Arroyo Grande City Council
February 11, 2025

ORDINANCE NO.

PAGE 32
consultant of the City’s choosing. The cost of the third-party peer review shall be the responsibility of the applicant.

16.70.110 Denial without prejudice due to failure to respond to notice(s) of incompleteness.

To promote efficient review and timely decisions, any application governed under this chapter regardless of type may be denied without prejudice by the Community Development Director when the applicant fails to tender a substantive response to the city within 120 calendar days after the Community Development Director deems the application incomplete in a written notice to the applicant. The Community Development Director, in his or her discretion, may grant a written extension for up to an additional 30 calendar days when the applicant submits a written request prior to the one hundred twentieth day that shows good cause to grant the extension. Good cause for an extension shall include, without limitation, delays due to circumstances outside the applicant’s reasonable control.

16.70.120 Nonconforming facilities.

Nothing in this chapter shall validate any illegal or unpermitted wireless facilities installed prior to the effective date of this chapter. Any wireless telecommunications facility existing before the effective date of this chapter which is nonconforming to the provisions of this chapter may continue to be used. Such a facility may be operated, repaired and maintained but shall not be enlarged, expanded, relocated or modified to increase the discrepancy between the existing conditions and the requirements of this chapter, unless otherwise permitted by federal law.

16.70.130 Revocation.

A. Permittees shall fully comply with all conditions related to any permit or approval granted under this chapter or any predecessors to this chapter. Failure to comply with any condition of approval or maintenance of the facility in a matter that creates a public nuisance or otherwise causes jeopardy to the public health, welfare or safety shall constitute grounds for revocation. If such a violation is not remedied within a reasonable period, as determined by the City in its sole discretion, following written notice and an opportunity to cure, the City may schedule a public hearing before the Planning Commission to consider revocation of the permit. The Planning Commission revocation action may be appealed to the City Council pursuant Section 16.12.150.

1. If the permit is revoked pursuant to this section, the permittee shall remove its facility at its own expense and shall repair and restore the site to the condition that existed prior to the facility’s installation or as required by the City within 90 days of revocation in accordance with applicable health and safety requirements.

ORDINANCE NO.

PAGE 33
The permittee shall be responsible for obtaining all necessary permits for the facility’s removal and site restoration.

2. At any time after 90 days following permit revocation, the City may require the facility to be removed and restoration of the premises as the City deems appropriate. The City may, but shall not be required to, store the removed facility (or any part thereof). The facility permittee shall be liable for the entire cost of such removal, repair, restoration, and storage. The City may, in lieu of storing the removed facility, convert it to the City’s use, sell it, or dispose of it in any manner deemed appropriate by the City.

Item 10.a.

MEMORANDUM
TO: City Council
FROM: Brian Pedrotti, Director of Community Development BY: Andrew Perez, Planning Manager
SUBJECT: Final Approval of Community Development Block Grant Projects for Year 2025
DATE: February 11, 2025
RECOMMENDATION:
1) Adopt a Resolution Recommending to the County Board of Supervisors Approval of Community Development Block Grant (CDBG) Projects for Year 2025; and 2) Find that the preliminary approval of projects is exempt from CEQA, pursuant to CEQA Guidelines Section 15061 subd. (b)(3).

Table 1: Recommended 2025 CDBG Allocations
Project and Category
2024
Allocation
2025
Requested
Proposed
2025
Allocation
Public Services (15% Cap - $9,638)
5 Cities Homeless Coalition $12,283 $9,600 $9,600
Subtotal $12,283 $9,600 $9,600
Public Facilities (No Cap)
Curb Ramp and Sidewalk Improvement Project $56,749 $46,302 $46,302 Subtotal $56,749 $46,302 $46,302
Economic Development (No Cap)
Subtotal $0 $0 $0
Area Benefit (30% Cap - $19,277)
Subtotal $0 $0 $0
Housing Rehabilitation (No Cap)

Item 10.a.

City Council
Final Approval of Community Development Block Grant Projects for Year 2025 February 11, 2025

Project and Category
2024
Allocation
2025
Requested
Proposed
2025
Allocation
$0 $0 $0
Administration (20% Cap - $12,851)
City Administration $0 $0 0
County Administration $10,646 $8,353 $8,353
Subtotal $10,646 $8,353 $8,353
Total $64,255
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:

The County of San Luis Obispo (the “County”) has estimated that $64,255 in CDBG funds will be available to the City in the Fall of 2025. This represents a decrease of $15,423 below last year’s allocation. The County will help administer the CDBG program for the City, which will reduce City staff time involved. County staff will be paid for these administrative services through the CDBG program funds allocated to the City. Pursuant to the Cooperation Agreement between the County and the City (Attachment 2), 13% of the total available CDBG program funds, or $8,353, will be deducted by the County to meet its obligations under the terms of the agreement for administrative costs. The City will absorb any administrative costs associated with administering CDBG funds to provide the greatest program benefits with this funding.

BACKGROUND:

The City Council approved a Cooperation Agreement with the County on June 16, 20231, for the joint participation in the CDBG Program for Fiscal Years 2024 through 2026 (Attachment 2). The City, as a participant in the Housing and Urban Development (HUD) designated Urban County program, receives an annual formula-based allocation of CDBG funds. These funds are available for a variety of Community Development activities as long as the activities meet at least one of three national objectives, including:

1. Benefit low- and moderate-income persons;

2. Aid in the prevention or elimination of slums or blight; or

3. Address urgent community development needs that pose a serious or immediate threat to public health or welfare.

The County released a Notice of Funding Availability on September 3, 2024, and notified the public that the County and participating cities would accept applications for funding until October 6, 2024. 5 Cities Homeless Coalition (5CHC) was the only organization that

1https://pub-arroyogrande.escribemeetings.com/Meeting.aspx?Id=04ae3de7-4a11-4994-b194- a473cb991e5d&lang=English&Agenda=Agenda&Item=38&Tab=attachments

Item 10.a.

City Council
Final Approval of Community Development Block Grant Projects for Year 2025 February 11, 2025

submitted an application requesting funding from the City’s allocation of CDBG funds (Attachment 3). The request is described in greater detail below.

Staff’s preliminary funding recommendations were presented to the City Council at its meeting November 26, 20242. The Council was supportive of the preliminary recommendations and did not request any changes, and therefore, no changes have been made to the recommendations since that meeting.

The Cooperation Agreement between the County and the City provides the City with discretion regarding the allocation of funds. Unless the City’s recommendation to the County for funding is in conflict with CDBG regulations, the County will approve the recommendation. The County Board of Supervisors will make its final decision for funding priority in April 2025 with the approval of the 2025 Action Plan. HUD requires that each entitlement jurisdiction develop and implement an annual Action Plan that establishes the funding priorities that will best serve the community.

ANALYSIS OF ISSUES:

Public Services
As stated in the Cooperative Agreement, only activities that can either individually or cumulatively receive more than $8,000 in CDBG funding will be considered due to the staff cost of processing such awards in compliance with federal requirements. The combination of strict CDBG regulations and reporting and availability of funding opportunities provided to non-profit organizations serving the Arroyo Grande community through the City’s Community Service Grant Program (CSGP) have resulted in very few applications requesting funding from this category.

Only one application was received requesting funding from this category for this program year. 5CHC’s application seeks funding to bolster its San Luis Obispo County Rapid ReHousing/Homeless Prevention Program. This program provides financial assistance to low-income households and individuals facing homelessness to quickly identify and resolve barriers to gaining or maintaining housing. Financial assistance includes emergency rental assistance to households that would otherwise be facing homelessness, deposit assistance, and case management. The goal of the program is to help families avoid homelessness and remain in their homes while simultaneously identifying options for secure, long-term, and stable housing that they can afford to retain.

The program objectives align with the San Luis Obispo Countywide Plan to Address Homelessness. The total amount of CDBG funds requested by 5CHC from local agencies is provided in Table 2.

Table 2: 5CHC Funding Requests by Agency
Agency Amount Requested

2https://pub-arroyogrande.escribemeetings.com/Meeting.aspx?Id=8cf6f9db-0e05-48f6-93b1- 44a4035fe6c3&lang=English&Agenda=Agenda&Item=58&Tab=attachments

Item 10.a.

City Council
Final Approval of Community Development Block Grant Projects for Year 2025 February 11, 2025

City of Arroyo Grande $9,600
City of Atascadero $3,600
City of Morro Bay $3,000
City of Paso Robles $17,150
City of Pismo Beach $5,000
City of San Luis Obispo $9,920
County of San Luis Obispo $13,000
Total $61,270
In previous years, the City Council has directed staff to prioritize the City’s available public service allocation of CDBG funding to support organizations and programs for homeless services. The request from 5CHC aligns with the San Luis Obispo Countywide Plan to Address Homelessness, and therefore, staff recommends funding 5CHC’s request of 2025 funds for $9,600 to support its services for individuals facing homelessness.

Public Facilities
As no additional requests for other project categories were received, staff recommends allocating the remaining available funding from CDBG allocation to the Public Facilities category for the Curb Ramp and Sidewalk Improvement project. The total funding recommendation is $46,302, which is the remaining funding available after fulfilling the request from 5CHC and the County Administration required by the Cooperative Agreement. The project will improve curb ramps to ADA standards adjacent to streets being paved in conjunction with the annual Pavement Management Program. The use of CDBG funding furthers the objectives of the federal program, eliminating blight and addressing urgent community needs, while also allowing for the most efficient use of the City’s Pavement Management Program budget.

The project manager of the Pavement Management Program will also administer and perform the required reporting for CDBG funds, which allows the City’s portion of the administrative funds to increase the funding for the Public Facilities category. This is consistent with the use of 2024 CDBG funds.

Administration
Administration funds are limited to a 20% cap of the total CDBG funding available.

Pursuant to the Cooperation Agreement between the County and the City, 13% of the total available CDBG funds, or $8,353, will be deducted by the County to meet its obligations under the terms of the agreement for administrative costs. The remaining $4,498 from this category, is recommended to be allocated to the Curb and Ramp and Sidewalk Improvement Project.

ALTERNATIVES:

The following alternatives are provided for the Council’s consideration:

1. Adopt a Resolution approving final funding recommendations for the CDBG projects for the Year 2025, as proposed in Table 1 on page 2 of this staff report;

Item 10.a.

City Council
Final Approval of Community Development Block Grant Projects for Year 2025 February 11, 2025

2. Modify, and adopt the Resolution approving final funding recommendations for the CDBG programs for the Year 2025; or

3. Provide other direction to staff.

ADVANTAGES:

The recommended 2025 CDBG allocations fund important City priorities and are consistent with the Cooperation Agreement between the County and City. The City’s Community Service Grant Program provides an additional funding opportunity, separate from CDBG, for local public service programs that address unmet needs in the community.

DISADVANTAGES:

There have been no disadvantages identified at this time.

ENVIRONMENTAL REVIEW:

The approval of allocations from the 2025 CDBG program is exempt from CEQA on the basis that it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. (State CEQA Guidelines, § 15061, subd. (b)(3).) The allocation of funding itself will have no effect on the environment and environmental review will be conducted for each of the projects funded through this program, if necessary.

PUBLIC NOTIFICATION AND COMMENTS:

The Agenda was posted at City Hall and on the City’s website in accordance with Government Code Section 54954.2. A public hearing notice was published in the New Times on Thursday, January 30, 2025.

ATTACHMENTS:

1. Proposed Resolution

2. Cooperation Agreement

3. 5CHC Application

ATTACHMENT 1
RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ARROYO GRANDE RECOMMENDING TO THE COUNTY

BOARD OF SUPERVISORS APPROVAL OF COMMUNITY

DEVELOPMENT BLOCK GRANT (CDBG) PROJECTS FOR
YEAR 2025
WHEREAS, via a Cooperative Agreement with the County of San Luis Obispo (hereinafter referred to as “County”) executed by the City of Arroyo Grande (“City”) on June 16, 2023, the City agreed to become a participant for a period of three years (2024- 2026) with the County and other cities therein as an “Urban County” under the Federal Department of Housing and Urban Development (hereinafter referred to as “HUD”) Community Development Block Grant (CDBG) program; and
WHEREAS, the City receives CDBG funds through the County; and WHEREAS, the County administers the CDBG program, including preparation, adoption, and annual updates to a Consolidated Plan that are approved by HUD following adoption by the County; and
WHEREAS, under the Cooperative Agreement, the City retains the authority to determine which projects are to be funded with its allotment of CDBG funds; and WHEREAS, the City expects to receive $64,255 in CDBG funds in 2025; and WHEREAS, on September 3, 2024, the County released a “Notice of Funding Availability” for projects to be funded by the 2025 CDBG programs, which provided that proposals were to be submitted by October 6, 2024; and
WHEREAS, the City Council reviews applications and recommends to the County Board of Supervisors applications to be included as CDBG projects for funding in the 2025 Action Plan, which establishes the funding priorities for the entitlement jurisdiction; and WHEREAS, at its meeting on November 26, 2024, the City Council considered preliminarily funding recommendations for CDBG projects for the Program Year 2025; and
WHEREAS, on February 11, 2025, the City Council considered the City’s 2025 CDBG projects for final approval.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Arroyo Grande hereby recommends that the Board of Supervisors for the County of San Luis Obispo adopt the 2025 Action Plan, including the programs listed in Exhibit “A” attached hereto and incorporated herein by this reference, to be funded with the City’s allocation of 2025 CDBG funds.

RESOLUTION NO.

PAGE 2
On motion of Council Member ______________, seconded by Council Member ___________, and on the following roll call vote, to wit:

AYES:

NOES:

ABSENT:
the foregoing Resolution was passed and adopted this 11 th day of February, 2025.

