate. Insurance is to be placed with insurers with a current A.M. Best and Company rating level of A- or better, Class VIII or better, licensed to do business in Sample Page 284 of 570 California, and satisfactory to the Authority. Manager agrees to endorse third party general liability coverage required herein to include as additional insureds the City of Palm Desert, the Palm Desert Housing Authority, the Successor Agency to the Palm Desert Redevelopment Agency, and their respective officials, officers, employees, volunteers, and agents (collectively “Additional Insureds”). The acceptable additional insured endorsement that must be submitted to the Authority is CG 20 10 or its exact equivalent, specifying the Additional Insureds as additional insureds, and specifying that the insurer shall provide at least 30 days notice to the Additional Insureds of any cancellation or modification of coverage. Coverage shall apply on a non-contributing basis in relation to any other insurance or self-insurance, primary or excess, available to the Additional Insureds. Coverage shall not be limited to the vicarious liability or supervisory role of any of the Additional Insureds. Insurance shall be issued as project specific to this agreement. Excess or Umbrella Liability Insurance (Over the Primary) is required in the with minimum limits of $5,000,000 and shall provide coverage at least as broad as specified for the underlying coverages. Any such coverage provided under an umbrella liability policy, shall include a drop down provision providing primary coverage above a maximum $25,000 self-insured retention for liability not covered by primary, but covered by the umbrella. Coverage shall be provided on a “pay on behalf” basis, with defense costs payable in addition to policy limits. There shall be no cross liability exclusion precluding coverage for claims or suits by one insured against another; policies shall also have concurrent starting and ending dates. Coverage shall be applicable to the Authority, and/or City of Palm Desert for injury to employees of Manager, subcontractors of either the Manager or the Authority, or others involved in the scope of this Agreement. The scope of coverage provided is subject to approval by the Risk Manager following receipt of proof insurance as required herein. (b) Automobile Liability Insurance. Manager shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activites of the Manager arising out of or in connection with Work to be performed under this Agreement, including $1,000,000 combined single limit for each accident including coverage for any owned, hired, non-owned or rented vehicles. (c) Professional Liability (Errors & Omissions). Manager shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of $1,000,000 per occurrence/$2,000,000 aggregate and policy shall not exclude discrimination, fair housing, American with Disabilities act, and sexual molestation violations. Any policy inception date, continuity date, or retroactive date must be before the effective date of this Agreement and Manager agrees to maintain continuous coverage through a period no less than three years after completion of the services required by this Agreement. Covered professional services shall specifically include all work to be performed under the Agreement and delete any exclusions that may potentially affect the work to be performed (for example, any exclusions relating to lead, asbestos, pollution, testing, underground storage tanks, laboratory analysis, soil work, etc.). If coverage is written on a claims-made basis, the retroactive date shall precede the effective date of the initial Agreement and continuous coverage will be maintained or an extended reporting period will be exercised for a period of at least three (3) years from termination or expiration of this Agreement Sample Page 285 of 570 (c) Workers’ Compensation/Employers' Liability Insurance. The Manager shall procure and maintain Workers' Compensation insurance complying with California workers’ compensation laws, including statutory limits for workers’ compensation and an Employer’s liability limit of $1,000,000 per accident or disease. Unless otherwise agreed, this policy shall be endorsed to waive any right of subrogation as respects the Authority, the Successor Agency to the Palm Desert Redevelopment Agency, the City of Palm Desert, and their respective officials, officers, employees, volunteers, and agents. (d) Fidelity Coverage. Consultant shall provide evidence of fidelity coverage on a blanket fidelity bond or other acceptable form. Limits shall be no less than $1,000,000 per occurrence. (e) Cyber Liability Insurance. Consultant shall procure and maintain Cyber Liability insurance with limits of $1,000,000 per occurrence/loss, which shall include the following coverage: 1. Liability arising from the theft, dissemination and/or use of confidential or personally identifiable information; including credit monitoring and regulatory fines arising from such theft, dissemination, or use of the confidential information. 2. Network security liability arising from the unauthorized use of, access to, or tampering with computer systems. 3. Liability arising from the failure of technology products (software) required under the contract for Consultant to properly perform the services intended. 4. Electronic Media Liability arising from personal injury, plagiarism or misappropriation of ideas, domain name infringement or improper deep-linking or framing, and infringement or violation of intellectual property rights. 5. Liability arising from the failure to render professional services (f) Evidence of Insurance. The Manager shall provide evidence of the insurance required herein, satisfactory to the Authority, consisting of certificate(s) of insurance evidencing all of the coverages required by this Agreement, and an additional insured endorsement to the Manager's Commercial General Liability, and to Manager’s umbrella liability policies, using ISO form CG 20 10. In addition, the Manager agrees to provide complete copies of all policies of insurance to the Authority annually or upon request. The Certificate(s) shall reflect that the insurer will provide 30-days notice of any cancellation or modification of coverage to the Additional Insureds, per the terms of the policy. The Manager agrees to require its insurer to modify the certificates to delete any exculpatory wording stating that failure of the insurer to mail written notice of cancellation imposes no obligation, and to delete the word "endeavor" with regard to any notice Sample Page 286 of 570 provisions. All insurance coverage and limits provided pursuant to this Agreement shall apply to the full extent of the policies involved, available or applicable. Nothing contained in this Agreement or any other agreement relating to the Authority or its operations shall limit the application of such insurance coverage. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf and are to be provided on standard ISO forms noted above. All endorsements are to be received and approved by the Risk Manager prior to the commencement of work. (g) No Limitation on other Insurance. Requirements of specific coverage features or limits contained in this Section 25 are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only and is not intended by any Party to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. (h) Subrogation. All general or auto liability insurance coverage provided pursuant to this Agreement, or any other agreements pertaining to the performance of this Agreement, shall not prohibit the Manager, its employees, or agents, from waiving the right of subrogation prior to a loss. The Manager hereby waives all rights of subrogation against the Authority, the Successor Agency to the Palm Desert Redevelopment Agency, and the City of Palm Desert. (i) Authority's Right to Purchase Replacement Insurance. In the event any policy of insurance required under this Agreement does not comply with these requirements or is canceled and not replaced, the Authority has the right but not the duty to obtain the insurance it deems necessary and any premium paid by the Authority will be promptly reimbursed by the Manager. (j) Proof of Insurance. The Manager shall provide proof that policies of insurance required herein expiring during the term of this Agreement have been renewed or replaced with other policies providing at least the same coverage. Such proof will be furnished not more than 72 hours after the expiration of the coverage(s). Any actual or alleged failure on the part of the Authority or any other of the Additional Insureds under these requirements to request or obtain proof of insurance required under this Agreement in no way waives any right or remedy of the Authority or any other of the Additional Insureds, in this or any other regard. (k) Subcontractor Proof of Insurance. (i) Subcontractors Performing Recurring Work or Work in Excess of $2500. The Manager shall require all subcontractors or other parties which provide (i) recurring services to the Properties, or (ii) services in excess of $2,500 in a six month Period (a "Major Subcontractor") to the Properties to provide the same minimum insurance coverage required of the Manager and Workers Compensation insurance to conform with the requirements of this section. Manager agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. The Manager agrees that upon request, all agreements with Major Subcontractor, or others with whom Manager Sample Page 287 of 570 contracts with on behalf of the Authority, will be submitted to the Authority for review. For purposes of this Section a contractor or party hired for the work shall be deemed to be performing "recurring work" in the event that contractor or party hired performs in excess of a single segregated or discrete project in any six-month period. The Manager agrees to obtain certificates evidencing such coverage and to make reasonable efforts to ensure that such coverage is provided as required herein. Failure of the Authority to request copies of such agreements will not impose any liability on or constitute waiver by the Authority of its rights hereunder. Manager agrees to require that no contract used by any Major Subcontractor, or contracts the Manager enters into on behalf of the Authority, will reserve the right to charge back to the Authority the cost of insurance required by this Agreement. (ii) Subcontractors Performing Nonrecurring Work or Work Less Than or Equal to $2500. The Manager shall require all subcontractors or other parties which provide (i) nonrecurring services to the Properties, and (ii) services in an amount not to exceed $2,500 in a six-month Period (a "Nonrecurring Subcontractor") to provide Commercial General Liability insurance in the amounts set forth below and Workers Compensation insurance to conform with the requirements of this section. For purposes of Section 25, a contractor or party hired for the work shall be deemed to be providing "nonrecurring work," so long as that contractor or party hired for the work does not perform more than a single segregated or discrete project in a six-month period. In the event a Nonrecurring Subcontractor performs more than a single discrete project in a six-month period or work exceeding $2,500 in value, that Nonrecurring Subcontractor shall lose its status as a “Nonrecurring Subcontractor” and shall be automatically deemed a “Major Subcontractor”. The liability limits for Nonrecurring Subcontractors shall provide no less than $500,000 per occurrence for all coverages and $500,000 in the general aggregate. The Manager agrees to verify such coverage and make reasonable efforts to ensure that such coverage is provided as required herein. The Manager agrees to require that no contract used by any Nonrecurring Subcontractor, or contracts the Manager enters into on behalf of the Authority, will reserve the right to charge back to the Authority the cost of insurance required by this Agreement. The Manager agrees that upon request, all agreements with Nonrecurring Subcontractors, or others with whom Manager contracts on behalf of the Authority, will be submitted to the Authority for review. Failure of the Authority to request copies of such agreements will not impose any liability on the Authority nor constitute a waiver of the rights of the Authority hereunder. 26. Compliance With Governmental Orders. The Manager will take such action as may be necessary to comply promptly with any and all governmental orders or other requirements affecting the Properties, whether imposed by federal, state, county or municipal authority. Notwithstanding the foregoing, the Manager shall take no such action so long as the Authority is contesting, or has affirmed its intention to contest, any such order or requirement. The Manager will notify the Authority in writing of all notices of such orders or other requirements as soon as possible from the time of their receipt. 27. Manager's Compensation. The Manager will be compensated for its services under this Agreement by monthly management fees. Such fees will be payable on the first day of each month, in arrears, for the services provided in the prior month for the term of this Agreement. For the purpose of this Section, the term ‘occupied units’ Sample Page 288 of 570 shall include those Units which are currently leased, on notice to vacate, or temporarily vacant due to a move out. The Management Fee (“Fee”) shall be calculated monthly according to the following schedule: (a) In the case of occupied units, each such monthly fee shall be in the amount of $___________ per Unit per month except as follows: (i) For Units where a Notice of Termination of Tenancy (“Notice”) was provided by the tenant as required (30 calendar day notice) and a Unit remains vacant for 30 calendar days or more, Manager will not be entitled to the monthly fee, except in those circumstances where the vacancy is the result of the Authority’s leasing process for affordable Units. (ii) For Units where no Notice was given, the tenant chose to ‘quit’ or the tenant skipped, and a Unit remains vacant for 45 calendar days or more, Manager will not be entitled to the monthly fee. (b) In the case of unoccupied Units (except those Units described in Section 27(c-e) below), each such monthly fee shall be as follows: (i) $_________ per Unit per month for the first four months for Units that have been determined, in the Authority’s sole and absolute discretion, to be ‘unrentable’ or ‘down’ due to physical condition or damage. Unless otherwise determined by the Authority, Manager is expected to repair said Units within the four months. If Manager fails to repair units within the given time, no fee will be paid until the unit is available for occupancy. (ii) No Fee will be paid for Units that are unrentable or down due to action or inaction by the Manager. (iii) $_________ per Unit per month for those units specifically indentified in Item No. 14 of Exhibit A and any amendments thereto. These units are typically owned by the Authority and are considered ‘for-sale’ units. Said units are to remain unoccupied unless, in the Authority’s sole and absolute discretion it determines otherwise. Manager is expected to maintain said units in the same condition as when originally assigned as well as visually inspect, coordinate services, complete any minor repairs, and respond to emergencies. Fees for these units shall be payable monthly in arrears until the date of the close of escrow wherein the ownership is no longer the Authority or at such time as the Authority notifies Manager otherwise. (c) In the case of Units that are newly constructed or newly renovated which will be added to Exhibit A, the Fee shall be $_________ per Unit per month commencing at such time as the construction/renovation has reached 90% completion as determined by the Contractor’s billing until Certificate of Occupancy, in the case of new units, or Certificate of Completion, in the case of renovated Units, is issued. (d) In the case of Units which were ‘downed’, as described in Section 27(b)(i) and direction has been given to the Manager by the Authority not to repair said Sample Page 289 of 570 Units, commencing with the fifth month, the Fee shall be reduced to $_________ per Unit per month until Manager is no longer responsible for said Units. (e) Except as otherwise expressly provided in this Agreement, all employees not identified in Exhibit F and other overhead expenses of the Manager (including but not limited to costs of office supplies and equipment, postage, transportation, travel expenses for managerial personnel and telephone services) will be borne by the Manager. All services for management, accounting, and reporting, with exception of the Authority's requested annual audit, shall be borne by the Manager. In addition to the Management Fee, the site employees for the Properties shall be paid based on the Employee Salaries listed on Exhibit F attached hereto and incorporated herein by this reference. 28. Termination. (a) Authority Termination for Convenience. Authority may terminate this Agreement for convenience by giving not less than 180 days written notice of termination. The notice of termination shall specify that the termination is for the convenience of the Authority. Up on a Termination for Convenience, the Authority shall continue to pay Manager for all work performed up to the date of termination. Manger shall be compensated only for those services that have been satisfactorily rendered to the Housing Authority, and Manager shall be entitled to no further compensation. Authority shall not be liable for an y post-termination costs, lost profits, or other alleged damages resulting from a Termination for Convenience. (b) Termination For Cause: Either Party may terminate this Agreement with cause by giving written notice to the other Party not less than 90 days prior to the date of termination. Any such written notice for cause shall specify the default. If the default specified has not been cured within 21 days of receipt of the notice, this Agreement shall terminate on the date of termination set forth in the notice. Upon termination, Manager shall be compensated only for those services that have been satisfactorily rendered to Authority, and Manager shall be entitled to no further compensation. (c) Termination at End of Term/Extension: At least ninety (90) days prior to the automatic termination of this Agreement (the “Negotiation Period”), and unless either Party has given timely notice under this Section prior thereto, the Parties shall initiate negotiations for a new agreement for Property Management Services and use best efforts and engage in good faith negotiations to finalize such agreement and obtain final approval thereof prior to the automatic termination of this Agreement. In the event such good faith efforts are not completed before the expiration of the Term, or in the event either Party gives notice to the other during the Negotiation Period of its decision not to enter into a further term, this Agreement may be extended for not more than ninety (90) days after the giving of such notice or ______________, whichever is later, upon the written authorization of the Executive Director of the Authority. Good faith negotiations may include an extension of this Agreement up to an additional _________ months provided that any such extension shall require the authorization of the Authority Board and shall be in writing, as an Amendment to this Agreement, signed by both Parties. Sample Page 290 of 570 (d) Bankruptcy. In the event that a petition in bankruptcy is filed by either of the Parties, or in the event that either Party makes an assignment for the benefit of creditors to take advantage of any insolvency act, this Agreement shall automatically terminate. (e) Sale of Properties. This Agreement shall automatically terminate, upon the sale of the Properties, or as to any Property, on the sale of such Property, except that, this provision shall not apply in the event of a sale, transfer, or re-conveyance by and between the former Palm Desert Redevelopment Agency, the Authority, the Successor Agency to the Palm Desert Redevelopment Agency, the City of Palm Desert, and/or any related or successor agency or entity. (f) Addition of Properties. In the event the Authority adds a property to its operations portfolio, Manager and Authority’s designee may agree in writing to amend Exhibit A for the inclusion of said property. Such amendment shall be subject to the terms and conditions herein from the effective date of the amendment. (g) Exchange of Documents. Upon termination of this Agreement, the Manager will submit to the Authority any financial statements requested by the Authority and, after the Parties have accounted to each other with respect to all matters outstanding as of the date of termination, the Authority will furnish the Manager security in form and principal amount satisfactory to the Manager against any obligations or liabilities which the Manager may properly have incurred on behalf of the Authority hereunder. All of the cash trust accounts, investments, equipment and records for the Properties will be turned over to the Authority within 30 days of the date this Agreement is terminated. The Parties hereby covenant and agree that the Authority shall own the books and records for the Properties and that the Manager shall hold the books and records for the Properties for the benefit of the Authority for an agreed upon period at the time of termination. 29. Manager's Indemnification. Subject to the Manager's indemnification obligations hereunder as set forth in Section 24, the Parties understand and agree: (a) That the Authority has assumed and will maintain its responsibility and obligation through the Term of this Agreement for the finances and the financial marketability of the Properties; and (b) That the Manager shall have no obligation, responsibility or liability to fund authorized costs, expenses, or accounts other than those funds generated by the Properties themselves or provided to the Properties or to the Manager by the Authority. In accordance with the foregoing, the Authority agrees that the Manager shall have the right at all times to withdraw payment of its compensation, as provided for under Section 27 of this Agreement, from the General Operating account or accounts, immediately when such compensation is due and without regard to other property obligations or expenses conditioned on the Manager having satisfactorily discharged all duties and responsibilities under this Agreement. Moreover, the Authority hereby indemnifies the Manager and agrees to hold it harmless with respect to costs, expenses, accounts, liabilities and obligations of the Properties during the Term of this Agreement and further agrees to Sample Page 291 of 570 guarantee to the Manager the payment of its compensation under Section 27 of this Agreement during the Term of this Agreement to the extent that the Operating and Maintenance Account for the Properties are insufficiently funded for this purpose. Failure of the Authority at any time to abide by and to fulfill the foregoing shall be a breach of this Agreement entitling the Manager to obtain from the Authority, upon demand, full payment of all compensation owed to the Manager through the date of such breach. 30. Prohibition Against Assignment and Subcontracting Management Services. Manager shall not assign this Agreement or subcontract any management or other services, without the express prior written consent of the Authority. 31. Notices. Except as otherwise provided by law, any and all notices or other communications required or permitted by this Agreement or by law to be served on or given to either Party to this Agreement by the other Party shall be given in writing. All such notices or other communications shall be deemed duly served and given when personally delivered to the Party to whom they are so directed, or in lieu of personal service when deposited in the United States mail, first-class postage prepaid, addressed to the respective Party as set forth below: To the Authority: Palm Desert Housing Authority 73-510 Fred Waring Drive Palm Desert, CA 92260 Attention: Housing Manager To the Manager: ________________________ ________________________ ________________________ Either Party may change its address for the purpose of this Section 31 by giving written notice of the change to the other Party in the manner provided in this Section. 32. General Provisions. (a) Binding on Successors and Assigns. At all times, this Agreement will enure to the benefit of and constitute a binding obligation upon the Parties and their respective successors and assigns. (b) Entire Agreement and Allowable Changes. This Agreement constitutes the entire Agreement between the Authority and the Manager with respect to the management and operation of the Properties, and all prior agreements between the Authority and the Manager regarding the subject matter of this Agreement are hereby superseded and replaced. Changes hereto must be made by supplemental written Sample Page 292 of 570 agreement signed by the Parties. Exhibits hereto may be amended as necessary by the written agreement of the Parties. (c) Attorneys' Fees. If any litigation is commenced between the Parties concerning the Properties, this Agreement, or the rights and duties of either Party with respect to this Agreement, the Party prevailing in the litigation shall be entitled, in addition to any other relief that may be granted in the litigation, to reasonable attorneys' fees and costs. (d) Ambiguities. Each Party and their counsel have participated fully in the drafting of this Agreement. Any rule of construction to the effect that ambiguities are to be resolved against the drafting Party shall not apply in interpreting this Agreement. (e) Severability of Agreement. If a court or an arbitrator of competent jurisdiction holds any provision of this Agreement to be illegal, unenforceable or invalid in whole or in part for any reason, the validity and enforceability of the remaining provisions, or portions of them will not be affected. (f) Approval by Authority. Whenever a provision of this Agreement requires the delivery of documents or reports, notifications, determinations, reimbursements or requests for funding, review, authorization or approval of the Authority, such approval may be given by the Executive Director of the Authority or his/her designee, unless Authority Board action is specified in this Agreement. (g) Word Usage. Unless the context clearly requires otherwise, (a) the plural and singular shall each be deemed to include the other; (b) the masculine, feminine, and neuter genders shall each be deemed to include the others; (c) "shall," "will," or "agrees" are mandatory, and "may" is permissive; (d) "or" is not exclusive; and (e) "includes" and "including" are not limiting. Sample Page 293 of 570 IN WITNESS THEREOF, the Parties have executed this Agreement on the date first above written. Authority: PALM DESERT HOUSING AUTHORITY, a public body, corporate and politic By: _______________________________ ___________, Chairman ATTEST: __________________________________ ___________, City Clerk APPROVED AS TO FORM: __________________________________ Special Counsel Manager: By: _______________________________ Title: By: _______________________________ Title: Sample Page 294 of 570 EXHIBIT A (PROPERTIES) PALM DESERT HOUSING AUTHORITY AFFORDABLE HOUSING UNITS 1. One Quail Place 72-600 Fred Waring Drive 156-one bedroom, 228-two bedroom (384 Total Units) Amenities: Gated Community, 4 Pools, 4 Spas, 4 Tennis Courts, Basketball Courts, Tennis Courts, Community Courtyard with Picnic Area, Children's Play Area, Resident Library, 4 Laundry Facilities, Recycling Containers in each Unit, and Assigned Covered Parking 2. Desert Pointe 43-805 Monterey Avenue 34-studio, 24-one bedroom, 6-two bedrooms (64 Total Units) Amenities: Pool, Children’s Play Area, Laundry Facilities, Recycling Containers in each Unit, and Assigned Covered Parking 3. Neighbors Apts. 73-535 Santa Rosa Way 24-two bedrooms (24 Total Units) Amenities: Pool, Laundry Facility, Recycling Containers in each Unit, and Covered Parking 4. The Pueblos Apts. 73-695 Santa Rosa Way 15-one bedroom units (15 Total Units) Amenities: Pool, Adjacent Community/Resident Services Building, Laundry Facility, Recycling Containers in each Unit, and Assigned Covered Parking 5. Catalina Gardens 73-600A Catalina Way 48-studios, 24-one bedroom (72 Total Units) Amenities: Pool, Laundry Facility, Recycling Containers in each Unit, Assigned Covered Parking, and Community Room 6. Taos Palms 44-830 Las Palmas Avenue 16-two bedroom (16 Total Units) Amenities: Gated Community, Pool, Laundry Facility, and Recycling Containers in each Unit 7. Las Serenas 73-315 Country Club Drive Sample Page 295 of 570 100-one bedroom, 50 one-bedroom + Den (150 Total Units) Amenities: Community Clubhouse, Computer Room with Internet Access, 3 Pools, 1 Spa, Recycling Containers in each Unit, and Assigned Covered Parking. 8. Laguna Palms 73-875 Santa Rosa 4 studios, 16 one-bedroom, 28 two-bedroom (48 Total Units) Amenities: Pool, Children's Play Area, Laundry Facility, Recycling Containers in each Unit, Community Courtyard 9. California Villas 77-107 California Drive 140 one-bedroom, 1 two-bedroom (141 Total Units) Amenities: Resident Service Building, Computer Room with Internet Access, Recycling Containers in each Unit, Pool, Spa and Laundry Facility 10. Palm Village Apartments 73-650 Santa Rosa Way 36 two-bedroom (36 Total Units) Amenities: Laundry Facility, Recycling Containers in each Unit, Children's Play Area, and Covered Parking 11. Candlewood Apartments 74000-74002 Shadow Mountain Drive 26 one-bedroom, 4 two-bedroom (30 Total Units) Amenities: Pool, Spa, Laundry Facility, Recycling Containers in each Unit, Assigned Covered Parking, and Shared Community Room 12. La Rocca Villas 42-135 Golden Eagle Lane 27 one-bedroom (27 Total Units) Amenities: Laundry Facility, Resident Service Building, Common Area, Covered Parking and ADA Accessibility 13. Sagecrest Senior (includes vacant property to the North and West) 73-811 Santa Rosa Way 14 Studios (14 Total Units) Amenities: Laundry Facility, Recycling Containers in each Unit, Assigned Covered Carport Parking, Community Courtyard, and Elevator 14. Carlos Ortega Villas 77-915 Avenue of the States 72 one-bedroom, 1 two bedroom (73 Total Units) Amenities: Community Clubhouse, Computer Room with Internet Access, Pool with ADA Access, Laundry Facility, Recycling Containers in each Unit, and Covered Parking. Sample Page 296 of 570 15. Santa Rosa 73-625 Santa Rosa Way 20 two-bedroom (20 Total Units) Amenities: Laundry Facility and Covered Parking Sample Page 297 of 570 EXHIBIT B [intentionally omitted] Sample Page 298 of 570 EXHIBIT C MANAGEMENT OFFICES Location of Management Offices One Quail Place (located in management office) Las Serenas (located in management office) Catalina Gardens (located in management office) Desert Pointe (located in management office) California Villas (located in management office) Laguna Palms (located in management office) Locations Managed One Quail Place Las Serenas and La Rocca Villas Catalina Gardens, The Pueblos, Candlewood Apartments, and Sagecrest Senior Desert Pointe, Taos Palms and Neighbors Apartments California Villas Laguna Palms and Palm Village Apartments Sample Page 299 of 570 EXHIBIT D DEPOSIT ACCOUNTS The following security deposit accounts shall be maintained by the Manager for the benefit of the Authority: The following operating deposit accounts shall be maintained by the Manager for the benefit of the Authority: Sample Page 300 of 570 EXHIBIT E NON-COLLUSIVE AFFIDAVIT FORM AFFIDAVIT State of California ) )ss. County of Riverside ) ___________________________, being first duly sworn, deposes and says: That he is ___________________________, the party making the foregoing proposal or bid, that such proposal or bid is genuine and not collusive or sham; that said bidder has not colluded, conspired, connived or agreed, directly or indirectly, sought by agreement or collusion, or communication or conference, with any person, to fix the bid price or affiant, or of any other bidder or to fix any overhead profit or cost element of said bid price, or that of any other bidder or to secure any advantage against the _________________________________________ or any person interested in the proposed contract, and that all statements in said proposal or bid are true. Signature of Person Making Affidavit: ____________________________________ Subscribed and sworn to me this _______ day of __________________, 20___ My commission expires __________________, 20___ Notary Public Signature:_______________________ Official Seal: Sample Page 301 of 570 EXHIBIT F PROPERTY STAFFING & SALARY RANGES To be provided annually with the property budgets. Sample Page 302 of 570 EXHIBIT G PERFORMANCE CRITERIA 1. PROPERTY PORTFOLIO NET OPERATING INCOME COMPARISON a. Current Budget Year: July - June b. Budgeted vs. Actual = Variance c. Vacancy Rate Analysis 2. RESPONSE TO RESIDENT COMPLAINTS a. Response to service requests/turn around time b. Response to resident complaints and concerns - monthly meetings c. Response to resident complaints and concerns at site office 3. COMPLIANCE WITH AGREEMENT a. Define any notable gross disparities from the Agreement on the following: i. Report preparation and submittal promptness ii. Responsiveness to Authority requests iii. Method of accounting 4. CAPITAL IMPROVEMENTS SCHEDULE a. Deferred Capital Improvement Schedule b. Capital Improvement Program c. Maintenance and general appearance of properties 5. OPERATIONS a. Operational procedures to be audited: i. Compliance with Stipulation ii. Compliance with all laws including those related to property management, Fair Housing, and housing authorities iii. Recertification iv. Internal controls v. Contract controls Sample Page 303 of 570 6. ACCOUNTING AUDIT a. Review of Annual Audit Findings b. Quarterly Audits 7. AFFORDABLE HOUSING PROGRAM a. Housing Authority goals b. Management Company goals c. Program implementation d. Compliance with local, state, and Federal regulations e. Tenant Household Income Analysis 8. RESIDENT RELATIONS a. Review summary responses of any resident surveys b. Establishment of Tenant Exit Survey 9. GENERAL a. General overview of previous operational year Sample Page 304 of 570 EXHIBIT H LIST OF FINANCIAL REPORTS REQUIRED Monthly Reports 1. Payroll register and invoices (may be submitted after every payroll or monthly). 2. Management Fee Report that includes Vacancies/Current Rental Activity submitted with invoice. 3. Disbursement/Expense Journals for each check run. 4. General Ledgers for all Properties. 5. Check Registers for all Properties. 6. Monthly Bank Reconciliations with Outstanding Check Registers. 7. Balance Sheets and/or Trial Balances for all Properties. 8. Rent Rolls for all Properties. 9. Delinquent A/R for all Properties. 10. Prepaid Listing for all Properties. 11. Income Statements with Monthly Budget Variance as well as Annual Variance. 12. Monthly Adjusting Journals. 13. Cash Receipts Journals. Quarterly Reports 1. Security Deposit List for all Properties (If not included in the monthly rent roll) 2. Status Report on Items over 90 days (Requests to the Board for write offs, etc.) Sample Page 305 of 570 Annual Reports Required At Fiscal Year End: 1. Schedule of Accounts Payable 2. Schedule of Accounts Receivable 3. Inventory of all Agency and Authority personal property and readily removable fixtures attached to the Properties. 4. Preliminary sets of Monthly closing reports, when requested. 5. Once audited, Final Set of all June Closing Reports 6. Schedule of Security Deposits Matching the Cash Held 7. The Report described in Section 21 At Calendar Year End: 1. Copies of the transmittals for Federal Reporting Requirements for W-2's and 1099's Analytical Reports: 1. Upon request of the Authority, reports analyzing various information required in the above Financial Reports (May include summaries of all properties and/or multi-year information). Sample Page 306 of 570 EXHIBIT I Leasing Reports: 1. Monthly Occupancy and Average Rent Statement 2. Monthly Net Operating Income Statement 3. Replacement Lists maintained continuously due at least once annually on June 30. 4. Resident Demographics Report 5. Service Request and Serious Complaints 6. Other reports as requested or as necessary to perform the requirements of the Agreement. Sample Page 307 of 570 EXHIBIT J On-going services requiring written cost estimates include any required in Section 21 of the Management Agreement as well as: 1. Landscape Contracts a. Monthly Services b. Annual Services including tree trimming, overseeding, and perennial flowers 2. Pest Control 3. Pool Services 4. Replacement Carpet and Vinyl 5. Laundry Services 7. Air Conditioning/Heating Unit Servicing, Cleaning, and Replacement Services 8. Carpet Cleaning 9. Flooring and Housekeeping Cleaning Services 10. Environmental Testing and Cleaning Services 11. Moving Company Services 12. Golf Cart Repair and Maintenance Services 13. Courtesy Patrol Services 14. Towing Services 15. Solar Maintenance Services 16. Elevator Maintenance Services Sample Page 308 of 570 EXHIBIT K NON-EXCLUSIVE LIST OF REQUIRED AND PERMISSIVE BACKGROUND CHECK INFORMATION BY TYPE OF FUNDING Source of Information Information Federal Funds Involved Federal Funds Not Involved Investigation Disclosure & Consent Investigation Disclosure & Consent Law Enforcement Agencies Illegal Drug Use Required Housing Authority must require & applicant must consent May obtain Must notify applicant, if basis for denial Drug use that Interferes with Health & Safety of Others Required Housing Authority must require & applicant must consent May obtain Must notify applicant, if basis for denial Sex Offenses Required Housing Authority must require & applicant must consent May obtain Must notify applicant, if basis for denial “Serious” crimes  Murder, mayhem, rape, burglary  Hate crimes  Offenses such as firearms, explosives  Felonies involving drugs, alcohol  Domestic Violence Required Housing Authority must require & applicant must consent May obtain Must notify applicant, if basis for denial Juvenile Records Prohibited N/A Prohibited N/A Arrests Not Resulting in Conviction Prohibited N/A Prohibited N/A State / Federal Government Social Security Numbers Required Housing Authority must require & applicant must consent May obtain Application must indicate disclosure is voluntary Sample Page 309 of 570 Citizenship / Residency Required Housing Authority must require & applicant must consent Prohibited N/A. But if Housing Authority has unsolicited evidence that applicant is undocumented, it must reject the application. Income / Family composition & tax info, to verify eligibility Required Housing Authority must require & applicant must consent Required Housing Authority must require & applicant must consent. Credit Agencies Investigative Consumer Report  Credit History  Character  Reputation  Personal Characteristics  Mode of Living May Obtain Housing Authority must notify applicant May Obtain Housing Authority must notify applicant  Convictions  Civil Actions  Tax Liens  Outstanding Judgements May Obtain but only if credit agency has verified information with 30 days of disclosure Housing Authority must notify applicant May Obtain but only if credit agency has verified information with 30 days of disclosure Housing Authority must notify applicant  Bankruptcies more than 10 years prior  Civil judgement more than 7 years old Prohibited N/A Prohibited N/A Public Records Obtained from Other Sources; Interviews with Neighbors, Friends & Associates Relevant background information  Creditworthiness  Credit Standing  Credit Capacity  Civil Actions  Convictions  Tax Liens  Outstanding Judgements May Obtain Must notify applicant, if basis for denial. Consent recommended. May Obtain Must notify applicant, if basis for denial. Consent recommended. Sample Page 310 of 570  Character  General Reputation  Personal Characteristics  Mode of Living In addition to credit reporting agencies, background check information may be obtained from Westlaw, Lexis, DataQuick, Merlin, Choice Point, and similar reputable resources. SAMPLE CONSENT BY APPLICANT “I understand that the Housing Authority or its agent will perform a background check as a part of determining eligibility, including but not limited to obtaining information concerning my employment, credit history, benefits, income, assets, and criminal history, and by my signature below, I hereby authorize the Housing Authority or its agent to do so.”“I certify that the statements on this application are true and complete to the best of my knowledge and belief and I understand that they will be verified. I understand that any false statements made on this application or failure to make any required disclosures may cause me to be disqualified from initial or continuing eligibility for housing assistance and may result in eviction. I further understand that I am under a continuing obligation to inform the Housing Authority or its agent of any changes to any of the information provided in this Application, and that failure to promptly inform the Housing Authority or its Agent of any changes may cause me to be disqualified from initial or continuing eligibility for housing assistance and may result in eviction.” Sample Page 311 of 570 Page 312 of 570 Page 313 of 570 Page 314 of 570 DRAFT for DISCUSSION AGREEMENT FOR PROPERTY MANAGEMENT SERVICES THIS AGREEMENT FOR PROPERTY MANAGEMENT SERVICES (this “Agreement”) is made and entered into effective this January 1, 2024, by and between the PALM DESERT HOUSING AUTHORITY, a public body, corporate and politic having a principal place of business at 73-510 Fred Waring Drive, Palm Desert, California, (the "Authority") and Falkenberg/Gilliam and Associates, Inc., a California Corporation, having a principal place of business at 1560 W. Colorado Boulevard, Pasadena, CA 92270 (the "Manager"). The Authority and the Manager may be referred to herein individually as a "Party" and collectively as the "Parties." RECITALS A. The Authority is a public body, corporate and politic, designated to be the operator of those certain real properties described on Exhibit A attached hereto and incorporated herein by this reference (the "Properties"). B. The Manager is engaged in the business of managing, maintaining, repairing, operating and leasing apartment buildings, and has represented to the Authority that the Manager is experienced and competent in said business. C. The Authority and the Manager desire to enter into this Agreement. NOW, THEREFORE, in consideration of the foregoing premises and of the mutual and dependant covenants contained in this Agreement, the Parties agree as follows: 1. Effective Date. The effective date of this Agreement (the "Effective Date") shall be January 1, 2024. 2. Appointment. The Authority hereby appoints the Manager and the Manager accepts appointment as the manager of the Properties on the terms and conditions set forth in this Agreement. The Parties acknowledge and agree that this Agreement is only a Management Agreement between the Parties, that the Parties are not joint venturers or partners, and that the Manager shall not be deemed to be an employee of the Authority. The Manager shall at all times be an independent contractor. The Manager agrees and covenants that it is not entitled to and will not take any tax position that is inconsistent with being a service provider to the Authority with respect to the Properties. By way of example only, the Manager hereby agrees and covenants that it will not claim any depreciation or amortization deduction, investment tax credit, or deduction for any payment of rent with respect to the Properties or any portion thereof. 3. Professional Management Standards and the Administrative Plan. (a) The Manager agrees to exert its best efforts, to furnish the services Page 315 of 570 DRAFT for DISCUSSION of its organization, and to exercise the highest degree of professional competence in managing the Properties and to provide the Authority with the economic return consistent with proper management under the guidelines provided by Authority for affordable housing. (b) The Manager shall manage, maintain, repair, operate and lease the Properties consistent with other multi-unit apartment complexes or similar type properties in the surrounding vicinity with comparable facilities and amenities. (c) Notwithstanding the authority granted to the Manager by this Agreement, the Manager agrees to abide by those standards and instructions that Authority may issue from time to time in connection with the Administrative Plan (the “Administrative Plan”). In the event of any inconsistency between this Agreement and the Administrative Plan, this Agreement shall control. The Administrative Plan adopted by Resolution No. HA-100, a copy of which shall be on file with the City Clerk, and any amendments thereto, include the statements of policies of the Authority for the purpose of property operations. (d) The Manager hereby covenants and agrees to use the Manager's best efforts to actively manage, maintain, repair, operate and lease the Properties at their maximum potential, considering the Authority’s guidelines for affordable housing and the Administrative Plan. Manager will provide copies of any procedural manuals created for the purpose of implementing said Administrative Plan. (e) The Manager shall be responsive to all tenant requests and concerns in a timely manner and shall make its best efforts to satisfy tenant requests and concerns at on-site offices. The Manager shall make its best efforts to notify Authority of tenant requests and concerns which are likely to be expressed by a tenant directly to the Authority. The Manager shall establish policies in order to address tenant requests and concerns and resolution in the event of a dispute in accordance with the Administrative Plan. (f) Each of the Properties having sixteen (16) or more units shall have a member of the Manager’s management staff that shall live on-site. The Authority shall not be responsible for furnishings, equipment, postage, utilities, telephone, or such other ancillary costs of the on-site staff. The specific apartment shall be approved by the Authority prior to occupancy by staff. All other Properties having less than sixteen (16) units shall have a caretaker that lives on-site. All Properties will have an emergency contact available seven days a week, 24 hours a day. 4. Periodic Requirements The Manager shall perform the following: (a) Not less than once each week: Page 316 of 570 DRAFT for DISCUSSION (i) A member of the Manager’s management staff will walk each property in its entirety to identify any items of concern that may or may not be visible from frequently traveled thoroughfare and prepare a detailed report of findings to be provided to Authority monthly. (ii) Inspect all mechanical and physical systems located on the Properties and provide a report to Authority of said inspections monthly. (b) Not less than once during every calendar month: (i) Analyze the occupancy level of the Properties. (ii) Analyze the financial condition of the Properties including, without limitation, cash flow, income, expenses, and per unit average cost. (iii) Provide Authority with a report regarding the status of maintenance and repair projects including those in process, upcoming, completed, and those that have not been completed or which are recommended and have not yet been implemented, and which are to be carried over to the next fiscal year. (c) Not less than once annually on or before February 1st: (i) Prepare and deliver to Authority a comprehensive financial budget plan (Plan), described in Section 18, including reserve accounts where applicable, for the Properties for the upcoming fiscal year operations July 1 to June 30. (ii) Examine the general condition of the Properties, prepare a list of needed repairs and maintenance, and deliver that list to Authority along with the estimated costs for review. Once reviewed by Authority, incorporate estimations into the Plan. Said list will include all items identified by the Manager and be prioritized by the Manager in order of necessity. (i.e. Critical, Health and Safety, Necessary, Preventative, etc.) (d) The Manager will notify Authority of work, supplies, services, maintenance, or repairs (emergency or otherwise) that were not included in the current operating budget but that may be necessary prior to the next operating budget year: (i) In December of each year, the Manager will provide Authority a report of necessary budget adjustments to be made for work that was pre-approved by the Authority and estimates of anticipated work that is necessary. (ii) In the event there are items that have not been included in the Plan or in Section 4(d)(i), above, then as necessary, the Manager will provide a report of those items by priority to the Authority. Authority staff will determine whether said requests should be forwarded as a special item to the Palm Desert Housing Commission (the “Authority Board”). Page 317 of 570 DRAFT for DISCUSSION (e) On the basis of the information gathered pursuant to Sections (a)-(d) of this Section 4, the Manager shall recommend in writing amendments and updates to the Administrative Plan at least once annually. The proposed amended Administrative Plan, together with any recommendations of the Manager for achieving maximum economic return of the Properties in light of the affordable housing requirements of the Properties, shall be submitted to the Authority. The Manager will continually review the Administrative Plan for the purpose of keeping the Authority advised of necessary or desirable changes. (f) Crime-Free Multi Housing Program. Throughout the term of this Agreement, the Manager covenants and agrees to participate in and fully complete the City’s Crime-Free Multi Housing Program for the Properties. Evidence of compliance with this requirement shall be forwarded annually to the Authority within said twelve (12) month period. 5. Determination of Performance Criteria. The Parties have developed various performance criteria categories which will be used to evaluate the performance of the Manager. Such performance criteria categories are described on Exhibit G attached hereto and incorporated herein by reference. 6. Term. The Parties agree that the term ("Term") of this Agreement shall be for 60 months, commencing January 1, 2024 and ending December 31, 2028, and may be extended in accordance with the provisions of Section 28 below. Following the initial term of the contract, the Authority may opt to extend the contract for two (2) additional terms of three (3) years each term and expiring December 31, 2034. Contract extensions may be exercised contingent upon satisfactory performance and at the sole discretion of the Housing Authority, and in accordance with the provisions of Section 28 below. 7. On-Site Management Office. The Authority shall provide adequate space on the Properties for a management office in accordance with Exhibit C attached hereto and incorporated herein by this reference. The Manager shall prepare and submit designs and budget for pre-approval to furnish and/or refurbish the management offices. The Authority shall pay all approved expenses related to such office, including, but not limited to, furnishings, equipment, postage, office supplies, electricity, telephone, answering service, and security monitoring services, if any. The Authority shall retain ownership of all of the foregoing purchases. 8. Information on the Properties. The Manager acknowledges that it has been furnished with any available building plans and specifications as well as environmental reports, if available, for each of the Properties. The Manager also acknowledges that it has received copies of any available manufacturer's preventive maintenance schedules, guarantees and warranties pertinent to the fixtures, mechanical equipment, and appliances used in the operation of the Properties. The Manager shall maintain files for each of the Properties with current plans and specifications, environmental reports, manufacturer's preventive maintenance schedules, guarantees and warranties pertinent to any new installations, repairs, fixtures, appliances as well as any equipment, used in the operation of the Properties. Page 318 of 570 DRAFT for DISCUSSION 9. Familiarity With Equipment. The Manager has become thoroughly familiar with the character, location, construction, layout, plan and operation of the Properties, and especially of the electrical, heating, plumbing, air conditioning and ventilation systems, and all other mechanical equipment, and the Manager shall maintain such familiarity. 10. Leasing. The Manager will act as the Authority's exclusive agent in leasing the dwelling units (each, a “Unit”, and collectively, the "Units") in the Properties. The following provisions will apply: (a) The Manager shall use all reasonable efforts to keep the Properties leased by procuring tenants for the Properties and negotiating and executing on behalf of the Authority all leases for the Units. The Manager is authorized to enter into and execute initial leases with tenants for a minimum term of six (6) months and a maximum term of 12 months without the further written approval of the Authority. The Authority shall provide the Manager with income and rent guidelines for each of the Properties annually or as frequently as Department of Housing and Community Development (“HCD”) issues adjustments to the Riverside County Median Income levels. Such guidelines shall include a provision for utility allowances, if applicable, as set by the Riverside County Housing Authority which are in effect at the time the rents are established. Any lease for a shorter or longer period shall require the prior written consent of the Authority. The Manager shall also submit to the Authority copies of all notices terminating any tenant leases and all notices to vacate served on any tenant prior to the expiration of the lease term or after the expiration of the lease term if tenancy has converted to month-to-month, together with an explanation for the applicable notice. The Manager shall provide Authority with the equipment detail of each Unit annually for the purpose of determining the proper utility allowances by March 1st of each year. (b) The Manager shall lease all the Units in accordance with the terms of this Agreement, in compliance with all applicable federal, state, and local laws, in accordance with the Administrative Plan and any further direction from the Authority. (c) The Manager will be responsible for screening and selection of existing and prospective tenants in accordance with affordable housing guidelines and applicable federal, State and local laws. The Manager will follow the tenant selection policy described in the Administrative Plan and will show the Properties to all prospective tenants who qualify under the Authority’s affordable guidelines based on the waiting list policy and Unit availability. (d) The Manager will prepare and verify eligibility certifications and recertifications in accordance with the guidelines established by the Authority. Rents will be adjusted pursuant to the Rent Setting Policy of the Authority adopted by Resolution HA-62, a copy of which shall be on file with the City Clerk, and any amendments thereto. (e) The Manager shall not decline to lease any Unit on the Properties to a prospective tenant, or otherwise discriminate, on the basis of race, color, national origin, Page 319 of 570 DRAFT for DISCUSSION ancestry, sex, gender, gender identity, gender expression, religion, physical or mental disability, genetic information, marital status, familial status, sexual orientation, or any other classification then protected by law. (f) Prior to executing any lease with a tenant, the Manager shall obtain the written consent of the prospective tenant to perform a complete background check, and shall perform same, including: (1) investigate the financial ability and history of the prospective tenant to pay rent, (2) perform necessary credit checks, (3) obtain references from employers and prior landlords, (4) verify the income of tenants as specified in the Administrative Plan, (5) verify all matters that are required to be checked by federal and/or state law, in accordance with the type of affordable funding involved, and (6) verify those matters that may and should be checked to ensure and promote the safety and welfare of all tenants of the Properties, the Manager’s staff and the public. A non-exclusive list of the required and permissive verifications, consent language and sampling of reputable online resources are set forth in Exhibit K, as may be modified by changes in applicable law. The Manager shall comply at all times with applicable federal, state and local law in all aspects of the tenant screening and application process. 11. Security Deposits. The Manager will collect, deposit, and disburse security deposits in accordance with the terms of each tenant's lease. The amount of each security deposit will be as specified in the Administrative Plan or applicable law. The collection and disbursement of security deposits will also be governed by the then applicable state and local laws. All tenant security deposits will be placed in one or more trust accounts separate from all other accounts and funds of the Manager and/or the Authority. The security account or accounts will be established at a bank as specified by the Authority whose deposits are insured by an agency of the United States government. The security deposit account or accounts will be carried in the Authority's name and designated on record as “PDHA Security Deposit Account” and in addition, the Director of Finance of the City of Palm Desert (the "Director of Finance"), his/her designees, and up to four designated representatives of the Manager shall be included as signatories to the security deposit account or accounts. The balance of the security deposit account or accounts shall not be used to pay general operating expenses without the written consent of the Authority. Notwithstanding the foregoing, security deposits received must be documented and accounted for at all times and the Manager must comply with any applicable state and local laws concerning interest payments on security deposits. The number and structure of security deposit accounts is set forth in Exhibit D attached hereto and incorporated herein by this reference. 