Big Bear Lake City Council
August 1, 2022

CITY COUNCIL

REGULAR MEETING AGENDA
AUGUST 1, 2022
Closed Session: 5:00 pm, Training Room, 39707 Big Bear Boulevard, Big Bear Lake, CA 92315 Open Session: 6:00 pm, Hofert Hall, 39707 Big Bear Boulevard, Big Bear Lake, CA 92315 __________________________________________________________________________________________

COUNCILMEMBERS

MAYOR RICK HERRICK

MAYOR PRO TEM BYNETTE MOTE

COUNCILMEMBER ALAN LEE

COUNCILMEMBER PERRI MELNICK

COUNCILMEMBER RANDALL PUTZ

CITY STAFF

INTERIM CITY MANAGER JEFF MATHIEU

CITY ATTORNEY STEPHEN DEITSCH

CITY CLERK ERICA STEPHENSON
Please Note: Agenda items may be moved at the discretion of the City Council.

The public is encouraged to submit written public communications about any item on this meeting agenda, or about any subject matter within the jurisdiction of the City, to the City Clerk in person, via mail or by email at [email protected]. If your comment is related to a specific Agenda item, please identify the Agenda item in the header of your letter or the subject line of your email. All written communications received by the City Clerk prior to the meeting will be distributed to the City Council prior to the start of the meeting, however, the public is encouraged to submit comments by 8:00 am on the day of the meeting to ensure adequate time for Council review and consideration.

OPEN SESSION

CLOSED SESSION PUBLIC COMMUNICATIONS
Any member of the public is entitled to speak on Closed Session Agenda items. If you wish to address any other items listed on the Agenda, you must do so during Open Session.

CLOSED SESSION

1. PUBLIC EMPLOYMENT pursuant to Government Code Section 54957 Title of Position to be filled: City Manager

2. CONFERENCE WITH LABOR NEGOTIATORS pursuant to Government Code Section 54957.6
Agency Designated Representative: City Attorney Stephen Deitsch Unrepresented Employee: City Manager

CITY COUNCIL AGENDA
August 1, 2022 - Page 2

3. CONFERENCE WITH LABOR NEGOTIATORS pursuant to Government Code Section 54957.6 Name of Negotiators: Interim City Manager Jeff Mathieu and City Clerk/Director of Human Resources Erica Stephenson
Name of Organization: Teamsters Local 1932

OPEN SESSION

CALL TO ORDER

PLEDGE OF ALLEGIANCE

INVOCATION
Invocation will be led by Pastor Jay Walden from Bear Valley Church.

ROLL CALL

RESULTS OF CLOSED SESSION

PUBLIC COMMUNICATIONS
Public comment is permitted at this time only on consent calendar items and other matters not listed on the posted agenda that are within the subject matter jurisdiction of the City. Please note that State law prohibits the City Council from taking any action on items not listed on the agenda. There is a three-minute maximum time limit when addressing Council during this time period. The time limit is subject to adjustment at the discretion of the Presiding Officer.

Speakers are limited to their individual maximum time limit and other members of the public cannot cede their speaking time to another person. Public comment on items listed on the posted agenda (public hearing & discussion/ action items) will be taken at the time each item is called for discussion.

1. CONSENT CALENDAR

1.1 APPROVAL OF DEMANDS – CHECK ISSUE DATE 06/24/2022 THROUGH 07/20/2022 IN THE AMOUNT OF $281,972.73 AND THE JUNE 2022 TREASURER’S REPORT

1.2 APPROVAL OF MEETING MINUTES FROM THE MAY 16, 2022 REGULAR MEETING OF

CITY COUNCIL

1.3 RESOLUTION AUTHORIZING EXTENSION OF THE AGREEMENT FOR COMPLETION OF PUBLIC IMPROVEMENTS FOR TRACT MAP NO. 18580, THE PINES SUBDIVISION City Council will consider a formal resolution authorizing the extension of the Agreement for Completion of Public Improvements through August 31, 2023 related to the offsite improvements for Tract Map 18580, The Pines Subdivision. The Pines Subdivision is located near the intersection of Mill Creek Road and Talmadge Road. The existing agreement expired as of July 13, 2022 and the developer has indicated that the remaining public improvements will be completed in a matter of months. The developer has recently received the needed permits from Caltrans to complete the necessary improvements, required by this project, at the intersection of Big Bear Boulevard and Mill Creek Road.

ITEMS REMOVED FROM THE CONSENT CALENDAR

CITY COUNCIL AGENDA
August 1, 2022 - Page 3

2. PUBLIC HEARINGS
Any person may appear and be heard in support or in opposition to the proposal at the time of the hearing. If you challenge the action in court or an administrative proceeding, you may be limited to raising only those issues which you or someone else raised at the public hearing described in the notice, or in written correspondence delivered to the City at or before the public hearing.

2.1 ORDINANCE APPROVING DEVELOPMENT CODE AMENDMENT 2022-100 INCLUDING CHANGES TO CHAPTERS 17.02 (DEFINITIONS), 17.03 (GENERAL PROCEDURES), 17.25 (RESIDENTIAL ZONES), AND 17.35 (COMMERCIAL AND PUBLIC ZONES) TO IMPLEMENT

PROCESS IMPROVEMENTS, CLARIFY DEVELOPMENT STANDARDS, AND ALIGN THE

MUNICIPAL CODE WITH STATE LAW
City Council will conduct a Public Hearing, accept public comment and consider reading the title, waiving further reading, and introducing an ordinance to amend certain sections of the City’s Development Code (Title 17 of the Municipal Code). The proposed ordinance would streamline processing of home occupation permits, temporary use permits, and appeals. Clarifications pertaining to family day care use and standards will align the City’s regulations with that of the State. In addition, amendments will also update multi-family residential objective design standards, and correct other minor residential and commercial development standards.

2.2 CONTINUED PUBLIC HEARING FROM THE JULY 18, 2022 CITY COUNCIL MEETING AND

RESOLUTION APPROVING A SOLID WASTE FRANCHISE AGREEMENT WITH BIG BEAR DISPOSAL, INC. AND ADOPTING THE SOLID WASTE RATES
City Council conducted a Public Hearing on July 18, 2022 and authorized the continuance of this Public Hearing to the August 1, 2022 meeting. City Council will again accept public testimony and consider a Resolution Approving a Solid Waste Franchise Agreement with Big Bear Disposal, Inc. and Adopting the Solid Waste Rates. Staff and representatives from Big Bear Disposal have negotiated the final form of a Solid Waste Franchise Agreement for the period through June 30, 2034 for the City Council’s consideration. Additionally, the proposed Solid Waste Franchise Agreement will require the adoption and implementation of new rates for solid waste service. The proposed maximum rates for service have been advertised and noticed to all subject parcel owners according to Proposition 218. It is recommended that the City Council resume the continued public hearing and receive public testimony relative to the approval of a Franchise Agreement with Big Bear Disposal for the period August 1, 2022 through June 30, 2034 public testimony the proposed rates for solid waste services. At the conclusion of the Public Hearings, staff will tabulate any written protests to determine if a majority protest exists against the proposed solid waste rates. It is recommended that the City Council then adopt a Resolution Approving a Solid Waste Franchise Agreement with Big Bear Disposal, Inc. and Adopting the Solid Waste Rates.

3. DISCUSSION/ACTION ITEMS

3.1 ORDINANCE AMENDING CHAPTER 8.64 OF THE BIG BEAR LAKE MUNICIPAL CODE

RELATING TO SOLID WASTE MANAGEMENT, COLLECTION OF SOLID WASTE AND RECYCLABLE MATERIALS, AND EDIBLE FOOD RECOVERY, AMENDING CHAPTER 17.11 RELATING TO WATER CONSERVATION, AND REPEALING CHAPTER 8.68 OF THE BIG

BEAR LAKE MUNICIPAL CODE RELATING TO GARBAGE

CITY COUNCIL AGENDA
August 1, 2022 - Page 4
City Council will consider reading the title, waiving further reading, and introducing an ordinance entitled Ordinance Amending Chapter 8.64 of the Big Bear Lake Municipal Code Relating To Solid Waste Management, Collection Of Solid Waste And Recyclable Materials, And Edible Food Recovery, Amending Chapter 17.11 Relating To Water Conservation, And Repealing Chapter 8.68 Of The Big Bear Lake Municipal Code Relating To Garbage. Senate Bill 1383, which is recently enacted legislation related to Short-Lived Climate Pollutants, requires all local agencies to adopt updated solid waste ordinances to capture the requirements of SB 1383, primarily related to the establishment of edible food recovery programs and the City’s enforcement of the SB 1383 regulations. The ordinance, as prepared, establishes the framework for edible food recovery programs, which are required of certain commercial generators of edible food, primarily supermarkets, hotel dining operations, and large restaurants. Additionally, the ordinance establishes the City’s authority to implement and enforce the provisions of SB 1383.

3.2 ORDINANCE AMENDING CHAPTER 4.01 OF TITLE 4 OF THE BIG BEAR LAKE MUNICIPAL

CODE RELATING TO VACATION RENTAL LICENSES, RENTAL CONTRACTS AND OTHER

LIMITATIONS AND REGULATIONS ON VACATION RENTALS
City Council will receive an update from the Council appointed Ad Hoc Committee formed to draft a compromised amendment to the City’s Vacation Rental Ordinance and will consider reading the title, waiving further reading, and introducing an Ordinance amending the City’s Municipal Code to implement further limitations and regulations on vacation rentals.

3.3 CONSIDERATION OF ECONOMIC DEVELOPMENT ADVISORY COMMITTEE WORK

PROGRAM
City Council will discuss the work program prepared by the Economic Development Advisory Committee (EDAC). As appropriate, the City Council may consider components of the work program as it relates to current efforts underway or planned by the City, may provide direction on next steps, and may provide other input on the program.

3.4 RESOLUTION APPROVING A CHANGE ORDER WITH GRANITE CONSTRUCTION CO. FOR

ADDITIONAL WORK RELATED TO THE MOONRIDGE CORRIDOR IMPROVEMENTS

PROJECT
In June 2021, the City Council awarded a contract to Granite Construction Co. in the amount of $8,379,649 to perform the work associated with the Moonridge Corridor Improvements Project which includes the construction of the new streetscape, including the roundabouts, widened sidewalks, new pavement, and all the appurtenant improvements. Included in the Fiscal Year 2022-23 Capital Improvement Program (CIP) budget is funding for additional improvements associated with the Moonridge Corridor Improvements Project, namely repaving of surrounding streets to expand on-street parking and modifications to existing drainage on Fir Street to maximize the Right of Way. Specifically, the proposal includes the paving of Fir Street, Birch Street, and the alley between Moonridge Road and Falcon Avenue to improve the pavement condition and aesthetics as well as expand on-street parking by approximately fifteen (15) spaces. On Fir Street there is an existing open drainage channel within the right of way that if it were to be reconstructed underground, it would allow for the widening of the road, to improve circulation and parking, and enable to construction of a sidewalk between Moonridge Road and Rathbun Drive. Funding for these improvements is budgeted in the amount of $625,000. As this work is directly within the work area in which Granite Construction Co. is working and the improvements are consistent with their current scope of work, they have proposed a change order in the amount not to exceed $390,000. The proposed pricing

CITY COUNCIL AGENDA
August 1, 2022 - Page 5
is well within the available budget and the improvements can be completed with no impact to the overall schedule for the Moonridge Corridor Improvements Project.

3.5 RESOLUTION AWARDING A CONSTRUCTION CONTRACT TO SCHOCK CONTRACTING

CORPORATION, SANTA BARBARA, CA, FOR THE CONSTRCUTION OF THE STANFIELD

MARSH BOARDWALKS IMPROVEMENTS PROJECT
City Council will consider a formal resolution authorizing the award of a construction contract to Schock Contracting Corporation, Santa Barbara, CA, for the construction of the Stanfield Marsh Boardwalks Improvements. The City is in the process of receiving a transfer of the boardwalks and surrounding property from the Municipal Water District and has improvement projects for the area included in the Capital Improvement Program (CIP) budget. The boardwalks are approximately 2,200 feet in length and are in need of significant rehabilitation to include new decking and handrails and reinforcement of the existing supports. Staff conducted a competitive bid process for this project and is recommending an award of contract to Schock Contracting Corporation, Santa Barbara, CA, in the amount of $853,150. Schock Contracting has extensive experience in similar projects including piers and bridges and is qualified to complete these improvements. Funding for this project is available in the amount of $1,000,000 with $500,000 being provided by the MWD as a condition of the transfer of the property and the remaining $500,000 being derived from Measure Y proceeds. Upon award of contract, it is anticipated that this project will be completed this fall.

3.6 RESOLUTION APPROVING A TASK ORDER WITH GIBSON TRANSPORTATION

CONSULTING, INC FOR REVIEW AND ANALYSIS OF THE WINTER TRAFFIC

MANAGEMENT PLAN
City Council will consider a formal resolution approving a task order with Gibson Transportation Consulting, Inc. for review and analysis of the winter season traffic management plan (TMP). The TMP was first implemented during the 2017-18 winter season, in response to traffic concerns and impacts in the previous season and continues to be implemented each year through coordination between Big Bear Mountain Resorts, the Sheriff’s Department, and City staff. As the plan has been implemented, minor adjustments and modifications have been made in response to changing conditions but the plan, which was initially prepared by a consulting engineering firm, has not been looked at in totality since it was implemented. There are several changes that have been put in place or that are forthcoming that may significantly impact the traffic operations, namely the partnership with Mountain Transit for shuttling, the nearly completed Moonridge Corridor Improvements, and land acquisitions by the resorts. Given the potential impacts that these changes may have on the overall plan, the groups collectively agree that it is appropriate to revisit the plan at this time. The City contacted firms on our on-call engineering list and Gibson Transportation Consulting, Inc. is one of the on-call firms. Gibson Transportation Consulting is a traffic planning and engineering firm with extensive experience with institutions, entertainment, and locations with significant crowds and gatherings. Gibson Transportation Consulting’s experience with Disneyland, Universal Studios, the Los Angeles Memorial Coliseum, Los Angeles International Airport, and Union Station provide the appropriate background for managing the vehicular crowds that occur during the peak winter season. Gibson Transportation Consulting has proposed a scope of work that includes thorough analysis and review of the current TMP and recommendations for changes or improvements for a cost of $38,545. Staff is recommending approval of this task order and work will begin immediately with an overview of the work being back for review in October 2022, prior to the winter season.

CITY COUNCIL AGENDA
August 1, 2022 - Page 6

4. COMMENTS, ANNOUNCEMENTS & ADDITIONAL CITY BUSINESS

4.1 CITY CLERK, CITY ATTORNEY, CITY MANAGER COMMENTS

4.2 COUNCILMEMBER BOARD/COMMITTEE REPORTS & COMMENTS

ADJOURNMENT
I hereby certify under penalty of perjury, under the laws of the State of California, that the foregoing agenda was posted in accordance with the applicable legal requirements. Dated this 29 th day of July 2022.

Erica Stephenson, City Clerk

The City of Big Bear Lake wishes to make all of its public meetings accessible to the public. If you need special assistance to participate in this meeting, please contact the City Clerk’s Office at (909) 866-5831. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting.

Check# Vendor/Employee Date Amount
83984 San Bernardino County Solid Waste Mgmt Division 06/30/2022 199.99 83986 Bennett‐Bowen & Lighthouse, Inc. 06/30/2022 348.50 83987 Butchers Blocks & Building Materials 06/30/2022 878.42 83988 Bear Valley Electric 06/30/2022 944.47
83989 Calolympic Glove & Safety Co 06/30/2022 1,770.06
83990 Charter Communications Holdings, LLC 06/30/2022 795.89 83991 Chrisp Company 06/30/2022 30,278.50
83992 FedEx 06/30/2022 77.38
83993 Frontier Communications 06/30/2022 170.72
83994 The Grizzly 06/30/2022 808.00
83995 Haaker Equipment Co. Inc. 06/30/2022 184.77
83997 Intelesys One, Inc. 06/30/2022 175.36
83998 Marlin Business Bank 06/30/2022 1,660.06
83999 McMaster‐Carr 06/30/2022 63.57
84000 Mission Linen Supply Inc. 06/30/2022 674.78
84001 ROW Traffic Safety, Inc. 06/30/2022 119.85
84002 Southern California Association of Governments 06/30/2022 660.00 84004 Tom Dodson & Associates 06/30/2022 1,270.85
84006 Transtech Engineers, Inc. 06/30/2022 4,200.00
84007 US Bank Corporate Payment Systems 06/30/2022 7,460.11 84008 Vulcan Materials Company Inc. 06/30/2022 237.05
84009 San Bernardino County Vehicle Svcs Dept 07/07/2022 7,836.77 84010 Big Bear Disposal Inc 07/07/2022 1,136.79
84011 Big Bear Paint Center 07/07/2022 560.37
84012 Big Bear Vacations 07/07/2022 2,500.00
84013 BlackHole Technologies Inc 07/07/2022 1,656.22
84015 Jim Brown 07/07/2022 2,334.18
84016 Butchers Blocks & Building Materials 07/07/2022 173.61 84017 Bear Valley Electric 07/07/2022 7,568.56
84018 Calolympic Glove & Safety Co 07/07/2022 1,053.25
84019 Car Quest Auto Parts 07/07/2022 1,475.14
84021 Cintas Corporation 07/07/2022 352.34
84023 Lumber City Corp. 07/07/2022 64.87
84024 Grainger Inc. 07/07/2022 786.38
84025 Haaker Equipment Co. Inc. 07/07/2022 2,963.13
84026 Intelesys One, Inc. 07/07/2022 10,438.88
84027 Knights Automotive and Performance, Inc. 07/07/2022 120.00 84028 Hitchin Lucerne, Inc. 07/07/2022 1,055.93
84029 Mar‐CO Equipment Company 07/07/2022 148.33
84030 Mission Linen Supply Inc. 07/07/2022 676.19
84031 Randy Spitz 07/07/2022 120.77
84032 Genuine Auto Parts 07/07/2022 130.01
84033 National Auto Fleet Group, Chevrolet of Wastonvill 07/07/2022 38,345.86 84034 Nativescapes, Inc. 07/07/2022 4,657.50
84037 Underground Service Alert Inc. 07/07/2022 413.59
84039 San Bernardino County Treasurer 07/14/2022 6,131.61 84040 San Bernardino County Fire Department 07/14/2022 5,353.24 84041 City of Big Bear Lake Dept of Water & Power 07/14/2022 581.45 84042 Big Bear Municipal Water Dist 07/14/2022 2,664.15 84043 All Protection Alarm 07/14/2022 970.00
City of Big Bear Lake
Checks Issued 06/24/2022 ‐ 07/20/2022
Check# Vendor/Employee Date Amount
City of Big Bear Lake
Checks Issued 06/24/2022 ‐ 07/20/2022
84044 Autozone Investment Corporation 07/14/2022 71.06
84045 Best Best & Krieger LLP 07/14/2022 31,843.38
84046 BlackHole Technologies Inc 07/14/2022 1,524.75
84047 Butchers Blocks & Building Materials 07/14/2022 435.54 84048 Bear Valley Electric 07/14/2022 11,574.91
84049 Charter Communications Holdings, LLC 07/14/2022 2,263.26 84050 CP Products 07/14/2022 82.13
84051 Cintas Corporation 07/14/2022 569.37
84052 ClearGov Inc. 07/14/2022 24,500.00
84053 Occupational Health Centers of California 07/14/2022 162.00 84054 Docu‐Trust 07/14/2022 50.00
84056 Frontier Communications 07/14/2022 2,806.32
84059 Lautzenhiser's Stationery, Inc. 07/14/2022 1,194.85 84060 Mar‐CO Equipment Company 07/14/2022 17,346.51
84061 Mission Linen Supply Inc. 07/14/2022 674.03
84062 CivicPlus, LLC 07/14/2022 275.00
84063 National Business Furniture 07/14/2022 9,866.64
84064 Orkin Inc. 07/14/2022 3,481.00
84065 Parkhouse Tire, Inc. 07/14/2022 213.94
84066 Peckham & McKenney Inc. 07/14/2022 10,500.00
84067 Quill Corporation 07/14/2022 146.59
84069 Rochester Midland Corporation 07/14/2022 611.64
84070 Safelite Glass Corp. 07/14/2022 380.89
84071 Staples Business Credit 07/14/2022 82.17
84081 Big Bear Paint Center 07/20/2022 241.71
84082 Butchers Blocks & Building Materials 07/20/2022 351.95 84083 Geiger Supply, Inc. 07/20/2022 253.66
84084 Haaker Equipment Co. Inc. 07/20/2022 69.15
84085 Vulcan Materials Company Inc. 07/20/2022 1,448.33 ACH AccuSource, Inc. 07/14/2022 504.50
ACH Jack Greenberg 07/14/2022 3,200.00
281,972.73
Check# Vendor/Employee Transaction Amount
City Council
84007 US Bank Corporate Payment Systems Desert Mountain Division Meeting Expenses 06/30/2022 991.26 84015 Jim Brown Employee Appreciation Products 07/07/2022 2,334.18 City Council Total 3,325.44
City Manager 4120
84007 US Bank Corporate Payment Systems Office Supplies/Subscriptions/Meeting Expenses 06/30/2022 591.65 84012 Big Bear Vacations Interim City Manager Housing 07/07/2022 2,500.00 City Manager Total 3,091.65
City Clerk 4130
83997 Intelesys One, Inc. Records Request Support 06/30/2022 175.36 84007 US Bank Corporate Payment Systems Meeting Expenses/Office Supplies 06/30/2022 1,749.64 84059 Lautzenhiser's Stationery, Inc. Office Supplies 07/14/2022 1,194.8584062 CivicPlus, LLC Municipal Code Supplement 07/14/2022 275.00 City Clerk Total 3,394.85
Human Resources 4150
84007 US Bank Corporate Payment Systems Employee Recognition 06/30/2022 103.09 84053 Occupational Health Centers of California Recruitment Expense 07/14/2022 162.00 84066 Peckham & McKenney Inc. City Manager Recruitment 07/14/2022 10,500.00 ACH AccuSource, Inc. Recruitment Expense 07/14/2022 504.50 Human Resources Total 11,269.59
City Attorney 4170
84045 Best Best & Krieger LLP Professional Legal Services 07/14/2022 31,843.38 City Attorney Total 31,843.38
Traffic Safety 4230
84048 Bear Valley Electric Electricity Usage 07/14/2022 19.83 PW: Traffic Safety Total 19.83
City of Big Bear Lake
Expenditure By Department
Checks Issued 06/24/2022 ‐ 07/20/2022
Check# Vendor/Employee Transaction Amount
City of Big Bear Lake
Expenditure By Department
Checks Issued 06/24/2022 ‐ 07/20/2022
Animal Regulation 4260
83987 Butchers Blocks & Building Materials Materials/Supplies 06/30/2022 104.37 84064 Orkin Inc. Pest Control Services 07/14/2022 3,300.00 Animal Regulation Total 3,404.37
Engineering 4310
84007 US Bank Corporate Payment Systems Recording Fees/Meeting Supplies/Shipping 06/30/2022 245.54 84009 San Bernardino County Vehicle Svcs Dept Fuel Charges 07/07/2022 43.43 Engineering Total 288.97
Street Maintenance 4320
83987 Butchers Blocks & Building Materials Materials/Supplies 06/30/2022 15.92 83989 Calolympic Glove & Safety Co Safety Supplies 06/30/2022 885.04 84000 Mission Linen Supply Inc. Laundry Service 06/30/2022 269.92 84001 ROW Traffic Safety, Inc. Signs 06/30/2022 119.8584007 US Bank Corporate Payment Systems Office Supplies/Fuel Charges 06/30/2022 410.98 84008 Vulcan Materials Company Inc. Materials/Supplies 06/30/2022 237.05 84009 San Bernardino County Vehicle Svcs Dept Fuel Charges 07/07/2022 3,418.41 84013 BlackHole Technologies Inc GPS Monthly Services 07/07/2022 1,656.22 84016 Butchers Blocks & Building Materials Materials/Supplies 07/07/2022 67.99 84018 Calolympic Glove & Safety Co Safety Supplies 07/07/2022 899.45 84023 Lumber City Corp. Materials/Supplies 07/07/2022 17.44 84028 Hitchin Lucerne, Inc. Tools 07/07/2022 705.94
84030 Mission Linen Supply Inc. Laundry Service 07/07/2022 270.48 84046 BlackHole Technologies Inc GPS Monthly Service 07/14/2022 1,524.75 84047 Butchers Blocks & Building Materials Materials/Supplies 07/14/2022 49.95 84051 Cintas Corporation First Aid Supplies 07/14/2022 158.31 84061 Mission Linen Supply Inc. Laundry Service 07/14/2022 269.62 84069 Rochester Midland Corporation Janitorial Supplies 07/14/2022 152.91 84082 Butchers Blocks & Building Materials Materials/Supplies 07/20/2022 40.66 PW: Street Maintenance Total 11,170.89
Check# Vendor/Employee Transaction Amount
City of Big Bear Lake
Expenditure By Department
Checks Issued 06/24/2022 ‐ 07/20/2022
Vehicle Maintenance 4325
83986 Bennett‐Bowen & Lighthouse, Inc. Vehicle Parts 06/30/2022 348.50 84000 Mission Linen Supply Inc. Laundry Service 06/30/2022 33.73 84019 Car Quest Auto Parts Vehicle Repair Parts 07/07/2022 1,401.83 84027 Knights Automotive and Performance, Inc. Vehicle Repair 07/07/2022 120.00 84029 Mar‐CO Equipment Company Materials/Supplies 07/07/2022 148.33 84030 Mission Linen Supply Inc. Laundry Service 07/07/2022 33.80 84032 Genuine Auto Parts Vehicle Repair Parts 07/07/2022 90.92 84044 Autozone Investment Corporation Vehicle Repair Parts 07/14/2022 71.0684060 Mar‐CO Equipment Company Equipment Repairs ‐ Street Sweeper 07/14/2022 17,346.5184061 Mission Linen Supply Inc. Laundry Service 07/14/2022 33.69 84065 Parkhouse Tire, Inc. Tires 07/14/2022 213.94
84070 Safelite Glass Corp. Vehicle Repair 07/14/2022 380.89 PW: Vehicle Maintenance Total 20,223.20
Street Lighting 4330
84048 Bear Valley Electric Electricity Usage 07/14/2022 6,392.38 PW: Street Lighting Total 6,392.38
Parking Lots / Chamber Building 4335
83990 Charter Communications Holdings, LLC Security Camera Internet Service 06/30/2022 119.98 84007 US Bank Corporate Payment Systems Meeting Supplies/Office Supplies 06/30/2022 146.17 84043 All Protection Alarm Alarm Monitoring 07/14/2022 179.7084047 Butchers Blocks & Building Materials Materials/Supplies 07/14/2022 54.79 84048 Bear Valley Electric Electricity Usage 07/14/2022 1,310.4384049 Charter Communications Holdings, LLC Security Camera Internet Service 07/14/2022 119.98 84069 Rochester Midland Corporation Janitorial Supplies 07/14/2022 152.9184083 Geiger Supply, Inc. Materials/Supplies 07/20/2022 96.47 PW: Parking Lots/Chamber Total 2,180.43
Planning 4410
83992 FedEx Shipping Charges 06/30/2022 77.38
Planning Total 77.38
Check# Vendor/Employee Transaction Amount
City of Big Bear Lake
Expenditure By Department
Checks Issued 06/24/2022 ‐ 07/20/2022
Planning Commission 4411
83994 The Grizzly Legal Notices 06/30/2022 808.00
Planning Commission Total 808.00
Tourism Registration / Administra 4414
84010 Big Bear Disposal Inc Restrooms ‐ 4th of July 07/07/2022 1,136.79 Tourism Registration / Administration Total 1,136.79
Tourism & Municipal Code Compli 4415
83993 Frontier Communications Telephone Service 06/30/2022 77.7084007 US Bank Corporate Payment Systems Meeting Expenses 06/30/2022 120.45 84009 San Bernardino County Vehicle Svcs Dept Fuel Charges 07/07/2022 1,585.03ACH Jack Greenberg Code Compliance/Tourism Management Support 07/14/2022 3,200.00 Tourism & Municipal Code Compliance Total 4,983.18
Building & Safety 4430
84006 Transtech Engineers, Inc. Professional Services 06/30/2022 4,200.0084009 San Bernardino County Vehicle Svcs Dept Fuel Charges 07/07/2022 115.91 Building & Safety Total 4,315.91
City Parks & Trails 4625
83987 Butchers Blocks & Building Materials Materials/Supplies 06/30/2022 62.10 83988 Bear Valley Electric Electricity Usage 06/30/2022 554.22 84007 US Bank Corporate Payment Systems Supplies 06/30/2022 146.17 84028 Hitchin Lucerne, Inc. Tools 07/07/2022 349.99
84034 Nativescapes, Inc. Park Maintenance 07/07/2022 4,657.50 84041 City of Big Bear Lake Dept of Water & Power Water Usage 07/14/2022 581.45 84042 Big Bear Municipal Water Dist Boulder Bay Park Permit 07/14/2022 2,664.15 84049 Charter Communications Holdings, LLC Security Camera Internet Service 07/14/2022 119.98 84069 Rochester Midland Corporation Janitorial Supplies 07/14/2022 152.91 84082 Butchers Blocks & Building Materials Materials/Supplies 07/20/2022 23.10 City Parks & Trails Total 9,311.57
Check# Vendor/Employee Transaction Amount
City of Big Bear Lake
Expenditure By Department
Checks Issued 06/24/2022 ‐ 07/20/2022
General Government 4800
83990 Charter Communications Holdings, LLC Public Works Internet Service 06/30/2022 675.91 83998 Marlin Business Bank Copier Lease 06/30/2022 1,660.06 84002 Southern California Association of Governments Membership Dues 06/30/2022 660.0084007 US Bank Corporate Payment Systems Digital Meeting Platform 06/30/2022 289.90 84031 Randy Spitz Meeting Supplies 07/07/2022 120.77
84039 San Bernardino County Treasurer Membership Dues 07/14/2022 6,131.61 84043 All Protection Alarm Alarm Monitoring 07/14/2022 673.8584049 Charter Communications Holdings, LLC Internet/Cable Service 07/14/2022 2,023.30 84051 Cintas Corporation First Aid Supplies 07/14/2022 252.75 84054 Docu‐Trust Document Storage 07/14/2022 50.00
84056 Frontier Communications Telephone Service 07/14/2022 2,139.7584063 National Business Furniture Office Furniture 07/14/2022 9,866.64 84067 Quill Corporation Office Supplies 07/14/2022 146.5984071 Staples Business Credit Office Supplies 07/14/2022 82.17 General Government Total 24,773.30
Information Technology 4810
84007 US Bank Corporate Payment Systems Video Conference Webcam 06/30/2022 215.47 84026 Intelesys One, Inc. IT Services/License Fees August 2022 07/07/2022 10,438.88 84052 ClearGov Inc. Annual Software Renewal 07/14/2022 24,500.00 Technology Services Total 35,154.35
Civic Center 4820
83987 Butchers Blocks & Building Materials Materials/Supplies 06/30/2022 280.13 84000 Mission Linen Supply Inc. Laundry Service 06/30/2022 47.23 84007 US Bank Corporate Payment Systems Replace Break Room Refrigerator 06/30/2022 753.17 84009 San Bernardino County Vehicle Svcs Dept Fuel Charges 07/07/2022 1,662.63 84017 Bear Valley Electric Electricity Usage 07/07/2022 5,676.4284021 Cintas Corporation First Aid Supplies/AED Lease 07/07/2022 352.34 84023 Lumber City Corp. Materials/Supplies 07/07/2022 8.37 84030 Mission Linen Supply Inc. Laundry Service 07/07/2022 47.33 84047 Butchers Blocks & Building Materials Materials/Supplies 07/14/2022 232.92 84061 Mission Linen Supply Inc. Laundry Service 07/14/2022 47.18 Check# Vendor/Employee Transaction Amount
City of Big Bear Lake
Expenditure By Department
Checks Issued 06/24/2022 ‐ 07/20/2022
84064 Orkin Inc. Pest Control Services 07/14/2022 181.0084069 Rochester Midland Corporation Janitorial Supplies 07/14/2022 152.91 84082 Butchers Blocks & Building Materials Materials/Supplies 07/20/2022 94.97 Civic Center Total 9,536.60
PAC Operations & Maintenance 4821
84007 US Bank Corporate Payment Systems Theater Supplies 06/30/2022 127.44 84017 Bear Valley Electric Electricity Usage 07/07/2022 1,892.1484043 All Protection Alarm Alarm Monitoring 07/14/2022 116.45 PAC Operations & Maintenance Total 2,136.03
Sanitation 250
83987 Butchers Blocks & Building Materials Materials/Supplies 06/30/2022 54.74 83988 Bear Valley Electric Electricity Usage 06/30/2022 151.8883989 Calolympic Glove & Safety Co Safety Supplies 06/30/2022 885.02 83993 Frontier Communications Telephone Service 06/30/2022 93.0283995 Haaker Equipment Co. Inc. Materials/Supplies 06/30/2022 184.77 83999 McMaster‐Carr Materials/Supplies 06/30/2022 63.57 84000 Mission Linen Supply Inc. Laundry Service 06/30/2022 269.92 84007 US Bank Corporate Payment Systems Membership Dues/Materials 06/30/2022 312.93 84009 San Bernardino County Vehicle Svcs Dept Fuel Charges 07/07/2022 1,011.3684016 Butchers Blocks & Building Materials Materials/Supplies 07/07/2022 10.33 84018 Calolympic Glove & Safety Co Safety Supplies 07/07/2022 153.80 84019 Car Quest Auto Parts Vehicle Repair Parts 07/07/2022 73.31 84023 Lumber City Corp. Materials/Supplies 07/07/2022 39.06 84024 Grainger Inc. Tools 07/07/2022 786.38
84025 Haaker Equipment Co. Inc. Materials/Supplies 07/07/2022 2,963.13 84030 Mission Linen Supply Inc. Laundry Service 07/07/2022 270.48 84032 Genuine Auto Parts Vehicle Repair Parts 07/07/2022 24.77 84037 Underground Service Alert Inc. Underground Dig Alert Services 07/07/2022 413.59 84048 Bear Valley Electric Electricity Usage 07/14/2022 3,126.8084051 Cintas Corporation First Aid Supplies 07/14/2022 158.31 84056 Frontier Communications Telephone Service 07/14/2022 666.57 Check# Vendor/Employee Transaction Amount
City of Big Bear Lake
Expenditure By Department
Checks Issued 06/24/2022 ‐ 07/20/2022
84061 Mission Linen Supply Inc. Laundry Service 07/14/2022 269.62 84084 Haaker Equipment Co. Inc. Vehicle Repair Parts 07/20/2022 69.15 Sanitation Total 12,052.51
Village Streetscape Maintenance 291
83987 Butchers Blocks & Building Materials Materials/Supplies 06/30/2022 116.19 83988 Bear Valley Electric Electricity Usage 06/30/2022 238.3784016 Butchers Blocks & Building Materials Materials/Supplies 07/07/2022 12.80 84047 Butchers Blocks & Building Materials Materials/Supplies 07/14/2022 6.02 84048 Bear Valley Electric Electricity Usage 07/14/2022 725.4784081 Big Bear Paint Center Paint Supplies 07/20/2022 23.80 84082 Butchers Blocks & Building Materials Materials/Supplies 07/20/2022 104.97 Village Streetscape Maintenance Total 1,227.62
Capital Projects 321
83987 Butchers Blocks & Building Materials Animal Shelter Improvement ‐ Materials 06/30/2022 244.97 84004 Tom Dodson & Associates Castle Rock Trailhead Environmental Services 06/30/2022 1,270.85 84007 US Bank Corporate Payment Systems Animal Shelter Improvement ‐ Materials 06/30/2022 1,256.25 84011 Big Bear Paint Center Animal Shelter Improvement ‐ Materials 07/07/2022 560.37 84016 Butchers Blocks & Building Materials Animal Shelter Improvement ‐ Materials 07/07/2022 82.49 84032 Genuine Auto Parts Animal Shelter Improvement ‐ Materials 07/07/2022 14.32 84033 National Auto Fleet Group, Chevrolet of Wastonvill Vehicle Replacement 07/07/2022 38,345.86 84047 Butchers Blocks & Building Materials Animal Shelter Improvement ‐ Materials 07/14/2022 91.86 84050 CP Products Animal Shelter Improvement ‐ Materials 07/14/2022 82.13 84081 Big Bear Paint Center Animal Shelter Improvement ‐ Materials 07/20/2022 217.91 84082 Butchers Blocks & Building Materials Animal Shelter Improvement ‐ Materials 07/20/2022 88.25 84083 Geiger Supply, Inc. Animal Shelter Improvement ‐ Materials 07/20/2022 157.19 Capital Projects Total 42,412.45
Street Improvement Projects 350
83991 Chrisp Company Citywide Line Striping 06/30/2022 30,278.50 84085 Vulcan Materials Company Inc. Street Rehabilitation Project 07/20/2022 1,448.33 Capital Projects/ Street Improvements Total 31,726.83
Check# Vendor/Employee Transaction Amount
City of Big Bear Lake
Expenditure By Department
Checks Issued 06/24/2022 ‐ 07/20/2022
Refuse 550
83984 San Bernardino County Solid Waste Mgmt Division Solid Waste Collection 06/30/2022 199.99 84000 Mission Linen Supply Inc. Laundry Service 06/30/2022 53.98 84030 Mission Linen Supply Inc. Laundry Service 07/07/2022 54.10 84040 San Bernardino County Fire Department Quarterly Hazardous Waste Removal 07/14/2022 5,353.24 84061 Mission Linen Supply Inc. Laundry Service 07/14/2022 53.92 Refuse Total 5,715.23
Grand Total 281,972.73
DISTRIBUTION OF TREASURY CASH Rate Amount % of Total
Demand Account - Union Bank $ 3.50% 1,136,630
Imprest Cash - Union Bank Payroll $ 0.02% 5,000
Imprest Cash $ 0.00% 1,525
Dental Self Insured Checking $ 0.48% 157,235
Local Agency Investment Fund (LAIF) 0.861% 31,175,852 $ 96.00% Total Cash In Treasury: 32,476,242 $ 100.00%
INVESTMENT ACTIVITY Days Deposits Withdrawals
LAIF Average Life (Days) of Portfolio 310
LAIF Transactions $0 $1,000,000
Interest Received for Fiscal Year 2021-22 $43,013
DISTRIBUTION OF CASH BY FUND June 2022 May 2022 Change
General $ 23,444,784 22,727,821 $ (716,963) $
Sanitation $ 6,274,174 6,157,758 $ (116,416) $
Capital Improvement $ (63,245) 194,302 $ 257,547 $
Refuse $ 1,535,350 1,278,827 $ (256,523) $
Trust $ 2,504,646 450,590 $ (2,054,056) $
Successor Agency $ 1,226,123 1,226,123 $ - $
AB 3229 Supp Law Enforce $ 444,526 440,821 $ (3,705) $
Total Cash in Treasury: 32,476,242 $ 35,366,358 $ (2,890,116) $ CASH WITH FISCAL AGENT - RESERVE FUNDS Cost Basis Market Value Current Yield 2005 Revenue Refunding Bonds
Big Bear Lake Reserve Fund $ 579,094 579,094 $ 1.36%
Moonridge Reserve Fund $ 79,350 79,350 $ 1.36%
1999 IA Tax Allocation Bonds $ 289,289 289,289 $ 1.36%
- The aforementioned investments conform to the City's investment policy. (Res. 2021-61) - Cash is sufficient to meet needs of the next 6 months. - Interest earned on invested cash is accrued on a quarterly basis.

Pursuant to California Government Code 53647 all local government agencies are required to report the current market value of investments under management by an outside party. The reserve funds for the aforementioned bond issues are held and managed by the City's Trustee, Union Bank.

CITY OF BIG BEAR LAKE

TREASURER'S REPORT
June 30, 2022
Preliminary (Excludes Year End Accounting Adjustments)
Regular Meeting Minutes – May 16, 2022
-

A Regular Meeting of the City Council of the City of Big Bear Lake was called to order by Mayor Herrick at 6:00 p.m., Monday, May 16, 2022, at the Civic Center, 39707 Big Bear Boulevard, Big Bear Lake, California.

OPEN SESSION
Flag Salute: Flag Salute led by Mayor Pro Tem Mote
Invocation: Invocation was led by Jim Lona, Commander of American Legion Post 584.

Councilmembers Present: Mayor Rick Herrick
Mayor Pro Tem Bynette Mote
Councilmember Alan Lee
Councilmember Perri Melnick
Councilmember Randall Putz
Others Present: Jeff Mathieu, Interim City Manager
Erica Stephenson, City Clerk
Stephen P. Deitsch, City Attorney

PRESENTATIONS
• Presentation by Mayor Rick Herrick and Jim Lona, Commander of American Legion Post 584, of the City’s Burial Flag that will be on display in Hofert Hall. • Presentation made by Nick Cargill, a representative for the Big Bear Workforce Housing Initiative, informing the community of an opportunity for homeowners to convert their vacation rental properties into long-term rentals.
• Presentation by the Economic Development Advisory Committee highlighting their proposed work program.
• Presentation by Scott Surico, Bear Valley Community Hospital District Education Coordinator, regarding Stroke Awareness Month and highlighting programs offered by the Hospital District for those who experience stroke-like symptoms in Big Bear Valley.

PUBLIC COMMUNICATIONS
Kendi Segovia, Big Bear Lake resident, stated she is confused as to why Councilmember Lee voted against ordering the Economic Impact Report because she feels understanding the facts related to the impact of limiting vacation rentals and number of rental contracts is important because the Initiative could potentially affect the local economy and everyone in the City.

Meeting Minutes
May 16, 2022
Sandy Steers, Big Bear resident, stated that the Northshore parcel popularly known as “Moon Camp” is one of the top 25 parcels in the Country that is eligible to potentially receive Land and Water Conservation Funding; indicated that if awarded, the US Forest Service would attempt to acquire the parcel; requested that the City Council sign a letter of support in an effort to receive said funds and help preserve this property.

Motion made by Mayor Herrick, seconded by Councilmember Putz, to add a last minute agenda item for consideration in relation to a Letter of Support for the “Moon Camp” parcel to be included in the Land and Water Conservation Fund.

AYES: Lee, Mote, Melnick, Putz, Herrick
NOES: None
ABSTAIN: None
ABSENT: None

1. PUBLIC HEARING

1.1 CONTINUANCE OF APPEAL OF PLANNING COMMISSION DECISION TO DENY MINOR MODIFICATION 2021-136, NOON LODGE REQUEST FOR LARGE OUTDOOR GATHERINGS AT 214 LAGUNITA LANE (APN 307-061-27)
City Council considered a continuance of a public hearing on Appeal Application 2022-055, an appeal of the Planning Commission’s denial of a request by Noon Lodge to host large outdoor gatherings, including weddings, receptions and other events for up to 75 persons. The City Council was asked to consider placing this Public Hearing item on the July 18, 2022 City Council Regular Meeting Agenda.

At the hour of 6:36 p.m., Mayor Herrick opened the Public Hearing and the following individuals approached Council:

Sharon Witek, Big Bear Lake resident, questioned the continuance of the public hearing because she indicated that the Noon Lodge would not be able to adhere to the conditions of hosting events such as weddings, due to insufficient property size and lack of adequate parking; she also provided examples of the neighborhood nuisances she feels are caused by events held at Noon Lodge.

Robert Witek, Big Bear Lake resident, indicated that the Noon Lodge is interrupting the familyfriendly lifestyle they were hoping for in Big Bear Lake, due to the public nuisances the Noon Lodge events are causing in his neighborhood.

A motion was made by Mayor Pro Tem Mote, seconded by Councilmember Melnick, to approve the continuance of the Public Hearing until Monday, July 18, 2022 at 6 p.m.

Dalton Gerlach, Owner/Operator of the Noon Lodge, stated the reasons for the request to continue the public hearing and said he hopes the Council will approve the continuance to July 18, 2022.

Prior to the vote, Council engaged in a discussion regarding the described nuances and the impacts of approving the continuance request.

At the hour of 6:50 p.m., the Public Hearing was closed.

Meeting Minutes
May 16, 2022
Said motion was approved by the following vote:

AYES: Melnick, Mote, Lee, Putz, Herrick
NOES: None
ABSTAIN: None
ABSENT: None

2. DISCUSSION/ACTION ITEMS

2.1 VERIFICATION OF SUFFICIENCY OF SIGNATURES FOR PETITION ENTITLED “INITIATIVE MEASURE AMENDING THE CITY’S MUNICIPAL CODE TO LIMIT THE

NUMBER OF VACATION RENTAL LICENSES AND RENTAL CONTRACTS IN THE

CITY AND TO ENACT ADDITIONAL LIMITATIONS AND REGULATIONS ON VACATION RENTALS” AND CONSIDERATION OF ADDITIONAL COUNCIL ACTIONS

RELATED TO THE INITIATIVE
City Council considered accepting a Certificate of Sufficiency of Initiative Petition from the San Bernardino County Registrar of Voters (ROV). The City Council also discussed and provided input related to their options under Elections Code sections 1405 and 9215 which included: a) adopt the Measure, without alteration, at this meeting, or within 10 days after, b) submit the Measure to the voters at the next regular municipal election occurring at least 88 days later, c) submit the Measure to the voters at a special municipal election occurring on a Tuesday between 88 and 103 days after the City Council calls the election or, d) direct staff to prepare an impartial and informational report analyzing the impact of the Measure on the City’s land use and development regulations, finances, ability to provide public services, and the like. In addition, City Council discussed and considered possible actions related to an alternative proposal for limiting vacation rentals by adoption of an amendment to the Development Code Chapter 4.01 to establish new permanent regulations for vacation rentals in Big Bear Lake.

Prior to Council discussion, Mayor Herrick invited up speakers who wanted to speak on this item. The following individuals approached Council:

Barbara Olsen, Big Bear resident: stated she is against restrictions to property rights as additional restrictions will severely impact the Big Bear Lake economy.

Colin Sarjeant, Big Bear Lake resident, spoke on behalf of Big Bear Lake United to clarify that the citizen-led committee is not anti-tourism or anti-vacation rental, they just want a vibrant, diverse economy that works for everyone; indicated that without limits to the vacation rental industry it has the potential to destroy the community; said the Citizen Initiative would bring back balance to the community and restore vacation rentals to their original concepts and will shift enforcement responsibility to the vacation rental owners and management companies as opposed to the property’s neighbors.

Jim Eakin, Big Bear resident, asked the public to consider what are the goals that are trying to be achieved with the proposed Initiative, how property rights would be infringed upon when voting for the Citizen Initiative and how the Village and other businesses would be affected if the number of vacation rental properties were limited.

Theodore Trentman, Big Bear resident, promoted his website, savetheresidents.com; said he feels threatened by Councilmember Lee and Big Bear United; indicated that second-home owners in the

Meeting Minutes
May 16, 2022
community are being treated like second-class citizens and should not be counted-out as they are also tax paying members of the community.

Johnny Wells, Big Bear resident, questioned if second-home owners in Big Bear Lake have been contacted to gauge their knowledge on what is going on in the community.

Mike Rotman, Big Bear Lake resident, asked the public and Council to consider that limiting the number of contracts per year on a vacation rental means less work for those that work in the rental industry such as the house cleaners; Mike encouraged second-home owners to gain understanding about their voter rights and indicated that they should look into the registration process to claim their domicile at their Big Bear Lake residence.

A motion was made by Councilmember Melnick, seconded by Mayor Pro Tem Mote, to receive, file and accept the Certificate of Sufficiency of Initiative Petition from the San Bernardino County Registrar of Voters (ROV).

Said motion was approved by the following vote:

AYES: Putz, Melnick, Mote, Lee, Herrick
NOES: None
ABSTAIN: None
ABSENT: None
At the hour of 7:13, Mayor Herrick called a short recess and recused himself from the remainder of the item due to a conflict of interest.

At the hour of 7:16 p.m., Mayor Pro Tem Mote reconvened the meeting and acted as presiding officer for the discussion regarding additional Council action in relation to the Citizen Initiative.

Prior to Council discussion on this item, Mayor Pro Tem Mote invited up speakers who wanted to speak on this item. The following individuals approached Council:

Annette Karnes, Big Bear Lake resident, spoke on behalf of the Big Bear Association of Realtors, questioned why realtors were not asked to participate in the last Ad Hoc Stakeholders meeting regarding vacation rental issues; asked that local realtors be considered to participate in any future Ad Hoc Committee meetings.

Jim Eakin, Big Bear resident, believes an Ad Hoc Committee to be important and urged Council to move forward with its formation; believes there needs to be adequate representation on the committee.

Following Council discussion, a motion was made by Councilmember Lee to designate the City Manager to work on negotiating a compromise with the proponents of the Citizen Initiative. Motion failed due to a lack of second.

A motion was made by Councilmember Melnick, seconded by Councilmember Putz, to form an Ad Hoc Committee in an effort to form a compromise with the proponents of the Citizen Initiative.

A substitute motion was made by Mayor Pro Tem Mote, seconded by Councilmember Putz, to form an Ad Hoc Committee and appoint Councilmember Melnick and Councilmember Putz as the two representative Councilmembers.

Meeting Minutes
May 16, 2022
Said substitute motion was approved by the following vote:

AYES: Putz, Mote, Melnick
NOES: Lee
ABSTAIN: Herrick
ABSENT: None
A motion was made by Councilmember Putz, seconded by Councilmember Melnick, allowing the Ad Hoc Committee to meet, draft a compromise and then bring the compromise back to the whole City Council with a suggestion/recommendation on how to proceed.

Said motion was approved by the following vote:

AYES: Mote, Melnick, Putz
NOES: Lee
ABSTAIN: Herrick
ABSENT: None
At the hour of 7:47 p.m., Mayor Pro Tem Mote called for a short recess.

At the hour of 7:51 p.m., Mayor Herrick reconvened the meeting and resumed as presiding officer for the remainder of the meeting.

2.2 POTENTIAL TRANSIENT OCCUPANCY TAX INCREASE
City Council received a presentation from a representative of Columbia Capital Management, LLC, regarding an analysis of Transient Occupancy Tax (TOT) and a proposed increase in the City’s rate.

The City Council engaged in further discussions regarding a proposed increase in the City’s TOT rate and provided direction to staff related to preparing the necessary documents required to place a measure increasing the City’s TOT rate, on the November 8, 2022 ballot.

Following initial Council questions and discussion, Mayor Herrick invited up speakers who wanted to speak on this item. The following individuals approached Council:

Johnny Wells, Big Bear resident, wants to make sure the City will be on top of enforcing illegal rentals that are not enrolled in the City’s vacation rental program to ensure all rentals are remitting TOT.

Christy Brewster, Big Bear resident/business owner, indicated that traditional lodging occupancy rates have declined due to the increasing popularity of vacation rentals; believes a 4 percent increase in TOT will have a negative impact on tourism in Big Bear Lake; requested that Council consider a two-tier system where traditional lodging’s TOT increase is half of the TOT increase applied to vacation rental homes.

Jeff Holoubek, Big Bear Lake resident, believes the TOT study does not provide enough useful information in order for the Council to make an informed decision and indicated in his opinion the study seems incorrect in its conclusion.