RESOLUTION NO.

PAGE 3

CAREN RAY RUSSOM, MAYOR
ATTEST:

JESSICA MATSON, CITY CLERK
APPROVED AS TO CONTENT:
_____________________________________

MATTHEW DOWNING, CITY MANAGER
APPROVED AS TO FORM:

ISAAC ROSEN, CITY ATTORNEY

RESOLUTION NO.

PAGE 4
EXHIBIT “A”
ALLOCATION OF PROGRAM YEAR 2025 COMMUNITY DEVELOPMENT BLOCK

GRANT (CDBG) FUNDS
Project and Category
2024
Allocation
2025
Requested
Proposed
2025
Allocation
Public Services (15% Cap - $9,638)
5 Cities Homeless Coalition $12,283 $9,600 $9,600
Subtotal $12,283 $9,600 $9,600
Public Facilities (No Cap)
Curb Ramp and Sidewalk Improvement
Project $56,749 $46,302 $46,302
Subtotal $56,749 $46,302 $46,302
Economic Development (No Cap)
Subtotal $0 $0 $0
Area Benefit (30% Cap - $19,277)
Subtotal $0 $0 $0
Housing Rehabilitation (No Cap)
$0 $0 $0
Administration (20% Cap - $12,851)
City Administration $0 $0 0
County Administration $10,646 $8,353 $8,353
Subtotal $10,646 $8,353 $8,353
Total $64,255

,,._g

A COOPERATION AGREEMENT BETWEEN THE COUNTY OF SAN LUIS

OBISPO AND THE CITY OF ARROYO GRANDE FOR JOINT PARTICIPATION

IN THE COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM, THE

HOME INVESTMENT PARTNERSHIPS PROGRAM, AND THE EMERGENCY SOLUTIONS GRANT PROGRAM FOR FISCAL YEARS 2024 THROUGH 2026 THIS COOPERATION AGREEMENT is made and entered into on the date and year last written below, by and between the County of San Luis Obispo, a political subdivision of the State of California, hereinafter called "County," and the City of Arroyo Grande, a municipal corporation of the State of California, located in the County of San Luis Obispo, hereinafter called "City;" jointly referred to as "Parties".

WITNESS ETH
WHEREAS, in 1974, the U.S. Congress enacted, and the President signed a law entitled, The Housing and Community Development Act of 1974, herein called the "Act." The Act is omnibus legislation relating to federal involvement in a wide range of housing and community development activities and contains eight separate titles; and
WHEREAS, Title I of the Act is entitled "Community Development" and governs programs for housing and community development within metropolitan cities and urban counties or communities by providing financial assistance annually for area-wide plans and for housing, public services, and public works programs; and
WHEREAS, the Community Development Block Grant Program
(hereinafter referred to as "CDBG"), the HOME Investment Partnerships Act Program (hereinafter referred to as "HOME"), and the Emergency Solutions Grant Program (hereinafter referred to as "ESG") are consolidated under Title I of the Act; and
WHEREAS, the County has requested of the federal Department of Housing and Urban Development, hereinafter referred to as "HUD," designate the County as an "urban county;" and
WHEREAS, the County needs to requalify as an urban county and will be eligible to receive CDBG funds provided that the County's entitled cities 1 of 15
ATTACHMENT 2

Printed By: Nathan Lenski on 10/9/2024 1 of 16
Overview
Completed by [email protected] on 10/3/2024 3:55 PM Case Id: 30246
Name: 5Cities Homeless Coalition - 2025
Address: 100 S 4TH ST, GROVER BEACH, CA 93433
Overview
Please provide the following information.

County of San Luis
Obispo
Public Service Grants
Program
Department of Social Services
Adult and Homeless Services Branch
PO Box 8119
San Luis Obispo, CA 93403-8119
[email protected]
For each Public Services (including Minor Home Repair) funding source, an overview is available that includes program description, federal award information, eligible applicants, eligible activities, eligible beneficiaries, and reporting in the County of San Luis Obispo Notice of Funding Availability, 2025 Action Plan:
 Section II.C for Community Development Block Grant (CDBG) Overview  Section II.D for Emergency Solutions Grant (ESG) Overview  Section II.E for HOME-TBRA Investment Partnerships Program (HOME) Overview  Section II.F for Permanent Local Housing Allocation (PLHA) Overview  Section II.H for General Fund Support (GFS) Overview
ATTACHMENT 3

Printed By: Nathan Lenski on 10/9/2024 2 of 16
A. Applicant Information
Completed by [email protected] on 10/6/2024 1:16 PM Case Id: 30246
Name: 5Cities Homeless Coalition - 2025
Address: 100 S 4TH ST, GROVER BEACH, CA 93433
A. Applicant Information
Please provide the following information.

PRIMARY APPLICANT INFORMATION-LEAD AGENCY
A.1. Organization Name
5Cities Homeless Coalition
A.2. Type of Organization
Non-Profit
A.2.b. Please upload the following documentation:
 Attachment A - Proof of Active SAM.gov Registration *Required **No files uploaded
A.3. UEI Number: For more information, visit SAM.GOV
KR8JGGKBKEP9
A.4. Address
100 S 4TH ST GROVER BEACH, CA 93433
A.5. Is the organization faith based?
No
A.6. Date of Incorporation
03/03/2009
A.6.a. Please upload the following documentation:
 Attachment B – Incorporation Documents *Required
**No files uploaded
 Attachment C – Organization Mission Statement *Required **No files uploaded
A.7. Required Acknowledgement of Insurance Requirements. Has your organization read and understood the insurance requirements listed in “Example Exhibit D – General Conditions” in the Library? Yes
A.8. Annual Operating Budget

Printed By: Nathan Lenski on 10/9/2024 3 of 16
$7,360,000.00
A.9. Number of Paid Staff
52 A.10. Number of Volunteers
200

CONTACT INFORMATION
A.11. Contact Person Name

JANNA NICHOLS
A.12. Contact Person Title
Executive Director
A.13. Phone Number
(180) 547-1740
A.14. Email
[email protected]

Printed By: Nathan Lenski on 10/9/2024 4 of 16
B. Applicant Capacity
Completed by [email protected] on 10/6/2024 1:20 PM Case Id: 30246
Name: 5Cities Homeless Coalition - 2025
Address: 100 S 4TH ST, GROVER BEACH, CA 93433
B. Applicant Capacity
Please provide the following information.

B.1. Describe the organization’s history of receiving and managing grants from County/State/Federal sources.

Currently 5CHC is contracted through 44 local, federal and state grants to provide nearly $7 million in services. Through multiple grant monitoring activities to review 5CHC program and expenditure compliance for all local, state and federal grants, 5CHC has consistently received high praise for program quality and outcomes; reporting; compliance; and timeliness; and has never received a significant finding in an audit. Through CARES Act CV funds, 5CHC expended more than $5 Million in services and facility development since 2021, including subcontracting with multiple other providers and ensuring their compliance. 5CHC is timely in providing required reports and its billing process, meeting all required expenditure deadlines. 5CHC's outcomes consistently exceed agreed upon program metrics.

B.2. Describe how the organization participates in HMIS, Coordinated Entry, and the San Luis Obispo County Continuum of Care.
5CHC has participated in HMIS since 2014 and has staff dedicated to this fulfill this activity in addition to program staff.

In the past year more than 5 of the Coalition’s staff have worked with the County to assess and invest in a new HMIS system, including the on-going HSOC Data Workgroup. 5CHC Executive Director is a member of the HMIS Project Steering Committee. The agency’s Executive Director is currently an active member of HSOC, the Continuum of Care oversite body. 5CHC staff regularly participate in all standing committees and work groups. 5CHC is an engaged HSOC member, far exceeding the meeting attendance threshold of the HSOC bylaws, for both committee and full HSOC meetings. Historically 5CHC’s Executive Director volunteered to serve as chair of both the Data/Finance and Service Coordination committees, and volunteered on the steering committee for the County's Homeless Services Strategic Plan.

Beginning in 2019 5CHC joined with CAPSLO to participate in Coordinated Entry as a key intake partner. Annually 5CHC has far exceeded the number of CE's completed per contract requirements. 5CHC staff are among the most active members of the HSOC Coordinated Entry Advisory Committee, and the various workgroups addressing Coordinated Entry reform efforts. 5Cities Homeless Coalition has been a regional lead in every Point in Time Count conducted in the county since 2013, helping to both plan for the count as well as ensure effective regional volunteer recruitment and implementation. In each count, 5CHC has dedicated 10 or more staff members to assist in the count. Recently 5Cities Homeless Coalition, working with the CoC, has re-initiated a Transitional-Age Youth Advisory Board. The Youth Board held its inaugural meeting, under 5CHC’s leadership, in September. The group is working to define it’s role, processes for YAB participation and membership, work plan topics and calendar, with the intent of presenting some recommendations to HSOC in the Spring of 2025.

B.3. Briefly describe your organization’s auditing requirements, including those for the proposed project.

As outlined in 2 CFR § 200.500 and 24 CFR § 5.801
5CHC complies with all applicable federal laws, statutes, and regulations including the uniform financial reporting standards (24 CFR § 5.801) and the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 200). 5CHC annually engages multiple monitoring reviews for various government contracts. 5CHC has never received a significant finding in any monitoring review. 5CHC also contracts for an independent audit annually. For the past two years, since 2021-22 (due to increased federally sourced income) 5CHC has contracted for a

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more rigorous “Single Audit”. 5CHC's Single Audit for 2022-23 is attached; as in the prior year, there were no significant findings by the auditor. 5CHC has engaged a local accounting firm, Glenn-Burdette, to undertake an audit for our most recent fiscal year 2023-24. This audit is expected to be completed by February 2025.

B.3.a. Please upload the following documentation:
 Attachment D - Most Recent Audit *Required
**No files uploaded
B.4. Describe the organization’s experience delivering related programs/projects.

Through three interim housing navigation centers and one drop-in access service center, 5Cities Homeless Coalition (5CHC) assists people experiencing homelessness and those at risk of homelessness to obtain and retain housing by offering a spectrum of wrap-around supportive services including coordinated entry and diversion (including funding for immediate needs and relocation); street outreach; emergency shelter and interim housing; and housing stabilization services to obtain or retain housing (including application fees, deposit, rent, past rent, utility assistance and case management). 5Cities Homeless Coalition began offering services in 2012, initially at a single office location. Since that time, 5CHC has expanded with a multi-service access center and three navigation centers. 5CHC’s programs have expanded in partnership with our community to include a comprehensive array of services to meet the needs of the continuum. 5CHC has built its program looking at best practices from multiple providers; including a special focus of hiring those with lived experience as homeless and/or incarcerated. 5CHC endeavors to build trust, develop a sense of community, and respect. We serve as a client advocate, reducing barriers to services, follow evidence based-models of care, motivational interviewing. See 5CHC's year-end service report (2023-24), and examples of recently submitted program reports (by funding source) in the supplemental documents.

B.5. How will you document and maintain income status or presumed benefit status of each beneficiary in compliance with regulations?
5CHC has several methods for verifying income. Initial steps include self-certification of income by the client during intake assessment. This is followed by documentation collection, in which clients provide proof of income (e.g. employment pay stubs, Cash-Aid report, child support, SSA Benefits award letter, etc.). If a client is working a cash-only job, we allow them to submit an employment verification form signed by their employer with appropriate contact information. Once documents are collected, case managers complete the Income Calculation sheet which calculates gross income for the household; calculations are then approved by the program supervisor. Annual gross income is used to determine AMI level based on household size. 5CHC understands documentation collection may be a barrier to some households and assists in whatever ways possible to obtain necessary documentation. Those verified to be currently homeless with no income documentation are presumed to be low-income. Re-determination for program eligibility occurs every 3 months for homelessness prevention clients and annualLY for rapid re-housing clients.

B.6. Briefly describe your agency’s record keeping system with relevance to the proposed project.

In keeping with our policies and procedures for this program, all client files are compiled and maintained according to a detailed program activity checklist, utilizing standard forms for all services. Included in this are reference notes for any required periodic updates or re-certifications. All applicable information is entered in HMIS at program entry, exit, and as appropriate for the project. 5CHC has staff dedicated to reviewing all client files regularly for accuracy and completeness. All payment requests include a detail of the client info, activity, funding source, and purpose. These requests for financial assistance become part of the client file and are cross referenced for appropriate documentation in the invoicing process. 5CHC also maintains a client walk-in and call log at our Access Center, noting the purpose of the call/visit. This is updated daily and is maintained by 5CHC’s Coordinated Entry, Resource and Referral Specialists. Data from this log is often used to cross-referenceprior contact with an individual who was not previously entered into a

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project in HMIS by 5CHC. All files are maintained electronically on 5CHC’s secure server, which is securely backed up daily off-site.

B.7. Identify all budgeted funds for project related costs. Include leveraged funding to exhibit financial sustainability of the project beyond the grant term if awarded.

It should be noted that the sustainability of this program is wholly determined by funding levels. As the majority of fund are spent on direct financial assistance, averaging approximately $3,000 per household, the success of the program and its future sustainability, are dependent on funding support for which there are limited sources. Sources: CDBG, HOME, and CalAIM (HHIP 3). Additionally in-kind matching funds will be provided through case management services by Consortium members. The impact of CalAIM’s soon to roll-out “Transitional Rent” Community Support is not yet clear, as eligibility and guidelines are yet to be finalized.

