2026 01 20 HA Quarterly MeetingHOUSING AUTHORITY AGENDA Page 1 of 4 JANUARY 20, 2026
REGULAR QUARTERLY MEETING
HOUSING AUTHORITY
AGENDA
CITY HALL COUNCIL CHAMBER
78495 Calle Tampico La Quinta
REGULAR QUARTERLY MEETING
TUESDAY, JANUARY 20, 2026, AT 4:00 P.M.
Members of the public may listen to this meeting by tuning-in live via
www.laquintaca.gov/livemeetings; past meetings are available through the video archive
via www.laquintaca.gov/pastmeetings Closed captions in English and Spanish are
available to all users through this video streaming service.
CALL TO ORDER
ROLL CALL: Authority Members: Evans, Fitzpatrick, Peña, Sanchez, and Chairperson
McGarrey
VERBAL ANNOUNCEMENT – AB 23 [AUTHORITY SECRETARY]
PLEDGE OF ALLEGIANCE
PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA
At this time, members of the public may address the Housing Authority on any matter not
listed on the agenda pursuant to the “Public Comments – Instructions” listed at the end of
the agenda. The Housing Authority 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
CONSENT CALENDAR
NOTE: Consent Calendar items are routine in nature and can be approved by one motion.
PAGE
1. APPROVE HOUSING AUTHORITY SPECIAL MEETING MINUTES DATED
DECEMBER 2, 2025
5
Housing Authority agendas and staff
reports are available on the City’s
web site: www.laquintaca.gov
HOUSING AUTHORITY AGENDA Page 2 of 4 JANUARY 20, 2026
REGULAR QUARTERLY MEETING
2.AWARD CONTRACT TO LNL PROPERTY SERVICES FOR THE DUNE PALMS
MOBILE ESTATE POOL ABANDONMENT PROJECT NO. 2025 -09
7
BUSINESS SESSION
PAGE
1. APPOINT HOUSING AUTHORITY CHAIRPERSON AND VICE-CHAIRPERSON
FOR CALENDAR YEAR 2026
11
2. RECEIVE AND FILE FISCAL YEAR 2024/25 HOUSING AUTHORITY YEAR-END
BUDGET REPORT
13
STUDY SESSION – NONE
DEPARTMENTAL REPORTS
PAGE
1. WATERCOLORS SENIOR AFFORDABLE HOUSING DEVELOPMENT:
PROGRAM STRUCTURE AND OPERATIONS OVERVIEW
23
HOUSING AUTHORITY MEMBERS’ ITEMS
ADJOURNMENT
***************************************
The next regular quarterly meeting of the Housing Authority will be held on April 21, 2026,
at 4:00 p.m. in the City Council Chamber, 78495 Calle Tampico, La Quinta, CA 92253.
DECLARATION OF POSTING
I, Monika Radeva, Authority Secretary of the La Quinta Housing Authority, do hereby
declare that the foregoing Agenda for the La Quinta Housing Authority was published on
the City’s website in the “Calendar / Public Meetings” direct link from the City’s home page,
and posted at the following freely accessible bulletin board to members of the public,
located near the entrance to the Council Chamber at 78495 Calle Tampico on January 16,
2026.
DATED: January 16, 2026
MONIKA RADEVA, Authority Secretary
La Quinta Housing Authority
HOUSING AUTHORITY AGENDA Page 3 of 4 JANUARY 20, 2026
REGULAR QUARTERLY MEETING
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/publicmeetings in accordance with the Brown Act [Government
Code §§ 54954.2, 54956, 54957.5]
The La Quinta City Council Chamber is wheelchair accessible. If hearing assistance equipment
is needed, please call the City Clerk’s office at (760) 777-7147, 24-hours in advance of the
meeting and accommodation will be made.
If background material is to be presented to the Housing Authority during a Housing Authority
meeting, please be advised that 15 copies of all documents, exhibits, etc., must be supplied to
the Authority Secretary for distribution. It is requested that this takes place prior to the beginning
of the meeting.
PUBLIC COMMENTS - INSTRUCTIONS
Members of the public may address the Housing Authority 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 Authority Secretary, it is requested that this takes place prior to the beginning of
the meeting; or can be emailed in advance to CityClerkMail@LaQuintaCA.gov, no later than 12:00
p.m., on the day of the meeting. Written public comments will be distributed to the Housing
Authority, 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 Chairperson, 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 Authority Secretary; 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 Chairperson.
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 Authority Secretary 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.
Members of the public who utilize a translator shall be provided at least twice of the allotted time to
ensure non-English speakers receive the same opportunity to directly address the Council.
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 Chairperson.
Public speakers may elect to use printed presentation materials to aid their comments; 15 copies
of such printed materials shall be provided to the Authority Secretary to be disseminated to the
HOUSING AUTHORITY AGENDA Page 4 of 4 JANUARY 20, 2026
REGULAR QUARTERLY MEETING
Housing Authority, 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 Chairperson.
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.].
TELECONFERENCE ACCESSIBILITY – INSTRUCTIONS
Teleconference accessibility may be triggered in accordance with the Brown Act “during a
proclaimed state of emergency or local emergency,” as defined [Government Code (GC)
§ 54953.8.2]; or if a member of the Housing Authority requests to attend and participate in this
meeting remotely pursuant to any of the following: (1) “disability” [Government Code (GC)
§54953(c)], or (2) “just cause” [GC § 54953.8.3], as defined. 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
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 Chair; the City will facilitate the ability for a member of
the public to be audible to the Housing Authority 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 Chairperson, in order to become audible to the
Housing Authority and the public.
