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2025 10 07 Councilta Qaigra — GEM n/'ihe DESERT — Consent Calendar Item No. 3 City Council agendas and staff reports • 10/04/2025 Revised Staff Report - see page 27 are available on the City's tracked changes web page: www.LaQuintaCA._gov • 10/07/2025 Supplement to Staff Report — see pages S-1 through S-4 CITY COUNCIL AGENDA CITY HALL COUNCIL CHAMBER 78495 Calle Tampico, La Quinta REGULAR MEETING ON TUESDAY, OCTOBER 7, 2025 3:00 P.M. CLOSED SESSION 14:00 P.M. OPEN SESSION Members of the public may listen to this meeting by tuning -in live via www.laguintaca.gov/livemeetings. CALL TO ORDER ROLL CALL: Councilmembers: Fitzpatrick, McGarrey, Pena, Sanchez, and Mayor Evans PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA At this time, members of the public may address the City Council on any matter not listed on the agenda pursuant to the "Public Comments - Instructions" listed at the end of the agenda. The City Council values your comments; however, in accordance with State law, no action shall be taken on any item not appearing on the agenda unless it is an emergency item authorized by the Brown Act [Government Code § 54954.2(b)]. CONFIRMATION OF AGENDA CLOSED SESSION CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION; PURSUANT TO PARAGRAPH (1) OF SUBDIVISION (d) OF GOVERNMENT CODE SECTION 54956.9-1 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 CITY COUNCIL AGENDA Page 1 of 7 OCTOBER 7, 2025 2. CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION; PURSUANT TO PARAGRAPH (1) OF SUBDIVISION (d) OF GOVERNMENT CODE SECTION 54956.9-1 NAME OF CASE: CITY OF LA QUINTA V. SILVERROCK DEVELOPMENT COMPANY, ET AL. (RIVERSIDE COUNTY SUP. CT. CASE NO. CVPS2404750) RECESS TO CLOSED SESSION RECONVENE AT 4:00 P.M. REPORT ON ACTION(S) TAKEN IN CLOSED SESSION PLEDGE OF ALLEGIANCE PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA At this time, members of the public may address the City Council on any matter not listed on the agenda pursuant to the "Public Comments — Instructions" listed at the end of the agenda. The City Council values your comments; however, in accordance with State law, no action shall be taken on any item not appearing on the agenda unless it is an emergency item authorized by the Brown Act [Government Code § 54954.2(b)]. ANNOUNCEMENTS, PRESENTATIONS, AND WRITTEN COMMUNICATIONS SILVERROCK (FORMERLY TALUS) DEVELOPMENT PROJECT— STATUS UPDATE 2. CERTIFICATE OF RECOGNITION HONORING COMMUNITY SERVICE AWARD RECIPIENT TOM BELANICH 3. AMERICAN PUBLIC WORKS ASSOCIATION SOUTHERN CALIFORNIA CHAPTER — AWARDED THE 2024-2025 PROJECT OF MERIT AWARD TO THE CITY OF LA QUINTA FOR THE DUNE PALMS BRIDGE PROJECT NO. 2011-05 4. PROCLAMATION IN RECOGNITION OF CODE ENFORCEMENT OFFICERS' APPRECIATION WEEK — OCTOBER 5-11, 2025 5. PROCLAMATION IN RECOGNITION OF NATIONAL FIRE PREVENTION WEEK — OCTOBER 5-11, 2025 CONSENT CALENDAR NOTE: Consent Calendar items are routine in nature and can be approved by one motion. PAGE 1. APPROVE COUNCIL MEETING MINUTES DATED SEPTEMBER 16, 2025 Z) 2. ADOPT ORDINANCE NO. 625 ON SECOND READING AMENDING CHAPTER 19 2.60 OF THE LA QUINTA MUNICIPAL CODE RELATING TO THE CONFLICT OF INTEREST CODE CITY COUNCIL AGENDA Page 2 of 7 OCTOBER 7, 2025 3. ADOPT ORDINANCE NO. 626 ON SECOND READING TO CONDITIONALLY APPROVE DEVELOPMENT AGREEMENT 2025-0001 (REINSTATED AND AMENDED DEVELOPMENT AGREEMENT 2014-1001) TO FACILITATE DEVELOPMENT OF THE SILVERROCK SPECIFIC PLAN AREA; CEQA: AN ADDENDUM TO ENVIRONMENTAL ASSESSMENT 2002-453 HAS BEEN PREPARED PURSUANT TO SECTIONS 15162 AND 15164 OF THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA); LOCATION: SOUTH OF AVENUE 52, WEST OF JEFFERSON STREET SUPPLEMENT TO STAFF REPORT, DATED OCTOBER 7, 2025 S-1 4. ADOPT RESOLUTION TO ACKNOWLEDGE RECEIPT OF RIVERSIDE 289 COUNTY FIRE DEPARTMENT'S ANNUAL INSPECTION REPORT FOR FISCAL YEAR 2024/25 PURSUANT TO CALIFORNIA HEALTH AND SAFETY CODE SECTION 13146.4 [RESOLUTION NO. 2025-0241 5. ACCEPT OFF -SITE IMPROVEMENTS ASSOCIATED WITH THE RANCHO 293 SANTANA RESIDENTIAL DEVELOPMENT, TRACT MAP NO. 31202-1, LOCATED AT THE SOUTHWEST CORNER OF AVENUE 52 AND MONROE STREET 6. AUTHORIZE OVERNIGHT TRAVEL FOR PUBLIC WORKS ADMINISTRATIVE 30F TECHNICIAN TO ATTEND THE AMERICAN PUBLIC WORKS ASSOCIATION PUBLIC WORKS INSTITUTE IN DOWNEY, CALIFORNIA, OCTOBER 14-16, 2025 7. APPROVE DEMAND REGISTERS DATED SEPEMBER 5,12 AND 19, 2025 307 8. RECEIVE AND FILE REVENUE AND EXPENDITURE REPORT DATED JULY 329 31, 2025 BUSINESS SESSION PAGE 1. APPROVE FIRST ROUND OF COMMUNITY SERVICES GRANTS FOR FISCAL 335 YEAR 2025/26 2. APPROVE VETERAN NOMINATIONS FOR INCLUSION ON VETERANS 343 ACKNOWLEDGEMENT MONUMENTS AT CIVIC CENTER CAMPUS 3. APPROPRIATE FUNDS AND APPROVE COACHELLA VALLEY POWER 447 AGENCY MEMBERSHIP DUES FOR FISCAL YEAR 2025/26 STUDY SESSION — None PUBLIC HEARINGS — None CITY COUNCIL AGENDA Page 3 of 7 OCTOBER 7, 2025 DEPARTMENTAL REPORTS lei u_►_e7ma 2. CITY ATTORNEY 3. CITY CLERK 4. COMMUNITY SERVICES 5. DESIGN AND DEVELOPMENT 6. FINANCE 7. PUBLIC SAFETY 8. PUBLIC WORKS MAYOR'S AND COUNCIL MEMBERS' ITEMS REPORTS AND INFORMATIONAL ITEMS 1. CVAG CONSERVATION COMMISSION (Evans) 2. CVAG ENERGY AND SUSTAINABILITY COMMITTEE (Evans) 3. CVAG EXECUTIVE COMMITTEE (Evans) 4. VISIT GREATER PALM SPRINGS CONVENTION AND VISITORS BUREAU (Evans) 5. LEAGUE OF CALIFORNIA CITIES DELEGATE (Evans) 6. COACHELLA VALLEY WATER DISTRICT JOINT POLICY COMMITTEE (Evans) 7. COACHELLA VALLEY POWER AGENCY JOINT POWERS AGREEMENT (Evans) 8. ECONOMIC DEVELOPMENT SUBCOMMITTEE (Evans & Fitzpatrick) 9. DESERT SANDS UNIFIED SCHOOL DISTRICT COMMITTEE (Evans & Sanchez) 10. DESERT RECREATION DISTRICT COMMITTEE (Fitzpatrick & McGarrey) 11. COACHELLA VALLEY UNIFIED SCHOOL DISTRICT COMMITTEE (Fitzpatrick & Pena) 12. RIVERSIDE COUNTY TRANSPORTATION COMMISSION (Fitzpatrick) 13. CVAG TRANSPORTATION COMMITTEE (Fitzpatrick) 14. COMMUNITY SERVICE GRANT REVIEW COMMITTEE (McGarrey & Pena) 15. COACHELLA VALLEY MOUNTAINS CONSERVANCY (McGarrey) 16. GREATER CV CHAMBER OF COMMERCE INFORMATION EXCHANGE COMMITTEE (Fitzpatrick) 17. LEAGUE OF CALIFORNIA CITIES - ENVIRONMENTAL QUALITY POLICY COMMITTEE (McGarrey) 18. LEAGUE OF CALIFORNIA CITIES - EXECUTIVE COMMITTEE RIVERSIDE COUNTY DIVISION (McGarrey) 19. CANNABIS AD HOC COMMITTEE (Pena & Sanchez) 20. CVAG PUBLIC SAFETY COMMITTEE (Pena) 21. CVAG HOMELESSNESS COMMITTEE (Pena) 22. COACHELLA VALLEY MOSQUITO AND VECTOR CONTROL DISTRICT (Pena) 23. SUNLINE TRANSIT AGENCY (Pena) 24. ART PURCHASE COMMITTEE (Sanchez & McGarrey) 25. CALIFORNIA JOINT POWERS INSURANCE AUTHORITY (Sanchez) 26. CALIFORNIA ASSOCIATION OF LOCAL AGENCY FORMATION COMMISSION (Sanchez) 27. COACHELLA VALLEY ANIMAL CAMPUS COMMISSION (Sanchez) 28. LEAGUE OF CALIFORNIA CITIES - PUBLIC SAFETY COMMITTEE (Sanchez) CITY COUNCIL AGENDA Page 4 of 7 OCTOBER 7, 2025 29. RIVERSIDE COUNTY AIRPORT LAND USE COMMISSION (Sanchez) 30. RIVERSIDE LOCAL AGENCY FORMATION COMMISSION (Sanchez) 31. SOUTHERN CALIFORNIA ASSOCIATION OF GOVERNMENTS (Sanchez) 32. SOUTHERN CALIFORNIA ASSOCIATION OF GOVERNMENTS REGIONAL COUNCIL (Sanchez) 33. DIRECTOR'S HEARING SPECIAL MEETING MINUTES DATED SEPTEMBER 3, 2025 ADJOURNMENT ********************************* The next regular meeting of the City Council will be held on October 21, 2025, at 4:00 p.m. at the City Hall Council Chamber, 78495 Calle Tampico, La Quinta, CA 92253. DECLARATION OF POSTING I, Monika Radeva, City Clerk of the City of La Quinta, do hereby declare that the foregoing Agenda for the La Quinta City Council meeting was posted on the City's website, near the entrance to the Council Chamber at 78495 Calle Tampico, and the bulletin board at the La Quinta Cove Post Office at 51321 Avenida Bermudas, on October 3, 2025. DATED: October 3, 2025 vt*�4 MONIKA RADEVA, City Clerk City of La Quinta, California Public Notices • Agenda packet materials are available for public inspection: 1) at the Clerk's Office at La Quinta City Hall, located at 78495 Calle Tampico, La Quinta, California 92253; and 2) on the City's website at www.laquintaca.gov/councilagendas, in accordance with the Brown Act [Government Code § 54957.5-1 AB 2647 (Stats. 2022, Ch. 971)]. • The La Quinta City Council Chamber is handicapped accessible. If special equipment is needed for the hearing impaired, please call the City Clerk's office at (760) 777-7123, 24-hours in advance of the meeting and accommodations will be made. • If background material is to be presented to the City Council during a City Council meeting, please be advised that 15 copies of all documents, exhibits, etc., must be supplied to the City Clerk for distribution. It is requested that this takes place prior to the beginning of the meeting. CITY COUNCIL AGENDA Page 5 of 7 OCTOBER 7, 2025 PUBLIC COMMENTS - INSTRUCTIONS Members of the public may address the City Council on any matter listed or not listed on the agenda as follows: WRITTEN PUBLIC COMMENTS can be provided either in -person during the meeting by submitting 15 copies to the City Clerk, it is requested that this takes place prior to the beginning of the meeting; or can be emailed in advance to CityClerkMail(c�LaQuintaCA.gov, no later than 12:00 p.m., on the day of the meeting. Written public comments will be distributed to Council, made public, and will be incorporated into the public record of the meeting, but will not be read during the meeting unless, upon the request of the Mayor, a brief summary of public comments is asked to be reported. If written public comments are emailed, the email subject line must clearly state "Written Comments" and should include: 1) full name, 2) city of residence, and 3) subject matter. VERBAL PUBLIC COMMENTS can be provided in -person during the meeting by completing a "Request to Speak" form and submitting it to the City Clerk; it is requested that this takes place prior to the beginning of the meeting. Please limit your comments to three (3) minutes (or approximately 350 words). Members of the public shall be called upon to speak by the Mayor. In accordance with City Council Resolution No. 2022-027, a one-time additional speaker time donation of three (3) minutes per individual is permitted; please note that the member of the public donating time must: 1) submit this in writing to the City Clerk by completing a "Request to Speak" form noting the name of the person to whom time is being donated to, and 2) be present at the time the speaker provides verbal comments. Verbal public comments are defined as comments provided in the speakers' own voice and may not include video or sound recordings of the speaker or of other individuals or entities, unless permitted by the Mayor. Public speakers may elect to use printed presentation materials to aid their comments; 15 copies of such printed materials shall be provided to the City Clerk to be disseminated to the City Council, made public, and incorporated into the public record of the meeting; it is requested that the printed materials are provided prior to the beginning of the meeting. There shall be no use of Chamber resources and technology to display visual or audible presentations during public comments, unless permitted by the Mayor. All writings or documents, including but not limited to emails and attachments to emails, submitted to the City regarding any item(s) listed or not listed on this agenda are public records. All information in such writings and documents is subject to disclosure as being in the public domain and subject to search and review by electronic means, including but not limited to the City's Internet Web site and any other Internet Web -based platform or other Web -based form of communication. All information in such writings and documents similarly is subject to disclosure pursuant to the California Public Records Act [Government Code § 7920.000 et seq.]. CITY COUNCIL AGENDA Page 6 of 7 OCTOBER 7, 2025 TELECONFERENCE ACCESSIBILITY — INSTRUCTIONS Teleconference accessibility may be triggered in accordance with AB 2449 (Stats. 2022, Ch. 285), codified in the Brown Act [Government Code § 549531, if a member of the City Council requests to attend and participate in this meeting remotely due to `just cause" or "emergency circumstances," as defined, and only if the request is approved. In such instances, remote public accessibility and participation will be facilitated via Zoom Webinar as detailed at the end of this Agenda. *** TELECONFERENCE PROCEDURES' APPLICABLE ONLY WHEN TELECONFERENCE ACCESSIBILITY IS IN EFFECT Pursuant to Government Code § 54953(f) [AB 2449, Stats. 2022, Ch. 285, Rubio]. Verbal public comments via Teleconference — members of the public may attend and participate in this meeting by teleconference via Zoom and use the "raise your hand" feature when public comments are prompted by the Mayor; the City will facilitate the ability for a member of the public to be audible to the City Council and general public and allow him/her/them to speak on the item(s) requested. Please note — members of the public must unmute themselves when prompted upon being recognized by the Mayor, in order to become audible to the City Council and the public. Only one person at a time may speak by teleconference and only after being recognized by the Mayor. ZOOM LINK: https://us06web.zoom.us/m/86171130130 Meeting ID: 861 7113 0130 Or join by phone: (253) 215 — 8782 Written public comments — can be provided in person during the meeting or emailed to the City Clerk's Office at CityClerkMail(a)_LaQuintaCA.gov any time prior to the adjournment of the meeting, and will be distributed to the City Council, made public, incorporated into the public record of the meeting, and will not be read during the meeting unless, upon the request of the Mayor, a brief summary of any public comment is asked to be read, to the extent the City Clerk's Office can accommodate such request. CITY COUNCIL AGENDA Page 7 of 7 OCTOBER 7, 2025 CONSENT CALENDAR ITEM NO. 1 CITY COUNCIL MINUTES TUESDAY, SEPTEMBER 16, 2025 CALL TO ORDER A regular meeting of the La Quinta City Council was called to order at 3:00 p.m. by Mayor Evans. PRESENT: Councilmembers Fitzpatrick, McGarrey, Sanchez, and Mayor Evans ABSENT: Councilmember Pena MOTION — A motion was made and seconded by Councilmembers Fitzpatrick/McGarrey to excuse Councilmember Pena's absence. Motion passed: ayes — 4, noes — 0, abstain — 0, absent — 1 (Pena). PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA — None CONFIRMATION OF AGENDA City Manager McMillen requested to pull Consent Calendar Item No. 15 related to approving Amendment No. 1 to Agreement for Contract Services with Desert Recreation District to temporarily relocate Fritz Burns pool programs to Pawley Pool Family Aquatic Complex, and consider it as Business Session Item No. 4 on tonight's agenda. Council concurred. 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 2. CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION; PURSUANT TO PARAGRAPH (1) OF SUBDIVISION (d) OF GOVERNMENT CODE SECTION 54956.9; CITY COUNCIL MINUTES Page 1 of 10 SEPTEMBER 16, 2025 9 NAME OF CASE: CITY OF LA QUINTA V. SILVERROCK DEVELOPMENT COMPANY, ET AL. (RIVERSIDE COUNTY SUP. CT. CASE NO. CVPS2404750) 3. CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION PURSUANT TO PARAGRAPH (1) OF SUBDIVISION (d) of GOVERNMENT CODE SECTION 54956.9; NAME OF CASE: Langdon v. City of La Quinta (Small Claims Court, Riverside County Superior Court, Case No. SCPS2500496) COUNCIL RECESSED THE OPEN SESSION PORTION OF THE MEETING AND MOVED INTO CLOSED SESSION AT 3:02 P.M. MAYOR EVANS RECONVENED THE OPEN SESSION PORTION OF THE CITY COUNCIL MEETING AT 4:00 P.M. WITH ALL MEMBERS PRESENT REPORT ON ACTION(S) TAKEN IN CLOSED SESSION: City Attorney Ihrke reported the following pursuant to Government Code section 54957.1 (Brown Act): • CLOSED SESSION ITEM NO. 1 — no reportable action; 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. Mr. Ihrke noted that a summary of the bankruptcy proceedings status for SilverRock Development Company and its affiliates will be provided under the Announcements, Presentations, and Written Communications section of the agenda, as Presentation Item No. 1. • CLOSED SESSION ITEM NO. 2 — no reportable action. • CLOSED SESSION ITEM NO. 3 — no discussion or consideration of this item; at the time the agenda for this meeting was posted, the City was not aware that the litigation was no longer pending; this morning, the City was notified that on September 9, 2025, the court ruled and denied the plaintiffs' Notice of Motion to Vacate Judgment and Declaration, issued on the small claims hearing held on July 15, 2025, and also vacated the previously scheduled hearing for September 16, 2025, to hear this motion, which was taken off the court's calendar; the case has been dismissed and was resolved in favor of the City. PLEDGE OF ALLEGIANCE Councilmember Sanchez led the audience in the Pledge of Allegiance. CITY COUNCIL MINUTES Page 2 of 10 SEPTEMBER 16, 2025 10 PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA WRITTEN PUBLIC COMMENTS were received from La Quinta resident Mary Mann opposing the location of the bighorn sheep fence being installed at the Club at Coral Mountain development, pursuant to Amendment No. 5 to Specific Plan 2003-067; and believes the fence cuts off public access to the open land, which were distributed to Council, made public, published on the City's website, and included in the public record of this meeting. PUBLIC SPEAKER: Mary Mann, La Quinta — opposed the location of the bighorn sheep fence installed at the Club at Coral Mountain development, located south of Avenue 58, north of Avenue 60, and east and west of Madison Street, pursuant to Amendment No. 5 to Specific Plan 2003-067; and believes the fence cuts off public access to the open land. PUBLIC SPEAKER: Philip Bettencourt, La Quinta — said he recently visited the U.S. capital, Washington, D.C., to honor a seasonal La Quinta resident and former Congressman Don Ritter for his public service; thanked the Council for their public service; and commended the City for its well organized annual 9/11 Candlelight Vigil memorial ceremony, of which he has participated and attended many. PUBLIC SPEAKER: Tom Brohard, La Quinta — commended the City for the pavement improvements along the 2-mile stretch of Highway 111 in La Quinta; questioned the restriping changes eastbound on Highway 111, removing a through lane and instead providing a bike lane, which is causing traffic delays, and asked for the through lane to be restored as the traffic volumes require it. Mayor Evans noted that the restriping will be monitored and evaluated. ANNOUNCEMENTS, PRESENTATIONS AND WRITTEN COMMUNICATIONS 1. SILVERROCK (FORMERLY TALUS) DEVELOPMENT PROJECT — STATUS UPDATE City Attorney Ihrke said on August 5, 2024, SilverRock Development Company LLC and its affiliates (debtors), collectively referred to as "SDC," voluntarily petitioned for Chapter 11 bankruptcy in U.S. Bankruptcy Court in Delaware; and per Council's direction and approval, the City retained Special Counsel who has continuously been working with the City Manager and City Attorney throughout these proceedings. Prior Announcements regarding the bankruptcy case are available on the City's website at www.laquintaca.gov/talus. Mr. Ihrke said the City Manager, Special Counsel, and City Attorney continue to work with the debtors and Chief Restructuring Officer (CRO), and their legal counsel, as the bankruptcy process moves forward pursuant to the Court -approved "Bid Procedures," which generally provide the process for the marketing and eventual sale and selection of a new owner and developer for the debtors' assets (i.e., the former Talus development property). CITY COUNCIL MINUTES Page 3 of 10 SEPTEMBER 16, 2025 11 As had been previously announced and summarized, the Bankruptcy Court ordered a live auction as part of the Bid Procedures, which auction was held last month. Mr. Ihrke said there are two pending motions that have been filed in the Bankruptcy court- 1) The Debtors have filed a motion requesting the Court approve the sale of the debtors' assets, which is almost entirely comprised of the approximately 140+/- acres of raw and partially improved land, where the former Talus project was located. The motion proposes to sell the debtors' assets to TBE RE ACQUISITION CO II LLC, an affiliate of Turnbridge Equities. As was previously announced, Turnbridge Equities was approved by the Bankruptcy Court as the "stalking horse bidder," and was found to be the most qualified bidder after the live auction had concluded. 2) Relating to the motion to approve the sale, the debtors have also filed a motion requesting the Bankruptcy Court amend the Debtor -In -Possession (or "DIP") Credit Agreement (or "DIP Amendment Motion") previously approved by the Council. The proposed terms that are included in the pending DIP Amendment Motion are consistent with the direction authorized by the Council from the August 11, 2025, special meeting, with that direction provided to the City Manager, Special Counsel, and City Attorney. Mr. Ihrke noted the two pending motions listed above are set for hearing before the Bankruptcy Court next week, and subsequent announcements with the court's decisions from the hearing will be provided at a future Council meeting. 2. HUNGER ACTION MONTH — SEPTEMBER 2025 — PRESENTATION BY FIND FOOD BANK PRESIDENT AND CHIEF EXECUTIVE OFFICER DEBBIE ESPINOSA AND DEVELOPMENT AND COMMUNITY RELATIONS MANAGER RACHELANDERSON Councilmember McGarrey said she serves on the board of Find Food Bank, which is a volunteer position for which she does not receive any compensation. PRESENTER: Chief Executive Officer Espinosa with Find Food Bank (Find) noted that unfortunately, food insecurity continues to exist in the Coachella Valley, with La Quinta being at 12% over the last year; spoke about Find's food distribution efforts and support provided, including mobile pantries, and local partnership; 97% of the average 125,000 people served by Find every month, are not homeless, but rather folks on fixed income that need the assistance in order to make ends meet; the food distribution lines have increased over the last few months, which is expected to continue; Find is increasing its outreach efforts; emphasized the importance of partner networks that make these services possible and lift communities together as a whole; and commended La Quinta for its continued support. CITY COUNCIL MINUTES Page 4 of 10 SEPTEMBER 16, 2025 12 Ms. Espinosa explained the importance of aiding Hunger Action Month where people wear orange to symbolize awareness and action against hunger; encouraged the community to activate and join the movement to help end hunger this month by volunteering or donating; spoke of the local efforts in effect to support these efforts from the City, local businesses, partnerships with school districts and colleges, etc.; and Find's recently expanded operations with a new Food Security Campus in Indio, which includes significantly increased warehouse capacity to accept and store more food donations, launched in September 2025, and ribbon cutting and open houses slated for September 26 and 29, 2025. Council commended the Find's efforts and the support it provides to communities. 3. PROCLAMATION IN RECOGNITION OF CONSTITUTION WEEK — SEPTEMBER 17-23, 2025, COMMEMORATING THE SIGNING OF THE UNITED STATES CONSTITUTION PRESENTER: Constitution Week Committee Chair Rhonda Fleming-Latkovic, representative of the Cahuilla Chapter of the National Society Daughters of the American Revolution (NSDAR), accompanied by a fellow NSDAR representative Rosemary Hallick, explained that this is a non -political organization formed in 1890, which promotes historical preservation, education, and patriotism; and spoke about the organization's membership and efforts to commemorate the US Constitution and emphasize its importance. Council presented the NSDAR representatives with a proclamation in recognition of Constitution Week celebrating the 238th anniversary of the signing of the U.S. Constitution in September 1787. 4. PROCLAMATION IN RECOGNITION OF DESERT RECREATION DISTRICT GENERAL MANAGER KEVIN KALMAN FOR HIS DEDICATED PUBLIC SERVICE AND COMMUNITY CONTRIBUTION Council commended Mr. Kalman for his dedicated public service, hard work, community involvement and contributions. Mr. Kalman thanked Council, spoke of his passion and commitment to public services which has been his life's work, and noted he is looking forward to spending time with his family and traveling. Council presented Mr. Kalman with a proclamation in recognition of his professional accomplishments. 5. IRONMAN 70.3 LA QUINTA TRIATHLON — DECEMBER 7, 2025, EVENT AND ROUTE UPDATE BY REGIONAL DIRECTOR JUDY STOWERS PRESENTER: Regional Director Stowers said preparations for the 2025 Ironman 70.3 La Quinta Triathlon race are in full swing, and provided a detailed presentation of the race route, traffic control plan, traffic flow, signage plan, and outreach program. CITY COUNCIL MINUTES Page 5 of 10 SEPTEMBER 16, 2025 13 Marketing Manager Graham provided details on the City's notification efforts to ensure the community is informed of the event as well as the route well in advance, and extra notification outreach with the impacted homeowners associations along the race route. CONSENT CALENDAR 1. APPROVE COUNCIL MEETING MINUTES DATED AUGUST 5, 2025 2. APPROVE COUNCIL SPECIAL MEETING MINUTES DATED AUGUST 11, 2025 3. APPROVE COUNCIL SPECIAL MEETING MINUTES DATED SEPTEMBER 8, 2025 4. AUTHORIZE OVERNIGHT TRAVEL FOR THE CITY CLERK AND DEPUTY CITY CLERK TO ATTEND THE LEAGUE OF CALIFORNIA CITIES CITY CLERKS' NEW LAW AND ELECTIONS SEMINAR IN LOS ANGELES, CALIFORNIA, NOVEMBER 12-14, 2025 5. AUTHORIZE OVERNIGHT TRAVEL FO RONE CODE COMPLIANCE OFFICER TO ATTEND THE CALIFORNIA ASSOCIATION OF CODE ENFORCEMENT OFFICERS 2025 ANNUAL CONFERENCE IN SACRAMENTO, CALIFORNIA, OCTOBER 28-30, 2025 6. AUTHORIZE OVERNIGHT TRAVEL FOR ONE TRAFFIC SIGNAL TECHNICIAN TO ATTEND THE INTERNATIONAL MUNICIPAL SIGNAL ASSOCIATION CERTIFICATION PROGRAM IN IRVINE, CALIFORNIA, SEPTEMBER 22-25, 2025 7. EXCUSE ABSENCE OF CHAIRPERSON BIONDI FROM THE SEPTEMBER 8, 2025, ARTS AND COMMUNITY SERVICES COMMISSION QUARTERLY MEETING 8. APPROVE ASSIGNMENT AND ASSUMPTION AGREEMENT AND AMENDMENT TO SUBDIVISION IMPROVEMENT AGREEMENT FOR TRACT MAP NO. 31910, CAPISTRANO, A RESIDENTIAL DEVELOPMENT LOCATED ON THE WEST SIDE OF MONROE STREET, APPROXIMATELY 1,300 FEET NORTH OF AVENUE 58 9. ACCEPT FISCAL YEAR 2024/25 PAVEMENT MANAGEMENT PLAN SLURRY SEAL IMPROVEMENTS PROJECT NO. 2024-03, LOCATED IN THE COVE AREA 10. APPROVE PURCHASE AND UPFITS OF 2024 CHEVROLET 2500 SILVERADO UTILITY BED WORK TRUCK FROM PARADIS CHEVROLET CADILAC 11. RECEIVE AND FILE FOURTH QUARTER FISCAL YEAR 2024125 TREASURY REPORTS FOR APRIL, MAY, AND JUNE 2025 CITY COUNCIL MINUTES Page 6 of 10 SEPTEMBER 16, 2025 14 12. APPROVE DEMAND REGISTERS DATED JULY 25 AND AUGUST 1 AND 8, 2025 13. APPROVE DEMAND REGISTERS DATED AUGUST 15, 22 AND 29, 2025 14. APPROVE AGREEMENT FOR CONTRACT SERVICES WITH VARIABLE SPEED SOLUTIONS, INC FOR CIVIC CENTER LAKE PUMP 1 REPLACEMENT PROJECT NO. 2025-14; AND AUTHORIZE THE PUBLIC WORKS DEPARTMENT TO UTILIZE THIS VENDOR AS SELECT SOURCE 15. Pulled from Consent Calendar by staff and considered as Business Session Item No. 4 >>> APPROVE AMF-NDRAENT NO. 1 TO AGREEMENT FOR CONT1?A�`T SERVICES 1A/ITH DESERTRECREATTION DISTRICT TO TEMPORARILY RCI OGATC FRITZ BURNS POOL PROGRAMS TO RA\A/1 CV POOL FAMILY r.,�-r AQUATIC COMPLEX MOTION — A motion was made and seconded by Councilmembers Fitzpatrick/McGarry to approve Consent Calendar Item Nos. 1 — 14 as presented. Motion passed: ayes — 4, noes — 0, abstain — 0, absent — 1 (Pena). BUSINESS SESSION 1. INTRODUCE AN ORDINANCE AMENDING CHAPTER 2.60 OF THE LA QUINTA MUNICIPAL CODE RELATING TO THE CONFLICT OF INTEREST CODE [ORDINANCE NO. 625] City Clerk Radeva presented the staff report, which is on file in the Clerk's Office. MOTION — A motion was made and seconded by Councilmembers Sanchez/McGarrey to take up Ordinance No. 625 by title and number only and waive further reading as presented. Motion passed: ayes — 4, noes — 0, abstain — 0, absent — 1 (Pena) unanimously. City Clerk Radeva read the following title of Ordinance No. 625 into the record: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, AMENDING CHAPTER 2.60 OF THE LA QUINTA MUNICIPAL CODE RELATING TO THE CITY'S CONFLICT OF INTEREST CODE MOTION — A motion was made and seconded by Councilmembers Sanchez/Fitzpatrick to introduce at first reading Ordinance No. 625 amending Chapter 2.60 of the La Quinta Municipal Code relating to the City's Conflict of Interest Code. Motion passed: ayes — 4, noes — 0, abstain — 0, absent — 1 (Pena). 2. APPROVE COMMUNITY SERVICES AWARD NOMINEE Senior Management Analyst Calderon presented the staff report, which is on file in the Clerk's Office. CITY COUNCIL MINUTES Page 7 of 10 SEPTEMBER 16, 2025 15 Council commended the accomplishments of proposed nominee Tomm Belanich, highlighting his notable contributions as a volunteer, mentor, and advocate. MOTION — A motion was made and seconded by Councilmembers Sanchez/McGarrey to approve Tom Balnich as the recipient of the the Community Servicers Award. Motion passed: ayes — 4, noes — 0, abstain — 0, absent — 1 (Pena). 3. APPROVE ARTIST FOR SILVERROCK PARK MURAL Senior Management Analyst Calderon presented the staff report, which is on file in the Clerk's Office. Council discussed evaluating both options — (1) painting the mural, which tends to be more expensive, with a lesser longevity due to the building's direct sun exposure based on its location, which would make it harder to maintain, as well as (2) vinyl wrapping the building with the mural design, which is less expensive, with expected longevity of 3 years, it is easily removable, and provides an opportunity for rotating mural designs should the City elect to do so; having staff report back with actual costs and expected longevity for each option; artists were informed that the mural may be a temporary art installation, as the City may elect to use a new mural design at the end of the currently developed mural's useful life; the mural design at this location should differentiate from the natural characteristics of the surrounding area, bringing a distinct brightness and color to the park; the large variety, high quality, and uniqueness of the submissions received; local artists; some of the proposals may be considered for installations at different La Quinta locations as they were quite interesting; and including a vinyl wrap as an option for this mural allowed graphic design artists to submit proposals in addition to artists who paint murals, which contributed to the large variety of submissions received. Council expressed general consensus for the Arts and Community Services Commission recommendation to select artist John Cuevas to prepare the mural design; dissented to the proposed palm trees design for the subject location; and noted the design should not incorporate the surrounding natural environment, but rather should be colorful, distinguishable, and "pop -out" at the park. MOTION — A motion was made and seconded by Councilmembers Fitzpatrick/McGarrey to approve artist John Cuevas to prepare the mural design for the SilverRock Park facility. Motion passed: ayes — 4, noes — 0, abstain — 0, absent — 1 (Pena). 4. Pulled from the Consent Calendar Item No. 15 by staff and moved to Business Session >>> APPROVE AMENDMENT NO. 1 TO AGREEMENT FOR CONTRACT SERVICES WITH DESERT RECREATION DISTRICT TO TEMPORARILY RELOCATE FRITZ BURNS POOL PROGRAMS TO PAWLEY POOL FAMILY AQUATIC COMPLEX Senior Management Analyst Calderon presented the staff report, which is on file in the Clerk's Office. CITY COUNCIL MINUTES Page 8 of 10 SEPTEMBER 16, 2025 16 PRESENTERS: Maureen Archuleta, Community Services Supervisor, and Nicholas Torres, Aquatics Coordinator, with the Desert Recreation District (DRD) — answered Council's questions regarding program operations; usage and participation; program fees; and the conditions and operations of the Pawley Pool Family Aquatic Complex in Indio (Pawley Pool). Council discussed the Fritz Burns Park improvements project which includes a new child play area, dog park, shade structure, water feature, restroom facility, additional parking, and pool renovations requiring closure of the pool from November 2025 to May 2026; pros and cons between closing pool programs and operations during construction or relocating them to Pawley Pool, and related additional operational and maintenance costs; considered providing programs during the higher usage months of March through May 2026 only; revenues generated from water aerobics, swim lessons, movies and other events offsetting the operational expenses; program fees remaining unchanged; surveying of regular patrons and notification plan of the program relocation; risk of losing consistency and momentum of regular patrons usage if the pool programs are shut down completely; pool and programs not being restricted to La Quinta residents; and requiring DRD to provide monthly program activity and attendance reports to determine if there is adequate participation warranting the programs relocation. MOTION — A motion was made and seconded by Councilmembers McGarrey/Sanchez to approve Amendment No. 1 to Agreement for Contract Services with Desert Recreation District to temporarily relocate Fritz Burns pool programs to Pawley Pool Family Aquatics Complex, as amended, to provide monthly programming statistics of attendance and participation; and authorize the City Manager to execute the amendment. Motion passed: ayes — 4, noes — 0, abstain — 0, absent — 1 (Pena). STUDY SESSION — None PUBLIC HEARINGS — None DEPARTMENTAL REPORTS — All reports are on file in the City Clerk's Office. MAYOR'S AND COUNCIL MEMBERS' ITEMS Council reported their attendance at the 9/11 Candlelight Vigil memorial ceremony, and commended staff for the well organized and attended event. Mayor Evans reported on hers and Councilmembers' attendance at the Greater Coachella Valley Chamber 2025 All Valley Mayors, County and Tribal Chairpersons Luncheon held on September 12, 2025, at the Renaissance Esmeralda Resort and Spa in Indian Wells. Councilmember Sanchez reported on his and Mayor's attendance at the Legislative Breakfast 2025 event held on September 12, 2025, hosted by the Hispanic American Chamber of Coachella Valley at eh WDC Showroom in La Quinta. CITY COUNCIL MINUTES Page 9 of 10 SEPTEMBER 16, 2025 17 REPORTS AND INFORMATIONAL ITEMS La Quinta's representative for 2025, Mayor Evans reported on her participation in the following organizations' meetings: • CVAG COACHELLA VALLEY CONSERVATION COMMISSION • CVAG ENERGY AND SUSTAINABILITY COMMITTEE La Quinta's representative for 2025, Councilmember Fitzpatrick reported on her participation in the following organizations' meetings: • CVAG TRANSPORTATION COMMITTEE • RIVERSIDE COUNTY TRANSPORTATION COMMISSION (RCTC) La Quinta's representative for 2025, Councilmember Sanchez reported on his participation in the following organization's meeting: • SOUTHERN CALIFORNIA ASSOCIATION OF GOVERNMENTS PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA — Continued PUBLIC SPEAKER: Henry Chapin, La Quinta — Dune Palms Mobile Estates resident for 43 years; said he spoke at the August 5, 2025, Council meeting, and thanked the City for looking into the reasons for the pending annual rent increase of $30 per month, when in the past increases have been only $10 per month. ADJOURNMENT There being no further business, a motion was made and seconded by Councilmembers Sanchez/McGarrey to adjourn at 6:33 p.m. Motion passed: ayes — 4, noes — 0, abstain — 0, absent — 1 (Pena). Respectfully submitted, MONIKA RADEVA, City Clerk City of La Quinta, California CITY COUNCIL MINUTES Page 10 of 10 SEPTEMBER 16, 2025 18 CONSENT CALENDAR ITEM NO. 2 City of La Quinta CITY COUNCIL MEETING October 7, 2025 STAFF REPORT AGENDA TITLE ADOPT ORDINANCE NO. 625 ON SECOND READING AMENDING CHAPTER 2.60 OF THE LA QUINTA MUNICIPAL CODE RELATING TO THE CONFLICT OF INTEREST CODE RECOMMENDATION Adopt Ordinance No. 625 on second reading. EXECUTIVE SUMMARY • On September 16, 2025, Council introduced Ordinance No. 625 for first reading to amend Chapter 2.60 of the La Quinta Municipal Code relating to the City's Conflict of Interest Code. • The purpose of the Code is to specifically designate positions that make or participate in the making of governmental decisions, which may foreseeably have a material effect on any financial interests of the persons holding those positions. • City officials in the positions designated on the City's Conflict of Interest Code must disclose their financial interests annually and refrain from participation in any decision(s) that may affect them financially. FISCAL IMPACT — None. BACKGROUND/ANALYSIS The annual Statement of Economic Interest filings are the basis for the transparency that California's Political Reform Act (PRA) requires of public officials. Statements of Economic Interest are public documents filed with the City Clerk Review of the City's positions, duties, and influence of public officials has resulted in the following recommended changes to Chapter 2.60 of the Municipal Code due to organizational changes over the last year to better align positions with the City's ability to provide high-level services to its community: Add the following titles under the designated positions for "limited disclosure" filing: • Assistant and/or Deputy City Attorney(s) • Engineer, Senior Civil • Manager, Technology • Management Analyst, Apprentice 19 • Management Specialist • Marketing and Communications Specialist • Planner, Assistant Apprentice • Records Coordinator Rename the following titles under the designated positions for "limited disclosure" filing: • Members of the Arts and Community Services Commission (from Members of the Community Services Commission) ALTERNATIVES As Council approved this ordinance at first reading, Staff does not recommend an alternative. Prepared by: Olivia Rodriguez, Deputy City Clerk Approved by: Monika Radeva, City Clerk 20 ORDINANCE NO. 625 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, AMENDING CHAPTER 2.60 OF THE LA QUINTA MUNICIPAL CODE RELATING TO THE CITY'S CONFLICT OF INTEREST CODE WHEREAS, the Political Reform Act, Government Code Section 81000 et seq., requires state and local government agencies to adopt and promulgate conflict of interest codes -land WHEREAS, the Fair Political Practices Commission (FPPC) has adopted a regulation, Title 2, Division 6, California Code of Regulations Section 18730 — Provisions of Conflict of Interest Codes, which contains the terms of a standard conflict of interest code which can be incorporated by reference; and WHEREAS, the City of La Quinta (City) has adopted by reference the FPPC's regulation as well as a list of designated employees as Chapter 2.60 of the La Quinta Municipal Code (Code); and WHEREAS, the City desires to make changes to the list of designated employees and disclosure categories to reflect the current classifications/positions within the City; and; WHEREAS, the place of filing of the Statements of Economic Interests shall be in accordance with Government Code Section 87500; and WHEREAS, Statements of Economic Interest are public documents available from the City Clerk of the City of La Quinta; and WHEREAS, the City believes these changes are in the best interests of the citizens of the City of La Quinta. NOW THEREFORE, the City Council of the City of La Quinta does ordain as follows: SECTION 1. Chapter 2.60 Conflict of Interest of the La Quinta Municipal Code is amended to read as follows: 2.60.020 - Designated positions —Disclosure categories. A. Full disclosure on Form 700, Statement of Economic Interest, shall be required from the following positions pursuant to Government Code Section 87200: 21 Ordinance No. 625 Conflict of Interest Code — Amending Section 2.60.020 of the La Quinta Municipal Code Adopted: October 7, 2025 Page 2 of 5 Designated Positions • City Attorney • City Manager • Assistant and/or Deputy City Manager(s) • Finance Director/City Treasurer • Mayor • Members of the City Council/Financing Authority/Housing Authority • Members of the Planning Commission • Members of the Successor Agency to the Dissolved Redevelopment Agency • Candidates for any of the positions above B. Limited disclosure on Form 700, Statement of Economic Interest, shall be required from the following officeholders pursuant to Government Code Section 87302: Designated Positions • Accountant, Senior • Assistant and/or Deputy City Attorney • Building Official • Deputy Building Official • Deputy City Clerk • Deputy Director, Community Services • Deputy Director, Human Resources • Deputy Director, Maintenance and Operations • Deputy Director, Public Safety • Director, Business Unit and Housing Development • Director, City Clerk • Director, Design and Development • Director, Public Works/City Engineer • Engineer, Associate • Engineer, Senior Civil • Management Analyst • Management Analyst, Apprentice • Management Analyst, Principal • Management Analyst, Senior • Management Specialist • Marketing and Communications Specialist • Manager, Assistant Construction • Manager, Finance • Manager, Hub • Manager, Marketing • Manager, Planning • Manager, Technology 22 Ordinance No. 625 Conflict of Interest Code — Amending Section 2.60.020 of the La Quinta Municipal Code Adopted: October 7, 2025 Page 3 of 5 • Members of the Arts and Community Services Commission • Members of the Financial Advisory Commission • Members of the Housing Commission • Permit Technician, Senior • Planner, Assistant • Planner, Assistant Apprentice • Planner, Associate • Planner, Senior • Records Coordinator • Superintendent, Maintenance and Operations • Supervisor, Animal Control/Code Compliance SECTION 2. EFFECTIVE DATE: This Ordinance shall be in full force and effect thirty (30) days after its adoption. SECTION 3. POSTING: The City Clerk shall, within 15 days after passage of this Ordinance, cause it to be posted in at least three public places designated by resolution of the City Council, shall certify to the adoption and posting of this Ordinance, and shall cause this Ordinance and its certification, together with proof of posting to be entered into the permanent record of Ordinances of the City of La Quinta. SECTION 4. CORRECTIVE AMENDMENTS: the City Council does hereby grant the City Clerk the ability to make minor amendments and corrections of typographical or clerical errors to this Ordinance to ensure consistency of all approved text amendments prior to the publication in the La Quinta Municipal Code. SECTION 5. SEVERABILITY: If any section, subsection, subdivision, sentence, clause, phrase, or portion of this Ordinance is, for any reason, held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have adopted this Ordinance and each and every section, subsection, subdivision, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more section, subsections, subdivisions, sentences, clauses, phrases, or portions thereof be declared unconstitutional. PASSED, APPROVED and ADOPTED, at a regular meeting of the La Quinta City Council held this 7th day of October 2025, by the following vote: AYES: NOES: ABSENT: ABSTAIN: 23 Ordinance No. 625 Conflict of Interest Code — Amending Section 2.60.020 of the La Quinta Municipal Code Adopted: October 7, 2025 Page 4 of 5 LINDA EVANS, Mayor City of La Quinta, California ATTEST: MONIKA RADEVA, City Clerk City of La Quinta, California APPROVED AS TO FORM: WILLIAM H. IHRKE, City Attorney City of La Quinta, California 24 Ordinance No. 625 Conflict of Interest Code — Amending Section 2.60.020 of the La Quinta Municipal Code Adopted: October 7, 2025 Page 5 of 5 STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF LA QUINTA ) I, MONIKA RADEVA, City Clerk of the City of La Quinta, California, do hereby certify the foregoing to be a full, true, and correct copy of Ordinance No. 625 which was introduced at a regular meeting on the 16th day of September, 2025 , and was adopted at a regular meeting held on the 7th day of October, 2025, not being less than 5 days after the date of introduction thereof. I further certify that the foregoing Ordinance was posted in three places within the City of La Quinta as specified in the Rules of Procedure adopted by City Council Resolution No. 2022-027. MONIKA RADEVA, City Clerk City of La Quinta, California DECLARATION OF POSTING I, MONIKA RADEVA, City Clerk of the City of La Quinta, California, do hereby certify that the foregoing ordinance was posted on the _ day of , 2025, pursuant to Council Resolution 2022-027. MONIKA RADEVA, City Clerk City of La Quinta, California 25 26 CONSENT CALENDAR ITEM NO. 3 Revised 10/04/2025 — see page 27 tracked changes below City of La Quinta CITY COUNCIL MEETING October 7, 2025 STAFF REPORT AGENDA TITLE: ADOPT ORDINANCE NO. 626 ON SECOND READING TO CONDITIONALLY APPROVE DEVELOPMENT AGREEMENT 2025-0001 (REINSTATED AND AMENDED DEVELOPMENT AGREEMENT 2014-1001) TO FACILITATE DEVELOPMENT OF THE SILVERROCK SPECIFIC PLAN AREA; CEQA: AN ADDENDUM TO ENVIRONMENTAL ASSESSMENT 2002-453 HAS BEEN PREPARED PURSUANT TO SECTIONS 15162 AND 15164 OF THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA); LOCATION: SOUTH OF AVENUE 52, WEST OF JEFFERSON STREET RECOMMENDATION Adopt Ordinance No. 626 on second reading to conditionally approve Development Agreement 2025-0001, Reinstated and Amended Development Agreement 2014-1001, to facilitate development of the SilverRock Specific Plan area. EXECUTIVE SUMMARY On September 22, 2025, Council adopted resolutions related to the SilverRock Resort project as follows: 1) Resolution No. 2025-022 approving Environmental Assessment (EA) 2025-0002 to adopt Addendum No. 3 to previously adopted Mitigated Negative Declaration under EA 2002-453; and 2) Resolution No. 2025-023 conditionally approving the Economic Development Subsidy Report, Transient Occupancy Tax (TOT) Revenue Sharing Agreement, and Option to Purchase Real Property Agreement which includes a Repurchase Option Agreement. On September 22, 2025, Council introduced Ordinance No. 626 for first reading to conditionally approve Development Agreement 2025-001, Reinstated and Amended Development Agreement 2014-1001, for SilverRock Resort to reinstate development of the project site with a new developer, TBE RE Acquisition Co II LLC, a subsidiary of the applicant, Turnbridge Equities, enclosed as Exhibit A to the ordinance. If adopted on second reading, as amended by the City AtterneyCouncil on first reading, Ordinance No. 626 will go into effect 30 days after adoption, or on November 7, 2025, but the approval of Development Agreement 2025-001, Reinstated and Amended Development Agreement 2014-1001, would be contingent upon an order issued by the U.S. Bankruptcy Court for the District of Delaware (Bankruptcy Court) authorizing the sale of the Phase 1 Property to Turnbridge Equities' designated subsidiary. If the Bankruptcy Court issues no such order, Ordinance No. 626 will automatically be rescinded without further action needed by the Council. 27 FISCAL IMPACT The SilverRock Resort project, depicted in the vicinity map included as Attachment 1, will require substantial investment by the applicant, Turnbridge Equities. The City has agreed that incentives are required to assure the successful completion of development and long- term economic viability of the project. Among other state laws, California Government Code Sections 53083 and 52201 authorize cities to provide public subsidies to further economic development and opportunities as long as, among other requirements, the City completes an analysis of both the amounts to be credited to the developer, and the returns that can be expected as a result of the project, prior to providing the incentives that would benefit the developer. In this case, the City has identified three incentives, which were conditionally approved via Resolution No. 2025-023, adopted on September 22, 2025: 1) A Transient Occupancy Tax revenue sharing agreement whereby an amount equal to 90% of TOT collected on a portion of the project site will be used as a basis for providing "rebate" payments to the developer for 10 years, and equal to 60% of TOT collected on a portion of the project site for the following 5 years, after which time all TOT revenue sharing with the developer will expire. 2) A fixed purchase price of $17 million for "Phase 2" property, including the existing golf course, the Ahmanson Ranch House and the portion of the "Phase 2 Property" subject to an option to purchase, if certain conditions, including the successful completion of the luxury hotel, golf clubhouse and associated amenities of the Phase 1 project, are met by the developer. 3) A potential subsidy that would benefit development of the Phase 1 project, based on an amendment to a Debtor -In -Possession (DIP) financing arrangement (DIP Financing Agreement) between the City and debtors, in an amount up to $13 million, which provides the debtors with liquidity to sell the Phase 1 property, wind down their estate, and prosecute a plan of liquidation through the Bankruptcy Court. The City conservatively estimates that $5.5 million of the up to $13 million will be repaid, resulting in a net incentive of $7.5 million. The City's independent consultant has completed that analysis via the Economic Development Subsidy Report, included as Exhibit A to Resolution No. 2025-023, which shows that the City's TOT sharing incentive will provide $106.6 million over 15 years, and that the City will receive net revenues over 30 years of $301.9 million ($263.6 million net of the amended DIP credit and Phase 2 property incentive). This includes TOT, sales tax and property tax generated by the project. In addition, the project will generate 2,500 to 3,000 jobs during construction, and once open 445 full time equivalent permanentjobs, the indirect economic benefits of new guests' and residents' discretionary spending in the City, and the potential for increased investment in the City as a result of the project. This report satisfies the requirements of law under Government Code Sections 53083 and 52201. W BACKGROUND/ANALYSIS Development Agreement A detailed background and summary of the SilverRock Resort Area is included in the Recitals to Development Agreement 2025-0001, Reinstated and Amended Development Agreement 2014-1001 (ADA) (Exhibit A of the Ordinance) and incorporated into this report by reference. Originally, the former La Quinta Redevelopment Agency purchased the approximate 525- acres project site, with the intention that its use and development would be a world -class destination golf resort/luxury residential and public amenities project, to act as a substantial revenue generator for the City. In 2012, after the construction of the Arnold Palmer Classic Golf Course was completed, the State dissolved redevelopment. The City, with the approval of the State, invested in the entire SilverRock Resort Area so as to maintain control and ultimately oversee its sale and development for those original purposes. In 2014, SilverRock Development Company, Inc., the former developer, applied to the City for approval of DA 2014-1001, among other agreements, that were within the purview of the Council. DA 2014-1001 incorporated one of those other agreements, the Purchase, Sale, and Development Agreement, as amended (collectively, PSDA), which governed the former project. Generally, the former project consisted of approximately 132+/- acres conveyed to the former developer for the construction of a luxury hotel, a lifestyle hotel, spa, conference center and branded residential components, a permanent golf clubhouse, and a mix of commercial and residential areas to complement the existing golf course and a potential future golf course. Since 2014 and per the PSDA, there have been parcel adjustments through lot -line adjustments, and there were various development permits issued for infrastructure, the luxury hotel and facilities, and the luxury residential component. Development of the SilverRock Resort project was delayed due to, among other reasons, the bankruptcy of the former developer. The City, working with the former developer (referred to in the bankruptcy proceeding as the debtors) and its current controlling manager (a former Bankruptcy Court judge with expertise in bankruptcy work-outs), has been intricately involved with the proceedings in Bankruptcy Court to facilitate a sale of the properties owned and partially developed by the former developer to a new owner and developer. As part of the bankruptcy proceedings, the City and debtors negotiated, and the Bankruptcy Court approved, a set of "Bid Procedures" that, among other provisions, authorized the marketing opportunity for the purchase of the debtors -owned property referred to as "Phase 1" and "Phase 1 Property". The marketing opportunity also referenced City -owned property, referred to as "Phase 2" and "Phase 2 Property" that is comprised of approximately 195+/- acres. While the Phase 2 Property is subject to the SilverRock Resort Area Specific Plan, it is not owned by the former developer/debtors, but the former project included the possibility of an option "springing" into effect for the possible acquisition of the Phase 2 Property upon completion of specified project components in Phase 1. 29 Under the Bankruptcy Court -approved Bid Procedures and other relevant orders, as part of the purchase of Phase 1, the developer is required to enter into an ADA for development of the Phase 1 Property, along with several other documents that will implement the project. Attachment 2 shows the vicinity map for the project area with the phases labeled. The ADA is attached as Exhibit A of the Ordinance. The ADA describes the developer's obligations for development, including the following major components (see Attachment 2 for proposed land plan): • Phase 1 Development Components: ✓ Development of a 150± room luxury hotel in the area of the partially constructed Montage Hotel. The hotel must include a spa, restaurant, conference and banquet facilities, pool/recreation facilities, and "back of house" facilities. ✓ Development of a public golf clubhouse, relocated from its current location to an adjacent area of the luxury hotel and SilverRock/Talus Way. ✓ Residential lots branded to the hotel, in the area where the single-family units were partially developed, and allowing short-term vacation rentals (STVR) through the hotel's centralized management. ✓ A private clubhouse and pool/recreation area for residential units to be located where the former project's public golf clubhouse would be. ✓ Additional for sale residential units on the east half of the Phase 1 property, which may include STVRs. ✓ Landscaping and trails within Phase 1 and along its perimeter adjacent to Avenue 52. ✓ Construction of all infrastructure (roads, utilities, etc.) necessary to serve Phase 1. • Potential purchase of the land within Phase 2, the City -owned property in the east and south portion of the site. The implementation of these development components will be undertaken separately, with future Site Development Permits, Tract Maps, or other means as needed to implement them, except to the extent that there are expedited permitting provisions proposed in the ADA to allow for the continued securing and clean-up, improvement, and removal of partially completed improvements to effectuate the Phase 1 Development Components. Pursuant to the proposed project, the developer will use components of the existing partially completed structures, while other parts, namely the partially constructed luxury residential homes and partially built spa, will be demolished to effectuate development. The ADA also contains a number of provisions relating, but not limited to, the developer's and the City's responsibilities, financing of project components, implementation of CEQA mitigation measures, and minimization of impacts to golf play and operation. There is a schedule of performance that includes "hard dates" for the commencement and completion of construction for the luxury hotel and amenities, and for the public golf clubhouse. For the luxury single family home sites, the ADA and schedule of performance 30 require the delivery of finished lots that are utility ready and available for purchase as custom homesites that, when lots are purchased, must be constructed timely and in accordance with requirements of the luxury hotel operator. Dates for the luxury homesites are approximate for commencement and completion, but the ADA remains binding on these project components until 50% of the finished, utility -ready lots have homes constructed on them. The luxury condominiums component has similar allowances for market conditions to govern phasing of that project components' development. Once the luxury hotel and amenities are constructed and opened for marketing to regular guests, the ADA allows for the transfer of the golf course and Ahmanson Ranch House from the City to the developer, with land use covenants attached to both that, in general, require the continued availability of the golf course as part of the luxury hotel operations. Additionally, the ADA and land use covenants obligate the developer to maintain and operate the golf course with continued access to La Quinta residents at a reduced rate. Also after the luxury hotel and amenities are constructed and opened for marketing to regular guests, the developer will have a right to purchase the Phase 2 Property — excluding the portion of this property that contains SilverRock Park and adjacent retention basin — pursuant to an Option Agreement. The developer cannot own the Phase 2 Property until specified conditions are met in the ADA and Option Agreement, which includes the requirement that the relocated public golf clubhouse has been constructed and open for use in connection with the golf course. However, the ADA does allow, at the election of the developer, for development of the Phase 1 B single-family residential project to be integrated with "non -vertical" development of the Phase 2 property, such as grading and infrastructure installation. A separate license agreement with the City would be required, with insurance and indemnity protections (among other requirements), and the developer must provide sufficient evidence to the City for the financing and completion of any "non -vertical" development on Phase 2 prior to owning that property pursuant to the Option Agreement. Additional Documents and Agreements In addition to the ADA, other documents and agreements related to the pre -development, development, and allowable uses at the project site were conditionally approved by Council on September 22, 2025, via Resolution No. 2025-023, as follows: 1) Economic Subsidy Report pursuant to Government Code Sections 53083 and 52201; 2) TOT Revenue Sharing Agreement; and 3) Option to Purchase Real Property Agreement, which includes a City Repurchase Option Agreement. California law authorizes cities to provide incentives that further economic development and opportunity. Government Code Section 53083 defines "economic development subsidies" broadly to include, and is not limited to, grants, loans, loan guarantees, land price subsidies, matching funds, tax abatements, tax exemptions, and tax credits. Whenever a subsidy is more than $100,000, a report is required that includes specified information, such as projected tax revenue resulting from a project and jobs created as a result of a project. Similarly, Government Code Section 52201 authorizes the sale or leasing of City -owned property for a value that takes into consideration covenants, conditions, and constraints to development unique to a site, in order to create an economic opportunity. A report likewise 31 is required that includes, among other specified information, an explanation as to why the sale of the publicly owned property will assist in the creation of an economic opportunity. The Economic Development Subsidy Report, summarized under "Fiscal Impacts," above, provides a summary on the incentives being provided to the developer, the economic benefits to the City, and includes the information required under Government Code Sections 53083 and 52201. The Economic Development Report was conditionally approved by Council on September 22, 2025, via Resolution No. 2025-023, and the incentives analyzed in that report, if conditions are met, would be implemented through two agreements described below (the TOT Revenue Sharing Agreement and Option Agreement), and a third pending item before the Bankruptcy Court involving a proposed amendment to the DIP Financing Agreement. The TOT Revenue Sharing Agreement sets forth the terms and conditions under which TOT revenue will be used as a basis for determining a tax "rebate" amount that will then be paid by the City to the developer from available revenues for providing public subsidies. The TOT actually collected by the City from the "Phase 1A" area, as shown on the Vicinity Map, is the area of the project that would be used to calculate the amount of the tax rebate. This incentive would be provided to the developer for a period of 15 years following the completion of the hotel being open for marketing to guests. The agreement also provides rights to the City, including termination of the agreement and a day -for -day reduction in the TOT rebate payment to the developer, for failing to meet their obligations for completion and operation of the luxury hotel. The Option Agreement sets forth the terms and conditions under which the developer may purchase from the City the Phase 2 Option Property, which is noted in the Vicinity Map and generally includes all of the real property, including the existing golf driving range, in the northeastern portion of the SilverRock Resort Area, except the existing SilverRock Park and adjacent retention basin, which the City will continue to own. Among other key conditions to being able to close an escrow for the purchase of the Phase 2 Option Property, the development of the hotel must be completed prior to the exercise of the Option and the public golf clubhouse must be completed prior to closing the escrow for developer's purchase of this property. Additionally, prior to closing the escrow, the City and developer must have negotiated and entered into either an amendment to the ADA currently before the Council or a new statutory development agreement that will govern with more precision the phasing of development and other mutually agreed upon terms for the Phase 2 Option Property after the developer acquires it. The Economic Development Subsidy Report summarized the purchase price and the significant constraints to development that support the subsidies due to substantial costs associated with any development at the site, such as legally imposed on- and off -site improvements that include, among other utility costs, electric utility substation upgrades. If escrow closes and the developer acquires the Phase 2 Option Property, there is a Repurchase Option Agreement that sets forth terms and conditions for the City to have the right to repurchase the Phase 2 Option Property if the developer falls into a material default regarding the development of the Phase 2 Option Property according to the required amended ADA or new development agreement (noted above). 32 Should the Council wish to enter into the ADA, these additional documents complete the implementation of the ADA and project as proposed by Turnbridge Equities. The incentive relating to the amendment to the DIP Financing Agreement is controlled by the debtors and, as of the date of this report, is pending in the Bankruptcy Court. The economic development subsidies, discussed above, are contingent upon both the adoption of Ordinance No. 626, and upon the Bankruptcy Court approving the sale of the Phase 1 Property to the applicant. Bankruptcy Court Proceedings On August 5, 2024, SilverRock Development Company (and affiliates) filed petitions for bankruptcy protection in the Bankruptcy Court. Per prior Council authorization, the City retained Special Counsel and has continuously been working with the debtors as the case moves forward. Pursuant to "Bid Procedures" that included an auction for the sale of the debtors' estate, which is the "Phase 1 Property" that is part of the applicant's project, the debtors must present to the Bankruptcy Court the "successful bidder," selected purchaser and future developer of this property. After a substantial marketing and interviewing phase, and after pre -auction negotiations between debtors, the City and potential bidders, and after the completion of the auction in August, the debtors received input from the City as to the most qualified bidder, as required by the Bid Procedures. The debtors have filed a Motion Approving the Sale of the Debtors Assets (Sale Motion), identifying the subsidiary of Turnbridge Equities as the "successful bidder" and recommended buyer and future developer of the Phase 1 Property. Because the Bankruptcy Court must approve the sale of the debtor's assets before Turnbridge Equities can own the Phase 1 Property, any Council action that would approve the ADA and related items must be conditioned on the Bankruptcy Court authorizing the sale of the debtors' estate. Along with the Sale Motion, a related Motion to Amend the DIP Financing Agreement is pending. That motion and its various attachments, filed in the Bankruptcy Court, are referenced as being part of this report because they have the terms and conditions that would implement the DIP Financing Agreement incentive, which is summarized above and in the Economic Development Subsidy Report. AUENCY AND PUBLIC REVIEW Public Hearing Notices The September 22, 2025, public hearing for the project was duly noticed as follows: (A) The public hearing notice for the project was advertised in The Desert Sun newspaper on September 11, 2025, and distributed to properties within 500 feet of the site. (B) The public hearing notice for the Economic Development Subsidy Report was advertised in The Desert Sun newspaper on September 8, 11, and 18, 2025. All written comments received are on file and available for review with the City Clerk's Office and the Design and Development Department. One letter, sent directly to Council Members and the Director of Design and Development, is addressed below. 33 On September 26, 2025, after the conclusion of the Council's September 22, 2025, public hearing, a letter sent on behalf of Supporters Alliance for Environmental Responsibility (SAFER) was received by the City, requesting an extension of the Council's October 7, 2025, meeting so that SAFER could review the previously adopted Mitigated Negative Declaration under EA 2002-453 (2002 MND). As the Council is aware, environmental documents approved under the California Environmental Quality Act (CEQA) are available after adoption not only in City Hall but also on the City's Internet Website through its public document portal (Laserfiche), including archived documents such as the 2002 MND. Since the project's application was received by the City, and for the entire time that applicant's project was before the Planning Commission and the Council, the 2002 MND was available and accessible via the City's Internet Website, and remains accessible specifically at: https://laglaserweb.laguintaca.gov/WebLink/DocView.aspx?id=397126&dbid=1 &repo=CityofLaQuinta&cr=1 The September 26 letter, referring to a document production request received by City Staff from SAFER the day before on September 25, 2025, "reiterated" a request for "immediate access" to the 2002 MND under the Public Records Act (Gov. Code, § 7920.000 et seq.). The City Clerk's Office replied to SAFER that same day, on September 26, 2025, by providing the link to the City's public document portal. The September 26 letter also alleged that, under CEQA, a 20-day review period should be allowed to review the 2002 MND even though the document was readily accessible on the City's Website. The authority cited in the September 26 letter applies under CEQA when there is (or was) an intent by a public agency to adopt a negative declaration or mitigated negative declaration, which was not the case here. In fact, the case Emmington v. Solano County Redevelopment Agency (1987) 195 Cal.App.3d 491, cited in the September 26 letter, supports the Addendum that was presented and reviewed by the Council at its September 22 public hearing. In Emmington, the lead agency prepared a 5-page initial study, concluding that nineteen (19) previously prepared EIR's and planning documents spanning the course of eight (8) years adequately addressed the environmental impacts of the redevelopment plan. Finding the 5-page initial study inadequate, the court advised that CEQA minimum requirements are met when compiling all the relevant environmental data into a single format report, "a procedure which would facilitate both public input and the decision -making process." (Id., at p. 503, quoting Russian Hill Improvement Assn. v. Board ofPermitAppeals (1974) 44 Cal.App.3d 158, 168.) The over 380-page Addendum No. 3 to the 2002 MND, adopted by the Council with Resolution No. 2025-022, did just that. The Addendum compiled all the relevant environmental data into a comprehensive, single report, with supporting references, mitigation monitoring program, and appendices. Thus, case authority cited in the September 26 letter actually supports the use of the Addendum that was prepared, reviewed, and approved by the Council at its September 22, 2025, duly noticed public hearing. ALTERNATIVES As Council conditionally approved Development Agreement 2025-001, Reinstated and Amended Development Agreement 2014-1001, with the first reading of Ordinance No. 626, and because the Bid Procedures as approved by the Bankruptcy Court have upcoming deadlines, staff does not recommend an alternative. 34 Prepared by: Olivia Rodriguez, Deputy City Clerk Bill Ihrke, City Attorney Approved by: Monika Radeva, City Clerk Attachments: 1. Vicinity Map 2. Proposed Land Plan 35 ORDINANCE NO. 626 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, CONDITIONALLY ADOPTING A REINSTATED AND AMENDED DEVELOPMENT AGREEMENT FOR THE SILVERROCK RESORT CASE NUMBER: DEVELOPMENT AGREEMENT 2025-0001 (REINSTATED AND AMENDED DEVELOPMENT AGREEMENT 2014-1001) PROJECT: SILVERROCK RESORT APPLICANT: TBE RE ACQUISITION CO II LLC (SUBSIDIARY OF TURNBRIDGE EQUITIES) WHEREAS, the City Council of the City of La Quinta, California, did, on September 22, 2025, hold a duly noticed Public Hearing to consider a request by TBE RE Acquisition Co II LLC., subsidiary of Turnbridge Equities, for approval of a Reinstated and Amended Development Agreement ("Development Agreement" or "ADA") and associated documents and agreements for the SilverRock Resort (2025 SilverRock Master Plan), relating to real property south of Avenue 52, west of Jefferson Street, with Assessor Parcel Numbers: APNs: 770-260-037; 776-150-029, -030; 777-060-008, -010, -011, -019, -020, -062, - 070, -071, -072, -074, -075, -078, -079, -080, -081, -082, -083, -084, -085; 777-490-023, -024, -035, -037, -039, -042, -046, -047, -048, -049, -050, -053, -054, -055, -057, -058, - 059, -060, -061, -062, -063, -064, -065, -066, -067, -068, -069, -070, -071, -072, -073, - 074, -075, -076, -077, -078, -079, -080; 777-510-001, -002, -003, -004, -005, -006, -007, -008, -009, -010, -011, -012, -013, -014, -015, -016, -017, -018, -019, -020, -021, -022, - 023, -024, -025; 777-520-001, -002, -003, -004, -005, -006, -007, -008, -009, -010, -011, -012, -013, -014, -015, -016, -017, -018 WHEREAS, the Design and Development Department published a public hearing notice in The Desert Sun newspaper on September 11, 2025, as prescribed by State law and the La Quinta Municipal Code. Public hearing notices were also mailed to all property owners within 500 feet of the site and emailed or mailed to all interested parties who have requested notification relating to the project; and WHEREAS, the Planning Commission of the City of La Quinta, California, did adopt Planning Commission Resolution 2025-008 recommending City Council approval of the Development Agreement at a duly noticed Public Hearing on September 9, 2025; and WHEREAS, said Development Agreement has complied with the requirements of "The Rules to Implement the California Environmental Quality Act of 1970" (CEQA) as amended (Resolution 1983-68). The City prepared an Addendum to Environmental 36 Ordinance No. 626 Development Agreement (DA) 2025-0001 SilverRock Resort (2025 SilverRock Master Plan) *Adopted: October 7, 2025 Page 2 of 6 Assessment 2002-453. The City Council has adopted Resolution 2025-022 approving the Addendum; and WHEREAS, California Government Code Section 65864 et seq. (the "Development Agreement Law") authorizes cities to enter into binding development agreements with persons having a legal or equitable interest in real property for the development of such property, all for the purpose of strengthening the public planning process, encouraging private participation and comprehensive planning, and identifying the economic costs of such development; and WHEREAS, the sale to the applicant of the Phase 1 Property, as described in the Development Agreement, is contingent on the U.S. Bankruptcy Court for the District of Delaware authorizing said sale, in connection with the following bankruptcy petitions: SilverRock Development Company, LLC (5730), RGC PA 789, LLC (5996), SilverRock Lifestyle Residences, LLC (0721), SilverRock Lodging, LLC (4493), SilverRock Luxury Residences, LLC (6598) and SilverRock Phase I, LLC (2247) (collectively, referred to as the "Bankruptcy Lawsuit" in the "Bankruptcy Court"). As such, the approval of the Development Agreement is subject to the condition preGedent that the Bankruptcy Court authorize the sale of the Phase 1 Property to the applicant; and WHEREAS, at the City Council's Public Hearing, upon hearing and considering all testimony and arguments, if any, of all interested persons desiring to be heard, the City Council did make the following mandatory findings pursuant to Section 9.250.020 of the La Quinta Municipal Code to justify approval of said Development Agreement, attached to this Ordinance as "Exhibit A," and incorporated herewith by this reference: 1. The Development Agreement is consistent with the applicable objectives, policies, general land uses, and programs of the La Quinta General Plan as follows: GOAL LU-2 High quality design that complements and enhances the City. Policy LU-2.1 Changes and variations from the Zoning Ordinance in a Specific Plan will be offset by high quality design, amenities, and mix of land uses. Policy LU-2.2 Specific Plans shall be required for projects proposing the integration of recreation, tourist commercial, and residential uses; and for all projects proposing flexible development standards that differ from the Zoning Ordinance. The proposed project continues the SilverRock Specific Plan development and includes elements of recreation, tourist commercial, and residential uses to provide a high quality project consistent with the General Plan and SilverRock Specific Plan. 37 Ordinance No. 626 Development Agreement (DA) 2025-0001 SilverRock Resort (2025 SilverRock Master Plan) *Adopted: October 7, 2025 Page 3 of 6 GOAL LU-6 A balanced and varied economic base which provides a broad range of goods and services to the City's residents and the region. Policy LU-6.3 Support and encourage the expansion of the resort industry as a key component of the City's economic base. The proposed project continues the development of the SilverRock Specific Plan area as a resort development to support the City's economic base. 2. The Development Agreement is compatible with the uses authorized and the regulations prescribed for the SilverRock Specific Plan (SP2006-080) in which the real property is located. The Specific Plan provides for the development of resort, resort residential, and residential uses around the existing golf course. The Specific Plan requires the implementation of high quality development and design standards, and the continued expansion of the City's luxury resort economic sector. The Development Agreement helps implement the Specific Plan. 3. The Development Agreement is in conformity with the public necessity, public convenience, general welfare, and good land use practices. The land uses proposed are consistent with the country club developments that already occur in the area, and will provide for the continued use of the golf course for the residents and visitors of La Quinta. The project will generate revenues to the City, and as a self-contained community, will not directly impact surrounding land uses. The development of the resort and residential uses within the golf course area provides a buffer from surrounding land uses and assures that development intensities will not be exceeded. 4. The Development Agreement will not be detrimental to the health, safety, and general welfare. The development of resort and residential uses within the golf course area assures that the community will be self-contained and will implement infrastructure extensions that are independent of those of surrounding development. The Development Agreement also includes and requires mitigation measures to protect the environment and public health, both within and surrounding the project area. 5. The Development Agreement will not adversely affect the orderly development of property or the preservation of property values because the development planned in the Specific Plan area is consistent with the long-term plans for this property and expands residential and resort opportunities in the City. 6. The Development Agreement will have a positive fiscal impact on the City in that implementation of the Development Agreement will produce revenues, including property tax, sales tax, and transient occupancy tax for the long-term fiscal benefit of the City. Ordinance No. 626 Development Agreement (DA) 2025-0001 SilverRock Resort (2025 SilverRock Master Plan) *Adopted: October 7, 2025 Page 4 of 6 WHEREAS, the City Council has separately adopted Resolution 2025-023, conditionally approving the Economic Development Subsidy Report, Transient Occupancy Tax (TOT) Revenue Sharing Agreement, and the Option to Purchase Real Property Agreement which includes a Repurchase Option for Phase 2 Option Property, subject to the conditions that: (a) the Bankruptcy Court authorizes the sale of the Phase 1 Property to the applicant, and (b) the City Council adopts this Ordinance and the Ordinance becomes effective. The Economic Development Subsidy Report is applicable to this Development Agreement to the extent the economic subsidies and financial incentives, the explanations and supporting evidence for the subsidies and incentives therein, and the findings therein, are to be implemented with the approval of the Development Agreement. NOW, THEREFORE, the City Council of the City of La Quinta does ordain as follows.. SECTION 1. FINDINGS FOR APPROVAL. The above recitations are true and constitute the Findings of the City Council. SECTION 2. CONDITIONAL APPROVAL. The City Council hereby approves and incorporates herein by this reference Development Agreement 2025-0001 (Reinstated and Amended Development Agreement 2014-1001), "Exhibit A" attached hereto, by the adoption of this Ordinance, with said approval subject to the condition nreGedo; that the Bankruptcy Court authorizes the sale of the Phase 1 Property to the applicant. If the Bankruptcy Court does not authorize the sale of the Phase 1 Property to the applicant, this Ordinance shall automatically be rescinded, without the requirement for further action by the City Council, and the conditional approval set forth herein shall be of no force and effect. SECTION 3. SIGNING AUTHORITY. Subject to the Bankruptcy Court authorizing the sale of the Phase 1 Property to the applicant, the City Council authorizes the City Manager to execute Development Agreement 2025-0001 (Reinstated and Amended Development Agreement 2014-1001) in substantially the form presented to the City Council with the adoption of this Ordinance. SECTION 4. EFFECTIVE DATE: This Ordinance shall be in full force and effect thirty (30) days after its adoption. SECTION 5. POSTING: The City Clerk shall, within 15 days after passage of this Ordinance, cause it to be posted in at least three public places designated by resolution of the City Council (Resolution No. 2022-027), shall certify to the adoption and posting of this Ordinance, and shall cause this Ordinance and its certification, together with proof of posting to be entered into the permanent record of Ordinances of the City of La Quinta. SECTION 6. CORRECTIVE AMENDMENTS: The City Council does hereby grant the City Clerk the ability (a) to make any corrections that may be required by a title officer or escrow officer in connection with the legal descriptions for the real property described in 39 Ordinance No. 626 Development Agreement (DA) 2025-0001 SilverRock Resort (2025 SilverRock Master Plan) "Adopted: October 7, 2025 Page 5 of 6 "Exhibit A", and (b) to make minor amendments and corrections of typographical or clerical errors to "Exhibit A" to ensure consistency of all approved text amendments prior to the publication in the La Quinta Municipal Code. SECTION 7. SEVERABILITY: If any section, subsection, subdivision, sentence, clause, phrase, or portion of this Ordinance is, for any reason, held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have adopted this Ordinance and each and every section, subsection, subdivision, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more section, subsections, subdivisions, sentences, clauses, phrases, or portions thereof be declared unconstitutional. PASSED, APPROVED and ADOPTED, at a regular meeting of the La Quinta City Council held , 2025, by the following vote: AYES: NOES: ABSENT: ABSTAIN: LINDA EVANS, Mayor City of La Quinta, California ATTEST: MONIKA RADEVA, City Clerk City of La Quinta, California APPROVED AS TO FORM: WILLIAM H. IHRKE, City Attorney City of La Quinta, California 40 Ordinance No. 626 Development Agreement (DA) 2025-0001 SilverRock Resort (2025 SilverRock Master Plan) *Adopted: October 7, 2025 Page 6 of 6 STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF LA QUINTA ) I, MONIKA RADEVA, City Clerk of the City of La Quinta, California, do hereby certify the foregoing to be a full, true, and correct copy of Ordinance No. 626 which was introduced at a special meeting on the 22nd day of September, 2025, and was adopted at a regular meeting held on the 7th day of October, 2025, not being less than 5 days after the date of introduction thereof. I further certify that the foregoing Ordinance was posted in three places within the City of La Quinta as specified in the Rules of Procedure adopted by City Council Resolution No. 2022-027. MONIKA RADEVA, City Clerk City of La Quinta, California DECLARATION OF POSTING I, MONIKA RADEVA, City Clerk of the City of La Quinta, California, do hereby certify that the foregoing ordinance was posted on the _ day of , 2025, pursuant to Council Resolution 2022-027. MONIKA RADEVA, City Clerk City of La Quinta, California 41 ORDINANCE NO. 626 DEVELOPMENT AGREEMENT 2025-0001 SILVERROCK RESORT (2025 SILVERROCK MASTER PLAN) ADOPTED: OCTOBER 7, 2025 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: Citv Clerk EXHIBIT A Space Above This Line for Recorder's Use (Exempt from Recording Fee per Gov't Code §6103 and §27383) REINSTATED AND AMENDED DEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF LA QUINTA AND TBE RE ACQUISITION CO II LLC AN AFFILIATE OF TURNBRIDGE EQUITIES 698/015610-0207 22795466.2 a09/18/25 42 TABLE OF CONTENTS Page 1. GENERAL......................................................................................................................7 1.1 Definitions................................................................................................ 7 1.2 Term......................................................................................................23 1.3 Development Agreement Effective Date ................................................ 24 1.4 Termination of this Agreement...............................................................24 1.5 Statement of Benefits and Consideration...............................................25 1.6 City CEQA Findings...............................................................................25 1.7 Consistency with SilverRock Specific Plan Authority for Location and Alignment of Planning Areas...........................................................26 2. AGREEMENTS AND ASSURANCES.......................................................................... 26 2.1 Agreement and Assurance on the Part of Developer .............................26 2.2 Agreement and Assurances on the Part of City.....................................29 3. DEVELOPMENT OF THE PROJECT.......................................................................... 31 3.1 Generally...............................................................................................31 3.2 Construction Provisions......................................................................... 34 3.3 Costs of Construction.............................................................................39 3.4 Completion of Construction....................................................................41 3.5 Planned Development and CC&Rs........................................................43 3.6 Dedications and Improvements.............................................................44 3.7 Posting Payment and Performance Bonds............................................45 3.8 Regular Updates to City on Development of the Project ........................45 3.9 Indemnification.......................................................................................46 3.10 Insurance............................................................................................... 49 4. FINANCING THE PROJECT....................................................................................... 51 4.1 Developer To Pay All Costs and Expenses for the Project .................... 51 4.2 Submittal of Final Project Budget...........................................................51 4.3 City Approval for Financing and Investment in the Project Components..........................................................................................52 4.4 City Financial Assistance....................................................................... 57 5. AUTHORIZED USES AND OPERATIONS ON THE PROPERTY ............................... 58 5.1 General Obligation for Developer and Successors and Assigns ............ 58 5.2 Short -Term Vacation Rentals/Transient Occupancy Taxes ...................60 5.3 Maintenance Covenants........................................................................ 64 5.4 Obligation to Refrain from Discrimination...............................................64 6. POTENTIAL CONDITIONAL TRANSFERS OF CITY -OWNED PROPERTIES........... 65 6.1 City -Owned Golf Course Property and Ahmanson Ranch Property ....... 66 6.2 City -Owned Option Property..................................................................70 7. CITY'S OBLIGATIONS................................................................................................ 71 7.1 Scope of Subsequent Review/Confirmation of Compliance Process ..... 71 698/015610-0207 22795466.2 a09/18/25 -1- 43 Page 7.2 Project Approvals Independent.............................................................. 71 7.3 Review for Compliance.......................................................................... 71 8. DEFAULT; REMEDIES; DISPUTE RESOLUTION; TERMINATION ........................... 72 8.1 Default and Cure....................................................................................72 8.2 Termination of Agreement.....................................................................74 8.3 City Remedies.......................................................................................74 8.4 Developer Remedies.............................................................................75 8.5 Legal Actions and Litigation................................................................... 76 9. MORTGAGEE PROTECTION; CERTAIN RIGHTS OF CURE .................................... 78 9.1 Liens Recorded Against the Property and Project ................................. 78 9.2 Mortgagee Protection.............................................................................78 9.3 Mortgagee Obligations and Relief Therefrom ........................................ 79 10. TRANSFERS OF INTEREST IN PROPERTY, PROJECT, OR AGREEMENT ........... 79 10.1 Developer Unique and Material Term to this Agreement ....................... 79 10.2 Transfers Generally Prohibited Without Prior City Approval .................. 79 10.3 Successors and Assigns........................................................................82 10.4 Developer Entities Documentation and Permitted Affiliate Assignees.............................................................................................. 82 10.5 Assignment by City................................................................................ 83 11. MISCELLANEOUS.......................................................................................................83 11.1 Notices, Demands and Communications Between the Parties .............. 83 11.2 Force Majeure........................................................................................85 11.3 Binding Effect.........................................................................................85 11.4 Independent Entity.................................................................................85 11.5 Agreement Not to Benefit Third Parties.................................................85 11.6 Covenants..............................................................................................86 11.7 Non -liability of City Officers and Employees .......................................... 86 11.8 Amendments or Modifications of Agreement ......................................... 86 11.9 Amendment or Cancellation by Mutual Consent....................................87 11.10 No Waiver..............................................................................................87 11.11 Severability............................................................................................ 87 11.12 Cooperation in Carrying Out Agreement................................................88 11.13 Estoppel Certificate................................................................................88 11.14 Construction...........................................................................................88 11.15 Recordation...........................................................................................88 11.16 Captions and References......................................................................88 11.17 Time.......................................................................................................89 11.18 Computation of Days.............................................................................89 11.19 Recitals & Exhibits Incorporated; Entire Agreement..............................89 11.20 Exhibits.................................................................................................. 89 11.21 Authority to Execute; Representations and Warranties .........................90 11.22 City Approvals and Actions by City Manager.........................................90 698/015610-0207 22795466.2 a09/18/25 -11- 44 Page 11.23 No Brokers.............................................................................................91 11.24 Counterpart Signature Pages................................................................91 698/015610-0207 22795466.2 a09/18/25 -111- 45 REINSTATED AND AMENDED DEVELOPMENT AGREEMENT This Reinstated and Amended Development Agreement (the "Agreement" or "Reinstated Development Agreement") is entered into as of the _ day of , 2025 ("Reference Date"), by and between the CITY OF LA QUINTA, a California municipal corporation and charter city ("City"), and TBE RE Acquisition Co II LLC, a Delaware limited liability company and affiliate of Turnbridge Equities ("Developer"), with reference to the following: RECITALS: A. Government Code Section 65864 et seq. ("Development Agreement Act") authorizes City to enter into a binding development agreement for the development of real property within its jurisdiction with persons having legal or equitable interest in such real property. Pursuant to Section 65865 of the Government Code, City has adopted its Development Agreement Ordinance (La Quinta Municipal Code Section 9.250.020) establishing procedures and requirements for such development agreements ("Development Agreement Ordinance"). B. As of the Reference Date, Developer has a legal or equitable interest in fee title to that certain real property comprised of approximately 140+/- acres, identified as APN(s): 777-060-083, 777-060-085, 777-060-075, 777-060-078, 777-490-058, 777-490- 063, 777-490-064, 777-490-065, 777-490-066, 777-490-037, 777-490-057, 777-490- 059, 777-490-068, 777-490-042, 777-490-076, portions of 777-490-072 and 777-490- 073 and 777-490-074 and 777-490-075 and 777-490-077 and 777-490-078 and 777- 490-079 and 777-490-080, 777-490-046, 777-490-071, 777-060-082, 777-060-084, 777-510-001 through 023, 777-510-025, 777-520-001 through 018, and 777-490- 053,054 and 055; and more specifically described in Exhibit A-1 and Exhibit A-2 attached hereto and incorporated herein by this reference (the "Property" or "Phase 1 Property"). The Property consists of the "Phase 1A Property" and "Phase 1113 Property" as more particularly described in Exhibit A-1 and Exhibit A-2, respectively, and incorporated herein by this reference. C. Prior to City and Developer entering into this Reinstated Development Agreement (among other agreements and instruments), the following relevant history is hereby recited: 1. Except for portions of land transferred to SilverRock Development Company, LLC, a Delaware limited liability company (or one of its affiliated companies, which are referred to herein collectively as "SDC" or "Debtor(s)")1 as ' Debtors were SilverRock Development Company, LLC and affiliated entities that, on August 5, 2024, filed for voluntary bankruptcy protection under chapter 11 of the U.S. Bankruptcy Code, with case number(s) identified in the Title of this Agreement along with the last four digits of each Debtor's federal tax identification number, as applicable, are: SilverRock Development Company, LLC (5730), RGC PA 789, LLC (5996), 698/015610-0207 22795466.2 a09/18/25 -1- 46 explained below in the next Recital Paragraph, City owns fee title to that certain real property of approximately 525 acres located at the southwest intersection of Jefferson Street and Avenue 52, in the City of La Quinta, California, generally referred to as the "SilverRock Resort Area" and subject to a Specific Plan adopted by the La Quinta City Council and enforceable as a land use governing document pursuant to the Planning and Zoning Law, California Government Code section 65000 et seq. (the "SilverRock Specific Plan"); 2. On or about November 19, 2014, City and SDC entered into that certain Purchase, Sale, and Development Agreement (the "Original SDC PSDA"), pursuant to which, among other terms and conditions, City agreed to sell to SDC and SDC agreed to purchase from City specified parcels and planning areas (PAs) to thereafter construct, complete, and operate thereon a commercial project containing a luxury resort hotel and spa and associated branded luxury residential units, a lifestyle hotel and associated lifestyle branded residential units, a conference and shared service facility, a temporary and permanent clubhouse for the SilverRock Resort's Arnold Palmer Classic Golf Course, a mixed use village, a resort residential village, and associated amenities, all as further described in the Original SDC PSDA and referred to as various project components, as more particularly described therein. Concurrent with the Original SDC PSDA, on or about November 19, 2014, City and SDC entered into Development Agreement 2014-1001 (the "Original SDC Development Agreement") pursuant to the Development Agreement Act and Development Agreement Ordinance, which agreement, among other terms and conditions, required SDC to develop the planning areas and project components in accordance with the SDC PSDA, vested with SDC specified development obligations, memorialized the potential for the future acquisition of additional City -owned property in the SilverRock Resort Area as incorporated vis-a-vis the SDC PSDA, and subjected SDC to City's rights and oversight for those portions of the SilverRock Resort Area to be conveyed to SDC. After entering into the Original SDC PSDA and Original SDC Development Agreement, the following relevant events, very briefly summarized, occurred: Pursuant to the Original SDC PSDA, City and SDC had the authority to amend by mutual agreement of the parties. Between October 29, 2015, and November 16, 2023, City and SDC entered into five amendments thereto, dated October 29, 2015 ("First Amendment"), April 18, 2017 ("Second Amendment"), November 28, 2018 ("Third Amendment"), SilverRock Lifestyle Residences, LLC (0721), SilverRock Lodging, LLC (4493), SilverRock Luxury Residences, LLC (6598) and SilverRock Phase I, LLC (2247) (collectively, referred to herein as the "Bankruptcy Lawsuit" in the "Bankruptcy Court"). 698/015610-0207 22795466.2 a09/18/25 -2- 47 October 12, 2021 ("Fourth Amendment"), and November 16, 2023 ("Fifth Amendment," and the Original SDC PSDA as amended by all five amendments is referred to herein as the "SDC PSDA"); ii. Pursuant to the SDC PSDA and consistent with boundaries established by applicable subdivision maps and lot line adjustments, City conveyed to SDC the Property for the pre -development, development, operation, and use of a project that was eventually re -named "Talus" and consisted of the following project components (all as defined in the SDC PSDA): Luxury Hotel, Luxury Branded Residential Development, Lifestyle Hotel, Lifestyle Branded Residential Development, Conference and Shared Services Facility (including spa and other amenities), Permanent Golf Clubhouse, Promenade Mixed -Use Village/Resort Residential Village (on Planning Areas 7,8,9), as well as a specified Golf Course Realignment and corresponding Master Site Infrastructure Improvements (MSII). These project components on the Property, pursuant to the SDC PSDA, were divided into Phase 1A project components on the Phase 1A Property and the Phase 1 B project components on the Phase 1 B Property respectively, as described in the SDC PSDA; iii. Pursuant to the Third and Fourth Amendments to the SDC PSDA, SDC commenced pre -development and development on the Property for the Phase 1A project components, which as of the Reference Date of this Agreement, in various degrees, were partially constructed after SDC failed to continue to make payments to various contractors, subcontractors, and other interested parties in the development of the Talus project. Multiple lawsuits, including lawsuits seeking payments pursuant to mechanic's lien or various loan or investment agreements, and a City lawsuit against SDC for unlawful and unapproved conveyances in secured interests or mechanic's liens, were filed against SDC; iv. On August 5, 2024, SDC (Debtors) filed the Bankruptcy Lawsuit, and, pursuant to Bankruptcy Court -approved Bid Procedures, Debtors retained a Chief Restructuring Officer (Douglas Wilson Companies) and marketing professional (JLL) for the purposes of, among other items, marketing the sale of the Debtors estate (which and is primarily comprised of the Property) and soliciting proposals for the: (a) acquisition of the Debtors estate, (b) use, re -use, and/or substitution of the partially constructed improvements on the Property, (c) potential replacement project for a world -class hotel and residential destination resort with related amenities on the Property that complement the existing Arnold Palmer Classic Golf Course surrounding the Property and real property owned by the City, and (d) possible acquisition in the future of the City -Owned Option Property in the SilverRock Resort Area (previously referred to as the Future Option Property in the SDC PSDA and generally referred to in the Bankruptcy Lawsuit and marketing materials as the "Phase 2 Property") for possible 698/015610-0207 22795466.2 a09/18/25 -3- future development that may also complement a world -class hotel and residential destination resort; 3. Pursuant to Bankruptcy Court order [Bankruptcy Lawsuit Docket No. ], among other provisions: (i) Developer was authorized to purchase the Property, (ii) the Original SDC Development Agreement was reinstated and amended and memorialized by this Reinstated Development Agreement (as more particularly described herein), and (iii) An escrow to facilitate the purchase and sale of the Debtors' estate (which includes the Property) was authorized, which, among other terms and conditions, included the transfer of funds and recording of documents (such as this Reinstated Development Agreement) as more particularly set forth in the Debtor PSA (defined below). [NOTE: OTHER RELEVANT ITEMS FROM THE BANKRUPTCY COURT ORDER FOR SALE OF DEBTORS PROPERTY MAY BE INSERTED PRIOR TO FINAL (SECOND) READING OF ORDINANCE FOR THIS AGREEMENT]. D. Developer submitted a proposal in response to the marketing materials, and, pursuant to the Bankruptcy Court -approved Bid Procedures, Debtors and City approved Developer's proposal, which, among other terms and conditions, includes a modified Project (as more particularly defined and described in this Agreement) on the Property as well as possible acquisition in the future of the City -Owned Option Property (also referred to herein as the Phase 2 Property) for possible future development that may also complement a world -class hotel and residential destination resort. As of the Reference Date of this Agreement, City is the owner of approximately 193+/- acres that includes raw land and an existing driving range, but said acreage expressly excludes approximately 24+- acres that have the existing SilverRock Park and adjacent retention basin, included in the legal description in Exhibit A-3 attached hereto and incorporated herein by reference (the "City -Owned Option Property" or "Phase 2 Property"), which comprises a portion of the SilverRock Resort Area and is referenced in the Site Maps attached to this Agreement. E. As part Developer's Project, Developer covenanted to prepare for construction, construct, and open for use and occupancy of a flagship luxury hotel consisting of approximately 150 rooms with amenities, as more particularly described herein (the "Luxury Hotel"). F. Developer's acquisition of the Property was conditioned on the final negotiation and approval of certain "La Quinta Amended Development Documents" as referenced in the Bankruptcy Lawsuit, which included (among other agreements) this Reinstated Development Agreement (which includes as exhibits certain "Reinstated and Amended Covenants Affecting Real Property" relating to Golf Course Use and Ahmanson Ranch House (the "Reinstated Covenant Affecting Real Property (Golf Course Use)" and "Reinstated Covenant Affecting Real Property (Ahmanson Ranch House)," respectively)), and separate agreements that include an "Option Agreement" for the potential acquisition of the City -Owned Option Property, and 698/015610-0207 22795466.2 a09/18/25 M 49 "Transient Occupancy Tax ("TOT") Revenue Sharing Covenant," and various land use covenants. G. As more particularly set forth herein, City and Developer desire to enter into this Agreement to memorialize the terms, conditions, rights, and obligations of the Parties for the development of the Project on the Property, for the conveyance of the City - Owned Golf Course Property and City -Owned Ahmanson Ranch Property (as defined below), for the potential future development on the City -Owned Option Property, and for the timely performance and completion of specified obligations. H. All actions taken by City have been duly taken in accordance with all applicable legal requirements, including the California Environmental Quality Act (Public Resources Code Section 21000, et seq.) ("CEQA"), and all other requirements for notice, public hearings, findings, votes and other procedural matters. I. Pursuant to Government Code section 65402, the La Quinta Planning Commission has determined the disposition of the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property, if Developer complies with the terms and conditions set forth in this Agreement that would allow for the disposition and conveyance of said properties to Developer, is and would be in conformity with the City's General Plan because Developer's proposed use (and contractual requirements) to continue use of the City -Owned Golf Course Property as a golf course, and continued use of the City -Owned Ahmanson Ranch Property as a facility ancillary to the proposed luxury hotel use, are consistent with existing uses and authorized uses in the SilverRock Specific Plan. Similarly, pursuant to Government Code section 65402, the La Quinta Planning Commission has determined the disposition of the City -Owned Option Property, if Developer exercises the option pursuant to the Option Agreement, is and would be in conformity with the City's General Plan because, as of the Reference Date of this Reinstated Development Agreement, Developer has proposed no specific development or specific project for the City -Owned Option Property and has represented that, as of the Reference Date of this Agreement, any possible future use would be consistent with the authorized uses in the existing SilverRock Specific Plan. J. City and Developer desire to enter into this Agreement for the development of the Phase 1 Property, with the site and planned development thereof shown on the site map(s) attached hereto as Exhibit B and incorporated herein by this reference (the "Site Map(s)"). K. As more particularly defined and described herein, Developer has agreed to construct and develop on the Phase 1 Property the Project, which includes the Project Description in Exhibit C attached hereto and incorporated herein by this reference (the "Project Description") as a summary of that construction and development. Also as more particularly defined and described herein, the Project is further subject to (i) this Agreement; (ii) the SilverRock Specific Plan; (iii) the Mitigated Negative Declaration, approved by the former La Quinta Redevelopment Agency (the "RDA") on May 15, 2002, by RDA Resolution 2002-09, as updated by the Addendum to Mitigated Negative Declaration, approved by the City Council on July 18, 2006, by City Council Resolution 698/015610-0207 22795466.2 a09/18/25 -5- 50 No. 2006-082, by the Second Addendum to Mitigated Negative Declaration approved by the City Council on November 4, 2014, by City Council Resolution No. 2014-059, and by that certain Addendum to the Adopted SilverRock Resort Project Mitigated Negative Declaration approved by the City Council on by City Council Resolution No. (the "Agreement Addendum" and, collectively, the "Updated Mitigated Negative Declaration"); (iv) the subdivision maps, lot -line adjustments ("LLAs"), and ministerial permits issued prior to the Bankruptcy Lawsuit (the "Pre -Bankruptcy Subdivision Maps and Permits") as listed in Exhibit F attached hereto and incorporated herein by this reference (collectively, the foregoing clauses (i)-(iv) are referred to as the "Project Site Development Permits"); as well as (v) any future discretionary or ministerial approvals and/or permits issued for the Project, including all conditions of approval attached thereto, and (vi) any future subdivision maps approved for the Project pursuant to the Map Act, including all conditions of approval thereto (generally, "Project Tract Maps"). The documents, permits, approvals, and conditions described in the foregoing clauses (i)-(vi) are collectively referred to herein as the "Project Approvals," and are, or when approved or issued shall be, on file with the City Clerk. L. In connection with resolution of the Bankruptcy Proceeding, Developer and City desire to reinstate and amend the Original SDC Development Agreement to account for changes to the Project and clarifying the rights and obligations of the Parties with respect to the development and use of the Phase 1 Property and potential acquisition and use of the Phase 2 Property, as more particularly set forth herein. M. Consistent with Section 9.250.020 of the La Quinta Municipal Code, City and Developer desire to enter into this binding Agreement that shall be construed as a development agreement within the meaning of the Development Agreement Act. This Agreement will eliminate uncertainty in planning for and secure the orderly development of the Project, ensure a desirable and functional community environment, provide effective and efficient development of public facilities, infrastructure, and services appropriate for the development of the Project, and assure attainment of the maximum effective utilization of resources within the City, by achieving the goals and purposes of the Development Agreement Act. In exchange for these benefits to City, Developer desires to receive the assurance that, with respect to the portions of the SilverRock Resort Area owned or acquired by Developer, it may proceed with development of the Project of the Phase 1 Property and the potential acquisition of the Phase 2 Property in accordance with the terms and conditions of this Agreement, the Project Approvals, the La Quinta Amended Development Documents, and other relevant terms and conditions referenced herein. N. The Planning Commission and the City Council have determined that the Project and this Agreement are consistent with the City's General Plan and the SilverRock Specific Plan, including the goals and objectives thereof. 698/015610-0207 22795466.2 a09/18/25 In 51 O. All actions taken by City have been duly taken in accordance with all applicable legal requirements, including CEQA, and all other requirements for notice, public hearings, findings, votes and other procedural matters. P. On , the City Council adopted its Ordinance No. approving this Agreement. AGREEMENT: NOW, THEREFORE, in consideration of the foregoing Recitals, which are incorporated herein by this reference, the mutual covenants and agreements contained herein, and other good and valuable consideration, the receipt and legal sufficiency of which is hereby acknowledged, the Parties do hereby agree as follows: 1. GENERAL 1.1 Definitions. In addition to the terms that may be defined elsewhere in this Agreement, the following terms when used in this Agreement shall be defined as follows: 1.1.1 "Affiliate" means any Person controlling, controlled by or under common control with the specified Person (it being agreed that customary rights of non - managing members shall not constitute control for such purpose including, without limitation, major decision consent rights, forced sale rights, buy/sell rights and management removal rights). 1.1.2 "Agreement" means this Reinstated and Amended Development Agreement and all amendments and modifications thereto. 1.1.3 "Agreement Addendum" shall have the meaning set forth in Recital K. 1.1.4 "Applicable Rules" means the land use regulations, ordinances and officially adopted policies of the City governing the Phase 1 Property in full force and effect as of the Development Agreement Reinstatement Date, which, specifically, includes the City's General Plan, Zoning Ordinance, and SilverRock Specific Plan. Additionally, notwithstanding the language of this Section or any other language in this Agreement, all specifications, standards and policies regarding the design and construction of public works facilities, if any, shall be those that are in effect at the time the Project plans are being processed for approval and/or under construction. 1.1.5 "Assignment and Assumption Agreement" shall have the meaning set forth in Section 10.2.4 of this Agreement. 1.1.6 "CC&Rs" means the Declaration of Conditions, Covenants, and Restrictions described in Section 3.5 of this Agreement. 698/015610-0207 22795466.2 a09/18/25 -7- 52 1.1.7 "CEQA" means the California Environmental Quality Act (Cal. Public Resources Code Sections 21000 et seq.) and the State CEQA Guidelines (Cal. Code of Regs., Title 14, Sections 15000 et seq.). 1.1.8 "Certificate for Building Permit" shall have the meaning set forth in Section 2.2.5 herein. 1.1.9 "Certificate of Completion" means that certain recordable certificate, substantially in form of Exhibit G attached hereto and incorporated herein by this reference, confirming that the final certificate of occupancy or other final City approval has been issued for any Project Component, based on the Project Approvals, as more fully described in Section 3.4 of this Agreement. A Certificate of Completion may be issued and recorded against the Phase 1A Property upon completion of any Project Components on the Phase 1A Property (or separate Lot(s) or Parcel(s) of land within the Phase 1A Property upon which said Project Component is situated), and a separate Certificate of Completion may be issued and recorded against the Phase 1 B Property upon completion of all Project Components on the Phase 1 B Property (or separate Lot(s) or Parcel(s) of land within the Phase 1 B Property upon which said Project Component is situated), and the same shall apply to every other Project Component. 1.1.10 "City" means the City of La Quinta, a charter city and municipal corporation, including each and every agency, department, board, commission, authority, employee, and/or official acting under the authority of the City, including without limitation the City Council and the Planning Commission. 1.1.11 "City Attorney" means the individual duly appointed to the position of City Attorney of City. 1.1.12 "City Clerk" means the individual duly appointed to the position of City Clerk of City, or duly designated deputy of the City Clerk. 1.1.13 "City Council" means the City Council of the City and the legislative body of the City pursuant to California Government Code Section 65867. 1.1.14 "City Manager" means the individual duly appointed to the position of City Manager of City, or his or her authorized designee. 1.1.15 "City -Owned Ahmanson Ranch Property" means that certain real property, improved with the Ahmanson Ranch House, comprised of approximately 0.6+/- acres and more particularly described in Exhibit A-4 attached hereto and incorporated herein by this reference. 1.1.16 "City -Owned Golf Course Property" means the Arnold Palmer Classic Golf Course, commonly known as the SilverRock Golf Course, improved as such with ancillary improvements and amenities, comprised of approximately 170+/- 698/015610-0207 22795466.2 a09/18/25 In 53 acres and more particularly described in Exhibit A-5 attached hereto and incorporated herein by this reference. 1.1.17 "City -Owned Option Property" shall have the meaning set forth in Recital D. The City -Owned Option Property is the same real property as the "Phase 2 Property." 1.1.18 "Coachella Valley Multiple Species Habitat Conservation Plan" means that certain Final Circulated Coachella Valley Multiple Species Habitat Conservation Plan and Natural Community Conservation Plan, dated September 2007, as may be amended. 1.1.19 "Community Development Director" means the individual duly appointed to the position of Director of City's Design & Development Department, or his or her authorized designee. 1.1.20 "Conditions of Approval" shall mean any and all conditions of approval attached to any Project Approval as described in Recital K of this Agreement. 1.1.21 "Construction Improvement Security" shall have the meaning in Section 3.7 of this Agreement. 1.1.22 "Construction Lender(s)" means a Lender(s) that provide(s) a Construction Loan to Developer to pay the construction costs and expenses for all or a portion of the Project. It is acknowledged that there may be one (1) or more Construction Lender(s), each of which may apply to any one (1) or more Project Components. 1.1.23 "Construction Loan(s)" means a Loan obtained by Developer, in accordance with this Agreement, from a Construction Lender to finance all or part of the land acquisition, pre-construction/development, and/or construction costs and expenses for one (1) or more of the Project Components. "Construction Loan" includes any and all "construction to permanent loan(s)" obtained by Developer and approved by City (to the extent such approval is required pursuant to this Agreement) for any Project Component(s). For the avoidance of doubt, a "Construction Loan" may include a Loan for financing the acquisition of real or personal property related to the development of the Project, and a "Construction Loan" may include financing for the construction of part or all of the MSII that comprises the Master Site Infrastructure Improvement Project Component with one (1) or more other Project Component(s) or separately. It is acknowledged that there may be one (1) or more Construction Loan(s). 1.1.24 "Construction Loan Deed(s) of Trust" means the Lien(s) required by a Construction Lender recorded in the Recorder's Office against a Lot(s) and/or Parcel(s) of any portion of the Project to secure the Developer's performance under the associated Construction Loan. 698/015610-0207 22795466.2 a09/18/25 In 54 1.1.25 "Davis -Stirling Act" means the Davis -Stirling Common Interest Development Act in California Civil Code Section 4000 et seq. (as may be amended from time to time). 1.1.26 "Debtor PSA" is defined in Section 2.1.2 of this Agreement. 1.1.27 "Default" shall have the meaning set forth in Section 8.1 of this Agreement. 1.1.28 "Developer" means the entity identified in the preamble of this Agreement, and permitted successors and assigns under this Agreement. 1.1.29 "Developer Entities Organizational Chart" means the organization chart attached hereto as Exhibit H and incorporated by reference herein. 1.1.30 "Developer Representatives" means any of Developer's officers, directors, members, employees, agents, and representatives. 1.1.31 "Development Agreement Act" means Government Code Section 65864 et seq. 1.1.32 "Development Agreement Ordinance" means La Quinta Municipal Code Section 9.250.020 as the same may be amended from time to time. 1.1.33 "Development Agreement Reinstatement Date" shall have the meaning set forth in Section 1.3 of this Agreement. 1.1.34 "Discretionary Action" means an action which requires the exercise of judgment, deliberation, or a decision on the part of City, including any board, commission, committee, or department or any officer or employee thereof, in the process of approving or disapproving a particular activity, as distinguished from an activity which merely requires City, including any board, commission or department or any officer or employee thereof, to determine whether there has been compliance with statutes, ordinances or regulations. 1.1.35 "Discretionary Permits" means any permits, approvals, plans, Project Tract Maps, inspections, certificates, documents, and licenses that require a Discretionary Action, including, without limitation, future Project Approvals, grading permits, stockpile permits, and encroachment permits. 1.1.36 "Dust Control Program" means a program compliant with the City's dust control ordinance and with applicable South Coast Air Quality Management District requirements. 1.1.37 "Eligibility Requirements" means the applicable Person(s) either collectively or independently, as the context may require with respect to the purpose and work (such as pre -construction or construction) relating to a specific Project 698/015610-0207 22795466.2 a09/18/25 -10- 55 Component(s), has (or who has an Affiliate or direct or indirect investor who has) reasonably sufficient creditworthiness to pay and perform the applicable obligations in the applicable context under this Agreement (including, without limitation, with respect to the financing of the specific Project Component(s) pursuant to Article 4 of this Agreement), who may lawfully do so under federal and state law, and taking into consideration Developer's equity and other sources of funds. For example, a Construction Lender shall be deemed to have satisfied the Eligibility Requirements if or one or more of its investors or owners has or has access to funds in the maximum principal amount of the applicable Construction Loan consistent with the Final Project Budget taking into account Developer's equity and other sources of funds. The meeting of Eligibility Requirements shall be based on financial documentation and other relevant evidence (as the context may require) delivered to the City for verification by the City (which shall not be unreasonably withheld, delayed or conditioned) based on objective industry standards for assessing creditworthiness of Person(s) for facilitating the development of similar luxury resort/residential projects. 1.1.38 "Environmental Claims" shall have the meaning set forth in Section 3.9.1 of this Agreement. 1.1.39 "Environmental Laws" means all federal, state, and local laws, rules, orders, regulations, statutes, ordinances, codes, decrees, or requirements of any government authority regulating, relating to, or imposing liability of standards of conduct concerning any Hazardous Materials (defined below), or pertaining to occupational health or industrial hygiene (and only to the extent that the occupational health or industrial hygiene laws, ordinances, or regulations relate to hazardous substances on, under, or about the Property, occupational or environmental conditions on, under, or about the Property, as now or may at any later time be in effect, including without limitation, the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ("CERCLA") [42 USC § 9601 et seq.]; the Resource Conservation and Recovery Act of 1976 ("RCRA") [42 USC § 6901 et seq.]; the Clean Water Act, also known as the Federal Water Pollution Control Act ("FWPCA") [33 USC § 1251 et seq.]; the Toxic Substances Control Act ("TSCA") [15 USC § 2601 et seq.]; the Hazardous Materials Transportation Act ("HMTA") [49 USC § 1801 et seq.]; the Insecticide, Fungicide, Rodenticide Act [7 USC § 6901 et seq.] the Clean Air Act [42 USC § 7401 et seq.]; the Safe Drinking Water Act [42 USC § 300f et seq.]; the Solid Waste Disposal Act [42 USC § 6901 et seq.]; the Surface Mining Control and Reclamation Act [30 USC § 101 et seq.] the Emergency Planning and Community Right to Know Act [42 USC § 11001 et seq.]; the Occupational Safety and Health Act [29 USC § 655 and 657]; the California Underground Storage of Hazardous Substances Act [California Health & Safety Code § 25288 et seq.]; the California Hazardous Substances Account Act [California Health & Safety Code § 25300 et seq.]; the California Safe Drinking Water and Toxic Enforcement Act [California Health & Safety Code § 24249.5 et seq.] the Porter -Cologne Water Quality Act [California Water Code § 13000 et seq.] together with any amendments of or regulations promulgated under the statutes cited above and any other federal, state, or local law, statute, ordinance, or regulation now in effect or later enacted that pertains to occupational health or industrial hygiene, and only to the extent 698/015610-0207 22795466.2 a09/18/25 -11- 56 the occupational health or industrial hygiene laws, ordinances, or regulations relate to hazardous substances on, under, or about the Property, or the regulation or protection of the environment, including ambient air, soil, soil vapor, groundwater, surface water, or land use. 1.1.40 "Final Project Budget" means the final Project development budget, which shall consist of any preliminary project budget materials as the same may modified and/or updated by Developer from time to time. At a minimum, the Final Project Budget shall include: (a) Good faith estimates for all costs and expenses associated with the pre-development/pre-construction and development/construction of the Project (which may be separated into estimates for the Project Components); and (b) Revenue projections and operating proformas (with included assumptions) for the Project, which shall separate such projections and operating costs for the Luxury Hotel Project Component, Public Golf Clubhouse Project Component, and short-term vacation rentals. It is acknowledged that the Developer shall be permitted to deliver to City one (1) or more supplement(s) or updates to the Final Project Budget, as applicable, for any one (1) or more of the Project Components as Developer may elect. 1.1.41 "General Plan" means the General Plan of the City. 1.1.42 "Golf Course" means the existing Arnold Palmer Classic Golf Course on the City -Owned Golf Course Property and in the SilverRock Resort Area. 1.1.43 "Golf Course And Ahmanson Ranch Property Transfer Conditions" shall have the meaning set forth in Section 6.1.2 of this Agreement. 1.1.44 "Golf Couse Wildlife Protection Fence" means a fence (or the functional equivalent, as determined by City) that meets the applicable specifications and standards of the Coachella Valley Conservation Commission acting as authorized agent for the requirements and obligations of the Coachella Valley Multiple Species Habitat Conservation Plan. 1.1.45 "Hazardous Materials" and "Hazardous Substances" means, without implied limitation, substances defined as "hazardous material," "hazardous substances," "toxic substance," "solid waste," or "pollutant or contaminate" in the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601, et seq.; the Toxic Substances Control Act ("TSCA") [15 U.S.C. § 2601, et seq.]; the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801, et seq.; the Resource Conservation and Recovery Act, 42 U.S.C. Section 6901, et seq.; those substances listed in the United States Department of Transportation (DOT) Table [49 CFR 172.101], or by the EPA, or any successor authority, as hazardous substances [40 CFR Part 302]; and those substances defined as "hazardous waste" in Section 25117 of the California Health and Safety Code or, as "hazardous substances" in Section 25316 of the California Health and Safety Code; other substances, materials, and wastes that are, or become, regulated or classified as hazardous or toxic under federal, state, or local laws or regulations and in the regulations adopted pursuant to said laws, and shall also include manure, asbestos, 698/015610-0207 22795466.2 a09/18/25 -1 2- 57 polychlorinated biphenyl, flammable explosives, radioactive material, petroleum products, and substances designated as a hazardous substance pursuant to 33 USC Section 1321 or listed pursuant to 33 USC Section 1317. 1.1.46 "Hotel Management Documentation" shall have the meaning set forth in Section 5.1.1 of this Agreement. 1.1.47 "Hotel Operator" shall have the meaning set forth in Section 5.1.1 of this Agreement. 1.1.48 "Infrastructure Lender(s)" means one (1) or more Lender(s) that provide(s) an Infrastructure Loan to Developer to pay the construction costs and expenses for all or a portion of the Master Site Infrastructure Improvements Project Component. It is acknowledged that there may be one (1) or more Infrastructure Lender(s). 1.1.49 "Infrastructure Loan(s)" means any one (1) or more Loan(s) obtained by Developer, and approved by City to the extent such approval is required under this Agreement, from a Construction Lender to finance all or part of the construction costs and expenses of only Master Site Infrastructure Improvement Project Costs (which the parties acknowledge may be part of the same Construction Loan that finances one (1) or more other Project Components). It is acknowledged that there may be one (1) or more Infrastructure Loan(s). 1.1.50 "Infrastructure Loan Deed(s) of Trust" means the Lien(s) required by an Infrastructure Lender recorded in the Recorder's Office against a Lot(s) and/or Parcel(s) of any portion of the Project to secure the Developer's performance under the associated Infrastructure Loan. 1.1.51 "Insubstantial Modification" means any minor modification to this Agreement which does not modify: (i) the Term of this Agreement; (ii) the Project Components and permitted uses of the Property based on those Project Components; (iii) maximum density or intensity of use, except as specifically allowed in the Project Approvals; (iv) provisions for the reservation or dedication of land; (v) conditions, terms, restrictions or requirements for Reserved Powers or any approved or future Discretionary Actions; (vi) the name and brand of the Luxury Hotel; (vii) the date or time of any task in the Schedule of Performance (other than modifications expressly contemplated in this Agreement); (viii) the financing for the development and completion of construction for the Project Components; (ix) the obligation to procure and maintain bonds or other payment and performance security for the development and completion of the Infrastructure Improvements Project Components once said obligation arises under this Agreement or from issuance of any permit, license, approval, or other entitlement; or (x) any monetary obligations of either City or Developer (other than modifications expressly contemplated in this Agreement), and said minor modification can be processed under CEQA either as not a "project" or as exempt from CEQA, and said minor modification does not require a public hearing prior to the Parties executing a modification to this Agreement. 698/015610-0207 22795466.2 a09/18/25 -1 3- W 1.1.52 "Impact Fees" means impact fees, linkage fees, exactions, assessments or fair share charges or other similar impact fees or charges (including any and all fees imposed and authorized pursuant to the Mitigation Fee Act, Government Code section 66000 et seq.) imposed on and in connection with new development by City pursuant to the current duly adopted resolution or other City Council action approving such fees. Notwithstanding anything herein to the contrary, none of the following shall constitute Impact Fees: (i) Processing Fees, (ii) impact fees, linkage fees, exactions, assessments or fair share charges or other similar fees or charges imposed by other governmental entities and which City is required to collect or assess pursuant to applicable law, including, without limitation, school district impact fees pursuant to Government Code Section 65995, fees required pursuant to the Coachella Valley Multiple Species Habitat Conservation Plan, and the Transportation Uniform Mitigation Fee, or (iii) other City-wide fees or charges of general applicability, provided that such City-wide fees or charges are not imposed as an impact fee on new development. 1.1.53 "Landscaping And Trails Project Component" means that component of the Project described in the definition of Project Components in this Agreement. 1.1.54 "La Quinta Amended Development Documents" means the agreements specifically identified in Recital F. 1.1.55 "Lender" means any one (1) or more Person(s) providing any type financing to Developer, its direct or indirect equity owners or any of their respective Affiliates in connection with any one (1) or more Project Components. 1.1.56 "Lien" means any mortgage, deed of trust, or other security instrument encumbering Developer's fee interest in the Property and/or Project, (or any portion thereof) or any part thereof, or any pledge or other agreement given as security for the repayment of a Loan and by which a Lender would be able to acquire any direct or indirect interest in the Developer upon the Developer's breach of any obligation under the Lender's loan documents. 1.1.57 "Loan" means any (i) loan or (ii) third -party equity/capital contribution (e.g. mezzanine financing) being invested directly or indirectly in Developer in the form of debt for the Project or Property other than the financial assistance provided by the City as specified in this Agreement. 1.1.58 "Loan Documents" and "loan documents" means the various documents and instruments made by and between the Developer (or its direct or indirect owners or their Affiliates) and a Lender that evidence a Loan for the Project or any Project Components and the security for repayment of such Loan. 1.1.59 "Lot" and "lot" means an area of land under one (1) ownership which is identified as a lot on a recorded final map, parcel map, record of survey 698/015610-0207 22795466.2 a09/18/25 -14- 59 recorded pursuant to an approved division of land, certificate of compliance, or lot line adjustment. 1.1.60 "Luxury Hotel" and "Luxury Hotel Project Component" means that component of the Project described in the definition of Project Components in this Agreement. 1.1.61 "MAE Default" is a materially adverse effect Default and has the meaning set forth in Section 8.1 of this Agreement. 1.1.62 "Map Act" means the Subdivision Map Act, Government Code Section 66410 et seq. (as may be amended from time to time). 1.1.63 "Master Site Infrastructure Improvements Project Component" or "MSII" means that component of the Project described in the definition of Project Components in this Agreement. 