Arroyo Grande City Council
August 12, 2025

Police Department
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PERFORMANCE MEASURES
Measure FY 23-24
Actual*
FY 24-25
Projected
Actual*
FY 25-26
Target*
FY 26-27
Target*
1 Total Calls for Service 16,946 18,300 19,000 19,400
2 Reduce Crime (# of total Group A
Crime by year)**
618 600 590 580
3 Driving under the influence/ Arrests 92 120 125 130
4 Total Arrests 562 620 640 640
*Note numbers are reported by calendar year
** Group A Crimes include: homicide, larceny, rape, assault, arson, robbery, burglary, and vehicle theft.

FY 2025-27 DEPARTMENT WORK PLAN
Police
Strategic Goal Task/Action
State Mandate ° Continued Mandated Training for Staff
° Complete after action report for wellness grant
° Replace Expired Protective Equipment
° RIPA (Racial and Identity Profiling Advisory) Board Reporting ° Partner with the City of Grover Beach and Pismo Beach to establish a hybrid 5 Cities co-response model with SLO County behavioral health to assist with mental health calls and subjects in crisis.
° Create standard operating procedures for shared radio communication with the Grover Beach Police Department
Fill vacant leadership positions due to retirement and vacancies ° Successfully recruit and train two (2) entry-level police officers to fill current vacant positions
Standard Operations

Police Department
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POLICE DEPARTMENT ORGANIZATIONAL CHART

Police Department
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2023-24 2025-26 2026-27

FINAL ADOPTED ADJUSTED ESTIMATED PROPOSED PROPOSED

ACTUAL BUDGET BUDGET ACTUAL BUDGET BUDGET
Expenditures by Program
Police $ 1,539,432 $ 1,593,737 $ 1,593,737 $ 1,592,388 $ 1,690,986 $ 1,764,815 Patrol Services 3,796,634 4,169,500 4,169,500 4,154,700 4,490,700 4,625,900 Police Support Services 1,309,385 1,592,835 1,592,835 1,584,035 1,453,710 1,446,700 OTS - Special Grant Progroms 43,462 - 72,668 72,668 - - DOJ Tobacco Grant - - - - - -
Total $ 6,688,913 $ 7,356,072 $ 7,428,740 $ 7,403,791 $ 7,635,396 $ 7,837,415 Expenditures by Category
Salary and Benefits $ 5,281,113 $ 5,782,000 $ 5,844,491 $ 5,844,491 $ 6,013,100 $ 6,177,900 Services and Supplies 1,116,547 1,261,786 1,271,963 1,273,657 1,326,510 1,325,200 Debt Service 283,240 282,786 282,786 275,643 282,786 282,786 Operating Eqipment 8,013 29,500 29,500 10,000 13,000 51,529 Capital Items and Transfers - - - - - -
Total $ 6,688,913 $ 7,356,072 $ 7,428,740 $ 7,403,791 $ 7,635,396 $ 7,837,415 Funding Sources
General Fund 6,688,913 7,356,072 7,428,740 7,403,791 7,635,396 7,837,415 Personnel Complement
Full-time:

Chief of Police 1.0 1.0 1.0 1.0 1.0 1.0
Commander 2.0 2.0 2.0 2.0 2.0 2.0
Sergeant 5.0 5.0 5.0 5.0 5.0 5.0
Senior Police Officer 6.0 6.0 6.0 6.0 6.0 6.0
Police Officer 13.0 13.0 13.0 13.0 13.0 13.0
Executive Assistant 1.0 1.0 1.0 1.0 1.0 1.0
Records Supervisor - - - - 1.0 1.0
Records Clerk 2.0 2.0 2.0 2.0 1.0 1.0
Police Services Technician - 1.0 1.0 1.0 1.0 1.0
Total 30.0 31.0 31.0 31.0 31.0 31.0
Part time (FTE):

Training Technician 0.5 0.5 0.5 0.5 0.5 0.5
Total 0.5 0.5 0.5 0.5 0.5 0.5
Sworn Employees 27.0 28.0 28.0 28.0 29.0 29.0
Non-sworn Employees 3.5 3.5 3.5 3.5 2.5 2.5
2024-25

Fire Department – Five Cities Fire Authority
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In 2004, the cities of Arroyo Grande and Grover Beach collaboratively entered into an agreement to share one fire chief and training officer. This agreement was expanded over the next several years to include equipment sharing, a consolidation of the reserve firefighter program, and the introduction of "boundary drops," meaning that the closest fire resource would be dispatched to a 9-1-1 call without consideration of community boundary. In 2009, the Oceano Community Services District joined the other communities and on July 9, 2010, a complete fire department consolidation took place, resulting in the creation of the Five Cities Fire Authority (FCFA). As was anticipated in 2010, the communities have increased their demand for service, commercial and residential development projects have continued with multiple projects being three stories in height. As calls for services have increased, so has the cost of providing the service. After two failed revenue measure attempts, the Oceano Community Services District (OCSD) filed an application with the Local Agency Formation Commission (LAFCO) for the Divestiture of Fire Protection Services, with a departure date from the FCFA of June 30, 2023. Accordingly, the cities of Arroyo Grande and Grover Beach executed a new Joint Power Association to continue operating the FCFA. Acknowledging that the divestiture process would likely extend beyond June 30, 2023, the FCFA provided a short-term contract for services with the OCSD that concluded on December 31, 2024. LAFCO approved a Contract for services between the FCFA and the County of San Luis Obispo to serve Oceano, effective December 31, 2024. This contract has a three-year term with two one-year extension options. FCFA responded to 2457 incidents in the City of Arroyo Grande in 2024. This was a 25% increase from the previous year.

FY 2024-25 SIGNIFICANT ACCOMPLISHMENTS
• Initiated the Community Risk Assessment/Standards of Cover/Strategic Plan • Recruited 5 new Firefighters – First female Firefighter and First Spanish Speaking Firefighter • Promoted 3 new Fire Engineers
• Promoted 2 new Fire Captains
• Instructor Services Agreement with Allan Hancock College • Hosted National Fire Academy Leadership and Supervision Course • Installation of pre-emptive traffic control devices (Spring of 2025) • Completed the Station Alerting System Upgrades
• Hosted Fire Prevention Week Open House
• Initiated a Cadet program in partnership with the Arroyo Grande Police Department • Implemented an MOU with Arroyo Grande Police to maintain Fire Investigator firearms certification
• Implemented PS Trax reporting software
• Purchased a new ventilation training prop with Joint Apprentice Committee (JAC) Funds and a Friends of FCFA donation
• Converted Mobile Data Computers to iPads
• Transitioned FCFA to a 2-year budget cycle to align with member agencies

Fire Department – Five Cities Fire Authority
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PERFORMANCE MEASURES
Measure FY 23-24
Actual*
FY 24-25
Projected
Actual*
FY 25-26
Target*
FY 26-27
Target*
1 Incident Response 2060 2397 2450 2490
2 Average Total Response Times 06:31 05:54 05:45 05:45
3 Initial Weed Abatement Inspection
List
400 163 150 130

FCFA ORGANIZATIONAL CHART

Fire Department – Five Cities Fire Authority
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2023-24 2025-26 2026-27

FINAL ADOPTED ADJUSTED ESTIMATED PROPOSED PROPOSED

ACTUAL BUDGET BUDGET ACTUAL BUDGET BUDGET
Expenditures by Program
City Contribution to FCFA 3,890,910 3,978,000 3,978,000 3,978,000 4,076,500 4,168,900 Expenditures by Category
Services and Supplies 3,890,910 3,978,000 3,978,000 3,978,000 4,076,500 4,168,900 Funding Sources
General Fund 2,941,910 2,983,500 2,983,500 2,983,500 3,082,000 3,174,400 Local Sales Tax Fund
Measure O-06 949,000 994,500 994,500 994,500 994,500 994,500 Funding Source Total 3,890,910 3,978,000 3,978,000 3,978,000 4,076,500 4,168,900 2024-25

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RECREATION

SERVICES

Recreation Services
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PURPOSE
To create healthy, sustainable spaces and meaningful experiences that invite people of all ages to play, learn, and connect—enhancing well-being, personal growth, and the cultural and economic vibrancy of Arroyo Grande.

SERVICES AND STRUCTURE
The Recreation Services Department consists of the following programs:

Recreation Administration
Implement Council goals and direction; provide leadership of and for the Recreation Services Department; coordinate with other City departments to accomplish goals and objectives; provide high-level customer service to the community (internal and external); and represent the City in non-profit and business partnerships. In FY 2023-24, Recreation Administration assumed responsibility for administering the Tourism Business Improvement District (TBID).

Facilities
Provide and facilitate access to public facilities, including two community centers, public parks, Soto Sports Complex, community gardens, and tennis and pickleball courts; coordinate public requests and develop relationships with external users; organize maintenance and City schedules; administer and collect fees; oversee facility supervision and operations.

Special Events
Plan, develop, and provide opportunities for community engagement, fun, and celebration. Work with local agencies, non-profits, and businesses to enrich the community through historical, cultural, and relevant events.

Volunteer Program
Recruit, train, and oversee volunteers to assist with events, special projects, and City operations. Develop relationships with the community and neighboring agencies to provide continuity and support.

Adult Sports
Coordinate adult basketball and softball sports leagues for the community. Provide relevant active sports opportunities for adults.

Youth Sports
Coordinate the Youth Wrestling program. Provide relevant active sports opportunities for youth.

Special Interest Classes
Contract with instructors to teach exercise, art, and a variety of enrichment classes. Contract with instructors/agencies to provide holiday and summer camps for youth and programs to support health and wellness for the community.

FY 2024-25 SIGNIFICANT ACCOMPLISHMENTS
• Assumed the administration of the Arroyo Grande Tourism Business Improvement District (AGTBID). • Onboarded new marketing firm and Board members for AGTBID. • Sponsored and supported regional events contributing to increased hotel occupancy and local revenue. • Attained the highest level of revenue in special interest classes at over $345,000.

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• Successfully planned and executed over 30 community events annually, including the Summer Concert Series, Holiday Parade, and 4th of July in the Village. • Reintroduced specialty classes post-COVID, including Zumba (indoors), Senior Fitness, and balance classes. • Grew the volunteer program to over 680 volunteers, including youth volunteer groups from Cal Poly and Arroyo Grande High School.
• Partnered with two Cal Poly landscape architectural design classes to propose options for Soto Sports Complex and Short Street.
• Recruited and onboarded new staff, including a Recreation Specialist, to support growing program needs and improve service delivery.
• Maintained affordable pricing structures and expanded scholarship offerings in partnership with the South County Youth Coalition to ensure equitable access to programs and services for all Arroyo Grande residents.
• Expanded the Halloween Carnival & Maze to a multi-day event. • Expanded the Summer Concert Series from July 4th through the weekend before Harvest Festival.

PERFORMANCE MEASURES
Measure FY 23-24
Actual
FY 24-25
Projected
Actual
FY 25-26
Projected
FY 26-27
Target
1 Number of specialty class offerings 681 603 681 690
2 Number of special events 25 31 33 33
3 Number of volunteer hours 4,022 4,138 4,200 4,200
4 Participation (registration in classes,
leagues, sports, programs)
7,520 7,751 6,850 6,900

Recreation Services
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FY 2025-27 DEPARTMENT WORK PLAN

Strategic Goal Task/Action
° Identify a new location for a community center in alignment with the approved Soto Sports Complex Master Plan and in response to the closure of the Mark M. Millis Community Center.
° Implement the Special Events Policy to guide the planning and permitting of community and special events.

Formalize partnerships with 3 additional services organizations or businesses to co-host events or provide in-kind services
° Establish a "Recreation Ambassador" volunteer program to support events and build community pride
° Collaborate in the completion of the City’s General Plan, with a focus on advancing the Parks and Recreation Element to guide long-term planning and investment.
° Implement and utilize tracking mechanism to evaluate economic impact of recreation-led events
° Incorporate water conservation messaging into community events, programs and facility use signage
° Pursue at least two grant applications or partnerships to support recreation infrastructure and park improvements
° Develop and host a shoulder-season signature event in collaboration with AGTBID to drive overnight visitation and increase destination awareness ° Refine the AGTBID sponsorship program to ensure strategic investment in events that yield measurable visitation, align with destination branding, and support TOT growth
° Pursue strategic partnerships to develop a concept and preliminary design for a new community center that meets current and future community needs.

1.1b Develop a Special Event that drives visitation during shoulder and winter months and build destination awareness

1.3a Work on changes to TBID ordinance for expanded use of TOT funds

1.3b Bring changes to TBID assessment and ordinance to Council for approval

1.3c Evaluate opportunities related to City TBID and potential TOT Measure

1.3d Hold study session with City Council and visitor serving accomodations to eliminate TBID

1.3h Bring TOT measure to City Council for consideration of placing on the November 2026 ballot
Recreation Services
Standard Operations
Pursue New Revenue Sources

Recreation Services
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RECREATION SERVICES DEPARTMENT ORGANIZATIONAL CHART

Recreation Services
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2023-24 2025-26 2026-27

FINAL ADOPTED ADJUSTED ESTIMATED PROPOSED PROPOSED

ACTUAL BUDGET BUDGET ACTUAL BUDGET BUDGET
Expenditures by Program
Recreation Administration $ 479,359 $ 509,900 $ 509,900 $ 570,150 $ 654,550 $ 675,650 Pre-School Program 42,386 - - - - -
Recreation-Special Programs 301,325 258,850 258,850 301,350 326,000 341,150 Children In Motion 93,412 - - - - -
Total $ 916,482 $ 768,750 $ 768,750 $ 871,500 $ 980,550 $ 1,016,800 Expenditures by Category
Salary and Benefits $ 539,801 $ 419,500 $ 419,500 $ 419,500 $ 574,400 $ 594,300 Services and Supplies 376,680 299,250 299,250 402,000 406,150 422,500 Operating Eqipment - - - - - -
Capital Items and Transfers - - - - - -
Total $ 916,482 $ 718,750 $ 718,750 $ 821,500 $ 980,550 $ 1,016,800 Funding Sources
General Fund $ 916,482 $ 768,750 $ 768,750 $ 871,500 $ 980,550 $ 1,016,800 2023-24 2025-26 2026-27

PROPOSED PROPOSED PROPOSED ESTIMATED PROPOSED PROPOSED

BUDGET BUDGET BUDGET ACTUAL BUDGET BUDGET
Personnel Complement
Recreation Administration
Full time:

Recreation Director 1.0 1.0 1.0 1.0 1.0 1.0
Recreation Supervisor 1.0 1.0 1.0 1.0 1.0 1.0
Recreation Coordinator 1.0 1.0 1.0 1.0 1.0 1.0
Part time (FTE):

Volunteer & Class Coordinator 0.5 0.5 0.5 0.5 0.5 0.5
Recreation Specialist - 0.5 0.5 0.5 0.5 0.5
Senior Facility Attendant 0.7 0.7 0.7 0.7 0.7 0.7
Facility Attendant 0.5 0.5 0.5 0.5 0.5 0.5
Facility Attendant 0.5 0.5 0.5 0.5 0.5 0.5
Sports Facility Attendant 0.2 0.2 0.2 0.2 0.2 0.2
Department Total 5.4 5.9 5.9 5.9 5.9 5.9
2024-25
2024-25

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DEBT MANAGEMENT

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The City of Arroyo Grande’s budgeted debt obligations for FY 2025-26 include scheduled principal and interest payments for outstanding long-term debt incurred for capital improvement projects and major infrastructure investments. As of FY 2025-26, the City’s total outstanding long-term debt is approximately $1,151,956, with scheduled debt service payments totaling $78,238 in the current fiscal year. These obligations are funded primarily through the General Fund, Water and Sewer Enterprise Funds, and other designated funding sources.

The City’s outstanding debt includes:
• California Energy Resources Conservation and Development Commission Loan Payable: On July 7, 2010, the City entered into a loan agreement with the California Energy Resources Conservation and Development Commission (CA Energy). The purpose of the loan was to partially fund the city-wide energy savings project.

The project consisted of heating, ventilation, and air conditioning retrofits including equipment, building controls, lighting equipment and lighting controls, installation of vending machine misers, installation of LCD computer monitors, installation of computer controls, and installation of LED streetlights. Installation occurred at all City-owned buildings including city council chamber, city hall, fire department, community center, corporate yard, Soto Field complex, and recreation services building. In the event of default, all remaining payments are due in full.

The outstanding loan payable debt of the City at June 30, 2024 is shown below:

The future minimum payment obligation for the loan payable is as follows:
• United States Department of Agriculture Loan Payable: On September 1, 2010, the City entered into a leasepurchase agreement with the United States Department of Agriculture (USDA). The purpose of this loan was to acquire the property and office building for the relocation of the City Hall offices. In the event of default, all remaining payments are due in full. The outstanding loan payable debt of the City at June 30, 2024 is shown below: State Revolving Fund (SRF) Loan used for water system improvements.

The future minimum payment obligation for the USDA loan payable is as follows:

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Total debt service payments budgeted for FY 2025-26 are $78,238, consisting of $47,011 in principal and $31,227 in interest. These payments are in accordance with the City’s adopted debt service schedules and comply with all bond covenants and legal requirements. The City does not anticipate issuing new debt in FY 2025 but will continue to evaluate financing options for future capital needs as part of its long-range financial planning.

The City continues to comply with all bond covenants and maintains a strong credit rating. At this time, the City does not anticipate issuing new debt in FY 2024–25 but will continue to evaluate long-term financing options to support future capital needs identified in the City’s Capital Improvement Program (CIP).

Debt service obligations are reviewed annually to ensure sustainability and alignment with the City's debt management policy and long-range financial goals.

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CAPITAL

IMPROVEMENT

PROGRAM

Capital Improvement Program
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OVERVIEW
This Capital Improvement Program (CIP) 10-year plan outlines anticipated City infrastructure improvements for fiscal years (FY) 2025-26 through FY 2034-35 and serves as a public information document, approved by the City Council, to advise residents and property owners on how the City plans to address significant capital needs. It contains information about the scope, location and funding for these projects.

Each year, the overall goal for capital improvements and the means for accomplishing them are assessed. Every project in the plan has been considered for its financial feasibility, public safety, state and federal compliance, environmental impact, conformance to previously adopted plans, priorities established from the City Council, and ability to meet public needs.

The FY 2025-26 through FY 2034-35 CIP totals $138,128,065. It is a flexible plan that can be altered as conditions, funding, priorities and regulations change.

The Capital Improvement Program (CIP) represents a 10-year scheduling plan of public infrastructure improvements and expansion, with many of it largely based on previously adopted master plans such as the Wastewater and Water Master Plans. The CIP is divided into nine category types – Bridges, Drainage, Parks & Play Structures, Public Facilities, Sewer, Sidewalks, Streets and Transportation, Technology, and Water.

The benefits of adopting a Capital Improvements Plan are that it:
• Preserves and improves the infrastructure of Arroyo Grande through capital asset construction, rehabilitation and maintenance,
• Maximizes the useful life of capital investments by scheduling major renovations and modifications at the appropriate time in the life cycle of the facility;
• Improves coordination and scheduling of public improvements that require more than one year to complete,
• Provides an opportunity for long-range financial planning and management, and • Offers an opportunity for residents and the community to participate in decisions that impact their quality of life.

With growing demands for project expenditures and a limited amount of revenues available, it has become increasingly difficult to predict the availability of future funding for capital projects. As the population in Arroyo Grande continues to grow, so do the demands on City services. It is imperative that the City formulate and organize the use of our limited dollars wisely to complete this plan and ultimately benefit all citizens of Arroyo Grande.

CAPITAL PROJECT DEFINITION
Capital projects are typically projects that lead to the acquisition, construction, improvement or extension of the useful life of capital assets. Capital assets include but are not limited to land, facilities, buildings, parks, playground equipment, streets, sidewalks, bridges, water, wastewater and storm drain infrastructure, technology systems

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and equipment, traffic control devices, and many other items that deliver a public benefit for a prolonged period of time.

Capital expenditures and operating expenditures are primarily differentiated by two characteristics: the dollar amount of the expenditure and the useful life of the asset acquired, constructed, or maintained. Capital expenditures typically enhance, acquire or extend the useful life of assets through a variety of activities. Activities that are associated with capital projects include: land acquisition, feasibility and design studies, planning, design, construction, rehabilitation, enterprise technology acquisition, and project Implementation. In general, capital projects in the CIP:
• Have a total project cost in the range of $25,000 or more, • Consist of construction, renovation, rehabilitation, conversion or demolition of infrastructure or facilities; and
• Have a minimum useful life of three years, significantly extend the useful life of a capital asset, or significantly alter the nature, character or use of an asset.

PLANNING PROCESS
Public Works serves as the lead Department for developing the Adopted FY 2025-26 and FY 2026-27 CIP Program and Budget. Public Works, in conjunction with other Departments, reviewed the City’s capital needs and prioritized project submittals based on established criteria outlined below. Departments submit projects for funding consideration with a priority ranking, and the Public Works Department, Administrative Services Department, and City Manager review and evaluate submittals. Project submittals are also evaluated within the context of available funding limits to ensure that the limited resources available fund priority projects, while at the same time, maintain the City’s existing infrastructure and minimize future replacement costs. The following criteria are taken into consideration:
• The ability of the project to meet health, safety, and legal concerns and mandates, • The value of the project to prolong the life of City assets or avoid/minimize future repair costs, • The benefit the project will provide the community is in support of the goals articulated in the Council Goals,
• The potential for the project to generate savings or increase productivity, and • The extent to which the project will secure future funds through program planning or grant eligibility.

PROPOSED PLAN
The FY 2025-26 through FY 2034-35 CIP totals $138,128,065. The City completed 12 projects in the previous fiscal year. Completed projects no longer to be shown in the CIP, and New Projects, are listed below:

Completed projects:
• Public Safety Video Cameras (Phase 1)

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• Swinging Bridge Rehabilitation
• Lift Station 3 – upgraded piping protection
• Replacement of Emergency Back-up Generator at Fire Station 1 • Phased Water Main Replacement – Highway 101 Crossing, El Camino Real to West Branch Street • Trenchless Sewer Rehabilitation -El Camino Real to West Branch St. • Fire Station 1 Apparatus Bay Doors
• 191 Tally Ho - removal of bump out – Right of Way Acquisition, retaining wall and street repair • Public Works Office Space Remodel
• Galvanized Service Replacements – upgrade to PVC water service • 2024 Streets Repairs – 5.2 miles of street repairs and 9 ADA curb ramp upgrades • Cornwall Waterline Replacement
New Projects in FY 2025-26:
• Traffic Way Bridge replacement habitat mitigation
• Watershed Management Plan and Stormwater Master Plan
• Soto Basin #2 Reservoir Liner Repair
• Replace Beach Volleyball Court at Rancho Grande Park
• Fire Station 1 HVAC Unit Replacement
• Fire Station 1 Front Lobby Security
• City Structures Roof Repairs (City Hall Roof, Balcony & Southern & Western Siding, Old City Hall, Council Chambers, Elm St. Restroom, PD, Women's Club, Fire)
• Old City Hall Building Repairs
• Facilities Safety/ADA Improvements
• Master Plan incl. ADA Access (Community Center, Elm St. Park, Soto Sports Complex, Don Roberts Field, Corp Yard) & Community Survey
• E. Grand (Halcyon to Elm) Economic Development Master Plan • Replacement of Traffic Guardrails
• Huasna Road, Corbett Canyon and E. Brach Street Intersection Roundabout • Public Safety Camera System - Phase 2
• Virtual Server Farm at City Hall and PD, and Nimble Network Storage • Update IT Firewall at City Hall
• Digital Community Bulletin Board Project
• Software for Public Safety Camera System to allow Traffic Count Data • Reservoir No. 5 Redundancy Water Interconnect (Los Ciervos to Andre Dr.) • Water Main and Service Replacement related to PMP Projects – underground water utility work that needs to be completed in advance of paving to reduce potential for the need to cut into brand-new pavement.

These capital projects represent the vision for short- and long-range development, maintenance, improvement, and building of new infrastructure and facilities to benefit residents, businesses, property owners, City service

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operations, and visitors. Because the Plan addresses several years of projects, it will serve as a guidance document and must be adjustable to changes and therefore the capital projects included in the Plan are not guaranteed to be delivered. If priorities change, emergent needs arise, or funding sources evolve, capital projects may be added, modified in scope, or eliminated.

Table 1 depicts the proposed annual appropriations for the 10-year period in each of the major project category, which are primarily major maintenance activities on City infrastructure. The largest categories of projects are for the Streets and Transportation, which includes the Pavement Management Program, followed by Water projects, including Water Main and Service Replacement and the Advanced Metering Infrastructure projects. This is followed by $10.7 million for bridge replacement projects, $9.1 million for public facilities, $5.8 million for Sewer projects, $5 million for sidewalks, $4.6 million for parks & play structures, $2.6 million for drainage, and $825,000 for technology projects. It should be noted that the types of projects are based on the best fit and may cover multiple project types.

Table 1 lists the types of projects and their total amounts by fiscal year for FY 2025-26 through FY 2034-35. Table 1 is followed by Chart 1 illustrating the types of projects over the entire 10-year CIP.

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Table 1 – FY 2025-26 through FY 2034-35 Capital Improvement Projects by Project Type

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Chart 1 – FY 2025-26 through FY 2034-35 Capital Improvement Projects by Project Type Capital projects are scheduled throughout the 10-year plan only those projects with activity scheduled during the first two year’s (FY 2025-26 and FY 2026-27) are adopted as part of the City’s Biennial Budget process. Projects slated for subsequent years may be adjusted to reflect changes in priority or funding. Preparation of the CIP is a result of considerable effort from staff in all departments in the City. Each year staff reassesses overall goals for capital improvements, and the means for accomplishing them.

FUNDING
All funding sources that may be used for various capital improvements are reviewed each year. Much of the work to develop the CIP focuses on the balancing of available resources with the identified capital needs. Consideration must be given to factors such as annual revenue projections from various sources, restrictions on the uses of certain funds, legal limitations on debt capacity, and City policies relative to project funding.

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There are limited sources of funding available for capital improvements, some sources like Development Impact Fees (DIF) have restrictions on their use within broad categories, which are described below. For this reason, outside grants are a significant source of funding for capital projects and are typically needed to advance major capital investments.

Internal Sources
Measure O-2006 Sales Tax Fund (Fund 120): This fund accounts for the revenues derived from Measure O 2006 Sales Tax, a local 1/2% sales tax approved by the City's voters in November 2006.

Measure E-2024 Sales Tax Fund (Fund 140): This fund accounts for the revenues derived from Measure E 2024 Sales Tax, a local 1% sales tax approved by the City's voters in November 2024.

Senate Bill 1 (SB1) Fund (Fund 220): On April 28, 2017, the Governor signed SB1, known as the Road Repair and Accountability Act of 2017. SB1 increases gasoline taxes and vehicle registration fees to address deferred maintenance on the State highway system and the local street and road system. These additional taxes are deposited by the State Controller into the Road Maintenance and Rehabilitation Account (RMRA).

State COPS Block Grant Fund (Fund 271): This fund accounts for the receipt and use of monies from the State of California restricted to the purchase of police equipment and technology for crime prevention.

Sewer Fund (Fund 612): This fund is used to account for maintenance of sewer lines connecting City residents to the South San Luis Obispo County Sanitation District sewer treatment plant. Money is collected from utility bills paid by customers.

Water Fund (Fund 640): This fund is used to account for the activities associated with the transmission and distribution of potable water by the City to its users. Money is collected from utility bills paid by customers.

In-Lieu Parking Fee Fund (Fund 751): This fund accounts for revenue derived from in-lieu fees charged to businesses when using parking spaces within the Village parking lots.

Development Impact Fee (DIF) Sources
Fire Facilities DIF (Fund 210): This fund accounts for impact fees collected from developers for the expansion of the existing fire station in order to serve future development.

Police Facilities DIF (Fund 212): This fund accounts for impact fees collected from developers for the expansion of the existing police facility in order to serve future development Park Facilities DIF (Fund 213): This fund accounts for the receipts of park-in-lieu fees (Quimby) and grant revenues that are used for construction, park acquisition, and development of park facilities.

Park Improvement DIF (Fund 214): Impact fees collected from developers for park improvements are to be used to maintain the adopted level of service for neighborhood and community parks of 4.0 acres per thousand population. This fund accounts for the receipt and use of these monies.

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Recreation Facilities DIF (Fund 215): This fund accounts for impact fees collected from developers and used for recreation facilities in order to maintain the adopted level of service of recreation/community center facilities of 542 square feet per thousand population.

Traffic Signalization DIF (Fund 222): This fund accounts for traffic signalization assessment levied against developments for the future cost of traffic signals.

Transportation Facilities DIF (Fund 224): This fund accounts for transportation facilities fees paid to protect the public health, safety, and welfare by maintaining the existing level of public services for existing and future residents within the City.

Storm Drain Facilities DIF (Fund 231): This fund accounts for impact fees paid by development and are restricted to improving storm drains within the City.

Sewer Facility DIF (Fund 634): This fund is used to account for the accumulation of sewer facility revenues to be used in capital improvement projects in the City. Money is collected from development to offset the impacts new development has on the sewer collection system.

Water Facility DIF (Fund 642): This fund is used to account for the accumulation of water facility revenues to be used in capital improvement projects in the City. Money is collected from development to offset the impacts new development has on the water distribution system.

Other CIP Funding Sources
The City continues to aggressively seek grants for a wide variety of needs. While by their nature, these grants are only available for specific projects and purposes, and are often cyclical and competitive, they represent a significant addition to local funds. Grants are the most viable source to fund new improvements and allow internal funds to be kept available for existing assets. Internal funds are also necessary for leverage and matching fund requirements of grants.

Arroyo Grande receives a significant amount of funding from outside sources. These include grants received from the Active Transportation Program (ATP), Community Development Block Grant (CDBG), Highway Bridge Program (HBP), Safe Routes to School (SR2S), and Safe Streets and Roads for All (SS4A). Outside grants fund a wide array of projects, including parks, recreational facilities, bicycle and pedestrian facility improvements, bridge reconstruction and retrofits, and transportation and safety projects. Staff continue to seek grants whenever projects are competitive and meet the City’s need to address unfunded priorities.

The FY 2025-26 through FY 2034-35 Capital Improvement Plan has 23 funding sources. The total estimated cost of all projects included in the ten-year plan, is $138,128,065. A summary of the costs by funding source is summarized below. This table is followed by a pie chart illustrating the percentage of each funding source supporting the entire 10-year CIP plan.