B.8. Does your organization comply with the Generally Accepted Accounting Principles? As outlined in 2 CFR § 200
Yes
Required Acknowledgement for Federal Grants or Contracts B.9. Does your organization certify that, if awarded funds, it will comply with the requirements as shown as Example Exhibit D-General Conditions and Example Exhibit E- Special Conditions? Yes

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C. Proposed Project & Project
Details
Completed by [email protected] on 10/6/2024 1:48 PM Case Id: 30246
Name: 5Cities Homeless Coalition - 2025
Address: 100 S 4TH ST, GROVER BEACH, CA 93433
C. Proposed Project & Project Details
Please provide the following information.

C.1. Name of Proposed Project
Homeless Prevention – Countywide Services
C.2. Project/Program Address
100 S 4TH ST GROVER BEACH, CA 93433
C.3. Areas Served-Select all that apply
 City of Arroyo Grande
 City of Atascadero
 City of Grover Beach
 City of Morro Bay
 City of Paso Robles
 City of Pismo Beach
 City of San Luis Obispo
 Unincorporated Community
Name of Unincorporated Community:

All eligible communities in San Luis Obispo County.
 Countywide
C.4. Provide a brief narrative of the proposed project, including projected outcomes:
5CHC seeks to continue its highly successful Homeless Prevention program to help families at-risk of homeless remain in their home, with an anticipated 165 households receiving assistance. 5CHC's track record has demonstrated that less than 2% of those served in the prior 24 months have fallen into homelessness after receiving assistance.  Attachment E – If applicable, attach most recent annual performance report **No files uploaded
C.5. What is the level of need for this activity within SLO County? Please include data to support your answer.

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It is abundantly documented that stable housing, health and self-sufficiency are the keys to addressing the challenges of homelessness. 5CHC is a community leader in providing these services to residents of San Luis Obispo County who are experiencing homelessness or who are at-risk; however, we are seeing an alarming spike in requests for assistance. According to a 2022 data analysis by Porch, an online home improvement and home-buying advice website, the San Luis Obispo area is the now second least affordable small metro area in the entire United States. It is estimated that, just since the on-set of COVID, that area rental rates have increased more than 30%. The high cost of housing here in San Luis Obispo County is approximately 53% higher than the national average, according to Zillow with the median rental rate having increased $400 One of the six policy recommendations made in the UCSF study, California Statewide Study of People Experiencing Homelessness, is to “expand targeted homelessness prevention (e.g., financial support, legal assistance) at service settings (e.g., social service agencies, healthcare settings, domestic violence services, community organizations) for both leaseholders and non-lease holders. Expand prevention and transition services at institutional exits (jails, prisons). Expand and strengthen eviction protections.” More than 80% of participants in this study, who were experiencing homelessness, believed receiving a one-time payment of $5,000- $10,000 would have prevented their homelessness. Those experiencing homelessness who lack rental history, have poor credit, lower income, or criminal history are especially challenged in the current housing market. 5CHC has utilized landlord incentives in prior projects and it has proved to be a vital component to secure housing for this population. 5CHC has assisted 77 individuals re-gain housing, who would not have otherwise been able to secure housing, with the landlord incentive program. Beyond assisting with rental assistance to prevent eviction, 5CHC also puts considerable resources towards utility assistance, car repairs, food assistance, etc. that are often symptomatic of growing financial instability. Without early intervention these issues can easily compound and lead to increased housing instability and risk of homelessness. For the current year these requests have skyrockets, as several utility assistance programs were cut (both federally and by the State). In fiscal year 2023-24, 5CHC invested more than $500,000 in direct financial assistance, plus case management services, to help 479 residents (206 households) throughout San Luis Obispo County to keep their home and not fall into homelessness (see 5CHC’s year-end report fy 23-24). The average investment per household is less than $2,800. In tracking the outcomes of this program, less than 2% of those served in the last 24 months have fallen into homelessness. 5CHC attempted to include multiple hyperlinks in this response to provide requested data. These hyperlinks are available upon request.

C.5.a. Please upload the following documentation:
 Attachment F – Timeline: Attach a timeline for key steps of project implementation. *Required **No files uploaded
C.6. Is this effort new, continuing, or expanding? Please describe.

While this is a continuing program, 5CHC is seeking increased support. For the current fiscal year (24-25) funding for homeless prevention services was reduced by more than $200,000. This equates to approximately a reduction in 5CHC’s ability to assist approximately 75 families.

C.7. Describe how the project will align with a (or multiple) Line(s) of Effort to support the San Luis Obispo Countywide Plan to Address Homelessness (2022-2027).

The proposed project is directly aligned with Line of Effort 2 and Line of Effort 3 in the plan. Line of Effort 2: Focus efforts to reduce or eliminate the barriers to housing stability for those experiencing homelessness or at risk of homelessness, including prevention, diversion, supportive services, and housing navigation efforts. In particular this program addresses Line of Effort 2.D. which calls for preventing “homelessness through expanded diversion efforts (also known as housing problem solving or family reunification) and homeless prevention capacity.” In order to stem the flow of those falling into homelessness in our county, and reach the County’s goal of reducing homelessness by 50%, additional resources are necessary to ensure fewer people enter the homeless services system. Homeless

Printed By: Nathan Lenski on 10/9/2024 9 of 16
prevention is one of the most cost-effective strategies to reduce the incidence of homelessness in a community.

According to the 2023 study by Notre Dame University’s Wilson Sheehan Lab for Economic Opportunities (LEO), in addition to helping individuals and families maintain their housing, the LEO study suggests this community-wide prevention program is cost-effective and yields benefits to the broader community. Researchers estimated that the Homelessness Prevention System produces $2.47 in estimated benefits for every $1 dollar spent on emergency financial assistance. 5CHC attempted to include multiple hyperlinks in this response to provide requested data. These hyperlinks are available upon request.

C.8. Select all population(s) expected to be served through this project:
 Adults with children
 Adults without children
 Elderly/Senior
 Parenting Youth
 Persons Experiencing Chronic Homelessness
 Persons At Risk of Homelessness
 Veterans
 Domestic Violence Survivors
 Persons with Disabilities
 Unaccompanied Youth (under 25 years of age)
 Individuals with Co-occurring Disorders (Substance Use and Mental Health)  Low – Moderate Income Persons or Households
C.9. How does your program/service complement and collaborate with existing efforts in the County? Describe how the program/project will increase capacity of services/housing for persons experiencing homelessness and at-risk persons in the County.
5CHC Homeless Services program is integrated in the local Continuum of Care (CoC), focusing on collaboration and strategic action. Homeless Prevention strategies are one of the initial efforts provided, throughout the compendium of services. 5CHC receives referrals from agencies across the service continuum, not solely those who provide Coordinated Entry assessments. In an effort to build core competencies of service providers within the CoC, 5CHC collaborates with area partners on evidence-based trainings (Mental Health First Aid, Trauma-Informed Care, Motivational Interviewing, etc.) 5CHC also has a program of providing staff trainings monthly with other service professionals and partner agencies. 5CHC seeks to streamline services through collaborative work with service providers throughout the County. By coordinating efforts and providing consistent services throughout the County, 5CHC ensures the ability to maximize resources and prevent duplication of services and benefits.

C.10. Describe any consultation with local jurisdictions to gain support for the project. Describe any support you have from local jurisdictions.

Please see the attached letters of support from South County cites of Grover Beach, Pismo Beach and Grover Beach.

While 5CHC works most closely with these jurisdictions, 5CHC homeless prevention efforts have been provided

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county-wide, as demonstrated in the table below. 2023-24 Homeless Prevention Assistance Per Jurisdiction Arroyo Grande Households: 33 Total: $134,173 % of Dollars Spent in this Jurisdiction: 26% Pismo Beach Households: 8 Total:
$20,920 % of Dollars Spent in this Jurisdiction: 4% SLO Households: 23 Total: $83,169 % of Dollars Spent in this Jurisdiction: 16% Morro Bay Households: 5 Total: $22,423 % of Dollars Spent in this Jurisdiction: 4% Atascadero Households: 10 Total: $30,292 % of Dollars Spent in this Jurisdiction: 6% Paso Robles Households: 38 Total $144,665 % of Dollars Spent in this Jurisdiction: 28% County Households: 18 Total: $75,500 % of Dollars Spent in this Jurisdiction:
15%
 Attachment G – Letters of Support: Please attach any letters of support or commitment from local governments or community partners.
**No files uploaded
C.11. Describe how you will ensure that the proposed project is accessible to communities of color which are disproportionately impacted by homelessness, particularly Black, Latinx, Asian, Pacific Islander, and Native and Indigenous communities. If you have previously received a grant to serve any of the affected communities, please provide a brief description of those grant activities and the outcomes you achieved. 5CHC has a policy of promoting inclusiveness and diversity to enrich its programmatic effectiveness, which is reflected in the composition and language skills of our staff. 5CHC has received multiple awards through UnDocuSupport, and worked extensively on the 2020 Census to survey hard-to-reach populations. 5CHC is a member of the Diversity Coalition San Luis Obispo County. 5CHC maintains strong partnerships with other members of the UndocuSupport Coalition and fosters relationships with new and emerging efforts to serve the immigrant population, such as Immigrant Hope – Arroyo Grande.

C.13. Indicate the predicted, unduplicated performance outcome listed below:

Population Number of Individuals
Served
Number of Households
Served
Number of unsheltered persons to become sheltered
Number of people experiencing homelessness to be
entering permanent housing
Number of people experiencing Chronic Homelessness
served
Number of persons At-Risk of Homelessness served 426 165 Number of Unaccompanied Youth served
Number of Youth At-Risk of Homelessness served
Number of persons in families with children served
Total 426 165

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D. Funding & Eligible Activities
Completed by [email protected] on 10/6/2024 2:07 PM Case Id: 30246
Name: 5Cities Homeless Coalition - 2025
Address: 100 S 4TH ST, GROVER BEACH, CA 93433
D. Funding & Eligible Activities
Please provide the following information.

D.1. Total Funding Requested
$881,049.00
D.1.a. Please upload the following documentation:
 Attachment H – Budget , Leveraged-Funds, and Budget Narrative: Attach a Budget and Budget Narrative for the project for which you are applying. The budget narrative should include FTEs to be provided. Please include the value of any matching funding. *Required
**No files uploaded
D.2. Are you requesting HOME-TBRA funds?
Yes
D.2.a. Amount of HOME-TBRA funds requested:
$769,779.00
D.2.b. Estimated number of unduplicated persons to benefit from HOME-TBRA funds:
372
D.2.c. Estimated number of unduplicated households to benefit from HOME-TBRA funds:
144
D.2.d. Provide proposed funding amounts and approximate number of households to be served:

Funding Type Amount Approximate Households Served
Rental Subsidy $0.00 371
Utility Deposit Subsidy $0.00
Security Deposit Subsidy $0.00
Total $0.00 371
D.2.e. Please describe your organization’s client application, intake, and preliminary assessment process. 5CHC is a member of the Coordinated Entry collaborative, a system utilized by Homeless Service Providers throughout the County that provides a standardized intake assessment and referrals to ensure a more consistent and streamlined experience for those seeking services. During this initial intake, clients complete a comprehensive needs assessment, identify barriers to employment or housing, and develop an immediate action plan. Additionally, this assessment provides an opportunity to identify what services or resources a client is already connected to in an effort to reduce duplication of services. Clients are screened for homeless status (homeless certification forms) and income eligibility.

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D.2.f. Describe your organizational collaboration with other local organizations to assist TBRA income eligible households.
5CHC engages with a broad spectrum of community partners to provide housing assistance, working extensively with the more than 20 member organizations of the Supportive Housing Consortium. In particular 5CHC partners with ECHO and CAPSLO, as part of the coordinated entry system. Additionally, 5CHC has built an even more extensive referral network with the Legal Assistance Foundation, and Family Resource Centers throughout the County, and Familiy Care Network. 5CHC has become the hub for Rapid Re-housing and Homeless Prevention services, serving clients from San Miguel to Cambria to Nipomo with the help of our partners. This referral network has allowed us to maximize our resources, coordinate efforts, and prevent duplication of services and benefits.

D.2.g. HOME-TBRA Matching Funds
Funding Source Amount
In-Kind Case Management - Supportive Housing Consortium Estimate $38.57/hour (including fringe) X 500 Hours
$192,445.00
Total $192,445.00
Please upload the following documentation:
 Attachment I – Match Certification Letter: 25% match required for HOME TBRA *Required **No files uploaded
 Attachment J – HOME-TBRA Policies and Procedures
**No files uploaded
D.3. Are you requesting CDBG funds?
Yes
D.3.a. Amount of CDBG funds requested:
$9.00
D.3.b. Please indicate the amount you are requesting for each jurisdiction:

Jurisdiction Amount
Arroyo Grande $9,600.00
Atascadero $3,600.00
Morro Bay $3,000.00
Paso Robles $17,150.00
Pismo Beach $5,000.00
San Luis Obispo $9,920.00
County $13,000.00
Total $61,270.00
D.3.c. Estimated number of unduplicated persons to benefit from CDBG funds:
30 D.3.d. Estimated number of unduplicated households to benefit from CDBG funds:
11

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D.3.e. Please select the national objective that best applies to the proposed project.

Please refer to "Basically CDBG" or the "CDBG Guide to National Objectives and Eligible Activities" for more information regarding CDBG national objectives.

Low Moderate Income
LOW/MODERATE INCOME: Select which criteria the proposed project intends to qualify under to meet the Low/Moderate Income objective.

