Agenda packet, regular meeting, third session — Banning City Council, February 27, 2024 (part 3 of 5)

655

APPROVED AS TO FORM AND
LEGAL CONTENT :

Kevin G. Ennis, City Attorney 's Office
Richards , Watson & Gershon
Resolution 2023- 113

Page 2 of 3 ends

656
CERTIFICATION:

I, Carol ine Patton , Deputy City Clerk of the City of Banning , California , do hereby certify that the foregoing Resolution 2023-113 , was duly adopted by the City Council of the City of Banning , California , at a regular meeting thereof held on the 13th day of June 2023 by the following vote , to wit:

AYES: Flynn , Gonzales , Minjares , Sanchez , and Wallace .

NOES:

ABSENT:

ABSTAIN:

Resolution 2023- 113

Page 3 of 3 ends

Caroline Patton , Depu ity Clerk
City of Banning , Cal ifo rn ia
657
658

GRANT AGREEMENT BETWEEN THE STATE OF CALIFORNIA
(DEPARTMENT OF WATER RESOURCES) AND

CITY OF BANNING
AGREEMENT NUMBER 4600015401
PROPOSITION 1 ROUND 2 INTEGRATED REGIONAL WATER MANAGEMENT (IRWM)

IMPLEMENTATION GRANT
THIS GRANT AGREEMENT is entered into by and between the Department of Water Resources of the State of California, herein referred to as the "State" or “DWR,” and the City of Banning, a public agency in the State of California, duly organized, existing, and acting pursuant to the laws thereof, herein referred to as the "Grantee," which parties do hereby agree as follows:
1) PURPOSE. The State shall provide funding from the Water Quality, Supply, and Infrastructure Improvement Act of 2014 (Proposition 1) to the Grantee to assist in financing the projects, which are included in and implemented in an adopted Integrated Regional Water Management Plan (IRWM Plan), pursuant to Chapter 7. Regional Water Security, Climate, and Drought Preparedness (Wat. Code, § 79740 et seq.). The provision of State funds pursuant to this Agreement shall be construed or interpreted to mean that the IRWM Plan, or any components of the IRWM Plan, implemented in accordance with the Work Plan as set forth in Exhibit A, has been adopted through the IRWM Plan Review Process, and is/are consistent with Water Code section 10530 et seq.
2) TERM OF GRANT AGREEMENT. The term of this Grant Agreement begins on May 6, 2023, through final payment plus three (3) years unless otherwise terminated or amended as provided in this Grant Agreement. However, all work shall be completed by December 31, 2025, in accordance with the Schedule as set forth in Exhibit C and no funds may be requested after March 31, 2026. 3) GRANT AMOUNT. The maximum amount payable by the State under this Grant Agreement shall not exceed $1,912,755.
4) GRANTEE COST SHARE. Not applicable to this Agreement. 5) BASIC CONDITIONS. The State shall have no obligation to disburse money for the Project(s) under this Grant Agreement until the Grantee has satisfied the following conditions (if applicable):

A. The Grantee shall demonstrate compliance with all eligibility criteria as set forth on pages 9-11, inclusive, of the 2022 IRWM Grant Program Guidelines (2022 Guidelines).

B. For the term of this Agreement, the Grantee shall submit Quarterly Progress Reports which must accompany an invoice ($0 Invoices are acceptable) and all invoice backup documentation. The Quarterly Progress Report shall be submitted within 60 days following the end of the calendar quarter (i.e., reports due May 30, August 29, November 29, and March 1) and all other deliverables as required by Paragraph 14, “Submission of Reports” and Exhibit A, “Work Plan”.

C. Prior to the commencement of construction or implementation activities, if applicable, the Grantee shall submit the following to the State.
i. Final plans and specifications certified, signed and stamped by a California Registered Civil Engineer (or equivalent registered professional as appropriate) to certify compliance for each approved project as listed in Exhibit A of this Grant Agreement. ii. Work that is subject to the California Environmental Quality Act (CEQA) (including final land purchases) shall not proceed under this Grant Agreement until the following actions are performed:
a) The Grantee submits to the State all applicable permits, as indicated on the Environmental Information Form to the State,
b) All documents that satisfy the CEQA process are received by the State, PROPOSITION 1 ROUND 2 INTEGRATED REGIONAL WATER MANAGEMENT (IRWM)

IMPLEMENTATION GRANT
AGREEMENT NUMBER 4600015401
659
Grant Agreement No. 4600015401

Page 2 of 52 ends

c) The State has completed its CEQA process as a Responsible Agency, and d) The Grantee receives written notification from the State of concurrence with the Lead Agency’s CEQA documents (s) and State’s notice of verification of permit submittal.

The State’s concurrence of Lead Agency’s CEQA documents is fully discretionary and shall constitute a condition precedent to any work (i.e., construction or implementation activities) for which it is required. Once CEQA documentation has been completed, the State will consider the environmental documents and decide whether to continue to fund the project, or to require changes, alterations, or other mitigation. Proceeding with work subject to CEQA prior to the State’s concurrence shall constitute a material breach of this Agreement. The Grantee or Local Project Sponsor (LPS) shall also demonstrate that it has complied with all applicable requirements of the National Environmental Policy Act (NEPA) by submitting copies of any environmental documents, including Environmental Impact Statements, Finding of No Significant Impact, mitigation monitoring programs, and environmental permits as may be required prior to beginning construction/ implementation. iii. A monitoring plan as required by Paragraph 16, “Monitoring Plan Requirements,” if applicable. 6) DISBURSEMENT OF FUNDS. The State will disburse to the Grantee the amount approved, subject to the availability of funds through normal State processes. Notwithstanding any other provision of this Grant Agreement, no disbursement shall be required at any time or in any manner which is in violation of, or in conflict with, federal or state laws, rules, or regulations, or which may require any rebates to the federal government, or any loss of tax-free status on state bonds, pursuant to any federal statute or regulation.

Any and all money disbursed to the Grantee under this Grant Agreement shall be deposited in a noninterest-bearing account and shall be used solely to pay Eligible Project Costs. 7) ELIGIBLE PROJECT COST. The Grantee shall apply State funds received only to Eligible Project Costs in accordance with applicable provisions of the law and Exhibit B, “Budget”. Eligible Project Costs include the reasonable costs of studies, engineering, design, land and easement acquisition and associated legal fees, preparation of environmental documentation, environmental mitigations, monitoring, and project construction. Reimbursable administrative expenses are the necessary costs incidental but directly related to the Project included in this Agreement. Costs incurred after the May 5, 2023, may be eligible for reimbursement.

Costs that are not eligible for reimbursement include, but are not limited to, the following items:

A. Costs, other than those noted above, incurred prior to the award date of this Grant.

B. Costs for preparing and filing a grant application.

C. Operation and maintenance costs, including post construction performance and monitoring costs.

D. Purchase of equipment that is not an integral part of a project.

E. Establishing a reserve fund.

F. Purchase of water supply.

G. Replacement of existing funding sources (e.g., bridge loans).

H. Meals, food items, or refreshments.

I. Payment of any punitive regulatory agency requirement, federal or state taxes.

J. Purchase of land in excess of the minimum required acreage necessary to operate as an integral part of a project, as set forth and detailed by engineering and feasibility studies, or acquisition of land by eminent domain.

K. Indirect Costs. “Indirect Costs” means those costs that are incurred for a common or joint purpose benefiting more than one cost objective and are not readily assignable to the funded project (i.e., costs 660
Grant Agreement No. 4600015401

Page 3 of 52 ends

that are not directly related to the funded project). Examples of Indirect Costs include, but are not limited to: central service costs; general administration of the Grantee or LPSs; non-project-specific accounting and personnel services performed within the Grantee’s or LPS’ organization; depreciation or use allowances on buildings and equipment; the costs of operating and maintaining non-projectspecific facilities; tuition and conference fees; forums, trainings, and seminars; and, generic overhead or markup. This prohibition applies to the Grantee, LPSs, and any subcontract or sub-agreement for work on the Project that will be reimbursed pursuant to this Agreement.

L. Mitigation for environmental impacts not resulting from implementation of the Project funded by this program.

M. Costs incurred as part of any necessary response and cleanup activities required under the Comprehensive Environmental Response, Compensation, and Liability Act; Resource Conservation and Recovery Act; Hazardous Substances Account Act; or other applicable law. 8) METHOD OF PAYMENT. After the disbursement requirements in Paragraph 5, “Basic Conditions” are met, the State will disburse the whole or portions of State funding to the Grantee, following receipt from the Grantee of an electronic invoice certified and transmitted via electronic/digital signature system (e.g., DocuSign) or via US mail or Express mail delivery of a “wet signature” for costs incurred, including Local Cost Share, and timely Quarterly Progress Reports as required by Paragraph 14, “Submission of Reports.” Payment will be made no more frequently than quarterly, in arrears, upon receipt of an invoice bearing the Grant Agreement number. Quarterly Progress Report must accompany an invoice ($0 Invoices are acceptable) and shall be submitted within 60 days following the end of the calendar quarter (i.e. invoices due May 30, August 29, November 29, and March 1). The State will notify the Grantee, in a timely manner, whenever, upon review of an invoice, the State determines that any portion or portions of the costs claimed are not eligible costs or is not supported by documentation or receipts acceptable to the State. The Grantee may, within thirty (30) calendar days of the date of receipt of such notice, submit additional documentation to the State to cure such deficiency(ies). If the Grantee fails to submit adequate documentation curing the deficiency(ies), the State will adjust the pending invoice by the amount of ineligible or unapproved costs.

Invoices submitted by the Grantee shall include the following information:

A. Costs incurred for work performed in implementing the Project during the period identified in the particular invoice.

B. Costs incurred for any interests in real property (land or easements) that have been necessarily acquired for a project during the period identified in the particular invoice for the implementation of a project.

C. Invoices shall be submitted on forms provided by the State and shall meet the following format requirements:
i. Invoices shall contain the date of the invoice, either the time period covered by the invoice or the invoice date received within the time period covered, and the total amount due. ii. Invoices shall be itemized based on the categories (i.e., tasks) specified in Exhibit B, “Budget.” The amount claimed for salaries/wages/consultant fees shall include a calculation formula (i.e., hours or days worked times the hourly or daily rate = the total amount claimed). iii. One set of sufficient evidence (i.e., receipts, copies of checks, personnel hours’ summary table, time sheets) shall be provided for all costs included in the invoice. iv. Each invoice shall clearly delineate those costs claimed for reimbursement from the State’s funding amount, as depicted in Paragraph 3, “Grant Amount” and those costs that represent the Grantee’s costs, as applicable, in Paragraph 4, “Grantee Cost Share.” 661
Grant Agreement No. 4600015401

Page 4 of 52 ends

v. Original signature and date of the Grantee’s Project Representative. Submit an electronic invoice, certified and transmitted via electronic/digital signature system (e.g., DocuSign), from authorized representative to the Project Manager or the original “wet signature” copy of the invoice form to the Project Manager at the following address: P.O. Box 942836 Sacramento, CA 94236.

All invoices submitted shall be accurate and signed under penalty of law. Any and all costs submitted pursuant to this Agreement shall only be for the tasks set forth herein. The Grantee shall not submit any invoice containing costs that are ineligible or have been reimbursed from other funding sources unless required and specifically noted as such (i.e., cost share). Any eligible costs for which the Grantee is seeking reimbursement shall not be reimbursed from any other source. Double or multiple billing for time, services, or any other eligible cost is illegal and constitutes fraud. Any suspected occurrences of fraud, forgery, embezzlement, theft, or any other misuse of public funds may result in suspension of disbursements of grant funds and/or termination of this Agreement requiring the repayment of all funds disbursed hereunder plus interest. Additionally, the State may request an audit pursuant to Standard Condition D.5 and refer the matter to the Attorney General’s Office or the appropriate district attorney’s office for criminal prosecution or the imposition of civil liability. (Civ. Code, §§ 1572-1573; Pen. Code, §§ 470, 487-489.)
9) ADVANCED PAYMENT. Water Code section 10551 authorizes advanced payment by the State for projects included and implemented in an applicable Integrated Regional Water Management Plan, and when the project proponent is a nonprofit organization; a disadvantaged community (DAC); or the project benefits a DAC. If a project is awarded less than $1,000,000 in grant funds, the project proponent may receive an advanced payment of fifty (50) percent of the grant award; the remaining fifty (50) percent of the grant award will be reimbursed in arrears after the advanced funds of a budget category have been fully expended. Within ninety (90) calendar days of execution of the Grant Agreement, the Grantee may provide the State an Advanced Payment Request. Advanced Payment Requests received ninety-one (91) calendar days after the execution of this Agreement will not be eligible to receive an advanced payment.

The Advanced Payment Request shall contain the following:

A. Documentation demonstrating that each Local Project Sponsor (if different from the Grantee, as listed in Exhibit I) was notified about their eligibility to receive an advanced payment and a response from the Local Project Sponsor stating whether it wishes to receive the advanced payment or not.

B. If the Grantee is requesting the advanced payment, the request(s) shall include:
i. Descriptive information of each project with an update on project status. ii. The names of the entities that will receive the funding for each project, including, but not limited to, an identification as to whether the project proponent or proponents are nonprofit organizations or a DAC, or whether the project benefits a DAC.
iii. A detailed Funding Plan which includes how the advanced payment will be expended (in terms of workplan, budget, and schedule) within the timeframe agreed upon by DWR and the Grantee. The Funding Plan must clearly identify the total budget (at Budget Category Level) for each project clearly showing the portion of advanced payment and reimbursement funds. iv. Any other information that DWR may deem necessary.

C. Upon review and approval of the Advanced Payment Request, DWR will authorize payment of the fully requested amount for the qualified project(s). Based on the project’s Funding Plan and other considerations, DWR may determine it is not prudent to advance the full request in a single disbursement. In such a case, DWR will develop a “Disbursement Schedule,” to disburse funds in installments. This Disbursement Schedule may change based on the project’s ongoing compliance with the Advanced Payment requirements and the project’s cash flow needs.

D. Once DWR authorizes the Advanced Payment Request, the Grantee shall submit Advanced Payment Invoice(s) for the initial amount based on the “Disbursement Schedule” on behalf of the LPS(s), 662
Grant Agreement No. 4600015401

Page 5 of 52 ends

containing the request for each qualified project, to the State with signature and date of the Grantee’s Project Representative, as indicated in Paragraph 21, “Project Representative.” The Grantee shall be responsible for the timely distribution of the advanced funds to the respective LPS(s). The Advanced Payment Invoice(s) shall be submitted on forms provided by the State and shall meet the following format requirements:
i. Invoice shall contain the date of the invoice, the time period covered by the invoice, and the total amount due.
ii. Invoice shall be itemized based on the budget categories specified in Exhibit B, “Budget.” iii. The State Project Manager will notify the Grantee, in a timely manner, when, upon review of an Advance Payment Invoice, the State determines that any portion or portions of the costs claimed are not eligible costs. The Grantee may, within thirty (30) calendar days of the date of receipt of such notice, submit additional documentation to cure such deficiency(ies). iv. On a quarterly basis, the Grantee will submit an Accountability Report to the State that demonstrates how actual expenditures compare with the scheduled budget. The Accountability Report shall include the following information:

1. An itemization of how advanced funds have been spent to-date (Expenditure Report), including documentation that supports the disbursements (e.g., contractor invoices, receipts, personnel hours, etc.). Accountability Reports shall be itemized based on the budget categories (i.e., tasks) specified in Exhibit B.

2. An updated Accountability Report including an updated Funding Plan that depicts how the remaining advanced funds will be expended and the activities and deliverables associated with the advanced funds within the timeframe agreed upon by DWR and the Grantee when the advanced payment request was approved.

3. Documentation that the funds were placed in a non-interest bearing account, including the dates of deposits and withdrawals from that account.

4. Proof of distribution of advanced funds to LPS(s), if applicable. v. The State’s Project Manager will notify the Grantee, in a timely manner, when, upon review of the Accountability Report, the State determines that any portion of the expenditures claimed are not eligible costs. The Grantee may, within thirty (30) calendar days of the date of receipt of such notice, submit additional documentation to cure such deficiency(ies). If costs are not consistent with the tasks in Exhibit A, the State will reject the claim and remove them from the Accountability Report.

E. Once the Grantee has spent all advanced funds in a budget category, then the method of payment will revert to the reimbursement process for that budget category specified in Paragraph 8, “Method of Payment for Reimbursement.”
10) REPAYMENT OF ADVANCES. The State may demand repayment from the Grantee of all or any portion of the advanced State funding along with interest at the California general obligation bond interest rate at the time the State notifies the Grantee, as directed by the State, and take any other action that it deems necessary to protect its interests for the following conditions:

A. A project is not being implemented in accordance with the provisions of the Grant Agreement.

B. The Grantee has failed in any other respect to comply with the provisions of this Grant Agreement, and if the Grantee does not remedy any such failure to the State’s satisfaction.

C. Failure by the Grantee to submit complete and accurate quarterly Accountability Reports by the required due dates, unless otherwise approved by DWR.

D. Failure to deposit funds in a non-interest-bearing account. 663
Grant Agreement No. 4600015401

Page 6 of 52 ends

E. Use of Advance Payment funds for ineligible expenses and/or activities not consistent with this Agreement.

F. Inappropriate use of funds, as deemed by DWR.

G. Repayment amounts may also include:
i. Actual costs incurred which are not consistent with the activities presented in Exhibit A, not supported, or are ineligible.
ii. Advanced funds which are not fully expended by project completion, notwithstanding Water Code section 10551(c)(4). Unused grant funds shall be returned to DWR within sixty (60) calendar days.

Any repayment of advanced funds may consist of reducing the amount from future reimbursement invoices. The State may consider the Grantee’s refusal to repay the requested advanced amount a material breach of this Agreement subject to the default provisions in Paragraph 12, “Default Provisions.” If the State notifies the Grantee of its decision to demand repayment or withhold the entire funding amount from the Grantee pursuant to this Paragraph, this Grant Agreement shall terminate upon receipt of such notice by the Grantee and the State shall no longer be required to provide funds under this Agreement. 11) WITHHOLDING OF DISBURSEMENTS BY THE STATE. If the State determines that a project is not being implemented in accordance with the provisions of this Grant Agreement, or that the Grantee has failed in any other respect to comply with the provisions of this Grant Agreement, and if the Grantee does not remedy any such failure to the State’s satisfaction, the State may withhold from the Grantee all or any portion of the State funding and take any other action that it deems necessary to protect its interests.

Where a portion of the State funding has been disbursed to the Grantee and the State notifies the Grantee of its decision not to release funds that have been withheld pursuant to Paragraph 12, “Default Provisions,” the portion that has been disbursed shall thereafter be repaid immediately with interest at the California general obligation bond interest rate at the time the State notifies the Grantee, as directed by the State. The State may consider the Grantee’s refusal to repay the requested disbursed amount a material breach subject to the default provisions in Paragraph 12, “Default Provisions.” If the State notifies the Grantee of its decision to withhold the entire funding amount from the Grantee pursuant to this Paragraph, this Grant Agreement shall terminate upon receipt of such notice by the Grantee and the State shall no longer be required to provide funds under this Grant Agreement and the Grant Agreement shall no longer be binding on either party.
12) DEFAULT PROVISIONS. The Grantee shall be in default under this Grant Agreement if any of the following occur:

A. Substantial breaches of this Grant Agreement, or any supplement or amendment to it, or any other Agreement between the Grantee and the State evidencing or securing the Grantee’s obligations.

B. Making any false warranty, representation, or statement with respect to this Grant Agreement or the application filed to obtain this Grant Agreement.

C. Failure to operate or maintain the Project in accordance with this Grant Agreement.

D. Failure to make any remittance required by this Grant Agreement, including any remittance recommended as the result of an audit conducted pursuant to Standard Condition D.5.

E. Failure to submit quarterly progress reports pursuant to Paragraph 5.

F. Failure to routinely invoice the State pursuant to Paragraph 8.

G. Failure to meet any of the requirements set forth in Paragraph 13, “Continuing Eligibility.” Should an event of default occur, the State shall provide a notice of default to the Grantee and shall give the Grantee at least ten (10) calendar days to cure the default from the date the notice is sent via firstclass mail to the Grantee. If the Grantee fails to cure the default within the time prescribed by the State, the State may do any of the following:
664
Grant Agreement No. 4600015401

Page 7 of 52 ends

A. Declare the funding be immediately repaid, with interest, which shall be equal to State of California general obligation bond interest rate in effect at the time of the default.

B. Terminate any obligation to make future payments to the Grantee.

C. Terminate the Grant Agreement.

D. Take any other action that it deems necessary to protect its interests.

In the event the State finds it necessary to enforce this provision of this Grant Agreement in the manner provided by law, the Grantee agrees to pay all costs incurred by the State including, but not limited to, reasonable attorneys' fees, legal expenses, and costs.
13) CONTINUING ELIGIBILITY. The Grantee shall meet the following ongoing requirement(s) and all eligibility criteria outlined in the 2022 Guidelines to remain eligible to receive State funds:

A. An urban water supplier that receives grant funds pursuant to this Agreement shall maintain compliance with the Urban Water Management Planning Act (UWMP; Wat. Code, § 10610 et seq.) and Sustainable Water Use and Demand Reduction (Wat. Code, § 10608 et seq.) as set forth on page 11 of the 2022 Guidelines and as stated on page 24 of the 2022 IRWM Implementation Grant Proposal Solicitation Package.

B. An agricultural water supplier receiving grant funds shall comply with Sustainable Water Use and Demand Reduction requirements outlined in Water Code section 10608, et seq. and have their Agricultural Water Management Plan (AWMP) deemed consistent by DWR. To maintain eligibility and continue funding disbursements, an agricultural water supply shall have their 2015 AWMP identified on the State’s website. For more information, visit the website listed in Appendix A in the 2022 Guidelines.

C. A surface water diverter receiving grant funds shall maintain compliance with diversion reporting requirements as outlined in Water Code section 5100 et. seq.

D. If applicable, the Grantee shall demonstrate compliance with the Sustainable Groundwater Management Act (SGMA) set forth on page 10 of the 2022 Guidelines.

E. If the Grantee has been designated as a monitoring entity under the California Statewide Groundwater Elevation Monitoring (CASGEM) Program, the Grantee shall maintain reporting compliance, as required by Water Code section 10932 and the CASGEM Program.

F. The Grantee shall adhere to the protocols developed pursuant to The Open and Transparent Water Data Act (Wat. Code, § 12406, et seq.) for data sharing, transparency, documentation, and quality control.

G. On March 4, 2022, the Governor issued Executive Order N-6-22 (the EO) regarding Economic Sanctions against Russia and Russian entities and individuals. The EO may be found at:
https://www.gov.ca.gov/wp-content/uploads/2022/03/3.4.22-Russia-Ukraine-Executive-Order.pdf. “Economic Sanctions” refers to sanctions imposed by the U.S. government in response to Russia’s actions in Ukraine, as well as any sanctions imposed under State law. The EO directs DWR to terminate funding agreements with, and to refrain from entering any new agreements with, individuals or entities that are determined to be a target of Economic Sanctions. Accordingly, should the State determine that the Grantee is a target of Economic Sanctions or is conducting prohibited transactions with sanctioned individuals or entities, that shall be grounds for termination of this Agreement. The State shall provide the Grantee advance written notice of such termination, allowing the Grantee at least 30 calendar days to provide a written response. Termination shall be at the sole discretion of the State.
14) SUBMISSION OF REPORTS. The submittal and approval of all reports is a requirement for the successful completion of this Grant Agreement. Reports shall meet generally accepted professional standards for technical reporting and shall be proofread for content, numerical accuracy, spelling, and grammar prior to 665
Grant Agreement No. 4600015401

Page 8 of 52 ends

submittal to the State. All reports shall be submitted to the State’s Project Manager and shall be submitted via the DWR “Grant Review and Tracking System” (GRanTS). I f requested, the Grantee shall promptly provide any additional information deemed necessary by the State for the approval of reports.

Reports shall be presented in the formats described in the applicable portion of Exhibit F, “Report Formats and Requirements.” The timely submittal of reports is a requirement for initial and continued disbursement of State funds. Submittal and subsequent approval by the State of a Project Completion Report is a requirement for the release of any funds retained for such project.

A. Quarterly Progress Reports: The Grantee shall submit quarterly Progress Reports to meet the State’s requirement for disbursement of funds. Progress Reports shall be uploaded via GRanTS, and the State’s Project Manager notified of upload. Progress Reports shall, in part, provide a brief description of the work performed, the Grantee’s activities, milestones achieved, any accomplishments and any problems encountered in the performance of the work under this Grant Agreement during the reporting period. The first Progress Report must accompany an invoice ($0 Invoices are acceptable) and shall be submitted within 60 days following the end of the calendar quarter (i.e., invoices due May 30, August 29, November 29, and March 1).

B. Accountability Report: The Grantee shall prepare and submit to the State an Accountability Report on a quarterly basis if the Grantee received an advanced payment, consistent with the provisions in Paragraph 9, “Advanced Payment.”
C. Project Completion Report: The Grantee shall prepare and submit to the State a separate Project Completion Report for each project included in Exhibit A. The Grantee shall submit a Project Completion Report (or a Component Completion Report, if a Project has multiple Components) within ninety (90) calendar days of Project/Component completion as outlined in Exhibit F.

D. Grant Completion Report: Upon completion of all the Projects included in Exhibit A, the Grantee shall submit to the State a Grant Completion Report. The Grant Completion Report shall be submitted within ninety (90) calendar days of submitting the Completion Report for the final project to be completed under this Grant Agreement, as outlined in Exhibits A, and F. Retention for any grant administration line items in the Budget of this Grant Agreement will not be disbursed until the Grant Completion Report is approved by the State.

E. Post-Performance Reports: The Grantee shall prepare and submit to the State Post-Performance Reports for the applicable project(s). Post-Performance Reports shall be submitted to the State within ninety (90) calendar days after the first operational year of a project has elapsed. This record keeping and reporting process shall be repeated annually for a total of three (3) years after the project begins operation.
15) OPERATION AND MAINTENANCE OF PROJECT. For the useful life of construction and implementation projects and in consideration of the funding made by the State, the Grantee agrees to ensure or cause to be performed the commencement and continued operation of the project, and shall ensure or cause the project to be operated in an efficient and economical manner; shall ensure all repairs, renewals, and replacements necessary to the efficient operation of the same are provided; and shall ensure or cause the same to be maintained in as good and efficient condition as upon its construction, ordinary and reasonable wear and depreciation excepted. The State shall not be liable for any cost of such maintenance, management, or operation. The Grantee or their successors may, with the written approval of the State, transfer this responsibility to use, manage, and maintain the property. For purposes of this Grant Agreement, “useful life” means period during which an asset, property, or activity is expected to be usable for the purpose it was acquired or implemented; “operation costs” include direct costs incurred for material and labor needed for operations, utilities, insurance, and similar expenses, and “maintenance costs” include ordinary repairs and replacements of a recurring nature necessary for capital assets and basic structures and the expenditure of funds necessary to replace or reconstruct capital assets or basic structures. Refusal by the Grantee to ensure operation and maintenance of the projects in accordance with this provision may, at the option of the State, be considered a breach of this Grant Agreement and may be treated as default under Paragraph 12, “Default Provisions.” 666
Grant Agreement No. 4600015401

Page 9 of 52 ends

16) MONITORING PLAN REQUIREMENTS. A Monitoring Plan shall be submitted to the State prior to disbursement of State funds for construction or monitoring activities. The Monitoring Plan should incorporate Post-Performance Monitoring Report requirements as defined and listed in Exhibit F, and follow the guidance provided in Exhibit L, “Project Monitoring Plan Guidance.” 17) STATEWIDE MONITORING REQUIREMENTS. The Grantee shall ensure that all groundwater projects and projects that include groundwater monitoring requirements are consistent with the Groundwater Quality Monitoring Act of 2001 (Water Code § 10780 et seq.) and, where applicable, that projects that affect water quality shall include a monitoring component that allows the integration of data into statewide monitoring efforts, including where applicable, the Surface Water Ambient Monitoring Program carried out by the State Water Resources Control Board. See Exhibit G for web links and information regarding other State monitoring and data reporting requirements.
18) NOTIFICATION OF STATE. The Grantee shall promptly notify the State, in writing, of the following items:

A. Events or proposed changes that could affect the scope, budget, or work performed under this Grant Agreement. The Grantee agrees that no substantial change in the scope of a project will be undertaken until written notice of the proposed change has been provided to the State and the State has given written approval for such change. Substantial changes generally include changes to the scope of work, schedule or term, and budget.

B. Any public or media event publicizing the accomplishments and/or results of this Grant Agreement and provide the opportunity for attendance and participation by the State’s representatives. The Grantee shall make such notification at least fourteen (14) calendar days prior to the event.

C. Discovery of any potential archaeological or historical resource. Should a potential archaeological or historical resource be discovered during construction, the Grantee agrees that all work in the area of the find shall cease until a qualified archaeologist has evaluated the situation and made recommendations regarding preservation of the resource, and the State has determined what actions should be taken to protect and preserve the resource. The Grantee agrees to implement appropriate actions as directed by the State.

D. The initiation of any litigation or the threat of litigation against the Grantee or an LPS regarding the Project or which may affect the Project in any way.

