Agenda packet, first session — Berkeley City Council, May 21, 2024 (part 1 of 3)

Tuesday, May 21, 2024 REVISED AGENDA Page 1

R E V I S E D AG E N D A
( R E V I S E D T O R E M O V E T E L E C O N F E R E N C E L O C A T I O N)

BERKELEY CITY COUNCIL MEETING
Tuesday, May 21, 2024
6:00 PM
SCHOOL DISTRICT BOARD ROOM - 1231 ADDISON STREET, BERKELEY, CA 94702

JESSE ARREGUIN, MAYOR
Councilmembers:

DISTRICT 1 – RASHI KESARWANI DISTRICT 5 – SOPHIE HAHN
DISTRICT 2 – TERRY TAPLIN DISTRICT 6 – SUSAN WENGRAF
DISTRICT 3 – BEN BARTLETT DISTRICT 7 – CECILIA LUNAPARRA DISTRICT 4 – VACANT DISTRICT 8 – MARK HUMBERT
This meeting will be conducted in a hybrid model with both in -person attendance and virtual participation . If you are feeling sick, please do not attend the meeting in person.

Live captioned broadcasts of Council Meetings are available on Cable B -TV (Channel 33) and via internet accessible video stream at http://berkeley.granicus.com/MediaPlayer.php?publish_id=1244.

Remote participation by the public is available through Zoom. To access the meeting remotely: Join from a PC, Mac, iPad, iPhone, or Android device: Please use this UR L: https://cityofberkeley- info.zoomgov.com/j/1604289924. To request to speak, use the “raise hand” icon by rolling over the bottom of the screen. To join by phone: Dial 1-669-254-5252 or 1-833-568-8864 (Toll Free) and enter Meeting ID 160 428 9924. If you wish to comment during the public comment portion of the agenda, Press *9 and wait to be recognized by the Chair. Please be mindful that the meeting will be recorded.

To submit a written communication for the City Council’s consideration and inclusion in the public record , email [email protected].

This meeting will be conducted in accordance with the Brown Act, Government Code Section 54953 and applicable Executive Orders as issued by the Governor that are currently in effect . Any member of the public may attend this meeting. Questions regarding public participation may be addressed to the City Clerk Department (510) 981-6900. The City Council may take action related to any subject listed on the Agenda.

Pursuant to the City Council Rules of Procedure and State Law, the presiding officer may remove, or cause the removal of, an individual for disrupting the meeting. Prior to removing an individual, the presiding officer shall warn the individual that their behavior is disrupting the meeting and that their failure to cease their behavior may result in their removal. The presiding officer may then remove the individual if they do not promptly cease their disruptive behavior. “Disrupting” means engaging in behavior during a meeting of a legislative body that actually disrupts, disturbs, impedes, or renders infeasible the orderly conduct of the meeting and includes, but is not limited to, a failure to comply with reasonable and lawful regulations adopted by a legislative body, or engaging in behavior that constitutes use of force or a true threat of force.

Rev - 1
Tuesday, May 21, 2024 REVISED AGENDA Page 2
Preliminary Matters
Roll Call:

Land Acknowledgement Statement: The City of Berkeley recognizes that the community we live in was built on the territory of xučyun (Huchiun (Hooch-yoon)), the ancestral and unceded land of the Chochenyo (Cho-chen-yo)-speaking Ohlone (Oh-low-nee) people, the ancestors and descendants of the sovereign Verona Band of Alameda County. This land was and continues to be of great importance to all of the Ohlone Tribes and descendants of the Verona Band. As we begin our meeting tonight, we acknowledge and honor the original inhabitants of Berkeley, the documented 5,000 -year history of a vibrant community at the West Berkeley Shellmound, and the Ohlone people who continue to reside in the East Bay. We recognize that Berkeley’s residents have and continue to benefit from the use and occupation of this unceded stolen land since the City of Berkeley’s incorporation in 1878. As stewards of the laws regulating the City of Berkeley, it is not only vital that we recognize the history of this land, but also recognize that the Ohlone people are present members of Berkeley and other East Bay communities today. The City of Berkeley will continue to build relationships with the Lisjan Tribe and to create meaningful actions that uphold the intention of this land acknowledgement.

Ceremonial Matters: In addition to those items listed on the agenda, the Mayor may add additional ceremonial matters.

City Manager Comments: The City Manager may make announcements or provide information to the City Council in the form of an oral report. The Council will not take action on such items but may request the City Manager place a report on a future agenda for discussion.

Public Comment on Non-Agenda Matters: Persons will be selected to address matters not on the Council agenda. If five or fewer persons wish to speak, each person selected will be allotted two minutes each. If more than five persons wish to speak, up to ten persons will be selected to address matters not on the Council agenda and each person selected will be allotted one minute each. Persons attending the meeting in-person and wishing to address the Council on matters not on the Council agenda during the initial ten-minute period for such comment, must submit a speaker card to the City Clerk in person at the meeting location and prior to commencement of that meeting. The remainder of the speakers wishing to address the Council on non-agenda items will be heard at the end of the agenda.

Public Comment by Employee Unions (first regular meeting of the month): This period of public comment is reserved for officially designated representatives of City of Berkeley employee unions, with five minutes allocated per union if representatives of three or fewer unions wish to speak and up to three minutes per union if representatives of four or more unions wish to speak.

Consent Calendar
The Council will first determine whether to move items on the agenda for “Action” or “Information” to the “Consent Calendar”, or move “Consent Calendar” items to “Action.” Three members of the City Council must agree to pull an item from the Consent Calendar or Information Calendar for it to move to Action.

Items that remain on the “Consent Calendar” are voted on in one motion as a group. “Information” items are not discussed or acted upon at the Council meeting unless they are moved to “Action” or “Consent”.

No additional items can be moved onto the Consent Calendar once public comment has commenced. At any time during, or immediately after, public comment on Information and Consent items, any Councilmember may move any Information or Consent item to “Action.” Following this, the Council will vote on the items remaining on the Consent Calendar in one motion.

For items moved to the Action Calendar from the Consent Calendar or Information Calendar, persons who spoke on the item during the Consent Calendar public comment period may speak again at the time the matter is taken up during the Action Calendar.

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Tuesday, May 21, 2024 REVISED AGENDA Page 3
Public Comment on Consent Calendar and Information Items Only: The Council will take public comment on any items that are either on the amended Consent Calendar or the Information Calendar. Speakers will be entitled to two minutes each to speak in opposition to or support of Consent Calendar and Information Items. A speaker may only speak once during the period for public comment on Consent Calendar and Information items.

Additional information regarding public comment by City of Berkeley employees and interns: Employees and interns of the City of Berkeley, although not required, are encouraged to identify themselves as such, the department in which they work and state whether they are speaking as an individual or in their official capacity when addressing the Council in open session or workshops.

Consent Calendar

1. Amending Berkeley Municipal Code Section 4.04.120(A) to rename the Legislative Assistant classification as Legislative Aide From: City Manager
Recommendation: Adopt second reading of Ordinance No. 7,904-N.S. amending Berkeley Municipal Code Section 4.04.120(A) to rename the Legislative Assistant classification as Legislative Aide.

First Reading Vote: All Ayes.

Financial Implications: See report
Contact: Aram Kouyoumdjian, Human Resources, (510) 981-6800

2. Adding Chapter 13.22 to the Berkeley Municipal Code to prohibit discrimination on the basis of family or relationship structure From: Councilmember Taplin (Author), Councilmember Cecilia Lunaparra (Co- Sponsor)
Recommendation: Adopt second reading of Ordinance No. 7,905-N.S. adding Chapter 13.22 to the Berkeley Municipal Code to prohibit discrimination on the basis of family or relationship structure.

First Reading Vote: All Ayes.

Financial Implications: See report
Contact: Terry Taplin, Councilmember, District 2, (510) 981-7120

3. Notice of Appropriations Limit for Fiscal Year 2025
From: City Manager
Recommendation: Adopt a Resolution providing notice that: 1) Council will adopt an appropriations limit for Fiscal Year 2025 at its meeting of June 25, 2024; and 2) the amount of the limit and the background material used in its calculation will be available for public review in the City Clerk’s Office on or before June 10, 2024.

Financial Implications: See report
Contact: Henry Oyekanmi, Finance, (510) 981-7300

Rev - 3
Consent Calendar
Tuesday, May 21, 2024 REVISED AGENDA Page 4

4. Formal Bid Solicitations and Request for Proposals Scheduled for Possible Issuance After Council Approval on May 21, 2024
From: City Manager
Recommendation: Approve the request for proposals or invitation for bids (attached to staff report) that will be, or are planned to be, issued upon final approval by the requesting department or division. All contracts over the City Manager’s threshold will be returned to Council for final approval.

Financial Implications: General Fund - $325,000
Contact: Henry Oyekanmi, Finance, (510) 981-7300

5. Contract: Social Policy Research Associates for YouthWorks Program Assessment
From: City Manager
Recommendation: Adopt a Resolution authorizing the City Manager or her designee to execute a contract and any amendments or extensions with Social Policy Research Associates for consulting services to conduct a comprehensive youth development needs assessment in an amount not to exceed $250,000 for the period June 1, 2024 through June 30, 2025.

Financial Implications: See report
Contact: Scott Gilman, Health, Housing, and Community Services, (510) 981-5400

6. Contract No: 32300104 Amendment: The Village of Love for Telegraph Neighborhood Sacred Rest Drop-In Center
From: City Manager
Recommendation: Adopt a Resolution authorizing the City Manager or her designee, to execute an amendment to Contract No. 32300104 with The Village of Love to add $250,000, for a total contract amount not to exceed $750,000, for services and operations at the Telegraph Neighborhood Sacred Rest Drop-In Center, and extend the contract term through May 31, 2025.

Financial Implications: See report
Contact: Scott Gilman, Health, Housing, and Community Services, (510) 981-5400

7. Contract No. 6252 Amendment: Extending the Term and Assigning the Lease for Ocean View Gardens at 819 Hearst Avenue
From: City Manager
Recommendation: Adopt an Urgency Ordinance authorizing the City Manager to execute a second amendment to Contract No. 6252 for the real property located at 819 Hearst Avenue (alternative address at 813 Delaware Street), Berkeley, for the purposes of assigning the ground lease from the current owner, Ocean View LLC, to Orbach Affordable Housing Solutions (OAHS) Ocean View LP, and extending the ground lease term to June 30, 2089.

Financial Implications: See report
Contact: Scott Gilman, Health, Housing, and Community Services, (510) 981-5400

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Consent Calendar
Tuesday, May 21, 2024 REVISED AGENDA Page 5

8. Grant Application: The Surrendered and Abandoned Vessel Exchange (SAVE) grant program of the California Division of Boating & Waterways From: City Manager
Recommendation: Adopt a Resolution authorizing the City Manager or her designee to 1) apply for and accept a grant in the amount of $76,000 from the California Division of Boating & Waterways (“DBW”) Surrendered and Abandoned Vessel Exchange (SAVE) grant program for the removal and disposal of anticipated abandoned vessels located at the Berkeley Marina; 2) execute any amendments; and 3) authorize a local match contribution of $7,600, subject to securing the grant.

Financial Implications: See report
Contact: Scott Ferris, Parks, Recreation and Waterfront, (510) 981-6700

9. Leave of Absence Requests: Environment & Climate Youth Commissioners From: City Manager
Recommendation: Approve Leaves of Absence for Environment & Climate Youth Commissioners Mabel Athanasiou and Shanza Syed for the Commission meeting dates June 26, 2024 and July 24, 2024.

Financial Implications: See report
Contact: Jordan Klein, Planning and Development, (510) 981-7400

10. Contract: Online Solutions, LLC (DBA Citizenserve) for Housing Inspection and Code Enforcement Software
From: City Manager
Recommendation: Adopt a Resolution authorizing the City Manager to execute a contract with Online Solutions, LLC (DBA Citizenserve) for software licensing, implementation, maintenance and related services for housing inspection and code enforcement software, for an amount not to exceed $622,215, from June 17, 2024 through June 16, 2029.

Financial Implications: See report
Contact: Jordan Klein, Planning and Development, (510) 981-7400

11. Contract: Raimi + Associates for Professional Planning Services for the North Shattuck, College and Solano Avenue Corridors Zoning Update From: City Manager
Recommendation: Adopt a Resolution authorizing the City Manager to execute a contract and any amendments with Raimi + Associates to perform professional planning services for the North Shattuck, College, and Solano Avenues Corridors Zoning Update, in an amount not to exceed $600,000, for the period of June 6, 2024 to Dec 31, 2026.

Financial Implications: See report
Contact: Jordan Klein, Planning and Development, (510) 981-7400

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Consent Calendar
Tuesday, May 21, 2024 REVISED AGENDA Page 6

12. Contract No. 32300103 Amendment: Bay Area PL Services of On-call Phlebotomy and Sexual Assault Exams
From: City Manager
Recommendation: Adopt a Resolution authorizing the City Manager to amend Contract No. 32300103 and any necessary future amendments with Bay Area PL Services for the Berkeley Police Department, increasing the contract amount by $150,000 for a total not to exceed amount of $200,000 with the contract end date extended to December 31, 2028.

Financial Implications: State Citizens Option for Public Safety Fund - $150,000 Contact: Jennifer Louis, Police, (510) 981-5900

13. Declaration of Intent – Fiscal Year 2025 Street Lighting Assessments From: City Manager
Recommendation: Adopt two Resolutions granting the City Manager the authority to: Approve the Engineer's Reports; Set a public hearing to be held before the Council of the City of Berkeley at its June 25, 2024, meeting; and Authorize the City Clerk to publish a Notice of the Public Hearing for Fiscal Year 2025 Levy of Assessments for Berkeley Street Lighting Assessment District No. 1982-1 and Street Lighting Assessment District 2018.

Financial Implications: See report
Contact: Terrance Davis, Public Works, (510) 981-6300

Council Consent Items

14. Develop a pilot program for 5-10 Seriously Mentally Ill (SMI) persons who have required frequent interventions
From: Mayor Arreguin (Author), Councilmember Hahn (Co-Sponsor) Recommendation: Direct the City Manager to develop a pilot program for 5-10 Seriously Mentally Ill (SMI) persons who have required frequent interventions; aim is to improve their well-being and prevent or dramatically reduce calls for service; the pilot would implement a “friendship or care team” for each as described below to build trust, support, address loneliness; teams would be staffed with existing contracted outreach providers; teams would keep a brief daily log of their experience and calls for service would be tracked; pilot to be evaluated and report back to Council quarterly to determine efficacy.

Financial Implications: See report
Contact: Jesse Arreguin, Mayor, (510) 981-7100

15. Amendment to Commissioner Leave of Absence Process
From: Mayor Arreguin (Author)
Recommendation: Adopt first reading of an Ordinance amending Berkeley Municipal Code Section 3.02 to allow the Mayor to approve a Leave of Absence for a Commissioner appointed by the Council as a whole.

Financial Implications: See report
Contact: Jesse Arreguin, Mayor, (510) 981-7100
Rev - 6
Council Consent Items

Tuesday, May 21, 2024 REVISED AGENDA Page 7

16. Budget Referral: Restarting 4th of July Celebration From: Mayor Arreguin (Author)
Recommendation: Refer up to $630,000 to the Fiscal Year 2025-2026 Budget Process to be reserved in the City’s General Fund to be used to restart 4th of July Celebrations in 2025.

Financial Implications: General Fund - $630,000
Contact: Jesse Arreguin, Mayor, (510) 981-7100

17. Relinquishment of Council Office Budget Funds to the Berkeley Rotary Endowment and Co-Sponsorship of 2024 Taste of Downtown Berkeley Event From: Mayor Arreguin (Author), Councilmember Hahn (Co-Sponsor), Councilmember Wengraf (Co-Sponsor)
Recommendation: Adopt two resolutions to authorize the co-sponsorship and expenditure of $500 from Mayor Arreguin’s discretionary office budget to the Berkeley Rotary Endowment to support the second annual Taste of Downtown Berkeley event.

Financial Implications: See report
Contact: Jesse Arreguin, Mayor, (510) 981-7100

18. Budget Referral: Berkeley Youth Alternatives Part-Time Garden Assistant From: Mayor Arreguin (Author)
Recommendation: Refer $31,250 to the Fiscal Year 2025-2026 Budget process for Berkeley Youth Alternatives to hire a part-time Garden Assistant.

Financial Implications: General Fund - $31,250
Contact: Jesse Arreguin, Mayor, (510) 981-7100

19. Berkeley Juneteenth Festival: Relinquishment of Council Office Budget Funds to General Fund and Grant of Such Funds
From: Councilmember Bartlett (Author)
Recommendation: Adopt a Resolution approving the expenditure of funds, including $500 from Councilmember Bartlett for pre-planning of the Berkeley Juneteenth Festival (organized by Berkeley Juneteenth Association, Inc. 501(c)3), with funds relinquished to the City’s General Fund for this purpose from the discretionary council office budget of Councilmember Bartlett and any other Councilmembers who would like to contribute.

Financial Implications: See report
Contact: Ben Bartlett, Councilmember, District 3, (510) 981-7130

Rev - 7
Council Consent Items

Tuesday, May 21, 2024 REVISED AGENDA Page 8

20. Speed Bump Installation on Russell St at King Street (South Berkeley) From: Councilmember Bartlett (Author)
Recommendation: Refer to the City Manager to analyze the potential for the installation of a speed bump on Russell St. at King St. (South Berkeley), to improve the public space to increase safety for pedestrians, cyclists, and people living with disabilities, while also meeting the needs of public transit and emergency vehicles.

The analysis should prioritize speed bump installation that reduces injuries and accidents in the street and creates many benefits for our community. It should also consider other items listed by members of the community.

Financial Implications: See report
Contact: Ben Bartlett, Councilmember, District 3, (510) 981-7130

Action Calendar
The public may comment on each item listed on the agenda for action. For items moved to the Action Calendar from the Consent Calendar or Information Calendar, persons who spoke on the item during the Consent Calendar public comment period may speak again during one of the Action Calendar public comment periods on the item. Public comment will occur for each Action item (excluding public hearings, appeals, and/or quasi-judicial matters) in one of two comment periods, either 1) before the Action Calendar is discussed; or 2) when the item is taken up by the Council.

A member of the public may only speak at one of the two public comment periods for any single Action item.

The Presiding Officer will request that persons wishing to speak line up at the podium, or use the "raise hand" function in Zoom, to determine the number of persons interested in speaking at that time. Up to ten (10) speakers may speak for two minutes. If there are more than ten persons interested in speaking, the Presiding Officer may limit the public comment for all speakers to one minute per speaker. Speakers are permitted to yield their time to one other speaker, however no one speaker shall have more than four minutes. The Presiding Officer may, with the consent of persons representing both sides of an issue, allocate a block of time to each side to present their issue.

Action items may be reordered at the discretion of the Chair with the consent of Council.

Action Calendar – Scheduled Public Comment Period
During this public comment period, the Presiding Officer will open and close a comment period for each Action item on this agenda (excluding any public hearings, appeals, and/or quasi -judicial matters). The public may speak on each item. Those who speak on an item during this comment period may not speak a second time when the item is taken up by Council.

Action Calendar – Public Hearings
Staff shall introduce the public hearing item and present their comments. For certain hearings, this is followed by five-minute presentations each by the appellant and applicant. The Presiding Officer will request that persons wishing to speak line up at the podium, or use the "raise hand" function in Zoom, to be recognized and to determine the number of persons interested in speaking at that time.

Up to ten (10) speakers may speak for two minutes. If there are more than ten persons interested in speaking, the Presiding Officer may limit the public comment for all speakers to one minute per speaker.

Speakers are permitted to yield their time to one other speaker, however no one speaker shall have more than four minutes. The Presiding Officer may with the consent of persons representing both sides of an issue allocate a block of time to each side to present their issue.

Rev - 8
Action Calendar – Public Hearings
Tuesday, May 21, 2024 REVISED AGENDA Page 9
When applicable, each member of the City Council shall verbally disclose all ex parte contacts concerning the subject of the hearing. Councilmembers shall also submit a report of such contacts in writing prior to the commencement of the hearing. Written reports shall be available for public review in the office of the City Clerk.

21. Fiscal Years 2025 and 2026 Proposed Budget and Proposed Budget Public Hearing #1
From: City Manager
Recommendation: Accept the Fiscal Years 2025 and 2026 Proposed Biennial Budget for review and consideration by the City Council and final adoption on June 25, 2024 and conduct Public Hearing #1 on the Fiscal Years 2025 and 2026 Proposed Budget.

Financial Implications: See report
Contact: Sharon Friedrichsen, Budget Manager, (510) 981-7000

22. Rescinding and Adopting the Environmental Health Division Fee Schedule From: City Manager
Recommendation: Conduct a Public Hearing and, upon conclusion, adopt a Resolution rescinding Resolution 69,891-N.S. which established the current Environmental Health fee schedule and adopting a new fee schedule. The new fee schedule keeps all existing fees at the same level and adds four (4) new fees as follows: 1) Compact Mobile Food Operations (CMFO); 2) Short-term / Guest Vendor Operations; 3) Host Facility Operations; 4) Temporary Food Facility (e.g., food booth) Late Applications. These recommended updates to the Environmental Health fee schedule reflect recent changes in State law, allowing the City to come into regulatory compliance with State law and offer more economic opportunities for smaller independent businesses. The new fees will be effective July 1, 2024 until subsequently modified.

Financial Implications: See report
Contact: Scott Gilman, Health, Housing, and Community Services, (510) 981-5400

23. Fee Increase: Senior Center Facility Rental Security Deposit From: City Manager
Recommendation: Conduct a public hearing and upon conclusion, adopt a Resolution raising the senior center rental facility's security deposit from $350 to $500, a total increase of $150.

Financial Implications: See report
Contact: Scott Gilman, Health, Housing, and Community Services, (510) 981-5400

24. Selected Sports Field Fee Increases
From: City Manager
Recommendation: Conduct a public hearing and upon conclusion, adopt a Resolution approving new fees for select sports field fees; and rescinding Resolution No. 70,869-N.S. and all amendatory resolutions.

Financial Implications: See report
Contact: Scott Ferris, Parks, Recreation and Waterfront, (510) 981-6700

Rev - 9
Action Calendar – Public Hearings
Tuesday, May 21, 2024 REVISED AGENDA Page 10

25. Changes to the Planning Department Fee Schedule
From: City Manager
Recommendation: Conduct a public hearing and upon conclusion, adopt a Resolution: 1. Approving revisions to the fee schedule for the Planning and Development Department effective July 1, 2024, to increase the hourly rate for staff time in all divisions of the department to $250 per hour, to set fees for the new Building and Safety Division permits and processes, to create a new Land Use Planning application fee and offset those costs through reductions in discretionary permit fees, to increase the annual fees of the Rental Housing Safety Program, and to update various other fee rates and make minor clarifications to the existing fee schedule; and 2. Rescinding Resolution No. 67,985-N.S.

Financial Implications: See report
Contact: Jordan Klein, Planning and Development, (510) 981-7400

Information Reports

26. Audit Recommendation Status - Berkeley Police: Improvements Needed to Manage Overtime and Security Work for Outside Entities
From: City Manager
Contact: Jennifer Louis, Police, (510) 981-5900

Public Comment – Items Not Listed on the Agenda
Adjournment
NOTICE CONCERNING YOUR LEGAL RIGHTS : If you object to a decision by the City Council to approve or deny a use permit or variance for a project the following requirements and restrictions apply:
1) No lawsuit challenging a City decision to deny (Code Civ. Proc. §1094.6(b)) or approve (Gov. Code 65009(c)(5)) a use permit or variance may be filed more than 90 days after the date the Notice of Decision of the action of the City Council is mailed. Any lawsuit not filed within that 90 -day period will be barred. 2) In any lawsuit that may be filed against a City Council decision to approve or deny a use permit or variance, the issues and evidence will be limited to those raised by you or someone else, orally or in writing, at a public hearing or prior to the close of the last public hearing on the project.

Archived indexed video streams are available at:
https://berkeleyca.gov/your-government/city-council/city-council-agendas.

Channel 33 rebroadcasts the following Wednesday at 9:00 a.m. and Sunday at 9:00 a.m.

Communications to the City Council are public record and will become part of the City’s electronic records, which are accessible through the City’s website. Please note: e-mail addresses, names, addresses, and other contact information are not required, but if included in any communication to the City Council, will become part of the public record. If you do not want your e-mail address or any other contact information to be made public, you may deliver communications via U.S. Postal Service to the City Clerk Department at 2180 Milvia Street. If you do not want your contact information included in the public record, please do not include that information in your communication. Please contact the City Clerk Department for further information.

Any writings or documents provided to a majority of the City Council regarding any item on this agenda will be made available for public inspection at the public counter at the City Clerk Department located on the first floor of City Hall located at 2180 Milvia Street as well as posted on the City's website at https://berkeleyca.gov/.

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Tuesday, May 21, 2024 REVISED AGENDA Page 11
Agendas and agenda reports may be accessed via the Internet at:
https://berkeleyca.gov/your-government/city-council/city-council-agendas and may be read at reference desks at the following locations:

City Clerk Department - 2180 Milvia Street, First Floor Tel: 510-981-6900, TDD: 510-981-6903, Fax: 510-981-6901 Email: [email protected]

Libraries: Main – 2090 Kittredge Street,
Claremont Branch – 2940 Benvenue, West Branch – 1125 University, North Branch – 1170 The Alameda, Tarea Hall Pittman South Branch – 1901 Russell

COMMUNICATION ACCESS INFORMATION:

This meeting is being held in a wheelchair accessible location.

To request a disability-related accommodation(s) to participate in the meeting, including auxiliary aids or services, please contact the Disability Services specialist at (510) 981-6418 (V) or (510) 981-6347 (TDD) at least three business days before the meeting date.

Attendees at public meetings are reminded that other attendees may be sensitive to various scents, whether natural or manufactured, in products and materials. Please help the City respect these needs.

Captioning services are provided at the meeting, on B -TV, and on the Internet. In addition, assisted listening devices for the hearing impaired are available from the City Clerk prior to the meeting, and are to be returned before the end of the meeting.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ I hereby certify that the agenda for this meeting of the Berkeley City Council was posted at the display case located near the walkway in front of the Maudelle Shirek Building, 2134 Martin Luther King Jr. Way, as well as on the City’s website, on May 16, 2024.

Mark Numainville, City Clerk

Communications
Council rules limit action on Communications to referral to the City Manager and/or Boards and Commissions for investigation and/or recommendations. All communications submitted to Council are public record. Copies of individual communications are available for viewing at the City Clerk Department and through Records Online.

Permits for Restaurants and Food Facilities

1. David Lerman (2)

West Campus Pool Hours

2. Summer Brenner

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Tuesday, May 21, 2024 REVISED AGENDA Page 12
Farm Workers Grant

3. Mary Parks

BioLab Watch

4. Tina Stevens

Holocaust Remembrance Day

5. Shoshana Dembitz

Blockage of Bateman Street

6. Mike Vandeman

Parking Meters & Residential Parking Permits

7. Dorothea Dorenz

8. Dona Bretherick

Peace and Justice Commission

9. Noam Pitsker

10. Anna Ma

11. Linda Wulf

Homelessness

12. Katelyn Draper

13. Cecelia Mautner

Revolution Books Frame Signs

14. Steve Rood

Cal Sailing J-Dock Berths

15. Michael Scott

16. Nancy Gillette

17. Emily Fox

18. Summer Brenner

Hearst and Oxford Dangerous Intersection

19. Helen Cademartori

4th Street Sidewalk Vendor Selling Knives

20. Cecelia Mautner (2)

Fee Increase Per Rental Unit

21. Dorothe Dorenz

Repaving on Bancroft

22. Adam Naftalin-Kelman, on behalf of Berkeley Hillel

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Tuesday, May 21, 2024 REVISED AGENDA Page 13
Middle East Conflict

23. Deborah Goldeen

24. Michael Fullerton

25. Sophia Cyris

26. Russell Bates (4)
Supplemental Communications and Reports
Items received by the deadlines for submission will be compiled and distributed as follows. If no items are received by the deadline, no supplemental packet will be compiled for said deadline.

• Supplemental Communications and Reports 1
Available by 5:00 p.m. five days prior to the meeting.

• Supplemental Communications and Reports 2
Available by 5:00 p.m. the day before the meeting.

• Supplemental Communications and Reports 3
Available by 5:00 p.m. two days following the meeting.

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Rev - 14
Tuesday, May 21, 2024 AGENDA Page 1

AGENDA

BERKELEY CITY COUNCIL MEETING
Tuesday, May 21, 2024
6:00 PM

SCHOOL DISTRICT BOARD ROOM - 1231 ADDISON STREET, BERKELEY, CA 94702

TELECONFERENCE LOCATION - 1404 LE ROY AVE, BERKELEY 94708

JESSE ARREGUIN, MAYOR
Councilmembers:

This meeting will be conducted in a hybrid model with both in-person attendance and virtual participation. If you are feeling sick, please do not attend the meeting in person.

Live captioned broadcasts of Council Meetings are available on Cable B -TV (Channel 33) and via internet accessible video stream at http://berkeley.granicus.com/MediaPlayer.php?publish_id=1244.