Capital Improvement Program
175
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Table 2 – FY 2025-26 through FY 2034-35 Capital Improvement Projects by Funding Source

Capital Improvement Program
176
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Chart 2 – FY 2025-26 through FY 2034-35 Capital Improvement Projects by Funding Source The following pages provide summary information for each project with proposed funding during the ten year period as well as an overall summary of all projects. The final section breaks down each fiscal years projects.

10-Year Summary by Project Type
177
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Request Title Funding Source FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 FY 2031-32 FY 2032-33 FY 2033-34 FY 2034-35 10 Year Total

BRIDGE PROJECTS
Bridge Street Bridge Habitat
Mitigation
4487 - HBP
48,628 - - - - - - - - - 48,628
Traffic Way Bridge Replacement 4487 - HBP 5,580,786 - - - - - - - - - 4950 - Measure O-2006 Sales Tax 792,745 - - - - - - - - - 4950 - Sales Tax - Outreach 50,000 - - - - - - - - - 6,423,531 Traffic Way Bridge replacement
habitat mitigation
4487 - HBP
44,265 44,265 44,265 44,265 44,265 - - - - -
4950 - Measure O-2006 Sales Tax
5,735 5,735 5,735 5,735 5,735 - - - - - 250,000
Mason Street Bridge 4960 - Measure E-2024 Sales Tax - - - - - - - - 3,000,000 - - 4950 - Measure O-2006 Sales Tax - - - - - - - - 900,000 - 3,900,000 Fair Oaks Bridge Coating 4950 - Measure O-2006 Sales Tax - - - - - - - - - 60,000 60,000 TOTAL BRIDGE PROJECTS 6,522,159 50,000 50,000 50,000 50,000 - - - 3,900,000 60,000 10,682,159 Request Title Funding Source FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 FY 2031-32 FY 2032-33 FY 2033-34 FY 2034-35 10 Year Total

DRAINAGE PROJECTS
Watershed Management Plan and
Stormwater Master Plan
4950 - Measure O-2006 Sales Tax
500,000 - - - - - - - - - 500,000
Corrugated Metal Pipe (CMP)
Investigation and Repair
4950 - Measure O-2006 Sales Tax
- 290,000 397,500 - 397,500 - 390,000 - 390,000 -
4924 - Storm Drain Facilities DIF - 10,000 2,500 - 2,500 - 10,000 - 10,000 - 1,900,000 Trash Amendments Compliance 4950 - Measure O-2006 Sales Tax - 71,500 65,000 67,500 - - - - - -
4924 - Storm Drain Facilities DIF - 2,500 5,000 2,500 - - - - - - 214,000 TOTAL DRAINAGE PROJECTS 500,000 374,000 470,000 70,000 400,000 - 400,000 - 400,000 - 2,614,000 Request Title Funding Source FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 FY 2031-32 FY 2032-33 FY 2033-34 FY 2034-35 10 Year Total

PARKS & PLAY STRUCTURES PROJECTS
Soto Basin #2 Reservoir Liner
Repair
4950 - Measure O-2006 Sales Tax
200,000 - - - - - - - - - 200,000
Replace Beach Volleyball Court at
Rancho Grande Park
4950 - Measure O-2006 Sales Tax
25,000 - - - - - - - - - 25,000
ADA Bathrooms Elm Street Park 4950 - Measure O-2006 Sales Tax - 175,000 - - - - - - - - - 4921 - Park Facilities DIF - 175,000 - - - - - - - - 350,000 Foot Bridge & Kiosk at Entrance of
James Way
Open Space
4914 - Park Improvement
- 50,000 - - - - - - - - 50,000
Short Street Plaza Design 4921 - Park Facilities DIF - 135,000 - - - - - 600,000 - - 4950 - Measure O-2006 Sales Tax - 45,000 - - - - - 200,000 - - 980,000 Rotary Bandstand (Termite
Treatment, Repairs, Camera)
4950 - Measure O-2006 Sales Tax
- - 40,000 - - - - - - - 40,000
Soto Sports Complex LED Lighting 4950 - Measure O-2006 Sales Tax - - - - 100,000 - - - - - 100,000 Don Roberts Scoring Shed at 4950 - Measure O-2006 Sales Tax - - - - - 10,000 - - - - 10,000 Rancho Grande Playground
Replacement
4950 - Measure O-2006 Sales Tax
- - - - - 800,000 - - - - 800,000
Pump Track/Skate Park 4921 - Park Facilities DIF - - - - - 100,000 - - - - 100,000 Strother Park Playground
Equipment Replacement (Small)
4950 - Measure O-2006 Sales Tax
- - - - - - 250,000 - - - 250,000
Oro Park Playground Equipment 4950 - Measure O-2006 Sales Tax - - - - - - 250,000 - - - 250,000 Soto Sports Complex ADA Access
Trails, Circulation, Irrigation
4950 - Measure O-2006 Sales Tax
- - - - - - - - 800,000 - 800,000
Kiwanis Park ADA Access 4950 - Measure O-2006 Sales Tax - - - - - - - - - 350,000 350,000 Heritage Square Park Playground
Replacement
4950 - Measure O-2006 Sales Tax
- - - - - - - - - 250,000 250,000
TOTAL PARKS & PLAY STRUCTURES PROJECTS 225,000 580,000 40,000 - 100,000 910,000 500,000 800,000 800,000 600,000 4,555,000

10-Year Summary by Project Type
178
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Request Title Funding Source FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 FY 2031-32 FY 2032-33 FY 2033-34 FY 2034-35 10 Year Total

PUBLIC FACILITIES PROJECTS
Fire Station 1 HVAC Unit
Replacement
4950 - Measure O-2006 Sales Tax
100,000 - - - - - - - - - 100,000
Fire Station 1 Front Lobby Security 4950 - Measure O-2006 Sales Tax 22,000 - - - - - - - - - 22,000 City Structures Roof Repairs (City
Hall Roof, Balcony & Southern &
Western Siding, Old City Hall,
Council Chambers, Elm St.

Restroom, PD, Women's Club,
Fire)
4950 - Measure O-2006 Sales Tax
350,000 - - - - - - - - -
4914 - Park Improvement 20,000 - - - - - - - - - 370,000 Old City Hall Building Repairs 4950 - Measure O-2006 Sales Tax 100,000 - - - - - - - - - 100,000
ADA Improvements 4950 - Measure O-2006 Sales Tax
75,000 - - - - - - - - - 75,000
Safety Security 4950 - Measure O-2006 Sales Tax
25,000 - - - - - - - - - 25,000
Master Plan incl. ADA Access
(Community Center, Elm St. Park,
Soto Sports Complex, Don Roberts
4950 - Measure O-2006 Sales Tax
275,000 - - - - - - - - - 275,000
EV Infrastructure Master Plan 4499 - Other Gov Agencies - 150,000 - - - - - - - - 150,000 City Facility Access Control
Upgrades (PW, Parks, Chambers,
Fire, PD)
4950 - Measure O-2006 Sales Tax
- 100,000 - - - - - - - - 100,000
City Council Chambers Remodel 4950 - Measure O-2006 Sales Tax 50,000 200,000 - - - - - - - - 250,000
Recreation Services / Community
Center Building
4950 - Measure O-2006 Sales Tax
- 600,000 735,000 735,000 - - - - - -
4906 - Recreation Facilities DIF - - 15,000 15,000 - - - - - - 4499 - Other Gov Agencies - - 2,250,000 2,250,000 - - - - - - 6,600,000 Property and Evidence Storage 4955 - Police Facilities DIF - - 25,000 - - - - - - - 25,000 City Hall Remodel of Work Spaces
and Security Glass
4950 - Measure O-2006 Sales Tax
- - 50,000 100,000 100,000 - - - - - 250,000
Fire Station 1 Expansion &
Reconfiguration of the Sleeping
Quarters
4950 - Measure O-2006 Sales Tax
- - - 150,000 - - - - - -
4912 - Fire Facilities DIF - - - 150,000 - - - - - - 300,000 Police Station Security Fencing 4950 - Measure O-2006 Sales Tax - - - - 40,000 - - - - - 40,000
City Facility Flooring (Fire Station 1,
City Hall, Corp Yard, PD)
4950 - Measure O-2006 Sales Tax
- - - - 150,000 - - - - - 150,000
Corporation Yard Renovations 4950 - Measure O-2006 Sales Tax - - - - - 260,000 - - - - 260,000 TOTAL PUBLIC FACILITIES PROJECTS 1,017,000 1,050,000 3,075,000 3,400,000 290,000 260,000 - - - - 9,092,000 Request Title Funding Source FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 FY 2031-32 FY 2032-33 FY 2033-34 FY 2034-35 10 Year Total

SEWER PROJECTS
Trenchless Sewer Rehabilitation -
Pilgrim Way, Orchard Avenue,
West Cherry Avenue and California
Street
4930 - Sewer Fund
- 143,256 - - - - - - - -
4931 - Sewer Facility - 138,744 - - - - - - - - 282,000 Lift Station #3 - Creek Bank
Analysis and Generator
w/Automatic Switchover
4930 - Sewer Fund
- 50,000 - - - 129,000 - - - - 179,000
Trenchless Sewer Rehabilitation -
Alder and Cameron Court to
4930 - Sewer Fund
- - 432,200 - - - - - - -
4931 - Sewer Facility - - 432,200 - - - - - - - 864,400 Maintenance Hole Rehabilitation 4930 - Sewer Fund - - - 250,000 - - - - - 250,000 500,000 Trenchless Sewer Rehabilitation -
Beech & Alder backyard
easements
4930 - Sewer Fund
- - - - 475,000 - - - - -
4931 - Sewer Facility - - - - 475,000 - - - - - 950,000 Trenchless Sewer Rehabilitation -
Hillcrest/Sierra backyard
easements
4930 - Sewer Fund
- - - - - - 300,000 - - -
4931 - Sewer Facility - - - - - - 300,000 - - - 600,000 Clay Pipe CCTV Inspection 4930 - Sewer Fund - - - - - - - 1,554,000 - - 1,554,000 Huasna Road Sewer Upgrade 4931 - Sewer Facility - - - - - - - - - 850,000 850,000 TOTAL SEWER PROJECTS - 332,000 864,400 250,000 950,000 129,000 600,000 1,554,000 - 1,100,000 5,779,400

10-Year Summary by Project Type
179
TOC
Request Title Funding Source FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 FY 2031-32 FY 2032-33 FY 2033-34 FY 2034-35 10 Year Total

SIDEWALK PROJECTS
Sidewalk Repairs and
Improvements
4960 - Measure E-2024 Sales Tax
500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 5,000,000 TOTAL SIDEWALK PROJECTS 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 500,000 5,000,000 Request Title Funding Source FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 FY 2031-32 FY 2032-33 FY 2033-34 FY 2034-35 10 Year Total

STREETS & TRANSPORTATION PROJECTS
Pavement Management Program 4920 - SB1 481,000 495,400 510,300 525,600 541,400 557,600 574,300 591,500 609,200 627,500 4960 - Measure E-2024 Sales Tax 3,577,640 5,296,200 5,039,000 4,629,000 4,854,400 4,871,900 5,062,200 5,067,300 4,747,300 9,103,900 4463 - CDBG 80,866 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 58,293,506 Halcyon Road Complete Streets 4960 - Measure E-2024 Sales Tax 1,875,000 - - - - - - - - - 4926 - Transportation Facilities DIF
788,500 - - - - - - - - -
4423 - Active Transportation
Program (ATP) 3,200,500 - - - - - - - - - 5,864,000
E. Grand (Halcyon to Elm)
Economic Development Master
Plan
4950 - Measure O-2006 Sales Tax
250,000 - - - - - - - - - 250,000
Replacement of Traffic Guardrails 4950 - Measure O-2006 Sales Tax 200,000 - 200,000 - - - - - - - 400,000 Le Point Street Parking Lot 4950 - Measure O-2006 Sales Tax - 6,000 - - - - - - - - 49XX - In-Lieu Parking Fee - 144,000 - - - - - - - - 150,000 Traffic Way Corridor Plan 4926 - Transportation Facilities DIF - 472,000 - - - - - - - - 4950 - Measure O-2006 Sales Tax - 328,000 - - - - - - - - 800,000 Huasna Road, Corbett Canyon, and
E. Branch Street Intersection
Roundabout
4926 - Transportation Facilities DIF
400,000 1,600,000 - - - - - - - - 2,000,000
East Grand Streetscape Planning
and Construction
44XX - Safe Streets for All
- 200,000 640,000 5,400,000 - - - - - -
4960 - Measure E-2024 Sales Tax - 50,000 160,000 1,800,000 - - - - - - 4950 - Measure O-2006 Sales Tax - - - - - - - - - - 8,250,000 Opt-com preemptive devices on
traffic signals within City Limits
4922 - Traffic Signalization
- - 84,000 - - - - - - - 84,000
Branch Mill Road Slope
Stabilization
4960 - Measure E-2024 Sales Tax
- - - - 600,000 3,000,000 - - - - 3,600,000
Fair Oaks Ave Active
Transportation Improvements,
Valley Road to Traffic
W
4950 - Measure O-2006 Sales Tax
- - - - - 75,000 225,000 - - - 300,000
Harden Street Slope Stabilization 4960 - Measure E-2024 Sales Tax - - - - - 200,000 - - - - 200,000 Safe Routes to School - Newport
Slope Stabilization
44XX - SR2S
- - - - - 2,000,000 - - - - 2,000,000
Connectivity from Branch (Coach) 4960 - Measure E-2024 Sales Tax - - - - - - 2,000,000 - - - 2,000,000 TOTAL STREETS & TRANSPORTATION PROJECTS 10,853,506 8,641,600 6,683,300 12,404,600 6,045,800 10,754,500 7,911,500 5,708,800 5,406,500 9,781,400 84,191,506 Request Title Funding Source FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 FY 2031-32 FY 2032-33 FY 2033-34 FY 2034-35 10 Year Total

TECHNOLOGY PROJECTS
Public Safety Camera System -
Phase 2
4929 - COPS
200,000 - - - - - - - - - 200,000
Digital Community Bulletin Board
Project
4950 - Measure O-2006 Sales Tax
25,000 - - - - - - - - - 25,000
Software for Public Safety Camera
System to allow Traffic Counts
4926 - Transportation Facilities DIF
50,000 - - - - - - - - - 50,000
Virtual Server Farm at City Hall and
PD, and Nimble Network Storage
4950 - Measure O-2006 Sales Tax
- 160,000 - - - - - - - - 160,000
Firewall at City Hall 4950 - Measure O-2006 Sales Tax 40,000 - - - - - - - 40,000 Report Management System
(RMS) Upgrade at PD
4929 - COPS
- 125,000 - - - - - - - -
4955 - Police Facilities DIF - 25,000 - - - - - - - - 150,000 Generator at City Hall 4950 - Measure O-2006 Sales Tax - - - - - - - 200,000 - - 200,000 TOTAL TECHNOLOGY PROJECTS 275,000 350,000 - - - - - 200,000 - - 825,000

10-Year Summary by Project Type
180
TOC
Request Title Funding Source FY 2025-26 FY 2026-27 FY 2027-28 FY 2028-29 FY 2029-30 FY 2030-31 FY 2031-32 FY 2032-33 FY 2033-34 FY 2034-35 10 Year Total Water Well #11 Facilities 4943 - Water Availability - - - - - - - - - - Reservoir No. 5 Redundancy
Interconnect (Los Ciervos to Andre 4940 - Water Fund 100,000 - - - - - - - - - 100,000 Water Main and Service

4940 - Water Fund 298,900 - - - - - - - - -
4942 - Water Facility
401,100 - - - - - - - - - 700,000
Phased Main Replacement -
Highway 101 Crossing Upgrade, El
Camino Real to West Branch
Street
4940 - Water Fund
- 143,045 - - - - - - - -
4942 - Water Facility - 191,955 335,000
Reservoir No. 4 Exterior Coating 4940 - Water Fund
- 550,000 - - - - - - - - 550,000
Reservoir No. 5 Booster 4940 - Water Fund - - 500,000 - - - - - - - 500,000 Miller Way Booster Zone Upgrade 4940 - Water Fund - - - 150,000 - - - - - - 4942 - Water Facility - - - 150,000 - - - - - - 300,000 Reservoir No. 5 Cleaning and
Interior Coating
4940 - Water Fund
- - - 730,000 - - - - - - 730,000
Alpine Crossing, Bennett and Bell

4940 - Water Fund - - - - 719,000 - - - - - 719,000
AMI - Advanced Metering 4940 - Water Fund - - - - - 1,500,000 - - - - 1,500,000 Lierly Lane to Coach Road Upgrade 4940 - Water Fund - - - - - - 105,000 - - - 4942 - Water Facility - - - - - - 315,000 - - - 420,000 Phased Main Replacement -
Highway 101 Crossing Upgrade,
West Cherry Avenue
4940 - Water Fund
- - - - - - 143,200 - - -
4942 - Water Facility - - - - - - 429,800 - - - 573,000 Security Cameras 4940 - Water Fund - - - - - - - 62,000 - - 62,000 Coach Road and Greenwood Drive
Upgrades
4940 - Water Fund
- - - - - - - - 97,500 -
4942 - Water Facility - - - - - - - - 292,500 - 390,000 4" Mains Upgrades 4940 - Water Fund - - - - - - - - 5,875,000 - 5,875,000 Well #1 Replacement 4940 - Water Fund - - - - - - - - - 2,635,000 2,635,000 TOTAL WATER PROJECTS 800,000 885,000 500,000 1,030,000 719,000 1,500,000 993,000 62,000 6,265,000 2,635,000 15,389,000 Grand Total, All Capital Projects 20,692,665 12,762,600 12,182,700 17,704,600 9,054,800 14,053,500 10,904,500 8,824,800 17,271,500 14,676,400 138,128,065

Projects Budgeted FY 2025-26
181
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2025-26 350-5614 Bridge Bridge Street Bridge Habitat
Mitigation
Five year post-construction
environmental mitigation and
monitoring for the Bridge Street
Bridge Rehabilitation project.
4487 - HBP
48,628
4487 - HBP 5,580,786
4950 - Measure O-2006 Sales Tax 792,745
4950 - Sales Tax - Outreach 50,000
4487 - HBP
44,265
4950 - Measure O-2006 Sales Tax
5,735
350-57XX Drainage Watershed Management Plan and
Stormwater Master Plan
SW Master Plan evaluates
infrastructure & practices of SW
system for current & future needs;
Watershed Mgmt. Plan assesses a
watershed including water quality,
flood risk, protecting water bodies,
etc. Documents to be concurrent.
4950 - Measure O-2006 Sales Tax
500,000
350-57XX Parks & Play
Structures
Soto Basin #2 Reservoir Liner
Repair
There is a hole in the liner of
Drainage Basin #2 at Soto Park
requiring repair.
4950 - Measure O-2006 Sales Tax
200,000
350-55XX Parks & Play
Structures
Replace Beach Volleyball Court at
Rancho Grande Park
Existing sand needs to be removed
and replaced with appropriate sand
for regulation sand volleyball. Net to
be replaced.
4950 - Measure O-2006 Sales Tax
25,000
350-54XX Public Facilities Fire Station 1 HVAC Unit
Replacement
Replace HVAC at Fire Station 1. 4950 - Measure O-2006 Sales Tax 100,000
350-54XX Public Facilities Fire Station 1 Front Lobby Security Add Security inside the Front Lobby of Fire Station 1.
4950 - Measure O-2006 Sales Tax
22,000
4950 - Measure O-2006 Sales Tax
350,000
4914 - Park Improvement
20,000
350-54XX Public Facilities Old City Hall Building Repairs Complete repairs to Old City Hall based on building report
assessment.
4950 - Measure O-2006 Sales Tax
100,000
350-5679
350-57XX
Design and construction to replace
the three lane bridge constructed in
1932 over Arroyo Grande Creek.

Five year post-construction
environmental mitigation and
monitoring for the Traffic Way
Bridge Rehabilitation project.

Traffic Way Bridge replacement
habitat mitigation
Bridge
Bridge Traffic Way Bridge Replacement
Evaluate and repair City building
roofs, and repair of balcony and
southern/western siding at City
Hall.

City Structures Roof Repairs (City
Hall, Balcony & Southern &
Western Siding, Old City Hall,
Council Chambers, PD, Women's
Club, Fire Station 1)
350-54XX Public Facilities

Projects Budgeted FY 2025-26
182
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2025-26 350-54XX Public Facilities ADA Improvements Items identified as part of the ADA Tranisition Plan, such as signs and
accessability adjustments
4950 - Measure O-2006 Sales Tax
75,000
350-54XX Public Facilities Safety Improvements Improvements identified through the Risk Management Evaluation and
the Workplace Violence Prevention
Plan site inventories.
4950 - Measure O-2006 Sales Tax
25,000
350-54XX Public Facilities City Council Chambers Remodel City Hall update including chairs, caucus room, Council dais, update
the front to ramps only, update the
clock on the building front.
4950 - Measure O-2006 Sales Tax
50,000
350-55XX Public Facilities Master Plan incl. ADA Access (Community Center, Elm St. Park,
Soto Sports Complex, Don Roberts
Field, Corp Yard) & Community
Survey
Master Plan for Elm St., Soto
Sports Complex, Don Roberts
Field, and the City Corporation Yard
to address connectivity, best use,
restroom locations, year-round field
use, and community survey for
community center project.
4950 - Measure O-2006 Sales Tax
275,000
350-5658 Sidewalks Sidewalk Repairs and
Improvements
Annual funding allocated towards
sidewalk improvements and repairs
throughout the City.
4960 - Measure E-2024 Sales Tax
500,000
4920 - SB1
481,000
4960 - Measure E-2024 Sales Tax
3,577,640
4463 - CDBG
80,866
Streets &
Transportation
350-5638 The City’s Pavement Management
Program provides maintenance
history and pavement condition
index (PCI) for all public streets in
Arroyo Grande. The City annually
performs pavement maintenance
on public streets to the extent that
funds are available. Streets are
selected based on pavement
condition, location, and the type of
maintenance application.

Maintenance applications are
digouts, slurry seals, chip seals,
and pavement overlays.

Pavement Management Program

Projects Budgeted FY 2025-26
183
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2025-26 4960 - Measure E-2024 Sales Tax
1,875,000
4926 - Transportation Facilities DIF
788,500
4423 - Active Transportation
Program (ATP)
3,200,500
350-54XX Streets and
Transportation
E. Grand (Halcyon to Elm)
Economic Development Master
Plan
Develop a comprehensive corridor
plan that considers the needs and
goals of multimodal users,
residents, businesses, and City
leaders for East Grand Avenue with
a focus on the section from
Halcyon Road to Elm Street.

Objectives include economic
enhancement and vitality, safety,
providing distinct
nodes/gateways/districts,
functionality, and beautification.
4950 - Measure O-2006 Sales Tax
250,000
350-56XX Streets &
Transportation
Replacement of Traffic Guardrails Replacement of damaged guardrails.
4950 - Measure O-2006 Sales Tax
200,000
350-56XX Streets &
Transportation
Huasna Road, Corbett Canyon, and
E. Branch Street Intersection
Roundabout
One of the major circulation
improvements identified in the
Circulation Element was on East
Branch Street at Huasna
Road/Corbett Canyon Road adding
a new roundabout to help improve
the flow of traffic.
4926 - Transportation Facilities DIF
400,000
The project consists of Complete
Streets improvements along 1.7
Miles of Halcyon Road from US 101
to The Pike. The project narrow
vehicle driving lanes, add buffered
bike lanes with green conflict
striping, fill in sidewalk gaps, add
two-staged crossings with stop
control at key intersections, and
install a new signal or roundabout
at Fair Oaks Avenue. A safety
education program will be part of
the project to inform residents of
the benefits and proper use of
roundabouts.

Streets & Halcyon Road Complete Streets
Transportation
350-5606

Projects Budgeted FY 2025-26
184
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2025-26 350-5468 Technology Public Safety Camera System -
Phase 2
Replace failed public safety video
system with a local vender in order
to monitor City buildings and
identified intersections.
4929 - COPS
200,000
350-54XX Technology Digital Community Bulletin Board
Project
This project is to replace the
current outdated and deteriorating
physical community bulletin board
located outside City Hall with a
modern, digital bulletin board that
allows for more dynamic,
accessible, and user-friendly
communication for community
members.
4950 - Measure O-2006 Sales Tax
25,000
350-56XX Technology Software for Public Safety Camera
System to allow Traffic Counts
Software to obtain traffic counts
from the Public Safety Video
Cameras.
4926 - Transportation Facilities DIF
50,000
640-59XX Water Reservoir No. 5 Redundancy
Interconnect (Los Ciervos to Andre
Dr.)
The water distribution system for
Reservoir No. 5 pressure zone has
only one watermain that can
provide water to the pressure zone.

This project will provide a
redundant interconnect to assure
the zone has water delivery from
Reservoir No. 5 with the watermain
off. The project will interconnect the
watermain from Los Ciervos
to Andre Drive.
4940 - Water Fund
100,000
4940 - Water Fund
298,900
4942 - Water Facility
401,100
Total FY 2025-26 Projects 20,692,665
Underground water utility work that
will be completed in advance of
paving to reduce the potential need
to cut into brand-new pavement.

Water Main and Service
Replacement related to PMP
Projects
640-59XX Water

Projects Budgeted FY 2026-27
185
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2026-27 4487 - HBP
44,265
4950 - Measure O-2006 Sales Tax
5,735
4950 - Measure O-2006 Sales Tax
290,000
4924 - Storm Drain Facilities DIF 10,000
4950 - Measure O-2006 Sales Tax 71,500
4924 - Storm Drain Facilities DIF
2,500
4950 - Measure O-2006 Sales Tax
175,000
4921 - Park Facilities DIF
175,000
350-55XX Parks & Play
Structures
Foot Bridge & Kiosk at Entrance of
James Way
Open Space
The entrance to James Way Trail
(near windmill) east of Stevenson
Dr. becomes unpassable during
rain. Users have placed stones and
debris to make their own crossing.

Proposal to build footbridge over
the area which floods and install
new kiosk.
4914 - Park Improvement
50,000
4921 - Park Facilities DIF
135,000
4950 - Measure O-2006 Sales Tax
45,000
350-54XX Public Facilities EV Infrastructure Master Plan The Advanced Clean Fleets Regulation requires 50% of new
City Vehicles purchased after
January 1, 2024, to be lowemission, and 100% after January 1, 2027. Before purchasing EVs, a
Plan is needed to evaluate the City
needs, charging infrastructure, and
utility transformer upgrades.
4499 - Other Gov Agencies
150,000
Compliance as mandated by the
MS4 Stormwater Permit required
by the State.
350-5798 Drainage Trash Amendments Compliance
Develop Short Street into a vibrant
pedestrian-friendly plaza including,
dining areas, vendor spaces and an
amphitheater park area. The
development will permanently close
Short Street to traffic.
350-5430 Parks & Play
Structures
Short Street Plaza Design
350-5568 Parks & Play
Structures
ADA Bathrooms Elm Street Park Restroom facility to replace porta potties in use after demolition of
Mark M. Millis Community Center.
350-57XX Bridge
Annual project to repair
deteriorating corrugated metal
pipes (CMP) throughout the City.
350-5794 Drainage Corrugated Metal Pipe (CMP)
Investigation and Repair
Five year post-construction
environmental mitigation and
monitoring for the Traffic Way
Bridge Rehabilitation project.

Traffic Way Bridge replacement
habitat mitigation

Projects Budgeted FY 2026-27
186
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2026-27 350-54XX Public Facilities City Facility Access Control Upgrades (PW, Parks, Chambers,
Fire, PD)
Card readers and authentication
program at City facilities to be
retrofitted or replaced to install card
readers.
4950 - Measure O-2006 Sales Tax
100,000
350-54XX Public Facilities City Council Chambers Remodel City Hall update including chairs, caucus room, Council dais, update
the front to ramps only, update the
clock on the building front.
4950 - Measure O-2006 Sales Tax
200,000
350-5556 Public Facilities Recreation Services / Community Center Building
Conceptual study that presents
design alternatives and cost
analysis, and then preparation of
construction documents for a new
Recreation Services/Community
Center building. Includes ADA
bathroom design and construction.
4950 - Measure O-2006 Sales Tax
600,000
4930 - Sewer Fund
143,256
4931 - Sewer Facility
138,744
612-58XX Sewer Lift Station #3 - Creek Bank
Analysis and Generator
w/Automatic Switchover
Emergency backup power to
prevent sanitary sewer overflow if
the portable generator is not
available during an outage.

Evaluation and repair of creek bank
erosion .
4930 - Sewer Fund
50,000
350-5658 Sidewalks Sidewalk Repairs and
Improvements
Annual funding allocated towards
sidewalk improvements and repairs
throughout the City
4960 - Measure E-2024 Sales Tax
500,000
Cured-in-place pipe rehabilitation
along the entire length of the
sections mentioned below to
reduce infiltration, root intrusion,
and maintenance requirements, as
well as probability of failure.

Sewer Trenchless Sewer Rehabilitation -
Pilgrim Way, Orchard Avenue,
West Cherry Avenue and California
Street
612-58XX

Projects Budgeted FY 2026-27
187
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2026-27 4920 - SB1
495,400
4960 - Measure E-2024 Sales Tax
5,296,200
4463 - CDBG
50,000
4950 - Measure O-2006 Sales Tax
6,000
49XX - In-Lieu Parking Fee
144,000
4926 - Transportation Facilities DIF
472,000
4950 - Measure O-2006 Sales Tax
328,000
350-56XX Streets &
Transportation
Huasna Road, Corbett Canyon, and
E. Branch Street Intersection
Roundabout
One of the major circulation
improvements identified in the
Circulation Element was on East
Branch Street at Huasna
Road/Corbett Canyon Road adding
a new roundabout to help improve
the flow of traffic.
4926 - Transportation Facilities DIF
1,600,000
Streets &
Transportation
350-56XX Traffic Way Corridor Plan Planning document to evaluate traffic circulation improvement
opportunities for Traffic Way and
adjacent streets.

Pavement Management Program The City’s Pavement Management Program provides maintenance
history and pavement condition
index (PCI) for all public streets in
Arroyo Grande. The City annually
performs pavement maintenance
on public streets to the extent that
funds are available. Streets are
selected based on pavement
condition, location, and the type of
maintenance application.

Maintenance applications are
digouts, slurry seals, chip seals,
and pavement overlays.
350-5638 Streets &
Transportation
The life of the existing structure as
a safe residence is at its end. A
historical and archeological
analysis will be completed in
anticipation of demolition and
regrading/repaving of the site to
allow for the design and
construction of approximately 15
additional parking spaces.