E. Applicable to construction projects only: Final inspection of the completed work on a project by a Registered Professional (Civil Engineer, Engineering Geologist, or other State approved certified/licensed Professional), in accordance with Exhibit D. The Grantee shall notify the State’s Project Manager of the inspection date at least fourteen (14) calendar days prior to the inspection in order to provide the State the opportunity to participate in the inspection. 19) NOTICES. Any notice, demand, request, consent, or approval that either party desires or is required to give to the other party under this Grant Agreement shall be in writing. Notices may be transmitted by any of the following means:

A. By delivery in person.

B. By certified U.S. mail, return receipt requested, postage prepaid.

C. By “overnight” delivery service; provided that next-business-day delivery is requested by the sender.

D. By electronic means.

E. Notices delivered in person will be deemed effective immediately on receipt (or refusal of delivery or receipt). Notices sent by certified mail will be deemed effective given ten (10) calendar days after the date deposited with the U.S. Postal Service. Notices sent by overnight delivery service will be deemed effective one business day after the date deposited with the delivery service. Notices sent electronically will be effective on the date of transmission, which is documented in writing. Notices 667
Grant Agreement No. 4600015401

Page 10 of 52 ends

shall be sent to the addresses listed below. Either party may, by written notice to the other, designate a different address that shall be substituted for the one below. 20) PERFORMANCE EVALUATION. Upon completion of this Grant Agreement, the Grantee’s performance will be evaluated by the State and a copy of the evaluation will be placed in the State file and a copy sent to the Grantee.
21) PROJECT REPRESENTATIVES. The Project Representatives during the term of this Grant Agreement are as follows:

Department of Water Resources City of Banning
Arthur Hinojosa
Manager, Division of Regional Assistance
P.O. Box 942836
Sacramento, CA 94236
Phone: (916) 902-6713
Email: [email protected]
Doug Schulze
City Manager
99 E. Ramsey Street
Banning, CA 92220
Phone: (951) 922-4860
Email: [email protected]
Direct all inquiries to the Project Manager:

Department of Water Resources City of Banning
Pakiza Chatha
Engineer, Water Resources
707 Fairmont Avenue, Suite 200
Glendale, CA 91203
Phone: (818) 621-7257
Email: [email protected]
Arturo Vela
Director of Public Works
99 E. Ramsey Street
Banning, CA 92220
Phone: (951) 922-3130
Email: [email protected]
Either party may change its Project Representative or Project Manager upon written notice to the other party.
22) STANDARD PROVISIONS. This Grant Agreement is complete and is the final Agreement between the parties. The following Exhibits are attached and made a part of this Grant Agreement by this reference:

Exhibit A – Work Plan
Exhibit B – Budget
Exhibit C – Schedule
Exhibit D – Standard Conditions
Exhibit E – Authorizing Resolution
Exhibit F – Report Formats and Requirements
Exhibit G – Requirements for Data Submittal
Exhibit H – State Audit Document Requirements and Cost Share Guidelines for the Grantee Exhibit I – Local Project Sponsors and Project Locations Exhibit J – Appraisal Specifications
Exhibit K – Information Needed for Escrow Processing and Closure 668
Grant Agreement No. 4600015401

Page 11 of 52 ends

Exhibit L – Project Monitoring Plan Guidance
Exhibit M – Invoice Guidance for Administrative and Overhead Charges IN WITNESS WHEREOF, the parties hereto have executed this Grant Agreement.

STATE OF CALIFORNIA

DEPARTMENT OF WATER RESOURCES

CITY OF BANNING
Arthur Hinojosa
Manager, Division of Regional Assistance
Doug Schulze
City Manager
Date Date
Approved as to Legal Form and Sufficiency
Robin Brewer
Assistant General Counsel,
Office of the General Counsel
Date___________________________
669
Grant Agreement No. 4600015401

Page 12 of 52 ends

EXHIBIT A

WORK PLAN
PROPOSITION 1 ROUND 2 SAN GORGONIO IRWM IMPLEMENTATION GRANT Grant Administration
IMPLEMENTING AGENCY: City of Banning (Grantee)
PROJECT DESCRIPTION: The Grantee will administer these funds and respond to DWR’s reporting and compliance requirements associated with the grant administration. This Grantee will act in a coordination role: disseminating grant compliance information to the project managers responsible for implementing the projects contained in this agreement, obtaining and retaining evidence of compliance (e.g., CEQA/NEPA documents, reports, monitoring compliance documents, labor requirements, etc.), obtaining data for progress reports from individual project managers, assembling and submitting progress reports to the State, and coordinating all invoicing and payment of invoices.

Budget Category (a): Project Administration
Task 1: Agreement Administration
The Grantee will respond to DWR’s reporting and compliance requirements associated with the grant administration and will coordinate with the project managers responsible for implementing the projects contained in this agreement.

Task 2: Invoicing
The Grantee will be responsible for compiling invoices for submittal to DWR. This includes collecting invoice documentation from each of the Local Project Sponsors and compiling the information into a DWR Invoice Packet.

Deliverables:

Quarterly Invoices and associated backup documentation
Task 3: Reporting
The Grantee will be responsible for compiling progress reports for submittal to DWR. The Grantee will coordinate with Local Project Sponsor staff to retain consultants as needed to prepare and submit progress reports and final project completion reports for each project, as well as the grant completion report.

Reports will meet generally accepted professional standards for technical reporting and the requirements terms of the contract with DWR outlined in Exhibit F of this Agreement.

Deliverables:

Quarterly Progress Reports
Grant Completion Report
670
Grant Agreement No. 4600015401

Page 13 of 52 ends

PROJECT 1: Twin Pines Water Supply Reliability and Fire Protection Upgrades IMPLEMENTING AGENCY: High Valleys Water District
PROJECT DESCRIPTION: The project will replace and upsize approximately 4,800 linear feet of failing water main and install approximately 10 new fire hydrants within the rural community of Twin Pines, California. The project will provide a reliable water supply of 3.8 acre-feet per year (AFY) and will improve flows to meet fire code, bringing the 12 households in this community within a preferred threshold for fire protection.

Budget Category (a): Project Administration
Task 1: Project Management
Manage Grant Agreement including compliance with grant requirements, and preparation and submission of supporting grant documents and coordination with the Grantee. Prepare invoices including relevant supporting documentation for submittal to DWR via the Grantee. This task also includes administrative responsibilities associated with the project such as coordinating with partnering agencies and managing consultants/contractors.

Deliverables:

Invoices and associated backup documentation
Task 2: Reporting
Prepare progress reports detailing work completed during reporting period as outlined in Exhibit F of this Agreement. Submit reports to DWR via the Grantee.

Prepare Project Completion Report and submit to DWR no later than 90 days after project completion for DWR Project Manager’s comment and review. The report shall be prepared and presented in accordance with guidance as outlined in Exhibit F.

Deliverables:

Quarterly Project Progress Reports
Project Completion Report
Documentation (e.g., photo) of “Acknowledgment of Credit & Signage” per Standard Condition D.2 Budget Category (b): Land Purchase/Easement
Task 3: Land Purchase
Pipeline will be installed within the roadway right-of-way. The contractor will secure an encroachment permit from Riverside County for construction within the right-of-way. Both laterals will be constructed within existing easements.

Deliverables:

Documentation supporting property value (if purchased)
All relevant documentation regarding property ownership transfer or acquisition of easement including final recorded deed, title report, etc. (if required) 671
Grant Agreement No. 4600015401

Page 14 of 52 ends

Budget Category (c): Planning/Design/Engineering/Environmental Documentation Task 4: Feasibility Studies
Project Feasibility Studies were completed in 2020 as part of the project development process. The Feasibility Studies include: an investigation for CEQA compliance, identification of the most cost-effective alignment for the proposed pipe, recommended pipe material, hydraulic calculations, compliance with county fire requirements and cost estimates for design and construction.

Deliverables:

Relevant Feasibility Studies
Task 5: CEQA Documentation
Complete environmental review pursuant to CEQA. Prepare all necessary environmental documentation.

Prepare letter stating no legal challenges (or addressing legal challenges).

Deliverables:

All completed CEQA documents as required
Legal Challenges Letter
Task 6: Permitting
The following permits are anticipated to be acquired for this project: (1) A Stormwater Pollution Prevention Plan permit and (2) an encroachment permit from the County of Riverside.

Deliverables:

Permits as required
Task 7: Design
Preliminary and final design for the pipeline and fire hydrants will be completed. Final plans and specifications will be provided.

Deliverables:
100% Design Plans and Specifications
Task 8: Project Monitoring Plan
Develop and submit a Project Monitoring Plan per Paragraph 16 for DWR’s review and approval.

Deliverables:

Project Monitoring Plan
672
Grant Agreement No. 4600015401

Page 15 of 52 ends

Budget Category (d): Construction/Implementation
Task 9: Contract Services
This task must comply with the Standard Condition D.11 – Competitive Bidding and Procurements. Activities necessary (as applicable) to secure a contractor and award the contract, including: develop bid documents, prepare advertisement and contract documents for construction contract bidding, conduct pre-bid meeting, bid opening and evaluation, selection of the contractor, award of contract, and issuance of notice to proceed.

Deliverables:

Bid Documents
Proof of Advertisement
Award of Contract
Notice to Proceed
Task 10: Construction Administration
This task includes managing contractor submittal review, answering requests for information, and issuing work directives. A full-time engineering construction observer will be on site as needed for the project.

Construction observer duties include documenting of pre-construction conditions, daily construction diary, preparing change orders, addressing questions of contractors on site, reviewing/ updating project schedule, reviewing contractor log submittals and pay requests, forecasting cash flow, notifying contractor if work is not acceptable. Upon completing the project, the DWR Certificate of Project Completion and record drawings will be provided to DWR.

Deliverables:

DWR Certificate of Project Completion
Record Drawings
Task 11: Construction
Construction activities include mobilization of equipment and transport to the site; setting up temporary facilities (e.g., field office, construction barriers) and clearing site for construction as needed; construction of approximately 4,700-4,800 feet of 8-inch water main and associated appurtenances to serve 12 existing homes, and up to 10 fire hydrant assemblies along the new upsized water main; and site cleanup and site restoration (e.g., post-construction restoration of the roadway), and removal of all temporary facilities. The existing pipeline will remain in place.

Deliverables:

Photographic Documentation of Progress
673
Grant Agreement No. 4600015401

Page 16 of 52 ends

PROJECT 2: Esperanza Street Waterline Improvements, Phase 1 IMPLEMENTING AGENCY: Cabazon Water District
PROJECT DESCRIPTION: The project will replace and upsize approximately 900 linear feet of a failing water line in Cabazon, California. The project will conserve approximately 0.3 AFY and will improve flows to meet fire code, bringing the 27 service connections within the preferred threshold for fire protection.

Deliverables:

Deliverables: N/A
Budget Category (c): Planning/Design/Engineering/Environmental Documentation Task 4: Feasibility Studies
Not applicable; the project is consistent with previous projects completed by Cabazon Water District and is necessary to address a system deficiency.

Deliverables: N/A
PROJECT 2: Esperanza Street Waterline Improvements, Phase 1 Cabazon Water District
Deliverables:

Invoices and associated backup documentation
Deliverables:

Quarterly Project Progress Reports
Project Completion Report
Documentation (e.g., photo) of “Acknowledgment of Credit & Signage” per Standard Condition D.2 Deliverables: N/A
Deliverables: N/A
674
Grant Agreement No. 4600015401

Page 17 of 52 ends

Task 5: CEQA Documentation
Complete environmental review pursuant to CEQA. Prepare all necessary environmental documentation.

Prepare letter stating no legal challenges (or addressing legal challenges).

Deliverables:

All completed CEQA documents as required
Legal Challenges Letter
Task 6: Permitting
The following permits are anticipated to be acquired for this project: an encroachment permit from Riverside County to perform work within the Riverside County right-of-way. The encroachment permit will be secured prior to construction but cannot be secured until the contractor is selected.

Deliverables:

Permits as required
Task 7: Design
Preliminary and final design for the pipeline will be completed. All designs will comply with applicable construction and health and safety standards. Final plans and specifications will be provided.

Deliverables:
100% Design Plans and Specifications
Task 8: Project Monitoring Plan
Develop and submit a Project Monitoring Plan per Paragraph 16 for DWR’s review and approval.

Deliverables:

Project Monitoring Plan
Budget Category (d): Construction/Implementation
Task 9: Contract Services
This task must comply with the Standard Condition D.11 – Competitive Bidding and Procurements. Activities necessary (as applicable) to secure a contractor and award the contract, including: develop bid documents, prepare advertisement and contract documents for construction contract bidding, conduct pre-bid meeting, bid opening and evaluation, selection of the contractor, award of contract, and issuance of notice to proceed.

Deliverables:

Bid Documents
Proof of Advertisement
Award of Contract
Notice to Proceed
Deliverables:

All completed CEQA documents as required
Legal Challenges Letter
Deliverables:

Permits as required
Deliverables:
100% Design Plans and Specifications
Deliverables:

Project Monitoring Plan
Deliverables:

Bid Documents
Proof of Advertisement
Award of Contract
Notice to Proceed
675
Grant Agreement No. 4600015401

Page 18 of 52 ends

Task 10: Construction Administration
This task includes managing contractor submittal review, answering requests for information, and issuing work directives. A full-time engineering construction observer will be on site for the duration of the project.

Deliverables:

DWR Certificate of Project Completion
Record Drawings
Task 11: Construction
Construction activities include mobilization of equipment and transport to the site; setting up temporary facilities (e.g., construction barriers), clearing site for construction as needed, and identification of existing underground utilities to avoid as necessary; Excavate trench to remove existing 4” steel pipe. Construct approximately 900 feet of 8-inch PVC water main and connect to the existing system. Connect the water main to existing meters and hydrants, and complete backfill and compaction of trench; site cleanup and site restoration (e.g., trench backfilling, post-construction restoration of the roadway), and removal of all temporary facilities and equipment.

Deliverables:

Photographic Documentation of Progress
Deliverables:

DWR Certificate of Project Completion
Record Drawings
Deliverables:

Photographic Documentation of Progress
676
Grant Agreement No. 4600015401

Page 19 of 52 ends

PROJECT 3: Lions Park Recycled Water Conversion Project IMPLEMENTING AGENCY: City of Banning
PROJECT DESCRIPTION: The project will convert the irrigation system at Lions Park from potable to recycled water. The work also includes installation of recycled water identification valve boxes, lids, and tags; installation of recycled water signs; sprinkler head retrofits to water efficient, color-coded purple heads; and installation of a smart irrigation controller and backflow preventer. The project will conserve approximately

36.75 AFY of potable water and an additional 7.35 AFY through installation of a smart irrigation controller that will reduce overall water demands at the 8.86-acre park for a total water savings of approximately 44.1 AFY.

Budget Category (a): Project Administration
Task 1: Project Management
Manage Grant Agreement including compliance with grant requirements, and preparation and submission of supporting grant documents. Prepare invoices including relevant supporting documentation for submittal to DWR. This task also includes administrative responsibilities associated with the project such as coordinating with partnering agencies and managing consultants/contractors.

Deliverables:

Deliverables: N/A
Budget Category (c): Planning/Design/Engineering/Environmental Documentation Task 4: Feasibility Studies
Not applicable.

Deliverables: N/A
PROJECT 3: Lions Park Recycled Water Conversion Project Deliverables:

Invoices and associated backup documentation
Deliverables:

Page 20 of 52 ends

Task 5: CEQA Documentation
Complete environmental review pursuant to CEQA. Prepare all necessary environmental documentation.

Prepare letter stating no legal challenges (or addressing legal challenges).

Deliverables:

All completed CEQA documents as required
Legal Challenges Letter
Task 6: Permitting
No permits are required.

Deliverables: N/A
Task 7: Design
The Grantee will develop and finalize improvement plans and specifications that meet the goals of the project in a cost-effective manner. All designs will comply with applicable construction and health and safety standards. Final plans and technical specifications will be provided.

Deliverables:

Final Plans and Technical Specifications
Task 8: Project Monitoring Plan
Develop and submit a Project Monitoring Plan per Paragraph 16 for DWR’s review and approval.

Deliverables:

Bid Documents
Proof of Advertisement
Award of Contract
Notice to Proceed
Deliverables:

All completed CEQA documents as required
Legal Challenges Letter
Deliverables: N/A
Deliverables:

Final Plans and Technical Specifications
Deliverables:

Project Monitoring Plan
Deliverables:

Bid Documents
Proof of Advertisement
Award of Contract
Notice to Proceed
678
Grant Agreement No. 4600015401

Page 21 of 52 ends

Task 10: Construction Administration
This task includes managing contractor submittal review, answering requests for information, and issuing work directives. An engineering construction observer will be on site for the duration of the project.

Deliverables:

DWR Certificate of Project Completion
Record Drawings
Task 11: Construction
Construction activities include mobilization of equipment and transport to the site; setting up temporary facilities (e.g., field office, construction barriers) and clearing site for construction as needed; Installing recycled water identification valve boxes, lids, and tags, and recycled water signs, Installing water efficient (anti-mist), color-coded sprinkler heads for recycled water, installing a smart irrigation controller and backflow prevention devise, and installing a new 4 inch recycled water meter for the park and connect the existing irrigation system to the new meter; and site cleanup and site restoration (e.g., post-construction restoration of the park), and removal of all temporary facilities and equipment. All construction work will be done as per the final design and specifications.

Deliverables:

Photographic Documentation of Progress
Deliverables:

DWR Certificate of Project Completion
Record Drawings
Deliverables:

Photographic Documentation of Progress
679
Grant Agreement No. 4600015401

Page 22 of 52 ends

EXHIBIT B
BUDGET
PROPOSITION 1 ROUND 2 SAN GORGONIO IRWM IMPLEMENTATION GRANT

AGREEMENT BUDGET SUMMARY
PROJECTS Grant Amount
Required
Cost Share:

Non-State
Fund Source
Other Cost
Share
Total Cost
Cost Share
Required
%
Grant Administration $114,462 $0 $0 $114,462 N/A
1 Project 1: Twin Pines Water
Supply Reliability and Fire
Protection Upgrades
$964,324 $0 $20,000 $984,324 0%
2 Project 2: Esperanza Street
Waterline Improvements, Phase 1 $343,700 $0 $16,000 $359,700 0% 3 Project 3: Lions Park Recycled
Water Conversion Project
$490,269 $0 $8,987 $499,256 0%
GRAND TOTAL $1,912,755 $0 $44,987 $1,957,742
Grant Administration
Implementing Agency: City of Banning
BUDGET CATEGORY Grant Amount
Required
Cost Share:

Non-State
Fund Source
Other Cost Share Total Cost
(a) Project Administration $114,462 $0 $0 $114,462
TOTAL COSTS $114,462 $0 $0 $114,462
3 Project 3: Lions Park Recycled Project 3: Lions Park Recycled $490,269 $0 $8,987 $499,256 0% Water Conversion Project
GRAND TOTAL $1,912,755 $0 $44,987 $1,957,742
680
Grant Agreement No. 4600015401

Page 23 of 52 ends

PROJECT 1: Twin Pines Water Supply Reliability and Fire Protection Upgrades Implementing Agency: High Valleys Water District
BUDGET CATEGORY Grant Amount
Required
Cost Share:

Non-State
Fund Source*
Other Cost
Share**
Total Cost
(a) Project Administration $3,324 $0 $20,000 $23,324
(b) Land Purchase / Easement $2,000 $0 $0 $2,000
(c) Planning / Design / Engineering /
Environmental Documentation $72,000 $0 $0 $72,000
(d) Construction / Implementation $887,000 $0 $0 $887,000 TOTAL COSTS $964,324 $0 $20,000 $984,324
NOTES:
*The project received a 100% cost share waiver.
**Other Cost Share fund source(s): High Valleys Water District General Fund, provided as in-kind labor by District staff.

PROJECT 2: Esperanza Street Waterline Improvements, Phase 1 Implementing Agency: Cabazon Water District
BUDGET CATEGORY Grant Amount
Required
Cost Share:

Non-State
Fund Source*
Other Cost
Share**
Total Cost
(a) Project Administration $8,000 $0 $8,000 $16,000
(b) Land Purchase / Easement $0 $0 $0 $0
(c) Planning / Design / Engineering /
Environmental Documentation $41,000 $0 $2,000 $43,000
(d) Construction / Implementation $294,700 $0 $6,000 $300,700 TOTAL COSTS $343,700 $0 $16,000 $359,700
NOTES:
*The project received a 100% cost share waiver.
**Other Cost Share fund source(s): Cabazon Water District General Fund, provided as in-kind labor by District staff. 681
Grant Agreement No. 4600015401

Page 24 of 52 ends

PROJECT 3: Lions Park Recycled Water Conversion Project Implementing Agency: City of Banning
BUDGET CATEGORY Grant Amount
Required
Cost Share:

Non-State
Fund Source*
Other Cost
Share**
Total Cost
(a) Project Administration $35,065 $0 $8,987 $44,052
(b) Land Purchase / Easement $0 $0 $0 $0
(c) Planning / Design / Engineering /
Environmental Documentation $42,100 $0 $0 $42,100
(d) Construction / Implementation $413,104 $0 $0 $413,104 TOTAL COSTS $490,269 $0 $8,987 $499,256
NOTES:
*The project received a 100% cost share waiver.
**Other Cost Share fund source(s): City of Banning Water Operations Fund.

PROJECT 3: Lions Park Recycled Water Conversion Project Implementing Agency: City of Banning
Required
BUDGET CATEGORY Grant Amount Cost Share: Other Cost Total Cost Non-State Share** Fund Source* (a) Project Administration $35,065 $0 $8,987 $44,052 (b) Land Purchase / Easement $0 $0 $0 $0
Planning / Design / Engineering / (c) $42,100 $0 $0 $42,100 Environmental Documentation (d) Construction / Implementation $413,104 $0 $0 $413,104 TOTAL COSTS $490,269 $0 $8,987 $499,256
682
Grant Agreement No. 4600015401

Page 25 of 52 ends

EXHIBIT C

SCHEDULE
PROPOSITION 1 ROUND 2 SAN GORGONIO IRWM IMPLEMENTATION GRANT Grant Administration
BUDGET CATEGORY Start Date End Date
a Project Administration 05/01/2023 12/31/2025
PROJECT 1: Twin Pines Water Supply Reliability and Fire Protection Upgrades BUDGET CATEGORY Start Date End Date
a Project Administration 05/01/2023 09/30/2025
b Land Purchase / Easement 11/01/2023 03/31/2024
c
Planning / Design / Engineering / Environmental Documentation 05/01/2023 03/31/2024 d Construction / Implementation 11/02/2023 06/30/2025
Budget Category (c) overlaps with Budget Category (d) to accommodate finalization of the Project Monitoring Plan (Task 8) and securing of the encroachment permit (Task 6), while beginning the Construction contracting processes (Task 9). 09/30/2025
03/31/2024
03/31/2024
06/30/2025
683
Grant Agreement No. 4600015401

Page 26 of 52 ends

PROJECT 2: Esperanza Street Waterline Improvements, Phase 1 BUDGET CATEGORY Start Date End Date
a Project Administration 05/01/2023 05/01/2025
b Land Purchase / Easement N/A N/A
c
Planning / Design / Engineering / Environmental Documentation 05/01/2023 12/01/2023 d Construction / Implementation 08/02/2023 02/01/2025
Budget Category (c) overlaps with Budget Category (d) to accommodate finalization of the Project Monitoring Plan (Task 8) and completion of the Notice of Exemption (Task 5), while beginning the Construction contracting processes (Task 9).

PROJECT 3: Lions Park Recycled Water Conversion Project BUDGET CATEGORY Start Date End Date
a Project Administration 05/01/2023 09/30/2025
b Land Purchase / Easement N/A N/A
c Planning / Design / Engineering / Environmental Documentation 05/01/2023 02/28/2024 d Construction / Implementation 01/01/2024 06/30/2025
Budget Category (c) overlaps with Budget Category (d) to accommodate finalization of the Project Monitoring Plan (Task 8) and to begin the Construction contracting processes (Task 9).

684
Grant Agreement No. 4600015401

Page 27 of 52 ends

EXHIBIT D

STANDARD CONDITIONS
D.1. ACCOUNTING AND DEPOSIT OF FUNDING DISBURSEMENT:

A. Separate Accounting of Funding Disbursements: Grantee shall account for the money disbursed pursuant to this Grant Agreement separately from all other Grantee funds. Grantee shall maintain audit and accounting procedures that are in accordance with generally accepted accounting principles and practices, consistently applied. Grantee shall keep complete and accurate records of all receipts and disbursements on expenditures of such funds. Grantee shall require its contractors or subcontractors to maintain books, records, and other documents pertinent to their work in accordance with generally accepted accounting principles and practices. Records are subject to inspection by State at any and all reasonable times.

B. Disposition of Money Disbursed: All money disbursed pursuant to this Grant Agreement shall be deposited in a non-interest bearing account, administered, and accounted for pursuant to the provisions of applicable law.

C. Remittance of Unexpended Funds: Grantee shall remit to State any unexpended funds that were disbursed to Grantee under this Grant Agreement and were not used to pay Eligible Project Costs within a period of sixty (60) calendar days from the final disbursement from State to Grantee of funds or, within thirty (30) calendar days of the expiration of the Grant Agreement, whichever comes first.

D.2. ACKNOWLEDGEMENT OF CREDIT AND SIGNAGE: Grantee shall include appropriate acknowledgement of credit to the State for its support when promoting the Project or using any data and/or information developed under this Grant Agreement. Signage shall be posted in a prominent location at Project site(s) (if applicable) or at the Grantee’s headquarters and shall include the Department of Water Resources color logo and the following disclosure statement: “Funding for this project has been provided in full or in part from the Water Quality, Supply, and Infrastructure Improvement Act of 2014 and through an agreement with the State Department of Water Resources.” The Grantee shall also include in each of its contracts for work under this Agreement a provision that incorporates the requirements stated within this Paragraph.

D.3. AMENDMENT: This Grant Agreement may be amended at any time by mutual agreement of the Parties, except insofar as any proposed amendments are in any way contrary to applicable law.

Requests by the Grantee for amendments must be in writing stating the amendment request and the reason for the request. Requests solely for a time extension must be submitted at least 90 days prior to the work completion date set forth in Paragraph 2. Any other request for an amendment must be submitted at least 180 days prior to the work completion date set forth in Paragraph 2. State shall have no obligation to agree to an amendment.

D.4. AMERICANS WITH DISABILITIES ACT: By signing this Grant Agreement, Grantee assures State that it complies with the Americans with Disabilities Act (ADA) of 1990, (42 U.S.C. § 12101 et seq.), which prohibits discrimination on the basis of disability, as well as all applicable regulations and guidelines issued pursuant to the ADA.

D.5. AUDITS: State reserves the right to conduct an audit at any time between the execution of this Grant Agreement and the completion of the Project, with the costs of such audit borne by State. After completion of the Project, State may require Grantee to conduct a final audit to State’s specifications, at Grantee’s expense, such audit to be conducted by and a report prepared by an independent Certified Public Accountant. Failure or refusal by Grantee to comply with this provision shall be considered a breach of this Grant Agreement, and State may elect to pursue any remedies provided in Paragraph 12 or take any other action it deems necessary to protect its interests. The Grantee agrees it shall return any audit disallowances to the State.
685
Grant Agreement No. 4600015401

Page 28 of 52 ends

Pursuant to Government Code section 8546.7, the Grantee shall be subject to the examination and audit by the State for a period of three (3) years after final payment under this Grant Agreement with respect of all matters connected with this Grant Agreement, including but not limited to, the cost of administering this Grant Agreement. All records of Grantee or its contractor or subcontractors shall be preserved for this purpose for at least three (3) years after receipt of the final disbursement under this Agreement. If an audit reveals any impropriety, the Bureau of State Audits or the State Controller’s Office may conduct a full audit of any or all of the Grantee’s activities. Code, § 79708, subd. (b) D.6. BUDGET CONTINGENCY: If the Budget Act of the current year covered under this Grant Agreement does not appropriate sufficient funds for this program, this Grant Agreement shall be of no force and effect. This provision shall be construed as a condition precedent to the obligation of State to make any payments under this Grant Agreement. In this event, State shall have no liability to pay any funds whatsoever to Grantee or to furnish any other considerations under this Grant Agreement and Grantee shall not be obligated to perform any provisions of this Grant Agreement. Nothing in this Grant Agreement shall be construed to provide Grantee with a right of priority for payment over any other Grantee. If funding for any fiscal year after the current year covered by this Grant Agreement is reduced or deleted by the Budget Act, by Executive Order, or by order of the Department of Finance, the State shall have the option to either cancel this Grant Agreement with no liability occurring to State, or offer a Grant Agreement amendment to Grantee to reflect the reduced amount.

D.7. CALIFORNIA CONSERVATION CORPS: Grantee may use the services of the California Conservation Corps or other community conservation corps as defined in Public Resources Code section 14507.5.

D.8. CEQA: Activities funded under this Grant Agreement, regardless of funding source, must be in compliance with the California Environmental Quality Act (CEQA). (Pub. Resources Code, § 21000 et seq.) Any work that is subject to CEQA and funded under this Agreement shall not proceed until documents that satisfy the CEQA process are received by the State’s Project Manager and the State has completed its CEQA compliance. Work funded under this Agreement that is subject to a CEQA document shall not proceed until and unless approved by the Department of Water Resources. Such approval is fully discretionary and shall constitute a condition precedent to any work for which it is required. If CEQA compliance by the Grantee is not complete at the time the State signs this Agreement, once State has considered the environmental documents, it may decide to require changes, alterations, or other mitigation to the Project; or to not fund the Project. Should the State decide to not fund the Project, this Agreement shall be terminated in accordance with Paragraph 12, “Default Provisions.”
D.9. CHILD SUPPORT COMPLIANCE ACT: The Grantee acknowledges in accordance with Public Contract Code section 7110, that:

A. The Grantee recognizes the importance of child and family support obligations and shall fully comply with all applicable state and federal laws relating to child and family support enforcement, including, but not limited to, disclosure of information and compliance with earnings assignment orders, as provided in Family Code section 5200 et seq.; and B. The Grantee, to the best of its knowledge is fully complying with the earnings assignment orders of all employees and is providing the names of all new employees to the New Hire Registry maintained by the California Employment Development Department.

