Agenda packet, regular meeting — Banning City Council, September 9, 2025 (part 2 of 3)

VENDOR NAME
CHANGE $ 2/24/2025 263.56 194655 6980 $ 263.56
2/6/2025 194482 8931

VENDOR NAME
CHANGE $ 2/24/2025 413.86 194643 8931 $ 413.86
TOTALS $677.42 $677.42
Voided Checks
February 2025
42030
Start End Date Description Check Total
13793 13803 2/7/2025 Warrant Register 2,528.23 $
13804 13813 2/21/2025 Warrant Register 1,808.28 $
TOTALS 4,336.51 $
CHECKS USED 21
February 2025
Payroll
42131
Prepared 2/06/25, 16:01:31 Check Register Page 1
Program PR655L BIWEEKLY Pay Period 3
CITY OF BANNING Pay Date 2/07/25 1/20/25 To 02/02/25
------------------------------------------------------------------------------------------------------------------------------------ Dept/Div Social Check
Activity Check Payee Security Number Amount
------------------------------------------------------------------------------------------------------------------------------------ 1900-412 PHILLIPS, JOYCE Y 6549 13793 .00
CALIF. STATE DISBURSEMENT UNIT 13794 427.38
FRANCHISE TAX BOARD 13795 50.00
TEXAS CHILD SUPPORT SDU 13796 550.62
FRANCHISE TAX BOARD 13797 125.00
CALIF. STATE DISBURSEMENT UNIT 13798 241.15
4000-461 SCARRY, COLE 7674 13799 690.36
4010-461 FLOYD, ANTHONY P 2394 13800 88.49
CALIF. STATE DISBURSEMENT UNIT 13801 255.23
FRANCHISE TAX BOARD 13802 50.00
FRANCHISE TAX BOARD 13803 50.00
Total Checks - 11 2,528.23
42232
Prepared 2/20/25, 16:12:30 Check Register Page 1
Program PR655L BIWEEKLY Pay Period 4
CITY OF BANNING Pay Date 2/21/25 2/03/25 To 02/16/25
------------------------------------------------------------------------------------------------------------------------------------ Dept/Div Social Check
Activity Check Payee Security Number Amount
------------------------------------------------------------------------------------------------------------------------------------ 1900-412 PHILLIPS, JOYCE Y 6549 13804 .00
CALIF. STATE DISBURSEMENT UNIT 13805 427.38
FRANCHISE TAX BOARD 13806 50.00
TEXAS CHILD SUPPORT SDU 13807 550.62
FRANCHISE TAX BOARD 13808 125.00
CALIF. STATE DISBURSEMENT UNIT 13809 241.15
4010-461 FLOYD, ANTHONY P 2394 13810 88.49
CALIF. STATE DISBURSEMENT UNIT 13811 255.23
FRANCHISE TAX BOARD 13812 20.41
FRANCHISE TAX BOARD 13813 50.00
Total Checks - 10 1,808.28
42333

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Arturo Vela, Acting City Manager
PREPARED BY: Lincoln Bogard, Administrative Services Director MEETING DATE: March 25, 2025
SUBJECT: Receive and File Cash and Investments Report for the Month of February 2025
RECOMMENDATION:

That City Council receive and file Cash and Investment Report for February 2025, in accordance with California Government Code 53646.

BACKGROUND:

The City’s investment portfolio is compliant with its Investment Policy and Pooled Cash is expected to meet all disbursement requirements for the next six months.

JUSTIFICATION:

UNRESTRICTED CASH AND INVESTMENTS:

Cash & Investments January 2025 February 2025
Funds under Control of the City:

Petty Cash / Cash on Hand $4,055.00 $4,055.00
Sub-Total $4,055.00 $4,055.00
Checking and Savings:

Wells Fargo - General Account - XXXXX5798 $7,320,186.01 $5,712,013.30 HCN Bank - General Account - XXXXX97479 $50,000.00 $50,000.00 Bank of America - Parking Citations - XXXXXX8776 $145,924.84 $146,227.96 Bank of America - Airport Visa - XXXXXX7548 $618,596.43 $620,952.70 Bank of America - CNG Charge Acct - XXXXXX5594 $79,091.90 $79,091.90 Sub-Total $8,213,799.18 $6,608,285.86
See Investment Report for Details of the following
investments:

State of California, Local Agency Investment Fund $25,139,527.68 $25,139,527.45 % of Investments in LAIF 54% 54%
US Bank City of Banning Investment Custody Account
XXXXX6000
$21,348,259.25 $21,373,519.10
Cash and Investments $54,705,641.11 $53,125,387.41
4241
RESTRICTED CASH AND INVESTMENTS:

Cash & Investments January 2025 February 2025
Cash with Fiscal Agents
US Bank
2015 Water Revenue Bonds-BUA Water Projects - 258228005 $888,852.32 $891,760.87 2015 Water Revenue Bonds-BUA Water Projects - 258228000 $5,900.43 $5,919.74 2019 Wastewater Revenue Bond - 254226002 $235,013.45 $235,015.45 2019 Wastewater Revenue Bonds 254226000 $115,047.94 $115,048.92 2019 Wastewater Revenue Bonds - BUA Water Projects -
Previous Balance less amount required for Refunding -
254226006
$2,503,120.15 $2,503,141.41
2019 Wastewater Revenue Bonds - Interest Account -
254226001
$0.16 $0.16
2019 Wastewater Revenue Bonds - Cost of Issuance Fund - 254226005
$1.43 $1.43
2015 Electric Revenue Bond-Acquisition & Construction Fund - 262685003
$2,546.71 $2,555.04
2015 Electric Revenue Bond-Acquisition & Construction Fund - 262685000
$11,933.27 $11,972.31
Successor Agency of the Dissolved Redevelopment Agency of the City of Banning Tax Allocation Bonds Series 2016 (Taxable) Unexpended Proceeds Fund - 277166005
$7,687,606.11 $7,687,638.76
Successor Agency of the Dissolved Redevelopment Agency of the City of Banning Tax Allocation Bonds Series 2016 (Taxable) Revenue Fund - 277166000
$1.82 $406,277.70
Improvement Dist No 2004-1 (Fair Oaks Ranch Estates) Limited Obligation Improvement Bonds Series 2005A Interest Acct789582000$0.06 $0.06 Improvement Dist No 2004-1 (Fair Oaks Ranch Estates) Limited Obligation Improvement Bonds Series 2005A Principal Acct789582001$0.04 $37,838.79 Improvement Dist No 2004-1 (Fair Oaks Ranch Estates) Limited Obligation Improvement Bonds Series 2005A Reserve Fund789582003 $186,059.15 $186,059.94
PERMA Member Trust Account xxx-xxxx-101.12-00 $2,049,431.77 $2,502,925.14 CAISO - City of Banning XXXXX6994 $129,495.11 $129,965.91 City of Banning - XXXXX5920 - Riverside Public Utilities (RPU) $933,567.31 $1,172,639.64 Cash with Fiscal Agents
US Bank
$14,748,577.23 $15,888,761.27
Restricted Investment in SCPPA Project Stabilization Fund Project Stabilization Fund $1,004,195.67 $1,011,666.84
Total Restricted Cash
and Investments
$15,752,772.90 $16,900,428.11
4252
Grand Total Cash
and Investments
$70,458,414.01 $70,025,815.52
BOND RESERVE INSURANCE POLICIES:

Insurance Policy and Purpose Market Value
2015 Electric Revenue Bond-Reserve Fund -
262685002 - Market Value
$2,428,543.76
Successor Agency of the Dissolved Redevelopment
Agency of the City of Banning Tax Allocation Bonds
Series 2016 (Taxable) Reserve Fund- 277166004
Market Value
$2,205,497.50
FISCAL IMPACT:

Not applicable.

I hereby certify that the investment activity for this reporting period conforms with the investment policy adopted by the City of Banning's City Council and the California Government Code Section 53601.

I also certify that there exists adequate pooled cash available to meet the City's disbursement requirements for at least the next six months.

ALTERNATIVES:

Not applicable.

BUDGETED?:

No
CONTRACT/AGREEMENT:

No
ATTACHMENTS:

1. Attachment 1 - Investment Report February 2025.pdf

2. Attachment 2 - City of Banning Broker Report February 2025.pdf

3. Attachment 3 - LAIF Market Valuation February 2025.pdf

4. Attachment 4 - PMIA-LAIF Performance Report February 2025.pdf 4263
Investment Held by Investment Name Investment Type CUSIP Number Standard & Poors Rating Moodys Rating Maturity Duration Par
Market
Yield Market Price Market Value/Accrued Int
Percentage of
Investments
State of California, Local Agency
Investment Fund
City of Banning Pooled Investment N/A N/A N/A $ 25,139,527.45 4.333 100.20611 $ 25,191,342.53 54.0% Successor Agency Pooled Investment N/A N/A N/A $ 0.23 4.333 100.20611 $ 0.23 0.0% $ 25,139,527.68 $ 25,191,342.76 54.0%
US Bank- Broker Chandler Asset
Management
Government Agencies
Total ABS Asset-Backed Securities Various AAA Aaa 1.54 $ 625,000.00 4.330 101.06918 $ 631,682.38 1.34% Total Agency Federal Agencies Various AA+ Aaa 1.01 $ 12,000,000.00 4.380 98.93361 $ 11,872,033.20 25.8% Total Cash Cash and Equivalents Various AAA Aaa 0.00 $ 764.75 0.000 100.00 $ 764.75 0.0% Total Commercial Paper Paper 62479LL78 NA A-1 0.18 $ - 5.500 99.497 $ - 0.0% Total Corporate Corporate Various A+ A1 0.59 $ 3,875,000.00 4.560 99.66820 $ 3,862,142.75 8.3% Total Money Market Money Market/Mutual Funds 31846V401 AAA Aaa 0.00 $ 87,754.35 3.830 100.00 $ 87,754.35 0.2% Total US Treasury US Treasuries Various AA+ Aaa 0.35 $ 4,785,000.00 4.270 99.31529 $ 4,752,236.63 10.3% $ 21,373,519.10 $ 21,206,614.05 46.0%
Total Investments $ 46,513,046.78 $ 46,397,956.81 100.0% City of Banning
Report of Investments
February 2025
Reviewed by: Lincoln Bogard Fiscal Services Department / Finance 4274

MONTHLY ACCOUNT STATEMENT
City of Banning | Account #11089 | As of February 28, 2025 CHANDLER ASSET MANAGEMENT | chandlerasset.com
Information contained herein is confidential. We urge you to compare this statement to the one you receive from your qualified custodian. Please see Important Disclosures at the end of the statement.

Chandler Team:

For questions about your account, please call (800) 317-4747, or contact [email protected]
Custodian:

PORTFOLIO SUMMARY
Portfolio Characteristics
Sector Allocation
Performance Review
Account Summary
Maturity Distribution
Top Issuers
Credit Quality (S&P)
Total Rate of Return** 1M 3M YTD 1YR 2YRS 3YRS 5YRS 10YRS Since Inception (07/01/23)
City of Banning 0.41% 1.18% 0.81% 5.28% -- -- -- -- 5.41% Benchmark Return 0.34% 1.13% 0.69% 5.16% -- -- -- -- 5.15% Average Modified Duration 0.54
Average Coupon 2.53%
Average Purchase YTM 3.30%
Average Market YTM 4.39%
Average Credit Quality* AA+
Average Final Maturity 0.64
Average Life 0.58
End Values as of
01/31/2025
End Values as of
02/28/2025
Market Value 21,149,098.97 21,206,613.63
Accrued Interest 146,198.40 175,065.68
Total Market Value 21,295,297.36 21,381,679.31
Income Earned 61,754.87 59,591.92
Cont/WD 0.00 0.00
Par 21,348,259.25 21,373,519.10
Book Value 21,292,941.91 21,323,332.72
Cost Value 21,205,792.83 21,244,325.84
Federal Home Loan Banks 41.97%
Government of The United States 22.41%
Federal Home Loan Mortgage Corp 14.02%
Amazon.com, Inc. 2.35%
Exxon Mobil Corporation 2.33%
Simon Property Group, Inc. 1.29%
Air Products and Chemicals, Inc. 1.27%
Bank of America Corporation 1.25%
**Periods over 1 year are annualized.

Benchmark: ICE BofA 0-1 Year US Treasury Notes & Bonds Secondary Benchmark:
*The average credit quality is a weighted average calculation of the highest of S&P, Moody’s and Fitch. 4296
CONFIDENTIAL | 3
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes

AGENCY MORTGAGE SECURITIES (CMOS)
Max % (MV) 100.0 0.0 Compliant
Max % Issuer (MV) 30.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

ASSET-BACKED SECURITIES (ABS)
Max % (MV; Non Agency ABS & MBS) 20.0 3.0 Compliant
Max % Issuer (MV) 5.0 1.0 Compliant
Max Maturity (Years) 5 4 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant

BANKERS' ACCEPTANCES
Max % (MV) 40.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Days) 180 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant

CERTIFICATE OF DEPOSIT PLACEMENT SERVICE (CDARS)
Max % (MV) 30.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

COLLATERALIZED BANK DEPOSITS
Max Maturity (Years) 5.0 0.0 Compliant

COLLATERALIZED TIME DEPOSITS (NON-NEGOTIABLE
CD/TD)
Max % (MV) 20.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

COMMERCIAL PAPER
Max % (MV) 25.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Days) 270 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant

CORPORATE MEDIUM TERM NOTES
Max % (MV) 30.0 18.2 Compliant
Max % Issuer (MV) 5.0 2.4 Compliant
Max Maturity (Years) 5 1 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant
4307
CONFIDENTIAL | 4
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes

FDIC INSURED TIME DEPOSITS (NON-NEGOTIABLE CD/
TD)
Max % (MV) 20.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant

FEDERAL AGENCIES
Max % (MV) 100.0 56.0 Compliant
Max % Issuer (MV) 30.0 42.2 Not
Compliant Inherited Securities
Max Callables (MV) 20.0 56.1 Not
Compliant Agency Callables; Inherited Securities; Client Directive Approved Strategy Shift Max Maturity (Years) 5 2 Compliant

LOCAL AGENCY INVESTMENT FUND (LAIF)
Max Concentration (MV) 75.0 0.0 Compliant

MONEY MARKET MUTUAL FUNDS
Max % (MV) 20.0 0.4 Compliant
Max % Issuer (MV) 20.0 0.4 Compliant
Min Rating (AAA by 2) 0.0 0.0 Compliant

MORTGAGE-BACKED SECURITIES (NON-AGENCY)
Max % (MV) 20.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant

MUNICIPAL SECURITIES (CA, LOCAL AGENCY)
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant

MUNICIPAL SECURITIES (CA, OTHER STATES)
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes
Min Rating (AAA by 2) 0.0 0.0 Compliant

NEGOTIABLE CERTIFICATES OF DEPOSIT (NCD)
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1 if > FDIC Limit) 0.0 0.0 Compliant

REPURCHASE AGREEMENTS
Max Maturity (Years) 1.0 0.0 Compliant

SUPRANATIONAL OBLIGATIONS
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 10.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant
U.S. TREASURIES
Max % (MV) 100.0 22.4 Compliant
Max Maturity (Years) 5 0.0 Compliant
4329
CONFIDENTIAL | 6
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

RECONCILIATION SUMMARY
Accrual Activity Summary
Fair Market Activity Summary
Month to Date Fiscal Year to Date
(07/01/2024)
Beginning Book Value 21,292,941.91 20,890,632.11
Maturities/Calls (1,070,000.00) (7,285,000.00)
Principal Paydowns 0.00 0.00
Purchases 2,180,011.83 15,116,300.52
Sales (1,094,140.26) (7,373,358.18)
Change in Cash, Payables, Receivables (333.82) (182,250.17) Amortization/Accretion 14,853.06 157,008.45
Realized Gain (Loss) 0.00 (0.00)
Ending Book Value 21,323,332.72 21,323,332.72
Month to Date Fiscal Year to Date
(07/01/2024)
Beginning Market Value 21,149,098.97 20,501,414.03
Maturities/Calls (1,070,000.00) (7,285,000.00)
Principal Paydowns 0.00 0.00
Purchases 2,180,011.83 15,116,300.52
Sales (1,094,140.26) (7,373,358.18)
Change in Cash, Payables, Receivables (333.82) (182,250.17) Amortization/Accretion 14,853.06 157,008.45
Change in Net Unrealized Gain (Loss) 27,123.85 272,498.99 Realized Gain (Loss) 0.00 (0.00)
Ending Market Value 21,206,613.63 21,206,613.63
Maturities / Calls
Month to Date (1,070,000.00)
Fiscal Year to Date (7,285,000.00)
Principal Paydowns
Month to Date 0.00
Fiscal Year to Date 0.00
Purchases
Month to Date 2,180,011.83
Fiscal Year to Date 15,116,300.52
Sales
Month to Date (1,094,140.26)
Fiscal Year to Date (7,373,358.18)
Interest Received
Month to Date 19,733.93
Fiscal Year to Date 306,097.64
Purchased / Sold Interest
Month to Date (3,862.36)
Fiscal Year to Date (28,155.30)
43310
CONFIDENTIAL | 7
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

HOLDINGS REPORT
Cusip Security Description Par Value/
Units
Purchase Date
Purchase Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
ABS
379929AD4 GMALT 2023-3 A3 5.38
11/20/2026 45,000.00 08/08/20235.36%
44,994.60
44,997.16
100.36

4.49%
45,162.81

73.98 0.21%
165.65
NA/AAA
AAA

1.73 0.38
05592XAD2 BMWOT 2023-A A3 5.47
02/25/2028 40,000.00 07/12/20235.47%
39,992.91
39,995.40
100.73

4.47%
40,290.23

36.47 0.19%
294.83
NA/AAA
AAA

2.99 0.68
47787CAC7 JDOT 2023-C A3 5.48
05/15/2028 195,000.00 09/12/20235.40%
194,986.60
194,990.77
101.06

4.40%
197,076.71
474.93

0.93%
2,085.94
AAA/NA
AAA

3.21 0.93
36267KAD9 GMCAR 2023-3 A3 5.45
06/16/2028 45,000.00 07/11/20235.66%
44,998.26
44,998.83
100.89

4.41%
45,399.25
102.19

0.21%
400.42

AAA/AAA
NA

3.30 0.80
02582JKD1 AMXCA 2023-3 A 5.23
09/15/2028 215,000.00 09/12/20235.29%
214,990.39
214,993.18
101.47

4.28%
218,163.08
499.76

1.03%
3,169.90
NA/AAA
AAA

3.55 1.44
362955AD8 GMCAR 2025-1 A3 4.62
12/17/2029 85,000.00 01/09/20254.67%
84,993.68
84,993.84
100.69

4.13%
85,590.27
163.63

0.40%
596.44
AAA/NA
AAA

4.80 1.29
Total ABS 625,000.00 5.28%
624,956.44
624,969.18
101.07

4.33%
631,682.36
1,350.94

2.98%
6,713.18

3.43 1.09
AGENCY
3130ARFY2 FEDERAL HOME LOAN BANKS 3.0
04/14/2025 3,000,000.00 04/14/20223.00%
3,000,000.00
3,000,000.00

99.83 4.46%
2,994,856.71
34,250.00

14.12%
(5,143.29)
AAA/AA
AA

0.12 0.11
3130ARGD7 FEDERAL HOME LOAN BANKS 4.0
04/14/2025 3,000,000.00 04/14/20223.00%
3,000,000.00
3,000,000.00

99.94 4.49%
2,998,103.13
45,666.67

14.14%
(1,896.87)
AAA/AA
AA

0.12 0.11
3134GW6Z4

FEDERAL HOME LOAN
MORTGAGE CORP 0.48
05/29/2025
3,000,000.00 10/30/2020

0.48%
3,000,000.00
3,000,000.00

99.08 4.40%
2,972,342.88
4,880.00

14.02%
(27,657.12)
AAA/AA
AA

0.25 0.23
3130ARF55 FEDERAL HOME LOAN BANKS 2.6
03/30/2027 3,000,000.00 03/30/2022

2.60%
3,000,000.00
3,000,000.00

96.89 4.18%
2,906,730.18
32,716.67

13.71%
(93,269.82)
AAA/AA
AA

2.08 1.97
Total Agency 12,000,000.00 2.27%
12,000,000.00
12,000,000.00

98.95 4.38%
11,872,032.90
117,513.33

55.98%
(127,967.10)

0.63 0.60
CASH
CCYUSD Receivable 764.75 --

0.00%
764.75
764.75

1.00 0.00%
764.75

0.00 0.00%

0.00 AAA/AAA
AAA

0.00 0.00
Total Cash 764.75 0.00%
764.75
764.75

1.00 0.00%
764.75

0.00 0.00%

0.00 0.00

HOLDINGS REPORT
Cusip Security Description Par Value/
Units
Purchase Date
Purchase Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
00440EAS6 CHUBB INA HOLDINGS LLC 3.15
03/15/2025 250,000.00 04/22/20245.44%
245,082.50
249,788.17

99.93 5.21%
249,822.32
3,631.25

1.18%

34.15 A/A
A

0.04 0.03
89236TGX7 TOYOTA MOTOR CREDIT CORP

3.0 04/01/2025 260,000.00 04/30/20245.53%
254,217.60
259,463.31

99.87 4.66%
259,653.89
3,250.00

1.22%
190.58
A/A
A

0.09 0.08
023135CE4 AMAZON.COM INC 3.0
04/13/2025 500,000.00 06/08/20234.67%
485,440.00
499,066.94

99.81 4.63%
499,071.70
5,750.00

2.35%

4.75 A/AA
AA

0.12 0.11
756109AV6 REALTY INCOME CORP 3.875
04/15/2025 260,000.00 05/14/2024

5.57%
256,105.20
259,475.25

99.90 4.68%
259,736.70
3,806.11

1.22%
261.45
A/A
NA

0.13 0.12
6174468C6 MORGAN STANLEY 4.0
07/23/2025 260,000.00 09/12/20244.56%
258,780.61
259,439.00

99.78 4.56%
259,428.45
1,097.78

1.22%
(10.56)
A/A
A

0.40 0.38
06051GFS3 BANK OF AMERICA CORP 3.875
08/01/2025 265,000.00 08/12/20244.88%
262,506.35
263,919.18

99.73 4.53%
264,283.64
855.73

1.25%
364.46
A/A
AA

0.42 0.40
20030NBN0 COMCAST CORP 3.375
08/15/2025 260,000.00 07/22/20245.17%
255,247.20
257,954.34

99.50 4.50%
258,700.05
390.00

1.22%
745.71
A/A
A

0.46 0.44
828807CV7 SIMON PROPERTY GROUP LP 3.5
09/01/2025 275,000.00 12/16/20244.65%
272,819.25
273,444.74

99.43 4.68%
273,435.90
4,812.50

1.29%
(8.83)
A/A
NA

0.51 0.48
24422EWJ4 JOHN DEERE CAPITAL CORP 4.05
09/08/2025 260,000.00 07/09/20245.06%
257,056.80
258,677.29

99.87 4.31%
259,664.58
5,060.25

1.22%
987.29
A/A
A

0.53 0.49
009158BB1 AIR PRODUCTS AND CHEMICALS
INC 1.5 10/15/2025 275,000.00 11/12/20244.51%
267,597.00
269,976.54

98.24 4.43%
270,154.30
1,558.33

1.27%
177.76
A/A
NA

0.63 0.60
89115A2K7 TORONTO-DOMINION BANK

5.103 01/09/2026 260,000.00 02/24/20254.49%
261,326.00
261,309.32
100.49

4.50%
261,277.59
1,916.46

1.23%
(31.74)
A/A
AA

0.86 0.82
30231GAT9 EXXON MOBIL CORP 3.043
03/01/2026 500,000.00 06/08/20234.53%
481,105.00
493,054.71

98.73 4.36%
493,647.01
7,607.50

2.33%
592.30
AA/AA
NA

1.00 0.97
48125LRU8 JPMORGAN CHASE BANK NA

5.11 12/08/2026 250,000.00 10/16/20244.23%
254,312.50
253,538.31
101.31

4.33%
253,266.53
2,945.35

1.19%
(271.78)
AA/AA
AA

1.77 1.58
Total Corporate 3,875,000.00 4.83%
3,811,596.01
3,859,107.11

99.67 4.56%
3,862,142.65
42,681.26

18.21%
3,035.55

0.54 0.50

MONEY MARKET
FUND
31846V401 FIRST AMER:GVT OBLG D 87,754.35 --

3.83%
87,754.35
87,754.35

1.00 3.83%
87,754.35

0.00 0.41%

0.00 AAA/AAA
AAA

0.00 0.00
Total Money
Market Fund 87,754.35 3.83%
87,754.35
87,754.35

1.00 3.83%
87,754.35

0.00 0.41%

0.00 0.00

HOLDINGS REPORT
Cusip Security Description Par Value/
Units
Purchase Date
Purchase Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration

US TREASURY
912797MM6 UNITED STATES TREASURY
03/06/2025 575,000.00 --4.48%
564,689.77
574,653.52

99.96 4.28%
574,797.79

0.00 2.71%
144.27
A/AAA
AAA

0.02 0.01
912797NR4 UNITED STATES TREASURY
03/18/2025 600,000.00 11/18/20244.52%
591,288.21
598,755.46

99.82 4.34%
598,932.50

0.00 2.82%
177.04
A/AAA
AAA

0.05 0.04
912797LN5 UNITED STATES TREASURY
06/12/2025 420,000.00 12/16/20244.33%
411,363.14
414,974.03

98.83 4.29%
415,068.68

0.00 1.96%

94.64 A/AAA
AAA

0.28 0.27
91282CEU1 UNITED STATES TREASURY 2.875
06/15/2025 500,000.00 10/21/20244.30%
495,468.75
497,964.78

99.57 4.36%
497,863.28
3,001.37

2.35%
(101.50)
AAA/AA
AA

0.29 0.28
912797NW3 UNITED STATES TREASURY
06/26/2025 350,000.00 01/21/20254.31%
343,707.00
345,249.80

98.66 4.30%
345,326.53

0.00 1.63%

76.73 A/AAA
AAA

0.32 0.31
912797NX1 UNITED STATES TREASURY
07/03/2025 250,000.00 01/06/20254.28%
244,920.47
246,441.46

98.58 4.30%
246,459.99

0.00 1.16%

18.53 A/AAA
AAA

0.34 0.33
912797PE1 UNITED STATES TREASURY
07/17/2025 350,000.00 01/21/20254.31%
342,868.95
344,408.61

98.42 4.31%
344,470.47

0.00 1.62%

61.86 A/AAA
AAA

0.38 0.37
912797PP6 UNITED STATES TREASURY
08/21/2025 500,000.00 02/24/20254.34%
489,695.65
489,928.52

98.03 4.29%
490,147.71

0.00 2.31%
219.19
A/AAA
AAA

0.48 0.46
91282CFW6 UNITED STATES TREASURY 4.5
11/15/2025 400,000.00 12/30/20244.24%
400,859.38
400,697.74
100.19

4.22%
400,750.00
5,270.72

1.89%

52.26 AAA/AA
AA

0.71 0.68
91282CGA3 UNITED STATES TREASURY 4.0
12/15/2025 340,000.00 02/10/20254.26%
339,256.25
339,299.86

99.87 4.16%
339,556.41
2,839.56

1.60%
256.55
AAA/AA
AA

0.79 0.76
91282CGE5 UNITED STATES TREASURY 3.875
01/15/2026 500,000.00 06/08/20234.27%
495,136.72
498,363.56

99.77 4.14%
498,863.28
2,408.49

2.35%
499.72
AAA/AA
AA

0.88 0.84
Total US Treasury 4,785,000.00 4.35%
4,719,254.29
4,750,737.34

99.32 4.27%
4,752,236.62
13,520.15

22.41%
1,499.28

0.39 0.37
Total Portfolio 21,373,519.10 3.30%
21,244,325.84
21,323,332.72

98.82 4.39%
21,206,613.63
175,065.68
100.00%
(116,719.09)

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price Acq/Disp Yield Amount Interest Pur/Sold Total Amount Gain/Loss

ACQUISITIONS
Purchase 02/03/2025 31846V401 1,098.57 FIRST AMER:GVT OBLG D 1.000 3.87% (1,098.57) 0.00 (1,098.57) 0.00 Purchase 02/03/2025 31846V401 5,134.38 FIRST AMER:GVT OBLG D 1.000 3.87% (5,134.38) 0.00 (5,134.38) 0.00 Purchase 02/07/2025 31846V401 262,437.50 FIRST AMER:GVT OBLG D 1.000 3.84% (262,437.50) 0.00 (262,437.50) 0.00 Purchase 02/11/2025 91282CGA3 340,000.00 UNITED STATES TREASURY

4.0 12/15/2025 99.781 4.26% (339,256.25) (2,167.03) (341,423.28) 0.00 Purchase 02/13/2025 31846V401 225,000.00 FIRST AMER:GVT OBLG D 1.000 3.83% (225,000.00) 0.00 (225,000.00) 0.00 Purchase 02/18/2025 31846V401 6,779.40 FIRST AMER:GVT OBLG D 1.000 3.83% (6,779.40) 0.00 (6,779.40) 0.00 Purchase 02/20/2025 31846V401 201.75 FIRST AMER:GVT OBLG D 1.000 3.84% (201.75) 0.00 (201.75) 0.00 Purchase 02/20/2025 31846V401 325,000.00 FIRST AMER:GVT OBLG D 1.000 3.84% (325,000.00) 0.00 (325,000.00) 0.00 Purchase 02/24/2025 31846V401 263,900.00 FIRST AMER:GVT OBLG D 1.000 3.83% (263,900.00) 0.00 (263,900.00) 0.00 Purchase 02/25/2025 31846V401 182.33 FIRST AMER:GVT OBLG D 1.000 3.83% (182.33) 0.00 (182.33) 0.00 Purchase 02/25/2025 912797PP6 500,000.00 UNITED STATES TREASURY 08/21/2025 97.939 4.34% (489,695.65) 0.00 (489,695.65) 0.00 Purchase 02/25/2025 89115A2K7 260,000.00 TORONTO-DOMINION BANK 5.103 01/09/2026 100.510 4.49% (261,326.00) (1,695.33) (263,021.33) 0.00 Total Purchase 2,189,733.93 (2,180,011.83) (3,862.36) (2,183,874.19) 0.00 TOTAL
ACQUISITIONS 2,189,733.93 (2,180,011.83) (3,862.36) (2,183,874.19) 0.00

DISPOSITIONS
Maturity 02/07/2025 63743HFC1 (260,000.00)

NATIONAL RURAL

UTILITIES COOPERATIVE
FINANCE CORP 1.875
02/07/2025
100.000 1.88% 260,000.00 0.00 260,000.00 0.00
Maturity 02/13/2025 912797MK0 (225,000.00) UNITED STATES TREASURY 02/13/2025 100.000 0.00% 225,000.00 0.00 225,000.00 0.00 Maturity 02/20/2025 912797KA4 (325,000.00) UNITED STATES TREASURY 02/20/2025 100.000 0.00% 325,000.00 0.00 325,000.00 0.00 Maturity 02/24/2025 06406HDA4 (260,000.00)