1.1.64 "Ministerial Permits and Approvals" means the permits, approvals, plans, inspections, certificates, documents, licenses, and all other actions required to be taken by City in order for Developer to implement, develop and construct the Project and the Mitigation Measures, including without limitation, building permits, foundation permits, and other similar permits and approvals which are required by the La Quinta Municipal Code and Project plans and other actions required by the Project Approvals to implement the Project and the Mitigation Measures. Ministerial Permits and Approvals shall not include any Discretionary Actions or Discretionary Permits. 1.1.65 "Mitigation Fee Act" means the Mitigation Fee Act, Government Code section 66000 et seq. (as may be amended from time to time). 1.1.66 "Mitigation Measures" means the mitigation measures described in the Agreement Addendum (including the Mitigation Monitoring Program in Section 5.0 of said Agreement Addendum) and all applicable mitigation measures in the Coachella Valley Multiple Species Habitat Conservation Plan that apply to the Project. 1.1.67 "New Laws" means amendments or modifications to the Applicable Rules, and all ordinances, resolutions, initiatives, regulations, rules, laws, plans, policies, and guidelines of the City and its City Council, Planning Commission, and all other City boards, commissions, departments, agencies, and committees enacted or adopted after the Development Agreement Reinstatement Date. Recital F. 1.1.68 "Option Agreement" shall mean the agreement described in 1.1.69 "PA(s)" is defined in "Planning Area(s)" below. 1.1.70 "Parcel" and "parcel" means an area of land under one (1) ownership which is identified as a parcel on a recorded final map, parcel map, record of 698/015610-0207 22795466.2 a09/18/25 -15- survey recorded pursuant to an approved division of land, certificate of compliance or lot line adjustment. 1.1.71 "Parties" means collectively Developer and City. Each shall be referred to in the singular as a "Party". 1.1.72 "Permanent Financing Lender(s)" means one (1) or more Lender(s) that provide(s) any Permanent Financing Loan to Developer, its direct or indirect owners or any of their Affiliates with respect to the Property. It is acknowledged that there may be one (1) or more Permanent Financing Lenders(s). 1.1.73 "Permanent Financing Loan(s)" means a Loan obtained by Developer or its direct or indirect owners or any of their Affiliates, and approved by City (to the extent such approval is required pursuant to this Agreement), from a Permanent Financing Lender to finance all or part of the conversion, ownership, and operating costs of any one (i) or more the Project Components. A "Permanent Financing Loan" does not include any "construction to permanent loan(s)," or any Construction Loan or Infrastructure Loan. It is acknowledged that there may be one (1) or more Permanent Financing Loan(s). 1.1.74 "Permanent Financing Loan Deed(s) of Trust" means the Lien(s) required by an Permanent Financing Lender recorded in the Recorder's Office against a Lot(s) and/or Parcel(s) of any portion of the Project to secure the Developer's performance under the associated Permanent Financing Loan. 1.1.75 "Permitted Affiliate Assignee" is defined in Section 10.4 of this Agreement. 1.1.76 "Permitted Development/Operational Transferee" means any one (1) or more of the following: Permitted Lenders, real estate companies, developers, sovereign wealth funds, high net worth United States or foreign individuals or other investors, private equity or opportunity funds, hedge funds (provided that if such Person is a private equity or opportunity fund, hedge fund or similar investment fund, it is agreed and understood that one or more such entities (Y) investing side by side and (Z) collectively and at all times are under common control shall not fail to be deemed a single "Permitted Development/Operational Transferee" pursuant to this definition), provided, however, in each such case said transferee shall (i) satisfy the Eligibility Requirements, (ii) is or has personnel, management and/or direct or indirect investors or Affiliates that are experienced in managing, owning, investing in, developing and/or operating commercial real estate properties that are substantially similar to the Project Component(s) for which the Transfer to transferee is to occur, and may lawfully do so under federal and state law; and (iii) if both of the foregoing clauses (i) and (ii) do not apply, has been approved by the City (which approval shall not be unreasonably withheld, delayed or conditioned). It is acknowledged that there may be one (1) or more Permitted Development/Operational Transferees with respect to one (1) or more Project Components. 698/015610-0207 22795466.2 a09/18/25 -16- 61 1.1.77 "Permitted Hotel Operator" means a nationally and/or internationally known first class luxury hotel brand, manager or operator that may lawfully be a Hotel Operator under federal and state law, and approved by the City in its sole and absolute discretion. As of the Reference Date, the City has approved the Montage and Four Seasons as Permitted Hotel Operators that meet the City Council's criteria for being a nationally and/or internationally known first class luxury hotel brand. 1.1.78 "Permitted Lender" means any one (1) or more of the following (or Affiliates of any of the following) that issue Loans to developments and developers and/or their direct or indirect equity holders, and may lawfully do so under federal and state law, for projects that are similar to the Project Component(s) for which the Loan is to be issued, and made in the normal course of business for said Lender: (a) any state or federally chartered bank, savings and loan association, other third -party financial institution or finance company, capital investment group, investment fund, investment bank, governmental entity, bond issuer, a real estate investment trust, insurance company, trust company, debt fund, high net worth individual or high net worth family (which may operate through a family office), commercial credit corporation, pension plan, pension fund or pension advisory firm, mutual fund, or any other Person, provided, however, in each such case said Lender shall satisfy the Eligibility Requirements; (b) an investment company, money management firm or "qualified institutional buyer" within the meaning of Rule 144A under the Securities Act of 1933, as amended, or an institutional "accredited investor" within the meaning of Regulation D under the Securities Act of 1933, as amended, provided, however, in each such case said Lender shall satisfy the Eligibility Requirements; (c) an institution or other Person substantially similar to any of the foregoing entities described in clauses (a) or (b) that satisfies the Eligibility Requirements; (d) any other Permitted Develop ment/OperationaI Transferee which is not described previously in this definition, provided, however, in each such case said Permitted Development/Operational Transferee had previously met and shall continue to satisfy the Eligibility Requirements, and (e) any other Lender proposed by Developer to the City and approved by the City (which approval shall not be unreasonably withheld, delayed or conditioned). It is acknowledged that there may be one (1) or more Permitted Lenders with respect to one (1) or more Project Component(s). 1.1.79 "Permitted Transfer" means the Transfers that are permissible as part of this Agreement and listed in Section 10.2.5 of this Agreement. 1.1.80 "Permitted Transferee" means the transferee, assignee, and/or any other successor -in -interest from Developer pursuant to a Permitted Transfer. 1.1.81 "Person" means any individual or any limited liability company, corporation, partnership, association, joint venture, trust, estate or other entity or organization. 1.1.82 "Phase 1 Property" shall have the meaning set forth in Recital B. The Phase 1 Property consists of the "Phase 1A Property" and "Phase 1B Property" as defined in Recital B of this Agreement. 698/015610-0207 22795466.2 a09/18/25 -1 7- MA 1.1.83 "Phase 1 Residential Components" means the Phase 1A Luxury Residential Project Component and Phase 113 Luxury Residential Project Component. 1.1.84 "Phase 1A Luxury Residential Project Components" means collectively: (a) the "Phase 1A Luxury Branded Residences Project Component," and (b) the "Phase 1A Luxury Branded Condominiums Project Component," as described in the definition of Project Components in this Agreement. 1.1.85 "Phase 1 B Luxury Residential Project Component" means that component of the Project described in the definition of Project Components in this Agreement. 1.1.86 "Phase 2 Pre -Closing Work" shall have the meaning set forth in Section 3.1.5(B) of this Agreement. 1.1.87 "Phase 2 Property" shall have the meaning set forth in Recital D. The Phase 2 Property is the same real property as the "City -Owned Option Property." 1.1.88 "Planning and Zoning Law" means the Planning and Zoning Law, Government Code section 65000 et seq. (as may be amended from time to time). 1.1.89 "Planning Area(s)" and "PA(s)" means the planning area(s) within the SilverRock Resort Area as amended by this Agreement and as more particularly depicted in the Site Maps and described in the Scope of Work. As established by this Agreement, there shall be eight (8) Planning Areas with the Project Components therein, as more particularly depicted in the Site Maps and described in the Scope of Work. For ease of reference, "PA 1" shall mean "Planning Area 1"; "PA 2" shall mean "Planning Area 2"; "PA 3" shall mean "Planning Area 3"; "PA 4" shall mean "Planning Area 4"; "PA 5" shall mean "Planning Area 5"; "PA 6" shall mean "Planning Area 6"; "PA 7" shall mean "Planning Area 7"; and "PA 8" shall mean "Planning Area 8." 1.1.90 "Planning Commission" means the City Planning Commission and the planning agency of the City pursuant to California Government Code Section 65867. 1.1.91 "Plans Assignable At Termination" means those plans described in Section 8.3.2 of this Agreement. 1.1.92 "Pre -Bankruptcy Subdivision Maps and Permits" shall have the meaning set forth in Recital H. 1.1.93 "Post -Bankruptcy Sale Permitting Processes" means the modified application and permitting processes set forth in Exhibit I, attached hereto and incorporated herein by this reference, which are intended to provide an alternative option to Developer for obtaining, with respect to partially completed structures and improvements on the Phase 1A Property, any of the following (including emergency or 698/015610-0207 22795466.2 a09/18/25 IN 63 temporary) permits, licenses, approvals, and/or entitlements: (a) building permits, (b) demolition permits, (c) grading permits, (d) encroachment permits, (e) hauling permits, (f) site development permits, (g) conditional use permits, and (h) any other permits, licenses, approvals, and/or entitlements necessary or proper as related to those permits that are intended to be subject to the Post -Bankruptcy Sale Permitting Processes. Nothing in this Agreement precludes Developer from using the application and permitting process otherwise applicable pursuant to the La Quinta Municipal Code and Uniform Codes. 1.1.94 "Private Clubhouse Project Component" means that component of the Project described in the definition of Project Components in this Agreement. 1.1.95 "Processing Fees" means all processing fees and charges required by City including, but not limited to, fees for land use applications, Project permits and/or approvals, building applications, building permits, grading permits, encroachment permits, Project Tract Maps, lot line adjustments, air right lots, street vacations, certificates of occupancy, and any fees over which City has no authority with respect to setting the rates, which are necessary to accomplish the intent and purpose of this Agreement. Processing Fees shall not include Impact Fees. Notwithstanding the language of this Section or any other language in this Agreement, Developer shall not be exempt from the payment of fees, if any, imposed on a City-wide basis as part of City's program for storm water pollution abatement mandated by the Federal Water Pollution Control Act of 1972 and subsequent amendments thereto. 1.1.96 "Project" means development of the Property in full compliance with this Agreement, as set forth and described in Recital K, Project Description, Scope of Work, Project Schedule, and Section 3.1 of this Agreement. 1.1.97 "Project Approvals" shall have the meaning set forth in Recital K. 1.1.98 "Project Components" shall mean the distinct phases and uses to be developed and operated on the Phase 1 Property, as more particularly depicted in the Site Maps and described in the Scope of Work, and include the following: 698/015610-0207 22795466.2 a09/18/25 (a) Luxury Hotel Project Component and related ancillary uses that include (but are not limited to) one or more wellness, spa and fitness area(s), restaurants, conference and banquet facilities, pool and recreational facilities, and "back -of -house" facility area, on the Phase 1A property and located in Plannings Areas 3 and 5 (PAs3&5); (b) Public Golf Clubhouse Project Component on the Phase 1A Property, which shall be open to the public, residents, and guests, with related uses ancillary to the clubhouse, and is located in Planning Area 4 (PA 4); -19- (c) Phase 1A Luxury Residential Project Components, consisting of for - sale, single family luxury home lots, residences, and condominiums on the Phase 1A Property that all will be linked to the Luxury Hotel operations and available as short-term vacation rentals pursuant to this Agreement, and comprise the following two (2) phases (which may be developed separately or together as determined by Developer): (i) the Phase 1A Luxury Branded Residences Project Component, consisting of 29 residential lots to be sold and privately developed pursuant to this Agreement and located in Planning Area 2 (PA 2), and (ii) the Phase 1A Luxury Branded Condominiums Project Component, consisting of approximately 70 luxury condominium units to be constructed pursuant to this Agreement and located in Planning Area 6 (PA 6); (d) Private Clubhouse Project Component means the clubhouse and amenities for residents and guests in the Phase 1A Luxury Residential Project Components to be located with the Phase 1A Luxury Branded Condominiums in Planning Area 6 (PA 6); (e) Phase 1 B Luxury Residential Project Component, consisting of for - sale, single family luxury home lots and residences on the Phase 1 B Property that may be available as short-term vacation rentals pursuant to this Agreement and located in Planning Area 7 (PA 7); (f) Landscaping And Trails Project Component covering the Phase 1 Property and SilverRock Resort Area areas along a portion of Avenue 52, as more particularly described in this Agreement; and (g) Master Site Infrastructure Improvements Project Component, consisting of Developer's construction and installation of all of the backbone infrastructure improvements required to serve the Phase 1 Property, consistent with the Specific Plan and development of the Project according to the Scope of Work and Schedule of Performance. For the avoidance of doubt, each of the categories of Project Components listed in subsections (a) through (g) of this definition may have more than one Project Component (i.e., there may be separate sub -Project Components if so elected by Developer), each Project Component may separately obtain Certificates of Completion under the process set forth in Section 3.4 of this Agreement. 1.1.99 "Project Milestone(s)" means those tasks in the Schedule of Performance identified and agreed by the Parties herein as material deadlines that shall not be missed or delayed (except for events of Force Majeure or other excusable delays set forth in this Agreement or by law). 1.1.100 "Project Schedule" and "Schedule of Performance" means the project schedule and phasing plan as set forth in Exhibit E attached hereto and 698/015610-0207 22795466.2 a09/18/25 -20- 65 incorporated herein by this reference. Developer may have one (1) or more separate Project Schedules with combined or separate Project Milestones from time to time as applicable to different Project Components as may be elected by Developer and approved by the City in City's reasonable discretion. 1.1.101 "Project Tract Maps" shall have the meaning set forth in Recital K. 1.1.102 "Public Golf Clubhouse Project Component" means that component of the Project described in the definition of Project Components in this Agreement. 1.1.103 "Reference Date" shall be the date that the City Council's Ordinance adopting this Agreement (as identified in Recital P of this Agreement) becomes effective pursuant to state law, which date shall be inserted in the Preamble of this Agreement. 1.1.104 "Reinstated Covenant Affecting Real Property (Ahmanson Ranch House)" means that land use covenant described in Recital F and substantially in the form attached to this Agreement as Exhibit J and incorporated herein by this reference. 1.1.105 "Reinstated Covenant Affecting Real Property (Golf Course Use)" means that land use covenant described in Recital F and substantially in the form attached to this Agreement as Exhibit K and incorporated herein by this reference. 1.1.106 "Reserved Powers" means the rights and authority excepted from this Agreement's restrictions on City's police powers and which are instead reserved to City, its City Council, Planning Commission, and all other City boards, commissions, departments, agencies, and committees. The Reserved Powers include the powers to enact or adopt New Laws or take future Discretionary Actions after the Development Agreement Reinstatement Date that may be in conflict with the Applicable Rules and Project Approvals, except such New Laws which would prevent or materially impair Developer's ability to develop the Project in accordance with the Project Approvals; provided, however, that with respect to such New Laws which would prevent or materially impair Developer's ability to develop the Project in accordance with the Project Approvals, such New Laws shall apply to the Project if such New Laws are: (1) necessary to protect the public health, safety, and welfare, and are generally applicable on a City-wide basis (except in the event of natural disasters as found by the City Council such as floods, earthquakes and similar acts of God, which shall apply even if not applicable on a City-wide basis); (2) amendments to Uniform Codes, as adopted by City, and/or the La Quinta Municipal Code, as applicable, regarding the construction, engineering and design standards for private and public improvements to be constructed on the Property; (3) required by a non -City entity to be adopted by or applied by the City (or if optional the failure to adopt or apply such non -City law or regulation would cause City to sustain a material loss of funds or loss of access to funding or other resources), or (4) necessary to comply with state or federal laws and 698/015610-0207 22795466.2 a09/18/25 '21 - regulations (whether enacted prior or subsequent to the Development Agreement Reinstatement Date). 1.1.107 "Schedule of Performance" means the Project Schedule. 1.1.108 "Scope of Work" and "Scope of Development" means the pre - construction, construction, demolition, improvements, operations, and uses on the Phase 1 Property for the Project Components as set forth in Exhibit D attached hereto and incorporated herein by this reference. 1.1.109 "Short -Term Vacation Rental Regulations" means all provisions of the La Quinta Municipal Code related to short-term vacation rentals as the same may be amended from time to time, including specifically Chapter 3.24 or successor provisions related to transient occupancy tax and Chapter 3.25 related to short-term vacation rentals, except to the extent any provision directly conflicts with the vested rights in Section 2.2.1 of this Agreement. 1.1.110 "Site" has the same meaning as Property and Phase 1 Property. 1.1.111 "Site Development Permit" and "site development permit" shall have the meaning set forth in Section 9.180.020 of the La Quinta Municipal Code. 1.1.112 "Site Map(s)" means the site map(s) attached hereto as Exhibit B and incorporated herein by this reference. 1.1.113 "Specific Plan" shall have the meaning as set forth in Recital C and is identified by the City as Specific Plan (SP) 2006-080 SilverRock Resort. 1.1.114 "Term" means the period of time for which the Agreement shall be effective in accordance with Section 1.2 herein. 1.1.115 "TOT" means "transient occupancy tax" collected by City pursuant to Chapter 3.24 of the La Quinta Municipal Code and applicable state laws. 1.1.116 "TOT Covenant Agreement" shall mean the "Transient Occupancy Tax (TOT) Revenue Sharing Covenant" described in Recital F and executed on or about even date as this Agreement. 1.1.117 "Transfer" means any transfer of any interest, including fee simple or ground leasehold interest, as applicable, in the Property (Phase 1A Property and Phase 1 B Property), the City -Owned Option Property, the City -Owned Golf Course Property, and the City -Owned Ahmanson Ranch Property, and corresponding interests in this Agreement. 1.1.118 "Transferee" and "transferee" shall mean the Person(s) receiving an interest subject to a Transfer. 698/015610-0207 22795466.2 a09/18/25 -22- 67 1.1.119 "Transfer Exemption(s)" means, for the purposes of this Agreement, a Transfer by leases, subleases, licenses, or other occupancy arrangements (other than ground leases) for uses on any portion(s) of the Property and Planning Areas consistent with the overall first class character of the Luxury Hotel and Permitted Hotel Operator, including, without limitation, restaurants and other food services, fitness centers, wellness facilities, residential rentals that qualify as short-term vacation rentals under the Short -Term Vacation Rental Regulations, banquets and parties, corporate events, spa services, bars, gift shops, boutiques and other retail, recreational activities, and other similar services. A Transfer Exemption shall not require prior approval or consent by the City under this Agreement; provided, however, all uses subject to a Transfer Exemption shall be governed by this Agreement and by any and all applicable federal, state, and local (including City) laws and regulations, including but not limited to Ministerial Permits and Approvals and City's Reserved Powers. Nothing in this definition does or shall be deemed to release Developer or any transferee with an interest in any leases, subleases, licenses, or other occupancy arrangements qualifying as an Transfer Exemption from compliance with the uses set forth in this Agreement and by any and all applicable federal, state, and local (including City) laws and regulations, including the City's Zoning Ordinance. 1.1.120 "Uniform Codes" means those building, electrical, mechanical, plumbing, fire and other similar regulations of a City-wide scope which are based on recommendations of a multi -state professional organization and become applicable throughout the City, such as, but not limited to, the Uniform Building Code, the Uniform Electrical Code, the Uniform Mechanical Code, Uniform Plumbing Code, or the Uniform Fire Code (including those amendments to the promulgated uniform codes which reflect local modification to implement the published recommendations of the multi -state organization and which are applicable City-wide). 1.1.121 "Updated Mitigated Negative Declaration" shall have the meaning as set forth in Recital K. Code. 1.1.122 "Zoning Ordinance" means Title 9 of the La Quinta Municipal 1.2 Term. This Agreement shall be in full force and effect as of the Reference Date, but for purposes of the duration of this Agreement pursuant to Section 65865.2 of the Development Agreement Act, the "Term" of this Agreement shall commence on the Development Agreement Reinstatement Date, and shall continue for thirty (30) years after the Development Agreement Reinstatement Date unless said term is otherwise terminated, modified, or extended by circumstances set forth in this Agreement or by mutual consent of the Parties after the satisfaction of all applicable public hearing and related procedural requirements. 698/015610-0207 22795466.2 a09/18/25 -23- Z 1.3 Development Agreement Effective Date. The vesting of the rights and obligations for the development of the Project set forth in this Agreement shall be effective as of the date this Agreement is recorded in the Recorder's Office ("Development Agreement Reinstatement Date"), but upon becoming effective, the vesting of said rights and obligations shall be retroactive to the effective date of the Original SDC Development Agreement (the "Effective Date") but without Developer having assumed any liability with respect to acts or omissions on the Property occurring prior to the Development Agreement Reinstatement Date. The City shall have the right to deliver to the Parties a written confirmation of the Development Agreement Reinstatement Date, but said Development Agreement Reinstatement Date shall be the date as set forth in the preceding sentence regardless of whether or when the City delivers such notice. 1.4 Termination of this Agreement. Unless terminated earlier pursuant to the terms hereof, this Agreement shall automatically terminate and be of no further effect upon the expiration of the Term of this Agreement. Termination of this Agreement, for any reason, shall not, by itself, affect any right or duty arising from entitlements or approvals set forth in the Project Approvals. After such termination, the Parties shall execute evidence of such termination in customary and recordable form. Furthermore, and notwithstanding anything herein to the contrary, this Agreement shall be subject to termination pursuant to Sections 8.2 and 8.3 if, following the notice and cure provisions set forth in Section 8.1, Developer fails to commence or complete the Luxury Hotel Project Component or Public Golf Clubhouse Project Component in accordance with the Project Milestones , as may be modified or adjusted pursuant to the terms of this Agreement. Furthermore, notwithstanding anything herein to the contrary, in the event Developer does not acquire title to the Phase 2 Property pursuant to the Option Agreement covering the City -Owned Option Property by the outside closing date for Developer to purchase the Phase 2 Property as set forth in the Option Agreement (referred to herein as the "Outside Phase 2 Property Acquisition Date"), this Agreement shall automatically terminate with respect to the Phase 2 Property and Developer and City agree to execute and record such document as reasonably required to terminate and remove this Agreement from record title against the Phase 2 Property. The Parties acknowledge that in the event of automatic early termination with respect to the Phase 2 Property as provided in this paragraph, the Parties shall be deemed to have mutually consented to the early termination of this Agreement solely for the Phase 2 Property for purposes of the Development Agreement Act and Development Agreement Ordinance. The Parties acknowledge and agree that, except for the provisions in the foregoing paragraphs in this Section 1.4 and any other termination rights of a Party that are expressly set forth herein, the Development Agreement Act and Development 698/015610-0207 22795466.2 a09/18/25 -24- •• Agreement Ordinance require that, prior to any such early termination of this Agreement, the La Quinta Planning Commission must hold a public hearing regarding the proposed termination and make certain recommendations to the City Council, and then the City Council must hold a public hearing regarding the termination and make certain findings. 1.5 Statement of Benefits and Consideration. The Parties have determined that a development agreement is appropriate for the construction and operation of the Project due to the substantial benefits to be derived therefrom. The Project will promote the health, safety and general welfare of City and its residents. In exchange for these and other benefits to City, Developer will receive the assurance that Developer may develop the Project during the Term of this Agreement, subject to the terms and conditions herein contained. City has undertaken the necessary proceedings, has found and determined that this Agreement is consistent with the General Plan, and has adopted the requisite ordinance approving this Agreement. As a result of the development of the Project in accordance with this Agreement, City will receive substantial benefits, including the benefits consistent with economic opportunities leading to significant job creation and general fund revenue increases that the California Legislature has promoted pursuant to Government Code section 52200 et seq. In consideration of the substantial benefits, commitments and consideration to be provided by Developer pursuant to this Agreement and in order to strengthen the public planning process and reduce the economic costs of development, City hereby provides Developer assurance that if Developer acquires title to the Property, Developer can proceed with the construction and operation of the Project for the Term of this Agreement pursuant to the Applicable Rules and this Agreement. Developer would not enter into this Agreement or agree to provide the public benefits, commitments and consideration described in this Agreement if it were not for the certainty provided by the agreement of City that the Project could be constructed and operated during the Term of this Agreement in accordance with the Applicable Rules and this Agreement. 1.6 City CEQA Findings. City finds that review of the environmental impacts of this Agreement and the Project has been conducted in accordance with the provisions of CEQA and the State and local guidelines adopted thereunder, and City has given consideration to such environmental review prior to its approval of this Agreement and the Project and has undertaken all actions necessary to comply with CEQA. 698/015610-0207 22795466.2 a09/18/25 -25- 70 1.7 Consistency with SilverRock Specific Plan Authority for Location and Alignment of Planning Areas. Pursuant to Section 2.2.1 of the SilverRock Specific Plan, the location and alignment of the land uses and zones in the Specific Plan are diagrammatic, and the precise layout of the various land uses are ultimately to be determined by the actual alignment and adjacency of each land use category. Consistent with Section 2.2.1 of the Specific Plan, the Planning Areas as set forth in this Agreement shall govern and apply to the Development of the Project and shall supersede the planning areas as identified and located in the Specific Plan, to the extent the planning areas in the Specific Plan are inconsistent with the Planning Areas set forth in this Agreement. 2. AGREEMENTS AND ASSURANCES 2.1 Agreement and Assurance on the Part of Developer. In consideration for City entering into this Agreement, and as an inducement for City to obligate itself to carry out the covenants and conditions set forth in this Agreement, and in order to effectuate the purposes and intentions set forth in this Agreement, Developer hereby agrees to develop and use the Property and the Project pursuant to all of the requirements set forth in this Agreement and other Project Approvals. 2.1.1 Bankruptcy Lawsuit and Property Acquisition Requirements. From and after the Reference Date of this Agreement, and to facilitate the close of escrow for Developer to acquire from Debtors the Property as part of the Bankruptcy Lawsuit and pursuant to any order of the Bankruptcy Court, Developer shall have the following obligations assuming that concurrently therewith or prior thereto, the City has entered into and duly authorized all La Quinta Amended Development Documents: (A) Take all actions necessary or proper to ensure that, prior to the date of the close of escrow for Developer to acquire the Property, this Agreement and all La Quinta Amended Development Documents are fully executed and, as appropriate, notarized and ready for recording in the Recorder's Office; (B) Deliver or cause to be delivered to the escrow officer and/or title officer, servicing the acquisition of the Property by Developer from Debtors, any and all escrow instructions as may be necessary or proper to ensure this Agreement and all La Quinta Amended Development Documents will be binding on Developer as of the date of the close of escrow and, as appropriate, to ensure this Agreement and any other La Quinta Amended Development Documents or other instruments are recorded in the Recorder's Office no later than the close of escrow on the Property; (C) Instruct the escrow officer and/or title officer, servicing the acquisition of the Property by Developer from Debtors, to ensure that the following La Quinta Amended Development Documents are fully executed and notarized to be 698/015610-0207 22795466.2 a09/18/25 -26- 71 recorded against the Phase 1 Property on the date of the close of escrow, in the following order: This Reinstated Development Agreement shall be recorded immediately after the grant deed conveying fee title of the Property to Developer, with no other document or instrument (including any deed of trust) to be recorded prior to this Agreement, it being expressly understood and agreed by the Parties that this Agreement shall have priority and will remain with priority over any other recorded document or instrument after the date Developer acquires fee title to the Property; ii. The Reinstated Covenant Affecting Real Property (Golf Course Use) and Reinstated Covenant Affecting Real Property (Ahmanson Ranch House); iii. The TOT Covenant Agreement; iv. The Memorandum of the Option Agreement in the form attached to the Option Agreement. v. Any other documents as may be necessary or proper, as determined by the City and Developer, to effectuate the development and use of the Property consistent with this Agreement. (D) Deliver or cause to be delivered to City the original signed copies of this Agreement and other La Quinta Amended Development Documents, and deliver or cause to be delivered to City conformed copies of the recorded copies of this Agreement and (as appropriate) other La Quinta Amended Development Documents. 2.1.2 Developer to Cooperate with City in Good Faith. Developer and City shall cooperate in good faith to prepare and deliver to the escrow officer and/or title officer any and all documents so that Developer's acquisition of the Property from Debtors may occur by the date for the close of escrow pursuant to the purchase and sale agreement between Developer and Debtors (the "Debtor PSA"). 2.1.3 Taxes and Assessments. Commencing upon the date of the close of escrow for Developer's acquisition of the Property, Developer shall pay prior to delinquency all ad valorem real estate taxes and assessments on the Property (pro -rated to after such time that Developer acquires fee title to the Property), subject to Developer's right to contest in good faith any such taxes or assessments. Developer agrees on behalf of itself, and on behalf of all persons or entities that may own an interest in the portions of the Property developed 698/015610-0207 22795466.2 a09/18/25 -27- 72 with any Project Component in the future, that during the term of the TOT Covenant Agreement, neither Developer nor any such person or entity shall (i) apply for or receive any exemption from the payment of property taxes or assessments on any interest in or to the Project or any portion thereof, or (ii) take any action, including any assessment appeal, to decrease the assessed value of the Phase 1A Property below the assessed value as of the Reinstatement Date, to the extent the TOT Covenant Agreement continues to apply to the Phase 1A Property. 2.1.4 Covenant to Maintain Property on Tax Rolls. Developer for itself, its successors and assigns to all or any part or portion of the Property and/or Project, covenants and agrees that Developer shall not use or otherwise sell, transfer, convey, assign, lease, leaseback or hypothecate the Property, the Project, or any portion of any of the foregoing to any entity or person, or for any use of the Property, the Project, or any portion of any of the foregoing, that is partially or wholly exempt from the payment of real or personal property taxes or that would cause the exemption of the payment of all or any portion of real or personal property taxes otherwise assessable regarding the Property, the Project, or any portion of any of the foregoing, without the prior written consent of City, which may be withheld in City's sole and absolute discretion for a period of thirty (30) years from the Reference Date. Notwithstanding the foregoing, the lease or sublease of up to five percent (5%) of the Property to a tax-exempt organization shall be considered de minimis for the purposes of this subsection and shall be permitted without any further approval by the City. Except as permitted pursuant to the preceding sentence, if the Property, or any portion of the Property, shall be conveyed, transferred or sold to any entity or person that is partially or wholly exempt from the payment of real or personal property taxes otherwise assessable against the Property, or any portion thereof, without the prior written consent of City commencing from the Reference Date and for the duration of the Term of this Agreement, then, at City's election and in addition to all other remedies available to City under this Agreement or at law or in equity, Developer shall pay to City a fee in lieu of payment of such taxes each year in an amount determined by City to be equal to its share of property taxes received from the ad valorem tax on the "full cash value" of the Property, or portion thereof, as may be subject to such exemption from payment of real or personal property taxes (the "Lost Tax Revenue"). City's determination of the Lost Tax Revenue for in -lieu payment purposes under this Section shall be established by City each year, if necessary, by reference to the real or personal property tax valuation principles and practices generally applicable to a county property tax assessor under Section 1 of Article XIIIA of the California Constitution. City's determination of the Lost Tax Revenue shall be supported by substantial evidence and shall be conclusive on such matters. If City determines that an amount is payable as an in -lieu payment under this Section in any tax year, then such amount shall be paid to City for that tax year within sixty (60) days following transmittal by City to Developer of an invoice for payment of the in -lieu amount. 698/015610-0207 22795466.2 a09/18/25 i 73 The covenants of this Section 2.1.4 shall run with the land of the Property, shall be enforceable against the Developer and its successors and assigns, for the duration of the Term of this Agreement. 2.2 Agreement and Assurances on the Part of City. In consideration for Developer entering into this Agreement, and as an inducement for Developer to obligate itself to carry out the covenants and conditions set forth in this Agreement, and in order to effectuate the purposes and intentions set forth in this Agreement, City hereby agrees as follows: 2.2.1 Reinstated and Amended Development Agreement. On and after the Reference Date, and pursuant to order from the Bankruptcy Court, the Original SDC Development Agreement shall be deemed reinstated and amended as provided for in this Agreement. Furthermore, City covenants and agrees that the SDC PSDA is no longer of any force and effect, and on and after the Reference Date, the SDC PSDA no longer is incorporated by reference into this Agreement, it being expressly understood and agreed by the Parties that this Agreement (along with all other agreements between City and Developer resulting from the purchase and sale of the Property vis-a-vis the Bankruptcy Lawsuit) governs the pre -development, development, operation, and use of the Property for the Project. 2.2.2 Entitlement to Develop with Vested Rights. Developer has the vested right to develop the Project subject to the terms and conditions of this Agreement, Project Site Development Permits, and Applicable Rules, subject to the Reserved Powers. Developer's vested rights under this Agreement shall include, without limitation, the right to remove, remodel, renovate, rehabilitate, rebuild or replace the existing construction and development, or any portion thereof, for the Project throughout the Term for any reason, including, without limitation, in the event of damage, destruction or obsolescence of the existing construction or development or any portion thereof, subject to Developer's timely performance of its obligations under this Agreement, Project Approvals, and Applicable Rules (and subject to the Reserved Powers). To the extent that all or any portion of the existing construction or development for the Project is removed, remodeled, renovated, rehabilitated, rebuilt or replaced, Developer may demolish and/or relocate that portion of the existing construction or development, as the case may be, at another location on the Property, subject to timely compliance with, and the requirements of, this Agreement, Project Approvals, and Applicable Rules (and subject to the Reserved Powers). 2.2.3 Short -Term Vacation Rentals. This Agreement does hereby provide that short-term vacation rentals, as set forth in the Short -Term Vacation Rental Regulations, are a permitted use within all portions of the Project that allow residential uses, and the rights to such permitted use are hereby vested in Developer pursuant to the terms of this Agreement. Developer shall comply 698/015610-0207 22795466.2 a09/18/25 -29- 74 with the provisions in this Agreement (below) pertaining to the use and operation of short-term vacation rentals. 2.2.4 Changes in Applicable Rules. (A) Nonapplication of Changes in Applicable Rules. Any change in, or addition to, the Applicable Rules adopted or becoming effective after the Development Agreement Reinstatement Date, including, without limitation, any such change by means of ordinance, City Charter amendment, initiative, referendum, resolution, motion, policy, order or moratorium, initiated or instituted for any reason whatsoever and adopted by the City, City Council, Planning Commission or any other board, commission, department or agency of the City, or by the electorate, as the case may be, which would, absent this Agreement, otherwise be applicable to the Property and/or Project, and which would be in direct conflict of this Agreement, shall not be applied to the Property or the Project unless such changes represent an exercise of City's Reserved Powers, or are otherwise agreed to in this Agreement. Notwithstanding the foregoing, Developer may, in its sole discretion, consent to the application to the Property and/or Project any change in the Applicable Rules. (B) Changes in Uniform Codes. Notwithstanding any provision of this Agreement to the contrary, development and use of the Project shall be subject to changes which may occur from time to time in the Uniform Codes, as such Codes are adopted by the City of La Quinta. (C) Changes Mandated by Federal or State Law. This Agreement shall not preclude the application to the Property or Project of changes in, or additions to, the Applicable Rules, including rules, regulations, ordinances and official policies, to the extent that such changes or additions are mandated to be applied to developments such as the Project on the Property by state or federal laws and/or regulations, pursuant to the Reserved Powers. In the event state or federal laws or regulations prevent or preclude compliance with one or more provisions of this Agreement, such provisions shall be modified or suspended as may be necessary to comply with such state or federal laws or regulations. 2.2.5 Subsequent Development Review. Nothing set forth herein shall impair or interfere with the right of City to require Developer (or any agent acting on Developer's behalf) to apply for and obtain any and all Discretionary Permits, Ministerial Permits and Approvals, and any other permits, licenses, approvals, or entitlements required by law pursuant to applicable provisions of the La Quinta Municipal Code, Uniform Codes, or other rules and procedures adopted by City and applicable to the Project pursuant to the Applicable Rules. 698/015610-0207 22795466.2 a09/18/25 -30- 75 Prior to each request for a building permit, Developer shall provide City with a Compliance Certificate for Building Permit ("Certificate for Building Permit") in a form created by Developer and reasonably approved by City, which shall describe how all applicable Project Approvals, including applicable Conditions of Approval, have been fully complied with so that Developer may be issued a building permit. Each Certificate for Building Permit shall be distributed by City to the relevant City departments for checking the representations made by Developer thereon, and City shall diligently pursue completion of such process to avoid any unnecessary delays in the prompt issuance of building permits for the Project. 2.2.6 Effective Develoament Standards. City agrees that it is bound to permit the uses, intensities of use and densities on the Property which are permitted by this Agreement and the Project Approvals, insofar as this Agreement and the Project Approvals so provide or as otherwise set forth in the Applicable Rules (subject to Reserved Powers). City hereby agrees that it will not unreasonably withhold, condition, or delay any permits, licenses, approvals, or entitlements which must be issued by City in order for the Project to proceed, provided that Developer is in compliance with this Agreement and the Project Approvals and reasonably and satisfactorily complies with all City-wide standard procedures for processing applications for such approvals and/or permits. Except as expressly provided in this Agreement, the City retains all discretion to approve, deny, or condition any and all permits, licenses, approvals, and entitlements, and other applications related to the Project and development and use of the Property for Discretionary Actions to the extent provided under Applicable Rules. 2.2.7 Moratoria or Interim Control Ordinances. In the event an ordinance, resolution, policy, or other measure is enacted, whether by action of City, by initiative, or otherwise, which relates directly or indirectly to the Project or to the rate, amount, timing, sequencing, or phasing of the development or construction of the Project on all or any part of the Property or the implementation of the Mitigation Measures adopted in connection with approval of the Project, City agrees that such ordinance, resolution or other measure shall not apply to the Property, the Project or this Agreement, unless such changes are adopted pursuant to the Reserved Powers or other applicable provisions of this Agreement. 3. DEVELOPMENT OF THE PROJECT 3.1 Generally. Developer shall develop or cause the development of the Project on the Property in accordance with this Agreement and other Project Approvals, the Project Description, Site Maps, Scope of Work for all Project Components, and within commencement and completion dates of the Project Components pursuant to the Schedule of Performance stated to be Project Milestones. The Project Components shall be developed in phases 698/015610-0207 22795466.2 a09/18/25 -31- 76 and in accordance with this Agreement and the Site Maps, Schedule of Performance, Project Description, Scope of Work, and other Project Approvals. 3.1.1 Compliance with Laws. All work performed in connection with the pre -development, development, construction, demolition, rehabilitation, use, and operation of the Project shall comply with all applicable federal, state, and local laws and regulations. 3.1.2 Compliance with Government Code Section 66473.7. Developer shall comply with the provisions of Government Code Section 66473.7 with respect to any Project Tract Maps prepared for the Project. 3.1.3 Mitigation Monitoring Program. The Developer shall comply with any and all Mitigation Measures and reporting requirements as set forth and in accordance with the Mitigation Monitoring Program incorporated into the Updated Mitigated Negative Declaration by the Agreement Addendum. 3.1.4 Temporary Golf Course Clubhouse. In the event that, prior to the time Developer completes the construction as evidenced by the recording of a Certificate of Completion that applies to the Public Golf Clubhouse Project Component, Developer's construction activities hereunder will if so elected by Developer (i) result in the removal of the existing temporary golf clubhouse, or (ii) render the location of the existing temporary golf clubhouse impractical, as determined by City, then Developer shall erect or install a new temporary golf clubhouse to serve the Golf Course until such time as the Public Golf Clubhouse Project Component has been completed and opened to the public. Said new temporary golf clubhouse shall be constructed according to minimum standards reasonably required by City, and may be a modular or similar facility, but shall provide the same or equivalent services, and operate during the same hours, as the existing temporary golf clubhouse. City shall have the right to review and approve (which approval shall not be unreasonably withheld, delayed or conditioned) Developer's proposals for any such new temporary golf clubhouse. 3.1.5 Obtaining Project Entitlements. Developer shall have the obligation to apply for and obtain, at its own cost and expense, any and all permits, licenses, approvals and entitlements for the development of the Project and use and operation for the authorized uses attached to each Project Component as set forth in this Agreement. By the approximate dates set forth in the Schedule of Performance (or, with respect to Project Milestones, the dates), Developer shall submit to City Staff for review, comment and conformation of completeness, and 698/015610-0207 22795466.2 a09/18/25 -32- 77 for subsequent processing pursuant to the La Quinta Municipal Code (or, as applicable, this Agreement), the following: (A) A proposed complete conceptual development plan for the Project Components on the Phase 1A Property that describes and depicts: (1) the location and placement of proposed buildings, (2) the architecture and elevations of the proposed buildings, and (3) any other specifications that Developer and City Staff mutually agree upon to be included in Phase 1A Property Project Components; (B) A proposed complete conceptual development plan for the Project Components on the Phase 1 B Property that describes and depicts: (1) the location and placement of proposed buildings, (2) the architecture and elevations of the proposed buildings, and (3) any other specifications that Developer and City Staff mutually agree upon to be included in Phase 1 B Property Project Components (which it is acknowledged and agreed that, at the election of Developer, may be as part of or separate from the development of the Phase 2 Property; provided, however, that any actual clearing, grading, and other infrastructure and horizontal land development work on the Phase 2 Property (collectively, and specifically excluding any vertical construction which shall not be permitted prior to Developer taking title to the Phase 2 Property, the "Phase 2 Pre -Closing Work") shall be contingent on (i) Developer providing evidence reasonably acceptable to the City that demonstrates that Developer will have the capital and/or financing required in order to perform the Phase 2 Pre - Closing Work and (ii) Developer entering in to a license agreement with the City on terms and conditions (including, but not limited to, terms and conditions relating to Developer keeping the Phase 2 Property free and clear of mechanic's liens, Developer having sufficient funds in an escrow account or otherwise having a guaranty or letter of credit or other similar arrangement to ensure timely payment of any Phase 2 Pre - Closing Work, and Developer's insurance and indemnity obligations for the benefit of the City relating to any Phase 2 Pre -Closing Work) as reasonably acceptable to Developer and the City (it being agreed, for the avoidance of doubt, that the conditions precedent to exercising the option and exercising the option to purchase the City - Owned Option Property (Phase 2 Property), and acquiring fee title to the Phase 2 Property, pursuant to the Option Agreement shall not be required in order for Developer to perform the Phase 2 Pre -Closing Work pursuant to this clause (B)); (C) A proposed complete conceptual development plan for the Landscaping And Trails Project Component that describes and depicts: (1) the location and placement of proposed landscaping, vegetation, hardscaping, fencing, pathways, trails, and/or related landscaping features or improvements for the Phase 1 Property, (2) the elevations of the proposed landscaping and related features and improvements, (3) a dust mitigation (PM 10 abatement) plan and contingency measures for instances when dust mitigation would be performed by Developer, and (4) any other specifications that Developer and City Staff mutually agree upon (including the landscaping that bounds the SilverRock Resort Area along a portion of Avenue 52 pursuant to Section 5.1.4 of this Agreement) to be included in the Landscaping And Trails Project Component; and 698/015610-0207 22795466.2 a09/18/25 -33- (D) Proposed zoning change, Specific Plan Amendment, or changes to the City's General Plan, if any, necessary to accommodate the Project Components on the Phase 1 B Property. 3.1.6 Submission of Additional Information to City. For informational purposes only, Developer shall also provide the following information to the City Manager in connection with obtaining the remaining entitlements for the Luxury Hotel Project Component, the Phase 1A Luxury Residential Project Component, and the Phase 1 B Luxury Residential Project Component. (A) Commitment letter, term sheet, letter of intent, memorandum of understanding or similar instrument (which it is acknowledged may be non -binding) from the proposed Permitted Hotel Operator for the Luxury Hotel Project Component and (if applicable) Phase 1A Luxury Residential Project Component and/or Phase 1 B Luxury Residential Project Component (depending on which Project Component(s) Developer elects to undertake at the appliable time), along with documentation confirming certain of the basic terms and conditions pursuant to which the proposed Permitted Hotel Operator will operate and manage the luxury hotel, but excluding any information reasonably designated proprietary or otherwise confidential by the Hotel Operator including, without limitation, economic terms; (B) The Final Project Budget for the applicable Project Component(s); (C) The proposed financing plan generally identifying financing sources for all private and public improvements proposed for the Project Components on the Phase 1A Property, which financing plan is consistent with the Final Project Budget and in compliance with all applicable financing provisions in this Agreement, with respect to the applicable Project Component(s); (D) The proposed financing plan generally identifying financing sources for all private and public improvements proposed for the Project Components on the Phase 1 B Property, which financing plan is consistent with the Final Project Budget and in compliance with all applicable financing provisions in this Agreement, with respect to the applicable Project Component(s). 3.2 Construction Provisions. 3.2.1 Developer Covenant to Complete the Project. Upon the close of escrow and Developer's acquisition of the Property, Developer covenants, for itself, its successors and assigns, that the Developer shall commence and complete the construction of the Project on the Property within the approximate (or, with respect to Project Milestones, the dates) time period for such actions set forth in the Schedule of Performance. Developer covenants and agrees for itself, its successors, and assigns, that the Property shall be improved and developed with the 698/015610-0207 22795466.2 a09/18/25 -34- 79 Project in substantial conformity with the terms and conditions of this Agreement, Project Approvals, and Applicable Rules, except for such changes as may be mutually agreed upon in writing by and among the Parties, and all applicable laws, regulations, orders and conditions of all other federal, state, and local governmental agencies with jurisdiction over the Property or the Project, subject in each such case to events of Force Majeure. The covenants of this Section shall run with the land of the Property until the earlier of the date of recordation of the final Certificate of Completion or the expiration of the Term of this Agreement, subject to the provisions in this Agreement that state that those portion(s) of the Property that have a Certificate of Completion recorded against an applicable Project Component(s) shall be released from this Section upon the recording of said Certificate of Completion applicable to that Project Component(s). 3.2.2 Chanaes to Specifications Durina Course of Construction. Developer shall have the right during the course of construction of the Project to make minor field changes, without seeking the approval of the City, if such changes do not affect the type of use to be conducted within all or any portion of a structure. "Minor field changes" shall be defined as those changes from the Project Approvals or City - approved Discretionary Permits and/or Ministerial Permits and Approvals, that have no substantial effect on the Project or are made in order to expedite the work of construction in response to field or other unforeseen conditions. Developer shall submit all other changes (those changes which are not Minor Field Changes) to the City for its review and approval (which shall not be unreasonably delayed, withheld or conditioned) no less than thirty (30) days prior to the date that Developer intends to implement such changes, or as otherwise determined appropriate by the Parties based on the circumstances presented. City shall have twenty (20) days from its receipt of such proposed changes to review the same and advise the Developer in writing whether such changes are acceptable to City in its reasonable discretion. Any proposed changes which are not disapproved by City within such twenty (20) day period shall be deemed approved. Nothing contained in this Section shall be deemed to constitute a waiver of or change in the City requirements governing changes or any other approvals by the City otherwise required construction of the Project. 3.2.3 Construction Commencement and Completion. Developer shall commence construction of the Project in approximate accordance with the Schedule of Performance (or, with respect to Project Milestones, in accordance therewith (subject to events of Force Majeure)) and, thereafter, shall diligently proceed to complete the construction of the Project in a good and workmanlike manner in substantial conformity with the Project Approvals according to the Schedule of Performance. Developer shall obtain a Certificate of Completion on or before the final completion date for the Project Milestones, and for other Project Components on the Phase 1A Property and Phase 1B Property, approximately on or before the completion dates, as set forth in the Schedule of Performance. Developer shall, promptly upon completion of construction of any Project Component(s), cause said 698/015610-0207 22795466.2 a09/18/25 -35- :1 Project Component(s) to be inspected by each federal, state, and local (including City) governmental agency with jurisdiction over the Project required under law to conduct such inspection, shall correct any defects and deficiencies that may be disclosed by any such inspection and shall cause to be duly issued all certificates of occupancy and other permits, licenses, approvals or entitlements necessary for the operation and occupancy of said completed Project Component(s). Excepting any preliminary work undertaken by Developer to salvage or use existing improvements on the Property, after commencement of the work of improvement of a Project Component on the Phase 1A Property, the Developer shall not permit the work or improvements to that Project Component of the Phase 1A Property to cease or be suspended for a time period in excess of ninety (90) consecutive calendar days, subject to events of Force Majeure as provided in this Agreement. Similarly, after commencement of the work of improvement of a Project Component on the Phase 1 B Property, the Developer shall not permit the work or improvements to that Project Component of the Phase 1 B Property to cease or be suspended for a time period in excess of ninety (90) consecutive calendar days, subject to events of Force Majeure as provided in this Agreement. 3.2.4 Compliance and Modifications to Schedule of Performance. The Schedule of Performance establishes various dates and times setting for the approximate dates for the accomplishment of various tasks assigned to Developer, and satisfaction of all of those tasks must be met prior to issuance by the City of the final Certificate of Completion. Notwithstanding the previous sentence, the Parties agree that time is of the essence in the performance of the Project Milestones, and, if any of the same are not timely met, then the City shall have the right to exercise any of its rights for failure to meet a Project Milestone set forth in this Agreement. If the date or time for the performance of a task or the satisfaction of a condition, as set forth in either the text of this Agreement or which constitutes a Project Milestone, may not be achieved, then prior to such date or time set forth in the text of this Agreement or the Project Milestone, the Parties shall consider whether a modification to the text of this Agreement or to the Schedule of Performance is warranted. Any decision to approve a modification to a time or date established in either the text of this Agreement or the Project Milestones shall be subject to the discretion of each Party, which shall be exercised reasonably and in good faith, and any request by Developer for any modification shall be reviewed by the City Manager for a determination of whether the modification is an Insubstantial Modification as provided for in this Agreement. Any modification of a time or date for performance of a particular task or satisfaction of a particular condition that does not result in a change of more than one hundred eighty (180) calendar days may be approved on behalf of the City by the City Manager as an "Insubstantial Modification." A modification of a time or date for performance of a task or satisfaction of a condition that results in an aggregate change of more than one hundred eighty (180) calendar days to that task or condition (excluding any Force Majeure delays) shall be subject to the approval of the City 698/015610-0207 22795466.2 a09/18/25 -36- a Council, in its sole and absolute discretion, and would be memorialized as an amendment to this Agreement. If performance of a task or satisfaction of a condition for any Project Milestones in the Schedule Performance is prevented or delayed by an event of Force Majeure, the deadline for completion of such task or satisfaction of such condition shall be extended by the period of such event of Force Majeure. Upon the completion of an event of Force Majeure, the extended period shall be memorialized in writing by the City Manager and Developer and delivered to the Parties. 3.2.5 City's Right to Inspect Property and Project. Officers, employees, agents and representatives of City shall have the right of reasonable access to the Property, without the payment of charges or fees, during normal construction hours, during the period of construction of the Project. Such officers, employees, agents or representatives of the City shall be those persons who are designated by the City Manager or authorized designee. Any and all officers, employees, agents or representatives of the City who enter the Property, if requested by Developer, shall identify themselves at the construction management office on the Property upon their entrance on to the Property, and, if required by Developer, shall at all times be accompanied by a representative of the Developer while on the Property. Developer shall make a representative of Developer available for this purpose at all times during normal construction hours, upon reasonable notice from the City. City shall defend, indemnify and hold the Developer harmless from injury, property damage or liability arising out of the exercise by the City of the right of access to the Property provided in this Section, other than injury, property damage or liability arising from the negligence or willful misconduct of Developer or its officers, agents or employees. City shall inspect relevant portions of the Property, prior to issuing any written statements reflecting adversely on Developer's compliance with the terms and conditions of this Agreement pertaining to development of the Project. If, in the City's reasonable discretion it is necessary, City shall have the further right, from time to time, to retain a consultant or consultants to inspect the Project and verify compliance by the Developer with the provisions of this Agreement at City's sole cost and expense. Developer acknowledges and agrees that any such inspections are for the sole purpose of protecting the City's rights under this Agreement, are made solely for the City's benefit, that the inspections may be general in nature, and are for the purposes of informing the City of the progress of the Project and the conformity of the Project with the terms and conditions of this Agreement, and that Developer shall not be entitled to rely on any such inspection(s) as constituting an approval, satisfaction or acceptance of any materials, workmanship, conformity of the Project with this Agreement or otherwise. Developer agrees to make its own regular inspections of the work of construction of the Project to determine that the quality of the Project and all other requirements of the work of construction of the Project are being performed in a manner satisfactory to the Developer. Developer also agrees to immediately notify the City in writing should the Developer's inspections show any matters that will prevent a Project Component from being completed by the date and time set forth therefore in the Schedule of Performance. 698/015610-0207 22795466.2 a09/18/25 -37- 3.2.6 Dust Control. From and after the date of the close of escrow for Developer's acquisition of the Property and until the date of the last Certificate of Completion is recorded against the Property (or applicable portion thereof), Developer shall implement the Dust Control Program with respect to the Property. Such implementation shall continue until such time as all Project Components have been completed, as evidenced by City's issuance of, and the recording of, the last Certificate of Completion for the completion of the last Project Component on the Property. 3.2.7 Developer Sale of Undeveloped Lots in Phase 1A Luxury Branded Residences Project Component and Phase 1 B Luxury Residential Project Component. For the duration of the Term of this Agreement, Developer shall have the obligation to complete or cause the completion of construction for all Project Components of the Project; provided, however, that Developer shall have the right, in accordance with phased development of the Phase 1A Luxury Branded Residences Project Component (PA 2) and the Phase 1 B Luxury Residential Project Component (PA 7) according to the approximate dates in the Schedule of Performance, to sell to individual buyers any precisely -graded and utility -ready unimproved custom single- family luxury home Lots, as long as any Lot sold to an individual buyer as part of the Project is subject to and governed by terms and conditions promulgated and enforced by the Permitted Hotel Operator and/or Developer for the timely construction and availability for occupancy of a single-family luxury residence on said Lot in accordance with design and construction requirements that are consistent with the use (or availability of the use) of such single-family luxury residence with the Luxury Hotel. The City shall have the right, upon request to Developer, to review the form of any agreements, development or construction guidelines or covenants, or other documents, which would be applicable to any Lots that would be eligible for sale to individual buyers pursuant to this Section, for the purpose of the City ensuring that the sale and construction of such unimproved Lot by an individual buyer is consistent with this Agreement and the Project. Any individual buyer of an unimproved Lot shall have the obligation to comply with any and all federal, state, and local (including City) laws and regulations for the development, use, and maintenance of a single-family luxury residence on the Lot, including but not limited to the requirement to obtain any and all Discretionary Permit and Ministerial Permits and Approvals from the City. Developer shall not sell or otherwise transfer (by lease or other conveyance) to an individual buyer any unimproved Lot on the Property unless such transfer is by a sale (for valuable consideration to a bone -fide purchaser) in accordance with the minimum requirements of this Section 3.2.7 and this Agreement. Developer shall not be entitled to a Certificate of Completion to be issued and recorded against the portion of the Phase 1 Property (including individual Lots) that constitute the Phase 1A Luxury Branded Residences Project Component (PA 2) or the Phase 1 B Luxury Residential Project Component (PA 7) until at least one-half (1/2) of the single-family luxury residences have been completely constructed on the Lots within the Phase 1A Luxury Branded Residences 698/015610-0207 22795466.2 a09/18/25 No 83 Project Component (PA2), and Developer shall not be entitled to a Certificate of Completion to be issued and recorded against the portion of the Phase 1 Property (including individual Lots) that constitute the Phase 1 B Luxury Residential Project Component (PA 7) until at least one-half (1/2) of the single-family luxury residences have been completely constructed on the Lots within the Phase 1 B Luxury Residential Project Component (PA 7). 3.3 Costs of Construction. Except for the TOT rebate as provided for in the TOT Covenant Agreement and the potential premium purchase price for the City -Owned Option Property as provided for in the Option Agreement, all costs and expenses for the undertaking and completing the Project, including, without limitation, constructing all Project Components, all legally imposed on- and off -site improvements, and providing all utilities therefor, shall be borne by Developer at its sole cost, expense, and liability. 3.3.1 Payment of Fees. During the Term of this Agreement, Developer shall be solely responsible for payment, and shall pay timely when due, all Processing Fees and Impact Fees with respect to the Project. The amounts for any and all Processing Fees, and amounts for any and all Impact Fees, to be charged and applied in connection with the development of the Property and use of the Project, or any Project Components or portions thereof, shall be the amounts which are in effect on a City-wide basis at the time an application for a permit, license, approval or other entitlement is submitted and made for City processing and action, except that City shall not impose on the Project any new Impact Fees that were not in effect as of the Development Agreement Reinstatement Date. To further amplify the preceding sentence and to avoid any doubt, Developer does not have, by entering into this Agreement, a vested right in the amounts of Processing Fees and Impact Fees, or any other fees, charges, levies, or assessments previously paid, in effect as of either the Reference Date or Development Agreement Reinstatement Date, but does have a vested right to be subject to only the Impact Fees in effect as of the Development Agreement Reinstatement Date. 3.3.2 Other Fees and Charges. Except as otherwise provided in this Agreement, nothing set forth in this Agreement is intended to or shall be construed to limit or restrict the City's authority to impose its existing, or any increased, fees, charges, levies, or assessments for the development and of the Property and Project, or to impose or increase, subject to the required procedure, any taxes applicable to the Property and Project including but not limited to transient occupancy taxes, provided nothing set forth herein is intended or shall be construed to limit or restrict whatever right Developer might otherwise have to challenge any fee, charge, levy, assessment, or tax imposed or any binding agreements between the City and Developer. 698/015610-0207 22795466.2 a09/18/25 -39- 3.3.3 Limited Interference with Golf Course Usaae. Developer shall carry out the construction of the Project so as to minimize interference with the Golf Course, including, without limitation, taking all necessary actions to ensure that dust (i) does not blow off or leave any portion of the Property under development and enter onto any portion of the Golf Course; or (ii) is not tracked from any portion of the Property under development onto any of the roadways within or surrounding the SilverRock Resort Area (including Jefferson Street and Avenue 52). Developer shall screen any portion of the Property under development to minimize the visual impacts of such development on persons using the Golf Course. Developer acknowledges that City has previously, and may in the future, enter into a use agreement with a charitable entity, pursuant to which the Golf Course may be utilized for an annual golf tournament. In any year when said tournament is held at the Golf Course, no construction activities shall take place during the televised portion of the tournament unless authorized, in writing, by the City Manager, and Developer and Developer's contractors and subcontractors shall ensure that during the tournament all construction sites are left in a neat and orderly condition. Developer additionally agrees to coordinate with the tournament officials to ensure that construction activities do not interfere with the tournament. In the event construction activities are halted pursuant to this subsection, all remaining dates and deadlines on the Schedule of Performance including the Project Milestones shall automatically be extended for a period of thirty (30) days for each the date such construction is re -commenced, and the Parties shall confirm the revised dates in a writing signed by the City Manager. Nothing in this provision shall be construed to limit or prevent Developer's work to improve the Golf Course pursuant to any plans duly approved by the City. 3.3.4 Prevailing Wages. Developer acknowledges that the City has not made any representation, express or implied, to Developer or any person associated with Developer regarding whether or not laborers employed relative to the construction of the Project must be paid the prevailing per diem wage rate for their labor classification, as determined by the State of California, pursuant to Labor Code Sections 1720 et seq. Developer agrees with City that Developer shall assume the responsibility and be solely responsible for determining whether or not laborers employed relative to the construction of the Project must be paid the prevailing per diem wage rate for their labor classification. Developer, on behalf of itself, its successors, and assigns, waives and releases City from any right of action that may be available to it pursuant to Labor Code Sections 1726 and 1781. Developer acknowledges the protections of Civil Code Section 1542 relative to the waiver and release contained in this Section, which reads as follows: 698/015610-0207 22795466.2 a09/18/25 "A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM OR HER MUST i m W HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR." BY INITIALING BELOW, DEVELOPER KNOWINGLY AND VOLUNTARILY WAIVES THE PROVISIONS OF CIVIL CODE SECTION 1542 SOLELY IN CONNECTION WITH THE WAIVERS AND RELEASES OF THIS SECTION. Developer's initials: Additionally, in accordance with the general indemnity provisions in this Agreement, Developer shall indemnify, defend (with counsel acceptable to the City), and hold harmless City against any claims pursuant to Labor Code Sections 1726 and 1781 arising from this Agreement or the construction or operation of the Project. 3.4 Completion of Construction. Provided Developer is not in Default or MAE Default of this Agreement, then Developer shall have the right, upon Developer's purported completion of construction for any Project Components on the Phase 1A Property, and upon Developer's purported completion of construction for any Project Components on the Phase 1 B Property, to obtain a Certificate of Completion for that Project Component according to the following provisions: 3.4.1 Request for Certificate of Completion. Following the substantial completion of construction, and upon written request from the Developer for issuance of a Certificate of Completion, City shall inspect the Project Component(s) to determine whether or not said Project Component(s) have been substantially completed in compliance with this Agreement. If City determines that said Project Component(s) are complete and in compliance with this Agreement, City Manager shall furnish the Developer with a Certificate of Completion for the respective Project Component(s). If City determines that said Project Component(s) are not in compliance with this Agreement, the City Manager shall send written notice of each non -conformity to the Developer. Upon issuance of the final certificate of occupancy for the development of the applicable Project Component(s) (excluding homes on lots sold by Developer for single-family luxury custom home construction by the buyer thereof), based on the applicable Project Approvals for the Project Component(s), City shall deliver the Developer a final Certificate of Completion for the applicable Project Component(s) and Developer shall thereafter be released from the construction obligations under this Agreement with respect to the applicable Project Component(s). Until the issuance of the final certificate of occupancy (excluding homes on lots sold by Developer for single-family luxury custom home construction by the buyer thereof) for a Project Component (if required under Applicable Rules), Developer shall not be entitled to a final Certificate of Completion and shall remain liable for the completion of all construction obligations under this Agreement with respect to such Project Component(s). Neither Developer nor City should unreasonably interfere with the usual 698/015610-0207 22795466.2 a09/18/25 -41- :S, inspections by City agencies or other typical governmental inspections related to requirements for a certificate of occupancy. 3.4.2 Issuance of Certificate of Completion. City shall not unreasonably withhold the issuance of a Certificate of Completion. A Certificate of Completion shall be evidence of the City's conclusive determination of satisfactory completion of the construction of the Project Component(s) to which it pertains pursuant to the terms of this Agreement. After the recordation of a Certificate of Completion for a Project Component, any person then owning or thereafter purchasing, leasing or otherwise acquiring any interest in the Property improved with said Project Component shall not (because of such ownership, purchase, lease or acquisition) incur any obligation or liability under this Agreement regarding construction of said Project Component except that such person shall be bound by any reservations, covenants, conditions, restrictions and other interests recorded against the Property pursuant to this Agreement which by their terms continue in effect. 3.4.3 Further Actions for Completion of Construction. If City fails or refuses to issue a Certificate of Completion following written request from Developer within forty-five (45) calendar days of Developer's written request, City shall provide Developer with a written statement setting forth the reasons for City's failure or refusal to issue a Certificate of Completion. The statement shall also contain City's opinion of the action(s) Developer must take to obtain a Certificate of Completion from City. If the reason for Developer's failure to complete the Project (or a Project Component(s) or improvements on any portion of the Property for which the request pertains) is confined to the immediate unavailability of specific items or materials for construction or landscaping at a price reasonably acceptable to Developer or other minor building "punch -list" items, City may issue its Certificate of Completion upon the posting of a cash escrow, bond or irrevocable standby letter of credit by Developer (or other proof of funds being available) in a form reasonably acceptable to the City in an amount representing the cost of the work on the Project (or a Project Component(s) or improvements on any portion of the Property for which the request pertains) remaining to be completed, as reasonably determined by City. If City fails to provide such written statement, within the specified time period, Developer shall be deemed conclusively and without further action of City to have satisfied the requirements of this Agreement with respect to the Project (or a Project Component(s) or improvements on any portion of the Property for which the request pertains) as if a Certificate of Completion had been issued by the City pursuant to this Agreement. 3.4.4 Limits on Leaal Effect of Certificate. A Certificate of Completion shall not constitute evidence of compliance with or satisfaction of any obligation of the Developer to any holder of a Lien, or any insurer of a Lien or mortgage securing money loaned to finance the Project, or any parts thereof. A Certificate of Completion shall not be deemed to constitute a notice of completion under Civil Code Sections 8186 or 9204, nor shall it act to terminate the continuing covenants, 698/015610-0207 22795466.2 a09/18/25 -42- a restrictions or conditions contained in any other instruments recorded against the Property pursuant to this Agreement. 3.5 Planned Development and CC&Rs. Developer shall construct the Project on the Property as a "planned development" as defined in California Civil Code Section 4175 (or successor provision) pursuant to the Davis -Stirling Act, which, among other requirements, shall require the recording by Developer of a declaration (and may at Developer's discretion have multiple declaration(s)) of covenants, conditions, and restrictions ("CC&Rs") that, at a minimum, meet the requirements of a "declaration" as defined and described in the Davis -Stirling Act and to memorialize specified Conditions of Approval that are part of the Project Approvals. Developer shall provide to City, no less than ninety (90) days prior to the anticipated date of recording or anticipated date of submittal for review by the California Department of Real Estate (or other state agency with regulatory powers pursuant to the Davis -Stirling Act), whichever is earlier, a copy of a draft of any CC&Rs to be recorded against the Property, and any subsequent CC&Rs covering a portion of the Property for review and approval, not to be unreasonably withheld, by the City Manager and City Attorney. The Project shall have an "association" as defined and described in the Davis -Stirling Act, and may have multiple "associations" connected to the CC&Rs recorded against a portion of the Property as part of the Project if so elected by Developer. 3.5.1 CC&Rs to Include Relevant Conditions of Developer shall construct the Project on the Property only in accordance with the Project Approvals, with CC&Rs recorded against the Property and any portions thereof to memorialize any specified Conditions of Approval that apply to the various portions of the Property pursuant to the Project Approvals. 3.5.2 Luxury Residences and Maintenance Obliaations. In addition to any other requirements set forth in applicable Conditions of Approval, prior to City's issuance of a certificate of occupancy for the first residential dwelling that is part of the Phase 1A Luxury Residential Project Component, and that is part of the Phase 1 B Luxury Residential Project Component, respectively, Developer shall have submitted to City and shall have obtained City's approval of (such approval not to be unreasonably withheld, conditioned or delayed), CC&Rs that (i) establishes a homeowners' association, (ii) is necessary to create a condominium regime for the condominiums described in and part of any Project Approvals (including as part of this Agreement); (iii) clearly sets forth the maintenance obligations for the homeowners' association and respective owners of the residential dwellings subject to the CC&Rs; (iv) includes a disclosure of this Reinstated Development Agreement and general summary of its primary business terms; (v) includes a disclosure regarding the ownership and control of the Golf Course and Ahmanson Ranch House, as well as a disclosure of the conditional transfer of ownership of same to Developer as more fully described in this Reinstated Development Agreement; and (vi) a statement that 698/015610-0207 22795466.2 a09/18/25 -43- 1:U Developer does not and cannot guarantee the timing of or actual development or use of the remaining undeveloped real property located within the SilverRock Resort Area. 3.5.3 Recording of CC&Rs. Unless a Condition of Approval provides otherwise, Developer shall have the obligation, at its own cost and expense, to record or cause to be recorded in the Recorder's Office any and all CC&Rs after they have been reviewed and approved by City and Developer pursuant to this Agreement. 3.5.4 Citv as Third Partv Beneficiarv: Amendments to CC&Rs. All CC&Rs shall provide that City is a third party beneficiary with the right, but not the obligation, to enforce any and all terms and conditions in CC&Rs that specifically relate to and are required by this Agreement or are for the general benefit of the public (if applicable) based upon the Project and Project Approvals. Additionally, all CC&Rs that have been previously approved by City and recorded in the Recorder's Office shall require the prior written approval (which shall not be unreasonably withheld, delayed or conditioned) of City prior to any amendments to said CC&Rs affecting provisions where City is a third party beneficiary to ensure that such amendments comply with the requirements of this Agreement. 3.5.5 Citv Riaht to Comoel Corrections to CC&Rs. In addition to any and all rights and remedies available to City under this Agreement and at law or in equity, City shall have the right to compel Developer (or any successor or assignee, including a homeowners association) to terminate and remove from record title any CC&Rs that were recorded against the Property (or portion thereof) that were not previously approved by City (to the extent such approval is required under this Agreement) and/or otherwise do not comply with the requirements of this Agreement or other Project Approvals. Furthermore, City shall have the right to compel the recording against the Property (or portion thereof) a corrected version of the CC&Rs that has received City's and Developer's written approval and does comply with the requirements of this Agreement and (if applicable) Project Approvals. Developer (or any successor or assignee, including a homeowners association) shall have the obligation to pay all costs and expenses incurred by City, including for City Staff time and City Attorney costs, relating to the enforcement of this Section and need for recording corrected CC&Rs. 3.6 Dedications and Improvements. Developer shall offer dedications to the City or other applicable public agency, or complete those public improvements in connection with the Project, as specified in the Project Approvals. 698/015610-0207 22795466.2 a09/18/25 i• 3.7 Postina Pavment and Performance Bonds. Developer shall pay for and deliver to City, for each public improvement on the Property (or applicable portion thereof) required to be undertaken by Developer pursuant hereto, duly executed and operative payment and performance bonds (or other improvement security approved by City and permissible pursuant to applicable state and local law) covering one hundred percent (100%) of the costs to complete the construction of the applicable public improvements (generally referred to herein is "Construction Improvement Security"). Unless other specified in a Condition of Approval applicable to a Project Component, such Construction Improvement Security shall be delivered to City prior to the commencement of any work, as specified in the Scope of Work, on the applicable Project Component. 3.8 Regular Updates to City on Development of the Project. Commencing from the Development Agreement Reinstatement Date, and for the duration of the Term, Developer shall deliver to the City Manager (or authorized designee) regular updates on the status of the development and construction of the Project. Unless otherwise agreed by Developer and City, each acting within their reasonable discretion, regular Developer updates to City shall be as follows: 3.8.1 Phase 1A Property Project Components. No less than once every month until completion of all Project Components on the Phase 1A Property, a Developer Representative(s) shall deliver written updates to City Manager on the status of each Project Component on the Phase 1A Property that has been commenced on the applicable date. Each update shall include status of any permitting, demolition, grading, pre -construction, construction, rehabilitation, and other related material development information for each Project Component until a Certificate of Completion for all Project Components on the Phase 1A Property has been issued by City and recorded against the Phase 1A Property pursuant to this Agreement. City Manager, exercising reasonable discretion, may require additional/more specific information relating to the development of a Project Component on the Phase 1A Property. Each written update provided to City Manager should be assumed to be a public record under the California Public Records Act (Gov. Code, § 7920.000 et seq., "Public Records Act"), but certain information therein may be subject to non -disclosure pursuant to the Public Records Act. Additionally, unless City Manager authorizes a less frequent attendance requirement for Developer, no less than once every third City Council meeting until completion of the Luxury Hotel Project Component, Public Golf Clubhouse Project Component, and Phase 1A Luxury Residential Project Component on the Phase 1A Property, a Developer Representative(s) shall attend City Council public meetings to provide City Council and the general public with status updates relating to the development of these Project Components on the Phase 1A Property. 698/015610-0207 22795466.2 a09/18/25 -45- •11 3.8.2 Phase 1 B Property Project Components. No less than once every two (2) months from commencement of construction activities on the Phase 1 B Property until completion of all Project Components on the Phase 1 B Property, a Developer Representative(s) shall deliver written updates to City Manager on the status of each Project Component on the Phase 1 B Property. Each update shall include status of any permitting, grading, pre -construction, construction, rehabilitation, and other related material development information for each such Project Component until a Certificate of Completion for all Project Components on the Phase 1 B Property has been issued by City and recorded against the Phase 1 B Property pursuant to this Agreement. City Manager, exercising reasonable discretion, may require additional/more specific information relating to the development of a Project Component on the Phase 1 B Property. Each written update provided to City Manager should be assumed to be a public record under the Public Records Act, but certain information therein may be subject to non -disclosure pursuant to the Public Records Act. 3.8.3 Attendance at Planning Commission and City Council Meetings. In addition to the foregoing requirements in this Section 3.8, Developer agrees to have one or more of Developer Representatives, who is/are knowledgeable regarding this Agreement and the development of the Project, such that such person(s) can meaningfully respond to City questions regarding the progress of the Project, attend Planning Commission and/or City Council public meetings, when Developer is requested to do so on not less than ten (10) days prior written notice by City Manager (or authorized City Staff designee), which requests shall not be made more than one time per quarter. 3.9 Indemnification. 3.9.1 Developer's General Obligation. Commencing on the Reference Date, Developer shall protect, defend, indemnify and hold harmless City and City's officers, officials, members, employees, volunteers, agents, and representatives (any of the foregoing shall be known individually as "Indemnitee" and collectively as "Indemnitees"), and each of them, jointly and severally, against and from any and all claims, demands, causes of action, damages, costs, expenses, losses and liabilities, at law or in equity, of every kind or nature whatsoever, including reasonable attorneys' fees and expert witness fees, and including, without limitation, injury to or death of any person or persons and damage to or destruction of any property, threatened, brought or instituted ("Claims"), arising out of or in any manner directly connected with the entry upon the Property by Developer or any of Developer Representatives, including without limitation (other than with respect to pre-existing conditions unless exacerbated by Developer): (A) any damage to the Property and any liability to any third party incurred by reason of any acts or omission of, including, but not limited to, any 698/015610-0207 22795466.2 a09/18/25 i 91 commission of any negligent or tortious acts, by Developer or the Developer Representatives, or any of them; (B) any mechanics' or materialmen's liens, claims, demands, actions or suits arising (directly or indirectly) from (i) any work performed or materials supplied to or for Developer, or (ii) any activities of Developer or any of the Developer Representatives, or any of them, on or relating to the Property (including, without limitation, any claims by any of such Developer Representatives); (C) any claims, demands, actions or suits arising directly or indirectly from any of the following "Environmental Claims" first arising from and after the Developer's ownership of the Property or construction or operation of the Project: 698/015610-0207 22795466.2 a09/18/25 i) The presence of Hazardous Materials on, in, under, from or affecting all or any portion of the Property or the Project; ii) The storage, holding, handling, release, threatened release, discharge, generation, leak, abatement, removal or transportation of any Hazardous Materials on, in, under, from or affecting the Property or the Project; iii) The violation of any law, rule, regulation, judgment, order, permit, license, agreement, covenant, restriction, requirement or the like by the Developer and/or Developer Representatives relating to or governing in any way Hazardous Materials on, in, under, from or affecting the Property or the Project; iv) The failure of the Developer and/or Developer Representatives to properly complete, obtain, submit and/or file any and all notices, permits, licenses, authorizations, covenants and the like in connection with the Developer's activities on the Property or regarding the Project; v) The implementation and enforcement by the Developer and/or Developer Representatives of any monitoring, notification or other precautionary measures that may, at any time, become necessary to protect against the release, potential release or discharge of Hazardous Materials on, in, under, from or affecting the Property or the Project; vi) The failure of the Developer and/or Developer Representatives, in compliance with all applicable Environmental Laws, to lawfully remove, contain, transport -47- W or dispose of any Hazardous Materials existing, stored or generated on, in, under or from the Property or the Project; vii) Any investigation, inquiry, order, hearing, action or other proceeding by or before any governmental agency in connection with any Hazardous Materials on, in, under, from or affecting the Property or the Project or the violation of any Environmental Law relating to the Property or the Project; (D) Any claims, demands, actions or suits arising directly or indirectly from alleged violations of any federal or state prevailing wage laws made by employees of Developer. (E) Any costs of removing Developer or the Developer Representatives from the Property after the expiration of the Term hereof due to Developer's MAE Default hereunder unless Developer is otherwise entitled to possession of the Property at such time. In the event of litigation relating to the matters indemnified pursuant to the foregoing, City agrees, at no cost to City, to reasonably cooperate with Developer. Developer shall have the obligation to provide the defense of City in the litigation, either by providing for legal counsel or, at City's option, timely paying the reasonable out of pocket legal costs incurred by City in the defense of litigation, even though negligence or gross negligence of Developer or its contractors, subcontractors, agents, employees or other persons acting on its behalf has not been established at the time that the defense is provided. Notwithstanding anything to the contrary contained herein, in no event will Developer be liable for consequential or special damages under this Agreement. 3.9.2 Developer's Obligation to Indemnify for Project Approvals. In the event of any court action or proceeding challenging the validity of this Agreement or any of the Project Approvals, Developer shall indemnify, hold harmless, pay all costs and provide defense for City in said action or proceeding with counsel chosen by City and approved by Developer in its reasonable discretion (unless such challenge is initiated by the City). City shall, at no cost to City, cooperate with Developer in any such defense as Developer may reasonably request. In the event Developer fails or refuses to provide such defense of any challenge to this Agreement or the Project Approvals, or any component thereof, City shall have the right not to defend such challenge, and to resolve such challenge in any manner it chooses in its sole discretion. 3.9.3 Exclusions from Indemnification Obligations; Limits to Remedies. Developer's indemnification obligations under this Agreement shall exclude any claims resulting solely from the gross negligence, illegal acts, bad faith or willful misconduct of any Indemnitee. Notwithstanding the preceding sentence or any other provisions in this 698/015610-0207 22795466.2 a09/18/25 • i • 93 Agreement, City shall have no liability for special or consequential damages to Developer or Developer Representative, 3.10 Insurance. 3.10.1 Insurance During Construction of Project. Commencing with the Development Agreement Reinstatement Date and ending on the earliest of (a) the date this Agreement expires or is earlier terminated by the Parties pursuant to the terms hereof; or (b) the date of recording of the final Certificate of Completion for the last Project Component on the Property (provided that Developer has obtained and maintained adequate insurance coverage for each Project Component once completed and has delivered to City the applicable certificate(s) of insurance covering the completed Project Component): (A) A policy of commercial general liability insurance written on a per occurrence basis in an amount not less than Five Million Dollars ($5,000,000.00) per occurrence and Five Million Dollars ($5,000,000.00) in the aggregate. Said coverage may be achieved by combination of a commercial general liability policies and umbrella/excess liability policies. (B) A policy of workers' compensation insurance in such amount as will fully comply with the laws of the State of California against any loss, claim or damage arising from any injuries or occupational diseases occurring to any worker employed by Developer in the course of carrying out the work or services contemplated in this Agreement. (C) A policy of commercial automobile liability insurance written on a per occurrence basis in an amount not less than Three Million Dollars ($3,000,000.00). Said policy shall include coverage for owned, non -owned, leased, and hired cars. Said coverage may be achieved by combination of an auto liability policy and umbrella/excess liability policies. (D) When vertical construction commences, an "All Risks" Builder's Risk (course of construction) insurance coverage on a replacement cost basis in an amount equal to the full cost of the hard construction costs of the Project. Such insurance shall contain no coinsurance provision, and cover, at a minimum: all work, materials, and equipment to be incorporated into the Project; the Project during construction; the completed Project until such time as City issues the final certificate of occupancy for the Project, and storage, transportation, and equipment breakdown risks. Such insurance shall include coverage for earthquake, flood, ordinance or law, temporary offsite storage, debris removal, pollutant cleanup and removal, preservation of property, landscaping, shrubs and plants and full collapse during construction. Such insurance shall protect/insure the interests of Developer/owner and all of Developer's contractor(s), and subcontractors, as each of their interests may appear. If such insurance includes an exclusion for "design error," such exclusion shall only be for the object or portion which failed. 698/015610-0207 22795466.2 a09/18/25 3.10.2 Post -Construction Insurance. Following the issuance by City to Developer of any Certificate of Completion for any Project Component, Developer shall procure and maintain, at its sole cost and expense, in a form and content satisfactory to City Manager, "All Risks" property insurance on a replacement cost basis in an amount equal to full replacement cost of the applicable Project Component, as the same may change from time to time. The above insurance policy or policies shall contain no coinsurance provision. 3.10.3 Additional Insurance Requirements. The following additional requirements shall apply to all of the above policies of insurance: All of the above policies of insurance shall be primary insurance and, except the Worker's Compensation and All Risks insurance, shall name City and City's officers, officials, members, employees, and representatives as additional insureds. To the extent allowable by applicable law, the insurer shall waive all rights of subrogation and contribution it may have against City and City's officers, officials, members, employees, and representatives, and their respective insurers. All of said policies of insurance shall provide that said insurance may not be cancelled without providing thirty (30) days' prior written notice to City (ten (10) days for non-payment of premium). In the event any of said policies of insurance are cancelled, Developer shall, prior to the cancellation date, submit new evidence of insurance in conformance with this Section to the City Manager. Not later than the Development Agreement Reinstatement Date, Developer shall provide the City Manager with certificates of insurance or appropriate insurance binders evidencing the above insurance coverages and said certificates of insurance or binders shall be subject to the reasonable approval of the City Manager. The policies of insurance required by this Agreement shall be satisfactory only if issued by companies (i) licensed and admitted to do business in California, rated "A" or better in the most recent edition of Best Rating Guide, The Key Rating Guide or in the Federal Register, and only if they are of a financial category Class VII or better, or (ii) authorized to do business in California, rated "A+" or better in the most recent edition of Best Rating Guide, The Key Rating Guide, or in the Federal Registry and only if they are of a financial category Class XV. Notwithstanding the foregoing, in the event that the policies required hereunder are not available from such insurers at commercially reasonable rates, the City Manager shall have the authority, in his or her sole and absolute discretion, to waive one or more of such requirements provided the proposed policies will adequately protect City's interests hereunder. City may reasonably require coverage increases, provided that the percentage increase in coverage shall not be required to exceed the percentage increase in the Consumer Price Index published by the United States Department of Labor, Bureau of Labor Statistics, for Urban Wage Earners and Clerical Workers, for the Riverside -San Bernardino -Ontario statistical area (the "Index") from and after the date of this Agreement, or, if said Index is discontinued, such official index as may then be in existence and which is most nearly equivalent to said Index (the "CPI Adjustment"). Unless otherwise approved in advance by the City Manager, the insurance to be 698/015610-0207 22795466.2 a09/18/25 -50- 95 provided by Developer may provide for a deductible or self -insured retention of not more than Two Hundred Fifty Thousand Dollars ($250,000); provided, however, that the deductible or self -insured retention for the earthquake coverage may be up to, but not exceed, ten percent (10%) of the replacement cost of the damaged Project or portions thereof. Developer agrees that the provisions of this Section shall not be construed as limiting in any way the extent to which Developer may be held responsible for the payment of damages to any persons or property resulting from Developer's activities or the activities of any person or persons for which Developer is otherwise responsible. 4. FINANCING THE PROJECT 4.1 Developer To Pay All Costs and Expenses for the Project. The Parties agree that City shall not provide any financial assistance to Developer in connection with the Project except as may be expressly set forth in this Agreement. Developer shall be solely responsible for paying for the costs of all design work, construction, labor, materials, fees and permit expenses associated with the Project and developer and use of the Property (providing that the foregoing shall not preclude Developer from applying for and obtaining any government grants). Developer shall pay any and all fees pertaining to the review and approval of the Project by any federal, state, or local governmental agency (where Developer's payment to City for Processing Fees and Impact Fees shall be as set forth in this Agreement) and utility service providers, including the costs of preparation of all required construction, planning and other documents reasonably required by any federal, state, or local governmental agency (where Developer's payment to City for Processing Fees and Impact Fees shall be as set forth in this Agreement) pertinent to the development or operation of the Project on the Property, such as, but not limited to, specifications, drawings, plans, maps, permit applications, land use applications, zoning applications, environmental review and disclosure documents and design review documents. Developer shall pay for any and all costs, including, but not limited to, the costs of securing of permits for any and all "wet and dry" utilities (such as, but not limited to, water, sewer, electric, gas) or other utility improvements and connections, that may be required in development of the Project, whether located on or off of the Property. Developer shall apply for and obtain any and all necessary permits, licenses, approvals and/or entitlements prior to the commencement of applicable portions of construction for the various Project Components, and Developer shall take reasonable precautions to ensure the safety of surrounding properties (including the Phase 2 Property, City - Owned Golf Course Property, and City -Owned Ahmanson Ranch Property) during said construction. 4.2 Submittal of Final Project Budget. If not previously delivered to City, Developer shall deliver, no later than thirty (30) days prior to the commencement of construction on any Project Component, the Final Project Budget therefor. Developer shall deliver to City any updates and 698/015610-0207 22795466.2 a09/18/25 -51 - •0 supplements to the Final Project Budget for informational purposes from time to time with respect to each Project Component being developed at the applicable time. The Final Project Budget may separate estimated costs and expenses for completion of development of the Project Components on the Phase 1A Property and the Project Components on the Phase 1 B Property (or there may be separate Final Project Budgets for one (1) or more separate Project Components). Additionally, Developer may defer or supplement the Final Project Budget estimated costs and expenses for the Project Components on the Phase 1 B Property to coincide when, in accordance with the Project Milestones, Developer applies for the required permits, licenses, approvals and entitlements (including a City -issued Site Development Permit) for the Project Components on the Phase 1 B Property. Without limiting the foregoing, if so elected by Developer, the Final Project Budget may combine Phase 1 B and Phase 2 Pre -Closing Work if Developer satisfies the provisions and requirements in Section 3.1.5(B) of this Agreement. 4.3 City Approval for Financing and Investment in the Protect Components. Developer shall have the obligation, until the final Certificate of Completion is issued by City and recorded against the final Project Component on the Property, to obtain City approval (which shall not be unreasonably withheld, delayed or conditioned) for any and all financing proposed to fund the development of the Project and each Project Component, other than with respect to Loans made by Permitted Lenders (including but not limited to debt and equity financing) that satisfy the Eligibility Requirements. Prior to the commencement of construction on any Project Component, Developer shall have (or have access to) one hundred percent (100%) availability of funds and financing for the completion of construction of that Project Component. Developer shall propose for City review and approval (if applicable pursuant to this Agreement) financing that would attach to a specific Project Component (or more than one (1) Project Component) including with respect to the Phase 1A Property and/or Phase 1 B Property. Developer shall deliver to City any proposed financing term sheet, commitment, letter of intent or similar instrument (which may be non -binding and with economics and other terms that Developer reasonably deems to be confidential redacted), along with the proposed Loan Documents for the financing that would attach to any financing for the Luxury Hotel Project Component and Public Golf Clubhouse Project Component, no later than thirty (30) days (or otherwise as soon as available if not available at such time) prior to Developer's anticipated closing of escrow of any such Loan. For the financing of each and every Project Component, the following general provisions shall apply: 4.3.1 Project Components Financing. For any Project Component financing, Developer shall have (or Developer's Affiliates or direct or indirect investors shall collectively have) the Required Equity (as defined below), or Developer or its Affiliates shall have entered into a joint venture agreement with one (1) or more Permitted Transferees who have (or whose Affiliates or direct or indirect investors shall collectively have) the Required Equity in its possession 698/015610-0207 22795466.2 a09/18/25 -52- 97 or readily available (including, without limitations, through capital or similar commitments from investors). As used in this Section, the term "Required Equity" means sufficient equity capital to pay for one hundred percent (100%) of the difference between (a) the expected hard and soft costs to complete construction of the applicable Project Component(s) for the applicable portion of the Property to be paid for therewith as reasonably estimated by Developer, and (b) the amount of a Construction Loan available to Developer for the construction of said Project Component(s). 4.3.2 Master Site Infrastructure Improvements Financin Developer may finance the Master Site Infrastructure Improvements for the Property or any portion thereof (including with respect to the Phase 1 B Property) separately from the development and construction of any other Project Component. Developer shall submit to City evidence that Developer (i) has obtained or will have obtained financing from a Lender necessary to undertake the installation and construction of the Master Site Infrastructure Improvements for any particular portion of the Property (such as the Phase 1 B Property) in accordance with this Agreement, which may be in the form of a commitment, a term letter, letter of intent or such other form (which may be non -binding), with economics and other terms Developer deems to reasonably be confidential redacted, with all such forms to be approved by City, provided that such approval may not be unreasonably withheld, conditioned or delayed (each, generally referred to as an "Infrastructure Loan") if such Loan is being made by a Person other than a Permitted Lender; and (ii) has obtained or has access to the applicable Required Equity (with such equity capital the "Developer's Master Site Infrastructure Improvements Equity Contribution"). If City shall disapprove any such evidence of financing (when such approval is required pursuant hereto), City shall do so by written notice to Developer stating with reasonable specificity the reasons for such disapproval, and Developer shall promptly obtain and submit to City new evidence of financing. 4.3.3 Construction and Infrastructure Loans; Authorized Liens; Phase 1 A Property and Phase 1 B Property. Any Construction Loan Deed of Trust and any Infrastructure Loan Deed of Trust shall be recorded in the Recorder's Office against the Property (or portion thereof selected by Developer which, for the avoidance of doubt, may include all or portions of the Phase 1 B Property and/or other portions of the Property as being collateral for any Project Components). Notwithstanding any provisions in any loan documents for a Construction Loan or Infrastructure Loan, this Reinstated Development Agreement shall have priority and remain with priority over any and all Construction Loan Deed of Trust and Infrastructure Loan Deed of Trust recorded against the Phase 1A Property (or any portion thereof) subject to the terms hereof or as otherwise agreed between the City, the applicable Lender and Developer. Any Construction Loan Deed of Trust and any Infrastructure Loan Deed of Trust shall be recorded in the Recorder's Office against the Property (or portion thereof selected by Developer which, for the avoidance of doubt, may include the Phase 1A 698/015610-0207 22795466.2 a09/18/25 -53- •., Property and/or other portions of the Property as being collateral for any Project Components). Notwithstanding any provisions in any loan documents for a Construction Loan or Infrastructure Loan or other Loan, this Reinstated Development Agreement shall have priority and remain with priority over any and all Liens (including a Construction Loan Deed of Trust or Infrastructure Loan Deed of Trust) recorded against the Phase 1A Property (or any portion thereof) subject to the terms hereof or as otherwise agreed between the City, the applicable Lender and Developer. 4.3.4 Unauthorized Liens Prior to ComDletion of Proiect Components. With respect to the Phase 1A Property, until the Certificate of Completion for all Project Components on the Phase 1A Property has been issued by City and recorded against the Phase 1A Property pursuant to this Agreement, and (b) with respect to the Phase 1 B Property, until the Certificate of Completion for all Project Components on the Phase 1 B Property has been issued by City and recorded against the Phase 1 B Property pursuant to this Agreement, then, except as provided in Section 4.3.3 above, Developer shall not record, and shall not allow to be recorded, against the Property, or any portion thereof, any monetary Lien in violation of the terms of this Agreement. Developer shall remove, or shall have removed, any such unauthorized monetary Lien made or recorded against the Property or any portion of the Property in violation of this Agreement, or shall assure the satisfaction thereof to the reasonable satisfaction of the City. After ninety (90) calendar days prior written notice to the Developer, City shall have the right, but not the obligation, to satisfy any such unauthorized monetary Lien made or recorded prior to recordation of the applicable Certificate of Completion and receive reimbursement from the Developer for any amounts paid or incurred in satisfying any such Lien, upon demand; provided, however, that nothing in this Section 4.3.4 shall require the Developer to pay or make provisions for the payment of any tax, assessment, Lien, or charge that Developer is in the process of contesting the validity or amount thereof, in good faith, and so long as such contest shall not subject the Property, or any portion thereof, to forfeiture or sale. 4.3.5 Riahts of Lenders and Citv Reaardina Permitted Loans and Liens. (A) City shall have the right of reasonable review and approval of any Lender from which Developer proposes to obtain either a Construction Loan or Infrastructure Loan other than a Permitted Lender, whether or not such loan is secured by a Lien against the Property or any portion thereof. City shall not unreasonably withhold, condition or delay its approval of any proposed Lender or Construction Loan or Infrastructure Loan where the City's approval thereof is required under this Agreement. In deciding whether to give, condition or withhold such approval, City may consider, among other matters, whether or not the proposed Lender is a state or federally chartered bank, savings and loan, or other financial institution which routinely provides construction financing to development projects such as the Project (or applicable Project Component), whether the terms of the Construction Loan or Infrastructure Loan are reasonable and customary when compared to the financing terms of similar development projects in Riverside County, CA, the size and financial 698/015610-0207 22795466.2 a09/18/25 -54- •• strength of the proposed Lender, and what effect, if any, any changes requested by the Lender to either this Agreement or any of the exhibits to this Agreement may have upon the City's rights and remedies hereunder. With respect to any Loan, Developer shall advise City in writing of any amendments, modifications (including Insubstantial Modifications as authorized by this Agreement), or other changes to this Agreement or its exhibits (or related agreements) which the proposed Lender will request in connection with the Developer's obtaining of such Loan. City agrees to reasonably consider, but shall not be obligated to accept, any amendment, modification, or other change to this Agreement or any of the exhibits to this Agreement which either (i) is consistent with the provisions governing Insubstantial Modifications (set forth in this Agreement), or (ii) does not materially adversely restricts, diminishes, or burdens the City's rights and remedies, or both. (B) Whenever City delivers any notice or demand to Developer regarding any Default or MAE Default by the Developer under this Agreement or any other La Quinta Amended Development Documents, City shall send a copy of such notice to each affected Lender of which City has received notice and a contact address for transmittal of such notices. Each affected Lender receiving a copy of any such notice shall have the right, at its option, to commence the cure or remedy of any such Default or MAE Default of Developer and to diligently and continuously proceed with such cure or remedy, within sixty (60) calendar days following its receipt of notice of the default. If a default of the Developer under this Agreement cannot, with diligence, be remedied or cured, or the remedy or cure of such default cannot be commenced, within such sixty (60) calendar day period, Lender shall have such additional time as is reasonably necessary to remedy or cure such default of the Developer, but in no event beyond one hundred eighty (180) calendar days following its receipt of notice of the default. If such Default or MAE Default of Developer can only be remedied or cured by the Lender upon obtaining possession of the Property (or portion thereof to cure the identified default), the Lender shall seek to obtain possession of the Property with diligence and continuity through a receiver or otherwise, and shall remedy or cure such Default of Developer within sixty (60) calendar days after Lender, its designee or a purchaser of foreclosure obtaining possession of the Property. Nothing contained in this Agreement shall be deemed to permit or authorize any Lender, its designee or a purchaser of foreclosure to undertake or continue the construction of any portion of the Project (beyond the extent necessary to conserve or protect improvements or construction already made), without expressly assuming Developer's obligations under this Agreement by written agreement evidencing such assignment and assumption delivered to the City and in substantially the form of Exhibit L attached hereto as reasonably modified at such Lender's request and approved by City (in its reasonably discretion), in which the Lender, its designee or a purchaser of foreclosure agrees to complete, in the manner provided in this Agreement, the improvements to which the Lien or title of such Lender relates. (C) In any case where a Lender, its designee or a purchaser of foreclosure has acquired title to all or any portion of the Property or Project through 698/015610-0207 22795466.2 a09/18/25 -55- 100 foreclosure, deed in lieu of foreclosure, or any other means, and such Lender, its designee or a purchaser of foreclosure proposes to enter into an agreement to transfer the Property and/or Project, or any portion thereof, to a third -party transferee, the Lender, its designee or a purchaser of foreclosure shall provide City with written notice thereof, which notice shall include a reasonably detailed description of the terms and conditions of the proposed transaction. City shall have the right, but not the obligation, to purchase the Property and/or Project (or portion thereof) on substantially the same terms as described in the Lender's notice (and in all events the same time period as well as pricing and other economic terms), which option, if ever such option arises, shall be exercised by written notice from City to the Lender within sixty (60) calendar days following City's receipt of the Lender's notice. If City elects not to exercise its option, then, subject to City's right to review and approve the transaction if the transferee is not a Permitted Development/Operational Transferee and the execution by the third -party transferee of an Assignment and Assumption Agreement as provided in this Agreement, then the Lender, its designee or a purchaser of foreclosure may complete the transaction described in its notice, provided that such transaction is closed on materially identical terms and conditions as those described in the Lender's notice to City. If the Lender, its designee or a purchaser of foreclosure and third -party transferee desire to materially amend the terms of their proposed transaction, the Lender, its designee or a purchaser of foreclosure shall give City written notice of the proposed modifications and City shall once again have the right to elect to acquire the Property and the Project (or portion thereof) on terms set forth in this Section 4.3.5(F). If, for any reason, the proposed transaction between the Lender, its designee or a purchaser of foreclosure and third party transferee fails to close within two hundred seventy (270) days following the date on which the City first receives notice of the proposed transaction (or notice of the proposed modified transaction, whichever is later), then City once again have the right to elect to acquire the Property and/or Project pursuant to this Section 4.3.5(C). 4.3.6 Permanent Financing Loans. After a Certificate of Completion has been recorded against a Project Component for the Phase 1A Property, Developer may obtain permanent/conversion financing Loan(s) or other type of Loan(s) for that Project Component (each, a "Permanent Financing Loan"), which would attach to the ownership and operations for any Project Component(s) selected by Developer (so long as the applicable Lender is a Permitted Lender). Other than with respect to a Permanent Financing Loan provided by a Permitted Lender, Developer shall deliver to City any proposed financing term sheet, commitment, letter of intent or similar instrument (with economics and other terms that Developer reasonably deems to be confidential redacted) no later than thirty (30) days prior to Developer's anticipated closing of escrow of such Loan(s). With respect to any Loan with a Lender that is not a Permitted Lender, City shall, in its reasonable discretion, approve or disapprove such evidence of financing within fifteen (15) days after receipt of such financing proposal. If City shall disapprove any such financing, City shall do so by written notice to Developer stating with reasonable specificity the reasons for such disapproval. 698/015610-0207 22795466.2 a09/18/25 -56- 101 4.3.7 Delivery to Citv of Anv Notice of Default from Anv Lender. For the duration of the Term of this Agreement, Developer shall have a continuing obligation to immediately deliver to City, and in no event deliver to City later than five (5) calendar days after Developer's receipt, a copy of any notice of default or notice of breach of any loan documents or any other material contracts purported to be or actually secured by a Lien or other recorded instrument against the Property (or any portion thereof), including notices of default on any loan documents secured by any Construction Loan Deed of Trust, Infrastructure Loan Deed of Trust, or Permanent Financing Loan Deed of Trust, or subject to any mechanics liens which are not removed or bonded over in the manner to preserve the priority of this Agreement. It is expressly understood by the Parties that prompt delivery of any such notice of default or notice of breach is a material term of this Agreement. City shall have any and all rights available under this Agreement if Developer fails to promptly deliver an such notice of default or notice of breach as required by this Section. 4.3.8 Notifications to City on Any Liens to be Recorded on Property. As part of the regular updates to the City Manager pursuant to Section 3.8 of this Agreement, Developer shall, to the extent Developer has actual knowledge thereof, deliver to the City Manager regular updates as to any Liens anticipated to be recorded against the Property (or any portion thereof), including any anticipated Construction Loan Deed of Trust for the construction of a specific Project Component, as well as regular updates as to all existing Liens recorded against the Property (or any portion thereof) and status of repayment of any existing Loan subject to a Lien recorded against the Property (or any portion thereof). Until the issuance and recording of a Certificate of Completion for an applicable Project Component, Developer shall have a duty to regularly review preliminary title reports or other similar reports that would disclose any documents recorded against fee title for the applicable Project Component. The City Manager, on behalf of the City, and Developer shall meet and confer to decide an appropriate method for the City Manager to receive notice of any anticipated Liens to be recorded against the Property (or any portion thereof) prior to that Lien being recorded so that the City is aware of the Lien and the amount of any Loan it is intended to secure, in each case to the extent Developer has actual knowledge of any such Lien prior to such Lien being recorded. 4.4 City Financial Assistance. Subject to Developer's continued performance under this Agreement and compliance with the Project Approvals, and Developer not being in MAE Default of this Agreement (after the expiration of all notice and cure periods), the only financial assistance provided to Developer by City shall be the TOT rebate as provided for in the TOT Covenant Agreement and the potential purchase price for the City -Owned Option Property as provided for in the Option Agreement, and the transfer of the City -Owned Golf Course Property and City -Owned Ahmanson Ranch as provided in this Agreement. 698/015610-0207 22795466.2 a09/18/25 -57- 102 With respect to the TOT rebate, and as more particularly set forth in the TOT Covenant Agreement, only the Phase 1A Property shall be subject to its terms and conditions. The Phase 1 B Property, and all Project Components on the Phase 1 B Property, shall not be subject to the TOT Covenant Agreement. No other potential or actual financial assistance from City is contemplated by this Agreement or otherwise available to Developer. Notwithstanding any provisions in this Agreement to the contrary, any additional financial assistance from City may only be approved as amendment and may not be processed or approved as an Insubstantial Modification. 5. AUTHORIZED USES AND OPERATIONS ON THE PROPERTY 5.1 General Obligation for Developer and Successors and Assigns. Upon completion of construction and development of the Property, and each portion thereof, the Property shall be used for the Project Components (and ancillary purposes) as more particularly described in the Site Maps, Project Description, Scope of Work, Schedule of Performance, this Agreement and other Project Approvals. 5.1.1 Luxury Hotel. During the Term of this Agreement, Developer shall have at least one luxury hotel with first-class amenities and uses complementary to the Golf Course and surrounding SilverRock Resort Area, as approved by City as part of the Project Approvals. Developer shall have the obligation to ensure the luxury hotel generates TOT on a regular and continuous basis upon completion of construction and the opening thereof, with allowances for areas to be temporarily closed for maintenance and repair and, upon receiving any required permit, license, approval or entitlement (such as a building permit), rehabilitation or remodeling and other commercially reasonable business related to the operation of the Property. Developer shall submit to City from the proposed hotel operator (a "Hotel Operator") documentation (which may be a term sheet, letter of intent or other non- binding instrument, as long as the final agreement or evidence of the final agreement is delivered to City for confirmation of a binding agreement that corresponds to the statements made in a term sheet, letter of intent or other non -binding instrument) confirming certain of the basic terms and conditions pursuant to which the Hotel Operator will operate and manage the Luxury Hotel, any residential dwellings (including single-family and condominium units) operated in connection with the Luxury Hotel, and certain other related Project Components if so determined by Developer, but excluding any information reasonably designated proprietary or otherwise confidential by the Hotel Operator or Developer (the "Hotel Management Documentation"), with respect to which economic terms may be redacted. The Hotel Operator and Hotel Management Documentation shall not be subject to the City's approval if the Hotel Operator is a Permitted Hotel Operator provided that City's approval of the Hotel Management Documentation and Hotel Operator shall be required if the Hotel Operator is not a 698/015610-0207 22795466.2 a09/18/25 no 103 Permitted Hotel Operator, which approval shall not be unreasonably withheld, conditioned or delayed. 5.1.2 Residential Uses on the Property. The total number, location, distribution, density, and intensity of residential units on the Property shall be generally consistent with the Site Maps, Project Description, Scope of Work, this Agreement and other Project Approvals. As depicted in the Site Maps and Project Approvals, as the same may be updated or amended from time to time consistent with the terms of this Agreement, the residential portions of Project shall consist of residential single-family dwellings, luxury condominium dwelling units, residential and hotel amenities, and other residential dwelling units consistent with the Project Approvals, all of which shall be specifically developed and available for residential purposes, and may be the residents' primary residences or secondary residences, and may be available for long-term and short-term rentals. All residential dwellings, of whatever type, available for use for short-term vacation rentals shall be subject to the provisions in Section 5.2 of this Agreement. The parties acknowledge and agree that Developer may elect to combine Phase 1 B and Phase 2 Pre -Closing Work if Developer satisfies the provisions and requirements in Section 3.1.5(B) of this Agreement. 