D.10. CLAIMS DISPUTE: Any claim that the Grantee may have regarding performance of this Agreement including, but not limited to, claims for additional compensation or extension of time, shall be submitted to the DWR Project Representative, within thirty (30) days of the Grantee’s knowledge of the claim.

State and Grantee shall then attempt to negotiate a resolution of such claim and process an amendment to this Agreement to implement the terms of any such resolution. 686
Grant Agreement No. 4600015401

Page 29 of 52 ends

D.11. COMPETITIVE BIDDING AND PROCUREMENTS: Grantee’s contracts with other entities for the acquisition of goods and services and construction of public works with funds provided by State under this Grant Agreement must be in writing and shall comply with all applicable laws and regulations regarding the securing of competitive bids and undertaking competitive negotiations. If the Grantee does not have a written policy to award contracts through a competitive bidding or sole source process, the Department of General Services’ State Contracting Manual rules must be followed and are available at: https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-ServicesResources-List-Folder/State-Contracting.

D.12. COMPUTER SOFTWARE: Grantee certifies that it has appropriate systems and controls in place to ensure that state funds will not be used in the performance of this Grant Agreement for the acquisition, operation, or maintenance of computer software in violation of copyright laws.

D.13. CONFLICT OF INTEREST: All participants are subject to State and Federal conflict of interest laws.

Failure to comply with these laws, including business and financial disclosure provisions, will result in the application being rejected and any subsequent contract being declared void. Other legal action may also be taken. Applicable statutes include, but are not limited to, Government Code section 1090 and Public Contract Code sections 10410 and 10411, for State conflict of interest requirements.

A. Current State Employees: No State officer or employee shall engage in any employment, activity, or enterprise from which the officer or employee receives compensation or has a financial interest and which is sponsored or funded by any State agency, unless the employment, activity, or enterprise is required as a condition of regular State employment. No State officer or employee shall contract on his or her own behalf as an independent contractor with any State agency to provide goods or services.

B. Former State Employees: For the two-year period from the date he or she left State employment, no former State officer or employee may enter into a contract in which he or she engaged in any of the negotiations, transactions, planning, arrangements, or any part of the decision-making process relevant to the contract while employed in any capacity by any State agency. For the twelvemonth period from the date he or she left State employment, no former State officer or employee may enter into a contract with any State agency if he or she was employed by that State agency in a policy-making position in the same general subject area as the proposed contract within the twelve-month period prior to his or her leaving State service.

C. Employees of the Grantee: Employees of the Grantee shall comply with all applicable provisions of law pertaining to conflicts of interest, including but not limited to any applicable conflict of interest provisions of the California Political Reform Act. (Gov. Code, § 87100 et seq.) D. Employees and Consultants to the Grantee: Individuals working on behalf of a Grantee may be required by the Department to file a Statement of Economic Interests (Fair Political Practices Commission Form 700) if it is determined that an individual is a consultant for Political Reform Act purposes.

D.14. DELIVERY OF INFORMATION, REPORTS, AND DATA: Grantee agrees to expeditiously provide throughout the term of this Grant Agreement, such reports, data, information, and certifications as may be reasonably required by State.

D.15. DISPOSITION OF EQUIPMENT: Grantee shall provide to State, not less than thirty (30) calendar days prior to submission of the final invoice, an itemized inventory of equipment purchased with funds provided by State. The inventory shall include all items with a current estimated fair market value of more than $5,000.00 per item. Within sixty (60) calendar days of receipt of such inventory State shall provide Grantee with a list of the items on the inventory that State will take title to. All other items shall become the property of Grantee. State shall arrange for delivery from Grantee of items that it takes title to. Cost of transportation, if any, shall be borne by State.

D.16. DRUG-FREE WORKPLACE CERTIFICATION: Certification of Compliance: By signing this Grant Agreement, Grantee, its contractors or subcontractors hereby certify, under penalty of perjury under 687
Grant Agreement No. 4600015401

Page 30 of 52 ends

the laws of State of California, compliance with the requirements of the Drug-Free Workplace Act of 1990 (Gov. Code, § 8350 et seq.) and have or will provide a drug-free workplace by taking the following actions:

A. Publish a statement notifying employees, contractors, and subcontractors that unlawful manufacture, distribution, dispensation, possession, or use of a controlled substance is prohibited and specifying actions to be taken against employees, contractors, or subcontractors for violations, as required by Government Code section 8355.

B. Establish a Drug-Free Awareness Program, as required by Government Code section 8355 to inform employees, contractors, or subcontractors about all of the following:
i. The dangers of drug abuse in the workplace,
ii. Grantee’s policy of maintaining a drug-free workplace, iii. Any available counseling, rehabilitation, and employee assistance programs, and iv. Penalties that may be imposed upon employees, contractors, and subcontractors for drug abuse violations.

C. Provide, as required by Government Code section 8355, that every employee, contractor, and/or subcontractor who works under this Grant Agreement:
i. Will receive a copy of Grantee’s drug-free policy statement, and ii. Will agree to abide by terms of Grantee’s condition of employment, contract or subcontract.

D.17. EASEMENTS: Where the Grantee acquires property in fee title or funds improvements to real property using State funds provided through this Grant Agreement, an appropriate easement or other title restriction providing for floodplain preservation and agricultural and/or wildlife habitat conservation for the subject property in perpetuity, approved by the State, shall be conveyed to a regulatory or trustee agency or conservation group acceptable to the State. The easement or other title restriction must be in first position ahead of any recorded mortgage or lien on the property unless this requirement is waived by the State.

Where the Grantee acquires an easement under this Agreement, the Grantee agrees to monitor and enforce the terms of the easement, unless the easement is subsequently transferred to another land management or conservation organization or entity with State permission, at which time monitoring and enforcement responsibilities will transfer to the new easement owner.

Failure to provide an easement or other title restriction acceptable to the State may result in termination of this Agreement.

D.18. FINAL INSPECTIONS AND CERTIFICATION OF REGISTERED PROFESSIONAL: Upon completion of the Project, Grantee shall provide for a final inspection and certification by a California Registered Professional (i.e., Professional Civil Engineer, Engineering Geologist), that the Project has been completed in accordance with submitted final plans and specifications and any modifications thereto and in accordance with this Grant Agreement.

D.19. GRANTEE'S RESPONSIBILITIES: Grantee and its representatives shall:

A. Faithfully and expeditiously perform or cause to be performed all project work as described in Exhibit A and in accordance with Exhibits B and C.

B. Accept and agree to comply with all terms, provisions, conditions, and written commitments of this Grant Agreement, including all incorporated documents, and to fulfill all assurances, declarations, representations, and statements made by Grantee in the application, documents, amendments, and communications filed in support of its request for funding.

C. Comply with all applicable California, federal, and local laws and regulations.

D. Implement the Project in accordance with applicable provisions of the law.

E. Fulfill its obligations under the Grant Agreement and be responsible for the performance of the Project.

F. Obtain any and all permits, licenses, and approvals required for performing any work under this Grant Agreement, including those necessary to perform design, construction, or operation and maintenance of the Project. Grantee shall provide copies of permits and approvals to State. 688
Grant Agreement No. 4600015401

Page 31 of 52 ends

G. Be solely responsible for design, construction, and operation and maintenance of projects within the work plan. Review or approval of plans, specifications, bid documents, or other construction documents by State is solely for the purpose of proper administration of funds by State and shall not be deemed to relieve or restrict responsibilities of Grantee under this Agreement.

H. Be solely responsible for all work and for persons or entities engaged in work performed pursuant to this Agreement, including, but not limited to, contractors, subcontractors, suppliers, and providers of services. The Grantee shall be responsible for any and all disputes arising out of its contracts for work on the Project, including but not limited to payment disputes with contractors and subcontractors. The State will not mediate disputes between the Grantee and any other entity concerning responsibility for performance of work.

D.20. GOVERNING LAW: This Grant Agreement is governed by and shall be interpreted in accordance with the laws of the State of California.

D.21. INCOME RESTRICTIONS: The Grantee agrees that any refunds, rebates, credits, or other amounts (including any interest thereon) accruing to or received by the Grantee under this Agreement shall be paid by the Grantee to the State, to the extent that they are properly allocable to costs for which the Grantee has been reimbursed by the State under this Agreement. The Grantee shall also include in each of its contracts for work under this Agreement a provision that incorporates the requirements stated within this Paragraph.

D.22. INDEMNIFICATION: Grantee shall indemnify and hold and save the State, its officers, agents, and employees, free and harmless from any and all liabilities for any claims and damages (including inverse condemnation) that may arise out of the Project and this Agreement, including, but not limited to any claims or damages arising from planning, design, construction, maintenance and/or operation of levee rehabilitation measures for this Project and any breach of this Agreement. Grantee shall require its contractors or subcontractors to name the State, its officers, agents and employees as additional insureds on their liability insurance for activities undertaken pursuant to this Agreement.

D.23. INDEPENDENT CAPACITY: Grantee, and the agents and employees of Grantees, in the performance of the Grant Agreement, shall act in an independent capacity and not as officers, employees, or agents of the State.

D.24. INSPECTION OF BOOKS, RECORDS, AND REPORTS: During regular office hours, each of the parties hereto and their duly authorized representatives shall have the right to inspect and to make copies of any books, records, or reports of either party pertaining to this Grant Agreement or matters related hereto. Each of the parties hereto shall maintain and shall make available at all times for such inspection accurate records of all its costs, disbursements, and receipts with respect to its activities under this Grant Agreement. Failure or refusal by Grantee to comply with this provision shall be considered a breach of this Grant Agreement, and State may withhold disbursements to Grantee or take any other action it deems necessary to protect its interests.

D.25. INSPECTIONS OF PROJECT BY STATE: State shall have the right to inspect the work being performed at any and all reasonable times during the term of the Grant Agreement. This right shall extend to any subcontracts, and Grantee shall include provisions ensuring such access in all its contracts or subcontracts entered into pursuant to its Grant Agreement with State.

D.26. LABOR CODE COMPLIANCE: The Grantee agrees to be bound by all the provisions of the Labor Code regarding prevailing wages and shall monitor all contracts subject to reimbursement from this Agreement to assure that the prevailing wage provisions of the Labor Code are being met. Current Department of Industrial Relations (DIR) requirements may be found at: http://www.dir.ca.gov/ lcp.asp.

For more information, please refer to DIR’s Public Works Manual at: https://www.dir.ca.gov/ dlse/PWManualCombined.pdf. The Grantee affirms that it is aware of the provisions of section 3700 of the Labor Code, which requires every employer to be insured against liability for workers’ 689
Grant Agreement No. 4600015401

Page 32 of 52 ends

compensation or to undertake self-insurance, and the Grantee affirms that it will comply with such provisions before commencing the performance of the work under this Agreement and will make its contractors and subcontractors aware of this provision.

D.27. MODIFICATION OF OVERALL WORK PLAN: At the request of the Grantee, the State may at its sole discretion approve non-material changes to the portions of Exhibits A, B, and C which concern the budget and schedule without formally amending this Grant Agreement. Non-material changes with respect to the budget are changes that only result in reallocation of the budget and will not result in an increase in the amount of the State Grant Agreement. Non-material changes with respect to the Project schedule are changes that will not extend the term of this Grant Agreement. Requests for nonmaterial changes to the budget and schedule must be submitted by the Grantee to the State in writing and are not effective unless and until specifically approved by the State’s Program Manager in writing.

D.28. NONDISCRIMINATION: During the performance of this Grant Agreement, Grantee and its contractors or subcontractors shall not unlawfully discriminate, harass, or allow harassment against any employee or applicant for employment because of sex (gender), sexual orientation, gender identity, race, color, ancestry, religion, creed, national origin (including language use restriction), pregnancy, physical disability (including HIV and AIDS), mental disability, medical condition (cancer/genetic characteristics), age (over 40), marital/domestic partner status, and denial of medical and family care leave or pregnancy disability leave. Grantee and its contractors or subcontractors shall ensure that the evaluation and treatment of their employees and applicants for employment are free from such discrimination and harassment. Grantee and its contractors or subcontractors shall comply with the provisions of the California Fair Employment and Housing Act (Gov. Code, § 12990.) and the applicable regulations promulgated there under (Cal. Code Regs., tit. 2, § 11000 et seq.). The applicable regulations of the Fair Employment and Housing are incorporated into this Agreement by reference. Grantee and its contractors or subcontractors shall give written notice of their obligations under this clause to labor organizations with which they have a collective bargaining or other Agreement.

Grantee shall include the nondiscrimination and compliance provisions of this clause in all subcontracts to perform work under the Grant Agreement.

D.29. OPINIONS AND DETERMINATIONS: Where the terms of this Grant Agreement provide for action to be based upon, judgment, approval, review, or determination of either party hereto, such terms are not intended to be and shall never be construed as permitting such opinion, judgment, approval, review, or determination to be arbitrary, capricious, or unreasonable.

D.30. PERFORMANCE BOND: Where contractors are used, the Grantee shall not authorize construction to begin until each contractor has furnished a performance bond in favor of the Grantee in the following amounts: faithful performance (100%) of contract value, and labor and materials (100%) of contract value. This requirement shall not apply to any contract for less than $25,000.00. Any bond issued pursuant to this paragraph must be issued by a California-admitted surety. (Pub. Contract Code, § 7103; Code Civ. Proc., § 995.311.)
D.31. PRIORITY HIRING CONSIDERATIONS: If this Grant Agreement includes services in excess of $200,000, the Grantee shall give priority consideration in filling vacancies in positions funded by the Grant Agreement to qualified recipients of aid under Welfare and Institutions Code section 11200 in accordance with Public Contract Code section 10353.

D.32. PROHIBITION AGAINST DISPOSAL OF PROJECT WITHOUT STATE PERMISSION: The Grantee shall not sell, abandon, lease, transfer, exchange, mortgage, hypothecate, or encumber in any manner whatsoever all or any portion of any real or other property necessarily connected or used in conjunction with the Project, or with Grantee’s service of water, without prior permission of State.

Grantee shall not take any action, including but not limited to actions relating to user fees, charges, and assessments that could adversely affect the ability of Grantee meet its obligations under this 690
Grant Agreement No. 4600015401

Page 33 of 52 ends

Grant Agreement, without prior written permission of State. State may require that the proceeds from the disposition of any real or personal property be remitted to State.

D.33. PROJECT ACCESS: The Grantee shall ensure that the State, the Governor of the State, or any authorized representative of the foregoing, will have safe and suitable access to the Project site at all reasonable times during Project construction and thereafter for the term of this Agreement.

D.34. REMAINING BALANCE: In the event the Grantee does not submit invoices requesting all of the funds encumbered under this Grant Agreement, any remaining funds revert to the State. The State will notify the Grantee stating that the Project file is closed and any remaining balance will be disencumbered and unavailable for further use under this Grant Agreement.

D.35. REMEDIES NOT EXCLUSIVE: The use by either party of any remedy specified herein for the enforcement of this Grant Agreement is not exclusive and shall not deprive the party using such remedy of, or limit the application of, any other remedy provided by law.

D.36. RETENTION: The State shall withhold ten percent (10%) of the funds, for each project, until the project is complete, and a Final Project Report is approved and accepted by DWR. If a project has multiple components (within a project), at the State's discretion and upon a written request by the Grantee, any retained amount attributable to a single component may be released when that component is complete and the Final Component Completion Report is approved. Upon approval of the Final Project Report and/or Final Component Completion Report, any retained amounts due to the Grantee will be promptly disbursed to the Grantee, without interest.

D.37. RIGHTS IN DATA: Grantee agrees that all data, plans, drawings, specifications, reports, computer programs, operating manuals, notes and other written or graphic work produced in the performance of this Grant Agreement shall be made available to the State and shall be in the public domain to the extent to which release of such materials is required under the California Public Records Act. (Gov.

Code, § 6250 et seq.) Grantee may disclose, disseminate and use in whole or in part, any final form data and information received, collected and developed under this Grant Agreement, subject to appropriate acknowledgement of credit to State for financial support. Grantee shall not utilize the materials for any profit-making venture or sell or grant rights to a third party who intends to do so. The State shall have the right to use any data described in this paragraph for any public purpose.

D.38. SEVERABILITY: Should any portion of this Grant Agreement be determined to be void or unenforceable, such shall be severed from the whole and the Grant Agreement shall continue as modified.

D.39. SUSPENSION OF PAYMENTS: This Grant Agreement may be subject to suspension of payments or termination, or both if the State determines that:

A. Grantee, its contractors, or subcontractors have made a false certification, or B. Grantee, its contractors, or subcontractors violates the certification by failing to carry out the requirements noted in this Grant Agreement.

D.40. SUCCESSORS AND ASSIGNS: This Grant Agreement and all of its provisions shall apply to and bind the successors and assigns of the parties. No assignment or transfer of this Grant Agreement or any part thereof, rights hereunder, or interest herein by the Grantee shall be valid unless and until it is approved by State and made subject to such reasonable terms and conditions as State may impose.

D.41. TERMINATION BY GRANTEE: Subject to State approval which may be reasonably withheld, Grantee may terminate this Agreement and be relieved of contractual obligations. In doing so, Grantee must provide a reason(s) for termination. Grantee must submit all progress reports summarizing accomplishments up until termination date.
691
Grant Agreement No. 4600015401

Page 34 of 52 ends

D.42. TERMINATION FOR CAUSE: Subject to the right to cure under Paragraph 12, “Default Provisions,” the State may terminate this Grant Agreement and be relieved of any payments should Grantee fail to perform the requirements of this Grant Agreement at the time and in the manner herein, provided including but not limited to reasons of default under Paragraph 12, “Default Provisions.” D.43. TERMINATION WITHOUT CAUSE: The State may terminate this Agreement without cause on 30 days’ advance written notice. The Grantee shall be reimbursed for all reasonable expenses incurred up to the date of termination.

D.44. THIRD PARTY BENEFICIARIES: The parties to this Agreement do not intend to create rights in, or grant remedies to, any third party as a beneficiary of this Agreement, or any duty, covenant, obligation or understanding established herein.

D.45. TIMELINESS: Time is of the essence in this Grant Agreement.

D.46. TRAVEL – DAC, EDA, TRIBES PROJECT: Travel is only an eligible reimbursable expense for projects providing at least 75% of benefits to DACs, EDAs, and/or Tribes (based on population or geographic area). Only ground transportation and lodging are eligible for grant reimbursement. Per diem costs will not be eligible for grant reimbursement. Any reimbursement for necessary travel shall be at rates not to exceed those set by the California Department of Human Resources. These rates may be found at: http://www.calhr.ca.gov/employees/Pages/travel-reimbursements.aspx. Reimbursement will be at the State travel amounts that are current as of the date costs are incurred. No travel outside of the IRWM region shall be reimbursed unless prior written authorization is obtained from the State.

D.47. UNION ORGANIZING: Grantee, by signing this Grant Agreement, hereby acknowledges the applicability of Government Code sections 16645 through 16649 to this Grant Agreement.

Furthermore, Grantee, by signing this Grant Agreement, hereby certifies that:

A. No State funds disbursed by this Grant Agreement will be used to assist, promote, or deter union organizing.

B. Grantee shall account for State funds disbursed for a specific expenditure by this Grant Agreement to show those funds were allocated to that expenditure.

C. Grantee shall, where State funds are not designated as described in (b) above, allocate, on a pro rata basis, all disbursements that support the program.

D. If Grantee makes expenditures to assist, promote, or deter union organizing, Grantee will maintain records sufficient to show that no State funds were used for those expenditures and that Grantee shall provide those records to the Attorney General upon request.

D.48. VENUE: The State and the Grantee hereby agree that any action arising out of this Agreement shall be filed and maintained in the Superior Court in and for the County of Sacramento, California, or in the United States District Court in and for the Eastern District of California. The Grantee hereby waives any existing sovereign immunity for the purposes of this Agreement.

D.49. WAIVER OF RIGHTS: None of the provisions of this Grant Agreement shall be deemed waived unless expressly waived in writing. It is the intention of the parties here to that from time to time either party may waive any of its rights under this Grant Agreement unless contrary to law. Any waiver by either party of rights arising in connection with the Grant Agreement shall not be deemed to be a waiver with respect to any other rights or matters, and such provisions shall continue in full force and effect. 692
Grant Agreement No. 4600015401

Page 35 of 52 ends

EXHIBIT E

AUTHORIZING RESOLUTION
693
Grant Agreement No. 4600015401

Page 36 of 52 ends

694
Grant Agreement No. 4600015401

Page 37 of 52 ends

695
Grant Agreement No. 4600015401

Page 38 of 52 ends

EXHIBIT F

REPORT FORMATS AND REQUIREMENTS
The following reporting formats should be utilized. Please obtain State approval prior to submitting a report in an alternative format.

PROGRESS REPORTS
Progress reports shall generally use the following format. This format may be modified as necessary to effectively communicate information. For each project, discuss the following at the task level, as organized in Exhibit A:

Percent complete (by work)
Discussion of work accomplished during the reporting period.

Milestones or deliverables completed/submitted during the reporting period.

Meetings held or attended.

Scheduling concerns and issues encountered that may delay completion of the task.

For each project, discuss the following at the project level, as organized in Exhibit A:

Work anticipated for the next reporting period.

Photo documentation, as appropriate.

Budget projections for grant share for the next two quarters Any schedule or budget modifications approved by DWR during the reporting period.

PROJECT COMPLETION REPORT
The Project Completion Report (or a Component Completion Report, if a Project has multiple Components) shall generally use the following format provided below for each project after completion.

Executive Summary
The Executive Summary should include a brief summary of project information and include the following items:

Brief description of work proposed to be done in the original Grant application.

List any official amendments to this Grant Agreement, with a short description of the amendment.

Reports and/or Products
The following items should be provided, unless already submitted as a deliverable:

A copy of any final technical report or study, produced for or utilized in this Project as described in the Exhibit A
Electronic copies of any data collected, not previously submitted Discussion of problems that occurred during the work and how those problems were resolved Final project schedule showing actual progress versus planned progress as shown in Exhibit C Additional information that may be applicable for implementation projects includes the following:

Record drawings
Final geodetic survey information
Project photos
696
Grant Agreement No. 4600015401

Page 39 of 52 ends

Cost & Disposition of Funds
A list showing:

Summary of Project costs including the following items:
o Accounting of the cost of project expenditure;
o Include all internal and external costs not previously disclosed (i.e., additional cost share); and o A discussion of factors that positively or negatively affected the project cost and any deviation from the original Project cost estimate.

Additional Information
Benefits derived from the Project, with quantification of such benefits provided.

If applicable, Certification from a California Registered Professional (Civil Engineer or Geologist, as appropriate), consistent with Exhibit D, that the project was conducted in accordance with the approved Work Plan in Exhibit A and any approved amendments thereto.

Submittal schedule for the Post-Performance Report.

GRANT COMPLETION REPORT
The Grant Completion Report shall generally use the following format. This format may be modified as necessary to effectively communicate information on the various projects funded by this Grant Agreement, and includes the following:

Executive Summary: consisting of a maximum of ten (10) pages summarizing information for the grant as well as the individual projects.

Brief discussion of: each project completed and how they achieved IRWM Plan objectives and/or Regional goals and whether the level, type, or magnitude of benefits of the project are comparable to the original project proposal; any remaining work to be completed and mechanism for their implementation; the benefits to DAC and/or EDA as part of this Grant Agreement if a DAC or EDA Cost Share Waiver was approved for a project; and a summary of final funds disbursement for each project.

Additional Information: Summary of the submittal schedule for the Post-Performance Reports applicable for the projects in this Grant Agreement.

POST-PERFORMANCE REPORT
The Post-Performance Report (PPR) should be concise and focus on how each project is performing compared to its expected performance; whether the project is being operated and maintained and providing intended benefits as proposed. A PPR template may be provided by the assigned DWR Grant Manager upon request. The PPR should follow the general format of the template and provide requested information as applicable. The following information, at a minimum, shall be provided:

Reports and/or products
Header including the following:
o Grantee Name
o Implementing Agency (if different from Grantee)
o Grant Agreement Number
o Project Name
o Funding grant source (i.e., 2022 Proposition 1 IRWM Implementation Grant) o Report number
697
Grant Agreement No. 4600015401

Page 40 of 52 ends

Post-Performance Report schedule
Time period of the annual report (e.g., January 2024 through December 2024) Project Description Summary
Discussion of the project benefits
An assessment of any differences between the expected versus actual project benefits as stated in the original application. Where applicable, the reporting should include quantitative metrics (e.g., new acrefeet of water produced that year, etc.).

Summary of any additional costs and/or benefits deriving from the project since its completion, if applicable.

Any additional information relevant to or generated by the continued operation of the project. 698
Grant Agreement No. 4600015401

Page 41 of 52 ends

EXHIBIT G

REQUIREMENTS FOR DATA SUBMITTAL
Surface and Groundwater Quality Data:

Groundwater quality and ambient surface water quality monitoring data that include chemical, physical, or biological data shall be submitted to the State as described below, with a narrative description of data submittal activities included in project reports.

Surface water quality monitoring data shall be prepared for submission to the California Environmental Data Exchange Network (CEDEN). The CEDEN data templates are available on the CEDEN website.

Inclusion of additional data elements described on the data templates is desirable. Data ready for submission should be uploaded to your CEDEN Regional Data Center via the CEDEN website. CEDEN website: http://www.ceden.org.

If a project’s Work Plan contains a groundwater ambient monitoring element, groundwater quality monitoring data shall be submitted to the State for inclusion in the State Water Resources Control Board’s Groundwater Ambient Monitoring and Assessment (GAMA) Program Information on the GAMA Program can be obtained at: https://www.waterboards.ca.gov/water_issues/programs/gama/. If further information is required, the Grantee can contact the State Water Resources Control Board (SWRCB) GAMA Program.

A listing of SWRCB staff involved in the GAMA program can be found at:
https://www.waterboards.ca.gov/water_issues/programs/gama/contact.shtml.

Groundwater Level Data
For each project that collects groundwater level data, the Grantee will need to submit this data to DWR’s Water Data Library (WDL), with a narrative description of data submittal activities included in project reports, as described in Exhibit F, “Report Formats and Requirements.” Information regarding the WDL and in what format to submit data in can be found at: http://www.water.ca.gov/waterdatalibrary/. 699
Grant Agreement No. 4600015401

Page 42 of 52 ends

EXHIBIT H

STATE AUDIT DOCUMENT REQUIREMENTS AND COST SHARE GUIDELINES FOR THE GRANTEE The following provides a list of documents typically required by State Auditors and general guidelines for the Grantee. List of documents pertains to both State funding and the Grantee’s Local Cost Share and details the documents/records that State Auditors would need to review in the event of this Grant Agreement is audited.

The Grantee should ensure that such records are maintained for each funded project.

State Audit Document Requirements
Internal Controls

1. Organization chart (e.g., Agency’s overall organization chart and organization chart for the State funded Program/Project).

2. Written internal procedures and flowcharts for the following:
a) Receipts and deposits
b) Disbursements
c) State reimbursement requests
d) Expenditure tracking of State funds
e) Guidelines, policy, and procedures on State funded Program/Project

3. Audit reports of the Agency internal control structure and/or financial statements within the last two years.

4. Prior audit reports on the State funded Program/Project.

State Funding:

1. Original Grant Agreement, any amendment(s) and budget modification documents.

2. A listing of all bond-funded grants, loans, or subventions received from the State.

3. A listing of all other funding sources for each Program/Project.

Contracts:

1. All subcontractor and consultant contracts and related or partners’ documents, if applicable.

2. Contracts between the Agency and member agencies as related to the State funded Program/Project.

Invoices:

1. Invoices from vendors and subcontractors for expenditures submitted to the State for payments under the Grant Agreement.

2. Documentation linking subcontractor invoices to State reimbursement, requests and related Grant Agreement budget line items.

3. Reimbursement requests submitted to the State for the Grant Agreement.

Cash Documents:

1. Receipts (copies of warrants) showing payments received from the State.

2. Deposit slips (or bank statements) showing deposit of the payments received from the State.

3. Cancelled checks or disbursement documents showing payments made to vendors, subcontractors, consultants, and/or agents under the grants or loans.

4. Bank statements showing the deposit of the receipts.

Accounting Records:

1. Ledgers showing entries for funding receipts and cash disbursements.

2. Ledgers showing receipts and cash disbursement entries of other funding sources.

3. Bridging documents that tie the general ledger to requests for Grant Agreement reimbursement.

Administration Costs:

1. Supporting documents showing the calculation of administration costs. 700
Grant Agreement No. 4600015401

Page 43 of 52 ends

Personnel:

1. List of all contractors and Agency staff that worked on the State funded Program/Project.

2. Payroll records including timesheets for contractor staff and the Agency personnel who provided services charged to the program
Project Files:

1. All supporting documentation maintained in the project files.

2. All Grant Agreement related correspondence.

Cost Share Guidelines
Cost Share consists of non-State funds, including in-kind services. In-kind services are defined as work performed (i.e., dollar value of non-cash contributions) by the Grantee (and potentially other parties) directly related to the execution of the funded project. Examples include volunteer services, equipment use, and use of facilities. The cost if in-kind service can be counted as cost share in-lieu of actual funds (or revenue) provided by the Grantee. Other cost share and in-kind service eligibility conditions may apply. Provided below is guidance for documenting cost share with and without in-kind services.

1. Although tracked separately, in-kind services shall be documented and, to the extent feasible, supported by the same methods used by the Grantee for its own employees. Such documentation should include the following:
a. Detailed description of the contributed item(s) or service(s) b. Purpose for which the contribution was made (tied to project work plan) c. Name of contributing organization and date of contribution d. Real or approximate value of contribution. Who valued the contribution and how was the value determined? (e.g., actual, appraisal, fair market, etc.). Justification of rate. (See item #2, below) e. Person’s name and the function of the contributing person f. Number of hours contributed
g. If multiple sources exist, these should be summarized on a table with summed charges h. Source of contribution if it was provided by, obtained with, or supported by government funds

2. Rates for volunteer or in-kind services shall be consistent with those paid for similar work in the Grantee’s organization. For example, volunteer service of clearing vegetation performed by an attorney shall be valued at fair market value for this service, not the rate for professional legal services. In those instances, in which the required skills are not found in the recipient organization, rates shall be consistent with those paid for similar work in the labor market. Paid fringe benefits that are reasonable, allowable, and allocable may be included in the valuation.