Le Point Street Parking Lot
Expansion
Streets and
Transportation
350-5422

Projects Budgeted FY 2026-27
188
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2026-27 44XX - Safe Streets for All 200,000
4960 - Measure E-2024 Sales Tax 50,000
350-54XX Technology Virtual Server Farm at City Hall and PD, and Nimble Network Storage
Update the existing Virtual Server's
that the City uses for storage at
City Hall and the Police Station.
4950 - Measure O-2006 Sales Tax
160,000
350-54XX Technology Firewall at City Hall Update the Firewall located at City Hall.
4950 - Measure O-2006 Sales Tax
40,000
4929 - COPS
125,000
4955 - Police Facilities DIF
25,000
4940 - Water Fund
143,045
4942 - Water Facility
191,955
640-5948 Water Reservoir No. 4 Exterior Coating Sand blast, prime and re-coat Reservoir No. 4 exterior. The tank
was built in 1983 and has never
been painted since it was originally
built.
4940 - Water Fund
550,000
Total FY 2026-27 Projects 12,762,600
Streets &
Transportation
350-56XX East Grand Streetscape Planning
and Construction
Planning phase of the East Grand
Streetscape project.
350-5470
640-5973 Water
Technology Report Management System
(RMS) Upgrade at PD
Phased Main Replacement -
Highway 101 Crossing Upgrade, El
Camino Real to West Branch
Street
Upgrade the existing 8-inch cast
iron pipe to an 8-inch high density
polyethylene (HDPE) pipe under
Highway 101 from El Camino Real
to West Branch Street.

Upgrade the Police Department
report writing system to Pro
Phoenix to coincide with the San
Luis Obispo Sherriff’s Department
upgrade.

Projects Budgeted FY 2027-28
189
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2027-28 4487 - HBP
44,265
4950 - Measure O-2006 Sales Tax
5,735
4950 - Measure O-2006 Sales Tax
397,500
4924 - Storm Drain Facilities DIF
2,500
4950 - Measure O-2006 Sales Tax
65,000
4924 - Storm Drain Facilities DIF 5,000
350-55XX Parks & Play
Structures
Rotary Bandstand (Termite
Treatment, Repairs, Camera)
Termite treatment, repairs to
damaged columns, addition of a
new camera.
4950 - Measure O-2006 Sales Tax
40,000
4950 - Measure O-2006 Sales Tax
735,000
4906 - Recreation Facilities DIF
15,000
4499 - Other Gov Agencies
2,250,000
350-54XX Public Facilities Property and Evidence Storage System Upgrade
Upgrade current property and
evidence storage system with
custom storage compartments and
electronic organization system.
4955 - Police Facilities DIF
25,000
350-54XX Public Facilities City Hall Remodel of Work Spaces and Security Glass
Design to update the City Hall
workspaces for better use of
space, update the counters,
security glass, and safety.
4950 - Measure O-2006 Sales Tax
50,000
4930 - Sewer Fund
432,200
4931 - Sewer Facility
432,200
350-5658 Sidewalks Sidewalk Repairs and
Improvements
Annual funding allocated towards
sidewalk improvements and repairs
throughout the City.
4960 - Measure E-2024 Sales Tax
500,000
Recreation Services / Community
Center Building
Conceptual study that presents
design alternatives and cost
analysis, and then preparation of
construction documents for a new
Recreation Services/Community
Center building. Includes ADA
bathroom design and construction.
350-5556 Public Facilities
Bridge
Compliance as mandated by the
MS4 Stormwater Permit required
by the State.

Five year post-construction
environmental mitigation and
monitoring for the Traffic Way
Bridge Rehabilitation project.

Annual project to repair
deteriorating corrugated metal
pipes (CMP) throughout the City.
350-5798 Drainage Trash Amendments Compliance
Corrugated Metal Pipe (CMP)
Investigation and Repair
350-5794 Drainage
Traffic Way Bridge replacement
habitat mitigation
350-57XX
Cured-in-place pipe rehabilitation
along the entire length of the
sections mentioned below to
reduce infiltration, root intrusion,
and maintenance requirements, as
well as probability of failure.

Trenchless Sewer Rehabilitation -
Alder and Cameron Court to
Victorian Way, and Woodland
612-5826 Sewer

Projects Budgeted FY 2027-28
190
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2027-28 4920 - SB1
510,300
4960 - Measure E-2024 Sales Tax
5,039,000
4463 - CDBG
50,000
350-56XX Streets &
Transportation
Replacement of Traffic Guardrails Replacement of damaged guardrails.
4950 - Measure O-2006 Sales Tax
200,000
44XX - Safe Streets for All 640,000
4960 - Measure E-2024 Sales Tax 160,000
350-54XX Streets and
Transportation
Opt-com preemptive devices on
traffic signals within City Limits
Adding opt-com pre-emptive
devices on traffic signals within City
limits.
4922 - Traffic Signalization
84,000
640-59XX Water Reservoir No. 5 Booster
Modification &
Temporary Storage (Rancho
Grande)
Improvements to Rancho Grande
Pump station to increase long term
reliability and reduce temporary
storage required to provide water
supply with Reservoir 5 offline
which will occur for Reservoir 5
Cleaning and Interior Coating.
4940 - Water Fund
500,000
Total FY 2027-28 Projects 12,182,700
350-56XX Streets &
Transportation
East Grand Streetscape Planning
and Construction
Design phase of the East Grand
Streetscape project.

Streets & Pavement Management Program
Transportation
350-5638 The City’s Pavement Management
Program provides maintenance
history and pavement condition
index (PCI) for all public streets in
Arroyo Grande. The City annually
performs pavement maintenance
on public streets to the extent that
funds are available. Streets are
selected based on pavement
condition, location, and the type of
maintenance application.

Maintenance applications are
digouts, slurry seals, chip seals,
and pavement overlays.

Projects Budgeted FY 2028-29
191
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2028-29 4487 - HBP
44,265
4950 - Measure O-2006 Sales Tax
5,735
4950 - Measure O-2006 Sales Tax 67,500
4924 - Storm Drain Facilities DIF 2,500
4950 - Measure O-2006 Sales Tax
735,000
4906 - Recreation Facilities DIF
15,000
4499 - Other Gov Agencies
2,250,000
350-54XX Public Facilities City Hall Remodel of Work Spaces, Security Glass, Safety
Update the City Hall workspaces for
better use of space, update the
counters, security glass, and
safety.
4950 - Measure O-2006 Sales Tax
100,000
4950 - Measure O-2006 Sales Tax 150,000
4912 - Fire Facilities DIF
150,000
612-5849 Sewer Maintenance Hole Rehabilitation Rehabilitate existing sanitary sewer manholes with an epoxy liner.
4930 - Sewer Fund
250,000
350-5658 Sidewalks Sidewalk Repairs and
Improvements
Annual funding allocated towards
sidewalk improvements and repairs
throughout the City.
4960 - Measure E-2024 Sales Tax
500,000
Five year post-construction
environmental mitigation and
monitoring for the Traffic Way
Bridge Rehabilitation project.

Traffic Way Bridge replacement
habitat mitigation
350-57XX Bridge
350-5798 Drainage Trash Amendments Compliance
350-5556 Public Facilities Recreation Services / Community Center Building
Conceptual study that presents
design alternatives and cost
analysis, and then preparation of
construction documents for a new
Recreation Services/Community
Center building. Includes ADA
bathroom design and construction.

Divide existing large bedrooms to
create dorm rooms and office
space.

Compliance as mandated by the
MS4 Stormwater Permit required
by the State.
350-54XX Public Facilities Fire Station 1 Expansion &
Reconfiguration of the Sleeping
Quarters

Projects Budgeted FY 2028-29
192
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2028-29 4920 - SB1
525,600
4960 - Measure E-2024 Sales Tax
4,629,000
4463 - CDBG
50,000
44XX - Safe Streets for All 5,400,000
4960 - Measure E-2024 Sales Tax 1,800,000
4940 - Water Fund
150,000
4942 - Water Facility
150,000
640-59XX Water Reservoir No. 5 Cleaning and
Interior Coating
Interior coating is showing signs of
failing and must be recoated to
preserve the steel tank and protect
water quality. The inspection in
2003 indicated it had a useful life of
5 years which has elapsed.
4940 - Water Fund
730,000
Total FY 2028-29 Projects 17,704,600
640-59XX Water Miller Way Booster Zone Upgrade
East Grand Streetscape Planning
and Construction
Construction phase of the East
Grand Streetscape project.

Streets &
Transportation
350-56XX
The City’s Pavement Management
Program provides maintenance
history and pavement condition
index (PCI) for all public streets in
Arroyo Grande. The City annually
performs pavement maintenance
on public streets to the extent that
funds are available. Streets are
selected based on pavement
condition, location, and the type of
maintenance application.

Maintenance applications are
digouts, slurry seals, chip seals,
and pavement overlays.

Streets & Pavement Management Program
Transportation
350-5638
Complete upgrade on the Miller
Way Booster Station, including a
new pump building (or enclosed
package pump station), new
pumps and motors (2 x 5-HP), and
new bladder tanks. The upgraded
booster station will have a design
capacity of 75-gpm. This will
increase the reliability of the water
supply to the Miller Way zone and
will improve water service
pressure. In addition, this is
expected to decrease maintenance
costs and increase efficiency.

Projects Budgeted FY 2029-30
193
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2029-30 4487 - HBP
44,265
4950 - Measure O-2006 Sales Tax
5,735
4950 - Measure O-2006 Sales Tax
397,500
4924 - Storm Drain Facilities DIF 2,500
350-55XX Parks & Play
Structures
Soto Sports Complex LED Lighting Replace lighting with energy efficient LED lighting.
4950 - Measure O-2006 Sales Tax
100,000
350-54XX Public Facilities City Hall Remodel of Work Spaces, Security Glass, Safety
Update the City Hall workspaces for
better use of space, update the
counters, security glass, and
safety.
4950 - Measure O-2006 Sales Tax
100,000
350-54XX Public Facilities Police Station Security Fencing Add height to the existing fence. 4950 - Measure O-2006 Sales Tax 40,000 350-54XX Public Facilities City Facility Flooring (Fire Station 1, City Hall, Corp Yard, PD)
Replace flooring in City Facilities. 4950 - Measure O-2006 Sales Tax 150,000
4930 - Sewer Fund
475,000
4931 - Sewer Facility
475,000
350-5658 Sidewalks Sidewalk Repairs and
Improvements
Annual funding allocated towards
sidewalk improvements and repairs
throughout the City.
4960 - Measure E-2024 Sales Tax
500,000
Corrugated Metal Pipe (CMP)
Investigation and Repair
Annual project to repair
deteriorating corrugated metal
pipes (CMP) throughout the City.
350-5794
Cured-in-place pipe rehabilitation
along the entire length of the
sections mentioned below to
reduce infiltration, root intrusion,
and maintenance requirements, as
well as probability of failure.

Trenchless Sewer Rehabilitation -
Beech & Alder backyard
easements
612-58XX Sewer
350-57XX Bridge Traffic Way Bridge replacement
habitat mitigation
Five year post-construction
environmental mitigation and
monitoring for the Traffic Way
Bridge Rehabilitation project.

Drainage

Projects Budgeted FY 2029-30
194
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2029-30 4920 - SB1
541,400
4960 - Measure E-2024 Sales Tax
4,854,400
4463 - CDBG
50,000
350-56XX Streets &
Transportation
Branch Mill Road Slope
Stabilization
This is one of the 3 main streets
not addressed in the 13-year PMP.

The design phase of this project will
help find solutions to correct the
slope that continues to fall into the
nearby creek area. Once the City
Council has approved the design of
the slope stabilization the
construction contractor will be
selected and construction can
begin.
4960 - Measure E-2024 Sales Tax
600,000
640-59XX Water Alpine Crossing, Bennett and Bell
Mains and Services
The 4 inch main segment along
Bennett Ave and N. Alpine St. lacks
sufficient capacity to meet fire flow
requirements. This project was
identified as a project A-6 to
upgrade this main to 6" or greater
PVC pipe.
4940 - Water Fund
719,000
Total FY 2029-30 Projects 9,054,800
350-5638 Streets &
Transportation
Pavement Management Program The City’s Pavement Management Program provides maintenance
history and pavement condition
index (PCI) for all public streets in
Arroyo Grande. The City annually
performs pavement maintenance
on public streets to the extent that
funds are available. Streets are
selected based on pavement
condition, location, and the type of
maintenance application.

Maintenance applications are
digouts, slurry seals, chip seals,
and pavement overlays.

Projects Budgeted FY 2030-31
195
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2030-31 350-55XX Parks & Play
Structures
Don Roberts Scoring Shed at
Volunteer Field
New scoring shed. 4950 - Measure O-2006 Sales Tax
10,000
350-55XX Parks & Play
Structures
Rancho Grande Playground
Replacement
Replace playground at Rancho
Grande Park.
4950 - Measure O-2006 Sales Tax
800,000
350-55XX Parks & Play
Structures
Pump Track/Skate Park Design and build a pump track
which is usable for scooters,
skateboards and bicycles.
4921 - Park Facilities DIF
100,000
350-54XX Public Facilities Corporation Yard Renovations Renovation of Corporation Yard buildings and facilities.
4950 - Measure O-2006 Sales Tax
260,000
612-58XX Sewer Lift Station #3 - Creek Bank
Analysis and Generator
w/Automatic Switchover
Emergency backup power to
prevent sanitary sewer overflow if
the portable generator is not
available during an outage.

Evaluation and repair of creek bank
erosion.
4930 - Sewer Fund
129,000
350-5658 Sidewalks Sidewalk Repairs and
Improvements
Annual funding allocated towards
sidewalk improvements and repairs
throughout the City.
4960 - Measure E-2024 Sales Tax
500,000
4920 - SB1
557,600
4960 - Measure E-2024 Sales Tax
4,871,900
4463 - CDBG
50,000
Streets &
Transportation
350-5638 The City’s Pavement Management
Program provides maintenance
history and pavement condition
index (PCI) for all public streets in
Arroyo Grande. The City annually
performs pavement maintenance
on public streets to the extent that
funds are available. Streets are
selected based on pavement
condition, location, and the type of
maintenance application.

Maintenance applications are
digouts, slurry seals, chip seals,
and pavement overlays.

Pavement Management Program

Projects Budgeted FY 2030-31
196
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2030-31 350-56XX Streets &
Transportation
Branch Mill Road Slope
Stabilization
This is one of the 3 main streets
not addressed in the 13-year PMP.

The design phase of this project will
help find solutions to correct the
slope that continues to fall into the
nearby creek area. Once the City
Council has approved the design of
the slope stabilization the
construction contractor will be
selected and construction can
begin.
4960 - Measure E-2024 Sales Tax
3,000,000
350-5601 Streets &
Transportation
Fair Oaks Ave Active
Transportation Improvements,
Valley Road to Traffic
Way
Construct improvements on this
corridor with better pedestrian and
bicycle facilities, traffic calming and
improved access and circulation at
the intersection of US 101 south
bound ramps and Orchard Ave.

Work toward applying for Active
Transportation Project funding to
complete the design and
construction.
4950 - Measure O-2006 Sales Tax
75,000
350-56XX Streets &
Transportation
Harden Street Slope Stabilization This is one of the 3 main streets not addressed in the 13-year PMP.

The design phase of this project will
help find solutions to correct the
slope that continues to fall into the
nearby creek area. Once the City
Council has approved the design of
the slope stabilization the
construction contractor will be
selected and construction can
begin.
4960 - Measure E-2024 Sales Tax
200,000

Projects Budgeted FY 2030-31
197
TOC

Projects Budgeted FY 2031-32
198
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2031-32 4950 - Measure O-2006 Sales Tax
390,000
4924 - Storm Drain Facilities DIF 10,000
350-55XX Parks & Play
Structures
Strother Park Playground
Equipment Replacement (Small)
Replace small playground at
Strother Park
4950 - Measure O-2006 Sales Tax
250,000
350-55XX Parks & Play
Structures
Oro Park Playground Equipment
Replacement
Replace playground at Oro Park. 4950 - Measure O-2006 Sales Tax 250,000
4930 - Sewer Fund
300,000
4931 - Sewer Facility
300,000
350-5658 Sidewalks Sidewalk Repairs and
Improvements
Annual funding allocated towards
sidewalk improvements and repairs
throughout the City.
4960 - Measure E-2024 Sales Tax
500,000
4920 - SB1
574,300
4960 - Measure E-2024 Sales Tax
5,062,200
4463 - CDBG
50,000
Corrugated Metal Pipe (CMP)
Investigation and Repair
Drainage
Streets & Pavement Management Program
Transportation
350-5638 The City’s Pavement Management
Program provides maintenance
history and pavement condition
index (PCI) for all public streets in
Arroyo Grande. The City annually
performs pavement maintenance
on public streets to the extent that
funds are available. Streets are
selected based on pavement
condition, location, and the type of
maintenance application.

Maintenance applications are
digouts, slurry seals, chip seals,
and pavement overlays.
350-5794
Cured-in-place pipe rehabilitation
along the entire length of the
sections mentioned below to
reduce infiltration, root intrusion,
and maintenance requirements, as
well as probability of failure.

Trenchless Sewer Rehabilitation -
Hillcrest/Sierra backyard
easements
612-58XX Sewer
Annual project to repair
deteriorating corrugated metal
pipes (CMP) throughout the City.

Projects Budgeted FY 2031-32
199
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2031-32 350-5601 Streets &
Transportation
Fair Oaks Ave Active
Transportation Improvements,
Valley Road to Traffic
Way
Construct improvements on this
corridor with better pedestrian and
bicycle facilities, traffic calming and
improved access and circulation at
the intersection of US 101 south
bound ramps and Orchard Ave.

Work toward applying for Active
Transportation Project funding to
complete the design and
construction.
4950 - Measure O-2006 Sales Tax
225,000
350-56XX Streets &
Transportation
Connectivity from Branch (Coach) Coach Road is a major collector with existing Right-of-Way which
could be connected to Huasna.
4960 - Measure E-2024 Sales Tax
2,000,000
4940 - Water Fund 105,000
4942 - Water Facility 315,000
4940 - Water Fund
143,200
4942 - Water Facility 429,800
Total FY 2031-32 Projects 10,904,500
4" water main has insufficient
capacity to meet fire flow
requirements and must be upsized.
640-59XX Water Lierly Lane to Coach Road Upgrade
640-59XX Water Phased Main Replacement -
Highway 101 Crossing Upgrade,
West Cherry Avenue
This project will replace the existing
8-inch cast iron water main with
new 8-inch PVC pipe.

Projects Budgeted FY 2032-33
200
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2032-33 4921 - Park Facilities DIF
600,000
4950 - Measure O-2006 Sales Tax
200,000
612-58XX Sewer Clay Pipe Inspection Closed Circuit television inspection to assess the condition of old Clay
sewer pipe.
4930 - Sewer Fund
1,554,000
350-5658 Sidewalks Sidewalk Repairs and
Improvements
Annual funding allocated towards
sidewalk improvements and repairs
throughout the City.
4960 - Measure E-2024 Sales Tax
500,000
4920 - SB1
591,500
4960 - Measure E-2024 Sales Tax
5,067,300
4463 - CDBG
50,000
350-54XX Technology Generator at City Hall This generator will provide backup power in the event of a power
outage to help provide essential
support services to the City from
City Hall. The current generator
only supports the City’s IT Server
Room.
4950 - Measure O-2006 Sales Tax
200,000
640-59XX Water Security Cameras Installation of security cameras at the recommendation of the
Vulnerability Assessment to
improve security of the City's water
distribution system.
4940 - Water Fund
62,000
Total FY 2032-33 Projects 8,824,800
Develop Short Street into a vibrant
pedestrian-friendly plaza including,
dining areas, vendor spaces and an
amphitheater park area.
350-5430 Parks & Play Short Street Plaza Design
Structures
350-5638 Streets &
Transportation
Pavement Management Program The City’s Pavement Management Program provides maintenance
history and pavement condition
index (PCI) for all public streets in
Arroyo Grande. The City annually
performs pavement maintenance
on public streets to the extent that
funds are available. Streets are
selected based on pavement
condition, location, and the type of
maintenance application.

Maintenance applications are
digouts, slurry seals, chip seals,
and pavement overlays.

Projects Budgeted FY 2033-34
201
TOC
Project
Number Category Request Title Description of Improvement Funding Source FY 2033-34 4960 - Measure E-2024 Sales Tax 3,000,000
4960 - Measure E-2024 Sales Tax 900,000
4950 - Measure O-2006 Sales Tax
390,000
4924 - Storm Drain Facilities DIF 10,000
350-55XX Parks & Play
Structures
Soto Sports Complex ADA Access
Trails, Circulation, Irrigation
Connectivity of Soto Sports
Complex, Elm St. Park, and Don
Roberts with Trails including ADA
Access and updated irrigation.
4950 - Measure O-2006 Sales Tax
800,000
350-5658 Sidewalks Sidewalk Repairs and
Improvements
Annual funding allocated towards
sidewalk improvements and repairs
throughout the City.
4960 - Measure E-2024 Sales Tax
500,000
4920 - SB1
609,200
4960 - Measure E-2024 Sales Tax
4,747,300
4463 - CDBG
50,000
4940 - Water Fund
97,500
4942 - Water Facility 292,500
640-59XX Water 4" Mains Upgrades Replace segments of 4" water main which are inadequate to
provide fire flow.
4940 - Water Fund
5,875,000
Total FY 2033-34 Projects 17,271,500
350-5638
Existing 4" main is inadequate to
provide fire flow and must be
upgraded to 6" or greater PVC.

Coach Road and Greenwood Drive
Upgrades
640-59XX Water
Streets &
Transportation
Pavement Management Program The City’s Pavement Management Program provides maintenance
history and pavement condition
index (PCI) for all public streets in
Arroyo Grande. The City annually
performs pavement maintenance
on public streets to the extent that
funds are available. Streets are
selected based on pavement
condition, location, and the type of
maintenance application.

Maintenance applications are
digouts, slurry seals, chip seals,
and pavement overlays.

Corrugated Metal Pipe (CMP)
Investigation and Repair
Annual project to repair
deteriorating corrugated metal
pipes (CMP) throughout the City.
350-5794 Drainage
350-56XX Bridge Mason Street Bridge Widening of Mason Street Bridge.

Projects Budgeted FY 2034-35
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Project
Number Category Request Title Description of Improvement Funding Source FY 2034-35 350-57XX Bridge Fair Oaks Bridge Coating Surface coating to prolong the life of Fair Oaks Bridge.
4950 - Measure O-2006 Sales Tax
60,000
350-55XX Parks & Play
Structures
Kiwanis Park ADA Access Update and add ADA Access to
Kiwanis Park.
4950 - Measure O-2006 Sales Tax
350,000
350-55XX Parks & Play
Structures
Heritage Square Park Playground
Replacement
Replace playground at Heritage
Square Park.
4950 - Measure O-2006 Sales Tax
250,000
612-58XX Sewer Huasna Road Sewer Upgrade Hydraulic analysis indicated that thew sewer in Huasna is
undersized and need to be
upgraded to me.et projected
buildout.
4931 - Sewer Facility
850,000
612-5849 Sewer Maintenance Hole Rehabilitation Rehabilitate existing sanitary sewer manholes with an epoxy liner.
4930 - Sewer Fund
250,000
350-5658 Sidewalks Sidewalk Repairs and
Improvements
Annual funding allocated towards
sidewalk improvements and repairs
throughout the City.
4960 - Measure E-2024 Sales Tax
500,000
4920 - SB1
627,500
4960 - Measure E-2024 Sales Tax
9,103,900
4463 - CDBG
50,000
640-59XX Water Well No. 1 Replacement A supply shortage was identified if Lopez and Well 3 are out of
service. Well No. 1 is the oldest
well installed in 1940 and is the
candidate to be replaced.
4940 - Water Fund
2,635,000
Total FY 2034-35 Projects 14,676,400
350-5638 Streets &
Transportation
Pavement Management Program The City’s Pavement Management Program provides maintenance
history and pavement condition
index (PCI) for all public streets in
Arroyo Grande. The City annually
performs pavement maintenance
on public streets to the extent that
funds are available. Streets are
selected based on pavement
condition, location, and the type of
maintenance application.

Maintenance applications are
digouts, slurry seals, chip seals,
and pavement overlays.

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APPENDIX

204
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BUDGET RESOLUTION

205
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206
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207
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208
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209
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APPROPRIATION
LIMIT

Appropriation Limit
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The City’s appropriation limit is based on the Gann Spending Limit Initiative, a State constitutional amendment adopted by the voters on June 6, 1979 and amended in 1990 with Proposition 111 and SB 88, which included new adjustment formulas that allow cities a choice in methodologies for determining both the annual growth and inflation factors. The annual population growth factor can be calculated by using the greater of the City or the County population growth. Agencies have a choice of using the growth in California per capita personal income or the growth in non-residential assessed valuation due to new construction within their city. The City’s calculation uses the changes in California per capita personal income and the County of San Luis Obispo’s population as adjustment factors. It is anchored in the State Constitution under Article XIIIB.

The limit restricts appropriations from tax revenues by State and local governments. Under its provisions, no local agency can appropriate proceeds of taxes in excess of its “appropriation limit”. Excess funds may be carried over into the next year. However, any excess funds remaining after the second year must be returned to taxpayers by reducing tax rates or fees; a majority of the voters may approve an override to increase the limit.

In May 2025, the California Department of Finance released population and per capita personal income information. The population between January 2024 and January 2025 for the City decreased by six-tenths of one percent (-0.6%) and the County population decreased by zero point one percent (-0.1%). For FY 2024-25, the change in per capita personal income from the prior year increased by six and forty-four hundredths percent (6.44%).

In accordance with Proposition 111, the City’s annual spending limit must be approved by the City Council at the beginning of each fiscal year. The limit is calculated using the previous year’s appropriation limit ($28,875,036), multiplied by the per capita personal income percentage increase (6.44%), and multiplied again by the greater available population growth factor, which for FY 2024-25 is the County’s -0.1%.

The City is responsible for separating citywide revenues between tax and non-tax revenue and applying the formula to the cumulative appropriation limit. For FY 2025-26, the appropriation limit has been calculated to be 30,708,601. This calculation means the City cannot appropriate more than $30,708,601 of tax-based revenues in FY 2025-26. The estimated proceeds of taxes subject to the appropriation limit for the proposed FY 2025- 26 budget is estimated to be $27,233,700, which is approximately $3.5 million less than the appropriation limit. Therefore, the City is in compliance with Article XIIIB of the California Constitution. The City Council approved the Gann Limit calculation in Resolution No. 2025-039 on June 24, 2025.

Appropriation Limit FY 2025-26 Factors Ratio Formula
A) Prior Year Appropriation Limit $ 28,875,036
B) Adjustment Factors

1. Population Change -0.08% 0.99917

2. Per Capita Personal Income Change 6.44% 1.0644

3. Combined Factor 6.35% 1.0635 B1*B2
Adjusted Limit $ 30,708,601 A*B3

Appropriation Limit
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The following summarizes changes in the City’s appropriation limit and appropriations subject to the limit for the past ten years as well as the appropriation limit for 2025-26. A positive variance indicates that the City’s appropriations are lower than the allowable limit.

Fiscal
Year Limit Base
Per Capita
Personal Income
Change
Population
Change
Appropriations
Limit
Appropriations
Subject to Limit Variance
2016-17 19,465,437 5.37% 0.30% 20,572,263 14,445,114 6,127,149 2017-18 20,572,263 3.69% 0.09% 21,350,578 15,221,881 6,128,697 2018-19 21,350,578 3.67% 0.21% 22,180,626 15,975,475 6,205,151 2019-20 22,180,626 3.85% -0.02% 23,029,973 16,517,481 6,512,492 2020-21 23,029,973 3.00% 1.17% 23,998,406 17,003,950 6,994,456 2021-22 23,998,406 5.73% -0.35% 25,284,708 17,032,795 8,251,913 2022-23 25,284,708 7.55% -1.31% 26,838,434 17,566,053 9,272,381 2023-24 26,838,434 4.44% -0.50% 27,890,501 19,991,979 7,898,522 2024-25 27,890,501 3.62% -0.08% 28,875,036 20,577,352 8,297,684 2025-26 28,875,036 6.44% -0.08% 30,708,601 27,233,700 3,474,901 -
5,000
10,000
15,000
20,000
25,000
30,000
35,000
2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 2025-26 values (in thousandths)
Appropriation Limit
Appropriations Limit Appropriations Subject to Limit

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APPROPRIATION

LIMIT RESOLUTION

213
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214
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215
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216
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217
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BUDGET GLOSSARY

Budget Glossary
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Account: A subdivision within a fund for the purpose of classifying transactions.

Account Number: A numeric identification of the account. Typically, a unique number or series of numbers. The City of Arroyo Grande’s number structure is comprised of three (3) fields of characters.

The first field is three (3) characters wide and identifies the various FUNDS within the account system.

The next field contains four (4) characters and identifies the PROGRAMS and/or DIVISIONS within the City.

The final field contains four (4) characters and identifies the OBJECT CODE of the account number. The combination of the three fields makes up the account number.

Accrual Basis or Accrual Method: Accounting method whereby income and expense items are recognized as they are earned or incurred, even though they may not have been received or actually paid in cash. The alternative is Cash Basis. The City of Arroyo Grande uses the method of “Modified Accrual” basis of accounting for governmental and agency funds. All proprietary funds are accounted for using the accrual basis of accounting.

ACFR: Annual Comprehensive Financial Report which is an audited and printed copy of the City’s financial statement at the end of a given fiscal year.

Actual: The recorded revenue or expenditure for a specific account number. The actual columns, referenced in this document, report the revenues or expenditures as audited by an independent auditor.

Adopted Budget: A budget which typically has been reviewed by the public and “Adopted” (approved) by the City Council prior to the start of the fiscal year. The adopted budget is the legal authority to expend money for specified purposes in the fiscal year time period.

AGPOA: Arroyo Grande Police Officers Association. This union represents sworn and non-sworn police employees working for the City.

AGTBID: Arroyo Grande Tourism Business Improvement District. Established in May 2013 by Ordinance, the district exists to provide projects, programs and activities that benefit lodging businesses located and operating with the boundaries of the City. Assessments are levied on all lodging businesses and are subject to annual review by the City Council in accordance with the requirements contained in the Parking and Business Improvement Area Law of 1989 (Streets and Highways Code Sections 36500 et seq.).

Appropriate: Set apart for, or assign to, a particular purpose or use.

Appropriated Expenditure: A budget amount set-aside for a specific acquisition or purpose.

