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HomeMy WebLinkAbout10/18/2006 - STAFF REPORTS - 1.E. I i i "PALM S" y v i k v r r �own.e • P -0<lFORN\ Community_Redevelopment Agency/City Council Staff Report i DATE: OCTOBER 18, 2006 JOINT PUBLIC HEARING i SUBJECT: APPROVAL OF AMENDMENT NO. 3 TO A DISPOSITION AND DEVELOPMENT AGREEMENT WITH THE AGUA CALIENTE BAND OF CAHUILLA INDIANS ON PROPERTIES IN PROXIMITY TO THE SPA HOTEL AND SPA RESORT CASINO, SECTION 14, MERGED PROJECT AREA #2 FROM: David H. Ready, Executive Director BY: Community & Economic Development Department i SUMMARY: An amendment to the 1994 Disposition and Development Agreement with the Agua Caliente band of Cahuilla Indians to clarify parcel designations, terms, and city revenue. RECOMMENDATION: 1. Adopt Resolution No. "A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS, CALIFORNIA, APPROVING AMENDMENT NO. 3 TO A DISPOSITION AND DEVELOPMENT AGREEMENT WITH THE AGUA CALIENTE BAND OF CAHUILLA INDIANS ON PROPOERTIES IN PROXIMITY TO THE SPA HOTEL AND SPA RESORT CASINO, SECTION 14, MERGED PROJECT AREA #2" 2. Adopt Resolution No. "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, CONCURRING WITH THE COMMUNITY REDEVELOPMENT AGENCY REGARDING THE APPROVAL OF A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS, CALIFORNIA, APPROVING AMENDMENT NO. 3 TO A DISPOSITION AND DEVELOPMENT AGREEMENT WITH THE AGUA CALIENTE BAND OF CAHUILLA INDIANS ON PROPERTIES IN PROXIMITY TO THE SPA HOTEL AND SPA RESORT CASINO, SECTION 14, MERGED PROJECT AREA#2" Item No. 1 . C . 3. AUTHORIZE THE EXECUTIVE DIRECTOR OR HIS DESIGNEE TO EXECUTE ALL DOCUMENTS RELATED TO THE AGREEMENT STAFF ANALYSIS: The Agency and the Agua Caliente Band of Cahuilla Indians entered a Disposition and Development Agreement in 1994 to help facilitate the development of a downtown gaming facility. The original DDA defined certain properties within a radius of the proposed facility as those the Tribe would acquire and those that the Agency could and would assist the Tribe in acquiring. Amendment No. 1 to the DDA in 1996 re- designated two parcels as both "Developer Acquired Parcels" and "Second Acquired Parcels." An amendment in 2001 again changed property designations on two properties, the Walter Parcel and the Segundo Parcel, that now comprise the east half of the Casino site. This amendment provides further clarification of the parcel designations, removes definitions no longer relevant to the project, and amends the schedule of payments made by the Tribe to the City of Palm Springs. Other terms of the Amended DDA remain unchanged. FISCAL IMPACT: IFinance Director Review: The DDA amendment provides for $2,250,000 in revenue over the course of the agreement. This amount is in addition to other revenues provided by the Agua Caliente Band of Cahuilla Indians through the State Special Distribution Gaming Fund and Tribal Resolution Number 26-03. JOFWS. RA OND THOMAS J. WIL ON ector of Muni & Assistant City anager- Economic Development Development Services DAVID H. READY Executive Director Attachments: 1. CRA Resolution 2. City Council Resolution 3. Amendment No. 3 to the Disposition and Development Agreement 4. Public Hearing Notice RESOLUTION NO. "A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS, CALIFORNIA, APPROVING AMENDMENT NO. 3 TO A DISPOSITION AND DEVELOPMENT AGREEMENT WITH THE AGUA CALIENTE BAND OF CAHUILLA INDIANS ON PROPERTIES IN PROXIMITY TO THE SPA HOTEL AND SPA RESORT CASINO, SECTION 14, MERGED PROJECT AREA #2" WHEREAS, the Community Redevelopment Agency of the City of Palm Springs, California ("Agency") is constituted under the Community Redevelopment Law (California Health and Safety Code Section 33000 et. sec.) to carry out the purpose as the redevelopment in the City of Palm Springs ("the City"); and WHEREAS, the Agency and Developer entered into that certain Disposition and Development Agreement, which was approved by the Agency Board pursuant to Resolution No. 952 on September 7, 1994 (the "Original DDA") with respect to the acquisition and development of certain real property located in the City of Palm Springs and more particularly described in the Original DDA; and WHEREAS, the Original DDA was amended by Amendment No. 1 dated August 