5 available EV charging stations including 10,000 direct current (DC) fast chargers by 2025.10 California also has a goal of deploying 5 million ZEVs by 2030, which will require an even larger scale-up of public stations in addition to millions of non-public EV charging stations.11 As of October 2019, California had approximately 18,500 public Level 2 charging ports at over 5,000 locations and approximately 3,200 public DC fast charging stations at over 700 locations.
12 California must make significant progress quickly, including updating CALGreen requirements and for local communities, investigating reach codes and the potential costs.
Parking spaces at workplaces and other non-residential buildings will be needed to accommodate a California vehicle fleet that is expected to have 18%-24% ZEVs in 2030. The future percentage of ZEVs will require a much higher percentage of parking spaces than the current CALGreen code requirements. 13 EV charging infrastructure is a critical policy to help California reach its climate and EV adoption goals by providing opportunities at homes and workplaces as well as overcoming the critical challenge of “range anxiety” associated with EV adoption.14 Surveys of communities in the Bay Area have shown that access to vehicle charging remains a main hurdle to wider adoption and in spite of that electric vehicle adoption is expected to grow significantly.
Building codes are an important way to facilitate access to EV charging so that residents, commuters, fleets, and car-sharing services can benefit from the significant operating cost advantages in a way that is costeffective and accessible for all. Furthermore, because EV capable parking spaces can avoid or greatly reduce several types of costs associated with installing EV charging stations, public and private funding can achieve greater number of EV charging stations faster and more efficiently. Thus, increasing the levels of EV capable parking spaces beyond those set by CALGreen will lead to significant increases in EV charging infrastructure.
CALGreen and Beyond
CALGreen is the first mandatory green building standards code in the nation and often serves as a model for other state and local governments across the county. It was originally developed in 2007 by the California Building Standards Commission (CBSC) to help meet the goals of AB 32 in reducing greenhouse gases to 1990 levels by 2020.15 Every three years, the CALGreen code is reviewed, revised, and adopted statewide
10 Former Governor Edmund G. Brown Jr. Executive Order B-16-2012 set the goal of placing 1.5 million zero-emission vehicles on California’s roads by 2025. Former Governor Edmund G. Brown’s Executive Order B-48-18 set the goal of 250,000 electric vehicle charging stations, including 10,000 DCFC charging stations, by 2025. In addition, the Charge Ahead California Initiative, [SB 1275 (De León), Chapter 530, Statutes of 2014] set a goal of placing 1 million zero- and near-zero-emission vehicles into service on California’s roads by 2023. 11 Former Governor Edmund G. Brown Jr. Executive Order B-48-18 set the goal of 5 million zero-emission vehicles on California’s roads by 2030.
12 Statistics are from the Alternative Fueling Station Locator (August 2019):
https://afdc.energy.gov/stations/#/analyze?region=US-CA&fuel=ELEC&ev_levels=dc_fast&country=US 13 The California Air Resources Board’s EMFAC2017 database estimates that 21.0 million “LDA” (automobiles) and “LDT1” (light duty trucks) will be on the road in 2030. The database also estimates that 6.3 million additional “LDT2” (a second category of light duty trucks) will be on the road, some of which could be used for workplace commuting or other trips to non-residential buildings.
14 “Range anxiety” refers to concerns about insufficient range and inability to find EV charging stations. 15 “CALGreen”, Department of General Service, https://www.dgs.ca.gov/BSC/Resources/Page-Content/BuildingStandards-Commission-Resources-List-Folder/CALGreen
6 along with other sections of Title 24 for residential and nonresidential buildings. The latest version of the CALGreen code takes effect on January 1, 2020 and is referred to by CBSC as “CALGreen 2019.” The nonresidential CALGreen EV capable infrastructure requirements (California Code of Regulations, Title 24, Part 11 Sections 5.106 and A5.106) and the multifamily requirements (California Code of Regulations, Title 24, Part 11, Sections 4.106 and A4.106) which will take effect January 1, 2020 are shown in Table 2 and Table 3.
Table 2. Summary of Mandatory and Voluntary CALGreen 2019 EV Capable Parking Space Standards for New Construction (Non-Residential)
Current
Mandatory
Voluntary
Tier 1
Voluntary
Tier 2
6% 8% 10%
Table 3. Summary of Mandatory and Voluntary CALGreen 2019 EV Capable Parking Space Standards for New Construction (Residential)
Current
Mandatory
Voluntary
Tier 1
Voluntary
Tier 2
10% 15% 20%
The California Building Standards allow for more restrictive local amendments that are necessary because of local climatic, geological, or topographical conditions. Currently, two dozen municipalities in California have adopted local building codes that require more EV parking spaces than CALGreen and in many cases already require “EV ready” spaces with complete wiring.16 Given the findings of this report, local jurisdictions that expand upon CALGreen requirements, could yield improved cost-savings potential for local businesses and developers.
As mentioned above, this report investigated the cost effectiveness of “EV reach codes” for market-rate housing, affordable housing, and commercial-office buildings. Table 4 below shows the following code levels that were investigated. Note that the baseline CALGreen 2019 levels are shown in “()” for comparative purposes.
16 Pike, E. et. al. 2018. Driving Plug-in Electric Vehicle Adoption with Green Building Codes, August 17. ACEEE Summer Conference. Examples of agencies that are proposing local codes include Berkeley, Brisbane, San Jose, San Mateo, and many others.
7 Table 4. Summary of EV Reach Code Scenarios Analyzed
MUD
Market
Rate
(25/75)
MUD
Affordable
Housing
(10/90)
Commercial
Office
“EV Capable” (10%) (10%) 30% (6%)
Level 2 25% 10% 10%, EVSE
Level 1 75% 90% 10%
8 3. Cost Modeling
Scenarios
The model investigates three prototype building models at the CALGreen 2019 mandatory requirement level.
Those models were then analyzed for EV infrastructure installation costs as described in the scenarios described in Table 4 above for a new construction scenario and a retrofit scenario for a total of thirteen runs in the cost model. Table 5 below provides a high-level view of the building prototype models in terms of number of parking spaces, approximate building area, parking lot area, and number of stories. These buildings represent hypothetical building scenarios that are based on several assumptions and may not be reflective of any one building. Please refer to the appendix and methodology for additional details.
Buildings Types Descriptions
60-unit MUD: A 60-unit apartment building with enclosed parking with 60 parking spaces to represent a medium-sized MUD building.
150-unit MUD: A 150-unit apartment building with enclosed parking with 150 parking spaces to representing a large MUD building.
60-space Commercial Office: An open parking lot with 60 spaces, to representing a medium-sized office building.
T R A N S F O R M E R - R E L A T E D D E F I N I T I O N S :
Primary Transformer: A utility-owned transformer used to convert medium voltage utility distribution lines (normally 12kV) to customer level power at either 480V/277V for large buildings or 208V/120V or 240V/120V for medium buildings. Primary transformers are owned and operated by the utility but any upgrade installation costs are partially split with the building owner.
Secondary Transformer: A customer-owned transformer that converts 480V/277V power down to 208V/120V service (or 240V/120V). Usually only necessary for medium-sized or large-sized buildings.
Headroom: Additional space left for transformer sizing to account for future unspecified load, typically 20%.
9 Table 5. Building Prototypes & Baseline Conditions
Building Type 60-unit MUD 150-unit MUD
60-Space
Office
Number of Units 60 150 n/a
Total number of parking spaces required 60 150 60
Building Area [ft²] 65,000 163,000 20,000
Number of Floors 4 to 5 8 to 9 1 to 3
Parking Lot Size [ft²] 14,000 38,800 14,000
Parking Lot Type 1-level structure 2-level structure stand-alone lot CALGreen Level 2 Charging Requirement 6 15 4
Building Load [kVA] 292 700 98
CALGreen EV Load [kVA] 43 86 29
Total Load [kVA] 335 786 126
Load with Headroom [kVA] 402 944 152
Percent of load from CalGreen EV Load 11% 11% 18%
Secondary Transformer [kVA]
(480V -> 208V / 120V) 500 1000 225
Primary Transformer [kVA]
(12kV -> 480V / 277V) 750 1000 300
Table 6. Load Comparisons across Scenarios
Building Type 60-Unit MUD17 150-Unit MUD 60-Space Office Building
Baseline Building Load
[kVA] 292 700 98
Baseline Level 2 [# of Ports]
(CALGreen 2019) 6 15 4
Baseline EV Load [kVA]
(CALGreen 2019) 43 86 29
Capacity Requirement
(with headroom) 402 kVA 944 kVA 152 kVA
Secondary Transformer Size 500 kVA 1000 kVA 300 kVA
Reach Code Scenario Market Rate Affordable
Housing
Market Rate Affordable
Housing
10% L2
40% L1
Additional Level 2 Ports +12 ports 0 ports +22 ports 0 ports +2 ports Additional Level 1 Ports +45 ports +54 ports +113 ports +135 L1 +24 ports Additional EV Load [kVA] +95 kVA +54 kVA +257 kVA +156 kVA +33 kVA TOTAL EV Load [kVA] 430 kVA 389 kVA 1043 kVA 942 kVA 160 kVA Secondary Transformer Size 500 kVA 500 kVA 1500 kVA18 1000 kVA 300 kVA Percent of load from EVs 32% 25% 33% 26% 39%
17 Some of the capacity loading calculations do not appear additive. For any parking scenario with more than 10 chargers, we utilized a diversity factor of 80% to account for non-coincident charging. 18 Our cost model assumes that for a retrofit scenario, a second 500 kVA transformer would be installed rather than demolition
10 Results
The results of the cost analysis model show that installing EV capable spaces as a stand-alone retrofit are close to four times as expensive compared to during new construction. Costs for these project types are shown in Table 7 and Table 9 with detailed breakdowns in Appendix A.
Several factors related to building types affect these results:
• Costs per space are generally higher for small buildings with a small number of retrofits for EV capable infrastructure. Smaller projects must divide fixed costs among fewer spaces than larger projects.
• Buildings that are at the cusp of needing an upgraded switch gear or transformers represent significant cost increases to add electric vehicles, particularly in a retrofit context where there are large costs from demolition and site disruption. The prototypes we studied were unable to illustrate this point so additional narrative about these costs have been added in the ‘Distribution Transformers’ section. For this study, the prototype buildings we used only surpassed the baseline transformer capacity on one scenario – and the loading was such that we did not expect significant demolition was not expected. Switch gear and secondary transformer costs were included but did not include added costs for demolition, removal, or expansion of electrical rooms19-or- any costs associated with utilityowned primary transformer upgrades20 .
• Our cost model found that enclosed parking was less expensive than an open parking lot. This is because surface-mounted conduit is often less expensive to retrofit than trenching, and repairing surface parking areas. However, enclosed parking is usually much more expensive when considering ADA compliance due to grading, restriping, and accounting for path of travel.
Several factors related to project type affect these results:
• Installing conduit in new construction is much less expensive than retrofitting it later for several reasons.
o Demolition, disposal of materials, and repair of surface parking areas is not required. o Conduit can be installed directly underneath parking rather than routing around existing barriers. In addition, less expensive PVC (plastic) conduit can be installed in the parking floor (tied to rebar before concrete is poured) rather than surface mounted later. While wiring of branch circuits is not included in this report, these shorter lengths will also reduce wiring costs.
o Running conduit through existing buildings will likely require demolition of walls, and potentially through floors as well21
o Requiring that new electrical service panels contain capacity for EV capable infrastructure can achieve economies of scale and avoid the situations where an electrical room must be
19 Demolition, Removal, and expansion of electrical rooms were not considered because they are highly dependent on sitespecific factors that are difficult to estimate from the generic building prototypes we developed. 20 Utility-side transformer costs are analyzed in a separate section 21 X-ray cameras are usually used to prevent damage to concrete structures.
11 expanded to add additional charging. This latter cost is not included in the model, and thus, some retrofits for EV capable spaces would be significantly more expensive. o Compared to stand-alone retrofits, incremental “soft” costs will be lower for new construction. This is because fixed costs not related to EV capable spaces will already be required for construction and the incremental cost will be much lower.22 o Equipment needed for trenching of surface parking will likely already be on-site during new construction, limiting costs.
Table 7. Incremental Costs Required to Install EV Infrastructure Code Scenario
Market Rate
25% Level 2
75% Level 1
Affordable Housing
10% Level 2
90% Level 1
Building Type
New
Construction Retrofit
New
Construction Retrofit
60-Unit MUD $76,142 $239,909 $56,629 $215,051
150-Unit MUD $161,550 $553,682 $135,301 $520,227
60-Space Office Building $34,971 $96,970 N/A N/A
22 Pike, Ed and Steuben, Jeff. “Plug-In Electric Vehicle Infrastructure, Cost-Effectiveness Report.” 2016
12 Table 8. Number of EV Charging Ports per Scenario
Code Scenario:
CALGreen 2019
Market Rate
25% Level 2
75% Level 1
Affordable Housing
10% Level 2
90% Level 1
60-Unit MUD 6 L2 15 L2
45 L1
6 L2
54 L1
150-Unit MUD 15 L2 38 L2
112 L1
15 L2
135 L1
60-Space Office Building 4 L2 6 L2
24 L1 N/A
Table 9. Estimated Cost of Installing EV Infrastructure (price per spot)23 Code Scenario:
Market Rate
25% Level 2
75% Level 1
Affordable Housing
10% Level 2
90% Level 1
Building Type
New
Construction Retrofit
New
Construction Retrofit
60-Unit MUD $1,410 $4,443 $1,049 $3,982
150-Unit MUD $1,197 $4,101 $1,002 $3,854
60-Space Office Building $1,166 $3,232 N/A N/A
Figure 2, 3, and 4 summarize the major categories of costs such as: demolishing and repairing parking lots and sidewalks, upgrading electrical service panels, obtaining permits and inspections, and installing conduit and associated equipment. CALGreen is the baseline cost - all other scenarios are costs in addition to the CALGreen baseline. Tables showing the specific dollar amounts and percent of total project cost by category are shown in the Appendix A.
Figure 2. Cost Break-Down for 60-unit MUD
23 Price per spot is calculated against the baseline CALGreen level. For illustrative purposes: 60-unit scenarios are divided by 54 spaces, which represents the incremental number of spaces added for the incremental cost. $0
$50,000
$100,000
$150,000
$200,000
$250,000
Market Rate
[NC]
Market Rate
[Retrofit]
Affordable Housing
[NC]
Affordable Housing
[Retrofit]
Electrical panel Main electrical room, excluding tranformer Transformer (480V -> 208V) Raceway / In-slab conduit Electrical components (wire, receptacle) Trenching for installation of conduit Demolition of equipment Pavings (asphalt & concrete) Balance of circuit Permiting & inpection fees Construction management
13 Figure 3. Cost Break-Down for 150-unit MUD
Figure 4. Cost Break-Down for 60-space Commercial Office (assumes surface-level parking) Building code requirements for EV capable parking spaces can also reduce or avoid non-cost barriers such as coordinating between building owners/operators and tenants, potential loss of productive time for tenants during construction, lack of awareness of EV charging as an option, and the additional time and expense of undertaking a stand-alone EV charging infrastructure construction project. This study does not include specific accessibility requirements such as slope, vertical clearance, and path of travel and any of the associated costs with restriping, curb-cutting, or re-grading to meet ADA requirements, however a rough contingency to account for these ADA requirements has been included. For additional information on ADA compliance, the Governor’s Office of Business and Economic Development recently released an Electric $0
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
Market Rate
[NC]
Market Rate
[Retrofit]
Affordable Housing
[NC]
Affordable Housing
[Retrofit]
Electrical panel Main electrical room, excluding tranformer Transformer (480V -> 208V) Raceway / In-slab conduit Electrical components (wire, receptacle) Trenching for installation of conduit Demolition of equipment Pavings (asphalt & concrete) Balance of circuit Permiting & inpection fees Construction management
$0
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
Office
[NC]
Office
[Retrofit]
Electrical panel Main electrical room, excluding tranformer Transformer (480V -> 208V) Raceway / In-slab conduit Electrical components (wire, receptacle) Trenching for installation of conduit Demolition of equipment Pavings (asphalt & concrete) Balance of circuit Permiting & inpection fees Construction management
14 Vehicle Charging Station Permitting Guidebook which highlights several ADA-specific issues around accessibility.24
Cost Savings Due to EVSE Installation in New Construction This section discusses the benefits of requiring EVSE installation in a subset of spaces. This section also discusses the potential benefits of good design practices to greatly reduce the potential for expensive redesign and engineering to meet accessibility requirements for buildings subject to Title 24, Part 2, Chapter 11B.
EVSE Installation
We note that several local jurisdictions already require the complete installation of an EVSE on a complete electrical circuit for some parking spaces in nonresidential new construction including Carlsbad, Contra Costa County, Palo Alto and Santa Cruz. Installing a complete electrical circuit, including wiring and circuit breakers, will achieve better economies of scale and avoid the overhead and time needed to hire an electrician.
This includes the need for tenants to get approvals from building owner for an electrical wiring retrofit (for the residential sector, condo owners would typically need approval from the homeowners association).
In addition, many EVSE installation tasks can be completed during new construction at much lower cost than retrofitting later, such as:
• Retrofitting concrete pads for pedestals if needed to mount EVSE (and any associated payment kiosks) and/or bollards if needed, including concrete cutting, excavation, and repair; • Mounting brackets for EVSE installed on walls or pillars; • Any conduit or infrastructure needed to provide data for EVSE that are networked; • Accessibility, as discussed further below in the Good Design Practices section; • Soft costs such as customer (or customer representative) and contractor project management; project planning including design, engineering, and permitting; contractor mobilization; and any additional retrofit tasks needed for EVSE installations;
• Lighting, if required and not already installed on-site; • Additional site-specific, real-world contingencies.
Installing a complete circuit with an EVSE installed will reduce burdens on local building officials and thus will tend to increase code compliance. Inspectors can more easily verify that a complete circuit is installed and operating correctly with an EVSE installed, rather than determining the specific electrical components that would be required for EV capable spaces.
Good Design Practices
Several local jurisdictions have adopted building codes that require good design practices to facilitate compliance with accessibility requirements for buildings subject to the CalGreen requirements, California
24 http://businessportal.ca.gov/wp-content/uploads/2019/07/GoBIZ-EVCharging-Guidebook.pdf
15 Code of Regulations Title 24, Part 2, Chapter 11B Section 11B-812. Section 11B-812 requires that a facility providing Electric Vehicle Charging Stations (EVCS), i.e. a parking spaces with an EVSE installed, for public and common use also provide one or more accessible EVCS, as specified in Table 11B-228.3.2.1. Chapter 11B applies to certain facilities including, but not limited to, public accommodations and publicly-funded housing (see Part 2, Section 1.9 of the California Building Code). It does not require review prior to construction of whether a building is designed to allow compliance with these requirements, and local codes require good design practices to fill this gap.
These local codes typically require that projects subject to the California Code of Regulations Title 24, Part 2, Chapter 11B, document how many accessible EVCS would be required as per Title 24, Chapter 11B to convert all required EV capable or EV ready parking spaces to EVCS. They also typically require that the builder demonstrate that the facility is designed such that compliance with accessibility standards, including Chapter 11B accessible routes, will be feasible for the required accessible EVCS at the time of EVCS installation.25
We note that retrofitting spaces that were not designed to facilitate compliance with accessibility requirements can be very expensive. For instance, this study finds that removing and repairing about 100 to 300 linear feet of surface parking that add conduit to non-accessible parking spaces for a small or medium facility can cost $11,500 to $32,000 in demolition and repair costs. While the scope of work for accessibility retrofits may be different from the conduit installation task, this information indicates that the types of costs required for accessibility retrofits (absent good design practices) may be similarly significant and in retrofit contexts may be cost prohibitive, space prohibitive, or both.
Methodology
The methodology for this report is similar to prior 2016 reports for the City of Oakland (with funding from the City of Oakland and grant funding from the California Energy Commission), and for the City and County of San Francisco (with funding from Pacific Gas & Electric and in-kind support from the City and County of San Francisco).26 27
The cost analysis model that breaks each scenario and number of EV capable parking spaces into individual tasks and quantities, as shown in Appendix C. The model also contains estimates for the costs of each job task. Estimates of retrofit and new construction costs per job task are largely based on RS Means, a construction cost reference handbook for residential and nonresidential hardware and related installation
25 For instance, section 11B-812 requires that “Parking spaces, access aisles and vehicular routes serving them shall provide a vertical clearance of 98 inches (2489 mm) minimum.” It also requires that parking spaces and access aisles meet maximum slope requirements of 1 unit vertical in 48 units horizontal (2.083 percent slope) in any direction at the time of new building construction or renovation. Section 11B-812.5 contains accessible route requirements. In addition, Title 24 Part 11 Section 4.106.4.2 requires that developers meet certain aspects of accessibility requirements at the time of new construction for a limited number of parking spaces.
26 Pike, Ed and Steuben, Jeff. “Plug-In Electric Vehicle Infrastructure, Cost-Effectiveness Report.” 2016; and Pike, Ed, Jeffrey Steuben , and Evan Kamei. 2016. "Plug-In Electric Vehicle Infrastructure Cost-Effectiveness Report for San Francisco.” 27 Pike, Ed, Jeffrey Steuben , and Evan Kamei. 2016. "Plug-In Electric Vehicle Infrastructure Cost-Effectiveness Report for San Francisco."
16 costs.28 Additional costs for contractor labor, permits, architectural drawings, plans, site and/or load studies (for retrofit projects), inspections, and local permit and inspection fees are based on the resources listed in Appendix B and C. Additional information used to model these costs includes feedback from industry and utility experts, engineering estimates, and direct experience. For additional details on the methodology and information specific to the EV capable parking space details, please see Appendix C and Appendix D.
The cost analysis model includes hypothetical installation scenarios to compare costs between different numbers of EV capable parking space for new construction and retrofit projects. Actual project costs and configurations will vary; these cases are intended to provide representative examples for comparison purposes rather than to estimate site-specific costs. The model excludes project-specific costs outside the scope of EV capable parking space building code compliance such as acquisition and installation of the EVSE, signage, lighting, pedestal mounts, bollards, wheel stops, any required accessibility retrofit, and any other factors outside of CALGreen EV capable parking spaces requirements.29 (Codes that address accessibility during alterations and additions such as the City of Fremont, City of Oakland, and City and County of San Francisco local codes can result in significant cost savings compared to changing these design parameters later as part of a stand-alone retrofit project. 30)
Recent editions to this model have added secondary transformers costs and electrical room costs (switchgear).
The model still excludes utility-side infrastructure, such as concrete transformer pads, utility service connections, and associated demolition, to accommodate potential swap-out for a larger capacity primary transformer. Additional information on those costs can be found in the Table 7 of the Transformers section below.
Furthermore, the scenarios do not include sub-metering or separate metering equipment, which are optional, but could be selected by a building owner to access a special electricity rate.31 Primary model costs are based on the City of Sacramento with a correction for PCE and SVCE’s service area based on an average of San Jose and San Mateo’s labor and material costs for the first quarter of 2019.
28 For additional information, see www.rsmeans.com.
29 RS Means specifies a range of potential design costs, while noting that design costs will likely be 50 percent higher for alterations. We note that wheel stops may cost $150-$200 each and bollards may cost $500-$750 each based on input from an installer and RS Means costs for equipment types similar to bollards. 30 San Francisco Green Building Code 2016:
http://library.amlegal.com/nxt/gateway.dll/California/sfbuilding/greenbuildingcode2016edition?f=templates$fn=default .htm$3.0$vid=amlegal:sanfrancisco_ca$anc=JD_GreenBuilding 31 A sub-meter may be a desirable add-on for some building owners or PEV drivers to allocate electricity costs and/or provide access to utility PEV charging electricity tariffs, though some special electricity rates for PEV owners are available through whole-house rates and utilities are also conducting pilots of metering via electric vehicle service equipment. The authors believe that builders wishing to install a socket for a sub-meter at the time of new construction may achieve cost savings compared to retrofits but have not quantified this potential.
17 4. Distribution Transformer Study
One important distinction in transformer classifications is between primary transformers (which are owned and operated by the utility) and secondary “step-down” transformers (which are owned and operated by a building owner). The main distinguishing factor between these is the overall building load and the particular utility rules which specify trigger points for the electrical design. For most situations, small buildings utilize shared distribution primary transformers split between multiple electrical accounts; medium-sized buildings feature a dedicated utility-owned primary transformer; and large buildings may feature a dedicated utilityowned primary transformer along with secondary transformer(s) depending on the electrical design of the building.
Primary Transformers (utility-owned, often with customer costs) Primary transformers are needed to convert medium voltage utility distribution lines (normally 12kV) to customer level power at either 480V/277V for large buildings or 208V/120V or 240V/120V for medium buildings (for the purposes of this report, small buildings are on a shared transformer). Primary transformers are owned and operated by the utility but costs are partially split with the building owner. The costs borne by the utility operate with a ceiling, insulating utilities from the ballooning costs of the upgrades, allowing any excess above to be charged to the customer. This mechanism is known as an “allowance,” effectively a budget for infrastructure upgrades funded through the electric rates. For PG&E, it is governed by Electric Rule 232, Electric Rule 1533 & Electric Rule 1634 which together lay out the rules for expanding service, extending distribution lines, and upgrading transformers. The allowance is dictated by these rules and based on historical electrical usage. The following excerpt is from Electric Rule 15:
As written, these formulas and rule exceptions are complex because they apply for all electrical infrastructure situations, including agricultural, industrial, or rural contexts. However, generally-speaking, utility infrastructure upgrades have costs that are broken down between the building owner and the utility. For utility-owned transformers, the building owner will pay for the following nine elements:
1- a load study from the utility’s service planning department, 2- trenching,
3- excavation
4- backfill,
5- compaction,
6- conduit,
32 https://www.pge.com/tariffs/tm2/pdf/ELEC_RULES_2.pdf 33 https://www.pge.com/tariffs/tm2/pdf/ELEC_RULES_15.pdf 34 https://www.pge.com/tariffs/tm2/pdf/ELEC_RULES_16.pdf
18 7- substructures (boxes and pads),
8- pavings (cut, patch, and final repair), and
9- taxes and cost of ownership.
Meanwhile, the utility will pay (up to the allowance) for metering, wiring, and transformers. For any excess work required above the allowance, an advance is required by the customer, but can be converted to a monthly payment. If the revenue for the utility does not end up materializing in the first ten years, utilities have a mechanism to claw back funds called “deficiency billing.” The CPUC has been tracking service and distribution system upgrades for EV-projects from the three major California Investor-Owned Utilities, publishing their 7th annual report in April 201935. The study indicates the relative frequency and magnitude of utility-side infrastructure costs that include both service upgrades and primary transformer upgrades. While this equipment is owned and operated by the utility, the customer will pay for upgrade costs until their allowance is exceeded.
In many cases this allowance is insufficient and costs can spread over to the customer in lump sum costs ahead of construction and/or higher monthly costs. The following table is pulled from the CPUC report and provides a high-level summary of these costs:
Table 10: Summary of Service Line and Distribution System Upgrades As shown above, PG&E’s service territory indicates just over 3% (323 service line upgrades of 10,138 PEVrelated Infrastructure Checks) of sites required distribution or service-line upgrades to accommodate EV infrastructure, demonstrating projects that exceed existing transformer capacity is not common yet. And of these less than 0.4% (39) exceeded the residential allowance resulting in additional costs to the building owner beyond the baseline upgrade costs. Two large caveats should be highlighted here. The first is that most of
35 7th Joint IOU Electric Vehicle Load Research Report: April 2019 (CPUC)
19 these early EV installations are residential customers and the second is that overall demand for charging infrastructure is increasing and it can be expected that more ports will be installed per parking lot than in the past. In addition, local jurisdictions may have local restrictions regarding placing transformers in public right of ways necessitating alternative siting such as placing transformers within the property line and under owner cost. The most important considerations are the “Range of Costs for Upgrades” ($14 - $338,274) and the “Average Cost for Distribution System Upgrade” ($19,262) which indicate both a very wide range between projects and the average magnitude for transformers upgrades in PG&E territory. It should be noted that the distribution upgrade costs across utilities are significant with PG&E ($19,262) incurring much higher costs than those of SCE ($4,514) and SDG&E ($4,089).
Secondary Transformers (customer-owned)
Secondary transformers are required from larger buildings based on the electrical service being provided by the utility. These rules are pre-determined by the utility’s electric rules. In the context of this report, secondary transformers are those that convert 480V/277V power down to 208V/120V service. PG&E’s Unit Cost Guide36, PG&E’s Greenbook37, and RS Means were investigated to develop a characterization of electrical infrastructure costs (transformers) vs. building load (kVA). In the graph below, primary transformers costs are indicated in gold/yellow with blue-accented patterns38 and secondary transformers costs are indicated in solid blue (costs associated with site preparation are not included). In addition to this, load estimates that were utilized for the cost effectiveness model are overlaid to provide a rough back-of-the-envelope load calculation for MUDs, to illustrate when certain costs become important in order to assist policy makers of the relative situations in which these triggers would occur:
36 PG&E Unit Cost Guide - April 2019
37 2017-2018 PG&E Greenbook: Electric & Gas Service Requirements:(http://www.pge.com/greenbook) 38 The blue accent is to highlight that these costs often end up part of customer costs. $0
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
$140,000
0 75 150 225 300 375 450 525 600 675 750 825 900 975
Transformer Cost(s) vs. Building Load (kVA)
Customer Owned (208V) Utility Owned (208V) Utility Owned (408V) 10/90 Reach Code
25/75 Reach Code
Building load CALGreen 2019 Mandatory (10%)
Utility Usually Pays
Customer Pays
UtilityUsually Pays
30 - 40 Unit MUD Page 166 of 364
20 Figure 5: Costs of Transformers vs. Transformer system size (PG&E service territory)39 The figure above shows the magnitude of these transformer costs along with boundary points for small/medium and medium/large buildings utilizing rough estimates for number of units in a MUD with electric vehicle charging equivalent CALGreen 2019 mandatory levels. The sample number of MUDs shown in the figure above are meant to point out sizeable non-linear costs associated with transformer upgrades for this climate and this utility. In particular, attention should be paid to the 300kV load point which may cause considerable cost escalation as the electrical service would switch from 208V/120V to 480V/277V. As mentioned previously, this graphic is high-level, intended for policy makers and does not provide appropriate level of detail for a specific microclimate or a specific site.40 Transformer-sizing and other considerations
Electrical designers typically oversize transformers for future unspecified loads as “transformer headroom.” A typical approach to transformer sizing is to obtain the calculated design load from the electrical schedule (building plan documents) and add 20% spare capacity for future load growth to be shown in the equipment schedule, unless otherwise directed by the facility based on design parameters41. Due to the large step-wise nature of transformers, it is possible that after accounting for headroom significantly more capacity is afforded. The table below illustrates this for the building models produced for this report:
Table 11. Transformer Sizing & Capacity
Building Type 60-Unit MUD 150-Unit MUD 60-Space Office
Building
Baseline Building Load
[kVA] 292 700 95
Baseline EV Load [kVA]
(CALGreen 2019) 43 99 29
Capacity Requirement
[kVA] 335 kVA 786 kVA 126 kVA
Capacity Requirement
(with 20% headroom)
[kVA]
402 kVA 944 kVA 152 kVA
Secondary Transformer Size
[kVA] 500 kVA 1000 kVA 300 kVA
Overall Unused Capacity
[kVA (% unused)]
165 kVA (33%) 214 kVA (21%) 174 kVA (58%)
Code Scenario Market Rate Affordable
Housing
Market Rate Affordable
Housing
10% L2
40% L1
Additional Level 2 Ports +12 L2 0 +22 L2 0 +2 L2
Additional Level 1 Ports +45 L1 +54 L1 +113 L1 +135 L1 +24 L1 Additional EV Load [kVA] +95 kVA +54 kVA +257 kVA +156 kVA +33 kVA TOTAL EV Load [kVA] 430 389 1043 942 160
39 This graph shows PG&E’s specific equipment sizing and is not comparable to other utilities. Calculations are based on estimates from the infrastructure cost model.
