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Desert Local News - Index

Desert Local News - Desert Local News Print at Home Edition 11 March 26 - Index

DHS City watch
PALMWOOD
PAYS UP
DHS: DLNEWS Staff Writer Desert Hot Springs suffered further indig
Golf Pro Phil Mickelson’s promised Palmnity as leaders of neighbor cities and county
wood development project has been a costly officials observed the city slowly sink to new
predicament for Desert Hot Springs. The city levels of financial insecurity. “Our city became
has spent nearly a quarter million dollars on the laughingstock of the whole valley,” said
legal fees so far. This week the city received a Raven Skye, a local homeowner.
check for $100,000, bringing the bill current.
Residents wonder why the city is paying
Many northwest residents bought new attorney fees on behalf of a developer. There
homes near to Palmwood with the promise is a concern regarding favoritism of guy at the
of nearby shopping. One shopping center sits expense of all. “Why isn’t the developer paying
half complete with no financing to finish. This for this himself?” wondered Skye, a resident of
is happening all over America, not just Desert DHS since 1993.
Hot Springs.
“That’s all about to change,” said City
Palmwood laid claim to opening up two Manager, Rick Daniels. “What happened in
world class 18-hole golf courses, a hotel, resi- the past put the city in a tight spot. I’m not letdential
development and an outlet mall to rival ting that happen again.”
Cabizon. Bare land and empty promises only
“To date for the Palmwood litigation, which
remain. However, there is hope on the horizon includes two separate lawsuits, the City has
as a new group of owners takes over and pays spent $221,796.54,” writes Cynthia Lugo,
the bills.
DHS City Clerk.
The expense occurred when the city balked
Daniels said, “All that has been paid up
at joining with all the cities in the Coachella with the check for $100,000. The problem is
Valley and the County, the State and Federal that the past Council had a lax attitude which
agencies in approving an environmental protec- did not make the developer pay money upfront
tion plan (MSHCP, the Multi Species Habitat for attorney fees.”
Conservation Plan) The past City Council of
Change is significant. “Just like every other
DHS, under the leadership of Mayor Weyuker, developer we’re asking for money in advance
opted out… primarily due to the Palmwood to pay for our costs. We’ve asked the new own-
development. This divided the public.
ers to pay $25,000 before the court date. That’s
Palmwood tried but failed to annex into what we anticipate it’s going to cost. I don’t
Desert Hot Springs but remains in the sphere of want the city on the hook for money we can’t
influence. The previous city council focused on collect,” explained Daniels.
annexation west due to a few developers’ inter-
Mr. Crosby, was the original spokesman
ests instead of south to where the big money is and partner for Palmwood who filed for bank-
on the freeway.
ruptcy in Nevada where the company was in-
Palmwood promised Desert Hot Springs to corporated. The investors held a shareholders
repay the city legal bills for a lawsuit by the meeting and Crosby exited. Mr. Brecker, from
Sierra Club and the Center for Biological Minnesotta is now the head of the company.
Diversity against Palmwood and the city of
Desert Hot Springs had reached a “do or
DHS over development inconsistent with the die” situation with Palmwood. “We told them
MSHCP. That lawsuit is scheduled for trial in they had to pay what is owed to the city by a
Indio in May.
certain deadline or we would be forced to re-
The Coachella Valley Association of Govvoke their permits,” said Daniels. “Now, they
erments (CVAG) is the lead agency for the have a chance to make something happen.”
MSCHP. It cost CVAG 1.3 million dollars to
“We all hope for the economy to improve,
write DHS out of the plan. Development costs but that project may take decades before it’s
soared for small to mid size builders who now workable,” says Dan Gibbons local realtor and
had to independently deal with environmental former President of the DHS Chamber of Com-
impact reports, the Sierra Club and other bumerce. It’s great to be optimistic but really, no
reaucratic nightmares.
one really knows. I’m hopeful it gets built.”
Windermere
Windermere
Lic # 0807910
Debbie McGowan
REALTOR® Associate
Business (760) 329-3130
Fax (760) 329-2550
Cell (760) 774-3557
E-mail debbmcgowan@aol.com
Windermere Real Estate Coachella Valley
66337 Pierson Boulevard
Desert Hot Springs, California 92240
www.windermerecoachellavalley.com
Jessica Gilbert
REALTOR® Associate
Cell (760) 774-3557
Business (760) 329-3130
Fax (760) 329-2550
E-mail housesforu@aol.com
Web www.jessicagilbert.net
Windermere Real Estate Coachella Valley
66337 Pierson Boulevard
Desert Hot Springs, California 92240
www.windermerecoachellavalley.com
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