BANK OF NEW YORK
MELLON CORP 3.0
02/24/2025
100.000 3.00% 260,000.00 0.00 260,000.00 0.00
Total Maturity (1,070,000.00) 1,070,000.00 0.00 1,070,000.00 0.00 43714
CONFIDENTIAL | 11
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price Acq/Disp Yield Amount Interest Pur/Sold Total Amount Gain/Loss Sale 02/11/2025 31846V401 (341,423.28) FIRST AMER:GVT OBLG D 1.000 3.84% 341,423.28 0.00 341,423.28 0.00 Sale 02/25/2025 31846V401 (752,716.98) FIRST AMER:GVT OBLG D 1.000 3.83% 752,716.98 0.00 752,716.98 0.00 Total Sale (1,094,140.26) 1,094,140.26 0.00 1,094,140.26 0.00 TOTAL
DISPOSITIONS (2,164,140.26) 2,164,140.26 0.00 2,164,140.26 0.00 OTHER

TRANSACTIONS
Coupon 02/01/2025 06051GFS3 0.00 BANK OF AMERICA CORP

3.875 08/01/2025 4.88% 5,134.38 0.00 5,134.38 0.00
Coupon 02/07/2025 63743HFC1 0.00

NATIONAL RURAL

UTILITIES COOPERATIVE
FINANCE CORP 1.875
02/07/2025

1.88% 2,437.50 0.00 2,437.50 0.00
Coupon 02/15/2025 20030NBN0 0.00 COMCAST CORP 3.375
08/15/2025 5.17% 4,387.50 0.00 4,387.50 0.00
Coupon 02/15/2025 02582JKD1 0.00 AMXCA 2023-3 A 5.23
09/15/2028 5.29% 937.04 0.00 937.04 0.00
Coupon 02/15/2025 47787CAC7 0.00 JDOT 2023-C A3 5.48
05/15/2028 5.55% 890.50 0.00 890.50 0.00
Coupon 02/16/2025 362955AD8 0.00 GMCAR 2025-1 A3 4.62
12/17/2029 4.67% 359.98 0.00 359.98 0.00
Coupon 02/16/2025 36267KAD9 0.00 GMCAR 2023-3 A3 5.45
06/16/2028 5.51% 204.38 0.00 204.38 0.00
Coupon 02/20/2025 379929AD4 0.00 GMALT 2023-3 A3 5.38
11/20/2026 5.46% 201.75 0.00 201.75 0.00
Coupon 02/24/2025 06406HDA4 0.00

BANK OF NEW YORK
MELLON CORP 3.0
02/24/2025

3.00% 3,900.00 0.00 3,900.00 0.00
Coupon 02/25/2025 05592XAD2 0.00 BMWOT 2023-A A3 5.47
02/25/2028 5.55% 182.33 0.00 182.33 0.00
Total Coupon 0.00 18,635.36 0.00 18,635.36 0.00
Dividend 02/28/2025 31846V401 0.00 FIRST AMER:GVT OBLG D 3.83% 764.75 0.00 764.75 0.00 Total Dividend 0.00 764.75 0.00 764.75 0.00
43815
CONFIDENTIAL | 12
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price Acq/Disp Yield Amount Interest Pur/Sold Total Amount Gain/Loss

INCOME EARNED
Cusip Security Description
Trade Date
Settle Date
Units
Book Value: Begin
Book Value: Acq
Book Value: Disp
Book Value: End
Prior Accrued
Inc. Received
Ending Accrued
Total Interest
Accr. Of Discount
Amort. Of Premium
Net Accret/Amort
Income Earned
Total Income

CASH & EQUIVALENTS
31846V401 FIRST AMER:GVT OBLG D
87,754.35
92,160.68
1,089,733.93
(1,094,140.26)
87,754.35

0.00 1,098.57

0.00 0.00

0.00 1,098.57
1,098.57
CCYUSD Receivable
764.75
1,098.57

0.00 0.00
764.75

0.00 0.00

0.00 Total Cash & Equivalents 88,519.10
93,259.25
1,089,733.93
(1,094,140.26)
88,519.10

0.00 1,098.57

0.00 0.00

0.00 1,098.57 1,098.57

FIXED INCOME
00440EAS6 CHUBB INA HOLDINGS LLC

3.15 03/15/2025
04/22/2024
04/24/2024
250,000.00
249,364.51

0.00 0.00
249,788.17
2,975.00

0.00 3,631.25
656.25
423.66

0.00 423.66
1,079.91
1,079.91
009158BB1

AIR PRODUCTS AND
CHEMICALS INC 1.5
10/15/2025
11/12/2024
11/13/2024
275,000.00
269,359.62

0.00 0.00
269,976.54
1,214.58

0.00 1,558.33
343.75
616.92

0.00 616.92
960.67
960.67
023135CE4 AMAZON.COM INC 3.0
04/13/2025
06/08/2023
06/12/2023
500,000.00
498,459.37

0.00 0.00
499,066.94
4,500.00

0.00 5,750.00
1,250.00
607.57

0.00 607.57
1,857.57
1,857.57
02582JKD1 AMXCA 2023-3 A 5.23
09/15/2028
09/12/2023
09/19/2023
215,000.00
214,993.03

0.00 0.00
214,993.18
499.76
937.04
499.76
937.04

0.15 0.00

0.15 937.19
937.19
05592XAD2 BMWOT 2023-A A3 5.47
02/25/2028
07/12/2023
07/18/2023
40,000.00
39,995.29

0.00 0.00
39,995.40

36.47 182.33

0.12 0.00

3.875 08/01/2025
08/12/2024
08/13/2024
265,000.00
263,721.39

0.00 0.00
263,919.18
5,134.38
5,134.38
855.73
855.73
197.80

0.00 197.80
1,053.53
1,053.53
06406HDA4 BANK OF NEW YORK MELLON
CORP 3.0 02/24/2025
04/30/2024
05/02/2024

0.00 259,610.90

0.00 (260,000.00)

0.00 3,401.67
3,900.00

0.00 498.33
389.10

0.00 389.10
887.43
887.43
20030NBN0 COMCAST CORP 3.375
08/15/2025
07/22/2024
07/23/2024
260,000.00
257,611.35

0.00 0.00
257,954.34
4,046.25
4,387.50
390.00
731.25
342.99

0.00 342.99
1,074.24
1,074.24
24422EWJ4 JOHN DEERE CAPITAL CORP

4.05 09/08/2025
07/09/2024
07/10/2024
260,000.00
258,483.39

0.00 0.00
258,677.29
4,182.75

0.00 5,060.25
877.50
193.90

0.00 193.90
1,071.40
1,071.40
30231GAT9 EXXON MOBIL CORP 3.043
03/01/2026
06/08/2023
06/12/2023
500,000.00
492,521.92

0.00 0.00
493,054.71
6,339.58

0.00 7,607.50
1,267.92
532.79

0.00 532.79
1,800.71
1,800.71
3130ARF55 FEDERAL HOME LOAN BANKS

2.6 03/30/2027
03/30/2022
03/30/2022
3,000,000.00
3,000,000.00

0.00 0.00
3,000,000.00
26,216.67

0.00 32,716.67
6,500.00

0.00 0.00

0.00 6,500.00
6,500.00
3130ARFY2 FEDERAL HOME LOAN BANKS

3.0 04/14/2025
04/14/2022
04/14/2022
3,000,000.00
3,000,000.00

0.00 0.00
3,000,000.00
26,750.00

0.00 34,250.00
7,500.00

0.00 0.00

0.00 7,500.00
7,500.00
3130ARGD7 FEDERAL HOME LOAN BANKS

4.0 04/14/2025
04/14/2022
04/14/2022
3,000,000.00
3,000,000.00

0.00 0.00
3,000,000.00
35,666.67

0.00 45,666.67
10,000.00

0.00 0.00

0.00 10,000.00
10,000.00
3134GW6Z4

FEDERAL HOME LOAN
MORTGAGE CORP 0.48
05/29/2025
10/30/2020
10/30/2020
3,000,000.00
3,000,000.00

0.00 0.00
3,000,000.00
3,680.00

0.00 4,880.00
1,200.00

0.00 0.00

0.00 0.00
44,998.83
102.19
204.38
102.19
204.38

0.03 0.00

0.03 204.41
204.41
362955AD8 GMCAR 2025-1 A3 4.62
12/17/2029
01/09/2025
01/15/2025
85,000.00
84,993.74

0.00 0.00
84,993.84
174.53
359.98
163.63
349.07

0.10 0.00

0.10 349.17
349.17
379929AD4 GMALT 2023-3 A3 5.38
11/20/2026
08/08/2023
08/11/2023
45,000.00
44,997.03

0.00 0.00
44,997.16

73.98 201.75

0.13 0.00

0.13 201.88
201.88
47787CAC7 JDOT 2023-C A3 5.48
05/15/2028
09/12/2023
09/19/2023
195,000.00
194,990.55

0.00 0.00
194,990.77
474.93
890.50
474.93
890.50

0.22 0.00

0.22 890.72
890.72
48125LRU8 JPMORGAN CHASE BANK NA

5.11 12/08/2026
10/16/2024
10/17/2024
250,000.00
253,698.89

0.00 0.00
253,538.31
1,880.76

0.00 2,945.35
1,064.58

0.00 (160.57)
(160.57)
904.01
904.01
6174468C6 MORGAN STANLEY 4.0
07/23/2025
09/12/2024
09/13/2024
260,000.00
259,329.92

0.00 0.00
259,439.00
231.11

0.00 1,097.78
866.67
109.08

0.00 109.08
975.75
975.75
63743HFC1

NATIONAL RURAL UTILITIES

COOPERATIVE FINANCE CORP

1.875 02/07/2025
05/07/2024
05/09/2024

0.00 259,850.04

0.00 (260,000.00)

0.00 2,356.25
2,437.50

0.00 81.25
149.97

0.00 149.97
231.22
231.22
756109AV6 REALTY INCOME CORP 3.875
04/15/2025
05/14/2024
05/16/2024
260,000.00
259,148.74

0.00 0.00
259,475.25
2,966.53

0.00 3,806.11
839.58
326.51

0.00 326.51
1,166.09
1,166.09
828807CV7 SIMON PROPERTY GROUP LP

3.5 09/01/2025
12/16/2024
12/17/2024
275,000.00
273,208.07

0.00 0.00
273,444.74
4,010.42

0.00 4,812.50
802.08
236.67

5.103 01/09/2026
02/24/2025
02/25/2025
260,000.00

0.00 261,326.00

0.00 261,309.32

0.00 (1,695.33)
1,916.46
221.13

0.00 (16.68)
(16.68)
204.45
204.45
89236TGX7 TOYOTA MOTOR CREDIT
CORP 3.0 04/01/2025
04/30/2024
05/02/2024
260,000.00
258,978.56

0.00 0.00
259,463.31
2,600.00

0.00 3,250.00
650.00
484.75

0.00 484.75
1,134.75
1,134.75
912797KA4 UNITED STATES TREASURY
02/20/2025
09/24/2024
09/25/2024

0.00 324,254.28

0.00 (325,000.00)

0.00 0.00

0.00 745.72

0.00 745.72
745.72
745.72
912797LN5 UNITED STATES TREASURY
06/12/2025
12/16/2024
12/17/2024
420,000.00
413,607.75

0.00 0.00
414,974.03

0.00 0.00

0.00 0.00
1,366.28

0.00 1,366.28
1,366.28
1,366.28
912797MK0 UNITED STATES TREASURY
02/13/2025
08/19/2024
08/20/2024

0.00 224,640.90

0.00 (225,000.00)

0.00 0.00

0.00 359.10

0.00 359.10
359.10
359.10
912797MM6 UNITED STATES TREASURY
03/06/2025 575,000.00
572,713.25

0.00 0.00
574,653.52

0.00 0.00

0.00 0.00
1,940.27

0.00 1,940.27
1,940.27
1,940.27
912797NR4 UNITED STATES TREASURY
03/18/2025
11/18/2024
11/19/2024
600,000.00
596,705.63

0.00 0.00
598,755.46

0.00 0.00

0.00 0.00
2,049.83

0.00 2,049.83
2,049.83
2,049.83
912797NW3 UNITED STATES TREASURY
06/26/2025
01/21/2025
01/22/2025
350,000.00
344,113.00

0.00 0.00
345,249.80

0.00 0.00

0.00 0.00
1,136.80

0.00 1,136.80
1,136.80
1,136.80
912797NX1 UNITED STATES TREASURY
07/03/2025
01/06/2025
01/07/2025
250,000.00
245,637.92

0.00 0.00
246,441.46

0.00 0.00

0.00 0.00
803.54

0.00 0.00
344,408.61

0.00 0.00

0.00 0.00
1,134.49

0.00 1,134.49
1,134.49
1,134.49
912797PP6 UNITED STATES TREASURY
08/21/2025
02/24/2025
02/25/2025
500,000.00

0.00 489,695.65

0.00 489,928.52

0.00 0.00

0.00 0.00
232.87

0.00 232.87
232.87
232.87
91282CEU1 UNITED STATES TREASURY

2.875 06/15/2025
10/21/2024
10/22/2024
500,000.00
497,427.17

0.00 0.00
497,964.78
1,895.60

0.00 3,001.37
1,105.77
537.61

0.00 537.61
1,643.38
1,643.38
91282CFW6 UNITED STATES TREASURY 4.5
11/15/2025
12/30/2024
12/31/2024
400,000.00
400,773.17

0.00 0.00
400,697.74
3,878.45

0.00 5,270.72
1,392.27

0.00 (75.43)
(75.43)
1,316.83
1,316.83
91282CGA3 UNITED STATES TREASURY 4.0
12/15/2025
02/10/2025
02/11/2025
340,000.00

0.00 339,256.25

0.00 339,299.86

0.00 (2,167.03)
2,839.56
672.53

43.61 0.00

43.61 716.14
716.14
91282CGE5 UNITED STATES TREASURY

3.875 01/15/2026
06/08/2023
06/09/2023
500,000.00
498,220.38

0.00 0.00
498,363.56
909.88

0.00 2,408.49
1,498.62
143.19

0.00 143.19
1,641.81
1,641.81
Total Fixed Income 21,285,000.00
21,199,682.66
1,090,277.90
(1,070,000.00)
21,234,813.62
146,198.40
14,773.00
175,065.68
43,640.29
15,105.75
(252.68)
14,853.06
58,493.35 58,493.35
TOTAL PORTFOLIO 21,373,519.10
21,292,941.91
2,180,011.83
(2,164,140.26)
21,323,332.72
146,198.40
15,871.57
175,065.68
44,738.86
15,105.75
(252.68)
14,853.06
59,591.92 59,591.92
44421
CONFIDENTIAL | 18
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount MARCH 2025
03/06/2025 Final Maturity 912797MM6 575,000.00 UNITED STATES TREASURY 03/06/2025 575,000.00 575,000.00 03/10/2025 Coupon 24422EWJ4 260,000.00 JOHN DEERE CAPITAL CORP 4.05 09/08/2025 5,265.00 5,265.00 03/17/2025 Coupon 00440EAS6 250,000.00 CHUBB INA HOLDINGS LLC 3.15 03/15/2025 3,937.50 3,937.50 03/17/2025 Final Maturity 00440EAS6 250,000.00 CHUBB INA HOLDINGS LLC 3.15 03/15/2025 250,000.00 250,000.00 03/17/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2028 937.04 937.04 03/17/2025 Coupon 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 204.38 204.38 03/17/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 03/17/2025 Coupon 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 890.50 890.50 03/18/2025 Final Maturity 912797NR4 600,000.00 UNITED STATES TREASURY 03/18/2025 600,000.00 600,000.00 03/20/2025 Coupon 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 201.75 201.75 03/20/2025 Principal Paydown 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 2,567.50 2,567.50 03/25/2025 Coupon 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 182.33 182.33 03/25/2025 Principal Paydown 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 1,785.35 1,785.35 03/31/2025 Coupon 3130ARF55 3,000,000.00 FEDERAL HOME LOAN BANKS 2.6 03/30/2027 39,000.00 39,000.00 March 2025 Total 1,429,352.85 50,945.75 1,480,298.60
APRIL 2025
04/01/2025 Coupon 89236TGX7 260,000.00 TOYOTA MOTOR CREDIT CORP 3.0 04/01/2025 3,900.00 3,900.00 04/01/2025 Final Maturity 89236TGX7 260,000.00 TOYOTA MOTOR CREDIT CORP 3.0 04/01/2025 260,000.00 260,000.00 04/14/2025 Coupon 023135CE4 500,000.00 AMAZON.COM INC 3.0 04/13/2025 7,500.00 7,500.00 04/14/2025 Final Maturity 023135CE4 500,000.00 AMAZON.COM INC 3.0 04/13/2025 500,000.00 500,000.00 04/14/2025 Coupon 3130ARFY2 3,000,000.00 FEDERAL HOME LOAN BANKS 3.0 04/14/2025 45,000.00 45,000.00 04/14/2025 Final Maturity 3130ARFY2 3,000,000.00 FEDERAL HOME LOAN BANKS 3.0 04/14/2025 3,000,000.00 3,000,000.00 04/14/2025 Coupon 3130ARGD7 3,000,000.00 FEDERAL HOME LOAN BANKS 4.0 04/14/2025 60,000.00 60,000.00 04/14/2025 Final Maturity 3130ARGD7 3,000,000.00 FEDERAL HOME LOAN BANKS 4.0 04/14/2025 3,000,000.00 3,000,000.00 04/15/2025 Coupon 009158BB1 275,000.00 AIR PRODUCTS AND CHEMICALS INC 1.5 10/15/2025 2,062.50 2,062.50
04/15/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2028 937.04 937.04 04/15/2025 Coupon 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 890.50 890.50 04/15/2025 Coupon 756109AV6 260,000.00 REALTY INCOME CORP 3.875 04/15/2025 5,037.50 5,037.50 04/15/2025 Final Maturity 756109AV6 260,000.00 REALTY INCOME CORP 3.875 04/15/2025 260,000.00 260,000.00 04/16/2025 Coupon 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 204.38 204.38 44522
CONFIDENTIAL | 19
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount 04/16/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 04/21/2025 Coupon 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 190.24 190.24 04/21/2025 Principal Paydown 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 4,835.58 4,835.58 04/25/2025 Coupon 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 174.20 174.20 04/25/2025 Principal Paydown 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 2,466.01 2,466.01 04/29/2025 Coupon 3134GW6Z4 3,000,000.00 FEDERAL HOME LOAN MORTGAGE CORP 0.48 05/29/2025 7,200.00 7,200.00
April 2025 Total 7,027,301.59 133,423.60 7,160,725.19
MAY 2025
05/15/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2028 937.04 937.04 05/15/2025 Coupon 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 890.50 890.50 05/15/2025 Coupon 91282CFW6 400,000.00 UNITED STATES TREASURY 4.5 11/15/2025 9,000.00 9,000.00 05/16/2025 Coupon 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 204.38 204.38 05/16/2025 Principal Paydown 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 1,258.27 1,258.27 05/16/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 05/20/2025 Coupon 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 168.56 168.56 05/20/2025 Principal Paydown 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 6,028.36 6,028.36 05/26/2025 Coupon 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 162.95 162.95 05/26/2025 Principal Paydown 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 2,354.57 2,354.57 05/29/2025 Coupon 3134GW6Z4 3,000,000.00 FEDERAL HOME LOAN MORTGAGE CORP 0.48 05/29/2025 1,200.00 1,200.00
05/29/2025 Final Maturity 3134GW6Z4 3,000,000.00 FEDERAL HOME LOAN MORTGAGE CORP 0.48 05/29/2025 3,000,000.00 3,000,000.00
May 2025 Total 3,009,641.19 12,890.68 3,022,531.87
JUNE 2025
06/09/2025 Coupon 48125LRU8 250,000.00 JPMORGAN CHASE BANK NA 5.11 12/08/2026 6,387.50 6,387.50 06/12/2025 Final Maturity 912797LN5 420,000.00 UNITED STATES TREASURY 06/12/2025 420,000.00 420,000.00 06/16/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2028 937.04 937.04 06/16/2025 Coupon 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 198.66 198.66 06/16/2025 Principal Paydown 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 2,475.81 2,475.81 06/16/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 06/16/2025 Coupon 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 890.50 890.50 44623
CONFIDENTIAL | 20
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount 06/16/2025 Principal Paydown 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 8,489.29 8,489.29 06/16/2025 Coupon 91282CEU1 500,000.00 UNITED STATES TREASURY 2.875 06/15/2025 7,187.50 7,187.50 06/16/2025 Final Maturity 91282CEU1 500,000.00 UNITED STATES TREASURY 2.875 06/15/2025 500,000.00 500,000.00 06/16/2025 Coupon 91282CGA3 340,000.00 UNITED STATES TREASURY 4.0 12/15/2025 6,800.00 6,800.00 06/20/2025 Coupon 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 141.53 141.53 06/20/2025 Principal Paydown 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 5,472.62 5,472.62 06/25/2025 Coupon 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 152.22 152.22 06/25/2025 Principal Paydown 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 2,312.38 2,312.38 06/26/2025 Final Maturity 912797NW3 350,000.00 UNITED STATES TREASURY 06/26/2025 350,000.00 350,000.00 June 2025 Total 1,288,750.09 23,022.21 1,311,772.30
JULY 2025
07/03/2025 Final Maturity 912797NX1 250,000.00 UNITED STATES TREASURY 07/03/2025 250,000.00 250,000.00 07/09/2025 Coupon 89115A2K7 260,000.00 TORONTO-DOMINION BANK 5.103 01/09/2026 6,633.90 6,633.90 07/15/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2028 937.04 937.04 07/15/2025 Coupon 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 851.73 851.73 07/15/2025 Principal Paydown 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 13,528.75 13,528.75 07/15/2025 Coupon 91282CGE5 500,000.00 UNITED STATES TREASURY 3.875 01/15/2026 9,687.50 9,687.50 07/16/2025 Coupon 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 187.42 187.42 07/16/2025 Principal Paydown 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 2,491.32 2,491.32 07/16/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 07/17/2025 Final Maturity 912797PE1 350,000.00 UNITED STATES TREASURY 07/17/2025 350,000.00 350,000.00 07/21/2025 Coupon 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 117.00 117.00 07/21/2025 Principal Paydown 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 5,233.96 5,233.96 07/23/2025 Coupon 6174468C6 260,000.00 MORGAN STANLEY 4.0 07/23/2025 5,200.00 5,200.00 07/23/2025 Final Maturity 6174468C6 260,000.00 MORGAN STANLEY 4.0 07/23/2025 260,000.00 260,000.00 07/25/2025 Coupon 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 141.68 141.68 07/25/2025 Principal Paydown 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 2,263.63 2,263.63 July 2025 Total 883,517.65 24,083.52 907,601.17
AUGUST 2025
08/01/2025 Coupon 06051GFS3 265,000.00 BANK OF AMERICA CORP 3.875 08/01/2025 5,134.38 5,134.38 08/01/2025 Final Maturity 06051GFS3 265,000.00 BANK OF AMERICA CORP 3.875 08/01/2025 265,000.00 265,000.00 08/15/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2028 937.04 937.04 44724
CONFIDENTIAL | 21
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount 08/15/2025 Coupon 20030NBN0 260,000.00 COMCAST CORP 3.375 08/15/2025 4,387.50 4,387.50 08/15/2025 Final Maturity 20030NBN0 260,000.00 COMCAST CORP 3.375 08/15/2025 260,000.00 260,000.00 08/15/2025 Coupon 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 789.95 789.95 08/15/2025 Principal Paydown 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 10,344.43 10,344.43 08/18/2025 Coupon 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 176.10 176.10 08/18/2025 Principal Paydown 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 2,417.55 2,417.55 08/18/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 08/20/2025 Coupon 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 93.53 93.53 08/20/2025 Principal Paydown 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 4,999.91 4,999.91 08/21/2025 Final Maturity 912797PP6 500,000.00 UNITED STATES TREASURY 08/21/2025 500,000.00 500,000.00 08/25/2025 Coupon 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 131.36 131.36 08/25/2025 Principal Paydown 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 2,195.95 2,195.95 August 2025 Total 1,044,957.84 11,977.11 1,056,934.95
SEPTEMBER 2025
09/02/2025 Coupon 30231GAT9 500,000.00 EXXON MOBIL CORP 3.043 03/01/2026 7,607.50 7,607.50 09/02/2025 Coupon 828807CV7 275,000.00 SIMON PROPERTY GROUP LP 3.5 09/01/2025 4,812.50 4,812.50 09/02/2025 Final Maturity 828807CV7 275,000.00 SIMON PROPERTY GROUP LP 3.5 09/01/2025 275,000.00 275,000.00 09/08/2025 Coupon 24422EWJ4 260,000.00 JOHN DEERE CAPITAL CORP 4.05 09/08/2025 5,265.00 5,265.00 09/08/2025 Final Maturity 24422EWJ4 260,000.00 JOHN DEERE CAPITAL CORP 4.05 09/08/2025 260,000.00 260,000.00 09/15/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2028 937.04 937.04 09/15/2025 Coupon 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 742.71 742.71 09/15/2025 Principal Paydown 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 8,214.74 8,214.74 09/16/2025 Coupon 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 165.12 165.12 09/16/2025 Principal Paydown 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 2,371.80 2,371.80 09/16/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 09/22/2025 Coupon 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 71.12 71.12 09/22/2025 Principal Paydown 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 5,756.33 5,756.33 09/25/2025 Coupon 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 121.35 121.35 09/25/2025 Principal Paydown 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 2,150.79 2,150.79 09/30/2025 Coupon 3130ARF55 3,000,000.00 FEDERAL HOME LOAN BANKS 2.6 03/30/2027 39,000.00 39,000.00 September 2025
Total 553,493.66 59,049.59 612,543.25
44825
CONFIDENTIAL | 22
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount OCTOBER 2025
10/15/2025 Coupon 009158BB1 275,000.00 AIR PRODUCTS AND CHEMICALS INC 1.5 10/15/2025 2,062.50 2,062.50
10/15/2025 Final Maturity 009158BB1 275,000.00 AIR PRODUCTS AND CHEMICALS INC 1.5 10/15/2025 275,000.00 275,000.00
10/15/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2028 937.04 937.04 10/15/2025 Coupon 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 705.20 705.20 10/15/2025 Principal Paydown 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 9,599.79 9,599.79 10/16/2025 Coupon 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 154.35 154.35 10/16/2025 Principal Paydown 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 2,272.82 2,272.82 10/16/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 10/20/2025 Coupon 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 45.31 45.31 10/20/2025 Principal Paydown 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 5,386.48 5,386.48 10/27/2025 Coupon 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 111.55 111.55 10/27/2025 Principal Paydown 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 1,995.66 1,995.66 October 2025
Total 294,254.76 4,343.19 298,597.95
NOVEMBER 2025
11/17/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2028 937.04 937.04 11/17/2025 Coupon 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 144.03 144.03 11/17/2025 Principal Paydown 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 2,221.11 2,221.11 11/17/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 11/17/2025 Coupon 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 661.36 661.36 11/17/2025 Principal Paydown 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 10,286.63 10,286.63 11/17/2025 Coupon 91282CFW6 400,000.00 UNITED STATES TREASURY 4.5 11/15/2025 9,000.00 9,000.00 11/17/2025 Final Maturity 91282CFW6 400,000.00 UNITED STATES TREASURY 4.5 11/15/2025 400,000.00 400,000.00 11/20/2025 Coupon 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 21.16 21.16 11/20/2025 Effective Maturity 379929AD4 45,000.00 GMALT 2023-3 A3 5.38 11/20/2026 4,719.27 4,719.27 11/25/2025 Coupon 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 102.45 102.45 11/25/2025 Principal Paydown 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 1,788.91 1,788.91 November 2025
Total 419,015.91 11,193.29 430,209.20
44926
CONFIDENTIAL | 23
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount DECEMBER 2025
12/08/2025 Coupon 48125LRU8 250,000.00 JPMORGAN CHASE BANK NA 5.11 12/08/2026 6,387.50 6,387.50 12/15/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2028 937.04 937.04 12/15/2025 Coupon 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 614.38 614.38 12/15/2025 Principal Paydown 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 7,642.07 7,642.07 12/15/2025 Coupon 91282CGA3 340,000.00 UNITED STATES TREASURY 4.0 12/15/2025 6,800.00 6,800.00 12/15/2025 Final Maturity 91282CGA3 340,000.00 UNITED STATES TREASURY 4.0 12/15/2025 340,000.00 340,000.00 12/16/2025 Coupon 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 133.94 133.94 12/16/2025 Principal Paydown 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 1,901.72 1,901.72 12/16/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 12/25/2025 Coupon 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 94.30 94.30 12/25/2025 Principal Paydown 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 1,700.70 1,700.70 December 2025
Total 351,244.49 15,294.41 366,538.90
JANUARY 2026
01/09/2026 Coupon 89115A2K7 260,000.00 TORONTO-DOMINION BANK 5.103 01/09/2026 6,633.90 6,633.90 01/09/2026 Final Maturity 89115A2K7 260,000.00 TORONTO-DOMINION BANK 5.103 01/09/2026 260,000.00 260,000.00 01/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2028 937.04 937.04 01/15/2026 Coupon 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 579.48 579.48 01/15/2026 Principal Paydown 47787CAC7 195,000.00 JDOT 2023-C A3 5.48 05/15/2028 11,053.63 11,053.63 01/15/2026 Coupon 91282CGE5 500,000.00 UNITED STATES TREASURY 3.875 01/15/2026 9,687.50 9,687.50 01/15/2026 Final Maturity 91282CGE5 500,000.00 UNITED STATES TREASURY 3.875 01/15/2026 500,000.00 500,000.00 01/16/2026 Coupon 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 125.30 125.30 01/16/2026 Principal Paydown 36267KAD9 45,000.00 GMCAR 2023-3 A3 5.45 06/16/2028 1,868.03 1,868.03 01/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 01/26/2026 Coupon 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 86.54 86.54 01/26/2026 Principal Paydown 05592XAD2 40,000.00 BMWOT 2023-A A3 5.47 02/25/2028 1,670.04 1,670.04 January 2026 Total 774,591.70 18,377.02 792,968.72
Grand Total 52,405,000.00 17,076,121.73 364,600.38 17,440,722.10 45027
CONFIDENTIAL | 24
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

IMPORTANT DISCLOSURES
Chandler Asset Management, Inc. (“Chandler”) is an SEC registered investment adviser. For additional information about our firm, please see our current disclosures (Form ADV).

To obtain a copy of our current disclosures, you may contact your client service representative by calling the number on the front of this statement or you may visit our website at www.chandlerasset.com.