Appropriation: An authorization by the City Council to make expenditures and to incur obligation for specific amounts and purposes. For most local governments, the adopted budget document is the source for all or most appropriations.

Budget Glossary
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Assessed Valuation: An official value established for real estate or other property as a basis for levying property taxes.

Assessments: Charges made to parties for actual services or benefits received.

Assets: Property owned by the City which has book or appraised monetary value.

Audit: A review of the accounting system and financial records to verify that government funds were spent and received in accordance with Generally Accepted Accounting Principles (GAAP) and in compliance with the legislative body’s appropriations.

Authorized Positions: Employee positions, which are authorized in the adopted budget, to be filled during the year.

Available (Undesignated) Fund Balance: Funds remaining from prior years, which are available for appropriation and expenditure in the current year.

Balance Sheet: A statement presenting the financial position of an entity or fund by disclosing the value of its assets, liabilities, and equities as of a specified date.

Balanced Budget: Budgeted resources, including revenue, transfers from other funds, and unallocated fund balance from previous years meet or exceed the budgeted use of resources, including expenditures and transfers to other funds.

Base Budget: The ongoing expense level necessary to maintain service levels previously authorized by the City Council.

Beginning Balance: Unencumbered resources available in a fund from the prior fiscal year after payment of prior fiscal year expenditures.

Bond: A written promise from a local government to repay a sum of money on a specific date at a specified interest rate. Bonds are most frequently used to finance capital improvement projects such as buildings, streets, and bridges.

Budget: A plan of financial operation, for a set time period, which identifies specific types and levels of services to be provided, proposed appropriations or expenses, and the recommended means of financing them.

Budget Amendments: The City Council has the sole responsibility for adopting the City’s budget, and may amend or supplement the budget at any time after adoption by majority vote. The City Manager and Administrative Services Director have joint authority to approve line-item budgetary transfers between expenditure objects of the budget, as long as transfers do not affect ending fund balances.

Budget Glossary
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Budgetary Basis: The basis of accounting used to estimate financing sources and uses in the budget.

Budget Message: The opening section of the budget, which provides the City Council and the public with a general summary of the most important aspects of the budget, changes from previous years, and presents recommendations made by the City Manager.

Budget Year: Is the FISCAL YEAR for which the budget is being considered.

Budgetary Unit: An organizational component budgeted separately, usually a department or a division.

Capital Expenditures: An acquisition or an improvement (as distinguished from a repair) that will have a life of more than one year.

Capital Improvement Budget: A financial plan or authorized expenditures for tangible, long-term construction of, or improvement to, public physical facilities.

Capital Improvement Program (CIP): A long-term plan for multi-year projects such as street or park improvements, building construction, and various kinds of major facility maintenance. The projects set out in the plan usually require funding beyond the one-year period of the annual budget and the plan details funding sources and expenditure amounts.

Capital Outlay: Expenditures that result in the acquisition of or addition to, fixed assets. A capital item is tangible, durable, and non-consumable, and has a useful life of more than one year.

Carryover: Unspent funds, either encumbered, reserved, or unobligated, brought forward from prior fiscal years.

Cash Basis: A basis of accounting in which transactions are recognized only when cash is increased or decreased.

Consumer Price Index (CPI): Measure of change in consumer prices as determined by a monthly survey of the U.S. Bureau of Labor Statistics. Many pension and employment contracts are tied to changes in consumer prices as protection against inflation and reduced purchasing power. Among the CPI components are the costs of housing, transportation, and electricity. Also known as the Cost-of-Living Index.

Contingency: A budgetary reserve set aside for emergencies or unforeseen expenditures not otherwise budgeted.

Contractual Services: Services rendered to a government by private firms, individuals, or other governmental agencies. Examples include maintenance agreements, professional contracts, and tree trimming agreements.

Budget Glossary
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Debt Service: The City’s obligation to pay the principal and interest of all bonds and other debt instruments according to a pre-determined payment schedule.

Deficit: The excess of an entity’s liabilities over its assets or the excess of expenditures or expenses over revenues during a single accounting period.

Department: A basic organizational unit of government that is functionally unique in its delivery of services. The components are hierarchically arranged as follows: Department (such as Public Works): and Division (such as Sewer Maintenance).

Depreciation: The loss in value of an asset, due to physical changes, obsolescence, or factors outside of the asset.

Development-related Fees: Fees and charges generated by building, development, and growth in a community. Included in development-related fees are building permits, development review fees, and zoning and subdivision fees.

Disbursement: The expenditure of monies from an account.

Division: An organizational component of a department.

Encumbrance: The commitment of appropriated funds to purchase goods or services. An encumbrance is not an expenditure. An encumbrance reserves funds to be expended on a specific item or service.

Enterprise Fund: A proprietary fund used to account for operations that are financed and operated in a manner similar to private business enterprises. The intent of enterprise funds is to have the costs of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges. The rate schedule for these services is established to ensure that revenues are adequate to meet all necessary expenditures.

Expenditure/Expense: The outflow of funds paid or to be paid for an asset obtained or goods and services obtained regardless of when the expenditure is actually paid. The term expenditure applies to Governmental Funds, while the term expense is used for Enterprise and Internal Service Funds.

Expenditure Object Code: Unique identification number and title for a minor expenditure category. Represents the most detailed level of budgeting and recording of expenditures, also referred to as a “line item.”
Fiscal Policy: A government’s policies with respect to revenues, spending, and debt management as these relate to government services, programs and capital investment. Fiscal policy provides an agreedupon set of principles for the planning and programming of government budgets and their funding.

Budget Glossary
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Fiscal Year (FY): The 12-month period for recording financial transactions. The City of Arroyo Grande has specified the fiscal year to begin July 1st and end June 30th.

Fixed Assets: Assets of long-term character such as land, buildings, machinery, equipment, and furniture.

Franchise Fee: A franchise fee is charged for the privilege of using public rights-of way and property within the City for public or private purposes. The City currently assesses franchise fees on utilities such as electricity, gas and solid waste collection.

Full-time Equivalent Position (FTE): Positions or fractions thereof based on full-time definition of forty hours of work per week.

Fund: A separate accounting entity with a self-balancing set of accounts to record all financial transactions (revenues and expenditures) for specific activities or government functions. Funds are classified into three categories: governmental, proprietary, and fiduciary. Commonly used funds in governmental accounting are General Fund, Special Revenue Funds, Debt Service Funds, Capital Project Funds, Enterprise Funds, Internal Service Funds, Agency Funds, and Special Assessment Funds.

Fund Accounting: The basis of accounting used particularly by governments. Since there is no profit motive, accountability is measured instead of profitability. The main purpose is stewardship of financial resources received and expended in compliance with legal requirements. Financial reporting is directed at the public rather than investors.

Fund Balance: The excess of assets over liabilities of a fund.

GANN Limit: State of California legislation that limits a City’s total appropriations from tax revenues.

Gas Tax Fund: A fund to account for receipts and expenditures of money apportioned under Street and Highway Code section 2105, 2106, 2107, and 2107.5 of the State of California.

General Fund: The primary operating fund of the City, which accounts for resources and services traditionally associated with government. The General Fund provides administrative, financial, police protection, community development, public works, and recreation services to the community and other funds. The General Fund accounts for revenues that have unrestricted uses and are not required legally or by contractual agreement to be accounted for in another fund.

Generally Accepted Accounting Principles (GAAP): Uniform minimum standards for financial accounting and recording, encompassing the conventions, rules, and procedures that define accepted accounting principles.

Budget Glossary
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General Obligation Bond: Bonds that are usually limited by state law as to the amount as well as the length of indebtedness that a government can have. These “Full Faith and Credit” bonds are secured by all of the financial assets of the local government, including property taxes.

Goal: A general statement of broad direction, purpose, or intent that describes the essential reason for existence and which is not limited to a one-year time frame. Generally, a goal does not change from year to year.

Grant: Contributions of gifts or cash or other assets from another governmental entity to be used or expended for a specific purpose, activity, or facility. An example is the Community Development Block Grant awarded by the federal government.

Indirect Cost: Costs that cannot be easily seen in the product or service. Electricity, insurance, and data processing costs are examples of indirect costs.

Infrastructure: The physical assets of the City, i.e. streets, water, sewer, public buildings, and parks, and the support structures within a development.

Interfund Transfers: The movement of monies between funds to assist in financing the services for the recipient fund.

Intergovernmental Revenue: Funds received from federal, state, and other local government sources in the form of grants, shared revenues, and payments in lieu of taxes.

JPA: Joint Powers Agreement. An entity created by two or more public authorities to jointly exercise any power common to all of them. The City of Arroyo Grande joined in a JPA, California Joint Powers Insurance Association, for the purpose of jointly managing liability and workers compensation issues. The City is also a member of the Five Cities Fire Authority, a JPA for fire services with the City of Grover Beach and Oceano Community Services District.

Jurisdiction: Geographic or political entity governed by a particular legal system or body of laws.

Liability: Debt or other legal obligations arising out of transactions in the past which must be liquidated, renewed or refunded at some future date.

Measure O-06 Local Use Tax Fund: Fund to account for the ½% local sales tax increase approved by the voters in November of 2006.

Measure E-24 Local Use Tax Fund: Fund to account for the 1% local sales tax increase approved by the voters in November of 2024.

Long-term Debt: Debt with a maturity of more than one year after the date of issuance.

Budget Glossary
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Modified Accrual Basis or Modified Accrual Method: Accounting method whereby income and expense items are recognized, as they are available and measurable.

Objective: Measurable statement of the intended beneficial and tangible effects of a program’s activities. An objective is a specific target toward which a manager can plan, schedule work activities, and make staff assignments. An objective is stated in quantifiable terms such that it is possible to know when it has been achieved. Examples are increase an activity by a specific amount by a certain date; maintain a service level; reduce the incidence of something by a specific amount by a given date, or eliminate a problem by a set date. The emphasis is on performance and its measurability.

Operating Expense: A series of object codes, which include expenditures for items, which primarily benefit the current period and not defined as personnel services, contractual services, or capital outlays.

Operating Revenues: Funds that the government receives as income to pay for ongoing operations.

It includes such items as taxes, fees from specific services, interest earnings, and grant revenues.

Operating revenues are used to pay for day-to-day services.

Organization Chart: A chart showing the interrelationships of positions within an organization in terms of authority and responsibilities. There are basically three patterns of organization: line organization, functional organization, and line and staff organization.

Performance Measures: Specific quantitative measures of work performed with a program (i.e. miles of streets cleaned). Also, specific quantitative measures of results obtained through a program (i.e. percent reduction in response time compared to previous year).

PERS: Public Employees Retirement System, which is the state retirement system for public employees that provides its members with benefits at retirement or upon disability or death.

Program: A group of related activities performed by one or more organizational units for the purpose of accomplishing a function for which the government is responsible.

Proprietary Funds: These funds account for records of operations similar to those found in a business, such as Enterprise funds and Internal Service funds.

Redevelopment Agency (RDA): A separate legal entity governed by the California Community Redevelopment Law. RDAs were officially dissolved by the California Legislature as of February 1, 2012.

To facilitate the dissolution process, Successor Agencies were established to manage redevelopment projects underway, make payments on enforceable obligations, and dispose of redevelopment assets and properties.

Redevelopment Fund: A fund to account for transactions related to proceeds from bonds and other resources and their use to perform redevelopment activities within specific project areas.

Budget Glossary
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Resolution: A special or temporary order of a legislative body; an order of a legislative body requiring less legal formality than an ordinance or statute.

Restricted Fund Balance: The portion of a fund’s balance legally restricted for a specific purpose and, therefore, not available for general appropriations.

Revenues: Funds received from various sources and treated as income to the City that are used to finance expenditures. Examples are tax payments, fees for services, receipts from other governments, fines, grants, licenses, permits, shared revenue, and interest income.

SEIU: Service Employees International Union, Local 620. This union represents all full time employees other than police and management employees.

Special Assessment Fund: Contain moneys received from special charges levied on property owners who benefit from a particular capital improvement or service.

Special Revenue Fund: A governmental fund type used to account for specific revenues that are legally restricted to expenditures for particular purposes.

Subvention: That portion of revenues collected by other government agencies on the City’s behalf.

Taxes: Compulsory charges levied by a government for the purpose of financing services performed for the common benefit of the people. This term does not include specific charges made against particular persons or property for current or permanent benefit, such as special assessments.

Transient Occupancy Tax: A tax imposed on travelers who stay in temporary lodging establishments in the City. The tax is collected by the operators of lodging establishments located within the City, on behalf of the City. This tax is then remitted to the City.

User Charges/Fees: The payment of a fee for the direct receipt of a public service by the party benefitting from the service.

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GUIDE TO FUNDS BY
NUMBER

Guide to Funds by Numbers
227
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100 General Fund – The primary operating fund of the City, which accounts for resources and services traditionally associated with government. The General Fund provides administrative, financial, police and fire protection, community development, parks and recreation, and public works services to the community and other funds. The General Fund accounts for revenues that have unrestricted uses and are not required legally or by contractual agreement to be accounted for in another fund. 120 Measure O-06 Local Use Tax Fund – Fund to account for the ½% local sales tax increase approved by the voters in November of 2006.
140 Measure E-24 Local Use Tax Fund – Fund to account for the 1% local sales tax increase approved by the voters in November of 2024.
210 Fire Protection Impact – This fund accounts for impact fees collected from developers for the expansion of the existing fire station in order to serve future development. 211 Public Access Television – This fund accounts for fees collected from Charter Communications that are restricted for support of public, education and government access programming and equipment.
212 Police Protection Impact – This fund accounts for impact fees collected from developers for the expansion of the existing police facility in order to serve future development. 213 Park Development – This fund accounts for the receipts of park-in-lieu fees (Quimby) and grant revenues that are used for construction, park acquisition, and development of park facilities. 214 Park Improvement – Impact fees that are collected for park improvements will be used to maintain the adopted level of service for neighborhood and community parks of 4.0 acres per thousand population. This fund accounts for the receipt of these monies. 215 Recreation Community Center – This fund accounts for impact fees collected for recreation facilities in order to maintain the adopted level of service of recreation/community center facilities of 542 square feet.
216 Grace Lane Assessment District – Fund to account for revenues derived from annual assessments of properties within the District, which are used to pay the cost incurred by the City for landscape maintenance.
217 Landscape Maintenance District – This fund accounts for the landscape maintenance of parkways within two housing tracts. A special benefit assessment is levied on property owners to pay for landscape maintenance expenditures.

Guide to Funds by Numbers
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219 Parkside Assessment District – Fund to account for revenues derived from annual assessments of properties, which are used to pay the cost incurred by the City for landscape maintenance.
220 Street (Gas Tax) Fund – The fund that accounts for receipts and expenditures of money apportioned by the State under Streets and Highway Code sections. Gas tax revenues can only be used to construct and maintain streets and highways.
222 Traffic Signalization – This fund accounts for traffic signalization assessments levied against developments for the future cost of traffic signals. 223 Traffic Circulation – This fund accounts for developer traffic mitigation measure fees charged as a result of an environmental review.
224 Transportation Facility Impact – This fund accounts for developer impact fees (AB1600 fees) paid to protect the public health, safety, and welfare by maintaining the existing level of public services for existing and future residents within the City of Arroyo Grande. 225 Transportation Fund – The fund accounts for revenues from the Local Transportation Fund (LTF), the South County Transit (SCT), and a senior taxi program administered by SCT.

Expenditures are restricted to public transportation.
226 Water Neutralization Impact Fund – This fund accounts for mitigation fees collected from developers to neutralize projected water demand, of development projects, above historical usage amounts.
231 Drainage Facility – This fund accounts for development drainage fees restricted to improving drainage within the City.
232 In-lieu Affordable Housing – The fund accounts for monies paid by developers in meeting the City’s mandatory affordable housing requirements. 233 In-lieu Underground Utilities – The fund accounts for monies paid by developers in meeting the City’s underground utility requirements.
240 Arroyo Grande Tourism Marketing Improvement District Fund – The fund that accounts for assessments collected from lodging establishments, which are restricted for programs, projects and activities that benefit lodging businesses in the City. 241 Water Availability Fund – The fund that accounts for impact fees collected to mitigate future water requirements.

Guide to Funds by Numbers
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250 CDBG Grant Fund – The fund accounts for revenues and expenditures related to Community Development Block Grant Funds.
271 State COPS Block Grant Fund – The fund that accounts for the receipt of revenues from the State of California restricted to the purchase of police equipment and technology for crime prevention.
286 Successor Agency to the Former Redevelopment Agency Administration – Fund used to account for tax increment revenues to be used for Successor Agency administration and payment of the former Redevelopment Agency enforceable obligations. 287 Successor Agency to the Former Redevelopment Agency Housing Function – The fund accounting for tax increment revenues of the former Redevelopment Agency to be used for low and moderate housing within the City.
350 Capital Improvement Program – Fund established to account for transfers from other City funds and grant revenues to be used for infrastructure improvements within the City. The Program is divided into six project types – Miscellaneous Projects, Park Projects, Street Projects, Drainage Projects, Sewer Projects, and Water Projects.
612 Sewer Fund – Fund used to account for maintenance of sewer lines connecting City residents to the San Luis Obispo County Sanitation District sewer plant. Maintenance costs are funded by user charges.
634 Sewer Facility Fund – This fund accounts for the accumulation of sewer facility revenues to be used in capital improvement projects in the City. 640 Water Fund – Fund used to account for the operation of water utility service to the community. Revenues are received from fees for service. 641 Lopez Fund – The Lopez Fund is responsible for the purchase of water, debt servicing, and the maintenance and operation of Lopez Dam. User Fee charges for water availability and utility billing are the major revenue sources of this fund.
642 Water Facility Fund – Fund used to account for the accumulation of revenues from charges for current services to be used for future water infrastructure improvements. 751 Downtown Parking – Agency Fund collecting assessments from Village merchants for the maintenance of Village parking for the Downtown Village Merchants Association.

1 Item 9.d.

ACTION MINUTES

REGULAR MEETING OF THE CITY COUNCIL
July 22, 2025, 6:00 p.m.

Hybrid City Council Chamber/Virtual Zoom Meeting
215 East Branch Street, Arroyo Grande
Council Members Present: Mayor Pro Tem Kate Secrest, Council Member Jim Guthrie, Council Member Jamie
Maraviglia, Council Member Aileen Loe
Council Members Absent: Mayor Caren Ray Russom
Staff Present: City Clerk Jessica Matson, City Attorney Isaac Rosen, City Manager Matthew Downing,
Assistant City Manager/Public Works Director
Bill Robeson, Community Development
Director Brian Pedrotti, Interim Police Chief
David Culver, Commander Zak Ayala, City
Engineer Shannon Sweeney
This meeting was conducted in a hybrid in-person/virtual format. _____________________________________________________________________

1. CALL TO ORDER
Mayor Pro Tem Secrest called the Regular City Council Meeting to order at 6:00 pm.

2. ROLL CALL
City Clerk Matson took roll call.

3. MOMENT OF REFLECTION

4. FLAG SALUTE
Mayor Pro Tem Secrest led the flag salute.

5. AGENDA REVIEW

5.a Closed Session Announcements
None.

5.b Ordinances read in title only
None.

2 Item 9.d.

6. SPECIAL PRESENTATIONS

6.a Central Coast Community Energy Presentation
Das Williams, Central Coast Community Energy, presented.

6.b City Manager Communications
City Manager Downing provided information on the Summer Concert Series; upcoming Coffee with a Cop on July 25th; Traffic Way Bridge Replacement Project and Buy Local Program; and the FlashVote community outreach tool.

No action was taken on this item.

7. CITY COUNCIL REPORTS
The City Council provided brief reports from the following committee, commission, board, or other subcommittee meetings that they attended as the City’s appointed representative.

7.b MAYOR PRO TEM SECREST:

1. Air Pollution Control District (APCD)

2. Homeless Services Oversight Council (HSOC)

3. South County Chambers of Commerce Governmental Affairs Committee

4. Other

7.c COUNCIL MEMBER GUTHRIE:

1. Central Coast Community Energy (CCCE) Policy Board

2. Integrated Waste Management Authority Board (IWMA)

3. REACH Economic Development Roundtable

4. Other

7.d COUNCIL MEMBER MARAVIGLIA:

1. Five Cities Fire Authority JPA Board

2. Visit SLO CAL Advisory Board

3. Other

7.e COUNCIL MEMBER LOE:

1. Council of Governments/Regional Transit Authority (SLOCOG/SLORTA)

2. County Water Resources Advisory Committee (WRAC)

3. Zone 3 Water Advisory Board

4. Other

3 Item 9.d.

8. COMMUNITY COMMENTS AND SUGGESTIONS
Mayor Pro Tem Secrest invited public comment. No public comments were received.

Council Member Loe commented on correspondence received from the public regarding immigration enforcement. City Manager Downing introduced Interim Police Chief Culver and Chief Culver provided a statement and responded to questions from Council.

9. CONSENT AGENDA
Mayor Pro Tem Secrest invited public comment. No public comments were received.

Mayor Pro Tem Secrest asked the Council if there were any questions or any items to be pulled from the consent agenda for further discussion. Council Member Loe acknowledged appointees to the Citizens' Sales Tax Oversight Committee and SLOCOG's Citizens' Transportation Advisory Committee.

Moved by Council Member Maraviglia
Seconded by Council Member Guthrie
Approve Consent Agenda Items 9.a. through 9.m., with the recommended courses of action.

AYES (4): Council Member Maraviglia, Council Member Guthrie, Council Member Loe, and Mayor Pro Tem Secrest
ABSENT (1): Mayor Ray Russom
Passed (4 to 0)

9.a Cash Disbursement Ratification
Reviewed and ratified the listing of cash disbursements for the period of June 1 through June 30, 2025.

9.b Statement of Investment Deposits for May 2025
Received and filed the report listing investment deposits of the City of Arroyo Grande as of May 31, 2025, as required by Government Code Section 53646(b).

9.c Approval of Minutes
Approved the minutes of the Regular City Council Meeting of June 24, 2025, as submitted.

9.d Appointment to the Citizens Transportation Advisory Committee 1) Adopted a Resolution entitled: "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE APPOINTING LINDA ST. JAMES TO THE SAN LUIS OBISPO COUNCIL OF GOVERNMENT’S CITIZENS TRANSPORTATION ADVISORY COMMITTEE"; and 2) Determined that approving the appointment to the Committee 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, Cal. Code Regs., tit. 14, §§ 15060, subd. (c)(2)-(3), 15378.).

4 Item 9.d.

9.e Appointments to the Citizens’ Sales Tax Oversight Committee 1) Adopted a Resolution entitled: "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE APPROVING APPOINTMENTS TO THE CITIZENS’ SALES TAX OVERSIGHT COMMITTEE"; and
2) Determined that approving appointments to the CSTOC 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, Cal. Code Regs., tit. 14, §§ 15060, subd. (c)(2)-(3), 15378.).

9.f Exclusive Vendor Police Tow Service Agreement with College Towing South Adopted a Resolution entitled: "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ARROYO GRANDE, CALIFORNIA, AUTHORIZING THE CITY MANAGER TO EXECUTE AN

EXCLUSIVE VENDOR POLICE TOWING SERVICE AGREEMENT WITH COLLEGE TOWING SOUTH".

9.g Resolution of Intention to Amend AGTBID Authorized Uses 1) Adopted a Resolution entitled: "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ARROYO GRANDE DECLARING ITS INTENTION TO AMEND THE AUTHORIZED

IMPROVEMENTS AND ACTIVITIES FUNDED BY ASSESSMENTS IMPOSED THROUGH

THE ARROYO GRANDE TOURISM BUSINESS IMPROVEMENT DISTRICT, INITIATE THE PROCESS TO AMEND THE CITY’S MUNICIPAL CODE, AND TAKING OTHER ACTIONS RELATED THERETO"; and
2) Found that the recommended actions to support the Arroyo Grande Tourism Business Improvement District are not subject to the California Environmental Quality Act (“CEQA”) because these efforts have no potential to result in either a direct, or reasonably foreseeable indirect, physical change in the environment. (State CEQA Guidelines, §§ 15060 (c)(2) and (3), 15378).

9.h Notice of Acceptance, 2024 Street Repairs Project, PW 2024-01 1) Accepted the 2024 Street Repairs Project;
2) Directed staff to file a Notice of Completion; and
3) Authorized release of retention thirty-five days after the Notice of Completion has been recorded, if no liens have been filed.

9.i Award of Predesign for 2025 Streets Repair Project
1) Adopted a Resolution entitled: "A Resolution of the City Council of the City of Arroyo Grande authorizing the City Manager to execute a contract for the 2025 Streets Repair Project Predesign to Pavement Engineering, Inc. (PEI) for $138,550, subject to any minor, technical, or non-substantive changes as approved by the City Manager in consultation with the City Attorney and Authorizing the City Manager to approve change orders of 10%

5 Item 9.d.
of the contract amount, $13,855, for unanticipated costs during the predesign phase of 2025 Streets Repair Project; and
2) Determined that the project is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guideline Section 15301 covering the repair and maintenance of existing streets, sidewalks, gutters, and similar facilities.

9.j Fourth Revision to the Sewer System Management Plan 1) Adopted a Resolution entitled: "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE ADOPTING REVISION 4 OF THE SEWER SYSTEM MANAGEMENT PLAN"; and
2) Authorized the Director of Public Works to certify the completion of the SSMP to the State Water Resource Control Board (SWRCB); and
3) Made findings that approving the Sewer System Management Plan revision is not a project subject to the California Environmental Quality Act (“CEQA”) in accordance with Sections 15301, 15302, 15308 and 15378(b)(5) of the (CEQA) Guidelines.

9.k Monthly Water Supply and Demand Update
Received and filed the Monthly Water Supply and Demand Update.

9.l Professional Services Agreement for Building Division Staff, Plan Review, and Inspection Services
1) Adopted a Resolution entitled: "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ARROYO GRANDE AUTHORIZING THE CITY MANAGER TO EXECUTE A PROFESSIONAL

SERVICES AGREEMENT FOR CONSULTANT SERVICES FOR BUILDING DIVISION STAFF, PLAN REVIEW, AND INSPECTION SERVICES WITH JAS PACIFIC"; and 2) Find that the approval of a Professional Services Agreement for the contemplated services 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. (b)(2)-(3), 15378.)

9.m General Plan Update Progress Report – July 2025
Received and filed a progress report on the Comprehensive General Plan Update.

10. PUBLIC HEARINGS

10.a Continued Public Hearing to Consider a Resolution Denying Appeal Case 24-002; Location – 444 Lierly Lane; Appellant – Bruce Vanderveen Council Member Maraviglia declared a conflict of interest due to her involvement in the item while on the Planning Commission; and left the meeting.

Community Development Director Pedrotti presented the Item. Ty Green, appellant's attorney, presented. Director Pedrotti responded to questions from Council.

6 Item 9.d.

Mayor Pro Tem Secrest opened the public hearing. Speaking from the public were Ingrid Kovacs, Dave Pomeroy, Brad Stevens, Scott Allman, Tony Janowicz, Tom Griffin. Upon hearing no further public comments, Mayor Pro Tem Secrest closed the public hearing.

Director Pedrotti and City Manager Downing responded to questions from Council. City Attorney Rosen responded to questions from Council regarding an eminent domain process.

Ty Green, appellant's attorney, provided rebuttal comments.

Council discussion ensued regarding subarea density, eminent domain, and the parcel map.

City Attorney Rosen commented on process and staff's recommendation.

Moved by Council Member Guthrie
Seconded by Mayor Pro Tem Secrest
1) Adopt a Resolution entitled: "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE DENYING APPEAL CASE NO. 24-002 AND DENYING WITH PREJUDICE TENTATIVE PARCEL MAP 23-001; SUBDIVISION OF ONE (1) EXISTING PARCEL INTO FOUR (4) NEW PARCELS WITH ONE (1) REMAINDER PARCEL; LOCATION – 444 LIERLY LANE; APPLICANT – BRUCE VANDERVEEN AND JEANNE HELPHENSTINE; REPRESENTATIVE – KERRY MARGASON, MBS LAND SURVEYS"; and 2) Determine that denial of the Project is exempt from environmental review under the California Environmental Quality Act (CEQA) because CEQA does not apply to the disapproval or rejection of projects by a public agency. (Pub Resources Code, § 21080, subd. (b)(5); State CEQA Guidelines, § 15270, subd. (a).). There will be no subdivision or construction as a result of the denial of this application for a subdivision, and therefore the denial 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.).

AYES (3): Council Member Guthrie, Mayor Pro Tem Secrest, and Council Member Loe ABSENT (2): Mayor Ray Russom, and Council Member Maraviglia Passed (3 to 0)

11. BUSINESS ITEMS

11.a First Amendment to City Manager Employment Agreement Mayor Pro Tem Secrest called for a brief break at 7:33 p.m. The Council reconvened at 7:37 p.m.

Council Member Maraviglia returned to the meeting.

City Attorney Rosen presented the Item.

Mayor Pro Tem Secrest invited public comment. No public comments were received.

Moved by Council Member Loe
Seconded by Council Member Guthrie

7 Item 9.d.

Approve the First Amendment to the Employment Agreement between the City of Arroyo Grande and Matthew Downing following an oral report by the City Attorney summarizing any changes in the salaries, salary schedules or compensation paid in the form of fringe benefits consistent with the Brown Act.

AYES (4): Council Member Loe, Council Member Guthrie, Council Member Maraviglia, and Mayor Pro Tem Secrest
ABSENT (1): Mayor Ray Russom
Passed (4 to 0)

12. COUNCIL COMMUNICATIONS
Council Member Loe commented on a tour she took at the Diablo Power Plant.

Council Member Maraviglia commented on the "Where's Waldo" Village initiative; and commented that she would like the Council to consider a social host ordinance before next 4th of July.

13. ADJOURNMENT
There being no further business to come before the City Council, Mayor Pro Tem Secrest adjourned the meeting at 7:46 pm.
_________________________
Caren Ray Russom, Mayor
ATTEST:
_________________________
Jessica Matson, City Clerk

Item 9.e.

MEMORANDUM
TO: City Council
FROM: Jessica Matson, Director of Legislative & Information Services/ City Clerk
SUBJECT: Appointment of a Voting Delegate and Alternate for the League of California Cities Annual Conference
DATE: August 12, 2025
RECOMMENDATION:

Appoint Mayor Ray Russom as the voting delegate and Council Member Guthrie as the alternate for the League of California Cities Annual Conference; and authorize submittal by the City of the League of California Cities’ Voting Delegate/Alternate Form.

IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:

The cost for a Member City delegate to attend the League of California Cities Annual Conference is included in the FY 2025-26 City Council Training budget. No additional costs are associated with the appointment of a voting delegate for the Annual Conference.