Only one person at a time may speak by teleconference and only after being recognized by the Chair.
Written public comments – can be provided in person during the meeting or emailed to the City
Clerk’s Office at CityClerkMail@LaQuintaCA.gov any time prior to the adjournment of the meeting,
and will be distributed to the Housing Authority, made public, incorporated into the public record of
the meeting, and will not be read during the meeting unless, upon the request of the Chairperson,
a brief summary of any public comment is asked to be read, to the extent the City Clerk’s Office can
accommodate such request.
Closed Caption and Translation – are accessible through the Zoom Webinar audiovisual platform
and accessible in real-time to all teleconference participants.
ZOOM LINK: https://us06web.zoom.us/s/88215960899
Meeting ID: 882 1596 0899
Or join by phone: (253) 215 – 8782
HOUSING AUTHORITY MINUTES Page 1 of 2 DECEMBER 2, 2025
SPECIAL MEETING
HOUSING AUTHORITY
SPECIAL MEETING
MINUTES
TUESDAY, DECEMBER 2, 2025
CALL TO ORDER
A special meeting of the La Quinta Housing Authority was called to order at 5:21 p.m. by
Chair McGarrey.
PRESENT: Authority Members: Evans, Fitzpatrick, Peña, Sanchez, and Chair McGarrey
ABSENT: None
VERBAL ANNOUNCEMENT – AB 23 was made by the Authority Secretary
PLEDGE OF ALLEGIANCE
Conducted out of agenda order, during open session of the November 18, 2025, City
Council regular meeting, led by Chair / Mayor Pro Tem McGarrey.
CONFIRMATION OF AGENDA – Confirmed
PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA – None
CONSENT CALENDAR
1. APPROVE HOUSING AUTHORITY SPECIAL MEETING MINUTES DATED
NOVEMBER 18, 2025
2. APPROVE PLANS, SPECIFICATIONS, ENGINEER’S ESTIMATE, AND
ADVERTISE FOR BID THE DUNE PALMS MOBILE ESTATES POOL
ABANDONMENT PROJECT NO. 2025-09
MOTION – A motion was made and seconded by Authority Members Sanchez/Peña to
approve the Consent Calendar as presented. Motion passed unanimously.
BUSINESS SESSION – None
STUDY SESSION – None
HOUSING AUTHORITY MEMBERS' ITEMS
The Authority discussed the passing of long-time Coachella Valley developer Michael
Shovlin, who was instrumental in the La Quinta business community; commended Mr.
Shovlin for developing the One-Eleven shopping center, support with certain affordable
CONSENT CALENDAR ITEM NO. 1
5
HOUSING AUTHORITY MINUTES Page 2 of 2 DECEMBER 2, 2025
SPECIAL MEETING
housing projects, and advocacy in the business community; noted the City Council had
recognized Mr. Shovlin’s contributions some years ago; and expressed their gratitude.
ADJOURNMENT
There being no further business, it was moved and seconded by Authority Member
Sanchez/Fitzpatrick to adjourn at 5:24 p.m. in memory of Mr. Shovlin. Motion passed
unanimously.
Respectfully submitted,
MONIKA RADEVA, Authority Secretary
La Quinta Housing Authority
6
CONSENT CALENDAR ITEM NO. 2
City of La Quinta
HOUSING AUTHORITY QUARTERLY MEETING: January 20, 2026
STAFF REPORT
AGENDA TITLE: AWARD CONTRACT TO LNL PROPERTY SERVICES FOR THE
DUNE PALMS MOBILE ESTATE POOL ABANDONMENT PROJECT NO. 2025-09
RECOMMENDATION
Award contract to LNL Property Services for the Dune Palms Mobile Estates Pool
Abandonment Project No. 2025-09; and authorize the Executive Director to execute the
contract and approve future change orders within the project budget amount.
EXECUTIVE SUMMARY
The Dune Palms Mobile Estates Pool Abandonment Project (Project) will abandon
the existing unusable empty pool located at the Dune Palms Mobile Estates
(Attachment 1).
On June 11, 2025, the Housing Commission reviewed and recommended the
Housing Authority (Authority) approve the fiscal year (FY) 2025/26 Authority
budget, which included the proposed demolition of the pool at the Dune Palms
Mobile Estates.
The City received 6 contractor bids in January 2026. LNL Property Services of
Pahrump, NV, submitted the lowest responsible and responsive bid at $60,490.
FISCAL IMPACT
Estimated Project costs are $105,000, and in FY 2025/26 the Authority allocation the
Project budget in Account No. 241-9104-72110 under Building/Site Improvements. Any
remaining funds will be returned to the original Account.
The following is the breakdown of the project budget:
Total Budget
Design/Professional: $ 13,000
Construction: $ 60,490
Inspection/Testing/Survey: $ 10,000
Contingency: $ 21,510
Total Budget: $ 105,000
7
BACKGROUND/ANALYSIS
The community pool at Dune Palms Mobile Estates was originally drained and closed
during the pandemic, at which time the City identified significant structural damage to the
pool foundation. Riverside County Public Health determined that the pool required
substantial upgrades to meet current health and safety standards. During final design for
the City’s Dune Palms Bridge Project 2011-05, it was determined a portion of the pool
property was required, reducing the available area needed to accommodate the
improvements. The combination of these conditions made replacement of the pool
infeasible. With the Dune Palms Road Bridge project now complete, the City is prepared
to permanently abandon the pool.