Mike Rotman, Big Bear Lake resident, stated that visitors are paying attention to the difference in tax rates and use that information to make an informed decision on where they stay; does not agree with the cities that were compared to Big Bear Lake within the study.

Meeting Minutes
May 16, 2022
Robert Manning, Big Bear resident/investor, asked that Council take the present state of the declining economy into consideration when contemplating to raise the TOT rate.

Loren Hafen, Big Bear Lake resident, discussed the history of the TOT rate fluctuations in Big Bear Lake and stressed the importance of marketing.

Dalton Gerlach, Owner/Operator of the Noon Lodge, believes there is a lot of information that is missing from the study that needs to be addressed.

Theodore Trentman, Big Bear resident, said that the City needs to better engage with visitors and residents alike to get a better idea of what is needed and wanted between the two groups.

Erin Lonza, Big Bear City resident, believes that raising the TOT rate will drive the remaining visitors away.

Following Council discussion, a motion was made by Councilmember Putz to move forward with a ballot measure including a one (1) percent increase to TOT. Motion failed due to a lack of second.

A motion was made by Councilmember Melnick, seconded by Councilmember Putz, to move forward with a ballot measure including a one and a half (1.5) percent increase to TOT.

Following further Council discussion, a substitute motion was made by Mayor Herrick, seconded by Councilmember Lee, to move forward with a ballot measure that would raise TOT by two (2) percent for non-traditional lodging facilities and raise TOT by one (1) percent for traditional lodging facilities.

Said motion was approved by the following vote:

AYES: Melnick, Lee, Herrick
ANOES: Putz, Mote
ABSTAIN: None
ABSENT: None

2.3 RESOLUTION ACCEPTING AN EXTENSION TO THE DUE DILIGENCE PERIOD FOR

THE GROUND LEASE WITH BEAR VALLEY MUTUAL WATER COMPANY AND

APPROVING A BUDGET APPROPRIATION AND ASSOCIATED AGREEMENTS FOR

THE CONTINUED DUE DILIGENCE EFFORT
City Council considered a resolution authorizing an extension of the due diligence period associated with the ground lease with Bear Valley Mutual Water Company as well as a budget appropriation and the agreements associated with the continued due diligence effort. On November 1, 2021, the City Council approved a 99-year ground lease for approximately 19-acres of lakeside property from Bear Valley Mutual Water Company and the agreement was executed on December 8, 2021. The agreement included a six-month due diligence period for the City to undertake all necessary inspection and evaluation of the property to determine whether it will proceed with the lease agreement and that period expires on June 8, 2022. In the recent weeks, staff identified additional due diligence activities to complete and approached Bear Valley Mutual Water Company, through legal counsel, about a possible extension of the due diligence period. Bear Valley Mutual Water Company graciously offered to extend the due diligence period through July 2022 for no additional fee or consideration; staff recommended that the City Council accept the extension. Furthermore, staff sought a budget appropriation and the approval of two associated agreements to complete additional due diligence activities before the updated deadline at the end of July 2022.

Meeting Minutes
May 16, 2022
Following initial Council questions and comments, Mayor Herrick invited up speakers who wanted to speak on this item. The following individual approached Council:

Jim Hart, Big Bear Lake resident, made comments and asked questions related to the possible relocation of the Leisure Bear Mobile Home Park residents.

A motion was made by Mayor Pro Tem Mote, seconded by Councilmember Melnick to approve staff’s recommendation and adopt the following resolution entitled:

RESOLUTION NO. 2022-49

RESOLUTION ACCEPTING AN EXTENSION TO THE DUE

DILIGENCE PERIOD FOR THE GROUND LEASE WITH BEAR

VALLEY MUTUAL WATER COMPANY AND APPROVING A

BUDGET APPROPRIATION AND ASSOCIATED AGREEMENTS

FOR THE CONTINUED DUE DILIGENCE EFFORT

Said motion was approved by the following vote:

AYES: Melnick, Lee, Putz, Mote, Herrick
NOES: None
ABSTAIN: None
ABSENT: None
Due to time constraints, Mayor Herrick requested that the newly-added agenda item be discussed prior to Item 2.4.

2.6 LETTER OF SUPPORT FOR THE “MOON CAMP” PARCEL TO BE INCLUDED IN THE

LAND AND WATER CONSERVATION FUND
A motion was made by Councilmember Putz, seconded by Mayor Pro Tem Mote, to approve a Letter of Support for the “Moon Camp” parcel to be included in the Land and Water Conservation Fund.

Said motion was approved by the following vote:

AYES: Lee, Mote, Putz, Melnick, Herrick
NOES: None
ABSTAIN: None
ABSENT: None

2.4 FY 2022-23 PROPOSED BUDGET AND 5-YEAR CAPTIAL REPLACEMENT/

IMPROVEMENT PLAN
City Council received a presentation of the City’s proposed FY 2022-23 Budget and 5-Year Capital Replacement Improvement Plan by Kelly Ent, Director of Administrative Services. City Council also considered authorizing a few budget related items, such as an amendment to the law enforcement contract proposed to include an additional deputy for weekend coverage in FY 2022-23 and setting public hearings for proposed City Sewer and Refuse Rates as well as Big Bear Area Wastewater Agency (BBARWA) pass through charges included in the budget document.

Meeting Minutes
May 16, 2022
Following initial Council questions and discussion, a motion was made by Councilmember Putz, seconded by Councilmember Melnick, to authorize the execution of the FY 2022-23 Law Enforcement Service Contract Amendment No. 30.

Said motion was approved by the following vote:

AYES: Melnick, Putz, Lee, Mote, Herrick
NOES: None
ABSTAIN: None
ABSENT: None
A motion was made by Councilmember Putz, seconded by Councilmember Melnick, to authorize staff to proceed with the BBARWA pass through pursuant to the City’s ordinance (capped at 5%) and absorb the additional 1.5%.

Said motion was approved by the following vote:

AYES: Lee, Melnick, Mote, Putz, Herrick
NOES: None
ABSTAIN: None
ABSENT: None

2.5 FY 2022-23 DEPARTMENT OF WATER BUDGET PRESENTATION
City Council did not discuss this item; Council agreed that the Department of Water and Power FY 2022-23 Budget will be brought back for discussion at a future Special Meeting.

3. COMMENTS, ANNOUNCEMENTS & ADDITIONAL CITY BUSINESS

3.1 CITY CLERK, CITY ATTORNEY, CITY MANAGER COMMENTS
None.

3.2 COUNCILMEMBER BOARD/COMMITTEE REPORTS & COMMENTS
Mayor Pro Tem Mote stated that the Economic Development Advisory Committee (EDAC) is looking forward to City Council’s direction in regard to their proposed work plan.

Councilmember Lee paid his respects to the victims of the mass shooting in Buffalo, New York.

ADJOURNMENT
There being no further business to come before the Council at this Open Session, Mayor Herrick adjourned the meeting at 9:57 p.m.
____________________________
Erica Stephenson, City Clerk

MEETING
DATE: August 1, 2022
TO: Honorable Mayor and Members of the City Council
THROUGH: Jeff Mathieu, Interim City Manager
FROM: Sean Sullivan, Director of Public Services
Israel Gomez, Associate Engineer
SUBJECT: Resolution Authorizing Extension of the Agreement for Completion of Public Improvements for Tract Map No. 18580, the Pines Subdivision

BACKGROUND
The Pines Subdivision is a 23-lot residential subdivision that is presently under construction in the vicinity of Mill Creek Road and Talmadge Road. The project dates to 2005, when the Tentative Tract Map was submitted. The project was approved by the Planning Commission in June 2013 (Resolution PC2013-14) and the Final Tract Map was approved by the City Council in July 2020.

On July 13, 2020, the City Council approved the Final Tract Map 18580, which included an Agreement for the Completion of Public Improvements. The conditions of approval for the construction of the project associated with this map require the developer, Big Bear Pines 23 LP, to complete several public improvements including water, sewer and drainage utility infrastructure, as well as street improvements including new roadways, sidewalks, curbs, gutters, and landscaping. In order for the Final Tract Map to record prior to the completion of these improvements, the developer executed the attached Agreement for the Completion of Public Improvements and posted a performance bond in the amount of $474,813, which is equal to the estimated cost of the construction of the public improvements.

Work is well underway on the construction of the public improvements and several elements have been completed with the remaining items nearing completion. To date, the City has accepted the work on portions of the street, water, and sewer improvements The initial public improvements agreement required completion of the improvements within 1 year (July 13, 2021) but allows for extension of this agreement at the sole discretion of the City. The City Council extended this agreement through July 13, 2022 and it is, again, expired. The developer has requested that the City, again, extend the term of the public improvements agreement for this project for an additional one (1) year. As progress is continually being made on the improvements, and the path cleared for the remaining improvements to be constructed, staff is recommending that the City Council approve the requested extension.

DISCUSSION
The developer of the Pines Subdivision, Big Bear Pines 23 LP, has requested that the City extend the existing Agreement for the Completion of Public Improvements by an additional year to allow time to complete the remaining improvements. The primary item that remains for completion are the street improvements at the intersection of Big Bear Boulevard (State Highway 18) and Talmadge Road. The required permit from the State of California Department of Transportation (Caltrans) was just recently issued for this project, which has cleared the path to complete the remaining public improvements for this project. The developer is coordinating this work and given the time of the year, these improvements very well may carry into 2023.

A requirement of the public improvements agreement was that the developer would purchase a bond to the City in the amount of the public improvements to ensure their construction. The initial bond was furnished for $474,813; however, portions of that bond have been released as the City has accepted the completion of portions of the improvements. At this time, the City still maintains a bond in the amount of $118,703, which is consistent with the value of the remaining improvements. This bond shall remain active and in effective through the completion and acceptance by the City of the public improvements.

Staff is recommending that the City Council approve the extension of the public improvements agreement for Tract Map No. 18580, the Pines Subdivision, through August 31, 2023.

FISCAL IMPACT
There is no fiscal impact associated with the time extension to complete the public improvements.

ENVIRONMENTAL CONSIDERATIONS
These actions have no impacts pursuant to the California Environmental Quality Act (CEQA).

RECOMMENDATION
It is recommended that the City Council adopt a Resolution Authorizing Extension of the Agreement for Completion of Public Improvements for Tract Map No. 18580, the Pines Subdivision.

ATTACHMENTS

1. Resolution No. 2022- XX

2. Recorded Tract Map 18580

3. Recorded Agreement for Completion of Public Improvements

4. Developer’s Request for Time Extension
ATTACHMENT 1

RESOLUTION NO. 2022-XX

RESOLUTION AUTHORIZING EXTENSION OF THE AGREEMENT

FOR COMPLETION OF PUBLIC IMPROVEMENTS FOR
TRACT MAP NO. 18580, THE PINES SUBDIVISION
WHEREAS, the Pines Subdivision is a 23-lot residential subdivision that is presently under construction in the vicinity of Mill Creek Road and Talmadge Road; and WHEREAS, this project and Tentative Tract Map 18580 were approved by the Planning Commission in June 2013 (Resolution PC2013-14) which included the conditions that a number of public improvements, including street, water, sewer, and drainage improvements be completed as a part of this project; and
WHEREAS, this project was approved by the City Council as Final Tract Map 18580 on July 13, 2020, at which time an Agreement to Complete Public Improvements was also approved which required completion of the public improvements by July 2021; and WHEREAS, as a guarantee that the public improvements would be completed, the developer executed an Agreement to Complete Public Improvements (Agreement) and posted a performance bond in the amount of $474,813 which is equal to their estimated cost of completion; and WHEREAS, work is well underway and a number of the public improvements, including street, water and sewer construction, have been completed by the developer and accepted by the City; and
WHEREAS, the developer has indicated that there are remaining public improvements, namely intersection improvements at Big Bear Boulevard (State Highway 18) and Talmadge Road, will not be completed within the established timeline within the Agreement; and WHEREAS, pursuant to the Agreement, the City maintains the sole discretion to extend the timeline for the completion of the public improvements and previously extended the timeline for completion through July 13, 2022; and
WHEREAS, the developer has requested the extension of this agreement for an additional year to complete the improvements to the intersection at Big Bear Boulevard (State Highway 18) at Talmadge Road as the required permits were just issued by Caltrans in July 2022; and WHEREAS, portions of the performance bond have been released with previous acceptances of portions of the work; and
WHEREAS, the City continues to hold a performance bond for this project in the amount of $118,703, which is consistent with the cost of construction of the remaining public improvements and shall remain active through the completion of the improvements; and WHEREAS, staff recommends an extension to the existing Agreement to Complete Public Improvements through the period ending August 31, 2023.

NOW, THEREFORE, BE IT RESOLVED BY the City Council of the City of Big Bear Lake that:

1. The Agreement for the Completion of Public Improvements Associated with Tract Map No. 18580 be extended through the period ending August 31, 2022.

2. That the developer be required to maintain a performance bond in the amount of $118,703 through the completion, acceptance by the City, and warranty period of the remaining public improvements associated with Tract Map 18580.

PASSED, APPROVED AND ADOPTED this 1st day of August, 2022. ________
Rick Herrick, Mayor
ATTEST:
_
Erica Stephenson, City Clerk

STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss

CITY OF BIG BEAR LAKE )
I, Erica Stephenson, City Clerk of the City of Big Bear Lake, California, do hereby certify that the whole number of the City Council of the said City is five; that the foregoing resolution, being Resolution No. 2022-XX was duly passed and adopted by the said City Council and attested by the City Clerk of said City, all at a regular meeting of the said City held on the 1st day of August, 2022 and that the same was so passed and adopted by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

Erica Stephenson, City Clerk
ATTACHMENT 2

ATTACHMENT 3

ATTACHMENT 4
July 20, 2022
City of Big Bear Lake
Israel Rosales
39707 Big Bear Blvd.

Big Bear Lake, CA 92315
RE: Tract 18580 - Extension Request for Surety Bonds
Israel,
I am requesting a (1) One year extension for Tract 18580 Surety Bonds.

Should you have any questions please don’t hesitate to call.

Thank you,
Pat Meek

MEETING
DATE: August 1, 2022
TO: Honorable Mayor and Members of the City Council
THROUGH: Jeff Mathieu, Interim City Manager
FROM: Sue O’Strander, AICP, Director of Community Development SUBJECT: Ordinance Approving Development Code Amendment 2022-100 Including Changes to Chapters 17.02 (Definitions), 17.03 (General Procedures), 17.25 (Residential Zones), and 17.35 (Commercial and Public Zones) to Implement Process Improvements, Clarify Development Standards, and Align the Municipal Code with State Law

BACKGROUND
On July 6, 2022, at a duly noticed public meeting, the Planning Commission considered a Cityinitiated development code amendment to allow for more efficient processing of certain applications/requests, including Home Occupation Permits, Temporary Use Permits, and Appeals.

The Commission also considered changes to align family day care use and standards with current State regulations, update and clarify multi-family residential objective design standards, and refine or correct language pertaining to residential and commercial development standards. After careful consideration and discussion, the Planning Commission voted unanimously (5-0) to recommend that the City Council approve Development Code Amendment (DCA) 2022-100.

The recommended amendment consists of text changes only and is not associated with any development proposal. As such, DCA 2022-100 is considered minor as it will not result in any change to the built-out environment as envisioned by the General Plan or Development Code.

DISCUSSION
The proposed amendment includes changes to Chapters 17.02 (Definitions), 17.03 (General Procedures), 17.25 (Residential Zones) and 17.35 (Commercial and Public Zones) of Title 17 of the Municipal Code. Recommended changes are briefly described under the chapter sections, below. Details are available in the attached ordinance and Planning Commission staff report.

Chapter 17.02: DEFINITIONS
Section 17.02.030 - Definitions
Three definitions must be modified to comply with current State law. Specifically, the definitions for “Day care, family”, “Day care, large family”, and “Day care, small family” are recommended to replicate the State’s definitions to ensure there is no misunderstanding or misinterpretation of the state’s meaning as it relates to family day care homes.

Chapter 17.03: GENERAL PROCEDURES
With regard to permit streamlining, staff recommends removal of a 10-day noticing period for Home Occupation and Temporary Use permits. The Development Code fully details the expectations for these administrative requests and notification of adjacent property owners is unnecessary. Several other amendments are proposed under this chapter which will further improve overall processing of permit applications, and is described below in more detail.

Remove 10-day Notification Requirement for HOPs and TUPs In most public agencies, Home Occupation Permits (HOP) and Temporary Use Permits (TUP) are standard applications that are issued over-the-counter, which typically means same-day approvals.

The City’s Development Code identifies clear and distinct standards and expectations for both HOPs and TUPs. In general, approval is based on the applicant’s understanding and agreement to adhere to the stated requirements. The applicant either can or cannot comply with the standards. If they are not able to comply, then the City would not approve a request.

The Planning Commission suggested including information relating to time saved as a result of this amendment. In addition to the 10-day wait period by the applicant, it is anticipated that elimination of the HOP and TUP noticing requirements could redirect at least 150 hours annually of staff resources to other tasks. While 150 hours over the course of a year may not seem like much, it equates to about 7% of a full-time employee’s annual hours. In addition, this estimate does not account for any hard costs, such as envelopes and postage, associated with the noticing requirement. Removal of the noticing period includes changes to three sections:
• Section 17.03.030.C – Notification of administrative actions • Section 17.03.270.C.2 – Home occupation permit, Application procedure • Section 17.03.290.F – Temporary use permit, Notice procedure Section 17.03.050.A – Time limitations for application acceptance In 2021, staff evaluated the City’s development application review process, and noted that much effort is spent on working with applicants to achieve an acceptable or ‘complete’ application submittal. Most applications are ‘incomplete’ when submitted and can remain in limbo for an unspecified amount of time. These unacceptable applications remain active in the City’s system for long periods, and a case planner must be assigned to regularly track and manage these.

To assist all applicants with the ability to submit applications that are closer to a ‘complete’ status, the City’s development review application checklist was significantly reformatted in May 2021 to include more clarity and detail of required submittal information. A ‘complete’ application can quickly move forward through the entitlement process to a decision-maker. This is the desired outcome for both staff as well as the applicant. Since reformatting the checklist, more projects now achieve a ‘complete’ status after the initial review, resulting in a reduced overall processing time.

To eliminate perpetual ‘incomplete’ applications, staff recommends inclusion of a 90-day goal by which an application must be deemed ‘complete’ and acceptable for processing. The Planning Commission concurred that this was a reasonable timeframe, and that it would achieve a more streamlined development review process.

Section 17.03.060 – Appeal of determination of incomplete application Currently, the Planning Commission is the appeal authority on staff’s determination of an ‘incomplete’ application submittal. As mentioned above, the City took great effort in 2021 to update the application checklist, including the required items, level of clarity, and applicability of certain items. The updated list is much more comprehensive, and includes detailed expectations and applicability of when certain items are needed (or not). In addition, State law strictly limits an agency’s ability to determine an application’s completeness based only on the submittal checklist.

As such, this particular appeal process is unnecessary.

Section 17.03.110 – Appeal procedures
Under the appeal procedure described in section 17.03.110.E, there would be no opportunity for a public hearing to occur within 10 calendar days of the original decision. Currently, a public hearing requires a minimum of 18 days prior to the hearing date for adequate noticing with the local paper.

Within 10 calendar days, however, a regularly scheduled meeting could occur where the Planning Commission or City Council may vote on bringing forward an appeal. Therefore, a text change is recommended, from “duly noticed public meeting” to “regularly scheduled meeting”.

Over the past year, appeals have been filed on both on Planning Commission decisions and City Planner (staff) decisions. The City Code is unclear as to the standard of review, which has resulted in delays in the current process. To streamline appeal hearings, the City Attorney recommends clarifying the City’s standard of review to be ‘de novo’, meaning the appeal would be treated as a new hearing on the application. Section 17.03.110.F is amended to clarify the ‘de novo’ standard.

Revised Threshold Limit for Minor Modification Reviews
As currently written, the Development Code allows administrative approval of projects that “…do not exceed the total building area by more than 25 percent or 500 square feet, whichever is less.” While the 500 square feet limitation is reasonable for small sites, such as a single-family home, it can be quite restrictive to other project sites. Some developers considering investment in the City’s commercial districts have indicated this is a considerable hinderance. For example, a project comprising 50,000 square feet may propose an addition of up to 500 square feet (or 1%); anything more would trigger a higher level of review, with less certainty of the outcome. Under the proposed amendment, the same 50,000 square foot example site could add up to 5,000 square feet (or 10%) as part of an administrative review process (i.e. Minor Modification).

This change supports opportunities to promote new or ongoing investment in the community. The proposed increase to 5,000 square feet allows additional flexibility and also aligns with State thresholds for other onsite improvements, such asstormwater facilities. The recommended change, from 500 square feet to 5,000 square feet, is included in the following sections:
• Section 17.03.160.A.3.e and 4.c – Plot plan review, general provisions • Section 17.03.250.D.2 and D.5 – Minor modifications to approved plans and existing developments, applicability
Section 17.03.260 – Large family day care
In 2020, State legislation removed local agency land use authority for large family day care uses.

As such, this section is removed in its entirety from the Development Code.

Section 17.03.270 – Home occupation permit
In addition to eliminating the 10-day noticing period, as discussed previously, there are other clean-up opportunities for this section. The term “Zoning Ordinance” in Section 17.03.270.D.12 is corrected to read “Development Code”. Processing and approval details in Section 17.03.270.F are revised to require the applicant’s agreement to comply with the HOP regulations. Finally, as the City’s approach to compliance enforcement is cooperative rather than punitive, Section

17.03.270.G is revised to read that a public hearing “may be set” instead of “shall be set”.

Section 17.03.320 – Nonconforming uses and structures
Oftentimes, the term “nonconforming” is used with “legal” or “illegal”. Under the Development Code and in practice, the term “nonconforming” refers only to those that are “legal nonconforming”, which typically means these pre-date the City’s Development Code and were otherwise legally established. These situations are afforded certain allowances under Section

17.03.320. Uses and structures established without proper permits or other legal authority are illegal, and these situations do not have any allowances under the Code. To eliminate any misunderstanding, the amendment removes some confusing language from Section 17.03.320.A.2.

Chapter 17.25: RESIDENTIAL ZONES
Section 17.25.040 – Accessory uses permitted in residential zones As stated previously, State legislation changed in 2020, whereby a local agency may no longer require a permit for large family day care uses. Such uses are now permitted by right in residential zone districts. In alignment with previous changes, Table 17.25,040.A is amended to reflect that a large family day care use is a permitted accessory land use.

Section 17.25.050 – General standards for residential development The proposed text changes under this section and Table 17.25.050.A clarify that development standards with regard to building coverage and building height are maximum standards. In addition, reference to “side yard” is removed from the front yard and street setback standard in Table 17.25.050.A to eliminate potential confusion.

Section 17.25.090 – Residential building standards
Existing policies from the Community Design Element are incorporated into various standards under Section 17.25.090.B (multiple family residential design standards). As the added text is based on existing General Plan policies, these are not considered new or additional standards. The additional clarifying language addresses lighting, trash enclosures, building massing and orientation, building materials, colors, roof design, screening of mechanical equipment, etc.

Inclusion of the adopted policies strengthens the City’s objective design standards for multi-family housing developments, which is required under SB35. This is important as State law requires housing projects for households below 80% area median income be approved through a ministerial approval process (meaning without analysis under the California Environmental Quality Act, CEQA, and without a discretionary entitlement or public hearing process). Minor adjustments, recommended by the Planning Commission, are included in the attached ordinance and redline exhibit.

Chapter 17.35: COMMERICAL AND PUBLIC ZONES
Section 17.35.030 – Principal uses permitted in commercial and public zones Table 17.35.030.A includes text changes to clarify that a public bus facility land use is consistent with that of other utility and service providers. Specifically, the Development Code identifies such uses as appropriate within the C-2, C-5 and P zone districts, and not permitted in the C-4 (commercial recreation) zone district. For consistency, the appropriate zone districts for bus yards are corrected to align with allowed zoning for utility and service provider facilities.

REQUIRED FINDINGS
Affirmation of the required findings, as provided under section 17.03.200.F of Title 17, can be made in support of the proposed Development Code Amendment, as follows:

1. The proposed Development Code amendment conforms with the goals, objectives and policies of the general plan, in that, the proposed amendments would modify several sections of the Development Code with the intent to streamline certain administrative permit procedures, clarify standards of review for appeals, align the City’s Code with State law, provide clarifications to several other sections including the residential and commercial development standards. While several sections are included as part of the proposed amendment, none will result in any change to the built-out environment as envisions by the General Plan or Development Code. As such, the proposed amendment can be found in conformance with the general plan, and in particular, with Land Use Element Policies L1.2, L2.2, L3.3 and Community Design Element Goals CD1 and CD3.

2. The proposed Development Code amendment is necessary to implement the general plan and to provide for public safety convenience and/or general welfare, in that, the proposed Development Code amendment addresses several inconsistencies with State legislation.

The amendment also includes opportunities to streamline minor permit processes, specifically that of home occupation permits, temporary use permits, and appeals. As such, the proposed amendment may be considered a step in furthering efforts to better implement the current general plan. In addition, the resulting streamlined processes could entice future development projects along the commercial corridor, which would be in alignment with goals and expectations of the general plan.

3. The proposed Development Code amendment conforms with the intent of the Development Code and is consistent with all other related provisions thereof, in that, the proposed amendment conforms with the intent of the Development Code and consistent with all other related provisions. In fact, the proposed amendment incorporates several Community Design Element policies into the Development Code and ensures implementation of these policies.

4. The proposed Development Code amendment is reasonable and beneficial at this time, in that, the proposed amendment cleans up several items that are outdated to better align with State law and current practice. As such, the Development Code Amendment is considered to be reasonable and beneficial at this time.

FISCAL IMPACT
There are no fiscal impacts associated with the adoption of the recommended ordinance.

ENVIRONMENTAL CONSIDERATIONS
The recommended amendments involve a series of minor text changes to streamline several administrative processes, clarify Code language, and better alignment with State law. None of the proposed amendments would directly result in any physical development, nor will the proposed amendments result in any change to the built-out environment as envisioned by the General Plan or Development Code. Therefore, the proposed Development Code Amendments are not a “project” under Public Resources Code section 21065, and, in the alternative, are exempt from the California Environmental Quality Act (CEQA) under CEQA Guidelines section 15061(b)(3), the “common sense exemption,” where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. As such, a Notice of Exemption may be filed.

PUBLIC OUTREACH
Notification of the proposed amendment was published in The Grizzly newspaper in advance of the Planning Commission and City Council meetings. In addition, notices were posted in three public places 10 days prior to each of the public meetings. Agendas were distributed to the decision-making bodies and all who have requested to be on the distribution lists, and also placed on the City’s webpage. No public members spoke on this item at the Planning Commission meeting conducted on July 6, 2022.

NEXT STEPS
Should the City Council take action to introduce and waive the first reading of the proposed ordinance at the August 1, 2022 meeting, adoption of DCA 2022-100 would occur at the next regularly scheduled meeting on August 15, 2022 and become effective 30 days thereafter.

RECOMMENDATION
It is recommended that the City Council read the title, waive further reading and introduce an ordinance approving Development Code Amendment 2022-100 to various sections of Title 17 of the Municipal Code, under 17.02 (Definitions), 17.03 (General Procedures), 17.25 (Residential Zones) and 17.35 (Commercial and Public Zones), including minor text changes to streamline several administrative processes, clarify development standards, and provide better alignment with State law, based on certain findings.

ATTACHMENTS

1. Ordinance No. 2022-xxx

2. Planning Commission staff report, dated July 6, 2022 ATTACHMENT 1

ORDINANCE NO. 2022-XXX
ORDINANCE APPROVING DEVELOPMENT CODE AMENDMENT 2022-100 INCLUDING CHANGES TO CHAPTERS 17.02 (DEFINITIONS), 17.03 (GENERAL PROCEDURES), 17.25 (RESIDENTIAL ZONES), AND 17.35 (COMMERCIAL AND PUBLIC ZONES) TO IMPELMENT PROCESS

IMPROVEMENTS, CLARIFY DEVELOPMENT STANDARDS, AND ALIGN

THE MUNICIPAL CODE WITH STATE LAW
WHEREAS, the City of Big Bear Lake initiated Development Code Amendment 2022-100 to amend Title 17 of the City’s Municipal Code to allow for more efficient processing of certain applications/requests, including Home Occupation Permits, Temporary Use Permits and Appeals, better align family day care use and standards with current State regulations, update and clarify multi-family residential objective design standards, and refine or correct language pertaining to residential and commercial development standards; and
WHEREAS, pursuant to Sections 65800 and 65850 of the California Government Code, the City may adopt ordinances to regulate the use of buildings, structures, and land as between industry, business, residences, and open space, and other purposes; to regulate the location, height, bulk, number of stories and size of buildings and structures, the size and use of lots, yards, courts and other open spaces, the percentage of a lot which may be occupied by a building or structure, and the intensity of land use; and to establish requirements for off-street parking, in compliance with the California Government Code. The City has adopted such an ordinance, referred to as the Development Code, adopted by Ordinance No. 2003-333, on September 8, 2003, and codified in the Municipal Code as Chapter 17; and
WHEREAS, section 17.03.200 of the Development Code includes provisions for amendments to the Development Code; and
WHEREAS, public notice of the public hearing for Development Code Amendment 2022-100 (the Application) was published in The Grizzly on July 20, 2022; and WHEREAS, on July 6, 2022, the Planning Commission conducted a duly noticed public hearing on the Application and upon conclusion of the public hearing, took action to adopt Resolution No. 2022-12 by a vote of 5-0, recommending that the City Council approve the Application; and WHEREAS, the Application is not subject to the California Environmental Quality Act (CEQA) because it is covered by the “common sense” rule expressed in section 15061(b)(3) of the State CEQA Guidelines that CEQA applies only to projects, which have the potential for causing a significant effect on the environment. The recommended amendments involve a series of minor text changes to streamline several administrative processes, clarify Code language, and better alignment with State law. None of the proposed amendments would directly result in any physical development, nor will the proposed amendments result in any change to the built-out environment as envisioned by the General Plan or Development Code. Therefore, the proposed Development Code Amendments are not a “project” under Public Resources Code section 21065, and, in the alternative, are exempt from the California Environmental Quality Act (CEQA) under CEQA Guidelines section 15061(b)(3), the “common sense exemption,” where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment; and
WHEREAS, all legal prerequisites to the adoption of this resolution have occurred.

NOW, THEREFORE, the City Council of the City of Big Bear Lake does ordain as follows:

Section 1. The City Council hereby specifically finds that all of the facts set forth in the above recitals of this ordinance, are true and correct.

Section 2. The City Council hereby finds that the Application is not subject to the California Environmental Quality Act (CEQA) because it is covered by the “common sense” rule expressed in section 15061(b)(3) of the State CEQA Guidelines that CEQA applies only to projects, which have the potential for causing a significant effect on the environment. The recommended amendments involve a series of minor text changes to streamline several administrative processes, clarify Code language, and better alignment with State law. None of the proposed amendments would directly result in any physical development, nor will the proposed amendments result in any change to the built-out environment as envisioned by the General Plan or Development Code.

Therefore, the proposed Development Code Amendments are not a “project” under Public Resources Code section 21065, and, in the alternative, are exempt from the California Environmental Quality Act (CEQA) under CEQA Guidelines section 15061(b)(3), the “common sense exemption,” where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.

Section 3. Based on the evidence presented to the City Council during the August 1, 2022 public hearing, including public testimony and written and oral staff reports, the City Council specifically finds as follows with respect to Development Code Amendment 2022-100:

1. The proposed Development Code amendment conforms with the goals, objectives and policies of the general plan, in that the proposed amendments would modify several sections of the Development Code with the intent to streamline certain administrative permit procedures, clarify standards of review for appeals, align the City’s Code with State law, provide clarifications to several other sections including the residential and commercial development standards. While several sections are included as part of the proposed amendment, none will result in any change to the built-out environment as envisions by the General Plan or Development Code. As such, the proposed amendment can be found in conformance with the general plan, and in particular, with Land Use Element Policies L1.2, L2.2, L3.3 and Community Design Element Goals CD1 and CD3.

2. The proposed Development Code amendment is necessary to implement the general plan and to provide for public safety convenience and/or general welfare, in that the proposed Development Code amendment addresses several inconsistencies with State legislation.

The amendment also includes opportunities to streamline minor permit processes, specifically that of home occupation permits, temporary use permits, and appeals. As such, the proposed amendment may be considered a step in furthering efforts to better implement the current general plan. In addition, the resulting streamlined processes could entice future development projects along the commercial corridor, which would be in alignment with goals and expectations of the general plan.

3. The proposed Development Code amendment conforms with the intent of the Development Code and is consistent with all other related provisions thereof, in that the proposed amendment conforms with the intent of the Development Code and consistent with all other related provisions. In fact, the proposed amendment incorporates several Community Design Element policies into the Development Code and ensures implementation of these policies.

4. The proposed Development Code amendment is reasonable and beneficial at this time, in that the proposed amendment cleans up several items that are outdated to better align with State law and current practice.

Section 4. Based on the findings and conclusions as set forth in Sections 1, 2, and 3, above, the City Council hereby finds the Application is exempt from CEQA and adopts an ordinance approving Development Code Amendment 2022-100, as provided in Exhibit 1.

Section 5. The City Clerk shall certify to the adoption of this ordinance. Not later than fifteen (15) days following the passage of this ordinance, the ordinance, or summary thereof, along with the names of the City Council members voting for and against the ordinance, shall be published in three places in the City in lieu of publication unless publication is requested by the City Council or otherwise required by law.

PASSED, APPROVED AND ADOPTED this ___ day of August, 2022.

Rick Herrick, Mayor
ATTEST:

Erica Stephenson, City Clerk

STATE OF CALIFORNIA )

COUNTY OF SAN BERNARDINO )

CITY OF BIG BEAR LAKE )
I, Erica Stephenson, City Clerk of the City of Big Bear Lake, California, do hereby certify that the whole number of the City Council of the said City is five; that the foregoing Ordinance No. 2022-xxx is a full, true and correct original of Ordinance No. 2022-xxx of the City of Big Bear Lake entitled:

ORDINANCE APPROVING DEVELOPMENT CODE AMENDMENT 2022-
100 INCLUDING CHANGES TO CHAPTERS 17.02 (DEFINITIONS), 17.03 (GENERAL PROCEDURES), 17.25 (RESIDENTIAL ZONES), AND 17.35 (COMMERCIAL AND PUBLIC ZONES) TO IMPELMENT PROCESS

IMPROVEMENTS, CLARIFY DEVELOPMENT STANDARDS, AND

ALIGN THE MUNICIPAL CODE WITH STATE LAW
was duly passed and adopted by the said City Council, approved and signed by the Mayor of said City, and attested by the Clerk of Said City, all at a regular meeting of the said Council on the ___ day of August 2022, and that the same was so passed and adopted by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

I do hereby further certify that pursuant to the provisions of Section 36933 of the Government Code of the State of California that the foregoing Ordinance No. 2022-xxx was duly and regularly published according to law and the order of the City Council and circulated within the said City.

Erica Stephenson, City Clerk
EXHIBIT 1

REDLINE VERSION
Proposed Text Changes to Development Code Amendment 2022-100 Proposed changes for the affected section of the General Plan is shown in underline for added language and strikethrough for deleted text, below:

DEVELOPMENT CODE (MUNICIPAL CODE, TITLE 17)
Chapter 17.02 – DEFINITIONS

17.02.030 – Definitions.

The following terms used in this Development Code shall have the meaning set forth below:

Day care, family shall mean a Family day care home single-family residential facility that regularly provides care, protection, and supervision for, occupied by the operator, which is licensed and utilized for the purpose of proving daily non-medical care and supervision to 14 or fewer children less than 18 years of age, in the provider’s own home, for periods of less than 24 hours per day, while the parents or guardians are away, and is either a large family daycare home or a small family daycare home. A small family day care home or large family day care home includes a detached single-family dwelling, a townhouse, a dwelling unit within a dwelling, or a dwelling unit within a covered multifamily dwelling in which the underlying zoning allows for residential uses. A small family day care home or large family day care home is where the daycare provider resides, and includes a dwelling or a dwelling unit that is rented, leased, or owned.

Day care, large family shall mean a Family Large Family day care home facility that provides care, protection, and supervision for in which 7 to 12 14 children, inclusive, including children under 10 years of age who reside at the home, as set forth in Section 1597.465 of the California Health and Safety Code and as defined in such regulations under the age of 18 are cared for, including children under 10 years of age who reside in the home, plus up to 2 additional school age children, in accordance with State Department of Social Services regulations.

Day care, small family shall mean a Family Small Family day care home facility in which one to 6 that provides care, protection, and supervision for eight or fewer children, including children under 10 years of age who reside at the home, as set forth in Section 1597.44 of the California Health and Safety Code and as defined in such regulations under the age of 18 are cared for, including children under 10 years of age who reside in the home, plus up to 2 additional school age children, in accordance with State Department of Social Services regulations.

Chapter 17.03 – GENERAL PROCEDURES

17.03.030 – Notification procedures.

C. Notification of administrative actions

1. The City Planner shall provide mailed notice to contiguous property owners and any other owners of property which, in his/her determination, have the potential to be affected by the proposed project, no later than 10 days prior the decision date, except as otherwise Any administrative actions that necessitate notifications shall adhere to the specifics for that particular action, as stated in this chapter.

2. Notice shall include information about the proposal, the location of project site, the environmental review process and proposed findings pursuant to the California Environmental Quality Act, the date of the proposed decision, and contact information for the reviewing authority.

17.03.050 – Time limitations for application acceptance.

A. The following time limits are established for accepting land use applications as complete, unless otherwise required or authorized by applicable law.

2. Within 30 calendar days after receipt of an application, the Planning Division shall review the application and determine if it is complete for processing and shall notify the applicant of such determination in writing. Said notice shall also indicate the information and/or plans necessary to make the application complete. Upon receipt of the required items by the Planning Division, the information shall be reviewed for completeness and a determination of completion shall be made within 30 calendar days and such determination shall be transmitted to the applicant in writing. If the written determination is not made within that 30-day period, the application shall be deemed complete for purposes of this chapter.

3. Incomplete actions. In the event an initial application for which requested information to complete the application has not been received within ninety (90) days, the application shall automatically be deemed abandoned and no further action on the application may be conducted the time frame specified in paragraph A.2 of this section, written notice shall be provided to the applicant specifying those portions of the application that are incomplete. Said notice shall also indicate the information and/or plans necessary to make the application complete. Upon receipt of the required items by the Planning Division, the information shall be reviewed for completeness and a determination of completion shall be made within 30 calendar days and such determination shall be transmitted to the applicant in writing. If the written determination is not made within that 30-day period, the application shall be deemed complete for purposes of this chapter.

17.03.060 – Appeal of determination of incomplete application.

A. If, after resubmittal of information required pursuant to Section 17.03.050.A.3, the Planning Division determines that the application remains incomplete after resubmittal and provides a written determination to the applicant pursuant to Section 17.03.050.A.3, the applicant shall have the right to appeal the determination of incompleteness to the Planning Commission pursuant to Section 17.03.110 and as provided in this section.

B. There shall be a final written determination by the Planning Commission on the appeal not later than 60 calendar days after receipt of the applicant’s written appeal. If the final written determination on the appeal is not made within that 60-day period, the application with the submitted materials shall be deemed complete. The Planning Commission shall be the final reviewing authority on an appeal of a determination of application incompleteness.

C. The City Planner or his/her designee, or the Planning Commission, and the applicant may mutually agree to an extension of these time limits, as permitted by state law.

D. After a final determination that an application is incomplete, the City shall return the application materials to the applicant and shall refund any unexpended portion of the application fee, pursuant to the City’s fee resolution.

17.03.110 – Appeal procedures.

E. Notwithstanding the provisions of Section 17.03.110.D regarding appeal procedures for any City Council member, the City Council may vote at a duly noticed public regularly scheduled meeting to review a decision by the Planning Commission, within 10 calendar days of such decision. The application decision requested for City Council review shall be agendized at the next regularly scheduled meeting and shall not be subject to payment of a fee.

F. The appeal hearing shall be a hearing de novo. Upon hearing the appeal, the appeal body shall consider the record and such additional evidence as may be offered, and may affirm, reverse or modify, in whole or in part, the order, requirements, decision, determination, interpretation or ruling being appealed, or may make or substitute such other or additional decision or determination as it may find warranted under the provisions of the Development Code, or other applicable adopted City code, resolution or standards. The appeal body is subject to all of the criteria and findings requirements imposed upon the original decision maker, including the requirements for environmental review. The appropriate authority shall forthwith transmit a copy of the decision to the applicant, appellant and, in the case of a City Council decision, to the Planning Commission.

17.03.160 – Plot plan review.

A. General provisions

3. The following uses have been determined to be exempt from plot plan review requirements:
e. Expansions to multiple residential, commercial, or industrial buildings or structures of 25 percent or less of the total floor area, or no more than 500 5,000 square feet, whichever is less, where the proposed expansion will not result in a change in the land use or intensity or cause increased impacts on existing infrastructure and public services, as determined by the City Planner. A new plot plan review or major modification shall be required where an addition, which combined with any addition approved within 24 months of the filing of the application, exceeds 25 percent of the total floor area or 500 5,000 square feet, whichever is less.

4. Where permitted by the zone and unless otherwise specified, the following uses shall require approval of a plot plan review.
c. Additions to pre-existing multiple residential, commercial, or industrial structures or uses which have been legally established under the provisions of an approved plot plan review and which are permitted as such in the applicable zone district, which will result in an increase in total floor area of 25 percent or greater, or expansions of 500 5,000 square feet or greater.

17.03.250 – Minor modifications to approved plans and existing developments.

D. Applicability. The minor modification procedure may be utilized for the following types of revisions to previously approved development projects:

2. To allow minor changes to approved building footprint(s) within the buildable area of a project site, which do not enlarge the total building area by more than 25 percent of the total floor area, or no more than 5,000 500 square feet, whichever is less, provided that such addition does not exceed allowable lot coverage;

5. To allow the addition of minor accessory structures to an approved project, provided that such structure(s) will not increase the total building area by more than 25 percent, or no more than 5,000 500 square feet, whichever is less, provided that such addition does not exceed allowable lot coverage;

17.03.260 – Large family day care.

A. Purpose. The purpose of these provisions is to allow establishment of large family day care facilities within residential neighborhoods, in order to provide for quality care of the community's children in a home-like setting while ensuring that the surrounding neighborhood is not adversely impacted by the operation.

B. General provisions. A large family day care permit shall be required to establish a day care use in a single-family residence where between 7 and 12 children under the age of 18, plus up to 2 additional school age children as permitted by the State Department of Social Services, are cared for.

C. Application procedure

1. An application to establish a large family day care facility shall be filed with the Planning Division, along with a fee as established by the City Council.

2. The review procedure shall be administrative review, pursuant to Section 17.03.020.A of this Chapter, with notice provided pursuant to paragraph E of this section. The City Planner or his or her designee shall be the reviewing authority, except that if the applicant or other affected party requests a public hearing on the application, the City Planner may refer the application to the Planning Commission pursuant to Section

17.03.080.A of this Chapter.

D. Requirements for establishment and operation of a large family day care facility. The approval to establish and operate a large family day care facility shall be based upon the applicant's adherence to all of the following requirements:

1. The operator of the facility must reside in the dwelling unit in which the facility is operated;

2. The facility may only be operated within a detached single family dwelling unit having sufficient indoor and outdoor area to meet state and county requirements, including a fenced play area;

3. The operator must obtain and comply with all applicable approvals of other agencies, including state licensing and building, fire and health codes;

4. The boundary of a parcel or lot containing a day care center in any structure shall be separated from the boundary of any other parcel or lot containing a day care center by not less than 300 feet;

5. No more than 14 children may be supervised at the day care facility at any given time, including children who reside at the home;

6. Large family day care facilities may be approved for day care use only and shall not be used as a boarding facility without issuance of required land use approvals.

7. In conformance with sign provisions pertaining to all single-family residences in the City, no signs advertising the day care service shall be allowed, either on or off of the premises;

8. Large family day care permits are valid only for the person(s) and residence approved by the City and are nontransferable;

9. The exterior appearance of the dwelling shall conform to General Plan policies and standards applicable to all single-family residential uses and structures in the City;

10. Adequate area shall be available for a drop-off and pick-up zone for parents, so as to avoid any adverse traffic or parking impacts to the residential neighborhood;

11. Any employees coming to the residence to assist in the day care operation shall be provided with an on-site parking space;

12. If the day care use is to be conducted in a rental unit, a written statement from the property owner giving his or her permission for operation of the use on the premises shall be provided to the City;

13. The operator of a large family day care facility shall obtain and maintain a current business license from the City;

14. The site must be landscaped in a manner consistent with General Plan policies and Development Code standards pertaining to all single-family residential uses; and

15. Lot size, building size, setbacks and lot coverage shall conform to those applicable to the zone district for all single-family residences in the City.

E. Determination by the approval authority. In evaluating an application for a large family day care permit, the City Planner shall determine that the request satisfies the requirements contained in paragraph D of this section and, if granted, is consistent with the General Plan and all applicable codes and ordinances. Prior to rendering a decision, the City Planner shall provide written notice to owners of property contiguous to the property which is the subject of the request to establish a large family day care facility. Such notices shall contain a description and location of the request and the anticipated decision date and shall allow 10 calendar days to submit comments to the City. Upon the passage of 10 calendar days, the City Planner may render a decision. The decision to approve or deny an application for a large-family day care facility may be appealed by the applicant or other affected person, pursuant to Section 17.03.110 of this chapter.

17.03.270 – Home occupation permit.

C. Application procedure.

2. The review procedure shall be administrative review, pursuant to Section 17.03.020.A. of this chapter, with notice provided pursuant to paragraph F of this section. The City Planner or designee shall be the reviewing authority, except that is the applicant of other affected party requests a public hearing on the application however, the City Planner may refer the application to the Planning Commission pursuant to Section

17.03.080.A. of this chapter.

D. Mandatory conditions of operation.

12. The home occupation shall not affect nor reduce the parking spaces required by the Zoning Ordinance Development Code.

F. Determination by the approval authority. In evaluating a request for a home occupation permit, the City Planner shall determine that the request will satisfy the applicant has agreed to comply with all applicable requirements as contained in paragraphs D and E of this section., and, if granted, will comply Based on compliance with applicable codes and ordinances. Prior to rendering a decision, the City Planner shall provide written notice to owners of properties contiguous to the parcel which is the subject of the home occupation permit request. Such notice shall contain a description and location of the request and the anticipated decision date and shall allow 10 calendar days to submit comments to the City.

Upon the passage of 10 calendar days, the City Planner may render a decision, and shall clearly state, in writing, any conditions of approval for the project or the reasons for denial.

G. Periodic review by City Planner. The City Planner may periodically review any home occupation permit to ensure that it is being operated in a manner consistent with the conditions of operation and in a manner, which is not detrimental to the public health, safety, or welfare, or materially injurious to properties in the vicinity. If, after review, the City Planner deems that there is sufficient evidence to warrant a full examination, then a public hearing date shall may be set.

17.03.290 – Temporary use permits.

F. Notice procedure. Prior to rendering a decision the City Planner shall provide a written notice to contiguous property owners of the requested temporary use. Such notice shall contain a description of the type and location of the requested use and the anticipated decision and shall allow 10 days to submit comments to the city prior to the decision Approval of a temporary use permit shall be by administrative review without public notice.

17.03.320 – Nonconforming uses and structures.

A. General provisions.

2. An existing use shall be deemed a “legal nonconforming use” if, prior to its establishment, the required permits were obtained or if the use was in compliance with codes and ordinances in existence at the time of establishment. Structures and uses not having acquired the permits required at the time of construction or establishment shall be considered “illegal” and shall be defined merely as “nonconforming”, except as otherwise provided in this section.

Chapter 17.25 – RESIDENTIAL ZONES

17.25.040 ACCESSORY USES PERMITTED IN RESIDENTIAL ZONES Table 17.25.040.A

ACCESSORY USES AND STRUCTURES PERMITTED IN RESIDENTIAL ZONES Zone District R-L R-1 R-3
Accessory Commercial Uses:

Day care, large family LFD
P
LFD
P
LFD
P
LFD = permitted subject to approval of a Large family Day Care, pursuant to Section 17.03.260.

17.25.050 GENERAL STANDARDS FOR RESIDENTIAL DEVELOPMENT A. The development standards set forth in Table 17.25.050.A are intended to provide minimum standards for residential development, unless otherwise noted. These standards should be used in conjunction with the special development standards contained in this chapter applicable to specific uses as indicated on said Table.

Table 17.25.050.A

GENERAL DEVELOPMENT STANDARDS IN RESIDENTIAL ZONES
Zone District R-L R-1 R-3
Setbacks:

Front yard and street side yard
setback from property line
 Adjacent to streets with 40
or more feet of right of
way
 Adjacent to streets with
less than 40 feet of right of
way
25 ft.
30 ft.
15 ft.
20 ft.
15 ft.
20 ft.

Other:

Maximum Building coverage (as % of
total lot area) (provided that all other
requirements, including open space,
are provided on the site)
30% 40% 60%
Maximum Building height
 Principal dwellings
 Detached accessory
structures (not ADU’s)
- Flat roof
- Sloped roof
40 ft.
14 ft.
30 ft.
40 ft.

14.ft.
30 ft.
40 ft.
14 ft.
30 ft.

17.25.090 RESIDENTIAL BUILDING DESIGN STANDARDS
B. Multiple family residential design standards

7. Dead-end driveways of over 100 feet in length should be avoided shall not be allowed in multi-family projects.

12. Trash collection areas shall be covered and dispersed throughout the project, and must be screened, where feasible, from view of the street through placement of the primary building, landscaping, or other appropriate means. Trash collection areas not located within a building shall be paved and located a minimum of 5 feet from the private street or drive aisle. Trash enclosures shall be constructed in accordance with City standards, and the location shall be approved by the disposal provider. Trash enclosures shall be constructed of masonry block tall enough to screen the containers, architecturally enhanced to match the primary building, and fitted with solid metal or wood gates attached to steel poles embedded in concrete, and be located at least 5 feet from any structure, and outside of the front and street side setback areas. One trash area shall be provided for the first 10 dwelling units or fraction thereof, and 1 for each additional 10 units or fraction thereof.

13. Adequate internal and external lighting within all All publicly accessible areas of the development, including entries, walkways, active outdoor/landscape areas, parking areas, and refuse enclosures shall be provided include dusk to dawn lighting for security purposes. The lighting shall be energy efficient, stationary, recessed or hooded, directed downward and shall not extend onto away from adjacent properties and or public rights-of-way., and of an The lighting intensity shall be compatible with the residential neighborhood.

Lighting standards shall be of decorative design, complementary to the design of the main structures.

17. Where visible, drainage Drainage downspouts, roof vents, and other equipment shall be painted to match the surface to which they are attached.

18. Roof-mounted mechanical equipment shall be screened by architectural means, such as incorporation into the building design. Ground-mounted Utility utility equipment, mechanical equipment, and associated service areas shall be hidden or screened through building placement, walls, fences, berms or landscaping, as approved by the reviewing authority.