5.1.3 Golf Course and Ahmanson Ranch Uses. Except during any permitted closures of the Golf Course as reasonably determined by Developer, Developer shall have open and continuously have available for operation and use a public golf clubhouse to serve the Golf Course, which at a minimum shall be open and available for members of the public, and which shall be a part of the Public Golf Clubhouse Project Component pursuant to this Agreement. Developer shall have the obligation to allow for use and occupancy of the City -Owned Golf Course Property consistent with the Reinstated Covenant Affecting Real Property (Golf Course Use) and Reinstated Covenant Affecting Real Property (Ahmanson Ranch House), with said covenants to run with the land and remain operative upon any conveyance and transfer of the City -Owned Golf Course Property and/or City -Owned Ahmanson Ranch Property in accordance with this Agreement, and remain operative upon the expiration or early termination of this Agreement. 5.1.4 SilverRock Resort Area Perimeter Landscaping. Developer shall have the obligation to construct, install and/or enhance, maintain and repair the perimeter landscaping of the SilverRock Resort Area along the Specific Plan frontage on Avenue 52 from the western boundary to the eastern boundary of the City park. If Developer meets the conditions precedent to exercising the option and validly exercises the option to purchase the City -Owned Option Property (Phase 2 Property) and acquires fee title to the Phase 2 Property pursuant to the Option Agreement, then, upon transfer to Developer of the City -owned Phase 2 Property that bounds the perimeter of the SilverRock Resort Area along Jefferson Street and Avenue 698/015610-0207 22795466.2 a09/18/25 -59- 104 52, Developer will assume responsibility to maintain and repair the perimeter landscaping in that remaining portion of the SilverRock Specific Plan area. 5.2 Short -Term Vacation Rentals/Transient Occupancy Taxes. Subject to the terms of this Agreement and this Section 5.2, Developer shall have a vested right to use all residential dwellings in the Project as short-term vacation rentals for the Term of this Agreement, and this vested right shall inure to Developer's successor in interest to and manager of the Luxury Hotel (who shall be the Permitted Hotel Operator) and shall have the right to manage the number and location of short- term vacation rentals to avoid adverse impacts to the Luxury Hotel operations and to the community. As such, the rights and obligations under Section 5.2 shall survive the sale of each residential unit to a third -party homebuyer and termination of this Agreement to each such completely constructed residential unit. Except to the extent expressly provided otherwise in this Agreement, the City shall not impose on or apply to the Project (whether by action of the Council, or other legislative body, or by initiative, referendum, or other measure) any ordinance, resolution, standard, directive, condition, or other measure that is in conflict with this provision or that would materially interfere with Developer's right to apply for and operate short-term vacation rentals in all residential units within the Project. All short-term vacation rentals shall be subject to the following: 5.2.1 Definitions. As used in this Agreement, the term "short-term vacation rental" shall mean and refer to a "short-term vacation rental unit" as that term is defined in Section 3.25.030 of the La Quinta Municipal Code (or successor provision). 5.2.2 Short -Term Vacation Rental Use. Except as modified by this Section 5.2, all short-term vacation rentals shall comply with the Short -Term Vacation Rental Regulations in effect for the duration of the Term of this Agreement, including the penalties for violations. All short-term vacation rentals developed on the Property as part of the Project shall be permitted in accordance with the Short -Term Vacation Rental Regulations. No residential dwelling developed on the Property as part of the Project may be used for short-term vacation rental purposes unless the residential dwelling has a valid short-term vacation rental permit. If the Short -Term Vacation Rental Regulations (or any provisions therein) are repealed for any reason, then the Short -Term Vacation Rental Regulations (or applicable repealed provisions therein) that were most recently in effect prior to being repealed shall govern and shall remain applicable for the balance of the Term of this Agreement. For reference purposes only, the Short -Term Vacation Rental Regulations (Chapter 3.25 of the La Quinta Municipal Code) as it exists as of the Reference Date is attached as Exhibit M. 698/015610-0207 22795466.2 a09/18/25 W 105 5.2.3 CC&Rs Include Reauirements for Short -Term Vacation Rentals. All CC&Rs required to be recorded pursuant to Section 3.5 of this Agreement where residential uses are allowed and/or where residential dwellings are located shall expressly provide that short-term vacation rentals are an authorized use for all residential units, subject to management and control of the number, location and operation of such short-term vacation rentals by Developer and its successor in interest with respect to the applicable Project Component. All such CC&Rs shall state the operational requirements and standard conditions applicable to short-term rentals for all residential dwellings subject to those CC&Rs. Developer shall execute and record or cause to be recorded in the Recorder's Office, against each and every separate legal parcel and lot subdivided for residential uses on the Property (including all Project Tract Maps and subdivision maps listed as part of the Pre -Bankruptcy Subdivision Maps and Permits) a declaration of covenants, conditions, and restrictions (in a form approved by the City Manager and City Attorney prior to its recording, which approval shall not be unreasonably withheld, delayed or conditioned), which shall run with the land, and shall be binding upon, and place on notice, any and all owners of the separate legal residential lots of the requirements set forth in this Section 5.2. The declaration of covenants, conditions, and restrictions shall expressly provide that short-term vacation rentals are an allowed use for every residential dwelling within Project (i.e., within the homeowner's association subject to the declaration) subject to management and control of the number, location and operation of such short-term vacation rentals by Developer and its successor in interest with respect to the applicable Project Component. The requirements of this Section may be satisfied by including the terms and conditions required herein in the CC&Rs required to be recorded pursuant to Section 3.5 of this Agreement. 5.2.4 Permittina and Related Reauirements. All residential dwellings used for short-term vacation rentals shall be subject to the following permitting and use requirements: (A) Annual permitting fees consistent with the City's fee program; (B) Any rental or occupancy of thirty (30) nights or less to be subject to the City's then -current TOT for short-term vacation rentals; (C) Rental or occupancy agreements, and material renter or occupant information, shall be retained for a minimum of three (3) years (or other retention period as maybe approved by City policy or code) by Developer or Developer's authorized management company for the short-term vacation rentals; (D) Subject to applicable federal or state law or regulation, occupancy in any residence, including residences used as short-term vacation rentals, shall be capped at two (2) persons per bedroom, plus one (1) person; provided, 698/015610-0207 22795466.2 a09/18/25 -61- 106 however, that there may be an increase in occupancy allowances for permitted short- term vacation rentals as set forth in the Short -Term Vacation Rental Regulations in effect as of the date of the issued permit, or, if the Short -Term Vacation Rental Regulations (or relevant provisions regarding occupancy allowances) are repealed for any reason during the Term of this Agreement, then the occupancy allowances for permitted short-term vacation rentals shall be the Short -Term Vacation Rental Regulations most recently in effect prior to being repealed and shall remain applicable for the balance of the Term of this Agreement. 5.2.5 Short -Term Vacation Rental Centralized Management Obligations; Rental Management Program(s). (A) In order to ensure the timely collection and reporting of the applicable transient occupancy taxes, and compliance with the applicable operational requirements and conditions set forth in the Short -Term Vacation Rental Regulations, Developer or its successor or assignee (including, for instance, the Permitted Hotel Operator) shall be the "authorized agent or representative" (as that term is defined in the Short -Term Vacation Rental Regulations, or, if the definition is removed during the Term of this Agreement, as defined in Chapter 3.25 as of the Effective Date of this Agreement) for all short-term vacation rentals and short-term vacation rental permits within the Project, including but not limited to applying for and managing all short-term vacation rental permits, making all reservations and payments, and ensuring compliance with all other requirements of the Short -Term Vacation Rental Regulations, and shall do so exclusively through a central rental operator pursuant to this Agreement; provided, however, that the "residence owner" (in this context, means the owner of a residential unit with a short-term vacation rental permit, as that term is defined in the Short -Term Vacation Rental Regulations, or, if the definition is removed during the Term of this Agreement, as defined in Chapter 3.25 as of the Effective Date of this Agreement, and hereinafter defined as "residence owner") shall remain ultimately obligated as the holder of the short-term vacation rental permit for any and all remedial actions necessary for compliance with the Short -Term Vacation Rental Regulations and this Agreement, including but not limited to the payment of any fines or recorded liens or any other violations for non-compliance; and, provided further, that the residence owner shall have a process available, through an independent arbitrator or neutral decision - maker designated by the residence owner or homeowner's association ("HOX) of which the residence owner is a member, to petition for a change of that residence owner's "authorized agent or representative" because the residence owner demonstrates, with a preponderance of evidence, that the "authorized agent or representative," designated by Developer or its successor or assignee, has failed to perform its duty to ensure compliance with all other requirements of the Short -Term Vacation Rental Regulations for that residence owner's short-term vacation rental unit. Nothing contained herein shall be construed to give any homeowner the right to use its property for a short term vacation rental without the express consent of Developer (or its successor or assignee with respect to the applicable Project Component). To the extent any provisions of this Agreement pertaining to STVRs are determined to violate any provision of the Applicable Rules or other applicable laws or regulations, the parties 698/015610-0207 22795466.2 a09/18/25 -62- 107 shall meet and confer in good faith to attempt to agree on the necessary modifications to ensure compliance with all applicable laws and regulations with the minimum necessary modifications to the terms of this Agreement. (B) The CC&Rs as described in Section 5.2.3 of this Agreement shall include the terms and conditions, and detailed specifics for process and decision, whenever a residence owner may petition the HOA for a change in that residence owner's "authorized agent or representative" as required by this Section; the City Manager and City Attorney shall review and approve, in their reasonable discretion and not to be unreasonably delayed or denied, said terms and conditions in the CC&Rs that would apply if a residence owner were to petition the HOA for a change in that residence owner's "authorized agent or representative" as required by this Section. (C) With respect to the residential dwellings developed on the Phase 1A Property as part of the Phase 1A Luxury Residential Project Component, the Permitted Hotel Operator for the Luxury Hotel Project Component shall be approved for the short term vacation rental centralized management obligations set forth in this Agreement, it being expressly understood and agreed by the Parties that the Project contemplates the Phase 1A Luxury Residential Project Component to be integrated and available for short-term vacation rentals as part of the Luxury Hotel Project Component. (D) With respect to the residential dwellings developed on the Phase 1 B Property as part of the Phase 1 B Luxury Residential Project Component, the Permitted Hotel Operator for the Luxury Hotel Project Component shall be approved for the short term vacation rental centralized management obligations set forth in this Agreement. (E) Developer shall be responsible for ensuring that, for the Term of this Agreement, one or more contract(s) shall be in effect at all times which govern the terms and conditions governing the ability of owners of residential units to have the ability to make their units available for short-term rentals permitted by this Agreement and the CC&Rs. The contract or contracts may, but are not required to, be with an on -site rental management agent. Developer may assign this obligation in accordance with this Agreement, regardless of whether the obligation is incident of the transfer and assignment of the portions of the Property to which they relate. 5.2.6 Compliance with other City Municipal Codes. Short-term vacation rental uses are subject to all provisions of the La Quinta Municipal Code, including without limitation the City's noise compliance provisions set forth in Sections 9.100.210 and 11.08.040 (or successor provisions) of the La Quinta Municipal Code, and the transient occupancy tax (TOT) provisions set forth in Chapter 3.24 (or successor chapter of provisions) of the La Quinta Municipal Code. 698/015610-0207 22795466.2 a09/18/25 -63- 1: 5.3 Maintenance Covenants. Developer shall maintain or cause to maintained the Property and all improvements thereon, including all landscaping, streets, sidewalks, pathways and trails, in a first class condition, and in compliance with all Project Approvals and all applicable provisions of the Municipal Code. Developer may satisfy its obligations in this Section by transferring or assigning said obligations to a homeowners association pursuant to CC&Rs duly approved by City pursuant to this Agreement. 5.4 Obligation to Refrain from Discrimination. Developer covenants and agrees for itself, its successors, its assigns and all persons claiming under or through them to the Property or any part thereof, that there shall be no discrimination against or segregation of any person or group of persons on account of race, color, creed, religion, sex, marital status, ancestry or national origin in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Property, nor shall Developer itself, or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, or sublessees of the Property. The foregoing covenants shall run with the land and shall remain in effect in perpetuity. 5.4.1 Covenants Regarding Nondiscrimination. Developer covenants by and for itself and any successors in interest that there shall be no discrimination against or segregation of any person, or group of persons on any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the Property, or any part thereof, nor shall Developer, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessees or vendees of the Property, or any part thereof. The foregoing covenants shall run with the land. Developer agrees for itself and any successor in interest that Developer shall refrain from restricting the rental, sale, or lease of any portion of the Property, or contracts relating to the Property, on the basis of race, color, creed, religion, sex, marital status, ancestry, or national origin of any person. All such deeds, leases, or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: (A) In deeds: "The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in 698/015610-0207 22795466.2 a09/18/25 -64- 109 subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land." (B) In leases: "The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions: "That there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees in the premises herein leased." (C) In contracts: "There shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises which are the subject of this agreement, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land." 6. POTENTIAL CONDITIONAL TRANSFERS OF CITY -OWNED PROPERTIES As of the Reference Date, City owns fee title to the City -Owned Golf Course Property, City -Owned Ahmanson Ranch Property, and City -Owned Option Property (the last also defined herein as the Phase 2 Property). Subject to Developer being in full compliance with this Agreement and not being in MAE Default of this Agreement or any other La Quinta Amended Development Agreements and not be in violation of any Condition of Approval at the purported time of a Transfer if such violation would cause an MAE Default, Developer shall have the right to a Transfer from City to Developer of fee title to the City -Owned Golf Course Property, City -Owned Ahmanson Ranch 698/015610-0207 22795466.2 a09/18/25 -65- 110 Property, and City -Owned Option Property as more particularly described herein and in the Option Agreement. 6.1 City -Owned Golf Course Property and Ahmanson Ranch Property. Subject to Developer complying with the terms and conditions in this Agreement, the City -Owned Golf Course Property and City -Owned Ahmanson Ranch House Property shall be transferred together and, unless agreed to by the Parties, may not be Transferred separately. City shall Transfer to Developer the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property pursuant to and upon Developer's satisfaction of the following provisions: 6.1.1 Consideration for Transfer. In consideration of the conveyance from City to Developer of the City -Owned Golf Course Property, Developer shall have the obligation in perpetuity to operate, maintain, repair, improve, and continuously have available for use the Golf Course in accordance with the Reinstated Covenant Affecting Real Property (Golf Course Use). Developer shall have no obligation to pay monetary consideration for the Transfer of the City -Owned Golf Course Property; provided, however, City shall have no obligation to Transfer the City -Owned Golf Course Property if Developer is in MAE Default under this Agreement. Prior to conveyance of the Golf Course Property to Developer, City shall issue such temporary construction license or other access rights as may be reasonably requested by Developer to allow Developer to make such improvements and upgrades to the Golf Course as may be approved by the City (which approval shall not be unreasonably withheld, delayed or conditioned) so that such improvements can be completed prior to or concurrently with the opening of the Luxury Hotel for overnight guests. In consideration of the conveyance from City to Developer of the City -Owned Ahmanson Ranch Property, Developer shall have the obligation to use the Ahmanson Ranch House in accordance with the Reinstated Covenant Affecting Real Property (Ahmanson Ranch). Developer shall have no obligation to pay monetary consideration for the Transfer of the City -Owned Golf Ahmanson Ranch Property; provided, however, City shall have no obligation to Transfer the City -Owned Ahmanson Ranch Property if Developer is in MAE Default under this Agreement. Prior to conveyance of the Ahmanson Ranch House Property to Developer, City shall issue such temporary construction license or other access rights as may be reasonably requested by Developer to allow Developer to make such repairs and/or replacement of the existing Ahmanson Ranch House improvements as may be approved by the City so that such improvements can be completed prior to or concurrently with the opening of the Luxury Hotel for overnight guests. 6.1.2 City's Conditions Precedent to Transfer. The obligations of City under this Agreement to Transfer the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property shall be subject to the satisfaction or signed written waiver 698/015610-0207 22795466.2 a09/18/25 111 by City of each and all of the following conditions precedent (collectively, "Golf Course And Ahmanson Ranch Property Transfer Conditions"): (A) Construction of the Luxury Hotel Project Component has been substantially completed by the completion date in the Schedule of Performance (as a Project Milestone), as evidenced by the issuance by the City of a temporary or permanent certificate of occupancy, and the Luxury Hotel has been open to the general public or other designated guests (such as designated guests for a "soft opening" followed by an opening to the general public) with expectation of or actual payments to be received on a regular basis from guest of the Luxury Hotel; (B) The Public Golf Clubhouse Project Component has been substantially completed by the completion date in the Schedule of Performance (as a Project Milestone), and the Public Golf Clubhouse has been opened for business to the general public; (C) No less than five (5) months and no more than twelve (12) months prior to the anticipated date upon which Developer takes fee title to the City - Owned Golf Course Property and City -Owned Ahmanson Ranch Property, Developer has selected, and the City has approved (in its reasonable discretion) the golf course management company and form of operating and maintenance agreement to operate and maintain the Golf Course commencing from the date Developer takes fee title of the City -Owned Golf Course Property, so that Developer shall have received adequate prior experience for operating and maintaining the Golf Course and ensuring compliance with the Reinstated Covenant Affecting Real Property (Golf Course Use); for the purposes of this condition, City pre -approves the golf course management company that is responsible for the operations and maintenance of the Golf Course as of the Development Agreement Reinstatement Date; (D) City and Developer have entered into a mutually agreeable lease or license agreement, covering the time period between Transfer of the City - Owned Golf Course Property to Developer and the conveyance of the Phase 2 Property to Developer, with respect to the "Golf Course Driving Range Property" as defined in and more particularly described in Recital H of the Reinstated Covenant Affecting Real Property (Golf Course Use); (E) Based on the mutual agreement of the Parties, an escrow company has been selected to service the Transfer of the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property pursuant to this Agreement and any other agreements or escrow instructions mutually agreed upon by the Parties; (F) The Reinstated Covenant Affecting Real Property (Golf Course Use) has been fully executed and recorded against the City -Owned Golf Course Property, and the Reinstated Covenant Affecting Real Property (Ahmanson Ranch) has been fully executed and recorded against the City -Owned Ahmanson Ranch Property, and any assignment and assumption agreement(s) to any affiliate of Developer (that is a Permitted Transfer under this Agreement) are fully executed and in recordable form to 698/015610-0207 22795466.2 a09/18/25 -67- 112 be recorded in the Recorder's Office at the close of escrow for the Transfer from City to Developer of the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property. 6.1.3 Conditions on Title for City -Owned Golf Course Property. The Parties shall mutually agree upon a title company and obtain a preliminary title report describing the state of title of the City -Owned Golf Course Property and City - Owned Ahmanson Ranch Property, together with copies of all underlying documents. Developer may, at its sole cost and expense, obtain a current survey. The Parties shall mutually agree upon terms and conditions governing the condition of title and approvals to exceptions to title insurance that would be acceptable to Developer. In the absence of any such mutual agreement, the terms and conditions governing the title and title insurance matters in the form Agreement for Purchase and Sale and Escrow Instructions attached to the Option Agreement for the City -Owned Option Property shall govern. Except as may be expressly agreed upon by City in connection with the escrow servicing the Transfer of the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property (or as set forth in the immediately preceding paragraph or the Option Agreement), Developer acknowledges and agrees that the both the City - Owned Golf Course Property and City -Owned Ahmanson Ranch Property shall be Transferred and conveyed to Developer in its "AS IS," "WHERE IS" and "SUBJECT TO ALL FAULTS CONDITION," as of the date of recordation of the grant deeds conveying title to the same, with no warranties, expressed or implied, as to the environmental or other physical condition of the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property, the presence or absence of any patent or latent environmental or other physical condition on or in the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property, or any other matters affecting the City - Owned Golf Course Property and City -Owned Ahmanson Ranch Property (provided that the City shall insure that such property is not encumbered by any monetary liens). 6.1.4 Form of Grant Deed for Conveyance. Subject to the inclusion of the correct information relating to the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property (such as the correct legal descriptions), the forms of the grant deeds to Transfer and convey from City to Developer the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property shall be similar to the form of the Grant Deed attached to the Agreement for Purchase and Sale and Escrow Instructions attached to the Option Agreement for the City -Owned Option Property, unless the Parties agree to a different form for the grant deeds to Transfer and convey from City to Developer the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property. In clarification of the preceding sentence, there shall be one grant deed for the Transfer and conveyance of the City - Owned Golf Course Property, and another grant deed for the Transfer and conveyance of the City -Owned Ahmanson Ranch Property together with a bill of sale in customary form applicable to each such property. 698/015610-0207 22795466.2 a09/18/25 -68- 113 6.1.5 Maintenance and Operational Requirements upon Transfer. Upon fee title to the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property vesting in Developer in accordance with this Agreement, Developer shall have the following maintenance and operational requirements in addition to those applicable from the Project Approvals and relevant provisions in the La Quinta Municipal Code: (A) Operating and maintaining the Golf Course in first-class condition and in accordance with the Reinstated Covenant Affecting Real Property (Golf Course Use); (B) Operating and maintaining the Ahmanson Ranch House in first-class condition and in accordance with the Reinstated Covenant Affecting Real Property (Ahmanson Ranch); (C) Maintaining, repairing, and/or replacing (or contracting for the same) of the Golf Couse Wildlife Protection Fence, which at a minimum shall meet the applicable specifications and standards of the Coachella Valley Conservation Commission acting as authorized agent for the requirements and obligations of the Coachella Valley Multiple Species Habitat Conservation Plan and shall be in compliance with Mitigation Measures related to the protection of Bighorn Sheep set forth in that certain Mitigated Negative Declaration of Environmental Impact for Environmental Assessment 2002-435 (State Clearinghouse No. 1999081020); (D) Applying for and obtaining from City any and all permits, licenses, approvals and entitlements as owner of the City -Owned Golf Course Property and City -Owned Ahmanson Ranch Property, including business licenses required for the operation of uses pursuant to the Reinstated Covenant Affecting Real Property (Golf Course Use) and Reinstated Covenant Affecting Real Property (Ahmanson Ranch). 6.1.6 "Property" subject to this Reinstated Development Agreement. If fee title to the City -Owned Golf Course Property and/or City -Owned Ahmanson Ranch Property vests in Developer in accordance with this Agreement, then the Parties shall enter into and record in the Recorder's office an Insubstantial Modification (pursuant to this Agreement) that memorializes City's Transfer and conveyance to Developer of the City -Owned Golf Course Property and/or City -Owned Ahmanson Ranch Property, as applicable, so that the Developer -owned "Property" subject to this Agreement is acknowledged made a matter of public record. Furthermore, if fee title to the City -Owned Golf Course Property vests in Developer in accordance with this Agreement, then it is acknowledged and agreed that the Developer and City have entered into a mutually agreeable lease or license agreement with respect thereto 698/015610-0207 22795466.2 a09/18/25 114 6.2 City -Owned Option Property. The terms and conditions of any Transfer of the City -Owned Option Property (also referred to herein as the Phase 2 Property) from City to Developer shall be by purchase and sale and governed pursuant to the Option Agreement (and exhibits attached thereto). 6.2.1 Phase 2 Property Land Use Authorization. If Developer acquires the City -Owned Option Property pursuant to the Option Agreement, then the Applicable Rules and any applicable Project Approvals shall apply to the City -Owner Option Property. Nothing in this Agreement, however, precludes Developer from submitting applications or proposals for modifications to the Applicable Rules, which shall be subject to processing, review, and decision pursuant to applicable federal, state, and local laws, including CEQA and the La Quinta Municipal Code. 6.2.2 Amendment to this Agreement or New Development Agreement. If Developer acquires the City -Owned Option Property pursuant to the Option Agreement, then this Agreement shall be amended to include, among any other necessary or proper terms and conditions, a scope of work, schedule of performance and phasing of development, and the authorized uses (with necessary and appropriate covenants, conditions, and restrictions) for the Phase 2 Property. In the alternative to amending this Agreement, Developer may apply for a new development agreement governing only the Phase 2 Property, which shall be processed and reviewed in accordance with the Development Agreement Act and Development Agreement Ordinance, and shall include, among any other necessary or proper terms and conditions, a scope of work, schedule of performance and phasing of development, and the authorized uses (with necessary and appropriate covenants, conditions, and restrictions) for the Phase 2 Property. Reciprocal rights relating to the Phase 1 Property and Phase 2 Property, such as reciprocal access and use of trails, streets, and other areas open and available to the public shall be addressed, as necessary and proper. Whether this Agreement is amended or a new development agreement is to govern the Phase 2 Property, said amendment or new development agreement shall be effective and operative, and recorded in the Recorder's Office, on the date fee title to the Phase 2 Property vests with Developer by conveyance of the grant deed attached to the Agreement for Purchase and Sale and Escrow Instructions attached to the Option Agreement. Furthermore, said amendment or new development agreement shall be with priority and shall remain with priority over any other recorded document or instrument for the Phase 2 Property. 6.2.3 Lease or License for Golf Course Driving Range Property. Prior to the date fee title to the Phase 2 Property vests with Developer, City and Developer shall enter into a mutually agreeable lease or license agreement, covering the time period between Transfer of the City -Owned Golf Course Property to Developer 698/015610-0207 22795466.2 a09/18/25 -70- 115 and the conveyance of the Phase 2 Property to Developer pursuant to the Option Agreement, for the "Golf Course Driving Range Property" as defined in and more particularly described in Recital H of the Reinstated Covenant Affecting Real Property (Golf Course Use). 7. CITY'S OBLIGATIONS 7.1 Scope of Subseauent Review/Confirmation of Compliance Process. Except as expressly provided for in this Agreement, nothing set forth herein shall impair or interfere with the right of City to require the processing of any and all permits, licenses, approvals and entitlements (including site development permits and building permits) as required by federal, state, and local law, including the applicable provisions of the La Quinta Municipal Code, Uniform Codes, Map Act, California Government Code, California Health and Safety Code, and CEQA. In connection with Developer's right to make repairs, improvements, and upgrades to the Ahmanson Ranch House and the Golf Course while still owned by City, in addition to grating temporary construction licenses or other use rights as provided herein, City shall also reasonably cooperate with Developer in seeking all necessary permits and approvals for the proposed work, including but not limited to signing applications and other documents as the property owner, which cooperation shall be at no material cost to City. 7.2 Project Approvals Independent. All approvals required for the Project which may be or have been granted, and all land use entitlements or approvals generally which have been issued or will be issued by City with respect to the Project, constitute independent actions and approvals by City. If any provision of this Agreement or the application of any provision of this Agreement to a particular situation is held by a court of competent jurisdiction to be invalid or unenforceable, or if this Agreement terminates for any reason, then such invalidity, unenforceability or termination of this Agreement or any part hereof shall not affect the validity or effectiveness of any Project Approval or other land use permits, licenses, approvals and entitlements. In such cases, such approvals and entitlements will remain in effect pursuant to their own terms, provisions, and the Conditions of Approval. It is understood by the Parties that pursuant to existing law, if this Agreement terminates or is held invalid or unenforceable as described above, such permits, licenses, approvals and entitlements shall not remain valid for the term of this Agreement, but shall remain valid for the term of such permits, licenses, approvals and entitlements. 7.3 Review for Compliance. City shall review this Agreement at least once during every twelve (12) month period following the Development Agreement Reinstatement Date, in accordance with City's procedures and standards for such review set forth in City's Development Agreement Ordinance. During such periodic review by City, Developer, promptly after written request from City, shall be required to demonstrate, and hereby agrees to 698/015610-0207 22795466.2 a09/18/25 -71- 116 furnish, evidence of good faith compliance with the terms hereof. The failure of City to conduct or complete the annual review as provided herein or in accordance with the Development Agreement Ordinance shall not impact the validity of this Agreement. 8. DEFAULT; REMEDIES; DISPUTE RESOLUTION; TERMINATION. 8.1 Default and Cure. Subject to the extensions of time for events of Force Majeure as set forth in this Agreement, failure by either Party to perform any action or covenant required by this Agreement within the time periods provided herein if such failure materially and adversely affects the Project, constitutes a "Default" under this Agreement. A Party claiming an Default shall give written notice of Default to the other Party specifying the Default complained of. Except as otherwise expressly provided in this Agreement, the claimant shall not institute any proceeding against the other Party, and the other Party shall not be in Default or MAE Default if such Party cures such default within thirty (30) days from receipt of such notice, or if the nature of such default is that it cannot reasonably be expected to be cured within such thirty (30) day period, if such Party, with due diligence, commences to cure, correct or remedy such failure or delay within thirty (30) days from receipt of such notice, and completes such cure, correction or remedy with diligence no later than ninety (90) days after the expiration of the initial 30-day period. A Default that is not cured within such cure periods may be referred to herein as an "MAE Default' of this Agreement. 8.1.1 Provisions Relating to Notices and Events of Default. The Party claiming a Default shall give written notice of Default to the other Party specifying the Default complained of, but a delay in giving such notice shall not constitute a waiver of any Default nor shall it change the time of Default. Any failure or delays by any Party in asserting any of their rights and/or remedies as to any Default shall not operate as a waiver of any Default or of any such rights or remedies. Delays by any Party in asserting any of its rights and/or remedies shall not deprive that Party of its right to institute and maintain any actions or proceedings that it may deem necessary to protect, assert or enforce any such rights or remedies. In addition to other acts or omissions of the Developer that may legally or equitably constitute a Default or MAE Default of this Agreement, the occurrence of any of the following specific events, prior to the issuance of the final Certificate of Completion for the Project, shall constitute an event of Default under this Agreement, subject to the notice and cure provisions set forth in Section 8.1 above: (A) Any representation, warranty or disclosure made in writing to City by Developer regarding this Agreement or the Project is materially false or misleading, whether or not such representation or disclosure appears in this Agreement, which representation, warranty or disclosure was known by a senior executive of Developer to be materially false when made. 698/015610-0207 22795466.2 a09/18/25 -72- 117 (B) The construction of the Project is delayed or suspended for a period in excess of that permitted by an event(s) of Force Majeure and/or period(s) for cure of an MAE Default; (C) Developer fails to meet the dates for performance of the Project Milestones identified in the Schedule of Performance after allowance for any extensions authorized by this Agreement; (D) Except for the Project Milestones, which are governed by the preceding Section 8.1.1(C), Developer fails to complete the construction (or fails to cause the completion of construction and build -out of the Phase 1 Property) within a reasonable time after the approximate completion dates set forth in the Schedule of Performance, after allowance for any extensions authorized by this Agreement; (E) The financing or investment in any Project Component(s) that is not in compliance with the provisions in Section 4.3 of this Agreement; (F) There occurs any event of dissolution or termination of Developer that adversely and materially affects the operation of the Property or the Project, and such event is not corrected within five (5) days following written notice of such event from the City to the Developer. (G) There is a voluntary Transfer by Developer of its interest in this Agreement, the Property, or the Project, or any portion thereof, in violation of the terms and conditions of this Agreement and such action is not cured within the period prescribed in this Agreement. (H) A receiver is appointed to conduct the affairs of the Developer, or Developer files for bankruptcy either voluntarily or involuntarily (in which Developer colluded or consented), under state or federal law; (1) Developer's legal status as a limited liability company authorized by the Secretary of State of the State of California to transact business in California is suspended or terminated and not reinstated within thirty (30) days after Developer obtains actual notice thereof. 8.1.2 Rights and Remedies Are Cumulative. Except as otherwise expressly stated in this Agreement, the rights and remedies of the Parties are cumulative, and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same Default or any other Default by the other Party. 698/015610-0207 22795466.2 a09/18/25 -73- 118 8.2 Termination of Aareement. In addition to any other rights and remedies available to the City under this Agreement, the City shall have the right to terminate this Agreement if Developer fails to cure any MAE Default listed in Section 8.1.1 of this Agreement. 8.3 City Remedies. In the event of an MAE Default by Developer of its obligations under this Agreement, City, at its option, may terminate this Agreement as provided in Section 8.2 and may institute legal action in law or in equity to cure, correct, or remedy such MAE Default, enjoin any threatened or attempted violation, or enforce the terms of this Agreement; provided, however, that, except as otherwise provided in this Agreement, City shall not be entitled to an award of consequential or special damages for any Developer Default or MAE Default. 8.3.1 Defaults and Relation to Option Agreement and TOT Covenant Agreements. Unless otherwise specified in the Option Agreement and the TOT Covenant Agreement (or implementing agreements attached as exhibits to these respective agreements), noticing and rights to cure set forth in this Reinstated Development Agreement shall apply to all defaults thereunder. Nothing in this Section precludes or otherwise limits City's rights and remedies set forth specifically in, and applicable only to, the Option Agreement and/or the TOT Covenant Agreement (and implementing agreements attached as exhibits to these respective agreements). 8.3.2 Assianment of Development Plans. If this Agreement is terminated by City as a result of any uncured MAE Default by Developer, then, at the election of City and without any additional consideration to be paid to Developer, which election may be exercised in City's sole and absolute discretion, Developer shall deliver to City an executed assignment in a form reasonably acceptable to City of Developer's right to use all plans, blueprints, drawings, sketches, specifications, tentative or final subdivision maps, landscape plans, utilities plans, soils reports, noise studies, environmental assessment reports, grading plans and any other materials relating to the construction of any non -constructed Project Components of the Project on the Property, or portions thereof that are subject to the uncured MAE Default (collectively, the "Plans Assignable At Termination") which are not deemed by Developer in its reasonable discretion to be proprietary or contain the marks, tradenames, trademarks of Developer or its Affiliates, together with copies of all of Plans Assignable At Termination, as have been prepared for the development of the Project to date of the termination. Notwithstanding the foregoing right of City and obligation of Developer, Developer does not covenant to convey to City the copyright or other ownership rights of third parties. City understands and agrees that the assignment to City under this Section is subject and subordinate to any assignment which Developer may make to a Lender providing a Loan for the Project, and City 698/015610-0207 22795466.2 a09/18/25 -74- 119 agrees to execute any documents required by such lender acknowledging and effectuating such subordination of City's rights in and to the assignment. City's assumption and/or use of the Plans Assignable At Termination or any of them shall be without any representation or warranty by Developer as to the accuracy or completeness of any such plans, and City shall assume all risks in the use of such plans and is subject to the claims of, and applicable agreements with, Developer. 8.4 Developer Remedies. The Parties acknowledge that City would not have entered into this Agreement if it were to be liable in monetary damages of any kind whatsoever under or with respect to this Agreement, Project Approvals, or the application of any matters relating to any rights vested by virtue of this Agreement. As such, the Parties agree that declaratory and injunctive relief, mandate, and specific performance (and other remedies that do not constitute monetary damages) shall be Developer's sole and exclusive judicial remedies against City with respect to enforcement of the terms, provisions and conditions of this Agreement. In the event of an uncured MAE Default by City of the terms of this Agreement, Developer, at its option, may institute legal action in equity to cure, correct, or remedy such default, enjoin any threatened or attempted violation, or enforce the terms of this Agreement; provided, however, that in no event shall Developer be entitled to recover any damages of and kind whatsoever from City. 8.4.1 Limitation of Damages Against City. The Parties acknowledge agree that City would not have entered into this Agreement if it were to be liable in monetary damages for consequential damages of any kind whatsoever, including consequential damages, incidental damages, and/or future damages, under or with respect to this Agreement or other Project Approvals, or the application of any matters relating to any rights vested in Developer by virtue of this Agreement. In amplification of the preceding sentence and Section 8.4, and not by way of limitation, in no event shall City be liable for or Developer be entitled to an award of damages for economic loss, lost profits, or any other consequential damages of any kind. Notwithstanding the limitations on damages against City, Developer may be entitled to an award of attorney's fees and costs pursuant to Section 8.5.5 of this Agreement. 8.4.2 Specific Performance. The Parties acknowledge that monetary damages and remedies at law generally are inadequate due, in part, to the size, nature and scope of the Project, and it will not be practical or possible to restore the Property to its natural condition once implementation of this Agreement has begun, and specific performance is a particularly appropriate remedy for the enforcement of this Agreement and should be available to both Parties based on the following reasons and facts: 698/015610-0207 22795466.2 a09/18/25 -75- 120 (A) The unavailability of monetary damages against City; (B) Developer's obligations provided for in this Agreement were bargained for by City and given in return for assurances by City to Developer regarding the vested rights under the Applicable Rules and Project Site Development Permits (except as specified to the contrary herein, including the City's Reserved Powers) applicable to the development and use of the Property and Project, which assurances were in turn relied upon by Developer in undertaking Developer's obligations; (C) Due to the size, nature and scope of the Project, it may not be practical or possible to restore the Property to its natural condition once implementation of this Agreement has begun; after such implementation, Developer may be prevented from other choices it may have had to utilize the Property, or portions thereof, and to provide other benefits to City. Developer has invested significant time and resources and performed extensive planning and processing of the Project in agreeing to the terms of this Agreement and will be investing even more significant time and resources in implementing the Project in reliance upon the terms of this Agreement, and it is not possible to determine the sums of money that would adequately compensate Developer for such efforts; (D) The inability of Developer to recover and receive back its capital investment in the Master Site Infrastructure Improvements to be provided to City as part of Developer's obligations and to re -plan and provide for different uses of the Property once such facilities and infrastructure have been completed; and (E) The uses of the Property for the purposes and uses described for the Project are unique. Further, the Parties acknowledge that, for the reasons set forth above (particularly because of the lack of monetary damages available to Developer), in connection with any judicial proceeding regarding the performance of this Agreement, rights, or the interests and duties of the Parties hereunder, it is appropriate to, and the Parties shall, cooperate in requesting (whether by stipulations or otherwise) the court to proceed expeditiously and to retain jurisdiction until the underlying conflict or dispute has been fully resolved. 8.5 Legal Actions and Litigation. 8.5.1 Jurisdiction and Venue. Any action at law or in equity brought by either Party hereto for the purpose of enforcing, construing, or interpreting the validity of this Agreement or any provision hereof shall be brought in the Superior Court of the State of California in and for the County of Riverside, or such other appropriate court in said county, and the Parties hereto waive all provisions of law providing for the filing, removal, or change of venue to any other court. 698/015610-0207 22795466.2 a09/18/25 -76- 121 Notwithstanding the foregoing paragraph, the Parties consent to the jurisdiction and venue of the Bankruptcy Court to the extent this Agreement (or any other of the La Quinta Amended Development Agreements or subsequent agreements between the Parties) and/or any dispute that arises between the Parties under this Agreement (or any other of the La Quinta Amended Development Agreements or subsequent agreements between the Parties) relates to the Bankruptcy Lawsuit, and the Bankruptcy Court has retained jurisdiction for purposes of oversight and judicial enforcement of any orders issued by the Bankruptcy Court in the Bankruptcy Lawsuit. 8.5.2 Service of Process. In the event that any legal action is commenced by Developer against City, service of process on City shall be made by personal service on the City Clerk (or City Clerk's Office) pursuant to applicable California law. In the event that any legal action is commenced by City against Developer, service of process on Developer shall be made by personal service upon any officer of Developer, whether made within or outside the State of California, or in such other manner as may be provided by law. 8.5.3 Inaction Not a Waiver of Default. Any failures or delays by either Party in asserting any of its rights and remedies as to any Default shall not operate as a waiver of any Default or of any such rights or remedies, or deprive either such Party of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce any such rights or remedies. 8.5.4 Applicable Law. The internal laws of the State of California shall govern the interpretation and enforcement of this Agreement without regard to conflicts of law principles. 8.5.5 Attorneys' Fees. In any action between the Parties to interpret, enforce, reform, modify, rescind, or otherwise in connection with any of the terms or provisions of this Agreement, the prevailing Party in the action shall be entitled, in addition to damages, injunctive relief, or any other relief to which it might be entitled, reasonable costs and expenses including, without limitation, litigation costs, reasonable attorneys' fees and expert witness fees. 8.5.6 Appointment of Judicial Referee. A Party initiating legal action hereunder may request that such action be heard by a referee appointed by the Riverside County Superior Court pursuant to the reference procedures of California Code of Civil Procedure Section 638 et seq. Developer and City, in such case, shall use their best efforts to agree upon a single referee who shall then try all issues, whether of fact or law, and report a finding and 698/015610-0207 22795466.2 a09/18/25 -77- 122 judgment thereon and issue all legal and equitable relief, as permitted pursuant to this Agreement and appropriate under the circumstances of the controversy. The referee shall be a retired judge from either the California Superior Court, the California Court of Appeal, the California Supreme Court, the United States District Court or the United States Court of Appeals with significant and recent experience in resolving land use and real property disputes. If Developer and City are unable to agree upon a referee within ten (10) days of a written request to do so by any Party, any Party may seek to have a referee appointed pursuant to Section 640 of the California Code of Civil Procedure. The cost and fees of such proceeding including the referee's fees and the court reporter's fees (exclusive of the attorney's fees and cost of the Parties) shall be borne equally by the Parties; provided, however, that the costs and fees for such proceeding, including any initiation fee, shall be ultimately borne by the non -prevailing Party if there is an award of attorney's fees as provided for in Section 8.5.5 of this Agreement. Any referee selected pursuant to this Section shall be considered a temporary judge appointed pursuant to Article 6, Section 21 of the California Constitution. The statement of decision of the referee shall be binding upon the parties, and upon filing of the statement of decision with the clerk of the court (or with the judge where there is no clerk), judgment may be entered thereon in the same manner as if the action had been tried by the court. The decision of the referee shall be appealable as if rendered by the court. In the event that an alternative method of resolving disputes concerning the application, enforcement or interpretation of development agreements is provided by legislative or judicial action after the Effective Date, the Parties may, by mutual agreement, select such alternative method. 9. MORTGAGEE PROTECTION; CERTAIN RIGHTS OF CURE 9.1 Liens Recorded Against the Property and Project. This Agreement shall not prevent or limit Developer from encumbering the Property or any portion thereof or any improvements thereon with Lien in which the Property, or a portion thereof or interest therein, is pledged as security, and contracted for in compliance with this Agreement and in good faith securing financing with respect to the construction, development, use or operation of the Project. 9.2 Mortgagee Protection. This Agreement shall be superior and senior to, with priority over, any Lien recorded against the Property or any portion thereof after the Development Agreement Reinstatement Date. Notwithstanding the foregoing, and provided the Lien (including any Construction Loan Deed of Trust and Infrastructure Loan Deed of Trust) is recorded and entered into in compliance with this Agreement, no Default or MAE Default of this Agreement shall defeat, render invalid, diminish, or impair the Lien made in good faith and for value, and any acquisition or acceptance of title or any right or interest in or with respect to the Property or any portion thereof by a holder of a beneficial interest under a Lien, or any successor or assignee to said holder (a "Mortgagee"), whether said acquisition or acceptance of title is pursuant to foreclosure, trustee's sale, deed in lieu of 698/015610-0207 22795466.2 a09/18/25 i 123 foreclosure, lease termination, or otherwise, shall be subject to all of the terms and conditions of this Agreement. 9.3 Mortgagee Obligations and Relief Therefrom. With respect to any Mortgagee that is a Lender for any Construction Loan or Infrastructure Loan entered into pursuant to this Agreement, the terms and conditions set forth in Article 4 (including Section 4.3.5) of this Agreement, among other provisions, shall govern said Lender's rights and obligations with respect mortgage protections offered under this Agreement. No Mortgagee or other Lender will have any obligation or duty under this Agreement to perform the obligations of Developer or other affirmative covenants of Developer hereunder, or to guarantee such performance; provided, however, that to the extent that any covenant to be performed by Developer is a condition to the performance of a covenant by City, the performance thereof shall continue to be a condition precedent prior to the City's performance under this Agreement and, as applicable, under the Option Agreement and TOT Covenant Agreement (and implementing agreements attached as exhibits to these respective agreements). 10. TRANSFERS OF INTEREST IN PROPERTY. PROJECT. OR AGREEMENT 10.1 Developer Unique and Material Term to this Agreement. Developer acknowledges and agrees that the qualifications and identity of Developer are of particular importance to City. Developer further recognizes and acknowledges that City has relied and is relying on the specific qualifications and identity of Developer in entering into this Agreement with Developer and, as a consequence, Transfers are permitted only as expressly provided in this Agreement. Developer shall promptly notify City in writing of any and all changes whatsoever in the name of the business entities comprising the majority of and/or in control of Developer, as well as any and all changes in the majority interest or the control of Developer, of which information Developer is notified or may otherwise have knowledge or information. 10.2 Transfers Generally Prohibited Without Prior City Approval. Except for Permitted Transfers for which Developer delivers to City a fully executed and Assignment and Assumption Agreement, Developer may not Transfer or otherwise assign this Agreement or its interest in title to the Property without the prior written consent of City, which shall not be unreasonably withheld, delayed or conditioned. 10.2.1 Obtaining City Approval for Transfers. Developer represents to City that it has not made and agrees that it will not make or create, or suffer to be made or created, any Transfer other than a Permitted Transfer 698/015610-0207 22795466.2 a09/18/25 -79- 124 without the prior written consent of the City (which shall not be unreasonably withheld, delayed or conditioned), either voluntarily, involuntarily or by operation of law. In deciding whether to approve or disapprove any proposed Transfer, City may consider the proposed financial strength and the experience of the proposed transferee and its senior management in undertaking and successfully completing projects of a similar type and size as the Project or that portion of the Project proposed to be transferred (it being acknowledged that such financial strength and experience may be held by direct or indirect investors or affiliates of the transferee). Any Transfer made in contravention of this Article 10 and Agreement shall be voidable at the election of City, and the City shall have any remedy at law or in equity as a result thereof;, subject to the notice and cure rights provided in Section 8.1. 10.2.2 Request for City Approval of Transfer. Unless more time is otherwise required under this Agreement, Developer shall provide City no less than thirty (30) days prior written notice (or, for a Permitted Transfer, no less than ten (10) days prior written notice) of any proposed Transfer which Developer desires to enter into. Developer shall have the burden of demonstrating to City's reasonable satisfaction that the proposed Transfer meets the conditions and requirements of this Agreement with respect to any Transfer that is not a Permitted Transfer. 10.2.3 Costs for Review of Proposed Transfer. In connection with City's review of any request for approval of any proposed Transfer under this Article 10 or of any Lender or Loan pursuant to this Agreement, Developer agrees to reimburse City for those reasonable out of pocket third party costs and expenses incurred by City in connection with its review of Developer's request for approval, including, without implied limitation, the reasonable fees and costs of those outside consultants and legal counsel retained by City to assist it in its review of Developer's request, including the City Attorney. 10.2.4 Assignment and Assumption Agreement. Except for Permitted Transfers which are expressly released in this Agreement from the obligation of executing and recording an Assignment and Assumption Agreement, every Transfer, including any Permitted Transfer, of all or any portion of the Property, Project, or this Agreement, shall be memorialized by an assignment and assumption agreement, subject to the consent of the City (which shall not be unreasonably withheld, delayed or conditioned) and in substance and form substantially similar to that attached hereto as Exhibit L and incorporated herein by this reference ("Assignment and Assumption Agreement"). No Transfer of all or any portion of the Property, Project, or this Agreement shall be operative or effective unless and until an Assignment and Assumption Agreement, is fully executed and recorded in the Recorder's Office against the Property (or portion thereof) to which the Transfer applies. The parties agree that any such Transfer may be for the entire Property or any one (1) 698/015610-0207 22795466.2 a09/18/25 M 125 or more Project Components either in a single transaction or multiple transactions, as elected by Developer. In the event of any such Transfer(s), if as a result of any multiple Transfers, Developer shall constitute more than one (1) Person (i.e., if Developer's interests in different Project Components are Transferred to different Persons), then each such Person shall only be liable for (and the applicable Assignment and Assumption Agreement shall solely apply to) the rights and obligations under this Agreement as they relate to the portion of the Property then -owned by such transferee. 10.2.5 Permitted Transfers. Notwithstanding anything to the contrary contained herein, the following Transfers shall not require prior approval from the City for the purported Transfer (each, a "Permitted Transfer"): (A) The conveyance or dedication of any portion of the Property to an appropriate federal, state, or local (including City) governmental agency, or the granting of easements or permits to facilitate construction and operation of the Project (depending on the type of conveyance or dedication, the Transfer may be exempted from the requirement of an Assignment and Assumption Agreement); (B) The sale by Developer of any completely constructed residential dwelling unit(s), whether single-family detached or condominium unit, to a bone fide third party purchaser/individual buyer (such sale and conveyance shall be exempted from the requirement of an Assignment and Assumption Agreement); (C) The sale by Developer of any precisely -graded and utility - ready unimproved custom single-family luxury residence Lot pursuant to Section 3.2.7 of this Agreement to a bone fide third party purchaser/individual buyer (subject to Developer's obligations in Section 3.2.7, such sale and conveyance shall be exempted from the requirement of an Assignment and Assumption Agreement); (D) Any Transfer that is a Transfer Exemption (such Transfer is exempted from the requirement of an Assignment and Assumption Agreement); (E) Any Transfer to a Permitted Affiliate Assignee; (F) Any Transfer to a Permitted Hotel Operator (subject to Developer meeting its obligations in this Agreement, a Transfer to a Permitted Hotel Operator is exempted from the requirement of an Assignment and Assumption Agreement); (G) Any Transfer to a Permitted Lender (if the Permitted Lender has satisfied the provisions in this Agreement, and as long as the Permitted Lender after the Transfer is not the "Developer" or a "Permitted Developer/Operational Transferee," such Transfer is exempted from the requirement of an Assignment and Assumption Agreement); or 698/015610-0207 22795466.2 a09/18/25 i 126 Transferee. (H) Any Transfer to a Permitted Development/Operational 10.2.6 Partial Release of Obligations from Transferor. Upon the Transfer in whole or in part of Developer's right and interest to all or any portion of the Property, Project, or this Agreement, which shall be evidenced by the recording of an Assignment and Assumption Agreement pursuant to this Agreement, then Developer may obtain from City for a release from Developer's obligations hereunder with respect to the portion of the Property, Project, or this Agreement, so Transferred. City shall approve the partial or full release if: (A) Developer has complied with the obligations in this Article 10 relating to Transfers; (B) Developer is not in MAE Default of this Agreement at the time of the request for release, or provides adequate assurances to the satisfaction of City that it will cure any breach prior to the Transfer; (C) Developer and the transferee have executed and recorded against the portion of the Property to which the Transfer applies an Assignment and Assumption Agreement applicable to the portion of the Property being Transferred, and (D) the transferee has duly assumed all obligations of Developer under this Agreement with respect to the portion of the Property so transferred with respect to matters occurring after the effective date of such Transfer. Failure to obtain City consent when required hereunder shall not negate, modify or otherwise affect the liability under this Agreement of any transferee or future owner of any portion of the Property. Developer shall remain responsible for all obligations set forth in the Agreement that are not subject to an Assignment and Assumption Agreement in accordance with this Article 10. A Party proposing to assign its obligations under this Agreement (i) shall remain liable for the obligations hereunder until and unless City has received a fully executed Assignment and Assumption Agreement, and (ii) shall remain liable for any MAE Default hereunder that occurred prior to the effective date of the assignment. Developer or Developer's successor agrees to reimburse City for those third party costs and expenses incurred by City in connection with its review of any Assignment and Assumption Agreement, including, without implied limitation, the reasonable fees and costs of those outside consultants and legal counsel retained by City to assist it in its review of Developer's Transfer , including the City Attorney. 10.3 Successors and Assians. All of the terms, covenants and conditions of this Agreement shall be binding upon Developer and its permitted successors and assigns. Whenever the term "Developer" is used in this Agreement, such term shall include any other permitted successors and assigns as herein provided. 10.4 Developer Entities Documentation and Permitted Affiliate Assianees. Notwithstanding anything to the contrary contained herein, Developer may assign this Agreement (pursuant to an Assignment and Assumption Agreement) either in its entirety to a single assignee, or separately to separate assignees as to each Project Component or groups of Project Components as elected by Developer, so long as 698/015610-0207 22795466.2 a09/18/25 -82- 127 Developer or Affiliates of Developer continue to own an interest in, and are involved in the control and management of, Developer, and may lawfully be the assignee under federal and state law (any such assignee, a "Permitted Affiliate Assignee"). It is acknowledged that each separate assignee (if applicable pursuant to the foregoing) may consist of different investors and/or management, and no consent by the City shall be required prior to the proposed Transfer as long as Developer is a Permitted Affiliate Transferee. City shall have the right to request from Developer written documentation and evidence confirming a proposed Transfer is to a Permitted Affiliate Assignee. No later than fifteen (15) days prior to the proposed assignment from Developer to a proposed Permitted Affiliate Assignee, Developer shall deliver written notice thereof to City, along with documentation and evidence (as may be recommended by Developer and consistent with industry standards for confirming affiliated entities, such as proposed limited liability company operating agreements, management agreements, or similar documentation) for the City to review solely for the purpose of confirming the proposed Transfer is to a Permitted Affiliate Assignee. The City shall consent to the Transfer, and an Assignment and Assumption Agreement shall be executed and recorded, upon confirmation the proposed Transfer is to a Permitted Affiliate Assignee. Without limiting the foregoing, the City hereby approves the Developer Entities Organizational Chart and the structure set forth therein as the anticipated structure for Transfers from Developer to Permitted Affiliate Assignees for the various Project Components. Nothing in this Section limits or prevents Developer from modifying or supplementing the Developer Entities Organizational Chart to add or remove proposed Affiliates of Developer, as may be necessary or proper during the Term of this Agreement and development (and completion of development) of the various Project Components. 10.5 Assignment by City. City may assign or transfer any of its rights or obligations under this Agreement with the approval of Developer, which approval shall not be unreasonably withheld; provided, however, that City may assign or transfer any of its interests hereunder to a joint powers authority in which City is a member at any time without the consent of Developer. 11. MISCELLANEOUS 11.1 Notices, Demands and Communications Between the Parties. Any approval, disapproval, demand, document or other notice ("Notice") which either Party may desire to give to the other Party under this Agreement must be in writing and shall be sufficiently given if (i) delivered by hand, (ii) delivered by reputable same -day or overnight messenger service that provides a receipt showing date and time of delivery, or (iii) dispatched by registered or certified mail, postage prepaid, return 698/015610-0207 22795466.2 a09/18/25 i 128 receipt requested, to the principal offices of City and Developer at the addresses specified below, or at any other address as that Party may later designate by Notice. To City: City of La Quinta 78-495 Calle Tampico La Quinta, California 92253 Attn: City Clerk With a copy to: Rutan & Tucker, LLP 18575 Jamboree Road, 9t" Floor Irvine, California 92612 Attn: William H. Ihrke Email: bihrke@rutan.com To Developer: TBE RE Acquisition Co II LLC c/o Turnbridge Equities 4 Bryant Park, Suite 200 New York, New York 10018 Attention: General Counsel and Michael Gazzano Email: jw@turnbridgeeq.com and mg@turnbridgeeq.com with a copy to: DLA Piper 1251 Avenue of the Americas New York, New York 10020 Attention: Todd Eisner Email: todd.eisner(@_us.dlapiper.com with a copy to: Procopio 200 Spectrum Center Drive, Suite 1650, Irvine, CA 92618 Attn- James Vaughn Email: james.vaughn@procopio.com Any written notice, demand or communication shall be deemed received immediately if personally delivered or delivered by delivery service, and shall be deemed received on the fifth (51") day from the date it is postmarked if delivered by registered or certified mail. 698/015610-0207 22795466.2 a09/18/25 • •� 129 11.2 Force Maieure. In addition to specific provisions of this Agreement, performance by either Party hereunder shall not be deemed to be in MAE Default or Default, and all performance and other dates specified in this Agreement shall be extended, where delays, MAE Defaults or Defaults are due to causes beyond the control or without the fault of the Party claiming an extension of time to perform, which include, without limitation, the following (each, a "Force Maieure"): war; insurrection; acts of terrorism; strikes; lockouts; riots; floods; earthquakes; fires; casualties; acts of God; acts of the public enemy; condemnation of property by a federal or state agency; mob violence; natural disasters; utility delays; extraordinary and extreme delays in obtaining permits, entitlements, licenses, or other approvals from the City (provided and subject to Developer acknowledging that approvals from the City, as required by State and City law, may require substantial time and/or cooperation from other governmental agencies); any pandemic or epidemic; unusual disruption to national or international transport services; governmental shut -downs and "stay at home" mandates or other public health restrictions; quarantine restrictions; nation-wide freight embargoes; and unusually severe weather that is not usual in the City for the given time of year. Notwithstanding anything to the contrary in this Agreement, an extension of time for any such cause shall only be for the period of the delay and shall commence to run from the time of the commencement of the cause, if notice by the Party claiming such extension is sent to the other Party within a reasonable time following the commencement of the cause, which notice requirement shall be deemed waived if the other Party is aware of the facts giving rise to the Force Majeure. Upon receiving notice of a Force Majeure or becoming aware of the facts giving rise thereto, the Parties shall meet and confer in good faither to determine the appropriate period of Force Majeure delay, and document same in writing. Times of performance under this Agreement may also be extended in writing by the mutual agreement of City and Developer. 11.3 Binding Effect. This Agreement, and all of the terms and conditions hereof, shall be binding upon and inure to the benefit of the Parties, any subsequent owner of all or any portion of the Project or the Property, and their respective assigns or successors in interest, whether or not any reference to this Agreement is contained in the instrument by which such person acquired an interest in the Project or the Property. 11.4 Independent Entity. The Parties acknowledge that, in entering into and performing this Agreement, each of Developer and City is acting as an independent entity and not as an agent of the other in any respect. 11.5 Aareement Not to Benefit Third Parties. This Agreement is made for the sole benefit of the Parties, and no other person shall be deemed to have any privity of contract under this Agreement nor any right to 698/015610-0207 22795466.2 a09/18/25 i 130 rely on this Agreement to any extent for any purpose whatsoever, nor have any right of action of any kind on this Agreement nor be deemed to be a third party beneficiary under this Agreement. 11.6 Covenants. The provisions of this Agreement shall constitute mutual covenants which shall run with the land comprising the Site for the benefit thereof, and for the benefit of City's adjoining properties, and the burdens and benefits hereof shall bind and inure to the benefit of each of the Parties hereto and all successors in interest to the Parties hereto for the term of this Agreement. 11.7 Non -liability of City Officers and Employees. No official, officer, employee, agent or representative of City, acting in his/her official capacity, shall be personally liable to Developer, or any successor or assign, for any loss, costs, damage, claim, liability, or judgment, arising out of or connection to this Agreement, or for any act or omission on the part of City. 11.8 Amendments or Modifications of Aareement. 11.8.1 Amendments. This Agreement may be amended from time to time by mutual consent of the original Parties or such party to which Developer assigns all or any portion of its interest in this Agreement, in accordance with the provisions of the City's Development Agreement Ordinance and Government Code Sections 65867 through 65868. 11.8.2 Determination of Insubstantial Modifications. For each proposed modification to this Agreement, the City Manager or his/her designee shall determine, in his/her sole discretion: (1) whether, in his/her reasonable judgment, the requested modification constitutes an "Insubstantial Modification," as defined in this Agreement; (2) whether the requested modification is consistent with the Applicable Rules and Project Approvals (other than that portion of this Agreement sought to be modified); and (3) whether, in his/her reasonable judgment, the requested modification tends to promote the goals of this Agreement. If the City Manager or his/her designee determines that the requested modification is an "Insubstantial Modification," the proposed modification may be reviewed and acted upon by the City Manager, and a written modification will be executed by the Parties and attached to this Agreement. Any such Insubstantial Modification shall not be deemed an "amendment" to this Agreement under Government Code Section 65858, but the document memorializing an approved Insubstantial Modification shall be recorded in the Recorder's Office no later than thirty (30) days after complete execution of said amendment or other agreement. Any modification of which the City Manager, in his/her reasonable discretion, determines not to be an "Insubstantial Modification" shall be an amendment to this Agreement. 11.8.3 Costs of Processing and Memorializing Amendments or Insubstantial Modifications. Developer shall be required to reimburse City for all costs 698/015610-0207 22795466.2 a09/18/25 we 131 City incurs in negotiating, preparing, and processing any alterations, changes, or modifications to this Agreement requested by Developer or any lender or investor. In connection with any request for an alteration, change or modification, Developer shall deposit with City the sum of Ten Thousand Dollars ($10,000). Notwithstanding the foregoing, the City Manager shall have the discretion to authorize a lesser deposit, in the event he or she determines the proposed alteration, change or modification is minor. In the event the funds on deposit are depleted, City shall notify Developer of the same, and Developer shall deposit with City an additional Five Thousand Dollars ($5,000) to complete processing of the requested alteration, change or modification. Developer shall make additional deposits to City, as needed, pursuant to the foregoing process, until the requested alteration, change, or modification is finalized. Within sixty (60) days after such alteration, change or modification is finalized, City shall reimburse Developer any unused sums. 11.9 Amendment or Cancellation by Mutual Consent. Except as expressly stated to the contrary herein, this Agreement may be amended or canceled in whole or in part only by mutual consent of the Parties and in the manner provided for in Government Code Sections 65867-65868 and the Development Agreement Ordinance. Notwithstanding the foregoing, in the event that any portion of the Property is under different ownership at some time during the Term hereof, City and the then -owner of such portion may amend the terms of this Development Agreement and the Project Approvals with respect to said portion, without obtaining the approval or consent of the owners of the other portions of the Property. 11.10 No Waiver. No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the Party against whom enforcement of a waiver is sought and referring expressly to this Section. No delay or omission by either Party in exercising any right or power accruing upon non-compliance or failure to perform by the other Party under any of the provisions of this Agreement shall impair any such right or power or be construed to be a waiver thereof, except as expressly provided herein. No waiver by either Party of any of the covenants or conditions to be performed by the other Party shall be construed or deemed a waiver of any succeeding breach or nonperformance of the same or other covenants and conditions hereof. 11.11 Severability. If any term, provision, covenant or condition of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Agreement shall continue in full force and effect, to the extent that the invalidity or unenforceability does not impair the application of this Agreement as intended by the Parties. 698/015610-0207 22795466.2 a09/18/25 i 132 11.12 Cooperation in Carrying Out Agreement. Each Party shall take such actions and execute and deliver to the other all such further instruments and documents as may be reasonably necessary to carry out this Agreement in order to provide and secure to the other Party the full and complete enjoyment of its rights and privileges hereunder. 11.13 Estoppel Certificate. Either Party may, at any time, deliver written notice to any other Party requesting such Party to certify in writing that, to the best knowledge of the certifying Party (which, if so requested by a Party, shall inure to the benefit of any Lender, Hotel Operator or Permitted Transferee and their respective successors and assigns), (i) this Agreement is in full force and effect and a binding obligation of the Parties, (ii) this Agreement has not been amended or modified either orally or in writing, or if so amended, identifying the amendments, (iii) the requesting Party is not in default in the performance of its obligations under this Agreement, or if in default, describing the nature and amount of any such defaults, and that to the knowledge of the requesting Party, the other party is not in default (or specifying any such defaults) and (iv) any other reasonable information requested. A Party receiving a request hereunder shall execute and return such certificate within fifteen (15) days following approval of the proposed estoppel certificate by the City Attorney, which approval shall not be unreasonably withheld or delayed. The City Manager or authorized designee is authorized to sign and deliver an estoppel certificate on behalf of City. City acknowledges that a certificate hereunder may be relied upon by transferees and Mortgagees and other Lenders. 11.14 Construction. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either Party by reason of the authorship of this Agreement or any other rule of construction that might otherwise apply. As used in this Agreement, and as the context may require, the singular includes the plural and vice versa, and the masculine gender includes the feminine and vice versa. 11.15 Recordation. This Agreement shall be recorded in the Recorder's Office at Developer's cost, if any, within the period required by this Agreement or, if not specified herein, per Government Code Section 65868.5. Amendments and Insubstantial Modifications approved by the Parties, Assignment and Assumption Agreements, and any cancellation or termination of this Agreement, shall be similarly recorded. 11.16 Captions and References. The captions of the paragraphs and subparagraphs of this Agreement are solely for convenience of reference, and shall be disregarded in the construction and 698/015610-0207 22795466.2 a09/18/25 133 interpretation of this Agreement. Reference herein to a paragraph or exhibit are the paragraphs, subparagraphs and exhibits of this Agreement. 11.17 Time. Time is of the essence in the performance of this Agreement and of each and every term and condition hereof as to which time is an element. 11.18 Computation of Days. Unless expressly identified as being subject to "business days," the computation for performance and word "Days" and "days" shall mean calendar days, continuously calculated and without exclusion of weekends or holidays; provided, however, that if the last "day" were to fall on a weekend day or official holiday recognized under federal or state law, then the time for performance on that last day shall be extended to the next business day. For purposes of this Agreement, "business day" means every day of the calendar year except Saturdays, Sundays, and official holidays recognized under federal or state law and for which City Hall is closed to the general public. 11.19 Recitals & Exhibits Incorporated: Entire Aareement. The Recitals to this Agreement and all of the exhibits and attachments to this Agreement are, by this reference, incorporated into this Agreement and made a part hereof. This Agreement, including all Exhibits attached hereto, constitutes the entire agreement between the Parties with respect to the subject matter of this Agreement, and this Agreement supersedes all previous negotiations, discussions and agreements between the Parties, and no parole evidence of any prior or other agreement shall be permitted to contradict or vary the terms hereof. 11.20 Exhibits. Exhibits A-M to which reference is made in this Agreement are deemed appropriated herein in their entirety. Said exhibits are identified as follows: A. Legal Descriptions Subject to this Agreement A-1 Legal Description of Phase 1A Property A-2 Legal Description of Phase 1 B Property A-3 Legal Description of Phase 2 Property (City -Owned Option Property) A-4 Legal Description of City -Owned Ahmanson Ranch Property A-5 Legal Description of City -Owned Golf Course Property B. Site Maps 698/015610-0207 22795466.2 a09/18/25 134 C. Project Description D. Scope of Work / Scope of Development E. Project Schedule / Schedule of Performance F. List of Pre -Bankruptcy Subdivision Maps and Permits G. Form of Certificate of Completion H. Developer Entities Organizational Chart Post -Bankruptcy Sale Permitting Processes J. Reinstated Covenant Affecting Real Property (Ahmanson Ranch House) K. Reinstated Covenant Affecting Real Property (Golf Course Use) L. Form of Assignment and Assumption Agreement M. Short -Term Vacation Rental Regulations (Ch. 3.25 of La Quinta Mun. Code) [end of list of Exhibits] 11.21 Authority to Execute; Representations and Warranties. Developer warrants and represents that (i) it is duly organized and existing, (ii) it is duly authorized to execute and deliver this Agreement, (iii) by so executing this Agreement, Developer is formally bound to the provisions of this Agreement, (iv) Developer's entering into and performance of its obligations set forth in this Agreement do not violate any provision of any other agreement to which Developer is bound, and (v) there is no existing or threatened litigation or legal proceeding of which Developer is aware, other than the Bankruptcy Lawsuit, which could prevent Developer from entering into or performing its obligations set forth in this Agreement. 11.22 City Approvals and Actions by City Manager. City shall maintain authority of this Agreement and the authority to implement this Agreement through the City Manager. Except as otherwise provided in this Agreement or as required by applicable law (including the La Quinta Municipal Code), the City Manager (or authorized designee) shall have the authority to make approvals, issue interpretations, waive provisions, negotiate and enter into amendments to this Agreement and/or negotiate and enter into implementing agreements or documents on behalf of City so long as such actions do not materially or substantially change the business terms of this Agreement or the uses or development permitted on the Property, or materially or substantially add to the costs incurred or to be incurred by City as specified herein. Such approvals, interpretations, waivers, amendments, and/or implementing agreements or documents may include extensions of time to perform as 698/015610-0207 22795466.2 a09/18/25 135 specified in the Schedule of Performance. All other material and/or substantial interpretations, waivers, or amendments shall require the consideration, action and written consent of the City Council. Wherever the approval of the City is required under this Agreement, other than approvals required of the City acting in its governmental capacity, such approval shall not be unreasonably withheld, conditioned or delayed, unless expressly stated to the contrary in this Agreement. Nothing in this Section limits or precludes the City Manager from presenting to the Planning Commission and/or City Council, as applicable, for review and consideration any matters to which the City Manager otherwise may act on behalf of City pursuant to this Section. 11.23 No Brokers. Each of the City and the Developer represents to the other party that it has not engaged the services of any finder or broker and that it is not liable for any real estate commissions, broker's fees, or finder's fees which may accrue by means of this Agreement and agrees to hold harmless the other party from such commissions or fees as are alleged to be due from the party making such representations. 11.24 Counterpart Signature Pages. This Agreement may be signed in multiple counterparts which, when signed by all Parties, shall constitute a binding agreement. This Agreement shall be executed in two (2) originals, each of which is deemed to be an original. 698/015610-0207 22795466.2 a09/18/25 [end — signature page follows] -91- 136 IN WITNESS WHEREOF, Developer and City have executed this Agreement as of the Reference Date. "DEVELOPER" TBE RE Acquisition Co II LLC, a Delaware limited liability company and affiliate of Turnbridge Equities By: Its: Date: , 2025 By: Its: "CITY" CITY OF LA QUINTA, a California municipal corporation and charter city Date: , 2025 By: Jon McMillen, City Manager ATTEST: Monika Radeva, City Clerk APPROVED AS TO FORM RUTAN & TUCKER, LLP William H. Ihrke, City Attorney 698/015610-0207 22795466.2 a09/18/25 -92- 137 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 Riverside On , before me, (insert name and title of the officer) 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 698/015610-0207 22795466.2 a09/18/25 -93- (Seal) 138 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 Riverside On , before me, (insert name and title of the officer) 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 698/015610-0207 22795466.2 a09/18/25 M (Seal) 139 EXHIBIT A LEGAL DESCRIPTIONS SUBJECT TO THIS AGREEMENT [attached] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT A 140 EXHIBIT A-1 LEGAL DESCRIPTION OF PHASE 1A PROPERTY All that certain property located in the City of La Quinta, County of Riverside, State of California, described as follows: C Ol21»_�i THAT PORTION OF PARCELS 4 AND 18 OF PARCEL MAP NO. 37207, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY A MAP FILED IN BOOK 242, PAGES 72 THROUGH 87, INCLUSIVE OF PARCEL MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS: LOT "C" OF LOT LINE ADJUSTMENT NO. 2020-0010, AS DISCLOSED BY GRANT DEED RECORDED JULY 15, 2021 AS INSTRUMENT NO. 20210426711 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, STATE OF CALIFORNIA, AS DESCRIBED THEREIN. EXCEPTING THEREFROM ALL OIL, GAS, HYDROCARBON SUBSTANCES, AND MINERALS OF EVERY KIND AND CHARACTER LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE, TOGETHER WITH THE RIGHT TO DRILL INTO, THROUGH, AND TO USE AND OCCUPY ALL PARTS OF THE PHASE 1A AND 1 B PROPERTY LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE THEREOF FOR ANY AND ALL PURPOSES INCIDENTAL TO THE EXPLORATION FOR AND PRODUCTION OF OIL, GAS, HYDROCARBON SUBSTANCES OR MINERALS FROM SAID PHASE 1A AND 1 B PROPERTY OR OTHER LANDS, BUT WITHOUT, HOWEVER, ANY RIGHT TO USE EITHER THE SURFACE FROM SAID PHASE 1A AND 1 B PROPERTY OR ANY PORTION THEREOF WITHIN FIVE HUNDRED (500) FEET OF THE SURFACE FOR ANY PURPOSE OR PURPOSES WHATSOEVER, OR TO USE THE PHASE 1A AND 1 B PROPERTY IN SUCH A MANNER AS TO CREATE A DISTURBANCE TO THE USE OR ENJOYMENT OF THE PHASE 1A AND 1 B PROPERTY, AS RESERVED BY THE CITY OF LA QUINTA, A CALIFORNIA MUNICIPAL CORPORATION AND CHARTER CITY, IN THE GRANT DEED RECORDED NOVEMBER 28, 2018, AS INSTRUMENT NO. 2018-0464674 AND RECORDED NOVEMBER 6, 2017, AS INSTRUMENT NO. 2017-0463950, BOTH OF OFFICIAL RECORDS. APNs 777-490-058, 777-490-063, 777-490-064, 777-490-065 AND 777-490-066 (OLD APNs PORTION OF 777-490-041 and 777-490-051) [continues on next page] 698/015610-0207 22795466.2a09/18/25 EXHIBIT A-1 141 PARCEL B: THAT PORTION OF PARCELS 3 AND 4 OF PARCEL MAP NO. 37207, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY A MAP FILED IN BOOK 242, PAGES 72 THROUGH 87, INCLUSIVE OF PARCEL MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS: LOT "B" OF LOT LINE ADJUSTMENT NO. 2020-0010, AS DISCLOSED BY GRANT DEED RECORDED JULY 16, 2021 AS INSTRUMENT NO. 20210428113 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, STATE OF CALIFORNIA, AS DESCRIBED THEREIN. EXCEPTING THEREFROM ALL OIL, GAS, HYDROCARBON SUBSTANCES, AND MINERALS OF EVERY KIND AND CHARACTER LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE, TOGETHER WITH THE RIGHT TO DRILL INTO, THROUGH, AND TO USE AND OCCUPY ALL PARTS OF THE PHASE 1AAND 1B PROPERTY LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE THEREOF FOR ANY AND ALL PURPOSES INCIDENTAL TO THE EXPLORATION FOR AND PRODUCTION OF OIL, GAS, HYDROCARBON SUBSTANCES OR MINERALS FROM SAID PHASE 1A AND 1 B PROPERTY OR OTHER LANDS, BUT WITHOUT, HOWEVER, ANY RIGHT TO USE EITHER THE SURFACE FROM SAID PHASE 1A AND 1 B PROPERTY OR ANY PORTION THEREOF WITHIN FIVE HUNDRED (500) FEET OF THE SURFACE FOR ANY PURPOSE OR PURPOSES WHATSOEVER, OR TO USE THE PHASE 1A AND 1 B PROPERTY IN SUCH A MANNER AS TO CREATE A DISTURBANCE TO THE USE OR ENJOYMENT OF THE PHASE 1A AND 1 B PROPERTY, AS RESERVED BY THE CITY OF LA QUINTA, A CALIFORNIA MUNICIPAL CORPORATION AND CHARTER CITY, IN THE GRANT DEED RECORDED NOVEMBER 28, 2018, AS INSTRUMENT NO. 2018-0464674 AND RECORDED NOVEMBER 6, 2017, AS INSTRUMENT NO. 2017-0463950, BOTH OF OFFICIAL RECORDS. APNs 777-490-037, 777-490-057, 777-490-059 AND 777-490-068 (OLD APNs PORTION OF 777-490-040 AND 777-490-041) [continues on next page] 698/015610-0207 22795466.2a09/18/25 EXHIBIT A-1 142 PARCEL C: PARCEL 5 OF PARCEL MAP NO. 37207 AS SHOWN BY A MAP ON FILE IN BOOK 242 OF PARCEL MAPS, PAGES 72 THROUGH 87, INCLUSIVE, TOGETHER WITH PORTIONS OF PARCELS A AND B OF LOT LINE ADJUSTMENT NO. 2020-0005, RECORDED SEPTEMBER 2, 2021 AS DOCUMENT NO. 2021-0527060 OF OFFICIAL RECORDS OF SAID COUNTY, DESCRIBED AS FOLLOWS: PARCEL "A" OF LOT LINE ADJUSTMENT NO. 2023-0003 OF THE CITY OF LA QUINTA, AS DISCLOSED BY GRANT DEED RECORDED MAY 4, 2023 AS INSTRUMENT NO. 2023-0128115 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, STATE OF CALIFORNIA, AS DESCRIBED THEREIN. EXCEPTING FROM PARCEL 5 ABOVE, ALL OIL, GAS, HYDROCARBON SUBSTANCES, AND MINERALS OF EVERY KIND AND CHARACTER LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE, TOGETHER WITH THE RIGHT TO DRILL INTO, THROUGH, AND TO USE AND OCCUPY ALL PARTS OF THE PHASE 1A AND 1 B PROPERTY LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE THEREOF FOR ANY AND ALL PURPOSES INCIDENTAL TO THE EXPLORATION FOR AND PRODUCTION OF OIL, GAS, HYDROCARBON SUBSTANCES OR MINERALS FROM SAID PHASE 1A AND 1 B PROPERTY OR OTHER LANDS, BUT WITHOUT, HOWEVER, ANY RIGHT TO USE EITHER THE SURFACE FROM SAID PHASE 1A AND 1 B PROPERTY OR ANY PORTION THEREOF WITHIN FIVE HUNDRED (500) FEET OF THE SURFACE FOR ANY PURPOSE OR PURPOSES WHATSOEVER, OR TO USE THE PHASE 1A AND 1 B PROPERTY IN SUCH A MANNER AS TO CREATE A DISTURBANCE TO THE USE OR ENJOYMENT OF THE PHASE 1A AND 1 B PROPERTY, AS RESERVED BY THE CITY OF LA QUINTA, A CALIFORNIA MUNICIPAL CORPORATION AND CHARTER CITY, IN THE GRANT DEED RECORDED NOVEMBER 28, 2018, AS INSTRUMENT NO. 2018-0464674 AND RECORDED NOVEMBER 6, 2017, AS INSTRUMENT NO. 2017-0463950, BOTH OF OFFICIAL RECORDS. APNs: 777-490-042, 777-490-076 AND PORTIONS OF 777-490-072 AND 777-490-073 (OLD APNs PORTION of 777-490-043 and 777-490-044) [continues on next page] 698/015610-0207 22795466.2a09/18/25 EXHIBIT A-1 143 PARCEL D: PORTIONS OF PARCELS A THROUGH C, INCLUSIVE, OF LOT LINE ADJUSTMENT NO. 2020-0005, RECORDED SEPTEMBER 2, 2021 AS DOCUMENT NO. 2021- 0527060 OF OFFICIAL RECORDS OF SAID COUNTY. DESCRIBED AS FOLLOWS: PARCEL "B" OF LOT LINE ADJUSTMENT NO. 2023-0003 OF THE CITY OF LA QUINTA, AS DISCLOSED BY GRANT DEED RECORDED MAY 4, 2023 AS INSTRUMENT NO. 2023-0128115 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, STATE OF CALIFORNIA, AS DESCRIBED THEREIN. EXCEPTING THEREFROM ALL OIL, GAS, HYDROCARBON SUBSTANCES, AND MINERALS OF EVERY KIND AND CHARACTER LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE, TOGETHER WITH THE RIGHT TO DRILL INTO, THROUGH, AND TO USE AND OCCUPY ALL PARTS OF THE PHASE 1A AND 1 B PROPERTY LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE THEREOF FOR ANY AND ALL PURPOSES INCIDENTAL TO THE EXPLORATION FOR AND PRODUCTION OF OIL, GAS, HYDROCARBON SUBSTANCES OR MINERALS FROM SAID PHASE 1A AND 1 B PROPERTY OR OTHER LANDS, BUT WITHOUT, HOWEVER, ANY RIGHT TO USE EITHER THE SURFACE FROM SAID PHASE 1A AND 1 B PROPERTY OR ANY PORTION THEREOF WITHIN FIVE HUNDRED (500) FEET OF THE SURFACE FOR ANY PURPOSE OR PURPOSES WHATSOEVER, OR TO USE THE PHASE 1A AND 1 B PROPERTY IN SUCH A MANNER AS TO CREATE A DISTURBANCE TO THE USE OR ENJOYMENT OF THE PHASE 1A AND 1 B PROPERTY, AS RESERVED BY THE CITY OF LA QUINTA, A CALIFORNIA MUNICIPAL CORPORATION AND CHARTER CITY, IN THE GRANT DEED RECORDED NOVEMBER 28, 2018, AS INSTRUMENT NO. 2018-0464674 AND RECORDED NOVEMBER 6, 2017, AS INSTRUMENT NO. 2017-0463950, BOTH OF OFFICIAL RECORDS. APN: 777-490-074 AND PORTIONS OF APNs 777-490-072, 777-490-073, 777-490- 075, 777- 490-077, 777-490-079 AND 777-490-080 (OLD APNs PORTION of 777-490-043, 777-490-044 AND 777-490-045) [continues on next page] 698/015610-0207 22795466.2a09/18/25 EXHIBIT A-1 144 PARCEL E: [INTENTIONALLY OMITTED] PARCEL F: PORTIONS OF PARCELS B AND C OF LOT LINE ADJUSTMENT NO. 2020-0005, RECORDED SEPTEMBER 2, 2021 AS DOCUMENT NO. 2021-0527060 OF OFFICIAL RECORDS OF SAID COUNTY, DESCRIBED AS FOLLOWS: PARCEL "C" OF LOT LINE ADJUSTMENT NO. 2023-0003 OF THE CITY OF LA QUINTA, AS DISCLOSED BY GRANT DEED RECORDED MAY 4, 2023 AS INSTRUMENT NO. 2023-0128115 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, STATE OF CALIFORNIA, AS DESCRIBED THEREIN. EXCEPTING THEREFROM ALL OIL, GAS, HYDROCARBON SUBSTANCES, AND MINERALS OF EVERY KIND AND CHARACTER LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE, TOGETHER WITH THE RIGHT TO DRILL INTO, THROUGH, AND TO USE AND OCCUPY ALL PARTS OF THE PHASE 1A AND 1 B PROPERTY LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE THEREOF FOR ANY AND ALL PURPOSES INCIDENTAL TO THE EXPLORATION FOR AND PRODUCTION OF OIL, GAS, HYDROCARBON SUBSTANCES OR MINERALS FROM SAID PHASE 1A AND 1 B PROPERTY OR OTHER LANDS, BUT WITHOUT, HOWEVER, ANY RIGHT TO USE EITHER THE SURFACE FROM SAID PHASE 1A AND 1 B PROPERTY OR ANY PORTION THEREOF WITHIN FIVE HUNDRED (500) FEET OF THE SURFACE FOR ANY PURPOSE OR PURPOSES WHATSOEVER, OR TO USE THE PHASE 1A AND 1 B PROPERTY IN SUCH A MANNER AS TO CREATE A DISTURBANCE TO THE USE OR ENJOYMENT OF THE PHASE 1A AND 1 B PROPERTY, AS RESERVED BY THE CITY OF LA QUINTA, A CALIFORNIA MUNICIPAL CORPORATION AND CHARTER CITY, IN THE GRANT DEED RECORDED NOVEMBER 28, 2018, AS INSTRUMENT NO. 2018-0464674 AND RECORDED NOVEMBER 6, 2017, AS INSTRUMENT NO. 2017-0463950, BOTH OF OFFICIAL RECORDS. PORTION APN: 777-490-075, 777-490-077, 777-490-078, 777-490-079 AND 777-490- 080 (OLD APNs PORTION of 777-490-044 AND 777-490-045) [continues on next page] 698/015610-0207 22795466.2a09/18/25 EXHIBIT A-1 145 PARCEL G: PORTIONS OF PARCEL C OF LOT LINE ADJUSTMENT NO. 2020-0005, RECORDED SEPTEMBER 2, 2021 AS DOCUMENT NO. 2021-0527060 OF OFFICIAL RECORDS OF SAID COUNTY, DESCRIBED AS FOLLOWS: PARCEL "D" OF LOT LINE ADJUSTMENT NO. 2023-0003 OF THE CITY OF LA QUINTA, AS DISCLOSED BY GRANT DEED RECORDED MAY 4, 2023 AS INSTRUMENT NO. 2023-0128115 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, STATE OF CALIFORNIA, AS DESCRIBED THEREIN. EXCEPTING THEREFROM ALL OIL, GAS, HYDROCARBON SUBSTANCES, AND MINERALS OF EVERY KIND AND CHARACTER LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE, TOGETHER WITH THE RIGHT TO DRILL INTO, THROUGH, AND TO USE AND OCCUPY ALL PARTS OF THE PHASE 1AAND 1B PROPERTY LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE THEREOF FOR ANY AND ALL PURPOSES INCIDENTAL TO THE EXPLORATION FOR AND PRODUCTION OF OIL, GAS, HYDROCARBON SUBSTANCES OR MINERALS FROM SAID PHASE 1A AND 1 B PROPERTY OR OTHER LANDS, BUT WITHOUT, HOWEVER, ANY RIGHT TO USE EITHER THE SURFACE FROM SAID PHASE 1A AND 1 B PROPERTY OR ANY PORTION THEREOF WITHIN FIVE HUNDRED (500) FEET OF THE SURFACE FOR ANY PURPOSE OR PURPOSES WHATSOEVER, OR TO USE THE PHASE 1A AND 1 B PROPERTY IN SUCH A MANNER AS TO CREATE A DISTURBANCE TO THE USE OR ENJOYMENT OF THE PHASE 1A AND 1 B PROPERTY, AS RESERVED BY THE CITY OF LA QUINTA, A CALIFORNIA MUNICIPAL CORPORATION AND CHARTER CITY, IN THE GRANT DEED RECORDED NOVEMBER 28, 2018, AS INSTRUMENT NO. 2018-0464674 AND RECORDED NOVEMBER 6, 2017, AS INSTRUMENT NO. 2017-0463950, BOTH OF OFFICIAL RECORDS. PORTION APN: 777-490-079 (OLD APN PORTION of 777-490-045) [continues on next page] 698/015610-0207 22795466.2a09/18/25 EXHIBIT A-1 146 PARCEL H: LOTS 1 THROUGH 29 AND LOTS A THROUGH L, OF TRACT NO. 37730, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, FILED IN BOOK 479, PAGES 27 THROUGH 33 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. EXCEPT ALL OIL, GAS, HYDROCARBON SUBSTANCES, AND MINERALS OF EVERY KIND AND CHARACTER LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE, TOGETHER WITH THE RIGHT TO DRILL INTO, THROUGH, AND TO USE AND OCCUPY ALL PARTS OF THE PHASE 1A PROPERTY LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE THEREOF FOR ANY AND ALL PURPOSES INCIDENTAL TO THE EXPLORATION FOR AND PRODUCTION OF OIL, GAS, HYDROCARBON SUBSTANCES OR MINERALS FROM SAID PHASE 1A PROPERTY OR OTHER LANDS, BUT WITHOUT, HOWEVER, ANY RIGHT TO USE EITHER THE SURFACE FROM SAID PHASE 1A PROPERTY OR ANY PORTION THEREOF WITHIN FIVE HUNDRED (500) FEET OF THE SURFACE FOR ANY PURPOSE OR PURPOSES WHATSOEVER, OR TO USE THE PHASE 1A PROPERTY IN SUCH A MANNER AS TO CREATE A DISTURBANCE TO THE USE OR ENJOYMENT OF THE PHASE 1A PROPERTY, AS RESERVED BY THE CITY OF LA QUINTA, A CALIFORNIA MUNICIPAL CORPORATION AND CHARTER CITY, IN THE GRANT DEED RECORDED NOVEMBER 6, 2017, AS INSTRUMENT NO. 2017- 0463950 OF OFFICIAL RECORDS. APNs: 777-510-001 THRU -023; 777-510-025; 777-520-001 THRU -018 698/015610-0207 22795466.2a09/18/25 EXHIBIT A-1 147 PARCELI: Parcels E, F and G of Parcel Map No. 37207, in the City of La Quinta, County of Riverside, State of California, as shown by a Map filed for Record May 3, 2017 in Book 242, Pages 72 through 87, inclusive of Parcel Maps, in the Office of the County Recorder of said County. Excepting all oil, gas, hydrocarbon substances, and minerals of every kind and character lying more than five hundred (500) feet below the surface, together with the right to drill into, through, and to use and occupy all parts of the Phase 1A and 1 B property lying more than five hundred (500) feet below the surface thereof for any and all purposes incidental to the exploration for and production of oil, gas, hydrocarbon substances or minerals from said Phase 1A and 1 B property or other lands, but without, however, any right to use either the surface from said Phase 1A and 1 B property or any portion thereof within five hundred (500) feet of the surface for any purpose or purposes whatsoever, or to use the Phase 1 A and 1 B property in such a manner as to create a disturbance to the use or enjoyment of the Phase 1A and 1 B property, as reserved by The City of La Quinta, a California Municipal Corporation and Charter City, in the Grant Deed recorded November 28, 2018, as Instrument No. 2018-0464674, of Official Records. FOR INFORMATIONAL PURPOSES ONLY: APN: 777-490-053, 777-490-054, 777- 490-055 [End of legal description for Phase 1A Property] *Explanatory Note: All legal descriptions may be corrected, if necessary, prior to recording to conform with instructions from title or escrow officer(s) for final corrections. This explanatory note shall be deleted prior to recording. 698/015610-0207 22795466.2a09/18/25 EXHIBIT A-1 148 EXHIBIT A-2 LEGAL DESCRIPTION OF PHASE 1 B PROPERTY All that certain property located in the City of La Quinta, County of Riverside, State of California, described as follows: sym9 THAT PORTION OF PARCEL 10 OF PARCEL MAP NO. 37207, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY A MAP FILED IN BOOK 242, PAGES 72 THROUGH 87, INCLUSIVE OF PARCEL MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS: PARCEL "B" OF LOT LINE ADJUSTMENT NO. 2020-0007, AS DISCLOSED BY GRANT DEED RECORDED AUGUST 20, 2021 AS INSTRUMENT NO. 2021-0499856 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, STATE OF CALIFORNIA, AS DESCRIBED THEREIN. EXCEPTING THEREFROM ALL OIL, GAS, HYDROCARBON SUBSTANCES, AND MINERALS OF EVERY KIND AND CHARACTER LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE, TOGETHER WITH THE RIGHT TO DRILL INTO, THROUGH, AND TO USE AND OCCUPY ALL PARTS OF THE PHASE 1A AND 1 B PROPERTY LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE THEREOF FOR ANY AND ALL PURPOSES INCIDENTAL TO THE EXPLORATION FOR AND PRODUCTION OF OIL, GAS, HYDROCARBON SUBSTANCES OR MINERALS FROM SAID PHASE 1A AND 1 B PROPERTY OR OTHER LANDS, BUT WITHOUT, HOWEVER, ANY RIGHT TO USE EITHER THE SURFACE FROM SAID PHASE 1A AND 1 B PROPERTY OR ANY PORTION THEREOF WITHIN FIVE HUNDRED (500) FEET OF THE SURFACE FOR ANY PURPOSE OR PURPOSES WHATSOEVER, OR TO USE THE PHASE 1A AND 18 PROPERTY IN SUCH A MANNER AS TO CREATE A DISTURBANCE TO THE USE OR ENJOYMENT OF THE PHASE 1A AND 1 B PROPERTY, AS RESERVED BY THE CITY OF LA QUINTA, A CALIFORNIA MUNICIPAL CORPORATION AND CHARTER CITY, IN THE GRANT DEED RECORDED NOVEMBER 28, 2018, AS INSTRUMENT NO. 2018-0464674 AND RECORDED NOVEMBER 6, 2017, AS INSTRUMENT NO. 2017-0463950, BOTH OF OFFICIAL RECORDS. APN 777-060-083 [continues on next page] 698/015610-0207 22795466.2 a09/18/25 EXH I B IT A-2 149 PARCEL 2: THAT PORTION OF PARCEL 11 OF PARCEL MAP NO. 37207, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY A MAP FILED IN BOOK 242, PAGES 72 THROUGH 87, INCLUSIVE OF PARCEL MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS: PARCEL "C" OF LOT LINE ADJUSTMENT NO. 2020-0007, AS DISCLOSED BY GRANT DEED RECORDED AUGUST 20, 2021 AS INSTRUMENT NO. 2021-0499856 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, STATE OF CALIFORNIA, AS DESCRIBED THEREIN. EXCEPTING THEREFROM ALL OIL, GAS, HYDROCARBON SUBSTANCES, AND MINERALS OF EVERY KIND AND CHARACTER LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE, TOGETHER WITH THE RIGHT TO DRILL INTO, THROUGH, AND TO USE AND OCCUPY ALL PARTS OF THE PHASE 1A AND 1 B PROPERTY LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE THEREOF FOR ANY AND ALL PURPOSES INCIDENTAL TO THE EXPLORATION FOR AND PRODUCTION OF OIL, GAS, HYDROCARBON SUBSTANCES OR MINERALS FROM SAID PHASE 1A AND 1 B PROPERTY OR OTHER LANDS, BUT WITHOUT, HOWEVER, ANY RIGHT TO USE EITHER THE SURFACE FROM SAID PHASE 1A AND 1 B PROPERTY OR ANY PORTION THEREOF WITHIN FIVE HUNDRED (500) FEET OF THE SURFACE FOR ANY PURPOSE OR PURPOSES WHATSOEVER, OR TO USE THE PHASE 1A AND 1 B PROPERTY IN SUCH A MANNER AS TO CREATE A DISTURBANCE TO THE USE OR ENJOYMENT OF THE PHASE 1A AND 1 B PROPERTY, AS RESERVED BY THE CITY OF LA QUINTA, A CALIFORNIA MUNICIPAL CORPORATION AND CHARTER CITY, IN THE GRANT DEED RECORDED NOVEMBER 28, 2018, AS INSTRUMENT NO. 2018-0464674 AND RECORDED NOVEMBER 6, 2017, AS INSTRUMENT NO. 2017-0463950, BOTH OF OFFICIAL RECORDS. APN 777-060-085 [continues on next page] 698/015610-0207 22795466.2 a09/18/25 EXH I B IT A-2 150 PARCEL 3: PARCEL 12 OF PARCEL MAP NO. 37207, AS SHOWN BY A MAP FILED IN BOOK 242, PAGES 72 THROUGH 87, INCLUSIVE OF PARCEL MAPS, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. EXCEPTING THEREFROM ALL OIL, GAS, HYDROCARBON SUBSTANCES, AND MINERALS OF EVERY KIND AND CHARACTER LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE, TOGETHER WITH THE RIGHT TO DRILL INTO, THROUGH, AND TO USE AND OCCUPY ALL PARTS OF THE PHASE 1A AND 1 B PROPERTY LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE THEREOF FOR ANY AND ALL PURPOSES INCIDENTAL TO THE EXPLORATION FOR AND PRODUCTION OF OIL, GAS, HYDROCARBON SUBSTANCES OR MINERALS FROM SAID PHASE 1A AND 1 B PROPERTY OR OTHER LANDS, BUT WITHOUT, HOWEVER, ANY RIGHT TO USE EITHER THE SURFACE FROM SAID PHASE 1A AND 1 B PROPERTY OR ANY PORTION THEREOF WITHIN FIVE HUNDRED (500) FEET OF THE SURFACE FOR ANY PURPOSE OR PURPOSES WHATSOEVER, OR TO USE THE PHASE 1A AND 1 B PROPERTY IN SUCH A MANNER AS TO CREATE A DISTURBANCE TO THE USE OR ENJOYMENT OF THE PHASE 1A AND 1 B PROPERTY, AS RESERVED BY THE CITY OF LA QUINTA, A CALIFORNIA MUNICIPAL CORPORATION AND CHARTER CITY, IN THE GRANT DEED RECORDED NOVEMBER 28, 2018, AS INSTRUMENT NO. 2018-0464674 AND RECORDED NOVEMBER 6, 2017, AS INSTRUMENT NO. 2017-0463950, BOTH OF OFFICIAL RECORDS. APN 777-060-075 AND APN 777-060-078 [continues on next page] 698/015610-0207 22795466.2 a09/18/25 EXH I B IT A-2 151 PARCEL 4: THAT PORTION OF PARCELS 9, 10, 11 AND 19 OF PARCEL MAP NO. 37207, IN THE CITY OF LA QUINTA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY A MAP FILED IN BOOK 242, PAGES 72 THROUGH 87, INCLUSIVE OF PARCEL MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, DESCRIBED AS FOLLOWS: PARCEL "A" OF LOT LINE ADJUSTMENT NO. 2020-0007, AS DISCLOSED BY GRANT DEED RECORDED AUGUST 20, 2021 AS INSTRUMENT NO. 2021-0500015 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, STATE OF CALIFORNIA, AS DESCRIBED THEREIN. EXCEPTING THEREFROM ALL OIL, GAS, HYDROCARBON SUBSTANCES, AND MINERALS OF EVERY KIND AND CHARACTER LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE, TOGETHER WITH THE RIGHT TO DRILL INTO, THROUGH, AND TO USE AND OCCUPY ALL PARTS OF THE PHASE 1A AND 1 B PROPERTY LYING MORE THAN FIVE HUNDRED (500) FEET BELOW THE SURFACE THEREOF FOR ANY AND ALL PURPOSES INCIDENTAL TO THE EXPLORATION FOR AND PRODUCTION OF OIL, GAS, HYDROCARBON SUBSTANCES OR MINERALS FROM SAID PHASE 1A AND 1 B PROPERTY OR OTHER LANDS, BUT WITHOUT, HOWEVER, ANY RIGHT TO USE EITHER THE SURFACE FROM SAID PHASE 1A AND 1 B PROPERTY OR ANY PORTION THEREOF WITHIN FIVE HUNDRED (500) FEET OF THE SURFACE FOR ANY PURPOSE OR PURPOSES WHATSOEVER, OR TO USE THE PHASE 1A AND 1 B PROPERTY IN SUCH A MANNER AS TO CREATE A DISTURBANCE TO THE USE OR ENJOYMENT OF THE PHASE 1A AND 1 B PROPERTY, AS RESERVED BY THE CITY OF LA QUINTA, A CALIFORNIA MUNICIPAL CORPORATION AND CHARTER CITY, IN THE GRANT DEED RECORDED NOVEMBER 28, 2018, AS INSTRUMENT NO. 2018-0464674 AND RECORDED NOVEMBER 6, 2017, AS INSTRUMENT NO. 2017-0463950, BOTH OF OFFICIAL RECORDS. APNs: 777-490-046, 777-490-071, 777-060-082, AND 777-060-084 (OLD APNs PORTION of 777-490-052, 777-060-076 and 777-060-077) [end of legal description for Phase 1 B Property] *Explanatory Note: All legal descriptions may be corrected, if necessary, prior to recording to conform with instructions from title or escrow officer(s) for final corrections. This explanatory note shall be deleted prior to recording. 698/015610-0207 22795466.2 a09/18/25 EXH I B IT A-2 152 EXHIBIT A-3 LEGAL DESCRIPTION OF PHASE 2 PROPERTY All that certain property located in the City of La Quinta, County of Riverside, State of California, described as follows: NO C 91M9 Parcels 13, 14, and 15 of Parcel Map No. 37207, in the City of La Quinta, County of Riverside, State of California, as shown by a Map filed for Record May 3, 2017 in Book 242, Pages 72 through 87, inclusive of Parcel Maps, in the Office of the County Recorder of said County. PARCEL 2- Parcel 16 of Parcel Map No. 37207, in the City of La Quinta, County of Riverside, State of California, as shown by a Map filed for Record May 3, 2017 in Book 242, Pages 72 through 87, inclusive of Parcel Maps, in the Office of the County Recorder of said County. NOTE: NOTWITHSTANDING THE ABOVE -REFERENCED LEGAL DESCRIPTION FOR PARCEL 16 ABOVE, THE PHASE 2 PROPERTY DOES NOT INCLUDE SILVERROCK PARK AND RETENTION BASIN, AS SET FORTH IN THE REINSTATED DEVELOPMENT AGREEMENT, RECITAL D AND DEFINITIONS OF "PHASE 2 PROPERTY" / "CITY OWNED OPTION PROPERTY' *Explanatory Note: All legal descriptions may be corrected, if necessary, prior to recording to conform with instructions from title or escrow officer(s) for final corrections. This explanatory note shall be deleted prior to recording. 698/015610-0207 22795466.2 a09/18/25 EXH I B IT A-3 153 EXHIBIT A-4 LEGAL DESCRIPTION OF CITY -OWNED AHMANSON RANCH PROPERTY All that certain property located in the City of La Quinta, County of Riverside, State of California, described as follows: Parcel 2 of Parcel Map No. 37207, in the City of La Quinta, County of Riverside, State of California, as shown by a Map filed for Record May 3, 2017 in Book 242, Pages 72 through 87, inclusive of Parcel Maps, in the Office of the County Recorder of said County. *Explanatory Note: All legal descriptions may be corrected, if necessary, prior to recording to conform with instructions from title or escrow officer(s) for final corrections. This explanatory note shall be deleted prior to recording. 698/015610-0207 22795466.2 a09/18/25 EXH I B IT A-4 154 EXHIBIT A-5 LEGAL DESCRIPTION OF CITY -OWNED GOLF COURSE PROPERTY All that certain property located in the City of La Quinta, County of Riverside, State of California, described as follows: Parcels 17, 18, 19, and 20 of Parcel Map No. 37207, in the City of La Quinta, County of Riverside, State of California, as shown by a Map filed for Record May 3, 2017 in Book 242, Pages 72 through 87, inclusive of Parcel Maps, in the Office of the County Recorder of said County. *Explanatory Note: All legal descriptions may be corrected, if necessary, prior to recording to conform with instructions from title or escrow officerLs) for final corrections. This explanatory note shall be deleted prior to recording. 698/015610-0207 22795466.2 a09/18/25 EXHIBIT A-5 155 EXHIBIT B SITE MAPS [attached] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT B 156 7, IM cv! �16 Nt qb FPJPL 7-54 t' Phase 2 RaNw" GENERAL SITE MAP (2025 SilverRock Master Plan) [Site Maps Continue on Next Page] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT B 158 ANNOTATED SITE MAP (2025 SilverRock Master Plan) :rip*Option Land' Residential Lots / 29 tots \ ` Avg Lot SF: 14,110 ♦ ;��- ♦�` ;fix `♦ Luxury Hotel • R keys: 150 l Spa SF: 21.000 ✓"♦ Lobby SF: 25,000 \� Luxury Hotel Branded Condominiums & Clubhouse "•``" Branded Single Family Home Lots Public Golf Clubhouse E ' Phase 1A L7 r/ Phase 1 B/ Phase 2 Option La Gott Clubhouse Clubhouse: 16,200sf Hotel Banquet / BOH Banquet: 21,600 sf BOH: 26,000 sf Condominiums 70 Condos (Avg 3,000 sf) Clubhouse (15,000 at) Phase 2 Option Land Residential Lots �93tots 1 Avg Lot SF:20k Phase 2 Option Land' *All square footage amounts and condominium unit numbers are approximate. **Permitted maximum amounts (for instance, 70 condominium units) shall be governed by and as set forth in the Agreement Addendum, Project Description, and Scope of Work. ** 698/015610-0207 22795466.2 a09/18/25 [Site Maps Continue on Next Page] EXHIBIT B 159 PHASE 1A DETAILED SITE MAP (2025 SilverRock Master Plan) Residences 29 tots Avg 14,1 lost Spa (21,000sf) Ahmanson House Adult Pool 1 New Guest ' Rooms (16 rooms Lobby Building (24,BOOst) Family Pool 698/015610-0207 22795466.2 aO9/18/25 Luxury Hotel 150 keys total 134ex,sbng 116naw [Site Maps Continue on Next Page] EXHIBIT B Golf Clubhouse (16,200sf) Hotel Banquet (21,600st) BOH (26,o0oso Condominium 10 Condominium buildings 6 units / bldg. 3,000st Avg Unit Residential Clubhouse & Pool 115.noo,f) Luxury Hotel Branded Condominiums 8 Clubhouse Branded Single Family Homes Public Golf Clubhouse 160 PA1-Golf Course (existing) PA2 - Luxury Brandy (29 lots) PA3-Luxury Hotel (154 guest rooms. Ir restaurants, retail. BOH. etc. totaling 2 698/015610-0207 22795466.2 a09/18/25 SITE MAP BY PLANNING AREAS (PAs) (2025 SilverRock Master Plan) [Site Maps Continue on Next Page] EXHIBIT B - Public Golf Clubhouse 0000) - Luxury Hotel Banquet & kof House Functions rquet: 25,000'f) H: 30,0005f) - Luxury Branded Condominiums units) idem Clubhouse & Facilities 000sf) - Luxury Branded Residences ors) -Future Golf, Residential, Commercial hole private golf course, 253 dentist units, and 40,000sf tmercist) 161 SITE MAP OF PHASE 2 PROPERTY (2025 SilverRock Master Plan) Orange area is Phase 2 Property (i.e., City -Owned Option Property) appx. 193+/- acres I s _beto.a — �nnr_Ne,� [Site Maps Continue on Next Page] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT B 162 SITE MAP OF EXISTING SILVERROCK PARK AND RETENTION BASIN (Not Included in the Phase 2 Property) 698/015610-0207 22795466.2 a09/18/25 SilverRock Park and Retention Basin, appx. 24+/- acres s - --___- [End of Exhibit B - Site Maps] EXHIBIT B 163 EXHIBIT C PROJECT DESCRIPTION (2025 SilverRock Master Plan) The 2025 SilverRock Master Plan reconfigures the hotel, resort residential, commercial, golf course and related ancillary support uses planned to complement the existing public golf course and related public facilities on the SilverRock site in La Quinta. The 2025 Master Plan includes an up to 154-room Luxury Resort Hotel with supporting facilities, 192 single-family and condominium resort residential units and a new clubhouse for the existing public golf course in the first phase development areas. The second phase will include the development of an 18-hole private golf course, 253 residential units and 40,000 square feet of commercial development. (Developer's acquisition of the Phase 2 Property where Planning Area 8 is located is subject to the Option Agreement as identified in this Reinstated Development Agreement, but Developer may elect to combine Phase 1 B and Phase 2 Pre -Closing Work if Developer satisfies the provisions and requirements in Section 3.1.5(B) of this Reinstated Development Agreement.) The 2025 Master Plan is consistent with the SilverRock Specific Plan as approved by the City in 2006. As shown in the attached table, the amount of development planned is consistent with, and less intensive, than analyzed in the City's prior environmental review documents for the SilverRock Resort Project, including the 2002 Mitigated Negative Declaration (MND) adopted at the time the City acquired the property; the 2006 Addendum to the Adopted MND evaluating the Specific Plan; the 2014 Addendum to the Adopted MND analyzing the Master Plan proposed at that time; and the 2018 Master Plan in Amendment No. 3 to the Purchase, Sale and Development Agreement (PSDA). [End of Project Description] EXHIBIT C 164 EXHIBIT D SCOPE OF WORK / SCOPE OF DEVELOPMENT This Reinstated Development Agreement governs the pre -development, development, land uses, operations, maintenance and repair of the Phase 1 Property, and the "work" includes any and all activities necessary and property to complete the Project on the Phase 1 Property. Pursuant to Section 6.2.2 of this Reinstated Development Agreement, the Phase 2 Property (i.e., City -Owned Option Property) shall be subject to either an amendment to this Agreement or new development agreement to provide (among other terms and conditions) more detail on the Scope of Work for the Phase 2 Property, which pursuant to this Agreement will correspond to the work to be completed in Planning Area 8. All work for the Project shall be conducted and completed in accordance with the Project Approvals as defined in this Reinstated Development Agreement. The work is to be completed in phases as provided in this Agreement and according to the Schedule of Performance, with the phases of the work to be organized and completed in eight (8) Planning Areas as depicted in the Site Maps by Planning Areas (PAs). The work by Planning Area is generally described as follows: Planning Area 1 - SilverRock Golf Course (existing) Planning Area 1 consists of approximately 173 acres, which consists primarily of the existing Arnold Palmer Classic Golf Course. The Planning Area also contains the existing Ahmanson Ranch House, which sits on a 1.5-acre parcel, and the 3-acre golf course maintenance facility site located at the southern boundary of the SilverRock Resort Area adjacent to 54th Avenue. As currently contemplated by the project, the Golf Course will receive upgrades performed by the Developer and will have the right, but not the obligation, to conduct golf course improvements during City's ownership. Planning Area 2 - Luxury Branded Residences Phase 1A Planning Area 2 consists of approximately 14 acres and 29 residential lots and a private street. It is anticipated that the residences will range from approximately 4,000sf - 5,500sf. A portion of the existing residential lots have partially -constructed improvements on them that will likely be demolished. The residential lots will be branded with the Luxury Hotel and be sold to private buyers. Developer may build a few speculative homes as model homes, but as contemplated, each residential lot buyer will build their own home with the oversight of Developer and/or Hotel Manager. Additionally, each residential lot will be permitted as a Short -Term Vacation Rental, but Developer, Hotel Owner, Hotel Manager will have final say over which lots can be entered into the rental pool. 698/015610-0207 22795466.2 a09/18/25 EXHIBIT D 165 Planning Area 3 & 5 - Luxury Hotel Planning Area 3 consists of approximately 23 acres and currently has partially - constructed improvements for the prior Luxury Hotel. Some of the existing improvements may stay as part of the new Luxury Hotel and some may be demolished. The new Luxury Hotel will include approximately 250,000sf of buildings, including a lobby building with restaurant, bar, retail, and back of house uses, spa, fitness, wellness, pools, cabanas, pool bar, guest rooms, and ancillary uses. Planning Area 5 consists of approximately 9.1 acres and currently has partially - constructed improvements for the prior Luxury Hotel including a Conference Center and Shared Services building. Some of the existing improvements may stay as part of the new Luxury Hotel and some may be demolished. The new Luxury Hotel will include approximately 55,000sf of banquet and back -of -house buildings plus parking and outdoor event areas and hotel amenities. In addition, it is currently conceived to extend the existing Ahmanson Way to the northern portion of SilverRock Way between Planning Areas 4 & 5. Planning Area 4 - Public Golf Clubhouse Planning Area 4 consists of approximately 3.3 acres and previously contemplated as parking for the Luxury Hotel. The project currently conceives relocating the Public Golf Clubhouse to Planning Area 4 so that it is more accessible to the public as they enter the SilverRock Resort Area off of Avenue 52 and will be adjacent to the Public Park and golf course. The Public Golf Clubhouse will be approximately 16,000sf and planned to serve the Silver Rock Golf Course in Planning Area 1. Planning Area 6 - Luxury Branded Condominiums Planning Area 6 consists of approximately 18.4 acres and previously contemplated as the Lifestyle Hotel and Public Golf Clubhouse. The project currently conceives demolition of the partially -constructed Public Golf Clubhouse and to be replaced with approximately 70 luxury branded condominium units, a private branded -residences clubhouse, amenities, and private streets. The approximately 70 condominiums will range from approximately 2,000 - 3,500sf each. The condominiums will be built in phases across multiple buildings as opposed to one large building. Each condominium building will have covered parking and up to three levels of condominium units. The private branded residences clubhouse will be approximately 20,000sf and include a fitness area, meeting space, F&B, and amenities areas. Other residential amenities include a pool, tennis, pickleball, padel, and kids area. Planning Area 7 - Luxury Branded Residences Phase 1 B Planning Area 7 consists of approximately 65.8 acres and 93 residential lots and private streets. It is anticipated that the residences will range from approximately 4,000sf - 5,500sf. The residential lots will be branded with the Luxury Hotel and be sold to private buyers. Developer may build a few speculative homes as model homes, but as contemplated, each residential lot buyer will build their own home with the oversight of Developer and/or Hotel Manager. Additionally, each residential lot will be permitted as a Short -Term Vacation Rental, but Developer, Hotel Owner, Hotel Manager will have final say over which lots can be entered into the rental pool. 698/015610-0207 22795466.2 a09/18/25 EXHIBIT D 166 Planning Area 8 - Phase 2 - Golf, Residential, Commercial Planning Area 8 consists of approximately 193+/- acres and as currently contemplated will be developed with a private 18-hole golf course, 253 private residential lots, 40,000sf of commercial, with new private streets. (Developer's acquisition of the Phase 2 Property where Planning Area 8 is located is subject to the Option Agreement as identified in this Reinstated Development Agreement, but Developer may elect to combine Phase 1 B and Phase 2 Pre -Closing Work if Developer satisfies the provisions and requirements in Section 3.1.5(B) of this Reinstated Development Agreement.) [End of Scope of Work] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT D 167 EXHIBIT E PROJECT SCHEDULE / SCHEDULE OF PERFORMANCE [Attached] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT E 168 With a goal to better understand the quality and functionality of the existing improvements, Developer will evaluate onsite improvements to determine if preservation is appropriate Within 6 months of Reinstatement Date, Developer to start engineering and testing of existing improvements. If determined to preserve an existing improvement and work is required to be completed in order to preserve an improvement, then Developer to start the preservation work within 6 months of determination. 12 months after preservation work commences. Includes Lobby, Guest Room Buildings, Spa, Within 24 months of Reinstatement 36 months after Start Date; Wellness, Fitness, Banquet, BOH ("Back of Date;2 Completion of the Luxury Hotel House") Commencement of the Luxury Hotel Project Component is a "Project Project Component is a "Project Milestone" Milestone" Includes public golf clubhouse building, Within 24 months of Reinstatement 36 months after Start Date; parking lot, pro shop, F&B Date;2 Completion of the Public Golf Commencement of the Public Golf Clubhouse Project Component is Clubhouse Project Component is a a "Project Milestone" "Project Milestone" Applicable to the first condo phase with a Within 24 months of Reinstatement Date` 36 months after Start Date minimum of six units. Subsequent condo building phases will commence after pre - sale targets are met and market conditions allow for subsequent phases. Residential lots in Phase 1A to include approximately 29 tots. To be sold as finished lots to private buyers. 6981015610-0207 22795466.2 a09/18/25 Within 24 months of Reinstatement D EXHIBIT E 84 months after Start Date3 •! 6. Phase 16 Luxury Branded Residences Project Component (93 lots) approximately 93 lots. To be sold as Luxury Branded Residences Project finished lots to private buyers. Component Completion Date 96 months after Start Date Month 1445 'Definitions of "Completion Date" For the Luxury Hotel and Public Golf Clubhouse Project Components, Completion Date shall be defined as substantially open for use by hotel guests and public golf clubhouse guests. "Substantially open" shall mean: (a) City issuance of a final Certificate of Occupancy, or temporary Certificate of Occupancy with only "punch list" items remaining to obtain a final Certificate of Occupancy, and (b) regular operations are in place to market to and receive payments from guests, or if there is a "soft opening," regular operations are anticipated to commence for marketing and receiving payments within three (3) to six (6) months of the purported "soft opening" date. For the Phase 1A Luxury Branded Condominiums Project Component, Completion Date shall be defined as the City issuance of a Temporary Certificate of Occupancy for the first condo unit. Subsequent Condo phases will be completed after pre -sale targets are met and market conditions allow for subsequent phases. For the Phase IA Luxury Branded Residences Project Component, Completion Date shall be defined as finished lots and no less than one-half (112) of the single-family luxury residences have been completely constructed on the lots. Developer and Permitted Hotel Operator have a binding agreement in place for the management of the single family Lots in Planning Area 2. For the Phase 1B Luxury Residential Project Component, Completion Date shall be defined as finished lots and no less than one-half (1/2) of the single-family luxury residences have been completely constructed on the lots. For the Phase 1 Property Target Completion of Construction, Completion Date shall be defined as finished lots and no less than one-half (1/2) of the single-family luxury residences have been completely constructed on the lots for Phase IA and Phase 1B. '"Reinstatement Date" for purposes of this Schedule of Performance only is defined as the later of (i) the Development Agreement Reinstatement Date as defined in Section 1.3 of the Reinstated Development Agreement, and (ii) the running of the statute of limitations and referendum petition deadlines to challenge the adoption of the Reinstated Development Agreement with no legal challenges or petition having been filed or submitted, or if filed or submitted, successfully resolved to the satisfaction of Developer and City. 'The 84 month timeline allows 24 months to sell 50% of the lots, then 24 months for lot buyers to start construction, and 36 months to complete construction of the homes. 