Limited Clientele
D.3.f. Identify all eligible activities that apply to the proposed project:
 Public Services -General
 Operating Costs of Homeless/AIDS Patients Programs
 Senior Services
 Handicapped Services
 Legal Services
 Youth Services
 Transportation Services
 Substance Abuse Services
 Services for Battered and Abused Spouses
 Crime Awareness or Neighborhood Cleanups
 Fair Housing Activities
 Tenant/Landlord/Housing Counseling
 Child Care Services
 Health Services
 Services for Abused and Neglected Children
 Mental Health Services
 Job Training and Job Placement Services
 Subsistence Payments, Homeless Assistance, Rental Housing Subsidies or Security Deposits  Assistance to microenterprises (technical assistance, business support services, and other similar services to owners of microenterprises or persons developing microenterprises)  Minor Home Repair
D.3.g. Explain how the proposed project meets the selected National Objective:

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Assistance will be provided to benefit a clientele who are generally presumed by HUD to be principally L/M income persons - those who are homeless. This population is among those who are currently presumed by HUD to be made up principally of L/M income persons: Reference: §570.208(a)(2)(i)(A) Additionally, as some assistance will be provided to those of imminent threat of homelessness, 5CHC's program additionally requires information on family size and income so that it is evident that at least 51% of the clientele are persons whose family income does not exceed the L/M income limit. Reference: §570.208(a)(2)(i)(B) and (C) D.3.h. Will the services offered by your organization increase or expand as a result of CDBG assistance? Yes
Explain how your services will increase or expand as a result of CDBG assistance:

While this is a continuing program, 5CHC is seeking increased support. For the current fiscal year (24-25) funding for homeless prevention services was reduced by more than $200,000. This equates to approximately a reduction in 5CHC’s ability to assist approximately 75 families.

D.3.i. Describe how the project will directly benefit the populations identified.

Funding will be used to provide short-term rental assistance, coupled with supportive services, to enable low-income families to remain in their home and not fall into homelessness. 5CHC has documented that less than 2% of those served in the last 24 months in this program have fallen into homelessness.

D.4. Are you requesting PLHA funds?
No
D.5. Are you requesting ESG funds?
No
D.6. Are you requesting General Fund Support funds?
No

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E. Required Documents
Completed by [email protected] on 10/6/2024 2:08 PM Case Id: 30246
Name: 5Cities Homeless Coalition - 2025
Address: 100 S 4TH ST, GROVER BEACH, CA 93433
E. Required Documents
Please provide the following information.

Documentation
 Attachment L – Supplemental Documentation
**No files uploaded

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Submit
Completed by [email protected] on 10/6/2024 2:08 PM Case Id: 30246
Name: 5Cities Homeless Coalition - 2025
Address: 100 S 4TH ST, GROVER BEACH, CA 93433
Submit
Please provide the following information.
 The applicant certifies that all information contained in this application, and supporting documentation, given for the purpose of obtaining assistance, is true and complete to the best of the applicant’s knowledge.  I hereby certify that our organization has complied with all applicable laws and regulations pertaining to the application and is an eligible applicant for the requested funding.The organization proposes to provide the program services or complete the project identified in this application. If this application is approved and this organization receives the requested funding this organization agrees to adhere to all relevant Federal, State, and local regulations and other assurances as required by the Commission.
 I hereby certify that the organization is fully capable of fulfilling its obligation under this application, as stated herein.
 I further certify that the information provided in this Funding Application is correct, accurate, and complete.

In addition, the content of the application shall be incorporated as part of the written agreement and, as such, will be used to monitor performance. Activities, commitments, and representations described in the written agreement that are not subsequently made a part of the program/project as funded shall be considered a material contract failure and may result in a repayment of all awarded funds and/or suspension from participation in future funding rounds.

Authorized Representative Signature
Janna Nichols
Electronically signed by [email protected] on 10/6/2024 2:08 PM Authorized Representative Title
Executive Director

Item 10.b.

MEMORANDUM
TO: City Council
FROM: Brian Pedrotti, Director of Community Development BY: Patrick Holub, Associate Planner
SUBJECT: Authorization of a Lease Agreement for City Property; Location – 138 E. Branch Street
DATE: February 11, 2025
RECOMMENDATION:
1) Adopt a Resolution authorizing the City Manager to execute a new lease agreement between the City of Arroyo Grande and Gina’s Italian Restaurant subject to any minor, technical, or non-substantive changes as approved by the City Manager in consultation with the City Attorney; and
2) Determine that the authorization of a lease agreement for the right-of-way adjacent to 138 E. Branch Street is not a project subject to the California Environmental Quality Act (“CEQA”) because it has no potential to result in either a direct, or reasonably foreseeable indirect, physical change in the environment. (State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3), 15378).

IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:

Under the terms of the lease agreement, the City will receive $5,100 in annual revenue.

Accordingly, this item also supports the City’s economic development efforts.

BACKGROUND:

The City has a current lease with Gina’s Italian Restaurant that is set to expire on February 28, 2025. At this time, Gina’s Italian Restaurant seeks to enter into a new lease..

ANALYSIS OF ISSUES:

The outdoor patio at Gina’s Italian Restaurant is 425 square feet and is located within City-owned right-of-way. The installation of the patio was previously approved by the Planning Commission on February 15, 2011. The original lease agreement allowed for the placement of the patio for an annual rental fee of $1,140 with an initial term of 5 years and two additional 5-year extension options. A new lease is required to allow continued use of the City right-of-way.

Item 10.b.

City Council
Authorization of a Lease Agreement for City Property; Location – 138 E. Branch Street
February 11, 2025

The proposed lease agreement allows for an initial lease term of three (3) years, with two, 2-year extension options. The proposed lease includes an increase in the rental terms from the previous lease. The proposed terms reflect a rental rate of one dollar per square foot ($1/sqft) and is substantially similar to outdoor dining leases in our geographical area.

For reference, this is the same rental rate being utilized by the City of San Luis Obispo1 for outdoor dining areas. In addition, the proposed terms are generally consistent with the recently adopted parklet ordinance for the City, which allows outdoor dining for restaurants in the Village. .

ALTERNATIVES:

1. Adopt a Resolution authorizing the City Manager or designee to execute the lease agreement subject to any minor, technical, or non-substantive changes as approved by the City Manager in consultation with the City Attorney;

2. Modify and adopt a Resolution authorizing the City Manager or designee to execute the lease agreement subject to any minor, technical, or non-substantive changes as approved by the City Manager in consultation with the City Attorney;

3. Do not authorize the City Manager to execute the lease agreement; or

4. Provide other direction to staff.

ADVANTAGES:

Authorization of a lease agreement for outdoor dining is mutually beneficial to the applicant and the City, as it adds to the character of the Village and supports the City’s economic development objectives.

DISADVANTAGES:

No disadvantages have been identified.

ENVIRONMENTAL REVIEW:

The authorization of a lease agreement for the right-of-way adjacent to 138 E. Branch Street is not a project subject to the California Environmental Quality Act (“CEQA”) because it has no potential to result in either a direct, or reasonably foreseeable indirect, physical change in the environment. (State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3), 15378). The lease of the right-of-way, where no development or demolition is proposed, constitutes an administrative activity of the City. Alternatively, the adoption of a resolution to enter a lease agreement is exempt from CEQA on the basis that it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment (State CEQA Guidelines, § 15061subd.(b)(3).)

1https://www.slocity.org/government/department-directory/public-works/programs-andservices/transportation-planning-and-engineering/outdoor-dining

Item 10.b.

City Council
Authorization of a Lease Agreement for City Property; Location – 138 E. Branch Street
February 11, 2025

PUBLIC NOTIFICATION AND COMMENTS:

The Agenda was posted at City Hall and on the City’s website in accordance with Government Code Section 54954.2.

ATTACHMENTS:

1. Proposed Resolution

ATTACHMENT 1
RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ARROYO GRANDE AUTHORIZING THE CITY MANAGER

TO EXECUTE A NEW LEASE AGREEMENT BETWEEN
THE CITY OF ARROYO GRANDE AND GINA’S ITALIAN

RESTAURANT
WHEREAS, the City of Arroyo Grande (“City”) owns the right-of-way adjacent to 138 East Branch Street, Arroyo Grande, California, 93420 (“The Property”). The property is improved with an outdoor dining area and other improvements ; and WHEREAS, the City and Gina’s Italian Restaurant have agreed to a new lease agreement (“Lease”) to allow the continued use of a four-hundred twenty-five (425) square foot outdoor dining area within a portion of City right-of-way; and WHEREAS, the proposed lease agreement does not constitute a “disposition” under the Surplus Lands Act, as the proposed lease agreement is: (A) for a term of 15 years or less; and (B) there will be no development or demolition on the site over the three-year term. (Government Code Section 54221(d)(2)); and
WHEREAS, pursuant to Government Code Section 37395, a city may lease land it owns or controls for period not to exceed 55 years for commercial development for business purposes, when the governing body determines by ordinance or resolution that the property is not required for other city purposes; and
WHEREAS, the Property has been used as an outdoor dining area by Gina’s Italian Restaurant, the City will receive lease payments in exchange for allowing Gina’s Italian Restaurant to use the commercial property for business purposes, and the Property is not required for other City purposes; and
WHEREAS, the City’s public purpose in receiving lease payments in exchange for the use of the City property, as authorized by Government Code Section 37395, clearly outweighs any private benefit; and
WHEREAS, all legal prerequisites to the adoption of this Resolution have occurred.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Arroyo as follows:

1. The foregoing recitals are true and correct and are incorporated herein.

2. The City Council authorizes the City Manager to execute a new lease agreement (attached in substantially final form) between the City of Arroyo Grande and Gina’s Italian Restaurant for the right-of-way adjacent to 138 East Branch Street, subject to any minor, technical, or non-substantive changes as approved by the City Manager in consultation with the City Attorney.

RESOLUTION NO.

PAGE 2

3. Adoption of this Resolution authorizing the City Manager to execute a new lease agreement for the right-of-way adjacent to 138 East Branch Street, is not a project subject to the California Environmental Quality Act (“CEQA”) because it has no potential to result in either a direct, or reasonably foreseeable indirect, physical change in the environment. (State CEQA Guidelines, § 15060, subd. (c)(2)-(3), 15378). The lease of the property, where no development or demolition is proposed, constitute an administrative activity of the City. Alternatively, the adoption of the resolution to enter a lease agreement is exempt from CEQA on the basis that it can be seen with certainty that there is not possibility that the activity in question may have a significant impact on the environment. (State CEQA Guidelines, § 15061, subd. (b)(3).)

4. Once executed, the City Clerk is directed to record the lease in the office of the Clerk-Recorder of San Luis Obispo County pursuant to Government Code Section 37393.

On motion of Council Member ______________, seconded by Council Member ___________, and on the following roll call vote, to wit:

AYES:

NOES:

ABSENT:
the foregoing Resolution was passed and adopted this 11 th day of February, 2025.

RESOLUTION NO.

PAGE 3

CAREN RAY RUSSOM, MAYOR
ATTEST:

JESSICA MATSON, CITY CLERK
APPROVED AS TO CONTENT:
_____________________________________

MATTHEW DOWNING, CITY MANAGER
APPROVED AS TO FORM:

ISAAC ROSEN, CITY ATTORNEY

RESOLUTION NO.

PAGE 4
EXHIBIT “A”

FORM OF LEASE AGREEMENT

SUBSTANTIALLY FINAL FORM
1 65501.00001\42713062.2

EXHIBIT A

LEASE AGREEMENT

1. PARTIES: This Lease (“Lease”) is made and entered into as of this day of , 2025 (“Effective Date”) by and between CITY OF ARROYO GRANDE, a California municipal corporation (“Landlord”), and Gina’s Italian Restaurant (“Tenant”). The Landlord and Tenant are sometimes referred to individually as a “Party” and collectively as the “Parties.”

2. PROPERTY. Landlord owns the commercial property located at 138 E. Branch St., Arroyo Grande, California, 93420 (the “Property”). The Property is improved with a restaurant and other improvements.

3. PREMISES: Landlord hereby leases to Tenant and Tenant hereby leases from Landlord a portion of the Property consisting of approximately 425 square feet, referred to herein as the "Premises" and shown on Exhibit A.

4. TERM: The term of this Lease (“Initial Term”) shall be for a period of three (3) years from and after the Effective Date of this Lease, terminating on , 202 , unless terminated earlier. Upon expiration of the initial term of the Lease, this Lease shall automatically be extended upon the expiration of the Initial Term, or Renewal Term, as applicable, for two (2) additional terms of two (2) years (each a “Renewal Term”), subject to all terms and conditions of this License. The Initial Term and Renewal Term shall be collectively known as the “Term”. Upon expiration of the Term, if no new lease agreement is executed and the Tenant remains in possession of the property with the consent of the Landlord, this Lease shall continue on a month-to-month basis under the same terms and conditions. Either party may terminate this Lease by giving the other party written notice at least ninety (90) days in advance. Notwithstanding anything in this Lease to the contrary, the total term length of this Lease, including any options to extend, shall not exceed fifteen years under any circumstances. If the Parties desire to continue this relationship after fifteen years, they will reenter a new lease document at that time.

5. OCCUPANCY. Tenant acknowledges it has been in occupancy of the Premises since on or about April, 2011, which entered into that certain Lease Agreement dated April 13, 2011 with Landlord (“Prior Lease”). Accordingly, the Prior Lease is hereby terminated by the execution of this Lease (except for such provisions which expressly survive). Tenant shall retain possession of the Premises on the Initial Term subject to all terms and conditions of this Lease, and provided Tenant delivers an insurance certificate to Landlord upon execution. The effectiveness of this Lease is conditional upon Tenant’s delivery of the insurance certificate and first month's rent and security deposit.