7, 1996 (First Amendment") and Amendment No. 2 dated January 8, 2002, (Second Amendment); and WHEREAS, the Original DDA as amended is referred to herein as the DDA. Capitalized terms used and not defined in this Third Amendment shall have the meanings ascribed as such terms in the DDA; and WHEREAS, the Agency and Developer now desire to enter into this Third Amendment to the DDA for purposes of facilitating the clarification of property designations and adjusting the formula under which the Tribe makes Mitigation Fee payments to the City; and 'WHEREAS, the Agency has considered the staff report, and all the information, testimony and evidence provided at its regularly scheduled meeting of October 18, 2006. NOW, THEREFORE, BE IT RESOLVED by the Community Redevelopment Agency of the City of Palm Springs as follows: SECTION 1. The above recitals are true and correct and incorporated herein. SECTION 2. Pursuant to the California Environmental Quality Act (CEQA), the Community Redevelopment Agency finds as follows: a) In connection with the approval of the DDA, the project is Categorically Exempt because there are no changes in the effects of the proposed project or the circumstances in which it is being implemented which require any modification of the Categorical Exemption. 2) The Agency finds that the Planning Commission adequately discussed the potential significant environmental effects of the Casino project (land use, traffic/circulation, parking, air quality, noise, aesthetics, geology/soils, water quality, drainage, public utilities, public safety, archaeological/historic resources and light and glare), approved in December 2002, The Community Redevelopment Agency further finds that the Categorical Exemption reflects its independent judgment. SECTION 3. The proposed project is consistent with the Implementation Plan for this area, insofar as this project will beautify the downtown and decrease blight. It will also add another tourist attraction in a commercial area heavily dependent on tourism. SECTION 4. Based on foregoing reasons, this Third Amendment to the Disposition and Development Agreement is hereby approved and incorporated herein by this reference. SECTION 5. The Executive Director is authorized to execute all necessary documents, in a form approved by the Agency Counsel. Community Redevelopment Agency October 18,2006 Page 5 ADOPTED THIS 18th day of October, 2006. David H. Ready, Executive Director ATTEST: James Thompson, Assistant Secretary CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that Resolution No. is a full, true and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Springs on by the following vote: AYES: NOES: ABSENT: ABSTAIN: Community Redevelopment Agency October 18,2006 Page 6 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, CONCURRING WITH THE COMMUNITY REDEVELOPMENT AGENCY REGARDING AMENDMENT NO. 3 TO A DISPOSITION AND DEVELOPMENT AGREEMENT WITH THE AGUA CALIENTE BAND OF CAHUILLA INDIANS ON PROPERTIES IN PROXIMITY TO THE SPA HOTEL AND SPA RESORT CASINO, SECTION 14, MERGED PROJECT AREA #2 NOW THEREFORE BE IT RESOLVED by the City Council of the City of Palm Springs that it concurs with the action by the Community Redevelopment Agency of the City of Palm Springs, approving that Amendment No. 3 to a Disposition and Development Agreement with the Agua Caliente Band of Cahuilla Indians on properties in proximity to the Spa Hotel and Spa Resort Casino, Section 14, Merged Project Area #2. ADOPTED THIS 18th day of October, 2006. David H. Ready, City Manager ATTEST: James Thompson, City Clerk i Community Redevelopment Agency October 18,2006 Page 7 CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that Resolution No. _ is a full, true and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Springs on by the following vote: AYES: NOES: ABSENT: ABSTAIN: AMENDMENT NO. 3 TO DISPOSITION AND DEVELOPMENT AGREEMENT THIS AMENDMENT NO. 3 TO DISPOSITION AND DEVELOPMENT AGREEMENT ("Amendment') is made and entered into as of the "Effective Date" (as hereinafter defined), by and between THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS ("Agency"), and THE AGUA CALIENTE BAND OF CAHUILLA INDIANS ("Developer") RECITALS A. Agency, Developer and the Transfer