12. Collection of Rents and Other Receipts. The Manager will collect when due all rents, charges and other amounts receivable on the Authority's account in connection with the management, maintenance, repair, operation, and leasing of the Properties. Such receipts (except for tenants’ security deposits, which will be handled as specified in Section 11 above) will be deposited in an account or accounts (the “General Operating Account”), separate from all other accounts and funds, of the Manager, at the bank as specified by the Authority whose deposits are insured by an agency of the United States Government. This account or accounts will be carried in the Authority's name and designated on record as “PDHA General Operating Account" and in addition, the Page 320 of 570 DRAFT for DISCUSSION Financial Operations Manager, the Director of Finance, his/her designees, and up to four designated representatives of the Manager shall be included as signatories to this account, or accounts. The number and structure of operating accounts is set forth in Exhibit D attached hereto and incorporated herein by this reference. 13. Enforcement of Leases. The Manager will ensure full compliance by each tenant with the terms of that tenant's lease. Involuntary termination of tenancies shall comply with all applicable laws and regulations. The Manager is designated as the Authority’s agent with the right to enter and take possession of the Units, in accordance with applicable law, and shall lawfully terminate any tenancy when, in the Manager's reasonable judgment, sufficient cause (including, but not limited to, nonpayment of rent) for such termination occurs under the terms of the tenant's lease. For this purpose, the Manager is authorized to consult with legal counsel qualified to bring unlawful detainer actions and to execute notices to vacate and judicial pleadings incident to such actions. The Manager shall keep the Authority informed of such actions and follow such direction as the Authority may provide for the conduct of any such action. Attorney’s fees and costs incurred in connection with unlawful detainer actions will be paid out of the General Operating Account as an expense of the Properties. Notwithstanding the foregoing, the Manager is at all times ultimately responsible for the enforcement of leases. Payment by the Authority of legal fees and costs incurred in connection with unlawful detainer actions does not create an attorney-client relationship between the Authority and the Manager’s unlawful detainer legal counsel. 14. Maintenance and Repair. The Manager will maintain the Properties in good, clean, safe and sanitary condition in accordance with the Administrative Plan and local codes and in a condition acceptable to the Authority at all times. This will include, but not be limited to, cleaning, painting, plumbing, grounds care, and such other maintenance and repair works as may be necessary, subject to any limitations imposed by the Authority in addition to those contained herein. The Manager will ensure all vendors maintain the required licensing, insurance, permits, and approvals for any work performed in accordance with this Agreement, as well as all local, state, and federal codes and regulations. The Manager will maintain an on-site property entry log for all vendors. Incident thereto, the following provisions will apply: (a) The Manager will complete preventative maintenance activities in the most cost effective and efficient manner as possible, while maintaining the quality of the Properties. (b) The Manager will contract in compliance with Section 21 hereof with qualified independent contractors for the maintenance and repair of roofs, air-conditioning and heating systems, and for extraordinary repairs beyond the capability of regular maintenance employees. (c) The Manager is aware of the requirements of California Labor Code Section 1720 et seq., 1770 et seq., and California Code of Regulations, Title 8, Section 16000 et seq. (“Prevailing Wage Laws”) which require the payment of prevailing wage Page 321 of 570 DRAFT for DISCUSSION rates and the performance of other requirements on “public works” and “maintenance” projects. The projects performed under this contract may be subject to compliance monitoring and enforcement by the Department of Industrial Relations. If the services are being performed as part of an applicable “public works” or “maintenance” project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000 or more, the Manager agrees to fully comply with such Prevailing Wage Laws, including but not limited to requirements related to public works contractor registration and maintenance and submittal of certified payroll records. The Authority shall provide the Manager with a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement. The Manager shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the services and shall post copies of the Manager’s principal place of business and at the project site. The Manager shall defend, indemnify, and hold the Authority, its elected official officers, employees, and agents free and harmless from any claim or liability arising of any failure or alleged failure to comply with the Prevailing Wage Laws. (d) The Manager will systematically receive and investigate all service requests from tenants, take such action thereon as may be warranted and will keep records of the same. Service requests will be addressed within four working days; provided, however, emergency requests will be received and serviced on a 24-hour basis. The Manager shall promptly investigate and respond to serious complaints as appropriate, and shall comply with all applicable federal and state laws in connection with same, including but not limited to the requirements of the Fair Employment and Housing Act and other applicable fair housing laws, and shall promptly report such complaints and the Manager’s response thereto to the Authority. The Manager shall advise tenants to report to law enforcement all complaints involving actual or threatened criminal activity. The Manager shall provide the Authority with a monthly summary of all serious complaints received by the Manager. This summary shall include a brief description of each complaint and the Manager’s response thereto. (e) The Manager is authorized to purchase while complying with the provisions of Section 21, on behalf of the Authority, all materials, equipment, tools, appliances, supplies and services necessary for proper maintenance and repair. The Authority shall retain ownership of all said materials, equipment, tools, appliances and supplies. (f) Notwithstanding any of the foregoing provisions, the prior written approval of the Authority will be required for any maintenance or repair project in which the overall cost is expected to exceed $15,000 for labor, materials, and/or otherwise in connection with the maintenance and repair of the Properties. This limitation does not apply to recurring expenses within the limits of the operating budget or to emergency repairs involving manifest danger to persons or properties, or that are required to avoid suspension of any necessary service to the Properties. In the latter event, the Manager will inform the Authority in writing of the facts as promptly as possible. For purposes herein, “recurring expenses” shall include utilities, pest control, laundry services, pool services, courtesy patrol, regulatory permits, and vermin extermination. Page 322 of 570 DRAFT for DISCUSSION (g) The Manager shall enter into all service contracts (such as pool maintenance/repair, laundry, vermin extermination and landscape maintenance) in accordance with Section 21 and maintain all required permits and approvals on equipment, pools, facilities, etc. for each of the Properties. (h) The Manager shall not undertake any work of construction or any work which would modify or change the exterior of any building or grounds. 15. Utilities and Services. The Manager will make arrangements for water, electricity, gas, sewage and trash disposal, telephone and cable service for the Properties. The Manager will enter into such contracts as may be necessary to secure such utilities, acting as Manager for the Authority. 16. Employees. (a) All personnel of the Manager involved with the management, maintenance, repair, operation or leasing of the Properties will be employees of the Manager and will be hired, paid, directed, supervised, and discharged by the Manager. The Manager will provide sufficient resources (staff and/or services) in order to fulfill its obligations to the Authority under the terms of this Agreement. All costs associated with hiring and discharging of such employees will be borne by the Manager. The Manager warrants that it has established employment policies in accordance with employment laws and said policies include a drug free work place or similar substance abuse policy, a zero- tolerance violence in the workplace policy and all other policies mandated by state and Federal law. The Manager warrants that all of its employees meet all qualifications, licensing and code requirements, applicable to completing assigned tasks. The Manager warrants that training will be provided to employees as may be required by local, state or federal law and will be conducted by an individual or entities qualified to provide such training. It is understood that, subject to sub-Sections (b) and (c), below, all direct costs associated with employees working "on-site" and specifically identified on Exhibit F will be borne by the Authority to include their direct salary (but not bonuses), Social Security taxes, employment taxes, medical insurance, Pension Plan, Worker's Compensation, uniforms, Housing allowance and other benefits (if applicable). The Authority shall have the right to interview and approve the hiring of any prospective site managers or regional (non-site specific) staff included in Exhibit “F”. Only the cost of those positions set forth on Exhibit F shall be paid by the Authority. Positions may be added, deleted or modified from Exhibit F based on property need with approval of the Manager and the Executive Director of the Authority. Notwithstanding the foregoing, all personnel of the Manager are exclusively the employees of the Manager, and not of the Authority. (b) The Manager shall have full and exclusive responsibility and liability for payment of all federal, state and local payroll taxes and for contributions for unemployment insurance, Social Security (FICA) and other benefits imposed or assessed under any provision of law or by regulation, and which are measured by salaries, wages, or other remuneration paid or payable by the Manager to its employees engaged in any work in connection with this Agreement or indicated herein, for the payment of which the Authority will reimburse the Manager, subject to the written approval of the Finance Page 323 of 570 DRAFT for DISCUSSION Director. The Manager shall have full and exclusive responsibility and liability for the withholding and payment of any income taxes required to be withheld from the wages or salaries of said employees under any provision of law or regulation. The Manager agrees to save and hold the Authority harmless from all claims for penalties, interest, or costs which may be assessed under any law or any rules or regulations thereunder with respect to its failure or inability to perform the aforesaid responsibilities. (c) Upon ten days demand from the Authority, the Manager shall cause any employee of the Manager to be removed from the Properties, at the Manager's sole cost and expense. (d) The Manager shall be solely responsible for the methods and means of managing its personnel to achieve the desired results. Authority’s authority over and involvement in the Manager’s employment matters shall be limited consistent with the Manager’s status as sole employer of its employees. 17. Disbursements from General Operating Account. (a) From the funds collected and deposited by the Manager in the General Operating Account pursuant to Section 12 above, the Manager will make or request the following disbursements promptly when payable: (i) The Manager shall request from the Director of Finance of the Authority reimbursement to the Manager for the actual compensation payable to employees specified in “Exhibit F”, together with the actual cost of the medical insurance, dental insurance, life insurance, Workers Compensation insurance, and taxes and assessments payable to local, state and federal governments actually paid by Manager in connection with the employment of such employees, as determined by the Manager and approved by the Director of Finance of the Authority, or his/her designees. The Manager shall be required to provide the Director of Finance of the Authority, or his/her designee, with financial statements or other documentation, as may be reasonably requested by the Director of Finance of the Authority, or his/her designee, substantiating the requested reimbursement. (ii) Notwithstanding the provisions of sub-Section (a)(i), above, the Manager shall make disbursements of all sums otherwise due and payable by the Authority as expenses of the Properties authorized to be incurred by the Manager under the terms of this Agreement, including compensation payable to the Manager, pursuant to Section 27 below, for its services hereunder. (iii) All checks between $2,500 and $4,999 shall require at least two signatures. All checks over $5,000 shall require at least two signatures, one of which must be the signature of an authorized representative of the Authority. a. Check requests for second signature must be accompanied by adequate documentation to ensure that vendor limits are not exceeded. Page 324 of 570 DRAFT for DISCUSSION (iv) All wire transfers will be initiated by the Director of Finance of the Authority or his/her designee. (b) Except for the disbursements mentioned in Section 12 above, funds will be disbursed or transferred from the General Operating Account only as the Authority may from time to time direct in writing. The Manager reimbursement checks in excess of $500 shall require signatures of both the authorized signatory of the Manager and the Finance Director of the Authority or his/her designee. (c) In the event the balance in the General Operating Account is at any time insufficient to pay disbursements due and payable under Section 17(a) above, the Manager will inform the Authority prior to disbursing funds of that fact and the Authority’s Director of Finance will then remit to the Manager sufficient funds to cover the delinquency. In no event will the Manager be required to use its own funds to pay such disbursements that are directly related to the operation of the Properties. (d) The Authority will pay for or reimburse to the Manager only those expenses that are expressly authorized by this Agreement to be borne by the Authority. Any expenses incurred by the Manager as a result of any legal judgment or administrative ruling against the Manager or its officers, employees or agents, or any monetary settlement in lieu of same to resolve any dispute, or the costs incurred by the Manager in connection therewith, including attorneys' fees for advice to or defense of the Manager, shall be the sole responsibility of the Manager. In the event any Authority monies have been disbursed for this purpose, the Manager shall immediately reimburse Authority. The Authority may, in its sole discretion, elect to pay or reimburse the Manager for all or a portion of such expenses and/or costs if the Authority deems that to be in the best interests of the Authority or the community which it serves or to promote the public health, safety and/or welfare, and only upon written agreement between the Authority and the Manager, signed by each of the Parties. 18. Budgets. The Manager will prepare and submit annual operating budgets for the Properties in forms satisfactory to the Director of Finance, which budgets shall include but not be limited to the following: Current Year Final Budget Adopted; Current Year Expected Actual; Upcoming Year Budget Request; Detailed Descriptions for any marginal deviations from Current Year; Detailed Descriptions for any Capital Expenditures for each Property; including Reserve Accounts where applicable. and Exhibit F described above. Except as permitted under Section 14(e) above, annual disbursements for operating expenses will not exceed the amount authorized by the approved budget without the prior written consent of the Authority. The Manager shall prepare a recommended operating budget for each fiscal year during the term of this Agreement, and shall submit to the Authority by March 1st of each year for the following fiscal year (July 1 to June 30). Additionally, the Manager shall prepare and submit to the Authority a budget for each fiscal year thereafter covering the period from July 1 through the next following June 30. Each year of the term the Authority will promptly inform the Manager of any changes incorporated in the approved budget, and the Manager will keep the Authority informed of any material anticipated deviation from the receipts or disbursements stated in the approved budget. The Manager may, upon the written Page 325 of 570 DRAFT for DISCUSSION request and after receipt of written approval of the Authority, make disbursements exceeding the budgeted allowances within the budgeted categories for the Properties. 19. Records and Reports. In addition to any requirements specified in the Administrative Plan or other provisions of this Agreement, the Manager will have the following responsibilities with respect to accounts and reports: (a) The Manager will establish and maintain, on a modified accrual basis, a comprehensive system of records, books and accounts in a manner satisfactory to the Authority. All records, books and accounts will be subject to examination at reasonable hours by any authorized representative of the Authority. The Manager shall maintain the books and records in good condition and order and shall preserve the books and records for such time period as the Authority would be legally required to preserve and maintain the books and records. (b) The Manager will be subject to a quarterly review and an annual audit conducted by a firm of the Authority's choice. The Manager agrees to make available all applicable records to the Authority's auditors for annual review. The report will be prepared in accordance with generally accepted auditing standards. The audit report submitted by the audit firm will also be subject to a single audit at the Authority's discretion. The preparer’s services will be an expense of the Authority. (c) The Manager will furnish information as may be requested by the Authority from time to time with respect to the financial, physical or operational condition of the Properties, including, without limitation: (i) calculation and billing rent and other tenant charges; (ii) maintaining accounts receivable and delinquency records; (iii) maintaining rent rolls; (iv) processing and paying operating and capital invoices; (v) recording activity and comparing such activity to budgeted amounts; (vi) reconciling all expenditures; (vii) remitting excess funds to the Authority and requesting needed funds from the Authority; (viii) processing payroll for personnel employed in the discharge of this Agreement and in compliance with taxing authorities and other reporting requirements associated with payroll; and (ix) reports detailed in Exhibit I. (d) By the 20th day of each month, the Manager will furnish the Authority with an itemized list of all delinquent accounts, including general operating accounts, as of the tenth day of the same month. (e) The Manager shall submit, to the Authority’s Finance Director those reports set forth in Exhibit H on the periodic bases set forth in Exhibit H. Reports designated as “monthly” on Exhibit H shall be submitted by the 20th day of each month; reports designated as “quarterly” shall be submitted by the 20th day of every third month, and reports designated as “annual” shall be submitted at the end of the fiscal year or the end of the calendar year as set forth on Exhibit H. In explanation but not limitation of the foregoing, the monthly reports to be submitted include: a statement of receipts and disbursements during the previous month; a schedule of accounts receivable and payable; reconciled bank statements for all accounts maintained by the Manager on behalf of the Authority reflecting disbursements and deposit amounts as of the end of the Page 326 of 570 DRAFT for DISCUSSION previous month; a copy of general ledger account transactions and monthly aggregate utility consumption by utility; and such other matters relative to the management, operation, and maintenance of the Properties including actual income and expense balances compared to budgeted or expected results as required by the Finance Director of Authority. Additional reports may be requested throughout the year as the Authority deems necessary. (f) On the 20th day of each month, the Manager will submit to the Authority the reports listed on Exhibit I attached hereto and incorporated herein by reference, to assist the Authority in determining compliance with that certain Stipulation for Entry of Judgment in case number Indio 51124 as consolidated with case numbers Indio 51143 and 51159 which has been provided to the Manager. (g) Confidentiality. All books, records, operating statements, leases, and other material or information relevant to the operation or financial nature of the Properties shall be maintained in the strictest confidence and shall not be available to any employee or salesperson of any affiliate of Manager, nor to any other party without the prior written consent of the Authority or under compulsion of law (e.g., subpoena). 20. Fidelity Bond. The Manager will place the Properties on a master fidelity bond, which provides blanket coverage equal to two months gross rent potential. The bond will provide coverage for all principals and agents of the Manager and all persons who participate directly or indirectly in the management of the Properties and their assets, accounts and records. The premiums for such a bond will be paid and borne by the Manager. Specifically, coverage for the Manager, including all applicable persons in the Manager's employ, will be paid by the Manager, and coverage for the Authority’s personnel, if applicable, will be paid by the Authority. Said fidelity bond shall be issued by a company which is reasonably acceptable to the Authority, and the Manager shall deliver to the Authority a copy of said fidelity bond upon execution by the Authority of this Agreement. 21. Bids, Discounts, Rebates or Commissions. The Authority and the Manager agree to adhere to the City of Palm Desert’s purchasing policy procedures set for the in Ordinance No. 1392 of the City of Palm Desert, and any amendments thereto, when obtaining contract materials, supplies and services for the Properties and to secure and credit to the Properties all discounts, rebates and commissions obtainable with respect to purchases, service contracts and all other transactions on behalf of the Properties. The Manager agrees that no goods and services shall be purchased from individuals, related companies and companies having a financial or pecuniary interest (a "conflict-of-interest") with the Manager. All vendor accounts shall be opened in the Authority's name, upon prior written approval of the Authority. The Manager will develop detailed scopes of work, materials, supplies, equipment and contractual services for any work or repair the cost of which may exceed $15,000 for a single Unit or project. The Manager shall comply with the procedures set forth in Ordinance No. 1392 of the City of Palm Desert, and any amendments thereto, in Page 327 of 570 DRAFT for DISCUSSION connection with the purchase of any materials, supplies, equipment and contractual services to be paid for by the Authority under this Agreement. Copies of all required bids and documentation of all other written or verbal cost comparisons made by the Manager shall be made part of the records of the Properties and shall be retained for three years from the date the work was completed or as required by the City of Palm Desert’s Retention Policy. This documentation shall be subject to inspection by the Authority, or its designee and the Manager agrees to submit such documentation upon request. Further, the Manager shall annually submit a report to the Authority describing the outcome of all bidding procedures, which report shall include the names of all bidders and the amount of their bids and shall indicate to which bidder the contract was awarded. The Manager agrees to make available to the Authority, when requested, all records of the Manager, which relate to the provision of goods or services to the Authority whenever funds from the Properties have been used to pay for such goods and/or services (other than management services). 22. Resident Services Program. The Manager will be responsible for carrying out any resident retention or social services program described in the Administrative Plan and any other program or service that may become available that are in the best interest of the residents or community to promote public health, public safety or tenant welfare. 23. Resident - Management Relations. The Manager will establish quarterly meetings with tenants at Properties containing 150 or more units to encourage and promote communication and tenants’ initiatives. 24. Defense, Indemnity and Hold Harmless Agreement. The Manager and Authority agree that the Authority, the Successor Agency to the Palm Desert Redevelopment Agency, the City of Palm Desert, and their respective officials, officers, employees, and agents (collectively “Indemnitees”) should, to the extent permitted by law, be fully protected against any loss, injury, damage, complaint, claim, lawsuit, cost, expense, attorneys fees, litigation costs, defense costs, court costs or any other cost arising out of or in any way related to the Manager’s performance of this Agreement. Accordingly, the provisions of this defense, indemnity and hold harmless provision are intended by the Parties to be interpreted and construed to provide the fullest protection possible under the law to the Indemnitees. The Manager acknowledges that Authority would not enter into this Agreement in the absence of the commitment of the Manager to indemnify, defend, protect and hold harmless the Authority as set forth herein. To the full extent permitted by law, the Manager shall indemnify, defend, protect and hold harmless the Indemnitees from any liability, complaints, claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory proceedings, losses, expenses or costs of any kind, whether actual, alleged or threatened, actual attorney fees incurred by Authority, court costs, interest, defense costs including expert witness fees and any other costs or expenses of any kind whatsoever without restriction or limitation incurred in relation to, as a consequence of or arising out of or in any way attributable Page 328 of 570 DRAFT for DISCUSSION actually, allegedly or impliedly, in whole or in part to the performance of this Agreement. All obligations under this provision shall be paid by the Manager as they are incurred by the Authority. The Manager shall defend the Indemnitees, and bear the expense thereof, with lawyers selected or approved by the Authority. Without affecting the rights of the Indemnitees under any provision of this Agreement or this Section 24, the Manager shall not be required to indemnify, defend, protect and hold harmless the Indemnitees as set forth above for liability attributable solely to the fault of the Indemnitees. 25. Professional Services Insurance Requirements. The Manager shall not commence work under this Agreement until it has provided evidence satisfactory to the Authority that it has secured all insurance required under this Section. In addition, the Manager shall not allow any subcontractor to commence work on any subcontract until it has provided evidence satisfactory to the Authority that the subcontractor has secured all insurance required under this section. Without limiting the Manager’s indemnification of the Authority, City of Palm Desert, the Successor Agency to the Palm Desert Redevelopment Agency and prior to commencement of Work, the Manager shall obtain, provide, and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form satisfactory to the Authority. (a) General Liability Insurance. The Manager shall obtain, at its sole cost Commercial General Liability coverage “occurrence” form CG 00 01 or its exact equivalent, with minimum limits of $2,000,000 per occurrence and $4,000,000 in the general aggregate. Insurance is to be placed with insurers with a current A.M. Best and Company rating level of A- or better, Class VIII or better, licensed to do business in California, and satisfactory to the Authority. The Manager agrees to endorse third party general liability coverage required herein to include as additional insureds the City of Palm Desert, the Palm Desert Housing Authority, the Successor Agency to the Palm Desert Redevelopment Agency, and their respective officials, officers, employees, volunteers, and agents (collectively “Additional Insureds”). The acceptable additional insured endorsement that must be submitted to the Authority is CG 20 10 or its exact equivalent, specifying the Additional Insureds as additional insureds, and specifying that the insurer shall provide at least 30 days notice to the Additional Insureds of any cancellation or modification of coverage. Coverage shall apply on a non-contributing basis in relation to any other insurance or self-insurance, primary or excess, available to the Additional Insureds. Coverage shall not be limited to the vicarious liability or supervisory role of any of the Additional Insureds. Insurance shall be issued as project specific to this agreement. Excess or Umbrella Liability Insurance (Over the Primary) is required in the with minimum limits of $5,000,000 and shall provide coverage at least as broad as specified for the underlying coverages. Any such coverage provided under an umbrella liability policy, shall include a drop down provision providing primary coverage above a maximum $25,000 self-insured retention for liability not covered by primary, but covered by the umbrella. Coverage shall be provided on a “pay on behalf” basis, with defense costs payable in addition to policy limits. There shall be no cross liability exclusion precluding coverage for Page 329 of 570 DRAFT for DISCUSSION claims or suits by one insured against another; policies shall also have concurrent starting and ending dates. Coverage shall be applicable to the Authority, the Successor Agency to the Palm Desert Redevelopment Agency and/or City of Palm Desert for injury to employees of the Manager, subcontractors of either the Manager or the Authority, or others involved in the scope of this Agreement. The scope of coverage provided is subject to approval by the Risk Manager following receipt of proof insurance as required herein. (b) Automobile Liability Insurance. The Manager shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Manager arising out of or in connection with Work to be performed under this Agreement, including $1,000,000 combined single limit for each accident including coverage for any owned, hired, non- owned or rented vehicles. (c) Professional Liability (Errors & Omissions). The Manager shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of $1,000,000 per occurrence/$2,000,000 aggregate and policy shall not exclude discrimination, fair housing, American with Disabilities act, and sexual molestation violations. Any policy inception date, continuity date, or retroactive date must be before the effective date of this Agreement and the Manager agrees to maintain continuous coverage through a period no less than three years after completion of the services required by this Agreement. Covered professional services shall specifically include all work to be performed under the Agreement and delete any exclusions that may potentially affect the work to be performed (for example, any exclusions relating to lead, asbestos, pollution, testing, underground storage tanks, laboratory analysis, soil work, etc.). If coverage is written on a claims-made basis, the retroactive date shall precede the effective date of the initial Agreement and continuous coverage will be maintained or an extended reporting period will be exercised for a period of at least three (3) years from termination or expiration of this Agreement. (d) Workers’ Compensation/Employers' Liability Insurance. The Manager shall procure and maintain Workers' Compensation insurance complying with California workers’ compensation laws, including statutory limits for workers’ compensation and an Employer’s liability limit of $1,000,000 per accident or disease. Unless otherwise agreed, this policy shall be endorsed to waive any right of subrogation as respects the Authority, the Successor Agency to the Palm Desert Redevelopment Agency, the City of Palm Desert, and their respective officials, officers, employees, volunteers, and agents. (e) Fidelity Coverage. Consultant shall provide evidence of fidelity coverage on a blanket fidelity bond or other acceptable form. Limits shall be no less than $1,000,000 per occurrence. (f) Cyber Liability Insurance. Consultant shall procure and maintain Cyber Liability insurance with limits of $1,000,000 per occurrence/loss, which shall include the following coverage: Page 330 of 570 DRAFT for DISCUSSION i. Liability arising from the theft, dissemination and/or use of confidential or personally identifiable information; including credit monitoring and regulatory fines arising from such theft, dissemination, or use of the confidential information. ii. Network security liability arising from the unauthorized use of, access to, or tampering with computer systems. iii. Liability arising from the failure of technology products (software) required under the contract for Consultant to properly perform the services intended. iv. Electronic Media Liability arising from personal injury, plagiarism or misappropriation of ideas, domain name infringement or improper deep- linking or framing, and infringement or violation of intellectual property rights. v. Liability arising from the failure to render professional services. (g) Evidence of Insurance. The Manager shall provide evidence of the insurance required herein, satisfactory to the Authority, consisting of certificate(s) of insurance evidencing all of the coverages required by this Agreement, and an additional insured endorsement to the Manager's Commercial General Liability, and to the Manager’s umbrella liability policies, using ISO form CG 20 10. In addition, the Manager agrees to provide complete copies of all policies of insurance to the Authority annually or upon request. The Certificate(s) shall reflect that the insurer will provide 30-days notice of any cancellation or modification of coverage to the Additional Insureds, per the terms of the policy. The Manager agrees to require its insurer to modify the certificates to delete any exculpatory wording stating that failure of the insurer to mail written notice of cancellation imposes no obligation, and to delete the word "endeavor" with regard to any notice provisions. All insurance coverage and limits provided pursuant to this Agreement shall apply to the full extent of the policies involved, available or applicable. Nothing contained in this Agreement or any other agreement relating to the Authority or its operations shall limit the application of such insurance coverage. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf and are to be provided on standard ISO forms noted above. All endorsements are to be received and approved by the Risk Manager prior to the commencement of work. (h) No Limitation on other Insurance. Requirements of specific coverage features or limits contained in this Section 25 are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only and is not intended by any Party to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. (i) Subrogation. All general or auto liability insurance coverage provided pursuant to this Agreement, or any other agreements pertaining to the performance of this Agreement, shall not prohibit the Manager, its employees, or agents, from waiving the right of subrogation prior to a loss. The Manager hereby waives all rights of subrogation against the Authority, the Successor Agency to the Palm Desert Redevelopment Agency, and the City of Palm Desert. Page 331 of 570 DRAFT for DISCUSSION (j) Authority's Right to Purchase Replacement Insurance. In the event any policy of insurance required under this Agreement does not comply with these requirements or is canceled and not replaced, the Authority has the right but not the duty to obtain the insurance it deems necessary and any premium paid by the Authority will be promptly reimbursed by the Manager. (k) Proof of Insurance. The Manager shall provide proof that policies of insurance required herein expiring during the term of this Agreement have been renewed or replaced with other policies providing at least the same coverage. Such proof will be furnished not more than 72 hours after the expiration of the coverage(s). Any actual or alleged failure on the part of the Authority or any other of the Additional Insureds under these requirements to request or obtain proof of insurance required under this Agreement in no way waives any right or remedy of the Authority or any other of the Additional Insureds, in this or any other regard. (l) Subcontractor Proof of Insurance. (i) Subcontractors Performing Recurring Work or Work in Excess of $2500. The Manager shall require all subcontractors or other parties which provide (i) recurring services to the Properties, or (ii) services in excess of $2,500 in a six month Period (a "Major Subcontractor") to the Properties to provide the same minimum insurance coverage required of the Manager and Workers Compensation insurance to conform with the requirements of this section. The Manager agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. The Manager agrees that upon request, all agreements with Major Subcontractor, or others with whom the Manager contracts with on behalf of the Authority, will be submitted to the Authority for review. For purposes of this Section a contractor or party hired for the work shall be deemed to be performing "recurring work" in the event that contractor or party hired performs in excess of a single segregated or discrete project in any six-month period. The Manager agrees to obtain certificates evidencing such coverage and to make reasonable efforts to ensure that such coverage is provided as required herein. Failure of the Authority to request copies of such agreements will not impose any liability on or constitute waiver by the Authority of its rights hereunder. The Manager agrees to require that no contract used by any Major Subcontractor, or contracts the Manager enters into on behalf of the Authority, will reserve the right to charge back to the Authority the cost of insurance required by this Agreement. (ii) Subcontractors Performing Nonrecurring Work or Work Less Than or Equal to $2500. The Manager shall require all subcontractors or other parties which provide (i) nonrecurring services to the Properties, and (ii) services in an amount not to exceed $2,500 in a six-month Period (a "Nonrecurring Subcontractor") to provide Commercial General Liability insurance in the amounts set forth below and Workers Compensation insurance to conform with the requirements of this section. For purposes of Section 25, a contractor or party hired for the work shall be deemed to be providing "nonrecurring work," so long as that contractor or party hired for the work does not perform Page 332 of 570 DRAFT for DISCUSSION more than a single segregated or discrete project in a six-month period. In the event a Nonrecurring Subcontractor performs more than a single discrete project in a six-month period or work exceeding $2,500 in value, that Nonrecurring Subcontractor shall lose its status as a “Nonrecurring Subcontractor” and shall be automatically deemed a “Major Subcontractor”. The liability limits for Nonrecurring Subcontractors shall provide no less than $500,000 per occurrence for all coverages and $500,000 in the general aggregate. The Manager agrees to verify such coverage and make reasonable efforts to ensure that such coverage is provided as required herein. The Manager agrees to require that no contract used by any Nonrecurring Subcontractor, or contracts the Manager enters into on behalf of the Authority, will reserve the right to charge back to the Authority the cost of insurance required by this Agreement. The Manager agrees that upon request, all agreements with Nonrecurring Subcontractors, or others with whom the Manager contracts on behalf of the Authority, will be submitted to the Authority for review. Failure of the Authority to request copies of such agreements will not impose any liability on the Authority nor constitute a waiver of the rights of the Authority hereunder. 26. Compliance With Governmental Orders. The Manager will take such action as may be necessary to comply promptly with any and all governmental orders or other requirements affecting the Properties, whether imposed by federal, state, county or municipal authority. Notwithstanding the foregoing, the Manager shall take no such action so long as the Authority is contesting, or has affirmed its intention to contest, any such order or requirement. The Manager will notify the Authority in writing of all notices of such orders or other requirements as soon as possible from the time of their receipt. 27. Manager's Compensation. The Manager will be compensated for its services under this Agreement by monthly management fees. Such fees will be payable on the first day of each month, in arrears, for the services provided in the prior month for the term of this Agreement. For the purpose of this Section, the term ‘occupied units’ shall include those Units which are currently leased, on notice to vacate, or temporarily vacant due to a move out. The Management Fee (“Fee”) shall be calculated monthly according to the following schedule: (a) In the case of occupied units, each such monthly fee shall be in the amount of $49.00 per Unit per month commencing on January 1, 2024, and an increase of 3% commencing on January 1, 2026, and biannually every January 1st thereafter for the remainder of the Term of this Agreement including contract extensions, if any); except as follows: (i) For Units where a Notice of Termination of Tenancy (“Notice”) was provided by the tenant as required (30 calendar day notice) and a Unit remains vacant for 30 calendar days or more, the Manager will not be entitled to the monthly fee, except in those circumstances where the vacancy is the result of the Authority’s leasing process for affordable Units. (ii) For Units where no Notice was given, the tenant chose to ‘quit’ or the tenant skipped, and a Unit remains vacant for 45 calendar days or more, the Manager will not be entitled to the monthly fee. Page 333 of 570 DRAFT for DISCUSSION (a) In the case of unoccupied Units (except those Units described in Section 27(c-e) below), each such monthly fee shall be as follows: (i) $49.00 per Unit per month for the first four months for Units that have been determined, in the Authority’s sole and absolute discretion, to be ‘unrentable’ or ‘down’ due to physical condition or damage. Unless otherwise determined by the Authority, the Manager is expected to repair said Units within the four months. If the Manager fails to repair units within the given time, no fee will be paid until the unit is available for occupancy. (ii) No Fee will be paid for Units that are unrentable or down due to action or inaction by the Manager. (b) In the case of Units that are newly constructed or newly renovated which will be added to Exhibit A, the Fee shall be $10 per Unit per month commencing at such time as the construction/renovation has reached 90% completion as determined by the contractor’s billing until Certificate of Occupancy, in the case of new Units, or Certificate of Completion, in the case of renovated Units, is issued. (c) In the case of Units which were ‘down’, as described in Section 27(b)(i) and direction has been given to the Manager by the Authority not to repair said Units, commencing with the fifth month, the Fee shall be reduced to $20 per Unit per month until the Manager is no longer responsible for said Units. (d) Except as otherwise expressly provided in this Agreement, all employees not identified in Exhibit F and other overhead expenses of the Manager (including but not limited to costs of office supplies and equipment, postage, transportation, travel expenses for managerial personnel and telephone services) will be borne by the Manager. All services for management, accounting, and reporting, with exception of the Authority's requested annual audit, shall be borne by the Manager. In addition to the Management Fee, the site employees for the Properties shall be paid based on the Employee Salaries listed on Exhibit F attached hereto and incorporated herein by this reference. 28. Termination. (a) Authority Termination for Convenience. Authority may terminate this Agreement for convenience (a “Termination for Convenience”) by giving not less than 180 days written notice of termination. The notice of termination shall specify that the termination is for the convenience of the Authority. Upon a Termination for Convenience, the Authority shall continue to pay the Manager for all work performed up to the date of the Termination for Convenience. The Manager shall be compensated only for those services that have been satisfactorily rendered to the Authority until the date of the Termination for Convenience, and the Manager shall be entitled to no further Page 334 of 570 DRAFT for DISCUSSION compensation. Authority shall not be liable for any post-termination costs, lost profits, or other alleged damages resulting from a Termination for Convenience. (b) Termination For Cause: Either Party may terminate this Agreement with cause (a “Termination for Cause”) by giving written notice to the other Party not less than 90 days prior to the date of Termination for Cause. Any such written notice for cause shall specify the default or cause for termination. If the default or cause for termination specified has not been cured within 21 days of receipt of the notice, this Agreement shall terminate on the date of termination set forth in the notice. Upon termination, the Manager shall be compensated only for those services that have been satisfactorily rendered to the Authority until the date of the Termination for Cause, and the Manager shall be entitled to no further compensation. (c) Termination at End of Term/Extension: At least ninety (90) days prior to the automatic termination of this Agreement (the “Negotiation Period”), and unless either Party has given timely notice under this Section prior thereto, the Parties shall initiate negotiations for a new agreement for Property Management Services and use best efforts and engage in good faith negotiations to finalize such agreement and obtain final approval thereof prior to the automatic termination of this Agreement. In the event such good faith efforts are not completed before the expiration of the Term, or in the event either Party gives notice to the other during the Negotiation Period of its decision not to enter into a further term, this Agreement may be extended for not more than ninety (90) days after the giving of such notice or December 31, 2028, whichever is later, upon the written authorization of the Executive Director of the Authority. Good faith negotiations may include an extension of this Agreement up to an additional forty-eight (48) months provided that any such extension shall require the authorization of the Authority Board and shall be in writing, as an Amendment to this Agreement, signed by both Parties. Nothing herein shall prevent the Housing Authority Board from electing to issue a Request for Proposal for Property Management Services in lieu of negotiating with Manager. (d) Bankruptcy. In the event that a petition in bankruptcy is filed by either of the Parties, or in the event that either Party makes an assignment for the benefit of creditors to take advantage of any insolvency act, this Agreement shall automatically terminate. (e) Sale of Properties. This Agreement shall automatically terminate, upon the sale of the Properties, or as to any Property, on the sale of such Property, except that, this provision shall not apply in the event of a sale, transfer, or re-conveyance by and between the former Palm Desert Redevelopment Agency, the Authority, the Successor Agency to the Palm Desert Redevelopment Agency, the City of Palm Desert, and/or any related or successor agency or entity. (f) Addition of Properties. In the event the Authority adds a property to its operations portfolio, the Manager and Authority’s designee may agree in writing to amend Exhibit A for the inclusion of said property. Such amendment shall be subject to the terms and conditions herein from the effective date of the amendment. Page 335 of 570 DRAFT for DISCUSSION (g) Exchange of Documents. Upon termination of this Agreement, the Manager will submit to the Authority any financial statements requested by the Authority and, after the Parties have accounted to each other with respect to all matters outstanding as of the date of termination, the Authority will furnish the Manager security in form and principal amount satisfactory to the Manager against any obligations or liabilities which the Manager may properly have incurred on behalf of the Authority hereunder. All of the cash trust accounts, investments, equipment and records for the Properties will be turned over to the Authority within 30 days of the date this Agreement is terminated. The Parties hereby covenant and agree that the Authority shall own the books and records for the Properties and that the Manager shall hold the books and records for the Properties for the benefit of the Authority for an agreed upon period at the time of termination. 29. Manager's Indemnification. Subject to the Manager's indemnification obligations hereunder as set forth in Section 24, the Parties understand and agree: (a) That the Authority has assumed and will maintain its responsibility and obligation through the Term of this Agreement for the finances and the financial marketability of the Properties; and (b) That the Manager shall have no obligation, responsibility or liability to fund authorized costs, expenses, or accounts other than those funds generated by the Properties themselves or provided to the Properties or to the Manager by the Authority. In accordance with the foregoing, the Authority agrees that the Manager shall have the right at all times to withdraw payment of its compensation, as provided for under Section 27 of this Agreement, from the General Operating account or accounts, immediately when such compensation is due and without regard to other property obligations or expenses conditioned on the Manager having satisfactorily discharged all duties and responsibilities under this Agreement. Moreover, the Authority hereby indemnifies the Manager and agrees to hold it harmless with respect to costs, expenses, accounts, liabilities and obligations of the Properties during the Term of this Agreement and further agrees to guarantee to the Manager the payment of its compensation under Section 27 of this Agreement during the Term of this Agreement to the extent that the Operating and Maintenance Account for the Properties are insufficiently funded for this purpose. Failure of the Authority at any time to abide by and to fulfill the foregoing shall be a breach of this Agreement entitling the Manager to obtain from the Authority, upon demand, full payment of all compensation owed to the Manager through the date of such breach. 30. Prohibition Against Assignment and Subcontracting Management Services. The Manager shall not assign this Agreement or subcontract any management or other services, without the express prior written consent of the Authority. 31. Notices. Except as otherwise provided by law, any and all notices or other communications required or permitted by this Agreement or by law to be served on or given to either Party to this Agreement by the other Party shall be given in writing. All such notices or other communications shall be deemed duly served and given when personally delivered to the Party to whom they are so directed, or in lieu of personal Page 336 of 570 DRAFT for DISCUSSION service when deposited in the United States mail, first-class postage prepaid, addressed to the respective Party as set forth below: To the Authority: Palm Desert Housing Authority 73-510 Fred Waring Drive Palm Desert, CA 92260 Attention: Housing Manager To the Manager: ________________________ ________________________ ________________________ Either Party may change its address for the purpose of this Section 31 by giving written notice of the change to the other Party in the manner provided in this Section. 32. General Provisions. (a) Binding on Successors and Assigns. At all times, this Agreement will inure to the benefit of and constitute a binding obligation upon the Parties and their respective successors and assigns. (b) Entire Agreement and Allowable Changes. This Agreement constitutes the entire Agreement between the Authority and the Manager with respect to the management and operation of the Properties, and all prior agreements between the Authority and the Manager regarding the subject matter of this Agreement are hereby superseded and replaced. Changes hereto must be made by supplemental written agreement signed by the Parties. Exhibits hereto may be amended as necessary by the written agreement of the Parties. (c) Attorneys' Fees. If any litigation is commenced between the Parties concerning the Properties, this Agreement, or the rights and duties of either Party with respect to this Agreement, the Party prevailing in the litigation shall be entitled, in addition to any other relief that may be granted in the litigation, to reasonable attorneys' fees and costs. (d) Ambiguities. Each Party and their counsel have participated fully in the drafting of this Agreement. Any rule of construction to the effect that ambiguities are to be resolved against the drafting Party shall not apply in interpreting this Agreement. (e) Severability of Agreement. If a court or an arbitrator of competent jurisdiction holds any provision of this Agreement to be illegal, unenforceable or invalid in Page 337 of 570 DRAFT for DISCUSSION whole or in part for any reason, the validity and enforceability of the remaining provisions, or portions of them will not be affected. (f) Approval by Authority. Whenever a provision of this Agreement requires the delivery of documents or reports, notifications, determinations, reimbursements or requests for funding, review, authorization or approval of the Authority, such approval may be given by the Executive Director of the Authority or his/her designee, unless Authority Board action is specified in this Agreement. (g) Word Usage. Unless the context clearly requires otherwise, (a) the plural and singular shall each be deemed to include the other; (b) the masculine, feminine, and neuter genders shall each be deemed to include the others; (c) "shall," "will," or "agrees" are mandatory, and "may" is permissive; (d) "or" is not exclusive; and (e) "includes" and "including" are not limiting. Page 338 of 570 DRAFT for DISCUSSION IN WITNESS THEREOF, the Parties have executed this Agreement on the date first above written. Authority: PALM DESERT HOUSING AUTHORITY, a public body, corporate and politic By: _______________________________ ___________, Chairman ATTEST: __________________________________ ___________, City Clerk APPROVED AS TO FORM: __________________________________ Special Counsel Manager: By: _______________________________ Title: By: _______________________________ Title: Page 339 of 570 DRAFT for DISCUSSION EXHIBIT A (PROPERTIES) PALM DESERT HOUSING AUTHORITY AFFORDABLE HOUSING UNITS 1. One Quail Place 72-600 Fred Waring Drive 156-one bedroom, 228-two bedroom (384 Total Units) Amenities: Gated Community, 4 Pools, 4 Spas, 4 Tennis Courts, Head Start Day Care Center, Community Courtyard with Picnic Area, Children's Play Area, Resident Library, Laundry Facilities and Covered Parking 2. Desert Pointe 43-805 Monterey Avenue 34-studio, 24-one bedroom, 6-two bedrooms (64 Total Units) Amenities: Pool, Children’s Play Area, Gathering Area, Laundry Facilities and Covered Parking 3. Neighbors Apts. 73-535 Santa Rosa Way 24-two bedrooms (24 Total Units) Amenities: Pool, Laundry Facilities and Covered Parking 4. The Pueblos Apts. 73-695 Santa Rosa Way 15-one bedroom units (15 Total Units) Amenities: Pool, Adjacent Community/Resident Services Building, Laundry Facilities and Covered Parking 5. Catalina Gardens 73-600A Catalina Way 48-studios, 24-one bedroom (72 Total Units) Amenities: Pool, Laundry Facilities, Covered Parking and Community/Resident Services Building 6. Taos Palms 44-830 Las Palmas Avenue 16-two bedroom (16 Total Units) Amenities: Gated Community with Telephone Entry Access, Pool, Laundry Facilities and Privacy Railings 7. Las Serenas 73-315 Country Club Drive 100-one bedroom, 50 one-bedroom + Den (150 Total Units) Page 340 of 570 DRAFT for DISCUSSION Amenities: Resident Service Building, Computer Room with Internet Access, 3 Pools, 1 Spa, Laundry Facilities and Covered Parking 8. Laguna Palms 73-875 Santa Rosa 4 studios, 16 one-bedroom, 28 two-bedroom (48 Total Units) Amenities: Pool, Laundry Facilities, Community Gathering Area 9. California Villas 77-107 California Drive 140 one-bedroom, 1 two-bedroom (141 Total Units) Amenities: Resident Service Building, Computer Room with Internet Access, Library, Pool, Spa and Laundry Facilities 10. Palm Village Apartments 73-650 Santa Rosa Way 36 two-bedroom (36 Total Units) Amenities: Laundry Facilities and Covered Parking 11. Candlewood Apartments 74000-74002 Shadow Mountain Drive 26 one-bedroom, 4 two-bedroom (30 Total Units) Amenities; Laundry facilities, Pool and a Spa 12. La Rocca Villas 42-135 Golden Eagle Lane 27 one-bedroom (27 Total Units) Amenities: Laundry Facility, Resident Service Building, Common Area, Covered Parking and ADA Accessibility 13. Sagecrest Senior (includes vacant property to the North and West) 73-811 Santa Rosa Way 14 Studios (14 Total Units) Amenities: Covered Carport Parking, Community Courtyard, Elevator 14. Desert Rose/Falcon Crest Single Family Residences Various locations throughout the developments which are owned by the Authority. Specific units will be assigned during the term of the agreement by written amendment to this Exhibit. Page 341 of 570 EXHIBIT B [intentionally omitted] Page 342 of 570 EXHIBIT C MANAGEMENT OFFICES Location of Management Offices One Quail Place (located in management office) Las Serenas (located in management office) Catalina Gardens (located in management office) Desert Pointe (located in management office) California Villas (located in management office) Laguna Palms (located in management office) Locations Managed One Quail Place Las Serenas and La Rocca Villas Catalina Gardens, The Pueblos, Candlewood Apartments, and Sagecrest Senior Desert Pointe, Taos Palms and Neighbors Apartments California Villas Laguna Palms and Palm Village Apartments Page 343 of 570 EXHIBIT D DEPOSIT ACCOUNTS The following security deposit accounts shall be maintained by the Manager for the benefit of the Authority: The following operating deposit accounts shall be maintained by the Manager for the benefit of the Authority: Page 344 of 570 EXHIBIT E NON-COLLUSIVE AFFIDAVIT FORM AFFIDAVIT State of California ) )ss. County of Riverside ) ___________________________, being first duly sworn, deposes and says: That he is ___________________________, the party making the foregoing proposal or bid, that such proposal or bid is genuine and not collusive or sham; that said bidder has not colluded, conspired, connived or agreed, directly or indirectly, sought by agreement or collusion, or communication or conference, with any person, to fix the bid price or affiant, or of any other bidder or to fix any overhead profit or cost element of said bid price, or that of any other bidder or to secure any advantage against the _________________________________________ or any person interested in the proposed contract, and that all statements in said proposal or bid are true. Signature of Person Making Affidavit: ____________________________________ Subscribed and sworn to me this _______ day of __________________, 20___ My commission expires __________________, 20___ Notary Public Signature:_______________________ Official Seal: Page 345 of 570 EXHIBIT F PROPERTY STAFFING & SALARY RANGES To be provided annually with the property budgets. Page 346 of 570 EXHIBIT G PERFORMANCE CRITERIA 1. PROPERTY PORTFOLIO NET OPERATING INCOME COMPARISON a. Current Budget Year: July - June b. Budgeted vs. Actual = Variance c. Vacancy Rate Analysis 2. RESPONSE TO RESIDENT COMPLAINTS a. Response to service requests/turn around time b. Response to resident complaints and concerns - monthly meetings c. Response to resident complaints and concerns at site office 3. COMPLIANCE WITH AGREEMENT a. Define any notable gross disparities from the Agreement on the following: i. Report preparation and submittal promptness ii. Responsiveness to Authority requests iii. Method of accounting 4. CAPITAL IMPROVEMENTS SCHEDULE a. Deferred Capital Improvement Schedule b. Capital Improvement Program c. Maintenance and general appearance of properties 5. OPERATIONS a. Operational procedures to be audited: i. Compliance with Stipulation ii. Compliance with all laws including those related to property management, Fair Housing, and housing authorities iii. Recertification iv. Internal controls v. Contract controls Page 347 of 570 6. ACCOUNTING AUDIT a. Review of Annual Audit Findings b. Quarterly Audits 7. AFFORDABLE HOUSING PROGRAM a. Housing Authority goals b. Management Company goals c. Program implementation d. Compliance with local, state, and Federal regulations e. Tenant Household Income Analysis 8. RESIDENT RELATIONS a. Review summary responses of any resident surveys b. Establishment of Tenant Exit Survey 9. GENERAL a. General overview of previous operational year Page 348 of 570 EXHIBIT H LIST OF FINANCIAL REPORTS REQUIRED Monthly Reports 1. Payroll register and invoices (may be submitted after every payroll or monthly). 