The abandonment work includes breaking open the pool bottom, removing the
surrounding concrete decking, filling the pool cavity with suitable compacted backfill, and
leaving the site in a clean condition suitable for future enhancements. Staff is currently
reviewing the overall layout of Dune Palms Mobile Estates to identify opportunities to
improve open space and site circulation. This project was presented to the Housing
Commission as a potential improvement expenditure during its review of the Authority’s
FY 2025/26 budget on June 11, 2025. The Authority subsequently approved the FY
2025/26 budget on June 17, 2025.
In December 2025, staff solicited construction bids from qualified contractors. LNL
Property Services was the lowest responsible and responsive bidder. Bid prices were
reviewed, and the increase over the engineer’s estimate is primarily attributable to the
relatively small size of the project.
Contingent upon approval to award the project on January 20, 2026, the following is the
proposed project schedule:
Authority Considers Project Award January 20, 2026
Execute Contract and Mobilize January to February 2026
Construction (30 Working Days) February to March 2026
Accept Improvements April 2026
ALTERNATIVES
Staff does not recommend an alternative.
Prepared by: Ubaldo Ayón, Jr., Assistant Construction Manager
Approved by: Bryan McKinney, P.E., Public Works Director/City Engineer
Attachments: 1. Vicinity Map
2. Bid Comparison
8
ATTACHMENT 1
Vicinity Map
N.T.S.
11 9
Bid Opening Date: 01/07/2026 Dune Palms Mobile State Pool Abandonment
City Project No. 2025-09
Item Item Description Unit Quantity Unit Price Total Cost Unit Price Total Cost Unit Price Total Cost Unit Price Total Cost Unit Price Total Cost Unit Price Total Cost Unit Price Total Cost
1 Mobilization LS 1 5,000.00$ 5,000.00$ 4,200.00$ 4,200.00$ 8,700.00$ 8,700.00$ 6,011.19$ 6,011.19$ 9,500.00$ 9,500.00$ 5,930.00$ 5,930.00$ 8,000.00$ 8,000.00$
2 Site/Traffic Control LS 1 1,200.00$ 1,200.00$ 8,200.00$ 8,200.00$ 3,157.38$ 3,157.38$ 4,355.62$ 4,355.62$ 4,500.00$ 4,500.00$ 32,282.00$ 32,282.00$ 7,000.00$ 7,000.00$
3 Dust Control LS 1 5,000.00$ 5,000.00$ 2,200.00$ 2,200.00$ 1,133.90$ 1,133.90$ 4,039.72$ 4,039.72$ 2,500.00$ 2,500.00$ 24,228.00$ 24,228.00$ 3,000.00$ 3,000.00$
4 Demolition, Disposal, Clearing, and Grubbing LS 1 7,000.00$ 7,000.00$ 12,500.00$ 12,500.00$ 12,663.58$ 12,663.58$21,064.87$ 21,064.87$ 34,000.00$ 34,000.00$ 35,984.00$ 35,984.00$ 45,422.00$ 45,422.00$
5 Furnish and Install Unclassified Fill TON 315 25.00$ 7,875.00$ 28.50$ 8,977.50$ 46.12$ 14,527.80$ 48.92$ 15,409.80$ 46.00$ 14,490.00$ 65.00$ 20,475.00$ 174.00$ 54,810.00$
6 Furnish and Install 12" Crushed Misc. Base SF 910 2.00$ 1,820.00$ 6.80$6,188.00$ 4.25$3,867.50$ 4.62$4,204.20$ 6.50$5,915.00$ 8.70$7,917.00$ 15.00$ 13,650.00$
7 Furnish and Install 3/8" Minus w/ 20% Fines "Desert
Gold" Stabilized Decomposed Granite (3" thick)SF 3,410 1.50$ 5,115.00$ 2.50$ 8,525.00$ 3.49$ 11,900.90$ 2.31$ 7,877.10$ 7.00$ 23,870.00$ 5.00$ 17,050.00$ 4.00$ 13,640.00$
8
Furnish and Install 6' HT Steel Fence with Footings per
City Std. No. 784.1-784.2. Style to Match Existing
Steel Fence
LF 50 100.00$ 5,000.00$ 124.00$ 6,200.00$ 290.00$ 14,500.00$ 283.64$ 14,182.00$ 155.00$ 7,750.00$ 345.00$ 17,250.00$ 600.00$ 30,000.00$
9 Furnish and Install 6' HT Steel Single Gate with
Footings EA 1 2,500.00$ 2,500.00$ 3,500.00$ 3,500.00$ 6,960.00$ 6,960.00$ 3,545.52$ 3,545.52$ 4,500.00$ 4,500.00$ 4,402.00$ 4,402.00$ 6,255.00$ 6,255.00$
40,510.00$ 60,490.50$ 77,411.06$ 80,690.02$ 107,025.00$ 165,518.00$ 181,777.00$
40,510.00$ 60,490.50$ 77,411.06$80,690.02$ 107,025.00$ 165,518.00$ 181,777.00$
Percentage of Eng. Est.:149%191%199%264%409%449%
Percentage of Lowest Bidder:128%133%177%274%301%
Tri-Star Contracting II, Inc.UBD Inc.SAVI Construction, Inc.