Corporation previously entered into a Disposition and Development Agreement with an Effective Date of October 24, 1994 (the "Agreement"). All terms defined in the Agreement shall have the same meaning when used in this Amendment unless otherwise specifically provided. B. Agency, Developer and the Transfer Corporation previously entered into an amendment to the original Agreement on August 8, 1996 (Amendment No. 1). Agency, Developer and the Transfer Corporation entered into a subsequent Amendment on January 8, 2002, (Amendment No. 2). All terms defined in the Agreement shall have the same meaning as provided in the original Agreement as modified by Amendment No. 1 and Amendment No. 2 when used in this Amendment unless otherwise specifically provided. C. Amendment No. 1 provided that Caesars had withdrawn from the Project in a mutual and amicable agreement with Developer. The Agency was no longer required to contribute any property or the proceeds of any sale to the Project. Amendment No. 1 also withdrew the involvement of the Prairie Schooner Parcel from the Agreement- D. Amendment No. 2 provided that both the Walter and Segundo Parcels, as defined by the original Agreement, are to be omitted from the "Developer-Acquired Parcels" category as to facilitate the completion of Phase II of the Casino project. In facilitating the Project, the Agency proposed to acquire the Walter Parcel through eminent domain. Similarly, the Agency also proposed to acquire the leasehold interest in the Segundo parcel pursuant to Section 4.5 of the original Agreement as modified by Section 5.2 of the Amendment No.1. NOW THEREFORE, the parties hereto agree as follows: 1. Nature and Summary of Modifications. The Agreement shall be deemed modified and amended as provided in this Amendment. The following is a. summary of the changes to the Project and modifications to the Agreement: so9iss i (a) Developer is paying fair market value for all of the Parcels and the Agency is no longer contributing to the Acquisition Fund (b) The Project Area Boundary has been revised as shown in Exhibit 'A' attached hereto (c) The original Schedule of Performance attached to the Agreement is hereby deleted and replaced with the Schedule of Performance attached hereto as Attachment No. 1: Wherever a specific provision of the Agreement is modified or amended by a provision of this Amendment, the referenced provision of the Agreement shall be deemed superseded by the provision of this Agreement. In addition, in the event that a general change or modification is provided in this Amendment, or an agreement of the parties set forth in this Amendment is contrary or different than a provision of the Agreement, whether or not the provision in the Agreement is specifically referenced in this Amendment, the provisions of this Amendment shall control and supersede the provisions of the Agreement in order to give affect to the intent of the parties as described in this Amendment. 2. Description of Pro'ect/Sco a of Development. The Scope of Development provided in the original Agreement as Attachment No. 3 is hereby deleted and replaced with the Scope of Development attached to this Amendment as Attachment No. 2. Wherever the term "Scope of Development" is utilized in the Agreement or in this Amendment, it shall be deemed to refer to the Scope of Development attached hereto as Attachment No. 2. Section 1.2 of the Agreement which summarizes the Project is hereby revised to be consistent with the description of the Project contained in the new Scope of Development and in Section 3.10 below. 3. Changes and Additions to Defined Terms. The terms set forth below which are contained in the original Agreement are hereby modified to have the meanings hereafter provided, and certain terms are hereby added as defined terms for the purposes of this Amendment. The following terms shall have the meanings hereinafter provided: 3.1 Caesars. Caesars has withdrawn from the Project in a mutual and amicable agreement with Developer. The term "Caesars" is hereby deleted from the Agreement and any references in the Agreement regarding the obligations of any party thereto with respect to Caesars, are hereby eliminated. 