Agenda packet — Calimesa City Council, October 5, 2026 (part 1 of 2)

Regular Meeting of the Calimesa City Council
Meeting Agenda
Monday, October 5, 2026 – 6:00 PM
Norton Younglove Multipurpose Senior Center
908 Park Avenue, Calimesa, CA 92320
The Calimesa City Council will be conducting this meeting in the Norton Younglove Senior Center. Members of the public may attend this meeting in person at the Norton Younglove Senior Center, 908 Park Avenue, Calimesa, CA 92320, or the public may view the City Council meetings live at https://www.youtube.com/@calimesacity900/live beginning at 6:00 p.m.

In accordance with California Senate Bill 707 (SB 707), public comment may be submitted in person or verbally through a real-time remote audio connection. Advance registration is not required to speak. Regardless of the method chosen, please observe a time limit of 3 minutes when giving your presentation, and note that you may not defer your 3 minutes to another speaker. • Option 1: In Person (Norton Younglove Senior Center)
Public comment will be allowed by completing a speaker slip and providing it to the City Clerk at the meeting. When called upon, please step forward to the microphone, state your name for the record, whom you represent, and any statement you wish to make. • Option 2: Remotely via Zoom App (Computer Audio / Smartphone)

1. Click the link to join the live audio stream queue: https://us06web.zoom.us/j/87546661221

2. When the Mayor calls for your desired item and any time before public comment has been closed on your desired item, click the "Raise Hand" button at the bottom of your Zoom screen to register your intent to speak.

3. When called upon, a prompt will appear on your device. Click "Unmute", state your name for the record, and begin your comment. • Option 3: Remotely via Standard Telephone Line (Audio Only)

1. Dial the number: (669) 900-6833

2. When prompted, enter Webinar ID: 875 4666 1221 followed by the # key. Press # again to bypass the participant ID.

3. When the Mayor calls for your desired item and any time before public comment has been closed on your desired item, press *9 on your phone keypad to virtually raise your hand.

4. When called upon, the meeting clerk will read aloud the last 4 digits of your phone number. Press *6 on your keypad to unmute your line, state your name for the record, and begin your comment.

SB 707 Statutory Disruption Policy Notice
Pursuant to SB 707 legal mandates, the City has adopted a technological disruption policy. If the YouTube live video broadcast or the Zoom public comment audio bridge experiences a technical failure that prevents remote viewers from hearing or participating in real-time, the City Council will immediately pause the meeting. No official council action or voting will occur until the technical failure is resolved.

Jeff Cervantez, Mayor  John Manly, Mayor Pro Tem
Eric Cundieff, Council Member  Edgar Garcia, Council Member  Linda Molina, Council Member Will Kolbow, City Manager  Steven Flower, City Attorney In compliance with the Americans with Disabilities Act, if you need special assistance to participate in a City meeting or other services offered by this City, please contact the City Clerk’s Office, (909) 795-9801. Notification of at least 48 hours prior to the meeting or time when services are needed will assist the City staff in assuring that reasonable arrangements can be made to provide accessibility to the meeting or service. Any public writings distributed by the City to at least a majority of the Council Members regarding any item on this regular meeting agenda will be made available at the public counter at City Hall located at 908 Park Avenue, Calimesa, CA 92320.

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Call to Order
Roll Call: Mayor Cervantez, Mayor Pro Tem Manly, Council Member Cundieff, Council Member Garcia and Council Member Molina.

Staff: City Manager Kolbow, City Attorney Flower, City Clerk Gerdes, Finance Director Reid, Community Development Director Lucia, Public Works Director Shakir, City Engineer Thornton, Interim Fire Chief Lindley and Sheriff Captain Esquibel
Pledge of Allegiance
Presentations
Communications From the Public
Pursuant to the Brown Act, this is the opportunity for members of the public to directly address the Council on any item within the Council’s subject matter jurisdiction. Please note that this is also the time in which members of the public may address the Council on any item on the Consent Calendar. Members of the public may provide comment in person at the podium, verbally via the Zoom application queue, or by phone bridge by pressing *9 to raise their hand. The opportunity to register and enter the speaker queue for non-agenda items will remain open in real-time until the public comment period for this item is officially closed by the Mayor.

