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City Council - June 16, 2026

Published: Jun 16, 2026

Community DevelopmentInfrastructure

Desert Hot Springs Signals Intent to Form Enhanced Infrastructure Financing District (EIFD)

The City Council adopted a resolution of intent to form an Enhanced Infrastructure Financing District (EIFD) and appointed three council members and one alternate to the governing Public Financing Authority. This initiative aims to fund necessary infrastructure improvements in the downtown and freeway corridor areas by earmarking future property tax revenue growth within designated districts for reinvestment. The EIFD can potentially generate up to $190 million in present value funding. The resolution is a non-binding signal of the city's interest in proceeding, with potential next steps including approaching the County of Riverside for a partnership. The council views this as an innovative opportunity for long-term growth and success without impacting the general fund.

Zoning And Land UseInfrastructure

Desert Hot Springs Implements Urgency Moratorium on Data Center Development

The City Council considered and adopted an urgency ordinance establishing a temporary moratorium on the issuance of any license, permit, or entitlement for the establishment of data centers or similar high-intensity computing uses within the city. This decision followed extensive public comment, with a strong consensus from residents opposing data centers due to concerns about water consumption, environmental impact, heat generation, increased utility costs, and potential negative effects on the city's quality of life. The council unanimously voted to approve the moratorium, which will last for 45 days and can be extended, allowing time for further study and policy development regarding these facilities.

Zoning And Land UseCommercial

Desert Hot Springs Extends Moratorium on New Dollar Stores

The City Council voted to extend an emergency interim ordinance establishing a moratorium on new dollar stores within the city's commercial districts for an additional six months. This action follows resident concerns regarding the need for higher-quality retail options and potential negative impacts of dollar stores, such as litter, loitering, and aesthetic concerns. The moratorium aligns with the city's strategic plan to prioritize economic development and beautification. The original ordinance was adopted on May 5th, 2026, and the extension aims to provide staff with more time to research regulatory options and present recommendations. The city currently has approximately five dollar store-type businesses.

Zoning And Land UseCommercial

Desert Hot Springs Extends Moratorium on New Dollar Stores

The City Council voted to extend the emergency interim ordinance that imposes a moratorium on the issuance of licenses, permits, or entitlements for new dollar stores within commercial districts. This moratorium, originally adopted on May 5th, 2026, is intended to allow for further study of potential secondary impacts such as litter, loitering, graffiti, aesthetic concerns, and the long-term economic vitality of commercial corridors. The extension for an additional six months aligns with the city's strategic plan to prioritize higher-quality retail and service options. Staff reported that Desert Hot Springs currently has approximately five dollar store-type businesses serving its population, and the moratorium is seen as a measure to evaluate these impacts and explore regulatory options. The extension passed with a four-fifths vote.

Budget & FinanceInfrastructure

Desert Hot Springs Approves Assessments for Landscaping and Lighting Maintenance, General Fund Subsidy Required

The City Council approved the levy and collection of assessments for Landscaping and Lighting Maintenance District Number One for fiscal year 2026-2027. This assessment will fund the maintenance and repair of the city's parks and landscaped areas. However, the collected assessment is insufficient to cover the estimated $1.8 million in costs for the district, necessitating a subsidy of almost $1.3 million from the general fund. The council acknowledged the ongoing funding gap and the need for a long-term solution, potentially involving voter approval. The motion to approve the levy passed unanimously.

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