2. Management Fee Report that includes Vacancies/Current Rental Activity submitted with invoice. 3. Disbursement/Expense Journals for each check run. 4. General Ledgers for all Properties. 5. Check Registers for all Properties. 6. Monthly Bank Reconciliations with Outstanding Check Registers. 7. Balance Sheets and/or Trial Balances for all Properties. 8. Rent Rolls for all Properties. 9. Delinquent A/R for all Properties. 10. Prepaid Listing for all Properties. 11. Income Statements with Monthly Budget Variance as well as Annual Variance. 12. Monthly Adjusting Journals. 13. Cash Receipts Journals. Quarterly Reports 1. Security Deposit List for all Properties (If not included in the monthly rent roll) 2. Status Report on Items over 90 days (Requests to the Board for write offs, etc.) Page 349 of 570 Annual Reports Required At Fiscal Year End: 1. Schedule of Accounts Payable 2. Schedule of Accounts Receivable 3. Inventory of all Agency and Authority personal property and readily removable fixtures attached to the Properties. 4. Preliminary sets of Monthly closing reports, when requested. 5. Once audited, Final Set of all June Closing Reports 6. Schedule of Security Deposits Matching the Cash Held 7. The Report described in Section 21 At Calendar Year End: 1. Copies of the transmittals for Federal Reporting Requirements for W-2's and 1099's Analytical Reports: 1. Upon request of the Authority, reports analyzing various information required in the above Financial Reports (May include summaries of all properties and/or multi-year information). Page 350 of 570 EXHIBIT I Leasing Reports: 1. Monthly Occupancy and Average Rent Statement 2. Monthly Net Operating Income Statement 3. Replacement Lists maintained continuously due at least once annually on June 30. 4. Resident Demographics Report 5. Service Request and Serious Complaints 6. Other reports as requested or as necessary to perform the requirements of the Agreement. Page 351 of 570 EXHIBIT J On-going services requiring written cost estimates will adhere to the City of Palm Desert’s purchasing policy procedures set for the in Ordinance No. 1392 of the City of Palm Desert, and any amendments thereto as required in Section 21 of the Management Agreement as well as for services listed below: 1. Landscape Contracts a. Monthly Services b. Annual Services including tree trimming, overseeding, and perennial flowers 2. Pest Control 3. Pool Services 4. Replacement Carpet and Vinyl 5. Laundry Services 7. Air Conditioning/Heating Unit Servicing, Cleaning, and Replacement Services 8. Carpet Cleaning 9. Flooring and Housekeeping Cleaning Services 10. Environmental Testing and Cleaning Services 11. Moving Company Services 12. Golf Cart Repair and Maintenance Services 13. Courtesy Patrol Services 14. Towing Services 15. Solar Maintenance Services 16. Elevator Maintenance Services Page 352 of 570 EXHIBIT K NON-EXCLUSIVE LIST OF REQUIRED AND PERMISSIVE BACKGROUND CHECK INFORMATION BY TYPE OF FUNDING Source of Information Information Federal Funds Involved Federal Funds Not Involved Investigation Disclosure & Consent Investigation Disclosure & Consent Law Enforcement Agencies Illegal Drug Use Required Housing Authority must require & applicant must consent May obtain Must notify applicant, if basis for denial Drug use that Interferes with Health & Safety of Others Required Housing Authority must require & applicant must consent May obtain Must notify applicant, if basis for denial Sex Offenses Required Housing Authority must require & applicant must consent May obtain Must notify applicant, if basis for denial “Serious” crimes • Murder, mayhem, rape, burglary • Hate crimes • Offenses such as firearms, explosives • Felonies involving drugs, alcohol • Domestic Violence Required Housing Authority must require & applicant must consent May obtain Must notify applicant, if basis for denial Juvenile Records Prohibited N/A Prohibited N/A Arrests Not Resulting in Conviction Prohibited N/A Prohibited N/A State / Federal Government Social Security Numbers Required Housing Authority must require & applicant must consent May obtain Application must indicate disclosure is voluntary Page 353 of 570 Citizenship / Residency Required Housing Authority must require & applicant must consent Prohibited N/A. But if Housing Authority has unsolicited evidence that applicant is undocumented, it must reject the application. Income / Family composition & tax info, to verify eligibility Required Housing Authority must require & applicant must consent Required Housing Authority must require & applicant must consent. Credit Agencies Investigative Consumer Report • Credit History • Character • Reputation • Personal Characteristics • Mode of Living May Obtain Housing Authority must notify applicant May Obtain Housing Authority must notify applicant • Convictions • Civil Actions • Tax Liens • Outstanding Judgements May Obtain but only if credit agency has verified information with 30 days of disclosure Housing Authority must notify applicant May Obtain but only if credit agency has verified information with 30 days of disclosure Housing Authority must notify applicant • Bankruptcies more than 10 years prior • Civil judgement more than 7 years old Prohibited N/A Prohibited N/A Public Records Obtained from Other Sources; Interviews with Neighbors, Friends & Associates Relevant background information • Creditworthiness • Credit Standing • Credit Capacity • Civil Actions • Convictions • Tax Liens • Outstanding Judgements • Character May Obtain Must notify applicant, if basis for denial. Consent recommended. May Obtain Must notify applicant, if basis for denial. Consent recommended. Page 354 of 570 • General Reputation • Personal Characteristics • Mode of Living In addition to credit reporting agencies, background check information may be obtained from Westlaw, Lexis, DataQuick, Merlin, Choice Point, and similar reputable resources. SAMPLE CONSENT BY APPLICANT “I understand that the Housing Authority or its agent will perform a background check as a part of determining eligibility, including but not limited to obtaining information concerning my employment, credit history, benefits, income, assets, and criminal history, and by my signature below, I hereby authorize the Housing Authority or its agent to do so.”“I certify that the statements on this application are true and complete to the best of my knowledge and belief and I understand that they will be verified. I understand that any false statements made on this application or failure to make any required disclosures may cause me to be disqualified from initial or continuing eligibility for housing assistance and may result in eviction. I further understand that I am under a continuing obligation to inform the Housing Authority or its agent of any changes to any of the information provided in this Application, and that failure to promptly inform the Housing Authority or its agent of any changes may cause me to be disqualified from initial or continuing eligibility for housing assistance and may result in eviction.” Page 355 of 570 Page 356 of 570 CITY OF PALM DESERT CITY MANAGER’S OFFICE INTEROFFICE MEMORANDUM Date: October 12, 2023 To: Honorable Mayor and Councilmembers From: Anthony J. Mejia, City Clerk Subject: City Council Meeting of October 12, 2023 Below you will find questions received from the Mayor or Councilmembers and answers provided by City staff regarding tonight’s City Council meeting: ITEM 14a: AWARD OF CONTRACT FOR AFFORDABLE HOUSING COMPLIANCE AND PROPERTY MANAGEMENT SERVICES TO FALKENBERG/GILLIAM AND ASSOCIATES, INC., FOR A FIVE-YEAR TERM, WITH AN INITIAL ANNUAL COST FOR CALENDAR YEAR 2024 IN AN AMOUNT NOT TO EXCEED $655,032 Q1: Did the previous contract expire? If the City decided to not renew the contract, was it a matter of cost, or was there cause? A1: The current management agreement expires December 31, 2023. An RFP is customary when the term expires. The current management company did not submit a proposal. ITEM 14b: INTRODUCTION OF AN ORDINANCE AMENDING CHAPTER 5.04 OF THE PALM DESERT MUNICIPAL CODE REGARDING BUSINESS LICENSING AND TAXING PROCEDURES, AND MAKING A FINDING OF EXEMPTION UNDER CEQA Q1: Will the City Council get notifications about revocations or suspensions independent of Consent Calendar items? A1: Yes, City staff will copy the City Council on any suspension and revocation letters. ITEM 14d: AWARD CONTRACT TO SPORTS FACILITIES MANAGEMENT, INC., FOR THE MANAGEMENT AND OPERATION OF THE PALM DESERT AQUATIC CENTER Q1: In reviewing the materials there are ideas for movie night and food trucks; however, is there going to be future discussion on adding water features to the Aquatic Center? When will the City Council be presented with a fee structure and a 5-year business plan from this new company and how much will the City need to subsidize? A1: The Fiscal Year 2023/24 CIP budget includes $100,000 for design of updates to the aquatic center. City staff intend to target new water features, outdoor showers, heaters, and other updates to the pump room including the filtration system. The 5-year management fee structure for Sports Facilities Management’s operation of the facility is included in the staff report under Financial Impact. Estimated costs for salaries and other expenses to support the aquatic center are also included in the table. If the contract is awarded to SFM, City staff will work with their team to approve a transitional plan leading up to the January 1, 2024, full- facility operation, and a business plan to set targets for the next 5 years. Page 357 of 570 10/12/2023 Question & Answer Memo Page 2 of 2 The updated scope of work for the management contract also includes metrics that will be helpful for financial analysis. Considering the fee increase effective January 1, 2024, City staff will analyze data available through Summer 2024 to determine how the fees and new management contract have impacted operations from both the revenue and expense sides. Page 358 of 570 Page 1 of 2 CITY OF PALM DESERT STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Richard D. Cannone, AICP, Development Services Director REQUEST: INTRODUCTION OF AN ORDINANCE AMENDING CHAPTER 5.04 OF THE PALM DESERT MUNICIPAL CODE REGARDING BUSINESS LICENSING AND TAXING PROCEDURES, AND MAKING A FINDING OF EXEMPTION UNDER CEQA RECOMMENDATION: Introduce an ordinance entitled, “AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, UPDATING CHAPTER 5.04 REGARDING BUSINESS LICENSING AND TAXING AND MAKING FINDINGS UNDER CEQA.” BACKGROUND/ANALYSIS: City Council provided prior direction to City staff to update the business license suspension procedures in Chapter 5.04, to grant the City Manager the ability to suspend a business license without having to wait for City Council authorization. The suspension and revocation procedures of that chapter were originally adopted in 1974 and were last updated in 1983 to a lign with best practices at the time. On August 24, 2023, the City Council provided additional feedback and direction that the appeal body would remain as City Council instead of delegating that to a hearing examiner. The update to Chapter 5.04 includes:  Logical reorganization – The proposed Ordinance includes essentially the same parts as the existing municipal code chapter but reorganizes the chapter in a more logical way so that there are fewer main sections with each main section being divided into subsections titled by descriptive headings. The sections have been restructured in a more user-friendly manner and simplified, making it easier for businesses and individuals to navigate and understand the City’s business licensing and tax requirements. For example, the existing chapter includes several different sections on exemption procedure, statutory exemptions, and specific exemptions that have been tacked on at different times. The proposed Ordinance includes a single section on exemptions that includes subsections detailing the process for claiming an exemption, statutory/Constitutional exemptions, and specific exemptions a llowed by the City.  Updated definitions – The proposed Ordinance updates several definitions, removes superfluous definitions, and adds a few definitions, such as “tax administrator” and “city manager” for clarity. Page 359 of 570 City of Palm Desert Chapter 5.04 Business License Update Page 2 of 2  Updated procedures – The procedures for decision-making, notice, and appeal have been improved. The proposed Ordinance includes updated processes for the tax administrator (defined as finance director, or that person’s designee) to make decisions regarding exemptions, license taxes due, penalties, and for the city manager (defined as the city manager or that person’s designee) to make decisions related to modifications/suspensions/revocations of existing licenses. For example, the city manager may make a determination to modify, suspend, or revoke a business license without having to first get City Council authorization to make such a determination. The proposed Ordinance also includes several grounds for which a license may be modified, suspended, or revoked, whereas the existing code sect ion did not provide as much guidance. The City Council will hear all timely appeals, including those from modification, suspension, or revocation notices issued by the tax administrator. The appeals procedures are more detailed to ensure due process for th e appellant and provide a roadmap for staff and the City Council.  Remove or update outdated references - The existing code chapter was drafted in the 1970s with several amendments made in the 1980s. As such, the proposed Ordinance removes several outdated references and wording. The proposed Ordinance also adjusts exemption amounts for inflation. Legal Review: This report has been reviewed by the City Attorney’s office and staff worked with the City Attorney’s office in drafting the attached Ordinance. FINANCIAL IMPACT: There is no fiscal impact associated with the adoption of this ordinance . ATTACHMENT: Draft Ordinance Page 360 of 570 ORDINANCE NO. ______ AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, UPDATING CHAPTER 5.04 REGARDING BUSINESS LICENSING AND TAXING AND MAKING FINDINGS UNDER CEQA THE CITY COUNCIL OF THE CITY OF PALM DESERT DOES ORDAIN AS FOLLOWS: SECTION 1. Amendment to Municipal Code. Palm Desert Municipal Code Chapter 5.04 Business Licensing and Taxing is amended to read as follows: “Chapter 5.04 Business Licensing and Taxing 5.04.010 Definitions. The following definitions shall apply in this title: “Applicant” means a person applying for a business license pursuant to this title. “Business” means any commercial enterprise, trade, calling, art, vocation, profession, occupation, or means of livelihood, whether or not carried on fro gain or profit. “City manager” means the city manager or that person’s designee. “Contractor” for the purpose of this title is synonymous with the term “builder” and, within the meaning of the title, a contractor is any person who undertakes to, or submits a bid to, or does oneself or through others, construct, alter, repair, add to, subtract from, improve, move, wreck or demolish any building, highway, road, parking facility, railroad, excavation or other structure, project, development or improvement, or to do any part thereof, including the erection of scaffolding or other structures or works in connection therewith. “Contractor” includes subcontractor, specialty contractor, and owner/builder. “Gross Receipts” includes the total amounts actually received or receivable from sales and the total amount received or receivable for the performance of any act or service for which a charge is made or credit allowed, when done as a part of or in connection with a sale of materials, goods, wares, or merchandise. Included in “g ross receipts” are all receipts, cash, credits, and property of any kind without deduction of the cost of the property sold, the cost of materials used, labor or service costs, interest paid or payable, or losses or other expenses. Excluded from “gross rec eipts” are the following: 1. Cash discounts allowed or taken on sales; Page 361 of 570 2. Credit allowed on property accepted as part of the purchase price and that property may later be sold; 3. Any tax required by law to be included in or a dded to the purchase price and collected from the consumer or purchaser; 4. Such part of the sale price of property returned by purchasers upon rescission of the contract of sales as is refunded in either cash or by credit; 5. Amounts collected for others where the business is acting as an agent or trustee to the extent that such amounts are paid to those for whom collected provided, the agent or trustee has furnished the tax administrator with the names and addresses of the others and the amounts paid to them; 6. That portion of the receipts of a general contractor that represents payments to subcontractors licensed under this ordinance and provided the general contractor furnishes the tax administrator with the names and addre sses of the others and the amounts paid to them; 7. Receipts of refundable deposits, except that refundable deposits forfeited and taken into the income of the business shall not be excluded; 8. As to a real estate agent or broker, the sales price of real estate sold for the account of others except that portion that represents commission or other income to the agent or broker; 9. As to retail gasoline dealers, a portion of his receipts from the sale of motor vehicle fuels equal to the motor vehicle fuel license tax imposed by and previously paid under the provisions of Part 2 of Division 2 of the Revenue and Taxation Code of the state; 10. As to retail gasoline dealers, the special motor fuel tax imposed by Section 4041 of Title 26 of the United States Code if paid by the dealer or collected by him from the consumer or purchaser; 11. Those gross receipts attributed to activities carried on wholly out of the city by a person who has a fixed place of business wi thin the city. Such person attributing all gross receipts out of the city shall pay the minimum license tax fee. “Operate” means to conduct a business and includes all stages of conducting a business from initial planning to the wind -down of a business, whether or not a profit is being made. “Owner/builder” means an individual authorized by this code to do construction or install equipment in or on buildings on premises used exclusively for a single -family residence, of which the individual is the legal owner and is where the individual reside s intends to reside. Owner/builder shall pay fees herein the same as a general contractor Page 362 of 570 if the residence is offered for sale within one year after the date of completion of the same. “Person” means any individual, firm, partnership, joint venture, association, corporation, limited liability company, estate, trust, receiver, syndicate or other group or combination acting as a unit and includes the plural as well as the singular number. “Sworn statement” is an affidavit or a declaration or certification made under penalty of perjury. “Tax administrator” means the director of finance or that person’s designee. 5.04.020 Administration. A. General administration. 1. Unless otherwise provided, the tax administrator shall administer and enforce this ordinance. The tax administrator shall examine each place of business in the city to determine whether this title is being complied with. 2. The tax administrator may file complaints and make a rrests for any violation of this ordinance; and enter free of charge during regular business hours any place of business for which a license or permit is required and demand the exhibition of the license or permit. 3. The tax administrator may extend the t ime for filing information, compromise disputed claims as to license tax, create and adopt forms, and adopt administrative regulations necessary to carry out the provisions of this title. B. Confidentiality. The tax administrator and each representative of the city having an administrative duty shall keep confidential all information concerning the business affairs and operations obtained by an investigation of records in the discharge of official duty and the amount and source of income, profits, losses, expenditures set forth in any statement or application. However, this section does not prevent disclosure: 1. Of examination of records and equipment used by another city official, employee or agent for collection of taxes for the sole purpose of administering or enforcing any provisions of this chapter or collecting taxes imposed under this title; 2. Of information to, or the examination of records by federal or state officials, or the tax officials of any city or county or the tax offici als of the city, and its auditors if a reciprocal arrangement exists or to a grand jury or a court of law, upon subpoena; 3. Of information and results of examination of records of particular taxpayers to a court of law in a proceeding brought to determine the existence or amount of any business tax liability to the city. Page 363 of 570 4. To the taxpayer or the taxpayer’s successor, administrator, assignee, or guarantor, if directly interested, of information as to the items included in the measure of the paid tax, unpaid tax or amount of tax required to be collected, interest and penalties. However, the city attorney must approve each such disclosure and the tax administrator may refuse to make the disclosure referred to in this paragraph when in the ta x administrator’s opinion the public interest would suffer; 5. Of the name and address of a person to whom a license is issued, and the general type or nature of the business; 6. By way of public meeting or otherwise of such information as may be necessary to the City Council to permit it to be fully advised as to the facts when a taxpayer files a claim for refund of license taxes, or submits an offer of compromise with regard to a claim asserted against taxpayer by the city for license taxes, or when acting upon any other matter; 7. Of general statistics regarding taxes collected or business done in the city. C. Errors not prejudicial. No error by the tax administrator or any other officer, employee, or agent of the city in the application of this title shall prevent, prejudice, or estop the collection by or for the city of the full amount of tax owed by any person under this title. 5.04.030 License requirements. A. License and tax payment required. Business license taxes in the categories and amounts prescribed by City Council resolution are imposed upon the businesses and persons specified in this title, and no person shall transact and carry on any business without having procured a license from the city to do so, without having paid the business license tax or without complying with any and all regulations of such business contained in this title. B. Evidence of doing business. When a person advertises, holds out, or represents that the person is in business in the city, or when the person holds an active license or permit issued by a governmental agency indicating that the person is in business in the city, or when the person fails to deny by a sworn statement given to the tax administrator that the person is not cond ucting a business in the city, after being requested to do so by the tax administrator, then these facts are prima facie evidence that the person is conducting a business in the city. C. Multiple locations. A separate license must be obtained for each branch establishment or location of the business transacted and carried on and for each separate type of business at the same location. A warehouse and a distributing plant used in connection with a business licensed under this title is not a separate plac e of business or branch establishment within the meaning of this section. Page 364 of 570 D. Constitutional apportionment. If a person believes that the license places an undue burden upon interstate commerce or violates the equal protection or due process clause of the state or federal constitution, the person may apply to the tax administrator for an adjustment of the tax. The applicant shall by sworn statement and supporting testimony show the method of business and the gross volume or estimated gross volume of business and such other information as the tax administrator considers necessary. The tax administrator shall conduct an investigation and after obtaining the written approval of the city attorney shall fix as the license tax an amount that is reasonable and nondiscriminatory. In fixing the license tax, the tax administrator may base the license tax upon a percentage of gross receipts or other measure that assures that the license tax is uniform with that assessed on businesses of like nature. However, the amount fixed shall not exceed the license tax prescribed by this title. 5.04.040 License tax exemptions. A. General exemptions. This title does not apply to a person transacting and carrying on a business exempt by the Constitution or statute of the United States or of the State from the payment of the tax prescribed. B. Specific exemptions. 1. Charitable/nonprofit organizations. The following organizations and activities are exempt from payment of the license tax: (1) a business conducted as a charitable purpose or from that no profit is earned; (2) the conduct of entertainment, concert, exhibition or lecture on scientific, historical, literary, religious or moral subjects, whenever the receipts are for a religious, educational or charitable purpose; and (3) the conduct of entertainment, dance, concert, exhibition or lecture by a religious, charitable, fraternal, educational, amateur theatrical group, military, state, county or municipal organization or association, whenever the receipts are for the purpose and objects for which the organization or association is formed, and from that profit is not derived, directly or indirectly, by any individual. 2. Disabled veterans. A disabled veteran holding an honorable discharge from a branch of the military service of the United States is exempt from the payment of the license tax prescribed in this title, if the veteran is physically unable to earn a livelihood by manual labor and is a qualified voter of the State. 3. Minor having minimum gross receipts. A person doing business who is a minor under 18 years old and whose gross receipts do not exceed forty five hundred dollars ($4,500) shall be exempt from the requirements of this title. 4. Artist and art exhibits. A business license shall not be required of individual artists for the exhibition or display of paintings, sculpture, photographs or other fine arts in public buildings, art galleries, or in any business establishment if the exhibition or display is incidental to the primary business Page 365 of 570 conducted on the premises, and is primarily for cultural and educational purposes. Any artist shall be exempt from the requirements of this title if the sales of the artist’s art work within the city do not result in annual gross receipts in excess of five thousand five hundred ($5,500) dollars. 5. Certain retirees. A no-fee business license shall be issued to those individuals on a retirement system such as social security, private or public pension plan, making less than sixteen thousand five hundred ($16,500) dollars per year and over the age of sixty five years, upon showing evidence of such. C. Procedures for exemptions. 1. Any person claiming an exemption under this section shall file a sworn statement with the tax administrator stating the facts upon which exemption is claimed. In the absence of such statement substantiating the claim, such person shall be liable for the payment of the taxes imposed by this title. 2. Upon a proper showing contained in the sworn statement, the tax administrator shall issue a license to such person claiming exemption under this section without payment to the city of the license tax required by this title. D. Additional requirements. A license tax exemption granted pursuant to this chapter do not exempt the person conducting the business from complying with the license and permit requirements of this title. 5.04.050 Application, issuance, and renewal. A. Application and contents. A person required to have a license under this title shall file a written application with the tax administrator upon a form provided by the tax administrator. The application shall contain the name of applicant, the business licensed, the business’s location, the license expiration date, and such other information as the tax administrator proscribes. B. Verification. The tax administrator, each inspector, and each police officer may inspect the books and records of a person to determine the amount of license fe e due and to verify the information supplied by the licensee or applicant. Every person by signing an application consents and agrees to permit the city to examine the person’s books and records for these purposes. Each person subject to this title shall k eep complete records of business transactions, including sales, receipts, purchases, and other expenditures, and shall retain them for examination by the tax administrator. The records shall be maintained for a period of at least six (6) years. Each person required to keep records under this section shall allow authorized representatives of the tax administrator to examine the records at reasonable times and places. The city may subpoena the books and records of any person who refuses to make them available to the city. Page 366 of 570 C. Consultation. The tax administrator will process the application and may consult with other city departments to determine whether the business and business premises meet the requirements of state law and the municipal code. D. Issuance. Upon receiving the approval of departments to which the application has been referred and, where necessary, the city manager’s approval, the tax administrator shall prepare and issue the license. E. Renewal. When a licensee applies for a renewal of the lic ensee’s license, the licensee shall file a written statement upon a form prescribed by the tax administrator, setting forth information concerning the business during the preceding year that the tax administrator required to fix the amount of the license t ax. F. Effect of indebtedness. A license will not be issued if the applicant is indebted to the city for any unpaid license fee, unless the applicant is permitted to enter into an agreement with the city to pay such delinquent taxes. G. License tax determinations. 1. When reviewing an application, conducting an independent audit, or otherwise, the tax administrator may determine the amount of license tax due, using the information provided by the applicant, licensee, or other person or found during the audit. 2. When the tax administrator makes the determination, the tax administrator shall give a notice of the amount by personal service or first -class mail. Service is deemed effective on the date it is personally delivered or deposited in the mail. If the business maintains a physical location within the city, any notice or decision shall be posted on the site at which the business is located. Failure of any person to receive a notice properly served under this section does not affect the validity of the notice, service, decision, or any action or proceeding under this section. 3. The person may appeal the tax administrator’s determination according to this chapter. If the applicant or licensee does not appeal within the time prescribed, the amount so assessed shall be final and shall immediately be due and owing to the city, but penalties as provided in this title shall continue to accrue until paid. H. Deviation. There shall be no deviation in fees, penalties, or due dates, unless, specifically authorized by formal City Council action, after written request by the applicant through the tax administrator on forms provided by the city. 5.04.060 General license terms and conditions. A. Annual license tax. All business license taxes are annual, unless otherwise expressly stated in this title. Upon issuance, the licensee shall pay the appropriate tax for a twelve month period. Expiration shall be the last day of the Page 367 of 570 preceding month of the year succeeding issuance. Taxes shall be due and payable on the first day of the month following the expiration date. Renewals shall be delinquent on the tenth day of the month following the expiration date. B. Refunds for overpayments. The refund of an overpayment of tax imposed is allowed only when a claim for refund is filed with the tax administrator within eight months from the last day of the calendar month following the period for which the overpayment was made. Each claim for overpayment refund must be filed with the tax administrator on a form furnished by the city. If the tax administrator determines that an overpayment has been made, a refund may be issued in the amount overpaid. C. License not transferable. A license issued under this title is not transferable, except when the licensee changes the licensee’s place of business, the licensee may apply to the tax administrator for the transfer of the license to the new place of business. The fee for the transfer is established by City Council resolution. Any decal issued with a license is not transferable. Licensee shall not give away, sell, transfer, or allow use of such decal to or by another person. D. Display of license. If the license is for carrying on business at a fixed place of business, the licensee shall post the license in a conspicuous place upon the premises where the business is carried on. If the license is for carrying on business that has no fixed place of business, the licensee shall keep the license upon the licensee’s person at all times while carrying on business. The tax administrator may require a licensee to display a decal on licensee’s vehicle or other equipment. 5.04.070 Modification, suspension, or revocation of license. A. Grounds for modification, suspension, or revocation. Any license issued pursuant to the title may be modified, suspended, or revoked pursuant to this section. Grounds for modification, suspension, or revocation include: 1. That the building, structure, or equipment used in the conduct of the business does not comply with or fails to meet any state law or City ordinance, including but not limited to any health, zoning, fire, and building and safety laws of the state of California or any City ordinances; 2. That the licensee has knowingly made any false, misleading or fraudulent statement of material fact in the application for a license, or in any report or record to be filed with the City; 3. That the licensee was issued an exemption license pursuant to Section 5.04.040, but the exemption is found not to apply or no longer applies to the licensed business; 4. That the licensee has violated any provision of the California Business and Professions Code, Palm Desert Municipal Cod e, or any emergency order issued by the City Manager or City Council; Page 368 of 570 5. That the licensee has violated any conditions or restrictions of the license, conditional use permit, or any other permit issued by the City to licensee or has operated a business other than for which it has been licensed and/or permitted; 6. That the licensee has been held liable or convicted of any offense involving the maintenance of a nuisance resulting from any act performed in the exercise of any rights permitted by the issuance of the subject license; 7. That the licensee has violated any rule or regulation adopted by any governmental agency relating to the licensee’s business; 8. That the licensee has conducted the licensed business in a manner contrary to the peace, health, safety, and the general welfare of the public. B. Service. Any notice required to be served under this section must be served by personal service or first-class mail. Service is deemed effective on the date it is personally delivered or deposited in the mail. If the business maintains a physical location within the City, any notice or decision shall be posted on the site at which the business is located. Failure of any person to receive a notice properly served under this section does not affect the validity of the notice, service, decision, or any action or proceeding under this section. C. Procedure for modification, suspension, or revocation . The city manager may issue a written notice of modification, suspension, or revocation of a license to the licensee if the city manager finds one or more of the grounds listed in subsection (A) of this section. The notice shall state the grounds for modification, suspension, or revocation of the license. If the city manager modifies a license, the notice shall include a description of how the license is modified. If the city manager suspends a license, the notice shall include a suspension period and any conditions required to lift the suspension following the suspension period. 5.04.080 Appeals. A. Filing written notice of appeal. Any person aggrieved by any decision of the tax administrator or city manager must file an appeal within fifteen (15) calendar days following the date of service of the determination, notice, or decision. A written notice of appeal must contain the following information: (i) the name and contact information of the appellant, and (ii) the grounds for appeal in sufficient detail to enable the City Council and City to understand the nature of the controversy. The failure of any person who has been served with a determination, notice, or decision to timely and properly file an appeal is a failure to exhaust administrative remedies and the initial determination, notice, or decision will become final. B. Notice of hearing. The City will notify the appellant in writing of the date, time, and location of the hearing at least ten (10) calendar days before the date of the scheduled hearing. The notice of hearing must be served by personal service or first - class mail. Service is deemed effective on the date it is personally delivered or Page 369 of 570 deposited in the mail. Failure of any person to receive a notice properly served under this section does not affect the validity of the notice, service, decision, or any action or proceeding under this section. C. Appeal hearing. The appeal hearing shall be heard by the City Council. The tax administrator, city manager, and/or any other official from the City with knowledge of the matter and the appellant have the right to present evidence and witnesses. The formal rules of evidence and discovery do not apply. The rules of privilege are effective to the same extent that they are now or hereafter may be recognized in civil actions. Irrelevant or unduly repetitious evidence may be excluded. Oral evidence may be taken only on oath or affirmation. The parties may represent themselves or be represented by anyone of their choice. No party has the right to cross - examine any other party or witness except for good cause shown to the satisfaction of the City Council. The appellant may bring an interpreter to the hearing at his or her sole expense. D. Final decision. The City Council’s decision must be in writing and set forth the City Council’s findings and final order. The City Council’s decision is the final administrative decision of the City regarding the modification, suspension, or revocation of a license issued under this title. The City Council’s decision is final and effective on the date of service of the decision. The decision must contain the following statement: “The decision of the City Council is final and binding. Judicial review of this decision is subject to the provisions and time limits set forth in California Code of Civil Procedure section 1094.6 et seq.” Failure to seek timely judicial review pursuant to California Code of Civil Procedure section 1094.5 et seq. means all objections to the City Council’s decision are waived. E. Effect and nature of decision. Upon suspension or revocation, the licensee shall cease operation of the business immediately, and any further operation shall be unlawful and a public nuisance. If the decision is to revoke the license, the licensee will not be issued a business license to operate the same business within one year a fter such revocation. 5.04.090 Violations, enforcement, and penalties. A. Misdemeanor. A person who violates this title, who knowingly or intentionally misrepresents a material fact in procuring a license, or who willfully fails to exhibit one’s license or permit on demand is guilty of a misdemeanor, and upon conviction shall be punished by a fine of not more than $1,000 or by imprisonment in jail for a period of not more than six months, or both, for each violation. B. Penalty. The tax administrator shall add a penalty of ten percent (10%) of the business license tax on the tenth day of the month following the expiration date; twenty-five percent (25%) on the first day of the second month, and fifty percent (50%) on the first day of the third month after the expiration date thereof; provided, the amount of such penalties to be added shall in no event exceed fifty percent (50%) of the of the amount of the license due. Page 370 of 570 C. Tax owed by unlicensed business. The conviction and punishment of any person for engaging in any business without first obtaining a license to conduct such business shall not relieve such person from paying the license tax due and unpaid at the time of such conviction, nor shall the payment of any license tax prevent a criminal prosecution for the violation of any of the provisions of this code. D. Revocation. Any business violating any of the provisions or failing to comply with any of the provisions of the Palm Desert Municipal Code or any emergency order shall be subject to business license revocation proceedings, pursuant to this chapter. E. License tax debt to City. The license tax and penalty is a debt to the city. The city may bring an action to collect the debt. F. Legal action. The city attorney may, on behalf of the city, take all appropriate legal action in order to collect such debts owing to the city, and may commence, or defend, in the name of the city in any court of competent jurisdiction, an action or actions relating to any amount due for new or renewal of business license taxes, including penalties, interest and deficit taxed revealed by audits. In case of recovery by the plaintiff, court costs, attorney’s fees and auditor’s fees shall be added to the judgment as costs to be collected from the defendant or defendants. G. Remedies cumulative. All remedies prescribed hereunder shall be cumulative and the use of any one or more remedies by the city shall not bar the use of any other remedy for the purpose of enforcing the provisions of this title, or any other provisions of this code. H. No mandatory duty. Nothing contained in this Code shall be deemed to create a mandatory duty on the part of the City or any of its officers or employees to enforce this title or enforce it in any particular manner.” SECTION 2. Severability. If any section, subsection, clause or phrase of this Ordinance or any part thereof is for any reason held to be invalid, unconstitutional, or unenforceable by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portion of the Ordinance. The City Council declares that it would have passed each section, subsection, paragraph, sentence, clause, or phrase thereof, irrespective of the fact that any one or more section, subsection, sentence, clause or phrase would be declared invalid, unconstitutional or unenforceable. SECTION 3. CEQA. The City Council hereby finds and determines that this Ordinance is exempt from CEQA pursuant to State CEQA Guidelines section 15061(b)(3) because it can be seen with certainty that the Ordinance would not have the potential or possibility for causing a significant effect on the environment. Specifically, the proposed changes to the Municipal Code are primarily technical and administrative in nature. The Ordinance would up date the business license tax requirements and procedures. No construction is proposed and the amendments do not Page 371 of 570 constitute any project approvals. In reviewing the Ordinance the City Council has exercised its independent judgment and has reviewed and considered the Ordinance in light of all testimony received, both oral and written. Therefore, based upon the entire administrative record, the City Council hereby determines that no further environmental review is required for the Ordinance. SECTION 4. Publication. The City Clerk of the City of Palm Desert, California, is hereby directed to publish a summary of this Ordinance in the Desert Sun, a newspaper of general circulation, published and circulated in the City of Palm Desert, California, and shall be in full force and effective thirty (30) days after its adoption. PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council of the City of Palm Desert, California, on the ____ day of ___________, 2023 by the following roll call vote: AYES: NOES: ABSENT: ABSTAIN: ______________________ KATHLEEN KELLY, Mayor ATTEST: _____________________________ Anthony Mejia, City Clerk City of Palm Desert, California APPROVED AS TO FORM: Page 372 of 570 ____________________________ Robert Hargreaves, City Attorney Page 373 of 570 Page 374 of 570 CITY OF PALM DESERT CITY MANAGER’S OFFICE INTEROFFICE MEMORANDUM Date: October 12, 2023 To: Honorable Mayor and Councilmembers From: Anthony J. Mejia, City Clerk Subject: City Council Meeting of October 12, 2023 Below you will find questions received from the Mayor or Councilmembers and answers provided by City staff regarding tonight’s City Council meeting: ITEM 14a: AWARD OF CONTRACT FOR AFFORDABLE HOUSING COMPLIANCE AND PROPERTY MANAGEMENT SERVICES TO FALKENBERG/GILLIAM AND ASSOCIATES, INC., FOR A FIVE-YEAR TERM, WITH AN INITIAL ANNUAL COST FOR CALENDAR YEAR 2024 IN AN AMOUNT NOT TO EXCEED $655,032 Q1: Did the previous contract expire? If the City decided to not renew the contract, was it a matter of cost, or was there cause? A1: The current management agreement expires December 31, 2023. An RFP is customary when the term expires. The current management company did not submit a proposal. ITEM 14b: INTRODUCTION OF AN ORDINANCE AMENDING CHAPTER 5.04 OF THE PALM DESERT MUNICIPAL CODE REGARDING BUSINESS LICENSING AND TAXING PROCEDURES, AND MAKING A FINDING OF EXEMPTION UNDER CEQA Q1: Will the City Council get notifications about revocations or suspensions independent of Consent Calendar items? A1: Yes, City staff will copy the City Council on any suspension and revocation letters. ITEM 14d: AWARD CONTRACT TO SPORTS FACILITIES MANAGEMENT, INC., FOR THE MANAGEMENT AND OPERATION OF THE PALM DESERT AQUATIC CENTER Q1: In reviewing the materials there are ideas for movie night and food trucks; however, is there going to be future discussion on adding water features to the Aquatic Center? When will the City Council be presented with a fee structure and a 5-year business plan from this new company and how much will the City need to subsidize? A1: The Fiscal Year 2023/24 CIP budget includes $100,000 for design of updates to the aquatic center. City staff intend to target new water features, outdoor showers, heaters, and other updates to the pump room including the filtration system. The 5-year management fee structure for Sports Facilities Management’s operation of the facility is included in the staff report under Financial Impact. Estimated costs for salaries and other expenses to support the aquatic center are also included in the table. If the contract is awarded to SFM, City staff will work with their team to approve a transitional plan leading up to the January 1, 2024, full- facility operation, and a business plan to set targets for the next 5 years. Page 375 of 570 10/12/2023 Question & Answer Memo Page 2 of 2 The updated scope of work for the management contract also includes metrics that will be helpful for financial analysis. Considering the fee increase effective January 1, 2024, City staff will analyze data available through Summer 2024 to determine how the fees and new management contract have impacted operations from both the revenue and expense sides. Page 376 of 570 Page 1 of 2 CITY OF PALM DESERT STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Bassam AL-Beitawi, Senior Project Manager REQUEST: AWARD CONTRACT NO. C45460 TO YUNEX, LLC, FOR THE TRAFFIC SIGNAL MODIFICATIONS AND HARDWARE UPGRADES IN THE AMOUNT OF $244,995 (PROJECT N0.MTS00001) RECOMMENDATION: 1. Award Contract No. C45460 to Yunex, LLC, of Riverside, California, for the Traffic Signal Modifications and Hardware Upgrades in the amount of $244,995. 2. Authorize the Director of Finance to set aside a contingency in the amount of $50,000 for unforeseen conditions. 3. Authorize the City Manager to review and approve written requests for the use of contingency per Section 3.30.170 of the Palm Desert Municipal Code. 4. Authorize the City Manager to execute the agreement. 