40 For example: Electrical system loading was developed by averaging climatic design data from Climate Zone 3 (Oakland) and 4 (San Jose) to develop a prototype HVAC system:
(https://ww2.energy.ca.gov/maps/renewable/building_climate_zones.html) 41 https://www.csemag.com/articles/selecting-sizing-transformers-for-commercial-buildings/
21 In the table above, the scenarios that are able to meet the EV reach codes with the existing headroom have been highlighted in green and the one scenario that would be unable to do so is highlighted in red. In most of these cases, the 20% headroom for the secondary transformer afforded significant flexibility to meet the reach codes. Transformers are sized for a worse-case scenario based on the requirements in the electrical code and very seldom operate near capacity. While it may be tempting to oversize a transformer above the typical industry headroom, significant oversizing should be cautioned because it can result in transformer operation significantly out of the normal efficient operation. As shown in Figure 6 below, load factor (percentage of total rated capacity) can have a significant influence on the transformer efficiency. In most times of the day, the transformer is operating at part load and oversizing a transformer can move performance out of the normal operating range and result in inefficient operation. The following figure shows a generalized transformer efficiency curve for a residential distribution transformer sized and highlights where a 20% load point might fall were the transformer pushed to the next size up, typically 40-55% increase in capacity.
Figure 6: Transformer Efficiency vs. Load Factor42
The primary concern around transformers and associated costs pertain to the boundary cases where buildings close to the boundary of (1) needing to host a utility’s dedicated primary transformer or (2) will require different utility service (480V instead of 208V) and need to modify their site to provide a secondary transformer. Approximate ranges of which MUDs would need to contend with this are noted in Figure 1 and Figure 5 above. If more capacity is required, it is likely that a combination of solar, energy efficiency measures, or adding battery storage would be able to prevent a transformer upgrades. On the other hand, the interest in electrification of existing gas appliances may compete for the existing capacity.
In the face of all this, load management is a promising option to allow more electric vehicle charging ports without needing to pay for larger infrastructure upgrades. This technology works by managing the amount of
42https://www.researchgate.net/publication/224598589_Challenges_of_PHEV_Penetration_to_the_Residential_Distributio n_Network
20% load: 98.6% efficiency
~10% load: outside of normal operation
22 throughput to individual charging ports based on what the control system defines for limitations. To date, this feature has primarily been marketed to limit electrical demand charges but could be utilized to prevent overloading panels and/or transformers. Load management for electric vehicles is still nascent technology and would benefit with more developed industry standards. However, the National Electric Code has permitted power management since 2014 but industry may need training to create packaged solutions that can reassure plan checkers and building inspectors.43
43 California Electrical Code (Title 24, Part 3): Article 750.30 – Load Management
1 Appendix A: Cost Estimates by Type of Expense
The following tables (Table 12 through Table 14) summarize model results for each type of expense per building. All costs below represent incremental costs compared to a baseline CALGreen 2019 mandatory building. See Appendix B and Appendix C for more details on the individual tasks included in each of the categories below. The per parking space costs are calculated by dividing the total incremental cost of by the number of added EV capable parking spaces. So for example, for the 60-unit MUD scenario shown below, a CALGreen 2019 mandatory baseline model was created to size the electrical use of a 60-unit MUD apartment building including electrical infrastructure associated with switchgear, panels, and secondary transformer.
Under the new construction scenario, the additional 54 EV ports were added to the load and the system resized along with conduits added. For the retrofit scenario, the costs to upsize infrastructure, demolish structures, and provide raceways were added. NOTE: This study does not include costs for EVSE, and does not include and has a overall 20% contingency to account for ADA compliance. ADA can be a significant source of cost and in this study is only intended to capture a limited scope of ADA compliance.
Labor costs generally range from half to two-thirds of total project costs. Labor costs for small buildings with two EV capable parking spaces, based on current CALGreen six percent requirements, were estimated at about four fifths of the total project costs in new construction; however, this may not be representative of other projects for this building type with different site-specific circumstances.
Table 12. Estimated Incremental Cost of Installing EV Infrastructure: 60-Unit MUD 60-Unit MUD
Retrofit
Market
Rate
[NC]
Market
Rate
[Retrofit]
Affordable
Housing
[NC]
Affordable
Housing
[Retrofit]
Level 2 Ports Added 9 9 0 0
Level 1 Ports Added 45 45 54 54
Electrical panel $15,960 $26,008 $9,289 $13,004
Main electrical room, excluding transformer $13,609 $43,911 $14,055 $35,193 Transformer (480V -> 208V) $14,164 $12,743 $1,081 $10,897 Raceway / In-slab conduit $18,059 $77,247 $18,059 $77,247 Electrical components (wire, receptacle) $11,366 $20,131 $11,307 $20,049 Trenching for installation of conduit $0 $0 $0 $0
Demolition of equipment $0 $31,940 $0 $30,918
Pavings (asphalt & concrete) $0 $7,889 $0 $7,889
Permitting & inspection fees $2,435 $15,592 $2,435 $15,592 Construction management $549 $4,449 $403 $4,264
TOTAL $76,142 $239,909 $56,629 $215,051
TOTAL (Price per Port) $1,410 $4,443 $1,049 $3,982
2 Table 13. Estimated Incremental Cost of Installing EV Infrastructure: 150-Unit MUD 150-Unit MUD
Retrofit
Market
Rate
[NC]
Market
Rate
[Retrofit]
Affordable
Housing
[NC]
Affordable
Housing
[Retrofit]
Level 2 Ports Added 23 23 0 0
Level 1 Ports Added 112 112 135 135
Electrical panel $59,785 $83,699 $44,926 $62,896
Main electrical room, excluding transformer $10,059 $49,276 $10,059 $49,276 Transformer (480V -> 208V) $11,539 $49,742 $0 $40,621
Raceway / In-slab conduit $45,147 $193,116 $45,147 $193,116 Electrical components (wire, receptacle) $28,062 $49,833 $28,407 $50,317 Trenching for installation of conduit $0 $0 $0 $0
Demolition of equipment $0 $79,850 $0 $77,294
Pavings (asphalt & concrete) $0 $8,442 $0 $8,442
Permitting & inspection fees $5,798 $33,069 $5,798 $33,069 Construction management $1,159 $6,655 $964 $5,196
TOTAL $161,550 $553,682 $135,301 $520,227
TOTAL (Price per Port) $1,197 $4,101 $1,002 $3,854
Table 14. Estimated Incremental Cost of Installing EV Infrastructure: 60-Space Office 60-Space Office
Retrofit Offce
[NC]
Office
[Retrofit]
Level 2 Ports Added 2 2
Level 1 Ports Added 24 24
Electrical panel $5,571 $13,004
Main electrical room, excluding transformer $8,558 $35,005 Transformer (480V -> 208V) $5,748 $7,786
Raceway / In-slab conduit $0 $0
Electrical components (wire, receptacle) $5,285 $9,031
Trenching for installation of conduit $5,133 $4,562
Demolition of equipment $0 $6,211
Pavings (asphalt & concrete) $0 $6,305
Permitting & inspection fees $4,448 $11,652
Construction management $227 $3,414
TOTAL $34,971 $96,970
TOTAL (Price per Port) $1,166 $3,232
3 Appendix B: Permitting and Inspection Costs
Table 15 shows examples of permitting and inspection fees. These fees are not calculated in the model per project but as inputs based on the closest representative level for a project. Table 16 shows the details for these calculations based on the City and County of San Francisco and costs may vary by region.
Table 15. Examples of Total Permit and Inspection Cost Summary Stand-alone Retrofit
New Construction
(Incremental Costs)
# of Circuits Fee Builder Staff Time Total Fee Builder Staff Time Total 2 $461 $650 $1,111 $27 $75 $102
4 $1,365 $850 $2,215 $164 $125 $289
Table 16. Electrical and Building Permit and Inspection Cost Data Notes:
• Fees are calculated based on San Francisco Fee Table 1A-A (building) and Table 1A-E (electrical).
New construction fees are based on the incremental cost of adding EV charging infrastructure to a project.
• Two building inspections are assumed for small retrofits, and no additional building inspections are assumed for new construction. One electrical inspection is assumed for adding two circuits and three are assumed for adding 12 circuits.
Fees
$335
$11 Estimated average application fee per additional circuit beyond minimum New
Construction,
alterations &
Stand-alone
Retrofit
$25 $100 Builder staff time to obtain new permit (inclusive of travel) $25 $100 Builder staff time per inspection (inclusive of travel) $0 $150 Electrical engineer staff time for load calculations Fees
Stand-alone retrofit
Plan Permitting Plan Permitting
- - $ 144.85 $ 62.08 up to $500
- - $ 2.93 $ 1.26 per hundred from $500 up to $2000
- - $ 1.78 $ 0.76 per hundred from $2000 up to $50,000
$ 0.19 $ 0.10 - - per hundred from $5,000,000 to $50m
source: San Francisco Fee Table 1A-A note: only costs used in model are listed Incremental
Cost, New Retrofit
$25 $100 Builder staff time to obtain new permit
$0 $100 Builder staff time per inspection (inclusive of travel) Electrical and Building Permit and Inspection Cost Data Builder Time Costs
Minimum inspection fee, which covers from 1 to 3 inspections Builder Time Costs
Electrical
Building
New Construction, alterations,
additions
4 Appendix C: Methodology Details
This appendix provides additional details on the general assumptions used in the models, data sources for per unit equipment and other costs, and the methods used to determine the quantities needed for each expense type. This appendix does not contain data specific to the scenarios that were modeled, but rather a more general overview of the cost model.
General Assumptions
• Cost estimates include a fixed general overhead and profit factor.44 • Labor costs and equipment costs are based on cost estimates from RSMeans 2019 Q1 and utilize standard union rates.
• RSMeans cost data specified Sacramento, CA with a geographic correction which averaged the RS Means City Cost Index of San Mateo and San Jose.
• In some cases, RS Means contains minimum retrofit task costs.45 Where related tasks had separate minimum task costs but the labor crew could likely perform more than one related task, the model applied one minimum labor charge.
• Building electrical infrastructure was sized utilizing W/ft² engineering calculations for lighting, air conditioning, and other major appliances.
• Building area was estimated using US Census Data
• Common area is assumed for Laundry usage
• Air Conditioner sizing was calculated based on California Climate Zone data for Zone 3 and Zone 4 • California CEUS46 data is utilized to determine demand for offices Data Sources
Estimates of per unit equipment and installation costs were based on retrofit and new construction costs from RS Means, a construction cost reference handbook and online tool for hardware and related installation costs.
The City and County of San Francisco rates were used for permit and inspection fee sheets; and the authors estimated costs for contractor labor for permitting, inspections, site inspection, and architectural plans. Cost data from RS Means was for 2018 and was scaled to 2019 using U.S. Bureau of Labor Statistics Producer Price Index statistics. Additional data sources include: feedback from industry experts, engineering estimates, and direct experience to capture different tasks required for the scenarios that were analyzed. This appendix contains a list of all tasks included in the analysis.
44 Individual RS Means line items related to overhead (under General Requirements) are assumed to be addressed by overhead and profit.
45 Minimum task costs are typically not relevant for new construction due to the overall project scale. 46 http://capabilities.itron.com/CeusWeb/ChartsSF/Default2.aspx
5 Soft Costs
Permit and Inspection Fees
Permitting costs for breaking concrete and electrical permit fees are based on available information from the City and County of San Francisco fees.47 The total estimated costs include rough and final building and electrical permit fees where applicable. The cost for adding EV capable spaces during construction of a new building is assumed to be relatively low. Builder time spent towards permit filing and inspections is included at $100 per hour spent on site. Permit and inspection costs can vary between regions.
The model includes a small amount of labor to accommodate permitting and inspection of elements specific to EV capable parking spaces in new construction and alterations and additions, since these activities are already required and minimal additional effort should be needed to add EV capable infrastructure.
Since economies of scale occur with larger quantities, these fees generally scale up with increasing quantities of EV capable infrastructure, though they are not completely scalable. Costs are higher for outdoor circuits than for indoor circuits due to trenching and are higher for retrofits than for new construction or alterations and additions due to demolition, repaving, and repairs.48
A R C H I T E C T U R A L P L A N F E E S
Costs to add EV capable parking spaces to architectural plans and drawings will vary between projects based on their overall complexity. They are based on the estimated number of hours for each project and a fee of $150/hour before geographic adjustments. Costs will also vary if the project is new construction or a retrofit.
In the former case, costs will be relatively minor because the architectural firm will likely be familiar with the plan of the building and can easily influence relevant design decisions like adding EV capable infrastructure.
For retrofit projects, costs will likely be significantly higher due to the need to investigate and accommodate more complex on-site conditions such as: longer conduit runs, demolition and reconstruction, meeting accessibility requirements based on existing conditions, and/or more limited options for electrical room and panel placement.
A minimal incremental cost is required for adding several EV capable parking spaces to a new building or alteration and addition. In contrast, preparing construction plans for large numbers of EV capable parking spaces to an existing building may take a significant amount of time considering the layout and construction details for each parking space and existing site conditions. Costs will partially scale by the number of EV capable parking spaces.
L O A D S T U D Y / S I T E C O N D I T I O N S S T U D Y Additional expenses are required for stand-alone retrofits at medium or large buildings to assess existing load and other conditions. The load study is necessary to determine the current electrical supply capacity, such as
47 See Table 1A-A and Table 1A-E
48 We note that efforts are underway to streamline permitting and inspections of EV charging infrastructure including EV capable parking spaces.
6 the transformer and other systems related to the main electrical supply and the current actual load.49 The study will then determine which on-site upgrades may be needed to install EV capable parking spaces. In addition, site-specific conditions may need to be determined such as current concrete conditions, soils conditions, and/ or other conditions. A load study at a facility where other site condition studies aren’t needed is assumed to cost $1,000. Factors such as demolition and/or a greater number of EV parking spaces will drive costs up and a more complex study is assumed to cost $5,000 in this report (prior to prime contractor expenses). X-ray costs are roughly $1,000 for a half dozen images, which may be enough for retrofit installations at a medium sized facility, however, more may be required for a 150-space garage.50 A specific site may require more or less resources depending on actual conditions.
Assuming alterations and additions originally intended for non-EV charging purposes will require an assessment of load and existing conditions, the assessment would also suffice for EV charging as well.
E L E C T R I C A L P A N E L L O C A T I O N S A N D S I Z I N G Some electrical panels are located in the main electrical room while others are distributed closer to EV parking spaces to reduce branch circuit lengths and costs. Distributed panels are more practical in locations with convenient wall mounting locations protected from weather and vandalism. All panel and sub-panel conduits are assumed to be installed in 1 ½ inch steel surface-mounted conduits for 225 ampere panels (to carry 250 MCM wire) or 2-inch conduits for 400 ampere panels (to carry 600 MCM wire) to provide a high level of protection and allow for easy visual inspection.
In some cases, a panel installed in new construction can be upsized to serve both base loads (such as garage lighting, elevators, and miscellaneous outlets) and EV charging loads. In other cases, panels for EV charging are sized to their maximum practical size (typically 400 amperes) just to meet EV charging needs. (Panels are generally limited by electrical panel capacity rather than physical size for EV electrical infrastructure. A single-phase 400-ampere panel has electrical capacity for 10 circuits and typically has physical space for 15 40-amperes circuits even if they utilize double slot 20-ampere breakers.) The type of electrical panels will depend on whether a building is served by three-phase (4-wire) electrical service or one-phase (3-wire) electrical service. Medium and large commercial buildings and multifamily buildings usually receive three-phase service. When a panel receives three phases of electricity instead of one, it can accommodate additional EV capable parking spaces. However, the phases must be “balanced”, which restricts how many additional circuits for EV capable parking spaces can be accommodated. We assumed that three-phase 225 ampere panels can accommodate 9 40-amp circuits and three-phase 400 ampere panels can accommodate 15 40 ampere circuits based on interviews with contractors and an electrical design firm.
49 Transformers are usually sized based on the typical maximum actual load of a building. Unlike electrical panels and electrical circuits, transformers can be under loaded to extend their lifetime of fully loading, or even occasionally overloaded without causing an immediate reliability issue but with potential reduced long-term lifetime. 50 Concrete X- Ray Imaging, Penhall, https://www.penhall.com/concrete-x-ray-imaging/ accessed 7-4-2019.
7 Construction Management
The model also includes a cost factor to represent additional fixed costs incurred by contractors for retrofit installations prior to project initiation. These costs include contractor time spent traveling to a site for surveying, evaluating existing conditions, estimating project costs, and preparing bids. Costs will vary based on the complexity of the project.51 For new construction, these costs likely do not apply or require minimal additional effort to address EV capable electrical infrastructure. The construction management category also includes general permit application fees.
Raceways, Wire, and Termination Point
PVC materials (i.e. plastic) are included for branch circuit conduits installed in new construction of enclosed parking areas and alterations and additions to enclosed parking that remove the parking surface, while wall and ceiling-mounted metal conduit is assumed for stand-alone retrofits. The authors assumed that intermediate metal conduit was installed for any outdoor raceway in trenches to provide corrosion resistance and for any indoor retrofit cases where walls and floors will not be replaced. Additional raceways may be needed between floors and inaccessible areas.
1¼-inch raceways are generally assumed to carry up to twelve #8 wires rated at 40 amperes (three per circuit) to support 30-ampere EVSE, with the potential to add wiring for a fifth circuit where convenient.52,53 Some additional raceways are also needed to serve individual termination locations (i.e. a main conduit run carrying four wires may end at one receptacle pair and a local distribution conduit would carry the other pair to its termination point). These short distribution raceways were also sized at one and a quarter inches for simplicity; though they could be sized at one inch or below, we do not expect that this difference would be significant. In some cases, raceways installed in-slab during new construction will accommodate more and/or higher capacity wires than retrofits that are wall mounted and encounter additional bends at corners and obstacles, limiting their capacity. These potential cost savings are site-specific and not included in the model.
Wire is not included for branch circuits for EV capable parking spaces. Wires for any distributed panels that are noted in the scenario summary table are included in the costs.
The length of raceways within a given floor for enclosed parking at new construction and repaving are calculated based on direct routes from the electrical panel to the termination point since no obstacles are present during new construction. Retrofitting surface-mounted conduit is generally assumed to be twice as long in new construction because they must follow walls and ceilings with less direct routing. Compared to new construction, raceway distances are increased by 125 percent for gut rehabilitation because significant
51 This estimate assumes that contractors win some of their bids for retrofit projects. The success rate will vary based on specific circumstances. For instance, a sole source contacting mechanism would result in a higher success rate while a contracting mechanism requiring three or more bids would result in a lower success rate. Actual costs will vary from project to project.
52 Because EV charging is consider a continuous load, the circuit capacity must be at least 25 percent higher than the end load.
53 We note that higher capacity #6 wire could also be installed at a rate of four sets per 1 ¼ inch conduit without larger sized conduit, unless conduit capacity is limited due to bends that restrict fill rates. For an example of allowable fill rates, see Elliot Electric Supply “Conduit Fill Table” at
https://www.elliottelectric.com/StaticPages/ElectricalReferences/ElectricalTables/Conduit_Fill_Table.aspx.
8 portions of the building are removed while some obstructions may remain. Raceway distances are also increased by 150 percent for stand-alone retrofits in outdoor trenches to account for indirect routing (i.e. avoiding existing infrastructure). Surface mounted retrofit distances are increased by 200 percent, compared to new construction, due to the long distances to follow existing walls and to account for routing around existing obstacles.
Actual configurations can vary based on site-specific circumstances. For instance, if several EV parking spaces are located a significant distance from the main electrical panel, a single (larger) raceway run to an additional electrical panel closer to EV parking spaces can be installed with raceways branching from the panel to the planned EVSE location. This configuration would most likely save costs in buildings where the reduced length of raceways would exceed additional electric panel costs. Raceways for electrical panels outside of the main electrical room are sized (at ½ inch intervals, i.e. 1 ½ inch or 2 inches) based on the wire needed to serve that panel.
Conduits will generally terminate at a receptacle with an outlet box with a face plate and no EVSE (i.e. the unit that connects to the vehicle) installed at the time of construction. Local municipal building codes can also require a specific type of receptacle, which does not have a large impact on the cost-effectiveness of code.
Receptacles are assumed to be installed in pairs to serve parking spaces on either side of the pair.
No additional curbs or bollards are assumed at the termination point. Local jurisdictions may wish to include a requirement for anchor points for EVSE near the termination point if the EVSE can be wall-mounted, which should not significantly affect the cost of EV capable building codes.
Demolition, Reconstruction, and Repaving
The model contains several job types related to demolition, construction, and repaving for stand-alone projects and projects where parking areas and/or electrical rooms are undergoing renovations that would allow installation of this equipment without any further demolition and reconstruction.
For both enclosed and surface parking, demolition for electrical rooms includes cutting and/or drilling, breaking large pieces into smaller pieces, minimum equipment/labor costs, loading and disposal.
Reconstruction costs include concrete work (cost for pouring slabs is used as a proxy), reinforcing rods, forms, and minimum labor charges.
Demolition for parking areas include cutting a three-foot-wide section of pavement to allow two-foot-wide trenches; backhoe rental to trench, mobilization and operation, and disposal of materials. Some trenching would also be required for adding EV capable parking spaces in new construction, when repaving existing parking or adding parking. In these cases, costs would likely be much lower due to the presence of trenching equipment on-site to meet other project needs unrelated to EV capable parking spaces.
Contingencies
A 20 percent contingency was applied for stand-alone retrofit projects based on RS Means. Contingencies are necessary because specific challenges may not be visible at the start of a stand-alone retrofit project or because existing conditions may be difficult to alter without expanding the scope and cost of a retrofit project - for instance if an electrical room lacks space for additional panel(s) or was originally constructed far from parking spaces. A general contingency was not added for EV capable parking spaces installed as part of a
9 larger retrofit project such as resurfacing or building new parking spaces at an existing site because the conditions will more closely resemble new construction, given their broader scope. In addition, specific cost increases were already included to address higher costs for alterations and additions compared to new construction, such as conservatively assuming that additional parking spaces would be located further from electrical power than existing spaces.
On top of this, another 20 percent contingency was applied to estimate potential costs for accessibility (ADA) compliance associated with restriping, adjusting path of travel, vertical clearances, and slope modifications.
ADA compliance costs can be significant but are not the focus of this report.
Transformers
Transformer costs related to secondary or “step down” transformers have been incorporated into this cost model. Only the wiring costs are considered, not the additional costs for a concrete pad, or disposal of the previous transformer. As mentioned previously, these transformers are used to “step down” 480 V service to 208/240 V for buildings connected to 480 V power, which in PG&E’s service area consist of buildings in the 300kVA and up range. CARB has found that EV charging generally represents a relatively small fraction of overall building power demand in multifamily housing with 10% EV Capable parking spaces. These transformer upgrades are often not necessary to support EV charging infrastructure for buildings but may be more likely with the higher EV infrastructure requirements such as those considered in this report.
An electrical engineering firm and several contractors were consulted with and confirmed that they have found that levels of EV capable parking spaces proposed for CALGreen typically would not require a transformer upgrade, noting the typical headroom of 20% is usually sufficient to cover this growth. It was noted that in some cases, a potential off-site utility infrastructure upgrade could be required, as noted in the Primary Transformers section above.
In the case that EV infrastructure would trigger an expensive switchgear or transformer upgrade it should be investigated whether retrofits that include more energy-efficient lighting and other equipment meeting current mandatory California, ENERGY STAR®, and/or federal standards.
We expect that in cases where a transformer upgrade would be required to install EV capable infrastructure, building codes requiring EV capable parking spaces and associated electrical capacity could achieve significant cost savings related to these costs. Stand-alone transformer retrofits could require replacing conduits serving the transformer, replacing the transformer pad or adding a new pad, and adding an additional transformer or upgrading an existing transformer. By comparison, designing the electrical room for adequate capacity would allow the installation of larger sized conduits and/or transformer pads during initial construction at minimal cost. While we have not quantified all of these costs, the incremental cost of installing a 3” conduit instead of a 2” conduit would be very small compared to breaking existing concrete to install a larger sized conduit later.
10 Task Descriptions
Task descriptions for each scenario are listed below in Table 17. The table lists tasks with a note to designate where the task applies to retrofits, new construction, or both. A negative number indicates the avoidance of smaller electrical panel(s) due to installation of a larger panel. (Tasks that are listed with a “0” quantity were included as an option in detailed calculations used to determine project task descriptions, but the detailed design calculations resulted in a zero quantity for the specific task).
Table 17. Task Descriptions and Quantities
60-unit MUD 150-unit MUD Medium Office
Task Description Construction
Type
Work
Type Unit
CALGree
n
Market
Rate
Affordabl
e Housing CalGreen Market Rate
Affordabl
e Housing CalGreen 10% L240% L1
Quantity for Each Scenario
Rent core drill, electric, 2.5 H.P. 1" to 8" bit diameter, includes hourly operating cost retro demo ea.
8 10 20 25 4
Rent mixer power mortar & concrete gas 6 CF, 18 HP, one day including 4 hours operating cost retro demo Ea. 2 2 5 5 Rent backhoe-loader 40 to 45 HP 5/8 CY capacity, one day including 4 hours operating cost retro demo per day 3
Selective demolition, rubbish handling, dumpster, 6 C.Y., 2 ton capacity, weekly rental, includes one dump per week, cost to be added to demolition cost. retro demo Week
2 2 5 5 0
Deconstruction of concrete, floors, concrete slab on grade, plain, 4" thick, up to 2 stories, excludes handling, packaging or disposal costs retro demo S.F.
24 30 60 75
Selective concrete demolition, reinforce less than 1% of crosssectional area, break up into small pieces, excludes shoring, bracing, saw or torch cutting, loading, hauling, dumping retro demo C.Y. 8 10 20 25 5
Selective concrete demolition, minimum labor/equipment charge retro demo Job 2 2 5 5 Concrete sawing, concrete slabs, rod reinforced, up to 3" deep retro demo L.F. 24 30 60 75 16 Concrete sawing, concrete, existing slab, rod reinforced, for each additional inch of depth over 3" retro demo L.F. 24 30 60 75 16 Selective demolition, concrete slab cutting/sawing, minimum labor/equipment charge retro demo Job 2 2 5 5 1
Concrete core drilling, core, reinforced concrete slab, 2" diameter, up to 6" thick slab, includes bit, layout and set up retro demo Ea. 60 60 150 150 Receptacle devices, residential, duplex outlet, ivory, EMT & wire, 20', 15 amp, incl box & cover plate new electric Ea. 27 23 68 56 12
11 60-unit MUD 150-unit MUD Medium Office
Task Description Construction
Type
Work
Type Unit
CALGree
n
Market
Rate
Affordabl
e Housing CalGreen Market Rate
Affordabl
e Housing CalGreen 10% L240% L1
Quantity for Each Scenario
Receptacle, range, 50 Amp retro electric Ea. 6 15 15 38 6 Receptacle devices, residential, duplex outlet, ivory, EMT & wire, 20', 15 amp, incl box & cover plate retro electric Ea. 27 23 68 56 12 permitting & inspection, 2 internal circuits, excludes general building permit fees new fee per job
permitting & inspection, 4 internal and 2 external circuits, excludes general building permit fees new fee per job 1 5 permitting & inspection, 4 internal circuits, excludes general building permit fees new fee per job 1
permitting & inspection, 14 internal circuits, excludes general building permit fees new fee per job 1 1 1 1 1 1 1
permitting, per internal circuit over 4, excluding general buildling permit fees new fee per ciruit 2 20 20 1 60 60 2
permitting & inspection, 14 internal and 7 external circuits, excludes general building permit fees retro fee per job 11 1 permitting & inspection, 14 internal circuits, excludes general building permit fees retro fee per job 1 1
1 permitting, per internal circuit over 4, excluding general buildling permit fees retro fee per circuit 20 20 60 60 20
architectural plans/drawings retro fee per hour 8 14 14 14 38 38 6 9 architectural plans/drawings new fee per hour 2 4 4 4 12 12 2 3 site and load study retro fee per $1000 1 3 3 3 5 5 1 2 Circuit Breakers - 480V 3-pole, 70 to 225Amp new main Ea. 1 -1 -1 Circuit Breakers - 480V 3-pole, 70 to 225Amp retro main Ea. 1 Switchboard - 3-pole, 4-wire, 400 Amp retro main Ea. 1 1 Circuit Breakers - 480V 3-pole, 450 to 600 Amp retro main Ea. 1 1 Circuit Breakers - 480V 3-pole, 700 to 800 Amp new main Ea. 1 Circuit Breakers - 480V 3-pole, 700 to 800 Amp retro main Ea. 1 Circuit Breakers - 480V 3-pole, 125 to 400Amp new main Ea. 1 Circuit Breakers - 480V 3-pole, 125 to 400Amp retro main Ea. 1 Circuit Breakers - 480V 3-pole, 15 - 60 Amp retro main Ea. 1 Distribution Switchboard Enclosure - 4 wire, 1000 Amp new main Ea. 1 1 Distribution Switchboard Enclosure - 4 wire, 1000 Amp retro main Ea. 1 1 Incoming Switchboards - 277/480V, 4 wire, 800 Amp retro main Ea. 1 1 Incoming Switchboards - 277/480V, 4 wire, 800 Amp (w/ Fused Switch & CT Compartment) new main Ea. 1 1
12 60-unit MUD 150-unit MUD Medium Office
Task Description Construction
Type
Work
Type Unit
CALGree
n
Market
Rate
Affordabl
e Housing CalGreen Market Rate
Affordabl
e Housing CalGreen 10% L240% L1
Quantity for Each Scenario
Incoming Switchboards - 277/480V, 4 wire, 800 Amp (w/ Fused Switch & CT Compartment) retro main Ea. 1 1
Switchboard - 3-pole, 4-wire, 2000 Amp new main Ea. 1 1 Switchboard - 3-pole, 4-wire, 2000 Amp retro main Ea. 1 1 Switchboard - 3-pole, 4-wire, 600 Amp retro main Ea. 1 1 Switchboard - 3-pole, 4-wire, 800 Amp new main Ea. 1 1
Switchboard - 3-pole, 4-wire, 800 Amp retro main Ea. 1 1 Panelboards, 1 phase 3 wire, main circuit breaker, 120/240 V, 225 amp, 30 circuits, NQOD, incl 20 A 1 pole bolt-on breakers new panel 1 1 -1 Panelboards, 1 phase 3 wire, main circuit breaker, 120/240 V, 225 amp, 30 circuits, NQOD, incl 20 A 1 pole bolt-on breakers retro panel 1 Panelboards, 1 phase 3 wire, main circuit breaker, 120/240 V, 400 amp, 30 circuits, NQOD, incl 20 A 1 pole bolt-on breakers new panel 1 1 -1 1 Panelboards, 1 phase 3 wire, main circuit breaker, 120/240 V, 400 amp, 30 circuits, NQOD, incl 20 A 1 pole bolt-on breakers retro panel 1 2 1 1 Reinforcing steel, in place, dowels, smooth, 12" long, 1/4" or 3/8" diameter, A615, grade 60 retro pave Ea. 90 90 72 72 48
Structural concrete, in place, slab on grade (3000 psi), 4" thick, includes concrete (Portland cement Type I), placing and textured finish, excludes forms and reinforcing retro pave S.F. 30 30 24 24
16 Structural concrete, in place, minimum labor/equipment charge retro pave Job 1 1 1 1 1 PVC conduit, schedule 40, 1-1/4" diameter, in concrete slab, includes terminations, fittings and supports new race L.F. 324 2147 2147 1080 5366 5366 LV Transformer, Dry Type - 480V primary, 120/208V secondary (112.5 kVA) retro trans Ea. 1
LV Transformer, Dry Type - 480V primary, 120/208V secondary (75 kVA) Retro trans Ea. 1
LV Transformer, Dry Type - 480V primary, 120/208V secondary (150 kVA) Retro trans Ea. 1 1
LV Transformer, Dry Type - 480V primary, 120/208V secondary (225kVA) Retro trans Ea. 1
LV Transformer, Dry Type - 480V primary, 120/208V secondary (300 kVA) New trans Ea. 1
LV Transformer, Dry Type - 480V primary, 120/208V secondary (500 kVA) New trans Ea. 1
13 60-unit MUD 150-unit MUD Medium Office
Task Description Construction
Type
Work
Type Unit
CALGree
n
Market
Rate
Affordabl
e Housing CalGreen Market Rate
Affordabl
e Housing CalGreen 10% L240% L1
Quantity for Each Scenario
LV Transformer, Dry Type - 480V primary, 120/208V secondary (500 kVA) Retro trans Ea. 1
LV Transformer, Dry Type - 480V primary, 120/208V secondary (750 kVA) Retro trans Ea. 2 1
449 15th Street, Oakland, CA 94612 | 510.482.4420 | energy-solution.com 1 Appendix D: EV Capable Installation Configurations
This section includes figures to generally depict the configuration of each scenario that was analyzed. They are not intended to include all details of a particular installation nor are they intended to represent any particular specific installation.