Information contained in this monthly statement is confidential and is provided for informational purposes only and should not be construed as specific investment or legal advice. The information contained herein was obtained from sources believed to be reliable as of the date of this statement, but may become outdated or superseded at any time without notice.

Custody: Your qualified custodian bank maintains control of all assets reflected in this statement and we urge you to compare this statement to the one you receive from your qualified custodian. Chandler does not have any authority to withdraw or deposit funds from/to the custodian account.

Valuation: Prices are provided by IDC, an independent pricing source. In the event IDC does not provide a price or if the price provided is not reflective of fair market value, Chandler will obtain pricing from an alternative approved third party pricing source in accordance with our written valuation policy and procedures. Our valuation procedures are also disclosed in Item 5 of our Form ADV Part 2A.

Performance: Performance results are presented gross-of-advisory fees and represent the client’s Total Return. The deduction of advisory fees lowers performance results. These results include the reinvestment of dividends and other earnings. Past performance may not be indicative of future results. Therefore, clients should not assume that future performance of any specific investment or investment strategy will be profitable or equal to past performance levels. All investment strategies have the potential for profit or loss. Economic factors, market conditions or changes in investment strategies, contributions or withdrawals may materially alter the performance and results of your portfolio.

Source ICE Data Indices, LLC (“ICE”), used with permission. ICE PERMITS USE OF THE ICE INDICES AND RELATED DATA ON AN “AS IS” BASIS; ICE, ITS AFFILIATES AND

THEIR RESPECTIVE THIRD PARTY SUPPLIERS DISCLAIM ANY AND ALL WARRANTIES AND REPRESENTATIONS, EXPRESS AND/OR IMPLIED, INCLUDING ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, INCLUDING THE INDICES, INDEX DATA AND ANY DATA INCLUDED IN, RELATED TO, OR DERIVED THEREFROM.

NEITHER ICE DATA, ITS AFFILIATES OR THEIR RESPECTIVE THIRD PARTY PROVIDERS GUARANTEE THE QUALITY, ADEQUACY, ACCURACY, TIMELINESS OR COMPLETENESS OF THE INDICES OR THE INDEX DATA OR ANY COMPONENT THEREOF, AND THE INDICES AND INDEX DATA AND ALL COMPONENTS THEREOF ARE PROVIDED ON AN “AS IS” BASIS AND LICENSEE’S USE IS AT LICENSEE’S OWN RISK. ICE DATA, ITS AFFILIATES AND THEIR RESPECTIVE THIRD PARTY DO NOT SPONSOR, ENDORSE, OR RECOMMEND CHANDLER, OR ANY OF ITS PRODUCTS OR SERVICES.

Index returns assume reinvestment of all distributions. Historical performance results for investment indexes generally do not reflect the deduction of transaction and/or custodial charges or the deduction of an investment management fee, the incurrence of which would have the effect of decreasing historical performance results. It is not possible to invest directly in an index.

Ratings: Ratings information have been provided by Moody’s, S&P and Fitch through data feeds we believe to be reliable as of the date of this statement, however we cannot guarantee its accuracy.

Security level ratings for U.S. Agency issued mortgage-backed securities (“MBS”) reflect the issuer rating because the securities themselves are not rated. The issuing U.S. Agency guarantees the full and timely payment of both principal and interest and carries a high rating by S&P, Moody’s and Fitch respectively. 45128
CONFIDENTIAL | 25
City of Banning | Account #11089 | As of February 28, 2025 Execution Time: 03/04/2025 01:59:29 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

BENCHMARK INDEX & DISCLOSURES
Benchmark Disclosure
ICE BofA 0-1 Yr US Treasury Index
The ICE BAML 0-1 Year US Treasury Index tracks the performance of US Dollar denominated Sovereign debt publically issued by the US government in its domestic market with maturities less than two years. Qualifying securities must haveat least one month and less than one years remaining term to final maturity, a fixed coupon schedule and a minimum amount outstanding of $1 billion. (Index: G0QA.

Please visit www.mlindex.ml.com for more information)
45229
Carrying Cost Plus
Description Accrued Interest Purch. Fair Value Accrued Interest United States Treasury:

Bills $ 39,875,097,778.62 $ 40,262,411,768.50 NA
Notes $ 43,246,461,455.19 $ 43,349,665,677.00 $ 351,109,755.50 Federal Agency:

SBA $ 212,841,361.59 $ 214,362,681.26 $ 941,499.05
MBS-REMICs $ 1,187,711.83 $ 1,175,922.60 $ 5,181.29
Debentures $ 7,376,297,383.29 $ 7,364,904,300.00 $ 87,236,357.50 Debentures FR $ - $ - $ -
Debentures CL $ 2,650,000,000.00 $ 2,653,351,000.00 $ 33,260,908.00 Discount Notes $ 29,506,976,618.08 $ 29,836,034,500.00 NA Supranational Debentures $ 3,143,641,256.75 $ 3,135,707,000.00 $ 29,120,627.00 Supranational Debentures FR $ - $ - $ -
CDs and YCDs FR $ - $ - $ -
Bank Notes
CDs and YCDs $ 14,450,000,000.00 $ 14,449,207,094.59 $ 184,331,090.32 Commercial Paper $ 10,144,454,527.73 $ 10,268,769,222.26 NA Corporate:

Bonds FR $ - $ - $ -
Bonds $ 890,209,708.25 $ 884,909,515.00 $ 8,117,375.40
Repurchase Agreements $ - $ - $ -
Reverse Repurchase $ - $ - $ -
Time Deposits $ 5,074,500,000.00 $ 5,074,500,000.00 NA
PMIA & GF Loans $ 225,114,000.00 $ 225,114,000.00 NA
TOTAL $ 156,796,781,801.33 $ 157,720,112,681.21 $ 694,122,794.06 Fair Value Including Accrued Interest $ 158,414,235,475.27 Repurchase Agreements, Time Deposits, PMIA & General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost).

State of California
Pooled Money Investment Account
Market Valuation
2/28/2025
45330
February 4.333
January 4.366
December 4.434
November 4.477
October 4.518
September 4.575
LAIF Apportionment Rate(2): 4.62
LAIF Earnings Ratio(2): 0.00012664187216722
LAIF Administrative Cost(1)*: 0.28
PMIA Average Life(1): 252
LAIF Fair Value Factor(1): 0.999621985
PMIA Daily(1): 4.40
PMIA Quarter to Date(1): 4.48
Treasuries

55.64%
Agencies

25.57%
Certificates of
Deposit/Bank Notes

8.84%
Time
Deposits

3.11%
Commercial
Paper

6.17%
Corporate
Bonds

0.55%
Loans

0.12%
Notes: The apportionment rate includes interest earned on the CalPERS Supplemental Pension Payment pursuant to Government Code 20825 (c)(1) and interest earned on the Wildfire Fund loan pursuant to Public Utility Code 3288 (a). *The percentage of administrative cost equals the total administrative cost divided by the quarterly interest earnings. The law provides that administrative costs are not to exceed 5% of quarterly EARNINGS of the fund. However, if the 13-week Daily Treasury Bill Rate on the last day of the fiscal year is below 1%, then administrative costs shall not exceed 8% of quarterly EARNINGS of the fund for the subsequent fiscal year.

Source:
(1) State of California, Office of the Treasurer
(2) State of California, Office of the Controller
PMIA Average Monthly
Effective Yields(1)
PMIA/LAIF Performance Report
as of 03/05/25
Daily rates are now available here. View PMIA Daily Rates Quarterly Performance
Quarter Ended 12/31/24
Chart does not include $1,213,000.00 in mortgages, which equates to 0.001%. Percentages may not total 100% due to rounding.

Pooled Money Investment Account
Monthly Portfolio Composition (1)
1/31/25
$162.9 billion
45431

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Arturo Vela, Acting City Manager
PREPARED BY: Nicole Jews, Human Resources Manager
Art Vela, Acting City Manager
MEETING DATE: September 9, 2025
SUBJECT:

Consideration of Resolution 2025-121, Amending the Classification & Compensation Plan for the City of Banning Related to the Finance Director and Human Resources Director Positions
RECOMMENDATION:

Adopt Resolution 2025-121.

BACKGROUND:

We have two critical vacancies in two executive level positions, Finance Director and Human Resources Director that are highly needed right now given the challenges we are currently facing as a City.

We are well along with the Finance Director recruitment and there is a substantial dearth of qualified applicants that our Executive Recruiter (“Recruiter”) has seen since our last check in. The Recruiter has mentioned that our current salary is not competitive with the ever-changing labor market. The Human Resources Director is a new position recently created by Council action and we are in the midst of a recruitment for this position as well.

It is critical that we adopt a more current salary schedule now for these positions to improve our chances of attracting qualified applicants.

We presented new salary recommendations at your August 26th meeting and the Council chose not to approve those at the time.

The two comments we heard were: 1) questions about including Riverside and Colton in the survey and 2) some would like to see the salaries for other City Directors.

Since we used the same comparators that were used in our last City-wide Classification and Compensation study, we are hesitant to deviate from this City-wide practice. This may cause unintended compaction issues between Directors and subordinates.

Nonetheless, it would be appropriate to have a discussion around our City-wide compensation philosophies and methods with your Council, given this was all designed before the current Council had been seated.
455
However, time is of the essence for these two key positions. As a result, we have modified our recommendation to reflect possible Council concerns. We will facilitate a more comprehensive conversation about our City-wide compensation practices at a later date.

The key decisions that we made to develop this new recommendation include the following:

1. We don’t think we should pull Riverside and Colton from our compensation surveys because it leaves too small of a remaining survey pool, only four comparators as an indicator of the labor market.

2. However, rather than allow Riverside and Colton to pull the average salary up, we think the survey median is a more appropriate data point to use rather than the average. This lessens the impact of these two cities on the overall survey.

3. We also added five (5) more cities to the survey. We think this gives a more comprehensive view of the labor market.

4. Finally, we surveyed only for the top step in the respective pay ranges. This is the best apples-toapples comparison.

We have provided 2 options, Option 1 with the original comparators that we presented on August 26th, but with the survey Median and Average. And then we added an Option 2, which includes additional comparators. We also listed the current top steps for other Banning Directors at the bottom of the attachments.

The Finance Director salary data is in Attachment A. The Human Resources Director data is in Attachment B. We have highlighted in yellow our recommended salary.

Finally, since we use predesignated Pay Ranges or Grades, we assigned the Pay Grade that most closely resembles our recommendation on the top step from the survey.

JUSTIFICATION:

We are using common compensation practices that is similarly practiced throughout the public sector labor market. Our underlying goal is to simply remove our salary as a barrier to getting or keeping qualified employees.

We think the median salary of our survey is justified.

FISCAL IMPACT:

Finance Director
The current Pay Grade is D01 with a pay range of $159,401 to $215,650. Our recommendation is to use the median of the larger survey pool (Option #2) or $240,682 as the target salary. Thus, we recommend Pay Grade D06 with a range of $180,348 to $243,989, which amounts to an increase to the base wage of $20,947 to $28,339.

The next lowest Pay Grade (D05) would be $175,949 to $238,038.

Human Resources Director
The current Pay Grade is D01 with a pay range of $159,401 to $215,650. Our recommendation is to use the median of the larger survey pool (Option #2) or $219,660 as the target salary. Thus, we recommend Pay Grade D02 with a range of $163,387 to $221,043, which amounts to an increase to the base wage of $3,986 to $5,393.

The next lowest Pay Grade (D01) would be $159,401 to $215,650.

ALTERNATIVES:

Do not adopt Resolution 2025-121 and provide alternative direction to staff. 456
BUDGETED?:

No
CONTRACT/AGREEMENT:

No
ATTACHMENTS:

1. Finance Director Determination.pdf

2. HR Director Determination.pdf

3. Resolution 2025-121.docx
457
Finance Director Salary Determination ATTACHMENT 1
Sep-25 Top of the
Pay Range
Option #1
Riverside Finance Director 306,816 $
La Quinta Fin. Dir. & City Treasurer 216,313 $
Coachella Finance Director 236,185 $
Palm Springs Fin. Dir. & City Treasurer 241,380 $
Colton Finance Director 263,636 $
Corona Fin. Dir $ Risk Mgmt. 235,573 $
Median 239,008 $
Average 249,984 $
Median without Riverside & Colton--survey pool too small 236,410 $ Average without Riverside & Colton--survey pool too small 232,363 $ Option #2
Riverside Finance Director 306,816 $
La Quinta Fin. Dir. & City Treasurer 216,313 $
Coachella Finance Director 236,185 $
Palm Springs Fin. Dir. & City Treasurer 241,380 $
Colton Finance Director 263,636 $
Corona Fin. Dir $ Risk Mgmt. 235,573 $
Palm Desert Fin. Dir. & Treasurer 249,642 $
Yucaipa Finance Director 240,153 $
Beaumont Finance Director 218,920 $
Menifee Finance Director 249,557 $
Indio Finance Director 240,682 $
Median with larger survey pool 240,682 $
Average with larger pool 245,351 $
Banning Department Heads
Public Works Director 282,953 $
Police Chief 248,769 $
Parks and Recreation Director 215,650 $
Community Development Director 215,650 $
458
Human Resources Director Salary Determination ATTACHMENT 2 Sep-25 Top of the
Pay Range
Option #1
Riverside HR Director 306,816 $
La Quinta HR Director 216,313 $
Coachella HR Manager 186,560 $
Palm Springs HR Director 208,296 $
Colton HR Director 236,636 $
Corona Chief Talent Officer 222,997 $
Azusa No Match
Median 222,997 $
Average 229,603 $
Median without Riverside & Colton--survey pool too small 216,313 $ Average without Riverside & Colton--survey pool too small 208,623 $ Option #2
Riverside HR Director 306,816 $
La Quinta HR Director 216,313 $
Coachella HR Manager 186,560 $
Palm Springs HR Director 208,296 $
Colton HR Director 236,636 $
Corona Chief Talent Officer 222,997 $
Palm Desert HR Director 209,997 $
Yucaipa Dir. Of HR & Risk Mgmt 161,773 $
Beaumont no comparison N/A
Menifee HR Director 249,557 $
Indio Dir. Of HR & Risk Mgmt 240,612 $
Median with larger survey pool 219,660 $
Average with larger pool 223,956 $
Banning Department Heads
Public Works Director 282,953 $
Police Chief 248,769 $
Parks and Recreation Director 215,650 $
Community Development Director 215,650 $
459
Resolution 2025-121

Page 1 of 3 ends

RESOLUTION 2025-121

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

AMENDING THE CLASSIFICATION & COMPENSATION PLAN FOR THE CITY OF BANNING WHEREAS, there are two critical vacancies in two executive level positions, Finance Director and Human Resources Director; and
WHEREAS, the City is utilizing the services of an Executive Recruitment (“Recruiter”) firm to assist in recruiting for both positions. The Recruiter has opined that the current salaries for both positions are non-competitive and recommends increasing the salaries in order to increase the chances of attracting qualified applicants; and
WHEREAS, a recommendation for proposed salaries for the two executive positions have been made by considering the median of a survey pool of surrounding cities.

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

SECTION 1. That the City Council approve the following position salary changes to the effective Fiscal Year 2025-2026 classification and compensation plan:
 Finance Director (Financial Services Group) – Grade D06 ($180,348 to $243,989)  Human Resources Director (Human Resources Group) – Grade D02 ($163,387 to $221,043)
SECTION 2. The City Council approves the salary revisions for the Finance Director and Human Resources Director positions effective Fiscal Year 2025-2026.

SECTION 3. The City Council authorizes the City Manager, or designee, to make necessary budget adjustments, appropriations, and transfers related to this resolution.

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 9th day of September 2025.

Sheri Flynn, Mayor
City of Banning
ATTEST:
460
Resolution 2025-121

Page 2 of 3 ends

Sandra Calderon,
Acting Administrative City Clerk
City of Banning
APPROVED AS TO FORM:

John Pinkey, City Attorney
Slovak, Baron, Empey, Murphy & Pinkney,
LLP
461
Resolution 2025-121

Page 3 of 3 ends

CERTIFICATION:

I, Sandra Calderon, Acting Administrative City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2025-121, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 9th day of September 2025 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Sandra Calderon,
Acting Administrative City Clerk
City of Banning, California
462

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Arturo Vela, Acting City Manager
PREPARED BY: Nate Smith, Deputy Director of Public Works/City Engineer MEETING DATE: September 9, 2025
SUBJECT: Consideration of Resolution 2025-124, Approving Amendment No. 4 to the Professional Services Agreement with Engineering Resources of Southern California for an additional $500,000 for Plan Check, Inspections and Related Administrative Services
RECOMMENDATION:

Adopt Resolution 2025-124
BACKGROUND:

On May 9, 2023 City Council approved Resolution 2023-88, “Awarding a Professional Services Agreement to Engineering Resources of Southern California (ERSC) in the Amount of $550,000 for Plan Check, Inspection and related Administrative Services through Fiscal Year 2023/24 with the Option to Renew for Four Additional Single Years” after a competitive open bid process. ERSC has continued to provide a high-level quality of service and reliable and consistent plan check and inspection services to the City during the contract. The consistent and reliable services have provided continuity to development projects in process with the Public Works Department throughout this time, including construction inspection services ensuring that development installs City infrastructure consistent with City standards.

On January 9, 2024, the City Council adopted Resolution No. 2024-08 approving Amendment No. 1 to the professional services agreement with ERSC for an additional $450,000 for plan check, inspections and related administrative services.

On April 9, 2024, the City Council adopted Resolution No. 2024-53 approving Amendment No. 2 to the professional services agreement with ERSC for an additional $900,000 for plan check, inspections and related administrative services and to extend the agreement to through June 30, 2025.

On December 10, 2024, the City Council adopted Resolution 2025-198 approving Amendment No. 3 to the professional services agreement with ERSC for an additional $1,000,000 for plan check, inspections, and related administrative services.

ERSC primarily provides plan check and inspection services to the Atwell project, and that project’s vast onsite and offsite civil improvements. They will also provide primary plan check services for the Rancho San Gorgonio project as they prepare entitlement documents and final engineering/construction drawings.

All plan check and inspection fees are pass through user fees. The Public Works Department assesses plan check and inspection fees to tract home developers based on City Council approved rates. With the 463
allocation considered in Amendment No. 4, Public Works staff will not authorize ERSC to commence with work until the user fees have been collected for said work. In the event that development activities stops within the Atwell project, the user fees will not be collected, work will not be authorized, plan check and inspection services will not be initiated, and the full requested amount in Amendment No. 4 will not be utilized.

JUSTIFICATION:

ERSC was awarded a Professional Services Agreement to provide the required services with Resolution 2023-088. Prior to the award of this contract, an RFP was put out for open competitive bid. A review committee deemed that ERSC was the highest ranking bidder for the project.

ERSC has provided a high-level service for both plan check and inspection services from any of the vendors contracted by the City to provide similar services. The plan check services have been the most consistent, and staff at ERSC is regularly in contact with City identifying concerns and ensuring that developers prepare plans consistent with City Standards. The inspections team works as an extension of City staff, providing inspection services, support and backup to ensure that contractor submitted change orders are justified, and participates in meetings ensuring that the City’s interests are met.

The Public Works Department does not have the staff resources to complete services currently provided by ERSC.

FISCAL IMPACT:

If approved, Amendment No. 4 would increase the Professional Services Agreement with ERSC to a “not to exceed” amount of $3,400,000. Amendment No. 4 would require an appropriation of $500,000 from the General Fund to Account No. 001-3000-442.33-53 would be required to cover continued plan check and inspection services.

The expenditures funded by the General Fund will be recovered by plan check and inspection user fees paid by the developers. No expenditures would be incurred until said fees are collected by the Public Works Department.

ALTERNATIVES:

Do Not Approve Resolution 2025-124 and provide alternative direction to staff. If the resolution is not approved, the City will need to cease inspection services through ERSC, which would slow or stop these services impacting continued development at the Atwell project in the intervening time between this action and when the City is able to run through the required process to comply with the alternative direction given.

BUDGETED?:

Yes
CONTRACT/AGREEMENT:

Yes
ATTACHMENTS:

1. Resolution 2025-124 - ERSC Amendment No. 4.docx

2. Att 1 - SR and Reso 2023-088.pdf

3. Att 2 - SR and Reso 2024-08 ERSC Amendment 1.pdf

4. Att 3 - SR and Reso 2024-54 ERSC Amendment 2.pdf

5. Att 4 - SR and Reso 2024-198 ERSC Amendment 3.pdf

6. Amendment No.4 to PSA Plan Check and Insp.docx
464
Resolution 2025-124

Page 1 of 4 ends

RESOLUTION 2025-124

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA, APPROVING AMENDMENT NO. 4 TO THE PROFESSIONAL SERVICES AGREEMENT WITH ENGINEERING RESOURCES OF SOUTHERN CALIFORNIA FOR AN ADDITIONAL $500,000

FOR PLAN CHECK, INSPECTIONS AND RELATED ADMINISTRATIVE SERVICES WHEREAS, the Public Works Department administers an array of services including management of capital improvement and infrastructure projects related to the design and construction of water, wastewater, streets, storm drain and building infrastructure; and WHEREAS, as part of these responsibilities, staff manages public works projects related to private development and determined a need for additional resources in consideration of the current and anticipated increases in workload related to future private land development activities in order to maintain an acceptable level of service; and WHEREAS, on May 9, 2023, the City Council of the City of Banning adopted Resolution No. 2023-88 awarding a professional services agreement to Engineering Resources of Southern California (ERSC) in the amount of $550,000 for plan checks, inspections and related administrative services; and
WHEREAS, on January 9, 2024, the City Council adopted Resolution No. 2024-08 approving Amendment No. 1 to the professional services agreement with ERSC for an additional $450,000 for plan check, inspections and related administrative services; and WHEREAS, on April 9, 2024, the City Council adopted Resolution No. 2024-53 approving Amendment No. 2 to the professional services agreement with ERSC for an additional $900,000 for plan check, inspections and related administrative services and to extend the agreement to through June 30, 2025; and
WHEREAS, on December 10, 2024, the City Council adopted Resolution No. 2024-198 approving Amendment No. 3 to the professional services agreement with ERSC for an additional $1,000,000 for plan check, inspections and related administrative services; and WHEREAS, funds allocated to the current professional services agreement with ERSC will be exhausted as current authorized work is completed; and WHEREAS, the Public Works Department anticipated inspection fees for additional land development at Atwell and other projects throughout the City between now and the end of the fiscal year; and
WHEREAS, the amount of plan checks and inspections related to the Atwell Development have exceeded staff’s expectations and has resulted in a need to increase the Professional Services Agreement with ERSC by $500,000 in order to continue receiving their services; and, WHEREAS, an appropriation from the General Fund in the amount of $500,000 to Account No. 001-3000-442.33-53 is required to fund Amendment No. 4 and will be directly offset by revenues collected from plan check and inspection fees collected by the Public Works Department.
465
Resolution 2025-124

Page 2 of 4 ends

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

SECTION 1. The City Council approves Amendment No. 4 to the Professional Services Agreement with Engineering Resources of Southern California in the amount of $500,000 for an amended not-to-exceed contract amount of $3,400,000.

SECTION 2. The City Council authorizes the City Manager to make non-substantive changes to Amendment No. 4 and to execute Amendment No. 4 with Engineering Resources of Southern California on behalf of the City Council.

SECTION 3. The City Council authorizes the City Manager, or designee, to make necessary budget adjustments, appropriations, and transfers related to this resolution.

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 9th day of September 2025.

Sheri Flynn, Mayor
City of Banning
ATTEST:

Sandra Calderon, Acting Administrative
City Clerk
City of Banning

APPROVED AS TO FORM AND
LEGAL CONTENT:

John Pinkney, City Attorney
466
Resolution 2025-124

Page 3 of 4 ends

CERTIFICATION:

I, Sandra Calderon, Acting Administrative City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2025-124, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 9th day of September 2025 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Sandra Calderon, Acting Administrative City
Clerk
City of Banning, California
467
Resolution 2025-124

Page 4 of 4 ends

EXHIBIT A
Amendment No. 4
468

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Art Vela, Director of Public Works
Kevin Sin, Senior Civil Engineer
MEETING DATE: May 9, 2023
SUBJECT: Consideration of Resolution 2023- 88, Awarding a Professional Services Agreement to Engineering
Resources of Southern California ( ERSC) in the Amount of 550,000 for Plan Check, Inspection and related Administrative Services through Fiscal Year 2023/ 24 with the Option to Renew for Four Additional Single Years
RECOMMENDATION:

Staff recommends that the City Council adopt Resolution 2023-77:

1. Approving the award of a Professional Services Agreement to Engineering Resources of Southern California ( ERSC) in the amount of $550,000 for services as needed including Plan Check, Inspection and related Administrative Services through June 30, 2024 with the option to renew for four (4) additional single years.

2. Authorizing the City Manager or his designee to make necessary budget adjustments, appropriations and transfers related to the Professional Services Agreement with ERSC.

3. Authorizing the City Manager or his designee to execute the Professional Services Agreement with ERSC valid through June 30, 2024 with the option to renew for four (4) additional signal years.

BACKGROUND:

The Public Works Department, currently staffed with three full-time engineers and one inspector, administers an array of services including management of capital improvement and infrastructure projects related to the design and construction of water, wastewater, streets, storm drain and building infrastructure. In addition to managing public works projects, staff is also responsible for processing private land development projects related to Public Works responsibilities ( e.g. infrastructure, grading, storm water, etc.). Due to current and anticipated upcoming workloads related to private development ( e.g. Atwell, Rancho San Gorgonio) the need to establish an agreement with a firm to continue providing plan check, inspection and related administrative services is necessary in order to maintain an acceptable level service.
39 469
Staff Report: Resolution 2023-88, Award Plan Check Services May 9, 2023

Page 2 of 3 ends

On January 4, 2023, a Request for Proposals ( RFP) was released through the OpenGov ProcureNow, the City’s online bidding system notifying qualified firms of the opportunity.

The deadline to submit proposals was February 6, 2023 and five (5) firms responded with submittals.

The scope of services requested for plan checking includes, but is not limited to street, sewer, water, grading and storm drain projects for residential and non-residential projects; responses to staff and applicants regarding permits; and preparation of conditions of approval. The inspection services scope requires inspectors to work under the direction of the Public Works Director and/or assigned staff to provide construction inspections services before, during and after construction insuring conformance with Federal, State and City statutes while maintaining appropriate records.

A three- person proposal evaluation committee consisting of three (3) City staff members evaluated the five ( 5) proposals that were received based on qualifications, experience of key personnel, approaches in providing services, and rates.

Listed below are the five (5) firms that submitted proposals in order of average score:

CONSULTANT AVERAGE SCORE
Engineering Resources of Southern California ( ERSC) 90.75 Willdan 86.17
Bureau Veritas North America, Inc. 84.00
Transtech Engineers, Inc. 82.05
Albert A. Webb and Associates 74.50
As a result, staff recommends the award of a professional service agreement to the highest ranked firm, ERSC, with a recommended award amount of $550,000. If awarded, the Professional Services Agreement will be for plan check, inspection and related administrative services on an as needed basis valid through June 30, 2024 with the option to renew for four (4) additional single years.

JUSTIFICATION:

Due to current and an anticipated workload related to private land development activities, the Public Works Department has recognized a need for additional resources to provide plan check and inspection services in a timely manner and to maintain an acceptable level service.

ERSC was rated the highest firm that submitted a proposal as a response to the RFP.

FISCAL IMPACT:

The approved Fiscal Year 2023/2024 budget includes $ 550,000 in the Engineering Fund, Account No. 001-3000-442.33-53 which will be allocated to fund the Agreement with 40 470
Staff Report: Resolution 2023-88, Award Plan Check Services May 9, 2023

Page 3 of 3 ends

ERSC. The expense will be directly offset by revenues collected from plan check and inspection fees collected by the Public Works Department. If workload and projects increase, additional authorizations may be necessary for the fiscal year, with developer and inspection fees paid to the City of Banning directly offsetting expenses.

ALTERNATIVES:

1. Approve as recommended.

2. Do not approve and provide alternative direction. This alternative would cause a reduction in the level of service to private development applicants in processing of their projects. Additionally, staff would have less time to work on the City’s capital improvement projects.

ATTACHMENTS:

1. Resolution 2023-88
https:// banningca. gov/DocumentCenter/ View/12742/Att-1-Resolution- 2023-88

2. Request for Proposals
https:// banningca. gov/DocumentCenter/ View/12740/Att-2-RFP-23-001

3. Draft Professional Services Agreement with ERSC
https:// banningca. gov/DocumentCenter/ View/12741/Att-3-C00805- PSA-ERSC-Plancheck- and-Inspection Approved by:

Douglas Schulze
City Manager
41 471
RESOLUTION 2023-88

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

AWARDING A PROFESSIONAL SERVICES AGREEMENT TO ENGINEERING RESOURCES OF SOUTHERN CALIFORNIA IN THE AMOUNT OF $ 550,000 FOR

PLAN CHECKS, INSPECTIONS AND RELATED ADMINISTRATIVE SERVICES THROUGH FISCAL YEAR 2023/24 WITH THE OPTION TO RENEW FOR FOUR

ADDITIONAL YEARS
WHEREAS, the Public Works Department administers an array of services including management of capital improvement and infrastructure projects related to the design and construction of water, wastewater, streets, storm drain and building infrastructure; and
WHEREAS, as part of these responsibilities, staff manages public works projects related to private development and has determined a need for additional resources in consideration of the current and an anticipated increase in workload related to future private land development activities in order to maintain an acceptable level of service; and
WHEREAS, on January 4, 2023, a Request for Proposals ( RFP) was released through the OpenGov ProcureNow, the City' s online bidding system, notifying qualified firms of the opportunity to submit proposals for the plan check and inspection services; and
WHEREAS, on February 6, 2023, five ( 5) firms submitted proposals for the requested plan check and inspection services; and
WHEREAS, the scope of services requested for plan checking includes, but is not limited to street, sewer, water, grading and storm drain projects for residential and nonresidential projects; responses to staff and applicants regarding permits; and preparation of conditions of approval; and
WHEREAS, the inspection services scope requires an inspector to work under the direction of the Public Works Director and/ or assigned staff to provide construction inspections services before, during and after construction while insuring conformance with Federal, State and City statutes while maintaining appropriate records; and WHEREAS, an evaluation committee consisting of a three person evaluation committee comprised of three ( 3) City staff members evaluated the proposals based on qualifications, experience, approach and rates; and
WHEREAS, as a result, staff recommends the award of an agreement to the highest ranked firm, Engineering Resources of Southern California, in the amount of 550, 000; and
Resolution 2023- 88

Page 1 of 4 ends

472
WHEREAS, agreements will be for plan check, inspection and related administrative services on an as needed basis valid through June 30, 2024 with the option to renew for four ( 4) additional single years; and
WHEREAS , the approved Fiscal Year 2023/ 2024 budget includes $ 550, 000 in the Engineering Fund, Account No. 001- 3000- 442 .33- 53 which will be allocated to fund the Agreement with Engineering Resources of Southern California. The expense will be directly offset by revenues collected from plan check and inspection fees collected by the Public Works Department.