'The 96 month timeline allows 36 months to sell 50% of the lots, then 24 months for lot buyers to start construction, and 36 months to complete construction of the homes. Vhase 1 Property Target Completion of Construction is an estimated target completion date for all Project Components and the extension options described below are still applicable. [End of Schedule of Performance] 6981015610-0207 22795466.2 a09/18/25 EXHIBIT E 170 EXHIBIT F PRE -BANKRUPTCY SUBDIVISION MAPS AND PERMITS The below -listed Project Site Development Permits (as defined in this Agreement) were approved before the Bankruptcy Lawsuit was filed and shall be deemed to remain valid, to the extent any Scope of Work by Developer for Developer's Project may be facilitated by the below -listed permits. PARCEL AND TRACT MAPS NUMBER RESOLUTION DESCRIPTION LOCATION APPLICANT PM 33367 2007-113 Conditional Final Generally City of La Quinta Parcel Map located south Redevelopment Approval & Time of Avenue Agency Ext 52, east of Coral Reef Mountains, west of Jefferson Street, north of Avenue 54 Conditional Final SWC of Parcel Map Jefferson SilverRock PM 37207 2017-012 Approval - Street and Development Recorded Avenue 52 Company, LLC 05/03/2017 Approving PC 2020-011 Tentative Tract *Approved Map TTM2020- TTM2020- 9/14/2021 0006 (TTM 37929) Former SilverRock 0006 *Expiration Map for 10 Planning Development Extension to residential lots on Area 1OA-1 Company, LLC 3/14/2026 (AB 18.37 acres (former 2729 (2024)) Lifestyle bungalow residences Approval of final tract map and CC 2021-012 subdivision Planning TR 37730 *Conditionally improvement Area 2; SilverRock Phase Approved agreement for TR Luxury I, LLC 4/20/2021 37730, authorizing Residences a time extension for completion 6981015610-0207 22795466.2 a09/18/25 EXHIBIT F 171 Approval of final Former (and CC 2021-021 tract map and current) TR 37730 *Approved subdivision Planning SilverRock Phase 6/15/2021 improvement Area 2; I, LLC agreement for TR Luxury 37730 Residences LOT -LINE ADJUSTMENTS LLA NUMBER RECORDING INFORMATION LLA No. 2020-0005 Evidenced by Grant Deed, Recorded Sept. 2, 2021, Document No. 2021-0527060 of the Official Records in Riverside County, CA LLA No. 2020-0007 Evidenced by Grant Deed, Recorded Aug. 20, 2021, Document No. 2021-0500015 of the Official Records in Riverside County, CA LLA No. 2020-0010 Evidenced by Grant Deed, Recorded July 16, 2021, Document No. 2021-0428113 of the Official Records in Riverside County, CA LLA No. 2023-0003 Evidenced by Grant Deed, Recorded May 4, 2023, Document No. 2023-0128115 of the Official Records in Riverside County, CA LLA NUMBER DESCRIPTION PARCEL OR TRACT MAP LLA 2016-0007 Parcels A, B & C PM 33367 LLA 2020-0005 Parcels A, B & C PM 37207 LLA 2020-0007 Parcel A PM 37207 LLA 2020-0007 Parcel D PM 37207 LLA 2020-0007 Parcels B & C PM 37207 LLA 2020-0010 Parcel A PM 37207 LLA 2020-0010 Parcel B PM 37207 LLA 2020-0010 Parcel C PM 37207 LLA 2020-0010 Parcel D PM 37207 LLA 2023-0003 Parcel 5 - A, B, C & D PM 37207 6981015610-0207 22795466.2 a09/18/25 [continues on next page] EXHIBIT F 172 SITE DEVELOPMENT PERMITS PROJECT RESOLUTION DESCRIPTION LOCATION APPLICANT NUMBER SDP 2016- PC 2016-016 SRR-Luxury Hotel, Former SilverRock 0005 *Approved Spa, Residences: Planning Development 10/25/2016 Conference Center Areas 2, 3, 4 Company, LLC SRR-Luxury Hotel, SDP 2016- CC 2016-051 Spa, Residences. Former SilverRock 0005 *Approved Conference Center, Planning Development 12/20/2016 Bighorn Sheep Areas 2, 3, 4 Company, LLC Fence CC 2017-001 SRR-Luxury Hotel: Former SilverRock SDP 2016- *Approved Golf Course, Golf Planning Development 0009 1/3/2017 Villas Areas 5, 61 Company, LLC 1 OA-1 SDP 2017- CC 2017-056 *Approved SRR Temp. Golf Former SilverRock 0013 Clubhouse Planning Area Development 11/7/2017 10A Company, LLC SRR-Luxury Hotel, SDP SDP 2018- CC 2018-051 Spa, Residences, Former SilverRock 0010 *Approved Conference Center Planning Development 10/16/2018 (SDP 2016-0005 Areas 2, 3, 4 Company, LLC Time Ext. 1 SRR-Talus Hotel, Former SilverRock SDP 2018- CC 2018-052 Golf Course, Golf Planning Development 0011 Villas (SDP 2016- Areas 5, 6, Company, LLC 0009 Time Ext. 1 1OA-1 SIGN PERMITS PERMIT NO. DESCRIPTION LOCATION APPLICANT SilverRock Resort Semi- Various SA locations along LDD SilverRock, Permanent Sign (6) 2007-1 113 *approved 3/28/2007 Jefferson Street LLC and Avenue 52 [continues on next page] 6981015610-0207 22795466.2 a09/18/25 EXHIBIT F 173 MODIFICATION BY APPLICANT PERMITS PERMIT NO. DESCRIPTION LOCATION APPLICANT Former Luxury Hotel & Shared within the SilverRock MBA Services Complex SilverRock Development 2020-0005 *approved 5/7/2020 Specific Plan Company, LLC Former Lifestyle Hotel & within the SilverRock MBA Residences SilverRock Development 2020-0006 *approved 5/12/2020 Specific Plan Company, LLC BUILDING PERMITS AND PLANS TYPE SUBTYPE PERMIT NO. APPROVED ISSUED STATUS Building n/a BCOM2019- Commercial 0029 6/24/2019 6/25/2019 FINALED BC BC (Web) Garage BCOM2019- 6/19/2019 6/26/2019 ISSUED 0028 BC (Web) Hotel/Motel BCOM2019- 7/21/2021 APPROVED- H/M 0056 CONDITIONS BC (Web) H/M BCOM2021- 7/21/2021 7/22/2021 ISSUED 0034 BC (Web) H/M BCOM2021- 7/21/2021 APPROVED- 0044 CONDITIONS BC (Web) H/M BCOM2021- 7/21/2021 APPROVED- 0045 CONDITIONS BC (Web) H/M BCOM2021- 7/21/2021 3/16/2022 ISSUED 0046 BC (Web) H/M BCOM2021- 7/21/2021 APPROVED- 0047 CONDITIONS BC (Web) H/M BCOM2021- 7/21/2021 APPROVED- 0048 CONDITIONS BC (Web) H/M BCOM2021- 7/21/2021 APPROVED- 0049 CONDITIONS BC (Web) H/M BCOM2021- 7/21/2021 APPROVED- 0050 CONDITIONS BC (Web) H/M BCOM2021- 7/21/2021 APPROVED- 0051 CONDITIONS BC (Web) H/M BCOM2021- 7/21/2021 APPROVED- 0052 CONDITIONS [Building Permits and Plans continued on next page] 6981015610-0207 22795466.2 a09/18/25 EXHIBIT F 174 TYPE SUBTYPE PERMIT NO. APPROVED ISSUED STATUS BC (Web) H/M BCOM2021- 7/21/2021 APPROVED- 0053 CONDITIONS BC (Web) H/M BCOM2021- 7/21/2021 APPROVED- 0054 CONDITIONS BC (Web) H/M BCOM2021- 7/21/2021 APPROVED- 0055 CONDITIONS BC (Web) H/M BCOM2021- 7/21/2021 APPROVED- 0056 CONDITIONS BC (Web) H/M BCOM2021- 7/21/2021 6/3/2022 ISSUED 0057 BC (Web) H/M BCOM2021- 7/21/2021 6/3/2022 ISSUED 0058 BC (Web) H/M BCOM2021- 7/21/2021 5/31/2022 ISSUED 0059 BC (Web) H/M BCOM2021- 7/21/2021 5/31/2022 ISSUED 0060 BC (Web) H/M BCOM2021- 7/21/2021 3/16/2022 ISSUED 0061 BC (Web) H/M BCOM2021- 7/21/2021 3/16/2022 ISSUED 0062 BC (Web) H/M BCOM2021- 7/21/2021 3/16/2022 ISSUED 0063 BC (Web) H/M BCOM2021- 7/21/2021 3/16/2022 ISSUED 0064 BC (Web) H/M BCOM2021- 7/21/2021 3/16/2022 ISSUED 0065 BC (Web) H/M BCOM2021- 7/21/2021 10/22/2021 ISSUED 0066 BC (Web) H/M BCOM2021- 7/21/2021 10/22/2021 ISSUED 0067 BC (Web) H/M BCOM2021- 7/21/2021 10/22/2021 ISSUED 0068 BC (Web) H/M BCOM2021- 7/21/2021 10/22/2021 ISSUED 0069 BC (Web) H/M BCOM2021- 7/21/2021 10/22/2021 ISSUED 0070 BC (Web) H/M BCOM2021- 7/21/2021 10/22/2021 ISSUED 0071 BC (Web) H/M BCOM2021- 7/21/2021 10/22/2021 ISSUED 0072 BC (Web) H/M BCOM2021- 7/21/2021 10/22/2021 ISSUED 0073 [Building Permits and Plans continued on next page] 698/015610-0207 22795466.2a09/18/25 EXHIBIT F 175 TYPE SUBTYPE PERMIT APPROVE ISSUED STATUS NO. D BC (Web) H/M BCOM2021 7/21/2021 10/22/202 ISSUED -0074 1 BC (Web) H/M BCOM2021 7/21/2021 10/22/202 ISSUED -0075 1 BC (Web) H/M BCOM2021 7/21/2021 10/22/202 ISSUED -0076 1 BC (Web) Other Non- Residential BCOM2019 10/4/2021 10/4/2021 ISSUED -0070 Other N-R BC (Web) Other N-R BCOM2019 EXPIRED -0072 BC (Web) Other N-R BCOM2021 7/21/2021 7/22/2021 ISSUED -0035 BC (Web) Other N-R BCOM2021 7/21/2021 7/22/2021 ISSUED -0036 BC (Web) Other N-R BCOM2021 10/14/2021 10/14/202 ISSUED -0092 1 BC (Web) Other N-R BCOM2021 10/14/2021 10/14/202 ISSUED -0093 1 BC (Web) Other N-R BCOM2021 10/14/2021 10/14/202 ISSUED -0094 1 BC (Web) STORES/ CUSTOMER 21 7/21/2021 7/22/2021 ISSUED 0037 -0037 SERVICE BUILDING CONSTRUCTIO OTHER BCPAPPROVED- 19- 10/25/202 N PLAN CONSTRUCTIO 004 0004 7/6/2020 1 CONDITION REVIEW (BCPR) N S WEB OTHER BCPR2019- 10/25/202 APPROVED- BCPR (WEB) 0006 7/21/2021 1 CONDITION NONSTRUCTIO BCPR (WEB) OTHER CONSTRUCTIO BCPR2019- 4/17/2020 EXPIRED N 0012 BCPR (WEB) TRACT BCPR2019- 6/24/2021 12/31/202 EXPIRED RESIDENTIAL 0003 2 BCPR (WEB) TRACT BCPR2019- EXPIRED RESIDENTIAL 0011 BCPR (WEB) TRACT BCPR2019- RESIDENTIAL 0013 EXPIRED BCPR (WEB) TRACT BCPR2022- REVISIONS RESIDENTIAL 0012 REQUESTE D [Building Permits and Plans continued on next page] 6981015610-0207 22795466.2 a09/18/25 EXHIBIT F 176 TYPE SUBTYPE PERMIT APPROVED ISSUED STATUS NO. BUILDING UNDER PERMIT BCOM2022- REVIEW APPLICATION - NEW BUILDING 0029 n/a n/a (applied on COMMERCIAL WEB 5/25/2022) DWELLING - BUILDING SINGLE FAMILY BRES2021- RESIDENTIAL 6/24/2021 6/24/2021 ISSUED (BR) (WEB) DETACHED 0312 D-SFD BR (Web) D-SFD BRES2021- 6/24/2021 6/24/2021 ISSUED 0313 BR (Web) D-SFD BRES2021- 6/24/2021 6/24/2021 ISSUED 0314 BR (Web) D-SFD BRES2021- EXPIRED 0529 BR (Web) D-SFD BRES2021- 11/22/2021 11/22/2021 ISSUED 0530 BR (Web) D-SFD BRES2021- 11/22/2021 11/22/2021 ISSUED 0531 BR (Web) D-SFD BRES2021- 11/22/2021 11/22/2021 ISSUED 0532 BR (Web) D-SFD BRES2021- 11/22/2021 11/22/2021 ISSUED 0533 BR (Web) D-SFD BRES2021- 11/22/2021 11/22/2021 ISSUED 0534 BELC2019- ELECTRICAL 0066 6/10/2019 6/10/2019 EXPIRED ELECTRICAL BELC2019- 3/21/2019 3/21/2019 FINALED WEB 0015 ELECTRICAL BELC2021- EXPIRED WEB 0101 ELECTRICAL BELC2021- WEB 0114 9/20/2021 9/20/2021 ISSUED ELECTRICAL BELC2021- EXPIRED WEB 0136 ELECTRICAL BELC2021- (WEB) 0139 EXPIRED UNDER ELECTRICAL BELC2022- REVIEW (WEB) 0117 (applied on 7/6/2022) [Building Permits and Plans continued on next page] 6981015610-0207 22795466.2 a09/18/25 EXHIBIT F 177 TYPE SUBTYPE PERMIT APPROVED ISSUED STATUS NO. PLUMBING - WATER HEATER BPLB2019- EXPIRED CHANGEOUT 0086 WEB PLUMBING BPLB2019- 5/22/2019 5/23/2019 FINALED WEB 0075 PLUMBING BPLB2022- UNDER WEB 0079 REVIEW PLUMBING BPLB2022- UNDER WEB 0080 REVIEW POOL BPOL2022- CONSTRUCTION PRIVATE 0045 2/27/2022 3/3/2022 ISSUED WEB POOL BPOL2022- CONSTRUCTION PRIVATE 0046 2/27/2022 3/3/2022 ISSUED WEB POOL BPOL2022- CONSTRUCTION PRIVATE 0047 2/27/2022 3/3/2022 ISSUED WEB POOL BPOL2020- CONSTRUCTION PUBLIC 0120 10/8/2020 10/8/2021 ISSUED WEB POOL BPOL2020- CONSTRUCTION PUBLIC 0121 10/8/2020 EXPIRED WEB POOL BPOL2020- CONSTRUCTION PUBLIC 0123 10/8/2020 8/18/2021 ISSUED WEB POOL BPOL2020- CONSTRUCTION PUBLIC 0162 1/26/2021 12/22/2021 ISSUED WEB POOL BPOL2020- CONSTRUCTION PUBLIC 0221 EXPIRED WEB POOL WATER BPOL2020- CONSTRUCTION FEATURE 0122 10/8/2020 10/14/2021 ISSUED WEB SIGN PERMIT SA2021- 11/18/2021 11/19/2021 FINALED WEB 0036 STRUCTURE BOTH2O22- OTHER THAN 0001 2/14/2022 2/16/2022 ISSUED BUILDING WEB TEMPORARY BTTR2022- ON HOLD TRAILER 0001 [Building Permits and Plans continued on next page] 698/015610-0207 22795466.2a09/18/25 EXHIBIT F 178 TYPE SUBTYPE PERMIT APPROVED ISSUED STATUS NO. WALL/FENCE SPECIAL/ENGINEERED BWFE2022- 3/1/2022 3/2/2022 ISSUED WEB DESIGN 0014 WALL/FENCE SPECIAL/ENGINEERED BWFE2022- 3/10/2022 3/24/2022 ISSUED WEB DESIGN 0020 WALL/FENCE SPECIAL/ENGINEERED BWFE2022- 3/10/2022 3/24/2022 ISSUED WEB DESIGN 0021 WALL/FENCE SPECIAL/ENGINEERED BWFE2022- 3/10/2022 3/24/2022 ISSUED WEB DESIGN 0096 WALL/FENCE SPECIAL/ENGINEERED BWFE2022- 3/3/2022 3/24/2022 ISSUED WEB DESIGN 0098 WALL/FENCE SPECIAL/ENGINEERED BWFE2022- 5/13/2022 5/13/2022 ISSUED WEB DESIGN 0132 [End of Building Permits and Plans] ADDITIONAL SILVERROCK APPROVALS AND PLANS Additional Prior Project Approvals are available at the following Weblink on the City's Website (collectively, the "Additional Prior Project Approvals"): https://Iaglaserweb.laquintaca.gov/WebLink/Browse.aspx?id=599873&dbid=1 &repo=Cit yofLaQuinta The Additional Prior Project Approvals are categorized by type according to the followina folders: J Building Permits J Building Plans J Engineering Permits --J Engineering Plans J Environmental Approvals J Fire Permits J Land Actions & Lot Line Adjustments J Planning Approvals & Entitlement To the extent any of the previously issued Additional Prior Project Approvals have not expired or would have expired after August 5, 2024, the date when the Bankruptcy Lawsuit was filed, those Additional Prior Project Approvals shall remain issued and not expired. Furthermore, for any previously issued Additional Prior Project Approvals that have expired, Developer may apply for reinstatement and reissuance pursuant to any applicable provisions in the La Quinta Municipal Code. Any and all such applications for 698/015610-0207 22795466.2 a09/18/25 EXHIBIT F 179 reinstatement and reissuance of an expired Additional Prior Project Approval shall expressly reference this Reinstated Development Agreement and expressly describe in sufficient detail the portion of the Project for which reinstated and reissued approval would be used. *NOTE: Some of the Pre -Bankruptcy Subdivision Maps and Permits, listed above, are also including in the folder of the Additional Prior Project Approvals. [End of Exhibit F] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT F EXHIBIT G FORM OF CERTIFICATE OF COMPLETION [Attached] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT G 181 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: Citv Clerk Space Above This Line for Recorder's Use (Exempt from Recording Fee per Gov't Code §6103 and §27383) CERTIFICATE OF COMPLETION THIS CERTIFICATE OF COMPLETION (the "Certificate") is made by the CITY OF LA QUINTA, a California municipal corporation and charter city (the "City"), in favor of , a and affiliate of Turnbridge Equities (the "Developer"), and dated as of , RECITALS A. City and Developer have entered into that certain Reinstated and Amended Development Agreement (the "Reinstated Development Agreement") dated , 2025, and recorded as Document No. in the Official Records of Riverside County, California, concerning the development of certain real property situated in the City of La Quinta, California, a portion of which is more fully described in Exhibit "A" attached hereto and made a part hereof (the "Property"). [NOTE: the "Property" shall be only the portion of the real property tied to the applicable Project Component (as defined in the Reinstated Development Agreement) subject to this Certificate.] B. As referenced in Section 1.1 [Definitions] and Section 3.4 of the Reinstated Development Agreement (among other sections), upon Developer's request, City is required to furnish Developer or its successor -in -interest with a Certificate of Completion upon Developer's completion of construction of the following Project Component as defined in the Reinstated Development Agreement: ("Applicable Project Component") [Insert applicable Project Component, as that term is described in the Reinstated Development Agreement] C. Also pursuant to the Reinstated Development Agreement, a Certificate of Completion is required to be in such form as to permit it to be recorded in the Recorder's Office of Riverside County, California. Upon full execution, notarizing, and recording, this Certificate is conclusive determination of satisfactory completion of the construction and development required by the Reinstated Development Agreement for the Applicable Project Component cited herein. 698/015610-0207 22795466.2 a09/18/25 EXHIBIT G 182 D. The City has conclusively determined that such construction and development of the Applicable Project Component on the Property cited herein has been satisfactorily completed. E. Except as otherwise defined in this Certificate, capitalized words shall have the same meaning ascribed to them in the Reinstated Development Agreement. NOW, THEREFORE, based on the Recitals above, which are a substantive party of this Certificate, the City hereby certifies as follows: 1. The Applicable Project Component cited herein that is to be constructed by Developer has been fully and satisfactorily completed in conformance with the Reinstated Development Agreement. Any operating requirements and all use, maintenance or nondiscrimination covenants contained in the Reinstated Development Agreement, and other documents executed and recorded pursuant to the Reinstated Development Agreement shall remain in effect and enforceable according to their terms and conditions. 2. This Certificate does not constitute evidence of compliance with or satisfaction of any obligation of Developer to any holder of a mortgage or any insurer of a mortgage security money loaned to finance the work of construction if improvements and development of the Property, or any part hereof. 3. This Certificate does not denote completion of any work required to be completed, other than on the Property for the Applicable Project Component. 4. This Certificate is not a notice of completion as referred to in Sections 8186 or 9204 of the California Civil Code. 5. Nothing contained in this instrument shall modify in any other way any other provisions of the Reinstated Development Agreement. [signatures on next page] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT G 183 IN WITNESS WHEREOF, the City has executed this Release as of the date set forth above: "DEVELOPER" LLC, a limited liability company and affiliate of Turnbridge Equities By: Its: Date: , 20 By: Its: "CITY" CITY OF LA QUINTA, a California municipal corporation and charter city Date: , 20 By: City Manager ATTEST: City Clerk APPROVED AS TO FORM: RUTAN & TUCKER, LLP City Attorney 698/015610-0207 22795466.2 a09/18/25 EXHIBIT G 184 loa. SihwrRodc Hotel Ouse[ I1.0 (DE) EXHIBIT H Developer Entities Organizational Chart SilverRock OS'-atltZatlonal Chart hr:estu , Ftmtt affiliated niCt Timilxi.tyr Egwhes 100% 1wWwidge SPE (DE) Powmal Equity Pwnet 5-10% xt.f WQ5% N Entfty (DEp 100'. Parent Emty (DE) 1W% SamR.* 1A Rev Oww LLC (DEt 1(0. Sthe�RocB 1B ReE� (Tana LiC' (Did rSubjeet to resmxttuing depending on tax matters and parmerslup composition_ 698/015610-0207 22795466.2 a09/18/25 EXHIBIT H too Sl'rrRmk lA Condo 0— 1= ME) lwo SilrerRnc\ Golf ChbCioau Owve: 185 EXHIBIT I POST -BANKRUPTCY SALE PERMITTING PROCESSES With the adoption of the Ordinance enacting this Reinstated Development Agreement, the permitting processes listed below shall be and herby are modified. Upon a complete application being filed by Developer (or Developer's authorized representative pursuant to the La Quinta Municipal Code in effect at the time of filing of said application) with the City, with City retaining all authorization to review and determine an application's completeness in accordance with the La Quinta Municipal Code (and, if applicable, state law), then the following permitting processes shall apply: 1. Notwithstanding the provisions in La Quinta Municipal Code, Sections 9.200.020 [and Table 9-23 therein], 9.210.010(D), and 9.210.020(D) to the contrary, Developer may request as part of an application that the Director of the City's Design and Development Department ("Director") will be the "decision making authority" for any Site Development Permit (SDP) and/or Conditional Use Permit (CUP) that may be necessary or proper for Developer's work in connection with the assessment and preservation of EXISTING IMPROVEMENTS as described in the Schedule of Performance, Item #1 [Existing Improvements]. If the Director is the "decision making authority" for a SDP and/or CUP pursuant to this Paragraph 1, no public hearing shall be required and a decision may be issued Administratively by the Director, subject to the inclusion of any and all provisions in the La Quinta Municipal Code required for issuance of a decision on a SDP and/or CUP (such as conditions of approval); provided, however, the Director shall retain the discretion to notice and hold a public hearing, based on the scope of anticipated work set forth in an application for a SPD and/or CUP, with said public hearing to be held before the Director. It is the expressed intent of the City Council with the modifications for permitting set forth in this Paragraph 1 to expedite review and approval of SDPs and CUPs necessary or proper for Developer to evaluate the partially constructed onsite improvement to determine if preservation is appropriate, and to facilitate said preservation, and, where preservation may not be feasible or is not pursuant to the Scope of Work, to facilitate removal or relocation of partially constructed onsite improvements. Nothing in this Paragraph 1 does or may be construed to lessen or modify any requirements under state law for the issuance of any demolition permit, or similar permit that may be required along with a SDP and/or CUP under the La Quinta Municipal Code. 2. Notwithstanding the provisions in La Quinta Municipal Code Sections 9.200.110 [introductory paragraph], 9.210.010(F), and 9.210.020(G) to the contrary, the "board of appeals" for any appeal taken of a decision issued by the Director pursuant to Paragraph 1 (above) shall be the City Council. All other provisions relating to administrative appeals in Sections 9.200.110, 9.210.010, and 698/015610-0207 22795466.2 a09/18/25 EXHIBIT I i• 9.210.020, including the appeal procedure and time limits for filing an appeal, shall apply. 3. Solely for the purposes of changing the street names from the names adopted on July 19, 2022, by Case No. SNC 2022-0002, City Council Reso. No. 2022-026 and modifying Parcel Map 37207 [changing from "Ahmanson Lane" to "Painted Peak Lane" and from "SilverRock Way" to "Talus Way"], Developer may request by submitting an application to the City Manager that the Director initiate a street name change for said streets. If so applied for by Developer, then, notwithstanding any other parts of the La Quinta Municipal Code to the contrary (including Chapter 14.08 and, specifically, Section 14.08.110), the Director may, for any reason it deems in the public interest and necessity, recommend directly to the City Council that those street names be changed. The recommendation may be made without complying with the requirements of La Quinta Municipal Code Sections 14.08.020 through 14.08.080, and the recommendation shall be in the form of an Administrative Request directed to the City Council. Thereafter the City Council shall take such action as it deems appropriate at a public hearing for the purpose thereof. Notice of the public hearing for the City Council's consideration of the Director's Administrative Request shall be provided by at least one (1) publication in a newspaper of general circulation within the City at least ten (10) days prior to the hearing date. The action taken by the City Council shall be adopted by Resolution. 4. Notwithstanding La Quinta Municipal Code Section 9.250.020(C)(13)(a), the City Manager, City Attorney, or City Clerk may authorize the recording of this Reinstated Development Agreement to occur concurrently with the closing of the escrow for the Developer's acquisition from Debtors (SDC) of the Phase 1 Property. Furthermore, and notwithstanding La Quinta Municipal Code Section 9.250.020(C)(13)(a), the City Manager, City Attorney, or City Clerk may authorize the recording of this Reinstated Development Agreement against the City -Owned Ahmanson Ranch Property and City -Owned Golf Course Property to occur concurrently with the closing of the escrow for the Developer's acquisition from Debtors (SDC) of the Phase 1 Property. Furthermore, and notwithstanding La Quinta Municipal Code Section 9.250.020(C)(13)(a), the City Manager, City Attorney, or City Clerk may authorize the recording of this Reinstated Development Agreement to occur concurrently with the closing of the escrow for Developer's purchase from City of an option to potentially purchase the City - Owned Option Property (Phase 2 Property) in accordance with the Option Agreement (as referenced in Recital F of the Reinstated Development Agreement). [End of Exhibit 1] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT I 187 EXHIBIT J REINSTATED AND AMENDED COVENANT AFFECTING REAL PROPERTY (AHMANSON RANCH HOUSE) [Attached] 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT J :: RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: City Clerk Space Above This Line for Recorder's Use (Exempt from Recording Fee per Gov't Code §6103 and §27383) REINSTATED AND AMENDED COVENANT AFFECTING REAL PROPERTY (AHMANSON RANCH HOUSE) :V/_1z1111=1ty Tl=1 =1zl THE CITY OF LA QUINTA AND TBE RE ACQUISITION CO II LLC AN AFFILIATE OF TURNBRIDGE EQUITIES REAL ESTATE FUND II GP LLC 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT J We REINSTATED AND AMENDED COVENANT AFFECTING REAL PROPERTY (AHMANSON RANCH HOUSE)................................................................................... 3 RECITALS............................................................................................................................... 3 AGREEMENT.......................................................................................................................... 7 1. GENERAL PROVISIONS............................................................................................. 8 1.1 Definitions................................................................................................8 1.2 Effective Date..........................................................................................9 1.3 Amendment or Cancellation by Mutual Consent......................................9 1.4 Covenants Run With the Land; Expressed Condition of Ahmanson Ranch House Use in Grant Deeds and Other Similar Instruments; Rights of Reverter or Re-Entry...............................................................10 1.5 Recording and Priority of Covenant.......................................................11 1.6 Covenant Parcels Free of Mechanic's Liens..........................................11 2. AUTHORIZED USES OF AHMANSON RANCH HOUSE ........................................... 12 2.1 Ahmanson Ranch Property....................................................................12 2.2 Ahmanson Ranch House Access/Operations Parcels ...........................12 2.3 Dedications and Improvements.............................................................13 3. PRESERVATION OF HISTORICAL RESOURCE...................................................... 13 3.1 Conveyance of Ahmanson Ranch House and Improvements................13 3.2 Collection and Receipt of Charges; Allowance for Third -Party Operator.................................................................................................13 3.3 City Council Approvals to Preserve Historic Resource and Aesthetics..............................................................................................13 4. DEFAULT AND REMEDIES....................................................................................... 14 4.1 City Rights.............................................................................................14 4.2 Notice and Cure of Default.....................................................................14 5. MISCELLANEOUS.....................................................................................................14 5.1 Notices, Demands and Communications Between the Parties ..............14 5.2 Force Majeure........................................................................................15 5.3 Binding Effect.........................................................................................15 5.4 Non -liability of City Officers and Employees..........................................16 5.5 Covenant Against Discrimination...........................................................16 5.6 Attorney's Fees and Costs for Prevailing Party......................................16 5.7 Severability............................................................................................16 5.8 Time.......................................................................................................17 5.9 Recitals & Exhibits Incorporated............................................................17 5.10 Authority to Execute; Representations and Warranties .........................17 5.11 City Approvals and Actions....................................................................17 5.12 Governing Law.......................................................................................17 5.13 Termination of Original Covenant..........................................................18 5.14 Counterpart Signature Pages................................................................18 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT J 190 EXHIBIT A LEGAL DESCRIPTION AND DEPICTION OF LUXURY HOTEL PROPERTY (DEVELOPER OWNED).............................................................................................22 EXHIBIT B-1 LEGAL DESCRIPTION OF GOLF COURSE....................................................23 EXHIBIT B-2 LEGAL DESCRIPTION OF CITY -OWNED AHMANSON RANCH PROPERTY................................................................................................................ 24 EXHIBIT C SITE MAPS.........................................................................................................25 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT J 191 REINSTATED AND AMENDED COVENANT AFFECTING REAL PROPERTY (AHMANSON RANCH HOUSE) This REINSTATED AND AMENDED COVENANT AFFECTING REAL PROPERTY (AHMANSON RANCH HOUSE) (the "Ahmanson Ranch Covenant") is entered into as of the day of , 2025 (the "Ahmanson Ranch Covenant Effective Date"), by and between the CITY OF LA QUINTA, a California municipal corporation and charter city ("City"), and TBE RE Acquisition Co II LLC, a Delaware limited liability company and affiliate of Turnbridge Equities Real Estate Fund II GP LLC, a Delaware limited liability company ("Developer"), with reference to the following: RECITALS: A. As of the Ahmanson Ranch Covenant Effective Date, Developer has a legal or equitable interest in fee title to that certain real property and improvements thereon comprised of a flagship luxury hotel and related ancillary uses that include (but are not limited to) a spa and fitness area, restaurants, conference and banquet facilities, pool and recreational facilities, and "back -of -house" facility area that are part of the "Luxury Hotel Project Component" as defined in the Reinstated Development Agreement (defined below), and more particularly described in the legal description attached hereto as Exhibit A and incorporated herein by this reference (the "Luxury Hotel Property"). The Luxury Hotel Property is a portion of real property and improvements thereon referred to as the "Phase 1A Property" as defined in the Reinstated Development Agreement (defined below) to which Developer also has a legal or equitable interest in fee title as of the Ahmanson Ranch Covenant Effective Date. [NOTE: ONLY THE PARCELS WITH THE LUXURY HOTEL ARE THE LEGAL DESCRIPTIONS TO BE ATTACHED AS EXHIBITS, AND NOT THE ENTIRETY OF THE PHASE 1A PROPERTY] B. As of the Ahmanson Ranch Covenant Effective Date, City owns all of the fee title to that certain real property and improvements thereon comprised of: (i) the Arnold Palmer Classic Golf Course, commonly known as the SilverRock Golf Course, more particularly described in Exhibit A-1 attached hereto and incorporated herein by this reference (the "Golf Course"), and (ii) the Ahmanson Ranch House that used as an events building and ancillary facility for the Golf Course, consisting of approximately 0.6+/- acres and more particularly described in Exhibit A-2 attached hereto and incorporated herein by this reference (the "City -Owned Ahmanson Ranch Property"). The City -Owned Ahmanson Ranch Property includes easement rights over parcels for access to the Ahmanson Ranch House (the "Ahmanson Ranch House Access/Operations Property.") The Luxury Hotel Property, Golf Course and City - Owned Ahmanson Ranch Property are referred to herein as the "Ahmanson Ranch Covenant Properties." [NOTE: ONLY THE GOLF COURSE, NOT ALL OF THE "CITY -OWNED GOLF COURSE PROPERTY" IS ATTACHED HERE BECAUSE 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 192 AHMANSON RANCH DOES NOT SERVE CLUBHOUSE OR COURSE MAINTENANCE PARCELS] C. On 2025, the La Quinta City Council adopted Ordinance No. , approving pursuant to applicable State and City laws that certain Reinstated and Amended Development Agreement, with reference date , 2025, between City and Developer (the "Reinstated Development Agreement"). Among other terms and conditions, the Reinstated Development Agreement vests development and use rights to Developer, prescribes rights and obligations of Developer for the resumption and completion of construction, and the continuous operation and use, of specified "Project Components" that include, among others, a luxury hotel with related ancillary amenities and luxury single-family detached and condominium residential dwellings available for use as short-term vacation rentals, as more particularly set forth therein. The Reinstated Development Agreement governs Developer's development and use rights and obligations for the Phase 1 Property. The Reinstated Development Agreement was recorded in the Recorder's Office of or about even date as this Ahmanson Ranch Covenant, with said Reinstated Development Agreement to remain with priority over this Ahmanson Ranch Covenant. D. Prior to City and Developer entering into this Ahmanson Ranch Houses Covenant (among other agreements and instruments), the following relevant history is hereby recited: 1. Except for portions of land previously transferred to SilverRock Development Company, LLC, a Delaware limited liability company (or one of its affiliated companies, which are referred to herein collectively as "SDC" or "Debtor(s)")' as explained below in the next Recital Subparagraph, City owns fee title to that certain real property of approximately 525 acres located at the southwest intersection of Jefferson Street and Avenue 52, in the City of La Quinta, California, generally referred to as the "SilverRock Resort Area", which is depicted in the Site Maps (defined below) and subject to a Specific Plan adopted by the La Quinta City Council and enforceable as a land use governing document pursuant to the Planning and Zoning Law, California Government Code section 65000 et seq. (the "SilverRock Specific Plan"); Debtors were SilverRock Development Company, LLC and affiliated entities that, on August 5, 2024, filed for voluntary bankruptcy protection under chapter 11 of the U.S. Bankruptcy Code, with case number(s) identified in the Title of this Agreement along with the last four digits of each Debtor's federal tax identification number, as applicable, are: SilverRock Development Company, LLC (5730), RGC PA 789, LLC (5996), SilverRock Lifestyle Residences, LLC (0721), SilverRock Lodging, LLC (4493), SilverRock Luxury Residences, LLC (6598) and SilverRock Phase I, LLC (2247) (collectively, referred to herein as the "Bankruptcy Lawsuit" in the "Bankruptcy Court"). 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 193 2. On or about November 19, 2014, City and SDC entered into that certain Purchase, Sale, and Development Agreement (the "Original SDC PSDA"), pursuant to which, among other terms and conditions, City agreed to sell to SDC and SDC agreed to purchase from City specified parcels and planning areas (PAs) to thereafter construct, complete, and operate thereon a commercial project containing a luxury resort hotel and spa and associated branded luxury residential units, a lifestyle hotel and associated lifestyle branded residential units, a conference and shared service facility, a temporary and permanent clubhouse for the SilverRock Resort's Arnold Palmer Classic Golf Course, a mixed use village, a resort residential village, and associated amenities, all as further described in the Original SDC PSDA and referred to as various project components, as more particularly described therein. Concurrent with the Original SDC PSDA, on or about November 19, 2014, City and SDC entered into Development Agreement 2014-1001 (the "Original SDC Development Agreement") pursuant to the Development Agreement Law, which agreement, among other terms and conditions, required SDC to develop the planning areas and project components in accordance with the SDC PSDA, vested with SDC specified development obligations, memorialized the potential for the future acquisition of additional City -owned property in the SilverRock Resort Area as incorporated vis-a-vis the SDC PSDA, and subjected SDC to City's rights and oversight for those portions of the SilverRock Resort Area to be conveyed to SDC. After entering into the Original SDC PSDA and Original SDC Development Agreement, the following relevant events, very briefly summarized, occurred: i. Pursuant to the Original SDC PSDA, City and SDC had the authority to amend by mutual agreement of the parties. Between October 29, 2015, and November 16, 2023, City and SDC entered into five amendments thereto, dated October 29, 2015 ("First Amendment"), April 18, 2017 ("Second Amendment"), November 28, 2018 ("Third Amendment"), October 12, 2021 ("Fourth Amendment"), and November 16, 2023 ("Fifth Amendment," and the Original SDC PSDA as amended by all five amendments is referred to herein as the "SDC PSDA"); ii. Pursuant to the SDC PSDA and consistent with boundaries established by applicable subdivision maps and lot line adjustments, City conveyed to SDC the Property for the pre -development, development, operation, and use of a project that was eventually re -named "Talus" and consisted of the following project components (all as defined in the SDC PSDA): Luxury Hotel, Luxury Branded Residential Development, Lifestyle Hotel, Lifestyle Branded Residential Development, Conference and Shared Services Facility (including spa and other amenities), Permanent Golf Clubhouse, Promenade Mixed -Use Village/Resort Residential Village (on Planning Areas 7,8,9), as well as a specified Golf Course Realignment and corresponding Master Site Infrastructure Improvements (MSII). These project components on the Property, pursuant to the SDC PSDA, were divided into Phase 1A project components on the Phase 1A Property and the Phase 1 B project components on the Phase 1 B Property respectively, as described in the SDC PSDA; 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 194 iii. Pursuant to the Third and Fourth Amendments to the SDC PSDA, SDC commenced pre -development and development on the Property for the Phase 1A project components, which as of the Reference Date of this Agreement, in various degrees, were partially constructed after SDC failed to continue to make payments to various contractors, subcontractors, and other interested parties in the development of the Talus project. Multiple lawsuits, including lawsuits seeking payments pursuant to mechanic's lien or various loan or investment agreements, and a City lawsuit against SDC for unlawful and unapproved conveyances in secured interests or mechanic's liens, were filed against SDC; iv. Pursuant to the requirements of the SDC PSDA, the City and SDC entered into a "Covenant Affecting Real Property (Ahmanson Ranch House) By And Between The City Of La Quinta and SilverRock Development Company, LLU (Riverside County Recorder No. 2017-0189769), which was recorded on May 11, 2017 (the "Original Covenant"); v. On August 5, 2024, SDC (Debtors) filed the Bankruptcy Lawsuit, and, pursuant to Bankruptcy Court -approved Bid Procedures, Debtors retained a Chief Restructuring Officer (Douglas Wilson Companies) and marketing professional (JLL) for the purposes of, among other items, marketing the sale of the Debtors estate (which and is primarily comprised of the Property) and soliciting proposals for the: (a) acquisition of the Debtors estate, (b) use, re -use, and/or substitution of the partially constructed improvements on the Property, (c) potential replacement project for a world - class hotel and residential destination resort with related amenities on the Property that complement the existing Arnold Palmer Classic Golf Course surrounding the Property and real property owned by the City (defined below as the City -Owned Option Property), and (d) possible acquisition in the future of the City -Owned Option Property (defined below) in the SilverRock Resort Area (previously referred to as the Future Option Property in the SDC PSDA and generally referred to in the Bankruptcy Lawsuit and marketing materials as the "Phase 2 Property") for possible future development that would also complement a world -class hotel and residential destination resort; 3. Pursuant to Bankruptcy Court order [Bankruptcy Lawsuit Docket No. ], among other provisions: (i) Developer was authorized to purchase the Property, (ii) the Original SDC Development Agreement was required to be reinstated and amended and memorialized by the Reinstated Development Agreement, and (iii) An escrow to facilitated the purchase and sale of the Debtors' estate (which includes the Property) was authorized, which, among other terms and conditions, included the transfer of funds and recording of documents (such as the Reinstated Development Agreement). E. Developer submitted a proposal in response to the marketing materials, and, pursuant to the Bankruptcy Court -approved Bid Procedures, Debtors and City approved Developer's proposal, which, among other terms and conditions, included a modified "Project" (as more particularly defined and memorialized in the Reinstated Development Agreement) on the Phase 1 Property as well as possible acquisition in the 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 195 future of the City -Owned Option Property (also referred to therein as the Phase 2 Property) for possible future development that would also complement a world -class hotel and residential destination resort, all as more particularly set forth in the Reinstated Development Agreement. F. The Reinstated Development Agreement and Specific Plan, among other land use governing documents, permits, and entitlements, are centered around the existing use and enjoyment, by residents, guests of the City, and members of the public, of the Golf Course in the SilverRock Resort Area. G. This Ahmanson Ranch Covenant is intended to and does bind City and any and all successors in interest to the City -Owned Ahmanson Ranch Property (or any portion thereof), as more particularly set forth herein. Likewise, this Ahmanson Ranch Covenant is intended to and does bind Developer and any and all successors in interest to the Luxury Hotel Property (or portion thereof), as more particularly set forth herein. H. Pursuant to and as more particularly set forth the Reinstated Development Agreement, upon conveyance of the City -Owned Ahmanson Ranch Property from City to Developer if Developer satisfies specified conditions in the Reinstated Development Agreement, Developer is required, among other provisions relating to land use covenants, to continuously operate and maintain, and have open and available for use and enjoyment, the Golf Course and ancillary improvements and amenities, as more particularly set forth in this Ahmanson Ranch Covenant. I. This Covenant is being recorded to ensure that the Ahmanson Ranch House facilities and amenities are available for use by guests of the Luxury Hotel Property and incorporate certain complementary improvements and uses as agreed upon by City and Developer, and to further ensure that if such improvements and uses are not completed, that the Ahmanson Ranch House facilities and amenities are available for La Quinta residents and members of the public visiting the Golf Course. J. City is the owner by dedication of those certain public streets located in the City and known as Avenue 52 and Jefferson Street. The portions of said public streets that are adjacent to the SilverRock Resort Area, as depicted on the Parcel Map, in addition to any and all other real property owned by the City for public use (collectively, the "City-Benefitted Property"), is benefited by this Covenant, and serves as the "benefited estate" for purposes of this Covenant, and the terms and conditions, as more particularly set forth herein. Furthermore, the Ahmanson Ranch Covenant Properties are burdened by this Ahmanson Ranch Covenant, serve as the "burdened estate" for purposes of this Ahmanson Ranch Covenant, and are subject to its terms and conditions, as more particularly set forth herein. AGREEMENT: NOW, THEREFORE, in consideration of the foregoing Recitals, which are incorporated herein by this reference, the mutual covenants and agreements contained 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 196 herein, and other good and valuable consideration, the receipt and legal sufficiency of which is hereby acknowledged, the Parties do hereby agree as follows: 12. GENERAL PROVISIONS 12.1 Definitions. In addition to the terms that may be defined elsewhere in this Covenant, the following terms when used in this Ahmanson Ranch Covenant shall be defined as follows: 12.1.1 "Ahmanson Ranch Covenant" means this Reinstated and Amended Golf Course Covenant Affecting Real Property (Ahmanson Ranch House). 12.1.2 ""Ahmanson Ranch Covenant Properties" shall have the meaning in Recital B of this Ahmanson Ranch Covenant. 12.1.3 "Ahmanson Ranch House" means the SilverRock Resort's Ahmanson Ranch House and uses and all operations related thereto, in its current location, as of the Ahmanson Ranch Covenant Effective Date, subject to the improvements under the Project and any other reconfiguring, modification, repair, replacement and/or uses approved by the City from time to time. 12.1.4 "Ahmanson Ranch House Access/Operations Property" shall have the meaning in Recital B of this Ahmanson Ranch Covenant. 12.1.5 "City" means the City of La Quinta, a charter city and municipal corporation, including each and every agency, department, board, commission, authority, employee, and/or official acting under the authority of the City, including without limitation the City Council and the Planning Commission. 12.1.6 "City-Benefitted Property" shall have the meaning in Recital J of this Ahmanson Ranch Covenant. 12.1.7 "City Council" means the City Council of the City and the legislative body of the City pursuant to California Government Code Section 65867. 12.1.8 "City Manager" means the individual duly appointed to the position of City Manager of City, or his or her authorized designee. 12.1.9 "City -Owned Ahmanson Ranch House Property" shall have the meaning in Recital B of this Ahmanson Ranch Covenant. 12.1.10 "Covenant" means this Ahmanson Ranch Covenant. 12.1.11 "Developer" means the Developer identified in the Preamble of this Ahmanson Ranch Covenant. 12.1.12 "Effective Date" shall the "Ahmanson Ranch Covenant Effective Date." 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 197 12.1.13 "Golf Course" means the SilverRock Resort's Arnold Palmer Classic Course and all operations related thereto, in its current location, as of the Golf Course Effective Date of this Covenant, subject to reconfiguring and realignment pursuant to any reconfiguring approved by the City from time to time, and the real property improved with the Golf Course as described in Recital B of this Ahmanson Ranch Covenant. 12.1.14 "Luxury Hotel Property" shall have the meaning in Recital A of this Ahmanson Ranch Covenant. 12.1.15 "Parties" means collectively Developer and City, and their respective successors and assigns. Each may be referred to in the singular as a "Party". 12.1.16 "Recorder's Office" means the Riverside County, California, Office of Official Records. 12.1.17 "SilverRock Resort Area" has the same meaning in the Reinstated Development Agreement and Recital C(1), which refers to the approximately 525 acres of real property located at the southwest intersection of Jefferson Street and Avenue 52 in the City of La Quinta, California 92253, depicted in the Site Maps. 12.1.18 "Site Map(s)" means the maps of the SilverRock Resort Area, which is attached hereto as Exhibit C and incorporated herein by this reference.] 12.1.19 "Specific Plan" means the SilverRock Resort Specific Plan, approved by the City Council of City on July 18, 2006, as may be amended from time to time. 12.2 Effective Date. This Ahmanson Ranch Covenant shall be effective and of full force and effect upon complete execution by the Parties, which shall be inserted in the preamble, and shall be perfected as binding against any and all owners of the Ahmanson Ranch Covenant Properties upon recording in the Recorder's Office. 12.3 Amendment or Cancellation by Mutual Consent. Except as expressly allowed herein, this Ahmanson Ranch Covenant shall not be amended or canceled in whole or in part without the prior written consent of the City, and, except when the City Manager may amend this Ahmanson Ranch Covenant as expressly allowed herein, any cancellation or amendment of this Ahmanson Ranch Covenant shall require the approval of the City Council by not less than a majority vote of the total membership. 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J •-1 12.4 Covenants Run With the Land; Expressed Condition of Ahmanson Ranch House Use in Grant Deeds and Other Similar Instruments; Rights of Reverter or Re - Entry. In any grant deed or other instrument conveying any right, title, or interest in any or all of the Ahmanson Ranch Covenant Properties (or portion thereof) from the grantor (including the City) to the grantee (including Developer), words shall be included in such grant deed or other instrument signifying that such right, title, or interest, and any such estate created by such conveyance, shall be subject to the terms and conditions of this Ahmanson Ranch Covenant. Furthermore, such grant deed or other instrument shall expressly condition that the City, and its heirs and assigns, shall have a right of reverter and/or right to re-enter any or all City -Owned Ahmanson Ranch House Property upon an uncured Developer default under this Ahmanson Ranch Covenant. This Ahmanson Ranch Covenant is intended to be and shall be construed as a restrictive covenant that limits, restricts, and burdens the use of the City -Owned Ahmanson Ranch House Property. The City, as owner in fee of the Ahmanson Ranch House Property, hereby declares that this Ahmanson Ranch Covenant, and the covenants, conditions, and restrictions of use on the City -Owned Ahmanson Ranch House Property as set forth herein, is intended to and shall run with the land in perpetuity, and each and every successor of the City that has any ownership interest or right of ownership interest in the City -Owned Ahmanson Ranch House Property (or portions thereof), including Developer, shall be subject to this Ahmanson Ranch Covenant, which is intended to be and shall be construed as placing a reasonable burden on the use of the City -Owned Ahmanson Ranch House Property, which, among other provisions, were developed for use and enjoyment as the Ahmanson Ranch House as more particularly described in this Ahmanson Ranch Covenant. To the maximum extent permitted by law, this Ahmanson Ranch Covenant shall be construed as an expressed, valid, and enforceable deed restriction, restrictive covenant, or other similarly described encumbrance that runs with the Ahmanson Ranch Covenant Properties. This Covenant shall be binding upon any person or entity that acquires any right, title, or interest in or to any portion or all of the Ahmanson Ranch Covenant Properties. Furthermore, this Ahmanson Ranch Covenant is designed to create equitable servitudes and covenants running with the land, in accordance with the provisions of Civil Code Section 1468. The covenants, conditions, restrictions, reservations, equitable servitudes, liens, and charges set forth herein shall run with the Ahmanson Ranch Covenant Properties, as the "burdened property," and shall be binding upon all persons or entities having any right, title or interest in the Ahmanson Ranch Covenant Properties (or portion thereof) and their heirs, successive owners and assigns, and shall be binding upon the Developer, and its successors and assigns. Furthermore, the covenants, conditions, restrictions, reservations, equitable servitudes, liens, and charges set forth herein shall run with the City-Benefitted Property, as the "benefitted property," and shall inure to the benefit of the City and its successors and assigns, and may be enforced by the City and its successors and assigns. The Developer hereby 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 199 declares its understanding and intent that the burden of the covenants set forth herein touch and concern the land and that the Developer's interest in the Ahmanson Ranch Covenant Properties is rendered less valuable thereby. The Developer hereby further declares its understanding and intent that the benefit of such covenants touch and concern the land by enhancing and increasing the enjoyment and use of the Ahmanson Ranch Covenant Properties and by furthering public purposes for the City. In amplification and not in restriction of the provisions hereinabove, it is intended and agreed that the City is deemed a beneficiary of the covenants provided herein both for and in its own right and also for the purposes of protecting the interests of the community. All covenants without regard to technical classification or designation shall be binding for the benefit of the City and such covenants shall run in favor of the City, without regard to whether the City is or remains the owner of the City-Benefitted Property or of any land or interest therein to which such covenants relate. However, all such covenants and restrictions shall be deemed to run in favor of all real property owned by the City, which real property shall be deemed the benefited property of such covenants. The City shall have the right, in the event of any breach of this Ahmanson Ranch Covenant, to exercise all rights and remedies, and to maintain any action at law or in equity or other proper proceeding to enforce the curing of such breach of this Ahmanson Ranch Covenant. 12.5 Recording and Priority of Covenant. Upon complete execution and notarizing of this Ahmanson Ranch Covenant, Developer shall record or cause to be recorded in the Recorder's Office this Ahmanson Ranch Covenant. The Covenant shall be recorded against each and every one of the Ahmanson Ranch Covenant Properties and the City-Benefitted Property. This Ahmanson Ranch Covenant shall be recorded as provided for in the Reinstated Development Agreement, and this Ahmanson Ranch Covenant shall have priority over and shall not be made subordinate to any mortgage, deed of trust, or other encumbrance recorded against the Ahmanson Ranch Covenant Properties. 12.6 Covenant Parcels Free of Mechanic's Liens. The owner of the Ahmanson Ranch Covenant Properties (or any portion thereof) shall pay when due all claims for labor performed and materials furnished in connection with the Ahmanson Ranch Covenant Properties during such owner(s)'s period of ownership. No mechanics', materialmen's or other professional services liens (as contrasted with consensual monetary liens such as construction and/or permanent financing approved by the City and subject to this Covenant) shall be permitted against the Ahmanson Ranch Covenant Properties (or any portion thereof) for any work done or materials furnished in connection with the performance of any contractor or construction work to be completed on the Ahmanson Ranch Covenant Properties; provided, however, that the owner of the Ahmanson Ranch Covenant Properties (or portion thereof) may contest the validity of any such lien, but upon a final determination of the validity thereof, the owner of the Ahmanson Ranch Covenant Properties (or portion 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 200 thereof) subject to such a lien shall cause the lien to be satisfied and released of record. The owner of the Ahmanson Ranch Covenant Properties (or portion thereof) shall, within thirty (30) days after receipt of written notice of any encumbrance by any such lien or claim of lien arising during such owner's period of ownership, (i) cause any such outstanding lien or claim of lien to be released of record or transferred to bond in accordance with applicable law, or (ii) give such assurance as would enable a title insurance company to insure over such lien or claim of lien. 13. AUTHORIZED USES OF AHMANSON RANCH HOUSE 13.1 Ahmanson Ranch Property. Subject to the rehabilitation and related terms and conditions in the Reinstated Development Agreement for the Ahmanson Ranch House, and any other rehabilitation, repair, replacement, modifications, and/or uses upon which City and Developer mutually agree, the City -Owned Ahmanson Ranch House Property and all improvements thereon shall remain open and available as a public restaurant and banquet facility while owned by the City, and upon ownership transferring to Developer, the Ahmanson Ranch House Property shall be used as a restaurant or other hospitality -related uses that are consistent with the SilverRock Resort Area, the Specific Plan, and other permits, licenses, approvals and entitlements of the Ahmanson Ranch House and uses that are beneficial to the Luxury Hotel Property. 13.2 Ahmanson Ranch House Access/Operations Parcels. Subject to temporary closures or restricted use of access for periodic special events or permitted uses at the Ahmanson Ranch House, the Ahmanson Ranch House Access/Operations Property shall be available for use by the general public, residents, and guests of the Golf Course and Ahmanson Ranch House in the same manner as they were used and available for use as of the Ahmanson Ranch Covenant Effective Date, for so long as owned by the City, according to the following: (A) The Ahmanson Ranch House shall have access (vehicular and pedestrian ingress and egress) from the City-Benefitted Property at all times on, over, and through some or all of Ahmanson Ranch House Access/Operations Property; provided, however, such access may be modified pursuant to a subdivision map or other City action, pursuant to any applicable law, that maintains access to the Ahmanson Ranch House from the City-Benefitted Property. (B) The Ahmanson Ranch House Access/Operations Property shall allow access to the Ahmanson Ranch House for the City residents, City officials and employees, and any and all other persons and members of the general public. 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 201 13.3 Dedications and Improvements. Nothing in this Ahmanson Ranch Covenant shall release or relieve Developer from making any offers of dedications to the City or other applicable public agency, or complete those public improvements in connection with the development of the SilverRock Resort Area, as may be required by any conditions of approval, parcel map, or any other requirement imposed by the City. 14. PRESERVATION OF HISTORICAL RESOURCE 14.1 Conveyance of Ahmanson Ranch House and Improvements. The City may convey the City -Owned Ahmanson Ranch House Property pursuant to the Reinstated Development Agreement, in which case, City shall no longer be owner in fee. City shall have and retain all regulatory authority over the Ahmanson Ranch House in accordance with applicable laws. 14.2 Collection and Receipt of Charges; Allowance for Third -Party Operator. The owner of the Ahmanson Ranch House shall have the obligation to collect and right to keep moneys charged for any and all services at the Ahmanson Ranch House during City ownership, consistent with this Ahmanson Ranch Covenant; provided, however, if City owns the Ahmanson Ranch House but contracts with Developer or a third party operator of the Ahmanson Ranch House for the administration of the Ahmanson Ranch House, Developer and/or the third party operator shall have the obligation to collect and right to keep moneys charged. 14.3 City Council Approvals to Preserve Historic Resource and Aesthetics. Unless another use is approved by City in accordance with applicable laws, the Ahmanson Ranch House shall be preserved as a historic resource of the City, and the general architectural style for both the exterior and interior should be attempted to be preserved. Any and all alterations, structural improvements, fixtures, furnishings, equipment, repair, replacement, or any other modification to the Ahmanson Ranch House shall be applied for by the current owner (or authorized agent) and reviewed by the City Council in its regulatory and design review capacity, and pursuant to applicable federal, state, or local law. 15. DEFAULT AND REMEDIES. 15.1 City Rights. In the event of failure by Developer or any successor in interest that has any ownership interest in the Ahmanson Ranch Covenant Properties (or any portion thereof) to perform any material term or provision of this Ahmanson Ranch Covenant, the City 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 202 shall have those rights and remedies provided in this Ahmanson Ranch Covenant and shall have any and all rights and remedies available at law or in equity, including but not limited to immediate and permanent injunctive relief. 15.2 Notice and Cure of Default. Upon the receipt of the notice of default by the City, the defaulting party shall promptly commence to cure, correct, or remedy the identified default at the earliest reasonable time after receipt of the notice of default and shall complete the cure, correction or remedy of such default not later than thirty (30) days after receipt of the notice of default, or, for such defaults that cannot reasonably be cured, corrected or remedied within thirty (30) days, such Party shall commence to cure, correct, or remedy such default within such thirty (30) day period, and shall continuously and diligently prosecute such cure, correction or remedy to completion, provided that such cure, correction or remedy is completed within ninety (90) days following expiration of the initial thirty (30) day cure period. 16. MISCELLANEOUS 16.1 Notices. Demands and Communications Between the Parties. Any approval, disapproval, demand, document or other notice ("Notice") which either Party may desire to give to the other Party under this Ahmanson Ranch Covenant must be in writing and shall be sufficiently given if (i) delivered by hand, (ii) delivered by reputable same -day or overnight messenger service that provides a receipt showing date and time of delivery, or (iii) dispatched by registered or certified mail, postage prepaid, return receipt requested, to the principal offices of City and Developer at the addresses specified below, or at any other address as that Party may later designate by Notice. To City: City of La Quinta 78-495 Calle Tampico La Quinta, California 92253 Attn: City Manager With a copy to: Rutan & Tucker, LLP 18575 Jamboree Road, 9t" Floor Irvine, CA 92612 Attn: William H. Ihrke 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 203 To Developer: TBE RE Acquisition Co II LLC c/o Turnbridge Equities 4 Bryant Park, Suite 200 New York, New York 10018 Attention: General Counsel and Michael Gazzano Email: jw@turnbridgeeq.com and mg@turnbridgeeq.com with a copy to: DLA Piper 1251 Avenue of the Americas New York, New York 10020 Attention: Todd Eisner Email: todd.eisner(o-)-us.dlapiper.com with a copy to: Procopio 200 Spectrum Center Drive Suite 1650 Irvine, CA 92618 Attn: James Vaughn Email: james.vaughn(c�procopio.com Any written notice, demand or communication shall be deemed received immediately if personally delivered or delivered by delivery service, and shall be deemed received on the third day from the date it is postmarked if delivered by registered or certified mail. 16.2 Force Maieure. Notwithstandina anv other provision set forth in this Ahmanson Ranch Covenant to the contrary, in no event shall a Party be deemed to be in Default of its obligations set forth herein where delays or failures to perform are due to a Force Majeure, as defined in the Reinstated Development Agreement. Notwithstanding anything to the contrary in this Ahmanson Ranch Covenant, an extension of time for any such cause shall only be for the period of the enforced delay and shall commence to run from the time of the commencement of the cause, if notice by the Party claiming such extension is sent to the other Party within thirty (30) days of the commencement of the cure. Times of performance under this Ahmanson Ranch Covenant may also be extended in writing by the mutual aareement of Citv and Developer. 16.3 Bindina Effect. This Ahmanson Ranch Covenant, and all of the terms and conditions hereof, shall be binding upon and inure to the benefit of the City, any subsequent owner of all or any portion of the Ahmanson Ranch Covenant Properties, and their respective assigns, heirs or successors in interest, whether or not any reference to this Ahmanson Ranch 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 204 Covenant is contained in the instrument by which such person acquired an interest in the Ahmanson Ranch Covenant Properties. 16.4 Non -liability, of Officers and Employ No official, officer, employee, agent or representative of City, acting in his/her official capacity, shall be personally liable for any loss, costs, damage, claim, liability, or judgment, arising out of or connection to this Ahmanson Ranch Covenant, or for any act or omission on the part of City. 16.5 Covenant Against Discrimination. Developer covenants by and for itself and any successors in interest that there shall be no discrimination against or segregation of any person, or group of persons on any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the Property, or any part thereof, nor shall Developer, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessees or vendees of the Property, or any part thereof. The foregoing covenants shall run with the land. 16.6 Attornev's Fees and Costs for Prevailina Pa If either Party to this Ahmanson Ranch Covenant is required to initiate or defend, or is made a party to, any action or proceeding in any way connected with this Ahmanson Ranch Covenant, the Party prevailing in the final judgment in such action or proceeding, in addition to any other relief which may be granted, shall be entitled to reasonable attorney's fees. Attorney's fees shall include reasonable costs for investigating such action, conducting discovery, retaining expert witnesses, and all other necessary costs the court allows which are incurred in such litigation. 16.7 Severability. If any term or condition of this Ahmanson Ranch Covenant is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Ahmanson Ranch Covenant shall continue in full force and effect, to the extent that the invalidity or unenforceability does not impair the application of this Ahmanson Ranch Covenant to condition the use of the Ahmanson Ranch House most similar to those uses as of the Ahmanson Ranch Covenant Effective Date. 16.8 Time. Time is of the essence in the performance of this Ahmanson Ranch Covenant and of each and every term and condition hereof as to which time is an element. 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 205 16.9 Recitals & Exhibits Incorporated. The Recitals to this Ahmanson Ranch Covenant and all of the exhibits and attachments to this Ahmanson Ranch Covenant are, by this reference, incorporated into this Ahmanson Ranch Covenant and made a part hereof. 16.10 Authority to Execute; Representations and Warranties. Developer warrants and represents that (i) it is duly organized and existing, (ii) it is duly authorized to execute and deliver this Ahmanson Ranch Covenant, (iii) by so executing this Ahmanson Ranch Covenant, Developer is formally bound to the provisions of this Ahmanson Ranch Covenant, (iv) Developer's entering into and performance of its obligations set forth in this Ahmanson Ranch Covenant do not violate any provision of any other agreement to which Developer is bound, and (v) there is no existing or threatened litigation or legal proceeding of which Developer is aware which could prevent Developer from entering into or performing its obligations set forth in this Ahmanson Ranch Covenant. 16.11 City Approvals and Actions. Whenever a reference is made in this Ahmanson Ranch Covenant to an action or approval to be undertaken by the City, the City Manager or his or her authorized designee is authorized to act on behalf of the City unless this Ahmanson Ranch Covenant specifically provides otherwise, including but not limited to provisions in this Ahmanson Ranch Covenant when the City Council must review and take action, or the law requires otherwise. The City Manager shall have the authority to implement this Ahmanson Ranch Covenant, including the authority to negotiate and sign on behalf of the City implementing agreements and other documents, so long as the substantive provisions of this Ahmanson Ranch Covenant are maintained. Nothing in this Section limits or precludes the City Manager from presenting to the Planning Commission and/or City Council, as applicable, for review and consideration any matters to which the City Manager otherwise may act on behalf of City pursuant to this Section. 16.12 Governing Law. The internal laws of the State of California shall govern the interpretation and enforcement of this Covenant without regard to conflicts of law principles. Any action at law or in equity brought by for the purpose of enforcing, construing, or interpreting the validity of this Covenant or any provision hereof shall be brought in the Superior Court of the State of California in and for the County of Riverside, or such other appropriate court in said county. 16.13 Termination of Oriainal Covenant. On and after the Ahmanson Ranch Covenant Effective Date, and pursuant to order from the Bankruptcy Court, the Original Covenant (as defined above) shall be deemed reinstated and amended as provided for in this Ahmanson Ranch Covenant. 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 206 Furthermore, City covenants and agrees that the Original Covenant is no longer of any force and effect, and on and after the Ahmanson Ranch Covenant Effective Date, it is expressly understood and agreed by the Parties that this Ahmanson Ranch Covenant (along with all other agreements, including the Reinstated Development Agreement, between City and Developer resulting from the purchase and sale of the Phase 1A Property vis-a-vis the Bankruptcy Lawsuit) governs the Ahmanson Ranch Covenant Properties. 16.14 Counterpart Signature Pages. For convenience the Parties may execute and acknowledge this Covenant in counterparts and when the separate signature pages are attached hereto, shall constitute one and the same complete Covenant. [end — signature page follows] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 207 IN WITNESS WHEREOF, Developer and City have executed this Ahmanson Ranch Covenant as of the Ahmanson Ranch Covenant Effective Date. "DEVELOPER" TBE RE Acquisition Co II LLC, a Delaware liability company and affiliate of Turnbridge E Real Estate Fund II GP LLC, a Delaware Date: 2025 liability company By: Its: By: Its: Date: ATTEST: Monika Radeva, City Clerk APPROVED AS TO FORM RUTAN & TUCKER, LLP William H. Ihrke, City Attorney 698/015610-0207 22795466.2 a09/18/25 ityIVA CITY OF LA QUINTA, a California municipal corporation and charter city , 2025 By: Jon McMillen, City Manager EXHIBIT J 1: 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 Riverside On before me, (insert name and title of the officer) 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 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J (Seal) 209 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 Riverside On before me, (insert name and title of the officer) 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 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J (Seal) 210 EXHIBIT A LEGAL DESCRIPTION AND DEPICTION OF LUXURY HOTEL PROPERTY (DEVELOPER OWNED) [to be inserted] [possible include depiction on plotted parcel map] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 211 EXHIBIT B-1 LEGAL DESCRIPTION OF GOLF COURSE [to be inserted] [possible include depiction on plotted parcel map] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 212 EXHIBIT B-2 LEGAL DESCRIPTION OF CITY -OWNED AHMANSON RANCH PROPERTY [to be inserted] [possible include depiction on plotted parcel map] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 213 EXHIBIT C SITE MAPS (Attached) 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 214 GENERAL SITE MAP (2025 SilverRock Master Plan) [Site Maps Continue on Next Page] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J 215 Residential Lo 29 tots Avg Lot SF: 14. Luxury Hotel # keys: 150 Spa SF: 21,000 Lobby SF: 25,0( Luxur) Brand & Clut Brand Public 1�7 L ' Phase 7 L! Phase i ANNOTATED SITE MAP (2025 SilverRock Master Plan) [Site Maps Continue on Next Page] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J Golf Clubhouse Clubhouse:16,200sf Hotel Banquet / BOH Banquet: 21,600 st BOH: 26,000 sf Condominiums 70 Condos (Avg 3,000 sf) Clubhouse (15,000 sf) lesidential Lots 13 lots Lvg Lot SF: 20k 216 PHASE 1A DETAILED SITE MAP (2025 SilverRock Master Plan) [Site Maps Continue on Next Page] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT J Condominium 10 condominium buildings 6 units / bldg. 3,000sf Avg Unit 217 PA1 -Golf Course (existing) PA2- Luxury Brandy (29 lots) PA3-Luxury Hotel (154 guest roams, lr restaurants, retail. BOH, etc. totaling 2 698/015610-0207 22795466.2 a09/18/25 SITE MAP BY PLANNING AREAS (PAs) (2025 SilverRock Master Plan) [End of Site Maps] EXHIBIT J -Public Golf Clubhouse 000sf) - Luxury Hotel Banquet & kof House Functions tquet: 25,0 0 Osf) H: 30.000sf) -Luxury Branded Condominiums units) ident Clubhouse & Facilities 000sfi - Luxury Branded Residences lots) -Future Golf, Residential, Commercial hole private golf course, 253 dentin( units, and 40,0005f tmercial) 218 EXHIBIT K REINSTATED AND AMENDED COVENANT AFFECTING REAL PROPERTY (GOLF COURSE USE) [Attached] 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 219 RECORDING REQUESTED BY AND WHEN RECORDED MAIL TO City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: City Clerk Space Above This Line for Recorder's Use (Exempt from Recording Fee per Gov't Code §6103 and §27383) REINSTATED AND AMENDED COVENANT AFFECTING REAL PROPERTY (GOLF COURSE USE) :V/_1z1111=1ty Tl=1 =1zl THE CITY OF LA QUINTA AND TBE RE ACQUISITION CO II LLC AN AFFILIATE OF TURNBRIDGE EQUITIES 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 220 TABLE OF CONTENTS Page REINSTATE AND AMENDED COVENANT AFFECTING REAL PROPERTY (GOLF COURSEUSE)............................................................................................................1 RECITALS............................................................................................................................... 1 AGREEMENT.......................................................................................................................... 6 1. GENERAL PROVISIONS............................................................................................. 6 1.1 Definitions................................................................................................6 1.2 Effective Date..........................................................................................8 1.3 Amendment or Cancellation by Mutual Consent......................................8 1.4 Covenants Run With the Land; Expressed Condition of Golf Course Use in Grant Deeds and Other Similar Instruments; Rights of Reverteror Re-Entry................................................................................9 1.5 Recording of Covenant..........................................................................10 1.6 Covenant Parcels Free of Mechanic's Liens..........................................10 2. USE GOLF COURSE AND ANCILLARY ACCESS AND MAINTENANCE ................. 11 2.1 Golf Course Property.............................................................................11 2.2 Golf Course Access/Operations Property..............................................12 2.3 Luxury Hotel Property............................................................................12 2.4 Dedications and Improvements.............................................................12 3. RESIDENT ACCESS AND USE OF THE GOLF COURSE ........................................ 12 3.1 Resident Access Cards for Qualifying Persons.....................................12 3.2 Terms and Conditions of Use; Revocable License................................13 3.3 Obligation to Honor Valid Resident Access Cards.................................14 3.4 Minimum Privileges Granted to Valid Resident Access Card Holders..................................................................................................14 3.5 Collection and Receipt of Resident Rate Charges.................................16 3.6 Additional Privileges Permissible to Resident Access Card Holders .....16 4. DEFAULT AND REMEDIES....................................................................................... 16 4.1 City Rights.............................................................................................16 4.2 Notice and Cure of Default.....................................................................17 5. MISCELLANEOUS.....................................................................................................17 5.1 Notices, Demands and Communications Between the Parties ..............17 5.2 Force Majeure........................................................................................18 5.3 Binding Effect.........................................................................................18 5.4 Third Party Beneficiaries........................................................................18 5.5 Non -liability of City Officers and Employees..........................................18 5.6 Covenant Against Discrimination...........................................................19 5.7 Attorney's Fees and Costs for Prevailing Party......................................19 698/015610-0207 22795466.3 a09/18/25 221 TABLE OF CONTENTS Paqe 5.8 Severability............................................................................................19 5.9 Time.......................................................................................................19 5.10 Recitals & Exhibits Incorporated............................................................19 5.11 Authority to Execute; Representations and Warranties .........................19 5.12 City Approvals and Actions.................................................................... 20 5.13 Future Golf Covenant.............................................................................20 Pursuant to the Reinstated Development Agreement and that certain agreement entitled Option to Purchase Real Property dated of or about even date as this Golf Course Covenant by and between City and Developer (the "Phase 2 Property Option Agreement"), Developer has an option to purchase certain real property that is part of the SilverRock Resort Area and owned in fee by City, defined in the Reinstated Development Agreement as the "Phase 2 Property" (also referred to as the "City -Owned Option Property") on which the Golf Course Driving Range Property is located .....................20 5.14 Governing Law.......................................................................................21 5.16 Counterpart Signature Pages................................................................21 EXHIBIT A-1 LEGAL DESCRIPTION OF LUXUTY HOTEL PROPERTY ............................... 25 EXHIBIT A-2 LEGAL DESCRIPTION OF PUBLIC GOLF CLUBHOUSE PROPERTY ........... 26 EXHIBIT B LEGAL DESCRIPTION OF CITY -OWNED GOLF COURSE PROPERTY ........... 27 EXHIBIT C SITE MAPS......................................................................................................... 28 EXHIBIT D TEE TIME BLOCK SCHEDULE EXAMPLE.........................................................29 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 222 REINSTATED AND AMENDED COVENANT AFFECTING REAL PROPERTY (GOLF COURSE USE) This REINSTATED AND AMENDED COVENANT AFFECTING REAL PROPERTY (GOLF COURSE USE) (the "Golf Course Covenant" or "Covenant") is entered into as of the day of , 2025 (the "Golf Course Covenant Effective Date"), by and between the CITY OF LA QUINTA, a California municipal corporation and charter city ("City"), and TBE RE Acquisition Co II LLC, a Delaware limited liability company and affiliate of Turnbridge Equities ("Developer"), with reference to the following: RECITALS: A. As of the Golf Course Covenant Effective Date, Developer has a legal or equitable interest in fee title to that certain real property and improvements thereon intended to be used in connection with construction and operation of (i) a flagship luxury hotel and related ancillary uses that include (but are not limited to) a spa and fitness area, restaurants, conference and banquet facilities, pool and recreational facilities, and "back -of -house" facility area that are part of the "Luxury Hotel Project Component" as defined in the Reinstated Development Agreement (defined below), and more particularly described in the legal description attached hereto as Exhibit A-1 and incorporated herein by this reference (the "Luxury Hotel Property"), and (ii) a golf clubhouse and pro shop for the Golf Course (defined below) to be open and available for use and services to the general public as well as guests and visitors to the luxury hotel and part of the "Public Golf Clubhouse Project Component" as defined in the Reinstated Development Agreement (defined below), and more particularly described in the legal description attached hereto as Exhibit A-2 and incorporated herein by this reference (the "Public Golf Clubhouse Property"). The Luxury Hotel Property and Public Golf Clubhouse Property are portions of real property and improvements thereon referred to as the "Phase 1 Property" as defined in the Reinstated Development Agreement (defined below) to which Developer also has a legal or equitable interest in fee title as of the Golf Course Covenant Effective Date. [NOTE: ONLY THE PARCELS WITH THE LUXURY HOTEL AND PUBLIC GOLF CLUBHOUSE ARE THE LEGAL DESCRIPTIONS TO BE ATTACHED AS EXHIBITS, AND NOT THE ENTIRETY OF THE PHASE 1A PROPERTY] B. As of the Golf Course Covenant Effective Date, City owns all of the real property improved with the Golf Course and ancillary improvements and amenities, comprised of approximately 170+/- acres and more particularly described in Exhibit B attached hereto and incorporated herein by this reference (the "City - Owned Golf Course Property"). The City -Owned Golf Course Property consist of (i) the Arnold Palmer Classic Golf Course, commonly known as the SilverRock Golf Course (the "Golf Course"), (ii) access, operations, and maintenance parcels of real property appurtenant to the Golf Course (the "Golf Course 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 223 Access/Operations Property"), and (iii) location for a driving range to be part of the Golf Course (the "Golf Course Driving Range Property"). The Luxury Hotel Property, Public Golf Clubhouse, and City -Owned Golf Course Property are referred to herein as the "Golf Course Covenant Properties." [NOTE: LEGAL DESCRIPTION FOR THE DRIVING RANGE MAY NEED TO BE ADJUSTED TO BE ONLY A PORTION OF EXISTING PARCEL(S) TO MATCH DEPICTION OF DRIVING RANGE LOCATION IN SITE PLAN] C. On , 2025, the La Quinta City Council adopted Ordinance No. , approving pursuant to applicable State and City laws that certain Reinstated and Amended Development Agreement, with reference date 2025, between City and Developer (the "Reinstated Development Agreement"). Among other terms and conditions, the Reinstated Development Agreement vests development and use rights to Developer, prescribes rights and obligations of Developer for the resumption and completion of construction, and the continuous operation and use, of specified "Project Components" that include, among others, a luxury hotel with related ancillary amenities and luxury single-family detached and condominium residential dwellings available for use as short-term vacation rentals, as more particularly set forth therein. The Reinstated Development Agreement governs Developer's development and use rights and obligations for the Phase 1 Property. The Reinstated Development Agreement was recorded in the Recorder's Office of or about even date as this Golf Course Covenant, with said Reinstated Development Agreement to remain with priority over this Golf Course Covenant. D. Prior to City and Developer entering into this Golf Course Covenant (among other agreements and instruments), the following relevant history is hereby recited: 1. Except for portions of land previously transferred to SilverRock Development Company, LLC, a Delaware limited liability company (or one of its affiliated companies, which are referred to herein collectively as "SDC" or "Debtor(s)")' as explained below in the next Recital Subparagraph, City owns fee title to that certain real property of approximately 525 acres located at the southwest intersection of Jefferson Street and Avenue 52, in the City of La Quinta, California, generally 1 Debtors were SilverRock Development Company, LLC and affiliated entities that, on August 5, 2024, filed for voluntary bankruptcy protection under chapter 11 of the U.S. Bankruptcy Code, with case number(s) identified in the Title of this Agreement along with the last four digits of each Debtor's federal tax identification number, as applicable, are: SilverRock Development Company, LLC (5730), RGC PA 789, LLC (5996), SilverRock Lifestyle Residences, LLC (0721), SilverRock Lodging, LLC (4493), SilverRock Luxury Residences, LLC (6598) and SilverRock Phase I, LLC (2247) (collectively, referred to herein as the "Bankruptcy Lawsuit" in the "Bankruptcy Court"). 698/015610-0207 22795466.3 a09/18/25 EXHIBIT K 224 referred to as the "SilverRock Resort Area", which is depicted in the Site Maps (as defined herein), and subject to a Specific Plan adopted by the La Quinta City Council and enforceable as a land use governing document pursuant to the Planning and Zoning Law, California Government Code section 65000 et seq. (the "SilverRock Specific Plan"); 2. On or about November 19, 2014, City and SDC entered into that certain Purchase, Sale, and Development Agreement (the "Original SDC PSDA"), pursuant to which, among other terms and conditions, City agreed to sell to SDC and SDC agreed to purchase from City specified parcels and planning areas (PAs) to thereafter construct, complete, and operate thereon a commercial project containing a luxury resort hotel and spa and associated branded luxury residential units, a lifestyle hotel and associated lifestyle branded residential units, a conference and shared service facility, a temporary and permanent clubhouse for the SilverRock Resort's Arnold Palmer Classic Golf Course, a mixed use village, a resort residential village, and associated amenities, all as further described in the Original SDC PSDA and referred to as various project components, as more particularly described therein. Concurrent with the Original SDC PSDA, on or about November 19, 2014, City and SDC entered into Development Agreement 2014-1001 (the "Original SDC Development Agreement") pursuant to the Development Agreement Law, which agreement, among other terms and conditions, required SDC to develop the planning areas and project components in accordance with the SDC PSDA, vested with SDC specified development obligations, memorialized the potential for the future acquisition of additional City -owned property in the SilverRock Resort Area as incorporated vis-a-vis the SDC PSDA, and subjected SDC to City's rights and oversight for those portions of the SilverRock Resort Area to be conveyed to SDC. After entering into the Original SDC PSDA and Original SDC Development Agreement, the following relevant events, very briefly summarized, occurred: Pursuant to the Original SDC PSDA, City and SDC had the authority to amend by mutual agreement of the parties. Between October 29, 2015, and November 16, 2023, City and SDC entered into five amendments thereto, dated October 29, 2015 ("First Amendment"), April 18, 2017 ("Second Amendment"), November 28, 2018 ("Third Amendment"), October 12, 2021 ("Fourth Amendment"), and November 16, 2023 ("Fifth Amendment," and the Original SDC PSDA as amended by all five amendments is referred to herein as the "SDC PSDA"); ii. Pursuant to the SDC PSDA and consistent with boundaries established by applicable subdivision maps and lot line adjustments, City conveyed to SDC the Phase 1 Property for the pre -development, development, operation, and use of a 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 225 project that was eventually re -named "Talus" and consisted of the following project components (all as defined in the SDC PSDA): Luxury Hotel, Luxury Branded Residential Development, Lifestyle Hotel, Lifestyle Branded Residential Development, Conference and Shared Services Facility (including spa and other amenities), Permanent Golf Clubhouse, Promenade Mixed -Use Village/Resort Residential Village (on Planning Areas 7,8,9), as well as a specified Golf Course Realignment and corresponding Master Site Infrastructure Improvements (MSII). These project components on the Phase 1 Property, pursuant to the SDC PSDA, were divided into Phase 1A project components on the Phase 1A Property and the Phase 1B project components on the Phase 1 B Property respectively, as described in the SDC PSDA; iii. Pursuant to the Third and Fourth Amendments to the SDC PSDA, SDC commenced pre -development and development on the Property for the Phase 1A project components, which as of the Reference Date of this Agreement, in various degrees, were partially constructed after SDC failed to continue to make payments to various contractors, subcontractors, and other interested parties in the development of the Talus project. Multiple lawsuits, including lawsuits seeking payments pursuant to mechanic's lien or various loan or investment agreements, and a City lawsuit against SDC for unlawful and unapproved conveyances in secured interests or mechanic's liens, were filed against SDC; iv. Pursuant to the requirements of the SD PSDA, the City and SDC entered into a "Covenant Affecting Real Property (Golf Course Use) By And Between The City Of La Quinta and SilverRock Development Company, LLC" (Riverside County Recorder No. 2017-0189004), which was recorded on May 11, 2007 (the "Original Covenant"); V. On August 5, 2024, SDC (Debtors) filed the Bankruptcy Lawsuit, and, pursuant to Bankruptcy Court -approved Bid Procedures, Debtors retained a Chief Restructuring Officer (Douglas Wilson Companies) and marketing professional (JLL) for the purposes of, among other items, marketing the sale of the Debtors estate (which and is primarily comprised of the Phase 1 Property) and soliciting proposals for the: (a) acquisition of the Debtors estate, (b) use, re -use, and/or substitution of the partially constructed improvements on the Property, (c) potential replacement project for a world -class 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 226 hotel and residential destination resort with related amenities on the Phase 1 Property that complement the existing Arnold Palmer Classic Golf Course surrounding the Property and real property owned by the City (defined below as the City - Owned Option Property), and (d) possible acquisition in the future of the City -Owned Option Property (defined below) in the SilverRock Resort Area (previously referred to as the Future Option Property in the SDC PSDA and generally referred to in the Bankruptcy Lawsuit and marketing materials as the "Phase 2 Property") for possible future development that would also complement a world -class hotel and residential destination resort; 3. Pursuant to Bankruptcy Court order, Bankruptcy Lawsuit Docket No. F], among other provisions: (i) Developer was authorized to purchase the Phase 1 Property, (ii) the Original SDC Development Agreement was required to be reinstated and amended and memorialized by the Reinstated Development Agreement, and (iii) An escrow to facilitated the purchase and sale of the Debtors' estate (which includes the Phase 1 Property) was authorized, which, among other terms and conditions, included the transfer of funds and recording of documents (such as the Reinstated Development Agreement). E. Developer submitted a proposal in response to the marketing materials, and, pursuant to the Bankruptcy Court -approved Bid Procedures, Debtors and City approved Developer's proposal, which, among other terms and conditions, included a modified "Project" (as more particularly defined and memorialized in the Reinstated Development Agreement) on the Phase 1 Property as well as possible acquisition in the future of the City -Owned Option Property (also referred to therein as the Phase 2 Property) for possible future development that would also complement a world -class hotel and residential destination resort, all as more particularly set forth in the Reinstated Development Agreement. F. The Reinstated Development Agreement and Specific Plan, among other land use governing documents, permits, and entitlements, are centered around the existing use and enjoyment, by residents, guests of the City, and members of the public, of the Golf Course in the SilverRock Resort Area. G. This Golf Course Covenant is intended to and does bind City and any and all successors in interest to the City -Owned Golf Course Property (or any portion thereof), as more particularly set forth herein. Likewise, this Golf Course Covenant is intended to and does bind Developer and any and all successors in interest to the Luxury Hotel Property (or portion thereof) and the Public Golf Clubhouse Property (or portion thereof), as more particularly set forth herein. H. Pursuant to and as more particularly set forth the Reinstated Development Agreement, upon conveyance of the City -Owned Golf Course Property from City 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 227 to Developer if Developer satisfies specified conditions in the Reinstated Development Agreement, Developer is required, among other provisions relating to land use covenants, to continuously operate and maintain, and have open and available for use and enjoyment, the Golf Course and ancillary improvements and amenities, as more particularly set forth in this Golf Course Covenant. As used in this Covenant with respect to Developer's maintenance and operation responsibilities, the terms "Golf Course" and "City Owned Golf Course Property," shall include the Golf Course Driving Range Property, but only to the extent City and Developer have entered into a mutually agreeable lease or license agreement with respect thereto, covering the time period between conveyance of the Golf Course to Developer and the conveyance of the Phase 2 Property to Developer, and addressing the terms and conditions of Developer's access, maintenance, and operations rights and responsibilities concerning the Golf Course Driving Range Property during that period. For the avoidance of doubt, the Golf Course Driving Range Property will not be conveyed to Developer with the other portions of the City Owned Golf Course Property, and, notwithstanding anything to the contrary in this Covenant, unless and until the Golf Course Driving Range Property is conveyed to Developer, Developer shall have no obligations with respect to maintaining and operating any portion of the Golf Course Driving Range Property unless and only to the extent expressly set forth in a future lease or license agreement entered into between the City and Developer. This Covenant is being recorded to, among other things, ensure that the City - Owned Golf Course Property is maintained and used solely as a first-class golf course that is open to the public, and that residents of the City retain the same quality and level of access to the Golf Course that they have as of the Golf Course Covenant Effective Date which, generally, is one-third (1/3) of all tee times from the time the Golf Course opens until 1:00- p.m., which is approximately 15,000 rounds of golf, all as more specifically set forth in this Covenant. J. City is the owner by dedication of those certain public streets located in the City and known as Avenue 52 and Jefferson Street. The portions of said public streets that are adjacent to the SilverRock Resort Area, as depicted on the Parcel Map, in addition to any and all other real property owned by the City for public use (collectively, the "City-Benefitted Property"), is benefited by this Covenant, and serves as the "benefited estate" for purposes of this Covenant, and the terms and conditions, as more particularly set forth herein. Furthermore, the Golf Course Covenant Properties are burdened by this Golf Course Covenant, serve as the "burdened estate" for purposes of this Golf Course Covenant, and are subject to its terms and conditions, as more particularly set forth herein. 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 228 AGREEMENT: NOW, THEREFORE, in consideration of the foregoing Recitals, which are incorporated herein by this reference, the mutual covenants and agreements contained herein, and other good and valuable consideration, the receipt and legal sufficiency of which is hereby acknowledged, the Parties do hereby agree as follows: 17. GENERAL PROVISIONS 17.1 Definitions. In addition to the terms that may be defined elsewhere in this Covenant, the following terms when used in this Covenant shall be defined as follows: 17.1.1 "City" means the City of La Quinta, a charter city and municipal corporation, including each and every agency, department, board, commission, authority, employee, and/or official acting under the authority of the City, including without limitation the City Council and the Planning Commission. 17.1.2 "City-Benefitted Property" shall have the meaning in Recital J of this Golf Course Covenant. 17.1.3 "City Council" means the City Council of the City and the legislative body of the City pursuant to California Government Code Section 65867. 17.1.4 "City Manager" means the individual duly appointed to the position of City Manager of City, or his or her authorized designee. 17.1.5 "City -Owned Golf Course Property" shall have the meaning in Recital B of this Golf Course Covenant. 17.1.6 "Covenant" and "Golf Course Covenant" means this Reinstated and Amended Golf Course Covenant Affecting Real Property (Golf Course Use). 17.1.7 "Daily Resident Rate Cap" shall have the meaning set forth in Section 3.4.2(B) of this Covenant. 17.1.8 "Developer" means the Developer identified in the Preamble of this Golf Course Covenant. 17.1.9 "Effective Date" shall the "Golf Course Covenant Effective Date." 17.1.10 "Golf Course" means the SilverRock Resort's Arnold Palmer Classic Course and all operations related thereto, in its current location, as of the Golf Course Effective Date of this Covenant, subject to reconfiguring and realignment pursuant to any reconfiguring approved by the City from time to time. 17.1.11 "Golf Course Access/Operations Property" shall have the meaning in Recital B of this Golf Course Covenant. 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 229 17.1.12 "Golf Course Covenant" means this Reinstated and Amended Golf Course Covenant Affecting Real Property (Golf Course Use). 17.1.13 "Golf Course Covenant Properties" shall have the meaning in Recital B of this Golf Course Covenant. 17.1.14 "Golf Course Driving Range Property" shall have the meaning in Recital B of this Golf Course Covenant. 17.1.15 "Luxury Hotel Property" shall have the meaning in Recital A of this Golf Course Covenant. 17.1.16 "Parties" means collectively Developer and City, and their respective successors and assigns. Each may be referred to in the singular as a "Party". 17.1.17 "Project Component" shall have the same meaning as defined in the Reinstated Development Agreement. 17.1.18 "Public Golf Clubhouse Property" shall have the meaning in Recital A of this Golf Course Covenant 17.1.19 "Recorder's Office" means the Riverside County, California, Office of Official Records. 17.1.20 "Reinstated Development Agreement" shall have the meaning in Recital C of this Golf Course Covenant. 17.1.21 "Resident Access Card(s)" means cards issued by the City to qualifying persons, based on establishing a residence in the City among other criteria as the City may establish from time to time, that grant such cardholders preferred rates of play and scheduling of tee times at the Golf Course. 17.1.22 "Resident Base Rate" means the rate charged to a holder of a valid Resident Access Card for each round of golf played at the Golf Course as either (i) the rate set by the City Council for so long as the City owns the Golf Course Parcels, or (ii) the rate set by the City Council as of the date of the conveyance of any right, title or interest in the Golf Course Parcels to Developer or any other third party that is not the City or City -affiliated agency, as may be modified as set forth this Golf Course Covenant. 17.1.23 "Resident Rate" means the rate charged to each holder of a valid Resident Access Card for each round of golf played at the Golf Course, as further governed under Section 3.4.2 of this Golf Course Covenant. 17.1.24 "Resident Rate Annual Percentage Increase" shall have the meaning set forth in Section 3.4.2(C) of this Golf Course Covenant. 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 230 17.1.25 "Resident Rate Ten -Year Adjustment" shall have the meaning set forth in Section 3.4.2(D) of this Golf Course Covenant 17.1.26 "SilverRock Resort Area" has the same meaning in the Reinstated Development Agreement and Recital C(1), which refers to the approximately 525 acres of real property located at the southwest intersection of Jefferson Street and Avenue 52 in the City of La Quinta, California 92253, depicted in the Site Maps. 17.1.27 "Site Map(s)" means the maps of the SilverRock Resort Area, which is attached hereto as Exhibit C and incorporated herein by this reference. 17.1.28 "Specific Plan" means the SilverRock Resort Specific Plan, approved by the City Council of City on July 18, 2006, as may be amended from time to time. 17.1.29 "Tee Time Block Schedule Example" shall have the meaning in Section 3.4.1 of this Golf Course Covenant, and as depicted in Exhibit D attached hereto and incorporated herein by reference. 17.2 Effective Date. This Golf Course Covenant shall be effective and of full force and effect upon complete execution by the Parties, which shall be inserted in the preamble, and shall be perfected as binding against any and all owners of the Golf Course Covenant Properties upon recording in the Recorder's Office. 17.3 Amendment or Cancellation by Mutual Consent. Except as expressly allowed herein, this Golf Course Covenant shall not be amended or canceled in whole or in part without the prior written consent of the City, and, except when the City Manager may amend this Covenant as expressly allowed herein, any cancellation or amendment of this Golf Course Covenant shall require the approval of the City Council by not less than a majority vote of the total membership. 17.4 Covenants Run With the Land; Expressed Condition of Golf Course Use in Grant Deeds and Other Similar Instruments; Rights of Reverter or Re -Entry. In any grant deed or other instrument conveying any right, title, or interest in any or all of the Golf Course Covenant Properties (or portion thereof) from the grantor (including the City) to the grantee (including Developer), words shall be included in such grant deed or other instrument signifying that such right, title, or interest, and any such estate created by such conveyance, shall be subject to the terms and conditions of this Golf Course Covenant. Furthermore, such grant deed or other instrument shall expressly condition that the City, and its heirs and assigns, shall have a right of reverter and/or right to re-enter any or all of the City -Owned Golf Course Property upon its ceasing to be used for a golf course pursuant to the terms and conditions of this Golf Course Covenant. 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 231 This Golf Course Covenant is intended to be and shall be construed as a restrictive covenant that limits, restricts, and burdens the use of the Golf Course Covenant Properties. The City, as owner in fee of the City -Owned Golf Course Property, and as owner of all Golf Course Covenant Properties when the prior Covenant Affecting Real Property (Golf Course Use) was originally recorded prior to it being reinstated by the Bankruptcy Court visa-vis this Golf Course Covenant, hereby declares that this Golf Course Covenant, and the covenants, conditions, and restrictions of use on the Golf Course Covenant Properties as set forth herein, is intended to and shall run with the land in perpetuity, and each and every successor of the City and Developer that has any ownership interest or right of ownership interest in the Golf Course Covenant Properties (or portions thereof), including Developer, shall be subject to this Golf Course Covenant, which is intended to be and shall be construed as placing a reasonable burden on the use of the Golf Course Covenant Properties, which, among other provisions, recognize that the City -Owned Golf Course Property was developed for use and enjoyment as the Golf Course for the benefit of the Luxury Hotel Property and the residents of the City of La Quinta. To the maximum extent permitted by law, this Covenant shall be construed as an expressed, valid, and enforceable deed restriction, restrictive covenant, or other similarly described encumbrance that runs with the Golf Course Covenant Properties. This Covenant shall be binding upon any person or entity that acquires any right, title, or interest in or to any portion or all of the Golf Course Covenant Properties. Furthermore, this Golf Course Covenant is designed to create equitable servitudes and covenants running with the land, in accordance with the provisions of Civil Code Section 1468. The covenants, conditions, restrictions, reservations, equitable servitudes, liens, and charges set forth herein shall run with the Golf Course Covenant Properties, as the "burdened property," and shall be binding upon all persons or entities having any right, title or interest in the Golf Course Covenant Properties (or portion thereof) and their heirs, successive owners and assigns, and shall be binding upon the Developer, and its successors and assigns. Furthermore, the covenants, conditions, restrictions, reservations, equitable servitudes, liens, and charges set forth herein shall run with the City-Benefitted Property, as the "benefitted property," and shall inure to the benefit of the City and its successors and assigns, and may be enforced by the City and its successors and assigns. The Developer hereby declares its understanding and intent that the burden of the covenants set forth herein touch and concern the land and that the Developer's interest in the Golf Course Covenant Properties is rendered less valuable thereby. The Developer hereby further declares its understanding and intent that the benefit of such covenants touch and concern the land by enhancing and increasing the enjoyment and use of the Golf Course Covenant Properties and by furthering public purposes for the City. In amplification and not in restriction of the provisions hereinabove, it is intended and agreed that the City is deemed a beneficiary of the covenants provided herein both for and in its own right and also for the purposes of protecting the interests of the community. All covenants without regard to technical classification or designation shall be binding for the benefit of the City and such covenants shall run in favor of the City, without regard to whether the City is or remains the owner of the City-Benefitted 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 232 Property or of any land or interest therein to which such covenants relate. However, all such covenants and restrictions shall be deemed to run in favor of all real property owned by the City, which real property shall be deemed the benefited property of such covenants. The City shall have the right, in the event of any breach of this Covenant, to exercise all rights and remedies, and to maintain any action at law or in equity or other proper proceeding to enforce the curing of such breach of this Covenant. 17.5 Recordina of Covenant. Upon complete execution and notarizing of this Golf Course Covenant, Developer shall record or cause to be recorded in the Recorder's Office this Golf Course Covenant. The Covenant shall be recorded against each and every one of the Golf Course Covenant Properties and the City-Benefitted Property. This Covenant shall be recorded as provided for in the Reinstated Development Agreement, and this Covenant shall have priority over and shall not be made subordinate to any mortgage, deed of trust, or other encumbrance recorded against the Golf Course Covenant Properties. 17.6 Covenant Parcels Free of Mechanic's Liens. The owner of the Golf Course Covenant Properties (or any portion thereof) shall pay when due all claims for labor performed and materials furnished in connection with the Golf Course Covenant Properties during the period of its ownership. No mechanics', materialmen's or other professional services liens (as contrasted with consensual monetary liens such as construction and/or permanent financing approved by the City and subject to this Golf Course Covenant) shall be permitted against the Golf Course Covenant Properties (or any portion thereof) for any work done or materials furnished in connection with the performance of any contractor or construction work to be completed on the Golf Course Covenant Properties; provided, however, that the owner of the Golf Course Covenant Properties (or portion thereof) may contest the validity of any such lien, but upon a final determination of the validity thereof, the owner of the Golf Course Covenant Properties (or portion thereof) subject to such a lien shall cause the lien to be satisfied and released of record. The owner of the Golf Course Covenant Properties (or portion thereof) shall, within thirty (30) days after receipt of written notice of any encumbrance by any such lien or claim of lien, (i) cause any such outstanding lien or claim of lien to be released of record or transferred to bond in accordance with applicable law, or (ii) give such assurance as would enable a title insurance company to insure over such lien or claim of lien. 18. USE GOLF COURSE AND ANCILLARY ACCESS AND MAINTENANCE 18.1 Golf Course Property. The City -Owned Golf Course Property shall be used as a golf course with allowance for appurtenant maintenance yard and facilities, and related golf course amenities, according to the following: 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 233 (A) The Golf Course shall be open and available for play as was customarily the practice as of the Golf Course Covenant Effective Date. In explanation of the preceding sentence, the hours of operation, closures for routine maintenance or periodic upgrades, and other factors relating to the services and operations provided, while the Golf Course was open and while it was closed, shall be similar to the practices used annually and regularly, before the Golf Course Covenant Effective Date. (B) The Golf Course at all times shall be of the caliber, reputation, difficulty, design (including any allowable golf course improvements or realignment design), maintenance, and general "golf experience" that the Golf Course has as of the Golf Course Covenant Effective Date. The Golf Course shall maintain a designation as an "Arnold Palmer" (or successor name) and/or a similar caliber designation or better golf course. (C) The City -Owned Golf Course Property shall be available for use and enjoyment by City residents and the general public pursuant to the terms and conditions of this Golf Course Covenant, and any other applicable laws, the Reinstated Development Agreement, the rules and policies imposed by the operator of the Golf Course, and any and all City permits, licenses, approvals, and entitlements, and other agreements relating to the Golf Course. (D) The maintenance yard and facilities shall be and remain on the parcel of the City -Owned Golf Course Property as of the Golf Course Covenant Effective Date. (E) The Golf Course shall be open and available for use on such days and times as generally were in practice as of the Golf Course Covenant Effective Date, subject to occasional closures or interruption for tournaments and special events, as customary in the industry for golf courses of similar caliber. (F) The Golf Course shall have a clubhouse that shall be open to the public. The clubhouse shall have at a minimum the same services and operations (such as food and beverage services, golf equipment and clothing, golf carts, and other similar amenities customarily available at a first-class golf course and resort) as were available as of the Golf Course Covenant Effective Date with expectation of improvement pursuant to Developer's proposed improvements to the Public Golf Clubhouse under the Reinstated Development Agreement. The clubhouse shall be constructed, operated, and maintained in accordance with all applicable laws, the Reinstated Development Agreement, and any and all City permits, licenses, approvals, and entitlements, and any other agreements relating to the clubhouse. 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 234 18.2 Golf Course Access/Operations Pro The Golf Course Access/Operations Property, or alternative access to and from the City-Benefitted Property with comparable functionality, shall be used and be available for use in the same manner as they were used and available for use as of the Golf Course Covenant Effective Date, according to the following: (A) The Golf Course shall have access (vehicular and pedestrian ingress and egress) from the public street segments comprising a portion of the City-Benefitted Property at all times on, over, and through some or all of Golf Course Access/Operations Property; provided, however, such access may be modified pursuant to a subdivision map or other City action, pursuant to any applicable law, that maintains access to the Golf Course from the public street segments comprising a portion of the City-Benefitted Property. (B) The Golf Course Access/Operations Property, or alternative access to and from the City-Benefitted Property with comparable functionality, shall allow access to the Golf Course for City residents, City officials and employees, and any and all other guests of the Golf Course Property. 18.3 Luxury Hotel Property. The Luxury Hotel Property shall be used in connection with the Golf Course. Prior to and after the completion of construction of the Luxury Hotel, as evidenced by the Certificate of Completion for the Luxury Hotel Project Component as provided in the Reinstated Development Agreement, this Golf Course Covenant shall be binding against the Luxury Hotel Property. 18.4 Dedications and Improvements. Nothing in this Golf Course Covenant shall release or relieve Developer from making any offers of dedications to the City or other applicable public agency, or complete those public improvements in connection with the development of the SilverRock Resort Area, as may be required by any conditions of approval, parcel map, or any other requirement imposed by the City. 19. RESIDENT ACCESS AND USE OF THE GOLF COURSE 19.1 Resident Access Cards for Qualifying Persons. City shall provide a process and program available to qualifying persons to apply for and receive Resident Access Cards. City may contract with Developer or a third party operator of the Golf Course for the administration of the Resident Access Card process and program. City shall establish eligibility requirements, which may be modified from time to time in City's reasonable discretion and subject to the terms and conditions of this Golf Course Covenant, under which City shall administer and issue to qualifying persons the Resident Access Cards. The eligibility requirements shall be the same as were in place as of the Golf Course Covenant Effective Date unless City 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 235 modifies those requirements pursuant to this Golf Course Covenant. Eligibility requirements applicable to all Resident Access Cards, which may be modified by City, include but are not limited to: (A) Reasonable methods to prove and verify residency in the City, such as a requirement that an applicant for a Resident Access Card provide to the City a property tax bill or residential lease with the applicant's name on that property tax bill or residential lease. (B) A minimum period during which an applicant for a Resident Access Card must be physically present in the City at a residence in the City, such as a requirement that an applicant is or plans to be physically present in the City for at least six months of each year. 19.2 Terms and Conditions of Use; Revocable License. All Resident Access Cards shall be a license subject to revocation pursuant to terms and conditions established from time to time in City's reasonable discretion and subject to the terms and condition of this Golf Course Covenant. The terms and conditions attached to all currently issued Resident Access Cards as of the Golf Course Covenant Effective Date shall be the same as were in place as of the Golf Course Covenant Effective Date, and the terms and conditions for all Resident Access Cards applied for and issued after the Golf Course Covenant Effective Date shall be the same as were in place as of the Golf Course Covenant Effective Date unless the City modifies those requirements pursuant to this Golf Course Covenant. Terms and conditions applicable to all Resident Access Cards, which may be modified from time to time by City, shall include: (A) The period for which a Resident Access Card remains valid, which shall be three (3) years from date of issuance. (B) The cost to purchase a Resident Access Card, which, as of the Golf Course Covenant Effective Date, is One Hundred Fifty Dollars ($150.00). The cost to purchase a Resident Access Card may increase no more than Ten Dollars ($10) per calendar year, commencing in the year of the Effective Date of this Covenant. (C) If City conveys all right, title, and interest in the City - Owned Golf Property to Developer or any successor in interest, the City Council shall retain the right to set an amount for the purchase of a Resident Access Card that would be the same or similar to the setting of an amount that would be consistent with the setting of such amount as of the Golf Course Covenant Effective Date. 19.3 Obligation to Honor Valid Resident Access Cards. The owner of the City -Owned Golf Course Property (or any portion thereof, including the Golf Course), including Developer and any successor in interest, shall 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 236 honor any and all valid Resident Access Cards and, at a minimum, shall honor the privileges set forth in this Golf Course Covenant to any qualifying person holding a valid Resident Access Card. 19.4 Minimum Privileges Granted to Valid Resident Access Card Holders. If the City owns the Golf Course, the minimum privileges established by the City as of the Effective Date of this Golf Course Covenant shall apply to each qualifying person who holds a valid Resident Access Card. If the City is not the owner of the Golf Course, then each qualifying person who holds a valid Resident Access Card shall have the following privileges available for use and enjoyment of the Golf Course: 19.4.1 Booking Tee Times. Until such time as City is no longer the owner of the Golf Course, either of the processes set forth in paragraphs (A) and (B) below shall be available to a holder of a valid Resident Access Card when booking a tee time. At such time as City is no longer the owner of the Golf Course, this Golf Course Covenant shall be automatically modified to delete paragraph (A) below, and thereafter the process set forth in paragraph (B) below shall be available to a holder of a valid Resident Access Card when booking a tee time. (A) The same process and ability to book a tee time as in place as of the Effective Date of this Golf Course Covenant; and/or (B) No less than one week in advance of the day of play, blocks of reserved tee times representing no less than one-third (1/3) of all tee times from the Golf Course's opening time until 1.00 p.m. each day the Golf Course is open for play, reasonably and proportionately scheduled throughout that opening/1:00 p.m. time period, shall be made available to holders of valid Resident Access Cards. In the absence of a modified procedure approved by City, the time at which a tee time may be booked shall commence at 6:00 a.m. on the day by which a reservation must be made; for example, if the holder of a Resident Access Card wants to book a tee time for a Saturday pursuant to the one (1)-week advance reservation provision in Section 3.4.1(B) above, the earliest time at which to make that reservation would be 6:00 a.m. the Saturday before the Saturday of play. Subject to the terms and conditions in this Section 3.4.1, the scheduling of tee times, and the implementation of blocks of reserved tee times, shall follow or be similar to the schedule matrix set forth in the Tee Time Block Schedule Example. Notwithstanding anything to the contrary in this Golf Course Covenant, tournaments and other similar group play shall take priority over other reservations, provided that the "one-third (1/3) of all tee times" requirement described in paragraph (B) above is satisfied on a monthly basis. In the absence of a modified procedure approved by the City, tee times that have been "blocked -off" for Resident Access Card holders, but have not been booked by a Resident Access Card holder two (2) days prior to the date of play, may be made 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 237 available to the general public (including guests at the SilverRock Resort) on a first - come, first -served basis. 19.4.2 Reduced Rate for Golf Course Play. The rate charged to each holder of a valid Resident Access Card for each round of golf played at the Golf Course (the "Resident Rate") shall be governed according to the following: (A) In the absence of a different Resident Rate charged pursuant to this Golf Course Covenant, the Resident Rate shall be the Resident Base Rate. (B) The Resident Rate shall not exceed, on any given day the Golf Course is open for play, fifty percent (50%) of the actual combined rate paid by hotel guests staying at any hotel at the SilverRock Resort Area and by the general public (who are not holders of Resident Access Cards) for that same day that the Golf Course is open for play, as determined by the Developer or operator of the Golf Course (if not Developer) in their sole and absolute discretion; for example (and example only), if the actual combined rate for hotel guests and general public playing on March 1 of any given year is $100, the maximum Resident Rate for that March 1 is $50. The fifty percent (50%) cap described in this paragraph is referred to as the "Daily Resident Rate Cap." The Daily Resident Rate Cap shall only apply for golf course play during the "prime season months" from November 1 through March 31 of every year. (C) Subject to the Daily Resident Rate Cap, the Resident Rate may increase annually by a specified percentage (the "Resident Rate Annual Percentage Increase"). In the absence of a different annual percentage increase approved by the City, the percentage increase shall not be more than a three percent (3%) increase per year, unless the City and Developer agree to reset the Resident Base Rate to a market rate at such time. For example (and example only) if Resident Base Rate is $60, the following Resident Rates would apply for the following years 1-10 to the extent the Resident Base Rate has not be reset to a market rate by the mutual agreement of the City and Developer: Season YEAR base 1 2 3 4 5 6 7 8 9 10 PEAK $60 $62 $64 $66 $68 $70 $72 $74 $76 $78 $81 SHOULDER ".' $49 $50 $52 $54 $55 $57 $59 $60 $62 $64 $66 SUMMER 3% $33 $34 $35 $36 $37 $38 $39 $41 $42 $43 $44 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 238 Notwithstanding the foregoing, prior to the conveyance of the Golf Course from the City to the Developer, the City and Developer shall meet and in good faith agree upon a maximum Resident Rate, taking into account the cost of capital improvements made or to be made to the Golf Course by Developer. (D) Subject to the Daily Resident Rate Cap, after the first consecutive ten (10)-year period commencing from conveyance of all right, title, and interest in the Golf Course from City to Developer or any successor in interest, any increase in the Resident Rate starting in year 11 may not exceed the percentage increase in the Consumer Price Index (or similar nationally recognized inflationary index) (the "CPI") for All Urban Consumers, not seasonally adjusted, for the Riverside -San Bernardino -Ontario statistical area (or subsequent similar index for similar area in which City is located), averaged for the twelve (12) month period commencing fifteen (15) months prior to the applicable ten-year adjustment date and ending three (3) months prior to that applicable ten-year adjustment date (the "Resident Rate Ten -Year Adjustment"). Each year after the Resident Rate Ten -Year Adjustment, any annual increase in the Resident Rate may not exceed the CPI. (E) There shall be no "service charge," or any other amount added to the Resident Rate permitted under this Covenant. In explanation of the foregoing, there shall be no "weekend rate" or other kind of "service charge" added to the Resident Rate. (F) For purposes of determining any increase or adjustment to the Resident Rate, each year shall be based on a calendar year. The first day on which any increase in the Resident Rate may occur is January 1, and for purposes of any increase in the Resident Base Rate, the first day on which such an increase may occur is January 1 of the year following the year of the Golf Course Covenant Effective Date. 19.5 Collection and Receipt of Resident Rate Charges. The owner of the Golf Course shall have the obligation to collect and right to keep moneys charged at Resident Rates; provided, however, if the City owns the Golf Course but contracts with Developer or a third party operator of the Golf Course for the administration of the Resident Access Card process and program, Developer and/or the third party operator of the Golf Course shall have the obligation to collect and right to keep moneys charged at Resident Rates. 19.6 Additional Privileges Permissible to Resident Access Card Holders. Nothing in this Covenant prevents the owner of the City -Owned Golf Course Property (or portion thereof) or manager of the Golf Course from granting additional privileges to holders of valid Resident Access Cards, including but not limited to discounts on food and merchandise available at the clubhouse. 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 239 20. DEFAULT AND REMEDIES. 20.1 City Rights. In the event of failure by Developer or any successor in interest that has any ownership interest in the Golf Course Covenant Properties (or any portion thereof) to perform any material term or provision of this Golf Course Covenant, the City shall have those rights and remedies provided in this Golf Course Covenant and shall have any and all rights and remedies available at law or in equity, including but not limited to immediate and permanent injunctive relief. 20.2 Notice and Cure of Default. Upon the receipt of the notice of default by the City, the defaulting party shall promptly commence to cure, correct, or remedy the identified default at the earliest reasonable time after receipt of the notice of default and shall complete the cure, correction or remedy of such default not later than thirty (30) days after receipt of the notice of default, or, for such defaults that cannot reasonably be cured, corrected or remedied within thirty (30) days, such Party shall commence to cure, correct, or remedy such default within such thirty (30) day period, and shall continuously and diligently prosecute such cure, correction or remedy to completion, provided that such cure, correction or remedy is completed within ninety (90) days of the expiration of the initial thirty (30) day cure period. 21. MISCELLANEOUS 21.1 Notices, Demands and Communications Between the Parties. Any approval, disapproval, demand, document or other notice ("Notice") which either Party may desire to give to the other Party under this Golf Course Covenant must be in writing and shall be sufficiently given if (i) delivered by hand, (ii) delivered by reputable same -day or overnight messenger service that provides a receipt showing date and time of delivery, or (iii) dispatched by registered or certified mail, postage prepaid, return receipt requested, to the principal offices of City and Developer at the addresses specified below, or at any other address as that Party may later designate by Notice. To City: City of La Quinta 78-495 Calle Tampico La Quinta, California 92253 Attn: City Manager With a copy to: Rutan & Tucker, LLP 18575 Jamboree Road, 9t" Floor Irvine, California 92612 Attn: William H. Ihrke 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 240 Email: bihrke@rutan.com To Developer: TBE RE Acquisition Co II LLC c/o Turnbridge Equities 4 Bryant Park, Suite 200 New York, New York 10018 Attention: General Counsel and Michael Gazzano Email: jw@turnbridgeeq.com and mg@turnbridgeeq.com with a copy to: DLA Piper 1251 Avenue of the Americas New York, New York 10020 Attention: Todd Eisner Email: todd.eisner@us.dlapiper.com with a copy to: Procopio 200 Spectrum Center Drive, Suite 1650, Irvine, CA 92618 Attn: James Vaughn Email: james.vaughn@procopio.com Any written notice, demand or communication shall be deemed received immediately if personally delivered or delivered by delivery service, and shall be deemed received on the third day from the date it is postmarked if delivered by registered or certified mail. 21.2 Force Majeure. Notwithstanding any other provision set forth in this Golf Course Covenant to the contrary, in no event shall a Party be deemed to be in Default of its obligations set forth herein where delays or failures to perform are due to a Force Majeure, as defined in the Reinstated Development Agreement. Notwithstanding anything to the contrary in this Golf Course Covenant, an extension of time for any such cause shall only be for the period of the enforced delay and shall commence to run from the time of the commencement of the cause, if notice by the Party claiming such extension is sent to the other Party within a reasonable time following the commencement of the cause, which notice requirement shall be deemed waived if the other Party is aware of the facts giving rise to the Force Majeure. Upon receiving notice of a Force Majeure or becoming aware of the facts giving rise thereto, the Parties shall meet and confer in good faither to determine the appropriate period of Force Majeure delay, and document same in writing. Times of performance under this Golf Course Covenant may also be extended in writing by the mutual agreement of City and Developer. 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 241 21.3 Bindina Effect. This Golf Course Covenant, and all of the terms and conditions hereof, shall be binding upon and inure to the benefit of the City, any subsequent owner of all or any portion of the Golf Course Covenant Properties, and their respective assigns, heirs or successors in interest, whether or not any reference to this Golf Course Covenant is contained in the instrument by which such person acquired an interest in the Golf Course Covenant Properties. 21.4 Third Party Beneficiaries. A holder of a valid Resident Access Card shall be deemed and is expressly a third party beneficiary under this Golf Course Covenant, and shall have the right, but not the obligation, to seek enforcement of this Golf Course Covenant's terms and conditions. Except for the Parties to this Golf Course Covenant, which includes any successors in interest, and holders of valid Resident Access Cards, no other persons or entities have any right of action of any kind under this Golf Course Covenant. 21.5 Non -liability of City Officers and Employees. No official, officer, employee, agent or representative of City, acting in his/her official capacity, shall be personally liable for any loss, costs, damage, claim, liability, or judgment, arising out of or connection to this Golf Course Covenant, or for any act or omission on the part of City. 21.6 Covenant Against Discrimination. Developer covenants by and for itself and any successors in interest that there shall be no discrimination against or segregation of any person, or group of persons on any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the Property, or any part thereof, nor shall Developer, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy of tenants, lessees, subtenants, sublessees or vendees of the Property, or any part thereof. The foregoing covenants shall run with the land. 21.7 Attornev's Fees and Costs for Prevailina Pa If either Party to this Golf Course Covenant is required to initiate or defend, or is made a party to, any action or proceeding in any way connected with this Golf Course Covenant, the Party prevailing in the final judgment in such action or proceeding, in addition to any other relief which may be granted, shall be entitled to reasonable attorney's fees. Attorney's fees shall include reasonable costs for investigating such action, conducting discovery, retaining expert witnesses, and all other necessary costs the court allows which are incurred in such litigation. 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 242 21.8 Severability. If any term or condition of this Golf Course Covenant is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Golf Course Covenant shall continue in full force and effect, to the extent that the invalidity or unenforceability does not impair the application of this Golf Course Covenant to condition the use of the Golf Course for a golf course and the Golf Course Access/Operations Property to provide access and operations for use as a golf course. 21.9 Time. Time is of the essence in the performance of this Golf Course Covenant and of each and every term and condition hereof as to which time is an element. 21.10 Recitals & Exhibits Incorporated. The Recitals to this Golf Course Covenant and all of the exhibits and attachments to this Golf Course Covenant are, by this reference, incorporated into this Golf Course Covenant and made a part hereof. 21.11 Authority to Execute; Representations and Warranties. Developer warrants and represents that (i) it is duly organized and existing, (ii) it is duly authorized to execute and deliver this Golf Course Covenant, (iii) by so executing this Golf Course Covenant, Developer is formally bound to the provisions of this Golf Course Covenant, (iv) Developer's entering into and performance of its obligations set forth in this Golf Course Covenant do not violate any provision of any other agreement to which Developer is bound, and (v) there is no existing or threatened litigation or legal proceeding of which Developer is aware which could prevent Developer from entering into or performing its obligations set forth in this Golf Course Covenant. 21.12 City Approvals and Actions. Whenever a reference is made in this Golf Course Covenant to an action or approval to be undertaken by the City, the City Manager or his or her authorized designee is authorized to act on behalf of the City unless this Golf Course Covenant specifically provides otherwise, including but not limited to provisions in this Golf Course Covenant when the City Council must review and take action, or the law requires otherwise. The City Manager shall have the authority to implement this Golf Course Covenant, including the authority to negotiate and sign on behalf of the City implementing agreements and other documents, so long as the substantive provisions of this Golf Course Covenant are maintained. Nothing in this Section limits or precludes the City Manager from presenting to the Planning Commission and/or City Council, as applicable, for review and consideration any matters to which the City Manager otherwise may act on behalf of City pursuant to this Section. 