Scenario(1)
60 Unit MUD
Code: CALGreen Mandatory (10%)
4.5 9 14 18 23 27 32 36 41 45 50 54 59 63 68 72 77 81 86 90 95 99 4.5ft x 4.5 ft Non-Charging Space
4.5 Level 1 EV Capable
9 Level 1 EV Ready
14 18 Level 2 EV Capable
23 Level 2 EV Ready
27 Level 2 EVSE
32 36 Electrical Room
41 45 O Main Conduit Outlet
50 54 Electrical Panel
59 63
68 72
77 81
86 90
95 99
104
108
113
117
122
126
131
135
140
144
400A
449 15th Street, Oakland, CA 94612 | 510.482.4420 | energy-solution.com 2 Scenario(2)
60 Unit MUD
Code: Market Rate Housing (25%/75%)
4.5 9 14 18 23 27 32 36 41 45 50 54 59 63 68 72 77 81 86 90 95 99 4.5ft x 4.5 ft Non-Charging Space
4.5 Level 1 EV Capable
9 Level 1 EV Ready
14 18 Level 2 EV Capable
23 Level 2 EV Ready
27 O Level 2 EVSE
32 36 Electrical Room
41 45 O O Main Conduit Outlet
50 54 Electrical Panel
59 63
68 72 O
77 81 O
86 90
95 99
104
108 O
113
117 O
122
126 O
131
135
140
144
400 A
449 15th Street, Oakland, CA 94612 | 510.482.4420 | energy-solution.com 3 Scenario(3)
60 Unit MUD
Code: Affordable Housing (10%/90%)
4.5 9 14 18 23 27 32 36 41 45 50 54 59 63 68 72 77 81 86 90 95 99 4.5ft x 4.5 ft Non-Charging Space
4.5 Level 1 EV Capable
9 Level 1 EV Ready
14 18 Level 2 EV Capable
23 Level 2 EV Ready
27 O O Level 2 EVSE
32 36 Electrical Room
41 45 O O Main Conduit Outlet
50 54 O Electrical Panel
59 63
68 72 O
77 81 O O
86 90
95 99
104
108 O
113
117 O
122
126 O
131
135
140
144
400A
449 15th Street, Oakland, CA 94612 | 510.482.4420 | energy-solution.com 1 Scenario(4) - page 1 of 2 Scenario(4) - page 2 of 2
150 Unit MUD 150 Unit MUD
Code: CALGreen Mandatory (10%) Code: CALGreen Mandatory (10%)
4.5 9 14 18 23 27 32 36 41 45 50 54 59 63 68 72 77 81 86 90 95 99 104 108 4.5 9 14 18 23 27 32 36 41 45 50 54 59 63 68 72 77 81 86 90 95 99 104 108 4.5ft x 4.5 ft Non-Charging Space
4.5 4.5 Level 1 EV Capable
9 9 Level 1 EV Ready
14 14
18 18 Level 2 EV Capable
23 23 Level 2 EV Ready
27 27 Level 2 EVSE
32 32
36 36 Electrical Room
41 41
45 45 O Main Conduit Outlet
50 50
54 54 Electrical Panel
59 59
63 63
68 68
72 72 Area 19440
77 77 38880
81 81
86 86
90 90
95 95
99 99
104 104
108 108
113 113
117 117
122 122
126 126 O
131 131
135 135
140 140
144 144
149 149
153 153
158 158
162 162
167 167
171 171
176 600A 176
180 180
449 15th Street, Oakland, CA 94612 | 510.482.4420 | energy-solution.com 2 Scenario(5) - page 1 of 2 Scenario(5) - page 2 of 2
150 Unit MUD 150 Unit MUD
Code: Market Rate Housing (25%/75%) Code: Market Rate Housing (25%/75%)
4.5 9 14 18 23 27 32 36 41 45 50 54 59 63 68 72 77 81 86 90 95 99 104 108 4.5 9 14 18 23 27 32 36 41 45 50 54 59 63 68 72 77 81 86 90 95 99 104 108 113 4.5ft x 4.5 ft Non-Charging Space
4.5 4.5 Level 1 EV Capable
9 9 Level 1 EV Ready
14 14
18 18 Level 2 EV Capable
23 23 Level 2 EV Ready
27 27 Level 2 EVSE
32 32
36 36 Electrical Room
41 41
45 45 O Main Conduit Outlet
50 50
54 54 Electrical Panel
59 59
63 63
68 68
72 72
77 77
81 81
86 86
90 90
95 95
99 99
104 104
108 108
113 113
117 117
122 122
126 O 126 O
131 131
135 135
140 140
144 144
149 149
153 153
158 158
162 162
167 167
171 171
176 600A 176 600A
180 180
449 15th Street, Oakland, CA 94612 | 510.482.4420 | energy-solution.com 3 Scenario(6) - page 1 of 2 Scenario(6) - page 2 of 2
150 Unit MUD 150 Unit MUD
Code: Affordable Housing (10%/90%) Code: Affordable Housing (10%/90%)
4.5 9 14 18 23 27 32 36 41 45 50 54 59 63 68 72 77 81 86 90 95 99 104 108 4.5 9 14 18 23 27 32 36 41 45 50 54 59 63 68 72 77 81 86 90 95 99 104 108 4.5ft x 4.5 ft Non-Charging Space
4.5 4.5 Level 1 EV Capable
9 9 Level 1 EV Ready
14 14
18 18 Level 2 EV Capable
23 23 Level 2 EV Ready
27 27 Level 2 EVSE
32 32
36 36 Electrical Room
41 41
45 45 O Main Conduit Outlet
50 50
54 54 Electrical Panel
59 59
63 63
68 68
72 72
77 77
81 81
86 86
90 90
95 95
99 99
104 104
108 108
113 113
117 117
122 122
126 O 126 O
131 131
135 135
140 140
144 144
149 149
153 153
158 158
162 162
167 167
171 171
176 600A 176 600A
180 180
449 15th Street, Oakland, CA 94612 | 510.482.4420 | energy-solution.com 1 Scenario(7)
60 Space Office
Code: CALGreen Mandatory (6%)
4.5 9 14 18 23 27 32 36 41 45 50 54 59 63 68 72 77 81 86 90 95 99 4.5ft x 4.5 ft Non-Charging Space
4.5 Level 1 EV Capable
9 Level 1 EV Ready
14 18 Level 2 EV Capable
23 Level 2 EV Ready
27 Level 2 EVSE
32 36 Electrical Room
41 45 O Main Conduit Outlet
50 54 Electrical Panel
59 63
68 72
77 81
86 90
95 99
104
108
113
117
122
126 O
131
135
140
144
400A
449 15th Street, Oakland, CA 94612 | 510.482.4420 | energy-solution.com 2 Scenario(8)
60 Space Office
Code: Reach Code (10%/10%/30%)
4.5 9 14 18 23 27 32 36 41 45 50 54 59 63 68 72 77 81 86 90 95 99 4.5ft x 4.5 ft Non-Charging Space
4.5 Level 1 EV Capable
9 Level 1 EV Ready
14 18 Level 2 EV Capable
23 Level 2 EV Ready
27 Level 2 EVSE
32 36 Electrical Room
41 45 O Main Conduit Outlet
50 54 Electrical Panel
59 63
68 72
77 81 O
86 90
95 99
104
108
113
117
122 O
126 O
131
135
140
144
400 A
Item No. 4
Town of Atherton
CITY COUNCIL STAFF REPORT – CONSENT AGENDA
TO: HONORABLE MAYOR AND CITY COUNCIL
GEORGE RODERICKS, CITY MANAGER
FROM: MIKE GREENLEE, CHIEF BUILDING OFFICIAL
DATE: NOVEMBER 16, 2022
SUBJECT: SECOND READING AND ADOPTION OF AN ORDINANCE TO AMEND TITLE 15 OF THE ATHERTON MUNICIPAL CODE
ADOPTING BY REFERENCE THE 2022 CALIFORNIA BUILDING
STANDARDS CODE, RETAINING EXISTING MODIFICATIONS.
RECOMMENDATION
Adopt the ordinance amending Title 15 of the Atherton Municipal Code and direct the Building Official to file the amendments with State of California as required by law.
BACKGROUND
Utilizing nine-point criteria as provided for in state statute, the California Building Standards Commission (CBSC), through a public hearing process, considers amendments and revisions to the Model Codes from State Regulatory Agencies every three years. Upon CBSC approval, the amended Model Codes are published, and become a part of Title 24 of the California Code of Regulations which are in effect 180 days after publication.
The 2022 California Building Standards Codes that will take effect throughout California on January 1, 2023 (Health and Safety Code (HSC) Section 18938). The Codes specified in the California Code of Regulations, are mandated by the State of California and the Building Official is required to administer and enforce those codes.
The amending of certain portions of Title 15 of the Town of Atherton Municipal Code is necessary to maintain consistency among the new building codes, procedures and terminology and the Town’s existing regulations.
Provisions within California statute (HSC Sections 17958.7 and 18941.5 (b)) allow local agencies the authority to establish more restrictive building standards when reasonably necessary because of local climatic, geologic, or topographical conditions but not the authority to reduce the minimum standards established by the California Code of Regulations.
Building Code Amendments 2022
November 16, 2022
The more restrictive modifications and findings carry forward the current more restrictive fire sprinkler requirements were adopted by the Menlo Park Fire District, which provides fire protection to Atherton and neighboring communities. The specific factors that require and bring forward the more extensive requirements for the installation of fire sprinklers were identified with findings by the Board of the Menlo Park Fire Protection District. Similar finding are set forth in Section 1 of the attached Ordinance.
Adoption
Government Code Section 50022.2 and Health and Safety Code section 17922 requires that local agencies adopt the Building Codes. Because Staff is also recommending re-adopting an administrative appendix by reference and a more restrictive modification to the code by ratifying the Menlo Park Fire Regulations the adopting procedure outlined in Government Code Section 50022.3 should be followed.
Copies of the codes are available at the Town’s Permit Center offices during regular hours.
FISCAL IMPACT
None.
GOAL ALIGNMENT
This Report and its contents are in alignment with the following Council Policy Goals:
• Goal Area F – Be Forward-Thinking, Well-Managed, and Well-Planned
POLICY FOCUS
The reccommendations within this staff report and proposed municipal code amendments are consistent with Town policies.
PUBLIC NOTICE
Public notification was achieved by posting the agenda, with this agenda item being listed, at least 72 hours prior to the meeting in print and electronically. Information about the project is also disseminated via the Town’s electronic News Flash and Atherton Online. There are approximately 1,200 subscribers to the Town’s electronic News Flash publications. Subscribers include residents as well as stakeholders –to include, but be not limited to, media outlets, school districts, Menlo Park Fire Protection District, service provides (water, power, and sewer), and regional elected officials.
COMMISSION/COMMITTEE FEEDBACK/REFERRAL
This item has not been before a Town Committee or Commission
Building Code Amendments 2022
November 16, 2022
ATTACHMENTS
1. Ordinance Amendming Title 15 of the Atherton Municipal Code
2. Menlo Park Fire Protection District Ordiance
Ordinance No. _____
ORDINANCE ______
AN ORDINANCE OF THE CITY COUNCIL OF THE TOWN OF
ATHERTON AMENDING CHAPTERS 15.02 15.04. 15.08, 15.12, 15.16, 15.18,
15.20, 15.22 AND 15.44 IN ORDER TO ADOPT BY REFERENCE THE 2019
CALIFORNIA BUILDING STANDARDS CODE, INCLUDING THE
BUILDING, RESIDENTIAL, ELECTRICAL, PLUMBING, MECHANICAL,
ENERGY, HISTORICAL BUILDING, FIRE (BY RATIFICATION),
EXISTING BUILDING CODES AND CHAPTER 1 DIVISION II OF THE 2022 EDITION OF THE CALIFORNIA BUILDING CODE AS THE
ATHERTON ADMINISTRATIVE CODE
WHEREAS, the California Building Standards Code (CBSC), also known as Title 24 of the California Code of Regulations (CCR), is updated by the California Building Standards Commission from time to time based upon published model codes specified in the California Health and Safety Code; and
WHEREAS, the 2022 CBSC and modifications will take effect on January 1, 2023; and
WHEREAS, local jurisdictions responsible for enforcement of the California Buildings Standards Code must enact local administrative regulations and amendments in order to implement the California Building Standards Code; and
WHEREAS, the City Council wishes to ratify the adoption by Menlo Park Fire Protection District of the new Fire Code with local modification regarding the installation of automatic fire suppression systems and other fire safety enhancements as allowed by the Sections 13869 and 17958 of the California Health and Safety Code;
NOW, THEREFORE, THE CITY COUNCIL OF THE TOWN OF ATHERTON DOES ORDAIN AS FOLLOWS:
Section 1. Findings
The City Council finds and determines that:
A. A duly noticed hearing before the City Council was held on October 19, 2022. Copies of the codes to be adopted are on file and available for inspection.
B. The adoption of these codes is exempt from the California Environmental Quality Act under Section 15061(b)(3) of Title 14 of the California Code of Regulations because it will not have a significant effect on the environment.
C. This ordinance is adopted pursuant to Health and Safety Code Section 17958.5 and 17922.1 and Government Code Sections 50022.2 and 50022.3 D. Greater than normal vulnerability to seismic events and to fire requires the modification of the State Building Standards Code for the protection of the public health, safety and welfare due to local climatic, geologic or topographical conditions as follows:
Ordinance No. _____
1. Climate
The Town, on average, experiences an annual rainfall of 19.7 inches.
This rainfall can be expected between October and April of each year. However, during the summer months there is little, if any measurable precipitation. During this dry period the temperatures are usually between 70 – 95 F degrees with light to gusty westerly winds. These drying winds, combined with the natural and imported vegetation, which is dominant throughout the area, create a hazardous fuel condition that can cause extensive encroaching into these wooded and grass covered areas where wind-driven fires can have severe consequences. Because of variable weather patterns, normal rainfall cannot always be relied upon. This can result in water rationing and water allocation programs, as demonstrated in past drought patterns.
Water shortages may also be expected in the future due to limited water storage capabilities and increased consumption.
2. Geology
The Town is situated on alluvial soils between San Francisco Bay and the San Andreas Fault zones. The location makes older structures particularly vulnerable to damage and caused by seismic events. The relatively young geological processes that have created the San Francisco Bay Area are still active today. Seismically, the District sits between two active earthquake faults (San Andreas and the Hayward/Calaveras), and numerous potentially active faults. A majority of the Town’s land surface is in the high-to-moderate seismic hazard zones.
Bedrock lies beneath the area at depths generally 300 feet or more. The predominant soils patterns increase adverse effects on structures from major seismic events. A significant portion of the Town’s residential and commercial structures are located in seismic risk zones. Fires following an earthquake have the potential of causing greater loss of life and damage than the earthquake itself.
3. Topography.
The Town’s topography does not lend itself to a systematic street and road layout which would promote easy traffic flow, especially during emergencies.
The Town is divided by a major state highway (El Camino Real) and a railroad track. It includes hilly areas and heavily wooded areas with winding roads and numerous cul de sac streets. These conditions are likely to adversely affect response times of emergency personnel during periods of heavy traffic or conditions of major emergencies. The Town’s location on the San Francisco Peninsula, where there is a strong north-south commute pattern between a number of cities and towns on limited transportation corridors, results in very congested roads during peak commute hours. This creates barriers that increase the response time of fire equipment and other emergency services.
4. Built in Automatic Fire Suppression Systems
The increased risk to persons and property from fire makes it necessary to require the installation of built-in automatic fire protection systems that provide early detection and initial control until the arrival of emergency resources.
Ordinance No. _____
During large scale disasters, such as seismic events, these fire protection systems reduce the hazard of the spread of multiple fires to adjacent properties.
Section 2. Section 15.02.010 of the Atherton Municipal Code is hereby amended to read as follows:
Section 15.02.010 Adoption of the Administrative Code, 2022 Edition That certain document, one printed copy of which is on file with the building official of the town, being marked and designated as Chapter 1 of Division II of the 2022 Edition of the California Building Code as published by the International Code Council is adopted and incorporated by reference and made a part of this chapter as if fully set out in this chapter, subject to amendments, deletions and additions to it as provided in this chapter. A copy of the 2022 California Building Code printed in code book form shall be kept on file in the office of the City Clerk.
Section 3. Section 15.04.10 of the Atherton Municipal Code is hereby amended to read as follows:
15.04.010 Adopted.
That a certain document, one copy of which is on file in the office of the Building Official of the Town, being marked and designated as the 2022 California Building Code, Volumes 1 and 2 (Title 24, Part 2), and the 2022 California Residential Code (Title 24, Part 2.5) with Appendix Chapters G (Swimming Pools and Hot Tubs), H (Patio Covers) & J (Existing Buildings) as published by the International Code Council and adopted by the California Building Standards Commission as Title 24 California Code of Regulations, is adopted as the Building Code of the Town for regulating the erection, construction, enlargement, alteration, repair, moving, removal, demolition, conversion, occupancy, equipment, use, height, area and maintenance of all buildings and/or structures in the Town; control of excavation and grading; providing for the issuance of permits and collection of fees; providing penalties for violation of such code; and each and all of the regulations, provisions, penalties of such 2022 California Building Code, and the 2022 California Residential Code and are referred to, adopted and made a part of this chapter as if fully set out in this chapter, subject to the amendments, deletions and additions thereto, as provided in this chapter.
Section 4. Section 15.08.010 of the Atherton Municipal Code is hereby amended to read as follows:
15.08.010 Adoption of the California Electrical Code, 2022 Edition That certain document, one copy of which is on file in the office of the Building Official of the Town, being marked and designated as the"2022 California Electrical Code," California Code of Regulations, Title 24, Part 3, is adopted as the Electrical Code of the Town for the purpose of providing for the issuance of permits for the installation or alteration of electrical systems, and the collection of fees for the same, defining certain terms, establishing minimum regulations for the installation or alterations or additions or repairs of electrical systems and the inspection thereof, providing penalties for its violation; and each and all of the regulations , provisions, penalties, conditions and terms of such 2022 California Electrical Code, are referred to, adopted and made
Ordinance No. _____
part of this chapter as if fully set out in this chapter, subject to the amendments, deletions and additions thereto, as provided in this chapter.
Section 5. Section 15.12.010 of the Atherton Municipal Code is hereby amended to read as follows:
15.12.010 Adoption of the California Plumbing Code, 2022 Edition That certain document, one copy of which is on file in the office of the Building Official of the Town, being marked and designated as the"2022 California Plumbing Code," including Appendix Chapters as published by the International Association of Plumbing and Mechanical officials, and adopted by the California Building Standards Commission as Title 24, California Code of Regulations, Part 5, is adopted as the Plumbing Code of the Town, requiring a permit for the installation or alteration of plumbing and drainage systems; defining certain terms; establishing minimum regulations for the installation or alteration or addition or repairs of plumbing and drainage systems and the inspection thereof, providing penalties for its violation; and each and all of the regulations, provisions, penalties, conditions and terms of the 2022 California Plumbing Code are referred to, adopted and made a part of this chapter, as if fully set out in this chapter, subject to the amendments, deletions, and additions thereto, as provided in this chapter.
Section 6. Chapter 15.16.010 of the Atherton Municipal Code is hereby amended to read as follows
15.16.010 Adoption of the California Mechanical Code, 2022 edition That certain document, one copy of which is on file in the office of the Building Official of the Town, being marked and designated as the "2022 California Mechanical Code," including Appendix Chapters, as published by the International Association of Plumbing and Mechanical officials, and adopted by the California Building Standards Commission as Title 24, Part 4, California Code of Regulations, is adopted as the Mechanical Code of the Town in order to provide complete requirements for the installation and maintenance of heating, ventilating, cooling and refrigeration systems; and each and all of the regulations, provisions, and penalties of such 2022 California Mechanical Code, are referred to, adopted and made a part of this chapter as if fully set out in this chapter, subject to the amendments, deletions and additions thereto, as provided in this chapter.
Section 7. Chapter 15.18.010 of the Atherton Municipal Code is hereby amended to read as follows:15.18.010
Adoption of the California Energy Code, 2022 edition
That certain document, one copy of which is on file in the office of the Building Official of the Town, being marked and designated as the “2022 California Energy Code”, including Appendix Chapter 1-A, as published by the California Building Standards Commission and identified as California Code of Regulations Title 24, Part 6, is adopted as the Energy Code for the Town regulating energy efficiency and conservation for all buildings and structures and each and all of the regulations, provisions, and penalties of such 2022 California Energy Code, are referred to, adopted and made a part of this chapter as if fully set out in this chapter, subject to the amendments, deletions and additions thereto, as provided in this chapter.
Ordinance No. _____
Section 8. Chapter 15.20.010 of the Atherton Municipal Code is hereby amended to read as follows:
15.20.010 Adoption of the California Historical Building Code, 2022 edition That certain document, one copy of which is on file in the office of the Building Official of the Town, being marked and designated as the 2022 California Historical Buildings Code, as published by the International Code Council, and adopted by the California Building Standards Commission as California Code of Regulations Title 24, Part 8, regulating construction in an effort to preserve the character and nature of Historical Buildings within the Town.
Section 9. Chapter 15.22.010 of the Atherton Municipal is hereby added to read as follows:
15.22.010 California Fire Code Ratified.
The Menlo Park Fire Protection District Ordinance Number 48-2022 entitled District Fire Prevention Code, which adopts the 2022 California Fire Code (based on the 2021 International Fire Code) codified as Title 24 of the California Code of Regulations Part 9), with local amendments in response local conditions, is herby ratified.
Section 10. Chapter 15.44.010 of the Atherton Municipal Code is hereby amended to read as follows:
15.44.010. Adoption of the California Existing Buildings Code, 2022 edition.
That certain document, one copy of which is on file in the office of the Building Official of the Town, being marked and designated as the “2022 California Existing Buildings Code” Appendix Chapter A1, as published by the International Code Council and adopted by the California Building Standards Commission, as California Code of Regulations Title 24, Part 10, is adopted as the code for the maintenance of existing buildings and structures throughout the Town that are constructed of Unreinforced Masonry and establishing a program for the same.
Section 11. Except as hereby amended, said Atherton Municipal Code as amended shall be and remain in full force and effect.
Section 12. If any section, subsection, sentence, clause, phrase, or portion of this ordinance or the application thereof to any person or circumstances is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the validity of the remaining portions hereof nor other applications of the ordinance which can be given effect without the invalid provision or application, and to this end the provisions of this ordinance are declared to be severable.
Section 13. This Ordinance shall be posted as required by law within the Town of Atherton and shall be effective on January 1, 2023.
* * * * * * * * * * * * *
Ordinance No. _____
I hereby certify that a public hearing of the foregoing ordinance was held at a regular meeting of the City Council of the Town of Atherton held on October 19, 2022 and was adopted by said City Council at a regular meeting held on DATE, by the following roll call vote:
AYES: Council Members:
NOES: Council Members:
ABSENT: Council Members:
ABSTAIN: Council Members:
______________________________
Rick DeGolia, MAYOR
Town of Atherton
ATTEST:
_____________________________
Anthony Suber, City Clerk
APPROVED AS TO FORM:
_____________________________
Mona Ebrahimi, City Attorney
MENLO PARK FIRE PROTECTION DISTRICT
ORDINANCE NO. 48-2022
DISTRICT FIRE PREVENTION CODE
For the Town of Atherton
AN ORDINANCE OF THE MENLO PARK FIRE PROTECTION DISTRICT ADOPTING THE 2021 EDITION OF THE INTERNATIONAL FIRE CODE WITH THE 2022 CALIFORNIA FIRE CODE AND LOCAL AMENDMENTS.
WHEREAS, pursuant to Title 24 of the California Code of Regulations, also known as the California Building Standards Code (“CBSC”) and California Health and Safety Code Section 13869 et seq., a fire protection district may adopt a fire prevention code by reference and may also, when reasonably necessary due to local climatic, geological or topographical conditions, establish more stringent local building standards relating to fire and safety than those set forth in the CBSC; and
WHEREAS, pursuant to California Health and Safety Code sections 18941.5 and 17958, the Board of Directors of the Menlo Park Fire Protection District hereby finds that the amendments adopted herein are reasonably necessary because of local climatic, geologic, and topographic conditions; and
WHEREAS, the Menlo Park Fire Protection District is required to formally adopt a Fire Code, and to comply with California Health and Safety Code Sections, 13143.5, 13145, and 13146, for the enforcement provisions of the California Fire Code; and WHEREAS, the Menlo Park Fire Protection District (the “District”) now desires to adopt by reference an amended and restated District Fire Prevention Code that makes local amendments to the 2022 Edition of the California Fire Code based upon the 2021 Edition of the International Fire Code, and
WHEREAS, this Ordinance was introduced and was adopted after the holding of a public hearing pursuant to California Health and Safety Code Section 13869.7 and California Government Code Section 50022.3.
WHEREAS, the Town of Atherton agrees to ratify and implement this adoption by reference
NOW, THEREFORE, the Board of Directors of the Menlo Park Fire Protection District ordains as follows:
SECTION 1: LOCAL CLIMATIC GEOLOGICAL AND TOPOGRAPHICAL
CONDITIONS
Pursuant to Section 17958.5 and 17958.7 of the State of California Health and Safety Code, the Board of Directors of the Menlo Park Fire District finds that the below changes or modifications are needed and are reasonably necessary because of certain local climatic, geological and topographic conditions as follows:
Finding 1: Climatic
The District, on average, experiences an annual rainfall of 19.7 inches. This rainfall can be expected between October and April of each year. However, during the summer months there is little, if any measurable precipitation. During this dry period the temperatures are usually between 70 – 95 F degrees with light to gusty westerly winds. These drying winds, combined with the natural and imported vegetation which is dominant throughout the area, create a hazardous fuel condition that can cause extensive encroaching into these wooded and grass covered areas where wind-driven fires can have severe consequences. This has been demonstrated in a number of like climatic areas within the State of California and the western United States.
Because of variable weather patterns, normal rainfall cannot always be relied upon. This can result in water rationing and water allocation programs, as demonstrated in past drought patterns.
Water shortages may also be expected in the future due to limited water storage capabilities and increased consumption. The District is bounded by San Francisco Bay on the east and the foothills of the Santa Cruz Coastal Range of mountains on the west. This setting allows for strong gusty winds to blow through the Fire District. These winds are a common occurrence each afternoon during summer months. Wind increases a fire’s ability to spread and has been attributed to the rapid spread of both vegetation and structure fires. Automatic fire sprinkler protection as required in buildings specified in Chapter 9 of the Fire Code and the local requirements and standards of Menlo Park Fire Protection District would significantly reduce the fire’s ability to spread rapidly, especially when the jurisdiction is affected by the typical wind patterns.
Finding 2: Geologic and Geographic
A. Geographic Location. The District is located at the southeastern most part of San Mateo County.
B. Seismic Location. The District is situated on alluvial soils between San Francisco Bay and the San Andreas Fault zones. The location makes it particularly vulnerable to damage to taller and older structures caused by seismic events. The relatively young geological processes that have created the San Francisco Bay Area are still active today.
Seismically, the District sits between two active earthquake faults, the San Andreas fault and the Hayward/Calaveras fault, and numerous potentially active faults. A majority of the District’s land surface is in the high-to-moderate seismic hazard zones, as established by the U.S. Geological Survey.
C. Seismic and Fire Hazards. Fires following an earthquake have the potential of causing greater loss of life and damage than the earthquake itself. A significant portion of the District’s residential, commercial and industrial structures are located in seismic risk zones. Should a significant seismic event occur, fire suppression resources would have to be prioritized to mitigate the greatest threat, and may not be available for every structural
fire. In such an event, individual structures should be equipped to help in mitigation of the risk of damage.