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

SECTION 1. City Council awards a Professional Services Agreements for Plan Checks, Inspections and related Administrative Services through Fiscal Year 2023/ 2024 with the option to renew for four ( 4) additional single years.

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

SECTION 3. City Council authorizes the City Manager or his designee to make necessary non- substantive changes and to execute the Professional Services Agreement with Engineering Resources of Southern California in the amount of $550, 000 for services as needed including Plan Checks , Inspections and Administrative Services through June 30, 2024 with the option to renew for four ( 4) additional single years.

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 9th day of May7
ATTEST:

Caroline Patton , Dep
City of Banning
Resolution 2023- 88

Page 2 of 4 ends

Alberto Sa ', hez, Mayor
City of B · ning
473

APPROVEDASTOFORMAND
LEGAL CONTENT:

Seri~~ ney
Richards, Watson & Gershon
Resolution 2023- 88

Page 3 of 4 ends

474
CERTIFICATION:

I, Caroline Patton , Deputy City Clerk of the City of Banning , California, do hereby certify that the foregoing Resolution 2023- 88 , was duly adopted by the City Council of the City of Banning, California , at a regular meeting thereof held on the 9th day of May 2023 by the following vote , to wit:

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

NOES:

ABSENT:

ABSTAIN:

Resolution 2023- 88

Page 4 of 4 ends

Caroline Patton, De ty City Clerk
City of Banning , Californl a
475

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Kevin Sin,
Art Vela, Director of Public Works
MEETING DATE: January 9, 2024
SUBJECT: Consideration of Resolution 2024-08, Approving Amendment No. 1 to the Professional Services Agreement with Engineering Resources of Southern California for an Additional $450,000 for Plan Check, Inspections and Related Administrative Services
RECOMMENDATION:

Staff recommends that the City Council adopt Resolution 2024-08:

1. Approving Amendment No. 1 to the Professional Services Agreement with Engineering Resources of Southern California (ERSC) for an additional $450,000 for plan check, inspections and related administrative services.

2. Authorizing the City Manager or his designee to make necessary budget adjustments, appropriations and transfers related to the Professional Services Agreement Amendment No. 1 with ERSC.

3. Authorizing the City Manager to execute Amendment No. 1 to the Professional Services Agreement with ERSC.

BACKGROUND:

The Public Works Department, currently staffed with three full-time engineers and one inspector, administers an array of services including management of capital improvement and infrastructure projects related to the design and construction of water, wastewater, streets, storm drain and building infrastructure. In addition to managing public works projects, staff is also responsible for processing private land development projects related to Public Works responsibilities (e.g. infrastructure, grading, storm water, etc.). Due to current and anticipated workloads related to private development (e.g. Atwell, Rancho San Gorgonio) the need to establish an agreement with a firm to continue providing plan check, inspection and related administrative services is necessary in order to maintain an acceptable level service. As a result, the City Council adopted Resolution 2023-88 on May 9, 2023 awarding a professional services agreement to ERSC for plan checks, inspections and related administrative services in the amount of $550,000.

The amount of plan checks and inspections related to the Atwell Development have exceeded staff’s expectations and has resulted in a need to increase the Professional Services Agreement with ERSC by $450,000 in order to continue receiving their services.

JUSTIFICATION:

Due to current and an anticipated workload related to private land development activities, the Public Works Department has recognized a need for additional resources to provide plan check and inspection 1 476
services in a timely manner and to maintain an acceptable level service.

FISCAL IMPACT:

An appropriation from the General Fund in the amount of $450,000 to Account No. 001-3000-442.33-53 is necessary and will be directly offset by revenues collected from plan check and inspection fees collected by the Public Works Department. Funds exhausted to date have been recovered by said fees.

Some revenue has been received already with the remainder expected in FY 2023-24 and FY 2024-25.

The expected FY 2023-24 revenues will be included in the mid-year budget adjustment item for Council consideration on February 13, 2024.

ALTERNATIVES:

1. Approve as recommended.

BUDGETED?:

No
CONTRACT/AGREEMENT:

Yes
ATTACHMENTS:

1. Resolution_2024-08.pdf

2. Amendment No.1 to PSA Plan Check and Insp.pdf
2 477
RESOLUTION 2024- 08

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA, APPROVING AMENDMENT NO. 1 TO THE PROFESSIONAL SERVICES AGREEMENT WITH ENGINEERING RESOURCES OF SOUTHERN CALIFORNIA FOR AN ADDITIONAL $ 450, 000

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

SECTION 1. The City Council approves Amendment No. 1 to the Professional Services Agreement with Engineering Resources of Southern California and authorizes the City Manager to sign said amendment.

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.

Resolution 2024- 08

Page 1 of 4 ends

478
PASSED , APPROVED AND ADOPTED this 9th day of January 2024 .

ATTEST:
d~ rk
City of Banning

APPROVEDASTOFORMAND
LEGAL CONTENT:

Serita R. Young , City Attorney
Richards , Watson & Gershon
Resolution 2024-08

Page 2 of 4 ends

479
CERTIFICATION:

I, Caroline Patton , Deputy City Clerk of the City of Banning , California , do hereby certify that the foregoing Resolution 2024- 08 , 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: Flynn , Minjares , Sanchez , and Wallace .

NOES:

ABSENT :

ABSTAIN :

Resolution 2024- 08

Page 3 of 4 ends

Caroline Patton , Admini
City of Banning , California
480
Resolution 2024- 08

Page 4 of 4 ends

EXHIBIT A
Amendment No. 1
481
AMENDMENT NO. 1 TO PROFESSIONAL SERVICES AGREEMENT
C00805) FOR PLAN CHECK AND INSPECTION SERVICES BY AND

BETWEEN CITY OF BANNING AND ENGINEERING RESOURCES
OF SOUTHERN CALIFORNIA, INC.

THIS AMENDMENT NO. 1 TO THE PROFESSIONAL SERVICES
AGREEMENT FOR DESIGN SERVICES (" Amendment No. 1 ") by and between the CITY OF BANNING (" City") and ENGINEERING RESOURCES OF SOUTHERN CALIFORNIA, INC., a California corporation (" Consultant") is effective as of this day:

RECITALS
A. City and Contractor entered into that certain Contract dated July 1, 2023 for the purpose of providing Plan Check and Inspection Services (" Agreement") following Request for Proposals ( RFP No. 23-001), Plan Check and Inspection Services.

B. City and Contractor now desire to amend the Agreement to increase the Contract Sum to ($1,000,000.00).

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. 1 shall not exceed Four Hundred Fifty Thousand Dollars 450,000.00) thereby increasing the Contract Sum, as set forth in Section 2.1 ofthe Agreement, to One Million Dollars ($1,000,000.00).

2. · Miscellaneous Provisions

2.1 Continued Effect ofAgreement. Except as amended by this Amendment No. 1, all provisions of the Agreement shall remain unchanged and in full force and effect. From and after the date of this Amendment No. 1, whenever the term Agreement" appears in the Agreement, it shall mean the Agreement, as amended by Amendment No. 1. In the event ofa conflict between the provisions of this Amendment No. 1 and the provisions of the Agreement or Amendment No. 1, the provisions ofthis Amendment No. 1 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. 1.

2.3 Authority. The persons executing this Amendment No. 1 on behalf ofthe parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No. 1 on behalf of said party, 482
iii) by so executing this Amendment No. 1, such party is formally bound to the provisions ofthis Amendment No. 1, and (iv) entering into this Amendment No. 1 does not violate any provision of any other agreement to which said party is bound.

2.4 Counterparts. This Amendment No. 1 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]
483
The Parties are signing this Amendment No. 1 on the date stated in the introductory clause.

CITY OF BANNING
Douglas Schulze,
City Manager
City Council Approval: ______ _
ATTEST:

Caroline Patton
Deputy City Clerk
APPROVED AS TO FORM:

Richards, Watson & Gershon
Serita R. Young
City Attorney

CONTRACTOR
NAME:

TITLE:

NAME:

TITLE:

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 CONTRACTOR' S BUSINESS ENTITY.
484

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Kevin Sin,
Art Vela, Director of Public Works
MEETING DATE: April 9, 2024
SUBJECT: Consideration of Resolution 2024-54, Approving Amendment No. 2 to the Professional Services Agreement with Engineering Resources of Southern California to Increase the Total Compensation by $900,000 and to Extend the Term of the Agreement through June 30, 2025 for Plan Check, Inspections and Related Administrative Services
RECOMMENDATION:

Adopt Resolution 2024-54.

BACKGROUND:

The Public Works Department, currently staffed with four full-time engineers and one inspector, administers an array of services including management of capital improvement and infrastructure projects related to the design and construction of water, wastewater, streets, storm drain and building infrastructure. In addition to managing public works projects, staff is also responsible for processing private land development projects related to Public Works responsibilities (e.g. infrastructure, grading, storm water, etc.). Due to current and anticipated upcoming workloads related to private development (e.g. Atwell, Rancho San Gorgonio) the need to maintain an agreement with a firm to continue providing plan check, inspection and related administrative services is necessary in order to maintain an acceptable level service.

Due to staff resources and the anticipated workload increase related to land development projects such as the Atwell Development (previously known as the Butterfield Specific Plan), the City Council adopted Resolution No. 2023-88 on May 9, 2023 awarding a professional services agreement to ERSC for plan checks, inspections and related administrative services in the amount of $550,000 on an as needed basis with an option to renew for four additional years.

On January 9, 2024, the City Council also adopted Resolution No. 2024-08 approving Amendment No. 1 to the professional services agreement with ERSC for an additional $450,000 for plan check, inspections and related administrative services.

The amount of plan checks and inspections related to the Atwell and other subdivision developments have exceeded staff’s expectations and has resulted in a need to increase total compensation by $900,000 and to extend the term of the agreement through June 30, 2025 with ERSC in order to continue receiving their plan check, inspections and related administrative services. The current term of the Professional Services Agreement expires on June 30, 2024.

JUSTIFICATION:
1 485
Due to current and an anticipated workload related to private land development activities, the Public Works Department has recognized a need for additional resources to provide plan check and inspection services in a timely manner and to maintain an acceptable level service.

FISCAL IMPACT:

An appropriation from the General Fund in the amount of $900,000 to Account No. 001-3000-442.33-53 is necessary and will be directly offset by revenues collected from plan check and inspection fees collected by the Public Works Department. Funds exhausted to date have been 100% recovered by said fees.

ALTERNATIVES:

1. Adopt Resolution 2024-54, as recommended.

2. Do not adopt Resolution 2024-54 and provide alternative direction to staff. Not adopting Resolution 2024-54 would cause a reduction in the level of service to private development applicants in processing of their projects. Additionally, staff would have less time to work on the City’s capital improvement projects.

BUDGETED?:

No
CONTRACT/AGREEMENT:

Yes
ATTACHMENTS:

1. Resolution 2024-54, ERSC Amendment No. 2.docx

2. Amendment No.2 to PSA Plan Check and Insp.docx

3. CC Resolution No. 2023-088.pdf

4. CC Resolution No. 2024-008.pdf
2 486
RESOLUTION 2024- 54

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA, APPROVING AMENDMENT NO. 2 TO THE PROFESSIONAL SERVICES AGREEMENT WITH

ENGINEERING RESOURCES OF SOUTHERN CALIFORNIA TO INCREASE THE TOTAL COMPENSATION BY $ 900, 000 AND TO EXTEND THE TERM OF THE AGREEMENT THROUGH JUNE 30, 2025 FOR PLAN CHECK, INSPECTIONS AND RELATED

ADMINISTRATIVE SERVICES
WHEREAS, the Public Works Department administers an array of services including management of capital improvement and infrastructure projects related to the design and construction of water, wastewater, streets, storm drain and building infrastructure; and, WHEREAS, as part of these responsibilities, staff manages public works projects related to private development and determined a need for additional resources in consideration of the current and anticipated increases in workload related to future private land development activities in order to maintain an acceptable level of service; and, WHEREAS, on May 9, 2023, the City Council of the City of Banning adopted Resolution No. 2023- 88 awarding a professional services agreement to Engineering Resources of Southern California ( ERSC) for plan checks, inspections and related administrative services in the amount of $550, 000 (" Agreement"); and,
WHEREAS, on January 9, 2024, the City Council of the City of Banning adopted Resolution No. 2024- 08 approving Amendment No. 1 to the Agreement, increasing the total Contract Sum under the Agreement by $ 450, 000 for plan checks, inspections and related administrative services; and,
WHEREAS, funds allocated to the Agreement, as amended, will be exhausted by May 2024; and,
WHEREAS, the term of the Agreement will expire on June 30, 2024; and, WHEREAS, the amount of plan checks and inspections related to the Atwell Development and other subdivision developments have exceeded staff' s expectations and has resulted in a need to increase the total Contract Sum under the Agreement by $ 900, 000 and to extend the term of the Agreement to June 30, 2025, in order to continue receiving services under the Agreement; and,
WHEREAS, an appropriation from the General Fund in the amount of $900, 000 to Account No. 001- 3000- 442. 33- 53 is required to fund Amendment No. 2 and will be directly offset by revenues collected from plan check and inspection fees collected by the Public Works Department.

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

SECTION 1. The City Council approves Amendment No. 2 to the Professional Services Agreement with Engineering Resources of Southern California, attached hereto as Exhibit A, and authorizes the City Manager to make non- substantial changes to Amendment No. 2 and to sign said amendment.

Resolution 2024- 54

Page 1 of 4 ends

487
SECTION 2. The City Counc il 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 9th day of April 2024.

ATTEST:

Caroline Patton , Admin
City of Banning
APPROVED AS TO FORM:

Serita R. Young, City Attorney
Richards , Watson & Gershon
Resolution 2024- 54

Page 2 of 4 ends

Alberto Mayor
City of
488
CERTIFICATION:

I, Caroline Patton , Administrative City Clerk of the City of Banning , California , do hereby certify that the foregoing Resolution 2024- 54 , was duly adopted by the City Council of the City of Banning, California , at a regular meeting thereof held on the 9th day of April 2024 by the following vote, to wit:

AYES:

NOES :

ABSENT:

ABSTAIN:

Happe , Minjares, Sanchez, and Wallace.

Flynn .

Caroline Patton, Adminis. tiveCJtyClerk
City of Banning, California
Resolution 2024- 54

Page 3 of 4 ends

489
Resolution 2024- 54

Page 4 of 4 ends

EXHIBIT A
Amendment No. 2
490
AMENDMENT NO. 2 TO PROFESSIONAL SER~ CES AGREEMENT
C00805) FOR[rLAN CHECK AND INSPECTION.} SERVICES BY AND

BETWEEN CITY BANNING AND ENGINEERING RESOURCES
OF UTHERN CALIFORNIA, INC.

NT NO. 2 TO THE PROFESSIONAL SERVICES
AGREEMENT FORBf!~ Ei' N SERVICES (" Amendment No. 2") by and between the CITY OF BANNING (" City") and ENGINEERING RESOURCES OF SOUTHERN CALIFORNIA, INC., a California corporation (" Consultant") is effective as of this day:

RECITALS
A. City and Consultant entered into that certain Contract dated July 1, 2023 for the purpose of providing Plan Check and Inspection Services (" Agreement") following Request for Proposals ( RFP No. 23- 001), Plan Check and Inspection Services and approved by City Council Resolution 2023- 88.

B. City and Consultant have entered into an Amendment No. 1 to the Agreement dated January 11, 2024 to increase the Contract Sum to $ 1,000, 000. 00, as approved by City Council Resolution 2024- 08.

C. City and Consultant now desire to amend the Agreement to extend the Term of the Agreement to June 30, 2025 and increase the Contract Sum to $ 1,900, 000. 00.

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. 2 shall not exceed Nine Hundred Thousand Dollars 900, 000. 00) thereby increasing the Contract Sum, as set forth in Section 2.1 of the Agreement, to One Million Nine Hundred Thousand Dollars 1,900, 000. 00).

1.2 The Term of the Agreement, as set forth in Section 3 .4 of the Agreement, is hereby extended through June 30, 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. 2, all provisions of the Agreement shall remain unchanged and in full force and effect. From and after the date of this Amendment No. 2, whenever the term Agreement" appears in the Agreement, it shall mean the Agreement, as amended by Amendment Nos. I and 2. In the event of a conflict between the 491
provisions of this Amendment No. 2 and the provisions of the Agreement or Amendment Nos. 1 and 2, the provisions ofthis Amendment No. 2 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. 2.

2.3 Authority. The persons executing this Amendment No. 2 on behalfofthe parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No. 2 on behalfofsaid party, iii) by so executing this Amendment No. 2, such party is formally bound to the provisions ofthis Amendment No. 2, and (iv) entering into this Amendment No. 2 does not violate any provision of any other agreement to which said party is bound.

2.4 Counterparts. This Amendment No. 2 may be signed in any number of counterparts, each of which will be an original, but all of which together will constitute one instrument.

SIGNATURE PAGE FOLLOWS]
492
The Parties are signing this Amendment No. 2 on the date stated in the introductory clause.

CITY OF BANNING
Douglas Schulze,
City Manager
City Council Approval: _____ _
ATTEST:

Caroline Patton
Deputy City Clerk
APPROVED AS TO FORM:

Richards, Watson & Gershon
Serita R. Young
City Attorney

CONSULTANT
NAME:

TITLE:

NAME:

TITLE:

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.
493

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Arturo Vela, Acting City Manager
PREPARED BY: Nate Smith, Deputy Director of Public Works/City Engineer Art Vela, Director of Public Works
MEETING DATE: December 10, 2024
SUBJECT: Consideration of Resolution 2024-198, Approving Amendment No. 3 to the Professional Services Agreement with Engineering Resources of Southern California for an additional $1,000,000 for Plan Check, Inspections and Related Administrative Services
RECOMMENDATION:

Adopt Resolution 2024-198.

BACKGROUND:

On May 9, 2023 City Council approved Resolution 2023-88, “Awarding a Professional Services Agreement to Engineering Resources of Southern California (ERSC) in the Amount of $550,000 for Plan Check, Inspection and related Administrative Services through Fiscal Year 2023/24 with the Option to Renew for Four Additional Single Years” after a competitive open bid process. ERSC has continued to provide a high level quality of service and reliable and consistent plan check and inspection services to the City during the contract and past contract period (FY2018/2019 to FY2022/2023). The consistent and reliable services have provided continuity to development projects in process with the Public Works Department throughout this time, including construction inspection services ensuring that development installs City infrastructure consistent with City standards.

ERSC primarily provides plan check and inspection services to the Atwell project, and that project’s vast onsite and offsite civil improvements. The Atwell project continues to develop at a rapid pace in their Phase 1 and Phase 2 areas north of Wilson Street and south of the Southern California Edison power line corridor. There are six tracts of homes in those phases where grading has begun, and civil infrastructure improvements will follow. Public Works staff estimates that the funds requested with this allocation will suffice through the remainder of the fiscal year, based on the amount of work that is anticipated in the coming months.

All plan check and inspection fees are pass through user fees. The Public Works Department assesses plan check and inspection fees to tract home developers based on City Council approved rates. With the 4941
allocation considered in Amendment No. 3, Public Works staff will not authorize ERSC to commence with work until the user fees have been collected for said work. In the event that development activities stops within the Atwell project, the user fees will not be collected, work will not be authorized, plan check and inspection services will not be initiated, and the full requested amount in Amendment No. 3 will not be utilized.

Included with Amendment No. 3 is an $200,000 appropriation from the Water Capital Facilities Fund (661). The funding requested would be for ERSC to provide inspection services related to the Ramsey Waterline Upsizing Project that was approved by City Council with Resolution 2024-166. This expense is anticipated as a project expense to deliver the capital project.

Approval of Resolution 2024-198 will provide 1) authorization to expend up to the requested amended contract amount, and not a guarantee of contract value and 2) approval of an appropriation from the Water Capital Facilities Fund for inspection services for the Ramsey Waterline Upsizing project that was approved by City Council via Resolution 2024-166.

JUSTIFICATION:

ERSC was awarded a Professional Services Agreement to provided the required services with Resolution 2023-088. Prior to the award of this contract, an RFP was put out for open competitive bid. A review committee deemed that ERSC was the highest ranking bidder for the project.

ERSC has provided the highest level service for both plan check and inspection services from any of the vendors contracted by the City to provide similar services. The plan check services have been the most consistent, and staff at ERSC is regularly in contact with City identifying concerns and ensuring that developers prepare plans consistent with City Standards. The inspections team works as an extension of City staff, providing inspection services, support and backup to ensure that contractor submitted change orders are justified, and participates in meetings ensuring that the City’s interests are met.

The Public Works Department does not have the staff resources to complete services currently provided by ERSC.

FISCAL IMPACT:

If approved, Amendment No. 3 would increase the Professional Services Agreement with ERSC to a “not to exceed” amount of $2,900,000. Amendment No. 3 would require an appropriation of $200,000 from Water Capital Facilities Fund 661 to Account No. 661-6300-471.95-10 for inspection services related to the Ramsey Waterline Upsizing Project. Additionally, an appropriation of $800,000 from the General Fund to Account No. 001-3000-442.33-53 would be required to cover continued plan check and inspection services.

The expenditures funded by the General Fund will be fully recovered by plan check and inspection user fees paid by developers. No expenditures would be incurred until said fees are collected by the Public Works Department.

ALTERNATIVES:

Do Not Approve Resolution 2024-198 and provide alternative direction to staff. If the resolution is not approved, the City will need to cease inspection services through ERSC, which would slow or stop City capital projects, including the Ramsey Waterline Upsizing Project, as well as continued development at the Atwell project in the intervening time between this action and when the City is able to run through the required process to comply with the alternative direction given.

BUDGETED?:

Yes
CONTRACT/AGREEMENT:
4952
Yes
ATTACHMENTS:

1. Resolution 2024-198 ERSC Amendment No. 3.docx

2. Exhibit A - ERSC Amendment No 3 to PSA.pdf

3. SR and Reso 2023-088 Award PSA to ERSC.pdf

4. SR and Reso 2024-08 ERSC PSA Amendment 1.pdf

5. SR and Reso 2024-54 ERSC PSA Amendment 2.pdf

6. SR and Reso 2024-166 Award Ramsey Street Water Line.pdf 4963
Resolution 2024-198

Page 1 of 4 ends

RESOLUTION 2024-198

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA, APPROVING AMENDMENT NO. 3 TO THE PROFESSIONAL SERVICES AGREEMENT WITH

ENGINEERING RESOURCES OF SOUTHERN CALIFORNIA FOR AN ADDITIONAL $1,000,000 FOR PLAN CHECK, INSPECTIONS AND RELATED ADMINISTRATIVE

SERVICES
WHEREAS, the Public Works Department administers an array of services including management of capital improvement and infrastructure projects related to the design and construction of water, wastewater, streets, storm drain and building infrastructure; and WHEREAS, as part of these responsibilities, staff manages public works projects related to private development and determined a need for additional resources in consideration of the current and anticipated increases in workload related to future private land development activities in order to maintain an acceptable level of service; and WHEREAS, on May 9, 2023, the City Council of the City of Banning adopted Resolution No. 2023-88 awarding a professional services agreement to Engineering Resources of Southern California (ERSC) in the amount of $550,000 for plan checks, inspections and related administrative services; and
WHEREAS, on January 9, 2024, the City Council adopted Resolution No. 2024-08 approving Amendment No. 1 to the professional services agreement with ERSC for an additional $450,000 for plan check, inspections and related administrative services; and WHEREAS, on April 9, 2024, the City Council adopted Resolution No. 2024-53 approving Amendment No. 2 to the professional services agreement with ERSC for an additional $900,000 for plan check, inspections and related administrative services and to extend the agreement to through June 30, 2025; and
WHEREAS, funds allocated to the current professional services agreement with ERSC will be exhausted as current authorized work is completed; and WHEREAS, the Public Works Department anticipated inspection fees for additional land development at Atwell and other projects throughout the City between now and the end of the fiscal year; and
WHEREAS, the Public Works Department will require inspection services for the Ramey Waterline Upsizing capital improvement project approved by City Council on October 22, 2024 via Resolution No. 2024-166. An appropriation from the Water Capital Facilities Fund (661) in the amount of $200,000 to Account 661-6300-471.95-10 is required to fund said services; and WHEREAS, the amount of plan checks and inspections related to the Atwell Development have exceeded staff’s expectations and has resulted in a need to increase the Professional Services Agreement with ERSC by $800,000 in order to continue receiving their services; and, WHEREAS, an appropriation from the General Fund in the amount of $800,000 to Account No. 001-3000-442.33-53 is required to fund Amendment No. 1 and will be directly offset by revenues collected from plan check and inspection fees collected by the Public Works Department.
4974
Resolution 2024-198

Page 2 of 4 ends

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

SECTION 1. The City Council approves Amendment No. 3 to the Professional Services Agreement with Engineering Resources of Southern California in the amount of $1,000,000 for an amended not-to-exceed contract amount of $2,900,000.

SECTION 2. The City Council authorizes the City Manager to make non-substantive changes to Amendment No. 3 and to execute Amendment No. 3 with Engineering Resources of Southern California on behalf of the City Council.

SECTION 3. The City Council authorizes the City Manager, or designee, to make necessary budget adjustments, appropriations, and transfers related to this resolution.

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 10th day of December 2024.

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
4985
Resolution 2024-198

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 2024-198, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 10th day of December 2024 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Caroline Patton, Administrative City Clerk
City of Banning, California
4996
Resolution 2024-198

Page 4 of 4 ends

EXHIBIT A
Amendment No. 3
5007
AMENDMENT NO. 3 TO THE PROFESSIONAL SERVICES
AGREEMENT (C00805) FOR PLAN CHECK AND INSPECTION

SERVICES BY AND BETWEEN CITY OF BANNING AND
ENGINEERING RESOURCES OF SOUTHERN CALIFORNIA, INC.

THIS AMENDMENT NO. 3 TO THE PROFESSIONAL SERVICES
AGREEMENT FOR PLAN CHECK AND INSPECTION SERVICES (“Amendment No. 3”) by and between the CITY OF BANNING (“City”) and ENGINEERING RESOURCES OF SOUTHERN CALIFORNIA, INC., a California corporation (“Consultant”) is effective as of this day: ______________.

RECITALS
A. City and Consultant entered into that certain Contract dated July 1, 2023 for the purpose of providing Plan Check and Inspection Services (“Agreement”) following Request for Proposals (RFP No. 23-001), Plan Check and Inspection Services and approved by City Council Resolution 2023-88.

B. City and Consultant have entered into an Amendment No. 1 to the Agreement dated January 11, 2024 to increase the Contract Sum to $1,000,000.00, as approved by City Council Resolution 2024-08.

C. City and Consultant have entered into an Amendment No. 2 to the Agreement dated April 4, 2024 to increase the Contract Sum to $1,900,000.00, as approved by City Council Resolution 2024-54.

D. City and Consultant now desire to amend the Agreement to extend the Term of the Agreement to June 30, 2026 and increase the Contract Sum to $2,900,000.00.

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. 3 shall not exceed One Million Dollars ($1,000,000.00) thereby increasing the Contract Sum, as set forth in Section 2.1 of the Agreement, to Two Million Nine Hundred Thousand Dollars ($2,900,000.00).

1.2 The Term of the Agreement, as set forth in Section 3.4 of the Agreement, is hereby extended through June 30, 2026, 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. 3, all provisions of the Agreement shall remain unchanged and in full force and 5018
effect. From and after the date of this Amendment No. 3, whenever the term “Agreement” appears in the Agreement, it shall mean the Agreement, as amended by Amendment Nos. 1, 2, and 3. In the event of a conflict between the provisions of this Amendment No. 3 and the provisions of the Agreement or Amendment Nos. 1, 2, and 3, the provisions of this Amendment No. 3 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. 3.

2.3 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 Amendment No. 3, and (iv) entering into this Amendment No. 3 does not violate any provision of any other agreement to which said party is bound.

2.4 Counterparts. This Amendment No. 3 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]
5029
The Parties are signing this Amendment No. 3 on the date stated in the introductory clause.

CITY OF BANNING CONSULTANT
Douglas Schulze,
City Manager
NAME:

TITLE:

City Council Approval: _______________ NAME:

TITLE:

ATTEST:

Caroline Patton
Deputy City Clerk
APPROVED AS TO FORM:

Richards, Watson & Gershon
Serita R. Young
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.
50310
AMENDMENT NO. 4 TO THE PROFESSIONAL SERVICES
AGREEMENT (C00805) FOR PLAN CHECK AND INSPECTION

SERVICES BY AND BETWEEN CITY OF BANNING AND
ENGINEERING RESOURCES OF SOUTHERN CALIFORNIA, INC.

THIS AMENDMENT NO. 4 TO THE PROFESSIONAL SERVICES
AGREEMENT FOR PLAN CHECK AND INSPECTION SERVICES (“Amendment No. 4”) by and between the CITY OF BANNING (“City”) and ENGINEERING RESOURCES OF SOUTHERN CALIFORNIA, INC., a California corporation (“Consultant”) is effective as of this day: ______________.

B. City and Consultant have entered into an Amendment No. 1 to the Agreement dated January 11, 2024 to increase the Contract Sum to $1,000,000.00, as approved by City Council Resolution 2024-08.

C. City and Consultant have entered into an Amendment No. 2 to the Agreement dated April 4, 2024 to increase the Contract Sum to $1,900,000.00, as approved by City Council Resolution 2024-54.

D. City and Consultant have entered into an Amendment No. 3 to the Agreement dated December 12, 2024 to increase the Contract Sum to $2,900,000.00, as approved by City Council Resolution 2024-198.

E. City and Consultant now desire to amend the Agreement to increase the Contract Sum to $3,400,000.00.

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. 4 shall not exceed Five Hundred Thousand Dollars ($500,000.00) thereby increasing the Contract Sum, as set forth in Section 2.1 504
of the Agreement, to Three Million Four Hundred Thousand Dollars ($3,400,000.00).

2. Miscellaneous Provisions

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

2.3 Authority. The persons executing this Amendment No. 4 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. 4 on behalf of said party, (iii) by so executing this Amendment No. 4, such party is formally bound to the provisions of this Amendment No. 4, and (iv) entering into this Amendment No. 4 does not violate any provision of any other agreement to which said party is bound.

2.4 Counterparts. This Amendment No. 4 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]
505
The Parties are signing this Amendment No. 4 on the date stated in the introductory clause.