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 243 21.13 Future Golf Covenant. Pursuant to the Reinstated Development Agreement and that certain agreement entitled Option to Purchase Real Property dated of or about even date as this Golf Course Covenant by and between City and Developer (the "Phase 2 Property Option Agreement"), Developer has an option to purchase certain real property that is part of the SilverRock Resort Area and owned in fee by City, defined in the Reinstated Development Agreement as the "Phase 2 Property" (also referred to as the "City -Owned Option Property") on which the Golf Course Driving Range Property is located. City and Developer acknowledge and agree that in the event Developer timely exercises the option pursuant to the Phase 2 Property Option Agreement, a subdivision map may be processed and recorded to subdivide the specific portion of the Phase 2 Property that constitutes the Golf Course Driving Range Property improved with the Golf Course Driving Range. Concurrently with, and as a condition to, City's conveyance of the Golf Course Driving Range Property to Developer as part of the Phase 2 Property Option Agreement, City and Developer shall execute and record against the newly subdivided Golf Course Driving Range Property an amendment to this Golf Course Covenant (and any other requested releases or terminations) that releases the portions of the Phase 2 Property that are not the newly subdivided Golf Course Driving Range Property, and ensures that City residents continue to have access to the Golf Course Driving Range Property in a manner that is consistent with residents access to the Golf Course pursuant to this Golf Course Covenant. 21.14 Governina Law. The internal laws of the State of California shall govern the interpretation and enforcement of this Covenant without regard to conflicts of law principles. Any action at law or in equity brought by for the purpose of enforcing, construing, or interpreting the validity of this Covenant or any provision hereof shall be brought in the Superior Court of the State of California in and for the County of Riverside, or such other appropriate court in said county. 21.15 Termination of Original Covenant. On and after the Golf Course Covenant Effective Date, and pursuant to order from the Bankruptcy Court, the Original Covenant (as defined above) shall be deemed reinstated and amended as provided for in this Golf Course Covenant. Furthermore, City covenants and agrees that the Original Covenant is no longer of any force and effect, and on and after the Golf Course Covenant Effective Date, it is expressly understood and agreed by the Parties that this Golf Course Covenant (along with all other agreements, including the Reinstated Development Agreement, between City and Developer resulting from the purchase and sale of the Phase 1A Property vis-a-vis the Bankruptcy Lawsuit) governs the Golf Course Covenant Properties. 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 244 21.16 Counterpart Sianature Paaes. For convenience the Parties may execute and acknowledge this Golf Course Covenant in counterparts and when the separate signature pages are attached hereto, shall constitute one and the same complete Golf Course Covenant. [end — signature page follows] 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 245 IN WITNESS WHEREOF, Developer and City have executed this Golf Course Covenant as of the Golf Course Covenant Effective Date. Date: , 2025 Date: , 2025 ATTEST: Monika Radeva, City Clerk APPROVED AS TO FORM RUTAN & TUCKER, LLP William H. Ihrke, City Attorney "DEVELOPER" TBE RE Acquisition Co II LLC, a Delaware limited liability company and affiliate of Turnbridge Equities By: Its: By: Its: "CITY" CITY OF LA QUINTA, a California municipal corporation and charter city By: Jon McMillen, City Manager [End of signatures] 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 246 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 Riverside On before me, (insert name and title of the officer) 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 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K (Seal) 247 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 Riverside On before me, (insert name and title of the officer) 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 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K (Seal) 248 EXHIBIT A-1 LEGAL DESCRIPTION OF LUXURY HOTEL PROPERTY [to be inserted] [possible include depiction on plotted parcel map] 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 249 EXHIBIT A-2 LEGAL DESCRIPTION OF PUBLIC GOLF CLUBHOUSE PROPERTY [to be inserted] [possible include depiction on plotted parcel map] 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 250 EXHIBIT B LEGAL DESCRIPTION OF CITY -OWNED GOLF COURSE PROPERTY [to be inserted] [possible include depiction of parcels on plotted parcel map] 698/015610-0207 22795466.3 a09/ 18/25 EXHIBIT K 251 EXHIBIT C SITE MAPS (Attached) 698/015610-0207 22795466.2 a09/18/25 EXHIBIT K 252 GENERAL SITE MAP (2025 SilverRock Master Plan) [Site Maps Continue on Next Page] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT K 253 ANNOTATED SITE MAP (2025 SilverRock Master Plan) Golf Clubhouse • Phase Clubhouse: 16,200sf Option Lan Residential Lots �--, - Hotel Banquet /BOH 29lots �� Phase 2 Banquet: 21,600 sf Avg Lot SF 14.110, -' i Option Land` BOH: 26,000 sf o Condominiums r 1 70 Condos (Avg 3,000 sf) Clubhouse (15,000 sf) Luxury Hotel • t1 ` - V �, _L, b;� - +� # keys:150 I - Spa SF: 21,000 1.0 Lobby SF:25,000 ,� I � Phase2 Option Land ( Residential Lots G93lots Avg Lot SF: 20k Luxury Hotel Branded Condominiums` ,�... 7 &Clubhouse y i Branded Single Family Home Lots i Public Golf Clubhouse Phase 2 Option Land L ' Phase 1A 1 - r, L�7 r,4.. J Phase 1B g 4 > [Site Maps Continue on Next Page] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT K 254 PHASE 1A DETAILED SITE MAP (2025 SilverRock Master Plan) [Site Maps Continue on Next Page] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT K Condominium 10 condominium buildings 6 units / bldg. 3,000st Avg Unit Residential Clubhouse & Pool 115.noo,fl 255 PA1-Golf Course (existing) PA2 - Luxury Brandy (29 lots) PA3-Luxury Hotel (154 guest rooms. Ir restaurants, retail. BOH. etc. totaling 2 698/015610-0207 22795466.2 a09/18/25 SITE MAP BY PLANNING AREAS (PAs) (2025 SilverRock Master Plan) [End of Site Maps] EXHIBIT K - Public Golf Clubhouse 0000) - Luxury Hotel Banquet & kof House Functions rquet: 25,000'f) H: 30,0005f) - Luxury Branded Condominiums units) idem Clubhouse & Facilities 000sf) - Luxury Branded Residences ors) -Future Golf, Residential, Commercial hole private golf course, 253 dentist units, and 40,000sf tmercist) 256 EXHIBIT D TEE TIME BLOCK SCHEDULE EXAMPLE 0.: 7:15 Resident Block 7:53 Starter Time i Resident 8:53 • ii . 0,: Starter Time 9-45 �7 9:s3 10:00 10:08 Starter Time 0:30 Resident• 0, tom 11:00 11:08 Starter Time HAS 11:53 12:00 12:08 Starter Time Resident• 12:30 12:s3 Starter Time T1 Tee Sheet •. 00 . 698/015610-0207 22795466.2 a09/18/25 EXHIBIT K 257 EXHIBIT L FORM OF ASSIGNMENT AND ASSUMPTION AGREEMENT [ attached ] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT L 258 REQUESTED BY AND WHEN RECORDED MAIL TO: City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Attn: Citv Manaaer Exempt From Recording Fee Pursuant to Government Code § 27383 ASSIGNMENT AND ASSUMPTION AGREEMENT This Assignment and Assumption Agreement ("Assignment") is entered into this day of by and between , a limited liability company [TBE RE ACQUISITION CO II LLC, a Delaware limited liability company] [OR, INSERT OTHER TURNBRIDGE ENTITY] and affiliate of Turnbridge Equities ("Assignor") and , a ("Assignee") with reference to the following: RECITALS A. Assignor is the owner in fee simple of certain real property located at the southwest intersection of Jefferson Street and Avenue 52 in the City of La Quinta, California (the "Site"). The Site is more particularly described on Exhibit A, which is attached hereto and incorporated herein by this reference. B. On the Assignor and the City of La Quinta, a California municipal corporation and charter city ("City") entered into that certain Development Agreement, which was recorded against the [Site or Development Property] in the Official Records of the County of Riverside on 2025, as Instrument No. (the "Development Agreement"). C. Pursuant to the terms of the Development Agreement, the Site was to be used for a (the "Project"). D. City and Assignor further entered into that certain [insert other applicable documents encumbering the Site, such as Option Agreement, Agreement to Share Transient Occupancy Tax Revenue, and/or Agreement Containing Covenants, Conditions, and Restrictions Affecting Real Property] (collectively with the Development Agreement, the "Project Agreements"). E. Assignor now desires to transfer the Site to Assignee, and concurrently therewith, to transfer to Assignee all of Assignor's rights and responsibilities 698/015610-0207 22795466.2 a09/18/25 EXHIBIT L 259 under the Project Agreements [to the extent that such rights and responsibilities relate to the Site]. NOW, THEREFORE, in consideration of the foregoing Recitals, which are incorporated herein by this reference, and for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: Assignor hereby assigns to Assignee all of Assignor's rights and responsibilities under the terms of the Project Agreements, [but only to the extent that such rights and responsibilities arise from the ownership of the Project and/or Site] from and after the "Effective Date" (as that term is defined in Section 4 below) of this Assignment (collectively, the "Assigned Rights and Obligations"). 2. Assignee hereby accepts the foregoing assignment of the Assigned Rights and Obligations, and agrees to be bound by the terms of the Project Agreements [to the extent that such terms affect or are affected by ownership of the Site]. 3. The parties hereto acknowledge and agree that Assignee shall not be responsible for any of the obligations of the Project Agreements which arise from ownership of any portion of the Site and which arise prior to the Effective Date hereof. As such, a default by Assignor under any of the Project Agreements prior to the Effective Date hereof ("Assignor's Default") shall not be deemed a default by Assignee, and Assignor shall indemnify, defend and hold harmless Assignee from any and all losses, claims or liability, including without limitation reasonable attorneys' fees and costs, arising from an Assignor's Default. A default by Assignee under any of the Project Agreements with respect to the Site after the Effective Date hereof ("Assignee's Default") shall not be deemed a default by Assignor, and Assignee shall indemnify, defend and hold harmless Assignor from any and all losses, claims or liability, including without limitation reasonable attorneys' fees and costs, arising from an Assignee's Default. 4. This Assignment shall be deemed effective upon the last of the following events to occur: (a) conveyance of the Site to Assignee as evidenced by the recording of the grant deed therefor in the Official Records of the County of Riverside, California, and (b) the written consent to this Assignment by the City with respect to the Assigned Obligations arising under the Project Agreements (herein referred to as the "Effective Date"). 5. Except as otherwise described in paragraph 4 above, the parties hereto each warrant and represent that they have taken all necessary corporate action to authorize the execution and performance of this Assignment and 698/015610-0207 22795466.2 a09/18/25 EXHIBIT L 260 that the individuals executing this document on behalf of the parties are authorized to do so, and by doing so, create binding obligations as described herein of the party represented. 6. This Assignment shall be governed by the internal laws of the State of California, without regard to conflict of law principles. 7. This Assignment may be signed in counterparts which, when signed by both parties hereto, shall constitute a binding agreement. [End — Signature page follows] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT L 261 WHEREFORE, the parties hereto have executed this Assignment on the date first written above. "ASSIGNOR" TBE RE ACQUISITION CO II LLC, a Delaware limited liability company, and affiliate of Turnbridge Equities Date: 120 By:Its: By: Its: "ASSIGNEE" Date: 120 698/015610-0207 22795466.2 a09/18/25 EXHIBIT L 262 CONSENT By execution below, the City hereby consents to the foregoing assignment. CITY OF LA QUINTA, a California municipal corporation and charter city Date: 520 By:Its: ATTEST: City Clerk APPROVED AS TO FORM: RUTAN & TUCKER, LLP City Attorney City Manager 698/015610-0207 22795466.2 a09/18/25 EXHIBIT L 263 EXHIBIT A LEGAL DESCRIPTION OF THE SITE [ attachment to Assignment and Assumption Agreement ] 698/015610-0207 22795466.2 a09/18/25 EXHIBIT L 264 VOWIMMETAII SHORT-TERM VACATION RENTAL REGULATIONS For Reference Purposes Only — See Agreement [Attached] 265 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS Chapter 3.25 SHORT-TERM VACATION RENTALS 3.25.010 Title. This chapter shall be referred to as the "Short -Term Vacation Rental Regulations." (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.020 Purpose. A. The purpose of this chapter is to establish regulations for the use of privately owned residential dwellings as short-term vacation rentals that ensure the collection and payment of transient occupancy taxes (TOT) as provided in Chapter 3.24 of this code, and minimize the negative secondary effects of such use on surrounding residential neighborhoods. B. This chapter is not intended to provide any owner of residential property with the right or privilege to violate any private conditions, covenants and restrictions applicable to the owner's property that may prohibit the use of such owner's residential property for short-term vacation rental purposes as defined in this chapter. C. The requirements of this chapter shall be presumed to apply to any residential dwelling that has received a short-term vacation rental permit. A rebuttable presumption arises that, whenever there is an occupant(s), paying rent or not, of a residential dwelling that has received a short-term vacation rental permit, the requirements of this chapter shall apply, including but not limited to any suspension or other modifications imposed on a short-term vacation rental permit as set forth in this chapter. The city manager or authorized designee shall have the authority to implement any necessary or appropriate policies and procedures to apply the rebuttable presumption set forth in this section. (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. No. 607, Exh. A, 12-5-2023; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.030 Definitions. For purposes of this chapter, the following words and phrases shall have the meaning respectively ascribed to them by this section: "Advertise," "advertisement," "advertising, "publish," and "publication" mean any and all means, whether verbal or written, through any media whatsoever whether in use prior to, at the time of, or after the enactment of the ordinance adding this definition, used for conveying to any member or members of the public the ability or availability to rent a short-term vacation rental unit as defined in this section, or used for conveying to any member or members of the public a notice of an intention to rent a short-term vacation rental unit as defined in this section. For purposes of this definition, the following media are listed as examples, which are not and shall not be construed as exhaustive: verbal or written announcements by proclamation or outcry, newspaper advertisement, magazine advertisement, handbill, written or printed notice, printed or poster display, billboard La Quinta, California, Municipal Code (Supp. No. 7 Upd 2) Page 1 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 266 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS display, e-mail or other electronic/digital messaging platform, electronic commerce/commercial Internet websites, and any and all other electronic media, television, radio, satellite -based, or Internet website. "Applicable laws, rules and regulations" means any laws, rules, regulations and codes (whether local, state or federal) pertaining to the use and occupancy of a privately owned dwelling unit as a short-term vacation rental. "Applicant" means the owner of the short-term vacation rental unit. "Authorized agent or representative" means a designated agent or representative who is appointed by the owner and is also responsible for compliance with this chapter with respect to the short-term vacation rental unit. "Booking transaction" means any reservation or payment service provided by a person or entity who facilitates a home -sharing or vacation rental (including short-term vacation rental) transaction between a prospective occupant and an owner or owner's authorized agent or representative. "City manager" means that person acting in the capacity of the city manager for the City of La Quinta or authorized designee. "Declaration of non-use" means the declaration described in Section 3.25.050. "Dwelling" has the same meaning as set forth in Section 9.280.030 (or successor provision, as may be amended from time to time) of this code; "dwelling" does not include any impermanent, transitory, or mobile means of temporary lodging, including but not limited to mobile homes, recreational vehicles (RVs), car trailers, and camping tents. "Estate home" is defined as a single-family detached residence with five (5) or more bedrooms, subject to evaluation criteria and inspection of the property pursuant to Section 3.25.060(D)(1). An estate home is a sub -type of short-term vacation rental unit and shall be subject to a general short-term vacation rental permit, primary residence short-term vacation rental permit, or homeshare short-term vacation rental permit, as applicable, pursuant to this chapter. "General short-term vacation rental permit" is a type of short-term vacation rental permit that is neither a homeshare short-term vacation rental permit nor a primary residence short-term vacation rental permit. "Good neighbor brochure" means a document prepared by the city that summarizes the general rules of conduct, consideration, and respect, including, without limitation, provisions of this code and other applicable laws, rules or regulations pertaining to the use and occupancy of short-term vacation rental units. "Homeshare short-term vacation rental permit" is a type of short-term vacation rental permit whereby the owner hosts visitors in the owner's dwelling, for compensation, for periods of thirty (30) consecutive calendar days or less, while the owner lives on -site and in the dwelling, throughout the visiting occupant's stay. "Hosting platform" means a person or entity who participates in the home -sharing or vacation rental (including short-term vacation rental) business by collecting or receiving a fee, directly or indirectly through an agent or intermediary, for conducting a booking transaction using any medium of facilitation, including but not limited to the Internet. "Large lot" means a single "parcel," as defined in Section 9.280.030 (or successor provision, as may be amended from time to time) of this code, that meets all of the criteria set forth in subsection (A) of Section 3.25.057. "Local contact person" means the person designated by the owner or the owner's authorized agent or representative who shall be available twenty-four (24) hours per day, seven (7) days per week with the ability to respond to the location within thirty (30) minutes for the purpose of: (1) taking remedial action to resolve any (Supp. No. 7 Upd 2) Page 2 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 267 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS complaints; and (2) responding to complaints regarding the condition, operation, or conduct of occupants of the short-term vacation rental unit. A designated local contact person must obtain a business license otherwise required by Sections 3.24.060 and 3.28.020 (or successor provisions, as may be amended from time to time) of this code. "Management company" means any individual or entity, whether for profit or nonprofit, and regardless of entity type, such as a limited liability company, corporation, or sole proprietorship, that is retained by an owner to be the owner's authorized agent or representative, or is the owner of a short-term vacation rental unit subject to this chapter, and is engaged in or represents itself to be engaged in the business of managing real property. "Multi -unit lock -off STVR unit" means a specific design and construction of a single-family detached dwelling or multi -family attached unit(s) dwelling, which construction is designed to allow sections of such dwelling to be Locked -off and separated into individual stand-alone units and meets one (1) or more of the exemptions set forth in Section 3.25.055. The design and construction of a multi -unit Lock -off STVR unit provides at a minimum for: a) Independent living facilities within the space secured by a lock -off door(s), b) Separate access to the exterior area(s) and public right-of-way without the need to enter or walk through the primary living area of the dwelling or other lock -off STVR units, and c) Permanent provisions for sleeping and sanitation (bathroom) within the space secured by a lock -off door(s). Examples of multi -unit Lock -off STVR units include a dwelling that has "hotel- or motel -like" exterior access door(s) and interior security door(s) that can be secured from either side between two (2) stand-alone units where each stand-alone unit has the ability to secure itself from the other adjacent unit; or, a two (2)-story dwelling (such as a two (2)-story duplex) in which the first floor and second floor are separate Lock -off STVR units, and the first and second floors each have their own independent exterior access to the exterior areas and public right-of-way. A multi -unit lock -off STVR unit is a sub -type of short-term vacation rental unit and shall be subject to a general short-term vacation rental permit or primary residence short-term vacation rental permit, as applicable, pursuant to this chapter. "Notice of permit modification, suspension orrevocation" means the notice the city may issue to an applicant, authorized agent or representative, local contact person, occupant, owner, responsible person, or any other person or entity authorized to be issued such notice under this code for a short-term vacation rental unit, upon a determination by the city of a violation of this chapter or other provisions of this code relating to authorized uses of property subject to this chapter. "Occupant" means any person(s) occupying the dwelling at any time. "Owner" means the person(s) or entity(ies) that hold(s) Legal and/or equitable title to the subject short-term vacation rental unit. "Primary residence" means a dwelling where an owner spends the majority of the calendar year on the property used as a short-term vacation rental unit, and the property is identified in the Riverside County assessor's record as the owner's primary residence. "Primary residence short-term vacation rental permit" is a type of short-term vacation rental permit whereby the short-term vacation rental unit is the owner's primary residence, as defined herein in this section. "Property" means a residential legal Lot of record on which a short-term vacation rental unit is Located. "Qualified and certified large lot" has the meaning as set forth in Section 3.25.057. (Supp. No. 7 Upd 2) Page 3 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 268 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS "Rent" has the same meaning as set forth in Section 3.24.020 (or successor provision, as may be amended from time to time) of this code. "Rental agreement" means a written or verbal agreement for use and occupancy of a privately -owned residential dwelling that has been issued a short-term vacation rental permit, including a dwelling that may have a permit which has been or is under suspension. "Responsible person" means the signatory of an agreement for the rental, use and occupancy of a short-term vacation rental unit, and/or any person(s) occupying the short-term vacation rental unit without a rental agreement, including the owner(s), owner's authorized agent(s) or representative(s), Local contact(s), and their guests, who shall be an occupant of that short-term vacation rental unit, who is at Least twenty-one (21) years of age, and who is legally responsible for ensuring that all occupants of the short-term vacation rental unit and/or their guests comply with all applicable laws, rules and regulations pertaining to the use and occupancy of the subject short-term vacation rental unit. "Short-term vacation rental permit" means a permit that permits the use of a privately owned residential dwelling as a short-term vacation rental unit pursuant to the provisions of this chapter, and which incorporates by consolidation a transient occupancy permit and a business License otherwise required by Sections 3.24.060 and 3.28.020 (or successor provisions, as may be amended from time to time) of this code. A short-term vacation rental permit is one (1) of the following types: (1) general short-term vacation rental permit, (2) primary residence short-term vacation rental permit, or (3) homeshare short-term vacation rental permit, as defined in this section. "Short-term vacation rental unit" means a privately owned residential dwelling, such as, but not Limited to, a single-family detached or multiple -family attached unit, apartment house, condominium, cooperative apartment, duplex, or any portion of such dwellings and/or property and/or yard features appurtenant thereto, rented for occupancy and/or occupied for dwelling, Lodging, or any transient use, including but not limited to sleeping overnight purposes for a period of thirty (30) consecutive calendar days or Less, counting portions of calendar days as full days, by any person(s) with or without a rental agreement. "STVR" may be used by city officials as an abbreviation for "short-term vacation rental." "Subtenant" means any person subject to, or claiming to be subject to, an arrangement in which a privately owned residential dwelling, rented to a Lawful occupant, is in turn sub -rented or sub -Leased by that Lawful occupant to another person or third party, where said arrangement allows for the use and/or occupancy of the dwelling, whether or not said arrangement is with or without a rental agreement. "Suspension" means that short-term vacation rental permit that is suspended pursuant to Section 3.25.090. "Tenant" or "transient,"for purposes of this chapter, means any person, including any Subtenant, who seeks to rent or who does rent, or who occupies or seeks to occupy, for thirty (30) consecutive calendar days or less, a short-term vacation rental unit. (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. No. 607, Exh. A, 12-5-2023; Ord. 595 § 1(Exh. A), 6-15-2021; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) (Supp. No. 7 Upd 2) Page 4 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 269 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS 3.25.040 Authorized agent or representative. A. Except for the completion of an application for a short-term vacation rental permit and business license, the owner may designate an authorized agent or representative to ensure compliance with the requirements of this chapter with respect to the short-term vacation rental unit on his, her or their behalf. Nevertheless, the owner shall not be relieved from any personal responsibility and personal liability for noncompliance with any applicable law, rule or regulation pertaining to the use and occupancy of the subject short-term vacation rental unit, regardless of whether such noncompliance was committed by the owner's authorized agent or representative or the occupants of the owner's short-term vacation rental unit or their guests. B. The owner shall be the applicant for and holder of a short-term vacation rental permit and business license and shall not authorize an agent or a representative to hold a short-term vacation rental permit and business license on the owner's behalf. The owner's authorized agent or representative may submit an application on behalf of the owner pursuant to Section 3.25.060, but the owner's signature is required on all short-term vacation rental application forms, and the city may prescribe reasonable requirements to verify that an applicant or purported owner is the owner in fact. (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.050 Short-term vacation rental permit —Required. A. The owner is required to obtain a short-term vacation rental permit and a business license from the city before the owner or the owner's authorized agent or representative may rent or advertise a short-term vacation rental unit. No short-term vacation rental use may occur in the city except in compliance with this chapter. No property in the city may be issued a short-term vacation rental permit or used as a short-term vacation rental unit unless the property is a residential dwelling that complies with the requirements of this chapter. A short-term vacation rental permit and business license shall be valid for one (1) year and renewed on an annual basis in order to remain valid. A short-term vacation rental permit and business license renewal application should be submitted sixty (60) calendar days prior to the permit's expiration date, but no later than the permit's expiration date. Failure to renew a short-term vacation rental permit as prescribed in this section may result in the short-term vacation rental permit being terminated. A new owner of a property (or a new person and/or new entity that owns or controls a business or organization or other entity of any kind, such as a limited liability company, which is the owner of a property) previously operated as a short-term vacation rental unit by the former owner (or by a former person or entity that owned or controlled the business or organization or other entity of any kind that continues to be the owner of the property) may not renew the previous owner's short-term vacation rental permit and shall apply for a new short-term vacation rental permit, pursuant to this chapter, if the new owner (or new person and/or new entity that owns or controls a business or organization or other entity of any kind that continues to be the owner of a property) wants to continue to use the residential dwelling as a short-term vacation rental unit. For purposes of this subsection, a transfer of a short-term vacation rental unit with a valid short-term vacation rental permit resulting from any of the following shall not be deemed a transfer to a new owner which (Supp. No. 7 Upd 2) Page 5 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 270 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS would otherwise trigger the requirement to apply for and obtain a new short-term vacation rental permit: (a) Transfers to an entity of any kind, such as a limited liability company or a trust, where the member(s) of the entity or beneficiary(ies) of the trust is(are) the owner(s) of the real property with a valid short-term vacation rental permit, and the proportionate interest(s) of the owner(s) are the same for the real property placed in the entity. (b) Transfers that take effect upon the death of an owner to an heir designated by the owner (by devise, bequest, or similar transfer upon death) who is any of the following: (i) surviving spouse or domestic partner; or (ii) surviving sibling related by blood or in law, such as a brother, sister, brother-in-law, sister-in-law, step -brother, or step -sister; or (iii) surviving parent or grandparent by blood or in law, such as a mother, father, mother-in-law, father-in-law, step -mother, step- father, grandmother, grandfather, grandmother -in-law, grandfather -in-law, step -grandmother, or step -grandfather; (iv) surviving child or grandchild, such as a daughter, son, daughter-in-law, son-in-law, step -daughter, step -son, granddaughter, grandson, granddaughter -in-law, grandson -in-law, step -granddaughter, or step -grandson. (c) Transfers to a trust with the beneficiary(ies) identified as an heir described in subsection 13(2)(b) above. 3. If an owner or an owner's authorized agent or representative, pursuant to all applicable laws, constructs additional bedrooms to an existing residential dwelling or converts non -bedroom spaces and areas in an existing residential dwelling into additional bedrooms, the owner or owner's authorized agent or representative shall notify the city and update the short-term vacation rental unit's online registration profile upon city approval of the addition or conversion so that the city may confirm that such conversion is consistent with this chapter and the code, including all applicable provisions in Title 8 of the code, and reissue the short-term vacation rental permit so that it accurately identifies the number of approved bedrooms, if the owner wants to continue to use the dwelling as a short-term vacation rental unit. The city may conduct an on -site inspection of the property to verify compliance with this chapter and the code. Code compliance inspections may be billed for full cost recovery at one (1) hour for initial inspection and in thirty (30)-minute increments for each follow-up inspection pursuant to subsection D. For purposes of this chapter, "reissue" or "reissuance" of a short-term vacation rental permit means a permit that is reissued by the city, with corrected information, as applicable, to be valid for the balance of the existing one (1)-year permit and license period. C. A short-term vacation rental permit and business license shall be valid only for the number of bedrooms in a residential dwelling equal to the number of bedrooms the city establishes as eligible for listing as a short-term vacation rental unit. The allowable number of bedrooms shall meet all applicable requirements under federal, state and city codes, including, but not limited to, the provisions of Section 9.50.100 (or successor provision, as may be amended from time to time) governing "additional bedrooms" and all applicable building and construction codes in Title 8 of this code. A short-term vacation rental permit shall not be issued for, or otherwise authorize the use of, additional bedrooms converted from non -bedroom spaces or areas in an existing residential dwelling except upon express city approval for the additional bedrooms in compliance with this code, including Section 9.50.100 (or successor provision, as may be amended from time to time), and upon approval of an application for a new or renewed short-term vacation rental permit as provided in subsection B. D. A short-term vacation rental permit and business license shall not be issued, and may be suspended or permanently revoked, if the property, or any building, structure, or use or land use on the property is in Created: 2025-08-21 07:38:34 [EST] (Supp. No. 7 Upd 2) Page 6 of 21 EXHIBIT M 271 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS violation of this code. The city may conduct an inspection of the property prior to the issuance or renewal of a short-term vacation rental permit and/or business license. Code compliance inspections may be billed for full cost recovery at one (1) hour for initial inspection and in thirty (30)-minute increments for each follow-up inspection. For purposes of this subsection, a code violation exists if, at the time of the submittal of an application for a new or renewed short-term vacation rental permit or business license, the city has commenced administrative proceedings by issuing written communication and/or official notice to the owner or owner's authorized agent or representative of one (1) or more code violations. For purposes of this chapter, "building," "structure," and "use or land use" have the same meanings as set forth in Section 9.280.030 (or successor provisions, as may be amended from time to time) of this code. E. A short-term vacation rental permit and business license shall not be issued or renewed, and may be suspended or permanently revoked, if any portion of transient occupancy tax has not been reported and/or remitted to the city for the previous calendar year by the applicable deadline for the reporting and/or remittance of the transient occupancy tax. A short-term vacation rental permit and business license shall not be issued or renewed, and may be suspended or permanently revoked, if the residential dwelling to be used as a short-term rental unit lacks adequate on -site parking. For purposes of this subsection, "adequate on -site parking" shall be determined by dividing the total number of occupants commensurate with the approved number of bedrooms as provided in the table under Section 3.25.070 by four (4), such that the ratio of the maximum allowed number of overnight occupants to on -site parking spots does not exceed four to one (4:1). For example, a residential dwelling with five (5) bedrooms may permissibly host a total number of ten (10) to twelve (12) overnight occupants and therefore requires three (3) on -site parking spots. On - site parking shall be on an approved driveway, garage, and/or carport areas only in accordance with Section 3.25.070(R), and no more than two (2) street parking spots may count towards the number of on -site parking spots necessary to meet the "adequate on -site parking" requirement under this subsection. G. An owner or owner's authorized agent or representative who claims not to be operating a short-term vacation rental unit or who has obtained a valid short-term vacation rental permit and business license pursuant to this chapter, may voluntarily opt -out of the requirements of this chapter, prior to the issuance or expiration of a short-term vacation rental permit and business license that are applicable to the short-term vacation rental unit, only upon the owner, the owner's authorized agent or representative and/or the owner's designated local contact person submitting a written request or executing, under penalty of perjury, a declaration of non-use as a short-term vacation rental unit, in a form prescribed by the city (for purposes of this chapter, a "declaration of non-use"). Upon the receipt and filing with the city a written request or a fully executed declaration of non-use, the short-term vacation rental permit and business license shall be closed and the owner or owner's authorized agent or representative shall be released from complying with this chapter as long as the property is not used as a short-term vacation rental unit. Use of the property as a short-term vacation unit after the city's receipt and filing of a written request or a declaration of non-use is a violation of this chapter. If, after a written notice or a declaration of non-use has been received and filed with the city, the owner or owner's authorized agent or representative wants to use that property as a short-term vacation rental unit, the owner may apply for a new short-term vacation rental permit and business license only after twelve (12) consecutive months have elapsed from the date of the city's receipt of the written notice or the declaration of non - Created: 2025-08-21 07:38:34 [EST] (Supp. No. 7 Upd 2) Page 7 of 21 EXHIBIT M 272 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS use, and the owner and owner's authorized agent or representative otherwise shall fully comply with the requirements of this chapter and the code. (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. 611, § 1(Exh. A), 3-19-2024; Ord. No. 607, Exh. A, 12-5-2023; Ord. 595 § 1(Exh. A), 6-15-2021; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 577 § 1, 2019; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.055 Non -issuance of new short-term vacation rental permits; periodic council review. A. Commencing May 20, 2021, which is the effective date of Ordinance No. 596 which added this section, there shall be no processing of, or issuance for, any applications for a new short-term vacation rental permit, required by this chapter to use or operate a short-term vacation rental unit in the city, except applications for a new a short-term vacation rental permit covering a short-term vacation rental unit that meets one (1) or more of the following: 1. A residential dwelling within a residential project located in the CT Tourist Commercial District zone, as defined in Section 9.70.070 (or successor section) of this code and depicted in the city's official zoning map. 2. A residential dwelling within a residential project located in the VC Village Commercial District zone, as defined in Section 9.70.100 (or successor section) of this code and depicted in the city's official zoning map. 3. A residential dwelling within a residential project subject to a development agreement with the city, or subject to a condition of approval(s) attached to any entitlement approved by the city (including but not limited to a specific plan, subdivision map, or site development permit), pursuant to which short-term vacation rentals are a permitted use, and the residential dwelling's use as a short-term vacation rental is authorized under a declaration of covenants, conditions, and restrictions (CC&Rs), for the residential project. 4. A residential dwelling within the area covered by the SilverRock Resort Specific Plan or the Estates at Griffin Lake Specific Plan. 5. A residential dwelling is located adjacent to the CT Tourist Commercial District zone, as defined in Section 9.70.070 and depicted in the city's official zoning map, and within the following boundaries; west of Avenida Obregon, south of the Avenida Fernando, east of Calle Mazatlan, and north of the driveway access between Calle Mazatlan and Avenida Obregon that serves as a southern boundary for the La Quinta Tennis Villas/Tennis Condos area identified on page 25 of the La Quinta Resort Specific Plan, 121 E—Amendment 5 (as may be subsequently amended from time to time). For purposes of this subsection, "adjacent to" means across the street from or accessible by a driveway or service road designed to provide access to area(s) within the CT Tourist Commercial District zone. The city manager or authorized designee shall have the authority to implement policies or procedures to review and verify whether an application for a new short-term vacation rental permit meets the criteria set forth in this section. C. This section shall not apply to applications for a homeshare short-term vacation rental permit or applications for a renewal of an existing short-term vacation rental permit and business license, submitted in compliance with this chapter, including when the short-term vacation rental permit is under suspension during the time for processing the renewal application. Applications for renewals must be submitted as prescribed by this chapter. Any short-term vacation rental unit, covered by a permit that is subject to an application for renewal, which is under temporary suspension in violation of (Supp. No. 7 Upd 2) Page 8 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 273 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS this chapter or any other provisions of this code, shall not become permitted to use the dwelling as a short-term vacation rental unit until all violations that led to the temporary suspension have been remedied and the suspension has expired. Any revoked short-term vacation rental permit shall not be eligible for renewal or new short-term vacation rental permit. D. The city council shall periodically review the impacts or effects, if any, caused by the non -issuance of new short-term vacation rental permits set forth in this section. The city manager or authorized designee shall prepare a report assessing impacts or effects, if any, for the council to review at a regular or special meeting. E. Commencing on January 4, 2024, which is the effective date of Ordinance No. 607 adding this subsection (E), this section may not be amended by the city council, except by no less than four -fifths (4/5) majority vote of the city council. (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. No. 607, Exh. A, 12-5-2023; Ord. 596 § 2, 2021; Ord. 595 § 1(Exh. A), 6- 15-2021; Ord. 591 § 1(Exh. A), 4-20-2021) 3.25.057 Large Lots; exemption from non -issuance of new short-term vacation rental permits. A. If none of the exemptions in subsection (A) or (C) of Section 3.25.055 of this code applies, the owner of a large lot may voluntarily submit to the city an application and request to be exempted from the non - issuance of new short-term vacation rental permits set forth in Section 3.25.055 only if, at the time of submittal of an application for exemption pursuant to this section, all of the following criteria are met: 1. The "lot area," as defined in Section 9.280.030 (or successor provision, as may be amended from time to time) of this code, is comprised of a single parcel that is no less than twenty-five thousand (25,000) square feet; 2. The single parcel has at least one (1) existing dwelling, as defined in this chapter, in use or available for use; 3. The single parcel is not, nor will the single parcel ever be for the duration of the period of any qualified exemption under this section, subject to a subdivision under the subdivision map act in Division 2 (commencing with Section 64410) of Title 7 of the California Government Code or under Title 13 of this code (or successor provisions, as may be amended from time to time); 4. The single parcel is not, nor will the single parcel ever be for the duration of the period of any qualified exemption under this section, subject to a reduction in the square footage of the lot area by Lot line adjustment, parcel merger, or other action that creates a legal parcel under the subdivision map act in Division 2 (commencing with Section 64410) of Title 7 of the California Government Code or under Title 13 of this code (or successor provisions, as may be amended from time to time); 5. If the single parcel is within a residential project governed by a homeowners association, the use of the single parcel as a short-term vacation rental unit is authorized under the homeowners association's covenants, conditions, and restrictions (CC&Rs) and any other applicable governing documents for the residential project governed by the homeowners association; 6. Use of the single parcel as a short-term vacation rental unit is not prohibited or otherwise inconsistent with any recorded instruments governing the use of the single parcel; and 7. The single parcel has adequate on -site parking pursuant to this chapter for use as a short-term vacation rental unit. (Supp. No. 7 Upd 2) Page 9 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 274 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS Subject to the application and review provisions in this section, if the city determines the single parcel meets the criteria of a large lot to be exempted from the non -issuance of new short-term vacation rental permits that otherwise applies pursuant to Section 3.25.055, the provisions regarding the non -issuance of new short-term vacation rental permits in Section 3.25.055 shall no longer apply to, or be applicable as long as the single parcel meets the criteria in this section, to the large lot upon certification by the city that the criteria set forth in this section have been met. 1. Upon certification by the city that the criteria in this section have been met, then the single parcel shall be identified as a "qualified and certified large lot" for purposes of this section and this chapter. 2. Upon certification by the city of the single parcel as a qualified and certified large lot pursuant to this section, an owner of a residential dwelling within a qualified and certified large lot may apply for a new short-term vacation rental permit pursuant to this chapter and shall be subject to the same requirements of any other short-term vacation rental permit application, use, and operation governed by this chapter. 3. The city may impose any necessary or proper conditions of approval with the certification of a single parcel as a large lot pursuant to this section, including conditions that would terminate the exemption from compliance with Section 3.25.055 if the large lot is subdivided or used in violation of the requirements of this section. Additionally, the city may require as a condition of approval that the owner of the qualified and certified large lot execute a land use covenant, in a form approved by the city and recorded in the county recorder's office against the single parcel, memorializing the terms and conditions applicable to the large lot for use as a short-term vacation rental unit. 4. Any owner of real property that is no longer or is not in compliance with the criteria in this section to be a qualified and certified large lot shall have no right or authority to advertise, use, or operate said real property as a short-term vacation rental unit. Any short-term vacation rental permit (either new or renewal permit) issued by the city in reliance of said real property having previously been located within a qualified and certified large lot shall no longer be valid upon said real property no longer being in compliance with this section. 5. An owner of a qualified and certified large lot who is the successor in interest to the owner who applied for and received the certification of the single parcel as a qualified and certified large lot does not need to re -apply for an exemption from Section 3.25.055 under this chapter as long as the single parcel determined to be the qualified and certified large lot remains in compliance with this section. 6. It is the expressed intent of the city council that an application for exemption from Section 3.25.055, submitted to the city pursuant to this section, need only occur one (1) time as long as the current owner of a qualified and certified large lot remains in compliance with this section whenever a new or renewal application for a short-term vacation rental permit is submitted to the city and for the duration of the term of the issued short-term vacation rental permit. It is also the expressed intent of the city council that the current owner of real property that may have previously been a qualified and certified large lot may be required by the city to submit a new application for exemption from Section 3.25.055, pursuant to this section, if the real property no longer meets the criteria set forth in this section. C. Any application submitted pursuant to this section shall be subject to any fees established by resolution of the city council and shall identify, by addresses, assessor's parcel number (APN), and any other identifying information requested by the city, the real property purporting to be a large lot. D. An application submitted pursuant to this section shall be reviewed and considered as follows: (Supp. No. 7 Upd 2) Page 10 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 275 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS Submittal ofApplication. An application for a finding of exemption under this section and certification as a large lot shall be completed in a form approved by the city manager or authorized designee. Applications shall be filed with the city clerk, who shall forward to the planning department together with all maps, plans, documents and other materials required by the city clerk or director of the planning department. Determination of Completeness. The city clerk's office and planning department shall coordinate with the applicant to make a determination whether the application is complete or incomplete. Upon the determination that the application is complete by the city clerk, the city clerk shall schedule review and consideration of the complete application by the city council. Public Hearing and Consideration of the Application. The city council shall hold a public hearing on the application, and the city council shall be the decision -making authority for the application. The public hearing shall be set within ninety (90) days from the determination by the city clerk of a complete application. The public hearing shall be noticed in accordance with Section 9.200.100(D) (or successor provisions, as may be amended from time to time) of this code. At the public hearing, the city council shall receive written comments and any other evidence or testimony relating to the application. At the public hearing, the city council may take action on the application, or continue the application to a specified date. Required Findings. No application presented to the city council pursuant to this section may be approved or conditionally approved unless all of the following findings and requirements are met: a. The single parcel subject to the application is in a residential zone, is a legal non -conforming use, or is in a zone that otherwise would allow for residential uses. b. The applicant is the owner of the single parcel subject to the application. c. The exemption under this section is required for the applicant as owner to be able to apply for a short-term vacation rental permit and use a dwelling or dwellings on the parcel as a short-term vacation rental unit under this chapter. d. Approval of the application will not create conditions materially detrimental to the public health, safety and general welfare or injurious to or incompatible with other properties or land uses in the vicinity. Included with this assessment shall be whether approval of the application and issuance of a certification that the single parcel is a qualified and certified large lot results in multiple exemptions under this section being concentrated in one (1) geographic location of the city in a manner than may be incompatible with other properties or land uses in the vicinity. 5. Decision. The city council shall approve, approve with conditions, or deny the application. With the concurrence of the applicant, an application may be withdrawn prior to the issuance of a decision by the city council. The decision on an application, including any required findings and any other reasons that serve to explain the determination plus all conditions of approval, shall be in writing. An approval or approval with conditions from the city council shall be adopted by resolution and accompanied with the certification from the city that the single parcel subject to the application meets the criteria for a qualified and certified large lot. 6. Appeal. The decision of the city council shall be the final decision of the city on the application. E. Subject to the review and approval provisions in this section, the city manager or authorized designee shall have the authority to implement policies or procedures to review and verify whether an application and request to be exempted from Section 3.25.055 meets the criteria set forth in this section and any other criteria reasonably necessary for verification of such application and request. The city council may periodically review the impacts or effects, if any, caused by this section concurrently with its periodic review provided for in subsection (D) of Section 3.25.055. (Supp. No. 7 Upd 2) Page 11 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 276 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. No. 607, Exh. A, 12-5-2023) 3.25.060 Short-term vacation rental permit —Application requirements. A. The owner or the owner's authorized agent or representative must submit the information required on the city's short-term vacation rental permit application form provided by the city, which may include any or all of the following: 1. The name, address, and telephone number of the owner of the subject short-term vacation rental unit; 2. The name, address, and telephone number of the owner's authorized agent or representative, if any; 3. The name and twenty-four (24)-hour telephone number of the local contact person; 4. Reserved; 5. The number of bedrooms shall not exceed the number of permitted bedrooms. The allowable number of bedrooms shall meet all applicable building and construction requirements under federal, state and city codes, including, but not limited to, the provisions of Section 9.50.100 (or successor provision, as may be amended from time to time) governing "additional bedrooms" and all applicable building and construction codes in Title 8 of this code; 6. Acknowledgement of receipt of all electronically distributed short-term vacation rental information from the city, including any good guest brochure; 7. The owner or owner's authorized agent or representative who has applied for a short-term vacation rental permit shall provide the city with written authorization that issuance of a short-term vacation rental permit pursuant to this chapter is not inconsistent with any recorded or unrecorded restrictive covenant, document, or other policy of a homeowner association (HOA) or other person or entity which has governing authority over the property on which a short-term vacation rental unit will be operated; in furtherance of this requirement, there shall be a rebuttable presumption that an owner or owner's authorized agent or representative does not have written authorization for the issuance of a short-term vacation rental permit if a HOA or other person or entity which has governing authority over the property has submitted to the city a duly -authorized official writing, which informs the city that short-term vacation rentals of thirty (30) consecutive days or less are not permitted on the property applying for a short-term vacation rental permit; and 8. Such other information as the city manager or authorized designee deems reasonably necessary to administer this chapter. The short-term vacation rental permit application shall be accompanied by an application fee as set by resolution of the city council. A short-term vacation rental permit and business license shall not be issued or renewed while any check or other payment method cannot be processed for insufficient funds. C. The city may determine the maximum number of bedrooms in a residential dwelling with multiple bedrooms eligible for use as a short-term vacation rental unit upon issuance of a short-term vacation rental permit. When determining the maximum number of bedrooms eligible for use as short-term vacation rentals, the city shall consider the public health, safety, and welfare, shall comply with building and residential codes, and may rely on public records relating to planned and approved living space within the residential dwellings, including, but not limited to, title insurance reports, official county records, and tax assessor records. An owner and/or owner's authorized agent or representative may not advertise availability for occupancy of a short-term vacation rental unit for more than the Created: 2025-08-21 07:38:34 [EST] (Supp. No. 7 Upd 2) Page 12 of 21 EXHIBIT M 277 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS approved number of bedrooms listed in the short-term vacation rental permit issued by the city pursuant to this chapter. In addition to any other rights and remedies available to the city under this chapter, the first violation for failing to advertise the approved number of bedrooms may be subject to a fine by an administrative citation, and a second or subsequent violation for failing to advertise the approved number of bedrooms may result in a revocation (which may include permanent revocation) of the short-term vacation rental permit and/or any affiliated licenses or permits pursuant to the provisions set forth in Section 3.25.090. An owner of a residential dwelling on a lot may apply for additional bedrooms to be included in the maximum number of bedrooms eligible for use under a short-term vacation rental permit, subject to and only if all of the following criteria are met: 1. Only existing rooms within a dwelling may be eligible for repurposing for use as an additional bedroom. 2. Use of an existing room as an additional bedroom shall comply with all building and residential codes, including but not limited to all applicable codes in Title 8 of this code. 3. Any use of an existing room as an additional bedroom shall result in no less than 1,000 square feet of the remainder of the indoor habitable space within the dwelling to be used for living, eating, cooking, and sanitation purposes. "Indoor habitable space" for purposes of this Subsection 3.25.060(C)(3) includes, for example, kitchen, bathroom, dining room, living room, den, home -office, and hallway areas, but excludes, for example, closets, garage, storage, attic, basement, and other areas not usually and regularly occupied by persons in the dwelling. 4. The owner of the dwelling shall have the obligation to ensure the use of an existing room as an additional bedroom pursuant to this Subsection 3.25.060(C) is neither inconsistent with nor a violation of any legal or contractual obligations of the owner as the property owner of the dwelling, including but not limited to any residential/home insurance policies, title insurance policies, or tax assessment records. Nothing in this Subsection 3.25.060(C) does, or may be interpreted as, affecting or authorizing a use of an existing room as an additional bedroom under any other law or regulation, except for purposes of including such additional bedroom in the maximum number of bedrooms eligible for use under a short-term vacation rental permit pursuant to this chapter. D. Short-term vacation rental permit applications shall comply with the following: A short-term vacation rental permit application for an estate home shall be subject to evaluation and inspection of the property to ensure that the short-term vacation rental unit will not create conditions materially detrimental to the public health, safety and general welfare or injurious to or incompatible with other properties in the vicinity. Evaluation and inspection shall include, but not be limited to: verification of the number of bedrooms, active noise monitor, adequate on -site parking spaces, availability of nearby street parking, physical distance of an estate home from adjacent properties, such as location and distance of outdoor gathering spaces, pools, and other living spaces from neighboring properties. The city manager, or designee, shall have the authority to impose additional conditions on the use of an estate home as a short-term vacation rental unit to ensure that any potential secondary effects unique to the subject short-term vacation rental unit are avoided or adequately mitigated. A short-term vacation rental permit application may be denied if the applicant has failed to comply with application requirements in this chapter, or has had a prior short-term vacation rental permit for the same unit revoked within the past twelve (12) calendar months. In addition, upon adoption of a resolution pursuant to subsection H, the city may limit the number of short-term vacation rental units in a given geographic area based on a high concentration of short-term vacation rental units. The city shall maintain a waiting list of short-term vacation rental permit applications for such (Supp. No. 7 Upd 2) Page 13 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 278 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS geographic areas where the city determines, based on substantial evidence after a noticed public hearing, there is a higher than average concentration of short-term vacation rental units that either affects the public health, safety, and welfare or significantly negatively impacts the character and standard of living in a neighborhood within that geographic area, or both. E. Short-term vacation rental permit applications may take up to, and the city shall have, thirty (30) calendar days to process. Nothing in this subsection or chapter shall be construed as requiring the city to issue or deny a short-term vacation rental permit in less than thirty (30) calendar days, as no permit shall be issued until such time as application review is complete. No short-term vacation rental use may occur in the citywithout a valid short-term vacation rental permit issued in accordance with this chapter. Upon a change of ownership of a property (or upon a new person and/or new entity owning or controlling a business or organization or other entity of any kind, such as a limited liability company, which is the owner of a property) licensed to operate as a short-term vacation rental unit, the owner or owner's authorized agent or representative shall notify the city of such change immediately. The existing short-term vacation rental permit shall be terminated, unless subject to Section 3.25.050(B)(2), and the property must cease operating as a short-term vacation rental immediately. Failure to comply may result in a fine of one thousand dollars ($1,000.00) per day for a continuing violation of this subsection F. G. Immediately upon a change of an owner's authorized agent or representative, local contact, or any other change pertaining to the information contained in the short-term vacation rental application, the owner or owner's authorized agent or representative shall update the short-term vacation rental unit's online registration profile used by the city for the implementation of the short-term vacation rental regulations. Failure to immediately update this information may result in a violation of this chapter, including but not limited to a suspension or revocation of a short-term vacation rental permit, until all information is updated. H. The city manager or authorized designee may prepare, for adoption by resolution by the city council, a review procedure and criteria to evaluate the limitation for issuance of STVR permits and/or STVR applications for geographic areas within the city as set forth in subsection D. (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. No. 607, Exh. A, 12-5-2023; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.065 Short-term vacation rental permit —Grounds for denial. A. In addition to any other grounds provided in this chapter, an application (including renewal application) for a short-term vacation rental permit may be denied if use of the short-term vacation rental unit has been, will be, or is apt to become any one (1) or more of the following. 1. Prohibited by any local ordinance or by any state or federal law, statute, rule or regulation; 2. A public nuisance; 3. In anyway detrimental to the public interest; 4. Prohibited by zoning laws and ordinances. An application (including renewal application) for a short-term vacation rental permit may also be denied on the grounds that the applicant has knowingly made a false statement in a material matter (Supp. No. 7 Upd 2) Page 14 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 279 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS either in his/her/their application or in his/her/their testimony before the city manager or other body hearing such testimony. C. This section is intended to be, and shall be construed as being, in alignment with the grounds for denial of a business license set forth in Section 3.28.080 (or successor section) of this code. (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. 591 § 1(Exh. A), 4-20-2021) 3.25.070 Operational requirements and standard conditions. A. The owner and/or owner's authorized agent or representative shall use reasonably prudent business practices to ensure that the short-term vacation rental unit is used in a manner that complies with all applicable laws, rules and regulations pertaining to the use and occupancy of the subject short-term vacation rental unit. An estate home may be established for short-term vacation rental use subject to evaluation and inspection of the property pursuant to Section 3.25.060(D)(1). An estate home established for short-term vacation rental use is required to be equipped with a noise monitoring device(s) that is operable at all times. The responsible person(s) shall be an occupant(s) of the short-term vacation rental unit for which he, she or they signed a rental agreement for such rental, use and occupancy, and/or any person(s) occupying the short-term vacation rental unit without a rental agreement, including the owner, owner's authorized agent or representative, local contact(s) and their guests. The responsible person(s) shall not sub -rent or sub -lease the short-term vacation rental unit to a Subtenant unless said sub -rental or sub -leasing is in full compliance with this chapter. No non -permanent improvements to the property, such as tents, trailers, or other mobile units, may be used as short-term vacation rentals. The total number of occupants, including the responsible person(s) and children regardless of age, allowed to occupy any given short-term vacation rental unit may be within the ranges set forth in the table below. By the issuance of a short-term vacation rental permit, the city or its authorized designees, including police, shall have the right to conduct a count of all persons occupying the short-term vacation rental unit in response to a complaint or any other legal grounds to conduct an inspection resulting from the use of the short-term vacation rental unit, and the failure to allow the city or its authorized designees the ability to conduct such a count may constitute a violation of this chapter. The city council may by resolution further restrict occupancy levels provided those restrictions are within the occupancy ranges set forth below. Number of Bedrooms Total of Overnight* Occupants Total Daytime** Occupants (Including Number of Overnight Occupants) 0—Studio 2 2-8 1 2-4 2-8 2 4-6 4-8 3 6-8 6-12 4 8-10 8-16 5 10-12 10-18 6 12-14 12-20 (Supp. No. 7 Upd 2) Page 15 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 280 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS 7 14 14-20 8 16 16-22 9 18 18-24 *Overnight (10:01 p.m.-6:59 a.m.) **Daytime (7:00 a.m.-10:00 p.m.) C. The person(s) listed as the local contact person in the short-term vacation rental unit's online registration profile shall be available twenty-four (24) hours per day, seven (7) days per week, with the ability to respond to the location within thirty (30) minutes to complaints regarding the condition, operation, or conduct of occupants of the short-term vacation rental unit or their guests. The person(s) listed as a local contact person shall be able to respond personally to the location, or to contact the owner or the owner's authorized agent or representative to respond personally to the location, within thirty (30) minutes of notification or attempted notification by the city or its authorized short-term vacation rental designated hotline service provider. No provision in this section shall obligate the city or its authorized short-term vacation rental designated hotline service provider to attempt to contact any person or entity other than the person(s) listed as the local contact person. D. The owner, the owner's authorized agent or representative and/or the owner's designated local contact person shall use reasonably prudent business practices to ensure that the occupants and/or guests of the short-term vacation rental unit do not create unreasonable or unlawful noise or disturbances, engage in disorderly conduct, or violate any applicable law, rule or regulation pertaining to the use and occupancy of the subject short-term vacation rental unit. Occupants of the short-term vacation rental unit shall comply with the standards and regulations for allowable noise at the property in accordance with Sections 9.100.210 and 11.08.040 (or successor provision, as may be amended from time to time) of this code. No radio receiver, musical instrument, phonograph, compact disk player, loudspeaker, karaoke machine, sound amplifier, or any machine, device or equipment that produces or reproduces any sound shall be used outside or be audible from the outside of any short- term vacation rental unit between the hours of 10:00 p.m. and 7:00 a.m. Pacific Standard Time. Observations of noise related violations shall be made by the city or its authorized designee from any location at which a city official or authorized designee may lawfully be, including but not limited to any public right-of-way, any city -owned public property, and any private property to which the city or its authorized designee has been granted access. Prior to occupancy of a short-term vacation rental unit, the owner or the owner's authorized agent or representative shall: Obtain the contact information of the responsible person; Provide copies of all electronically distributed short-term vacation rental information from the city, including any good guest brochure to the responsible person and post in a conspicuous Location within the short-term vacation rental unit, in a manner that allows for the information to be viewed in its entirety; and require such responsible person to execute a forma( acknowledgement that he/she/they is/are legally responsible for compliance by all occupants of the short-term vacation rental unit and their guests with all applicable laws, rules and regulations pertaining to the use and occupancy of the short-term vacation rental unit. This information shall be maintained by the owner or the owner's authorized agent or representative for a period of three (3) years and be made readily (Supp. No. 7 Upd 2) Page 16 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 281 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS available upon request of any officer of the city responsible for the enforcement of any provision of this code or any other applicable law, rule or regulation pertaining to the use and occupancy of the short-term vacation rental unit. G. The owner, the owner's authorized agent or representative and/or the owner's designated local contact person shall, upon notification or attempted notification that the responsible person and/or any occupant and/or guest of the short-term vacation rental unit has created unreasonable or unlawful noise or disturbances, engaged in disorderly conduct, or committed violations of any applicable law, rule or regulation pertaining to the use and occupancy of the subject short-term vacation rental unit, promptly respond within thirty (30) minutes to immediately halt and prevent a recurrence of such conduct by the responsible person and/or any occupants and/or guests. Failure of the owner, the owner's authorized agent or representative and/or the owner's designated local contact person to respond to calls or complaints regarding the condition, operation, or conduct of occupants and/or guests of the short-term vacation rental unit within thirty (30) minutes, shall be subject to all administrative, legal and equitable remedies available to the city. H. The owner of a short-term vacation rental unit that has a valid homeshare short-term vacation rental permit shall occupy the dwelling during the transient stay. A violation of any provision of this chapter, this code, or any other applicable federal, state, or local laws or codes, by the owner, owner's authorized agent or representative and/or the owner's designated local contact person shall be subject to all administrative, legal and equitable remedies available to the city. I. Trash and refuse shall not be left or stored within public view, except in proper containers for the purpose of collection by the city's authorized waste hauler on scheduled trash collection days. The owner, the owner's authorized agent or representative shall use reasonably prudent business practices to ensure compliance with all the provisions of Chapter 6.04 (Solid Waste Collection and Disposal) (or successor provision, as may be amended from time to time) of this code. J. Signs may be posted on the premises to advertise the availability of the short-term vacation rental unit as provided for in Chapter 9.160 (Signs) (or successor provision, as may be amended from time to time) of this code. K. The owner, the owner's authorized agent or representative and/or the owner's designated local contact person shall post a copy of the short-term vacation rental permit and a copy of the good guest brochure in a conspicuous place within the short-term vacation rental unit, and a copy of the good guest brochure shall be provided to each occupant of the subject short-term vacation rental unit. L. Unless otherwise provided in this chapter, the owner and/or the owner's authorized agent or representative shall comply with all provisions of Chapter 3.24 concerning transient occupancy taxes, including, but not limited to, submission of a monthly return in accordance with Section 3.24.080 (or successor provisions, as may be amended from time to time) of this code, which shall be filed monthly even if the short-term vacation rental unit was not rented during each such month. M. Guesthouses, detached from the primary residential dwelling on the property, or the primary residential dwelling on the property, may be rented pursuant to this chapter as long as the guesthouse and the primary residential dwelling are rented to one (1) party; provided, however, that this Subsection (M) does not apply to multi -unit lock -off STVR units. N. The owner and/or the owner's authorized agent or representative shall post the number of authorized bedrooms and the current short-term vacation rental permit number at the beginning or top of any Created: 2025-08-21 07:38:34 [EST] (Supp. No. 7 Upd 2) Page 17 of 21 EXHIBIT M 282 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS advertisement that promotes the availability or existence of a short-term vacation rental unit; provided, however, this requirement may be satisfied if a hosting platform used by the owner and/or owner's authorized agent or representative provides a designated field(s) to post the number of authorized bedrooms and the current short-term vacation rental permit number for the short-term vacation rental unit. In the instance of audio -only advertising of the same, the short-term vacation rental permit number and the number of authorized bedrooms shall be read as part of the advertisement. 0. The owner and/or owner's authorized agent or representative shall operate a short-term vacation rental unit in compliance with any other permits or licenses that apply to the property, including, but not limited to, any permit or license needed to operate a special event pursuant to Section 9.60.170 (or successor provision, as may be amended from time to time) of this code. The city may limit the number of special event permits issued per year on residential dwellings pursuant to Section 9.60.170 (or successor provision, as may be amended from time to time). P. The city manager, or designee, shall have the authority to impose additional conditions on the use of any given short-term vacation rental unit to ensure that any potential secondary effects unique to the subject short-term vacation rental unit are avoided or adequately mitigated, including, but not limited to, a mitigating condition that would require the installation of a noise monitoring device to keep time -stamped noise level data from the property that will be made available to the city upon city's reasonable request. Q. The standard conditions set forth herein may be modified by the city manager, or designee, upon request of the owner or the owner's authorized agent or representative based on site -specific circumstances for the purpose of allowing reasonable accommodation of a short-term vacation rental unit. All requests must be in writing and shall identify how the strict application of the standard conditions creates an unreasonable hardship to a property such that, if the requirement is not modified, reasonable use of the property as a short-term vacation rental unit would not be allowed. Any hardships identified must relate to physical constraints to the subject site and shall not be self-induced or economic. Any modifications of the standard conditions shall not further exacerbate an already existing problem. R. On -site parking shall be on an approved driveway, garage, and/or carport areas only; this section does not impose restrictions on public street parking regulations. Recreational vehicles may be parked in accordance with the provisions set forth in Section 9.60.130 (or successor provision, as may be amended from time to time) of this code. S. No "apartment," "apartment building," or "apartment project," as defined in Section 9.280.030 (or successor provision, as may be amended from time to time) of this code shall be eligible to apply for or obtain a short- term vacation rental permit. A privately owned residential dwelling, regardless of whether it is permitted or not as a short-term vacation rental unit, rented for a period of thirty one (31) consecutive calendar days or more, counting portions of calendar days as full days, by any person(s), with or without a rental agreement, that is subsequently sub - rented or sub -leased to a Subtenant for a period of thirty (30) consecutive days or less, counting portions of calendar days as full days, constitutes use of the privately owned residential dwelling as a short-term vacation rental unit and is subject to the provisions of this chapter. This Subsection (T) is declaratory of existing law under this chapter. (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. No. 608, § 1, 12-5-2023; Ord. No. 607, Exh. A, 12-5-2023; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 577 § 1, 2019; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) (Supp. No. 7 Upd 2) Page 18 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 283 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS 3.25.080 Recordkeeping and hosting platform duties. A. The owner or the owner's authorized agent or representative shall maintain for a period of three (3) years, records in such form as the tax administrator (as defined in Chapter 3.24) may require to determine the amount of transient occupancy tax owed to the city. The tax administrator shall have the right to inspect such records at all reasonable times, which may be subject to the subpoena by the tax administrator pursuant to Section 3.24.140 (Records) (Transient Occupancy Tax) (or successor provisions, as may be amended from time to time) of this code. Hosting platforms shall not complete any booking transaction for any residential dwelling or other property purporting to be a short-term vacation rental unit in the city unless the dwelling or property has a current and valid short-term vacation rental permit issued pursuant to this chapter, which is not under suspension, for the dates and times proposed as part of the booking transaction. 1. The city shall maintain an online registry of active and suspended short-term vacation rental permits, which hosting platforms may reference and rely upon for purposes of complying with subsection B. If a residential dwelling or other property purporting to be a short-term vacation rental unit matches with an address, permit number, and/or current and valid permit dates (not under suspension) set forth in the city's online registry, the hosting platforms may presume that the dwelling or other property has a current and valid short-term vacation rental permit. 2. The provisions of this subsection B shall be interpreted in accordance with otherwise applicable state and federal law(s) and will not apply if determined by the city to be in violation of, or preempted by, any such law(s). (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.090 Violations. A. Additional conditions. A violation of any provision of this chapter or this code by any applicant, occupant, responsible person, local contact person, owner or owner's authorized agent or representative (including a management company), shall authorize the city manager, or designee, to impose additional conditions on the use of any given short-term vacation rental unit to ensure that any potential additional violations are avoided. B. Permit modification, suspension and revocation. A violation of any provision of this chapter, this code, California Vehicle Code, or any other applicable federal, state, or local laws or codes, including, but not limited to, applicable fire codes and the building and construction codes as set forth in Title 8 of this code, by any applicant, occupant, responsible person, local contact person, owner, or owner's authorized agent or representative (including a management company), shall constitute grounds for modification, suspension and/or revocation (which may include permanent revocation) of the short-term vacation rental permit and/or any affiliated licenses or permits pursuant to the provisions set forth in Section 3.25.100. C. Notice of violation. The city may issue a notice of violation to any applicant, occupant, responsible person, local contact person, owner, owner's authorized agent or representative (including a management company), or hosting platform, pursuant to Section 1.01.300 (or successor provisions, as may be amended from time to time) of this code, if there is any violation of this chapter committed, caused or maintained by any of the above parties. (Supp. No. 7 Upd 2) Page 19 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 284 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS Two (2) strikes policy. Subject to a minor violation reprieve request, two (2) violations of any provision of this chapter or this code within one (1) year by any applicant, occupant, responsible person, local contact person, owner, owner's authorized agent or representative (including a management company), with respect to any one (1) residential dwelling shall result in an immediate suspension of the short-term vacation rental permit with subsequent ability to have a hearing before the city, pursuant to this chapter, to request a lifting of the suspension. For purposes of this subsection, a "minor violation reprieve request" means a written request submitted to the city's code enforcement officer for relief from counting one (1) or more violations within the one (1) year period as a minor violation, and "minor violation" means a violation of a particular section of this code that resulted in minimal impact on the use and enjoyment of the adjacent and nearby properties caused by any of the following: 1. Minor debris or trash containers left in view as a first offense; 2. A short-term vacation rental permit number or bedroom count not posted on an advertisement as a first offense; 3. A short-term vacation rental permit number or bedroom count posted in the wrong location on an advertisement as a first offense; or 4. Over occupancy due to a minor child not associated with a disturbance. A determination of whether a code violation is a minor violation shall be based on substantial evidence presented to the code enforcement officer relating to that violation. E. Administrative and misdemeanor citations. The city may issue an administrative citation to any applicant, occupant, responsible person, local contact person, owner, owner's authorized agent or representative (including a management company), or hosting platform, pursuant to Chapter 1.09 (Administrative Citations) (or successor provisions, as may be amended from time to time) of this code, if there is any violation of this chapter committed, caused or maintained by any of the above parties. Nothing in this section shall preclude the city from also issuing an infraction citation upon the occurrence of the same offense on a separate day. An administrative citation may impose a fine for one (1) or more violations of this chapter in the maximum amount allowed by state law or this code in which the latter amount shall be as follows: General short-term vacation rental violations (occupancy/noise/parking). a. First violation: one thousand dollars ($1,000.00); b. Second violation: two thousand dollars ($2,000.00); c. Third violation: three thousand dollars ($3,000.00). Operating a short-term vacation rental without a valid short-term vacation rental permit. a. First violation: one thousand and five hundred dollars ($1,500.00); b. Second or more violations: three thousand dollars ($3,000.00); c. Third or more violations: five thousand dollars ($5,000.00); d. In addition to the fines set forth above, the first, second, third, or subsequent violation of operating a short-term vacation rental unit without a valid short-term vacation rental permit shall be cause for an owner (or person and/or entity that owns or controls a business or organization or other entity of any kind, such as a limited liability company, which is the owner of a property) to be prohibited for all time from being eligible to be issued a short-term vacation rental permit and/or business license for use of a property as a short-term vacation rental unit. Hosting a special event at a short-term vacation rental unit without a special event permit as required by Section 9.60.170 (or successor provision, as may be amended from time to time) of this code. (Supp. No. 7 Upd 2) Page 20 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 285 Title 3 - REVENUE AND FINANCE Chapter 3.25 SHORT-TERM VACATION RENTALS a. First violation: five thousand dollars ($5,000.00); b. Second violation: five thousand dollars ($5,000.00). Advertising a short-term vacation rental without a valid short-term vacation rental permit by person(s) or entity(ies) other than a management company. a. First violation: one thousand dollars ($1,000.00); b. Second violation: two thousand dollars ($2,000.00); c. Third violation: three thousand dollars ($3,000.00). Advertising a short-term vacation rental without a valid short-term vacation rental permit by a management company. a. First violation: one thousand and five hundred dollars ($1,500.00); b. Second violation: three thousand dollars ($3,000.00); c. Third or more violations: five thousand dollars ($5,000.00); d. In addition to the fines set forth above, the first, second, third, or subsequent violation of knowingly advertising a short-term vacation rental unit without a valid short-term vacation rental permit by a management company shall be cause for the management company to be prohibited from being used to advertise or operate a short-term vacation rental unit at the property identified for not having a valid short-term vacation rental permit. Additionally, repeat violations, which is three (3) or more violations of this subsection (E)(5), by a management company for knowingly advertising a short-term vacation rental unit without a valid short-term vacation rental permit shall be cause for the management company to be prohibited for all time from being eligible to be issued a short-term vacation rental permit and/or business license in the city for such property management purposes. Public Nuisance. In addition to any and all rights and remedies available to the city, it shall be a public nuisance for any person or entity to commit, cause or maintain a violation of this chapter, which shall be subject to the provisions of Section 1.01.250 (Violations public nuisances) (or successor provisions, as may be amended from time to time) of this code. (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. No. 607, Exh. A, 12-5-2023; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 578 § 1, 2019; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017; Ord. 501 § 2, 2012) 3.25.100 Appeals. A. Any person aggrieved by any decision of a city officer made pursuant to this chapter may request a hearing before the city manager in accordance with Chapter 2.08 (or successor provisions, as may be amended from time to time) of this code. B. Notwithstanding any provisions in Section 2.08.230 or otherwise in the code, the decision by the city manager of an appeal brought under this chapter shall be the final decision by the city for any violation of a short-term vacation rental permit issued under this order, except for any administrative citation imposing a fine, which shall be processed and subject to an administrative appeal pursuant to Chapter 1.09 of the code. (Ord. 619 § 1, Exh. A, 12-17-2024; Ord. 590 § 1(Exh. A), 3-16-2021; Ord. 586 § 1(Exh. A), 12-15-2020; Ord. 572 § 1, 2018; Ord. 563 § 1, 2017) (Supp. No. 7 Upd 2) Page 21 of 21 EXHIBIT M Created: 2025-08-21 07:38:34 [EST] 286 --+�r+.,-. •-s�.- • � - ... ''` _ off' . �� . , �; - � •, :..�� . s�.. � JVf am• • 4 •t� _ -1. % S - � t .+ram_ ""►.. _ � i � �_ !'�+'`.a •; •?tom :,i:� .f N> PA7 - "f Course (exrstans) PA2 -Luxury &anded Residences (291ots) 0— PA3 -Luxury Hotel \` � (154 guest rooms, lobby. restaurants, retail, spa, wellness, amenrtres. BON, etc. totaling 250.000s f) r Proposed Land Plan /_1%aED]:IM14zkwoa PAI- Public Golf Clubhouse (17,0000) PAS- Luxury Hotel Banquet & Beck of House Functions (Banquet: 25.000sf) ( BON: 30.000s f ) PAG - luxury Branded Condomminwms (70 units) Resident Clubhouse 6 Fecrtrues (20,000%f) PA7 - luxury Branded Residences (931ots) PAS - Future Golf. Residential, and Commercial 118-hole private golf course, 253 residential units, and d0.000sf commercial) 288 CONSENT CALENDAR ITEM NO. 3 Distributed to Council & the public on October 7, 2025, prior to the start of the Council meeting City of La Quinta CITY COUNCIL MEETING: October 7, 2025 SUPPLEMENT TO STAFF REPORT AGENDA TITLE: ADOPT ORDINANCE NO. 626 ON SECOND READING TO CONDITIONALLY APPROVE DEVELOPMENT AGREEMENT 2025-0001 (REINSTATED AND AMENDED DEVELOPMENT AGREEMENT 2014-1001) TO FACILITATE DEVELOPMENT OF THE SILVERROCK SPECIFIC PLAN AREA; CEQA: AN ADDENDUM TO ENVIRONMENTAL ASSESSMENT 2002-453 HAS BEEN PREPARED PURSUANT TO SECTIONS 15162 AND 15164 OF THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA); LOCATION: SOUTH OF AVENUE 52, WEST OF JEFFERSON STREET EXECUTIVE SUMMARY The purpose of this Supplement to the Staff Report (Supplement) is to address receipt of additional written correspondence, received by the City Council and Director of the Design and Development Department after the posting and publication of the agenda for tonight's regular meeting. Staff recommendation remains the same, and all information in the Staff Report (as revised October 4, 2025), remains the same and is not changed by this Supplement. SUPPLEMENT TO AGENCY AND PUBLIC REVIEW Yesterday, on October 6, 2025, after the conclusion of the Council's September 22, 2025 public hearing, a letter with multiple exhibits and attachments sent on behalf of Supporters Alliance for Environmental Responsibility (SAFER) was received by the City (October 6 letter), objecting to the City's reliance on Environmental Assessment (EA) 2025-0002, Addendum No. 3 (Addendum) to the previously adopted Mitigated Negative Declaration under EA 2002-453 (2002 MND). The Addendum was adopted by Resolution No. 2025-022 (the Resolution) after the conclusion of a duly noticed public hearing on the applicant's proposed 2025 SilverRock Master Plan (the Project) and agreements and documents related thereto. The October 6 letter, as with all comments received, are on file and available for review with the City Clerk's Office and Design and Development Department. In summary, the October 6 letter alleges the Addendum was legally inadequate under the California Environmental Quality Act (Pub. Res. Code, § 21000 et seq.) (CEQA) and implementing guidelines (14 Cal. Code Regs., § 15000 et seq.) (CEQA Guidelines). The October 6 letter makes legal arguments that will be addressed, seriatim, below. Untimely Submittal of Letter Similar to the September 26, 2025 letter received from SAFER and addressed in the Staff Report, the October 6 letter is untimely. As referenced in the Staff Report, public hearing notices for the Project were advertised in the Desert Sun pursuant to State law on September 8, 11 (in two separate public hearing notices), and 18, 2025. Every public hearing S-1 notice included the notice that the City prepared an Addendum to the 2002 MND, and every public hearing notice advertised that the public hearing on the project, and the Addendum, would occur on September 22, 2025. SAFER was aware of the public hearing date, as it submitted a letter on that date, similarly objecting to the proposed action to approve the Project. Pursuant to State and City law, any development agreement, like the Reinstated and Amended Development Agreement (ADA) before the Council today, must be adopted by ordinance. (Gov. Code, § 65867.5(a); La Quinta Mun. Code, § 9.250.020(C)(11).) Except for urgency ordinances, State law provides that every ordinance may not be adopted within five days of its introduction, and must be adopted at a regular meeting of the Council. (Gov. Code, § 36934.) The only recommended action tonight is for the Council to adopt Ordinance No. 626 on second reading, in accordance with State and City law. There is no public hearing on second reading, nor is a public hearing required. The date of the public hearing on the Project, as well as date to submit comments on the Addendum, was September 22, 2025, by the close of the public hearing. In connection with its decision on Ordinance No. 626, the Council may find that the October 6 letter was untimely and cannot be properly considered in connection with the previously heard and considered Resolution adopting the Addendum. The Minutes can reflect this finding if so made by the Council. Review and Analysis of Allegations in October 6 Letter As was identified in the public hearing notices and the Resolution, the Addendum was prepared in accordance with CEQA Guidelines Sections 15162 and 15164. Nonetheless, and in the event a court were to find that the City should have considered the October 6 letter, the Council may confirm that it reviewed and considered the October 6 letter along with the following responses, which have been submitted by applicant's legal counsel and independently reviewed by the City Attorney's Office and Design and Development Department: 1. The Council considered the allegation and argument that the proposed Project, to be implemented (in part) through the ADA, would be "growth inducing." The October 6 letter states that the Project would increase the City's population by 9.9%. As explained in the Addendum (pp. 3.0-7 — 3.0-8), however, the City's 2035 General Plan accounted for the growth resulting from the original project, and the Project's modifications would reduce that total population, and the Project's modifications would contribute approximately 9.9% of the planned future population growth in the City. 2. The Council considered the traffic allegations and arguments raised in the October 6 letter, including the letter from Tom Brohard and Associates attached as Exhibit A. The allegations and arguments appear to be based on inaccurate facts and/or speculation. Specifically, the allegations that the Project will have significant traffic impacts relating to the level of service (LOS) at City intersections appear to be based on the incorrect assumption that trip generation rates of the Project will be 20% higher than the project originally S-2 approved in 2002. As explained in the Addendum (p. 3.0-30), the Project reduces trip generation by approximately 27% (from 10,389 daily trips to 7,571 daily trips). 3. The October 6 letter raises an argument that vehicle miles travelled (VMT) is required as part of traffic analysis under current CEQA Guidelines. In this case, however, VMT is not the proper measure of transportation impacts for the Proposed. Based on binding court precedent, a change in CEQA Guidelines requiring VMT analysis for new projects does not constitute significant new information or a change in circumstances that would require major revisions to the previously approved 2002 MND as supplemented by the prior Addendums thereto. (See, Olen Properties Corp. v. City of Newport Beach (2023) 93 Cal.App.5th 270.) 4. The October 6 letter alleges that background traffic increases since 2002, including from other golf course communities constructed in the Project vicinity, constitute a significant change in circumstances that would require major revisions to the 2002 MND. However, the prior development and growth in traffic in the Project vicinity is consistent with the growth assumptions addressed in the City's General Plan and in the 2002 MND. 5. The October 6 letter alleges that the Project will have impacts to special status species that were not adequately addressed in the 2002 MND. These allegations, including those allegations in the letter from Shawn Smallwood attached as Exhibit B, however, appear to constitute an improper attack on the analysis and conclusions in the 2002 MND and supporting biological resources surveys, rather than providing any substantial evidence that the Project would cause any new or substantially more severe significant adverse effects than were analyzed in the previously adopted 2002 MND. The October 6 letter does not provide any substantial evidence that the Project will have any substantial adverse effect, either directly or indirectly through habitat modifications, on any species identified as a candidate, sensitive, or special status species. Instead, the October 6 letter identifies a number of species apparently identified or spotted by Shawn Smallwood as potentially occurring on or within approximately four miles of the Project site, but the October 6 letter does not provide any evidence of new or substantially more severe impacts to special status species that would result from the Project. As such, and notwithstanding the allegations and lengthy exhibits in the October 6 letter, there is no substantial evidence that the Project would cause any new or substantially more severe significant environmental effects than those analyzed in the 2002 MND. 6. The October 6 letter alleges air quality impacts from VOC operational emissions that exceed SCAQMD standards, including allegations in a letter from Patrick Sutton attached as Exhibit C. These allegations are based on inaccurate assumptions regarding the Project, and specifically the inaccurate assumption that the Project increases trip generation rates as compared to the previously approved project that was considered with the 2002 MND and supplemental Addendums thereto. Furthermore, the October 6 letter alleges that the assumptions used in the CalEEMod analysis included in the Addendum were inappropriate. However, the analysis in the Addendum (and the 2002 MND) analyzed and established that the Project will have operational VOC emissions that are below SCAQMD thresholds, and are approximately 20% below the emissions that would have been caused by the previously approved project. As such, the proposed Project will not cause any new or substantially more severe significant air quality impacts than had been analyzed in the previously adopted 2002 MND. S-3 7. With respect to "Valley Fever" impacts alleged in the October 6 letter, including the allegations from the Patrick Sutton letter attached as Exhibit C, there is no substantial evidence of potential adverse health impacts from the proposed Project relating to Valley Fever. The October 6 letter includes generalized statements regarding Valley Fever risks and an increase in reported cases in 2024 in Riverside County generally, but the October 6 letter contains no facts or evidence concerning the presence of the Coccidioides fungus on the Project site or any aspect of the proposed Project that would exacerbate any possible risk of Valley Fever in the City of La Quinta. The October 6 letter also does not consider that the Project site has already been mass graded, and that the completion of Project construction with the proposed Project will reduce the dust, blown sand, and soil erosion risks associated with the partially constructed site. 8. The October 6 letter alleges indoor air quality risks associated with formaldehyde, which includes allegations in the memo from Francis Offerman attached as Exhibit D. There is not, however, any substantial evidence of any new or substantially more severe significant environmental effects than had been analyzed in the previously adopted 2002 MND. The October 6 letter has generalized statements about building materials and cancer risks, but it contains no information regarding the Project site or the construction materials that would be used for the Project. Furthermore, the October 6 letter does not acknowledge that the proposed Project substantially reduces the amount of building square footage constructed and occupied on the Project site. Conclusion, and Council Findings and Rejection of Allegations In connection with its decision on Ordinance No. 626, and based on the reasons outlined above as well as the substantial evidence already considered by the Council in the Addendum and 2002 MND, the Council may conclude the above -referenced statements serve as its findings, and may reject the allegations and arguments in the October 6 letter, because there is not any new information or change in circumstances that may cause a significant environmental effect that had not been adequately studied in the previously adopted 2002 MND. The Minutes can reflect these findings and decision if so made by the Council Prepared by: Bill Ihrke, City Attorney Approved by: Jon McMillen, City Manager S-4 CONSENT CALENDAR ITEM NO. 4 City of La Quinta CITY COUNCIL MEETING October 7, 2025 STAFF REPORT AGENDA TITLE: ADOPT RESOLUTION TO ACKNOWLEDGE RECEIPT OF RIVERSIDE COUNTY FIRE DEPARTMENT'S ANNUAL INSPECTION REPORT FOR FISCAL YEAR 2024/25 PURSUANT TO CALIFORNIA HEALTH AND SAFETY CODE SECTION 13146.4 RECOMMENDATION Adopt a resolution acknowledging receipt of the Riverside County Fire Department's Annual Inspection Report for fiscal year 2024/25 pursuant to California Health and Safety Code Section 13146.4. EXECUTIVE SUMMARY • State law requires all fire departments to perform annual inspections for compliance with building standards. • State law requires all fire departments to submit an Annual Inspection Report, included as Exhibit A to the proposed resolution, to its City, and for the municipality to adopt a resolution to acknowledge receipt of the report. • All state mandated inspections in the City were performed. FISCAL IMPACT — None. BACKGROUND/ANALYSIS In accordance with California Health and Safety Code Section 13146.4, the Riverside County Fire Department is submitting the Annual Inspection Report to the City, which includes completed inspections of public and private school facilities, hotels, motels, apartment units and some residential care facilities for fiscal year 2024/25. ALTERNATIVES As this is a state mandated requirement, there are no alternatives. Prepared by: Chris Cox, Supervising Fire Marshal Approved by: Martha Mendez, Public Safety Deputy Director S• RESOLUTION NO. 2025 - XXX A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, ACKNOWLEDGING RECEIPT OF A REPORT MADE BY THE FIRE CHIEF OF THE RIVERSIDE COUNTY FIRE DEPARTMENT REGARDING COMPLIANCE WITH THE ANNUAL INSPECTIONS OF CERTAIN OCCUPANCIES PURSUANT TO SECTIONS 13146.2 AND 13146.3 OF THE CALIFORNIA HEALTH AND SAFETY CODE WHEREAS, California Health and Safety Code Section 13146.4 was added in 2018, and became effective on January 1, 2019; and WHEREAS, California Health and Safety Code Section 13146.4 requires all fire departments, including the Riverside County Fire Department, that provide fire protection services to report annually to its administering authority on its compliance with Health and Safety Code sections 13146.2 and 13146.3; and WHEREAS, California Health and Safety Code Section 13146.2 and 13146.3 requires all fire departments, including the Riverside County Fire Department, that provide fire protection services to perform annual inspections in every building used as a public or private school, hotel, motel, lodging house, apartment house, and certain residential care facilities for compliance with building standards, as provided; and WHEREAS, the City Council of the City of La Quinta intends this Resolution to fulfill the requirements of the California Health and Safety Code 13146.4 regarding acknowledgment of the Riverside County Fire Department's compliance with California Health and Safety Code Sections 13146.2 and 13146.3. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta, California, to expressly acknowledge the measure of compliance of the Riverside County Fire Department with Health and Safety Code sections 13146.2 and 13146.3 in the City of La Quinta for the period of July 1, 2024, to June 30, 2025, as follows: SECTION 1. Educational Group E occupancies, for the purposes of this Resolution, are generally those public and private schools, used by more than six persons at any one time for educational purposes through the 12th grade. The Riverside County Fire Department completed 100% of the annual inspections of the identified Group E occupancies, buildings, structures and/or facilities in the City of La Quinta. SECTION 2. Residential Group R occupancies, for the purposes of this Resolution, are generally those occupancies containing sleeping units, and include hotels, motels, apartments (three units or more), etc. as well as other residential occupancies (including a number of residential care facilities). These residential care 290 Resolution No. 2025 — xxx Riverside County Fire Annual Inspections Report for Fiscal Year 2024/25 Adopted: October 7, 2025 Page 2 of 2 facilities have a number of different sub -classifications, and they may contain residents or clients that have a range of needs, including those related to custodial care, mobility impairments, cognitive disabilities, etc. The residents may also be non -ambulatory or bedridden. The Riverside County Fire Department completed 100% of the annual inspections of the identified Group R occupancies, buildings, structures and/or facilities in the City of La Quinta. PASSED, APPROVED, and ADOPTED at a regular meeting of the La Quinta City Council held on this 7th day of October 2025, by the following vote: AYES: NOES: ABSENT: ABSTAIN: LINDA EVANS, Mayor City of La Quinta, California ATTEST: MONIKA RADEVA, City Clerk City of La Quinta, California APPROVED AS TO FORM: WILLIAM H. IHRKE, City Attorney City of La Quinta, California 291 RIVERSIDE COUNTY FIRE DEPARTMENT ANNUAL INSPECTIONS REPORT FISCAL YEAR 2024-25 RESOLUTION NO. 2025-XXX EXHIBIT A ADOPTED: OCTOBER 7, 2025 # Case Initial Inspection Date Occupant Name Address Num Street 1 18-2023 11/20/2024 AVENTINE APARTMENTS 47750 ADAMS ST 2 18-1787 5/1/2025 SILVERHAWK APARTMENTS 50660 EISENHOWER DR 3 18-2206 10/3/2024 CORAL MOUNTAIN APARTMENTS 79625 VISTA CORALINA LN 4 18-2091 4/18/2025 WOLFF WATERS PLACE APTS. 47795 DUNE PALMS RD 5 19-0145 10/23/2024 LA QUINTA MIDDLE SCHOOL 78900 AVENUE 50 6 19-0142 10/1/2024 HARRY S TRUMAN ELEMENTARY SCHOOL 78870 AVENUE 50 7 20-0414 10/10/2024 WASHINGTON STREET APARTMENTS 78101 HIDDEN RIVER RD 8 19-0469 9/25/2024 VISTA DUNES APARTMENTS 44950 VISTA DUNES 9 17-2043 12/3/2024 HOMEWOOD SUITES BY HILTON 45200 WASHINGTON ST 10 19-0302 12/4/2024 COLONEL MITCHELL PAIGE MIDDLE SCHOOL 43495 PALM ROYALE 11 19-0305 10/15/2024 BENJAMIN FRANKLIN ELEMENTARY 77800 CALLE TAMPICO 12 17-2280 10/29/2024 LA QUINTA HIGH SCHOOL 79255 BLACKHAWK WAY 13 17-2285 9/24/2024 LQ CHRISTIAN FELLOWSHIP 50800 CALLE PALOMA 14 18-2103 1/4/2024 VILLAGGIO APARTMENTS 80175 AVENUE 52 15 19-0207 12/12/2024 JOHN ADAMS ELEMENTARY SCHOOL 50800 DESERT CLUB 16 20-2306 2/26/2025 RESIDENCE INN - MARRIOTT 79675 HIGHWAY 111 17 19-0304 12/18/2024 HORIZON / SUMMIT SCHOOL 43330 PALM ROYALE 18 19-2015 12/17/2024 THE CHATEAU @ LAKE LA QUINTA 78120 CALEO BAY 19 18-1316 1/22/2025 THE PALMS - ASSISTED LIVING 45160 SEELEY DR 20 18-2102 1/10/2025 VILLA CORTINA APARTMENTS 50701 WASHINGTON ST 21 18-2590 1/10/2025 TRIPLEX 51165 EISENHOWER DR 22 20-1203 2/21/2025 MULTIPLEX 51100 AVENIDA NAVARRO 23 18-2254 1/10/2025 LA QUINTA COURTYARD 51020 EISENHOWER DR 24 18-1871 1/10/2025 SEASONS @ LA QUINTA 40915 RAINBOW CT 25 19-0577 1/17/2025 CALEO BAY ALZHEIMERS 47805 CALEO BAY 26 19-1794 3/20/2025 CASITAS LAS ROSAS 50777 SANTA ROSA PLAZA 27 18-2024 12/10/2024 LEGACY VILLAS (RESIDENTIAL) 48800 LEGACY DR 28 18-1873 4/1/2025 EMBASSY SUITES 50777 SANTA ROSA PLAZA 29 19-1235 4/17/2025 THE PALMS - GRACIOUS LIVING 45190 SEELEY DR 30 18-1872 3/12/2025 LA QUINTA DESERT VILLAS 45245 SEELEY DR 31 17-2023 3/26/2025 VILLA TAMPICO (4 PLEX) 77855 CALLE TAMPICO 32 17-2024 3/26/2025 VILLA TAMPICO (4 PLEX) 77835 CALLE TAMPICO 33 19-2018 2/21/2025 PALM ROYALE - RESIDENTIAL 78259 EMERALD DR 34 18-2253 3/13/2025 MEDITERRA 43100 PALM ROYALE DR 35 18-0181 4/8/2025 LA QUINTA RESORT - CASITAS 49499 EISENHOWER DR 36 18-1879 4/8/2025 LA QUINTA RESORT - VINTAGE CASITAS 49499 EISENHOWER DR 37 18-1874 4/30/2025 HADLEY VILLAS 78875 AVENUE 47 38 20-1198 1/10/2025 FOURPLEX 51080 AVENIDA MENDOZA 39 18-2248 11/8/2024 LA QUINTA COTTAGES 51049 EISENHOWER DR 292 City of La Quinta CONSENT CALENDAR ITEM NO. 5 CITY COUNCIL MEETING: October 7, 2025 STAFF REPORT AGENDA TITLE: ACCEPT OFF -SITE IMPROVEMENTS ASSOCIATED WITH THE RANCHO SANTANA RESIDENTIAL DEVELOPMENT, TRACT MAP NO. 31202-1, LOCATED AT THE SOUTHWEST CORNER OF AVENUE 52 AND MONROE STREET RECOMMENDATION Accept the off -site improvements associated with the Rancho Santana residential development, Tract Map No. 31202-1; authorize staff to release performance security upon receipt of warranty security; and direct staff to release the labor and materials security 90 days after Council acceptance of the improvements. EXECUTIVE SUMMARY • Rancho Santana is a residential project located on the southwest corner of Avenue 52 and Monroe Street (Attachment 1). • At the September 3, 2025, Director's Hearing, the Conditions of Approval (COA) of Tract Map No. 31202-1 JR 31202-1) were amended to allow the developer to submit an in -lieu cash payment for the future traffic signal at the Avenue 52 and Monroe Street intersection (Attachment 2). • All other off -site improvements for this tract have been completed and the developer has requested release of the performance, labor and materials securities. • Staff has verified satisfactory completion of the off -site improvements and recommends acceptance, and release of the performance, labor and materials securities. FISCAL IMPACT The maintenance cost for the landscaped median along Avenue 52 and Monroe Street will be incorporated in the operating budget when the one-year warranty period ends. BACKGROUND/ANALYSIS The developer has completed all off -site improvements required by TR 31202-1. The off - site improvements include storm drain, curb and gutter, pavement, landscaping, signing 293 and striping, water and sewer improvements. Staff inspected the off -site improvements and verified they meet City -approved plans and standards. At the September 3, 2025, Director's Hearing, COA No. 55-A was amended (Attachment 3), via Director's Hearing Resolution No. 2025-001 allowing the developer to submit an in -lieu cash payment of $142,000 for the future traffic signal at the Avenue 52 and Monroe Street intersection, and removed the requirement for a traffic signal at the development's Monroe Street entrance since warrants were not met. ALTERNATIVES Accepting improvements is a ministerial action necessary for the release of improvement securities. Since the improvements have been inspected and meet City standards, staff does not recommend an alternative action. Prepared by: Amy Yu, Associate Engineer Approved by: Bryan McKinney, P.E., Public Works Director/City Engineer Attachments: 1. Vicinity Map 2. Director's Hearing Resolution No. 2025-001 3. Redline Condition of Approval No. 55-A 294 ATTACHMENT TM 31202-1 RANCHO SANTANA HWY 111 HWY 111 DR. CARREON BIND w AVENUE 48TH w to vi AVENUE 50TH z w w z w [�!3 o 0 V) U -' AVENUE 52ND is Nip AVENUE 54TH VICINITY MAP NOT TO SCALE 295 ATTACHMENT 2 DIRECTOR'S HEARING RESOLUTION NO. 2025 — 001 A RESOLUTION OF THE DIRECTOR OF THE PUBLIC WORKS DEPARTMENT OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING AMENDED FINAL TRACT MAP 2025-0002 (TRACT MAP 31202 AMENDMENT 1) AND THE CONDITIONS OF APPROVAL THEREOF CASE NUMBER: AMENDED FINAL TRACT MAP (AFTM) 2025-0002 (TRACT MAP 31202 AMENDMENT 1) PROJECT: RANCHO SANTANA APPLICANT: JOHN PEDALING, DESERT ESTATES DEVELOPMENT WHEREAS, the Public Works Director of the City of La Quinta, California did, on September 3, 2025, hold a duly noticed Public Hearing to consider a request by John Pedalino, Desert Estates Development for an amendment to the Final Map 31202 for Rancho Santana, to modify existing conditions of approval of a Tract Map located on the southeast corner of Monroe Street and Avenue 52; and WHEREAS, the Design and Development Department published a public hearing notice in The Desert Sun newspaper on August 22, 2025, as prescribed by the Municipal Code. Public hearing notices were also mailed to all property owners within 500 feet of the site; and WHEREAS, the Applicant has requested certain amendments to the conditions of approval for the Final Map ("Conditions of Approval"), a copy of which is on file with the City Engineer, and is available for review upon request; and WHEREAS, the Director of the Public Works Department for the City of La Quinta has the authority to review and approve amendments to final maps pursuant to La Quinta Municipal Code Section 13.04.060; and WHEREAS, the Director of the Public Works Department for the City of La Quinta finds that the legal requirements which allow for an amendment of the Final Map, as requested by the Applicant, have been met in accordance with applicable provisions of the La Quinta Municipal Code and California Subdivision Map Act (California Government Code Section 66410 et seq.) ("Map Act"), with reference to the following: • Pursuant to La Quinta Municipal Code Section 13.20.115(A), an amendment to the Final Map may be based on the criteria in Government 296 DIRECTORS HEARING RESOLUTION NO. 2025-001 AMENDED FINAL TRACT MAP 2025-0002 PROJECT: RANCHO SANTANA APPLICATION: JOHN PEDALINO, DESERT ESTATES DEVELOPMENT ADOPTED: SEPTEMBER 3, 2025 PAGE 2 of 6 Code Section 66469 of the Map Act. Government Code Section 66469(f), in turn, authorizes the amendment of a final map, "To correct any additional information filed or recorded pursuant to Section 66434.2 [additional information filed or recorded simultaneously with a final map], if the correction does not impose any additional burden on the present fee owners of the real property and does not alter any right, title, or interest in the real property reflected on the recorded map." Here, the Conditions of Approval were additional information simultaneously filed with the Final Map, and the modification of the Conditions of Approval as proposed by the Applicant and as reviewed at the public hearing, does not impose any additional burdens on the existing fee owners, and does not alter any right, title, or interest in the real property. As explained in the Staff Report and presented during the public hearing, the modification of the Conditions of Approval only affects the Applicant's requirement —which is not imposed upon or shared by any fee owners in the real property subject to the Final Map —for payment of a partial contribution towards the City's share of the future cost of a traffic signal. • Even if La Quinta Municipal Code Section 13.20.115(A) were not to apply, pursuant to La Quinta Municipal Code Section 13.20.115(B), an amendment to the Final Map may be based on the criteria in Government Code Section 66472.1 of the Map Act when, as here, the Final Map conforms with the provisions in Government Code Section 66470 [compliance with technical requirements for filing and recording a final map]. Government Code Section 66472.1 provides that, if there are "changes in circumstances that make any or all of the conditions of the map no longer appropriate or necessary and that the modifications do not impose any additional burden on the fee owners of the real property, and if the modifications do not alter any right, title, or interest in the real property reflected on the recorded map, and the local agency finds that the map as modified conforms to Section 66474[,]" then the Final Map may be amended. Here, the proposed modified Conditions of Approval are no longer necessary, and the modification of the Conditions of Approval as proposed by the Applicant and as reviewed at the public hearing, does not impose any additional burdens on the existing fee owners, and does not alter any right, title, or interest in the real property. As explained in the Staff Report and presented during the public hearing, the modification of the Conditions of Approval only affects the Applicant's requirement —which is not imposed upon or shared by any fee owners in the real property subject to the Final Map —for payment of a partial contribution towards the City's share of the future cost of a traffic signal. Because the Applicant will pay an in -lieu contribution as presented during the public hearing, the requirement to bond against the future improvement under the Conditions 297 DIRECTORS HEARING RESOLUTION NO. 2025-001 AMENDED FINAL TRACT MAP 2025-0002 PROJECT: RANCHO SANTANA APPLICATION: JOHN PEDALINO, DESERT ESTATES DEVELOPMENT ADOPTED: SEPTEMBER 3, 2025 PAGE 3 of 6 of Approval is no longer necessary. None of the provisions in Government Code Section 66474 apply that would prohibit the approval of the Final Map as amended, and the public hearing was confined to the consideration of, and action on, the modification to the Conditions of Approval as proposed by the Applicant. Therefore, all of the criteria in Government Code Section 66472.1 of the Map Act have been satisfied. WHEREAS, a Mitigated Negative Declaration was adopted by the City of La Quinta City Council on January 20, 2004, under Environmental Assessment 2002-472. The Design and Development Department has determined that the proposed project is consistent with this previously approved project, as no changes to the map itself are proposed; and WHEREAS, at said Public Hearing, upon hearing and considering all testimony and arguments, if any, of all interested persons desiring to be heard, said Public Works Director confirmed it has met all requirements from La Quinta Municipal Code Chapter 13.20 Final Maps and Parcel Maps. NOW, THEREFORE, BE IT RESOLVED by the Public Works Director of the City of La Quinta, California, as follows: SECTION 1. The Recitals and findings therein are true and correct and incorporated by reference into this Resolution. SECTION 2. The Final Map Conditions of Approval are hereby amended to read as follows: Condition No. 55(A) is amended to read as follows: A. OFF -SITE STREETS 1) Avenue 52 (Primary Arterial - A). - The standard 55 feet from the centerline of Avenue 52 for a total 110-foot ultimate developed right of way, except for an additional right of way dedication at the Monroe Street intersection of 64 feet from the centerline and 100 feet long, plus a variable dedication of an additional 50 feet to accommodate improvements conditioned under Street and Traffic Improvements. Widen the south side of the street along the Tentative Tract boundary to its ultimate half street width specified in the General Plan and requirements of these conditions listed below. Rehabilitate and/or reconstruct existing roadway pavement as necessary to augment and convert it from a rural county -road design standard to La Quinta's urban .; DIRECTORS HEARING RESOLUTION NO. 2025-001 AMENDED FINAL TRACT MAP 2025-0002 PROJECT: RANCHO SANTANA APPLICATION: JOHN PEDALINO, DESERT ESTATES DEVELOPMENT ADOPTED: SEPTEMBER 3, 2025 PAGE 4 of 6 arterial design standard. Street widening improvements shall include all appurtenant components such as, but not limited to, curb, gutter, traffic control striping, legends, and signs, except for streetlights. Construct a 66-foot roadway intersection improvement (4-foot median nose, travel width to include two 10-foot left turn lanes, two 12-foot eastbound through lanes, 8-foot bike lane, and 10-foot deceleration/ right turn only lane, excluding curbs). Construct a half - width of an 18-foot-wide raised landscaped median along the entire boundary of the Tentative Tract Map, plus variable width as needed to accommodate a dual left turn pocket for the eastbound traffic at Avenue 52 and a left turn in only lane at the main entry. The curb on the existing centerline shall be Portland Cement Concrete. Construct a 6-foot meandering sidewalk. The meandering sidewalk shall have an arrhythmic horizontal layout that utilizes concave and convex curves with respect to the curb line that either touches the back of the curb or approaches within five feet of the curb at intervals not to exceed 250 feet. The sidewalk curvature radii should vary between 50 and 300 feet, and at each point of reverse curvature, the radius should change to assist in creating the arrhythmic layout. The sidewalk shall meander into a landscape setback lot and approach within 2 feet of the proposed multi -purpose trail. Construct a 10-foot multi -purpose trail as approved by the City Engineer. Applicant is responsible for the payment of an in -lieu payment of $142,000 for the City's portion of the future installation of a traffic signal at the Avenue 52 and Monroe Street intersection. The north side of Avenue 52 is located in the City of Indio. The applicant shall install the following improvements north of the Avenue 52 centerline as required by the City of Indio to mitigate impacts caused by the installation of the raised median: a. Paint a yellow line with raised pavement markers seven (7) feet north of the centerline and install raised pavement markers. b. Widen the north side of the street seven (7) feet to mitigate the lost pavement width used to complete the painted median on the north side. c. Install large radius driveway connections as needed to mitigate the reduced turning radius caused by the raised median. The large radius connection provides an alternative means for the tractor/pickup-trailer combinations to complete the turn as they access properties on the north side of the street. d. Install the left turn restrictor component of the raised median island as needed at median openings where turning restrictions are required. 299 DIRECTORS HEARING RESOLUTION NO. 2025-001 AMENDED FINAL TRACT MAP 2025-0002 PROJECT: RANCHO SANTANA APPLICATION: JOHN PEDALINO, DESERT ESTATES DEVELOPMENT ADOPTED: SEPTEMBER 3, 2025 PAGE 5 of 6 In the event the applicant is unable to obtain the necessary approvals and or encroachments from the City of Indio, the applicant shall not construct improvements a through d of the above -listed paragraph as well as half width of an 18- foot wide raised landscaped median along the entire boundary of the Tentative Tract Map plus variable width as needed to accommodate a dual left turn pocket for the eastbound traffic at Avenue 52 and a left turn in only lane at the main entry. However, the applicant shall post financial assurances in a manner prescribed and approved by the City Attorney for the construction of half width of an 18- foot wide raised landscaped median along the entire boundary of the Tentative Tract Map plus variable width as needed to accommodate a dual left turn pocket for the eastbound traffic at Avenue 52 and a left turn in only lane at the main entry. 2) Monroe Street (Primary Arterial; 110' R/W): Widen the west side of the street along the Tentative Tract boundary to its ultimate half street width specified in the General Plan and requirements of these conditions listed below. Rehabilitate and/ or reconstruct existing roadway pavement as necessary to augment and convert it from a rural county road design standard to La Quinta's urban arterial design standard. Street widening improvements shall include all appurtenant components such as, but not limited to, curb, gutter, traffic control striping, legends, and signs, except for streetlights. Construct 34-foot roadway improvements to comply with the General Plan (travel way, excluding curbs). Construct a half -width of an 18-foot-wide raised landscaped median along the entire boundary of the Tentative Tract Map, plus a variable width as needed to accommodate a dual left -turn pocket for the westbound traffic at Avenue 52 and full movements at the entry. The curb on the existing centerline shall be asphalt concrete. Construct a 6-foot meandering sidewalk. The meandering sidewalk shall have an arrhythmic horizontal layout that utilizes concave and convex curves with respect to the curb line that either touches the back of the curb or approaches within five feet of the curb at intervals not to exceed 250 feet. The sidewalk curvature radii should vary between 50 and 300 feet, and at each point of reverse curvature, the radius should change to assist in creating the arrhythmic layout. The sidewalk shall meander into a landscape setback lot and approach within 2 feet of the proposed multi -purpose trail. Construct a 10-foot multi -purpose trail as approved by the City Engineer. 300 DIRECTORS HEARING RESOLUTION NO. 2025-001 AMENDED FINAL TRACT MAP 2025-0002 PROJECT: RANCHO SANTANA APPLICATION: JOHN PEDALINO, DESERT ESTATES DEVELOPMENT ADOPTED: SEPTEMBER 3, 2025 PAGE 6 of 6 PASSED, APPROVED, and ADOPTED at a meeting of the City of La Quinta Public Works Director held on September 3, 2025, by the Public Works Director. BRY� MCKINNEY, Publi orks Director City of La Quinta, California ATTEST: CHERI FLORES, Interim Design and Development Director City of La Quinta, California 301 ATTACHMENT 3 REDLINEAND-STRIKEOUT VERSION OF AMENDED CONDITION 55(A) A. OFF -SITE STREETS 1) Avenue 52 (Primary Arterial - A): The standard 55 feet from the centerline of Avenue 52 for a total 110-foot ultimate developed right of way, except for an additional right of way dedication at the Monroe Street intersection of 64 feet from the centerline and 100 feet long plus a variable dedication of an additional 50 feet to accommodate improvements conditioned under Street and Traffic Improvements. Widen the south side of the street along the Tentative Tract boundary to its ultimate half street width specified in the General Plan and requirements of these conditions listed below. Rehabilitate and/ or reconstruct existing roadway pavement as necessary to augment and convert it from a rural county -road design standard to La Quinta's urban arterial design standard. Street widening improvements shall include all appurtenant components such as, but not limited to, curb, gutter, traffic control striping, legends, and signs, except for street lights. Construct a 66-foot roadway intersection improvement (4-foot median nose, travel width to include two 10-foot left turn lanes, two 12-foot eastbound through lanes, 8-foot bike lane and 10-foot deceleration/ right turn only lane, excluding curbs). Construct a half -width of an 18-foot wide raised landscaped median along the entire boundary of the Tentative Tract Map, plus variable width as needed to accommodate a dual left turn pocket for the eastbound traffic at Avenue 52 and a left turn in only lane at the main entry. The curb on the existing centerline shall be Portland Cement Concrete. Construct a 6-foot meandering sidewalk. The meandering sidewalk shall have an arrhythmic horizontal layout that utilizes concave and convex curves with respect to the curb line that either touches the back of the curb or approaches within five feet of the curb at intervals not to exceed 250 feet. The sidewalk curvature radii should vary between 50 and 300 feet, and at each point of reverse curvature, the radius should change to assist in creating the arrhythmic layout. The sidewalk shall meander into the landscape setback lot and approach within 2 feet of the proposed multi -purpose trail. Construct a 10-foot multi -purpose trail as approved by the City Engineer. 302 Applicant will contribute $142,000 as in -lieu payment for City's portion of the future installation of a traffic signal at the Avenue 52 and Monroe Street intersection. The north side of Avenue 52 is located in the City of Indio. The applicant shall install the following improvements north of the Avenue 52 centerline as required by the City of Indio to mitigate impacts caused by the installation of the raised median: a. Paint a yellow line with raised pavement markers seven (7) feet north of the centerline and install raised pavement markers. b. Widen the north side of the street seven (7) feet to mitigate the lost pavement width used to complete the painted median on the north side. C. Install large radius driveway connections as needed to mitigate the reduced turning radius caused by the raised median. The large radius connection provides an alternative means for the tractor/ pickup -trailer combinations to complete the turn as they access properties on the north side of the street. d. Install left turn restrictor component of raised median island as needed at median openings where turning restrictions are required. In the event the applicant is unable to obtain the necessary approvals and or encroachments from the City of Indio, the applicant shall not construct improvements a through d of the above -listed paragraph as well as half width of an 18- foot wide raised landscaped median along the entire boundary of the Tentative Tract Map plus variable width as needed to accommodate a dual left turn pocket for the eastbound traffic at Avenue 52 and a left turn in only lane at the main entry. However, the applicant shall post financial assurances in a manner prescribed and approved by the City Attorney for the construction of half width of an 18- foot wide raised landscaped median along the entire boundary of the Tentative Tract Map plus variable width as needed to accommodate a dual left turn pocket for the eastbound traffic at Avenue 52 and a left turn in only lane at the main entry. 