3. Cost share contribution (including in-kind services) shall be for costs and services directly attributed to activities included in the Grant Agreement. These services, furnished by professional and technical personnel, consultants, and other skilled labor may be counted as in-kind if the activities are an integral and necessary part of the project funded by the Grant Agreement.

4. Cash contributions made to a project shall be documented as revenue and in-kind services as expenditures. These costs should be tracked separately in the Grantee’s accounting system. 701
Grant Agreement No. 4600015401

Page 44 of 52 ends

EXHIBIT I

LOCAL PROJECT SPONSORS AND PROJECT LOCATIONS
The Grantee has assigned, for each project, a Local Project Sponsor (LPS) according to the roles of the participating agencies identified in the IRWM Plan. LPSs may act on behalf of the Grantee for the purposes of individual project management, oversight, compliance, and operations and maintenance. LPSs are identified for each sponsored Project below:

Local Project Sponsor Agency Designation
Sponsored Project: Project 1: Twin Pines Water Supply Reliability and Fire Protection Upgrades Sponsor Agency: High Valleys Water District
Agency Address: 47781 Twin Pines Road, Banning, CA 92220 Project Location: Banning, California (33.86722, -116.822778 to 33.866667, -116.814167)

702
Grant Agreement No. 4600015401

Page 45 of 52 ends

Local Project Sponsor Agency Designation
Sponsored Project: Project 2: Esperanza Street Waterline Improvements, Phase 1 Sponsor Agency: Cabazon Water District
Agency Address: 14618 Broadway Street, Cabazon, CA 92230 Project Location: Cabazon, California (33.90055556, 116.75444444) 703
Grant Agreement No. 4600015401

Page 46 of 52 ends

Sponsored Project: Project 3: Lions Park Recycled Water Conversion Project Sponsor Agency: City of Banning
Agency Address: 99 E. Ramsey Street, Banning, CA 92220
Project Location: Banning, California (33.917222, -116.868611)

704
Grant Agreement No. 4600015401

Page 47 of 52 ends

EXHIBIT J

APPRAISAL SPECIFICATIONS
For implementation projects that include Land Acquisition Only:

For property acquisitions funded by this Grant Agreement, the Grantee shall submit an appraisal for review and approval by the Department of General Services or DWR’s Real Estate Branch prior to reimbursement or depositing State funds into an escrow account. This information should be submitted at least 90 days prior to a reimbursement request to account for review time. All appraisal reports, regardless of report format, shall include all applicable Appraisal Specifications below. Appraisals for a total compensation of $150,000 or more shall be reported as a Self-Contained Appraisal Report. Appraisals for a total compensation of less than $150,000 may be reported as a Summary Appraisal Report, which includes all information necessary to arrive at the appraiser’s conclusion. Appraisal Specifications 14, 16, 21, 23-25, and 28 shall be a narrative analysis regardless of the reporting format.

1. Title page with sufficient identification of appraisal assignment.

2. Letter of transmittal summarizing important assumptions and conclusions, value estimate, date of value and date of report.

3. Table of contents.

4. Assumptions and Limiting Conditions, Extraordinary Assumptions, and Hypothetical Conditions as needed.

5. Description of the scope of work, including the extent of data collection and limitations, if any, in obtaining relevant data.

6. Definition of Fair Market Value, as defined by California Code of Civil Procedure, § 1263.320.

7. Photographs of subject property and comparable data, including significant physical features and the interior of structural improvements, if applicable.

8. Copies of Tax Assessor’s plat map with the subject marked along with all contiguous assessor’s parcels that depict the ownership.

9. A legal description of the subject property, if available.

10. For large, remote or inaccessible parcels, provide aerial photographs or topographical maps depicting the subject boundaries.

11. Three (3) year subject property history, including sales, listings, leases, options, zoning, applications for permits, or other documents or facts that might indicate or affect use or value.

12. Discussion of any current Agreement of Sale, option, or listing of subject property. This issue required increased diligence since state agencies often utilize non-profit organizations to quickly acquire sensitive habitat parcels using Option Agreements. However, due to confidentiality clauses, the terms of the Option are often not disclosed to the State If the appraiser discovers evidence of an Option or the possible existence of an Option, and the terms cannot be disclosed due to a confidentiality clause, then the appraiser is to cease work and contact the client.

13. Regional, area, and neighborhood analyses. This information may be presented in a summary format.

14. Market conditions and trends including identification of the relevant market area, a discussion of supply and demand within the relevant market area, and a discussion of the relevant market factors impacting demand for site acquisition and leasing within the relevant market area. This information may be presented in a summary format.
705
Grant Agreement No. 4600015401

Page 48 of 52 ends

15. Discussion of subject land/site characteristics (size, topography, current use, elevations, zoning and land use issues, development entitlements, General Plan designation, utilities, offsite improvements, access, land features such as levees and creeks, offsite improvements, easements and encumbrances, covenants, conditions and restrictions, flood and earthquake information, toxic hazards, water rights, mineral rights, toxic hazards, taxes and assessments, etc.).

16. Description of subject improvements including all structures, square footage, physical age, type of construction, quality of construction, condition of improvements and/or identification of any permanent plantings. Discussion of construction cost methodology, costs included and excluded, accrued depreciation from all causes, remaining economic life, items of deferred maintenance and cost to cure, and incurable items. Construction cost data shall include cost data source, date of estimate or date of publication of cost manual, section and page reference of cost manual, copies of cost estimate if provided from another source, replacement or reproduction cost method used, and supporting calculations including worksheets or spreadsheets.

17. Subject property leasing and operating cost history, including all items of income and expense.

18. Analysis and conclusion of the larger parcel for partial taking appraisals. For partial taking appraisals, Appraisal Specifications generally apply to the larger parcel rather than an ownership where the larger parcel is not the entire ownership.

19. Include a copy of a recent preliminary title report (within the past year) as an appraisal exhibit.

Discuss the title exceptions and analyze the effect of title exceptions on fair market value.

20. For appraisals of partial takings or easements, a detailed description of the taking or easement area including surface features and topography, easements, encumbrances or improvements including levees within the subject partial take or easement, and whether the take area is characteristic of the larger parcel. Any characteristics of the taking area, including existing pre-project levees that render the take area different from the larger parcel shall be addressed in the valuation.

21. Opinion of highest and best use for the subject property, based on an in-depth analysis supporting the concluded use which includes the detail required by the complexity of the analysis. Such support typically requires a discussion of the four criteria of tests utilized to determine the highest and best use of a property. If alternative feasible uses exist, explain and support market, development, cash flow, and risk factors leading to an ultimate highest and best use decision.

22. All approaches to market value applicable to the property type and in the subject market. Explain and support the exclusion of any usual approaches to value.

23. Map(s) showing all comparable properties in relation to the subject property.

24. Photographs and plat maps of comparable properties.

25. In-depth discussion of comparable properties, similarities and differences compared to the subject property, adjustments to the comparable data, and discussion of the reliability and credibility of the data as it relates to the indicated subject property value. Improved comparable sales which are used to compare to vacant land subject properties shall include an allocation between land and improvements, using methodology similar to methodology used in item 16 above to estimate improvement value when possible, with an explanation of the methodology used.

26. Comparable data sheets.
a. For sales, include information on grantor/Grantee, sale/recordation dates, listed or asking price as of the date of sale, highest and best use, financing, conditions of sale, buyer motivation, sufficient location information (street address, post mile, and/or distance from local landmarks such as bridges, road intersections, structures, etc.), land/site characteristics, improvements, source of any allocation of sale price between land and improvements, and confirming source. 706
Grant Agreement No. 4600015401

Page 49 of 52 ends

b. For listings, also include marketing time from list date to effective date of the appraisal, original list price, changes in list price, broker feedback, if available. c. For leases, include significant information such as lessor/lessee, lease date and term, type of lease, rent and escalation, expenses, size of space leased, tenant improvement allowance, concessions, use restrictions, options, and confirming source. When comparing improved sales to a vacant land subject, the contributory value of the improvements shall be segregated from the land value.

27. For appraisals of easements, a before and after analysis of the burden of the easement on the fee, with attention to how the easement affects highest and best use in the after condition. An Easement Valuation Matrix or generalized easement valuation references may be used ONLY as a reference for a secondary basis of value.

28. For partial taking and easement appraisals, valuation of the remainder in the after condition and analysis and identification of any change in highest and best use or other characteristics in the after condition, to establish severance damages to the remainder in the after condition, and a discussion of special and general benefits, and cost to cure damages or construction contract work.

29. There are occasions where properties involve water rights, minerals, or salable timber that require separate valuations. If an appraisal assignment includes water rights, minerals, or merchantable timber that requires separate valuation, the valuation of the water rights, minerals, or merchantable timber shall be completed by a credentialed subject matter specialist.

30. For partial taking and easement appraisals, presentation of the valuation in California partial taking acquisition required format.

31. Implied dedication statement.

32. Reconciliation and final value estimate. Include analysis and comparison of the comparable sales to the subject, and explain and support conclusions reached.

33. Discussion of any departures taken in the development of the appraisal.

34. Signed Certification consistent with the language found in Uniform Standards of Professional Appraisal Practice.

35. If applicable, in addition to the above, appraisals of telecommunication sites shall also provide:
a. A discussion of market conditions and trends including identification of the relevant market, a discussion of supply and demand within the relevant market area and a discussion of the relevant market factors impacting demand for site acquisition and leasing within the relevant market area. b. An analysis of other leases comparable to subject property. Factors to be discussed in the analysis include the latitude, longitude, type of tower, tower height, number of rack spaces, number of racks occupied, placement of racks, power source and adequacy, back-up power, vault and site improvements description and location on site, other utilities; access, and road maintenance costs.

707
Grant Agreement No. 4600015401

Page 50 of 52 ends

EXHIBIT K

INFORMATION NEEDED FOR ESCROW PROCESSING AND CLOSURE
For implementation projects that include Land Acquisition Only:

The Grantee shall provide the following documents to the State Project Representative during the escrow process. Property acquisition escrow documents shall be submitted within the term of this Grant Agreement and after a qualified appraisal has been approved.

Name and Address of Title Company Handling the Escrow
Escrow Number
Name of Escrow Officer
Escrow Officer’s Phone Number
Dollar Amount Needed to Close Escrow
Legal Description of Property Being Acquired
Assessor’s Parcel Number(s) of Property Being Acquired
Copy of Title Insurance Report
Entity Taking Title as Named Insured on Title Insurance Policy Copy of Escrow Instructions in Draft Form Prior to Recording for Review Purposes Copy of Final Escrow Instructions
Verification that all Encumbrances (i.e., Liens, Back Taxes, and Similar Obligations) have been Cleared Prior to Recording the Deed to Transfer Title
Copy of Deed for Review Purposes Prior to Recording
Copy of Deed as Recorded in County Recorder’s Office
Copy of Escrow Closure Notice
708
Grant Agreement No. 4600015401

Page 51 of 52 ends

EXHIBIT L

PROJECT MONITORING PLAN GUIDANCE
Introduction
For each project contained in Exhibit A, please include a brief description of the project (maximum ~150 words) including project location, implementation elements, need for the project (what problem will the project address) and responds to the requirements listed below.

Project Monitoring Plan Requirements
The Project Monitoring Plan shall contain responses to the following questions:

What are the anticipated project physical benefits?
What are the corresponding numeric targets for each project benefit? How will proposed numeric targets be measured?
What are baseline conditions?
When will the targets be met (e.g., upon project completion, five years after completion)? How often will monitoring be undertaken (e.g., monthly, yearly).

Where are monitoring point locations (e.g., meter located at…, at stream mile…)? Include relevant maps.

How will the project be maintained (e.g., irrigation, pest management, weed abatement)? What will be the frequency and duration of maintenance proposed activities? Are there any special environmental considerations (e.g., resource agency requirements, permit requirements, CEQA/NEPA mitigation measures)?
Who is responsible for collecting the samples (i.e., who is conducting monitoring and/or maintenance)?
How, and to whom, will monitoring results be reported (e.g., paper reports, online databases, public meetings)?
What adaptive management strategies will be employed if problems are encountered during routine monitoring or maintenance?
What is the anticipated life of the project?

709
Grant Agreement No. 4600015401

Page 52 of 52 ends

EXHIBIT M

INVOICE GUIDANCE FOR ADMINISTRATIVE AND OVERHEAD CHARGES The funds provided pursuant to this Agreement may only be used for costs that are directly related to the funded Project. The following provides a list of typical requirements for invoicing, specifically providing guidance on the appropriate methods for invoicing administrative and direct overhead charges.

Administration Charges
Indirect and General Overhead (i.e., indirect overhead) charges are not an allowable expense for reimbursement. However, administrative expenses that are apportioned directly to the project are eligible for reimbursement. Cost such as rent, office supplies, fringe benefits, etc. can be “Direct Costs” and are eligible expenses as long as:

There is a consistent, articulated method for how the costs are allocated that is submitted and approved by the Grant Manager. The allocation method must be fully documented for auditors.

A “fully-burdened labor rate” can be used to capture allowable administrative costs.

The administrative/overhead costs can never include:
o Non-project specific personnel and accounting services performed within the Grantee or an LPS’ organization
o Markup
o Tuition
o Conference fees
o Building and equipment depreciation or use allowances Using a general overhead percentage is never allowed
Labor Rates
The Grantee must provide DWR with supporting documentation for personnel hours (see personnel billing rates letter in example invoice packet). The personnel rate letter should be submitted to the DWR Grant Manager prior to submittal of the first invoice. The supporting documentation must include, at a minimum, employee classifications that will reimbursed by grant funds and the corresponding hourly rate range. These rates should be “burdened”; the burdened rate must be consistent with the Grantee’s/Local Project Sponsors standardized allocation methodology. The supporting documentation should also provide an explanation of what costs make up the burdened rate and how those costs were determined. This information will be used to compare against personnel hours summary table invoice back up documentation. Periodic updates may be needed during the life of the grant which would be handled through a revised billing rate letter. 710
711
712
713

ELECTRONIC RECORD AND SIGNATURE DISCLOSURE
From time to time, Department of Water Resources (we, us or Company) may be required by law to provide to you certain written notices or disclosures. Described below are the terms and conditions for providing to you such notices and disclosures electronically through your DocuSign, Inc. (DocuSign) Express user account. Please read the information below carefully and thoroughly, and if you can access this information electronically to your satisfaction and agree to these terms and conditions, please confirm your agreement by clicking the 'I agree' button at the bottom of this document.

Getting paper copies
At any time, you may request from us a paper copy of any record provided or made available electronically to you by us. For such copies, as long as you are an authorized user of the DocuSign system you will have the ability to download and print any documents we send to you through your DocuSign user account for a limited period of time (usually 30 days) after such documents are first sent to you. After such time, if you wish for us to send you paper copies of any such documents from our office to you, you will be charged a $0.00 per-page fee. You may request delivery of such paper copies from us by following the procedure described below.

Withdrawing your consent
If you decide to receive notices and disclosures from us electronically, you may at any time change your mind and tell us that thereafter you want to receive required notices and disclosures only in paper format. How you must inform us of your decision to receive future notices and disclosure in paper format and withdraw your consent to receive notices and disclosures electronically is described below.

Consequences of changing your mind
If you elect to receive required notices and disclosures only in paper format, it will slow the speed at which we can complete certain steps in transactions with you and delivering services to you because we will need first to send the required notices or disclosures to you in paper format, and then wait until we receive back from you your acknowledgment of your receipt of such paper notices or disclosures. To indicate to us that you are changing your mind, you must withdraw your consent using the DocuSign 'Withdraw Consent' form on the signing page of your DocuSign account. This will indicate to us that you have withdrawn your consent to receive required notices and disclosures electronically from us and you will no longer be able to use your DocuSign Express user account to receive required notices and consents electronically from us or to sign electronically documents from us.

All notices and disclosures will be sent to you electronically Unless you tell us otherwise in accordance with the procedures described herein, we will provide electronically to you through your DocuSign user account all required notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to you during the course of our relationship with you. To reduce the chance of you inadvertently not receiving any notice or disclosure, we prefer to provide all of the required notices and disclosures to you by the same method and to the same address that you have given us. Thus, you can receive all the disclosures and notices electronically or in paper format through the paper mail delivery system. If you do not agree with this process, please let us know as described below. Please also see the paragraph immediately above that describes the consequences of your electing not to receive delivery of the notices and disclosures electronically from us.

How to contact Department of Water Resources:
714
You may contact us to let us know of your changes as to how we may contact you electronically, to request paper copies of certain information from us, and to withdraw your prior consent to receive notices and disclosures electronically as follows:

To contact us by phone call: (916) 653-5791
To contact us by paper mail, please send correspondence to:

Department of Water Resources
P.O. Box 942836
Sacramento, CA 95236-0001
To advise Department of Water Resources of your new e-mail address To let us know of a change in your e-mail address where we should send notices and disclosures electronically to you, you must send an email message to us at [email protected] and in the body of such request you must state: your previous e-mail address, your new e-mail address. We do not require any other information from you to change your email address..

In addition, you must notify DocuSign, Inc to arrange for your new email address to be reflected in your DocuSign account by following the process for changing e-mail in DocuSign.

To request paper copies from Department of Water Resources To request delivery from us of paper copies of the notices and disclosures previously provided by us to you electronically, you must send us an e-mail to [email protected] and in the body of such request you must state your e-mail address, full name, US Postal address, and telephone number. We will bill you for any fees at that time, if any.

To withdraw your consent with Department of Water Resources To inform us that you no longer want to receive future notices and disclosures in electronic format you may:
i. decline to sign a document from within your DocuSign account, and on the subsequent page, select the check-box indicating you wish to withdraw your consent, or you may; ii. send us an e-mail to and in the body of such request you must state your e-mail, full name, IS Postal Address, telephone number, and account number. We do not need any other information from you to withdraw consent.. The consequences of your withdrawing consent for online documents will be that transactions may take a longer time to process..

Required hardware and software
Operating Systems: Windows2000? or WindowsXP?
Browsers (for
SENDERS): Internet Explorer 6.0? or above
Browsers (for
SIGNERS): Internet Explorer 6.0?, Mozilla FireFox 1.0, NetScape 7.2 (or above) Email: Access to a valid email account
715
Screen Resolution: 800 x 600 minimum
Enabled Security
Settings:

Allow per session cookies
Users accessing the internet behind a Proxy Server must enable HTTP

1.1 settings via proxy connection
** These minimum requirements are subject to change. If these requirements change, we will provide you with an email message at the email address we have on file for you at that time providing you with the revised hardware and software requirements, at which time you will have the right to withdraw your consent.

Acknowledging your access and consent to receive materials electronically To confirm to us that you can access this information electronically, which will be similar to other electronic notices and disclosures that we will provide to you, please verify that you were able to read this electronic disclosure and that you also were able to print on paper or electronically save this page for your future reference and access or that you were able to e-mail this disclosure and consent to an address where you will be able to print on paper or save it for your future reference and access. Further, if you consent to receiving notices and disclosures exclusively in electronic format on the terms and conditions described above, please let us know by clicking the 'I agree' button below.

By checking the 'I Agree' box, I confirm that:

I can access and read this Electronic CONSENT TO ELECTRONIC RECEIPT OF ELECTRONIC RECORD AND SIGNATURE DISCLOSURES document; and I can print on paper the disclosure or save or send the disclosure to a place where I can print it, for future reference and access; and
Until or unless I notify Department of Water Resources as described above, I consent to receive from exclusively through electronic means all notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to me by Department of Water Resources during the course of my relationship with you.
716

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Art Vela, Public Works Director
MEETING DATE: February 27, 2024
SUBJECT: Consideration of Resolution 2024-34, Authorizing the Submittal of a Water Recycling Funding Program Planning Grant Application for a Request of Approximately $300,000 and Authorizing the City Manager or Designee to Sign and Submit All Required Documents Related to the Planning Grant Application
RECOMMENDATION:

Staff recommends that City Council adopt Resolution 2024-34:

1. Authorizing the City Manager or designee to sign and submit a Water Recycling Funding Program Planning grant application for a request of approximately $300,000 for the development of a recycled water feasibility study.

2. Authorizing the City Manager or designee to execute and submit all related documents including a financial assistance agreement, assurances, certifications and commitments.

BACKGROUND:

On December 13, 2022, the City Council approved Resolution 2022-14UA, “Awarding a Professional Services Agreement to N2W Engineering to Provide Owner Advisor Services and Preliminary Engineering for the Wastewater Treatment Plant Improvement Project in a “Not-to-Exceed” amount of $1,576,430. Resolution 2022-14UA, attached hereto, provides background on the City’s goal of improving the City’s Wastewater Treatment Plant (WWTP) by increasing treatment capacity and improving the WWTP treatment process for the purpose of developing a recycled water source.

The Water Recycling Funding Program (WRFP) is administered by the Division of Financial Assistance.

It supports the State Water Resources Control Board’s (SWRCB) Water Recycling Policy and provides funding for water recycling projects that offset or augment state or local fresh water supplies and water recycling research.

The purpose of the WRFP Planning grant program is to encourage Local Public Agencies to investigate the feasibility of recycling wastewater and assist them with completing planning for water recycling projects by supplementing local funds.

On April 25, 2023 City Council approved Resolution 2023-71, “The Submittal of a Water Recycling Funding Program Grant Application for a Request of $150,000 and Authorizing the City Manager or Designee to Sign and Submit all Required Documents Related to the Planning Grant Application”.

At the time of the grant application submittal staff expected that, if awarded funds, the grant funding would require a fifty percent (50%) match. Recent discussions with the SWRCB staff have indicated that due to the City’s Disadvantage Community (DAC) designation the City could be eligible to receive 717
approximately $300,000 with no match obligation.

JUSTIFICATION:

In order to be eligible to receive funding in the amount of approximately $300,000, the City must submit a revised resolution authorizing the City Manager, or designee, to sign and file a Financial Assistance Application for a grant agreement from the California SWRCB's WRFP for the Recycled Water Feasibility Study in the amount of approximately $300,000, for and on behalf of the City.

FISCAL IMPACT:

Through January 31, 2024, the City has been billed $334,259.18 by N2W Engineering for efforts related to the preparation and completion of the Recycled Water Feasibility Study. If awarded funds, approximately $300,000 in grant funding could be made available as a reimbursement to the City for the development of the Recycled Water Feasibility Study.

ALTERNATIVES:

Do not adopt Resolution 2024-34, which would result in not being eligible to receive additional funding from the WRFP.

ATTACHMENTS:

1. Resolution 2024-34, Water Planning Grant Submittal.docx

2. SR Resolution 2022-14 UA, Award Owner Advisor WWTP.pdf

3. Reso 2023-71 Water Recycling Funding Program.pdf
718
Resolution 2024-34

Page 1 of 3 ends

RESOLUTION 2024-34

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA,

AUTHORIZING THE SUBMITTAL OF A WATER RECYCLING FUNDING PROGRAM GRANT APPLICATION FOR AN AMOUNT OF APPROXIMATLEY $300,000 AND AUTHORIZING THE

CITY MANAGER OR DESIGNEE TO SIGN AND SUBMIT ALL REQUIRED DOCUMENTS

RELATED TO THE PLANNING GRANT APPLICATION
WHEREAS, the City of Banning Wastewater Treatment Plant (WWTP), also known as the Water Reclamation Facility, provides for the collection, treatment, and disposal of municipal sewage; and
WHEREAS, the City desires to improve the WWTP in order to treat its wastewater and produce recycled water; and
WHEREAS, on December 13, 2022, City Council approved Resolution 2022-15UA, awarding a professional services agreement to N2W Engineering to provide Owner Advisor services for the Wastewater Treatment Plant Improvement project. N2W has been tasked with developing a feasibility study consistent with the requirements of Title XVI Water Reclamation and Reuse Program; and
WHEREAS, the Water Recycling Funding Program (WRFP) is administered by the Division of Financial Assistance. It supports the State Water Resources Control Board’s Water Recycling Policy and provides funding for water recycling projects that offset or augment state or local fresh water supplies and water recycling research; and WHEREAS, the WRFP can provide funding to the City to develop a recycled water feasibility study.

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

SECTION 1. The City Manager, or his designee, is authorized sign and file a Financial Assistance Application for grant agreement from the California State Water Resources Control Board’s Water Recycling Funding Program for the Recycled Water Feasibility Study for an amount of approximately $300,000, for and on behalf of the City.

SECTION 2. The City Manager, or his designee, is designated to provide the assurances, certifications, and commitments required for the financial assistance application, including executing a financial assistance agreement with the State Water Resources Control Board, and any amendments or changes thereto.

SECTION 3. The City Manager, or his designee, is designated to represent the City in carrying out the City’s responsibilities under the grant agreement, including certifying disbursement requests on behalf of the City and compliance with applicable state and federal laws.

SECTION 4. The City Manager or designee is authorized to make necessary budget adjustments, appropriations and transfers related to the Financial Assistance Application for grant agreement from the California State Water Resources Control Board’s Water Recycling Funding Program. 719
Resolution 2024-34

Page 2 of 3 ends

SECTION 4. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED AND ADOPTED this 27th day of February 2024.

Alberto Sanchez, Mayor
City of Banning
ATTEST:

Caroline Patton, Administrative City Clerk
City of Banning

APPROVED AS TO FORM AND
LEGAL CONTENT:

Serita R. Young, City Attorney
Richards, Watson & Gershon
720
Resolution 2024-34

Page 3 of 3 ends

CERTIFICATION:

I, Caroline Patton, Administrative City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2024-34, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 27th day of February 2024 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Caroline Patton, Administrative City Clerk
City of Banning, California
721

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Art Vela, Director of Public Works
MEETING DATE: December 13, 2022
SUBJECT: Consideration of Resolution 2022-14UA, Awarding a Professional Services Agreement to N2W Engineering to
Provide Owner Advisor Services and Preliminary Engineering for the Wastewater Treatment Plant Improvement Project in a Not-to-Exceed Amount of $1,576,430
RECOMMENDATION:

Staff recommend that the City Council adopt Resolution 2022-14UA:

1. Awarding a Professional Services Agreement to N2W Engineering to provide Owner Advisor services for the Wastewater Treatment Plant Improvement project in the “not-to-exceed” amount of $1,576,430.

2. Authorizing the City Manager or his designee to make necessary budget adjustments, appropriations and transfers related to the Professional Services Agreement with N2W Engineering for Owner Advisor services.

3. Authorizing the City Manager or his designee to execute the Professional Services Agreement with N2W Engineering of Irvine, California in the “not to exceed” amount of $1,576,430.

BACKGROUND:

Wastewater Treatment Plant
The City of Banning Wastewater Treatment Plant (WWTP), also known as the Water Reclamation Facility, provides for the collection, treatment, and disposal of municipal sewage. The WWTP dates back to 1925 and began to see significant additions beginning in 1950’s and the last major renovation occurring in the early 2000’s. Currently, the WWTP treatment process consists of preliminary, primary, secondary, disinfection (currently not in use), and sludge disposal.

The WWTP has a design treatment capacity of 3.6 million gallons per day (MGD) and typical average daily discharges range from 2.0 MGD to 2.1 MGD into 10 unlined evaporation/percolation ponds. The treated effluent then percolates into the groundwater of the San Gorgonio Hydraulic Unit. Groundwater from this basin is used for municipal and industrial applications.
722
Staff Report: Resolution 2022-14UA Owner Advisor Services December 13, 2022

Page 2 of 5 ends

In 2007, the City contracted Parsons to evaluate treatment technologies for a 1.5 MGD water reclamation facility (WRF) for the production of recycled water. Treatment alternatives investigated included oxidation ditch (OD), conventional activated sludge (CAS), and membrane bioreactor (MBR). The purpose of the evaluation was to determine the best option to comply with future Title 22 requirements for the beneficial reuse of recycled water. Parsons determined an MBR system was the best treatment option and completed a 90% design package of the WRF. Unfortunately, the project never reached 100% design and was terminated for various reasons.
2016 Regional Water Quality Control Board Order
On June 30, 2016, the California Regional Water Quality Control Board, Colorado River Basin Region (RWQCB) adopted Board Order R7-2016-0015 (Board Order), which describes the Waste Discharge Requirements (WDRs) and other terms and conditions of operation for the City’s WWTP. The Board Order requires the WWTP to remove constituents that present the greatest risk to groundwater quality such as nitrogen, coliforms, and total dissolved solids (TDS).

According to the United States Environmental Protection Agency (US EPA), the maximum contaminant level (MCL) for Nitrate as Nitrogen (TN) is 10 mg/L. Currently, the average TN concentration in the WWTP’s effluent is 29 mg-N/L, well above the future TN limit of 10 mg-N/L specified in the Board Order.

As a result, the Board Order required the City to conduct a nitrogen removal analysis and to summarize the findings in a technical report that includes a tentative work plan and time schedule for the installation and implementation of nitrogen removal treatment alternatives. The final technical report (Nitrogen Removal Feasibility Study), attached hereto, was completed and submitted to the RWQCB by the due date of June 30, 2020.

The City has had plans for the development of a Title 22 compliant recycled water source dating back to the early 2000’s and for this reason, the scope of the Nitrogen Removal Feasibility Study was expanded beyond complying with TN limits and included discharge requirements related to the use of recycled water.