Other variables could aggravate the situation: (i) the extent of damage to the water system; (ii) the extent of isolation due to bridge and/or freeway overpass collapse; (iii) the extent of roadway damage and/or amount of debris blocking the roadways; (iv) climatic conditions (hot, dry weather with high winds); (v) time of day will influence the amount of traffic on roadways and could intensify the risk to life during normal business hours; and; (vi) the availability of timely mutual aid or military assistance.
D. Waterways. The Fire District’s south and east boundary lines are waterways, the south side being the San Francisquito Creek, and the east side being the San Francisco Bay.
Both waterways are influenced by tides. The San Francisquito Creek is fed from Searsville Dam, located along the Jasper Ridge, and also collects water from storm drains along its drainage pathway. The creek finally empties into San Francisco Bay, and is therefore influenced by tidal activity. During periods of heavy rainfall in combination with high tides in the Bay, San Francisquito Creek has overflowed its banks, causing floods in both East Palo Alto and Menlo Park. The floods have hampered fire apparatus making a timely response to emergencies and providing needed service to the community. Proper roadway widths as defined in Chapter 5 of the Fire Code and the minimum roadway standards established by Menlo Park Fire District can provide fire apparatus with accessibility while helping to divert excess water flow during rainy seasons.
E. Transportation. The District is dissected by a major state highway (El Camino Real) and two major interstate freeways (I-280 and U.S. 101). However, the interconnecting road system is significantly less well developed. These conditions are likely to affect response times of fire suppression personnel and apparatus during periods of heavy traffic or conditions of major emergencies.
The Fire District is also split in half by an active railway that serves commuters during daylight hours and transports freight in the evening. There are seven railroad crossings that allow fire apparatus to cross from one side of the Fire District to the other. The railroad limits the Fire District’s ability to not only make a timely response to an emergency, but also hampers our ability to provide a safe number of fire fighters to the scene of an emergency to begin operations that are compliant with Cal-OSHA Safety Regulations. Again, a structure’s ability to control a fire or emergency condition with fire sprinkler protection, would play a key role in reducing losses.
A single toll bridge connects the Fire District with a substantial workforce that resides in Alameda County. This single point source connection significantly adds to traffic congestion through the jurisdiction during commute hours. With alternative work schedules, commute hours may last from 5:00 am through 7:00 pm, with significant traffic backups also noted during the lunch hour.
F. Soil Conditions. The District lies near the southern end of San Francisco Bay and is built atop the alluvial deposits that surround the margins of the Bay. The alluvium was created by the flooding of the many streams emptying into the San Francisco Bay depression, and from intermittent sea water inundation occurring over the last two or three million years.
The areas closest to the Bay are overlain by unconsolidated fine silty clay, known as Bay Mud which varies in thickness from a few feet to as much as 30 feet. Generally, the older more stable alluvium is to the south and the younger less stable material is to the north.
Bedrock lies beneath the area at depths generally 300 feet or more. The predominant soils patterns actuate the adverse effects on structures that may be expected from major seismic events.
G. Building Design. Many of the older and taller buildings are of designs which greatly limit accessibility by District resources. This includes large narrow parcels that have been subdivided into “flag-lots” on narrow residential streets.
The infrastructure that supports these buildings is old and not in compliance with current Codes. Some water purveyors and water mains in residential and commercial areas deliver water supplies that do not meet fire flow requirements required by Appendix B of the Fire Code. Some fire hydrant locations in both residential and commercial do not meet distance requirements of Appendix C of the Fire Code. This will not only hamper fire suppression operations, but limits building design. When water supplies must be altered to accommodate new construction, Menlo Park Fire District Standards on Underground Water Piping and the Standard on Water Supplies attempt to work with the existing infrastructure to accommodate the needs of fire fighters.
Residential properties in the Fire District consist primarily of one-acre or smaller parcels, flag lots and single and multi-family infill developments. Common to the larger parcels is the development of additional residential or in-law type occupancies for which fire department access is difficult based on existing driveway configurations for the original single- family parcels. Flag lots, for example, typically have driveways in excess of 150 feet, with narrow access, necessitating additional requirements, which the Fire District has added to Section 503, by creating Standards for driveways and private roadways that includes minimum driveway widths, fire apparatus turnaround specifications, and minimum vertical clearances. Areas in the District have older narrow roads, less than 20 feet wide and unimproved sidewalks or gutters, and allow parking on both sides. Parking is a regional issue which plagues the streets causing streets to be narrow allowing only one vehicle to pass. Regional traffic has increased causing neighborhoods to be flooded with increased pass through traffic, reducing alternative emergency response routes.
Neighborhoods are increasing traffic control measure installations which also increase emergency response times. Additionally, fire department response times are increased due to gated access roads, a lack of street or address illumination, and existing vegetation barriers. Section 505.1 provides minimum standards for addresses on buildings and now requires new buildings to have illuminated addressing. However, neighborhood street lighting continues to be an issue.
Proper roadway widths as required by Chapter 5 and Appendix D of the Fire Code, along with minimum Menlo Park Fire District Fire Prevention Code, would allow fire apparatus to set up fire suppression operations and access both driveways that extend greater than 150 feet, and private roadways serving minor developments.
With the aging infrastructure, many water supplies do not meet current fire flow requirements. When redevelopment occurs, compliance to Fire Code Section 507 in addition to Menlo Park Fire District Fire Prevention Code on Water Supplies and on Underground (Piping) Standards is required. The Water Supply Standard provides for the type and size of the approved fire hydrant, its location in relationship to “flag-lots”, and placement of “blue-dots” to indicate their placement.
Due to the close proximity to San Francisco Bay, salt content in the soil is highly corrosive. Menlo Park Fire District’s Underground Standards provides requirements for underground piping of both fire hydrant installations as well as underground piping for automatic fire sprinkler system.
Finding 3: Topographical
The District’s topographic conditions are closely associated with the geological /geographical element. With the elevation changes within the District, development has followed the path of least resistance, creating a meandering pattern. This circumstance does not lend itself to a good systematic street and road layout, which would promote easy traffic flow. It has, in fact, resulted in few major cross-town thoroughfares that tend to be heavily congested, primarily during commute hours and seasonal periods of the year. This creates barriers that reduce the response time of fire equipment and other emergency services.
The topography of the District is also challenged by major development patterns. Employment areas are located adjacent to and throughout the jurisdiction. The people who work in these areas have added to the traffic congestion in the District thereby reducing the District’s response time capabilities.
Inherent delays caused by these traffic patterns make it necessary to mitigate these problems with greater requirements for built-in automatic fire protection systems, noted in Section 903 of the Fire Code, along with local requirements and standards. In addition, the Fire District has added Fire Alarm maintenance requirements, specifically UL Certification noted in Section 907, to reduce false alarms and insure system reliability.
Finding 4
The climatic conditions along the Peninsula affect the acceleration, intensity and size of a fire within the jurisdiction. Times of little or no rainfall, low humidity, and high temperatures have created extremely hazardous fire conditions, particularly as they relate to roof fires and conflagrations. The winds experienced in the Fire District can have a tremendous impact upon structure fires by carrying sparks and burning brands to other structures, thus spreading the fire and causing conflagrations. In building fires, winds can literally force the fire back into the
structure, creating a blow torch effect, in addition to preventing the natural and cross ventilation efforts of firefighters. In 1997, a fire at Green Oaks School in East Palo Alto resulted in a multimillion-dollar loss. The fire’s unusually rapid spread was attributed to wind conditions occurring at the time of the fire. Other fires within the jurisdiction’s housing tracts have also experienced unusually rapid spread due to the gusty winds that occur daily off the San Francisco Bay.
Finding 5
By the use of automatic early fire detection and suppression systems, the Fire District will have the ability to curb losses of life and property attributed to the local climate’s influence on fires.
With the use of an early, automatic fire suppression system, major fire losses can be controlled.
For example, in 1989, a flammable liquid fire occurred at Romic Environmental Services, a former chemical recycling company that was located at the south end of the Fire District. The area suspected as the point of the fire’s origin was an open-air, un-sprinklered building subject to wind conditions. The fire grew rapidly. It was finally brought under control several hours after discovery, with the assistance of neighboring fire departments and resulted in a multi-milliondollar loss of property, equipment and product. Two years later, after the area had been rebuilt and retrofitted with an automatic fire sprinkler system, another fire occurred at the same location.
This fire was contained to a single piece of equipment and was controlled by one fire crew.
Finding 6
The geological conditions experienced within the Fire District increase the magnitude, exposure and accessibility to fire events. For example, a fire following an earthquake has the potential of causing greater loss of life and damage than the earthquake itself. Hazardous materials, particularly toxic gases, could pose the greatest threat to the largest number of people, should a significant seismic event occur. Fire protection resources would have to be prioritized to mitigate the greatest threat, and may likely be unavailable for smaller single-family dwelling or smaller business occupancy fires. Other variable conditions could include damage to the water system, freeway overpass collapse, roadways blocked by debris, and time of day, which could affect traffic patterns during or after the event.
In 1989 a 7.0 magnitude earthquake struck the San Francisco Bay Area via the San Andres Fault.
For three hours following the event, firefighters from Menlo Park Fire District responded to over 100 incidents per hour. Though during this event, losses in the Fire District due to fire were minimal, however other neighboring jurisdictions were not as lucky. Had automatic fire sprinkler protection been a requirement at the time, it could have assisted firefighters in setting their priorities and assisting those citizens who needed emergency services the most.
Finding 7
Heavy traffic congestion on city streets already acts as a barrier to the timely response of fire equipment and emergency services. Continued growth, both residential and commercial from both inside and outside the Fire District will only serve to continue the traffic problem. In the event of an accident or other emergency at certain key point intersections, portions of the Fire
District could be isolated or response times could be sufficiently slowed, thus increasing the risk of substantial injury and damage.
A year long time study of response times for fire apparatus indicates significant increases in response to emergencies during the commute hours of 6:00 am to 10:00 am and again from 3:00 pm to 7:00 pm. In conjunction with the increased response time, fire losses also showed the same pattern of higher losses for fires starting during commute hours. From 2003 to 2012, the Fire District experienced 22 structural fires where the property loss was greater than $300,000.
From 2013 to July 2016, 40% of dollar loss occurred during commute traffic time. A $2,561,485 loss of $6,389,086 during this time, indicating significant losses that could be directly attributed to typical traffic congestion experienced within the Fire District.
If fire apparatus is hindered in their response, automatic fire sprinkler protection will help.
According to IFSTA Training Manuals, the temperature inside a structure can go from ambient to an excess of 1,000 degrees F within the first ten minutes of a fire. Delay of fire apparatus will only allow the fire to grow, thus making efforts to suppress the fire more difficult. Additionally, the ability to perform an effective rescue is diminished if fire fighters are delayed in their response. With an automatic fire sprinkler protection system in place, the fire should be held to a controllable level, allowing the ability of citizens to escape from the burning structure, as well as allowing firefighters to contain the fire in a safe manner in its beginning stages.
Finding 8
It is due to these climatic, geographical and topographical conditions that the Fire District supports the need for structures within the jurisdiction to at least be capable of initial fire suppression capacity.
Finding 9
For the above reasons, taken individually and cumulatively, that the Board of Directors of the Menlo Park Fire Protection District finds there to be building and fire hazards particular to the jurisdiction that require the increased fire protection detailed as set forth in this Ordinance.
SECTION 2: TITLE, ENFORCEMENT & RECORDKEEPING
This set of regulations, including provisions adopted and incorporated by reference, shall be known as the "District Fire Prevention Code" of the Menlo Park Fire Protection District (“the District”) and may be cited as such. It is also referred to as the “Fire Code” in these regulations.
A. No section of the Fire Prevention Code shall impose a mandatory duty of enforcement on the Fire District, or on any officer, official, agent, employee, board, or commission thereof. Instead, if any section purports to impose a mandatory duty of enforcement, said section shall be deemed to invest the Fire District, and the appropriate officer, official, agent, employee, board, council, or commission with discretion to enforce the section, or not to enforce it.
B. A copy of the Fire Prevention Code, as defined herein, shall be kept on file in the office of the Menlo Park Fire Protection District Fire Marshal.
SECTION 3: AUTHORITY
The District Fire Prevention Code is adopted pursuant to the Fire Protection District Act of 1987 (California Health and Safety Code Sections 13800 et seq.) and in particular the following provisions of that Act:
A. Section 13861(h), which empowers the District to adopt ordinances; B. Section 13861(i), which empowers the District to establish and enforce rules and regulations for the administration, operation and maintenance of the governmental services which it is authorized to provide;
C. Section 13862, which empowers the District to provide certain governmental services including fire protection services;
D. Section 13869, which empowers the District to adopt a fire prevention code by reference; Section 13870, which empowers the District's authorized representatives to order correction or elimination of fire and life hazards;
E. Section 13871(b), which provides that failure to correct or eliminate a fire or life hazard after a duly issued order is a misdemeanor;
F. Section 13872, which empowers the District's authorized representatives to issue citations for certain violations;
G. Section 13873, which provides that the District's employees shall have the powers of peace officers while engaged in the prevention and suppression of fires and the preservation of life and property; and,
H. Sections 13916, 13917, 13918 and 13919, which, among other things, empower the District’s Board of Directors to charge a fee to cover the cost of any services, which the District provides and the cost of enforcing any regulation for which a fee is charged.
SECTION 4: ADOPTION BY REFERENCE
A. The Menlo Park Fire Protection District hereby adopts the 2022 California Fire Code (California Code of Regulations, Title 24, Part, 9 [based on the 2021 International Fire Code published by the International Code Council]), with California Amendments as amended, including Appendix D except to the extent portions of the CFC may be added, deleted, modified or amended by Section 6 (Local Amendments) of this Code. The 2022 California Fire Code, with the changes, additions, and deletions set forth this ordinance, is adopted by this reference as though fully set forth in this ordinance. As of the effective date of this ordinance, the provisions of the fire code are controlling and enforceable within the limits of each town or city within the jurisdiction of the District.
B. The Menlo Park Fire Protection District hereby adopts the 2022 California Fire Code (California Code of Regulations, Title 24, Part, 9 [based on the 2021 International Fire Code published by the International Code Council]), with California Amendments as amended, together with the non-building standards reproduced therein except otherwise provided by this ordinance, are adopted by reference as the Fire Code of the Menlo Park Fire Protection District. This Code including all amendments thereto, shall hereafter be
called the “Fire Code,” and/or this “Code” and are adopted as and for the rules, regulations, and standards within the Jurisdiction as to all matters therein, except otherwise provided.
SECTION 5: AUTHORITY AND DUTIES OF THE BUREAU OF FIRE PREVENTION
AND LIFE SAFETY
The California Fire Code, including California Fire Code Standards as adopted and amended herein, shall be enforced by the Menlo Park Fire Protection District and managed by the Bureau of Fire Prevention and Life Safety, and shall operate under the direction of the Fire Chief and the Fire Marshal of the Menlo Park Fire Protection District. Both Fire Officers shall be known as the Fire Code Officials.
SECTION 6: LOCAL AMENDMENTS, MODIFICATIONS AND DELETIONS TO THE
CALIFORNIA FIRE CODE
Based upon the findings of the Board of Directors of the Menlo Park Fire Protection District regarding local climatic, topographical, and geological conditions, the following sections and/or subsections of the 2022 California Fire Code and the 2021 International Fire Code are amended or modified as set forth in this section. If a section is not referenced below, it remains unchanged.
SECTION 101 SCOPE AND GENERAL REQUIREMENTS is amended to read as follows:
101.1 Title. These regulations shall be known as the 2022 CALIFORNIA FIRE CODE, and with amendments adopted by the Menlo Park Fire Protection District, will be referred to herein as the “CODE,” and/or the “FIRE PREVENTION CODE.”
101.6 Standards and Guidelines Manual is added to read as follows:
101.6 Standards and Guidelines Manual. The Bureau of Fire Prevention and Life Safety Standards and Guidelines Manual (“Standards and Guidelines Manual”) shall serve as a supplemental instruction and interpretation manual for the Fire Prevention Code and is hereby adopted by reference. The Fire Marshal is responsible to amend this manual as necessary to maintain current instructions and interpretations. The information contained within the Standards and Guidelines Manual shall not be construed to make new code requirements not authorized by this ordinance.
SECTION 102.6 HISTORIC BUILDINGS is added and amended to read as follows:
102.6 The provisions of this code relating to the construction, alteration, repair, enlargement, restoration, relocation or moving of buildings or structures shall not be mandatory for existing buildings or structures identified and classified by the state or local jurisdiction as historic
buildings where such buildings or structures do not constitute a distinct hazard to life or property.
Fire protection in designated historic buildings shall be provided in accordance with the California Historic Building Code.
SECTION 107 FEES is added and amended to read as follows:
107.1 The fees for the permits and other services shall be established by resolution of the Menlo Park Fire Protection District Fire Board Fee Schedule (“Fee Schedule”). The fee shall be set to cover the cost of the Fire District to review and inspect the intended activities, operations or functions.
Exception: Fees for a permit may be waived at the discretion of the Fire Chief when the work or event to be conducted is for the Town of Atherton, City of East Palo Alto, City of Menlo Park or County of San Mateo.
107.2 Schedule of permit fees. Where a permit or other inspection fee is required, a fee for each permit shall be paid as required, in accordance with the Menlo Park Fire Protection District Fee Schedule.
SECTION 111 MEANS OF APPEALS is amended to read as follows:
111.1 Board of Appeals established. All decisions and rulings of the Fire Code Official are final and any appeals shall be made through the legal process.
SECTION 112 VIOLATIONS is amended to read as follows:
SECTION 112.4 Violation Penalties is added and amended to read as follows:
112.4 Violation penalties. Persons who shall violate a provision of this code or shall fail to comply with any of the requirements thereof or who shall erect, install, alter, repair or do work in violation of the approved construction documents or directive of the fire code official, or of a permit or certificate used under provisions of this code, shall be guilty of a misdemeanor, punishable by a fine of not more than $1000 or by imprisonment not exceeding 6 months, or both such fine and imprisonment. Each day that a violation continues after due notice has been served shall be deemed a separate offense.
112.4.1 Abatement of violation. In addition to the imposition of the penalties herein described, the fire code official is authorized to institute appropriate action to prevent unlawful construction or to restrain, correct or abate a violation; or to prevent illegal occupancy of a structure or premises; or stop an illegal act, conduct of business or occupancy of a structure on or about any premise.
SECTION 202 GENERAL DEFINITIONS are amended to add the following:
All Weather Driving Surface. A roadway designed to carry the imposed weight loads of fire apparatus complete with all underground utilities, curbs, gutters, and a minimum surface finish of one layer of asphalt or concrete or road pavers.
Essential Service Facility. Shall mean that building or structure which has been designated by the local government to house facilities that are necessary for emergency operations.
Fire Code Official. The fire code official shall mean the District's Fire Chief, employees of the District’s Fire Prevention and Fire Suppression Divisions and such other representatives of the District as may be authorized by the Menlo Park Fire District Board of Directors or the Fire Chief.
Floor Area, Gross. The floor area within the inside perimeter of the exterior walls of the building under consideration, exclusive of vent shafts and courts, without deduction for corridors, stairways, closets, the thickness of interior walls, columns or other features. The floor area of a building, or portion thereof, not provided with surrounding exterior walls shall be the usable area under the horizontal projection of the roof or floor above. The gross floor area shall not include shafts with no openings or interior courts.
Areas to be included in the new gross floor area square footage calculation include:
1. Garages or carports if under a habitable space, or covers egress
2. New attached garage
3. All additions
4. Total square footage of any room that received alterations or additions. Removing sheetrock exposing structural framing or any structural change in a room involves the total square footage of that room.
Existing square footage shall be obtained from the San Mateo County Tax Assessor’s Office or may be submitted by a licensed architect.
Jurisdiction. Jurisdiction shall mean the territorial boundaries of the Menlo Park Fire Protection District. In that case “Jurisdiction” would mean, as appropriate, the County of San Mateo, the City of East Palo Alto, the City of Menlo Park and the Town of Atherton. The Fire District’s map book shall be adopted by reference to indicate the territorial boundaries of the Menlo Park Fire Protection District.
Except where in the code the term "jurisdiction" is used in a context which implies the ability to exercise governmental powers, such as “the authority having jurisdiction,” then in that context "jurisdiction" shall mean the particular public agency authorized to and exercising that governmental power.
Local Law Enforcement. “Local law enforcement” shall mean the local police departments of the City of East Palo Alto, the City of Menlo Park, the Town of Atherton, the San Mateo County Sheriff’s Department, and the California Highway Patrol.
Substantial Alteration. The renovation of any structure and/or which combined with any additions to the structure, affects a gross floor area which exceeds fifty percent (50%) of the existing floor area of the structure. This may include but is not limited to:
1. Removal of exterior walls and/or roof assembly
When any structural changes are made to the building, such as walls, columns, beams or girders, floor or ceiling joists and covering, roof rafters, roof diaphragms, foundations, piles or retaining walls or similar components, the floor area of all rooms affected by the changes shall be included in computing floor areas for purposes of applying this definition. This definition does not apply to the replacement and upgrading of residential roof coverings.
SECTION 308.3.2 THEATRICAL PERFORMANCES is added and amended to read as follows:
308.3.2 Theatrical performances. Where approved, open-flame devices used in conjunction with theatrical performances are allowed to be used where adequate safety precautions have been taken in accordance with NFPA 160 and Title 19 CCR.
SECTION 324 MOBILE FOOD PREPARATION VEHICLES is added to read as follows:
SECTION 324.1 HEALTH DEPARTMENT APPROVAL
324.1 Health department approval. Mobile food preparation vehicles shall display a San Mateo County Health Department sticker as prescribed by County Health.
SECTION 403.11 SPECIAL REQUIREMENTS FOR PUBLIC SAFETY is added in its entirety.
403.11 Special requirements for public safety. Special requirements for public safety shall be in accordance with Sections 403.11.1 through 403.11.3.3.
CHAPTER 5 IS ADOPTED IN ITS ENTIRETY AND AMENDED BELOW:
SECTION 501.1 SCOPE. AMENDED
501.1 Scope. Fire service features for buildings, structures and premises shall comply with this chapter, and appendix D.
SECTION 503 FIRE APPARATUS ACCESS ROADS is amended to read as follows:
503.1 Where required. Fire apparatus access roads shall be provided and maintained in accordance with Sections 503.1.1 through 503.1.3 and according to The Bureau of Fire Prevention and Life Safety Standards and Guidelines Manual.
SECTION 503.1.1 BUILDINGS AND FACILITIES is amended to read as follows:
503.1.1 Approved fire apparatus access roads shall be provided for every facility, building or portion of a building hereafter constructed or moved into or within the jurisdiction. The fire apparatus access road shall comply with the requirements of this section and Appendix D, and shall extend to within 150 feet (45 720 mm) of all portions of the facility and all portions of the exterior walls of the first story of the building as measured by an approved route around the exterior of the building or facility.
Exceptions: No Changes
503.1.1.2 is added to read as follows: Nothing in the California Fire Code shall prevent the Town or City from designating or maintaining a street as a “Fire Lane” which does not meet the requirements of a fire apparatus access road under the California Fire Code. 503.3 Marking. Where required by the fire code official, approved signs and markings designating fire lanes shall comply with California Vehicle Code section 22500.1. The designation shall be indicated (1) by a sign posted immediately adjacent to, and visible from, the designated place clearly stating in letters not less than one inch in height that the place is a fire lane, (2) by outlining or painting the place in red and, in contrasting color, marking the place with the words "FIRE LANE", which are clearly visible from a vehicle, or (3) by a red curb or red paint on the edge of the roadway upon which is clearly marked the words "FIRE LANE".
Signs and markings shall not be obstructed, and shall be maintained in a clean and legible condition at all times and be replaced or repaired when necessary to provide adequate visibility. 503.7 - Restrictions and requirements as specified in the California Vehicle Code shall apply to fire lanes established by this section.
SECTION 505 PREMISES IDENTIFICATION is amended to read as follows:
505.1 Address Identification. New and existing buildings shall have approved address numbers, building numbers or approved building identification placed in a position that is plainly legible and visible from the street or road fronting the property. These numbers shall contrast with their background. Address numbers shall be Arabic numerals or English alphabet letters. Numbers shall not be spelled out. Where required by the fire code official, address identification shall be
provided in additional approved locations to facilitate emergency response. Where access is by means of a private road and the building cannot be viewed from the public way, a monument, pole or other sign or means shall be used to identify the structure. Address identification shall be maintained. Said numbers shall be either internally or externally illuminated in all new construction. Numbers shall be as follows:
1. Minimum of one-half inch (1/2″) stroke by eight inches (8″) high.
Exception: Single-Family dwelling minimum of one-half inch (½”) stroke by four inches (4”) high.
2. When the structure is more than fifty (50) feet from the street or fire apparatus access, a minimum of one-inch (1”) stroke by twelve inches (12″) high is required.
SECTION 505.1.1 Multi-tenant buildings is added to read as follows:
505.1.1 Multi -Tenant Buildings. Numbers or letters shall be designated on all occupancies within a building. Size shall be one-half inch (1/2″) stroke by four inches (4″) high and on a contrasting background. Directional address numbers or letters shall be provided. Said addresses or numbers shall be posted at a height no greater than 5 feet, 6 inches (5′ 6″) above the finished floor and shall be either internally or externally illuminated in all new construction.
SECTION 505.1.2 Rear Addressing is added to read as follows:
505.1.2 Rear Addressing. When required by the fire code official, approved numbers or addresses shall be placed on all new and existing buildings in such a position as to be plainly visible and legible from the fire apparatus road at the back of a property or where rear parking lots or alleys provide an acceptable vehicular access. Number stroke and size shall comply with 505.1.
SECTION 506 KEY BOXES is amended to read as follows:
506.1 Where required. Where access to or within a structure or an area is restricted because of secured openings or where immediate access is necessary for life-saving or fire-fighting purposes, the fire code official is authorized to require a key box to be installed in an approved location and shall be at a height not more than 6 ft. above the finished floor The key box shall be of an approved type listed in accordance with UL 1037, and shall contain keys to gain necessary access as required by the fire code official. Where a new gate or barrier is installed on a fire access roadway, the fire department shall have emergency access. Gates or barriers shall have a Knox® key switch.
SECTION 506.3 Key Box contents requirements is added to read as follows:
506.3 Key box contents requirements. The keys provided shall be a master key to all spaces including multi-tenant spaces. Additional keys shall be included for card access, elevator control, fire alarm control panels, and fire sprinkler control valve access.
Exceptions:
1. Multi-tenant spaces which provide a key box for each tenant and installed per Section 506.1.
2. Electronic card keys and codes may not be utilized as a substitute for manual keys.
SECTION 508.2 FIRE CONTROL ROOM is added to read as follows:
508.2 Fire control room. An approved fire control room shall be provided for all new buildings or occupancies with a change of use, requiring protection by an automatic fire sprinkler system.
The room shall contain the fire alarm control panels, ERCCS control equipment, and other fire equipment required by the Fire Code Official. Fire control rooms shall be located within the building at a location approved by the Fire Code Official, and shall be provided at grade with a means to access the room directly from the exterior. Durable signage shall be provided on the exterior side of the access door to identify the fire control room. Fire Control Rooms shall not be less than 50 square feet.
Exceptions:
1. Group R-3 Occupancies.
2. Occupancies with a fire pump shall have a fire control room that is a minimum of 200 square feet.
3. In high-rise buildings, the fire control room shall not be less than 200 square feet.
SECTION 510.1 EXCEPTION #1 IS DELETED
SECTION 510.3 is amended to read as follows:
510.3 Permits required. Permits shall be required as set forth in Sections 105.5 and 105.6 for the installation of or modification to and the operation of in-building two-way emergency responder communication coverage systems and related equipment. Maintenance performed in accordance with this code is not considered a modification and does not require a permit.
SECTION 510.4.2 is amended to read as follows:
510.4.2 System Design. The in-building, two-way emergency responder communication coverage system shall be designed in accordance with Sections 510.4.2.1 through 510.4.2.8, NFPA 1221, NFPA 1225, NFPA 72 and San Mateo County ERCCS (P-500).
SECTION 510.4.2.9 UL CERTIFICATION. ADDED
510.4.2.9 UL CERTIFICATION. New ERCES systems shall be UL-Certified. A Certificate of Completion and other documentation as listed in NFPA 72 shall be
provided for all new fire alarm system installations. It is the responsibility of the building owner or owner's representative to obtain and maintain a current and valid Certificate.
Section 510.5 is amended to read as follows:
510.5 Installation requirements. The installation of the in-building, two-way emergency responder communication coverage system shall be in accordance with San Mateo County ERCCS (P-500), NFPA 72, NFPA 1221, and Sections 510.5.2 through 510.5.5 of the Fire Code.
SECTION 903 AUTOMATIC SPRINKLER SYSTEMS is amended as follows:
903.2 Where required. Approved automatic fire sprinkler systems in new buildings and structures shall be provided in all Group A, B, E, F, M, R, S, and U Occupancies greater than 1,000 square feet and in locations described in subsections 903.2.2, 903.2.5, 903.2.6, 903.2.8, 903.2.11, 903.2.12. Sections and Subsections of 903.2.1, 903.2.3, 903.2.4, 903.2.9, 903.2.10, and 903.2.11.3 of Chapter 9 of the code are deleted in their entirety.
Approved automatic fire sprinkler system in existing buildings and structures shall be provided as described in section 903.6.
Exceptions:
1. Independent solar carports or structures, non-combustible carports or shade structures.
2. Canopies less than 1000 square feet over motor vehicle fuel dispensing facilities when constructed in accordance with Section 406.7.2 of the 2022 California Building Code.
903.2.7 Group M. Automatic fire sprinkler systems shall be provided throughout buildings containing a Group M occupancy with a fire area greater than 1,000 square feet and any Group M occupancy used for the display and sale of upholstered furniture. 903.2.7.1 High Pile storage {CFC text not modified}
903.2.11.1 Stories without Openings is amended as follows:
Stories and basements without openings. Automatic sprinkler systems shall be installed in every building with a basement.
Automatic sprinkler systems shall be installed in every story of all buildings where the floor area exceeds 1000 square feet and where the following type of exterior wall opening is not provided.
1. Openings entirely above the adjoining ground level totaling at least 20 square feet (1.86 m2) in each 50 linear feet (15 240 mm), or fraction thereof, of exterior wall in the story on at least one side.
903.3.1.1.2 Bathrooms is Deleted.
903.3.1.2 NFPA 13R sprinkler systems. Where in the code a NFPA 13R sprinkler system is allowed, a NFPA 13 sprinkler system shall be used.
903.3.3 Obstructed locations. Automatic sprinklers shall be installed with regard to obstructions that will delay activation or obstruct the water distribution pattern and shall be in accordance with the applicable automatic sprinkler system standard that is being used. Automatic fire sprinklers shall be installed in or under covered kiosks, displays, booths, concession stands, laboratory fume hoods, bio safety cabinets that use flammable liquids in processes, or equipment that exceeds 4 feet (1219 mm) in width. Not less than a 3-foot (914 mm) clearance shall be maintained between automatic sprinklers and the top of piles of combustible fibers. Sprinklers shall be provided in all areas including combustible or noncombustible concealed spaces, 6 inches or more.