Remote participation by the public is available through Zoom. To access the meeting remotely: Join from a PC, Mac, iPad, iPhone, or Android device: Please use this UR L: https://cityofberkeley- info.zoomgov.com/j/1604289924. To request to speak, use the “raise hand” icon by rolling over the bottom of the screen. To join by phone: Dial 1-669-254-5252 or 1-833-568-8864 (Toll Free) and enter Meeting ID 160 428 9924. If you wish to comment during the public comment portion of the agenda, Press *9 and wait to be rec
ognized by the Chair. Please be mindful that the meeting will be recorded.

To submit a written communication for the City Council’s consideration and inclusion in the public record, email [email protected].

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Tuesday, May 21, 2024 AGENDA Page 2
Preliminary Matters
Roll Call:

Land Acknowledgement Statement: The City of Berkeley recognizes that the community we live in was built on the territory of xučyun (Huchiun (Hooch-yoon)), the ancestral and unceded land of the Chochenyo (Cho-chen-yo)-speaking Ohlone (Oh-low-nee) people, the ancestors and descendants of the sovereign Verona Band of Alameda County. This land was and continues to be of great importance to all of the Ohlone Tribes and descendants of the Verona Band. As we begin our meeting tonight, we acknowledge and honor the original inhabitants of Berkeley, the documented 5,000- year history of a vibrant community at the West Berkeley Shellmound, and the Ohlone people who continue to reside in the East Bay. We recognize that Berkeley’s residents have and continue to benefit from the use and occupation of this unceded stolen land since the City of Berkeley’s incorporation in 1878. As stewards of the laws regulating the City of Berkeley, it is not only vital that we recognize the history of this land, but also recognize that the Ohlone people are present members of Berkeley and other East Bay communities today. The City of Berkeley will continue to build relationships with the Lisjan Tribe and to create meaningful actions that uphold the intention of this land acknowledgement.

Ceremonial Matters: In addition to those items listed on the agenda, the Mayor may add additional ceremonial matters.

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Tuesday, May 21, 2024 AGENDA Page 3
Public Comment on Consent Calendar and Information Items Only: The Council will take public comment on any items that are either on the amended Consent Calendar or the Information Calendar. Speakers will be entitled to two minutes each to speak in opposition to or support of Consent Calendar and Information Items. A speaker may only speak once during the period for public comment on Consent Calendar and Information items.

Consent Calendar

First Reading Vote: All Ayes.

Financial Implications: See report
Contact: Aram Kouyoumdjian, Human Resources, (510) 981-6800

First Reading Vote: All Ayes.

Financial Implications: See report
Contact: Terry Taplin, Councilmember, District 2, (510) 981-7120

Financial Implications: See report
Contact: Henry Oyekanmi, Finance, (510) 981-7300

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Consent Calendar
Tuesday, May 21, 2024 AGENDA Page 4

Financial Implications: General Fund - $325,000
Contact: Henry Oyekanmi, Finance, (510) 981-7300

Financial Implications: See report
Contact: Scott Gilman, Health, Housing, and Community Services, (510) 981-5400

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Consent Calendar
Tuesday, May 21, 2024 AGENDA Page 5

Financial Implications: See report
Contact: Scott Ferris, Parks, Recreation and Waterfront, (510) 981-6700

Financial Implications: See report
Contact: Jordan Klein, Planning and Development, (510) 981-7400

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Consent Calendar
Tuesday, May 21, 2024 AGENDA Page 6

Financial Implications: State Citizens Option for Public Safety Fund - $150,000 Contact: Jennifer Louis, Police, (510) 981-5900

Financial Implications: See report
Contact: Terrance Davis, Public Works, (510) 981-6300

Council Consent Items

Financial Implications: See report
Contact: Jesse Arreguin, Mayor, (510) 981-7100

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Council Consent Items

Tuesday, May 21, 2024 AGENDA Page 7

Financial Implications: General Fund - $630,000
Contact: Jesse Arreguin, Mayor, (510) 981-7100

Financial Implications: See report
Contact: Jesse Arreguin, Mayor, (510) 981-7100

Financial Implications: General Fund - $31,250
Contact: Jesse Arreguin, Mayor, (510) 981-7100

Financial Implications: See report
Contact: Ben Bartlett, Councilmember, District 3, (510) 981-7130

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Council Consent Items

Tuesday, May 21, 2024 AGENDA Page 8

Financial Implications: See report
Contact: Ben Bartlett, Councilmember, District 3, (510) 981-7130

A member of the public may only speak at one of the two public comment periods for any single Action item.

Action items may be reordered at the discretion of the Chair with the consent of Council.

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Action Calendar – Public Hearings
Tuesday, May 21, 2024 AGENDA Page 9
When applicable, each member of the City Council shall verbally disclose all ex parte contacts concerning the subject of the hearing. Councilmembers shall also submit a report of such contacts in writing prior to the commencement of the hearing. Written reports shall be available for public review in the office of the City Clerk.

Financial Implications: See report
Contact: Sharon Friedrichsen, Budget Manager, (510) 981-7000

Financial Implications: See report
Contact: Scott Gilman, Health, Housing, and Community Services, (510) 981-5400

Financial Implications: See report
Contact: Scott Ferris, Parks, Recreation and Waterfront, (510) 981-6700

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Action Calendar – Public Hearings
Tuesday, May 21, 2024 AGENDA Page 10

Financial Implications: See report
Contact: Jordan Klein, Planning and Development, (510) 981-7400

Information Reports

26. Audit Recommendation Status - Berkeley Police: Improvements Needed to Manage Overtime and Security Work for Outside Entities
From: City Manager
Contact: Jennifer Louis, Police, (510) 981-5900

Public Comment – Items Not Listed on the Agenda
Adjournment
NOTICE CONCERNING YOUR LEGAL RIGHTS : If you object to a decision by the City Council to approve or deny a use permit or variance for a project the following requirements and restrictions apply:
1) No lawsuit challenging a City decision to deny (Code Civ. Proc. §1094.6(b)) or approve (Gov. Code 65009(c)(5)) a use permit or variance may be filed more than 90 days after the date the Notice of Decision of the action of the City Council is mailed. Any lawsuit not filed within that 90- day period will be barred. 2) In any lawsuit that may be filed against a City Council decision to approve or deny a use permit or variance, the issues and evidence will be limited to those raised by you or someone else, orally or in writing, at a public hearing or prior to the close of the last public hearing on the project.

Archived indexed video streams are available at:
https://berkeleyca.gov/your-government/city-council/city-council-agendas.

Channel 33 rebroadcasts the following Wednesday at 9:00 a.m. and Sunday at 9:00 a.m.

Com
munications to the City Council are public record and will become part of the City’s electronic records, which are accessible through the City’s website. Please note: e-mail addresses, names, addresses, and other contact information are not required, but if included in any communication to the City Council, will become part of the public record. If you do not want your e-mail address or any other contact information to be made public, you may deliver communications via U.S. Postal Service to the City Clerk Department at 2180 Milvia Street. If you do not want your contact information included in the public record, please do not include that information in your communication. Please contact the City Clerk Department for further information.

https://berkeleyca.gov/.

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Tuesday, May 21, 2024 AGENDA Page 11
Agendas and agenda reports may be accessed via the Internet at:
https://berkeleyca.gov/your-government/city-council/city-council-agendas and may be read at reference desks at the following locations:

City Clerk Department - 2180 Milvia Street, First Floor Tel: 510-981-6900, TDD: 510-981-6903, Fax: 510-981-6901 Email: [email protected]

Libraries: Main – 2090 Kittredge Street,
Claremont Branch – 2940 Benvenue, West Branch – 1125 University, North Branch – 1170 The Alameda, Tarea Hall Pittman South Branch – 1901 Russell

COMMUNICATION ACCESS INFORMATION:

This meeting is being held in a wheelchair accessible location.

Captioning services are provided at the meeting, on B- TV, and on the Internet. In addition, assisted listening devices for the hearing impaired are available from the City Clerk prior to the meeting, and are to be returned before the end of the meeting.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ I hereby certify that the agenda for this meeting of the Berkeley City Council was posted at the display case located near the walkway in front of the Maudelle Shirek Building , 2134 Martin Luther King Jr. Way, as well as on the City’s website, on May 9, 2024.

Mark Numainville, City Clerk

Permits for Restaurants and Food Facilities

1. David Lerman (2)

West Campus Pool Hours

2. Summer Brenner

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Tuesday, May 21, 2024 AGENDA Page 12
Farm Workers Grant

3. Mary Parks

BioLab Watch

4. Tina Stevens

Holocaust Remembrance Day

5. Shoshana Dembitz

Blockage of Bateman Street

6. Mike Vandeman

Parking Meters & Residential Parking Permits

7. Dorothea Dorenz

8. Dona Bretherick

Peace and Justice Commission

9. Noam Pitsker

10. Anna Ma

11. Linda Wulf

Homelessness

12. Katelyn Draper

13. Cecelia Mautner

Revolution Books Frame Signs

14. Steve Rood

Cal Sailing J-Dock Berths

15. Michael Scott

16. Nancy Gillette

17. Emily Fox

18. Summer Brenner

Hearst and Oxford Dangerous Intersection

19. Helen Cademartori

4 th Street Sidewalk Vendor Selling Knives

20. Cecelia Mautner (2)

Fee Increase Per Rental Unit

21. Dorothe Dorenz

Repaving on Bancroft

22. Adam Naftalin-Kelman, on behalf of Berkeley Hillel

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Tuesday, May 21, 2024 AGENDA Page 13
Middle East Conflict

23. Deborah Goldeen

24. Michael Fullerton

25. Sophia Cyris

• Supplemental Communications and Reports 1
Available by 5:00 p.m. five days prior to the meeting.

• Supplemental Communications and Reports 2
Available by 5:00 p.m. the day before the meeting.

• Supplemental Communications and Reports 3
Available by 5:00 p.m. two days following the meeting.

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Ordinance No. 7,904-N.S. Page 1 of 2
ORDINANCE NO. 7,904-N.S.

AMENDING BERKELEY MUNICIPAL CODE CHAPTER 4.04 TO UPDATE SECTION

4.04.120 EXEMPTIONS FROM CAREER SERVICE (AT-WILL EMPLOYEES) BE IT ORDAINED by the Council of the City of Berkeley as follows:

Section 1. That Section 4.04.120(A) of the Berkeley Municipal Code is amended to read as follows:

4.04.120
Exemption from career service (At-will employees).

The provisions of this chapter shall apply to all positions in the service of the City except:

A. The City Manager, Assistant City Manager, Deputy City Manager, Assistant to the City Manager, Assistant to the City Attorney, Police Review Commission Officer, Police Review Commission Investigator, Budget Manager, Assistant to the Mayor, Capital Improvement Programs Manager, Economic Development Manager, and Legislative AideAssistant, and Employee Relations Manager;
B. Assistant, Associate and Senior Management Analyst when appointed to the City Manager’s Department or to the budget unit of the Management and Administrative Services Agency; and Secretary to the Mayor, Administrative Secretary and Secretary when appointed to the Mayor’s office;
C. All department heads, health officer, and supervising psychiatrist; D. Persons employed seasonally in the summer camps;
E. Persons employed as reserve or emergency employees during the period of national emergency as provided in the ordinance creating such employment; F. All persons who are paid at an hourly rate with the exception of library aides. Persons appointed as hourly library aides shall be part of the career service with the exception of those hired to fill temporary positions of six months or less. Persons appointed to these positions which are exempt from the career service shall serve at the pleasure of the appointing authority and may be demoted, suspended, or otherwise rejected at any time without cause and without right of appeal or hearing in any manner. Except that, any employee in the career service promoted or transferred to a position not included in the career service and made exempt from the career service shall be reinstated to their career appointment from which they were promoted or transferred if within six months of appointment to a position not included in the career service, action is taken to dismiss them, unless charges are filed and the employee is discharged in accordance with this chapter and the rules established hereunder for positions in the career service. All employments designated in this section shall be entitled to only those benefits provided for at-will employees in the personnel rules and regulations or in applicable memoranda

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Ordinance No. 7,904-N.S. Page 2 of 2
agreements. (Ord. 7896-NS § 1, 2024: Ord. 6492-NS § 1, 1999: Ord. 6480-NS § 1, 1999:

Ord. 6370-NS § 1, 1997: Ord. 6343-NS § 1, 1996: Ord. 6280-NS § 2 (part), 1995: Ord.

XXXX-NS § 1, 2024)
At a regular meeting of the Council of the City of Berkeley held on May 7, 2024, this Ordinance was passed to print and ordered published by posting by the following vote:

Ayes: Bartlett, Hahn, Humbert, Kesarwani, Lunaparra, Taplin, Wengraf, and Arreguin.

Noes: None.

Absent: None.

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Ordinance No. 7,905-N.S. Page 1 of 4
ORDINANCE NO. 7,905-N.S.

ADDING CHAPTER 13.22 TO THE BERKELEY MUNICIPAL CODE TO PROHIBIT

DISCRIMINATION ON THE BASIS OF FAMILY OR RELATIONSHIP STRUCTURE BE IT ORDAINED by the Council of the City of Berkeley as follows:

Section 1. That Berkeley Municipal Code 13.22 is hereby added to read as follows:

Chapter 13.22

DISCRIMINATION ON THE BASIS OF FAMILY OR RELATIONSHIP STRUCTURE

PROHIBITED

13.22.010 Purpose
It is the policy of the City to eliminate all forms of discrimination within the City, particularly discrimination against individuals who are a part of families or relationships that fall outside the nuclear family norm. These include single parents, multi-partner/multi-parent families and relationships, multi-generational households, consensually non- monogamous relationships, and asexual and aromantic relationships. It is the intent of the City to eliminate discrimination against individuals in such family or relationship structures in housing, public accommodations, educational institutions, and business establishments.

13.22.020 Findings
The City Council of the City of Berkeley finds and determines as follows:

A. Diverse family structures, including relationship structures involving more than two adults engaged in a loving and consensual relationship, are becoming increasingly common.

B. The perpetuation of nuclear definitions of “family" excludes a significant segment of the Berkeley population, such as multi-partner/multi-parent families and relationships, single parents, multi-generational households, consensually non-monogamous relationships, and consensual intimate relationships, including asexual and aromantic relationships. Individuals should not face discrimination on the basis of whom they share their homes, their hearts, and their lives.

C. People in interpersonal relationships between two or more adult individuals that involve romantic, physical, and/or emotional intimacy face discrimination in many aspects of public life due to prejudicial misunderstandings related to the validity and moral fitness of such relationships.

D. Single parents and people who identify as asexual and/or aromantic also face discrimination in many aspects of public life.

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Ordinance No. 7,905-N.S. Page 2 of 4

13.22.030 Definitions
As used in this chapter, the following words and phrases shall have the meanings ascribed to them in this subsection:

A. “Family or relationship structure” means the actual or perceived involvement or uninvolvement of an individual in an “intimate personal relationship” or relationships, as defined in BMC Section 13.22.030(B). “Family or relationship structure” includes an individual’s actual or perceived affinity, or lack thereof, for any given type of intimate personal relationship, regardless of whether the individual is currently in any intimate personal relationship(s).

B. “Intimate personal relationship” means any interpersonal relationship between two or more adult individuals that involves romantic, physical, and/or emotional intimacy, irrespective of the marital status of these individuals as defined in Part 11053 of Title 2 of the California Code of Regulations. “Intimate personal relationship” includes, but is not limited to, multi-partner/multiparent families and relationships, and multi-generational households.

C. “Business establishment” means any entity, however organized, which furnishes goods or services to the general public. An otherwise qualifying establishment which has membership requirements is considered to furnish services to the general public if its membership requirements: (a) consist only of payment of fees; (b) consist of requirements under which a substantial portion of the residents of this City could qualify; or (c) consist of an otherwise unlawful business practice.

D. "Individual" means the same as the term "person."
E. "Person" means any natural person, firm, corporation, partnership or other organization, association or group of persons however organized.

13.22.040 Unlawful Activities
A. In General. It shall be unlawful for any person or agent or employee thereof to discriminate against an individual on the basis of that individual’s family or relationship structure, with respect to any of the following activities:

1. Housing. Any real estate transaction including but not limited to the rental thereof and/or any related terms, conditions, advertisements, communications, insurance, maintenance, rehabilitation, repairs, improvements, use or availability of facilities, or financing including loans and guarantees;

2. Business Establishments. The use or availability of goods, services, facilities, privileges, advantages, or accommodations from any business establishment, and/or any related terms, conditions, advertisements or communications;

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Ordinance No. 7,905-N.S. Page 3 of 4

3. City Facilities and Services. The use or availability of any municipal service or facility.
4 City Supported Services and Facilities. The use or availability of any service or facility wholly or partially funded or otherwise supported by the City.

B. Exceptions.

1. Housing. Nothing in this chapter shall be (a) construed to apply to the rental or leasing of any housing unit in which the owner or any member of the owner’s family occupies the same living unit in common with the prospective tenant; (b) deemed to permit any rental or occupancy of any dwelling unit or commercial space otherwise prohibited by law; or (c) override any just cause for eviction set forth in the rental stabilization ordinance.

C. Pretext.

It shall be unlawful to do any of the actions mentioned in subsections (A)(1) through (A)(6) for any reason that would not have been asserted but for an individual’s family or relationship structure.

13.22.050 Enforcement
A. Any aggrieved person may enforce the provisions of this chapter by means of a civil action.

B. Any person who commits, or proposes to commit, an action in violation of this chapter may be enjoined therefrom by a court of competent jurisdiction.

C. Action for injunction under this subsection may be brought by any aggrieved person, by the City Attorney, by the district attorney, or by any person or entity which will fairly and adequately represent the interests of the protected class.

13.23.060 Liability for costs and damages
Any person who violates the provisions of this chapter shall be liable to each person injured by such violation for reasonable attorney’s fees and costs as determined by the court, plus damages equaling three times the amount of actual damages or a minimum of one thousand dollars.

13.23.070 Limitation on action
Actions under this chapter must be filed within one year of the alleged discriminatory acts.

13.23.080 Waiver
The provisions of this Chapter do not apply where their application would violate or be inconsistent with state or federal laws, rules, or regulations.

13.23.090 Effective date

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Ordinance No. 7,905-N.S. Page 4 of 4
The effective date of this ordinance shall be January 1, 2025.

Section 2. Severability
If any section, subsection, sentence, clause, phrase, or word of this Ordinance, or any application thereof to any person or circumstance, is held to be invalid or unconstitutional by a decision of a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions or applications of this Ordinance. The Council of the City of Berkeley hereby declares that it would have passed this Ordinance and each and every section, subsection, sentence, clause, phrase, and word not declared invalid or unconstitutional without regard to whether any other portion of this Ordinance or application thereof would be subsequently declared invalid or unconstitutional.

Section 3. Copies of this Ordinance shall be posted for two days prior to adoption in the display case located near the walkway in front of the Maudelle Shirek Building, 2134 Martin Luther King Jr. Way. Within 15 days of adoption, copies of this Ordinance shall be filed at each branch of the Berkeley Public Library and the title shall be published in a newspaper of general circulation.

At a regular meeting of the Council of the City of Berkeley held on May 7, 2024, this Ordinance was passed to print and ordered published by posting by the following vote:

Ayes: Bartlett, Hahn, Humbert, Kesarwani, Lunaparra, Taplin, Wengraf, and Arreguin.

Noes: None.

Absent: None.

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Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: http://www.ci.berkeley.ca.us/manager

CONSENT CALENDAR
May 21, 2024
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Henry Oyekanmi, Director, Finance Department Subject: Notice of Appropriations Limit for Fiscal Year 2025

RECOMMENDATION
Adopt a Resolution providing notice that: 1) Council will adopt an appropriations limit for Fiscal Year 2025 at its meeting of June 25, 2024; and 2) the amount of the limit and the background material used in its calculation will be available for public review in the City Clerk’s Office on or before June 10, 2024.

FISCAL IMPACTS OF RECOMMENDATION
On June 25, 2024, the Council will set the Fiscal Year 2025 appropriations limit. The amount of appropriations subject to the limit is the budgeted proceeds of taxes (e.g., all taxes levied; transfers from an enterprise fund to the extent those transfers exceed the cost of providing the services; discretionary state subventions; interest earned from the investment of proceeds of taxes, etc.), and the total of these budgeted revenues cannot exceed the total appropriations limit. The City’s actual appropriations in each fiscal year have been significantly below the limit, as they will be for Fiscal Year 2025. Thus, there are no present fiscal implications of establishing the limit.

CURRENT SITUATION AND ITS EFFECTS
Senate Bill 1352 requires that 1) the governing body of each local jurisdiction shall, by a legislative action, establish its appropriations limit at a regularly scheduled or special meeting and that documentation used in the determination of the appropriations limit shall be made available to the public fifteen days before that meeting. Government Code Section 7910 requires that the City adopt its appropriations limit prior to the beginning of each fiscal year.

This Resolution gives public notice of Council’s intent to adopt an appropriations limit for Fiscal Year 2025 at its meeting of June 25, 2024, and that the documents used in calculating the limit will be available for public review on or before June 10, 2024.

Proposition 4, approved by the electorate of the State of California via a special election held on November 6, 1979, added Article XIII B to the constitution of the state. It requires local governments to adopt yearly appropriation limits according to specified formulas, and allows for specified, yearly adjustments of the limit. Proposition 111, approved by the voters June 5, 1990, and changed the Proposition 4 adjustment formulas. Senate Bill 152, Government Code Sections 7900, et. seq, enacted by the Legislature of the State of

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Notice of Appropriations Limit for Fiscal Year 2024 CONSENT CALENDAR May 21, 2023
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: http://www.ci.berkeley.ca.us/manager California, provided for the implementation of Article XIII B defining various terms used in this article and prescribing procedures to be used in implementing specific provisions of the Article.

ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
There are no identifiable environmental effects, climate impacts, or sustainability opportunities associated with the subject of this report.

BACKGROUND
The Finance Department of the City of Berkeley compiles the data and makes calculations incident to the determination of the XIII B appropriations limit. The amount of the Fiscal Year 2025 appropriations limit and the documentation incident to the determination thereof will be available for review by the public in the Office of the City Clerk on or before June 10, 2024, at least fifteen days prior to the Council’s scheduled adoption of the appropriation limit, as required by law.

RATIONALE FOR RECOMMENDATION
This is a state law.

ALTERNATIVE ACTIONS CONSIDERED
None.

CONTACT PERSON
Henry Oyekanmi, Director, Finance Department, 981-7326
Attachments:
1: Resolution

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RESOLUTION NO. ##,### N.S.

PROVIDING NOTICE OF SCHEDULED ADOPTION OF APPROPRIATIONS LIMIT FOR FISCAL YEAR 2025 PURSUANT TO ARTICLE XIII B OF THE CONSTITUTION OF THE

STATE OF CALIFORNIA
WHEREAS, on November 6, 1979, the citizens of the State of California approved Proposition 4, which added Article XIII B to the Constitution of the State of California to place various limitations on the fiscal powers of State and local government; and WHEREAS, Senate Bill 1352, Government Code Section 7900, et. seq. enacted by the Legislature of the State of California, provides for the implementation of Article XIII by defining various terms in this article; and
WHEREAS, the governing body of each jurisdiction is required to establish its appropriations limit at a regularly scheduled meeting or noticed special meeting; and WHEREAS, 15 days prior to such meeting, the documentation used in the determination of the appropriations limit shall be made available to the public.

NOW THEREFORE, BE IT RESOLVED that the Council of the City of Berkeley does hereby give notice that it will, at its meeting of June 25, 2024, adopt a Resolution which establishes the appropriations limit for the 2025 Fiscal Year pursuant to Article XIII B of the Constitution of the State of California.

BE IT FURTHER RESOLVED that the documentation used in the determination of the appropriation limit for Fiscal Year 2025 shall be made available for public review in the Office of the City Clerk of the City of Berkeley, 2180 Milvia Street, Berkeley, California, on or before June 10, 2024.

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Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-mail: [email protected] Website: http://www.CityofBerkeley.info/Manager

CONSENT CALENDAR
May 21, 2024
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Henry Oyekanmi, Director, Finance
Subject: Formal Bid Solicitations and Request for Proposals Scheduled for Possible Issuance After Council Approval on May 21, 2024

RECOMMENDATION
Approve the request for proposals or invitation for bids (attached to staff report) that will be, or are planned to be, issued upon final approval by the requesting department or division. All contracts over the City Manager’s threshold will be returned to Council for final approval.

FISCAL IMPACTS OF RECOMMENDATION
Total estimated cost of items included in this report is $325,000

CURRENT SITUATION AND ITS EFFECTS
On May, 6, 2008, Council adopted Ordinance No. 7,035-N.S. effective June 6, 2008, which increased the City Manager’s purchasing authority for services to $50,000. As a result, this required report submitted by the City Manager to Council is now for those purchases in excess of $100,000 for goods; and $200,000 for playgrounds and construction; and $50,000 for services. If Council does not object to these items being sent out for bid or proposal within one week of them appearing on the agenda, and upon final notice to proceed from the requesting department, the IFB (Invitation for Bid) or RFP (Request for Proposal) may be released to the public and notices sent to the potential bidder/respondent list.

PROJECT Fund Source Amount
County Coordinator 011 General Funds $200,000
Miyawaki Forest
Installation
011 General Funds $125,000
Total: $325,000

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Formal Bid Solicitations and Request for Proposals CONSENT CALENDAR Scheduled for Possible Issuance After Council May 21, 2024 Approval on May 21, 2024

BACKGROUND
On May 6, 2008, Council adopted Ordinance No. 7,035-N.S., amending the City Manager’s purchasing authority for services.

ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
The Finance Department reviews all formal bid and proposal solicitations to ensure that they include provisions for compliance with the City’s environmental policies. For each contract that is subject to City Council authorization, staff will address environmental sustainability considerations in the associated staff report to City Council.

RATIONALE FOR RECOMMENDATION
Need for the goods and/or services.

ALTERNATIVE ACTIONS CONSIDERED
None.

CONTACT PERSON
Darryl Sweet, General Services Manager, Finance, 510-981-7329 Attachments:
1) County Coordinator
2) Miyawaki Forest Installation
Note: Original of this attachment with live signature of authorizing personnel is on file in General Services.

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NEXT 30 DAYS
DATE SUBMITTED: MAY 21, 2024
Attachment 1

SPECIFICATION
NO.

DESCRIPTION OF

GOODS /

SERVICES BEING

PURCHASED
APPROX.

RELEASE
DATE
APPROX. BID

OPENING DATE

INTENDED USE ESTIMATED COST BUDGET CODE TO BE

CHARGED
DEPT. / DIVISION CONTACT NAME
& PHONE
24-11664-C County Coordinator April 1, 2024 May 1, 2024 Requesting a community outreach coordinator to serve Alameda
County communities
and provide
resources and education on
wildfire safety, promote
collaboration, assist local
groups
with funding opportunities, and
aid multi-jurisdictional planning.
$200,000.00 Pending Grant funds from
CA Firesafe Council
Fire Department Shanalee Gallagher
312-613-1099
DEPT. TOTAL

$ 200,000.00
24-11665-C Miyawaki Forest
Installation
May 15, 2024 June 4, 2024 Design and installation of two Miyawaki forests.
$ 125,000.00 011-52-545-000-0000-000-
461-612990-
PRWPK24009
PRW/Parks Thomas Dodge, 510-
981-6689
DEPT. TOTAL $ 125,000.00
TOTAL $ 325,000.00
1 of 2

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Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: https://berkeleyca.gov/

CONSENT CALENDAR
May 21, 2024
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Scott Gilman, Health, Housing, and Community Services, (510) 981-5400 Subject: Contract: Social Policy Research Associates for YouthWorks Program Assessment

RECOMMENDATION
Adopt a Resolution authorizing the City Manager or her designee to execute a contract and any amendments or extensions with Social Policy Research Associates for consulting services to conduct a comprehensive youth development needs assessment in an amount not to exceed $250,000 for the period June 1, 2024 through June 30, 2025.

FISCAL IMPACTS OF RECOMMENDATION
Through a competitive Request for Proposal (RFP) process, staff have selected Social Policy Research Associates, to conduct a comprehensive needs assessment for youth development programming, for the Health, Housing, and Community Services Department (HHCS). The City conducted an RFP process and received six proposals.

Social Policy Research Associates was selected as the highest scoring bidder, and submitted a revised quote with final pricing. The contract will have a total not to exceed amount of $250,000. Funding is available in the FY 2024 budget in the Health General Fund (Fund 011).

CURRENT SITUATION AND ITS EFFECTS
HHCS plans to conduct a comprehensive program assessment aimed at identifying opportunities to strengthen youth development programming in the Department.

Results of this assessment will inform the Youthworks program and Berkeley High School Center (BHSHC) on developing their collaborative work plan.

Youthworks is a youth employment initiative focused at youth aged 14-25 years, which provides a variety of temporary job opportunities for Berkeley youth to gain valuable real-world work experience and strengthen their autonomy and employability as they transition into adulthood. The BHSHC provides reproductive health clinical services and health education for youth with an emphasis on safety and security for youth by adopting a comprehensive approach to service delivery, integrating health education, mental health, and medical services.

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Contract: Social Policy Research Associates CONSENT CALENDAR for Youth Development Needs Assessment May 21, 2024

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HHCS is looking to adopt a youth developmental framework informed by community needs and objectives by expanding the existing Youthworks program and increasing the alignment between the BHSHC and the Youthworks Program.

This assessment would include the following components:
 Program needs assessment.
 Defined youth development framework and service model based that is research- validated.
 Roadmap of identified opportunities for improvement and expansion.  Measurable Outcomes
 Development of tools and trainings
 Program evaluation support

BACKGROUND
The City released an RFP under Specification No. 24-11653-C and convened a panel of stakeholders to select Social Policy Research Associates as the most responsive and responsible bidder for this contract.

ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
There are no identifiable environmental effects, climate impacts, or sustainability opportunities associated with the subject of this report.

RATIONALE FOR RECOMMENDATION
Social Policy Research Associates is a well-respected consulting firm with demonstrated subject matter expertise on community assessment and program evaluation as well as youth development programs. Their proposal in response to RFP Specification No. 24-11653-C includes high quality services that aligns with the intended goals of maximizing program objectives.

ALTERNATIVE ACTIONS CONSIDERED
Staff did not identify an alternative action consistent with the City’s goals of advancing efficient and financially-healthy City government operations. Failure to proceed with the recommendation would result in HHCS’s inability to address social and racial equity in public health programming.

CONTACT PERSON
Janice Chin, Public Health Division Manager, HHCS, (510) 981-5121 Attachments:
1: Resolution

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RESOLUTION NO. ##,###-N.S.

CONTRACT: SOCIAL POLICY RESEARCH ASSOCIATES FOR YOUTH

DEVELOPMENT NEEDS ASSESSMENT
WHEREAS, the City of Berkeley Department of Health, Housing & Community Services (HHCS), is committed to providing comprehensive public health services to Medi-Cal eligible clients, and
WHEREAS, HHCS seeks to eliminate health and educational inequities; and WHEREAS, Social Policy Research Associates was selected by the City’s RFP process which includes bidding from vendors, draft proposals, and pricing; WHEREAS, Funding is subject to appropriation in the FY 2024 budget in the Health General Fund (Fund 011).

NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager or her designee is authorized to execute a contract and any amendments, with Social Policy Research Associates for consulting services to conduct a comprehensive youth development needs assessment in an amount not to exceed $250,000 for the period June 1, 2024 thru June 30, 2025. A record signature copy of said contract and any amendments to be on file in the City Clerk Department.

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Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: https://berkeleyca.gov/

CONSENT CALENDAR
May 21, 2024
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Margot Ernst, Interim Deputy Director, Health, Housing, and Community Services
Subject: Contract No: 32300104 Amendment: The Village of Love for Telegraph Neighborhood Sacred Rest Drop-In Center

RECOMMENDATION
Adopt a Resolution authorizing the City Manager or her designee, to execute an amendment to Contract No. 32300104 with The Village of Love to add $250,000, for a total contract amount not to exceed $750,000, for services and operations at the Telegraph Neighborhood Sacred Rest Drop-In Center, and extend the contract term through May 31, 2025.

FISCAL IMPACTS OF RECOMMENDATION
This amendment will be funded using the 2025 payment made by the University of California, Berkeley to the City pursuant to the 2021 UC Berkeley – City of Berkeley Settlement Agreement, as stipulated in the terms of the agreement (Fund 147-UC Settlement). Funds are budgeted in the FY 2025 budget and are subject to adoption of the FY 2025 budget and the FY 2025 Annual Appropriations Ordinance. Continuation of this project would be fully funded by the University and, therefore, budget neutral for the City of Berkeley.

CURRENT SITUATION AND ITS EFFECTS
The Village of Love currently operates the Telegraph Neighborhood Sacred Rest Drop- In Center (Center), a daytime drop-in center for people experiencing homelessness.

The Center began operating in June 2022 and has helped over 100 unhoused community members get connected to services and housing readiness resources in the community. The Center is open Monday through Friday from 9:30 am to 5:30 pm and includes restrooms, basic services (respite, meals, and housing navigation). The existing contract is expected to end on May 31, 2024 unless the contract is amended to add funding. UC Berkeley has allocated $250,000 to extend the contracted services through May 31, 2025. The Village of Love needs an additional $250,000 to maintain current operations. The Center is supported by the University’s Homeless Outreach Coordinator, as well as students and researchers from the Schools of Social Welfare and Public Health. It is an important component of the City and University’s joint effort to

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Contract Amendment No: 32300104 with The Village of Love CONSENT CALENDAR May 21, 2024

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resolve homelessness in Berkeley, by tailoring services to each individual’s needs and wants. The Village of Love holds the lease with First Presbyterian Church for access to and use of the site.

BACKGROUND
On July 27, 2021, the City and University executed the Joint Settlement Agreement which, among other things, committed the City to expend an amount determined through joint planning between the City and the University to “fund a day-time drop- in/service center in the Telegraph area for the unhoused population.” On January 18, 2022, the leadership of the First Presbyterian Church of Berkeley unanimously approved providing access to a vacant lot on Haste Street owned by the Church for the drop-in center. On March 2, 2022, the University awarded a separate $500,000 contract to The Village of Love to provide services and operations for the drop-in center for two years ($250,000 annually) at this site through May 2024. The $500,000 provided directly to The Village of Love from the UC, combined with the $500,000 provided by the City from the UC/COB Settlement Agreement funded services and operations through May 2024.

ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
There are no identifiable environmental impacts associated with this report.

RATIONALE FOR RECOMMENDATION
There continues to be an unmet need for services to transition unhoused residents into indoor settings, as well as to serve the unhoused in the greater Telegraph District/Southside neighborhood. The agreement between the University and the City of Berkeley to allocate settlement agreement funds for a day-time drop-in/service center in the Telegraph area for the unhoused population targets helps to address the unmet need for services in the neighborhood. Continuation of this project would be fully funded by the University and, therefore, budget neutral for the City of Berkeley.

ALTERNATIVE ACTIONS CONSIDERED
None. Since the University already identified a service provider, a leasing mechanism for the site, and is paying the full cost of the capital expenses associated with the development of the drop-in center—and since the City is required to jointly fund this effort pursuant to the Settlement Agreement—there is no competitive process to be had for this contract.

CONTACT PERSON
David Andujo-Walker, Community Services Specialist II, 510-981-5454

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RESOLUTION NO. ##,###-N.S.

CONTRACT NO. 32300104 AMENDMENT WITH THE VILLAGE OF LOVE WHEREAS, People’s Park was home to an encampment of unsheltered individuals who need an array of services to end their unsheltered status; and WHEREAS, in July 2021, the City and University of California, Berkeley entered into the UC Berkeley – City of Berkeley Joint Settlement Agreement; and WHEREAS, the first annual payment of the Settlement Agreement requires that an amount determined through joint planning between the City and the University be allocated to fund a day-time drop-in/service center in the Telegraph area for the unhoused population; and
WHEREAS, on January 18, 2022, Leadership at the First Presbyterian Church of Berkeley voted unanimously to grant access to and use of a vacant lot on Haste Street owned by the Church to the University for purposes of establishing a daytime drop-in center; and
WHEREAS, the University awarded a $500,000 grant on March 2, 2022 to The Village of Love to provide services and operations for the drop-in center at this site for two years through May 31, 2024; and
WHEREAS, the Berkeley City Council allocated $250,000 on April 26, 2022 for services and operations at the drop-in center for one year through May 31, 2023; and WHEREAS, the Berkeley City Council allocated $250,000 on May 23, 2023 to continue services and operations at the drop-in center for one year through May 31, 2024; and WHEREAS, the University awarded an additional $250,000 grant to The Village of Love to continue services and operations through May 31, 2025; and WHEREAS, funds in the amount of $250,000 are needed to continue services and operations through May 31, 2025.

NOW THEREFORE, BE IT RESOLVED that the Berkeley City Council authorizes the City Manager or her designee to execute an amendment to add $250,000 for a total contract amount not to exceed $750,000 and extend the term through May 31, 2025.

A record signature copy of said contract and any amendments to be on file in the City Clerk Department.

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Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: https://berkeleyca.gov/

CONSEENT CALENDAR
May 21, 2024
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Scott Gilman, Interim Director, Health, Housing and Community Services Subject: Contract No. 6252 Amendment: Extending the Term and Assigning the Lease for Ocean View Gardens at 819 Hearst Avenue

RECOMMENDATION
Adopt an Urgency Ordinance authorizing the City Manager to execute a second amendment to Contract No. 6252 for the real property located at 819 Hearst Avenue (alternative address at 813 Delaware Street), Berkeley, for the purposes of assigning the ground lease from the current owner, Ocean View LLC, to Orbach Affordable Housing Solutions (OAHS) Ocean View LP, and extending the ground lease term to June 30, 2089.

FISCAL IMPACTS OF RECOMMENDATION
The lease requires annual payments to the City equal to fifty percent of the project cash flow to the owner after all operating expenses have been paid. This second amendment maintains the rental provisions of the original ground lease, and the City shall continue to receive rental payments accordingly. The Housing and Community Services Division of the Department of Health, Housing and Community Services applies the Ocean View Garden lease payments to fund community services and housing activities.

CURRENT SITUATION AND ITS EFFECTS
Ocean View Gardens Apartments is a 62-unit multifamily, affordable housing development currently owned by Ocean View Gardens LLC who is under contract to sell the property to OAHS Ocean View LP, an affordable housing developer and operator based in New Jersey. OAHS applied for, and in December 2023, was awarded 4% tax credit financing and a CalHFA bond allocation to purchase and rehabilitate Ocean View Gardens. With the tax credit and bond proceeds, OAHS will invest approximately $7 million in renovating the individual units and upgrading the property’s major systems.

Upon acquisition, OAHS will also secure a 20-year extension of the existing Project- Based Section 8 contract administered by the San Francisco Department of Housing and Urban Development.

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Urgency Ordinance – Ocean View Gardens Lease Amendment CONSEENT CALENDAR May 21, 2024

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OAHS is scheduled to acquire the property on May 31, 2024, and has requested the City execute a second amendment to approve the extension of the ground lease term and assignment of the lease. The lease amendment will extend the affordability term by 30 years, ending June 30, 2089. The current term ends March 29, 2059. The urgency ordinance is needed to help OAHS meet the acquisition deadline imposed by CalHFA, the issuer of the bond. The project may lose its bond allocation and along with that, the acquisition and rehabilitation financing for the project, if OAHS does not meet the closing deadline.

BACKGROUND
In September 30, 1982, the City of Berkeley (formerly the Redevelopment Agency of the City of Berkeley) and the original owner, E&I Development Associates entered into a ground lease with a term ending September 29, 2037. E&I Development Associates developed Ocean View Gardens Apartments using tax credits and bond financing, and entered into a lease which required the property to provide 61 units to low-income households. In January 2004, Ocean View Gardens LLC acquired the property from E&I Development Associates and executed a First Amendment for Lease Extension of Term and Assignment, which extended the lease to March 29, 2059 and designated Ocean View Gardens LLC as the new lessee.

OAHS Ocean View LP is in the process of acquiring the property and has secured the funds necessary for the acquisition and rehabilitation of the development. The California Housing Finance Agency (CalHFA) issued a Multifamily Tax-Exempt Mortgage-backed Bond to support Oceanview Gardens Apartments, and together with the bond allocation, OAHS secured tax credit financing for the project. OAHS is requesting the City execute a second lease amendment and related documents required by California Tax Credit Allocation Committee and CalHFA. The main purpose of the lease amendment is to extend the lease term to June 30, 2089, and to change the name of the Lessee. The property will continue to make lease payments to the City equal to fifty percent of project cash flow after all operation costs, including hard debt payments, have been paid. No major revisions to the lease have been proposed.

Since its inception in 1982, Ocean View Gardens Apartments has operated as an affordable housing development serving lower income households. The development consists of larger units with multiple bedrooms, and is home to extremely low and very low-income families in Berkeley. Although the lease requires the owner to provide units to low-income households whose incomes are at 80% Area Median Income (AMI), the property serves lower income residents whose household incomes currently range from 0% AMI to 47% AMI, or a household income of less than $73,000 for a family of four.

The development is able to serve extremely low and very low-income households because it receives rental subsidies through a U.S. Department of Housing and Urban Development Project-Based Section 8 Housing Assistance Payments Renewal Contract.

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Urgency Ordinance – Ocean View Gardens Lease Amendment CONSEENT CALENDAR May 21, 2024

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Upon acquisition of the property, OAHS will secure a 20-year extension of the existing Project-Based Section 8 rental subsidy contract administered by the San Francisco Department of Housing and Urban Development. The rental subsidy contract with option to renew in 20-year increments will allow OAHS to continue to serve lower income families and individuals for at least another 40 years and through the end of the lease term, June 30, 2089.

ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
There are no identifiable environmental effects, climate impacts, or sustainability opportunities associated with the subject of this report.

RATIONALE FOR RECOMMENDATION
If adopted, this second amendment to the lease will extend the affordability term of Ocean View Gardens Apartments for another 65 years. Without the lease amendment, OAHS Ocean View LP will lose the bond allocation and tax credit financing, and the sale of the property would not go through. The City would lose the opportunity to support the rehabilitation and preservation of 61 affordable housing units for very low and extremely low-income families in Berkeley.

ALTERNATIVE ACTIONS CONSIDERED
The City could decline to approve the transfer to OAHS Ocean View LP. Ocean View Gardens LLC would maintain ownership, but would be unable to complete necessary repairs to the property.

CONTACT PERSON
Lourdes Chang, Senior Community Development Project Coordinator, Health, Housing and Community Services, (510) 981-5263
Attachments:
1: Urgency Ordinance
Exhibit A: DRAFT Second Amendment to Lease Extension and Assignment Exhibit B: First Amendment to Lease Extension and Agreement, January 20, 2004
Exhibit C: Original Lease and Disposition Agreement, September 30, 1982

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ORDINANCE NO. X,XXX N.S.

AUTHORIZING THE CITY MANAGER OR HER DESIGNEE TO AMEND THE

GROUND LEASE AND EXECUTE ANY NECESSARY DOCUMENTS RELATED TO THE TRANSFER OF OCEAN VIEW GARDENS, BERKELEY, LOCATED AT 819

HEARST AVENUE, BERKELEY, CA TO ORBACH AFFORDABLE HOUSING SOLUTIONS OCEAN VIEW GARDENS, LP.

BE IT ORDAINED by the Council of the City of Berkeley as follows:

Section 1. The City Council finds as follows:
a. The City of Berkeley is facing a growing housing and homelessness crisis, in part exacerbated by the acute lack of affordable housing and supportive housing for people experiencing homelessness; and
b. Under a ground lease with the City of Berkeley originally executed on September 30,1982 (Exhibit A), and as amended in 2004, Ocean View Gardens Apartments has operated as an affordable housing development providing 61 units to low-income households; and
c. On January 20, 2004, the ground lease was amended to extend the lease term to March 2059, when a new owner, Ocean View Gardens, LLC, acquired the property and assumed the City’s ground lease; and
d. In May 2024, Ocean View Gardens, LLC, intends to transfer the property to Orbach Affordable Housing Solutions (OAHS) Ocean View Gardens, LP, and OAHS Ocean View Gardens has agreed to assume and extend the City’s ground lease term by 30 years to June 30, 2089, and continue to operate the property as an affordable housing development providing housing to low income households through the end of the term; and
e. In December 2023, OAHS Ocean View Gardens, LP, secured tax credit financing and a multifamily, tax-exempt bond allocation from California Housing Finance Agency (CalHFA), and intends to invest approximately $7 million in renovating the property, including updating the individual units; and f. OAHS Ocean View Gardens, LP, must complete the acquisition by May 31, 2024, or risk losing their bond allocation from CalHFA and related tax credit project financing secured for the renovation of the property; and g. This urgency ordinance is required to assist OAHS Ocean View Gardens LP, meet the May 31, 2024, acquisition deadline, in order to preserve and rehabilitate the existing 61 affordable units at Ocean View Gardens Apartments; thus, advancing the City’s goal to maintain affordable housing for our most vulnerable community members.

Section 2. The City Manager or her designee is hereby authorized to execute a SECOND AMENDMENT TO LEASE EXTENSION OF TERM AND ASSIGNMENT and other documents associated with the transfer of Ocean View Gardens, extending the lease term to June 30, 2089, and assigning to Orbach Affordable Housing Solutions (OASH) Ocean View LP the lease for real property located at 819 Hearst Avenue on substantially the same terms as set forth in the draft agreement in Exhibit B.

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Section 3. This Ordinance is adopted as an urgency ordinance pursuant to the Charter of the City of Berkeley, Article XIV, Section 93 and shall be effective immediately. The City Council finds and determines that the adoption of this Ordinance as an urgency ordinance is necessary for the immediate preservation of the public peace, health and safety of the residents of the City of Berkeley.

Section 4. Copies of this Ordinance shall be posted for two days prior to adoption in the display case located near the walkway in front of Old City Hall, 2134 Martin Luther King Jr. Way within fifteen calendar days of adoption, copies of this Ordinance shall be filed at each branch of the Berkeley Public Library and the title shall be published in a newspaper of general circulation.

At a regular meeting of the Council of the City of Berkeley held on May 21, 2024, this Ordinance was passed to print and ordered published by posting by the following vote:

Ayes:

Noes:

Absent:

Exhibits
A: DRAFT Second Amendment to Lease Extension and Assignment B: First Amendment to Lease Extension and Agreement, January 20, 2004 C: Original Lease and Disposition Agreement, September 30, 1982

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4879-3165-1768.3

SECOND AM

ENDMENT TO LEASE

EXTENSION OF TERM AND ASSIGNMENT
This Second Amendment to Lease (th
is “Second Amendment”) is made as of ____, 2024,
by and among the REDEVELOPMENT AGENCY OF THE CITY OF BERKELEY (“Lessor”), OCEAN VIEW GARDENS, LLC, a California limited liability company ( “Ocean View”), and OAHS OCEAN VIEW LP (“Lessee”) who agree as follows:

This Amendment is made with reference to the following facts and objectives:

A. Les
sor is the owner in fee simple of that certain land located in Berkeley, California, and further described on Ex
hibit A attached hereto and incorporated herein by this reference (“Land”). Ocean View currently holds title to the improvements thereon, including the buildings situated upon the land, as set forth in S ection 4.2 of the Original Lease (as defined below) (the “Improvements” and collectively with the Land, the “Premises”.

B. Lessor and Ocean Vi ew’s successor in interest, E& I Development Associates (“E&I”) entered into that certain Lease and Disposition Agreement dated September 10, 1982 and commencing on September 30, 1982 (the “ Original Lease ”) as amended by that certain First Amendment to Lease Extension of Term and Assignment made as of January 20, 2004 between Lessor, E&I and Ocean View (“First Amendment” and collectively with the Original Lease, the “Lease”), whereby E&I assigned its right, title and interest in, to and under the Original Le ase to Ocean View. Pursuant to the Lease, Lessor leased the Land to Ocean View for a term ending September 29, 2037 (“Original Term”) pursuant to the terms and conditions of the Lease.

C. The Original Lease was recorded on September 30, 1982 as Instrument No. 82- 149148 and re-recorded on January 17, 1984 as Instrument No. 84-009853 in the Official Records of Alameda County, California (the “Official Records”) and the First Amendment was recorded on March 3, 2004 as Instrument No. 2004091380 in the Official Records.

D. Ocean View now desires to assign its right, title and interest in, to and under the Lease and the Premises to Lessee, and Lessee accepts that assignment on, and subject to, all of the terms and conditions in this Second Amendment.

Exhibit A

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4879-3165-1768.3
E. In order to provide the funds necessary for the acquisition, rehabilitation and equipping of the Development (as defined in the Lease ), the California Housing Finance Agency (“CHFA”) has authorized the issuance of its Limited Obligation Multifamily Tax -Exempt Mortgage-backed Bonds (Oceanview Gardens Apartments) (M -TEBS) 2024 Issue J (the “Bonds”). CHFA will use the proceeds of the Bonds to make a loan to the Borrower, evidenced by a promissory note, to finance the acquisition, rehabilitation and equipping of the Development.

In addition, Lessee also expects to receive low-income housing tax credits pursuant to Section 42 of the Internal Revenue Code.

F. Except as otherwise modified herein, define d terms shall have the meanings ascribed to them in the Lease.

1. ASSIGNMENT AND ASSUMPTION.
a. Ocean View assigns to Lessee, all of its right, title and interest in, to, and under the Lease and the Premises . Lessee accepts this assignment, assumes all of Ocean View’s obligations under the Lease, and agrees to be bound by all of the provisions of the Lease and to perform all of the obligations of the Lessee under the Lease as a direct obligation to Lessor from and after the effective date of this assignment . This assignment and assumption is made on, and is subject to, all of the terms, conditions and covenants of this Second Amendment. b. Lessor consents to this assignment. However, any future assignment is expressly prohibited unless Lessor provides written consent pursuant to Section 3.8 of the Lease. c. Lessor is a third -party beneficiary of this assignment . As such, the provisions of this assignment inure to the benefit of, and are enforceable by, Lessor.

2. TERM. As of the date of this Se
cond Amendment, the Lease Term is hereby
extended to June 30, 2089 (“Lease Expiration Date”). Unless terminated earlier under the terms of the Lease, the Lease will expire on the Lease Expiration Date.

3. AMENDMENTS TO LEASE TERMS . The following provisions of the Lease are amended as follows:
a. The term “Construction Loan” as defined in Subsection 1.1(g) of the Lease shall mean the proceeds of the construction loan to be provided by PNC Bank, National Association (“Construction Lender”), a
nd its successors and assigns to Lessee as evidenced by the documents executed and delivered in connection with the Construction Loan, including, without limitation, the promissory note and mortgage evidencing the Construction Loan. b. The term “Mortgage Loan” as defined in Subsection 1.1(s) of the Lease shall mean collectively, those certain documents executed by Lessee for the benefit of (i) CHFA and titled “Bond Loan Note” and secured by that certain Indenture of Trust and related security agreements and financing statements all of which will be executed and recorded contemporaneously with this Amendment[ and (ii) B erkadia Commercial Mortgage LLC (the “Permanent Lender”) entitled “Multifamily Note” and secured by that certain Multifamily Deed to Secure Debt, Assignment of Leases and Rents, Security Agreement and Fixture Filing, together

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4879-3165-1768.3
with all riders and exhibits, securing the Permanent Loa n, executed by the Borrower in favor of the Permanent Lender, as the same may be amended from time to time; and c.

The term “Regulatory Agreement” as def ined in Subsection 1.1( w) shall mean that certain Regulatory Agreement and Declaration of Restrictive Covenants. d. The following new Section 9.7 sh
all be added to the Lease:

Section 9.7 Notice . If Les see is in default under the terms of this Lease, Lessor shall not exercise any right or remedy on account thereof, which it holds under this Lease or applicable law, unless and until Lessor gives written notice thereof to the Tax Credit Investor and in such event Lessor shall accept or reject any cure of any default made or tendered by the Tax Credit Investor within the time allowed for Lessee’s cure herein. In no event shall this right of Lender and Tax Credit Investor to cure be construed as expanding the rights or remedies of Lessee upon a default. e. Section 1 0.3 (2) is amended to change Lessee’s address for notice to:
(2) OAHS Ocean View LP c/o Orbach Affordable Housing Solutions, LLC, 980 Sylvan Avenue, Englewood Cliffs, New Jersey 07632 and c/o Columbia Housing SLP Corporation (“ Tax Credit Investor ”) 121 SW Morrison Street, Suite 1300 Portland, Oregon 97204-3143 A
ttn: Fund Manager.

4. MISCELLANEOUS PROVISIONS
a. Lease In Full Force and effect; Integration of Second Amendment and Lease. Except as specifically provided herein, the Lease shall remain unmodified and in full force and effect. This Second Amendment and the Lease shall be deemed to be, for all purposes, one instrument. In the event of any conflict between the terms and provisions of this Second Amendment and the terms and provisions of the Lease, the terms and provisions of this Second Amendment shall, in all instances, control and prevail. b. Counterparts . This Second Amendment may be executed in two or more counterparts, each of which shall be deemed and original, and all such counterparts together shall constitute one and the same instrument.
[REMAINDER OF PAGE LEFT BLANK]

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4879-3165-1768.3
IN W ITNESS W HEREOF, Lessor, Ocean V iew and Lessee have executed t his Amendment as of the date written on the first paragraph above.

LESSOR:

BERKELEY REDEVELOPMENT
AGENCY
APPROVED AS TO FORM:
_______________________
Deputy City Attorney
By:
_______________________
Executive Director
REGISTERED BY:
_______________________
City Auditor
ATTEST:
_______________________
Deputy City Clerk

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4879-3165-1768.3
OCEAN VIEW:

OCEAN VIEW GARDENS, LLC,
a California limited liability company
By: EHM Partners, L.P.,
a California limited partnership,
its Managing Member
By: A.F. Evans Company, Inc.,
a California corporation,
its Managing General Partner
By: __________________
Name: _________________
Title: _________________
By: G.A. Hyson and Ass ociates,
LLC,
its General Partner
By: __________________
Name: _________________
Title: _________________

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4879-3165-1768.3
LESSEE:

OAHS OCEAN VIEW LP,
a California limited par
tnership
By: Kingdon Oceanview Garden, LLC,
a California nonprof
it public benefit
corporation,
its Managing General Partner
By: Kingdom Development, Inc.,
a California nonprofit public
benefit corporation,
its So
le Member
By: __________________
Name: _________________
Title: _________________

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4879-3165-1768.3

EXHIBIT A

LEGAL DESCRIPTION

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Free recording requested
Pursuant to Government Code . .

Section 27383
Recording requested by and when
r<ecorded return to:

Berkeley Redevelopment Agency
2118 MHvia Street, 3rd fl.

Berkeley, CA_ 94704
Attn: Redevelopment Coordinator

FIRST AMENDMENT TO LEASE

EXTENSION OF TERM AND ASSIGNMENT
This lease amendment ("Amendment"~ is made as of . ~ 2i>, 2004, between the REDEVELOPMENT AGENCY OP. THE CITY OF BERKELEY("i:ssor"), E&I ,DEVELOPMENT ASSOCIATES ("E&I"), and OCEAN VIEW GARDENS, LLC, a California limited liability company ("Ocean View" or "Lessee") who agree as follows:

This Amendment is made with reference to the following facts and.objectives:· A. Lessor is the.owner in fee simple of that certain land located in Berkeley, California, and further described on Exhibit A attached hereto and incorporated herein by this reference ("Land").

E&I currently holds title to the improvements thereon, including the buildings situated upon the land, as set forth in section 4.2 of the Lease agreement des·cribed below: These are collectively referred to herein as the "Premises."
B. There is currently a Lease between Lessor ·and E&I for the Land for a fifty-five (55) year term, beginning on September 30, 1982 and ending on September 29, 2037 (the "Lease"), for the primary purpose of operating a low and moderate income housfog development, as set forth in Section

3.5 of the Lease. The Lease is titled "Lease and Disposition.Agreement By and Between the Redeveiopment Agency of the City of Berkeley and E&I Development Associates Regarding the West Berkeley Redevelopment Project" arid was recorded on September 30, 1982 as Instrument No. 82-149148 and re-recorded on January 17, 1984 as Instrument No. 84-009853 in the Official Records of Alameda County, California.
. C. E&I desires to assign its right, title and interest in, to, and under the Lease and the Premises to Ocean View, and Ocean View desires to accept that assignment on, and subject to, all of the t~rms and ~onditions in this Amendment.
748\42\174475.8 1
Exhibit B

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D. Ocean View wishes to extend the term of the current Lease. This amendment extends· the term to March 29, 2059.

E. Since the lease was executed, new City legislation in the fonn of ordinances and a resolution has come into effect that applies to the leasing of public property. These provisions are also included in the Amendment.

F. The California Housing Finance Agency ("CHF A") will be financing the acquisition of the Premises by Ocean View and will be replacing its existing mortgage and regulatory agreements on the Premises with new mortgages, regulatory agreement arid related documents. Ocean View also expects to receive low-income housing tax credits pursuant to Section 42 of the Internal Revenue Code. The Lessor and Ocean View also desire to amend the Lease to make it clear that the Lessor's and Oc~an View's interests in the Land and Premises are subject and subordinate to the new CHF A mortgages, regulatory agreement and related documents. ·

1. ASSIGNMENT AND ASSUMPTlON.
a. E&I, assigns to Ocean View, all of its right, title and interest in, ·to, and under the Lease and the Premises. Ocean View accepts this Assignment, assumes all of Lessee's obligations . under the Lease, and agrees to be bound by all of the provisions of the Lease and to perfonn all of the obligations of the Lessee under the Lease as a direct obligation to Lessor from and after the effective date of this assignment. This assignment and assuinpt1on is made on, and is subject to, all of the tenns, conditions and covenants of this assignment.
c. Lessor is a third party beneficiary of this assignment. As such, the provisions of this assignment inure to the benefit of, and are enforceable by;Lessor. ·

2. TERM. Pursuant to Section 3.2 of the Lease, the Lease Tenn is currently scheduled to expire on September 29, 2037 (Lease Expiration Date). As of the date of this Amendment, the Lease Tenn is hereby extended to March 29, 2059 (Revised Lease Expiration Date). Unless terminated earlier under the tenns of the Lease, the Lease will expire on the Revised Lease Expiration Date.

3. ADDITIONAL LEASE TERMS. The following provisions are added to the Lease:

Section 10.19 NON-DISCRIMINATION AGAINST PERSONS WITH DISABILITIES . .
a. If Lessee provides any aid, service or benefitto others on Lessor's behalf, .

Lessee shall, in: the provision of such aid, service or benefit, observe and comply with all applicable provisions of Title II of the Americans withDisabiiities Act of 1990 and any amendments thereto.