20. Multiple residential structures shall be designed so as to break up massing of long walls or roof planes by offsets, shadow lines, façade treatment, and other similar means. Specifically, each elevation greater than 60 feet in length must provide wall variations (projection or recess) of at least 10 feet in depth so that no more than 75% of the façade appears unbroken. In addition, buildings with more than one story shall provide massing breaks at least every 60 linear feet along any elevation by stepping back at least 30% of the upper floors by a minimum of 10 feet. In situations where multi-story buildings are proposed adjacent to an existing single-story structure, the building must be stepped back so that the portion adjacent to the single-story building is also single-story.

21. Architectural treatments shall be included on all sides of structures.

Specifically, exterior siding materials shall consist of at least two (2) of the following materials; natural wood (or wood-appearing material) in a horizontal or vertical application, natural or cultured stone, or decorative masonry.

Acrylic-based stucco (not more than 60% of any one wall surface) may be used only when combined with heavy timber, wood or natural stone and must incorporate heavy reveals and expansions joints. Stone materials may not be painted. Non-reflective metal may only be utilized in small quantities (not more than 25% of any wall surface) as an accent material. Blank elevations are not allowed and primary design elements and features incorporated on the primary façade must continue around all sides of the building. Architectural features are encouraged to provide visual interest, and may include but is not limited to bay windows, balconies, covered walkways, dormers, framing around doors and windows and other detailing. Architectural enhancements such as towers, cupolas, ornamental structures, roof projections and other similar extensions shall be designed as an integral component of the building architecture style and design, and must be in scale with the building and surrounding neighborhood or district. Such enhancements shall not be more than 25% higher than the primary structure.

22. All residential structures shall have eave and gable overhangs of not less than 12 inches measured from the vertical side of the structure. Roof materials shall be non-flammable; wood shake singles are prohibited. Roof pitch shall not be less than 2:12, and must be designed to consider ice damming, roof loading and snow accumulation against walls. In addition, treatment of rooflines shall be articulated at least every 45 feet along the street frontage with the inclusion of dormers, gables, or other architectural features to modify the roof form and/or height. Street-facing gables are encouraged, and design will not allow snow to shed onto any building entryways.

23. For purposes of meeting this section, use of various paint colors shall not be sufficient. All residential structures will incorporate colors of neutral or muted tones, which may be found in the natural setting, or in accordance with color guidelines approved by the Planning Commission. Specifically, earth-tones shall be incorporated, primarily focusing on natural shades of green, brown, and grey. At minimum, two natural colors shall be utilized, and not more than four on any building, including one primary base color. Primary building and trim colors must compliment the community’s natural setting, be harmonious to surrounding buildings, and shall not include any bright, brilliant, luminescent, or fluorescent hues.

24. Design of doors, windows, balconies and porches will enhance the building façade, align with the building architecture, provide maximum safety, and comfort in consideration of the mountain climate. Specifically, landscaping, architectural detailing and lighting (at minimum) will enhance doors and entryways for all residential structures, with further enhancements for the main or primary entries. Windows and doors shall be either recessed or trimmed.

When trimmed, the trim material shall not be less than 3½ inches in width by ¾ inches in depth, measured from the primary wall surface. When recessed, the primary building wall surface shall not be less than 3 inches in depth. Raw and unfinished metal windows will not be allowed. Reflective glass and building surfaces shall not be allowed.

25. All residential structures shall be placed on permanent foundations in accordance with Building and Safety Department requirements.

26. Buildings constructed on hillsides shall be stepped to follow the natural terrain, shall not substantially alter the natural slope of the site, and site design shall not change natural drainage patterns, and alignment of roads and driveways shall follow site contours to minimize cuts and fills.
2127. Carports, garages, trash enclosures, and other accessory structures shall be designed to reflect the architecture and constructed using the same design theme and materials as of the primary buildings with respect to style, colors and materials.
2228. Individual garages with parking aprons of less than 20 feet in length shall have automatic garage door openers and sectional roll-up doors; in no case shall the drive approach in front of individual garages be less than 5 feet in length. 2329. Bicycle racks shall be provided in secure locations throughout the project, with the number, type, design, and location to be approved by the reviewing authority.
2430. Sign requirements are as follows:
a. Identification signage for multiple family housing developments may be permitted in accordance with Section 17.12.090 (Signs). b. Adequate directional signs shall be provided to direct traffic to the manager’s unit, parking areas, recreation areas, unit numbers, entrances and exits, in accordance with Section 17.12.050.C (Signs).

17.35.030 PRINCIPAL USES PERMITTED IN COMMERCIAL AND PUBLIC ZONES
Table 17.35.030.A

PRINCIPAL USES PERMITTED IN COMMERCIAL AND PUBLIC ZONES

USES BY ZONE

DISTRICT
C-1 C-2 C-3 C-4 C-5 P
Communication, transportation, and utility and public services and facilities, including the following and similar uses:

Bus depot storage yard,
maintenance, parking
facilities, and
administration facilities
-- --
CUP
-- CUP CUP CUP
ATTACHMENT 2
Community Development Department
39707 Big Bear Boulevard, PO Box 10000, Big Bear Lake, CA 92315 • (909) 866-5831 • www.citybigbearlake.com DATE: July 6, 2022
TO: Planning Commission
FROM: Sue O’Strander, AICP, Community Development Director SUBJECT: Development Code Amendment 2022-100
LOCATION: Citywide

RECOMMENDED ACTION(S)

1. Find that the proposed amendments are exempt from the California Environmental Quality Act (CEQA) pursuant to section 15061(b)(3) of the CEQA Guidelines; and

2. Adopt a resolution recommending that the City Council approve Development Code Amendment 2022-100 to various sections of Title 17 of the Municipal Code, under 17.02 (Definitions), 17.03 (General Procedures), 17.25 (Residential Zones) and 17.35 (Commercial and Public Zones), including minor text changes to streamline several administrative processes, clarify development standards, and provide better alignment with State law, based on certain findings.

PROJECT DESCRIPTION
The City of Big Bear Lake has initiated the proposed amendments to allow for more efficient processing of applications for Home Occupation Permits, Temporary Use Permits, and Appeals. In addition, proposed changes include revised definitions to align family day care use with current State regulations, update and clarify multi-family residential objective design standards, and refine or correct some language in the residential and commercial development standards. Specifically, the proposed amendments are under Chapters 17.02 (Definitions),

17.03 (General Procedures), 17.25 (Residential Zones) and 17.35 (Commercial and Public Zones) of Title 17 of the Municipal Code. The amendments are minor and will not result in any change to the built-out environment as envisioned by the General Plan or Development Code.

BACKGROUND
From time to time, amendments to the Development Code are prepared in response to changes in State law, refinement and or changes to City processes, and clarifications to existing Code language. Those amendments that are minor and considered non-controversial are often bundled with other minor changes for efficient consideration by decision-makers.

While the Community Development Department work plan anticipates periodic minor Code Amendments, it has been quite some time since such amendments were last prepared. Due to other priorities and challenges (e.g. Housing Element certification, and staffing changes), the last comprehensive update to the Development Code was pursued in Fall/Winter 2020.

Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

Over the past 18 months, several recommended changes to the Development Code have been identified that would improve processing efficiency, better align Code sections with current State law, and provide language for improved comprehension on certain development standards. Each such recommendation is described in more detail in the following section.

PROPOSED AMENDMENTS
As there are several sections of the Development Code to consider, the amendments are presented in numerical order. Proposed changes for the affected sections of the Development Code are shown in underline for added language, and strikethrough for deleted text.

Chapter 17.02: DEFINITIONS
Section 17.02.030 - Definitions
The changes proposed below are necessary to comply with current State law pertaining to Family Day Care definitions. In September 2019, the Governor Newsom signed into law, the passing of SB234 (Skinner) pertaining to family day care homes. The legislation has been in effect since January 1, 2020. To ensure there is no misunderstanding or misinterpretation of the state’s definitions as it relates to family day care homes, staff recommends the following changes to incorporate the State definitions verbatim for the following terms:

17.02.030 – Definitions.

The following terms used in this Development Code shall have the meaning set forth below:

Day care, family shall mean a Family day care home single-family residential facility that regularly provides care, protection, and supervision for, occupied by the operator, which is licensed and utilized for the purpose of proving daily non-medical care and supervision to 14 or fewer children less than 18 years of age, in the provider’s own home, for periods of less than 24 hours per day, while the parents or guardians are away, and is either a large family daycare home or a small family daycare home. A small family day care home or large family day care home includes a detached single-family dwelling, a townhouse, a dwelling unit within a dwelling, or a dwelling unit within a covered multifamily dwelling in which the underlying zoning allows for residential uses. A small family day care home or large family day care home is where the daycare provider resides, and includes a dwelling or a dwelling unit that is rented, leased, or owned.

Day care, large family shall mean a Family Large Family day care home facility that provides care, protection, and supervision for in which 7 to 12 14 children, inclusive, including children under 10 years of age who reside at the home, as set forth in Section 1597.465 of the California Health and Safety Code and as defined in such regulations under the age of 18 are cared for, including children under 10 years of age who reside in the home, plus up to 2 additional school age children, in accordance with State Department of Social Services regulations.

Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

Day care, small family shall mean a Family Small Family day care home facility in which one to 6 that provides care, protection, and supervision for eight or fewer children, including children under 10 years of age who reside at the home, as set forth in Section 1597.44 of the California Health and Safety Code and as defined in such regulations under the age of 18 are cared for, including children under 10 years of age who reside in the home, plus up to 2 additional school age children, in accordance with State Department of Social Services regulations.

Chapter 17.03: GENERAL PROCEDURES
Section 17.03.030 – Notification Procedures
While some administrative processes currently require noticing in advance of approval, such notice period is not typical of Home Occupation Permits (HOP) or Temporary Use Permits (TUP). In the case of HOPs, there is a specific list of standards/requirements by which the applicant must adhere to, or else they are not qualified for approval of a home-based business.

Due to the nature of such uses, the 10-day noticing is excessive and unnecessary. For TUPs, the uses are always temporary and oftentimes proposed at the most logical site. TUPs are issued only for specified temporary uses and for a limited amount of time. Such uses are typically related to seasonal activities (e.g. pumpkin sales lot) or stockpiling/construction activities (e.g. construction or security office in conjunction with an active building permit).

Applicants do not anticipate the City’s noticing requirement as most other agencies issue these permits over-the-counter.

The changes proposed below acknowledge that there are still some administrative actions subject to a noticing period (e.g. Minor Deviations), so the language is not completely eliminated, but modified as follows:

17.03.030 – Notification procedures.

C. Notification of administrative actions

1. The City Planner shall provide mailed notice to contiguous property owners and any other owners of property which, in his/her determination, have the potential to be affected by the proposed project, no later than 10 days prior the decision date, except as otherwise Any administrative actions that necessitate notifications shall adhere to the specifics for that particular action, as stated in this chapter.

2. Notice shall include information about the proposal, the location of project site, the environmental review process and proposed findings pursuant to the California Environmental Quality Act, the date of the proposed decision, and contact information for the reviewing authority.

Section 17.03.050 – Time limitations for application acceptance The recommended changes below will improve the application intake/review process by establishing a goal of 90 days by which the City and applicant will achieve a “complete” Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

application for the development review process. Specifically, existing Development Code language describing the 30-day “completeness/incompleteness” notice is moved from section A.3 to A.2. Language is added to A.3 to clarify how applications that remain “incomplete” are now handled.

A 90-day timeframe is reasonable in that the development application checklist was revised last year to be much more comprehensive. Specifically, the previous one-page double-spaced checklist was expanded to seven pages (single-spaced) with specific examples/criteria. In addition, development applications without the requisite submittal items are no longer taken in.

This has greatly reduced staff time spent verifying application completeness, resulting in more time focusing on project analysis and processing applications more expeditiously. As such, the following amendments are recommended to ensure continued expeditious processing of land use entitlement applications:

17.03.050 – Time limitations for application acceptance.

A. The following time limits are established for accepting land use applications as complete, unless otherwise required or authorized by applicable law.

2. Within 30 calendar days after receipt of an application, the Planning Division shall review the application and determine if it is complete for processing and shall notify the applicant of such determination in writing. Said notice shall also indicate the information and/or plans necessary to make the application complete. Upon receipt of the required items by the Planning Division, the information shall be reviewed for completeness and a determination of completion shall be made within 30 calendar days and such determination shall be transmitted to the applicant in writing. If the written determination is not made within that 30-day period, the application shall be deemed complete for purposes of this chapter.

3. Incomplete actions. In the event an initial application for which requested information to complete the application has not been received within ninety (90) days, the application shall automatically be deemed abandoned and no further action on the application may be conducted the time frame specified in paragraph A.2 of this section, written notice shall be provided to the applicant specifying those portions of the application that are incomplete. Said notice shall also indicate the information and/or plans necessary to make the application complete. Upon receipt of the required items by the Planning Division, the information shall be reviewed for completeness and a determination of completion shall be made within 30 calendar days and such determination shall be transmitted to the applicant in writing. If the written determination is not made within that 30-day period, the application shall be deemed complete for purposes of this chapter.

Section 17.03.060 – Appeal of determination of incomplete application The recommended changes below removes an unnecessary and awkward process. While the intention of the original language is to provide a mechanism for the applicant to dispute staff’s determination of application incompleteness, this process puts the Planning Commission in a difficult position as referee. The State law is clear in that local agencies must create a checklist to identify necessary application submittal requirements. As mentioned above, the Development Review Application was significantly updated in May 2021. The updated list is Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

much more comprehensive, and includes detailed expectations and applicability of when certain items are needed (or not). This checklist has been in use for more than a year, and staff has seen a marked improvement in the quality and ‘completeness’ of the initial application submittals. Therefore, staff recommends removal of the following section:

17.03.060 – Appeal of determination of incomplete application.

A. If, after resubmittal of information required pursuant to Section 17.03.050.A.3, the Planning Division determines that the application remains incomplete after resubmittal and provides a written determination to the applicant pursuant to Section 17.03.050.A.3, the applicant shall have the right to appeal the determination of incompleteness to the Planning Commission pursuant to Section 17.03.110 and as provided in this section.

B. There shall be a final written determination by the Planning Commission on the appeal not later than 60 calendar days after receipt of the applicant’s written appeal. If the final written determination on the appeal is not made within that 60-day period, the application with the submitted materials shall be deemed complete. The Planning Commission shall be the final reviewing authority on an appeal of a determination of application incompleteness.

C. The City Planner or his/her designee, or the Planning Commission, and the applicant may mutually agree to an extension of these time limits, as permitted by state law.

D. After a final determination that an application is incomplete, the City shall return the application materials to the applicant and shall refund any unexpended portion of the application fee, pursuant to the City’s fee resolution.

Section 17.03.110 – Appeal procedures
Over the past year, there have been a couple appeals filed – both on Planning Commission decisions and City Planner (staff) decisions. In at least one case, the appeal process has been time consuming – involving a series of public records requests, delays and continuances over a period of four months. The City Attorney recommends clarification of the City’s standard of review to be ‘de novo’ meaning the appeal hearing body will consider the previous record and decision being contested, but that the decision on the appeal does not give deference to the prior decision. In other words, an appeal would be treated as a new hearing on the application.

Under the appeal section, staff is taking this opportunity to clean-up section E, as the term “duly noticed public meeting” is generally understood to be a public notice. However, based on the timeframe for this appeal option, there would be no opportunity for such public notice within the stated 10 calendar days. The current procedures would allow the City Council to vote on bringing forward an appeal, and this could occur at a regularly scheduled meeting within the stated timeframe. As such, the following text changes are recommended:

Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

17.03.110 – Appeal procedures.

E. Notwithstanding the provisions of Section 17.03.110.D regarding appeal procedures for any City Council member, the City Council may vote at a duly noticed public regularly scheduled meeting to review a decision by the Planning Commission, within 10 calendar days of such decision. The application decision requested for City Council review shall be agendized at the next regularly scheduled meeting and shall not be subject to payment of a fee.

F. The appeal hearing shall be a hearing de novo. Upon hearing the appeal, the appeal body shall consider the record and such additional evidence as may be offered, and may affirm, reverse or modify, in whole or in part, the order, requirements, decision, determination, interpretation or ruling being appealed, or may make or substitute such other or additional decision or determination as it may find warranted under the provisions of the Development Code, or other applicable adopted City code, resolution or standards. The appeal body is subject to all of the criteria and findings requirements imposed upon the original decision maker, including the requirements for environmental review. The appropriate authority shall forthwith transmit a copy of the decision to the applicant, appellant and, in the case of a City Council decision, to the Planning Commission.

Section 17.03.160 – Plot plan review
In an effort to support opportunities to promote new or ongoing investment in the community, staff has reviewed existing processes and identified some that may be a hinderance rather than advancing or promoting economic vitality. Currently, changes in building footprint exceeding 500 square feet or 25% of the existing floor area (whichever is less) automatically requires a public hearing process before the Planning Commission. While the 500 square foot threshold may be reasonable for a residential use, it is extremely limiting for commercial and industrial properties.

Improvements up to 5,000 square feet align with State law triggers for more significant onsite improvements and stormwater facilities. These types of onsite facilities would likely necessitate a plot plan review, so 5,000 square feet seems a reasonable threshold for minor modifications, and would allow some additional flexibility. The recommended amendment would benefit both residential and commercial sites:

17.03.160 – Plot plan review.

A. General provisions

3. The following uses have been determined to be exempt from plot plan review requirements:
e. Expansions to multiple residential, commercial, or industrial buildings or structures of 25 percent or less of the total floor area, or no more than 500 5,000 square feet, whichever is less, where the proposed expansion will not result in a change in the land use or intensity or cause increased impacts on existing infrastructure and public services, as determined by the City Planner. A new plot plan review or major modification shall be Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

required where an addition, which combined with any addition approved within 24 months of the filing of the application, exceeds 25 percent of the total floor area or 500 5,000 square feet, whichever is less.

4. Where permitted by the zone and unless otherwise specified, the following uses shall require approval of a plot plan review.
c. Additions to pre-existing multiple residential, commercial, or industrial structures or uses which have been legally established under the provisions of an approved plot plan review and which are permitted as such in the applicable zone district, which will result in an increase in total floor area of 25 percent or greater, or expansions of 500 5,000 square feet or greater.

Section 17.03.250 – Minor modifications to approved plans and existing developments The changes below align with the changes for Section 17.03.160 – Plot plan review:

17.03.250 – Minor modifications to approved plans and existing developments.

D. Applicability. The minor modification procedure may be utilized for the following types of revisions to previously approved development projects:

2. To allow minor changes to approved building footprint(s) within the buildable area of a project site, which do not enlarge the total building area by more than 25 percent of the total floor area, or no more than 5,000 500 square feet, whichever is less, provided that such addition does not exceed allowable lot coverage;

5. To allow the addition of minor accessory structures to an approved project, provided that such structure(s) will not increase the total building area by more than 25 percent, or no more than 5,000 500 square feet, whichever is less, provided that such addition does not exceed allowable lot coverage;
Section 17.03.260 – Large family day care
As stated previously, State legislation changed in 2020, whereby a local agency may no longer require a permit for large family day care uses. The changes below align with the changes in State legislation, as described above:

17.03.260 – Large family day care.

A. Purpose. The purpose of these provisions is to allow establishment of large family day care facilities within residential neighborhoods, in order to provide for quality care of the community's children in a home-like setting while ensuring that the surrounding neighborhood is not adversely impacted by the operation.

Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

B. General provisions. A large family day care permit shall be required to establish a day care use in a single-family residence where between 7 and 12 children under the age of 18, plus up to 2 additional school age children as permitted by the State Department of Social Services, are cared for.

C. Application procedure

1. An application to establish a large family day care facility shall be filed with the Planning Division, along with a fee as established by the City Council.

2. The review procedure shall be administrative review, pursuant to Section 17.03.020.A of this Chapter, with notice provided pursuant to paragraph E of this section. The City Planner or his or her designee shall be the reviewing authority, except that if the applicant or other affected party requests a public hearing on the application, the City Planner may refer the application to the Planning Commission pursuant to Section 17.03.080.A of this Chapter.

D. Requirements for establishment and operation of a large family day care facility. The approval to establish and operate a large family day care facility shall be based upon the applicant's adherence to all of the following requirements:

1. The operator of the facility must reside in the dwelling unit in which the facility is operated;

2. The facility may only be operated within a detached single family dwelling unit having sufficient indoor and outdoor area to meet state and county requirements, including a fenced play area;

3. The operator must obtain and comply with all applicable approvals of other agencies, including state licensing and building, fire and health codes;

4. The boundary of a parcel or lot containing a day care center in any structure shall be separated from the boundary of any other parcel or lot containing a day care center by not less than 300 feet;

5. No more than 14 children may be supervised at the day care facility at any given time, including children who reside at the home;

6. Large family day care facilities may be approved for day care use only and shall not be used as a boarding facility without issuance of required land use approvals.

7. In conformance with sign provisions pertaining to all single-family residences in the City, no signs advertising the day care service shall be allowed, either on or off of the premises;

8. Large family day care permits are valid only for the person(s) and residence approved by the City and are nontransferable;

9. The exterior appearance of the dwelling shall conform to General Plan policies and standards applicable to all single-family residential uses and structures in the City; Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

10. Adequate area shall be available for a drop-off and pick-up zone for parents, so as to avoid any adverse traffic or parking impacts to the residential neighborhood;

11. Any employees coming to the residence to assist in the day care operation shall be provided with an on-site parking space;

12. If the day care use is to be conducted in a rental unit, a written statement from the property owner giving his or her permission for operation of the use on the premises shall be provided to the City;

13. The operator of a large family day care facility shall obtain and maintain a current business license from the City;

14. The site must be landscaped in a manner consistent with General Plan policies and Development Code standards pertaining to all single-family residential uses; and

15. Lot size, building size, setbacks and lot coverage shall conform to those applicable to the zone district for all single-family residences in the City.

E. Determination by the approval authority. In evaluating an application for a large family day care permit, the City Planner shall determine that the request satisfies the requirements contained in paragraph D of this section and, if granted, is consistent with the General Plan and all applicable codes and ordinances. Prior to rendering a decision, the City Planner shall provide written notice to owners of property contiguous to the property which is the subject of the request to establish a large family day care facility. Such notices shall contain a description and location of the request and the anticipated decision date and shall allow 10 calendar days to submit comments to the City. Upon the passage of 10 calendar days, the City Planner may render a decision. The decision to approve or deny an application for a large-family day care facility may be appealed by the applicant or other affected person, pursuant to Section 17.03.110 of this chapter.

Section 17.03.270 – Home occupation permit
As previously discussed, there is opportunity to greatly streamline the Home Occupation Permit process by eliminating a 10-day noticing period. While reviewing necessary changes to this section, there were additional opportunities to clean up this section. The recommended clarifications to this section include:
• C.2 – removes 10 day notification requirement
• D.12 – corrects reference from Zoning Ordinance to Development Code • F – The HOP application form requires the applicant to certify their understanding and agreement to abide by the HOP regulations
• G – With regard to any follow-up and compliance action resulting from a complaint, staff’s preferred approach is to educate and resolve issues rather than punitive. As currently written, there is no such opportunity to correct the matter cooperatively. Therefore, a change from “shall” to “may” is recommended.

The proposed amendment language to this section includes the following:

Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

17.03.270 – Home occupation permit.

C. Application procedure.

2. The review procedure shall be administrative review, pursuant to Section 17.03.020.A. of this chapter, with notice provided pursuant to paragraph F of this section. The City Planner or designee shall be the reviewing authority, except that is the applicant of other affected party requests a public hearing on the application however, the City Planner may refer the application to the Planning Commission pursuant to Section 17.03.080.A. of this chapter.

D. Mandatory conditions of operation.

12. The home occupation shall not affect nor reduce the parking spaces required by the Zoning Ordinance Development Code.

F. Determination by the approval authority. In evaluating a request for a home occupation permit, the City Planner shall determine that the request will satisfy the applicant has agreed to comply with all applicable requirements as contained in paragraphs D and E of this section., and, if granted, will comply Based on compliance with applicable codes and ordinances. Prior to rendering a decision, the City Planner shall provide written notice to owners of properties contiguous to the parcel which is the subject of the home occupation permit request. Such notice shall contain a description and location of the request and the anticipated decision date and shall allow 10 calendar days to submit comments to the City. Upon the passage of 10 calendar days, the City Planner may render a decision, and shall clearly state, in writing, any conditions of approval for the project or the reasons for denial.

G. Periodic review by City Planner. The City Planner may periodically review any home occupation permit to ensure that it is being operated in a manner consistent with the conditions of operation and in a manner, which is not detrimental to the public health, safety, or welfare, or materially injurious to properties in the vicinity. If, after review, the City Planner deems that there is sufficient evidence to warrant a full examination, then a public hearing date shall may be set.

Section 17.03.290 – Temporary use permit
As previously discussed, there is opportunity to greatly streamline the Temporary Use Permit process by eliminating a 10-day noticing period. The proposed amendment to this section include:

17.03.290 – Temporary use permits.

F. Notice procedure. Prior to rendering a decision the City Planner shall provide a written notice to contiguous property owners of the requested temporary use. Such notice shall contain a description of the type and location of the requested use and the anticipated decision and shall allow 10 days to submit comments to the city prior to the decision Approval of a temporary use permit shall be by administrative review without public notice Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

Section 17.03.320 – Nonconforming uses and structures
Oftentimes, the term “nonconforming” is used with “legal” or “illegal” in front of it. In practice, the term “nonconforming” always refers to those that are “legal nonconforming”. If a use or structure is not nonconforming, then it is illegal and such uses have no protections under this section. Therefore, the proposed amendment removes some confusing language, as follows:

17.03.320 – Nonconforming uses and structures.

A. General provisions.

2. An existing use shall be deemed a “legal nonconforming use” if, prior to its establishment, the required permits were obtained or if the use was in compliance with codes and ordinances in existence at the time of establishment. Structures and uses not having acquired the permits required at the time of construction or establishment shall be considered “illegal” and shall be defined merely as “nonconforming”, except as otherwise provided in this section.

Chapter 17.25: RESIDENTIAL ZONES
Section 17.25.040 – Accessory uses permitted in residential zones As stated previously, State legislation changed in 2020, whereby a local agency may no longer require a permit for large family day care uses. Such uses are now permitted by right in residential zone districts. In alignment with previous changes, the accessory use table below is recommended with the following changes:

17.25.040 ACCESSORY USES PERMITTED IN RESIDENTIAL ZONES Table 17.25.040.A

ACCESSORY USES AND STRUCTURES PERMITTED IN RESIDENTIAL ZONES Zone District R-L R-1 R-3
Accessory Commercial Uses:

Day care, large family LFD
P
LFD
P
LFD
P
LFD = permitted subject to approval of a Large family Day Care, pursuant to Section

17.03.260.

Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

Section 17.25.050 – General standards for residential development The changes proposed below provides intended clarification to development standards with regard to building coverage and building height. Specifically, these standards are intended as maximums, not minimums. In addition, reference to ‘side yard’ when considering street setbacks has caused confusion in the past, so recommended changes are also proposed to be more clear, as follows:

17.25.050 GENERAL STANDARDS FOR RESIDENTIAL DEVELOPMENT A. The development standards set forth in Table 17.25.050.A are intended to provide minimum standards for residential development, unless otherwise noted. These standards should be used in conjunction with the special development standards contained in this chapter applicable to specific uses as indicated on said Table.

Table 17.25.050.A

GENERAL DEVELOPMENT STANDARDS IN RESIDENTIAL ZONES
Zone District R-L R-1 R-3
Setbacks:

Front yard and street side yard
setback from property line
▪ Adjacent to streets with 40
or more feet of right of
way
▪ Adjacent to streets with
less than 40 feet of right of
way
25 ft.
30 ft.
15 ft.
20 ft.
15 ft.
20 ft.

Other:

Maximum Building coverage (as % of
total lot area) (provided that all other
requirements, including open space,
are provided on the site)
30% 40% 60%
Maximum Building height
▪ Principal dwellings
▪ Detached accessory
structures (not ADU’s)
- Flat roof
- Sloped roof
40 ft.
14 ft.
30 ft.
40 ft.

14.ft.
30 ft.
40 ft.
14 ft.
30 ft.

Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

Section 17.25.090 – Residential building standards
In 2017, SB35 was signed into law by then-Governor Jerry Brown and became effective January 1, 2018. This legislations applies to cities that have not met their Regional Housing Need Allocation (RHNA) goal for construction of housing for households below 80% area median income (AMI). Under this law, agencies must streamline the approval of certain housing projects through a ministerial approval process (meaning without analysis under the California Environmental Quality Act, CEQA, and without a discretionary entitlement or public hearing process). This was a good opportunity to update and refine the City’s existing objective design standards.

The Planning staff consistently refers to policies in the Community Design Element of the General Plan and relies on these details for commercial and residential standards. Note that this is an ongoing process and continued evolution of these standards can be anticipated. For this round, the intention is to capture several General Plan standards into the Development Code. The amendment proposed below do not create any new standards, but rather incorporates those that are found elsewhere in the Development Code and/or the Community Design Element of the General Plan. The recommended clarifications to this section include:
• B.7 – Clarifying language to remove ambiguity.
• B.12 – Specifies criteria supporting Community Design Policy CD 3.7, trash enclosures. • B.13 – Includes clarifications for security and lighting details in alignment with CPTED (crime prevention through environmental design) principals. These clarifications also support Community Design Policy CD 3.8, relating to “site lighting”. • B-17 – Clarifying language to remove ambiguity.
• B.18 – Specifies criteria supporting Policy CD 3.7, screening of mechanical equipment. • B.20 - Specifies criteria supporting Policy CD 3.2, orientation, shape, and massing. • B.21 - Specifies criteria supporting Policy CD 3.3, building materials. • B.22 - Specifies criteria supporting Policy CD 3.4, roof design and materials. • B.23 - Specifies criteria supporting Policy CD 3.5, building colors. • B.24 - Specifies criteria supporting Policy CD 3.6, doors, windows, balconies, porches. • B.25 - Incorporates existing residential standard for a permanent foundation. • B.26 - Specifies criteria supporting Policy CD 1.2, hillside areas. • B.27 - Specifies criteria supporting Policy CD 3.5, building colors. • B.29 – Clarifying language for bike rack considerations.

The proposed amendment language to this section includes the following:

17.25.090 RESIDENTIAL BUILDING DESIGN STANDARDS
B. Multiple family residential design standards

7. Dead-end driveways of over 100 feet in length should be avoided shall not be allowed in multi-family projects.

12. Trash collection areas shall be covered and dispersed throughout the project, and must be screened from view of the street through placement of the primary building, Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

landscaping, or other appropriate means. Trash collection areas not located within a building shall be paved and located a minimum of 5 feet from the private street or drive aisle. Trash enclosures shall be constructed in accordance with City standards, and the location shall be approved by the disposal provider. Trash enclosures shall be constructed of masonry block tall enough to screen the containers, architecturally enhanced to match the primary building, and fitted with solid metal or wood gates attached to steel poles embedded in concrete, and be located at least 5 feet from any structure, and outside of the front and street side setback areas. One trash area shall be provided for the first 10 dwelling units or fraction thereof, and 1 for each additional 10 units or fraction thereof.

13. Adequate internal and external lighting within all All publicly accessible areas of the development, including entries, walkways, active outdoor/landscape areas, parking areas, and refuse enclosures shall be provided include dusk to dawn lighting for security purposes. The lighting shall be energy efficient, stationary, recessed or hooded, directed downward and shall not extend onto away from adjacent properties and or public rights-of-way., and of an The lighting intensity shall be compatible with the residential neighborhood. Lighting standards shall be of decorative design, complementary to the design of the main structures.

17. Where visible, drainage Drainage downspouts, roof vents, and other equipment shall be painted to match the surface to which they are attached.

18. Roof-mounted mechanical and communication equipment shall be screened by architectural means, such as incorporation into the building design. Ground-mounted Utility utility equipment, mechanical equipment, and associated service areas shall be hidden or screened through building placement, walls, fences, berms or landscaping, as approved by the reviewing authority.

20. Multiple residential structures shall be designed so as to break up massing of long walls or roof planes by offsets, shadow lines, façade treatment, and other similar means. Specifically, each elevation greater than 60 feet in length must provide wall variations (projection or recess) of at least 10 feet in depth so that no more than 75% of the façade appears unbroken. In addition, buildings with more than one story shall provide massing breaks at least every 60 linear feet along any elevation by stepping back at least 30% of the upper floors by a minimum of 10 feet. In situations where multi-story buildings are proposed adjacent to an existing single-story structure, the building must be stepped back so that the portion adjacent to the single-story building is also single-story.

21. Architectural treatments shall be included on all sides of structures. Specifically, exterior siding materials shall consist of at least two (2) of the following materials; natural wood (or wood-appearing material) in a horizontal or vertical application, natural or cultured stone, or decorative masonry. Acrylic-based stucco (not more than 60% of any one wall surface) may be used only when combined with heavy timber, wood or natural stone and must incorporate heavy reveals and expansions joints. Stone materials may not be painted. Non-reflective metal may only be utilized in small Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

quantities (not more than 25% of any wall surface) as an accent material. Blank elevations are not allowed and primary design elements and features incorporated on the primary façade must continue around all sides of the building. Architectural features are encouraged to provide visual interest, and may include but is not limited to bay windows, balconies, covered walkways, dormers, framing around doors and windows and other detailing. Architectural enhancements such as towers, cupolas, ornamental structures, roof projections and other similar extensions shall be designed as an integral component of the building architecture style and design, and must be in scale with the building and surrounding neighborhood or district. Such enhancements shall not be more than 25% higher than the primary structure.

22. All residential structures shall have eave and gable overhangs of not less than 12 inches measured from the vertical side of the structure. Roof materials shall be nonflammable; wood shake singles are prohibited. Roof pitch shall not be less than 2:12, and must be designed to consider ice damming, roof loading and snow accumulation against walls. In addition, treatment of rooflines shall be articulated at least every 45 feet along the street frontage with the inclusion of dormers, gables, or other architectural features to modify the roof form and/or height. Street-facing gables are encouraged, and design will not allow snow to shed onto any building entryways.

23. For purposes of meeting this section, use of various paint colors shall not be sufficient.

All residential structures will incorporate colors of neutral or muted tones, which may be found in the natural setting, or in accordance with color guidelines approved by the Planning Commission. Specifically, earth-tones shall be incorporated, primarily focusing on natural shades of green, brown, and grey. At minimum, two natural colors shall be utilized, and not more than four on any building, including one primary base color. Primary building and trim colors must compliment the community’s natural setting, be harmonious to surrounding buildings, and shall not include any bright, brilliant, luminescent, or fluorescent hues.

24. Design of doors, windows, balconies and porches will enhance the building façade, align with the building architecture, provide maximum safety, and comfort in consideration of the mountain climate. Specifically, landscaping, architectural detailing and lighting (at minimum) will enhance doors and entryways for all residential structures, with further enhancements for the main or primary entries.

Windows and doors shall be either recessed or trimmed. When trimmed, the trim material shall not be less than 3½ inches in width by ¾ inches in depth, measured from the primary wall surface. When recessed, the primary building wall surface shall not be less than 3 inches in depth. Raw and unfinished metal windows will not be allowed.

Reflective glass and building surfaces shall not be allowed.

25. All residential structures shall be placed on permanent foundations in accordance with Building and Safety Department requirements.

26. Buildings constructed on hillsides shall be stepped to follow the natural terrain, shall not substantially alter the natural slope of the site, and site design shall not change Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

natural drainage patterns, and alignment of roads and driveways shall follow site contours to minimize cuts and fills.
2127. Carports, garages, trash enclosures, and other accessory structures shall be designed to reflect the architecture and constructed using the same design theme and materials as of the primary buildings with respect to style, colors and materials. 2228. Individual garages with parking aprons of less than 20 feet in length shall have automatic garage door openers and sectional roll-up doors; in no case shall the drive approach in front of individual garages be less than 5 feet in length. 2329. Bicycle racks shall be provided in secure locations throughout the project, with the number, type, design, and location to be approved by the reviewing authority. 2430. Sign requirements are as follows:
a. Identification signage for multiple family housing developments may be permitted in accordance with Section 17.12.090 (Signs). b. Adequate directional signs shall be provided to direct traffic to the manager’s unit, parking areas, recreation areas, unit numbers, entrances and exits, in accordance with Section 17.12.050.C (Signs).

Chapter 17.35: COMMERICAL AND PUBLIC ZONES
Section 17.35.030 – Principal uses permitted in commercial and public zones The changes proposed to the commercial use table clarifies staff’s treatment of public bus facilities consistent with that of other utility and service providers. Specifically, the Development Code identifies such uses as appropriate within the C-2, C-5 and P zone districts, and not permitted in the C-4 (commercial recreation) zone district. For consistency, the following change clarifies the local bus service use in alignment with other public service provider uses:

Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

17.35.030 PRINCIPAL USES PERMITTED IN COMMERCIAL AND PUBLIC ZONES Table 17.35.030.A

PRINCIPAL USES PERMITTED IN COMMERCIAL AND PUBLIC ZONES

USES BY ZONE

DISTRICT
C-1 C-2 C-3 C-4 C-5 P
Communication, transportation, and utility and public services and facilities, including the following and similar uses:

Bus depot storage yard,
maintenance, parking
facilities, and
administration facilities
-- --
CUP
-- CUP CUP CUP
Storage yard,
maintenance and office
facility for utility and
service providers,
including public works,
water, trash, electric, gas,
cable TV, etc.)
-- CUP -- -- CUP CUP

ANALYSIS
General Plan Consistency
POLICY # SUMMARY OR INTENT CONSISTENCY ANALYSIS
L 1.2
Ensure zoning map, development code,
specific plans and other applicable
development-related ordinances are
brought into conformance with the
General Plan as soon as practical after
the General Plan is adopted.

The Development Code Amendment incorporates a
number of details and clarifications from the General Plan – specifically the Community Design Element – into the
multiple-family residential standards.

L 2.2
Promote the city’s General Commercial
areas as a major market center, provide
adequate land, ensure development
occurs in attractive and convenient
manner.

Amending development threshold to allow minor
modifications up to 5,000 square feet promotes
opportunities for economic vitality, both in the residential and commercial sectors.

L 3.3
Maintain the integrity, safety and
attractiveness of residential
neighborhoods by pursuing compliance
with applicable codes and ordinance to
ensure maintenance of residential
areas.

Streamlining Home Occupation Permit process does not
create or result in diminished attractiveness of residential neighborhoods. All standards for home-based businesses
are retained and enforced through code compliance.

Goal CD 1
Create and maintain a well-designed
built environment which contributes to
the community’s economic vitality,
Proposed amendment incorporates specific language
from Policy CD 1.2, hillside areas, to ensure natural
Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

POLICY # SUMMARY OR INTENT CONSISTENCY ANALYSIS
enhances the quality of life, and reflects
and enhances the beauty of the City’s
natural mountain surroundings.
terrain is retained with development of multi-family
residential development.

Goal CD 3
Encourage use of architectural
treatments to maintain community
character as a mountain resort, to
complement and enhance the
mountain setting.

Proposed amendment incorporates specific language
from several policies that support this goal. Specifically, Policy CD 3.1 (design elements), CD 3.2 (building
orientation, shape and massing), CD 3.3 (building
materials), CD 3.4 (roof design and materials), CD 3.5
(building colors), CD 3.6 (doors, windows, balconies,
porches), CD 3.7 (screening of mechanical equipment),
and CD 3.8 (site lighting).

Development Code Conformance
In accordance with section 17.03.200.D of Title 17 of the Municipal Code, the Planning Commission must conduct a public hearing to consider an amendment to the Development Code. The Commission must determine whether the proposed amendment is consistent with all required findings and provide a recommendation to the City Council.

FINDINGS
Affirmation of the required findings, as provided under section 17.03.200.F of Title 17, can be made to support recommendation of the proposed Development Code Amendment, as follows:

1. The proposed Development Code amendment conforms with the goals, objectives and policies of the general plan;
The proposed amendments would modify several sections of the Development Code with the intent to streamline certain administrative permit procedures, clarify standards of review for appeals, align the City’s Code with State law, provide clarifications to several other sections including the residential and commercial development standards.

While several sections are included as part of the proposed amendment, none will result in any change to the built-out environment as envisions by the General Plan or Development Code. As such, the proposed amendment can be found in conformance with the general plan.

2. The proposed Development Code amendment is necessary to implement the general plan and to provide for public safety convenience and/or general welfare; As described above, the proposed amendment addresses several inconsistencies with State legislation. The amendment also includes opportunities to streamline minor permit processes. As such, the proposed amendment may be considered a step in furthering efforts to better implement the current general plan. In addition, the resulting streamlined processes could entice future development projects along the commercial corridor, which would be in alignment with general plan policies.

Development Code Amendment DCA 2022-100
Planning Commission Date: July 6, 2022

3. The proposed Development Code amendment conforms with the intent of the Development Code and is consistent with all other related provisions thereof; and The proposed amendment conforms with the intent of the Development Code and consistent with all other related provisions.

4. The proposed Development Code amendment is reasonable and beneficial at this time.

The proposed amendment cleans up several items that are outdated to better align with State law and current practice. As such, the Development Code Amendment is considered to be reasonable and beneficial at this time.

ENVIRONMENTAL DETERMINATION
The recommended amendments involve a series of minor text changes to streamline several administrative processes, clarify Code language, and better alignment with State law. None of the proposed amendments would directly result in any physical development, nor will the proposed amendments result in any change to the built-out environment as envisioned by the General Plan or Development Code. Therefore, the proposed Development Code Amendments are not a “project” under Public Resources Code section 21065, and, in the alternative, are exempt from the California Environmental Quality Act (CEQA) under CEQA Guidelines section 15061(b)(3), the “common sense exemption,” where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. As such, a Notice of Exemption may be filed, and is provided as an attachment.

PUBLIC OUTREACH & INPUT
A legal advertisement and a box ad providing notification of the proposed amendments were published in The Grizzly on June 22, 2022. In addition, a notice was posted in three public places a minimum of 10 days prior to the hearing date. The Planning Commission agenda was distributed to Commissioners at least 72 hours in advance of the meeting, and through the City’s webpage, the meeting packet was available to the general public.

Attachments:

1. Recommended Planning Commission Resolution

2. Notice of Exemption

MEETING
DATE: August 1, 2022
TO: Honorable Mayor and Members of the City Council
THROUGH: Jeff Mathieu, Interim City Manager
FROM: Sean Sullivan, Director of Public Services
SUBJECT: Continued Public Hearing from the July 18, 2022 City Council Meeting and Resolution Approving a Solid Waste Franchise Agreement with Big Bear Disposal, Inc. and Adopting the Solid Waste Rates

BACKGROUND
On May 2, 2022, the City Council adopted a Resolution authorizing staff to take a number of actions related to the establishment of a solid waste franchise agreement and adopting the proposed rates. The City Manager was authorized to negotiate the final form of an agreement with Big Bear Disposal and notice the required public hearing for July 18, 2022. Additionally, staff was authorized to initiate the public notification process, required by Proposition 218, for a public hearing to consider updated solid waste service rates also to be held on July 18.

On July 18, 2022, the City Council opened a public hearing regarding the approval of a solid waste franchise agreement and adopting the solid waste rates. At that hearing, the City Council received a staff report and public testimony before ultimately continuing that public hearing until August 1, 2022. At the conclusion of the public hearing, the City Council will be asked to consider a resolution awarding a solid waste franchise agreement to Big Bear Disposal, Inc. for the period ending June 30, 2034 as well as adopting the associated solid waste rates.

DISCUSSION
Staff and representatives from Big Bear Disposal, Inc., assisted by counsel on both sides, have negotiated the final form of a proposed franchise agreement for the City Council’s consideration.

The proposed franchise agreement will be effective upon adoption and the term is through June 30, 2034. The contract does include the provision for a five-year extension that can be invoked, at the City’s sole discretion, upon providing notice at least 365 days prior to the expiration of the agreement.

The scope of work included within the proposed franchise agreement is consistent with the outline and overview provided by staff at City Council meetings in December 2021, January and May 2022. This scope of work was developed with input from Big Bear Disposal, a solid waste working group, technical consultants, and other stakeholders and includes a transition to enhanced services and maintains compliance with all regulations associated with solid waste management.

The proposed new agreement, inclusive of the enhanced scope of work, requires the implementation of updated solid waste service rates. The proposed rates of Big Bear Disposal include a three-year implementation of fixed rates through Fiscal Year 2024-25. Beginning in Fiscal Year 2025-26, and continuing for the duration of the agreement, rates will be subject to annual inflationary adjustments. Additionally, each year, the hauler will be able to adjust the portion of the rate that funds the disposal cost by directly passing through any increases to those costs. The proposed rates for residential and commercial service are highlighted as follows:

Residential Service Rates
Service Year
Beginning
Monthly Rate Annual Rate % of Prior Year
Current $22.94 $275.28 -
August 1, 2022 $27.50 $330.00 +20.0%
July 1, 2023 $32.10 $385.70 +16.7%
July 1, 2024 $36.43 $437.16 +13.5%
Commercial Service Rates
Service Year Monthly Rate % of Prior Year
Current $138.63
August 1, 2022 $166.36 +20.0%
July 1, 2023 $194.14 +16.7%
July 1, 2024 $220.35 +13.5%
*This is an example rate utilizing a service model of one (1) three (3) – yard bin serviced once per week. The proportional rate adjustment will apply to all commercial service models.

Proposition 218 Process
This Public Hearing was set in compliance with Proposition 218 to ensure maximum transparency and in an abundance of caution and without conceding the applicability to privately provided solid waste service. Proposition 218, known as the Right to Vote on Taxes Act, was approved in 1996 and establishes procedural and substantive requirements for the adoption of increases to propertyrelated fees.

The City mailed notice of the Public Hearing on the proposed increases to solid waste rates and the procedure for submitting a written protest to property owners at least 45 days before the July 18, 2022 Public Hearing. These notices were mailed on May 30, 2022 to the parcel owners of record for all parcels within the City to the address on file with the San Bernardino County Assessor’s Office. Additionally, a Notice of Public Hearing was advertised in the Big Bear Grizzly on July 6, in accordance with the City’s standard procedures for public hearings.

At the conclusion of the public hearing, the City Clerk will tabulate the written protests to determine if a majority protest does exist. The notice was distributed to 10,482 parcels within the City limits. The required number of written protests for determining a majority is 5,242. If a majority protest does exist, the City Council may not adopt the proposed rates. If a majority protest does not exist, the City Council may consider the rates.

Next Steps
Should the franchise agreement and solid waste rates be adopted at this meeting, they will both become effective immediately on August 1, 2022. Big Bear Disposal will continue to provide for routine solid waste services while also working to implement the enhanced services provided for under the new agreement. The rates for service will be included on the next property tax statements, which are scheduled to be released in October.

FISCAL IMPACT
Solid Waste Services are funded through the Refuse Fund and there is no fiscal impact to the General Fund for these services. The City will collect the established service rates, for residential service, on the property tax roll. All proceeds collected by the City for these services will be directly passed through to the hauler by way of monthly billing.

ENVIRONMENTAL CONSIDERATIONS
There is no environmental review associated with the adoption of the solid waste franchise agreement or the solid waste rates. The Resolution is statutorily exempt from the requirements of CEQA pursuant to California Public Resources Code section 21080(b)(8) and State CEQA Guidelines section 15273(a).

RECOMMENDATION
It is recommended that the City Council resume the public hearing that was continued from July 18, 2022 and receive any oral testimony or written protests. At the conclusion of the public hearing, the City Clerk will make a determination as to the existence of a majority protest or not. It is then recommended that the City Council adopt a Resolution Approving a Solid Waste Franchise Agreement with Big Bear Disposal, Inc. and Adopting Solid Waste Service Rates.

ATTACHMENTS

1. Resolution 2022-XX
ATTACHMENT 1

RESOLUTION NO. 2022-XX

RESOLUTION APPROVING A SOLID WASTE FRANCHISE
AGREEMENT WITH BIG BEAR DISPOSAL, INC. AND

ADOPTING SOLID WASTE SERVICE RATES
WHEREAS, Big Bear Disposal, Inc. has provided solid waste collection services within the City of Big Bear Lake (“City”) since 1991 pursuant to an exclusive solid waste franchise agreement, and such agreement expired on June 30, 2022; and
WHEREAS, since the approval of the original agreement and its amendments, California law changed to now require the City to implement additional solid waste diversion programs that were not included as part of the original agreement or amendments thereto; and WHEREAS, Big Bear Disposal, Inc. will continue to provide solid waste collection services that will comply with regulations to implement SB 1383 (Chapter 395, Statutes of 2016) (“SB 1383 Regulations”), to the City for a period of twelve (12) years ending June 30, 2034; and WHEREAS, the City desires to approve a new franchise agreement with Big Bear Disposal, Inc. with an updated scope of service and rates for such service; and WHEREAS, the rate structure for the monthly solid waste service fees has three customer classes:
(i) single family, (ii) vacant lots, and (iii) multi-family and commercial; and WHEREAS, the rate structure for refuse, recycling and organics collection is based on the container size, type of materials accepted in the containers, and frequency of collection; and WHEREAS, the City has determined that it is necessary to impose new, increased or modified rates for its solid waste service charges (collectively herein, the “Charges”); and WHEREAS, the revenues derived from the Charges will not exceed the funds required to provide the solid waste services and shall be used exclusively for the provision of solid waste collection services; and
WHEREAS, the amount of the Charges will not exceed the proportional cost of the service attributable to each parcel upon which they are proposed for imposition; and WHEREAS, the Charges will not be imposed on a parcel unless the solid waste services are actually used by, or immediately available to, the owner of the parcel; and WHEREAS, article XIII D, section 6 of the California Constitution requires that prior to imposing any increase to the Charges, the City shall provide written notice by mail of the new or increased Charges to the record owner of each parcel upon which the Charges are proposed for imposition and any tenant directly liable for payment of the Charges (the “Notice”); and WHEREAS, the Notice provides information about the amount of the rates for the Charges proposed to be imposed on each parcel, the basis upon which the rates for the Charges were calculated, the reason for the rate increases to the Charges, and the date time and location of a public hearing (the “Hearing”) on the proposed rate increases to the Charges; and WHEREAS, pursuant to Article XIII D such Notice is required to be provided to the affected property owners and tenants not less than 45 days prior to the Hearing on the proposed rate increases; and
WHEREAS, the City mailed the Notice in accordance with Article XIII D and the Hearing was held on this day, July 18, 2022; and
WHEREAS, at the Hearing the City Council heard all oral testimony, and considered all written materials and written protests concerning the establishment and imposition of the proposed rate increases to the Charges, and at the close of the Hearing the City did not receive written protests against the establishment and imposition of the proposed rate increases to the Charges from a majority of the record owners or property upon which the Charges are proposed for imposition or any tenants directly liable for the payment of the Charges (i.e., a customer of record who is not a property owner); and
WHEREAS, the City Council now desires to establish and impose the proposed Charges.

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

1. The above recitals are all true and correct and are incorporated herein.

2. The City Council hereby adopts the Charges for solid waste collection services at the maximum rates, and on the effective dates, as set forth in Exhibit A attached hereto and incorporated herein by this reference.

3. For the fiscal years beginning on July 1, 2025, and July 1, 2026, the highest maximum rates provided in Exhibit A in effect shall be automatically annually by multiplying each rate by the greater of two percent (2%) or the percentage equal to the change in the Consumer Price Index for All Urban Consumers, not seasonally adjusted, all items index (CPI-U) – Los Angeles-Long Beach-Anaheim, CA average (series ID CUUSS49ASA0), as determined by the United States Bureau of Labor Statistics, for the twelve (12) month period ending on the date of December 31 immediately prior to the applicable adjustment date. All CPI adjustments shall be subject to a cap of 5%.