Total Base Bid:
Sub-Total Base Bid:
LNL Property Services Urban HabitatThe Van Dyke CorporationEngineer's Estimate - Base Bid
ATTACHMENT 2
10
City of La Quinta
HOUSING AUTHORITY QUARTERLY MEETING: January 20, 2026
STAFF REPORT
AGENDA TITLE: APPOINT HOUSING AUTHORITY CHAIRPERSON AND VICE-
CHAIRPERSON FOR CALENDAR YEAR 2026
RECOMMENDATION
Appoint Housing Authority Chairperson and Vice-Chairperson for calendar year 2026.
EXECUTIVE SUMMARY
On September 15, 2009, Council established the Housing Authority (Authority). The
Authority adopted bylaws via Resolution HA 2009-001 establishing the procedure
for annually electing the Chairperson and Vice-Chairperson.
On April 15, 2014, the Authority adopted amended and restated bylaws and rules of
procedure via Resolution HA 2014-001.
Section 9 of the amended and restated Authority bylaws states that the Authority
shall annually, at its first meeting held after December 30, vote to appoint two of its
members to serve as Chairperson and Vice-Chairperson for the calendar year.
FISCAL IMPACT – None.
BACKGROUND/ANALYSIS
The following Authority Members have held these positions in the past nine years:
Year Chairperson Vice-Chairperson
2017 Kathleen Fitzpatrick Steve Sanchez
2018 Steve Sanchez John Peña
2019 John Peña Robert Radi
2020 Robert Radi Kathleen Fitzpatrick
2021 Kathleen Fitzpatrick Steve Sanchez
2022 Steve Sanchez John Peña
2023 John Peña Kathleen Fitzpatrick
2024 Kathleen Fitzpatrick Deborah McGarrey
2025 Deborah McGarrey Steve Sanchez
ALTERNATIVES
As this action is required by Authority bylaws, staff does not recommend an alternative.
Prepared by: Olivia Rodriguez, Deputy City Clerk
Approved by: Monika Radeva, Authority Secretary
BUSINESS SESSION ITEM NO. 1
11
12
City of La Quinta
AGENDA TITLE: RECEIVE AND FILE FISCAL YEAR 2024/25 HOUSING AUTHORITY
YEAR-END BUDGET REPORT
RECOMMENDATION
Receive and file fiscal year 2024/25 Housing Authority Year-End Budget Report.
EXECUTIVE SUMMARY
After closing the prior fiscal year (FY), Finance presents a year-end summary that
compares the final budget to actual transactions.
Overall revenue was $386,173 higher than budgeted.
Overall expenditures were $20,866 lower than budgeted, after carryovers in the
amount of $466,100 are carried over to FY 2025/26.
The Report was received and filed by the Housing Commission on December 10,
2025.
BACKGROUND/ANALYSIS
Total adjusted revenues were over budget by $386,173, due to higher interest earnings
and loan repayments.
Total expenditures were under budget by $20,866; after $466,100 is carried over to FY
2025/26 for building improvements and homelessness assistance programs.
Revenues, expenditures, carryovers, and fund balances are outlined in the Fiscal Year-
End 2024/25 Housing Authority Budget Report (Attachment 1).
ALTERNATIVES
No alternatives are applicable.
Prepared by: Claudia Martinez, Finance Director/City Treasurer
Approved by: Jon McMillen, Executive Director
Attachment: 1. Fiscal Year-End 2024/25 Housing Authority Budget Report
BUSINESS SESSION ITEM NO. 2
13
HOUSING AUTHORITY QUARTERLY MEETING: January 20, 2026
STAFF REPORT
1
HOUSING AUTHORITY
FISCAL YEAR-END 2024/25 BUDGET REPORT
The La Quinta Housing Authority oversees three funds, which are restricted for affordable
housing programs. This report focuses on significant activities and variances from the
final budget during the fiscal year (FY) ended June 30, 2025.
REVENUES
Total revenues, after non-cash adjustments, were over budget by $386,173. Revenues
are summarized by fund below and detailed in Exhibit A.
Larger revenue variances from the final budget are described below.
Use of Money and Property includes the annual fair market value adjustment to
the Authority’s investments; noted as GASB 31 Interest on the revenue line items.
In accordance with accounting regulations, a portfolio value adjustment of
$268,962 was recorded in order to recognize current market values, which were
valued greater than book value due to market conditions resulting in a positive
adjustment. This amount has been recorded as an adjustment to revenues, as it
is not cash received nor anticipated to be received in the future.
Extraordinary Gain revenue of $14,169 in the RDA Low-Mod Housing Fund
records the annual former Redevelopment Agency loan repayment interest earned
in FY 2024/25. The loan repayments are structured to pay all principal first, then
interest. Each year, the City records the payment received and interest earned in
accordance with the State Department of Finance approved loan repayment
Housing Authority Revenues Final Budget Actual Variance
Housing Authority Fund 1,552,000 2,016,376 464,376
RDA Low-Mod Housing Fund 60,000 253,410 193,410
2011 Bond Fund 103,000 114,518 11,518
Total Revenues 1,715,000 2,384,303 669,304
Non-Cash Adjustments
Investments Fair Market Value Adjustment (268,962) (268,962)
RDA Loan Interest Earned, Extraordinary Gain (14,169) (14,169)
Total Adjusted Revenues 2,101,172 386,173
ATTACHMENT 1
14
2
schedule. This amount is also reduced from revenues as an adjustment because
it is earned, but not received until a future date.