Lessee shall further observe and comply with all applicable federal, state, municipal artd local laws, ordinances, codes and regulations.prohibiting discrimination against individuals with disabilities or ensuring that individuals with disabilities are not excluded from participating in or receiving benefits, services or activities of Lessor.
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b. If Lessee is or becomes a "public accommodation" as defined in Title III of the Americans with Disabilities Act of 1990, Lessee shall observe and comply with all applicable . provisions of the Act and any amendments thereto, and all applicable federal, state, municipal· and local laws, ordinances, codes and regulations prohibiting discrimjnation ori the basis of disability in the full and equal enjoyment of goods, services, facilities, ·privileges, advantages, or accommodations offered by the Lessee. All Lessee's activities must be in accordance with these laws, ordinances, codes, and regulations, and Lessee shall.be solely responsible for complying therewith.

Section 10.30 CITY NON-DISCRIMINATION ORDINANCE
Lessee agrees to comply with the provisions of Berkeley Municipal Code Chapter 13.26 as ·amended from time to time. In. the performance of this Lease, the Lessee agrees as follows:
a. Lessee shall not discriminate against any employee or applicant for employment because ofrace, color, religion, ancestry, n~tional origin, age ( over 40), sex, pregnancy, marital status, disability, sexual orientation or AIDS. b. Lessee shall permit the Landlord access to records of employment advertisements, application forms, EEO-I forms, affirmative action plans and any other documents which, in the opinion of the Landlord, are necessary to monitor compliance with this non discrimination provision, and will, in addition; fill-out in a timely fashion, forms supplied by the Landlord to monitor these non~discrimination provisions.

Section 10.21 NUCLEAR FRE:E BERKELEY
Lessee agrees to comply with Berkeley Municipal· Cpde Chapter 12.90, the Nuclear Free Berkeky Act, as amended ·from time to time.

Section 10.22 OPPRESSIVE STATES
a. In accordance with Resolution No. 59,853-N.S., Lessee certifies that it has no contractual relations with, and agrees during the term of this Lease to forego contractual relations to pro~ide personal services to or to purchase, sell, lease or distribute commodities in the conduct of ·business with, the following entities: ·
748\42\174475.8
(1)
(2)
(3)
The governing regime in any Oppressive State.

Any business or corporation orgat)ized under the authority of the governing regime of any Oppressive State.

Any individual, flim~ partnership, corporation, association, or any other com.mercial organization, and including parent-entities anci.wholly owned subsidiaries (to the extent that their operations are related to the purpose of its agreement with Lessor), for the express purpose of 3

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assisting in business operations or trading with any public or private entity located in any Oppressive State.
b. For purposes of this lease, the Tibet Autonomous Region and the provinces of Ado, Kham, and U-Tsang shall be deemed oppressive states, c. Assignee's failure to comply with this section shall constitute a default of this Lease and Lessor may terminate this Lease pursuant to Sections 9.1-9.6. In the event that Lessor ·. terminates this Lease due to a default under this provision,Lessor may deem Lessee a non-responsible bidder for five (5) years from the date this Lease is teminated.

Section 10.23 BERKELEY LIVING WAGE ORDINANCE
a. Lessee agrees to comply with Berkeley Municipal Code Chapter 13.27, the Berkeley Living Wage Ordinance. If Lessee employs six (6) or more part;.time, full-time or stipend employees, and generates Three Hundred Fifty Thousand Dollars ($350,000) or more in annual gross receipts, Lessee will be required to provide all eligible employees with City mandated minimum . compensation during the teim of.this Lease, as defined in B.M.C. Chapter 13·.27, and well as comply with the terms enumerated herein.
. b.. Lessee shall be required to maintain· all reasonable tecords and documents that would establish whether Lessee is subject to Berkeley's Living Wage Ordinance (LWO): If Lessee is subject to the L WO, as defined therein, Lessee shall be further required to maintain monthly records of those employees located on.the leaseq premises. These records shall inqlude the total number of· · hours.worked, the number.of hours spent providing service on the leased property, the.hourly rate paid, and the amount paid by Lessee for health benefits, if any, for each of its employees providing services under the lease. The records described in this Section.shall be made available upon Lessor's request. The .fai,lure _to produce these records µp9n demand shall be considered a default, subject to the provisions contained in Sectfons 9.1-9.6 her~lit' .. · · c. If Lessee is subject to the LWO, Lessee shall include the requirements of the ordinance, as defined in RM.C. Chapter 13.27, in.any and all subleases in which Lessee enters with regard to the subject premises. Sublessees shall be required to comply with this ordinance with regard to any employees who spend twenty-five p~rcent (25%) or more of their compensated time on the leased property.
d. If Lessee fails to comply with the requirements of the L WO and this Lease, · Lessor.shall have the rights and remedies described in this Section, in addition to any rights and reinedies provided by law or equity. ·
Lessee's failure to comply with this S~ction.shall con~titute default of the lease, upon which City may terminate this Lease pursuant to Sections 9.1-9.6.

In addition, at Lessor's sole dtscretion, Lessee may be responsible for liquidated damages in the amount of Fifty Dollars ($50) per employee per day for each and every instance of an underpayment to an employee. It is mutually understood and agreed that Lessee's failure to pay any 7 48\42\ 17 4475.8 4
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of its eligible employees at least the applicable living wage rate will result in damages being-sustained by Lessor, that the nature and amount of the damages will be extremely difficult and impractical to fix; that the liquidated damages set forth herein is the nearest and most exact measure of damage for such breach that can be fixed at this time; and that the liquidated damage amount is not intended as a penalty of forfeiture for Lessee's breach.

Section 10.24 BERKELEY EQUAL BENEFITS ORDINANCE
, a. Lessee hereby agrees to comply with. the provisions of the Berkeley Equal Benefits Ordinance, B.M.C. Chapter 13.29. If Lessee is currently subject to the Berkeley Equal Benefits Ordinance, Lessee will be required to provide all eligible employees with City mandated equal benefits during the term of this lease, as defined in B.M.C. Chapter 13.29, as-well as comply with the terms enumerated herein.
b~ If Lessee is currently or becomes subject to the Berkeley Equal Benefits Ordinance, Lessee agrees to supply Lessor with any records the City deems necessary to determine compliance with this provision. Failure to do so shall be a considered a default, subject to the provisions of Sections 9.1-9.6 of this Lease. ·
c. . If Lessee fails to comply with the requirements of this Section, Lessor shall have the rights and remedies described in this Section, in addition to any rights anci remedies provided by law or equjty. . .

Lessee's -f~iltire to. comply ~itll this Section shaifconsthute defa~lt~f the 'i~~se~ up~~ ithtch. ' .. · ...•. · Lessor may terminate this lease pursuant to·Sections 9.1-9.6. . . · . .

In addition, at Lessor's sole discretion, Lessee may be responsible for liquidated damages in the amol.lllt of Fifty Dollars ($50) per employee per day for each and every instance of violation of this Section .. It is mutually understood and agreed that Lessee's failure to provide its employees with equal benefits will result in damages being sustained· by Lessor; that the nature and amount of these damages will be extremely difficult and impraciical to fix; that the liquidated damages .set forth herein is the nearest and most exact measure of damages for such breach that can be fixed at this time; and that the liquidated damage amount is not intended as a penalty or forfeiture for Lessee's breach.

4. AMENDMENTS TO LEASE TERMS. The following provisions of the Lease are amended as follows: ·
a. The term "Mortgage Loan" as defined in Subsection 1.l(s) shall.mean those certain documents executed by Lessee and titled "California Housing Finance Agency, Promissory Note, CalHFA Development No. 03-037-N First Loan (Permanent Financing)" in the approximate· face.amount of Three Million One Hundred Sixty Thousand Dollars ($3,160,000) and secured by that certain "California Housing Finance Agency, Permanent Deed of Trust with Assignment of Rents,·· . Security Agreement-and Fixture Filing, CalHFA Development No .. 03~037-N First Loan (Permanent Financing)" and that certain "California Housing Finarice Agency, Proinissory·Note, CalHF A Development No. 03-037-N Second Loan (Permanent Financing)" in the approximate face amount of One Million One Hundred Ninety-Five Thousand ($1,195,000) and secured by that certain "California 748\42\174475.8 5.

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/ )
Housing Finance Agency, Permanent Deed of Trust with Assignment of Rents, Security Agreement and Fixture Filing, Development No. 03-037-N Second Loan (Permanent Financing)" and related security agreements and financing statements all of which will be exe.cuted .and recorded contemporaneously with. this Amendment.
b. The term "Regulatory Agreement
11 as defined in Subsection 1.l(w) shajl mean
· that certain document titled "California Housing Finance Agency,. Regulatory Agreement, CalHF A Development No. 03-037-N" which will be executed and recorded contemporaneously with this Amendment.
c. The first paragraph of Section 4A shall be amended as follows:

Maintenance of the Development and. the Land. During the Term of this Lease, the Lessee or its designee shall perform, or cause to be performed, all maintenance and repair necessary to maintain the Development and Land in good repair and tenantable conditions.

Lessee hereby· consents to inspections of the Dwelling Units and Land by the City of Berkeley;s Housing Inspectors on a regular.and continuing basis. Lessee or its designee shall meet with tenants and/or a duly elected tenant-representative of the Dwelling Units on a · . regular and continuing basis. Lessee or its designee· shall ensure that the tenant survey developed by Lessor's staff which seeks to solicit input from tenants of the Dwelling Units be /completed within thirty (30) days from the date of execution of the First Lease Amendment and the results communicated to Lessor. ·
d. · Section 5.3 shall be amended in its entirety as follows:
· CHF A Loans Superior to Lease and Fee. The Lessor acknowledges and covenants that the Mortgage Loan and Regulatory Agreement shall be superior to any rights which the Lessor and Lessee have in the Land and Premises and the Lesso~s fee simple interest, and the Lease shall be subordinate to the Mortgage Loan and Regulatory Agreement.
e. . Section 5.6 shall be amended in its entirety as follows:

Subordination by Lessor. At such time or times as Lessee places, extends, renews, refinances and/or teplaces any loati with CHF A or any other lender, and so long as such refinancing, extension, renewal or replacement does not violate. the terms of this Lease, Lessor agrees to promptly join in ( and execute, acknowledge and deliver), in the manner required, such Construction Loan or Mortg~ge Loan (and/or all related agreements, instruments and documents, exclusive of notes, bonds or other undertakings imposing arty financial liability on L~ssor) solely for the purpose of.mortgaging the.leasehold in the Land and subjecting the right, title and interest of Lessor in the Land to the lien or the continuation or replacement of the lien of such construction loan·or mortgage loan but without imposing any personal liability on the partners of th~ Lessee or the Lessor, all subject to approval by CHF A, ifrequired; or any subsequent lender' provided such subordination shall be in conformity with the provisions of this Lease. · ·
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The provisions of this Section and Section 5.3 shall .survive the termination of this Lease •
. f. Section 9.1 shall be amended in its entirety as follows:

Events of Default. Failure or delay by any Party to perform any term or provision of this Lease in a timely manner constitutes an event of default under this Lease .. In addition, in the event that Lessee shall default on the Mortgage Loan or·Regulatory Agreement, and CHF A shall declare a default pursuant to such Agreements, such default shall constitute an event.of defaultunder this Lease. ·
The nondefaulting Party should give notice of default to the Party in default, specifying the alleged default. Failure or delay in giving such notice shall not.constitute a waiver of any default, nor shall it change the time of default. If CHF A declares a default pursuant to the Mortgage Loan and/or Regulatory Agreement, CHF A shall give to Lessor the same notice of default that it is required to provide to the Lessee under such Agreements and shall accept a cure of such default" from Lessor. If necessary for Lessor to effectuate such a cure, CHF A . shall not object to Lessor acquiring ownership of Lessee's interest in or possession of the Development provided that such acquisition does not violate any of HUDrs requirements pertaining to the Development. The provisions of this Section shall survive termination of this Lease.·
The Party who so commits an event of default must, within thirty (30) days, commence to cure, correct or remedy such event ofdefault, and shall complete such cµre, correction or remedy with reasonable diligence. Failure to commence to cure, correct or remedy an event of default within thirty (30) d~ys or to. complete the cure, correction or remedy an event of default with reasonable diligence shall be cause for the nondefaulting party to terminate this Lease.

Except as otherwise expressly provided in this Agreement, any failure or delay by any · Party in asserting any of its rights or remedies as to any default shall not operate as a waiver of any default or of any such rights or remedies or deprive such Party of its right to institute and. maintain any actions or proceedings which it may deem necessary to prqtect, assert or enforce any such right.s or remedies. Except as otherwise expressly stated in this Agreement, the rights and remedies of the Parties are cumulative, and the.exercise by any Party of one or more such rights or remedies shall not preclude the exercise by it, at the same time or different · times, of any other rights or remedies for the same default or any other default by the other .

Party.
g. Section 10.3 shall be amended to state CHFA's address as 1415 L Street, Suite 500, Sacram~nto, California 95814 ..

This Amendment may be executed in two or more counterparts, each of which shall be deemed an original, and all such counterparts together shall constitute one and the same instrument.
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JAN.19.2004 12:14PM
LESSEE:

