CONTACT: Amy Blaisdell
Chief Communications Officer
City of Palm Springs
(760) 323-8250

The Palm Springs City Council is announcing today that the former residents of Section 14 have accepted the City’s final offer of $5.9 million -- and will discuss the settlement offer which also includes moving forward with substantial housing and economic development initiatives to benefit Palm Springs residents. The initiatives include a range of investments that will strengthen the city’s commitment to equitable growth, with a significant emphasis on housing accessibility and business support for marginalized communities.

In April, the City Council approved a comprehensive settlement package aimed at addressing historical injustices for the former residents of Section 14 and their descendants. As part of that settlement, the council approved an initial cash settlement of $4.3 million, which was then increased to $5.9 million last Thursday. This increase reflects updated information that an estimated 197 homes were involved in the original abatements, up from the previous 145 homes identified. 

The resolution of the claim includes:

• $5.91 Million Cash Settlement: Compensation based on current valuations of personal property losses, to be distributed to verified former residents of Section 14 and descendants.
• $20 Million in Housing Programs: Over ten years, from funds already set aside for housing opportunities, these programs aim to provide affordable homeownership for first-time buyers and establish a Community Land Trust for low-income residents, with priority access for the former residents of Section 14 and descendants.
• $1 Million for Small Business Support: A partnership with the Caravanserai Project will provide grants and low-interest loans to promote economic empowerment for disadvantaged groups, with dedicated outreach to the former residents of Section 14 and descendants.
• Cultural Initiatives to Honor Section 14’s Legacy: Plans for a Section 14 memorial monument and naming rights for future public parks when they come online.

"The City Council is deeply gratified that that the former residents of Section 14 have agreed to accept what we believe is a fair and just settlement offer,” said Mayor Jeffrey Bernstein. “The City Council has always respected the historical significance of Section 14 and with this resolution of the claim which includes $20 million in housing programs and $1 million in business support we are taking bold and important action that will create lasting benefits for our entire community while providing programs that prioritize support for the former residents of Section 14."

The Palm Springs City Council will discuss and vote on the settlement offer in detail at its upcoming City Council meeting on Thursday, Nov. 14.

Thursday’s meeting will be held at 5:30 p.m. in the Council Chamber at Palm Springs City Hall, 3200 E. Tahquitz Canyon Way. Residents and stakeholders are invited to attend and public comment is encouraged. In addition, the meeting will be available to watch live online at palmspringsca.gov, on You Tube, or on Palm Springs Community Television Channel 17.

On Friday, Nov. 8, 2024, the City of Palm Springs released key findings from the "Section 14 Historical Context Study," a comprehensive report prepared by Southern California consultant Architectural Resources Group (ARG) at the request of the Palm Springs City Council. ARG was specifically selected by the City due to their extensive experience overseeing similar successful studies with other municipalities including Los Angeles, Pasadena, West Hollywood, and Culver City.

The study represents a significant step in addressing and understanding the historical impact of actions that led to the displacement of Section 14 residents during the mid-20th century.

To view the Historical Context Study and learn more about the history and facts surrounding Section 14, residents and stakeholders are invited to visit EngagePalmSprings.com.