Exceptions:
1. Combustible or noncombustible concealed spaces if the building owner and the fire code official agree in writing that combustible or noncombustible concealed spaces, 6 inch or less are unlikely to change in the future.
2. Kitchen equipment under exhaust hoods protected with a fire-extinguishing system in accordance with Section 904.
903.3.10 Partial Systems in new buildings or structures is added to read as follows:
Automatic fire sprinkler systems that only protect a portion of the building shall not be allowed. 903.6 WHERE REQUIRED IN EXISTING BUILDINGS AND STRUCTURES. An automatic sprinkler system shall be provided in existing buildings and structures where required in Chapter 11 or when improvements are conducted in accordance with this section. 903.6.1 Where required due to improvements to buildings and structures is added and amended to read as follows: The provisions of this section are intended to provide a reasonable degree of fire safety in existing structures by requiring installation of an automatic fire-extinguishing system.
903.6.1.1 Where Required. All existing buildings and structures, regardless of type of occupancy or area, shall be provided with an automatic fire sprinkler system when any of the following conditions occur:
1. Where the gross floor area of a proposed alteration, addition, or combination of alterations and additions and the gross floor area of any alterations, additions, or combination of alterations and additions exceeds 50% of the existing gross floor area of the building or 50% of the existing gross floor area of the building for R-3 occupancies.
Exception: Buildings or structures less than 1,000 square feet.
2. When a change in occupancy classification, as defined within the Building Code, results in an increased fire hazard or risk due to business operations and/or number of occupants permitted in the building.
3. When an existing occupancy constructs a basement that is 250 square feet or larger, a fire sprinkler system shall be provided throughout the basement and the rest of the building or structure.
903.6.1.2 Partial Systems in existing buildings and structures is added to read as follows: Automatic fire sprinkler systems that only protect a portion of the building shall not be allowed.
Exception: A phased installation of an automatic fire sprinkler system may be accepted as an alternate materials and method application, as prescribed in Section 104.9, when different tenant spaces in the same building are occupied, and the installation of a fire sprinkler system may disrupt business. Not to exceed five (5) years for final completion from initial permit date. 907 FIRE ALARM AND DETECTION SYSTEMS is amended to read as follows:
Section 907.1.6 is added to read as follows:
907.1.6 Certification. New fire alarm systems shall be UL-Certified. A certificate of Completion and other documentation as listed in NFPA 72 shall be provided for all new fire alarm system installation. It is the responsibility of the building owner or owner’s representative to obtain and maintain a current and valid UL Certificate. The protected premise shall be issued a UUFX type certification from Underwriters Laboratories (UL). 907.7 Acceptance tests and completion is amended as follows: Upon completion of the installation, the fire alarm system and all fire alarm components shall be tested in accordance with NFPA 72. Fire alarms systems in commercial structures shall obtain a UL Certificate for the system prior to final inspection.
907.9 Where required in existing buildings and structures is amended as follows: An approved fire alarm system shall be provided in existing buildings and structures where required in Chapter 11. When an alteration to any existing building or structure requires an upgrade or new fire alarm system, multiple fire alarm systems shall be approved by the fire code official.
SECTION 1207.11.5.1 ELECTRICAL DISCONNECT is added to read as follows:
1207.11.5.1 Electrical Disconnect. The ESS disconnect shall be located on the exterior of the building and at the main panel.
SECTION 1207.11.11 INTERCONNECTED ELECTRICAL POWER SOURCES is added to read as follows:
1207.11.11 Interconnected Electrical Power Sources. A permanent directory site plan plaque denoting the location of all electrical power source disconnecting means on or in the premises shall be installed at each service equipment location and at the location(s) of the system disconnect(s) for all electric power production sources capable of being interconnected.
Appendix B of the 2022 California Fire Code is amended to read as follows:
APPENDIX B
FIRE-FLOW REQUIREMENTS FOR BUILDINGS
California Fire Code, Appendix B Table B105.1(1) is amended to read as follows:
TABLE B105.1(1)
REQUIRED FIRE-FLOW FOR ONE- AND TWO-FAMILY DWELLINGS, GROUP R-3 AND R-4 BUILDINGS AND TOWNHOUSES
FIRE-FLOW
CALCULATION
AREA
(square feet)
AUTOMATIC SPRINKLER
SYSTEM
(Design Standard)
MINIMUM FIREFLOW
(gallons per
minute)
FLOW DURATION
(hours)
0-3,600 No automatic sprinkler system 1,000 1
3,601 and greater No automatic sprinkler system Value in Table B105.1(2)
Duration in Table
B105.1(2) at
The required fire-flow
rate
0-3,600 Section 903.3.1.3 of the California
Fire Code
or Section 313.3 of the California
Residential Code
1,000 1
3,601 and greater Section 903.3.1.3 of the California
Fire Code
or Section 313.3 of the California
Residential Code
½ value in
Table B105.1(2)a
1 For SI: 1 square foot = 0.0929 m2, 1 gallon per minute = 3.785 L/m. a. The reduced fire-flow shall be not less than 1,000 gallons per minute.
California Fire Code, Appendix B Table B105.2 is amended to read as follows:
TABLE B105.2
REQUIRED FIRE-FLOW FOR BUILDINGS OTHER THAN ONE- AND
TWO-FAMILY DWELLINGS, GROUP R-3 AND R-4 BUILDINGS AND
TOWNHOUSES
AUTOMATIC SPRINKLER
SYSTEM
(Design Standard)
MINIMUM FIREFLOW
(gallons per minute)
FLOW DURATION
(hours)
No automatic sprinkler system Value in Table
B105.1(2)
Duration in Table B105.1(2)
Section 903.3.1.1 of the
California Fire Code
50% of the value in
Table B105.1(2)a
Duration in Table B105.1(2) at the
reduced flow rate
Section 903.3.1.2 of the
California Fire Code
50% of the value in
Table B105.1(2)a
Duration in Table B105.1(2) at the
reduced flow rate
For SI: 1 gallon per minute = 3.785 L/m.
a. The reduced fire-flow shall be not less than 1,500 gallons per minute.
Appendix D FIRE APPARATUS ACCESS ROADS is added
Appendix L REQUIREMENTS FOR PIPED AIR SCBA REFILLING SYSTEMS is added as follows:
For buildings more than 10 stories in height, shall install Firefighter Air Replenishment System per Menlo Park Fire Protection District Standards and Guidelines Manual.
SECTION 7: DATE OF EFFECT
This ordinance shall take effect and be in full force on January 1, 2023.
SECTION 8: PUBLIC POSTING
This ordinance shall be publicly posted in the following places:
1. Front Door of the Menlo Park Fire Protection District
2. Bulletin Board in Front of the Classroom at the Menlo Park Fire Protections District
3. Menlo Park Fire District Website, and published pursuant to law
Item No. 5
Town of Atherton
CITY COUNCIL STAFF REPORT – CONSENT AGENDA
TO: HONORABLE MAYOR AND CITY COUNCIL
FROM: GEORGE RODERICKS, CITY MANAGER
DATE: NOVEMBER 16, 2022
SUBJECT: CONSIDERATION OF RESOLUTION RATIFYING
PROCLAMATION OF A STATE OF EMERGENCY IN THE TOWN
AND AUTHORIZING TELECONFERENCE MEETINGS OF
TOWN LEGISLATIVE BODIES PURSUANT TO THE BROWN
ACT GOVERNMENT CODE SECTION 54953(E)
RECOMMENDATION
It is recommended that the Town Council adopt the attached Resolution No. 22-XX, finding a proclamation of the state of emergency to apply within the Town, conditions of which pose an imminent threat to the health and safety to attendees of in-person public meetings, and authorizing teleconference meetings of Town legislative bodies pursuant to Government Code section 54953(e).
BACKGROUND
The Town Council adopted Resolution 2021 – 15 pursuant to AB 361 to meet via teleconference on October 6, 2021. The City Council last met on September 21, 2022, ratified findings pursuant to AB 361 and certified the continuing emergency ratifying such rules and regulations. That Resolution has expired, and now, the Town Council must reevaluate its decision. The Governor's Proclamation of State of Emergency related to the COVID-19 virus pandemic remains in effect to this day in San Mateo County and statewide. The virus, and its variants, are highly transmissible when in close proximity to an infected person, no matter if the infected person is showing symptoms or not. Further, new variants of varying community impact and transmissibility are revealed each month the pandemic continues, most recently the Omicron/BA.2 subvariant.
Meeting in person imminently risks attendees' health and safety by necessitating attendees – Town officers, staff, and members of the public – be in close proximity to a potentially infected person, no matter if he or she is showing symptoms or not.
The proposed Resolution makes requisite findings to allow Town legislative body meetings to be held via teleconference pursuant to Government Code section 54953(e). Specifically, the resolution resolves for meetings to be conducted in either in a hybrid format or solely
Certification of Continuing Emergency
NOVEMBER 16, 2022
via teleconference, as determined by the legislative body in consideration of risks to attendee health and safety. In either option, the teleconference option is to be offered in conformity with requirements of Section 54953(e) to preserve public access and participation. The Council is to make the following findings as part of the resolution:
• The Governor proclaimed a state of emergency on March 4, 2020 related to the COVID19 virus pandemic and that state of emergency remains active within the jurisdiction of the Town.
• The Town Council has reconsidered the circumstances of the state of emergency. • The state of emergency continues to directly impact the ability of attendees to safely meet safely in person.
• To decrease the risk to the health and safety of attendees, all meetings of Town legislative bodies shall be conducted in either a hybrid format with options for meeting attendees to appear in person, social distancing permitting, and via teleconference in accordance with Government Code section 54953(e) or in a solely teleconference format.
ANALYSIS
It is recommended that the Town Council pass the resolution and direct staff to take all actions necessary to effectuate its intent to hold all Town legislative body meetings in compliance with Section 54953(e).
If the Council does not pass the proposed resolution, all Town legislative bodies will be required to meet pursuant to traditional teleconference requirements – e.g. opening teleconference locations to the public, listing addresses on meeting agendas, quorum of members in the Town – because the Town's most recent resolution to meet via Section 54953(e) has expired as a matter of law.
FISCAL IMPACT
None.
GOAL ALIGNMENT
This Report and its contents are in alignment with the following Council Policy Goals:
• Goal Area E – Strengthen Community Engagement and Transparency • Goal Area F – Be Forward-Thinking, Well-Managed, and Well-Planned
POLICY FOCUS
The policy issues are limited to the continuing emergency.
PUBLIC NOTICE
Certification of Continuing Emergency
NOVEMBER 16, 2022
Public notification was achieved by posting the agenda, with this agenda item being listed, at least 72 hours prior to the meeting in print and electronically. Information about the project is also disseminated via the Town’s electronic News Flash and Atherton Online. There are approximately 1,200 subscribers to the Town’s electronic News Flash publications. Subscribers include residents as well as stakeholders –to include, but be not limited to, media outlets, school districts, Menlo Park Fire Protection District, service provides (water, power, and sewer), and regional elected officials.
COMMISSION/COMMITTEE FEEDBACK/REFERRAL
This item has not been before a Town Committee or Commission
ATTACHMENTS
1. AB 361 Resolution No. 22-XX
2238704.1 14537.001 1
RESOLUTION NO. 22-XX
A RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF ATHERTON
RATIFYING THE PROCLAMATION OF A STATE OF EMERGENCY BY GOVERNOR GAVIN NEWSOM (MARCH 4, 2020) AS APPLICABLE IN THE TOWN AND
AUTHORIZING TELECONFERENCE MEETINGS OF ITS LEGISLATIVE BODIES OF THE TOWN PURSUANT TO THE RALPH M. BROWN ACT
RECITALS
WHEREAS, the Town of Atherton ("Town") is committed to preserving and nurturing public access and participation at meetings of its Town Council and other Town legislative bodies; and
WHEREAS, all meetings of the Town's legislative bodies are open and public, as required by the Ralph M. Brown Act, Government Code section 54950 et seq. ("Brown Act"), so that any member of the public may attend, participate, and watch the Town's legislative bodies conduct their business; and
WHEREAS, section 54953(e)(1) provides a legislative body may meet via teleconference if the Governor has proclaimed a state of emergency pursuant to Government Code section 8625 and either (i) state or local officials have imposed or recommended measures to promote social distancing, (ii) the legislative body meets to determine by majority vote that, as a result of the emergency, meeting in person would present imminent risks to the health or safety of attendees, or (iii) the legislative body has voted as such and is meeting pursuant to that vote; and WHEREAS, a legislative body's decision to meet pursuant to section 54953(e) must be reevaluated and renewed at least every thirty (30) days, or else the body will be required to adopt new initial findings; and
WHEREAS, while a legislative body meets via teleconference pursuant to section 54953(e), it must take actions to preserve public access and public participation and give notice of the meeting and post agendas as otherwise required, allow members of the public to access the meeting via call-in line or internet-based service line, provide details on the agenda on how to access the meeting and give public comment, give an opportunity to comment pursuant to Government Code section 54954.3 and allow a reasonable amount of time during public comment for a person to register, login, and comment, and monitor the call-in line and internet-based service line to ensure no disruption hinders access or ability to comment, if there is, take no action until public access is restored; and
WHEREAS, on March 4, 2020, Governor Gavin Newsom proclaimed a state of emergency pertaining to the threat to human health and safety posed by the COVID-19 virus pandemic and that proclamation remains in effect to this day in Solano County and statewide; and WHEREAS, the virus has short- and long-term effects – fever and chills, cough, shortness of breath and difficulty breathing, fatigue, headache, nausea, vomiting, gastrointestinal issues, loss
2238704.1 14537.001 2
of taste and smell, death – and it's prolific spread is severely impacting the health care system, inhibiting access to care for COVID-19 symptoms and other ailments; and WHEREAS, the COVID-19 virus, and its variants, is spread through the air when a person who is carrying the virus, whether he or she is showing symptoms or not, is in close proximity to another person; and,
WHEREAS, while the COVID-19 virus remains present in the community, allowing members of the Town's legislative bodies and members of the public to meet virtually when cases have surged will reduce the risk of imminent risk to attendee health and safety beyond the control of Town services, personnel, equipment, and facilities; and, WHEREAS, pursuant to Government Code section 8635 et seq., the Council has the authority during a state of emergency to take all actions necessary to perform its functions in the preservation of law and order, preservation of the furnishing of local services, and protection of life and property, which includes the authority to direct meetings of all Town legislative bodies to be held via teleconference pursuant to this Resolution; and WHEREAS, the Council desires to ratify the Governor's March 4, 2020, proclamation of state of emergency related to the COVID-19 virus pandemic as it applies to the jurisdiction of the Town and authorize teleconference meetings of Town legislative bodies pursuant to section 54953(e), as long as all provisions of that section are followed to provide public access and opportunity for public comment; and
WHEREAS, the Town has taken and will continue to take measures to ensure access for the public, including by providing the public a call-in option and/or internet-based service option for all meetings of Town legislative bodies.
NOW, THEREFORE, THE TOWN COUNCIL OF THE TOWN OF ATHERTON DOES HEREBY RESOLVE AS FOLLOWS:
1. The recitals set forth above are true and correct and are incorporated herein by reference as if set forth in full.
2. The Governor's March 4, 2020 proclamation of state of emergency related to the COVID-19 virus pandemic applies to the jurisdiction of the Town and is re-ratified by the Town Council.
3. A state of emergency exists within the jurisdiction of the Town related to the COVID19 virus pandemic and the conditions of that emergency may present an imminent risk to the health and safety of attendees at Town legislative body meetings.
4. In order to decrease the risk to the health and safety of attendees to Town legislative body meetings, all meetings of Town legislative bodies shall be conducted in a hybrid format with an option for attendees to appear in person, social distancing permitting, or via a teleconference in accordance with Government Code section 54953(e) and staff
2238704.1 14537.001 3
are hereby authorized and directed to take all actions necessary to carry out the intent and purpose of this Resolution, including conducting open and public meetings in accordance with Section 54953(e) and other applicable provisions of the Brown Act.
5. This Resolution shall take effect immediately upon its adoption and be effective for thirty (30) days, unless the Council takes action to rescind the Resolution. On or before the 30th day since adoption, the Council may take action to extend the Resolution's permissions pursuant to Government Code section 54953(e)(3).
The foregoing Resolution was introduced at a regular meeting of the Town Council of the Town of Atherton held on November 16, 2022.
The motion was passed by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Rick DeGolia, Mayor
ATTEST:
Anthony Suber, City Clerk,
Item No. 6
Town of Atherton
CITY COUNCIL STAFF REPORT – CONSENT AGENDA
TO: HONORABLE MAYOR AND CITY COUNCIL
GEORGE RODERICKS, CITY MANAGER
FROM: ROBERT BARRON III, FINANCE DIRECTOR
DATE: NOVEMBER 16, 2022
SUBJECT: ACCEPTANCE OF TREASURER’S REPORT FOR THE FIRST QUARTER ENDED SEPTEMBER 30, 2022
RECOMMENDATION
Accept the Treasurer’s Report for the fourth Quarter Ended September 30, 2022.
BACKGROUND
The Treasurer’s Report provides an update on the cash and investment position of the Town of Atherton.
The First Quarter Treasurer’s report for FY 2022/23 as of September 30, 2022, is attached. The total cash and investments for the Town is $28,487,992. Of the total amount, $22,695,072 is listed as “non-restricted” and although may be listed as such, this amount is not all available for spending. “Non-restricted” is to mean not legally restricted but the Town does have obligations and unfunded liabilities that must or may be met with non-restricted funds. Also attached is the PARS Trust account available balance as of September 30, 2022. The total amount in the PARS account is $7,621,075. This is a “restricted” investment that is used for the Town’s OPEB liabilities.
Insight Asset Management provides non-discretionary investment advisory services to the Town for investments. Staff is working in conjunction with Insight to ensure cash and investments adhere to our goals of safety, liquidity, and yield. To facilitate the trading and safekeeping of securities, Principal serves as the safe-keeping agent for the Town.
As the Town Center project is now completed, and with a reduced need for liquidity for the project, staff anticipates reinvesting maturing funds. Staff will continue to ensure cash liquidity of funds are readily available for operational needs. LAIF offers the most liquidity and as of September 30, 2022 holds $11,696,407.
Treasurer’s Report
November 16, 2022
FISCAL IMPACT
None
GOAL ALIGNMENT
This Report and its contents are in alignment with the following Council Policy Goals:
• Goal Area A – Maintain Fiscal Responsibility
POLICY FOCUS
The Town’s Statement of Investment Policy requires the City Manager or designee to submit quarterly and annual Treasurer’s Report to the City Council. The California Government Code Section 53646, Subsection B (1) requires that the quarterly Treasurer’s Report be submitted to the legislative body within 30 days of the close of a given quarter or within a reasonable time of scheduled council meetings. Staff strives to make this deadline. The current reporting quarter closed on September 30, 2022.
PUBLIC NOTICE
Public notification was achieved by posting the agenda, with this agenda item being listed, at least 72 hours prior to the meeting in print and electronically. Information about the project is also disseminated via the Town’s electronic News Flash and Atherton Online. There are approximately 1,200 subscribers to the Town’s electronic News Flash publications. Subscribers include residents as well as stakeholders –to include, but be not limited to, media outlets, school districts, Menlo Park Fire Protection District, service provides (water, power, and sewer), and regional elected officials.
COMMISSION/COMMITTEE FEEDBACK/REFERRAL
This item has not been before a Town Committee or Commission
ATTACHMENTS
1. Treasurer Report Q1 – September 2022
% of
Par Value Market Value Book Value Portfolio
Cash In Bank (Schedule A) 1,873,983 1,873,983 1,873,983 6.6% LAIF Statement 11,696,407 11,471,379 11,696,407 41.1%
Investments (Schedule B) 14,719,000 14,321,513 14,917,602 52.4% Total Cash and Investments 28,289,390 27,666,875 28,487,992 100% 9/30/2022
Robert Barron, Finance Director Date
Town of Atherton
Quarterly Treasurer's Report
Portfolio Summary
September 30, 2022
The above investments are consistent with the Town's Statement of Investment Policy and are allowable under current legislation of the State of California. Investments are selected using safety, liquidity, and yield as the criteria. The Town has sufficient cash flow to cover anticipated expenditures through the next six months.
Schedule A
Reconciled
Name of Depository Investment Type Bank Balance
Wells Fargo General Account 815,350
Wells Fargo Wells Fargo Trust MMF-Cash 1,058,633
Total 1,873,983
Town of Atherton
Quarterly Treasurer's Report
Portfolio Details - Cash In Bank
September 30, 2022
Schedule B
Town of Atherton
Treasurer's Report Schedule B
Portfolio Details - Investments
September 30, 2022
See next pages Cutwater Report
Town of Atherton
Quarterly Treasurer's Report
Cash & Investments Balance By Fund
September 30, 2022
Fund No. Fund Name
June
Balance
101 General Fund 18,147,174
105 Tennis Fund 179,300
610 Equipment Replacement Fund 647,262
614 Worker's Compensation 1,843,536
615 General Liability 398,005
616 Employee Benefits 1,479,795
Total Non-Restricted 22,695,072
201 Special Tax Fund 660,834
202 County Measure A Fund 965,844
203 Gas Tax Fund 371,559
204 Measure M 231,378
205 Measure W 469,424
209 SLES/COPS Grant 65,451
210 Road Constructions Impact Fee -
213 Library Fund 309,066
215 Evans Creative Design (formerly fund 715) -
221 Refuse Rate and Stabilization 560,611
401 GF Projects 1,285,765
402 Storm Drainage 32,325
403 Atherton Channel Drainage District 766,675
406 Facilities Construction 40,991
730 H-P Park Improvement 6,557
740 Tree Committee 26,440
Total Restricted 5,792,919
Total Cash & Investments 28,487,992
Date Begin $$$ Contribution Earnings Expenses Distribution Ending $$$ Date 9/1/2022 11,696,407 - - 11,696,407 9/30/2022
Town of Atherton
Quarterly Treasurer's Report
Local Agency Investment Fund Summary (LAIF)
September 30, 2022
Date Begin $$$ Contribution Earnings Expenses Distribution Ending $$$ Date 9/1/2022 8,131,097 36,178 (506,304) (3,718) (36,178) 7,621,075 9/30/2022 (*) Town of Atherton
Quarterly Treasurer's Report
PARS Trust Account Summary
September 30, 2022
* Recent available PARS report
FOR PROFESSIONAL CLIENTS ONLY
NOT TO BE REPRODUCED WITHOUT PRIOR WRITTEN APPROVALPLEASE REFER TO ALL RISK DISCLOSURES AT THE BACK OF THIS DOCUMENTTOWN OF ATHERTONSeptember 2022 Treasurer's Report Schedule B
Contents
Fixed income market review 3Activity and performance summary 4Recap of securities held 6Maturity distribution of securities held 7Securities held 8GASB 40 - Deposit and investment risk disclosure 11Detail of return and interest received 14Transaction report 16Additional information 17
FIXED INCOME MARKET REVIEW
As of September 30, 2022
TOWN OF ATHERTON
Chart 1: The Fed’s rate projections were revised up againSource: Federal Reserve, September 30, 2022Chart 2: Labor market remains robustSource: Bloomberg, September 30, 2022 Economic Indicators and Monetary PolicyThe Fed announced a third consecutive 75bp rate hike, bringing the fed funds rate toa range of 3% to 3.25% and it continued to set a hawkish tone. It raised its dot plot toreflect policy rates at 4.375% by year-end (up 88bp from the projection in June and188bp higher than in March – see Chart 1). This implies another 125bp of hikes yet forthe final two meetings of the year. The Fed materially cut its growth forecasts for 2022and 2023 to 0.2% and 1.2% from 1.7% and 1.7%, respectively. It also projects theunemployment rate will rise to 4.4% by the end of next year from 3.7% today.Inflation made less progress than markets had hoped, falling from 8.5% to only 8.3%(where ~8.1% was expected). Core CPI was particularly disappointing, rising from 5.9%to 6.3%, narrowly below the recent peak of 6.5% in March. ‘Flexible’ categories likegasoline continued to reverse, but ‘sticky’ services sectors like rents and medicalprices continued to be high.Labor market data remained robust. The economy added 315,000 jobs, close toconsensus estimates with broad-based gains, albeit the previous two months wererevised down. Wage growth was largely in line with expectations at 5.2%. Theunemployment rate ticked up to 3.7% from 3.5%, more than expected, but this waspartly a result of the labor participation rate rising from 62.1% from 62.4%. Initial jobless claims reached the lowest levels since April on a seasonally adjusted basis, at 193,000 at the end of the month. Continuing jobless claims saw four straight weeks ofdeclines (Chart 2).Real GDP for Q2 2022 was unrevised at -0.6%, albeit the mix changed with realconsumer spending revised up from 1.5% pa to 2% pa. Revisions back to 2017 showedthe economy growing 3.5% since 2019, above the 2.9% previously estimated,indicating a significantly hotter economy than previously indicated.Interest Rate Summary Yields generally rose sharply during the month, given the Federal Reserve’s hawkishprojections. At the end of September, the 3-month US Treasury bill yielded 3.29%, the6-month US Treasury bill yielded 3.97%, the 2-year US Treasury note yielded 4.28%, the5-year US Treasury note yielded 4.09% and the 10-year US Treasury note yielded3.84%. 3
ACTIVITY AND PERFORMANCE SUMMARY
For the period September 1, 2022 - September 30, 2022
TOWN OF ATHERTON
Amortized Cost Basis Activity Summary
Opening balance 15,848,614.56
Income received 4,681.79
Total receipts 4,681.79Total disbursements 0.00
Interportfolio transfers 0.00
Total Interportfolio transfers 0.00
Realized gain (loss) 0.00Change in accruals from security movement 0.00 Total amortization expense (10,371.64)Total OID/MKT accretion income 2,860.96 Return of capital 0.00
Closing balance 15,845,785.67Ending fair value 15,380,145.80 Unrealized gain (loss) (465,639.87)
Comparative Rates of Return (%)
* Twelve
month trailing
* Six
month trailing
* One month
Fed Funds 0.79 0.74 0.21Overnight Repo 0.74 0.71 0.20Merrill Lynch 3m US Treas Bill 0.97 0.89 0.24Merrill Lynch 6m US Treas Bill 1.25 1.10 0.28ML 1 Year US Treasury Note 1.68 1.39 0.31ML 2 Year US Treasury Note 2.01 1.52 0.31ML 5 Year US Treasury Note 2.24 1.49 0.25 * rates reflected are cumulative
Summary of Amortized Cost Basis Return for the Period
Total portfolio
Interest earned 17,997.76Accretion (amortization) (7,510.68)Realized gain (loss) on sales 0.00Total income on portfolio 10,487.08Average daily amortized cost 15,848,483.24Period return (%)Weighted average final maturity in days 318YTD return (%) Detail of Amortized Cost Basis Return
Interest
earned
Realized
gain (loss)
Accretion
(amortization)
Total
income
Cash and Cash Equivalents 2,889.29 0.00 2,889.29 0.00Corporate Bonds 8,503.64 (3,963.43) 4,540.21 0.00Government Agencies 5,298.34 (4,378.51) 919.83 0.00Government Bonds 1,306.49 831.26 2,137.75 0.00Total 17,997.76 (7,510.68) 0.00 10,487.08
0.070.32
4
ACTIVITY AND PERFORMANCE SUMMARY
For the period September 1, 2022 - September 30, 2022
TOWN OF ATHERTON
Fair Value Basis Activity Summary