E & I DEVELOPMENT ASSOCIATES; a
· California limited partnership
· By. C.R.H.C .• Incorporated
Its: General Partner
~~~~
Its: · -senior Vice President -
By: G.A. Hyson and Associates
Its: - General Partner·
By:

By;
Its:
- By: -----.......... ---. Name: Greg A, Hyson
Its: President
Arthur F ... Evans, its General Partner
James E, RQberts - Obayashi
· Corporation
General Partner
By:--------Name: LarryR. S;tnith
Its: President
748\42\174475.8 9
NO.276 P.12/13 -···-,
( )
ASSIGNEE:

OCEAN VffiW GARDENS. LLC, a California
limited liability company _
By:

Its:

E.H.M. Partners, L.P., a California
Limi~ed partnership,
_ Managing Member
Br:.

Its:
. . .

A. F. Evans Company, Inc., a
California co:rporatio:n ·
Mana~g General Partner
By: ______ ....___
Name: ____ ;..._..,_.;....._
Its: ---------
By: . ·a.A. ijyson and Associates
-Its: General Partner
By: -------Name: Greg A. Fly.son
Its: President . ·
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. .

IN ~TNESS WHEREOF, Lessor, Lessee and Assignee have executed this Amendment as of the date wntten on the first paragraph above. . . · ·
LESSOR
.BERKELEY REDEVELOPMENT AGENCY
APPROVED AS TO FORM:
\
REGISTERED BY:

State of California
County of Alameda
BY:

ATTEST:

On February 9, 2004 before me, the undersigned, City Clerk, City of Berkeley, personally appeared Phil Kamlarz, Executive Director of the Redevelopment Agency and City Manager of the City of Berkeley, personally known to me to be the person whose name is subscribed to the within instnunent and acknowledged 10 me that he executed the same in his authorized capacity, and that by bis signature on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument.

WITNESS my hand and official seal.
s RK, CITY OF BERKELEY I
I
.1
.............. ---·-······· .. -----.... ~ ........ --.... -------

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. . . ,~.: .. ·
,' :·
···.· :: ......

LESSEE:_'
.;;_/---()-i
. . .- .
... · . . . •·.
.' ....... ·
. . . • . ~
---
-_.-_ASSIGNEE: .
-/'<,--
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. :· ... ::.:·
.::_,.::
·'. ,•,. :· .
. . .. .. · . . . . :.·. .. ... _;·. ·.:
--- -- E &I DEVELQPMEN'J;' ASSOCIATES; a -: .-OCEAN ViEW _OARt>ENS, LLC, a Calif~rnia -:-: - -. -C:alifornia_ Iitnited pai:tnersh!p --- _ --: Hmite~ liabiliticompany_ : _ --- -- --,_ •, . . . ~·.
:-__ <:By:-_ -C.Rij'.C.,Incorpotated
Its: • General Partner -:; --. . . . . . .
. .. . .··.::. : .· ..
>< By::--•-'---------_Name: ..,.._,. ______ _
-- - -_: - • -- : lts; __ ....__ _ _,_ ___ -'--
)3y: ----(i.A. Hy~on and Asso_ciates -
-- Its: -_ '--Gener -artner :" -- - --
By: _- E.H:M. Partners, L.P~. a Californi~
_ -Limited partnership, • - -
_Its: ----Managiilg_:Membet -·->
.... ·. ,,·.
·: .
. ·····.· ,.·
-_::,-By:-_ : AF;EvansC9mpany,Inc.,a--:-_:-__
_ -Calirornia corporati<:>n: .--_-- -: --:: __ : :--
_ Its: -,- -_Mana~ing G~neral -Pru,-tner-- - -
. • •.. : ·=· .. ~
-:_ --By:_-_-·--'--,-------'----Name: --::-_ -
: _ _. ___ --- , ___ -:rts:-_ -,..-:.----"'-'---
: · ... : _.,
-_ - _By:--
---__ :-Arthm F. Evans, its General Partner -
: :, . · .. ·: .
. . . . \
By: -James "E. Roberts - Obayashi _
_ - - Corporation :

I~s: -. Genenil Panrier
- By:-_--_-·_--.:.-------'-
---: Name: Larry R. -Smith -
----Its: -President - -
-748\42\174475,8 9
-:-_ ---: By: -: _: , : G.A. _Hyson and_ Ass~_ciates r _ .(-?(_ - - -Its: ---_ -General Partner - _ - - --
-:-----~-__ ------
-~~-By:--- ~ ,f-- _--__
Nam~gA~c.:

Its, President-
- - --- __ ROSI\ L.-BEATTY -- . - - --
-NOTARY P_UBUC·STATE OF MARYlAND _
: : - y C:ommissiohEi:pires-Decemher01, 2005 _ , _
.. ,
6 Q
9 '7:2~~7/1?01-..

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LESSEE:

E & I PEVELOP:tvIBNT AS SOCIA TES, a
California limited partnership
By: C.R.H.C., Incorporated
Its: General Partner
By:--------
Name: -----------Its: --------~--
By: G.A. Hyson and Associates
Its: . General Partner
By:

By:--------
Name: Greg A. Hyson
!~.·
Arthur F. Evans, its General Partner
By: James E. Roberts - Obayashi
Corporation ·
Its: General Partner
By:--------
Name: Larry R. Smith
Its: President
748\42\174475.8 9
: )
ASSIGNEE:

OCEAN VIEW GARDENS, LLC, a California
limited liability company
By: E:H.M. Partners, L.P., a California
Limited partnership,
Its: Man.aging Member
By:

Its:

By:

Its:

A. F. Evans Company, Inc., a
California corporation
Managinwneral Partner . .

By:?~~
Name: Arthur F. Evans
Its: President
G.A. Hyson and Associates
General Partner
By: -'--------
Name: Greg A. Hyson
Its: President

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CALIFORNIA ALL~PURPOS!a ACKNOWLEDGMENT
State of Califqrn~ .

County of · <RW\ e-c.£C,\ . (
On lAv\t,tAfti beforemeC!oonVle de Un1'o[b>\_ C}t1~u.Pu~ ·Y5· -~ A __, l,~ NamaandTltlao!Offle&r(e.g.,•Jane.~Publlcj .J. personally appeared _. ___ '("""·l\tu, ___ "~(_' ~t_-_~ ~~,,,., __ V,,_re/\__..=~.,....,_-· ______ · ..... · _·· _ _,, Name(s) of Slgne~s) ·
){personally knowino me
D proved to me on the basis of satisfactory
evidence · · · .. ·
to be the person~ whose name~ is/ai:e
subscribed to the within instrument and
acknowledge_d to me that ho/.&:~"'41'1ey. executed
the same in his/l;ier:Aheiit authorized
capacit~ and that by his/J:iei1t~eif
~lgnature(eron the instrument the person(er, or
the entity upon behalf of which the perso~
acted, .executed'the' instrument. ·
-----------·OPTIONAL-----------
Though the Information below Is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of th/s form to another document.

Description o~ Attached Document ·
Title or Type of Document: _______________________ _
Document Date: _________________ Number of Pages: ___ _ . Slgner(s) Other Than Named Above:-----'---------------- Capacity(ies) Claimed by Signer
Signer's Name: _______________________ _
• D Individual Top of l~umb here
D ·Corporate Officer_.;:,Tltle(s): _;_,_-:..... __ _.... _________ _ D Partner.:.... D Limited D General
D · Attorney-in~Fact
D Trustee
D Guardian or Conservator
D Other:-----------'------'-"-----~--
Signer Is Representing:. _________________ -,.-__
C 1999 Nallonal Notary Association• 9350 Oe Soto Ave., P.O. Box 2402 • ChalSwMh, CA91313·2402 • www.nationalnolary.org Prod, No, 5907 Reorder. call Toil-Free 1-800·876-6827 I
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()
LESSEE:

E & I DEVELOPMENT ASSOCIATES, a
California limited partnership
By: C.R.H.C., fucorporated
Its: General Partner
By:,_,_ ________ _
Name: --------Its: ----------
By: G.A. Hyson and Associates
Its: General Partner
By:

By:

By: ---------
Name: Greg A. Hyson
Its: President
Arthur F. Evans, its General Partner
James E. Roberts-Obayashi
Corporation
. ASSIGNEE:

OCEAN VIEW GARDENS, LLC, a California
limited liability company
By: E.H.M. Partners, L.P., a California
Limited partnership,
Its: Managing Member
By: A. F. Evans Company, fuc., a
California corporation
Its: Managing General Partner
By: ________ _
Name: --------Its: ---------
By: G.A. Hyson and Associates
Its: General Partner
By: --------
Name: Greg A. Hyson
Its: President
Its:
:;filfil~
Na~a · . Smith
Its: President · ·
748\42\174475.8 9

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CALIFORNIA ALL·PURPo(J ACKNOWLEDGMENT ()
. No,6907
State of ca.lifornia
County of c'ontra Costa
On __ J_a_n_u_a_.ry'--1_6-'-, _2_0_0_4 __ before me, __ ..,.__G_a_ry;__F_e_t_tk_e_,_No_t_a_r..;_y_P_u_b_l ___ ~c ___ _, DATE NAME, TITLE OF OFFICER· E.G., 'JANE DOE, NOTARY PUBLIC" personally appeared ___________ 1.c.;.a=l!_ry....._R-'-." __ s.;....m_i_th;..._ ______ _, NAME(S) OF SIGNER($)
[!] personally known to me • OR - D proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are
subscribed to tlie within instrument and ac
knowledged to me that he/she/they executed
the same in his/her/their authorized
r GARY FETn<E f
,., COMMISSION 1276152 :i' t :. NOTARY PUBLIC•CALIFOflNIA~l ~- CONTHA COSTA COUNTY V
/ • •• . MY Commission exps. Sopt. 8, 200~ i;
}, . :: .. _,,._.,.<,;,•,1,~--~::,~oi:i~~~-~T.~~"1~,_.•\"7-'"""•.--,~. capacity(ies), and that by his/her/their
signature(s) on the instrument the person(s),
or the entity upon behalf of which the
person(s) acted, executed the instrument.

WITNl=SS my hand and official seal.
~--·
~;;;?

SIGNATURE OF NOTARY
------... ---OPTIONAL---------•
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER
0 INDIVIDUAL
0 CORPORATE OFFICER
D PARTNER{$)

D ATTORNEY-IN-FACT
D TRUSTEE($)
TITLE($)

D LIMITED

D GENERAL
0 GUARDIAN/CONSERVATOR
D OTHER: ---------,---
SIGNER IS REPRESENTING:

NAME: OF PE:RSON(S) OR ENTTTY(IES) .

DESCRIPTION OF ATTACHED DOCUMENT

TITLE OR TYPE OF DOCUMENT

NUMBER OF PAGES

DATE OF OOCUMENT

SIGNER(S) OTHER THAN NAMED ABOVE
©1993 NATIONAL NOTARY ASSOCIATION• 8236 Remmel Ave., P.O. Box 7184 • Canoga Park, CA 91309·7184

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(.)
7 48\42\ 17 4475.8

EXHIBIT A
Legal Description .·
A-1

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I -
RESOLUTION-NO. 1211 .

APPROVJNG AN AMENDMENT .TO A 55 YEAR GROUND LEASE BETWEEN THE REI?EVELOPMENT AGENCY (B.RA) AND E&I DEVELOPMENTASSOCIATES FOR THE OCEAN VIEW GARDENS DEVELOPMENT .AT 813 DELAWARE ST;REET WHICH: 1) EXTENDS '.THE ORIGJNAL LEASE TERM BY 22 YEARS (FROM 2037 TO 2059); 2) ALLOWS ASSIGNMENT 9F LEASEHOLD. INTEREST TO OCEAN VIEW GARDENS, LIMITED LIABILITY COMP ANY (L:r.,C); 3) SUBORDJNATES THE FEE INTEREST JN,THE LAND TO THE LOAN FOR APPROXIMATELY $4.3 MILLION BETWEEN THE NEW ASSIGNEE AND THE CALIFORNIA HOUSING FINANCE AGENCY (CALHF A); 4) ALLOWS REGULAR AND . -CONTINUING CODE JNSPECTION OF ALL OF THE UNITS BY AGENCY STAFF; 5)

ENSURES THE COMPLETION OF A TENANT SURVEY DEVELOPED BY BRA WHICH SOLICITS INPUT FROM TENANTS ON MANAGEMENT-RELATED ISSUE_S; AND 6) .

REQUIRES THAT THE.MANAGEMENT COMP ANY MEET WITH THE TENANTS ON A REGULAR AND CONTJNUING BASIS TO ADDRESS ISSUES OF CONCERN . . . . . .
·wHEREAS, ·E&I Development Associates h~s held a 55 y~ar iease on the Agency's land beneath the Ocean view Gardens Apartments for the past 21 years, and has requested to amend their lease to add another 22 years (from 2037 to 2059); and · ·· · · ·
WHEREAS, E&I Development Associates (lessee), with AF Evans as the managing partner, is forming a new entity called Ocean View Gardens, LLC (assignee) to ensure continued affordability,· secure a loan from CalHF A, and provide for the continued management and maintenance of the . ~~~ . . . .

WHEREAS, legal notice was sent to all Ocean View Gardens' tenants on Friday, December 5, 2003 regarding th_e West Berkeley Project Area Committee meeting on December 11, -~003, where the Proposed L~ase Amendment for Ocean View Gardens was listed as an agenda item; and WHEREAS, although no residents of Ocean View Gardens Apartments attended the meetii~g, the West Berkeley Project Area Committee discussed this item at length with a rep·resentative of Managing Partner AF Evans Company, Incorporated, and then prepared a Committee repo1j to the Agency o;n this topic; and
WHEREAS, the We~t Berkeley Project Area Committee's report recommends that the Agency "Support the City's Housing Elemen~ Policy to· keep and maintah1 existing-affordable housing stock in the City of Berkeley with affordable rents assured for as lo rig as possible, arid· ... work with the AF E_vans ( developer) to assure th~t the Ocean View Gardens apa1iments remain as affordable housing, subject to the City Staff/City attorney review of appropriE1;te documents, including the prqposed amended lease. agreement"; and ·
WHEREAS, pursuant to Government Code section 6066, the Redevelopment Agency meeting of · January 20,2004 was publicly noticed and published in the Berkeley Voice newspaper once a week for two successive weeks,. on January 2 and January 9, 2004, and the staJfreport and a copy of the

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proposed lease and deeds of trust-hav~ been available· for public review at the Clerk's Office, . · Redevelopment Office, and Main Library since January 2, 2004; and · · . : . . .

WHEREAS,·this long-term Lease amendment and the Deed_ofTrust documents have been analyzed . by staff and will provide for the continued management, maintenance, and affordability bf the 62 existing units of low-income housing; and
WHEREAS, in addition to the Lease·amendment, the O~ean View Gardens LLC is also seeking a . new loan from the California Housing Finance Agency (CalHFA) in order to reorganize .the. partnership, prepay the existing debt and use some of the property's ·equity to renovate the ~~-~ ..

WHEREAS, in order for th~· Ocean View Gardens LLC to secure financing, CalHF A ·require~ that the Lease amendment state that .. all other interests in the property be subordinate to the loan and that the Agency sign the Deed of Trust documents; and ,, · .

WHEREAS, the Redevelopment Agency has agreed to subordinate the BRA' s fee interest in the land to the loan between Ocean View Gardens LLC and the California Housing Finance Agency · (CalHFA); and . . . . .
. WHEREAS, the purpose of the CaIHFA_fmancing is to pfovide af(ordablehousing, arid the instance of property seizure is remote; and . · · ·
WHEREAS, AF Evans (managing General P~rtner of Ocean View Gardens LLC) is a well established housing developer t~at already owns alm~st 5,000 housing units and actively manages over 6,000 units.of affordable housing~ and has successfully built and managed the Ocean View Gardens project for 20 years; and · · ·
WHEREAS' the lease amendment also provides. the Agency with the provision to cure any monetaiy . or non-monetary _default before any possible foreclosure on the property could occur; and .

WHEREAS, without this lease amendment, the new·p~oject financing will not be approved, and as a result, there will be insufficient funds to update the property and maintai~ ahigh_qualityproject for. th~ remainder of the current lease (until 2037.); and · · WHEREAS, :withoµt this lease ameni::lment, after 2012 and under the cu1Tent provisions of the lease, the OceanView Gardens Apartments could he converted to 80% AM( with a remote possibility that the project could.convert to.market rate rept levels; and · · · · WHEREAS, the requirements of the proposed new financingfor the project (Federal tax credits and State bonds) will guarantee _another 47 years (from 2012 to2059) of affordability with 49 of the units · · at 60% of the average median income (AMI) and 13 units at 50% AMI out of a total of 62 units, regardless of the status of Federal Section 8 monies; and · . .

WHEREAS, these affordability provisions are ensured by the agreements with and monitored by CalHF A, CD LAC and the California Tax Credit Assessment C_ommittee (TCAC), and the Berkeley 2

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Redevelopment Agency or a successor dty department will also monit~r the project and guarantee . that these affordability levels are maintained; and
. . .
. WHEREAS, the lease amendment will assist in the elimi~ation ofblight by guaranteeing the quality, as well as longer affordability of the Ocean View Gardens Apartments through provision of an additional 47· years of affordability, rehabilitation of the project (majormainten_ance such as kitchen . or bath replacements), and actions that take advantage of advances in building systems (e.g., water heaters, windows, energy efficient lighting) that V-'.ill make the project more efficient and cost effective; and · ·
WHEREAS, the estimated vaiue of the Redevelopment· Agency's land interest to be leased, · determined at the highest and b.est uses permitted under the Redevelopment Plan is $110,000 without improvements (2003 Assessor's Office land value) and over $1,3 i 0,000 with improvements; and . WHEREAS, the Ocean View Gardens' lease amendment and project ;financing are in accordance and comply with the City's Housing and Redevelopment Plans and p·olicy ...

NOW THEREFORE, BE IT RESOLVEI)that the Redeveiopment Agency approves an amendment to a 55 year ground lease between the Redevel.op~ent Agency (BRA) and E&I Development Associates for the Ocean View gardens development af 8·13-Delaware street which: 1) extends the original lease term by 22 years (from 2037 to 2059); 2) allows assignment ofleasehold interest to .

Ocean View Gard~ns, Limited Liability Company (LLC); 3) subordinates the fee interest in the land · · to the loan for approximately $4.3 milHon between the new assignee and the California Housing Finance Agency (CALHFA); 4) allows regular and ci;mtinufog·code inspection of all of the units by agency staff; 5) ensures the completion of a tenapt survey developed by BRA which solicits input from tenants on management-related issues; and 6) requires that the management company i:neet with the tenants on a re$ular and continuing basis to address issues of concern . . The foregoing Resolution was adopted by the BerkeJey Redevelopment' Age~GY on January 20, 2004 by the foilowing vote: . . . . .
. Ayes: ·AgenGy Me~bers Hawley, Maio, Olds; Shirek,. Spring and Wozniak. .

Noes: None.

Abstain: Agency Member Worthington.
. .

Abse11t: Agency M~mberBreland and Chairpei:son Bates.
'l_ ~.
~ates, Chairperson
3

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------------------.. ----------·------
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--·-··· ______________ ,, __ .. ________ _ ..... --····------...... . ··-··-----··--···-· ·------------------ Agreement between
Redevelopment Agency
and
E&I Development Associates, and
Oc~an View Gardens, LLC
For: Extension of 55 year Land Lease
Term:. 09/30/1982 - 3/29/2059
CMS#
RESO#
LFBUP
1211
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When recorded mail
Roger A. Clay, Jr.

GOLDFARB & LIPMAN
La·Salle Building
to:
.82-149148: . /1 . .
. . . . o°': _-, .·
_491 Ninth ~treet
Oakland,. CA 94607
Esq. . . .
~ Wt *lf;if.:W(..-.·,t~~\.'I'!,\. 1 P ..,.,.. .
· · I RECORDED IN Of.FIO!AL MC0RDS
Of ALAMrnA COUNTY, CALIF. · .
-RENE C. DAVIDSON, C~unty Recorder ·.
__ Fo~~ifH=Hi-T\~a2co~ .

AM.. . PPA
. . .· 'l18191l01ll1121'i1B18141516
tJf' . " ' ' ' .· •·.

J6·
J:.EASE AND DISPqSITION AGREEMENT . · ·
BY AND · BETWEEN:·
· .THE RE.DEVELOPMENT AGENCY OF 'THE CI-TY OF BE_RKELEY . . and
E & I DE"VELOPMENT ASSQ.CIATES '
R_egarding
. THE. WEST BERKELEY REDEVELOPMENT PROJECT
·. . ,..
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Exhibit CPage 33 of 58

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82-149148
LEASE AND: DISPOSI'r°ION AGREEMENT·
. THIS LEASE AND DIS·POSITION AGREEMENT, entered ,into as· of this 30th day of September, 1982 by and between the Redevelopment ..

Agency .of the City of Berke_ley (Lessor), and E.·_& :·r Development As·sociates (Lessee).

RECITALS
. .
v?HEREAS, the Lessor has been engaged. in the planning and development-of a_hous~ng oevelopment for· low- and moderate Income . persons in the Wesi; Berke_ley Redevelopment.· Area (The Development); · · · · WHEREAS; the Lessor has selected the Lessee as the -devel.oper of ·the ·oevelopment';
. WHEREAS,. the Lessor· wishe.s. to lease· th_e .. land_ upon which. the Devel~pment is to be 16cated to ~he Les~e~ for i period of .fi_fty-five (55) years, pursuant .to the terms of this Lease· ?ind.

Disposition Agreement; and
. . .
. WHEREAS, pursua~t to Secti6n 8.of the United States Hotising·.

Act of 1937, as amended ("Section 8"), ·the Lessee and the . California Housing --Finance Agency ("CHFA'!) ,· ·have entered· into an Agreement to Enter Into a Housing Assistance Payments Contraqt ( 11 AHAP"); and · ·
·WHEREAS,· the term of said AHAP provides· that. when
- construction of the units in the Devel.opment has .been completed in accordah~e wi~h plans and specifications approved by CHFA, arid.the -permanent mortgage loan has been funded by CQFA, that CHFA will enter into a Housing Assistance· Payment"s Contract HAP Contract · with the Less.ee with respect to such units. in the Development, whereby CBFA and HUD will make payments to. the lessee on behalf of· qualified tenants of the·pe'Velopment; and ·
. .
· · · · WHEREAS, CHFA··has provided a :commitment for construction ~nd· permanent mortgage loans, which shall be ma·de from tl:le . probeeds of the sale of CHFA tax-exempt housing. rev~nµe notes · and/cir bonds, to be issued pursuant·to the Zeno~ich-Moscone-Chacbn Housing and Home. Finance Act~ and the rul.es and. regulations issued ther~under; arid
WHEREAS, the ~arties believ~ that the ·terms of this Lease and Agreement are in accord with the public purposes, spirit and provisions of the·-applicable Federal,_State and City of Berkeley laws. and .requirements under which the D~velo.pment has been · und~rtakeri and is b~ing assisted,. including but not limited to the -laws, rules and regulation~ of HUD and CHFA a_ppl icable to the -1-.. .

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• .\ 82-149148 ,
_Development; and
.·WHEREAS, the Parties ackno~ledge tha~ the terms of this Lease · and Agreement are valid, enforceable, and legally binding on· all . of the Parties hereto, and ·.that they posse.ss ·the r_eqtiisi te authority to enter into_ this Lease a.nd.Agreement.. ·
NbW, ·THiREFORE, in coniideration of th~ pro~ise.and ~he repective qovenants·and agreements hereinafter contained, the Parties hereby agr~e as fcillo~s: ·
·ARTICLE I
. ,• .

DEFINITIONS
Section J. 1 •. Definitions. The . following terms. shall have th~ followi~g meahings in this L~a~a-and·Agreement~
(a) .. "AHAP 11 :sha11· mean· the ·.Agre·ement--.To Enter Into a Housing· - . Assistance Payment: contra.ct, dated September· 30, · 1982 by and bE:tween·CHFA a:hd the Less.ee, as amended from .time to time. · (b) "Authorized Officer(s)"·shall me:an,· in _the· case of the :Lessor, iti Executive Officer a~- designee, and -in the case of the- . lessee; _its Gen·eral Pa·rtners. · ·
··(c) 11 CHFAi 1 shall mea~ the Californ-i~'·aousing .Finance .. Agency,. a public instrumentality and political subdivision of the.State of .California, acting_ through an.y --authorized representative. . . . . . . . . . . . . .
(d) ·nciosing"· shall 1t1ean ·the date upon which_CHFA accepts the_ credit instrument evi-denc,ing the Construction Loan for the . · D~veloprnent. . · ·
. (e) "Commercial Unit(s}11 shall mean the commercial unit(s) ··within the Dev·elopment, wl)ich unit( s) shall· be· leased by. the · Lessee to Comrner9ial. Tenant( s), -pu·rsuant to the .requirements of CHFA a~d the·Lessee.· ·
..
( f) "Commercial._ Tenant ( s) " shall mean the tenant (.s ). who will · occupy the Commercial Unit(s).
(g) "Con~truction Loan" shall mean the proceeds of the
construction loan to be provided by· CHFA.-, . as evidenced. by a promissory not·e and secured by a· deed_ of trust { and any related security agreements-or· financing statements, including a . s·ubordinat ion agreement between· CHFA ~and the lessor, and cert_ain . CHFA security· agreements required of the lessee) w~ich are to b.e ·.given by the l~ssee or the lessor to CHFA at the Closing of the:
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82-14-9 ,~48
Construction Loan .•
(h) "Development". shall mean· the- com~~rci~l Units··. and the Dwelling. Units, as.well· as all iandscaping, road~ and ~~rking · spaces existing thereon, a$ the same'.may· from time to time exist, to be situatea .on the Land and designated as CHFA Project No •. ·· 81-70-N •. .
_ (i) ~Dwellih~ uiits". sha11·m~an the u~its of· h6using within .the Developme·nt, and any additions or. alterations. thereto; such nw~~~~~,~~1~;~#;~i;~~~~4,~i1Jif ~~~ft~ti~!f ,;:,::~t=:~~~~~;:ccs;::y:j:z;:t}1 · st-ribution of· .Development· Income to the Lessee in excess of ten;;/ 1 [~~~iY~f:~t~;:i£~,~li~i~1t:£J!¼[~±t;~~~,e?i11:~~t;;Ji~::';,~i;:~Ji'.t;;:i! 'i' '.:,J . . . ·{k). "HAP.contract" ~hall.mean the Housfng_Assisiance faymehts co·ntract -to be. executed· upori ·completion of the . ·· · Development,. by . and between CHFA and tl:le Lesse·e, with respect to· . the Dwelling Units, whereby CHFA will undertake t6 .make housing assistance payments· available. to the Partnership for all 62 , D~elling Units· pursuant . to Section 8 of. the. United Sta,-tes· Housing· A~t ,of 1937, as amended, for a term of: 30 years·. . · ·.. · · . ·. ; (1} "HUD". sball meari-th~ O~ited ·states De~artment of Housing and Urban Development, .acting· through al1¥ authorized . representative.· · ·· ·.. · .· .~
(m) 11 Impositio~s11• shall mean any taxes or assessments, , general or speci~ic, and any. other governmental charge whatsoever, which ·if not. pa·id when due would· impair the lien· of the · -Construction Loan or Mortgage" Lo·an, the security of the CHFA.bonds . on encumber title to the Development·, and· any. paYillent· in lieu· of· taxes., . which· the lessee has ag;e~d .to ··or .is '!:><>und · t6 pay· with r_·e~pect_ to the Development. ·
. . {n) . i•tand" shall mean the two tracts of land·' upoi:i which the . · :D?velopment is. to be located which i$ being·_ leased to the lessee pursuant to this ~ease ·and Agreement,. as is more fully d!:!scribea· · in the Ex·hibit C attached hereto· and. mad~ a part hereof~ : (o) · "Lease" shall mean this. Lease and. Agreement; beb1een the. lessee arid lessor;· and -shall include any and all amendments ·thereto hereinafter made •
. (p) · "Lea~e Year" shall mean a period of one year commencing · on the ·anniversary of the commencement, date· of this. lease and ending on the day preceding the next succeeding anniversary-of such coI1UJ1encement date •.. · · ·
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(q) "Lessee" shall mean S & I ,.Developi:nent Asso·ciates, ··a limited partnership organized and existing under the laws of California, 6r its successors ahd assigns. ·
(r) "Lessor" ,shall mean .the• Redevelopment ·Agency of the City of Berkeley, .California,~-public· body~ ~orporate and politic, organized and exercising governmental· function-.aod.· . powers .and ex is ting· under the Community Redevelopment Law 9.f the. ·State of California (Section 33000 et. seq. of the .Health· and, Safety Cod~.
' .
(s) "Low- ~nd Moderate-income persons" shall mean persons. and families whose incomes· do not exceed eighty ( 80). percent of .the median income· of the San Francisco/Oakland Standard · ·Metropolitan· Statistical Area, as adjusted- for family size,'.· m~dioal-expenses and unusual ~xpenses. ·
. .
. . ( t) .. · "Mortgage Loan" shall· mean the proceeds .. of· the -permanent -mortgage· -ioan. to he .provided by .CHFA, as evidenced by a promissory note and s·ecqred by a deed of trust, (and· any related security · · agreements 'or finanoing statements, and ~ertain CHFA security . agreements required 6f the lessee), which will be.bas~d upon the CHFA final mortgage determination.
( u) "Parties". shall mean the Lessor and the Lessee.
( v) ·"Partnership Agreem_ent 11
· sh-all me.an· the agreement to be
executed by. the. general and .1 imi ted · partn.ers of . the Lesse_e, in which alL of the rights and obligations of the partners of the Lessee·shall be ~et foith •..
·. (w). , · "Regulatory Agreement" sh,all mean· the agreement between·:

CHFA and the Lessee which. sets· forth certain conditions pursuant to which the Construction Loan and the ·Mortgage Loan. will be ma.de bi. CHFA td.th~-~essee, and by which the Develop~ent will be 6perat~d. · · · · · ' ( X) ... "Redevelopment Pl~~" sh-a~l . mean th·e. West B~rkeley Urban Renewal Plan in.effect on the date·of execution of this Lease. (y) "Tenants11 shall me.an residents in· the. Dwelling. Units •. ( z) · "Working Drawings". shall mean drawings .and spe.cifica _tions which have been approved for the Development. by the Lessor prior:to the e~ecution of this Lease~ ·
·E.xcept where the cont·ext otherwise ·requires, words· import1n_g the sing·ular number· shal_l in.elude the plural .number ~nd vice versa, and· words importing persons sh.all include firms, association~ and corporations •
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82-1491 '48
I.

ARTICLE II ·
Se6t{on 2.1· In6orporated Exhibits.~ The following d6cumen~s· are incorporated within this Lease by thi~ refer~nc~ and amde a·. part of t~is ·L~ase as i~ th~y were ·fully set out with~n,the text; . .. .(a) Redevelopment Plan. The Redevelopment Plan· in effect· on the date of exectition of this Le~se ls attached·as . Exh{bi t A.
. .(b) ~it~ .Map: ·The ~ite ~ap·s~ows·the. loc•tion· of the Development' Site and identifies Parcel· A ctnd Parcel B. It is attached as Exhibit B~ · · ·
( c) Legal Description of the De·velopment· S .i. te. The .

Legal descriptions ·of the Development Site is composed of separate descr·iptions: for. Parcel A. and Parcel· B... The .descrfptions are atta~hed as Exhibit C respectively. · · ·
.. ~
··(ch Working Drawings •. Pri~r t~· the execution. of this .. · ··Agreement,· Lessee has submi ttea· and the· Lessor· has.· approved. · working drawings for the construction to be performed under this· Lease. The drawings ,are on file at the office of -the Lesscir.

ARTICL~ IIJ; .
• .LEASE OF THE ·DEVELOPMENTJ USE OF· DEVELOPMENT.
. . .
. . ·. Section 3. 1- . Lease of the Land. . The Le·ssor ,. for and in ·. ·. . consideration. of the rents, covenants. ~n:d agreements of the Less~e and'lts successors and assign-, to be ·paid, kept and perform~d, · leases to the l.essee,. and in consideration· there.of, the lessee· does take, hire. and lea~e th_e Land from the .. lessor, for. and during the·"Terrri .. hereaf°ter ·set forth. Tpe lessee or-· its designee sh'all opet-ate the· Development .located on the land· in a~qo~dance with the·. prov is.ions of this . Lease, Federal and State. laws, municipal :
ordinances, the·_·Redevelopment Plan, and, if applicable, any CHFA or ·aoD. documents af f_~cting the. Land and the.· Development·~ .

Secti'on 3, 2· Term.· The term of this Le:as·e · shall pe . fifty-five {55) yearscommencing_on the date this lease 'is. recorded·. ·This. lease shall end ~t-midnight '.on. the last day of the thirty-£ ive. year' term unless. terminated earlier ·in accordance with 'the ~rovi~ions of t~is lease'or the ~ritten· consent. 6£:the ;,::~,J.~,i;~,l,~B;~~ilti~~~I1~EC:·~'t;-\~;,'.,;~'. ~:'.~l;2f~~H:2.1.: .. :··•·c·)':' .. :_:·''.'':\.:.Lr•:.·. : _:·,;_ ._;·'.·· .. ~'.-~.~~~:;~;~:-~:-. -~. ~ .,;.'.} y,:;;,,;~;i::~·:·. :/·· '::~; ft','.1(''·'··--Section 3. 3 · Rental Prov1s1ons. · Tne Lessee hereby agrees to }·(·····f-~).'? ay .the Lessor: as rental ~or the Land: [ 1] the sum _of $ 22.0 lOOO .c<J tr\;l · · · at ·closing. and [2]. 50% of all Excess Earnlng · •·• ~ti~~;:&J·~~&Ei;~~.~~~~-~;&:;i~rf·~~~g:f~\:3~~,f·~~-~;i'if{5·~¥~~~~;;:~¥~ ~tl· · dist rib u tea o.n the · . · · .· ·. ·

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B2-·l 49148.
annual anniversary of this Lease. Rental payments 9 hall be ··paid . ·in. the rnapner set forth .in Section 1 O. ·17 •
. . S~cti~ri 3.4 Pledge by Lessee of Housing ~ssis~ance·~~y~ents. and· Rentals. The Lessee hereby· a_grees that all payments received· from CHFA under the HAP Contract attributable to" and on ·behalf oJ the Dwelling Units~ together with all ~~ntals ·received fio~ the Tenanti and· ~he Commercial Tenant(s), sh~ll be used in ~ccordarice with. the provisions of the HAP Contract and as determined by··· · CHFA. . . . · . .

Section 3.5 Use of Dev~loprnent ~nd Assura~c~s of ies~ee.

The Land and the Development are to be used by. the.Lessee during th&'enti~e Term .of\the Lease solely for the purpose of permitting . occupancy of the Dwelling Units by predo~inaritly tenants of. low- and moderate-inco.me, and for certain othe.r .ancilliary purposes including the prov is ions of Co.rnrnerc ial Unit { s) to commercial Tenant(s), ~rovided .no provision hereof~shall be ·construed to requ.it"e the rental~ot.Dwe.l.lfng·Units :to.low-:·and moderate-income.Tenants at ·rental rates. which will result in operating losses· for .the ·Development. or ho reasonable return (i.e. · ten ·percent. ·of stated equity in the pevelopment· as determtned by CHFA) ·to the. Lessee· for its ope·ration of ·the· Development •. Lessee ag~ees to use its best efforts.tb ·s~cure'·any governmentaf housi~g assistance s·ubsidies which. would make economically feasible the rental of the Development to low-and moderate-:-income persons. The above-stated ·purposes shall be implement~d·. in conformity .with· the provisions of the Redevelopment Plan,:the HAP Contract, the CHFA approved Management .Plan, the Regulatory:Agreement and any other · CHFA or other documents regulating. ~the. Development during· the · effectiveness of . these ·aocuments and agreements.
· .The· Lessee .agrees:
. ( a) noc to use the Development· or. the Land or permit the use the.reo·f .fo.r · any disQrderly. or unlawful purpose,· but only· to use 't).1.e Develop~ent in a(?.c·ordance with .this Section~ . . . ( b) to use rea:sona:bl~ care. to prevent any Tenant or . commercial Tenant from'qommitting or maintaining any·nuisance or · unlawful condu.ct. on or about the Development or the Lan~; (c) to us~ its best ~fforts t~·pr~vent any Tenant or
Commercial Tenant from violating any of·tne·covenants and ·conditions of. this lease with respect. to the Development or the Land; · · ·
(d.) to.take all reasonable acti.9n, if necessary,. tq abate any violation· of this Lease. by any T.enant or Commercial Te'nant · uport notice trom the:lessor or other~ise; and
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·,.:::·. 82-149148 ·
· ( e) · subject to any applicable laws of the State .of California, to permit the Lessor and its agents to. insp~ct the . records of the Less~e and the Development and the Land .or any part thereof at any time during the Ter~ of this Lease.· · (f). to. coopera~e an~ coordinate th~ d~sigri, sit~ plan and .construction of the Development with adjacent redev-elopment projects. · (g) not t6 ~edify in any.faihion a~y ~f the.agieements or documents referred to in:Section 3.5 .above unless such changes are . mandated by law or by CHFA or HUD, without obtaining the prior · wri.tten approyal of Lessor. Lessor shall notify Lessee of any objectibn it has to such rnoaificatio~s within 15 days·of.receipts ot Lessee's'. writtei reques~ for s~ch·approv~l. · s·ection 3. 6 . Rights of Lessee~ Except as otherwise provided in. this L~ase, the Lessee.shall have the sole and.~xclusiv~ right:
(a) t6·~~l~ct and terminat~·the occupancy 6f a Tenant. or commercial Tenant;
(b).· to deter~ine the el{gibiiity of a Tenant or ~ornrnercial T~nant'for admission and contin~ed occupancy;
(c) · to ,give .notice to a te.nant.· or . .comrner.cial Te.nant to. vacate the Deve~opment ·or any· part thereo·f ;. · .
. (d) to instf~ute an·a prosecute. legal, ·proceedings against a Tenant or cornme:rcial Tenant:, and levy execution upon any judgment. obtained in ~uch proceedingsj aria· · ( e) : to ·reinstate a· Tenant or commercial Tenant after an:y action taken, if the circumstances or condition~ leading up to · .such action ·tak.en by the Lesse~ have been corrected and the. approval of such reinsta·tement has .been secured· from CHFA, if such· C~FA. approval .shall be required. . ·. ·· ·.

Section 3.7· Taxes and Assessments~·