3.2 Casino Contracts. The term "Casino Contracts" is hereby modified to mean construction, finance and/or development agreements necessary for the construction, and development of the Project and the operation of the gaming facilities thereon. su,ie i 2 3.3 Developer. The term "Developer" shall refer to the Developer and/or any other party to whom the Developer conveys an interest in all or any portion of the Site. 3.4 Developer-Acquired Parcels. The term "Developer-Acquired Parcels" shall be revised to collectively refer to those parcels within the Project Area Boundary not already owned by the developer (Exhibit "A"). 3.5 First-Acquired Parcels. The term "First-Acquired Parcels" shall be revised to refer only to the Fire Station Parcel. 3.6 Net Sale Proceeds. The term "Net Sale Proceeds" is hereby deleted from the Agreement. 3.7 Phase 1. The term "Phase I" shall be revised to refer to the initial construction of the improvements for Phase I described in Section 3.10 below on the Walter Parcel, the Fire Station Parcel, the Segundo Parcel, the Vacated Streets-Phase 1, the Hirsch Parcel and/or the Browne Parcel, completed on November 17, 2003. 3.8 Prairie Schooner Parcel. The term "Prairie Schooner Parcel" is deleted from the Agreement. The Prairie Schooner Parcel has been withdrawn from involvement in the Project, and no portion of the Prairie Schooner Parcel will be transferred to the Developer for use in exchange for the Walter Parcel and Segundo Parcel. 3.9 Project. The term "Project" shall mean a gaming casino and related facilities constructed by the Developer on the Site consisting of an approximately square foot facility with gaming, bingo, simulcast wagering on horse races, restaurant, showroom, retail and office facilities together with parking in a range of to _ spaces, to meet the needs of the new Phase 11 casino, hotel and related improvements and to replace the parking spaces serving the existing Spa Hotel & Casino and the Post Office which are lost by reason of the Project, as more particularly shown on the Site Plan and described in the Scope of Development and Conceptual Plans. 3.10. Schedule of Performance. The term "Schedule of Performance" shall be revised to mean the Schedule of Performance attached hereto as Attachment No. 1. Agency's Executive Director is authorized to extend the time for performance of any item in the Schedule of Performance up to a cumulative total of 360 days. 3 50918)1 3.11. Scope of Development The term "Scope of development" is revised to mean the description of the Project attached hereto as Attachment No. 2. 3.12 Second-Acquired Parcels. The term "Second-Acquired Parcels" shall be revised to refer to as Riverside County Assessor Parcel Numbers: 508-031-014 508-031-015 508-031-019 508-031-020 508-031-021 508-041-001 508-041-002 508-041 003 508-041-007 508-041-011 As shown on Exhibit "A" 3.13 Site. The term "Site" includes the Fire Station Parcel, the Vacated Streets-Phase I and 11, the Hirsch Parcel, the Post Office Parcel, the Browne Parcel, the Walter Parcel, the Segundo Parcel and the Second Acquired parcels, as shown in Exhibit "A". 3.14 Site Plan. The term "Site Plan" shall mean the Site Plan attached hereto as Attachment No. 4. 3.15 Spa Hotel Parcel. The term "Spa Hotel Parcel" shall mean the parcel of land improved with the Spa Hotel and related improvements. The Spa Hotel parcel is not part of this Amendment. 3.16 Transfer Corporation. The term "Transfer Corporation" is hereby deleted from the Agreement. 3.17 Vacated Streets — Phase I. The term "Vacated Streets-Phase I" shall refer to that portion of Andreas Road shown cross-hatched on Attachment No. 3A attached hereto and incorporated herein. 3.18 Vacated Streets — Phase 11. The term 'Vacated streets-Phase 11" shall refer to those portions of Andreas Road and Calle Encilia shown cross-hatched on Attachment No. 313, attached hereto and incorporated herein. 4. Fire Station and Prairie Schooner Parcels. 4.1 Prairie Schooner Parcel, Section 4.1 of the Agreement is revised 4 1�• to eliminate the Prairie Schooner Parcel from the Property to be sold or transferred to the Developer under this Agreement, as amended. Section 8.1 of the Agreement is hereby deleted and any reference to the Prairie Schooner Parcel in Sections 2.10, 4.2, 4.4, 4.7, 5.1, 5.2 Article 6, 7.7 and any other provision of the Agreement, is hereby eliminated. 