EXPENSES
Housing Authority expenses by fund are summarized below and detailed in Exhibit B.
Carryovers from FY 2024/25 to FY 2025/26 in the amount of $466,100 can be found on
Exhibit C.
HOUSING AUTHORITY FUND (241)
This fund recognizes administrative expenses and housing activities for several Authority-
owned properties in the La Quinta Cove and Dune Palms Mobile Estates.
The Housing Authority Fund achieved total combined savings of approximately $428,000,
primarily due to project timing and lower than anticipated costs at Dune Palms Mobile
Estates and La Quinta rental properties. Administrative program costs were slightly above
budget but represent normal operational variance. The largest savings occurred in
Building/Site Improvements, where expenditures were $32,285, significantly below the
budgeted $450,000, due to the timing of planned improvement projects. These efforts will
continue into the next fiscal year, with $417,700 being carried over to support and
advance the project.
Unspent funds that are not carried forward will continue to be recognized as Restricted
Fund Balance in the Housing Authority Fund to support future housing initiatives and
capital improvements. As of June 30, 2025, the available balance in this fund was
$11,968.979.
Housing Authority Expenditures Final Budget Actual Variance
Housing Authority Fund
Administration 691,615 724,081 32,466
La Quinta Cove Properties 350,000 272,295 (77,705)
Dune Palms Mobile Estates 950,000 567,269 (382,731)
RDA Low-Mod Housing Fund 350,000 301,600 (48,400)
2011 Bond Fund 757,003 746,407 (10,596)
Total Expenditures 3,098,618 2,611,652 (486,966)
Capital Project Carryovers -
Operational/Contractual Carryovers 466,100
Total Expenditures After Carryovers 3,098,618 3,077,752 (20,866)
15
3
LOW-MOD HOUSING FUND (243)
Revenue in this fund is solely derived from Redevelopment Agency loan repayments and
interest earnings. Annually loan repayments are allocated 80% to the General Fund and
20% to the Low-Mod Housing Fund. The total outstanding loan balance as of June 30,
2025 is $17,969,747; with $3,593,949 or 20% recognized in this fund as a future
receivable.
In FY 2024/25, a total of $301,600 was expended for homelessness programs in the
greater Coachella Valley, with savings of $48,400 being carried over to FY 2025/26. As
of June 30, 2025, the available balance in this fund was $5,061,863.
2011 BOND FUND (249)
This fund is restricted for future housing projects. In FY 2024/25, the City appropriated
funding for its share of utility relocation and undergrounding improvements associated
with the vacant property at the northeast corner of Highway 111 and Dune Palms Road.
The site is intended for the development of affordable housing with a connecting
thoroughfare to the CV Link. As of June 30, 2025, the available balance in this fund was
$2,227,242.
FUND BALANCES
Below is a summary of Housing Authority fund balances as of June 30, 2025. These funds
are restricted for housing programs.
Housing Funds Fund Balance
as of 6/30/25
Housing Authority Fund (241)11,968,979
Low-Mod Housing Fund (243)5,061,863
2011 Bond Fund (249)2,227,242
TOTAL HOUSING FUNDS 19,258,084
16
2023/24
Actuals
2024/25
Original Budget
2024/25
Final Budget
2024/25
Actuals
241 - HOUSING AUTHORITY
416,365 200,000 300,000 443,240241-9101-41900 Allocated Interest
165,958 0 0 187,425241-9101-41910 GASB 31 Interest
0 1,000 1,000 0241-9101-41915 Non-Allocated Interest
526 0 0 0241-9101-42301 Miscellaneous Revenue
80,124 0 0 151,621241-9101-42706 Loan Repayments
148,869 100,000 100,000 56,003241-9101-43504 2nd Trust Deed Repayments
118,416 0 0 0241-9101-45000 Sale of Other Assets
200,000 0 0 0241-9103-43501 Miscellaneous Revenue/LQRP
351,454 350,000 350,000 328,144241-9103-43502 Rent Revenue/LQRP
791,622 800,000 800,000 849,943241-9104-42112 Rent Revenue/Tenant/Dune Palms
0 1,000 1,000 0241-9104-42302 Miscellaneous Revenue/Dune Palm
s
Total:2,273,334 1,452,000 1,552,000 2,016,376
243 - RDA LOW-MOD HOUSING FUND
143,666 60,000 60,000 168,213243-0000-41900 Allocated Interest
45,354 0 0 71,028243-0000-41910 GASB 31 Interest
68,161 0 0 14,169243-0000-48500 Extraordinary Gain
Total:257,181 60,000 60,000 253,410
249 - SA 2011 LOW/MOD BOND FUND (Refinanced
in 2016)
4,616 3,000 3,000 0249-0000-41900 Allocated Interest
23,261 0 0 10,509249-0000-41910 GASB 31 Interest
86,083 15,000 100,000 99,527249-0000-41915 Non-Allocated Interest
0 0 0 4,483249-0000-42301 Miscellaneous Revenue
1,387,009 0 0 0249-0000-49500 Transfers In