4. For the fiscal year beginning July 1, 2023, and annually thereafter on July 1 through and including July 1, 2026, the maximum rates provided in Exhibit A shall be automatically adjusted for changes in tipping or gate fees charged by the landfill, transfer station and material recovery facility not owned by Big Bear Disposal, Inc. The maximum adjustment for tipping or gate fees shall be capped at 10% each year.

5. To the extent any Charges established by this Resolution are inconsistent with any Charges previously adopted by the City Council, it is the explicit intention of the City Council that the Charges adopted pursuant to this Resolution shall prevail.

6. The City Council hereby approves the Franchise Agreement for the Handling of Discarded Materials and Provision of Other Related Services, attached hereto as Exhibit B and incorporated herein by this reference.

7. The City Council hereby finds that the administration, operation, maintenance, and improvements of the solid waste collection system, which are to be funded by the Charges, are necessary to maintain solid waste services within the City’s existing service area. The City Council further finds that such Charges are necessary and reasonable to fund the administration, operation, maintenance, and improvements of the solid waste collection system. Based on these findings, the City Council hereby determines that this Resolution is statutorily exempt from the requirements of CEQA pursuant to California Public Resources Code section 21080(b)(8) and State CEQA Guidelines section 15273(a). The documents and materials that constitute the record of proceedings on which these findings have been based are located at 39707 Big Bear Boulevard, Big Bear Lake, CA 92315. The custodian for these records is the City Clerk of the City.

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

9. This Resolution take effective immediately upon adoption.

10. The City Manager or his or her designee is hereby authorized to take all actions necessary to implement this Resolution.

11. The City Clerk shall certify to the passage and adoption of this Resolution.

12. On or before August 10, 2022, the City Clerk is hereby directed to file with the San Bernardino County Auditor/Controller a statement endorsed thereon over her signature that this has been fully adopted by City Council, together with a certified copy of this Resolution, and shall request that the residential and vacant lot solid waste fees be collected on the tax bills for the taxable parcels in the City with the ordinary ad valorem taxes to be levied on and collected from owners of said parcels.

PASSED, APPROVED AND ADOPTED this 1st day of August, 2022.

Rick Herrick, Mayor
ATTEST:

Erica Stephenson, City Clerk

STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss

CITY OF BIG BEAR LAKE )
I, Erica Stephenson, City Clerk of the City of Big Bear Lake, California, do hereby certify that the whole number of the City Council of the said City is five; that the foregoing resolution, being Resolution No. 2022-XX was duly passed and adopted by the said City Council and attested by the City Clerk of said City, all at a regular meeting of the said City held on the 1st day of August, 2022 and that the same was so passed and adopted by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

Erica Stephenson, City Clerk

EXHIBIT A

MAXIMUM SOLID WASTE RATES
Effective August 1, 2022 July 1, 2023 July 1, 2024
Residential Cart Service / Monthly $ 32.10 27.50 $ 36.43 $ To Be Billed on Property Tax
Each Additional Refuse Container 10.19 $ 11.89 $ 13.49 $ Pine Needles Above 15 Bags/Week 1.91 $ 2.23 $ 2.53 $
Vacant Lots $ 1.78 1.52 $ 2.02 $
To be Be Billed On Property Tax
Commercial Trash Rates
2 Yard Bin Service
1 Time per week service $ 129.97 111.37 $ 147.52 $
2 Time per week service $ 259.89 222.70 $ 294.97 $
3 Time per week service $ 389.84 334.06 $ 442.47 $
4 Time per week service $ 519.81 445.43 $ 589.99 $
5 Time per week service $ 651.47 558.24 $ 739.41 $
6 Time per week service $ 779.74 668.16 $ 885.01 $
7 Time per week service $ 909.71 779.53 $ 1,032.53 $
3 Yard Bin Service
1 Time per week service $ 194.14 166.36 $ 220.35 $
2 Time per week service $ 388.41 332.83 $ 440.85 $
3 Time per week service $ 582.61 499.24 $ 661.26 $
4 Time per week service $ 776.83 665.66 $ 881.70 $
5 Time per week service $ 970.79 831.86 $ 1,101.84 $
6 Time per week service $ 1,165.17 998.44 $ 1,322.47 $
7 Time per week service $ 1,359.49 1,164.95 $ 1,543.03 $ 4 Yard Bin Service
1 Time per week service $ 258.46 221.47 $ 293.35 $
2 Time per week service $ 516.92 442.94 $ 586.70 $
3 Time per week service $ 776.65 665.51 $ 881.50 $
4 Time per week service $ 1,035.26 887.11 $ 1,175.02 $
5 Time per week service $ 1,293.02 1,107.98 $ 1,467.57 $ 6 Time per week service $ 1,552.18 1,330.06 $ 1,761.72 $ 7 Time per week service $ 1,810.68 1,551.56 $ 2,055.12 $ Roll-off Containers
30 yard - seven (7) days use 341.69 $ 398.75 $ 452.58 $ (Includes one (1) dump) + Add'l per ton 81.85 $ 95.52 $ 108.42 $ Daily Rental after seven (7) days 11.33 $ 13.22 $ 15.00 $ Exhibit A
Maximum Solid Waste Service Rates
Effective August 1, 2022
Commercial Can Service
2 cans solid waste - 1 can recycle $ 33.61 28.80 $ $ 38.15 3 cans solid waste - 1 can recycle $ 46.31 39.68 $ $ 52.56 4 cans solid waste - 2 cans recycle $ 63.84 54.71 $ $ 72.46 5 cans solid waste - 2 cans recycle $ 76.36 65.44 $ $ 86.67 6 cans solid waste - 2 cans recycle $ 93.34 79.98 $ $ 105.94 7 cans solid waste - 3 cans recycle $ 106.51 91.27 $ $ 120.89 Special Serivices
Manual pull-out for front loading bin $ 6.81 5.83 $ $ 7.72 Special Bin with Locking Lids $ 79.40 68.04 $ 90.12 $
Commercial start-up and bin delivery fee 62.06 $ 72.43 $ 82.21 $ Weekend Rates $ 18.12 15.53 $ 20.57 $
Commercial Recycling
2 Yard Bin Service
1 Time per week service $ 87.24 74.76 $ 99.02 $
2 Time per week service $ 172.85 148.12 $ 196.19 $
3 Time per week service $ 261.75 224.29 $ 297.08 $
4 Time per week service $ 349.05 299.10 $ 396.17 $
5 Time per week service $ 437.98 375.30 $ 497.10 $
6 Time per week service $ 523.51 448.60 $ 594.19 $
7 Time per week service $ 610.78 523.38 $ 693.24 $
3 Yard Bin Service
1 Time per week service $ 130.11 111.49 $ 147.68 $
2 Time per week service $ 260.31 223.06 $ 295.45 $
3 Time per week service $ 390.45 334.57 $ 443.16 $
4 Time per week service $ 520.60 446.10 $ 590.88 $
5 Time per week service $ 650.56 557.46 $ 738.38 $
6 Time per week service $ 780.84 669.10 $ 886.25 $
7 Time per week service $ 911.09 780.71 $ 1,034.08 $
4 Yard Bin Service
1 Time per week service $ 173.06 148.30 $ 196.42 $
2 Time per week service $ 346.08 296.56 $ 392.80 $
3 Time per week service $ 520.42 445.94 $ 590.67 $
4 Time per week service $ 693.63 594.37 $ 787.27 $
5 Time per week service $ 865.78 741.89 $ 982.66 $
6 Time per week service $ 1,039.70 890.92 $ 1,180.06 $
7 Time per week service $ 1,212.80 1,039.25 $ 1,376.53 $

EXHIBIT B

FRANCHISE AGREEMENT
19361.00041\40492119.3

CITY OF BIG BEAR LAKE

FRANCHISE AGREEMENT FOR THE COLLECTION

AND HANDLING OF DISCARDED MATERIALS AND PROVISION OF OTHER

RELATED SERVICES
This Franchise Agreement ("Agreement") is entered into to be effective as of the ____ day of _______________ 2022, by and between the City of Big Bear Lake ("City") and Big Bear Disposal, Inc., a California corporation ("Contractor") (collectively, the "Parties") to provide an exclusive franchise for Solid Waste Handling Services within the City.

R E C I T A L S:

A. The Legislature of the State of California, by enactment of the California Integrated Waste Management Act of 1989 ("AB 939"), has declared that it is in the public interest to authorize and require local agencies to make adequate provision for the disposal of all Solid Waste within their jurisdictions.

B. Pursuant to Public Resources Code Section 40059(a)(1) and applicable provisions of the City Charter, the City Council of the City has determined that the public health, safety, and welfare require that an exclusive franchise agreement be awarded to a qualified Solid Waste enterprise for Solid Waste Handling Services within the City Limits.

C. City and Contractor are mindful of the provisions of the laws governing the safe Collection, transport, recycling, and disposal of Solid Waste, including AB 939, AB 341, the Resource Conservation and Recovery Act ("RCRA"), and the Comprehensive Environmental Response, Compensation and Liability Act ("CERCLA"). City and Contractor desire to leave no doubts as to their respective roles, and to memorialize that by entering into this Agreement, City is not thereby becoming an "arranger" or a "generator" as those terms are used in CERCLA, and that it is Contractor, not City, who is "arranging for" the Collection, transport for disposal, composting, and recycling of municipal Solid Waste in the City which may contain Hazardous Substances. City and Contractor understand and agree that it is Contractor, and not City, who will arrange to Collect Solid Waste, that City has not, and, by this Agreement does not, instruct Contractor on its Collection methods, nor supervise the Collection process, nor do the Parties intend to place title to such Solid Waste in City, but rather intend that whatever, if any, title in and to such Solid Waste that otherwise might exist in or with City in the absence of this Agreement is hereby transferred to Contractor, and further that if Contractor gains title to such Solid Waste it is by operation of law and agreement with its Customers and is not the result of this Agreement. By entering this Agreement City and Contractor further desire to confirm that Contractor has agreed to indemnify the City in connection with any claims relating to the inadvertent or intentional Collection, transportation and/or disposal of hazardous materials that may occur in connection with Contractor's performance under this Agreement.

E. Contractor has agreed, as part of this Agreement, to provide such services as are necessary or desirable to ensure City complies with the requirements of AB 939, AB 341, AB 1826, SB 1383 and Public Resources Code Section 40000, et seq. 19361.00041\40492119.3
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F. Contractor and City previously entered an agreement dated May 4, 2009, (the "Prior Agreement"). This Prior Agreement expires on June 30, 2022. This Agreement shall supersede and replace the Prior Agreement upon the Effective Date.

C O V E N A N T S:

Based upon the foregoing Recitals and for good and valuable consideration, the receipt and sufficiency of which is acknowledged by each of the Parties, City and Contractor hereby agree as follows:

SECTION 1.

RECITALS
The Parties acknowledge the above recitals are true and correct and incorporate them herein as if they were fully restated.

SECTION 2.

DEFINITIONS
Whenever any term used in this Agreement has been defined by the California Public Resources Code, the definition of such term set forth therein shall apply unless the term is otherwise defined in this Agreement.

2.1 AB 341
"AB 341" shall mean Assembly Bill 341 from the 2011-2012 Regular Session of the California Legislature (Chapter 476, Statutes 2011).

2.2 AB 939
"AB 939" shall mean the California Integrated Waste Management Act of 1989, currently codified as California Public Resources Code Section 40000 et seq., as it may be amended from time to time.

2.3 AB 1594.
"AB 1594" shall mean Assembly Bill No. 1594 from the 2013-2014 Regular Session of the California Legislature (Chapter 719, Statutes 2014).

2.4 AB 1826.
"AB 1826" shall mean Assembly Bill No. 1826 from the 2013-2014 Regular Session of the California Legislature (Chapter 727, Statutes 2014).

2.5 Affiliate
"Affiliate" means a business in which Contractor owns a direct or indirect ownership interest, a business (including corporations, limited and general partnerships and sole proprietorships) which has a direct or indirect ownership interest in Contractor and/or a business 19361.00041\40492119.3
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which is also owned, controlled or managed by any business or individual which has a direct or indirect ownership interest in Contractor. For purposes of determining whether an indirect ownership interest exists, the constructive ownership provisions of Section 318(a) of the Internal Revenue Code of 1986, as in effect on the date of this Agreement, shall apply; provided, however, that (i) "thirty-three percent (33%)" shall be substituted for "fifty percent (50%)" in Section 318(a)(2)(C) and in Section 318(a)(3)(C) thereof, and (ii) Section 318(a)(5)(C) shall be disregarded. For purposes of determining ownership under this paragraph and constructive or indirect ownership under Section 318(a), ownership interest of less than thirty-three percent (33%) shall be disregarded, and percentage interests shall be determined on the basis of the percentage of voting interest or value which the ownership interest represents, whichever is greater.

2.6 Animal Waste
"Animal Waste" shall mean animal carcasses, dead animals, and/or parts or portions of dead animals. Animal Waste shall not include manure.

2.7 Applicable Law
"Applicable Law" shall mean all federal, state, county, and local laws, regulations, rules, orders, judgments, decrees, permits, approvals, or other requirements of any governmental agency having jurisdiction over an aspect of this Agreement that are in force on the Effective Date, and as may be enacted, issued or amended thereafter, including without limitation, City's Municipal Code, AB 939, AB 1826, AB 1594, SB 1383 and AB 341.

2.8 Billings
"Billings" or "Billing" or "Bill" means the statements of charges provided to Customers for services rendered by Contractor pursuant to the terms of this Agreement.

2.9 Bins
"Bins" shall mean a metal or plastic Container, including dumpsters, compactors, and any similar such devices with a capacity of under ten (10) cubic yards.

2.10 Bulky Items
"Bulky Items" means Solid Waste that cannot and/or would not typically be accommodated within a Cart including specifically: furniture (including chairs, sofas, mattresses, and rugs); appliances (including refrigerators with and without Freon, ranges, washers, dryers, water heaters, dishwashers, plumbing, small household appliances and other similar items, commonly known as "white goods"); residential wastes (including wood waste, tree branches, scrap wood, in the aggregate not exceeding one cubic yard per Collection); and clothing. For purposes of this Agreement, and notwithstanding any provision hereof to the contrary, Bulky Items shall specifically include items commonly known in the waste industry as "brown goods" and "e-waste". Bulky Items do not include car bodies, Construction and Demolition Debris or (with the exception of appliances/white goods described above) items that cannot reasonably be moved with equipment of the type which, pursuant to industry standards, 19361.00041\40492119.3
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would normally be carried in a truck Collecting Bulky Items. In the event a question arises as to whether a specific item, or category of items, meets the definition of Bulky Items, City shall be responsible to determine whether said definition shall apply, which determination shall be final and binding on the Parties.

2.11 Cart
"Cart" means a plastic Container with a hinged lid and wheels serviced by an automated or semi-automated process, as opposed to a manual process of lifting and dumping.

2.12 City
"City" shall mean the City of Big Bear Lake, a municipal corporation, located in San Bernardino County, California.

2.13 City Council
"City Council" shall mean the City Council of City.

2.14 City Limits
"City Limits" shall mean the territorial boundaries of the City together with all amendments and changes thereto, which boundaries are depicted on maps, incorporated herein by reference, that are kept on file in the office of the City Clerk of the City of Big Bear Lake, and which are from time to time amended to reflect changes.

2.15 City Manager
"City Manager" shall mean the City Manager of the City of Big Bear Lake or his or her designee.

2.16 Collect/Collection
"Collect" or "Collection" shall mean to take physical possession of, transport, and remove Solid Waste from a Premises to a Disposal Facility, Organic Waste Processing Facility or a Recyclables Processing Facility.

2.17 Commercial Edible Food Generators
"Commercial Edible Food Generators" includes Tier One Commercial Edible Food Generators and Tier Two Commercial Edible Food Generators, or as otherwise defined in 14 CCR Section 18982(a)(7). For the purposes of this definition, Food Recovery Organizations and Food Recovery Services are not Commercial Edible Food Generators, or as otherwise specified by 14 CCR Section 18982(a)(7).

2.18 Commercial Premises
"Commercial Premises" means Premises upon which business activity is conducted, including but not limited to retail sales, services, wholesale operations, manufacturing and 19361.00041\40492119.3
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industrial operations, but excluding Residential Premises upon which business activities are conducted when such activities are permitted under applicable zoning regulations and are not the primary use of the property. Notwithstanding any provision to the contrary herein, in the Municipal Code, or otherwise, for purposes of this Agreement, Premises upon which hotels and motels are operated and upon which Multi-Family Dwellings exist shall be deemed to be Commercial Premises.

2.19 Community Composting
"Community Composting" means an activity that composts (i) source-separated green material, agricultural material, food material, and vegetative food material (collectively “feedstock”), alone or in combination, (ii) which has not been discarded, and (iii) where the total amount of feedstock and compost on-site at any one time does not exceed 100 cubic yards and 750 square feet, as specified in 14 CCR Section 17855(a)(4); or, as otherwise defined by 14 CCR Section 18982(a)(8). An activity that disposes of more than 5%, by weight, of the material it receives in any single day is not a Community Composting activity.

2.20 Container
"Container" means any and all types of Solid Waste receptacles, including Carts and Bins.

2.21 Contractor
"Contractor" shall mean CR&R Incorporated, the entity granted the franchise pursuant to this Agreement, or any party permitted pursuant to the terms hereof permitted to become the successor or assignee thereof.

2.22 Customer
"Customer" or "Customers" shall mean any person receiving Solid Waste Collection services from Contractor within the Franchise Area.

2.23 Discard
“Discard” means to dispose of Solid Waste through means other than sale or donation.

Materials that have been discarded are “Discarded Materials.” 19361.00041\40492119.3
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2.24 Disposal Facility
"Disposal Facility" means the facility designated by Contractor and approved by the City for the disposal, of Solid Waste and residue from Organic Waste or Recyclables processing and other materials as appropriate and acceptable.

2.25 Dwelling Unit
"Dwelling Unit" shall mean one or more rooms designed for occupancy by one family for living and sleeping purposes and containing kitchen facilities or an area designed for the preparation of food for use solely by one family.

2.26 Edible Food
"Edible Food" shall mean food intended for human consumption. For the purposes of this Agreement, Edible Food is not Solid Waste if it is recovered and not discarded. Nothing in this Agreement requires or authorizes the recovery of Edible Food that does not meet the food safety requirements of the California Retail Food Code. If the definition in 14 CCR Section 18982(a)(18) for Edible Food differs from this definition, the definition in 14 CCR Section 18982(a)(18) shall apply to this Agreement.

2.27 Effective Date
"Effective Date" shall mean August 1, 2022.

2.28 Environmental Laws
"Environmental Laws" means all federal and state statutes, county, local and City ordinances concerning public health, safety and the environment including, by way of example and not limitation, the Comprehensive Environmental Response, Compensation and Liability Act of 1980, 42 USC §9601 et seq.; the Resource Conservation and Recovery Act, 42 USC §6901 et seq.; the Federal Clean Water Act, 33 USC §1251 et seq.; the Toxic Substances Control Act, 15 USC §2601 et seq.; the Occupational Safety and Health Act, 29 USC §651 et seq.; the California Hazardous Waste Control Act, California Health and Safety Code §25100 et seq.; the Carpenter-Presley-Tanner Hazardous Substance Account Act, California Health and Safety Code §25300 et seq.; the Porter-Cologne Water Quality Control Act, California Water Code §13000 et seq.; the Safe Drinking Water and Toxic Enforcement Act, California Health and Safety Code §25249.5 et seq.; as currently in force or as hereafter amended, and all rules and regulations promulgated thereunder.
19361.00041\40492119.3
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2.29 Food Recovery
"Food Recovery" means actions to collect and distribute food for human consumption which otherwise would be disposed, or as otherwise defined in 14 CCR Section 18982(a)(24).

2.30 Food Recovery Organization
"Food Recovery Organization" means an entity that primarily engages in the collection or receipt of Edible Food from Commercial Edible Food Generators and distributes that Edible Food to the public for Food Recovery either directly or through other entities, including, but not limited to:

A. A food bank as defined in Section 113783 of the Health and Safety Code; B. A nonprofit charitable organization as defined in Section 113841 of the Health and Safety code; and,
C. A nonprofit charitable temporary food facility as defined in Section 113842 of the Health and Safety Code.

2.31 Food Recovery Service
"Food Recovery Service" means a person or entity that collects and transports Edible Food from a Commercial Edible Food Generator to a Food Recovery Organization or other entities for Food Recovery; or as otherwise defined in 14 CCR Section 18982(a)(26).

2.32 Food Waste
"Food Waste" shall mean those discarded materials that will decompose and/or putrefy including: (i) all kitchen and table food waste; (ii) animal or vegetable waste that is generated during or results from the storage, preparation, cooking or handling of food stuffs; (iii) fruit waste, grain waste, dairy waste, meat, and fish waste; (iv) vegetable trimmings, houseplant trimmings and other compostable organic waste common to the occupancy of Residential Premises. Food Waste is a subset of Organic Waste.

2.33 Franchise Area
"Franchise Area" shall mean all Premises within the City Limits, including Premises which may be annexed and thereby added to the City Limits following the Effective Date.

2.34 Franchise Fee
"Franchise Fee" shall mean the franchise fee set forth and more fully defined in Section 11 hereof.
19361.00041\40492119.3
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2.35 Green Waste
"Green Waste" means tree trimmings, grass cuttings, dead plants, leaves, branches and dead trees (not more than six (6) inches in diameter or 48 inches in length) and similar organic materials.

2.36 Gross Receipts
"Gross Receipts" shall mean and include all monies, fees, charges, consideration, and revenue received, charged or imputed to Contractor and any Affiliate of Contractor, in connection with, arising from, or in any way attributable to the Solid Waste Handling Services carried out by or on behalf of Contractor pursuant to this Agreement. Gross Receipts includes, without limitation, monthly Customer charges for Collection of Solid Waste, without subtracting Franchise Fees, fees imposed and collected pursuant to this Agreement, sums collected in connection with Temporary Services, revenue received by Contractor attributable to landfill, material processing and composting tipping fees, and transportation charges. Gross Receipts does not include revenue from the sale of Recyclable Material, Green Waste, food waste, and other material which is diverted from disposal or the receipt of governmental funding.

2.37 Hazardous Substance
"Hazardous Substance" shall mean any of the following: (a) any substances defined, regulated or listed (directly or by reference) as "Hazardous Substances," "hazardous materials," "Hazardous Wastes," "toxic waste," "pollutant" or "toxic substances" or similarly identified as hazardous to human health or the environment, in or pursuant to (i) the Comprehensive Environmental Response, Compensation and Liability Act of 1980, 42 USC §9601 et seq.; (ii) the Hazardous Materials Transportation Act, 49 USC §5101, et seq.; (iii) the Resource Conservation and Recovery Act, 42 USC §6901 et seq.; (iv) the Clean Water Act, 33 USC §1251 et seq.; (v) California Health and Safety Code §§25115-25117, 25249.8, 25281, and 25316; (vi) the Clean Air Act, 42 USC §7401 et seq.; and (vii) California Water Code §13050; (b) any amendments, rules or regulations promulgated thereunder to such enumerated statutes or acts currently existing or hereafter enacted; and (c) any other hazardous or toxic substance, material, chemical, waste or pollutant identified as hazardous or toxic or regulated under any other applicable federal, state or local laws or regulations, including any of the Environmental Laws, currently existing or hereinafter enacted, including, without limitation, friable asbestos, polychlorinated biphenyl's ("PCBs"), petroleum, natural gas and synthetic fuel products, and byproducts.

2.38 Hazardous Waste
"Hazardous Waste" means all substances defined as Hazardous Waste, acutely Hazardous Waste, or extremely Hazardous Waste by the State of California in Health and Safety Code §25110.02, §25115, and §25117 or in the future amendments to or recodifications of such statutes or identified and listed as Hazardous Waste by the US Environmental Protection Agency (EPA), pursuant to the Federal Resource Conservation and Recovery Act (42 USC §6901 et seq.), all future amendments thereto, and all rules and regulations promulgated thereunder. 19361.00041\40492119.3
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2.39 Household Hazardous Waste
"Household Hazardous Waste" shall mean any Hazardous Waste generated by a Single Family or Multi-Family Dwelling, including but not limited to: automobile maintenance and repair products (e.g., motor oil, oil filters, antifreeze, brake fluid, etc.); lawn and garden chemicals (e.g., pesticides, herbicides, fungicides, etc.); cleaning products (e.g., bathroom cleaners, drain cleaners, chlorine bleach, solvents, oven cleaners, etc.); and home improvement supplies (e.g., stains, paints, varnish, paint thinners, chemical strippers, glue, pool chemicals, etc.). Household Hazardous Waste does not include any waste generated from a business operating out of a Single Family or Multi-Family Dwelling or waste otherwise generated from operating a business.

2.40 Household Sharps Waste
"Household Sharps Waste" shall mean home generated sharps waste as defined in Health and Safety Code Section 117671 and includes hypodermic needles, pen needles, intravenous needles, lancets, and other devices that are used to penetrate the skin for the delivery of medications, which are generated from a Customer at Single Family or Multi-Family Dwelling.

2.41 Multi-Family Dwelling
"Multi-Family Dwelling" means any building or lot containing more than one Dwelling Unit at which Contractor determines (and City agrees) the Dwelling Units must receive Solid Waste Collection services through the use of shared Bins, since they are not reasonably able to store Carts or otherwise receive individualized Solid Waste Collection service through the use of the automated Collection system utilizing Carts contemplated by this Agreement for Single Family Dwellings. Unless otherwise determined as set forth above, any Premises upon which three (3) or more Dwelling Units exists shall be deemed to be a Multi-Family Dwelling. Any ambiguity as to whether a Customer's Premises qualifies for purposes of this Agreement as a Single Family Dwelling or Multi-Family Dwelling shall be resolved by the City Manager whose decision shall be final.

2.42 Municipal Code
"Municipal Code" shall mean City's Municipal Code.

2.43 Organic Waste
"Organic Waste" shall mean Green Waste and Food Waste.

2.44 Organic Waste Processing Facility
"Organic Waste Processing Facility" means any facility designed, operated and legally permitted for the purpose of receiving, and processing Organic Waste. 19361.00041\40492119.3
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2.45 Person
"Person" shall mean any individual, firm, association, organization, partnership, corporation, business trust, joint venture, the United States, the State of California, the County of San Bernardino, towns, cities, and special purpose districts.

2.46 Premises
"Premises" shall mean any land, building, and/or structure within the Franchise Area where Solid Waste is generated or accumulated.

2.47 Recyclable Material
"Recyclable Material" or "Recyclables" shall mean those materials which are capable of being recycled, reprocessed, transformed, or reused and which would otherwise be processed or disposed of as Solid Waste. These materials will include, but not be limited to those defined by the City for the purpose of placement by generators in proper receptacles and Collection by Contractor and may be modified from time to time when requested by Contractor and approved by City. Recyclable Materials currently being collected as of the execution of this Agreement include: newsprint (including inserts); mixed paper (including magazines, catalogs, envelopes, junk mail, corrugated cardboard, Kraft brown bags and paper, paperboard, paper egg cartons, office ledger paper, and telephone books); glass containers; aluminum beverage containers; small scrap and cast aluminum (not exceeding ten (10) pounds in weight nor two (2) feet in any dimension for any single item); steel including ”tin” cans and small scrap (not exceeding ten (10) pounds in weight nor two (2) feet in any dimension for any single item); bimetal containers; metal foil; mixed plastics such as plastic containers (1-7), and bottles including containers made of HDPE, LDPE, PET, or PVC; that are California Redemption Value (CRV) labeled. .

2.48 Recyclables Processing Facility
"Recyclables Processing Facility" means any facility designed, operated and legally permitted for the purpose of receiving, and processing Recyclable Materials.

2.49 Residential Premises
"Residential Premises" shall mean all premises upon which Dwelling Units exist.

Notwithstanding any provision to the contrary herein, in the Municipal Code, or otherwise, for purposes of this Agreement, Premises upon which hotels and motels are operated or upon which Multi-Family Dwellings exist shall be deemed to be Commercial Premises.

2.50 Rolloff Box
"Rolloff Box" means Solid Waste Collection Containers of ten (10) yards or larger, including compactors.
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2.51 SB 1383
"SB 1383" shall mean Assembly Bill No. 1383 from the 2015-2016 Regular Session of the California Legislature (Chapter 395, Statutes 2016) and any regulations adopted by CalRecycle to implement this legislation.

2.52 Single Family Dwelling
"Single Family Dwelling" means a building or lot containing one Dwelling Unit, and, for purposes of this Agreement, includes buildings and lots with more than one Dwelling Unit where such Dwelling Units are determined by the City to be reasonably able to receive individualized Solid Waste Collection service by the automated process utilizing Carts contemplated herein.

Any ambiguity as to whether a Customer's Premises qualifies as a Single Family Dwelling or Multi-Family Dwelling shall be resolved by the City Manager whose decision shall be final.

2.53 Solid Waste
"Solid Waste" shall mean and include all discarded putrescible and nonputrescible solid, semisolid, and liquid wastes, including garbage, trash, refuse, rubbish, construction waste, industrial waste, commercial Solid Waste, Bulky Items, and any other discarded solid, semisolid, and liquid waste permitted to be disposed of at a Class III landfill and which are included within the definition of "Nonhazardous Solid Waste" set forth in the California Code of Regulations, as it may be amended from time to time, or as further defined under Public Resources Code section 40191. Solid Waste does not include hazardous (Class I) waste, low-level radioactive waste, untreated medical waste, or Special Wastes as defined herein.

2.54 Solid Waste Handling Services
"Solid Waste Handling Services" means the Collection, transfer, transport, recycling, processing, and disposal of Solid Waste for Premises within the City.

2.55 Source Separated
"Source Separated" means materials, including commingled Recyclable Materials, that have been separated or kept separate from the Solid Waste stream, at the point of generation, for the purpose of additional sorting or processing those materials for recycling or reuse in order to return them to the economic mainstream in the form of raw material for new, reused, or reconstituted products, which meet the quality standards necessary to be used in the marketplace, or as otherwise defined in 14 CCR § 17402.5(b)(4). Source Separated shall include separation of materials by the Generator, property owner, property owner's employee, property manager, or property manager's employee into different containers for the purpose of Collection such that Source Separated materials are separated from mixed waste or other Solid Waste for the purposes of Collection and processing.

2.56 Special Wastes
"Special Wastes" shall mean wastes other than Solid Waste including sewage, sludge, industrial sludge, asbestos, auto bodies, tires, used motor oil, Hazardous Waste, Animal Waste, 19361.00041\40492119.3
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explosive substances, radioactive materials, and other materials which may not be disposed of at a Class III landfill or which require special handling.

2.57 Temporary Service
"Temporary Service" shall mean Solid Waste Handling Services provided by Contractor on an as-needed and temporary basis to any Premises within the City in conjunction with construction, demolition, cleanup or other projects, and by use of temporarily placed Bins or Rolloff Boxes.

2.58 Term
"Term" shall have the meaning ascribed in Section 6 of this Agreement.

2.59 Transformation
"Transformation" means incineration, pyrolysis, distillation, gasification, or biological conversion other than composting. "Transformation" does not include composting.

2.60 Universal Waste
"Universal Waste" shall mean those hazardous wastes identified as universal waste in Section 66261.9 of Title 22 of the California Code of Regulations, including, but not limited to:
florescent bulbs and tubes; household batteries (e.g., D, AA, button-type, etc.); non-empty aerosol cans; electronic devices (e.g., televisions, computer monitors, cell phones, radios, video cassette recorders, etc.); and mercury containing devices (e.g., thermometers, thermostats, gauges, etc.), and generated by Single or Multi-Family Dwellings. Universal Waste does not include waste generated in the course of operating a business at a Single or Multi-Family Dwelling or waste otherwise generated from operating a business.

SECTION 3.

GRANT OF EXCLUSIVE FRANCHISE

3.1 Scope of Franchise
Except as hereinafter expressly set forth, City hereby grants to Contractor and Contractor hereby accepts from City, for the Term hereof, the exclusive contract, right, and privilege to Collect, transport, and dispose of all Solid Waste generated or accumulated within the Franchise Area. The exclusive franchise, right, and privilege to provide Solid Waste Handling Services within City granted to Contractor by this Agreement shall be interpreted to be consistent with all applicable state and federal laws, now in effect and adopted during the Term of this Agreement, and the scope of this Agreement shall be limited by all applicable current and developing laws and regulations. In the event that future interpretations of current law or future enactments limit the ability of City to lawfully grant Contractor the scope of services as specifically set forth herein, Contractor agrees that the scope of this Agreement will be limited to those services and materials which may be lawfully provided, and that City shall not be responsible for any lost profits claimed by Contractor as a result thereof.
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3.2 Matters Excluded from Scope of Franchise
Notwithstanding any other provisions set forth in this Agreement to the contrary, the exclusive franchise granted herein shall exclude the Collection, transportation, recycling, and disposal of:
(A) any Solid Waste otherwise within the scope of this Agreement which is transported by a Self Hauler as that term is used in the Municipal Code, or any other City ordinance, resolution, regulation or policy, as such may be adopted or amended from time to time;
(B) the sale or donation of Recyclable Material by the person or entity that generated such Recyclable Material (the "Generator") to any Person or entity other than Contractor; provided, however, to the extent permitted by law, if the Generator is required to pay monetary or non-monetary consideration for the Collection, transportation, transfer, or processing of Recyclable Material to any Person or entity other than Contractor, the fact that the Generator receives a reduction or discount in price (or in other terms of the consideration the Generator is required to pay) shall not be considered a sale or donation;
(C) any Solid Waste otherwise within the scope of this Agreement which is Collected or transported to a disposal or recycling facility by City employees in the course and scope of their employment with City;
(D) the Collection, transportation, or disposal of Hazardous Waste; Universal Waste; E-Waste; biohazardous waste; untreated medical waste; infectious waste; Animal Waste; used cooking fats, oils, grease and similar waste; or other materials which do not constitute Solid Waste;
(E) the Collection, transportation, and disposal of Construction and Demolition Waste by a contractor, handyman, repairman, or other similar service provider, using its own equipment, as an incidental part of the services provided to its customers, rather than as a hauling service, provided that such waste is not Collected or transported by a third party hired for the primary purpose of Collecting and transporting said materials;
(F) the Collection, transportation, and disposal of Green Waste and related Solid Waste by a gardener, or landscaper, as an incidental part of the gardening or landscaping services provided to its customers, rather than as a hauling service provided that such Solid Waste is not Collected or transported by a third party hired for the primary purpose of Collecting and transporting said materials; (G) Solid Waste Handling Services provided by any Person having a legal right to continue doing so, pursuant to Public Resources Code Section 49520, et. seq., or otherwise, as long as and to the extent such legal right continues to exist. 19361.00041\40492119.3
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(H) Edible Food that is collected from a generator by a Food Recovery Organization or Food Recovery Service for the purposes of Food Recovery; or that is transported by the Generator to a Food Recovery Organization. (I) Community Composting. The parties envision that City will adopt an ordinance with provisions deemed necessary for the implementation of SB 1383. That ordinance may include provisions addressing the local operation of Community Composting activities meeting the requirements of Applicable Law. At such time as that ordinance is adopted, the delivery by a Customer of material suitable for composting to such a facility that meets the definition of Community Composting will be excluded from this Agreement .

SECTION 4.

ENFORCEMENT OF EXCLUSIVITY
Contractor shall be responsible for enforcing the exclusivity of this Agreement. In addition, City may adopt such ordinances or other regulations as it deems to be necessary or desirable to protect the exclusive rights granted herein. City shall have the right, but not the obligation, to enforce the exclusivity hereof, including by instituting appropriate legal proceedings. The Parties shall each bear their own costs of enforcement.

SECTION 5.

ACCEPTANCE; WAIVER
Contractor agrees to be bound by and comply with all the requirements of this Agreement. Contractor waives any right or claim to serve the City or any part of the City under any prior grant of franchise, contract, license, or permit issued or granted by any governmental entity including any right under Section 49520 of the Public Resources Code. Additionally, by and upon the effectiveness of this Agreement, Contractor agrees to the termination of the Prior Agreement as of the Effective Date, agrees to waive any and all rights under the Prior Agreement, and agrees to release and hold the City harmless from any of the City’s obligations thereunder, excepting, however, the right to compensation for services provided at the rates approved by City as of the Effective Date and the right to be credited for services already provided (such as situations where the maximum calls for Bulky Item services have been reached by a Customer; provided, however, nothing contained in this provision is intended to or shall relieve Contractor from any obligation existing under the Prior Agreement pertaining to insurance, indemnification, or other legal obligations to City or Customers (as opposed to obligations to provide service pursuant to the terms thereof), or from any obligation set forth in the Prior Agreement which are called out as surviving the termination thereof, and all such obligations, including specifically those indemnification obligations relating to Environmental Laws, general liability, and AB 939 shall survive the termination of the Prior Agreement.

SECTION 6.

TERM
The term of this Agreement (the "Term") shall be for the period of time commencing on the Effective Date, and ending at 11:59 pm on June 30, 2034, unless this Agreement is 19361.00041\40492119.3
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terminated sooner pursuant to Section 18 hereof, or otherwise. At its sole discretion, the City may extend the Agreement for one (1) five-year extension term. The City may exercise the extension term with written notice to Contractor at least three hundred sixty-five (365) days prior to the expiration of the then existing Term. The Parties are mindful of the fact that pursuant to Section 1101 of the City Charter, no franchise shall be granted for a period longer than 25 years except under certain conditions. The Parties accept and agree that this Agreement does not contemplate a term exceeding the limitation set forth in the City Charter, and thus does not implicate Section 1101.

SECTION 7.

CONDITIONS TO EFFECTIVENESS OF AGREEMENT
The satisfaction of each and all of the conditions set out below, each of which may be waived in whole or in part by City in writing, is a condition precedent to the effectiveness of this Agreement, and a condition of Contractor's continued right to the benefits conveyed herein:

7.1 Accuracy of Representation
All representations and warranties made by Contractor and set forth in this Agreement shall be accurate, true, and correct on and as of the Effective Date of this Agreement.

7.2 Absence of Litigation or Referendum Petition
There shall be no litigation pending in any court challenging the award of this exclusive franchise for Solid Waste Handling Services to Contractor or the execution of this Agreement or seeking to restrain or enjoin its performance.

7.3 Furnishing of Insurance, Bond, and Letter of Credit Contractor shall have furnished evidence of the insurance and Surety required by Sections 14 and 15 hereof, and shall comply with all ongoing requirements relating thereto.

7.4 Effectiveness of City Council Action
Except as set forth in Section 27, the City Council's ordinance approving this Agreement shall have become effective pursuant to California law.

7.5 Payment of Fees and Costs
Contractor shall have made payment to City of all fees, costs and other payments due as provided in the Prior Agreement and more fully set forth in Section 11. 19361.00041\40492119.3
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SECTION 8.

SOLID WASTE HANDLING SERVICES

PROVIDED BY CONTRACTOR

8.1 General

8.1.1 Equipment
Contractor shall furnish all labor, supervision, materials, supplies, and equipment necessary to provide for all services required by the terms of this Agreement.

8.1.2 Performance Standards
Contractor shall perform Solid Waste Handling Services as required hereunder in a workmanlike manner consistent with good housekeeping standards and all relevant provisions of Applicable Law.

8.1.3 Noise and Disruption
Contractor shall perform Solid Waste Handling Services as required hereunder in such a manner as to minimize noise and other disruptive impacts including, without limitation, those upon traffic.

8.1.4 Collection Times
Contractor shall not commence Collection of Solid Waste for Customers at Commercial Premises (excepting Multi-Family Dwellings) until 6:00 a.m. and for Customers at Residential Premises and at Multi-Family Dwellings until 7:00 a.m., nor shall such activities occur after 7:00 p.m. for all Customers. The City Manager may require Contractor to comply with time frames applicable to Residential Premises in connection with Collection of Solid Waste for Customers at Commercial Premises whose Premises are in close proximity to Residential Premises. Solid Waste Collection at Single Family Dwellings shall not occur on Saturdays; excepting Temporary Services and Collection occurring on Saturdays following such holidays as may be approved by the City Manager. Except as noted herein, no Solid Waste Collection shall occur on Saturdays or Sundays at Single Family Dwellings, or on Sundays at Multi-Family Dwellings or Commercial Premises, except in exceptional circumstances for which specific approval is given by the City Manager.

8.1.5 Collection Schedule
Contractor shall establish Collection routes and a Collection schedule which shall be approved by the City Manager such that Customers at all Residential and Commercial Premises within the City will have not less than one established Collection day each week. Contractor shall provide notice to each Customer of its established Collection day(s), and shall provide at least one week's notice to Customers of any change in their established Collection day(s).

Notwithstanding any provision herein to the contrary, should any established Collection day fall on a legal holiday, or on any other holiday which is observed by either a landfill or other lawful disposal or diversion site to which Solid Waste is taken for disposal or diversion, Contractor 19361.00041\40492119.3
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shall provide for Collection one (1) day later during the pick-up week, and the regular Collection schedule shall be resumed the following week. A pick-up week shall be defined as Monday through Saturday. Contractor may not change its established Collection schedules without obtaining the prior written consent of the City Manager. Contractor may charge Customers for emergency Collection services, where the emergency Collection is not required as a result of a missed pickup as set forth in Section 8.1.9, at rates which do not exceed the maximum rates set forth on Exhibit A.

8.1.6 Commingling of Routes
Contractor may commingle Solid Waste Collected hereunder if doing so in no way affects its tonnage allocations, reporting requirements, nor any other obligation under this Agreement and Contractor maintains a method of allocating tonnage between jurisdictions that is satisfactory to the City Manager.

8.1.7 Replacement of Containers
Contractor shall, whenever possible, place Carts in the street gutter, adjacent to the curb, upon completing Collection. Contractor shall replace all Bins in the location upon the property of each Customer utilizing Bins designated for storage of Bins, and shall secure gates, doors, and/or enclosures when applicable.

8.1.8 Contractor's Containers
(A) Contractor's Containers shall meet the minimum standards set forth on the attached Exhibit B.
(B) Contractor shall provide two sizes of Carts (medium and large) having capacities of approximately 64 gallon and 96 gallon. Notwithstanding the foregoing, the Parties recognize that different vendors provide Carts of slightly different dimensions, and hence the capacity of each of the three Cart sizes Contractor is to provide (i.e., small, medium and large) may vary slightly, but in no case by more than 10% of the capacities noted above. The default Cart shall be a 96-gallon.
(C) Contractor shall be responsible to maintain and replace, as necessary, all of its Containers.
(D) All Contractor's Containers shall be maintained by Contractor in good repair, and any question as to the meaning of this standard shall be resolved by the City Manager.
(E) Contractor shall deliver Containers to each Customer at no additional charge.
(F) Contractor shall ensure it maintains an accurate list that contains the total number of Carts at each service address. Contractor is endeavoring to implement a system whereby “bar codes” are affiliated with each Cart in use, and at such time as (if) such a system is implemented the bar code data for each Cart shall be included in the 19361.00041\40492119.3
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aforementioned list. Contractor shall keep this list up to date at all times, provide it to City upon request, and shall include a current updated list with each annual report as set forth in Section 23.3.
(G) All Carts shall be maintained by Contractor in a watertight condition, as shall all Bins which are used primarily for the disposal of Solid Waste. (H) Within forty-eight (48) hours after notification (Sundays and holidays excepted), Contractor shall repair and maintain, remove graffiti from, and replace lost, stolen or damaged Carts at no charge to Customers. However, Contractor shall be entitled to charge Customers for the replacement of any Cart that has been damaged by a Customer’s willful neglect or abuse, ordinary wear and tear excepted, with such charges being subject to the City Manager's approval and at a fee no higher than Contractor’s actual cost of repair and replacement. Notwithstanding the above, upon request and up to one time per calendar year, Contractor shall exchange a Customer’s Cart for a new or “like new” Cart at no additional charge.
(I) Contractor shall at Customer's request annually refurbish, replace, and steam clean as necessary all Bins and Contractor provided Rolloff Boxes at no charge to Customers; provided, however, City may require the steam cleaning or replacement of Bins utilized at restaurants, bars and grocery stores/markets more frequently if it determines such action is needed to protect public health and safety. Additional steam cleaning shall be provided to any Customers who request it at a charge not to exceed the maximum rate set forth in Exhibit A hereto, or alternatively Contractor shall provide a replacement Bin/Rolloff Box to Customers at no charge. Contractor may charge Customers for damaged Bins at rates that do not exceed the maximum rate set forth in Exhibit A.
(J) All Bins and Rolloff Boxes shall be kept freshly painted in a uniform fashion and shall be identified with Contractor's name and phone number in letters not less than three inches high on its exterior so as to be visible when the Container is placed for use.
(K) At a Customer's request, Contractor shall provide Bins with locking lids and locks and may charge rates to Customers for locking Bins which do not exceed the maximum rates set forth on Exhibit A.

8.1.9 Missed Pick-ups
In case of a missed pick-up called in by a Customer, Contractor shall Collect Solid Waste and Recyclable Material from such Customer no later than the next day of the pick-up week following the date of the call. Records of the addresses of all missed pick-ups shall be maintained by Contractor, and shall be reported to City upon request. If Contractor demonstrates to the satisfaction of the City Manager a pattern of ongoing late "set-outs" or wrongful Customer notifications by any given Customer, missed pick-ups resulting from late set-outs by that Customer shall not be counted as missed pick-ups in evaluating Contractor's performance hereunder. The Customer service phone system required by Section 10.7.2 hereof is intended, 19361.00041\40492119.3
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among other things, to serve as a "hotline" for Customers to call in the event Solid Waste placed for Collection is not Collected by Contractor and to facilitate having such Solid Waste Collected as soon as reasonably possible, and in no event later than as required by the provisions hereof.

8.1.10 Record of Non-collection
As more fully set forth herein, Contractor shall Collect all Solid Waste placed for Collection by Customers in Containers, excepting materials that do not meet the definition of Solid Waste (such as hazardous materials). Whenever Contractor determines not to Collect any Solid Waste deposited for Collection, Contractor shall leave a tag at least 2" by 6" in size, indicating the reason for Contractor's refusal to do so. This information may be either handwritten or left by means of a check system (i.e., checking off boxes on a preprinted form).

The tag shall provide Contractor's business name and its local telephone number and shall be securely fastened to the Container or the article refused. Contractor shall maintain a record of all such taggings at its place of business. Such record shall contain the date of such notice, street address, reason for non-collection, and a summary of any communications between Contractor and the Customer involved. Such notice shall be retained so that it may be inspected by representatives of City upon request.

8.2 Residential Solid Waste Handling Service

8.2.1 Single Family Dwellings – Automated Collection
Contractor shall provide each Customer at a Single Family Dwelling with one Cart designated for the Collection of mixed Solid Waste (a Refuse Cart), and Customer shall be entitled to choose between either a 64 gallon or 96 gallon Refuse Cart (subject to the provisions of Section 8.1.8(B)). Contractor shall Collect all Solid Waste placed out for Collection in a Refuse Cart by each Customer at a Single Family Dwelling not less than once per week using an automated Collection system at rates that do not exceed the maximum rates set forth in Exhibit A. Contractor may charge Customers for additional Collection in excess of once per week at rates that do not exceed the maximum rates set forth in Exhibit A. Upon request from any Customer at a Single Family Dwelling, Contractor shall provide such Customer with one or more additional Refuse Carts, and shall Collect all Solid Waste placed for Collection in such additional Refuse Carts at rates that do not exceed the maximum rates set forth in Exhibit A.

Wherever feasible, Customers shall be directed by Contractor to place Carts for Collection either in the street gutter, against the curb, in front of their Premises, or adjacent to their Premises in the alley or easement in the rear of their Premises. If a Customer and Contractor cannot agree upon a Collection location, or if City determines the selected location may cause safety or other concerns, City may make the final determination of the Collection location. It is the intent of the parties that the services provided under this Agreement will result in an automated Collection system that includes source separation of Recyclable Material. Accordingly, if Solid Waste is routinely placed for Collection other than in a Refuse Cart, Contractor shall work with the Customer involved to determine if the Customer is in need of additional or larger Refuse Carts.

The City Manager is authorized to require Contractor to deliver additional Refuse Carts to any such Customers or to require such other action of Contractor as is reasonably deemed necessary to ensure the Collection system, including specifically the recycling programs, contemplated by this Agreement are achieved.
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8.2.2 Walk-Out Service
Contractor shall provide eligible Customers with "walk-out service" as set forth in this Section at no additional charge. This service shall require Contractor to use its own forces to bring a Customer's Carts from a Customer's backyard, side yard, or such other location at which the Customer's Containers are regularly stored, to Contractor's Collection Vehicle; and, after disposal of the contents thereof, returning said Containers to the location where they are regularly stored. Contractor may require as a condition of walk-out service that a Customer sign a standardized agreement, the terms of which shall be subject to City's approval, which authorizes entry onto the Customer's property, sets forth the customer’s obligation to ensure safe access to the property by Contractor’s personnel, and holds Contractor harmless from liability (including specifically liability related to pets escaping) associated with Contractor providing such service. Contractor may further limit the distance of such walk-out service to one hundred (100) feet, measured from the location of the Carts to Contractor's Collection Vehicle.

8.2.2.1 Disabled Customers
The walk-out service, described in Section 8.2.2, shall be available, at no cost, to customers with a documented disability that prevents them from being able to move their carts to the curb. To validate the access to this no-cost service, the customer shall have a DMV issued disabled person placard/license plates, and provide a letter to Contractor from a physician confirming the Customer is unable to move his/her Carts to the curb, and that to the best of the physician's knowledge there is no other capable persons living in the Customer's household to provide this service. Contractor may require each eligible Customer to provide a new letter from a physician on an annual basis in order to maintain eligibility for walk-out service. Any dispute regarding a Customer's eligibility for walk-out service shall be resolved by the City Manager.

8.2.2.2 Other Customers
Contractor may provide Customers who are not eligible for free walk-out service pursuant to the forgoing with walk-out service at a rate which shall not exceed the maximum rate set forth in Exhibit A.

8.2.3 Recycling Program for Single Family Dwellings Using Carts Contractor shall provide each Customer at a Single Family Dwelling with a Cart of the same size as the Customer's Refuse Cart (subject to the provisions of Section 8.1.8(B)) designated for the Collection of Recyclables (a Recycling Cart). Contractor shall Collect all Recyclable Material placed out for Collection in a Recycling Cart by each Customer at a Single Family Dwelling not less than once per week using an automated Collection system at rates that do not exceed the maximum rates set forth in Exhibit A. Upon request from any Customer at a Single Family Dwelling, Contractor shall provide such Customer with one additional Recycling Cart at no additional charge; and, further shall provide such Customers, upon request, with additional Recycling Carts at rates that do not exceed the maximum rates set forth in Exhibit A corresponding to the size of Recycling Carts provided. The maximum rate set forth on Exhibit A applicable to Customers whose Recycling Carts are larger than their Refuse Cart shall be based on the maximum rate applicable to the size of Refuse Cart provided; however, as noted above, 19361.00041\40492119.3
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the maximum rate set forth on Exhibit A applicable to additional Recycling Carts shall be that set forth on Exhibit A corresponding to the size of the Recycling Cart provided. Contractor shall Collect Recyclable Material placed in Recycling Carts for Collection from each Customer at a Single Family Dwelling on the same day as such Customer's Refuse Cart is Collected, utilizing an automated Collection process. Customers shall be directed to place Recycling Carts in the same location for Collection as Refuse Carts. At a minimum the following materials shall be allowed to be deposited by Customers for Collection in Recycling Carts aluminum cans; glass jars and bottles; bi-metal, and tin cans; empty aerosol containers; polyethylene terephthalate plastic ("PET"); high density polyethylene plastic ("HDPE"); plastics types 3 – 7; plastic bags, shrink wrap, plastic toys and tools, and other plastic materials (if readily identifiable as being recyclable); coat hangers and metal foil; newspaper; mixed paper (e.g., ledger, computer, junk mail, magazines, paperback books cereal boxes, envelopes, paper shopping bags and nonmetallic wrapping paper); corrugated cardboard; and telephone books.