This is not the time for City Council discussion of non-agenda items. After receiving public comments from both in-person and remote speakers, Council Members, or staff, after being recognized by the Mayor, may briefly respond to statements made by the public or questions posed by the public. In addition, Council Members may ask questions for clarification or make a referral to staff for factual information to be reported back to the Council at a later meeting.

Approval of the Agenda, Consent Calendar and Waiver of Full Reading of Ordinances This is the time for the City Council to notify the public of any changes to the agenda; such as removal of an agenda item, rearrangement of the agenda, postponement of an agenda item or continuance of an item to a future meeting. This is also the time for the City Council to remove items from the Consent Calendar for individual consideration. Waiver of full reading of ordinances does not take policy action or approve or disapprove any ordinances on the agenda, it simply means that the entire text of the ordinance will not be read.

Consent Calendar
The following items on the Consent Calendar are routine and customary items and are enacted by a single motion, with the exception of items previously removed during “Approval of the Agenda” for individual consideration. Any items removed shall be individually considered immediately after taking action on the Consent Calendar.

1. Approval of City Council Meeting Minutes
Recommendation: That the City Council approve the City Council Meeting minutes of the August 17, 2026, Regular Meeting and the September 21, 2026, Regular Meeting.

2. Receive and File City Commission Minutes
Recommendation: There are no minutes ready for approval at this time.

3. Approval of Accounts Payable & Payroll Registers
Recommendation: That the City Council approve the Accounts Payable and Payroll Registers as

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presented.

4. 2nd Readings by Title Only and Adoption of Mesa Verde Project Ordinances No. 424 and 425. Ordinance No. 424 for Development Agreement 25-4 is a Development Agreement by and between the City of Calimesa and Mesa Verde Owners, LLC for the Mesa Verde Specific Plan Project. Ordinance No. 425 is for Specific Plan Amendment 23-01 and Zone Change 23-01, amending the previously approved 2017 Specific Plan for the 1,463.1-acre property to provide for the orderly development of a property through compliance with site-specific development standards that are consistent with the intent and policies of the General Plan.

Recommendation: That the City Council approve 2nd readings, by title only and adopt:

1. Ordinance No. 424 for Development Agreement 25-4, a Development Agreement by and between the City of Calimesa and Mesa Verde Owners, LLC for the Mesa Verde Specific Plan Project.

2. Ordinance No. 425 for Specific Plan Amendment 23-01 and Zone Change 23-01, amending the previously approved 2017 Specific Plan for the 1,463.1-acre property to provide for the orderly development of a property through compliance with site-specific development standards that are consistent with the intent and policies of the General Plan.

5. Agreement for Professional Services – Finance Director and HR/Risk Manager Recruitment Recommendation: That the City Council approve a professional services agreement with HR Dynamics & Performance Management, Inc.in an amount not-to-exceed $40,000 and adopt Resolution No. 2026-65, a Resolution of the City Council of the City of Calimesa, California amending the FY 2026-27 budget to include an adjustment in the Administrative Functions/Human Resources Professional Services Account in the General Fund.

6. Treasurer's Report for the Month Ended July 31, 2026 Recommendation: That the City Council receive and file the Investment Report for the month ended July 31, 2026.

Fire Chief Report
Sheriff Captains Report
Public Hearings
The order of business for the Public Hearing shall be: A. Open Public Hearing B. Staff Presentation C. Applicant/Representative Presentation D. Public Testimony E. Applicant Rebuttal (if necessary) F. Public Testimony Closed G. Close Public Hearing H. Council Discussion I. Council Motion and Vote. Speakers are encouraged to be brief and remain within the established time limit of 3 minutes per speaker. Once the public hearing has been closed, no further testimony will be taken.