Total:1,500,969 18,000 103,000 114,518
HOUSING AUTHORITY REVENUE 4,031,484 1,530,000 1,715,000 2,384,303
416,365 200,000 300,000 443,240
165,958 0 0 187,425
0 1,000 1,000 0
526 0 0 0
80,124 0 0 151,621
148,869 100,000 100,000 56,003
118,416 0 0 0
200,000 0 0 0
351,454 350,000 350,000 328,144
791,622 800,000 800,000 849,943
0 1,000 1,000 0
2,273,334 1,452,000 1,552,000 2,016,376
143,666 60,000 60,000 168,213
45,354 0 0 71,028
68,161 0 0 14,169
257,181 60,000 60,000 253,410
4,616 3,000 3,000 0
23,261 0 0 10,509
86,083 15,000 100,000 99,527
0 0 0 4,483
1,387,009 0 0 0
1,500,969 18,000 103,000 114,518
4,031,484 1,530,000 1,715,000 2,384,303
CITY OF LA QUINTA
HOUSING AUTHORITY FUNDS REVENUE DETAIL
E;HIBIT A
FY 2024/25 YEAR-END BUDGET REPORT
Unaudited, final numbers will be reported in the FY 2024/25 Financial Statements 17
2023/24
Actuals
2024/25
Original Budget
2024/25
Final Budget
2024/25
Actuals
241 - HOUSING AUTHORITY
9101 - Housing Authority - Admin
50 - Salaries and Benefits
308,362 322,000 322,000 340,726241-9101-50101 Permanent Full Time
58 0 0 111241-9101-50105 Salaries - Overtime
500 1,800 1,800 600241-9101-50110 Commissions & Boards
145 200 200 144241-9101-50150 Other Compensation
27,150 31,200 31,200 30,445241-9101-50200 PERS-City Portion
4,875 3,640 3,640 9,372241-9101-50215 Other Fringe Benefits
53,229 70,000 70,000 53,791241-9101-50221 Medical Insurance
455 0 0 465241-9101-50222 Vision Insurance
2,747 0 0 2,581241-9101-50223 Dental Insurance
175 0 0 185241-9101-50224 Life Insurance
1,764 2,000 2,000 2,117241-9101-50225 Long Term Disability
13,400 13,400 12,400 12,400241-9101-50230 Workers Comp Insurance
4,479 4,800 4,800 4,951241-9101-50240 Social Security-Medicare
56 0 0 82241-9101-50241 Social Security-FICA
50 - Salaries and Benefits Totals:417,394 449,040 448,040 457,971
60 - Contract Services
75,228 75,000 105,000 103,597241-9101-60103 Professional Services
5,000 5,000 5,000 5,000241-9101-60106 Auditors
33,905 25,000 25,000 50,085241-9101-60153 Attorney
200,000 0 0 0241-9101-60157 Rental Expenses
60 - Contract Services Totals:314,133 105,000 135,000 158,682
62 - Maintenance & Operations
467 1,000 1,000 688241-9101-60320 Travel & Training
734 2,000 2,000 1,166241-9101-60420 Operating Supplies
62 - Maintenance & Operations Totals:1,201 3,000 3,000 1,854
69 - Internal Service Charges
9,300 9,300 9,300 9,300241-9101-91843 Property & Crime Insurance
18,200 18,200 18,475 18,475241-9101-91844 Earthquake Insurance
80,900 80,900 77,800 77,800241-9101-98110 Information Tech Charges
69 - Internal Service Charges Totals:108,400 108,400 105,575 105,575
9101 - Housing Authority - Admin Totals:841,128 665,440 691,615 724,081
9103 - Housing Authority - LQRP
62 - Maintenance & Operations
379,320 350,000 350,000 272,295241-9103-60157 Rental Expenses
62 - Maintenance & Operations Totals:379,320 350,000 350,000 272,295
9103 - Housing Authority - LQRP Totals:379,320 350,000 350,000 272,295
9104 - Dune Palms Mobile Estates
60 - Contract Services
116,883 100,000 100,000 115,349241-9104-60103 Professional Services
428,068 400,000 400,000 417,253241-9104-60157 Rental Expense
0 0 0 2,381241-9104-60159 Relocation/Temp Housing
60 - Contract Services Totals:544,952 500,000 500,000 534,984
68 - Capital Expenses
99,064 200,000 450,000 32,285241-9104-72110 Building/Site Improvements
68 - Capital Expenses Totals:99,064 200,000 450,000 32,285
9104 - Dune Palms Mobile Estates Totals:644,015 700,000 950,000 567,269
241 - HOUSING AUTHORITY Totals:1,864,463 1,715,440 1,991,615 1,563,645
308,362 322,000 322,000 340,726
58 0 0 111
500 1,800 1,800 600
145 200 200 144
27,150 31,200 31,200 30,445
4,875 3,640 3,640 9,372
53,229 70,000 70,000 53,791
455 0 0 465
2,747 0 0 2,581
175 0 0 185
1,764 2,000 2,000 2,117
13,400 13,400 12,400 12,400
4,479 4,800 4,800 4,951
56 0 0 82
417,394 449,040 448,040 457,971
75,228 75,000 105,000 103,597
5,000 5,000 5,000 5,000
33,905 25,000 25,000 50,085
200,000 0 0 0
314,133 105,000 135,000 158,682
467 1,000 1,000 688
734 2,000 2,000 1,166
1,201 3,000 3,000 1,854
9,300 9,300 9,300 9,300
18,200 18,200 18,475 18,475
80,900 80,900 77,800 77,800
108,400 108,400 105,575 105,575
841,128 665,440 691,615 724,081
379,320 350,000 350,000 272,295
379,320 350,000 350,000 272,295
379,320 350,000 350,000 272,295
116,883 100,000 100,000 115,349
428,068 400,000 400,000 417,253
0 0 0 2,381
544,952 500,000 500,000 534,984
99,064 200,000 450,000 32,285
99,064 200,000 450,000 32,285
644,015 700,000 950,000 567,269
