Palm Springs' economy depends heavily on seasonal tourism, creating revenue volatility and limiting year-round employment opportunities. While signature events like Pride and Modernism Week draw significant visitor turnout, the city lacked a coordinated strategy to capture broader economic benefits or reduce its exposure to cyclical downturns. Infrastructure constraints—including Convention Center capacity and regional airport connectivity—limited growth potential. Meanwhile, rising housing costs threatened workforce stability in hospitality and service sectors. The city needed a comprehensive economic development strategy to diversify beyond seasonal tourism while strengthening the visitor economy that remained central to its fiscal health and identity.

CVL Economics led the development of Palm Springs' inaugural Economic Development Strategic Plan through extensive stakeholder engagement spanning residents, businesses, and visitors at major events. The team evaluated tourism's fiscal contributions to establish baseline economic dependencies, then analyzed strategic opportunities including Convention Center District enhancements and airport expansion scenarios to unlock new visitor markets. Policy assessments identified permitting friction limiting hospitality and entertainment investment. The resulting framework delivered over eighty actionable recommendations across business climate improvements, emerging industry cluster development, workforce housing solutions, and regulatory reforms—creating a diversification roadmap that reinforced tourism and entertainment assets while reducing seasonal vulnerability.