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2025 08 11 CC Minutes Sp MtgCITY COUNCIL MINUTES SPECIAL MEETING MONDAY, AUGUST 11, 2025 CALL TO ORDER A special meeting of the La Quinta City Council was called to order at 4:30 p.m. by Mayor Pro Tenn McGarrey. PRESENT: Councilmembers Fitzpatrick, McGarrey, Pena, and Sanchez Mayor Evans joined the meeting at 4:34 p.m. ABSENT: None PLEDGE OF ALLEGIANCE Councilmember Pena led the audience in the Pledge of Allegiance. PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA — None CONFIRMATION OF AGENDA — Confirmed CLOSED SESSION 1. CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION; PURSUANT TO PARAGRAPH (1) OF SUBDIVISION (d) OF GOVERNMENT CODE SECTION 54956.9; CASES NAMES AND NUMBERS — MULTIPLE (listed below, all in U.S. Bankruptcy Court, District of Delaware) CASE NAME: CASE NUMBER SilverRock Development Company, LLC 24-11647 SilverRock Lifestyle Residences, LLC 24-11648 SilverRock Lodging, LLC 24-11650 SilverRock Luxury Residences, LLC 24-11652 SilverRock Phase I, LLC 24-11654 RGC PA 789, LLC 24-11657 COUNCIL RECESSED THE OPEN SESSION PORTION OF THE MEETING AND MOVED INTO CLOSED SESSION AT 4: 32 P.M. MAYOR EVANS JOINED THE MEETING AT 4:34 PM. MAYOR EVANS LEFT THE MEETING AT 5:38 P.M. CITY COUNCIL MINUTES SPECIAL MEETING Page 1 of 2 AUGUST 11, 2025 MAYOR PRO TEM McGARREY RECONVENED THE OPEN SESSION PORTION OF THE CITY COUNCIL MEETING AT 5:40 PM. WITH COUNCILMEMBERS FITZPATRICK, PEN -A, AND SANCHEZ PRESENT REPORT ON ACTION(S) TAKEN IN CLOSED SESSION: City Attorney Ihrke reported no actions were taken in Closed Session that require reporting pursuant to Government Code section 54957.1 (Brown Act). However, consistent with City Council direction, regular updates on the bankruptcy case are provided. Mr. Ihrke said the Council received an update from the City Manager, the City Attorney, and the City's Special Counsel. The update was regarding the status of the next step in the process pursuant to the Bankruptcy Court -ordered "Bid Procedures" and auction procedure, which procedures require the debtors to file a notice of the "successful bidder" in the very near future, with more updates and announcements to come as the debtors file motions in the Bankruptcy Court, and the Bankruptcy Court rules on various motions. Pursuant to the Bankruptcy Court Order for the auction procedure, the Council met in closed session to receive an update since the August 5, 2025, regular meeting and to give additional direction to the City Manager, Special Counsel, and City Attorney for the purpose of following up with the debtors and their legal counsel, relating to the terms for the selection of a "successful bidder." Council's authorization remains in place for the City Attorney, in coordination with the City Attorney's Office and Special Counsel, to defend and protect the interests of the City in the multiple bankruptcy cases filed by SilverRock Development Company and its responsive affiliates as reported out for Closed Session Item No. 2 from the August 6, 2024, Council meeting. ADJOURNMENT There being no further business, a motion was made and seconded by Councilmembers Fitzpatrick/Pena to adjourn at 5:41 P.m. Motion passed unanimously. Respectfully submitted, (/ MONIKA RADEVA, City Clerk City of La Quinta, California CITY COUNCIL MINUTES SPECIAL MEETING Page 2 of 2 AUGUST 11, 2025