1,864,463 1,715,440 1,991,615 1,563,645
CITY OF LA QUINTA
HOUSING AUTHORITY FUNDS EXPENSE DETAIL
E;HIBIT B
FY 2024/25 YEAR-END BUDGET REPORT
Unaudited, final numbers will be in the FY 2024/25 Financial Statements 18
2023/24
Actuals
2024/25
Original Budget
2024/25
Final Budget
2024/25
Actuals
243 - RDA LOW-MOD HOUSING FUND
0000 - Undesignated
64 - Other Expenses
250,000 250,000 350,000 301,600243-0000-60532 Homelessness Assistance
64 - Other Expenses Totals:250,000 250,000 350,000 301,600
0000 - Undesignated Totals:250,000 250,000 350,000 301,600
243 - RDA LOW-MOD HOUSING FUND Totals:250,000 250,000 350,000 301,600
250,000 250,000 350,000 301,600
250,000 250,000 350,000 301,600
250,000 250,000 350,000 301,600
250,000 250,000 350,000 301,600
CITY OF LA QUINTA
HOUSING AUTHORITY FUNDS EXPENSE DETAIL
Unaudited, final numbers will be in the FY 2024/25 Financial Statements 19
EXHIBIT B
FY 2024/25 YEAR-END BUDGET REPORT
2023/24
Actuals
2024/25
Original Budget
2024/25
Final Budget
2024/25
Actuals
249 - SA 2011 LOW/MOD BOND FUND (Refinanced in 2
016)
0000 - Undesignated
68 - Capital Expenses
3,587,121 0 0 0249-0000-74010 Land Acquisition
900 250,000 757,003 746,407249-0000-80050 Affordable Housing Project Developmen
t
68 - Capital Expenses Totals:3,588,021 250,000 757,003 746,407
0000 - Undesignated Totals:3,588,021 250,000 757,003 746,407249 - SA 201
1 LOW/MOD BOND FUND (Refinanced in 2016) Totals:3,588,021 250,000 757,003 746,407
3,587,121 0 0 0
900 250,000 757,003 746,407
3,588,021 250,000 757,003 746,407
3,588,021 250,000 757,003 746,407
3,588,021 250,000 757,003 746,407
CITY OF LA QUINTA
HOUSING AUTHORITY FUNDS EXPENSE DETAIL
Unaudited, final numbers will be in the FY 2024/25 Financial Statements 20
EXHIBIT B
FY 2024/25 YEAR-END BUDGET REPORT
Vendor/Program Account Number Description Estimated Revised
Dune Palms Mobile Estates improvements 241-9104-72110 Building/Site Improvements 430,000 417,700$
Homelessness assistance 243-0000-60532 Homelessness Assistance
49,200 48,400$
$ 479,200 $ 466,100
Revised Continuing Appropriations/Carryovers from 2024/25 to 2025/26
TOTAL AUTHORITY CARRYOVERS
NOTE: In June 2025, when the budget was adopted, all carryovers were estimated based on projected invoices through the end of fiscal year
2024/25. Following the completion of the final audit, Finance has verified account balances and provided additional carryover
recommendations aligned with current budgetary needs. Under no circumstances shall a carryover exceed the revised per-account amount
specified above.
CITY OF LA QUINTA
HOUSING AUTHORITY FUNDS CARRYOVER SUMMARY
EXHIBIT C
FY 2024/25 YEAR-END BUDGET REPORT
21
22
City of La Quinta
HOUSING AUTHORITY QUARTERLY MEETING
DEPARTMENTAL REPORT
TO: Madam Chair and Members of the Housing Authority
FROM: Gilbert Villalpando, Director of Business Unit & Housing
DATE: January 20, 2026
SUBJECT: WATERCOLORS SENIOR AFFORDABLE HOUSING DEVELOPMENT:
PROGRAM STRUCTURE AND OPERATIONS OVERVIEW
This department report marks the 20th anniversary of the Watercolors Senior Affordable
Housing Development, which has provided long-term, income-restricted homeownership
opportunities for qualified seniors since its establishment in 2006. In recognition of this
milestone, staff is providing an update and overview of the Watercolors affordability
program, including its structure, operations, and the Housing Authority’s (Authority)
ongoing role in preserving affordability for current and future residents.
Watercolors is a 149-unit, income-restricted 55+ single-family home development
structured around an affordable “silent second” housing program and reflects the
Authority’s long-standing commitment to senior affordable housing. By combining private
development with public affordability protections, the program supports stable
homeownership opportunities for qualified seniors while maintaining long-term
community affordability.
ROLES AND RESPONSIBILITIES AT WATERCOLORS
At Watercolors, a “silent second” means the Authority holds a silent second deed of trust
to keep the home affordable, at amounts ranging between $48,000 - $103,000. The silent
second deed of trust is forgiven at the end of the 45-year term. In the event of a violation
of affordability covenants, the silent second has the mechanisms in place to recapture the
Authority’s interest in the property. Homeowners Association (HOA) dues are generally
used for operating costs and reserves to maintain common areas and building systems.