2) Monroe Street (Primary Arterial; 110' R/W): Widen the west side of the street along the Tentative Tract boundary to its ultimate half street width specified in the General Plan and requirements of these conditions listed below. Rehabilitate and/ or reconstruct existing roadway pavement as necessary to augment and convert it from a rural county -road design standard to La Quinta's urban arterial design standard. Street widening improvements shall 303 include all appurtenant components such as, but not limited to, curb, gutter, traffic control striping, legends, and signs, except for streetlights. Construct 34-foot roadway improvements to comply with the General Plan (travel way, excluding curbs). Construct a half -width of an 18-foot-wide raised landscaped median along the entire boundary of the Tentative Tract Map, plus variable width as needed to accommodate a dual left turn pocket for the westbound traffic at Avenue 52 and full movements at the entry. The curb on the existing centerline shall be asphalt concrete. Construct a 6-foot meandering sidewalk. The meandering sidewalk shall have an arrhythmic horizontal layout that utilizes concave and convex curves with respect to the curb line that either touches the back of the curb or approaches within five feet of the curb at intervals not to exceed 250 feet. The sidewalk curvature radii should vary between 50 and 300 feet, and at each point of reverse curvature, the radius should change to assist in creating the arrhythmic layout. The sidewalk shall meander into the landscape setback lot and approach within 2 feet of the proposed multi -purpose trail. Construct a 10-foot multi -purpose trail as approved by the City Engineer. - - -- ----HIN NENI I WIN .6 304 CONSENT CALENDAR ITEM NO. 6 City of La Quinta CITY COUNCIL MEETING: October 7, 2025 STAFF REPORT AGENDA AUTHORIZE OVERNIGHT TRAVEL FOR PUBLIC WORKS ADMINISTRATIVE TECHNICIAN TO ATTEND THE AMERICAN PUBLIC WORKS ASSOCIATION PUBLIC WORKS INSTITUTE IN DOWNEY, CALIFORNIA, OCTOBER 14- 16, 2025 RECOMMENDATION Authorize overnight travel for Public Works Administrative Technician to attend the American Public Works Association Public Works Institute in Downey, California, October 14-16, 2025. EXECUTIVE SUMMARY • The American Public Works Association (APWA) is an international professional organization for public works professionals and agencies, providing education, networking, accreditation, and advocacy to advance public works services such as water, roads, and waste management. • The APWA Public Works Institute offers four (4) "Module" training programs covering specific topics related to developing Public Works future leaders and provides networking opportunities with other agencies and vendors. • The Administrative Technician in the Public Works department seeks additional training and education. FISCAL IMPHU i Estimated expenses are $1,600, which includes travel, lodging, and meals for one attendee. Funds are available in fiscal year 2025/26 Public Works Administration Travel and Training budget (Account No. 101-7001-60320). BACKGROUND/ANALYSIS The APWA is an international professional organization for public works professionals and agencies, providing education, networking, accreditation, and advocacy to advance public works services such as water, roads, and waste management. 305 The APWA Public Works Institute offers four (4) "Module" training programs covering specific topics related to developing Public Works future leaders and provides networking opportunities with other agencies and vendors. This institute module will hold sessions on the following topics, including but not limited to: • Conflict Management • Laws Impacting Public Works • Transportation • Ethics • Customer Service • Conducting Effective Meetings • Workplace Safety Participation in the training modules presents a valuable opportunity for the Administrative Technician to access the resources and training that support continued professional development in the Public Works/Engineering Department. ALTERNATIVES Council may elect not to authorize this request; however, since this will provide further information and training, staff does not recommend this alternative. Prepared by: Carley Escarrega, Administrative Technician Approved by: Bryan McKinney, P.E., Public Works Director/City Engineer 306 CONSENT CALENDAR ITEM NO. 7 City of La Quinta CITY COUNCIL MEETING: October 7, 2025 STAFF REPORT AGENDA TITLE: APPROVE DEMAND REGISTERS DATED SEPTEMBER 5,12 AND 19, 2025 RECOMMENDATION Approve demand registers dated September 5, 12, and 19, 2025. EXECUTIVE SUMMARY — None FISCAL IMPACT Demand of Cash: City Successor Agency of RDA Housing Authority BACKGROUND/ANALYSIS $ 6,560,876.31 $ 27,777.55 $ 6,588,653.86 Routine bills and payroll must be paid between Council meetings. Attachment 1 details the weekly demand registers for September 5, 12 and 19, 2025. Warrants Issued: 217799-217854 $ 426,596.51 EFT 284-285 $ 1,098.00 217856-217912 $ 3,501,812.79 EFT 286 $ 8,903.06 217913-217968 $ 439,786.11 EFT 287-288 $ 1,023.80 Wire Transfers $ 1,863,556.82 Payroll Tax Transfers $ 62,007.44 Payroll Direct Deposit $ 283,869.33 $ 6,588,653.86 'Check number 217855, Southern California Gas Company, will be reported on a future Demand Register Report. 307 The most significant expenditures on the demand registers are: Vendor Granite Construction Company Riverside County Sheriff Department Pacific Play Systems, Inc. Spruce & Gander, Inc. Icon Shelter Systems, Inc Account Name Amount Purpose Construction $1,312,317.72 Highway 111 Pavement Rehabilitation Progress Payment Various $1,038,257.90 Police Services Equipment $355,780.00 Adams Park Playground Equipment Replacement Equipment $197,833.57 Fritz Burns Park Amenities Equipment $157,760.37 Fritz Burns Park Shade Structures Wire Transfers: Twenty-one transfers totaled $1,863,557. Of this amount, $1,091,971 was to SilverRock Phase 1 LLC for Debtor -in -Possession financing, and 373,649 was to Landmark. (See Attachment 2 for a complete listing). Investment Transactions: Full details of investment transactions, as well as total holdings, are reported quarterly in the Treasurer's Report. Settle Coupon Transaction Issuer Type Par Value Date Rate YTM Maturity Pentagon FCU CD $ 249,000 9/2/2025 0.700% 0.700% Purchase United States Treasury Treasury Note $ 2,000,000 9/10/2025 3.625% 3.584% Purchase Federal Home Loan Banks Agency $ 1,000,000 9/15/2025 3.500% 3.579% Prepared by: Jesse Batres, Finance Technician Approved by: Rosemary Hallick, Principal Management Analyst Attachments: 1. Demand Registers 2. Wire Transfers W., ATTACHMENT 1 ��, QuutrG, GEM of rbr DESERT - Vendor Name Payment Number Description (Item) Demand Register Packet: APPKT04300 - 09/05/2025 JB Account Name Account Number Amount Fund: 101-GENERAL FUND JENSEN, SHARLA W 284 1 DAY SESSION CLASS Instructors 101-3002-60107 48.00 JENSEN, SHARLA W 284 PERSONAL TRAINING 3 SESSIONS CLASS... Instructors 101-3002-60107 396.00 JENSEN, SHARLA W 284 PERSONAL TRAINING 6 SESSIONS CLASS... Instructors 101-3002-60107 528.00 WILLIAMS, BILLEE 285 YOGA FLOW CLASS Instructors 101-3002-60107 12.60 WILLIAMS, BILLEE 285 MAT PILATES DI CLASSES Instructors 101-3002-60107 113.40 1ST ATRIUM, INC. 217799 PERMIT REFUND PWPL2025-0038 Digitization/Records Manag... 101-0000-42416 2,650.20 ADVANCE PERMIT SERVICE 217800 OVERPAYMENT REFUND BRES2O23-0206 Over Payments, AR Policy 101-0000-20330 176.98 ALL KNIGHT HEATING & AIR ... 217801 OVERPAYMENT REFUND BMCH2O23-04... Over Payments, AR Policy 101-0000-20330 268.73 ALL KNIGHT HEATING & AIR ... 217801 OVERPAYMENT REFUND BMCH2O23-04... Over Payments, AR Policy 101-0000-20330 268.73 ANSAFONE CONTACT CENTS... 217802 09/2025 - PM 10 ANSWERING SERVICES PM 10 - Dust Control 101-7006-60146 209.09 BLUETRITON BRANDS INC 217804 07/13-08/12/25 - CITYWIDE DRINKING ... Citywide Supplies 101-1007-60403 188.84 CACEO 217806 CCEO MEMBERSHIP D.HUNTER Membership Dues 101-6004-60351 210.00 CACEO 217806 CCEO MEMBERSHIP S.TORRES-ZAZUETA Membership Dues 101-6004-60351 210.00 CACEO 217806 CCEO MEMBERSHIP J.CISNEROS Membership Dues 101-6004-60351 210.00 CALIFORNIA SPORT LLC 217808 OVERPAYMENT REFUND LIC-769755 Over Payments, AR Policy 101-0000-20330 25.00 CASTANEDA, MONICA 217809 FY 25/26 WELLNESS DOLLARS REIMB M.... Annual Wellness Dollar Reim... 101-1004-50252 200.00 CHARTER COMMUNICATIONS.. 217810 08/16-09/15/25 - FS #32 CABLE (3201) Cable/Internet - Utilities 101-2002-61400 101.71 CHARTER COMMUNICATIONS.. 217810 08/29-09/28/25 - FS #32 INTERNET (350... Cable/Internet - Utilities 101-2002-61400 100.00 CHARTER COMMUNICATIONS.. 217810 08/24-09/23/25 - FS #93 INTERNET (410... Cable/Internet - Utilities 101-2002-61400 100.00 COACHELLA VALLEY ASSOC 0... 217813 FY25/26 MEMBERSHIP DUES Membership Dues 101-1002-60351 70,650.00 COACHELLA VALLEY CONSER... 217814 07/2025 - MSHCP FEES MSHCP Mitigation Fee 101-0000-20310 19,346.45 COACHELLA VALLEY CONSER... 217814 07/2025 - MSHCP FEES CVMSHCP Admin Fee 101-0000-43631 -193.46 COACHELLA VALLEY WATER D.. 217815 WATER SERVICE Water - Utilities 101-2002-61200 555.98 COACHELLA VALLEY WATER D.. 217815 WATER SERVICE Water - Civic Center Park - Uti.. 101-3005-61202 6,452.98 COACHELLA VALLEY WATER D.. 217815 WATER SERVICE Water -Community Park - Util.. 101-3005-61209 18,778.31 COACHELLA VALLEY WATER D.. 217815 WATER SERVICE Water - Utilities 101-2002-61200 523.12 COACHELLA VALLEY WATER D.. 217815 WATER SERVICE Water -Eisenhower Park - Util.. 101-3005-61203 369.28 COACHELLA VALLEY WATER D.. 217815 WATER SERVICE Water -Fritz Burns Park - Utili... 101-3005-61204 3,242.11 COACHELLA VALLEY WATER D.. 217815 WATER SERVICE Water -Velasco Park- Utilities 101-3005-61205 269.38 COACHELLA VALLEY WATER D.. 217815 WATER SERVICE Water -Desert Pride - Utilities 101-3005-61206 1,385.15 COACHELLA VALLEY WATER D.. 217815 WATER SERVICE Water - Utilities 101-3008-61200 1,050.45 CRH CALIFORNIA WATER, INC 217816 08/2025 - DRINKING WATER Operating Supplies 101-7003-60420 983.00 DEPARTMENT OF JUSTICE 217818 07/2025 - BLOOD ALCOHOL ANALYSIS Blood/Alcohol Testing 101-2001-60174 105.00 EMERALD ISLE ENTERTAINIVI 217819 ATTRACTIONS FOR FALL EVENT Community Experiences 101-3003-60149 12,240.00 FRANCHISE TAX BOARD 217820 GARNISHMENT Garnishments Payable 101-0000-20985 219.39 FRANCHISE TAX BOARD 217821 GARNISHMENT Garnishments Payable 101-0000-20985 224.39 GARDAWORLD 217823 09/2025 - ARMORED SVCS Professional Services 101-1006-60103 330.56 GRAINGER 217824 PARTITION COLUMNS FOR LQ PARK Materials/Supplies 101-3008-60431 322.28 HIGH TECH IRRIGATION INC 217826 IRRIGATION COVER BOXES Materials/Supplies 101-3005-60431 225.55 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electricity- Utilities 101-2002-61101 1,572.82 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Civic Center Park - U.. 101-3005-61103 1,259.63 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Fritz Burns Park- Uti.. 101-3005-61105 551.53 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Velasco Park - Utiliti... 101-3005-61111 20.13 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Eisenhower Park- U... 101-3005-61113 24.38 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electricity- Utilities 101-3008-61101 4,279.40 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electricity- Utilities 101-2002-61101 3,032.85 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Monticello Park - Uti.. 101-3005-61102 19.08 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Sports Complex - Uti.. 101-3005-61106 536.77 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Colonel Paige - Utilit.. 101-3005-61108 93.08 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Community Park - U... 101-3005-61109 5,127.84 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Adams Park - Utiliti... 101-3005-61110 46.52 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Desert Pride - Utiliti... 101-3005-61114 19.18 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electricity- Utilities 101-3008-61101 14,904.21 9/25/2025 12:36:55 PM 309 Page 1 of 5 Demand Register Vendor Name Payment Number Description (Item) Packet: APPKT04300 - 09/05/2025 JB Account Name Account Number Amount IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - SilverRock Event Sit... 101-3005-61115 3,104.36 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electricity- Charging Stations 101-3008-61102 461.73 JARED BARTZ 217828 OVERPAYMENT REFUND BMCH2O23-04... Over Payments, AR Policy 101-0000-20330 268.73 LA QUINTA HIGH SCHOOL 217829 LQ HIGH SCHOOL CALENDAR ADVERTIS... Sponsorships/Advertising 101-3007-60450 200.00 NIETO DENTAL CORP 217831 OVERPAYMENT REFUND LIC-768411 Under Payments, AR Policy 101-0000-20331 98.00 OCEAN SPRINGS TECH INC 217832 LQ SPLASH PAD FLOWMETER INSTALLAT... LQ Park Water Feature 101-3005-60554 315.86 PROPER SOLUTIONS INC 217834 08/15/25 - TEMP AGENCY SERVICES 1.T... Temporary Agency Services 101-6002-60125 846.24 PYE BARKER 217835 FS #32 ALARM WIRELESS COMMUNICA... Security & Alarm 101-2002-60123 205.33 PYE BARKER 217835 WC ALARM REPLACEMENT BATTERIES Security & Alarm 101-3008-60123 328.43 RED ROBIN INTERNATIONAL_. 217836 OVERPAYMENT REFUND LIC-0103810 Over Payments, AR Policy 101-0000-20330 107.00 ROADRUNNER POOL SERVICE 217837 DUPLICATE POOL DRAIN PERMIT REFU... Miscellaneous Permits 101-0000-42404 27.00 SAFECHECKS 217841 AP CHECK STOCK 37001-39000 Printing 101-1006-60410 742.39 SOUTH WEST CONCEPTS 217842 OVERPAYMENT REFUND BRES2023-1059 Over Payments, AR Policy 101-0000-20330 603.46 SUNLINE TRANSIT AGENCY 217843 FY 25/26 BUS WRAP SPONSORSHIP Sponsorships/Advertising 101-3007-60450 7,500.00 SUNRISE LQ LLC 217844 OVERPAYMENT REFUND BRES2025-0265 Over Payments, AR Policy 101-0000-20330 397.30 THE CHAMBER 217845 09/2025 - GEM PUBLICATION Marketing & Tourism Promot... 101-3007-60461 12,778.25 TPX COMMUNICATIONS 217846 08/23-09/22/25 - EOC PHONE SERVICE Telephone - Utilities 101-2002-61300 221.92 UNITED WAY OF THE DESERT 217848 CONTRIBUTION United Way Deductions 101-0000-20981 108.00 USA DRAIN AND PLUMBING... 217849 FS #32 FLOOR DRAIN MAINTENANCE Maintenance/Services 101-2002-60691 685.00 USA DRAIN AND PLUMBING... 217849 WC TOILET REPAIR Maintenance/Services 101-3008-60691 645.00 VERIZON WIRELESS 217850 07/14-08/13/25 - EOC CELL (7813) Mobile/Cell Phones/Satellites 101-2002-61304 135.55 VINTAGE ASSOCIATES 217851 4 INCH MAIN LINE REPAIR Maintenance/Services 101-3005-60691 990.00 VINTAGE E & S INC 217852 EISENHOWER PARK LIGHTING REPAIRS Maintenance/Services 101-3005-60691 2,410.14 VINTAGE E & S INC 217852 08/21/25 - CH LED LIGHT FIXTURES REP... Maintenance/Services 101-3008-60691 523.25 VINTAGE E & S INC 217852 08/14/25 & 08/18/25 LQ PARK LIGHTIN... Maintenance/Services 101-3005-60691 1,584.80 WESTERN SHEET METALS INC 217853 OVERPAYMENT REFUND LIC-770846 Over Payments, AR Policy 101-0000-20330 80.00 WHITE CAP, L.P. 217854 WATER COOLER, PENLIGHT, BLACK MAR... Operating Supplies 101-7003-60420 103.69 Fund 101- GENERAL FUND Total: 210,056.05 Fund: 201 - GAS TAX FUND HERC RENTALS INC 217825 08/26/25 - TRAILER TILT RENTAL Equipment Rental 201-7003-61701 262.96 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electricity- Utilities 201-7003-61101 1,007.33 UNDERGROUND SERVICE AL... 217847 09/01/25 - DIG ALERT SERVICES Materials/Supplies 201-7003-60431 50.00 Fund 201 - GAS TAX FUND Total: 1,320.29 Fund: 202 - LIBRARY & MUSEUM FUND FRONTIER COMMUNICATIO... 217822 08/13-09/12/25 - MUSEUM PHONE Telephone - Utilities 202-3006-61300 176.56 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electricity- Utilities 202-3004-61101 5,923.02 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electricity- Utilities 202-3006-61101 1,623.51 USA DRAIN AND PLUMBING... 217849 LIBRARY RESTROOM REPAIR Maintenance/Services 202-3004-60691 725.00 Fund 202 - LIBRARY & MUSEUM FUND Total: 8,448.09 Fund: 215 - LIGHTING & LANDSCAPING FUND CALIFORNIA DESERT NURSER... 217807 PLANTS FOR EISENHOWER CASITA Materials/Supplies 215-7004-60431 334.00 COACHELLA VALLEY WATER D.. 217815 WATER SERVICE Water - Medians - Utilities 215-7004-61211 22,557.76 COACHELLA VALLEY WATER D.. 217815 WATER SERVICE Water - Medians - Utilities 215-7004-61211 343.16 FRONTIER COMMUNICATIO... 217822 08/10-09/09/25 - PHONE SERVICE Electric - Utilities 215-7004-61116 58.54 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Utilities 215-7004-61116 2,209.88 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Medians - Utilities 215-7004-61117 1,495.53 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Utilities 215-7004-61116 2,782.28 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Medians - Utilities 215-7004-61117 1,224.77 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Utilities 215-7004-61116 145.19 IMPERIAL IRRIGATION DIST 217827 ELECTRICITY SERVICE Electric - Utilities 215-7004-61116 807.23 ROTOLIGHTNG, INC 217839 PALM TREE LIGHT CHANGING COLOR SE... Maintenance/Services 215-7004-60691 300.00 Fund 215 - LIGHTING & LANDSCAPING FUND Total: 32,258.34 Fund: 221 - AB 939 - CALRECYCLE FUND THE CHAMBER 217845 09/2025 - RECYCLING GEM PUBLICATION AB 939 Recycling Solutions 221-0000-60127 2,000.00 Fund 221 - AB 939 - CALRECYCLE FUND Total: 2,000.00 Fund: 224-TUMF FUND COACHELLA VALLEY ASSOC 0... 217813 07/2025 - TUMF FEES TUMF Payable to CVAG 224-0000-20320 39,195.92 Fund 224 - TUMF FUND Total: 39,195.92 310 Page 2 of 5 9/25/2025 12:36:55 PM Demand Register Vendor Name Payment Number Fund: 270 - ART IN PUBLIC PLACES FUND POWERS AWARDS INC 217833 Fund: 401 - CAPITAL IMPROVEMENT PROGRAMS CT&T CONCRETE PAVING INC. 217817 LANDMARK CONSULTANTS,... 217830 ROMTEC INC. 217838 ROMTEC INC. 217838 ROY ALLAN SLURRY SEAL, INC 217840 ROY ALLAN SLURRY SEAL, INC 217840 Fund: 501 - FACILITY & FLEET REPLACEMENT AUTOZONE 217803 AUTOZONE 217803 BMW MOTORCYCLES OF RIV... 217805 BMW MOTORCYCLES OF RIV... 217805 CHEVROLET CADILLAC 217811 CHEVROLET CADILLAC 217811 Fund: 502 - INFORMATION TECHNOLOGY CHARTER COMMUNICATIONS.. 217810 CLEARGOV INC. 217812 TPX COMMUNICATIONS 217846 Fund: 601 - SILVERROCK RESORT GARDAWORLD 217823 Packet: APPKT04300 - 09/05/2025 J13 Description (Item) Account Name Account Number Amount APP SIGNAGE FOR CVRM ART ON LOAN Operating Supplies 270-0000-60482 368.39 Fund 270 - ART IN PUBLIC PLACES FUND Total: 368.39 RETENTION PAYMENT Retention Payable 401-0000-20600 6,682.04 08/2025 - HWY 111 RESURFACING SOIL ... Technical 401-0000-60108 13,643.70 FB POOL BUILDING PURCHASE Construction 401-0000-60188 13,532.75 FB POOL BUILDING PURCHASE TAXES Construction 401-0000-60188 1,184.12 08/2025 - PIMP SLURRY SEAL IMPROVE... Retention Payable 401-0000-20600 -3,987.49 08/2025 - PIMP SLURRY SEAL IMPROVE... Construction 401-0000-60188 79,749.82 Fund 401 - CAPITAL IMPROVEMENT PROGRAMS Total: 110,804.94 BOOSTER CABLES Parts, Accessories, and Upfits 501-0000-60675 143.50 FUSES Parts, Accessories, and Upfits 501-0000-60675 11.35 MOTORCYCLE REPAIR A1249 Motorcycle Repair & Mainte... 501-0000-60679 2,007.44 MOTORCYCLE REPAIRS A1245 Motorcycle Repair & Mainte... 501-0000-60679 260.67 BATTERY Parts, Accessories, and Upfits 501-0000-60675 10.77 20 CHEVY COLORADO VIN #L1220272 R... Vehicle Repair & Maintenan... 501-0000-60676 1,846.73 Fund 501 - FACILITY & FLEET REPLACEMENT Total: 4,280.46 08/15-09/14/25 - WC CABLE (3301) Cable/Internet - Utilities 502-0000-61400 168.08 7/1/25-6/30/26 PERSONNEL BUDGETIN... Software Licenses 502-0000-60301 14,240.00 08/23-09/22/25 - PHONE SERVICE Telephone - Utilities 502-0000-61300 3,829.60 Fund 502 - INFORMATION TECHNOLOGY Total: 18,237.68 09/2025 - SRR ARMORED SVCS Bank Fees 601-0000-60455 724.35 Fund 601 - SILVERROCK RESORT Total: 724.35 Grand Total: 427,694.51 9/25/2025 12:36:55 PM 311 Page 3 of 5 Demand Register Packet: APPKT04300 - 09/05/2025 JB Fund Summary Fund Expense Amount 101 - GENERAL FUND 210,056.05 201 - GAS TAX FUND 1,320.29 202 - LIBRARY & MUSEUM FUND 8,448.09 215 - LIGHTING & LANDSCAPING FUND 32,258.34 221 - AB 939 - CALRECYCLE FUND 2,000.00 224-TUMF FUND 39,195.92 270-ART IN PUBLIC PLACES FUND 368.39 401 - CAPITAL IMPROVEMENT PROGRAMS 110,804.94 501 - FACILITY & FLEET REPLACEMENT 4,280.46 502 - INFORMATION TECHNOLOGY 18,237.68 601 - SILVERROCK RESORT 724.35 Grand Total: 427,694.51 Account Summary Account Number Account Name Expense Amount 101-0000-20310 MSHCP Mitigation Fee 19,346.45 101-0000-20330 Over Payments, AR Policy 2,195.93 101-0000-20331 Under Payments, AR Poli... 98.00 101-0000-20981 United Way Deductions 108.00 101-0000-20985 Garnishments Payable 443.78 101-0000-42404 Miscellaneous Permits 27.00 101-0000-42416 Digitization/Records Ma... 2,650.20 101-0000-43631 CVMSHCP Admin Fee -193.46 101-1002-60351 Membership Dues 70,650.00 101-1004-50252 Annual Wellness Dollar... 200.00 101-1006-60103 Professional Services 330.56 101-1006-60410 Printing 742.39 101-1007-60403 Citywide Supplies 188.84 101-2001-60174 Blood/Alcohol Testing 105.00 101-2002-60123 Security & Alarm 205.33 101-2002-60691 Maintenance/Services 685.00 101-2002-61101 Electricity -Utilities 4,605.67 101-2002-61200 Water -Utilities 1,079.10 101-2002-61300 Telephone - Utilities 221.92 101-2002-61304 Mobile/Cell Phones/Sate... 135.55 101-2002-61400 Cable/Internet - Utilities 301.71 101-3002-60107 Instructors 1,098.00 101-3003-60149 Community Experiences 12,240.00 101-3005-60431 Materials/Supplies 225.55 101-3005-60554 LQ Park Water Feature 315.86 101-3005-60691 Maintenance/Services 4,984.94 101-3005-61102 Electric - Monticello Park.., 19.08 101-3005-61103 Electric - Civic Center Pa... 1,259.63 101-3005-61105 Electric - Fritz Burns Park... 551.53 101-3005-61106 Electric - Sports Complex... 536.77 101-3005-61108 Electric - Colonel Paige -... 93.08 101-3005-61109 Electric - Community Par... 5,127.84 101-3005-61110 Electric - Adams Park - Ut.. 46.52 101-3005-61111 Electric - Velasco Park - ... 20.13 101-3005-61113 Electric - Eisenhower Par... 24.38 101-3005-61114 Electric - Desert Pride - U.. 19.18 101-3005-61115 Electric - SilverRock Even... 3,104.36 101-3005-61202 Water - Civic Center Park.. 6,452.98 101-3005-61203 Water -Eisenhower Park... 369.28 101-3005-61204 Water -Fritz Burns Park-... 3,242.11 101-3005-61205 Water -Velasco Park -Uti.. 269.38 101-3005-61206 Water -Desert Pride - Util.. 1,385.15 101-3005-61209 Water -Community Park... 18,778.31 101-3007-60450 Sponsorships/Advertising 7,700.00 9/25/2025 12:36:55 PM 312 Page 4 of 5 Demand Register Packet: APPKT04300 - 09/05/2025 JB Account Summary Account Number Account Name Expense Amount 101-3007-60461 Marketing & Tourism Pr... 12,778.25 101-3008-60123 Security & Alarm 328.43 101-3008-60431 Materials/Supplies 322.28 101-3008-60691 Maintenance/Services 1,168.25 101-3008-61101 Electricity -Utilities 19,183.61 101-3008-61102 Electricity- Charging Stat.. 461.73 101-3008-61200 Water -Utilities 1,050.45 101-6002-60125 Temporary Agency Servi... 846.24 101-6004-60351 Membership Dues 630.00 101-7003-60420 Operating Supplies 1,086.69 101-7006-60146 PM 10 - Dust Control 209.09 201-7003-60431 Materials/Supplies 50.00 201-7003-61101 Electricity -Utilities 1,007.33 201-7003-61701 Equipment Rental 262.96 202-3004-60691 Maintenance/Services 725.00 202-3004-61101 Electricity -Utilities 5,923.02 202-3006-61101 Electricity - Utilities 1,623.51 202-3006-61300 Telephone - Utilities 176.56 215-7004-60431 Materials/Supplies 334.00 215-7004-60691 Maintenance/Services 300.00 215-7004-61116 Electric - Utilities 6,003.12 215-7004-61117 Electric - Medians - Utilit... 2,720.30 215-7004-61211 Water - Medians -Utiliti... 22,900.92 221-0000-60127 AB 939 Recycling Solutio... 2,000.00 224-0000-20320 TUMF Payable to CVAG 39,195.92 270-0000-60482 Operating Supplies 368.39 401-0000-20600 Retention Payable 2,694.55 401-0000-60108 Technical 13,643.70 401-0000-60188 Construction 94,466.69 501-0000-60675 Parts, Accessories, and ... 165.62 501-0000-60676 Vehicle Repair & Maint... 1,846.73 501-0000-60679 Motorcycle Repair & Ma... 2,268.11 502-0000-60301 Software Licenses 14,240.00 502-0000-61300 Telephone - Utilities 3,829.60 502-0000-61400 Cable/Internet - Utilities 168.08 601-0000-60455 Bank Fees 724.35 Grand Total: 427,694.51 Project Account Summary Project Account Key Project Account Name Project Name Expense Amount **None** **None** **None** 298,825.52 202102CT Construction Expense Fritz Burns Park Improvements 14,716.87 202225T Technical Expense Highway 111 Rehabilitation Proje 13,643.70 202331E SilverRock Landscape Maintenance.. SilverRock Landscape Maintenan 990.00 202403CT Construction Expense Cove Area Slurry Seal Improveme 79,749.82 202403RP Retention Payable Cove Area Slurry Seal Improveme -3,987.49 202405RP Retention Payable Citywide Miscellaneous ADA Imp 6,682.04 202424E Pool & Water Feature Maintenance Pool & Water Feature Maintenar 315.86 202425E On -Call Electrical Services On -Call Electrical Services 4,518.19 LQFFE La Quinta Fall Festival Expense La Quinta Fall Festival 12,240.00 Grand Total: 427,694.51 *Project codes are generally used to track Capital Improvement Program (CIP) projects, other large public works projects, developer deposits, or city-wide events. Normal operational expenditures are not project coded and, therefore, will report as "none" in this section. 9/25/2025 12:36:55 PM 313 Page 5 of 5 Demand Register Packet: APPKT04308 - 09/12/2025 JB 0 a - GEM *f &Aw DE,SE" - Vendor Name Payment Number Description (Item) Account Name Account Number Amount Fund: 101-GENERAL FUND AKJOHNSTON GROUP, LLC. 217856 AV SERVICES FOR H.LOPEZ VIGIL Community Experiences 101-3003-60149 16,310.30 ALL PRO BEVERAGE INC 217857 LOBBY COFFEE MACHINE SUPPLIES Citywide Supplies 101-1007-60403 717.48 AMERICAN PLANNING ASSOC.., 217859 FY 25/26 APA MEMBERSHIP J.LIMA Membership Dues 101-6002-60351 150.00 AT&T 217860 INVESTIGATION PHONE PINGS LA25207... Special Enforcement Funds 101-2001-60175 120.00 BIO-TOX LABORATORIES 217861 BLOOD ALCOHOL ANALYSIS Blood/Alcohol Testing 101-2001-60174 1,565.00 BMO FINANCIAL GROUP 217862 WELLNESS FAIR DECORATIONS Employee Recognition Events 101-1004-60340 113.77 BMO FINANCIAL GROUP 217862 DESKTOP PRINTING CALCULATOR & TAPE Operating Supplies 101-1004-60420 167.96 BMO FINANCIAL GROUP 217862 AMAZON REFUND Office Supplies 101-1006-60400 -21.63 BMO FINANCIAL GROUP 217862 TAPE, BATTERIES, AP FOLDERS Office Supplies 101-1006-60400 393.03 BMO FINANCIAL GROUP 217862 SUPPLIES FOR BREAKROOM LQ Police Volunteers 101-2001-60109 36.98 BMO FINANCIAL GROUP 217862 DONUTS FOR LT VELASCO & N.LYNCH F... LQ Police Volunteers 101-2001-60109 161.49 BMO FINANCIAL GROUP 217862 FPW SUPPLIES Volunteers - Fire 101-2002-60110 260.40 BMO FINANCIAL GROUP 217862 GLOVES Operating Supplies 101-3002-60420 262.29 BMO FINANCIAL GROUP 217862 AMAZON REFUNDS Community Experiences 101-3003-60149 -98.44 BMO FINANCIAL GROUP 217862 PICTURE FRAMES Community Experiences 101-3003-60149 30.91 BMO FINANCIAL GROUP 217862 ITEMS FOR GOLF TOUR EVENT Community Experiences 101-3003-60149 2,402.65 BMO FINANCIAL GROUP 217862 AUTISM SENSORY KITS SUPPLIES Community Experiences 101-3003-60149 654.92 BMO FINANCIAL GROUP 217862 DRIVER HEADCOVERS FOR GOLF TOUR ... Community Experiences 101-3003-60149 42.40 BMO FINANCIAL GROUP 217862 SURVEY MONKEY ANNUAL SUBCRIPTION Membership Dues 101-3007-60351 372.00 BMO FINANCIAL GROUP 217862 08/2025 - MAILCHIMP Membership Dues 101-3007-60351 240.00 BMO FINANCIAL GROUP 217862 09/2025 - APPLE MUSIC/STORAGE SUBS... Membership Dues 101-3007-60351 25.95 BMO FINANCIAL GROUP 217862 AIR QUALITY MONITORS Materials/Supplies 101-3008-60431 287.91 BMO FINANCIAL GROUP 217862 KEYBOARD WRIST REST Office Supplies 101-6001-60400 24.76 BMO FINANCIAL GROUP 217862 LAMINATING POUCHES Office Supplies 101-6001-60400 68.32 BMO FINANCIAL GROUP 217862 9/4/25 PLANNING COMMISSIONER WO... Travel & Training 101-6002-60320 75.00 BMO FINANCIAL GROUP 217862 CAOHC TRAINING G.DUCHENE Travel & Training 101-6004-60320 400.00 BMO FINANCIAL GROUP 217862 CAOHC TRAINING C.WOODS Travel & Training 101-6004-60320 400.00 BMO FINANCIAL GROUP 217862 CAOHC TRAINING D.HUNTER Travel & Training 101-6004-60320 200.00 BMO FINANCIAL GROUP 217862 CACEO 2025 CODE CONF REGISTRATION... Travel & Training 101-6004-60320 745.00 BMO FINANCIAL GROUP 217862 UNIFORMS FOR CODE OFFICERS Uniforms 101-6004-60690 340.16 BMO FINANCIAL GROUP 217862 EMERGENCY SERVICES TRAINING L.CHA... Travel & Training 101-6005-60320 1,650.06 BMO FINANCIAL GROUP 217862 MONTHLY PLANNER & BINDER DIVIDERS Office Supplies 101-7001-60400 135.74 BMO FINANCIAL GROUP 217862 ALUMINUM CHANNEL FOR LQ PARK Materials/Supplies 101-3008-60431 315.22 BMO FINANCIAL GROUP 217862 PARKS DEPARTMENT APWA EXPO Travel & Training 101-3005-60320 203.10 BMO FINANCIAL GROUP 217862 PUBLIC BUILDINGS DEPARTMENT APWA... Travel & Training 101-3008-60320 169.25 BMO FINANCIAL GROUP 217862 PUBLIC WORKS DEPARTMENT APWA EX... Travel & Training 101-7001-60320 67.70 BMO FINANCIAL GROUP 217862 PW DEV ENG DEPARTMENT APWA EXPO Travel & Training 101-7002-60320 67.70 BMO FINANCIAL GROUP 217862 STREETS DEPARTMENT APWA EXPO Travel & Training 101-7003-60320 101.55 BMO FINANCIAL GROUP 217862 STREETS DEPARTMENT APWA EXPO Travel & Training 101-7003-60320 169.25 BMO FINANCIAL GROUP 217862 PW CIP ENG DEPARTMENT APWA EXPO Travel & Training 101-7006-60320 203.10 BMO FINANCIAL GROUP 217862 FRAMES FOR H.LOPEZ VIGIL Community Experiences 101-3003-60149 25.00 BMO FINANCIAL GROUP 217862 FLOWER ARRANGEMENT FOR 9/11 VIGIL Community Experiences 101-3003-60149 396.94 BMO FINANCIAL GROUP 217862 FLOWER ARRANGEMENT FOR H.LOPEZ V.. Community Experiences 101-3003-60149 396.93 BMO FINANCIAL GROUP 217862 POSTERS FOR H.LOPEZ VIGIL Community Experiences 101-3003-60149 27.57 BMO FINANCIAL GROUP 217862 BACK DROP ITEMS FOR FALL FESTIVAL Community Experiences 101-3003-60149 4,000.00 BMO FINANCIAL GROUP 217862 SUPPLIES FOR H.LOPEZ VIGIL Community Experiences 101-3003-60149 51.08 BMO FINANCIAL GROUP 217862 SNACKS FOR CJPIA TRAINING Travel & Training 101-1004-60320 206.74 BMO FINANCIAL GROUP 217862 SNACKS FOR CJPIA TRAINING Travel & Training 101-1004-60320 187.08 BMO FINANCIAL GROUP 217862 POLICE MEETING SUPPLIES LQ Police Volunteers 101-2001-60109 102.81 BMO FINANCIAL GROUP 217862 WATER & SUPPLIES FOR WC EVENTS Community Experiences 101-3003-60149 232.51 BMO FINANCIAL GROUP 217862 08/13-09/13/25 - RECRUITMENT JOB P... Recruiting/Pre-Employment 101-1004-60129 450.00 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS C.WOODS Safety Gear 101-6004-60427 198.98 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS S.TORRES-ZAZ... Safety Gear 101-6004-60427 255.42 9/25/2025 12:36:27 PM 314 Page 1 of 8 Demand Register Packet: APPKT04308 - 09/12/2025 JIB Vendor Name Payment Number Description (Item) Account Name Account Number Amount BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS D.HUNTER Safety Gear 101-6004-60427 221.78 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS 1.CISNEROS Safety Gear 101-6004-60427 259.77 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS J.REYES-ZUNIGA Safety Gear 101-7003-60427 247.56 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS J.REYES-ZUNIGA Safety Gear 101-7003-60427 197.64 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS A.VIRAMONTES Safety Gear 101-7003-60427 260.39 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS U.AYON Safety Gear 101-7006-60427 188.63 BMO FINANCIAL GROUP 217862 PLAYGROUND SAFTY TRAINING MATERI... Travel & Training 101-3005-60320 108.00 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY WORK BOOTS D.HANS... Safety Gear 101-3005-60427 104.19 BMO FINANCIAL GROUP 217862 CITY MANAGER LUNCH MEETING Travel & Training 101-1002-60320 689.14 BMO FINANCIAL GROUP 217862 CLQ PROMO ITEMS Promotional Items 101-3007-60134 924.38 BMO FINANCIAL GROUP 217862 CITY LOGO STICKERS Promotional Items 101-3007-60134 203.36 BMO FINANCIAL GROUP 217862 PRODUCTION EQUIP PODCAST HARD DR... Community Engagement 101-3007-60137 173.99 BMO FINANCIAL GROUP 217862 PRODUCTION EQUIP PODCAST MEMORY.. Community Engagement 101-3007-60137 450.18 BMO FINANCIAL GROUP 217862 PRODUCTION EQUIP CAMERA STRAPS Community Engagement 101-3007-60137 20.60 BMO FINANCIAL GROUP 217862 PRODUCTION EQUIP PODCAST CAMERA... Community Engagement 101-3007-60137 76.07 BMO FINANCIAL GROUP 217862 10/06-10/08/25 - CAL TRAVEL SUMMIT ... Travel & Training 101-3007-60320 300.00 BMO FINANCIAL GROUP 217862 CLQ NIGHT SPONSORSHIP DEPOSIT Sponsorships/Advertising 101-3007-60450 100.00 BMO FINANCIAL GROUP 217862 10/3/25 PALM DESERT STATE OF THE CI... Travel & Training 101-1001-60320 95.00 BMO FINANCIAL GROUP 217862 CHAMBER LUNCH S.SANCHEZ Travel & Training 101-1001-60320 55.00 BMO FINANCIAL GROUP 217862 08/11/25 SPECIAL CITY COUNCIL MEETI... Travel & Training 101-1001-60320 46.15 BMO FINANCIAL GROUP 217862 08/11/25 SPECIAL CITY COUNCIL MEETI... Travel & Training 101-1001-60320 60.95 BMO FINANCIAL GROUP 217862 10/03/25 - PALM DESERT STATE OF THE... Travel & Training 101-1001-60320 95.00 BMO FINANCIAL GROUP 217862 PHOTO PRINTING Operating Supplies 101-7003-60420 4.84 BMO FINANCIAL GROUP 217862 CUSTOM FRAME Operating Supplies 101-7003-60420 94.59 BMO FINANCIAL GROUP 217862 LEAGUE OF CA CITIES NEW LAWS & ELE... Travel & Training 101-1005-60320 600.00 BMO FINANCIAL GROUP 217862 LEAGUE OF CA CITIES NEW LAWS/ELECT... Travel & Training 101-1005-60320 770.00 BMO FINANCIAL GROUP 217862 LEAGUE OF CA CITIES NEW LAWS/ELECT... Travel & Training 101-1005-60320 -170.00 BMO FINANCIAL GROUP 217862 RIVERSIDE ASSESSOR OATH & BOND N.... Operating Supplies 101-1005-60420 70.48 BMO FINANCIAL GROUP 217862 PRIORITY MAIL ENVELOPES Postage 101-1007-60470 44.00 BMO FINANCIAL GROUP 217862 USPS MAIL FORWARDING PRICE ADJUS... Postage 101-1007-60470 5.49 BMO FINANCIAL GROUP 217862 R/C CCAC MEMBERSHIP T.FLORES FR 10... Membership Dues 101-6001-60351 250.00 BMO FINANCIAL GROUP 217862 R/C CCAC MEMBERSHIP T.FLORES TO 10... Membership Dues 101-6002-60351 -250.00 BURRTEC WASTE & RECYCLI... 217866 FY 22/23 PROPERTY TAX PAYMENT PY ... Due to Waste Management 101-0000-20307 816.48 BURRTEC WASTE & RECYCLI... 217866 FY 22/23 PROPERTY TAX PAYMENT PY ... Franchise Taxes - Burrtec 101-0000-41505 -81.28 CASH/PETTY CASH 217868 FINANCE PETTY CASH SHORT/OVER Cash Over/Short 101-0000-42300 0.46 CASH/PETTY CASH 217868 DECOR FOR 2025 WELLNESS FAIR Consultants/Employee Servic... 101-1004-60104 34.58 CASH/PETTY CASH 217868 DECOR FOR 2025 WELLNESS FAIR Consultants/Employee Servic... 101-1004-60104 34.58 CASH/PETTY CASH 217868 SNACKS FOR CJPIA PLAYGROUND SAFET... Travel & Training 101-1004-60320 18.00 CASH/PETTY CASH 217868 SNACKS FOR CJPIA PLAYGROUND SAFET... Travel & Training 101-1004-60320 2.21 CASH/PETTY CASH 217868 SCREWS Community Engagement 101-3007-60137 19.55 CHARTER COMMUNICATIONS.. 217869 08/24-09/23/25 - FS #93 CABLE (4001) Cable/Internet - Utilities 101-2002-61400 120.02 COACHELLA VALLEY ASSOC 0... 217870 05/2025 - ARTS AND MUSIC LINE SHARE... Contributions to Other Agenc.. 101-7006-60480 22.59 COACHELLA VALLEY ASSOC 0... 217870 06/2025 - ARTS AND MUSIC LINE SHARE... Contributions to Other Agenc.. 101-7006-60480 62.53 COACHELLA VALLEY ASSOC 0... 217870 06/2025 - ARTS AND MUSIC LINE SHARE... Contributions to Other Agenc.. 101-7006-60480 2,563.83 COACHELLA VALLEY ASSOC 0... 217870 05/2025 & 06/2025 ARTS AND MUSIC L... Contributions to Other Agenc.. 101-7006-60480 9,423.80 CONVERGINT TECHNOLOGIES.. 217871 08/2025 - CITYWIDE CAMERA SYSTEM ... Public Safety Camera System... 101-2001-60692 2,123.17 DECKARD TECHNOLOGIES, I... 217873 07/2025 - STVR PUBLIC PORTAL MAP Professional Services 101-1005-60103 833.34 DECKARD TECHNOLOGIES, I... 217873 08/2025 - STVR PUBLIC PORTAL MAP Professional Services 101-1005-60103 833.34 DECKARD TECHNOLOGIES, I... 217873 09/2025 - STVR PUBLIC PORTAL MAP Professional Services 101-1005-60103 833.34 DESERT CONCEPTS CONSTIR 217874 08/04-08/08/25 - LQ PARK OUTFIELD I... Maintenance/Services 101-3005-60691 7,200.00 DESERT CONCEPTS CONSTIR 217874 08/21-08/22/25 - LQ PARK IRRIGATION ... Maintenance/Services 101-3005-60691 2,880.00 DESERT CONCEPTS CONSTIR 217874 SRR EVENT PARK ELECTRICAL REPAIRS Maintenance/Services 101-3005-60691 3,250.00 DESERT CONCEPTS CONSTIR 217874 ADAMS PARK CONCRETE REPAIR Maintenance/Services 101-3005-60691 26,850.00 DESERT RESORT MANAGEM... 217875 08/2025 - SECURITY PATROL SERVICES Professional Services 101-6004-60103 4,089.60 DYCHELON LLC 217876 SB553 WVP ASSESSMENT & TRANING Professional Services 101-1004-60103 7,750.00 FRONTIER COMMUNICATIO... 217877 07/26-09/25/25 - POLICE INTERNET Cable/Internet - Utilities 101-2001-61400 1,071.36 HILARIO, BENJAMIN 217880 R/C VEHICLE WASHES TO 501-0000-606... Maintenance/Services 101-3008-60691 -505.00 INTERWEST CONSULTING G... 217882 07/2025 - ONCALL BUILDING & SAFETY ... Plan Checks 101-6003-60118 101.25 INTERWEST CONSULTING G... 217882 07/2025 - ONCALL BUILDING & SAFETY ... Plan Checks 101-6003-60118 202.50 INTERWEST CONSULTING G... 217882 07/2025 - ONCALL BUILDING & SAFETY ... Plan Checks 101-6003-60118 67.50 9/25/2025 12:36:27 PM 315 Page 2 of 8 Demand Register Packet: APPKT04308 - 09/12/2025 JB Vendor Name Payment Number Description (Item) Account Name Account Number Amount INTERWEST CONSULTING G... 217882 07/2025 - ONCALL BUILDING & SAFETY ... Plan Checks 101-6003-60118 202.50 INTERWEST CONSULTING G... 217882 07/2025 - ONCALL BUILDING & SAFETY ... Plan Checks 101-6003-60118 135.00 INTERWEST CONSULTING G... 217882 07/2025 - ONCALL BUILDING & SAFETY ... Plan Checks 101-6003-60118 202.50 INTERWEST CONSULTING G... 217882 07/2025 - ONCALL BUILDING & SAFETY ... Plan Checks 101-6003-60118 405.00 JNS MEDIA SPECIALISTS 217883 08/2025 - MEDIA SERVICES Marketing & Tourism Promot... 101-3007-60461 31,500.00 KILEY & ASSOCIATES 217884 08/2025 - FEDERAL LOBBYIST SERVICES Contract Services - Administr... 101-1002-60101 3,500.00 LANCE, SOLL, & LUNGHARD L... 217885 FINANCE DEPARTMENT ASSESSMENT Professional Services 101-1006-60103 585.00 LANCE, SOLL, & LUNGHARD L... 217885 GASB IMPLEMENTATION-GASB 101 Professional Services 101-1006-60103 362.50 LANCE, SOLL, & LUNGHARD L... 217885 2024 LEASES/SBITA ASSISTANCE Professional Services 101-1006-60103 6,588.50 LEICA GEOSYSTEMS, INC 217886 CABLE LOCATOR TOOL REPAIRS Tools/Equipment 101-3008-60432 294.31 MISSION LINEN SUPPLY 217887 FINANCE SHIRTS Office Supplies 101-1006-60400 87.66 MISSION LINEN SUPPLY 217887 PARKS UNIFORM SERVICES Uniforms 101-3005-60690 38.47 MISSION LINEN SUPPLY 217887 FACILITIES UNIFORM SERVICES Uniforms 101-3008-60690 23.08 MISSION LINEN SUPPLY 217887 PARKS UNIFORM SERVICES Uniforms 101-3005-60690 38.01 MISSION LINEN SUPPLY 217887 FACILITIES UNIFORM SERVICES Uniforms 101-3008-60690 22.81 MISSION LINEN SUPPLY 217887 PARKS UNIFORM SERVICES Uniforms 101-3005-60690 38.01 MISSION LINEN SUPPLY 217887 FACILITIES UNIFORM SERVICES Uniforms 101-3008-60690 22.81 OCEAN SPRINGS TECH INC 217888 09/2025 - FB POOL MONTHLY MAINTEN... Fritz Burns Pool Maintenance 101-3005-60184 10,640.00 ODP BUSINESS SOLUTIONS, L... 217889 PENS, PAPER CLIPS & OFFICE SUPPLIES Office Supplies 101-1002-60400 101.03 ODP BUSINESS SOLUTIONS, L... 217889 PAPER CLIPS Office Supplies 101-1002-60400 6.88 PALMS TO PINES PRINTING 217891 COMMUNITY SERVICE DEPT STAFF POL... Operating Supplies 101-3003-60420 3,939.78 PAX FITNESS REPAIR 217892 WC FITNESS EQUIPMENT REPAIRS Operating Supplies 101-3002-60420 976.36 PLANIT REPROGRAPHICS SYS... 217893 CITYWIDE VISTOR BADGES Citywide Supplies 101-1007-60403 103.51 PROPER SOLUTIONS INC 217894 08/22/25 - TEMP AGENCY SERVICES 1.T... Temporary Agency Services 101-6002-60125 846.24 QUINN COMPANY 217895 CH GENERATOR REPAIRS Machinery & Equipment 101-2002-80101 2,650.94 QUINN COMPANY 217895 CH GENERATOR MAINTENANCE Machinery & Equipment 101-2002-80101 396.62 RIVERSIDE COUNTY SHERIFF ... 217896 07/01-07/23/25 - BP #1 POLICE SERVICES Sheriff Patrol 101-2001-60161 587,271.41 RIVERSIDE COUNTY SHERIFF ... 217896 07/01-07/23/25 - BP #1 POLICE SERVICES Police Overtime 101-2001-60162 24,087.86 RIVERSIDE COUNTY SHERIFF ... 217896 07/01-07/23/25 - BP #1 POLICE SERVICES Target Team 101-2001-60163 121,117.59 RIVERSIDE COUNTY SHERIFF ... 217896 07/01-07/23/25 - BP #1 POLICE SERVICES Community Services Officer 101-2001-60164 47,136.90 RIVERSIDE COUNTY SHERIFF ... 217896 07/01-07/23/25 - BP #1 POLICE SERVICES Gang Task Force 101-2001-60166 15,038.38 RIVERSIDE COUNTY SHERIFF ... 217896 07/01-07/23/25 - BP #1 POLICE SERVICES Narcotics Task Force 101-2001-60167 14,874.32 RIVERSIDE COUNTY SHERIFF ... 217896 07/01-07/23/25 - BP #1 POLICE SERVICES Motor Officer 101-2001-60169 135,557.40 RIVERSIDE COUNTY SHERIFF ... 217896 07/01-07/23/25 - BP #1 POLICE SERVICES Dedicated Sargeants 101-2001-60170 30,025.73 RIVERSIDE COUNTY SHERIFF ... 217896 07/01-07/23/25 - BP #1 POLICE SERVICES Dedicated Lieutenant 101-2001-60171 23,830.80 RIVERSIDE COUNTY SHERIFF ... 217896 07/01-07/23/25 - BP #1 POLICE SERVICES Sheriff - Mileage 101-2001-60172 37,663.53 RIVERSIDE COUNTY SHERIFF ... 217896 06/25-07/24/25 - MOTOR FUEL CHARGES Sheriff - Other 101-2001-60176 725.70 RIVERSIDE COUNTY SHERIFF ... 217896 07/25-08/24/25 - MOTOR FUEL CHARGES Sheriff - Other 101-2001-60176 928.28 SMART & FINAL 217899 8/28/25 SNACKS FOR CJPIA EVERYDAY E... Travel & Training 101-1004-60320 44.86 SMART & FINAL 217899 8/14/25 SNACKS FOR CJPIA DECISION M... Travel & Training 101-1004-60320 45.14 SOUTHWEST BOULDER & ST... 217901 LANDSCAPE ROCK FOR GRAVEL PROGR... Lot Cleaning/Gravel Program 101-6004-60120 -923.29 SOUTHWEST BOULDER & ST... 217901 LANDSCAPE ROCK FOR GRAVEL PROGR... Lot Cleaning/Gravel Program 101-6004-60120 907.68 STAPLES ADVANTAGE 217903 OFFCIE SUPPLIES Operating Supplies 101-7003-60420 181.01 STAPLES ADVANTAGE 217903 HEATER Office Supplies 101-7001-60400 68.39 STAPLES ADVANTAGE 217903 2026 WALL CALENDARS Office Supplies 101-1005-60400 161.75 STAPLES ADVANTAGE 217903 POCKET LETTER WALL FILE Operating Supplies 101-1004-60420 30.33 STAPLES ADVANTAGE 217903 BREAKROOM SUPPLIES Citywide Supplies 101-1007-60403 64.82 STAPLES ADVANTAGE 217903 FILE CLIPBOARD Operating Supplies 101-1004-60420 19.56 STAPLES ADVANTAGE 217903 BREAKROOM SUPPLIES Citywide Supplies 101-1007-60403 36.14 STAPLES ADVANTAGE 217903 PLOTTER PAPER Forms, Copier Paper 101-1007-60402 265.86 STAPLES ADVANTAGE 217903 CITYWIDE CUPS Citywide Supplies 101-1007-60403 86.76 THE LINCOLN NATIONAL LIFE.. 217904 08/2025 - LIFE INSURANCE Add'I Life Insurance Pay 101-0000-20948 6,145.68 THE LINCOLN NATIONAL LIFE.. 217904 09/2025 - LIFE INSURANCE Add'I Life Insurance Pay 101-0000-20948 7,320.03 THE LINCOLN NATIONAL LIFE.. 217904 06/2025 - LIFE INSURANCE Add'I Life Insurance Pay 101-0000-20948 6,871.11 THE LINCOLN NATIONAL LIFE.. 217904 07/2025 - LIFE INSURANCE Add'I Life Insurance Pay 101-0000-20948 6,871.11 THE LOCK SHOP, INC 217905 KEYS FOR WC Materials/Supplies 101-3008-60431 42.96 THE PRINTING PLACE 217906 RESIDENT CARD INFORMATION (500) Operating Supplies 101-3002-60420 202.57 TOTAL CARE WORK INJURY C... 217907 07/11-07/31/25 - PRE EMPLOYMENT PH... Recruiting/Pre-Employment 101-1004-60129 540.00 VERIZON WIRELESS 217908 07/26-08/25/25 - LQPD CELL SVC (6852) Telephone - Utilities 101-2001-61300 888.77 WEST COAST TURF 217911 OVERDUE CHARGES FOR INV185344 Materials/Supplies 101-3005-60431 1.00 9/25/2025 12:36:27 PM 316 Page 3 of 8 Demand Register Packet: APPKT04308 - 09/12/2025 JB Vendor Name Payment Number Description (Item) Account Name Account Number Amount WEST COAST TURF 217911 OVERDUE CHARGES Materials/Supplies 101-3005-60431 9.09 WEST COAST TURF 217911 SOD FOR SEASONS PARK Materials/Supplies 101-3005-60431 304.50 WEST COAST TURF 217911 SOD FOR SPORTS COMPLEX PARK Materials/Supplies 101-3005-60431 587.25 WEST COAST TURF 217911 SOD FOR SPORTS COMPLEX PARK Materials/Supplies 101-3005-60431 293.63 WEST COAST TURF 217911 SOD Maintenance/Services 101-3005-60691 880.88 WEST COAST TURF 217911 SOD Materials/Supplies 101-3005-60431 880.88 WEST COAST TURF 217911 SOD Materials/Supplies 101-3005-60431 1,174.50 WEST COAST TURF 217911 SOD Materials/Supplies 101-3005-60431 1,174.50 WEST COAST TURF 217911 SOD Materials/Supplies 101-3005-60431 587.25 WEST COAST TURF 217911 SOD FOR ADAMS PARK Materials/Supplies 101-3005-60431 880.88 XPRESS GRAPHICS 217912 LQ FALSE ALARM POSTCARDS (2000) Printing 101-2002-60410 482.78 Fund 101 - GENERAL FUND Total: 1,252,071.07 Fund: 201 - GAS TAX FUND BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS L.URIAS Safety Gear 201-7003-60427 205.41 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS A.MONTENEG... Safety Gear 201-7003-60427 210.35 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS H.CONTRERAS Safety Gear 201-7003-60427 188.86 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS A.MONTENEG... Safety Gear 201-7003-60427 265.29 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY BOOTS E.LOPEZ Safety Gear 201-7003-60427 250.08 BMO FINANCIAL GROUP 217862 CONCRETE ROTARY MIXER RENTAL Materials/Supplies 201-7003-60431 753.66 BMO FINANCIAL GROUP 217862 CONCRETE ROTARY MIXER RENTAL DEP... Materials/Supplies 201-7003-60431 -440.00 BMO FINANCIAL GROUP 217862 CONCRETE ROTARY MIXER RENTAL DEP... Materials/Supplies 201-7003-60431 -440.00 BMO FINANCIAL GROUP 217862 CONCRETE ROTARY MIXER RENTAL Materials/Supplies 201-7003-60431 753.66 BMO FINANCIAL GROUP 217862 GREEN DOT LASER KIT PAINT TOOL Paint/Legends 201-7003-60433 1,113.34 MISSION LINEN SUPPLY 217887 STREETS UNIFORM SERVICES Uniforms 201-7003-60690 69.24 MISSION LINEN SUPPLY 217887 STREETS UNIFORM SERVICES Uniforms 201-7003-60690 68.43 MISSION LINEN SUPPLY 217887 STREETS UNIFORMS Uniforms 201-7003-60690 302.19 MISSION LINEN SUPPLY 217887 STREETS UNIFORM SERVICES Uniforms 201-7003-60690 68.43 Fund 201 - GAS TAX FUND Total: 3,368.94 Fund: 215 - LIGHTING & LANDSCAPING FUND BMO FINANCIAL GROUP 217862 HYDRATION SUPPLIES Operating Supplies 215-7004-60420 84.76 BMO FINANCIAL GROUP 217862 FY 25/26 SAFETY WORK BOOTS D.HANS... Safety Gear 215-7004-60427 104.20 DESERT CONCEPTS CONSTR... 217874 8/18-8/20/25 EISENHOWER CASITA LA... Maintenance/Services 215-7004-60691 4,320.00 SOUTHWEST BOULDER & ST... 217901 LANDSCAPE ROCK FOR AVE 52/DESERT ... Materials/Supplies 215-7004-60431 4,850.20 VINTAGE E & S INC 217909 05/06-05/07/25 - AVE 52 STREET MEDI... Maintenance/Services 215-7004-60691 3,161.19 Fund 215 - LIGHTING & LANDSCAPING FUND Total: 12,520.35 Fund: 221 - AB 939 - CALRECYCLE FUND ALPHA MEDIA LLC 217858 08/2025 - RECYCLING DIGITAL ADS AB 939 Recycling Solutions 221-0000-60127 1,500.00 ALPHA MEDIA LLC 217858 08/2025 - RECYCLING RADIO ADS MIX 1... AB 939 Recycling Solutions 221-0000-60127 3,500.00 BURRTEC WASTE & RECYCLI... 217866 FY 22/23 PROPERTY TAX PAYMENT PY ... Burrtec AB 939 Fee 221-0000-41506 -3.63 Fund 221 - AB 939 - CALRECYCLE FUND Total: 4,996.37 Fund: 235 - SO COAST AIR QUALITY FUND COACHELLA VALLEY ASSOC 0... 217870 04/01-06/30/25 - VEHICLE REGISTRATI... CVAG 235-0000-60186 10,016.87 Fund 235 - SO COAST AIR QUALITY FUND Total: 10,016.87 Fund: 241 - HOUSING AUTHORITY CAHA, BECKY 217867 08/2025 - HOUSING CONSULTANT SERV... Professional Services 241-9101-60103 10,200.00 Fund 241 - HOUSING AUTHORITY Total: 10,200.00 Fund: 247 - ECONOMIC DEVELOPMENT FUND BMO FINANCIAL GROUP 217862 FOOD FOR MARKETING VIDEOS Marketing & Tourism Promot.., 247-0000-60461 57.60 BMO FINANCIAL GROUP 217862 FOOD FOR MARKETING VIDEOS Marketing & Tourism Promot.., 247-0000-60461 155.45 BMO FINANCIAL GROUP 217862 MARKETING MEETING LUNCH Marketing & Tourism Promot.., 247-0000-60461 83.36 BMO FINANCIAL GROUP 217862 FOOD FOR MARKETING VIDEOS Marketing & Tourism Promot.., 247-0000-60461 183.00 BMO FINANCIAL GROUP 217862 FOOD FOR MARKETING VIDEO Marketing & Tourism Promot.., 247-0000-60461 202.26 Fund 247 - ECONOMIC DEVELOPMENT FUND Total: 681.67 Fund: 270 - ART IN PUBLIC PLACES FUND SIGNATURE SCULPTURE 217898 08/2025 & 09/2025 APP MAINTENANCE APP Maintenance & Display 270-0000-60683 13,567.75 Fund 270 - ART IN PUBLIC PLACES FUND Total: 13,567.75 Fund: 401 - CAPITAL IMPROVEMENT PROGRAMS GRANITE CONSTRUCTION C... 217878 07/2025 HWY 111 PAVEMENT REHAB P... Retention Payable 401-0000-20600-69,069.35 9/25/2025 12:36:27 PM 317 Page 4 of 8 Demand Register Packet: APPKT04308 - 09/12/2025 JB Vendor Name Payment Number Description (Item) Account Name Account Number Amount GRANITE CONSTRUCTION C... 217878 07/2025 HWY 111 PAVEMENT REHAB P... Construction 401-0000-60188 1,381,387.07 HAMMEL, GREEN, AND ABR... 217879 07/2025 - CULTURAL CAMPUS DESIGN Design 401-0000-60185 12,560.90 ICON SHELTER SYSTEMS INC 217881 FB PARK SHADE STRUCTURES Construction 401-0000-60188 157,760.37 SPRUCE & GANDER, INC 217902 FINAL PAYMENT FOR SEATS, TABLES, BE... Construction 401-0000-60188 197,833.57 Fund 401 - CAPITAL IMPROVEMENT PROGRAMS Total: 1,680,472.56 Fund: 501 - FACILITY & FLEET REPLACEMENT WEX BANK 286 BMOFINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 DANIEL'S TIRE SERVICE, INC. 217872 DESERT CONCEPTS CONSTR... 217874 HILARIO, BENJAMIN 217880 HILARIO, BENJAMIN 217880 QUINN COMPANY 217895 QUINN COMPANY 217895 S&D CARWASH MANAGEME... 217897 Fund: 502 - INFORMATION TECHNOLOGY BMOFINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 CHARTER COMMUNICATIONS.. 217869 FRONTIER COMMUNICATIO... 217877 FRONTIER COMMUNICATIO... 217877 VISUAL EDGE IT, INC. 217910 VISUAL EDGE IT, INC. 217910 Fund: 503 - PARK EQUIP & FACILITY FUND DESERT CONCEPTS CONSTR... 217874 DESERT CONCEPTS CONSTR... 217874 DESERT CONCEPTS CONSTR... 217874 PACIFIC PLAY SYSTEMS, INC. 217890 SOUTHWEST AQUATICS INC 217900 Fund: 504 - INSURANCE FUND BMO FINANCIAL GROUP 217862 BMOFINANCIAL GROUP 217862 07/26-08/25/25 - FUEL VEHICLE WINDOW TINT DMV REGISTRATION FEE WATER TRUCK REPAIR 2017 RAM CHASSIS VIN G695728 TIRE R... EISENHOWER CASITA INTERIOR REPAIRS R/C VEHICLE WASHES FROM 101-3008-... VEHICLE WASHES SKID STEER REPAIRS SKID STEER REPAIRS 08/2025 - CAR WASH MEMBERSHIP Fuel & Oil 501-0000-60674 Parts, Accessories, and Upfits 501-0000-60675 Vehicle Repair & Maintenan... 501-0000-60676 Vehicle Repair & Maintenan... 501-0000-60676 Vehicle Repair & Maintenan... 501-0000-60676 City Bldg Repl/Repair 501-0000-71103 Vehicle Repair & Maintenan... 501-0000-60676 Vehicle Repair & Maintenan... 501-0000-60676 Vehicle Repair & Maintenan... 501-0000-60676 Vehicle Repair & Maintenan... 501-0000-60676 Vehicle Repair & Maintenan... 501-0000-60676 Fund 501 - FACILITY & FLEET REPLACEMENT Total: LQ ART CELEBRATION DOMAIN RENEW... Software Licenses 502-0000-60301 DOMAIN RENEWAL SECURE SITE OV FQ... Software Licenses 502-0000-60301 08/2025 - EMAIL PROTECTION SOFTWA... Software Licenses 502-0000-60301 LQ ART CELEBRATION DOMAIN RENEW... Software Licenses 502-0000-60301 09/2025 - MOBILE SERVICE MANAGEM... Software Licenses 502-0000-60301 08/2025 - HULU SUBSCRIPTION Cable/Internet - Utilities 502-0000-61400 APPLE MAC COMPUTER Computers 502-0000-80103 COMPUTERS FOR CAUCUS & STUDY SES... Computers 502-0000-80103 WINDOWS 11 SOFTWARE FOR STUDY 5... Software Licenses 502-0000-60301 65" TV/WALL MOUNTS FOR EAST CONF ... Machinery & Equipment 502-0000-80100 ACCESS POINT FOR CIVIC CENTER PARK... Machinery & Equipment 502-0000-80100 08/21-09/20/25 - WC FIBER CONNECT P... Cable/Internet - Utilities 502-0000-61400 08/25-09/24/25 - CH INTERNET Cable/Internet - Utilities 502-0000-61400 08/27-09/26/25 - BLACKHAWK/LQ PARK... Cable/Internet - Utilities 502-0000-61400 07/2025 - IT SERVICES Consultants 502-0000-60104 ACROBAT PRO, ADOBE, PHOTOSHOP LIC... Software Licenses 502-0000-60301 Fund 502 - INFORMATION TECHNOLOGY Total: ADAMS PARK PLAYGROUND EQUIPMEN... Parks 503-0000-71060 TEMPORARY FENCE INSTALLATION AT A... Parks 503-0000-71060 SPORTS COMPLEX CHAIN LINK FENCE IN... Parks 503-0000-71060 ADAMS PARK PLAYGOUND REPLACEME... Parks 503-0000-71060 REPLACE 15 SKIMMERS BASKETS Parks 503-0000-71060 Fund 503 - PARK EQUIP & FACILITY FUND Total: AMAZON REFUND Operating Supplies 504-1010-60420 FOOT REST Operating Supplies 504-1010-60420 Fund 504 - INSURANCE FUND Total: 8,903.06 780.00 420.66 180.60 217.09 14,850.00 505.00 470.00 230.00 1,095.33 779.61 28,431.35 159.33 4,584.00 499.00 119.99 400.00 87.99 1,958.84 2,731.30 199.99 1,010.28 2,186.92 914.15 127.98 127.48 42,092.92 35,884.53 93,084.70 25,000.00 5,000.00 14,950.00 355,780.00 Sri an 4U1,Z8]L.4U -7.60 30.42 22.82 Grand Total: 3,510,715.85 9/25/2025 12:36:27 PM 318 Page 5 of 8 Demand Register Packet: APPKT04308 - 09/12/2025 JB Fund Summary Fund 101-GENERAL FUND 201 - GAS TAX FUND 215 - LIGHTING & LANDSCAPING FUND 221 - AB 939 - CALRECYCLE FUND 235 - SO COAST AIR QUALITY FUND 241 - HOUSING AUTHORITY 247 - ECONOMIC DEVELOPMENT FUND 270-ART IN PUBLIC PLACES FUND 401 - CAPITAL IMPROVEMENT PROGRAMS 501 - FACILITY & FLEET REPLACEMENT 502 - INFORMATION TECHNOLOGY 503 - PARK EQUIP & FACILITY FUND 504 - INSURANCE FUND Account Number 101-0000-20307 101-0000-20948 101-0000-41505 101-0000-42300 101-1001-60320 101-1002-60101 101-1002-60320 101-1002-60400 101-1004-60103 101-1004-60104 101-1004-60129 101-1004-60320 101-1004-60340 101-1004-60420 101-1005-60103 101-1005-60320 101-1005-60400 101-1005-60420 101-1006-60103 101-1006-60400 101-1007-60402 101-1007-60403 101-1007-60470 101-2001-60109 101-2001-60161 101-2001-60162 101-2001-60163 101-2001-60164 101-2001-60166 101-2001-60167 101-2001-60169 101-2001-60170 101-2001-60171 101-2001-60172 101-2001-60174 101-2001-60175 101-2001-60176 101-2001-60692 101-2001-61300 101-2001-61400 101-2002-60110 101-2002-60410 Grand Total: Account Summary Account Name Due to Waste Managem... Add'I Life Insurance Pay Franchise Taxes - Burrtec Cash Over/Short Travel & Training Contract Services - Admi... Travel & Training Office Supplies Professional Services Consultants/Employee 5... Recruiting/Pre-Employm... Travel & Training Employee Recognition E... Operating Supplies Professional Services Travel & Training Office Supplies Operating Supplies Professional Services Office Supplies Forms, Copier Paper Citywide Supplies Postage LQ Police Volunteers Sheriff Patrol Police Overtime Target Team Community Services Offi... Gang Task Force Narcotics Task Force Motor Officer Dedicated Sargeants Dedicated Lieutenant Sheriff- Mileage Blood/Alcohol Testing Special Enforcement Fu... Sheriff - Other Public Safety Camera Sys... Telephone - Utilities Cable/Internet - Utilities Volunteers - Fire Printing Expense Amount 1,252,071.07 3,368.94 12,520.35 4,996.37 10,016.87 10,200.00 681.67 13,567.75 1,680,472.56 28,431.35 93,084.70 401,281.40 22.82 3,510,715.85 Expense Amount 816.48 27,207.93 -81.28 0.46 352.10 3,500.00 689.14 107.91 7,750.00 69.16 990.00 504.03 113.77 217.85 2,500.02 1,200.00 161.75 70.48 7,536.00 459.06 265.86 1,008.71 49.49 301.28 587,271.41 24,087.86 121,117.59 47,136.90 15,038.38 14,874.32 135,557.40 30,025.73 23,830.80 37,663.53 1,565.00 120.00 1,653.98 2,123.17 888.77 1,071.36 260.40 482.78 9/25/2025 12:36:27 PM 319 Page 6 of 8 Demand Register Packet: APPKT04308 - 09/12/2025 JB Account Summary Account Number Account Name Expense Amount 101-2002-61400 Cable/Internet - Utilities 120.02 101-2002-80101 Machinery & Equipment 3,047.56 101-3002-60420 Operating Supplies 1,441.22 101-3003-60149 Community Experiences 24,472.77 101-3003-60420 Operating Supplies 3,939.78 101-3005-60184 Fritz Burns Pool Mainten... 10,640.00 101-3005-60320 Travel & Training 311.10 101-3005-60427 Safety Gear 104.19 101-3005-60431 Materials/Supplies 5,893.48 101-3005-60690 Uniforms 114.49 101-3005-60691 Maintenance/Services 41,060.88 101-3007-60134 Promotional Items 1,127.74 101-3007-60137 Community Engagement 740.39 101-3007-60320 Travel & Training 300.00 101-3007-60351 Membership Dues 637.95 101-3007-60450 Sponsorships/Advertising 100.00 101-3007-60461 Marketing & Tourism Pr... 31,500.00 101-3008-60320 Travel & Training 169.25 101-3008-60431 Materials/Supplies 646.09 101-3008-60432 Tools/Equipment 294.31 101-3008-60690 Uniforms 68.70 101-3008-60691 Maintenance/Services -505.00 101-6001-60351 Membership Dues 250.00 101-6001-60400 Office Supplies 93.08 101-6002-60125 Temporary Agency Servi... 846.24 101-6002-60320 Travel & Training 75.00 101-6002-60351 Membership Dues -100.00 101-6003-60118 Plan Checks 1,316.25 101-6004-60103 Professional Services 4,089.60 101-6004-60120 Lot Cleaning/Gravel Prog... -15.61 101-6004-60320 Travel & Training 1,745.00 101-6004-60427 Safety Gear 935.95 101-6004-60690 Uniforms 340.16 101-6005-60320 Travel & Training 1,650.06 101-7001-60320 Travel & Training 67.70 101-7001-60400 Office Supplies 204.13 101-7002-60320 Travel & Training 67.70 101-7003-60320 Travel & Training 270.80 101-7003-60420 Operating Supplies 280.44 101-7003-60427 Safety Gear 705.59 101-7006-60320 Travel & Training 203.10 101-7006-60427 Safety Gear 188.63 101-7006-60480 Contributions to Other A... 12,072.75 201-7003-60427 Safety Gear 1,119.99 201-7003-60431 Materials/Supplies 627.32 201-7003-60433 Paint/Legends 1,113.34 201-7003-60690 Uniforms 508.29 215-7004-60420 Operating Supplies 84.76 215-7004-60427 Safety Gear 104.20 215-7004-60431 Materials/Supplies 4,850.20 215-7004-60691 Maintenance/Services 7,481.19 221-0000-41506 Burrtec AB 939 Fee -3.63 221-0000-60127 AB 939 Recycling Solutio... 5,000.00 235-0000-60186 CVAG 10,016.87 241-9101-60103 Professional Services 10,200.00 247-0000-60461 Marketing & Tourism Pr... 681.67 270-0000-60683 APP Maintenance & Disp... 13,567.75 401-0000-20600 Retention Payable -69,069.35 9/25/2025 12:36:27 PM 320 Page 7 of 8 Demand Register Packet: APPKT04308 - 09/12/2025 JB Account Summary Account Number Account Name Expense Amount 401-0000-60185 Design 12,560.90 401-0000-60188 Construction 1,736,981.01 501-0000-60674 Fuel & Oil 8,903.06 501-0000-60675 Parts, Accessories, and ... 780.00 501-0000-60676 Vehicle Repair & Maint... 3,898.29 501-0000-71103 City Bldg Repl/Repair 14,850.00 502-0000-60104 Consultants 42,092.92 502-0000-60301 Software Licenses 41,846.84 502-0000-61400 Cable/Internet - Utilities 1,257.60 502-0000-80100 Machinery & Equipment 3,197.20 502-0000-80103 Computers 4,690.14 503-0000-71060 Parks 401,281.40 504-1010-60420 Operating Supplies 22.82 Grand Total: 3,510,715.85 Project Account Summary Project Account Key Project Account Name Project Name Expense Amount **None** **None** **None** 1,322,953.99 201804E Landscape & Lighting Median Islan... Landscape & Lighting Median Isla 8,011.39 201901D Design Expense Village Art Plaza Promenade & Ci 12,560.90 202008CB Contribution Expense Avenue 48 Art and Music Line Pre 12,072.75 202102CT Construction Expense Fritz Burns Park Improvements 355,593.94 202216E General PW Maint - Desert Concep.. General PW Maintenance - Desei 75,050.00 202225CT Construction Expense Highway 111 Rehabilitation Proje 1,381,387.07 20225RP Retention Payable Highway 111 Rehabilitation Proje -69,069.35 202328E Citywide Landscape Maintenance ... Citywide Landscape Maintenance 4,320.00 202330E Park Landscape Maintenance Servi... Park Landscape Maintenance Ser 10,960.88 202423E Adams Park Playground Replacem... Adams Park Playground Replacer 355,780.00 202424E Pool & Water Feature Maintenance Pool & Water Feature Maintenar 10,640.00 9/11E September 11 Vigil Expense September 11 Vigil 396.94 GOLFE Golf Tour Expense Golf Tour 2,346.61 LQACE La Quinta Art Celebration - Expense La Quinta Art Celebration 279.32 LQFFE La Quinta Fall Festival Expense La Quinta Fall Festival 4,000.00 SABE Hunter Lopez Saber Light Vigil Exp... Hunter Lopez Saber Light Vigil 16,841.79 STVRE Short Term Vacation Rental Expen... Short Term Vacation Rental Tracl 6,589.62 Grand Total: 3,510,715.85 *Project codes are generally used to track Capital Improvement Program (CIP) projects, other large public works projects, developer deposits, or city-wide events. Normal operational expenditures are not project coded and, therefore, will report as "none" in this section. 9/25/2025 12:36:27 PM 321 Page 8 of 8 ��, QautrG, GEM of rbr DESERT - Vendor Name Payment Number Description (Item) Demand Register Packet: APPKT04314 - 09/19/2025 JB Account Name Account Number Amount Fund: 101-GENERAL FUND JENSEN, SHARLA W 287 1 DAY SESSION CLASSES Instructors 101-3002-60107 96.00 JENSEN, SHARLA W 287 PERSONAL TRAINING 3 SESSIONS CLASS... Instructors 101-3002-60107 264.00 JENSEN, SHARLA W 287 PERSONAL TRAINING 6 SESSIONS CLASS... Instructors 101-3002-60107 528.00 WILLIAMS, BILLEE 288 YOGA CLASS Instructors 101-3002-60107 72.80 WILLIAMS, BILLEE 288 YOGA FLOW CLASS Instructors 101-3002-60107 12.60 WILLIAMS, BILLEE 288 MAT PILATES DI CLASSES Instructors 101-3002-60107 50.40 Al AMERICAN 217913 WC GYM WIPES 4 CASES Operating Supplies 101-3002-60420 846.51 AIR & HOSE SOURCE, INC. 217914 PARK WATER FOUNTAINS HOSE PARTS Materials/Supplies 101-3005-60431 220.76 AIR EXCHANGE, INC 217915 FS #70 HOSE REPLACEMENT Maintenance/Services 101-2002-60691 1,844.64 ARTY PARTY 217916 CARICATURE ARTISTS FOR FALL FEST EV... Community Experiences 101-3003-60149 1,200.00 BUREAU VERITAS NORTH A... 217917 07/2025 - ONCALL BUILDING PLAN REVI... Plan Checks 101-6003-60118 14,405.66 CALIFORNIA BARRICADE, INC. 217918 08/2025 - CONSTRUCTION BARRICADES Contingency for Operations 101-1002-60510 864.00 CALIFORNIA BARRICADE, INC. 217918 09/2025 - CONSTRUCTION BARRICADES Contingency for Operations 101-1002-60510 864.00 COACHELLA VALLEY WATER D.. 217920 WATER SERVICE Water - Utilities 101-2002-61200 190.75 COACHELLA VALLEY WATER D.. 217920 WATER SERVICE Water -Pioneer Park - Utilities 101-3005-61207 2,113.34 COACHELLA VALLEY WATER D.. 217920 WATER SERVICE Water - Utilities 101-3008-61200 26.78 COACHELLA VALLEY WATER D.. 217920 WATER SERVICE Water - Utilities 101-2002-61200 736.38 COACHELLA VALLEY WATER D.. 217920 WATER SERVICE Water -Monticello Park - Utili... 101-3005-61201 1,765.16 COACHELLA VALLEY WATER D.. 217920 WATER SERVICE Water -Fritz Burns Park - Utili... 101-3005-61204 352.11 COACHELLA VALLEY WATER D.. 217920 WATER SERVICE Water -Seasons Park - Utilities 101-3005-61208 28.14 COACHELLA VALLEY WATER D.. 217920 WATER SERVICE Water -Community Park - Util.. 101-3005-61209 2,753.37 COACHELLA VALLEY WATER D.. 217920 WATER SERVICE PM 10 - Dust Control 101-7006-60146 45.49 DEPARTMENT OF ANIMAL SE... 217921 07/2025 - ANIMAL SERVICES Animal Shelter Contract Servi... 101-6004-60197 37,587.24 DEPARTMENT OF JUSTICE 217922 06/2025 - PRE EMPLOYMENT FINGERPR... Recruiting/Pre-Employment 101-1004-60129 64.00 DESERT CONCEPTS CONSTR... 217923 LQ PARK FITNESS COURT SURFACE MAI... Maintenance/Services 101-3005-60691 3,995.00 DESERT CONCEPTS CONSTR... 217923 08/25-08/27/25 - LQ PARK FIELD IMPRO... Maintenance/Services 101-3005-60691 4,320.00 DESERT CONCEPTS CONSTR... 217923 08/25-08/27/25 - LQ PARK FIELD IMPRO... Maintenance/Services 101-3005-60691 2,880.00 DESERT CONCEPTS CONSTR... 217923 09/03-09/05/25 - LQ PARK LANDSCAPE ... Maintenance/Services 101-3005-60691 3,240.00 DESERT CONCEPTS CONSTR... 217923 LQ PARK SIDEWALK REPAIR Maintenance/Services 101-3005-60691 4,200.00 DESERT CONCEPTS CONSTR... 217923 8/30-8/31/25 - LQ PARK SPLASH PAD PIL Maintenance/Services 101-3005-60691 7,800.00 DESERT RESORT MANAGEM... 217924 09/2025 - SECURITY PATROL SERVICES Professional Services 101-6004-60103 4,089.60 ESPINOZA, DAVID C. 217925 11/11/25 CHAIRS FOR VETERANS CERE... Community Experiences 101-3003-60149 422.50 FIRST CHOICE A/C & HEATING.. 217926 FS #93 HVAC BLOWOUT DRAIN MAINTE... Maintenance/Services 101-2002-60691 335.00 FIRST CHOICE A/C & HEATING.. 217926 EISENHOWER CASITA HVAC MAINTENA... HVAC 101-3008-60667 346.00 FIRST CHOICE A/C & HEATING.. 217926 EISENHOWER CASITA HVAC REPAIRS HVAC 101-3008-60667 2,161.00 FRONTIER COMMUNICATIO... 217927 09/2025 - LQ PARK PHONE Telephone - Utilities 101-3005-61300 62.58 FRONTIER COMMUNICATIO... 217927 08/28-09/27/25 - SPORTS COMPLEX PH... Telephone - Utilities 101-3005-61300 56.22 GANNETT CALIFORNIA LOCAL.., 217928 08/01/25 - FEE ADOPTION AD Advertising 101-1005-60450 517.19 GANNETT CALIFORNIA LOCAL.., 217928 08/22/2025 - DH PH AFTM 2025-0002 Advertising 101-6002-60450 530.60 GANNETT CALIFORNIA LOCAL.., 217928 08/29/25 - PC PH SRR DA Advertising 101-6002-60450 525.60 GRAINGER 217930 CH ROOF LEAK DIVERTER Materials/Supplies 101-3008-60431 131.57 HOME DEPOT CREDIT SERVIC... 217934 FS #70 PORTABLE AIR CONDITIONER Maintenance/Services 101-2002-60691 889.44 HOME DEPOT CREDIT SERVIC... 217934 ELECTRICAL COVERS Fritz Burns Pool Maintenance 101-3005-60184 41.96 HOME DEPOT CREDIT SERVIC... 217934 WOOD DECK SCREWS Materials/Supplies 101-3005-60431 58.67 HOME DEPOT CREDIT SERVIC... 217934 PAINTING SUPPLIES Materials/Supplies 101-3005-60431 141.29 HOME DEPOT CREDIT SERVIC... 217934 WOOD DECK SCREWS Materials/Supplies 101-3005-60431 65.18 HOME DEPOT CREDIT SERVIC... 217934 SAFETY BARRIER FENCE & CAUTION TAPE Materials/Supplies 101-3005-60431 417.46 HOME DEPOT CREDIT SERVIC... 217934 PLANTS Materials/Supplies 101-3005-60431 428.32 HOME DEPOT CREDIT SERVIC... 217934 POWER TOOL BATTERIES & RADIO Materials/Supplies 101-3005-60431 628.58 HOME DEPOT CREDIT SERVIC... 217934 PLANTS Materials/Supplies 101-3005-60431 263.14 HOME DEPOT CREDIT SERVIC... 217934 TOWELS & POOL SALT Materials/Supplies 101-3005-60431 66.86 HOME DEPOT CREDIT SERVIC... 217934 IRRIGATION SPRINKLER VALVE Materials/Supplies 101-3005-60431 32.59 HOME DEPOT CREDIT SERVIC... 217934 GARDEN SOIL Materials/Supplies 101-3005-60431 173.35 9/25/2025 12:35:16 PM 322 Page 1 of 6 Demand Register Packet: APPKT04314 - 09/19/2025 JB Vendor Name Payment Number Description (Item) Account Name Account Number Amount HOME DEPOT CREDIT SERVIC... 217934 THREADED ROD & HARDWARE Materials/Supplies 101-3005-60431 345.51 HOME DEPOT CREDIT SERVIC... 217934 POOL SALT & PAINTER'S TAPE & GLOVES Materials/Supplies 101-3005-60431 96.06 HOME DEPOT CREDITSERVIC... 217934 LUMBER Materials/Supplies 101-3005-60431 48.49 HOME DEPOT CREDIT SERVIC... 217934 HARDWARE & PENCILS Materials/Supplies 101-3005-60431 100.44 HOME DEPOT CREDITSERVIC... 217934 HARDWARE Materials/Supplies 101-3005-60431 75.51 HOME DEPOT CREDITSERVIC... 217934 HARDWARE Materials/Supplies 101-3005-60431 57.39 HOME DEPOT CREDITSERVIC... 217934 HARDWARE Materials/Supplies 101-3005-60431 161.39 HOME DEPOT CREDITSERVIC... 217934 SCREWS Materials/Supplies 101-3005-60431 65.21 HOME DEPOT CREDIT SERVIC... 217934 DRYWALL KNIVES Tools/Equipment 101-3005-60432 32.47 HOME DEPOT CREDIT SERVIC... 217934 RODENT CONTROL SUPPLIES Materials/Supplies 101-3008-60431 203.81 HOME DEPOT CREDIT SERVIC... 217934 SPACKLE & WALL TEXTURE SPRAY Materials/Supplies 101-3008-60431 35.30 HOME DEPOT CREDIT SERVIC... 217934 METAL ROD Materials/Supplies 101-3008-60431 15.83 HOME DEPOT CREDITSERVIC... 217934 DRAIN CLEARING MATERIALS Materials/Supplies 101-3008-60431 60.11 HOME DEPOT CREDIT SERVIC... 217934 LIGHT BULBS Materials/Supplies 101-3008-60431 31.58 HOME DEPOT CREDITSERVIC... 217934 HARDWARE Materials/Supplies 101-3008-60431 79.78 HOME DEPOT CREDIT SERVIC... 217934 PAINT & PAINT SUPPLIES Operating Supplies 101-7003-60420 453.93 HOME DEPOT CREDIT SERVIC... 217934 GLOVES & PRESSURE WASHER FITTINGS Operating Supplies 101-7003-60420 86.28 HOME DEPOT CREDIT SERVIC... 217934 ROOF FLASHING Operating Supplies 101-7003-60420 50.26 HOME DEPOT CREDIT SERVIC... 217934 GLOVES & PUMP ARMOR FLUID Operating Supplies 101-7003-60420 80.32 HOME DEPOT CREDIT SERVIC... 217934 PAINT ROLLER & SCREWDRIVER BITS Operating Supplies 101-7003-60420 24.33 HOME DEPOT CREDIT SERVIC... 217934 ANGLE GRINDER & TOOL BATTERY Tools/Equipment 101-7003-60432 391.18 JOE ESPINOSA 217940 BAND FOR FALL FEST EVENT Community Experiences 101-3003-60149 2,000.00 KILEY & ASSOCIATES 217941 07/2025 FEDERAL LOBBYIST SERVICES Contract Services - Administr... 101-1002-60101 3,500.00 LOWE'S HOME IMPROVEME... 217942 LUMBER Materials/Supplies 101-3005-60431 585.41 LOWE'S HOME IMPROVEME... 217942 SAW BLADES & CHEST COOLER Materials/Supplies 101-3005-60431 81.55 LOWE'S HOME IMPROVEME... 217942 PAINTSUPPLIES Materials/Supplies 101-3005-60431 46.88 LOWE'S HOME IMPROVEME... 217942 POOL SKIMMER Materials/Supplies 101-3005-60431 25.81 LOWE'S HOME IMPROVEME... 217942 ADHESIVE & LUMBER Materials/Supplies 101-3005-60431 69.75 LOWE'S HOME IMPROVEME... 217942 PAINTING SUPPLIES Materials/Supplies 101-3005-60431 51.70 LOWE'S HOME IMPROVEME... 217942 SUPPLIES FOR EISENHOWER CASITA Materials/Supplies 101-3008-60431 24.87 LOWE'S HOME IMPROVEME... 217942 LIGHT FIXTURE Materials/Supplies 101-3008-60431 108.46 LOWE'S HOME IMPROVEME... 217942 SUPPLIES FOR WC Materials/Supplies 101-3008-60431 46.29 LOWE'S HOME IMPROVEME... 217942 SUPPLIES FOR EISENHOWER CASITA Materials/Supplies 101-3008-60431 902.85 LOWE'S HOME IMPROVEME... 217942 DISPOABLE GLOVES & PADLOCKS Materials/Supplies 101-3008-60431 133.62 LOWE'S HOME IMPROVEME... 217942 GARBAGE DISPOSAL WRENCH & TOILET ... Materials/Supplies 101-3008-60431 74.34 LOWE'S HOME IMPROVEME... 217942 LIGHT BULBS Materials/Supplies 101-3008-60431 61.97 LOWE'S HOME IMPROVEME... 217942 LED PANEL LIGHTS Materials/Supplies 101-3008-60431 387.31 LOWE'S HOME IMPROVEME... 217942 STRAPS & MOUNTING BRACKET Materials/Supplies 101-3008-60431 11.90 LOWE'S HOME IMPROVEME... 217942 TAPE MEASURE Tools/Equipment 101-3008-60432 16.01 LOWE'S HOME IMPROVEME... 217942 PAINT SPRAYER Tools/Equipment 101-3008-60432 288.24 LOWE'S HOME IMPROVEME... 217942 SHADE SAILS Operating Supplies 101-7003-60420 107.73 LOWE'S HOME IMPROVEME... 217942 SAW BLADES & DRAWER DIVIDER & CUT... Operating Supplies 101-7003-60420 106.86 LOWE'S HOME IMPROVEME... 217942 POCKET KNIFE & QUICK CHAIN LINKS Operating Supplies 101-7003-60420 42.06 LOWE'S HOME IMPROVEME... 217942 BLOWER Tools/Equipment 101-7003-60432 261.57 MERCHANTS BUILDING MAI... 217943 08/2025 CITYWIDE JANITORIAL SERVICES Janitorial 101-3008-60115 15,833.98 NORTH AMERICAN RESCUE,... 217946 TWO CRISIS RESPONSE KITS FOR POLICE Special Enforcement Funds 101-2001-60175 700.50 0 P TACTICAL 217948 TWO BALLISTIC HELMETS FOR POLICE Special Enforcement Funds 101-2001-60175 2,846.48 OCEAN SPRINGS TECH INC 217949 FB POOL EQUIPMENT ROOM REPAIRS Fritz Burns Pool Maintenance 101-3005-60184 272.94 PALMS TO PINES PRINTING 217950 KIDS GLOVES PROMO ITEMS Promotional Items 101-3007-60134 1,252.65 PALMS TO PINES PRINTING 217950 TRANSLUCENT SUNGLASSES PROMO IT... Promotional Items 101-3007-60134 1,514.30 PATTON DOOR & GATE 217951 FS #93 DOOR MAINTENANCE Maintenance/Services 101-2002-60691 125.00 PLAZA TOWING INC. 217952 08/22/25 ABANDONED VEHICLE ABATE... Vehicle Abatement 101-6004-60119 300.00 QUADIENT FINANCE USA, INC. 217954 10/13/25-01/12/26 CITYWIDE POSTAGE... Postage Machine 101-1007-60661 2,855.35 RASA/ERIC NELSON 217955 PMER 2025-0005 ONCALL MAP CHECKI... Map/Plan Checking 101-7002-60183 650.00 RASA/ERIC NELSON 217955 PMER 2025-0004 ONCALL MAP CHECKI... Map/Plan Checking 101-7002-60183 350.00 SAVI CONSTRUCTION INC 217956 CITYWIDE CONCRETE REPAIRS Maintenance/Services 101-7003-60691 91,049.50 SHIRY, TERESA 217957 BALLROOM LATIN SWING CLASS Instructors 101-3002-60107 87.50 SHIRY, TERESA 217957 BALLROOM BEGINNING DI CLASSES Instructors 101-3002-60107 21.00 SIGNATURE TINT 217958 CITYWIDE PARK SIGNS Materials/Supplies 101-3005-60431 3,702.50 SMITH PIPE & SUPPLY CO 217959 BALL VALVE Materials/Supplies 101-3005-60431 7.42 9/25/2025 12:35:16 PM 323 Page 2 of 6 Demand Register Packet: APPKT04314 - 09/19/2025 JIB Vendor Name Payment Number Description (Item) Account Name Account Number Amount SMITH PIPE & SUPPLY CO 217959 IRRIGATION PARTS Materials/Supplies 101-3005-60431 286.59 SUNLINE TRANSITAGENCY 217960 07/2025 - SUNLINE PASSES Due to SunLine 101-0000-20305 153.00 SUNLINE TRANSIT AGENCY 217960 07/2025 - SUNLINE PASSES Miscellaneous Revenue 101-0000-42301 -10.50 THE LOCK SHOP, INC 217963 LQ PARK REKEY Maintenance/Services 101-3008-60691 843.19 VISIT GREATER PALM SPRINGS 217965 FY 24/25 TOT RECONCILIATION ADDITI... VGPS - Visit Greater Palm Spr... 101-3007-60151 11,754.04 WHITE CAP, L.P. 217967 LIFT LANYARDS Materials/Supplies 101-3008-60431 780.08 Fund 101 - GENERAL FUND Total: 252,557.71 Fund: 201 - GAS TAX FUND H&E EQUIPMENT SERVICES,... 217931 08/26-08/27/25 - WHEEL LOADER TOOL... Equipment Rental 201-7003-61701 1,184.60 LOWE'S HOME IMPROVEME... 217942 PAINTSUPPLIES Paint/Legends 201-7003-60433 71.60 ZUMAR INDUSTRIES INC 217968 07/2025 SPEED LIMITS SIGNS + POSTS,... Traffic Control Signs 201-7003-60429 4,510.37 ZUMAR INDUSTRIES INC 217968 08/2025 SPEED LIMIT, STOP, ROUNDAB... Traffic Control Signs 201-7003-60429 4,363.51 Fund 201 - GAS TAX FUND Total: 10,130.08 Fund: 202 - LIBRARY & MUSEUM FUND CINTAS FIRST AID & SAFETY 217919 LIBRARY FIRST AID SERVICES Operating Supplies 202-3004-60420 79.76 CINTAS FIRST AID & SAFETY 217919 MUSEUM FIRST AID SERVICES Operating Supplies 202-3006-60420 13.75 COACHELLA VALLEY WATER D.. 217920 WATER SERVICE Water - Utilities 202-3006-61200 741.59 FRONTIER COMMUNICATIO... 217927 09/04-10/03/25 - LIBRARY DIA CIRCUIT Cable/Internet - Utilities 202-3004-61400 704.15 LOWE'S HOME IMPROVEME... 217942 BUCKETS Maintenance/Services 202-3006-60691 9.46 LOWE'S HOME IMPROVEME... 217942 PAINTSUPPLIES Maintenance/Services 202-3006-60691 110.01 LOWE'S HOME IMPROVEME... 217942 FLOOD LIGHT BULBS Maintenance/Services 202-3006-60691 115.56 LOWE'S HOME IMPROVEME... 217942 SPACKLING COMPOUND & DROP CLOTHS Maintenance/Services 202-3006-60691 67.94 MERCHANTS BUILDING MAI... 217943 08/2025 LIBRARY JANITORIAL SERVICES Janitorial 202-3004-60115 3,264.32 MERCHANTS BUILDING MAI... 217943 08/2025 MUSEUM JANITORIAL SERVICES Janitorial 202-3006-60115 989.54 Fund 202 - LIBRARY & MUSEUM FUND Total: 6,096.08 Fund: 215 - LIGHTING & LANDSCAPING FUND COACHELLA VALLEY WATER D.. 217920 WATER SERVICE Water - Medians - Utilities 215-7004-61211 3,346.13 COACHELLA VALLEY WATER D.. 217920 WATER SERVICE Water - Medians - Utilities 215-7004-61211 2,226.09 DESERT CONCEPTS CONSTR... 217923 9/2-9/5/25 WASHINGTON PARKWAY LA... Maintenance/Services 215-7004-60691 6,840.00 FRONTIER COMMUNICATIO... 217927 09/07-10/06/25 - PHONE SERVICE Electric - Utilities 215-7004-61116 152.36 HOME DEPOT CREDIT SERVIC... 217934 PLANTS Materials/Supplies 215-7004-60431 135.96 HOME DEPOT CREDIT SERVIC... 217934 PLANTS Materials/Supplies 215-7004-60431 216.71 HORIZON LIGHTING 217936 08/2025 - L&L LIGHTING MAINTENANCE Consultants 215-7004-60104 6,827.08 IMPERIAL IRRIGATION DIST 217938 ELECTRICITY SERVICE Electric - Utilities 215-7004-61116 338.54 IMPERIAL IRRIGATION DIST 217938 ELECTRICITY SERVICE Electric - Medians - Utilities 215-7004-61117 234.68 LOWE'S HOME IMPROVEME... 217942 ROPE & MASONRY ANCHORS Materials/Supplies 215-7004-60431 30.12 LOWE'S HOME IMPROVEME... 217942 PLANTS Materials/Supplies 215-7004-60431 97.59 LOWE'S HOME IMPROVEME... 217942 PADLOCKS Materials/Supplies 215-7004-60431 33.35 PWLC II, INC 217953 LA FONDA LOT WALL CLEAN UP Maintenance/Services 215-7004-60691 2,040.00 THE SHERWIN-WILLIAMS CO. 217964 PAINT Materials/Supplies 215-7004-60431 2,218.68 THE SHERWIN-WILLIAMS CO. 217964 PAINT Materials/Supplies 215-7004-60431 1,655.72 Fund 215 - LIGHTING & LANDSCAPING FUND Total: 26,393.01 Fund: 401 - CAPITAL IMPROVEMENT PROGRAMS HAMMEL, GREEN, AND ABR... 217932 08/2025 - CULTURAL CAMPUS DESIGN Design 401-0000-60185 4,720.96 HERMANN DESIGN GROUP I... 217933 08/2025 - LQ CITYWIDE IRRIGATION DES... Design 401-0000-60185 6,074.50 HERMANN DESIGN GROUP I... 217933 08/2025 - LQ DOG PARK IMPROVEMENT... Design 401-0000-60185 10,000.00 HOME DEPOT CREDIT SERVIC... 217934 GLOVES & SPRAY PAINT Construction 401-0000-60188 33.38 HOME DEPOT CREDIT SERVIC... 217934 PIPE CAP & RESPIRATOR Construction 401-0000-60188 54.30 MSA CONSULTING INC 217944 07/2025 - HWY 111 RESURFACING PROJ... Technical 401-0000-60108 7,725.00 NV5 217947 07/2025 - WASHINGTON/AVE 50 SIDEW... Design 401-0000-60185 10,550.00 T.Y. LIN INTERNATIONAL 217961 7/1-8/31/25 DUNES PALMS RD BRIDGE... Construction 401-0000-60188 18,369.92 TERRA NOVA PLANNING & R... 217962 07/01-08/31/25 - CULTURAL CAMPUS D... Design 401-0000-60185 2,186.25 TERRA NOVA PLANNING & R... 217962 07/1-08/31/25 FRITZ BURNS PARK DESI... Design 401-0000-60185 3,817.50 WEBB, ALBERTA ASSOCIATES 217966 05/25-06/30/25 WASHINGTON/CV LINK... Design 401-0000-60185 22,487.00 WEBB, ALBERTA ASSOCIATES 217966 07/01-08/23/25 WASHINGTON/CV LINK... Design 401-0000-60185 25,633.35 Fund 401 - CAPITAL IMPROVEMENT PROGRAMS Total: 111,652.16 Fund: 501 - FACILITY & FLEET REPLACEMENT HOME DEPOT CREDIT SERVIC... 217934 ENGINE MAINTENANCE SUPPLIES Parts, Accessories, and Upfits 501-0000-60675 20.84 LOWE'S HOME IMPROVEME... 217942 BATTERY JUMP STARTER & JUMPER CAB... Parts, Accessories, and Upfits 501-0000-60675 215.90 9/25/2025 12:35:16 PM 324 Page 3 of 6 Demand Register Packet: APPKT04314 - 09/19/2025 JB Vendor Name Payment Number Description (Item) Account Name Account Number Amount MYFLEETCENTER 217945 2021 GMC YUKON VIN R326641 OIL CH... Vehicle Repair & Maintenan... 501-0000-60676 193.99 THE LOCK SHOP, INC 217963 KEY REMOTE FOR FORD ESCAPE Parts, Accessories, and Upfits 501-0000-60675 271.88 Fund 501 - FACILITY & FLEET REPLACEMENT Total: 702.61 Fund: 502 - INFORMATION TECHNOLOGY FRONTIER COMMUNICATIO... 217927 09/03-10/02/25 - 2ND CITY INTERNET LI... Cable/Internet - Utilities 502-0000-61400 2,619.13 FRONTIER COMMUNICATIO... 217927 09/04-10/03/25 - WC DIA CIRCUIT Cable/Internet - Utilities 502-0000-61400 704.15 FRONTIER COMMUNICATIO... 217927 09/04-10/03/25 - DSL SVC Cable/Internet - Utilities 502-0000-61400 727.82 HOSTEK 217937 10/24/25-10/23/26 GOLFTOUR DOMAIN.. Software Licenses 502-0000-60301 128.70 ITI DIGITAL, LLC 217939 FY25/26 WEBSITE CALENDAR & BUSINE... Software Licenses 502-0000-60301 28,600.00 Fund 502 - INFORMATION TECHNOLOGY Total: 32,779.80 Fund: 504 - INSURANCE FUND CINTAS FIRST AID & SAFETY 217919 FB POOL FIRST AID SERVICES Operating Supplies 504-1010-60420 24.18 CINTAS FIRST AID & SAFETY 217919 LANDSCAPE MAINT FIRST AID SERVICES Operating Supplies 504-1010-60420 33.73 CINTAS FIRST AID & SAFETY 217919 PW YARD FIRST AID SERVICES Operating Supplies 504-1010-60420 45.50 CINTAS FIRST AID & SAFETY 217919 WC FIRST AID SERVICES Operating Supplies 504-1010-60420 72.41 CINTAS FIRST AID & SAFETY 217919 CH FIRST AID SERVICES Operating Supplies 504-1010-60420 104.66 Fund 504 - INSURANCE FUND Total: 280.48 Fund: 601 - SILVERROCK RESORT GARDAWORLD 217929 08/2025 - SRR ARMORED SVCS TIER PRIC.. Bank Fees 601-0000-60455 166.89 HOME DEPOT CREDIT SERVIC... 217934 AIR FILTER GRILLE Repair & Maintenance 601-0000-60660 51.09 Fund 601 - SILVERROCK RESORT Total: 217.98 Grand Total: 440,809.91 9/25/2025 12:35:16 PM 325 Page 4 of 6 Demand Register Packet: APPKT04314 - 09/19/2025 JB Fund Summary Fund 101-GENERAL FUND 201 - GAS TAX FUND 202 - LIBRARY & MUSEUM FUND 215 - LIGHTING & LANDSCAPING FUND 401 - CAPITAL IMPROVEMENT PROGRAMS 501 - FACILITY & FLEET REPLACEMENT 502 - INFORMATION TECHNOLOGY 504 - INSURANCE FUND 601 - SILVERROCK RESORT Account Number 101-0000-20305 101-0000-42301 101-1002-60101 101-1002-60510 101-1004-60129 101-1005-60450 101-1007-60661 101-2001-60175 101-2002-60691 101-2002-61200 101-3002-60107 101-3002-60420 101-3003-60149 101-3005-60184 101-3005-60431 101-3005-60432 101-3005-60691 101-3005-61201 101-3005-61204 101-3005-61207 101-3005-61208 101-3005-61209 101-3005-61300 101-3007-60134 101-3007-60151 101-3008-60115 101-3008-60431 101-3008-60432 101-3008-60667 101-3008-60691 101-3008-61200 101-6002-60450 101-6003-60118 101-6004-60103 101-6004-60119 101-6004-60197 101-7002-60183 101-7003-60420 101-7003-60432 101-7003-60691 101-7006-60146 201-7003-60429 201-7003-60433 201-7003-61701 202-3004-60115 202-3004-60420 Grand Total: Account Summary Account Name Due to SunLine Miscellaneous Revenue Contract Services - Admi... Contingency for Operati... Recruiting/Pre-Employm... Advertising Postage Machine Special Enforcement Fu... Maintenance/Services Water - Utilities Instructors Operating Supplies Community Experiences Fritz Burns Pool Mainten... Materials/Supplies Tools/Equipment Maintenance/Services Water -Monticello Park-... Water -Fritz Burns Park-... Water -Pioneer Park - Uti.. Water -Seasons Park - Ut... Water -Community Park ... Telephone - Utilities Promotional Items VGPS - Visit Greater Palm.. Janitorial Materials/Supplies Tools/Equipment HVAC Maintenance/Services Water - Utilities Advertising Plan Checks Professional Services Vehicle Abatement Animal Shelter Contract ... Map/Plan Checking Operating Supplies Tools/Equipment Maintenance/Services PM 10 - Dust Control Traffic Control Signs Paint/Legends Equipment Rental Janitorial Operating Supplies Expense Amount 252,557.71 10,130.08 6,096.08 26,393.01 111,652.16 702.61 32,779.80 280.48 217.98 440,809.91 Expense Amount 153.00 -10.50 3,500.00 1,728.00 64.00 517.19 2,855.35 3,546.98 3,194.08 927.13 1,132.30 846.51 3,622.50 314.90 8,303.81 32.47 26,435.00 1,765.16 352.11 2,113.34 28.14 2,753.37 118.80 2,766.95 11,754.04 15,833.98 3,089.67 304.25 2,507.00 843.19 26.78 1,056.20 14,405.66 4,089.60 300.00 37,587.24 1,000.00 951.77 652.75 91,049.50 45.49 8,873.88 71.60 1,184.60 3,264.32 79.76 9/25/2025 12:35:16 PM 326 Page 5 of 6 Demand Register Packet: APPKT04314 - 09/19/2025 JB Account Summary Account Number Account Name Expense Amount 202-3004-61400 Cable/Internet - Utilities 704.15 202-3006-60115 Janitorial 989.54 202-3006-60420 Operating Supplies 13.75 202-3006-60691 Maintenance/Services 302.97 202-3006-61200 Water -Utilities 741.59 215-7004-60104 Consultants 6,827.08 215-7004-60431 Materials/Supplies 4,388.13 215-7004-60691 Maintenance/Services 8,880.00 215-7004-61116 Electric - Utilities 490.90 215-7004-61117 Electric - Medians - Utilit... 234.68 215-7004-61211 Water - Medians -Utiliti... 5,572.22 401-0000-60108 Technical 7,725.00 401-0000-60185 Design 85,469.56 401-0000-60188 Construction 18,457.60 501-0000-60675 Parts, Accessories, and ... 508.62 501-0000-60676 Vehicle Repair & Maint... 193.99 502-0000-60301 Software Licenses 28,728.70 502-0000-61400 Cable/Internet - Utilities 4,051.10 504-1010-60420 Operating Supplies 280.48 601-0000-60455 Bank Fees 166.89 601-0000-60660 Repair & Maintenance 51.09 Grand Total: 440,809.91 Project Account Summary Project Account Key Project Account Name Project Name Expense Amount **None** **None** **None** 181,800.15 111205CT Construction Expense Dune Palms Bridge Imp/BRLKS-5z 18,369.92 201804E Landscape & Lighting Median Islan... Landscape & Lighting Median Isla 10,714.40 201901D Design Expense Village Art Plaza Promenade & Ct 6,907.21 202102D Design Expense Fritz Burns Park Improvements 3,817.50 202215E Landscape Maintenance Refurbis... Landscape Maint Refurbishment- 2,040.00 202216E General PW Maint - Desert Concep.. General PW Maintenance - Desei 15,995.00 202225T Technical Expense Highway 111 Rehabilitation Proje 7,725.00 202303D Design Expense Washington St Sidewalk Imp (Ave 10,550.00 202309D Design Expense Washington Street Connector to 48,120.35 202328E Citywide Landscape Maintenance ... Citywide Landscape Maintenance 7.42 202329E Citywide Lighting Maintenance Srv... Citywide Lighting Maintenance Si 6,827.08 202330E Park Landscape Maintenance Servi... Park Landscape Maintenance Ser 10,726.59 202407D Design Expense Citywide Dog Park Improvements 10,000.00 202415D Design Expense Citywide Irrigation Upgrade 6,074.50 202422E On -Call Public Works Concrete Ma... On -Call Public Works Concrete M 91,049.50 202424E Pool & Water Feature Maintenance Pool & Water Feature Maintenar 272.94 2526TMICT Construction Expense FY25/26 Traffic Maintenance Imr 87.68 GOLFE Golf Tour Expense Golf Tour 128.70 LQFFE La Quinta Fall Festival Expense La Quinta Fall Festival 3,200.00 SRRE SilverRock Events Expense SilverRock Events 1,728.00 STVRE Short Term Vacation Rental Expen... Short Term Vacation Rental Tracl 4,089.60 VETSE Veterans Day Ceremony Expense Veterans Day Ceremony 422.50 XPARKE X Park Expenses X Park 155.87 Grand Total: 440,809.91 *Project codes are generally used to track Capital Improvement Program (CIP) projects, other large public works projects, developer deposits, or city-wide events. Normal operational expenditures are not project coded and, therefore, will report as "none" in this section. 9/25/2025 12:35:16 PM 327 Page 6 of 6 City of La Quinta Bank Transactions 09/01/2025-09/19/2025 Wire Transaction Listed below are the wire transfers from 09/01 /2025-09/19/2025. Wire Transfers: 09/02/2025 - WIRE TRANSFER - CALPERS 09/02/2025 - WIRE TRANSFER - CALPERS 09/02/2025 - WIRE TRANSFER - CALPERS 09/02/2025 - WIRE TRANSFER - CALPERS 09/03/2025 - WIRE TRANSFER - LANDMARK 09/05/2025 -WIRE TRANSFER - AMERITAS 09/05/2025 -WIRE TRANSFER - AMERITAS 09/05/2025 -WIRE TRANSFER - AMERITAS 09/05/2025 -WIRE TRANSFER - AMERITAS 09/09/2025 - WIRE TRANSFER - CALPERS 09/11/2025 - WIRE TRANSFER - SILVERROCK PHASE 1 LLCM 09/12/2025 - WIRE TRANSFER - LQCEA 09/15/2025 - WIRE TRANSFER - CALPERS 09/15/2025 - WIRE TRANSFER - CALPERS 09/15/2025 - WIRE TRANSFER - CALPERS 09/15/2025 - WIRE TRANSFER - MIDAMERICA 09/16/2025 - WIRE TRANSFER - STERLING 09/16/2025 - WIRE TRANSFER - J&H ASSET PROPERTY MANAGEMENT, INC 09/18/2025 - WIRE TRANSFER - MID AMERICA 09/18/2025 - WIRE TRANSFER - LANDMARK 09/19/2025 - WIRE TRANSFER - COLONIAL LIFE TOTAL WIRE TRANSFERS OUT ATTACHMENT 2 $308.62 $6,572.55 $16,033.86 $37,949.00 $166,744.17 $3.46 $96.80 $757.69 $7,838.80 $163,485.19 $1,091,971.36 $535.96 $6,603.52 $16,222.06 $37,606.02 $22,286.37 $1,426.45 $49,102.58 $22,286.37 $206,905.21 $8,820.78 $1,863,556.82 (1)These funds represent a loan under the Debtor -in -Possession (DIP) financing. This disbursement does not reflect the City financing of construction or development at SilverRock. 328 CONSENT CALENDAR ITEM NO. 8 City of La Quinta CITY COUNCIL MEETING: October 7, 2025 STAFF REPORT AGENDA TITLE: RECEIVE AND FILE REVENUE AND EXPENDITURE REPORT DATED J U LY 31, 2025 RECOMMENDATION Receive and file revenue and expenditure report dated July 31, 2025. EXECUTIVE SUMMARY • The report summarizes the City's year-to-date (YTD) and month -to -date (MTD) revenues and expenditures for July 2025 (Attachment 1). • These reports are also reviewed by the Financial Advisory Commission. FISCAL IMPACT — None BACKGROUND/ANALYSIS Below is a summary of the column headers used on the Revenue and Expenditure Summary Reports: Original Total Budget — represents revenue and expenditure budgets the Council adopted in June 2025 for fiscal year 2025/26. Current Total Budget — represents original adopted budgets plus any Council approved budget amendments from throughout the year. The 2024/25 operating and Capital Improvement Project carryovers to 2025/26 will be processed after the year-end audit is completed. Period Activity — represents actual revenues received and expenditures outlaid in the reporting month. Fiscal Activity — represents actual revenues received and expenditures outlaid YTD. Variance Favorable/(Unfavorable) - represents the dollar difference between YTD collections/expenditures and the current budgeted amount. Percent Used — represents the percentage activity as compared to budget YTD. 329 July2025 Revenues Comparison to 2024 MTD YTD Budget YTD Budget General Fund (GF) $ 403,923 $ 403,923 0.44% $ 855,869 1.03% Al Funds $ 749,010 $ 749,010 0.44% $ 2,014,774 1.28% July2025 Expenditures Comparison to 2024 Percent of Percent of MTD YTD Budget YTD Budget General Fund $ 757,288 $ 757,288 0.82% $ 702,476 0.84% Payroll (GF) $ 362,422 $ 362,422 2.38% $ 492,338 3.48% Al Funds $ 2,657,155 $ 2,657,155 1.70% $ 2,328,761 1.60% i op rive Kevenuenncome sources Tor jui General Fund Non -General Fund STVR Registration Fee $ 80,650 Allocated Interest $ 236,922 Building Plan Check Fees $ 74,263 Developer Impact Fees- Transportation $ 67,703 Burrtec Administrative Cost Reimb. $ 70,547 Developer Impact Fees- Parks & Rec $ 25,272 Public Works Development Plan Check $ 60,409 Technology Enhancement Surcharge $ 17,498 Building Permits $ 57,700 Developer Impact Fees- Civic Center $ 16,030 Too Five Expenditures/Outlays for Jul General Fund Non -General Fund X-Park Programming $ 103,994 Liability Insurance $ 469,820 Visit Greater Palm Springs $ 86,309 Software Licenses(') $ 392,444 Professional Services $ 55,547 Homelessness Assistance $ 375,000 Membership Dues $ 33,301 Workers Comp Insurance $ 302,846 Community Experiences $ 25,165 SilverRock Maintenance $ 119,774 (')ClearGov budgeting, Tyler business license and permits, Microsoft Office, Zoom phones, LaserFiche, Carahsoft asset management, Granicus website hosting, NeoGov HR, Aurigo, Tracker treasury reporting. Revenues are not received uniformly throughout the year, resulting in peaks and valleys. For example, large property tax payments are usually received in December and May. Similarly, Redevelopment Property Tax Trust Fund payments are typically received in January and June. Any timing imbalance of revenue receipts versus expenditures is funded from the City's cash flow reserve. Unlike revenues, expenditures are more likely to be consistent from month to month. However, large debt service payments or CIP expenditures can cause swings. Prepared by: Rosemary Hallick, Principal Management Analyst Approved by: Claudia Martinez, Finance Director Attachment: 1. Revenue and Expenditure Report for July 31, 2025 330 ATTACHMENT 1 I City Council Month Revenue Report act Group Summary For Fiscal: 2025/26 Period Ending: 07/31/2025 CALIFORNIA Variance Original Current Period Fiscal Favorable Percent Fund Total Budget Total Budget Activity Activity (Unfavorable) Used 101 - GENERAL FUND 92,242,254.00 92,242,254.00 403,923.24 403,923.24-91,838,330.76 0.44% 105 - DISASTER RECOVERY FUND 172,000.00 172,000.00-5,164.70-5,164.70-177,164.70 3.00% 201- GAS TAX FUND 3,217,705.00 3,217,705.00-2,680.61-2,680.61-3,220,385.61 0.08% 202 - LIBRARY & MUSEUM FUND 4,420,000.00 4,420,000.00-12,226.29-12,226.29-4,432,226.29 0.28% 203 - PUBLIC SAFETY FUND (MEASURE G) 6,000.00 6,000.00-178.20-178.20-6,178.20 2.97% 210- FEDERAL ASSISTANCE FUND 160,100.00 160,100.00 0.00 0.00-160,100.00 0.00% 212 - SLESA (COPS) FUND 121,000.00 121,000.00-656.77-656.77-121,656.77 0.54% 215 - LIGHTING & LANDSCAPING FUND 3,862,100.00 3,862,100.00-501.63-501.63-3,862,601.63 0.01% 221- AB 939 - CALRECYCLE FUND 91,000.00 91,000.00-622.65-622.65-91,622.65 0.68% 223 - MEASURE A FUND 1,900,000.00 1,900,000.00-4,271.40-4,271.40-1,904,271.40 0.22% 226 - EMERGENCY MANAGEMENT PERFORMANCE GRANT (EMPG) 10,000.00 10,000.00 0.00 0.00-10,000.00 0.00% 227 - STATE HOMELAND SECURITY PROGRAMS (SHSP) 5,400.00 5,400.00 0.00 0.00-5,400.00 0.00% 230 - CASp FUND, AB 1379 24,000.00 24,000.00 1,421.45 1,421.45-22,578.55 5.92% 231- SUCCESSOR AGCY PA 1 RORF 20,333,000.00 20,333,000.00 0.00 0.00-20,333,000.00 0.00% 235 - SO COAST AIR QUALITY FUND 57,000.00 57,000.00-139.45-139.45-57,139.45 0.24% 237 - SUCCESSOR AGCY PA 1 ADMIN 12,320.00 12,320.00-184.15-184.15-12,504.15 1.49% 241- HOUSING AUTHORITY 1,666,000.00 1,666,000.00-10,629.77-10,629.77-1,676,629.77 0.64% 243 - RDA LOW -MOD HOUSING FUND 130,000.00 130,000.00-4,495.49-4,495.49-134,495.49 3.46% 247 - ECONOMIC DEVELOPMENT FUND 109,000.00 109,000.00-149.60-149.60-109,149.60 0.14% 249 - SA 2011 LOW/MOD BOND FUND (Refinanced in 2016) 86,000.00 86,000.00 0.00 0.00-86,000.00 0.00% 250-TRANSPORTATION DIF FUND 579,000.00 579,000.00 62,240.94 62,240.94-516,759.06 10.75% 251 - PARKS & REC DIF FUND 203,000.00 203,000.00 23,776.75 23,776.75-179,223.25 11.71% 252 - CIVIC CENTER DIF FUND 160,000.00 160,000.00 14,211.41 14,211.41-145,788.59 8.88% 253 - LIBRARY DEVELOPMENT DIF 30,500.00 30,500.00 4,764.00 4,764.00-25,736.00 15.62% 254 - COMMUNITY & CULTURAL CENTERS DIF 95,000.00 95,000.00 10,670.57 10,670.57-84,329.43 11.23% 257 - FIRE PROTECTION DIF 51,000.00 51,000.00 4,175.66 4,175.66-46,824.34 8.19% 259 - MAINTENANCE FACILITIES DIF FUND 47,000.00 47,000.00 4,764.05 4,764.05-42,235.95 10.14% 270-ART IN PUBLIC PLACES FUND 181,000.00 181,000.00 8,151.63 8,151.63-172,848.37 4.50% 299 - INTEREST ALLOCATION FUND 0.00 0.00 236,922.20 236,922.20 236,922.20 0.00% 310 - LQ FINANCE AUTHORITY DEBT SERVICE 1,000.00 1,000.00 0.00 0.00-1,000.00 0.00% 401- CAPITAL IMPROVEMENT PROGRAMS 24,293,033.00 24,293,033.00 9,900.00 9,900.00-24,283,133.00 0.04% 501 - FACILITY & FLEET REPLACEMENT 1,745,500.00 1,745,500.00-4,884.18-4,884.18-1,750,384.18 0.28% 502 - INFORMATION TECHNOLOGY 4,195,000.00 4,195,000.00 12,788.12 12,788.12-4,182,211.88 0.30% 503 - PARK EQUIP & FACILITY FUND 1,035,000.00 1,035,000.00-3,655.14-3,655.14-1,038,655.14 0.35% 504 - INSURANCE FUND 1,395,941.00 1,395,941.00-1,109.82-1,109.82-1,397,050.82 0.08% 601- SILVERROCK RESORT 5,470,000.00 5,470,000.00 2,912.00 2,912.00-5,467,088.00 0.05% 760 - SUPPLEMENTAL PENSION PLAN 7,000.00 7,000.00 -61.89 -61.89-7,061.89 0.88% 761- CERBT OPEB TRUST 40,000.00 40,000.00 0.00 0.00-40,000.00 0.00% 762 - PARS PENSION TRUST 200,000.00 200,000.00 0.00 0.00-200,000.00 0.00% Report Total: 168,353,853.00 168,353,853.00 749,010.28 749,010.28-167,604,842.72 0.44% Accounts are subject to adjusting entries and audit. The City's Annual Comprehensive Financial Report, published annually, is the best resource for all final audited numbers. 331 Page 1 of 3 City Council Month Expense Report Group Summary For Fiscal: 2025/26 Period Ending: 07/31/2025 Variance Original Current Period Fiscal Favorable Percent Fund Total Budget Total Budget Activity Activity (Unfavorable) Used 101 - GENERAL FUND 92,822,188.00 92,822,188.00 757,288.11 757,288.11 92,064,899.89 0.82% 105 - DISASTER RECOVERY FUND 4,993,504.00 4,993,504.00 0.00 0.00 4,993,504.00 0.00% 201 - GAS TAX FUND 3,224,885.00 3,224,885.00 30,074.83 30,074.83 3,194,810.17 0.93% 202 - LIBRARY & MUSEUM FUND 3,149,391.00 3,149,391.00 3,988.81 3,988.81 3,145,402.19 0.13% 210- FEDERAL ASSISTANCE FUND 160,000.00 160,000.00 0.00 0.00 160,000.00 0.00% 212 - SLESA (COPS) FUND 100,000.00 100,000.00 0.00 0.00 100,000.00 0.00% 215 - LIGHTING & LANDSCAPING FUND 3,854,500.00 3,854,500.00 22,365.64 22,365.64 3,832,134.36 0.58% 221 - AB 939 - CALRECYCLE FUND 205,000.00 205,000.00 0.00 0.00 205,000.00 0.00% 223 - MEASURE A FUND 1,124,132.00 1,124,132.00 0.00 0.00 1,124,132.00 0.00% 226 - EMERGENCY MANAGEMENT PERFORMANCE GRANT (EMPG) 10,000.00 10,000.00 0.00 0.00 10,000.00 0.00% 227 - STATE HOMELAND SECURITY PROGRAMS (SHSP) 5,000.00 5,000.00 0.00 0.00 5,000.00 0.00% 230 - CASp FUND, AB 1379 5,500.00 5,500.00 0.00 0.00 5,500.00 0.00% 231 - SUCCESSOR AGCY PA 1 RORF 4,271,147.00 4,271,147.00 0.00 0.00 4,271,147.00 0.00% 235 - SO COAST AIR QUALITY FUND 40,000.00 40,000.00 0.00 0.00 40,000.00 0.00% 237 - SUCCESSOR AGCY PA 1 ADMIN 11,000.00 11,000.00 1,800.00 1,800.00 9,200.00 16.36% 241 - HOUSING AUTHORITY 1,709,533.00 1,709,533.00 15,069.40 15,069.40 1,694,463.60 0.88% 243 - RDA LOW -MOD HOUSING FUND 325,000.00 325,000.00 375,000.00 375,000.00 -50,000.00 115.38% 247 - ECONOMIC DEVELOPMENT FUND 31,500.00 31,500.00 0.00 0.00 31,500.00 0.00% 249 - SA 2011 LOW/MOD BOND FUND (Refinanced in 2016) 150,000.00 150,000.00 0.00 0.00 150,000.00 0.00% 250-TRANSPORTATION DIF FUND 979,109.00 979,109.00 0.00 0.00 979,109.00 0.00% 253 - LIBRARY DEVELOPMENT DIF 15,000.00 15,000.00 0.00 0.00 15,000.00 0.00% 254 - COMMUNITY & CULTURAL CENTERS DIF 482,561.00 482,561.00 0.00 0.00 482,561.00 0.00% 259 - MAINTENANCE FACILITIES DIF FUND 362,526.00 362,526.00 0.00 0.00 362,526.00 0.00% 270 - ART IN PUBLIC PLACES FUND 233,000.00 233,000.00 18,553.75 18,553.75 214,446.25 7.96% 310 - LQ FINANCE AUTHORITY DEBT SERVICE 1,000.00 1,000.00 0.00 0.00 1,000.00 0.00% 401 - CAPITAL IMPROVEMENT PROGRAMS 24,293,033.00 24,293,033.00 0.00 0.00 24,293,033.00 0.00% 501 - FACILITY & FLEET REPLACEMENT 1,745,913.00 1,745,913.00 8,628.53 8,628.53 1,737,284.47 0.49% 502 - INFORMATION TECHNOLOGY 4,195,820.00 4,195,820.00 409,745.28 409,745.28 3,786,074.72 9.77% 503 - PARK EQUIP & FACILITY FUND 935,000.00 935,000.00 16,590.81 16,590.81 918,409.19 1.77% 504 - INSURANCE FUND 1,242,600.00 1,242,600.00 775,626.06 775,626.06 466,973.94 62.42% 601 - SILVERROCK RESORT 5,517,000.00 5,517,000.00 222,423.47 222,423.47 5,294,576.53 4.03% 760 - SUPPLEMENTAL PENSION PLAN 12,850.00 12,850.00 0.00 0.00 12,850.00 0.00% 761 - CERBT OPEB TRUST 1,500.00 1,500.00 0.00 0.00 1,500.00 0.00% 762 - PARS PENSION TRUST 30,000.00 30,000.00 0.00 0.00 30,000.00 0.00% Report Total: 156,239,192.00 156,239,192.00 2,657,154.69 2,657,154.69 153,582,037.31 1.70% Accounts are subject to adjusting entries and audit. The City's Annual Comprehensive Financial Report, published annually, is the best resource for all final audited numbers. 332 Page 2 of 3 Fund Descriptions Fund # Name Notes 101 General Fund The primary fund of the City used to account for all revenue and expenditures of the City; a broad range of municipal activities are provided through this fund. 105 Disaster Recovery Fund Accounts for use of one-time federal funding designed to deliver relief to American workers and aid in the economic recovery iin the wake of COVID-19. The American Rescue Plan Act (ARPA) was passed by Congress in 2021 to provide fiscal recovery funds to state and local governments. 201 Gas Tax Fund Gasoline sales tax allocations received from the State which are restricted to street -related expenditures. 202 Library and Museum Fund Revenues from property taxes and related expenditures for library and museum services. 203 Public Safety Fund General Fund Measure G sales tax revenue set aside for public safety expenditures. 210 Federal Assistance Fund Community Development Block Grant (CDBG) received from the federal government and the expenditures of those resources. 212 SLESF (COPS) Fund Supplemental Law Enforcement Services Funds (SLESF) received from the State for law enforcement activities. Also known as Citizen's Option for Public Safety (COPS). 215 Lighting & Landscaping Fund Special assessments levied on real property for city-wide lighting and landscape maintenance/improvements and the expenditures of those resources. 220 Quimby Fund Developer fees received under the provisions of the Quimby Act for park development and improvements. 221 AB939 Fund/Cal Recycle Franchise fees collected from the city waste hauler that are used to reduce waste sent to landfills through recycling efforts, Assembly Bill (AB) 939, 223 Measure A Fund County sales tax allocations which are restricted to street -related expenditures. 224 TUMF Fund Developer -paid Transportation Uniform Mitigation Fees (TUMF) utilized for traffic projects in Riverside County. 225 Infrastructure Fund Developer fees for the acquisition, construction or improvement of the City's infrastructure as defined by Resolution 226 Emergency Mgmt. Performance Grant (EMPG) Federal Emergency Management Agency (FEMA) grant for emergency preparedness. 227 State Homeland Security Programs (SHSP) Federal Emergency Management Agency (FEMA) grant for emergency preparedness. 230 CASP Fund, AB1379 / SB1186 Certified Access Specialist (CASp) program fees for ADA Accessibility Improvements; derived from Business License renewals. Assembly Bill AB 1379 and Senate Bill SB 1186. 231 Successor Agency PA 1 RORF Fund Successor Agency (SA) Project Area (PA) 1 Redevelopment Obligation Retirement Fund (RORF) for Redevelopment Property Tax Trust Fund (RPTTF) taxes received for debt service payments on recognized obligations of the former Redevelopment Agency (RDA). 235 SO Coast Air Quality Fund (AB2766, PM10) Contributions from the South Coast Air Quality Management District. Uses are limited to the reduction and control of airborne pollutants. Assembly Bill AB 2766. 237 Successor Agency PA 1 Admin Fund Successor Agency (SA) Project Area (PA) 1 for administration of the Recognized Obligation Payment Schedule ROPS associated with the former Redevelopment Agency (RDA). 241 Housing Authority Activities of the Housing Authority which is to promote and provide quality affordable housing. 243 RDA Low -Moderate Housing Fund Activities of the Housing Authority which is to promote and provide quality affordable housing. Accounts for RDA loan repayments 20 /o for Housing) and housing programs,. 244 Housing Grants Activites related Local Early Action Planning (LEAP) and SB2 grants for housing planning and development. 247 Economic Development Fund Proceeds from sale of City -owned land and transfers from General Fund for future economic development. 249 SA 2011 Low/Mod Bond Fund Successor Agency (SA) low/moderate housing fund; 2011 bonds refinanced in 2016. 250 Transportation DIF Fund Developer impact fees collected for specific public improvements - transportation related. 251 Parks & Rec. DIF Fund Developer impact fees collected for specific public improvements - parks and recreation. 252 Civic Center DIF Fund Developer impact fees collected for specific public improvements - Civic Center. 253 Library Development DIF Fund Developer impact fees collected for specific public improvements - library. 254 Community Center DIF Fund Developer impact fees collected for specific public improvements - community center. 255 Street Facility DIF Fund Developer impact fees collected for specific public improvements - streets. 256 Park Facility DIF Fund Developer impact fees collected for specific public improvements - parks. 257 Fire Protection DIF Fund Developer impact fees collected for specific public improvements - fire protection. 259 Maintenance Facilities DIF Fund Developer impact fees collected for specific public improvements - maintenance facilities. 270 Art In Public Places Fund Developer fees collected in lieu of art placement; utilized for acquisition, installation and maintenance of public artworks. 275 LQ Public Safety Officer Fund Annual transfer in from General Fund; distributed to public safety officers disabled or killed in the line of duty. 299 Interest Allocation Fund Interest earned on investments. 310 LQ Finance Authority Debt Service Fund Accounted for the debt service the Financing Authority's outstanding debt and any related reporting requirements. This bond was fully paid in October 2018. 401 Capital Improvement Program Fund Planning, design, and construction of various capital projects throughout the City. 405 SA PA 1 Capital Improvement Fund Successor Agency (SA) Project Area (PA) 1 bond proceeds restricted by the bond indenture covenants. Used for SilverRock infrastructure improvements. 501 Equipment Replacement Fund Internal Service Fund for vehicles, heavy equipment, and related facilities. 502 Information Technology Fund Internal Service Fund for computer hardware and software and phone systems. 503 Park Equipment & Facility Fund Internal Service Fund for park equipment and facilities. 504 Insurance Fund Internal Service Fund for city-wide insurance coverages. 601 SilverRock Resort Fund Enterprise Fund for activities of the city -owned golf course. 602 SilverRock Golf Reserve Fund Enterprise Fund for golf course reserves for capital improvements. 760 Supplemental Pension Plan PARS Account) iSupplemental pension savings plan for excess retiree benefits to general employees of the City. 761 Other Post Benefit Obligation Trust (OPEB) For retiree medical benefits and unfunded liabilities. 762 Pension Trust Benefit (PARS Account) For all pension -related benefits and unfunded liabilities. 333 Page 3 of 3 334 City of La Quinta BUSINESS SESSION ITEM NO. 1 CITY COUNCIL MEETING: October 7, 2025 STAFF REPORT AGENDA TITLE: APPROVE FIRST ROUND OF COMMUNITY SERVICES GRANTS FOR FISCAL YEAR 2025/26 RECOMMENDATION Approve first round of Community Services Grants for fiscal year 2025/26. EXECUTIVE SUMMARY • The City allocates grant funding to non -profits that serve La Quinta residents and the Coachella Valley. • Council considers Community Services Grants and Economic Development/Marketing and Sponsorship funding requests three times per fiscal year (FY). • Nineteen (19) grant applications were received and reviewed by the Community Services Grant Ad Hoc Committee (Committee) for the first round. FISCAL IMPACT A total of $100,000 is allocated in FY 2025/26 to the Community Services Grants (Account No. 101-3001-60510). Nineteen (19) organizations submitted a total of $85,000 in grant requests. The Committee recommends funding $41,500 of these requests. If approved, the remaining balance in the Community Services Grants account would be $58,500. !ACKGROUND/ANALYSIS Grants are awarded to 501(c)3 non-profit groups and organizations that benefit La Quinta residents and strengthen the business community. Grants are limited to $5,000 per request and consecutive FY funding is not allowed (Attachment 1). The Starter Grant category is for first time applicants and allows up to $500 of funding and eligibility to apply again next FY. The Committee, comprised of Mayor Pro Tern McGarrey and Councilmember Pena, reviewed all applications which are summarized in Attachment 2 and recommend the following: 335 Applicant Requested Committee Recommendation American Heart Association $5,000 $500* Autism Society Inland Empire $5,000 $5,000 Coachella Valley Housing Coalition $5,000 $3,000 Colonel Mitchell Paige PTO $5,000 $500* Desert Access Mobility $5,000 $0 Do the Right Thing $5,000 $5,000 First Tee Coachella Valley $5,000 $5,000 Friends of the Palm Springs Animal Shelter $5,000 $0 Hidden Harvest $5,000 $5,000 LQ Dance Team Boosters $4,000 $4,000 Microenterprise Collaborative Southern California $500 $0 OMG Youth Sports and Enrichment $5,000 $0 PS Test Inc. $5,000 $0 Read with Me $5,000 $2,500 Riverside County Works $500 $0 Rotary Club of La Quinta $5,000 $5,000 Seiden — Juku $5,000 $3,000 Society's Outkasts Animal Rescue $5,000 $0 Variety Children's Charity of the Desert $5,000 $3,000 Grant Total $85,000 $41,500 *Starter Grant All applications are available for review and on file with the Community Services Department. ALTERNATIVES Council may modify and/or deny funding for any or all grant applicants. Prepared by: Michael Calderon, Community Services Senior Management Analyst Approved by: Christina Calderon, Community Services Deputy Director Attachments: 1. Community Services Grant Overview 2. Recommended Grant Requests 336 ATTACHMENT 1 The City of La Quinta offers a grant program for community services support. • Community Services Grants go to recognized nonprofit organizations that benefit the residents of La Quinta. • Grants are considered and funded up to three times per year (rounds). • All three rounds are held within the city's fiscal year (July 1—June 30). • Organizations that have been funded are ineligible for funding for the next fiscal year. • All funding requests are limited to an amount not to exceed $5,000. @lMC'IA\OII/AIVIMLi■21lei l: Q: How much money is available? A: Requests are limited to an amount not to exceed $5,000. Any funding amount requested could be adjusted to a lesser amount at the discretion and approval of the City Council. Q: Who can apply for this grant? A: Applications are accepted from recognized nonprofit organizations that directly benefit La Quinta residents. Second consideration is given to nonprofit organizations that indirectly affect the quality of life for the residents of La Quinta. Q: Can an individual apply for this grant? A: No, individuals are not eligible for funding through the City of La Quinta grant program. Q: What if my organization is applying for a grant for the first time? A: Organizations applying to the Community Services Grant program for the first time are eligible for a 'Starter Grant". The "Starter Grant" allows first time applicants grant funding up to $500 if they demonstrate their commitment to provide services to the La Quinta community. If an organization is selected to receive the 'Starter Grant" they would then be eligible to apply to the program again the next fiscal year. Q: Can my organization request "seed" money for a start-up? A: Yes, organizations can request "seed" money, however they are required to obtain matching funds from other sources in the some fiscal year before the grant funds will be released. Q: Is my organization eligible if we received Community Development Block Grant (CDBG) funds? A: No, organizations that receive CDBG funds from the City of La Quinta during the same fiscal year are not eligible for funding. Q: Is my organization eligible if we received Community Services Grant (CSG) funds in the past? A: Yes, and No. Organizations that were funded before June 30, 2024 are now eligible to apply. Organizations that were funded after July 1, 2024 are ineligible for funding and must wait until July 1, 2026 to re -apply. J:u What you need to do: 1. Determine eligibility based on the information provided above. If eligible, proceed to step 2. 2. Review the grants calendar for submission dates (in Z). If within due date, proceed to step 3. 3. Fill out the grant application. Once completed proceed to step 4. 4. Submit application via email to ccalderon@laquintaca.gov, or in person to the Wellness Center. a. The Wellness Center is located at 78450 Avenida La Fonda, La Quinta, CA 92253. The next steps: 5. Applications are received and reviewed by staff to ensure eligibility and completeness. 6. Completed grant applications will be reviewed by a designated Grant Review Committee (in a. The committee's review includes consideration of the funding amount, the intended use of the funds, and the organizations service to the community. If the committee approves the application, they will then recommend for approval to the City Council. 7. Committee approved applications are submitted to the City Council for consideration and approval (in ) 8. If approved, funds will be dispersed to grantee (in white) and can be spent over a 12-month period. 9. Funding expenditures will need to be reported to the city at 6 months and a full reconciliation form with supporting documentation will be due before the end of the 12-month period. For more information on the City of La Quinta Grant program, please contact the Community Resources Department at the Wellness Center 760.564-0096 or at 760.777.7183 337 338 Fiscal Year 2025/26 ATTACHMENT 2 Recommended Grant Requests — First Round 1. The American Heart Association (AHA) is requesting $5,000 in Community Services grant funding to provide one CPR in Schools Training Kit to a La Quinta school, which will equip students to learn CPR, choking relief, and AED use. The kits include 10 inflatable manikins, 10 kneel mats, USB drives with training videos, replacement airways, manikin wipes, and 10 AED simulators. The reusable and portable kits allow teachers to train hundreds of students annually across multiple graduating classes and can be utilized at various schools across the district. AHA is a first time -time applicant for the Community Services Grant. The Grant Ad Hoc Committee recommends funding a $500 Starter Grant. The organization will be eligible to apply for the Community Services Grant program again for FY2026-27. 2. Autism Society Inland Empire (ASIE) is requesting $5,000 in Community Services grant funding to support the Halloween Spooktacular & Safety Fair, which will provide a safe, sensory -friendly environment for children with Autism and developmental disabilities, and their families. The event is scheduled for October 18, 2025 and will take place at La Quinta Park. Funds will assist with the purchase of candy, giveaways, supplies (Trick -Or -Treat bags, sensory kits, games), and rentals (chairs and tables). On average the event attracts 500 — 600 participants. In fiscal year 2023/24 ASIE was awarded $2,500 in grant funding to support the 2023 Spooktacular event. The Grant Ad Hoc Committee recommends funding $5,000. 3. Coachella Valley Housing Coalition (CVHC) is requesting $5,000 in Community Services grant funding to provide senior residents of Washington St. Apartments with blankets this December. Funding will also help support senior activities and programs that promote physical health and social connection including Zumba, chair fitness, arts & crafts, bingo, and card games. In fiscal year 2023/24 CVHC was awarded $5,000 in grant funding to purchase IT equipment (computers and printers) at Wolff Waters Place. The Grant Ad Hoc Committee recommends funding $3,000. 4. Colonel Mitchell Paige Middle School PTO (CMP PTO) is requesting $5,000 in Community Services grant funding to purchase supplies and materials for CMP's Project Based Learning (PBL) programs including robotics kits, science lab equipment, art supplies, curriculum subscriptions, trainings, field trips, and guest speakers. CMP PTO is a first-time applicant for the Community Services Grant. The Grant Ad Hoc Committee recommends funding a $500 Starter Grant. The organization will be eligible to apply for the Community Services Grant program again for FY2026-27. 5. Do the Right Thing Greater Palm Springs (DTRT) is requesting $5,000 in Community Services grant funding to support the DTRT scholarships which are awarded annually to graduating seniors from La Quinta, Horizon, and Summit High Schools. Funds will also help recognize DTRT nominees and be applied towards the purchase of DTRT t-shirts, prizes, and awards. In fiscal year 2023/24, DTRT was awarded $5,000 in grant funding to support the scholarship program. The Grant Ad Hoc Committee recommends funding $5,000. 6. First Tee Coachella Valley is requesting $5,000 in Community Services grant funding to support physical education golf programs at Benjamin Franklin, Harry S. Truman, and John Adams Elementary Schools, and after school programs at The Golf Center. Funds will be 339 applied to operational needs including registration fee waivers, equipment, and support/training for school personnel. In fiscal year 2023/24, First Tee was awarded $5,000 to support similar programs. The Grant Ad Hoc Committee recommends funding $5,000. 7. Hidden Harvest is requesting $5,000 in Community Services grant funding to purchase utility carts and shelving units to support food distributions in the Coachella Valley, helping volunteers distribute food items more safely and efficiently. Hidden Harvest distributes food to senior citizens at Seasons and Mira Flores in La Quinta year-round. In fiscal year 2023/24, Hidden Harvest was awarded $5,000 to support food distribution programs. The Grant Ad Hoc Committee recommends funding $5,000. 8. La Quinta High School Dance Team Boosters (LQHS Dance) is requesting $4,000 in Community Services grant funding to help cover the fees to participate in their first dance competition. LQHS Dance is comprised of 41 dancers (91" — 12t" grade) and performs at school sports games, community events, and regionally against other schools. LQHS Dance is a first time -time applicant for the Community Services Grant. The Grant Ad Hoc Committee recommends funding $4,000. 9. Read with Me Volunteer Programs (RWM) is requesting $5,000 in Community Services grant funding to help recruit, register, and train 20 additional RWM volunteers for Truman Elementary School. Funding will allow RWM to tutor an additional 40 students and provide 370 hours of one-on-one reading tutoring. RWM's mission is to help children from low-income and limited English-speaking families learn to read, comprehend, and speak English. In fiscal year 2023/24 RWM was awarded a $500 Starter Grant which was used to support programs at Truman Elementary School. The Grant Ad Hoc Committee recommends funding $2,500. 10. Rotary Club of La Quinta (Rotary) is requesting $5,000 in Community Services grant funding to provide scholarships for ten La Quinta High School students to attend the annual Rotary Youth Leadership Awards Camp (RYLA) over the next two years. RYLA is a three-day conference that develops leadership skills in high school juniors. In fiscal year 2023/24 Rotary was awarded $4,950 to support RYLA. The Grant Ad Hoc Committee recommends funding $5,000. 11. Seiden-Juku is requesting $5,000 in Community Services grant funding to support Karate - Do and Para -Karate athletes, parents, and caregivers. Funds would help cover the cost of travel expenses including flights, food, transportation, and hotel accommodations for athletes competing in various Para -Karate competitions. In fiscal year 2023/24 Seiden-Juku was awarded a $500 Starter Grant which was used to purchase karate uniforms. The Grant Ad Hoc Committee recommends funding $3,000. 12. Variety Children's Charity of the Desert (VCCD) is requesting $5,000 in Community Services grant funding to support La Quinta families with children with disabilities by covering the costs of developmental screenings, adaptive mobility equipment, inclusive programs, and one-on-one support. In fiscal year 2023/24 VCCD was awarded $5,000 to support similar programs and services. The Grant Ad Hoc Committee recommends funding $3,000. 340 Grant Requests not recommended for funding and/or did not meet the criteria in the Grant Guidelines include: 13. Desert Mobility Access (DAM) is requesting $5,000 in Community Services grant funding to support ongoing vehicle maintenance to continue providing non -emergency transportation for adults and seniors with disabilities in the Coachella Valley. DAM's fleet includes handicapped -accessible vehicles, and the organization prioritizes low-income and vulnerable populations by transporting passengers to medical appointments, pharmacies, therapy sessions, grocery stores, and community resources. Funds would be applied towards oil changes, brake service, wheelchair lift inspections, and tire replacements, preventing costly breakdowns and ensuring continuation of service. DAM is a first time -time applicant for the Community Services Grant. The Grant Ad Hoc Committee does not recommend funding for the organization at this time. 14. Friends of the Palm Springs Animal Shelter (FPSAS) is requesting $5,000 in Community Services grant funding to support efforts at the Desert Wildlife Center in Indio (former Coachella Valley Wild Bird Center) and provide medical care, food, and shelter for sick, injured, and orphaned birds. In fiscal year 2024/25 FPSAS was awarded a $500 Starter Grant which was used to purchase an incubator to care for injured or abandoned fledglings. The Grant Ad Hoc Committee does not recommend funding for the organization at this time. 15. Microenterprise Collaborative of Southern California (MCSC) is requesting a $500 Starter Grant to help organize and host a workshop for small business owners and entrepreneurs in La Quinta. The workshop will include access to seasoned mentors and information resources, critical business skills training, and financial literacy. MCSC is a first time -time applicant for the Community Services Grant. The Grant Ad Hoc Committee does not recommend funding for the organization at this time. 16. OMG Youth Sports and Enrichment (OMGYS) is requesting $5,000 in Community Services grant funding to bring 4 — 6 free Thrive360 program sessions to La Quinta. Funds would cover the cost of staff stipends, equipment, supplies, and outreach. The Thrive360 program promotes mental health through movement and mentoring and seeks to offer safe spaces for exercise, resilience building, and family connection. OMGYS is a first time -time applicant for the Community Services Grant. The Grant Ad Hoc Committee does not recommend funding for the organization at this time. 17. PS Test Inc. is requesting $5,000 in Community Services grant funding to provide Coachella Valley residents access to free testing, prevention, and treatment services for HIV, hepatitis, and other STI's. PS Test's goal is to provide testing for 900 patients including at least 20 in La Quinta. In fiscal year 2023/24 PS Test Inc. was awarded a $500 Starter Grant which was used to purchase test supplies. The Grant Ad Hoc Committee does not recommend funding for the organization at this time. 18. Riverside County Works (RCW) is requesting a $500 Starter Grant to help host their annual employment expo that seeks to connect job seekers and employers. The expo will feature local businesses, vendors, and employment resources. Funds will support the costs for marketing and outreach to attract employers and participants. RCW is a first-time applicant for the Community Services Grant. The Grant Ad Hoc Committee does not recommend funding for the organization at this time. 341 19. Society's Outkasts Animal Rescue (SOAR) is requesting $5,000 in Community Services grant funding to support one spay and neuter clinic in La Quinta. The clinic can spay/neuter up to 32 animals and provide up to 300 vaccines or microchips. SOAR is a first time -time applicant for the Community Services Grant. The Grant Ad Hoc Committee does not recommend funding for the organization at this time. 342 343 All branches of the military identified by the Department of Veterans Affairs, including reservists who served a minimum of six (6) years, and merchant marines who served in active duty, are considered. As part of the Veteran’s Recognition Ceremony, Council will recognize each veteran with a certificate of appreciation and call attention to the Veterans Acknowledgement Monuments with their newly added name. The following twenty (20) nominations are submitted for consideration: 2025 Veteran Nominees Last Name Middle Name First Name Branch Rank Years of Service Stiles F. William U.S. Air Force SGT 1948-1952 Burt J. Kenneth U.S. Army SSG 2003-2015 Camarella C. Kenneth U.S. Army SGT 1964-1967 Kohal W. Dane U.S. Army SGT 1965-1968 McQuade W. David U.S. Army SP4 1971-1972 Millar, III A. Robert U.S. Army CPT 1994-1998 Schnell R. James U.S. Army SGT 1942-1945 Tibbetts A. Leroy U.S. Army LTC 1972-1975 McSweeney, III F. John U.S. Marine Corps SGT 1967-1968 Morales R. Martin U.S. Marine Corps MSGT 1982-2004 Rojo A. Santos U.S. Marine Corps LCPL 2004-2010 Crider A. Jack U.S. Navy CTI3 1968-1971 Denney L. Donald U.S. Navy PO3 1951-1955 Fleming L. Terry U.S. Navy EON3 1964-1967 Gunnell H. William U.S. Navy LTJG 1968-1970 Longworth J. Francis U.S. Navy LTJG 1942-1944 Mayeux D. Lester U.S. Navy STS2 1961-1965 Plouffe J. Thomas U.S. Navy EN2 1964-1968 Plumley R. Thomas U.S. Navy MR3 1969-1971 Sheets H. Thomas U.S. Navy AMS3 1981-1984 344 345 346 347 348 349 350 351 352 353 354 355 356 357 358 359 360 361 362 363 364 365 366 367 368 369 370 371 372 373 374 375 376 377 378 379 380 381 382 383 384 385 386 387 388 389 390 391 392 393 394 395 396 397 398 399 400 401 402 403 404 405 406 407 408 409 410 411 412 413 414 415 416 417 418 419 420 421 422 423 424 425 426 427 428 429 430 431 432 433 434 435 436 437 438 439 440 441 442 443 444 445 446 BUSINESS SESSION ITEM NO. 3 City of La Quinta CITY COUNCIL MEETING: October 7, 2025 STAFF REPORT AGENDA TITLE: APPROPRIATE FUNDS AND APPROVE COACHELLA VALLEY POWER AGENCY MEMBERSHIP DUES FOR FISCAL YEAR 2025/26 RECOMMENDATION Appropriate funds and approve the Coachella Valley Power Agency membership dues of $166,666 for fiscal year 2025/26. EXECUTIVE SUMMARY • The Coachella Valley Power Agency (CVPA) is a joint powers authority operating under California's Joint Exercise of Powers Act. • On March 18, 2025, Council approved the CVPA Joint Powers Agreement. On April 1, 2025, Council authorized the City as the first member of CVPA JPA via Resolution No. 2025-007. • On July 28, 2025, CVPA JPA members adopted fiscal year 2025/26 budget of $500,000, agreeing that the three members would contribute equally at $166,666 each. FISCAL IMPACT The membership dues are $166,666 for fiscal year (FY) 2025/26. An appropriation from the Unassigned General Fund balance is requested for the Membership Dues account No. 101-1002-60351. BACKGROUND/ANALYSIS Addressing the growing electrical infrastructure needs of the Coachella Valley communities served by the Imperial Irrigation District (IID) is a top priority for the region. At the City's 2025 Community Workshop, La Quinta residents listed addressing the pending IID/Coachella Valley Water District (CVWD) Agreement of Compromise expiration on December 31, 2032, and equipment needs as their No. 1 priority. The 99-year Agreement of Compromise, entered into in 1934 between IID and CVWD, made IID the primary electrical service provider for the City of La Quinta and the greater Coachella Valley. However, the five -member IID Board of Directors has always been limited to Imperial County residents, leaving Riverside County residents ineligible to serve on the Board or elect its members. 447 Today, the Coachella Valley accounts for approximately 65% of IID's energy revenues. The CVPA JPA is a collaborative approach to addressing representation and electrical infrastructure needs of the Coachella Valley area currently served by IID. On March 18, 2025, Council approved the CVPA JPA, and on April 1, 2025, Council adopted Resolution No. 2025-007 authorizing the City as the first member of the CVPA JPA. Other stakeholders include the Cities of Indio, Coachella, Indian Wells, Palm Desert and Rancho Mirage, Riverside County, and tribal areas. To date the CVPA's membership is comprised of the Cities of La Quinta and Indio, and the County of Riverside. The CVPA JPA has contracted with the Coachella Valley Association of Governments (CVAG) to oversee the administration and management of the CVPA while the CVPA JPA works to hire its own staff. The CVPA JPA held its first meeting on June 12, 2025, at which time CVAG proposed a FY 2025/26 budget of $1 million to be shared by the CVPA JPA members. The CVPA JPA members proposed a revised budget of $500,000 instead. At its July 28, 2025, meeting, CVPA JPA members approved a FY 2025/26 budget of $500,000 and agreed that the three members would contribute equally at $166,666 each. ALTERNATIVES Staff does not recommend an alternative action. Prepared by: Sherry Barkas, Communications Specialist Approved by: Jon McMillen, City Manager Attachments: 1. Memo to CVPA Membership of Amount of Dues 2. CVPA Membership Dues Invoice 448 Coachella Valley Power Agency 74-199 El Paseo, Suite 100, Palm Desert, CA 92260 (760) 346-1127 INVOICE Invoice No: IN-CVPA-26-0002 Date: 9/11 /25 Fund/Project CVPA Date(s) 09/11/2025 I_'%ir_[d:l►yil4kikfiI CVPA Organization: City of La Quinta Recipient Name: Brian McKinney Recipient Email: bmckinney@laquintaca.gov;ap@laqu intaca.gov Mailing Address: 78-495 Calle Tampico La Quinta, CA 92253 CVAG Contact (Name and Email) Emmanuel Martinez — emartinez@cvag.org Description FY26 CVPA Membership Dues Amount $ 166,666.00 Due and Payable Within 30 days 1 $166,666.00 Please Make Check Payable to: COACHELLA VALLEY ASSOCIATION OF GOVERNMENTS 74-199 El Paseo, Suite 100 Palm Desert, CA 92260 E I N #: 33-0105726 Attention: AR(a)cvag.org Thank you. Please see attached for relevant supporting documentation as necessary. 449 ATTACHMENT 2 Coachella Valley Power Agency CVPA 74-199 El Paseo, Suite 100, Palm Desert, CA 92260 (760) 346-1127 Dear Member Agency: On July 28, 2025, The Board of Directors of the Coachella Valley Power Agency approved establishment of member agency contributions for Fiscal Year 2025-26 at a total of $500,000 to be split equally between the three member agencies. Amounts due are as follows: City of Indio: $166,666.67 City of La Quinta: $166,666.67 County of Riverside: $166,666.67 Please remit your respective membership contribution as soon as possible. C-'06� Claude T. Kilgore Director of Finance LA QUINTA - INDIO - COUNTY OF RIVERSIDE 450 REPORTS AND INFORMATIONAL ITEM NO. 33 DIRECTOR'S HEARING MINUTES SPECIAL MEETING WEDNESDAY. SEPTEMBER 3.2025 CALL TO ORDER A special meeting conducted by the City of La Quinta Public Works Director/City Engineer was called to order at 4:00 p.m. by Director McKinney. STAFF PRESENT: Public Works Director/City Engineer Bryan McKinney, Interim Design and Development Director Cheri Flores, Assistant Planner Jack Lima, Administrative Technician Tania Flores, and City Attorney William H. Ihrke PLEDGE OF ALLEGIANCE Public Works Director McKinney led the audience in the Pledge of Allegiance. CONFIRMATION OF AGENDA Public Works Director McKinney confirmed the agenda as published. PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA — None PUBLIC HEARINGS 1. ADOPT A RESOLUTION TO APPROVE AMENDED FINAL TRACT MAP 2025-0002 (TRACT MAP 31202 AMENDMENT 1) TO REVISE CONDITIONS OF APPROVAL REGARDING TRAFFIC SIGNAL IMPROVEMENTS; APPLICANT: JOHN PEDALINO, DESERT ESTATES DEVELOPMENT, INC.; PROJECT NAME: RANCHO SANTANA; CEQA: A MITIGATED NEGATIVE DECLARATION WAS ADOPTED FOR THIS PROJECT UNDER ENVIRONMENTAL ASSESSMENT 2003- 472; LOCATION: SOUTHEAST CORNER OF AVENUE 52 AND MONROE STREET Senior Planner Nespor presented the staff report, which is on file in the Design and Development Department. Public Works Director McKinney clarified that the developer's proposed in -lieu fee payment does not cover the full cost but will be applied towards the City's 25% share to install a traffic signal at the Avenue 52 and Monroe Street intersection. DIRECTOR McKINNEY DECLARED THE PUBLIC HEARING OPEN AT 4:07 P.M. DIRECTOR'S HEARING MINUTES Page 1 of 4 SEPTEMBER 3, 2025 SPECIAL MEETINr- 451 PUBLIC SPEAKER: John Pedalino, President of Desert Estates Development and Applicant — requested clarification that the proposed amendment to the conditions of approval (COAs) would apply the proposed in -lieu payment of $142,000 towards the City's portion of the cost to install a traffic signal at the Avenue 52 and Monroe Street intersection in the future, which would satisfy the developer's obligation under the COAs; and would also remove the requirement to install a traffic signal at the project's entry on Monroe Street when warrants are met. Director McKinney confirmed the requirements to install traffic signals at both locations will be satisfied with the proposed COAs amendment and in -lieu fees. Senior Planner Nespor explained that COA No. 55 A, per Council Resolution No. 2003-050, is being amended as noted herein. Assistant Planner Lima said WRITTEN PUBLIC COMMENTS were received from the Haagen Company, owner of the property adjacent to Rancho Santana residential development, in opposition to the proposed COA amendment, specifically noting that the proposed in -lieu fee of $142,000 did not represent the full 25% of the cost to install a traffic signal at the Avenue 52 and Monroe Street intersection, which were distributed to the Director, made public, published on the City's website, and included in the public record of this meeting. PUBLIC SPEAKER: Brent McManigal, Director of Fennemore Law, representing Haagen Company, owner of the property adjacent to the Rancho Santana residential development, at the northwest and southeast corners of Avenue 52 and Monroe Street intersection — opposed the proposed COA amendment, specifically noting that the proposed in -lieu fee of $142,000 did not represent the full 25% of the cost to install a traffic signal, and asked that the amount be increased to proportionately match the 25% cost requirement, so that the adjacent property owners financial responsibility is not increased due to rising costs. Director McKinney explained that the developer's in -lieu payment will be applied towards the City's share of the traffic signal installation, but does not cover it in full, and the City will cover the cost differential between the in -lieu fee amount and the 25% share for the traffic signal installation cost. PUBLIC SPEAKER: Mark Blawski, La Quinta — said he resides at Rancho Santana; questioned the warrant study determining that a traffic signal was needed at the Avenue 52 and Monroe Street intersection; and opposed the installation of a traffic signal at this location. DIRECTOR MCKINNEY DECLARED THE PUBLIC HEARING CLOSED AT 4:16 P.M. City Attorney Ihrke requested to include in the proposed resolution an additional recital finding that the legal requirements which allow for an amendment of the Final Map, as requested by the Applicant, have been met in accordance with applicable provisions of DIRECTOR'S HEARING MINUTES Page 2 of 4 SEPTEMBER 3, 2025 SPECIAL MEETINr- 452 the La Quinta Municipal Code and California Subdivision Map Act (California Government Code Section 66410 et seq.) ("Map Act") to read as follows: "WHEREAS, the Director of the Public Works Department for the City of La Quinta finds that the legal requirements which allow for an amendment of the Final Map, as requested by the Applicant, have been met in accordance with applicable provisions of the La Quinta Municipal Code and California Subdivision Map Act (California Government Code Section 66410 et seq.) ("Map Act'), with reference to the following: • Pursuant to La Quinta Municipal Code Section 13.20.115(A), an amendment to the Final Map may be based on the criteria in Government Code Section 66469 of the Map Act. Government Code Section 66469(1), in turn, authorizes the amendment of a final map, "To correct any additional information filed or recorded pursuant to Section 66434.2 [additional information filed or recorded simultaneously with a final map], if the correction does not impose any additional burden on the present fee owners of the real property and does not alter any right, title, or interest in the real property reflected on the recorded map." Here, the Conditions of Approval were additional information simultaneously filed with the Final Map, and the modification of the Conditions of Approval as proposed by the Applicant and as reviewed at the public hearing, does not impose any additional burdens on the existing fee owners, and does not alter any right, title, or interest in the real property. As explained in the Staff Report and presented during the public hearing, the modification of the Conditions of Approval only affects the Applicant's requirement —which is not imposed upon or shared by any fee owners in the real property subject to the Final Map —for payment of a partial contribution towards the City's share of the future cost of a traffic signal. • Even if La Quinta Municipal Code Section 13.20.115(A) were not to apply, pursuant to La Quinta Municipal Code Section 13.20.115(8), an amendment to the Final Map may be based on the criteria in Government Code Section 66472.1 of the Map Act when, as here, the Final Map conforms with the provisions in Government Code Section 66470 [compliance with technical requirements for filing and recording a final map]. Government Code Section 66472.1 provides that, if there are "changes in circumstances that make any or all of the conditions of the map no longer appropriate or necessary and that the modifications do not impose any additional burden on the fee owners of the real property, and if the modifications do not alter any right, title, or interest in the real property reflected on the recorded map, and the local agency finds that the map as modified conforms to Section 66474b]" then the Final Map may be amended. Here, the proposed modified Conditions of Approval are no longer necessary, and the modification of the Conditions of Approval as proposed by the Applicant and as reviewed at the public hearing, does not impose any additional burdens on the existing fee owners, and does not alter any right, title, or interest in the real property. As explained in the Staff Report and presented during the public hearing, the modification of the Conditions of Approval only affects the Applicant's requirement —which is not imposed upon or shared by any fee owners in the real property subject to the Final DIRECTOR'S HEARING MINUTES Page 3 of 4 SEPTEMBER 3, 2025 SPECIAL MEETING 453 Map —for payment of a partial contribution towards the City's share of the future cost of a traffic signal. Because the Applicant will pay an in -lieu contribution as presented during the public hearing, the requirement to bond against the future improvement under the Conditions of Approval is no longer necessary. None of the provisions in Government Code Section 66474 apply that would prohibit the approval of the Final Map as amended, and the public hearing was confined to the consideration of, and action on, the modification to the Conditions of Approval as proposed by the Applicant. Therefore, all of the criteria in Government Code Section 66472.1 of the Map Act have been satisfied." Director McKinney concurred. DIRECTOR'S DETERMINATION — Director McKinney adopted Director's Hearing Resolution 2025-0001 approving Amended Final Tract Map 2025-0002 amending Final Tract Map 31202, and modifying Condition of Approval No. 55 A; and found the project consistent with the previously adopted Mitigated Negative Declaration, prepared under Environmental Assessment 2003-472, as amended to include the recital as noted above by City Attorney Ihrke: A RESOLUTION OF THE DIRECTOR OF THE PUBLIC WORKS DEPARTMENT OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING AMENDED FINAL TRACT MAP 2025-0002 (TRACT MAP 31202 AMENDMENT 1) AND THE CONDITIONS OF APPROVAL THEREOF CASE NUMBER: AMENDED FINAL TRACT MAP (AFTM) 2025-0002 (TRACT MAP 31202 AMENDMENT 1) PROJECT: RANCHO SANTANA APPLICANT: JOHN PEDALINO, DESERT ESTATES DEVELOPMENT ADJOURNMENT There being no further business, Director McKinney adjourned this Director's Hearing at 4.18 p.m. Respectfully submitted, TANIA FLORES, Hearing Secretary City of La Quinta, California DIRECTOR'S HEARING MINUTES Page 4 of 4 SEPTEMBER 3, 2025 SPECIAL MEETINr- 454 WRITTEN PUBLIC COMMENTS CITY COUNCIL MEETING OCTOBER 7,2025 CITY COUNCIL MEETING - OCTOBER 7, 2025 - WRITTEN PUBLIC COMMENTS BY RESIDENT MARY MANN ' PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA - REGARDING CLUB AT CORAL MOUNTAIN SPECIFIC PLAN 2003-067 La Quinta City Council 7 October 2025-Written Comments Items not on agenda Topic: Recall Specific Plan Specific Plan 03-067 Amendment 5-Halt the building of the proposed barrier fence, view -obstructing wall and plan for public recreation Speaker: Mary Mann La Quinta CA 92253 mobile Coral Mountain should be the Gem of La Quinta and gateway to the Santa Rosa Wilderness area. There is a wonderful opportunity here for the City of La Quinta and its leadership to engage with the surrounding landowners and stakeholders including a new community of residents that now lives in south La Quinta. I want to see my City take a good look at this area south of Avenue 54, how it has grown and changed under the current general plan and what will be needed for the future. The City can lead to encourage development that allows for and embraces the natural environment, allowing for enjoyment and access to the Wilderness on our western boundary that so many of us crave. This is in direct alignment with the City Mission Statement and several of the Goals set forth in the Strategic Plan. Figure 1: View of Coral Mountain from the designated Natural Open Space planned park. Ancient Lake Cuilla Shoreline clearly visible, dike built and maintained (?) By Bureau of Reclamation. Current popular trail access for hiking, horseback 10/7/25 Written Public comment Save Coral Mt. 2 riding, camping. Designating this area, or planning for park development not addressed in Club at Coral Specific Plan planning documents. CVWD infrasturcture (our water supply) is also present in this area. The area in question is a local haunt for seeking solace in the desert, hiking, mountain biking, walking dogs, playing, flying, hot air balloon launches! It is accessed by increasing numbers of people, noticeable even in the few years since we moved in. There is character and solidarity we are building in this neighborhood and community, despite being behind walls and being >6 miles from any City amenities or services. Once the Developer leaves we are in blocks of isolated homes, each Homeowner placed under an additional burden of maintenance, cost "tax" of the Homeowners Associations, with cut & pasted CC&Rs from faraway communities. This may look good on paper at the outset, but it is ultimately damaging to our bottom line, community, and quality of life. The risks associated with water supply, natural disasters, maintenance of infrastructure that will be borne directly by the City, CVWD, IID, County of Riverside and our neighbors in Indio and the City Sphere of influence as well as the ultimate new homeowners in the community. These are long-term ongoing costs and risks that have not been considered. Blocking off the view scape is not required for this to be a successful project. Coral Mountain is a beautiful treasure. The moonset behind it this morning could be seen from Madison with the waving flag and coral shoreline glinting with the sunrise on the other side ... no words. This view now shared by those commuting on Madison and the many morning outdoor enthusiasts walking, biking, hiking, sitting and watching the sunrise. It is our history written on the walls and should remain visible. It is the last exposure of the shoreline in this area and is noted in many guidebooks, and descriptions of the area already. Coral Mountain beckons from the north coming down Jefferson, and it can be seen from many parts of the East Valley. 