Additionally, the Board Order requires that the City submit a plan for capacity improvements to the RWQCB once the WWTP reaches 80% of its design capacity, or

2.88 MGD.
2018 Integrated Master Plan
In 2016 the Public Works Department set out to develop new master plans for the City’s water, wastewater and future recycled water systems, which were previously updated in 2006. The final document resulted in a combined plan titled the Integrated Master Plan (IMP). The objective of the IMP was to develop capital improvement plans that would guide the City in the planning and development of water, wastewater and recycled water system facilities to meet system performance for existing customers as well as to support anticipated demands through the City’s buildout.
723
Staff Report: Resolution 2022-14UA Owner Advisor Services December 13, 2022

Page 3 of 5 ends

The IMP projected that the City would reach 80% capacity by 2025 (although could be later if development slows down) and have a buildout wastewater flow of 6.35 MGD. 2020 UWMP
On June 8, 2021 the City Council approved Resolution 2021-50, adopting the 2020 Urban Water Management Plan (UWMP). The UWMP is a planning document with a 20-year planning horizon that assess the water supply and water demand for the City. As part of the assessment all current water supplies and in the future water supplies are include as part of the City’s water supply portfolio, which includes the use of recycled water to supplement potable demands (i.e. irrigation demands) and for groundwater recharge.

Owner Advisor
Staff determined that to comply with the Board Order; to increase treatment capacity at the WWTP to support development; and to add to the City’s water supply portfolio by developing a recycled water source, the City would need to move forward with major improvements to the WWTP. Current staffing levels would make it challenging to successfully complete such a large capital project in a timely manner. For that reason, staff developed a Request for Qualifications to hire an Owner Advisor (OA) which would be dedicated to the project.

An OA is typically a design and/or construction consultant or consulting firm that has extensive knowledge in the specific type of project being represented. The OA, generally, is responsible for project execution including the management of communications, time, cost, quality, risk, procurement, design, construction, and acceptance.

On July 21, 2022 the City released the attached RFQ on the OpenGov ProcureNow platform as well as sent to several qualified consulting firms. Qualification submittals were due on August 15, 2022. The RFQ was downloaded 30 times from ProcureNow. As a result of the of the RFQ solicitation the City received only one submittal from N2W Engineering. An evaluation committee reviewed the qualifications of N2W Engineering and agreed that they were qualified and experienced and subsequently an interview was conducted on October 4, 2022.

Following the interview staff worked with N2W Engineering to define the scope of work and negotiated a fee for said scope, attached hereto.

It is staff’s recommendation that City Council award a Professional Services Agreement to N2W Engineering, based on qualifications and fee statement. If approved, the term of the Professional Services Agreement is estimated to extend to fiscal year 2026/2027.

JUSTIFICATION:

Based on current and future wastewater regulatory requirements, implementation of the Integrated Master Plan and the City’s strategy for developing a robust water supply portfolio, it is necessary to move forward with the improvements to the City’s WWTP. Due 724
Staff Report: Resolution 2022-14UA Owner Advisor Services December 13, 2022

Page 4 of 5 ends

to current staff resource and size and complexity of the WWTP project, it is recommended by staff to hire an Owner Advisor to move the WWTP project forward.

City staff evaluated N2W Engineering’s experience and qualifications and interviewed the firm for the WWTP project and subsequently have found them as a qualified firm to represent the City as its Owner Advisor.

FISCAL IMPACT:

The negotiated fee for the identified scope of work is in the amount of $1,576,430.

The funding for this project was programmed in the approved 5-year Capital Improvement Plan (CIP) as follows:

Account Project Desc. FY 2023 FY 2024 FY 2025
680-8000-454.90-10 WWTP Owner Advisor $100,000 $100,000 $100,000 680-8000-454.95-12 WWTP Upgrades $130,000 $130,000 $130,000 681-8000-454.95-12 WWTP Upgrades $130,000 $650,000 $650,000 Total $360,000 $880,000 $880,000
An appropriation from Fund 680 (Wastewater Fund) and Fund 681 (Wastewater Capital Facilty Fund) fund balances will be required to allocate the needed funds in FY 2023. The appropriation would be offset by reducing/eliminating the expenditures in FY 2024 and FY 2025 as shown in the table above. The revised CIP table will be as follows:

Account Project Desc. FY 2023 FY 2024 FY 2025
680-8000-454.90-10 WWTP Owner Advisor $300,000 $0 $0
680-8000-454.95-12 WWTP Upgrades $390,000 $0 $0
681-8000-454.95-12 WWTP Upgrades $886,430 $0 $543,570
Total $1,576,430 $0 $543,570
In summary, appropriations in the amount of $460,000 from Fund 680 and $756,430 from Fund 681 are required to fund the Professional Services Agreement with N2W Engineering.

ALTERNATIVES:

1. Approve as presented.

2. Approve with modifications.

3. Do not approve Resolution 2022-14UA and provide alternate direction to staff.

ATTACHMENTS:

1. Resolution 2022-14UA
https://banningca.gov/DocumentCenter/View/11872/Att-1-Resolution-2022-14-UAOA-WWTP 725
Staff Report: Resolution 2022-14UA Owner Advisor Services December 13, 2022

Page 5 of 5 ends

2. Nitrogen Removal Feasibility Study
https://banningca.gov/DocumentCenter/View/11873/Att-2-Banning-Nitrogen-RemovalFeasibility-Study-FINAL-REV-1-STAMPED

3. Request for Qualifications
https://banningca.gov/DocumentCenter/View/11874/Att-3-RFQ-22-019-OwnerAdvisor-COB-WaterWasterwater

4. Statement of Qualifications
https://banningca.gov/DocumentCenter/View/11868/Att-4-Statement_of_Qualifications

5. Scope of Services
https://banningca.gov/DocumentCenter/View/11869/Att-5-Scope_of_Services-11-22- 2022

6. Fee Statement
https://banningca.gov/DocumentCenter/View/11870/Att-6-Fee-11-22-2022

7. Draft Professional Services Agreement
https://banningca.gov/DocumentCenter/View/11871/Att-7-C00778-N2W-EngineeringInc Approved by:

Douglas Schulze
City Manager
726
RESOLUTION 2023-71

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA,

AUTHORIZING THE SUBMITTAL OF A WATER RECYCLING FUNDING PROGRAM GRANT APPLICATION FOR A REQUEST OF $ 150,000 AND AUTHORIZING THE

CITY MANAGER OR DESIGNEE TO SIGN AND SUBMIT ALL REQUIRED

DOCUMENTS RELATED TO THE PLANNING GRANT APPLICATION
WHEREAS, the City of Banning Wastewater Treatment Plant 0NW"fP), also known as the Water Reclamation Facility, provides for the collection, treatment, and disposal of municipal sewage; and
WHEREAS, the City desires to improve the WVVTP in order to treat its wastewater and produce recycled water; and
WHEREAS, on December 13, 2022, City Council approved Resolution 2022-15UA, awarding a professional services agreement to N2W Engineering to provide Owner Advisor services for the Wastewater Treatment Plant Improvement project. N2W has been tasked with developing a feasibility study consistent with the requirements of Title XVI Water Reclamation and Reuse Program; and
WHEREAS, the Water Recycling Funding Program (WRFP) is administered by the Division of Financial Assistance. It supports the State Water Resources Control Board's Water Recycling Policy and provides funding for water recycling projects· that offset or augment state or local fresh water supplies and water recycling research; and WHEREAS, the WRFP can provide funding to the City to develop a recycled water feasibility study.

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

SECTION 1. The City Council hereby authorizes the City Manager, or his designee, to sign and file a Financial Assistance Application for grant agreement from the California State Water Resources Control Board's Water Recycling Funding Program for the Recycled Water Feasibility Study in the amount of $150,000, for and on behalf of the City.

SECTION 2. The City Manager, or his designee, is authorized to provide the assurances, certifications, and commitments required for the financial assistance application, including executing a financial assistance agreement with the State Water Resources Control Board, and any amendments or changes thereto.

SECTION 3. The City Manager, or his designee, is authorized to represent the City in carrying out the City's responsibilities under the grant agreement, including certifying disbursement requests on behalf of the City and compliance with applicable state and federal laws.

Resolution 2023- 71

Page 1 of 3 ends

727
SECTION 4. The City Manager or designee is authorized to make necessary budget adjustments, appropriations and transfers related to the Financial Assistance Application for grant agreement from the California State Water Resources Control Board' s Water Recycling Funding Program.

SECTION 3. The City Clerk shall certify the adoption of this resolution and shall cause a certified resolution to be filed in the book of original resolutions.

PASSED, APPROVED AND ADOPTED this 25th day ofAp /
ATTEST:

Caroline Patton, D
City of Banning

APPROVED AS TO FORM AND
LE~ ONTENT:

Serita R. Young, City Attorney
Richards, Watson & Gershon ·
Resolution 2023- 71

Page 2 of 3 ends

Alberto
City of
728
CERTIFICATION:

I, Caroline Patton, Deputy City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2023-71 , was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 25th day of April 2023 by the following vote, to wit:

AYES: Flynn, Gonzales, Minjares, Sanchez , and Wallace.

NOES:

ABSENT:

ABSTAIN:

Resolution 2023- 71

Page 3 of 3 ends

Caroline Patton , De uty City Clerk
City of Banning, California
729

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Adam Rush, Community Development Director
MEETING DATE: February 27, 2024
SUBJECT: Consideration of Resolution 2024-35, Approving Amendment No. 6 to a Professional Services Agreement (C00641) with Nobel Systems Inc. for ArcGIS and API Online Services
RECOMMENDATION:

Adopt Resolution 2024-35.

BACKGROUND:

On March 19, 2020, the City and Nobel Systems, Inc. (“Service Provider”) entered into an Agreement to provide ArcGIS Online API (“Agreement”) to the Community Development whereby the Service Provider agreed to provide third-party hosted geographic information systems services (“ArcGIS Online API”) for the City’s Smart Gov Permitting Application in the amount of Fourteen Thousand Six Hundred Dollars ($14,600.00).

On May 25, 2021, the City and Service Provider amended the Agreement to exercise the option to extend the Agreement for an additional one-year term, ending on March 18, 2022, and to include additional compensation for the extended contract term in an amount not to exceed Eight Thousand Four Hundred Dollars ($8,400.00), for a total of Twenty-Three Thousand Dollars ($23,000) (“Amendment No. 1”).

On August 31, 2021, City and Service Provider amended the Agreement to increase the additional compensation for the extended contract term approved under Amendment No. 1 in an amount not to exceed Ten Thousand Dollars ($10,000.00), for a total of Thirty-Three Thousand Dollars ($33,000.00) (“Amendment No. 2”).

On February 26, 2022, City and Service Provider amended the Agreement to increase the additional compensation for the extended contract term approved under Amendment No. 1 in an amount not to exceed Ten Thousand Dollars ($10,000.00), for a total of Forty-Three Thousand Dollars ($43,000.00) (“Amendment No. 3”).

On July 26, 2022, City and Service Provider amended the Agreement to exercise the option to extend the Agreement for an additional one-year term, ending on March 18, 2023, and to include additional compensation for the extended contract term in an amount not to exceed Twenty Thousand Dollars ($20,000.00) for a total of Sixty-Three Thousand Dollars ($63,000.00) (“Amendment No. 4”).

On February 21, 2023, City and Service Provider amended the Agreement to exercise the option to extend the Agreement for an additional one-year term, ending on March 18, 2023, and to include additional compensation for the extended contract term in an amount not to exceed Thirty-Two 730
Thousand Six Hundred Dollars ($32,600.00), for a total of Ninety-Five Thousand Six Hundred Dollars ($95,600.00). (“Amendment No. 5”).

City and Service Provider now desire to amend the Agreement in accordance with Resolution 2024-35 to include additional compensation for GIS Services for the extended contract term in an amount not to exceed of Thirty-Two Thousand Six Hundred Dollars ($32,600.00), for a total of One Hundred TwentyEight Thousand Two Hundred Dollars ($128,200.00).

JUSTIFICATION:

The Community Development Department launched the SmartGov® online permitting platform in May of 2023. The City utilizes Nobel Systems, Inc. for Geographic Information Services (GIS); however, this platform is not compatible with the SmartGov permitting system. As such, the City is required to contract separately with Nobel to "host" the ArcGIS data, in an ESRI compatible format, which integrates directly with the SmartGov. platform.

In an effort to reduce future costs, staff is currently negotiating directly with ESRI to transfer this hosting to a cloud-based platform which Planning staff will have direct access to update internally, rather than relying in a third party vendor. The timeframe for this change is approximately six-months.

FISCAL IMPACT:

The Community Development Department's operational budget will fund the requested increase, Account No. 001-2800-441.33-11 (Professional Services):

Year Estimated Amount
2023/2024 $22,600 (in mid-year budget item)
2024/2025 $10,000
ALTERNATIVES:

1. Adopt Resolution 2024-35, as recommended.

2. Adopt Resolution 2024-35, with modifications.

3. Do not approve Resolution 2024-35 and provide alternative direction to staff.

ATTACHMENTS:

1. Resolution 2024-35, Nobel Systems.docx

2. Nobel Amendment No. 6.docx
731
Resolution 2024-35

Page 1 of 4 ends

RESOLUTION 2024-35

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA,

APPROVING THE SIXTH AMENDMENT TO THE PROFESSIONAL SERVICES AGREEMENT (PSA C00641) WITH NOBEL SYSTEMS, INC. FOR GEOGRAPHICAL INFORMATION SERVICES (GIS)
WHEREAS, on March 26, 2019, the City Council approved a Professional Services Agreement with Nobel Systems, Inc. (“Consultant”) in an amount not to exceed Fourteen Thousand and Six Hundred Dollars ($14,600) to provide ArcGIS Online API Services for the City’s Smart Gov Permitting Application (the “Agreement”); and
WHEREAS, on May 25, 2021, the City Council amended the Agreement to exercise the option to extend the Agreement for an additional one-year term (expiring on March 18, 2022), and to include additional compensation for the extended contract term in an amount not to exceed Eight Thousand and Four Hundred Dollars ($8,400), for a total compensation of Twenty-Three Thousand Dollars ($23,000); and
WHEREAS, on August 24, 2021, the City Council authorized an increase in compensation for services in an amount that shall not exceed Ten Thousand Dollars ($10,000), for a total compensation of Thirty-Three Thousand Dollars ($33,000); and WHEREAS, on January 11, 2022, the City Council authorized an increase in compensation for services in an amount that shall not exceed Ten Thousand Dollars ($10,000), for a total compensation of Forty-Three Thousand Dollars ($43,000); and WHEREAS, on June 28, 2022, the City Council authorized an increase in compensation for services in an amount that shall not exceed Twenty Thousand Dollars ($20,000) for a total compensation of Sixty-Three Thousand Dollars ($63,000); and WHEREAS, on January 24, 2023, the City Council authorized an increase in compensation for services in an amount that shall not exceed Thirty-Two Thousand and Six Hundred Dollars ($32,600) for a total compensation of Ninety-Five Thousand and Six Hundred Dollars ($95,600); and
WHEREAS, the City and Consultant now desire to amend the Agreement to include additional compensation in the amount of Thirty-Two Thousand and Six-Hundred Dollars ($32,600), for a total compensation of One Hundred and Twenty-Eight Thousand and Two Hundred Dollars ($128,200).

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

SECTION 1. The Banning City Council approves Amendment No. 6 to the Agreement, attached as Exhibit “A,” in an amount not-to-exceed One Hundred and Twenty-Eight Thousand and Two Hundred Dollars ($128,200) for ArcGIS and API Services in the City of Banning for Fiscal Years 2023/2024 and 2024/2025.

SECTION 2. The City Manager or his designee is authorized to make necessary budget adjustments, 732
Resolution 2024-35

Page 2 of 4 ends

appropriations and transfers related to this services agreement.

SECTION 3. The City Manager or his designee is authorized to execute Amendment No. 6 to the Agreement with on behalf of the City Council.

SECTION 4. The City Clerk shall certify to the adoption of this Resolution and shall cause a certified Resolution to be filed in the book of original resolutions.

PASSED, APPROVED AND ADOPTED this 27th day of February 2024.

Alberto Sanchez, Mayor
City of Banning
ATTEST:

Caroline Patton, Administrative City Clerk
City of Banning

APPROVED AS TO FORM AND
LEGAL CONTENT:

Serita R. Young, City Attorney
Richards, Watson & Gershon
733
Resolution 2024-35

Page 3 of 4 ends

CERTIFICATION:

I, Caroline Patton, Administrative City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2024-35, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 27th day of February 2024 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Caroline Patton, Administrative City Clerk
City of Banning, California
734
Resolution 2024-35

Page 4 of 4 ends

EXHIBIT A
Amendment No. 6 to the Professional Services Agreement with Nobel Systems 735
AMENDMENT NO. 6 TO C00641 ARCGIS ONLINE API AGREEMENT -

COMMUNITY DEVELOPMENT FOR ARCGIS ONLINE API BY AND
BETWEEN CITY OF BANNING AND NOBEL SYSTEMS, INC.

THIS AMENDMENT NO. 6 TO THE C00641 ARCGIS ONLINE API
AGREEMENT (“Amendment No. 6”) by and between the CITY OF BANNING (“City”) and NOBEL SYSTEMS, INC., a California corporation (“Service Provider”) is effective as of this day: _______________________.

RECITALS
A. City and Service Provider entered into that certain C00641 ArcGIS Online API Agreement - Community Development dated March 19, 2020 (“Agreement”) whereby Service Provider agreed to provide third-party hosted geographic information systems services (“ArcGIS Online API”) for the City’s Smart Gov Permitting Application in the amount of Fourteen Thousand Six Hundred Dollars ($14,600.00).

B. On May 25, 2021, City and Service Provider amended the Agreement to exercise the option to extend the Agreement for an additional one-year term, ending on March 18, 2022, and to include additional compensation for the extended contract term in an amount not to exceed Eight Thousand Four Hundred Dollars ($8,400.00), for a total of Twenty-Three Thousand Dollars ($23,000) (“Amendment No. 1”).

C. On August 31, 2021, City and Service Provider amended the Agreement to increase the additional compensation for the extended contract term approved under Amendment No. 1 in an amount not to exceed Ten Thousand Dollars ($10,000.00), for a total of Thirty-Three Thousand Dollars ($33,000.00) (“Amendment No. 2”).

D. On February 26, 2022, City and Service Provider amended the Agreement to increase the additional compensation for the extended contract term approved under Amendment No. 1 in an amount not to exceed Ten Thousand Dollars ($10,000.00), for a total of Forty-Three Thousand Dollars ($43,000.00) (“Amendment No. 3”).

E. On July 26, 2022, City and Service Provider amended the Agreement to exercise the option to extend the Agreement for an additional one-year term, ending on March 18, 2023, and to include additional compensation for the extended contract term in an amount not to exceed Twenty Thousand Dollars ($20,000.00) for a total of Sixty-Three Thousand Dollars ($63,000.00) (“Amendment No. 4”).

F. On February 21, 2023, City and Service Provider amended the Agreement to exercise the option to extend the Agreement for an additional one-year term, ending on March 18, 2023, and to include additional compensation for the extended contract term in an amount not to exceed Thirty-Two Thousand Six Hundred Dollars ($32,600.00), for a total of Ninety-Five Thousand Six Hundred Dollars ($95,600.00). (“Amendment No. 5”). 736
G. City and Service Provider now desire to amend the Agreement in accordance with Resolution 2024-35 to extend the term of the Agreement and include additional compensation for GIS Services for the extended contract term in an amount not to exceed of Thirty-Two Thousand Six Hundred Dollars ($32,600.00), for a total of One Hundred Twenty-Eight Thousand Two Hundred Dollars ($128,200.00).

TERMS

1. Contract Changes. The Agreement is amended as provided herein. (a) Section 6 (“Fees; Billing”) of the Agreement is amended to read as follows:
“City shall be responsible for and shall pay to Service Provider the amount of One Hundred Twenty-Eight Thousand Two Hundred Dollars ($128,200.00) for the Initial Term and Renewal Terms of this Agreement, subject to the terms and conditions contained in this Agreement. Any sum due Service Provider for the Services for which payment is not otherwise specified shall be due and payable thirty (30) business days after receipt by City of an invoice from Service Provider.” (b) Section 5.1 (“Term”) is hereby extended for one renewal term through March 18, 2025, unless sooner terminated or extended as provided in the Agreement.

2. Continuing Effect of Agreement. Except as amended by this Amendment No. 6, all provisions of the Agreement, as amended by Amendment Nos. 1 through 5, shall remain unchanged and in full force and effect. From and after the date of this Amendment No. 6, whenever the term “Agreement” appears in the Agreement, it shall mean the Agreement, as amended by Amendment Nos. 1 through 6. In the event of a conflict between the provisions of this Amendment No. 6 and the provisions of the Agreement or Amendments Nos. 1 through 5, the provisions of this Amendment No. 6 shall control.

3. Affirmation of Agreement; Warranty Regarding Absence of Defaults. City and Service Provider each ratify and reaffirm each and every one of the respective rights and obligations arising under the Agreement. Each party represents and warrants to the other that there have been no written or oral modifications to the Agreement other than as provided herein. Each party represents and warrants to the other that the Agreement is currently an effective, valid, and binding obligation.

Service Provider represents and warrants to City that, as of the date of this Amendment No. 6, City is not in default of any material term of the Agreement and that there have been no events that, with the passing of time or the giving of notice, or both, would constitute a material default under the Agreement.

City represents and warrants to Service Provider that, as of the date of this Amendment No. 6, Service Provider is not in default of any material term of the Agreement and that there have been no events that, with the passing of time or the giving of notice, or both, would constitute a material default under the Agreement.
737

4. Adequate Consideration. The parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment No. 6.

5. Authority. The persons executing this Amendment No. 6 on behalf of the parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No. 6 on behalf of said party, (iii) by so executing this Amendment No. 6 , such party is formally bound to the provisions of this Agreement, and (iv) the entering into this Amendment No. 6 does not violate any provision of any other Agreement to which said party is bound.

6. Electronic Signatures. Each Party may adopt an electronic identification consisting of a symbol or code that is affixed to or contained in each document transmitted by such Party (“electronic signature”). The Parties hereto herby agree that electronic signatures are acceptable, shall have the same force and effect under the law as original wet signatures, and shall be sufficient to verify that the Parties have executed this Agreement and such other documents transmitted by the Parties.
[SIGNATURES ON FOLLOWING PAGE]
738
IN WITNESS WHEREOF the Parties hereto have executed this Amendment No. 6 to the Agreement the day and year first hereinabove written.

CITY OF BANNING SERVICE PROVIDER
Douglas Schulze, Date
City Manager
NAME: Date
TITLE:

NAME: Date
TITLE:

ATTEST:

Tax ID No.

Caroline Patton Date
Deputy City Clerk
Address:

APPROVED AS TO FORM:

Richards, Watson & Gershon
City Council Approval: _____________
Serita R. Young, Esq., Date
City Attorney
NOTE: PROOF OF AUTHORITY TO BIND CONTRACTING PARTY REQUIRED.

APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE BYLAWS,

ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO SERVICE PROVIDER’S BUSINESS ENTITY.
739

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Adam Rush, Community Development Director
MEETING DATE: February 27, 2024
SUBJECT: Consideration of Resolution 2024-36, Approving Amendment No. 5 to a Professional Services Agreement (C00658) for Planning Services by and between the City of Banning and Romo Planning Group, Inc. (RPG) RECOMMENDATION:

Adopt Resolution 2024-36.

BACKGROUND:

On August 25, 2020, the City Council adopted Resolution 2020-106, approving an agreement with Romo Planning Group, Inc. (RPG) for planning services in the amount of $510,000 for a period of five (5) years.

On February 28, 2023, the City Council adopted Resolution 2023-041, approving Amendment No. 1 to the Agreement with RPG. However, Resolution 2023-41 incorrectly stated the total contract amount as $511,200, whereas staff intended to seek approval of an increased contract sum not-to-exceed $522,000. Therefore, on June 27, 2023, the City Council adopted Resolution 2023-124, rescinding Resolution 2023-41 and Amendment No. 1 and approving Amendment No. 2 to the Agreement, increasing the not-to-exceed contract sum amount to $522,000, and extending the term of the Agreement through August 26, 2024. Subsequently, the City Manager approved Amendment No. 3 the Agreement dated October 2, 2023, increasing the total contract sum by $25,000 to $547,000.

On October 10, 2023, the City Council adopted Resolution 2023-165, approving Amendment No. 4 to the Agreement, increasing the not-to-exceed contract sum amount to $717,000.

City staff and RPG now desire to amend the Agreement to increase the not-to-exceed contract sum amount to $1,155,000 and extend the term of the Agreement through August 26, 2025. This will be the final request to extend this Agreement as the City’s Purchasing Policy requires the issuance of a new RFP for planning consulting services.

JUSTIFICATION:

The Community Development Department continues to experience substantial growth in the number of entitlement and permit applications. In the last twelve (12) months, three new residential projects have submitted for plan review and building permits, for approximately 393 residential units. Such projects will require planning review of walls, fences, landscaping, and architectural plans, just to name a few.

In addition, the Department is processing several large industrial projects that require the preparation of Environmental Impact Reports (EIR)s, which are large and complex environmental documents. 740
With the addition of the Management Analyst and Associate Planner positions, the Department is organizing to establish more efficient customer service and plan review protocols. There remains a requirement to ensure dedicated planning staff can manage some of the larger and more complicated development projects without direct oversight from Department Management, thus requiring part-time, contract staff to act as supplement and augment to traditional planning staff.

The expenses incurred through this Agreement are reimbursable by Development Review (i.e. "user fees") paid by the project applicants prior to, and throughout, the entitlement process.

FISCAL IMPACT:

The Community Development Department's operational budget will fund the requested increase, Account No. 001-2800-441.33-11 (Professional Services):

Year Estimated Amount
2023/2024 $160,000 (in mid-year budget item)
2024/2025 $240,000
2025/2026 $38,000
ALTERNATIVES:

1. Adopt Resolution 2024-36, as recommended.

2. Adopt Resolution 2024-36, with modifications.

3. Do not approve Resolution 2024-36 and provide alternative direction to staff.

ATTACHMENTS:

1. Resolution 2024-36, Romo Planning Group.docx

2. Amend_No.5_PSA_for_Romo_Planning-_Comm_Development_Planning (5).docx 741
Resolution 2024-36

Page 1 of 4 ends

RESOLUTION 2024-036

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA, APPROVING AMENDMENT NO. 5 TO A PROFESSIONAL SERVICES AGREEMENT (C00658)

FOR PLANNING SERVICES BY AND BETWEEN THE CITY OF BANNING AND ROMO

PLANNING GROUP, INC (RPG)
WHEREAS, on August 25, 2020, the City Council of the City of Banning adopted Resolution 2020-106, approving a new agreement with Romo Planning Group, Inc., in the amount of $510,000 for three years with two one-year renewal options (the “Agreement”); and WHEREAS, on February 28, 2023, the City Council adopted Resolution 2023-41, approving Amendment No. 1 to the Agreement, increasing the not-to-exceed Contract Sum amount to $511,200; and
WHEREAS, Resolution 2023-041 incorrectly stated the total contract amount as $511,200 whereas staff intended to seek approval of an increased Contract Sum not-to-exceed $522,000; and
WHEREAS, on June 27, 2023, the City Council adopted Resolution 2023-124, rescinding Resolution 2023-41 and Amendment No. 1 and approving Amendment No. 2 to the Agreement, increasing the not-to-exceed Contract Sum amount to $522,000 and extending the term of the Agreement through August 26, 2024; and
WHEREAS, the City Manager approved an Amendment No. 3 the Agreement dated October 2, 2023, increasing the not-to-exceed Contract Sum by $25,000 to $547,000; and WHEREAS, on October 10, 2023, the City Council adopted Resolution 2023-165, approving Amendment No. 4 to the Agreement, increasing the not-to-exceed Contract Sum amount to $717,000; and
WHEREAS, City and Consultant now desire to amend the Agreement to increase the notto-exceed Contract Sum amount to $1,155,000 and extend the Agreement through August 26, 2025 ("Amendment No. 5”); and
WHEREAS, funding will be available for proposed Amendment No. 5 in the City’s Community Development Department accounts during Fiscal Years 23/24, 24/25, and 25/26 in the amount not-to-exceed $1,155,000; and
WHEREAS, except as amended by Amendment No. 5, all provisions of the Agreement, as amended by Amendment Nos. 1, 2, 3, and 4 shall remain unchanged and in full force and effect.

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

SECTION 1. The Banning City Council approves Amendment No. 5 to the Professional Services Agreement with Romo Planning Group, Inc., attached as Exhibit “A,” increasing the not-to-exceed Contract Sum to $1,155,000 and extending the term of the Agreement to August 24, 2025. 742
Resolution 2024-36

Page 2 of 4 ends

SECTION 2. The City Manager or his designee is authorized to make necessary budget adjustments, appropriations and transfers related to this services agreement.

SECTION 3. The City Manager or his designee is authorized to execute Amendment No. 5 to the Agreement on behalf of the City Council.

SECTION 4. The City Clerk shall certify the adoption of this Resolution and shall cause a certified Resolution to be filed in the book of original resolutions.

PASSED, APPROVED AND ADOPTED this 27th day of February 2024.

Alberto Sanchez, Mayor
City of Banning
ATTEST:

Caroline Patton, Administrative City Clerk
City of Banning

APPROVED AS TO FORM AND
LEGAL CONTENT:

Serita R. Young, City Attorney
Richards, Watson & Gershon
743
Resolution 2024-36

Page 3 of 4 ends

CERTIFICATION:

I, Caroline Patton, Administrative City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2024-36, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 27th day of February 2024 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Caroline Patton, Administrative City Clerk
City of Banning, California
744
Resolution 2024-36

Page 4 of 4 ends

Exhibit A
Amendment No. 5 to the Professional Services Agreement
with Romo Planning Group (C00658)
745
AMENDMENT NO. 5 TO A PROFESSIONAL SERVICES AGREEMENT
(C00658) FOR PLANNING SERVICES BY AND BETWEEN THE CITY OF BANNING AND ROMO PLANNING GROUP, INC (RPG).