8.2.4 Organic Waste Collection for Single Family Dwellings For Customers wishing to receive Cart service, Contractor shall provide Customers at Single Family Dwellings with a Cart of the same size as the Customer's Refuse Cart (subject to the provisions of Section 8.1.8(B)), designated for Collection of commingled Organic Waste (an "Organic Waste Cart"). Contractor shall Collect all Organic Waste placed out for Collection in an Organic Waste Cart by each Customer at a Single Family Dwelling not less than once per week using an automated Collection system at rates that do not exceed the maximum rates set forth in Exhibit A. Upon request from any Customer at a Single Family Dwelling, Contractor shall provide such Customer with additional Organic Waste Carts at rates that do not exceed the maximum rates set forth in Exhibit A corresponding to the size of Organic Waste Carts provided.

The maximum rate set forth on Exhibit A applicable to Customers whose Organic Waste Carts are larger than their Refuse Cart shall be based on the maximum rate applicable to the size of Refuse Cart provided; however, as noted above, the maximum rate set forth on Exhibit A applicable to additional Organic Waste Carts shall be that set forth on Exhibit A corresponding to the size of the Organic Waste Cart provided. Contractor shall Collect Organic Waste placed in Organic Waste Carts for Collection from each Customer on the same day as such Customer's Refuse Cart is Collected, using an automated Collection process. Customers shall be directed to place Organic Waste Carts in the same location for Collection as Refuse Carts. Customers may place Organic Waste out for Collection in bags alongside their Organic Waste Cart(s), but may not set out more than five (5) bags at any one time.

8.2.5 Food Waste Collection
If required to do so as a result of a future regulation, waiver modification, or waiver revocation by CalRecycle, the Contractor shall direct Customers to place Food Waste in the Organic Cart. If the City is required by SB 1383 or other Applicable Law to collect Food Waste in the Organic Waste Cart, Contractor shall do so upon City’s written request.

8.2.6 City Manager Authority to Oversee Encouragement of Recycling The flexibility provided to Customers pursuant to Sections 8.2.3 and 8.2.4, enabling them to request Recycling and Organic Waste Carts which vary in size from their Refuse Cart size, is 19361.00041\40492119.3
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intended to benefit Customers and encourage them to participate as fully as possible in available recycling programs. However, if Solid Waste is routinely placed by Customers in Recycling Carts or Organic Waste Carts such so as to undermine the intent of allowing varying Cart sizes, the City Manager may require Contractor to deliver additional or different size Refuse Carts to any such Customers, to require Contractor to only provide such Customers with uniform Cart sizes, or to require such other action of Contractor as is reasonably deemed necessary to ensure the Collection system, including specifically the recycling programs, contemplated by this Agreement are achieved.

8.2.7 Multi-Family Dwelling Customers
Contractor shall comply with all requirements applicable to Commercial Customers, set forth below, in connection with Multi-Family Dwellings, and further shall comply with the specific provisions contained herein related to such Dwellings. Customers at Multi-Family Dwellings shall be provided sufficient services by Contractor to enable them to comply with SB 1383.

8.2.7.1 Source Separated Collection Program
Contractor shall provide all Customers at Multi-Family Dwellings the option of participating in a Source Separated Collection Program meeting the requirements set forth below through a combination of Bins, meeting the minimum standards set forth in Exhibit B, some of which are designated for the Collection of Solid Waste ("Refuse Bins"), and others designated for the Collection of Recyclable Material (“Recycle Bins”).

8.2.8 Refuse Bins and Carts
Contactor shall provide all Customers participating in the Source Separated Collection Program with the number of Refuse Bins reasonably needed for Solid Waste Collection at each Premises at which Multi-Family Dwellings exist, bearing in mind both the number of Dwellings and space limitations, and shall Collect all Solid Waste placed therein for Collection not less than once per week, at rates that do not exceed the maximum rates set forth in Exhibit A. If warranted by specific circumstances, and upon written approval of the City Manager, at any given Multi-Family Dwelling Refuse Carts may be utilized instead of Refuse Bins. The size of Refuse Bins utilized, and the frequency of their Collection, shall be mutually agreed upon by Contractor and its Customers (except that Collection shall occur not less than one time per week), and City shall have the right to impose minimum requirements for the number of Refuse Bins, Refuse Bin sizes and more frequent Collection should it determine such action is needed to protect the public health, safety and welfare. In the event of any dispute as to the adequacy of the number of Refuse Bins at any given Multi-Family Dwelling, the City Manager shall have the ability to approve the number of Refuse Bins used at such location. In the event extra pickups are required at a Multi-Family Dwelling in any given month, Contractor may charge the Person who manages or owns the Multi-Family Dwelling for such pickups an amount that does not exceed the maximum rate for "extra dumps" as set forth in the attached Exhibit A. (A) Recycle Bins and Carts:
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Contactor shall provide all Customers participating in the Source Separated Collection Program with the number of Recycle Bins reasonably needed for Recyclable Material Collection at each Premises at which Multi-Family Dwellings exist, bearing in mind both the number of Dwellings and space limitations, and shall Collect all Recyclable Material placed therein for Collection not less than once per week, at rates that do not exceed the maximum rates set forth in Exhibit A. If warranted by specific circumstances, and upon written approval of the City Manager, at any given Multi-Family Dwelling, Recycling Carts may be utilized instead of Recycle Bins. The size of Recycle Bins utilized, and the frequency of their Collection, shall be mutually agreed upon by Contractor and its Customers (except that Collection shall occur not less than one time per week), and City shall have the right to impose minimum requirements for the number of Recycle Bins, Recycle Bin sizes and more frequent Collection should it determine such action is needed to protect the public health, safety and welfare. In the event of any dispute as to the adequacy of the number of Recycle Bins at any given Multi-Family Dwelling, the City Manager shall have the ability to approve the number of Recycle Bins used at such location. In the event extra pickups are required at a Multi-Family Dwelling in any given month, Contractor may charge the Person who manages or owns the Multi-Family Dwelling for such pickups an amount that does not exceed the maximum rate for "extra dumps" as set forth in the attached Exhibit A. At a minimum, Contractor shall allow the materials identified in Section 8.2.3 above to be placed for Collection in Recycle Bins or Recycling Carts utilized in connection with the Source Separated Collection Program. Should such Recycle Bins and/or Recycling Carts be contaminated with materials not permitted to be placed therein for Collection, Contractor may charge the responsible Customer a rate that does not exceed the maximum rate set forth in Exhibit A for contaminated loads.

8.2.9 Bulky Item Service for Single Family Dwellings
Contractor shall provide Bulky Item Collection services to residents living at all Single Family Dwellings in City at no charge on an on-call basis once per calendar year. The no-charge Bulky Item Collection service set forth in this Section shall only apply with respect to Bulky Items generated at the Dwelling Unit at which the Customer calling for service resides and is limited to up to four (4) items per scheduled pick up. Bulky Items Collected pursuant to this Section shall occur on the same day as the Customer's regularly scheduled Collection day. In order to receive such service, residents shall provide Contractor with at least twenty-four (24) hours’ notice by phone of the number and type of Bulky Items to be Collected. Contractor shall produce, keep current, and provide public information specifically outlining its Bulky Item Collection service, which shall specifically include the annual publication and distribution of a brochure describing this service to residents of all Single Family Dwellings in City. Contractor may charge rates for the Collection of each Bulky Item in excess of the above limits that do not exceed those set forth on Exhibit A. In addition, Contractor shall accept Bulky Items from Customers at Single Family Dwellings at the Clean Bear Sites without charge.

8.2.10 Bulky Item Service for Multi-Family Dwellings
Residents at Multi-Family Dwellings shall receive the same Bulky Item Collection services as Commercial Premises as set forth in Section 8.3.4. 19361.00041\40492119.3
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8.3 Commercial Solid Waste Handling Services

8.3.1 Commercial Bins and Rolloff Boxes
Contractor shall provide all Customers at Commercial Premises ("Commercial Customers") with at least one Bin and/or Rolloff Box for Collection of Solid Waste, and shall Collect all Solid Waste placed therein for Collection not less than once per week, at rates that do not exceed the maximum rates set forth in Exhibit A. Contractor shall provide additional Containers to Customers and shall provide additional Collections upon request, or as may be required by City's Municipal Code, health and safety requirements, or by the City Manager, and may charge rates for such services which do not exceed the maximum rates set forth in Exhibit A. Bins and Rolloff Boxes shall be Collected by Contractor from the location upon each Customer's property designated for their storage, and replaced to that location with gates and/or doors secured, as applicable, after Collection is completed, unless different arrangements are agreed upon by the Customer and Contractor. Notwithstanding anything set forth herein to the Contrary, Contractor need not provide Containers to Customers who chose to utilize their own Rolloff Box compactors; and further, Contractor may lease Rolloff Box compactors to Customers at rates that it sets, which rates shall not be regulated by this Agreement. Contractor shall provide Solid Waste Handling Services in connection with Rolloff Box compactors at rates that do not exceed the maximum rates set forth in Exhibit A.

8.3.2 Commercial Carts
As an alternative to the requirements of Section 8.3.1, Contractor shall offer Collection in sixty-four (64) or ninety-six (96) gallon Refuse Carts (subject to the provisions of Section

8.1.8(B)) to Commercial Premises where the Customers do not have space for, or do not generate enough waste to require the use of Bins for Collection. Rates for Customers at Commercial Premises (excepting Multi-Family Dwellings) receiving such service shall not exceed the maximum rates set forth on Exhibit A for Commercial Refuse Carts; provided, however, rates for Customers at Multi-Family Dwellings receiving such service shall not exceed the maximum rates set forth on Exhibit A for Residential Cart Service. If Contractor and Customer have a disagreement as to whether a Refuse Cart is appropriate, or if City determines the Collection in a Refuse Cart causes health and safety or other concerns, City shall make the final determination as to whether Collection in a Refuse Cart may occur.

8.3.3 Commercial Recycling Services
Commercial Customers shall be provided services by Contractor sufficient to enable them to comply with AB 341.

8.3.4 Commercial Bulky Item Service
Contractor shall provide unlimited Bulky Item Collection services to Commercial Premises (excepting Multi-Family Dwellings) on an on-call basis. Contractor may charge rates for such services which shall not exceed the maximum rates set forth in the attached Exhibit A.

Bulky Item Collection service calls shall be responded to within a reasonable time but not longer than seven (7) days from the date of the Customer's call for service. Contractor shall produce, keep current, and provide public information specifically outlining the Bulky Item pick-up 19361.00041\40492119.3
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service. Bulky Items Collected pursuant to this Section are subject to the diversion and handling requirements set forth in Section 8.2.9.

8.3.5 Food Waste Collection Services
Contractor shall provide Customers at Commercial Premises (excepting Multi-Family Dwellings) the option to have a separate 64 gallon Cart (subject to the provisions of Section

8.1.8(B)) for the Collection of Food Waste ("Food Waste Cart"). Contractor may charge rates for the Collection of Food Waste Carts which shall not exceed the maximum rates set forth in the attached Exhibit A. The frequency of Collection of Food Waste Carts shall be mutually agreed upon by Contractor and its Customers (except that Collection shall occur not less than one time per week), and City shall have the right to impose minimum requirements for more frequent Collection should it determine such action is needed to protect the public health, safety and welfare. This section shall not apply unless and until the City is required to provide such services by CalRecycle pursuant to the modification or waiver of its high elevation waiver or the issuance of new regulations.

8.3.6 Monitoring and Cleaning of Bin Enclosures
Contractor shall work with the City Manager in identifying and resolving continual problems with overflowing Bins or Bin enclosures, and/or other unsanitary conditions caused by Customers. Contractor shall clean out any overflowing Bins or Bin enclosures within City within twenty-four (24) hours of notification by City (Sundays and holidays excepted).

Contractor shall create a specific work order in response to each call received from City and shall provide City with an annual “Summary of Clean Out Item Work Orders Completed.” Such summary shall include, but not be limited to, the date, time, hours spent, and types of items Collected. Contractor may charge Customers rates that do not exceed the maximum rates set forth in Exhibit A for such services.

8.4 Other Collection Programs As May Be Required by Law In the event CalRecycle, or any federal, state, or local law or regulation, imposes upon City or Contractor a requirement for the implementation of any program for the Collection of any waste material (whether or not meeting the definition of Solid Waste hereunder) not already covered by this Agreement, whether Commercial or Residential in nature, Contractor shall design and present a program to City to comply with such requirement, which program shall meet the City Manager's reasonable approval. Except with respect to programs which are required due to Contractor's failure to achieve the diversion requirements set forth herein (which programs are subject to Section 8.8.5), at such time as (if) any such program is implemented, Contractor and City shall meet and confer in good faith to determine a fair and reasonable adjustment to the maximum rates set forth on Exhibit A in order to compensate Contractor for implementing such a program.

8.5 Bin Truck Pull-Out Service
Certain Premises within the City Limits require Contractor to move a Bin in order to service the Bin ("Bin Truck Pull-Out Service"). Contractor may charge said Premises for the Bin Truck Pull-Out Service where Contractor is required to move a Bin more than twenty-five (25) 19361.00041\40492119.3
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feet. Contractor may charge rates for such Bin Truck Pull-Out Service which shall not exceed the maximum rates set forth in the attached Exhibit A.

8.6 Temporary Services
Contractor shall provide Temporary Services on an on call basis to any Customer requesting such service pursuant to the following conditions:
(A) Bins and Rolloff Boxes utilized in connection with Temporary Services shall meet the minimum standards set forth herein and Containers shall be delivered within twenty-four (24) hours of a call for such service, excepting Sundays and holidays. (B) No charges excepting rates not exceeding the maximum rates set forth in the attached Exhibit A related to Bins or Rolloff Boxes utilized in connection with Temporary Services shall be imposed by Contractor, unless approved in accordance with Section 8.10 (Special Services).
(C) Bins used for Temporary Service shall not be placed in any public rightsof-way unless an encroachment permit is first obtained from City pursuant to Section 4-

6.1003 of the Municipal Code (as it may be amended from time to time), and in no case may they be placed in any public rights-of-way so as to create a safety hazard or so as to block any right-of-way to a degree that it is not reasonably usable. Bins placed in City's rights-of-way shall be subject to such requirements as may be imposed by City, and at a minimum shall be equipped with reflectors, reflective tape, reflective paint, or other reflective devices which, to the satisfaction of the City Manager, make such Bins reasonably visible to vehicle traffic at night.
(D) City has in place an ordinance regulating the recycling and disposal of construction and demolition waste, and Contractor agrees to comply with all applicable provisions thereof.
(E) In addition to complying with any other requirements of the City’s ordinance regulating construction and demolition waste, Contractor shall make all reasonable efforts to recycle all construction and demolition waste it Collects, especially to the degree such loads contain clean inert materials. Towards this end, Contractor shall make available to Customers involved in construction separate Containers within which to Collect different types of marketable materials, such as dirt, steel, concrete and wood.

8.7 Clean Bear Service
At the time of the execution of this Agreement, Contractor services two (2) Clean Bear Sites within the territory of City, which Clean Bear Sites are described in Exhibit C. Contractor currently owns Clean Bear Site No. 1, which includes a Recycling Center. City owns Clean Bear Site No. 2. Contractor shall provide and service, as reasonably required as determined by City, the number and type of Public Bins identified on Exhibit C at each Clean Bear Site for purposes of permitting residents of the City to dispose of the following types of residential Solid Waste at such Clean Bear Sites: Recyclable Materials, Green Waste, Refuse, and Ashes (if Ash Containers are provided at such Site). In addition, Contractor shall accept e-waste and universal 19361.00041\40492119.3
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waste at Clean Bear Site No. 1, and arrange for the transportation of all universal waste (other than e-waste) to City’s corporation yard facility, but only during such times as the County of San Bernardino is conducting Household Hazardous Waste collection. Contractor shall arrange for the transportation of e-waste to a facility that is licensed to properly manage or dispose of it or, where lawfully permitted, it shall arrange for the delivery of the e-waste to a Household Hazardous Waste collection event or facility operated by the County of San Bernardino or another public agency.

Contractor shall provide disposal services from the Clean Bear Sites as frequently as needed to prevent overflow, but in no event less than once per day. CONTRACTOR shall provide City with a schedule showing the normal service times for each Clean Bear Site. Unless the City imposes new or different requirements applicable to these sites that carry additional cost (a change in scope), Contractor shall not be entitled to receive additional compensation from CITY or Customers for the services provided at the Clean Bear Sites, beyond those costs that are already incorporated in the approved rates.

Cleaning, Maintenance and Operation. Contractor shall clean, maintain and operate both Clean Bear Sites. Contractor shall staff and operate both Clean Bear Sites between the hours of 7:00 am and 8:00 pm seven days per week and provide consistent, uninterrupted coverage. Staff shall clean, maintain, and operate both sites while they are staffing them. Staff will also be responsible for verifying eligibility to access and utilize the sites by way of the established verification system (driver's license, property identification card, utility bill, etc.).

All utilities, fencing, landscaping, asphalt maintenance, and snow removal of Site No. 2, sufficient to prevent the Clean Bear Sites from becoming dangerous or a nuisance, shall be provided by City; Contractor shall provide all such services as to Site No. 1. Contractor shall at its sole cost and expense, obtain and maintain all necessary governmental permits and approvals, including, without limitation, any necessary permits from the County of San Bernardino, in order for the Clean Bear Sites to operate according to Applicable Law. Contractor shall maintain all Clean Bear Sites in strict accordance with all Applicable Law, including without limitation, any permits issued pursuant to the National Pollution Discharge Elimination System (NPDES). City and contractor agree to meet in the first year of this Agreement to discuss necessary improvements to the Clean Bear sites to improve traffic flow and other upgrades.

Access to Clean Bear Sites by Commercial Customers. Contractor shall not permit commercial Customers to utilize the Clean Bear Sites.

8.7.1 AB 939 and AB 341 Obligations, Guarantee, and Indemnification

8.7.1.1 Warranties and Representations
Contractor warrants and represents that it is aware of and familiar with City's Source Reduction and Recycling Element (the "SRRE"), that it is familiar with City's waste stream, and that it has the ability to and will use its best efforts to provide programs and services that are designed to ensure City will meet or exceed the diversion goals (including, without limitation, amounts of Solid Waste to be diverted, time frames for diversion, and any other requirements) set forth in AB 939 and AB 341, and all amendments thereto. Stated otherwise, Contractor 19361.00041\40492119.3
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acknowledges that it is responsible for using its best efforts to ensure that its various programs achieve the diversion requirements hereunder.

8.7.1.2 Mutual Cooperation
City and Contractor shall reasonably cooperate in good faith with all efforts by each other to meet City's diversion and other compliance requirements imposed by AB 939, AB 341 and other Applicable Law. In this regard, City's obligations shall include, without limitation, making such petitions and applications as may be reasonably requested by Contractor for time extensions in meeting diversion goals, or other exceptions from the terms of AB 939, AB 341 and other Applicable Law.

8.7.1.3 Waste Reduction and Program Implementation
Contractor shall implement the programs identified in the SRRE immediately upon the Effective Date hereof, and will implement any programs required by any amendments or modifications thereto. Contractor shall employ a Person as a recycling coordinator whose responsibilities will be to implement the programs identified in the SRRE. Contractor shall provide City with monthly, quarterly and annual written reports in a form adequate to meet City's AB 939 and AB 341 related filing and reporting requirements to CalRecycle and to the County of San Bernardino throughout the Term of this Agreement wherein City's performance under the above programs shall be set forth in detail. Contractor shall be responsible to prepare, or assist City with the preparation of, all reports and other information as may be required by any agency, including specifically, the State of California, in order to comply with AB 939 and/or AB 341.

8.7.1.4 Guarantee and Indemnification
(A) Subject to the provisions of Public Resources Code section 40059.1, Contractor warrants and guaranties that it will carry out its obligations under this Agreement such that: (i) both it and City will at all times be in compliance with the requirements of all Applicable Law including specifically AB 939 and AB 341, and (ii) City will meet or exceed the diversion requirements (including, without limitation, amounts of Solid Waste to be diverted, time frames for diversion, and any other requirements) set forth in AB 939, AB 341 and all amendments thereto. Contractor’s obligation is conditioned upon the City’s cooperation in seeking a good faith effort determination, where available, in order to limit the Parties’ exposure to a fine or penalty.

Contractor agrees to protect and defend City, with counsel selected by City, and to indemnify and hold harmless City from and against all fines or penalties imposed by CalRecycle, if such fines or penalties are due to Contractor’s negligence or breach of this Agreement.

8.7.2 Implementation of Additional Diversion Services
In the event City does not meet the current diversion requirement imposed by AB 939 with respect to all waste generated in City, City may direct Contractor to perform additional services (including the implementation of new diversion programs) or modify the manner in which it performs existing services, and Contractor agrees to do so at a charge set forth in the attached Exhibit A or as agreed to by the Parties reflecting the costs incurred by Contractor in 19361.00041\40492119.3
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doing so. Pilot programs and innovative services which may entail new Collection methods and the use of new or alternative waste processing and disposal technologies are included among the kinds of changes which City may direct.

8.8 Additional Services
As part of the consideration for entering this Agreement, Contractor shall provide the following additional services at no charge, and shall not adjust its rates to Customers to offset costs incurred in providing any of the following services:

8.8.1 Public Service Calls From City Departments
Contractor shall, free of charge, respond to calls from City's Public Works Department, to provide Containers and dispose of Bulky Items and other Solid Waste as a result of illegal or unauthorized dumping, or other Code enforcement matters, occurring within City. Contractor agrees that if requested to provide such services in connection with abatement activities for which reimbursement is sought from the property owner by City through abatement liens or otherwise, Contractor will provide billing information sufficient for City to include it in its liens, and Contractor will be paid at such time as the abatement lien is paid, or reimbursement is otherwise obtained by City from the property owner. Upon receipt of a call for service from City made pursuant to this Section, Contractor shall advise City within four (4) hours as to when service will be provided, and unless otherwise agreed by City service shall be provided within twenty-four (24) hours.

8.8.2 Collection at City Sponsored Events
Contractor shall provide Solid Waste and Recyclable Material Collection at all Citysponsored or supported non-profit events. The number, type and service requirements for these events may vary from year to year. This service shall include providing, servicing and storing Containers (cardboard boxes, Carts, Bins and/or Rolloff Boxes), and Collecting, processing and Disposing of all Solid Waste Collected in a manner that complies with all other provisions of this Agreement, and the Applicable Law, including those related to diversion. Contractor shall provide for the necessary solid waste services in support of these events at a rate discounted by 20% from the rate in place at the time of service.

8.8.3 Recycling Assistance for Special Events
Contractor shall assist Persons designated by City (whether City employees or private individuals) who are responsible for coordinating special events or events in large venues (such as concerts or sporting events) in the implementation of recycling programs. Customer or event planner, or upon request from either of them, Contractor, shall be responsible for preparing and submitting to City a "waste reduction and recycling plan" prior to such events. Contractor shall submit to Customer detailed reports within 30 days of the event outlining the Solid Waste Collected, and diverted, and Contractor shall include this data in its Annual Reports to City.

Notwithstanding the foregoing, Contractor may charge for refuse boxes, recycle boxes, and box liners Contractor provides for said special events at rates that do not exceed the maximum rates set forth on Exhibit A.
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8.8.4 Holiday Trees
For the first two regularly scheduled pickup days after New Year’s Day, Contractor shall, free of charge, pick up all Holiday Trees placed out for Collection by Customers. Such trees shall not have flocking or ornaments and must have any tree stand removed and be cut into pieces less than 4 feet in length before Contractor shall be obligated to collect them under this section. Such trees shall not be comingled with other Solid Waste and shall be delivered to a proper facility for processing, rather than disposal, as required by the provisions hereof.

8.9 Special Services
Contractor may provide special pickup procedures or services in addition to the services described herein for Customers who request or require such services at reasonable rates established by Contractor, which rates are subject to approval by the City Manager. Contractor shall notify the City Manager of any such services prior to such time as they are provided in order to allow the City an opportunity to conduct necessary inspections, review the proposed rate, and impose appropriate regulations.

8.10 Route Review, Waste Evaluations and Contamination Minimization.

Contractor shall provide the route reviews, waste evaluations, and contamination minimization set forth in this Section to the extent required by Applicable Law. To the extent permitted by such law, it may reasonably elect between route reviews, waste evaluations, and contamination minimization.

Contractor shall, at its sole expense, conduct annual route reviews each calendar year for Prohibited Container Contaminants in Containers in a manner that is deemed safe by the Contractor, is approved by City, and is conducted in a manner that results in all routes being reviewed annually pursuant to 14 CCR Section 18984.5. Contractor shall visually inspect the contents of a reasonably representative number of Containers, as directed and approved by City.

Contractor shall develop a route review methodology that complies with the requirements of 14 CCR Section 18984.5(b). Contractor shall submit its proposed route review methodology for the coming year to the City no later than January 15 of each year describing its proposed methodology for the calendar year and schedule for performance of each route’s annual review.

Contractor’s proposed route review methodology shall include its plan for Container inspections and shall also include its plan for prioritizing the inspection of Customers that are more likely to be out of compliance. City shall review, comment on, and approve the proposed methodology.

Contractor may commence with the proposed methodology upon approval. If City notifies Contractor that the methodology is inadequate to meet the requirements of SB 1383, Contractor shall, at its sole expense, revise the methodology and, after obtaining City approval, conduct additional route reviews, increased Container inspections, or implement other changes using the revised procedure.

Contractor shall document Contamination with still pictures or video, and will notify the Customer of the Contamination by following the applicable procedures specified in 14 CCR Section 18984.5. Contractor shall perform the recordkeeping requirements for Container 19361.00041\40492119.3
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minimization in 14 CCR Section 18984.6. Contractor may, at its discretion Collect the Container as Recyclable Materials, Organic Materials, or as Solid Waste.

8.11 SB 1383 Monitoring and Inspections.

If requested by City, Contractor shall perform route reviews, compliance reviews, and inspections and reviews in accordance with 14 CCR Section 18995.1.

When compliance reviews are performed by Contractor, Contractor shall provide Cityapproved educational materials, in response to violations. Contractor shall provide these educational materials to the non-compliant Customers within two (2) working days of determination of non-compliance or immediately upon determination of non-compliance if such non-compliance is determined during an inspection or route review. Contractor shall document the non-compliant Customers and the date and type of education materials provided and report such information to the City. The City shall be responsible for subsequent enforcement action against the Customer.

Contractor shall maintain a computer database of all oral and written SB 1383-related non-compliance incidents reported to Contractor from Customers or other persons, and documentation related to route reviews, compliance reviews, inspections, and enforcement.

8.12 Waivers.

If applicable, Contractor shall assist the City in the initial review of waiver applications under 14 CCR Section 18984.11. Contractor shall be responsible for the distribution, collection and evaluation of waiver applications as appropriate and provide the City a recommendation to accept or reject waiver requests. Contractor shall provide Collection services for Customers not subject to waiver.

SECTION 9.

MINIMUM STANDARDS FOR CONTRACTOR'S SOLID

WASTE HANDLING SERVICE COLLECTION VEHICLES

9.1 General
Contractor shall provide vehicles for the Collection of Solid Waste ("Collection Vehicles") that are sufficient in number and capacity to efficiently perform the work required by this Agreement in strict accordance with its terms. Contractor is expressly obligated to provide such Collection Vehicles and routes as are required to meet the service standards set forth herein.

Contractor shall have available on Collection days sufficient back-up vehicles for each type of Collection Vehicle used to respond to complaints and emergencies.

9.2 Air Quality/Fuel Requirements
Contractor's Collection Vehicles shall comply with all rules and regulations of the Air Quality Management District, the Air Resource Board, and any other regulatory body that may be in effect during the Term of this Agreement, as well as other federal, state and local laws and regulations that may be enacted during the Term of this Agreement. Contractor's Collection 19361.00041\40492119.3
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Vehicles shall meet or exceed such air quality standards as may be adopted by the forgoing regulatory bodies during the Term.

9.3 Specific Requirements
Each Collection Vehicle utilized by Contractor in the performance of this Agreement shall meet the following minimum standards:
(A) Each Collection Vehicle shall be registered with the California Department of Motor Vehicles.
(B) Each Collection Vehicle shall be inspected regularly by Contractor, and not less than once every other year, to ensure it meets the requirements of the California Vehicle Code and the California Highway Patrol. Contractor shall provide copies of its Biannual Inspection of Terminal ("BIT") inspection reports to City within 30 days of its receipt of such reports and shall make all records related to its Collection Vehicles, including Contractor's maintenance records, available to City upon request by the City Manager. It is the intention of this provision that all Collection Vehicles be inspected at least once per year -- every other year through a BIT inspection, and in alternative years at least once (if not more often) by Contractor.
(C) Each Collection Vehicle shall be equipped with devices capable of covering every open section of the Collection Vehicle in which Solid Waste may be placed and, while operating upon the public rights-of-way, shall be covered so as to prevent any Solid Waste from falling or being blown or otherwise dislodged from the Collection Vehicle.
(D) Each Collection Vehicle shall be continuously maintained so as to both:
(1) meet the highest industry standards with regards to efforts to prevent liquid from leaking and to the degree possible ensure each Collection Vehicle is "watertight" and "leak-proof" and, (2) at all times comply with the provisions of all laws and regulations including the Vehicle Code and any applicable NPDES permit, with regard to materials leaking from Collection Vehicles. Contractor shall be responsible to promptly clean any spillage or Solid Waste that leaks or otherwise escapes the Collection Vehicle. (E) Each Collection Vehicle shall be painted periodically, which shall include all necessary body work, and shall be regularly cleaned, so that such Collection Vehicles do not become unsightly, as determined by the City Manager. Each Collection Vehicle shall be painted with Contractor's colors and identifying information as required herein. (F) Contractor's name, local or toll free telephone number, and a Collection Vehicle number shall be visibly printed or painted in letters not less than three inches in height on both sides of each Collection Vehicle. Any other information or signage printed, painted, or displayed on Contractor's Collection Vehicles, when such Collection Vehicles are providing Collection services within City Limits, shall be subject to approval by City.
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(G) Each Collection Vehicle shall be maintained in a clean and sanitary condition, both inside and out and shall be washed at least once every seven (7) calendar days.
(H) Each Collection Vehicle shall carry a broom, shovel, and operable fire extinguisher, and shall be equipped with a communication device sufficient to allow the driver to communicate directly with Contractor's dispatcher and/or main office. (I) Each Collection Vehicle shall be kept in good repair and working order, and shall be equipped with appropriate safety equipment, including any new safety related technologies that become standard in the waste industry, and at a minimum shall have a video monitor based back-up system, or its equivalent. Contractor shall keep a sufficient supply of replacement parts and equipment on hand to ensure adequate vehicle maintenance and timely and continuous performance of the services contemplated by this Agreement.
(J) Contractor shall inspect each Collection Vehicle daily to ensure that all equipment is operating properly. Collection Vehicles which are not operating properly shall be removed from service until repaired and operating properly. Contractor shall perform all scheduled maintenance functions upon Collection Vehicles in accordance with the manufacturer's specifications and schedule. Contractor shall repair, or arrange for the repair of, all of its Collection Vehicles and equipment for which repairs are needed because of accident, breakdown or any other cause so as to maintain all equipment in a safe and operable condition. Contractor shall keep accurate records of all Collection Vehicle maintenance and repair, recorded according to date and mileage, including signed verifications that repairs and maintenance has been properly performed, and shall make such records available to City upon request. (K) No Collection Vehicle shall be utilized if it is leaking brake, hydraulic, or other fluids, and Contractor shall clean up any leaks or spills from their Collection Vehicles per the NPDES permit in effect at the time. No fluids shall be washed into storm drains at any time. All NPDES dry-cleaning measures shall be complied with. All Collection Vehicles must be equipped with absorbent for such cleanup efforts. (L) Upon request, Contractor shall furnish City a written inventory of all equipment, including Collection Vehicles, used in providing service pursuant to this Agreement. This inventory shall list all equipment by manufacturer, ID number, date of acquisition, type and capacity.
(M) Contractor shall utilize Collection Vehicles of a size, weight, nature, and type so as to not be unreasonably intrusive on the community with respect to noise, emissions, maneuverability, safety, and other factors and to avoid or minimize pavement damage and wear and tear of the street or adjacent properties, as approved by the City Manager.
(N) Contractor shall not load Collection Vehicles in excess of the manufacturer's recommendations or limitations imposed by state or local laws or 19361.00041\40492119.3
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regulations. Noise levels of equipment used for Collection shall not exceed 75db (seventy-five decibels) when measured at a distance of twenty-five (25) feet from the Collection Vehicle, five (5) feet from the ground.

9.4 Costs of Operation and Damages
Contractor shall be responsible for any costs incurred in connection with ensuring all Collection Vehicles comply with all Applicable Law, including without limitation, any such laws and regulations that may now exist or hereinafter be adopted relating to noise, fuels, emission standards, or weight limits.

9.5 City Inspection
City may cause or require any Collection Vehicle used in performance of this Agreement to be inspected and tested at any time and in such manner as may be appropriate to determine that the Collection Vehicle is being maintained in compliance with the provisions of this Agreement.

9.6 Correction of Defects and Removal of Vehicles from Use within City Contractor agrees to immediately remove from service, and replace or repair, to the City's satisfaction, any Collection Vehicle which City determines to be of unsightly appearance, unsafe, unsanitary, leaking, out of compliance with any law or regulation or this Agreement, or otherwise in an unsatisfactory operating condition; and any such Collection Vehicle shall not be returned to service until the City Manager gives his written consent for its return.

SECTION 10.

CONTRACTOR'S SOLID WASTE HANDLING

SERVICE PERSONNEL

10.1 Uniforms
Each of Contractor's Collection employees shall wear a clean uniform bearing Contractor's name.

10.2 Identification of Employees
Contractor shall provide business cards or similar devices, for all of its employees, and all authorized subcontractors, who may make personal contact with Customers. City may require Contractor to notify Customers yearly of the form of said identification.

10.3 Driver's License
Each employee operating a vehicle as part of his or her duties shall, at all times, carry a valid operator's license for the type of vehicle he or she is operating. All employees who may have contact with Customers in the course of performing their duties shall possess the ability to communicate effectively with Customers.
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10.4 Screening of Field Employees
Contractor shall make reasonable efforts to determine if its employees working in the field (i.e., drivers of Collection Vehicles, and employees otherwise involved in Collection at Customer Premises) have been convicted of a felony, and shall identify any such employees known to it to City. City shall have the ability to require that any employee so identified by Contractor not work in the field within City.

10.5 Discontinued Use of Unsatisfactory Employees
No employee shall continue to have any involvement whatsoever with regard to any work in anyway relating to or arising from this Agreement if City gives notice to Contractor that such employee is determined by City to be discourteous, disorderly, inefficient, or otherwise objectionable (provided the term "otherwise objectionable" shall not permit City to "ban" an employee for reasons that violate public policy; and, further, City shall give a reason for requesting the "ban" of any employee from engaging in work related to this Agreement).

10.6 Training and Legal Compliance
Contractor shall provide operating and safety training that meets minimum CalOSHA standards for all personnel, and shall comply with all laws and regulations applicable to its employees and personnel.

10.7 Customer Service

10.7.1 Office Hours
Contractor shall maintain an office for communication with the public that at a minimum, will be open from 8:00 a.m. to 5:00 p.m. Monday through Friday. At least one responsible and qualified representative of Contractor, capable of communicating in English and Spanish, shall be present and available during all times that an office is required to be open as noted above ("Office Hours"), for personal communication with the public regarding Billing, the payment of Bills, complaints, customer service inquiries, etc., and a similarly qualified Person shall be available for communication with the public by phone during any times other than Office Hours when Collection is occurring.

10.7.2 Telephone Customer Service Requirements

10.7.2.1 Toll Free Number
Contractor shall maintain a toll free telephone number that rings at an office within San Bernardino County at all times during Office Hours. Both English and Spanish speaking personnel will be available during Office Hours to assist Customers with telephonic inquiries.

Contractor shall have the ability (through the use of outside resources or otherwise) to communicate with Customers who only speak Spanish to ensure their inquiries, questions, complaints and other matters are dealt with in a reasonably timely fashion. All such personnel shall be polite and responsive, and shall be sufficiently knowledgeable, and have the authority to respond and/or advise Customers seeking assistance. Contractor's telephone system shall be 19361.00041\40492119.3
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adequate to handle the volume of calls typically experienced on the busiest days. Contractor shall provide City with a 24-hour emergency number to a live Person, not voice-mail.

10.7.2.2 Call Responsiveness
Contractor shall make reasonable attempts to answer all phone calls within five (5) rings.

If a call has been placed on hold for three (3) minutes, the caller will either be switched to a message center which shall be responsible to obtain the caller's address and phone number, or a Customer service representative will obtain the Customer's address and a number at which the call can be returned. Contractor shall make at least three attempts within the next twenty-four (24) hour period to return the call, with the first such attempt not more than one (1) hour after the caller leaves the message. If Contractor is unsuccessful in contacting the Customer after following this procedure, it shall send a letter to the caller indicating its efforts.

10.7.3 Complaint Documentation
All service complaints shall be directed to Contractor. Contractor shall log all complaints received and said log shall include the date and time the complaint was received, the name, address and telephone number of the complaining party, a description of the complaint, the name of the employee recording the complaint and the action taken by Contractor to respond to and remedy the complaint. All written Customer complaints and inquiries shall be date-stamped when received. All complaints shall be initially responded to within one (1) business day (Monday through Friday) of receipt. Contractor shall log action taken to respond to and remedy the complaint. Daily logs of complaints shall be retained for a minimum of twenty-four (24) months. All Customer service records and logs kept by Contractor shall be available to City upon request. City shall, at any time during regular Office Hours, have access to Contractor's Customer service department for purposes that may include monitoring the quality of Customer service or researching Customer complaints. Contractor shall provide to City on a monthly, quarterly, and annual basis, a complaint log, in a form satisfactory to the City, that includes all of the complaints logged pursuant to this Section, the complainant and the resolution.

10.7.4 Resolution of Customer Complaints
Disputes between Contractor and its Customers regarding the services provided in accordance with this Agreement may be resolved by the City. The City's decision shall be final and binding. Should Contractor and Customers not be able to establish a mutually acceptable fee to be charged for special services as set forth in Section 8.10, the matter shall be dealt with pursuant to this Section, be determined by the City, and the City's decision shall be final.

Intervention by the City is not a condition precedent to any rights or remedies third parties might otherwise have in any dispute with Contractor. Nothing in this Section is intended to affect the remedies of third parties against Contractor.

10.7.5 Government Liaison
Contractor shall designate in writing a "Government Liaison" who shall be responsible for working with City and/or City's designated representative(s) to resolve Customer complaints.

City shall have the right to approve Contractor's choice for a liaison. 19361.00041\40492119.3
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10.8 Education and Public Awareness

10.8.1 General
Contractor acknowledges and agrees that education and public awareness are critical, key and essential elements of any efforts to achieve the requirements of AB 939. Accordingly, Contractor agrees to exploit opportunities to expand public and Customer knowledge concerning needs and methods to reduce, reuse and recycle Solid Waste and to cooperate fully with City in this regard.

10.8.2 Written Program Materials
Contractor shall maintain a program of providing information relevant to the need and the methods to reduce, reuse and recycle Solid Waste, and Contractor upon request from City, may include such information along with Bills provided to Customers. All public education materials shall be approved in advance by City. Contractor shall keep a record of all promotional and public education materials utilized, and shall provide quarterly reports summarizing its public outreach and education efforts.

10.8.3 Public Outreach
At a minimum, Contractor shall conduct school assemblies and promote recycling through presentations and educational materials to the Chamber of Commerce, homeowners associations, construction contractors and other civic groups. Contractor shall also provide articles on recycling for local newsletters.

10.8.4 On-going Education Requirements
In order to promote public education, in addition to any other materials it develops, Contractor shall create the following public education materials and programs at its expense, which will be distributed as indicated below. All of these materials and programs shall be produced and/or available in both English and Spanish languages, and all written materials shall be approved by City in advance of distribution, and shall bear the City seal, unless otherwise approved by the City.

10.8.4.1 Annual Notices
Not less than once each year during the Term of this Agreement, Contractor shall prepare and distribute to each Customer a brochure or website providing relevant information about Contractor's services, including, at a minimum: information regarding access to and use of available services; Collection schedules; holiday Collection schedules; Contractor's Customer service numbers; procedures to begin and terminate services; and information promoting and explaining available programs, such as Mixed Waste Bins, Recycling, Organic Waste, Holiday Tree and Bulky Item Collections, the availability of Household Hazardous Waste and e-waste Collection, and the proper handling and disposal of such wastes. 19361.00041\40492119.3
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10.8.4.2 How-To Brochure
Contractor will prepare and distribute a brochure packet to new Customers when they start service. This packet will contain updated information on how to use the Contractorprovided Carts, when, where and how to place Solid Waste for Collection, and who to contact with service or Billing questions.

10.8.4.3 Corrective Action Notice
Contractor shall develop a corrective action notification form for use in instances where a Customer sets out inappropriate materials for Collection, that explains the appropriate manner for disposal of such items.

10.8.4.4 Contractor Representative
Contractor shall retain on its staff an individual who shall as part of his or her job function routinely visit civic groups, school assemblies, and homeowners' associations, to promote and explain the Recycling options and other programs that Contractor offers, and participate in demonstrations and civic events.

10.8.4.5 Web Site Page
Contractor shall dedicate one page of its web site to City services, which shall include at least the following information: a listing of contact numbers for Customer Service; information on Bulky Items Collection; Collection schedules, including holiday schedules; and the procedures to begin and terminate services. During the first six months following the implementation of new services hereunder, this web page shall also provide information explaining the new service, and the proper use of Carts.

SECTION 11.

CONTRACTOR'S CONSIDERATION
In addition to any other consideration set forth herein, as part of its consideration for entering this Agreement, and for the exclusive franchise, right and privilege to provide Solid Waste Handling Services within City as specified herein Contractor shall provide the following:

11.1 Reimbursement of Negotiation Costs
Contractor shall pay to City a one-time lump sum payment of Thirty-Five Thousand Dollars ($35,000) to reimburse the City for its out-of-pocket costs (including specifically consultant and legal fees) incurred in connection with the negotiation and ultimate award of this Agreement. Contractor shall make such payment within thirty (30) days of execution of the Agreement.
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11.2 Franchise Fee

11.2.1 Monthly Franchise Fee
Contractor shall pay to City, a franchise fee equal to six percent (6%) of Contractor's annual Gross Receipts each year, or portion thereof, during the entire Term of this Agreement (the "Franchise Fee"). Said Franchise Fee shall be paid to City monthly on or before the thirtieth (30th) day of each month. Should any such due date fall on a weekend or holiday in which the City's business offices are closed, payment shall be due on the first day thereafter in which the City's business offices are open. The amount of each payment shall be equal to six percent (6%) of Contractor's Gross Receipts in the calendar month preceding the date payment was due. The Franchise Fee due hereunder shall apply to Gross Receipts of Contractor collected after the expiration of the Term hereof relating to Contractor's performance during the Term hereof.

Franchise Fees shall be accompanied by a statement certified by an officer of Contractor attesting to the accuracy of the amounts paid, and setting forth the basis for their calculation in a manner acceptable to City. The Contractor and City agree that the Franchise Fee and other payments in this Section 11.2 are negotiated amounts that are reasonably related to the value of the rights granted to Contractor under this Agreement.

11.3 Services at City Facilities
Contractor shall provide Solid Waste Handling Services (including specifically Collection, disposal and processing) at all Premises owned and/or operated by the City at no cost to City, and shall provide Containers for such service as City deems appropriate for each of its various Premises (i.e., Carts, Bins or Rolloff Boxes). Such services shall be provided for all existing City facilities, as they may be expanded from time to time, as well as all new or additional facilities acquired/constructed during the Term hereof at no additional cost.

Contractor shall carry out its obligations pursuant to this provision in a manner, and to a degree, approved by the City Manager.

SECTION 12.

CHARGE FOR LATE PAYMENTS
In the event Contractor fails to timely make any of the payments provided for in this Agreement (whether reimbursements, Franchise Fees, payments of funds collected in connection with Billing services, or otherwise), Contractor shall pay to City, as additional consideration, a sum of money equal to five percent (5%) of the amount due. This amount is required in order to defray those additional expenses and costs incurred by City by reason of the delinquent payment including, but not limited to, the cost of administering, accounting for, and collecting said delinquent payment and the cost to City of postponing services and projects necessitated by the delay in receiving the revenue. In addition, any amounts not paid to City by Contractor within sixty (60) days of the due date shall be subject to interest in the amount of ten percent (10%) per annum, calculated on a daily basis for each day such sums remain past due. 19361.00041\40492119.3
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SECTION 13.

BILLING SERVICES AND SYSTEMS

13.1 City Billing
The City shall bill all Single Family Residential Customers through the property tax rolls.

City shall remit Contractor its share of the revenue received from the maximum service rates subtracting the Franchise Fee and other City fees and charges upon receipt. City shall have no obligation to collect delinquent or unpaid maximum service rates. However, it shall remit Contractor’s share of any collected delinquent or unpaid maximum service rates in the next remittance.

13.2 Contractor Billing
Except for those Customers billed by City, Contractor shall provide services pursuant to this Agreement at rates it sets, charges to, and collects from Customers; provided, however, Contractor's rates shall not exceed those set forth in the attached Exhibit A, which sets out the maximum rates that may be charged by Contractor for the various different service options that may occur hereunder, as such maximum rates may be adjusted from time to time pursuant to the terms hereof. Contractor shall provide all Customers with itemized Bills, detailing charges for all services, including charges for late payments, as well as the period of service to which the Bill applies. Contractor acknowledges that it, and not Customers, is to pay a Franchise Fee, and the other fees noted herein to City as consideration for this Agreement. Accordingly, Contractor's Bills shall not include separate itemization of a "Franchise Fee," or other similar designation relating to fees which Contractor is required to pay to City. Contractor shall reproduce and include in any Billing, at no additional cost, one page informational "inserts" provided by City.

Billings may be made on a monthly basis in advance of services being provided for all Customers at Single Family or Multi-Family Dwellings utilizing Carts for Collection, and on a monthly basis in advance for all other Customers. Premises ordering service after the first of the month or canceling service prior to the end of the month shall be charged on a prorated perpickup basis.

13.2.1 Suspension of Service Due to Non-Payment
Contractor may discontinue service to any Customer as set forth in this Section.

Customers may be advised that account payments are due within thirty (30) days after the date of Billing. Contractor may notify Customers, using a form approved by the City Manager, that accounts are past due thirty-five (35) days after the initial invoice date, and thereafter may send a final reminder notice forty-five (45) days after the initial invoice date. Said forms shall contain a statement that services may be discontinued sixty (60) days from the date of the initial invoice if payment is not made before that time. If payment is not made by the expiration of said sixty (60) day period, Contractor may discontinue service to that Customer upon the expiration of said sixty (60) day period. Contractor shall resume Solid Waste Collection on the next regularly scheduled Collection day for any Customer whose service is discontinued upon receipt of payment of delinquent fees and any related service restart charges in accordance with the 19361.00041\40492119.3
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maximum rates set forth in Exhibit A, or at such sooner time as directed to do so by City.

Contractor may not charge for service during any period in which service was suspended. Any delinquent fees or service charges to be imposed in connection with delinquent accounts shall not exceed the maximum rates set forth in Exhibit A. A deposit equal to the maximum rate for one month's service as set forth on Exhibit A, as such rates may be amended from time to time, may be required of accounts which have been discontinued for non-payment prior to re-instituting service at such accounts. Notwithstanding the above, in the event of a public health or safety threat directly resulting from the non-Collection of the suspended account, then in that limited instance Contractor shall not suspend service to any Customer without the City's prior consent, and shall continue to provide service to any Customer if directed to do so by City without regard to the status of said Customer's account. Any deviation from this sample procedure shall be submitted for approval to the City Manager.

13.3 Minimum Requirements for Billing Statements
In addition to any other pertinent data, Billing statements mailed by Contractor shall be printed to contain the following information, and the language contemplated for compliance with this requirement shall be subject to the City Manager's approval:
(A) A "statement date" indicating the date the Bill is generated and mailed. (B) For Residential Cart service: the service address associated with the account, the Billing address, an itemized quantity of each type of service the Customer receives, the maximum rate charged for each type of service, and the bar code associated with any Carts located at the address when (if) available. Customers should be able to determine from the Bill the types of services they are receiving and the rates charged for each individual service.
(C) A notice to Customers that payments are due upon receipt of the Bill, and considered delinquent if not paid on or before the 30th days following the invoice date, an advisement of the date and time by which payments must be received in order to avoid delinquent fees (i.e., 4:00 p.m. on the 60th day following the statement date), and a notification of the amount of fees that will be imposed and the potential for service interruptions if payments are not received by the specified date and time. (D) An advisement to Customers that payments can be made in the following manner:
(1) by mailing payment to Contractor at such address as Contractor may designate; or
(2) by automatic withdrawal from a checking account; or (3) by major credit card on-line (i.e., via the Internet). (E) An advisement that inquiries relating to Solid Waste Collection should be directed to Contractor, including an address, phone number and internet site, for such inquiries.
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13.4 Billing System

13.4.1 Computerization of Account Information
Contractor shall provide and maintain, at its expense, computer equipment sufficient to operate pertinent computer programs and otherwise provide the services required by this Section.

Contractor shall create, at its own expense, computer programs sufficient to operate a computerized Billing system, permanently maintain all account records and otherwise meet the requirements of this Section.

13.4.2 Minimum Computer Programming Requirements
In addition to any other requirements set forth herein, the programs created by Contractor to operate and maintain the Billing system shall at a minimum be able to perform the following functions:
(A) create a permanent record of any adjustment to a Customer's account; (B) work in connection with a backup system such that all Customer account data and records is protected from a computer failure and permanently preserved on not less than a daily basis;
(C) allow Customers to make payments on-line (i.e., via the Internet) by a major credit card.

13.4.3 Billing Inquiries
All Billing inquiries shall be entered into the computerized Billing system. Contractor's computer programs shall keep a permanent record of all Billing inquiries and all adjustments to Customer Bills resulting therefrom.