6. RENT:Tenant shall pay to Landlord as rent for the Premises the sum of Four Hundred and Twenty-Five and 00/100 Dollars ($425.00) per month (“Rent”). (a) Late Charge. Tenant acknowledges that late payment by Tenant to Landlord of rent will cause Landlord to incur costs not contemplated by this Lease. If any installment of rent due from Tenant is not received by Landlord within five (5) days after it becomes due, Tenant shall pay to Landlord an additional sum of 5% of the overdue rent as a late charge. The parties agree that this late charge represents a fair and reasonable estimate of the costs that Landlord will incur by

SUBSTANTIALLY FINAL FORM
2 65501.00001\42713062.2
reason of late payment by Tenant. Acceptance of any late charge shall not constitute a waiver of Tenant's default with respect to the overdue amount or prevent Landlord from exercising any of the other rights and remedies available to Landlord.
(b) Interest on Unpaid Rent. Rent or other charges under this Lease not paid within five (5) days of the date due shall, in addition to any late charges under Section 6(a) above, bear interest at the lesser of the maximum legal rate or 10% per annum from the date due until paid. (c) Annual Adjustment. Beginning on the first anniversary of the Commencement Date, Base Rent shall increase annually at the end of each 12-month period by the greater of (i) four percent (4%) or (ii) increase in the Consumer Price Index (“CPI”) as determined by the U.S. Bureau of Labor Statistics for all Urban Consumers for the Los Angeles-Long Beach-Anaheim Metropolitan Area over the previous year. Should the CPI be discontinued, the index used for comparison shall be a comparable index as designated by the Bureau. It is recognized by both parties that the Index for any month is not published for approximately two months. Tenant shall, therefore, continue to pay the current rental paid by Tenant until such time as the new rental is calculated and, at that time, Tenant shall pay within ten (10) days of notice of the new Base Rent the new amount plus arrearages. In no event shall Base Rent ever decrease below the prior year’s Base Rent even if the CPI is negative. In such event, the Base Rent shall remain the same (d) Place of Payment of Rent. Rent, and all other sums which shall become due under this Lease, including but not limited to late charges and any additional charges owed by Tenant shall be payable by hand delivery or mail at 300 E. Branch St., Arroyo Grande, CA 93420, or at such other place as Landlord may designate from time to time in writing. Mailed payments must be received (not postmarked) by Landlord by the date due.

7. CONDITION OF, AND IMPROVEMENTS TO, PREMISES.
(a) Improvements. Under this Lease, Landlord shall have no obligation or responsibility, actual or implied, to install, construct, accommodate, or make any improvements to the Premises prior to, or as a condition of, Tenant's occupation of the Premises. Notwithstanding anything in this Lease to the contrary, Tenant shall not engage in or permit any development or demolition on the Premises. For purposes of this section, the definitions of “development” and “demolition” shall be derived from the most current definitions set forth in the California Surplus Land Act (Government Code section 54220 et seq.) and the California Department of Housing and Community Development’s Surplus Land Act Guidelines, both of which may be amended and updated from time to time. For clarity, at the time of drafting the definitions of development and demolition are as follows:

Development means the process of changing the character of the land from its existing condition to a more useable condition by constructing or placing a building or buildings on the land, preparing the land for such construction, or reusing an existing building for a purpose other than the purpose for which it was originally built or designed.

Demolition means the deliberate dismantling, destruction, or removal of an entire building or significant portions of a building, rendering it unfit for use. Development and demolition do not include making improvements, renovations, or updates to an existing building, while preserving its structural integrity, or replacing an existing building that has reached the end of its structural life with a building that will be used for the same purpose.
(b) As-Is Condition. Tenant warrants and agrees that Tenant is currently in possession of the Premises. Tenant agrees to take possession of the Premises under this Lease in its AS-IS condition (which exists on the date this Lease is signed). Landlord makes no representations

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regarding the condition, status, compliance with laws or suitability for a particular purpose for Tenant's use.
(c) Condition Upon Surrender. Upon termination of this Lease, Tenant shall surrender the Premises to Landlord in as good condition as when originally received, ordinary wear and tear and damage by fire, earthquake, flood or act of God excepted, and including any repairs or improvements made by Tenant. If Tenant fails to maintain the Premises in good order and repair, after thirty (30) days' prior written notice, Landlord may, at its option, make such repairs, and Tenant shall pay the reasonable cost thereof as additional rent hereunder within ten (10) days after receipt of a written statement therefor. In the event the giving of thirty (30) days' prior notice may result in additional damage to the Premises, Landlord may make such repairs, at Tenant's expense, without thirty days' prior written notice.
(d) Inspection by Certified Access Specialist. Landlord discloses that the Premises have not undergone inspection by a Certified Access Specialist as referenced in California Civil Code Section 1938 subsection (e) which provides: "A Certified Access Specialist (CASp) can inspect the subject premises and determine whether the subject premises comply with all of the applicable construction-related accessibility standards under state law. Although state law does not require a CASp inspection of the subject premises, the commercial property owner or lessor may not prohibit the lessee or tenant from obtaining a CASp inspection of the subject premises for the occupancy or potential occupancy of the lessee or tenant, if requested by the lessee or tenant. The parties shall mutually agree on the arrangements for the time and manner of the CASp inspection, the payment of the fee for the CASp inspection, and the cost of making any repairs necessary to correct violations of construction-related accessibility standards within the premises." Pursuant to the foregoing Section 1938(e), Tenant acknowledges and agrees that, if Tenant wishes to have the Premises inspected by a CASp: (i) Tenant must notify Landlord on or before the date when Tenant executes this Lease pursuant to the election below; (ii) the inspection will be at Tenant's sole cost and expense; (iii) the inspection must be scheduled through Landlord and in coordination with the Building’s property manager; (iv) any repairs or modifications necessary to correct any violation of construction-related accessibility standards that is noted in the CASp report shall be Tenant’s responsibility; and (v) Tenant must provide a copy of the CASp report to Landlord on completion. By initialing below, Tenant represents that:

Tenant wishes to have a CASp inspection of the Premises Initials:

Tenant hereby waives its right to have a CASp inspection of the Premises Initials:

8. USE: Tenant shall use and occupy the Premises only for outdoor dining (the “Agreed Use”), or any other legal use which is reasonably comparable thereto, and for no other purpose.

Tenant shall not use or permit the use of the Premises in a manner that is unlawful, creates damage, waste or a nuisance, or that disturbs owners and/or occupants of, or causes damage to neighboring properties.

9. USES PROHIBITED. In addition to uses prohibited pursuant to Paragraph 7, Tenant shall not do or permit anything to be done in or about the Premises nor bring or keep anything therein which is not within the permitted use of the Premises which will in any way increase the existing rate of or affect any fire or other insurance upon the Property or any of its contents, or cause a cancellation of any insurance policy covering the Property or any part thereof or any of its contents.

Tenant shall not use the Premises for any cannabis related uses, dispensary, manufacture, assembly, the sale of cannabis or accessories related to cannabis products. Tenant shall not do or permit anything to be done in or about the Premises which will in any way obstruct or interfere with the rights of other tenants or occupants of the Property or injure or annoy them or use or allow the Premises to

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be used for any improper, immoral, unlawful or objectionable purpose; nor shall Tenant cause, maintain or permit any nuisance in, on or about the Premises. Tenant shall not commit or allow to be committed
any waste in or upon the Premises. Under no circumstances shall the right herein granted to use the Common Areas be deemed to include the right to sell or solicit in any manner or store any property, temporarily or permanently, in the Common Areas. Any such storage shall be permitted only by the prior written consent of Landlord or Landlord's designated agent, which consent may be revoked at any time. In the event that any unauthorized storage shall occur then Landlord shall have the right, without notice, in addition to any other rights and remedies that it may have, to remove the property and charge the cost to Tenant, which cost shall be payable as additional rent immediately upon demand by Landlord.

10. COMPLIANCE WITH LAWS/HAZARDOUS MATERIALS.
(a) Tenant, at Tenant's expense, shall comply with and cause all of Tenant's agents to comply with all applicable laws, ordinances, rules and regulations of governmental authorities applicable to the Premises or the use or occupancy thereof, including, without limitation, the law commonly known as the Americans With Disabilities Act and California Code of Regulations Title 8, Sections 3281 through 3299 (collectively, "Laws").
(b) Tenant shall not cause or permit any Hazardous Materials, as defined below, to be brought upon, kept, used, discharged, deposited or leaked in or about the Premises or the Property by Tenant or any of Tenant's agents or by anyone in the Premises (other than Landlord or its agents, employees or contractors), except to the extent such Hazardous Materials are cleaning or office supplies customarily kept or used by typical tenants similar to Tenant and are kept and used in accordance with all applicable laws. If Tenant breaches the obligations stated in the preceding sentence, or if the presence of any Hazardous Material on the Premises or the Property caused or suffered or permitted by Tenant or any of Tenant's agents or by anyone in the Premises (other than Landlord or its agents, employees or contractors) results in contamination of the Premises or the Property, or if contamination of the Premises or the Property by any Hazardous Material otherwise occurs for which Tenant is legally liable, then Tenant shall indemnify, defend and hold Landlord harmless from any and all claims, damages, costs, liabilities and expenses (including, without limitation, diminution in value or use of the Property, attorneys' fees, consultant fees and expert fees) which arise during or after the Term as a result of such contamination. This indemnification shall include, without limitation, costs incurred in connection with any investigation of site conditions or any clean-up, remedial, removal or restoration work on or under the Premises. "Hazardous Material" means any hazardous or toxic substance, material or waste which is or becomes regulated by any local, state or federal governmental authority or by common law decisions, including without limitation (i) all chlorinated solvents, (ii) petroleum products or by-products, (iii) asbestos and (iv) polychlorinated biphenyls.

11. WASTE; NUISANCE; QUIET ENJOYMENT. Tenant shall not suffer or commit any waste or nuisance on the Premises, nor shall Tenant interfere with or obstruct the rights of or disturb the quiet enjoyment of any other tenant or occupant of the building or injure or annoy them.

Tenant shall not use or allow the Premises to be used for any improper, immoral, or objectionable purposes, to be determined Landlord's sole and absolute judgment. (a) Tenant shall, at Tenant's sole cost and expense, maintain the Premises above, in good condition and repair. Said maintenance shall include but not be limited to, the interior of the Premises, exterior doors, walls and windows, all fixtures and equipment, including without limitation, heating and ventilation systems, plate glass, electrical wiring, plumbing fixtures, plumbing

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drains (from the interior of the Premises to the point of connection of Tenant's drainage system with the sanitary sewer system owned, managed, and/or maintained by the local municipality). Tenant hereby waives California Civil Code Sections 1932(1), 1941 and 1942 and any other applicable existing or future law, ordinance or governmental regulation permitting Tenant to make repairs at Landlord's expense.

12. SIGNS. All signs and graphics of every kind visible in or from public view or corridors, or the exterior of the Premises, whether inside or outside the Premises, shall be subject to Landlord’s prior written approval and shall be subject to compliance with any applicable Laws, including local sign ordinances and Historic Preservation laws.

13. TRADE FIXTURES AND EQUIPMENT. Tenant at its own expense shall provide and maintain all trade fixtures and equipment reasonably required to enable it to conduct its business in the Premises in a business-like manner. Tenant shall keep all trade fixtures and equipment clean and in good repair. Kitchens or other food preparation facilities shall be steam cleaned annually.

Landlord may inspect the Premises in its sole discretion to ensure good maintenance practices and review the current condition of the Premises. Such fixtures and equipment shall remain the property of Tenant, and Tenant may remove or if required to do so by Landlord, shall remove the same or any part thereof upon the termination of this Lease. Prior to lease expiration or earlier termination, Tenant shall repair at its own expense any damage to the Premises caused by its removal of said fixtures or equipment. All trade fixtures and equipment installed by Tenant pursuant thereto shall not be subject to, and shall be free of any lien for payment of rent by Tenant or for the performance of any other obligation of Tenant. Tenant shall keep Tenant's fixtures and equipment insured for full replacement value.

14. TAXES: Tenant will be and remain responsible for all property taxes and assessments, if any, which may be due or levied against the real property. Tenant recognizes and understands that this Lease may create a possessory interest subject to property taxes and that, if a possessory interest is created, Tenant shall be responsible for payment of property taxes levied against such possessory interest, and shall pay such possessory interest taxes directly to the taxing authority prior to delinquency.

15. DEFAULT AND LANDLORD'S REMEDIES.
(a) Default. The occurrence of any of the following shall constitute a default by Tenant:
(i) Tenant shall fail to pay when due any rent or any other monetary sum payable under this Lease.
(ii) Tenant shall fail to observe, keep or perform any of the other terms, covenants, agreements or conditions contained in this Lease if such default continues for a period of ten (10) days after written notice by Landlord specifying the nature of the default with reasonable particularity, unless the nature of the default is such that more than ten (10) days is required to cure it and Tenant commences to cure it within such ten (10) -day period and thereafter diligently pursues it to completion.
(iii) Tenant shall become bankrupt or insolvent or make a transfer in fraud of creditors, or make an assignment for the benefit of creditors, or take or have taken against Tenant any proceedings of any kind under any provision of the Federal Bankruptcy Act or under any other insolvency, bankruptcy or reorganization act and, in the event any such proceedings are involuntary, Tenant is not discharged from the same within thirty (30) days thereafter.

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(iv) A receiver is appointed for a substantial part of the assets of Tenant, and such receivership is not released within thirty (30) days. (v) The abandonment of the Premises by Tenant, or the vacation (hereby defined to be thirty (30) or more consecutive days of continual absence from the Premises) of the Premises by Tenant.
(vi) This Lease or any estate of Tenant hereunder shall be levied upon by any attachment or execution and such levy is not released within thirty (30) days.