4.2. Lease of Fire Station Parcel. Section 4.1 of the Agreement is hereby deleted. 5. Acquisition of Parcels- 5-1- Developer's Acquisitions of Second-Acquire Parcels. Sections 4.2, 4.3 and 4.4 of the Agreement are hereby deleted in their entirety. Developer may pursue negotiations with the owners of the Second- Acquired Parcels for the acquisition of the Second-Acquired Parcels upon terms and conditions satisfactory to Developer. Agency will not attempt to negotiate for the purchase of the Second-Acquired Parcels except as provided in Section 4.5 of the Agreement, as amended hereby. 5.2A enc 's Acquisition of Second-Acquired Parcels. Section 4,5 is hereby modified to provide that if, after and despite Developer's exercise of reasonable diligence to do so, Developer is unable to acquire one or more of the Second-Acquired Parcels, at Developer's request Agency may, in its sole discretion, consider the adoption of a resolution of necessity to acquire one or more of the Second-Acquired Parcels by exercise of its power of eminent domain; subject to the provisions contained in 4.5 of the Agreement. Agency's actions with respect to considering condemnation actions with respect to exercising its power of eminent domain set forth in Section 4.5 of the Agreement shall be applicable to all of the Second-Acquired Parcels, as such term has been modified herein. In connection with Agency's condemnation actions, Agency may make a pre condemnation offer to acquire the Second-Acquired Parcels at their appraised value and pursuant to the requirements of California condemnation law. Any such offer shall be delivered to Developer prior to its delivery to the condemnee and shall only be delivered to the condemnee after approval by Developer. Notwithstanding the provisions of Section 4.5 of the Agreement, Agency shall not commence condemnation actions with respect to any Second-Acquired Parcel until Developer has satisfied or waived all of its conditions contained in the Agreement and this Amendment to its acquisition of the Parcel in question other than the condition for the delivery of title insurance. Nothing in this Agreement shall prevent the City from acquiring any of the Second Acquired parcels for a public purpose. 5 n�' 509189 1 6. Acquisition of Parcels. 6.1Inability to Acquire Certain Parcels. Section 4.6(a) of the Agreement is hereby deleted in its entirety and replaced with the following: "4.6(a)Agency shall have the right to accept and process proposals submitted to Agency or the City by third parties for development of all or any portion of the Site not then acquired by the Developer or the Agency pursuant to this Agreement. Should Agency receive any such application or inquiry, which Agency intends to consider, Agency shall provide written notice to Developer of the use proposed for any portion of the Site and the Agency's intention to consider such application. Agency agrees at Developer's request, submitted within ten (10) days of receipt of any such notice, to meet with the Developer for a period of up to thirty (30) days to determine if the timing for use of the Site then considered for alternate development may be incorporated within the Project within a time and manner acceptable to Agency in its sole discretion. If so, the Agreement and/or Schedule of Performance shall be revised to require Developer to comply with the negotiated time for acquiring and developing such portion of the Site. If not, the Agreement shall be amended to delete the portion of the Site from the Agreement at such time as the City has granted and approved an alternate use for that portion of the Site." 6.2 Acquisition Costs and Acquisition Fund. Section 4.7(a) of the Agreement is modified to provide that "Acquisition Costs", as defined therein shall include only those costs incurred or paid to third parties by Agency, and not by Developer. Section 4,7(b) is hereby modified to delete the provisions therefrom regarding the Agency contributing any amount to the Acquisition Fund. Agency shall not contribute any portion of the Acquisition Fund and Developer shall be required to contribute the entirety of the Acquisition Fund in an amount necessary to pay all Acquisition Costs. Additionally, the Developer shall pay all acquisition costs and shall contribute all amounts necessary to cover Acquisition Costs within ten (10) days after receipt of written notice from Agency of the estimated Acquisition Costs to be incurred by Agency. Since Agency will not contribute any funds to the Acquisition Fund or for the payment of Acquisition Costs, Section 4.7(d) of the Agreement is hereby deleted. 