13.4.4 Distribution of Public Information
If requested to do so by City, and at no charge to City, Contractor shall insert any printed material prepared by City into its Billing statements for delivery to its Customers. City shall not request Contractor to include any printed material in its Bills if such material is of a size, shape, or weight that would increase Contractor's postage costs or if such material does not fit into the envelopes utilized by Contractor to mail the Bills. Any printed material to be included in the Bills to be mailed by Contractor shall be provided to Contractor within a reasonable time in advance of Contractor's scheduled mailing date, such that the insertion of such material into Billing envelopes does not delay their scheduled mailing date. 19361.00041\40492119.3
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13.5 Payment, Accounting Systems

13.5.1 Collection and Processing of Payments

13.5.1.1 Accounting and Deposit of Funds
All payments received by Contractor shall be appropriately credited to Customer accounts, deposited in a bank account and accounted for in a businesslike manner utilizing generally accepted accounting principles. Contractor may charge Customers for any returned checks at rates that do not exceed the maximum rates set forth on Exhibit A.

13.5.1.2 Allocation of Funds
With respect to payments received from each Customer, unless a Customer specifically directs a different allocation, funds shall be allocated first to outstanding charges for Solid Waste Collection, then to any related delinquency fees or other administrative charges, up to the amount of any outstanding balance. Any overpayment shall be credited to future Bills in the same sequence, or returned to Customers as appropriate. Contractor may charge Customers for any refunds issued, where said refund is not due to errors in accounting by Contractor, at rates that do not exceed the maximum rates set forth on Exhibit A.

SECTION 14.

FAITHFUL PERFORMANCE

14.1 Surety
Contemporaneously with execution of this Agreement, as security for Contractor's faithful performance of all obligations of this Agreement, Contractor shall provide a surety mechanism (the "Surety") as more fully defined below in the amount of Two Hundred Thousand Dollars ($200,000.00). The Surety may be comprised of either a performance bond or an irrevocable letter of credit, or a combination of both. The performance bond, if any, shall be issued by a duly authorized corporate surety company authorized to do business in California, and in a form acceptable to the City Attorney for the City. The cost of the Surety shall be the sole responsibility of Contractor. The Surety shall be released within thirty (30) days after both (i) the expiration of the Term of this Agreement and (ii) Contractor's satisfactory performance of all obligations hereunder.

14.1.1 Forfeiture of Surety
In the event Contractor shall for any reason become unable to, or fail in any way to, perform as required by this Agreement, City may declare a portion or all of the Surety, as may be necessary to recompense and make whole the City, forfeited to the City. Upon partial or full forfeiture of the Surety, Contractor shall restore the Surety to its original amount within thirty (30) days of the City's notice to do so. Failure to restore the Surety to its full amount within thirty (30) days shall be a material breach of this Agreement. 19361.00041\40492119.3
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14.1.2 Use of Surety by City
Notwithstanding any provision hereof to the contrary, thirty (30) days following City providing Contractor with written notice of its failure to pay City any amount owing under this Agreement, either the letter of credit or performance bond comprising the Surety may be utilized by City for purposes including, but not limited to: (1) Payment of sums due under the terms of this Agreement which Contractor has failed to timely pay to City, including specifically liquidated damages; (2) Reimbursement of costs borne by City to correct violations of this Agreement not corrected by Contractor.

14.2 Replacement Letter of Credit
City may draw upon the entire letter of credit (if any) utilized to meet Contractor's obligations pertaining to the Surety, and convert it to a cash deposit, if Contractor fails to cause the letter of credit to be extended or replaced with another satisfactory letter of credit no later than sixty (60) days prior to its expiration.

SECTION 15.

INSURANCE COVERAGE
Contractor shall procure and maintain during the entire Term of this Agreement the following types of insurance, and shall maintain the following minimum levels of coverage, which shall apply to any claims which may arise from or in connection with Contractor's performance hereunder or the actions or inactions of any of Contractor's officers, agents, representatives, employees, or subcontractors in connection with Contractor's performance. The insurance requirements hereunder in no way limit Contractor's various defense and indemnification obligations, or any other obligations as set forth herein.

15.1 Minimum Scope of Insurance
Coverage shall be at least as broad as:

1. The most recent editions of Insurance Services Office Commercial General Liability coverage ("occurrence" form CG 00 01).

2. The most recent editions of Insurance Services Office form number CA 00 01 1001 covering Automobile Liability, code 1 "any auto."

3. Workers' Compensation insurance as required by the Labor Code of the State of California and Employers Liability insurance.
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15.2 Minimum Limits of Insurance
Contractor shall maintain in force for the Term of this Agreement limits no less than:

15.2.1 Comprehensive General Liability
Three Million Dollars ($3,000,000.00) limit aggregate and Three Million Dollars ($3,000,000.00) limit per occurrence for bodily injury, personal injury and property damage.

Such limits can be achieved through a combination of primary and excess liability policies.

15.2.2 Automobile Liability
Five Million Dollars ($5,000,000.00) limit aggregate and Three Million Dollars ($3,000,000.00) limit per accident for bodily injury and property damage. Such limits can be achieved through a combination of primary and excess liability policies.

15.2.3 Workers' Compensation and Employers Liability
Workers' compensation limits as required by the Labor Code of the State of California and Employers Liability limits of One Million Dollars ($1,000,000.00) per accident.

15.3 Deductibles and Self-Insured Retentions
Any deductibles or self-insured retentions must be declared to and approved by City. If, in the reasonable opinion of the City, Contractor does not have sufficient financial resources to protect the City from exposure with respect to any deductibles or self-insured retentions Contractor shall procure a bond guaranteeing payment of losses and related investigations, claim administration and defense expenses.

15.4 Other Insurance Provisions
The policies are to contain, or be endorsed to contain, the following provisions:

15.4.1 General Liability and Automobile Liability Coverage City and its elected and appointed officials, officers, employees, agents and volunteers shall be named as additional insureds in connection with liability arising out of activities performed by or on behalf of Contractor; Premises owned, leased or used by Contractor; and vehicles owned, leased, hired or borrowed by Contractor. The coverage shall contain no special limitations on the scope of protection afforded to City or its elected and appointed officials, officers, employees, agents and volunteers. Contractor's insurance coverage shall be the primary insurance for the City and its elected and appointed officials, officers, employees, agents and volunteers in connection with the above enumerated categories. Any insurance or self-insurance maintained by City or its elected and appointed officials, officers, employees, agents and volunteers shall be in excess of Contractor's insurance and shall not contribute with it. Any failure to comply with the reporting provisions of the policies shall not affect coverage provided to City or its elected and appointed officials, officers, employees, agents and volunteers.

Coverage shall state that Contractor's insurance shall apply separately to each insured against 19361.00041\40492119.3
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whom a claim is made or suit is brought, except with respect to the limits of the insurer's liability.

15.4.2 Workers' Compensation and Employers Liability Coverage The insurer shall agree to waive all rights of subrogation against City and its elected and appointed officials, officers, employees, agents, and volunteers for losses arising from work performed by Contractor for City.

15.4.3 Environmental Pollution Control Insurance
Contractor shall maintain either an endorsement to its general liability policy, or a separate policy of insurance covering environmental pollution and contamination that names the City as an additional insured. Said coverage shall be in the amount of not less than Five Million Dollars ($5,000,000) per occurrence, and Five Million Dollars ($5,000,000) in the aggregate, and shall substantially comply with all other provisions set forth in Section 15.4.1.

15.4.4 All Coverages
Each insurance policy required by this clause shall be endorsed to state that coverage shall not be suspended, voided, canceled by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to City.

15.5 Acceptability of Insurers
The insurance policies required by this Section shall be issued by an insurance company or companies authorized to do business in the State of California and with a rating in the most recent edition of Best's Insurance Reports of size category VII or larger and a rating classification of A- or better, unless otherwise approved by the City Manager.

15.6 Verification of Coverage
Contractor shall furnish City with certificates of insurance and with original endorsements affecting coverage required by this Article. The certificates and endorsements for each insurance policy are to be signed by a Person authorized by that insurer to bind coverage on its behalf. The certificates and endorsements are to be on forms provided by or acceptable to City and are to be received and approved by City before work commences. City reserves the right to require complete, certified copies of all required insurance policies, at any time.

15.7 Loss or Reduction in Insurance
In the event that Contractor fails to retain or maintain insurance with the scope and amounts of coverage required hereunder, City shall have the right, but not the obligation to either terminate this Agreement, or obtain insurance coverage as required herein on behalf of Contractor and utilize funds from the Surety defined in Section 14 to pay the cost of providing such coverage.
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SECTION 16.

ASSIGNMENT, SUBLETTING, AND TRANSFER;

REQUIREMENTS AND LIMITATIONS

16.1 General
Contractor shall not assign its rights, nor delegate, subcontract or otherwise transfer its obligations under this Agreement (collectively referred to as an "Assignment") to any other Person without the prior approval by the City Council. The City Council has unfettered discretion to approve or deny such an Assignment. Any such Assignment made without the approval by the City Council shall be void and the attempted Assignment shall constitute a material breach of this Agreement. Notwithstanding the foregoing, Contractor may transfer its obligations among any of its existing owners with notice to the City.

16.2 Assignment to be Broadly Interpreted
For purposes of this Section the term "Assignment" shall be given the broadest possible interpretation and shall include, but not be limited to: (i) a sale, exchange or other transfer of substantially all of Contractor's assets dedicated to service under this Agreement to a third party; (ii) a sale, exchange or other transfer of any membership interest of Contractor to a third party; (iii) any dissolution, reorganization, consolidation, merger, re-capitalization, stock issuance or re-issuance, voting trust, pooling agreement, escrow arrangement, liquidation or other transaction which results in a change of ownership or control of Contractor; (iv) any assignment by operation of law, including those resulting from mergers or acquisitions by or of Contractor or any of its Affiliates, insolvency or bankruptcy, making assignment for the benefit of creditors, writ of attachment for an execution being levied against this Agreement, appointment of a receiver taking possession of Contractor's property, or transfer occurring in the event of a probate proceeding; and (v) any combination of the foregoing (whether or not in related or contemporaneous transactions) which has the effect of any such transfer or change of ownership, or change or control of Contractor. Notwithstanding the foregoing, the transfer or sale of shares of Contractor between current owners of Contractor shall be deemed an Assignment.

16.3 Nature of Agreement – Personal to Contractor
Contractor acknowledges that this Agreement involves rendering a vital service to City's residents and businesses, and that City has selected Contractor to perform the services specified herein based on (1) Contractor's experience, skill and reputation for conducting its Solid Waste Handling Services in a safe, effective and responsible fashion, at all times in keeping with applicable Environmental Laws, regulations and best Solid Waste management practices, and (2) Contractor's financial resources to maintain the required equipment and to support its indemnity obligations to City under this Agreement. City has relied on each of these factors, among others, in choosing Contractor to perform the services to be rendered by Contractor under this Agreement.

16.4 Procedure for Consideration of Assignment
If Contractor requests City's consideration of and consent to an Assignment, the City Council may deny, approve or conditionally approve such request in its sole and absolute 19361.00041\40492119.3
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discretion. Under no circumstances shall City be obliged to consider any proposed Assignment if Contractor is in default at any time during the period of consideration. Should the City consent to any Assignment request, such Assignment shall not take effect until all conditions relating to the City's approval have been met. Any request for an Assignment shall be made in a manner to be prescribed by the City Manager, and no request by Contractor for consent to an Assignment need be considered by City unless and until Contractor has met (or with respect to matters that would only occur upon completion of the Assignment if approved, made reasonable assurances that it will meet) the following requirements:
(A) Contractor shall undertake to pay City only its reasonable direct and indirect expenses, including administrative, investigative, consulting, and attorneys' fees and costs necessary to investigate the suitability of any proposed assignee, and to review and finalize any documentation required as a condition for approving any such Assignment (collectively the "Administrative Assignment Fee"). An advance nonrefundable payment in an amount to be determined by the City Manager towards the Administrative Assignment Fee shall be paid to the City prior to City's consideration of any Assignment request, although Contractor shall be responsible to pay all costs incurred by City in considering a request for Assignment, including those in excess of the aforesaid deposit amount, regardless of whether City consents to the Assignment. (B) If requested to do so, Contractor shall furnish City with audited financial statements of the proposed assignee's operations for the immediately preceding three (3) operating years.
(C) Contractor shall furnish City with satisfactory proof: (i) that the proposed assignee has at least ten (10) years of Solid Waste management experience on a scale equal to or exceeding the scale of operations conducted by Contractor under this Agreement; (ii) that in the last five (5) years, the proposed assignee has not suffered any significant citations or other censure from any federal, state or local agency having jurisdiction over its Solid Waste management operations due to any significant failure to comply with state, federal or local laws, including the Environmental Laws and that the assignee has provided City with a complete list of such citations and censures; (iii) that the proposed assignee has at all times conducted its operations in an environmentally safe and conscientious fashion; (iv) that the proposed assignee conducts its Solid Waste management practices in accordance with sound Solid Waste management practices in full compliance with all federal, state and local laws regulating the Collection and disposal of Solid Waste including Hazardous Substances; and, (v) of any other information required by City to ensure the proposed assignee can fulfill the terms of this Agreement in a timely, safe and effective manner.
(D) The proposed assignee shall execute an agreement assuming all of Contractor's rights and liabilities under this Agreement. 19361.00041\40492119.3
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SECTION 17.

REVIEW OF SERVICES AND PERFORMANCE

17.1 Performance Hearing
(A) Commencing in or about July 2024, and every five years thereafter, City may hold a hearing to review Contractor's Solid Waste Collection efforts, source reduction, processing and other diversion services and overall performance under this Agreement (the "Solid Waste Services and Performance Review Hearing"). The purpose of the Solid Waste Services and Performance Review Hearing is to provide for a discussion and review of technological, economic, and regulatory changes in Collection, source reduction, recycling, processing and disposal to achieve a continuing, advanced Solid Waste Collection, source reduction and recycling and disposal system; and to ensure services are being provided by Contractor with adequate quality, effectiveness and economy and in full compliance with the terms of this Agreement. Topics for discussion and review at the Solid Waste Services and Performance Review Hearing shall include, but shall not be limited to, services provided, feasibility of providing new services, application of new technologies, Customer complaints, amendments to this Agreement, developments in the law, new initiatives for meeting or exceeding AB 939's goals and requirements, regulatory constraints and Contractor performance. City and Contractor may each select additional topics for discussion at any Solid Waste Services and Performance Review Hearing.
(B) In addition to the Solid Waste Services and Performance Review Hearings City may hold in accordance with the immediately preceding paragraph, if the number of Customer complaints regarding Contractor's Solid Waste Collection are deemed by City to be excessive, City may, at any time (subject to the paragraph immediately below), hold a Solid Waste Services and Performance Review Hearing.
(C) City shall notify Contractor of its intent to hold a Solid Waste Services and Performance Review Hearing at least ninety (90) days in advance thereof. The notice will indicate whether the hearing will occur before City staff, the City Council, or such other body as the City may designate in the notice. Forty-five (45) days after receiving notice from City of a Solid Waste Services and Performance Review Hearing, Contractor shall submit a report to City which may contain such information as it wished to have considered, and shall contain the following:
(1) Current diversion rates and a report on Contractor's outreach activities for the past year.
(2) Recommended changes and/or new services to improve the City's ability to meet the goals of AB 939, AB 1826, SB 1383 and AB 341 and to contain costs and minimize impacts on rates.
(3) Any specific plans for provision of changed or new services by Contractor.
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(D) The reports required by this Agreement regarding Customer complaints shall be used as one basis for review of Contractor's performance, and Contractor may submit other relevant performance information and reports for consideration at the Solid Waste Services and Performance Review Hearing. In addition to the above, City may request Contractor to submit any other specific information relating to its performance for consideration at the Solid Waste Services and Performance Review Hearing, and any Customer may submit comments or complaints during or before the Hearing, either orally or in writing. Contractor shall be present at and participate in the Solid Waste Services and Performance Review Hearing.

SECTION 18.

CITY'S REMEDIES; DEFAULT AND TERMINATION

18.1 Notice of Default
If the City Manager determines that Contractor has defaulted in the performance of any obligation hereunder, or that Contractor's performance pursuant to this Agreement with respect to such matters has not been in conformity with reasonable industry standards which are obtained in similar cities in Southern California, the provisions of this Agreement, the requirements of the Municipal Code, the requirements of CalRecycle, including, but not limited to, requirements for source reduction and recycling or any other applicable federal, state, or local law or regulation, including but not limited to the laws governing transfer, storage, or disposal of Special Wastes, or Hazardous Waste, the City Manager may provide written notice to Contractor of such default.

The City Manager may, in such written notice, set a reasonable time within which correction of such default shall be made. Unless a longer or shorter time is otherwise specified by the City Manager, a reasonable time for correction shall be thirty (30) days from the date such written notice is given.

18.2 Failure to Cure
If Contractor fails to correct, to the satisfaction of the City Manager, all deficiencies contained in the written notice thereof within the specified time, or if it is not reasonably possible to correct such deficiencies within the specified time, and Contractor fails to commence to correct or remedy such deficiencies within the specified time and diligently effect such correction or remedy thereafter, then the City Manager may refer the matter to the City Council for review, or review the matter himself.

18.3 Review by City Manager
If the City Manager reviews the matter and determines that Contractor has failed to properly or adequately cure any default set forth above, the City Manager, in the exercise of his discretion, may terminate this Agreement, or take such other action as he deems appropriate to pursue any remedy available to City. A decision or order of the City Manager shall be final and binding on Contractor unless Contractor files a "Notice of Appeal" with the City Clerk within five (5) business days of the date the notice of the City Manager's decision is given. The City Manager shall schedule any appeal for consideration by the City Council at the earliest feasible City Council Meeting following the date a Notice of Appeal is given to City. 19361.00041\40492119.3
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18.4 City Council Review
In the event an appeal of a decision of the City Manager is filed, or if the City Manager refers the matter to the City Council without rendering a decision, the City Council shall set the matter for consideration before the City Council as a regular agenda item. In reviewing the matter the City Council may consider any information reported by the City Manager regarding the deficiencies, and shall give Contractor, or its representatives and any other interested Person, a reasonable opportunity to be heard. The City Council shall determine whether Contractor has failed to properly or adequately perform as set forth above, and if so whether to terminate the Agreement, or to pursue any other remedy available to City.

18.5 Performance During Reviews
Contractor's performance under this Agreement is not excused during any period of time when its performance is under review as set forth above, including at any time prior to a final decision as to whether such performance is deficient.

18.6 Termination without Right to Cure
The above right of termination as a result of Contractor's failure to timely cure any deficiency is in addition to City's right to terminate this Agreement without affording Contractor an opportunity to cure in circumstances where Contractor is determined by City to have materially breached this Agreement. City shall thus be afforded the right to terminate this Agreement in the event of any material breach hereof by Contractor without affording Contractor the right to cure as a result of any action, inaction, or circumstance which is a legally defined material breach, or is defined herein as a material breach, and/or under any of the following circumstances which are hereby specifically defined as material breaches:
(A) If Contractor practices, or attempts to practice, any fraud or misrepresentation upon City.
(B) If Contractor becomes insolvent, unable, or unwilling to pay its debts, or upon listing of an order for relief in favor of Contractor in a bankruptcy proceeding. (C) If Contractor willfully violates any orders or rulings of any regulatory body having jurisdiction over Contractor relative to this Agreement. So long as City's rights are not prejudiced during the pendency of any challenge to such orders or rulings by Contractor, Contractor may contest any such orders or rulings by appropriate proceedings conducted in good faith, in which case no material breach of this Agreement shall be deemed to have occurred until a final ruling has been rendered. (D) If Contractor ceases to provide Solid Waste Handling Services as required under this Agreement over all or any portion of the Franchise Area for a period of two (2) days or more, for any reason not specified as a force majeure event hereunder. This subdivision (D) does not apply to the cessation of Solid Waste Handling Services requested, demanded, or approved by the City.
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(E) If Contractor fails to materially comply with any insurance or indemnification requirement set forth in this Agreement. (F) If City is required to pay any fine or penalty wholly or partially attributable to the action or inaction of the Contractor, which is not paid on its behalf by Contractor or which Contractor fails, refuses, neglects or is unable to pay or indemnify City against, relating to any diversion or other requirement of AB 939, AB 1826, SB 1383, AB 341 and/or other Applicable Law as set forth in this Agreement. (G) If Contractor, or any management-level employee of Contractor, is convicted of a Criminal Matter (as defined herein). For purposes of this Section the term Criminal Matter refers to any felony or misdemeanor involving moral turpitude offenses arising out of performance of the Solid Waste Handling Services or public corruption (including, without limitation, bribery, conflict of interest related allegations, vote selling, or any similar type charges).
(H) Contractor retains the right to City Council Review under Section 8.14 even where termination is predicated on circumstances listed in this section. This subdivision (H) does not confer a right to cure, but rather a right to appear and be heard before the City Council prior to termination.

18.7 Liquidated Damages

18.7.1 General
The City finds, and Contractor agrees, that as of the time of the execution of this Agreement, it is impractical, if not impossible, to reasonably ascertain the extent of damages which shall be incurred by City as a result of a breach by Contractor of certain specific obligations under this Agreement. The factors relating to the impracticability of ascertaining damages include, but are not limited to, the fact that: (i) substantial damage results to members of the public who are denied services or denied quality or reliable service; (ii) such breaches cause inconvenience, anxiety, frustration, and deprivation of the benefits of the Agreement to individual members of the general public for whose benefit this Agreement exists, in subjective ways and in varying degrees of intensity which are incapable of measurement in precise monetary terms; (iii) that the services that are the subject of this Agreement might be available at substantially lower costs than alternative services and the monetary loss resulting from denial of services or denial of quality or reliable services is impossible to calculate in precise monetary terms; and (iv) the termination of this Agreement for such specific breaches, and other remedies are, at best, a means of future correction and not remedies which make the public whole for past breaches.

18.7.2 Service Performance Standards; Liquidated Damages for Failure to Meet Standards
The parties further acknowledge that consistent, reliable Solid Waste Handling Service is of utmost importance to City and that City has considered and relied on Contractor's representations as to its quality of service commitment in entering this Agreement with it. The parties further recognize that some quantified standards of performance are necessary and 19361.00041\40492119.3
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appropriate to ensure consistent and reliable service and performance. The parties further recognize that if Contractor fails to achieve the performance standards, or fails to submit required documents in a timely manner, City and its residents will suffer damages and that it is and will be impractical and extremely difficult to ascertain and determine the exact amount of damages which City will suffer. Therefore, without prejudice to City's right to treat such breaches as an event of default, the parties agree that the following liquidated damage amounts represent a reasonable estimate of the amount of such damages for such specific breaches, considering all of the circumstances existing on the date of this Agreement, including the relationship of the sums to the range of harm to City that reasonably could be anticipated and the anticipation that proof of actual damages would be costly or impractical. In placing their initials at the places provided, each party specifically confirms the accuracy of the statements made above and the fact that each party has had ample opportunity to consult with legal counsel and obtain an explanation of the liquidated damage provisions at the time that the Agreement was made.

Contractor
Initial Here
City
Initial Here

18.7.3 Calculations for Liquidated Damages
Contractor agrees to pay (as liquidated damages and not as a penalty) the amounts set forth below for each type of action warranting such damages:

18.7.3.1 Collection Reliability
(A) For each failure to commence service to a new Customer account within seven (7) days after order, which exceed five (5) such failures annually: $150.00. (B) For each failure, which exceeds ten (10) such failures annually, to Collect Solid Waste from any established Customer on the scheduled Collection day and not Collected within the period described in this Agreement: $150.00 per Container.

18.7.3.2 Collection Quality
(A) For each occurrence of failure to properly return empty Containers to avoid pedestrian or vehicular traffic impediments or to place Containers upright with lids secured which exceeds ten (10) such occurrences annually: $150.00. (B) For each occurrence of excessive noise or discourteous behavior which exceeds ten (10) such occurrences annually: $250.00.
(C) For each occurrence of Collecting Solid Waste during unauthorized hours which exceeds five (5) such occurrences annually: $250.00. 19361.00041\40492119.3
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(D) For each occurrence of damage to private property (unless considered unavoidable damage) in an amount in excess of $1,000 which exceeds five (5) such occurrences annually: $250.00.
(E) For each failure to clean up Solid Waste spilled from Containers, excepting amounts that are so nominal in nature that they would not reasonably be expected to be noticed by the driver of a Collection Vehicle, within 90 minutes that exceeds ten (10) such failures annually: $150.00.

18.7.3.3 Customer Responsiveness
(A) For each failure to initially respond to a Customer complaint within one (1) business day, which exceeds five (5) such occurrences annually, and for each additional day in which the complaint is not addressed: $250.00. (B) For each failure to process Customer complaints to City as required herein, which exceeds five (5) such occurrences annually: $250.00. (C) For each failure to remove graffiti from Containers, or to replace with Containers bearing no graffiti, within forty-eight (48) hours of a request from City:
$150.00.

18.7.3.4 Timeliness of Submissions to City
(A) Any report shall be considered late until such time as a correct and complete report is received by City. A ten day grace period shall apply for each report following its due date, and thereafter for each calendar day a report is late, the daily liquidated damage amount shall be:
(1) Monthly Reports: $100.00 per day
(2) Quarterly Reports: $250.00 per day
(3) Annual Reports: $350.00 per day

18.7.4 Process for Assessment of Liquidated Damages
(A) City may determine the occurrence of events giving rise to liquidated damages through the observation of its own employees or representative or investigation of Customer complaints. It is the desire of the parties to work together to avoid the imposition of liquidated damages and accordingly City will endeavor to timely communicate to Contractor any information that it receives which might give rise the imposition of liquidated damages in order to facilitate Contractor’s ability to correct any deficiency, or prevent the recurrence of any conduct for which liquidated damages might eventually be imposed.
(B) Prior to assessing liquidated damages, City shall give Contractor notice of its intention to do so. The notice will include a brief description of the incident(s)/non- 19361.00041\40492119.3
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performance. Contractor may review (and make copies at its own expense) all information in the possession of City relating to incident(s)/non-performance. Contractor may, within ten (10) days after receiving the notice, request a meeting with City.

Contractor may present evidence in writing and through testimony of its employees and others relevant to the incident(s)/non-performance. City will provide Contractor with a written explanation of his or her determination on each incident(s)/non-performance prior to authorizing the assessment of liquidated damages. The decision of City shall be final. (C) City may assess liquidated damages for each calendar day or event, as appropriate, that Contractor is determined to be liable in accordance with this Agreement.

18.7.5 Timing of Payment
Contractor shall pay any liquidated damages assessed by City within ten (10) days after they are assessed. If they are not paid within the ten (10) day period, City may proceed against any security required by this Agreement to obtain payment, and/or find Contractor in default and exercise its right to terminate this Agreement as set forth herein.

SECTION 19.

CONTRACTOR’S REMEDIES

19.1 Other Remedies; Claims
Contractor shall be entitled to all available remedies in law or equity for City’s breach of this Agreement; provided, however, Contractor shall not file or otherwise commence any action against City, in law or equity, in any court, until after an administrative hearing as set forth above has been completed, and the above noted thirty (30) day period to accept the hearing officer’s decision has passed, or either City or Contractor has given timely written notice to the other that it will not accept the hearing officer's decision.

19.2 Actions for Damages
As a prerequisite to the filing and maintenance of any action for damages by Contractor against City arising out of this Agreement, Contractor shall present a claim to City, as required by Government Code Section 910 et seq., within 30 days of the date of the occurrence giving rise to the claim for damages. Contractor shall have no right to assert a claim for damages related to City’s failure to approve or delay in considering a rate adjustment. In such cases, County may file a petition for writ of mandate.

SECTION 20.

CITY’S ADDITIONAL REMEDIES
In addition to any other remedies set forth herein, City shall be entitled to any or all of the following rights and remedies in the event of a breach of this Agreement by Contractor:
(A) The right to use Contractor’s equipment for the purpose of Collecting, transporting, and/or disposing of Solid Waste, including Recyclable Material, for a period not to exceed six (6) months. In the case of equipment not owned by Contractor, 19361.00041\40492119.3
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Contractor shall assign to City, to the extent Contractor is permitted to do so under the instruments pursuant to which Contractor possesses such equipment, the right to use and possess the equipment. If City exercises its rights under this Section, City shall pay to Contractor the reasonable rental value of the equipment for the period of City’s possession thereof (although payment may, if appropriate, occur in the form of a setoff against damages otherwise owed by Contractor pursuant to the terms hereof); (B) The right to license others to perform the services otherwise to be performed by Contractor hereunder, or to perform such services itself; and (C) The right to obtain damages and/or injunctive relief. Both parties recognize and agree that in the event of a breach of this Agreement by Contractor, City will suffer irreparable injury and incalculable damages sufficient to support injunctive relief, to specifically enforce the provisions of this Agreement, and to enjoin the breach hereof.

SECTION 21.

RIGHTS OF CITY TO PERFORM DURING EMERGENCY

21.1 Provision of Service
Should Contractor, for any reason whatsoever, refuse or be unable to provide Solid Waste Handling Services for a period of more than seventy-two (72) hours, and if as a result thereof, Solid Waste should accumulate in City to such an extent or in such a manner that the City Manager finds that such accumulation endangers or menaces the public health, safety, or welfare, City shall have the right, upon twenty-four (24) hours prior written notice to Contractor, during the period of such emergency, to temporarily take possession of any or all equipment and facilities of Contractor previously used in providing Collection, transportation, and disposal of Solid Waste and provide, through its own forces or otherwise, Solid Waste Handling Services which Contractor otherwise would be obligated to provide pursuant to this Agreement.

Contractor agrees that in such event it shall fully cooperate with City to affect such a transfer of possession for City’s use.

21.2 Possession of Equipment
Contractor agrees, that in the event of circumstances described in Section 21.1 above, City may take temporary possession of and use all of said equipment and facilities without paying Contractor any rental or other charge. Upon Contractor giving City notice that it is able to resume its normal responsibilities under this Agreement City shall either relinquish possession of all of the above mentioned property to Contractor.
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21.3 Exclusions from Right to Possession of Equipment without Compensation Specifically excluded from the circumstances in which City may possess and utilize Contractor’s equipment without compensation are circumstances in which Contractor fails or refuses to provide Solid Waste Handling Services hereunder for any reason which is not a force majeure event as defined herein. In such circumstances City’s right to utilize and possess Contractor’s equipment shall be subject to the provisions of the above Section 20.

21.4 Indemnity by City
The City shall indemnify the Contractor for any harm or liability to third parties, or damage to the equipment, from the use of Contractor’s equipment arising out or related to the City’s negligence and willful misconduct.

SECTION 22.

PRIVACY
Contractor shall strictly observe and protect the privacy rights of Customers. Information identifying individual Customers or the composition or contents of a Customer's Solid Waste stream, or any of the Billing information pertaining to any Customers, shall not be revealed to any Person, governmental unit, private agency, or company, unless upon the authority of a court of law, by statute, ordinance, or regulation of a governmental agency having jurisdiction, or upon valid authorization of the Customer. This provision shall not be construed to preclude Contractor from preparing, participating in, or assisting in the preparation of waste characterization studies or waste audits which may be required by AB 939 or this Agreement.

Contractor shall not market or distribute, outside the normal course of its business, mailing lists with the names and addresses of Customers. The rights afforded Customers pursuant to this Section shall be in addition to any other privacy right afforded Customers pursuant to federal or state law.

SECTION 23.

REPORTS AND ADVERSE INFORMATION
The parties acknowledge that City will require reporting at various intervals by which information important to City can be complied and analyzed. Throughout the Term the parties agree to work together to address City's needs with respect to the information to be contained in reports prepared by Contractor. The following is intended as a starting point in order to have established an objective baseline for reporting, but the frequency and content of the reports called out below may be changed by agreement of the parties; provided any such change is approved by the City Manager in writing. Records related to performance of this Agreement shall be maintained by Contractor in forms and by methods that facilitate flexible use of data contained in them to structure reports, as needed. The format of each report shall be approved by City. Contractor agrees to submit all reports in an electronic format approved by the City, compatible with City's software/computers at no additional charge. Monthly reports shall be submitted within forty-five (45) calendar days after the end of the report month. Quarterly reports shall be submitted within forty-five (45) calendar days after the end of the calendar quarter.
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23.1 Monthly Reports
At a minimum, Contractor shall report the following to City on a monthly basis: Solid Waste Collected by Contractor for each month, sorted by type of Solid Waste in tons broken down at a level acceptable to City (which at a minimum shall include: refuse, Green Waste, e-waste and Universal Waste, types of Recyclables including PET, HDPE, mixed plastics, aluminum, cardboard, mixed paper), as well as by Customer type (i.e., single family-curbside, multi-family, commercial, roll-off, etc.); the facilities where all Solid Waste Collected was processed or disposed; warning notices issued for contaminated Recycle and Green Waste Containers; and a narrative summary of problems encountered (including scavenging) and actions taken with recommendations for City, as appropriate.

23.2 Quarterly Reports
At a minimum, Contractor shall report the following to City on a quarterly basis: the information required in the monthly reports; the complaint summary for the quarter summarized by nature of complaints; copies of promotional and public education materials sent during the quarter; description of Contractor outreach activities conducted the previous quarter; and such other information or reports that the City may reasonably request or require. Contractor shall, upon demand by City, provide true and accurate copies of landfill tipping receipts, records showing delivery at processing or reuse facilities, and similar such documents in order to enable City to verify Contractor's quarterly reports.

23.3 Annual Reports
Each year during the Term of this Agreement and within sixty (60) days following the end of the Term, Contractor shall submit a written annual report, at its sole expense, in a form approved by City, which includes, but is not limited to, the following information:
(A) A summary of the previous year's activities including, but not limited to, services begun or discontinued during the reporting year, and the number of Customers broken down on a monthly basis;
(B) A summary of the total tons of Solid Waste Collected in City in the preceding year as well as a summary of the total tonnage diverted from the State's landfill systems during that time frame;
(C) Information and reports required by City to meet its reporting obligations imposed by AB 939 and the regulations implementing AB 939, in a form and content approved by the City Manager;
(D) A revenue statement, certified by the chief financial officer of Contractor, setting forth Franchise Fee payments, and the basis for the calculation thereof, including specifically a breakdown of sources of revenue included in Gross Receipts and the amount of revenue derived from each such source comprising Gross Receipts; (E) A list of stockholders or other equity investors holding five percent (5%) or more of the interest in Contractor;
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(F) A summary of the results from all annual residential audits; (G) A list that contains the total number of Carts at each service address as required by Section 8.1.8(F); and
(H) Any other information related to Contractor’s performance of this Agreement as may be requested by City.

23.4 Adverse Information
(A) Contractor shall provide City two copies of all reports and other material adversely affecting this Agreement submitted by Contractor to the United States Environmental Protection Agency, CalRecycle, the California Regional Water Quality Control Board, and any other federal, state, regional, or local regulatory agency. Copies shall be submitted to City simultaneously with Contractor's filing of such matters with said agencies. Contractor's routine correspondence to said agencies need not be automatically submitted to City, but shall be made available to City upon written request. (B) Contractor shall submit to City copies of all pleadings, applications, notifications, communications, and documents of any kind submitted by Contractor to, as well as copies of all decisions, correspondence, and actions by, any federal, state, and local courts, regulatory agencies, and other government bodies relating in any manner to Contractor's performance of services pursuant to this Agreement. To the degree authorized by law, any confidential data exempt from public disclosure shall be retained in confidence by City and its authorized agents and shall not be made available for public inspection.
(C) Contractor shall submit to City such other information or reports in such forms and at such times as City may reasonably request or require. (D) All reports and records required under this or any other Section hereof shall be furnished at the sole expense of Contractor.

23.5 Emergency Service
Contractor shall assist the City with such emergency Collection service and Collection of debris following a major natural disaster such as an earthquake, fire or other similar emergency event. In the event of such a request, Contractor and City shall meet and confer in good faith to determine a fair and reasonable rate to compensate Contractor for providing such assistance.

23.6 Failure to Report
The refusal of Contractor to file any of the reports required, or the inclusion of any materially false or misleading statement or representation made knowingly by Contractor in such report, shall be deemed a material breach of this Agreement and shall subject Contractor to all remedies, legal or equitable, which are available to City under this Agreement or otherwise. 19361.00041\40492119.3
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SECTION 24.

COMPENSATION

24.1 Contractor Rates
Contractor shall provide services to Customers pursuant to this Agreement at rates it sets, charges to, and collects from Customers, which rates shall not exceed those set forth in the attached Exhibit A, which sets out the maximum rates that may be charged by Contractor, as such maximum rates may be adjusted from time to time pursuant to the terms hereof. The maximum rates set forth in Exhibit A are inclusive of all services to be provided, including transportation, disposal, and Container costs, and no other charges shall be imposed by Contractor for such services.

24.2 Resolution of Disputes Regarding Rate Adjustments
Any dispute regarding an adjustment to the maximum rates Contractor may charge, or the computation thereof, shall be decided by the City Manager. The rates in effect at the time such dispute is submitted to the City Manager shall remain in effect pending resolution of such dispute. The effective date of the adjusted maximum rate following the resolution of any such dispute, whether retroactive or prospective, shall be determined by the City Manager.

24.3 Annual Consumer Price Index Adjustments
Commencing on July 1, 2025, the Collection component of the maximum rates as set forth in Exhibit A shall be adjusted, and such component shall be adjusted annually thereafter on each subsequent July 1st during the Term hereof (the "Adjustment Dates"), by multiplying each rate by the percentage equal to the change in the Consumer Price Index ("CPI") for All Urban Consumers, CUUSS49ASA0 not seasonally adjusted, all items index (CPI-U) – Los AngelesLong Beach-Anaheim average for the twelve (12) month period ending on the date of March 31 immediately prior to the applicable Adjustment Date. At least ninety (90) days prior to charging Customers any rate increased due to an increase in the CPI, Contractor shall obtain the City Manager's approval to do so. The City Manager shall approve such a request unless it is determined, based upon substantial evidence, that the requested adjustment to the maximum rate does not meet the requirements as set forth herein. An example of the annual rate adjustment is set forth in Exhibit A.

24.4 Limitations to Annual CPI Adjustments
Notwithstanding anything to the contrary in Section 24.3 above, the maximum annual adjustment occurring pursuant to Section 24.3 shall be limited by the provisions set forth below.

24.4.1 Cap
If Contractor is otherwise eligible for an adjustment in the maximum rates under Section

24.3, any maximum rate adjustment shall not exceed five percent (5%) without regard to any higher increase which may otherwise be justified by the formula set forth in Section 24.3. For the Adjustment Date beginning July 1 2027, any portion of a rate adjustment that is not used because it would exceed the 5% cap in a given year shall not expire, but shall carry over and be 19361.00041\40492119.3
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applied to the next year, to the extent it can be used without exceeding the cap applicable to that year, until all of the unused increase has been applied to the collection component of the rates.

24.4.2 Compliance with Agreement
No increase to the maximum rates shall occur if the City Manager determines that Contractor did not fully comply with all terms of this Agreement in the fiscal year preceding the increase, including without limitation, provisions hereof relating to reporting, diversion, and Customer service standards.

24.5 Processing, Landfill Tipping or Gate Fees
Contractor shall be entitled to further adjust the Disposal or Processing portions of the maximum rates as set forth in Exhibit “A” to recover increased processing, tipping, or gate fees with approval of the City Manager and after completion of any proceedings under Section 24.7 deemed advisable. Such adjustment shall occur on the Adjustment Date and shall be calculated based on the percentage increase in the tipping or similar fees applied to the Disposal portion of the maximum rates or the percentage increase in processing fees applied to the Processing portion of the maximum rates. Contractor shall not be entitled to an adjustment in the Disposal or Processing portion of the rates to reflect increased fees for facilities owned or operated by Contractor or any Affiliate. In such event, the Disposal or Processing portion shall be adjusted as part of the Collection component. An example of the annual rate adjustment is set forth in Exhibit A. The rates set forth in Exhibit A include annual adjustments to the Disposal and Processing components of the maximum rates effective July 1, 2023 and July 1, 2024.

Contractor shall only be entitled to an adjustment in the Disposal and Processing components of the maximum rates prior to July 1, 2025 in the event that changes in the Disposal and Processing components exceed the increases set forth in Exhibit A.

24.6 Discretionary Adjustments
Contractor may request an adjustment to the maximum rates set forth in Exhibit A at reasonable times other than as set forth in Sections 24.3 or 24.5 for unusual changes in the cost of providing service under this Agreement. For each request for an adjustment to the maximum rates brought pursuant to this Section Contractor shall prepare a schedule documenting the extraordinary costs. Such request shall be prepared in a form acceptable to City with support for assumptions made by Contractor in preparing the estimate. City shall review Contractor's request and, in the City Council's sole judgment and absolute, unfettered discretion, make the final determination as to whether an adjustment to the maximum rates will be made, and, if an adjustment is permitted, the appropriate amount of the adjustment. City may consider increases or decreases in Contractor's total revenues and total cost of services when reviewing an extraordinary rate adjustment request. Contractor may not request an extraordinary increase in the maximum rates as a result of: changes in fees or taxes such as Social Security, disability or income tax; or inaccurate estimates by Contractor of its cost of operations.

24.7 Proposition 218
Contractor understands and agrees that City may elect to or be required to comply with California Constitution Article XIII D (Proposition 218) or other Applicable Law before 19361.00041\40492119.3
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approving any new maximum service rate or any maximum service rate increase. City shall not be in breach of this Agreement if its residents lawfully delay or prevent City from raising or imposing the rates. In such event, City and Contractor shall meet in good faith to consider alternatives and options, which may include permitting Contractor to terminate the Agreement without cause.

24.8 Grants
From time to time, federal, state, or local agencies including the City may provide to Contractor grants to assist in financing qualified programs provided by Contractor in the City (including, without limitation, grants for diversion programs and related equipment, alternative fuel vehicles and equipment, and Household Hazardous Waste Collection and Disposal).

Contractor shall notify City upon receipt of any such grant funds that may be used to fund services provided pursuant to the terms of this Agreement.

SECTION 25.

IDENTIFICATION OF CONTRACTOR
Contractor has agreed to use the name "Big Bear Disposal” to identify itself to the public as the specific organization that shall provide all services under this Agreement. Unless otherwise approved in writing by City, this name shall be used for all correspondence, Billing statements, directory listings, references, signs, and vehicle and Bin identification. 19361.00041\40492119.3
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SECTION 26.

DISPOSAL AND PROCESSING FACILITIES

26.1 Notification of Solid Waste Destinations.

Contractor and City agree subject to the provisions of this Section 26, that Contractor, and not City, will select the properly licensed and permitted Disposal Facility, Transfer Facility, Recyclables Processing Facility or Organic Waste Processing Facility for all Solid Waste, Recyclable Materials and Organic Waste collected under the terms of this Agreement, but Contractor agrees to advise and maintain notice to City of each Disposal Facility, Recyclables Processing or Transfer Facility or Organic Waste Processing Facility utilized by Contractor where all Solid Waste, Recyclable Materials and Organic Waste collected under the terms of this Agreement is being delivered. Contractor acknowledges that City has not, and by this Agreement does not, instruct Contractor on its Collection methods, and nothing in this Agreement or other action of the City shall be construed to place title to any Solid Waste collected by Contractor with City.

26.2 Flow Control – Reservation of Rights.

Notwithstanding the provisions of Section 26.1 above, City reserves the right to exercise flow control i.e., the right to select the Disposal Facility to which the Solid Waste collected in accordance with the provisions of this Agreement is to be taken. In the event that City selects a Disposal Facility, Contractor or City, as appropriate, shall be entitled to a rate adjustment to offset any substantiated increase or decrease in expenses resulting from the City’s exercise of flow control.

26.2.1 Processing and Disposal

26.2.1.1 Compliance with Permits
Contractor shall not knowingly deliver materials collected under this Agreement to facilities that do not comply in all material aspects with the CalRecycle regulations under Title 14, Division 7, Chapter 3, Minimum Standards for Solid Waste Handling and Disposal, as they be amended, replaced or superseded. Contractor, and not City, must use assure that all Disposal, transfer, and processing facilities to which Contractor delivers material under this Agreement are properly permitted to receive material collected under this Agreement. Failure to comply with this provision shall result in Contractor being in default under this Agreement.

26.2.1.2 Permits and Approvals
Contractor shall, upon written request from City, arrange for the facilities owned by Contractor or its Affiliate to which Contractor delivers material under this Agreement to provide copies of facility permits, notices of violations, inspection areas or concerns, or administrative action to correct deficiencies related to the operation, but only to the extent the foregoing are material and reasonably related to the services provided under this Agreement. For other facilities selected by Contractor to which Contractor delivers material under this Agreement, if Contractor becomes aware of any permit violations by such facilities that are reasonably related 19361.00041\40492119.3
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to the services provided under this Agreement, Contractor shall notify City of the same. Failure to provide facility information shall result in Contractor being in default under this Agreement.

26.3 Disposal Facility.

Except as set forth below, all Solid Waste (not including residue) collected as a result of performing Handling Services shall be transported, and delivered, to the Disposal Facility.

26.4 Organic Waste Processing Facility.

Contractor shall deliver all collected source-separated Organic Waste to a legally permitted Organic Waste Processing Facility. Contractor warrants that the Organic Waste Processing Facility has sufficient capacity to receive all Organic Waste generated by the City and its Customers.

26.5 Material Recovery Facility.

Contractor shall deliver all collected source-separated Recyclable Materials to a legally permitted Material Recovery Facility (MRF). Residue from any source-separated Recyclable Materials shall be shall be transported, and delivered, to the Disposal Facility.

SECTION 27.

INDEMNIFICATION

27.1 General
(A) Contractor agrees that it shall indemnify and hold harmless City, its officers, officials, employees, agents, assigns and any successor or successors to City’s interest, from and against any and all loss, liability, penalties, claims, demands, actions or suits, of every kind and description, arising or resulting from: (i) the acts or omissions of Contractor, its agents, employees or subcontractors, in exercising the privileges granted to it by this Agreement; and (ii) the failure of Contractor, its agents, employees and/or subcontractors, to comply in all respects with the provisions and requirements of this Agreement. Contractor shall, upon demand of City, at Contractor’s sole cost and expense, defend with an attorney chosen by City to defend City, its officers and/or employees against any and all claims, actions or suits in any legal proceedings, (whether judicial, quasi-judicial, administrative or legislative in nature) brought against City, its officers and/or employees arising or resulting from those situations described in (i) and (ii) above.
(B) The provisions of this Section shall survive the expiration or earlier termination of this Agreement.

27.2 Hazardous Substances Indemnification
Contractor shall indemnify, defend with an attorney selected by City, protect and hold harmless City, its officers, officials, employees, agents, assigns and any successor or successors to City’s interest from and against all claims, actual damages (including but not limited to special and 19361.00041\40492119.3
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consequential damages), natural resources damages, punitive damages, injuries, costs, response, remediation and removal costs, losses, demands, debts, liens, liabilities, causes of action, suits, legal or administrative proceedings, interest, fines, charges, penalties and expenses (including but not limited to attorneys’ and expert witness fees and costs incurred in connection with defending against any of the foregoing or in enforcing this indemnity) of any kind whatsoever paid, incurred or suffered by, or asserted against, City or its officers, employees or agents arising from or attributable to any repair, cleanup or detoxification, or preparation and implementation of any removal, remedial, response, closure or other plan (regardless of whether undertaken due to governmental action) concerning any Hazardous Waste at any place where Contractor stores or disposes of Solid Waste pursuant to this Agreement. The foregoing indemnity is intended to and shall be construed to operate as an agreement pursuant to Section107(c) of the Comprehensive Environmental Response, Compensation and Liability Act, "CERCLA", 42 U.S.C. Section 9067(e) and California Health and Safety Code Section 25364, to insure, protect, hold harmless and indemnify City from liability.

The foregoing shall not apply to the extent that any costs and damages arise out of the active negligence or willful misconduct of City, its agents, employees, officers and contractors.

Contractor shall have an affirmative duty to select for disposal of City’s Solid Waste only those landfill facilities which comply with state and federal law.

This section. shall survive the expiration of the period during which collection services are to be provided under this Agreement, and shall remain in effect in perpetuity except to the extent limited by an applicable statute of limitations.

Notwithstanding the provisions of this Section, Contractor shall not be required to appear or act in any litigation based solely upon the negligent acts or omissions of City.

27.3 Referendum Petition
In the event that the City’s residents submit a valid referendum petition challenging award of this Agreement, City may elect to conduct an election on such award or may rescind its approval of this Agreement as provided for in Elections Code 9241.

SECTION 28.

CONTRACTOR'S BOOKS AND RECORDS; AUDITS

28.1 Maintenance and Inspection of Records
Contractor shall maintain all records relating to the services provided hereunder, including but not limited to Customer lists, Billing records, accounts payable records, maps, AB 939 compliance records, records reflecting the number and type of routes and route hours by service category (such as residential, multi-family, commercial, roll-off, and special services), records demonstrating facilities, equipment and personnel used to perform services, records reflecting the number of mixed waste Containers, as well as, if applicable, recycling and Green Waste Containers, in service by frequency of Collection for each Customer group (such as single family, multi-family, commercial, roll-off); records reflecting the number of roll-off box pulls, and such other documents and materials which reasonably relate to Contractor's compliance with 19361.00041\40492119.3
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the provisions of this Agreement (the "Records"), for the full Term of this Agreement, and an additional period thereafter of not less than three (3) years, or any longer period required by law.

City shall have the right, upon five (5) business days advance notice, to inspect the Records.

Such Records shall be made available to City at Contractor's regular place of business, but in no event outside the County of San Bernardino.

28.2 CERCLA Defense Records
City views the ability to defend against the Comprehensive Environmental Response, Compensation and Liability Act and related litigation as a matter of great importance. For this reason, the City regards the ability to prove where Solid Waste Collected in the City was taken for disposal, as well as where it was not taken, to be matters of concern. Contractor shall maintain data retention and preservation systems which can establish where Solid Waste Collected in the City was landfilled (and therefore establish where it was not landfilled) for not less than five (5) years following the termination of this Agreement, and agrees to notify City's Risk Manager, City Clerk and City Attorney before destroying such records thereafter. At any time, including after the expiration of the Term hereof, Contractor shall provide copies of such records to City. The requirements of this Section shall survive the expiration of the Term of this Agreement.

28.3 Audits

28.3.1 Examination of Services
From time to time, anticipated to be at least once every other year, City may request Contractor to make available any or all of its records related to performance hereunder available to an independent auditor or examiner, to be selected by the City, for auditing and examination purposes (a "Discretionary Audit"). City shall bear the cost of any Discretionary Audit except as otherwise provided herein. Should any Discretionary Audit reveal an underpayment of any Franchise Fee required pursuant to this Agreement, the amount of such underpayment shall become due and payable to City not later than fifteen (15) days after written notice of such underpayment is sent to Contractor by City, complete with any additional late charges as set forth herein. If a Discretionary Audit reveals inaccuracies or inconsistencies in more than five percent (5%) of all Customer accounts, either with Contractor's operations or Billing systems, or an underpayment of Franchise Fees of more than three percent (3%), Contractor shall bear the entire cost of such Discretionary Audit.

SECTION 29.