10/7/25 Written Public comment Save Coral Mt. 3 Figure 2: Coral Mountain lit up by the morning sun. Proposed 1Oft. walls would obscure the view of the unique documented shoreline feature from Madison, 581' and 60"'. Peekaboo views should be possible through the community. This is a documented site and last remaining examples of the tufa feature that contains ecologic and geologic wonders plus prehistoric and historic artifacts, and flood control infrastructure in use today, and used as a walking path. that provides a tremendous welcome to La Quinta and proudly displays our natural history. Take the time and effort to develop plans for how our City will interface with natural open space, providing low impact benefits to citizens and visitors. These efforts in community building and allowing the public, stakeholder agencies and groups to create a plan that could make Coral Mountain the Gem of La Quinta will be rewarded in civic pride and attraction to the area. I point to numerous new events such as the Iron Man, which will attract lovers of sport and the outdoors. How can we provide ways for these events to continue and host these visitors in such a way that they will want to come back or stay? One way is to provide amenities that are accessible and open to the public. Places for people to get out, explore, experience the desert, have a picnic, take a hike, ride a bike. The current plan for this property will cut off hundreds of acres from any other use, prevent public through fare and block access to public areas, already popularly used for 100s of years. 10/7/25 Written Public comment Save Coral Mt. El r W�• " a AW- ,�!� "••tom �i` �'�(' "% �'. � - _ _ - ;. .. � _ - Figure 3: Popular hike is the Coral Mountain loop, which passes in front of the mountain. The mottled lower part is the tufa that was created by an algae in the ancient Lake Cahuilla (latest high stand in 1700s). The mountain itself is a twisted metamorphic exposed and thrust up as the Salton Basin has been forming over tens of millions of years. The "coral" have been marked by humans through time, with many grindstone type features ground into the tufa to make little bowls, these are present in the parts where a flat boulder has a thick layer of tufa on it. There are ancient rock writings clear through present. Exploring these features is a known activity and people come from all over the valley to see this. This photo was taken a couple weeks ago and is one example where these bright spray - painted makings associated with this project. This looks to be at the property line and it 10/7/25 Written Public comment Save Coral Mt. 5 crosses several other features documented and stated in develpement plan EIR that they would not be disturbed. f +fir'✓ , '� .. ..� �r�: ! -', 1. •�4 ` r Figure 4: Spray paint on Coral below archaeological features. One example of defacement of the documented sensitive ground along Coral Mountain for this golf course project. Maps have not been approved by planning and public has not seen more than conceptual drawings that seemed to indicated there was flexibility in where the boundary of the project would be. Spray paint is on the tufa, where we should be preventing further damage, this adds to it. 10/7/25 Written Public comment Save Coral Mt. R In particular an 8' high fence that received no vetting on its effectiveness for the stated purpose of protecting sheep and its path ignores the unique archaeological and ecological features it would bisect. Damage to this would have a detrimental effect on the planned conservation efforts of DRD and others that are revealed in the initial planning for the Coral Mountain Park. A few other comments I have sent to Recreation District President and Manager: I am writing to get information on the status and plans for the Coral Mountain Regional Park. From what I have been able to glean online whatever plans for this new DRD community resource have been stalled and the BOR agreement it is tied to may be expiring. La Quinta is going forward with building private golf course development under a specific plan amendment that was soundly opposed by the community at the time. Under the plan for the new development, there are several references to the pending DRD park facility as mitigation of the adding of people, infrastructure and cutting off of public access for recreation. Despite this, there did not seem to be any partnership opportunity extended to the DRD to create a facility that will accommodate the needs of this part of the District and City of La Quinta. The one agreement that DRD signed with the developer to build a trail would be negated if the BOR agreement expires. This would mean the loss of the one concession the developer was asked to provide to maintain even minimal access to the public to lands that have been identified as unique in many respects, geologically, ecologically, have historically and currently provided desert recreation opportunities for the whole Valley and beyond. In particular an 8' high fence that received no vetting on its effectiveness for the stated purpose of protecting sheep and its path ignores the unique archaeological and ecological features it would bisect. Damage to this would have a detrimental effect on the planned conservation efforts of DRD that are revealed in the initial planning for the Coral Mountain Park. We have added hundreds of people to this part of the Valley (South La Quinta, Indio) in only a few years with many new private developments but the Cities (La Quinta in particular) have not been compelled to provide any public recreation facilities or even planned for these. There does not seem to be any planning for maintaining access around Coral Mountain for exploration and entering into the Santa Rosa Wilderness. We desperately need to get an 10/7/25 Written Public comment Save Coral Mt. 7 integrated plan together. There are many agencies involved, DRD, City of La Quinta, Indio, Riverside County, BLM, BOR, CVWD, IID, Tribes. Riverside County and partners are investing a lot into upgrades to the Lake Cahuilla Park. I have not seen that La Quinta has been proactive at all in planning for new recreational visitors to the area. We truly need a facility that would be the Gateway to the Santa Rosa wilderness and offer a trail head, picnic and staging area, parking, restrooms. This is already a popular area for mountain biking, hiking, horseback riding, exploration of the archaeological and historical artifacts, discovery of desert fauna and flora, off-roading, climbing, dog -walking, horseback riding, prayer and reflection. The use of the area around Coral Mountain has increased dramatically even in the short time I have lived in this particular spot in the Valley. It is now critically important that the District bring this Coral Mountain Regional Park project back to the top of the list. So reaching out to you to see if you may see a way to activate discussions in the District and with other government entities to plan for development of the Coral Mountain Regional park, or find other groups, citizens who can assist in opening a dialogue around planning for saving of our existing desert recreation opportunities at Coral Mountain and Santa Rosa Wilderness and providing facilities required to accommodate increased use in coming years. 10/7/25 Written Public comment Save Coral Mt. CITY COUNCIL MEETING - OCTOBER 7, 2025 - WRITTEN PUBLIC COMMENTS FROM PHILIP BETTENCOURT BUSINESS SESSION ITEM NO. 3 - COACHELLA VALLEY POWER AGENCY JOINT POWERS AGREEMENT MEMBERSHIP DUES APPROVAL FOR FISCAL YEAR 2025/26 From: Philip Bettencourt <philip@bettencourtplans.com> Sent: Monday, October 6, 2025 4:28 PM To: City Clerk Mail Cc: ; 'Meredith Bettencourt'; Jon McMillen; 'Kevin Hundt' Subject: La Quinta City of Power Authority Budget Image_20251006_0001.pdf Attachments: La Quinta City of Power Authroity Budgetlmage_20251006_0001.pdf Follow Up Flag: Follow up Flag Status: Flagged The La Quinta City Council agenda for Tuesday October 7 includes a staff recommendation to appropriate funds and approve Coachella Valley Power Authority agency membership dues for 2025/2026 (The unredacted agenda and staff report are attached for convenience to share with other stakeholders.) I support the recommendations of the staff. Also, as I noted during public comments at the most recent meeting of the CVPA I do hope that other eligible stakeholders f ind a way to join this solution - oriented institution for dealing with the challenge of meeting the power needs of the City of La Quinta, including our sphere of influence and adjacent neighbors. It's the right thing Thank you. Philip F. & Meredith Bettencourt Real Estate Development Plannine I Stewardship 78-365 Highway 111, No 432 La Quinta, CA 92253 949-874-4443 1 Telephone or text at will 1 Philip F_ 4 ME'�di��_ Baal Estate per, �ncourt 78365 Highway 11 P�42annirtg I S�►ardstrip La Quints, Ca 92253 NO3 w Te ephone or text: 949-874-4443 (a"M oirbe, Di--1S1-.1u Consent Calendar Item No. 3 -Revised 10104�City Council agendas and staff` reports2025 are available on the City°S - see page 27 tracked changes web page: www.LaQuintaCA.pov CITY COUNCIL AGENDA CITY HALL COUNCIL CHAMBER 78495 Calle Tampico, La Quinta REGULAR MEETING ON TUESDAY, OCTOBER 7, 2025 3:00 P.M. CLOSED SESSION 1 4:00 P.M. OPEN SESSION Members of the public may listen to this meeting by tuning -in live via www.laguintaca.gov/1ivemeetings. CALL TO ORDER ROLL CALL: Councitmembers: Fitzpatrick, McGarrey, Pena, Sanchez, and Mayor Evans PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA At this time, members of the public may address the City Council on any matter not listed on the agenda pursuant to the "Public Comments - Instructions' listed at the end of the agenda. The City Council values your comments,- however, in accordance with State law, no action shall be taken on any item not appearing on the agenda unless it is an emergency item authorized by the Brown Act [Government Code § 54954.2(b)]. CONFIRMATION OF AGENDA CLOSED SESSION 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: ICASE NUMBER SilverRock Development Company, LLC_ SilverRock Life�le Residences, LLC SilverRock Lodqinq, LLC SilverRock Luxury_ Residences, LLC SilverRock Phase I, LLC RGC PA 789, LLC CITY COUNCIL AGENDA Page 1 of 7 24-11647 24-11648 24-11650 24-11652 24-11654 24-11657 OCTOBER 7, 2025 2. CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION; PURSUANT TO PARAGRAPH (1) OF SUBDIVISION (d) OF GOVERNMENT CODE SECTION 54956.9; NAME OF CASE: CITY OF LA QUINTA V. SILVERROCK DEVELOPMENT COMPANY, ET AL. (RIVERSIDE COUNTY SUP. CT. CASE NO. CVPS2404750) RECESS TO CLOSED SESSION RECONVENE AT 4:00 P.M. REPORT ON ACTION(S) TAKEN IN CLOSED SESSION PLEDGE OF ALLEGIANCE PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA At this time, members of the public may address the City Council on any matter not listed on the agenda pursuant to the "Public Comments — Instructions" listed at the end of the agenda. The City Council values your comments; however, in accordance with State law, no action shall be taken on any item not appearing on the agenda unless it is an emergency item authorized by the Brown Act [Government Code § 54954.2(b)]. ANNOUNCEMENTS, PRESENTATIONS, AND WRITTEN COMMUNICATIONS 1. SILVERROCK (FORMERLY TALUS) DEVELOPMENT PROJECT —STATUS UPDATE 2. CERTIFICATE OF RECOGNITION HONORING COMMUNITY SERVICE AWARD RECIPIENT TOM BELANICH 3. AMERICAN PUBLIC WORKS ASSOCIATION SOUTHERN CALIFORNIA CHAPTER — AWARDED THE 2024-2025 PROJECT OF MERIT AWARD TO THE CITY OF LA QUINTA FOR THE DUNE PALMS BRIDGE PROJECT NO. 2011-05 4. PROCLAMATION IN RECOGNITION OF CODE ENFORCEMENT OFFICERS' APPRECIATION WEEK — OCTOBER 5-11, 2025 5. PROCLAMATION IN RECOGNITION OF NATIONAL FIRE PREVENTION WEEK — OCTOBER 5-11, 2025 CONSENT CALENDAR NOTE: Consent Calendar items are routine in nature and can be approved by one motion. PAGE 1. APPROVE COUNCIL MEETING MINUTES DATED SEPTEMBER 16, 2025 2. ADOPT ORDINANCE NO. 625 ON SECOND READING AMENDING CHAPTER 2.60 OF THE LA QUINTA MUNICIPAL CODE RELATING TO THE CONFLICT OF INTEREST CODE CITY COUNCIL AGENDA Page 2 of 7 OCTOBER 7, 2025 3. ADOPT ORDINANCE NO. 626 ON SECOND READING TO CONDITIONALLY APPROVE DEVELOPMENT AGREEMENT 2025-0001 (REINSTATED AND AMENDED DEVELOPMENT AGREEMENT 2014-1001) TO FACILITATE DEVELOPMENT OF THE SILVERROCK SPECIFIC PLAN AREA; CEQA: AN ADDENDUM TO ENVIRONMENTAL ASSESSMENT 2002-453 HAS BEEN PREPARED PURSUANT TO SECTIONS 15162 AND 15164 OF THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA); LOCATION: SOUTH OF AVENUE 52, WEST OF JEFFERSON STREET 4. ADOPT RESOLUTION TO ACKNOWLEDGE RECEIPT OF RIVERSIDE COUNTY FIRE DEPARTMENT'S ANNUAL INSPECTION REPORT FOR FISCAL YEAR 2024125 PURSUANT TO CALIFORNIA HEALTH AND SAFETY CODE SECTION 13146.4 [RESOLUTION NO. 2025-024] 5. ACCEPT OFF -SITE IMPROVEMENTS ASSOCIATED WITH THE RANCHO SANTANA RESIDENTIAL DEVELOPMENT, TRACT MAP NO. 31202-1, LOCATED AT THE SOUTHWEST CORNER OF AVENUE 52 AND MONROE STREET 6. AUTHORIZE OVERNIGHT TRAVEL FOR PUBLIC WORKS ADMINISTRATIVE TECHNICIAN TO ATTEND THE AMERICAN PUBLIC WORKS ASSOCIATION PUBLIC WORKS INSTITUTE IN DOWNEY, CALIFORNIA, OCTOBER 14-16, 2025 7. APPROVE DEMAND REGISTERS DATED SEPEMBER 5,12 AND 19, 2025 8. RECEIVE AND FILE REVENUE AND EXPENDITURE REPORT DATED JULY 31, 2025 BUSINESS SESSION PAGE 1. APPROVE FIRST ROUND OF COMMUNITY SERVICES GRANTS FOR FISCAL YEAR 2025126 2. APPROVE VETERAN NOMINATIONS FOR INCLUSION ON VETERANS ACKNOWLEDGEMENT MONUMENTS AT CIVIC CENTER CAMPUS 3. APPROPRIATE FUNDS AND APPROVE COACHELLA VALLEY POWER 449 AGENCY MEMBERSHIP DUES FOR FISCAL YEAR 2025126 STUDY SESSION — None PUBLIC HEARINGS — None CITY COUNCIL AGENDA Page 3 of 7 OCTOBER 7, 2025 DEPARTMENTAL REPORTS 1. CITY MANAGER 2. CITY ATTORNEY 3. CITY CLERK 4. COMMUNITY SERVICES 5. DESIGN AND DEVELOPMENT 6. FINANCE 7. PUBLIC SAFETY 8. PUBLIC WORKS MAYOR'S AND COUNCIL MEMBERS' ITEMS REPORTS AND INFORMATIONAL ITEMS 1. CVAG CONSERVATION COMMISSION (Evans) 2. CVAG ENERGY AND SUSTAINABILITY COMMITTEE (Evans) 3. CVAG EXECUTIVE COMMITTEE (Evans) 4. VISIT GREATER PALM SPRINGS CONVENTION AND VISITORS BUREAU (Evans) 5. LEAGUE OF CALIFORNIA CITIES DELEGATE (Evans) 6. COACHELLA VALLEY WATER DISTRICT JOINT POLICY COMMITTEE (Evans) 7. COACHELLA VALLEY POWER AGENCY JOINT POWERS AGREEMENT (Evans) 8. ECONOMIC DEVELOPMENT SUBCOMMITTEE (Evans & Fitzpatrick) 9. DESERT SANDS UNIFIED SCHOOL DISTRICT COMMITTEE (Evans & Sanchez) 10. DESERT RECREATION DISTRICT COMMITTEE (Fitzpatrick & McGarrey) 11. COACHELLA VALLEY UNIFIED SCHOOL DISTRICT COMMITTEE (Fitzpatrick & Pena) 12. RIVERSIDE COUNTY TRANSPORTATION COMMISSION (Fitzpatrick) 13. CVAG TRANSPORTATION COMMITTEE (Fitzpatrick) 14. COMMUNITY SERVICE GRANT REVIEW COMMITTEE (McGarrey & Pena) 15. COACHELLA VALLEY MOUNTAINS CONSERVANCY (McGarrey) 16, GREATER CV CHAMBER OF COMMERCE INFORMATION EXCHANGE COMMITTEE (Fitzpatrick) 17. LEAGUE OF CALIFORNIA CITIES - ENVIRONMENTAL QUALITY POLICY COMMITTEE (McGarrey) 18. LEAGUE OF CALIFORNIA CITIES - EXECUTIVE COMMITTEE RIVERSIDE COUNTY DIVISION (McGarrey) 19. CANNABIS AD HOC COMMITTEE (Pena & Sanchez) 20. CVAG PUBLIC SAFETY COMMITTEE (Pena) 21. CVAG HOMELESSNESS COMMITTEE (Pena) 22. COACHELLA VALLEY MOSQUITO AND VECTOR CONTROL DISTRICT (Pena) 23. SUNLINE TRANSIT AGENCY (Pena) 24. ART PURCHASE COMMITTEE (Sanchez & McGarrey) 25. CALIFORNIA JOINT POWERS INSURANCE AUTHORITY (Sanchez) 26. CALIFORNIA ASSOCIATION OF LOCAL AGENCY FORMATION COMMISSION (Sanchez) 27. COACHELLA VALLEY ANIMAL CAMPUS COMMISSION (Sanchez) 28. LEAGUE OF CALIFORNIA CITIES - PUBLIC SAFETY COMMITTEE (Sanchez) CITY COUNCIL AGENDA Page 4 of 7 OCTOBER 7, 2025 29. RIVERSIDE COUNTY AIRPORT LAND USE COMMISSION (Sanchez) 30. RIVERSIDE LOCAL AGENCY FORMATION COMMISSION (Sanchez) 31. SOUTHERN CALIFORNIA ASSOCIATION OF GOVERNMENTS (Sanchez) 32. SOUTHERN CALIFORNIA ASSOCIATION OF GOVERNMENTS REGIONAL COUNCIL (Sanchez) 33. DIRECTOR'S HEARING SPECIAL MEETING MINUTES DATED SEPTEMBER 3, 2025 ADJOURNMENT The next regular meeting of the City Council will be held on October 21, 2025, at 4:00 p.m. at the City Hall Council Chamber, 78495 Calle Tampico, La Quinta, CA 92253. DECLARATION OF POSTING I, Monika Radeva, City Clerk of the City of La Quinta, do hereby declare that the foregoing Agenda for the La Quinta City Council meeting was posted on the City's website.. near the entrance to the Council Chamber at 78495 Calle Tampico, and the bulletin board at the La Quinta Cove Post Office at 51321 Avenida Bermudas, on October 3, 2025. DATED: October 3, 2025 i MONIKA RADEVA, City Clerk City of La Quinta, California Public Notices • Agenda packet materials are available for public inspection: 1) at the Clerk's Office at La Quinta City Hall, located at 78495 Calle Tampico, La Quinta, California 92253; and 2) on the City's website at www.laguintaca.gov/councilagendas, in accordance with the Brown Act [Government Code § 54957.5; AB 2647 (Stats. 2022, Ch. 971)]. • The La Quinta City Council Chamber is handicapped accessible. If special equipment is needed for the hearing impaired, please call the City Clerk's office at (760) 777-7123, 24-hours in advance of the meeting and accommodations will be made. • If background material is to be presented to the City Council during a City Council meeting, please be advised that 15 copies of all documents, exhibits. etc., must be supplied to the City Clerk for distribution. It is requested that this takes place prior to the beginning of the meeting. CITY COUNCIL AGENDA Page 5 of 7 OCTOBER 7, 2025 PUBLIC COMMENTS - INSTRUCTIONS Members of the public may address the City Council on any matter listed or not listed on the agenda as follows: WRITTEN PUBLIC COMMENTS can be provided either in -person during the meeting by submitting 15 copies to the City Clerk, it is requested that this takes place prior to the beginning of the meeting; or can be emailed in advance to CityClerkMail(a-�LaQuintaCA.gov, no later than 12:00 p.m., on the day of the meeting. Written public comments will be distributed to Council, made public, and will be incorporated into the public record of the meeting, but will not be read during the meeting unless, upon the request of the Mayor, a brief summary of public comments is asked to be reported. If written public comments are emailed, the email subject line must clearly state "Written Comments" and should include: 1) full name, 2) city of residence, and 3) subject matter. VERBAL PUBLIC COMMENTS can be provided in -person during the meeting by completing a "Request to Speak" form and submitting it to the City Clerk; It is requested that this takes place prior to the beginning of the meeting. Please limit your comments to three (3) minutes (or approximately 350 words). Members of the public shall be called upon to speak by the Mayor. In accordance with City Council Resolution No. 2022-027, a one-time additional speaker time donation of three (3) minutes per individual is permitted; please note that the member of the public donating time must: 1) submit this in writing to the City Clerk by completing a "Request to Speak' form noting the name of the person to whom time is being donated to, and 2) be present at the time the speaker provides verbal comments. Verbal public comments are defined as comments provided in the speakers' own voice and may not include video or sound recordings of the speaker or of other individuals or entities, unless permitted by the Mayor. Public speakers may elect to use printed presentation materials to aid their comments; 15 copies of such printed materials shall be provided to the City Clerk to be disseminated to the City Council, made public, and incorporated into the public record of the meeting; it is requested that the printed materials are provided prior to the beginning of the meeting. There shall be no use of Chamber resources and technology to display visual or audible presentations during public comments, unless permitted by the Mayor. All writings or documents, including but not limited to emails and attachments to emails, submitted to the City regarding any item(s) listed or not listed on this agenda are public records. All information in such writings and documents is subject to disclosure as being in the public domain and subject to search and review by electronic means, including but not limited to the City's Internet Web site and any other Internet Web -based platform or other Web -based form of communication. All information in such writings and documents similarly is subject to disclosure pursuant to the California Public Records Act [Government Code § 7920.000 of seq.]. CITY COUNCIL AGENDA Page 6 of 7 OCTOBER 7, 2025 TELECONFERENCE ACCESSIBILITY — INSTRUCTIONS Teleconference accessibility may be triggered in accordance with AB 2449 (Stats. 2022. Ch. 285), codified in the Brown Act [Government Code § 54953], if a member of the City Council requests to attend and participate in this meeting remotely due to 'lust cause"or'•emergency circumstances, " as defined, and only if the request is approved_ In such instances. remote public_ accessibility and participation will be facilitated via Zoom Webinar as detailed at the end of this Agenda. *** TELECONFERENCE PROCEDURES*** APPLICABLE ONLY WHEN TELECONFERE�4CE ACCESSIBILIT`! IS IN EFFECr Pursuant to Government Code § 54953(f) [AB 2449, Stats. 2022, Ch. 285, Rubio]. Verbal public comments via Teleconference — members of the public may attend and participate in this meeting by teleconference via Zoom and use the "raise your hand" feature when public comments are prompted by the Mayor; the City will facilitate the ability for a member of the public to be audible to the City Council and general public and allow him/her/them to speak on the items) requested. Heast: JiULC o! the ,Mill'- WidS► u,liiiUL4� -ivilt:.'11 J 0ilip0L1_1 �.pon being recognized by the Mayor, in order to become audible to the City Council and the public. Only one person at a time may speak by teleconference and only after being recognized by the Mayor. ZOOM LINK: https://usO6web.zoom.us/jl86171130130 Meeting ID: 86-1 7-1 13 0130 Or join by phone: (253) 215 — 8782 Written public comments — can be provided in person during the meeting or emailed to the City Clerk's Office at CityClerkMail(cDLaQuintaCA.goy any time prior to the adjournment of the meeting, and will be distributed to the City Council; made public, incorporated into the public record of the meeting, and will not be read during the meeting unless, upon the request of the Mayor, a brief summary of any public comment is asked to be read, to the extent the City Clerk's Office can accommodate such request. CITY COUNCIL AGENDA Page 7 of 7 OCTOBER 7, 2025 City of La Quinta CITY COUNCIL MEETING: October; STAFF REPORT BUSINESS SESSION ITEM NO. 3 Philip F. & Meredith gettencourt Real Estate DevelopMe"t Planning II Stewardship 78-365 Highway 111, No 432 La Quinta, Ca 92253-2071 Telephone of text: 9494F74 4443 AGENDA TITS : APPROPRIATE FUNDS AND APPROVE COACHELLA VALLEY POWER AGENCY MEMBERSHIP DUES FOR FISCAL YEAR 2025126 RECOMMENDATION Appropriate funds and approve the Coachella Valley Power Agency membership dues of $166,666 for fiscal year 2025/26. EXECUTIVE SUMMAR'r • The Coachella Valley Power Agency (CVPA) is a joint powers authority operating under California's Joint Exercise of Powers Act. • On March 18, 2025, Council approved the CVPA Joint Powers Agreement. On April 1, 2025, Council authorized the City as the first member of CVPA JPA via Resolution No. 2025-007. • On July 28, 2025, CVPA JPA members adopted fiscal year 2025126 budget of S500,000, agreeing that the three members would contribute equally at $166,666 each. FISCAL IMPACT The membership dues are $166,666 for fiscal year (FY) 2025/26. An appropriation from the Unassigned General Fund balance is requested for the Membership Dues account No. 101-1002-60351. BACKGROUNDIANALYSIS Addressing the growing electrical infrastructure needs of the Coachella Valley communities served by the Imperial Irrigation District (IID) is a top priority for the region. At the City's 2025 Community Workshop, La Quinta residents listed addressing the pending IID/Coachella Valley Water District (CVWD) Agreement of Compromise expiration on December 31, 2032, and equipment needs as their No. 1 priority, The 99-year Agreement of Compromise, entered into in 1934 between IID and CVWD, made IID the primary electrical service provider for the City of La Quinta and the greater Coachella Valley. However, the five -member IID Board of Directors has always been limited to Imperial County residents, leaving Riverside County residents ineligible to serve on the Board or elect Its members. 447 Today, the Coachella Valley accounts for approximately 65% of IID's energy revenues. The CVPA JPA is a collaborative approach to addressing representation and electrical infrastructure needs of the Coachella Valley area currently served by IID. On March 18, 2025, Council approved the CVPA JPA, and on April 1, 2025, Council adopted Resolution No. 2025-007 authorizing the City as the first member of the CVPA JPA. Other stakeholders include the Cities of Indio, Coachella, Indian Wells, Palm Desert and Rancho Mirage, Riverside County. and tribal areas. To date the CVPA's membership is comprised of the Cities of La Quinta and Indio, and the County of Riverside. The CVPA JPA has contracted with the Coachella Valley Association of Governments (CVAG) to oversee the administration and management of the CVPA while the CVPA JPA works to hire its own staff. The CVPA JPA held its first meeting on June 12, 2025, at which time CVAG proposed a FY 2025/26 budget of $1 million to be shared by the CVPA JPA members. The CVPA JPA members proposed a revised budget of $500,000 instead. At its July 28, 2025, meeting, CVPA JPA members approved a FY 2025/26 budget of $500,000 and agreed that the three members would contribute equally at $166,666 each. ALTERNATIVES Staff does not recommend an alternative action. Prepared by: Sherry Barkas, Communications Specialist Approved by: Jon McMillen, City Manager Attachments: 1. Memo to CVPA Membership of Amount of Dues 2. CVPA Membership Dues Invoice ►E Coachella Valley Power Agency 74-199 El Pasco, Suite 100, Palm Deser', CA 92260 (760) 346-1127 INVOICE Invoice No: IN-CVPA-26-0002 Date: 9/11125 Fund/Project CVPA Date(s) 09/11/2025 ATTACHMENT 1 CVPA Organization: City of La Quinta Recipient Name: Brian McKinney Recipient Email: bmckinney@laquintaca.gov;ap@laqu intaca.gov Mailing Address: 78-495 Calle Tampico La Quinta, CA 92253 CVAG Contact (Name and Email) Emmanuel Martinez — emartinez@cvag.org Description FY26 CVPA Membership Dues Amount $ 166, 666.00 Due and Payable Within 30 days $166,666.00 Please Make Check Payable to: COACHELLA VALLEY ASSOCIATION OF GOVERNMENTS 74-199 El Paseo, Suite 100 Palm Desert, CA 92260 EIN #: 33-0105726 Attention: ARO-cvaq.orq Thank you. Please see attached for relevant supporting documentation as necessary. 449 CITY COUNCIL MEETING - OCTOBER 7, 2025 - WRITTEN PUBLIC COMMENTS FROM LOZEAU DRURY, LLP ON BEHALF OF SAFER REQUESTING AN EXTENSION OF TIME FOR THE OCTOBER 7, 2025, COUNCIL MEETING T 510.836.4200 1939 Harrison Street. Ste. 150 www.lozeaudrury.com F 510.836.4205 Oaklana, CA 94612 richard@lozeaudrury.com September 26, 2025 VIA EMAIL Linda Evans, Mayor Deborah McGarrey, Mayor Pro Tem John Pena, Councilmember Kathleen Fitzpatrick, Councilmember Steve Sanchez, Councilmember City Council City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 CityClerkMail@LaQuintaCA.gov Cheri Flores, Interim Design and Development Director Design and Development Department City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Planning@LaQuintaCA.gov Re: Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH No.1999081020) for the SilverRock Resort; Extension Request for October 7, 2025 City Council Meeting Dear Mayor Evans, Mayor Pro Tem McGarrey, Honorable Councilmembers and Ms. Flores: This comment is submitted on behalf of Supporters Alliance for Environmental Responsibility ("SAFER") regarding the SilverRock Resort Project (Development Agreement 2025-0001 (Reinstated and Amended DA 2014-0001) Environmental Assessment 2025-0002 (Addendum No. 3 To EA 2002-453)), which proposes to develop one hotel with approximately 154 keys, 55,000 square foot banquet/shared use facilities, 445 residences, 40,000 square foot commercial area, 17,000 square foot public golf clubhouse, 20,000 square foot residential amenities building, and a 18-hole golf course on a partially vacant site south of Avenue 52 and west of Jefferson Street ("Project"), to be heard at the City Council's Meeting on October 7, 2025 for a second reading. SAFER requests an extension of time for the October 7, 2025 meeting. The City is relying on the 23-year-old mitigated negative declaration ("MND") prepared in 2002 for a prior version of the Project, which was substantially different. While the City has provided the public with the 2025 Addendum to the MND, it has not provided the underlying 2002 MND, which the City is relying on. Without this document, the public cannot meaningfully comment on the CEQA review that the City purports to be relying on. SAFER has requested the 2002 MND, but the City staff has failed to produce it. We reiterate that request for immediate access to the 2002 MND that the City is relying on. Due Extension Request: Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 7, 2025 City Council Special Meeting Page 2 of 3 to its extreme age, the two -decade -old 2002 MND is not available on-line at CEQAnet or other on-line CEQA databases. Furthermore, since the 2002 MND has not been provided, and is not in the City council packet, it seems almost certain that the City council itself failed to analyze the CEQA document that it purports to be relying on. The current City council members were not on the City council 23-years ago, and therefore likely never reviewed the 2002 MND that they purport to rely on. Under the circumstances, they cannot make the necessary findings to determine that the 2002 MND adequately analyzed the current, changed Project. It would be a major violation of CEQA for the City to rely upon a environmental document that has not been provided to the ultimate decision -making body or the public. This request is made pursuant to Section 21092(b)(1) of the California Environmental Quality Act ("CEQA") and CEQA Guidelines Section 15072(f)(4) which require that "all documents referenced in the proposed negative declaration or mitigated negative declaration" be available for review and "readily accessible" during the entire comment period. Of course, this must include the MND itself. We also make this request pursuant to the California Public Records Act. Government Code Section 7920 et seq (formerly, Government Code Section 6250 et seq.). We request immediate access to the 2002 MND pursuant to section 7922.525(a), (b) (formerly 6253(a)) of the Public Records Act, and copies of the requested documents pursuant to sections .7921.300 (formerly 6256 and 6257) of the Public Records Act. None of the requested documents, including drafts, notes, or internal memoranda are exempt from disclosure. (Citizens for a Better Environment v. Dept. of Food and Agriculture (1985) 171 Cal.App.3d 704). We request a written response to this request within 10 days and access to the requested documents immediately. (Gov.Code §§ 7921.300 (formerly, 6256, 6257).) We request that the city council meeting be extended until 20 days after the date that all requested documents are provided for our review. CEQA section 21092(b)(1) and CEQA Guidelines section 15072(f) require that the notice of intent to adopt a negative declaration must include "the address where copies of the proposed negative declaration and all documents referenced therein are available for review and readily accessible during the agency's normal working hours." As noted by leading CEQA commentators, Remy and Thomas: the requirement to notify the public of the address at which "all documents referenced" in a negative declaration can be found (and presumably read) appears to compel agencies to make available for public review all documents on which agency staff or consultants expressly rely in preparing a negative declaration... In light of case law emphasizing the importance of ensuring that the public can obtain and review documents on which agencies rely for the environmental conclusions (see, e.g., Emmington v. Solano County Redevel. Agency, 195 Cal.App.3d 491, 502-503 Extension Request: Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 7, 2025 City Council Special Meeting Page 3 of 3 (1987)), agencies, to be prudent, should ensure that they comply literally with this requirement. Remy, Thomas and Moose, Guide to the California Environmental Quality Act, p. 250 (Solano Press, 1999). By failing to provide "all documents referenced" in the CEQA document for public review, the City would be violating the procedural mandates of CEQA. We therefore request that the comment period be extended until 20 days after we receive the requested information. The City simply cannot rely on a CEQA document that it has not provided to the public for review, and that appears not to have been provided even to the City's own City council. Sincerely, Richard Drury LOZEAU I DRURY LLP CITY COUNCIL MEETING - OCTOBER 7, 2025 - WRITTEN PUBLIC COMMENTS FROM LOZEAU DRURY, LLP ON BEHALF OF SAFER CONSENT CALENDAR ITEM NO. 3 - ADOPTING ORDINANCE NO. 626 AT SECOND READING APPROVING DA 2025-0001 - REINSTATED AND AMENDED DEVELOPMENT AGREEMENT 2014-1001 FOR THE SILVERROCK RESORT PROJECTS COMMENTS OBJECT ADDENDUM NO. 3 TO MITIGATED NEGATIVE DECLARATION ADOPTED UNDER ENVIRONMENT ASSESSMENT 2002-453 FOR THE SILVERROCK RESORT PROJECT T 510.836.4200 1939 Harrison Street. Ste. 150 www.lozeaudrury.com F 510.836.4205 Oakland, CA 94612 richard@lozeaudrury.com October 6, 2025 VIA EMAIL Linda Evans, Mayor Deborah McGarrey, Mayor Pro Tern John Pena, Councilmember Kathleen Fitzpatrick, Councilmember Steve Sanchez, Councilmember City Council City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 CityClerkMail@LaQuintaCA.gov Cheri Flores, Interim Design and Development Director Design and Development Department City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Planning@LaQuintaCA.gov Re: Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH No. 1999081020) for the SilverRock Resort Project October 7, 2025 City Council Meeting, Consent Calendar Item 3 Dear Mayor Evans, Mayor Pro Tern McGarrey, Honorable Councilmembers and Ms. Flores: This comment is submitted on behalf of Supporters Alliance for Environmental Responsibility ("SAFER") regarding the SilverRock Resort Project (Development Agreement 2025-0001 (Reinstated and Amended DA 2014-0001) Environmental Assessment 2025-0002 (Addendum No. 3 To EA 2002-453)), which proposes to develop one hotel with approximately 154 keys, 55,000 square foot banquet/shared use facilities, 445 residences, 40,000 square foot commercial area, 17,000 square foot public golf clubhouse, 20,000 square foot residential amenities building, and a 18-hole golf course on a partially vacant site south of Avenue 52 and west of Jefferson Street ("Project"), to be heard for second reading at the City Council's Meeting on October 7, 2025. SAFER objects to the City's reliance on an Addendum to a 2002 Mitigated Negative Declaration ("MND") and Environmental Assessment 2002-453 (SCH No. 1999081020), certified in 2002 for the Project. Under the California Environmental Quality Act ("CEQA"), an addendum is not appropriate because there is new information available since certification of the 2002 MND indicating new significant impacts and/or the availability of new mitigation measures. As discussed below, the Project will have impacts that were not known or not analyzed in the 2002 MND on growth inducement, traffic, biological resources, air quality and formaldehyde. SAFER's comments are supported by the expert analysis of Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 6, 2025 City Council Meeting Consent Calendar Item 3 Page 2 of 12 eminently qualified experts, traffic engineer Tom Brohard (Exhibit A), wildlife biologist Dr. Shawn Smallwood, Ph.D. (Exhibit B), environmental engineer Patrick Sutton, PE, (Exhibit C), and industrial hygienist Francis Offermann, PE (Exhibit D). Their comments are attached hereto and incorporated herein in their entirety. SAFER requests that the City Council refrain from taking any action on the Project at this time and, instead, direct staff to prepare an initial study for the Project, followed by a project -specific EIR or negative declaration as required by CEQA. I. THE CEQA ADDENDUM IS LEGALLY INADEQUATE. The City proposes to approve the Project based on an addendum to a mitigated negative declaration prepared over two decades ago in 2002. There can be no dispute that the City has faced dramatically changed circumstances in the intervening 23-years, including increased traffic, the growth of the Coachella Music Festival, increased population growth, and many other changes that were not analyzed in the 2002 MND. The revised Project will add 1,690 people to the City, increasing the City's population growth by 9.9 percent, which will have environmental effects on traffic, public services (schools, police, fire, sewage, etc.), air quality, water supply, growth inducement and almost all other effects analyzed in the 2002 mitigated negative declaration ("MND"). A supplemental CEQA document is required to analyze the Project, the changed circumstances, and to mitigate its increased impacts. A. LEGAL STANDARD. CEQA contains a strong presumption in favor of requiring a lead agency to prepare an EIR. This presumption is reflected in the fair argument standard. Under that standard, a lead agency must prepare an EIR whenever substantial evidence in the whole record before the agency supports a fair argument that a project may have a significant effect on the environment. (Pub. Res. Code § 21082.2; Laurel Heights Improvement Ass'n v. Regents of the University of California (1993) ("Laurel Heights II") 6 CalAth 1112, 1123; No Oil, Inc. v. City of Los Angeles (1974) 13 Cal.3d 68, 75, 82; Quail Botanical Gardens v. City of Encinitas (1994) 29 Cal.AppAth 1597, 1602.) The City has never prepared an EIR for this Project. Even the 2002 document that the City is purporting to rely upon was an MND, not an EIR. Preparation of an Addendum Under CEQA Here, the City has prepared an addendum to the previously certified 2002 MND. Pursuant to the CEQA Guidelines, "[a[n addendum to an adopted negative declaration may be prepared if only minor technical changes or additions are necessary or none of the conditions described in Section 15162 calling for the preparation of a subsequent EIR or negative declaration have occurred." (CEQA Guidelines § 15164(b).) an addendum is not appropriate when: (1) Substantial changes are proposed in the project which will require major Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 6, 2025 City Council Meeting Consent Calendar Item 3 Page 3 of 12 revisions of the previous EIR or negative declaration due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects; (2) Substantial changes occur with respect to the circumstances under which the project is undertaken which will require major revisions of the previous EIR or Negative Declaration due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects; or (3) New information of substantial importance, which was not known and could not have been known with the exercise of reasonable diligence at the time the previous EIR was certified as complete or the negative declaration was adopted, shows any of the following: (A) The project will have one or more significant effects not discussed in the previous EIR or negative declaration; (B)Significant effects previously examined will be substantially more severe than shown in the previous EIR; (C)Mitigation measures or alternatives previously found not to be feasible would, in fact, be feasible and would substantially reduce one or more significant effects of the project, but the project proponents decline to adopt the mitigation measure or alternative; or (D) Mitigation measures or alternatives which are considerably different from those analyzed in the previous EIR would substantially reduce one or more significant effects on the environment, but the project proponents decline to adopt the mitigation measure or alternative. Importantly, where, as here, the previous CEQA document is an MND rather than an environmental impact report (`EIR"), the fair argument standard of review applies. As the California Supreme Court has explained, [T]he inquiry prescribed by the Guidelines is not whether the environmental impacts of the modification are significant, but whether the modification requires major revisions to the negative declaration because of the involvement of new, potentially significant environmental effects that had not previously been considered in connection with the earlier environmental study." (Friends of Coll. of San Mateo Gardens v. San Mateo Cnty. Comm. Coll. Dist. (2016) 1 Cal.5th 937, 958 n.6 ("San Mateo Gardens").) The court in San Mateo Gardens further explained that an addendum is not appropriate "if the proposed modification may produce a significant environmental effect that had not previously been studied." (San Mateo Gardens, 1 Cal.5th at 958.) Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 6, 2025 City Council Meeting Consent Calendar Item 3 Page 4 of 12 Tiering Under CEQA CEQA permits agencies to `tier' CEQA documents, in which general matters and environmental effects are considered in a document "prepared for a policy, plan, program or ordinance followed by narrower or site -specific [environmental review] which incorporate by reference the discussion in any prior [environmental review] and which concentrate on the environmental effects which (a) are capable of being mitigated, or (b) were not analyzed as significant effects on the environment in the prior [EIR]." (Cal. Pub. Res. Code ("PRC") § 21068.5.) "[T]iering is appropriate when it helps a public agency to focus upon the issues ripe for decision at each level of environmental review and in order to exclude duplicative analysis of environmental effects examined in previous [environmental reviews]." (Id. § 21093.) CEQA regulations strongly promote tiering of environmental review. "Later activities in the program must be examined in light of the program [document] to determine whether an additional environmental document must be prepared." (14 CCR § 15168(c).) The first consideration is whether the activity proposed is covered by the program. (Id. § 15168(c)(2).) If a later project is outside the scope of the program, then it is treated as a separate project and the previous environmental review may not be relied upon in further review. (See Sierra Club v. County of Sonoma (1992) 6 Cal.App.4th 1307, 1320-21.) The second consideration is whether the "later activity would have effects that were not examined in the program." (14 CCR § 15168(c)(1).) A program environmental review may only serve "to the extent that it contemplates and adequately analyzes the potential environmental impacts of the project ...." (Sierra Nevada Conservation v. County of El Dorado (2012) 202 Cal.AppAth 1156, 1171 [quoting Citizens for Responsible Equitable Envtl. Dev. v. City of San Diego Redevelopment Agency (2005) 134 Cal.AppAth 598, 615].) If the program environmental review does not evaluate the environmental impacts of the project, a tiered [CEQA document] must be completed before the project is approved. (Id. at 1184.) For these inquiries, the "fair argument test" applies. (Sierra Club, 6 Cal.App.4th at 1318; see also Sierra Club v. County of San Diego (2014) 231 Cal.AppAth 1152, 1164 ("when a prior EIR has been prepared and certified for a program or plan, the question for a court reviewing an agency's decision not to use a tiered EIR for a later project `is one of law, i.e., `the sufficiency of the evidence to support a fair argument."' [quoting Sierra Club, 6 Cal.AppAth at 1318]).) Under the fair argument test, a new EIR must be prepared "whenever it can be fairly argued on the basis of substantial evidence that the project may have significant environmental impact. (Sierra Club, 6 Cal.AppAth at 1316 [quotations and citations omitted].) When applying the fair argument test, "deference to the agency's determination is not appropriate and its decision not to require an EIR can be upheld only when there is no credible evidence to the contrary." (Id. at 1318.) "[I]f there is substantial evidence in the record that the later project may arguably have a significant adverse effect on the environment which was not examined in the prior program EIR, doubts must be resolved in favor of environmental review and the agency must prepare a new tiered EIR, notwithstanding the existence of contrary evidence." (Id. at 1319.) Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 6, 2025 City Council Meeting Consent Calendar Item 3 Page 5 of 12 B. The Revised Project Wil have Significant New Impacts. 1. Growth Inducement. The Addendum states that the Revised Project will add 1,690 new residents to the City of La Quinta, which constitutes a 9.9 percent increase in population. (Addendum 3.0-8). This is a massive percentage increase in population, despite the Addendum's conclusion to the contrary. This growth will impact the Project's impacts on water supply, traffic, schools and other public services, air pollution and all manner of impacts. It must be analyzed in a supplemental CEQA document. 2. Traffic. The increase in 1,690 persons will increase the Project's traffic impacts. Attached as Exhibit A hereto are the comments of Traffic Engineer Tom Brohard, PE. Mr. Brohard has 55 years of experience as a traffic engineer, and happens to live in La Quinta. Mr. Brohard calculates that Project trip generation has increased by 20 percent over the levels analyzed in the 2002 MND. (Ex. A at 4). The 2002 Project was estimated to generate 6,383 vehicle trips per day. But the 2025 Revised Project is projected to generate 8,501 vehicle trips per day. (Id.) Mr. Brohard states, "the SilverRock Resort Project is forecast to generate 1,188 additional daily trips than were forecast for The Ranch Project 23 years ago. This increase of nearly 20 percent in daily trips, together with corresponding increase in peak hour trips, is significant and its impact must be evaluated, and additional mitigation measures must be added as Conditions of Approval." (Id.) This constitutes, "Substantial changes are proposed in the project which will require major revisions of the previous EIR or negative declaration due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects." (CEQA Guidelines 15164(b)(1)). Therefore, a supplemental CEQA document is required — not an addendum. Mr. Brohard points out that CEQA, the City's General Plan and the City's TIS Guidelines all require traffic to be analyzed using vehicle miles travelled ("VMT") analysis. (Ex. A, p. 2). Yet the Addendum proves no VMT analysis at all. Mr. Brohard states, "The Addendum fails to provide any of the VMT information that has been required since 2022 by CEQA and by the City's own TIS Guidelines. Without this information, the Addendum must be considered incomplete, and the updated SilverRock Resort Project cannot proceed until the VMT analyses are reviewed, approved, and mitigation measures adopted and monitored, as necessary." (Id.) Mr. Brohard notes that the City has required to impose any of the VMT traffic mitigation measures required by the California Air Pollution Control Officers Association ("CAPCOA"). (Id.) Mr. Brohard concludes that, "the SilverRock Resort Project in the City of La Quinta will likely have significant traffic and transportation impacts including excessive VMT have Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 6, 2025 City Council Meeting Consent Calendar Item 3 Page 6 of 12 not been estimated." (Id. at 3). Mr. Brohard notes that the City has failed to comply with its own TIS Guidelines, which requires measures to reduce VMT by 15% below citywide averages. The Addendum fails to impose any of the 50 mitigation measures proposed by CAPCOA. (Id.) Mr. Brohard also points out numerous changed circumstances that have occurred since 2002. There has been significant population growth in the past 23 years, and many new golf courses have been constructed that did not exist in 2002. (Ex. A at 5). La Quinta's population in 2002 was 30,043. In 2025, La Quinta's population had increased to 39,969, an increase of over 33 percent. (https://worldpopulationreview.com/us-cities/califomia/la- ug inta#). Mr. Brohard also points out the proliferation of golf courses that did not exist in 2002, "The area's golf course expansion near the SilverRock Resort involved The Tradition Golf Club, Rancho La Quinta Country Club, The Citrus Club, Mountain View Country Club, The Hideaway, PGA West, Andalusia, Trilogy Golf Club at La Quinta, and The Madison Club (which did not exist in 2002) to name only those properties within 1.5 miles of the SilverRock Resort." (Id. at 5). Mr. Brohard concludes that these are significant "changed circumstances," that will compound the increase in the Project's own traffic of 20 percent over levels projected in 2002. These changed circumstances must be analyzed in a supplemental EIR. 3. Biological Impacts. Attached hereto as Exhibit B are the comments of wildlife biologist, Dr. Shawn Smalwood, Ph.D. Dr. Smallwood holds a Ph.D. in Ecology from the University of California at Davis. Dr. Smallwood's associate, Noriko Smallwood, MS, conducted a site inspection of the Project site on two days. Ms. Smallwood, a wildlife biologist with a Master of Science Degree from California State University Los Angeles, visited the site of the proposed project for 2.33 hours of diurnal survey from 16:26 to 18:46 hours and for 2.07 hours of nocturnal survey from 18:17 to 20:31 hours on 1 October 2025, and for 3.1 hours of diurnal survey from 06:41 to 09:47 hours on 2 October 2025. Ms. Smallwood positively identified on the Project site turkey vulture and American kestrel (Photos 5 and 6), red-tailed hawk and greater roadrunner (Photos 7 and 8), Gambel's quail (Photo 9), Costa's hummingbird and verdin (Photos 10 and 11), great -tailed grackle and northern mockingbird (Photos 12 and 13), mallard and great egret (Photos 14 and 15), green heron and belted kingfisher (Photos 16 and 17), loggerhead shrike and ladder -backed woodpecker (Photos 18 and 19), mourning dove and common raven (Photos 20 and 21), vermilion flycatcher (Photos 22 and 23), Say's phoebe and black phoebe (Photos 24 and 25), Abert's towhee (Photo 26), white -crowned sparrow and Bewick's wren (Photos 27 and 28), blue -gray gnatcatcher and black -tailed gnatcatcher (Photos 29 and 30), yellow warbler and orange -crowned warbler (Photos 31 and 32), hooded oriole and Queen butterfly (Photos 33 and 34), western side -blotched lizard and canyon bat (Photos 35 and 36), Mexican free -tailed bat and Yuma myotis (Photos 37 and 38), among the other species listed in Table 2. Noriko detected 48 species of vertebrate wildlife at or adjacent to the project site, including 15 Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 6, 2025 City Council Meeting Consent Calendar Item 3 Page 7 of 12 species with special status (Table 2). (Ex. B at 9). Ms. Smallwood documented most of these sightings photographically. Dr. Smallwood concludes that the Project will adversely affect these special status species through loss of habitat, bird -window collisions, feline predation, and automobile collisions. Dr. Smallwood suggests mitigation measures that should be analyzed in an EIR, such as bird -safe window treatments, compensatory mitigation, and other measures. Dr. Smallwood concludes that the mitigation measures in the 2002 MND are inadequate. First, the 2002 MND did not even consider most of the special status species identified by the Smallwoods. The primary mitigation measure relied on in the 2002 MND is the Coachella Valley Multiple Species Habitat Conservation Plan (CVMSHCP). However, Dr. Smallwood points out that the CVMSHCP does not even cover most of the species identified on the Project site. 124 potentially occurring special -status species lack coverage under the CVMSHCP. (Ex. B at 34). Therefore, the Project's impacts remain significant and unmitigated. The City relies on wildlife studies conducted for the 2002 MND in 1999 and 2000 — a quarter century ago. Dr. Smallwood concludes that "the 2002 MND, which is outdated due to changed circumstances, new information related to potential project impacts, and improvements to mitigation strategies." (Ex. B at 3). Dr. Smallwood notes that the 2002 MND identified only two special status species. Yet, Ms. Smallwood identified 15 on the Project site. Dr. Smallwood notes that many of the special statue species found on the Project site were not listed as special status species in 2002. He states, "Forty-six species in Table 1 have been assigned special status since the date of the final draft of the 2002 MND. The changes in status of these 46 species account for a 2.5-fold increase in the number of special -status species, leaving the remainder of the difference to be explained by hypotheses 1 and 2. Regardless, the evidence certainly suggests that habitat assessments are needed for many more species than was the case in 2002." (Ex. B at 9). Dr. Smallwood concludes that a supplemental EIR is required to analyze and mitigate the Project's impacts on the special status species identified, but not even mentioned in the 2002 MND. This is clearly significant new information that the Project will have impacts not analyzed in the 2002 MND, and evidence of changed circumstances since 2002. 4. Air Quality. The increase in population of 1,690 new residents will increase the Project's air quality impacts over levels analyzed in the 2002 MND. The Addendum calculates that the Revised Project will generate VOC emissions of 52.2 pounds per day —just slightly below the CEQA threshold of 55 pounds per day. The 20 percent increase in traffic over levels assumed in 2002 will push this number over the 55 pound per day CEQA significance threshold since automobile emissions are a major source of VOCs. This is a "new significant environmental effects or a substantial increase in the severity of previously identified Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 6, 2025 City Council Meeting Consent Calendar Item 3 Page 8 of 12 significant effects." (CEQA Guidelines 15164(b)(1).) Therefore, a supplemental EIR is required. Attached hereto as Exhibit C are the comments of Civil Engineer Patrick Sutton, PE, MS, of Baseline Environmental Consulting. Mr. Sutton concludes that the 2025 Addendum substantially underestimated the Project's VOC emission. Mr. Sutton concludes that the Project's VOC emissions will be 65.4 pounds per day (ppd), which is well -above the CEQA significance threshold of 55 ppd. (Ex. C at 2). Among the obvious errors in the Addendum's air quality calculations are that the Addendum assumed that the Project would have ZERO golf course area. However, the Project includes 361 acres of golf courses. This results in VOC emissions from landscape equipment, fertilizers and pesticides — none of which were included in the Addendum's calculations. (Ex. C at 1). Mr. Sutton points out several other obvious errors in the Addendum's calculations: The area of the landscaped golf courses (361 acres or 15,730,000 square feet) was set to zero, which resulted in no emission estimates of VOCs from the application of fertilizers and pesticides. • The total square footage for the hotel in Planning Area (PA) 3 was set to 223,608 square feet, but according to the project description the hotel would be 250,000 square feet. As aresult, the 2025 Addendum underestimated the VOC emissions from consumer products and architectural coatings associated with the hotel in PA 3. The total square footage for the 29 luxury branded residences in PA 2 was set to 56,550 square feet, but according to the project description the average home size would range from 3,000 to 6,000 square feet. Assuming an average home size of 5,000 square feet, the total square footage of the 29 residences would be approximately 145,000 square feet. As a result, the 2025 Addendum underestimated the VOC emissions from consumer products, architectural coatings, and landscape equipment associated with the residences in PA 2. • The total square footage for the 70 luxury branded condominiums in PA 6 was set to 74,200 square feet, but according to the project description the total area would be 293,000 square feet. As a result, the 2025 Addendum underestimated the VOC emissions from consumer products, architectural coatings, and landscape equipment associated with the condominiums in PA 6. (Ex. C at 2). Correcting for all of these obvious errors, and using the required CalEEMod model, Mr. Sutton calculated the Project's VOC emissions at 65.4 pounds per day, well above the SCAQMD CEQA significance threshold. Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 6, 2025 City Council Meeting Consent Calendar Item 3 Page 9 of 12 The Supreme Court has held that when a project exceeds an air district CEQA significance threshold, as here, this alone establishes substantial evidence that the project will have a significant adverse environmental impact. (Communities for a Better Environment v. South Coast Air Quality Management Dist. (2010) 48 Cal.4th 310, 327 [estimated emissions in excess of air district's significance thresholds "constitute substantial evidence supporting a fair argument for a significant adverse impact"].) Indeed, in many instances, such air quality thresholds are the only criteria reviewed and treated as dispositive in evaluating the significance of a project's air quality impacts. (See, e.g. Schenck v. County of Sonoma (2011) 198 Cal.App.4th 949, 960 [County applies Air District's "published CEQA quantitative criteria" and "threshold level of cumulative significance"]; see also Communities for a Better Environment v. California Resources Agency (2002) 103 Cal.App.4th 98, 110-11 ["A `threshold of significance' for a given environmental effect is simply that level at which the lead agency finds the effects of the project to be significant"].) Since the Project's VOC emissions exceed the SCAQMD CEQA significance threshold for VOCs, and EIR is required to analyze and mitigate this impact. 5. Valley Fever. A supplemental CEQA document is required to analyze the Project's Valley Fever impacts. Civil Engineer Patrick Sutton, PE concludes that the Addendum is inadequate for failing to analyze the Project's potentially significant impacts related to Valley Fever. (Ex. C at 4.) He points out that Valley Fever cases have increased 12-fold since 2000, and Riverside County is one of the hardest -hit areas. (Id.) Mr. Sutton states, "The failure of the 2025 Addendum to evaluate, disclose, and mitigate (if necessary) the risk of Valley fever to receptors during project construction presents a significant data gap." (Id.) The state is experiencing a significant increase in Valley Fever — increasing by over 10 times since the 2002 MND. According to the Centers for Disease Control ("CDC") (https://www.cdc.gov/features/valleyfever/index.html): Valley fever is a fungal lung infection that can be devastating... Valley fever is an infection caused by a fungus that lives in the soil. About 10,000 cases are reported in the United States each year, mostly from Arizona and California. Valley fever can be misdiagnosed because its symptoms are similar to those of other illnesses. Here are some important things to know about Valley fever, also called coccidioidomycosis. From soil to lungs The fungus that causes Valley fever, Coccidioides, is found in the southwestern United States, parts of Mexico and Central America, and parts of South America... Many people who are exposed to the fungus never have symptoms. Other people may have flu -like symptoms, including: Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 6, 2025 City Council Meeting Consent Calendar Item 3 Page 10 of 12 Fatigue (tiredness) Cough Fever Shortness of breath Headache Night sweats Muscle aches or joint pain Rash on upper body or legs The symptoms of Valley fever can be similar to those of other common illnesses, which may cause delays in getting patients correctly diagnosed and treated. For many people, symptoms will go away without any treatment, after weeks or months. Healthcare providers prescribe antifungal medication for some people to try to reduce symptoms or prevent the infection from getting worse. People who have severe lung infections or infections that have spread to other parts of the body always need antifungal treatment and may need to stay in the hospital. According to the Los Angeles County Department of Public Health (http://publichealth.lacounty.gov/acd/Diseases/Cocci.htm): Blacks, Latinos, Native Americans, Filipinos, males, pregnant women, the very young (<5 years), elderly, and immunocompromised individuals are at high risk for severe disease. According to the California Department of Public Health (CDPH), a significant increase in Valley Fever cases occurred in 2017. CDPH also states (https://www.cdph.ca.gov/Programs/OPA/Pages/NR18-04 Laspx): Most infected people will not show signs of illness. Those who do become ill with Valley Fever may have flu -like symptoms that can last for two weeks or more. While most people recover fully, some may develop more severe complications which include pneumonia, or infection of the brain, joints, bone, skin, or other organs. There is currently no vaccine, but antifungal medications are available. Individuals should specifically ask their health care provider about Valley Fever if they think they may be infected. People who live, work, or travel in Valley Fever areas are also at higher risk of getting infected, especially if they work outdoors or participate in activities where soil is disturbed. The 2002 MND did not analyze the significant increase in Valley Fever that the state is recently experiencing. Construction workers and others are at particular risk of contracting this disease. Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 6, 2025 City Council Meeting Consent Calendar Item 3 Page 11 of 12 "[U]nder CEQA, the lead agency bears a burden to investigate potential environmental impacts. `If the local agency has failed to study an area of possible environmental impact, a fair argument may be based on the limited facts in the record. Deficiencies in the record may actually enlarge the scope of fair argument by lending a logical plausibility to a wider range of inferences.' (Sundstrom v. County of Mendocino (1988) 202 Cal. App. 3d 296, 311; County Sanitation Dist. No. 2 v. County of Kern (2005) 127 Cal. App. 4th 1544.) "CEQA places the burden of environmental investigation on government rather than the public. If the local agency has failed to study an area of possible environmental impact, a fair argument may be based on the limited facts in the record." (Gentry v. City ofMurrieta (1995) 36 Cal.AppAth 1359, 1378-79 [quotations omitted].) Indeed, "[deficiencies in the record may actually enlarge the scope of fair argument by lending a logical plausibility to a wider range of inferences." (Id.; see also Christward Ministry v. Superior Court (1986) 184 Cal.App.3d 180, 197 [holding that city's failure to undertake adequate environmental analysis further supported fair argument that project would have significant impacts].) Supplemental CEQA review is required to analyze and mitigate the Project's impacts related to Valley Fever. 6. Formaldehyde. Industrial Hygienist Francis Offermann, PE, has submitted comments concluding that the Project will have significant impacts related to formaldehyde emissions. (Exhibit D). This impact was not known in 2002 since the research had not been published at that time. Therefore, this is significant new information that must be analyzed in a supplemental EIR. Mr. Offermann concludes that "the cancer risk of a resident living in a California home with the median indoor formaldehyde concentration of 36 µg/m3, is 180 per million as a result of formaldehyde alone. The CEQA significance threshold for airborne cancer risk is 10 per million, as established by the South Coast Air Quality Management District (SCAQMD, 2015)." (Offermann at 2). Even if the homes are constructed with CARB- complaint materials, Mr. Offermann calculates that the cancer risk will be 120 per million — still far above the CEQA significance threshold. (Id. at 4). Mr. Offermann suggests mitigation measures, such as the use of no -added formaldehyde building materials, which could dramatically reduce formaldehyde exposure. (Id. at 13). A CEQA document should be prepared to analyze this and other mitigation measures. II. CONCLUSION. For the reasons set forth above, supplemental CEQA review is required for the Project because it will have significant new impacts that were not analyzed in the 2002 MND. Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-453 (SCH #1999081020) for the SilverRock Resort Project October 6, 2025 City Council Meeting Consent Calendar Item 3 Page 12 of 12 Sincerely, 1 Richard Drury LOZEAU I DRURY LLP EXHIBIT A Tom Brohard and Assoc'iales September 30, 2025 Mr. Richard Drury Lozeau Drury LLP 1939 Harrison Street, Suite 150 Oakland, CA 94612 SUBJECT: Review of the SilverRock Resort Project Addendum in the City of La Quinta — Transportation and Circulation Issues Dear Mr. Drury: As requested, I, Tom Brohard, P.E., have reviewed the September 2025 Addendum to the Mitigated Negative Declaration for the SliverRock Resort Project in the City of La Quinta. My review focused on Chapter 3.6, the Transportation/Circulation Section of the Addendum. I have also reviewed the August 1, 2022, City of La Quinta Engineering Bulletin #06-13 that sets forth the City's Traffic Impact Study (TIS) Guidelines which includes the addition of vehicle miles traveled (VMT). Additionally, I reviewed the April 2, 2002, Transportation - Circulation Section of the Initial Study for development of "The Ranch" as the development of this same property was called at that time. Education and Experience Since receiving a Bachelor of Science in Engineering from Duke University in Durham, North Carolina in 1969, 1 have gained over 55 years of professional engineering experience focused on traffic engineering and transportation planning as shown on the enclosed resume. I am licensed as a Professional Civil Engineer both in California and Hawaii and as a Professional Traffic Engineer in California. I have served as the contract City Traffic Engineer and Transportation Planner for 16 cities in Southern California and formed Tom Brohard and Associates in 2000. During my career in both the public and private sectors, I have also reviewed numerous environmental documents and traffic studies for various projects. My wife and I moved to La Quinta as full time residents in February 2003 and live less than three miles from the Proposed Project. Primary Finding The introductory paragraph of the City's August 2022 TIS Guidelines states "All traffic studies submitted to the City of La Quinta shall be completed by a Traffic Engineer registered in the State of California and shall follow these guidelines unless otherwise directed by the City Engineer." 81905 iWountain T iew IQne, La.Quinta, C:a,&�6r7da 9225.3-7G11 Phone (750) 398 8885 Email thmhard0(da�gnrail cmn Mr. Richard Drury SilverRock Resort Project Addendum— Transportation/Circulation Issues September 30, 2025 Regarding vehicle miles traveled (VMT), Page 2 of the City's TIS Guidelines states "The General Plan strategically links land use and transportation to reduce environmental impacts of growth by supporting project development that supports walking, biking, and transit, bringing office/residential/and service land uses together to internalize trips to reduce VMT and encourages the development and use of non -automobile transportation modes to help minimize vehicle trips and reduce VMT." Page 3 of the TIS Guidelines states "...three types of screening that can apply to effectively screen projects from project -level assessment including Project Type Screening, Transit Priority Area Screening. and Low VMT Area Screening... A VMT screening analysis must be completed to determine if the project falls into one of these screening types... If the project fails to meet any of the screening criteria above. a detailed VMT analysis is required to be prepared. It must identify potential transportation impacts and propose mitigation and/or improvements." While the California Environmental Quality Act (CEQA) together with the City's General Plan and the City's TIS Guidelines mandate consideration of VMT, the Addendum does not provide any VMT screening (which would not apply with over 7,500 trips forecast to be generated), or VMT analysis, or development of mitigation measures to reduce VMT for the SilverRock Resort Project. The Addendum fails to provide any of the VMT information that has been required since 2022 by CEQA and by the City's own TIS Guidelines. Without this information. the Addendum must be considered incomplete, and the updated SilverRock Resort Project cannot proceed until the VMT analyses are reviewed, approved, and mitigation measures adopted and monitored, as necessary. Since there is no plan that includes mitigation measures to reduce the VMT by 15% below the City-wide average as required, then the SilverRock Resort Project will have a significant VMT impact. The Addendum fails to study and evaluate numerous mitigation measures and opportunities published by the California Air Pollution Control Officers Association (CAPCOA) to reduce VMT (see enclosed listing). Furthermore. no evidence is provided that the project applicant has worked with the City and has exhausted all mitigation opportunities commonly used by California agencies. Without considering alterations to the project description and withrmt City concurrence, a Statement of Overriding Consideration should not be considered. Project Description Addendum Page 2.0-7 describes the 2025 SilverRock Resort Project as follows: F Mr. Richard Drury SilverRock Resort Project Addendum— Transportation/Circulation Issues September 30, 2025 "The 2025 Project... for the first phase... a 154-room Luxury Resort Hotel with supporting facilities, 192 single family and condominium resort residential units for the existing golf course... The second phase includes the future development of an 18-hole private golf course, 253 resort residential units. and 40,000 square feet of commercial development.' Transportation and Circulation Issues Based on my review of various documents, the SilverRock Resort Project in the City of La Quinta will likely have significant traffic and transportation impacts including excessive VMT have not been estimated, evaluated, and mitigated as required both by CEQA and the City's own TIS Guidelines. Study and analysis of the SilverRock Resort Project, together with the development and monitoring of mitigation measures is required to achieve at least a 15% reduction in VMT that will be generated by the residential portions of this development. The additional mitigation measures must be included as Conditions of Approval as follows: 1) Mitigation Measures Required To Achieve VMT Reduction Goal of 15% — As indicated above, the VMT analysis that is required by CEQA and the City's TIS Guidelines has not been prepared or included in the Addendum for the SilverRock Resort Project. Attachment 6 of the City's TIS Guidelines requires at least a 15% reduction in VMT per resident that is either below the Citywide VMT per resident or below the regional VMT per resident, whichever is more stringent. To accomplish this, a plan must be developed, implemented, and monitored to ensure that this goal is achieved. The California Air Pollution Control Officers Association (CAPCOA) publication entitled "Quantifying Greenhouse Gas Mitigation Measures — A Resource for Local Government to Assess Emission Reductions from Greenhouse Gas Mitigation Measures" lists numerous potential VMT mitigation measures together with a range of expected VMT reductions that may occur. The enclosed listing from CAPCOA includes 50 transportation VMT reduction mitigation measures. Overall, VMT reduction measures to achieve the required VMT reduction of 15 percent below the City average must be identified, conditioned, and monitored. The Addendum fails to develop any mitigation measures to reduce excess VMT below the existing VMT and therefore be less than the level of a significant impact. At this point, no evidence has been provided that the project applicant has worked with the City and has exhausted all mitigation opportunities to eliminate significant VMT impacts. Without this, without considering alterations to the project description, and without City 3 Mr. Richard Drury SilverRock Resort Project Addendum— Transportation/Circulation Issues September 30, 2025 concurrence, a Statement of Overriding Consideration should not be considered. The insufficient effort to mitigate the excessive VMT should not be accepted without further study. Mitigation measures from CAPCOA's resource publication should be imposed and added to the City's Conditions of Approval for the SilverRock Resort Project. 2) Project Trip Generation Has Increased By 20% from the 2002 MND - Page 14 of the Initial Study for "The Ranch" forecast 6,383 daily trips on Page 14 in Table 1 for the Project as follows: "The Ranch" Project Initial Study Forecast Daily Trip Generation 2002 MND Land Use Quantity Daily Trips Golf Course 45 Holes 1.608 Resort Hotel 250 Rooms 2,000 Timeshare Units 300 Units 1.758 Specialty Retail 25,000 SF 1.017 Total Project Trips 6,383 Page 3.0-30 of the Addendum for the SilverRock Resort Project Addendum forecasts 7,571 daily trips as follows: SilverRock Resort Project Addendum Forecast Daily Trip Generation 2025 Land Use Quantity Daily Trips Golf Course 36 Holes 1,094 Resort Hotel 154 Rooms 1,230 Single Family Attached 323 Units 2,326 Single Family Detached 122 Units 1,150 Shopping Plaza 40,000 SF 2,701 Subtotal 8,501 Internal Captures _930 Total Project Trips 7,571 As shown above and even with credit given for internal capture when trips occur internally within the proposed project, the SilverRock Resort Project is forecast to generate 1,188 additional daily trips than were forecast for The Ranch Project 23 years ago. This increase of nearly 20 percent in daily trips, together with corresponding increase in peak hour trips, is significant and its 4 Mr. Richard Drury SilverRock Resort Project Addendum— Transportation/Circulation Issues September 30, 2025 Impact must be evaluated, and additional mitigation measures must be added as Conditions of Approval. 3) Changed Conditions Since 2002 Require Updated Mitigation Measures — In the 22 years since we moved to La Quinta in early 2003, there has been significant growth in the number of residents, many of whom including us live here throughout the year. Golf courses have proliferated, together with their on -site residential properties. The area's golf course expansion near the SilverRock Resort involved The Tradition Golf Club, Rancho La Quinta Country Club, The Citrus Club, Mountain View Country Club, The Hideaway, PGA West, Andalusia, Trilogy Golf Club at La Quinta, and The Madison Club (which did not exist in 2002) to name only those properties within 1.5 miles of the SilverRock Resort. To see the differences in development of the area near the SilverRock Resort. look at the enclosed Google Earth photography from 2002 and compare it to the 2025 aerial photo showing the same area. With the significant increase in development over the last 23 years, additional traffic to and from the SliverRock Resort Project will be added to what was generated by existing developments occurring since the time of the 2002 MND. Without any validation or verification together with a significant increase in Project -generated daily trips of almost 20 percent. the Addendum attempts to just reuse the prior mitigation measures from the 2002 MND. The traffic signals proposed in the 2002 MND and carried forward in the Addendum to achieve the City's level of service at LOS D or better may not be sufficient or appropriate. As discussed below, the Addendum did not carefully review or update the prior mitigation measures, and those prior mitigation measures must be reviewed and revised to reflect these comments as follows: a) Jefferson Street and Avenue 52 - In describing forecast 2035 level of service (LOS) and recommended improvements from the City's General Plan, Page 3.0-28 of the Addendum states, "LOS C during the AM peak hour and LOS D during the PM peak hour at Jefferson Street and Avenue 52..." Mitigation Measure MM TRANS-1 describes traffic signals to be installed at various intersections with the SilverRock developer paying their fair -share, but that listing does not include Jefferson Street and Avenue 52. The existing one -lane roundabout at this intersection fails at fiirries dwinrd _Pa -,anal traffic_ and at other timoc, and the City plans to revise the one -lane roundabout by adding a second lane. According to the Addendum which references previously identified mitigation measures, the developer should pay their fair -share of this improvement project as well. b) Jefferson Street at Project Entrance - Page 3.0-29 of the Addendum states the developer shall pay a fair -share of the installation of traffic signals on Jefferson Street at the Project Entrance. About two years ago, a IuuridaDout was installed at this location which also includes the primary 5 Mr. Richard Drury SilverRock Resort Project Addendum— Transportation/Circulation Issues September 30, 2025 access to The Hideaway, so there does not seem to be a need to install a traffic signal here. c) Jefferson Street at Avenue 54 — Page 3.0-29 of the Addendum states the developer shall pay a fair -share of the installation of traffic signals on Avenue 54 at Jefferson Street. Rather than a traffic signal, a roundabout may be a better choice to replace the existing 4-way STOP at this location, together with adding a free westbound to northbound right turn. d) Jefferson Street South of Avenue 52 — In describing the Existing Conditions, Page 3.0-29 of the Addendum states "Jefferson Street... consists of three lanes in each direction." With the construction of the roundabout at the SilverRock Resort Project access and The Hideaway about two years ago, Jefferson Street between Avenue 52 and Avenue 54 was narrowed to two lanes in each direction. This striping change that was made does not correspond to the wording in the Addendum of three lanes in each direction. This reduction should also be checked against traffic volume forecasts for 2035 to verify that only two through lanes in each direction will be adequate, rather than three through lanes. e) Bus Stop Improvements on Adjacent and Internal Roadways — Page 5 of the 2002 MND states: "Bus stops shall be positioned at locations on and adjacent to the site to be determined in coordination with the bus transit service provider that will serve the project area. Bus stops should be generally located '/4 mile walking distance from Timeshare units." At present, no bus stops exist on either side of Avenue 52 or along Jefferson Street adjacent to the SilverRock Resort Project site. Also, no bus bays or bus pads for future bus service have been constructed around the perimeter of the SilverRock Resort Project. As part of the VMT reduction measures that are required to be developed, these improvements should be required around the perimeter as well as on the primary internal roadway within the Proposed Project. Until the various issues and concerns in this letter are fully addressed. there is substantial evidence that the SilverRock Resort Project will have significant adverse traffic, and circulation impacts that have not been properly disclosed, analyzed and mitigated. The recommendations in this letter must be considered. In addition. the various flaws and deficiencies outlined above in the Addendum must be addressed through further analysis before the SilverRock Resort Project receives further consideration. Mr. Richard Drury SilverRock Resort Project Addendum— Transportation/Circulation Issues September 30, 2025 If you have questions regarding these comments, please call me at your convenience. Respectfully submitted. Tom Brohard and Associates Tom Brohard. PE Principal �°QROfESSip,��q` aRON Fy C24577 s�gjFo� �i1�OP�\� Q�pEF SSIaN'44 Cz TR724 TRAO Enclosures Resume ➢ CAPCOA Quantifying Greenhouse Gas Mitigation Measures, August 2010 ➢ 2002 Google Earth Aerial Photography 2025 Google Earth Aerial Photography 7 Tom Brohard, PE Licenses: 1975 / Professional Engineer / California — Civil, No. 24577 1977 / Professional Engineer / California — Traffic, No. 724 2006 / Professional Engineer / Hawaii — Civil, No. 12321 Education: 1969 / BSE / Civil Engineering / Duke University Experience: 55+ Years Memberships: 1977 / Institute of Transportation Engineers — Fellow, Life 1978 / Orange County Traffic Engineers Council - Chair 1982-1983 1981 / American Public Works Association — Life Member Tom is a recognized expert in the field of traffic engineering and transportation planning. His background also includes responsibility for leading and managing the delivery of various contract services to numerous cities in Southern California. Tom has extensive experience in providing transportation planning and traffic engineering services to public agencies. In addition to conducting traffic engineering investigations for Los Angeles County from 1972 to 1978, he has previously served as City Traffic Engineer in the following communities: o Bellflower.....................................................1997 - 1998 o Bell Gardens................................................1982 - 1995 o Big Bear Lake........................................2006 - 2015 o Indio-,--- . ............................................. 2005-2019 o Huntington Beach ........................................ 1998 - 2004 o Lawndale......................................................1973 - 1978 o Los Alamitos................................................1981 - 1982 o Oceanside....................................................1981 - 1982 oParamount...................................................1982 - 1988 o Rancho Palos Verdes..................................1973 - 1978 o Rolling Hills..................................................1973 - 1978, 1985 - 1993 o Rolling Hills Estates.....................................1973 - 1978, 1984 - 1991 o San Fernando........................................2004 - Present oSan Marcos .................................................. 1981 o Santa Ana .................................................... 1978-1981 o Westlake Village ..... ..................................... 1983 - 1994 During these assignments, Tom has supervised City staff and directed other consultants including traffic engineers and transportation planners, traffic signal and street lighting personnel, and signing, striping, and marking crews. He has secured over $10 million in grant funding for various improvements. He has managed and directed many traffic and transportation studies and projects. While serving these communities, he has personally conducted investigations of hundreds of citizen requests for various traffic control devices. Tom has also successfully presented numerous engineering reports at City Council, Planning Commission, and Traffic Commission meetings in these and other municipalities. Tom Brohard and Associates Tom Brohard, PE, Page 2 In his 14 years of service to the City of Indio, Tom accomplished the following: Oversaw preparation and adoption of the 2008 Circulation Element Update of the General Plan including development of Year 2035 buildout traffic volumes, revised and simplified arterial roadway cross sections, and reduction in acceptable Level of Service criteria under certain conditions. Oversaw preparation of fact sheets/design exceptions to reduce shoulder widths on Jackson Street and on Monroe Street over 1-10 as well as justifications for protected - permissive left turn phasing at 1-10 on -ramps, the first such installations in Caltrans District 8 in Riverside County; reviewed plans and provided assistance during construction of both $2 million projects to install traffic signals and widen three of four ramps at these two interchanges under Caltrans encroachment permits. Reviewed traffic signal, signing, striping, and work area traffic control plans for the County's $45 million 1-10 Interchange Improvement Project at Jefferson Street. Reviewed traffic impact analyses for Project Study Reports evaluating different alternatives for buildout improvements of the 1-10 Interchanges at Jefferson Street, Monroe Street, Jackson Street and Golf Center Parkway. ❖ Oversaw preparation of plans, specifications, and contract documents and provided construction assistance for over 70 traffic signal installations and modifications. Reviewed and approved over 2,000 work area traffic control plans as well as signing and striping plans for all City and developer funded roadway improvement projects. Oversaw preparation of a City-wide traffic safety study of conditions at all schools. Obtained $47,000 grant from the California Office of Traffic Safety and implemented the City's Traffic Collision Database System. Annually reviews "Top 25" collision locations and provides traffic engineering recommendations to reduce collisions. ❖ Prepared over 1,500 work orders directing City forces to install, modify, and/or remove traffic signs, pavement and curb markings, and roadway striping. ❖ Oversaw preparation of engineering and traffic surveys to establish enforceable speed limits on over 500 street segments. :• Reviewed and approved traffic impact studies for more than 35 major projects and special events including the annual Coachella and Stagecoach Music Festivals. ❖ Developed and implemented the City's Golf Cart Transportation Program. Since forming Tom Brohard and Associates in 2000, Tom has reviewed many traffic impact reports and environmental documents for various development projects. He has provided expert witness services and also prepared traffic studies for public agencies and private sector clients. Tom Brohard and Associates Section Category Page Measure 3.1.1 Increase Density 155 LUT-1 3.1.2 Increase Location Efficiency 159 LUT-2 3.1.3 Increase Diversity of Urban and Suburban Developments (Mixed Use) 162 LUT-3 3.1.4 Increase Destination Accessibility 167 LUT-4 3.1.5 Increase Transit Accessibility 171 LUT-5 3.1.6 Integrate Affordable and Below Market Rate Housing 176 LUT-6 3.1.7 Orient Project Toward Non -Auto Corridor 179 LUT-7 3.1.8 Locate Project near Bike Path/Bike Lane 181 LUT-8 3.1.9 Improve Design of Development 182 LUT-9 Neighborhood/Site Enhancements 186 3.2.1 Provide Pedestrian Network Improvements 186 SDT-1 3.2.2 Provide Traffic Calming Measures 190 SDT-2 3.2.3 Implement a Neighborhood Electric Vehicle (NEV) Network 194 SDT-3 3.2.4 Create Urban Non -Motorized Zones 198 SDT-4 3.2.5 Incorporate Bike Lane Street Design (on -site) 200 SDT-5 3.2.6 Provide Bike Parking in Non -Residential Projects 202 SDT-6 3.2.7 Provide Bike Parking with Multi -Unit Residential Projects 204 SDT-7 3.2.8 Provide Electric Vehicle Parking 205 SDT-8 3.2.9 Dedicate Land for Bike Trails 206 SDT-9 3.3 Parking Policy/Pricing 207 1W 3.3.1 Limit Parking Supply 207 PDT-1 3.3.2 Unbundle Parking Costs from Property Cost 210 PDT-2 3.3.3 Implement Market Price Public Parking (On -Street) 213 PDT-3 3.3.4 Require Residential Area Parking Permits 217 PDT-4 3.4 Commute Trip Reduction Programs 218 3.4.1 Implement Commute Trip Reduction Program - Voluntary 218 TRT-1 3.4.2 Implement Commute Trip Reduction Program — Required 223 TRT-2 Implementation/Monitoring 3.4.3 Provide Ride -Sharing Programs 227 TRT-3 3.4.4 Implement Subsidized or Discounted Transit Program 230 TRT-4 3.4.5 Provide End of Trip Facilities 234 TRT-5 3.4.6 Encourage Telecommuting and Alternative Work Schedules 236 TRT-6 3.4.7 Implement Commute Trip Reduction Marketing 240 TRT-7 3.4.8 Implement Preferential Parking Permit Program 244 TRT-8 3.4.9 Implement Car -Sharing Program 245 TRT-9 3.4.10 Implement a School Pool Program 250 TRT-10 3.4.11 Provide Employer -Sponsored Vanpool/Shuttle 253 TRT-11 3.4.12 Implement Bike -Sharing Programs 256 TRT-12 3.4.13 Implement School Bus Program 258 TRT-13 3.4.14 Price Workplace Parking 261 TRT-14 3.4.15 Implement Employee Parking "Cash -Out" 266 TRT-15 Section Category Page Measure 3.5 Transit System Improvements 270 3.5.1 Provide a Bus Rapid Transit System 270 TST-1 3.5.2 Implement Transit Access Improvements 275 TST-2 3.5.3 Expand Transit Network 276 TST-3 3.5.4 Increase Transit Service Frequency/Speed 280 TST-4 3.5.5 Provide Bike Parking Near Transit 285 TST-5 3.5.6 Provide Local Shuttles 286 TST-6 3.6 RoaVicing/Management 287 3.6.1 Implement Area or Cordon Pricing 287 RPT-1 3.6.2 Improve Traffic Flow 291 RPT-2 3.6.3 Required Project Contributions to Transportation Infrastructure 297 RPT-3 Improvement Projects 3.6.4 Install Park -and -Ride Lots 298 RPT-4 ®Y Vehicles 3001� 3.7.1 Electrify Loading Docks and/or Require Idling -Reduction Systems 300 VT-1 3.7.2 Utilize Alternative Fueled Vehicles 304 VT-2 3.7.3 Utilize Electric or Hybrid Vehicles 309 VT-3 1R. ., . — � • I �YGiir(1?�'.� .+v . rs i M��W� � •wJ iwi l � .. i - ` I ' 1 1 .•� • t Iridiaw.Wells'C©untryQ. 1r � 1IF i t� I�i N ut} Zg t 4 • :. . T• • • A"''-''►,_ . 1 � j�/ , �• N • f� n- U of • r,::.a �- l� 41. �► :� `• . ,, , a_ ` e �. •. }� # •yam' * t.r .. CMOs Oo I' AN 0 Empire Polo Club a 3('Ca�repn,Bivend T. d�"'J ° •. W'�Feature � w� / ryV ,. •r.r.:.. I1 StCWQRW�iolesa �„• w.• �.- iri /. w •T iJ 1 u i'71�7',,,i rr-^� i M ti • Feature �i � er Z� a�is 1 � _� -- - _ ,1 _ �. �'i}�•":r�:`-�ii sA _ 10 Feature yy�r r�'��/}}�� v 8 r.. -. 'r'�- 8 T a •nn�ijl•�:.�i;ee „ lk�'i% �r • �. •✓\✓ �ii }�� {�r'1/�/ �I CJ I 1rI :' j. 1 ��{ N r r•' G•i i♦-) '' � ' J/ `' iJt I I! • �-Y9 v A �Gy ~ • Burger rz! + .r 11 , (n ` '.ti r a :Indfa�_. alms C•o�,ntk 11b ill 0 t ' Jacqueline Cochran RegionalAirport 04. Rancho Ca Quinta Gountr-y (,tlr .t �� e - TheLiving Desert.Gardens `ti J r ,LUN a�Quir a -Resort � -urto �,. �°' - . 71 IL /• '�' ;.iL. t �• .Y�::•- +� :Avenue;5 .___MIS_�.�. Flu_ 5 �„ .�. - ii� 5 40, 00 ee • c40. � .' \ 1i��l , 1 7 1 r r L•," 1 1- o - wj SilverRock Resort Area Aerial - 2025 _ ` .� � _ •ems ism -may _ _ � 4�"' '� . •;T =� .�►_., Avenr,e_50 W. — �- \- 7z� :Q•i t -� V -Ora rge - •' - S ie ds Date Ga d'e� i�tostco, UUh� olesale - _ �ero48,�"' J _ 9 = �•5'G,� y-- � ; ` , vey48��` • 67, a�Qul Tat, puntr Cluti +' • - Ave�i�tE 8 nurse K .�...�%�; �' � �,+,��} � - • �•�. I Fit f�" 'rrt! t L�tSigpi� sz t- EXHIBIT B Shawn Smallwood, PhD 31o8 Finch Street Davis, CA 95616 City of La Quinta 78-495 Calle Tampico La Quinta, California 92253 4 October 2025 RE: SilverRock Resort Project To Whom It May Concern, I write to comment on the environmental review that has been performed for potential impacts on biological resources that would be potentially caused by development of the proposed Silver Rock Resort Project. I understand the project would add 655,000 square feet of hotel, club house and residential buildings on 498 acres south of Avenue 52 and west of Jefferson St in La Quinta, California. The 2025 Addendum to Adopted MND concludes, "a. The 2025 Project will not have one or more significant effects not discussed in the adopted MND. b. Significant effects previously examined will not be substantially more severe than shown in the adopted MND. c. No new mitigation measures or alternatives have been found to be feasible that would reduce one or more significant effects of the Specific Plan. d. No new mitigation measures or alternatives, considerably different from those analyzed in the adopted MND, have been identified that the Project proponents decline to adopt.", and at P. 3.0-34, "No new information or changed circumstances were identified in the Previous Assessments that resulted in new or more severe impacts related to biological resources." I am concerned, however, that the 2025 Addendum to Adopted MND's conclusions are inaccurate and misleading, and that if the project goes forward based on the environmental review completed to date, the wildlife community and particular special -status species would suffer significant, unmitigated impacts. My qualifications for preparing expert comments are the following. I hold a Ph.D. degree in Ecology from University of California at Davis, where I also worked as a post- graduate researcher in the Department of Agronomy and Range Sciences. My research has been on animal density and distribution, habitat selection, wildlife interactions with the anthrosphere, and conservation of rare and endangered species. I authored many papers on these and other topics. I served as Chair of the Conservation Affairs Committee for The Wildlife Society — Western Section. I am a member of The Wildlife Society and Raptor Research Foundation, and I've lectured part-time at California State University, Sacramento. I was Associate Editor of wildlife biology's premier scientific journal, The Journal of Wildlife Management, as well as of Biological Conservation, and I was on the Editorial Board of Environmental Management. I have performed wildlife surveys in California for thirty-seven years. My CV is attached. THE 2002 MND AND 2006, 2014, AND 2o18 ADDENDA ARE OUTDATED The 2oo6, 2014, and 2018 Addenda to the 2002 MND rely on the environmental review of the 2002 MND, which is outdated due to changed circumstances, new information related to potential project impacts, and improvements to mitigation strategies. The 2oo6, 2014, and 2018 Addenda mostly repeat the findings of the 2002 MND, the only major exception having been the later reporting that Sonoran bighorn sheep had been observed on the project site subsequent to the 2002 MND, and that exclusion fencing had been constructed per a mitigation measure in the 2002 MND. Each Addendum repeats the 2002 MND reporting that a series of biological resources survey were completed between 1999 and 200o. The 2002 MND mentions these surveys, but provides no citations or references to them, and the technical reports are not carried through the Addenda to the 2025 Addendum. Therefore, I do not know who conducted the surveys or what levels of effort were committed to what was then described as a 707 acre project site. All I know from the 2002 MND is that focused surveys were directed to a few special -status species, that loggerhead shrike and black - tailed gnatcatcher were detected, and that a desktop review identified 31 special -status species of wildlife known to the project area. Circumstances have changed. In my assessment based on a database review and site visits (summarized below), 140 special -status species of wildlife are known to occur near enough to the site to warrant analysis of occurrence potential (Table 1). Just was the case in 2002, not all these species should be expected to occur at the project site, but each of them should be given a closer look to determine occurrence likelihoods and whether additional surveys are needed, or implementation of detection surveys, or whether it would be reasonable to assume presence. The number of special -status species whose occurrence records warrant analysis of occurrence likelihood on the project site has increased by log special -status species, or 4.5-fold since 2002. The 2002 MND is obsolete and should no longer be relied upon. Of the 140 species with potential to occur, 21 (15%) have been recorded on or just off the project site, and another 23 (16%) species have been documented within 1.5 miles of the site (Very close), another 12 (9%) within 1.5 and 4 miles (Nearby), and another 78 (56%) within 4 to 30 miles (In region). Nearly half (40%) of the species in Table 1 have been reportedly seen within 4 miles of the project site. The site therefore supports at least 20 special -status species of wildlife, and it carries the potential for supporting many more special -status species of wildlife based on the proximities of recorded occurrences. If the two special -status species noted in the 2002 MND were the only special -status species detected on the project site in 1999-2000, then the species detected by Noriko is an order of magnitude greater. The difference could be explained by or more of the following hypotheses: (1) Noriko Smallwood, who surveyed the site on behalf (see below) is more skilled than were the biologists who surveyed the site in 1999-2000, (2) The biologists who surveyed in 1999-2000 did not commit enough survey effort or surveyed at the wrong of day to detect many special -status species, and (3) many of the species detected in 1999-2000 lacked the special status that they have today. 2 Table 1. Occurrence likelihoods of special -status bird species at or near the proposed project site, according to eBird/iNaturalist records (https: [/eBird.org, https: ZZwww.inaturalist.org) and on -site survey findings, where `Very close' indicates within 1.5 miles of the site, "nearby" indicates within 1.5 and 4 miles, and "in region" indicates within 4 and 30 miles, and `in range' means the species' geographic ran e overlaps the site. Entries in bold font identify species detected by Noriko Smallwood during her site visit. Species highlighted in have been assigned special status since the adoption of the 2002 MND. CVMSHSP in the rightmost column refers to species covered by the Coachella Valley Multi -Species Habitat Conservation Plan (CVMSHCP). Common name Species name Status' Database records, Surve s CVMSHCP Cover? Case 's June beetle Dinacoma case i 71 FE In region Monarch Danaus plexippus FC Very close Crotch's bumble bee Bombus crotchii CCE In region Southwestern pond turtle Actinem s pallida FC, SSC In region Mojave desert tortoise Go horus a assizii Ab FT, CE In region Yes Flat -tailed horned lizard Phr nosoma mcallii SSC In region Yes Coachella Valley fringe -toed lizard Uma inornata FT, CE In region Yes Red -diamond rattlesnake Crotalus ruber SSC Nearby Fulvous whistling -duck Dendrocygna bicolor SSCi In region Brant Branta bernicla W SSC2 Very close Cackling goose (Aleutian) Branta hutchinsii leuco areia WL In region Redhead A th a americana SSC2 Very close Western grebe Aechmo horus occidentalis BCC Very close Clark's grebe Aechmo horns clarkii BCC Very close Western yellow -billed cuckoo Coccyzus americanus occidentalis FT, CE In region Black swift Cypseloides ni er SSC3, BCC In region Vaux's swift Chaetura vauxi SSC2 Very close Costa's hummingbird Calypte costae BCC On site/On site Calliope hummingbird Selas horus calliope BCC In region Rufous hummingbird Selas horus rufus BCC On site Allen's hummingbird Selas horus sasm BCC In region American avocet Recurvirostra americana BCC Nearby Mountain plover Charadrius montanus SSC2, BCC In region Snowy lover Charadrius nivosus BCC In region 3 Common name Species name Status' Database records, Surveys CVMSHCP Cover? Western snowy lover Charadrius nivosus nivosus FT, SSC In region Long -billed curlew Numenius americanus WL Nearby Marbled godwit Limosa edoa BCC In region Black turnstone Arenaria melanoce halo BCC In region Red knot Calidris canutus BCC In region Pectoral sandier Calidris melanotos BCC In region Short -billed dowitcher Limnodromus griseus BCC In region Lesser yellowlegs Trin a avi es BCC In region Willet Trin a semi almata BCC In region Laughing ull Leuco haeus atricilla WL In region Franklin's gull Leuco haeus pipixcan BCC Nearby Heermann's gull Larus heermanni BCC In region Western gull Larus occidentalis BCC In region Yellow -footed gull Larus livens BCC In region California gull Larus calf ornicus JL BCC, WL Very close California least tern Sternula antillarum browni FE, CE, CFP In region Gull -billed tern Gelochelidon nilotica BCC, SSC3 In region Black tern Chlidonias ni er IMPIIIIIPMMV SSC2, BCC In region Elegant tern Thalasseus ele ans BCC, WL In region Black skimmer R ncho s ni er IF BCC, SSC3 In region Common loon Gavia immer SSC Very close Double -crested cormorant Phalacrocorax auritus WL On site American white pelican Pelacanus erythrorhynchos SSC' On site Least bittern Ixobr chus exilis SSC2 In region Reddish egret E retta ru escens BCC In region White-faced ibis Ple adis chihi WL Very close Turkey vulture Cathartes aura BOP On site On site Osprey Pandion haliaetus WL, BOP On site White-tailed kite Elanus luecurus CFP, BOP In region Golden eagle Aquila chrysaetos BGEPA, CFP, BOP, WL Nearby Common name Species name Status' Database records, Surveys CVMSHCP Cover? Northern harrier Circus c aneus BCC, SSC3, BOP Very close Sharp -shinned hawk Acci iter striatus WL, BOP Very close Cooper's hawk Acci iter coo erii WL, BOP On site Bald eagle Haliaeetus leucoce halus CE, BGEPA, BOP Very close Red -shouldered hawk Buteo lineatus BOP On site/Just off site Swainson's hawk Buteo swainsoni CT, BOP Nearby Red-tailed hawk Buteo 'amaicensis BOP On site On site Ferruginous hawk Buteo re alis WL, BOP In region Zone -tailed hawk Buteo albonotatus BOP Nearby Harris' hawk Parabuteo unicinctus WL, BOP In region American barn owl T to furcata BOP Very close Western screech -owl Me asco s kennicotti BOP In region Great horned owl Bubo virginianus BOP On site/Just off site Burrowing owl Athene cunicularia BCC, SSC2, BOP, CCE arb RIP Yes Long-eared owl Asio otus BCC, SSC3, BOP In region Short -eared ow Asia flammeu BCC, SSC3, BOP In region Northern saw -whet owl Ae olius acadicus BOP In region Lewis's woodpecker Melaner es lewis BCC In region Nuttall's woodpecker Picoides nuttallii BCC Very close American kestrel Falco s arverius BOP On site On site Merlin Falco columbarius WL, BOP Very close Peregrine falcon Falco peregrinus BOP On site Prairie falcon Falco mexicanus WL, BOP Very close Olive -sided flycatch Conto us coo eri BCC Very close Willow flycatcher Em idonax trailii CE Very close Southwestern willow flycatcher Em idonax traillii extimus FE, CE In range Yes Brown -crested flycatcher M iarchus tyrannulus WL In region Vermilion flycatcher Pyrocephalus rubinus SSC2 On site On site Common name Species name Status' Database records, Surveys CVMSHCP Cover? Least Bell's vireo Vireo bellii pusillus FE, CE Very close Yes Gray vireo Vireo vicinior SSC2 In region Yes Loggerhead shrike Lanius ludovicianus SSC2 On site/On site Oak titmouse Baeolo hus inornatus BCC In region Verdin Auri arus avice s BCC On site/On site California horned lark Eremo hila al estris actia WL Very close Bank swallow Ri aria ri aria CT Nearby Purple martin Pro ne subis SSC2 In region Wrentit Chamaea fasciata BCC In region Black -tailed gnatcatcher Polio tila melanura WL On site On site Bendire's thrasher Toxostoma bendirei SSC3, BCC In region California thrasher Toxostoma redivivum BCC In region LeConte's thrasher Toxostoma lecontei SSC1, BCC In region Yes Crissal thrasher Toxostoma crissale SSC3 Nearby Yes Cassin's finch Haemorhous cassinn CC In region Lawrence's goldfinch Sinus lawrencei BCC Very close Grasshopper sparrow Ammodramus savannarum SSC2 In region Black -chinned sparrow S izella atro ularis BCC In region Gray -headed junco Junco h emalis canice s WL In region Bell's sparrow Am his iza b. belli WL In region Oregon vesper sparrow Pooecetes gramineus affinis SSC2 In range Southern California rufous- crowned sparrow Aimophila ruficeps canescens WL In region Yellow -breasted chat Icteria virens SSC3 In region Yes Yellow -headed blackbird X. xanthoce halus SSC3 Very close Bullock's oriole Icterus bullockii BCC Very close Tricolored blackbird A elaius tricolor CT, BCC, SSC1 In region Luc 's warbler Leiothlypis luciae SSC3 In region Virginia's warbler Leiothlypis vir iniae WL, BCC In region Yellow warbler Seto ha a petechia SSC2 Very close/On site Yes Summer tanager Piran a rubra SSC1 In region Yes Common name Species name Status' Database records, Surveys CVMSHCP Cover? California leaf nosed bat Macrotus calf ornicus SSC, WBWG: H Nearby Yuma m otis M otis yumanensis WBWG: LM In region/On site Long-eared m otis M otis evotis WBWG: M In region Fringed m Otis M otis th sanodes WBWG: H In region Long-legged m otis M otis volans WBWG: H In region California m otis M otis calf ornicus WBWG:L In region Small -footed m otis M otis ciliolabrum WBWG: M In region Canyon bat Parastrellus hes erus WBWG: M Nearby/On site Big brown bat E isticus scus WBWG: L In region Silver -haired bat Lasion cteris noctiva ans WBWG: M In region Hoary bat Lasiurus cinereus WBWG: M Nearby Western red bat Lasiurus blossevillii SSC, WBWG: H In region/Likely on site Western yellow bat Lasiurus xanthinus SSC, WBWG: H In region Yes Spotted bat Euderma maculatum SSC, WBWG: H In range/ Likely on site Townsend's big -eared bat Cor norhinus townsendii SSC, WBWG: H In region Pallid bat Antrozous pallidus SSC, WBWG: H In region Mexican free -tailed bat Tadarida brasiliensis WBWG: L In region/On site Pocketed free -tailed bat Xtjctinomopsfemorosaccus SSC, WBWG: M In region Western mastiff bat Eumo s perotis SSC, WBWG: H In range Palm Springs round -tailed roundsquirrel Xerospermophilus tereticaudus chlorus SSC In region Yes Palm Springs ocket mouse Pero nathus lon imembris ban si SSC In range Yes Pallid San Diego pocket mouse Chaetodi us allax allidus SSC In region Los Angeles pocket mouse Perognathus longimembris brevinasus SSC In region San Diego B ant's woodrat Neotoma le ida intermedia SSC In region Southern grasshopper mouse On chom s torridus ramona SSC In range American badger Taxidea taxus SSC In region Mountain lion Puma concolor SA In region Common name Species name Status' Database records, Surveys CVMSHCP Cover? Peninsular bighorn sheep DPS Ovis canadensis POP. 2 FE, CT, CFP On site Yes 1 Listed on CDFW's Special Animals List (https://nrm.dfg.ca.gov/FileHandler.ashx?DocumentID=loo4o6) as FT or FE = federal threatened or endangered; FC = federal candidate for listing; BGEPA = Bald and Golden Eagle Protection Act; CT or CE = California threatened or endangered; CCT or CCE = Candidate California threatened or endangered; CFP = California Fully Protected (California Fish and Game Code 3511); SSC = California Species of Special Concern, and SSC1, SSC2 and SSC3 = California Bird Species of Special Concern priorities 1, 2 and 3, respectively); WL = CDFW's Taxa to Watch List; WBWG = Western Bat Working Group with priority rankings, of low (L), moderate (M), and high (H); BCC = U.S. Fish and Wildlife Service's Bird of Conservation Concern (https:/lwww.fws.gov/sites/default/files/documents/birds-of-conservation-concern-2021.pdf); and BOP = protected by Birds of Prey (California Fish and Game Code 3503.5, see https://wildlife.ca.gov/Conservation/Birds/Raptors). 0 Although the above -hypotheses 1 and 2 could be true, Table 1 lends strong support to the third hypothesis explaining the vast difference in the number of special -status species considered in 2002 and the number of special -status species listed in Table 1. Forty-six species in Table 1 have been assigned special status since the date of the final draft of the 2002 MND. The changes in status of these 46 species account for a 2.5-fold increase in the number of special -status species, leaving the remainder of the difference to be explained by hypotheses 1 and 2. Regardless, the evidence certainly suggests that habitat assessments are needed for many more species than was the case in 2002. The evidence is not limited to the desktop reviews between 2002 and 2025. On my behalf, Noriko Smallwood, a wildlife biologist with a Master of Science Degree from California State University Los Angeles, visited the site of the proposed project for 2.33 hours of diurnal survey from 16:26 to 18:46 hours and for 2.07 hours of nocturnal survey from 18:17 to 20:31 hours on 1 October 2025, and for 3.1 hours of diurnal survey from o6:41 to 09:47 hours on 2 October 2025. During daylight, Noriko walked the site's perimeter where accessible, stopping to scan for wildlife with use of binoculars. At night, Noriko strapped a Pettersson M5oo acoustic bat detector to a 20400t pole, and cabled the detector to her computer, which ran Sonobat Live. Sonobat Live identifies bats to species based on the bats' sonograms that are detected by the M500. Noriko recorded all species of vertebrate wildlife she detected, including those whose members flew over the site or were seen just off the site. Animals of uncertain species identity were either recorded to the Genus or higher taxonomic level. On 1 October 2025, conditions were sunny with 5 MPH southeast wind and temperatures of 95-91' F during the diurnal survey and clear with 5 MPH east wind and temperatures of 91-83' F during the nocturnal survey. On 2 October 2025, conditions were sunny with 3 MPH northwest wind and temperatures of 65-84' F. The western part of the site is an existing golf course, and the eastern part of the site is desert scrub, some of which has been treated with herbicide (Photos 1-4). Noriko saw turkey vulture and American kestrel (Photos 5 and 6), red-tailed hawk and greater roadrunner (Photos 7 and 8), Gambel's quail (Photo 9), Costa's hummingbird and verdin (Photos 10 and 11), great -tailed grackle and northern mockingbird (Photos 12 and 13), mallard and great egret (Photos 14 and 15), green heron and belted kingfisher (Photos 16 and 17), loggerhead shrike and ladder -backed woodpecker (Photos 18 and 19), mourning dove and common raven (Photos 20 and 21), vermilion flycatcher (Photos 22 and 23), Say's phoebe and black phoebe (Photos 24 and 25), Abert's towhee (Photo 26), white -crowned sparrow and Bewick's wren (Photos 27 and 28), blue -gray gnatcatcher and black -tailed gnatcatcher (Photos 29 and 30), yellow warbler and orange -crowned warbler (Photos 31 and 32), hooded oriole and Queen butterfly (Photos 33 and 34), western side -blotched lizard and canyon bat (Photos 35 and 36), Mexican free -tailed bat and Yuma myotis (Photos 37 and 38), among the other species listed in Table 2. Noriko detected 48 species of vertebrate wildlife at or adjacent to the project site, including 15 species with special status (Table 2). .. -> � • �r L'= ".yam• y�il6-- -_ _ . .•yew`.-i �-��..a�� ,: �� .��` � ii:�ri'�r'a�►!L�I _.x� 4-tw i'lrK. 9r.�-or,�.,� ,1:'tra`3r,�-yh�,, #ii'-... r. � � � A . Photos 1-4. Views of the northern (top two) southern (bottom two) portions of the project site, 2 October 2025. Photos by Noriko Smallwood. 10 Photos 5 and 6. Turkey vulture (left), and American kestrel (right) on the project site,1 October 2025. Photos by Noriko Smallwood. Photos 7 and S. Red-tailed hawk (left), and greater roadrunner (right) on the project site, 2 October 2025. Photos by Noriko Smallwood. 11 4 7 Photo 9. Gambel's quail on the project site,1 October 2025. Photo by Noriko Smallwood. L -1 Photos 10 and 11. Costa's hummingbird (left), and uerdin (right) on the project site, 2 October 2025. Photos by Noriko Smallwood. 12 Photos 12 and 13. Great -tailed grackle (left), and northern mockingbird (right) on the project site, 2 and 1 October 2025. Photos by Noriko Smallwood. Photos 14 and 15. Mallard (left), and great egret (right) on the project site, 2 October 2025. Photos by Noriko Smallwood. 13 Photos 16 and 17. Green heron (left), and belted kingfisher (right) on the project site, 2 October 2025. Photos by Noriko Smallwood. .001- r Photos 18 and 19. Loggerhead shrike (left), and ladder -backed woodpecker (right) on the project site, 2 and 1 October 2025. Photos by Noriko Smallwood. 14 Photos 20 and 21. Mourning dove (left), and common raven (right) on the project site, 2 and 1 October 2025. Photos by Noriko Smallwood. i Photos 22 and 23. Vermilion flycatcher male (left), and female (right) on the project site, 1 and 2 October 2025. Photos by Noriko Smallwood. 15 Photos 24 and 25. Say's phoebe (left), and black phoebe (right) on the project site,1 October 2025. Photos by Noriko Smallwood. Photo 26. Abert's towhee on the project site,1 October 2025. Photo by Noriko Smallwood. 16 Photos 27 and 28. White -crowned sparrow (left), and Bewick's wren (right) on the project site, 2 October 2025. Photos by Noriko Smallwood. „WQ�k Photos 29 and 3o. Blue -gray gnatcatcher (left), and black -tailed gnatcatcher (right) on the project site, 2 and 1 October 2025. Photos by Noriko Smallwood. 17 r4;14'_5Lq9M I .� It -.1 Photos 31 and 32. Yellow warbler (left), and orange -crowned warbler (right) on the project site, 2 and 1 October 2025. Photos by Noriko Smallwood. I" Photos 33 and 34. Hooded oriole (left), and Queen butterfly (right) on the project site, 2 October 2025. Photos by Noriko Smallwood. M, W • r r fiems•. 'Nk -Awe-, r •mope, V4444114%,' It >`- '- .� Fh=to 35. Western side -blotched lizard on the project site, 1 October 20257hoto by ZVoriko Smallwood. t0 Pahe 21 of 21 B'J 7'J 40• J0- 20- 10• 0• : �r0 4n M 30 10 W 60 70 RO 100 NO 1M r10 140 110 14 171) 180 190 MO No 220 2iO 2/i Tabr 12 of 12 ns�t� ' 0 10 ?ir Y7 40 50 90 TO d(1 90 700 110 120 130 i6 150 1fS0 170 1t10 190 200 210 226 11 2327 US 1m' Indefinite result Assess as possible Myyu or similar. 110� 10h 90- W TO• I 60 MY 'k- 10- 30- 20- 10- U- ti Y i0 4�0 .;I 70 00 so 100 110 In 111) 1'0 240 2S0 Table 2. Species of wildlife Noriko observed during 2.33 hours of diurnal survey and 2.07 hours of nocturnal survey on 1 October 2o25, and during 3.1 hours of diurnal Survey on 2 October 2025. Common name Species name Status' Notes Western side -blotched lizard Uta stansburiana ele ans Mallard Anas platyrhynchos Gambel's quail Calli e la gambelii Many, foraged Eurasian collared -dove Stre to elia decaocto Non-native Mourning dove Zenaida macroura Many, fora ed Greater roadrunner Geococc x cal' ornianus Foraged Costa's hummingbird Cal to costae BCC American coot Fulica americana Golf course ponds Killdeer Charadrius voci eras Great blue heron Ardea herodias Golf course ponds Great egret Ardea alba Golf course ponds Green heron Butorides virescens Flew over Turkey vulture Cathartes aura BOP Flew over Red -shouldered hawk Buteo lineatus BOP Just off site Red-tailed hawk Buteo jamaicensis BOP Perched, circled, harassed by AMKE Great horned owl Bubo vir inianus BOP Called from just off site Belted kingfisher Cer le alc on Ladder -backed woodpecker Dryobates scalaris American kestrel Falco sparverius BOP Perched, harassed RTHA Black phoebe Sa ornis ni ricans Sa 's phoebe Sa ornis sa a Vermilion flycatcher Pyrocephalus rubinus SSC2 Multiple, foraged Loggerhead shrike Lanius ludovicianus SSC2 American crow Corvus Brach rh nchos Common raven Corvus corax Verdin Auri arus avice s BCC Foraged Blue -gray natcatcher Polio tila caerulea Foraged Black -tailed gnatcatcher Polio tila melanura WL Foraged Bewick's wren Thr omanes bewickii Northern mockingbird Mimus polyglottos Man Western bluebird Sialia mexicana Houses arrow Passer domesticus Non-native House finch Haemor hous mexicanus Man Lesser goldfinch Sinus psaltria White -crowned sparrow Zonotrichia leuco hr s Foraged Abert's towhee Melozone aberti Fora ed Hooded oriole Icterus cucullatus 21 Common name Species name Status' Notes Great -tailed grackle Quiscalus mexicanus Orange -crowned warbler Oreothlypis celata Fora ed Yellow warbler Seto ha a petechia SSC2 Foraged Yuma m otis M otis yumanensis WBWG:LM Canyon bat Parastrellus hes erns WBWG:M Western red bat Lasiurus blosseuillii SSC, WBWG:H Probable detection, Sonobat Live Spotted bat Euderma maculatum SSC, WBWG:H Probable detection, Sonobat Live Mexican free -tailed bat Tadarida brasiliensis WBWG:L Desert cottontail S lvila us audubonii Coyote Canis latrans Tracks Kangaroo rat I Di odour s s . Burrows ' Listed on CDFW's Special Animals List(https://nrm.dfg.ca.gov/FileHandler.ashx?DocumentID =1094o6) as BCC = U.S. Fish and Wildlife Service's Bird of Conservation Concern (https://www.fws.gov/sites/default/files/documents/birds-of-conservation-concern-2o2i.pdf); SSC = California Species of Special Concern, and SSCi, SSC2 and SSC3 = California Bird Species of Special Concern priorities 1, 2 and 3, respectively); WL = CDFW's Taxa to Watch List; WBWG = Western Bat Working Group with priority rankings, of low (L), moderate (M), and high (H); BOP = protected by Birds of Prey (California Fish and Game Code 3503.5, see https: //wildlife. ca.gov/ Conservation/Birds / Raptors). All the species in Table 2 would lose habitat as the result of the project. Noriko detected 48 species of vertebrate willdife, which was a large number for the brevity of her survey effort. However, the species of wildlife Noriko detected at the project site were not the only species that were present during her surveys, as there are always species that are not detected. To demonstrate this, I fit nonlinear regression models to Noriko's cumulative numbers of vertebrate species detected with time into her daytime surveys to predict the number of species that she would have detected with longer surveys or perhaps with additional biologists available to assist her. The type of model is a logistic growth model, which reaches an asymptote that corresponds with the theoretical maximum number of vertebrate wildlife species that could have been detected during the survey. The model fit to Noriko's survey data from the morning of 2 October looks just like the model fit to her survey data from the evening prior, and it predicts 50 species of vertebrate wildlife were available to be detected, or 50% more species than she detected that morning (Figure 1). The patterns in her species detection rates in evening and morning surveys both exceeded the upper bound of the 95% confidence interval estimated from morning surveys we completed throughout the region. Due to a battery limitation, Noriko was able to survey for bats for only two hours. But just as I could predict the number of diurnally active species that were available to be detected during Noriko's daylight surveys, the same approach can be applied to her curtailed survey for bats. Noriko detected five bat species, and her rate of detections predict 13 bat species would have been detected had she surveyed all night long. 22 Figure 1. Actual and predicted relationships between the numbers of vertebrate wildlife species detected and the elapsed survey time based on Noriko's visual -scan surveys on 1 and 2 October 2025. Figure 2. Actual and predicted relationships between the numbers of bat species detected and the elapsed survey time based on Noriko's acoustic detection survey on 1 October 2025. 3; a� 30 a� T 25 a) 0- U) `' 20 a) 15 ,0 E m 10 c� = 5 U 15 a� U m - 12 a� �U a� a a 9 0 L E 6 c a� D 3 D i 0-k 0 0 0 0 I� • 95% CI 2019-2024 for morning surveys in region r2 _ 1 YAM 0.0197902+0.376892(X+1)-0.671488 0.97 _ 1 YPM 0.025109+1.174106(X+1)-0.96352 0.98 50 100 150 200 Minutes into survey r 250 300 _ 1 f; Y Fcl 0.074953 + 57.775682(X + 1)-1.482912 - 95% Cl of acoustic bat X surveys 2024-2025 23 o Actual count of species — Model prediction; r2 = 0.96 100 150 200 250 300 Minutes into survey Unknown are the identities of the species Noriko missed, but the species that Noriko did and did not detect on 1 and 2 October 2025 composed only a fraction of the species that would occur at the project site over the period of a year or longer. This is because many species are seasonal in their occurrence, some require more survey effort because they are highly cryptic, and the members of other species would visit the site only periodically while patrolling large home ranges. Surveys on only two days cannot possibly detect all of the species of the local wildlife community. At least a year's worth of surveys would be needed to more accurately report the number of vertebrate species that occur at the project site, but I only have Noriko's two survey dates. However, by use of an analytical bridge, a modeling effort applied to a large, robust data set from a research site can predict the number of vertebrate wildlife species that likely make use of the site over the longer term. This analytical bridge draws inference from the pattern of species detections more than it does from the research site, and I note that the pattern, i.e., rate, of species detections is consistent from site to site. As part of my research, I completed a much larger survey effort across 167 km2 of annual grasslands of the Altamont Pass Wind Resource Area, where from 2015 through 2019 I performed 7211-hour visual -scan surveys, or 721 hours of surveys, at 46 stations. I used binoculars and otherwise the methods were the same as the methods I and other consulting biologists use for surveys at proposed project sites. At each of the 46 survey stations, I tallied new species detected with each sequential survey at that station, and then related the cumulative species detected to the hours (number of surveys, as each survey lasted 1 hour) used to accumulate my counts of species detected. I used combined quadratic and simplex methods of estimation in Statistica to estimate least -squares, best -fit nonlinear models of the number of cumulative species detected regressed on hours of survey (number of surveys) at the station: R = 11Q+bx(Hours)c , where R represented cumulative species richness detected. The coefficients of determination, r2, of the models ranged o.88 to 1.00, with a mean of 0.97 (95% CI: 0.96, 0.98); or in other words, the models were excellent fits to the data. I projected the predictions of each model to thousands of hours to find predicted asymptotes of wildlife species richness. The mean model -predicted asymptote of species richness was 57 after 11,857 hours of visual -scan surveys among the 46 stations of my research site. I also averaged model predictions of species richness at each incremental increase of number of surveys, i.e., number of hours (Figure 2). On average I would have detected 18.1 species over my first 5.43 hours of diurnal surveys at my research site in the Altamont Pass (5.43 hours to match the 5.43 hours Noriko surveyed during daylight hours at the project site), which composed 31.8% of the predicted total number of species I would detect with a much larger survey effort at the research site. Given the example illustrated in Figure 2, the 42 diurnally active species Noriko detected after her 5.43 hours of daylight survey at the project site likely represented 31.8% of the species to be detected after many more visual -scan surveys over another year or longer. With many more repeat surveys through the year, Noriko would likely detect 42/0.318 = 132 species of diurnally active vertebrate wildlife at the site. Assuming Noriko's ratio of 24 special -status to non -special -status species was to hold through the detections of all 132 predicted species, then continued surveys would eventually detect 28 special -status species of diurnally active vertebrate wildlife. The above predictions are for diurnally active species. The pattern in Noriko's data predict 13 bat species were available to be detected on the night of the 1st, but there are undoubtedly more bat species visiting the site over the longer term. I do not yet have a research data set for bats that I can use as an analytical bridge to estimate the number of bat species at the site, but assuming the same expansion factor of 3.14, i.e., 1 , I 0.318 predict 16 bat species make use of the project site. There are probably about 20 species of nocturnally active small mammals, so in total the project site is habitat for at least 166 species of vertebrate wildlife, including about 48 special -status species (most bat species have special status, and so does a high proportion of nocturnally active small mammals). The large number of species I predict at the project site is indicative of a species -rich wildlife community that warrants a serious survey effort. There are many more special - status species known to occur and likely to occur as compared to what is reported in the 2002 MND. Figure 2. Mean (95% CI) predicted wildlife species richness, R, as a nonlinear function of hour-long survey increments across 46 visual -scan survey stations across the Altamont Pass Wind Resource Area, Alameda U and Contra Costa o Counties, 2015-2019. Note that the location of the cc� study is largely irrelevant to the utility of the graph to the interpretation of survey outcomes at the project site. It is the pattern in the data that is relevant, because the pattern is typical of the pattern seen elsewhere. 