6.3. Developer's Acquisition of Second-Acquired Parcels. Section 4.8 of the Agreement is hereby deleted and replaced with the following: 6 ;`fir ✓" 509189 1 "In the event Agency acquires the right to purchase the Second- Acquired Parcels, or any of them, either through negotiated purchase under threat or eminent domain, or through the exercise of its power of eminent domain, as provided in Sections 4.5 and 4.7 of the Agreement, Agency shall convey such Second-Acquired Parcels to Developer in consideration of Developer's contribution of the Acquisition Costs. Such transfer shall occur as soon as possible following Agency's acquisition of such Second-Acquired Parcels. Developer shall be responsible for the payment of all closing, escrow and other costs associated with the transfer of the Second-Acquired Parcels to Developer. The Agency's acquisition of the Second-Acquired Parcels, if any, and Agency's transfer of the Second-Acquired Parcels to Developer, shall be performed pursuant to the provisions of Article VII of the Agreement, provided, however, that Developer shall have no conditions to closing the escrow for Developer's acquisition and acceptance of the conveyance for the Second- Acquired Parcels from Agency, except for the conditions set forth in Sections 7.6(c) and (e) of the Agreement." 7_ Vacation of Streets. Section 9.6 of the Agreement is hereby deleted and replaced with the following: "Agency shall formally request the City to initiate proceedings to vacate the Vacated Streets-Phase II within the time specified in the Schedule of Performance. Developer acknowledges that vacation of public streets by the City is a discretionary legislative function subject to adherence to legally mandated procedures including public hearings, and thus any election to actually vacate the Vacated Streets-Phase 11 by the City shall be in the City's sole and absolute discretion. Nothing in this Section shall be deemed to constitute commitment by Agency or City to actually vacate the Vacated Streets-Phase IL" 8. Compensation to the City. The provisions of MOU concerning the Mitigation Fee only shall be superseded by the provisions of this Section and the provisions of the MOU concerning the Mitigation Fee shall hereafter be of no further force or effect. The following provisions shall be added to Sections 10.1 of the Agreement as a new paragraph therein: "The `Mitigation Fee' previously defined in the MOU shall be payable to the Agency pursuant to the provisions of this Section. The mitigation is required in compensation of the added expenses to be incurred by the 7 rL1�1 ioe�s7 i City to provide City services necessitated by the use of the Site for gaming purposes. Agency may enter into a separate agreement with the City for the transfer of the Mitigation Fee to the City, or for any other arrangement determined by Agency and City to mitigate the foregoing impacts. The provisions of this Section are for the direct benefit of the City, and City shall be a third party beneficiary hereof, with the ability to enforce the provisions of this Section. The Mitigation Fee shall be payable by Developer to Agency commencing on the first anniversary of the completion of Phase I of the Project and on each anniversary thereof (an Anniversary Date") in the amounts set forth below. Year Amount Year 1 $100,000 Year 2 $200,000 Year 3 $225,000 Year 4 $250,000 Year 5 $275,000 Year 6-10 $300,000 per year For purposes of determining the Anniversary Date, completion of Phase I of the Project shall be deemed to have occurred upon opening of the Casino for business which occurred on November 17, 2003. After the tenth (1&) year following the completion of Phase I of the project, City, Agency and Developer shall meet and negotiate in good faith the amount of the annual Mitigation Fee payable to the Agency or City subsequent to the tenth (10ffi) anniversary of the completion of Phase 1. Upon agreement between the parties, the annual Mitigation Fee shall be adjusted to the amount agreed upon between the parties. " 9. Agency's Right of Repurchase. Section 11.6 of the Agreement is hereby deleted in its entirety. 