THIS AMENDMENT NO. 5 TO THE PROFESSIONAL SERVICES
AGREEMENT (“Amendment No. 5”) by and between the CITY OF BANNING (“City”) and ROMO PLANNING GROUP, INC., a California corporation (“Consultant”) is effective as of this day: __________________.

RECITALS
A. City and Consultant entered into that certain Professional Services Agreement dated August 25, 2020 for the purpose of providing Planning services for Community Development (“Agreement”) for a period of three years with a not to exceed Contract Sum of $510,000 as approved by City Council Resolution 2020-16.

B. On February 28, 2023, the City Council adopted Resolution 2023-41, approving Amendment No. 1 to the Agreement, increasing the not-to-exceed Contract Sum amount to $511,200.

C. Resolution 2023-41 incorrectly stated the total Contract Sum as $511,200, whereas staff intended to seek approval of an increased Contract Sum not-to-exceed $522,000.

D. On June 27, 2023, the City Council adopted Resolution 2023-124, rescinding Resolution 2023-41 and Amendment No. 1 and approving Amendment No. 2 increasing the not-toexceed Contract Sum amount to $522,000 and extending the agreement through August 26, 2024.

E. The City Manager approved Amendment No. 3 to the Agreement dated October 2, 2023, increasing the not-to-exceed Contract Sum by $25,000 to $547,000.

F. On October 10, 2023, the City Council adopted Resolution 2023-165, increasing the not-to-exceed Contract Sum to $717,000.

G. City and Consultant now desire to amend the Agreement to increase the not-to-exceed Contract Sum amount to $1,155,000 and extend the term of the Agreement through August 26, 2025.

The Parties therefore agree follows:

1. Amended Terms. The Agreement is hereby amended as follows:

1.1 The maximum compensation for the Services performed pursuant to this Amendment No. 5 shall not exceed Four Hundred Thirty-Eight Thousand Dollars ($438,000) thereby increasing the Contract Sum, as set forth in Section 746

2.1 of the Agreement, to One Million One Hundred Fifty-Five Thousand Dollars ($1,155,000).

1.2 The Term of the Agreement, as set forth in Section 3.4 of the Agreement, is hereby extended through August 26, 2025, unless sooner terminated or extended as provided in the Agreement.

2. Miscellaneous Provisions

2.1 Continued Effect of Agreement. Except as amended by this Amendment No. 5, all provisions of the Agreement, as amended by Amendment Nos. 1, 2, 3, and 4 shall remain unchanged and in full force and effect. From and after the date of this Amendment No. 5, whenever the term “Agreement” appears in the Agreement, it shall mean the Agreement, as amended by Amendment Nos. 1, 2, 3, 4, through 5. In the event of a conflict between the provisions of this Amendment No. 5 and the provisions of the Agreement or Amendment Nos. 1 through 4, the provisions of this Amendment No. 5 shall control.

2.2 Consideration for Amendment. The parties hereby agree that they have each received adequate and independent consideration for the modifications to the Agreement set forth in this Amendment No. 5.

2.3 Authority. The persons executing this Amendment No. 5 on behalf of the parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No. 5 on behalf of said party, (iii) by so executing this Amendment No. 5, such party is formally bound to the provisions of this Amendment No. 5, and (iv) entering into this Amendment No. 5 does not violate any provision of any other agreement to which said party is bound.

2.4 Counterparts. This Amendment No. 5 may be signed in any number of counterparts, each of which will be an original, but all of which together will constitute one instrument.

2.5 Electronic Signatures. Each Party may adopt as its signature an electronic identification consisting of a symbol or code that is affixed to or contained in each document transmitted by such Party (“electronic signature”). The Parties hereto herby agree that electronic signatures are acceptable, shall have the same force and effect under the law as original wet signatures, and shall be sufficient to verify that the Parties have executed this Agreement and such other documents transmitted by the Parties.
[SIGNATURE PAGE FOLLOWS]
747
The Parties are signing this Amendment No. 5 on the date stated in the introductory clause.

CITY OF BANNING CONSULTANT
Doug Schultz,
City Manager
NAME:

TITLE:

City Council Approval: _______________ NAME:

TITLE:

ATTEST:

Caroline Patton
Deputy City Clerk
NOTE: PROOF OF AUTHORITY TO BIND CONTRACTING PARTY REQUIRED.

APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE

BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONSULTANT’S BUSINESS ENTITY.
748

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Adam Rush, Community Development Director
MEETING DATE: February 27, 2024
SUBJECT: Consideration of Resolution 2024-37, Approving Amendment No. 3 to a Professional Services Agreement (C00608) with Willdan Engineering for Building and Safety Plan Check and Landscape Design Review Services RECOMMENDATION:

Adopt Resolution 2024-37.

BACKGROUND:

On September 24, 2019, the City of Banning, on Resolution 2019-122, approved an agreement with Willdan Engineering, Inc., for a total amount of $1,470,960.On January 25, 2022, the City Council adopted Resolution 2022-09, amending the Agreement to increase the Contract Sum by $714,902.50 for a total Contract Sum of $2,185,862.50 (“Amendment No. 1”).

On January 24, 2023, the City Council adopted Resolution 2023-20, which was intended to implement staff’s recommendation to amend the Agreement to extend the term of the Agreement through October 31, 2023, and increase the not-to-exceed total compensation by $612,000 to $2,797,862.50 (Amendment No. 2). Resolution 2023-20, however, incorrectly stated the amended not-to-exceed total compensation as $2,185,862.50, and did not address staff’s recommendation to extend the Agreement term to October 31, 2023.

On February 28, 2023, the City Council adopted Resolution 2023-44, re-approved Amendment No. 2 approving an increase in the not-to-exceed total compensation by $612,000 to $2,797,862.50, and an extension of the term of the Agreement through June 30, 2024. It was staff’s intent that the City Council’s adoption of Resolution 2023-44 would update and replace the Council’s actions taken via Resolution 2023-20, in their entirety.

City and Consultant now desire to amend the Agreement (Amendment No. 3) in accordance with Resolution No. 2024-37 to include additional compensation not-to-exceed Contract Sum by $470,000 to $3,267,862.50, and to extend the term of the Agreement through September 23, 2024.

JUSTIFICATION:

The engagement of these additional services has increased the contract amount above the previously approved financial limits set by the City Council. As such, additional commitment of resources is required. However, all of Willdan's fees are considered “pass-through” costs, as the City's costs are reimbursed through developer review fees on the plans and permits submitted to the City.

FISCAL IMPACT:

The Community Development operational budget will fund the requested increase, Account No. 001- 749
2700-441.33-11 (Professional Services):

Year Estimated Amount
2023/2024 $325,000 (in mid-year budget item)
2024/2025 $145,000
ALTERNATIVES:

1. Adopt Resolution 2024-37, as recommended.

2. Adopt Resolution 2024-37, with modifications.

3. Do not approve Resolution 2024-37 and provide alternative direction to staff.

ATTACHMENTS:

1. Resolution 2024-37, Willdan Engineering.docx

2. Banning_-
_Amendment_No._3_to_PSA__C00608__for_Building_and_Safety_Plan_Check_and_Landscape_Design_Review_S 750
Resolution 2024-37

Page 1 of 3 ends

RESOLUTION 2024-37

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA, APPROVING A PROFESSIONAL SERVICES AGREEMENT (PSA C00608) WILLDAN

ENGINEERING FOR BUILDING AND SAFETY PLAN CHECK AND LANDSCAPE DESIGN

REVIEW SERVICES
WHEREAS, on August 16, 2019 the City issued a Request for Proposal (RFP) for Building and Safety Plan Check and Landscape Review Services. The RFP proposal responses were due on September 4, 2019; and
WHEREAS, on September 13, 2019 the City scored all the proposals and determined that Willdan Engineering submitted a responsive and responsible proposal and has received the highest score out of the eight proposals received by the City; and WHEREAS, Willdan Engineering will provide the highest and best value to the City, its residents, customers, and patrons through a combination of experience, hourly rates, and overall ability to provide the services requested through the City’s RFP; and WHEREAS, On September 24, 2019, the City of Banning, on Resolution 2019-122, approved an agreement with Willdan Engineering, Inc., for a total amount of $1,470,960; and WHEREAS, On January 25, 2022, the City of Banning, on Resolution 2022-09, approved Amendment No. 1 approving an increase in compensation to the Consultant, in the amount of $714,902.50, for a total amount of $2,185,862.50; and
WHEREAS, On January 24, 2023, the City Council adopted Resolution 2023-20, which was intended to implement staff’s recommendation to amend the Agreement to extend the term of the Agreement through October 31, 2023, and increase the not-to-exceed total compensation by $612,000 to $2,797,862.50 (Amendment No. 2). Resolution 2023-20, however, incorrectly stated the amended not-to-exceed total compensation as $2,185,862.50, and did not address staff’s recommendation to extend the Agreement term to October 31, 2023; and WHEREAS, On February 28, 2023, the City of Banning, on Resolution 2023-44, reapproved Amendment No. 2 approving an increase in the not-to-exceed total compensation by $612,000 to $2,797,862.50, and an extension of the term of the Agreement through June 30, 2024. It was staff’s intent that the City Council’s adoption of Resolution 2023-44 would update and replace the Council’s actions taken via Resolution 2023-20, in their entirety; and WHEREAS, City and Consultant now desire to amend the Agreement (Amendment No. 3) in accordance with Resolution No. 2024-37 to include additional compensation in the amount of $470,000, for a total amount of $3,267,862.50, and to extend the term of the Agreement to September 23, 2024.
751
Resolution 2024-37

Page 2 of 3 ends

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

SECTION 1. The Banning City Council adopts Resolution 2024-37 approving a Professional Services Agreement with Willdan Engineering, in an amount not-to-exceed $3,267,862.50 for Building and Safety Plan Check and Landscape Design Review Services in the City of Banning for Fiscal Years 2023/2024 and 2024/2025.

SECTION 2. The City Manager or his designee is authorized to make necessary budget adjustments, appropriations and transfers related to this services agreement.

SECTION 3. The City Manager or his designee is authorized to execute the Professional Services Agreement with Willdan Engineering, in an amount not-to-exceed $3,267,862.50 to provide Building and Safety Plan Check and Landscape Design Review Services to the City of Banning.

SECTION 4. The City Clerk shall certify to the adoption of this Resolution and shall cause a certified Resolution to be filed in the book of original resolutions.

PASSED, APPROVED AND ADOPTED this 27th day of February 2024.

Alberto Sanchez, Mayor
City of Banning
ATTEST:

Caroline Patton, Administrative City Clerk
City of Banning

APPROVED AS TO FORM AND
LEGAL CONTENT:

Serita R. Young, City Attorney
Richards, Watson & Gershon
752
Resolution 2024-37

Page 3 of 3 ends

CERTIFICATION:

I, Caroline Patton, Administrative City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2024-37, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 27th day of February, 2024 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Caroline Patton, Administrative City Clerk
City of Banning, California
753
AMENDMENT NO. 3 TO A PROFESSIONAL SERVICES AGREEMENT (C00608) WITH WILLDAN ENGINEERING, INC. FOR (A) BUILDING AND SAFETY PLAN

CHECK AND PLANS EXAMINATION SERVICES (B) LANDSCAPE DESIGN PLAN

CHECK AND PLANS EXAMINATION SERVICES, AND (C) BUILDING PERMIT AND

LANDSCAPE INSTALLATION INSPECTION SERVICES
THIS AMENDMENT NO. 3 TO THE AGREEMENT FOR PROFESSIONAL
SERVICES (“Amendment No.3”) by and between the CITY OF BANNING (“City”) and Willdan Engineering, a California corporation (“Consultant”) is effective as of this day:
__________________.

RECITALS
A. City and Consultant entered into that certain Agreement for Professional Services dated September 24, 2019 (“Agreement”) whereby Consultant agreed to provide Building and Safety Plan Check, Building Inspection, and Landscape Design Review Services following Request for Proposals or Invitation for Bids No. 19-045.

B. On September 24, 2019, the City of Banning, on Resolution 2019-122, approved an agreement with Willdan Engineering, Inc., for a total amount of $1,470,960.On January 25, 2022, the City Council adopted Resolution 2022-09, amending the Agreement to increase the Contract Sum by $714,902.50 for a total Contract Sum of $2,185,862.50 (“Amendment No. 1”).

D. On January 24, 2023, the City Council adopted Resolution 2023-20, which was intended to implement staff’s recommendation to amend the Agreement to extend the term of the Agreement through October 31, 2023, and increase the not-to-exceed total compensation by $612,000 to $2,797,862.50 (Amendment No. 2). Resolution 2023-20, however, incorrectly stated the amended not-to-exceed total compensation as $2,185,862.50, and did not address staff’s recommendation to extend the Agreement term to October 31, 2023.

E. On February 28, 2023, the City Council adopted Resolution 2023-44, re-approved Amendment No. 2 approving an increase in the not-to-exceed total compensation by $612,000 to $2,797,862.50, and an extension of the term of the Agreement through June 30, 2024. It was staff’s intent that the City Council’s adoption of Resolution 2023-44 would update and replace the Council’s actions taken via Resolution 2023-20, in their entirety.

F. City and Consultant now desire to amend the Agreement (Amendment No. 3) in accordance with Resolution No. 2024-37 to include additional compensation not-to-exceed Contract Sum by $470,000 to $3,267,862.50, and to extend the term of the Agreement through September 23, 2024.

TERMS

1. Contract Changes. The Agreement is amended as provided herein. (a) Section 2.1 – “Contract Sum” of the Agreement is amended to provide that Consultant’s total compensation shall not exceed Four Hundred Seventy Thousand Dollars ($470,000.00), for a new contract total amount not to exceed Three Million 754
Two Hundred Sixty-Seven Thousand Eight Hundred Sixty-Two Dollars and Fifty Cents ($3,267,862.50).
(b) Section 3.4 – “Term” of the Agreement is hereby amended to extend the Agreement term to September 23, 2024, unless amended by provisions referenced herein.

2. Continuing Effect of Agreement. Except as amended by this Amendment No. 3, all provisions of the Agreement shall remain unchanged and in full force and effect. From and after the date of this Amendment No.3, whenever the term “Agreement” appears in the Agreement, it shall mean the Agreement and Amendment Nos. 1, and 2, as amended by this Amendment No.3 to the Professional Services Agreement.

3. Affirmation of Agreement; Warranty Re Absence of Defaults. City and Consultant each ratify and reaffirm each and every one of the respective rights and obligations arising under the Agreement. Each party represents and warrants to the other that there have been no written or oral modifications to the Agreement other than as provided herein. Each party represents and warrants to the other that the Agreement is currently an effective, valid and binding obligation.

Consultant represents and warrants to City that, as of the date of this Amendment No.3, City is not in default of any material term of the Agreement and that there have been no events that, with the passing of time or the giving of notice, or both, would constitute a material default under the Agreement.

City represents and warrants to Consultant that as of the date of this Amendment No.3, Consultant is not in default of any material term of the Agreement and that there have been no events that, with the passing of time or the giving of notice, or both, would constitute a material default under the Agreement.

5. Authority. The persons executing this Amendment No. 3 on behalf of the parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No. 3 on behalf of said party, (iii) by so executing this Amendment No. 3, such party is formally bound to the provisions of this Agreement, and (iv) the entering into this Amendment No. 3 does not violate any provision of any other Agreement to which said party is bound.

6. Electronic Signatures. Each Party may adopt as its signature an electronic identification consisting of a symbol or code that is affixed to or contained in each document transmitted by such Party (“electronic signature”). The Parties hereto herby agree that electronic signatures are acceptable, shall have the same force and effect under the law as original wet signatures, and shall be sufficient to verify that the Parties have executed this Agreement and such other documents transmitted by the Parties.
755
[SIGNATURES ON FOLLOWING PAGE]
756
IN WITNESS WHEREOF the Parties hereto have executed this Amendment No.3 to the Agreement the day and year first hereinabove written.

CITY OF BANNING CONSULTANT
Douglas Schulze, Date
City Manager
NAME: Patrick Johnson Date
TITLE: Director – Building & Safety
NAME: Date
TITLE:

ATTEST:
95-2295858
Tax ID No.

Caroline Patton Date
Administrative City Clerk
Address:
2401 E. Katella Ave., Suite 300
Anaheim, CA 92806
APPROVED AS TO FORM:

Richards, Watson & Gershon
City Council Approval:_____________
Serita R. Young Date
City Attorney
NOTE: PROOF OF AUTHORITY TO BIND CONTRACTING PARTY REQUIRED.

APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE BYLAWS,

ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONSULTANT’S BUSINESS ENTITY.
757

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Laurie Sampson, Assistant City Manager
MEETING DATE: February 27, 2024
SUBJECT: Consideration of Resolution 2024-39, Approving an Amendment to the Williams Scotsman Purchase Order (32201) in the Amount of $20,000 RECOMMENDATION:

Staff recommends the adoption of Resolution 2024-39, approving an amendment to the Williams Scotsman Purchase Order (32201) in the amount of $20,000 for a total purchase order of $47,500.00.

BACKGROUND:

Williams Scotsman provides the office trailers at Opportunity Village. As of July 1, 2023, the lease agreements were converted month to month. The current purchase order is a blanket purchase order.

Funds are not encumbered at the issuance of the purchase order but as they are expended. This request simply requests an increase to the limit to be spent on the units.

JUSTIFICATION:

The staff is in the process of purchasing office trailer(s) to replace the leased units. The requested increase of funds is intended to pay for the current leased units until a permanent unit can be sourced and delivered.

FISCAL IMPACT:

The fiscal impact of this action is an increase to a blanket purchase order in the amount of $20,000 to be paid from account 810-9700-490.90-59.

ALTERNATIVES:

Without this increase to the current blanket purchase order the City will run out of funds to pay for the units already on site. The provider can then remove the units and leave staff at Opportunity Village without office space until a permanent unit can be sourced and delivered.

ATTACHMENTS:

1. Resolution 2024-39, William Scotsman.docx
758
Resolution 2024-39

Page 1 of 3 ends

RESOLUTION 2024-39

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA, APPROVING AN AMENDMENT TO THE WILLIAMS SCOTSMAN PURCHASE ORDER (32201) TO INCREASE THE BLANKET PURCHASE ORDER AMOUNT BY $20,000 FOR A TOTAL OF $47,500
WHEREAS, Williams Scotsman provides the office trailers at Opportunity Village and, as of July 1, 2023, the lease agreements with Williams Scotsman were converted month to month terms; and
WHEREAS, the current Purchase Order (32201) for the lease of the office trailers is a blanket purchase order, and funds are only encumbered as they are expended; and WHEREAS, City staff is in the process of purchasing office trailer(s) to replace the units leased from Williams Scotsman and are seeking the City Council’s approval of an increase in the total amount of Purchase Order 32201, which funds are intended to pay for the current leased units until a permanent unit or units can be sourced and delivered; and WHEREAS, the fiscal impact of the Council’s adoption of this Resolution is an increase to Purchase Order 32201 by $20,000 to be paid from Account 810-9700-490.90-59.

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

SECTION 1. The City Council approves an amendment to Purchase Order 32201 with Williams Scotsman to increase the blanket purchase order amount by $20,000 for a total of $47,500.

SECTION 2. The City Council authorizes the City Manager, or designee, to make necessary budget adjustments, appropriations, and transfers related to this resolution.

SECTION 3. The City Clerk shall certify the adoption of this resolution and shall cause a certified resolution to be filed in the book of original resolutions.

PASSED, APPROVED AND ADOPTED this 27th day of February 2024.

Alberto Sanchez, Mayor
City of Banning
ATTEST:

Caroline Patton, Administrative City Clerk
City of Banning
759
Resolution 2024-39

Page 2 of 3 ends

APPROVED AS TO FORM AND
LEGAL CONTENT:

Serita R. Young, City Attorney
Richards, Watson & Gershon
760
Resolution 2024-39

Page 3 of 3 ends

CERTIFICATION:

I, Caroline Patton, Administrative City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2024-39, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 27th day of February 2024 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Caroline Patton, Administrative City Clerk
City of Banning, California
761

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Doug Schulze, City Manager
MEETING DATE: February 27, 2024
SUBJECT: Consideration of Resolution 2024-41, Authorizing the City Manager to Enter into a Lease Agreement with Haskell Real Estate for Homeless Transitional Housing
RECOMMENDATION:

Adopt Resolution 2024-41.

BACKGROUND:

The Encampment Reduction Funding Grant received by the City includes funding for housing assistance to homeless individuals. One of the biggest obstacles to housing homeless individuals in Banning is the lack of low cost rental property. In an effort to move unhoused individuals from Opportunity Village into housing, the City must have housing available. Haskell Real Estate has rental properties available and they are working with property owners willing to lease the property to the City of Banning.

The rental properties will serve as transitional housing, which is intended to providing housing to individuals who have income but income is not sufficient to pay deposits and fully cover monthly rent.

Over time, these individuals will establish work history and move into independent housing. The lease agreements between the City of Banning and Haskell clients are important because as tenants move in and out of the program new lease agreements will not be required for new tenants because the City is the lessee. However, the City will have lease agreements with each individual tenant placed into rental housing.

The City Council adopted Resolution 2024-11, authorizing lease agreements for three rental properties.

However, two of the property owners decided they did not want to move forward with the lease agreements so, Resolution 2024-42 authorizes a lease agreement for a different unit to replace one of the two previously approved, but no longer available. Adoption of Resolution 2024-42 will not increase the total number of lease agreements, but simply replaces one of the three units previously approved.

The property to be leased is:
312 N 4th Street, Unit C
The City is entering into lease agreements that will allow subleasing of the units to unhoused individuals.

City staff and wrap around service providers will be involved in the process of selecting individuals who will be placed in the rental units. These individuals will be evaluated to determine likelihood of successful independent living.

JUSTIFICATION:
762
Transitional housing is a missing piece of the City's homeless services and funding is available through awarded grant funds. The City is required to obligate the Encampment Reduction Fund grant monies by June 30, 2024. Council previously adopted Resolution 2024-11, authorizing three (3) lease agreements with Haskell clients. Unfortunately, the owner of two of the units backed out of the lease agreement. This Resolution authorizes a lease agreement to replace one of the approved units that was not leased.

FISCAL IMPACT:

Rent costs will be approximately $17,000 annually and will be fully funded through grant proceeds.

ALTERNATIVES:

1. Adopt Resolution 2024-41.

2. Do not authorize City Manager to enter into lease agreements.

ATTACHMENTS:

1. Resolution 2024-41, Lease Agreement.docx

2. 312 N 4th Lease Agreement_0001.pdf

3. Resolution_2024-11__Lease_Agreements.pdf
763
Resolution 2024-41

Page 1 of 4 ends

RESOLUTION 2024-41

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA,

APPROVING A LEASE AGREEMENTS FOR HOMELESS TRANSITIONAL HOUSING WHEREAS, on February 12, 2019, the City of Banning was awarded $980,000 of Encampment Reduction Program funds; and
WHEREAS, the grant funds included funding for transitional housing for homeless individuals; and
WHEREAS, a rental property, owned by Luminous Investments, is available through Haskell Real Estate.

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

SECTION 1. The City Council approves a lease agreement for property located at 312 N 4th Street, Unit C in Banning and authorizing the City Manager to sign the agreement on behalf of the City Council
SECTION 2. The City Council authorizes the City Manager, or designee, to make necessary budget adjustments, appropriations, and transfers related to this resolution.

SECTION 3. The City Clerk shall certify to the adoption of this resolution and shall cause a certified resolution to be filed in the book of original resolutions.

PASSED, APPROVED AND ADOPTED this 27th day of February 2024.

Alberto Sanchez, Mayor
City of Banning
ATTEST:

Caroline Patton, Administrative City Clerk
City of Banning
764
Resolution 2024-41

Page 2 of 4 ends

APPROVED AS TO FORM AND
LEGAL CONTENT:

Serita R. Young, City Attorney
Richards, Watson & Gershon
765
Resolution 2024-41

Page 3 of 4 ends

CERTIFICATION:

I, Caroline Patton, Deputy City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2024-41, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 27th day of February 2024 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Caroline Patton, Administrative City Clerk
City of Banning, California
766
Resolution 2024-41

Page 4 of 4 ends

EXHIBIT A
Lease Agreement
767
768
769
770
771
772
773
774
775
Resolution 2024-11

Page 1 of 3 ends

RESOLUTION 2024-11

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA,

APPROVING THREE LEASE AGREEMENTS FOR HOMELESS TRANSITIONAL HOUSING WHEREAS, on February 12, 2019, the City of Banning was awarded $980,000 of Encampment Reduction Program funds; and
WHEREAS, the grant funds include funding for transitional housing for homeless individuals; and
WHEREAS, three rental properties are available through Haskell Real Estate.

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

SECTION 1. The City Council approves lease agreements for properties located at 90 N 22nd Street, 146 N 4th Street and 94C N 22nd Street in Banning and authorize the City Manager to sign the agreements on behalf of the City Council.

SECTION 2. The City Council authorizes the City Manager, or designee, to make necessary budget adjustments, appropriations, and transfers related to this resolution.

SECTION 3. The City Clerk shall certify to the adoption of this resolution and shall cause a certified resolution to be filed in the book of original resolutions.

PASSED, APPROVED AND ADOPTED this 9th day of January 2024.

Alberto Sanchez, Mayor
City of Banning
ATTEST:

Caroline Patton, Administrative City Clerk
City of Banning

APPROVED AS TO FORM AND
LEGAL CONTENT:

Serita R. Young, City Attorney
Richards, Watson & Gershon
776
Resolution 2024-11

Page 2 of 3 ends

CERTIFICATION:

I, Caroline Patton, Deputy City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2024-11, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 9th day of January 2024 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Caroline Patton, Administrative City Clerk
City of Banning, California
777
Resolution 2024-11

Page 3 of 3 ends

EXHIBIT A
Lease Agreements
778

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Doug Schulze, City Manager
MEETING DATE: February 27, 2024
SUBJECT: Second Reading and Adoption of Ordinance 1597, Establishing Regulations Governing the Possession of Catalytic Converters, and Amending Title 9 of the Banning Municipal Code
RECOMMENDATION:

A motion to adopt Ordinance 1597, establishing regulations governing the possession of catalytic converters, and amending Title 9 of the Banning Municipal Code.

BACKGROUND:

Ordinance 1597 was introduced at the February 13, 2024 meeting of the City Council. The City Council adopted a motion waiving full reading of the ordinance and introducing the ordinance, as read by title only. No changes were made to Ordinance 1597, as introduced.

Theft of catalytic converters has been an increasing problem in Riverside County as well as in Banning in recent years. The external location of catalytic converters and the use of valuable precious metals, including rhodium, palladium and platinum, in catalytic converters makes these devices a target for thieves. Individuals in possession of stolen catalytic converters often recycle them for substantial profit, while victims of these thefts suffer the consequences of paying thousands of dollars in repairs, the inconvenience of repairing their vehicles, and feeling unsafe in the community.

The purpose and intent of the proposed Ordinance is to curb the theft of catalytic converters in Banning and to provide the City with reasonable means to address the impact on the community and the victims posed by increasing catalytic converter thefts. Similar ordinances have been adopted by Riverside County and the City of Beaumont.

JUSTIFICATION:

The inability to identify the victims of catalytic converter thefts can inhibit the ability to successfully prosecute individuals for thefts. The proposed Ordinance is necessary to provide the City of Banning a means to protect the public, deter this criminal activity, and promote a more productive use of City resources.

FISCAL IMPACT:

City staff and legal counsel time involved with preparation of ordinance and staff report is minimal.

Adoption of this Ordinance will create efficiencies for law enforcement personnel.

ALTERNATIVES:

1. Adopt, as read by title only, Ordinance 1597, as written.

2. Adopt, as read by title only, Ordinance 1597, with minor clerical modifications. 779

3. Do not adopt Ordinance 1597.

ATTACHMENTS:

1. Ordinance 1597, Catalytic Converters.pdf
780
Ordinance 1597

Page 1 of 5 ends

ORDINANCE 1597

AN ORDINANCE OF THE CITY OF BANNING, CALIFORNIA,

ESTABLISHING REGULATIONS GOVERNING THE POSSESSION OF
CATALYTIC CONVERTERS, AND AMENDING TITLE 9 OF THE

BANNING MUNICIPAL CODE
The City Council of the City of Banning does hereby ordain as follows:

SECTION 1. Findings and Purpose.

A. The City Council finds that theft of catalytic converters has been an increasing problem in Banning in recent years. In the City, dozens of reports of catalytic converter thefts occur annually impacting many victims. The external location of catalytic converters and the use of valuable precious metals, including rhodium, palladium and platinum, in catalytic converters makes these devices a target for thieves. Individuals in possession of stolen catalytic converters often recycle them for substantial profit, while victims of these thefts suffer the consequences of paying thousands of dollars in repairs, the inconvenience of repairing their vehicles, and feeling unsafe in the community.

B. Finding the victim of these crimes is extremely difficult due to the manner in which the catalytic converter thefts occur and lack of identifying markers on catalytic converters to link a stolen catalytic converter to the victim. The inability to identify the victims of catalytic converter thefts can inhibit the ability to successfully prosecute individuals for the thefts. This ordinance is necessary to provide the City a means to protect the public, deter this criminal activity, and promote a more productive use of City of Banning resources.

C. In accordance with the California Constitution, Article XI, Section 7, a city may make and enforce within its limits all local, police, sanitary and other ordinances and regulations not in conflict with general laws.

D. The purpose and intent of this Ordinance is to curb the theft of catalytic converters throughout the City and to provide the City with reasonable means to address the impact on the community and the victims posed by increasing catalytic converter thefts.

SECTION 2. A new Chapter 9.28 is hereby added to Title 9 (Public Peace, Morals, and Welfare) of the Banning Municipal Code, to read, as follows:
“Chapter 9.28 - UNLAWFUL POSSESSION OF CATALYTIC CONVERTERS Sections:

9.28.010 - Definitions.