5. Authorize the City Manager to execute the Notice of Completion (NOC) and the Secretary to file the NOC upon satisfactory completion of the Project. The City of Palm Desert (City) is responsible for 99 signalized intersections. Each intersection includes a signal controller cabinet that houses the signal controller and other components. Several cabinet controllers and components have exceeded their useful lifespans, plac ing them in jeopardy of malfunctioning due to deterioration caused by desert weather conditions. The Traffic Signal Modifications and Hardware Upgrades (Project) addresses cabinet controllers and components at nine (9) signalized intersections. The scope of work includes, but is not limited to, removing existing and installing new conductors and cables; replacing existing traffic signal controller cabinets; and removing and replacing controller components. On August 17, 2023, the City advertised the Project on OpenGov and received four bids, as follows: Contractor Location Total Bid Yunex LLC Riverside, CA $244,995.00 California Professional Engineering, Inc. La Puente, CA $308,000.00 Elecnor Belco Electric, Inc. Chino, CA $410,611.00 DBX, Inc. Temecula, CA $445,757.00 Yunex LLC submitted the lowest responsive bid. The apparent low bid has been reviewed and found to be in full compliance with all bid requirements. The references were contacted, and they confirmed the contractor has successfully completed projects of similar scope recently. Legal Review: This report has been reviewed by the City Attorney’s office. Page 377 of 570 City of Palm Desert Traffic Signal Modifications and Hardware Upgrades Page 2 of 2 Strategic Plan: The proposed action will further the goals of the Strategic Plan by providing a safe and efficient transportation system for residents and visitors. FINANCIAL IMPACT: The Traffic Signal Modifications and Hardware Upgrades Project is included in the approved Fiscal Year 2023-24 Capital Improvement Project (CIP) List under the annual Traffic Signal and Traffic Signal Interconnect Equipment Upgrade Project. The traffic signal equipment at the remaining intersections will be addressed in upcoming projects as well. Funds in the amount of $750,000 were allocated to Measure A Account No. 2134250-5000906; therefore, award of this contract has no financial impact to the General Fund. ATTACHMENTS: 1. Agreement 2. Payment and Performance Bonds 3. Contractor’s Proposal 4. Vicinity Map Page 378 of 570 Contract No. C45460 1 Revised 07-2023 BBK 72500.00001\32374943.1 CITY OF PALM DESERT CONTRACT FOR CONSTRUCTION This Agreement is made and entered into this 12th day of October, 2023, by and between the City of Palm Desert, a municipal corporation organized under the laws of the State of California with its principal place of business at 73-510 Fred Waring Drive, Palm Desert, California 92260- 2578, California (“City”) and Yunex LLC, a Limited Liability Company, with its principal place of business at 2250 Business Way, Riverside, CA 92501 ("Contractor"). WITNESSETH: That the parties hereto have mutually covenanted and agreed, and by these presents do covenant and agree with each other as follows: ARTICLE 1. SCOPE OF WORK. The Contractor shall perform all Work within the time stipulated in the Contract, and shall provide all labor, materials, equipment, tools, utility services, and transportation to complete all of the Work required in strict compliance with the Contract Documents as specified in Article 5, below, for the following Project: 2023 Traffic Signal Modifications and Hardware Upgrades Project Project No. 569-22 / MTS00001 (hereinafter referred to as “the Project”). The work to be done consists of furnishing all labor, materials, necessary tools and machinery, supervision, and all utility and transportation services required for traffic signal modifications, including but not limited to, removing existing and installing new conductor, and cable; replacing existing traffic signal controller cabinets; removing and replacing controller assemblies; performing all operations; furnishing all materials, equipment, and traffic control other than traffic signal controller cabinets; and all necessary appurtenant work for traffic signal modification improvements necessary in accordance with the bid items in the Project plans, the Specifications, and other Provisions of the Contract. Contractor is an independent contractor and not an agent of the City. The Contractor and its surety shall be liable to the City for any damages arising as a result of the Contractor’s failure to comply with this obligation. ARTICLE 2. TIME FOR COMPLETION. Time is of the essence in the performance of the Work. The Work shall be commenced on the date stated in the City’s Notice to Proceed. The Contractor shall complete all Work required by the Contract Documents within 90 Calendar Days from the commencement date stated in the Notice to Proceed. By its signature hereunder, Contractor agrees the time for completion set forth above is adequate and reasonable to complete the Work. ARTICLE 3. CONTRACT PRICE. The City shall pay to the Contractor as full compensation for the performance of the Contract, subject to any additions or deductions as provided in the Contract Documents, and including all applicable taxes and costs, the sum of Two Hundred and Forty-four Thousand, Nine Hundred and Ninety-five Dollars and no cents ($244,995.00). Payment shall be made as set forth in the General Conditions. The City will pay to Contractor compensation based upon the prices set forth in the Bid Schedule. Page 379 of 570 Contract No. C45460 2 Revised 07-2023 BBK 72500.00001\32374943.1 ARTICLE 4. LIQUIDATED DAMAGES. Contractor acknowledges that the City will sustain actual damages for each and every Day completion of the Project is delayed beyond the Contract Time. Because of the nature of the Project, it would be impracticable or extremely difficult to determine the City’s actual damages. Accordingly, in accordance with Government Code section 53069.85, it is agreed that the Contractor will pay the City the sum of $1,000.00 for each and every Day of delay beyond the time prescribed in the Contract Documents for finishing the Work, as Liquidated Damages and not as a penalty or forfeiture. In the event this is not paid, the Contractor agrees the City may deduct that amount from any money due or that may become due the Contractor under the Contract. This Section does not exclude recovery of other damages specified in the Contract Documents. Liquidated damages may be deducted from progress payments due Contractor, Project retention or may be collected directly from Contractor, or from Contractor's surety. These provisions for liquidated damages shall not prevent the City, in case of Contractor's default, from terminating the Contractor. ARTICLE 5. COMPONENT PARTS OF THE CONTRACT. The “Contract Documents” include the following: Notice Inviting Bids Instructions to Bidders Bid Forms Bid Acknowledgement Bid Schedule Bid Guarantee Designation of Subcontractors Information Required of Bidders Non-Collusion Declaration Form Iran Contracting Act Certification Public Works Contractor DIR Registration Certification Performance Bond Payment (Labor and Materials) Bond Contract for Construction General Conditions Special Conditions Specifications Addenda Construction Plans and Drawings Standard Specifications for Public Works Construction “Greenbook”, latest edition, Except Sections 1-9 Standard Plans of the City of Palm Desert, latest edition Standard Plans for Public Works Construction, latest edition Caltrans Standard Specifications, latest edition, Except Division 1 Caltrans Standard Plans, latest edition California Manual on Traffic Control Devices for Streets and Highways (CAMUTCD), latest edition Work Area Traffic Control Handbook, latest edition Reference Specifications Approved and fully executed Change Orders Permits Any other documents contained in or incorporated into the Contract Page 380 of 570 Contract No. C45460 3 Revised 07-2023 BBK 72500.00001\32374943.1 The Contractor shall complete the Work in strict accordance with all of the Contract Documents. All of the Contract Documents are intended to be complementary. Work required by one of the Contract Documents and not by others shall be done as if required by all. In the event of conflict, the various Contract Documents will be given effect in the order set forth in the General Conditions. This Contract shall supersede any prior agreement of the parties. ARTICLE 6. PROVISIONS REQUIRED BY LAW AND CONTRACTOR COMPLIANCE. Each and every provision of law required to be included in these Contract Documents shall be deemed to be included in these Contract Documents. The Contractor shall comply with all requirements of applicable federal, state, and local laws, rules, and regulations, including, but not limited to, the provisions of the California Labor Code and California Public Contract Code which are applicable to this Work. ARTICLE 7. INDEMNIFICATION AND INSURANCE A. Indemnification 1. To the fullest extent permitted by law, Contractor shall immediately defend (with counsel of the City’s choosing), indemnify, and hold harmless the City, its officials, officers, agents, employees, and representatives, and each of them from and against: (a) Any and all claims, demands, causes of action, costs, expenses, injuries, losses or liabilities, in law or in equity, of every kind or nature whatsoever, but not limited to, injury to or death, including wrongful death, of any person, and damages to or destruction of property of any person, arising out of, related to, or in any manner directly or indirectly connected with the Work or this Contract, including claims made by subcontractors for nonpayment, including without limitation the payment of all consequential damages and attorney’s fees and other related costs and expenses, however caused, regardless of whether the allegations are false, fraudulent, or groundless, and regardless of any negligence of the City or its officers, employees, or authorized volunteers (including passive negligence), except the sole negligence or willful misconduct or active negligence of the City or its officials, officers, employees, or authorized volunteers; (b) Contractor’s defense and indemnity obligation herein includes, but is not limited to damages, fines, penalties, attorney’s fees and costs arising from claims under the Americans with Disabilities Act (ADA) or other federal or state disability access or discrimination laws arising from Contractor’s Work during the course of construction of the improvements or after the Work is complete, as the result of defects or negligence in Contractor’s construction of the improvements; (c) Any and all actions, proceedings, damages, costs, expenses, fines, penalties or liabilities, in law or equity, of every kind or nature whatsoever, arising out of, resulting from, or on account of the violation of any governmental law or regulation, compliance with which is the responsibility of Contractor; (d) Any and all losses, expenses, damages (including damages to the Work itself), attorney’s fees, and other costs, including all costs of defense which any of Page 381 of 570 Contract No. C45460 4 Revised 07-2023 BBK 72500.00001\32374943.1 them may incur with respect to the failure, neglect, or refusal of Contractor to faithfully perform the Work and all of Contractor’s obligations under Co ntract. Such costs, expenses, and damages shall include all costs, including attorney’s fees, incurred by the indemnified parties in any lawsuit to which they are a party. 2. Contractor shall immediately defend, at Contractor’s own cost, expense and risk, with the counsel of the City choosing, any and all such aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against the City, its officials, officers, agents, employees and representatives. Contractor shall pay and satisfy any judgment, award or decree that may be rendered against the City, its officials, officers, employees, agents, employees, and representatives, in any such suit, action or other legal proceeding. Contractor shall reimburse the City, its officials, officers, agents, employees, and representatives for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. The only limitations on this provision shall be those imposed by Civil Code section 2782. 3. The provisions of this Article shall survive the termination of this Contract howsoever caused, and no payment, partial payment, or acceptance of occupancy in whole or part of the Work shall waive or release any of the provisions of this Article. B. Insurance 1. Without limiting Contractor’s indemnification of City, and prior to commencement of Work, Contractor shall obtain, provide, and maintain at its own expense during the term of this Contract, policies of insurance of the type and amounts described below and in a form that is satisfactory to City. 2. General Liability Insurance. Contractor shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, personal injury, and property damage, and a $4,000,000 completed operations aggregate. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted. 3. Automobile Liability Insurance. Contractor shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Contractor arising out of or in connection with Work to be performed under this Contract, including coverage for any owned, hired, non-owned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident. 4. Umbrella or Excess Liability Insurance. Contractor may opt to utilize umbrella or excess liability insurance in meeting insurance requirements. In such circumstances, Contractor may obtain and maintain an umbrella or excess liability insurance policy with limits that will provide bodily injury, personal injury, and property damage liability coverage at least as broad as the primary coverages set forth above, including commercial general liability, automotive liability and employer’s liability. Such policy or policies shall include the following terms and conditions: Page 382 of 570 Contract No. C45460 5 Revised 07-2023 BBK 72500.00001\32374943.1 A drop-down feature requiring the policy to respond in the event that any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason; (a) Pay on behalf of wording as opposed to reimbursement; and (b) Concurrency of effective dates with primary policies; and (c) Policies shall “follow form” to the underlying primary policies; and (d) Insureds under primary policies shall also be insureds under the umbrella or excess policies. 5. Workers’ Compensation Insurance. Contractor shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000) for Contractor’s employees in accordance with the laws of the State of California, Section 3700 of the Labor Code. In addition, Contractor shall require each subcontractor to similarly maintain Workers’ Compensation Insurance and Employer’s Liability Insurance in accordance with the laws of the State of California, Section 3700 for all of the subcontractor’s employees. Contractor shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the City, its officers, agents, employees, and volunteers. 6. RESERVED 7. RESERVED C. Other Provisions or Requirements 1. Proof of Insurance. Contractor shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers’ compensation. Insurance certificates and endorsements must be approved by City’s Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this contract. City reserves the right to require complete, certified copies of all required insurance policies, at any time. 2. Duration of Coverage. Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Work hereunder by Contractor, its agents, representatives, employees, or subcontractors. Contractor must maintain general liability and umbrella or excess liability insurance for as long as there is a statutory exposure to completed operations claims. The City and its officers, officials, employees, and agents shall continue as additional insureds under such policies. 3. Primary/Non-Contributing. Coverage provided by Contractor shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the Page 383 of 570 Contract No. C45460 6 Revised 07-2023 BBK 72500.00001\32374943.1 benefit of City before the City’s own insurance or self -insurance shall be called upon to protect it as a named insured. 4. Products/Completed Operations Coverage. Products/completed operations coverage shall extend a minimum of three (3) years after project completion. Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using subcontractors, the Policy must include work performed “by or on behalf” of the insured. Policy shall contain no language that would invalidate or remove the insurer’s duty to defend or indemnify for claims or suits expressly excluded from coverage. Policy shall specifically provide for a duty to defend on the part of the insurer. The City, its officials, officers, agents, and employees, shall be included as additional insureds under the Products and Completed Operations coverage. 5. City’s Rights of Enforcement. In the event any policy of insurance required under this Contract does not comply with these requirements, or is canceled and not replaced, City has the right, but not the duty, to obtain the insurance it deems necessary, and any premium paid by City will be promptly reimbursed by Contractor, or City will withhold amounts sufficient to pay premium from Contractor payments. In the alternative, City may cancel this Contract. 6. Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the City’s Risk Manager. 7. Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City, its elected or appointed officers, agents, officials, employees, and volunteers, or shall specifically allow Contractor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against the City, its elected or appointed officers, agents, officials, employees, and volunteers and shall require similar written express waivers and insurance clauses from each of its subcontractors. 8. Enforcement of Contract Provisions (non estoppel). Contractor acknowledges and agrees that any actual or alleged failure on the part of the City to inform Contractor of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder. 9. Requirements Not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Contractor maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City. 10. Notice of Cancellation. Contractor agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty (30) Day notice of cancellation (except Page 384 of 570 Contract No. C45460 7 Revised 07-2023 BBK 72500.00001\32374943.1 for nonpayment for which a ten (10) Day notice is required) or nonrenewal of coverage for each required coverage. 11. Additional Insured Status. General liability, automobile liability, and if applicable, pollution liability policies shall provide or be endorsed to provide that the City and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies. Coverage shall be at least as broad as coverage provided by ISO’s Owners, Lessees, or Contractors Additional Insured Endorsement for the ongoing (i.e. ISO Form CG 20 10 07 04) and completed operations (i.e. ISO Form CG 20 37 07 04) of Contractor. 12. Prohibition of Undisclosed Coverage Limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. 13. Separation of Insureds. A severability of interests provision must apply for all additional insureds ensuring that Contractor’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions. 14. Pass Through Clause. Contractor agrees to ensure that its sub-consultants, sub- contractors, and any other party involved with the Project who is brought onto or involved in the project by Contractor, provide the same minimum insurance coverage and endorsements required of Contractor. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Contractor agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the Project will be submitted to City for review. 15. City’s Right to Revise Requirements. The City or its Risk Manager reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Contractor ninety (90) Days advance written notice of such change. If such change results in substantial additional cost to the Contractor, the City and Contractor may renegotiate Contractor’s compensation. If the City reduces the insurance requirements, the change shall go into effect immediately and require no advanced written notice. 16. Self-Insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self -insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City. 17. Timely Notice of Claims. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor’s performance under this Contract, and that involve or may involve coverage under any of the required liability policies. 18. Additional Insurance. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work. 19. Safety. Contractor shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Contractor shall at all times be in compliance with all applicable local, state and federal laws, rules Page 385 of 570 Contract No. C45460 8 Revised 07-2023 BBK 72500.00001\32374943.1 and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, but shall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures. ARTICLE 8. PREVAILING WAGES. Contractor shall be required to pay the prevailing rate of wages in accordance with the Labor Code which such rates shall be made available at the City’s Office or may be obtained online at http://www.dir.ca.gov and which must be posted at the job site. ARTICLE 9. FALSE CLAIMS. Contractor acknowledges that if a false claim is submitted to the City, it may be considered fraud and Contractor may be subject to criminal prosecution. Contractor acknowledges that the False Claims Act, California Government Code sections 12650, et seq., provides for civil penalties where a person knowingly submits a false claim to a public entity. These provisions include within their scope false claims made with deliberate ignorance of the false information or in reckless disregard of the truth or falsity of the information. In the event the City seeks to recover penalties pursuant to the False Claims Act, it is entitled to recover its litigation costs, including attorneys’ fees. Contractor hereby acknowledges that the filing of a false claim may th e Contractor to an administrative debarment proceeding wherein Contractor may be prevented from further bidding on public contracts for a period of up to five (5) years. [REMAINDER OF PAGE LEFT INTENTIONALLY BLANK] Page 386 of 570 Contract No. C45460 9 Revised 07-2023 BBK 72500.00001\32374943.1 SIGNATURE PAGE TO LONG FORM CONSTRUCTION AGREEMENT BY AND BETWEEN THE CITY OF PALM DESERT AND YUNEX LLC IN WITNESS WHEREOF, each of the Parties has caused this Agreement to be executed on the day and year first above written. CITY OF PALM DESERT By: L. Todd Hileman City Manager Attest: By: Anthony J. Mejia City Clerk Approved as to form: By: Best Best & Krieger LLP City Attorney YUNEX LLC, A LIMITED LIABILITY COMPANY By: Rodney Mathis, President By: Dirk Rauber, Treasurer Contractor’s License Number and Classification DIR Registration Number (if applicable) QC: _____ Insurance: _____ Initial Review _____ Final Approval Bonds: _____ Page 387 of 570 Page 388 of 570 Contract No. C45460 Exhibit “C” Revised 11-2-20 BBK 72500.00001\32374915.1 PERFORMANCE BOND KNOW ALL PERSONS BY THESE PRESENTS: THAT WHEREAS, the City of Palm Desert (hereinafter referred to as “City”) has awarded to Yunex LLC, (hereinafter referred to as the “Contractor”) an agreement for 2023 Traffic Signal Modifications and Hardware Upgrades Project 569-22 / MTS00001 (hereinafter referred to as the “Project”). WHEREAS, the work to be performed by the Contractor is more particularly set forth in the Contract Documents for the Project dated October 12, 2023, (hereinafter referred to as “Contract Documents”), the terms and conditions of which are expressly incorporated herein by reference; and WHEREAS, the Contractor is required by said Contract Documents to perform the terms thereof and to furnish a bond for the faithful performance of said Contract Documents. NOW, THEREFORE, we, Yunex LLC, the undersigned Contractor and _____________________________________________ as Surety, a corporation organized and duly authorized to transact business under the laws of the State of California, are held and firmly bound unto the City in the sum of Two Hundred and Forty-four Thousand, Nine Hundred and Ninety-five Dollars, ($244,995.00), said sum being not less than one hundred percent (100%) of the total amount of the Contract, for which amount well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH, that, if the Contractor, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and agreements in the Contract Documents and any alteration thereof made as therein provided, on its part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their intent and meaning; and shall faithfully fulfill all obligations including the one-year guarantee of all materials and workmanship; and shall indemnify and save harmless the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers and representatives, as stipulated in said Contract Documents, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect. As a condition precedent to the satisfactory completion of the Contract Documents, unless otherwise provided for in the Contract Documents, the above obligation shall hold good for a period of one (1) year after the acceptance of the work by City, during which time if Contractor shall fail to make full, complete, and satisfactory repair and replacemen ts and totally protect the City from loss or damage resulting from or caused by defective materials or faulty workmanship, Surety shall undertake and faithfully fulfill all such obligations. The obligations of Surety hereunder shall continue so long as any obligation of Contractor remains. Nothing herein shall limit the City’s rights or the Contractor or Surety’s obligations under the Contract, law, or equity, including, but not limited to, California Code of Civil Procedure section 337.15. Whenever Contractor shall be, and is declared by the City to be, in default under the Contract Documents, the Surety shall remedy the default pursuant to the Contract Documents, or shall promptly, at the City’s option: (1) Take over and complete the Project in accordance with all terms and conditions in the Contract Documents; or Page 389 of 570 Contract No. C45460 (2) Obtain a bid or bids for completing the Project in accordance with all terms and conditions in the Contract Documents and upon determination by Surety of the lowest responsive and responsible bidder, arrange for a Contract between such bidder, the Surety and the City, and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents. (3) Permit the City to complete the Project in any manner consistent with local, California and federal law and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents. Surety expressly agrees that the City may reject any contractor or subcontractor which may be proposed by Surety in fulfillment of its obligations in the event of default by the Contractor. Surety shall not utilize Contractor in completing the Project nor shall Surety accept a bid from Contractor for completion of the Project if the City, when declaring the Contractor in default, notifies Surety of the City’s objection to Contractor’s further participation in the completion of the Project. The Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project, including but not limited to the provisions of sections 2819 and 2845 of the California Civil Code. [SIGNATURES ON NEXT PAGE] Page 390 of 570 Contract No. C45460 IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ______________, 20____. (Corporate Seal) Contractor/ Principal By Title (Corporate Seal) Surety By Attorney-in-Fact (Attach Attorney-in-Fact Certificate) Title Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached. The rate of premium on this bond is ____________ per thousand. The total amount of premium charges, $_______________________________. (The above must be filled in by corporate attorney.) THIS IS A REQUIRED FORM Any claims under this bond may be addressed to: (Name and Address of Surety) (Name and Address of Agent or Representative for service of process in California, if different from above) (Telephone number of Surety and Agent or Representative for service of process in California) NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto. Page 391 of 570 Contract No. C45460 NOTE: This acknowledgment is to be completed for Contractor/Principal. Notary Acknowledgment A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CALIFORNIA COUNTY OF ______________ On , 20___, before me, _______________________________, Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity up on behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature of Notary Public OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual Corporate Officer Title(s) Title or Type of Document Partner(s) Limited General Number of Pages Attorney-In-Fact Trustee(s) Guardian/Conservator Date of Document Other: Signer is representing: Name Of Person(s) Or Entity(ies) Signer(s) Other Than Named Above Page 392 of 570 Contract No. C45460 NOTE: This acknowledgment is to be completed for the Attorney-in-Fact. The Power-of-Attorney to local representatives of the bonding company must also be attached. Notary Acknowledgment A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CALIFORNIA COUNTY OF ______________ On , 20___, before me, _______________________________, Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature of Notary Public OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual Corporate Officer Title(s) Title or Type of Document Partner(s) Limited General Number of Pages Attorney-In-Fact Trustee(s) Guardian/Conservator Date of Document Other: Signer is representing: Name Of Person(s) Or Entity(ies) Signer(s) Other Than Named Above Page 393 of 570 Contract No. C45460 PAYMENT BOND KNOW ALL MEN BY THESE PRESENTS That WHEREAS, the City of Palm Desert (hereinafter designated as the “City”), by action taken or a resolution passed October 12, 2023, has awarded to Yunex LLC, hereinafter designated as the “Principal,” a contract for the work described as follows: 2023 Traffic Signal Modifications and Hardware Upgrades Project 569-22 / MTS00001 (the “Project”).; and WHEREAS, the work to be performed by the Principal is more particularly set forth in the Contract Documents for the Project dated October 12, 2023, (“Contract Documents”), the terms and conditions of which are expressly incorporated by reference; and WHEREAS, said Principal is required to furnish a bond in connection with said contract; providing that if said Principal or any of its Subcontractors shall fail to pay for any materials, provisions, provender, equipment, or other supplies used in, upon, for or about the performance of the work contracted to be done, or for any work or labor done thereon of any kind, or for amounts due under the Unemployment Insurance Code or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of said Principal and its Subcontractors with respect to such work or labor the Surety on this bond will pay for the same to the extent hereinafter set forth. NOW THEREFORE, we, the Principal and __________________________ as Surety, are held and firmly bound unto the City in the penal sum of Two Hundred and Forty-four Thousand, Nine Hundred and Ninety-five Dollars, ($244,995.00) lawful money of the United States of America, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH that if said Principal, his or its subcontractors, heirs, executors, administrators, successors or assigns, shall fail to pay any of the persons named in Section 9100 of the Civil Code, fail to pay for any materials, provisions or other supplies, used in, upon, for or about the performance of the work contracted to be done, or for any work or labor thereon of any kind, or amounts due under the Unemployment Insurance Code with respect to work or labor performed under the contract, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department or Franchise Tax Board from the wages of employees of the contractor and his subcontractors pursuant to Section 18663 of the Revenue and Taxation Code, with respect to such work and labor the Surety or Sureties will pay for the same, in an amount not exceeding the sum herein above specified, and also, in case suit is brought upon this bond, all litigation expenses incurred by City in such suit, including reasonable attorneys’ fees, court costs, expert witness fees and investigation expenses. This bond shall inure to the benefit of any of the persons named in Section 9100 of the Civil Code so as to give a right of action to such persons or their assigns in any suit brought upon this bond. It is further stipulated and agreed that the Surety on this bond shall not be exonerated or released from the obligation of this bond by any change, extension of time for performance, addition, alteration or modification in, to, or of any contract, plans, specifications, or agreement pertaining or relating to any scheme or work of improvement herein above described, or pertaining or relating to the furnishing of labor, materials, or equipment therefore, nor by any change or Page 394 of 570 Contract No. C45460 modification of any terms of payment or extension of the time for any payment pertaining or relating to any scheme or work of improvement herein above described, nor by any rescission or attempted rescission of the contract, agreement or bond, nor by any conditions precedent or subsequent in the bond attempting to limit the right of recovery of claimants otherwise entitled to recover under any such contract or agreement or under the bond, nor by any fraud practiced by any person other than the claimant seeking to recover on the bond and that this bond be construed most strongly against the Surety and in favor of all persons for whose benefit such bond is given, and under no circumstances shall Surety be released from liability to those for whose benefit such bond has been given, by reason of any breach of contract between the owner or City and original contractor or on the part of any obligee named in such bond, but the sole conditions of recovery shall be that claimant is a person described in Section 9100 of the Civil Code, and has not been paid the full amount of his claim and that Surety does hereby waive notice of any such change, extension of time, addition, alteration or modification herein mentioned and the provisions of sections 2819 and 2845 of the California Civil Code. [SIGNATURES ON NEXT PAGE] Page 395 of 570 Contract No. C45460 IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ______________, 20__. (Corporate Seal) Contractor/ Principal By Title (Corporate Seal) Surety By Attorney-in-Fact (Attach Attorney-in-Fact Certificate) Title Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached. A Power-of-Attorney authorizing the person signing on behalf of the Surety to do so much be attached hereto. NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto. Page 396 of 570 Contract No. C45460 NOTE: This acknowledgment is to be completed for Contractor/Principal. Notary Acknowledgment A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CALIFORNIA COUNTY OF ______________ On , 20___, before me, _______________________________, Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature of Notary Public OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual Corporate Officer Title(s) Title or Type of Document Partner(s) Limited General Number of Pages Attorney-In-Fact Trustee(s) Guardian/Conservator Date of Document Other: Signer is representing: Name Of Person(s) Or Entity(ies) Signer(s) Other Than Named Above Page 397 of 570 Contract No. C45460 NOTE: This acknowledgment is to be completed for the Attorney-in-Fact. The Power-of-Attorney to local representatives of the bonding company must also be attached. Notary Acknowledgment A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CALIFORNIA COUNTY OF ______________ On , 20___, before me, _______________________________, Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature of Notary Public OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual Corporate Officer Title(s) Title or Type of Document Partner(s) Limited General Number of Pages Attorney-In-Fact Trustee(s) Guardian/Conservator Date of Document Other: Signer is representing: Name Of Person(s) Or Entity(ies) Signer(s) Other Than Named Above Page 398 of 570 City of Palm Desert PW - Capital Improvement Projects Jess Culpeper, Deputy Director 73-510 Fred Waring Drive, Palm Desert, CA 92260 PROPOSAL DOCUMENT REPORT IFB No. 569-22 - MTS00001 2023 Traffic Signal Modifications and Hardware Upgrades RESPONSE DEADLINE: September 8, 2023 at 2:00 pm Report Generated: Tuesday, September 12, 2023 Yunex LLC Proposal CONTACT INFORMATION Company: Yunex LLC Email: robert.paquette@yunextraffic.com Contact: Robert Paquette Address: 2250 Business Way Riverside, CA 92501 Phone: (951) 784-6600 Website: www.yunextraffic.com/global/en/ Submission Date: Sep 8, 2023 11:48 AM Page 399 of 570 PROPOSAL DOCUMENT REPORT IFB No. 569-22 - MTS00001 2023 Traffic Signal Modifications and Hardware Upgrades PROPOSAL DOCUMENT REPORT PUBLIC WORKS - 2023 Traffic Signal Modifications and Hardware Upgrades Page 2 ADDENDA CONFIRMATION Addendum #1 Confirmed Sep 5, 2023 3:04 PM by Robert Paquette QUESTIONNAIRE 1. BID ACKNOWLEDGMENT* Pass To the City of Palm Desert, a municipal corporation, organized under the laws of the State of California, with its principal place of business at 73-510 Fred Waring Drive, Palm Desert, California 92260. A. In response to the Contract Documents for project number 569 -22 - MTS00001 and in accordance with the accompanying Instructions to Bidders, the undersigned hereby proposes to the City to furnish all labor, technical and professional services, supervision, materials and equipment, other than materials and equipment specified as furnished by the City, and to perform all operations necessary and required to construct the Project in accordance with the provisions of the Contract Documents and any addenda thereto, and at the prices stated opposite the respective items set forth in the Bid Schedule. B. This Bid constitutes a firm offer to the City which cannot be withdrawn for 90 calendar days after the date set for opening of Bids, or until a Contract is executed by the City and a third party, whichever is earlier. C. The undersigned certifies that it has examined and is fully familiar with all of the provisions of the Contract Documents and any addenda thereto; that it has carefully checked all of the words and figures shown in its Bid Schedule; that it has carefully reviewed the accuracy of all statements in this Bid and attachments hereto; and that it understands and agrees that the City will not be responsible for any errors or omissions on the part of the undersigned in preparing this Bid. D. If awarded a Contract, the undersigned agrees to execute and deliver to the City within ten (10) Days after date of receipt of Notice of Award, a signed Contract and the necessary Performance Bond, Payment Bond, and Certificates of Insurance and Endorsements. Page 400 of 570 PROPOSAL DOCUMENT REPORT IFB No. 569-22 - MTS00001 2023 Traffic Signal Modifications and Hardware Upgrades PROPOSAL DOCUMENT REPORT PUBLIC WORKS - 2023 Traffic Signal Modifications and Hardware Upgrades Page 3 E. All Bid Forms, which have been completed and executed by undersigned Bidder, are incorporated by this reference and made a part of this Bid. F. The undersigned is hereby representing that it is and will be properly licensed both at the time that it submits a Bid as wel l as at the time the Contract is awarded, if the Contract is awarded to the undersigned. 1. If Individual Contractor. Undersigned certifies that it is now licensed in accordance with the provisions of the Contractor's License Law of the State of California; or 2. If Joint Venture. Undersigned certifies that the individual members of the joint venture are now licensed in accordance with the provisions of the Contractor's License Law of the State of California. I hereby certify under penalty of perjury under the laws of the State of California that all o f the information submitted in connection with this Bid and all of the representations made herein are true and correct. Confirmed 2. BID SCHEDULE* Pass IMPORTANT: THE ELECTRONIC #BID SCHEDULE MUST BE COMPLETED BY EACH BIDDER AND PROPERLY SUBMITTED ON OPENGOV PROCUREMENT. FAILURE TO COMPLETE THE BID SCHEDULE WILL RESULT IN AN INCOMPLETE AND NON -RESPONSIVE BID. THE ELECTRONIC BID SCHEDULE WILL BE INCORPORATED INTO THE CONTRACT DOCUMENTS. The costs for any Work shown or required in the Contract Documents, but not specifically identified as a line item are to be included in the related line items and no additional compensation shall be due to Contractor for the performance of the Work. All blank spaces appearing in the Electronic Bid Schedule must be filled in. Failure to fill in any blank spaces may render the bid non-responsive. The estimated quantities for Unit Price items are for purposes of comparing Bids onl y and the City makes no representation that the actual quantities of work performed will not vary from the estimates. Final payment shall be determined by the Engineer from measured quantities of work performed based upon the Unit Price. Page 401 of 570 PROPOSAL DOCUMENT REPORT IFB No. 569-22 - MTS00001 2023 Traffic Signal Modifications and Hardware Upgrades PROPOSAL DOCUMENT REPORT PUBLIC WORKS - 2023 Traffic Signal Modifications and Hardware Upgrades Page 4 If the Contract Documents specify Alternate Bid items, the City can choose to include any, all, or none of the Alternate Bid items in the Work. If the City selects any of the Alternate Bid items, the corresponding Alternate Bid prices shall be added to or deducted from Base Bid Price for the Work. The City can award/select Alternate Bid items at any time(s). I certify that I have read, understood the above statement. Confirmed 3. BID GUARANTEE* Pass IF SUBMITTING AN ORIGINAL BID BOND: Please download the Bid Bond Form under #ATTACHMENTS, and Mail or hand deliver in a sealed and labeled envelope including the Project Number, Project Title, and Project Due Date visible on the outside of the envelope to the City Clerk's Office located at 73-510 Fred Waring Drive, Palm Desert, CA 92260 before the bid submittal deadline. IF SUBMITTING CASH OR CASHIER'S CHECK: Mail or hand deliver in a sealed and labeled envelope including the Project Number, Project Title, and Project Due Date visible on the outside of the envelope to the City Clerk's Office located at 73 -510 Fred Waring Drive, Palm Desert, CA 92260 before the bid submittal deadline. IF SUBMITTING AN E-BID BOND: follow E-Bid Bond instructions. Hard Copy Original Bid Bond (delivered before bid submittal deadline) 4. E-Bid Bond Please enter your Bid Bond information from Surety2000 below ONLY IF YOU ARE NOT SUBMITTING A HARD COPY BID BOND, CASH, OR CASHIER'S CHECK. Bond ID: No response submitted Vendor ID: No response submitted 5. Enter Surety Company "Name" who Issued Bid Guarantee * Pass Page 402 of 570 PROPOSAL DOCUMENT REPORT IFB No. 569-22 - MTS00001 2023 Traffic Signal Modifications and Hardware Upgrades PROPOSAL DOCUMENT REPORT PUBLIC WORKS - 2023 Traffic Signal Modifications and Hardware Upgrades Page 5 This information will be verified against the California Department of Insurance Website. Travelers Casualty and Surety Company of America Click to Verify Value will be copied to clipboard 6. DESIGNATION OF SUBCONTRACTORS* Pass Please download the below documents, complete, and upload. • DESIGNATION_OF_SUBCONTRACTO... DESIGNATION_OF_SUBCONTRACTORS_-_YUNEX_LLC.pdf 7. BIDDER INFORMATION AND EXPERIENCE FORM* Pass Please download the below documents, complete, and upload. • BIDDER_INFORMATION_AND_EXPE... BIDDER_INFORMATION_AND_EXPERIENCE_FORM_-_YUNEX_LLC.pdf 8. NON-COLLUSION DECLARATION* Pass The undersigned declares: I am an authorized representative of my company, the party making the foregoing Bid, to certify the following. The Bid is not made in the interest of, or on behalf of, any undisclosed person, partnership, company, association, organizat ion, or corporation. The Bid is genuine and not collusive or sham. The Bidder has not directly or indirectly induced or solicited any other Bidder to put in a false or sham bid. The Bidder has not directly or indirectly colluded, conspired, connived, or agreed with any Bidder or anyone else to put in a sham bid, or to refrain from bidding. The Bidder has not in any manner, directly or indirectly, sought by ag reement, communication, or conference with anyone to fix the Bid Price of the Bidder or any other Bidder, or to fix any overhead, profit, or cost Page 403 of 570 PROPOSAL DOCUMENT REPORT IFB No. 569-22 - MTS00001 2023 Traffic Signal Modifications and Hardware Upgrades PROPOSAL DOCUMENT REPORT PUBLIC WORKS - 2023 Traffic Signal Modifications and Hardware Upgrades Page 6 element of the Bid Price, or of that of any other Bidder. All statements contained in the Bid are true. The Bidder has not, d irectly or indirectly, submitted his or her Bid Price or any breakdown thereof, or the contents thereof, or divulged information or data relative thereto, to any corporation, partnership, company, association, organization, bid depository, or to any member or agent there of to effectuate a collusive or sham bid, and has not paid, and will not pay, any person or entity for such purpose. Any person executing this declaration on behalf of a Bidder that is a corporation, partnership, joint venture, limited liabil ity company, limited liability partnership, or any other entity, hereby represents that he or she has fu ll power to execute, and does execute, this declaration on behalf of the Bidder. I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Confirmed 9. PUBLIC WORKS CONTRACTOR DIR REGISTRATION CERTIFICATION* Pass Pursuant to Labor Code sections 1725.5 and 1771.1, all contractors and subcontractors that wish to bid on, be listed in a bid proposal, or enter into a contract to perform public work must be registered with the Department of Industrial Relations. See http://www.dir.ca.gov/Public-Works/PublicWorks.html for additional information. No bid will be accepted, nor any contract entered into without proof of the contractor’s and subcontractors’ current registration with the Department of Industrial Relations to perform public work. Bidder hereby certifies that it is aware of the registration requirements set forth in Labor Code sections 1725.5 and 1771.1 and is currently registered as a contractor with the Department of Industrial Relations. Unless Bidder is exempt pursuant to the small project exemption, Bidder further acknowledges: A. Bidder shall maintain a current DIR registration for the duration of the project. B. Bidder shall include the requirements of Labor Code sections 1725.5 and 1771.1 in its contract with subcontractors and ensure that all subcontractors are registered at the time of bid opening and maintain registration status for the duration of the project. Page 404 of 570 PROPOSAL DOCUMENT REPORT IFB No. 569-22 - MTS00001 2023 Traffic Signal Modifications and Hardware Upgrades PROPOSAL DOCUMENT REPORT PUBLIC WORKS - 2023 Traffic Signal Modifications and Hardware Upgrades Page 7 C. Failure to submit this form or comply with any of the above requirements may result in a finding that the bid is non- responsive. Confirmed 10. CONTRACTOR’S CERTIFICATE REGARDING WORKERS’ COMPENSATION* Pass I am aware of the provisions of section 3700 of the Labor Code which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this Contract. Confirmed 11. Enter your valid CA Contractors State License Board (CSLB) number* Pass Please enter your License Number here. This will be verified against the state database. 1080007 Click to Verify Value will be copied to clipboard 12. Enter your California Department of Industrial Relations (DIR) Registration number* Pass Please enter your Public Works Contractor DIR Number. This will be verified against the state database. 10000815000 Click to Verify Value will be copied to clipboard 13. Type of Business* Pass Page 405 of 570 PROPOSAL DOCUMENT REPORT IFB No. 569-22 - MTS00001 2023 Traffic Signal Modifications and Hardware Upgrades PROPOSAL DOCUMENT REPORT PUBLIC WORKS - 2023 Traffic Signal Modifications and Hardware Upgrades Page 8 Limited Liability C Corporation (if corporation, two signatures are required) 14. Type your Legal Company Name Here* Pass State your Company's Name Here. This will be verified against the California Secretary of State's Website. Yunex LLC Click to Verify Value will be copied to clipboard 15. How many years has Bidder’s organization been in business as a Contractor? * Pass 2 (over 40 years of previous experience under (Siemens Mobility, Inc., Siemens Industry, Inc., Republic Electric, and Republi c ITS) 16. List the Signatory(s) Authorized to Sign and Bind an Agreement.* Pass (If two (2) signatures are required, include the following information for both signatories) A. Full Name B. Title C. Physical Business Address D. Email Address E. Phone Number Steven Teal / Director of Customer Service / 2250 Business Way, Riverside, CA 92501 / steven.teal@yunextraffic.com / (951) 784-6600 Robert Paquette / Sales Manager / 2250 Business Way, Riverside, CA 92501 / robert.paquette@yunextraffic.com / (951) 784-6600 Page 406 of 570 PROPOSAL DOCUMENT REPORT IFB No. 569-22 - MTS00001 2023 Traffic Signal Modifications and Hardware Upgrades PROPOSAL DOCUMENT REPORT PUBLIC WORKS - 2023 Traffic Signal Modifications and Hardware Upgrades Page 9 PRICE TABLES Line Item Description Quantity Unit of Measure Unit Cost Total 1 Signal rewiring and other improvements at intersection of Portola Avenue and Rutledge Way 1 LS $88,495.00 $88,495.00 2 Signal rewiring and other improvements at intersection of Country Club Drive and Monterey Avenue 1 LS $36,100.00 $36,100.00 3 Signal rewiring and other improvements at intersection of Monterey Avenue and Hovley Lane West 1 LS $18,800.00 $18,800.00 4 Signal rewiring and other improvements at intersection of Country Club Drive and Park Center / Barington 1 LS $14,700.00 $14,700.00 5 Signal rewiring and other improvements at intersection of Country Club Drive and Oasis Club Drive / Tamarisk Row 1 LS $17,600.00 $17,600.00 6 Signal rewiring and other improvements at intersection of El Paseo and San Pablo Avenue 1 LS $27,100.00 $27,100.00 7 Signal rewiring and other improvements at intersection of Country Club Drive and Eldorado Drive 1 LS $14,900.00 $14,900.00 8 Signal rewiring and other improvements at intersection of Highway 111 and Hospitality Row 1 LS $11,500.00 $11,500.00 9 Signal rewiring and other improvements at intersection of Highway 111 and Deep Canyon Road 1 LS $15,800.00 $15,800.00 TOTAL $244,995.00 Page 407 of 570 Page 408 of 570 Highway 111 and Deep Canyon Road Page 409 of 570 Page 410 of 570 Page 1 of 6 CITY OF PALM DESERT STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Shawn Muir, Community Services Manager REQUEST: AWARD CONTRACT TO SPORTS FACILITIES MANAGEMENT, INC., FOR THE MANAGEMENT AND OPERATION OF THE PALM DESERT AQUATIC CENTER RECOMMENDATION: 1. Award a contract to Sports Facilities Management, Inc., for the management and operations of the Palm Desert Aquatic Center (PDAC) for a term of five years (plus five 1-year extensions) in the annual fee of $264,000 in Year 1 and a 5% increase each year in Years 2-5. 2. Authorize appropriation to Palm Desert Aquatic Center Operational Account No. 2424549- 4309300 in the amount of $93,500. 3. Authorize transfer from Unobligated General Fund Reserves in the amount of $93,500 to Palm Desert Aquatic Center to facilitate the contract increase. 4. Authorize the City Manager to review and approve written contract amendment and change order requests for unanticipated conditions. 5. Authorize the City Attorney to make non-substantive changes to the contract. 6. Authorize the Mayor to execute said agreement. BACKGROUND/ANALYSIS: History The Family YMCA of the Desert (YMCA) was contracted by the City for the management and operations of the PDAC upon its opening in 2011 and has maintained that contract (Contract No. C36620) through the current fiscal year. The most recent competitive bidding process resulting in an operational contract award was in January 2018. The term of the contract was for one-year with an option to renew every year until June 30, 2023. Anticipating the end of the contract term, staff issued a Request for Proposals (RFP) in November 2022. Two proposals were received from YMCA and Sports Facilities Mana gement, LLC (SFM). Staff entered negotiations with YMCA, and they provided the contract to their legal counsel for review. At that time, the YMCA encountered a new challenge with lifeguard retention, resulting in reduced operating hours and services. Staff worked with YMCA to increase lifeguard wages leading to restoration of these services. These changes prompted discussion and further negotiations between YMCA and the City about the new contract needs. Through this process, YMCA submitted two revised fee proposals showing increased administrative costs and annual escalation built in . Their administration cost went from $178,000 to $352,028 (20%), and ultimately landed at $528,041 (35%) annually with escalation built in. This more than tripled their contract management fee from the previous year’s rate of $165,000. In addition, the YMCA legal team completed their review and requested several Page 411 of 570 City of Palm Desert Award Contract for PDAC Management Page 2 of 6 changes to the contract terms. City staff understood that the significant increase in management cost and contract terms would expand the City’s subsidy of the facility. Staff concluded that the need for changes to the scope of work and contract language were significant enough to require the request for proposals for this project to be re-advertised to ensure the right approach was taken in entering a new long-term management contract. At the April 27, 2023, City Council meeting, the bids were rejected, and Amendment No. 5 was approved to extend the current contract to December 31, 2023. Updated Scope of Work Led by Subject Matter Experts City staff prepared to readvertise the RFP by conducting interdepartmental meetings to outline the key changes needed in the scope of work. City staff also made the decision to contract with the national aquatic consulting firm Counsilman-Hunsaker in June of 2023 to assist with developing the PDAC Request for Proposals and evaluating proposal submissions. Counsilman - Hunsaker’s scope was to: 1. Create the RFP document to include goals, deliverables, Key Performance Indicators (KPIs), reports and desired outcomes to maintain accountability and track progress. 2. Provide suggestions on reaching the 60% Cost Recovery goal through effective management. 3. Assist the City throughout the bid phase and selection process. Counsilman-Hunsaker met with City staff on July 6, 2023, to discuss cost recovery goals, review financial information, and discuss RFP goals. Through data analysis it is clear that by driving an increase in attendance, the City’s subsidy could be controlled and potentially reduced. The City's General Fund subsidy is created by a funding gap between operational revenues and expenditures. Following is a table outlining historical revenues and expenditures for the Palm Desert Aquatic Center from Fiscal Year 15/16 to Fiscal Year 22/23 . In an effort to ensure improved and robust reporting in the future, Counsilman-Hunsaker proposed the following KPIs at a minimum along with reporting cadences. Page 412 of 570 City of Palm Desert Award Contract for PDAC Management Page 3 of 6 Financial Programs Operations  Attendance/Passes Sold  Member Retention  Concessions Revenue  Rental Revenue  Swim Lesson Revenue  Concessions Per Cap  Program Attendance  Sessions Held/Canceled  Rentals Held  Special Programs  Checklist Compliance  Closures  Incidents  Facility Audit Results  Pool Chemical Readings  Customer Satisfaction  Staff Turnover Subject KPI/Topic Reporting Cadence Monthly Facility Financials Topic Monthly Attendance/Passes Sold KPI Monthly Member Retention KPI Monthly Concessions Revenue KPI Monthly Rental Revenue KPI Monthly Swim Lesson Revenue KPI Monthly Concessions Per Cap KPI Monthly Program Attendance KPI Monthly Sessions Held/Canceled KPI Monthly Rentals Held KPI Monthly Special Programs KPI Monthly Checklist Compliance KPI Monthly Closures KPI Monthly Incidents KPI Monthly Facility Audit Results KPI Quarterly Pool Chemical Readings KPI Monthly Customer Satisfaction KPI Monthly Staff Turnover KPI Monthly Completed Maintenance Topic Monthly In-service Training Compliance KPI Monthly Staff Recruitment Topic Quarterly Programs Held Topic Monthly Upcoming Programs Topic Monthly Marketing Efforts Topic Quarterly or as needed Goal Updates Topic Quarterly Additionally, the RFP emphasized the goal of decreasing the current subsidy of the Palm Desert Aquatic Center. Creative solutions to increase revenue and/or decrease expenses were encouraged from each submitter. Page 413 of 570 City of Palm Desert Award Contract for PDAC Management Page 4 of 6 Following the release of the RFP, Counsilman-Hunsaker assisted in advertising the RFP to potential management companies and were successful in attracting nine (9) different companies to the pre-bid meeting with ultimately six (6) companies submitting proposals. The submissions were analyzed by the evaluation team and scored according to the following:  Clarity and conformance of proposal to the RFP – 5%  Content of the proposal, including the work plan and business plan – 30%  Proposer’s and Team members' experience and performance – 25%  References – 15%  Attendance of Non-mandatory preproposal meeting – 5%  Fee proposal – 10%  Proposer's Safety Record – 10% After evaluations were completed, the team chose four (4) out of the six submissions to interview.  Family YMCA of the Desert  Sports Facilities Management, LLC  StandGuard Aquatics  The Swimming Swan LLC Interviews were conducted on September 18, 2023, via Zoom. The team of reviewers conferred after the scores and interviews were complete to decide upon a recommendation. The team unanimously agreed that SFM provided the highest value proposal. Key areas in which SFM stood out are described below. Upon contacting SFM to discuss the recommendation to award, they are energized and excited to begin this new partnership. SFM has also committed to hiring locally to meet staffing needs for the facility and will consider current PDAC staff during their hiring process. Key factors leading to the recommendation: SFM is a national company with over 2,500 employees. Like the other proposers, they presented a core team of professionals to manage day to day operations. However, unlike any other proposer, they have the versatility to pull experts from their corporate pool to provide for specific needs. For example, several lifeguard resignations in quick succession caused the PDAC to significantly reduce operating hours in January. SFM would utilize their corporate Human Resources team to quickly hire or allocate lifeguards from other facilities to fill that gap and ensure continuity of operations. Another example is marketing: YMCA currently works with a marketing consultant to provide the promotional, marketing, and recruitment media needs at the PDAC. SFM would allow the City to expand upon this with their Marketing Services Team that provides assistance to each of the facilities managed by the company. This team would be available to the City to meet those needs but would also be used to create new programs and promotional opportunities. The interview team unanimously decided to recommend SFM to manage and operate the PDAC beginning January 1, 2024. Upon approval, staff anticipate SFM will begin work November 1, 2023, to ensure the transition from one management firm to the other is smooth. Page 414 of 570 City of Palm Desert Award Contract for PDAC Management Page 5 of 6 References: Staff and the aquatic consultant contacted references for several of the proposers during the review process. References for SFM were very positive both within Ca lifornia and in other states.  The previous parks and recreation director of Pelican Bay Aquatic Center in Edmond, Oklahoma stated they showed they were capable of managing the facility from day one. He said they are experts in their respective fields and capable of responding quickly and professionally when situations arose. They highly recommend SFM to manage the facility.  Within California, SFM’s experts provided analysis for a proposed project at the City of Murrietta’s pool. The reference stated it was a good experience. The information SFM provided was very helpful and the City of Murietta would utilize them in the future.  