Notices given under this Section shall specify the alleged default and the applicable Lease provisions, and shall demand that Tenant perform the provisions of this Lease or pay the rent that is in arrears, as the case may be, within the applicable period of time, or quit the Premises. (b) Landlord's Remedies. If any default by Tenant shall occur, and following notice of default as required by this Lease (for the period applicable to the default under the applicable provision of this Lease), Landlord shall have the following remedies in addition to all other rights and remedies provided by law or equity, to which Landlord may resort cumulatively or in the alternative. (i) Landlord shall have the immediate option to terminate this Lease and all rights of Tenant hereunder by giving written notice of such intention to terminate. In the event that Landlord shall so elect to terminate this Lease, then Landlord may recover from Tenant:
(1) The worth at the time of award of any unpaid rent which had been earned at the time of such termination; plus
(2) The worth at the time of award of the amount by which the unpaid rent which would have been earned after termination until the time of award exceeds the amount of such rental loss Tenant proves could have been reasonably avoided; plus (3) The worth at the time of award of the amount by which the unpaid rent for the balance of the term after the time of award exceeds the amount of such rental loss that Tenant proves could be reasonably avoided; plus (4) Any other amount necessary to compensate Landlord for all the detriment proximately caused by Tenant's failure to perform its obligations under this Lease or which in the ordinary course of things would be likely to result therefrom; and (5) At Landlord's election, such other amounts in addition to or in lieu of the foregoing as may be permitted from time to time by applicable law.

As used in Subparagraphs (a) and (b) above of this Section, the "worth at the time of award" is computed by allowing interest at the maximum rate an individual is permitted by law to charge. As used in subparagraph (c) above, the "worth at the time of award" is computed by discounting such amount at the discount rate of the Federal Reserve Bank of San Francisco at the time of award plus one percent (1%).
(ii) In the event of the vacation or abandonment of the Premises by Tenant, or in the event that Landlord shall elect to reenter as provided herein or shall take possession of the Premises pursuant to legal proceeding or pursuant to any notice provided by law, then Landlord shall have the remedy specified by Civil Code Section 1951.4, in which Landlord may from time to time recover all rental as it becomes due or relet the Premises or any part thereof for the account of Tenant

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on such term or terms and at such rental or rentals and upon such other terms and conditions as Landlord in its sole discretion may deem advisable, with the right to make alterations and repairs to the Premises. In the event that Landlord shall elect so to relet, then rentals received by Landlord from such reletting shall be applied first, to the payment of any indebtedness, other than rent due hereunder, owed by Tenant to Landlord; second, to the payment of any cost (including commissions) of such reletting; third, to the payment of the cost of any alterations and repairs to the Premises; fourth, to the payment of rent due and unpaid hereunder; and the residue, if any, shall be held by Landlord and applied in payment of future rent as the same may become due and payable hereunder. Should that portion of such rentals received from such reletting during any month, which is applied to the payment of rent hereunder, be less than the rent payable during that month by Tenant hereunder, then Tenant shall pay such deficiency to Landlord upon demand. Tenant shall also pay to Landlord, as soon as ascertained, any and all costs and expenses incurred by Landlord in such reletting or in making such alterations and repairs not covered by the rentals received from such reletting.

No reentry or taking possession of the Premises by Landlord pursuant to this Section shall be construed as an election to terminate this Lease unless a written notice of such intention be given to Tenant or unless the termination thereof be decreed by a court of competent jurisdiction.

16. ASSIGNMENT AND SUBLETTING. Tenant shall not either voluntarily, or by operation of law, assign, transfer, mortgage, pledge, hypothecate or encumber this Lease or any interest therein, and shall not sublet the said Premises or any part thereof, or any right or privilege appurtenant thereto, or allow any other person (the employees, agents, servants and invitees of Tenant excepted) to occupy or use the said Premises, or any portion thereof, without first obtaining the written consent of Landlord which may be withheld in Landlord’s sole discretion. If an assignment or subletting involves a use other than that permitted in this Lease, Tenant must comply with said use. Consent to one assignment, subletting, occupation or use by another person shall not be deemed to be consent to any subsequent assignment, subletting, occupation or use by another person. Consent to any such assignment or subletting shall in no way relieve Tenant of any liability under this Lease. Any such assignment or subletting without such consent shall be void, and shall, at the option of the Landlord, constitute a default under the terms of this Lease. No sublease or assignment shall release Tenant from continuing liability hereunder. In the event that Landlord shall consent to a sublease or assignment hereunder, Tenant shall pay Landlord reasonable attorney fees and costs incurred in connection with the processing of documents necessary to giving of such consent. Any excess consideration above the rental rate provided in this Lease Tenant is entitled to as a result of any assignment or sublease shall be divided and paid 50% to Tenant and 50% to Landlord; provided, however, that if Tenant is in default under this Lease, Landlord shall be entitled to all such excess consideration.
(a) Procedures. Should Tenant desire to assign, transfer, sublet, mortgage, pledge, hypothecate or encumber this Lease or any interest therein (a “Transfer”), Tenant shall request, in writing, Landlord's consent to the proposed Transfer at least 60 days before the intended effective date of the proposed Transfer (which request shall be accompanied by a payment of Five Hundred Dollars ($500.00) to reimburse Landlord for costs incurred in connection with reviewing such proposed Assignment), which request shall include any information reasonably requested by Landlord to evaluate the proposed Transfer. Within 30 days after receipt of Tenant's request for consent to the proposed Transfer together with all of the above-required information, Landlord shall respond and shall have the right to: (a) consent to the proposed Transfer; (b) refuse to consent to the proposed Transfer; or (c) terminate this Lease, such termination to be effective 30 days after Tenant's receipt of Landlord's notice electing to so terminate. If Landlord shall exercise its termination right hereunder, Landlord shall have the right to enter into a lease or other occupancy agreement directly with the proposed transferee, and Tenant shall have no right to any of the rents or other consideration payable by such proposed transferee under such other lease or occupancy agreement. A consent to one Transfer by Landlord

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shall not be deemed to be a consent to any subsequent Transfer to any other party. (b) Standard for Consent. Tenant agrees that Landlord may refuse its consent to the proposed transfer on any reasonable grounds, and (by way of example and without limitation) Tenant agrees that it shall be reasonable for Landlord to withhold its consent if any of the following situations exist or may exist: (a) the proposed assignee, subtenant or transferee (each a "Transferee") proposes to change the use of the Premises from the permitted use pursuant to Section 8, and the new proposed use of the Premises (i) is a non-retail use; or (ii) is a use which would breach any exclusive use rights granted in writing to another tenant in the Property; or (iii) is a use which would duplicate the primary use of any other tenant or occupant in the Property; or (iv) in Landlord's reasonable opinion, is inconsistent with the tenant mix in the Property at the time of the request for Landlord's consent (excepting the use specified in Section 8 above); (b) the proposed Transferee's financial condition, net worth or liquidity is inadequate, based upon Landlord's reasonable business judgment consistent with generally accepted industry standards necessary to support all of the financial and other obligations of Tenant under this Lease; (c) the business reputation or character of the proposed Transferee is not reasonably acceptable to Landlord; (d)the proposed Transferee is not likely to conduct on the Premises a business of a quality substantially equal to that conducted by Tenant, including Landlord's ability to obtain Percentage Rent; or (e) the business of the proposed Transferee is not, in Landlord's reasonable judgment, a business that is likely to attract patrons to the Property, based on the demographics and clientele of the Property, or the business or reputation of the proposed Transferee is inconsistent with the image of the Property; (f) the proposed Transferee would, in Landlord's reasonable judgment, be unlikely to generate revenues in sufficient amounts to sustain the level of percentage rent obligations then being incurred by Tenant; (g) the proposed Transferee will create a vacancy elsewhere in the Property; (h) the proposed Transferee is a person with whom Landlord is, or recently has been, within the past three (3) months, negotiating to lease space in property owned by Landlord, including the Property; (i) Tenant is in default under the Lease, or has defaulted hereunder on more than three (3) occasions during the twelve (12) months preceding the request by Tenant; (j) the proposed business plan (or past business history) of the proposed Transferee indicates a possible likelihood of detriment to any portion of the Property or to the Rent to be received by Landlord hereunder; (k) the proposed Transferee will operate under a trade name other than that stated in this Lease; and/or (l) the proposed Transferee does not, in Landlord's reasonable judgment, have sufficient business experience (including substantial experience in comparable retail centers) to successfully operate a retail establishment in the Premises in the manner contemplated in the Lease.

17. DESTRUCTION OF PREMISES.
(a) Destruction Due to Risk Covered by Insurance. If, during the term of this Lease and any renewal term, the Premises or the Property and other improvements in which the Premises are located are totally or partially destroyed from a risk covered by insurance carried by either Tenant or Landlord for the Property, rendering the Premises totally or partially inaccessible or unusable, Landlord shall restore the Premises or the Property, and other improvements in which the Premises are located, to substantially the same condition as they were immediately before destruction if they can be repaired within 270 days from date of destruction. Such destruction shall not terminate this Lease.

If the existing laws do not permit the restoration, either party can terminate this Lease immediately by giving notice to the other party. Provided, however, if the cost of the restoration exceeds the amount of proceeds received from the insurance, or the estimate of time to fully restore the Premises exceeds the lesser of 270 days or the remaining Term of the Lease, Landlord can elect to terminate this Lease by giving notice to Tenant within fifteen (15) days after determining that the restoration cost will exceed the insurance proceeds.
(b) Destruction Due to Risk Not Covered by Insurance. If, during the term

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of this Lease and any renewal term, the Premises or the Property and other improvements in which the Premises are located are totally or partially destroyed by a risk not covered by the insurance, rendering the Premises totally or partially inaccessible or unusable, Landlord can elect to terminate this Lease by giving notice to Tenant within fifteen (15) days after determining the restoration cost and replacement value.
(c) Abatement or Reduction of Rent. In case of destruction, there shall be an abatement or reduction of rent between the date of destruction and the date of substantial completion of restoration based on the extent to which the destruction interferes with Tenant's use of the Premises. (d) Waiver of Civil Code Sections. Tenant waives the provisions of California Civil Code Section 1932(2) and California Civil Code Section 1933(4) with respect to any destruction of the Premises.

18. INDEMNITY.
(a) Waiver of Claims. To the extent permitted by law, Tenant waives all claims against Landlord for damage to person or property arising for any reason. Tenant assumes all such risks for Tenant and any employees, licensees, invitees, agents, or contractors. (b) General Indemnity. Tenant shall indemnify, protect, defend (at Tenant's sole cost and with legal counsel acceptable to Landlord) and hold harmless, Landlord and Landlord’s affiliated entities, and each of their respective members, managers, partners, officers, employees, volunteers, council members, board members, lenders, agents, contractors, successors and assigns from and against any and all claims, judgments, causes of action, damages, penalties, costs, liabilities, and expenses, including all court costs and attorney fees, arising at any time during or after the Term, as a result (directly or indirectly) of or in connection with (i) default in the performance of any obligation on Tenant’s part to be performed under the terms of this Lease, or (ii) Tenant’s use of the Premises, the conduct of Tenant’s business or any activity, work or things done, permitted or suffered by Tenant or Tenant’s employees, agents, customers, visitors, invitees, licensees, contractors, assignees or subtenants (individually, a “Tenant Party” and collectively “Tenant Parties”) in or about the Premises, the Property, the Common Area or other portions of the Premises except as provided by law or for claims caused solely by Landlord’s gross negligence or willful misconduct. Tenant’s indemnity is not intended to nor shall it relieve any insurance carrier of its obligations under policies required to be carried by Tenant pursuant to the provisions of this Lease to the extent such policies cover the results of negligent acts or omissions of Landlord, its employees, agents, volunteers, contractors, council members, board members and officers or the failure of Landlord to perform any of its obligations under this Lease. The obligations of Tenant under this Section 20(b) shall survive the termination or earlier expiration of this Lease.
(c) Exemption of Landlord from Liability. Tenant, as a material part of the consideration to Landlord, hereby assumes all risk of damage to the Premises and its property including, but not limited to, Tenant's fixtures, equipment, furniture and alterations, or illness or injury to persons in, upon or about the Premises, arising from any cause, and Tenant hereby expressly releases Landlord and waives all claims in respect thereof against Landlord, except only such claims as are caused solely by Landlord's gross negligence or willful misconduct. Tenant hereby agrees that Landlord shall not be liable for injury to Tenant's business or any loss of income therefrom or for damage to the property of Tenant, or injury to or illness or death of Tenant or any Tenant Party or any other person in or about the Premises, whether such damage, illness or injury is caused by fire, steam, electricity, gas, water or rain, or from the breakage, leakage or other defects of sprinklers, wires, appliances, ventilation, plumbing, air conditioning or lighting fixtures, or from any other cause, and whether said damage, illness or injury results from conditions arising upon the Premises, upon other portions of the Property

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or from other sources or places, and regardless of whether the cause of such damage, illness or injury or the means of repairing the same is inaccessible to Tenant, except only damage, illness or injury caused solely by Landlord's gross negligence or willful misconduct.

19. ENTRY BY LANDLORD. Except for emergencies such as fire, water intrusion and the like which may be at any time, Landlord and its agents shall have the right to enter the Premises at reasonable times to inspect and examine the same and to make such repairs to the Premises as the Landlord shall deem advisable, and to show the Premises to prospective tenants, buyers or lenders.

20. ATTORNEY’S FEES AND COURT COSTS: In the event of any legal action arising out of or concerning this Lease or any performance or nonperformance hereunder, the prevailing party shall be entitled to recover reasonable attorney’s fees and all other costs incurred in connection therewith or as a result thereof.