CITY OF BANNING CONSULTANT
Art Vela,
Interim City Manager
NAME:

TITLE:

City Council Approval: _______________ NAME:

TITLE:

ATTEST:

Sandra Calderon
Acting Administrative City Clerk
APPROVED AS TO FORM:

Slovak Baron Empey Murphy & Pinkney
LLP
John O. Pinkney
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.
506

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Arturo Vela, Acting City Manager
PREPARED BY: Patrick Safari, Capital Improvement Projects Manager Nate Smith, Deputy Director of Public Works/City Engineer MEETING DATE: September 9, 2025
SUBJECT: Consideration of Resolution 2025-126, Awarding a Construction Contract for Project No. 2023-06W Lions Park Non-Potable Water Conversion Project, to Superb Engineering, Inc. in the amount of $920,672.10 and approving a 10% contingency for a total budget of “Not-to-Exceed” $1,012,739.31
RECOMMENDATION:

Adopt Resolution 2025-126.

BACKGROUND:

Lions Park is an 8.9-acre facility located at 955 South Hargrave Street. The Facility consists of three baseball fields, a children’s playground and a 500 square-feet concession stand.

On June 13, 2023 City Council approved Resolution 2023-113 authorizing City representative to execute an agreement with the State of California Department of Water Resources for a Proposition 1 Round 2 Integrated Regional Water Management (IRWM) Implementation Grant.

On February 27, 2024 City Council approved Resolution 2024-31 awarding a Professional Services Agreement to Kimley-Horn and Associates, Inc. in the amount of $98,749 for the design of Lions Park Non-Potable Water Irrigation Conversion Project.

On August 27, 2024 City Council approved Resolution 2024-134 approving Amendment No.1 to the Professional Services Agreement with Kimley-Horn and Associates, Inc. for an additional amount of $17,850 for the Design of Lions Park Non-Potable Water Irrigation Conversion.

On July 7, 2025, staff released an Invitation for Bids (IFB) for Lions Park Non-Potable Water Irrigation Conversion Project on the City’s public bidding platform. The bids were due on August 13, 2025. In response to the IFB, five (5) bids were received from the following consultants:

Contractor Amount
1) Urban Habitat $774,085.25
2) Superb Engineering, Inc. $920,672.10
3) ZECO, Inc. $1,089,989.00
4) Marina Landscape, Inc. $1,149,410.40
5) Los Angeles Engineering, Inc. $1,587,420.00
Urban Habitat, the lowest bidder, was disqualified due to failure to submit the bid bond by the required 507
deadline. A bid bond is a crucial requirement in the procurement process, ensuring that the bidder is serious and will honor their bid if selected. Failing to submit it on time typically leads to automatic disqualification of the bid as it is often a mandatory condition for bid validity.

JUSTIFICATION:

The scope of work includes the installation of approximately 20,000 feet of PVC piping including recycled water identification valve boxes, lids, and tags; recycled water signs; color-coded purple sprinkler heads; smart irrigation controller; backflow preventer, booster pump, 8,000 square-feet of sidewalk, 12,000 square-feet of decomposed granite and 1,500 of vinyl fencing. Conversion of landscape irrigation to nonpotable water sources has the benefit of freeing up the potable water that was being used for landscaping for other uses.

Staff evaluated the bid proposals based on qualifications, cost, experience with the requested scope of services and response to the request for proposals. As a result, staff recommend the award of a Construction Contract to Superb Engineering, Inc. in the amount of $920,672.10.

FISCAL IMPACT:

Staff recommends awarding a Construction Agreement to Superb Engineering, Inc. in the amount of $920,672.10 and approving a 10% contingency in the amount of $92,067.21 for a total “not-to-exceed” project budget of $1,012,739.31.

The project costs are eligible and expected to be reimbursed through the IRWM and Community Development Block Grant (CDBG). IRWM and CDBG revenue will be used as shown below:

Funding Source Amount
IRWM Funds $373,670.00
CDBG Funds $642,603.65
Total $1,016,273.65
The project shall be funded through the following expenditure accounts:

Account No. Amount
001-3600-461.90-69 (IRWM) $373,670
110-5500-461.90-69 (CDBG) $642,603.65
Appropriations will be required in both accounts listed above.

ALTERNATIVES:

Do not approve Resolution 2025-126 and provide alternative direction to staff.

BUDGETED?:

Yes
CONTRACT/AGREEMENT:

Yes
ATTACHMENTS:

1. Resolution_2024-126.docx

2. Resolution No. 2024-134.pdf

3. Resolution No. 2024-031.pdf

4. Resolution No. 2023-113.pdf
508

5. Superb Engineering Bid.pdf

6. C01193 - Superb Eng. -Lions Park NP Water Irrigation Conversion.docx 509
Resolution 2025-126

Page 1 of 4 ends

RESOLUTION 2025-126

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA, AWARDING A CONSTRUCTION CONTRACT FOR PROJECT NO. 2023-06W LIONS PARK NON-POTABLE WATER CONVERSION PROJECT, TO SUPERB ENGINEERING, INC. IN THE AMOUNT OF $920,672.10 AND APPROVING A 10% CONTINGENCY FOR A TOTAL BUDGET OF “NOT-TO-EXCEED” $1,012,739.31
WHEREAS, Lions Park is an 8.9-acre facility located at 955 South Hargrave Street. The Facility consists of three baseball fields, a children’s playground and a 500 square-feet concession stand; and
WHEREAS, on June 13, 2023 City Council approved Resolution 2023-113 authorizing City representative to execute an agreement with the State of California Department of Water Resources for a Proposition 1 Round 2 Integrated Regional Water Management (IRWM) Implementation Grant; and
WHEREAS, on February 27, 2024 City Council approved Resolution 2024-31 awarding a Professional Services Agreement to Kimley-Horn and Associates, Inc. in the amount of $98,749 for the design of Lions Park Non-Potable Water Irrigation Conversion Project; and WHEREAS, on August 27, 2024 City Council approved Resolution 2024-134 approving Amendment No.1 to the Professional Services Agreement with Kimley-Horn and Associates, Inc. for an additional amount of $17,850 for the Design of Lions Park Non-Potable Water Irrigation Conversion; and
WHEREAS, on July 7, 2025, staff released an Invitation for Bids (IFB) for Lions Park NonPotable Irrigation Conversion Project on the City’s public bidding platform; and WHEREAS, on August 13, 2025, in response to the IFB, five (5) bids were received ranging in costs from $774,085.25 to $1,587,420; and
WHEREAS, Urban Habitat, the lowest bidder, was disqualified due to failure to submit the bid bond by the required deadline; and
WHEREAS, a bid bond is a crucial requirement in the procurement process, ensuring that the bidder is serious and will honor their bid if selected. Failing to submit it on time typically leads to automatic disqualification of the bid as it is often a mandatory condition for bid validity; and WHEREAS, the scope of work includes the installation of approximately 20,000 feet of PVC piping including recycled water identification valve boxes, lids, and tags; recycled water signs; color-coded purple sprinkler heads; smart irrigation controller; backflow preventer, booster pump, 8,000 square-feet of sidewalk, 12,000 square-feet of decomposed granite and 1,500 of vinyl fencing; and
WHEREAS, staff recommends awarding a Construction Agreement to Superb Engineering, Inc. in the amount of $920,672.10 and approving a 10% contingency in the amount of $92,067.21 for a total “not-to-exceed” project budget of $1,012,739.31; and 510
Resolution 2025-126

Page 2 of 4 ends

WHEREAS, the project costs are eligible and expected to be reimbursed through the IRWM and Community Development Block Grant (CDBG) in the amount of $373,670 and $642,603.65 respectively.

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

SECTION 1. The City Council approves the Construction Contract with Superb Engineering, Inc. in the amount of $920,672.10 and approving a 10% contingency for a total budget of “not-toexceed” $1,012,739.31 for the Lions Park Non-Potable Water Irrigation Conversion Project.

SECTION 2. The City Council authorizes the City Manager, or their designee, to execute the Construction Contract with Superb Engineering, Inc
SECTION 3. The City Council authorizes the City Manager to make necessary non-substantive changes and execute the Construction Contract with Superb Engineering, Inc.

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 9th day of September 2025.

Sheri Flynn, Mayor
City of Banning
ATTEST:

Sandra Calderon, Acting Administrative
City Clerk
City of Banning
APPROVED AS TO FORM:

John Pinkney, City Attorney
Slovak, Baron, Empey, Murphy & Pinkney, LLP
511
Resolution 2025-126

Page 3 of 4 ends

CERTIFICATION:

I, Sandra Calderon, Acting Administrative City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2025-126, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 9th day of September 2025 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Sandra Calderon, Acting Administrative City
Clerk
City of Banning, California
512
Resolution 2025-126

Page 4 of 4 ends

EXHIBIT A
Construction Contract with Superb Engineering, Inc.
513
RESOLUTION 2024- 134

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA, APPROVING AMENDMENT NO. 1 TO THE PROFESSIONAL SERVICES AGREEMENT WITH KIMLEY- HORN AND ASSOCIATES, INC. FOR AN ADDITIONAL AMOUNT OF $ 17, 850 FOR

DESIGN OF LIONS PARK NON- POTABLE WATER IRRIGATION CONVERSION WHEREAS, Lions Park is an 8.9-acre facility located at 955 South Hargrave Street. The Facility consists of three baseball fields, a children' s playground and a 500 square- feet concession stand; and
WHEREAS, on June 13, 2023 City Council approved Resolution 2023- 113 authorizing City representative to execute an agreement with the State of California Department of Water Resources for a Proposition 1 Round 2 Integrated Regional Water Management ( IRWM) Implementation Grant; and
WHEREAS, on February 27, 2024 City Council approved Resolution 2024- 31 awarding a Professional Services Agreement to Kimley- Horn and Associates, Inc. in the amount of $ 98, 749 for the design of Lions Park Non- Potable Water Irrigation Conversion Project; and WHEREAS, for pedestrian safety and convenience, the park needs a 6 foot wide sidewalk and 3 foot high vinyl fencing along Hargrave Street, Charles Street and Westward Avenue to ensure that there is sidewalk connectivity to existing sidewalk around the park perimeter; and WHEREAS, on July 25, 2024 at the request of City Staff, Kimley- Horn provided a proposal in the amount of $ 17, 850 for additional design services to include the design of 1,200 feet of sidewalk and fencing along Hargrave Street, Charles Street and Westward Avenue; and WHEREAS, the additional design services scope of work includes data collection, plans, specifications, cost estimate and bid/ construction support; and WHEREAS, Kimley- Horn Amendment No. 1 in the amount of $ 17, 850 will be funded through Parks Fund, Professional Services Account No. 001- 3600- 461. 33- 11.

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

SECTION 1. The City Council approves the Professional Services Agreement with Kimley- Horn and Associates, Inc. for an additional amount of $17, 850 for the Design of Lions Park Non- Potable Water Irrigation Conversion Project.

SECTION 2. The City Council authorizes the City Manager, or designee, to make necessary budget adjustments, appropriations, and transfers related to the Professional Services Agreement with Kimley- Horn and Associates, Inc. for the Design of Lions Park Non- Potable Water Irrigation Conversion Project.

SECTION 3. The City Council authorizes the City Manager to make necessary non- substantive changes and to execute the Amendment No.1 with Kimley- Horn and Associates, Inc.

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.

Resolution 2024- 134

Page 1 of 4 ends

514
PASSED, APPROVED AND ADOPTED this 27th day of August 2024 .

ATTEST:

Caroline Patton , Admin
City of Banning
APPROVED AS TO FORM:
s · enta . R?oung , c~--- Ity ttorney
Richards , Watson & Gershon
Resolution 2024- 134

Page 2 of 4 ends

515
CERTIFICATION:

I , Caroline Patton , Administrative City Clerk of the City of Banning , Cal ifornia , do hereby certify that the foregoing Resolution 2024- 134 , was duly adopted by the City Council of the City of Banning , California , at a regular meeting thereof held on the 27th day of August 2024 by the following vote , to wit:

AYES : Happe , Minjares, Sanchez , and Wallace .

NOES : Flynn.

ABSENT:

ABSTAIN :

Resolution 2024- 134

Page 3 of 4 ends

City of Banning , California
516

EXHIBIT A
Amendment No. 1 to the Professional Services Agreement with Kimley- Horn and Associates Resolution 2024- 134

Page 4 of 4 ends

517
AMENDMENT NO. 1 TO PROFESSIONAL SERVICES AGREEMENT
C00981) FOR DESIGN LIONS PARK WATER IRRIGATION

CONVERSION PROJECT BY AND BETWEEN CITY OF BANNING
AND KIMLEY-HORN AND ASSOCIATES, INC.

THIS AMENDMENT NO. 1 TO THE PROFESSIONAL SERVICES
AGREEMENT FOR SERVICES (" Amendment No. l") by and between the CITY OF BANNING (" City") and Kimley-Hom and Associates, Inc., a North Carolina Corporation, Consultant") is effective as ofthis day: _____ _

RECITALS
A. City and Consultant entered into that certain Contract dated February 27, 2024 for the purpose of providing Engineering Design Services (" Agreement") following an issuance ofa Request for Proposal (RFP 23-045) for the Engineering Design Servies for the Lions Park Water Irrigation Conversion Project, as approved by City Council Resolution 2024-31. ·
B. City and Consultant now desire to amend the Agreement to modify the Scope of Services, extend the Term ofthe Agreement to June 30, 2026, and increase the Contract Sum to One Hundred Sixteen Thousand Five Hundred Ninety-Nine Dollars 116,599.00).

The Parties therefore agree follows:

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

1.1 The Scope of Services as set forth in Section 1.1 of and Exhibit A to the Agreement is hereby amended to include the Services set forth in Attachment 1, attached hereto and incorporated herein.

1.2 The maximum compensation for the Services performed pursuant to this Amendment No. 1 shall not exceed Seventy Thousand Eight Hundred Fifty Dollars ($17,850.00) thereby increasing the Contract Sum, as set forth in Section

2.1 ofthe Agreement, to One Hundred Sixteen Thousand Five Hundred NinetyNine Dollars ($116,599.00).

1.3 The Term of the Agreement, as set forth in Section 3 .4 of the Agreement, is hereby extended through June 30, 2026, unless sooner terminated or extended as provided in the Agreement.

2. Miscellaneous Provisions

2.1 Continued Effect ofAgreement. Except as amended by this Amendment No. 1, all provisions of the Agreement shall remain unchanged and in full force and effect. From and after the date of this Amendment No. 1, whenever the term 518
Agreement" appears in the Agreement, it shall mean the Agreement, as amended by Amendment No. 1. In the event of a conflict between the provisions of this Amendment No. 1 and the provisions of the Agreement or Amendments No. 1, the provisions ofthis Amendment No. 1 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. 1.

2.3 Authority. The persons executing this Amendment No. 1 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. 1 on behalf of said party, iii) by so executing this Amendment No. 1, such party is formally bound to the provisions of this Amendment No. 1, and ( iv) entering into this Amendment No. 1 does not violate any provision of any other agreement to which said party is bound.

2.4 Counterparts. This Amendment No. 1 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]
519
The Parties are signing this Amendment No. 1 on the da,te stated in the introductory clause.

CITY OF BANNING
Douglas Schulze,
City Manager
City Council Approval: _____ _
ATTEST:

Caroline Patton
Administrative City Clerk
APPROVED AS TO FORM:

Richards, Watson & Gershon
Serita R. Young
City Attorney

CONSULTANT
NAME:

TITLE:

NAME:

TITLE:

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 CONSULT ANT' S BUSINESS ENTITY.
520
RESOLUTION 2024- 31

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

AWARDING A PROFESSIONAL SERVICES AGREEMENT FOR THE DESIGN OF LIONS

PARK NON- POTABLE WATER IRRIGATION CONVERSION PROJECT TO KIMLEY- HORN AND ASSOCIATES, INC. IN THE AMOUNT OF $ 98, 749 AND APPROVING A 10% CONTINGENCY FOR A TOTAL PROJECT BUDGET NOT- TO-EXCEED $ 108, 623. 90 WHEREAS, Lions Park is an 8.9-acre facility located at 955 South Hargrave Street and consists of three baseball fields, a children' s playground and a 500 square- feet concession stand.

Lions Park' s existing irrigation piping is a mix of PVC, HOPE, and copper piping that has gone beyond its useful life; and
WHEREAS, on June 13, 2023, City Council approved Resolution 2023- 113 authorizing City representative to execute an agreement with the State of California Department of Water Resources for a Proposition 1 Round 2 Integrated Regional Water Management ( IRWM) Implementation Grant; and
WHEREAS, on October 31, 2023, the City entered into a Grant Agreement with the Department of Water Resources of the State of California to provide funding from the Water Quality, Supply, and Infrastructure Improvement Act of 2014 ( Proposition 1) to assist in the financing of this project; and
WHEREAS, on December 1, 2023, Public Works and Purchasing staff advertised a Request for Proposals ( RFP- 23- 045) on the City' s electronic bidding system ProcureNow. In response to these efforts, on January 11, 2024 the City received three ( 3) proposals; and WHEREAS, an evaluation committee was assembled to score each proposal based on qualifications, project approach, overall quality of project and pricing. As a result the highest scored proposal was submitted by Kimley- Horn and Associates, Inc.; and WHEREAS, the scope of work includes the design of hundreds of feet of PVC piping including recycled water identification valve boxes, lids, and tags; recycled water signs; sprinkler head retrofits to water efficient, color- coded purple heads; and a smart irrigation controller and backflow preventer; and
WHEREAS, staff recommends awarding an agreement to Kimley- Horn and Associates, Inc. in the amount of $98, 749 and approving a 10% contingency in the amount of $139, 805. 15 for a total " not- to-exceed" project budget of $ 108, 623. 90; and WHEREAS, the project will be funded through the IRWM Implementation Grant valued at 490, 269. The City will receive quarterly reimbursements from the State of California for the costs incurred during the design phase of the project; and
WHEREAS, an appropriation in the amount of $98,749 from General Fund 001 to Account 001- 3600- 461. 90- 05 is needed to cover the consultant' s design cost while waiting for IRWM quarterly reimbursements. General Fund 001 has a current balance of $1,310, 719.

Resolution 2024- 31

Page 1 of 4 ends

521
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Banning as follows :

SECTION 1. The City Council approves the Professional Services Agreement with Kimley- Horn and Associates, Inc ., attached hereto as Exhibit " A ," for the design of Lions Park Non- Potable Water Irrigation Conversion Project in the amount of $ 98 ,749 and approves a 10% contingency in the amount of $ 9 ,874. 90 , for a total project budget of $ 108 ,623. 90 and rejects all other bids .

SECTION 2. The City Council authorizes the City Manager or his designee to make necessary budget adjustments , appropriations , and transfers ; and approving change orders within the approved contingency related to the Professional Services Agreement with Kimley- Horn and Associates , Inc for the design of Lions Park Non- Potable Water Irrigation Conversion Project.

SECTION 3. The City Council authorizes the City Manager to make necessary non- substantive changes to and to execute the Professional Services Agreement with Kimley- Horn and Associates , Inc.

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

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

ATTEST:

Caroline Patton , Adm i
City of Banning

APPROVED AS TO FORM AND
LEGAL CONTENT:
2>~
Serita R. Young , City Attorney
Richards , Watson & Gershon
Resolution 2024- 31

Page 2 of 4 ends

522
CERTIFICATION:

I, Caroline Patton, Administrative City Clerk of the City of Banning , California, do hereby certify that the foregoing Resolution 2024 -31 , 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: Flynn , Happe, Minjares, Sanchez, and Wallace.

NOES:

ABSENT:

ABSTAIN:

Resolution 2024- 31

Page 3 of 4 ends

Caroline Patton , AdrninisffitiveCitycJer k
City of Banning , California
523
RESOLUTION 2023- 113

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

DESIGNATING AN AUTHORIZED REPRESENTATIVE TO EXECUTE AN

AGREEMENT WITH THE STATE OF CALIFORNIA DEPARTMENT OF WATER RESOURCES FOR A PROPOSITION 1 ROUND 2 INTEGRATED REGIONAL WATER

MANAGEMENT IMPLEMENTATION GRANT
WHEREAS, on January 10 , 2023 City Council adopted Resolution 2023- 11 authorizing the submittal of a grant application to the Department of Water Resources to obtain Proposition ( Prop) 1 Round 2 Integrated Regional Water Management ( IRWM) Implementation Grant funds; and
WHEREAS, pursuant to the Water Quality, Supply, and Infrastructure Improvement Act of 2014 the City of Banning, on behalf of the San Gorgonio IRWM Region, submitted a Prop 1 Round 2 IRWM grant application (" Proposal"); and WHEREAS, on May 18, 2023 the City of Banning received an award notification that the submitted Proposal was awarded the requested funds in the amount of 1,912, 755.

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

SECTION 1. The City Council authorizes and directs the City Manager of the City of Banning , or designee, to prepare the necessary data, conduct investigations, file the Proposal and execute a Prop 1 Round 2 grant agreement or any amendments related thereto with the California Department of Water Resources.

SECTION 2. 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 13th day of June 2023.

ATTEST:

Caroline Patton, De
City of Banning
Resolution 2023-113

Page 1 of 3 ends

524

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

525
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
526
Line Item Description Quantity Unit of Measure Unit Cost Total 1 Mobilization/Demobilization of Construction
Equipment and facilities (Including Preliminary
Construction Schedule, Bonds, Insurance, Permits).
1 LS $46,193.00 $46,193.00
2 Storm Water and Environmental Control 1 LS $5,940.00 $5,940.00 3 Construction Staking and Surveying 1 LS $13,310.00 $13,310.00 4 Traffic Control 1 LS $13,628.00 $13,628.00
5 Clearing and Grubbing 1 LS $10,658.00 $10,658.00
6 Removed 1 LS $0.00 $0.00
7 Trench, Cut and Cap Potable Water Equipment 1 LS $20,502.00 $20,502.00 8 Remove Post and Chain-link Fence 300 LF $15.39 $4,617.00 9 Furnish and Install Non-Potable 4” Irrigation Meter
and Backflow 1 EA $32,275.00 $32,275.00
10 Furnish and Install Irrigation Booster Pump 1 LS $50,107.00 $50,107.00 11 Furnish and Install Irrigation Lateral Line PVC 40 16360 LF $6.60 $107,976.00 12 Furnish and Install Irrigation Main Line Class 315
SDR 13.5 4” 3485 LF $23.80 $82,943.00
13 Furnish and Install Irrigation Pipe Sleeve 484 LF $52.00 $25,168.00 14 Furnish and Install Irrigation Master Valve, Flow
Sensor 2 EA $1,471.00 $2,942.00
15 Furnish and Install Irrigation Bubbler 16 EA $35.00 $560.00 16 Furnish and Install Irrigation Remote Control Valve 42 EA $803.00 $33,726.00 17 Furnish and Install Irrigation Rotary Pop-Up Spray
Head 380 EA $39.00 $14,820.00
18 Furnish and Install Irrigation Rotor Pop-Up Spray
Head 120 EA $145.00 $17,400.00
19 Furnish and Install Irrigation Shut Off Valve 12 EA $1,917.00 $23,004.00 20 Furnish and Install Irrigation Decoder 42 EA $133.50 $5,607.00 21 Furnish and Install Irrigation Wire 3500 LF $5.20 $18,200.00 22 Furnish and Install Irrigation Controller and
Weather Sensor 1 EA $3,749.00 $3,749.00
23 Furnish and Install Potable 2” Domestic Meter and
Backflow 1 EA $13,722.00 $13,722.00
24 Furnish and Install Potable Galvanized Steel 2” Line 3384 LF $17.50 $59,220.00 25 Furnish and Install Quick Coupler Valve 8 EA $299.00 $2,392.00 26 Removed, refer to line 19 (Question 23). 0 LF $0.00
27 Construction 3” Thick Stabilized Decomposed
Granite (Organic Lock and Weed Barrier) 12009 SF $3.90 $46,835.10 28 Class II Aggregate Base 172 CY $220.00 $37,840.00
29 Construct Standard Gray Concrete Access Ramp
per C-214 1 EA $4,455.00 $4,455.00
30 Construct 4” Thick Scored Standard Gray Concrete
Sidewalk per C-213 8265 SF $11.00 $90,915.00
31 Furnish and Install Aluminum Edging 1500 LF $9.20 $13,800.00 32 Furnish and Install 34’ Ht Vinyl Fence (2 Rail) 1470 LF $24.30 $35,721.00 33 Construct “End of Sidewalk” Sign on Post 2 EA $1,258.00 $2,516.00 34 Provide Temporary, portable sprinklers and hoses
for the Irrigation of Existing Grass, Trees and
Shrubs During Construction of New Irrigation
1 LS $8,622.00 $8,622.00
35 Sod To Repair per Section 02223.1.05B (Question
11) 1 LS $33,054.00 $33,054.00
36 Sod Replacement/Repair per Specification Section
329200 (Question 13) 1 LS $22,908.00 $22,908.00
37 Per Section 329301, Installation of a tree
protection fence for existing tree (Question 14) 1 LS $190.00 $190.00 38 Cross Connection Test Station (Questions 28) 1 LS $1,706.00 $1,706.00 39 Furnish and Install Potable Shut Off Valve 17 EA $540.00 $9,180.00 40 Furnish and Install Coach's Switch 1 EA $4,271.00 $4,271.00 Total $920,672.10
IFB 24-090 Lions Park Non-Potable Water Irrigation Conversion & Fencing Superb Engineering 527
C-1
CONTRACT (C01193)

CITY OF BANNING CONTRACT FOR
LIONS PARK NP WATER IRRIGATION CONVERSION PROJECT & IFB 24-090 THIS CONTRACT (“Contract”) is made and entered this ___________________ (“Effective Date”), by and between the CITY OF BANNING, a California municipal corporation (“City”) and Superb Engineering Inc. (“Contractor”). Contractor’s California State Contractor’s license number is 1074243; Class A, C27.

Contractor’s DIR registration number is 1001102935.

In consideration of the mutual covenants hereinafter set forth, the parties hereto agree as follows:

1. Contract Documents. The Contract Documents consist of this Contract, the Notice Inviting Bids, Instructions to Bidders, Bid (including documentation accompanying the Bid and any post-Bid documentation submitted before the Notice of Award), the Bonds, permits from regulatory agencies with jurisdiction, General Provisions, Special Provisions, Plans, Standard Plans, Standard Specifications, Reference Specifications, Addenda, Change Orders, and Supplemental Agreements. The Contract Documents are attached hereto and incorporated herein by reference.

2. Scope of Services. Contractor shall perform the Work in a good and workmanlike manner for the project identified as Lions Park NP Water Irrigation Conversion Project (“Project”), as described in this Contract and in the Contract Documents.

3. Compensation. In consideration of the services rendered hereunder, City shall pay Contractor a not to exceed amount of Nine Hundred Twenty Thousand Six Hundred Seventy-Two Dollars and Ten Cents ($920,672.10) in accordance with the prices as submitted in the Bid.

4. Incorporation by Reference. All of the following documents are attached hereto and incorporated herein by this reference: Workers’ Compensation Certificate of Insurance, Additional Insured Endorsement (Comprehensive General Liability), Additional Insured Endorsement (Automobile Liability), and Additional Insured Endorsement (Excess Liability).

5. Antitrust Claims. In entering into this Contract, Contractor offers and agrees to assign to City all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Sec. § 15) or under the Cartwright Act (Business and Professions Code Section 16700 et seq.) arising from purchases of goods, services, or materials pursuant to the Contract. This assignment shall be made and become effective at the time City tenders final payment to Contractor without further acknowledgment by the parties.

6. Prevailing Wages. City and Contractor acknowledge that the Project is a public work to which prevailing wages apply.

7. Workers’ Compensation. Labor Code Sections 1860 and 3700 provide that every contractor will be required to secure the payment of compensation to its employees. In accordance with the provisions of Labor Code Section 1861, by signing this Contract, the Contractor certifies as follows:
“I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that Code, and I will comply with such provisions before commencing the performance of the Work of this Contract.”
528
C-2

8. Titles. The titles used in this Contract are for convenience only and shall in no way define, limit or describe the scope or intent of this Contract or any part of it.

9. Authority. Any person executing this Contract on behalf of Contractor warrants and represents that he or she has the authority to execute this Contract on behalf of Contractor and has the authority to bind Contractor to the performance of its obligations hereunder.

10. Debarment or Suspension.

Contractor represents and warrants that, as of the Effective Date of this Agreement, Contractor is not debarred or suspended pursuant to any applicable Federal or State law providing for the debarment of contractors. Contractor shall not perform the Services with any subcontractor that has been debarred or suspended pursuant to any applicable Federal or State law providing for the debarment. Contractor and its subcontractors shall not be debarred or suspended throughout the Term of this Agreement pursuant to any applicable Federal or State law providing for the debarment of contractors. If Contractor or any subcontractor becomes debarred or suspended during the Term of this Agreement, Contractor shall immediately notify City.

11. Entire Agreement. This Contract, including the Contract Documents and any other documents incorporated herein by specific reference, represents the entire and integrated agreement between City and Contractor. This Contract supersedes all prior oral or written negotiations, representations or agreements.

This Contract may not be modified or amended, nor any provision or breach waived, except in a writing signed by both parties that expressly refers to this Contract.

12. Counterparts. This Contract may be executed in counterpart originals, duplicate originals, or both, each of which is deemed to be an original for all purposes.

IN WITNESS WHEREOF, the parties hereto have executed the Contract the day and year first above written.

CITY OF BANNING
City Council Approval: ______________ By:

City Manager Date
ATTEST: APPROVED AS TO FORM:

By: By:

Administrative City Clerk Date City Attorney Date
(“CONTRACTOR”)
By:

Name: Date
Title:

By:

Name: Date
Title:
529

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Arturo Vela, Acting City Manager
PREPARED BY: David Newell, Community Development Director MEETING DATE: September 9, 2025
SUBJECT: Consideration of Resolution 2025-127, Approving and Setting Forth Cannabis Retail Tax Delinquency Penalties and Interest Pursuant to Banning Municipal Code Chapter 3.15
RECOMMENDATION:

Adopt Resolution 2025-127
BACKGROUND:

On August 26, 2025, the City Council considered the current tax rate for cannabis retailers and requested staff return with a resolution establishing penalties for late tax remittance by cannabis retailers. After reviewing other jurisdictions that impose penalty and interest fees, staff determined the following:

Flat-rate Penalty. Many jurisdictions impose an initial penalty as a percentage of the unpaid tax amount. For example, a common structure is a 10% penalty for failure to remit taxes by the due date, with an additional 10% (or higher) penalty if the delinquency persists beyond a specified period, such as 30 day.

Accruing Interest. Interest is typically charged on unpaid taxes and penalties, often calculated monthly. A common rate is 1% per month (equivalent to 12% annually) on the outstanding balance, though rates can vary (e.g., 0.5% to 1.5% per month).

These penalties and interest rates are often codified in municipal ordinances or resolutions, tailored to local cannabis tax structures, and designed to align with state laws like California’s Proposition 64, which enables local taxation of cannabis businesses.