The previous General Manager of City Beach Volleyball Club stated that she was very impressed with SFM’s professionalism and expertise. She highly recommends SFM for any sports or recreation complex. SFM was highly recommended by all the references contacted. Legal Review: This report has been reviewed by the City Attorney’s office. Strategic Plan: High quality facility management and staffing at the Palm Desert Aquatic Center (PDAC) sustains one of the City’s premier recreational facilities. The proposed action will further the goals of the Strategic Plan by providing pervasive recreation opportunities for residents and visitors. Appointed Body Recommendation: This item was considered at the September 4, 2023, Parks and Recreation Committee meeting. Committee members expressed the desire to provide input on the candidates for the new management contract. Committee Member Guyer was voted unanimously by the Committee to represent them on the evaluation team, which consisted of four City staff members, the representative from the aquatic consultant, and Mr. Guyer. FINANCIAL IMPACT: The SFM proposed cost for full-time management of the PDAC is $264,000 in Year 1 with a 5% incremental increase incorporated in Years 2-5 as shown in the table below. Services FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 Management Fee $264,000 $277,200 $291,060 $305,613 $320,894 Total Salaries $1,500,000 $1,575,000 $1,653,750 $1,736,437 $1,823,259 Other Expenses $160,000 $168,000 $176,400 $185,220 $194,481 Total Estimated Budget $1,924,000 $2,020,200 $2,121,210 $2,227,270 $2,338,634 The approved Aquatic Facility Operations Budget for Fiscal Year 2023-24 includes a total of $1,962,500 for the management and operations of PDAC under the following accounts: Page 415 of 570 City of Palm Desert Award Contract for PDAC Management Page 6 of 6 The interim, 6-month contract with the YMCA has expended $82,500 of the $165,000 allocated to the management fee. In order to help with a smooth transition of duties, staff recommend starting the contract with Sports Facilities Management on November 1, 2023, which will prorate the fee for the transitional term and remainder of Fiscal Year 2023-2024 to $176,000. Since the other PDAC expenses are only estimates that could potentially increase due to inflation, increase in staffing and other factors, staff requests an appropriation of $93,500 to Account No. 2424549-4309300 for the management portion. Staff also requests a transfer from Unobligated General Fund Reserves to accommodate the contract increase. In future budget years, the corresponding amount needed for operations will be included in the budget during the budget approval process. ATTACHMENTS: 1. Sports Facilities Management Proposal 2. Agreement FY 2023-24 Account # Budget Total Supplies 2424549-4219000 $ 20,000 Other Expenses 2424549-4309000 $ 100,000 Management Fee 2424549-4309300 $ 165,000 Food / Merchandise 2424549-4801100 $ 40,000 Contracted Labor 2424549-4802101 $1,637,500 $1,962,500 Vendor Management Term Account # Management Cost Budget YMCA July 1 – Dec 31, 2023 2424549-4309000 $82,500 Sports Facilities Nov 1, 2023 – Jun 30, 2024 $176,000 TOTAL $258,500 $165,000 VARIANCE $93,500 Page 416 of 570 City of Palm Desert PW - Operations & Maintenance Randy Chavez, Deputy Director 73-510 Fred Waring Drive, Palm Desert, CA 92260 PROPOSAL DOCUMENT REPORT RFP No. 2023-RFP-206 Management and Operations of the Palm Desert Aquatic Center RESPONSE DEADLINE: September 5, 2023 at 2:00 pm Report Generated: Monday, September 11, 2023 Sports Facilities Management, LLC Proposal CONTACT INFORMATION Company: Sports Facilities Management, LLC Email: gfresh@sportsfacilities.com Contact: Gabby Fresh Address: 600 Cleveland St Suite 910 Clearwater, FL 33755 Phone: (404) 984-6682 Website: https://sportsfacilities.com Submission Date: Sep 5, 2023 5:34 AM Page 417 of 570 PROPOSAL DOCUMENT REPORT RFP No. 2023-RFP-206 Management and Operations of the Palm Desert Aquatic Center PROPOSAL DOCUMENT REPORT Request For Proposal - Management and Operations of the Palm Desert Aquatic Center Page 2 ADDENDA CONFIRMATION Addendum #1 Confirmed Sep 1, 2023 10:05 AM by Gabby Fresh Addendum #2 Confirmed Sep 1, 2023 10:06 AM by Gabby Fresh Addendum #3 Confirmed Sep 1, 2023 10:06 AM by Gabby Fresh Addendum #4 Confirmed Sep 1, 2023 10:06 AM by Gabby Fresh QUESTIONNAIRE 1. Proposal (WITHOUT COST)* Proposals shall be concise, well organized and demonstrate qualifications and applicable experience. Proposals shall be organized and include page numbers for all pages in the proposal. The proposal shall be uploaded here, in the following order and shall inc lude: A. Cover Letter 1. This letter should briefly introduce the firm, summarize the firm’s general qualifications, include an executive summary of the specific approach which will be used to deliver the work scope; and identify the individual(s) name, address and phone number authorized to negotiate Agreement terms and compensation. B. Experience and Technical Competence 1. Background: Provide history of the firm’s consulting experience which specifically addresses the individual or firm’s experience with similar Service as described in this RFP. Page 418 of 570 PROPOSAL DOCUMENT REPORT RFP No. 2023-RFP-206 Management and Operations of the Palm Desert Aquatic Center PROPOSAL DOCUMENT REPORT Request For Proposal - Management and Operations of the Palm Desert Aquatic Center Page 3 2. References: The proposal shall include a list of recently completed projects that are similar in scope and function to this RFP. Provide a description of the project, client name, and the name, title, and telephone number of the primary contact person. C. Firm Staffing and Key Personnel 1. Staffing: Provide the number of staff to be assigned to perform the Services and the names/discipline/job title of each as well as your firm’s capacity to provide additional personnel as needed. 2. Key Personnel: Identify key persons that will be principally responsible for working with the City. Indicate the role and responsibility of each individual. 3. Team Organization: Describe proposed team organization, including identification and responsibilities of key personnel. 4. Subcontractors: The Proposer shall identify functions that are likely to be subcontracted and identify the subcontractor that is anticipated to perform each function. D. Proposed Method to Accomplish the Work 1. Describe the technical and management approach to providing the Services to the City. Proposer should take into account the scope of the Services, and general functions required. Include a draft first year schedule of tasks, milestones, and deliverables that will provide for timely provision of the Services. In reviewing the scope of Services and goals described herein, the Proposer may identify additional necessary tasks and is invited to bring these to the City’s attention within the discussion of its proposed method to accomplish the work. Sports_Facilities_Companies_Response_2023-RFP-206.pdf 2. Fee Proposal* Please provide a lump-sum, not-to-exceed fee proposal for the Scope of Services. The fee proposal shall consist of a detailed breakdown and justification for all Administrative and Management costs. Include hourly rates for all personnel for “Additional Work” (as such term is defined in the proposed Agreement attached herein). In addition, proposers shall outline their methods to en sure cost feasibility such as efficiency measures or policies. Proposers shall highlight any value-add components included in the fee proposal such as utilization of resources to increase value to the City. SFC_Palm_Desert_Cost_Proposal.pdf Page 419 of 570 PROPOSAL DOCUMENT REPORT RFP No. 2023-RFP-206 Management and Operations of the Palm Desert Aquatic Center PROPOSAL DOCUMENT REPORT Request For Proposal - Management and Operations of the Palm Desert Aquatic Center Page 4 3. Non-Collusion Declaration* The undersigned declares: I am an authorized representative of my company, the party making the foregoing Bid, to certify the following. The Bid is not made in the interest of, or on behalf of, any undisclosed person, partnership, company, association, organizat ion, or corporation. The Bid is genuine and not collusive or sham. The Bidder has not directly or indirectly induced or solicited any other Bidder to put in a false or sham bid. The Bidder has not directly or indirectly colluded, conspired, connived, or agreed with any Bidder or anyone else to put in a sham bid, or to refrain from bidding. The Bidder has not in any manner, directly or indirectly, sought by ag reement, communication, or conference with anyone to fix the Bid Price of the Bidder or any other Bidder, or to fix any overhead, profit, or cost element of the Bid Price, or of that of any other Bidder. All statements contained in the Bid are true. The Bidder has not, d irectly or indirectly, submitted his or her Bid Price or any breakdown thereof, or the contents thereof, or divulged information or data relative thereto, to any corporation, partnership, company, association, organization, bid depository, or to any member or agent there of to effectuate a collusive or sham bid, and has not paid, and will not pay, any person or entity for such purpose. Any person executing this declaration on behalf of a Bidder that is a corporation, partnership, joint venture, limited liabil ity company, limited liability partnership, or any other entity, hereby represents that he or she has fu ll power to execute, and does execute, this declaration on behalf of the Bidder. I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Confirmed 4. Type of Business* Other 5. Litigation* Provide litigation history for any claims filed by your firm or against your firm related to the provision of Services in the last five (5) years (or type "N/A"). Year Filed: 2021. Candace Meadows v. Sports Facilities Management LLC, Erie County Court of Common Pleas Ohio removed to United States District Court, Northern District Ohio, Western Division, Case 3:21-CV:01428. Plaintiff alleges that she was injured at the Cedar Point Sports Center, a facility in Sandusky, Page 420 of 570 PROPOSAL DOCUMENT REPORT RFP No. 2023-RFP-206 Management and Operations of the Palm Desert Aquatic Center PROPOSAL DOCUMENT REPORT Request For Proposal - Management and Operations of the Palm Desert Aquatic Center Page 5 Ohio managed by our firm, when her “harness on the rock climbing wall failed.” Our firm is represented by local counsel in the matter and they are fully and vigorously defending the claim on our behalf. Year Filed: 2021. Jackson Corr, an Infant, by his Guardian Ad Litem, Nicole Corr, and Nicole Corr and Matthew Corr, Individually vs. Sports Facilities Management, LLC d/b/a Iron Peak Sports and Events; John Does 1-5 (name being fictitious and presently unknown), Superior Court of New Jersey, Somerset County, Action SOM-L-1181-21. Plaintiff alleged that he was injured while on the adventure course at Iron Peak Sports and Events, a facility managed by Sports Facilities Management in Hillsborough Township New Jersey. The matter was settled in 2023 and dismissed prior to trial. Year Filed: 2023. Jacob Pierce, a minor, by and through his Father and Next Friend, Rober Pierce, vs Sports Facilities Management, LLC and the City of Hoover, in the Circuit Court of Shelby County Alabama, Civil Action CV 2022-900635. Plaintiff claimed he was injured falling from a climbing wall at our managed facility. Case was settled in January of 2023 and dismissed prior to trial. Dyonica J. Covington, by and through her mother and next friend, Jessica M. Phillips and Jessica M. Phillips, individually v. The Sports Facilities Management, Pelican Bay Aquatic Center, and The City of Edmond, Oklahoma, District Court Oklahoma County, Oklahoma Case No: CJ-2023-1924. Plaintif claimed injuries after being successfully recovered from the water by our staff at the Pelican Bay Aquatics Center, a facility managed by Sports Facilities Management, LLC in Edmond Oklahoma. Matter was settled in 2023 and dismissed prior to trial. Shaban, Yaseen, Dean Shaban, Kareem Shaban, by their mother and natural guardian, Angie Badawi, Individually v. Iron Peaks Sports & Events, et al. Superior Court of New Jersey, Mercer County, Docket No. MER-L-608-23. Plaintiff claims he was injured falling from a climbing wall at our managed facility in Hillsborough Township New Jersey. Our firm is represented by local counsel in the matter and they are fully and vigorously defending the claim on our behalf. Sports Facilities Management, LLC, a Florida limited liability company, v. DOME-A-NATION, LLC, a New York limited liability company, Circuit Court of the Sixth Judicial Circuit, Pinellas County, Florida, Case No. 18-005818-CI. Plaintiff sought collection of monies owed to it under a facility management agreement. Case was settled prior to trial. Daniel Salazar, et al. v. Premier College Combines, LLC, Rocky Top Sports World, RSTW SFM, LLC, and Sports Facili-ties Management, LLC, Circuit Court for Sevier County Tennessee, Civil Action 18-CV-170-III. Plaintiff alleged he injured his leg colliding with a bench during a high school soccer combine organized and operated by Premier College Combines, LLC at Rocky Top Sports World, a facility managed by RTSW SFM, LLC. Case was settle d and dismissed prior to trial. Page 421 of 570 PROPOSAL DOCUMENT REPORT RFP No. 2023-RFP-206 Management and Operations of the Palm Desert Aquatic Center PROPOSAL DOCUMENT REPORT Request For Proposal - Management and Operations of the Palm Desert Aquatic Center Page 6 6. Changes to Agreement* The City standard professional services agreement contract is included as an attachment herein. The Proposer shall identify a ny objections to and/or request changes to the standard contract language in this section of the proposal (or type "N/A"). If you are identifying changes here ALSO upload a copy of the redlined Language/Agreement with your Proposal. Changes requested may affect the City's decision to enter into an Agreement. N/A 7. No Deviations from the RFP* In submitting a proposal in response to this RFP, Proposer is certifying that it takes no exceptions to this RFP including, but not limited to, the Agreement. If any exceptions are taken, such exceptions must be clearly noted here, and may be reason for rejection o f the proposal. As such, Proposer is directed to carefully review the proposed Agreement and, in particular, the insurance and indemnification provisions therein (or type "N/A"). Maximum response length: 5000 characters N/A 8. Project Team Resumes* Submit resumes of all key personnel/support staff that will produce work product for the Services. Describe their qualificati ons, education, and professional licensing. Staff_Resumes_.pdfStaff_Resumes.pdf 9. List the Signatory(s) Authorized to Sign and Bind an Agreement.* (If two (2) signatures are required, include the following information for both signatories) A. Full Name B. Title C. Physical Business Address D. Email Address Page 422 of 570 PROPOSAL DOCUMENT REPORT RFP No. 2023-RFP-206 Management and Operations of the Palm Desert Aquatic Center PROPOSAL DOCUMENT REPORT Request For Proposal - Management and Operations of the Palm Desert Aquatic Center Page 7 E. Phone Number Jason Clement President / CEO 600 Cleveland Street, Suite 910, Clearwater, FL 33755 jclement@sportsfacilities.com 210-382-4354 10. Certification of Proposal: * The undersigned hereby submits its proposal and, by doing so, agrees to furnish services in accordance with the Request for Proposal (RFP), and to be bound by the terms and conditions of the RFP. Confirmed Page 423 of 570 CITY OF PALM DESERT, CA Palm Desert Aquatic Center MANAGEMENT SERVICES September 5, 2023 THE SPORTS FACILITIES COMPANIES // SPORTS FACILITIES MANAGEMENT, LLC Page 424 of 570 MANAGEMENT AND OPERATIONS OF THE PALM DESERT AQUATIC CENTER Page 425 of 570 1 SPORTS FACILITIES COMPANIES Table of Contents 2 |A. COVER LETTER 4 |B. EXPERIENCE AND TECHNICAL COMPETENCE • Firm Overview • SFC Project Profiles • References 15 |C. FIRM STAFFING AND KEY PERSONNEL • Staff Qualifications • Key Personnel • Organizational Chart • Subcontractors 25 |D. PROPOSED METHOD TO ACCOMPLISH WORK • Human Resources & Accounting • Legal & Risk • Aquatics Leadership, Management, and Maintenance • Marketing & Programming • Revenue Opportunities • Transition Timeline Page 426 of 570 2 SPORTS FACILITIES COMPANIES The Sports Facilities Companies (SFC) is thrilled by the opportunity to partner with Palm Desert on the management of your Aquatic Center. On behalf of our 2,500+ team members, I want to express our enthusiasm for the opportunity to partner with Palm Desert to serve and promote the welfare of your residents. Our team is your team. We have put together the team with the most experience to serve guests with excellence, expand the community reach, and always maintain an environment of trust and safety. As a baseline, our team has great experience in what community’s consider “traditional pool management” consisting of maintenance, lifeguard staffing and risk management compliance. As you will see in our proposal, the success of the aquatic center will be the result of so much more than “traditional pool management." Success will be rooted in the experience we provide residents and guests and our team's ability to create an environment that allows visitors to create memories that will last a lifetime with their families. To create this type of atmosphere, our plan is to: • Create a destination. Placemaking, branding and creating a center of activity for social events, competition, and recreation is our specialty. We will do this through a multi-tier approach that starts with our involvement with the design team to create a unique, innovative environment custom built for Palm Desert. Our nationally renowned marketing and operations team will then create a comprehensive marketing campaign and delivering on unique experiences as outlined in this document. This ensures that the facility opens with capacity in place and continues to drive higher attendance, new guests, and further reach every year. • Deliver first class programs and guest experience. The proposed aquatics center will be an amazing asset for the community and has the ability to drive visitation to the area from guests outside the community. Our focus will be on delivering first class programming and guest experience through building custom, interactive programs build specifically for each type of guests. We will use well thought-out campaigns, events and programmings to create the center as the a central gathering place for the community. • Improve financial performance and resources. Improving top line revenue by enhancing core service offerings and optimizing incremental revenue streams like food & beverage, sponsorship, child development and other activities. We manage cost-of-service based on industry benchmarks to maximize gross profit, and we contain fixed-expenses utilizing our buying power, vendor program and best-in-class maintenance experience. • Make collaboration our strategy. Community stakeholders, providers and complimentary program providers are important keys to our playbook. Transparent, accurate financial reporting, and annual strategic planning with City leadership will be a cornerstone to our collective success. You set the vision, goals and objectives. Our job is to put the strategic plan in place and execute to achieve your desired outcomes. Your goals are our goals. Unlike other lifeguard staffing companies or pool maintenance providers, our models remove conflicts of interest by allowing the City to maintain control and influence decisions to be made in the Aquatic Center’s best interests. With SFC, we will not be learning on the job. You can trust we will accomplish your goals as proven through numerous examples of delivering all over the country for many years. It is our sincere hope this document is the first step toward a strong partnership between Palm Desert and The Sports Facilities Companies. We are a Proven Partner. We know you are faced with a major decision. We hope that as you compare proposals, you will see through the fog of simple staffing companies, who haven’t actually taken on existing operations, transitioned existing staff in a community successfully, or do not have the business development and acumen to optimize the City's top recreation assets. To empower your growth, we hope you value the stability, proven track record, existing network and infrastructure of proven systems and subject-matter-experts. We are purpose-built for third-party management engagements and are equipped to scale and serve on Day 1. Dear Palm Desert Selection Committee: Page 427 of 570 3 SPORTS FACILITIES COMPANIES Vision. We believe this complex has the ability to be effectively serve Palm Desert and the surrounding communities. The activities and programming can provide a foundation of healthy and active lifestyles, which impacts positive behavior, aptitude, scholastic achievement, earning potential and more. Our mission is to “Improve the health and economic vitality of the communities we serve.” Our approach will be to leverage all of our in-house team and partners to help maximize the success. You can count on us to act consistent with our core values: 1. Accountability. We perform and do what we say we will do. We will operate in the City's best interest to accomplish your goals. 2. Excellence. We are purpose-built to partner with the City on this project. We will represent Palm Desert with professionalism bringing the best-in-class trends, safety policies and systems to the City. 3. Service. We are passionate about the impact these programs and complexes make. Every SFC team member has a story about how sport and recreation formed them. This is the “why” we choose to serve each family and guest well. No matter the facility - aquatic center, splash pads and water feature – we will serve each guest with first-class programming, memberships, lessons, swim meets, social events, family activities concessions, and more. 4. Collaboration. Together we will reach the potential. We are one team: Palm Desert staff, leadership, SFC corporate leadership, venue staff, lifeguards, vendors, community stakeholders, guests, and more. Culture is defined as “what is normal”. At SFC, normal is communicating directly, ideating, innovating, and delivering for our internal and external customers. Congratulations on your vision for this project. The remainder of the submittal is comprehensive and expands on why we believe SFC is uniquely positioned to help Palm Desert achieve the desired outcomes of the aquatic center. We hope our response resonates and the detail included provides the selection committee with enthusiasm for meeting the SFC team. As you review our proposal, do not hesitate to contact us with any questions. In addition, please read what our clients have to say about us. We are passionate about the impact these operations make in communities, and we are eager to contribute to the quality of life and quantity of economic vitality in Palm Desert! Thank you for your consideration. We will serve you well! Sincerely, Jason Clement, CEO and Founder The Sports Facilities Companies 727-474-3845, jclement@sportsfacilities.com Jim Arnold, Partner The Sports Facilities Companies 404-984-6682, jarnold@sportsfacilities.com Page 428 of 570 4 SPORTS FACILITIES COMPANIES B. Experience and Technical COmpetence Page 429 of 570 5 SPORTS FACILITIES COMPANIES Firm overview PLAN & FUND DEVELOP PERFORM SPORTS FACILITIES ADVISORY Founded in 2003, SFA has served more than 3,000 communities and assisted with more than $15 billion in planned projects. Our plan-to- fund approach means we can deliver much more than the industry’s leading research and financial forecast documents, we can deliver projects that are attractive to finance sources, capital partners, and municipal funding sources. SPORTS FACILITIES DEVELOPMENT The services provided by SFD were born out of customer demand for better alignment between facility design and operations. Our owner’s representation, procurement, and venue planning services not only achieve this goal by pairing proven operators with clients’ design teams, but save money in procurement, reduce risk, and streamline the process for everyone involved. SPORTS FACILITIES MANAGEMENT SFM is the youth and amateur sports industry leader in outsourced facility management. We are purpose built to serve the goals and visions of our clients and produce results. We are the ultimate partner for clients who want to maintain control of their assets without the headaches, expense, and risk of daily operations. Our proven performance has led us to represent the SFM Network, the largest and fastest growing network of sports and recreation facilities in the country. YEARS IN OPERATION: 20 years CORPORATE HEADQUARTERS: 600 Cleveland St. Suite 910 Clearwater, FL 33755 NUMBER OF EMPLOYEES: 2500+ CORPORATE STRUCTURE: Limited Liability company (LLC) COMMUNITIES SERVED: 3000+ SOUGHT-AFTER RESOURCE TO: • International City & County Manager's Association (ICMA) • National Recreation & Parks Association (NRPA • Sports ETA (Sports Tourism) • Aspen Institute Project Play 2024 SF NETWORK: 50+ Full-Time Managed Venues thesfnetwork.com MANAGEMENT CORE SERVICES: • Facility Operations • Start-Up Operational Development • Operational Timelines • Strategic Planning • Revenue Generation Services • Existing Facility Optimization • Recreation Center Management • Project Finance Strategy Page 430 of 570 6 SPORTS FACILITIES COMPANIES Below are several primary areas that demonstrate how our 20 years of experience makes SFC the best choice to operate the Palm Desert Aquatic Center. Our experience makes us good.Our commitment to service & performance makes us GREAT. THE sf network The SF Network is the largest and fastest-growing network of sports, recreation, and events facilities, vendors, partners, and event owners in the country. Over the last 20 years, we have intentionally cultivated industry relationships with events owners to book our properties, vendors to save our clients money, associations to cultivate innovation and share our experience with our peers, and talented individuals to attract the industry's best to our team. Year after year we continue to invest and expand. Our network is an unmatched asset for the City of Palm Desert and the Palm Desert Aquatic Center. Mature operations, processes, & leadership As experienced operators, we know what it takes to perform - our reputation depends on it. Each year we create more than $250 million in economic impact through youth sports and events tourism. Our operations timelines, processes, and leadership are driven by real-world experience. Every challenge, opportunity, stumble and victory lives in and informs our work. If engaged by the City of Palm Desert, we will not be learning on the job; we will be using the culmination of our experience in over 3,000 communities on 70+ development projects and 2,500+ team members serving more than 25 million guests visits each year. Experience-driven innovation Innovation is only possible through mastery. Organizations new to the business of operating multi-sport assets cannot innovate like we can because they are still learning. If variety is the 'spice' of life then it is also the 'secret sauce' to management innovation. We have successfully opened, developed or operated community aquatic parks, local recreation centers, family entertainment centers, and aerial adventure/ zip-lines in addition to our extensive sports tourism portfolio. Because we have amassed a deep understanding of the total sports destination and client service, we can build on that experience to create unparalleled results and build collaborative partnerships with other industry leaders. We are obsessed with performing for our clients and impacting communities. Our guiding principle of "better every time" drives us to constantly explore best practices, efficiencies, revenue generation, and how to increase results. The City of Palm Desert will experience the SFC team as solutions-focused, high-achieving, collaborative and creative. Page 431 of 570 7 SPORTS FACILITIES COMPANIES Since 2003, the Sports Facilities Companies have been the preeminent resource in the sports tourism industry. We can attribute our success to three overarching factors: The shared passion and commitment of our 1500+ person team to our mission, vision, and values. The core belief that our company, our venues, our industry, and our communities are made stronger through collaboration. We perform. We produce the results our clients are counting on and manage to their goals, not ours. 1 2 3 SFC DIFFERENTIATORS SFC is the ultimate choice for the City of Palm Desert: Proven, purpose-built & ready to build our partnership with you to grow the community. SFC POOL-Specific manager Lifeguard Management Co Comprehensive in-house financial reporting YES Possible Risk Management Plan Development YES YES Possible Specific Child Safety Training Program YES Possible Possible Lifeguard Hiring and Red Cross Certified Training YES Possible Possible Traditional Aquatic Programming Experience YES YES Possible Outdoor Pool Policies & Procedures YES YES Community Engagement Planning YES Leadership Development Program YES Food & Beverage Services YES YES Sponsorship Sales YES Destination Event Promotion YES In-House Comprehensive Marketing Agency YES Members Of Sports ETA YES Operating partner of the International County Managers’ Association (ICMA)YES Corporate Support Staff based in Dedicated Corporate Office YES Possible Page 432 of 570 8 SPORTS FACILITIES COMPANIES SPORTS TOURISM � COMMUNITY RECREATION � INDOOR PROJECT STATISTICS & PERFORMANCE HIGHLIGHTS Size:160,000 ft² Features: Competition Pool & Warm-Up Pool Elevated Track Indoor Climbing Area Indoor Turf Field Fitness Center/Group Training Rooms Cafe, Concessions, & Meeting Rooms FIRM ROLES & SERVICES Advisory:Feasibility Report Development:Venue Planning FF&E Procurement Management:Start-Up Operations Development Brand Development & Marketing Advisory Management Recently opened in summer 2021, this is the premier destination for sports, recreation, and events in the Mid-Atlantic region. Bridgeport has a charming downtown and team-friendly accommodations. The complex includes nearly 160,000 square feet of state-of-the art competition and entertainment space, fitness center, and competition pool. The Advisory Team conducted the initial Feasibility Report for the complex. During construction, the Development Team was hired for venue planning services and FF&E procurement. Due to their extensive work in the value engineering process, the Development Team was able to save nearly $1 million of the original $3.9 million FF&E budget. The Management Team was then hired for pre-opening services and an ongoing advisory management role. THE BRIDGE SPORTS COMPLEX BRIDGEPORT, WV Page 433 of 570 9 SPORTS FACILITIES COMPANIES SPORTS TOURISM � COMMUNITY RECREATION � INDOOR PROJECT STATISTICS & PERFORMANCE HIGHLIGHTS Size:100,000 ft2 Features: 25-yard, Six-lane lap pool 4 Basketball / 6 Volleyball Courts Family Aquatic Center Meeting & Event Space Fitness Center FIRM ROLES & SERVICES Advisory:Financial Forecasting Development:Venue Planning Economic Impact FF&E Procurement Management:Pre-Opening Management Full-Time Management When the SF Network team joined the City of Morristown on the development of Morristown Landing, the client had a very defined vision of what they wanted this facility to become. They envisioned the facility to be an indoor facility that provides residents with premier amenities to play, gather, and maintain a healthy lifestyle. To execute this vision, the City of Morristown hired the Development team for their venue planning and FF&E expertise. The team’s efforts helped to re-envision the facility in a way that not only aligned with the client’s vision and goals but also increased revenue and operational efficiency. The Management team currently provides pre-opening services and will assume full-time management of the facility when it opens in Fall 2022. MORRISTOWN LANDING RECREATION AND EVENTS MORRISTOWN, TN Page 434 of 570 10 SPORTS FACILITIES COMPANIES SPORTS TOURISM � COMMUNITY RECREATION � OUTDOOR PROJECT STATISTICS & PERFORMANCE HIGHLIGHTS Size:17 acres Features: 25-Yard Leisure Pool Water Slide & Splash Pad Cabanas On-Site Kitchen Zero entry areas Climbing Wall FIRM ROLES & SERVICES Management:Full-Time Management Financial Forecasting Safety Training Earning the designation as a 2021 Top 3 Amusement Park in Oklahoma City by Three Best Rated®, Pelican Bay Aquatic Center offers all things fun-in-the-sun, including open swim, lessons, party rentals, and more. In 2015, and again in 2021, the City retained the team of SF Companies and to provide full-time management services for the first five years of operation. Through aggressive social media and email campaigning and facility rebranding, SFC increased pool attendance numbers and profitability year over year while overseeing the daily maintenance and safety training, staff operations, programming, and swim lessons. PELICAN BAY AQUATIC CENTER EDMOND, OK Page 435 of 570 11 SPORTS FACILITIES COMPANIES SPORTS TOURISM � COMMUNITY RECREATION � INDOOR/OUTDOOR PROJECT STATISTICS & PERFORMANCE HIGHLIGHTS Size:120 acres, 100,000 ft2 Features: 4 Basketball / 8 Volleyball Courts Membership-Based Wellness Center 4 Baseball & 5 Softball Fields 16-Court Tennis Center 5 Multi-Purpose Fields Indoor / Outdoor Pool & Aquatic Center FIRM ROLES & SERVICES Advisory:Financial Forecasting Development:Venue Planning Program Planning Management:Pre-Opening Management Full-Time Management Sand Mountain Park is an exceptional project in Albertville, Alabama, with 130 acres of sports, recreation, and entertainment areas. This facility offers a wide variety of both local use and sports tourism use for all guests to enjoy just over an hour north of Birmingham. SFC’s role in pre-opening development includes business development, event booking, brand development and marketing, strategic planning, hiring and organizational structure definition. SFC was also contracted for FF&E and Venue Planning services including, fixture and equipment procurement and design consultation. SFC is engaged as the outsourced management solution for the entire 120 acre complex inclusive of sports tourism and local park and recreation programming. SAND MOUNTAIN PARK & AMPHITHEATER ALBERTVILLE, AL Page 436 of 570 12 SPORTS FACILITIES COMPANIES COMMUNITY RECREATION � AQUATICS � INDOOR/OUTDOOR PROJECT STATISTICS & PERFORMANCE HIGHLIGHTS Features: 25 Meter Swimming Pool Large Pavillion Children’s Water Playground Concessions 3,000 sq. ft. Fitness Center Locker Rooms FIRM ROLES & SERVICES Management:Financial Forecasting Full-Time Management Caporella Aquatic Center is located in Tamarac, FL and features a 25 meter swimming pool with a zero depth entry and avalanche slide. It also features a children’s water playground (sprayground), a 3,000 square foot fitness center, men and women’s locker rooms, picnic tables, a large pavilion, and a concession stand. SFC’s role in management includes event booking, marketing, strategic planning, and full-time management of the aquatic center. SFC is engaged as the outsourced management solution for the entire center. CAPORELLA AQUATIC CENTER TAMARAC, FL Page 437 of 570 13 SPORTS FACILITIES COMPANIES COMMUNITY RECREATION � AQUATICS � INDOOR/OUTDOOR PROJECT STATISTICS & PERFORMANCE HIGHLIGHTS Features: Natatorium with 2 Indoor Pools Outdoor 4,000 sq. ft. Recreation Pool 25-Yard/8-Lane Competition Pool Lazy River 60-Foot/4-Lane Warm-Up Pool Three Large Slides 25-Foot Tall Oil Rig Water Feature FIRM ROLES & SERVICES Management:Financial Forecasting Full-Time Management Artesia Aquatic Center is located in Artesia, NM and features two indoor pools as well as a large outdoor recreational pool in the shape of a bulldog. The outdoor pool has a zero depth entry, a lazy river, three large slides, and a 25-foot tall oil rig that shoots water out of the top. The pool deck has plenty of space to host family picnics and activities. SFC’s role in management includes event booking, marketing, strategic planning, and full-time management of the aquatic center. SFC is engaged as the outsourced management solution for the complex. ARTESIA AQUATIC CENTER ARTESIA, NM Page 438 of 570 REFERENCES Tracey Honea, Mayor256-891-8240 sandmountainpark.com mayorhonea@cityofalbertville.com City of Albertville, AL 423-581-0100 morristownlanding.com tcox@mymorristown.com Craig Dishman, Former Director of Parks & Rec972-948-9182 pelicanbayaquatics.com craigdishman34@gmail.com City of Edmond, OK Tony Cox, City Administrator City of Morristown, TN Page 439 of 570 15 SPORTS FACILITIES COMPANIES C. Firm Staffing and Key Personnel Page 440 of 570 Under Jason’s leadership, the SF Companies have opened more successful sports and recreation venues than any organization in the country. As an experienced advisor he has provided planning, strategy, finance, and operational leadership to projects throughout the world. CEO & FOUNDER JASONClement SPECIALTIES : SFC leadership and oversight, long-term strategic direction, partnership management YEARS IN INDUSTRY: 21 The Sports Facilities’ firms have become globally recognized leaders focusing on transforming the health and economic vitality of communities around the world. As the Chief Executive Officer of SFC, Jason leads the strategic direction, culture, and service standards that define SFC in the public sector and private sector markets we serve. Under Jason’s leadership, SF Companies recently launched new products to serve communities focused on economic development and the youth and amateur sports industry. The initiatives include an event company, new technology platforms, food & beverage and gaming options. The firm is also focused on merchandising, purchasing, and leveraging social capital to improve access to sport. Formally trained and licensed as an architect, Jason began his career in sports architecture before transitioning into commercial development and corporate real estate management. The experience was the spark to bring similar professional management services to the youth & amateur sports industry. Jason is a passionate and faith driven contributor to causes that positively impact families and communities. He has founded, supported, and lead the growth as board chair to multiple organizations including Habitat for Humanity, Man Up and Go, Calvary Christian High School, Florida Small Business Development Center, and others. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS ICMA - Strategic Partner & Speaker NRPA - Speaker SportsETA - Featured Speaker & Content Contributor Board Chair - Habitat for Humanity, Man Up & Go Tampa Bay Business Journal “Hall of Fame” NOTABLE PROJECTS Aviator Sports & Events Center-Brooklyn NY Hoover Met Complex - Hoover, AL Pelican Bay Aquatice Center-Edmond, OK Spooky Nook Sports - Lancaster, PA Salvation Army KROC Center-South Bend IN Eugene Civic Alliance - Eugene OR The HUB Recreation Center-Marion, IL Panama City Beach Sports Park - PCB, FL Sand Mountain Park-Albertville, AL Paradise Coast Sports Complex - Naples, FL Page 441 of 570 Ken is responsible for SFC’s Aquatics Venues nationwide, assisting our clients with operating and optimizing our indoor and outdoor pool facilities and water parks. His broad and successful career has spanned almost twenty years of operations, programming, training, marketing, budgeting and forecasting. AQUATICS ACCOUNT EXECUTIVE KENCOBB SPECIALTIES : aquatics staff development, partnership collaboration YEARS IN INDUSTRY: 13 Ken has served as an Aquatics Director to municipal and recreational pools, competition pools, country clubs, water parks and private and public aquatic centers. He has worked with the YMCA, the American Red Cross®, and The Pool & Hot Tub Alliance® as a Water Safety Instructor, Lifeguard Instructor, and is a Certified Pool Operator. Ken is also an accomplished swim coach having been a coach member of USA Swimming® since 1984. Over his 20 years of coaching age group, senior club swimmers and high school athletes, he has produced multiple Junior Olympic qualifiers and finalists, state champions, junior and senior national qualifiers and college scholarship recipients. Ken maintains close ties to the competitive swimming world as a certified coach with the American Swim Coaches Association®, US Masters® Swimming, and USA Water Polo®. His vast experience overseeing our aquatics venues provides our clients the operational and programming expertise to appropriately serve their members and guests. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS Certified Pool Operator (CPO®) American Red Cross® Water Safety Instructor® (WSI) American Red Cross® Certified Lifeguard Instructor American Red Cross® CPR, First Aid and AED Certified Certified Coach Member of USA Swimming® Since 1985 American Swim Coaches Association® [ASCA] Level 3 Certification Certified Masters Coach with United States Masters Swimming® [USMS] Certified CPR, First Aid and Safety Training for Swim Coaches NOTABLE PROJECTS Adventure Cove Water Park - Abilene, TX Artesia Aquatic Center - Artesia, NM Caporella Aquatic Center - Tamarac, FL Pelican Bay Aquatic Center - Edmond, OK Page 442 of 570 Marina has over thirteen years of experience in aquatics and programming, including experience with the YMCA and the Oklahoma City Parks and Recreation Department. Marina brings her enduring passion for aquatics and enhancing the local community to her role as the General Manager at Pelican Bay Aquatic Center in Edmond, OK. AQUATICS SPECIALIST MARINAWells SPECIALTIES : staff development & training, programming, aquatic operations YEARS IN INDUSTRY: 13 In this position, Marina leads all components of daily operations for the seasonal water park. She ensures that best practices are implemented in the areas of safety, customer service, business development, staff development, risk mitigation, programming, and marketing and branding. Additionally, Marina attended Texas Tech University and is a certified aquatics facility operator and lifeguard instructor for the American Red Cross. Edmond’s Pelican Bay Aquatic Center is 17+ acre park that includes two 150 ft water slides, diving boards, a current channel, a climbing wall and a slide splash pool. Programming at Pelican Bay includes swim lessons, lifeguard certification, and aqua fitness as well as numerous special events throughout the season. The Center also has bathhouses and a concession area at the Pelican Bay Cafe Snack Bar and offers private rental for parties and events. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS Certified Pool Operator (CPO) Aquatic Facilities Operator (AFO) Lifeguard Instructor (LGI) Lifeguard Management NOTABLE PROJECTS Pelican Bay Aquatic Center - Edmond, OK *City of Oklahoma City Parks & Recreation Department *YMCA Page 443 of 570 19 SPORTS FACILITIES COMPANIES NATIONAL DIRECTOR OF BUSINESS DEVELOPMENT JIMARNOLD SPECIALTIES: business development, program planning, sustainability YEARS IN INDUSTRY: 19 EDUCATION: BS, Business Administration St. Bonaventure University MBA St. Bonaventure University Jim is widely recognized as one of the leading designers and developers of youth sports complexes in the United States. In his role as the National Business Development Director, Jim Arnold leads the expansion of the SF Network of sports and recreation destinations across the country. With over 18 years of experience in the industry, Jim has overseen the planning, design, development, and operations of many of the most innovative and successful facilities in the country. Notable has been his role in the development and growth of two of the largest brands in youth sports, Ripken Baseball and Sports Force Parks. As part of this role, Jim was instrumental in developing the company’s youth facilities from one park to three, with the additions of the Ripken Experience Myrtle Beach and the Ripken Experience Pigeon Forge. Jim’s projects are highly regarded for their ability to drive profitability throughout creative design and self-operations. While his career has been focused primarily on youth sports facility development, Jim has been involved in projects that touch all levels of sports across the world. From his role in the design of SRP Park (2018 Minor League Baseball Ballpark of the Year) to overseeing the development of a country-wide growth and development strategy for New Zealand Baseball; his experience across the sports landscape has an influential role in helping clients develop the most innovative, unique and sustainable sports facilities in the industry. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS 2019 Connect Sports Game Changer Baltimore’s 35 Under 35 MILB Stadium of the Year Champion of Economic Impact NOTABLE PROJECTS Cyclone Ballparks - Pecos, TX The Basin Sports Complex (UTPB) - Odessa, TX Ballparks of America - Branson, MO Paradise Coast Sports Complex - Naples, FL Cornerstone Sports Park - Starkville, MS Elizabethtown Sports Park - Elizabethtown, KY Ripken Experience - Myrtle Beach, SC; Pigeon Forge, TN; Aberdeen, MD* *Please note: Projects completed prior to joining the firm. Page 444 of 570 A driven collaborator and team leader, Ashley sits at the intersection of brand strategy, marketing, and sales. With award-winning creative work and proven strategies, Ashley brings with her a track record of success to every project and campaign. Clients get the benefit of SFC’s in-house marketing and branding “agency” led by Ashley. PARTNER & VP, MARKETING ASHLEYWHITTAKER SPECIALTIES : marketing strategy, brand development, business development YEARS IN INDUSTRY: 14 EDUCATION BA Industrial Design University of Illinois Ashley leads corporate business development and marketing for the Sports Facilities Companies as well as the SFC Facility Marketing Department which is responsible for the marketing, branding, and project management of SFM Network facilities. Under her leader- ship, inbound leads and inquiries have more than tripled, SFC’s firms have been featured in major media outlets such as HBO, TIME, and Wallstreet Journal, and SFC leadership is regularly sought out for interviews and speaking engagements. As the leader of SFC’s in-house agency, Ashley and her team develop engaging brands, results-driven marketing strategies, and bring proven solutions to SFC clients. In 2019, Ashley created and launched the SF Network platform which drives online booking, brand awareness, and creates cooperative marketing activations for all the facilities in the SFC portfolio. Ashley comes from a background in product design with Gill Athletics, the largest and oldest manufacturer of track and field equipment in North America and Porter Athletic, the basketball/volleyball heritage brand. Her unique blend of design thinking, leadership, and marketing strategy lends itself well to serving SF Network and SFC clients. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS SFC “MVP” Award Winner #StrongerTogether SportEvents Sales & Marketing Committee Guest Lecturer, University of Northern Iowa Gold & Silver ADDY Awards for Design Conference Speaker: ICMA, MRPA, US Indoor NOTABLE PROJECTS Hoover Metropolitan Complex, Hoover, AL Iron Peak Sports & Events, Hillsborough, NJ Cedar Point Sports Center, Sandusky, OH The Hub Recreation Center, Marion, IL Rocky Mount Events Center, Rocky Mount, NC Horizons Edge Sports Campus, Harrisonburg, VA Page 445 of 570 An energetic and results-driven financial leader, Bob has guided teams that perform finance functions for some of the world’s largest companies. Bob takes his experience developing and implementing financial processes at the highest level and his experience in a diverse set of industries to his role as Chief Financial Officer for SFC. PARTNER & CFO BOBSTOUT SPECIALTIES : financial forecasting, budget creation, risk management YEARS IN INDUSTRY: 20 Bob has extensive experience developing and implementing financial processes, systems, and controls for some of the world’s largest companies, including Walmart, Inc. He has a proven record of achievement in E-commerce, real estate development, and retail. Through his work, Bob has managed planning, forecasting, and reporting (external and internal) for multiple segment levels and corporate support areas, and has driven productivity and improved bottom-line results. Bob has in-depth experience leading acquisition due diligence and negotiations, including lease and contract reviews, best practice analysis, risk assessments, and valuations. Prior to joining the SF Companies, Bob served in a number of roles over a 10-year span at Walmart, Inc. As CFO, Bob led the finance and accounting teams for Walmart’s $3 billion e-commerce business (walmart.com) from 2008-2010. From 2012 to 2019, Bob also served as a city councilman and, then, as the mayor of the city of Little Flock, AR. This role provided Bob with experience in municipal budgeting, governmental fund accounting, state audits, and FEMA disaster application development and administration. Bob joined the SF Companies as the Chief Financial Officer, overseeing corporate and SF Network venue finance teams. Bob also oversees risk management and major corporate growth initiatives. RELEVANT PROJECTS Horizons Edge Sports Campus - Harrisonburg, VA Sand Mountain Park & Amphitheater - Albertville, AL Bridgeport Recreation Complex - Bridgeport, WV The Highlands Sports Complex - Wheeling, WV Rocky Top Sports World - Gatlinburg, TN Page 446 of 570 Tami is a dedicated human resources leader with a proven track record of building systems for attracting and retaining top talent and supporting the development of proactive work cultures for companies of various sizes and industries. Tami takes her experience building high-performing work forces to her role as VP of Human Resources for SFC. VP, HUMAN RESOURCES TAMISwanson SPECIALTIES : talent acquisition, employee performance oversight, professional development YEARS IN INDUSTRY: 21 In this position, Tami leads all of aspects of human resources from hire to retire, talent acquisition, payroll, benefits, and training and development. Her expertise in team devel- opment creates a talent pipeline for SF Network venues. Additionally, Tami is committed to creating an environment that is warm and welcoming to all team members through approachability, kindness, and respect. Tami began her career in retail operations where she held several leadership roles. Her passion for helping team members reach their professional goals led to her transition into human resources. Since then, she’s made a large impact on the organizations she’s worked with by increasing the levels of employee engagement and continuous process improve- ment. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS Senior Professional in Human Resources Certification (SPHR) Society of Human Resource Management – Certified Professional (SHRM-CP) NOTABLE PROJECTS Cedar Point Sports Center - Sandusky, OH Publix Sports Park - Panama City Beach, FL Community First Champion Center - Grand Chute, WI Elizabethtown Sports Park - Elizabethtown, KY Iron Peak Sports & Events - Hillsborough, NJ Ballparks of America - Branson, MO Page 447 of 570 Bruce has 26 years of law practice experience and has taught and lectured on Sports Law topics during most of that time. He has worked in professional sports for the Indianapolis Colts, collegiate athletics at the University of Kentucky and as a volunteer leader for numerous local, state and national youth sports organizations and events. GENERAL COUNSEL BRUCERector SPECIALTIES : risk management & insurance guidance, legal counsel YEARS IN INDUSTRY: 26 EDUCATION University of Kentucky He also served as the 58th president of Junior Chamber International (JCI), a 200,000-member organization of young leaders and entrepreneurs from over 100 countries. Prior to joining SFC, Bruce was President of KBA Sports, Inc., in Lexington, Kentucky where he led a team of professionals in organizing, hosting, and managing large sports and recreation programs including regional and national championship tournaments. In his final year at KBA Sports, the organization attracted over 500,000 visitors for various tournaments and events. An inspiring speaker, trainer and author on leadership topics, Bruce is the author of Monday Morning Messages: Teaching, Inspiring and Motivating to Lead (Xephor Press 2005). He currently serves on the board of trustees at the University of the Cumberlands and is also active in a number of non-profit organizations in the Tampa Bay area. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS University of the Cumberlands Board of Trustees Leadership Pinellas Clearwater Regional Chamber of Commerce NOTABLE PROJECTS Rocky Top Sports World - Gatlinburg, TN Myrtle Beach Sports Center - Myrtle Beach, SC Elizabethtown Sports Park - Elizabethtown, KY Publix Sports Park - Panama City Beach, FL Rocky Mount Event Center - Rocky Mount, NC Bo Jackson’s Elite Sports - Hilliard, OH Pelican Bay Aquatic Center - Edmond, OK Ballparks of America - Branson, MO Page 448 of 570 Project Team: Organized to create results Ashley Whittaker VP of Marketing Bruce Rector Legal Compliance Risk Management Ken Cobb Aquatics Design Subject Matter Expert City of Palm Desert Sports Facilities Companies TBD Onsite General Manager Jason Clement CEO Bob Stout Finance & Accounting Tami Swanson Human Resources Team Development Michael Kelly Executive Vice President TBD SFC will conduct a national search inclusive of existing staff and personnel within the SFC ecosystem in effort to find the top candidate. The City will have ultimate veto and approval authority for this role. Jim Arnold Partner, Business Development Page 449 of 570 25 SPORTS FACILITIES COMPANIES D. Proposed Method to Accomplish the Work Page 450 of 570 26 SPORTS FACILITIES COMPANIES SFC is comprised of a dedicated corporate team of over 60+ employees to support Palm Desert staff with subject-matter expertise, real-time operational assistance, and database of proven strategies from our existing facilities within the SF Network. One Team, One Network People are the lifeblood of any organization, but it is never truer than in a recreation and aquatics facility. Our People & Culture team is dedicated to ensuring all 1500+ SFC team in the SF Network have the support, development, and leadership they need to be successful. We also manage the tactical and operational elements of traditional HR duties. For Palm Desert, our People & Culture team will provide: • Recruiting/Talent Acquisition Services for the Aquatics Director and Seasonal Lifeguards• Document Resources including Employee Handbooks• Benefits Management• SFC Cultural Onboarding• Ongoing Leadership Training & SFC Summits• Staff Change Management• Succession Planning Staff Training & Development SFC full-time facility staff have custom onboarding plans and leader- ship training at our corporate headquarters in Clearwater, FL. At HQ, they have access to our specialty support departments within their first month with SFC. For the Aquatics Director, SFC also hosts on- site leadership training at our Spring GM Summit and the SFC Lead- ership Summit each fall. These events offer time for best practice sharing among all senior leadership in the SF Network as well as new policy roll-out, process/change review, best practices, inspirational speakers, and more tactical development sessions (e.g. booking best practices). SFC also utilizes training programs for our applicant tracking system and hiring, performance management, benefits, payroll, and more. Finance ANNUAL BUSINESS PLAN Each year SFC will facilitate an in-depth strategy session with the City and facility staff to refine and expand the definitions of success and desired outcomes. This is especially important over the first few years as future phases are developed. This discussion can also include how other parks and recreation assets in the City can fit into the overall short-term and long-term operational strategy. ANNUAL OPERATING BUDGET Using the annual business plan as the foundation, SFC will work with the City to create a detailed annual operating budget. SFC’s proven budgeting process based on expected revenue provides the framework for the most successful and profitable operating model possible. The budget may be adjusted over time in coordination with the City as partnerships are developed and opportunities are discovered based on current market and community conditions, while still referencing the original pro forma. The City will have full authority over the operating budget and it will not be finalized until it receives full City sign-off and support. MONTHLY VARIANCE REPORTING With SFC your facility will undergo a rigorous monthly “Budget Versus Actual” (variance) review. Led by your Account Executive and General Manager, SFC will perform a monthly top-to-bottom review of the operation including a line item review of “Budget vs. Actual” results. The process includes a review of the prior month performance, a forward-looking discussion of critical action items, marketing initiatives, and a pace-to-goal session. This “variance” process drives performance and accountability while providing the facility team with the expertise and resources of SFC advisors human resources & accounting Page 451 of 570 27 SPORTS FACILITIES COMPANIES RISK MANAGEMENT & safety Insurance Policies: SFC carries comprehensive insurance policies at all of our venues that meet or exceed the standard insurance requirements. Depending on the facility and management structure, these coverages may include: accident, general liability, workers’ compensation, auto, and property insurance. Due to SFC's extensive list of unique facilities and features, we are also capable of sourcing innovative insurance solutions for aquatics venues. Waivers & Agreements SFC’s risk management program includes waivers and agreements for facility participants, subcontractors, and event owners to mitigate or transfer the financial responsibility if an incident should occur. Examples of these waivers are: participant waiver and release of liability, medical consent form, image release, facility use agreements, sub-contractor and vendor agreements. Facility Policy & Procedures: SFC facility staff is routinely trained on SFC’s risk management policies and procedures and the appropriate resources to use when if an incident does occur. This includes: • Daily Facility Walk-Throughs • Equipment Inspections • Kitchen Safety • First Aid 01 02 03 Our aquatics risk management program is broken down into 3 important elements: • Accident Reports • Fire and Severe Weather Policies • Fall Prevention SPORTS FACILITIES COMPANIES RISK MANAGEMENT EXPERIENCE SFC's in-house facility legal, risk management and insurance program team has 30 years of experience in teaching and lecturing at universities on sports risk management topics and working with clients to minimize risks, manage claims and control costs. We understand the increased licensing, regulation and monitoring needed for higher risk activities such as aquatics have years of experience with compliance and staying ahead of safety and risk management trends. Page 452 of 570 28 SPORTS FACILITIES COMPANIES The SFC team is uniquely suited to serve our community aquatics team. Our background, experience, and culture allow us to find solutions and generate results where others may not. At SFC we recognize that the management of the Palm Desert Aquatic Center is a large investment of time and resources of the City. We don't take the responsibility to operate and optimize this tremendous community asset lightly. SFC have a purpose built solution to help achieve your desired outcomes for the aquatic center. SFC attracts talent that would not otherwise work in the venues we oversee. This is the result of our mission, national reach, reputation, culture, network of relationships and the unique development and career opportunities we offer. We recruit from the recreation, sports and aquatic, and hospitality and events markets and will place the most qualified Aquatics Director. Our dedication to collaboration ensures our team, the City of Palm Desert, and the Palm Desert Aquatic Center visitors all benefit from this collective expertise. The local SFC account leadership is supported by departments of subject-matter experts to provide Palm Desert with the resources needed for success. The SFC - Palm Desert Aquatic Center Director will: SFC Aquatics director & Account leadership • Be responsible for all seasonal employee interviews, hiring, orientations as well as terminations, worker’s compensation claims, and unemployment claims. • Coach and counsel team members on park procedures and protocol to ensure the best possible customer service for guests. • Assist and advise park ownership/management in the creation and implementation of operating policies and standards that affect all departments. • Develop and sustain a safe, efficient, professional, respectful and courteous culture within the park. • Oversee the implementation and execution of department training programs to achieve and exceed compliance with industry standards. • Directly supervise facility employees including: scheduling, training, and performance goals. • Conduct investigations to respond to reports of harassment, complaints, and violations of company policy/legal regulations. • Responsible for departmental forecasting, budgeting, purchasing, invoicing and inventory processing. • Oversee and run all forms of social media and marketing with the assistance of the SFC Marketing Team. • Plan, organize, and control all extra-curricular activities for the park, to include employee events, fundraisers and employee incentive programs. Page 453 of 570 29 SPORTS FACILITIES COMPANIES POOL Maintenance & Chemical Program Aquatic facilities require periodic maintenance, and without a sound approach to planning and managing maintenance, a facility may fall into disrepair at an alarming rate, requiring repairs far more costly than anticipated. Preventative maintenance is far more important and far less costly in protecting the various facility systems and components involved in operating an aquatic center. While we understand that the City of Palm Desert contracts with a third party to provide facility maintenance, SFC staff will be fully trained and aware of the daily maintenance needs to operate the aquatic center efficiently, report on issues, and provide work orders to the maintenance firm. PREVENTATIVE MAINTENANCE PLAN SFC will provide a preventative maintenance plan for the Palm Desert Aquatic Center. Our engineering and operations specialists will evaluate the aquatic center’s equipment and systems to determine maintenance needs and provide a standard operating procedure on how each piece of equipment will be maintained. Our team will also and identify any specialty equipment required to complete planned maintenance activities. MAINTENANCE BUDGET Utilizing decades of experience providing maintenance budgets and proformas for aquatic centers, SFC will provide a maintenance budget based on pool size, features and maintenance needs of the Palm Desert Aquatic Center. SFC will also provide an outlay of predicted capital maintenance needs over the next 5 – 10 years to ensure the facility looks and operates like it did on opening day. MAINTENANCE STAFFING SFC will train the on-site staff in the operations of the aquatic center systems and preventative maintenance tasks. Additionally, SFC will train staff to inspect and document daily, weekly and monthly maintenance checks for each piece of equipment at the aquatic center to ensure each piece of equipment operates as designed and as long as possible. SFC will work with the third-party maintenance firm to ensure all training is in line with expectations of reporting and work order preparation for repairs. CHEMICAL APPLICATION SFC will determine the appropriate application of chemicals to the aquatic center. Each chemical delivery system has a different maintenance protocol, product availability and operational considerations for the aquatic center. Our team has experience in maintaining and operating all commercially available chemical delivery systems and will train maintenance staff to operate each system as designed. SFC anticipates the following non-exhaustive list of chemicals to be utilized at the aquatic center: • Disinfection ◦Chlorine (in one or multiple of it’s delivery forms) • pH Control ◦Muriatic acid (reduces total alkalinity) ◦Carbon dioxide ◦Sodium Carbonate (Soda Ash) raises the pH • Sodium thiosulfate – chlorine neutralizer • Calcium Chloride raises the calcium hardness • Sodium Bicarbonate raises the total alkalinity • Potassium Monopersulfate is a non-chlorine oxidizer All maintenance staff will be trained as qualified pool operators and will be trained in the safe handling of hazardous chemicals. Free Chlorine, pH, temperature, and ORP readings will be completed regularly, multiple times a day. Combined Chlorine will be tested a minimum of twice a day and recorded on the water test report. A full water balance report will be done once a week and will provide the pool personnel with the necessary information to make chemical adjustments to keep the pool well maintained and safe for swimmers. Water chemistry controllers assist pool operators by monitoring the ORP (Oxidation Reduction Potential) and the pH in the respective pool. These controllers do not take the place of manually testing the water by staff. Maintenance worker will be responsible for comparing the manual test results with the readings on the controller and make the necessary adjustments. SDS (Safety Data Sheets) will be provided for each chemical used at the aquatic center. Page 454 of 570 30 SPORTS FACILITIES COMPANIES SFC will provide Palm Desert Aquatic Center with a programming package that not only maximizes participation within the community, but also the City's desired revenue goals. Swim Lessons Both group and private lessons will continue to be made available at the facility. The facility program brochure will list all class times and fees. All program fees currently in place will be reviewed, current scheduling assessed, and any changes will be reviewed, and ultimately approved, by the City of Palm Desert. As with all other programs, the least possible disruption to current service offerings is the goal of SFC during the transition period. Party Programming Private Parties Private parties are typically made available after the facility closes. Reservations, secured with payment, must be made at least one month in advance (subject to availability). There is a limit of one party per day per area. Lifeguards are provided with each reservation. Birthday Parties In addition to private party rentals, the aquatic center can offer Birthday Party packages for youth and adults. Dedicated time slots will be available to rent for birthday parties each week. Party fees will include the rental of the space and a charge for each person joining the party. Additional options for food and drinks are also available. Additional Programs • Water aerobics, Aqua fit classes • Scuba diving certification classes • Red Cross Lifeguard Certification • Arthritis, MS, or other Focused Wellness Classes • Yoga, Spin, or other Group Fitness Classes • Water games existing service providers The first thing SFC will do if selected to manage the facility is to work with the City of Palm Desert to analyze all existing programming organizations, leagues, teams, schools, etc., Schedules, fees, and revenue will be assessed to understand the constraints of each program, the ability to improve reve- nue generation, and assess how best to utilize the aquatics facilities. facility programmingCOMMUNICATIONS & MARKETING A PROVEN MARKETING APPROACH FOR THE CITY OF PALM DESERT SFC’s marketing approach is designed to identify, engage, convert, and delight prospective customers. It’s this approach that we weave into an annual marketing strategy and 30, 60, and 90 day action planning. The annual marketing plan will be developed collaboratively with SFC headquarter subject matter experts, Palm Desert Aquatics Marketing Strategy & Annual Campaign Development Graphic Design Asset & Tool Development On-Site Delivery, Strate-gy Review & Marketing Training Marketing Campaigns Marketing is about reaching your target market with the right message and the right time. SFC's marketing team will utilize industry best practices to bring proven campaigns to Palm Desert Aquatic Center. Utilizing traditional seasonal schedule, we create awareness for programs, engage in online and grassroots environments, and convert users to customers. The messaging and creative design for these campaigns will be custom and will benefit from a strategic, results-driven marketing approach, demonstrating a proven ROI on marketing dollars. Supported By Award-Winning Creative SFC's marketing approach is supported by our award-winning in house creative team. From leading a collaborative brand development process to producing marketing collateral, our designers offer a wide ray of creative services. Our work is highly custom to support the City of Palm Desert including supporting your vision and goals for public perception, brand position, market awareness, and generating brand affinity. • Sales Support Collateral• Website Creative Direction & Project Management• Brand & Graphic Identity Development• Retail & Promotional Items• Marketing Materials: Flyers, Program Guides, Facility Guides• Video Creative Direction & Project Management Page 455 of 570 31 SPORTS FACILITIES COMPANIES REVENUE OPPORTUNITIES Food & BEVERAGE OPERATIONS Food and Beverage has the ability to be the singular most important revenue stream for any facility. The is no other revenue stream that has the ability to drive significant revenue to the facility while at the same time having the ability drive the overall guest experience. For Palm Desert, SFC is proposing full food and beverage operations as part of our management services. Our team is at the cutting edge of food and beverage development in the recreation industry, driving record spending and maximizing ROI in our venues. In addition to our corporate resources, our model allows the Palm Desert operations to keep 100% of revenues. SFC has implemented successful food and beverage operations in venues that range from full kitchens to those with no existing concession revenues. Our team will get creative with Palm Desert to maximize revenue and guest experience with the existing assets in place. Palm Desert Aquatic Center Revenue Opportunity Operations Venue Revenue Share 3rd Party Concessionaire 25 - 30% SFC Operations 100% SPONSORSHIP & NAMING RIGHTS Our team and approach have sold more naming rights for amateur sports facilities over the past 18 months than any other firm in the industry. Third party sponsorship companies charge in the range of $7,500/month and upwards of 30% commission. SFC provides an all-inclusive approach to sponsorship sales to the aquatic center as part of our management services. • Inventory assessment • Sponsorship & naming rights valuation • Strategic planning • Collateral development • Negotiation & contracting • Retainment & renewal Our unique perspective and process to maximizing sponsorship revenue will drive additional revenue and local engagement opportunities within the aquatic center. Our corporate services team combines resources and approach with our in-market team to create a custom, venue specific plan for the facility. PUT-it ON THE LIST One of the biggest issues that aquatic facilities face around the country is simply getting their brand, programs and offerings out in front of area residents. This is where SFC's ability to be more than just a facility manager or lifeguard management company comes into play. Along with the marketing focus described on the previous page, SFC's management is tasked with putting together a full schedule of creative programming - attracting guests and visitors for water-based and non-water based programs alike. Internally, we simply call this: "Putting the venue on the list." When a local resident or family is looking for something to do in the evening or on a weekend, we want the Palm Desert Aquatic Center to be one of the locations that they, "check-out." The ability to do this is driven by a mix of creative programming (foam parties, doggie days, movie events) and routine weekly events (live music, food truck fridays, etc.) Page 456 of 570 32 SPORTS FACILITIES COMPANIES FIRST 30 DAYS 1. Immediate (48 Hrs) - Introductory Web Call a. Introductions b. Clients introduce facilities to SFC Team c. Transition expectations d. Schedule in market “kickoff meeting” - discussion & goals 2. In Market Operations Kickoff (Week 2/3) c. SFC inquiry – learn history and goals of each location d. Introduction to SFC Operations e. Key Performance Indicators (KPI’s) & financial history review f. Interview staff 3. Pre In-Market Kickoff Work - Ongoing 4. Programming Evaluation a. Membership b. Local programming - c. Tournaments / competitions d. Parties & entertainment e. Rentals f. Corporate partnerships 5. Revenue, Expenses, Margins Review a. All revenue streams (i.e., programming, sponsor, F&B, membership, etc.) b. COGS vs Expenses c. Margins & profit 6. Marketing Assessment a. Brand b. Website c. Digital d. Social 7. Partnerships & Relationships a. Corporate b. Municipal c. Community d. Vendor e. Industry 8. Facilities & FFE Review a. Facilities condition assessment b. Maintenance review (service history, contracts) c. FFE condition review MANAGEMENT TRANSITION TIMELINE 9. Business Disciplines Review - Standard Operating Procedures (SOPs) a. Operations b. Marketing c. Programming d. Finance e. Safety / Risk Mgt f. Legal g. Human Resources / Training h. Systems 10. Systemic Infrastructure Review 11. Financial Management – Accounting & Bookkeeping, Capital Plan, Banking, Etc. 12. Legal – Current Contracts, Entity Structure, Insurance (Property, Liability, Work Comp), Etc. Days 30 - 45 1. SFC will provide Client recommendations for all areas of business operations 2. SFC will present Client a full action plan for transition of operations Days 45+ 1. SFC will provide management and oversight of facility operation teams with support on a weekly and monthly basis at the Ownership level, GM/ Director level, and management-level staff. b. Lead weekly management calls for business development & operations with the Client c. Participate in “Monthly Executive Review” meetings (facilities performance review) d. Facilitation of an Annual Business Plan for SRCT utilizing input and current research from SFC regarding current trends in the market and industry e. SFC assist in creating a budget, business plan, and marketing action plans f. SFC will provide regular support where needed, including supplier recommendation, new software or any other services that may assist facility operations SFC understands that in any situation where management changes, there is a need for consistent communication, clear delineation of next steps, and a developed plan for both short-term and long-term facility needs. With extensive experience assuming management responsibilities, SFC has a proven track record of success ensuring there is no disruption in service to guests, a clear transition for employees, and an open line of communication at all times. Page 457 of 570 CITY OF PALM DESERT, CA // 2023-RFP-206 MANAGEMENT & OPERATIONS OF THE PALM DESERT AQUATIC CENTER-Cost proposal September 5, 2023 THE SPORTS FACILITIES COMPANIES // SPORTS FACILITIES MANAGEMENT, LLC Page 458 of 570 ii SPORTS FACILITIES COMPANIES FULL-TIME MANAGEMENT* Year 1 - $264,000 per year, Estimated Staffing Allowance of $900,000** Year 2 - $277,200 per year, Estimated Staffing Allowance of $945,000** Year 3 - $291,060 per year, Estimated Staffing Allowance of $992,250** Year 4 - $305,613 per year, Estimated Staffing Allowance of $1,044,862.50** Year 5 - $320,893.65 per year, Estimated Staffing Allowance of $1,093,955.63** Pricing above reflects a 5% year-over-year escalation. Deferred management incentive of 10% of EBITDA above $100,000 per year. *This fee reflects the day-to-day management of the facility and includes daily operations, event setup, risk management procedures and training, general pool maintenance, events booking, local programming, marketing, financial reporting, and more. This fee does not include labor, materials, tools, equipment, services, and incidental and customary work per item 3.1.1 of the City of Palm Desert Professional Services Agreement. **SFC will work with the City of Palm Desert to establish a working budget that reflects strategies and opportunities to meet the City's goals for service and financial performance, i.e. net operating income inclusive of SFC's management fees as outlined above. As an immediate action item, SFC will perform an operational audit to identify opportunities to improve revenue generation and cost containment strategies. Cost containment strategies will focus on all aspects of operating the aquatic center with a particular focus on reviewing the operating schedule and required lifeguard staffing model to ensure that we are maximizing the safety of guests while controlling the expenses associated with lifeguards. We are excited about the opportunity to discuss the benefits of SFC's model with the City of Palm Desert and open to adjusting fees and approach as needed to ensure that we are meeting the needs of the City. SPORTS FACILITIES MANAGEMENT, LLC Based on the RFP, it is our intention to work with the City to ensure alignment between our scope and the most effective suite of services for the project. SFC is built on collaboration and we look forward to working with the City to align SFC’s approach and proposed compensation with the City of Palm Desert's desired financial and operational outcomes. Page 459 of 570 iii SPORTS FACILITIES COMPANIES With SFC's Full-Time Management (FTM) services, the Palm Desert Aquatic Center will get day-to-day oversight of all aspects of the venue including: • Daily operations, maintanence, and management • Sales • Staffing (including training and certification) • Scheduling • Program Development and Management • Monthly Financial Reporting • Human Resources Oversight • Legal and Risk Management Advisory Services • Bookkeeping • Local marketing initiatives to drive community events and pool memberships SFC's approach is much more robust than simply "opening the pool and staffing lifeguards." Our robust management solution will drive a better guest experience and greater financial outcomes for the City of Palm Desert. Personnel and Human Resources Services Sourcing, hiring, developing and retaining good people is the key to our organization. It begins with building a team that understands and lives our values of accountability, excellence, collaboration, and service. Our team truly cares about the operational outcomes and fights for the goals set forth by our clients. This will be the case at Palm Desert, and we only place personnel fully committed to your success. The SF Network was developed with the idea that facilities can be more successful when banded together to leverage resources and people. If managed by SFC, Palm Desert Aquatic Center and the City of Palm Desert will have access to resources and human capital that will reduce the burden on the City and create capacity of the on-site team. This ultimately provides better programming opportunities for the community and returns a greater ROI for the City. SFC's Human Resources Services: • Employee recruiting, training and retention • Annual customer service and multi-cultural training • Development of facility specific handbook • Employee diversification, development and training • Annual plan • Schedule development SFC's Network of General Managers The SF Network was developed with the idea that facilities can be more successful when banded together to leverage resources and people. Only SFC General Managers (including Palm Desert Aquatics Director) are part of the SF Network of GMs. This means that Palm Desert Aquatic Center will be led by an Aquatics Director that participates in the SFC weekly teleconference and/or Zoom meetings with other SFC-employed GMs and the team of SFC operations advisors. This call requires each facility manager to report in on the progress they are making against established goals and it provides opportunity for each of our GMs to seek perspective from other managers who are dealing with or have already overcome similar challenges. All of these centers deal with similar challenges and opportunities inherent to the sports/fitness/ recreation/entertainment facility industry. These managers are also benchmarked against one another and against the highest revenue producing and highest EBITDA-producing facilities in the country. Transparent Financial Reporting With SFC, Palm Desert will undergo a rigorous monthly “Budget Versus Actual” (variance) review. Led by a full-time SFC Management Advisor, your GM, leadership team, and staff will be part of a monthly top-to-bottom review of the operation including a line item review of “Budget vs. Actual” results. The process includes a review of the prior month performance, a forward-looking discussion of critical action items, marketing initiatives, and a pace-to-goal session. This “variance” process drives performance and accountability while providing the City of Palm Desert with complete transparency into the facility's finances. Marketing SFC’s in-house marketing and design team will partner with the City to create a strategic marketing plan and actionable campaigns to generate the results for the facility which includes: »Website optimization and social media campaign »PR campaign »Local community event creation »Integration and collaboration with local program and stakeholder groups »Direct Mail campaign »Ongoing weekly support calls and monthly strategy sessions »Initial focus on staff recruitment Using our experience in 40+ venues across the country, our team brings marketing strategies that utilize best practices and deep industry experience to drive conversions and achieve long-term performance goals. FULL-TIME MANAGEMENT Within this section, SFC has outlined our approach to support the City of Palm Desert through the successful management of the Palm Desert Aquatic Center. Page 460 of 570 iv SPORTS FACILITIES COMPANIES Additional Services In addition to operational oversight, staffing, marketing and financial tracking, the following services are also included in SFC’s Full-Time Management Services: 1. Computer & IT services and support 2. Payroll administration and support 3. Provide and administer health insurance program 4. Provide worker’s compensation insurance 5. Share ‘best-practices’ policies and procedures, acquired instructions and forms 6. Vendors, programs and software, and proven hardware solutions 7. Annual updating of Business Plan 8. Food & Beverage Plan 9. Insurance coverage, taxes and assessments, compliance with legal requirements, other fees and costs, etc. 10. Creation and annual review/updating of business plan and budgets 11. Detailed timeline and action items for development and facility/operation updates 12. Annual review of the business year prior and identification of new programming 13. Capital improvements suggestions and review 14. Identification of new investments 15. Recurring coaching and collaboration sessions with SFC management and SFC’S GM network. This robust suite of services will help to ensure long-term success for Palm Desert Aquatic Center. SFC's Team is continually looking for opportunities to improve the guest experience and drive bottom line performance."WE ARE THRILLED BY THE PROSPECT OF PARTNERING WITH THE CITY OF PALM DESERT TO OPERATE THE PALM DESERT AQUATIC CENTER." JASON CLEMENT, CEO Page 461 of 570 Under Jason’s leadership, the SF Companies have opened more successful sports and recreation venues than any organization in the country. As an experienced advisor he has provided planning, strategy, finance, and operational leadership to projects throughout the world. CEO & FOUNDER JASONClement SPECIALTIES : SFC leadership and oversight, long-term strategic direction, partnership management YEARS IN INDUSTRY: 21 The Sports Facilities’ firms have become globally recognized leaders focusing on transforming the health and economic vitality of communities around the world. As the Chief Executive Officer of SFC, Jason leads the strategic direction, culture, and service standards that define SFC in the public sector and private sector markets we serve. Under Jason’s leadership, SF Companies recently launched new products to serve communities focused on economic development and the youth and amateur sports industry. The initiatives include an event company, new technology platforms, food & beverage and gaming options. The firm is also focused on merchandising, purchasing, and leveraging social capital to improve access to sport. Formally trained and licensed as an architect, Jason began his career in sports architecture before transitioning into commercial development and corporate real estate management. The experience was the spark to bring similar professional management services to the youth & amateur sports industry. Jason is a passionate and faith driven contributor to causes that positively impact families and communities. He has founded, supported, and lead the growth as board chair to multiple organizations including Habitat for Humanity, Man Up and Go, Calvary Christian High School, Florida Small Business Development Center, and others. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS ICMA - Strategic Partner & Speaker NRPA - Speaker SportsETA - Featured Speaker & Content Contributor Board Chair - Habitat for Humanity, Man Up & Go Tampa Bay Business Journal “Hall of Fame” NOTABLE PROJECTS Aviator Sports & Events Center-Brooklyn NY Hoover Met Complex - Hoover, AL Pelican Bay Aquatice Center-Edmond, OK Spooky Nook Sports - Lancaster, PA Salvation Army KROC Center-South Bend IN Eugene Civic Alliance - Eugene OR The HUB Recreation Center-Marion, IL Panama City Beach Sports Park - PCB, FL Sand Mountain Park-Albertville, AL Paradise Coast Sports Complex - Naples, FL Page 462 of 570 Ken is responsible for SFC’s Aquatics Venues nationwide, assisting our clients with operating and optimizing our indoor and outdoor pool facilities and water parks. His broad and successful career has spanned almost twenty years of operations, programming, training, marketing, budgeting and forecasting. AQUATICS ACCOUNT EXECUTIVE KENCOBB SPECIALTIES : aquatics staff development, partnership collaboration YEARS IN INDUSTRY: 13 Ken has served as an Aquatics Director to municipal and recreational pools, competition pools, country clubs, water parks and private and public aquatic centers. He has worked with the YMCA, the American Red Cross®, and The Pool & Hot Tub Alliance® as a Water Safety Instructor, Lifeguard Instructor, and is a Certified Pool Operator. Ken is also an accomplished swim coach having been a coach member of USA Swimming® since 1984. Over his 20 years of coaching age group, senior club swimmers and high school athletes, he has produced multiple Junior Olympic qualifiers and finalists, state champions, junior and senior national qualifiers and college scholarship recipients. Ken maintains close ties to the competitive swimming world as a certified coach with the American Swim Coaches Association®, US Masters® Swimming, and USA Water Polo®. His vast experience overseeing our aquatics venues provides our clients the operational and programming expertise to appropriately serve their members and guests. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS Certified Pool Operator (CPO®) American Red Cross® Water Safety Instructor® (WSI) American Red Cross® Certified Lifeguard Instructor American Red Cross® CPR, First Aid and AED Certified Certified Coach Member of USA Swimming® Since 1985 American Swim Coaches Association® [ASCA] Level 3 Certification Certified Masters Coach with United States Masters Swimming® [USMS] Certified CPR, First Aid and Safety Training for Swim Coaches NOTABLE PROJECTS Adventure Cove Water Park - Abilene, TX Artesia Aquatic Center - Artesia, NM Caporella Aquatic Center - Tamarac, FL Pelican Bay Aquatic Center - Edmond, OK Page 463 of 570 Marina has over thirteen years of experience in aquatics and programming, including experience with the YMCA and the Oklahoma City Parks and Recreation Department. Marina brings her enduring passion for aquatics and enhancing the local community to her role as the General Manager at Pelican Bay Aquatic Center in Edmond, OK. AQUATICS SPECIALIST MARINAWells SPECIALTIES : staff development & training, programming, aquatic operations YEARS IN INDUSTRY: 13 In this position, Marina leads all components of daily operations for the seasonal water park. She ensures that best practices are implemented in the areas of safety, customer service, business development, staff development, risk mitigation, programming, and marketing and branding. Additionally, Marina attended Texas Tech University and is a certified aquatics facility operator and lifeguard instructor for the American Red Cross. Edmond’s Pelican Bay Aquatic Center is 17+ acre park that includes two 150 ft water slides, diving boards, a current channel, a climbing wall and a slide splash pool. Programming at Pelican Bay includes swim lessons, lifeguard certification, and aqua fitness as well as numerous special events throughout the season. The Center also has bathhouses and a concession area at the Pelican Bay Cafe Snack Bar and offers private rental for parties and events. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS Certified Pool Operator (CPO) Aquatic Facilities Operator (AFO) Lifeguard Instructor (LGI) Lifeguard Management NOTABLE PROJECTS Pelican Bay Aquatic Center - Edmond, OK *City of Oklahoma City Parks & Recreation Department *YMCA Page 464 of 570 19 SPORTS FACILITIES COMPANIES NATIONAL DIRECTOR OF BUSINESS DEVELOPMENT JIMARNOLD SPECIALTIES: business development, program planning, sustainability YEARS IN INDUSTRY: 19 EDUCATION: BS, Business Administration St. Bonaventure University MBA St. Bonaventure University Jim is widely recognized as one of the leading designers and developers of youth sports complexes in the United States. In his role as the National Business Development Director, Jim Arnold leads the expansion of the SF Network of sports and recreation destinations across the country. With over 18 years of experience in the industry, Jim has overseen the planning, design, development, and operations of many of the most innovative and successful facilities in the country. Notable has been his role in the development and growth of two of the largest brands in youth sports, Ripken Baseball and Sports Force Parks. As part of this role, Jim was instrumental in developing the company’s youth facilities from one park to three, with the additions of the Ripken Experience Myrtle Beach and the Ripken Experience Pigeon Forge. Jim’s projects are highly regarded for their ability to drive profitability throughout creative design and self-operations. While his career has been focused primarily on youth sports facility development, Jim has been involved in projects that touch all levels of sports across the world. From his role in the design of SRP Park (2018 Minor League Baseball Ballpark of the Year) to overseeing the development of a country-wide growth and development strategy for New Zealand Baseball; his experience across the sports landscape has an influential role in helping clients develop the most innovative, unique and sustainable sports facilities in the industry. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS 2019 Connect Sports Game Changer Baltimore’s 35 Under 35 MILB Stadium of the Year Champion of Economic Impact NOTABLE PROJECTS Cyclone Ballparks - Pecos, TX The Basin Sports Complex (UTPB) - Odessa, TX Ballparks of America - Branson, MO Paradise Coast Sports Complex - Naples, FL Cornerstone Sports Park - Starkville, MS Elizabethtown Sports Park - Elizabethtown, KY Ripken Experience - Myrtle Beach, SC; Pigeon Forge, TN; Aberdeen, MD* *Please note: Projects completed prior to joining the firm. Page 465 of 570 AE bioA driven collaborator and team leader, Ashley sits at the intersection of brand strategy, marketing, and sales. With award-winning creative work and proven strategies, Ashley brings with her a track record of success to every project and campaign. Clients get the benefit of SFC’s in-house marketing and branding “agency” led by Ashley. PARTNER & VP, MARKETING ASHLEYWHITTAKER SPECIALTIES : marketing strategy, brand development, business development YEARS IN INDUSTRY: 14 EDUCATION BA Industrial Design University of Illinois Ashley leads corporate business development and marketing for the Sports Facilities Companies as well as the SFC Facility Marketing Department which is responsible for the marketing, branding, and project management of SFM Network facilities. Under her leader- ship, inbound leads and inquiries have more than tripled, SFC’s firms have been featured in major media outlets such as HBO, TIME, and Wallstreet Journal, and SFC leadership is regularly sought out for interviews and speaking engagements. As the leader of SFC’s in-house agency, Ashley and her team develop engaging brands, results-driven marketing strategies, and bring proven solutions to SFC clients. In 2019, Ashley created and launched the SF Network platform which drives online booking, brand awareness, and creates cooperative marketing activations for all the facilities in the SFC portfolio. Ashley comes from a background in product design with Gill Athletics, the largest and oldest manufacturer of track and field equipment in North America and Porter Athletic, the basketball/volleyball heritage brand. Her unique blend of design thinking, leadership, and marketing strategy lends itself well to serving SF Network and SFC clients. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS SFC “MVP” Award Winner #StrongerTogether SportEvents Sales & Marketing Committee Guest Lecturer, University of Northern Iowa Gold & Silver ADDY Awards for Design Conference Speaker: ICMA, MRPA, US Indoor NOTABLE PROJECTS Hoover Metropolitan Complex, Hoover, AL Iron Peak Sports & Events, Hillsborough, NJ Cedar Point Sports Center, Sandusky, OH The Hub Recreation Center, Marion, IL Rocky Mount Events Center, Rocky Mount, NC Horizons Edge Sports Campus, Harrisonburg, VA Page 466 of 570 An energetic and results-driven financial leader, Bob has guided teams that perform finance functions for some of the world’s largest companies. Bob takes his experience developing and implementing financial processes at the highest level and his experience in a diverse set of industries to his role as Chief Financial Officer for SFC. PARTNER & CFO BOBSTOUT SPECIALTIES : financial forecasting, budget creation, risk management YEARS IN INDUSTRY: 20 Bob has extensive experience developing and implementing financial processes, systems, and controls for some of the world’s largest companies, including Walmart, Inc. He has a proven record of achievement in E-commerce, real estate development, and retail. Through his work, Bob has managed planning, forecasting, and reporting (external and internal) for multiple segment levels and corporate support areas, and has driven productivity and improved bottom-line results. Bob has in-depth experience leading acquisition due diligence and negotiations, including lease and contract reviews, best practice analysis, risk assessments, and valuations. Prior to joining the SF Companies, Bob served in a number of roles over a 10-year span at Walmart, Inc. As CFO, Bob led the finance and accounting teams for Walmart’s $3 billion e-commerce business (walmart.com) from 2008-2010. From 2012 to 2019, Bob also served as a city councilman and, then, as the mayor of the city of Little Flock, AR. This role provided Bob with experience in municipal budgeting, governmental fund accounting, state audits, and FEMA disaster application development and administration. Bob joined the SF Companies as the Chief Financial Officer, overseeing corporate and SF Network venue finance teams. Bob also oversees risk management and major corporate growth initiatives. RELEVANT PROJECTS Horizons Edge Sports Campus - Harrisonburg, VA Sand Mountain Park & Amphitheater - Albertville, AL Bridgeport Recreation Complex - Bridgeport, WV The Highlands Sports Complex - Wheeling, WV Rocky Top Sports World - Gatlinburg, TN Page 467 of 570 Tami is a dedicated human resources leader with a proven track record of building systems for attracting and retaining top talent and supporting the development of proactive work cultures for companies of various sizes and industries. Tami takes her experience building high-performing work forces to her role as VP of Human Resources for SFC. VP, HUMAN RESOURCES TAMISwanson SPECIALTIES : talent acquisition, employee performance oversight, professional development YEARS IN INDUSTRY: 21 In this position, Tami leads all of aspects of human resources from hire to retire, talent acquisition, payroll, benefits, and training and development. Her expertise in team devel- opment creates a talent pipeline for SF Network venues. Additionally, Tami is committed to creating an environment that is warm and welcoming to all team members through approachability, kindness, and respect. Tami began her career in retail operations where she held several leadership roles. Her passion for helping team members reach their professional goals led to her transition into human resources. Since then, she’s made a large impact on the organizations she’s worked with by increasing the levels of employee engagement and continuous process improve- ment. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS Senior Professional in Human Resources Certification (SPHR) Society of Human Resource Management – Certified Professional (SHRM-CP) NOTABLE PROJECTS Cedar Point Sports Center - Sandusky, OH Publix Sports Park - Panama City Beach, FL Community First Champion Center - Grand Chute, WI Elizabethtown Sports Park - Elizabethtown, KY Iron Peak Sports & Events - Hillsborough, NJ Ballparks of America - Branson, MO Page 468 of 570 Bruce has 26 years of law practice experience and has taught and lectured on Sports Law topics during most of that time. He has worked in professional sports for the Indianapolis Colts, collegiate athletics at the University of Kentucky and as a volunteer leader for numerous local, state and national youth sports organizations and events. GENERAL COUNSEL BRUCERector SPECIALTIES : risk management & insurance guidance, legal counsel YEARS IN INDUSTRY: 26 EDUCATION University of Kentucky He also served as the 58th president of Junior Chamber International (JCI), a 200,000-member organization of young leaders and entrepreneurs from over 100 countries. Prior to joining SFC, Bruce was President of KBA Sports, Inc., in Lexington, Kentucky where he led a team of professionals in organizing, hosting, and managing large sports and recreation programs including regional and national championship tournaments. In his final year at KBA Sports, the organization attracted over 500,000 visitors for various tournaments and events. An inspiring speaker, trainer and author on leadership topics, Bruce is the author of Monday Morning Messages: Teaching, Inspiring and Motivating to Lead (Xephor Press 2005). He currently serves on the board of trustees at the University of the Cumberlands and is also active in a number of non-profit organizations in the Tampa Bay area. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS University of the Cumberlands Board of Trustees Leadership Pinellas Clearwater Regional Chamber of Commerce NOTABLE PROJECTS Rocky Top Sports World - Gatlinburg, TN Myrtle Beach Sports Center - Myrtle Beach, SC Elizabethtown Sports Park - Elizabethtown, KY Publix Sports Park - Panama City Beach, FL Rocky Mount Event Center - Rocky Mount, NC Bo Jackson’s Elite Sports - Hilliard, OH Pelican Bay Aquatic Center - Edmond, OK Ballparks of America - Branson, MO Page 469 of 570 Under Jason’s leadership, the SF Companies have opened more successful sports and recreation venues than any organization in the country. As an experienced advisor he has provided planning, strategy, finance, and operational leadership to projects throughout the world. CEO & FOUNDER JASONClement SPECIALTIES : SFC leadership and oversight, long-term strategic direction, partnership management YEARS IN INDUSTRY: 21 The Sports Facilities’ firms have become globally recognized leaders focusing on transforming the health and economic vitality of communities around the world. As the Chief Executive Officer of SFC, Jason leads the strategic direction, culture, and service standards that define SFC in the public sector and private sector markets we serve. Under Jason’s leadership, SF Companies recently launched new products to serve communities focused on economic development and the youth and amateur sports industry. The initiatives include an event company, new technology platforms, food & beverage and gaming options. The firm is also focused on merchandising, purchasing, and leveraging social capital to improve access to sport. Formally trained and licensed as an architect, Jason began his career in sports architecture before transitioning into commercial development and corporate real estate management. The experience was the spark to bring similar professional management services to the youth & amateur sports industry. Jason is a passionate and faith driven contributor to causes that positively impact families and communities. He has founded, supported, and lead the growth as board chair to multiple organizations including Habitat for Humanity, Man Up and Go, Calvary Christian High School, Florida Small Business Development Center, and others. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS ICMA - Strategic Partner & Speaker NRPA - Speaker SportsETA - Featured Speaker & Content Contributor Board Chair - Habitat for Humanity, Man Up & Go Tampa Bay Business Journal “Hall of Fame” NOTABLE PROJECTS Aviator Sports & Events Center-Brooklyn NY Hoover Met Complex - Hoover, AL Pelican Bay Aquatice Center-Edmond, OK Spooky Nook Sports - Lancaster, PA Salvation Army KROC Center-South Bend IN Eugene Civic Alliance - Eugene OR The HUB Recreation Center-Marion, IL Panama City Beach Sports Park - PCB, FL Sand Mountain Park-Albertville, AL Paradise Coast Sports Complex - Naples, FL Page 470 of 570 Ken is responsible for SFC’s Aquatics Venues nationwide, assisting our clients with operating and optimizing our indoor and outdoor pool facilities and water parks. His broad and successful career has spanned almost twenty years of operations, programming, training, marketing, budgeting and forecasting. AQUATICS ACCOUNT EXECUTIVE KENCOBB SPECIALTIES : aquatics staff development, partnership collaboration YEARS IN INDUSTRY: 13 Ken has served as an Aquatics Director to municipal and recreational pools, competition pools, country clubs, water parks and private and public aquatic centers. He has worked with the YMCA, the American Red Cross®, and The Pool & Hot Tub Alliance® as a Water Safety Instructor, Lifeguard Instructor, and is a Certified Pool Operator. Ken is also an accomplished swim coach having been a coach member of USA Swimming® since 1984. Over his 20 years of coaching age group, senior club swimmers and high school athletes, he has produced multiple Junior Olympic qualifiers and finalists, state champions, junior and senior national qualifiers and college scholarship recipients. Ken maintains close ties to the competitive swimming world as a certified coach with the American Swim Coaches Association®, US Masters® Swimming, and USA Water Polo®. His vast experience overseeing our aquatics venues provides our clients the operational and programming expertise to appropriately serve their members and guests. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS Certified Pool Operator (CPO®) American Red Cross® Water Safety Instructor® (WSI) American Red Cross® Certified Lifeguard Instructor American Red Cross® CPR, First Aid and AED Certified Certified Coach Member of USA Swimming® Since 1985 American Swim Coaches Association® [ASCA] Level 3 Certification Certified Masters Coach with United States Masters Swimming® [USMS] Certified CPR, First Aid and Safety Training for Swim Coaches NOTABLE PROJECTS Adventure Cove Water Park - Abilene, TX Artesia Aquatic Center - Artesia, NM Caporella Aquatic Center - Tamarac, FL Pelican Bay Aquatic Center - Edmond, OK Page 471 of 570 Marina has over thirteen years of experience in aquatics and programming, including experience with the YMCA and the Oklahoma City Parks and Recreation Department. Marina brings her enduring passion for aquatics and enhancing the local community to her role as the General Manager at Pelican Bay Aquatic Center in Edmond, OK. AQUATICS SPECIALIST MARINAWells SPECIALTIES : staff development & training, programming, aquatic operations YEARS IN INDUSTRY: 13 In this position, Marina leads all components of daily operations for the seasonal water park. She ensures that best practices are implemented in the areas of safety, customer service, business development, staff development, risk mitigation, programming, and marketing and branding. Additionally, Marina attended Texas Tech University and is a certified aquatics facility operator and lifeguard instructor for the American Red Cross. Edmond’s Pelican Bay Aquatic Center is 17+ acre park that includes two 150 ft water slides, diving boards, a current channel, a climbing wall and a slide splash pool. Programming at Pelican Bay includes swim lessons, lifeguard certification, and aqua fitness as well as numerous special events throughout the season. The Center also has bathhouses and a concession area at the Pelican Bay Cafe Snack Bar and offers private rental for parties and events. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS Certified Pool Operator (CPO) Aquatic Facilities Operator (AFO) Lifeguard Instructor (LGI) Lifeguard Management NOTABLE PROJECTS Pelican Bay Aquatic Center - Edmond, OK *City of Oklahoma City Parks & Recreation Department *YMCA Page 472 of 570 18 SPORTS FACILITIES COMPANIES NATIONAL DIRECTOR OF BUSINESS DEVELOPMENT JIMARNOLD SPECIALTIES: business development, program planning, sustainability YEARS IN INDUSTRY: 19 EDUCATION: BS, Business Administration St. Bonaventure University MBA St. Bonaventure University Jim is widely recognized as one of the leading designers and developers of youth sports complexes in the United States. In his role as the National Business Development Director, Jim Arnold leads the expansion of the SF Network of sports and recreation destinations across the country. With over 18 years of experience in the industry, Jim has overseen the planning, design, development, and operations of many of the most innovative and successful facilities in the country. Notable has been his role in the development and growth of two of the largest brands in youth sports, Ripken Baseball and Sports Force Parks. As part of this role, Jim was instrumental in developing the company’s youth facilities from one park to three, with the additions of the Ripken Experience Myrtle Beach and the Ripken Experience Pigeon Forge. Jim’s projects are highly regarded for their ability to drive profitability throughout creative design and self-operations. While his career has been focused primarily on youth sports facility development, Jim has been involved in projects that touch all levels of sports across the world. From his role in the design of SRP Park (2018 Minor League Baseball Ballpark of the Year) to overseeing the development of a country-wide growth and development strategy for New Zealand Baseball; his experience across the sports landscape has an influential role in helping clients develop the most innovative, unique and sustainable sports facilities in the industry. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS 2019 Connect Sports Game Changer Baltimore’s 35 Under 35 MILB Stadium of the Year Champion of Economic Impact NOTABLE PROJECTS Cyclone Ballparks - Pecos, TX The Basin Sports Complex (UTPB) - Odessa, TX Ballparks of America - Branson, MO Paradise Coast Sports Complex - Naples, FL Cornerstone Sports Park - Starkville, MS Elizabethtown Sports Park - Elizabethtown, KY Ripken Experience - Myrtle Beach, SC; Pigeon Forge, TN; Aberdeen, MD* *Please note: Projects completed prior to joining the firm. Page 473 of 570 A driven collaborator and team leader, Ashley sits at the intersection of brand strategy, marketing, and sales. With award-winning creative work and proven strategies, Ashley brings with her a track record of success to every project and campaign. Clients get the benefit of SFC’s in-house marketing and branding “agency” led by Ashley. PARTNER & VP, MARKETING ASHLEYWHITTAKER SPECIALTIES : marketing strategy, brand development, business development YEARS IN INDUSTRY: 14 EDUCATION BA Industrial Design University of Illinois Ashley leads corporate business development and marketing for the Sports Facilities Companies as well as the SFC Facility Marketing Department which is responsible for the marketing, branding, and project management of SFM Network facilities. Under her leader- ship, inbound leads and inquiries have more than tripled, SFC’s firms have been featured in major media outlets such as HBO, TIME, and Wallstreet Journal, and SFC leadership is regularly sought out for interviews and speaking engagements. As the leader of SFC’s in-house agency, Ashley and her team develop engaging brands, results-driven marketing strategies, and bring proven solutions to SFC clients. In 2019, Ashley created and launched the SF Network platform which drives online booking, brand awareness, and creates cooperative marketing activations for all the facilities in the SFC portfolio. Ashley comes from a background in product design with Gill Athletics, the largest and oldest manufacturer of track and field equipment in North America and Porter Athletic, the basketball/volleyball heritage brand. Her unique blend of design thinking, leadership, and marketing strategy lends itself well to serving SF Network and SFC clients. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS SFC “MVP” Award Winner #StrongerTogether SportEvents Sales & Marketing Committee Guest Lecturer, University of Northern Iowa Gold & Silver ADDY Awards for Design Conference Speaker: ICMA, MRPA, US Indoor NOTABLE PROJECTS Hoover Metropolitan Complex, Hoover, AL Iron Peak Sports & Events, Hillsborough, NJ Cedar Point Sports Center, Sandusky, OH The Hub Recreation Center, Marion, IL Rocky Mount Events Center, Rocky Mount, NC Horizons Edge Sports Campus, Harrisonburg, VA Page 474 of 570 An energetic and results-driven financial leader, Bob has guided teams that perform finance functions for some of the world’s largest companies. Bob takes his experience developing and implementing financial processes at the highest level and his experience in a diverse set of industries to his role as Chief Financial Officer for SFC. PARTNER & CFO BOBSTOUT SPECIALTIES : financial forecasting, budget creation, risk management YEARS IN INDUSTRY: 20 Bob has extensive experience developing and implementing financial processes, systems, and controls for some of the world’s largest companies, including Walmart, Inc. He has a proven record of achievement in E-commerce, real estate development, and retail. Through his work, Bob has managed planning, forecasting, and reporting (external and internal) for multiple segment levels and corporate support areas, and has driven productivity and improved bottom-line results. Bob has in-depth experience leading acquisition due diligence and negotiations, including lease and contract reviews, best practice analysis, risk assessments, and valuations. Prior to joining the SF Companies, Bob served in a number of roles over a 10-year span at Walmart, Inc. As CFO, Bob led the finance and accounting teams for Walmart’s $3 billion e-commerce business (walmart.com) from 2008-2010. From 2012 to 2019, Bob also served as a city councilman and, then, as the mayor of the city of Little Flock, AR. This role provided Bob with experience in municipal budgeting, governmental fund accounting, state audits, and FEMA disaster application development and administration. Bob joined the SF Companies as the Chief Financial Officer, overseeing corporate and SF Network venue finance teams. Bob also oversees risk management and major corporate growth initiatives. RELEVANT PROJECTS Horizons Edge Sports Campus - Harrisonburg, VA Sand Mountain Park & Amphitheater - Albertville, AL Bridgeport Recreation Complex - Bridgeport, WV The Highlands Sports Complex - Wheeling, WV Rocky Top Sports World - Gatlinburg, TN Page 475 of 570 Tami is a dedicated human resources leader with a proven track record of building systems for attracting and retaining top talent and supporting the development of proactive work cultures for companies of various sizes and industries. Tami takes her experience building high-performing work forces to her role as VP of Human Resources for SFC. VP, HUMAN RESOURCES TAMISwanson SPECIALTIES : talent acquisition, employee performance oversight, professional development YEARS IN INDUSTRY: 21 In this position, Tami leads all of aspects of human resources from hire to retire, talent acquisition, payroll, benefits, and training and development. Her expertise in team devel- opment creates a talent pipeline for SF Network venues. Additionally, Tami is committed to creating an environment that is warm and welcoming to all team members through approachability, kindness, and respect. Tami began her career in retail operations where she held several leadership roles. Her passion for helping team members reach their professional goals led to her transition into human resources. Since then, she’s made a large impact on the organizations she’s worked with by increasing the levels of employee engagement and continuous process improve- ment. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS Senior Professional in Human Resources Certification (SPHR) Society of Human Resource Management – Certified Professional (SHRM-CP) NOTABLE PROJECTS Cedar Point Sports Center - Sandusky, OH Publix Sports Park - Panama City Beach, FL Community First Champion Center - Grand Chute, WI Elizabethtown Sports Park - Elizabethtown, KY Iron Peak Sports & Events - Hillsborough, NJ Ballparks of America - Branson, MO Page 476 of 570 Bruce has 26 years of law practice experience and has taught and lectured on Sports Law topics during most of that time. He has worked in professional sports for the Indianapolis Colts, collegiate athletics at the University of Kentucky and as a volunteer leader for numerous local, state and national youth sports organizations and events. GENERAL COUNSEL BRUCERector SPECIALTIES : risk management & insurance guidance, legal counsel YEARS IN INDUSTRY: 26 EDUCATION University of Kentucky He also served as the 58th president of Junior Chamber International (JCI), a 200,000-member organization of young leaders and entrepreneurs from over 100 countries. Prior to joining SFC, Bruce was President of KBA Sports, Inc., in Lexington, Kentucky where he led a team of professionals in organizing, hosting, and managing large sports and recreation programs including regional and national championship tournaments. In his final year at KBA Sports, the organization attracted over 500,000 visitors for various tournaments and events. An inspiring speaker, trainer and author on leadership topics, Bruce is the author of Monday Morning Messages: Teaching, Inspiring and Motivating to Lead (Xephor Press 2005). He currently serves on the board of trustees at the University of the Cumberlands and is also active in a number of non-profit organizations in the Tampa Bay area. NOTEWORTHY MEMBERSHIPS, ACCREDITATIONS, & ACHIEVEMENTS University of the Cumberlands Board of Trustees Leadership Pinellas Clearwater Regional Chamber of Commerce NOTABLE PROJECTS Rocky Top Sports World - Gatlinburg, TN Myrtle Beach Sports Center - Myrtle Beach, SC Elizabethtown Sports Park - Elizabethtown, KY Publix Sports Park - Panama City Beach, FL Rocky Mount Event Center - Rocky Mount, NC Bo Jackson’s Elite Sports - Hilliard, OH Pelican Bay Aquatic Center - Edmond, OK Ballparks of America - Branson, MO Page 477 of 570 Project Team: Organized to create results Ashley Whittaker VP of Marketing Bruce Rector Legal Compliance Risk Management Ken Cobb Aquatics Design Subject Matter Expert City of Palm Desert Sports Facilities Companies TBD Onsite General Manager Jason Clement CEO Bob Stout Finance & Accounting Tami Swanson Human Resources Team Development Michael Kelly Executive Vice President TBD SFC will conduct a national search inclusive of existing staff and personnel within the SFC ecosystem in effort to find the top candidate. The City will have ultimate veto and approval authority for this role. Jim Arnold Partner, Business Development Page 478 of 570 Contract No. ____________ CITY OF PALM DESERT PROFESSIONAL SERVICES AGREEMENT 1. PARTIES AND DATE. This Agreement is made and entered into this 12th day of OCTOBER, 2023, by and between the City of Palm Desert, a municipal corporation organized under the laws of the State of California with its principal place of business at 73-510 Fred Waring Drive, Palm Desert, California 92260-2578, County of Riverside, State of California (“City”) and SPORTS FACILITIES MANAGEMENT, a LIMITED LIABILITY COMPANY, with its principal place of business at 600 CLEVELAND STREET, SUITE 910, CLEARWATER, FL 33755 ("Consultant"). City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties." 2. RECITALS. 2.1 Project. The City is a public agency of the State of California and is in need of professional services for the following project: PALM DESERT AQUATIC CENTER MANAGEMENT AND OPERATIONS (hereinafter referred to as “the Project”). 2.2 Consultant. Consultant desires to perform and assume responsibility for the provision of certain professional services required by the City on the terms and conditions set forth in this Agreement. Consultant is duly licensed and has the necessary qualifications to provide such services. 3. TERMS. 3.1 Scope of Services and Term. 3.1.1 General Scope of Services. Consultant promises and agrees to furnish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately supply the services necessary for the Project ("Services"). The Services are more particularly described in Exhibit "A" attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state, and federal laws, rules, and regulations. 3.1.2 Term. The term of this Agreement shall be from NOVEMBER 1, 2023, to JUNE 30, 2029, unless earlier terminated as provided herein. The City shall have the unilateral option, at its sole discretion, to renew this Agreement automatically for no more than 5 additional one-year terms. Consultant shall complete the Services within the term of this Agreement and shall meet any other established schedules and deadlines. 3.2 Responsibilities of Consultant. 