21. WAIVER; ACCORD AND SATISFACTION. No delay or omission in the exercise of any right or remedy of Landlord on any default by Tenant shall impair such right or be construed as a waiver. The receipt and acceptance by Landlord of delinquent rent shall not constitute a waiver of any other default; it shall constitute only a waiver of timely payment for the particular rent payment involved. No payment by Tenant or receipt by Landlord of a lesser amount than the rent payment herein stipulated shall be deemed to be other than on account of the rent, nor shall any endorsement or statement on any check or any letter accompanying any check or payment as rent be deemed an accord and satisfaction, and Landlord may accept such check or payment without prejudice to Landlord's right to recover the balance of such rent or pursue any other remedy provided in this Lease.

22. BINDING ON SUCCESSORS AND ASSIGNS: The terms and conditions of this Lease shall be binding upon and shall inure to the benefit of each of the parties hereto, their heirs, personal representatives, successors and assigns.

23. TIME OF ESSENCE: Time is of the essence with respect to the performance of all obligations to be performed or observed by the Parties under this Lease.

24. NOTICE: All notices, statements, demands, requests, consents, approvals, authorizations, appointments or designations hereunder by either party to the other shall be in writing and shall be sufficiently given and served upon the other party, if sent by United States registered mail, return receipt requested, postage prepaid and addressed as follows:

TO TENANT: Gina’s Italian
Cuisine Attn:
, CA
TO LANDLORD: City of Arroyo Grande
Attn: City Manager
300 E. Branch St.,
Arroyo Grande, CA 93420
Any Party may change its address by giving notice to the other Party in the manner provided for in this Section.

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25. WAIVERS: No waiver by Landlord or Tenant of any breach hereof or of any provisions hereof shall be deemed a waiver of any subsequent breach or provision (even if the subsequent breach is the same as said previous breach or provision).

26. DELIVERY OF RELATED DOCUMENTS: Tenant will execute or provide, as requested by Landlord, such other documents and information as may be reasonably necessary to carry out the purpose of this Lease.

27. NO RIGHT TO HOLDOVER: Tenant has no right to retain possession of the Premises or any part thereof beyond the expiration or termination of this Lease. In the event that Tenant holds over, then the Rent shall be increased to one hundred fifty percent (150%) of the Rent in effect during the last month of the Term. Nothing contained herein shall be construed as consent by Landlord to any holding over by Tenant. The foregoing provisions of this Section are in addition to and do not affect Landlord's right of re-entry or any rights of Landlord hereunder or as otherwise

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provided by law. If Tenant fails to surrender the Premises upon the expiration of this Lease, Tenant shall indemnify, protect, defend and hold Landlord harmless from all loss or liability, including without limitation, any claim made by any succeeding tenant founded on or resulting from such failure to surrender. Such indemnity shall survive the expiration of this Lease.

28. COVENANTS AND CONDITIONS; CONSTRUCTION OF AGREEMENT:

All provisions of this Lease to be observed or performed by Tenant are both covenants and conditions. In construing this Lease, all headings and titles are for the convenience of the parties only and shall not be considered a part of this Lease. Whenever required by the context, the singular shall include the plural and vice versa. This Lease shall not be construed as if prepared by one of the parties, but rather according to its fair meaning as a whole, as if both parties had prepared it.

29. ESTOPPEL CERTIFICATE. Tenant shall execute and deliver to Landlord within ten (10) days of request a commercially reasonable estoppel statement. Landlord and Tenant intend that any estoppel statement delivered pursuant to this Section may be relied upon by any mortgagee, beneficiary, purchaser or prospective purchaser of the building or any interest therein and failure to execute and return such estoppel shall be a material breach of the Lease.

30. BINDING EFFECT; CHOICE OF LAW: This Lease shall be binding upon the parties, their personal representatives, successors and assigns and be governed by the laws of the State in which the Premises are located. Any litigation between the Parties hereto concerning this Lease shall be initiated in the county in which the Premises are located.

31. SEVERABILITY. If, for any reason whatsoever, any of the provisions hereof shall be unenforceable or ineffective, all of the other provisions shall be and remain in full force and effect.

32. AUTHORITY/CONSENTS & APPROVALS. Each of the persons executing this Lease on behalf of Tenant warrants and represents that Tenant is a duly organized and validly existing entity, that Tenant has full right and authority to enter into this Lease and that the persons signing on behalf of Tenant are authorized to do so and have the power to bind Tenant to this Lease. Tenant shall provide Landlord upon request with evidence reasonably satisfactory to Landlord confirming the foregoing representations. The approval of Landlord, wherever required in this Lease, shall mean the approval of the City Council.

33. ENTIRE AGREEMENT; AMENDMENT: This Lease constitutes the entire agreement between the Parties with respect to the lease of the Premises, and this Lease shall not be modified, amended, altered, or changed except with the written consent of Landlord and Tenant. Any provision of this Lease found to be prohibited by law shall be ineffective to the extent of such prohibition without invalidating the remainder of this Lease.
[SIGNATURES ON FOLLOWING PAGE]

13 IN WITNESS WHEREOF, the Parties hereto have caused this Lease to be executed and attested to by their proper officers hereunto duly authorized and their official seals to be hereto affixed, on the day and year first set forth above.

TENANT:

Gina’s Italian Restaurant
By:

Name:

Its:

Date:

LANDLORD:

CITY OF ARROYO GRANDE,
a California municipal corporation
By:

Name:

Its:

Date:

APPROVED AS TO LEGAL FORM:

BEST, BEST & KRIEGER LLP
By:

Name:

Item 11.a.

MEMORANDUM
TO: City Council
FROM: Brian Pedrotti, Director of Community Development BY: Andrew Perez, Planning Manager
SUBJECT: Pre-Application for a New Hotel at 400 W. Branch Street DATE: February 11, 2025
RECOMMENDATION:

Review the proposed pre-application, receive public comment, and provide preliminary comments to the applicant.

IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:

No financial impacts are associated with the pre-application discussion.

BACKGROUND:

The project site is approximately 4.25 acres, comprised of two parcels (APNs 007-011- 055 and 007-011-056) and is owned by the City in fee simple. Each parcel is zoned Public Facility (PF) and has a Community Facility land use designation for the General Plan. The parcel ending in -056 is approximately 4.0 acres and the parcel ending in -055 is approximately 0.25 acres. The City followed the required procedure associated with the Surplus Land Act between 2022 and 2024, and subsequent to that time, the City engaged in negotiations with an interested hotel developer for the potential purchase and development of the project site. The developer submitted a pre-application to obtain preliminary comments from staff, the Council, and the public on a potential hotel project at this site.

Item 11.a.

City Council
Pre-Application for a New Hotel at 400 W. Branch Street February 11, 2025

Image 1: Project Site
Project Description
The preliminary and conceptual plans propose a three-story hotel on 2.5 acres of the

4.25-acre site. The hotel plans include 125 guest rooms, a fitness room, swimming pool and spa, and a surface parking lot. The floor plans show 33 guest rooms on the first level, and 46 guest rooms on the second and third levels. Landscaping consisting of various trees and shrubs is proposed around the perimeter of the site and within the parking lot.

Off-site improvements consisting of City-standard curb, gutter, and sidewalk along the project frontages on W. Branch Street and Old Ranch Road would also be constructed as part of the project. A lot line adjustment (LLA) will be necessary to establish the boundaries of the 2.5-acre project site, leaving the remaining approximately 1.75 acres of the property for another future use.

At the preliminary stage, the conceptual plans demonstrate that the project is compatible with the surrounding development. The proposed finished grade of the project site where the hotel is located is approximately 25 feet lower than the highest elevation of the project site. This grade differential will help obscure views of the parking lot and much of the hotel structure from the residential neighborhoods to the north. Robust landscaping will further obscure the project’s visibility from the north. Hotel generated traffic will access the site from W. Branch Street and is unlikely to create a significant number of trips that travel into the residential areas near the project site.

ANALYSIS OF ISSUES:

The current land use designation of the property is Community Facility and its zoning designation is Public Facility. The PF zone implements the Community Facility land use designation by allowing for the development of public and quasi-public land uses such as

2.5 Acre Project Site
Approx. location of
proposed lot line after
adjustment

Item 11.a.

City Council
Pre-Application for a New Hotel at 400 W. Branch Street February 11, 2025

educational and public recreational facilities, public safety facilities, hospitals, and religious buildings. These current designations do not allow for the development of a hotel, therefore a General Plan Amendment (GPA) and Development Code Amendment (DCA) will need to be processed either prior to, or concurrently with an application for the hotel itself. A change in the land use and zoning designations to Mixed-Use and Highway Mixed-Use (HMU) will allow for the processing of an application for the hotel entitlements.

The City Council is authorized by the AGMC to approve the GPA and DCA.

Accordingly, analysis of the conceptual project is consistent with the HMU zone. The application for a GPA and DCA would involve both parcels, which will make the 1.75-acre parcel available for multi-family housing or other uses allowed in the HMU zone. It is important to note that the Surplus Land Act process required the City to record a covenant against both subject parcels, that requires any future housing development project consisting of ten (10) or more units on the subject property must reserve at least fifteen percent (15%) of the units for lower income households. This does not affect the proposed hotel development.

The HMU district implements and is consistent with the Mixed Use General Plan Land Use designation by providing areas for a variety of visitor-serving and auto-related uses in areas convenient to both freeway traffic and vehicles or pedestrians. The associated development standards are intended to enhance the types of land uses allowed in this zone, which tend to be compatible with locations near Highway 101.

General Plan Consistency
The Mixed Use General Plan Land Use designation is intended to provide for a variety of retail and service commercial, offices, residential, and other compatible uses that support multiple neighborhoods and the greater community. Policy 5-8 of the Land Use Element encourages the development of commercial, office, and residential uses along the City’s primary mixed-use corridors. Tourist accommodation and eating and drinking establishments are specifically encouraged by this policy.

The proposed project helps further three (3) of the City’s Primary Economic Development Element goals, including:

1. Create a thriving economy;

2. Meet unmet community needs; and

3. Promote business activity.

The conceptual project would generate revenue through transient occupancy tax (TOT) to support the City’s general fund. Additionally, the hotel will generate jobs during the construction phase and in perpetuity during its operations. It is also consistent with Policies ED6-3 and ED6-1.8 of the Economic Development Element as follows:
 ED6-3: Capitalize on development opportunities to increase lodging facilities.

Item 11.a.

City Council
Pre-Application for a New Hotel at 400 W. Branch Street February 11, 2025

 ED6-1.8: Work with developers, landowners, and others to site and design appropriate hotels, motels, bed and breakfasts, and country inns.

Development Standards
Hotels are allowed in the HMU zone with the approval of a conditional use permit (CUP) and are subject to the development standards for the zone. The HMU zone allows for zero setbacks, except when a project site is located adjacent to a residential use or residentially zoned property. No residential uses or lots abut the project site, therefore no setbacks are required for this proposed project. The hotel rendering is shown approximately 20 feet from both W. Branch Street and Old Ranch Road to allow room for landscaping. The project proposes a lot coverage of twenty percent (20%), which is much less than the maximum allowed lot coverage of seventy-five percent (75%). The project also complies with the standard for floor-area ratio (FAR), which is defined as the numerical value obtained by dividing the gross lease-able floor area of a building or buildings located on a lot by the total net area of the lot. The maximum allowed floor-area ratio is 0.75, and the project proposes a FAR of 0.48. Visitor-serving uses, such as hotels, may be up to 36 feet tall with the approval of a CUP in this zone. Building height is measured from the average finished ground level to the highest point of the roofline, exclusive of incidental appurtenances such as mechanical equipment, chimneys, and other architectural features. The proposed design shows the primary roof line at 34 feet, in compliance with the Municipal Code. The proposed finished elevation of the project site, which is approximately 25 feet lower than the elevation at the northern boundary of the site will minimize views of the structure from nearby residential neighborhoods.

Architecture
A contemporary architectural style featuring a variety of colors and materials is currently proposed. Vertical board siding is shown on the ground level and at the corners of the structure, while the remaining portion of the structure would be clad in exterior plaster.

Stone veneer would be used as an accent material throughout the design. Standing seam metal roofing material is used throughout and complemented by metal canopies on the north and south elevations. The design uses tower elements of various heights to avoid a single roofline. These towers also project from the main wall plane to break up the massing of the building. Surface artwork and metal art panels resembling the silhouette of an oak tree add interest to the design. When the formal application is submitted, the project design will be reviewed by the Architectural Review Committee, who will make a recommendation to decision makers.

Access & Parking
Two driveways are proposed to provide access into the hotel’s parking lot: the primary driveway located on W. Branch Street and the secondary on Old Ranch Road. The driveway on W. Branch Street would serve as the only point of egress from the site. The Five Cities Fire Authority has reviewed the preliminary plans and determined that the access and internal circulation provide sufficient access for emergency vehicles.

Item 11.a.

City Council
Pre-Application for a New Hotel at 400 W. Branch Street February 11, 2025

The Municipal Code requires hotels to provide one (1) parking space per guest room and two (2) spaces for the associated office space, resulting in a parking requirement of 127 spaces for the proposed hotel use. The site plan shows 124 automobile parking spaces for the proposed hotel and five (5) motorcycle spaces. AGMC Section 16.56.080 requires motorcycle parking at a rate of one (1) space for every twenty-five (25) automobile parking spaces. Motorcycle parking spaces required by Section 16.56.080 count toward fulfilling automobile parking spaces at the rate of one parking space per motorcycle parking space.

Therefore, the parking proposed for the conceptual project meets the requirements of the AGMC.

Next Steps
With feedback from City Council and the public, the applicant can refine the hotel design and prepare an application for a formal submittal. The project will undergo review from the Staff Advisory Committee and Architectural Review Committee prior approval of the entitlements. Multiple applications are required to entitle this project, and pursuant to AGMC Section 16.12.70, because City Council is authorized to approve the GPA and DCA, the approval authority for all the applications rests with City Council. In the event that the GPA and DCA be approved by City Council separately and prior to the CUP and LLA, the Planning Commission would be authorized to approve the CUP and LLA, and would not be considered by City Council.