TRANSITION OBLIGATIONS
At the end of the Term, or in the event this Agreement is terminated for cause prior to the end of the Term, Contractor shall cooperate fully with City and any subsequent Solid Waste enterprise it designates to assure a smooth transition of services. Contractor's cooperation shall include, but not be limited to, providing route lists, Billing information and other operating records needed to service all Premises covered by this Agreement. The failure to cooperate with City following termination shall be conclusively presumed to be grounds for specific performance of this covenant and/or other equitable relief necessary to enforce this covenant. 19361.00041\40492119.3
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Contractor shall provide any new Solid Waste enterprise with all keys, security codes and remote controls used to access garages, gates and bin enclosures. Contractor shall be responsible for coordinating transfer immediately after its final Collection activities, so as to not disrupt services. Contractor shall provide City with detailed route sheets containing service names and addresses, Billing names and addresses, monthly rate and service levels (number and size of Containers and pickup days) at least 90 days prior to the transition date, provide an updated list two weeks before the transition, and a final updated list with any changes the day before the transition. Contractor shall provide means of access to the new Solid Waste enterprise at least one full business day prior to its first day of Collection, and within sufficient time so as to not impede in any way the new Solid Waste enterprise from easily servicing all Containers.

SECTION 30.

GENERAL PROVISIONS

30.1 Force Majeure
Contractor shall not be in default under this Agreement in the event that its ability to provide Solid Waste Handling Services or Temporary Services, in compliance with its obligation to do so hereunder, is temporarily interrupted or discontinued for any of the following reasons:
riots, wars, sabotage, civil disturbances, insurrections, strikes or other labor disturbances lasting 5 days or less, explosion, natural disasters such as floods, earthquakes, landslides, and fires, or "other catastrophic events" which are beyond the reasonable control of Contractor. The term "other catastrophic events" does not include: (i) the financial inability of Contractor to perform; (ii) failure of Contractor to obtain any necessary permits or licenses from other governmental agencies; (iii) the failure to obtain the right, or the loss of the right, to use the facilities of any public utility where such failure is due in substantial part to the acts or omissions of Contractor; or (iv) strikes or other labor disturbances affecting Contractor.

30.2 Independent Contractor
Contractor is an independent contractor and not an officer, agent, servant, or employee of City. Contractor is solely responsible for the acts and omissions of its officers, agents, employees, and subcontractors, if any. Nothing in this Agreement shall be construed as creating a partnership or joint venture between City and Contractor. Neither Contractor nor its officers, employees, agents, or subcontractors shall obtain any rights to retirement or other benefits which accrue to City employees.

30.3 Pavement Damage
Contractor shall be responsible for the cost of repair of any extraordinary damage to the public streets located within the City resulting from providing the services required hereunder.

30.4 Property Damage
Any physical damage caused by the negligent or willful acts or omissions of employees, agents, or subcontractors of Contractor to private or public property shall be promptly repaired or replaced at Contractor's expense.
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30.5 Right of Entry
Contractor shall not have the right, until Contractor receives permission from the property owner, to enter or drive on any private street, court, place, easement, or other private property for the purpose of providing Temporary Services and/or Solid Waste Handling Services pursuant to this Agreement.

30.6 Law to Govern; Venue
The laws of the State of California shall govern this Agreement. In the event of litigation between the parties, venue in state trial courts shall lie exclusively in the County of San Bernardino.

30.7 Amendment
This Agreement is intended to carry out City's obligations to comply with the provisions of AB 939, AB 1826, SB 1383 and AB 341, as implemented by regulations of CalRecycle, as they from time to time may be amended. In the event that, after the Effective Date of this Agreement, other state or federal laws or regulations are enacted and prevent or preclude compliance with one or more provisions of this Agreement, such provisions shall be modified or suspended as may be necessary to comply with such state or federal laws or regulations. Except as otherwise expressly stated herein, no other amendment of this Agreement shall be valid unless it in writing and duly executed by the Parties. If any change in law under this Section results in material increases to Contractor’s costs, Contractor shall be entitled to an extraordinary rate adjustment under Section 24.6 to reflect its demonstrable cost increases. Notwithstanding Section 24.6 or any other provision of this Agreement, such request shall be approved by the City if Contractor provides documented support for its increase and all procedural requirements to the rate adjustment are met.

30.8 Notices
All notices required or permitted to be given under this Agreement shall be in writing and shall be personally delivered or sent by United States certified mail, postage prepaid, return receipt requested, and addressed as follows:

To City:

To Contractor:
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or to such other address as either party may from time to time designate by notice to the other given in accordance with this Section. Notice shall be deemed given on the date served if served personally between the hours of 8:00 a.m. to 5:00 p.m. on any regular business day for City's business offices. If mailed, notice shall be deemed given three (3) business days from the date such notice is deposited in the United States mail in the manner proscribed above.

30.9 Savings Clause
If any non-material provision of this Agreement is for any reason held to be invalid or unenforceable, the invalidity or unenforceability of such provision shall not affect the validity and enforceability of any of the remaining provisions of this Agreement.

30.10 Exhibits Incorporated
Exhibits A through C are attached to and incorporated in this Agreement by reference.

30.11 Joint Drafting
This Agreement shall be interpreted as if it were drafted jointly by the Parties to the Agreement.

30.12 Attorneys' Fees and Litigation Costs
In the event either party brings any action or proceeding to enforce or interpret the terms or provisions of this Agreement, the prevailing party in any such action or proceeding shall be entitled to recover its reasonable attorneys' fees and other litigation costs and expenses, including without limitation, expert witness fees, consultant fees and costs. Without limiting its scope in any way, this provision is expressly intended to, and shall, apply to fees and costs incurred in any appeal.

30.13 City's Authorized Agent
Notwithstanding anything contained herein to the contrary, and excepting amendments hereto and such actions set forth herein specifically calling for City Council action or approval, the City Manager is designated as the City's authorized agent to take any action with regard to any matter, or enforce any right, set forth herein requiring action by the City.

30.14 Integrated Agreement
This Agreement contains the entire integrated agreement and understanding concerning the subject matter herein and supersedes and replaces any prior negotiations, promises, proposals, and agreements between the Parties, whether written or oral. The Parties acknowledge this document has been executed with the consent and upon the advice of counsel.

Each of the Parties acknowledges that no party or agent or attorney of any other party has made any promise, representation, or warranty, express or implied, not contained in this Agreement, to induce the other party to execute this instrument.
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30.15 Section Headings
The section headings in this Agreement are for convenience of reference only and are not intended to be used in the construction of this Agreement nor to alter or affect any of its provisions.

30.16 Compliance with Law
In providing the services required under this Agreement, Contractor shall at all times, at its sole cost, comply with all Applicable Law, including the laws and regulations of the United States, the State of California, the provisions of the Municipal Code, and any federal, state, regional or local administrative and regulatory agencies, now in force and as they may be enacted, issued or amended.
[SIGNATURES ON FOLLOWING PAGE]
"City"
By:
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"Contractor"
By:

Its:
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EXHIBIT A
MAXIMUM RATE SCHEDULE FOR SOLID WASTE HANDLING SERVICES:

ATTACHED
For purposes of this Agreement, including for the applicable adjustments to the compensation as prescribed in Section 24 of Agreement, the structure of the rate shall be:
100% = Collection (75%) + General Disposal (15%) + Processing (10%) Example using Standard Residential Rate effective July 1, 2024: $36.43 $36.43 = $27.32 (Collection) + $5.47 (General Disposal) + $3.64 (Processing) 75% 15% 10%
Annual CPI Adjustments: Pursuant to Section 24.3 of Agreement, the component of the rate applicable to collection shall be subject to annual CPI adjustments, with a cap of 5%.

Landfill Tipping or Gate Fees: Pursuant to Section 24.5, contractor shall be entitled to adjust the component of the rate applicable to disposal to recover increased gate or tipping fees. The increase will be a percentage adjustment reflective of the verified cost increase.

Processing: Pursuant to Section 24.5, contractor shall be entitled to adjust the component of the rate applicable to processing to recover increased processing fees by the applicable material recovery facility. The increase will be a percentage adjustment reflective of the verified cost increase.

Representative Example:

For rates effective July 1, 2025, assume that the following information is applicable • The CPI index for the most recent March/March Period if 3.5% • The tipping fees at the County landfills increase on July 1 by 4.25% • The gate fees at the materials recovery facility increase July 1 by 4% Assuming the above information, and pursuant to the provisions of the Agreement, the rate would be calculated as follows:

July 1, 2024: $36.43 = $27.32 (Collection) + $5.47 (General Disposal) + $3.64 (Processing) +3.5% +4.25% +4%
Collection: $27.32 + 3.50%= $28.28
General Disposal: $ 5.47 + 4.25%= $ 5.70
Processing: $ 3.64 + 4.00%= $ 3.79
Rate Effective July 1, 2025 = $37.77
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EXHIBIT B

CONTAINER/BIN SPECIFICATIONS
• Contractor shall provide all Customers with Containers that comply with the Container color requirements specified in this Exhibit or as otherwise specified in the SB 1383 Regulations,14 CCR Section 18982, or other Applicable Law. Without limiting Contractor’s other obligations under this Agreement, Containers for Solid Waste, Recyclables and Organic Waste shall be colored as follows: Solid Waste = gray or black; Recyclables = blue; and Organic Waste = green. All Containers utilized by Contractor shall meet the standards of the industry and shall perform to the reasonable satisfaction of the City Manager in order to be utilized in City. Container sizes specified within this Agreement may vary by manufacturer type and specifications up to 10% more or less in volume than that identified. • Each Cart utilized by Contractor shall be labeled on the inside in English and Spanish and with graphics so as to: (1) explain/depict the items for which it is designated to Collect, and (2) identify the name of Contractor and Contractor's phone number for service related issues, including complaints. In addition, each such Cart shall include information, in a format acceptable to City (such as hot stamping or stickers), regarding Contractor's Bulky Item service, and a phone number that Customers can call to access such service. • All Containers shall be of the color and labeled in accordance with the requirements of SB 1383 Regulations. Recyclable Material and Organic Waste Container labels must include at least three (3) graphic examples of materials that are accepted in the Container, and at least two (2) graphic examples of materials that are prohibited from being placed in the Container, clearly displaying that the prohibited materials are prohibited (using recognizable symbols).

Refuse Container labels must include at least two (2) graphic examples of materials that are prohibited from being placed in the Container, clearly displaying that the prohibited materials are prohibited (using recognizable symbols), and a statement that proper separation of Recyclable Material and Organic Waste is mandatory. Contractor shall obtain the City’s written approval of Container specifications, colors, and labeling before acquisition and labeling occurs.
• Any Cart distributed by Contractor in City after the Effective Date shall be newly manufactured and have never previously been used for the Collection of Solid Waste; excepting that Carts which have been refurbished such that they are "like new" may be used so long as their condition is satisfactory as determined by the City Manager. • All Carts distributed pursuant to this Agreement shall have an identifying serial number hot stamped into the Cart body, or otherwise have an individual identification demarcation affixed to the Cart in a manner acceptable to the City Manager. • Upon request of any Customer, Contractor shall provide Bins with lids that close securely and which are capable of being locked at rates that do not exceed those set forth in Exhibit A.

EXHIBIT C

CLEAN BEAR SITES
Clean Bear Site Number 1
41970 Garstin Drive
Big Bear Lake, CA 92315
Owned and Operated by Big Bear Disposal, Inc.

Clean Bear Site Number 2
39690 Big Bear Boulevard
Big Bear Lake, CA 92315
Owned by the City of Big Bear Lake, operated by Big Bear Disposal, Inc.

MEETING
DATE: August 1, 2022
TO: Honorable Mayor and Members of the City Council
THROUGH: Jeff Mathieu, Interim City Manager
FROM: Sean Sullivan, Director of Public Services
SUBJECT: Ordinance Amending Chapter 8.64 of The Big Bear Lake Municipal Code Relating to Solid Waste Management, Collection of Solid Waste and Recyclable Materials, and Edible Food Recovery, Amending Chapter 17.11 Relating to Water Conservation, and Repealing Chapter 8.68 of the Big Bear Lake Municipal Code Relating to Garbage

BACKGROUND
The City of Big Bear Lake Municipal Code includes the provisions for management of solid waste and the collection of solid waste and recyclable materials. The code provisions within are built upon best practices and standards related to the management of solid waste as well as significant impact and consideration for various State legislation that provides regulation and oversight of solid waste. The City’s solid waste ordinance was last updated in 2002 and provides the framework for which solid waste management services are provided for within the City of Big Bear Lake.

Over the past several decades, the State of California has adopted many codes and regulations related to solid waste handling, diversion, recycling, and other facets of this industry. Most notably, SB 1383 (Chapter 395, Statutes of 2016), which is intended to regulate Short-Lived Climate Pollutants, was adopted in 2016 and directed the California Department of Resources Recycling and Recovery (CalRecycle) to adopt regulations to reduce organic waste within the State and recover, for human consumption, edible food that is currently thrown away. CalRecycle promulgated regulations in Chapter 12 of Division 7 of Title 14 of the California Code of Regulations (the “SB 1383 Regulations”) which took effect on January 1, 2022. The primary focus of the Short-Lived Climate Pollutants Reduction Strategy is to reduce the volume of organic material disposed of in landfills and the SB 1383 Regulations prescribe a number of methods and programs to achieve these goals. A primary example of these efforts is that organic waste (which includes green waste, food waste, and other organic materials) must be collected as part of solid waste collection services, unless otherwise exempt.

The SB 1383 Regulations require local agencies to implement a number of programs and strategies to reduce short-lived climate pollutants, such as the source separation of organic material, developing edible food recovery programs, procuring products derived from recovered organic materials, and other efforts. All agencies are additionally required to adopt updated solid waste ordinances that include and comply with provisions of SB 1383. The primary focus of the revisions to the solid waste ordinance include the establishment of the edible food recovery program and City enforcement of the SB 1383 Regulations.

While the City did receive a high elevation waiver, which exempts the entire jurisdiction from the requirement to collect organic food waste, the City is still obligated to comply with the other provisions of the SB 1383 Regulations.

SB 1383 further requires agencies to adopt an ordinance to comply with the State Department of Water Resources' Model Water Efficient Landscape Ordinance (MWELO). The MWELO requires new development projects to comply with water-saving measures, including design review and permitting requirements for landscaping projects of 500 square feet or larger. The MWELO is administered by the Community Development and Public Services Departments.

The Ordinance also repeals Chapter 8.68, and consolidates all solid waste management provisions in Chapter 8.64, rendering Chapter 8.68 obsolete.

DISCUSSION
The SB 1383 Regulations, which took effect on January 1, 2022, requires all local agencies to update their municipal codes and practices related to solid waste management to reduce short-lived climate pollutants.

The City of Big Bear Lake received a high elevation waiver in January 2022 that exempts the City from the requirement to collect organic food waste separate from general refuse. The high elevation waiver is predicated upon the increased likelihood of wildlife at the elevations and the lack of proximity of these generally remote locations to certified organics processing facilities, which presents challenges with collecting separated food waste. While the City is exempt from organic waste collection requirements, the City does remain liable for compliance with the other provisions of the SB 1383 Regulations.

The proposed ordinance amends the existing municipal code to meet the requirements of SB 1383.

As outlined, the ordinance will amend Chapter 8.64 (Solid Waste Management and Collection of Solid Waste and Recyclable Materials) to include the necessary updated provisions regarding edible food recovery and enforcement of the SB 1383 Regulations. Furthermore, the ordinance will repeal Chapter 8.68 (Garbage) as this section is now obsolete since all provisions related to solid waste management and collection will be consolidated into Chapter 8.64. Finally, the proposed ordinance amends Chapter 17.11 (Water Conservation) to include the necessary provisions of the Model Water Efficient Landscape Ordinance (MWELO).

A key provision of the proposed amendment to Chapter 8.64 is the establishment of an edible food recovery program. As a method of reducing organic material in the waste stream, the SB 1383 Regulations requires local jurisdictions to establish an edible food recovery program. Under these provisions, commercial edible food generators of a minimum size will be required to contract with edible food recovery organizations (food banks/pantries) to donate edible food that can be recovered for human consumption that would otherwise be thrown away, not intentionally spoil edible food capable of being recovered; grant the City access to their premises for inspection and records review; and keep certain records of their compliance. The requirements are tiered in two levels based upon the size of the business that is generating the food. There are two tiers of commercial edible food generators. The requirements for Tier 1 generators (e.g., supermarkets, grocery stores) took effect on January 1, 2022. The requirements for Tier 2 generators (e.g., restaurants, hotel food facilities, etc.) take effect on January 1, 2024.

The ordinance also sets forth the obligations of edible food recovery organizations and services to keep records of their transactions with commercial edible food generators, and to report to the City at regular intervals the total pounds of food they recover from each generator. The proposed ordinance also specifies the City’s role in facilitating, monitoring, and enforcing the edible food recovery program.

The initial generators that will be responsible for complying with these provisions are the two (2) chain supermarkets located within the City. Staff has been in contact with their representatives on this topic and both companies are aware of these new requirements. Both companies have been working, at their corporate levels, to analyze the plans and efforts required for the implementation of edible food recovery program.

Additionally, the proposed ordinance refines the language related to enforcement, by the City, of the provisions of the solid waste elements of the municipal code. Consistent with the requirements of the SB 1383 Regulations for an enforceable ordinance, designated City staff may enforce Chapter 8.64 by inspecting premises, collection methods and equipment, and programs pertaining to solid waste management and edible food recovery. The enforcement role will allow for the inspection of facilities where solid waste is stored and to investigate records related to the compliance with all provisions of Chapter 8.64 and relevant health laws. Any enforcement will apply to both solid waste customers as well as the hauler for complying with these code provisions.

Upon adoption of this ordinance, staff will continue to develop and refine the programmatic elements required by the SB 1383 Regulations, including edible food recovery and enforcement efforts.

FISCAL IMPACT
There is no fiscal impact associated with the adoption of this ordinance. Staff intends to administer and enforce the provisions of this ordinance with the existing personnel resources.

ENVIRONMENTAL CONSIDERATIONS
The project is not subject to the California Environmental Quality Act (CEQA) under Section 15378(b)(5), which exempts measures involving the organization or administrative activities of a local government that will not involve direct changes in the environment as not being a project under CEQA.

RECOMMENDATION
It is recommended that City Council read the title, waive further reading and introduce an ordinance entitled Ordinance Amending Chapter 8.64 Of The Big Bear Lake Municipal Code Relating To Solid Waste Management, Collection Of Solid Waste And Recyclable Materials, And Edible Food Recovery, Amending Chapter 17.11 Relating To Water Conservation, And Repealing Chapter 8.68 Of The Big Bear Lake Municipal Code Relating To Garbage.

ATTACHMENTS

1. Ordinance No. 2022-xxx
ATTACHMENT 1
ORDINANCE NO. 2022-xxx
ORDINANCE AMENDING CHAPTER 8.64 OF THE BIG BEAR

LAKE MUNICIPAL CODE RELATING TO SOLID WASTE

MANAGEMENT, COLLECTION OF SOLID WASTE AND

RECYCLABLE MATERIALS, AND EDIBLE FOOD RECOVERY,
AMENDING CHAPTER 17.11 RELATING TO WATER
CONSERVATION, AND REPEALING CHAPTER 8.68 OF THE BIG

BEAR LAKE MUNICIPAL CODE RELATING TO GARBAGE
WHEREAS, SB 1383 (Chapter 395, Statutes of 2016) directed the California Department of Resources Recycling and Recovery (“CalRecycle”) to adopt regulations to reduce organic waste by 50 percent from its 2014 baseline level by 2020 and 75 percent by 2025; and WHEREAS, SB 1383 also requires the regulations to recover, for human consumption, at least 20 percent of edible food that is currently thrown away; and WHEREAS, CalRecycle promulgated regulations as directed in SB 1383 in Chapter 12 (ShortLived Climate Pollutants) of Division 7 of Title 14 of the California Code of Regulations (“SB 1383 Regulations”); and
WHEREAS, the SB 1383 Regulations take effect January 1, 2022, and requires the City of Big Bear Lake to adopt an ordinance to enforce the SB 1383 Regulations by said date; and WHEREAS, the City Council desires to adopt an edible food recovery ordinance to comply with the SB 1383 Regulations; and
WHEREAS, the City’s requirements are intended to locally implement the Water Conservation in Landscaping Act (Government Code Section 65591 et seq.) (the “Act”); and WHEREAS, the Act requires the State Department of Water Resources to draft a model water efficient landscape ordinance (“MWELO”), and further required cities and counties, by January 1, 2010, to adopt the MWELO, or a locally modified ordinance at least as effective in conserving water as the MWELO, or else the state MWELO applies by default (Gov. Code, § 65595); and WHEREAS, the state has periodically adopted and revised the MWELO, and most recently issued an updated MWELO in 2015 pursuant to an executive order; WHEREAS, among other things, the MWELO requires new development projects including landscape areas as small as 500 square feet to comply with new water-saving measures, including permitting, plan check, and/or design review requirements; and WHEREAS, the City intends to comply with the current MWELO, and further desires to clarify that the MWELO performance standards, as may be amended, apply to new and rehabilitated landscape projects designated in the MWELO, notwithstanding any City requirements to the contrary.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BIG BEAR LAKE DOES ORDAIN AS FOLLOWS:

Section 1. Chapter 8.64 is hereby amended in its entirety as set forth in Exhibit A, incorporated by this reference.

Section 2. Chapter 17.11 is hereby amended to add the following:
"17.11.090 Compliance with state standards.

All landscaping installed in the City of Big Bear Lake shall additionally comply with the State Model Water Efficient Landscape Ordinance (23 California Code of Regulations, § 490 et seq.), as may be amended, if applicable. Nothing in this article is intended to exempt or excuse compliance with applicable state standards. In the event of a conflict between the requirements of this article and the State Model Water Efficient Landscape Ordinance, the more restrictive requirements shall apply."
Section 3. Chapter 8.68 is hereby repealed in its entirety.

Section 4. Environmental review is not required because adoption of the Ordinance is not a project under the California Environmental Quality Act (CEQA) pursuant to CEQA Guideline 15378(b)(5) (organization or administrative activities of governments not a project).

Section 5. If any section, subsection, clause, or phrase in this Ordinance or the application thereof to any person or circumstance is for any reason held invalid, the validity of the remainder of this Ordinance or the application of such provisions to other persons or circumstances shall not be affected thereby. The City Council hereby declares that it would have passed this Ordinance and each section, subsection, sentence, clause, or phrase thereof, irrespective of the fact that one or more sections, subsections, sentences, clauses, or phrases or the application thereof to any person or circumstance be held invalid.

Section 6. No less than five days prior to the adoption of this Ordinance, the City Clerk published a summary of this Ordinance in accordance with Government Code section 36933. The City Clerk will certify to the passage of this Ordinance by the City Council of the City of Big Bear Lake, California, and cause a summary to be published once within fifteen (15) days after its passage in a newspaper of general circulation, printed, published and circulated in the City in accordance with Government Code section 36933.

Section 7. This Ordinance shall take effect and be in full force 30 days after its adoption.

PASSED, APPROVED AND ADOPTED this 1st day of August, 2022.

Rick Herrick, Mayor
ATTEST:

Erica Stephenson, City Clerk

STATE OF CALIFORNIA )

COUNTY OF SAN BERNARDINO )

CITY OF BIG BEAR LAKE )
I, Erica Stephenson, City Clerk of the City of Big Bear Lake, California, do hereby certify that the whole number of the City Council of the said City is five; that the foregoing Ordinance No. 2022-xxx is a full, true and correct original of Ordinance No. 2022-xxx of the City of Big Bear Lake entitled:

AN ORDINANCE AMENDING CHAPTER 8.64 OF THE BIG BEAR

LAKE MUNICIPAL CODE RELATING TO SOLID WASTE

MANAGEMENT, COLLECTION OF SOLID WASTE AND

RECYCLABLE MATERIALS, AND EDIBLE FOOD RECOVERY,
AMENDING CHAPTER 17.11 RELATING TO WATER
CONSERVATION, AND REPEALING CHAPTER 8.68 OF THE BIG

BEAR LAKE MUNICIPAL CODE RELATING TO GARBAGE
was duly passed and adopted by the said City Council, approved and signed by the Mayor of said City, and attested by the Clerk of Said City, all at a regular meeting of the said Council on the 1st day of August 2022, and that the same was so passed and adopted by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

I do hereby further certify that pursuant to the provisions of Section 36933 of the Government Code of the State of California that the foregoing Ordinance No. 2022-xxx was duly and regularly published according to law and the order of the City Council and circulated within the said City.

Erica Stephenson, City Clerk

EXHIBIT A
Chapter 8.64

SOLID WASTE MANAGEMENT, COLLECTION OF SOLID WASTE AND

RECYCLABLE MATERIALS, AND EDIBLE FOOD RECOVERY

8.64.010 - Definitions.

8.64.020 - Policy.

8.64.030 - Categories.

8.64.040 - Fees.

8.64.050 - Award of City Solid Waste Collection contracts—Terms.

8.64.060 - Authority to collect, transport and dispose of Solid Waste.

8.64.070 - Commercial Premises.

8.64.080 - Residential Premises.

8.64.090 - Multi-Unit Residential Premises.

8.64.100 - Contracting for special services.

8.64.110 - Placement of bins and Containers for Collection.

8.64.120 - Unsanitary storage of solid waste.

8.64.130 - Containers—Condition.

8.64.140 - Removal of solid waste—Scavenging prohibited.

8.64.150 - Illegal use of bins and Containers.

8.64.160 - Responsibility for Solid Waste prior to Collection.

8.64.170 - Burning Solid or Hazardous Waste prohibited.

8.64.180 - Solid Waste animal feeding restrictions.

8.64.190 - Separation of Swill from dry Solid Waste.

8.64.200 - Enforcement.

8.64.210 - Time of Collection—Holidays.

8.64.220 - Collection equipment.

8.64.230 - Contractor's employees.

8.64.240 - Contractor's records and office hours.

8.64.250 - Insufficient service.

8.64.260 - Violation—Misdemeanor.

8.64.270 - Violation—Criminal offenses and fines.

8.64.280 - Special permits.

8.64.290 - Requirements for Commercial Edible Food Generators.

8.64.300 - Requirements for Food Recovery Organizations and Services.

8.64.310 - Inspections and Investigations.

8.64.320 - Violations.

8.64.010 Definitions.

For the purpose of this chapter, the following words and phrases shall have the meanings ascribed to them by this section. Words and phrases not ascribed a meaning by this section shall have the meaning ascribed by Division 30, Part 1, Chapter 2 of the California Public Resources Code, Sections 40105-40200.
"Bins" means front-loading bins and roll-off bins provided by the Contractor for Commercial Premises, Clean Bear Sites, and Multi-Unit Residential Premises. “Blue Container” has the same meaning as in 14 CCR Section 18982(a)(5) and shall be used for the purpose of storage and collection of Source Separated Recyclable Materials. "Bulky household items" means all discarded household waste matter, which is too large to be placed in a covered Container including, but not limited to, furniture, appliances, discarded carpets, discarded mattresses, discarded electronic equipment, residential waste (including tree branches) and similar large items produced from Residential Premises, excluding there from television screens, computer monitors, and all other items that cannot be disposed of at Class 1 sanitary landfills.
“CCR” means the California Code of Regulations.
“CalRecycle” means the California Department of Resources Recycling and Recovery. “City” means the City of Big Bear Lake.
“City Council” means the City Council of the City of Big Bear Lake. “City Manager” means the City Manager of the City of Big Bear Lake, or the City Manager’s authorized designee.
"Clean Bear Site" means a location as it currently exists or as it may be established from time to time within the territorial limits of the City, at which residents of the City or persons visiting residences of the City may dispose of source separated Solid Waste, recyclable materials, and organic materials generated at such residences located within the City. "Collection" means the operation of gathering together and the act of collecting Solid Waste at the place of generation by self-hauler or an approved contractor and transporting said material to a point of transfer, processing, or disposal. "Commercial Premises" means all properties or points of Solid Waste Collection on which there are the following uses: industrial, manufacturing, industrial warehouse, restaurants, mobilehome parks, trailer courts, wholesale or retail stores, service establishments, professional offices, construction sites, hotels or motels (as both are defined in Chapter 8.16 of the municipal code) and bed and breakfast facilities as described in Section 17.25.110 of the municipal code, and Multi-Unit Residential Premises.
"Containers" mean wheeled carts, cans, barrels, or other receptacles designed specifically for the storage and Collection of refuse and recyclables and organic materials and which are waterproof have tight-fitting lids. Ash containers must be metal, five (5) gallons or less, and contents must have been soaked with water. Notwithstanding any provision herein to the contrary, Containers shall also mean Containers provided by the Contractor to customers for the storage and Collection of blue containers” for Recyclable Material. andbags for green waste or pine needles. "Contractor" means any person, persons, local agency, firm, partnership or corporation that has been issued a contract or franchise by the City Council for the purpose of collecting, transporting and disposing of Solid Waste and Recyclable Materials. "Construction and demolition waste" means Solid Wastes typically including, but not limited to, building materials, packaging, trash, debris, steel, glass, brick, concrete, asphalt, rubble, roofing materials, pipe, gypsum wallboard, lumber resulting from construction, remodeling, repair, and demolition operations, rocks, soil, tree remains, trees, and other vegetative matter that normally results from land clearing, and other waste products generated from construction or demolition activities.
“County” means the County of San Bernardino.
"Customer" means each person or business directly receiving services from the Contractor for Commercial Premises, residential Premises or Multi-Unit Residential Premises. “Designee” means an entity that the City contracts with or otherwise arranges to carry out any of the City’s responsibilities. A Designee may be a government entity, a hauler, a private entity, or a combination of those entities.
“Edible Food” means food intended for human consumption, or as otherwise defined in 14 CCR § 18982(a)(18). Edible Food is not Solid Waste if it is recovered and not discarded. “Enforcement Action" means an action of the City to address non-compliance including, but not limited to, issuing administrative citations, fines, penalties, or using other remedies. “Enforcement Officer" means the City Manager, County administrative official, chief operating officer, executive director, public works director or other executive in charge or their authorized designees who is/are partially or wholly responsible for enforcing this chapter. “Food Distributor” means a company that distributes food to entities including, but not limited to, Supermarkets and Grocery Stores, or as otherwise defined in 14 CCR § 18982(a)(22). “Food Facility” has the same meaning as in Health and Safety Code Section 113789. “Food Recovery” means actions to collect and distribute food for human consumption that otherwise would be disposed, or as otherwise defined in 14 CCR § 18982(a)(24). “Food Recovery Organization” means an entity that engages in the Collection or receipt of Edible Food from Commercial Edible Food Generators and distributes that Edible Food to the public for Food Recovery, either directly or through other entities or as otherwise defined in 14 CCR § 18982(a)(25), including, but not limited to:

1. A food bank as defined in Health and Safety Code Section 113783;

2. A nonprofit charitable organization as defined in Health and Safety Code Section 113841; and,

3. A nonprofit charitable temporary food facility as defined in Health and Safety Code Section 113842.
“Food Recovery Service” means a person or entity that collects and transports Edible Food from a Commercial Edible Food Generator to a Food Recovery Organization or other entities for Food Recovery, or as otherwise defined in 14 CCR § 18982(a)(26). “Food Service Provider” means an entity primarily engaged in providing food services to institutional, governmental, Commercial, or industrial locations of others based on contractual arrangements with these types of organizations, or as otherwise defined in 14 CCR § 18982(a)(27). “Food Waste” means food scraps separated from Solid Waste and offered for Collection by Contractor, that will decompose and/or putrefy including (i) all kitchen and table food waste, and animal or vegetable waste that attends or results from the storage, preparation, cooking or handling of food stuffs; and (ii) paper waste contaminated with food waste. "Front-loading bins" means bins which are picked up by means of front-loading apparatus, and which are generally smaller in size than roll-off bins. “Gray Container” has the same meaning as in 14 CCR Section 18982(a)(28) and shall be used for the purpose of storage and collection of Gray Container Waste. “Generator” means any person or other entity who is responsible for the initial creation of Solid Waste.
"Green waste" means organic waste generated from any landscape materials, including but not limited to grass clippings, leaves, prunings, tree trimmings, pine needles, weeds, branches and brush not exceeding three (3) inches in diameter, collected by the Contractor. “Grocery store” means a store primarily engaged in the retail sale of canned food; dry goods; fresh fruits and vegetables; fresh meats, fish, and poultry; and any area that is not separately owed within the store where the food is prepared and served, including a bakery, deli, and meat and seafood departments, or as otherwise defined in 14 CCR § 18982(a)(30). "Hazardous waste" means any material that, by reason of its quality, concentration, composition, or physical, chemical or infectious characteristics, may cause or significantly contribute to an increase in mortality or an increase in serious illness or pose a substantial threat or potential hazard to human health or the environment when improperly treated, stored, transported or disposed of or otherwise mismanaged, or any waste which is defined or regulated as a hazardous waste, toxic waste, hazardous chemical substance or mixture, or asbestos under applicable law, including:

A. "Hazardous Waste" pursuant to California Public Resources Code Section 40141; regulated under Chapter 6.5 (commending with Section 25100) of Division 20 of the California Health and Safety Code; all substances defined as hazardous waste, acutely hazardous waste, or extremely hazardous waste by Section 25110.02, 25115, and 25117 of the California Health and Safety Code (the California Hazardous Waste Control Act), and future amendments to or recodification of such statutes or regulations promulgated thereunder, including 23 CCR § 2521; B. Materials regulated under the Resource Conservation and Recovery Act, 42 U.S.C.

Section 6901 et seq., as amended (including, but not limited to, amendments thereto made by the Solid Waste Disposal Act Amendments of 1980), and related federal, state and local laws and regulations;
C. Materials regulated under the Toxic Substances Control Act, 15 U.S.C. Section 2601 et seq., as amended, and related federal, state of California, and local laws and regulations, including the California Toxic Substances Account Act, California Health and Safety Code Section 25300 et seq.;
D. Materials regulated under the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. 9601, et seq., as amended, and regulations promulgated thereunder; and
E. Materials regulated under any future additional or substitute federal, state, or local laws and regulations pertaining to the identification, transportation, treatment, storage, or disposal of toxic substances or hazardous waste.

If two or more governmental agencies having concurrent or overlapping jurisdiction over hazardous waste adopt conflicting definitions of "hazardous waste," for purposes of Collection, transportation, processing and/or disposal, the broader, more restrictive definition shall be employed.
“Inspection” means a site visit where the City reviews records of an entity’s Collection, handling, recycling, or landfill disposal of Organic Waste or Edible Food to determine if the entity is complying with requirements set forth in this chapter, or as otherwise defined in 14 CCR § 18982(a)(35).
“Large Event” means an event, including, but not limited to, a sporting event or a flea market, that charges an admission price, or is operated by a local agency, and serves an average of more than 2,000 individuals per day of operation of the event, at a location that includes, but is not limited to, a public, nonprofit, or privately owned park, parking lot, golf course, street system, or other open space when being used for an event.
“Large Venue” means a permanent venue facility that annually seats or serves an average of more than 2,000 individuals within the grounds of the facility per day of operation of the venue facility. A venue facility includes, but is not limited to, a public, nonprofit, or privately owned or operated stadium, amphitheater, arena, hall, amusement park, conference or civic center, zoo, aquarium, airport, racetrack, horse track, performing arts center, fairground, museum, theater, or other public attraction facility. A site under common ownership or control that includes more than one large venue that is contiguous with other large venues in the site, is a single large venue. “Local Education Agency” means a school district, charter school, or County office of education that is not subject to the control of City or County regulations related to Solid Waste, or as otherwise defined in 14 CCR § 18982(a)(40).
"Multi-Unit Residential Premises" means any (i) building, (ii) structure, (iii) combination thereof when related to one another by proximity and common identity, ownership, management or control, and/or (iv) any portion of the foregoing, in the City that is used for Residential housing purposes, whether transient, recreational, temporary or permanent, and having four (4) or more self-contained living units as determined by the City in its most recent periodic land use survey now entitled 'City Service Fees By Land Use.' All such Multi-Unit Residential Premises shall be deemed Commercial Premises for purposes of this chapter, except as specifically stated otherwise. “Notice of Violation” or “NOV” means a notice that a violation has occurred that includes a compliance date to avoid an action to seek penalties, or as otherwise defined in 14 CCR § 18982(a)(45) or further explained in 14 CCR § 18995.4.
“Organics,” “Organic Waste,” and “Organic Material” means Solid Wastes containing material originated from living organisms and their metabolic waste products, including, but not limited to, Food Waste, Green Waste, non-Hazardous wood waste, and unwaxed, food-soiled paper.
“Person” means any individual, firm, corporation, association, partnership, group, entity or combination acting as a unit.
"Place" or "Premises" includes Commercial Premises, Multi-Unit Residential Premises, Residential Premises, and self-contained living units.
"Property owner" means the person whose name appears on the San Bernardino County assessor's records from the last equalized assessment roll or such other recent reliable document. "Public bins" means those bins provided by the Contractor for non-Commercial use by the residents of the City at Clean Bear Sites. Public bins shall also refer to those bins provided by a Contractor, to be used solely for the use of the City and its employees in connection with their official duties.
“Recovered Organic Waste Products” means products made from California, landfilldiverted recovered Organic Waste processed in a permitted or otherwise authorized facility, or as otherwise defined in 14 CCR § 18982(a)(60).
“Recovery” means any activity or process described in 14 CCR § 18983.1(b), or as otherwise defined in 14 CCR § 18982(a)(49).
“Recycle” or “Recycling” means the process of collecting, sorting, cleansing, treating, and reconstituting materials that would otherwise become refuse, and returning them to the economic mainstream in the form of raw material for new, reused, or reconstituted products which meet the quality standards necessary to be used in the marketplace. "Recyclable Materials" means products including, but not limited to, newspapers, newsprint, aluminum cans, tin cans, low density polyethylene Containers (LDPE), corrugated cardboard, high-grade paper and mixed paper, glass or plastic bottles or Containers, or steel and other types of scrap metals, polyethylene terephthalate Containers (PET) marked "1" as of the date hereof, high density polyethylene Containers (HDPE) marked "2" as of the date hereof, low density polyethylene Containers (LDPE) marked "4" as of the date hereof, California redemption Containers, ferrous metals, non-ferrous metals, white paper, mixed paper, telephone books, Christmas trees, other holiday trees, and other similar items that can be diverted from landfills. "Refuse" includes Solid Waste, other than Recyclable Materials or Organic Materials. “Residential” means any residential dwelling.
"Residential Premises" means any building or structure, or portion thereof, in the City that is used for residential housing purposes, whether vacation rental, transient, recreational, temporary or permanent, and having three (3) or fewer self-contained living units as determined by the City in its most recent periodic land use summary now entitled 'City Service Fees By Land Use'. "Roll-off bins" means bins picked up by means of rear-loading winches onto rails. Roll-off bins are generally much larger in size than front-loading bins. “SB 1383” means Senate Bill 1383 (Chapter 395, Statutes of 2016). “SB 1383 Regulations” means the Short-Lived Climate Pollutants: Organic Waste Reduction regulations developed by CalRecycle and adopted in 2020 that created 14 CCR, Division 7, Chapter 12 and amended portions of regulations of 14 CCR and 27 CCR. "Self-contained living unit," or "SCLU" means a dwelling unit, as defined by "Dwelling Unit" in Ordinance No. 2000-308 of the Big Bear Lake Development Code, occupied by residents who are transient, temporary, or permanent.
“Self-hauler” means a Generator, who hauls his or her own Solid Waste, Organic Waste, or recyclable materials to another Person. “Self-hauler” also includes a person who back-hauls waste, or as otherwise defined in 14 CCR § 18982(a)(66). “Back-hauling” is the process of generating and transporting Organic Waste to a destination owned and operated by the Generator using the Generator’s own employees and equipment, or as otherwise defined in 14 CCR § 18982(a)(66)(A).
“Solid Waste” includes means all putrescible and nonputrescible solid, semisolid, and liquid wastes, including garbage, trash, refuse, paper, rubbish, ashes, industrial wastes, demolition and construction wastes, abandoned vehicles and parts thereof, discarded home and industrial appliances, dewatered, treated, or chemically fixed sewage sludge which is not hazardous waste, manure, vegetable or animal solid and semisolid wastes, and other discarded solid and semisolid waste. “Solid Waste” does not include

1. Hazardous waste, as defined in Public Resources Code Section 40141;

2. Radioactive waste regulated pursuant to the Radiation Control Law (commencing with Health and Safety Code Section 114960); or

3. Medical waste regulated pursuant to the Medical Waste Management Act (commencing with Health and Safety Code Section 117600). Untreated medical waste shall not be disposed of in a Solid Waste landfill, as defined in Public Resources Code Section 40195.1. Medical waste that has been treated and deemed to be Solid Waste shall be regulated pursuant to Division 30 of the Public Resources Code.
"Special Waste" means any waste matter requiring special preparation by the customer prior to Collection and special handling or processing by either a Contractor or a transfer station operator due to its large size or volume, or other unique features, including Hazardous Waste and the following:

Flammable waste; containerized waste (in a drum, barrel, portable tank, pair, etc.); waste from a pollution control process; residue and debris from the cleanup of a spill or release of chemical substances, Commercial products, or any other special wastes; contaminated soil, waste, residue, debris and articles from the cleanup of a site or facility formerly used for the generation, storage, treatment, recycling, reclamation or disposal of any other special wastes; dead animals; manure; explosive substances; radioactive materials; materials that have been exposed to highly infectious or contagious diseases; medical waste as defined by state and/or federal agencies; sludge waste; liquid waste; hazardous waste from an industrial process; waste motor oil; asbestos, including friable materials that crumbled with pressure and are therefore likely to emit fibers, being a naturally occurring family of carcinogenic fibrous mineral substances, which may be a hazardous waste if it contains more than one percent (1%) of asbestos; ash residue from the incineration of infectious waste described below, sludge, and agricultural wastes described above; hazardous wastes, explosives, ordnance, highly flammable substances and noxious materials; industrial by-products, including cement kiln dust, ore process residues and grit or screening removed from a waste water facility; infectious wastes that have disease transmission potential and are classified as hazardous wastes by the State Department of Health Services, including pathological and surgical wastes, medical clinic wastes, wastes from biological laboratories, syringes, needles, blades, tubing, bottles, drugs, patient care items such as linen or personal or food service items from contaminated areas, chemicals, personal hygiene wastes, and carcasses used for medical purposes or with known infectious diseases; liquid wastes that are not spadeable, usually containing less than fifty percent (50%) solids, including cannery and food processing wastes, landfill leachate and gas condensate, boiler blowdown water, grease trap pumpings, oil and geothermal field wastes, septic tank pumpings, rendering plant by-products, sewage sludge, and those liquid wastes that may be hazardous wastes; radioactive wastes under Chapter 6.5 (commencing with Section 25100) of Division 20 of the California Health and Safety Code, and any waste that contains a radioactive material, the storage or disposal of which is subject to any other state or federal regulation; sewage sludge comprised of residue produced by humans (not industrial), excluding grit or screenings, removed from a waste water facility or septic tank, whether in a dry or semi-dry form; wastes designated from time to time by CalRecycle, including contaminated soil; tires; automotive parts, including wheels and bodies “State” means the State of California.
“Supermarket” means a full-line, self-service retail store with gross annual sales of two million dollars ($2,000,000), or more, and which sells a line of dry grocery, canned goods, or nonfood items and some perishable items, or as otherwise defined in 14 CCR § 18982(a)(71). "Swill" means all wet garbage, grocery or food service debris, Food Waste, or kitchen grease. Edible Food is not Swill.
“Tier One Commercial Edible Food Generator” means a Commercial Edible Food Generator that is one of the following:

1. Supermarket.

2. Grocery Store with a total facility size equal to or greater than 10,000 square feet.

3. Food service provider.

4. Food distributor.

5. Wholesale Food Vendor.
“Tier Two Commercial Edible Food Generator” means a Commercial Edible Food Generator that is one of the following:

1. Restaurant with 250 or more seats, or a total facility size equal to or greater than 5,000 square feet.

2. Hotel with an on-site food facility and 200 or more rooms.

3. Health facility with an on-site food facility and 100 or more beds.

4. Large Venue.

5. Large Event.

6. State agency with a cafeteria with 250 or more seats or total cafeteria facility size equal to or greater than 5,000 square feet.

7. Local Education Agency facility with an on-site food facility. “Wholesale Food Vendor” means a business or establishment engaged in the merchant wholesale distribution of food, where food (including fruits and vegetables) is received, shipped, stored, prepared for distribution to a retailer, warehouse, distributor, or other destination, or as otherwise defined in 14 CCR § 18985.2(a)(76).

8.64.020 - Policy.

The accumulation, Collection, removal, and disposal of Solid Waste must be controlled by the City for the protection of the public health, safety, and welfare and to contribute toward the diminution of health hazards and pollution in the City. The City Council finds that to give practical effect to this policy, a comprehensive system for the periodic Collection, removal and disposal of Solid Waste from all Premises in the City is essential and benefits all occupants of Premises in the City; and therefore, all such occupants, except those exempt, are made liable for the Solid Waste Collection charges established by the City Council for the Collection and disposal of Solid Waste.

8.64.030 - Categories.

The City Council may determine waste management Collection categories, such as Residential, Multi-Family Residential, Commercial, industrial, special, special event, or hazardous waste, and may make or impose Collection requirements which vary for such categories.

8.64.040 - Fees.

The City shall prescribe fees for Solid Waste Collection, transfer, processing, and disposal, and the Collection and , transfer. or processing of Recyclable Materials and green waste. Such fees may include charges for the use of dumps or landfills, and may include costs of preparing and implementing source reduction and recycling elements and integrated waste management plans.

The City may collect all or part of such charges on the tax roll or by such other means as the City may elect, whether or not delinquent. The City may also direct the Contractor to collect such charges for providing Collection services.

8.64.050 - Award of City Solid Waste Collection contracts—Terms.

The City may award one or more contracts to provide for the Collection of Solid Waste from all Premises in the City. Any such award of a contract shall be deemed an award of a franchise, and the Contractor shall be deemed to be the City's franchisee. Any award of a franchise shall be granted by the City by approval of a contract with the Contractor. A franchise shall be granted on such terms and conditions as the City shall establish in its sole and absolute discretion.

All franchise agreements shall provide for the following:

A. Service rates and procedures for adjusting rates;
B. Franchise fees. "Gross revenues" means all cash, credits or revenues of any kind or nature or other consideration as determined according to generally accepted accounting principles consistently applied, derived directly or indirectly by the Contractor, its affiliates, subsidiaries, parents, and any other Person or entity in which the Contractor has a financial interest or which has a financial interest in Contractor's Solid Waste Collection business, arising from or attributable to providing Solid Waste Collection services in the City. The Contractor shall pay the franchise fees to the City upon the terms and conditions set forth in the written agreement between the City and the Contractor;
C. A requirement that the Contractor shall provide the evidence thereof to the City clerk and shall maintain at all times during the term of any franchise granted by the City hereunder commercial general liability insurance and business automobile liability insurance as determined by the City. The insurance shall name the City and its officials, officers, employees, agents, and consultants as additional insureds; and D. A requirement that the Contractor furnish a performance bond or letter of credit to the City in a sum determined by the City, conditioned upon the faithful performance of the contract and the provisions of this chapter, to collect all Solid Waste in the City, and transport the same through the streets and public ways of the City to a disposal or processing destination.

E. A requirement that all Solid Waste transported be in a watertight metal tank or Container, with a close-fitting cover in place, so as to prevent any liquids or Solid Waste contained therein from leaking, spilling, falling, or escaping therefrom.

8.64.060 - Authority to collect, transport, transfer, process, and dispose of Solid Waste.

A. The City and its elected officials, officers, agents, and employees, or any Contractors with whom the City may at any time enter into a contract or franchise therefore, and the officers, agents, and employees of such Contractors, while any such contract is in force, shall have the exclusive right to gather, collect, and remove Solid Waste from all Premises in the City; and no Person other than those specified in this section shall gather, collect or remove any Solid Waste, convert or transport any Solid Waste in, along or over any public street, alley or highway in the City, or take any Solid Waste from any Container or bin (or pine needles in plastic bags) which may be placed for Collection or removal, or interfere with, disturb, or remove any such Container, or bin, or plastic bag (for pine needles) from any location where it is placed for Collection by the owner thereof.

B. Notwithstanding the foregoing restrictions, any owner or occupant of Residential Premises in the City may "self-haul" the following types of source separated Residential Solid Waste to Clean Bear Sites: Recyclable Materials, Organic Waste, green waste, garbage, trash, debris, paper, refuse, and ashes, provided that such materials are generated at such Residential Premises. No Person may use the Clean Bear Site to dispose of any Solid Waste generated from a Commercial Premises or from Commercial operations or to dispose of any bulky household items, construction and demolition waste, or special waste.

C. Notwithstanding the foregoing restrictions, any owner or occupant of Commercial Premises may "self-haul" Solid Waste from their Premises to a County sanitary landfill or transfer station, if the owner or occupant has previously obtained a special permit authorizing the "self-hauling" pursuant to Section 8.64.270 of this chapter. Any such owner or occupant of Commercial Premises having been granted such special permit who "self-hauls" Solid Waste directly to the landfill or transfer station may be required to provide dump tickets or receipts showing such activity, at the request of the City Manager or his/her designee.

8.64.070 - Commercial Premises.

A. All owners of Commercial Premises, other than such Commercial Premises having been previously granted a special permit authorizing self-hauling, shall maintain proof of subscribing service from the Contractor, for the Collection of all generated Solid Waste from their Commercial Premises in conformance with the City's existing contract with the Contractor. The service shall be at a level of Collection at which the Solid Waste shall not overflow from the Container serving such Commercial Premises, and shall at a minimum be picked up at least one time per week.

B. All owners of Commercial Premises, other than such Commercial Premises having been previously granted a special permit authorizing self-hauling, generating more than four two cubic yards of Solid Waste per week shall arrange for recycling services and organic waste collection services provided by the Solid Waste hauler to which the City has issued a franchise. Unless the franchisee provides mixed waste processing, Premises covered by this paragraph shall source-separate their Recyclable Materials from Solid Waste.

C. City staff shall engage in education and outreach to Commercial Premises covered by paragraph B concerning the requirements of this section, and shall monitor compliance and notify the owner or operator of any Commercial Premises which is not in compliance.

8.64.080 - Residential Premises.

All owners of Residential Premises shall be assessed fees pursuant to Section 8.64.040 for each self-contained living unit, whether Solid Waste is collected curbside, taken to public bins, or otherwise disposed of, regardless of the amount of Solid Waste generated, if any.

8.64.090 - Multi-Unit Residential Premises.

A. All owners of Multi-Unit Residential other than such Premises having been previously granted a special permit authorizing self-hauling shall maintain proof of subscribing service from the Contractor, for the Collection of all generated Solid Waste from their Multi-Unit Residential Premises in conformance with the City's existing contract with the Contractor. The service shall be at a level of Collection at which the Solid Waste shall not overflow from the Container serving such MultiUnit Residential Premises, and shall at a minimum consist of one-half cubic yard per week per self-contained living unit.

B. All Multi-Unit Residential other than such Premises having been previously granted a special permit authorizing self-hauling shall arrange for recycling services provided by the Solid Waste hauler to which the City has issued a franchise. Unless the franchisee provides mixed waste processing, Premises covered by this paragraph shall source-separate their Recyclable Materials from Solid Waste. The owner or manager of Multi-Unit Residential Premises may require tenants to source-separate Recyclable Materials to encourage the maximum possible diversion.