Opening balance 15,455,974.09
Income received 4,681.79
Total receipts 4,681.79Total disbursements 0.00
Interportfolio transfers 0.00
Total Interportfolio transfers 0.00
Unrealized gain (loss) on security movements 0.00Change in accruals from security movement 0.00Return of capital 0.00Change in fair value for the period (80,510.08) Ending fair value 15,380,145.80
Comparative Rates of Return (%)
* Twelve
month trailing
* Six
month trailing
* One month
Fed Funds 0.79 0.74 0.21Overnight Repo 0.74 0.71 0.20ICE Bofa 3 Months US T-BILL 0.62 0.57 0.25ICE Bofa 6m US Treas Bill 0.39 0.47 0.15ICE Bofa 1 Yr US Treasury Note (1.95) (0.97) (0.44)ICE BofA US Treasury 1-3 (4.86) (2.06) (1.18)ICE BofA US Treasury 1-5 (6.78) (3.07) (1.70) * rates reflected are cumulative
Detail of Fair Value Basis Return
Interest
earned
Change in
fair value
Total
income
Cash and Cash Equivalents 2,889.29 0.00 2,889.29Corporate Bonds 8,503.64 (38,114.78) (29,611.14)Government Agencies 5,298.34 (19,342.98) (14,044.64)Government Bonds 1,306.49 (23,052.32) (21,745.83)Total 17,997.76 (80,510.08) (62,512.32) Summary of Fair Value Basis Return for the Period
Total portfolio
Interest earned 17,997.76Total income on portfolio (62,512.32)Average daily total value * 15,463,924.06Period return (%) (0.40)Weighted average final maturity in days 318Change in fair value (80,510.08)YTD return (%) (2.26)* Total value equals market value and accrued interest 5
RECAP OF SECURITIES HELD
As of September 30, 2022
TOWN OF ATHERTON
Weighted
average
final
maturity (days)
Weighted
average
effective
duration (years)
Percent
of
portfolio
Amortized
cost
Historical
cost
Fair value Unrealized
gain (loss)
Cash and Cash Equivalents 1,058,632.52 1,058,632.52 1,058,632.52 0.00 6.63 0.00 1Corporate Bonds 4,292,255.50 4,228,858.12 4,097,300.03 (131,558.09) 413 26.87 1.09Government Agencies 5,586,225.74 5,515,100.52 5,348,033.04 (167,067.48) 290 34.97 0.77Government Bonds 5,039,120.98 5,043,194.51 4,876,180.21 (167,014.30) 334 31.54 0.89Total 15,976,234.74 15,845,785.67 15,380,145.80 (465,639.87) 318 100.00 0.85 Cash and Cash EquivalentsCorporate BondsGovernment AgenciesGovernment Bonds Portfolio diversification (%)
Cash and Cash Equivalents 6.63Corporate Bonds 26.87Government Agencies 34.97Government Bonds 31.54 Portfolio diversification (%)
6
MATURITY DISTRIBUTION OF SECURITIES HELD
As of September 30, 2022
TOWN OF ATHERTON
Maturity Historic cost PercentUnder 90 days 2,825,654.93 17.6990 to 179 days 749,647.50 4.69180 days to 1 year 5,023,866.30 31.451 to 2 years 7,377,066.01 46.182 to 3 years 0.00 0.003 to 4 years 0.00 0.004 to 5 years 0.00 0.00Over 5 years 0.00 0.00 15,976,234.74 100.00
Maturity distribution
0.002.004.006.008.00
Historical cost (mm)
Under 90 days
90 to 179 days
180 days to 1 year
1 to 2 years
2 to 3 years
3 to 4 years
4 to 5 years
Over 5 years
7
SECURITIES HELD
As of September 30, 2022
TOWN OF ATHERTON
Amortized cost Fair value Unrealized
gain
(loss)
Coupon Maturity/
Call date
Cusip Historical cost Total
accrued
interest
%
Portcost
Par value or
shares
Description
Cash and Cash Equivalents
Cash and Cash Equivalents 0.000 1,058,632.52 1,058,632.52 1,058,632.52 0.00 0.00 6.63 1,058,632.52 Total Cash and Cash Equivalents 1,058,632.52 1,058,632.52 1,058,632.52 1,058,632.52 0.00 6.63 0.00Corporate Bonds037833AK6 APPLE INC 2.4% 03MAY2023 2.400 05/03/2023 660,075.00 654,800.84 (11,904.80) 6,370 650,000.00 642,896.04 .00 4.13 90331HNV1 3.400 07/24/2023 689,442.00 664,672.20 (19,898.76) 4,051.67 06/24/2023
US BANK NA CINCINNATI 3.4% 24JUL2023 (CALLABLE 650,000.00 644,773.44 4.3223JUN23) 459200HP9 IBM CORP 3.375% 01AUG2023 3.375 08/01/2023 690,144.00 666,219.25 (21,426.64) 3,595 650,000.00 644,792.61 .31 4.3289236THU2 TOYOTA MOTOR CREDIT CORP 0.45% 11JAN2024 0.450 01/11/2024 648,745.50 649,302.38 (32,606.06) 641.8 650,000.00 616,696.32 8 4.0646625HJT8 JPMORGAN CHASE & CO 3.875% 01FEB2024 3.875 02/01/2024 632,604.00 621,250.03 (28,342.37) 3,810 600,000.00 592,907.66 .42 3.96717081DM2 PFIZER INC 3.4% 15MAY2024 3.400 05/15/2024 499,270.00 499,307.86 (8,254.55) 6,375. 500,000.00 491,053.31 00 3.13 02665WDS7 AMERICAN HONDA FINANCE 0.55% 12JUL2024 0.550 07/12/2024 471,975.00 473,305.56 (9,124.91) 595.83 500,000.00 464,180.65 2.95 Total Corporate Bonds 4,200,000.00 4,292,255.50 4,228,858.12 4,097,300.03 (131,558.09) 26. 25,440.11 87Government Agencies313381BR5 FEDERAL HOME LOAN BANK 1.875% 09DEC2022 1.875 12/09/2022 771,667.50 752,454.94 (4,923.74) 4,335. 750,000.00 747,531.20 94 4.83 8
SECURITIES HELD
As of September 30, 2022
TOWN OF ATHERTON
Amortized cost Fair value Unrealized
gain
(loss)
Coupon Maturity/
Call date
Cusip Historical cost Total
accrued
interest
%
Portcost
Par value or
shares
Description
Government Agencies3130ALRG1 FEDERAL HOME LOAN BANK 0.125% 17MAR2023 0.125 03/17/2023 749,647.50 749,917.55 (12,400.44) 33.85 750,000.00 737,517.11 4.69 3135G04Q3 FANNIE MAE 0.25% 22MAY2023 0.250 05/22/2023 1,001,200.00 1,000,366.80 (24,381.02) 8 1,000,000.00 975,985.78 88.89 6.27 3133834G3 FEDERAL HOME LOAN BANK 2.125% 09JUN2023 2.125 06/09/2023 514,521.50 506,118.20 (13,493.31) 3,276 500,000.00 492,624.89 .04 3.223137EAEW5 FREDDIE MAC 0.25% 08SEP2023 0.250 09/08/2023 219,100.74 219,040.73 (8,193.78) 33.46 1 219,000.00 210,846.95 .373133EM6N7 FEDERAL FARM CREDIT BANK 0.17% 27SEP2023 0.170 09/27/2023 497,945.00 498,950.45 (18,579.47) 7.08 3 500,000.00 480,370.98 .123137EAFA2 FREDDIE MAC 0.25% 04DEC2023 0.250 12/04/2023 500,338.50 500,159.83 (23,104.24) 402.7 500,000.00 477,055.59 8 3.133133EJ2B4 FEDERAL FARM CREDIT BANK 3% 06DEC2023 3.000 12/06/2023 803,760.00 773,683.31 (35,448.94) 7,125 750,000.00 738,234.37 .00 5.033135G0V34 FANNIE MAE 2.5% 05FEB2024 2.500 02/05/2024 528,045.00 514,408.71 (26,542.54) 1,909 500,000.00 487,866.17 .72 3.31 Total Government Agencies 5,469,000.00 5,586,225.74 5,515,100.52 5,348,033.04 (167,067.48) 34. 18,012.76 97Government Bonds91282CAR2 USA TREASURY 0.125% 31OCT2022 0.125 10/31/2022 995,354.91 999,421.70 (1,434.87) 519.70 1,000,000.00 997,986.83 6.23 912828ZH6 USA TREASURY 0.25% 15APR2023 0.250 04/15/2023 751,438.06 750,376.73 (14,937.27) 860.6 750,000.00 735,439.46 6 4.70912828T91 USA TREASURY 1.625% 31OCT2023 1.625 10/31/2023 515,527.34 507,141.49 (21,282.11) 3,378 500,000.00 485,859.38 .06 3.23 9
SECURITIES HELD
As of September 30, 2022
TOWN OF ATHERTON
Amortized cost Fair value Unrealized
gain
(loss)
Coupon Maturity/
Call date
Cusip Historical cost Total
accrued
interest
%
Portcost
Par value or
shares
Description
Government Bonds91282CAW1 USA TREASURY 0.25% 15NOV2023 0.250 11/15/2023 498,007.81 498,918.38 (20,988.69) 468.7 500,000.00 477,929.69 5 3.12 91282CBA8 USA TREASURY 0.125% 15DEC2023 0.125 12/15/2023 793,065.18 796,002.28 (34,752.28) 292.3 800,000.00 761,250.00 5 4.9691282CBE0 USA TREASURY 0.125% 15JAN2024 0.125 01/15/2024 495,216.52 497,163.56 (23,237.78) 130.7 500,000.00 473,925.78 7 3.1091282CBM2 USA TREASURY 0.125% 15FEB2024 0.125 02/15/2024 494,904.02 496,900.51 (24,615.35) 78.13 500,000.00 472,285.16 3.1091282CBR1 USA TREASURY 0.25% 15MAR2024 0.250 03/15/2024 495,607.14 497,269.86 (25,765.95) 51.80 500,000.00 471,503.91 3.10 Total Government Bonds 5,050,000.00 5,039,120.98 5,043,194.51 4,876,180.21 (167,014.30) 31. 5,780.22 54Grand total 15,777,632.52 15,976,234.74 15,845,785.67 (465,639.87) 15,380,145.80 49,233.09 100.00 10
GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSURE
As of September 30, 2022
TOWN OF ATHERTON
Cusip S&P
rating
Moody
rating
Historical
cost
% Portfolio
hist cost
Market
value
% Portfolio
mkt value
Effective
dur (yrs)
Description Coupon Maturity
date
Call date Par value or
shares
United States Treasury Note/Bond91282CAR2 USA TREASURY 0.125% 0.125 10/31/2022 AA+ Aaa 1,000,000.00 995,354.91 6.23 997,986.83 6.49 0.08912828ZH6 USA TREASURY 0.25% 0.250 04/15/2023 AA+ Aaa 750,000.00 751,438.06 4.70 735,439.46 4.78 0.53912828T91 USA TREASURY 1.625% 1.625 10/31/2023 AA+ Aaa 500,000.00 515,527.34 3.23 485,859.38 3.16 1.0591282CAW1 USA TREASURY 0.25% 0.250 11/15/2023 AA+ Aaa 500,000.00 498,007.81 3.12 477,929.69 3.11 1.1091282CBA8 USA TREASURY 0.125% 0.125 12/15/2023 AA+ Aaa 800,000.00 793,065.18 4.96 761,250.00 4.95 1.1891282CBE0 USA TREASURY 0.125% 0.125 01/15/2024 AA+ Aaa 500,000.00 495,216.52 3.10 473,925.78 3.08 1.2791282CBM2 USA TREASURY 0.125% 0.125 02/15/2024 AA+ Aaa 500,000.00 494,904.02 3.10 472,285.16 3.07 1.3591282CBR1 USA TREASURY 0.25% 0.250 03/15/2024 AA+ Aaa 500,000.00 495,607.14 3.10 471,503.91 3.07 1.42Issuer total 5,050,000.00 5,039,120.98 31.54 4,876,180.21 31.70 0.89Federal Home Loan Banks313381BR5 FEDERAL HOME LOAN 1.875 12/09/2022 AA+ Aaa 750,000.00 771,667.50 4.83 747,531.20 4.86 0.193130ALRG1 FEDERAL HOME LOAN 0.125 03/17/2023 AA+ Aaa 750,000.00 749,647.50 4.69 737,517.11 4.80 0.453133834G3 FEDERAL HOME LOAN 2.125 06/09/2023 AA+ Aaa 500,000.00 514,521.50 3.22 492,624.89 3.20 0.67Issuer total 2,000,000.00 2,035,836.50 12.74 1,977,673.20 12.86 0.41Federal National Mortgage Association3135G04Q3 FANNIE MAE 0.25% 0.250 05/22/2023 AA+ Aaa 1,000,000.00 1,001,200.00 6.27 975,985.78 6.35 0.633135G0V34 FANNIE MAE 2.5% 2.500 02/05/2024 AA+ Aaa 500,000.00 528,045.00 3.31 487,866.17 3.17 1.30Issuer total 1,500,000.00 1,529,245.00 9.57 1,463,851.95 9.52 0.86Federal Farm Credit Banks Funding Corp3133EM6N7 FEDERAL FARM CREDIT 0.170 09/27/2023 AA+ Aaa 500,000.00 497,945.00 3.12 480,370.98 3.12 0.973133EJ2B4 FEDERAL FARM CREDIT 3.000 12/06/2023 AA+ Aaa 750,000.00 803,760.00 5.03 738,234.37 4.80 1.14Issuer total 1,250,000.00 1,301,705.00 8.15 1,218,605.35 7.92 1.07 11
GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSURE
As of September 30, 2022
TOWN OF ATHERTON
Cusip S&P
rating
Moody
rating
Historical
cost
% Portfolio
hist cost
Market
value
% Portfolio
mkt value
Effective
dur (yrs)
Description Coupon Maturity
date
Call date Par value or
shares
Cash and Cash Equivalents
INVESTED CASH 0.000 1,058,632.52 1,058,632.52 0.00 1,058,632.52 6.88 0.00 Issuer total 1,058,632.52 1,058,632.52 0.00 1,058,632.52 6.88 0.00Federal Home Loan Mortgage Corp3137EAEW5 FREDDIE MAC 0.25% 0.250 09/08/2023 AA+ Aaa 219,000.00 219,100.74 1.37 210,846.95 1.37 0.923137EAFA2 FREDDIE MAC 0.25% 0.250 12/04/2023 AA+ Aaa 500,000.00 500,338.50 3.13 477,055.59 3.10 1.15 Issuer total 719,000.00 719,439.24 4.50 687,902.54 4.47 1.08 International Business Machines Corp459200HP9 IBM CORP 3.375% 3.375 08/01/2023 A- A3 650,000.00 690,144.00 4.32 644,792.61 4.19 0.81 Issuer total 650,000.00 690,144.00 4.32 644,792.61 4.19 0.81 US Bank NA/Cincinnati OH90331HNV1 US BANK NA CINCINNATI 3.400 07/24/2023 06/24/2023 AA- A1 650,000.00 689,442.00 4.32 644,773.44 4.19 0.78 Issuer total 650,000.00 689,442.00 4.32 644,773.44 4.19 0.78 Apple Inc037833AK6 APPLE INC 2.4% 2.400 05/03/2023 AA+ Aaa 650,000.00 660,075.00 4.13 642,896.04 4.18 0.57 Issuer total 650,000.00 660,075.00 4.13 642,896.04 4.18 0.57 Toyota Motor Credit Corp89236THU2 TOYOTA MOTOR CREDIT 0.450 01/11/2024 A+ A1 650,000.00 648,745.50 4.06 616,696.32 4.01 1.25 Issuer total 650,000.00 648,745.50 4.06 616,696.32 4.01 1.25 JPMorgan Chase & Co46625HJT8 JPMORGAN CHASE & CO 3.875 02/01/2024 A- A1 600,000.00 632,604.00 3.96 592,907.66 3.86 1.28 Issuer total 600,000.00 632,604.00 3.96 592,907.66 3.86 1.28 12
GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSURE
As of September 30, 2022
TOWN OF ATHERTON
Cusip S&P
rating
Moody
rating
Historical
cost
% Portfolio
hist cost
Market
value
% Portfolio
mkt value
Effective
dur (yrs)
Description Coupon Maturity
date
Call date Par value or
shares
Pfizer Inc717081DM2 PFIZER INC 3.4% 3.400 05/15/2024 A+ A2 500,000.00 499,270.00 3.13 491,053.31 3.19 1.54 Issuer total 500,000.00 499,270.00 3.13 491,053.31 3.19 1.54 American Honda Finance Corp02665WDS7 AMERICAN HONDA 0.550 07/12/2024 A- A3 500,000.00 471,975.00 2.95 464,180.65 3.02 1.73 Issuer total 500,000.00 471,975.00 2.95 464,180.65 3.02 1.73 Grand total 15,777,632.52 15,976,234.74 100.00 15,380,145.80 100.00 0.85 13
DETAIL OF RETURN AND INTEREST RECEIVED
For the period September 1, 2022 - September 30, 2022
TOWN OF ATHERTON
Description Accretion Interest earned
(amortization)
Realized gain
(loss)
Change in fair
value
Cusip Interest received
Cash
Cash and Cash Equivalents 0.00 0.00 0.00 2,889.29 2,889.29 Total Cash 0.00 0.00 0.00 2,889.29 2,889.29Corporate Bonds 02665WDS7 AMERICAN HONDA FINANCE 0.55% 12JUL2024 1,247.40 0.00 (6,746.28) 221.52 0.00 037833AK6 APPLE INC 2.4% 03MAY2023 (676.17) 0.00 (2,627.14) 1,256.67 0.00 459200HP9 IBM CORP 3.375% 01AUG2023 (1,616.54) 0.00 (2,847.99) 1,767.18 0.00 46625HJT8 JPMORGAN CHASE & CO 3.875% 01FEB2024 (1,325.37) 0.00 (9,405.60) 1,872.92 0.00 717081DM2 PFIZER INC 3.4% 15MAY2024 35.49 0.00 (7,124.27) 1,369.44 0.00 89236THU2 TOYOTA MOTOR CREDIT CORP 0.45% 11JAN2024 45.40 0.00 (5,711.49) 235.63 0.00 90331HNV1 US BANK NA CINCINNATI 3.4% 24JUL2023 (CALLABLE 23JUN23) (1,673.64) 0.00 (3,652.01) 1,780.28 0.00 Total Corporate Bonds (3,963.43) (38,114.78) 0.00 8,503.64 0.00Government Agencies 3135G04Q3 FANNIE MAE 0.25% 22MAY2023 (47.43) 0.00 (35.47) 201.39 0.00 3135G0V34 FANNIE MAE 2.5% 05FEB2024 (891.26) 0.00 (5,672.76) 1,006.94 0.00 3133EM6N7 FEDERAL FARM CREDIT BANK 0.17% 27SEP2023 88.20 0.00 (2,054.06) 68.47 425.00 3133EJ2B4 FEDERAL FARM CREDIT BANK 3% 06DEC2023 (1,723.43) 0.00 (6,099.29) 1,812.50 0.00 3130ALRG1 FEDERAL HOME LOAN BANK 0.125% 17MAR2023 14.81 0.00 584.76 75.52 468.75 313381BR5 FEDERAL HOME LOAN BANK 1.875% 09DEC2022 (1,067.36) 0.00 (192.72) 1,132.81 0.00 3133834G3 FEDERAL HOME LOAN BANK 2.125% 09JUN2023 (737.13) 0.00 (2,481.61) 855.90 0.00 3137EAFA2 FREDDIE MAC 0.25% 04DEC2023 (11.30) 0.00 (2,613.22) 100.70 0.00 14
DETAIL OF RETURN AND INTEREST RECEIVED
For the period September 1, 2022 - September 30, 2022
TOWN OF ATHERTON
Description Accretion Interest earned
(amortization)
Realized gain
(loss)
Change in fair
value
Cusip Interest received
Government Agencies
3137EAEW5 FREDDIE MAC 0.25% 08SEP2023 (3.61) 0.00 (778.61) 44.11 273.75 Total Government Agencies (4,378.51) (19,342.98) 1,167.50 0.00 5,298.34Government Bonds 91282CBA8 USA TREASURY 0.125% 15DEC2023 271.95 0.00 (5,437.50) 81.97 0.00 91282CBM2 USA TREASURY 0.125% 15FEB2024 184.86 0.00 (4,082.03) 50.96 0.00 91282CBE0 USA TREASURY 0.125% 15JAN2024 180.28 0.00 (3,691.41) 50.95 0.00 91282CAR2 USA TREASURY 0.125% 31OCT2022 559.65 0.00 2,160.56 101.90 0.00 912828ZH6 USA TREASURY 0.25% 15APR2023 (57.37) 0.00 (498.04) 153.69 0.00 91282CBR1 USA TREASURY 0.25% 15MAR2024 153.96 0.00 (4,394.53) 102.75 625.00 91282CAW1 USA TREASURY 0.25% 15NOV2023 78.96 0.00 (3,359.37) 101.90 0.00 912828T91 USA TREASURY 1.625% 31OCT2023 (541.03) 0.00 (3,750.00) 662.37 0.00 Total Government Bonds 831.26 (23,052.32) 0.00 1,306.49 625.00Grand total (7,510.68) (80,510.08) 4,681.79 0.00 17,997.76 15
TRANSACTION REPORT
For the period September 1, 2022 - September 30, 2022
TOWN OF ATHERTON
Maturity Par value or
shares
Trade date Cusip Sec type Description Transaction Principal Interest Transaction totalSettle date Realized
gain(loss)
09/08/2022 273.7509/08/2022
3137EAEW5 Government Agencies FREDDIE MAC 0.25% 09/08/ Income 2023 219,000.00 0.00 273.75 0.00 09/15/2022 625.0009/15/2022
91282CBR1 Government Bonds USA TREASURY 0.25% 03/15/20 Income 24 500,000.00 0.00 625.00 0.00 09/17/2022 468.7509/17/2022
3130ALRG1 Government Agencies FEDERAL HOME LOAN BANK 0 Income 3/17/2023 750,000.00 0.00 468.75 0.00 09/27/2022 425.0009/27/2022
3133EM6N7 Government Agencies FEDERAL FARM CREDIT BAN Income K 09/27/2023 500,000.00 0.00 425.00 0.00 09/30/2022 Income Cash and Cash Equivalents Cash 0.00 0.00 0.00 2,889.29 2,889.29 16
ADDITIONAL INFORMATION
As of September 30, 2022
TOWN OF ATHERTON
Past performance is not a guide to future performance. The value of investments and any income from them will fluctuate and is not guaranteed (this may partly be due to exchange rate changes) and investors may not get back the amount invested. Transactions in foreign securities may be executed and settled in local markets. Performance comparisons will be affected by changes in interest rates. Investment returns fluctuate due to changesin market conditions. Investment involves risk, including the possible loss of principal. No assurance can be given that the performance objectives of a given strategy will be achieved. The information contained herein is for your reference only and is being provided in response to your specific request and has been obtained from sources believed to be reliable; however, no representation is made regarding its accuracy or completeness. Thisdocument must not be used for the purpose of an offer or solicitation in any jurisdiction or in any circumstances in which such offer or solicitation is unlawful or otherwise not permitted. This document should not be duplicated, amended, or forwarded to a third party without consent from Insight. This is a marketing document intended for professional clients only and should not be made available to or relied upon by retail clients Investment advisory services in North America are provided through two different SEC-registered investment advisers using the brand Insight Investment: Insight North America LLC (INA) and Insight Investment InternationalLimited (IIIL). The North American investment advisers are associated with a broader group of global investment managers that also (individually and collectively) use the corporate brand Insight Investment and may be referred to as Insight, Insight Group or Insight Investment.INA is an investment adviser registered with the Securities and Exchange Commission (SEC), under the Investment Advisers Act of 1940, as amended. Registration with the SEC does not imply a certain level of skill or training.
You may request, without charge, additional information about Insight. Moreover, specific information relating to Insights strategies, including investment advisory fees, may be obtained from INA's Form ADV Part 2A, which isavailable without charge upon request.Where indicated, performance numbers used in the analysis are gross returns. The performance reflects the reinvestment of all dividends and income. INA charges management fees on all portfolios managed and these feeswill reduce the returns on the portfolios. For example, assume that $30 million is invested in an account with INA, and this account achieves a 5.0% annual return compounded monthly, gross of fees, for a period of five years.
At the end of five years that account would have grown to $38,500,760 before the deduction of management fees. Assuming management fees of 0.25% per year are deducted monthly from the account, the value at the end of the five year period would be $38,022,447. Actual fees for new accounts are dependent on size and subject to negotiation. INA's investment advisory fees are discussed in Part 2A of its Form ADV.
Unless otherwise stated, the source of information is Insight. Any forecasts or opinions are Insight’s own at the date of this document (or as otherwise specified) and may change. Material in this publication is for general information only and is not advice, investment advice, or the recommendation of any purchase or sale of any security. Insight makes no implied or expressed recommendations concerning the manner in which an account should or would be handled, as appropriate investment strategies depend upon specific investment guidelines and objectives and should not be construed to be an assurance that any particular security in a strategy will remain in any fund, account, or strategy, or that a previously held security will not be repurchased. It should not be assumed that any of the security transactions or holdings referenced herein have been or will prove to be profitable or that future investment decisions will be profitable or will equal or exceed the past investment performance of the securities listed.Please compare the information provided in this statement to the information provided in the statement received from your Custodian.
For trading activity the Clearing broker will be reflected. In certain cases the Clearing broker will differ from the Executing broker.In calculating ratings distributions and weighted average portfolio quality, Insight assigns U.S Treasury and U.S agency securities a quality rating based on the methodology used within the respective benchmark index. WhenMoody’s, S&P and Fitch rate a security, Bank of America and Merrill Lynch indexes assign a simple weighted average statistic while Barclays indexes assign the median statistic. Insight assigns all other securities the lower of Moody’s and S&P ratings.Information about the indices shown here is provided to allow for comparison of the performance of the strategy to that of certain well-known and widely recognized indices. There is no representation that such index is anappropriate benchmark for such comparison. You cannot invest directly in an index and the indices represented do not take into account trading commissions and/or other brokerage or custodial costs. The volatility of theindices may be materially different from that of the strategy. In addition, the strategy’s holdings may differ substantially from the securities that comprise the indices shown.
The ICE BofA 3 Month US T-Bill index is an unmanaged market index of U.S. Treasury securities maturing in 90 days that assumes reinvestment of all income. The ICE BofA 6 Month US T-Bill index measures the performance of Treasury bills with time to maturity of less than 6 months.
The ICE BofA 1-Year US Treasury Index is a one-security index comprised of the most recently issued 1-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 1-year note must be auctionedon or before the third business day before the last business day of the month.The ICE BofA 3-Year US Treasury Index is a one-security index comprised of the most recently issued 3-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 3-year note must be auctionedon or before the third business day before the last business day of the month.The ICE BofA 5-Year US Treasury Index is a one-security index comprised of the most recently issued 5-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 5-year note must be auctionedon or before the third business day before the last business day of the month.The ICE BofA 1-3 US Year Treasury Index is an unmanaged index that tracks the performance of the direct sovereign debt of the U.S. Government having a maturity of at least one year and less than three years.
The ICE BofA 1-5 US Year Treasury Index is an unmanaged index that tracks the performance of the direct sovereign debt of the U.S. Government having a maturity of at least one year and less than five years. 17
ADDITIONAL INFORMATION
As of September 30, 2022
TOWN OF ATHERTON
Insight does not provide tax or legal advice to its clients and all investors are strongly urged to consult their tax and legal advisors regarding any potential strategy or investment.
Insight is a group of wholly owned subsidiaries of The Bank of New York Mellon Corporation. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation and may also be used as a generic term to reference the Corporation as a whole or its various subsidiaries generally. Products and services may be provided under various brand names and in various countries by subsidiaries, affiliates and joint ventures of The Bank of New York Mellon Corporation where authorized and regulated as required within each jurisdiction. Unless you are notified to the contrary, the products and services mentioned are not insured by the FDIC (or by any governmental entity)and are not guaranteed by or obligations of The Bank of New York Mellon Corporation or any of its affiliates. The Bank of New York Corporation assumes no responsibility for the accuracy or completeness of the above data and disclaims all expressed or implied warranties in connection therewith.© 2022 Insight Investment. All rights reserved. 18
Item No. 7
Town of Atherton
CITY COUNCIL STAFF REPORT – CONSENT AGENDA
TO: HONORABLE MAYOR AND CITY COUNCIL
GEORGE RODERICKS, CITY MANAGER
THROUGH: ROBERT OVADIA, PUBLIC WORKS DIRECTOR
FROM: SALLY BENTZ-DALTON, TOWN ARBORIST/PARKS MANAGER
DATE: NOVEMBER 16, 2022
SUBJECT: ACCEPTANCE OF WORK AND AUTHORIZATION TO RECORD
NOTICE OF COMPLETION FOR THE HOLBROOK-PALMER
TENNIS COURT OVERLAY PROJECT (COURTS 1 AND 2)
RECOMMENDATION
It is recommended that the Council accept the work and authorize recording of a Notice of Completion for the Holbrook-Palmer Park Tennis Court Overlay (Courts 1 and 2) Project, Project Number 56108.
BACKGROUND
In July of 2022 the Council awarded a construction contract for the Holbrook-Palmer Park Tennis Court Overlay (Courts 1 and 2) to the lowest responsive bidder, Saviano Company, Inc. of San Jose for $82,000.00 and authorized change orders up to 10%.
ANALYSIS
The project consisted of resurfacing tennis courts 1 and 2 with approximately 1-1/2 inches of asphalt as well raising the gates and installing new nets and benches. Work under the contract has been completed.
The original contract price was for $82,000. There were no change orders associated with the project.
FISCAL IMPACT
The total construction cost for the project was $82,000. Sufficient funds were programmed and available in the Tennis Fund 105 for this work.
GOAL ALIGNMENT
Acceptance of Work – Tennis Court Overlay
NOVEMBER 16, 2022
This Report and its contents are in alignment with the following Council Policy Goals:
• Goal Area A – Maintain Fiscal Responsibility
• Goal Area B – Preserve Small Town Character and Quality of Life
POLICY FOCUS
There are no significant policy issues related to this item. Maintenance of the tennis courts is consistent with Holbrook-Palmer Park Master Plan. The overlay of the tennis courts provides for a safer and more useable surface for tennis play with greater longevity.
PUBLIC NOTICE
Public notification was achieved by posting the agenda, with this agenda item being listed, at least 72 hours prior to the meeting in print and electronically. Information about the project is also disseminated via the Town’s electronic News Flash and Atherton Online. There are approximately 1,200 subscribers to the Town’s electronic News Flash publications. Subscribers include residents as well as stakeholders –to include, but be not limited to, media outlets, school districts, Menlo Park Fire Protection District, service provides (water, power, and sewer), and regional elected officials.
COMMISSION/COMMITTEE FEEDBACK/REFERRAL
This item has not been before a Town Committee or Commission
ATTACHMENTS
1. Map of Holbrook-Palmer Park Tennis Courts
2. Notice of Completion
Map of Holbrook-Palmer Park Tennis Courts
C:\inetpub\wwwroot\multitenant\temp\Attachment 2 NOC 2022 HPP Tennis Overlay (Courts 1_2).pdf RECORD REQUESTED BY:
TOWN OF ATHERTON_____________
AND WHEN RECORDED MAIL TO:
CITY CLERK, TOWN OF ATHERTON
80 FAIR OAKS LANE ________________
(Street Address)
ATHERTON, CALIFORNIA 94027____
(City, State and Zip Code)__________________________________________________ No fee pursuant to Government Code Section 6103 SPACE ABOVE THIS LINE FOR RECORDER’S USE
TOWN OF ATHERTON
NOTICE OF COMPLETION
HOLBROOK-PALMER PARK TENNIS COURT OVERLAY PROJECT
(COURTS 1 AND 2)
PROJECT NO. 56108
ATHERTON, CALIFORNIA
NOTICE IS HEREBY GIVEN THAT Robert Ovadia, Engineer of Work for the Town of Atherton, County of San Mateo, California, on the 16th day of November 2022 did file with the City Clerk of said Town a Certificate of Completion for the work described in the construction contract awarded to Savino Company, Inc. on the 20th day of July 2022, said contract being executed on the 29th day of July 2022.
That said work and improvements were accepted as completed on the 18th day of October 2022 and that acceptance for completion of said work was ordered by Motion of the City Council of said Town, adopted on the 16th day of November 2022.
That said work and improvements consisted of the resurfacing two tennis courts with approximately 1-1/2 inches of asphalt as well raising the gates. New benches and nets were also installed at Holbrook-Palmer Park on courts 1 and 2.
That I, Robert Ovadia, City Engineer of the Town of Atherton, am authorized by said Motion to execute and file this notice with the County Recorder of the County of San Mateo.
BY: ______________________ ATTEST: ________________________ Robert Ovadia, City Engineer Anthony Suber, City Clerk
______________________ _______________________
Date Date
‘I declare under penalty of perjury that the foregoing is true and correct.’ ______________Atherton, CA___________________ _______________________________________________ (Date and Place) (Signature) Robert Ovadia, City Engineer
C:\inetpub\wwwroot\multitenant\temp\Attachment 2 NOC 2022 HPP Tennis Overlay (Courts 1_2).pdf
TOWN OF ATHERTON
CERTIFICATE OF COMPLETION
PROJECT NAME: HOLBROOK-PALMER PARK TENNIS COURTOVERLAY
PROJECT (COURTS 1 AND 2)
PROJECT NUMBER: 56108
LOCATION: HOLBROOK-PALMER PARK – 150 WATKINS AVENUE
NOTICE IS HEREBY GIVEN:
1. That on October 17th, 2022, the Public Works project known as HOLBROOK-PALMER PARK TENNIS COURT OVERLAY PROJECT (COURTS 1 AND 2), Project Number 56108, was completed in accordance with the plans and specifications as required by the Town of Atherton.