( a) Payment. of Lessee•, As a. par·t of ·the, consideration for the execution and delivery of this lease and·as additional rent and subject· to all the provisions hereof, Lessee covenants and agre.es during the entire Term of th is· Lease~ at its own cost and . expense,· to. pay . to . the public otficers charged with the collect ion thereof, .as the same .became due and. payable and before any ffne,, penalty, interest, or othe~ charge may be added thereto,for the . ·non.payment thereof, all real estate taxes, 1 icenses and permit fees, charges for pUblic utilities of any kind, and obligations -7-
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for any arid all othet go~ernmental cha~ges, general and spec~al, ordinary and.extraordinary, unforeseen as well as foreseen; of any kind-.and -nature· whatsoever; as we11· as assessments. for .sidewalks, s. tree ts, sewe_rs, water, or any other public improvements and any other imp~ovements 9r· benefits which shall, during the T~tm ~ hereof·, be made, assessed, levied, or impos~d. upon or becom~.due· and payable in 6onnection with~ or a lien tipon, the Land,· ~r any· part thereof~or impr6vements thereon, or upon thi~··lease. Any such· t~ies, ass~ssmen~s or chatges. which are applicable only to a portiofr of the Term hereof shall be appropri~tely prorated; provided·that, if by l~w any impoJition.rnay at the option.of ~he taxpayer· be paid .. in installnrents, Lessee may exercise such -optio_n, and in .such event lessee shall pay all such installments (ahd · interest, if any) becoming d°ue during, or allocable to, the Term ·of this lease as the .. same become due. and before any additiona_l . interes.t' or any penalty, fine or cost may. be· added. subsequent to th~ expiration of the Term of this Lease, shall not be:chaigeabl~ · to nor pay~ble by the Lessee, ·it· being. ag·reed_-that·:such .. impos~ti6ris for·said paitial tax~ng p~riod sh~ll be pro i~ted · between Le.ssor and. lessee· on t_hia basis that _the number of·. days in ·• each such fractional tax, year bears to 365'. · Upon re~u~st· theiefor_ b~ Lessor, L~ssee covenants t6 furnishto Lessor~ within thirty (30) d~ys after the date upon ~hich any such· tax, assessment I or. other charge. is payable, ·Official . ·receipts· of the proper taxing or·other.,authority, or other proof satisfactory to lessor,· evidenci.ng the full payment thereof.· In the event of lessee's. failure to pay any such tax; assessment, or . . other charge, lessor· shall have the right to· pay the same and . -cha~ge sale amount to Lessea _as additional rent •. Lessor agrees · profuptly to send to-Lessee (i) copies of any noticea for any taxes,. assessments or charg··es, · if such. noti.ces have been received by-lessor~·ana· (.ii) evidence of·any such payment of taxes, assessments or charges made by the Lessor, which are ·the-· responsibility·of the lessee, pursu~nt- to the terms of the Leas~.· . tb). ·Inde~riification of te•~or. Lessee will at ~11 times indemrtify-·and hold ha~mless Le$sor from any and a11·of the_ aforesaid taxes,. assessments and charges·, ··and ;f:rom any and· all · liens and penalties' in connection therewith, and a_lso from any and · all claims for damages in an,y way hereinafter chargeable ,to, or payable for,. ·the Lanq, or the use and occupancy thereof, during · the Term of this Leas~. · · · . (c) Limits of Tax tiabilit~. · The provisions·6f this Le~se · . shall not be deemed to require Lesse~ to pay municipal, county, stat~ or federal income or gross :receipts or exces~ profits taxes ·assessed-against l~~sor, or municipal, ~ounty, state, or federal · capital levy,·estate; sucb~s~ion, inheritance, gift or transfer taxes of Lessor, or.: corporation franchise taxes · imposed upon· any · .-8.r

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owner of ·the fee of the Land. · Lessee agrees to promptly send. to ·lessor-copies -of· any and all notices received by it· in respect to · any taxes o~ assessments-affecting ihe land which are th~ . responsibility of the Les~or, pursuant tQ th~ terms heieof~ (d) Les~ee's Ri~ht t~ c6ntest.·· Le~see·~a~, if it disp~t~s · the amount or. validity of any liens, taxes, assess~ents, charges, penalties _or ·.claims,· including liens·. or claims of materialmen, mechanics ·or laborers, upon ·the. -.Land and· improvements ·thereon, contest and defend against t-he same at its· cost, and in. good· fai~h · -diligently conduct ··any necessary proceedings: to prevent ·and. avoid the·same; pro~ided, however, tbat:su~h-contest _shall be prosecuted to. a final" concl-us ion as: speed~ly as ·possible. · -Any rebate made on account of c;1ny· .taxes pr -charges· paid by 'Lessee shall belong and· be paid by .Le~Seei · ·· · · · . . ..
. ;/5~\;;~~;;:·;s0~·d'£'fcin.;:~;.;:~--,~i;~;~r~~~~~·~s·;~i~)£;~;~;§'.~;g',:-i~~{~~~§'.~-h8,r&f(f~~:~;~~e~··t<>:·;ffig:,,_J,;\ &f~}esse~ m_ay assign, p~edge~ or mor~gage .its inter~s~,. in this ~eas.e·,·' h, ~k~~~!~~~~~~~~~~~~~~~~~JS~~~ea;~~~!i;~i;z«~~,~~;:~ .. :~,:::~.~:~~:~.,c:: .. ,.1 ·\,, .

ARTICLE IV. _

CONSTRUCTION AND MAINTENANCE
Section. 4. 1 ·. Construction of Improvements.- . Lessee shall commence construction of the Development as set forth in the Working·Drawingi ~ithin thirti ~301 days after the exec~tian of· this Le~se and shall diligently proc~ed with con~truction.· according to the Lessor approved constrticiton _ c9ntract _until _pompletion. ·
.-Seciion 4.Z Ti~le to Improvement~ and ·Liens~her~on.~ Titl~ to all improvements on the Land, ·including the b~ild ings situated on the land as of the date. hereof', shall be iri and. ·rem.a in. in .

Lessee. .Upon. the expiration of the Term, or·-uppri th_e soon.er .termination of ·the Lease _c;>f the Land in accordance -herewith, fee simple .title to any of the Improvements remaining _o;n· .. the· Land · shall: .pass to the Lessor, automatically,· without_ the riecessi"ty of· ·. any. wr-i-tten instrument, unless prior the·reto the· Lessor shall. have removed the. Improvements· from the L<ind. or_ sold, assigned·,·• co_nveyed or otherwise disposed of the Imp~ovements arid the same shall have been· r~moved from· the Land; and the Lessee shall peacefully and quietly surrender and deliver to. the Lessor the Land and the Improvements then remaining, in gqod order, together with all· personal property owned by the Lessee,. located in, · used in connection with and necessary to the operation.-of'the Development or the Improvements. then remaining,· and all. records, leases and dociuments necessary to the continued ·use and operation of the . · -9-. . . '

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· Development by the ·Lessoi;-.. Any other pers.on.al property· 6wne·a by the Lessee and located on the Land or in the Improvements then remaining upon the ·termination of the Term shall be deemed.: abandoned and, if the Lessor qhall so :elect, shall become t·he · property o{ the Les~or_ without any payme~t or offset therefor.

Lessee agrees that any i.mprovements. on the Lana:. and .~ny :_ mc;1intenance and repa.ir work, alterations~ replacement. and / . additions in .connection therewith shall be of good· .quality~ and approved by CHFA, . should such approval of· CH.FA be required;· · Except as provided he~ein ~ith respect to the provisions by CHFA .of ·the Construction Loan and Mortgage Loan for the Development, . (or for any.refinancing in conn~ction therewith)., or.for apy other purpose· permitted by applicable CHFA rules and regulations, "Lessee -shall ·have· no authority, express or _implied,· to create or place any 'lien or .encumbrance of any kind or -nature whats_oever upon, or in any.manner to bind the interest of ~essor in ·the Land or tQ . -assign the rental-payable un~ei this lease foi atiy claim. in f~v6r of any person ·deaaling wi~h lese.ee_. Le·ssee covenants· and agrees·. promptly to pay·all_sums legally due and payable by Lessee on · account of any labor p'erformed or· materials supplie·a, against lessee's leasehold interest -in the Land·6r.the improvements th~reon •. · Iri the ~vent any mechanics or m~teriilmens li~n is filed ~gainst the_L~nd, les$ee·at it~ expens~ shall prornptiy cause such. lien to be remov,e_d by -bonding or· otherwise and Lessee will indemnify and hold lessor harmless from any and ·a11·such asserted claims· or liens.· . · .·. · · · · . .

Sectio~ 4.3 Use of Premises. Thi·tesse~ shall ~tall times during.-the Term of this Lease actively and continuously ·use -or caus.e the Development· to. be improved and. to be used_ for such purposes, consistent with all applicable zoning _and environmental law:s·, with all applicable. rules· and r~gulations of CHFA, if · applicable, anp t.he ~ease and the Redevelopment Plan. Lessee . agr~es reasonably~ promptly:ana· effectively to.comply with all. applicable and.lawful-statut,s, _rules, order, ordinanc~s, · . -' r·e.quirements. arid-~egulations .of the State of Ca_iifo~riia, the_· F_ederal Government, and· of any other governmental authority having j :urisdiction over the Development.· . Lesse.e may, if· in good fa.ith · and on reasonable _grounds, dispute_ the _validity of 'any ch:arge, complaint or action· taken purstiarit to or under color of any· charge, complain~, .order, ordinan·ce, _requirement or regulation,· defend against the same, and in good faith diligently conduct any necessary propeedings_to pre~ent and avoid· any.adv~rse consequence · of the same. Lessee agrees that any such contest shall be prosecuted to· a final conclusion as speedily as possible. · . . . . . Section 4. 4. Maintenance. ~f the Development and the Land •. Duri·ng the. Term of this L~ase, the Lessee or its designee shall perform, oi cause ~o be.performed, all maintenance and rep~ir · . -1'0-..
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·ne9essary to maintain the Development.and Land in good r~pair and tenantable ~onditions •.

Lessee cov.enants and agrees that it shali maintain or cause to be maintained. the ·Development arid Land. including improvements, lands6aping; and ~ny other appurtenances thit mat.from·tima to:· time be placed. thereon, regardless of style, description, or ! classification, in .a manner that is in keeping -~ith the.· .. Redevelopment Plan and shall not cause or suf~er to.be caused, any condit-ion within :its ·control to be unhealthy, unsafe. or an ·aesthetic or visual detriment.. · · ·rn the event that·th~r~ arises-a condition in.violatio~ of · the above-stated maintenance standard, then upon thirty. ( ~O} days written notice by the-Lessor to Lessee to cure the violation~ th~ ·tessor ha~ the right· to_perform all acts necessary to cuie such ·. cond°ttion, or to take any' other reco'urse at law or equity that the Le$sor may. have and to collect the cost of the Le.ssor' s action .. from Lessee. The Parties hereto further. mutually understand and agree that· such- rights of. the LeS·sor specifically include the: right to ·establish. or. enforce ·a lien or other encumbrance· agai'nst; the ·property.· The foregoing provisions sha.11 be a. c.ovenant . · · runnin~·with the lah~, enforceable by thi Lessor~ ·. . . . ·. . .· . .. Section 4.5. Utilities. The Lessee shall be responsible.for-·the .cost of all utilities, including water, heat, gas, . electricity, waste.removal or other utilities or services suppli~d ·. to. th_e Development an~ the Lessee will pay or cali-se same to be ~~id, .. cu~rently and a~ due. . Section 4. 6 ··As-Built Drawings.· .. Within· !:3ix·.ty-. ( 60) day~ after ·receipt of a certificate o~ occupancy,. Lessee s.h-all provide the .. Lessor with a·complete .set of ~as built". ·pl~ns and ~pecifications· of. the· Development. · ARTICLE-· V·
CHFA LOANS··
Section 5. 1 CHFA Rights~ . To secure the pa,ymerit of the funds to. be· provid~d by CHFA for the· constr-uction and .. de_velopment ·of the Development, . the. Lessee and CHFA wil:t enter into· a Construction. Loan and thereafter . in to a Mortgage ~oan. Nothing _contained herein shall relieve the Lessee of its obligations and responsibiliti'es under said Construction Loan or Mortgage Loan to the extent specified therein or _under. the· Regulatory Agreement .bet~een the Lessee and CHFA. · ~ · . . .

Section 5.2 Costs of ·CHFA loans to be Paid by Lessee. The Lessee affirms· that it shall bear all of the costs and expenses in - 1 1 _.
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con1,1ection with ( 1) · the prepara·t ion and secur-ing of· -the Construction Loan .and Mortgage Loan, ( ii) the· ·aelivery of any instruments and.documents and .their·_filing and recordi-rig, .if . required, and (iii) all taxes and chargei payable in connection with the Co_nstruction Loan, and Mortgage Loan •.

Se ct ion 5. 3 CHFA Lo~ns Sup~rior to ·Lease... The Lessor acknowledgea and covenants .that the Construction L6an and.the Mortgage Loan· shall be· superior to any rights which the Lessor shall acquire und.er this Lease, and. this Lease shall. be subordinate to the Con.struction Lo.an and· Mortgage Loan.

Section 5. 4 Application of. Rentals hi Lessee. It is.
, ·expressly und.erstood and agreed . that the Lessor shall have no -right or claim to, <;>r interest. in, any payments under the HAP · c.ontract or from Tenants received by the Lessee· except for any payments. to be m.ade pursuant to Sec_tion 3. 3 above. · · . ·" . .
.... Section 5 .. 5 . .P'roceeds of Mortgag·e •. It is expressly . understood and agreed that all Cpnstrucition Lo~n afid Morfgage Loan ~roceed~ ~hjll be paid to·and become· the prop~rty of Lessee, and that the.Lessor shall have no right to receiv~ any such ~ · Construction Loan or.Mortgage Loan proceeds,·except as set·forth in the CHFA documents applicable to .the ·oevelopment.

Section 5. 6 Subordination· by Lessor.·· At ~uch time or times as Lessee places·,. e~tends, renews, refinaRces· ~nd/or replaces any loan with CHFA or any other lender·, ana, so long as such · refinancing, extension, renewal or replacement does not terminate or adversly affect the fee· simple· interest of ·the Lessor in· the·· .Land or violate the terf[\s of this Lease, Lessor agrees to promptly . jpin in· (and execute, acknowledge· and deliv~r), in the ~anner ·required,' such Construction Loan· or Mortgage Loan· ( and/or all . related agreements, iristruments and documents, exclusive of notes,· bonds or other undertakings imposing .any finan·ci~l liability on. · Lessor) solely for the purpose e>f· ·mortgaging· the leasehold in the · Land and subjecting the right., title ·and interest <;>f Lessor ther~in td the.lien or the continuation or repla6ement of the liert of E?Uch con·struqt·ion loan or mortgage loan but without imposing ·any. person~! 1 iabil i ty on the partners of_ the Less·ee or the Lessor, all subject to approval by ·cHFA, if required, or .any subsequent lender, provided .stich.suboidination sh~ll .be iri conformity wlth the·provisions of this.Lease.
· ARTICLE VI

INSURANCE
Section 6.1 Required Insurance coverage.
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(.a) Fire. and Extended Coverage Endorsement •. · The. Lessee shall during t~e Term keep the Dwelling Units and the CoIJtmercial -· Uni t(·s) in the· Development insured against los-s or damage by .fire and 'all other _risks as may be included in the standard form of·· extended coverage· endorsement avaiiable .at all time· in amount such that the pro6eeds of such insurance shall not be le~s than the : - replacement. value of the o·evelopment or ·any. other higher amount · required by CHFA. The amount · of such ix:isurance. shall be· adjusted · · .by reappraisal of the Development by .the insurer or its designee ~t least once.every. three (3) years during the Term of this .. · Lease. · · · · · · · (b}. Li~bility and Property Damage Insurance.· During th• Term ·o~ the lease, the Lessee shall keep in full force and effect a policy or policies of public liability and property dam~ge . insurance against liability for bodily injury to or death on -o~ about the .Development. The· limits of such insurance shall be not less than the amqunts re-quired by CHFA,-- if applicable,· or by the . te_rms·. of the Partnership Agi::eeme.nt, ·w~ichever. is greater. · (c) · ~orke~s 1 c6~pensation Insuran6e. The Lesse~ shall carry. workers' .compensation insurance covering all persons employed in ·connection with the Peveloprnent and with respect to.· whom deiith , .. bodily injury, ~ickness insur~nce claims co~l~ be.asserted against the Lessor or the lessee. · (d} Title ·rnsu~ance. The lessee shall obtain a ~brtg~gee'~ • title. insurance policy. in such for~ and amount as shall be required by CHFA; on behalf of the Lessor, the Lessee shall obtain an owner's title insuiance policy, insuring a- leasehold interes~ . in the Land_ and :·a · fee simple· title: to the Improvements ·on the -Land, in such _form anc;l amo·unt as_ shall-be required .by Lessor. ·section 6.2: Insurance Poli~ies and Premiums.
(a)° .All policies shali name 'the Lessor, the· Lessee,. and CHFA. as·insureds as their respective·interests may app~ar~ ~rovided, . h6weve·r, that ·cHFA, for so long ·_as the Constr;uction '. Loan or . Mortgage Loan is outstanding; shall be named .as· mortgagee under the· terms of- a stq.ndard mortgagee clause, and all ini:.urance. proceeds shall be payable to CHFA~ Duplicate copies of such policies or certificates of such in·surance shall ·be· promptly. _furnished to, CHFA · and the _Lessor.· . . · (b) Any.policy of insurance shall provide that any chang~ or carice"ilat.ion of .said pol icy must be· in writing .to CHFA, Lessee and the ·Lessor at their respective principal offices at. leait thirty ·(30} days befbre the effective date of ~aid :thange or · cancellation~ · ... -13-
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Section 6.3 Pr6ceeds oi Insu~anci •
. (a). For so long as·the Construction Loan or Mortgage Loan on the Develop~ent is outstanding: · · (i) All fire arid extended co~~rage.(casualty} insurance proceeds· shall be·. applied. by CHFA., .if· it is the rnort'gagee, as· .. · provided in the Construction Loan arid Mortgage·Loan or if CHFA is. not the mortgagee, by.whatever entity.is the·mottgagee, as . provided in the Lease-,·. to the payment. of the· costs. of repairing or rebuilding that ·part 9f. the-_Development damaged or destroyed _if [A] the Lessee agrees in writin~ .. within ni~ety (90) days aft~r payment of the proceeds of· insurance that such repair or · · rebuilding is economically feasible;_ and [Bl CHFA, if applicable; ,determines that such repair or rebuilding will. not .ad1{ersely affect the payment of prin.cipal. or interest on the construction Loan or Mortgage, Loan. ·If the prope.rty .is not repaired or r~placed, all such proceeds. shall be ~pplied in .. a manner consistent ·with the terms of ·the~ Construction. Loan ·or .Mortgage . Loan, if applicabl~,: or __ to -a~t~:;!~: __ an.~ 1Jf .· . · (ii) Any proceeds of any. molf:agee's title insurance shall be paid t<? CHFA, .if it is the·-mortgagee·, provided :·that, if so requested ·by the Le~see or the Lessor, such proceeds shall be applied to remedy_ the defect in _title; if any.· ( b) In the even,t · that. CHFA :is. no longer providing the Constr-uction Loan· o.r the Mo_rtgage Loan, all insurance proceeds . received under. the policies set forth' in this· Article V shall be . paid to, and applied bY:, ( i) t_he Lessee, or: (ii) any subsequent · · mortga.gee. (.should· the te.rms of any loan agreement ·entered into by the Les·see with such mortgageee · stipulate as such), in a· manner consistent with ·th~ provi$ions-of Se~tion·6~2 herein. . . . - . ' . . . ARTICLE VII·
. . . .
· S~ction. 7 •. 1 N~n-discriminq.tory Cla~.se;' Affirmative Action •. · (a)' The·_Lessee shall not,· in the selection or. approval of Tenants or provisions of ~ervice or·in _any other manner;. discriminate against any person on the grounds.of race, color, religion, creed, marital status, -sex,· sexual orientation, national origin, ancestry; _or any other arbitrary 'factor. ( b) The. Lessee will· comply with all requirements of Title VI of the Civil Ri~hts Act, and.all appli6able.rules and regulation$ · issued thereunder ·and all other such fe.deral, state,· and municipal laws. · (c) The oblig~tion~ of the Less~e to co~ply with subsections . -1.,4-
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(a) · and ( b) above inures to the benefit·· of· the ·lessor and to CHFA and then shall be entitled ·to ii:ivoke.any remedies available by.law to redress any brea.ch of these subsections _or to comp'el compliance · th~rewith by the Lessee. . · . · · ·. . ·: . · . · .. . . . . .
. Sec_tion 7. 2_. Nondiscriminafio~ and Nonsegregation . Covenants. All deeds, leases anq contracts relat·ing to the · Development Land shall ·contain and be :subject to· the following nondiscrimination and· nonsegregation claus·es :. · .. · ·. . . -1-. ·· In deeds: "The .grantee herein co.venants by and· for itself, its heirs, execµtots·, administrators and assigns, and all pcirsoris clai~ing_u~der or through' them,. :that there shall be .no discr.imination against '6r·segregation. of ~ny perscin or group of persons on accouht of race, color, creed, religion, sex, · · mirital status, nationtl origin Or ancestry in the sale, · lease, sublease, transfer, de.v_elopment, use·, occupancy, tenure .or enjoyrne·nt of the 1a·na. herein-:convey~d, nor shall the grant~e-it~elf or any peison claiming under or· through. lt, establish ·or permit an ·any such pr·ac.tice or. practices of d_iscrimination or segregation with reference to the ~election,· · location,.·number, use or.occiupancy·of ten~nts, lessees,· subtenants, sublessees or vende'es_. in the land. here'in conveyed. The. foregoing covenants shall run _with the -land~"·: . . . .

2. In leases:• · ."The Lessee· herein. covenants by and .for its~lf, its·heirs, executors, administrators _and assigris, and all persons·claiming under or through: , tqem, ·and· th is lease __ is made anci accepted upon· and · subject to the. following· conditions: That th_e·re. shall. . be· no discrimination against or segregation of. any · .. . person or group_ of pe1:sons on account ·of race/ color, · ·creed •. ·religiori, sex~ ~arital status, ~ational o~igin . or ·ancestry in the leasing, 'subleasing, transferring .. use, occupancy, tenure. or .enjoyment of the land herein leased· ·nor shall the lessee itself,· or any person claiming. under or through .. it,. ·establish or. permit any such practice ·or p;ractices of discrimination or, segr~gation with reference to the·sele6tion; Iodation, number, use or· occupancy of tenants, lessees, ·subles~ees, subtenants or vendees in the land herein leas~d." -·

3. In ·contracts: ."There shall be no discrimination against ·or_--segregation of a.tiY person or group_ of . pe.rsons on· account of. race, color, creed, religion, sex, marital __ slatus, national .origin or ancestry in -1 s..:. . . ,.
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the sale; l~ase, sublease~ transfer~ us~, occ~pinct, tenure or enjoyment of_ the ·1and.,. nor. shall the transferee .. itself or any person· claiming under or : through it,·· establish or pet:f!1it any such practice or practices of discrimination or segregatiorr with refeience to the selection, location,.numb~r,· use or occupancy ·of tenants, -les.sees, . subtenants, subiessees· or vendees of the land." · · · · . Section 7 .. ·3. Compliance by Les·see with Governme.ntai · Regulations. In carrying_ out.all. construction-relat¢d work on the · Development, Lessee shall comply. with the Lessor-approved· affirmative action Plan and all applicable municipal resolutions· on affi~mative action~ · · . ARTICLE VIII

ASSURANCES OF LESSOR
Section .8.1 Less.or to Give Peacef'ul Possession.

The ·1essQr covenants. that. it is seiz·ed in fee. simple of, and has good and marketable title to, ~he Land arid that the same is free of all. easements, covenants, aondi tions ·_ and restrictions I • I
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. except ·as shall _be set forth in the owner's· title insurance pol icy_ i .to.be acquire~ for the Lessor by_the· Less~e •. The. lessor ha~ the J full. r·ight·. and authority to ma·ke this Lease •. The lessor covenants : . and · warrants that the lessee and its Ten an ts shall have, hold and enj6y~ during the Lease Term, 0 peaceful1 quiet and undisputed possession of the·Land herein.leased without hindran9e or mole~tation so lortg·as _the Lessee is not in default. hereunder; the· Lessor shall not, from and-after the.date of this Lease, mortgage,. encuinber·or otherwise impair toe state of title to ·the Land. The Lessor hereby ~ffirms that the Lessee. will be th~ owner in fe~ simple· of ~11 improvements· to· be constructed on the _Land.

Section. ·8. 3 Leis:sor to Leas·e-Development with Mark~t:cible. Title. Lessor covenants and warrants that there are no outstanding_ 1 ieris and· encumbr.ances · that will. interfere with the . Le~see' s poasession of· the Land. except: · · · . .

1.. Those covenants, conditions and restrictions specified in the Redevel_opment ·Plan attached. as _Exhibit A;

2. Any provisions ·of this. Agreement_;.

3. Any l:ien, not aei inquent ,_ for. real property -taxes 7 4~ .All easements of ·record appearing· on that certain· . ,

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Preliminary Report, dated S~2'?2-$'2.. , prepa~ed by th• Founders Title Insurance Compa~y.
·. Sebtion 8.4 tessor ~o Obtain Necessary Govern~ental· Approvals.·· The Lessor .covenants. that all necessary app'rova:ls from · any and all·governmental agen~ies in compliance· with all federal, state, and local lawsi 6rdinances, and .regulations iequisite to leasin~.of the Land have been obtainea;· · · · ·
·ARTICLE.XI ·
DEFAULTS .. AND RE.MEDIE:S · .

Sect'ion· ·9 .1 Events of DefaulL Failure-or delay by_· any Party to perform any term o_r provision of· this Lease in a timely manner constitutes an event of de;fault _under this Lease. ·The Party who so fails, or .. qelays must. within thirty ( 30) .days .commence . to cure, ·correct. or remedy· such. failure· _o_r. delay., and shall complete such · cure, coriectiop or remedy with reisonable diligen~e •
. The rioridefaulti~~ Pariy.should give ~ritten riotice of default to fhe Party.in defatilti spe~ifying th~ -~lleged·defa~lt.

Failure or delay· in giving, such notice shall· ·n9t· constitute a waiv·er of any default,· nor shall it. change .. the time of- default.

Exc~pt as other~ise-ex~res~ly pro~ided· in this Agree~~nt,. any failure or delay. by any Party in asserting any of its rights or remedies as to. any default-shall not _operate as- a waiver of. any default or of any such right~ or ;emedies _or deprive such Part~ of · its.right to inst:itute arid maintain any actions-or proceedings · which it mai d~~m necessary to·ptotect~. ass~rt or enforce any·~uch :rights _or·remi~ies. Except as-otherwise expresily_ state~ iri this Agreement,· the rights. and ·remedies of the Parties ·are curnulativ~, · and .the e~ercise by any. Party of one or more sucq rights or· remedies shal.l not preclude the, ·exercise by it; at the same time ·or· a·if ferent times,· of any other rights or· remedies for the same ,·default or any ~ther default by the -other. Party. . ' . . : ' .

Sedt~on 9.2 Bankruptcy •. ·In the event of birikruptcy 6n the . part of Lessee. or · in the case. of any. receiver being appointed to .. take charge of. the premises, or any. portion of the premises, due·,.: · to·1e~sees1 s inability to.meet .its obligations, Lessor~may; at its option, declare this lease terminated and forfeited by Lessee and . ·Lessor.shall be .. e.ntitled in· such event ·to immediate possession of the premisses-, arid no receiver or trustee. in bankruptcy shall . . acquire in·any such c~se any of. the rights of Le~see heteunde~. · . . . . . . .. .. . . . . . .

Sec'tion 9.3 . Plans and Data •. In the eve·nt Less·ee defaults and __ deep not procee~ with the construction of the Development, ·it I
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82~ 149148
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shall deliver to the ·Lessor all -plans and data conce-rning. the · Development and the· Lessor or any other person or entity designated by the Lessor is f~ee to .use such plans and~ata for ariy reason ~hatsoevei without cost or liability therefot to Lessee-. ·
Section.9.4 Institution of Legal-Action·s. Any Party may in·stitute legal action .to interp~et or_ enforce the terms·. of this Lease, .~o cure, correct or remedy any default,· or recover damages _for any default, or to obtain any other ·remedy available at law or. in equity.~ Such leg~l actions.must cinly be,institut~d-in the .superior Court of the .county of Alameda, State of California, in the Berkeley-Aibany _.Municip.al Court .in Alameda County or. in the ' Federal· District ·court for the Northern Di'str1ct of. Californi'a. · . ·.The ·Parties may agree to: have· any dispute heard by an arbitrator . under mutu_ally agreed upon rules and procedures. ·
.Section 9. 5 , Att·orne.Y1 s Fees :and Costs. Th·e .Party 'prevailin.g . in any legal actiQn ·shall be entitled.to.recover against.the Party· . not prevailing -all r·e.asonable attorney's fees. and costs incurred -in such ·action~ As used hereihj "legal actionh includes· · · arbitration p~oceedings.· ·
Section 9. 6 Further Default. ·.Th-e abandonment of the Development by the Lessee or the removal of the Development by the Lessee from the Land· shall constitute an ev·ent of default by the·. . Lessee under this Lease. _ .

ARTICLE·X
MISCELLANEOUS.

Section 10.1 Benefit of and Enf6rcement by CHFA. ·
Notwithstanding anything ~ontained i11 this . Lease t_o -the contrary, in the event· that any provisions of this Lease in any_ way . . · - contradicts, modifies .or .in any way c~ang~s .. ( i) the tepns of th~- - Regulatory Agreement, or . the Const_ru_ction· Loan or the Mortgage .·to~n·, _or (ii) the terms of any other docurnent:s executed, or to be - executed, 'by· the Lessee with CHFA. relating to th_e Development, the · terms of such Regulatory Agreement or such documents referred to · · in (i) and (ii) ·above shall prevail and govern. ·
. . · section 10.2 · Instrument is Entire Agreement. This Lease and attached Exhibits_, subject to the.term~ of the HAP Contract, the · Partnership Agreement· and the CHFA documents ·applicable to the Development, constitute the en~ire,agreernent between the Parties.

This Lease, subject to the terms of. such aformention.ed agreements, shall completely and .fully supersede all other prior. agreements, · both wri.tten a~d ·oral, between the Lessor and the Lessee relating to the lease of the La~d by the L~ssoi t6 the Lessee.

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Section 10.3 Notices. All noticei hereunder shall be in writing sign~d by an Authorized'.Officer(s) ~nd shall be sufficient if sent by United Statei fitst class, registered or certified mail, postage prepaid, addressed, [ 1) if· tQ the Lessor, to the Redevelopment Agency, c/o Executive Officer, 2180 Milvia. Street,._· Berkeley, California 94704·, and (2] i~ to· the lessee, to Oc·eanview ·. Garden~, Berkeley~, Calif~rnia 94702, and to CRICO timited. · Partnership of Berekley, q/o C.R.I. ,- Inc.; One Ceriti;-al Plaza, _ 11300 Ro~kville Pike, Rockville, Maryland 20852, and [3] · if.. to CHFA, to_ .. the California· ~ous ing Finance Ag ency,. 301 Capitol Mall, Sacramento, California 95814. The Lessor, CHFA and the Lessee. may, ·by lik~ n6tice, designate any.further or different. addresses to which subsequent notices shall-b~ sent.·.. · · . Section 10.4 Recording. ··This-~Lease shall .be recorded in the office of the .. Alameda ·county .Court Clerk, Oakland, California, or in such other off ice as may at the time· be· provided, by law as tlle proper place for ·the .recordat:ion ·thereof.. · · · · Section 10. s· Non-Waiver. of Breach. ·.Neither th~ failure of the lessor or the Lessee to insist upon strict performance o_f. any of the covenants and agreements of this lease nor the failure by the ·less.or o-r lessee -to ·exercis~ ·any· rights or· remedies. upon : · · default while the Lessor or Lessee is i-n default' hereunder shall be -deemed a waiver or rel inquis·hllient ( 1) of any covenant herein · contained. 6r of any of. t.he rights .or· remedies of the lessor or lessee hereunder, (2) of the r_ight in the.ifuture of the lessor or the l~ssee to insist upon and to ~nforce by mandamus or ot~er · . appropriate ·legal-remedy a stric.t cornplian_ce with. all of _the· . ·covenants and conditions hereof, or (3) t}:le ri'ght of the lessor to . recover· possession of the Land.

Section 10.6 Effective Date~ C6un~erparts.· This Lea~e ·shall become effective.· upon the commencement of the Term set forth herein· •. This Lease· may be sirnul_taneously executed. iri several counterparts, each of -which shall. be an original and· all of which sh~ll constitute.but on~ and th~ same instru~ent~· ' . '
.. Section 1 O. 7 · Lease Binding c,m Successors. · This Lease and a11· its provisions and attached Exhibits shall in~re to t~e benefit ·of, and shall be binding. upon,. the Lessor, the.Lessee and . . their tespective succesiors and assigns, · s·ection 10.8 Relationship of Parties. Nothing contained 'in this ~ase shall be deemed. or. constru.ed by the parties hereto or · by any third pa~ty to create the relatioriship of prinicipal and. agent or·of·partnership or ~f _joint veht~re .or of a~sociation or of ·buyer ·and seller wh~tsoeve~_between ~essor and Lesseei it being expressly understood and agreed that neither the computation of any payments .ana·other charges hereunder-nor any other provisions I
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: . 82-14 91 48
. contained . in this ·Lease,: nor ·any act or acts of- the :parties . . . hereto, shall be deemed ·to create any relationship between Lessor and lessee oth~~ than tbe relationship of landlord aria· tenant.

Sectio~ 10~9 ~arranti Atja1n~t Pajment ·of Consideration for Agreement •. Developer warrants that it has not paid or given, and will not pay or give, any third person any money or ·other · consiqeration for obtaining this lease, other. than normal costs of conducting busine~s and. costs of professional services such as. architects, ·engineers: and atto~neys.. . . ,' ... · .. : ... . Section (o~ i O Computation. of .Time 'In computing any pe~iod 6f time prescribed. or allowed under.this Lease, the day of the act, event or default from which the designated period of time . . .begini to run· shall not be included. The_ last calendar day of the · period so ·computed shall be included, ·unless it is.a S~turdaj, Sunday or legal holiday, in which eve~t the period runs until the ·end.of-the next.day which is,not a Saturday, Suriday or legal· hol°iday. ·. As used .herein, "legal. ·holiday": means a·.legal holiday recognized by_ the· City of Berkeley and which the qffices of the. City . are closed for public -business. · · . . . . . .