7. PUBLIC HEARING: 2nd Reading. by title only, Ordinance No. 426 - An Ordinance Of The City Of Calimesa, California, Making Administrative Revisions To Ordinance Nos. 415 And 416, Amending Chapter 15.05 (Adoption Of The 2025 Edition Of The California Building Code), Chapter 15.15 (Adoption Of The 2025 Edition Of The California Electrical Code), Chapter 15.20 (Adoption Of The 2025 Edition Of The California Plumbing Code), Chapter 15.35 (Adoption Of The 2025 Edition Of The California Residential Code), And Chapter 15.37 (Hud Foundations Guide For Manufactured Housing), Of Title 15 Of The Calimesa Municipal Code, And Approving A CEQA Exemption Determination.

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Recommendation: That the City Council hold the public hearing and adopt 2nd reading, by title only Ordinance No. 426 - An Ordinance of the City of Calimesa, California, making administrative revisions to Ordinance Nos. 415 and 416, amending Chapter 15.05 (Adoption of the 2025 Edition of the California Building Code), Chapter 15.15 (Adoption of the 2025 Edition of the California Electrical Code), Chapter 15.20 (Adoption of the 2025 Edition of the California Plumbing Code), Chapter 15.35 (Adoption of the 2025 Edition of the California Residential Code), and Chapter 15.37 (HUD Foundations Guide for Manufactured Housing), of Title 15 of the Calimesa Municipal Code, and approving a CEQA exemption determination.

8. PUBLIC HEARING: Consideration of Adoption of Four Resolutions of Necessity for the Acquisition by Eminent Domain of Certain Real Property Interests for Public Purposes in Connection with the Calimesa Boulevard Realignment at Singleton Road Project
Recommendation: That City Council take the following actions:

1. Consider the following four Resolutions, which are Resolutions of Necessity of the City of Calimesa Declaring Certain Real Property Interests Necessary for Public Purposes and Authorizing the Acquisition Thereof in Connection with the Calimesa Boulevard Realignment at Singleton Road Project (“Resolutions of Necessity”):
• Resolution No. 2026-61
• Resolution No. 2026-62
• Resolution No. 2026-63
• Resolution No. 2026-64

2. Open and conduct a hearing on the adoption of the proposed Resolutions of Necessity, receive from City Staff the evidence stated and referred to in this Agenda Report (“Report”), take testimony from any person wishing to be heard on issues A, B, C, and D below, and consider all evidence to determine whether to adopt the proposed Resolutions of Necessity.

3. If the City Council finds, based on the evidence contained and referred to in this Report, the testimony, and comments submitted to the City Council, that the evidence warrants the necessary findings with respect to the proposed Resolutions of Necessity, then City Staff recommends that the City Council, in the exercise of its discretion, adopt proposed Resolution of Necessity No. 2026-61, Resolution of Necessity No. 2026-62, Resolution of Necessity No. 2026-63, and Resolution of Necessity No. 2026-64 (each of which requires a 4/5ths vote of the entire City Council) and authorize the City Attorney’s office to file eminent domain proceedings to acquire the real property interests described below, which consist of certain permanent easements for public street, public sidewalk, drainage, and public utility purposes, permanent slope easements, and temporary construction easements on the parcels described below:
9580 Calimesa Boulevard, Calimesa (APN 413-260-056) (Good Shepherd Parcel) • An approximate 8,638 square foot (0.20 acres) permanent easement for public street, public sidewalk, drainage, and public utility purposes, and all uses necessary and convenient thereto on the Good Shepherd Parcel described more particularly on EXHIBIT “A” and depicted on EXHIBIT “B” attached to the Resolution of Necessity for the Good Shepherd Parcel;

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• the right to possess and use a total approximate 2,921 square foot (0.07 acres) temporary construction easement area with a term of eighteen (18) months (“TCE”) on the Good Shepherd Parcel described more particularly on EXHIBIT “C” and depicted on EXHIBIT “D” attached to the Resolution of Necessity for the Good Shepherd Parcel.