2. That the name and address of the party filling this notice is:
Town of Atherton
80 Fair Oaks Lane
Atherton, California 94027.
3. That the name and address of the Contractor responsible for the construction of the project is:
Saviano Company, Inc.
1784 Smith Ave.
San Jose, CA 95112
4. That the project is described as:
This project consists of the resurfacing three tennis courts with approximately 1- 1/2 inches of asphalt as well raising the gates. New benches and nets were also installed at Holbrook-Palmer Park on courts 1 and 2. The work under the contract has been completed
BY:
Robert Ovadia, P.E., City Engineer Date
ATTEST:
Anthony Suber, City Clerk Date
Item No. 8
Town of Atherton
CITY COUNCIL STAFF REPORT – CONSENT AGENDA
TO: HONORABLE MAYOR AND CITY COUNCIL
GEORGE RODERICKS, CITY MANAGER
FROM: ROBERT OVADIA, PUBLIC WORKS DIRECTOR
DATE: NOVEMBER 16, 2022
SUBJECT: APPROVAL OF A PREVENTATIVE MAINTENANCE AND
SERVICES SUPPORT AGREEMENT FOR THE TOWN CENTER
BUILDING MANAGEMENT SYSTEM; DIRECT THE CITY
ATTORNEY TO PREPARE THE AGREEMENT AND AUTHORIZE
THE CITY MANAGER TO EXECUTE THE AGREEMENT ON
BEHALF OF THE TOWN
RECOMMENDATION
It is recommended that the Council approve an agreement with Syserco, Inc. for preventative maintenance and support services the Town Center Complex Building Management System; direct the City Attorney to prepare the agreement; and authorize the City Manager to execute the agreement on behalf of the Town.
BACKGROUND
The Construction of the Town Center included the installation of a Building Management System (BMS), or Energy Management System, to monitor and control aspects of the heating and cooling systems in the Town Center and Library. The BMS monitors the components of the heating and cooling system, advises of various issues related to the heating and cooling system, is used to control the thermostat settings and monitor spaces. The Allerton Energy Management Systems was installed as the BMS system by Syserco, Inc. The BMS is a critical part of managing the environmental controls system for the Town Center in an effective and efficient manner.
ANALYSIS
A services agreement is required to effectively monitor and maintain the BMS. Staff solicited a proposal from Syserco, Inc. due to their familiarity with the newly installed system and the various components installed at the Town Center and their expertise in monitoring and maintaining such systems.
The proposed services agreement covers the following services:
Building Management Systems Agreement
NOVEMBER 16, 2022
Preventative Maintenance:
• Software and Cyber Security Updates
• Controller Firmware Updates
• Staff training Related to Updates
• System Backup and Disaster Recovery
• Preventative Maintenance (annual)
• Device Diagnostics (annual)
• Network Analysis (annual)
• 2 Days of Labor to Remedy Deficiencies in the Preventative Maintenance Review Customer Support:
• Operator Support and Site-Specific Training – 4 days per year • On-Line Technical Support
• Emergency Response Services
• Dedicated Service Team
• Discounted Labor and Materials
Staff is recommending approval of a BMS Services agreement with Syserco, Inc.
FISCAL IMPACT
The costs for BMS Services agreement would be $29,428 in the first year and reduce to $25,884 for the third year. Costs associated with this agreement will be split between the facilities maintenance budget and the Library.
GOAL ALIGNMENT
This Report and its contents are in alignment with the following Council Policy Goals:
• Goal Area A – Maintain Fiscal Responsibility
• Goal Area F – Be Forward-Thinking, Well-Managed, and Well-Planned
POLICY FOCUS
Council policy focus should be on the need to monitor and maintain the Building Management System and environmental controls system for the Town Center Complex.
PUBLIC NOTICE
Public notification was achieved by posting the agenda, with this agenda item being listed, at least 72 hours prior to the meeting in print and electronically. Information about the project is also disseminated via the Town’s electronic News Flash and Atherton Online. There are approximately 1,200 subscribers to the Town’s electronic News Flash publications. Subscribers include residents as well as stakeholders –to include, but be not limited to, media outlets, school districts, Menlo
Building Management Systems Agreement
NOVEMBER 16, 2022
Park Fire Protection District, service provides (water, power, and sewer), and regional elected officials.
COMMISSION/COMMITTEE FEEDBACK/REFERRAL
This item has not been before a Town Committee or Commission
ATTACHMENTS
1. Syserco, Inc. BMS Services Support Proposal
Rev.1
Service Support Program
For your Alerton Energy Management Systems
Atherton Town Center
Atherton Civic Center - 80 Fair Oaks Lane, Atherton, CA 94027 Presented to • Steve Tyler
Presented by: • Matt Vaughan
Presentation Date: • 9.1.2022
Converting Your Data into Knowledge and Savings®
Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 Table of Contents
Table of Contents...........................................................................................................................2 Executive Summary .......................................................................................................................3 Service Program Philosophy: .........................................................................................................4 Preventative Maintenance..............................................................................................................5 Customer Support..........................................................................................................................9 Service Delivery & Discounts .......................................................................................................10 Dedicated Service Team..............................................................................................................11 Signature Page & Pricing Summary .............................................................................................12 TERMS AND CONDITIONS.........................................................................................................13 Appendix A – List of Maintained Equipment.................................................................................15 For more information on Syserco service visit:
http://www.syserco.com/
Converting Your Data into Knowledge and Savings®
Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 Executive Summary
The following proposal details the recommended service scope of work for Atherton Civic Center in Atherton, CA. The following services are proposed:
1. Software & Cyber Security Updates
2. Global Controller Firmware Updates
3. Annual Preventive Maintenance
4. Syserco Driven Action Implementation – Technician
5. Client Driven Owner Directed – Technician
6. Emergency Response
Yearly Breakout
Description Year 1 Year 2 Year 3
Software & Cyber Security Updates As applicable As applicable As applicable Global Controller Firmware Updates As applicable As applicable As applicable Preventive Maintenance (PM) Annual Annual Annual
PM Action Implementation
2 2 2
Technician Onsite
Address immediate issues found during prescriptive service Scope of work driven by Syserco and coordinated with client Designed to provide corrective measures
Owner-Directed Support
4 2 1 Technician Onsite
Scope of work driven by client in collaboration with Syserco Designed for system enhancement and training
Emergency Response Preferred Preferred Preferred
Cybersecruity
Risks
Health and
Safety
Increase
Reliability Adapt
Occupant
Comfort
Reduce
Energy
Avoid Costs
Converting Your Data into Knowledge and Savings®
Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 Service Program Philosophy:
Syserco’s Service Support Program is designed to meet the changing needs of your building systems over time. Maintenance performed too early or too late can be costly, impact building operations, and shorten the lifespan of the equipment. Identifying the ideal time for maintenance and repairs requires a combination of time-based Preventative Maintenance and 24x7 Condition-based Maintenance. Corrective Action Implementation ensures critical repairs are implemented quickly to avoid critical failures and benefit from operational efficiency. Our Customer Support services train or augment our customer’s staff based on their needs.
Periodic systemlevel preventative
maintenance is a
cost effective way
to identify issues
and protect the
integrity of the
energy
management
system
PREVENTATIVE
MAINTENANCE
Powered by
analytics,
Continuous
Commissioning
continually
monitors
equipment
performance and
degradation to
predict failures
and perform
invasive testing
and repairs only
when deemed
necessary
CONTINUOUS
COMMISSIONING
Prioritizing repairs
and quick
implementation
will increase
reliability and
ensure equipment
is running as
efficiently as
possible
CORRECTIVE
ACTION
CUSTOMER
SUPPORT
Calibration, testing,
and verification is
necessary to trust
that your most
critical equipment
and environments
are meeting health,
safety, and
sustainability
standards
CALIBRATION AND
CRITICAL ENVIRONMENTS
Preventing and
resolving issues
requires
knowledge of the
building system(s)
and how to
properly address
them. Syserco
trains customers
to be as selfsufficient as
desired and
provides
supplemental
services to
support proper
operation,
maintenance, and
reaction to facility
needs
Converting Your Data into Knowledge and Savings®
Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 Preventative Maintenance
This Service and Support Program will include the following scopes of services to be provided for the equipment contained within your Facility.
Software and Cyber Security Updates:
Software updates provide new features, security patches, bug fixes, and compliance with evolving standards. These features make it more convenient to operate your system, reduce system vulnerabilities, and ensure compatibility with future products.
Syserco will review the overall BMS Network Structure/Configuration, Antivirus Status, Windows Security and Audit Logs while performing these updates that are released approximately annually. • Software updates are included for revisions within the same license size and same software product line. • This agreement covers software updates for the following server and client machines:
o 1 Alerton Compass Server – Medium License – Located Onsite Operating System and/or Server/PC Hardware upgrades to meet minimum system specifications are not included. The minimum system specifications are: 2.33GHz Eight-core, 32 GB RAM, 500GB Hard Drive, Visio 2019, Microsoft Excel. The manufacturer will provide updates and revisions for their current platform. Legacy platforms will be supported as practical but may have decreased update capability and support.
Global Controller Firmware Updates:
As the automation system product line is enhanced, modifications are often made to the Firmware to provide faster speed of response, greater flexibility, and new applications. Further, Firmware is periodically updated to address any system vulnerabilities and/or bugs that may affect the security and integrity of your system. Firmware Support Services ensure that all Global Controller ROC (Realtime Operating Code) files are the latest release, have all issues/bug fixes incorporated and align with the requirements of the current installed version of the Graphical User Interface. We will provide you ROC file updates as applicable to your site for the Global Controllers identified in Appendix A, List of Maintained Equipment. • To ensure your staff maximizes the function of the system, with each upgrade, Syserco will review the new features of each revision
• Firmware updates are included for revisions within the same major revision (example: v1.6 to v1.7) • To minimize impact on tenant comfort / equipment uptime, these upgrades will be installed during afterhours.
Software/Firmware Support Training: To ensure your staff maximize the function of the system, with each upgrade, Syserco will provide four (4) hours of onsite training to your staff on the new features of each revision.
Disaster Recovery:
The electronic information stored within your system represents a significant part of your investment. In the event of a catastrophic system failure, these backups allow us to completely restore your system to the last backup state. During each Preventative Maintenance visit, Syserco will perform a full system backup. Two copies of this backup will be made. One will be maintained onsite at your facility and the second archived securely offsite.
Converting Your Data into Knowledge and Savings®
Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 System Level Preventive Maintenance Routines:
Preventative Maintenance Routines save energy, extends mechanical equipment lifespan and reduces downtime. The Preventative Maintenance Routines as defined within this section shall be executed by Syserco’s trained professionals to ensure that your facility operates optimally. Syserco will perform System Diagnostics through a combination of onsite and remote access via our Service Response Center. This preventative maintenance routine will be performed on an annual basis.
• Review Site Log:
o Each Preventative Maintenance routine begins with a review of your site log so that ongoing issues can be noted and the root cause addressed.
• Review Network Workstations / Communication:
o Verify Server Communication with all Global Controllers. o Review automation system for CRITICAL and OFF-LINE status indicators. • Perform System Analysis of EMS Software:
o Record current version of EMS Software relative to user needs and versions supported. o User Account Analysis of EMS Software relevant towards system security and troubleshooting purposes. • Review Global Controllers Operation:
o Accurate and reliable operation of the Global Controllers is key to the successful operation of your facility. o ROC File Version is verified against most recent version and known system issues. o The DDC Program is verified to be running.
o System Date/Time settings are verified.
o Each Global Controller shall be diagnosed to ensure adequate memory is available to perform trending, alarming and other system tasks to prevent slow speed of response and data loss. o Review the number of global controller restarts to identify excessive faults, stability of onsite power and controller reliability.
• Identify overridden points:
o Overridden points can increase energy consumption, create comfort and safety issues. o Overridden points will be documented and a remediation plan will be discussed with the customer. • Review Alarm Log:
o Points generating excessive alarms will be noted.
o The technician will make recommendations to address root cause hardware or software issues causing alarms.
• Review Schedules:
o Review equipment operation schedules and identify any anomalies. o The technician will make recommendations to address issues causing discrepancies with system operation. • Perform General System Operational Review:
o While onsite and performing the above Preventative Maintenance routines the Service Technician will review the system holistically from the Graphic Workstation and ensure the EMS control system is operating as desired.
o Any discrepancies or areas of concern will be noted.
• System Health Report
o Upon completion of each PM routine, a System Health Report will be provided to help you understand system performance, identify deficiencies, and create a joint action plan for remediation and operational improvement.
Converting Your Data into Knowledge and Savings®
Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 VAV / Terminal Device Operation Diagnostics
The majority of your facility’s energy consumption is due to zone level demand. This service ensures the indoor environment is maintained according to specifications. This service will ensure energy use is minimized, and occupant comfort maximized.
This preventative maintenance routine will be performed on an annual basis.
Specific diagnostics verification includes:
• Setpoints and temperature readings within acceptable range • HW valve leak-by
• Damper position and airflow check
• Plugged / Failed Airflow Sensors
• Failed Room / Discharge air temperature sensor
Converting Your Data into Knowledge and Savings®
Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 Network Analysis:
A properly functioning network is critical to the operation of the system and this service ensures optimum network / controller performance and maximum system up-time. To accomplish this, Syserco will perform a 29-point check of the entire Building Automation network and each controller using a diagnostics tool. This tool identifies unresponsive devices, slow transmission, lost data packets, and ensures optimal configuration settings. The Network Health report will be delivered and discussed with you annually. The following are included with this service:
• Live monitoring with historical data storage
• Identify intermittent communication issues
• Track recurring issues and trends
• Emailed alerts of critical changes to Network Health (optional) Note: This scope will require the installation of a Syserco service tool and use of Wireshark on the server machine. Allowance and support by customer IT is necessary to accomplish delivery of this service.
Corrective Action Implementation (PM):
After completing the Preventative Maintenance routines, Syserco will provide 2 days of labor for each PM period (2 total days) to remediate any identified deficiencies that the Syserco Team deems critical to the operation of your system or require immediate attention. If the identified deficiencies require more labor than allotted, corrective options will be discussed during the Preventative Maintenance review with your Service Account Manager.
Converting Your Data into Knowledge and Savings®
Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 Customer Support
Syserco’s Customer Support Services assist you and your staff in running your facility more efficiently and in fully utilizing the power of your Energy Management System.
Operator Support and Coaching:
Our system experts will work with your staff to ensure that your operators are properly utilizing the control system to maximize energy savings and occupant comfort. Syserco will provide 4 days per year of pre-scheduled Operator Support to assist your staff in modifying the system, identifying, verifying, and resolving issues found and/or providing supplemental training. This pre-allocated time allows you to control your operating budget while meeting your facility’s changing needs. Suggestions for this scope depending upon owners’ explicit needs may include:
• Site Specific Training
• Program Modifications
• Implementation of Advanced Control Strategies
• Graphics Modifications
• Hardware Changes
• Minor Control System Modifications
• Other Owner-Directed Services
Emergency Response Services
Online Technical Support: Syserco provides our Service and Support Program customers with access to a Service Response Center staffed with Factory – Trained Automation Service Technicians during Normal Working Days between the hours of 7 AM and 4 PM. This service provides you with a direct line to skilled technicians who can provide you immediate assistance in analyzing problems and recommending solutions via telephone or an Internet connection to your facility. This service often eliminates the need for costly emergency onsite visits, saving you time and money. This agreement includes online response to assist with emergencies and troubleshooting based upon historical usage for this and similar type facilities.
In the event usage exceeds historical norms, Syserco reserves the right to adjust pricing to reflect actual usage. • The direct phone number for the Service Response Center is 877-360-3637 Priority Response Time: As a Service and Support Program customer, you will be given priority for “emergency” calls over non-Service and Support Program customers. The guaranteed, emergency response time you have selected is identified below:
Emergency Response:
To reduce the costs and disruptions of system issues, we will provide Emergency Response within the following windows:
• Preferred Response:
o Response window 7 AM to 4 PM regular Business Days.
o Online/Phone response within 4 hours.
o If an emergency site visit is required, we will be onsite by the Second Business Day for calls received prior to 1 PM.
• Non-emergency issues as determined by your staff and ours, will be scheduled for the next available business day.
• Labor and materials for all Emergency onsite response that occurs outside of normally scheduled service visits will be billed at your discounted T&M rate.
Converting Your Data into Knowledge and Savings®
Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 Service Delivery & Discounts
At Syserco, we are focused on providing the highest levels of customer service and support. To achieve this, we have implemented a multi-tiered approach to service and quality assurance to ensure we deliver on this goal.
Dedicated Service Team:
Syserco assigns a dedicated team to manage your complete service experience. This team consists of an Account Executive, a Service Account Manager and at least two technicians. This dedicated Factory – Trained Service Team not only knows automation systems, but they know your site and its standards. Because of this working knowledge, we can quickly diagnose and solve control problems, thus saving hours of labor that would be required by someone less familiar with your energy management system.
Quality Assurance:
To ensure that our services are of the highest quality, Syserco utilizes a structured Quality Assurance and Customer Satisfaction System. Our team will meet with you on a regular basis to discuss our performance and your satisfaction with the services provided. These regular meetings are augmented with a formal “Customer Satisfaction Score Card” where you are given a chance to give direct feedback on the service you are provided.
Service Work-Order Documentation:
All scheduled service visits include complete documentation of the services provided, findings of the technician and recommendations for improvement. Unscheduled service visits (T&M or Emergency response) will be documented by a work order form detailing the services performed, materials used, and hours spent.
Discount on Labor:
As a Service and Support Program customer you are entitled to a 20% discount off of our standard non-Service and Support Program Time & Material labor rates. These hourly rates apply to work beyond the scope of your Service and Support Program, including system modifications, emergency response, additional training, etc. Labor rates are published and revised annually.
2022 T&M Rates - Bay Area (Service and Support Program, 20% Discount):
Trade Straight Time Overtime Double Time
Service Technician $202 $282 $373
Service Account Manager $230 $322 $426
Sr. Automation Engineer $227 $318 $420
Data Scientist $233 $327 $432
Discount on Material:
As a Service and Support Program customer, you will receive a 60% discount off the Alerton, Delta, and Veris published list price schedule for parts and software sales and a 55% discount off the Belimo list price schedule.
Converting Your Data into Knowledge and Savings®
Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 Dedicated Service Team
A major benefit of a Syserco Service and Support Program derives from having our Factory-Trained automation professionals familiar with your facility and its systems. The Service Team assigned to your facility are specialists in maintaining and troubleshooting your significant investment. This team includes an Account Executive, a Service Account Manager, Primary and Secondary Service Technicians.
The following team members will be dedicated to providing services within your facility:
• Director of Service Operations – Anthony Khaymovich: The Director of Service Operations is a key member of the executive team responsible for overseeing the daily operation of the entire service support team. They manage the team of technical support professionals to ensure we are providing our best customer satisfaction while we deliver world class support services to our service support program clients. • Service Account Executive: Your Service Account Executive works with you and your team to identify your strategic business objectives and craft custom solutions to help you meet them. They work with the Syserco Service Team to ensure service is provided in accordance with this contract and that it continues to meet your needs. Annually, the Account Executive will conduct a formal review of this agreement with your staff to discuss the services performed during the past year, to recommend improvements and options to enhance system performance, resolve operational problems, and modify our offerings as necessary to meet your changing needs and objectives. • Service Account Manager: The Service Account Manager is a core member of the executive team responsible for building on top of our existing support offerings and delivering a consistent and high level of customer loyalty. They are a technical resource who understands the nuances of working at your site, assists with scheduling the service specialists, and works with the team and your staff on incremental system / facility improvements and upgrades. The Service Account Manager is responsible to ensure service is provided in accordance with this contract and to continually consult with you and your staff regarding your objectives and to assist in developing a plan to reach them. • Primary Service Technician: Your Primary Service Technician is a Factory – Trained Automation Technician. They are made familiar with your site, its systems and its procedures. They are assigned to execute your Preventative Maintenance Routines, Operator Coaching, and other contracted services. • Secondary Service Technician: To ensure depth of coverage, Syserco assigns a Secondary Technician who is cross trained by the Primary Technician in the specific intricacies of your site. In the event your Primary Service Technician is unavailable to provide scheduled service due to sickness, vacation, etc. the Secondary Technician acts as a backup to provide you seamless, continuous coverage.
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Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 Signature Page & Pricing Summary
By and Between:
Syserco Inc.
215 Fourier Avenue
Fremont, CA 94539
Syserco shall provide the services as outlined in this proposal dated 8.12.2022 and the following Terms and Conditions.
Services shall be provided at: Atherton Civic Center
80 Fair Oaks Drive
Atherton, CA 94027
The proposed pricing for these features is based upon a three-year program, billed annually in advance. This agreement shall remain in effect for an original term of three (3) years beginning 10.1.2022 and from year to year thereafter.
This agreement may be modified at any time during the program period to meet the changing needs of your facility with a 60 day written notice to Syserco.
Service and Support Program Pricing:
Year 1 Year 2 Year 3
BMS Service Program $ 29,428 $ 26,270 $ 25,884
Billing Cycle: Annual in advance Semi-Annual in advance Quarterly in advance Prices quoted in this proposal are valid for 30 days. By signature below this proposal is hereby accepted, Customer agrees to enter into the Service and Support Program (as described in the attached Terms and Conditions), and Syserco is authorized to proceed with the work.
Accepted By: Submitted By:
Atherton Civic Center Syserco Inc.
215 Fourier Ave.
Fremont, CA 94539
Approved by
(Signature):
Submitted by
(Signature):
Approval Name: Name:
Approver Title: Title
Approval Date: Date:
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Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171
TERMS AND CONDITIONS
The following terms and conditions are attached to and form an integral part of Syserco, Incorporated’s Building Automation Service and Support Program (“Proposal”). The portions of the Proposal relating to "Scope of Work" or any "Proposed Solution" (in either case, referred to herein as the "Proposed Solution"), the Signature Page/Pricing Summary, the List of Maintained Equipment, the Service Coverage report, together with these terms and conditions, are collectively referred to as the "Service and Support Program.” Article 1: General
1.1 a) The Service and Support Program, when accepted in writing by the Customer and approved by an authorized representative of Syserco, Inc. shall constitute the entire, integrated, and exclusive agreement between the parties relating to this Service and Support Program for the equipment and software identified in the List of Maintained Equipment ("Equipment") or the Service Coverage Report attached to this Service and Support Program, and shall supersede and cancel all prior or contemporaneous agreements and understandings, written or oral, relating to the subject matter of the Service and Support Program. The Service and Support Program and any rights or obligations there under may not be assigned by either party without the advance written consent of the other. (b) This Service and Support Program shall not be modified except in writing, signed by an authorized representative of Syserco, Inc. Syserco Inc.'s performance under this Service and Support Program is expressly conditioned on Customer's assenting to all of the terms of this Service and Support Program. Any different or additional terms contained in any writing at any time submitted or to be submitted to Syserco Inc. by Customer relating to this subject matter are not part of and do not in any way effect, modify, amend, or waive the terms of this Service and Support Program.
c) The terms and conditions set forth herein shall supersede, govern and control any conflicting terms of the Proposed Solution or the Proposal.
1.2 This Service and Support Program shall automatically renew for successive one (1) year periods on the day of expiration of the Service and Support Program on its terms, and every year thereafter, unless stated otherwise in the Service and Support Program.
1.3 Either party may terminate or amend this Service and Support Program by giving the other party at least sixty (60) days prior written notice of such amendments or intent not to renew.
1.4 This Service and Support Program shall be governed by and enforced in accordance with the laws of the State of California.
1.5 During the term of, or within 180 days after the termination of this Service and Support Program, Customer shall not (1) solicit any Syserco employee or (2) hire any Syserco employee who performed work under this between Customer and Syserco. Syserco represents, and Customer acknowledges, that Syserco has a substantial initial and on-going business investment and interest in its employees who perform services for Customer, and Customer acknowledges that it would be enriched by the hiring of a highly trained employee that Customer did not have to incur the cost to train. Syserco’s training of such employee(s) can take up to three years of employment, during which time Syserco earns little, if any, return on its investment in the employee(s) since they cannot be deployed separately and must be accompanied and overseen by appropriately trained senior employees, and loss of such employee(s) represents a substantial lost opportunity cost to find replacement employee(s) and properly train and educate them to provide services to other Customers. Syserco’s damages caused by Customer’s breach of clauses (1) or (2), above, include the salary paid to train and educate its employee(s), as well as the lost opportunity costs, i.e., the inability to service customer accounts with a single trained and educated employee, during such training period. Liquidated Damages, not by way of penalty but by way of the Parties’ reasonable estimate of the damage to be caused to Syserco by breach of clauses (1) or (2), above, shall be in the amount of the annual base salary times a multiplier of 1.30 (to cover the value of benefits provided) of the Syserco employee.
1.6 Customer will designate in writing a contact person with authority to make decisions for Customer regarding the Service and Support Program. Customer will provide Syserco, Inc. with information sufficient to contact such person in an emergency. If such representative cannot be reached, any request for service received from a person located at Customer's premises will be deemed authorized by Customer, and Syserco, Inc. will, in its discretion, act accordingly.
1.7 Syserco, Inc. will be permitted to control and/or operate all Equipment necessary to perform the Service and Support Program.
Article 2: Equipment Testing, Inspection and Maintenance
2.1 The Customer represents that all Equipment is in satisfactory working condition. By the latter of the first thirty (30) days of this Service and Support Program or the first scheduled inspection, Syserco, Inc. will have inspected all the Equipment listed for coverage.
2.2 If the Proposed Solution provides for maintenance, any repairs and replacements of Equipment are limited to restoring the proper working condition of such Equipment. Syserco, Inc. will not be obligated to provide replacement Equipment that represents significant capital improvement compared to the original (significant capital improvement compared to the original means any Equipment which has exceeded 25% of its expected useful life). Exchanged components become the property of Syserco, Inc.
Article 3: Charges, Fees and Invoices
3.1 Payments to be made under this Service and Support Program will provide for, and be in consideration of, only services specifically included under the Proposed Solution. All other services, including but not limited to the following, shall be separately billed or surcharged on a time and materials basis: (a) emergency services performed at Customer's request, if inspection does not reveal any deficiency covered by this Service and Support Program; (b) services performed other than during Syserco Inc.'s normal working hours; (c) additional services requested by Owner outside the scope of this Service and Support Program; and (d) service performed on equipment not covered by this Service and Support Program.
3.2 Invoices are due upon receipt. If any payment is not received when due, Syserco, Inc. may deem Customer to be in breach hereof and may enforce any remedies available to it hereunder or at law, including without limitation suspension or termination of services and acceleration of payments.
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Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 Article 4: Warranty/Claims
4.1 Syserco warrants: (a) that up to one year from either the date of this Service and Support Program or the date the Equipment is installed under this Agreement, whichever first occurs, all equipment manufactured by Syserco, Inc. or bearing its nameplate will be free from defects in material and workmanship arising from normal use and service; (b) Syserco labor for all services under this Service and Support Program for 90 calendar days after the work is performed. Syserco’s warranty shall not apply and is waived in the event of misuse, neglect, inadequate maintenance, or improper operation. Syserco’s warranty is expressly limited to its own labor and the Equipment (and includes Syserco’s labor for removal and reinstallation of the affected Equipment and subsequent testing of the replaced equipment). Syserco’s warranty does not cover any other costs to get to the Equipment, removal and replacement or repair to the work of others or finishes, testing, inspection, consequential damages, indirect damages, loss of use, overtime or increased or additional labor costs, Customer’s administrative expenses, or damages or losses of persons or entities other than Customer. Customer shall provide Syserco prompt and reasonable notice and opportunity to inspect and repair any allegedly defective work before undertaking to repair same by itself or with the assistance of others.
4.2 The limited warranties set forth in Section 4.1 will be void as to, and Syserco does not warrant for any reason, any Equipment (i) repaired, altered or improperly installed by any person other than Syserco, Inc. or its authorized representative; (ii) subjected to unreasonable or improper use or storage, used beyond rated conditions, operated other than per Syserco, Inc., the manufacturer's instructions, or otherwise subjected to improper maintenance, negligence or accident; (iii) damaged because or of any use of the Equipment after Customer has, or should have, knowledge of any defect in the Equipment; or (iv) not manufactured, fabricated and assembled by Syserco, Inc. or not bearing Syserco Inc.'s nameplate.
4.3 Syserco, Inc. will indemnify Customer from and against damages for personal injury or physical damage to property, but not loss of use of the property resulting from such damage or from damage to any work performed hereunder or for economic damages. Such indemnification shall be solely to the extent directly caused by Syserco, Inc or its employees', consultants' or agents' negligent acts or omissions or willful misconduct in connection with its performance of services hereunder, and then only for that part or proportion of any damage caused by Syserco. Syserco Inc's obligations under this indemnity provision shall not extend to damages arising out of or in any way attributable to the negligence of Customer or its agents, consultants or employees other than Syserco, Inc.
4.4 Customer will indemnify Syserco, Inc., from and against damages for personal injury or for Customer’s or its employees’, consultants’, or agents’ interference with, or disruption of, Syserco, Inc.’s performance of this Service and Support Program. Such indemnification shall be solely to the extent directly caused by Customer or its employees', consultants' or agents' negligent acts or omissions or willful misconduct in connection with Syserco, Inc.’s. performance of services hereunder, and then only for that part or proportion of any damage caused by Customer.
4.5 Syserco, Inc’s liability to Customer related to or arising out of this Service and Support Program is expressly limited to actually incurred and direct losses, claims, expenses and damages. Syserco, Inc. shall in no event be responsible for incidental, consequential, punitive, exemplary or special damages, including without limitation lost profits, interest, damage to reputation, loss of use of capital, and/or lost business opportunities, whether arising in warranty, late or non-delivery of any Equipment or Services, tort, contract or strict liability, and regardless of whether Syserco, Inc. has been advised of the possibility of such damages. Syserco, Inc’s liability shall not include any claim, loss, or damage related to or arising out of any failure to achieve or maintain any green building or environmental goals, points or incentives.
4.6 Attorney’s Fees. In the event of litigation between the parties to enforce the rights under this paragraph, reasonable attorney fees shall be allowed to the prevailing party
Article 5: Customer Responsibilities
5.1 Customer will operate and maintain all Equipment in accordance with applicable manufacturer's specifications, including those set forth in the manufacturer's operating manuals or instructions, as well as all requirements of applicable law or of authorities having jurisdiction.
5.2 Customer will promptly notify Syserco, Inc. of any unusual operating conditions, system malfunctions or building changes that may affect the Equipment or any services.
5.3 Customer will provide Syserco, Inc. with reasonable means of access to the Equipment and shall make any necessary provisions to reach the Equipment and peripheral devices. Customer will be solely responsible for any removal, replacement or refinishing of the building structure or finishes that may be required to gain access to such Equipment.