10.Legal Fees on Legal Challenges. Developer shall continue to pay the cost to defend the City, the Agency, and their respective officials and agents in all litigation which relates to approvals issued or proposed to be issued by the City or Agency prior to its execution of this Amendment in connection with the Project ("Pre-Amendment Actions"), including, without limitation, any challenges to the Environmental Assessment. Developer shall pay up to an aggregate of $25,000 to defend the City, the Agency and their respective officials and agents in any litigation hereafter filed which relates to an approval issued or proposed to be issued by the City or Agency after execution of this Amendment in connection with the Project ("Post-Amendment Actions"). In the event it appears that the costs to defend any Post Amendment Actions will exceed $25,000.00, Developer, Agency, and the City will meet and confer on whether one or more g it `r 15 sav�x9i interested parties is willing to continue to fund the defense of any Post- Amendment Actions. If neither Developer nor Agency is willing to pay all costs to defend any post Amendment Action in excess of $25,000 then the City and/or Agency can elect to stop funding the defense of such action and stipulate to all or any part of the prayer sought by plaintiffs in such action. The MOU is hereby amended to the extent it is inconsistent with the foregoing. 11.No other Modification. Except as provided in this Amendment, the provision of the Agreement shall remain unmodified and in full force and effect- 9 i09189 I IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the date and year first above written. THE COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS By: Date: ATTEST: Assistant Secretary APPROVED AS TO FORM: Douglas C. Holland, Esq. Agency Counsel THE AGUA CALIENTE BAND OF CAHUILLA INDIANS By: Chairman, Tribal Council ATTEST: Tribal Secretary APPROVED AS TO FORM: Art Bunce Tribal Attorney 10 51)9189 1 CITY OF PALM SPRINGS NOTICE OF JOINT PUBLIC HEARING CITY COUNCIL COMMUNITY REDEVELOPMENT AGENCY NOTICE IS HEREBY GIVEN, that the Palm Springs City Council and Community Redevelopment Agency will hold a Public Hearing in the City Council Chamber, City Hall, 3200 Tahquitz Canyon Way, Palm Springs, California 92262, beginning at 6:00 p.m., Wednesday, October 18, 2006, to consider the following: Third Amendment to a Disposition and Development Agreement with the Agua Caliente Band of Cahuilla Indians regarding the status of properties in proximity to the Spa Resort Casino and compensation to the City The Community Redevelopment Agency of the City of Palm Springs ("Agency") proposes to amend a Disposition and Development Agreement ("DAD") with the Agua Caliente Band of Cahuilla Indians ("Developer"), To approve this Third Amendment, the Community Redevelopment Agency is required to conduct a Joint Public Hearing to receive public input on the matter. The nature of the Third Amendment is that the Agency and Tribe agree to clean up certain defined terms from the original 1994 Agreement, as amended, and reprioritize the acquisition of certain parcels identified in the amended DAD. Both parties also agree to amend the schedule of compensation to the City by the Tribe- All interested persons are invited to attend the Public Hearing and express opinions on the item listed above. If you challenge the nature of the proposed action in court, you may be limited to raising only those issues you or someone else raised at the Public Hearing described in this notice, or in written correspondence delivered to the City Clerk, at or prior to the Public Hearing: James Thompson, City Clerk 3200 E. Tahquitz Canyon Way Palm Springs, CA 92263 Members of the public may view this document and all referenced documents in the Community Redevelopment Department, City Hall, and submit written comments to the