C. City staff shall engage in education and outreach to Multi-Unit Residential Premises concerning the requirements of this section, and shall monitor compliance and notify the owner or operator of any Multi-Unit Residential Premises which is not in compliance.

8.64.100 - Contracting for special services.

Any owner or occupant of any Premises may contract with the City's Contractor for the performance of special services, as defined herein. Special services shall be performed by the Contractor for additional service fees charged directly by the Contractor to the owner or occupant under terms and conditions negotiated between the owner or occupant and the Contractor. Special services may include the following:

A. Manual "pull out" service for front-loading bins, including opening and closing of enclosure doors;
B. Service for special sized Containers;
C. Collection service for Containers with locking lids or other special lids; D. Collection and transportation of construction and demolition waste; E. Any other Collection, transportation, transfer, processing, or disposal service as agreed upon between the Contractor and the customer and not expressly provided for and described in any franchise agreement between the City and the Contractor; F. Collection of refuse from more than two (2) Containers per week; G. Overloaded bins. Special services shall not include the replacement of existing Containers, bins, front-loading bins, roll-off bins, or public bins with clean and freshly painted replacements as deemed necessary by and requested by the City.

8.64.110 - Placement of bins and Containers for Collection.

A. Commercial bins shall bear the name, logo, or other designation of the owner or Contractor.

B. No Person shall maintain or place for Collection on private property, a street, or a public right-of-way any Container other than Containers meeting the requirements of this chapter.

C. No Container shall be placed in or adjacent to a street or public right-of-way for Collection service more than twenty-four (24) hours prior to the normal Collection time.

D. Containers shall be removed from, within or adjacent to the street or right-of-way within twenty-four (24) hours after Collection.

E. It is unlawful for any Person to place a bin in the public right-of-way without first obtaining an encroachment permit from the City engineer’s office, on which the permit shall state the dates that the bin may be placed in the public right-of-way.

8.64.120 - Unsanitary storage of Solid Waste.

The keeping of Solid Waste in Containers or bins other than those prescribed by this chapter, or the keeping upon Premises of Solid Waste which is offensive, obnoxious, or unsanitary is unlawful, constitutes a public nuisance and may be abated in the manner now or hereafter provided by law for the abatement of nuisances. All Solid Waste, including but not limited to hog manure, must be handled in such manner as to prevent the creation of a nuisance. Unused Solid Waste suitable for composting, including but not limited to hog manure, if spread upon the surface of the ground shall be promptly plowed underground or covered with equal successive layers of soil. Deep burial with top surface of all such refuse covered daily with soil will be permitted.

Where compost or fertilizer is accumulated, the drainage of such piles must be controlled in a sanitary manner.

8.64.130 - Containers—Condition.

Any Container, which does not conform to the provisions of this section, or which is severely damaged or has jagged or sharp edges, may be removed from future use by the Contractor or the City. Such removal notification shall be made by attaching a tab to the Container for purposes of notice to the customer.

8.64.140 - Removal of Solid Waste—Scavenging prohibited.

No Person, other than the Person in charge of any Premises, or the Person authorized by law to remove any bin, including without limitation a public bin, or Container from the location where the bin or Container was placed by the Person in charge for storage or Collection, shall remove any Solid Waste from any bin or Container, or move the bin or Container from the location in which it was placed for storage or Collection, without prior approval of the Person in charge of such.

8.64.150 - Illegal use of bins and Containers.

A. It is unlawful for any Person to deposit into any bin, Container or public bin any material other than Solid Waste.

B. It is unlawful for any Person to place Solid Waste in, or to otherwise use the bins or Containers of another Person, without the permission of that Person.

C. It is unlawful for any Person to deposit into any public bin, construction and demolition waste, bulky household items, construction material, crates, appliances, roofing, pipes, plumbing, metal products other than those associated with food storage or preservation, plastic of any kind or nature except those associated with food storage, preservation or packaging or commercial protective display or garment protection, paint and solvent cans, vehicle parts or vehicles, including motorcycles, bicycles, tires, batteries, or any designated hazardous material, tree stumps, dirt, concrete, asphalt, rock, gravel, household furniture, mattresses and uncrushed cardboard, unless otherwise provided in this chapter.

D. It is unlawful to place any Solid Waste in any bin, Container or public bin that is not capable of remaining within the bin or Container after deposit. It is a violation of this section to place, leave, deposit, or cause to be placed, left, or deposited any Solid Waste upon the ground around such bin or Container, or within the enclosure that the bin is located.

E. It is unlawful for any Person to place, leave, deposit, or cause to be placed, left, or deposited any Solid Waste in any public bin other than a public bin located at a Clean Bear Site. It is unlawful for any Person to place, leave, deposit, or cause to be placed, left, or deposited in any public bin at a Clean Bear Site any Solid Waste that was not generated at a Residential Premises within the City of Big Bear Lake.

Furthermore, such Person using any public bin at a Clean Bear Site also must be a resident, whether transient, temporary, or permanent, of the City of Big Bear Lake.

It is also unlawful for any private Contractor or Commercial business to place, leave, deposit, or cause to be placed, left, or deposited in any public bin any Solid Waste, regardless of the origin of such waste.

F. It is also unlawful for any Person, business or representative thereof, to recommend, coerce, or instruct any other Person, business or representative thereof to violate any provision of this chapter.

8.64.160 - Responsibility for Solid Waste prior to Collection.

Until picked up by the Contractor, each Person placing Solid Waste into a bin, or Container for Collection by the Contractor shall be responsible for the cleanup of any and all Solid Waste that for any reason whatsoever spills from the bins or Containers. It shall be unlawful for a Person who has deposited Solid Waste into a bin or Container, which Solid Waste has later spilled from, to knowingly allow the spilled Solid Waste to remain outside of the bin, or Container, from which it spilled.

8.64.170 - Burning Solid or Hazardous Waste prohibited.

No Person shall burn any Solid Waste or Special Waste within the City, except in an approved incinerator or transformation facility or other device for which a permit has been issued by the City, and which complies with all applicable permit and other regulations of air pollution control authorities, and provided any such act of burning in all respects complies with all other laws, rules, and regulations.

8.64.180 - Reserved.

8.64.190 - Separation of Food Waste from Solid Waste.

All restaurants and stores in which meats, fruits and vegetables are sold, cafes, hospitals, hotels and other public eating houses producing or having Food Waste shall place all such Food Waste in a suitable Container apart from Solid Waste so that such Food Waste may be most conveniently collected by the Contractor or any other Person under such restrictions as the City Council may, from time to time, impose upon any such restaurants and stores in which meats, fruits and vegetables are sold, cafes, hospitals, hotels and other public eating houses.

8.64.200 - Reserved.

8.64.210 - Time for Collection—Holidays.

A. Collection service at Residential Premises shall not start before six a.m. or continue after eight p.m., subject to change by resolution of the City Council. Collection services to Residential Premises shall not take place on Sundays. Collection service at Commercial Premises may start at five a.m. and may continue until after eight p.m. only if specifically approved in writing by the City Manager or his/her designee.

B. If the day of Collection on any given route falls on a holiday or a day on which the disposal facility utilized by the Contractor is closed, Contractor may provide Collection service for such route on the next workday following such holiday or disposal facility closure day or shall provide such Collection service on such holiday or disposal site closure day, except that Contractor shall never provide Collection service on New Year's Day, Thanksgiving Day or Christmas Day, with the exception of Commercial Premises service and service to the public bins, which shall have Collection on those dates on an as-needed basis.

8.64.220 - Collection equipment.

It shall be unlawful for any Person to operate any vehicle or equipment used for the Collection of Solid Waste where such vehicle or equipment is inadequately covered and/or otherwise is not equipped to prevent the blowing or falling out of Solid Waste or the leakage of liquids from a vehicle or equipment upon the public rights-of-way and public and private property in the City. It shall be unlawful for any Person to operate in the City any Solid Waste Collection equipment or vehicle that is not mechanically sound, safe and sanitary, or which has not been certified for use and operation by all public agencies having jurisdiction over and responsibility for inspecting and certifying the operation of such equipment and vehicles. It shall further be unlawful for any Person to operate in the City any Solid Waste Collection equipment or vehicle in violation of any provision of the California Vehicle Code or any applicable regulation of the California Highway Patrol.

8.64.230 - Contractor's employees.

A. The City may, at its option, require fingerprinting and perform background investigations of applicants who desire to be a Contractor or employee of a Contractor.

B. Any employee of a Contractor driving a Contractor's vehicle shall at all times have in his possession a valid vehicle operator's license.

C. The Contractor's employees shall be required to wear clean clothing of a uniform type.

8.64.240 - Contractor's records and office hours.

All Class A, B, and D permit holders employed by the Contractor to provide service in the City shall keep and maintain such operating records as the City may require to ascertain the extent of compliance with this chapter, and shall, if requested by the City, submit periodic reports of such operations. The Contractor shall maintain a log of all complaints and the nature of such complaints so that they may be reviewed by the City. The Contractor shall maintain office hours in the City in accordance with the terms and conditions specified in the contract between the Contractor and the City.

8.64.250 - Insufficient service.

The City Manager may, by written order, require the manager, occupant, or owner of any Vacation Rental, Multi-Unit Residential Premises or Commercial Premises, to increase the level of service provided by the Contractor to a level determined by the City Manager to adequately service the Premises in question.

8.64.260 - Reserved.

8.64.270 - Violation—Criminal offenses and fines.

All violations of Sections 8.64.020 through 8.64.250, inclusive, of this chapter are a misdemeanor, pursuant to Section 1.16.010 of this code and upon plea or conviction, shall be punishable as provided in Section 1.16.020 of this code, except as specified in Section 8.64.260.

A. Fines. Any violator of this chapter may face a fine of up to two hundred fifty ($250.00) dollars for each and every offense. Each violation shall be considered a distinct and separate offense, and each day on which a violation occurs shall be considered a separate and distinct offense.

B. Invoice for costs. In addition to or in absence of a fine, any violator of this chapter shall be required to pay an invoice for costs for any expenses associated with correction or remediation of violations of this chapter.

8.64.280 - Special permits.

All previously approved exemptions shall be recognized in the future, whether or not currently a section of this chapter allows for the exemption from mandatory Commercial or MultiUnit Residential service. Exemptions that are so "grand-fathered" may be revoked at any time in the future, when it is determined that the circumstances leading to the granting of the exemption have changed, or that the findings listed in this section are no longer met.

When unique circumstances make it impossible or extremely difficult to carry out the strict letter of this chapter with respect to mandatory Commercial service, the owner or manager of Commercial or Multi-Unit Residential Premises may request a special permit from the City Manager, or his/her designee, exempting such Premises from mandatory service as stated in this chapter. An exemption may be granted if all four (4) of the following stated findings are met:

A. The granting of such exemption will not be materially detrimental to other persons, properties or businesses in the area, and will not otherwise conflict with applicable City regulations;
B. There are unique or exceptional circumstances or conditions of the property that do not apply to other properties in the same zoning, vicinity, and use categories; C. The strict application of the mandatory service requirement causes the property or business owner an undue hardship not experienced by other properties or businesses of a similar type or in a similar area;
D. The granting of the exemption would not constitute a special privilege inconsistent with limitations upon other properties or business owners of a similar type or location.

Conditions of approval may be required of the Person or entity applying for the exemption.

Such conditions must be maintained throughout the life of the exemption. The failure to maintain such conditions may lead to the revocation of the previously approved exemption. Any Person who is dissatisfied with any decision or ruling of the City Manager under the provisions of this chapter may appeal to the City Council, which shall have the power to grant or deny such appeal.

The appeal shall be taken by filing with the clerk of the City Council a notice of appeal within ten (10) days after the date of the decision or ruling by the City Manager.

8.64.290 - Requirements for Commercial Edible Food Generators.

A. Tier One Commercial Edible Food Generators must comply with the requirements of this section, and Tier Two Commercial Edible Food Generators must comply commencing January 1, 2024.

B. Large Venue or Large Event operators not providing food services, but allowing for food to be provided by others, shall require Food Facilities operating at the Large Venue or Large Event to comply with the requirements of this section, commencing January 1, 2024.

C. Commercial Edible Food Generators shall comply with the following requirements:

1. Arrange to recover the maximum amount of Edible Food that would otherwise be disposed.

2. Enter into a written agreement with Food Recovery Organizations or Food Recovery Services for:
a. The Collection of Edible Food for Edible Food Recovery from the Tier One or Tier Two Commercial Edible Food Generator’s Premises; or,
b. The acceptance of Edible Food that the Tier One or Tier Two Commercial Edible Food Generator self-hauls to the Food Recovery Organization.

3. Shall not intentionally spoil Edible Food that is capable of being recovered by a Food Recovery Organization or a Food Recovery Service.

2. Allow the City’s designated Enforcement Officer or Designee to access the Premises and to review records pursuant to 14 CCR § 18991.4.

3. Keep records that include the following information, or as otherwise specified in 14 CCR § 18991.4:
a. A list of each Food Recovery Service or Food Recovery Organization that collects or receives its Edible Food pursuant to a contract or written agreement established under 14 CCR
§ 18991.3(b).
b. A copy of all contracts or written agreements established under 14 CCR § 18991.3(B).
c. A record of the following information for each of those Food Recovery Services or Food Recovery Organizations:
i. The name, address, and contact information of the Food Recovery Service or Food Recovery Organization.
ii. The types of Edible Food that will be collected by, or Selfhauled to, the Food Recovery Service or Food Recovery Organization.
iii. The established frequency that Edible Food will be collected or self-hauled.
iv. The quantity of Edible Food, measured in pounds recovered per month, collected or self-hauled to a Food Recovery
Service or Food Recovery Organization for purposes of
Food Recovery.

D. Nothing in this chapter shall be construed to limit or conflict with the protections provided by the California Good Samaritan Food Donation Act of 2017, the Federal Good Samaritan Act, or share table and school food donation guidance pursuant to Senate Bill 557 (Chapter 285, Statutes of 2017).

8.64.300 - Requirements for Food Recovery Organizations and Services.

A. Food Recovery Services collecting or receiving Edible Food directly from Commercial Edible Food Generators via a contract or written agreement established under 14 CCR § 18991.3(b) shall maintain the following records, or as otherwise specified by 14 CCR § 18991.5(a)(1):

1. The name, address, and contact information for each Commercial Edible Food Generator from which the service collects Edible Food.

2. The quantity in pounds of Edible Food collected from each Commercial Edible Food Generator per month.

3. The quantity in pounds of Edible Food transported to each Food Recovery Organization per month.

4. The name, address, and contact information for each Food Recovery Organization for which the Food Recovery Service transports Edible Food for Food Recovery.

B. Food Recovery Organizations collecting or receiving Edible Food directly from Commercial Edible Food Generators via a contract or written agreement established under 14 CCR § 18991.3(b) shall maintain the following records, or as otherwise specified by 14 CCR § 18991.5(a)(2):

1. The name, address, and contact information for each Commercial Edible Food Generator from which the organization receives Edible Food.

2. The quantity in pounds of Edible Food collected form each Commercial Edible Food Generator per month.

3. The name, address, and contact information for each Food Recovery Service from which the organization receives Edible Food for Food Recovery.

C. Food Recovery Organizations and Food Recovery Services that have their primary address physically located in the City and contract or have written agreements with one or more Commercial Edible Food Generators pursuant to 14 CCR § 18991.3(b) shall, no later than March 1, July 1, and September 1 of each calendar year, report to the City in which they are located the total pounds of Edible Food recovered in the previous calendar year from the Tier One and Tier Two Commercial Edible Food Generators with which they have established a contract or written agreement pursuant to 14 CCR § 18991.3(b).

D. In order to support Edible Food Recovery capacity planning assessments and other studies, Food Recovery Services and Food Recovery Organizations operating in the City shall, upon request, provide information and consultation to the City regarding existing or proposed new or expanded Food Recovery capacity that could be accessed by the City and its Commercial Edible Food Generators. A Food Recovery Service or Food Recovery Organization contacted by the City shall respond to such request for information within 60 days, unless a shorter timeframe is otherwise specified by the City.

8.64.310 - Inspections and Investigations.

A. City Enforcement Officer, Contractor, and/or a designated entity, including Designees, are authorized to conduct Inspections and investigations, at random or otherwise, of any collection container, collection vehicle loads, or transfer, processing, or disposal facility for materials collected from generators, or Source Separated materials to confirm compliance with this chapter, subject to applicable laws. This section does not allow the City to enter the interior of a private residential property for Inspection.

B. The regulated entity shall provide or arrange for access during all Inspections and shall cooperate with the City Enforcement Officer or Designee during such Inspections and investigations. Such Inspections and investigations may include Edible Food Recovery activities, records, or any other requirement described herein. Failure to provide or arrange for: (i) access to an entity’s Premises; or (ii) access to records for any Inspection or investigation is a violation of this chapter and may result in penalties described in Section 8.64.320.

C. City Enforcement Officer and/or its Designee are authorized to conduct Inspections an investigations, at random or otherwise, to confirm compliance with this chapter by Commercial Edible Food Generators, Food Recovery Services, and Food Recovery Organizations, subject to applicable laws.

D. Any records obtained by the City during its Inspections and other reviews shall be subject to the requirements and applicable disclosure exemptions of the Public Records Act as set forth in Government Code § 6520 et seq.

E. City Enforcement Officer and/or its Designee are authorized to conduct any Inspections or other investigations as reasonably necessary to further the goals of this chapter, subject to applicable laws.

F The City shall receive written complaints from persons regarding an entity that may be potentially non-compliant with SB 1383 Regulations, including receipt of anonymous complaints.

8.64.320 – Process for Enforcement
A. The City Manager, or his/her designee shall have authority to enforce the provisions of this chapter, to inspect all Premises where Solid Waste is kept or accumulated for the purpose of determining sanitary conditions, and to investigate whether the provisions of this chapter and all health ordinances of the City and health laws of the state are complied with.

B. Upon conviction, any Person, firm, or corporation convicted of violating Sections

8.64.020 through 8.64.250, inclusive, of this chapter may be found guilty of a misdemeanor. The City attorney shall have the authority to prosecute any violation of this chapter, which is otherwise a misdemeanor, as an infraction, in the interests of justice. In such cases, the City attorney shall specify in the accusatory pleadings that the offense has been filed as an infraction, or the citing officer shall issue a notice to appear, charging the defendant with a violation of an infraction.

C. City Enforcement Officer, Contractor, and/or a Designee will monitor compliance with this chapter randomly and through Compliance Reviews, Route Reviews, investigation of complaints, and an Inspection program.

8.64.320 - Violations.

A. Violation of Sections 8.64.290 through 8.64.310, inclusive, of this chapter shall constitute grounds for issuance of a Notice of Violation and assessment of a fine by an Enforcement Officer. Enforcement Actions under this chapter include issuance of an administrative citation and assessment of a fine. The City’s procedures on imposition of administrative fines are set forth in Big Bear Lake Municipal Code Chapter 1.17, and shall govern the imposition, enforcement, collection, and review of administrative citations issued to enforce this chapter and any rule or regulation adopted pursuant hereto, except as otherwise indicated.

B. City may seek all other remedies allowed by law, including civil action or prosecution for an alleged misdemeanor or infraction. City may pursue civil actions in the California courts to seek recovery of unpaid administrative citations.

C. Penalty Amounts for Types of Violations

1. For a first violation, the amount of the penalty shall be $100 per violation.

2. For a second violation, the amount of the penalty shall be $200 per violation.

3. For a third or subsequent violation, the amount of the penalty shall be $500 per violation.

4. The penalties shall be consistent with Government Code section 36900.

D. The City may extend the compliance deadlines set forth in a Notice of Violation if it finds that there are extenuating circumstances beyond the control of the respondent that make compliance within the deadlines impracticable, including the following:

1. Acts of God such as earthquakes, wildfires, flooding, and other emergencies or natural disasters;

2. Delays in obtaining discretionary permits or other government agency approvals; or,

3. Deficiencies in Edible Food Recovery capacity and the City is under a corrective action plan with CalRecycle pursuant to 14 CCR Section 18996.2 due to those deficiencies.

F. Appeals Process. Persons receiving an administrative citation containing a penalty for an uncorrected violation under this chapter may request a hearing to appeal the citation pursuant to Section 1.17.070, as it may be amended from time to time.

G. Education Period for Non-Compliance. Through December 31, 2023, the City will conduct Inspections to determine compliance, and if the City determines that the Tier One Commercial Edible Food Generator, Food Recovery Service, Food Recovery Organization, or other entity is not in compliance, it shall provide educational materials to the entity describing its obligations under this chapter and a notice that compliance is required, and that violations may be subject to administrative civil penalties starting on January 1, 2024.

H. Civil Penalties for Non-Compliance. Beginning January 1, 2024, if the City determines that a Tier One Commercial Edible Food Generator, Tier Two Commercial Edible Food Generator, Food Recovery Service, Food Recovery Organization, or other entity is not in compliance with this chapter, it shall document the noncompliance or violation, issue a Notice of Violation, and take Enforcement Action pursuant to this chapter.

I. This Chapter shall be interpreted to be consistent with the City’s regulatory authority, and shall only apply to Local Education Agencies and other entities to the extent permitted by law, including SB 1383 Regulations.

MEETING
DATE: August 1, 2022
TO: Honorable Mayor and Members of the City Council
THROUGH: Jeff Mathieu, Interim City Manager
FROM: Kelly Ent, Director of Administrative Services
SUBJECT: Ordinance Amending Chapter 4.01 of Title 4 of the Big Bear Lake Municipal Code Relating to Vacation Rental Licenses, Rental Contracts and Other Limitations and Regulations on Vacation Rentals

BACKGROUND
On May 16, 2022, City Council formed an Ad Hoc Committee comprised of Councilmember Melnick and Councilmember Putz for the purpose of identifying a potential compromised amendment to the City’s vacation rental ordinance as an alternative to the petition entitled Initiative Measure Amending the City’s Municipal Code to Limit the Number of Vacation Rental Licenses and Rental Contracts in the City and to Enact Additional Limitations and Regulations on Vacation Rentals (Citizens’ Initiative). This Measure is scheduled to be considered by voters at the November 8, 2022 election.

On June 6, 2022, City Council approved the Ad Hoc Committee workplan to draft a compromised amendment to the City’s vacation rental ordinance as an alternative to the Measure. The workplan identified a timeline to obtain public input and to draft a proposed amendment for review with the public and proponents of the Measure.

The first meeting of the Ad Hoc Committee was held on June 14, 2022. This meeting was a Structured Listening Session to receive public input regarding the various elements of the City’s vacation rental ordinance: Licensing, Management, and Enforcement. The purpose of the discussion was to help identify concepts and solutions for the development of a potential compromised amendment to the City’s vacation rental ordinance. From that meeting and correspondence received, the Ad Hoc Committee produced a first draft of a compromise amendment to the City’s ordinance. That draft was released for public review on July 11.

On July 18, the Ad Hoc Committee convened their second public meeting to receive public comment regarding the draft and to meet with the signers of the Citizens’ Initiative to discuss engage in discussion regarding a compromise. As part of this discussion, the Ad Hoc Committee extended the public comment period through July 24 in an effort to receive as much input as possible and to allow more time for the Council appointed committee members to work with the proponents regarding a compromise. Feedback from the additional correspondence received and various discussions has been incorporated into a draft ordinance for discussion with the City Council.

DISCUSSION
Councilmember Melnick and Councilmember Putz will provide an update regarding the two Ad Hoc Committee meetings, their progress toward the development of a proposed revision to the City’s vacation rental ordinance, and next steps.

FISCAL IMPACT
There is no fiscal impact.

ENVIRONMENTAL CONSIDERATIONS
None requiring review under California Environmental Quality Act (CEQA).

RECOMMENDATION
It is recommended that the City Council receive a presentation from the Ad Hoc Committee members, discuss the Ordinance attached to this report, and consider reading the title, waiving further reading, and introducing an Ordinance amending the City’s Municipal Code to implement further limitations and regulations on vacation rentals.

If the Council desires to maintain the option for the proponents of the Citizens’ Initiative to withdraw said initiative, it is further recommended that the Council consider adjourning this regular meeting to an adjourned regular meeting to be held after five (5) or more days, but prior to August 12, 2022 for the second reading and adoption of the Ordinance. Therefore, said meeting will need to occur anytime Monday, August 8 through Thursday, August 11. As part of this action, Council must also specify the date, time, and place for the adjourned regular meeting to be held.

ATTACHMENTS

1. Ordinance No. 2022-xxx

2. Legislative Draft of Ordinance

3. Ad Hoc Committee Comparison Chart

4. Ad Hoc Committee Workplan
ATTACHMENT 1

ORDINANCE NO. 2022-XXX
AN ORDINANCE AMENDING CHAPTER 4.01 OF TITLE 4 OF THE

BIG BEAR LAKE MUNICIPAL CODE RELATING TO VACATION

RENTAL LICENSES, RENTAL CONTRACTS AND OTHER

LIMITATIONS AND REGULATIONS ON VACATION RENTALS
WHEREAS, pursuant to Chapter 4.01 of Title 4 of the Big Bear Lake Municipal Code (B.B.L.M.C. §§4.01.010 through 4.01.110), the City currently licenses owners of certain residential dwelling units within the City to lease all or some of their property as vacation rentals, for a term of 28 or fewer consecutive days, subject to those conditions and regulations as provided in Chapter 4.01; and
WHEREAS, pursuant to authority provided by the California Elections Code, a group of Big Bear Lake residents (the “Proponents”) timely filed a valid petition with the City Clerk signed by at least ten percent (10%) of the City’s registered voters, and thereby qualified a local initiative measure for the ballot which would amend Chapter 4.01 to limit the number of vacation rental licenses and rental contracts in the City and to enact additional limitations and regulations on vacation rentals (the “Measure”); and
WHEREAS, on June 6, 2022, pursuant to California Elections Code Sections 1405 and 9215, the City Council adopted Resolution No. 2022-69 submitting the Measure to the voters at the City’s next General Municipal Election to be held on Tuesday, November 8, 2022; and WHEREAS, as part of discussions with the Proponents as well as with other residents and interested parties in the City, the City Council hereby adopts this Ordinance as an alternative set of regulations for vacation rentals vis-à-vis the Measure; and WHEREAS, it is the intent of this ordinance to provide community members who own second homes in the City with the opportunity to periodically rent their homes on a short-term basis to help offset the cost of ownership while discouraging predominantly commercial vacation rental activity by investment business-based property owners.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BIG BEAR LAKE, CALIFORNIA, DOES ORDAIN AS FOLLOWS:

SECTION 1. AMENDMENT TO MUNICIPAL CODE. Chapter 4.01 of Title 4 of the Big Bear Lake Municipal Code is hereby amended to read as follows:
“Title 4 Visitor serving uses and tourism
Chapter 4.01 Vacation Rentals
Section 4.01.010. Purpose
This chapter is intended to provide a procedure to allow the rental of private homes to visitors on a short-term basis as vacation rentals. The city seeks to regulate and limit vacation rentals, promote responsible visitor behavior, and protect the residential character of its neighborhoods.

Section 4.01.020. Definitions
For purposes of this chapter, the following words and phrases are defined as follows:

A. “Agent” means a person or entity, who does not hold any interest in the property and who has authority to act on behalf of the owner.

B. “Bedroom” means a room designed primarily for sleeping that meets the definition of the California Building Codes currently adopted by the city.

C. “Business entity” means a corporation, partnership, limited liability company or other legal entity that is not a natural person, personal business or personal or family trust.

D. “Check in” means the arrival of a guest at a vacation-rental property or agent’s office.

E. “Class A License” means a vacation rental license issued by the city prior to the Cut-off date.

F. “Class B License” means a vacation rental license issued by the city after the Cutoff date.

G. “Contract” means an agreement or evidence of any tenancy that allows or provides for occupancy of a vacation-rental property. A contract is any occupancy of a property where compensation is paid for such occupancy, whether occupancy is evidenced in an agreement or document. A contract is not required for home-sharing. as defined herein.

H. “Cut-off date” means the date that this ordinance becomes effective.

I. “Dwelling unit” shall mean one or more rooms in a building or portion thereof, designed, intended to be used or used for occupancy by one family or household for living and sleeping quarters, and containing only one kitchen, not including hotels or motels.

J. “Good Neighbor Policy” means a document prepared by the city that summarizes the general rules of conduct, consideration, and respect, including, without limitation, provisions of this code and other applicable laws, rules or regulations pertaining to the use and occupancy of vacation rentals.

K. “Home-sharing” means the rental of no more than two bedrooms in a detached single-family unit, for compensation, for a term of 28 or fewer consecutive days while the owner of the unit lives on-site and in the home, throughout the visitor’s stay.

L. “Hosting platform” or “hosting sites” means a person or entity who participates in home-sharing or vacation rentals by collecting or receiving a fee, directly or indirectly through an agent or intermediary, for conducting a booking transaction using any medium of facilitation. Examples include, but are not limited to, VRBO.com, Airbnb.com, homestay.com and other internet and non-internet based services that facilitate bookings for a fee.

M. “Owner” means a person or entity, who holds record fee title to the vacation rental property, except that “owner” does not include the holder of a leasehold interest in the vacation rental property. “Owner” includes a natural person, a personal business or a personal or family trust consisting solely of natural persons. An “owner” can be a business entity only if holding a license issued prior to the Cut-off date; any “owner” who holds a license on the Cutoff date is deemed an “owner” for purposes of this ordinance until the license is terminated or is not renewed.

N. “Personal business” means a corporation, limited liability company, partnership or other business that is directly owned and operated by natural persons and all shareholders, members or partners of the business are (i) natural persons who are all family members with no maximum on the number or (ii) natural persons who are not family members and do not exceed five (5) in number. Businesses that are owned, in whole or in part, by another corporation, limited liability company, partnership or other business are not a “personal business” but are a “business entity”.

O. “Responsible party” means the lessee of a vacation-rental property.

P. “Vacation rental” or “vacation-rental property” means a residential dwelling unit, or any portion thereof, that is leased for a term of 28 or fewer consecutive days. “Vacation rental” or “vacation-rental property” includes properties where homesharing takes place unless expressly indicated otherwise.

Section 4.01.030. License Required
A. A current, valid annual license issued by the city to the owner is required for each property prior to advertising, offering to lease, or leasing the property as a vacation-rental property. Each dwelling unit used as a vacation-rental property requires a license.

B. The license number shall be conspicuously posted inside of the vacation-rental property and on all advertisements or solicitations for the property, including, but not limited to hosting sites, websites, social media postings, emails, and print ads.

C. A license shall not be issued to any business entity. A natural person, personal business or personal or family trust shall not maintain any financial interest in more than one vacation rental. For this purpose, financial interest includes both legal and beneficial ownership as well as any arrangement that provides for receipt of any portion of the revenues generated by the vacation rental. An owner shall only be issued, and can only maintain one license for any vacation rental within the City of Big Bear Lake at any time.

D. The limits in Paragraph C shall apply only to licenses issued after the Cut-off date. The purpose of this exception is to afford current owners of vacation rental property a reasonable opportunity to recoup costs reasonably invested for vacation rental use.

E. Upon sale or change of vacation-rental property ownership, the license shall automatically expire and the property shall not be used as a vacation rental until the new or successor owner obtains a license for the vacation rental. A change in ownership of a business entity that owns a vacation rental property such that the property is subject to reassessment constitutes a change of ownership for the purposes of this provision and results in the termination of the license.

Notwithstanding the above, a change of vacation-rental ownership between family members or among spouses, including as a result of death or divorce or transfer to a personal or family trust, is not considered a change of ownership that terminates a license. “Family members” shall mean spouses, as well as biological or adopted children, parents, brothers/sisters, grandparents, grandchildren, uncles, aunts, nephews or nieces of the owner. Within seven days of a sale or change of vacation-rental property ownership not between family members, the owner holding a license must cancel the license through a procedure to be developed by the city.

Section 4.01.040. Licensing Procedure and Maximum Number of Licenses A. An owner shall apply to the city for a license annually for each vacation-rental property and pay a fee established by resolution of the city council. The fee shall be sufficient to allow for comprehensive and complete enforcement of the regulations in this section. The city shall provide an application form and list of application and insurance requirements.

1. At the time of renewal of any license, all business entities and personal or family trusts must provide the names, contact information, and any other information deemed necessary by the city, of each natural person holding a legal, equitable, or beneficial interest in the business entity personal business or personal or family trust that owns the vacation rental, and the address of each vacation rental owned by each such business entity, personal business or trust.

2. When reviewing applications for new licenses and prior to issuing a new license, the city shall utilize the information provided under Paragraph A.1. to ensure that no natural person has any legal, equitable, or beneficial interest in more licenses than permitted in Paragraph B.

B. An owner may not hold more than one license for a vacation-rental property, provided that an owner with two or more valid licenses in effect as of the cut-off date may continue to renew and use them after the cut-off date until they expire or are not renewed.

C. Except as provided in subsection B, the city shall not issue more than one license to any owner, provided that the City may annually renew a license until it expires or is not renewed or revoked.

D. The city shall not issue more than 1,500 Class A licenses. However, valid Class A licenses in effect as of the Cut-off date may be renewed in accordance with this chapter even if the total number of Class A licenses exceeds 1,500. This cap on Class A licenses does not apply to properties that are used exclusively for homesharing. There shall be no cap on the issuance of Class B licenses.

E. License holders that hold a Class A license may choose to remove their property from the program to provide a long-term lease of at least 12 months. In such cases, vacation-rental property owners are eligible to apply for a license after the long-term lease expires, but only within three years of removing the property from the program. A Class A license may be issued in this instance exceeding the limit of 1,500.

F. An application for a Class A license that was not submitted and paid, for prior to or on the Cut-off date shall not be processed by the city until the number of Class A licenses is below 1,500. When the number of Class A licenses is less than 1,500, the city can once again issue Class A licenses, but the total number may not exceed 1,500. If there are more applicants than available Class A licenses, the city will establish a fair and equitable system to determine which applications will be processed.

G. The city shall not renew any licenses for any vacation-rental property units with outstanding fines if all administrative appeals have been exhausted.

Section 4.01.050. Transient Occupancy Tax/Tourism Business Improvement District Assessment
A. Except as provided in Paragraph B below, the owner is responsible for collecting and remitting transient occupancy tax and tourism business improvement district assessments to the city and shall comply with all provisions of Chapter 3.20 of this code concerning transient occupancy taxes.

B. Hosting platforms shall be responsible for collecting all applicable transient occupancy taxes and tourism business improvement district assessments and remitting the same to the city. The hosting platform shall be considered an agent of the host for purposes of transient occupancy tax collections and remittance pursuant to Chapter 3.20.

C. Owners shall be responsible for submitting transient occupancy tax forms reporting nightly stays and gross receipts even if a hosting platform is remitting the taxes due on their behalf.

D. Licensees making two or more late submittals in a 12-month period shall not have their license renewed upon expiration.

Section 4.01.060. Operational Requirements
A. Prior to check-in or guest arrival, the owner or the owner’s agent shall provide a contract summary to the city on a form to be developed by the city. The contract summary shall contain, at a minimum, the license number, the dates of the stay, the contract number for the year, the first name and last initial of the responsible party, the number of occupants and any other information as deemed appropriate by the city. This requirement does not apply to home-sharing.

B. Prior to or at check in, the owner or the owner’s agent shall obtain from the responsible party the responsible party’s name, email address, and a copy of that person’s government-issued identification.

C. For Class A licenses, there shall be no annual limit on the number of contracts for occupancy of a vacation rental. For Class B licenses, no more than 24 contracts for occupancy of a vacation-rental property shall be allowed in any calendar year.

1. The city shall track and enforce the 24 contract per year rental limitation on Class B licenses, except the 24 contract per year limit shall not apply to occupancies that meet the definition of home-sharing. No contract is required for home-sharing.

2. If it is determined by the city that a vacation-rental property has been rented without providing the contract summary, the owner shall be deemed in violation of this Ordinance, regardless of the number of contracts in the city’s records for the current calendar year.

3. The owner or the owner’s agent shall maintain a record of all contracts for a period of the last three years of operations, but in no event prior to the cut-off date, subject to audit by the city.

D. The owner and owner’s agent shall ensure that the vacation-rental property complies with all applicable codes regarding fire, building and safety, health and safety, zoning, lighting, and all other laws and regulations.

E. Overnight occupancy of any vacation rental shall be for a minimum of two nights, except that an overnight occupancy may consist of a single Saturday night.

Same day check-in and check-out shall be prohibited. These requirements do not apply to home sharing and any contracts in existence on the effective date of this Ordinance.

F. All guest check-ins must be performed in person by the owner or the owner’s agent. The responsible party must be present in person at the check-in. The responsible party must sign a copy of the city’s Good Neighbor Policy prior to or during check- in. A copy of the signed policy shall be provided to the city by the owner or owner’s agent upon request. An owner or agent may provide an electronic process for guests to sign and acknowledge the city’s Good Neighbor Policy at check-in.

G. No person may enter into a rental contract with an owner for occupancy of a vacation rental property unless that person is at least 21 years of age. Occupancy of the vacation-rental property shall always be limited to the limit stated on the license. Such occupancy shall not exceed two adults per bedroom, plus two additional adults, not including persons under 18 years of age; but the total number of persons, including persons under 18 years of age, may not exceed one person per 200 square feet of living space or 16 persons, whichever is less.

Properties without all the parking spaces that are required by Section 17.25.070 are limited to two adults per parking space provided.

H. Events or gatherings by a responsible party exceeding occupancy limits are not permitted, unless the city manager or the city manager’s designee has given prior written approval at least 30 days in advance. The City may grant only one approval under this subsection per year per vacation rental. City approval is discretionary and may be subject to reasonable conditions.

I. Off-street parking spaces shall be provided on the vacation-rental property for a responsible party and guests sufficient for all vehicles and trailers associated with the vacation-rental property or its occupants in accordance with Section

17.25.070. Parking for a responsible party and guests is allowed only in designated driveways and garages and is not allowed in the yard or street at any time. The maximum number of vehicles for a responsible party and guests at a vacation rental property at any time is also the minimum number of parking spaces required. Gravel parking spaces approved for vacation-rental properties licensed before January 11, 2021, and originally constructed after January 1, 2004, shall continue to be allowed until January 1, 2026. Properties licensed before January 11, 2021, that do not contain off-street parking spaces shall continue to be allowed until January 1, 2026.

J. Upon the request of the city, the owner or the owner’s agent shall respond in person at the vacation-rental property within 30 minutes of dispatch of notice by the city to correct any violation of this chapter or any other provision of this code.

If the responsible party or any guest at a vacation-rental property fails to follow the reasonable direction of the owner or owner’s agent to comply with this ordinance or this code, the owner or owner’s agent shall notify the City and refer the matter to lawful authority. Any responsible party and guests must comply with any lawful order of any fire, law enforcement, code enforcement or any other public safety officer, which may include vacating or removal from the vacationrental property.

K. No radio receiver, musical instrument, phonograph, loudspeaker, sound amplifier, or other any machine or device for the producing or reproducing of any sound may be operated on the vacation-rental property by a responsible party or guests unless it is within a fully enclosed structure and is not audible at the property line of the vacation-rental property.

L. Outdoor activity on the vacation-rental property by a responsible party or guests that disturbs the peace and the use of an outdoor spa are prohibited between the hours of 10:00 p.m. and 7:00 a.m.

M. Each vacation-rental property shall be equipped with one informational sign as described in the registration materials. The sign shall be clearly visible from the street, include the vacation rental license number, the city’s code enforcement hotline number, the maximum number of occupants, Class A or B designation, and the maximum number of cars permitted plus additional information required by the city.

N. Trash shall be properly handled and disposed of as required by city regulations.

O. Incessant barking from dogs of a responsible party or guests heard beyond the property line is prohibited.

P. The owner shall include notice to the responsible party of the identified requirements of this section in all leases (subsections B, F, G, I, K, L, N and O) and post a visible notice (subsections F, G, I, K, L, N and O) at the entrance to the vacation-rental property.

Section 4.01.070. Agency and Certification
An owner may grant authority to an agent to act on behalf of the owner for purposes of fulfilling some or all the requirements of this chapter. The owner shall give prior written notice to the city of any grant of such authority, including the identity and contact information for the agent. The owner shall promptly give the city written notice of any change to any such grant of authority. The use of an agent shall not excuse the owner from the owner’s obligations of this chapter. Agents and owners fulfilling any of the requirements of this chapter shall be annually certified by the city.

Section 4.01.080. Inspection and Audit.

A. Each owner and owner’s agent shall provide the city with access to the vacationrental property and to such related records, documents, tax returns, and bank accounts at any time during normal business hours as the city may determine are necessary for the purpose of inspection or audit to determine that the objectives and conditions of this chapter are being fulfilled. The City shall, to the maximum extent permitted by law, maintain the confidentiality of such records and documents, including, but not limited to, bank statements, tax returns, any responsible party and guest names, e-mail addresses and government-issued identification documents. Unless otherwise required by law, the City shall not disclose any of this information in response to a public records request.

B. Every applicant applying for a license shall provide the city access to any premises, property or dwelling which is the subject of the application, and the city shall be permitted to make any inspections as the city may determine is necessary from time to time throughout the application process. If a license is issued, the city shall be permitted access to the subject premises, property or dwelling in order to determine continued compliance with this chapter and/or any conditions of approvals set forth in the respective license.

Section 4.01.090. Hosting Platform Responsibilities.

A. Subject to applicable laws, hosting platforms shall, upon written request by the city, promptly disclose to the city each vacation-rental property listing located in the city, the host ID, listing ID, and names of the persons responsible for each such listing, the address of each such listing, the length of stay for each such listing, and the price paid for each stay.

B. A hosting platform shall promptly remove any listing upon receipt of a take-down notice from the city indicating that a listing violates applicable legal requirements.

C. A hosting platform is responsible for collecting and remitting transient occupancy taxes and tourism business improvement district assessments on behalf of their hosts, in accordance with this Code.

D. A hosting platform shall require all hosts to include a valid license number in a designated field dedicated to the license number.

Section 4.01.100. Violations and Penalties
A. The city may issue an administrative citation to any person who operates a vacation-rental property without a license. The administrative fine for the first citation shall be in the amount of $5,000.00. Any person operating an unlicensed vacation-rental property shall be permanently ineligible to operate a vacationrental property in the city, and any property that is operated as a vacation-rental property without the required license shall be ineligible for a vacation-rental property license for a period of one year from the most recent citation issued for operating without a license. If the person continues to operate a vacation-rental property without a license, the city may issue an additional administrative citation, with an administrative fine in the amount of $10,000.00. Any additional violation shall be subject to additional citations with escalating fines provided in a schedule established by the city council by resolution. A person operating an unlicensed vacation-rental property is liable to the city for the payment of transient occupancy tax in accordance with the provisions of Chapter 3.20 of this code, including without limitation penalties and interest.

B. For any violation of the requirement in Section 4.01.060(A) to provide contract summaries to the city, an immediate fine of $2,500.00 may be assessed against the owner, and the license for that property may be suspended for up to a sixmonth period. A second violation of Section 4.01.060(A) at the same vacationrental property shall be grounds to revoke the license for that property.

C. For any violation of this chapter that is not subject to subsections A or B above or E or F below, the city may impose an administrative fine for the first violation in the amount of $500.00. The fine for each subsequent violation shall be $1,000.00.

Upon the third violation in any twelve-month period of any provision of this chapter that is not subject to subsection A or B above or E or F below, the license for that property may be revoked.

D. Except as stated otherwise, each administrative citation for a violation of any provision of this chapter may be levied or assessed against one or more of: the owner, the owner’s agent, a hosting platform, and the responsible party. The city may initiate revocation of a license after one violation. Each day that a violation occurs is a separate violation, for which the city may issue a separate administrative citation and fine.

E. Any person who advertises a vacation-rental property with false occupancy information, offering self-check-in, or without including a valid license number for the property in the advertisement shall pay a fine in the amount of $2,500.00, and the license for that property may be revoked. The license for that property shall be revoked for a second offense, if not revoked already.

F. If a guest violates this ordinance and it is determined that a responsible party has not signed a copy of the city’s Good Neighbor Policy as required by subsection

4.01.060(F), the city may fine the owner or their agent in the amount of $500.00, in addition to any fine levied against the guest.

G. The failure of an owner or the owner’s agent to comply with a lawful order of any fire, law enforcement, code enforcement or any other public safety officer shall result in the revocation of the license.

H. If an owner violates any provision of this chapter three (3) times or more within a 90-day period, the license for that property may be suspended for up to a sixmonth period. Operating a vacation-rental property with a suspended license shall be grounds to revoke the license for that property.

I. The appeal and hearing provisions of Section 1.17.070 of this code apply to any revocation or suspension of a license.

J. In addition to, and not in lieu of, any other remedy allowed by law, all remedies prescribed under this chapter are cumulative, and the election of one or more remedies does not bar the city from pursuing any other remedy, whether criminal, civil, or administrative, through which the city may enforce this chapter or address any violation of this code or to remedy any other public nuisance.

K. Owners and agents must accept all city vacation-rental-related correspondence, including, but not limited to, notices of violation, administrative citations, registration materials, notices of regulatory changes, and transient occupancy tax notices via email delivery. It is the responsibility of the owner and agent to ensure that the email address provided on the license application is active and monitored regularly.

L. Within sixty (60) days after the cut-off date, the city shall establish and maintain a web-based database of issued vacation-rental licenses and enforcement actions or violations assessed against each license holder. The website shall list vacation rentals by address and include at a minimum, the following information for each unit: license number, and expiration date; name of any owner’s agent or management company (if applicable); maximum permitted number of occupants; maximum permitted number of cars; each and every complaint that has been received which is associated with the license, including duplicate complaints; a detailed description of each complaint and final resolution to each complaint; any fines that were levied, whether the fines were paid or are outstanding, and if there was a violation but no fine was levied, the reason why no fine was levied.

Section 4.01.105. Authority to Make Rules and Regulations The city shall have the authority to establish administrative rules and regulations, which may include, but are not limited to, registration conditions, reporting requirements, inspection frequencies, enforcement procedures, advertising restrictions, disclosure requirements, or insurance requirements, consistent with the provisions of this Chapter, for the purpose of implementing, interpreting, clarifying, carrying out, furthering, and enforcing the requirements and the provisions of this Chapter. No such rules may have the effect of undermining any of the provisions of this Chapter.

Section 4.01.110.

VACATION RENTAL ELIGIBILITY
TABLE
Zoning District Improvements on Property Vacation Rental Eligibility R-L & R-1 Zones 1 Single-Family Unit Eligible
I Single-Family Unit & Detached
Guest House (no kitchen)
Eligible, as one unit
combined. Must rent the
entire property to same party.

No kitchen allowed in Guest
House.
1 Single-Family Unit & ADU** Not eligible
1+ Detached Single-Family Units Only 1 unit is eligible 1+ Attached Single-Family Units Only 1 unit is eligible R-3 Zone 1 Single-Family Unit Eligible
1 Single-Family Unit & Detached
Guest House (no kitchen)
Eligible, as one unit
combined. Must rent the
entire property to same party.

No kitchen allowed in Guest
House.

I Single Family Unit & ADU** Not eligible
I+ Detached Single-Family Units Only 1 unit is eligible 2-4 Attached Single-Family Units
Under Single Ownership
(Apartments)
Only 1 unit is eligible
2-4 Attached Single-Family Units
Under Multiple Ownership
(Condominiums)
All are eligible
>4 Attached Single-Family Units
Under Single Ownership
(Apartments)
None are eligible
>4 Attached Single-Family Units
Under Multiple Ownership
(Condominiums)
All are eligible
Commercial Zones
(including Village
Commercial)
1 Single-Family Unit Village Commercial =
Eligible. Commercial Zones
=Not eligible.

Mixed-use building
1+ Detached Single-Family Units
1+ Attached Single-Family Units
None are eligible.
*Owners of licensed properties as of January 11, 2021 that are not in compliance with the above table can continue to renew license unless it has been revoked or expired more than 30 days. ** No property is eligible for a vacation rental license if the property has an ADU on it, regardless of zone.”
SECTION 2. SEVERABILITY. If any section, subsection, subdivision, sentence, or clause or phrase in this Ordinance or any part thereof is for any reason held to be unconstitutional, invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this Ordinance or any part thereof. The City Council hereby declares that it would have adopted each section irrespective of the fact that any one or more subsections, subdivisions, sentences, clauses, or phrases are declared unconstitutional, invalid, or ineffective.

SECTION 3. EFFECTIVE DATE. This Ordinance shall become effective thirty (30) days from its adoption.

SECTION 4. PUBLICATION. The City Clerk shall certify to the adoption of this Ordinance and cause it, or a summary of it, to be published in a newspaper of general circulation printed and published within the City of Big Bear Lake, pursuant to all legal requirements.

I hereby certify that the foregoing Ordinance was PASSED, APPROVED AND ADOPTED by the City Council of the City of Big Bear Lake on the ______ day of _________, 2022.
______________________________

RICK HERRICK
MAYOR
ATTEST: APPROVED AS TO FORM:
______________________________ ______________________________ ERICA STEPHENSON STEPHEN P. DEITSCH

CITY CLERK CITY ATTORNEY

ATTACHMENT 2

ORDINANCE NO. 2022-____
AN ORDINANCE AMENDING CHAPTER 4.01 OF TITLE 4 OF THE BIG

BEAR LAKE MUNICIPAL CODE RELATING TO VACATION RENTAL

LICENSES, RENTAL CONTRACTS AND OTHER LIMITATIONS AND

REGULATIONS ON VACATION RENTALS
WHEREAS, pursuant to Chapter 4.01 of Title 4 of the Big Bear Lake Municipal Code (B.B.L.M.C. §§4.01.010 through 4.01.110), the City currently licenses owners of certain residential dwelling units within the City to lease all or some of their property as vacation rentals, for a term of 28 or fewer consecutive days, subject to those conditions and regulations as provided in Chapter 4.01; and
WHEREAS, pursuant to authority provided by the California Elections Code, a group of Big Bear Lake residents (the “Proponents”) timely filed a valid petition with the City Clerk signed by at least ten percent (10%) of the City’s registered voters, and thereby qualified a local initiative measure for the ballot which would amend Chapter 4.01 to limit the number of vacation rental licenses and rental contracts in the City and to enact additional limitations and regulations on vacation rentals (the “Measure”); and
WHEREAS, on June 6, 2022, pursuant to California Elections Code Sections 1405 and 9215, the City Council adopted Resolution No. 2022-69 submitting the Measure to the voters at the City’s next General Municipal Election to be held on Tuesday, November 8, 2022; and WHEREAS, as part of discussions with the Proponents as well as with other residents and interested parties in the City, the City Council hereby adopts this Ordinance as an alternative set of regulations for vacation rentals vis-à-vis the Measure; and WHEREAS, it is the intent of this ordinance to provide community members who own second homes in the City with the opportunity to periodically rent their homes on a short-term basis to help offset the cost of ownership while discouraging predominantly commercial vacation rental activity by investment business-based property owners.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BIG BEAR LAKE, CALIFORNIA, DOES ORDAIN AS FOLLOWS:

SECTION 1. AMENDMENT TO MUNICIPAL CODE. Chapter 4.01 of Title 4 of the Big Bear Lake Municipal Code is hereby amended to read as follows:
(Note: strikeout is deleted text and bold underlined is new text) “Title 4 Visitor serving uses and tourism
Chapter 4.01 Vacation Rentals
Section 4.01.010. Purpose
City of Big Bear Lake
Ordinance No. 2022-___