.. ·· Section -10.11 ~o Third Party Beneficiary. The-·provfsions ·of thi~ Lea~e are for the exclusive benefit of the Lessor Bnd Lessee, and their.successbrs and· assigns, and riot ·for the behefit ot any third· pe·rson,. nor shall this Lease be deemed to have. conferred any rights, express or impliea,.·up?n any- ~hi~d person. . -·section 10.12 Gender and Number. Words· of any gender used in this Lease sha~l b~ held to: inc_lude any other g.ender, and words in. the· sirigular number shall be-held to include th~ plural (~rid vice-~ersa),·when the sense re9uires •.

Sectio·n· 1 0. 13. · Titles. The titles and article or pa':ragraph . · headings are . ihserted only for conven.ience, and are in no way to ·be construed as a ··part. of this Lease or as a 1 iniit·ation on. the ·scope .of the particular provis~ons to which they refer.

Section 10._14 Invalidity of Particular Provisions.
(a)· ·. If any provision of this Lease or the applic~tion thereof t~ ~ny person or' circumstances shall to any extent be ·invalid or unenforc·eable ,. the remainder of this . Lease, or the application of such provision to persons or circumstances other than those as· to which it is inval-io or ~nenforceable, shall not be affected thereby, and each provisions of this Lease shall be valid· and.be enforc~d to the fGllest ~xtent_permitted by-.law:
( b) I.f the terms of. the HAP Contract or Regulatory Agreement shall be modified in such a manner-as to create certain -20-

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I, '-• t'
. 82'."" 1491'48 ·,
. fnconsistencies with the· provisions of this Lease, t·he Lessor and Lesse~ agree to promptly take all acti6ns necessary to amend t~ose sections-affected by the occurrenqe of .any cif the ~vents set forth above so ~s to ensute that ~11 of the provisions~£-thl~,Lease ar~ fully ac6urati, valid and enforceable.. · · · Sect1on_ 1 O. 15. Effect of Approval by CHFA. · The approval .of this ·Leas~. by:CHFA has signified that the undertaking·of the Lessee, and ~he-perfot~ance·of its pbligitions, under .this Lease . is cons is tent with, and shall. hot .in. ·any way. impair~ the ,;ights of ·the· Lessee to: receive ( a) housi.ng assistance paymept$ under the· AHA:E> and the HAP ·Contract, and· ( b) proceeds under : the Construction Loan· and _the Mortgage Loan; and ·that CHFA_ has approved the terms of th{s Lease, · inci ud ing the. Ter~ ~ereof. · · ·· · Section·10.16 Applicable Law. ~his-Lease'sh~11· be·go~erned ~y and ~o~strti~d in accordance with the laws-of·.the State of';.·- . ,_:.~~~tjt:;~~~~~!~',.~'.;~fjJ,i~}i:,2'··-~;~:>t:(~~,~j{-fJ,0~:&:~~J!EbK:~;:'i: ):i_£ _'~fr'.0P~ii:'i\K~7.'2-,z:h;:;~)-2 ,,:,;; .(j;~':f!::::;i:-•: .-; ',;,_;··.;t-;;~: ·L:'~:~ :·r::.~.:. ~}::1 ·· .·. :·,·s·ec.tion _ 1,0.17 Rental Payments. _All rental. payments to be · ;,~:J-\\;:j paid.·by the Lessee-tp the Lessor pursuant to Section 3.3 above /\d i-iin shall be paid by_ the Lessee to· the-Lessor in trust·.·· .The Lessor ,},°':/ . ffi;li shall· hold the Rental. Payme~ts in-trust and. shal~ only. ~ele~se thet'JJ ·)t·Z\1 funds from trust upon the City's or Lessor.'. s . 1,1se and. expend 1-ture {:fl ;:·.q of the Rental Payments for the redevelopment of the Delaware t.r:J. /(;1 Street Historical District in the West_·13~r:Jceley Development. If. I)M , f ~1!!;!i~~rt~;!~!f f !~11~i1~1t~1~;~~~;~!~!t!~~~::~o. ~r .. ·: _·;pay operating· costs of the Development _which :are eligible . . /'d -\a·ctivities_ i.mqer the Community Development Block Grant Program· aq,?,I;{l. rt/the Lessee shall thereafter ·not -be liable to the Lessor for said: ;,;t:1 Section 1 o. 18 Reasonabie Approvals. · Wllere~er -the Lease . · requires Lessor or Lesse.e approval of. any document or other ma~t~i, such appro~al shall riot .b~ unrejsonably_withheld~ IN WITNESS WHEREOF, _{he parties hereto have her:eun~o set their hands this the day ~nd'year first abov~ written~ -21-...... ~
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WITNESS:
.ATTEST:
..

ATTESTr
. WITNESS:

WBLA/RC/9/30
82:-·149148
LESSOR

THE REDEVELOPMENT AGENCY ,OF
• THE CITY ·OF BERKELEY . .

LESSEE:

E AND I DEVELOPMENT ASSOCIATES,
.By:t!~
J/;fhu,'~-Evans,
' General Pa~tner
By: CRICO·LIMITED PARTNERSHIP OF
BERKELEY,. a G~neral. Pai::tne'r
By: C. R.H. W. ·, . INC. ,
Its General P~rtner ·
. By : ~-;---::---::---:::---:c.,r--:---+--"=--:,±---=-""'--- i chara L. Kadish. .
· Sertio.r. V!ce· President
APPROVED. BY:

CALIFORNIA HOUSING FINANCE ·
AGENCY.

Authorized Officer . .,
· .-2,2-. _:

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·" ,.:
. " .. ' ) . ,,. .

S'i'AS:.EOE" CALI.E'OR"NIA
COUNT:(.C>F San Francisco:
.)
l SS~
)
.•· ..
on. Septernl:ier · 30 . . . -, l~B~ ,. l::>eiore ·me; the undersicined,. .a··· Nota,ry J?ubl~c. in· and for the. _State "aforesaid.,· personally. appeared · · •.... _.A7:thnr,'t:.' 'E_vans . . . · .. :· · '· · ~ , _known to 'me. to be. ·one of·· · . . the. __ p·artne.rs ·of ·the partnership that executed the within instrument . . and acknowledged to me that such partnership ex':cuted the-·same ... · · ... . . .
. ·. . · ·' . ... . . .. . ..
'. -~··-·. . .~·· :. : :: : .
. .. ~--·:· . . : ... .. _, ____ _.. _ _,... ___ .............. _ ......... ___ . ------ ... . . . • • • • .. • • : ;• 4 . ·:-. ·'
·.:. . ·;.·--.. ... :• . .'· ·.: . ·,·: . .· ·:_ ..... : . .... ·~ ,•
. . . ~--· -.... '. :·, . . ·:~ .. •' ·-.... :· : . ~
.. ·- .·. ..· ... ,.,. . -·~·-:,.~ ~·} . . . . ~ .· :., ..... . ........ :· ... -··:. ·: -· .. -: . , ... ·:· ~ .

STATE OF CALIFORNIA )
. ~- .

COUNTY OF SAN FRANCISCO .
) . ss.
)
.On t..1-iis_ ~-·day. of Sept:embe; r .1982, b~fore· the :undersig.ned,.~a· Notary' ':.· . ·P,ublic duly c·o~issi·one<l aml sworn, . personally· appeareq R. P •. Phinney ... · · knm-;n · to me_ .to be .the Development Officer of ·the C~lifor.pia Housing.. · · Finance Agency, a· public instrumentality of the State of California, .and fu"'lo;.,11 to me to be the· person who executed· _the within instrument on .-be.,.1.alf of safd ·Agency, and acknowledged .to me that such Agency · .executed the same. · · WITNESS WHERE.OJ;'·,
··d·County.
year· .Li-i
I have hereto·set my handand affixed my official _s_a_n_F_r_a~n-c~i~s_6o __ --__ __,,--·, ·state of California, certificate first above written~ I
• . »
W~m1111n1iuuu111m11111n11111111111111um111111! . .. . OFFfCIAL :.EAL :
&~~· °' · · ·. RITA KEHRIG ; !!! . • ,_:;H ' · NOTARY PUBLIC CAt..FORNIA : · ; , /;Ii .. CITY ANO COUNTY OF SAil rnA«CISCO ~ . ! . ~.,~· .... Mr Comm1ulon Ex~,e~ HO¥ember 2), 1984 :
. 6111111uu111111uum111111111,~1~111uu11111111111u1t
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82..; 149148 ..
(Partnership) 82-149148
. STATE OF CALlFORNIA
. } ss. COUNTY OF ·san Francisco
on . September 30, 1982
t .. before me, ~he undersigned, a ·Not;iry P~hlic in and for said Staie, personaliy appeared Richard. L • Kadish known to me to be the Sr. Vice President of C.R.H.W., Inc • . w a corporation, said corporation being·known to me to be the.general ' a:
~ .partner . . ]·r;, IC Ml
Ill .J
·I!,
~ CQ
<\ STATE OF CALIFORNIA
COUNTY·' OF San Francisco
82~ I 49 l.48
On th.is 30 day ·of September , 19 ..J32_, before me, a Notary Public in and for said County and State, personally appea.r:ed Forres...,·t'""""'C.=.;ra,,._v..,e..._n._ __ _..;_,_ , known . to me to be the Executive Officer ·. -o-=f,-..-T-e_e_R_e_d_e_v_e_l_o_p_me_n_t_A_g_e_n_ct of the City of Berkeley · and known to be to be.the person who executed the within instrument on behalf o:f said public agency,. and·acknowledgedto me that such.public agen.cy executed . the. ·s·ame. . seal.
·1
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: ~ OFFICIAL SEAL ·:: 5 \ · RITA KEHRIG : ! · "" .. ' NOTARY PUBLIC CALIFORNIA : • . , CITT AND COUNTY OF SAN FRAIIClsto :
: . s, • . M~ Coriulliulon E•plru Hov1mbtr %3, 1984 ;:
i11nnlKUlllllU111lhUllhUIIHJIUIIUIIIIIIUlll8.
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Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7010 E-Mail: [email protected] Website: http://www.ci.berkeley.ca.us

CONSENT CALENDAR
May 21, 2024
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Scott Ferris, Director, Parks, Recreation, and Waterfront Subject: Grant Application: The Surrendered and Abandoned Vessel Exchange (SAVE) grant program of the California Division of Boating & Waterways

RECOMMENDATION
Adopt a Resolution authorizing the City Manager or her designee to 1) apply for and accept a grant in the amount of $76,000 from the California Division of Boating & Waterways (“DBW”) Surrendered and Abandoned Vessel Exchange (SAVE) grant program for the removal and disposal of anticipated abandoned vessels located at the Berkeley Marina; 2) execute any amendments; and 3) authorize a local match contribution of $7,600, subject to securing the grant.

FISCAL IMPACTS OF RECOMMENDATION
The cost to remove and dispose of abandoned and derelict vessels at the Berkeley Marina through FY2026 is estimated at $83,600. The Parks, Recreation, and Waterfront Department will submit a grant application to the Division of Boating and Waterways SAVE grant program in the amount of $76,000 for this work, and will allocate a required minimum 10% local match, equivalent to $7,600. Funding for the match is subject to appropriation in the FY 2025 budget in the Marina Fund (Fund 608). If awarded, the grant will be deposited in the Boating and Waterways Fund (Fund 607).

CURRENT SITUATION AND ITS EFFECTS
Each year, approximately ten (10) vessels get abandoned by their owners at the Berkeley Marina because they lack funds to repair the vessels or they lack funds to pay for their dockage fees. Due to the age and neglect of the vessels, they have no value, are not sea- worthy, and are likely to sink. These vessels occupy slips in the Berkeley Marina that could otherwise be used to generate dockage revenue for the City, and these vessels are a visual blight on our Marina and harm our reputation. This new round of funding will assist us as we work to keep our docks clear of derelict vessels in the coming year, and build upon the progress we make in removing derelict vessels via previous SAVE Grants.

BACKGROUND
Responsibility for derelict and abandoned vessels often falls on public agencies. In 2020, the City received a SAVE grant for $130,000 and removed twenty-five derelict vessels. In

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Grant Application: SAVE DBW for abandoned vessels CONSENT CALENDAR May 21, 2024

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late 2020, the City received a SAVE grant for $42,000 to remove 8 derelict vessels. In late 2021, the City received a SAVE grant for $42,000 to remove 7 vessels. In late 2022, the City received a SAVE grant for $60,000, which is currently being used to remove abandoned vessels. In late 2023, the City received another grant for $60,000 which will be fully spent in FY 2025. The increased grant amount for the 2024 application is due to an increase in costs for removal and an increase in the average amount of abandoned vessels in the Berkeley Marina. For the past 20 years, the Division of Boating and Waterways has provided grant funding assistance to public agencies throughout California, including the City of Berkeley, to properly remove, store, and dispose of abandoned, wrecked, or dismantled vessels or any other partially submerged objects that pose a substantial hazard to navigation, from navigable waterways or adjacent public property, or private property with the landowner’s consent.

ENVIRONMENTAL SUSTAINABILITY
Derelict, abandoned, and sunken vessels pose a navigational and environmental hazard to the waters of the Bay (e.g., they can leak oil fuel, oil coolant, paints and solvents, sanitary waste, etc.) Removal and proper disposal of these vessels contributes to the improvement to the health of the Bay waters.

RATIONALE FOR RECOMMENDATION
The Parks, Recreation, and Waterfront Department has the primary responsibility for removing derelict and abandoned vessels from local waters. SAVE grants allow the City to substantially leverage our existing funding for these projects, and safely remove potential environmental and navigational hazards from our waters. The swift removal of derelict vessels from the Berkeley Marina via SAVE funds prevents the accumulation of such vessels on our docks improves the attractiveness of the Berkeley Marina to existing and prospective slip holders.

CONTACT PERSON
Alexandra Endress, Waterfront Manager, 981-6737
Sean Crothers, Waterfront Supervisor, 981-6744
Attachments:

1. Resolution

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RESOLUTION NO. ##,###-N.S.

GRANT APPLICATION: SURRENDERED AND ABANDONED VESSEL EXCHANGE (SAVE) GRANT PROGRAM OF THE STATE DIVISION OF BOATING AND WATERWAYS WHEREAS, each year, approximately ten (10) vessels get abandoned by their owners at the Berkeley Marina because they lack funds to repair the vessels or they lack funds to pay for their dockage fees. This number is expected to increase due to financial hardships of the Covid-19 pandemic. Due to the age and neglect of the vessels, they have no value, are not sea-worthy, and are likely to sink. These vessels occupy slips in the Berkeley Marina that could otherwise be used to generate dockage revenue for the City, and these vessels are a visual blight on the Marina and harm our reputation; and WHEREAS, responsibility for abandoned vessels often falls on public agencies. For the past 20 years, the Division of Boating and Waterways has provided grants to public agencies, including the City of Berkeley, to remove, store, and dispose of abandoned, wrecked, or dismantled water vessels or any other partially submerged objects that pose a substantial hazard to navigation, from navigable waterways or adjacent public property, or private property with the landowner's consent; and
WHEREAS, the Parks, Recreation and Waterfront Department has the primary responsibility for removing derelict and abandoned vessels from local waters. By applying for SAVE grants, the City is able to substantially leverage our existing funding for these projects, and safely remove potential environmental and navigational hazards from our waters; and
WHEREAS, the cost to remove and dispose of ten (10) abandoned and derelict vessels at the Berkeley Marina through FY2026 is estimated at $83,600. The Parks, Recreation and Waterfront Department will apply for $76,000 from the DBW SAVE grant program to remove these vessels, and must provide a minimum match of 10% (equal to $7,600). Funding for the match is subject to appropriation in the FY 2025 budget in the Marina Fund (Fund 608).

If awarded, the grant will be deposited in the Boating and Waterways Fund (Fund 607).

NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager or her designee is authorized to 1) apply for and accept a grant in the amount of $76,000 from the California Division of Boating & Waterways (“DBW”) Surrendered and Abandoned Vessel Exchange (SAVE) grant program for the removal and disposal of anticipated abandoned vessels located at the Berkeley Marina; 2) execute any amendments; and 3) authorize a local match contribution of $7,600, subject to securing the grant. A record signature copy of said agreements and any amendments to be on file in the Office of the City Clerk.

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Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: https://berkeleyca.gov/

CONSENT CALENDAR
May 21, 2024
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Jordan Klein, Director, Planning & Development Department Subject: Leave of Absence Requests: Environment & Climate Youth Commissioners

RECOMMENDATION
Approve Leaves of Absence for Environment & Climate Youth Commissioners Mabel Athanasiou and Shanza Syed for the Commission meeting dates June 26, 2024 and July 24, 2024.

FISCAL IMPACTS OF RECOMMENDATION
None.

CURRENT SITUATION AND ITS EFFECTS
Environment & Climate Youth Commissioners Mabel Athanasiou and Shanza Syed are requesting leave of absences for the Commission meeting dates of June 26, 2024 and July 24, 2024, due to travel. BMC Chapter 3.02.030 states that a Commissioner appointed by the Council as a whole may be granted a leave of absence, not to exceed three months, by the Council.

BACKGROUND
On November 28, 2023, Council appointed Mabel Athanasiou and Shanza Syed for membership on the Environment & Climate Commission, Resolution No. 70,110-N.S.

ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
None.

RATIONALE FOR RECOMMENDATION
Approval by the City Council is the only mechanism for granting a leave of absence for a Commissioner appointed by the Council as a whole.

ALTERNATIVE ACTIONS CONSIDERED
None.

CONTACT PERSON
Sarah Moore, Environment & Climate Commission Secretary, Planning & Development Department, 510-981-7494

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Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: https://berkeleyca.gov/

CONSENT CALENDAR
May 21, 2024
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Jordan Klein, Director, Planning and Development Department Subject: Contract: Online Solutions, LLC (DBA Citizenserve) for Housing Inspection and Code Enforcement Software

RECOMMENDATION
Adopt a Resolution authorizing the City Manager to execute a contract with Online Solutions, LLC (DBA Citizenserve) for software licensing, implementation, maintenance and related services for housing inspection and code enforcement software, for an amount not to exceed $622,215, from June 17, 2024 through June 16, 2029.

FISCAL IMPACTS OF RECOMMENDATION
The five-year costs for implementation, including data migration and integrations, is $622,215. The cost will be shared between the Rental Housing Safety Program from Fund 129 (RHSP), and the Land Use and Building & Safety Divisions from Fund 621 (PSC).

Fund 129 (RHSP) Share of Costs
For Fiscal Year 2024, funding in the amount of $69,137 is available in account number 129-53-585-635-0000-000-441-613130. Funds for FY 2025 and FY 2026 are included in the FY2025 and FY2026 budget and are subject to appropriation for each year. Funding for FY 2027 and FY 2028 will be requested in the budget for those years.

Fund 129 (RHSP) FY24 FY25 FY26 FY27 FY28
Implementation Fees 29,290 87,869
Annual Subscription Payment 39,848 39,848 39,848 39,848 39,848 Total 69,137 127,716 39,848 39,848 39,848
Fund 621 (PSC) Share of Costs
For Fiscal Year 2024, funding in the amount of $6,129 is available in Land Use Division account number 621-53-584-622-0000-000-472-613130 and $58,384 is available in Building & Safety Division account number 621-53-585-634-0000-000-472-613130 to cover the full FY 2024 PSC Fund expense of $64,513. Funding for FY 2025 through FY 2028 will be appropriated via the AAO and budget processes for those years, as needed.

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Contract: Citizenserve for Housing Inspection Software CONSENT CALENDAR May 21, 2024

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Fund 621 (PSC) FY24 FY25 FY26 FY27 FY28
Implementation Fees 16,745 50,236
Annual Subscription Payment 47,768 47,768 47,768 47,768 47,768 Total 64,513 98,004 47,768 47,768 47,768

CURRENT SITUATION AND ITS EFFECTS
In 2023, the Planning and Development Department began seeking a system to integrate housing inspection and financial management functions in a single, cohesive system and to manage building and zoning code enforcement. The Department seeks to improve tracking of information collected during inspections, and management of communications and documentation required for inspection follow-through. A Request for Proposals (RFP) was issued for Housing Inspection and Code Enforcement Software (Specification No. 24-11628-C) on November 1, 2023.This initiative was in response to the recognized inefficiencies of operating disparate systems for housing inspection data and financial management, and less than satisfactory performance of the inspection data system since 2015.

Five firms responded to the RFP. An interdepartmental panel including IT and Planning staff reviewed the proposals, hosted demonstrations, and gathered references.

The adoption of the Citizenserve platform aligns with the City’s strategic objectives to deliver outstanding, timely, and accessible services and information to our community and helps advance the City’s Strategic Plan Goal to be a customer focused organization that provides excellent, timely, easily-accessible service and information to the community.

BACKGROUND
Since 2015, the City has utilized the Accela Housing module along with the FUND$ Miscellaneous Receivables module for housing inspections. When the Planning and Development Department implemented the Accela system for housing inspections in 2015, only inspection data was migrated, with financial information remaining in FUND$.

As a result, staff have had to work in two separate systems to result housing inspections and generate invoices for fees. While the Accela Housing module was custom configured from an Accela code enforcement software module, and modified over subsequent years, it never provided fully satisfactory utility. The City is seeking a new system that includes both the inspection and financial components of the program to reduce the workload and streamline operations.

Building and zoning code enforcement activities are currently tracked with Excel spreadsheets. Citizenserve will improve these code enforcement efforts by providing a system with workflows to manage notices of violation and other correspondence, inspection notes, owner contact information, reminders, and citations when necessary.

View access will be provided to staff in other departments, including Neighborhood

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Contract: Citizenserve for Housing Inspection Software CONSENT CALENDAR May 21, 2024

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Services Code Enforcement, the Fire Department, and the Rent Board, to facilitate citywide coordination of code enforcement efforts.

ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
The proposed software is expected to significantly enhance operational efficiencies, enabling inspectors to complete more inspections weekly, thereby achieving higher inspection goals with fewer resources. It also offers the potential to further reduce the Department's carbon footprint through the adoption of more paperless processes.

RATIONALE FOR RECOMMENDATION
The proposed housing inspection and code enforcement software represents a pivotal upgrade for RHSP, and for building and zoning code enforcement, ensuring the continuation of essential services in a more efficient and integrated manner. The system will provide a portal for property owners, where they can make payments and fill out exemption correction forms online, which will save time for owners and staff alike, and will continue to provide tenants with an online portal to submit requests for service.

ALTERNATIVE ACTIONS CONSIDERED
During the RFP evaluation process, alternatives, including the adoption of different vendors’ solutions, or not acquiring new software and continuing with inefficient processes, were thoroughly considered. However, the selection team determined that Citizenserve offered the most significant operational and fiscal advantages.

Staff also considered incorporating housing inspection and code enforcement functionalities into a broader RFP that is planned to procure a vendor to develop a new permitting system. This alternative was ultimately set aside in favor of the proposed solution specialized in code enforcement processes.

CONTACT PERSON
Eryn Blackwelder, Community Services Specialist II, Planning and Development Department, 510-981-7498
Jenny McNulty, Resilient Buildings Program Manager, Planning and Development Department, 510-981-7451
Attachments:
1: Resolution

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RESOLUTION NO. ##,###-N.S.

CONTRACT: ONLINE SOLUTIONS, LLC (DBA CITIZENSERVE) FOR HOUSING

INSPECTION AND CODE ENFORCEMENT SOFTWARE
WHEREAS, the City of Berkeley has identified the need to improve the efficiency of its housing inspection, code enforcement and revenue collection processes; and WHEREAS, five firms responded to a Request for Proposals released on November 1, 2023 (Specification No. 24-11628-C); and
WHEREAS, a selection committee reviewed the proposals and determined that Online Solutions, LLC (DBA Citizenserve) was the best qualified to provide the services needed and offered the best combination of cost, software functionality and customer service; and
WHEREAS, funding for licensing, implementation and maintenance services in the amount of $133,650, is allocated for Fiscal Year (FY) 2024 in the Planning Department’s budget and spending in future fiscal years is subject to Council approval of the proposed citywide budget and annual appropriation ordinances.

NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager or their designee is authorized to execute a contract, and any amendments with Online Solutions, LLC for housing inspection and code enforcement software for a total contract period of five years in an amount not to exceed $622,215 for the Planning and Development Department (from accounts 129-53-585-635-0000- 000-441-613130-, 621-53-584-622-0000-000-472-613130-, and 621-53-585-634-0000- 000-472-613130-).

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CONSENT CALENDAR
May 21, 2024
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Jordan Klein, Director, Planning and Development Department Subject: Contract: Raimi + Associates for Professional Planning Services for the North Shattuck, College and Solano Avenue Corridors Zoning Update

RECOMMENDATION
Adopt a Resolution authorizing the City Manager to execute a contract and any amendments with Raimi + Associates to perform professional planning services for the North Shattuck, College, and Solano Avenues Corridors Zoning Update, in an amount not to exceed $600,000, for the period of June 6, 2024 to Dec 31, 2026.

FISCAL IMPACTS OF RECOMMENDATION
Funding for this project comes from two sources: $350,000 is available in Fund 011 (General Fund), and $250,000 in Fund 621 (Permit Service Center), for a total project budget of $600,000. Funds will be expended from 011-53-584-622-0000-000-441- 612990- (General Funds Professional Services - Miscellaneous) and the PSC account is 621-53-584-622-0000-000-472-612990- (Permit Service Center Professional Services - Miscellaneous).

CURRENT SITUATION AND ITS EFFECTS
The North Shattuck, College, and Solano Avenue Corridors Zoning Update (Corridors Zoning Update) is an effort to amend the zoning of the three-priority commercial and transit corridors. In January 2024, the City released an RFP (Specification No. 24- 11655-C) seeking a planning consultant to aid with Corridors Zoning Update. The City held a pre-bid meeting on February 8, 2024 and accepted proposals through March 14, 2024.

BACKGROUND
The 2023-2031 Housing Element Update includes Program 27-Priority Development Areas (PDAs), Commercial and Transit Corridors, which include updates to the Zoning Ordinance to increase allowed densities and/or development capacity with the goal of achieving consistency among all transit and commercial corridors, especially between formerly red-lined areas and higher-resource areas of Solano Avenue, north Shattuck Avenue, and College Avenue. The Housing Element Update also includes Program 33 – Zoning Code Amendment: Residential. Program 33, which includes adopting Zoning

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Corridor Zoning Update Contract CONSENT CALENDAR
May 21, 2024

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Ordinance amendments to increase residential development potential, and developing objective standards for residential and mixed-use developments in commercial districts.

This work will also address a City Council referral from May 23, 2023, authored by Councilmember Hahn, which provided further guidance to staff regarding the implementation of that Housing Element program.

Accordingly, the Planning and Development Department is embarking on a zoning update for the North Shattuck, College, and Solano Avenue corridors, with an estimated completion date of December 2026. The goals of the zoning updates are to revisit the allowed land uses and permits required in these districts, establish objective development standards in accordance with State laws, and increase the zoned capacity for housing development. The project will also include targeted updates to the General Plan Land Use Element to align with proposed zoning amendments, and associated environmental review.

To accomplish this significant scope of work, the City requires the help of a strong consultant team to work collaboratively with staff and stakeholders to analyze and develop land use policy recommendations. The process will proactively engage the community, consider relevant statutory laws and regulations, and result in updates to the Berkeley Municipal Code and Berkeley General Plan.

ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
There are no identifiable environmental effects, climate impacts, or sustainability opportunities associated with the subject of this report

RATIONALE FOR RECOMMENDATION
The 2023-2031 Cycle Housing Element 2023-2031 identifies Solano, North Shattuck, and College Avenues as priority commercial and transit corridors for increasing housing capacity, in part to further fair housing and mitigate barriers to development in high resource neighborhoods (Program 27-Priority Development Areas (PDAs), Commercial and Transit Corridors). The Housing Element also includes a program to increase residential development potential, and developing objective standards for residential and mixed-use developments in commercial districts (Program 33-Zoning Code Amendment: Residential).

Staff recommends the selection of Raimi + Associates, a planning consultant with extensive experience in Berkeley and throughout the State. Raimi + Associates’ team includes Plan to Place, Yes Duffy Architects, Strategic Economics, Rincon Consultants, and Kittleson and Associates, and has particular experience with Berkeley’s Zoning Ordinance, California Housing Law, CEQA and community engagement.

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Corridor Zoning Update Contract CONSENT CALENDAR
May 21, 2024

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ALTERNATIVE ACTIONS CONSIDERED
The scope of the work and the level of effort required to update the land use regulations for the North Shattuck, College, and Solano corridors exceed the capacity of existing City staff. As such, the City did not consider managing and executing the project exclusively with staff resources.

CONTACT PERSON
Uttara Ramakrishnan, Associate Planner, Planning and Development Department, 510- 981-7483
Attachments:
1: Resolution

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Internal
RESOLUTION NO. ##,###-N.S.

CONTRACT WITH RAIMI + ASSOCIATES FOR PROFESSIONAL PLANNING

SERVICES FOR THE NORTH SHATTUCK, COLLEGE, AND SOLANO AVENUE

CORRIDORS ZONING UPDATE
WHEREAS, the State Department of Housing and Community Development (HCD) determines the Bay Area housing needs for an 8-year cycle; and WHEREAS, the City of Berkeley (“City”) adopted the 2023-2031 Housing Element Update of the Berkeley General Plan on January 18, 2023 with Resolution No. 70,669- N.S.; and
WHEREAS, the City prepared the 2023-31 Housing Element in conformance with State and local planning laws and practices, considering local conditions and context, including economic, environmental, and fiscal factors; and WHEREAS, the Housing Element includes an inventory of sites that can accommodate the new housing sufficient to meet the City’s Regional Housing Needs Allocation (RHNA) obligation at each income level; and
WHEREAS, HCD requires the City’s sites inventory, identified to meet the RHNA, affirmatively furthers fair housing. This includes ensuring RHNA units, especially lower income units, are not disproportionately concentrated in areas with larger populations of interest or special needs populations such as racial/ethnic minority groups, persons with disabilities, Racially or Ethnically Concentrated Areas of Poverty, cost burdened renters, etc.; and
WHEREAS, in adopting the 2023-2031 Housing Element Update, Program 33 includes adopting Zoning Ordinance amendments to increase residential development potential, and developing objective standards for residential and mixed-use developments in commercial districts; and
WHEREAS, the Planning and Development Department determined that consultant assistance is needed to complete the North Shattuck, College, and Solano Avenue Corridors Zoning Update; and
WHEREAS, in January 2023, the City of Berkeley released Request for Proposals Specification No. 24-11655-C for professional planning services; and

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Internal

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WHEREAS, in March 2024, Raimi + Associates submitted a proposal with a detailed scope of work and budget for the preparation of the North Shattuck, College, and Solano Avenue Corridors Zoning Update; and
WHEREAS, funding will be expended from 011-53-584-622-0000-000-441-612990- (General Funds Prof Svcs - Misc) and the PSC account is 621-53-584-622-0000-000- 472-612990- (Permit Service Center Prof Svcs - Misc).

NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager or their designee is authorized to execute a contract and any amendments with Raimi + Associates to perform professional planning services for the North Shattuck, College, and Solano Avenues Corridors Zoning Update, for an amount not to exceed $600,000, for a period of June 6, 2024 to December 31, 2026. A record signature copy of said contract and any amendment to be on file in the City Clerk Department.

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Office of the City Manager

2100 Martin Luther King Jr. Way, Berkeley, CA 94704 Tel: 510.981.5900 TDD: 510.981.5799 Fax: 510.981.5704 E-mail: [email protected] Website: http://www.CityofBerkeley.info/Police

CONSENT CALENDER
May 21, 2024
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Jennifer Louis, Chief of Police
Subject: Contract No. 32300103 Amendment: Bay Area PL Services of On- call Phlebotomy and Sexual Assault Exams

RECOMMENDATION
Adopt a Resolution authorizing the City Manager to amend Contract No. 32300103 and any necessary future amendments with Bay Area PL Services for the Berkeley Police Department, increasing the contract amount by $150,000 for a total not to exceed amount of $200,000 with the contract end date extended to December 31, 2028.

FISCAL IMPACTS OF RECOMMENDATION
Approval of the recommendation would support ongoing operational expense required for solving criminal cases in a timely matter. The funding for this contract is allocated from the State Citizens Option for Public Safety program 159 Fund (budget code 159- 71-705-820-0000-000-421-612990) and does not impact the General Fund.

CURRENT SITUATION AND ITS EFFECTS