BACKGROUND:

This year’s League of California Cities (League) Annual Conference is scheduled to take place October 8-10, 2025. One important activity of the Conference is the annual General Assembly meeting, to be held on Friday, October 10th, when the membership acts on Conference Resolutions. Annual Conference Resolutions guide the League and its members in their efforts to improve the quality, responsiveness, and vitality of local government in California. League bylaws state, “Each Member City may, with the approval of the city council, designate a city official as the city’s designated voting delegate…”
ANALYSIS OF ISSUES:

Designated voting delegates registered to attend the Annual Conference constitute the League’s General Assembly. As of the production of this report, Mayor Ray Russom and Council Members Guthrie, Maraviglia, and Loe are the City of Arroyo Grande representatives registered to attend the Conference.

The deadline to submit policy resolutions to the Annual Conference is August 9, 2025.

The resolution must have the concurrence of at least five additional member cities or

Item 9.e.

City Council
Appointment of a Voting Delegate and Alternate for the League of California Cities Annual Conference
August 12, 2025

individual members. To date, no policy resolutions have been submitted for consideration.

Petitioned resolutions may still be introduced during the conference, and if qualified, considered by the General Assembly.

Staff are recommending appointment of Mayor Ray Russom as the voting delegate and Council Member Guthrie as alternate, based on seniority.

ALTERNATIVES:

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

1. Appoint Mayor Ray Russom as the voting delegate and Council Member Guthrie as the alternate for the League of California Cities Annual Conference; or

2. Provide other direction to staff.

ADVANTAGES:

Participation in the General Assembly enables the City to have an impact on issues that are important to city government and that guide the League’s activities, assists the League in its efforts by ensuring its direction is representative of all member cities, and helps the City to obtain support for Resolutions that may be proposed by the City or may be important to the City in the future.

DISADVANTAGES:

No disadvantages have been identified.

ENVIRONMENTAL REVIEW:

No environmental review is required for this item.

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. League of California Cities Memorandum Regarding Voting Delegates and Alternates

1400 K Street, Suite 400, Sacramento, CA 95814 • 916.658.8200 • calcities.org DATE: Wednesday, July 16, 2025
TO: Mayors, Council Members, City Clerks, and City Managers RE: DESIGNATION OF VOTING DELEGATES AND ALTERNATES
League of California Cities Annual Conference and Expo, Oct. 8-10, 2025 Long Beach Convention Center
Every year, the League of California Cities convenes a member-driven General Assembly at the Cal Cities Annual Conference and Expo. The General Assembly is an important opportunity where city officials can directly participate in the development of Cal Cities policy.

Taking place on Oct. 10, the General Assembly is comprised of voting delegates appointed by each member city; every city has one voting delegate. Your appointed voting delegate plays an important role during the General Assembly by representing your city and voting on resolutions.

To cast a vote during the General Assembly, your city must designate a voting delegate and up to two alternate voting delegates, one of whom may vote if the designated voting delegate is unable to serve in that capacity. Voting delegates may either be an elected or appointed official.

Action by Council Required. Consistent with Cal Cities bylaws, a city’s voting delegate and up to two alternates must be designated by the city council. Please note that designating the voting delegate and alternates must be done by city council action and cannot be accomplished by individual action of the mayor or city manager alone.

Following council action, please submit your city’s delegates through the online submission portal by Wed., Sept. 24. When completing the Voting Delegate submission form, you will be asked to attest that council action was taken. You will need to be signed in to your My Cal Cities account when submitting the form.

Submitting your voting delegate form by the deadline will allow us time to establish voting delegate/alternate records prior to the conference and provide pre-conference communications with voting delegates.

Conference Registration Required. The voting delegate and alternates must be registered to attend the conference. They need not register for the entire conference; they may register for Friday only. Conference registration is open on the Cal Cities website.

Council Action Advised by September 24, 2025
ATTACHMENT 1

For a city to cast a vote, one voter must be present at the General Assembly and in possession of the voting delegate card and voting tool. Voting delegates and alternates need to pick up their conference badges before signing in and picking up the voting delegate card at the voting delegate desk. This will enable them to receive the special sticker on their name badges that will admit the voting delegate into the voting area during the General Assembly.

Please view Cal Cities’ event and meeting policy in advance of the conference.

Transferring Voting Card to Non-Designated Individuals Not Allowed. The voting delegate card may be transferred freely between the voting delegate and alternates, but only between the voting delegate and alternates. If the voting delegate and alternates find themselves unable to attend the General Assembly, they may not transfer the voting card to another city official.

Seating Protocol during General Assembly. At the General Assembly, individuals with a voting card will sit in a designated area. Admission to the voting area will be limited to the individual in possession of the voting card and with a special sticker on their name badge identifying them as a voting delegate.

The voting delegate desk, located in the conference registration area of the Long Beach Convention Center in Long Beach, will be open at the following times: Wednesday, Oct. 16, 8:00 a.m.-6:00 p.m. and Thursday, Oct. 17, 7:30 a.m.-4:00 p.m. On Friday, Oct. 18, the voting delegate desk will be open at the General Assembly, starting at 7:30 a.m., but will be closed during roll calls and voting.

The voting procedures that will be used at the conference are attached to this memo.

Please share these procedures and this memo with your council and especially with the individuals that your council designates as your city’s voting delegate and alternates.

Once again, thank you for submitting your voting delegate and alternates by Wednesday, Sept. 24. If you have questions, please contact Zach Seals at [email protected].

Attachments:
• General Assembly Voting Guidelines
• Information Sheet: Cal Cities Resolutions and the General Assembly

1400 K Street, Suite 400, Sacramento, CA 95814 • 916.658.8200 • calcities.org General Assembly Voting Guidelines

1. One City One Vote. Each member city has a right to cast one vote on matters pertaining to Cal Cities policy.

2. Designating a City Voting Representative. Prior to the Cal Cities Annual Conference and Expo, each city council may designate a voting delegate and up to two alternates; these individuals are identified on the voting delegate form provided to the Cal Cities Credentials Committee.

3. Registering with the Credentials Committee. The voting delegate, or alternates, may pick up the city's voting card at the voting delegate desk in the conference registration area. Voting delegates and alternates must sign in at the voting delegate desk. Here they will receive a special sticker on their name badge and thus be admitted to the voting area at the General Assembly.

4. Signing Initiated Resolution Petitions. Only those individuals who are voting delegates (or alternates), and who have picked up their city’s voting card by providing a signature to the credentials committee at the voting delegate desk, may sign petitions to initiate a resolution.

5. Voting. To cast the city's vote, a city official must have in their possession the city's voting card and voting tool; and be registered with the credentials committee. The voting card may be transferred freely between the voting delegate and alternates but may not be transferred to another city official who is neither a voting delegate nor alternate.

6. Voting Area at General Assembly. At the General Assembly, individuals with a voting card will sit in a designated area. Admission to the voting area will be limited to the individual in possession of the voting card and with a special sticker on their name badge identifying them as a voting delegate.

7. Resolving Disputes. In case of dispute, the credentials committee will determine the validity of signatures on petitioned resolutions and the right of a city official to vote at the General Assembly.

Sixty days before the
Annual Conference
and Expo, Cal Cities
members may submit
policy proposals on
issues of importance
to cities. The resolution must
have the concurrence of at least
five additional member cities or
individual members.

How it works: Cal Cities
Resolutions and the General Assembly
General Assembly
General Resolutions Policy Committees
Developing League of California Cities policy is a dynamic process that engages a wide range of members to ensure Cal Cities represents cities with one voice. These policies directly guide Cal Cities’ advocacy to promote local decision-making, and lobby against statewide policies that erode local control.

The resolutions process and General Assembly is one way that city officials can directly participate in the development of Cal Cities policy. If a resolution is approved at the General Assembly, it becomes official Cal Cities policy. Here’s how resolutions and the General Assembly work.

The petitioned
resolution is an
alternate method
to introduce policy
proposals during
the annual conference. The
petition must be signed by
voting delegates from 10% of
member cities, and submitted to
the Cal Cities President at least
24 hours before the beginning
of the General Assembly.

Petitioned Resolutions
The Cal Cities
President assigns
general resolutions
to policy committees
where members
review, debate, and recommend
positions for each policy proposal.

Recommendations are forwarded
to the Resolutions Committee.

Who’s who
The Resolutions Committee
includes representatives
from each Cal Cities
diversity caucus, regional
division, municipal
department, and policy
committee, as well as
individuals appointed by
the Cal Cities president.

Voting delegates
are appointed by each
member city; every city
has one voting delegate.

The General Assembly is a
meeting of the collective
body of all voting
delegates —one from
every member city.

Seven policy committees
meet throughout the year
to review and recommend
positions to take on bills
and regulatory proposals.

Policy committees include
members from each Cal
Cities diversity caucus,
regional division, and
municipal department,
as well as individuals
appointed by the Cal
Cities president.

During the General Assembly, voting delegates
debate and consider general and petitioned
resolutions forwarded by the Resolutions
Committee. Potential Cal Cities bylaws
amendments are also considered at this meeting.

Cal Cities policy
development is a memberinformed process,
grounded in the voices and
experiences of city officials
throughout the state.

For more information visit www.calcities.org/general-assembly Prior to the Annual Conference and Expo
Resolutions Committee
The Resolutions
Committee considers
all resolutions. General
Resolutions approved1 by
either a policy committee
or the Resolutions Committee are next
considered by the General Assembly.

General resolutions not approved, or
referred for further study by both a
policy committee and the Resolutions
Committee do not go to the General
Assembly. All Petitioned Resolutions
are considered by the General
Assembly, unless disqualified.2
During the Annual Conference and Expo
1 The Resolution Committee can amend a general resolution prior to sending it to the General Assembly. 2 Petitioned Resolutions may be disqualified by the Resolutions Committee according to Cal Cities Bylaws Article VI. Sec. 5(f). Page 273 of 548 Item 9.f.

MEMORANDUM
TO: City Council
FROM: Matthew Downing, City Manager
SUBJECT: Confirmation of Appointment of David Culver as Chief of Police DATE: August 12, 2025
RECOMMENDATION:

Confirm the appointment of David Culver as the Chief of Police, effective August 15, 2025.

IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:

The position is currently budgeted in the FY 2025-27 Biennial Budget.

BACKGROUND:

The Chief of Police position became vacant on May 30, 2025, with the retirement of Chief Michael Martinez. The City completed a robust, nationwide executive recruitment process for the position, and David Culver was selected to serve as the next Chief of Police.

David Culver has served in law enforcement for 17 years, joining the Arroyo Grande Police Department from the Santa Maria Police Department in 2019 as a full-time Police Officer. Since then, he has risen in the ranks and has served as a Field Training Officer, Patrol Sergeant/Watch Commander, SLO Regional SWAT Assistant Tactical Commander, Support Division Commander, and Patrol Division Commander. As a Commander for three years, he has been responsible for patrol, detectives, property/evidence, training, administrative services, and a wide variety of other tasks.

David Culver has also served as a member of the Santa Maria SWAT Team, a Special Victims Detective, Community Service Officer, and Firearms Instructor. Additionally, he has been serving as an Academy Instructor for the Allan Hancock College Law Enforcement Program since 2019. David Culver also holds a Bachelor of Science Degree in Criminal Justice from California Coast University.

David Culver embodies the qualities that the Arroyo Grande community has come to expect from the men and women of the Arroyo Grande Police Department: integrity, humility, commitment, trustworthiness, and compassion.

Item 9.f.

City Council
Confirmation of Appointment of David Culver as Chief of Police August 12, 2025

ANALYSIS OF ISSUES:

Per Arroyo Grande Municipal Code Section 2.34.010, the Chief of Police shall be appointed by the City Manager with the concurrence and confirmation of the City Council.

The City Manager has absolute confidence in David Culver to serve as the City’s Chief of Police and, therefore, submits his appointment to the City Council for confirmation.

ALTERNATIVES:

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

1. Confirm David Culver as the Chief of Police;

2. Do not confirm David Culver as the Chief of Police and direct the City Manager to undertake additional recruiting; or

3. Provide other direction to the City Manager.

ADVANTAGES:

Confirmation of the appointment of the Chief of Police will ensure the continuity of strong leadership for the Police Department.

DISADVANTAGES:

No disadvantages were identified.

ENVIRONMENTAL REVIEW:

No environmental review is required for this item.

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.

Item 9.g.

MEMORANDUM
TO: City Council
FROM: David Culver, Interim Chief of Police
BY: Elizabeth Vega, Executive Assistant
SUBJECT: Subscription Agreement with Safe Fleet’s COBAN NEXUS Cloud Platform Data Storage System
DATE: August 12, 2025
RECOMMENDATION:
1) Adopt a Resolution approving and authorizing the City Manager to execute the fiveyear Safe Fleet Nexus Customer Subscription Agreement in an amount not-to-exceed $178,502, subject to any minor, technical, or non-substantive changes as approved by the City Manager in consultation with the City Attorney; and 2) Find that adopting the Resolution is not a project subject to the California Environmental Quality Act (“CEQA”) because approval of a software subscription agreement does not in itself have potential to result in either a direct, or reasonably foreseeable indirect, physical change to the environment. (State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3), 15378.)
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:

This action will cost a total of $176,502 over the next five years. The annual cost is comprised of a first-year payment of $39,198 and $32,326 per year for the following four years. Minimal future staff time is projected. Pricing is based on a state contract award from the Houston-Galveston Area Council (HGAC) to ensure the lowest contractual cost.

BACKGROUND:

In September 2019, the City entered into an exclusive vendor body camera agreement with COBAN for the purchase of 30 body-worn cameras, redaction software, pairing, and an eight-bay docking system, nine police vehicle pairing systems to sync the in-car and body-worn cameras, video redaction software, and a three-year technology service on the hardware and software.

All digital media from body-worn and in-car cameras for the Police Department are stored on premises. The Department's current system has exceeded its storage capabilities, preventing the uploading and retention of new audio and video files. The lack of digital

Item 9.g.

City Council
Subscription Agreement with Safe Fleet’s COBAN NEXUS Cloud Platform Data Storage System
August 12, 2025

storage space necessitates the City’s Information Technology Division to spend staff time manually moving data to allow room for new data to be saved.

The proposed cloud-based storage system will alleviate the Department’s lack of storage space for storing digital data. The Nexus system provides new software improvements that reduce staff time in the redacting of videos for the release of evidentiary footage.

Current officer-worn body cameras are also out of service warranty. The NEXUS system provides the department with the latest generation of body cameras, replaces them every two years, and renews the warranty under the lease agreement.

Lastly, the vendor no longer supports our current data transfers, retention, or storage.

Safe Fleet is moving all customers over to their NEXUS cloud-based solution. Due to the large amount of data being collected and stored, cloud-based solutions are becoming the industry standard. Additionally, due to the record retention policy, the Department would have to maintain the current system regardless of a new vendor solution, this would increase cost and staff time needed to manage the data.

ANALYSIS OF ISSUES:

Body-worn cameras are issued to every officer and must be worn by patrol officers per AGPD Policy 470. Body-worn cameras are specifically issued to each officer, and their individual identifiers are tagged within their recordings. Officers are required to review and input information into the body-worn program.

Due to unserviceable body-worn cameras, the Department currently does not have a camera for every officer. Patrol officers may soon experience further shortages and may need to share body-worn cameras.

The new agreement will entail updating existing body cameras to the latest version, moving to cloud-based storage and retrieval, enhanced redaction software, cloud-based evidence transfer, software maintenance and technical support, hardware warranty (including existing in-car systems), replacement camera every 24 months, and a 5-year retention storage system. The enhanced and updated system will provide a fully integrated, ready-to-use, operational ecosystem.

This contract is exempt from the solicitation requirements of the AGMC on two grounds.

Safe Fleet offers a customer subscription, which they are offering to the Department below the contract rate that was approved by the Houston-Galveston Area Council (HGAC) in a competitive bidding process. This authorizes an exception from the standard public bidding requirements in the AGMC as a “piggyback” purchase pursuant to Section

3.08.070(C)(3) of the AGMC. Additionally, the services provided by Safe Fleet under this agreement meet the requirements for a sole source purchase under AGMC Section

3.08.070(C)(1) because the Police Department's evidentiary media infrastructure is built

Item 9.g.

City Council
Subscription Agreement with Safe Fleet’s COBAN NEXUS Cloud Platform Data Storage System
August 12, 2025

around their unique proprietary system (body worn cameras, patrol vehicle in-car cameras) (Attachment 2). Therefore, the City Council may approve the contract with Safe Fleet given that all legal prerequisites required by Chapter 3.08 of the AGMC have been met.

ALTERNATIVES:

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

1. Adopt the Resolution authorizing the City Manager to execute a five-year exclusive vendor Safe Fleet Nexus Customer Subscription Agreement, subject to any minor, technical, or non-substantive changes as approved by the City Manager in consultation with the City Attorney;

2. Do not approve staff’s recommendation; or

3. Provide other direction to staff.

ADVANTAGES:

Approving the recommended action will provide software and hardware in a secure environment that supports the department operationally and administratively, by updating the retention and storage of evidentiary media, as well as updating the department’s current unserviceable body-worn cameras.

DISADVANTAGES:

There are no known disadvantages.

ENVIRONMENTAL REVIEW:

Approving the subscription agreement is not a project subject to the California Environmental Quality Act (“CEQA”) because the software subscription agreement does not in itself have the potential to result in either a direct, or reasonably foreseeable indirect, physical change to the environment. (State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3), 15378.)
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. Resolution and Exhibit A - Proposed Safe Fleet Subscription Agreement

2. Safe Fleet Sole Source Letter

ATTACHMENT 1
RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE APPROVING AND AUTHORIZING THE CITY MANAGER TO EXECUTE THE FIVEYEAR SAFE FLEET NEXUS CUSTOMER SUBSCRIPTION AGREEMENT WHEREAS, the City Council previously approved the exclusive vendor body worn camera program in September of 2019, which is set to change to the single source cloud storage system called COBAN NEXUS Cloud Platform; and
WHEREAS, an on-premises storage system has been used since the original agreement in 2019, which is reaching maximum storage capacity; and WHEREAS, Safe Fleet, also known as COBAN Technologies Incorporated, will no longer provide technical support or service to the on-premises storage; and WHEREAS, any work performed by non-authorized personnel will void all warranties and claims; Safe Fleet maintains all copyright privileges for these products; and WHEREAS, the agreement includes updating and replacing all body cameras, which extends the hardware warranty coverage and matches all updated terms; and WHEREAS, the NEXUS cloud-based storage system solution meets the current and future needs of digital evidence storage as part of the body-worn camera system; and WHEREAS, Section 3.08.070(C)(3) of the Arroyo Grande Municipal Code (AGMC) provides that the City can enter into a contract for the purchase of goods and services without engaging in its solicitation procedures described in Chapter 3.08 of the AGMC if the vendor or service-provider was awarded a contract by another public agency that uses solicitation procedures similar to Arroyo Grande’s procedures, the other public agency’s contract is executed, and the vendor or service-provider offers Arroyo Grande the same price for the goods or services as the contract with the other public agency; and WHEREAS, Safe Fleet honors the pricing established under a contract it entered into with the Houston-Galveston Area Council (HGAC), a public entity with similar solicitation procedures as the City, to ensure the lowest contractual cost, in compliance with Section

3.08.070(C)(3) of the AGMC; and
WHEREAS, solicitation procedures described in Chapter 3.08 of the AGMC do not apply to purchases where no price advantage would be gained from a competitive solicitation process, including but not limited to, circumstances when goods or services are unique and are only available from one source, pursuant to Section 3.08.070(C)(1) of the AGMC.

The City Manager or designee has approved the justification to move forward with a recommendation for contract award based on the fact that the software offered by Safe

RESOLUTION NO.

PAGE 2
Fleet is compatible with existing equipment used by the Arroyo Grande Police Department (the “Department”), and no other provider offers software that would not require the Department to purchase new equipment. This agreement with Safe Fleet prevents the need to install and replace equipment currently in use and under warranty. Replacement of this equipment would be required if provided by an alternative vendor at a substantial cost to the Department. Additionally, due to the record retention policy, the Department would have to maintain the current system regardless of a new vendor solution. Such written justification is on file with the Arroyo Grande Police Department and the City Clerk’s Office, and
WHEREAS, the cost for the next two years was allocated in the FY-2025-27 budget.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Arroyo Grande that:

1. The recitals set for herein are true, correct, and incorporated herein by this reference.

2. Adopting the Resolution is not a project subject to the California Environmental Quality Act (“CEQA”) because approval of a software subscription agreement does not in itself have potential to result in either a direct, or reasonably foreseeable indirect, physical change to the environment. (State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3), 15378.)

3. The City Manager is authorized to execute the Exclusive Vendor Safe Fleet NEXUS Customer Subscription Agreement, as set forth in Exhibit A, in substantially final form, subject to any minor, technical, or non-substantive changes as approved by the City Manager in consultation with the City Attorney.

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 th day of , 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”
Subscription Agreement

COBAN Technologies, Inc.
9411 S. Sam Houston Parkway W. #300
Missouri City, Texas 77489
United States
Quote: Q-70622
Contract: Not Applicable
Date: 1/10/2025, 5:41 PM
Expires On: 8/31/2025
Phone: (281) 925-0488
Fax: (281) 925-0535
Email: [email protected]
Ship To
David Culver
Arroyo Grande Police Department (Arroyo Grande, CA)
200 N Halcyon Rd
Arroyo Grande California 93420
United States
805-473-5112
[email protected]
Bill To
Arroyo Grande Police Department (Arroyo Grande, CA)
City of Arroyo Grande - AP
300 E. Branch Street
Arroyo Grande California 93420
United States
End User
Arroyo Grande Police Department (Arroyo Grande, CA)
City of Arroyo Grande - AP
300 E. Branch Street Arroyo Grande California

SALESPERSON EXT EMAIL DELIVERY METHOD PAYMENT METHOD
Scott Taylor x [email protected] Net 30
Existing In-Car Systems (Year 1)
(Minimum 5 year subscription required)
Includes:
- Software Right To Use license
- Software Maintenance and Technical Support
- Cloud Storage Service requires an analysis of the Agency usage, retention and FOIA policies during contract negotiations.5 YEAR RETENTION
LINE NO. PART # DESCRIPTION UNIT PRICE QTY EXTENDED
QL-0540672 CL-ICV-08 NEXUS CLOUD SUBSCRIPTION - ICV DATA ONLY - 5

YEAR RETENTION
USD 684.00 9 USD 6,156.00
Existing In-Car Systems (Year 1) TOTAL: USD 6,156.00
FOCUS X2 Body Camera Cloud Bundle
(Year 1)
(Minimum 5-year subscription required)
Includes:
- FOCUS Body Worn Camera
- Software Right To Use License
- Software Maintenance and Technical Support
- Hardware Warranty and Technical Support
- Replacement camera every 24 months
- 5% Spare Cameras (minimum purchase of 20 BWC)
Cloud Storage Service requires an analysis of the Agency usage, retention, and FOIA policies during contract negotiations.
5 YEAR RETENTION
LINE NO. PART # DESCRIPTION UNIT PRICE QTY EXTENDED
QL-0540673 CL-BWC-PKG8 NEXUS CLOUD & BWC SUBSCRIPTION BUNDLE PKG - 5

YEAR RETENTION
USD 900.00 30 USD 27,000.00
QL-0540676 FOCUS-11-CL1 FOCUS X2 BODY WORN CAMERA PACKAGE w/ 5YR TSP Includes:
- FOCUS X2 Body Worn Camera
- Single Office Dock & Power Supply
- USB Cable
- Magnetic Uniform Mount
USD 0.00 30 USD 0.00

Exhibit A

LINE NO. PART # DESCRIPTION UNIT PRICE QTY EXTENDED
QL-0540677 FOCUS-11-00 FOCUS X2 BODY WORN CAMERA PACKAGE Includes:
- FOCUS X2 Body Worn Camera
- Single Office Dock & Power Supply
- USB Cable
- Magnetic Uniform Mount
Included 30 USD 0.00
QL-0540678 WARR-X1-TSP5 BODY WORN CAMERA 5-YEAR TECHNOLOGY SERVICE PLAN
Includes:
• 5-year Software Right To Use license, Maintenance, and Technical Support
• 5-year Hardware Warranty and Technical Support
• Replacement camera at the end of 24 and 48 months
• 5% Spare Cameras (minimum purchase of 20 BWC)
Included 30 USD 0.00
QL-0540674 FOCUS-13-00 FOCUS BWC 6-BAY DOCKING STATION USD 1,425.00 1 USD 1,425.00 QL-0540681 WARR-X1-
8BAYTSP5
BWC MULTI-DOCKING STATION 5-YEAR TECHNOLOGY

SERVICE PLAN
5-year hardware service plan with technology upgrade
protection
USD 940.00 1 USD 940.00
QL-0540675 LFEE-054 SHIPPING - Body Worn Camera USD 15.00 30 USD 450.00 FOCUS X2 Body Camera Cloud Bundle (Year 1) TOTAL: USD 29,815.00 Redaction (Year 1)
LINE NO. PART # DESCRIPTION UNIT PRICE QTY EXTENDED
QL-0540651 CL-REDCC05A01YSF REDACT SUBSCRIPTION PER DEVICE PER YEAR for YEAR 1
(Minimum 5 year subscription required)
Includes:
- Software Right To Use license,
- Software Maintenance and Technical Support
USD 30.00 39 USD 1,170.00
Redaction (Year 1) TOTAL: USD 1,170.00
Professional Services (YEAR 1)
LINE NO. PART # DESCRIPTION UNIT PRICE QTY EXTENDED
QL-0540652 LSET-17 BACKOFFICE SETUP PACKAGE A
Includes:
• 2 Days remote and on-site project deployment
• Back office configuration and setup
• Admin and User Training
Project Deployment, Single Platform On-site / Remote Project Implementation
USD 3,295.00 1 USD 3,295.00
Professional Services (YEAR 1) TOTAL: USD 3,295.00
Courier File Sharing / Data Migration (Year
1)
• Courier File Sharing Application included with NEXUS Subscription • Safe Fleet to Include up to 10TB of Data Migration (Command to NEXUS) LINE NO. PART # DESCRIPTION UNIT PRICE QTY EXTENDED
QL-0540648 CCL1001Y CLOUD COURIER ANNUAL - WAIVED
Evidence sharing via Safe Fleet Azure Cloud Services
100GB / unlimited downloads and exports.

USD 2,340.00 1 USD 0.00
QL-0540649 CL-01-08 3RD PARTY DATA CLOUD-TO-FIT ANNUAL
• Per TB, Per Year
• Safe Fleet to Include up to 10TB Data Migration
• Agency must have detailed retention policy in place
USD 750.00 10 USD 0.00
QL-0540650 LSRV-09 SERVICE- DATA MIGRATION USD 175.00 8 USD 0.00 Courier File Sharing / Data Migration (Year 1) TOTAL: USD 0.00

Pro-Rated Credit (Year 1)
Previous Purchase:
• (9) H2 3yr Software License under Initial SO048979 / Inv# 50618 / PO# 4201-00190 LINE NO. PART # DESCRIPTION UNIT PRICE QTY EXTENDED
QL-0540653 LDISC-02 DISCOUNT- SOFTWARE (FOCUS H2)
• Coverage Dates: 1/26/2023 to 1/25/2026. (12 Month
Credit - 1/2026 to 3/2025)
• Purchase: ($4,455 / 36months = $123.75 month).
10months x $ = $1238.00
USD 1,238.00 -1 USD -1,238.00
Pro-Rated Credit (Year 1) TOTAL: USD -1,238.00
Recurring Annual Subscription (Year 2) • Items listed below are for reference, and not included in the Quote total • Annual Renewal for Years (2) to (5)
LINE NO. PART # DESCRIPTION UNIT PRICE QTY EXTENDED
QL-0540679 CL-BWC-PKG8-
RY2
NEXUS CLOUD & BWC SUBSCRIPTION BUNDLE PKG - 5
YEAR RETENTION - YEAR 2
USD 900.00 30 USD 27,000.00
QL-0540680 CL-ICV-08-RY2 NEXUS CLOUD SUBSCRIPTION - ICV DATA ONLY - 5 YEAR RETENTION - YEAR 2
USD 684.00 9 USD 6,156.00
QL-0540654 CL-REDCC05A02YSF REDACT SUBSCRIPTION PER DEVICE PER YEAR for YEAR 2
USD 30.00 39 USD 1,170.00
QL-0540655 CCR1001YR CLOUD COURIER ANNUAL RENEWAL - 100GB BASE

LICENSE
• Year 2 - WAIVED
USD 0.00 1 USD 0.00
Recurring Annual Subscription (Year 2) TOTAL: USD 34,326.00 Annual Payment Schedule • 3-Year Retention, 10% Retained LINE NO. PART # DESCRIPTION UNIT PRICE QTY EXTENDED
QL-0540656 WMAIN-00 NEXUS Subscription - Year 1
• Pro-Rated Credit Included
USD 39,198.00 1 USD 39,198.00
QL-0540657 WMAIN-00 NEXUS Subscription - Year 2 USD 34,326.00 1 USD 34,326.00 QL-0540658 WMAIN-00 NEXUS Subscription - Year 3 USD 34,326.00 1 USD 34,326.00 QL-0540659 WMAIN-00 NEXUS Subscription - Year 4 USD 34,326.00 1 USD 34,326.00 QL-0540660 WMAIN-00 NEXUS Subscription - Year 5 USD 34,326.00 1 USD 34,326.00 Annual Payment Schedule TOTAL: USD 176,502.00
TOTAL: USD 39,198.00
Terms & Conditions
Applicable sales taxes are not reflected on this proposal, and will be included on the invoice. In the event Sales Tax is requested to be listed on the proposal, it will be the responsibility of the Agency to provide the current Tax rate and amount. Any purchases that are exempt from Sales Tax must be accompanied by a tax exemption and/ or re-seller certificate.

This quote is presented to the customer under the condition that it remains a valid quote for only 60 days after the stated Quote Date, after which the quote becomes null and void.

Please email or fax a signed copy of this quotation and other referenced documents to SFLE[email protected] or (281) 925-0535 Safe Fleet Law Enforcement order requests above $2,500.00 require an Agency issued Purchase Order prior to processing.