As a result staff proposes the Council adopt the following penalty and interest on cannabis retailers that are remitting delinquent taxes, as authorized by Section 3.15.090 of the Banning Municipal Code:

A. For any cannabis retail business that is delinquent in the payment of its Banning cannabis tax, the following rate shall apply to that business for so long as such business has not paid its Banning cannabis tax, including any penalties and interest thereon:

1. A penalty equal to twenty-five percent (25%) of the amount of tax in addition to the amount of the tax, plus interest on the unpaid tax calculated from the due date of the tax at rate of one percent (1%); and

2. An additional penalty equal to fifty percent (50%) of the amount of the tax if the tax remains unpaid for a period exceeding thirty calendar days beyond the due date, plus interest on the unpaid tax and interest on the unpaid penalties calculated at the rate of one percent (1%); and

3. Interest shall be calculated at the rate of one percent per month, or a fraction thereof, on the 530
total amount due, from the date on which the amount of tax required to be collected becomes due and payable to the city until the date of payment and shall not exceed twelve percent of the amount of tax due.

JUSTIFICATION:

The proposed resolution will help ensure effective enforcement and timely collection of cannabis retail taxes.

FISCAL IMPACT:

None. However, cannabis retailers that remit tax payments after 45 days of the quarterly payment due dates will increase revenue, as the proposed resolution establishes interest and penalty fees for cannabis retailers not submitting timely tax payments as specified therein.

ALTERNATIVES:

Provide alternative direction to staff.

BUDGETED?:

No
CONTRACT/AGREEMENT:

No
ATTACHMENTS:

1. Resolution 2025-127
531
Resolution 2025-127

Page 1 of 4 ends

RESOLUTION 2025-127

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

APPROVING AND SETTING FORTH CANNABIS RETAIL TAX DELINQUENCY PENALTIES PURSUANT TO BANNING MUNICIPAL CODE CHAPTER 3.15.

WHEREAS, Sections 37101 and 37100.5 of the California Government Code authorize the City of Banning to levy a license tax, for revenue purposes, upon business transacted in the City; and
WHEREAS, on November 6, 2018, the voters of the City approved a ballot measure known as Banning, California, Measure O, Retail Marijuana Business Tax (Measure O); and WHEREAS, Meaure O allowed the City to impose a City tax on commercial cannabis retail busineses through the adoption of Ordinance 1528, which the City Council introduced at a regular meeting on June 26, 2018 and voted to adopt on December 11, 2018; and WHEREAS, Ordinance 1528 is codified in Chapter 3.15 (Cannabis Retailer Tax) of Title 3 (Revenue and Finance) of the Banning Municipal Code (BMC); and WHEREAS, the City currently imposes an annual cannabis retail tax in an amount equal to ten percent of the business' gross receipts, pursuant to BMC Section 3.15.030(B); and WHEREAS, as authorized by BMC 3.15.060(D), the Tax Adminsitrator for the City amendmed subsection (A) of Section 3.15.060 by publishing Tax Adminstrator Regulation 2023- 1 which revised and updated the cannabis retailer tax remittance requirements in BMC Chapter

3.15 and imposed quarterly cannabis tax remittance no later than forty-five (45) calendar days after each quarter end starting with the quarter of July 1, 2024; and WHEREAS, on August 26, 2025, the City Council considered the current tax rate for cannabis retailers and requested staff return with a resolution establishing penalties for late tax remittance by cannabis retailers; and
WHEREAS, unless otherwise defined in this Resolution, the definitions contained in the Ordinance shall apply to the words and terms contained in this Resolution. For the purposes of this Resolution, the term " Tax" means the "Gross Receipts Tax" established in the Ordinance and codified in Banning Municipal Code Section 3.15.020.

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

SECTION 1. That the foregoing Recitals are true and correct and are incorporated herein by this reference.

SECTION 2. Pursuant to BMC Section 3.15.090, the City Council establishes and sets forth the following penalties and interest on cannabis retailers remitting delinquent taxes in accordance with Chapter 3.15:

Page 2 of 4 ends

3. Interest shall be calculated at the rate of one percent per month, or a fraction thereof, on the total amount due, from the date on which the amount of tax required to be collected becomes due and payable to the city until the date of payment and shall not exceed twelve percent of the amount of tax due.

SECTION 3. Not Deemed a Special Tax. The adoption of this Resolution shall not be construed, and it is not the City Council's intent, to convert the City' s cannabis tax into a "special tax", as that term is defined Article XIIIC § 1( d) of the California Constitution, or California Government Code sections 53721 and 53724, or any combination thereof.

SECTION 4. CEQA. This action is not subject to the California Environmental Quality Act (CEQA) (Public Resources Code Section 21000 et. seq.) pursuant to Section 15060(c)(2) and 15060(c)(3) of the State Guidelines, because the resolution will not result in a direct or reasonably foreseeable indirect physical change in the environment and is not a "project," as that term is defined in Section 15378 of the State Guidelines.

SECTION 5. If any provision of this Resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the Resolution that can be given effect without the invalid provision or application, and to this end the provisions of this Resolution are severable. The City Council hereby declares that it would have adopted this Resolution irrespective of the invalidity of any particular portion thereof.

SECTION 6. 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 September, 2025.

Sheri Flynn, Mayor
City of Banning
ATTEST:

Sandra Calderon
Acting Administrative City Clerk
City of Banning
533
Resolution 2025-127

Page 3 of 4 ends

APPROVED AS TO FORM:

John Pinkney, Interim City Attorney
Slovak, Baron, Empey, Murphy & Pinkney,
LLP
534
Resolution 2025-127

Page 4 of 4 ends

CERTIFICATION:

I, Sandra Calderon, Acting Administrative City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2025-127, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 9th day of September, 2025 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Sandra Calderon
Acting Administrative City Clerk
City of Banning, California
535

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Arturo Vela, Acting City Manager
PREPARED BY: Ralph Wright, Parks and Recreation Director MEETING DATE: September 9, 2025
SUBJECT: Consideration of Resolution 2025-128, A Resolution of the City Council of the City of Banning, California, reprogramming approved Community Development Block Grant Funds in the amount of $237,405.93 from FY 2019-20 - Repplier Park Rehabilitation and improvement project ($82,236.13) and FY 2020-21 - Roosevelt Williams Park Project ($20,400) and FY 2020-21Sylvan Park Improvement Project ($134,769.80) To Lion's Park Project #2 ($237,405.93)
RECOMMENDATION:

Adopt Resolution 2025-128.

BACKGROUND:

Lions Park is an 8.9-acre facility located at 955 South Hargrave Street ("Facility"). The Facility consists of three baseball fields, a children’s playground and a 500 square-feet concession stand.

The Facility's irrigation system is significantly dilapidated and installation of a new non-potable irrigation system with the ability to integrate into a reclaimed system will significantly benefit the community with a cost savings on both irrigation costs and staff costs associated with repairs. Along with the irrigation system replacement, the project would install a sidewalk around the perimeter of the park where sidewalks are not currently existing allowing for a complete park loop.

On January 14 City Council approved Resolution 2025-07 authorizing the reprogramming of CDBG Funds in the amount of $268,414 to provide the necessary total CDBG project funding of $405,197.72.

Combined with the Integrated Regional Water Management (IRWM) grant funding total of $373,670 funding, it was anticipated the funding was sufficient to complete the project.

The lowest responsive bid was significantly above the project estimate and the project requires additional funding of approximately $238,000 to complete the project including a 10% project contingency.

The City has three outstanding CDBG project funds totaling $237,405.93: the Repplier Park Rehabilitation Project ($82,236.13), the Roosevelt William Fencing Project ($20,400) and the Sylvan Park Improvement Project ($134,769.80). Reprogramming of these CDBG funds to complete the Lion's Park Irrigation and Fencing Project would allow us to complete an important project. 536
The remaining small projects from the Repplier project and Roosevelt Williams project would be completed as possible using existing General Fund allocations. The Sylvan Park Improvement Project included replacement of the existing picnic shelter and the plan would be to include this project in the next CDBG funding cycle for FY 2026/27.

JUSTIFICATION:

The reprogramming of the CDBG funds will allow for the completion of the Lion’s Park Fencing and Irrigation project.

FISCAL IMPACT:

The City of Banning issued an Invitation for Bids for Lion's Park Fencing and Irrigation Project. The lowest responsive bidder was higher than the initial cost estimate for the project with a bid of $920,672.10. Along with a 10% contingency, the total project cost is estimated at $1,016,273.65. The project was anticipated to be completed with both CDBG funds in the amount of $405,197.72 and IRWM grant funds in the amount of $373,670. The project is now short approximately $238,000 and would require a significant reduction of the scope which could lead to not meeting the intent of the project and potentially disqualifying use of some of the existing IRWM grant funds.

The reprogrammed funds will provide the necessary funding to fully fund the project including a 10% contingency. Without the reprogramming of these funds, the project would require additional funding form the General Fund or the project scope would have to be reduced to lower the project cost.

ALTERNATIVES:

Do not approve the reprogramming and provide additional direction.

BUDGETED?:

No
CONTRACT/AGREEMENT:

No
ATTACHMENTS:

1. Resolution 2025-128.docx

2. Draft CDBG Reprogramming Request Letter_September 10, 2025.pdf 537
Resolution 2025-128

Page 1 of 3 ends

RESOLUTION 2025-128

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

REPROGRAMMING APPROVED COMMUNITY DEVELOPMENT BLOCK GRANT PROJECT FUNDS IN THE AMOUNT OF $237,405.93 FROM FY 2019-20 – REPPLIER PARK REHABILITATION AND IMPROVEMENT PROJECT ($82,236.13) AND FY 2020- 21 – ROOSEVELT WILLIAMS PARK PROJECT ($20,400) AND FY 2020-21 – SYLVAN PARK IMPROVEMENT PROJECT ($134,769.80) TO LION’S PARK IMPROVEMENT PROJECT #2 ($237,405.93)
WHEREAS, the City of Banning is a cooperating City in the Community Development Block Grant Program administered through Riverside County’s Housing, Homelessness Prevention and Workforce Solutions Division (HHWS); and WHEREAS, on January 14, 2025, the City of Banning City Council adopted Resolution 2025-07 authorizing the reprogramming $268,414 of CDBG funds in anticipation of combining with $373,673 from the Integrated Regional Water Management grant to complete the Lion’s Park Irrigation and Fencing project with a total amount of $778,197.28 in project funding; and WHEREAS, on July 7, 2025, the City of Banning issued an Invitation for Bids (IFB) for the Lion’s Park Non-Potable Water Irrigation and Fencing Project; and WHEREAS, on August 13, 2025, the City received five bids with the lowest responsive bid amount of $920,672.10 requiring approximately $$238,000 in additional funding to cover the project including a 10% contingency; and
WHEREAS, the City has three outstanding CDBG projects from FY 2019/20 & 2020/21 CDBG funds totaling $237,405.93; and
WHEREAS, the majority of the Repplier Park Rehabilitation Project has been completed and the Roosevelt Williams Fencing project does not have sufficient funding to complete the project; and
WHEREAS, the Sylvan Park Improvement Project # 1, included replacement of the picnic shelter at Sylvan Park and will be a requested project application in FY 2026/27 CDBG funding cycle; and
WHEREAS, the reprogramming of the remaining CDBG funds to Lion’s Park Project #2 will provide the necessary funding to complete the project and make significant improvements to Banning parks system.

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

SECTION 1. Authorizing the reprogramming of the remaining Fiscal Year 2019/2020 (CDBG Program 5.BN.48.20) Community Development Block Grant Funds in the amount of $82,236.13, Fiscal Year 2020/21(CDBG Program 5.BN.52-21) Community Block Grant Funds and Fiscal Year 2020/2021 (CDBG Program 5.BN.53.21) Community Development Block Grant Funds in the amount of $134,769.80 to Fiscal Year 2022/2023 (CDBG Program 5.BN.59-22) Lion’s Park Project # 2 in the amount of $237,405.93..
538
Resolution 2025-128

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SECTION 2. Authorizing the City Manager or his designee to make necessary budget adjustments, appropriations and transfers to Fiscal Years 2019/2020, 2020/2021 and 2022/2023 CDBG Program Funds.

SECTION 3. Authorizing the City Manager or his designee to submit a letter requesting the reprogramming of CDBG program funds to the County of Riverside, Housing, Homelessness Prevention and Workforce Solutions Division.

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 9th day of January 2025 Sherri Flynn, Mayor
City of Banning
ATTEST:

Sandra Calderon
Acting Administrative City Clerk
City of Banning
APPROVED AS TO FORM:

John Pinkney, City Attorney
539
Resolution 2025-128

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CERTIFICATION:

I, Sandra Calderon, Administrative City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2025-128, 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 2025 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Sandra Calderon
Acting Administrative City Clerk
City of Banning, California
540
Our Mission as a City is to provide citizens a safe, pleasant, and prosperous community in which to live, work and play. We will achieve this in a cost effective, citizen friendly and open manner.

CITY OF BANNING
99 E. Ramsey, Banning, CA 92220
(951) 922-3241
September 10, 2025

Anna Varona-Doromal
CDBG Development Specialist III
County of Riverside
Housing, Homelessness Prevention and Workforce Solutions 3403 10th Street Suite 300
Riverside, CA 92501

Subject: Request to reprogram a total of $237,405.93 CDBG Funds from CDBG FY 2019/2020 Funds in the amount of $82,236.13from Repplier Park Rehabilitation and Improvement Project and CDBG FY 2020/2021 Funds in the amount of $20,400 from Roosevelt Williams Park Project and $134,769.80 from Sylvan Park Improvement Project.

Please accept this request to reprogram CDBG FY 2019/2020 Funds in the amount of $82,236.13 Repplier Park Rehabilitation and Improvement Project (5.BN.48-20) and CDBG FY 2020/2021 Funds in the amount of $20,400 from Roosevelt Williams Park Project(5.BN.52-21) and $134,769.80 from Sylvan Park Improvement Project (5.BN.53-21) to FY 2022/2023 Lion’s Park Irrigation and Fencing Project ($37,405.93).

Reprogramming of the above named funds will close out these existing projects and allow the City to complete the Lion’s Park Irrigation and Fencing Project and draw down a large percentage of our outstanding allocated CDBG funds

The certified Resolution 2025-128 is enclosed as approved by City Council on September 9, 2025.

If you have any questions or would like further verification, please contact me at [email protected].

Sincerely,
Ralph Wright
Parks and Recreation Director
541

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Arturo Vela, Acting City Manager
PREPARED BY: Perry Gerdes, Water/Wastewater Superintendent Art Vela, Public Works Director
MEETING DATE: September 9, 2025
SUBJECT: Consideration of Resolution 2025-129, Approving an Agreement in the Amount of $30,000 Per Year with Duke's Root Control, Inc. of Elgin, IL for the application of Root Control Agents within the Sewer Collections System
RECOMMENDATION:

Adopt Resolution 2025-129.

BACKGROUND:

The City of Banning’s sewer collection system consists of approximately 125 miles of collection sewer mains. The Wastewater Division of the Department of Public Works relies on root control within the sewer collection system to maintain and eliminate root growth present in sewer lines and prevent regrowth which if left unattended could lead to Sanitary Sewer Overflows (SSOs).

JUSTIFICATION:

Dukes Root Control, Inc. (“Duke's”) provides a guaranteed treatment that eliminates all live roots in sewer mains to prevent blockages caused by root intrusion. Over the years, sewer maintenance staff have identified and documented areas within the collection system that experience recurring root-related issues. To address these problems, the City has previously contracted with Duke's to apply a root-control foam within affected sewer mains. This treatment effectively removes existing roots, restores flow capacity, and helps prevent sanitary sewer overflows (SSOs).

To manage the program efficiently, staff have divided the City’s sewer collection system into two sections. Each year, approximately 13,000 linear feet of sewer main, representing half of the system that needs treatment, will be treated. This rotation ensures that each segment is covered by Dukes’ threeyear manufacturer guarantee, maintaining consistent protection and reducing the risk of blockages throughout the system.

FISCAL IMPACT:

The Agreement with Duke's Root Control, Inc. for Fiscal Year 2025/2026 is in the amount of $30,000, based on the anticipated footage to be treated. Funding for this work is available in Account No. 680- 8000-454.45-08 (Sewer Collection System). The agreement also includes four additional years at $30,000 per year, for a total not-to-exceed amount of $150,000.

ALTERNATIVES:

1. Adopt Resolution 2025-129 as recommended.

2. Adopt Resolution 2025-129 with modifications.
542

3. Do not approve Resolution 2025-129 which would result in not having root control within sewer mains.

BUDGETED?:

Yes
CONTRACT/AGREEMENT:

Yes
ATTACHMENTS:

1. Resolution_2025-129.docx

2. Banning, CA 2025 Root Control Proposal.pdf

3. Banning, CA 2025 Sole Source Letter PG.pdf

4. C01191 CSA for Root Killer Application.pdf

5. 2025 Sole Source Form - Duke's Root Control.pdf
543
Resolution 2025-129

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RESOLUTION 2025-129

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA, APPROVING AN AGREEMENT IN THE AMOUNT OF $30,000 PER YEAR WITH DUKE’S ROOT CONTROL, INC. OF ELGIN, IL FOR THE APPLICATION OF ROOT

CONTROL AGENTS WITHIN THE SEWER COLLECTIONS SYSTEM
WHEREAS, the Department of Public Works, Wastewater division operates the collection system which consists of approximately 125 miles of collection sewer mains; and WHEREAS, the Wastewater Division of the Department of Public Works relies on root control within the sewer collection system to maintain and eliminate root growth present in sewer lines and to prevent re-growth to eliminate possible Sanitary Sewer Overflows (SSOs); and WHEREAS, Duke’s Root Control, Inc. (“Duke’s”) guarantees to kill all the roots in every sewer it treats to eliminate sewer main line stoppages caused by live tree roots; and WHEREAS, the collection staff have created a list of areas within the collection system that have root issues and has contracted with Duke’s in the past to spray foam into the collection system with root killer to kill and maintain proper flow throughout the system preventing SSO’s; and
WHEREAS, staff has identified approximately 26,000 feet of areas that need to be treated and has divided these areas in half and plans to treat half of the City system for an average of 13,000 feet annually allowing the pipe section to be covered under the three-year Guarantee.

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

SECTION 1. The City Council approves the Agreement with Duke's Root Control, Inc. for Fiscal Year 2025/2026 in the amount of $30,000, based on the anticipated footage to be treated.

Funding for this work is available in Account No. 680-8000-454.45-08 (Sewer Collection System).

The agreement also includes four additional years at $30,000 per year, for a total not-to-exceed amount of $150,000.

SECTION 2. The City Council authorizes the Interim City Manager to make non-substantive changes to the Agreement with Dukes Root Control, Inc. on behalf of the City Council.

SECTION 3. The City Council authorizes the Interim City Manager, or designee, to make necessary budget adjustments, appropriations, and transfers related to this resolution.

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 9th day of September 2025. 544
Resolution 2025-129

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Sheri Flynn, Mayor
City of Banning
ATTEST:

Sandra Calderon,
Acting Administrative City Clerk,
City of Banning
APPROVED AS TO FORM:

John O. Pinkney, City Attorney Slovak,
Baron, Empey, Murphy & Pinkney LLP
545
Resolution 2025-129

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CERTIFICATION:

I, Sandra Calderon, Acting Administrative City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2025-129, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 9th day of September 2025 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Sandra Calderon, Acting Administrative City
Clerk
City of Banning, California
546
Resolution 2025-129

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EXHIBIT A
547

PROPOSAL

SEWER LINE ROOT CONTROL SERVICE
FOR

THE CITY OF BANNING, CALIFORNIA
The following proposed agreement constitutes an offer to treat municipal sewer lines so as to destroy tree roots present in the pipe, and to deter their regrowth. Duke's Root Control, Inc. will honor the prices, the guarantee and all other terms and conditions set forth in this document, provided The City of Banning accepts this agreement on or before January 1, 2026.

Submitted by: July 22, 2025
Thomas W. Edwards
Form 05-14
548

GENERAL
Duke's Root Control, Inc. (herein, Duke's) will apply EPA Registered root-control agents to various main line sanitary sewers, as selected by The City of Banning in order to kill the root growth present in the lines and to control root re-growth.

Duke's will apply the chemical, as a foam, directly to the roots via a hose that extends throughout the entire length of each sewer section. The material will be applied evenly and uniformly, so as to completely fill the sewer pipe. Duke's will not use "pour down" products or utilize high pressure application equipment.

Duke's will pump the chemical foam under low pressure to assure that the sewer section is completely filled with foam, and to ensure that foam penetrates "wye" connections.

The chemical agent will contain a herbicide to destroy root tissue and a foaming surfactant to deliver the herbicide to the targeted roots.

Your Duke's representative will return periodically throughout the life of the guarantee, to help evaluate the treated sewers and assist in developing your root control program.

All treatments will be performed by a Duke's licensed certified applicator.

COMPLIANCE
The materials will be EPA registered, labeled for the intended use in sewer lines, and registered with the California Department of Pesticide Regulation.

Duke's will comply with all applicable federal, state, and local requirements and ordinances relative to this type of material and usage thereof (OSHA, EPA, DOT, DIR and the California Department of Pesticide Regulation).

Chemical handling and treatments will be done by trained, professional applicators that are certified by the California Department of Pesticide Regulation, as required by law.

The California Department of Industrial Relations (DIR) number, necessary for public works contracts is 1000003539
The U.S. Department of Transportation (DOT) number, necessary for the transportation of root control chemicals, assigned to Duke's is 401961. Duke's will adhere to all DOT regulations relative to commercial vehicle numbering, placards and registration; driver licensing, driver drug testing, and record keeping; and all other pertinent requirements contained in Federal Motor Carrier Safety Regulations.

ROOT CONTROL MATERIAL
Duke’s will supply all components of the root-control material; in order to ensure the compatibility of said materials. All root-control materials provided by Duke’s will be specifically designed for use in sewers.

Duke’s will not use pour down products and/or products composed of acids or caustic compounds that are used to destroy roots or convey herbicide.

Duke’s will be responsible for all shipping, and storage of root control materials. Duke’s is also responsible for the disposal of spent root control material containers. 549

MANNER OF APPLICATION
Application of the chemical root control agent will be by foaming in accordance with the best-recommended practice for conditions present in the line under treatment. All foaming procedures will be in strict accordance with the instructions on the container label.

All solution will be mixed fresh, the day the work is to be performed. The water used to prepare the solution will be clear, cool, and free of acid, alkali, oxidizing agents, large amounts of oil, compounds or materials.

A foam discharge hose will be inserted throughout the entire length of the sewer section to be treated.

Hydraulic sewer cleaners or other such equipment that might damage the roots, thereby reducing the immediate absorption of the root control agent, will not be used in the treatment process.

Chemical foam will be applied under pressure to assure that the entire sewer section is completely filled with foam, and to assure that foam penetrates "wye" connections. The hose retrieval will be timed to evenly distribute the full quantity of foam throughout the entire area of treatment. The quantity of foam will be sufficient to completely fill the entire volume of the main line sewer, plus an additional 10% to allow for the penetration of material up connecting lateral sewers, and the loss of material in manholes. Sewer service to homeowners will not be interrupted.

An approved fresh water, backflow, prevention system will be provided, and will be used whenever filling any chemical storage tank with fresh water.

MIXING AND HANDLING
All liquid products will be packaged in re-usable containers that are DOT approved for such use. These containers will be part of a closed mixing and handling system. A closed mixing and handling system is provided in order to eliminate, or significantly minimize worker exposure to volatile liquid compounds.

DUKE'S RESPONSIBILITIES

1. Duke's will keep complete, accurate records of each day's operation. Records shall show the date of treatment, the sections of line treated, pipe size and distance, and other pertinent information. Records and invoice will be submitted upon completion.

2. Duke's will respect the rights of property owners, and not enter upon private property without obtaining permission from the owner.

3. Duke's will place proper traffic warning devices to protect the specific job site, and to prevent accidents or personal injury to the public.

THE CUSTOMER'S RESPONSIBILITIES

1. Provide a department representative to accompany Duke's crew, and/or sewer system drawings showing the exact locations of the pipes to be treated.

2. Assist and make provision for entering private lands, public lands and right-of-ways. Locate and uncover hidden or buried manholes

3. Provide potable water for the purpose of mixing the root control agent and for clean up. 550

GUARANTEE
Duke's guarantees to kill all the roots in every sewer it treats in order to eliminate main line sewer stoppages caused by live tree roots.

If a treated sewer plugs up due to live tree roots during the guarantee period (see below), DUKE'S will RETREAT that section, AT ITS OWN EXPENSE, or remit to The City of Banning 100% of the payment received to treat that section of sewer.

The decision of The City of Banning as to the cause of the plug-up is binding.

Duke's will apply this guarantee for a period of two (2) years, beginning on the date of treatment, and ending two years after the date of treatment.

Duke's will provide a THREE-YEAR GUARANTEE on any paid repeat applications that are performed within six months of the expiration date of the previous guarantee period.

Re-treatments, performed at no charge in honor of the guarantee, do not extend the expiration date of the guarantee.

This guarantee applies only to main line sewer stoppages caused by live tree roots. It does not apply to stoppages caused by grease or other foreign matter; flat, collapsed or deformed pipe; or flooding caused by a surcharged or plugged sewer section downstream from a guaranteed sewer section. Duke’s shall not be responsible for any damages caused by sewer stoppages.

LIABILITY
Duke's is an insured, fully licensed pesticide application company, and is certified to apply EPA registered root control products with State environmental regulatory agencies.

Duke's accepts responsibility for damage to aboveground vegetation. Duke's is not responsible for damages caused by sewer stoppages.

Certificates of insurance are available upon request.

POLLUTION AND LIABILITY INSURANCE
The Pollution and Liability Insurance described herein is in addition to all other insurance provided by Duke’s.

This coverage shall protect the Owner, and the Owner's officers, agents, and employees from claims for damages for bodily or personal injury, sickness or disease, including death; and from claims for damages to property and/or the environment, which may arise directly out of the use of chemicals and/or pollution. The amount of this insurance shall be $5,000,000.00 total loss.

QUALIFICATIONS
Duke's assists in managing over 1,000 root control programs annually, treating in excess of 250,000,000 feet of sewer, since 1976. Duke's has controlled tree roots in sewer pipes under more varying conditions than any other organization in the U.S., public or private.
551
TERM
The term of this contract is for one year. This contract may be extended up to an additional two years by The City of Banning, one year at a time, with the mutual consent of both parties.

PRICE SCHEDULE
Minimum Annual Contract Amount: 6,000.00
Prices are computed per linear foot, manhole-to-manhole. 552

AGREEMENT
On this day, the day of , 20 The City of Banning, California, and Duke's Root Control, Inc., New York corporation, do accept the terms of the proposal attached hereto.

THE CITY OF BANNING, CALIFORNIA
_______________________
Name, Title
_______________________
Name, Title
DUKE'S ROOT CONTROL, INC.

July 22, 2025
Matthew Grandinetti
Vice President, Sales
Duke's Root Control, Inc.
400 Airport Rd. Suite E
Elgin, IL 60123
553
Headquarters: 400 Airport Rd., Suite E. | Elgin, IL 60123 July 22, 2025
Perry Gerdes
Banning, City
P.O. Box 998
Banning, Ca 92220
RE: Razorooter® Patent and Licensing Information
Dear Perry,
RAZOROOTER®, a proprietary product of Duke’s Root Control, Inc., is the only diquat-based, sewer root control product that is registered with the U.S. Environmental Protection Agency (EPA Registration No. 94625-3).

At the present time, Duke’s Root Control, Inc. is the only commercial applicator licensed to apply RAZOROOTER® in California. Duke’s is registered with the California Department of Pesticide Regulation, and Duke’s applicators are certified with this same agency to perform pesticide applications to sewers.

If you have any questions or require additional information, please contact me at 1-800-447-6687.

Sincerely,
Tom Edwards
Duke’s Root Control, Inc.

Regional Sales Manager
800.447.6687 | www.Dukes.com554
AGREEMENT FOR CONTRACT SERVICES (C01058)

FOR APPLICATION OF ROOT KILLER WITHIN THE CITY'S

SEWER MAINS
By and Between

THE CITY OF BANNING,

A MUNICIPAL CORPORATION
and
DUKE'S ROOT CONTROL, INC.,
a New York corporation
555
-1-
AGREEMENT FOR CONTRACT SERVICES (C01190) FOR APPLICATION OF

ROOT KILLER WITHIN THE CITY'S SEWER MAINS BY AND BETWEEN CITY OF BANNING AND DUKE'S ROOT CONTROL, INC.

THIS AGREEMENT FOR CONTRACT SERVICES (herein” Agreement”) is made and entered into this day: ________________, by and between the CITY OF BANNING, a municipal corporation (“City”) and DUKE'S ROOT CONTROL, INC., a New York corporation and licensed contractor (California License Number 82732) (“Contractor”). City and Contractor are sometimes hereinafter individually referred to as “Party” and hereinafter collectively referred to as the “Parties.”.

RECITALS
A. City has sought by issuance of a proposal for the performance of the Services defined and described particularly in Article 1 of this Agreement.

B. Contractor, following submission of a proposal for the performance of the Services defined and described particularly in Article 1 of this Agreement, was selected by the City to perform those Services.

C. Pursuant to the City of Banning’s Municipal Code, City has authority to enter into this Agreement.

D. The Parties desire to formalize the selection of Contractor for performance of those Services defined and described particularly in Section 1 of this Agreement and desire that the terms of that performance be as particularly defined and described herein.

OPERATIVE PROVISIONS
NOW, THEREFORE, in consideration of the mutual promises and covenants made by the Parties and contained herein and other consideration, the value and adequacy of which are hereby acknowledged, the parties agree as follows:

ARTICLE 1. SERVICES OF CONTRACTOR

1.1 Scope of Services.

In compliance with all terms and conditions of this Agreement, the Contractor shall provide those Services specified in the “Scope of Services” attached hereto as Exhibit “A” and “A-1” and incorporated herein by this reference, which Services may be referred to herein as the “Services” or “Work” hereunder. As a material inducement to the City entering into this Agreement, Contractor represents and warrants that it has the qualifications, experience, and facilities necessary to properly perform the Services required under this Agreement in a thorough, competent, and professional manner, and is experienced in performing the Work and Services contemplated herein. Contractor shall at all times faithfully, competently and to the best of its ability, experience and talent, perform all Services described herein. Contractor covenants that it shall follow the highest professional standards in performing the Work and Services required hereunder and that all materials will be of good quality, fit for the purpose intended. For purposes of this Agreement, the phrase “highest professional standards” shall mean those standards of practice recognized by one or more first-class firms performing similar work under similar circumstances.
556
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1.2 Contractor’s Proposal.

The Scope of Services shall include the Contractor’s scope of work or bid which shall be incorporated herein by this reference as though fully set forth herein. In the event of any inconsistency between the terms of such proposal and this Agreement, the terms of this Agreement shall govern.

1.3 Compliance with Law.

Contractor shall keep itself informed concerning, and shall render all Services hereunder in accordance with all ordinances, resolutions, statutes, rules, and regulations of the City and any Federal, State or local governmental entity having jurisdiction in effect at the time service is rendered.