9.28.020 - Unlawful possession of a catalytic converter.

9.28.030 - Violations and enforcement.
781
Ordinance 1597

Page 2 of 5 ends

9.28.010 - Definitions.

As used in this chapter, the following terms shall have the following meanings:
“Catalytic converter” means any exhaust emission control device, or portion thereof, that converts toxic gases and pollutants in exhaust gas from an internal combustion engine into less-toxic pollutants, and shall also mean ‘catalytic converter’ as that term is used in California Vehicle Code Section 10852.5.
“Documentation or other proof” means written document(s) clearly identifying the vehicle from which the catalytic converter originated based on the totality of the circumstances, which includes, but is not limited to, the following types of documents:

1. Signed bill of sale from the original owner authorizing removal of the catalytic converter, including the vehicle owner’s name, address, and telephone number.

2. Verifiable documentation from an auto-body shop proving the owner relinquished the catalytic converter to the auto-body shop or similar business.

3. Verifiable electronic communication from the previous owner to the possessor relinquishing ownership of the catalytic converter.

4. Photographs of the vehicle from which the catalytic converter originated clearly showing the vehicle’s license plate number and vehicle identification number.

5. Vehicle registration associated with the catalytic converter together with photographs showing an etched associated license plate number or vehicle identification number or driver’s license number of registered vehicle owner claimed to have conveyed the catalytic converter to the person now in possession.
“Lawful possession” means (1) being the lawful owner of the catalytic converter or (2) being in possession of the catalytic converter with the lawful owner’s verifiable written consent. It is not required to prove the catalytic converter was stolen to establish the possession is not a lawful possession.
“Enforcement officer” means a sworn officer of the police department, sworn federal task force officer, building official, code enforcement official, city attorney, or district attorney, and their designees.

9.28.020 - Unlawful possession of a catalytic converter.

A. Barring any provision of state law permitting the same, it is unlawful for any person to possess any catalytic converter which is not properly installed in a 782
Ordinance 1597

Page 3 of 5 ends

vehicle unless the person has a documentation or other proof verifying they are in lawful possession of the catalytic converter.

B. This section does not apply to a detached catalytic converter, otherwise lawfully possessed, that has been verifiably tested, certified, and labeled or otherwise approved for reuse, and is being bought or sold for purposes of reuse in accordance with (i) the federal Clean Air Act (42 U.S.C. § 7401 et seq.) and regulations under the Clean Air Act; or (ii) or applicable regulations of the California Air Resources Board, as they may be amended from time to time.

C. It is unlawful for any person to knowingly falsify or cause to be falsified any information in any documentation or other proof intended to show valid proof of ownership or possession of a catalytic converter.

D. Evidence of unlawful possession may be presumed by the number of detached catalytic converters within one’s possession and/or by the condition of the dismantled catalytic converter(s), including, but not limited to, the manner a catalytic converter has been detached or cut from a vehicle.

9.28.030 - Violations and enforcement.

A. Misdemeanor Penalty. Any person who violates any provision of this chapter is guilty of a misdemeanor, and upon conviction shall be punished by a fine not exceeding one thousand dollars, or by imprisonment in the county jail for a term not exceeding one year, or by both. Upon any second or subsequent conviction of the offense, the person shall be punished by the penalties of a fine of one thousand dollars and by imprisonment in the county jail for one year.

B. State Penalties Apply. Nothing in this chapter shall be intended to limit any of the penalties provided for under California law, including, but not limited to, the Penal Code, with regard to the sale, use, possession, delivery, and/or receipt of catalytic converters.

C. Administrative Civil Penalty. In addition to any other penalties provided by law, whenever an enforcement officer determines a violation of this chapter has occurred, the enforcement officer shall have the authority to issue an administrative citation with an administrative civil penalty to any person responsible for the violation, in accordance with and subject to the provisions of chapter 1.20 of this code.”
SECTION 3. Non-exclusive Remedies and Penalties. All remedies and penalties for violations of the prohibitions in this Ordinance shall be cumulative and not exclusive.

Enforcement by use of any administrative, criminal or civil action, citation or administrative proceeding or abatement remedy does not preclude the use of additional citations or other remedies as authorized by other ordinance or law. Enforcement remedies may be employed concurrently or consecutively. Conviction and punishment of or enforcement against any person hereunder shall not relieve such person from the responsibility of 783
Ordinance 1597

Page 4 of 5 ends

correcting, removing, or abating a violation, nor prevent the enforced correction, removal, or abatement thereof.

SECTION 4. Severability. The provisions of this Ordinance are separate and severable.

If any provision of this Ordinance is for any reason held by a court to be unconstitutional or invalid, the City Council declares that it would have passed this Ordinance irrespective of the invalidity of the provision held to be unconstitutional or invalid. Such unconstitutionality or invalidity shall therefore not affect the remaining provisions of this Ordinance, or the validity of its application to other persons or circumstances.

SECTION 5: The City Clerk is directed to certify the passage and adoption of this Ordinance; cause it to be entered into the City of Banning’s book of original ordinances; make a note of the passage and adoption in the records of this meeting; and, within fifteen (15) days after the passage and adoption of this Ordinance, cause it to be published or posted in accordance with California law.

SECTION 6: This Ordinance will become effective on the thirty-first (31st) day following its passage and adoption.

PASSED, APPROVED AND ADOPTED this 27th day of February 2024.

Alberto Sanchez, Mayor
City of Banning
ATTEST:

Caroline Patton, Administrative City Clerk
City of Banning

APPROVED AS TO FORM AND
LEGAL CONTENT:

Serita Young, City Attorney
Richards, Watson & Gershon
784
Ordinance 1597

Page 5 of 5 ends

CERTIFICATION:

I, Caroline Patton, Administrative City Clerk of the City of Banning, California, do hereby certify that Ordinance 1597 was duly introduced at a regular meeting of the City Council of the City of Banning, held on the 13th day of February 2024, and was duly adopted at a regular meeting of said City Council on the 27th day of February 2024, by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Caroline Patton, Administrative City Clerk
City of Banning, California
785

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Adam Rush, Community Development Director
Adam Rush, Community Development Director
MEETING DATE: February 27, 2024
SUBJECT: Second Reading and Adoption of Ordinance 1598, Adding a New Chapter

1.32 to Title 1 of the Banning Municipal Code and Amending Other Sections of the Banning Municipal Code to Create and Implement a Comprehensive Cost Recovery Program for All Nuisance Abatement Actions.

RECOMMENDATION:

A Motion to Conduct the Second Reading and Adopt Ordinance 1598, Adding a New Chapter 1.32 to Title 1 of the Banning Municipal Code and Amending Other Sections of the Banning Municipal Code to Create and Implement a Comprehensive Cost Recovery Program for All Nuisance Abatement Actions, and Making a Determination of Exemption under CEQA pursuant to CEQA Guidelines Sections 15060(c) (2)-(3) and 15061(b)(3).

BACKGROUND:

The City Council conducted first reading of and introduced Ordinance 1598, as read by title only and without modifications, during the February 13, 2024 regular City Council meeting.

JUSTIFICATION:

California Government Code provisions allow the City Council to impose fines, penalties, and forfeitures for violations of ordinances. The City may fix the penalty by fine or imprisonment, or both; however, a fine may not exceed $1,000. In addition, Sections 38771, 38771, 38773.1, and 38773.5 allow the City to declare, by ordinance, what constitutes a public nuisance; meaning a use or property presents a clear danger to the safety or welfare of the public. Also, by ordinance, the City may establish a procedure to collect abatement and related administrative costs by nuisance abatement lien. Subsequently, the City can record a special assessment against the subject parcel for said cost.

FISCAL IMPACT:

City staff and legal counsel time involved with preparation of ordinance and staff report is minimal.

Adoption of this Ordinance will provide for greater cost recovery from code enforcement actions.

ALTERNATIVES:

1. Adopt Ordinance 1598.

2. Adopt Ordinance 1598, with minor clerical modifications.

3. Do not adopt Ordinance 1598.

ATTACHMENTS:

1. Ordinance 1598, Nuisance Abatement.docx
786
787
Ordinance 1598

Page 1 of 13 ends

ORDINANCE 1598

AN ORDINANCE OF THE CITY OF BANNING, CALIFORNIA,
ADDING A NEW CHAPTER 1.32 TO TITLE 1 OF THE

BANNING MUNICIPAL CODE AND AMENDING OTHER

SECTIONS OF THE BANNING MUNICIPAL CODE TO

CREATE AND IMPLEMENT A COMPREHENSIVE COST

RECOVERY PROGRAM FOR ALL NUISANCE ABATEMENT

ACTIONS
The City Council of the City of Banning does hereby ordain as follows:

SECTION 1. Findings and Purpose.

A. Article XI, section 7, of the California Constitution authorizes the City of Banning (“City”) to adopt and enforce local police, sanitary, and other ordinances and regulations that are not in conflict with the general laws.

B. Government Code Sections 36901, 38771, 38773.1, and 38773.5 authorize the City to enact ordinances establishing what constitutes public nuisances, procedures for abating nuisance conditions, procedures for recovery of all costs and attorneys’ fees related to abatement of nuisances, and procedures for collection of civil penalties.

C. Violations of the Banning Municipal Code (“BMC”) threaten the health, safety, and welfare of the public, burden scarce City resources, and diminish the quality of life in the City and, therefore, constitute public nuisances.

D. The City recognizes that responding to and abating public nuisances and other violations of law, including the BMC, is costly, time-consuming, and burdensome.

E. The City finds that effective code enforcement requires comprehensive cost recovery tools and procedures.

F. Recovery of costs from parties responsible for violating applicable laws and maintaining public nuisances will enable the City to replenish resources needed to meet the increasing demands on code enforcement and public services.

SECTION 2. The above recitals are true and correct and are incorporated herein 788
Ordinance 1598

Page 2 of 13 ends

SECTION 3. California Environmental Quality Act Findings. The City Council finds that this Ordinance is not subject to the California Environmental Quality Act (“CEQA”) pursuant to Sections 15060(c)(2) of the CEQA Guidelines (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) because it has no potential for resulting in physical change to the environment, directly or indirectly. Further, if the activity is deemed a project, the City Council finds that this Ordinance is exempt pursuant to CEQA Guidelines Section 15061(b)(3).

SECTION 4. Section 1.20.150 (“Procedures”) of Chapter 1.20 (“Administrative Citations”) of Title 1 (“General Provisions”) of the Banning Municipal Code is hereby amended in its entirety to read as follows:
“1.20.150 - Procedures.

The city manager is hereby authorized to promulgate such policies and procedures as are necessary for the successful implementation of this divisions. The procedures provided in this chapter are in addition to all other remedies and cost recovery options available to the city by law or in equity, including, but not limited to, those provided in Chapter 1.32 of this code.” SECTION 5. Section 1.28.070 (“Violations Deemed Public Nuisances”) of Chapter 1.28 (“General Penalty”) of Title 1 (“General Provisions”) of the Banning Municipal Code is hereby amended in its entirety to read as follows:
“1.28.070 - Violations deemed public nuisances.

In addition to other penalties provided by law, any condition caused or permitted to exist in violation of any provision of this Code or any other ordinance of the city, or any such threatened violation, shall be deemed a public nuisance and may be abated as such by the city, and each day that such condition continues shall be regarded as a new and separate offense. The procedures provided in this chapter are in addition to all other remedies and cost recovery options available to the city by law or in equity, including, but not limited to, those provided in Chapter 1.32 of this code.” SECTION 6. A new Chapter 1.32 is hereby added to Title 1 (“General Provisions”) of the Banning Municipal Code, and is to read in its entirety as follows:
“Chapter 1.32 COST RECOVERY
Sections:

1.32.010 - Cost recovery program.

1.32.020- Definitions.

1.32.030 - Nuisance abatement cost recovery.

1.32.040 - Attorneys’ fees and costs.

1.32.050 - Collection remedies.

1.32.060 - Administrative procedure for recovering abatement costs.

1.32.070 - Abatement costs hearing.

1.32.080 - Service.
789
Ordinance 1598

Page 3 of 13 ends

1.32.090 - Nuisance abatement lien.

1.32.100 - Special assessment.

1.32.110 - Notice of pendency of nuisance abatement action.

1.32.120 - Collection by court judgment.

1.32.130 - Collection costs.

1.32.140 - Interest.

1.32.010 - Cost recovery program.

This chapter is intended to create a comprehensive cost recovery program as authorized by law for the abatement of public nuisances and the enforcement of this code. The provisions of this chapter shall supersede and replace any inconsistent provisions contained within this code.

1.32.020 - Definitions.

For purposes of this chapter, the following definitions shall apply, unless the context clearly indicates otherwise:
“Abatement costs” means and includes all costs, expenses, fines, and fees, such as administrative expenses, administrative fines, civil fines, penalties, staff time, variable costs, fixed costs, inspection costs, investigation costs, enforcement costs, abatement costs, litigation fees, litigation costs, hearing costs, attorneys’ fees and costs, and all other costs and expenses related to, arising out of, or incurred by the city relating to any enforcement action pursuant to this code to the fullest extent permitted by law.
“City manager’s designee” means and includes the city manager or the person designated by the city manager to fulfill the responsibilities required by this chapter. “Collection costs” means any costs, expenses, or fees, including attorneys’ fees, that are incurred by the city to enforce or collect upon any unpaid abatement costs or any other amounts owed to the city or the public pursuant to this code.
“Decision” means the decision of the hearing officer at the conclusion of an administrative hearing held in accordance with this chapter.
“Enforcement Official” means and includes any city employee or agent of the city authorized by this code, the city council, or the city manager to enforce any provision of this code. “Hearing costs” means and includes all costs, expenses, and fees, including gearing officer fees and attorneys’ fees, related to any administrative hearing held pursuant to this chapter. “Interested party” or “interested parties” means and includes each person or entity with a legal interest in any nuisance property that is the subject of a nuisance abatement action. “Invoice” means the invoice identifying all abatement costs that the city is entitled to recover related to a nuisance abatement action.
790
Ordinance 1598

Page 4 of 13 ends

“Nuisance” and “public nuisance” means and includes any violations of this code, any adopted code, any state or federal law, or any other unlawful or nuisance condition. “Nuisance abatement action” means any code enforcement activity or nuisance abatement activity taken by the city, including, but not limited to, any legal action, administrative action, or civil action intended to cause or compel compliance with, or to enforce any, provisions of this code, any adopted codes, or any applicable state or federal laws. For purposes of the city’s cost recovery rights, a “nuisance abatement action” shall not include any criminal action or proceeding. “Nuisance property” means the parcel of real property containing nuisance conditions that is the subject of a nuisance abatement action.
“Responsible party” or “responsible parties” means and includes all parties responsible for causing, allowing, or maintaining a public nuisance, including, but not limited to, the owners, trustees, managers, custodians, tenants, lessees, licenses, beneficiaries, and occupants of the nuisance property upon which a public nuisance was caused, allowed, or maintained. “Requesting party” means and includes any responsible party or interested party to whom an invoice has been issued that properly requests a hearing on the amount of abatement costs as required by this chapter.

1.32.030 - Nuisance abatement cost recovery.

The city is entitled, and is hereby authorized, to recover all abatement costs related to, arising out of, or incurred by the city as a result of any nuisance abatement action to the fullest extent permitted by law. Each responsible party shall be jointly and severally liable to the city for all the city’s abatement costs.

1.32.040 - Attorneys’ fees and costs.

If the city elects at the initiation of any nuisance abatement action to seek attorneys’ fees, the prevailing party in such nuisance abatement action shall be entitled to recover its reasonable attorneys’ fees, not to exceed the amount of reasonable attorneys’ fees incurred by the city in the nuisance abatement action. In the event the city prevails, the attorneys’ fees awarded to the city shall be included as abatement costs. Non-prevailing parties shall be jointly and severally liable for all attorneys’ fees and costs owed to the prevailing party. The city shall be deemed the prevailing party in a nuisance abatement action if a nuisance condition is proven to have existed on a nuisance property when the city initiated its nuisance abatement action even if the nuisance condition is cured prior to the conclusion of the nuisance abatement action.

1.32.050 - Collection remedies.

In addition to any other remedy set forth in this code or provided by law, the city is authorized to initiate any administrative or civil action to recover all abatement costs, and to pursue recovery of all abatement costs in any nuisance abatement action to the fullest extent permitted by law. Each of the responsible parties shall be jointly and severally liable for all abatement costs. Unpaid abatement costs may be recovered as a lien and special assessment against the nuisance property, as provided in this chapter.
791
Ordinance 1598

Page 5 of 13 ends

1.32.060 - Administrative procedure for recovering abatement costs.

A. The administrative cost recovery procedures provided in this chapter are in addition to all other remedies and cost recovery options available to the city by law or in equity.

B. In accordance with the provisions of this chapter, the city shall serve upon each responsible party and each interested party an invoice identifying all abatement costs related to a nuisance abatement action.

C. Any responsible party or interested party to whom an invoice has been issued shall have forty-five days from the date of the invoice to remit full payment of the invoice to the city. Payment shall be submitted to the city as specified in the invoice. The invoice shall further indicate that any unpaid amounts may become a lien and special assessment against the nuisance property.

D. Any responsible party or interested party to whom an invoice has been issued may, within fifteen days from the date of the invoice, request a hearing on the amount of abatement costs. A request for hearing must be made in writing to the city clerk and contain the following information:

1. The requesting party’s full legal name.

2. The requesting party’s mailing address for service.

3. The requesting party’s phone number.

4. The amount of abatement costs disputed.

5. The specific legal and factual grounds for all disputes of the invoice and abatement costs.

E. The failure of any responsible party or interested party to properly and timely request a hearing shall constitute a waiver by that party of that party’s right to contest the invoice and the abatement costs, a waiver by that party of that party’s right to a hearing, a failure by that party to exhaust that party’s administrative remedies, a bar to any further challenge to the invoice and abatement costs by that party, and an admission by that party to that party’s liability for the abatement costs as assessed.

1.32.070 - Abatement costs hearing.

A. If a hearing is timely and properly requested, the city manager’s designee shall appoint a neutral and impartial hearing officer to hold and conduct an administrative hearing in accordance with this chapter. A hearing officer shall be a neutral thirdparty contracted by the city and selected in a manner that avoids the potential for any bias against any parties to the hearing. The hearing officer’s compensation, if any, shall be paid by the city; however, the non-prevailing parties shall be jointly and severally liable to reimburse the city for the costs of the hearing and the hearing officer’s compensation. The hearing officer’s compensation shall not be directly or indirectly conditioned upon the outcome of the hearing. 792
Ordinance 1598

Page 6 of 13 ends

B. The city shall endeavor to set a hearing within sixty days from the date that a timely and proper hearing request is filed, or upon any other date mutually agreed upon by all parties to the hearing. The city shall provide notice of the date, time, and location of the hearing to all requesting parties at least ten days prior to the hearing. The hearing notice shall specify that failure by a requesting party to appear at the hearing will constitute a waiver of that party’s right to contest the invoice and the abatement costs, a waiver of that party’s right to a hearing, a failure by that party to exhaust their administrative remedies, a bar to any further challenge to the invoice and the abatement costs by that party, and an admission to that party’s liability for the abatement costs as assessed. Failure by the city to strictly comply with this provision shall not invalidate the invoice, the decision, the hearing notice, the administrative hearing, nor the city’s cost recovery rights. The hearing officer shall hold an informal administrative hearing. Formal rules of evidence shall not apply to this hearing; however, there shall be an opportunity to present testimony, documentary evidence, and other evidence to the hearing officer, and to cross-examine witnesses. Only the requesting parties and the city may participate in the hearing.

C. Administrative citations, administrative orders, administrative decisions, criminal convictions, civil judgments, and other similar proceedings, unless being actively and validly contested or appealed, shall be conclusive as establishing the adjudicated matters, such as the identity of the responsible parties and the existence of the nuisances, and those adjudicated matters shall not be subject to dispute at the abatement costs hearing.

D. The hearing officer may continue the hearing and request additional information as is reasonable and necessary.

E. Not later than thirty days after the date on which the administrative hearing concludes, the hearing officer shall issue a written decision approving, denying, or modifying the amount of the abatement costs that the city is entitled to recover. The hearing officer’s decision shall be final. The city shall serve notice of the hearing officer’s decision in accordance with this chapter. Failure by the hearing officer to strictly comply with this provision shall not invalidate the invoice nor the decision.

F. The hearing costs shall be advanced by the city; however, the non-prevailing parties shall be ultimately liable to reimburse the city for the hearing costs. If any cost recovery is upheld, even in part, the city shall be the prevailing party, and the requesting parties shall be liable to the city for the hearing costs in proportion to the amount of abatement costs upheld by the hearing officer. If cost recovery is entirely denied, the requesting parties shall be the prevailing parties and shall not be liable to reimburse the city for the hearing costs.

G. If the city is the prevailing party, the hearing officer’s decision shall order the responsible parties to pay the confirmed amount of abatement costs to the city within thirty days, and shall specify that any confirmed abatement costs not paid within thirty days shall become a lien and special assessment against the nuisance property.

1.32.080 - Service.
793
Ordinance 1598

Page 7 of 13 ends

A. Whenever a notice or document is required to be served by this chapter, unless specifically provided otherwise, it may be served by any one of the following methods:

1. Personal service on the party.

2. First-class or certified mail to the party at that party’s last known address.

3. By posting in a conspicuous place at the entrance to the nuisance property.

4. For any party registered with the Secretary of State, by certified mail to that party’s agent for service of process at the address registered with the Secretary of State, or as otherwise permitted by law. For any such party required to register with the Secretary of State that has not designated an agent for service of process with the Secretary of State, then a notice may be served on that party by certified mail to the Secretary of State.

5. By email when an email address is provided by that party.

6. In any other manner reasonably calculated to effectuate notice.

B. Service by posting shall be deemed effective at the time of posting. Service by mail shall be deemed effective upon deposit in the mail.

C. The failure of any party to receive any notice or document served in accordance with this chapter shall not affect the validity of the notice or document, the validity of its service, any proceeding conducted pursuant to that notice or document, nor the city’s cost recovery rights.

D. Unless otherwise provided in the invoice, all notices and documents required to be served on the city pursuant to this chapter must be personally served or mailed to the city clerk’s office. The notice or document must be received by the city within the time specified for service.

1.32.090 - Nuisance abatement lien.

B. Prior to recording a nuisance abatement lien, the city shall serve notice of the lien on all persons or entities with a recorded interest in the nuisance property. In addition, the owners of record shall be served with notice of the lien at the address provided in the last equalized assessment roll or the supplemental roll for the nuisance property, whichever is more current, in the same manner as a summons in a civil action in accordance with Code of Civil Procedure, part 2, title 5, chapter 4, article 3 (commencing with Section 415.10). If the owner of record cannot be found after 794
Ordinance 1598

Page 8 of 13 ends

diligent search, notice of the lien may be served by posting a copy of the notice in a conspicuous place upon the nuisance property for a period of ten days.

C. In the event that the lien is discharged, released, or satisfied, then notice of the discharge, release, or satisfaction shall be recorded on the nuisance property.

D. If the lien is not satisfied within ninety calendar days, the city may foreclose on the lien.

E. Notice of the lien shall be in the form substantially as follows:

NOTICE OF ABATEMENT LIEN
(Claim of City of Banning)
Pursuant to Banning Municipal Code (“BMC”) Chapter 1.32, on or about [MONTH] [DAY], [YEAR], the City of Banning (“City”) instituted a nuisance abatement action against the herein described parcel of real property intended to cause or compel compliance with the BMC. The City has incurred costs, expenses, and fees that have not been reimbursed by the responsible parties. Accordingly, the City is entitled to, and hereby claims, a lien against the nuisance property in the amount of $[AMOUNT], plus interest, until this amount has been paid in full and discharged of record. The record owner of the nuisance property is [RECORD OWNER NAME].

The nuisance property is the parcel of real property located in the City of Banning, County of Riverside, State of California at [STREET ADDRESS], Banning, California [ZIP], Assessor’s Parcel Number [APN]. The legal description for the nuisance property is:
[LEGAL DESCRIPTION]
Dated: [MONTH] [DAY], [YEAR]
City Manager’s
Designee City of
Banning, California

1.32.100 - Special assessment.

A. If the abatement costs are upheld, in full or in part, by the hearing officer, or if the time for requesting a hearing has elapsed and the invoice has not been paid in full within the time designated by this chapter, the city may levy a special assessment against the nuisance property for any unpaid amount. The special assessment may also be recorded against the nuisance property. The recording shall specify that the nuisance property may be sold by the county after three years by the tax collector for the unpaid delinquent assessments.
795
Ordinance 1598

Page 9 of 13 ends

B. Prior to recording, the city shall serve notice by certified mail of the special assessment on all persons or entities with a recorded interest in the nuisance property.

C. Notice of the special assessment shall be provided to the tax collector for the county to add to the next regular tax bill levied against the nuisance property, and it shall be collected at the same time and in the same manner as ordinary taxes are collected, subject to the same penalties and procedures under foreclosure and sale in case of delinquency as provided for other taxes.

D. After recordation, the special assessment may be foreclosed on as a lien in the manner and means provided by law.

E. The recorded special assessment shall be in the form substantially as follows:

NOTICE OF SPECIAL ASSESSMENT LIEN
(Claim of City of Banning)
Pursuant to Banning Municipal Code (“BMC”) Chapter 1.32, on or about [MONTH] [DAY], [YEAR], the City of Banning (“City”) instituted a nuisance abatement action against the herein described parcel of real property intended to cause or compel compliance with the BMC. The City has incurred costs, expenses, and fees that have not been reimbursed by the responsible parties. Accordingly, the City is entitled to, and hereby claims, a special assessment lien against the nuisance property in the amount of $[AMOUNT], plus interest, until this amount has been paid in full and discharged of record. The record owner of the nuisance property is [RECORD OWNER NAME]. The nuisance property is the parcel of real property located in the City of Banning, County of Riverside, State of California at [STREET ADDRESS], Banning, California [ZIP], Assessor’s Parcel Number [APN]. The legal description for the nuisance property is:
[LEGAL DESCRIPTION]
Dated: [MONTH] [DAY], [YEAR]
City Manager’s
Designee City of
Banning, California

1.32.110 - Notice of pendency of nuisance abatement action.

Upon initiating any nuisance abatement action, the enforcement official may record a notice of pendency of nuisance abatement action (“NoP”) with the county recorder’s office. The NoP shall identify the city’s enforcement and cost recovery rights. Any costs associated with recording, or withdrawing, a NoP shall constitute abatement costs subject to recovery pursuant to this chapter.

1.32.120 - Collection by court judgment.
796
Ordinance 1598

Page 10 of 13 ends

In addition to any other available remedies, the city may bring a civil action and obtain a judgment in the superior court for the purpose of collecting any unpaid abatement costs imposed pursuant to this chapter. That action may be filed as a small claims, limited civil, or unlimited civil case, depending on the amount at issue.

1.32.130 - Collection costs.

The City is entitled to recover all collection costs incurred by the city to enforce or collect upon any unpaid abatement costs or any other amounts owed to the city or the public pursuant to this code. The parties owing the amounts being collected shall be jointly and severally liable to the city for those collection costs. The liable parties shall be given notice and an opportunity to contest the collection costs in the same manner as for abatement costs pursuant to this chapter.

Collection costs are subject to enforcement and collection in the same manner and means as abatement costs.

1.32.140 - Interest.

The city is entitled to recover interest at the legal rate, currently ten percent per year, on any overdue abatement costs, collection costs, or other amounts owed to the city pursuant to this code.

The liable parties for the overdue amounts shall be jointly and severally liable for the interest as well. Interest is subject to enforcement and collection in the same manner and means as abatement costs.”
SECTION 7. Section 5.04.290 (“Remedies Cumulative”) of Chapter 5.04 (“Licenses Generally”) of Title 5 (“Business Licenses and Regulations”) of the Banning Municipal Code is hereby amended in its entirety to read as follows:
“5.04.290 Remedies cumulative.

The conviction and punishment of any person for engaging in any business without first obtaining a certificate to conduct such business shall not relieve such person from paying the business tax fee due and unpaid at the time of such conviction, nor shall the payment of any business tax fee prevent a criminal prosecution for the violation of any of the provisions of this chapter. All remedies prescribed hereunder shall be cumulative and the use of one or more remedies by the city shall not bar the use of any other remedy for the purpose of enforcing the provisions hereof. The procedures provided in this chapter are in addition to all other remedies and cost recovery options available to the city by law or in equity, including, but not limited to, those provided in Chapter 1.32 of this code.”
SECTION 8. A new Section 8.12.110 is hereby added to Chapter 8.12 (“Registration of Vacant Properties”) of Title 8 (“Health and Safety”) of the Banning Municipal Code to read as follows:
“8.12.110 Additional authority.

In addition to the enforcement remedies established in Chapters 1.20 and 1.28 of this code, the City of Banning code enforcement division shall have the authority to require the beneficiary/trustee/owner and/or owner of record of any property affected by this chapter to implement additional maintenance and/or security measures including, but not limited to, securing any/all door, window or other openings, installing additional security lighting, increasing on-site 797
Ordinance 1598

Page 11 of 13 ends

inspection frequency, employment of an on-site security guard, or other measures as may be reasonably required to arrest the decline of the property. The procedures provided in this chapter are in addition to all other remedies and cost recovery options available to the city by law or in equity, including, but not limited to, those provided in Chapter 1.32 of this code.” SECTION 9. Section 8.32.130 (“Declaration of Nuisance”) of Chapter 8.32 (“Graffiti Prevention and Removal”) of Title 8 (“Health and Safety”) of the Banning Municipal Code is hereby amended in its entirety to read as follows:
“8.32.130 - Declaration of nuisance.