Housing Authority’s role in a silent second
The Authority:
o Provides down-payment or purchase assistance as a subordinate “silent
second” loan recorded against the property.
o Defers payments until a trigger event such as sale, transfer, refinance, or
default under the affordability covenants.
o Records an affordable housing deed restriction that controls resale price,
income eligibility of future buyers, and owner-occupancy, for 45 years at
Watercolors.
DEPARTMENTAL REPORT ITEM NO. 1
23
Eligibility and ongoing compliance (recertification) at Watercolors are restricted to
qualified senior households at low and moderate income levels.
Watercolors monthly HOA dues
HOA dues are set by the HOA board and are used for:
o Day-to-day operating expenses for common areas such as landscaping,
janitorial, utilities for common spaces, insurance, and small repairs.
o Contributions to reserves for long-term repair or replacement of major
components such as roofs, exterior paint, paving, elevators, and building
systems.
o Dues are not used to pay individual owners’ mortgages or any Authority
silent second obligations.
o Can fund compliance items tied to the project (for example, periodic reserve
studies or inspections).
HOA Board vs Management Company
In California, the HOA is a nonprofit corporation run by an elected board; the management
company is a contractor hired to help operate the association.
HOA Board Role:
The board has legal authority and ultimate responsibility.
Governance and rules:
o Enforces CC&Rs and other “Governing Documents” as defined in the
CC&Rs, which include rules and architectural standards; approves policies
and enforcement actions.
Money and dues:
o Adopts the annual budget, sets the monthly dues, and decides how funds
are allocated between operations and reserves.
Maintenance:
o Decides what work is done on common areas, approves contracts, and
ensures reserve studies and long-term maintenance planning are in place.
Management Company Role:
The management company executes the board policy and handles all day-to-day
administration.
Duties Include:
o Collects dues, pays association bills, keeps the books, and prepares draft
budgets for board review.
o Coordinates vendors and maintenance work once approved by the board;
tracks work orders and routine repairs.
o Communicates with owners, sends notices, and helps implement
enforcement actions that the board authorizes.
24
Function HOA Board
(Watercolors)
Management
Company (Hired by
HOA Board)
La Quinta Housing Authority
(Silent Second Program)
Legal
Authority
Governs the association
under CC&Rs and other
Governing Documents;
sets community policies
and owes a fiduciary duty
to all owners.
Runs daily operations
under the board’s
contract and directions.
Holds the silent-second trust
deed and program documents;
has the right to enforce
affordability covenants and
program rules.
Affordability
Rules
Must not approve rules
that conflict with income,
age (55+),
owner-occupancy, state-
mandated permissible
residents (such as
permitted health care
resident), or no-rental
requirements.
Works with the Board to
enforce these rules, but
does not decide who
qualifies.
Follows state legal requirements
for senior citizen affordable
housing developments, which
set eligibility requirements (age
55+ and permissible residents,
moderate- or low-income
households), primary-residence
requirement, no-rental and
no-cash-purchase rules.
Budget &
HOA Dues
Approves the budget and
monthly HOA dues
covering common area
costs, cable, internet, etc.
Prepares budgets,
collects dues, pays
vendors and utilities per
board direction.
Follows state legal
requirements, which limit total
homeowner “housing cost”
(mortgage, taxes, insurance,
utilities, HOA dues) to a % of
income and may charge
monitoring fees.
Rules &
Enforcement
Enforces CC&Rs and
other Governing
Documents (which cover,
for example, parking, use
of amenities, maintenance
of property) and issues
fines/violations.
Sends notices, tracks
violations, coordinates
hearings as instructed.
Enforces program violations
such as ineligible buyers,
over-income, renting out units,
or unauthorized transfers.
Maintenance
Decisions
Decides scope and timing
of repairs to pool,
clubhouse, landscaping,
gates, etc., and approves
contracts.
Obtains bids for
contracts, schedules,
and supervises routine
work and vendors.
Does not run routine
maintenance, but can require
properties be kept in good
condition consistent with
affordable-housing and
health/safety standards. [NOTE:
this authority is separate from
the City’s Code Enforcement
authority]
Sale / Resale Applies HOA transfer
rules (documents, transfer
fees, orientation,
compliance with no-rental
rules).
Processes HOA
disclosure packages
and estoppels for
escrows.
Approves buyers, calculates
total price and silent-second
amount, and handles transfer to
qualified buyer at resale.
On December 24, 2025, the City and Authority Members received a letter from the
Watercolors HOA expressing concerns regarding enforcement and policy matters within
the community. Since then, Housing staff have been working closely with the Authority
25
Counsel and Housing Consultant to put together a thorough response that will detail
process and individual responsibilities as detailed below.
The collaborative framework addresses three primary areas of concern:
Property Maintenance Issues
Common area upkeep, infrastructure maintenance, and code compliance fall under HOA
and property management company's responsibility. When code violations occur, the
property management company must follow established City Building Department
reporting protocols with proper documentation. The Authority's role is limited to ensuring
the community maintains standards that support overall program compliance.
Age Restriction / Occupancy and Owner-Occupancy Violations
The management company serves as the first point of contact for violation reports,
conducting initial due diligence to verify complaint validity. Upon confirming potential
violations, the property management company escalates matters to the Authority for
official determination of compliance status and direction on enforcement actions.
Annual Recertification Process
Following Authority distribution of recertification notices and expiration of response
deadlines, non-compliant homeowners are identified to both the HOA Board and property
management company. The HOA assists in homeowner outreach and response
collection, while the Authority conducts formal follow-up through official correspondence.
26