1.4 Licenses, Permits, Fees and Assessments.

Contractor shall obtain at its sole cost and expense such licenses, permits and approvals as may be required by law for the performance of the Services required by this Agreement.

Contractor shall have the sole obligation to pay for any fees, assessments and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for the Contractor’s performance of the Services required by this Agreement, and shall indemnify, defend and hold harmless City, its officers, employees or agents of City, against any such fees, assessments, taxes penalties or interest levied, assessed or imposed against City hereunder.

1.5 Familiarity with Work.

By executing this Agreement, Contractor warrants that Contractor (i) has thoroughly investigated and considered the Scope of Services to be performed, (ii) has carefully considered how the Services should be performed, and (iii) fully understands the facilities, difficulties and restrictions attending performance of the Services under this Agreement. If the Services involve work upon any site, Contractor warrants that Contractor has or will investigate the site and is or will be fully acquainted with the conditions there existing, prior to commencement of Services hereunder. Should the Contractor discover any latent or unknown conditions, which will materially affect the performance of the Services hereunder, Contractor shall immediately inform the City of such fact and shall not proceed except at Consultant’s risk until written instructions are received from the Contract Officer.

1.6 Care of Work.

The Contractor shall adopt reasonable methods during the life of the Agreement to furnish continuous protection to the Work, and the equipment, materials, papers, documents, plans, studies and/or other components thereof, to prevent losses or damages, and shall be responsible for all such damages, to persons or property, until acceptance of the Work by City, except such losses or damages as may be caused by City’s own negligence.

1.7 Warranty.

Contractor warrants all under the Agreement (which for purposes of this Section shall be deemed to include unauthorized Work which has not been removed and any non-conforming materials incorporated into the Work) to be of good quality and free from any defective or faulty material and workmanship. Contractor agrees to warranty labor for ninety (90) days. Parts, materials, and workmanship for a period of one year (or the period of time specified elsewhere in 557
-3-
the Agreement or in any guarantee or warranty provided by any manufacturer or supplier of equipment or materials incorporated into the Work, whichever is later) after the date of final acceptance, Contractor shall within ten (10) days after being notified in writing by the City of any defect in the Work or non-conformance of the Work to the Agreement, commence and prosecute with due diligence all Work necessary to fulfill the terms of the warranty at his sole cost and expense. Contractor shall act sooner as requested by the City in response to an emergency. In addition, Contractor shall, at its sole cost and expense, repair and replace any portions of the Work (or work of other contractors) damaged by its defective Work or which becomes damaged in the course of repairing or replacing defective Work. Contractor shall perform such tests as the City may require to verify that any corrective actions, including, without limitation, redesign, repairs, and replacements comply with the requirements of the Agreement. All costs associated with such corrective actions and testing, including the removal, replacement, and reinstitution of equipment and materials necessary to gain access, shall be the sole responsibility of the Contractor. All warranties and guarantees of subcontractors, suppliers and manufacturers with respect to any portion of the Work, whether express or implied, are deemed to be obtained by Contractor for the benefit of the City, regardless of whether or not such warranties and guarantees have been transferred or assigned to the City by separate agreement and Contractor agrees to enforce such warranties and guarantees, if necessary, on behalf of the City. In the event that Contractor fails to perform its obligations under this Section, or under any other warranty or guaranty under this Agreement, to the reasonable satisfaction of the City, the City shall have the right to correct and replace any defective or non-conforming Work and any Work damaged by such Work or the replacement or correction thereof at Contractor’s sole expense. Contractor shall be obligated to fully reimburse the City for any expenses incurred hereunder upon demand. This provision may be waived in Exhibit “B” if the Services hereunder do not include construction of any improvements or the supplying of equipment or materials.

1.8 Prevailing Wages.

Contractor is aware of the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 1600, et seq., (“Prevailing Wage Laws”), which require the payment of prevailing wage rates and the performance of other requirements on “Public Works” and “Maintenance” projects. If the Services are being performed as part of an applicable “Public Works” or “Maintenance” project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000.00 or more, Contractor agrees to fully comply with such Prevailing Wage Laws. City shall provide Contractor with a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement.

Contractor shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Services available to interested parties upon request, and shall post copies at the Contractor’s principal place of business and at the project site. Contractor shall defend, indemnify and hold the City, its elected officials, officers, employees and agents free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws.

1.9 Further Responsibilities of Parties.

Both Parties agree to use reasonable care and diligence to perform their respective obligations under this Agreement. Both Parties agree to act in good faith to execute all instruments, prepare all documents and take all actions as may be reasonably necessary to carry out the purposes of this Agreement. Unless hereafter specified, neither Party shall be responsible for the Services of the other.
558
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1.10 Additional Services.

City shall have the right at any time during the performance of the Services, without invalidating this Agreement, to order extra Work beyond that specified in the Scope of Services or make changes by altering, adding to or deducting from said Work. No such extra Work may be undertaken unless a written order is first given by the Contract Officer to the Contractor, incorporating therein any adjustment in (i) the Contract Sum, and/or (ii) the time to perform this Agreement, which said adjustments are subject to the written approval of the Contractor. Any increase in compensation of up to five percent (5%) of the Contract Sum or $25,000.00, whichever is less; or in the time to perform of up to one hundred eighty (180) days may be approved by the Contract Officer. Any greater increases, taken either separately or cumulatively must be approved by the City Council. It is expressly understood by Contractor that the provisions of this Section shall not apply to Services specifically set forth in the Scope of Services or reasonably contemplated therein. Contractor hereby acknowledges that it accepts the risk that the Services to be provided pursuant to the Scope of Services may be more costly or time consuming than Contractor anticipates and that Contractor shall not be entitled to additional compensation therefor.

1.11 Special Requirements.

Additional terms and conditions of this Agreement, if any, which are made a part hereof are set forth in the “Special Requirements” attached hereto as Exhibit “B” and incorporated herein by this reference. In the event of a conflict between the provisions of Exhibit “B” and any other provisions of this Agreement, the provisions of Exhibit “B” shall govern.

ARTICLE 2. COMPENSATION AND METHOD OF PAYMENT.

2.1 Contract Sum.

Subject to any limitations set forth in this Agreement, City agrees to pay Contractor the amounts specified in the “Schedule of Compensation” attached hereto as Exhibit “C” and “C-1”, and incorporated herein by this reference. The total compensation, including reimbursement for actual expenses, shall not exceed, Thirty Thousand Dollars ($30,000.00) (the “Contract Sum”), unless additional compensation is approved pursuant to Section 1.10.

2.2 Method of Compensation.

The method of compensation may include: (i) a lump sum payment upon completion, (ii) payment in accordance with specified tasks or the percentage of completion of the Services, (iii payment for time and materials based upon the Contractor’s rates as specified in the Schedule of Compensation, provided that time estimates are provided for the performance of sub tasks, but not exceeding the Contract Sum or (iv) such other methods as may be specified in the Schedule of Compensation.

2.3 Reimbursable Expenses.

Compensation may include reimbursement for actual and necessary expenditures for reproduction costs, telephone expenses, and travel expenses approved by the Contract Officer in advance, or actual subcontractor expenses if an approved subcontractor pursuant to Section 4.5, and only if specified in the Schedule of Compensation. The Scope of Services shall include the attendance of Contractor at all project meetings reasonably deemed necessary by the City.

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Contractor is required to attend meetings in addition to the project meetings, to facilitate coordination of the Services and/or Work, Contractor shall not be entitled to any additional compensation for attending said meetings.

2.4 Invoices.

Each month Contractor shall furnish to City an original invoice for all Work performed and expenses incurred during the preceding month in a form approved by City’s Director of Finance. The invoice shall detail charges for all necessary and actual expenses by the following categories: labor (by sub-category), travel, materials, equipment, supplies, and sub-contractor charges. Sub-contractor charges shall also be detailed by such categories.

City shall independently review each invoice submitted by the Contractor to determine whether the Work performed and expenses incurred are in compliance with the provisions of this Agreement. Except as to any charges for Work performed or expenses incurred by Contractor which are disputed by City, or as provided in Section 7.3. City will use its best efforts to cause Contractor to be paid within forty-five (45) days of receipt of Contractor’s correct and undisputed invoice. In the event any charges or expenses are disputed by City, the original invoice shall be returned by City to Contractor for correction and resubmission.

2.5 Waiver.

Payment to Contractor for Work performed pursuant to this Agreement shall not be deemed to waive any defects in Work performed by Contractor.

ARTICLE 3. PERFORMANCE SCHEDULE

3.1 Time of Essence.

Time is of the essence in the performance of this Agreement.

3.2 Schedule of Performance.

Contractor shall commence the Services pursuant to this Agreement upon receipt of a written notice to proceed and shall perform all Services within the time period(s) established in the “Schedule of Performance” attached hereto as Exhibit “D” and incorporated herein by this reference.

3.3 Force Majeure.

The time period(s) specified in the Schedule of Performance for performance of the Services rendered pursuant to this Agreement shall be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of the Contractor, including, but not restricted to, acts of God or of the public enemy, unusually severe weather, fires, earthquakes, floods, epidemics, quarantine restrictions, riots, strikes, freight embargoes, wars, litigation, and/or acts of any governmental agency, including the City, if the Contractor shall within ten (10) days of the commencement of such delay notify the Contract Officer in writing of the causes of the delay. The Contract Officer shall ascertain the facts and the extent of delay, and extend the time for performing the Services for the period of the enforced delay when and if in the judgment of the Contract Officer such delay is justified. The Contract Officer’s determination shall be final and conclusive upon the parties to this Agreement. In no event shall Contractor be entitled to recover damages against the City for any delay in the performance of this Agreement, 560
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however caused, Contractor’s sole remedy being extension of the Agreement pursuant to this Section.

3.4 Inspection and Final Acceptance.

City may inspect and accept or reject any of Contractor’s Work under this Agreement, either during performance or when completed. City shall reject or finally accept Contractor’s Work within forty-five (45) days after it is submitted to City. City shall accept Work by a timely written acceptance, otherwise work shall be deemed to have been rejected. City’s acceptance shall be conclusive as to such work except with respect to latent defects, fraud and such gross mistakes as amount to fraud. Acceptance of any Work by City shall not constitute a waiver of any of the provisions of this Agreement including, but not limited to, Article 1 and 5, pertaining to warranty, and indemnification and insurance, respectively.

3.5 Term.

Unless earlier terminated in accordance with Article 7 of this Agreement, the term of this Agreement shall commence upon execution by both Parties with an option to extend for four oneyear terms as extended in writing in advance by both Parties. Maximum term and any subsequent amendment or modification shall not exceed five (5) years.

ARTICLE 4. COORDINATION OF WORK

4.1 Representatives and Personnel of Contractor.

The following principal of Contractor (Principal) is hereby designated as being the principal and representative of Contractor authorized to act in its behalf with respect to the Work specified herein and make all decisions in connection therewith.

Tom Edwards
It is expressly understood that the experience, knowledge, capability and reputation of the foregoing principal was a substantial inducement for City to enter into this Agreement. Therefore, the foregoing principal shall be responsible during the term of this Agreement for directing all activities of Contractor and devoting sufficient time to personally supervise the Services hereunder. All personnel of Contractor, and any authorized agents, shall at all times be under the exclusive direction and control of the Principal. For purposes of this Agreement, the foregoing Principal may not be replaced nor may their responsibilities be substantially reduced by Contractor without the express written approval of City. Additionally, Contractor shall make every reasonable effort to maintain the stability and continuity of Contractor’s staff and subcontractors, if any, assigned to perform the Services required under this Agreement. Contractor shall notify City of any changes in Contractor’s staff and subcontractors, if any, assigned to perform the Services required under this Agreement, prior to and during any such performance.

4.2 Status of Contractor.

Contractor shall have no authority to bind City in any manner, or to incur any obligation, debt or liability of any kind on behalf of or against City, whether by contract or otherwise, unless such authority is expressly conferred under this Agreement or is otherwise expressly conferred in writing by City. Contractor shall not at any time or in any manner represent that Contractor or any of Contractor’s officers, employees, or agents are in any manner officials, officers, employees or agents of City. Neither Contractor, nor any of Contractor’s officers, employees or agents, shall 561
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obtain any rights to retirement, health care or any other benefits which may otherwise accrue to City’s employees. Contractor expressly waives any claim Contractor may have to any such rights.

4.3 Contract Officer.

The Contract Officer shall be such person as may be designated by the City Manager. It shall be the Contractor’s responsibility to assure that the Contract Officer is kept informed of the progress of the performance of the Services and the Contractor shall refer any decisions which must be made by City to the Contract Officer. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the Contract Officer. The Contract Officer shall have authority, if specified in writing by the City Manager, to sign all documents on behalf of the City required hereunder to carry out the terms of this Agreement.

4.4 Independent Contractor.

Neither the City nor any of its employees shall have any control over the manner, mode or means by which Contractor, its agents or employees, perform the Services required herein, except as otherwise set forth herein. City shall have no voice in the selection, discharge, supervision or control of Contractor’s employees, servants, representatives or agents, or in fixing their number, compensation or hours of service. Contractor shall perform all Services required herein as an independent contractor of City and shall remain at all times as to City a wholly independent contractor with only such obligations as are consistent with that role. Contractor shall not at any time or in any manner represent that it or any of its agents or employees are agents or employees of City. City shall not in any way or for any purpose become or be deemed to be a partner of Contractor in its business or otherwise or a joint venturer or a member of any joint enterprise with Contractor.

4.5 Prohibition Against Subcontracting or Assignment.

The experience, knowledge, capability and reputation of Contractor, its principals and employees were a substantial inducement for the City to enter into this Agreement. Therefore, Contractor shall not contract with any other entity to perform in whole or in part the Services required hereunder without the express written approval of the City. In addition, neither this Agreement nor any interest herein may be transferred, assigned, conveyed, hypothecated or encumbered voluntarily or by operation of law, whether for the benefit of creditors or otherwise, without the prior written approval of City. Transfers restricted hereunder shall include the transfer to any person or group of persons acting in concert of more than twenty-five percent (25%) of the present ownership and/or control of Contractor, taking all transfers into account on a cumulative basis. In the event of any such unapproved transfer, including any bankruptcy proceeding, this Agreement shall be void. No approved transfer shall release the Contractor or any surety of Contractor of any liability hereunder without the express consent of City.

ARTICLE 5. INSURANCE, INDEMNIFICATION AND BONDS

5.1 Insurance Coverages.

Throughout the life of this Agreement, Contractor shall pay for and maintain in full force and effect all policies of insurance required hereunder with an insurance company(ies) that meet the standards specified in Section 5.5. The following policies of insurance are required:
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(i) COMMERCIAL GENERAL LIABILITY insurance which shall be at least as broad as the most current version of Insurance Services Office (ISO) Commercial General Liability Coverage Form CG 00 01 and include insurance for “bodily injury,” “property damage” and “personal and advertising injury” with coverage for premises and operations (including the use of owned and non-owned equipment), products and completed operations, and contractual liability (including, without limitation, indemnity obligations under the Contract) with limits of liability of not less than the following:
$1,000,000 per occurrence for bodily injury and property damage $1,000,000 per occurrence for personal and advertising injury $2,000,000 aggregate for products and completed operations $2,000,000 general aggregate
(ii) COMMERCIAL AUTOMOBILE LIABILITY insurance which shall be at least as broad as the most current version of Insurance Service Office (ISO) Business Auto Coverage Form CA 00 01, and include coverage for all owned, hired, and non-owned automobiles or other licensed vehicles (Code 1 Any Auto) with limits of liability of not less than $1,000,000 per accident for bodily injury and property damage.
(iii) WORKERS’ COMPENSATION insurance as required under the California Labor Code.
(iv) EMPLOYERS’ LIABILITY insurance with limits of liability of not less than $1,000,000 each accident, $1,000,000 disease policy limit and $1,000,000 disease each employee.
(v) PROFESSIONAL LIABILITY Professional Liability (Errors and Omissions) insurance appropriate to Contractor’s profession, with limits of liability of $1,000,000 per claim/occurrence and $1,000,000 policy aggregate.

In the event Contractor purchases an Umbrella or Excess insurance policy(ies) to meet the minimum limits of insurance set forth above, this insurance policy(ies) shall “follow form” and afford no less coverage than the primary insurance policy(ies).

If this Agreement continues for more than three (3) years duration, or in the event the City Manager or his/her designee determines that the work or Services to be performed under this Agreement creates an increased or decreased risk of loss to the City, the Contractor agrees that the minimum limits of the insurance policies may be changed accordingly upon receipt of written notice from the City Manager, or his/her designee.

Contractor shall be responsible for payment of any deductibles contained in any insurance policies required hereunder and Contractor shall also be responsible for payment of any self-insured retentions.

Any deductibles or self-insured retentions must be declared to, and approved by, the City Manager or his/her designee. At the option of the City Manager or his/her designee, either: (i) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects to City, its Council members, officers, officials, employees and agents; or (ii) Contractor shall provide a financial guarantee, satisfactory to the City Manager or his/her designee, guaranteeing payment of losses 563
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and related investigations, claim administration and defense expenses. At no time shall the City be responsible for the payment of any deductibles or self-insured retentions.

5.2 General Requirements.

All policies of insurance required hereunder shall be endorsed to provide that the coverage shall not be cancelled, non-renewed, reduced in coverage or in limits except after 30 calendar day written notice has been given to City. Upon issuance by the insurer, broker, or agent of a notice of cancellation, non-renewal, or reduction in coverage or in limits, Contractor shall furnish City with a new certificate and applicable endorsements for such policy(ies). In the event any policy is due to expire during the work to be performed for City, Contractor shall provide a new certificate, and applicable endorsements, evidencing renewal of such policy not less than 15 calendar days prior to the expiration date of the expiring policy.

The General Liability and Automobile Liability insurance policies shall be written on an occurrence form. The General Liability (including ongoing and completed operations) and Automobile Liability shall name City and its officers, officials, employees, agents and volunteers as an additional insured. Such policy(ies) of insurance shall be endorsed so Contractor’s insurance shall be primary and no contribution shall be required of City. The coverage shall contain no special limitations on the scope of protection afforded to the City and its officers, officials, employees, agents and volunteers. The Workers’ Compensation insurance policy shall contain a waiver of subrogation as to City and its officers, officials, employees, agents and volunteers.

Should Contractor maintain insurance with broader coverage and/or limits of liability greater than those shown above, City requires and shall be entitled to the broader coverage and/or the higher limits of liability maintained by Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to City.

If the Professional Liability (Errors and Omissions) insurance policy is written on a claims-made form:

1. The retroactive date must be shown, and must be before the effective date of the Agreement or the commencement of work by Contractor.

2. Insurance must be maintained and evidence of insurance must be provided for at least three years after any expiration or termination of the Agreement or, in the alternative, the policy shall be endorsed to provide not less than a three-year discovery period.

3. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a retroactive date prior to the effective date of the Agreement or the commencement of work by Contractor, Contractor must purchase extended reporting coverage for a minimum of three years following the expiration or termination of the Agreement.

4. A copy of the claims reporting requirements must be submitted to City for review.

5. These requirements shall survive expiration or termination of the Agreement.

Contractor shall furnish City with all certificate(s) and applicable endorsements effecting coverage required hereunder. All certificates and applicable endorsements are to be received and approved by the City Manager or his/her designee prior to City’s execution of the Agreement and before work commences.
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If at any time during the life of this Agreement or any extension, Contractor or any of its subcontractors fail to maintain any required insurance in full force and effect, all work under this Agreement shall be discontinued immediately, and all payments due or that become due to Contractor shall be withheld until notice is received by City that the required insurance has been restored to full force and effect and that the premiums therefore have been paid for a period satisfactory to City. Any failure to maintain the required insurance shall be sufficient cause for City to terminate this Agreement. No action taken by City hereunder shall in any way relieve Contractor of its responsibilities under this Agreement.

Upon request of City, Contractor shall immediately furnish City with a complete copy of any insurance policy required under this Agreement, including all endorsements, with said copy certified by the underwriter to be a true and correct copy of the original policy. This requirement shall survive expiration or termination of this Agreement.

The fact that insurance is obtained by Contractor shall not be deemed to release or diminish the liability of Contractor, including, without limitation, liability under the indemnity provisions of this Agreement. The duty to indemnify City and its officers, officials, employees, agents and volunteers shall apply to all claims and liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by Contractor. Approval or purchase of any insurance contracts or policies shall in no way relieve from liability nor limit the liability of Contractor, its principals, officers, employees, agents, persons under the supervision of Contractor, vendors, suppliers, invitees, subcontractors, or anyone employed directly or indirectly by any of them.

If Contractor should subcontract all or any portion of the Services to be performed under this Agreement, Contractor shall require each subcontractor to provide insurance protection in favor of City and its officers, officials, employees, agents and volunteers in accordance with the terms of each of the preceding paragraphs, except that the subcontractors’ certificates and endorsements shall be on file with Contractor and City prior to the commencement of any work by the subcontractor.

5.3 Indemnification, Hold Harmless, and Duty to Defend.

A. Indemnities.
1) To the fullest extent permitted by law, Contractor shall, at its sole cost and expense, defend, hold harmless and indemnify City and its elected officials, officers, attorneys, agents, employees, designated volunteers, successors, assigns and those City agents serving as independent contractors in the role of City officials (collectively “Indemnitees”), from and against any and all damages, costs, expenses, liabilities, claims, demands, causes of action, proceedings, expenses, judgments, penalties, liens, and losses of any nature whatsoever, including fees of accountants, attorneys, or other professionals and all costs associated therewith and the payment of all consequential damages (collectively “Liabilities”), in law or equity, whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to the acts or omissions of Contractor, its officers, agents, servants, employees, subcontractors, materialmen, Contractors or their officers, agents, servants or employees (or any entity or individual that Contractor shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees’ active or passive negligence, except for Liabilities arising from the sole negligence or willful misconduct of the Indemnitees as determined by court decision or by the agreement of the Parties. Contractor shall defend the Indemnitees in any action or actions filed in connection with any Liabilities with counsel of the Indemnitees’ choice, and shall pay all costs 565
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and expenses, including all attorneys’ fees and experts’ costs actually incurred in connection with such defense. Contractor shall reimburse the Indemnitees for any and all legal expenses and costs incurred by Indemnitees in connection therewith.
2) Contractor shall pay all required taxes on amounts paid to Contractor under this Agreement, and indemnify and hold City harmless from any and all taxes, assessments, penalties, and interest asserted against City by reason of the independent contractor relationship created by this Agreement. Contractor shall fully comply with the workers’ compensation law regarding Contractor and Contractor’s employees. Contractor shall indemnify and hold City harmless from any failure of Contractor to comply with applicable workers’ compensation laws. City may offset against the amount of any fees due to Contractor under this Agreement any amount due to City from Contractor as a result of Contractor’s failure to promptly pay to City any reimbursement or indemnification arising under this subparagraph A.2). 3) Contractor shall obtain executed indemnity agreements with provisions identical to those in this Section from each and every subcontractor or any other person or entity involved by, for, with or on behalf of Contractor in the performance of this Agreement.

If Contractor fails to obtain such indemnity obligations, Contractor shall be fully responsible and indemnify, hold harmless and defend the Indemnitees from and against any and all Liabilities at law or in equity, whether actual, alleged or threatened, which arise out of, are claimed to arise out of, pertain to, or relate to the acts or omissions of Contractor’s subcontractor, its officers, agents, servants, employees, subcontractors, materialmen, Contractors or their officers, agents, servants or employees (or any entity or individual that Contractor’s subcontractor shall bear the legal liability thereof) in the performance of this Agreement, including the Indemnitees’ active or passive negligence, except for Liabilities arising from the sole negligence or willful misconduct of the Indemnitees as determined by court decision or by the agreement of the Parties.

B. Workers’ Compensation Acts not Limiting. Contractor’s indemnifications and obligations under this Section, or any other provision of this Agreement, shall not be limited by the provisions of any workers’ compensation act or similar act. Contractor expressly waives its statutory immunity under such statutes or laws as to City, its officers, agents, employees and volunteers.

C. Insurance Requirements not Limiting. City does not, and shall not, waive any rights that it may possess against Contractor because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required pursuant to this Agreement. The indemnities in this Section shall apply regardless of whether or not any insurance policies are determined to be applicable to the Liabilities, tax, assessment, penalty or interest asserted against City.

D. Survival of Terms. Contractor’s indemnifications and obligations under this Section shall survive the expiration or termination of this Agreement.

5.4 Performance Bond.

Concurrently with execution of this Agreement, and if required in Exhibit “B”, Contractor shall deliver to City performance bond in the sum of the amount of the Contract Sum, in the form provided by the City Clerk, which secures the faithful performance of this Agreement. The bond shall contain the original notarized signature of an authorized officer of the surety and affixed thereto shall be a certified and current copy of his power of attorney. The bond shall be unconditional and remain in force during the entire term of the Agreement and shall be null and 566
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void only if the Contractor promptly and faithfully performs all terms and conditions of this Agreement.

5.5 Sufficiency of Insurer or Surety.

Insurance or bonds required by this Agreement shall be satisfactory only if issued by companies qualified to do business in California, rated “A” or better in the most recent edition of Best Rating Guide, The Key Rating Guide or in the Federal Register, and only if they are of a financial category Class VII or better, unless such requirements are waived by the Risk Manager of the City (“Risk Manager”) due to unique circumstances. If this Agreement continues for more than three (3) years duration, or in the event the Risk Manager determines that the work or Services to be performed under this Agreement creates an increased or decreased risk of loss to the City, the Contractor agrees that the minimum limits of the insurance policies and the performance bond required by Section 5.4 may be changed accordingly upon receipt of written notice from the Risk Manager; provided that the Contractor shall have the right to appeal a determination of increased coverage by the Risk Manager to the City Council of City within ten (10) days of receipt of notice from the Risk Manager.

ARTICLE 6. RECORDS, REPORTS, AND RELEASE OF INFORMATION

6.1 Records.

Contractor shall keep, and require subcontractors to keep, such ledgers, books of accounts, invoices, vouchers, canceled checks, reports, studies or other documents relating to the disbursements charged to City and Services performed hereunder (the “Books and Records”), as shall be necessary to perform the Services required by this Agreement and enable the Contract Officer to evaluate the performance of such Services. Any and all such Books and Records shall be maintained in accordance with generally accepted accounting principles and shall be complete and detailed. The Contract Officer shall have full and free access to such Books and Records at all times during normal business hours of City, including the right to inspect, copy, audit and make records and transcripts from such Books and Records. Such Books and Records shall be maintained for a period of 3 years following completion of the Services hereunder, and the City shall have access to such Books and Records in the event any audit is required. In the event of dissolution of Contractor’s business, custody of the Books and Records may be given to City, and access shall be provided by Contractor’s successor in interest.

6.2 Reports.

Contractor shall periodically prepare and submit to the Contract Officer such reports concerning the performance of the Services required by this Agreement as the Contract Officer shall require. Contractor hereby acknowledges that the City is greatly concerned about the cost of Work and Services to be performed pursuant to this Agreement. For this reason, Contractor agrees that if Contractor becomes aware of any facts, circumstances, techniques, or events that may or will materially increase or decrease the cost of the Work or Services contemplated herein or, if Contractor is providing Design Services, the cost of the project being designed, Contractor shall promptly notify the Contract Officer of said fact, circumstance, technique or event and the estimated increased or decreased cost related thereto and, if Contractor is providing design Services, the estimated increased or decreased cost estimate for the project being designed. 567
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6.3 Ownership of Documents.

All drawings, specifications, maps, designs, photographs, studies, surveys, data, notes, computer files, reports, records, documents and other materials (the “Documents and Materials”) prepared by Contractor, its employees, subcontractors and agents in the performance of this Agreement shall be the property of City and shall be delivered to City upon request of the Contract Officer or upon the termination of this Agreement, and Contractor shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights of ownership use, reuse, or assignment of the Documents and Materials hereunder. Any use, reuse or assignment of such completed Documents and Materials for other projects and/or use of uncompleted Documents and Materials without specific written authorization by the Contractor will be at the City’s sole risk and without liability to Contractor, and Contractor’s guarantee and warranties shall not extend to such use, revise or assignment. Contractor may retain copies of such Documents and Materials for its own use. Contractor shall have an unrestricted right to use the concepts embodied therein. All subcontractors shall provide for assignment to City of any Documents and Materials prepared by them, and in the event Contractor fails to secure such assignment, Contractor shall indemnify City for all damages resulting therefrom.

6.4 Confidentiality and Release of Information.
(a) All information gained or Work product produced by Contractor in performance of this Agreement shall be considered confidential, unless such information is in the public domain or already known to Contractor. Contractor shall not release or disclose any such information or Work product to persons or entities other than City without prior written authorization from the Contract Officer.
(b) Contractor, its officers, employees, agents or subcontractors, shall not, without prior written authorization from the Contract Officer or unless requested by the City Attorney, voluntarily provide documents, declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the Work performed under this Agreement. Response to a subpoena or court order shall not be considered "voluntary" provided Contractor gives City notice of such court order or subpoena. (c) If Contractor, or any officer, employee, agent or subcontractor of Contractor, provides any information or Work product in violation of this Agreement, then City shall have the right to reimbursement and indemnity from Contractor for any damages, costs and fees, including attorney’s fees, caused by or incurred as a result of Contractor’s conduct. (d) Contractor shall promptly notify City should Contractor, its officers, employees, agents or subcontractors be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any Party regarding this Agreement and the Work performed there under. City retains the right, but has no obligation, to represent Contractor or be present at any deposition, hearing or similar proceeding. Contractor agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Contractor. However, this right to review any such response does not imply or mean the right by City to control, direct, or rewrite said response.
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ARTICLE 7. ENFORCEMENT OF AGREEMENT AND TERMINATION

7.1 California Law.

This Agreement shall be interpreted, construed and governed both as to validity and to performance of the Parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Riverside, State of California, or any other appropriate court in such county, and Contractor covenants and agrees to submit to the personal jurisdiction of such court in the event of such action. In the event of litigation in a U.S. District Court, venue shall lie exclusively in the Central District of California, in Riverside.

7.2 Disputes; Default.

In the event that Contractor is in default under the terms of this Agreement, the City shall not have any obligation or duty to continue compensating Contractor for any Work performed after the date of default. Instead, the City may give notice to Contractor of the default and the reasons for the default. The notice shall include the timeframe in which Contractor may cure the default.

This timeframe is presumptively thirty (30) days, but may be extended, though not reduced, if circumstances warrant. During the period of time that Contractor is in default, the City shall hold all invoices and shall, when the default is cured, proceed with payment on the invoices. In the alternative, the City may, in its sole discretion, elect to pay some or all of the outstanding invoices during the period of default. If Contractor does not cure the default, the City may take necessary steps to terminate this Agreement under this Article. Any failure on the part of the City to give notice of the Contractor’s default shall not be deemed to result in a waiver of the City’s legal rights or any rights arising out of any provision of this Agreement.