Community Redevelopment Agency at or prior to the Community Redevelopment Agency Meeting at or prior to the public hearing described in this notice. For further information please contact John Raymond at (760) 322-8321. Further information, including a copy of the Third Amendment and Resolution, prepared in accordance with Health and Safety Code Section 33433, is available-6 the Office of the City Clerk- _ arnes Thompson, City Cte < _ - / ity of Palm Springs, Califomia Posted September 29, 2006 v Published October and 11, 2006q PROOF OF PUBLICATION This is space for County Clerks Filing Stump (2015.5.C.C.P) STATE OF CALIFORNIA County of Riverside I am a citizen of the United States and a resident of Proof of Publication of r the County aforesaid; I am over the age of eighteen years,and not a party to or interested in the above-entitled matter. I am the principal clerk of a printer of the,DESERT SUN PUBLISHING COMPANY a newspaper of general circulation, No. 3154 er p p g CITY OF PALM SPRINGS printed and published in the city of Palm Springs, NOTICE OF JOINT PUBLIC HEARING County of Riverside,and which newspaper has been CITY COUNCIL COMMUNITY REDEVELOPMENT AGENCY adjudged a newspaper of general circulation by the I NOTICE IS HEREBY GIVEN, that the Palm Superior Court of the County of Riverside,Slate of Springs City Council and Community gRedevolop- California under the date of"March 24, 1988.Case Count lgChamber,City Hall. 3200aTa cIulrieCaunn- Number 191236;that the notice,of which the yen Wag; Palm Springs, California 92262. be In- ning at 6 00 p.m., Wednesday, October 1a,2f7o6, annexed i5 fl printed copy(set in type not smaller to consider tie fallowing: than non pariel,has been published in each regular Third Amendment to a Disposition and and entire issue of said an newspaper and not in Davelopine ionr rlt Agreen with the Y Agua Callonts Band of Cahuilla Indians supplement thereof on the following dates,to Wit: regarding the status of properties In proximity to the Spa Resort Casino and compensation to the City October 4", 11",2006 The Community Redevelopment Agency of the City of Palm Spprings ('Agency") proposes to -"......--------------"•"`-------------""`"-- amend a OlSpositIon and Development Agreement 'DAD I with the Aqua Caliunte Band of Cahuilla ndians ("Developer). To approve this Third __,........ ____- _ Amendmenl, the Community Redevelop Kent Agency is required to conduct a Joint Public All in the year 2006 Hearing to receive public input en the matter, The nature of the Third Amendment is that She I certifyor declare under penalty of perjury that the Agency and Tribe agree to clean up certain de- ( 1 Y p J y tined terms from the onginal 1994 Agreement, as nti foregoing Is true and correct. amended, and reprleze the acquisition of cer- tain portals Identified In mu amended DAD. Both parlios also agree to amend the Schedule el com- Dated at Palm Springs,California this—I I --day pansetlon to the City by the Tribe. All- nteres-tad-yeesons-are.invimd:to attend-be Public-ldoaring end express opinions oh'the Itern -of ti^-•--O her--,.._=-s-_..__—__—_—_,2006 Ilstcd above. If you challenge thi, nature of the t proposed action In court you may be limited to - q - raising only those issues you or someone else % raised at the Public Hearing described in This qe- v -- ncu,or In written carrespondence delivered To the - L. / City Clerk, at or prior to the Public Hearing: _ James Thompson City Clerk -$7p -""'^--"4---- ------ 3200 E.Tahquitz 6anyon Way y.� i'I_a M� _`Ur `nalurr, Palnl Springs, CA 92263 ' Members of the public may vlvw this document and oil referenced documents in the Community Redevelopment Department,City Hall,and^ubmit C-=:- written comments to the Community Redevelop- ment Agency at or prior to the Community Rene, - velopment Agents Meeting at or prior to the pup- ' tic hearing described in this notice. For furiller in- formation' please contact John Raymond at (760) N 322-8321. Further Information, including q copy at the Third Amendment and Resolution, prepared in accar- darica with Health and Safety Code Section Ire 33433, s available In the Office of the Clty Clerk. James Thamp-wri, City Clark City of Pslm Springs, California I�J Published: 10/4, 10/11/2000 4 V