3.2.1 Independent Contractor; Control and Payment of Subordinates. The Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods, and details of performing the Services subject to the requirements of this Agreement. City retains Consultant on an independent contractor basis and not as an employee. Any personnel performing the Services shall not be employees of the City and shall at all times be under Consultant's exclusive direction and control. Neither City, or any of its officials, officers, directors, employees, or agents shall have control over the conduct of Consultant or any of Consultants officers, employees or agents, except as set forth in this Agreement. Consultant shall Page 479 of 570 Contract No. ____________ pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. 3.2.2 Schedule of Services. Consultant shall perform the Services in a prompt and timely manner in accordance with the Schedule of Services set forth in Exhibit "B" attached hereto and incorporated herein by reference. Consultant represents that it has the professional and technical personnel required to perform the Services expeditiously. Upon request of City, Consultant shall provide a more detailed schedule of anticipated performance to meet the Schedule of Services. 3.2.3 Conformance to Applicable Requirements. All work prepared by Consultant shall be subject to the approval of City. 3.2.4 Substitution of Key Personnel. Consultant has represented to City that certain key personnel will perform and coordinate the Services. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of City. In the event that City and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to t erminate this Agreement for cause. The key personnel for performance of this Agreement are as follows: MICHAEL KELLY, BRUCE RECTOR, KEN COBB, ASHLEY WHITTAKER, JIM ARNOLD, JASON CLEMENT, BOB STOUT, AND TAMI SWANSON. 3.2.5 City's Representative. The City hereby designates SHAWN MUIR, COMMUNITY SERVICES MANAGER, or his/her designee, to act as its representative in all matters pertaining to the administration and performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on behalf of the City for review and approval of all products submitted by Consultant but not the authority to enlarge the scope of Services or change the total compensation due to Consultant under this Agreement. The City Manager shall be authorized to act on City's behalf and to execute all necessary documents which enlarge the scope of services or change the Consultant's total compensation subject to the provisions contained in Section 3.3 of this Agreement. Consultant shall not accept direction or orders from any person other than the City Manager, City's Representative or his/her designee. 3.2.6 Consultant's Representative. Consultant hereby designates KEN COBB, ACCOUNT MANAGER, or his/her designee, to act as its representative for the performance of this Agreement ("Consultant's Representative"). Consultant's Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Agreement. The Consultant's Representative shall supervise and direct the Services, using his/her best skill and attention, and shall be responsible for all means, methods, techniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement. 3.2.7 Coordination of Services. Consultant agrees to work closely with City staff in the performance of Services and shall be available to City's staff, consultants, and other staff at all reasonable times. 3.2.8 Standard of Care; Performance of Employees. Consultant shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Consultant represents and maintains that it is skilled in the professional calling Page 480 of 570 Contract No. ____________ necessary to perform the Services. Consultant warrants that all employees and subconsultants shall have sufficient skill and experience to perform the Services assigned to them. Consultant represents that it, its employees and subconsultants have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, and that such licenses and approvals shall be maintained throughout the term of this Agreement. Consultant shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Consultant's failure to comply with the standard of care provided herein. Any employee of the Consultant or its sub-consultants who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Consultant and shall not be re-employed to perform any of the Services or to work on the Project. 3.2.9 Period of Performance. Consultant shall perform and complete all Services under this Agreement within the term set forth in Section 3.1.2 above (“Performance Time”). Consultant shall also perform the Services in strict accordance with any completion schedule or Project milestones described in Exhibits “A” or “B” attached hereto, or which may be separately agreed upon in writing by the City and Consultant (“Performance Milestones”). Consultant agrees that if the Services are not completed within the aforementioned Performance Time and/or pursuant to any such Performance Milestones developed pursuant to provisions of this Agreement, it is understood, acknowledged and agreed that the City will suffer damage. Neither City nor Consultant shall be considered in default of this Agreement for delays in performance caused by circumstances beyond the reasonable control of the non-performing Party. For purposes of this Agreement, such circumstances include a Force Majeure Event. A Force Majeure Event shall mean an event that materially affects a Party’s performance and is one or more of the following: (1) Acts of God or other natural disasters; (2) terrorism or other acts of a public enemy; (3) orders of governmental authorities (including, without limitation, unreasonable and unforeseeable delay in the issuance of permits or approvals by governmental authorities that are required for the services); (4) strikes and other organized labor action occurring at the site and the effects thereof on the services, only to the extent such strikes and other organized labor action are beyond the control of Consultant and its subcontractors, and to the extent the effects thereof cannot be avoided by use of replacement workers; and (5) pandemics, epidemics or quarantine restrictions. For purposes of this section, “orders of governmental authorities,” includes ordinances, emergency proclamations and orders, rules to protect the public health, welfare and safety, and other actions of a public agency applicable to the services and Agreement. Should a Force Majeure Event occur, the non-performing Party shall, within a reasonable time of being prevented from performing, give written notice to the other Party describing the circumstances preventing continued performance and the efforts being made to resume performance of this Agreement. Force Majeure Events and/or delays, regardless of the Party responsible for the delay, shall not entitle Consultant to any additional compensation. Notwithstanding the foregoing in this section, the City may still terminate this Agreement in accordance with the termination provisions of this Agreement. 3.2.10 Laws and Regulations; Employee/Labor Certification. Consultant shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services and shall give all notices required by law. Consultant shall be liable for all violations of such laws and regulations in connection with the Services and this Agreement. All violations of such laws and regulations shall be grounds for the City to terminate the Agreement for cause. Page 481 of 570 Contract No. ____________ 3.2.10.1 Employment Eligibility; Consultant. Consultant certifies that it fully complies with all requirements and restrictions of state and federal law respecting the employment of undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of 1986, as may be amended from time to time and shall require all subconsultants and sub-subconsultants to comply with the same. Consultant certifies that it has not committed a violation of any such law within the five (5) years immediately preceding the date of execution of this Agreement and shall not violate any such law at any time during the term of the Agreement. 3.2.10.2 Equal Opportunity Employment. Consultant represents that it is an equal opportunity employer, and it shall not discriminate against any subconsultant, employee or applicant for employment because of race, religion, color, national origin, physical disability, ancestry, sex, age, marital status, gender, gender identity, gender expression, sexual orientation, reproductive health decision making, veteran or military status, or any other consideration made unlawful by federal, state, or local laws. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Consultant shall also comply with all relevant provisions of City's Minority Business Enterprise program, Affirmative Action Plan or other related programs or guidelines currently in effect or hereinafter enacted. 3.2.10.3 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. 3.2.11 Insurance. 3.2.11.1 Minimum Requirements. Without limiting Consultant’s indemnification of City, and prior to commencement of the Services, Consultant shall obtain, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form that is satisfactory to City. (A) General Liability Insurance. Consultant shall maintain commercial general liability insurance with coverage at least as broad as I nsurance Services Office form CG 00 01, in an amount not less than $5,000,000 per occurrence, $6,000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted. (B) Automobile Liability Insurance. Consultant shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Consultant arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non- owned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident. The City’s Risk Manger may modify this requirement if it is determined that Consultant will not be utilizing a vehicle in the performance of his/her duties under this Agreement. (C) Professional Liability (Errors & Omissions) Insurance. Consultant shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of $1,000,000 per claim and in the aggregate. Any policy inception date, continuity date, or retroactive date must be before the Page 482 of 570 Contract No. ____________ effective date of this Agreement and Consultant agrees to maintain continuous coverage through a period no less than three years after completion of the Services required by this Agreement. (D) Workers’ Compensation Insurance. Consultant shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000). Consultant shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the City, its officers, agents, employees, volunteers and representatives. (E) Umbrella or Excess Liability Insurance. Consultant may opt to utilize umbrella or excess liability insurance in meeting insurance requirements. In such circumstances, Consultant shall obtain and maintain an umbrella or excess liability insurance policy with limits that will provide bodily injury, personal injury and property damage liability coverage at least as broad as the primary coverages set for th above, including commercial general liability and employer’s liability. Such policy or policies shall include the following terms and conditions: (1) A drop-down feature requiring the policy to respond if any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason; (2) Pay on behalf of wording as opposed to reimbursement; (3) Concurrency of effective dates with primary policies; and (4) Policies shall “follow form” to the underlying primary policies. (5) Insureds under primary policies shall also be insureds under the umbrella or excess policies. (F) Fidelity Coverage. Consultant shall provide evidence of fidelity coverage on a blanket fidelity bond or other acceptable form. Limits shall be no less than $1,000,000 per occurrence. (G) Cyber Liability Insurance. Consultant shall procure and maintain Cyber Liability insurance with limits of $1,000,000 per occurrence/loss, which shall include the following coverage: (1) Liability arising from the theft, dissemination and/or use of confidential or personally identifiable information; including credit monitoring and regulatory fines arising from such theft, dissemination, or use of the confidential information. (2) Network security liability arising from the unauthorized use of, access to, or tampering with computer systems. (3) Liability arising from the failure of technology products (software) required under the contract for Consultant to properly perform the services intended. Page 483 of 570 Contract No. ____________ (4) Electronic Media Liability arising from personal injury, plagiarism or misappropriation of ideas, domain name inf ringement or improper deep-linking or framing, and inf ringement or violation of intellectual property rights. (5) Liability arising from the failure to render professional services If coverage is maintained on a claims-made basis, Consultant shall maintain such coverage for an additional period of three (3) years following termination of the Agreement. (H) Pollution Liability Insurance. Environmental Impairment Liability Insurance shall be written on a Contractor’s Pollution Liability form or other form acceptable to the City providing coverage for liability arising out of sudden, accidental and gradual pollution and remediation. The policy limit shall be no less than $1,000,000 dollars per claim and in the aggregate. All activities contemplated in this Agreement shall be specifically scheduled on the policy as “covered operations.” The policy shall provide coverage for the hauling of waste from the Project site to the final disposal location, including non-owned disposal sites. (I) Sexual Abuse and Molestation Liability Insurance. Consultant shall procure and maintain Sexual Abuse and Molestation Liability insurance with limits of not less than $1,000,000 per occurrence and $2,000,000 general aggregate. Coverage may be provided as part of Commercial General Liability insurance, Professional Liability insurance; or as a separate policy. 3.2.11.2 Other Provisions or Requirements. (A) Proof of Insurance. Consultant shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers’ compensation. Insurance certificates and endorsements must be approved by City’s Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this Agreement. City reserves the right to require complete, certified copies of all required insurance policies, at any time. (B) Duration of Coverage. Consultant shall procure and maintain for the duration of the Agreement insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Services hereunder by Consultant, his/her agents, representatives, employees or subconsultants. (C) Primary/Non-Contributing. Coverage provided by Consultant shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City before the City’s own insurance or self - insurance shall be called upon to protect it as a named insured. (D) City’s Rights of Enforcement. In the event any policy of insurance required under this Agreement does not comply with these specifications, or is canceled and not replaced, City has the right, but not the duty, to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant, or City will Page 484 of 570 Contract No. ____________ withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may terminate this Agreement. (E) Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the City’s Risk Manager. (F) Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City, its elected or appointed officers, agents, officials, employees, volunteers, and representatives or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against the City, its elected or appointed officers, agents, officials, employees, volunteers and representatives and shall require similar written express waivers and insurance clauses from each of its subconsultants. (G) Enforcement of Contract Provisions (non estoppel). Consultant acknowledges and agrees that any actual or alleged failure on the part of the City to inform Consultant of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder. (H) Requirements Not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Consultant maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City. (I) Notice of Cancellation. Consultant agrees to oblige its insurance agent or broker and insurers to provide City with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage. (J) Additional Insured Status. General liability, automobile liability, and if applicable, pollution liability, cyber liability, and sexual abuse and molestation policies shall provide or be endorsed to provide that the City and its officers, officials, employees, agents, volunteers and representatives shall be additional insureds with regard to liability and defense of suits or claims arising out of the performance of the Agreement, under such policies. This provision shall also apply to any excess/umbrella liability policies. (K) Prohibition of Undisclosed Coverage Limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. (L) Separation of Insureds. A severability of interests provision must apply for all additional insureds ensuring that Consultant’s insurance shall apply separately Page 485 of 570 Contract No. ____________ to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions. (M) Pass Through Clause. Consultant agrees to ensure that its subconsultants, subcontractors, and any other party involved with the Project who is brought onto or involved in the Project by Consultant, provide the same minimum insurance coverage and endorsements required of Consultant. Consultant agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Consultant agrees that upon request, all agreements with subconsultants, subcontractors, and others engaged in the Project will be submitted to City for review. (N) City’s Right to Revise Specifications. The City and the City’s Risk Manager reserve the right at any time during the term of the Agreement to change the amounts and types of insurance required by giving the Consultant ninety (90) days advance written notice of such change. If such change results in additional cost to the Consultant, the City and Consultant may renegotiate Consultant’s compensation. If the City reduces the insurance requirements, the change shall go into effect immediately and require no advanced written notice. (O) Self-Insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City. (P) Timely Notice of Claims. Consultant shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Consultant’s performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. (Q) Additional Insurance. Consultant shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Services. 3.2.12 Water Quality Management and Compliance. Consultant shall keep itself and all subcontractors, staff, and employees fully informed of and in compliance with all local, state and federal laws, rules and regulations that may impact, or be implicated by the performance of the Services including, without limitation, all applicable provisions of the City’s ordinances regulating water quality and storm water; the Federal Water Pollution Control Act (33 U.S.C. § 1251, et seq.); the California Porter-Cologne Water Quality Control Act (Water Code § 13000 et seq.); and any and all regulations, policies, or permits issued pursuant to any such authority. Consultant must comply with the lawful requirements of the City, and any other municipality, drainage district, or other local agency with jurisdiction over the location where the Services are to be conducted, regulating water quality and storm water discharges. Failure to comply with laws, regulations, and ordinances listed in this Section is a violation of federal and state law. Consultant warrants that all employees and subcontractors shall have sufficient skill and experience to perform the work assigned to them without impacting water quality in violation of the laws, regulations and policies of this Section. 3.3 Fees and Payments. 3.3.1 Compensation. Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "C" attached hereto and incorporated herein by reference. The total compensation shall Page 486 of 570 Contract No. ____________ not exceed ONE MILLION, FOUR HUNDRED AND FIFTY-EIGHT THOUSAND, SEVEN HUNDRED AND SIXTY-SEVEN DOLLARS ($1,458,767.00) without written approval of the City Council or City Manager, as applicable. 3.3.2 Payment of Compensation. Consultant shall submit to City monthly invoices which provide a detailed description of the Services and hours rendered by Consultant. City shall, within 30 days of receiving such invoice, review the invoice and pay all non-disputed and approved charges. If the City disputes any of Consultant's fees, the City shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth therein. Consultant shall submit its final invoice to City within thirty (30) days from the last date of provided Services or termination of this Agreement and failure by the Consultant to submit a timely invoice may constitute a waiver of its right to final payment. Payment shall not constitute acceptance of any Services completed by Consultant. The making of final payment shall not constitute a waiver of any claims by the City for any reason whatsoever. 3.3.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by City or included in Exhibit "C" of this Agreement. 3.3.4 Extra Work. At any time during the term of this Agreement, City may request that Consultant perform Extra Work. As used herein, "Extra Work" means any work which is determined by City to be necessary for the proper completion of the Project, but which the Parties did not reasonably anticipate would be necessary at the execution of this Agreement. Consultant shall not perform, nor be compensated for, Extra Work without written authorization from the City. 3.4 Labor Code Requirements. 3.4.1 Prevailing Wages. Consultant is aware of the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects. If the Services are being performed as part of an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, Consultant agrees to fully comply with such Prevailing Wage Laws. City shall provide Consultant with a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement. Consultant shall make copies of the prevailing rates of per diem wages f or each craft, classification or type of worker needed to execute the Services available to interested parties upon request and shall post copies at the Consultant's principal place of business and at the project site. It is the intent of the parties to effectuate the requirements of sections 1771, 1774, 1775, 1776, 1777.5, 1813, and 1815 of the Labor Code within this Agreement, and Consultant shall therefore comply with such Labor Code sections to the fullest extent required by law. Consultant shall defend, indemnify, and hold the City, its officials, officers, employees, agents, volunteers and representatives, free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. 3.4.2 Registration/DIR Compliance. If the Services are being performed on a public works project of over $25,000 when the project is for construction, alteration, demolition, installation, or repair work, or a public works project of over $15,000 when the project is for maintenance work, in addition to the foregoing, then pursuant to Labor Code sections 1725.5 and 1771.1, the Consultant and all subconsultants must be registered with the Department of Industrial Relations (“DIR”). Consultant shall maintain registration for the duration of the Project and require the same of any subconsultants. This Project may also be subject to compliance monitoring and enforcement by the DIR. It shall be Consultant’s sole responsibility to comply with Page 487 of 570 Contract No. ____________ all applicable registration and labor compliance requirements, including the submission of payroll records directly to the DIR. Any stop orders issued by the DIR against Consultant or any subconsultant that affect Consultant’s performance of Services, including any delay, shall be Consultant’s sole responsibility. Any delay arising out of or resulting from such stop orders shall be considered Consultant caused delay and shall not be compensable by the City. Consultant shall defend, indemnify, and hold the City, its officials, officers, employees, agents, volunteers, and representatives free and harmless from any claim or liability arising out of stop orders issued by the DIR against Consultant or any subconsultant. 3.4.3 Labor Certification. By its signature hereunder, Consultant certifies that it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Worker's Compensation or to undertake self-insurance in accordance with the provisions of that Code and agrees to comply with such provisions before commencing the performance of the Services. 3.5 Accounting Records. 3.5.1 Maintenance and Inspection. Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Consultant shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant to this Agreement. Consultant shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement. 3.6 General Provisions. 3.6.1 Termination of Agreement. 3.6.1.1 Grounds for Termination. City may, by written notice to Consultant, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Consultant of such termination, and specifying the effective date thereof, at least thirty (30) days before the effective date of such termination. Upon termination, Consultant shall be compensated only for those Services which have been adequately rendered to City, and Consultant shall be entitled to no further compensation. Consultant may not terminate this Agreement except for cause. The rights and remedies of the City provided in this section shall not be exclusive and are in addition to any other rights and remedies provided by law, equity or under this Agreement. 3.6.1.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Consultant to provide all finished or unfinished Documents and Data and other information of any kind prepared by Consultant in connection with the performance of Services under this Agreement. Consultant shall be required to provide such document and other information within fifteen (15) days of the request. 3.6.1.3 Early Termination. Notwithstanding any provision herein to the contrary, if for any fiscal year of this Agreement the City Council fails to appropriate or allocate funds for future payment under the Agreement after exercising reasonable efforts to do so, the City may upon thirty (30) days’ written notice, order work on the Project to cease. Upon termination, Consultant shall be compensated only for those Services which have been adequately rendered to City, and Consultant shall be entitled to no further compensation. Page 488 of 570 Contract No. ____________ 3.6.1.4 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated. Page 489 of 570 Contract No. ____________ 3.6.2 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose: Consultant: SPORTS FACILITIES MANAGEMENT, LLC 600 CLEVELAND STREET, SUITE 910 CLEARWATER, FL 33755 ATTN: KEN COBB City: City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260 ATTN: SHAWN MUIR, COMMUNITY SERVICES MANAGER Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service. 3.6.3 Ownership of Materials and Confidentiality. 3.6.3.1 Documents & Data; Licensing of Intellectual Property. This Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement ("Documents & Data"). All Documents & Data shall be and remain the property of City and shall not be used in whole or in substantial part by Consultant on other projects without the City’s express written permission. Within thirty (30) days following the completion, suspension, abandonment or termination of this Agreement, Consultant shall provide to City reproducible copies of all Documents & Data, in a form and amount required by City. City reserves the right to select the method of document reproduction and to establish where the reproduction will be accomplished. The reproduction expense shall be borne by City at the actual cost of duplication. In the event of a dispute regarding the amount of compensation to which the Consultant is entitled under the termination provisions of this Agreement, Consultant shall provide all Documents & Data to City upon payment of the undisputed amount. Consultant shall have no right to retain or fail to provide to City any such documents pending resolution of the dispute. In addition, Consultant shall retain copies of all Documents & Data on file for a minimum of fifteen (15) years following completion of the Project and shall make copies available to City upon the payment of actual reasonable duplication costs. Before destroying the Documents & Data following this retention period, Consultant shall make a reasonable effort to notify City and provide City with the opportunity to obtain the documents. 3.6.3.2 Subconsultants. Consultant shall require all subconsultants to agree in writing that City is granted a non-exclusive and perpetual license for any Documents & Data the subconsultant prepares under this Agreement. Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by professionals other than Consultant or its subconsultants, or those provided to Consultant by the City. Page 490 of 570 Contract No. ____________ 3.6.3.3 Right to Use. City shall not be limited in any way in its use or reuse of the Documents and Data or any part of them at any time for purposes of this Project or another project, provided that any such use not within the purposes intended by this Agreement or on a project other than this Project without employing the services of Consultant shall be at City’s sole risk. If City uses or reuses the Documents & Data on any project other than this Project, it shall remove the Consultant’s seal from the Documents & Data and indemnify and hold harmless Consultant and its officers, directors, agents, and employees from claims arising out of the negligent use or re-use of the Documents & Data on such other project. Consultant shall be responsible and liable for its Documents & Data, pursuant to the terms of this Agreement, only with respect to the condition of the Documents & Data at the time they are provided to the City upon completion, suspension, abandonment, or termination. Consultant shall not be responsible or liable for any revisions to the Documents & Data made by any party other than Consultant, a party for whom the Consultant is legally responsible or liable, or anyone approved by the Consultant. 3.6.3.4 Indemnification – Documents and Data. Consultant shall defend, indemnify and hold the City, its directors, officials, officers, employees, volunteers, agents and representatives free and harmless, pursuant to the indemnification provisions of this Agreement, for any alleged infringement of any patent, copyright, trade secret, trade name, trademark, or any other proprietary right of any person or entity in consequence of the use on the Project by City of the Documents & Data, including any method, process, product, or concept specified or depicted. 3.6.3.5 Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City. 3.6.3.6 Confidential Information. The City shall refrain from releasing Consultant’s proprietary information ("Proprietary Information") unless the City's legal counsel determines that the release of the Proprietary Information is required by the California Public Records Act or other applicable state or federal law, or order of a court of competent jurisdiction, in which case the City shall notify Consultant of its intention to release Proprietary Information. Consultant shall have five (5) working days after receipt of the release notice to give City written notice of Consultant's objection to the City's release of Proprietary Information. Consultant shall indemnify, defend and hold harmless the City, and its officers, directors, employees, agents, volunteers and representatives from and against all liability, loss, cost or expense (including attorney’s fees) arising out of a legal action brought to compel the release of Proprietary Information. City shall not release the Proprietary Information after receipt of an objection notice unless either: (1) Consultant fails to fully indemnify, defend (with City's choice of legal counsel), and hold City harmless from any legal action brought to compel such release; and/or (2) a final and non-appealable order by a court of competent jurisdiction requires that City release such information. 3.6.4 Cooperation; Further Acts. The Parties shall fully cooperate with one Page 491 of 570 Contract No. ____________ another and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement. 3.6.5 [Reserved] 3.6.6 Indemnification. 3.6.6.1 To the fullest extent permitted by law, Consultant shall defend (with counsel of City’s choosing), indemnify and hold the City, its officials, officers, employees, volunteers, agents, and representatives free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subconsultants or agents in connection with the performance of the Consultant’s Services, the Project or this Agreement, including without limitation the payment of all expert witness fees, attorney’s fees and other related costs and expenses except such loss or damage caused by the sole negligence or willful misconduct of the City. Consultant's obligation to indemnify shall survive expiration or termination of this Agreement and shall not be restricted to insurance proceeds, if any, received by Consultant, the City, its officials, officers, employees, agents, volunteers, or representatives. 3.6.6.2 If Consultant’s obligation to defend, indemnify, and/or hold harmless arises out of Consultant’s performance as a “design professional” (as that term is defined under Civil Code section 2782.8), then, and only to the extent required by Civil Code section 2782.8, which is fully incorporated herein, Consultant’s indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant, and, upon Consultant obtaining a final adjudication by a court of competent jurisdiction, Consultant’s liability for such claim, including the cost to defend, shall not exceed the Consultant’s proportionate percentage of fault. 3.6.7 Entire Agreement. This Agreement contains the entire agreement of the Parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings, or agreements. 3.6.8 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in Riverside County. 3.6.9 Time of Essence. Time is of the essence for each and every provision of this Agreement. 3.6.10 City's Right to Employ Other Consultants. City reserves right to employ other consultants in connection with this Project. 3.6.11 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the Parties. 3.6.12 Assignment; Subcontracting. Consultant shall not assign, sublet, or transfer this Agreement or any rights under or interest in this Agreement without the written consent of the City, which may be withheld for any reason. Any attempt to so assign or so transfer without such consent shall be void and without legal effect and shall constitute grounds for termination. Consultant shall not subcontract any portion of the Services required by this Agreement, except as expressly stated herein, without prior written approval of City. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in Page 492 of 570 Contract No. ____________ this Agreement. 3.6.13 Construction; References; Captions. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Consultant include all personnel, employees, agents, and subconsultants of Consultant, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents, volunteers and representatives except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement. 3.6.14 Amendment; Modification. No supplement, modification, or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties. 3.6.15 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise. 3.6.16 No Third-Party Beneficiaries. There are no intended third-party beneficiaries of any right or obligation assumed by the Parties. 3.6.17 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect. 3.6.18 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer, or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom. 3.6.19 Authority to Enter Agreement. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party. 3.6.20 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original. 3.6.21 Survival. All rights and obligations hereunder that by their nature are to continue after any expiration or termination of this Agreement, including, but not limited to, the indemnification obligations, shall survive any such expiration or termination. [SIGNATURES ON NEXT PAGE] Page 493 of 570 Contract No. ____________ SIGNATURE PAGE TO PROFESSIONAL SERVICES AGREEMENT BY AND BETWEEN THE CITY OF PALM DESERT AND SPORTS FACILITIES MANAGEMENT, LLC IN WITNESS WHEREOF, each of the Parties has caused this Agreement to be executed on the day and year first above written. CITY OF PALM DESERT By: L. Todd Hileman City Manager ATTEST: By: Anthony J. Mejia City Clerk APPROVED AS TO FORM: By: Best Best & Krieger LLP City Attorney SPORTS FACILITIES MANAGEMENT LIMITED LIABILITY COMPANY By: Its: Printed Name: By: Its: Printed Name: QC: _____ Insurance: _____ Initial Review _____ Final Approval Page 494 of 570 Contract No. ____________ Exhibit “B” EXHIBIT "A" SCOPE OF SERVICES General Scope: The Consultant will provide management and operations services for City of Palm Desert in accordance with the Contract Documents at the Palm Desert Aquatic Center (PDAC), located at 73751 Magnesia Falls Drive, Palm Desert, CA 92260. The City is seeking a partner who embodies high quality standards, emphasizes excellent customer service, and has the ability to maintain consistently high standards while operating the Aquatic Center. The City desires to select a qualified firm to operate the Aquatic Center who can deliver optimal value, enhance safety, and deliver the customer service expected from PDAC patrons. The City hereby requests Proposers to demonstrate their ability to provide and perform services for the Aquatic Center including, but not limited to, management, operations, marketing, programming, concessions, and janitorial services relating to the Aquatic Center as described in this Scope of Services. The Aquatic Center consists of the following amenities:  50-Meter Pool with Diving Area  Recreation / Therapy Pool (with slides)  Children’s Pool with Water Play Structure  Concessions Area (675 Sq. Ft.)  Men’s and Women’s Locker Rooms  Family Restrooms and Changing Areas  Lifeguard Room / First Aid Room  Administration Offices  Multi-Purpose Room (842 Sq. Ft.)  Storage Room  Mechanical Room  Chemical Storage Areas The City contracts the major pool mechanical maintenance of the Aquatic Center to a third-party contractor and will work closely with the successful Proposer to ensure prompt service to the facility. All utilities will be directly billed and paid for by the City. All services provided by the Proposer must be performed to the industry standards and compliant with all applicable local, county, state, and federal laws. Page 495 of 570 Contract No. ____________ Exhibit “B” All Bidders are encouraged to submit alternatives or other creative options to ANY of the Services to be Performed with the intent of meeting or exceeding the requirements set forth. History of Operations The following chart describes the financial and programming history of the Palm Desert Aquatic Center from 2019-2022. These numbers may be used as a reference when formulating a business and operations plan. Services to be Performed The Consultant will provide services, plans and procedures as described below for the day-to-day management and operations of the facility:  Perform maintenance, cleaning, and minor repairs of all pools, equipment, and facilities.  Perform daily safety and compliance checks of all pools, decks, pool amenities, and facilities. Notify City staff of all urgent issues immediately and routine concerns within one business day.  Complete daily inspection report form for water slides and applicable attractions when in use and maintain on file.  Ensure the pool and support facilities meet cleanliness and hygiene standards.  Ensure all pools meet applicable Riverside County Health Department standard compliance (chemicals, flow, filtration, etc.).  Manually check and record water chemistry in each pool every 2 hours (minimum) and adjust chemicals as needed.  Maintain industry standards for water clarity and cleanliness on all pools.  Inspect and maintain records of all pools and equipment.  Monitor inventory levels of chemicals and other pool maintenance supplies for the purpose of ensuring the availability of supplies as needed.  Prepare and process purchase orders for the purpose of securing needed supplies according to City of Palm Desert purchasing policies and requirements.  Provide regular KPI data and reports as required for assigned equipment and programs.  Maintain equipment and chemical rooms to be free of non-essential equipment, used parts, clutter and chemical spills. Page 496 of 570 Contract No. ____________ Exhibit “B”  Follow all required safety precautions when using hazardous materials, assigned tools, and machinery.  Set up and/or move equipment (e.g., starting blocks, bleachers, diving boards etc.) for the purpose of ensuring availability for patrons and programs.  Maintain cleanliness of all facilities within the aquatic center: pools, drains, deck, locker rooms, etc.  Perform facility painting and retouches as necessary to maintain a high-quality facility facade.  Promote and exemplify City of Palm Desert Mission, Vision, and Core Values.  Exercise excellent customer service. Follow up on complaints, questions, and concerns; respond to internal and external customer needs in a friendly, timely and efficient manner.  Administer regular customer feedback and satisfaction surveys.  Comply with local jurisdictional requirements and industry standards as applicable including but not limited to: California Pool Code, Model Aquatic Health Code, OSHA Hazardous Communications Standard and OSHA Bloodborne Pathogens Standard. Business Plan Consultant shall provide a Business Plan to include the following:  Hours of operation (subject to change if approved in writing by the City) o May through September  Monday – Friday 5:30 am – 7:00 pm  Saturdays 7:00 am - 7:00 pm  Sundays 8:00 am – 7:00 pm o October through April  Monday – Friday 5:30 am – 7:00 pm  Saturdays 7:00 am - 5:00 pm  Sundays 8:00 am – 5:00 pm  Personnel requirements  Fiscal management plan and budgeting methods  Communication and marketing program  Guidelines for policy development for programs and facility  A DRAFT version of the business plan should be submitted along with the RFP submission. The DRAFT version is intended to outline the understanding of the RFP and the operations of the facility along with anticipated Revenue and Expense goals. It is not intended to be a fully thought-out Business Plan and is expected to be amended. Page 497 of 570 Contract No. ____________ Exhibit “B”  The City has a goal of decreasing the current subsidy of PDAC and is open to considering creative solutions to increase revenue and/or decrease expenses to reach its goals. Preventative Maintenance Plan The Consultant shall adhere to the established comprehensive Preventative Maintenance Plan provided by the City that includes, but is not limited to the following: A. Facility Inspection Program 1. Details of facility inspections 2. Frequency of facility inspections B. Routine Maintenance to be performed. C. Expected Capital Improvement Items The City will provide the following to be included in the Preventative Maintenance Plan: A. Available PDAC As Built Plans B. Mechanical Equipment Inventory 1. Name and Model # 2. Manufacturer and contact info. 3. Local Vendor (as applicable) 4. Replacement and service details C. Equipment Manuals 1. In the event an equipment manual is not available, the City shall attempt to provide a satisfactory replacement from the equipment manufacturer. 2. If no manual is available, the Consultant shall provide a written document outlining the standard operating procedures for maintaining and operating the applicable piece of equipment. Safety Plan The Consultant shall provide and maintain a facility Safety Plan that includes, but is not limited to the following: A. Facility Staffing Plan 1. Code Compliance Staffing Plan 2. Zones of Patron Surveillance 3. Rotation Procedures 4. Alternation of Tasks 5. Supervision Protocols B. Emergency Action Plans 1. Emergency procedures for anticipated emergencies at the aquatic center 2. Methods of communication Page 498 of 570 Contract No. ____________ Exhibit “B” 3. Required emergency equipment. 4. Emergency closure requirements C. Biohazard Action Plan 1. Fecal vomit and blood contamination of the pool and facility surfaces D. Pre-Service Training Plan 1. Facility policies and procedures to be included in training. 2. Demonstration of required Safety Team skills specific to PDAC 3. Documentation of training E. In-Service Training Plan 1. In-service training frequency. A minimum of 4 hours of in-service training monthly is required of all staff that regularly, or MAY perform lifeguard duties. a. Makeup in-services may be held for approved absences and must comply with the original in-service plan missed. b. Lifeguards who do not meet the monthly in-service training requirement must undergo Pre-Service Training prior to returning to Lifeguard duties. 2. In-service documentation 3. Certification maintenance 4. Demonstration of Lifeguard Skill Proficiencies 5. Competency Demonstration Plan a. Ability to reach the furthest edge of Zones of Surveillance within 20 seconds. b. Ability to perform required emergency response skills. c. Ability to perform Resuscitation and First Aid skills. Recruitment and Hiring Plan A. Recruitment and Hiring 1. Consultant will submit a written process for recruitment and hiring. B. Organizational Chart and Staffing Levels Consultant will provide and maintain an organizational chart depicting the management approach and general staff responsibilities. Staffing levels will be maintained at a minimum required based on the submitted and approved staffing plan (Safety Plan – Section 1) and Zone Evaluation documentation. Staffing and salary ranges are to be provided annually to the City of Palm Desert Director of Public Works for approval. Alternative organization and staffing plans that meet safety and operating requirements may be submitted by the Consultant. All alternate staffing plans must be approved by the City of Palm Desert before they are instituted. C. All personnel will be easily identifiable by approved uniforms at all times while on duty. Page 499 of 570 Contract No. ____________ Exhibit “B” D. Janitorial services for the facility will be completed by the Consultant and is typically performed by Lifeguards and other staff on duty. 1. Regular locker room checks are expected to be performed throughout the day. 2. Locker room check sheets may be utilized at the discretion of the Consultant. E. Position Descriptions 1. Descriptions for key positions listed above will be developed and maintained by the Consultant. Staff Training A. PDAC staff will maintain the following minimum training credentials: 1. Aquatic Director / Manager a. Certified Pool Operator (CPO) or Aquatic Facility Operator (AFO) or approved equal. 2. Aquatic Director / Manager, Aquatics Coordinator, Facility Operations Manager, or other staff a. Lifeguard Instructor Certification (LGI) 3. Facility Operations Manager a. Certified Pool Operator (CPO) or Aquatic Facility Operator (AFO) or approved equal. 4. Aquatics Front Desk & Concessions Manager a. Food Manager Certification (must be from a school recognized by the Riverside County Department of Environmental Health: https://rivcoeh.org/sites/g/files/aldnop361/files/migrated/Portals-0- PDF-Foods-31-09-DES-Food-Manager-Certification.pdf 5. Lifeguards a. Lifeguarding with Bloodborne Pathogens Training, Administering Emergency Oxygen, Asthma Inhaler Training, Epinephrine Auto Injector, First Aid for Public Safety Personnel (Title 22) (American Red Cross or approved equal) Operations Procedures The Consultant will develop and maintain standard procedures that must be performed for the proper maintenance and operations of the facility. These include but are not limited to:  Pool Chemical Parameters  Chemical Room Emergency Procedures  Hazard Identification and Communication  Safety and First Aid Equipment  Facility and Pool Cleanliness Page 500 of 570 Contract No. ____________ Exhibit “B”  Health Regulations  Discipline  Child Abuse Prevention  Lost and Found  Media Communication  Pool Water Contamination and Response  Biohazard Disposal  Report Writing 1. The designated shift supervisor oversees the facility and staff. 2. The minimum age for a lifeguard to lifeguard a body of water alone is 16 years of age. 3. Facility may not open to the general public without a minimum of 3 lifeguard certified staff members present. 4. At the start of their shift, all certified staff members must be ready to perform assigned duties. 5. All schedules are posted in their respected offices and emailed to the staff in a timely manner. 6. Deck Lifeguards: 1. During high use times lifeguards will rotate regularly. 2. Lifeguards leaving the deck must perform regular locker room checks. 3. Elevated lifeguard stations shall be utilized as the standard for most lifeguard zones. a. Ground level stations may be utilized where appropriate. b. Roving stations may not be utilized as a primary surveillance position. Roving stations may be utilized as secondary lifeguards to a zone when necessary. 4. Rescue hip packs must be worn by all trained lifeguards at all times. Packs will be adequately supplied with a resuscitation mask appropriate for adults and a mask appropriate for children, or a universal mask and non -latex exam gloves. 7. Backup Duty Lifeguard: 1. When not needed on deck or to assist customers, Backup Duty Lifeguards shall: a. check locker rooms for behavior issues or horseplay, b. assist in rendering first aid to injured persons, c. assist deck lifeguard as needed, d. or perform cleanup and maintenance activities. 8. If a full complement of staff is not needed, the supervisor on duty may release excess lifeguards from work. Page 501 of 570 Contract No. ____________ Exhibit “B” 9. No lifeguard will be scheduled to work more than 8 hours in one day. 10. Lifeguards will be trained to complete injury report forms for all injuries to be submitted to the Aquatic Manager. 11. The Aquatic Manager shall notify the City of all required incidents. 12. The Lead Lifeguard is required to check and record pool chemistry every 2 hours. 13. Water chemistry shall be checked in the morning in enough time to adjust chemicals prior to opening to the public. 14. Water chemistry shall be checked at closing and necessary ch emical adjustments made prior to staff leaving. 15. All staff will receive communications training, including verbal and non -verbal hand signals, whistle blasts, radio contact, and written communication. Signs and brochures at the front desk communicate safet y rules. Management will share information at regular meetings and Supervisors will convey information through in - service trainings or other methods as needed. 16. The concession stand adheres to all Riverside County health codes and regulations. All staff handling unpackaged food must maintain current Riverside County Food Handler cards and be overseen by a Food Safety Manager. A minimum of one Food Safety Manager shall be on staff during the concession operation. 17. Locker rooms are monitored periodically by lifeguards. No food or drink is allowed in the locker rooms. Towel snapping, running, or rough play is not allowed. Children 5 years of age and older are required to use the locker room of their own sex. Family changing rooms are also available. 18. Any commercial advertisements, press releases, articles, or other media information using the City’s name and/or logos shall be subject to the prior approval of the City. 19. All advertisements at the Aquatic Center are subject to approval by the City. Financials The Consultant shall develop and maintain financial procedures, including but not limited to:  Budget development  Payroll  Collections  Reporting  Revenue and expenditure accounting  Monthly reconciliations for all asset and liability accounts Page 502 of 570 Contract No. ____________ Exhibit “B”  Purchasing  Accounts payable The Consultant shall keep complete and accurate books of account and will make all records available to the City upon request. Books and records for the PDAC shall be maintained separately from other facilities operated by the Consultant. Th e Consultant shall maintain accounting books and records for a period of at least three years after the expiration or earlier termination of the Agreement, and the City shall have the right to inspect and audit such books and records during such period. Financial and daily records shall meet the following criteria:  Record of all sales by means of a cash register, which will display the amount of each sale and automatically issue a customer’s receipt. Beginning and ending cash register readings shall be made a matter of daily record.  Entry of each and every Aquatic Center user’s name on entry log.*  A total count of Aquatic Center users at the end of each day and reconciliation of fee category totals on cash register detail reports.  Ability to differentiate resident vs. non-resident visits.  Maintenance of a daily logbook detailing the number of Aquatic Center users by fee category and total amount of cash collected by fee category.  Ability to record and report the number and type of discounts provided.  Monthly and annual statements of gross revenues, including a budget comparison, a variance report, and such other customary reports as may reasonably be requested by the City. *Except non-resident drop-in for recreation and lap swim. Groups or families must provide only the primary/head of household or group lead’s contact information. Policies The Consultant will develop and maintain policies and procedures, including but not limited to:  Pool Use and Safety Rules  Lifeguard Policy and Procedure Manual  Equipment Rental Procedures  Facility Rental, Group Use Requirements, and Fee Structure  Swim Testing  Signage Standards Program Development The Consultant shall develop a program plan to be reviewed and approved by the City. The Program Plan shall include at a minimum.  