COBAN Technologies, Inc.
9411 S Sam Houston Pkwy W. #300 Missouri City, Texas 77489 Applicable Terms. By signing this quote (the “Quote”) (or, if this Quote is attached to, referenced in, or otherwise accompanies any other agreement, statement of work, purchase order, or other similar document, by or between the parties and/or their applicable affiliates (any of the foregoing, collectively, the “Accompanying Agreement”), then by signing such Accompanying Agreement), or by issuing a purchase order for, or accepting, any of the goods, services, or other items set forth in this Quote, the Customer agrees to all terms and conditions set forth herein, including without limitation any Additional Terms and Conditions set forth below (if applicable) (“Additional Terms”), and to the Safe Fleet Video & Telematics Products and Services Standard Customer Terms & Conditions, currently available at safefleet.net/v-and-t-general-terms (as may be updated or amended by Safe Fleet from time to time in its discretion, the “Ts&Cs”), together with any and all other terms and conditions incorporated by reference into any of the foregoing; all of which are incorporated herein and will govern all products, services, and other matters set forth herein. Capitalized terms used but not defined herein shall have the meaning ascribed to them in the Ts&Cs.

Conflicts. Customer and Safe Fleet expressly agree that, notwithstanding anything to the contrary in the Accompanying Agreement, including any provision thereof relating to order of precedence, conflicts, or “battle of the forms,” in the event of any conflict, ambiguity, or inconsistency (any of the foregoing, a “Conflict”) between any term, provision, requirement, request, specification, or other provision (any of the foregoing, a “Provision”) of the Accompanying Agreement and any Provision of this Quote (including, for clarity, the Ts&Cs and/or any Additional Terms), this Quote shall prevail and control; Customer and Safe Fleet intend this Quote to be, and this Quote shall be deemed to be, an amendment to any Conflicting Provision of the Accompanying Agreement. In the event of any Conflict between any Provision of any Additional Terms and any Provision of the Ts&Cs, the Additional Terms shall control.

Sole Warranties. The warranties applicable to the products, services, and other matters set forth herein are available at https:// www.safefleet.net/product-and-service-warranties (the “Warranty Documentation”).

Notwithstanding any other provision in this Agreement, the Warranty Documentation sets forth the sole warranties with respect to the products, services, and other matters set forth herein, and Safe Fleet hereby expressly disclaims all other representations and warranties, express or implied.

Invoicing and Purchase Orders. This Agreement authorizes Safe Fleet, regardless of whether or not Customer has issued an applicable Purchase Order, to invoice Customer annually in advance for Software Services.

Customer agrees to pay all invoices within 30 days of receipt. Customer may issue Purchase Orders hereunder for its own record-keeping purposes, but (a) no Customer Purchase Order will be deemed to modify, alter, supersede, supplement, or amend this Agreement in any respect unless mutually agreed by the Parties in a written amendment executed by both Parties, and (b) for clarity, Customer’s issuance of any such Purchase Order, or failure to issue same, shall not affect in any manner Safe Fleet’s ability to invoice Customer (or Safe Fleet’s right to payment of such invoice) as provided herein.

Agency Responsibilities. Without limiting any provision of the Ts&Cs, Customer is solely responsible for the following: (a) Customer will ensure that Customer owns or has licensed all rights necessary to permit Safe Fleet to use all Customer-Provided Data as contemplated by this Agreement; (b) Customer will ensure that Customer’s, and all Customer End Users’, configuration and use of the Safe Fleet V&T Offerings, including

the Software Services, and all Customer Data (and all use thereof by Customer and/or Customer End Users), complies with all applicable Laws and all rules, regulations, and standards applicable to Customer, and does not infringe, misappropriate, or violate any right, including any intellectual property, proprietary, privacy, contractual, statutory, constitutional, or any other right, of any third party; (c) Customer will maintain all necessary computer equipment and Internet connections for use of the Software Services; (d) If Customer becomes aware of any violation of this Agreement by any Customer End User, Customer will immediately terminate that Customer End User’s access to the Software Services and shall promptly notify Safe Fleet of same; (e) Customer will maintain the security of all user credentials, including all Customer End User user names and passwords, and security and access to the Software Services via Customer systems or facilities and/or to all Customer Data. Customer shall promptly notify Safe Fleet if Customer learns or believes that an unauthorized party may be using Customer’s account or Customer Data, or that account information may have been lost or stolen.

Customer Data After Termination – Applicable to Software Services Only. Safe Fleet will not delete Customer Data before the 90th day following expiration or earlier termination of the License Term. Safe Fleet will have no obligation to provide any Software Service functionality to Customer during this 90-day period other than the ability to retrieve Customer Data. Customer will not incur additional fees if Customer downloads Customer Data from the Software Services during this time. Safe Fleet has no obligation to maintain or provide Customer Data after this 90-day period and, except to the extent (and in such case only for so long as) prohibited by applicable law, Safe Fleet may thereafter delete any or all Customer Data. Upon written request, Safe Fleet will provide written notice that safe Fleet has successfully deleted and removed Customer Data from the Software Services.

Post-Termination Assistance – Applicable to Software Services Only. Safe Fleet will provide Customer with the same post-termination data retrieval assistance that Safe Fleet generally makes available to all customers.

Requests for Safe Fleet to provide additional assistance in downloading or transferring Customer data, including requests for Safe Fleet’s data egress service, will result in additional fees, and Safe Fleet does not make any, and hereby disclaims all, express and/or implied representations, warranties, and/or guaranties as to the integrity or readability of Customer Data in any non-Safe Fleet systems.

Customer Sharing of Customer Data – Applicable to Software Services Only. Without limiting any provision of the Ts&Cs: (a) Customer is solely responsible for granting permissions to Customer Data that may be shared via the Software Services, and Safe Fleet will have no responsibility or liability for sharing with, or disclosure to, third parties of Customer Data due to any error, typo, oversight, or other act or omission of Customer (including, for example, any error by Customer in entering a recipient’s email address); and (b) Customer is solely responsible for complying with all applicable Laws, standards, policies, and guidelines in connection with its use sharing of Customer Data with, or granting of access to Customer Data to, third parties via the Software Services, and Safe Fleet will have no responsibility or liability for any violation or breach of any of the foregoing due to any act or omission of Customer (including, for example, any violation of privacy laws or standards caused by Customer’s sharing of Customer Data with an inappropriate third party or Customer’s inappropriate sharing of protected Customer Data).

The warranties applicable to the products, services, and other matters set forth herein are available at https:// www.safefleet.net/ product-and-service-warranties (the “Warranty Documentation”). Notwithstanding any other provision in this Agreement, the Warranty Documentation sets forth the sole warranties with respect to the products, services, and other matters set forth herein, and Safe Fleet hereby expressly disclaims all other representations and warranties, express or implied.

Safe Fleet Nexus Customer Subscription Agreement Additional Terms and Conditions

1. Term. This subscription is a five-year commitment by Customer, as follows: The Initial Term of this Agreement shall begin on the Effective Date (as defined below) and, unless renewed or earlier terminated as provided in this Agreement, shall expire on the fifth anniversary of the Service Start Date (as defined below). “Effective Date” shall mean the earliest to occur of the following: (a) the date on which this Quote becomes fully executed by both Parties, (b) the effective date of the Accompanying Agreement (if any), (c) Safe Fleet’s acceptance of a Customer Purchase Order for any of the Software Services set forth in this Quote, or (d) the Service Start Date (as defined below). “Service Start Date” means the date Safe Fleet first makes available to Customer any of the Software Services set forth in this Quote. The Parties may renew this Agreement for additional years upon execution of a new quote or other written renewal executed by both Parties. New devices and services may require additional quotes and be subject to additional terms. Safe Fleet will not authorize, and will have no obligation to provide, any Services prior to the Effective Date.

2. Storage. Customer may store unlimited Customer Data in Customer’s cloud instance of the Software Services, provided that such Customer Data originates from a Safe Fleet in-car video system, Automated License Plate Reader (ALPR) solution, Safe Fleet body-worn camera, Safe Fleet Interview Room, or any other Safe Fleet authorized video/audio capture device (any of the foregoing, a “Safe Fleet Device”); and further provided that:
(a) if this Quote sets forth per-GB (or other unit of storage) pricing for storage, then Safe Fleet may invoice Customer at such rate for all storage used;
(b) if this Quote sets forth flat-fee pricing for storage, then Customer acknowledges and agrees that Safe Fleet’s ability to offer, and continue to offer during the Term, such pricing is conditioned on Customer transparently providing accurate and up-to-date information about Customer’s document retention policies and abiding by such policies during the Term; and, without limiting the foregoing:
(i) Customer will provide Safe Fleet a copy of its then-current document retention policy prior to signing this Agreement (the “Initial Policy”), which copy shall be complete, accurate, and up-to-date; (ii) Customer will provide Safe Fleet a copy of any revised, updated, or otherwise modified version of its document retention policy (any of the foregoing, a “Revised Policy”) within 30 days of the effective date of such Revised Policy;
(iii) Customer will comply with each policy described in clauses 2(b)(i) and 2(b)(ii) at all times same is in effect during the Term;
(iv) If this Quote sets forth any storage cap or assumption, then Customer will not exceed same at any time during the Term;
(v) Customer will pay all Adjusted Fees (as defined below) within 30 days of receipt of invoice; (vi) Customer will, within 10 business days of Safe Fleet’s request, provide all information and records reasonably requested by Safe Fleet from time to time during the Term in order to assess Customer’s compliance with any of the foregoing in clauses 2(b)(i) through 2(b)(v) inclusive; (vii) Safe Fleet may, in its sole discretion, adjust the Fees payable in connection with this Agreement (and immediately invoice Customer for the difference between the Fees stated in this Quote and such increased Fees)--in an amount mutually agreed by the Parties, or, if the Parties do not mutually agree on such an amount within 30 days of Safe Fleet’s initial proposal to increase fees, then at the rate set forth above in this Quote (or, if no such rate is stated, at Safe Fleet’s then-current rate)--if (x) Customer breaches any of the foregoing in clauses 2(b)(i) through 2(b)(vi) inclusive, or (y) Safe Fleet in good faith determines that any Revised Policy may increase Customer data usage assumed by Safe Fleet based on the Initial Policy (any Fees adjusted as provided in this paragraph, the “Adjusted Fees”); and

(viii) Safe Fleet may suspend any or all Software Services (including, for clarity, Customer’s access thereto) if Safe Fleet in good faith determines that Customer has likely breached, or is likely to breach, any of the foregoing in clauses 2(b)(i) through 2(b)(vi) inclusive, until such time as Safe Fleet in good faith determines that Customer has remedied same, and, for clarity, Safe Fleet will have no liability for failing to provide Software Services during such time; and
(ix) Safe Fleet may terminate this Agreement, in whole or in part, upon no less than five business days’ prior written (email being sufficient) notice if Customer breaches any of the foregoing in clauses 4(b)(i) through 4(b) (vi) inclusive.
(c) Safe Fleet may, in all cases, invoice Customer at the rate set forth above in this Quote (or, if no such rate is stated, Safe Fleet’s then-current rate) for storage of any Customer Data that (i) did not originate from a Safe Fleet Device, or (ii) results from any full-shift recording policy or practice. Full-shift recording is not supported and is not included in the pricing offered herein; and
(d) Safe Fleet may place any or all Customer Data that Customer has not viewed or accessed for six months into archival storage; Customer Data in archival storage may not be immediately available to Customer and may take up to 24 hours to access.

3. Applicable Terms and Conditions. In addition to the Ts&Cs (currently available at www.safefleet.net/vand-t-general-terms) and Warranty Documentation (currently available at www.safefleet.net/product-andservice-warranties) referenced elsewhere in this Quote, this Quote is subject to and governed by, and hereby incorporates as if fully set forth herein, the following:
(a) for all orders subject to these Additional Terms and Conditions, the Safe Fleet Law Enforcement Division Service Level, Support, and Maintenance Agreement (currently available at www.safefleet.net/supportand-maintenance-terms); and (b) to the extent this Quote sets forth any preventative maintenance services, the Safe Fleet Video & Telematics Preventative Maintenance Services Additional Terms & Conditions (currently available at www.safefleet.net/pmprogram-additional-terms). In addition, the Parties may by mutual written agreement enter into one or more Statements of Work hereunder setting forth further detail regarding Services to be provided pursuant to this Agreement; all such Statements of Work (if any) shall be subject to the terms and conditions set forth in this Agreement. By signing this Quote (or, if this Quote is unsigned, the Accompanying Agreement), you represent that you are lawfully able to enter into contracts and have legal authority to bind the entity (including but not limited to company, municipality, or government agency) you represent.

IN WITNESS WHEREOF, the Parties have caused this Agreement to Purchase to be executed and delivered by their respective authorized representatives whose signatures appear below.

COBAN Technologies, Inc.                           Arroyo Grande Police Department (Arroyo Grande, CA) Signature: Signature:

Printed Name: Printed Name:

Title: Title:

Dated: Dated:

Purchase Order        ___________________________________

9411 South Sam Houston Parkway West | Suite # 300 | Missouri City, TX 77489 Toll-Free: 1.866.81.COBAN (26226) | Phone: 281.925.0488 | Fax: 281.925.0535 www.safefleet.net/lawenforcement
7/11/2025
Arroyo Grande Police Department
200 N Halcyon Road
Arroyo Grande, CA 93420
Re: Sole Source Letter for the Arroyo Grande Police Department To Whom This May Concern,
This letter is to confirm the Safe Fleet Law Enforcement solution, encompassing COBAN Technologies is a sole source product designed and manufactured exclusively by Safe Fleet. This includes the COBAN NEXUS Cloud Platform and FOCUS In-Car and Body Camera Products, all associated software, and spare parts. This solution is not available from any other source and all extended warranty services, repair, and warranty claims are managed solely by Safe Fleet.

Any work performed by non-authorized personnel will void all warranties and claims.

The COBAN NEXUS Cloud Platform is the only solution on the market that fully integrates with the existing COBAN FOCUS In-Car and Body Worn Products utilized by the Arroyo Grande Police Department to provide a turnkey, operational ecosystem.

Safe Fleet maintains all copyright privileges for these products.

Please do not hesitate to contact me if you have any questions or concerns.

Regards,
J. Mark Griffin
Vice President – Safe Fleet Law Enforcement Business Division COBAN Technologies, Inc. / SF Mobile-Vision, Inc.
281-925-0488
[email protected]
ATTACHMENT 2

Item 9.h.

MEMORANDUM
TO: City Council
FROM: David Culver, Interim Chief of Police
BY: Jeremy Burns, Police Sergeant
SUBJECT: Agreement with the California Office of Traffic Safety DATE: August 12, 2025
RECOMMENDATION:
1) Adopt a Resolution authorizing the Chief of Police to execute a grant agreement with the California Office of Traffic Safety (OTS) to accept grant funding for traffic safety programs;
2) Approve a Budget Amendment Request for FY 2025-26 in the amount of $80,000 to account for the additional revenue and expenditures related to the grant; and 3) Find that adopting the Resolution is not a project subject to the California Environmental Quality Act (“CEQA”) because adopting the Resolution does not in itself have potential to result in either a direct, or reasonably foreseeable indirect, physical change to the environment. (State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3), 15378.) IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:

There is no adverse financial impact to the City from accepting the OTS grant. The annual grant award is $80,000. The cost of this program will fall into the following categories:
equipment and educational materials ($10,116), training/travel costs ($4,310), and overtime staffing for operations ($65,574), all three categories totaling $80,000. The cost and time of equipment purchases, training, and overtime staffing for operations will be directly reimbursed through the grant. The cost of time for grant management will be absorbed into the regular duties of the Police and Administrative Services Departments.

BACKGROUND:

The Arroyo Grande Police Department (AGPD) has accepted grant funding from OTS intermittently in the past. For instance, the Police Department has hosted the county-wide AVOID the 14 Driving Under the Influence (DUI) grant program funded through OTS and participated as a member of that program every year it was available. In 2014, OTS restructured its grant programs and eliminated the large, county-wide grant programs due to the significant costs involved. OTS now offers smaller grants to the individual agencies with the goal of a more focused program with easier program management and greater

Item 9.h.

City Council
Agreement with the California Office of Traffic Safety
August 12, 2025

financial accountability. In Fiscal Years 2015-16, and each Fiscal Year (FY) from 2020- 21 through FY 2024-25, the AGPD received OTS funding and managed these grants, the Selective Traffic Enforcement Program (STEP).

In FY 2024-25, the City received funding of $75,000 in the form of a STEP grant. This STEP grant provided funding for enforcement activities including DUI checkpoints, DUI saturation patrols, distracted driving enforcement, directed traffic enforcement, and pedestrian safety enforcement. The STEP grant also provided funding for training for officers, and funding for the purchase of traffic enforcement equipment, including handheld LIDAR devices and DUI checkpoint supplies.

ANALYSIS OF ISSUES:

The City currently hosts a resident population of approximately 18,441. However, the City experiences a significant increase in daily population and traffic due to employment, business, and service providers located within the City. Additionally, the City’s service population is also impacted by the cities immediately adjacent, making up the “Five Cities” area. The larger Five Cities area population is approximately 45,000 residents, not including the tourist population. Because of the City’s location, significant increases in traffic, pedestrian, and alcohol related incidents occur within the City’s service area. In addition, the City hosts the only public high school in the Five Cities area. This causes an increase in the number of inexperienced drivers on the road, as well as bicyclists and pedestrians. Finally, the City has traditionally hosted several special events throughout the year, such as the Harvest Festival, Halloween in the Village, and Holiday events in the Village, which also increase the number of drivers, bicyclists, and pedestrians on City roadways. With the resident, student, and transient tourist populations impacting the City’s total service population, traffic crashes and traffic incidents have also increased over the last several years.

An annual review of DUI crashes reveals that DUI incidents usually increase during the end of summer vacation/Labor Day period, Memorial Day, Independence Day weekends, and the holiday period of Thanksgiving through New Year’s Day. Other timeframes with identified increased DUI crimes and crashes include Halloween, Super Bowl Sunday, and local festivals/events.

Alcohol involved traffic incidents represent a significant threat to the safety of the community. These incidents do not consider factors such as age or economic status and affect the community as a whole; thus, law enforcement efforts need to target the safety of all drivers. The City and the surrounding beach communities are desirable destinations for tourists and residents. In particular, the historic Village area consists of numerous restaurants, shops, and bars. This setting draws large numbers of visitors and patrons and increases both vehicular and pedestrian activity. The community is safer by reducing the number of DUI drivers on City streets.

Item 9.h.

City Council
Agreement with the California Office of Traffic Safety
August 12, 2025

Significant progress is made in reducing the frequency of DUI crimes and crashes when law enforcement agencies conduct awareness campaigns and enforcement efforts. At a nationwide level, there has been a significant downward trend in traffic deaths over the last 20 years. However, DUI deaths have not dropped as dramatically. With continued efforts between law enforcement, community-based organizations, and the media, the number of DUI fatalities could be decreased.

Through the proposed grant funding from OTS, the AGPD will be more successful in educating the public and curbing the problems associated with drunk driving, traffic violations, and distracted driving. This will increase the safety of pedestrians, bicyclists and motorists within the City. Accepting the OTS grant will allow the purchase of equipment and reimburse overtime staffing directly relating to training, traffic safety, enforcement of DUI laws, and public education. This will be accomplished through a variety of means including but not limited to: speed and distracted driving enforcement operations, advanced training in DUI detection for officers, DUI checkpoints and public awareness campaigns through educational presentations, and participation in OTS programs such as the AVOID Campaign (DUI), Pedestrian and Bicycle Safety Awareness months, Click-it-or-Ticket, and Distracted Driving Awareness Month.

In the past, grant funding has allowed for the purchase of specialized equipment such as a DUI Command Trailer, lighting and safety equipment, and funded overtime positions for enforcement programs and public education. The goal of the OTS funded program is to decrease traffic crashes and incidents of driving under the influence by increasing public awareness of traffic-related incidents including driving under the influence and increased enforcement of traffic and DUI laws.

ALTERNATIVES:

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

1. Adopt the Resolution authorizing the Chief of Police to execute the grant document and approve a Budget Amendment Request for FY 2025-26 in the amount of $80,000 to account for the additional revenue and expenditures related to the grant;

2. Do not adopt the Resolution; or

3. Provide other direction to staff.

ADVANTAGES:

Accepting the OTS grant will have several advantages. It will fund additional training in the areas of traffic enforcement, DUI detection, and drug-impaired driving detection. This will enhance the knowledge, skills, abilities, and overall effectiveness of officers’ ability to address these areas of concern. It will also reduce City liability by having more competent officers on daily patrol and participating in enforcement programs.

Item 9.h.

City Council
Agreement with the California Office of Traffic Safety
August 12, 2025

The OTS grant will fund equipment that is not currently in the budget. With grant funds, additional traffic enforcement and safety equipment can be purchased, such as flashlights, alcohol detection and testing supplies, and traffic safety vests.

The OTS grant will fund overtime for officers to conduct specialized enforcement operations in the identified areas of concern, such as speed and distracted driving enforcement, DUI saturation patrols, and DUI Checkpoints.

Most importantly, the OTS grant will help fund a continuous public awareness campaign for the year to educate the public on traffic safety issues and driving under the influence.

DISADVANTAGES:

No disadvantages are identified. By not accepting the grant, the Police Department will not receive additional funding to enhance its current training programs in the identified areas. This will limit the Police Department’s additional enforcement programs, training, and equipment, and enhanced public education that can be accomplished with grant funding.

ENVIRONMENTAL REVIEW:

No environmental review is required for this item. Adopting the Resolution authorizing the Chief of Police to execute the grant document and appropriate the funding for activities is not a project subject to the California Environmental Quality Act (“CEQA”) because approving the Resolution to accept grant funds does not in itself have 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.) 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. Resolution

ATTACHMENT 1
RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ARROYO GRANDE AUTHORIZING THE CHIEF OF

POLICE TO EXECUTE A GRANT AGREEMENT WITH THE

CALIFORNIA OFFICE OF TRAFFIC SAFETY TO ACCEPT

GRANT FUNDING FOR TRAFFIC SAFETY PROGRAMS
WHEREAS, the City of Arroyo Grande, through its Police Department, is eligible to receive Federal and/or State funding for traffic safety enforcement, education, training and equipment through the California Office of Traffic Safety (OTS); and WHEREAS, OTS has awarded $80,000 in grant funding to the Arroyo Grande Police Department for its Selective Traffic Enforcement Program; and WHEREAS, OTS requires execution of a grant agreement in order to obtain the funding, incorporated into this Resolution as Exhibit A; and
WHEREAS, by accepting this grant and executing the OTS grant agreement, funding will allow for the purchase of equipment and reimburse overtime staffing directly relating to training, traffic safety functions, enforcement of driving under the influence laws and public education; and
WHEREAS, by accepting this OTS grant, an appropriation of funding will be required for the activities; and
WHEREAS, the City Council of the City of Arroyo Grande wishes to delegate authorization to the Chief of Police to execute this grant agreement and any amendments thereto.

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

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

2. Approval. The OTS grant agreement, incorporated into this Resolution as Exhibit A, is approved, and the Chief of Police is authorized to accept the grant award in the amount of $80,000 and execute the OTS grant agreement and amendments thereto with the State of California, Office of Traffic Safety.

3. Budget Amendment. A Budget Amendment Request for FY 2025-26 in the amount of $80,000 is hereby approved to account for the additional revenue and expenditures related to the grant.

4. CEQA. The City Council finds this Resolution is not subject to the California Environmental Quality Act (CEQA) in that the activity is covered by the general rule that CEQA applies only to projects which have the potential for causing a

RESOLUTION NO.

PAGE 2
significant effect on the environment. Adopting the Resolution authorizing the Chief of Police to execute the grant document and appropriate the funding for activities is not a project subject to the California Environmental Quality Act (“CEQA”) because approving the Resolution to accept grant funds does not in itself have 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.)
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 12 th day of August, 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

OTS GRANT AGREEMENT

6/19/2025 10:36:38 AM Page 1 of 12
State of California – Office of Traffic Safety

GRANT AGREEMENT

GRANT NUMBER
PT26097

1. GRANT TITLE
Selective Traffic Enforcement Program (STEP)

2. NAME OF AGENCY 3. Grant Period
Arroyo Grande From:

To:
10/01/2025
09/30/2026 4. AGENCY UNIT TO ADMINISTER GRANT
Arroyo Grande Police Department

5. GRANT DESCRIPTION
Best practice strategies will be conducted to reduce the number of persons killed and injured in crashes involving alcohol and other primary crash factors. The funded strategies may include impaired driving enforcement, enforcement operations focusing on primary crash factors, distracted driving, night-time seat belt enforcement, special enforcement operations encouraging motorcycle safety, enforcement and public awareness in areas with a high number of bicycle and pedestrian crashes, and educational programs. These strategies are designed to earn media attention thus enhancing the overall deterrent effect.

6. Federal Funds Allocated Under This Agreement Shall Not Exceed:

Allocation is contingent upon availability of federal funds. $80,000.00

7. TERMS AND CONDITIONS: The parties agree to comply with the terms and conditions of the following which are by this reference made a part of the Agreement:
 Schedule A – Problem Statement, Goals and Objectives and Method of Procedure  Schedule B – Detailed Budget Estimate and Sub-Budget Estimate (if applicable)  Schedule B-1 – Budget Narrative and Sub-Budget Narrative (if applicable)  Exhibit A – Certifications and Assurances
 Exhibit B* – OTS Grant Program Manual
 Exhibit C – Grant Electronic Management System (GEMS) Access *Items shown with an asterisk (*), are hereby incorporated by reference and made a part of this agreement as if attached hereto. These documents can be viewed at the OTS home web page under Grants: www.ots.ca.gov.

We, the officials named below, hereby swear under penalty of perjury under the laws of the State of California that we are duly authorized to legally bind the Grant recipient to the above described Grant terms and conditions.

IN WITNESS WHEREOF, this Agreement has been executed by the parties hereto.

8. Approval Signatures
A. GRANT DIRECTOR B. AUTHORIZING OFFICIAL
NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

Jeremy Burns
Sergeant
[email protected]
(805) 473-5110
200 N. Halcyon Road
Arroyo Grande, CA 93420
NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

David Culver
Interim Chief
[email protected]
(805) 473-5110
200 N. Halcyon Road
Arroyo Grande, CA 93420
(Signature) (Date) (Signature) (Date)
C. FISCAL OFFICIAL D. AUTHORIZING OFFICIAL OF OFFICE OF TRAFFIC SAFETY NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

Nicole Valentine
Administrative Services Director
[email protected]
(805) 473-5400
300 E Branch St.

Arroyo Grande, CA 93420
NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

Stephanie Dougherty
Director
[email protected]
(916) 509-3030
2208 Kausen Drive Suite 300
Sacramento, CA 95758
(Signature) (Date) (Signature) (Date)

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10. PROJECTED EXPENDITURES
FUND CFDA ITEM/APPROPRIATION F.Y. CHAPTER STATUTE PROJECTED

EXPENDITURES

AGREEMENT
TOTAL $80,000.00

AMOUNT ENCUMBERED BY THIS DOCUMENT
I CERTIFY upon my own personal knowledge that the budgeted funds for the current budget year are available for the period and purpose of the expenditure stated above.
$80,000.00

PRIOR AMOUNT ENCUMBERED FOR THIS

AGREEMENT
$ 0.00
OTS ACCOUNTING OFFICER’S SIGNATURE DATE SIGNED TOTAL AMOUNT ENCUMBERED TO DATE $80,000.00
E. ACCOUNTING OFFICER OF OFFICE OF TRAFFIC SAFETY 9. SAM INFORMATION NAME: Carolyn Vu SAM #:

REGISTERED
ADDRESS:

CITY:

ZIP+4:

VKFHGF6PKWK7
300 E. Branch St.

Arroyo Grande
93420-2594
ADDRESS: 2208 Kausen Drive, Suite 300
Elk Grove, CA 95758

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State of California – Office of Traffic Safety

GRANT AGREEMENT
Schedule A

GRANT NUMBER
PT26097

1. PROBLEM STATEMENT
Describe the city, county, or jurisdiction this grant will impact.

The City of Arroyo Grande currently hosts a resident population of approximately 17,924. However, the City experiences a significant increase in daily population and traffic due to employment, business and service providers located within Arroyo Grande. Additionally, the City’s service population is also impacted by the cities immediately adjacent, making up the “Five Cities” area. The larger Five Cities area population is approximately 45,000 residents, not including the tourist population, which is estimated at approximately 35,000 a year. Because of the City’s location situated half-way between Los Angeles and San Francisco, directly west of Bakersfield, near the beach and the Oceano Dunes Vehicular Recreation Area, significant increases in traffic, pedestrian and alcohol related incidents occur within the City’s service area. In addition, the City of Arroyo Grande hosts the only public high school in the Five Cities area, servicing over 2,000 high school students daily. This causes an increase in the number of inexperienced drivers on the road as well as bicyclists and pedestrians. Finally, the City has traditionally hosted several special events throughout the year, such as the Harvest Festival, Halloween, and Christmas in the Village, which also increase the number of driver’s bicyclists and pedestrians on City roadways. With the resident, student, and transient tourist populations impacting the City’s total service population, traffic crashes and traffic incidents have also increased over the last several years.

Describe the problem(s) to be addressed, supported by current and relevant crash data. (most recent calendar year data/stats).

Specific to the City of Arroyo Grande, traffic crashes, and alcohol involved traffic incidents are among the biggest threats to the community. These incidents do not consider factors such as age or economic status and affect the community as a whole thus law enforcement efforts need to target all drivers. The City of Arroyo Grande and the surrounding beach communities are a desirable destination for tourists and residents. In particular, the historic village area consists of numerous restaurants, shops, and bars. These qualities draw large crowds, both vehicular and pedestrian. The community is safer by reducing the number of DUI drivers on the City streets. An annual review of driving under the influence (DUI) crashes reveals that DUI incidents are usually increased during the end of summer vacation/Labor Day period, Memorial Day, Independence Day weekends and the holiday period (Thanksgiving through New Year’s). Other times with identified DUI crimes and crashes include Halloween, Super Bowl Sunday, Cinco de Mayo, and local festivals/events. The Arroyo Grande Village (downtown area) has several new bars and restaurants which draw large numbers of people on weekend and holiday nights.

In 2022, the Arroyo Grande Police Department made 209 DUI arrests, in 2023, AGPD made 115 DUI arrests, and in 2024 AGPD made 117 DUI arrests. Significant progress is made in reducing the frequency of DUI crimes and crashes when law enforcement agencies conduct awareness campaigns and enforcement efforts.