The Berkeley Police Department (BPD) currently contracts with Bay Area PL Services to provide the services of an on-call phlebotomist licensed by the State of California as a clinical laboratory technologist for blood draws and suspect sexual assault exams.

This service is essential in obtaining evidence in compliance with state law for criminal investigations. The ability for BPD to have an on-call service that can respond to almost any location throughout Alameda County in a timely manner greatly assists the Department in the successful prosecution of cases.

BPD has less than $10,000 remaining of the $50,000 contract. At the current rate of usage, the funding will be exhausted by August 2024. In order to maintain the ability to collect invaluable evidence the BPD is requesting this contract amendment of an additional $150,000 and a contract total not to exceed $200,000.

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Contract No. 32300103 Amendment: Bay Area PL Services of On-call Phlebotomy and Sexual Assault Exams
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BACKGROUND
Prior to the contract with Bay Area PL Services the BPD contracted with VBS services for collection of biological evidence. The Department discontinued this contract because VBS was no longer capable of conducting suspect sexual assault exams. In 2022 BPD entered into a contract with Bay Area PL Services as a sole source provider.

Currently there is no other organization in the Bay Area that can provide the services needed by the BPD.

This contract satisfies the requirement for BPD to obtain blood samples for testing and/or exam services on a subject and to properly collect, preserve and document the evidence as required by state law and the courts.

ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
All waste is properly disposed of to ensure compliance with biological hazardous waste requirements.

RATIONALE FOR RECOMMENDATION
The cost associated with on-call phlebotomy and sexual assault exam services is an operational expense for which the Berkeley Police Department is currently responsible.

In an effort to solve criminal cases as fast as practical and potentially limit further victimization, the BPD continues to utilize these services. An amendment to increase funds for this contract will allow the Department to continue to meet the on-call phlebotomy and suspect sexual assault examination requirements of its investigations.

ALTERNATIVE ACTIONS CONSIDERED
Stop the use of this contract and not collect crucial evidence in criminal cases resulting in charges not being filed and cases being dropped.

CONTACT PERSON
Jennifer Louis, Chief of Police, (510)-981-5900
Attachment:

1. Resolution

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Contract No. 32300103 Amendment: Bay Area PL Services of On-call Phlebotomy and Sexual Assault Exams
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RESOLUTION NO. ##,###- N.S.

CONTRACT NO. 32300103 AMENDMENT: BAY AREA PL SERVICES FOR ON-CALL

PHLEBOTOMY AND SEXUAL ASSAULT EXAMS
WHEREAS, the Berkeley Police Department is responsible for emergency response and investigations involving criminal activity within the City of Berkeley; and WHEREAS, the Berkeley Police Department is required to obtain blood samples and suspect sexual assault exam services for investigation as required by state law and the courts; and
WHEREAS, the Bay Area PL Services maintains trained and state certified phlebotomists and technicians to provide these on-call services to the Berkeley Police Department; and WHEREAS, the Berkeley Police Department has identified on-call phlebotomy and sexual assault exam services as an operational expense for which the Department is responsible and funds from the State Citizens Option for Public Safety program 159 Fund will be the primary source of funding.

NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager is authorized to amend Contract No. 32300103 and any necessary future amendments with Bay Area PL Services for on-call phlebotomy and suspect sexual assault exam services to the Berkeley Police Department for an additional $150,000 not to exceed $200,000, and extend the contract until December 31, 2028, and subject to the City’s annual budget appropriation process.

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CONSENT CALENDAR
May 21, 2024
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Terrance Davis, Director, Department of Public Works Subject: Declaration of Intent – Fiscal Year 2025 Street Lighting Assessments

RECOMMENDATION
Adopt two Resolutions granting the City Manager the authority to:
 Approve the Engineer's Reports;
 Set a public hearing to be held before the Council of the City of Berkeley at its June 25, 2024, meeting; and
 Authorize the City Clerk to publish a Notice of the Public Hearing for Fiscal Year 2025 Levy of Assessments for Berkeley Street Lighting Assessment District No. 1982-1 and Street Lighting Assessment District 2018.

FISCAL IMPACTS OF RECOMMENDATION
Resolutions would conditionally approve, pending the public hearing and final City Council authorization thereafter, the continued levying of assessments in Fiscal Year (FY) 2025 for Berkeley Street Lighting Assessment District No. 1982-1 and Street Lighting Assessment District 2018, collectively referred to herein as the Districts.

The assessments are to be filed with the Alameda County Auditor and included on the County's assessment roll. After collection by the County, the total amount of the assessment minus a county collection fee is paid to the City of Berkeley. The Street Light Assessment District Fund (Fund 142) posts the revenue.

A summary of forecasted FY 2025 revenue and expenditures for the Districts is shown in Table 1.

Table 1: FY 2025 Street Light Assessment Revenue & Expenditures Forecast
Street Lighting Program Expenditures $ 1,948,743
Projected Assessments
Street Light Assessment District 1982-1 $ 1,422,966
Street Light Assessment District 2018 $ 838,753
Misc. Revenue $ 500

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Declaration of Intent - FY 2025 Street Lighting Assessment Districts CONSENT CALENDAR May 21, 2024

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Projected Net Assessments $ 2,262,219
To (from) General Fund and/or Reserves $ 313,477
Allowable annual adjustments of the 2018 District assessment rates are expected to raise revenues over the coming years.

CURRENT SITUATION AND ITS EFFECTS
The proposed FY 2025 rates for Assessment District 1982-1 (1982 District) are incorporated into the Engineer's Report (Attachment 3) and reflect no changes to assessment rates in FY 20254
. Accordingly, this action is exempt from the notice,
protest, and hearing requirements of State Proposition 218 as set forth in Government Code Section 53753.5 (Article XIII D, Sec. 5). Any increase or change in the formula for the assessments would make the annual assessment subject to procedures and approval process of Proposition 218 (Government Code Section 53750-53754): table 2 details this district's prior year and proposed FY 2025 assessment rates.

Table 2: Street Lighting Assessment District No. 1982-1 Rate Schedule
Rate Category
Assessment
FY 2024
Proposed
Assessment
FY 2025
Unit
Residential and
Institutional
$ 0.0108 $ 0.0108 BSF1
Industrial and Utility $ 0.0216 $ 0.0216 BSF
Commercial $ 0.0432 $ 0.0432 BSF
The assessment for Street Lighting Assessment District 2018 (2018 District) is subject to an annual adjustment tied to the Consumer Price Index-U for the San Francisco Bay Area as of December of each succeeding year (the "CPI"), with a maximum annual adjustment not to exceed 3%. For the period beginning in December 2022 and ending in December 2023, the CPI increased by 2.62% 2, therefore, the assessment CPI adjustment for Fiscal Year 2025 may not exceed the 2.62%. As approved by voters, the total annual adjustment may be calculated by taking the sum of the 1982-1 District and 2018 District assessments and multiplying the sum by the allowable CPI increase.

Calculating the adjustment in this manner allows for including a 1982-1 District adjustment as part of the 2018 District adjustment. The cumulative total adjustment resulted in an increase in the 2018 district assessment rate of approximately 8.49%. 1 Building Square Footage (BSF)
2 Bureau of Labor Statistics, Data Series CUUSS49BSA0

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Declaration of Intent - FY 2025 Street Lighting Assessment Districts CONSENT CALENDAR May 21, 2024

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These rate increases and the methodology used in their calculation are in accordance with the voter-approved measure; therefore, the proposed adjustments are exempt from the notice, protest, and hearing requirements of State Proposition 218 as set forth in Government Code Section 53753.5 (Article XII D, Sec. 5). Table 3 details FY 2024 and proposed FY 2025 assessment rates for this district. A detailed calculation of the annual adjustment and the corresponding rate increases are included in the 2018 District Engineer's Report (Attachment 4).

Table 3: Street Lighting Assessment District 2018 Rate Schedule Rate Category
Assessment
FY 2024
Proposed
Assessment
FY 2025
Unit
Residential
Single Family $ 16.72 $ 17.96 parcel
Multi-Family<5 units $ 13.38 $ 14.37 unit
Multi-Family 5 or more units $ 10.03 $ 10.78 unit
Condominium $ 13.38 $ 14.37 parcel
Mobile Home $ 8.36 $ 8.98 unit
Multiple SFR on parcel $ 16.72 $ 17.96 unit
Non-Residential
General Commercial $ 250.80 $ 269.40 acre
Industrial / Warehouse $ 25.08 $ 26.94 acre
Auto Repair $ 167.20 $ 179.60 acre
Hotel / Motel / Boarding $ 167.20 $ 179.60 acre
Hospital $ 104.50 $ 112.25 acre
Retirement Home $ 20.90 $ 22.45 acre
School / Day Care $ 37.62 $ 40.41 acre
Medical / Dental / Vet $ 209.00 $ 224.50 acre
Church $ 12.54 $ 13.47 acre
Mortuary $ 4.18 $ 4.49 acre
Recreational $ 41.80 $ 44.90 acre
Parking / Transportation $ 83.60 $ 89.80 acre
Mini Storage $ 12.54 $ 13.47 acre
Office $ 62.70 $ 67.35 acre
Bank $ 209.00 $ 224.50 acre
Park / Open Space / Agriculture $ 0.84 $ 0.90 acre
Vacant Not assessed

Revenue from the assessments will provide needed funding for installing, maintaining, and servicing public lighting facilities, including but not limited to street lights, traffic

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Declaration of Intent - FY 2025 Street Lighting Assessment Districts CONSENT CALENDAR May 21, 2024

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signals, and related electrical facilities. The improvements and services support the Strategic Plan goals of creating a resilient, safe, connected, and prepared city and providing state-of-the-art, well-maintained infrastructure, amenities, and facilities.

BACKGROUND
The Berkeley Street Lighting Assessment District No. 1982-1 was established under the Landscaping and Lighting Act of 1972 (Streets and Highway Code Section 22620- 22631) on July 27, 1982 (Resolution No. 51,449-N.S.)3. The Street Lighting Assessment District 2018 was established under the same Act on June 12, 2018 (Resolution No. 68,482-N.S.). The Landscaping and Lighting Act of 1972 requires the City Council to hold a public hearing each year to consider the adoption of an annual budget and approve changes to the Engineer's Report, even if assessments are not being increased.

In accordance with the Landscaping and Lighting Act of 1972, the City Council sets a date for a public hearing and authorizes the publication of a notice at least ten days prior to the date of that hearing to allow owners of assessed properties within each district to make an oral or written protest against the annual levy. During the course of, or upon conclusion of the public hearing, the City Council may order changes in any of the matters provided in the respective Engineer's Report, including changes in improvements; zones within the assessment district; and the proposed district diagram, or the proposed assessment, as long as any proposed changes are less than the proposed annual levy.

Copies of the Engineer's Reports with FY 2025 assessments are to be filed with the City Clerk and at the reference desk of the main branch of the Berkeley Public Library.

Electronic copies of the reports and finalized assessment rolls will also be available to the public upon request.

ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
The City exclusively uses LED (light emitting diode) street lighting. LED lights achieve the City’s illumination standards and last longer than high-pressure sodium lamps, reducing maintenance costs, and providing environmental benefits by reducing the level of greenhouse gases emitted, reducing the level of toxic materials disposed, and maximizing energy efficiency.

RATIONALE FOR RECOMMENDATION
The Landscaping and Lighting Act of 1972, under which the Districts were formed, requires a public hearing to be held each year during a regular City Council Meeting to 3 State of California legislation (Streets & Highways §22500) allows local governmental agencies to form Landscape & Lighting Maintenance Districts. A 1972 Act Landscaping and Lighting District is a flexible tool used by local government agencies to pay for landscaping, lighting and other improvements and services in public areas. It is based on the concept of assessing only those properties that benefit from improvements financed, either directly, or indirectly through increased property values. http://www.californiataxdata.com/pdf/1972LLact.pdf

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Declaration of Intent - FY 2025 Street Lighting Assessment Districts CONSENT CALENDAR May 21, 2024

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consider adopting an annual budget and changes to the Engineer's Report. Failing to meet these requirements would prevent the City from collecting assessments for the Districts in FY 2025.

CONTACT PERSON
Wahid Amiri, Deputy Director, Department of Public Works, (510) 981-6396 Ronald A. Nevels, Manager of Engineering, Public Works, (510) 981-6439 Attachments:
1: Resolution – Declaration of Intent – Street Lighting Assessment District 1982-1 2: Resolution – Declaration of Intent – Street Lighting Assessment District 2018 3: Engineer's Report - Street Lighting Assessment District 1982-1 Fiscal Year 2025 4: Engineer's Report - Street Lighting Assessment District 2018 Fiscal Year 2025

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RESOLUTION NO. ##,###-N.S.

DECLARATION OF INTENT – ASSESSMENTS FOR FY 2025 STREET LIGHTING ASSESSMENT DISTRICT 1982-1
WHEREAS, on July 27, 1982, the Council of the City of Berkeley Adopted Resolution No. 51,449–N.S. that completed proceedings to form the Berkeley Street Lighting Assessment District No. 1982-1; and
WHEREAS, pursuant to Chapter III of the Landscaping and Lighting Act of 1972 Street and Highway Code Section 22620-22631, the Department of Public Works, Engineering Division, Engineer of Work for Berkeley Street Lighting Assessment District No. 1982-1, prepared and filed an annual report for levy of annual assessments for Fiscal Year (FY) 2025 with the City Clerk.

NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the Council of the City of Berkeley approves the Engineer’s Report, dated April 2024, on levy of FY 2025 for Berkeley Street Lighting Assessment District 1982-1 assessments. The area of land to be assessed is located in the City of Berkeley, Alameda County.

BE IT FURTHER RESOLVED that the Council of the City of Berkeley declares its intention to levy and collect assessments within the Berkeley Street Lighting Assessment District 1982-1 for FY 2025.

BE IT FURTHER RESOLVED that the City Clerk shall publish a notice at least ten (10) days prior to the date of the public hearing listing the date, hour, and place of the public hearing for annual levy and collection of assessments in accordance with Streets and Highway Code Sections 22625, 22626, 22552, and 22553 and Section 6061 of the Government Code.

BE IT FURTHER RESOLVED that improvements to be made in this assessment district are generally described as maintenance or servicing of existing and future public lighting facilities, including, but not limited to street lights, traffic signals, and related electrical facilities; and the installation and construction of public lighting including but not limited to grading, clearing, removal of debris, installation and construction of curbs, gutters, walls, sidewalk, paving, irrigation, and drainage as needed for the installation of public lighting or related electrical facilities.

BE IT FURTHER RESOLVED that the annual report for Fiscal Year 2025 for which assessments are to be levied and collected to pay the costs of the improvements described in the report prepared by the Department of Public Works, Engineering Division, in accordance with the Landscaping and Lighting Act of 1972 is filed with the Office of City Clerk. All interested persons are referred to that report for a full and detailed

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description of improvements, boundaries of the assessment district, and proposed assessments upon assessable lots and parcels of land within the assessment district.

BE IT FURTHER RESOLVED that at 6:00 PM on Tuesday, June 25, 2024, the City Council will conduct a public hearing. The hearing may be held in the School District Board Room at 1231 Addison Street, Berkeley, CA 94702. The Council will consider all objections or protests, if any, to the proposed assessment. Any interested person may present written or oral testimony at the public hearing.

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RESOLUTION NO. ##,###-N.S.

DECLARATION OF INTENT – ASSESSMENTS FOR FY 2025 STREET LIGHTING ASSESSMENT DISTRICT 2018
WHEREAS, on June 12, 2018, the Council of the City of Berkeley Adopted Resolution No. 68,432–N.S. that completed proceedings to form the Street Lighting Assessment District 2018; and
WHEREAS, pursuant to Chapter III of the Landscaping and Lighting Act of 1972 Street and Highway Code Section 22620-22631, the Department of Public Works, Engineering Division, Engineer of Work for Street Lighting Assessment District 2018, prepared and filed an annual report for levy of annual assessments for Fiscal Year (FY) 2025 with the City Clerk.

NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley approves the Engineer’s Report, dated April 2024, on the levy of assessments for FY 2025 for Street Lighting Assessment District 2018. The area of land to be assessed is located in the City of Berkeley, Alameda County.

BE IT FURTHER RESOLVED that the proposed annual adjustments of assessments are in compliance with the provisions of Proposition 218 because adjustments are in accordance with adjustment formulas established when the assessment district was formed.

BE IT FURTHER RESOLVED that the Council of the City of Berkeley declares its intention to levy and collect assessments within the Street Lighting Assessment District 2018 for FY 2025.

BE IT FURTHER RESOLVED that improvements to be made in this assessment district are generally described as maintenance or servicing of existing and future public lighting facilities, including, but not limited to street lights, traffic signals, and related electrical facilitates; and the installation and construction of public lighting, including but not limited to grading, clearing, removal of debris, installation and construction of curbs, gutters, walls, sidewalk, paving, irrigation, and drainage as needed for the installation of public lighting or related electrical facilities.

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BE IT FURTHER RESOLVED that at 6:00 PM on Tuesday, June 25, 2024, the City Council will conduct a public hearing. The hearing may be held in the School District Board Room at 1231 Addison Street, Berkeley, CA, 94702. The Council will consider all objections or protests, if any, to the proposed assessment. Any interested person may present written or oral testimony at the public hearing.

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ATTACHMENT 3
1 CITY OF BERKELEY

STREET LIGHTING
ASSESSMENT DISTRICT No. 1982-1
ENGINEER’S REPORT
on the
Levy of an Assessment
for
Fiscal Year 2025
April 2024
Prepared by

RONALD NEVELS, PE

CITY OF BERKELEY

DEPARTMENT OF PUBLIC WORKS

ENGINEERING DIVISION

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STREET LIGHTING ASSESSMENT DISTRICT No. 1982-1 ATTACHMENT 3 2 TABLE OF CONTENTS
BACKGROUND ......................................................................................................................................................3 PLANS AND SPECIFICATIONS.................................................................................................................................3 METHODOLOGY ...................................................................................................................................................3 ESTIMATE OF COSTS .............................................................................................................................................3 DIAGRAM .............................................................................................................................................................4 ASSESSMENT ........................................................................................................................................................5 APPENDIX A: FY 2025 ASSESSMENT ROLL .............................................................................................................7

LIST OF TABLES
Table 1- FY 2025 Street Light Fund Forecast ..........................................................................................................4

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STREET LIGHTING ASSESSMENT DISTRICT No. 1982-1 ATTACHMENT 3 3 BACKGROUND
By its Resolution 51,230 N.S., adopted April 6, 1982, the Berkeley City Council initiated proceedings under the provisions of Division 15, Part 2, of the California Streets and Highways Code, entitled “Landscaping and Lighting Act of 1972”. The required public hearing was held on July 20, 1982, at which time the Council ordered the improvements and the formation of the assessment district, and confirmed the diagram and assessment. The district so formed was designated the “City of Berkeley Street Lighting Assessment District 1982-1”. Assessments have been levied for the 1983 through 2024 fiscal years.

This report was prepared and filed pursuant to Division 15, Part 2, of the California Streets and Highway Code Section 2250, and is exempt from Government Code Section 53753 since the proposed assessment for FY 2025 will not be increased.

PLANS AND SPECIFICATIONS
The plans and specifications for this assessment district were prepared and filed with the Engineer’s Report for the 1983 fiscal year, which plans and specifications are incorporated herein by this reference thereto.

METHODOLOGY
The benefit to individual parcels within the Assessment District was established in 1982 based on the median light intensity a parcel receives. Parcel’s Land Use Code (LUC) is used to categorize the parcels. The assessment is calculated by multiplying the building square footage on the parcel times the rate of its category. The rate structure has three categories: 1) Residential and Institutional, 2) Industrial, 3) Commercial. An industrial area has twice the median light intensity of a residential area and a commercial area has four times the median light intensity; therefore, the rates are two and four times higher, respectively, than the residential rate. The rates are:

Residential and Institutional $0.0108/Building Square Footage Industrial and Utility $0.0216/Building Square Footage
Commercial $0.0432/Building Square Footage

ESTIMATE OF COSTS
The improvements to be made in this assessment district are generally described as the maintenance or servicing of existing and future public lighting facilities, including, but not limited to street lights, traffic signals, and related electrical facilities; and the installation and construction of public lighting including grading, clearing, removal of debris, installation and construction of curbs, gutters, walls, sidewalks, paving, irrigation, and drainage as needed for the installation of public lighting or related electrical facilities.

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STREET LIGHTING ASSESSMENT DISTRICT No. 1982-1 ATTACHMENT 3 4 An estimate of costs for the maintenance of the improvements is provided in the fiscal year (FY) 2025 Street Light Assessment Fund (Fund 142) forecast provided below.

Table 1- FY 2025 Street Light Fund Forecast
Expenses
Personnel Expenses $ 474,194
Non-Personnel Expenses
Non-Personnel $ 452,239
Debt Service $ 217,907
PG&E Electric Costs $ 498,352
Indirect Costs $ 56,564
Operating Transfer Out $ 12,120
County Collection Fee $ 37,367
Subtotal Non-Personnel Costs $ 1,274,549
Capital Expenses
Deferred Capital/Maint $ 200,000
Subtotal Capital Expenses $ 200,000
Total Expenses $ 1,948,743
Assessments & Other Revenue
Street Light Assessment District 1982-1 $ 1,422,966
Street Light Assessment District 2018 $ 838,753
Misc. Revenue $ 500
Total Revenue $ 2,262,219
Deficit – To (from) General Fund and/or
Reserves $ 313,477

DIAGRAM
The diagram for this assessment district was prepared and filed with the Engineer’s Report for the 1983 fiscal year.

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STREET LIGHTING ASSESSMENT DISTRICT No. 1982-1 ATTACHMENT 3 5 ASSESSMENT
Except as described below, the assessments to be made against the assessable lots and parcels of land within this assessment district are contained in the “2024 Assessment Roll” for this district, which roll is filed herewith and incorporated herein by this reference thereto.

Said assessment roll filed herewith is based on data contained in the City’s 2024 Library Tax tape and the County Assessor’s 2024 maps. In the event that data contained in the 2024 Library Tax tape and 2024 maps, when issued, conflict therewith, assessments to be made against the affected parcels for this 2025 Fiscal Year shall be based upon the revised data contained in said 2025 tape and 2025 maps.

Dated: ______________ ___________________________
Ronald Nevels, RCE 62524
Engineer of Work

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Internal
STREET LIGHTING ASSESSMENT DISTRICT 2018 ATTACHMENT 3
7 APPENDIX A: FY 2025 ASSESSMENT ROLL
An Assessment Roll (a listing of all parcels assessed within the City of Berkeley Street Lighting Assessment District 2018 and the amount of the assessment) has been filed with the City Engineer, and is, by reference, made part of this report and will be available for public inspection during normal office hours.

Each lot or parcel listed on the Assessment Roll is shown and illustrated on the latest County Assessor records and these records are, by reference, made part of this report.

These records shall govern all details concerning the description of the lots or parcels.

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FY 2025

City of Berkeley
Street Lighting Assessment District 2018
April 2024

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(This Page Intentionally Left Blank)

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City of Berkeley
Street Lighting Assessment District 2018
FY 2025
Page i

CITY OF BERKELEY
City Council
Jesse Arreguin, Mayor
Rashi Kesarwani, District 1
Terry Taplin, District 2
Ben Bartlett, District 3
Vacant, District 4
Sophie Hahn, District 5
Susan Wengraf, District 6
Vacant, District 7
Mark Humbert, District 8

City Manager
Dee Williams‐Ridley

Public Works Department
LaTanya Bellow, Interim Director
Joseph Enke, Manager of Engineering
Ricardo Salcedo, Associate Civil Engineer

City Attorney
Farimah Brown

Engineer of Work
John Bliss, P.E., SCI Consulting Group

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City of Berkeley
Street Lighting Assessment District 2018
FY 2025
Page ii

TABLE OF CONTENTS

Introduction ...................................................................................................... 1 Overview ...................................................................................................................... 1 Assessment Formation Process .................................................................................... 2 Legal Requirements ...................................................................................................... 2 Proposition 218 2
Silicon Valley Taxpayers Association, Inc. v. Santa Clara County Open Space Authority 3
Dahms v. Downtown Pomona Property 4
Bonander v. Town of Tiburon 4
Beutz v. County of Riverside 5
Golden Hill Neighborhood Association v. City of San Diego 5 Compliance with Current Law 5
Plans and Specifications .................................................................................... 6 Fiscal Year 2025 Budget .................................................................................... 8 Method of Assessment ................................................................................... 10 Discussion of Benefit .................................................................................................. 10 Special Benefit ............................................................................................................ 11 Improved Visibility and Safety 11
Improved Access, Navigation and Traffic Safety 11
Improved Community Character and Vitality 11
General Versus Special Benefit .................................................................................. 12 Quantification of General Benefit .............................................................................. 12 Calculation of General Benefit 13
Calculation of the Current General Benefit Contribution from the City 15 General Benefit is More than Offset by City Contribution 15 Method of Assessment ............................................................................................... 15 Residential Traffic 16
Non‐Residential Traffic 16
Darkness 17
Single‐Family Equivalents 17
Annual Assessment Increase ...................................................................................... 18 Duration of Assessment ............................................................................................. 19 Appeals and Interpretation ........................................................................................ 19

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City of Berkeley
Street Lighting Assessment District 2018
FY 2025
Page iii

Assessment Statement ................................................................................... 20 Assessment Diagram ....................................................................................... 22 Appendix A – SANDAG Trip Generation Tables ............................................... 23 Appendix B – Assessment Roll ........................................................................ 25

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City of Berkeley
Street Lighting Assessment District 2018
FY 2025
Page iv

List of Tables
Table 1 – FY 2025 Budget Summary ................................................................................... 8 Table 2 – General Benefit for Arterial Streets .................................................................. 14 Table 3 – Calculation of General Benefit .......................................................................... 14 Table 4 – Single‐Family Equivalent Rates .......................................................................... 17 Table 5 – Maximum Single‐Family Equivalent Rate Calculation ....................................... 19

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City of Berkeley
Street Lighting Assessment District 2018
FY 2025
Page v

List of Figures
Figure 1 – Assessment Diagram ........................................................................................ 22

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City of Berkeley
Street Lighting Assessment District 2018
FY 2025

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Introduction
Overview
The City of Berkeley (“City”) provides maintenance and servicing of certain publicly‐ owned street lights throughout the City. In order to fund the installation, maintenance and operation (the “Services”) of these improvements (“Improvements”), the City formed a city‐wide street light assessment district in 1982. The rates for the 1982 assessment district have never been increased. Revenues from these assessments are placed into the streetlight fund (Fund 470).

In time, the financial outlook of the Streetlight fund began to cause concern as the costs increased for energy, labor and materials, while the revenue remained relatively static.

Accordingly, the Streetlight fund no longer had enough funds to fund the Street light program. As a result, beginning in Fiscal Year 2006
1 the Streetlight fund began to receive
a subsidy from the City’s General Fund in order to balance revenues with expenditures.

However, because of other demands on the General Fund, that subsidy ended beginning Fiscal Year 2018. The modest fund balance was sufficient for Fiscal Year 2018 to cover that year’s anticipated expenses, but under current conditions it was expected to be depleted during Fiscal Year 2019. To establish financial sustainability for the Streetlight fund and avoid significant reductions in service levels, in 2018 the City conducted a funding measure to increase the assessment revenue for street light services.

With the passage of Proposition 218 in 1996, any increase in assessments must be approved by the affected property owners through a specified ballot proceeding. In addition, Proposition 218 and related subsequent court decisions create strict criteria for how assessments can be apportioned to the various propertie s, and the existing 1982 assessment structure may not be adequately consistent with these newer criteria.

While the 1982 assessment structure may continue as a “grandfathered” assessment, any increase must be implemented in accordance with Proposition 218 and court decisions. For this reason, a new district, Street Lighting Assessment District 2018 (“District”), was formed separately, leaving the 1982 assessmen t structure in place, as is.

The District will was formed and the levies are made pursuant to Part 2 of Division 15 of the California Streets and Highways Code, commonly known as the Landscape and Lighting Act of 1972 (“Act”), and Article XIIID of the California Constitution (“Article”).

1 Fiscal years are referenced in this Report by the year that fiscal period ends. For example, Fiscal Year 2006 would cover the period from July 1, 2005 through June 30, 2006.

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Berkeley City CouncilMay 21, 2024

Berkeley City Council
May 21, 2024