7.3 Retention of Funds.

Contractor hereby authorizes City to deduct from any amount payable to Contractor (whether or not arising out of this Agreement) (i) any amounts the payment of which may be in dispute hereunder or which are necessary to compensate City for any losses, costs, liabilities, or damages suffered by City, and (ii) all amounts for which City may be liable to third parties, by reason of Contractor’s acts or omissions in performing or failing to perform Contractor’s obligation under this Agreement. In the event that any claim is made by a third party, the amount or validity of which is disputed by Contractor, or any indebtedness shall exist which shall appear to be the basis for a claim of lien, City may withhold from any payment due, without liability for interest because of such withholding, an amount sufficient to cover such claim. The failure of City to exercise such right to deduct or to withhold shall not, however, affect the obligations of the Contractor to insure, indemnify, and protect City as elsewhere provided herein.

7.4 Waiver.

Waiver by any Party to this Agreement of any term, condition, or covenant of this Agreement shall not constitute a waiver of any other term, condition, or covenant. Waiver by any Party of any breach of the provisions of this Agreement shall not constitute a waiver of any other provision or a waiver of any subsequent breach or violation of any provision of this Agreement.

Acceptance by City of any Work or Services by Contractor shall not constitute a waiver of any of the provisions of this Agreement. No delay or omission in the exercise of any right or remedy by a non-defaulting Party on any default shall impair such right or remedy or be construed as a waiver. 569
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Any waiver by either Party of any default must be in writing and shall not be a waiver of any other default concerning the same or any other provision of this Agreement.

7.5 Rights and Remedies are Cumulative.

Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the Parties are cumulative and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other party.

7.6 Legal Action.

In addition to any other rights or remedies, either party may take legal action, in law or in equity, to cure, correct or remedy any default, to recover damages for any default, to compel specific performance of this Agreement, to obtain declaratory or injunctive relief, or to obtain any other remedy consistent with the purposes of this Agreement.

7.7 Liquidated Damages.

Since the determination of actual damages for any delay in performance of this Agreement would be extremely difficult or impractical to determine in the event of a breach of this Agreement, the Contractor and its sureties shall be liable for and shall pay to the City the sum of Not Applicable ($0.00) as liquidated damages for each working day of delay in the performance of any service required hereunder, as specified in the Schedule of Performance (Exhibit “D”). The City may withhold from any monies payable on account of Services performed by the Contractor any accrued liquidated damages.

7.8 Termination Prior to Expiration of Term.

This Section shall govern any termination of this Contract except as specifically provided in the following Section for termination for cause. The City reserves the right to terminate this Contract at any time, with or without cause, upon thirty (30) days’ written notice to Contractor, except that where termination is due to the fault of the Contractor, the period of notice may be such shorter time as may be determined by the Contract Officer. In addition, the Contractor reserves the right to terminate this Contract at any time, with or without cause, upon sixty (60) days’ written notice to City, except that where termination is due to the fault of the City, the period of notice may be such shorter time as the Contractor may determine. Upon receipt of any notice of termination, Contractor shall immediately cease all Services hereunder except such as may be specifically approved by the Contract Officer. Except where the Contractor has initiated termination, the Contractor shall be entitled to compensation for all Services rendered prior to the effective date of the notice of termination and for any Services authorized by the Contract Officer thereafter in accordance with the Schedule of Compensation or such as may be approved by the Contract Officer, except as provided in Section 7.3. In the event the Contractor has initiated termination, the Contractor shall be entitled to compensation only for the reasonable value of the Work product actually produced hereunder. In the event of termination without cause pursuant to this Section, the terminating Party need not provide the non-terminating Party with the opportunity to cure pursuant to Section 7.2.
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7.9 Termination for Default of Contractor.

If termination is due to the failure of the Contractor to fulfill its obligations under this Agreement, City may, after compliance with the provisions of Section 7.2, take over the Work and prosecute the same to completion by contract or otherwise, and the Contractor shall be liable to the extent that the total cost for completion of the Services required hereunder exceeds the compensation herein stipulated (provided that the City shall use reasonable efforts to mitigate such damages), and City may withhold any payments to the Contractor for the purpose of set-off or partial payment of the amounts owed the City as previously stated.

7.10 Attorneys’ Fees.

If either party to this Agreement is required to initiate or defend or made a party to any action or proceeding in any way connected with this Agreement, the prevailing party in such action or proceeding, in addition to any other relief which may be granted, whether legal or equitable, shall be entitled to reasonable attorney’s fees. Attorney’s fees shall include attorney’s fees on any appeal, and in addition a party entitled to attorney’s fees shall be entitled to all other reasonable costs for investigating such action, taking depositions and discovery and all other necessary costs the court allows which are incurred in such litigation. All such fees shall be deemed to have accrued on commencement of such action and shall be enforceable whether or not such action is prosecuted to judgment.

ARTICLE 8. CITY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION

8.1 Non-liability of City Officers and Employees.

No officer or employee of the City shall be personally liable to the Contractor, or any successor in interest, in the event of any default or breach by the City or for any amount which may become due to the Contractor or to its successor, or for breach of any obligation of the terms of this Agreement.

8.2 Conflict of Interest.

Contractor covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Contractor’s performance of Services under this Agreement. Contractor further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent of the Contract Officer. Contractor agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement.

No officer or employee of the City shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to the Agreement which effects his financial interest or the financial interest of any corporation, partnership or association in which he is, directly or indirectly, interested, in violation of any State statute or regulation. The Contractor warrants that it has not paid or given and will not pay or give any third party any money or other consideration for obtaining this Agreement. 571
-17-

8.3 Covenant Against Discrimination.

Contractor covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, marital status, national origin, or ancestry in the performance of this Agreement. Contractor shall take affirmative action to insure that applicants are employed and that employees are treated during employment without regard to their race, color, creed, religion, sex, marital status, national origin, or ancestry.

8.4 Unauthorized Aliens.

Contractor hereby promises and agrees to comply with all of the provisions of the Federal Immigration and Nationality Act, 8 U.S.C.A. §§ 1101, et seq., as amended, and in connection therewith, shall not employ unauthorized aliens as defined therein. Should Contractor so employ such unauthorized aliens for the performance of Work and/or Services covered by this Agreement, and should the any liability or sanctions be imposed against City for such use of unauthorized aliens, Contractor hereby agrees to and shall reimburse City for the cost of all such liabilities or sanctions imposed, together with any and all costs, including attorneys’ fees, incurred by City.

ARTICLE 9. MISCELLANEOUS PROVISIONS

9.1 Notices.

Any notice, demand, request, document, consent, approval, or communication that either Party desires or is required to give to the other Party or any other person shall be in writing and either served personally or sent by prepaid, first-class mail, in the case of the City, to the City Manager and to the attention of the Contract Officer, CITY OF BANNING, 99 East Ramsey Street, Banning, CA 92220 and in the case of the Contractor, to the person at the address designated on the execution page of this Agreement. Either Party may change its address by notifying the other Party of the change of address in writing. Notice shall be deemed communicated at the time personally delivered or in seventy-two (72) hours from the time of mailing if mailed as provided in this Section.

9.2 Interpretation.

The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either Party by reason of the authorship of this Agreement or any other rule of construction which might otherwise apply.

9.3 Counterparts.

This Agreement may be executed in counterparts, each of which shall be deemed to be an original, and such counterparts shall constitute one and the same instrument.

9.4 Integration; Amendment.

This Agreement including the attachments hereto is the entire, complete and exclusive expression of the understanding of the Parties. It is understood that there are no oral agreements between the Parties hereto affecting this Agreement and this Agreement supersedes and cancels any and all previous negotiations, arrangements, agreements and understandings, if any, between the Parties, and none shall be used to interpret this Agreement. No amendment to or modification of this Agreement shall be valid unless made in writing and approved by the Contractor and by the 572
-18-
City Council. The parties agree that this requirement for written modifications cannot be waived and that any attempted waiver shall be void.

9.5 Severability.

In the event that any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by a valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement which are hereby declared as severable and shall be interpreted to carry out the intent of the Parties hereunder unless the invalid provision is so material that its invalidity deprives either Party of the basic benefit of their bargain or renders this Agreement meaningless.

9.6 Corporate Authority.

The persons executing this Agreement 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 Agreement on behalf of said Party, (iii) by so executing this Agreement, such Party is formally bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other Agreement to which said Party is bound. This Agreement shall be binding upon the heirs, executors, administrators, successors and assigns of the Parties.

9.7 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.
[SIGNATURES ON FOLLOWING PAGE]
573
-19-
IN WITNESS WHEREOF the Parties hereto have executed this Agreement the day and year first hereinabove written.

CITY OF BANNING CONSULTANT
Art Vela, Date
Acting City Manager
NAME: Date
TITLE:

NAME: Date
TITLE:

ATTEST:

Tax ID No.

Sandra Calderon Date
Acting Administrative City Clerk
Address:

APPROVED AS TO FORM:

Slovak, Baron, Empey, Murphy & Pinkney
LLP
City Council Approval: _____________
John O. Pinkney 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.
574
Exhibit A - 1
EXHIBIT “A”

SCOPE OF SERVICES
I. Contractor will perform the following Services:

Foaming Root Control Services involving the City's manholes within the City of Banning, and for any future repair/field assistance as approved by the Public Works Director and/or designated representative. Each assignment shall be indicated by a written request produced by the Director with a description of the work to be performed (the "Project"), the cost, and the time for completion of the Project. All Projects shall be carried out in conformity with all provisions of this Agreement.

II. Contractor must perform all on-call Services in compliance with the following requirements:

A. Each task shall be indicated by a written request produced by the Contract Officer with a description of the work to be performed, and the time desired for completion. All tasks shall be carried out in conformity with all provisions of this Agreement.

B. Contractor must prepare a written description of the requested tasks including all components and subtasks; the costs to perform the task ("Task Project"); explain how the cost was determined; and a schedule for completion of the task ("Task Completion Date"); which shall all collectively be referred to as the "Task Proposal".

C. Contract Officer shall in writing approve, modify or reject the Task Proposal, and may issue a Notice to Proceed.

D. The task shall be performed at a cost not to exceeding the Task Budget.

E. Contractor shall complete the task and deliver all deliverables to Contract Officer by the Task Completion Date.
575
Exhibit A - 2
576
Exhibit A -
3 577
Exhibit A -
3 578
Exhibit A -
4 579
Exhibit A -
5 580
Exhibit A -
6 581
Exhibit A -
7 582
Exhibit B -1
EXHIBIT “B”

SPECIAL REQUIREMENTS
(Superseding Contract Boilerplate)
583
Exhibit C -1
EXHIBIT “C”

SCHEDULE OF COMPENSATION
I. Contractor shall perform the following tasks in accordance with Exhibit A-1.

II. To the extent a project proposal consists of multiple subtasks, within the budgeted amounts for each subtask, and with the approval of the Contract Officer, funds may be shifted from one subtask sub-budget to another so long as the project budget is not exceeded per Section 2.1, unless additional services are approved per Section 2.3.

III. For each project assignment the City will compensate Contractor for the Services performed upon submission of a valid invoice. Each invoice is to include:

A. Line items for all personnel describing the Work performed, the number of hours worked, and the hourly rate.

B. Line items for all materials and equipment properly charged to the Services.

C. Line items for all other approved reimbursable expenses claimed, with supporting documentation.

D. Line items for all approved subcontractor labor, supplies, equipment, materials, and travel properly charged to the Services.
584
Exhibit D -1
EXHIBIT “D”

SCHEDULE OF PERFORMANCE
I. The Contract Officer may approve extensions for performance of the Services in accordance with Section 3.5.

II. All work product is subject to review and acceptance by the City, and must be revised by the Contractor without additional charge to the City until found satisfactory and accepted by City.
585
586
587
588

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Arturo Vela, Acting City Manager
PREPARED BY: Nate Smith, Deputy Director of Public Works/City Engineer MEETING DATE: September 9, 2025
SUBJECT: Consideration of Resolution 2025-130, authorizing the City Manager to execute Amendment No. 2 to the Transportation Uniform Mitigation Fee Program Reimbursement Agreement with Western Riverside Council of Governments for up to $20,000,000 for the Sun Lakes Boulevard Extension Project
RECOMMENDATION:

Adopt Resolution 2025-130
BACKGROUND:

City Council approved Resolution No. 2020-97 on July 14, 2020 that allowed the execution of an agreement between the City of Banning and the Western Riverside Council of Governments (WRCOG) for a Transportation Uniform Mitigation Fee (TUMF) reimbursement for costs related to the planning and design of the Sun Lake Boulevard Extension Project. The original agreement was for a total of $1,000,000. City Council additionally approved Resolution 2024-185 on November 12, 2024 to amend the reimbursement agreement for a total of $13,000,000.

WRCOG has developed and administers the TUMF program, a regional fee program designed to provide transportation infrastructure to mitigate the impact of new growth in western Riverside County. Each of WRCOG’s members, including the City of Banning (City), participate in the TUMF program through an adopted ordinance. As the program administrator, WRCOG allocates TUMF funds to a variety of agencies, including the Riverside County Transportation Commission (RCTC), Riverside Transit Agency (RTA), Western Riverside Regional Conservation Authority (RCA) and western Riverside cities and Riverside County areas through applicable TUMF Zones. Eligible projects funded by TUMF revenues are those that have been identified as being part of the Regional System of Highway Arterials (also known as the “TUMF Network”) in the TUMF Nexus Study. Typically, each TUMF Zone receives 45.7% of TUMF revenues collected within their respective zone. The remainder of the funds are distributed to RTA (3.13%), RCTC (45.7%), RCA (1.47%) and WRCOG (4%). TUMF funds are programmed through a collaborative exercise involving each of WRCOG’s member agencies. The WRCOG sub region is divided into five TUMF Zones, which allows member jurisdictions to coordinate with neighboring ones to discuss project allocations. The Pass Zone is comprised of the following: Banning, Beaumont, Calimesa, and Riverside County (District 5). Staff and elected officials representing each jurisdiction within its respective Zone meet regularly to discuss funding allocations for individual projects. The result of these meetings is a 5-year Zone-specific Transportation Improvement Program (TIP), which must be approved by the WRCOG Executive Committee. The current Pass Zone TIP, which includes the Sun Lakes Boulevard Extension project, was approved by the WRCOG Executive Committee at its August 5, 2025 meeting.

JUSTIFICATION:
589
Sun Lakes Boulevard is identified on the City of Banning General Plan Circulation Element as an Arterial Highway. City Council has previously authorized action related to the design of the roadway including:

Acceptance of Offered Right of Way Authorization of a Professional Design Contract TUMF Reimbursement Agreement Reimbursement Agreement with pipeline easement holders Approval of Resolution No. 2025-130 will allocate additional TUMF funds and will allow the City to be reimbursed up to $20,000,000 in TUMF funding for the Project from the current $13,000,000.

FISCAL IMPACT:

The current Pass Zone TIP includes a new allocation of $7,000,000 for construction activities for the Sun Lakes Boulevard Extension Project in additional previously authorized reimbursement for design and construction that totaled $13,000,000. This action would make those funds available for reimbursement for eligible construction related costs of the Sun Lakes Boulevard Extension Project.

The City is also in receipt of a separate $13,500,000 grant from the Riverside County Transportation Commission (RCTC) Measure A Regional Arterials Program (MARA), bringing a total of $33,500,000 of construction funding available for the roadway project. WRCOG recently approved a new TUMF Nexus Study which included a revised and increased maximum TUMF obligation of $44,422,000 to the project.

As a result, staff may consider a possible future amendment to the TUMF Reimbursement Agreement if it is necessary. It should be noted that although the TUMF Nexus Study includes an increased estimate of the project it does not indicate that the cash is available in the Pass Zone to cover the full maximum TUMF obligation.

ALTERNATIVES:

Do not approve the recommendation and provide staff with alternative direction.

BUDGETED?:

No
CONTRACT/AGREEMENT:

Yes
ATTACHMENTS:

1. Reso 2025-130.docx

2. Reso 2025-130 Exhibit A Amendment No. 2 WRCOG Reimbursement Agreement.pdf

3. Att. 1 - Reso 2020-097.pdf

4. Att. 2 - Reso 2024-185.pdf

5. Att. 3 - TUMF Pass Zone 5-Year TIP FY 25-26.pdf
590
Resolution 2025-130

Page 1 of 4 ends

RESOLUTION 2025-130

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BANNING, CALIFORNIA, AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT NO. 2 TO THE

TRANSPORTATION UNIFORM MITIGATION FEE PROGRAM REIMBURSEMENT AGREEMENT WITH WRCOG FOR UP TO $20,000,000 IN TUMF FUNDS FOR THE SUN

LAKES BOULEVARD EXTENSION PROJECT
WHEREAS, Western Riverside Council of Government (WRCOG) has developed and administers the Transportation Uniform Mitigation Fee (TUMF) program, a regional fee program designed to provide transportation infrastructure to mitigate the impact of new growth in western Riverside County. The City of Banning is an active member in WRCOG; and WHEREAS, as the program administrator, WRCOG allocates TUMF funds to a variety of agencies, including the Riverside County Transportation Commission (RCTC), Riverside Transit Agency (RTA), Western Riverside Regional Conservation Authority (RCA) and western Riverside cities and Riverside County areas through applicable TUMF Zones; and WHEREAS, the City of Banning is part of the Pass Zone along with the City of Calimesa, City of Beaumont and Riverside County (District 5); and WHEREAS, the Pass Zone Transportation Improvement Program (TIP), which included the Sun Lakes Boulevard Extension project, was approved by the WRCOG Executive Committee at its August 4, 2025 meeting; and
WHEREAS, the TUMF Reimbursement Agreement Amendment will provide up to $13,000,000 in TUMF funds in the form of a reimbursement to the City of Banning for expenditures related to the Sun Lakes Boulevard Extension project.

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

SECTION 1. The City Council approves Amendment No. 2 to Transportation Uniform Mitigation Fee Reimbursement Agreement with the Western Riverside Council of Governments for the Sun Lakes Boulevard Extension Project.

SECTION 2. The City Council authorizes the City Manager to make non-substantive changes to Amendment No. 2 to Transportation Uniform Mitigation Fee Program Agreement and to execute the Amendment No. 2 to Transportation Uniform Mitigation Fee Program Agreement with Western Riverside Council of Governments on behalf of the City Council.

SECTION 3. The City Council authorizes the City Manager, or designee, to make necessary budget adjustments, appropriations, and transfers related to this resolution.

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. 591
Resolution 2025-130

Page 2 of 4 ends

PASSED, APPROVED AND ADOPTED this 9th day of September, 2025.

Sheri Flynn, Mayor
City of Banning
ATTEST:

Sandra Calderon, Acting Administrative
City Clerk
City of Banning
APPROVED AS TO FORM:

John Pinkney, City Attorney
592
Resolution 2025-130

Page 3 of 4 ends

CERTIFICATION:

I, Sandra Calderon, Acting Administrative City Clerk of the City of Banning, California, do hereby certify that the foregoing Resolution 2025-130, was duly adopted by the City Council of the City of Banning, California, at a regular meeting thereof held on the 9th day of September, 2025 by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

Sandra Calderon, Administrative City Clerk
City of Banning, California
593
Resolution 2025-130

Page 4 of 4 ends

EXHIBIT A
Description of Exhibit A
594
Project #06-PS-BAN-1206
AMENDMENT NO. 2 TO TRANSPORTATION UNIFORM MITIGATION FEE

PROGRAM AGREEMENT

SUN LAKES BOULEVARD EXTENSION PROJECT

PA&AD, PS&E AND CONSTRUCTION PHASES
This Amendment No.2 to Transportation Uniform Mitigation Fee Program Agreement (“Amendment No. 2”) is entered into this ______day of _______________, 202_, by and between the WESTERN RIVERSIDE COUNCIL OF GOVERNMENTS (“WRCOG”) and City of Banning, a California municipal corporation (“AGENCY”). WRCOG and the AGENCY are sometimes referred to individually as “Party” and collectively as “Parties.”

RECITALS
A. WRCOG and AGENCY have entered into an agreement titled “Transportation Uniform Mitigation Fee Program Agreement” that is dated June 12, 2020 (“Agreement”). The Agreement provides the terms and conditions, scope of work, schedule and funding amount for the construction of the Sun Lakes Boulevard Extension (hereinafter the “Project”).

C. The Parties desire to amend the Agreement, as amended by Amendment No. 2 by increasing the funding amount pursuant to Sections 6 and 33 of the Agreement.

D. Funds are being increased for this Project because new funding has become available.

AGREEMENT
NOW, THEREFORE, in consideration of the mutual covenants and subject to the conditions contained herein, the Parties hereby agree as follows:
595
Project #06-PS-BAN-1206

1. The Funding Amount contained in Section 2 of the Agreement as amended by Amendment No.2 is hereby increased by $7,000,000 (SEVEN MILLION DOLLARS) from $13,000,000 (THIRTEEN MILLION DOLLARS) to an amount not to exceed $20,000,000 (TWENTY MILLION DOLLARS).

2. The foregoing increase in the Funding Amount is within the Maximum TUMF Share.

3. Section 10 of the Agreement, as amended, is hereby deleted in its entirety and replaced with the following provision:

AGENCY’s Local Match Contribution. AGENCY funding is not required, as shown in Exhibit “A” attached hereto.

4. Exhibits “A”, “A-1”, and “A-2” of the Agreement, as amended by Amendment No. 2 are hereby replaced in their entirety by Exhibits “A”, “A-1”, and “A-2” of this Amendment No. 2, which are attached hereto and incorporated by reference.

5. The above-stated Recitals are hereby fully incorporated into this Amendment No.

2. 6. Except to the extent specifically modified or amended hereunder, all of the terms, covenants and conditions of the Agreement as amended, shall remain in full force and effect between the Parties hereto.

IN WITNESS WHEREOF, the Parties have caused this Amendment No. 2 to be executed by their duly authorized representatives to be effective on the day and year first written above. 596
Project #06-PS-BAN-1206

WESTERN RIVERSIDE COUNCIL CITY OF BANNING

OF GOVERNMENTS
By: ______________________________ By: ______________________________ Dr. Kurt Wilson, Executive Director Art Vela, Acting City Manager

Approved to Form: Approved to Form:

By: ______________________________ By: ______________________________ Steven C. DeBaun John Pinkney, City Attorney
General Counsel
Attest:

By: ______________________________
Sandra Calderon, Acting
Administrative City Clerk
597
Project #06-PS-BAN-1206
Exhibit A

SCOPE OF SERVICES

1. SCOPE OF WORK:

PA&ED and PSE Phases
• Project Management
• Project Development
• Preliminary Engineering Design
• Environmental Documentation
• Final Design Reports and Studies
• Final Design Plans, Specifications, and Estimates
• Permitting
• Bidding/Construction Support
CON Phase
• Construction Management
• Field Inspection
• Materials Testing
• Construction costs, including change order to construction contract o Improvement of 1.01 miles of roadway between Highland Home Road and Sunset Ave
o 4 vehicle lanes (2 in each direction) within a 110 right of way. Scope includes road base, asphalt, concrete median curb, curb and gutter, sidewalk, street lights, signage, and striping
o Drainage improvements to collect and convey stormwater on the roadway to project culverts
o Relocation of non-agency owned utilities
• Construction Inspection
598
Project #06-PS-BAN-1206
EXHIBIT “A-1”

ESTIMATE OF COST
Phase TUMF LOCAL TOTAL
PA&ED $500,000 0 $500,000
PS&E $500,000 0 $500,000
RIGHT OF WAY 0 0 0
CONSTRUCTION $19,000,000 0 $19,000,000
TOTAL $20,000,000 0 $20,000,000
599
Project #06-PS-BAN-1206
EXHIBIT “A-2”

PROJECT SCHEDULE
TIMETABLE:

Phase
Estimated
Completion Date Estimated Cost Comments
PA&ED 12/31/24 $500,000
95% Plans
Complete
PS&E 12/31/24 $500,000
95% Plans
Complete

RIGHT OF WAY N/A N/A
CONSTRUCTION 12/31/27 $30,000,000
Include RCTC
Mara Funding
TOTAL $31,000,000
600
RESOLUTION 2020- 97
ADOPT RESOLUTION 2020-97, AUTHORIZING THE CITY MANAGER

TO EXECUTE A TUMF REIMBURSEMENT AGREEMENT WITH WRCOG
FOR UP TO $ 1,000,000 IN TUMF FUNDS FOR THE SUN LAKES

BOULEVARD EXTENSION PROJECT
WHEREAS, Western Riverside Council of Government ( WRCOG) has developed and administers the Transportation Uniform Mitigation Fee ( TUMF) program, a regional fee program designed to provide transportation infrastructure to mitigate the impact of new growth in western Riverside County. The City of Banning is an active member in WRCOG; and
WHEREAS, as the program administrator, WRCOG allocates TUMF funds to a variety of agencies, including the Riverside County Transportation Commission ( RCTC), Riverside Transit Agency ( RTA), Western Riverside Regional Conservation Authority RCA) and western Riverside cities and Riverside County areas through applicable TUMF Zones; and
WHEREAS, the City of Banning is part of the Pass Zone along with the City of Calimesa, City of Beaumont and Riverside County ( District 5); and WHEREAS, the Pass Zone Transportation Improvement Program ( TIP), which included the Sun Lakes Boulevard Extension project, was approved by the WRCOG Executive Committee at its May 4, 2020 meeting; and
WHEREAS, the TUMF Reimbursement Agreement will provide up to $ 1,000,000 in TUMF funds in the form of a reimbursement to the City of Banning for expenditures related to the Sun Lakes Boulevard Extension project; and WHEREAS, the WRCOG Executive Committee approved the TUMF Reimbursement Agreement at its June 1, 2020 meeting.

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

Section 1. The Banning City Council adopts Resolution 2020- 97 authorizing the City Manager to execute the TUMF Reimbursement Agreement with WRCOG for up to 1,000,000 in TUMF funds for the Sun Lakes Boulevard Extension project.

Section 2. The City Manager or his designee is authorized to record the reimbursement funds and to make all necessary budget adjustments, appropriations and transfers related to the TUMF Reimbursement Agreement for the Sun Lakes Boulevard Extension project.

Resolution 2020- 97 1
601
PASSED, APPROVED AND ADOPTED this 14th day of July, 2020.

ATTEST:

S~ Deputy City Clerk
City of Banning

APPROVED AS TO FORM
AND LEGAL CONTENT:
7~ %C/44
Kevin G. Ennis, Esq., City Attorney
Richards, Watson & Gershon
Resolution 2020- 97
Daniela Andrade, Mayor
City of Banning
2 602
CERTIFICATION:

I, Sonja De La Fuente , Deputy City Clerk of the City of Bann ing , Ca liforn ia , do hereby certify that the foregoing Reso lution No. 2020-97 , was adopted by the City Council of the City of Banning at a Regular Meeting thereof held on the 14th day of July , 2020 , by the following vote , to wit:

AYES : Councilmembers Happe, Pingree, Wallace, Welch and Mayor Andrade NOES: None
ABSTAIN: None
ABSENT: None
Sonja uente , Deputy City Clerk
City of Banning
Re solutio n 20 20- 97 3
603

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Douglas Schulze, City Manager
PREPARED BY: Nate Smith, Deputy Director of Public Works/City Engineer Art Vela, Director of Public Works
MEETING DATE: November 12, 2024
SUBJECT: Consideration of Resolution 2024-185, Authorizing the City Manager to Execute Amendment No. 1 to the Transportation Uniform Mitigation Fee Reimbursement Agreement with Western Riverside Council of Governments for up to $13,000,000 for the Sun Lakes Boulevard Extension Project
RECOMMENDATION:

Approve Resolution 2024-185.

BACKGROUND:

As the program administrator, WRCOG allocates TUMF funds to a variety of agencies, including the Riverside County Transportation Commission (RCTC), Riverside Transit Agency (RTA), Western Riverside Regional Conservation Authority (RCA) and western Riverside cities and Riverside County areas through applicable TUMF Zones. Eligible projects funded by TUMF revenues are those that have been identified as being part of the Regional System of Highway Arterials (also known as the “TUMF Network”) in the TUMF Nexus Study. Typically, each TUMF Zone receives 45.7% of TUMF revenues collected within their respective zone. The remainder of the funds are distributed to RTA (3.13%), RCTC (45.7%), RCA (1.47%) and WRCOG (4%).

TUMF funds are programmed through a collaborative exercise involving each of WRCOG’s member agencies. The WRCOG sub region is divided into five TUMF Zones, which allows member jurisdictions to coordinate with neighboring ones to discuss project allocations.

The Pass Zone is comprised of the following: Banning, Beaumont, Calimesa, and Riverside County (District 5). Staff and elected officials representing each jurisdiction within its respective Zone meet regularly to discuss funding allocations for individual projects. The result of these meetings is a 5-year 6041
Zone-specific Transportation Improvement Program (TIP), which must be approved by the WRCOG Executive Committee. The current Pass Zone TIP, which includes the Sun Lakes Boulevard Extension project, was approved by the WRCOG Executive Committee at its June 21, 2024 meeting.

JUSTIFICATION:

Sun Lakes Boulevard is identified on the City of Banning General Plan Circulation Element as an Arterial Highway. City Council has previously authorized action related to the design of the roadway including:

Acceptance of Offered Right of Way
Authorization of a Professional Design Contract
TUMF Reimbursement Agreement
Reimbursement Agreement with pipeline easement holders
Approval of Resolution No. 2024-185 will allocate additional TUMF funds and will allow the City to be reimbursed up to $13,000,000 in TUMF funding for the Project.

FISCAL IMPACT:

The current Pass Zone TIP includes a new allocation of $12,000,000 for construction activities for the Sun Lakes Boulevard Extension Project. This action would make those funds available for reimbursement for eligible construction related costs of the Sun Lakes Boulevard Extension Project.

WRCOG recently approved a new TUMF Nexus Study which included a revised and increased maximum TUMF obligation of $44,422,000 to the project. As a result, staff anticipates a possible future amendment to the TUMF Reimbursement Agreement. It should be noted that although the TUMF Nexus Study includes an increased estimate of the project it does not indicate that the cash is available in the Pass Zone to cover the full maximum TUMF obligation.

ALTERNATIVES:

Do not approve the recommendation and provide staff with alternative direction.

BUDGETED?:

No
CONTRACT/AGREEMENT:

Yes
ATTACHMENTS:

1. Resolution_2024-185

2. Reso 2024-185 Exhibit A Amendment No. 1 WRCOG TUMF Reimbursement Agreement.pdf

3. CC Resolution No. 2020-097.pdf

4. WRCOG Reimbursement Agreement.pdf

5. Fiscal Year 2024-2025 Pass Zone 5-Year Transportation Improvement Program.pdf 6052
Resolution 2024-185

Page 1 of 4 ends

Banning City CouncilSeptember 9, 2025

Banning City Council
September 9, 2025