Swim lessons Page 503 of 570 Contract No. ____________ Exhibit “B”  Lap swimming  Arthritis and/or Multiple Sclerosis classes  Red Cross certification courses  Yoga, spin, or other group fitness classes  Water games The Consultant shall strive to make classes responsive to and/or inclusive to persons with disabilities. A program registration process will be in place. The Program Plan shall include program attendance goals and shall be reviewed by the Consultant and the City of Palm Desert annually at a minimum. The PDAC Program Plan may be updated or amended to meet City of Palm Desert goals throughout the contract term. Any changes shall be agreed upon by the City of Palm Desert and the Consultant. Key Performance Indicators The Consultant shall gather data on a daily basis to report on required Key Performance Indicators (KPIs). Additional KPIs may be utilized and reported on by the Consultant at the Consultant’s discretion. Any change to the KPI list below must be approved by the City of Palm Desert. KPIs may include but are not limited to: Financial Programs Operations  Attendance/Passes Sold  Member Retention  Concessions Revenue  Rental Revenue  Swim Lesson Revenue  Concessions Per Cap  Program Attendance  Sessions Held/Canceled  Rentals Held  Special Programs  Checklist Compliance  Closures  Incidents  Facility Audit Results  Pool Chemical Readings  Customer Satisfaction  Staff Turnover Page 504 of 570 Contract No. ____________ Exhibit “B” Reporting Standards The Consultant shall regularly report on all required KPIs and topics according to required timelines. Reporting requirements include but are not limited to the items below: Subject KPI/Topic Reporting Cadence Monthly Facility Financials Topic Monthly Attendance/Passes Sold KPI Monthly Member Retention KPI Monthly Concessions Revenue KPI Monthly Rental Revenue KPI Monthly Swim Lesson Revenue KPI Monthly Concessions Per Cap KPI Monthly Program Attendance KPI Monthly Sessions Held/Canceled KPI Monthly Rentals Held KPI Monthly Special Programs KPI Monthly Checklist Compliance KPI Monthly Closures KPI Monthly Incidents KPI Monthly Facility Audit Results KPI Quarterly Pool Chemical Readings KPI Monthly Customer Satisfaction KPI Monthly Staff Turnover KPI Monthly Completed Maintenance Topic Monthly In-service Training Compliance KPI Monthly Staff Recruitment Topic Quarterly Programs Held Topic Monthly Upcoming Programs Topic Monthly Marketing Efforts Topic Quarterly or as needed Goal Updates Topic Quarterly The Consultant shall meet with City staff monthly to review operations, KPIs , and other topics. Goals and strategy meetings shall be held on a quarterly basis. Page 505 of 570 Contract No. ____________ Exhibit “B” EXHIBIT "B" SCHEDULE OF SERVICES The term of this Agreement shall be from NOVEMBER 1, 2023 to JUNE 30, 2029, unless earlier terminated as provided herein. The City shall have the unilateral option, at its sole discretion, to renew this Agreement automatically for no more than 5 additional one-year terms. Consultant shall complete the Services within the term of this Agreement and shall meet any other established schedules and deadlines. Page 506 of 570 Contract No. ____________ Exhibit “C” EXHIBIT "C" COMPENSATION Year 1 Year 2 Year 3 Year 4 Year 5 Management Fee $264,000 $277,200 $291,060 $305,613 $320,894 5-Year Total $1,458,767 In the event that this Agreement is renewed pursuant to Section 3.1.2, the rates set forth above may be increased or reduced each year at the time of renewal, but any increase shall not exceed the Consumer Price Index, All Urban Consumers, Riverside-San Bernardino-Ontario, CA Page 507 of 570 Page 508 of 570 From: To: Subject: Date: [ii] Donna Holloran Coynci!Meetjnq Comments ATTN: City Counci l MEMBERS OCT. 12th, 2023 meeting re PD Aquatic Center pool contract Saturday, October 7, 2023 7:21:12 PM To the City Council of Palm Desert ... It is my understanding that you are considering a new contract for the management of the Palm Desert Aquatic Center. I can only imag ine that it has everything to do w ith m oney . If that is the case, and you are considering a new vendor, then they must have low-balled the bid. As an annual pass holder, as well as someone who attends the Water Fitness classes at the Palm Desert Aquatic Center, I can assure you that the Family YMCA of the Desert Management Service has done an EXCELLENT job over these last many years. As you all know, there is always a great deal of wind that impacts all of the pools, yet they are all very well maintained despite the windy conditions. I always see the staff (i.e., admin as well as the life guards) working ... never sitting idle ... they are either cleaning, training, watching the swimmers, etc. Also , during COVID, the pool was a lifesaver for many of us, and once again, the staff rallied ... maintaining the pool and the patio, and also making sure that everyone followed the additional safety rules. Please note my strong objection to any changes without a very thorough investigation of another vendor's record of maintaining a huge Aquatic Center and even larger population of the community that uses the pools regularly. The complicated pool schedule boggles the mind given the number of groups that use the pools (i.e., swim teams, swim lessons, water fitnes s, water polo, swim meets, etc., etc.). Additionally, the YMCA i s a local non-profit organization w ith a very large presence in the community. I cannot imagine that anything can be improved by switching to a profit-based company from Florida. This is a completely different climate here in the Desert area. Sincerely, Palm Desert Palm Desert , CA 92211 Page 509 of 570 From : To: Subject: Date : Nancy Goin Coynci!Meetjnq Comments The PD Aquatic Center Saturday, Octo ber 7, 2023 7:39 :46 PM A venue I use o ft en and w ith gr ea t j oy ! That is mainta ined well and m anaged in a stellar fashion by local group / peop les ! Why would you w ant t o mess w ith that?? Nancy G oin Page 510 of 570 From: Marilyn Irvin To: Coynci!Meetjnq Comments Subject: Palm Desert Aquatic Center Date: Saturday, October 7, 2023 10:10:50 PM [ii] Why are you going to g ive a contract to an out of state company w hen it is run so efficiently as it has for the past 5 years w ith the YMCA. Why ruin a good thing!!!!!! iiiiiil Page 511 of 570 From : To: Subject: Date : JoAnn Effron Coynci!Meetjnq Comments Palm Desert Aquatic Center Sunday, October 8, 2023 8:21:50 AM I have been attending Water Exercise classes for several years at PDAC and have found the programs to be instructive and energizing and they have been invaluable in helping me maintain my physical health. I encourage the Council to retain the Family YMCA of the Desert for Management Services of PDAC. JoAnn Effron Palm Dese1t Resident Page 512 of 570 From: Pierre Billard To: Coynci!Meetjnq Comments Subject: PDAC Date: Sunday, October 8, 2023 8 :56:27 AM [ii] THINGS HAVE BEEN OPERATING FINE FOR ALONG TIME . IT ITS NOT BROLE , DON'T FIX IT Pierre Billard Page 513 of 570 From: Pierre Billard To: CoyncilMeetjnq Comments Subject: PDAC Date: Sunday, October 8, 2023 8 :57:30 AM [ii] We are objecting because : We like that the Aquat ic Center is currently managed by a Local non-profit o rga ni za tion w ith a presence in the Community .. in fact in the park next door! We like that YMCA's have successfu ll y se r ved Communities across the USA si nce 1851. We like that YMCAs have successfully managed Swimmi ng pools in MOST if NOT A LL of those Communities. (Not sure this is true for the new compan y being recommended.) We like the Aquatic Center pools and the excellent way they are ma i ntained . We like our Water Fitnes s Inst ructors and t he Classes that are offered six days a week. PDAC IS an important exercise fac i l ity for o ur Community an d it offers healing opportunities for those recovering from joint replacement surgeries, strokes, and o ther health issues. Pierre Billard Page 514 of 570 From: Geoffrey Robards To: CouncilMeeting Comments Subject: management of Palm Desert Aquatic Center Date: Sunday, October 8, 2023 9:12:29 AM We understand that a recommendation has been made to Council not to retain the YMCA as management of the pool, but rather contract with an out-of-state for-profit company to manage it. We are two of the fellows who regularly attend exercise classes six days a week so we feel we have some skin in the game and yet no effort that we are aware of has been made to seek input from the pool’s clients, decisions having been made opaquely and without transparency. So, and not in order of importance, here are our objections to such a move: -inevitably prices will have to increase in order to turn a profit, limiting use of the pool to those with more disposable income -trusted and valued relationships with the extremely pleasant and polite regular staff are likely to be changed, if not sundered -you are missing an opportunity to work more directly with local management to make positive changes (and there are always some available) by contracting with a remote management team -when we were without bathrooms during the recent remodel, we attempted to convey before the fact that this would be foolish, given the relative age of your clients, but were disregarded and answered with dismissive political pablum. In the event, there were actually days when there were no bathrooms available and then, and only then, did we receive a half-hearted apology. This shows, to us, a disconnect between Administration and Management and we would suggest changing your administrative staff rather than your management staff. -The PDAC is a pretty well-managed facility in our opinion; it certainly beats its Palm Springs counterpart. Communication could improve, but it looks as though the same could be said of the Administration and the Council. It is our hope that you will, now, take our input into your consideration. Thank you for your time. Geoffrey and Stephen Robards Page 515 of 570 From: Sysje Detmer To: Coynci!Meetjnq Comments Subject: Palm Desert Aquatic Center Date: Sunday, October 8, 2023 11:23:01 AM I love the water aerobics classes the Y has at this pool. I'm season, I attend reg ularly . I'd hate to see a change in vendors at the pool if it results in fewer classes or significant price mcreases . Susie D etmer Rancho Mirage, CA Sent from my iPhone Page 516 of 570 From : To: Subject: Date : LORI STEIN Coynci!Meetjnq Comments Proposed management change at PD Aquatic Center Sunday, October 8, 2023 12:59:08 PM Esteemed Council-members, I write to express strong disagreement to City Staffs recommendation to award a fi ve year contract to the Florida sports management company for operation of the Palm Desert Aquatic Center. I recommend asking th e YMCA to continue, and if necessary, ask them to re-bid. The Y is a community based organization, active everywhere in the greater Coachella Valley, and especially in Palm Desert. The Aquatic Center is likewise a Coachella Valley resource of great imp01tance to residents of the entire area. T here is much synergy between the two. The Y is resp onsive to the needs of a ll user s of the Aquatic Center. Its employees are customer-focused. It manages the faci lity well and carefully, and is extremely responsive to its entire customer base. T h e Y is excellent at balancing the challenges of a ll types of users -competitive swimmers, swim teams, lap swimmers, children, families, senior s, aquatic exercise enthusiasts. Such a balan cing act is not easy, and for this the Y 's reputation as honest and forthr ight is unparalleled. Bringing in a Florida based agency w h ich is most likely profit motivated seems extremely contradictory to the pmpose for which Palm Desert built this beautiful community facility. While the facility should not be dependent upon th e city of Palm Desert to bail it out from budget overruns, n either should it be seen as a profit center for the city. We can all agree that the YMCA's values m ost closely align to those of the City 's. I use th e Aquatic Center year round, 6 days a week, for water exercise and occasional swirmning and water walking. The water exer ci se class instructor s are uniquely excellent, well educated, kind. I hope that they will be retained, regardless of w ho is chosen to be the vendor. Finally, as a Rancho Mirage year-round resi dent on a fixed-income, I pay the non -resident rate. If the rate inc reases more than a nonnative amount for inflation/rising co sts-which is much more likely to happen w ith a for-profit company in charge-I'm afraid that I w ill have to give up my monthly membership. It's not difficult to presume that others-residents and non alike-w ill also have to do the same. Please g ive the YMCA a secon d chance. Respectfully submitted, Lori Stein Lori Stein Page 517 of 570 From: To: Subject: Date: Louisa Hiaains Coynci!Meetjnq Comments Management of Pa lm Desert Aq uatic Center Sunday, October 8, 2023 2:07 :45 PM Dear Palm Desert City C ouncil Members, I am a l on g time resident of Palm Desert, and a regular u ser of the Palm Desert Aquati c Center, which brings fitne ss and j oy to my life on a w eekly basi s. I am very happy w ith the instructors, life guards and overall managem ent of the facility. I am pleased that it is run by the YMCA, and it i s local and NON profit. Please DO N O T hire an outside, o ut o f state company to replac e the current system which is running smoothly . Ev eryone I know is v ery happy with the current s ituati on . Thank you , Loui sa Higgins Page 518 of 570 From : To: Subject: Date : NANcy EDWARDS Coynci!Meetjnq Comments PDAC Sunday, October 8, 2023 2:26:11 PM I see on the board minutes that there is a motion to award an upcoming contract to a new company for the operations of the aqu atic center . I have been very happy w ith the pool and I feel that it is one of our cities greatest assets . I have been going to water exercise for over 8 years and enjoyed the experience. The classes hav e increased in size and are very popular . I am afraid an outside company may not see the value in these classes. I am on cities Facebook page and read the Desert Sun dai ly so I don't know how I would have missed any reporting of a change management. P lease keep the Y in charge of this community gem ! Thanks , Nancy Edwards lllllllliiilia 92211 Sent from my iPhone Page 519 of 570 From: To: Subject: Date: Bonnie Hennessey Coynci!Meetjnq Comments YMCA and the pool Sunday, October 8, 2023 4:0 1:18 PM Th e pool is managed so well and it should be rnn by a l ocal non profit, This is par1 of our lives an d not something to be taken lightly . Why d o thi s??? Sent from my iPhone Page 520 of 570 From: To: Subject: Date: [ii] Suzanne Kasti l Coynci!Meetjnq Comments Pa lm Desert City Council Meeting -Aq uatic Center Sunday, October 8, 2023 8:08:54 PM I am writing to you to voice my concern over the possibility of a change in the management services for the Palm Desert Aquatic Facility. For the last nine years since moving to the desert I have driven from my home in LaQuinta four or five days a week to participate in the various aquatic classes offered. For the past six years I have been fighting stage 4 cancer and this pool is truly life saving for me. I drive specially to this pool rather than to the one closer to my home. The reason for this is because of the cleanliness of the facility, excellent instructors, courtious staff, pristine water conditions/temperature, and reasonable cost to be able to take advantage of such a treasured pool. It would be heartbreaking that the quality of this facility would decline due to a change in management. If the YMCA is doing such a stellar job ..... why change anything? Please consider the fact that the status quo is working extremely well in my opinion and in the opinion of extremely well attended classes and avid lap swimmers seven days a week. Suzanne Page 521 of 570 From: To: Subject: Date: JoAnn Sachs Coyncj!Meetjnq Comments October 12 meeting of City Council , RE : change of PDAC management Monday, October 9, 2023 8 :10:5 1 AM I am writing as a longtime member o f Pa lm Dese1t and as a r ecent total knee replacem ent recip ient. T h e h elp of the exercise classes PDAC h ave h elped my new knee immensely. Phys ical therapy at E isenhower it was gr eat, but the water classes have brought back th e mobility to m y knee a s well as helped my recove1y p rocess overall. Th e instructors, administrative staff, and main tenance staff wh o keep the pool in innnacul ate condition have become friend s and our excellent ambassado rs to our fine corrununity. I t wou ld b e A sad d ay to ch ange something that operates so well and doesn 't really n eed to be fixed. Everyone @ PDAC is devastated by the thought the things at our pool m ig ht ch ange , from a Resp ected organizati on like the YMCA to a profit dr iven m an agem en t company. It's n ot a lways ab ou t d o llar s and cents it's ab out peop le. I am hoping that cooler heads pr evail and our pool management w ill rema in the same. S incerely, JoAnn Myers Sachs Sent from my iPad. JoAnn Myers-Sachs Page 522 of 570 From: Melanie Fernandez To: Coyncj!Meetjnq Comments Subject: Pa lm Desert Aquatic Center Date: Monday, October 9, 2023 10:07:39 AM [ii] Changing the management of the Aquatic Center from the YMCA to a for profit company, is a terrible change for our community. I have read the sport company's proposal and see no difference than what the YMCA has done well for many years. The lifeguard shortage was universal around the country. It's unfortunate that the pool had to close, but we understand that safety is of the concern. We are a unique small community. An out of state company will not understand our community and demographics. I swim daily, do water aerobics as many other people do. We have people from La Quinta and Palm Springs as well as tourists come to our pool because it is the jewel of the desert. Please do not change what has been working for many years. Melanie Fernandez Page 523 of 570 From: To: Subject: Date: Kindly, Shannon shaoo 0 o metcalf Coynci!Meetjnq Comments City council meeting Oct 12 regarding the Aquatic Center Monday, October 9, 2023 10:11:25 AM We are objecting to the change over to a for profit entry to run the Aquatic Center because: We like that the Aquatic Center is currently managed by a Loca] non- profitorganization with a presence in the Community . .in fact in the park next door! We like that YMCA's have successfully served Communities across the USA since 1851 . We like that YMCAs have successfully managed Swimming pools in MOST if NOT ALL of those Communities. (Not sure this is true for the new company being recommended.) We like the Aquatic Center pools and the excellent way they are maintained. We like our Water Fitness Instructors and the Classes that are offered six days a week. PDAC IS an important exercise facility for our Community and it offers healing opportunities for those recovering from joint replacement surgeries, strokes, and other health issues. I personally have been attending classes nearly 6 days a week since the Aquatic Center reopened during the pandemic. And many, many other reasons. I believe things cannot truly get better for any of us by switching to a profit-based operator from Florida for this wonderful City Amenity. Please consider keeping the Aquatic Center running through the YMCA. We love the staff and the high level of communication they provide. Why fix/change something that isn't broken! Shannon Metcalf Page 524 of 570 From: To: Anthony Mejia Niamh Ortega Subject: FW : Co ntract for PD Aqua Cent e r Monday, October 9, 2023 8:29:05 AM Date: Attachments: soyearsresized 3217B492-0S60-4444-b657-coc2osdo2oss png soyearscesized 3217B492-0560-4444-b657-coc2osdo20ss png soyearscesized 3217B492-0560-4444-b657-coc2osdo20ss png Please redact t h is pe rson's con t ac t i nfor ma t io n Anthony Mejia City Clerk 760.776 .6304 amejia@palmdesert.gov I www palmdesert gov 73510 Fred Waring Drive, Palm Desert, CA , 92260 From : Todd Hileman <thileman@pa lmdesert.gov> Sent: Sunday, Octobe r 8, 2023 2 :33 PM To: Ant hony Mejia <amej ia@palmdesert.gov> Subject: Fwd: Con t ract for PD Aqua Cen t er Sen t from my i Phone Todd Hileman City Manager 760.776 .6305 thileman@palmdesert.gov I www.palmdesert.gov 73510 Fred Waring Drive, Palm Desert, CA , 92260 Beg i n forw ar ded message : From: Shawn M ui r <smujr@pa lmdesert eov> Date: Oct obe r 8, 2023 at 2:28:42 PM PDT To: Todd Hileman <thileman@pa lmdesert eov>, M art i n Alv arez <malvarez@pa lmdesert eov>, Ra ndy Chavez <rchayez@palmdesert eov>, Chri s Esco bed o Page 525 of 570 <cescobed o@pa I mdesert.gov> Subject: Fwd: Contract for PD Aqua Center FY I Sent from my iPhone Begi n fo rwarded message: Shawn Muir Communi ty Services Manager 760.776.6481 smuir@palmdesert.gov I www.palmdesert.gov 73510 Fred Wa ring Drive, Palm Desert, CA, 92260 From: Cit y of Palm Dese rt <webmaster@palmdesert gov> Date: Oc t ober 8 , 2023 at 11:10:06 AM PDT To: Shawn Muir <smu ir@pal mdesert.gov> Subject: Contract for PD Aqua Center Reply-To: Pa t ric ia Diviney Message submi t ted from th e <City of Pal m Desert> webs ite. Site Visitor Name: Patricia Diviney Site Visitor Email: Hello Shawn I have been att ending the Aq ua Classe s at t he PD Aqua Ce nter si nce 2014 --I used to reside in Pa l m Desert but now in Rancho Mi rage but stil l attend the clas ses. I wou ld l ike to say I fu l ly suppo rt the pe nd ing Management cha nges for t he Center. There seems t o have been quite a severe erosion in the M a na geme nt of the Center and a change wou ld be welcome. The Cente r ha s been mismanaged ---it just seems t o be getting sc ruffie r and scruffier and thi ngs not worki ng a lot of the time. Plu s a few t i mes ove r the past y ear ther e has been ver ba l abuse towards us Aqua attendees and t here never seems to be anybody o n site to deal w ith it. Tu rn a bl i nd eye seems to be t he answer! Tot a lly u nnecessa ry. W hen summer classes are held for the children th e paren ts seem t o thin k it is OK t o park i n illega l spo t s suc h as the Handicap areas and th ey never seem to get reprima nded or fined. A ll part of t he new entitlement e ra ? Page 526 of 570 An yway Shawn ---hopeful ly the changes w il l ring and a lso our Aqua Classes wi l l be mainta i ned. I w ould ha v e t o sa y t hat o ver the past year a couple of t he ins t r uc t ors are not up to par and it is har d to bel ieve that there are not ot her good potential instructors. Get th e i mpress ion that t here is an "o ld boys club" in operat ion Thanks fo r letti ng me pu t m y sixpence w orth in ! Cord ially iiiii Page 527 of 570 From: Marilynn.Hall To: CouncilMeeting Comments Subject: Message to Palm Desert City Council - regarding Palm Desert Aquatic Center Date: Monday, October 9, 2023 11:50:42 AM Dear Esteemed Council-Members, I urge you not to simply Rubber-stamp the Staff recommendation to award the PDAC Management Contact to an out-of-State for-profit Company. Please reconsider leaving the contract with The Family YMCA of the Desert. My husband and I have had a home in Palm Desert since 2002 and made it our permanent residence in 2013. My Husband is a golfer and this City offered us warmth, abundant sunshine and many golfing opportunities for our retirement. I am not a serious golfer but I now consider myself a serious “Water Fitness” fan, once I found my way to the Palm Desert Aquatic Center in 2015. This has become the perfect Retirement Life for the two of us. Alan hits golf balls at Desert Willow and I attend Classes at the Aquatic Center six days a week. We could not be happier to have found our way to the City if Palm Desert. We like that the Aquatic Center is currently managed by a Local non- profit organization with a presence in the Community..in fact in the park next door! We like that YMCA’s have successfully served Communities across the USA since 1851. We like that YMCAs have successfully managed Swimming pools in MOST if NOT ALL of those Communities. (Not sure this is true for the new company being recommended.) We like the Aquatic Center pools and the excellent way they are maintained by Mike Marshall; The Warm and Friendly staff members that know us by name; the professional lifeguards who keep us safe. We like our Water Fitness Instructors and the Classes that are offered six days a week. PDAC IS an important exercise facility for our Community and it offers therapeutic healing for those recovering from joint replacement surgeries, strokes, and other health issues. I believe things cannot truly get better for any of us by switching to a profit-based operator from Florida for this wonderful City of Palm Desert Amenity. I have enjoyed my participation at the Aquatic Center and the lovely friends I have made there. I established an email list to create more of a Community among the participants in the 11] Page 528 of 570 Water Fitness Classes and to stay in touch with om many Seasonal friends throughout the year. That List ha s grown to over 260 people in less than 8 years. In 2017 I also sta1ted or ganizin g my fellow Me1maids and Aqua-Men to help Suppo1t the Annual YMCA Sustaining Fund to suppott their wide -ranging programs fo r Children and Families across the Coachella Valle y, making sme that eve1y child h as a chance to pait icipate desp ite their ability to pay ..... which includes Free Swim Lessons at PDAC . Each Year we ha ve raised more money for the YMCA, from $5000 in 2017 to over $15 ,000 in 2022 ( an average donation of $57 per each of the 260 Water Fitness participants), demonstrating om Me1maid/ Aqua-Men community Suppott for the YMCA. We do Not wa nt to lose the YMCA. Ifthere are ways we can h elp them improve in the eyes of the City Council, we, their Community can help. Please Give us a chance. Respectfully Submitted, ~Alan Baskin ~922 11 Page 529 of 570 Page 530 of 570 Page 531 of 570 Page 532 of 570 Page 533 of 570 From:Rosemary Kerr To:Counci Meeting Comments Subject:Aquatic Center Date:Tuesday, October 10, 2023 8:57:58 AM Page 534 of 570 Page 535 of 570 Page 536 of 570 Sent from my iPhone Page 537 of 570 From:The Birdsells To:CouncilMeeting Comments Subject:Palm Desert Aquatic Center Date:Tuesday, October 10, 2023 10:56:04 AM Please please please keep the YMCA in place to manage this wonderful Palm Desert asset. We love the programming and we are listened to whenever we make suggestions for new classes or timing. They are a wonderful group who make themselves accessible to us each and every day that we use the pool. We are property owners in Palm Desert and although we are Canadian, we have made great use of the pool for winter months over the last few years. It is well-run and non-profit based! Our swim classes donate additional funds to the YMCA each year (yes! even us Canadians!) It is to our benefit to donate to the wonderful programs throughout the valley that support the citizens who benefit from YMCA programs. WHY on earth would you bring in a profit based company to replace them? Why you would replace an organization that is doing a good job? Look what happened to the Desert Willow golf course when you changed the management! We were regular players there for years until the management changed and now it is impossible to get a tee time because preference for tee times is given to vacationers staying at hotels at Desert Willow! How is that fair that we as Palm Desert tax payers can no longer use the Golf Course?! We fear that that is exactly what would happen at PDAC if you change the management! The City of Palm Desert needs to give preference to residents and we are very happy with the way the YMCA currently manages PDAC. Please DO NOT give the contract to a non-local company!!! Janet Birdsell Palm Desert, CA 92260 Page 538 of 570 From:Louise Schwartz To:CouncilMeeting Comments Subject:Keep the Aquatic Center managed by the YMCA Date:Tuesday, October 10, 2023 1:23:32 PM Hello, I have heard that the management of the Aquatic Center may be assigned to a company in Florida. The current management by the YMCA is wonderful for our community and members. The YMCA is a highly reputable organization that does so much good to ensure access to programs for many within the community. Please stay loyal to them and their dedication to our wonderful community. This facility is so important and such a big part of the wellbeing of so many and the YMCA is doing such a wonderful job at keeping the facility the beautiful and inclusive place it should be. Thanks, Louise Schwartz Page 539 of 570 From:Nancy Dowling To:CouncilMeeting Comments Subject:Subject: Local Management for Local Amenities (AQUATIC CTR) Date:Tuesday, October 10, 2023 7:06:12 PM Dear Palm Desert City Council, I am writing to object to the proposal of having our Aquatic Center managed by a Florida-based company. The center is a city amenity that should be managed locally to best servethe needs of our community. The YMCA, with its local presence and long history of service, has done an excellent job inmaintaining the pools and offering a range of classes. Switching to a profit-based operatorfrom Florida would not improve the center but could potentially harm the quality of thiswonderful city amenity. Thank you for considering my views. Warm regards, Nancy Dowling Palm Desert Page 540 of 570 From:Kelle Bates To:CouncilMeeting Comments Subject:The Aquatic Center: A Health Asset We Can’t Afford to Lose Date:Tuesday, October 10, 2023 7:49:18 PM Dear Palm Desert City Council, I am writing to express my strong reservations about the proposal to hand over themanagement of our Aquatic Center to a Florida-based company. The center is not just a recreational facility; it's a health asset. It offers water fitness classessix days a week and serves as a healing center for those recovering from jointreplacements, strokes, and other health issues. The YMCA has done an excellent job in thisregard, and we should not risk losing these benefits by changing operators. Please reconsider this proposal for the sake of our community's health. Sincerely, Kelle Bates, Palm Desert Sent from my iPhone Page 541 of 570 From:Rosemary Kerr To:CouncilMeeting Comments Subject:Aquatic Center Takeover Date:Tuesday, October 10, 2023 8:09:27 PM Dear Palm Desert City Council, I am writing to express my strong objection to the proposal of having our beloved AquaticCenter managed by a Florida-based company. Our community takes great pride in thefact that the center is currently managed by a local non-profit organization, situated rightnext to the park. The YMCA has been serving communities across the USA since 1851, and their expertise inmanaging swimming pools is unparalleled. The Aquatic Center is not just a pool; it's acommunity hub offering water fitness classes six days a week and providing essentialrehabilitation opportunities for those recovering from surgeries and other health issues. Switching to a profit-based operator from Florida would not only undermine ourcommunity values but also risk the quality of services we currently enjoy. Thank you for your time and consideration. Best regards, Rosemary Kerr Palm Desert resident Sent from my iPhone Page 542 of 570 From:Barbara Conway To:CouncilMeeting Comments Subject:Palm Desert Aquatic Center Date:Tuesday, October 10, 2023 9:20:23 PM This is for the City Council Members for their October 12 meeting. I’m writing this to hopefully help you to make the decision for the YMCA to kept managing the Aquatic Center. I love the way the YMCA runs the facility. Very organized, keeping the pools maintained in an excellent way. In fact the whole center is maintained in a pristine welcoming manner. The Water and Fitness instructors are very good, professional and make working out fun and enjoyable. The classes they offer 6 days a week are very helpful for the elderly as they help movement, strengthening, coordination, arthritis, balance. Etc. I go 3 days a week, so much better than going to a gym. The YMCA is a non profit community based organization. I appreciate all they have done with Center and our community. It would be so disappointing to give the Center to some outside profit-based operator from Florida. I believe things will change and not for good, and I believe that switching the operations from YMCA to some outside operation will do harm for our community. It makes me sad. Best Regards, Barbara Conway Sent from my iPad Page 543 of 570 Page 544 of 570 From:lqcandc50@gmail.com To:CouncilMeeting Comments Subject:YMCA’s Proven Success in Managing Community Pools Date:Wednesday, October 11, 2023 10:20:16 AM Dear Palm Desert City Council, I am writing to voice my concerns about the proposal to have the Aquatic Centermanaged by a Florida company. The YMCA has a proven track record of successfullymanaging swimming pools across the nation since 1851. Their experience and commitmentto community well-being are unmatched. Our Aquatic Center is an essential part of our community, offering water fitness classes andserving as a rehabilitation center for those recovering from various health issues. TheYMCA has successfully managed to maintain the pools in excellent condition, and wewould like to see that continue. I strongly urge you to reconsider the proposal and keep the management local. Sincerely, Melinda Moore Palm Desert Page 545 of 570 From:cecebarlow@verizon.net To:CouncilMeeting Comments Subject:Is the Florida Company Equipped to Manage Our Aquatic Center? Date:Wednesday, October 11, 2023 12:18:44 PM Palm Desert City Council Members, I am writing to express my concern about the Council’s proposal tohave the Aquatic Center managed by a Florida-based company. TheYMCA has a history of successfully managing pools in communitiesacross the country, but we know little about the company you areconsidering. I sincerely hope you will not select a company that doesnot have the history and level of expertise that YMCA offers. The Aquatic Center is very important to our community and servesmany citizens outside Palm Desert. As a resident of La Quinta who appreciates the programs offered at the Center, I hope you willcarefully consider this decision. Thank you. CeCe Barlow La Quinta, CA Page 546 of 570 From:WENDY POWELL To:CouncilMeeting Comments Subject:Palm Desert Aquatic Center Date:Wednesday, October 11, 2023 2:07:12 PM Dear Palm Desert City Council Members, My name is Wendy Powell, and I live in Palm Desert. Thank you for reading my email. I am a professional Senior care giver, working for Home Sweet Home. The lady I assist asked for my help in sending an email. She was an original donor, when the Aquatic Center was built. Following is her email. Dear Palm Desert City Council Members, Thank you for reading my letter. My name is Helen Sweatt, and I am a resident of Palm Desert. I have lived at Chaparral Country Club for 36 years. My late husband and I were original donors to the city of Palm Desert, for building a new “Aquatic Center.” The rendering photos were lovely. The presentation to those of us in the community; well, it was second to none. We marveled as we watched the parking lot being built, without one beautiful palm tree removed. It was a destination to drive by, with so many exciting things being built at Civic Center Park. We continued our pledge to help build the facility, because we believed in the YMCA. We believed in the City of Palm Desert’s vision. A non-profit Aquatic Center, owned by the city and run by the YMCA. A place for families, Seniors, sports groups, Water Aerobics, College Of The Desert, and simply lounging in the water. There would be slides, and diving boards, but not too many. This wasn’t going to be a money-making Water Park. The Palm Desert community financially helped make our Aquatic Center a reality. The aquatic facility we were presented with will significantly change, if a for profit company is chosen to run the pool. Please do not allow our gem, to transition into another Sports Complex. I remember; this is not what the City of Palm Desert envisioned. My husband and I participated in presentations. The Palm Desert Aquatic Center was never intended to be for profit. Thank you for your consideration. I appreciate it very much. Sincerely, Helen A. Sweatt Palm Desert 92260 Dear Palm Desert City Council Members, Wendy here again. I enjoy going to the Aquatic Center. I am also opposed to replacing the YMCA, as their management. I love seeing the various groups mingle together. Children taking their swim lessons, Water Aerobics classes, lap swimmers, and friends relaxing at the picnic tables. This is a community location. Please reconsider the possibility of changing, those who run the Aquatic Center. I so hope the non-profit YMCA will remain, and won’t be replaced by an out of state company. Thank you. Sincerely, Wendy Powell Palm Desert, 92260 Sent from my iPad Page 547 of 570 From:Donna DeBardi To:CouncilMeeting Comments Subject:Aquatic Center management change Date:Wednesday, October 11, 2023 2:27:02 PM Dear City Council Members, The Palm Desert Aquatic Center is a wonderful asset for the community. As a older adult, I use the Silver Sneakers program to help me remain healthy and mobile. The water aerobics, silver sneakers classic and chair yoga classes are of great benefit to me and many of my neighbors -- many of whom are well into their 80's and 90's. Please insure that whoever manages the Aquatic Center continues the contract with Silver Sneakers. We older residents need these programs. Thanks for your consideration. Donna DeBardi Palm Desert 92260 Page 548 of 570 FAMILY YMCA OF THE DESERT 43-930 San Pablo Avenue, Palm Desert, CA 92260 760-341-9622 Fax: 760-779-9651 ***.ymcaofthedesert.org October 11, 2023 City of Palm Desert Council 73510 Fred Waring Drive Palm Desert, CA 92260 Re: City of Palm Desert’s Staff recommendation to Palm Desert City Council to approve a contract for Palm Desert Aquatic Center Management. On behalf of the Family YMCA of the Desert, we are grateful for the opportunity to manage and provide a variety of experiences for our community and visitors since 2011. As safety, customer service, quality, and consistency have always been priority, we are extremely proud of all the Family YMCA of the Desert PDAC team has offered our community. We take great pride in being a trusted and valued community partner and are thankful for the impact our Y team has made while managing the Palm Desert Aquatic Center. It is with this in mind, that we will do everything that we can to assure a smooth transition to a new vendor if that is the direction decided by this Council. We would like to share our perspective on the information being presented today. The Y had charged the same management fee, $165,000 from 2018-2023. In the recent RFP process, we proposed a fee of 12% of expense or $238,323 with a 3-5% increase for the next 4 years. This appears to be $25,677 lower than the proposed operator for year one. Something we hope Council will consider is that the mission of the Y is to provide programs that help build a healthy spirit, mind, and body for all. Every dollar that the YMCA receives is used to support programs in our community that will promote this mission. We utilize our resources to improve the lives of families and seniors in the Coachella Valley. We obtain grants which allow us to provide low cost swim safety and other programing opportunities. The YMCA does work with a marketing firm. However this is at the behest of the City, who have contracted with them directly. The marketing consultant referenced is Stephanie Greene with FG Creative. She and her team have worked hand in hand with the City for many years. She serves on the El Paseo Parking and Business Improvement District and City of Palm Desert Marketing Committee. She has an insight into marketing in the Coachella Valley, and specifically Palm Desert, that I would challenge anyone to improve upon. It is our understanding that the City wanted continuity in their marketing and that is why they contracted the services of her firm in promoting the Aquatic Center. In addition to the services of this firm, the YMCA provides their own in-house marketing in order to promote special events and activities. Page 549 of 570 FAMILY YMCA OF THE DESERT 43-930 San Pablo Avenue, Palm Desert, CA 92260 760-341-9622 Fax: 760-779-9651 ***.ymcaofthedesert.org Regarding the reduction of hours, we have spoken with Staff and Council in depth on this temporary situation and presented information at the February 16, 2023 Council Meeting. There has been a documented, nationwide lifeguard shortage from 2020-current, which was created by the pandemic. We regret that we were not able to maintain the hours and we know this impacted several Palm Desert residents. In February of 2023, we reduced the operating hours from 13.5 hours per day to 11 hours per day for a period of around 6 weeks until staffing levels were restored. It was at this same time that many pools locally and across California were not able to open their doors and had frequent last minute closures. The Y’s Human Resources is located in walking distance to the Aquatic Center and we have utilized our connections with DSUSD, Palm Desert High School and Xavier High School Water Polo Teams over the course of our management of PDAC. The historical numbers representing the operator expense in the current RFP and Staff Report are not reflective of what was billed by the YMCA and contain variances of between $300,000- $800,000. This discrepancy has a direct impact on the recovery rate shown. It is our belief and was mentioned by City staff at the walk though meeting on August 15, 2023, that there were possibly capital improvements in the numbers provided. Safety has been our number one priority in our management of the facility. Our policy is to have 3 certified guards at any given time. There is an added cost but this is the best practice. Our policies take into consideration the extreme heat that the guards are exposed to and rotates guards every 15 minutes. Other facilities operate like a hotel where guards sit in the same position until they are required to take their 10 minute break, around 2 hours. In the time the facility has been managed by the Y, there have been no closures for the failure to pass county inspections and there have been no serious injuries more than first aid. In speaking with our Aquatics Director, the filters in the facility are the original ones from opening and will need to be replaced in the near future which would cause a closure of around 3 months. This is a time where all non-salaried staff would likely be laid off and then re-hired when the facility reopens. This information has been given to the City liaison as well as the estimated cost of 1.7M. Page 550 of 570 FAMILY YMCA OF THE DESERT 43-930 San Pablo Avenue, Palm Desert, CA 92260 760-341-9622 Fax: 760-779-9651 ***.ymcaofthedesert.org If selected, the Y will move for board approval of a standing committee to review all aspects of our management of PDAC. The proposed committee will constist of the following members, as well as inviting other community members and City staff to participate: Consessions Rick Shalhoub, Y Board Chair and owner/operator of 21 McDonalds restaurants. Operations Ryan Stendell, Y Board Member, Public Works Director, City of Rancho Mirage, formerly with City of Palm Desert and is familiar with PDAC operations. Patrick Klein, Y past-Chair, General Manager, Taubman, The Gardens on El Paseo/El Paseo Village Marketing Risseth Lora, Y Board Member, Public Information Officer City of Coachella, former Managing Director of a Marketing Agency Programing Andre Pacheco, Y Board Member, Athletic Director, College of the Desert Human Resources Meegan Villa, Y Chair-Elect, Owner, Proper Solutions Staffing Agency Katie Leffler, Y Board Member, Human Resources, Desert Champions, Indian Wells Tennis Gardens In closing we would like to thank the City, the patrons of the Aquatic Center and our dedicated staff for the many wonderful years we served as the operator of the PDAC. It has been our honor and privilege to serve. Whatever is decided upon today, please know that the Family YMCA will be supportive and hopes for continuing colaborations with the City of Palm Desert. Sincerely, Rick Shalhoub, Board Chair Family YMCA of the Desert Meegan Villa, Chair-elect, Family YMCA of the Desert Patrick Klein, past-Chair, Family YMCA of the Desert Joe Hayes, past-Chair, Family YMCA of the Desert Nolan Sparks, past-Chair, Family YMCA of the Desert Cindy Pieper, Board Member, Family YMCA of the Desert Gary Galton, Board Member, Family YMCA of the Desert Risseth Lora, Board Member, Family YMCA of the Desert Paula Simonds, CEO, Family YMCA of the Desert Page 551 of 570 Page 552 of 570 From:Jody Patterson To:CouncilMeeting Comments Subject:PALM DESERT AQUATIC CENTER Date:Wednesday, October 11, 2023 6:48:59 PM Dear Council Members, Twelve years ago I suffered a spinal cord injury, and was left a quadriplegic. I recovered the right side of my body, but my left side remains paralyzed with drop foot, and no use of my left hand. I had nowhere to turn for lasting rehabilitation until I found PDAC. I arrived the first day being pushed in a wheelchair by my husband. I was warmly welcomed, encouraged and helped by every staff member, especially the aerobics instructor Leslie Hunley. After less than a year in the pool, I was out of the wheelchair, using a walker, and even driving a car again. The day I drove home from PDAC for the first time the entire class, plus PDAC personnel, watched me drive away to the sound of their applause. My husband and I are in awe of the good work offered by the current staff at PDAC. They all work hard, and are dedicated to the virtues the YMCA stands for. Please keep our current staff in place. Every single one of them are excellent employees, and spread nothing but good will to the city of Palm Desert. Thank you for your consideration of this most important matter. Sincerely, Jody Patterson Sent from my iPad Page 553 of 570 Page 554 of 570 CITY OF PALM DESERT CITY MANAGER’S OFFICE INTEROFFICE MEMORANDUM Date: October 12, 2023 To: Honorable Mayor and Councilmembers From: Anthony J. Mejia, City Clerk Subject: City Council Meeting of October 12, 2023 Below you will find questions received from the Mayor or Councilmembers and answers provided by City staff regarding tonight’s City Council meeting: ITEM 14a: AWARD OF CONTRACT FOR AFFORDABLE HOUSING COMPLIANCE AND PROPERTY MANAGEMENT SERVICES TO FALKENBERG/GILLIAM AND ASSOCIATES, INC., FOR A FIVE-YEAR TERM, WITH AN INITIAL ANNUAL COST FOR CALENDAR YEAR 2024 IN AN AMOUNT NOT TO EXCEED $655,032 Q1: Did the previous contract expire? If the City decided to not renew the contract, was it a matter of cost, or was there cause? A1: The current management agreement expires December 31, 2023. An RFP is customary when the term expires. The current management company did not submit a proposal. ITEM 14b: INTRODUCTION OF AN ORDINANCE AMENDING CHAPTER 5.04 OF THE PALM DESERT MUNICIPAL CODE REGARDING BUSINESS LICENSING AND TAXING PROCEDURES, AND MAKING A FINDING OF EXEMPTION UNDER CEQA Q1: Will the City Council get notifications about revocations or suspensions independent of Consent Calendar items? A1: Yes, City staff will copy the City Council on any suspension and revocation letters. ITEM 14d: AWARD CONTRACT TO SPORTS FACILITIES MANAGEMENT, INC., FOR THE MANAGEMENT AND OPERATION OF THE PALM DESERT AQUATIC CENTER Q1: In reviewing the materials there are ideas for movie night and food trucks; however, is there going to be future discussion on adding water features to the Aquatic Center? When will the City Council be presented with a fee structure and a 5-year business plan from this new company and how much will the City need to subsidize? A1: The Fiscal Year 2023/24 CIP budget includes $100,000 for design of updates to the aquatic center. City staff intend to target new water features, outdoor showers, heaters, and other updates to the pump room including the filtration system. The 5-year management fee structure for Sports Facilities Management’s operation of the facility is included in the staff report under Financial Impact. Estimated costs for salaries and other expenses to support the aquatic center are also included in the table. If the contract is awarded to SFM, City staff will work with their team to approve a transitional plan leading up to the January 1, 2024, full- facility operation, and a business plan to set targets for the next 5 years. Page 555 of 570 10/12/2023 Question & Answer Memo Page 2 of 2 The updated scope of work for the management contract also includes metrics that will be helpful for financial analysis. Considering the fee increase effective January 1, 2024, City staff will analyze data available through Summer 2024 to determine how the fees and new management contract have impacted operations from both the revenue and expense sides. Page 556 of 570 From:City Hall Mail To:CouncilMeeting Comments Cc:Níamh Ortega; Anthony Mejia Subject:FW: Palm Desert Aquatic Center Date:Thursday, October 12, 2023 11:11:48 AM From: Melanie Fernandez Sent: Thursday, October 12, 2023 10:09 AM To: City Hall Mail <cityhall@palmdesert.gov> Subject: Palm Desert Aquatic Center ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ Dear Mayor Kelly, As a Palm Desert Resident and daily attendee of the Aquatic Center Water Aerobics, I wanted to express my appreciation for your intervention on the management contract of the center. The YMCA makes our place a community. We hold a fundraiser for them every year, last year we raised $16000.00. We do not want to have a for profit out of state company taking over our home. Many older attendees are concerned about price increases and losing silver sneakers. We also have many people recover from surgeries and injuries in our pool. This is not a commercial pool. It's a place of community and a place for healing. We even collect money to help our swimmers in need of financial assistance. It's not just a pool. Its our home. Thank you for your time Melanie Fernandez Page 557 of 570 From:Roger Bell To:CouncilMeeting Comments Subject:Palm Desert Aquatic Center Date:Thursday, October 12, 2023 12:10:49 PM Dear Members of the City Council, I am writing to express my strong support for retaining the local YMCA, a non-profit organization, that currently operates the Palm Desert Aquatic Center. The impact of the YMCA on our community has been immeasurable, fostering a sense of belonging, physical health, and unity among residents. I firmly believe that the continued management by the local YMCA is in the best interest of our city and its residents. The YMCA has demonstrated a genuine commitment to the well-being of our community. They have not only managed the Palm Desert Aquatic Center efficiently but have also actively contributed to the development of programs that promote fitness, water safety, and overall community engagement. Their dedication is palpable and reflects in the high-quality services provided to residents of all ages. In contrast, considering an out-of-state for-profit company may pose several risks. Such a company, driven primarily by profit motives, might compromise the quality of services provided to our community. Local interests, unique needs, and the spirit of community that the YMCA embodies could be overlooked in favor of financial gains. Additionally, the revenue generated from the Aquatic Center could potentially leave our local economy, impacting businesses and residents alike. Furthermore, supporting the local YMCA aligns with our city's values of community, solidarity, and support for local initiatives. By entrusting the management of the Palm Desert Aquatic Center to the YMCA, we ensure that the facility continues to be a place where families gather, children learn, and friendships are formed. It maintains the sense of pride we have in our city and its ability to nurture its own growth and development. I urge you to consider the long-term impact on our community and the well-being of its residents. Please retain the YMCA's management of the Palm Desert Aquatic Center. Let us continue to invest in the social fabric of our community and uphold the values that make our city a wonderful place to live. Thank you for your time and consideration. Sincerely, Roger Bell Page 558 of 570 Page 1 of 3 CITY OF PALM DESERT STAFF REPORT MEETING DATE: October 12, 2023 PREPARED BY: Chris Escobedo, Assistant City Manager REQUEST: RESOLUTION WITHDRAWING FROM THE RIVERSIDE COUNTY LIBRARY SYSTEM, ASSUMING THE PROVISION OF LIBRARY SERVICES IN PALM DESERT, AND INDICATING ITS INTENT TO ESTABLISH AN INDEPENDENT MUNICIPAL LIBRARY - BUDGET APPROPRIATION AND TRANSFER RECOMMENDATION: 1. Adopt a resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, WITHDRAWING FROM THE RIVERSIDE COUNTY LIBRARY SYSTEM, ASSUMING THE PROVISION OF LIBRARY SERVICES IN THE CITY OF PALM DESERT, AND INDICATING ITS INTENT TO ESTABLISH AN INDEPENDENT MUNICIPAL LIBRARY.” 2. Appropriate a total of $1,321,527 to Library Account Fund (252) in the respective accounts listed below. 3. Authorize transfer of $1,321,527 from unobligated General Fund Reserves to Library Services Account Number 2520000-391000. BACKGROUND/ANALYSIS: The City is currently part of the Riverside County Library System, a county-free library system established pursuant to the Education Code. The following is a timeline of recent events relative to library services:  April 4, 2023 - Parks and Recreation Committee established a subcommittee to study issues related to library operations.  May 2, 2023 - Parks and Recreation Committee made recommendations to the City Council including enhancing levels of services or taking over the management of the library.  May 11, 2023 - Recommendations were presented to the City Council which directed City staff to research the option of assuming complete control of the Palm Desert Library and operating it as a municipal library.  June 8, 2023 - City Council voted to form a Library Taskforce to provide community input into the process.  June 22, 2023 - City Council received a presentation and research updates from City staff, after which the City Council unanimously voted to endorse the formation of a City of Palm Desert municipal library. Page 559 of 570 City of Palm Desert Resolution Withdrawing from the Riverside County Library System Page 2 of 3 California Education Code requires the City Council to formally adopt the attached resolution, which is then sent to the County Board of Supervisors and California State Board of Equalization. As required by the Education Code, notice of the City’s intent to withdraw from the Riverside County Library System has been published once a week for two successive weeks. City staff have been working with County staff in negotiating the terms of withdrawal. This includes finalizing the anticipated annual reven ue amount, assuming the County’s lease of the library building and agreement on the personal property within the library. The City will assume operations July 1, 2024, and has recently hired a Director of Library Services to assist the City in getting ready to operate a municipal library next year. The City’s Library Taskforce has established subcommittees, engaging in site location review for a future City-owned library, and has been involved in the recruitment of the new Director of Library Services. Staff will be bringing on board a consultant team to assist in developing service levels, staffing models, and incorporating best practices in the creation of the new municipal library. Legal Review: This report has been reviewed by the City Attorney’s of fice and staff worked with the City Attorney’s office in drafting the attached resolution. FINANCIAL IMPACT: Beginning July 1, 2024, the City will begin receiving a negotiated $2.6 million in annual property tax and redevelopment pass-thru revenue. These funds will be redirected to the City for general services to support the library, in lieu of the County Library. Establishing a budget during the 2023-24 fiscal year will allow the City to begin the transition of staffing and procurements needed to assume full operations next fiscal year. FY 2023-24 Proposed Budget Account Number Library Services Salaries-Full Time 252-XXXX-4100100 601,015 Salaries-Part Time 252-XXXX-4100101 250,000 Salaries-Overtime 252-XXXX-4100200 - Retirement Contribution 252-XXXX-4111500 118,970 Medicare Contrb-Employer 252-XXXX-4111600 13,049 Retiree Health 252-XXXX-4111700 11,445 Ins Prem - Long Term Disab. 252-XXXX-4112000 4,449 Ins Prem - Health 252-XXXX-4112100 150,000 Ins Prem-Dental/Vision 252-XXXX-4112200 12,080 Ins Prem - Life 252-XXXX-4112400 1,519 Office Supplies 252-XXXX-4225200 1,000 Prof - Other 252-XXXX-4309000 150,000 Conf- Seminars- Workshops 252-XXXX-4312000 2,500 Local Meetings 252-XXXX-4312500 500 Printing / Duplicating 252-XXXX-4361000 2,500 Subscriptions/Publication 252-XXXX-4362000 500 Dues 252-XXXX-4363000 1,000 Telephones 252-XXXX-4365000 1,000 Page 560 of 570 City of Palm Desert Resolution Withdrawing from the Riverside County Library System Page 3 of 3 1,321,527 ATTACHMENTS: 1. Resolution 2. Public Hearing Notice Page 561 of 570 Page 562 of 570 RESOLUTION NO. 2023-___ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT, CALIFORNIA, WITHDRAWING FROM THE RIVERSIDE COUNTY LIBRARY SYSTEM, ASSUMING THE PROVISION OF LIBRARY SERVICES IN THE CITY OF PALM DESERT, AND INDICATING ITS INTENT TO ESTABLISH AN INDEPENDENT MUNICIPAL LIBRARY WHEREAS, the City of Palm Desert is currently part of the Riverside County Library System, a county-free library system pursuant to Education Code section 19100 et seq. (“RCLS”); and WHEREAS, at its meeting on April 4, 2023, the City’s Parks and Recreation Committee established a subcommittee to study issues related to library operations; and WHEREAS, at its meeting on May 2, 2023, the Parks and Recreation Committee made recommendations for City Council consideration including that the City provide enhanced services for the upcoming year, take over the management of the library, and potentially assume the County’s lease of the library building, or alternately purchase the portion of the library building occupied by the Desert Community College District; and WHEREAS, the City Council received the Parks and Recreation Committee’s recommendations at a Study Session on May 11, 2023, during which the City Council directed City staff to research the option of assuming complete control of the Palm Desert Library and operating it as a municipal library; and WHEREAS, at its regular meeting on June 8, 2023, the City Council voted to form and appoint a Library Taskforce; and WHEREAS, at its regular meeting on June 22, 2023, the City Council received a presentation and research updates from City staff regarding options for enhancing services at the Palm Desert Library, after which the City Council unanimously voted to endorse the formation of a City of Palm Desert municipal library; and WHEREAS, the City of Palm Desert desires to withdraw from the Riverside County Library System; and WHEREAS, as required by California Education Code Section 19106, the City of Palm Desert published once a week for two successive weeks, in a newspaper designated by the City circulating throughout the City, notice of the City’s intent to withdraw from the Riverside County Library System, assume the provision of library services in the City, and establish an independent municipal library, and such notice provides the date and place of the meeting at which these contemplated actions are proposed to be taken; and Page 563 of 570 WHEREAS, on October 12, 2023, the City Council of the City of Palm Desert held a public hearing on the matter of withdrawal from the Riverside County Library System and intention to establish an independent municipal library; and WHEREAS, as required by California Education Code Section 19116, the City is authorized to withdraw from the Riverside County Library System and assume responsibility for providing public library services by notifying the Board of Supervisors of Riverside County that the City no longer desires to be a part of the county free library system and indicating whether the City intends to acquire property pursuant to subdivision (c) of California Education Code, Section 19116; and WHEREAS, the City Council desires to withdraw from the Riverside County Library System as of July 1, 2024, or upon the transfer of any property, whichever is later, and to provide library services directly to the public as a municipal library. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm Desert, California, as follows: Section 1. That the above recitals are true and correct and are incorporated herein by this reference. Section 2. The City Council of the City of Palm Desert hereby approves the withdrawal from the Riverside County Library System and determines and directs that City staff notify the Board of Supervisors of Riverside County that: a) the City no longer desires to be part of the county free library system, b) the City desires to assume the County’s lease with Desert Community College District of the library building and to acquire all mutually agreed upon personal property within, c) as of July 1, 2024, or upon the transfer of property, whichever is later, the City of Palm Desert will withdraw from the Riverside County Library System and shall assume the responsibility for the provision of library services within the City’s jurisdiction, and d) the City requests that the County shall take all necessary actions to redirect to the City, effective July 1, 2024, residual property tax funds and pass through funding pursuant to the Education Code and to redirect such funds to the City annually thereafter. Section 3. The City Council hereby directs staff to begin negotiations with the County, regarding the lease of the library building and contents, the transfer of funds for library operations, and the drafting of an agreement regarding these and all related matters, including the unwinding of previous agreements related to the library, in accordance with California Education Code, Section 19116. Section 3. The City Council hereby expresses its intent to establish an independent municipal library and directs staff to take all necessary steps and actions in order to effectuate the transition of the Palm Desert Library from the Riverside County Library System to a municipal library. Section 4. This Resolution shall take effect immediately upon adoption. Page 564 of 570 Section 5. The City Clerk shall certify passage of this Resolution. ADOPTED ON ________________, 20__. KATHLEEN KELLY MAYOR ATTEST: ANTHONY J. MEJIA CITY CLERK I, Anthony J. Mejia, City Clerk of the City of Palm Desert, hereby certify that Resolution No. 2023-__ is a full, true, and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Desert on _______________________, by the following vote: AYES: NOES: ABSENT: ABSTAIN: RECUSED: IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Desert, California, on ______________, 20__. ANTHONY J. MEJIA CITY CLERK Page 565 of 570 Page 566 of 570 Page 567 of 570 Page 568 of 570 Page 569 of 570 Page 570 of 570