HomeMy WebLinkAboutPS Section 14 - 11_14 Meeting.pptxOpen Session: Thursday, November 14
Section 14
Settlement Package Summary
Park Naming
Memorial
Support for healing center
Financial Settlement $5.91M
Other Programmatic Efforts
Financial Settlement
●Distribution Method: Direct payment to the claimant’s attorney trust account, who will
oversee disbursement to verified former Section 14 residents and their descendants.
●Claimant Class: Claimants to provide opportunity (4 wks) for other qualified persons to
join class of claimants. Claimants to agree to City’s anti-discrimination clause.
●Basis of Amount: Based on an estimated current value of $30K per home, total of 197
non-abandoned residences.
●Usual Settlement Provisions:
○No admission of wrongdoing/liability by either party.
○Release and waivers from 1,200 existing claimants and any others who join.
●Recommendation: Direct city attorney to prepare settlement agreement, in form and
substance as approved by the city attorney and city manager, and direct the city manager to
execute all documents necessary to effectuate settlement.
Financial Settlement: $5.91M
Settlement Count: 197 non-abandoned residences
# of Dwellings Based on
145 (April 2024
City Council
estimate)
City review of abatement records from 1965-1969,
abandoned residences are not accounted for
197 (October
2024 City
Council estimate)
1965-1967 abatement records, which is the timeframe
with the most documentation of City involvement
Utility bill records also indicate that there were roughly
200 residences during this time period
Section 14 Memorial Monument
●Objective: A public monument to honor and remember
former Section 14 residents, listing their names.
●Location and Timeline: The monument location will be
selected in consultation with community representatives.
Other Programmatic Efforts
Park Naming
Objective: As new parks come online, the City will work with
the Section 14 claimants to name a city park.
Other Programmatic Efforts (cont.)
Support for Cultural/Racial Healing Center
●Purpose: To establish a community-driven center focused on
cultural and racial healing.
●City Role: Limited to providing letters of support and limited
staff assistance.
Other Programmatic Efforts (cont.)
Recommendations
Staff seeks Council direction at this time on next steps.
Introducing housing and economic development
initiatives for all Palm Springs residents, with targeted
outreach to former Section 14 residents and their
descendants
Community Land Trust 02 $10M over ten years
First-Time Homebuyer
Assistance Programs01 $10M over ten years
Affordable Housing Program: $20M over ten years
First-Time Homebuyer Assistance Program Details
●Program Details: Provides down payment assistance and grants to first-time
homebuyers, with a focus on supporting low-income residents to attain
homeownership.
●“Silent second” that falls off after 10 years. Maximum assistance will be $100K.
●Start Date: Fall 2025
●Targeted Outreach: In early 2025, the City will implement a comprehensive
outreach program to inform the public, with particular efforts to reach Section 14
families.
Up to 140% AMI
For Sale
Multi-Family
For Sale
Single Family
In today’s dollars:
$132.3K for a
family of 4
Down payments
for condos,
townhomes, etc.
Down payments for
SFH homes as a part
of the City’s CLT
First-Time Homebuyer Assistance Program Details
●Community Land Trust: Separate entity from the City that can finance and purchase real estate to
create and preserve affordability.
○CLT resells the properties they purchase at below market rates by separating the ownership of
the land and the building.
○Allows the CLT to retain the land in perpetuity to ensure affordability
○Purchasers can gain generational wealth and a percentage of the equity upon selling
●Objective: Secure land and develop affordable housing that can be purchased or rented at
accessible rates for low to mid-income residents.
●Start Date: Fall 2025
●Priority Access: Open to all Palm Springs residents with targeted outreach to former residents and
descendants of Section 14.
RenovatingBuildingPurchasing
Community Land Trust
Small Business Program: $1M over five years
●Caravanserai Project: Provides an access-to-capital program for individuals from
marginalized and under-resourced communities, supporting the launch of both
for-profit businesses and nonprofit organizations in Palm Springs.
●February 2024: $35K (seven local participants, $5K grants to cover essential startup
expenses)
●2021-2023: Over 3000 attendees
○Over 75% of these entrepreneurs are women, 80% BIPOC entrepreneurs (29%
Black/African American, 49% Hispanic, 12% Asian).
Awarding of Funds
●Participants selected
following a competitive
application process
●Ideal participant is:
1.For-profit entrepreneur
located in Palm Springs /
serves primarily Palm
Springs customers
2.Early-stage entrepreneur
3.Minority entrepreneur
4.Low-income
Business Training Program:
Workshops and Mentoring
●Cohort-format
business-focused
workshops
●1:1 coaching and
mentorship sessions
Graduation
●Attendance at all
sessions
●Develop road map for
venture
●Present pitch deck
●Access to seed
investments and
ongoing support from
Caravan SBDC
Program Details
Program Impacts
Community
Wellbeing
●Fosters community
engagement
●Enhance quality of
life for all residents
●Enrich variety and
availability of local
amenities
Connection to
Capital
●Connecting
beneficiaries with
sources of capital
●Invested over $2M
Economy Resilience
●Diverse business
environment
●Sustainable small to
mid-sized businesses
●Long-term stability
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Recommendations
Staff seeks Council direction at this time on next steps for programmatic
initiatives.