50 40 30 20- 0 10- 0 0 20 40 60 80 100 Cumulative number of surveys (hours) At least a fair argument can be made for the need to prepare an EIR to appropriately analyze the project for its potential impacts on many species of wildlife that have become special -status species since the 2002 MND. 25 BIOLOGICAL IMPACTS ANALYSIS OF 2002 MND IS INCOMPLETE In the following, I analyze several types of impacts likely to result from the project, none of which are analyzed adequately or at all in the 2002 MND. REDUCED PRODUCTIVE CAPACITY FROM HABITAT LOSS Habitat loss results in a reduced productive capacity of affected wildlife species. The site is proven to serve as habitat to at least 48 species of vertebrate wildlife which Noriko observed on the site, but the number of avian nest sites remains unknown. Because Noriko's survey occurred outside the avian breeding season and because reconnaissance surveys are unsuited for detecting all bird nests on a site, estimating total nest density of birds was not possible. The alternative method would be to infer productive capacity from estimates of total nest density elsewhere. Noriko has completed several studies to estimate total avian nest density in similar environments in the local area. In 2023, Noriko estimated 5.56 nests/acre on a 3.6-acre site of ruderal grassland bordering a woodland strip in Murrieta, and 1.86 nests/acre on another 4.83-acre grassland site bordering a strip of woodland in Murietta. In 2025, Noriko estimated 0.5 nests/acre on an 8-acre site in Anza Borrego Desert State Park. The average of the above three estimates is 2.64 nests/acre. This density applied to the 498 acres of the project site would predict 1,315 nest sites. Assuming 1.39 broods per nest site based on a review Of 322 North American bird species, which averaged 1.39 broods per year, then I estimate 1,828 nest attempts per year on the project site. Assuming Young's (1948) study site typifies bird productivity of 2.9 fledged birds per nest attempt, then I predict 5,301 fledglings/year at the project site. The loss of 1,315 nest sites and 1,828 nest attempts per year would qualify as significant impacts that have not been analyzed by the City of La Quinta. But the impacts would not end with the immediate loss of nest sites. The reproductive capacity of the site would be lost. The project would prevent the production of 5,301 fledglings per year. Assuming an average bird generation time of 4 years, the lost capacity of both breeders and annual fledgling production can be estimated from an equation in Smallwood (2022): {(nests/year x chicks/nest x number of years) + (2 adults/nest x nests/year) x (number of years - years/generation)} - (number of years) = 5,959 birds per year denied to California. The loss of 5,959 birds per year would be a loss of significant habitat value that is currently provided by the project site. Most if not all these birds are protected by the federal Migratory Bird Treaty Act and by California's Migratory Bird Protection Act, both of which are intended to most strongly protect breeding migratory birds. The loss Of 5,959 birds would easily qualify as an unmitigated significant impact that was not discussed in the adopted MND nor any of its Addenda. At least a fair argument can be made for the need to prepare an EIR to appropriately analyze the project for its impacts on wildlife productivity caused by nearly Soo acres of habitat loss. 26 BIRD -WINDOW COLLISION MORTALITY The project would introduce glass windows into an essential portion of avian habitat — that portion of the gaseous atmosphere that is referred to as the aerosphere (Davy et al. 2017, Diehl et al. 2017). The aerosphere is where birds and bats and other volant animals with wings migrate, disperse, forage, perform courtship and where some of them mate. Birds are some of the many types of animals that evolved wings as a morphological adaptation to thrive by moving through the medium of the aerosphere. The aerosphere is habitat, to which an entire discipline of ecology has emerged to study this essential aspect of habitat — the discipline of aeroecology (Kunz et al. 2008). Many special -status species of birds have been recorded at or near the aerosphere of the project site. My database review and Noriko's site visit indicate there are lol special - status species of birds with potential to use the site's aerosphere (Table 1). All the birds represented in Table 1 can quickly fly from wherever they have been documented to the project site, so they would all be within brief flights to the proposed project's windows. Noriko confirmed 48 vertebrate wildlife species on the project site, some of them flying across the site. Window collisions are often characterized as either the second or third largest source or human -caused bird mortality. The numbers behind these characterizations are often attributed to Klem's (1990) and Dunn's (1993) estimates of about loo million to 1 billion bird fatalities in the USA, or more recently by Loss et al.'s (2014) estimate of 365-988 million bird fatalities in the USA or Calvert et al.'s (2013) and Machtans et al.'s (2013) estimates of 22.4 million and 25 million bird fatalities in Canada, respectively. The proposed project would impose windows in the airspace normally used by birds. Glass -facades of buildings intercept and kill many birds, but they are differentially hazardous to birds based on spatial extent, contiguity, orientation, and other factors. At Washington State University, Johnson and Hudson (1976) found 266 bird fatalities of 41 species within 73 months of monitoring of a three-story glass walkway (no fatality adjustments attempted). Prior to marking the windows to warn birds of the collision hazard, the collision rate was 84.7 per year. At that rate, and by not attempting to adjust the fatality estimate for the proportion of fatalities not found, 4,574 birds were likely killed over the 54 years since the start of their study, and that's at a relatively small building facade. Accounting for the proportion of fatalities not found in searches, the number of birds killed by this walkway over the last 54 years would have been about 14,270. And this is just for one 3-story, glass -sided walkway between two college campus buildings. Klem's (1990) estimate was based on speculation that 1 to 10 birds are killed per building per year, and this speculated range was extended to the number of buildings estimated by the US Census Bureau in 1986. Mem's speculation was supported by fatality monitoring at only two houses, one in Illinois and the other in New York. Also, the basis of his fatality rate extension has changed greatly since 1986. Whereas his estimate served the need to alert the public of the possible magnitude of the bird - window collision issue, it was highly uncertain at the time and undoubtedly outdated 27 more than three decades hence. Indeed, by 2010 Mem (2010) characterized the upper end of his estimated range -1 billion bird fatalities — as conservative. Furthermore, the estimate lumped species together as if all birds are the same and the loss of all birds to windows has the same level of impact. By the time Loss et al. (2014) performed their effort to estimate annual USA bird - window fatalities, many more fatality monitoring studies had been reported or were underway. Loss et al. (2014) incorporated many more fatality rates based on scientific monitoring, and they were more careful about which fatality rates to include. However, they included estimates based on fatality monitoring by homeowners, which in one study were found to detect only 38% of the available window fatalities (Bracey et al. 2016). Loss et al. (2014) excluded all fatality records lacking a dead bird in hand, such as injured birds or feather or blood spots on windows. Loss et al.'s (2014) fatality metric was the number of fatalities per building (where in this context a building can include a house, low-rise, or high-rise structure), but they assumed that this metric was based on window collisions. Because most of the bird -window collision studies were limited to migration seasons, Loss et al. (2014) developed an admittedly assumption -laden correction factor for making annual estimates. Also, only two of the studies included adjustments for carcass persistence and searcher detection error, and it was unclear how and to what degree fatality rates were adjusted for these factors. Although Loss et al. (2014) attempted to account for some biases as well as for large sources of uncertainty mostly resulting from an opportunistic rather than systematic sampling data source, their estimated annual fatality rate across the USA was highly uncertain and vulnerable to multiple biases, most of which would have resulted in fatality estimates biased low. In my review of bird -window collision monitoring, I found that the search radius around homes and buildings was very narrow, usually 2 meters. Based on my experience with bird collisions in other contexts, I would expect that a large portion of bird -window collision victims would end up farther than 2 m from the windows, especially when the windows are higher up on tall buildings. In my experience, searcher detection rates tend to be low for small birds deposited on ground with vegetation cover or woodchips or other types of organic matter. Also, vertebrate scavengers entrain on anthropogenic sources of mortality and quickly remove many of the carcasses, thereby preventing the fatality searcher from detecting these fatalities. Adjusting fatality rates for these factors — search radius bias, searcher detection error, and carcass persistence rates — would greatly increase nationwide estimates of bird -window collision fatalities. Buildings can intercept many nocturnal migrants as well as birds flying in daylight. As mentioned above, Johnson and Hudson (1976) found 266 bird fatalities of 41 species within 73 months of monitoring of a four-story glass walkway at Washington State University (no adjustments attempted for undetected fatalities). Somerlot (2003) found 21 bird fatalities among 13 buildings on a university campus within only 61 days. Monitoring twice per week, Hager at al. (2oo8) found 215 bird fatalities of 48 species, or 55 birds/building/year, and at another site they found 142 bird fatalities of 37 species for 24 birds/building/year. Gelb and Delacretaz (2oo9) recorded 5400 bird fatalities under buildings in New York City, based on a decade of monitoring only during migration periods, and some of the high-rises were associated with hundreds of W., fatalities each. Klein et al. (2009) monitored 73 building fagades in New York City during 114 days of two migratory periods, tallying 549 collision victims, nearly 5 birds per day. Borden et al. (2010) surveyed a 1.8 km route 3 times per week during 12-month period and found 271 bird fatalities of 50 species. Parkins et al. (2015) found 35 bird fatalities of 16 species within only 45 days of monitoring under 4 building facades. From 24 days of survey over a 48-day span, Porter and Huang (2015) found 47 fatalities under 8 buildings on a university campus. Sabo et al. (2016) found 27 bird fatalities over 61 days of searches under 31 windows. In San Francisco, Kahle et al. (2016) found 355 collision victims within 1,762 days under a 5-story building. Ocampo-Penuela et al. (2016) searched the perimeters of 6 buildings on a university campus, finding 86 fatalities after 63 days of surveys. One of these buildings produced 61 of the 86 fatalities, and another building with collision -deterrent glass caused only 2 of the fatalities, thereby indicating a wide range in impacts likely influenced by various factors. There is ample evidence available to support my prediction that the proposed project would result in many collision fatalities of birds. Project Impact Prediction By the time of these comments, I had reviewed and processed results of bird collision monitoring at 213 buildings and fagades for which bird collisions per m2 of glass per year could be calculated and averaged (Johnson and Hudson 1976, O'Connell 2001, Somerlot 2003, Hager et al. 2008, Borden et al. 2010, Hager et al. 2013, Porter and Huang 2015, Parkins et al. 2015, Kahle et al. 2016, Ocampo-Penuela et al. 2016, Sabo et al. 2016, Barton et al. 2017, Gomez -Moreno et al. 2018, Schneider et al. 2018, Loss et al. 2019, Brown et al. 2020, City of Portland Bureau of Environmental Services and Portland Audubon 2020, Riding et al. 2020). These study results averaged 0.073 bird deaths per m2 of glass per year (95% CI: 0.042-0.102). This average and its 95% confidence interval provide a robust basis for predicting fatality rates at a proposed new project. With the estimated average bird collision mortality above, all I need are estimates of window extents in the project. These window extents are not reported in the 2002 MND nor in the 2025 Addendum to Adopted MND, but square footages (sf) of types of buildings are reported, which I can compare to averages I have maintained of how square footage in other development projects have related to window extents. Assuming 0.0147368 m2 of glass window extent per sf and 293,000 sf of residential floor space, then I predict 4,318 m2 of windows among residential dwelling units. Assuming 0.0162129 m2 of glass window extent per sf and 305,000 sf of floor space associated with the hotel, then I predict 4,945 m2 of windows. Assuming 0.0233067 m2 of glass window extent per sf and 57,000 sf of floor space associated with the commercial and clubhouse buildings, then I predict 1,328 m2 of windows. These predictions sum to 10,591 m2 of windows. This extent of windows multiplied against the above -reported average bird collision deaths per m2 of glass per year predicts 774 (95% CI: 460-1,089) bird collision fatalities per year. The vast majority of these predicted deaths would be of birds protected under the Migratory Bird Treaty Act and under the California Migratory Bird Protection Act, thus 29 causing significant unmitigated impacts that were not addressed in either the 2002 MND or the 2025 Addendum to Adopted MND. Given the predicted level of bird - window collision mortality, and the lack of any proposed mitigation, it is my opinion that the proposed project would result in potentially significant adverse biological impacts, including the unmitigated take of both terrestrial and aerial habitat of birds and other sensitive species. Not only would the project take habitat of rare and sensitive species of birds, but it would transform the project's airspace into a lethal collision trap to birds. At least a fair argument can be made for the need to prepare an EIR to appropriately analyze the project for its potential impacts to birds caused by collisions with windows. WILDLIFE DEPREDATION BY HOUSE CATS Considering national trends, it is safe to assume that house cats would be introduced to the project area by residents of the proposed residential units. This is significant because house cats serve as one of the largest sources of avian mortality in North America (Dauphine and Cooper 2009, Blancher 2013, Loss et al. 2013, Loyd et al. 2017). Loss et al. (2013) estimated 139 million cats in the USA in 2013 (range 114 to 164 million), which killed an estimated 16.95 billion vertebrate wildlife annually (range 7.6 to 26.3 billion). In 2012 there were 0.44 house cats per human in the USA, and 122 vertebrate animals were killed per cat, free -ranging members of which killed disproportionately larger numbers of vertebrate wildlife. The 2025 Addendum to Adopted MND reports there would be 714 new residents in 253 residential units . The above rates of cat ownership applied to this number of new residents would predict 314 new cats, which based on the findings of Loss et al. (2013) would kill 38,308 vertebrate wildlife per year. House cats also contribute to downstream loading of Toxoplasma gondii. According to a UC Davis wildlife health research program, "Toxoplasma gondii is a parasite that can infect virtually all warm-blooded animals, but the only known definitive hosts are cats — domesticated and feral house cats included. Cats catch the parasite through hunting rodents and birds and they offload it into the environment through their feces... and ...rain that falls on cement creates more runoff than rain that falls on natural earth, which contributes to increased runoff that can carry fecal pathogens to the sea" (Thje original link is no longer active, but the quote came from the program described at: https://whc.vetmed.ucdavis.edu/programs-projects/ca-conservation/sea-otter). Impacts to wildlife from the introduction of house cats into the environment would be highly significant, and yet these impacts are not considered in either the 2002 MND or the 2025 Addendum to Adopted MND. An obvious mitigation measure would be to constrain house cat ownership such as requiring cats to remain indoors. TRAFFIC IMPACTS ON WILDLIFE The 2002 MND and 2025 Addendum to Adopted MND neglect to address one of the project's most obvious, substantial impacts to wildlife, and that is wildlife mortality and 30 injuries caused by project -generated traffic. Project -generated traffic would endanger wildlife that must, for various reasons, cross roads used by the project's traffic (Photos 39-42), including along roads far from the project footprint but which would nevertheless by traversed by automobiles head to or from the project's building. Vehicle collisions have accounted for the deaths of many thousands of amphibian, reptile, mammal, bird, and arthropod fauna, and the impacts have often been found to be significant at the population level (Forman et al. 2003). Across North America traffic impacts have taken devastating tolls on wildlife (Forman et al. 2003). In Canada, 3,562 birds were estimated killed per loo km of road per year (Bishop and Brogan 2013), and the US estimate of avian mortality on roads is 2,200 to 8,405 deaths per loo km per year, or 89 million to 340 million total per year (Loss et al. 2014). Local impacts can be more intense than nationally. Photo 39. A white-tailed antelope squirrel runs across the road just in the Coachella Valley, 26 May 2022. Such road crossings are usually successful, but too often prove fatal to the animal. Photo 40. A coyote uses the crosswalk to cross a road on 2 February 2023. Not all drivers stop, nor do all animals use the crosswalk. Too often, animals are injured or killed when they attempt to cross roads. 31 Almli Photos 41 and 42. Raccoon killed on Road 31 just east of Highway 505 in Solano County (left; photo taken on 10 November 2018), and mourning dove killed by vehicle on a Bakersfield road (right; photo by Noriko Smallwood, 21 June 2020.) The nearest study of traffic -caused wildlife mortality was performed along a 2.5-mile stretch of Vasco Road in Contra Costa County, California. Fatality searches in this study found 1,275 carcasses of 49 species of mammals, birds, amphibians and reptiles over 15 months of searches (Mendelsohn et al. 2009). This fatality number needs to be adjusted for the proportion of fatalities that were not found due to scavenger removal and searcher error. This adjustment is typically made by placing carcasses for searchers to find (or not find) during their routine periodic fatality searches. This step was not taken at Vasco Road (Mendelsohn et al. 2009), but it was taken as part of another study next to Vasco Road (Brown et al. 2o16). Brown et al.'s (2o16) adjustment factors for carcass persistence resembled those of Santos et al. (2011). Also applying searcher detection rates from Brown et al. (2016), the adjusted total number of fatalities was estimated at 9,462 animals killed by traffic on the road. This fatality number projected over 1.25 years and 2.5 miles of road translates to 3,028 wild animals per mile per year. In terms comparable to the national estimates, the estimates from the Mendelsohn et al. (2009) study would translate to 188,191 animals killed per loo km of road per year, or 22 times that of Loss et al.'s (2014) upper bound estimate and 53 times the Canadian estimate. An analysis is needed of whether increased traffic generated by the project site would similarly result in local impacts on wildlife. For wildlife vulnerable to front-end collisions and crushing under tires, road mortality can be predicted from the study of Mendelsohn et al. (20o9) as a basis, although it would be helpful to have the availability of more studies like that of Mendelsohn et al. (2oo9) at additional locations. My analysis of the Mendelsohn et al. (2oo9) data resulted in an estimated 3,028 animals killed per mile along a county road in Contra Costa County. The estimated numbers of fatalities were 1.75% birds, 26.4% mammals (many mice and pocket mice, but also ground squirrels, desert cottontails, striped skunks, American badgers, raccoons, and others), 67.4% amphibians (large numbers of California tiger salamanders and California red -legged frogs, but also Sierran treefrogs, 32 western toads, arboreal salamanders, slender salamanders and others), and 4.4% reptiles (many western fence lizards, but also skinks, alligator lizards, and snakes of various species). VMT is useful for predicting wildlife mortality because I was able to quantify miles traveled along the studied reach of Vasco Road during the time period of the Mendelsohn et al. (2009), hence enabling a rate of fatalities per VMT that can be projected to other sites, assuming similar collision fatality rates. Predicting project -generated traffic impacts on wildlife The 2025 Addendum to Adopted MND predicts 39,761,564 annual VMT would be generated by the project. During the Mendelsohn et al. (2009) study, 19,500 cars traveled Vasco Road in Contra Costa County daily, so the vehicle miles that contributed to my estimate of non-volant fatalities was 19,500 cars and trucks x 2.5 miles x 365 days/year x 1.25 years = 22,242,187.5 vehicle miles per 9,462 wildlife fatalities, or 2,351 vehicle miles per fatality. This rate divided into the predicted annual VMT would predict 16,913 vertebrate wildlife fatalities per year due to project -generated traffic. This would be a very large number of animals killed by the project's traffic. Based on my analysis, the project -generated traffic would cause substantial, significant impacts to wildlife. The 2002 MND and 2025 Addendum to Adopted MND do not address this potential impact, let alone propose to mitigate it. Mitigation measures to improve wildlife safety along roads are available and are feasible, and they need exploration for their suitability with the proposed project. Given the predicted level of project -generated traffic -caused mortality, and the lack of any proposed mitigation, it is my opinion that the proposed project would result in potentially significant adverse biological impacts, and that, as the 2002 MND and 2025 Addendum to Adopted MND are written, these impacts would be unmitigated. At least a fair argument can be made for the need to prepare an EIR to appropriately analyze the project for its potential impacts on wildlife caused by massive project - generated traffic. CUMULATIVE IMPACTS The 2025 Addendum to Adopted MND provides no cumulative impacts analysis, so I assume it relies entirely on the 2002 MND. If this is the case, then it relies on an outdated cumulative impacts analysis. Over the past 23 years, multiple projects have been developed, filling nearly every open space that existed near the SilverRock Resort project site in 2002. All the adjacent open space to the northeast has been filled with structures, and interior spaces of golf courses have been filled. A new cumulative impacts analysis is needed, not only because of all the recent developments, but also because of the many species that have been recently assigned special status due to their regional declines. At least a fair argument can be made for the need to prepare an EIR to appropriately analyze the project for its potential contributions to cumulative impacts on wildlife. 33 SHORTFALLS OF THE MITIGATION STRATEGY A principal mitigation strategy is to pay a fee into the Coachella Valley Multiple Species Habitat Conservation Plan (CVMSHCP). According to BIO PDF-1, "The City shall require payment of Coachella Valley Multiple Species Habitat Conservation Plan mitigation fees prior to issuance of occupancy permits for development projects required to pay such fees." This strategy fine insofar as it would offset impacts to species that are both covered by the CVMSHCP and likely in harm's way with respect to the project. The project would potentially affect up to 16 special -status species of wildlife in Table 1 that are covered by the CVMSHCP. However, two of the 16 species have been documented beyond 30 miles from the project site, and 11 have been documented between 4 and 30 miles from the site. Of the five covered species more likely to be affected by the project, two have been documented between 1.5 and 4 miles from the project site, one has been documented within 1.5 miles, and two (Peninsular bighorn sheep and yellow warbler) have been documented on the site. In short, only a few covered species likely to lose habitat to the project would benefit from payment of the mitigation fee to the CVMSHCP. On the other hand, 124 potentially occurring special -status species lack coverage under the CVMSHCP. There is no evidence that any of these species would benefit from the BIO PDF-1 mitigation strategy. Each species lives within a unique habitat, so the conservation benefits gained for an HCP-covered species might not extend to other species affected by the project. For example, loggerhead shrike likely would not benefit from conservation easements purchased on sand dunes to protect Coachella Valley fringe -toed lizard. Another shortfall goes to the assumed rather than demonstrated efficacy of the CVMSHCP. I reviewed the CVMSHCP and its supporting documents to ascertain its performance standards and measurement of progress towards those standards. I could not find biological performance standards, such as minimum numbers of individuals to be achieved through conservation actions, or minimum productivity of each species, or even a minimum species richness as a community metric. Perhaps such performance standards exist, but they were not readily apparent to me. I did find that biological monitoring reports have been delivered with CVMSHCP annual reports. The biological monitoring studies have generated many interesting results, but it remains unclear how those results relate to CVMSHCP performance standards. The biological monitoring reports include many tests of hypotheses that are of obvious interest to the investigators, and of interest to me as a scientist, but most of them fail to inform the reader of whether the CVMSHCP is conserving the species it covers. The performance standards of the CVMSHCP appear more focused on acreage conserved. Target acres to conserve have been identified specific to the habitat needs of each covered species. Many acres have been conserved to date, and this level of conservation certainly looks impressive on the whole. However, most of the conserved acreage has been committed by state and federal agencies, and much less of it by CVMSHCP permittees. Whereas the agencies have achieved 6o% of their acreage goals to the reserve system since inception of the CVMSHCP in 2oo8, the permittees have 34 achieved only 13.7% of their acreage goal (Annual Report 2020). Between 1996 and 2020, permittees contributed an average 552 acres per year in exchange for an allowed authorized disturbance to 898 acres/year (22,42o acres total). Outside conservation areas, 7,o16 acres of Coachella Valley fringe -toed lizard habitat have been taken through 2020, whereas 2,391 acres of habitat have been conserved. It appears to me that authorized take is being front -loaded while conserved acreage from permittee fees lags. The performance standards of the CVMSHCP are lagging. Until the performance of the CVMSHCP can be demonstrated through both acreage and species conserved, I suggest the more prudent mitigation would be to formulate measures outside the CVMSHCP process. And there are too many special -status species that would not necessarily benefit from the CVMSHCP because they lack coverage and the CVMSHCP was not designed with them in mind. Whether a case is made for adequate performance of the CVMSHCP or mitigation is formulated outside the CVMSHCP, at least a fair argument can be made for the need to prepare an EIR to formulate more appropriate mitigation. According to MM BI0-3 of the 2025 Addendum to Adopted MND, "Dogs shall not be permitted to be loose within the Project area, and shall be kept away from the hillside areas through appropriate signage and fencing, where applicable." However, this type of mitigation measure is difficult to enforce. While Noriko surveyed the site on my behalf, she observed two dogs that were off -leash. These dogs entered the property with two different masters, so the many signs warning to keep dogs leashed is ignored by multiple dog owners. Moreover, even if the measure was enforceable, its conservation benefits are de minimis compared to the project's potential impacts on wildlife. MM BI0-4 requires that "access into the hillside area from the site will be discouraged through the use of signs or barricades, if necessary, unless the access is provided as part of a trail system that is approved by the USFWS and CDFG." As above, the use of signs is unlikely to result in compliance by all who encounter them, and the signs would be too often ignored unless there is a means to enforce the signed restriction. MM BI0-6 requires that "the final design of the Project shall insure that road and driveways are designed to minimize headlight shine from vehicles onto the hillside." And MM BI0-7 requires that "in all areas adjacent to the hillsides, non -glare glass shall be used in new construction. Exterior building lights shall not shine on the hillside. Exterior lighting shall be kept at the safest possible minimum intensity and aimed away from the hillside." However, it is hard to take these measures seriously when it is obvious that artificial lighting pollutes the hillslopes just south of the project site (Photo 33)• According to MM BIO-io, "Efforts shall be made to ensure that all pesticides, fungicides, herbicides, and fertilizers used during the construction and operation of the Project Site will not be harmful to wildlife." However, this measure lacks objective criteria, and it is therefore unenforceable. 35 Photo 33. Artificial light floods the hillside just south of the project site,1 October 2025. Photo by Noriko Smallwood. NEW MITIGATION MEASURES Bird -Window Collision Mortality: If the project goes forward, it should at a minimum adhere to available Bird -Safe Guidelines, such as those prepared by American Bird Conservancy and New York and San Francisco. The available guidelines and most of the research that informed the guidelines have been developed since the 2002 MND. The American Bird Conservancy (ABC) produced an excellent set of guidelines recommending actions to: (1) Minimize use of glass; (2) Placing glass behind some type of screening (grilles, shutters, exterior shades); (3) Using glass with inherent properties to reduce collisions, such as patterns, window films, decals or tape; and (4) Turning off lights during migration seasons (Sheppard and Phillips 2015). The City of San Francisco (San Francisco Planning Department 2o11) also has a set of building design guidelines, based on the excellent guidelines produced by the New York City Audubon Society (Orff et al. 2007). The ABC document and both the New York and San Francisco documents provide excellent alerting of potential bird -collision hazards as well as many visual examples. The San Francisco Planning Department's (2o11) building design guidelines are more comprehensive than those of New York City, but they could have gone further. For example, the San Francisco guidelines probably should have also covered scientific monitoring of impacts as well as compensatory mitigation for impacts that could not be avoided, minimized or reduced. New research results inform of the efficacy of marking windows. Whereas Klem (199o) found no deterrent effect from decals on windows, Johnson and Hudson (1976) reported a fatality reduction of about 69% after placing decals on windows. In an experiment of opportunity, Ocampo-Penuela et al. (2o16) found only 2 of 86 fatalities at one of 6 36 buildings — the only building with windows treated with a bird deterrent film. At the building with fritted glass, bird collisions were 82 % lower than at other buildings with untreated windows. Kahle et al. (2016) added external window shades to some windowed fagades to reduce fatalities 82% and 95%. Brown et al. (2020) reported an 84% lower collision probability among fritted glass windows and windows treated with ORNILUX R UV. City of Portland Bureau of Environmental Services and Portland Audubon (2020) reduced bird collision fatalities 94% by affixing marked Solyx window film to existing glass panels of Portland's Columbia Building. Many external and internal glass markers have been tested experimentally, some showing no effect and some showing strong deterrent effects (Klem 1989, 1990, 2009, 2011; Klem and Saenger 2013; R6ssler et al. 2015). Van Doren et al. (2021) found that nocturnal migrants contributed most of the collision fatalities in their study, and the largest predictors of fatalities were peak migration and lit windows. Van Doren et al. (2021) predicted that a light -out mitigation measure could reduce bird -window collision mortality by 6o%. Monitoring and the use of compensatory mitigation should be incorporated at any new building project because the measures recommended in the available guidelines remain of uncertain efficacy, and even if these measures are effective, they will not reduce collision fatalities to zero. The only way to assess mitigation efficacy and to quantify post -construction fatalities is to monitor the project for fatalities. Landscaping: Most of the research into wildlife responses to alternative landscaping has been completed since the 2002 MND. If the project goes forward, California native plant landscaping (i.e., grassland and locally appropriate scrub plants) should be considered to be used as opposed to landscaping with lawn and exotic shrubs and trees. Native plants offer more structure, cover, food resources, and nesting substrate for wildlife than landscaping with lawn and ornamental trees. Native plant landscaping has been shown to increase the abundance of arthropods which act as important sources of food for wildlife and are crucial for pollination and plant reproduction (Narango et al. 2017, Adams et al. 2020, Smallwood and Wood 2022.). Further, many endangered and threatened insects require native host plants for reproduction and migration, e.g., monarch butterfly. Around the world, landscaping with native plants over exotic plants increases the abundance and diversity of birds, and it is particularly valuable to native birds (Lerman and Warren 2011, Burghardt et al. 2008, Berthon et al. 2021, Smallwood and Wood 2022). Landscaping with native plants is a way to maintain or to bring back some of the natural habitat and lessen the footprint of urbanization by acting as interconnected patches of habitat for wildlife (Goddard et al. 2009, Tallamy 2020). Lastly, not only does native plant landscaping benefit wildlife, it requires less water and maintenance than traditional landscaping with lawn and hedges. Thank you for your consideration, Shawn Smallwood, Ph.D. 37 LITERATURE CITED Adams, B. J., E. Li, C. A. Bahlai, E. K. Meineke, T. P. McGlynn, and B. V. Brown. 2020. Local and landscape -scale variables shape insect diversity in an urban biodiversity hot spot. Ecological Applications 30(4):e02089. 10.1002/eap.2089 Barton, C. M., C. S. Riding, and S. 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PLoS ONE 8(1): e53371. doi:10.1371/journal.pone.0053371 Johnson, R. E., and G. E. Hudson. 1976. Bird mortality at a glassed -in walkway in Washington State. Western Birds 7:99-107. Kahle, L. Q., M. E. Flannery, and J. P. Dumbacher. 2016. Bird -window collisions at a west -coast urban park museum: analyses of bird biology and window attributes from Golden Gate Park, San Francisco. PLoS ONE 11(1):e144600 DOI 10.1371/journal.pone.0144600. Klem, D., Jr. 1989. Bird -window collisions. Wilson Bulletin 101:606-620. 39 Klem, D., Jr. 1990. Collisions between birds and windows: mortality and prevention. Journal of Field Ornithology 61:120-128. Klem, D., Jr. 2009. Preventing bird -window collisions. The Wilson Journal of Ornithology 121:314-321. Klem, D., Jr. 2011. Evaluating the effectiveness of Acopian Birdsavers to deter or prevent bird -glass collisions. Unpublished report. Klem, D., Jr. and P. G. Saenger. 2013. Evaluating the effectiveness of select visual signals to prevent bird -window collisions. The Wilson Journal of Ornithology 125:406-411. Kunz, T. H., S. A. Gauthreaux Jr., N. I. Hristov, J. W. Horn, G. Jones, E. K. V. Kalko, R. P. Larkin, G. F. McCracken, S. M. Swartz, R. B. Srygley, R. Dudley, J. K. Westbrook, and M. Wikelski. 2008. Aeroecology: probing and modelling the aerosphere. Integrative and Comparative Biology 48:1-11. doi:10.1093/icb/icno37 Lerman, S. B. and P. S. Warren. 2011. The conservation value of residential yards: linking birds and people. Ecological Applications 21:1327-1339• Loyd, K. A. T., S. M. Hernandez, and D. L. McRuer. 2017. The role of domestic cats in the admission of injured wildlife at rehabilitation and rescue centers. Wildlife Society Bulletin 41:55-61. Loss, S. R., T. Will, and P. P. Marra. 2013. The impact of free -ranging domestic cats on wildlife of the United States. Nature Communications 2380. DOI: 10.1038/ncomms238o Loss, S. R., T. Will, and P. P. Marra. 2014. Estimation of bird -vehicle collision mortality on U.S. roads. Journal of Wildlife Management 78:763-771. Loss, S. R., T. Will, S. S. Loss, and P. P. Marra. 2014. Bird —building collisions in the United States: Estimates of annual mortality and species vulnerability. The Condor: Ornithological Applications 116:8-23. DOI: 10.165o/CONDOR-13-090.1 Loss, S. R., S. Lao, J. W. Eckles, A. W. Anderson, R. B. Blair, and R. J. Turner. 2019. Factors influencing bird -building collisions in the downtown area of a major North American city. PLoS ONE 14(11): e0224164. https:Z/doi.org/lo.13711journal. pone.0224164 Machtans, C. S., C. H. R. Wedeles, and E. M. Bayne. 2013. A first estimate for Canada of the number of birds killed by colliding with building windows. Avian Conservation and Ecology 8(2):6. http://dx.doi.org/1o.57.r1/ACE-oo568-080206 we Mendelsohn, M., W. Dexter, E. Olson, and S. Weber. 2009. Vasco Road wildlife movement study report. Report to Contra Costa County Public Works Department, Martinez, California. Narango, D. L., D. W. Tallamy, and P. P. Marra. 2017. Native plants improve breeding and foraging habitat for an insectivorous bird. Biological Conservation 213:42-50. Ocampo-Pefiuela, N., R. S. Winton, C. J. Wu, E. Zambello, T. W. Wittig and N. L. Cagle. 2016. Patterns of bird -window collisions inform mitigation on a university campus. PeerJ4: e1652; DOI10.7717/peer] .1652 O'Connell, T. J. 2001. Avian window strike mortality at a suburban office park. The Raven 72:141-149• Orff, K., H. Brown, S. Caputo, E. J. McAdams, M. Fowle, G. Phillips, C. DeWitt, and Y. Gelb. 2007. Bird -safe buildings guidelines. New York City Audubon, New York. Parkins, K. L., S. B. Elbin, and E. Barnes. 2015. Light, glass, and bird —building collisions in an urban park. Northeastern Naturalist 22:84-94• Porter, A., and A. Huang. 2015. Bird collisions with glass: UBC pilot project to assess bird collision rates in Western North America. UBC Social Ecological Economic Development Studies (SEEDS) Student Report. Report to Environment Canada, UBC SEEDS and UBC BRITE. Riding, C. S., T. J. O'Connell, and S. R. Loss. 2020. Building facade -level correlates of bird —window collisions in a small urban area. The Condor: Ornithological Applications 122:1-14. Sabo, A. M., N. D. G. Hagemeyer, A. S. Lahey, and E. L. Walters. 2016. Local avian density influences risk of mortality from window strikes. PeerJ 4:e2170; DOI 10.7717/peerj.2170 San Francisco Planning Department. 2011. Standards for bird -safe buildings. San Francisco Planning Department, City and County of San Francisco, California. Santos, S. M., F. Carvalho, and A. Mira. 2011. How long do the dead survive on the road? Carcass persistence probability and implications for road -kill monitoring surveys. PLoS ONE 6(9): e25383. doi:10.1311/journal.pone.0025383 Schneider, R. M., C. M. Barton, K. W. Zirkle, C. F. Greene, and K. B. Newman. 2018. Year-round monitoring reveals prevalence of fatal bird -window collisions at the Virginia Tech Corporate Research Center. PeerJ 6:e4562 https://doi.org/1o.7712/ peerj.4L 562 Sheppard, C., and G. Phillips. 2015. Bird -friendly building design, end Ed., American Bird Conservancy, The Plains, Virginia. 41 Somerlot, K. E. 2003. Survey of songbird mortality due to window collisions on the Murray State University campus. Journal of Service Learning in Conservation Biology 1:1-19. Smallwood, K. S. 2022. Utility -scale solar impacts to volant wildlife. Journal of Wildlife Management: e22216. https://doi.org/1o.1002ljwmg.22216 Smallwood, N.L. and E.M. Wood. 2022. The ecological role of native plant landscaping in residential yards to urban wildlife. Ecosphere 2022;e436o. Tallamy, D.W. 2020. Nature's Best Hope: A New Approach to Conservation that Starts in Your Yard. Timber Press. Van Doren, B. M., D. E. Willardb, M. Hennenb, K. G. Hortonc, E. F. Stubera, D. Sheldond, A. H. Sivakumare, J. Wanga, A. Farnswortha, and B. M. Winger. 2021. Drivers of fatal bird collisions in an urban center. Proceedings of the National Academy of Sciences 118 (24). e21o1666118 Wood, E. M., and S. Esaian. 202o. The importance of street trees to urban avifauna. Ecological Applications. o:e02149- Young, H. 1948. A comparative study of nesting birds in a five -acre park. The Wilson Bulletin 61:36-47. 42 EXHIBIT C IRAS INE ENVIRONMENTAL CONSULTING October 5, 2025 25234-00 Richard Drury Lozeau Drury LLP 1939 Harrison St., Suite 150 Oakland, CA 94612 Subject: Review of Air Quality Impacts Analyzed for the SilverRock Resort Project, City of La Quinta, California. Dear Mr. Drury: Baseline Environmental Consulting (Baseline) has reviewed the Air Quality analysis included in the 2025 Addendum to the adopted Mitigated Negative Declaration for the SilverRock Resort Project (project) in the City of La Quinta, California. The purpose of our review was to determine whether potential environmental impacts related to air quality were appropriately evaluated, mitigated, and disclosed to the public. Based on our review, we have identified flaws and data gaps in the analysis used to support the significance determinations for the 2025 Addendum, as described in detail below. AIR QUALITY Underestimated VOC Emissions The 2025 Addendum estimated criteria air pollutant emissions during operation of the project at full buildout in 2045. As summarized in Table 1, the project's maximum daily emissions of volatile organic compounds (VOCs) during operation would be 52.2 pounds per day, which is below the South Coast Air Quality Management District's (SCAQMD) recommended threshold of 55 pounds per day. However, based on review of the California Emissions Estimator Model (CaIEEMod) report included in Appendix A of the 2025 Addendum, the project's VOC emissions associated with consumer products (e.g., fertilizers and cleaning products) and architectural coatings (i.e., paint) were substantially underestimated. This is because the 2025 Addendum made the following errors when entering the model inputs for CaIEEMod: • The area of the landscaped golf courses (361 acres or 15,730,000 square feet) was set to zero, which resulted in no emission estimates of VOCs from the application of fertilizers and pesticides. The total square footage for the hotel in Planning Area (PA) 3 was set to 223,608 square feet, but according to the project description the hotel would be 250,000 square feet. As a 388 17th Street, Suite 230, Oakland, CA 94612 1 (510) 420-8686 1 www.baseline-env.com Mailing Address: PO Box 18586, Oakland, CA 94619 qflR ENVIRONMENTAL CONSULTING October 5, 2025 Page 2 result, the 2025 Addendum underestimated the VOC emissions from consumer products and architectural coatings associated with the hotel in PA 3. • The total square footage for the 29 luxury branded residences in PA 2 was set to 56,550 square feet, but according to the project description the average home size would range from 3,000 to 6,000 square feet. Assuming an average home size of 5,000 square feet, the total square footage of the 29 residences would be approximately 145,000 square feet. As a result, the 2025 Addendum underestimated the VOC emissions from consumer products, architectural coatings, and landscape equipment associated with the residences in PA 2. • The total square footage for the 70 luxury branded condominiums in PA 6 was set to 74,200 square feet, but according to the project description the total area would be 293,000 square feet. As a result, the 2025 Addendum underestimated the VOC emissions from consumer products, architectural coatings, and landscape equipment associated with the condominiums in PA 6. Baseline prepared an updated CalEEMod analysis to correct the model input errors described above and estimate the project's VOC emissions during operation in 2045 (Attachment A). As summarized in Table 1, the updated estimate of VOC emissions would be 65.4 pounds per day, which exceeds the SCAQMD's threshold of 55 pounds per day. Therefore, the project would have a significant air quality impact and require mitigation. Furthermore, the 2025 Addendum did not estimate the criteria air pollutant emissions from landscaping equipment used to maintain the 361 acres of golf courses. Based on the relatively large area of the golf courses, the failure to estimate, disclose, and mitigate (if necessary) the emissions from the landscaping equipment presents a significant data gap. Table 1. Maximum Daily VOC Emissions during Operation in 2045 Emission Source VOC Emissions (lb/day) 2025 Addendum Updated Analysis Mobile 20.30 20.30 Consumer Products 24.60 38.90 Architectural Coatings 2.25 2.70 Landscape Equipment* 4.65 4.83 Energy 0.36 0.36 Total 52.2 65.4 SCAQMD Threshold 55 55 Exceed Threshold? No Yes Notes: lb = pound * The updated analysis includes additional landscape equipment emissions for residential land use, but does not account for landscape equipment emissions for the golf courses. 12JRLEME ENVI SENTAL CONSULTING October 5, 2025 Page 3 Overlapping Construction and Operation Emissions The 2025 Addendum estimated the maximum daily emissions of criteria air pollutants during construction between 2026 and 2045, as well as the operational emissions during full buildout of the project in 2045. However, the 2025 Addendum did not evaluate the overlapping emissions from both construction and operation. As shown in Figure 1, operation of several planning areas could begin as early as 2029 and would overlap with construction of other planning areas until 2045. During this period, the project would generate daily emissions of criteria air pollutants from the combination of both construction and operation. The failure of the 2025 Addendum to estimate, disclose, and mitigation (if necessary) the criteria air pollutant emissions from overlapping construction and operation between 2029 and 2045 presents a significant date gap. Figure 1. Construction and Operation Phasing Diagram for 2025 Addendum �11111111111111111111111111111111111111111111111111111111111111111111111111111111 �11111111111111111111111111111111111111111111111111111111111111111111111111111111 �11111111111111111111111111111111111111111111111111111111111111111111111111111111 �11111111111111111111111111111111111111111111111111111111111111111111111111111111 �11111111111111111111111111111111111111111111111111111111111111111111111111111111 Key Construction Operation Construction Health Risk Assessment Project construction would generate diesel particulate matter (DPM) emissions from the exhaust of off -road diesel equipment that could pose a health risk to nearby sensitive receptors. The California Air Resources Board has identified DPM as a toxic air contaminant (TAC) based on its potential to cause cancer and other adverse health effects.' Adverse health effects associated with particulate matter can vary based on factors such as particle size, source, and chemical composition. DPM is typically composed of carbon particles and a variety of organic compounds including more than 40 known cancer -causing organic substances. Sensitive receptors near the project site could be exposed to DPM emissions generated during project construction. As discussed in the 2025 Addendum (page 3.0-1.8), the nearest sensitive receptors are residences approximately 125 feet and 150 feet to the south and east, respectively, of the boundaries of the project site. In addition, future residents on the project site could be exposed to DPM emissions during construction of adjacent planning areas. 1 California Air Resources Board, 1998. Initial Statement of Reasons for Rulemaking; Proposed Identification of Diesel Exhaust as a Toxic Air Contaminant, June. 12JRLEME ENVI SENTAL CONSULTING October 5, 2025 Page 4 In 2015, the Office of Environmental Health Hazard Assessment (OEHHA) published health risk assessment guidelines' that include early -life exposure adjustments for children exposed to TACs such as DPM during construction. The 2015 OEHHA guidance and recommended early -life adjustment factors were not available during preparation of the earlier project addendums. The 2015 OEHHA guidance is now widely used for health risk assessments throughout California. Examples include the 2020 San Francisco Citywide Health Risk Assessment,3 the 2022 Port of San Diego's Updated Health Risk Assessment,4 and the Bay Area Air District's 2022 CEQA Air Quality Guidelines5. The 2025 Addendum did not provide a quantitative assessment of the health risks to nearby sensitive receptors exposed to DPM emissions generated during project construction. The failure of the 2025 Addendum to evaluate, disclose, and mitigate (if necessary) the health risks to nearby sensitive receptors during project construction presents a significant date gap. Valley Fever Valley fever, also known as coccidioidomycosis, is a disease caused by inhaling spores of the fungus Coccidioides from airborne dust and soil. Coccidioides grow best in soil after heavy rainfall and then disperse into the air most effectively during hot, dry conditions. Exposure to Coccidioides can infect the lungs and cause respiratory symptoms including cough, fever, chest pain, and tiredness. In California, the number of reported Valley fever cases has greatly increased in recent years. Since 2000, Valley fever cases increased from less than 1,000 cases to nearly 12,500 cases in 2024, the highest number on record for California.' Riverside County, where the project is located, confirmed 465 cases in 2024. As of August 2025, 322 cases have been reported, which is a 58% rise from the same period last year.' The 2025 Addendum did evaluate the potential risk of Valley fever to receptors exposed to dust emissions during project construction. The failure of the 2025 Addendum to evaluate, disclose, and mitigate (if necessary) the risk of Valley fever to receptors during project construction presents a significant date gap. z Office of Environmental Health Hazard Assessment (OEHHA). 2015. Air Toxics Hot Spots Program Guidance Manual for Preparation of Health Risk Assessments. February. 3 San Francisco Department of Public Health, 2020. San Francisco Citywide Health Risk Assessment: Technical Support Documentation, September 2020. 4 Port of San Diego, 2022. Updated Health Risk Assessment; Focusing on Diesel Particulate Matter at the District's Marine Cargo Terminals. July. 5 Bay Area Air Quality Management District (BAAQMD), 2022. California Environmental Quality Act Air Quality Guidelines. e California Department of Public Health, 2025. Valley Fever. https://www.cdph.ca.gov/Programs/CID/DCDC/Pages/Coccidioidomycosis.aspx County of Riverside, 2025. Public Health Officials Report Increase in Valley Fever Cases in Riverside County. August 28. https://rivco.org/news/public-health-officials-report-increase-valley-fever-cases-riverside-county qflR ENVIRONMENTAL CONSULTING October 5, 2025 Page 5 CONCLUSIONS Based on our review of the 2025 Addendum, air quality impacts have not been adequately evaluated, disclosed, and/or mitigated. As a result, Baseline recommends that the City of La Quinta prepare a revised CEQA analysis to evaluate and mitigate the air quality impacts described above. Sincerely, Patrick Sutton Principal Environmental Engineer ATTACHMENT A CaIEEMod Report SilverRock Resort 2045 Custom Report, 10/5/2025 SilverRock Resort 2045 Custom Report Table of Contents 1. Basic Project Information 1.1. Basic Project Information 1.2. Land Use Types 1.3. User -Selected Emission Reduction Measures by Emissions Sector 4. Operations Emissions Details 4.3. Area Emissions by Source 4.3.1. Unmitigated 5. Activity Data 5.10. Operational Area Sources 5.10.1. Hearths 5.10.1.1. Unmitigated 5.10.2. Architectural Coatings 5.10.3. Landscape Equipment 8. User Changes to Default Data 1/7 SilverRock Resort 2045 Custom Report, 10/5/2025 1. Basic Project Information 1.1. Basic Project Information Project Name Operational Year Lead Agency Land Use Scale Analysis Level for Defaults Windspeed (m/s) Precipitation (days) Location County City Air District Air Basin TAZ EDFZ Electric Utility Gas Utility App Version 1.2. Land Use Types Golf Course 36.0 Hole 361 0.00 General Office 17.0 1000sgft 0.39 17,000 Building SilverRock Resort 2045 2045 Project/site County 3.00 7.60 33.666877105238456,-116.27503201606905 Riverside -Salton Sea La Quinta South Coast AQMD Salton Sea 5696 19 Imperial Irrigation District Southern California Gas 2022.1.1.30 15, 730,000 15,730,000 1,700 — 2/7 SilverRock Resort 2045 Custom Report, 10/5/2025 General Office 55.0 1000sgft 1.26 55,000 5,500 Building Hotel 154 Room 5.13 250,000 25,000 Quality Restaurant 7.50 1000sgft 0.17 7,500 750 Condo/Townhouse 70.0 Dwelling Unit 4.38 293,000 29,300 Single Family 29.0 Dwelling Unit 9.42 145,000 14,500 Housing Single Family 93.0 Dwelling Unit 30.2 181,350 18,135 Housing General Office 40.0 1000sgft 0.92 40,000 4,000 Building Single Family 253 Dwelling Unit 82.1 493,350 49,335 Housing 1.3. User -Selected Emission Reduction Measures by Emissions Sector No measures selected 4. Operations Emissions Details 4.3. Area Emissions by Source 4.3.1. Unmitigated Criteria Pollutants (lb/day for daily, ton/yr for annual) and GHGs (lb/day for daily, MT/yr for annual) Daily, - - - - - - - - - - - - Summer (Max) 226 PA 6 94.0 - 300 - 817 - Hearths 0.00 0.00 0.00 0.00 0.00 0.00 - 0.00 0.00 - 0.00 0.00 0.00 0.00 0.00 0.00 - Consum 40.7 40.7 er Product s 0.00 3/7 SilverRock Resort 2045 Custom Report, 10/5/2025 Architect 2.70 2.70 - - - - - - - - - - - - - - - - ural Landsca 5.18 4.83 0.37 41.4 < 0.005 0.04 - 0.04 0.03 - 0.03 - 134 134 0.01 < 0.005 - 134 pe Equipm ent Total 48.5 48.2 0.37 41.4 < 0.005 0.04 - 0.04 0.03 - 0.03 0.00 134 134 0.01 < 0.005 - 134 Daily, - - - - - - - - - - - - - - - - - - Winter (Max) Hearths 0.00 0.00 0.00 0.00 0.00 0.00 - 0.00 0.00 - 0.00 0.00 0.00 0.00 0.00 0.00 - 0.00 Consum 40.7 40.7 - - - - - - - - - - - - - - - - er Product s Architect 2.70 2.70 - - - - - - - - - - - - - - - - ural Coating s Total 43.4 43.4 0.00 0.00 0.00 0.00 - 0.00 0.00 - 0.00 0.00 0.00 0.00 0.00 0.00 - 0.00 Annual - - - - - - - - - - - - - - - - - - Hearths 0.00 0.00 0.00 0.00 0.00 0.00 - 0.00 0.00 - 0.00 0.00 0.00 0.00 0.00 0.00 - 0.00 Consum 7.42 7.42 - - - - - - - - - - - - - - - - er Product s Architect 0.49 0.49 - - - - - - - - - - - - - - - - ural Coating s Landsca 0.47 0.44 0.03 3.73 < 0.005 < 0.005 - < 0.005 < 0.005 - < 0.005 - 10.9 10.9 < 0.005 < 0.005 - 10.9 pe Equipm ent Total 8.38 8.35 0.03 3.73 < 0.005 < 0.005 - < 0.005 < 0.005 - < 0.005 0.00 10.9 10.9 < 0.005 < 0.005 - 10.9 4/7 SilverRock Resort 2045 Custom Report, 10/5/2025 5. Activity Data 5.10. Operational Area Sources 5.10.1. Hearths 5.10.1.1. Unmitigated Condo/Townhouse — Wood Fireplaces 0 Gas Fireplaces 0 Propane Fireplaces 0 Electric Fireplaces 0 No Fireplaces 0 Conventional Wood Stoves 0 Catalytic Wood Stoves 0 Non -Catalytic Wood Stoves 0 Pellet Wood Stoves 0 Single Family Housing — Wood Fireplaces 0 Gas Fireplaces 0 Propane Fireplaces 0 Electric Fireplaces 0 No Fireplaces 0 Wood Fireplaces 0 Gas Fireplaces 0 Propane Fireplaces 0 Electric Fireplaces 0 5/7 SilverRock Resort 2045 Custom Report, 10/5/2025 No Fireplaces Wood Fireplaces Gas Fireplaces Propane Fireplaces Electric Fireplaces No Fireplaces Conventional Wood Stoves Catalytic Wood Stoves Non -Catalytic Wood Stoves Pellet Wood Stoves Conventional Wood Stoves Catalytic Wood Stoves Non -Catalytic Wood Stoves Pellet Wood Stoves Conventional Wood Stoves Catalytic Wood Stoves Non -Catalytic Wood Stoves Pellet Wood Stoves 5.10.2. Architectural Coatings 2085142.5 695,048 5.10.3. Landscape Equipment Snow Days Summer Days day/yr day/yr 554,250 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 184,750 — 0.00 180 6/7 SilverRock Resort 2045 Custom Report, 10/5/2025 8. User Changes to Default Data Land Use Based on CalEEMod report included Appendix A of the staff report, except for the following changes: Gold course acreage and landscape area updated based on Table 2-4; PA2 square footage updated assuming average of 5 KSF/house; PA3 square footage updated based on Table 2-4; PA6 square footage updated based on Table 2-4, Operations: Hearths No wood burning fireplaces or stoves included in the proposed Project. 7/7 ATTACHMENT B Staff Resume Patrick Sutton, P.E. Principal Environmental Engineer Areas of Expertise Air Quality, GHGs, Noise, Hazardous Materials, Geology, and Hydrology Education M.S., Civil and Environmental Engineering, University of California — Davis B.S., Environmental Science, Dickinson College Registration Professional Engineer No. 13609 (RI) Years of Experience 20 Years Project Experience IaBm IM ENVIRONMENTCONSULTING Patrick Sutton is an environmental engineer who specializes in the assessment of hazardous materials released into the environment. Mr. Sutton prepares technical reports in support of environmental review, such as Phase 1/11 Environmental Site Investigations, Air Quality Reports, and Health Risk Assessments. He has prepared numerous CEQA/NEPA evaluations for air quality, GHGs, noise, energy, geology, hazardous materials, and water quality related to residential, commercial, and industrial projects, as well as large infrastructure developments. His proficiency in a wide range of modeling software (AERMOD, CalEEMod, RCEM, CT-EMFAC) as well as relational databases, GIS, and graphics design allows him to thoroughly and efficiently assess and mitigate environmental concerns. For mixed -use development projects, Mr. Sutton has prepared health risk assessments for sensitive receptors exposed to toxic air contaminants based on air dispersion modeling. For large transportation improvement projects, Mr. Sutton has prepared air quality and hazardous materials technical reports in accordance with Caltrans requirements. The air quality assessments include the evaluation of criteria air pollutants, mobile source air toxics, and GHG emissions to support environmental review of the project under CEQA/NEPA and to determine conformity with the State Implementation Plan. The hazardous materials investigations include sampling and statistically analysis of aerially -deposited lead adjacent to highway corridors. Mr. Sutton is also an active member of ASTM International and is the author of the Standard Practice for Low -Flow Purging and Sampling Used for Groundwater Monitoring. Alameda CTC 1-80/Ashby Avenue Interchange Improvements. Prepared Phase 1/II ESAs to evaluate contaminants of potential concern in soil and groundwater. Prepared Air Quality Report to determine the project's conformity to federal air quality regulations and support CEQA/NEPA environmental review. Oakland Downtown Specific Plan EIR. Prepared a program- and project -level Air Quality and GHG Emissions analysis. Developed a mitigation measure with performance standards to ensure GHG emissions from future projects comply with the Citywide 2030 GHG reduction target. CCTA 1-680 Express Lanes from SR 84 to Alcosta Boulevard Project. Prepared Initial Site Assessment and Preliminary Site Investigation to evaluate contaminants of potential concern in soil and groundwater. Prepared Air Quality Report to determine the project's conformity to federal air quality regulations and to support environmental review of the project under CEQA and NEPA. Altamont Corridor Expressway (ACE/Forward) Project EIR/EIS. Prepared a program- and project -level Hazardous Materials analysis for over 120 miles of railroad corridor from San Jose to Merced. Hazardous materials concerns, such as release sites, petroleum pipelines, agricultural pesticides, and nearby school sites were evaluated in GIS. BART Silicon Valley Extension Project. Prepared Initial Site Assessment and Hazardous Materials EIS/EIR section for extending 6 miles of proposed BART service through the Cities of San Jose and Santa Clara. EXHIBIT D ME INDOOR ENVIRONMENTAL ENGINEERING ME 1448 Pine Street, Suite 103 San Francisco, California 94109 Telephone: (415) 567-7700 E-mail: offermann&IEE-SF.com h!M://www.iec-s£com Date: October 3, 2025 To: Richard Drury Lozeau I Drury LLP 1939 Harrison Street, Suite 150 Oakland, California 94612 From: Francis J. Offermann PE CIH Subject: Indoor Air Quality: SilverRock Resort Project — La Quinta, CA (IEE File Reference: P-4900) Pages: 18 Indoor Air Quality Impacts Indoor air quality (IAQ) directly impacts the comfort and health of building occupants, and the achievement of acceptable IAQ in newly constructed and renovated buildings is a well - recognized design objective. For example, IAQ is addressed by major high-performance building rating systems and building codes (California Building Standards Commission, 2014; USGBC, 2014). Indoor air quality in homes is particularly important because occupants, on average, spend approximately ninety percent of their time indoors with the majority of this time spent at home (EPA, 2011). Some segments of the population that are most susceptible to the effects of poor IAQ, such as the very young and the elderly, occupy their homes almost continuously. Additionally, an increasing number of adults are working from home at least some of the time during the workweek. Indoor air quality also is a serious concern for workers in hotels, offices and other business establishments. The concentrations of many air pollutants often are elevated in homes and other buildings relative to outdoor air because many of the materials and products used indoors contain and release a variety of pollutants to air (Hodgson et al., 2002; Offermann and Hodgson, 2011). With respect to indoor air contaminants for which inhalation is the primary route of exposure, the critical design and construction parameters are the provision of adequate ventilation and the reduction of indoor sources of the contaminants. Indoor Formaldehyde Concentrations Impact. In the California New Home Study (CNHS) of 108 new homes in California (Offermann, 2009), 25 air contaminants were measured, and formaldehyde was identified as the indoor air contaminant with the highest cancer risk as determined by the California Proposition 65 Safe Harbor Levels (OEHHA, 2017a), No Significant Risk Levels (NSRL) for carcinogens. The NSRL is the daily intake level calculated to result in one excess case of cancer in an exposed population of 100,000 (i.e., ten in one million cancer risk) and for formaldehyde is 40 µg/day. The NSRL concentration of formaldehyde that represents a daily dose of 40 µg is 2 µg/m3, assuming a continuous 24-hour exposure, a total daily inhaled air volume of 20 m3, and 100% absorption by the respiratory system. All of the CNHS homes exceeded this NSRL concentration of 2 µg/m3. The median indoor formaldehyde concentration was 36 µg/m3, and ranged from 4.8 to 136 µg/m3, which corresponds to a median exceedance of the 2 µg/m3 NSRL concentration of 18 and a range of 2.3 to 68. Therefore, the cancer risk of a resident living in a California home with the median indoor formaldehyde concentration of 36 µg/m3, is 180 per million as a result of formaldehyde alone. The CEQA significance threshold for airborne cancer risk is 10 per million, as established by the South Coast Air Quality Management District (SCAQMD, 2015). Besides being a human carcinogen, formaldehyde is also a potent eye and respiratory irritant. In the CNHS, many homes exceeded the non -cancer reference exposure levels (RELs) prescribed by California Office of Environmental Health Hazard Assessment (OEHHA, 2017b). The percentage of homes exceeding the RELs ranged from 98% for the Chronic REL of 9 µg/m3 to 28% for the Acute REL of 55 µg/m3. The primary source of formaldehyde indoors is composite wood products manufactured with urea -formaldehyde resins, such as plywood, medium density fiberboard, and 2of18 particleboard. These materials are commonly used in building construction for flooring, cabinetry, baseboards, window shades, interior doors, and window and door trims. In January 2009, the California Air Resources Board (CARB) adopted an airborne toxics control measure (ATCM) to reduce formaldehyde emissions from composite wood products, including hardwood plywood, particleboard, medium density fiberboard, and also furniture and other finished products made with these wood products (California Air Resources Board 2009). While this formaldehyde ATCM has resulted in reduced emissions from composite wood products sold in California, they do not preclude that homes built with composite wood products meeting the CARB ATCM will have indoor formaldehyde concentrations that are below cancer and non -cancer exposure guidelines. A follow up study to the California New Home Study (CNHS) was conducted in 2016-2018 (Chan et. al., 2019), and found that the median indoor formaldehyde in new homes built after 2009 with CARB Phase 2 Formaldehyde ATCM materials had lower indoor formaldehyde concentrations, with a median indoor concentrations of 22.4 µg/m3 (18.2 ppb) as compared to a median of 36 µg/m3 found in the 2007 CNHS. Thus, while new homes built after the 2009 CARB formaldehyde ATCM have a 38% lower median indoor formaldehyde concentration and cancer risk, the median lifetime cancer risk is still 112 per million for homes built with CARB compliant composite wood products, which is more than 11 times the OEHHA 10 in a million cancer risk threshold (OEHHA, 2017a). With respect to the SilverRock Resort Project, La Quinta, CA, the buildings consist of residential and commercial buildings. The residential occupants will potentially have continuous exposure (e.g. 24 hours per day, 52 weeks per year). These exposures are anticipated to result in significant cancer risks resulting from exposures to formaldehyde released by the building materials and furnishing commonly found in residential construction. 3of18 Because these residences will be constructed with CARB Phase 2 Formaldehyde ATCM materials and ventilated with the minimum code required amount of outdoor air, the indoor residential formaldehyde concentrations are likely similar to those concentrations observed in residences built with CARB Phase 2 Formaldehyde ATCM materials, which is a median of 24.1 µg/m3 (Singer et. al., 2020) Assuming that the residential occupants inhale 20 m3 of air per day, the average 70-year lifetime formaldehyde daily dose is 482 µg/day for continuous exposure in the residences. This exposure represents a cancer risk of 120 per million, which is more than 12 times the CEQA cancer risk of 10 per million. For occupants that do not have continuous exposure, the cancer risk will be proportionally less but still substantially over the CEQA cancer risk of 10 per million (e.g. for 12/hour/day occupancy, more than 6 times the CEQA cancer risk of 10 per million). The employees of the commercial spaces are expected to experience significant indoor exposures (e.g., 40 hours per week, 50 weeks per year). These exposures for employees are anticipated to result in significant cancer risks resulting from exposures to formaldehyde released by the building materials and furnishing commonly found in offices, warehouses, residences and hotels. Because these commercial spaces will be constructed with CARB Phase 2 Formaldehyde ATCM materials, and be ventilated with the minimum code required amount of outdoor air, the indoor formaldehyde concentrations are likely similar to those concentrations observed in residences built with CARB Phase 2 Formaldehyde ATCM materials, which is a median of 22.4 µg/m3 (Chan et. al., 2019) Assuming that the commercial spaces employees work 8 hours per day and inhale 20 in of air per day, the formaldehyde dose per workday at the offices is 149 µg/day. Assuming that these employees work 5 days per week and 50 weeks per year for 45 years (start at age 20 and retire at age 65) the average 70-year lifetime formaldehyde daily dose is 65.8 µg/day. 4of18 This is 1.64 times the NSRL (OEHHA, 2017a) of 40 µg/day and represents a cancer risk of 16.4 per million, which exceeds the CEQA cancer risk of 10 per million. This impact should be analyzed in an environmental impact report ("EIR"), and the agency should impose all feasible mitigation measures to reduce this impact. Several feasible mitigation measures are discussed below and these and other measures should be analyzed in an EIR. In addition, we note that the average outdoor air concentration of formaldehyde in California is 3 ppb, or 3.7 µg/m3, (California Air Resources Board, 2004), and thus represents an average pre-existing background airborne cancer risk of 1.85 per million. Thus, the indoor air formaldehyde exposures describe above exacerbate this pre-existing risk resulting from outdoor air formaldehyde exposures. Additionally, the SCAQMD's Multiple Air Toxics Exposure Study ("MATES V") identifies an existing cancer risk at the Project site of 208 per million due to the site's elevated ambient air contaminant concentrations, which are due to the area's high levels of vehicle traffic. These impacts would further exacerbate the pre-existing cancer risk to the building occupants, which result from exposure to formaldehyde in both indoor and outdoor air. Appendix A, Indoor Formaldehyde Concentrations and the CARB Formaldehyde ATCM, provides analyses that show utilization of CARB Phase 2 Formaldehyde ATCM materials will not ensure acceptable cancer risks with respect to formaldehyde emissions from composite wood products. Even composite wood products manufactured with CARB certified ultra low emitting formaldehyde (ULEF) resins do not insure that the indoor air will have concentrations of formaldehyde the meet the OEHHA cancer risks that substantially exceed 10 per million. The permissible emission rates for ULEF composite wood products are only 11-15% lower than the CARB Phase 2 emission rates. Only use of composite wood products made with no -added formaldehyde resins (NAF), such as resins made from soy, polyvinyl acetate, or methylene diisocyanate can insure that the OEHHA cancer risk of 10 per million is met. 5of18 The following describes a method that should be used prior to construction in the environmental review under CEQA, for determining whether the indoor concentrations resulting from the formaldehyde emissions of the specific building materials/furnishings selected for the building exceed cancer and non -cancer guidelines. Such a design analyses can be used to identify those materials/furnishings prior to the completion of the City's CEQA review and project approval, that have formaldehyde emission rates that contribute to indoor concentrations that exceed cancer and non -cancer guidelines, so that alternative lower emitting materials/furnishings may be selected and/or higher minimum outdoor air ventilation rates can be increased to achieve acceptable indoor concentrations and incorporated as mitigation measures for this project. Pre -Construction Building Material/Fumishing Formaldehyde Emissions Assessment. This formaldehyde emissions assessment should be used in the environmental review under CEQA to assess the indoor formaldehyde concentrations from the proposed loading of building materials/furnishings, the area -specific formaldehyde emission rate data for building materials/furnishings, and the design minimum outdoor air ventilation rates. This assessment allows the applicant (and the City) to determine before the conclusion of the environmental review process and the building materials/furnishings are specified, purchased, and installed if the total chemical emissions will exceed cancer and non -cancer guidelines, and if so, allow for changes in the selection of specific material/furnishings and/or the design minimum outdoor air ventilations rates such that cancer and non -cancer guidelines are not exceeded. 1.) Define Indoor Air Quality Zones. Divide the building into separate indoor air quality zones, (IAQ Zones). IAQ Zones are defined as areas of well -mixed air. Thus, each ventilation system with recirculating air is considered a single zone, and each room or group of rooms where air is not recirculated (e.g. 100% outdoor air) is considered a separate zone. For IAQ Zones with the same construction material/furnishings and design minimum outdoor air ventilation rates. (e.g. hotel rooms, apartments, condominiums, etc.) the formaldehyde emission rates need only be assessed for a single IAQ Zone of that type. 6of18 2.) Calculate Material/Furnishing Loading. For each IAQ Zone, determine the building material and furnishing loadings (e.g., in of material/m2 floor area, units of furnishings/m2 floor area) from an inventory of all potential indoor formaldehyde sources, including flooring, ceiling tiles, furnishings, finishes, insulation, sealants, adhesives, and any products constructed with composite wood products containing urea -formaldehyde resins (e.g., plywood, medium density fiberboard, particleboard). 3.) Calculate the Formaldehyde Emission Rate. For each building material, calculate the formaldehyde emission rate (µg/h) from the product of the area -specific formaldehyde emission rate (µg/m2-h) and the area (m) of material in the IAQ Zone, and from each furnishing (e.g. chairs, desks, etc.) from the unit -specific formaldehyde emission rate (µg/unit-h) and the number of units in the IAQ Zone. NOTE: As a result of the high-performance building rating systems and building codes (California Building Standards Commission, 2014; USGBC, 2014), most manufacturers of building materials furnishings sold in the United States conduct chemical emission rate tests using the California Department of Health "Standard Method for the Testing and Evaluation of Volatile Organic Chemical Emissions for Indoor Sources Using Environmental Chambers", (CDPH, 2017), or other equivalent chemical emission rate testing methods. Most manufacturers of building furnishings sold in the United States conduct chemical emission rate tests using ANSI/BIFMA M7.1 Standard Test Method for Determining VOC Emissions (BIFMA, 2018), or other equivalent chemical emission rate testing methods. CDPH, BIFMA, and other chemical emission rate testing programs, typically certify that a material or furnishing does not create indoor chemical concentrations in excess of the maximum concentrations permitted by their certification. For instance, the CDPH emission rate testing requires that the measured emission rates when input into an office, school, or residential model do not exceed one-half of the OEHHA Chronic Exposure Guidelines (OEHHA, 2017b) for the 35 specific VOCs, including formaldehyde, listed in Table 4-1 of the CDPH test method (CDPH, 2017). These certifications themselves do not provide the actual area -specific formaldehyde emission rate (i.e., µg/m2-h) of the product, but rather provide data that the formaldehyde emission rates do not exceed the maximum rate allowed 7of18 for the certification. Thus, for example, the data for a certification of a specific type of flooring may be used to calculate that the area -specific emission rate of formaldehyde is less than 31 µg/mZ-h, but not the actual measured specific emission rate, which may be 3, 18, or 30 µg/mZ-h. These area -specific emission rates determined from the product certifications of CDPH, BIFA, and other certification programs can be used as an initial estimate of the formaldehyde emission rate. If the actual area -specific emission rates of a building material or furnishing is needed (i.e. the initial emission rates estimates from the product certifications are higher than desired), then that data can be acquired by requesting from the manufacturer the complete chemical emission rate test report. For instance if the complete CDPH emission test report is requested for a CDHP certified product, that report will provide the actual area -specific emission rates for not only the 35 specific VOCs, including formaldehyde, listed in Table 4-1 of the CDPH test method (CDPH, 2017), but also all of the cancer and reproductive/developmental chemicals listed in the California Proposition 65 Safe Harbor Levels (OEHHA, 2017a), all of the toxic air contaminants (TACs) in the California Air Resources Board Toxic Air Contamination List (CARB, 2011), and the 10 chemicals with the greatest emission rates. Alternatively, a sample of the building material or furnishing can be submitted to a chemical emission rate testing laboratory, such as Berkeley Analytical Laboratory (https:/iberkeleyanalytical.com), to measure the formaldehyde emission rate. 4.) Calculate the Total Formaldehyde Emission Rate. For each IAQ Zone, calculate the total formaldehyde emission rate (i.e. µg/h) from the individual formaldehyde emission rates from each of the building material/furnishings as determined in Step 3. 5.) Calculate the Indoor Formaldehyde Concentration. For each IAQ Zone, calculate the indoor formaldehyde concentration (µg/m3) from Equation I by dividing the total formaldehyde emission rates (i.e. µg/h) as determined in Step 4, by the design minimum outdoor air ventilation rate (in 3/h) for the IAQ Zone. 8of18 Etotal Cin = (Equation 1) Qoa where: CGn = indoor formaldehyde concentration (µg/m3) Etotai = total formaldehyde emission rate (µg/h) into the IAQ Zone. Qoa = design minimum outdoor air ventilation rate to the IAQ Zone (m3/h) The above Equation 1 is based upon mass balance theory, and is referenced in Section 3.10.2 "Calculation of Estimated Building Concentrations" of the California Department of Health "Standard Method for the Testing and Evaluation of Volatile Organic Chemical Emissions for Indoor Sources Using Environmental Chambers", (CDPH, 2017). 6.) Calculate the Indoor Exposure Cancer and Non -Cancer Health Risks. For each IAQ Zone, calculate the cancer and non -cancer health risks from the indoor formaldehyde concentrations determined in Step 5 and as described in the OEHHA Air Toxics Hot Spots Program Risk Assessment Guidelines; Guidance Manual for Preparation of Health Risk Assessments (OEHHA, 2015). 7.) Mitigate Indoor Formaldehydeposures of exceeding the CEQA Cancer and/or Non - Cancer Health Risks. In each IAQ Zone, provide mitigation for any formaldehyde exposure risk as determined in Step 6, that exceeds the CEQA cancer risk of 10 per million or the CEQA non -cancer Hazard Quotient of 1.0. Provide the source and/or ventilation mitigation required in all IAQ Zones to reduce the health risks of the chemical exposures below the CEQA cancer and non -cancer health risks. Source mitigation for formaldehyde may include: 1.) reducing the amount materials and/or furnishings that emit formaldehyde 2.) substituting a different material with a lower area -specific emission rate of formaldehyde Ventilation mitigation for formaldehyde emitted from building materials and/or furnishings may include: 9of18 1.) increasing the design minimum outdoor air ventilation rate to the IAQ Zone. NOTE: Mitigating the formaldehyde emissions through use of less material/furnishings, or use of lower emitting materials/furnishings, is the preferred mitigation option, as mitigation with increased outdoor air ventilation increases initial and operating costs associated with the heating/cooling systems. Further, we are not asking that the builder to "speculate" on what and how much composite materials be used, but rather at the design stage to select composite wood materials based on the formaldehyde emission rates that manufacturers routinely conduct using the California Department of Health "Standard Method for the Testing and Evaluation of Volatile Organic Chemical Emissions for Indoor Sources Using Environmental Chambers", (CDPH, 2017), and use the procedure described earlier (i.e. Pre -Construction Building Material/Furnishing Formaldehyde Emissions Assessment) to insure that the materials selected achieve acceptable cancer risks from material off gassing of formaldehyde. Outdoor Air Ventilation Impact. Another important finding of the CNHS, was that the outdoor air ventilation rates in the homes were very low. Outdoor air ventilation is a very important factor influencing the indoor concentrations of air contaminants, as it is the primary removal mechanism of all indoor air generated air contaminants. Lower outdoor air exchange rates cause indoor generated air contaminants to accumulate to higher indoor air concentrations. Many homeowners rarely open their windows or doors for ventilation as a result of their concerns for security/safety, noise, dust, and odor concerns (Price, 2007). In the CNHS field study, 32% of the homes did not use their windows during the 24-hour Test Day, and 15% of the homes did not use their windows during the entire preceding week. Most of the homes with no window usage were homes in the winter field session. Thus, a substantial percentage of homeowners never open their windows, especially in the winter season. The median 24-hour measurement was 0.26 ach, with a range of 0.09 ach to 5.3 ach. A total of 67% of the homes had outdoor air exchange rates below the minimum California Building Code (2001) requirement of 0.35 ach. Thus, the relatively tight envelope construction, combined with the fact that many people never open their windows for 10 of 18 ventilation, results in homes with low outdoor air exchange rates and higher indoor air contaminant concentrations. The SilverRock Resort Project — La Quinta, CA is close to roads with moderate to high traffic (e.g., 52nd Avenue, Jefferson Street, Silverrock Way etc.). As a result of the outdoor vehicle traffic noise, the Project site is likely to be a sound impacted site. According to the Addendum to the Adopted Mitigated Negative Declaration — SilverRock Resort Project, La Quinta, CA. (Meridian Consultants, 2025) there has been no measurements of the existing ambient sound levels. In order to design the building for this Project such that interior noise levels are acceptable, an acoustic study with actual on -site measurements of the existing ambient noise levels and modeled future ambient noise levels needs to be conducted. The acoustic study of the existing ambient noise levels should be conducted over a minimum of a one -week period and report the dBA CNEL or Ldn. This study will allow for the selection of a building envelope and windows with a sufficient STC such that the indoor noise levels are acceptable. A mechanical supply of outdoor air ventilation to allow for a habitable interior environment with closed windows and doors will also be required. Such a ventilation system would allow windows and doors to be kept closed at the occupant's discretion to control exterior noise within building interiors. PM2.5 Outdoor Concentrations Impact. An additional impact of the nearby motor vehicle traffic associated with this project, are the outdoor concentrations of PM2.5. According to the Addendum to the Adopted Mitigated Negative Declaration — SilverRock Resort Project, La Quinta, CA. (Meridian Consultants, 2025) the Project is located in Salton Sea Air Basin, which is a State and Federal non -attainment area for PMio. Additionally, the SCAQMD's MATES V study cites an existing cancer risk of 208 per million at the Project site due to the site's high concentration of ambient air contaminants resulting from the area's high levels of motor vehicle traffic. 11 of 18 An air quality analyses should be conducted to determine the concentrations of PM2,5 and PMio in the outdoor and indoor air that people inhale each day. This air quality analyses needs to consider the cumulative impacts of the project related emissions, existing and projected future emissions from local PM2,5 and PMio sources (e.g. stationary sources, motor vehicles, and airport traffic) upon the outdoor air concentrations at the Project site. If the outdoor concentrations are determined to exceed the California and National annual average PM2.5 exceedence concentration of 12 µg/m3, or the National 24-hour average exceedence concentration of 35 µg/m3, or exceed the California annual average PMio exceedence concentration of 20 µg/m3, or the 24-hour average exceedence concentration of 50 µg/m3, then the buildings need to have a mechanical supply of outdoor air that has air filtration with sufficient removal efficiency, such that the indoor concentrations of outdoor PM2.5 and PMIo particles is less than the California and National PM2.5 annual and 24-hour standards. It is my experience that based on the projected high traffic noise levels, the annual average concentration of PM2.5 will exceed the California and National PM2.5 annual and 24-hour standards and warrant installation of high efficiency air filters (i.e. MERV 13 or higher) in all mechanically supplied outdoor air ventilation systems. Indoor Air Quality Impact Mitigation Measures The following are recommended mitigation measures to minimize the impacts upon indoor quality. Indoor Formaldehyde Concentrations Mitigation. Use only composite wood materials (e.g. hardwood plywood, medium density fiberboard, particleboard) for all interior finish systems that are made with CARB approved no -added formaldehyde (NAF) resins (CARB, 2009). CARB Phase 2 certified composite wood products, or ultra -low emitting formaldehyde (ULEF) resins, do not insure indoor formaldehyde concentrations that are below the CEQA cancer risk of 10 per million. Only composite wood products manufactured with CARB approved no -added formaldehyde (NAF) resins, such as resins made from soy, polyvinyl acetate, or methylene diisocyanate can insure that the OEHHA cancer risk of 10 per million is met. 12 of 18 Alternatively, conduct the previously described Pre -Construction Building Material/Furnishing Chemical Emissions Assessment, to determine that the combination of formaldehyde emissions from building materials and furnishings do not create indoor formaldehyde concentrations that exceed the CEQA cancer and non -cancer health risks. It is important to note that we are not asking that the builder to "speculate" on what and how much composite materials be used, but rather at the design stage to select composite wood materials based on the formaldehyde emission rates that manufacturers routinely conduct using the California Department of Health "Standard Method for the Testing and Evaluation of Volatile Organic Chemical Emissions for Indoor Sources Using Environmental Chambers", (CDPH, 2017), and use the procedure described earlier (i.e. Pre -Construction Building Material/Furnishing Formaldehyde Emissions Assessment) to insure that the materials selected achieve acceptable cancer risks from material off gassing of formaldehyde. References BIFA. 2018. B I FMA Product Safety and Performance Standards and Guidelines. www.bifma.orgZpage/standardsoverview California Air Resources Board. 2009. Airborne Toxic Control Measure to Reduce Formaldehyde Emissions from Composite Wood Products. California Environmental Protection Agency, Sacramento, CA. https://www.arb.ca.gov/regact/2007/compwoodO7/fro-final.pd California Air Resources Board. 2011. Toxic Air Contaminant Identification List. California Environmental Protection Agency, Sacramento, CA. hLps://www.arb.ca.gov/toxics/id/taclist.htm 13 of 18 California Building Code. 2001. California Code of Regulations, Title 24, Part 2 Volume 1, Appendix Chapter 12, Interior Environment, Division 1, Ventilation, Section 1207: 2001 California Building Code, California Building Standards Commission. Sacramento, CA. California Building Standards Commission (2014). 2013 California Green Building Standards Code. California Code of Regulations, Title 24, Part 11. California Building Standards Commission, Sacramento, CA http://www.bsc.ca.gov/Home/CALGreen.aspx. California Energy Commission, PIER Program. CEC-500-2007-033. Final Report, ARB Contract 03-326. Available at: www.arb.ca.Lov/research/anr/east/03-326.ndf. California Energy Commission, 2015. 2016 Building Energy Efficiency Standards for Residential and Nonresidential Buildings, California Code of Regulations, Title 24, Part 6. http://www.energ_y.ca. gov/2015publications/CEC-400-2015-037/CEC-400-2015-037- CMF.pdf CDPH.2017. StandardMethodfor the Testing andEvaluation of Volatile Organic Chemical Emissions forindoor Sources Using Environmental Chambers, Version 1.1. California Department of Public Health, Richmond, CA. https://www.cdph.ca.gov/Programs/CCDPHP/ DEODC/EHLB/IAQ/Pages/VOC.aspx. Chan, W., Kim, Y., Singer, B., and Walker I. 2019. Ventilation and Indoor Air Quality in New California Homes with Gas Appliances and Mechanical Ventilation. Lawrence Berkeley National Laboratory, Energy Technologies Area, LBNL-2001200, DOI: 10.20357/B7QC7X. EPA. 2011. Exposure Factors Handbook: 2011 Edition, Chapter 16 — Activity Factors. Report EPA/600/R-09/052F, September 2011. U.S. Environmental Protection Agency, Washington, D.C. Hodgson, A. T., D. Beal, J.E.R. McIlvaine. 2002. Sources of formaldehyde, other aldehydes and terpenes in a new manufactured house. Indoor Air 12: 235-242. 14 of 18 Meridian Consultants. 2025. Addendum to the Adopted Mitigated Negative Declaration — SilverRock Resort Project, La Quinta, CA. OEHHA (Office of Environmental Health Hazard Assessment). 2015. Air Toxics Hot Spots Program Risk Assessment Guidelines; Guidance Manual for Preparation of Health Risk Assessments. OEHHA (Office of Environmental Health Hazard Assessment). 2017a. Proposition 65 Safe Harbor Levels. No Significant Risk Levels for Carcinogens and Maximum Allowable Dose Levels for Chemicals Causing Reproductive Toxicity. Available at: http://www.oehha.ca.gov/prop65/pdf/safeharborO8l5l3.pdf OEHHA - Office of Environmental Health Hazard Assessment. 2017b. All OEHHA Acute, 8-hour and Chronic Reference Exposure Levels. Available at: http://oehha.ca.gov/air/allrels.html Offermann, F. J. 2009. Ventilation and Indoor Air Quality in New Homes. California Air Resources Board and California Energy Commission, PIER Energy -Related Environmental Research Program. Collaborative Report. CEC-500-2009-085. https://www.arb.ca. gov/research/apr/past/04-310.pdf Offermann, F. J. and A. T. Hodgson. 2011. Emission Rates of Volatile Organic Compounds in New Homes. Proceedings Indoor Air 2011 (121h International Conference on Indoor Air Quality and Climate 2011), June 5-10, 2011, Austin, TX USA. South Coast Air Quality Management District (SCAQMD). 2015. California Environmental Quality Act Air Quality Handbook. South Coast Air Quality Management District, Diamond Bar, CAhLtp://www.aqmd.gov/home/rules-compliance/ceqa/air-quality-analysis- handbook 15of18 USGBC. 2014. LEED BD+C Homes v4. U.S. Green Building Council, Washington, D.C. httn://www.usabc.oriz/credits/homes/v4 16 of 18 APPENDIX A INDOOR FORMALDEHYDE CONCENTRATIONS AND THE CARB FORMALDEHYDE ATCM With respect to formaldehyde emissions from composite wood products, the CARB ATCM regulations of formaldehyde emissions from composite wood products, do not assure healthful indoor air quality. The following is the stated purpose of the CARB ATCM regulation - The purpose of this airborne toxic control measure is to "reduce formaldehyde emissions from composite wood products, and finished goods that contain composite wood products, that are sold, offered for sale, supplied, used, or manufactured for sale in California ". In other words, the CARB ATCM regulations do not "assure healthful indoor air duality", but rather "reduce formaldehyde emissions from composite wood products". Just how much protection do the CARB ATCM regulations provide building occupants from the formaldehyde emissions generated by composite wood products ? Definitely some, but certainly the regulations do not "assure healthful indoor air quality " when CARB Phase 2 products are utilized. As shown in the Chan 2019 study of new California homes, the median indoor formaldehyde concentration was of 22.4 µg/m3 (18.2 ppb), which corresponds to a cancer risk of 112 per million for occupants with continuous exposure, which is more than 11 times the CEQA cancer risk of 10 per million. Another way of looking at how much protection the CARB ATCM regulations provide building occupants from the formaldehyde emissions generated by composite wood products is to calculate the maximum number of square feet of composite wood product that can be in a residence without exceeding the CEQA cancer risk of 10 per million for occupants with continuous occupancy. For this calculation I utilized the floor area (2,272 ft), the ceiling height (8.5 ft), and the number of bedrooms (4) as defined in Appendix B (New Single -Family Residence Scenario) of the Standard Method for the Testing and Evaluation of Volatile Organic Chemical Emissions for Indoor Sources Using Environmental Chambers, Version 1.1, 2017, California 17 of 18 Department of Public Health, Richmond, CA. https://www.cdph.ca.gov/Programs/CCDPHP/ DEODC/EHLB/IAQ/PagesNOC.aspx. For the outdoor air ventilation rate I used the 2019 Title 24 code required mechanical ventilation rate (ASHRAE 62.2) of 106 cfin (180 m3/h) calculated for this model residence. For the composite wood formaldehyde emission rates I used the CARB ATCM Phase 2 rates. The calculated maximum number of square feet of composite wood product that can be in a residence, without exceeding the CEQA cancer risk of 10 per million for occupants with continuous occupancy are as follows for the different types of regulated composite wood products. Medium Density Fiberboard (MDF) — 15 ft2 (0.7% of the floor area), or Particle Board — 30 ft2 (1.3% of the floor area), or Hardwood Plywood — 54 ft2 (2.4% of the floor area), or Thin MDF — 46 ft2 (2.0 % of the floor area). For offices and hotels the calculated maximum amount of composite wood product (% of floor area) that can be used without exceeding the CEQA cancer risk of 10 per million for occupants, assuming 8 hours/day occupancy, and the California Mechanical Code minimum outdoor air ventilation rates are as follows for the different types of regulated composite wood products. Medium Density Fiberboard (MDF) 3.6 % (offices) and 4.6% (hotel rooms), or Particle Board — 7.2 % (offices) and 9.4% (hotel rooms), or Hardwood Plywood — 13 % (offices) and 17% (hotel rooms), or Thin MDF — 11 % (offices) and 14 % (hotel rooms) Clearly the CARB ATCM does not regulate the formaldehyde emissions from composite wood products such that the potentially large areas of these products, such as for flooring, baseboards, interior doors, window and door trims, and kitchen and bathroom cabinetry, could be used without causing indoor formaldehyde concentrations that result in CEQA 18 of 18 cancer risks that substantially exceed 10 per million for occupants with continuous occupancy. Even composite wood products manufactured with CARB certified ultra low emitting formaldehyde (ULEF) resins do not insure that the indoor air will have concentrations of formaldehyde the meet the OEHHA cancer risks that substantially exceed 10 per million. The permissible emission rates for ULEF composite wood products are only 11-15% lower than the CARB Phase 2 emission rates. Only use of composite wood products made with no -added formaldehyde resins (NAF), such as resins made from soy, polyvinyl acetate, or methylene diisocyanate can insure that the OEHHA cancer risk of 10 per million is met. If CARB Phase 2 compliant or ULEF composite wood products are utilized in construction, then the resulting indoor formaldehyde concentrations should be determined in the design phase using the specific amounts of each type of composite wood product, the specific formaldehyde emission rates, and the volume and outdoor air ventilation rates of the indoor spaces, and all feasible mitigation measures employed to reduce this impact (e.g. use less formaldehyde containing composite wood products and/or incorporate mechanical systems capable of higher outdoor air ventilation rates). See the procedure described earlier (i.e. Pre -Construction Building Material/Furnishing Formaldehyde Emissions Assessment) to insure that the materials selected achieve acceptable cancer risks from material off gassing of formaldehyde. Alternatively, and perhaps a simpler approach, is to use only composite wood products (e.g. hardwood plywood, medium density fiberboard, particleboard) for all interior finish systems that are made with CARB approved no -added formaldehyde (NAF) resins. 19 of 18 CITY COUNCIL MEETING - OCTOBER 7, 2025 -WRITTEN PUBLIC COMMENTS FROM TONY LOCACCIATO OF MERIDIAN CONSULTANTS CONSENT CALENDAR ITEM NO. 3 - ADOPTING ORDINANCE NO. 626 AT SECOND READING APPROVING DA 2025-0001 - REINSTATED AND AMENDED DEVELOPMENT AGREEMENT 2014-1001 FOR THE SILVERROCK RESORT PROJECTS RESPONSE TO COMMENTS REGARDING ADDENDUM NO. 3 TO MITIGATED NEGATIVE DECLARATION ADOPTED UNDER ENVIRONMENT ASSESSMENT 2002-453 FOR THE SILVERROCK RESORT PROJECT loeridian 860 Hampshire Road, Suite P Westlake Village, California 91631 C0/7SU1t(7ntS Tel.805.367.5720 October 7, 2025 City of La Quinta Design & Development Department 78495 Calle Tampico La Quinta, California 92253 Attn: Cheri Flores Planning Manager Re: 2025 SilverRock Resort Project Addendum Environmental Assessment 2025-0002 Development Agreement 2025-0001 Responses to Comments from SAFER Dear Cheri Flores, On October 6, 2025, Lozeau Drury, LLP submitted comments in support of an appeal filed by Supporters Alliance for Environmental Responsibility (SAFER) on the approval Environmental Assessment2025-0002 (Addendum No. 3to Environmental Assessment2002-453) and conditionally approving Development Agreement 2025-0001, which were approved on September 22, 2025, forthe 2025 SilverRock Resort Project Addendum (2025 Project). Meridian Consultants (Meridian) prepared the September 2025 Addendum to the 2002 MND adopted by the Cityfor the SilverRock Resort Project. Meridian also prepared the City's 2014 Addendum to the Adopted 2002 MND. I also managed the preparation of the City's 2002 MND as well as the City's 2006 Addendum to the Adopted 2002 MND. Each Addendum the City prepared compared the revised Project to the project as defined and analyzed in prior documents and includes updated information on existing conditions as well as analysis of the changes to the Project. Meridian reviewed the comments in the October 6, 2025 letter from Lozeau Drury and responses to these comments are provided below. 1. Growth Inducement Lozeau Drury comments that the 2025 Project, as disclosed in the 2025 Addendum, would add 1,690 additional residents to the City of La Quinta and that this would represent a 9.9 percent increase in population, which would impact water supply, traffic, schools and other public services, air pollution and other impacts. Responses to Comments from SAFER 2025 SilverRock Resort Project Addendum October 7, 2025 Page 2 This comment, however, ignores the planning context for the Project as discussed in the Addendum. First, the City updated the La Quinta General Plan in 2013 (2035 La Quinta General Plan). The SilverRock Resort Project was originally approved in 2002, and in 2006, the City approved the SilverRock Resort Specific Plan to guide the development of the Project. The Specific Plan was reviewed in the 2006 Addendum to the Adopted MND. The 2025 General Plan incorporated the 2006 SilverRock Specific Plan. The City's Program EIR for the 2025 General Plan provides a comprehensive assessment of the potential cumulative impacts from implementing the General Plan, including the SilverRock Specific Plan, as discussed in the 2014 Addendum to the original MND. The 2025 Project would reduce overall intensity of the uses allowed by the SilverRock Specific Plan, as detailed in Table 2-2, Comparative land Use Summary, Prior Environmental Review, and the 2025 SilverRock Master Plan, in the 20205 Addendum. As explained in the 2025 Addendum, the population estimate presented in the Addendum reflects a conservative approach that assumes all hotel and branded residential units operate as full-time residences. In contrast, the Previous Assessments treated these uses as seasonal and therefore did not attribute any growth in the City's permanent population. As described on page 3.0-8 of the Addendum, the 2025 Project would generate an estimated 1,690 residents. Given the City's 2025 population of approximately 38,796 and its projected 2050 population of 55,836—an increase of 17,040 residents over 25 years; the Project's contribution would represent only about 9.9 percent of the projected growth for the City, which reflects the City's 2025 General Plan as evaluated in the General Plan Program EIR and the 2014 and 20245 Addendums to the Adopted MND. As the 2025 Project reduces the intensity of the uses allowed by the SilverRock Specific Plan, which was incorporated into the City's General Plan, the potential increase in the City's population from the Project would not result in growth not anticipated for bythe City's 2035 General Plan and, forthis reason, preparation of a Supplemental EIR to examine the potential impacts of this potential growth in the City's population is not warranted. 2. Traffic The comments state that the 2025 Project would generate more daily vehicle trips than identified in the 2002 Mitigated Negative Declaration (MND) and the Addendum does not evaluate potential transportation impacts in terms of Vehicle Miles Traveled (VMT), as currently required by CEQA. The comment compares the 2025 SilverRock Resort Project to the project as defined and analyzed 2002 MND and ignores the updated traffic analysis provided in the 2006, 2014 and 2025 Addendums to the 2002 MND. Each of these Addendums evaluates changes to the Project as defined and analyzed in the 2002 MND. As documented in the 2025 Addendum (Table 3.6-1), the Project would generate fewer total dailyvehicle trips than the 2018 Project and does not increase roadway capacity demands or result in new significant impacts related to LOS ortraffic safety. The overall development intensity, including hotel keys, residential units, and commercial space, has been substantially Responses to Comments from SAFER 2025 SilverRock Resort Project Addendum October 7, 2025 Page 3 reduced from prior approvals. For this reason, the Project would not result in new or more severe traffic impacts beyond those previously analyzed. All prior mitigation measures and conditions of approval remain applicable. Therefore, pursuant to CEQA Guidelines §15162 and §15164, preparation of an Addendum is appropriate. Because the MND forthe Project was adopted prior to July 1, 2020, it analyzed transportation impacts using LOS, which was the required CEQA metric at the time. The change in CEQA Guidelines Section 15064.3 designating VMT as the primary significance threshold does not apply retroactively to previously adopted CEQA documents based on the Court of Appeal decision in Olen Properties Corp. v. City of Newport Beach (2023) 93 Cal.App.5th 270. In addition, as discussed above, the 2025 Project reduces the intensity of land uses and vehicle trips from the project at previously approved. Accordingly, VMT would also be reduced in comparison to the Project as previously approved. For these reasons, preparation of a VMT analysis is not required. 3. Biological Impacts The comments provided include photographs of wildlife within four miles of the Project Site is support of comments that development of the 2025 Project would impact the wildlife in the area. The photographs and brief reconnaissance -level site visit described in the comments do not constitute substantial evidence under CEQA to refute the Addendum's conclusions. Under CEQA Guidelines §15384, substantial evidence must consist of facts or expert opinion supported by facts, not unverified observations, or speculation. While the photographs include certain wildlife species identified as special -status species, the mere observation of individual animals within or adjacent to a previously developed and landscaped site does not indicate a new or more severe biological impact. The Project Site consists of areas previously graded for golf and resort uses, partially developed with the City's existing golf course and partially constructed buildings, and is designated as "Developed/Disturbed" and "Golf Course" land by the Coachella Valley Multiple Species Habitat Conservation Plan (CVMSHCP). The Project remains fully consistent with the CVMSHCP and continues to implement all applicable avoidance, minimization, and mitigation measures, including payment of conservation fees that provide regional habitat compensation for covered species. No new natural habitat would be disturbed, and no evidence indicates that the Project would result in take, habitat loss, or population -level effects on any special -status species. Courts have consistently held that short-term observations or photographs, without supporting survey data, do not constitute substantial evidence of a significant impact (Anderson First Coalition v. City of Anderson (2005) 130 Cal.App.4th 1173; Bowman v. City of Berkeley (2004) 122 Cal.App.4th 572). Responses to Comments from SAFER 2025 SilverRock Resort Project Addendum October 7, 2025 Page 4 Based on the analysis and conclusions presented in the 2025 Addendum to the MND, the potential impacts of the 2025 Project on special -status species have been accurately and adequately addressed, and the 2025 Project will not result in any new or substantially more severe significant environmental effects than those previously analyzed. Accordingly, preparation of a Supplemental EIR is not required. 4. Air Quality The comments state that due to the increase in population and traffic, the 2025 Project would exceed the Project's volatile organic compound (VOC) threshold of 55 pounds per day (ppd). As discussed in the Growth Inducement and Traffic sections above, the 2025 Projectwould reduce overall land use intensity compared to the Previous Assessments, would induce only planned population growth consistent with the City's General Plan, and would generate fewer vehicle trips than the 2018 Master Plan. The comments further assert that the 2025 Addendum substantially underestimates Project VOC emissions based on land use intensity, concluding that total VOC emissions would be 65.4 ppd, which is above the CEQA significance threshold of 55 ppd. One comment claims the landscaped golf course area (361 acres or approximately 15.7 million square feet) was set to zero in the CalEEMod air emissions modeling completed for the Addendum, resulting in no estimated VOC emissions from fertilizer and pesticide application. The 361 acres include the existing 161-acre Arnold Palmer Golf Course and a second proposed approximately 200-acre 18-hole golf course. The existing 161-acre portion was intentionally set to zero in CalEEMod because it is a fully developed and operational facility that has been analyzed in previous CEQA documents. The 2025 Addendum appropriately evaluates only new development and improvements; not routine maintenance activities associated with the existing golf course. Regular landscaping and turf management practices are part of the environmental baseline and do not constitute new sources of emissions attributable to the current Project. Including those emissions again would have resulted in double -counting impacts already evaluated and occurring under existing conditions. It should also be noted that none of the Previous Assessments identified exceedances of South Coast Air Quality Management District (SCAQMD) daily thresholds for construction or operation. In the Tables 3.5-1 and 3.5-2 of the 2014 Addendum, the applicable SCAQMD VOC thresholds were 75 ppd, with maximum daily emissions of 72.4 ppd during construction and 65.6 ppd during operation — both belowthe threshold. Even when applying Mr. Sutton's overestimated figure of 65.4 ppd, the 2025 Project would not substantially emit levels significantly above the Previous Assessment. Therefore, no further analysis is warranted. Responses to Comments from SAFER 2025 SilverRock Resort Project Addendum October 7, 2025 Page 5 5. Valley Fever The comments state that the Addendum does not analyze potential Valley Fever impacts. These comments contain only generalized statements regarding Valley Fever risks and reported increases in cases across Riverside County in 2024 but provide no site -specific data demonstrating the presence of Coccidioides fungus on the Project site or any aspect of the 2025 Project that would exacerbate such risks in the City of La Quinta. The Project Site has already been mass graded and that completion of construction under the 2025 Project would reduce dust, blow sand, and soil erosion relative to current conditions. Additionally, Valley Fever is not a required environmental topic under the CEQA Guidelines Appendix G Environmental Checklist. CEQA requires analysis of environmental effects caused bya project, not naturally occurring diseases that may exist in a region. Potential exposure to Coccidioides spores is a regional public health issue, not an environmental impact attributable to project -specific emissions or land use. As such, Meridian finds that the 2025 Addendum appropriately addresses dust -related emissions through compliance with SCAQMD Rule 403 (Fugitive Dust) and existing air quality mitigation measures (MM AQ-1 through AQ-4), and that no new or more severe impacts related to Valley Fever would occur under CEQA. 6. Formaldehyde Comments state that development of the proposed new residential and commercial buildings would result in significant formaldehyde exposure. With respect to the claim of indoor air quality risks associated with formaldehyde, the comments do not provide substantial evidence of any new or substantially more severe environmental effects than those analyzed in the previously adopted MND. The comments contain only generalized statements about potential cancer risks from building materials but provide no site -specific information regarding the 2025 Project or the materials that would be used for project development. Moreover, the submission fails to acknowledge that the 2025 Project would substantially reduce the total amount of building square footage developed and occupied on the Project Site compared to the prior analysis, thereby further reducing any potential for indoor air quality emissions. The concern regarding formaldehyde exposure is also unfounded. The 2025 Addendum's air quality analysis and health risk assessment appropriately address emissions of volatile organic compounds (VOCs), including formaldehyde, within the modeling and mitigation framework established by the South Coast Air Quality Management District (SCAQMD). Construction and operational emissions were modeled using CalEEMod v2022.1, which accounts for VOC emissions from architectural Responses to Comments from SAFER 2025 SilverRock Resort Project Addendum October 7, 2025 Page 6 coatings, consumer products, and combustion sources consistent with SCAQMD Rules 1113 and 1144. These rules impose strict VOC limits on building materials and coatings, effectively minimizing potential formaldehyde emissions. As shown in Tables 3.5-2 and 3.5-3 of the Addendum, the Project's total VOC emissions are well below the SCAQMD significance threshold of 55 pounds per day, confirming that formaldehyde exposure would remain less than significant. Additionally, Title 24 Building Energy Efficiency Standards and the CalGreen Code regulate indoor air quality and limit off- gassingfrom composite wood and finish materials. Based on this substantial evidence, the City finds that the Proposed Project Modifications would not result in any new or more severe impacts related to formaldehyde exposure under CEQA Guidelines §15162. Conclusion As the responses above demonstrate, the Addendum adequately assesses the potential for significant impacts from 2025 SilverRock Resort Project, which is consistent with the prior assessments and no further environmental review is required for this project under the standards in CEQA and the CEQA Guidelines. Sincerely, Meridian Consultants Tony Locacciato, AICP Partner CITY COUNCIL MEETING - OCTOBER 7, 2025 -WRITTEN PUBLIC COMMENTS FROM JAMES VAUGHN OF PROCOPIO CONSENT CALENDAR ITEM NO. 3 - ADOPTING ORDINANCE NO. 626 AT SECOND READING APPROVING DA 2025-0001 - REINSTATED AND AMENDED DEVELOPMENT AGREEMENT 2014-1001 FOR THE SILVERROCK RESORT PROJECTS RESPONSE TO COMMENTS REGARDING ADDENDUM NO. 3 TO MITIGATED NEGATIVE DECLARATION ADOPTED UNDER ENVIRONMENT ASSESSMENT 2002-453 FOR THE SILVERROCK RESORT PROJECT PROCOPIO 200 Spectrum Center Drive Suite 1650 'g Procopio Irvine, C 92618 T. 949.383.29983.2997 F. 619.235.0398 JAMES VAUGHN Partner P. 949.247.7312 James.Vaughn@procopio.com DEL MAR HEIGHTS LAS VEGAS ORANGE COUNTY SCOTTSDALE October 7, 2025 SAN DIEGO SILICON VALLEY VIA E-MAIL (CITYCLERKMAIL@LAQUINTACA.GOV) WASHINGTON, D.C. Linda Evans, Mayor City Councilmembers City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 Re: Response to Untimely Comment on Addendum to Mitigated Negative Declaration and Environmental Assessment 2002-452 Submitted on October 6, 2025 on Behalf of Supporters Alliance for Environmental Responsibility ("SAFER") Dear Mayor Evans and Honorable Councilmembers: This letter responds to the letter submitted by the Lozeau Drury law firm on behalf of SAFER on October 6, 2025, as well as the exhibits thereto, which constitute an untimely objection under the California Environmental Quality Act ("CEQA") to the City's prior adoption of resolutions approving Environmental Assessment 2025-0002 (Addendum No. 3 to Environmental Assessment 2002-453) and conditionally approving Development Agreement 2025-0001(Reinstated and Amended Development Agreement 2014-1001), which were approved on September 22, 2025 after the City Council closed the public hearing on those project approvals. For purposes of complying with CEQA, project approval "occurs upon the earliest commitment" by the public agency to issue an entitlement, "not when the final or last discretionary approval is made." CEQA Guidelines §15352(b); and North Coast Rivers Alliance v. Westlands Water Dist. (2014) 227 Cal.App.4th 832, 859. Here, the final approving body for the City, the Citsy Council, voted unanimously to (1) adopt a resolution approving Environmental Assessment 2025-0002 (Addendum No. 3 to Environmental Assessment 2002-453) (hereinafter, the "2025 Addendum"), (2) adopt a resolution conditionally approving the Economic Subsidy report, Transient Occupancy Tax Revenue Sharing Agreement, and Option to Purchase Real Property Agreement for the Phase 2 Option Property, and (3) introduce Ordinance No. 626 conditionally approving Development Agreement 2025-0001(Reinstated and Amended Development Agreement 2014-1001) 135281-00000001/9991802.1 procopio.com �Procopio (collectively, the "2025 Project Approvals"). These unanimous approvals occurred following a properly noticed public hearing before the Planning Commission on September 9, 2025, and a properly noticed public hearing before the City Council on September 22, 2025. On September 24, 2025, the City filed a Notice of Determination confirming that it made the 2025 Project Approvals on September 22, 2025, that a Negative Declaration was previously prepared for the project, and that an Addendum to the previous Mitigated Negative Declaration was prepared for the project. This approval process fully complied with CEQA's mandate that the City's environmental review and determinations must be made before "the agency has committed itself to the project as a whole or to any particular features." Save Tara v. City of West Hollywood (2008) 45 Cal.4th 116, 134. Therefore, the October 6, 2025 letter submitted on behalf of SAFER, and the exhibits thereto (collectively, the "SAFER Letter"), were not timely submitted before the City Council closed the public hearing and took final action to adopt the 2025 Project Approvals on September 22, 2025, and accordingly, cannot properly be considered by the City Council in connection with now adopting Ordinance NO. 626 on second reading. See, also, Guerrero v. City of Los Angeles (2024) 98 Cal.App.5th 1087. Even assuming arguendo that the City Council could properly consider the SAFER Letter, it contains no substantial evidence showing that the 2025 Project Approvals may produce a significant environmental effect that had not previously been studied in the 2002 Mitigated Negative Declaration or the two prior Addenda thereto prepared in connection with prior SilverRock project approvals (collectively, the "MND"). Therefore, SAFER's request for preparation of a supplemental or subsequent EIR must be rejected under Public Resources Code § 21166 and CEQA Guidelines § 15162. As explained in further detail below, the SAFER Letter asserts CEQA objections to the 2025 Project Approvals concerning population growth, traffic, biological resources, air quality, Valley Fever, and formaldehyde, but it bases these objections on incorrect data concerning the project, false assumptions regarding the effects of the 2025 Project Approvals, and factually unsupported speculation concerning the project and the surrounding circumstances. Nothing in the SAFER letter undermines the findings made by the City, and supported by the evidence and analysis contained in the 2025 Addendum, that the 2025 Project Approvals will not cause any new or substantially more severe adverse environmental effects than previously analyzed and disclosed in the MND. Therefore, no major revisions to the MND are required to make that document adequate to address the environmental effects of the 2025 Project Approvals. The law is clear that under these circumstances, no subsequent or supplemental EIR is required or appropriate under Public Resources Code §21166 and CEQA Guidelines § 15162. 1. Growth Inducing Effects. The SAFER letter incorrectly asserts that 2025 Project Approvals will increase the City's population by 9.9%, and that based on that population increase, the project will have significant impacts "on water supply, traffic, schools and other public services." (see SAFER Letter, at p. 5). In actuality, the 2025 Project Approvals contribute approximately 9.9% of the future popuiationgrowth in the City that is already planned under the City's adopted 2035 General Plan. As explained in the 2025 CEQA Addendum (pp. 3.0-7 - 3.0-8), the City's 2035 General Plan already accounted for the growth resulting from the Project. Moreover, the 2025 Project Approvals substantiaiiyreduce the Project's contribution to planned growth in the City because the 2025 Project Approvals reduce the 135281-00000001/9991802.1 2 procopIO.com �Procopio total number of hotel rooms and residential units to 599, as compared to the 1,084 allowed under the existing project approvals (see 2025 CEQA Addendum at pp. 2.0-7 - 2.0-8, and pp. 3.0-7 - 3.0- 8). As modified by the 2025 Project Approvals, the Project would reduce the projected population generated by the project by approximately 45%. This fundamental misunderstanding of the 2025 Project Approvals undermines all of the alleged significant environmental effects asserted in the SAFER Letter and plainly supports the 2025 Addendum conclusion that the 2025 Project Approvals will not result in any new or substantially more severe environmental effects that analyzed in the previously adopted MND. 2. Traffic Effects. The Safer Letter, including the letter from Tom Brohard and Associates attached as Exhibit A thereto, claims that the 2025 Project Approvals will have significant traffic impacts due to the population increase resulting from the project (see p. 5 and Exhibit A). As explained in the preceding paragraph, these assertions are wrong because they are based on an incorrect assumption that the 2025 Project Approvals will increase the City's population by 9.9%. The traffic impact claims are also based on the incorrect assumption that the 2025 Project Approvals result in a 20% higher trip generation rate than the project originally approved in 2002. As explained in the 2025 Addendum on p. 3.0-30, the proposed project modifications in the 2025 Project Approvals actually reduce the Project trip generation by approximately 27% (from 10,389 net daily trips to 7,571 net daily trips). Based on this miscalculation, the SAFER Letter claims regarding traffic impacts must be rejected. As correctly stated in the 2025 Addendum, the project modifications in the 2025 Project Approvals will not cause any new or substantially more severe environmental effects than previously analyzed for the Project with respect to traffic. The SAFER Letter also incorrectly asserts that the City should have conducted a VMT analysis to evaluate the transportation effects of the 2025 Project Approvals. The law is now established that VMT analysis is not required under these circumstances, where modifications are proposed to a project that was previously approved before the change in the CEQA Guidelines establishing VMT as the appropriate way to evaluate transportation impacts for new projects. See Olen Properties Corp. v. City of Newport Beach (2023) 93 Cal.App.5th 270. As confirmed by the Court in Olen Properties, "it is settled law in California that subsequent changes to the Guidelines are not `new information' triggering Section 21166, subdivision (c) [requiring a subsequent or supplemental EIR], so long as the underlying environmental issue was understood at the time" of the initial project approval. Id. at p. 280-281. In the Olen Properties decision, the Court of Appeal rejected the very VMT argument asserted here by SAFER and Mr. Brohard. Finally, the SAFER Letter asserts that background traffic increases since 2002, including from other golf course communities constructed in the Project vicinity, constitutes a significant change in circumstances that would require major revisions to the previously approved MND. To the contrary, such prior development and growth in traffic is fully consistent with the growth assumptions addressed in the City's General Plan and in the previously adopted MND. Accordingly, the SAFER Letter fails to show that the 2025 Project Approvals may cause a significant environmental effect that was not previously studied in the previously approved MND, and fails to include any accurate evidence regarding any potentially significant increase in the previously analyzed effects of the Project. 135281-00000001/9991802.1 3 procoplo.com �Procopio 3. Biological Resources. The SAFER Letter, including the letter from Shawn Smallwood attached as Exhibit B, asserts that the 2025 Project Approvals will have impacts to special status species that were not adequately addressed in the 2002 MND. However, these objections constitute an improper attack on the analysis and conclusions in the 2002 MND and supporting biological resources surveys, rather than providing any substantial evidence that the 2025 Project Approvals will cause any new or substantially more severe significant adverse effects than were analyzed in the previously adopted MND (see, for example, the repeated claim that the analysis in the 2002 MND and its consideration of mitigation measures is incomplete and inadequate, at Exhibit B, pp, 2, and 20 - 37). This is precisely the type of after -the -fact attacks on prior environmental review that is prohibited under Public Resources Code §21166 and CEQA Guidelines § 15162 and related caselaw. As explained in a leading legal treatise on the issue, "CEQA's subsequent review rules logically relate to and effectively implement its presumptions of finality and validity that attach to both certified EIRs and adopted negative declarations... This presumption acts to preclude the reopening of the CEQA process even if the initial EIR is discovered to have been fundamentally inaccurate and misleading in the descriptions of a significant effect or the severity of its consequences." Miller & Starr California Real Estate 4th, §26:20. While the SAFER Letter fails to show any such inadequacies in the previously adopted MND, its biological resources arguments clearly run afoul of the CEQA rules governing review of proposed project modifications where an MND has already been adopted in connection with the previous project approvals. Moreover, the SAFER Letter fails to provide any substantial evidence that the 2025 Project Approvals will result in any substantial adverse effect, either directly or indirectly through habitat modifications, on any species identified as a candidate, sensitive or special status species. Instead, the SAFER Letter identifies a number of species identified by Ms. Smallwood as potentially occurring on or within approximately 4 miles of the Project site, but it fails to provide any evidence of new or substantially more severe impacts to special status species that would result from the 2025 Project Approvals. The mere occurrence, or potential occurrence, of various wildlife species on or in the general vicinity of the project does not establish that the 2025 Project Approvals will cause any significant adverse effects to those species (many of which do not even qualify as sensitive under CEQA). The analysis and conclusions of the 2025 Addendum to the MND accurately and adequately address the potential impacts of the 2025 Project Approvals on special status species, and nothing in the SAFER Letter provides any substantial evidence that the 2025 Project Approvals will cause any new or substantially more severe significant environmental effects than analyzed in the previously adopted MND. 4. Air Quality Effects. The SAFER Letter, including the letter from Mr. Sutton attached as Exhibit C, falsely asserts that the 2025 Project Approvals will have significant air quality impacts based on VOC operational emissions that exceed SCAQMD standards. The SAFER Letter is based on inaccurate assumptions regarding the 2025 Project Approvals, including the inaccurate assumption that the proposed project modifications increase trip generation rates as compared to the previously approved Project. As 135281-00000001/9991802.1 4 procopio.com �Procopio explained above, this assumption is false, as the 2025 Project Approvals will actually reduce the Project's trip generation by approximately 27%. Furthermore, the SAFER Letter attacks on the assumptions used in the CalEEMod analysis included in the 2025 Addendum are based on speculation and inaccurate assumptions regarding the Project, rather than any facts or substantial evidence. The 2025 Addendum properly analyzed operational VOC emissions under CalEEmod, and concluded that operational VOC emissions would be below the applicable SCAQMD standard. This analysis determined that operational VOC emissions would be 52.2 lbs. per day, which is below the SCAQMD standard of 55 lbs. per day (see 2025 Addendum at pp. 3.0-24 - 3.0-25). Moreover, the operational VOC emissions will be substantially reduced from the previously approved project, which were calculated as 65.6 lbs. per day in the 2014 Addendum to the MND. In other words, the 2025 Project Approvals will have operational VOC emissions that are below SCAQMD standards, and which are approximately 20% be%wthe emissions that would be caused by the previously approved Project. Accordingly, the 2025 Project Approvals will not cause any new or substantially more severe significant air quality impacts than analyzed in the previously adopted MND. 5. Valley Fever. The SAFER Letter, including the Sutton letter attached as Exhibit C, fails to provide any substantial evidence of potential adverse health impacts resulting from the 2025 Project Approvals relating to Valley Fever. Specifically, the SAFER Letter includes generalized statements regarding Valley Fever risks and an increase in reported cases in 2024 in Riverside County generally, but it contains no facts or evidence whatsoever concerning the presence of the Coccidioides fungus on the Project site. Furthermore, the SAFER Letter fails to even allege that any aspect of the 2025 Project Approvals would exacerbate any possible risk of Valley Fever in the City of La Quinta. Finally, the SAFER Letter fails to consider that the Project site has already been mass graded and that the completion of Project construction under the 2025 Project Approvals will reduce the dust, blow sand, and soil erosion risks associated with the partially constructed Project site in its current condition. 6. Formaldehyde. The SAFER Letter, including the memo from Francis Offerman attached as Exhibit D, asserts that the project will cause indoor air quality risks associated with formaldehyde, but it fails to provide any substantial evidence regarding how that generalized risk applies to the 2025 Project Approvals. The SAFER Letter also fails to provide any substantial evidence of any new or substantially more severe significant environmental effects than would occur under the previously approved project. Rather, the SAFER Letter contains generalized statements about building materials and cancer risks but contains no information whatsoever regarding the Project site or the construction materials that will be used for Project under the 2025 Project Approvals. The SAFER Letter also ignores that the 2025 Project Approvals reduce the total number of hotel and residential units by approximately 45%. Based on the foregoing, and the substantial evidence contained in the MND, the 2025 Addendum, and the Staff Reports, the City properly approved the 2025 Addendum and concluded that the 2025 Project Approvals will not have any new or substantially more severe significant environmental effects than analyzed for the previously approved SilverRock project. Even if the SAFER Letter could be properly considered by the City, despite its untimely submission, it plainly fails to show that the project modifications approved by 2025 Project Approvals, or any new information or change in circumstances, may cause a significant environmental effect that had not been studied 135281-00000001/9991802.1 5 procopio.com �Procopio in the previously adopted MND. Therefore, the SAFER request for preparation of a subsequent or supplemental EIR must be rejected. I plan to be present at your City Council meeting later today and will be available to answer any questions you may have about the materials covered in this letter. Very truly yours, James Vaughn Partner, of Procopio, Cory, Hargreaves & Savitch LLP cc: Bill Ihrke, City Attorney (bihrke@rutan.com) Cheri Flores, Interim Design and Development Director (planning@laquintaCA.gov) Michael Gazzano (mg@turnbridgeeq.com) 135281-00000001/9991802.1 6 procopio.com POWER POINTS CITY COUNCIL MEETING OCTOBER 7,2025 City Council Meeting October 7, 2025 City Council Meeting October 7, 2025 PUBLIC COMMENT - MATTERS NOT ON THE AGENDA CARW r- City Council Meeting October 7, 2025 CLOSED SESSION IN PROGRESS ;A t Iry CAI 1H)RNIA City Council Meeting October 7, 2025 PUBLIC COMMENT - MATTERS NOT ON THE AGENDA 8k City Council Meeting October 7, 2025 P1 - SilverRock Development Project Status Update City Council Meeting October 7, 2025 P2 - Certificate of Recognition Honoring Community Service Award Recipient Tom Belanich City Council Meeting October 7, 2025 P3 — Project of Merit Award from the American Public Works Association of Southern California - Dune Palms Bridge Project t t LL City Council Meeting October 7, 2025 P4 — Proclamation in Recognition of Code Enforcement Officers'Appreciation Week I AL L LF" _- oo . City Council Meeting October 7, 2025 P5 - Proclamation in Recognition of National Fire Prevention Week -, . k - CALIFORNIA . '�-z-.+y, }ram ��j•�_ �� 4� City Council Meeting October 7, 2025 B1 —Approve 1st Round Community Services Grants 2025-26 '1! 1 >k;ii r Community Services Grants • Grants are awarded to non-profit organizations that serve La Quinta residents and the Coachella Valley • Budget is $100,000 per fiscal year - Deadline for 1 St round was September 5t" • 19 applications were submitted • Ad -Hoc recommends funding12 organizations for 41 500 • $58,500 would remain for next two rounds of grants Applicant Requested Committee Recommendation American Heart Association $5,000 $500* Autism Society Inland Empire $5,000 $5,000 Coachella Valley Housing Coalition $5,000 $3,000 Colonel Mitchell Paige PTO $5,000 $500* Desert Access Mobility $5,000 $0 Do the Right Thing $5,000 $5,000 First Tee Coachella Valley $5,000 $5,000 Friends of the Palm Springs Animal Shelter $5,000 $0 Hidden Harvest $5,000 $5,000 LQ Dance Team Boosters $4,000 $4,000 *Starter Grant Applicant Requested Committee Recommendation Microenterprise Collaborative Southern California $500 $0 OMG Youth Sports and Enrichment $5,000 $0 PS Test Inc. $5,000 $0 Read with Me $5,000 $2,500 Riverside County Works $5,000 $0 Rotary Club of La Quinta $5,000 $5,000 Seiden — Juku $5,000 $3,000 Society's Outkasts Animal Rescue $5,000 $0 Variety Children's Charity of the Desert $5,000 $3,000 Grand Total $85,000 $41,500 *Starter Grant f r(V CAI 1H)RNIA https://www. rotary.org/en/our-programs/rotary-youth-leadership-awards t Iry CAI 1H)RNIA -zq City Council Meeting October 7, 2025 B2 -Approve Veteran Nominations for Inclusion on Veterans Acknowledgment Monuments PIP , CA mow Veteran Recognition Ceremony Date: Tuesday, November 11, 2025 Location: City Hall Courtyard Time: 9:00 AM • Honor nominees • Acknowledge past nominees • Fly over, Musical performances, Remarks • Engrave name, rank, and dates of service on the Veterans Acknowledgment Monuments . r J •♦ Requirements • Current or former La Quinta Resident • Honorable discharge from service • Proof of military service (DD214) October 7, 2025 23 Stiles F. William U.S. Air Force SGT 1948-1952 Burt J. Kenneth U.S. Army SSG 2003-2015 Camarella C. Kenneth U.S. Army SGT 1964-1967 Kohal W. Dane U.S. Army SGT 1965-1968 McQuade W. David U.S. Army SP4 1971-1972 Millar, III A. Robert U.S. Army CPT 1994-1998 Schnell R. James U.S. Army SGT 1942-1945 Tibbetts A. Leroy U.S. Army LTC 1972-1975 McSweeney, III F. John U.S. Marine Corps SGT 1967-1968 Morales R. Martin U.S. Marine Corps MSGT 1982-2004 Rojo A. Santos U.S. Marine Corps LCPL 2004-2010 24 12 October 7, 2025 25 26 13 City Council Meeting October 7, 2025 133 - Appropriate Funds & Approve Coachella Valley Power Agency Joint Powers Membership Dues . �.0 Pr- ► Background/Analysis • On March 18, 2025, Council members approved the Coachella Valley Power Agency Joint Powers Authority (CVPA JPA) Agreement. • On April 1, 2025, Council members adopted a Resolution authorizing membership in the CVPA JPA. Background/Analysis • The membership currently includes the Cities of La Quinta and Indio, and the County of Riverside. • At the CVPA JPA's June 12, 2025, meeting a $1 million budget was proposed for FY 20225/26. • CVPA JPA members proposed a revised budget of $500,000 which they approved on July 28, 2025. 10/8/2025 Background/Analysis • In adopting the budget, members also agreed to share the cost equally. • Staff is recommending that Council appropriate $166,666 from the Unassigned General Fund balance for the Membership Dues Account No. 101-1002-60351, and approve the dues for FY 2025/26. QUESTIONS &DISCUSSION • ce CALIF ORNIA