Article 6: Limitations of Maintenance or Service Obligations
6.1 Syserco, Inc. will not be responsible for the maintenance, repair or replacement of, or services necessitated by reason of: (a) nonmaintainable, non-replaceable, or obsolete parts of the Equipment, including but not limited to ductwork, shell and tubes, heat exchangers, coils, unit cabinets, casings, refractory material, electrical wiring, water and pneumatic piping, structural supports, cooling tower fill, and basins, etc. unless otherwise specifically stated herein; or (b) negligence, abuse, misuse, improper or inadequate repairs or modifications, improper operation, lack of operator maintenance or skill, failure to comply with manufacturer's operating and environmental requirements, Acts of God, or other reasons beyond its control. Syserco, Inc. assumes no responsibility for any service performed on any Equipment other than by Syserco, Inc. or its agents.
6.2 Syserco, Inc. shall not be responsible for loss, delay, injury or damage that may be caused by circumstances beyond its control, including but not restricted to acts or omissions by Customer or its employees or agents, Acts of God, war, civil commotion, acts of government, fire, theft, corrosion, flood, water damage, lightning, freeze-ups, strikes, lockouts, differences with workmen, riots, explosions, fuel, labor or materials.
6.3 Syserco, Inc. is not responsible for repairs, replacements or services to Equipment due to corrosion, erosion, improper or inadequate water treatment by others, electrolytic action, chemical action or other reasons beyond its reasonable control.
6.4 Syserco, Inc. shall not be responsible for the removal or reinstallation of replacement valves, dampers, water flow and tamper switches required from pipes and duct work including any venting or draining systems.
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Confidential and Proprietary Syserco, Inc. | 215 Fourier Avenue | Fremont, CA 94539 | Ph. 510.498.1171 Appendix A – List of Maintained Equipment
Description QTY Preventive Maintenance
BMS Software - Alerton Compass - MD 1 Yes
Alerton Global Controller 2 Yes
ABB VFD 4 Verify Communication
BACnet Integration 2 Verify Communication
DANFOSS VFD 4 Verify Communication
ONICON Meters 2 Verify Communication
Phoenix 1 Verify Communication
VAV-SD2A-E 25 Yes
VLC-1188-E 20 Yes
VLC-1600-E 2 Yes
VLC-444e 10 Yes
VLC-550-E 1 Yes
VLC-853-E 3 Yes
Item No. 9
Town of Atherton
CITY COUNCIL STAFF REPORT – CONSENT AGENDA
TO: HONORABLE MAYOR AND CITY COUNCIL
GEORGE RODERICKS, CITY MANAGER
FROM: ROBERT OVADIA, PUBLIC WORKS DIRECTOR
DATE: NOVEMBER 16, 2022
SUBJECT: APPROVAL OF A MAINTENANCE AND SUPPORT SERVICES AGREEMENT FOR THE TOWN CENTER SECURITY SYSTEMS;
DIRECT THE CITY ATTORNEY TO PREPARE THE
AGREEMENT AND AUTHORIZE THE CITY MANAGER TO
EXECUTE THE AGREEMENT ON BEHALF OF THE TOWN
RECOMMENDATION
It is recommended that the Council approve an agreement with Commercial Controls, Inc. for system support and preventative maintenance the Town Center Complex security system; direct the City Attorney to prepare the agreement; and authorize the City Manager to execute the agreement on behalf of the Town.
BACKGROUND
The Construction of the Town Center included the installation of an access control and video surveillance system. Town Center video feeds are wired directly to the Police Department and monitored by the dispatchers. The access to the Town Center and Library buildings as well as buildings and certain rooms are key card controlled, which are programmed and monitored by the Police Department. The access-controlled doors are also operable remotely from the PD Dispatch.
The Access control system maintains logs of keycard use and other controlled access. The video surveillance and access control system are integral to securing Town facilities and monitoring the Town Center Complex.
ANALYSIS
A services agreement is required to effectively use and maintain the video surveillance and access control systems. Staff solicited a proposal from Commercial Controls due to their familiarity with the newly installed system and the various components installed at the Town Center and their expertise in monitoring and maintaining such systems.
The proposed services agreement covers the following systems:
Maintenance and Support Agreement – Security Systems
NOVEMBER 16, 2022
• Video Surveillance System
• Access Control System
• Monitored Doors
Services are offered in three tiers based on the number of desired preventative maintenance visits, included call-outs, desired response times and equipment coverage. The costs and differences are outlined in the following table:
Silver Gold Platinum
Includes
Manufacturer(s)
SSA Fees
Yes Yes Yes
Includes
Manufacturer(s)
Subscription Fees
Yes Yes Yes
Number of PM
Visits 1 – annual 2 – semiannual 4 – quarterly
Number of Included
Service Calls per
month
2 (additional calls
billed separately)
4 (additional calls
billed separately)
24/7 same day service,
including holidays
Service Response
Time
72 hours (excludes
holidays and nonbusiness hours)
4 hours (calls placed
before 12pm –
excludes holidays
24/7 same day service,
including holidays
Equipment
Coverage None 100% 100%
Monthly Cost $3,135 $3,202 $3,803
Staff is recommending the Gold option as it provides for a reasonable response time and equipment coverage at a nominal cost over the Silver option.
FISCAL IMPACT
The costs for the security support and maintenance agreement would be $38,424 in the first year and be borne through the Police Department budget.
GOAL ALIGNMENT
This Report and its contents are in alignment with the following Council Policy Goals:
• Goal Area A – Maintain Fiscal Responsibility
• Goal Area B – Preserve Small Town Character and Quality of Life • Goal Area F – Be Forward-Thinking, Well-Managed, and Well-Planned
Maintenance and Support Agreement – Security Systems
NOVEMBER 16, 2022
POLICY FOCUS
Council policy focus should be on the need to manage and maintain the security and access control systems in the Town Center Complex.
PUBLIC NOTICE
Public notification was achieved by posting the agenda, with this agenda item being listed, at least 72 hours prior to the meeting in print and electronically. Information about the project is also disseminated via the Town’s electronic News Flash and Atherton Online. There are approximately 1,200 subscribers to the Town’s electronic News Flash publications. Subscribers include residents as well as stakeholders –to include, but be not limited to, media outlets, school districts, Menlo Park Fire Protection District, service provides (water, power, and sewer), and regional elected officials.
COMMISSION/COMMITTEE FEEDBACK/REFERRAL
This item has not been before a Town Committee or Commission
ATTACHMENTS
1.Commercial Controls Services Proposal
Item No. 10
Town of Atherton
CITY COUNCIL STAFF REPORT – REGULAR AGENDA
TO: HONORABLE MAYOR AND CITY COUNCIL
GEORGE RODERICKS, CITY MANAGER
FROM: STEVEN D. MCCULLEY, POLICE CHIEF
DATE: NOVEMBER 16, 2022
SUBJECT: AN ORDINANCE OF THE CITY COUNCIL OF THE TOWN OF ATHERTON AMENDING CHAPTER 8.16 (NOISE CONTROL) OF
THE ATHERTON MUNICIPAL CODE.
RECOMMENDATION
Consider amendments to the Town’s Noise Control Ordinance, Chapter 8.16 and direct staff to return the Ordinance for Public Hearing and Introduction at the December 21 Council Meeting.
BACKGROUND
The Atherton community has a long history of social gatherings on private property and to this day, property owners will often host large events at their property with live music, DJ’s, tents, valet parking, and more. Large and small gatherings do have the potential to create noise levels which can be a nuisance and may cause a negative impact to our residents’ daily lives.
The current Atherton Municipal Noise Control Ordinance (Chapter 8.16) has been in place since 1999. The Noise Control Ordinance provides very specific guidelines for allowed noise levels, exceptions to established noise levels, and enforcement of noise ordinance violations.
In July 2022, an Atherton resident sent an email to Council members describing ongoing noise violation incidents involving their neighbor, highlighting a specific social gathering in June of 2022. In the email, the resident also made suggestions and recommendations for changes to the current noise control ordinance.
On October 5, 2022, at the Council Study Session meeting, Council received public comment on the current noise control ordinance, discussed possible amendments to the current ordinance and provided direction to staff.
ANALYSIS
Noise Ordinance Amendment
November 16, 2022
As a result of the October 5, 2022, Council Study Session, the requested amendments to the current noise control ordinance include:
● 8.16.020 Definitions, add a definition of a “Social Gathering.” “Social Gathering” means a gathering at a residential unit or other private premises, including but not limited to Accessory Dwelling Units, of 10 or more persons who have assembled from different households for social or other community activities.
● 8.16.050 Special provisions and exceptions, changes to the “Social Gathering” noise level exceptions.
The noise from social gatherings may exceed the basic noise regulation as specified below during the following days and times. Noise shall be measured from any adjacent residential property. — Fridays, Saturdays, and Holidays, 10 am to 10 pm - noise shall not exceed 75 dBA — Fridays and Saturdays, 10 pm to midnight - noise shall not exceed 70 dBA — Sundays, 10 to 8 pm - noise shall not exceed 75 dBA
● Delete 8.16.070 (A) & (B), Permit to Exceed Noise Level. ● 8.16.090 Violations, removed.
● 8.16.080 Violations, added.
A. Upon the receipt of a complaint from any person, the chief of police or his or her designee may investigate and assess whether the alleged noise levels exceed the noise standards set forth in this Chapter. If such officer(s) have reason to believe that any provision(s) of this chapter has been violated, they may cause written notice to be served upon the alleged violator. Such notice shall specify the provision(s) of this chapter alleged to have been violated and the facts alleged to constitute a violation, including dBA readings noted and the time and place of their detection and may include an order that corrective action be taken within a specified time. If corrective action is not taken within such specified time, upon conviction the violation shall constitute a misdemeanor. For every fifteen minutes that the noise exceeds the thresholds allowed in this Chapter, and after the written notice by the officer(s), each following fifteen minutes that the noise continues shall constitute a separate offense and shall be punishable as a misdemeanor.
B. Notwithstanding any contrary provision of this code, each fifteen (15) minute period that a violation of this Chapter occurs shall constitute a separate violation. The administrative penalty for each violation shall be one thousand dollars ($1,000.00). ● 8.16.100 Penalties, added.
A. When a Social Gathering occurs at a premise and a police officer at the scene determines that there is a violation of this Chapter, the person(s) in charge of the premises and the person(s) responsible for the event, or if any of those persons are minors, then the parent(s) or guardian(s) of those minors will be held jointly and severally liable for the cost of providing police personnel
Noise Ordinance Amendment
November 16, 2022
on special security assignment over and above the services normally provided by the department to respond to such events. First time violators will be warned; upon subsequent violations of the provisions of this chapter, the police personnel utilized during a second response after the first warning to control the threat to the public peace, health, safety or general welfare shall be deemed to be on special security assignment over and above the services normally provided.
B. No fee shall be assessed unless a written warning has been issued by police personnel during the first response.
C. The expense of services provided by special security assignment officers shall be charged against the property owner and/or person liable for the expenses under this section. The charge constitutes a debt of that property owner and person to the city, jointly and severally, and is collectible by said city in the same manner as in the case of an obligation under a contract, express or implied.
FISCAL IMPACT
None.
GOAL ALIGNMENT
This Report and its contents are in alignment with the following Council Policy Goals:
• Goal Area B – Preserve Small Town Character and Quality of Life
POLICY FOCUS
The recomendations presented in this report are consistent with Town policies.
PUBLIC NOTICE
Public notification was achieved by posting the agenda, with this agenda item being listed, at least 72 hours prior to the meeting in print and electronically. Information about the project is also disseminated via the Town’s electronic News Flash and Atherton Online. There are approximately 1,200 subscribers to the Town’s electronic News Flash publications. Subscribers include residents as well as stakeholders –to include, but be not limited to, media outlets, school districts, Menlo Park Fire Protection District, service provides (water, power, and sewer), and regional elected officials.
COMMISSION/COMMITTEE FEEDBACK/REFERRAL
This item has not been before a Town Committee or Commission
ATTACHMENTS
1. Amended Municipal Code Noise Control Ordinance (Chapter 8.16)
2302701.1 14537.007
ORDINANCE No. XXX
AN ORDINANCE OF THE CITY COUNCIL OF THE TOWN OF ATHERTON AMENDING CHAPTER 8.16 OF THE ATHERTON MUNICIPAL CODE
WHEREAS, the Town of Atherton ("Town") has adopted a Noise Control Ordinance to protect the peace, health and safety of its citizens from unnecessary and unreasonable noise; and,
WHEREAS, repeated of the Noise Ordinance continue to cause harm to the residents of the Town; and,
WHEREAS, the Town wishes to refine the definition Noise Control Ordinance to provide new policy guidance for social gatherings; and
WHEREAS, the Town wishes to provide a permitting process whereby excessive noise levels may be permitted in order to protect lives or property; and The City Council of the Town of Atherton does hereby ordain as follows:
Section 1. PURPOSE AND AUTHORITY
The purpose of this amendment is to amend Chapter 8.16 to expand the Town's Noise Control Ordinance to provide updated policy guidance for social gatherings, adopt a process for regulating excessive noise in order to protect the public welfare and the quiet enjoyment of property by neighbors while simultaneously allowing other property owners the ability to host events.
Section 2. AMENDMENTS TO ATHERTON MUNICIPAL CODE CHAPTER 8.16 Chapter 8.16 is to read as follows, with changes reflected in redline:
8.16.010 Declaration of policy.
In accordance with the Atherton General Plan, which seeks to maintain Atherton as “a rural residential area,” it is the policy of the Town to protect the peace, health, and safety of its citizens from excessive, unnecessary, and unreasonable noise produced by any person, machine, animal, or device. It is further declared to the be the policy of this Chapter to assess complaints of noises alleged to exceed established noise levels from the property line of the complaining property.
8.16.020 Definitions.
As used in this chapter:
A. “A-weighted sound level” is the sound level in decibels as measured on a sound level meter using the A-weighting network. The level so read is designated dB(A) or dBA.
B. “Ambient” is the composite of noise from all sources near and far. In this context, the ambient noise level constitutes the normal or existing level of environmental noise at a given location.
2302701.1 14537.007
C. “Construction” means the act or process of building including but not limited to site preparation, alteration, repair, remodeling, assembly, erection, or similar action, of buildings, structures, pavement, flat work and other works including the use of power equipment in connection with activities therewith. Construction activities do not include radios or other forms of amplified music on a construction site.
D. “Delivery” means delivery of building materials or equipment to any construction project.
E. “Emergency” means an unforeseen combination of circumstances which require immediate action.
F. “Noise disturbance” means any source of sound which exceeds the noise limitations permitted in Section 8.16.030 of this chapter. For purposes of this section, sources of sound shall include but not be limited to the following: amplified music, loudspeakers, radios, televisions, stereos, musical instruments, powered toys or models, swimming pools or spas, pile drivers, air compressors, paint sprayers, motors, pumps, blowers, air conditioners, cooling towers, ventilating fans, fork lifts, loaders, tractors, animals, concerts, mechanical equipment, human voices, electrical appliances, vacuum cleaners, powered equipment, chain saws, motor vehicles and attached equipment not operated on a street or highway.
G. “Noise level” means the maximum continuous sound level or repetitive peak level measured using the “A” scale set on “slow.”
H. “Precision sound level meter” means a device for measuring sound pressure level in decibel units according to the American National Standards Institute Type 1 or Type 2 measuring instruments.
I. “Sound level” shall be expressed in decibels (dBA) as defined by the American National Standards Institute using the A-level scale.
J. “Vehicle” means any device by which any person or property may be propelled, moved or drawn upon a highway or street or private property.
K. “Social Gathering” means a gathering at a residential unit or other private premises, including but not limited to Accessory Dwelling Units, of 10 or more persons who have assembled from different households for social or other community activities.
8.16.030 Basic noise regulation.
Except as otherwise permitted under this chapter, no person shall cause and no property owner, tenant, or other agent shall permit on such owners’ property, a noise produced by any person, machine, animal or device, or any combination thereof, in excess of the sound level limits set forth in this section to emanate from any property, public or private, beyond the property line.
Any sound in excess of the sound level limits set forth in this section shall constitute a noise disturbance. For purposes of determining sound levels, sound level measurements shall be made at the outside perimeter of the complaining property.
Commented [JF1]: New definition added- Social
Gathering
2302701.1 14537.007
Sound Level Limits
7 a.m. to 10 p.m. 60 dBA
10 p.m. to 7 a.m. 50 dBA
A. In the event the alleged offensive noise contains a steady, audible tone, such as a whine, beating, pulsating, throbbing, or hum, the standards set forth in Section 8.16.030 shall be reduced by five (5) dBA.
B. In the event the ambient sound level equals or exceeds the sound level limit then the limit shall be five (5) dBA over the ambient.
8.16.040 Noise disturbance prohibited.
A. Any and all excessively annoying, loud or unusual noises or vibrations (as measured by the sound level limits set forth in Section 8.16.030) that offend the peace and quiet of persons of ordinary sensibilities and which interfere with the comfortable enjoyment of life or property and affect at the same time an entire neighborhood, or any considerable number of persons shall be considered a noise disturbance and are prohibited.
B. It shall be unlawful to create, permit, allow, or maintain a noise disturbance in the Town of Atherton.
8.16.050 Special provisions and exceptions.
The basic noise regulation specified in Section 8.16.030 may be exceeded without permit in any instances listed below. At all other times, noise shall not exceed the basic noise regulation established in Section 8.16.030:
A. Construction.
1. Construction and delivery are exempt from the basic noise regulation during the times and on the days when construction activities are allowed pursuant to the terms and provisions of Chapter 15.40.
2. Residents/property owners when personally operating equipment are exempt from the basic noise regulation when they are personally undertaking construction activities to maintain or improve their property on Saturdays, Sundays, or holidays between the hours of ten a.m. and five p.m. Such activities are restricted to the use of hand and power tools only.
3. B. Power Garden Equipment
2302701.1 14537.007
1. Power garden equipment including but not limited to, leaf-blowers, vacuums, power mowers, rototillers, and other similar equipment are exempt from the basic noise regulation between the hours of eight a.m. and six p.m. Monday through Friday, ten a.m. and five p.m. on Saturday and ten a.m. and three p.m. on Sunday.
2. Heavy duty equipment including but not limited to wood-chippers, chainsaws, stumpremovers, and other similar equipment are exempt from the basic noise regulation between the hours of eight a.m. and five p.m. Monday through Friday only.
3. All garden, maintenance and construction equipment used in the town must be equipped with a muffler where applicable and be in good repair.
C. Motor Vehicles. Motor vehicles may be operated on public streets and highways within the town in accordance with the noise emission standards prescribed by the state Vehicle Code. It is the Town’s policy that all sworn personnel be trained in the enforcement of this section of the Vehicle Code.
D. Social Gatherings. The noise from Social Gatherings may exceed the basic noise regulation as specified below during the following days and times. Noise shall be measured from the property line of the complaining property.
— Fridays, Saturdays, and Holidays, 10 am to 10 pm - noise shall not exceed 75 dBA — Fridays and Saturdays, 10 pm to midnight - noise shall not exceed 70 dBA — Sundays, 10 to 8 pm - noise shall not exceed 75 dBA
E. Animals. Sounds from animals are exempt unless such animal howls, barks, meows, squawks, or makes other noises continuously and/or incessantly for a period of five minutes or intermittently for one-half hour.
F. Emergency and Safety Devices. The provisions of this chapter shall not apply to:
1. The emission of sound for the purpose of alerting persons to the existence of an emergency.
2. The emission of sound in the performance of emergency response; or
3. The emission of sound in connection with the protection of the health and safety of Atherton residents or their property during emergency conditions. Warning devices necessary for the protection of public safety, as for example, police, fire and ambulance sirens, and train horns, shall be exempted from the provisions of this chapter.
G. Little League Field at Holbrook-Palmer Park. Unless allowed by a permit to the contrary, the noise from practice and games at the Little League Field at Holbrook-Palmer Park may exceed the basic noise regulations during the Little League season between the hours of four-thirty p.m.
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to seven-thirty p.m. weekdays and eight forty-five a.m. to four-thirty p.m. Saturdays only. The noise levels produced by such games shall not exceed seventy-five dBA when measured at the property line of a complaining property.
H. Governmental Activities. Any noise sources associated with official governmental activities, including but not limited to tree and park maintenance, road work, or meetings, shall not be subject to the noise standards herein.
8.16.060 Aircraft regulations.
It shall be the policy of the town to work with nearby communities and other interested agencies to bring about a reduction of noise levels by private, military, public and commercial airplanes and helicopters.
8.16.070 Administration.
The provisions of this chapter shall be administered by the chief of police and his or her authorized representatives, except where expressly provided otherwise. All other officers and employees of the Town shall assist and cooperate in the administration and enforcement of this chapter.
8.16.070(B) – Permit to Exceed Noise Level.
8.16.080 Violations.
A. Upon the receipt of a complaint from any person, the chief of police or his or her designee may investigate and assess whether the alleged noise levels exceed the noise standards set forth in this Chapter. If such officer(s) have reason to believe that any provision(s) of this chapter has been violated, they may cause written notice to be served upon the alleged violator. Such notice shall specify the provision(s) of this chapter alleged to have been violated and the facts alleged to constitute a violation, including dBA readings noted and the time and place of their detection and may include an order that corrective action be taken within a specified time. If corrective action is not taken within such specified time, upon conviction the violation shall constitute a misdemeanor. For every fifteen minutes that the noise exceeds the thresholds allowed in this Chapter, and after the written notice by the officer(s), each following fifteen minutes that the noise continues shall constitute a separate offense and shall be punishable as a misdemeanor.
B. Notwithstanding any contrary provision of this code, each fifteen (15) minute period that a violation of this Chapter occurs shall constitute a separate violation. The administrative penalty for each violation shall be one thousand dollars ($1,000.00).
8.16.080 Violations
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8.16.100 Penalties.
A. When a Social Gathering occurs at a premise and a police officer at the scene determines that there is a violation of this Chapter, the person(s) in charge of the premises and the person(s) responsible for the event, or if any of those persons are minors, then the parent(s) or guardian(s) of those minors will be held jointly and severally liable for the cost of providing police personnel on special security assignment over and above the services normally provided by the department to respond to such events. First time violators will be warned; upon subsequent violations of the provisions of this chapter, the police personnel utilized during a second response after the first warning to control the threat to the public peace, health, safety or general welfare shall be deemed to be on special security assignment over and above the services normally provided.
B. No fee shall be assessed unless a written warning has been issued by police personnel during the first response.
C. The expense of services provided by special security assignment officers shall be charged against the property owner and/or person liable for the expenses under this section. The charge constitutes a debt of that property owner and person to the city, jointly and severally, and is collectible by said city in the same manner as in the case of an obligation under a contract, express or implied.
Section 3. SEVERABILITY
If any provision of this Ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the Ordinance and the application of such provision to other persons or circumstances shall not be affected thereby. To the extent that prior Town ordinances governed any portion of this Ordinance held invalid, such prior Town ordinances shall again become effective if any portion of this Ordinance is held invalid.
Section 4: EFFECTIVE DATE
This Ordinance shall be posted in at least three public places according to law and shall take effect and be in force from and after 30 days after its passage and adoption.
Introduced on the ___ day of ____________________, 2022.
Passed and adopted as an ordinance of the City Council of the Town of Atherton at a regular meeting thereof held on the ___ day of __________________, 2022 by the following vote:
Ayes:
Noes:
Abstentions:
______________________________
Mayor Rick DeGolia
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ATTEST:
______________________________
Anthony Suber, City Clerk/ACM
Item No. 11
Town of Atherton
CITY COUNCIL STAFF REPORT – REGULAR AGENDA
TO: HONORABLE MAYOR AND CITY COUNCIL
GEORGE RODERICKS, CITY MANAGER
FROM: ROBERT BARRON III, FINANCE DIRECTOR
DATE: NOVEMBER 16, 2022
SUBJECT: RECOMMENDATION FROM THE TOWN’S AUDIT AND
FINANCE COMMITTEE TO BEGIN PAYING THE RETIREE
OPEB HEALTH BENEFITS FROM THE TOWN’S PARS TRUST
ACCOUNT
RECOMMENDATION
Approve recommendation from the Town’s Audit and Finance committee to begin paying the retiree OPEB health benefits from the Town’s PARS Trust account.
BACKGROUND
The Town provides defined pension benefits through the CalPERS pension system and offers Other Post-Employment Benefits (OPEB) separately. OPEB are benefits that employees receive for retiree medical health costs once they retire from the Town. OPEB benefits are separate from pension benefits. Several years ago, the Town took steps to eliminate paid retiree health care and made significant strides in reducing the Town’s OPEB liability through contributions to an OPEB health trust administered by PARS.
Staff worked with Precision Actuarial Inc/GovInvest and its OPEB actuary to obtain a recent refresh of the Actuarial Valuation of the Town’s OPEB liability. The last OPEB actuarial valuation refresh was performed by previous actuary Nicolay Consulting for June 30, 2020. The Actuarial Report is required to meet the Town’s financial accounting requirements under GASB 75 (Accounting and Financial Reporting for Post-Employment Benefits Other Than Pensions). The Actuarial Valuation Report provides an assessment of the Town’s financial obligations to provide future retiree health benefits as of fiscal year ending June 30, 2022. The Valuation considers healthcare cost assumptions, economic and demographic assumptions. Some of these assumptions included revised mortality rates, healthcare cost trends, actual demographic experiences, and aging retiree health cost claims.
One of the Town’s core strategies is financial stability. The Town’s financial stability rests with the Town’s guiding value of fiscal stewardship. It is a core value that is used to address priorities
PARS Trust Payment Allocation To Retiree OPEB Expense
November 16, 2022
such as long-term liabilities, capital project needs, and maintaining healthy reserves. The City Council has set policy-level goals and Goal Area A is Maintain Fiscal Responsibility. This goal includes maintaining a balanced budget with adequate reserves; and address long-term liabilities.
OPEB is a long-term liability that consists of anticipated retiree healthcare costs for active and retired employees. The Town eliminated retiree healthcare for new hires and reduced long-term retiree healthcare expectations via a vesting schedule. For any employee hired after July 1, 2013, the Town now only contributes the monthly minimum required under PEMHCA (the Public Employees’ Medical and Hospital Care Act). This is the minimum required employer contribution amount prescribed by Government Code Section 22892. The employer contribution for PEMHCA is adjusted by the CalPERS Board to reflect any changes in the medical care component of the Consumer Price Index-Urban (CPI-U). The Town contributes the minimum of $149 per month effective January 1, 2022, and $151 effective for 2023. This is a monthly cost per enrolled employee.
From FY 2012/13 to FY 2015/16, the City Council made contributions to the OPEB PARS Trust totaling $5 million. City Council policy was to initiate a baseline contribution of up to $5 million to the Trust to reduce its total OPEB liability. As of June 30, 2021 the PARS Trust fiduciary position grew to $8.86 million. Efforts to fund the Town PARS Trust for OPEB liabilities were as follows:
Contributions to PARS Trust-for OPEB
Prior Town Contribution to PARS Trust FY 12/13 $1,299,316 Contribution Towards PARS Trust FY 13/14 $2,000,000
ERAF Contribution FY 14/15 to PARS Trust $1,020,000
ERAF Contribution FY 15/16 to PARS Trust $680,684
Total Baseline Contribution $5,000,000
Actuarial Determined Contributions toward OPEB
Obligations
$642,851
Total Contributions to PARS Trust $5,642,851
FINDINGS | ANALYSIS
The Audit & Finance Committee reviews the OPEB actuary reports each year. At its September 13, 2022 Finance Committee meeting, the Committee reviewed and discussed the Town of Atherton Actuarial Valuation Report of Post-Employment Health Care program. Chief OPEB Actuary, Evi Laksana of Govinvest presented to the Committee the OPEB Valuation results based on Town plan provisions, updates to employee census data of current and retired employees, with new assumptions reflective of health care costs. The new OPEB valuation resulted in new Actuarial Accrued Liability for Town OPEB. Below is the breakdown of the OPEB liability allocated to past and current service as of June 30, 2022 compared to prior year.
Actuarial Accrued OPEB Liability 6/30/2022 6/30/2021
Active $940,466 $2,121,927
Retiree $6,795,812 $6,877,755
PARS Trust Payment Allocation To Retiree OPEB Expense
November 16, 2022
Total OPEB Liability $7,736,578 $8,999,682
Fiduciary Net Position ($7,829,922) ($8,866,492)
Net OPEB Liability ($93,344) $133,190
The Net OPEB Liability decreased from $133,000 in 2021 to a Net OPEB income of ($93,344) in 2022. The OPEB valuation report summarized the decrease in the OPEB Liability due to several factors that included, less favorable actual performance compared to expected, more favorable actual demographic experience assumptions, and lower healthcare costs increase than expected thus producing a liability decrease. Additional factors include assumption changes outlined in Section 7 of the Actuarial Report and actuarial methodology changes that produced a slight net liability decrease.
As of June 30, 2022, illustrated above, the Fiduciary Net Position of the Trust is $7,829,922. This includes Trust deposits of $5,642,851 ($5 million baseline contribution and $642,851 for Actuarial Determined Contributions to fund normal costs of the liability) and earnings of $2,187,071. The Fiduciary Net Position of $7,829,922 is available to offset our OPEB Liabilities of $7,736,578. In essence, the PARS Trust is over funded.
As the Town made headway in setting aside contributions to funding long-term OPEB liabilities, the Town OPEB benefits have been budgeted as operating expenditures from the Town’s General Fund. Within the Town FY 2022/23 budget, retiree health “pay as you go” is $566,334. With the recent OPEB valuation review, the Town has the opportunity to review the funded status of the Trust and set a target for funding all or portions of the OPEB benefits through the trust account rather than out of the Town’s operational budget. As mentioned above, the Town has taken steps to reduce OPEB benefits in the long-term. It is anticipated that the OPEB liability will continue to be reduced over time as the Town’s employee complement evolves. Currently, the Town has 41 former employees and 20 dependents receiving OPEB benefits. These retirees are entitled to those benefits for life based on a retiree health benefit plan in effect at the time of their initial employment. That liability makes up nearly 90% of the Town’s total liability. Of the Town’s 40 active employees, only 13 are eligible to participate in those benefits and only, if and/or when the retire from the Town. The employee must retire from CalPERS and the Town concurrently in order to remain eligible. If one of these individuals opts to leave employment with the Town prior to retirement, they are no longer eligible for the benefit and the funds remain in the Town’s Trust.
At its November 8, 2022 Finance Committee meeting, the Committee reviewed and discussed the funded status of the OPEB Trust. The PARS Trust is an irrevocable trust that can only be used for OPEB retiree health benefits. Discussions included directing a portion of PARS Trust funds, a percentage target, or the use of the funds for the entire yearly OPEB benefits amount.
The Committee recommendation to the City Council is to accept the 2022 Actuarial Valuation of OPEB Report and to begin funding 100% of the yearly OPEB benefits expense from the PARS Trust account. The Committee recommended that the Council review the distributions at the MidYear Budget, redirect an allocation for the remainder of the current fiscal year via a Budget Amendment, and then incorporate the payment entirely from the Trust during the next budget