Palm Springs Promenade, LLC v. Department of Industrial Relations
Jun 13, 2025OUTCOME: Court of Appeal affirmed trial court decision, as requested
"As an issue of first impression, we must decide whether a construction project is a 'municipal affair' of a charter city pursuant to Section 5(a) if the charter city contributes local funds for the ... construction of public improvements within a private development—a project in which the developer selects the contractors, then itself enters into construction contracts that pay workers less than prevailing wages; and postconstruction, owns and manages the bulk of the development. We hold that where the charter city contributes money to a private development project, that undertaking does not necessarily transform the project into a municipal affair."