In 2024, there were 55 injury traffic crashes in the City of Arroyo Grande, affecting 70 victims, and one fatal traffic crash affecting one victim. Additionally, 13 of these crashes were alcohol related, resulting in 14 injured victims. While fatal crash numbers in Arroyo Grande remain low, averaging less than one per year over the last several years, the number of victims injured in crashes has increased over the past several years, with the exception of 2023. With a best practice and focused enforcement plan through the Selective Traffic Enforcement Program, the Arroyo Grande Police Department will be more successful in curbing the problems associated with intoxicated drivers, speeding vehicles, right of way violators, other aggressive driving, distracted driving, auto theft, and an increased pedestrian and bicyclist safety program. The Department has encouraged patrol officers and traffic officers to focus enforcement on reducing the alcohol and speed related crashes, along with increased pedestrian and Define the target population the grant intends to serve and how they are affected by the problem(s).

The city of Arroyo Grande has a resident population of approximately 17,924, with a significant daily increase due to student, business, employment, and visitors, as well as commuter traffic from the

6/19/2025 10:36:38 AM Page 4 of 12
surrounding cities. Traffic crashes related to speeding, driving under the influence, and other aggressive driving behaviors affect all users of the roadway, including pedestrians, bicyclists and the motoring public.

Increased enforcement and prevention work to reduce the number of injuries and fatalities related to traffic crashes, which provides a safer environment for all roadway users within the city.

2. PERFORMANCE MEASURES
A. Goals:

1. Reduce the number of persons killed in traffic crashes.

2. Reduce the number of persons injured in traffic crashes.

3. Reduce the number of pedestrians killed in traffic crashes.

4. Reduce the number of pedestrians injured in traffic crashes.

5. Reduce the number of bicyclists killed in traffic crashes.

6. Reduce the number of bicyclists injured in traffic crashes.

7. Reduce the number of persons killed in alcohol-involved crashes.

8. Reduce the number of persons injured in alcohol-involved crashes.

9. Reduce the number of persons killed in drug-involved crashes.

10. Reduce the number of persons injured in drug-involved crashes.

11. Reduce the number of persons killed in alcohol/drug combo-involved crashes.

12. Reduce the number of persons injured in alcohol/drug combo-involved crashes.

13. Reduce the number of motorcyclists killed in traffic crashes.

14. Reduce the number of motorcyclists injured in traffic crashes.

15. Reduce hit & run fatal crashes.

16. Reduce hit & run injury crashes.

17. Reduce nighttime (2100 - 0259 hours) fatal crashes.

18. Reduce nighttime (2100 - 0259 hours) injury crashes.

B. Objectives: Target Number

1. Issue a news release announcing the kick-off of the grant by December 31st. The kick-off news releases and media advisories, alerts, and materials must be emailed to the OTS Public Information Officer at [email protected], and copied to your OTS Coordinator, for approval 7 days prior to the issuance date of the release.
1 2. Participate and report data (as required) in the following campaigns; Quarter 1:

National Pedestrian Safety Month, National Walk to School Day, National Teen Driver Safety Week, NHTSA Winter Mobilization; Quarter 3: National Distracted Driving Awareness Month, National Motorcycle Safety Month, National Bicycle Safety Month, National Click it or Ticket Mobilization; Quarter 4: National Speed Prevention Campaigns, NHTSA Summer Mobilization, National Child Passenger Safety Week, and California's Pedestrian Safety Month.
12 3. Develop (by December 31) and/or maintain a “DUI BOLO” program to notify patrol and traffic officers to be on the lookout for identified repeat DUI offenders with a suspended or revoked license as a result of DUI convictions. Updated DUI BOLOs should be distributed to patrol and traffic officers monthly. 12 4. Send law enforcement personnel to the NHTSA Advanced Roadside Impaired Driving Enforcement (ARIDE) 16 hour POST-certified training. 1 5. Send law enforcement personnel to the DRE Recertification training. 2

6. Send law enforcement personnel to SFST Instructor training. 1

7. Conduct DUI/DL Checkpoints. A minimum of 1 checkpoint should be conducted during the NHTSA Winter Mobilization and 1 during the Summer Mobilization. To enhance the overall deterrent effect and promote high visibility, it is recommended the grantee issue an advance press release and conduct social media activity for each checkpoint. For combination DUI/DL checkpoints, departments should issue press releases that mention DL's will be checked at the DUI/DL checkpoint. Signs for DUI/DL checkpoints should read "DUI/Driver's License Checkpoint Ahead." OTS does not fund or support independent DL checkpoints. Only on an exception basis and with OTS pre-approval will OTS fund checkpoints that begin prior to 1800 hours. When possible, DUI/DL Checkpoint screeners should be DRE- or ARIDE-trained.
3

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8. Conduct DUI Saturation Patrol operation(s). 9

9. Conduct Traffic Enforcement operation(s), including but not limited to, primary crash factor violations.
7 10. Conduct highly publicized Distracted Driving enforcement operation(s) targeting drivers using hand held cell phones and texting.
5 11. Conduct highly publicized pedestrian and/or bicycle enforcement operation(s) in areas or during events with a high number of pedestrian and/or bicycle crashes resulting from violations made by pedestrians, bicyclists, and drivers. 2 12. Conduct Traffic Safety educational presentation(s) with an effort to reach community members. Note: Presentation(s) may include topics such as distracted driving, DUI, speed, bicycle and pedestrian safety, seat belts and child passenger safety.
2 13. Participate in highly visible collaborative DUI Enforcement operations. 2

3. METHOD OF PROCEDURE
A. Phase 1 – Program Preparation (1st Quarter of Grant Year)  The department will develop operational plans to implement the “best practice” strategies outlined in the objectives section.
 Conduct all training needed to implement the program, in the first quarter.  Purchase all grant related supplies and materials to implement the program, in the first quarter.  Items with a unit cost of $5,000 more (including tax and shipping) must comply with Buy America.  In order to develop/maintain the “DUI BOLOs,” research will be conducted to identify the “worst of the worst” repeat DUI offenders with a suspended or revoked license as a result of DUI convictions. The DUI BOLO may include the driver’s name, last known address, DOB, description, current license status, and the number of times suspended or revoked for DUI. DUI BOLOs should be updated and distributed to traffic and patrol officers at least monthly.  Implementation of the STEP grant activities will be accomplished by deploying personnel at high crash locations.

Media Requirements
Issue a news release approved by the OTS PIO announcing the kick-off of the grant by December 31 and after the grant is signed and executed, but no sooner than October 1, the start of the grant year. The kick-off release must be approved by the OTS PIO. If you are unable to meet the December 31 deadline to issue a kick-off press release, communicate reasons to your OTS grant coordinator and OTS PIO.

B. Phase 2 – Program Operations (Throughout Grant Year) Media Requirements
The following requirements are for all grant-related activities:
 Send all media advisories, alerts, videos, graphics, artwork, posters, radio/PSA/video scripts, storyboards, digital and/or print educational materials for grant-related activities to the OTS PIO at [email protected] for approval and copy your OTS grant coordinator. Optimum lead time would be 7 days before the scheduled release but at least 3 business days prior to the scheduled release date for review and approval is appreciated.
 Send all PowerPoint presentations, online presentations and trainings for grant-related activities to the OTS PIO at [email protected] for approval and copy your OTS grant coordinator. Certified training courses are EXEMPT from the approval process.
 The OTS PIO is responsible for the approval of the design and content of materials. The agency understands OTS PIO approval is not authorizing approval of budget expenditure or cost. Any cost approvals must come from the OTS grant coordinator.  Pre-approval is not required when using any OTS-supplied template for media advisories, news releases, social media graphics, videos or posts, or any other OTS-supplied educational material.

However, copy the OTS PIO at [email protected] and your OTS grant coordinator when any material is distributed to the media and public, such as a news release, educational material, or link to social media post.
 If an OTS-supplied template, educational material, social media graphic, post or video is substantially changed, the changes shall be sent to the OTS PIO at [email protected] for approval and copy your OTS grant coordinator.

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 News releases, social media posts and alerts on platforms such as NextDoor and Nixle reporting immediate and time-sensitive grant activities (e.g. enforcement operations, day of event highlights or announcements, event invites) are EXEMPT from the OTS PIO approval process.

The OTS PIO and your OTS grant coordinator should still be notified when the grant-related activity is happening (e.g. car seat checks, bicycle rodeos, community presentations, DUI checkpoints, etc.).
 Enforcement activities such as warrant and probation sweeps, court stings, etc. that are embargoed or could impact operations by publicizing in advance are EXEMPT from the PIO approval process. However, announcements and results of activities should still be copied to the OTS PIO at [email protected] and your OTS grant coordinator with the embargoed date and time or with “INTERNAL ONLY: DO NOT RELEASE” message in subject line of email.  Any earned or paid media campaigns for TV, radio, digital or social media that are part of a specific grant objective, using OTS grant funds, or designed and developed using contractual services by a subgrantee, requires prior approval.
 Social media posts highlighting state or national traffic safety campaigns (Distracted Driving Month, Motorcycle Safety Awareness Month, etc.), enforcement operations (DUI checkpoints, etc.), or any other grant-related activity such as Bicycle rodeos, presentations, or events, are highly encouraged but do not require prior approval.
 Submit a draft or rough-cut of all digital, printed, recorded or video material (brochures, posters, scripts, artwork, trailer graphics, digital graphics, social posts connected to an earned or paid media campaign grant objective) to the OTS PIO at [email protected] and copy your OTS grant coordinator for approval prior to the production or duplication.  Use the following standard language in all press, media, and printed materials, space permitting:

Funding for this program was provided by a grant from the California Office of Traffic Safety, through the National Highway Traffic Safety Administration.  Space permitting, include the OTS logo on all grant-funded print materials, graphics and paid or earned social media campaign grant objective; consult the OTS PIO and copy your OTS grant coordinator for specifics, format-appropriate logos, or if space does not permit the use of the OTS logo.
 Email the OTS PIO at [email protected] and copy your OTS grant coordinator at least 21 days in advance, or when first confirmed, a short description of any significant grant-related traffic safety event or program, particularly events that are highly publicized beforehand with anticipated media coverage so OTS has sufficient notice to arrange for attendance and/or participation in the event.

If unable to attend, email the OTS PIO and coordinator brief highlights and/or results, including any media coverage (broadcast, digital, print) of event within 7 days following significant grantrelated event or program. Media and program highlights are to be reflected in QPRs.  Any news releases, work plans, scripts, storyboards, artwork, graphics, videos or any educational or informational materials that received OTS PIO approval in a prior grant year needs to be resubmitted for approval in the current grant year.
 For additional guidance, refer to the OTS Grants Materials Approval Process Guidelines and OTS Grants Media Approval Process FAQs on the OTS website.  Contact the OTS PIO or your OTS grant coordinator for consultation when changes from any of the above requirements might be warranted.

C. Phase 3 – Data Collection & Reporting (Throughout Grant Year)

1. Prepare and submit grant claim invoices (due January 30, April 30, July 30, and October 30)

2. Prepare and submit Quarterly Performance Reports (QPR) (due January 30, April 30, July 30, and October 30)
 Collect and report quarterly, appropriate data that supports the progress of goals and objectives.  Provide a brief list of activity conducted, procurement of grant-funded items, and significant media activities. Include status of grant-funded personnel, status of contracts, challenges, or special accomplishments.
 Provide a brief summary of quarterly accomplishments and explanations for objectives not completed or plans for upcoming activities.
 Collect, analyze and report statistical data relating to the grant goals and objectives.

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4. METHOD OF EVALUATION
Using the data compiled during the grant, the Grant Director will complete the “Final Evaluation” section in the fourth/final Quarterly Performance Report (QPR). The Final Evaluation should provide a brief summary of the grant’s accomplishments, challenges and significant activities. This narrative should also include whether goals and objectives were met, exceeded, or an explanation of why objectives were not completed.

5. ADMINISTRATIVE SUPPORT
This program has full administrative support, and every effort will be made to continue the grant activities after grant conclusion.

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State of California – Office of Traffic Safety

GRANT AGREEMENT
Schedule B

GRANT NUMBER
PT26097

FUND NUMBER CATALOG

NUMBER (CFDA)

FUND DESCRIPTION TOTAL AMOUNT
164AL-26 20.608 Minimum Penalties for Repeat
Offenders for Driving While
Intoxicated
$46,600.00
402PT-26 20.600 State and Community Highway
Safety
$20,000.00
405e DDL-26 20.616 Distracted Driving Laws $10,000.00
405c TR-26 20.616 State Traffic Safety Information
System Improvements
$3,400.00

COST CATEGORY FUND
NUMBER

UNIT COST OR
RATE

UNITS TOTAL COST TO
GRANT
A. PERSONNEL COSTS
Straight Time
$0.00
Overtime
DUI/DL Checkpoints 164AL-26 $6,100.00 3 $18,300.00
DUI Saturation Patrols 164AL-26 $1,750.00 9 $15,750.00
Collaborative DUI Enforcement 164AL-26 $1,500.00 2 $3,000.00 Benefits 164AL @ 7.65% 164AL-26 $37,050.00 1 $2,834.00
Traffic Enforcement 402PT-26 $1,575.00 7 $11,025.00
Pedestrian and Bicycle Enforcement 402PT-26 $1,575.00 2 $3,150.00 Traffic Safety Educational Presentations 402PT-26 $200.00 2 $400.00 Benefits 402PT @ 7.65% 402PT-26 $14,575.00 1 $1,115.00
Distracted Driving Enforcement 405e DDL26$1,857.75 5 $9,289.00 Benefits 405e DDL @ 7.65% 405e DDL26$9,288.75 1 $711.00 Category Sub-Total $65,574.00
B. TRAVEL EXPENSES
In State Travel 402PT-26 $4,310.00 1 $4,310.00
$0.00
Category Sub-Total $4,310.00
C. CONTRACTUAL SERVICES
$0.00
Category Sub-Total $0.00
D. EQUIPMENT
$0.00
Category Sub-Total $0.00
E. OTHER DIRECT COSTS
DUI Checkpoint Supplies 164AL-26 $4,916.00 1 $4,916.00
PAS Device/Calibration Supplies 164AL-26 $600.00 3 $1,800.00 Mobile Printer 405c TR26$1,200.00 2 $2,400.00
Handheld Citation Data Collection Devices 405c TR26$500.00 2 $1,000.00

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Category Sub-Total $10,116.00
F. INDIRECT COSTS
$0.00
Category Sub-Total $0.00
GRANT TOTAL $80,000.00

6/19/2025 10:36:38 AM Page 10 of 12
State of California – Office of Traffic Safety

GRANT AGREEMENT
Schedule B-1

GRANT NUMBER
PT26097

BUDGET NARRATIVE

PERSONNEL COSTS
DUI/DL Checkpoints - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

DUI Saturation Patrols - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Collaborative DUI Enforcement - Overtime for grant funded Collaborative DUI Enforcement operations conducted by appropriate department personnel.

Benefits 164AL @ 7.65% - Benefits breakdown:

6.20% Social Security

1.45% Medicare
Claimed amounts must reflect actual benefit costs for overtime hours charged to the grant.

Traffic Enforcement - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Pedestrian and Bicycle Enforcement - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Traffic Safety Educational Presentations - Overtime for grant funded traffic safety educational presentations conducted by appropriate department personnel.

Benefits 402PT @ 7.65% - Benefits breakdown:

6.20% Social Security

1.45% Medicare
Claimed amounts must reflect actual benefit costs for overtime hours charged to the grant.

Distracted Driving Enforcement - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Benefits 405e DDL @ 7.65% - Benefits breakdown:

6.20% Social Security

1.45% Medicare
Claimed amounts must reflect actual benefit costs for overtime hours charged to the grant.

TRAVEL EXPENSES
In State Travel - Costs are included for appropriate staff to attend conferences and training events supporting the grant goals and objectives and/or traffic safety. Local mileage for grant activities and meetings is included. All conferences, seminars or training not specifically identified in the Budget Narrative must be approved by OTS. All travel claimed must be at the agency approved rate. Per Diem may not be claimed for meals provided at conferences when registration fees are paid with OTS grant funds.

CONTRACTUAL SERVICES
-

EQUIPMENT
-

OTHER DIRECT COSTS
DUI Checkpoint Supplies - On-scene supplies needed to conduct sobriety checkpoints. Costs may include 28" traffic cones, MUTCD compliant traffic signs, MUTCD compliant high visibility vests (maximum of 10), traffic counters (maximum of 2), generator, gas for generators, lighting, reflective banners, electronic flares, PAS Device Supplies, PAS Calibration Supplies, heater, propane for heaters, fan, anti-fatigue mats, and canopies. Additional items may be purchased if approved by OTS. The cost of food and beverages will not be reimbursed.

PAS Device/Calibration Supplies - Preliminary alcohol screening device to detect the presence of alcohol in a person's breath and calibration supplies to ensure accuracy. Costs may include mouth pieces, gas and accessories.

Mobile Printer - Mobile printers to be used with electronic citation devices for traffic officers to print the citation in the field. Costs include the purchase of the printer, accessories, and associated shipping and taxes.

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Handheld Citation Data Collection Devices - Handheld devices for traffic officer use to collect citation data, print the citation in the field, and transfer the information electronically to the agency RMS system and to the courts. The system will be used by traffic officers to improve the efficiency and accuracy of writing traffic citations. Costs include the purchase of electronic citation device, with integral mag-strip reader, thermal printer, audio recorder, camera, docking/charging station, software, licenses, accessories, training, and associated shipping and taxes. Costs may not include cell phones.

INDIRECT COSTS
-

STATEMENTS/DISCLAIMERS
Program Income default statement:

There will be no program income generated from this grant.

Supplanting default statement:

Any non-grant funded vacancies created by reassignment to a grant-funded position must be filled at the expense of the grantee agency.

Enforcement Grant Quota Disclaimer:

Nothing in this “agreement” shall be interpreted as a requirement, formal or informal, that a particular law enforcement officer issue a specified or predetermined number of citations in pursuance of the goals and objectives here under.

Benefits Disclaimer:

Benefits for personnel costs can only be applied to straight time or overtime hours charged to the grant.

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The Certifications and Assurances are being finalized by the National Highway Traffic Safety Administration, once they are available, they will be added to the grant agreement.

Item 9.i.

MEMORANDUM
TO: City Council
FROM: Brian Pedrotti, Director of Community Development BY: Patrick Holub, Associate Planner
SUBJECT: Temporary Use Permit 25-005; Authorization for the 86th Annual Arroyo Grande Valley Harvest Festival, Friday and Saturday September 26-27, 2025; Location – Heritage Square Park and Olohan Alley
DATE: August 12, 2025
RECOMMENDATION:
1) Adopt a Resolution approving Temporary Use Permit 25-005, authorizing closure of City streets, sale of alcohol, waiver of fees, and use of City property for the 86th Annual Arroyo Grande Valley Harvest Festival, Friday and Saturday, September 26-27, 2025; and
2) Find the action exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15304 of the CEQA Guidelines.

IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:

The applicant is requesting a waiver of application fees for the Temporary Use Permit, which totals $418.95. Due to the annual nature of the request, the staff time required to review the proposal and prepare the staff report is minimal compared to a one-time event.

In addition, the City is a co-sponsor of the event; therefore, it is recommended that the fee waiver be approved.

The Festival is categorized as a large traffic event in the Comprehensive Fee Schedule.

The cost for staff hours, as well as the procurement and installation of water barricades and signage, totals approximately $35,760, and is included in the City’s operating budget.

BACKGROUND:

Arroyo Grande held its inaugural Harvest Festival in 1937, a two-day event coordinated by the Woman's Club. The Festival, which took place at a nearby elementary school, showcased food, craft booths, and entertainment for the local community. The event was conducted in the classrooms, and a children's pet parade was also held on Saturday. The Woman's Club managed the Festival for several years until community supporters were

Item 9.i.

City Council
Temporary Use Permit 25-005; Authorization for the 86th Annual Arroyo Grande Valley Harvest Festival, Friday and Saturday September 26-27, 2025; Location – Heritage Square Park and Olohan Alley
August 12, 2025

tasked with overseeing the organization in 1946. Since then, the event has been held every year, except for 2020 and 2021, when it was canceled due to the COVID-19 pandemic. The event resumed in 2022, and this year the applicant is seeking similar arrangements for the Festival.

ANALYSIS OF ISSUES:

The 86th Annual Arroyo Grande Valley Harvest Festival is scheduled for Friday, September 26, 2025, from 4:00 pm until 9:00 pm, and Saturday September 27, 2025, from 10:00 am until 4:00 pm. Setup will begin on Thursday, September 25, 2025, at 5:00 pm, and cleanup will end early Sunday morning, September 28, 2025. The festival will feature a variety of activities such as entertainment, food, games, craft booths, contests, and a parade. The Harvest Festival proposes to include alcohol sales in Olohan Alley on Friday and Saturday, September 26 and 27, 2025. A form of identification to be determined by the Police Department, such as wristbands, will be used to identify participants that are 21+ years of age, and no alcohol will be permitted beyond Olohan Alley.

Part of the application for a Temporary Use Permit is to allow for the sale and consumption of alcohol at the 2025 Harvest Festival. The request for alcohol sales necessitates the approval of a Temporary Use Permit by the City Council. The City Council approved permits for alcohol at similar festival and concert events previously, and no issues associated with the alcohol sales were reported to the Police or Community Development Departments.

The applicant is requesting that the City Council allow the sale of alcohol at the Event as an additional amenity to Event patrons. The benefits identified by the applicant include increased revenue from alcohol sales beyond those realized through the sale of food, non-alcoholic drinks, and activities at the Event, as well as the establishment of additional promotional opportunities with new partners.

The City may approve a temporary use permit for the sale of alcohol at the event by operation of AGMC § 16.16.090. The City may authorize a fee waiver through the authority found in City Council Resolution 3760, adopted and approved July 13, 2004 (Attachment 2).

Festival Areas
 Heritage Square Park;
 Short Street from Nelson Street to the Swinging Bridge and from East Branch Street to Centennial Park;
 Nelson Street from Mason Street to Bridge Street;
 Bridge Street from the Lucia Mar Unified School District parking lot to Branch Street;

Item 9.i.

City Council
Temporary Use Permit 25-005; Authorization for the 86th Annual Arroyo Grande Valley Harvest Festival, Friday and Saturday September 26-27, 2025; Location – Heritage Square Park and Olohan Alley
August 12, 2025

 Olohan Alley from Bridge Street to Mason Street; and
 City Hall parking lot at 300 East Branch Street.

The area devoted to the festival remains unchanged from previous years. Kiwanis Park has previously been used solely for extra seating but is not designated as a staging or booth area for this year’s festival. A map showing the festival's designated areas within the City is provided as Attachment 3.

Parade
The parade route will start at the junction of West Branch Street and Traffic Way, head east through the Village center, then turn south onto South Mason Street, and conclude at Poole Street. Parade participants will disperse on South Mason Street between Poole and Allen Streets.

The parade staging areas will include:
 West Branch Street from the Shell Station to Rodeo Drive;  Old Ranch Road from West Branch Street to the east end of the five-acre Cityowned dirt lot at the northeast corner of the intersection of Old Ranch Road and West Branch Street, including use of the lot; and
 West Branch Street between Old Ranch Road and the South County Regional Center
Road closures needed for the parade route, staging areas and detour routes include:
 West Branch Street from Rodeo Drive to East Branch Street;  Wesley Street between Larchmont and West Branch Street;  East Branch Street from Traffic Way to Mason Street;
 South Mason Street from East Branch Street to Poole Street;  Old Ranch Road from West Branch Street to the end of the City owned property;  North Mason from Le Point Street to East Branch Street;  Bridge Street from Branch Street to Traffic Way;
The road closures are proposed from 6:00 am until noon on Saturday, September 27, 2025. No-parking enforcement will commence at 6:00 am, except for the staging area.

The staging area is requested to close at 6:00 am, with no-parking enforcement beginning at 5:00 am. The detour route around the City via East Cherry Avenue, West Branch Street and Huasna Road remains unchanged from previous years. The City will begin arranging road closures at 6:00 am on Saturday, September 27, beginning with the lower volume roadways and intersections.

Attachment 4 depicts the location of proposed road closures and detour routes associated with the parade. This map will be widely distributed in advance of the event, including

Item 9.i.

City Council
Temporary Use Permit 25-005; Authorization for the 86th Annual Arroyo Grande Valley Harvest Festival, Friday and Saturday September 26-27, 2025; Location – Heritage Square Park and Olohan Alley
August 12, 2025

direct mailings to Village businesses and surrounding neighborhoods along the parade route.

The 2011 Harvest Festival Parade introduced an additional detour route by opening the gate at the top of Miller Way, between Miller Way and Emerald Bay Drive. This detour was established for use by affected residents of the Miller Way, Miller Court, Le Point Street, and West Le Point Street areas only. Neighborhood residents will receive notification of the additional detour. No issues have been identified because of this additional detour route, and it has been included as part of this year’s event.

Attendee Identification
The Event does not require the sale of entrance tickets like other events where alcohol is consumed. Therefore, the screening process to ensure lawful consumption is necessary.

This will be closely monitored to ensure only persons of legal drinking age will be able to buy and consume alcohol. The applicant will ensure that vendors serving alcohol have completed the Responsible Beverage Service Training Program from the ABC to prevent service of alcohol to underage or intoxicated individuals and monitor for proper identification.

Trash and Recycling
If authorized for the sale of alcohol, the potential for increased trash and recyclable material increases. Therefore, the applicant will be required in accordance with the conditions of the Temporary Use Permit to add at least 2 more temporary/cardboard trash and recycling receptacles, with a trash liner, and place them at appropriate locations around Olohan Alley. At the end of each event, applicant will be required to follow certain cleanup procedures articulated in the Temporary Use Permit’s conditions, including placing the bags of waste material near the sidewalk so that City Public Works staff can more easily load them onto a truck for disposal and recycling.

Fee Waiver
The applicant is requesting a waiver of application fees for the Temporary Use Permit, which totals $418.95. If approved, this waiver would result in the loss of $418.95 in revenue. Revenue from application fees is used to offset the costs of processing the application. The Council has the authority to approve fee waiver requests, and has approved them for this event in past years. Due to the annual nature of the request, the staff time required to review the proposal and prepare the staff report is minimal compared to a one-time event. In addition, the City is a co-sponsor of the event. Application fees for this event are recommended to be waived pursuant to Resolution 3760 (Attachment 2), which established policies to waive permit application fees for certain annual temporary events, including the Harvest Festival, meeting the following criteria:
 The applicant is a local non-profit organization;

Item 9.i.

City Council
Temporary Use Permit 25-005; Authorization for the 86th Annual Arroyo Grande Valley Harvest Festival, Friday and Saturday September 26-27, 2025; Location – Heritage Square Park and Olohan Alley
August 12, 2025

 The group/organization donates at least 50% of its budget to support programs/activities within the City of Arroyo Grande or the Five Cities Area;  Proceeds from the event or activity will be used for a specific City of Arroyo Grande or Five Cities area public project, program, or cause;
 The event or activity is organized and operated by non-paid volunteers; and  The event or activity is open to the public.

The temporary use permit fee being waived is $418.95. Historically, fees and costs for this event have been waived because the City has served as co-sponsor of the event.

The staff hours needed for the event are as follows:
 94 Police Department overtime hours;
 72 Public Works overtime hours;
 7 Community Development regular hours; and
 35 Recreation Department regular hours
 4 Five Cities Fire Authority overtime hours;
The proposed event meets the criteria stated above; therefore, it is recommended that the fee waiver be approved.

ALTERNATIVES:

1. Adopt a Resolution approving Temporary Use Permit 25-005, authorizing closure of City streets and use of City property for the 86
th Annual Arroyo Grande Valley
Harvest Festival, Friday and Saturday, September 26-27, 2025, including an authorization to waive the application fee;

2. Modify and adopt a Resolution, but do not authorize waiver of the application fee;

3. Modify as appropriate and adopt the Resolution, approving Temporary Use Permit 25-005;

4. Do not adopt the attached Resolution; or

5. Provide other direction to staff
ADVANTAGES:

The Festival, currently in its 86
th year, stands as a cherished tradition within the
community. The Festival celebrates the city's heritage, fosters community spirit, brings people together, raises funds for local organizations, and provides family-friendly entertainment.

DISADVANTAGES:

The closure of streets will impact parking and traffic conditions and necessitate the allocation of City resources to uphold safety standards.

Item 9.i.

City Council
Temporary Use Permit 25-005; Authorization for the 86th Annual Arroyo Grande Valley Harvest Festival, Friday and Saturday September 26-27, 2025; Location – Heritage Square Park and Olohan Alley
August 12, 2025

ENVIRONMENTAL REVIEW:

In compliance with the California Environmental Quality Act (CEQA), it has been determined that this project is Categorically Exempt per Section 15304(e) of the CEQA Guidelines regarding minor temporary uses of land. Specifically, a Class 4 exemption applies to minor public or private alterations in the condition of land, water, and/or vegetation where the project does not involve removal of healthy, mature, scenic trees except for forestry and agricultural purposes. (State CEQA Guidelines, § 15304.) Further, none of the exceptions to the Class 4 exemptions set forth in State CEQA Guidelines section 15300.2 apply.

PUBLIC NOTIFICATION AND COMMENTS:

The event organizers are required to place an advertisement in the September 11, 2025, edition of The New Times advising residents of street closures. The event organizers are required to mail or hand deliver the map depicting street closures and detours to every property located within the area where street closures will occur. The event organizers are also required to mail or hand deliver a notification of the opening of the gate between Emerald Bay Drive and Miller Way to every property accessed from Miller Way. The Agenda was posted at City Hall and on the City’s website in accordance with Government Code Section 54954.2.

ATTACHMENTS:

1. Resolution

2. City Council Resolution 3760

3. Festival Areas

4. Road Closure and Detour Map

ATTACHMENT 1
RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ARROYO GRANDE APPROVING TEMPORARY USE
PERMIT 25-005, AUTHORIZING CLOSURE OF CITY

STREETS, SALE OF ALCOHOL, WAIVER OF FEES, AND
USE OF CITY PROPERTY FOR THE 86
th ANNUAL

ARROYO GRANDE VALLEY HARVEST FESTIVAL,
FRIDAY AND SATURDAY, SEPTEMBER 26-27, 2025
WHEREAS, organizers of the annual Arroyo Grande Valley Harvest Festival have requested closure of City streets and use of City property, and permission for the sale of alcohol; and
WHEREAS, the Arroyo Grande Municipal Code (AGMC) section 16.16.090 provides for the issuance of Temporary Use Permits for events such as the Arroyo Grande Harvest Festival and AGMC Section 10.16.050 authorizes the City Council to restrict parking on any street, and California Vehicle Code Section 21101(e) authorize the closure of streets for parades and local special events; and
WHEREAS, organizers of the annual Arroyo Grande Valley Harvest Festival will be responsible for the removal of all garbage and debris generated by the event; and WHEREAS, the project is in compliance with the California Environmental Quality Act (CEQA), it has been determined that this project is categorically exempt as a Class 4 exemption per Section 15304(e) of the CEQA Guidelines regarding minor temporary uses of land. A Class 4 exemption applies to minor public or private alterations in the condition of land, water, or vegetation where the project does not involve removal of healthy, mature, scenic trees. Further, none of the exceptions to the Class 4 exemptions set forth in State CEQA Guidelines section 15300.2 apply.