ALTERNATIVES:

The following alternatives are provided for the Council’s consideration:

1. Provide preliminary comments and suggestions to the applicant regarding the proposed project, as presented; or

2. Provide other direction to staff and/or the applicant.

ADVANTAGES:

The applicant is currently seeking comments and suggestions from the City Council and the public on processing entitlements to establish a new hotel on surplus property.

Comments made on the proposed project will provide the applicant with information to make a decision whether or not to pursue the application process for establishment of tourist accommodations.

DISADVANTAGES:

The project will have localized impacts such as increased traffic and construction work.

The area may be impacted by the proposal if appropriate mitigation is not incorporated and implemented. Further, the project location has been used for intermittent staging of equipment for City projects, and an alternate site will need to be found for these purposes.

ENVIRONMENTAL REVIEW:

No environmental review is required for this pre-application item. Appropriate environmental review will be required as part of processing the formal project submittal.

Item 11.a.

City Council
Pre-Application for a New Hotel at 400 W. Branch Street February 11, 2025

The formal application will require a thorough analysis of potential environmental impacts pursuant to the California Environmental Quality Act (CEQA).

PUBLIC NOTIFICATION AND COMMENTS:

The Agenda was posted at City Hall and on the City’s website in accordance with Government Code Section 54954.2. Staff mailed a courtesy notice of this pre-application discussion to all property owners on Mercedes Lane and Old Ranch Road, immediately north of the project site. The neighborhood will continue to be engaged during the entitlement process.

ATTACHMENTS:

1. Conceptual Plans

ARCHITECTURAL
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Irvine, CA 92606
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21 KEYNOTE LEGEND
1 PROPOSED CONCRETE PAVING2 ENHANCED VEHICULAR PAVING3 12” CONCRETE BAND4 ASPHALT PAVING - PER CIVIL ENGINEER5 PROPOSED PLANTING AREA6 NATIVE GRASS PLANTING7 BACK SPLASH AT SPA8 SCREENING WALL9 ADA RAMP WITH TRUNCATED DOMES 10 PROPOSED ART INSTALLATION
11 LOUNGE SEATING AT POOL
12 SHADED SEATING13 SWIMMING POOL14 SPA15 TRASH ENCLOSURE - PER ARCHITECT16 PROPOSED BIKE RACK LOCATION17 POOL GATE AND FENCE ENCLOSURE18 OVERHEAD STRUCTURE - PER ARCHITECTURE19 RETAINING WALL20 EXISTING OAK TREES TO REMAIN - TYP.21 PROPOSED SIGNAGE PROJECT SUMMARYOVERALL SITE AREA 110,670 SFOVERALL LANDSCAPE AREA 39,951 SFLANDSCAPE COVERAGE 36% IRRIGATION DESIGN NOTESTHE IRRIGATION SYSTEM WILL BE A FULLY AUTOMATIC UNDERGROUND SYSTEM. BACKFLOW PREVENTION DEVICES WILL BE INSTALLED TO MEET APPLICABLE CODES. THE IRRIGATION SYSTEM WILL BE DESIGNED AND CONSTRUCTED TO BE AS EFFICIENT IN TERMS OF WATER USAGE AS POSSIBLE. WATER CONSERVATION PRODUCTS (HIGH EFFICIENCY / LOW PRECIPITATION) AND AN EVAPOTRANSPIRATION (ET) WEATHER BASED CONTROL SYSTEM WILL BE INCORPORATED INTO THE SYSTEM DESIGN.PLANTING DESIGN NOTESTHE SELECTION OF PLANT MATERIAL IS BASED ON CULTURAL, AESTHETIC, AND MAINTENANCE CONSIDERATIONS. ALL PLANTING AREAS SHALL BE PREPARED WITH APPROPRIATE SOIL AMENDMENTS, FERTILIZERS, AND APPROPRIATE SUPPLEMENTS BASED UPON A SOILS REPORT FROM AN AGRICULTURAL SUITABILITY SOIL SAMPLE TAKEN FROM THE SITE. GROUND COVERS OR BARK MULCH SHALL FILL IN BETWEEN THE SHRUBS TO SHIELD THE SOIL FROM THE SUN, EVAPOTRANSPORATION AND RUN-OFF. ALL THE FLOWER AND SHRUB BEDS SHALL BE MULCHED TO A 3” DEPTH TO HELP CONSERVE WATER, LOWER THE SOIL TEMPERATURE AND REDUCE WEED GROWTH. THE SHRUBS SHALL BE ALLOWED TO GROW IN THEIR NATURAL FORMS. ALL LANDSCAPE IMPROVEMENTS SHALL FOLLOW THE CITY OF ARROYO GRANDE GUIDELINES.

GENERAL DESIGN NOTES1. FINAL LANDSCAPE PLANS SHALL ACCURATELY SHOW PLACEMENT OF TREES, SHRUBS, AND GROUNDCOVERS. 2. LANDSCAPE ARCHITECT SHALL BE AWARE OF UTILITY, SEWER, STORM DRAIN EASEMENT AND PLACE PLANTING LOCATIONS ACCORDINGLY TO MEET CITY OF ARROYO GRANDE REQUIREMENTS.

3. ALL REQUIRED LANDSCAPE AREAS (INCLUDING PUBLIC RIGHT-OF-WAY) SHALL BE MAINTAINED BY OWNER. THE LANDSCAPE AREAS SHALL BE MAINTAINED PER CITY OF ARROYO GRANDE REQUIREMENTS.4. ALL IMPROVEMENTS WITHIN THE PUBLIC RIGHT-OF-WAY, INCLUDING STREET TREES, SHALL BE INSTALLED PER THE PUBLIC IMPROVEMENT PLANS.

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TREE LEGEND
SYMBOL BOTANICAL NAME COMMON NAME SIZE QTY. WUCOLS DESCRIPTION PLATANUS RACEMOSAWESTERN SYCAMORE 36” BOX - M CANOPY TREEQUERCUS AGRIFOLIACALIFORNIA LIVE OAK 36” BOX VL CANOPY TREESCHINUS MOLLECALIFORNIA PEPPER TREE 24” BOX - L ACCENT TREEGEIJERA PARVIFLORAAUSTRALIAN WILLOW 24” BOX - M SINGLE TRUNKCERCIS CANADENSISEASTERN REDBUD 24” BOX - M SINGLE TRUNKLOPHOSTEMON CONFERTUSBRISBANE BOX 24” BOX - M UPRIGHT TREEPHOENIX DACTYLIFERADATE PALM 15’ - 20’
B.T.H. - L PALM TREE
DRACAENA DRACODRAGON TREE 24” BOX - L ACCENT TREE

SHRUB LEGEND

SYMBOL BOTANICAL NAME COMMON NAME WUCOLS SIZE
AGAVE ‘BLUE FLAME’BLUE FLAME AGAVE L 15 GAL.BACCHARIS ‘CENTENNIAL’CENTENNIAL BACCHARIS VL 5 GAL.

BOUTELOUA GRACILIS ‘BLONDE AMBITION’BLONDE AMBITION BLUE GRAMA GRASS L 5 GAL.BUXUS MICROPHYLLA JAPONICA JAPANESE BOXWOOD M 5 GAL.

CAREX DIVULSABERKELEY SEDGE L 5 GAL.CARISSA MACROCARPA ‘GREEN CARPET’ GREEN CARPET NATAL PLUM L 1 GAL.

DIANELLA TASMANICA ‘VARIEGATA’VARIEGATED FLAX LILY M 5 GAL.FICUS PUMILA (VINE)CREEPING FIG M 15 GAL.FURCRAEA FOETIDA ‘MEDIOPICTA’MAURITIUS HEMP L 15 GAL.LIGUSTRUM JAPONICUM ‘TEXANUM’WAXLEAF PRIVET M 15 GAL.

LOMANDRA LONGIFOLIA ‘BREEZE’BREEZE MAT RUSH L 5 GAL.

MUHLENBERGIA CAPILLARISPINK MUHLY L 5 GAL.

MYOPORUM PARVIFOLIUM ‘PUTAH CREEK’PUTAH CREEK MYOPORUM L 1 GAL.

PHILODENDRON ‘XANADU’XANADU PHILODENDRON M 5 GAL.RHAPHIOLEPIS INDICA ‘CLARA’INDIAN HAWTHORN ‘CLARA’ L 5 GAL.SENECIO SERPENSBLUE CHALKSTICKS L 1 GAL.TRADESCANTIA PALLIDA ‘PURPLE HEART’PURPLE HEART WANDERING JEW M 1 GAL.WESTRINGIA ‘BLUE GEM’BLUE GEM WESTRINGIA L 5 GAL.

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TREE IMAGESSHRUB IMAGES

SCHINUS MOLLE
(CALIFORNIA PEPPER TREE)HEIGHT: 25’ - 40’SPREAD: 25’ - 40’WUCOLS: L

PLATANUS RACEMOSA
(WESTERN SYCAMORE )HEIGHT: 30’ - 80’SPREAD: 20’ - 50’WUCOLS: M

QUERCUS AGRIFOLIA
(COAST LIVE OAK)HEIGHT: 20’ - 70’SPREAD: 20’ - 70’WUCOLS: M/LFULL SUN PARTIAL SHADE

GEIJERA PARVIFLORA
(AUSTRALIAN WILLOW)
HEIGHT: 20’ - 30’SPREAD: 15’ - 20WUCOLS: L

CERCIS CANADENSIS
(EASTERN REDBUD)HEIGHT: 20’ - 30’SPREAD: 25’ - 35’WUCOLS: MFULL SUN PARTIAL SHADE

TRISTANIA CONFERTA
(BRISBANE BOX TREE)HEIGHT: 30’ - 50’SPREAD: 10’ - 30’WUCOLS: MFULL SUN TO PART SHADE PHOENIX DACTYLIFERA ‘MEDJOOL’
(DATE PALM)HEIGHT: 40’ - 50’SPREAD: 10’ - 15’WUCOLS: LFULL SUN TO PART SHADE BACCHARIS X ‘CENTENNIAL’
(CENTENNIAL DESERT BROOM)
HEIGHT: 3’SPREAD: 4’ - 5’WUCOLS: L
BOUTELOUA GRACILIS ‘BLONDE AMBITION’
(BLUE GRAMA GRASS)
HEIGHT: 30” - 36”SPREAD: 30” - 36”WUCOLS: L-M

BUXUS MICROPHYLLA JAPONICA
(JAPANESE BOXWOOD)
HEIGHT: 5’ - 6’SPREAD: 4’ - 6’WUCOLS: M
CARISSA MACROCARPA ‘GREEN CARPET’
(GREEN CARPET NATAL PLUM)HEIGHT: 12” - 15”SPREAD: 4’ - 5’ WUCOLS: L
DIANELLA TASMANICA ‘VARIEGATA’
(VARIEGATED FLAX LILY)HEIGHT: 3.5’SPREAD: 1’WUCOLS: M

FICUS PUMILA
(CREEPING FIG)HEIGHT: 25’ - 30’SPREAD: 3’ OR MOREWUCOLS: M FURCRAEA FOETIDA ‘MEDIOPICTA’
(MAURITIUS HEMP)HEIGHT: 4’ - 5’SPREAD: 6’ - 8’WUCOLS: LCOOL SUN TO LIGHT SHADE LOMANDRA LANGIFOLIA ‘BREEZE’
(DWARF MAT RUSH)HEIGHT: 3’SPREAD: 3’WUCOLS: LPARTIAL TO FULL SUN MYOPORUM PARVIFOLIUM ‘PUTAH CREEK’(PUTAH CREEK MYOPORUM) HEIGHT: 12”SPREAD: 6’ - 12’WUCOLS: FULL SUN
PHILODENDRON ‘XANADU’
(XANADU PHILODENDRON)
HEIGHT: 2’ - 3’SPREAD: 3’ - 4’WUCOLS: M
RHAPHIOLEPIS INDICA ‘CLARA’
(INDIAN HAWTHORN CLARA)HEIGHT: 4’ - 5’SPREAD: 4’ - 5’WUCOLS: M SENECIO SERPENS(BLUE CHALKSTICKS )HEIGHT: 1’SPREAD: 2’ - 3’WUCOLS: L TRADESCANTIA PALLIDA ‘PURPLE HEART’
(PURPLE HEART WANDERING JEW)
HEIGHT: 1’ - 2’SPREAD: 1’ - 2’WUCOLS: M
WESTRINGIA ‘BLUE GEM’
(BLUE GEM WESTRINGIA)
HEIGHT: 6’ - 7’SPREAD: 6’WUCOLS: L
LIGUSTRUM JAPONICUM ‘TEXANUM’
(WAXLEAF PRIVET)HEIGHT: 8’ - 10’SPREAD: 4’ - 6’WUCOLS: M

CAREX DIVULSA
(BERKELEY SEDGE)HEIGHT: 1’ - 2’SPREAD: 1’ - 2’WUCOLS: M

MUHLENBERGIA CAPILLARIS
(PINK MUHLY)HEIGHT: 3’ - 4’SPREAD: 3’ - 4’WUCOLS: MREFLECTED SUN AGAVE ‘BLUE FLAME’
(BLUE FLAME AGAVE)HEIGHT: 3’ - 5’SPREAD: 3’ - 5’WUCOLS: L

DRACENA DRACO
(DRAGON TREE)HEIGHT: 15’ - 25’SPREAD: 15’ - 25’WUCOLS: L