The existence of graffiti within the city limits is a public nuisance and may be abated in accordance with the procedures set forth in chapter 8.48. The cost for the abatement of graffiti may be recovered in accordance with the cost recovery provisions also set forth in chapter 8.48.

The procedures provided in this chapter are in addition to all other remedies and cost recovery options available to the city by law or in equity, including, but not limited to, those provided in Chapter 1.32 of this code.”
SECTION 10. Section 8.48.550 (“Nuisances—General”) of Article IV (“Cost Recovery”) of Chapter

8.48 (“Nuisances”) of Title 8 (“Health and Safety”) of the Banning Municipal Code is hereby amended in its entirety to read as follows:
“8.48.550 - Nuisances—General.

In addition to other penalties provided by law, any condition caused or permitted to exist in violation of any provision of this Code shall be deemed a public nuisance and may be summarily abated as such by the city, and each day such condition continues shall constitute a new and separate offense. The procedures provided in this chapter are in addition to all other remedies and cost recovery options available to the city by law or in equity, including, but not limited to, those provided in Chapter 1.32 of this code.”
SECTION 11. Section 10.28.170 (“Remedies”) of Chapter 10.28 (“Abandoned Vehicles” of Title 10 (“Vehicles and Traffic”) of the Banning Municipal Code is hereby amended in its entirety to read as follows:
“10.28.170 - Remedies.

All remedies provided for herein shall be cumulative and not exclusive. The conviction and punishment of any person hereunder shall not relieve such person from the responsibility of abating and removing an abandoned, wrecked, dismantled, or inoperative vehicle or parts thereof. The procedures provided in this chapter are in addition to all other remedies and cost recovery options available to the city by law or in equity, including, but not limited to, those provided in Chapter 1.32 of this code.”
SECTION 12. Severability. If any section or provision of this Ordinance is for any reason held to be invalid, unconstitutional, illegal, or unenforceable by any court of competent jurisdiction, or contravened by reason of any preemptive legislation, then such section or provision shall be severed and shall be inoperative, and the remainder of this Ordinance shall remain in full force and effect. 798
Ordinance 1598

Page 12 of 13 ends

SECTION 13. The Mayor shall sign and the City Clerk shall certify passage and adoption of this Ordinance, and the City Clerk shall cause the same to be published and posted pursuant to the provisions of law in this regard, and this Ordinance shall take effect 30 days after its final passage.

Alberto Sanchez, Mayor
City of Banning
ATTEST:

Caroline Patton, Administrative City Clerk
City of Banning

APPROVED AS TO FORM AND
LEGAL CONTENT:

Serita Young, City Attorney
Richards, Watson & Gershon
799
Ordinance 1598

Page 13 of 13 ends

CERTIFICATION:

I, Caroline Patton, Administrative City Clerk of the City of Banning, California, do hereby certify that Ordinance 1598 was duly introduced at a regular meeting of the City Council of the City of Banning, held on the 13th day of February 2024, and was duly adopted at a regular meeting of said City Council on the 27th day of February 2024, by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Caroline Patton, Administrative City Clerk
City of Banning, California
800

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Emery Papp, Senior Planner
Adam Rush, Community Development Director
MEETING DATE: February 27, 2024
SUBJECT: Second Reading and Adoption of Ordinance 1600, Amending the High Density Residential (HDR) and Very High Density Residential (VHDR) Zoning Districts by Amending the Definitions in Sections 17.08.010.B.8 and 17.08.010.B.11, by Adding New Permitted and Conditionally Permitted Uses for the Very High Density Residential Zone in Section

17.08.020, and Adding Residential Development Standards for the Very High Density Residential Zone in Section 17.08.030 (Chapter 17.08, Articles I & II); and Amending Commercial Zoning Districts (Chapter

17.12, Articles I & II) by Adding New Permitted and Conditionally Permitted Uses to Table 17.12.020 of the City of Banning Municipal Code (BMC) Allowing Special Needs Housing As Required Pursuant to State Housing Law; And Making a Determination of Exemption From the California Environmental Quality Act
RECOMMENDATION:

Conduct second reading and adopt Ordinance 1600.

BACKGROUND:

At the February 13, 2024 City Council Meeting, the Council waived the full reading and introduced Ordinance No. 1600 as read by title only. Ordinance 1600 is presented for second reading and adoption.

In 2018, as part of the 5th Cycle Housing Element implementation, a new Very High Density Residential (VHDR) zone was created which allowed a density range from 19 to 24 units per acre. This zone was adopted by definition only, and no development standards or schedule of uses were adopted for this VHDR zone, nor were any real properties mapped to receive this designation.

On September 13, 2022, and again on October 11, 2022, the City Council held public hearings to introduce Ordinance 1584 and a second reading of Ordinance 1584 which rezoned 16 properties (12 VHDR, and 4 HDR), to achieve the City's Regional Housing Needs Assessment established for the City of Banning in the 6th Cycle Housing Element Update.

On January 9, 2024, the Banning City Council adopted the revised 6th Cycle Housing Element Update.

In approving the Housing Element, the City Council was advised that a Zoning Text Amendment would be required to implement the State of California "default density" for affordable housing, set at a minimum of 30 units per acre; and other amendments to the Banning Municipal Code to implement State Housing Legislation and new Housing Element Programs contained within the 6th Cycle Housing Element. These amendments required by many of the the 30 Housing Element Programs would be 801
brought forward to this approval body in February 2024. The City Council was so advised during staff’s presentation that the following recommended Programs in the 6th Cycle Housing Element will require amendments to Title 17, Zoning, of the Banning Municipal Code:

Program 4:

Amend Density threshold for VHDR from 19-24 to 24-30 du/ac.

Program 5:

Per CGC 65583, allow housing developments by right when a minimum of 20% of units are affordable.

Program 6:

Offer incentives for lot consolidation for affordable housing projects.

Program 8:

Allow supportive housing by right in MF and MU zones.

Permit Group Homes in all residential zones with similar approval authority as for Residential Care Facilities.

Change parking requirements for supportive housing within ½ mile of a transit stop.

Program 9:

Allow emergency shelters by right in Public Facilities zone.

Revise parking requirements for emergency shelters.

Per AB 101, allow residential care facilities by right in MU and non-residential zones allowing mixed use.

Per AB 2162, allow transitional housing and supporting housing by right in residential zones.

Allow farmworker housing in RA and RA-H zones by right.

Ensure BMC is updated pursuant to latest ADU laws.

Remove any text viewed as a constraint to the development of residential care facilities.

Remove reasonable accommodation findings related to character and sensitivity of neighborhoods.

Program 10:

Remove constraints on a variety of special needs housing types to enhance the feasibility of affordable housing projects.

Remove 2-acre minimum lot size for MFR development in MDR zones.

Program 12:

Adopt design standards for multi-family and mixed-use projects.

Program 17:

Integrate changes in State Density Bonus housing law, including requirements under AB 2345.

Program 19:

Consider rezoning nonvacant and underutilized properties for alternative housing sites.

Evaluate fee structure for shared/micro units based on size.

Encourage innovative housing types to serve special needs.

Program 26:

Amend BMC to incorporate information on SB9/10 lot splits – including development standards.

Information to be made available on City’s website.

Program 27:

Periodically amend BMC to incorporate/integrate additional and/or new legislation changes to State Housing Laws
802
JUSTIFICATION:

California law requires each City and County adopt a comprehensive, long-term General Plan to guide development in their jurisdiction and land outside its boundaries that has relation to its city planning (Govt. Code §65300). California Government Code Section 65302 requires the General Plan to consist of seven State-mandated elements, including Land Use, Circulation, Housing, Conservation, Open Space, Noise, and Safety Elements. The Housing Element is one of the seven State-mandated elements of the General Plan and must be updated every 8 years, unless otherwise mandated by California Government Code Section 65581. The purpose of the Housing Element is to develop comprehensive strategies for providing safe, decent, and affordable housing within the community across all income levels. The 6th Cycle Housing Element Update which spans the time period from 2021 through 2029 was adopted by the City Council on November 9, 2021 and was submitted to the California Department of Housing and Community Development (HCD) for certification review on November 18, 2021. At the conclusion of a 90-Day Review Period, HCD did not certify the Housing Element and required revisions to be made per a comment letter dated February 21, 2022. A revised 6th Cycle Housing Element Update was reviewed by the Planning Commission on December 6, 2023 and is scheduled for City Council review on January 9, 2024. Upon adoption by the City Council, the 6th Cycle Housing Element will again be transmitted to HCD for Certification review. To be considered for Certification, the proposed Zoning Text Amendments contained in Draft Ordinance 1600 are integral to implementing the Housing Element Programs and must be adopted by the City Council prior to the conclusion of HCD’s 60-day Certification review period. Until the 6th Cycle Housing Element is Certified by HCD, the City is not eligible to compete for federal, state, or local grant money. If deemed by HCD to have a noncompliant Housing Element, the City can lose the ability to receive Community Development Block Grants as well as other negative incentives such as fines and increases to the City’s Regional Housing Needs Assessment.

FISCAL IMPACT:

The costs associated with preparing the Ordinance is minimal. Future residential or mixed-use development will be paid for through the submittal of developer fees.

If deemed by HCD to have a noncompliant Housing Element, the City can lose the ability to receive Community Development Block Grants as well as other negative incentives such as fines and increases to the City’s Regional Housing Needs Assessment.

ALTERNATIVES:

1. Adopt Ordinance 1600, as recommended.

2. Adopt Ordinance 1600, with clerical revisions only.

3. Remand to the Planning Commission for further discussion.

4. Provide alternative direction to staff.

ATTACHMENTS:

1. Ordinance 1600, Zoning Text Amendment.docx

2. NOE_ZTA_23-97503_FINAL.pdf

3. PHN_Ord_1600_ZTA_23-97503_Final.pdf

4. Ordinance 1600_Proof of Publication.pdf
803
Ordinance 1600

Page 1 of 14 ends

ORDINANCE 1600

AN ORDINANCE OF THE CITY OF BANNING, CALIFORNIA, AMENDING

THE HIGH DENSITY RESIDENTIAL (HDR) AND VERY HIGH DENSITY

RESIDENTIAL (VHDR) ZONING DISTRICTS BY AMENDING THE
DEFINITIONS IN SECTIONS 17.08.010.B.8 AND 17.08.010.B.11, BY ADDING

NEW PERMITTED AND CONDITIONALLY PERMITTED USES FOR THE
VERY HIGH DENSITY RESIDENTIAL ZONE IN SECTION 17.08.020, AND

ADDING RESIDENTIAL DEVELOPMENT STANDARDS FOR THE VERY
HIGH DENSITY RESIDENTIAL ZONE IN SECTION 17.08.030 (CHAPTER

17.08, ARTICLES I & II); AND AMENDING COMMERCIAL ZONING DISTRICTS (CHAPTER 17.12, ARTICLES I & II) BY ADDING NEW

PERMITTED AND CONDITIONALLY PERMITTED USES TO TABLE

17.12.020 OF THE CITY OF BANNING MUNICIPAL CODE (BMC) ALLOWING SPECIAL NEEDS HOUSING AS REQUIRED PURSUANT TO STATE LAW;

AND MAKING A DETERMINATION OF EXEMPTION FROM THE

CALIFORNIA ENVIRONMENTAL QUALITY ACT
The City Council of the City of Banning does hereby ordain as follows:

SECTION 1. Findings and Purpose.

A. On January 9, 2024, the City of Banning adopted a revised Housing Element update for the 6th Cycle based on comments received from the State of California Department of Housing and Community Development (HCD) and the public.

B. The City has submitted its revised Housing Element update to HCD for review and certification. HCD has 60 days to act, during which time the City must adopt certain zoning text amendments described in the Housing Element; including: (1) establishing residential density at 30 dwelling units per acre (DU/AC); (2) establishing a zone or zones that authorizes certain MultiFamily Residential (MFR)/High Density Residential) (HDR) housing projects or as a ministerial action (e.g., "by right"); (3) adopting objective residential development standards decreases the barriers to entry as related to Multi-Family Residential and High Density Residential development; and (4) establishing reasonable regulations for Multi-Family Residential and High Density Residential development, is necessary as a means of documenting and preserving these properties. Zoning Text Amendment 23-97503, which would amend Title 17 of the Banning Municipal Code as described in the title of this Ordinance, was prepared for the purpose of fulfilling this obligation.

C. On January 10, 2024, the Planning Commission held a duly noticed public hearing on Zoning Text Amendment 23-97503, during which all interested persons were allowed to comment on the matter. After considering all of the evidence and testimony presented at that hearing, the Planning Commission adopted Resolution 2024-02, recommending that the City Council adopt an ordinance approving Zoning Text Amendment 23-97503.

D. On February 13, 2024, the City Council held a duly noticed public hearing on Zoning Text Amendment 23-97503, during which all interested persons were allowed to comment on the matter.

E. Based on all of the evidence and testimony presented at that hearing, the entirety of the administrative record in this matter, and the Planning Commission’s recommendation regarding the same, the City Council finds as follows:
a. All facts and findings set forth above in this Section 1 of the Ordinance are true and correct.
b. This Ordinance is consistent with the goals and policies of the City's revised Housing Element update and the City’s General Plan as a whole. 804
Ordinance 1600

Page 2 of 14 ends

c. This Ordinance is internally consistent with the Banning Municipal Code. d. The City Council has independently reviewed and considered the requirements of the California Environmental Quality Act ("CEQA"), and has determined that the zoning text amendments contained in this Ordinance are categorically exempt from CEQA pursuant to Section 15061(b)(3) of the CEQA Guidelines because it can be seen with certainty there is no possibility these amendments may have a significant effect on the environment.

F. All legal prerequisites to adoption of this Ordinance have occurred.

SECTION 2. Paragraph B of Section 17.08.010 (Purpose) of Article I (General Provisions) of Chapter 17.08 (Residential Districts) of Division II (Land Use Districts) of Title 17 (Zoning) of the Banning Municipal Code is hereby amended as follows:
(i.) Subparagraph 8 is amended to read as follows:
“High Density Residential (HDR) (11 – 23 DU/AC). Allows condominiums and townhomes, as well as apartments with the provision of common area amenities and open space. The clustering of condominiums and townhomes is appropriate with the provision of common area amenities and open space. Mobile home parks and subdivisions with the provision of common area amenities and open space may also be appropriate, with the approval of a conditional use permit. Home Occupations may be appropriate with approval of a Home Occupation permit.” (ii.) Subparagraph 11 is amended to read as follows:
“Very High-Density Residential (VHDR) (24 – 30 DU/AC). Allows condominiums and townhomes, as well as apartments with the provision of common area amenities and open space. The clustering of condominiums and townhomes is appropriate with the provision of common area amenities and open space. Home occupations may be appropriate with approval of a home occupation permit.” SECTION 3. Table 17.08.020 (Permitted, Conditional and Prohibited Uses) of Section

17.08.020 (Permitted, Conditional and Prohibited Uses) of Article I (General Provisions) of Chapter 17.08 (Residential Districts) of Division II (Land Use Districts) of Title 17 (Zoning) of the Banning Municipal Code is hereby amended as indicated by the following additions and deletions:
“Table 17.08.020
Permitted, Conditional and Prohibited Residential Uses
Zone R/A R/A/H RR RR/H VLDR LDR MDR HDR* MHP VHDR
Residential Uses
Accessory Dwelling Unit P P P P P P P P XP P
Affordable Housing (min.
20% lower income,
nonvacant site)7

X X X X X C P P P P
Cannabis Commercial
Indoor Cultivation

X X X X X X X X X X
Cannabis Manufacturing
Level 1

X X X X X X X X X X
Cannabis Distribution
Facility

X X X X X X X X X X
Cannabis Microbusiness X X X X X X X X X X
Cannabis Personal
Cultivation6

P P P P P P P P P P
Cannabis Retailer X X X X X X X X X X
805
Ordinance 1600

Page 3 of 14 ends

“Table 17.08.020
Permitted, Conditional and Prohibited Residential Uses
Zone R/A R/A/H RR RR/H VLDR LDR MDR HDR* MHP VHDR
Cannabis Testing
Laboratory

X X X X X X X X X X
Other Cannabis Uses X X X X X X X X X X
Commercial cargo/storage
container

P P P P P X X X X X
Community Gardens P P P P P P P P P P
Condominiums and
Townhomes

X X X X C C P P X P
Congregate Care Facility X X X X X P P P X P
Day Care Center P P X X X C C C C C
Day Care Home, Small1 P P P P P P P P P P
Day Care Home, Large2 C C C C C C C C C C
Dormitory X X X X X C C C X C
Farmworker Housing P P P P X X X X X X
Homeless Shelter X X X X X X X C C C
Mobile Home Parks or
Subdivisions

X X X X X X C C P X
Multi-Family Residential
Dwelling

X X X X X C P P X P
Planned Unit Development X X X P P P P P X P
Residential Care
Facility/Group Home,
Large

X X X X X X C C X C
Residential Care
Facility/Group Home,
Small, Licensed

P P P P P P P P P P
Residential Care
Facility/Group Home,
Small, Unlicensed

X X X X X X C C X C
Second Dwelling Unit P P P P P P P P X P
Single Family Dwelling P P P P P P P C X X
Single Room Occupancy X X X X X X X C X P
Supportive/Transitional
Housing

X X X X X X P P X P
Equestrian Uses
Stables, Private P P P P P X X X X X
Stables, Commercial P C P C C X X X X X
Tack and Feed Stores C C C X X X X X X X
Veterinary Offices and
Hospitals

C X C X C X X X X X
Agricultural Uses
Grazing of Animals P P P P P P X X X X
Kennels and Catteries,
commercial

C C C C C C X X X X
Locally Adaptive Farming P5 P5 C C X X X X X X
806
Ordinance 1600

Page 4 of 14 ends

“Table 17.08.020
Permitted, Conditional and Prohibited Residential Uses
Zone R/A R/A/H RR RR/H VLDR LDR MDR HDR* MHP VHDR
Factory Farms with
Genetic Monocultures

X X X X X X X X X X
Ranching P P C C X X X X X X
Recreational Uses
Clubhouses C X C X C C C C C X
Golf Courses and Related
Facilities

C X C X C C C C C X
Swimming Pool/Sports
Club

X X X X C C C C C X
Sports Courts and Fields C X C X C C C C X X
Accessory Uses
Telecommunications
Antennae

C X X X X X X X X X
Garages (for storage of
vehicles only, in excess to
that required under
Chapter 17.28 (Parking
Regulations)

C X C X C C X X X X
Other Uses
Bed and Breakfast C C C C C C C X X X
Boarding House X X X X X X X X X C
Cemeteries C X C X C C X X X X
Churches C X C X C C C C C X
Utility Facilities C C C C C C C C C X
Private Schools C C C C C C C C C X
Neighborhood Oriented
Retail Stores3

X X X X X X C X X X
Temporary Uses4 T T T T T T T T T T
Housing developments in the VHDR district are permitted at a minimum density of twenty dwelling units per acre by-right when at least fifty percent of the units are reserved for lower income households. 1 Small family day care homes are permitted by right in single-family residences located in any residential zone. Small family day care homes are not permitted in multiple-family residences. 2 Large family day care homes are conditionally permitted in single-family residences located in any residential zone. Large family day care homes are not permitted in multiple-family residences. 3 Neighborhood-oriented retail stores, as defined in the General Plan, consist of "corner store" type development such as convenience stores, grocery or green grocer, video rental, drug stores, sit down restaurants, coffee shops or coffee bars or similar uses, less than five thousand square feet in total square footage.
4 Temporary uses require temporary use permit. See Chapter 17.108 for provisions. 5 Agricultural employee housing allowed with up to twelve units or thirty-six persons, and/or up to six workers as a single-family use.
807
Ordinance 1600

Page 5 of 14 ends

6 Cannabis Personal Cultivation must comply with the provisions of Chapter 5.34. 7 Housing developments in the VHDR district are permitted at a minimum density of twenty-four dwelling units to 30 dwelling units per acre, without a Public Hearing required. Applies only to affordable housing projects pursuant to Government Code Section 65583.” SECTION 4. Table 17.08.030 (Residential Development Standards) of Section 17.08.030 (General Standards) of Article II (Land Use District Development Standards) of Chapter 17.08 (Residential Districts) of Division II (Land Use Districts) of Title 17 (Zoning) of the Banning Municipal Code is hereby amended as indicated by the following additions and deletions:
“Table 17.08.030
Residential Development Standards1

R/A R/A/H RR RR/H VLDR LDR MDR HDR MHP VHDR
Max. Density
(Units/Ac.)
1/10
Ac.
1/10
Ac.2
0-1 0-12 0-2 0-5 0-10 11-18
23 9-18 24-30
Min. Lot Size
(Ac. or s.f.)
Single Family
Lot3,4,10
10 Ac.
10 Ac. 40,000
s.f.
40,000
s.f.
20,000
s.f.
7,000
s.f. or
suffix.
7,000 7,000 N/A 15,000
Min. Lot Size
(Ac.) MultiFamily
Residential
Units
N/A N/A N/A N/A N/A 2 Ac.
7,000
7,000 7,000 N/A N/A
Min. Lot
Width (Feet)
600 600 150 150 100 70 50 150 150 150
Min. Lot
Depth (Feet)
600 600 150 150 100 90 75 100 100 100
Min. Front
Setback
(Feet)
50 50 50 50 35 20 15 15 10 10
Min. Rear
Setback
(Feet)
50 50 35 35 35 15 10 10 10 10
Min. Side
Yard Setback
(Feet)
25 25 25 25 15 10 5 5 5 5
Min. Street
Side (Feet)
30 30 30 30 20 15 10 10 5 10
Max. Bldg.

Coverage
(%)9
10 10 15 15 25 408 40 40 50 70
Min. Private
Outdoor
Space (s.f.)
N/A N/A N/A N/A N/A N/A 200 200 200 200
Min.

Common
Outdoor
Space (s.f.)6
N/A N/A N/A N/A N/A N/A 200 200 200 200
808
Ordinance 1600

Page 6 of 14 ends

“Table 17.08.030
Residential Development Standards1

R/A R/A/H RR RR/H VLDR LDR MDR HDR MHP VHDR
Maximum
Height
(stories/feet)
2/35 2/35 2/35 2/35 2/35 2/35 3/457 4/60 1/25 5/70
Maximum
Fence/Wall
Height (ft)
6 6 6 6 6 6 6 6 6 6
Floor Area
Ratio (FAR)8
One-story
home
.10 .10 .15 .15 .25 .35 .40 .40 .50 .50
Multi-story
home
.20 .20 .30 .30 .40 .60 .70 .70 N/A .70
1 These standards can be superseded by standards in a Specific Plan, or by the standards provided for Planned Unit Development, under Section 17.08.170.
2 The provisions for hillside development and density transfers shall apply. 3 A single family home can be built on an existing legal lot in the R/A, R/A-H, RR, RR/H, VLDR, LDR or MDR zones, providing all single family residential development standards for that zone are met. 4 Minimum lot size net of public right-of-way dedication. 5 In the LDR Zone, if no suffix is shown on the map. If a suffix is shown on the map, that suffix indicates the minimum lot size.
6 A minimum of 30% of the net site area must be provided in common outdoor space. See Multi-Family Residential development standards, Section 17.08.140.
7 Maximum height only permitted if Fire Department provides written verification that they can serve. 8 Up to 240 square feet of third car garage space is exempted from lot coverage and FAR for lots over 9,500 square feet.
9 Golf cart garages are exempted from the building coverage requirements in areas that are adjacent to a golf cart path.
10 All residentially zoned lots are eligible to apply for ministerial subdivisions under the provisions of Senate Bill 9, the California Housing Opportunity and More Efficiency (HOME) Act pursuant Governemnt Code Section 66411.7.”
SECTION 5. Table 17.12.020 (Permitted, Conditional and Prohibited Commercial and Industrial Uses) of Section 17.12.020 (Permitted, Conditional and Prohibited Uses) of Article I (General Provisions) of Chapter 17.12 (Commercial and Industrial Districts) of Division II (Land Use Districts) of Title 17 (Zoning), of the Banning Municipal Code is hereby amended as indicated by the following additions and deletions:
“Table 17.12.020
Permitted, Conditional and Prohibited Commercial and Industrial Uses Zone DC GC HSC PO I AI BP IMR
Resource and Open Space
Uses
Plant nurseries, with on-site
sales

X P X X X X C C
Plant nurseries, without on-site
sales

X C X X X X X C
Surface mining1 X X X X C X X C
809
Ordinance 1600

Page 7 of 14 ends

“Table 17.12.020
Permitted, Conditional and Prohibited Commercial and Industrial Uses Zone DC GC HSC PO I AI BP IMR
Commercial cargo/storage
containers

C C C C P P P P
Community Gardens P P P P P P P P
Recreation, Education and Public Assembly
Adult entertainment X X X X C X X X
Adult day care facilities X C C C X X C X
Automobile race track X X X X C C X X
Billiard parlors/pool halls C C C X X C C X
Churches C C C C C X C C
Community centers P P C C X X X X
Convention facilities P P P X X P X X
Day care centers C C C C X X C X
Health/fitness facilities C P P P X X C X
Indoor recreation centers C P P X X C X X
Libraries P P P P X P X X
Membership organization
facilities

X X X C C P C X
Museums P P P P X P X X
Outdoor commercial recreation P P P C X C C X
Public parks and playgrounds P P P P X P P X
Recreational vehicle (RV) parks X X C X X X X X
Recreational vehicle (RV)
storage

X X X X C X C X
Schools X X X C X P X X
Sport facilities and outdoor public
assembly

C C C C X C C X
Studios for dance, art, music,
photography, etc.

P P P P C X C X
Theatres and meeting halls C C C C C X C C
Retail Uses
Accessory retail uses P P P P P P P X
Alcoholic beverage sales, on- or
off-site

C C C C X X X X
Antique stores P P P X X X P X
Art galleries P P C C X P P X
Auto, mobile home, and motor
vehicle sales, with or without part
sales, new and/or used3

X P P X P P C X
Auto, mobile home, and motor
vehicle part sales3

C P P X P P C X
Bakeries, retail P P P P X X P X
Bars and drinking establishments C C C X X C X X
Building material stores X P P X X X P X
Certified farmers' markets P P P X X X X X
Convenience stores C P P C X C X X
810
Ordinance 1600

Page 8 of 14 ends

“Table 17.12.020
Permitted, Conditional and Prohibited Commercial and Industrial Uses Zone DC GC HSC PO I AI BP IMR
Convenience stores, no liquor
sales

P P P X X X P X
Department stores P P P X X X P X
Drive-in/drive-through sales X P P C X X C X
Drug stores P P P C X X C X
Electronic Message Center C
Factory outlet centers X P P X X X C X
Farm and ranch supply stores X P P X X X X X
Furniture, furnishings, home
equipment stores

P P P X X X P X
Gift shops P P P P X P P X
Grocery stores, retail butchers
and green grocers

P P P X X X C X
Hardware/lumber stores C P P X P X P X
Liquor stores (off-site
consumption)

X C C C X X X X
Outdoor retail merchandise
display and activities

P C C C X X C X
Outdoor retail sales, temporary T T T T X T T X
Pawn shops X C C X X X C X
Pet stores and grooming P P P X X X P X
Restaurants, no beer, wine or
liquor sales

P P P P C C P C
Restaurants, serving beer, wine
or liquor

P P P P C C P C
Restaurants, drive-in, take-out,
fast food

C P P C X X C X
Retail stores, general
merchandise

P P P X X X P X
Second hand/thrift stores X C C X X X X X
Shopping centers, 15,000 square
feet or more

C P P X X X C X
Video rental stores P P P X X X P X
Warehouse or club stores (i.e.,
"Big box stores")

X P P P X X P X
Services
Automatic teller machine (ATM),
not at a bank

P P P P X P P X
Banks and financial
establishments/services

P P P P X X P X
Barber shops and beauty shops P P P X X X P X
Bed and breakfast
establishments

P C C X X X X X
Boarding house X X C X X X X X
811
Ordinance 1600

Page 9 of 14 ends

“Table 17.12.020
Permitted, Conditional and Prohibited Commercial and Industrial Uses Zone DC GC HSC PO I AI BP IMR
Business support/secretarial
services

P P P P X P P X
Car wash X P P X X X C X
Columbarium's and mortuaries X C C X X X C X
Construction storage (indoor
and/or outdoor)

X X X X P X C C
Drive-in and drive-through
services

X P P C X X C X
Dry cleaning, retail C P P C X X P X
Equipment rental yards X X C X P C C X
Fortune-Telling X C C C C C C X
Government offices P C C P X P P X
Hookah and Smoking Lounges X C C C C C C X
Hotels and motels P P P X X X C X
Laundry, coin operated C P P X X X X X
Massage Establishment P P P P X P P X
Medical services, clinics and labs C C C P X X C X
Mobile Vending T T T T T T T T
Professional offices P P P P X P P X
Public parking P P P P P P P X
Public utility and safety facilities P P P P P P P P
Real estate offices P P P P X X P X
Repair and maintenance of
consumer products

X P P C X X P X
Repair and maintenance of
motor vehicles, including auto
body

X C P X P P P X
Research and development
facilities

X X X C C C P X
Storage, accessory, including
self-storage

X X X X C X C X
Tattoo and Body Piercing
Studios

C C C C C C X X
Vehicle fueling/service stations X P P P X P P X
Veterinary clinics, animal
hospitals, grooming

C P P P X X P X
Manufacturing and Processing Uses
Assembly from prefabricated
parts or products
X C3 X X P P P X
Auto wrecking/parts salvaging X X X X C X X X
Bakeries, wholesale X X X X P X P X
Breweries and distilleries C C C X C X C X
Breweries and distilleries,
ancillary to a bar or restaurant

C C C X X P C X
812
Ordinance 1600

Page 10 of 14 ends

Banning City CouncilFebruary 27, 2024

Banning City Council
February 27, 2024