WHEREAS, organizers of the annual Arroyo Grande Valley Harvest Festival have submitted a request to waive the $418.95 application fee; and WHEREAS, the City Council finds, in accordance with the requirements of AGMC section

16.16.090, after due study and deliberation, that the following circumstances exist:

Temporary Use Permit Findings:

1. The operation of the requested use at the location proposed and within the time period specified will not jeopardize, endanger, or otherwise constitute a menace to the public health, safety, or general welfare.

The operation of the Harvest Festival will not jeopardize, endanger, or otherwise constitute a menace to the public health, safety or general welfare. The Festival is a

RESOLUTION NO.

PAGE 2
family friendly event that will be held during daytime hours on Friday and Saturday September 26
th and 27th, 2025. Adherence to the conditions of approval ensures that the Festival is operated in a safe and orderly manner.

2. The proposed site is adequate in size and shape to accommodate the temporary use without material detriment to the use and enjoyment of other properties located adjacent to and in the vicinity of the site.

The proposed site is adequate in size and shape to accommodate the temporary use without detriment to the use and enjoyment of other properties located adjacent to and in the vicinity of the site due to road closures encompassing the entire Festival site.

The proposed site is approximately ten (10) acres in size, which is large enough to prevent spill over from the event onto surrounding properties.

3. The Festival area is adequately served by streets or highways having sufficient width and improvements to accommodate the kind and quantity of traffic that the temporary use will or could reasonably be expected to generate.

The proposed site is adequately served by East Branch Street, North and South Mason Street, and Bridge Street, which are of significant width and improvements to accommodate the kind and quantity of traffic that the temporary use will generate.

Additionally, the detour route around the City via East Cherry Avenue, West Branch Street and Huasna Road remains unchanged from previous years and has previously been successful at accommodating the change in traffic due to the road closures.

4. Adequate temporary parking to accommodate vehicular traffic to be generated by the use will be available either on-site or at alternate locations acceptable to the City Council.

Adequate parking to accommodate traffic to be generated by the Harvest Festival will be provided by use of City parking lots in the vicinity. Permitted street parking in areas not affected by road closures and parking restrictions will suffice.

Waiver of Application Fees Findings:

1. The applicant is a local non-profit organization;

2. The group/organization donates at least 50% of its budget to support programs/activities within the City of Arroyo Grande or the Five Cities Area;

3. Proceeds from the event or activity will be used for a specific City of Arroyo Grande or Five Cities area public project, program, or cause;

4. The event or activity is organized and operated by non-paid volunteers; and

5. The event or activity is open to the public.

RESOLUTION NO.

PAGE 3
NOW, THEREFORE, BE IT RESOLVED that the above recitals are true, correct and incorporated herein by reference.

BE IT FURTHER RESOLVED, that based on the authority found in Resolution No. 3760, adopted July 13, 2004, the City Council of the City of Arroyo Grande hereby approves the fee waiver request for the Temporary Use Permit application processing fee.

BE IT FURTHER RESOLVED, that the City Council of the City of Arroyo Grande does hereby approve Temporary Use Permit 25-005 authorizing the following actions and use of the following described City property for the Harvest Festival:

Harvest Festival – Friday & Saturday, September 26
th & 27th
, 2025

1. That the City Council authorizes “no-parking/tow away” restrictions and use of the City parking area behind the former City Hall from the entrance of Mason Street and extending to the area of the Gazebo and Short Street for use between the hours of 5:00 p.m. on Thursday, September 25, 2025, until 8:00 a.m. Sunday, September 28, 2025.

2. The use of the Heritage Square Park for various displays, activities, and contests from 4:00 p.m. to 9:00 p.m. on Friday, September 26, 2025, and 8:00 a.m. to 6:00 p.m. on Saturday, September 27, 2025.

3. That the City Council authorizes “no-parking/tow away” restrictions and the use and closure of Short Street from Nelson to the Swinging Bridge from 8:00 a.m. to 6:00 p.m. on Saturday, September 27, 2025.

4. That the City Council authorizes “no-parking/tow away” restrictions and the use and closure of Nelson Street from Mason Street to Bridge Street from 8:00 a.m. to 6:00 p.m. on Saturday, September 27, 2025.

5. That the City Council authorizes “no-parking/tow away” restrictions and the use and closure of Mason Street from Le Point Street to Poole Street from 8:00 a.m. to 12:00 p.m. on Saturday, September 27, 2025.

6. That the City Council authorizes “no-parking/tow away” restrictions of Poole Street from Mason Street to Traffic Way from 8:00 a.m. to 12:00 p.m. on Saturday, September 27, 2025.

7. That the City Council authorizes “no-parking/tow away” restrictions and the use and closure of Bridge Street from Traffic Way to Branch Street from 8:00 a.m. to 6:00 p.m. on Saturday, September 27, 2025.

8. That the City Council authorizes “no-parking/tow away” restrictions and use and closure of Olohan Alley from Bridge Street to Short Street, and the City Hall parking

RESOLUTION NO.

PAGE 4
lot of 300 East Branch Street from 8:00 a.m. to 9:00 p.m. on Friday, September 26, 2025, and from 8:00 a.m.to 6:00 p.m. on Saturday, September 27, 2025.

9. The use of the City’s electrical service as needed for the lighting of booths, sound system, and contests.

10. That the City Council authorizes “no-parking/tow away” restrictions and closure of a portion of West Branch Street from U.S. Highway 101 to Stanley Avenue on Saturday, September 27, 2025, from 10:00 a.m. to 12:00 p.m.

11. That the Arroyo Grande Police Department will control traffic around the parade route, and police officers will be stationed to give instructions to motorists on detouring the parade route.

12. That the gate between Emerald Bay Drive and Miller Way will be opened at 8 a.m. until 12:00 p.m. on Saturday, September 27, 2025, for increased resident access.

13. That the City Council authorizes alcohol sales to be permitted by approved vendors within Olohan Alley on Friday, September 26, 2025, and Saturday, September 27, 2025.

BE IT FURTHER RESOLVED, that the following streets shall be closed for the Harvest Festival Parade on Saturday, September 27, 2025, from 8:00 a.m. to noon, with “noparking/tow away” restrictions starting at 7:00 am:
 West and East Branch Street from Rodeo Drive to Mason Street;  West and East Branch Street from Old Ranch Road to Branch Street;  Old Ranch Road from West Branch Street to the end of the City owned property;  Wesley Street between Larchmont and West Branch Street;  Traffic Way from Fair Oaks Avenue to Station Way;
 North Mason Street from East Branch Street to Tally Ho Road; and  South Mason Street from East Branch Street to Poole Street.

In addition, E. Branch will be closed from Mason to Highway 227 (Bus Barn) from 8 a.m. to 12 noon, however, parking will be allowed.

BE IT FURTHER RESOLVED, that the Harvest Festival Committee will adhere to certain requirements and conditions imposed by the City regarding cleanup and traffic control and all other applicable conditions of the Temporary Use Permit with the above findings and subject to the conditions as set forth in Exhibit "A", attached hereto and incorporated herein by this reference.

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

RESOLUTION NO.

PAGE 5
AYES:

NOES:

ABSENT:

The foregoing Resolution was passed and adopted this 12th day of August, 2025.

RESOLUTION NO.

PAGE 6
______________________________________

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 7
EXHIBIT “A”

CONDITIONS OF APPROVAL
TEMPORARY USE PERMIT 25-005
85 th ANNUAL HARVEST FESTIVAL
FRIDAY AND SATURDAY, SEPTEMBER 26th AND 27
th, 2025
GENERAL CONDITIONS:

1. The Harvest Festival Committee shall ascertain and comply with all State, County and City requirements as are applicable to this project.

2. The event shall occur in substantial conformance with the application and plans on file in the Community Development Department.

3. The Harvest Festival Committee shall comply with all Conditions of Approval for Temporary Use Permit 25-005

4. To the full extent permitted by law, the Harvest Festival Committee shall indemnify, defend and hold harmless the City, its agents, officers, and employees from and against any liability (including liability for claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory proceedings, losses, expenses or costs of any kind, whether actual, alleged or threatened, including attorney’s fees and costs, court costs, interest, defense costs, and expert witness fees), where the same arise out of, are a consequence of, or are in any way attributable to, in whole or in part, this Temporary Use Permit except liability arising out of the proven sole negligence of the City.

PUBLIC WORKS DEPARTMENT CONDITIONS:

5. The Harvest Festival Committee is to contact the Public Works Department no later than September 8, 2025, regarding the number and location of trash receptacles to be placed in the downtown area.

6. The Harvest Festival Committee is responsible for disposal of its garbage into large trash containers. The Harvest Festival Committee is responsible for providing adequate dumpsters to accommodate all garbage and recycling in addition to required trash containers.

7. The Harvest Festival Committee is responsible for providing trash can liners for all trash containers.

8. The Harvest Festival Committee is responsible for providing additional restroom supplies for the festival. The Harvest Festival Committee is also responsible for monitoring and maintenance of restroom facilities. Should the City provide these

RESOLUTION NO.

PAGE 8
supplies, the Harvest Festival Committee will reimburse the City for the cost of these supplies and related staff time.

9. Supplemental restroom facilities shall be provided by the Harvest Festival Committee.

10. The Public Works Department will provide and place all delineators, signs and barricades for road closures, “no-parking/tow away” and detour routes. The Harvest Festival Committee shall pay for all water barricades.

11. The Harvest Festival Committee shall place an advertisement in the September 2025 edition of The New Times advising residents of street closures and “noparking/tow away” restrictions.

12. At least two (2) weeks in advance of the event, the Harvest Festival Committee shall mail or hand deliver a notification of street closures to every property located within the area where street closures will occur.

13. At least two (2) weeks in advance of the event, the Harvest Festival Committee shall mail or hand deliver a notification of the opening of the Emerald Bay Drive gate to every property accessed from Miller Way, Miller Court, the 200 and 100 block of Le Point Street, and W. Le Point Street.

14. The Harvest Festival Committee shall provide a $1,000,000 commercial general liability insurance policy naming the City as additional insured subject to approval by the City Attorney. Proof of insurance shall be submitted to the Director of Legislative and Information Services ten (10) days before the event.

BUILDING AND LIFE SAFETY DIVISION CONDITIONS:

15. A handicapped accessible toilet shall be included where other portable toilets are located.

16. All electrical must be inspected by the Building and Life Safety Division prior to the event opening.

17. All tape used for marking the booth locations shall be removed by the Harvest Festival Committee immediately following the event.

18. The project shall comply with the most recent edition of the Codes as adopted by the City of Arroyo Grande. Specifically, all temporary-wiring provisions of the California Electrical Code must be met.

RESOLUTION NO.

PAGE 9
FIVE CITIES FIRE AUTHORITY CONDITIONS:

19. Emergency access must be maintained to the satisfaction of the Fire Chief.

20. All food booths (cooking) must comply with the Five Cities Fire Authority guidelines, must have County Health Department approval, and must ensure total compliance of booth operators. The Five Cities Fire Authority will not allow non-compliant booths to operate.

21. The use of generators must be reviewed and approved by the Fire Chief.

22. A detailed chart or map will be provided to the Fire Chief for approval prior to the event, showing placement of all booths, to include actual dimensions of access pathways for fire apparatus and emergency vehicles.

23. Per the approval of the Fire Chief, there will be medical service dedicated to the event.

24. All fire lanes must be posted and enforced in accordance with Police Department and Five Cities Fire Authority guidelines. Fire lanes and access must be approved by the Fire Chief.

25. The Harvest Festival Committee shall identify an individual to act as liaison with the Five Cities Fire Authority for the purpose of maintaining life and safety.

26. Prior to opening the event, the fire access road shall be posted. The Harvest Festival Committee shall provide continuous enforcement of the fire access road during the event.

27. The Harvest Festival Committee will coordinate and be responsible for costs associated with San Luis Ambulance to provide standby personnel and equipment for Bike Medic and golf cart transport for the entire duration of the Festival.

RESOLUTION NO. 3760

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO

GRANDE ESTABLISHING POLICIES TO WAIVE PERMIT

APPLICATION FEES FOR C'ERTAIN ANNUAL TEMPORARY USE

PERMIT EVENTS
WHEREAS, Temporary Use Permits for certain annual events are granted application fee refunds; and
WHEREAS, these Temporary Use Permit events meet the criteria established by the City Council on September 25, 2001 for application fee waivers; and WHEREAS, staff expends a substantial amount of City time and resources submitting application fee refund requests to Administration, the City Council, and Finance; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Arroyo Grande as follows:

1. That a list of annual Temporary Use Permit events meeting the application fee waiver criteria be established to streamline the process of refunding permit application fees; and

2. That the initial list of Temporary Use Permit events eligible for fee waivers include the following events that have been granted a refund of permit application fees in the past: the Arroyo Valley Car Show, Christmas Caroling in the Village, Harvest Festival, March of Dimes Walk America, Nelson Green Book Fair, Strawberry Festival, Summer Concerts in the Village, and Watershed Education Fair; and

3. That Temporary Use Permit events will be added or removed from the fee waiver list only by action of the City Council.

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

AYES: Council Members Runels, Dickens, Lubin and Mayor Ferrara NOES: None
ABSENT: Council Member Costello
the foregoing Resolution was passed aRd adopted this 13th day of July 2004. w_________
Attachment 2

RESOLUTION NO. 3760
PAGE 2
ATTEST:
lLbJkUM.JLORE, DIRECTOR OF ADMINISTRATIVE SERVICES/

DEPUTY CITY CLERK
APPROVED AS TO CONTENT:

STEV ADAMS,
Z~

CITY MANAGER
APPROVED AS TO FORM:

I

RESOLUTION NO. 3760

OFFICIAL CERTIFICATION
I, KELLY WETMORE, Director of Administrative Services/Deputy City Clerk of the City of Arroyo Grande, County of San Luis Obispo, State of California, do hereby certify under penalty of pe~ury, that Resolution No. 3760 is a true, full, and correct copy of said Resolution passed and adopted at a regular meeting of the City Council of the City of Arroyo Grande on the 13th day of July, 2004.

WITNESS my hand and the Seal of the City of Arroyo Grande affixed this 14th day of July, 2004.

KELLY Eli ORE, DIRECTOR OF ADMINISTRATIVE SERVICESI

DEPUTY CITY CLERK

BRIDGE ST

NELSON ST SHORT ST

OLOHAN ALLEY

HERITAGE SQUARE PARK CITY HALL PARKING
ATTACHMENT 3
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Item 10.a.

MEMORANDUM
TO: City Council
FROM: Sheridan Bohlken, Director of Recreation Services SUBJECT: Public Hearing to Consider Amending the Authorized Uses of the Arroyo Grande Tourism Business Improvement District Funds and Amending the Arroyo Grande Municipal Code
DATE: August 12, 2025
RECOMMENDATION:
1) Conduct a public hearing to receive public comment and any protests regarding the City Council’s intention to amend authorized improvements and activities funded by assessments imposed through the Arroyo Grande Tourism Business Improvement District (AGTBID);
2) Determine whether a majority protest has been received; if no majority protest has been received:
a. Adopt a Resolution to make modifications to the authorized uses funded by assessments imposed through the AGTBID, and directing the introduction of an ordinance amending Chapter 3.46 of the Arroyo Grande Municipal Code. b. Introduce an Ordinance for first reading to amend Chapter 3.46 of the Municipal Code authorizing amendments to authorized uses of AGTBID funds; and 3) Find that the recommended actions to support the Arroyo Grande Tourism Business Improvement District are not subject to the California Environmental Quality Act (“CEQA”) because these efforts have no potential to result in either a direct, or reasonably foreseeable indirect, physical change in the environment. (State CEQA Guidelines, §§ 15060 (c)(2) and (3), 15378).

IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:

Amending authorized improvements and activities (the “Authorized Uses”) to be funded with assessments collected through the AGTBID, and to amend the Municipal Code accordingly, will not impact the current AGTBID budget but may shift future funding toward different project types. Staff time will be required to implement the proposed ordinance language, update policies, and oversee project implementation and alignment with tourism goals.

BACKGROUND:

The AGTBID was established to fund activities that promote tourism and increase overnight stays, specifically to benefit lodging businesses. Currently, AGTBID funds are

Item 10.a.

City Council
Public Hearing to Consider Amending the Authorized Uses of the Arroyo Grande Tourism Business Improvement District Funds and Amending the Arroyo Grande Municipal Code
August 12, 2025

restricted to uses such as marketing, advertising, and administrative activities to promote tourism.

On October 15, 20241, a majority of the AGTBID Advisory Board agreed to hold a future discussion about the potential for expanding eligible uses of assessment funds. At the December 17, 20242, regular meeting, the Advisory Board voted unanimously to recommend the City Council amend the AGTBID Authorized Uses and to amend the Arroyo Grande Municipal Code to allow greater flexibility in the use of these funds.

The proposed amendment aligns with practices in other regional jurisdictions, including Pismo Beach, San Luis Obispo, and Paso Robles. The Resolution of Intention to amend the authorized improvements and activities funded by assessments imposed through the AGTBID was proposed and adopted by the Council on July 22, 20253.

ANALYSIS OF ISSUES:

Expanding the Authorized Uses of AGTBID assessment funds is a strategic and researchsupported approach to increase Arroyo Grande’s competitiveness as a visitor destination while enhancing public amenities that benefit the AGTBID businesses, tourists, and residents. Broadening the Authorized Use of these funds aligns with proven models in peer communities and reflects national tourism and economic development trends.

The proposed amendments to the Authorized Uses would include the following categories, as authorized by State law:
 Improvements, including the acquisition, construction, installation, or maintenance of any tangible property with an estimated useful life of five years or more including, but not limited to, the following:
o Parking facilities, benches, trash receptacles, street lighting, decorations including public art and cultural enhancements, parks, and fountains.  Promotion and furnishing of activities, including but not limited to:
o Promotion of public events which benefit businesses within the AGTBID and which take place on or in public spaces within the AGTBID; o Furnishing of music in any public place within the AGTBID; o Promotion of tourism within the AGTBID; and
o Activities which benefit businesses located and operating within the AGTBID.

These expanded uses offer opportunities to invest in the physical environment of the AGTBID, making the area more attractive and accessible to visitors, while also directly benefiting the AGTBID businesses. Enhancements such as public art installations,

1 https://pub-arroyogrande.escribemeetings.com/filestream.ashx?DocumentId=13245 2 https://pub-arroyogrande.escribemeetings.com/filestream.ashx?DocumentId=13247 3 https://pub-arroyogrande.escribemeetings.com/filestream.ashx?DocumentId=15379

Item 10.a.

City Council
Public Hearing to Consider Amending the Authorized Uses of the Arroyo Grande Tourism Business Improvement District Funds and Amending the Arroyo Grande Municipal Code
August 12, 2025

wayfinding signage, and event-supporting infrastructure complement marketing efforts by improving the guest experience and increasing the likelihood of repeat visits. Regional examples demonstrate the success of such strategies:
 Paso Robles saw a 25% increase in Transient Occupancy Tax (TOT) revenue following investments in public art, wayfinding, and infrastructure that supported destination-defining experiences like Sensorio.
 San Luis Obispo enhanced downtown vibrancy and exceeded pre-pandemic TOT revenue by incorporating beautification and sustainability initiatives funded in part through its TBID.
 Pismo Beach leveraged TBID funds to support ADA-accessible infrastructure, restrooms, murals, and eco-tourism enhancements, directly contributing to longer visitor stays and increased repeat tourism.

Applying these best practices in Arroyo Grande is expected to drive tourism-related economic activity while enhancing quality of life for residents and visitors alike.

ALTERNATIVES:

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

1. Approve the Recommended Actions

2. Modify the Proposed Authorized Uses or Proposed Ordinance Language and Proceed with Public Hearing.

3. Do Not Approve the Proposed Amendments and Maintain Current Authorized Uses.

ADVANTAGES:

Modifications to the Authorized Uses would enhance destination appeal, aligns with regional and national best practices, and provides additional benefit to the AGTBID businesses, visitors, and residents.

DISADVANTAGES:

Modifying the Authorized Uses would shift spending from solely a marketing and advertising focus, potentially increase administrative oversight, and does require clear criteria and guardrails.

ENVIRONMENTAL REVIEW:

The recommended actions to support the Arroyo Grande Tourism Business Improvement District are not subject to the California Environmental Quality Act (“CEQA”) because these efforts have no potential to result in either a direct, or reasonably foreseeable indirect, physical change in the environment. (State CEQA Guidelines, §§ 15060 (c)(2) and (3), 15378).

Item 10.a.

City Council
Public Hearing to Consider Amending the Authorized Uses of the Arroyo Grande Tourism Business Improvement District Funds and Amending the Arroyo Grande Municipal Code
August 12, 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. Resolution

2. Ordinance Amending Arroyo Grande Municipal Code Chapter 3.46

ATTACHMENT 1
RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO

GRANDE TO MAKE MODIFICATIONS TO THE AUTHORIZED USES

FUNDED BY ASSESSMENTS IMPOSED THROUGH THE ARROYO

GRANDE TOURISM BUSINESS IMPROVEMENT DISTRICT (AGTBID),
PURSUANT TO A PUBLIC HEARING CONDUCTED ON AUGUST 12,
2025, AND DIRECTING THE INTRODUCTION OF AN ORDINANCE
AMENDING CHAPTER 3.46 OF THE ARROYO GRANDE MUNICIPAL

CODE, AND TAKING OTHER ACTIONS RELATED THERETO
WHEREAS, on July 22, 2025, the City Council of the City of Arroyo Grande adopted a Resolution of Intention declaring its intent to amend the authorized improvements and activities funded by assessments (the “Authorized Uses”) imposed through the Arroyo Grande Tourism Business Improvement District (“AGTBID”), and to initiate the process to amend Chapter 3.46 of the Arroyo Grande Municipal Code; and WHEREAS, the AGTBID was formed pursuant to the Parking and Business Improvement Area Law of 1989, California Streets and Highways Code section 36500 et seq. (the “Act”), and codified under Chapter 3.46 of the Arroyo Grande Municipal Code; and WHEREAS, the proposed amendments to the Authorized Uses are intended to enhance the benefits provided to the businesses located within the AGTBID by increasing the ability to support such businesses, improve the visitor experience, and promote tourism and economic vitality within the AGTBID; and
WHEREAS, notice of the public hearing on the proposed amendments was given as required by section 36523 of the Act, including mailed notices to assessed businesses and publication in a newspaper of general circulation; and WHEREAS, on August 12, 2025, the City Council held a duly noticed public hearing to receive public comments and consider any written protests regarding the proposed amendments to the AGTBID’s Authorized Uses; and
WHEREAS, after considering all protests, the City Council finds that a majority protest, as defined under section 36525 of the Act, was not received and the City Council may proceed with the proposed amendments to the Authorized Uses.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Arroyo Grande does hereby confirms and determines to make modifications to the AGTBID’s Authorized Uses and to proceed with the amendment of Chapter 3.46 of the Arroyo Grande Municipal Code.

RESOLUTION NO.

PAGE 2
BE IT FURTHER RESOLVED, the Authorized Uses of the AGTBID shall include the following as authorized by the Act:
 Improvements, including the acquisition, construction, installation, or maintenance of any tangible property with an estimated useful life of five years or more including, but not limited to, the following:
o Parking facilities, benches, trash receptacles, street lighting, decorations including public art and cultural enhancements, parks, and fountains.
 Promotion and furnishing of activities, including but not limited to:
o Promotion of public events which benefit businesses within the AGTBID and which take place on or in public spaces within the AGTBID;
o Furnishing of music in any public place within the AGTBID; o Promotion of tourism within the AGTBID; and
o Activities which benefit businesses located and operating within the AGTBID.

BE IT FURTHER RESOLVED, the City Council hereby directs staff to introduce an ordinance for first reading to amend Chapter 3.46 of the Arroyo Grande Municipal Code consistent with the Authorized Uses.

BE IT FURTHER RESOLVED this Resolution shall become effective immediately upon its adoption.

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 th day of , 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

ATTACHMENT 2
ORDINANCE NO.

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARROYO

GRANDE TO AMEND THE ARROYO GRANDE MUNICIPAL CODE
CHAPTER 3.46 AMENDING THE AUTHORIZED IMPROVEMENTS AND

ACTIVITIES TO BE FUNDED BY ASSESSMENTS IMPOSED

THROUGH THE ARROYO GRANDE TOURISM BUSINESS

IMPROVEMENT DISTRICT
WHEREAS, on July 22, 2025, the City Council of the City of Arroyo Grande adopted a Resolution of Intention declaring its intent to amend the authorized improvements and activities funded by assessments (the “Authorized Uses”) imposed through the Arroyo Grande Tourism Business Improvement District (“AGTBID”), and to initiate the process to amend Chapter 3.46 of the Arroyo Grande Municipal Code; and WHEREAS, the AGTBID was formed pursuant to the Parking and Business Improvement Area Law of 1989, California Streets and Highways Code section 36500 et seq. (the “Act”), and codified under Chapter 3.46 of the Arroyo Grande Municipal Code; and
WHEREAS, the proposed amendments to the Authorized Uses are intended to enhance the benefits provided to the businesses located within the AGTBID by increasing the ability to support such businesses, improve the visitor experience, and promote tourism and economic vitality within the AGTBID; and
WHEREAS, on August 12, 2025, the City Council held a duly noticed public hearing to receive public comments and consider any written protests regarding the proposed amendments to the AGTBID’s Authorized Uses; and
WHEREAS, at the conclusion of the public hearing the City Council found there was no majority protest, as defined under section 36525 of the Act, to the proposed amendment to the Authorized Uses and the City Council therefore approved such amendment to the Authorized Uses; and
WHEREAS, the City Council now desires to amend Chapter 3.46 of the Arroyo Grande Municipal Code as described below.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE DOES ORDAIN AS FOLLOWS:

SECTION 1. Recitals. The recitals above are true and correct and are incorporated herein by reference and adopted as findings by the City Council.

SECTION 2. CEQA Compliance. The City Council finds that the recommended actions to support the Arroyo Grande Tourism Business Improvement District are not subject to the California Environmental Quality Act (“CEQA”) because these efforts have no potential to result in either a direct, or reasonably foreseeable indirect, physical change in the environment. (State CEQA Guidelines, §§ 15060 (c)(2) and (3), 15378).

ORDINANCE NO.

PAGE 2
SECTION 3. Amendment. Section 3.46.030, Authorized Uses, of the Arroyo Grande Municipal Code is hereby amended to read in its entirety as follows:

Section. 3.46.030 Authorized Uses
The purpose of forming the AGTBID is to provide revenue to defray the costs of services, activities and programs promoting lodging businesses in the AGTBID through the promotion of scenic, recreational, cultural and other attractions in the AGTBID as a tourist destination. It is the intent of this chapter to provide a supplemental source of funding for the promotion of lodging operations in the AGTBID and it is not intended to supplant any other existing sources of revenues that may be used by the city of Arroyo Grande for the promotion of the lodging industry.

Funds collected from assessments imposed on businesses within the AGTBID may be used for the following improvements and activities that benefit the businesses located and operating within the AGTBID, as authorized by Law:

A. Improvements, including the acquisition, construction, installation, or maintenance of any tangible property with an estimated useful life of five years or more, including, but not limited to the following:

1. Parking facilities, benches, trash receptacles, street lighting, decorations including public art and cultural enhancements, parks, and fountains.

B. Promotion and furnishing of activities, including but not limited to:

1. Promotion of public events which benefit businesses within the AGTBID and which take place on or in public spaces within the AGTBID;

2. Furnishing of music in any public place within the AGTBID;

3. Promotion of tourism within the AGTBID; and

4. Activities which benefit businesses located and operating within the AGTBID.

SECTION 4. Amendment. Section 3.46.080, Use of Revenue, of the Arroyo Grande Municipal Code is hereby amended to read in its entirety as follows:

Section. 3.46.080 Use of Revenue.

The Authorized Uses of revenue are defined in Section 3.46.030 above. The total revenue from the levy of assessments within the AGTBID shall not be used to provide improvements or activities outside the AGTBID or for any purpose other than the purposes specified in Section 3.46.030. The proceeds of the lodging business assessment and any other voluntary contributions shall be spent to administer the AGTBID pursuant to this Chapter 3.46, including the calculation, collection, and enforcement of assessments. All funds shall be expended consistent with the purposes of this Section. Funds remaining at the end of any AGTBID term may be used in subsequent years in which AGTBID assessments are levied as long as they are used consistent with the requirements of this Section. The Arroyo Grande City Council shall consider recommendations made by the advisory board created by Section 3.46.100 of this chapter as to the use of assessment revenue.

SECTION 5. Savings Clause. Neither the adoption of this Ordinance nor the repeal of any other ordinance of this City shall in any manner affect the prosecution for violations of ordinances, which violations were committed prior to the effective date

ORDINANCE NO.

PAGE 3
hereof, nor be construed as a waiver of any penalty or the penal provisions applicable to any violation thereof.

SECTION 6. Severability. If any section, subsection, subdivision, sentence, clause, phrase, or portion of this Ordinance is, for any reason, held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have adopted this Ordinance and each section, subsection, subdivision, sentence, clause, phrase, or portion thereof irrespective of the fact that any one or more sections, subsections, subdivisions, sentences, clauses, phrases, or portions thereof be declared invalid or unconstitutional.

SECTION 7: Effective Date. This Ordinance shall take effect and be in full force and effect thirty (30) days after its passage.

SECTION 8: City Clerk’s Certification. The City Clerk shall certify to the adoption of this Ordinance and cause the same to be posted at the duly designated posting places within the City and published once within fifteen (15) days after passage and adoption as required by law; or, in the alternative, the City Clerk may cause to be published a summary of this Ordinance and post a certified copy of the text of this Ordinance in the Office of the City Clerk five (5) days prior to the date of adoption of this Ordinance, and, within fifteen (15) days after adoption, the City Clerk shall cause to be published the aforementioned summary and shall post a certified copy of this Ordinance, together with the vote for and against the same, in the Office of the City Clerk.

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

AYES:

NOES:

ABSENT:
the foregoing Ordinance was adopted this day of ,
2025.