The Good Shepherd Parcel is owned by Good Shepherd Ministries International. The approximate 8,638 square foot permanent easement and the approximate 2,921 square foot TCE with a term of eighteen (18) months are referred to below collectively as “Good Shepherd Subject Property Interests.”
9670 Calimesa Boulevard, Calimesa (APNs 413-260-019 and 413-260-020) (Whiting-Gontz-Guerra Parcel)
• an approximate 9,266 square foot (0.21 acres) permanent easement on the portion of the Whiting-Gontz-Guerra Parcel identified as APN 413-260-019 for public street, public sidewalk, drainage, and public utility purposes, and all uses necessary and convenient thereto described more particularly on EXHIBIT “A-1” and depicted on EXHIBIT “B-1” attached to the Resolution of Necessity for the Whiting-Gontz-Guerra Parcel; • an approximate 25,581 square foot (0.59 acres) permanent easement on the portion of the Whiting-Gontz-Guerra Parcel identified as APN 413-260-020 for public street, public sidewalk, drainage, and public utility purposes, and all uses necessary and convenient thereto described more particularly on EXHIBIT “A-2” and depicted on EXHIBIT “B-2” attached to the Resolution of Necessity for the Whiting-Gontz-Guerra Parcel; and • the right to possess and use a total approximate 7,618 square foot TCE area with a term of eighteen (18) months, consisting of: (a) an approximate 2,061 square foot (0.05 acres) TCE with a term of eighteen (18) months on the portion of the Whiting-Gontz-Guerra Parcel identified as APN 413-260-019 described more particularly on EXHIBIT “C-1” and depicted on EXHIBIT “D-1” attached to the Resolution of Necessity for the Whiting-Gontz-Guerra Parcel, which consists of an approximate 962 square foot (0.02 acres) TCE described as Parcel A and an approximate 1,099 square foot (0.03 acres) TCE described as Parcel B; and (b) an approximate 5,557 square foot (0.13 acres) TCE with a term of eighteen (18) months on the portion of the Whiting-Gontz-Guerra Parcel identified as APN 413-260-020 described more particularly on EXHIBIT “C-2” and depicted on EXHIBIT “D-2” attached to the Resolution of Necessity for the Whiting-Gontz-Guerra Parcel, consisting of an approximate 3,032 square foot (0.07 acres) TCE described as Parcel A and an approximate 2,525 square foot (0.06 acres) TCE described as Parcel B.

The Whiting-Gontz-Guerra Parcel is owned by Thomas G. Whiting and Ingrid Guerra, as Trustees of the Whiting-Guerra Trust dated July 7, 2013, as to an undivided one-half interest and Denise R. Whiting and Gregory D. Gontz, as Trustees of the Gontz-Whiting Living Trust dated December 22, 2015, as to an undivided one-half interest. The approximate 9,266 square foot permanent easement on APN 413-260-019, the approximate 25,581 square foot permanent easement on APN 413-260-020, and the approximate 7,618 square foot TCE with a term of eighteen (18) months are referred to below collectively as “Whiting-Gontz-Guerra Subject Property Interests.” Vacant Parcel Located at Northeast Corner of Singleton Road and Calimesa Boulevard in the City of Calimesa (APNs 413-260-002 and 413-260-026) (Phelps-Smith North Parcel)

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• a total approximate 95,185 square foot (2.18 acres) permanent easement area for public street, public sidewalk, drainage, and public utility purposes, and all uses necessary and convenient thereto, consisting of the following:
o an approximate 25,828 square foot (0.59 acres) permanent easement on the portion of the Phelps-Smith North Parcel identified as APN 413-260-002 described more particularly on EXHIBIT “A-1” and depicted on EXHIBIT “B-1” attached to the Resolution of Necessity for the Phelps-Smith North Parcel; and o an approximate 69,357 square foot (1.59 acres) permanent easement on the portion of the Phelps-Smith North Parcel identified as APN 413-260-026 described more particularly on EXHIBIT “A-2” and depicted on EXHIBIT “B-2” attached to the Resolution of Necessity for the Phelps-Smith North Parcel. • a total approximate 46,932 square foot (1.08 acres) permanent slope easement area for public street purposes and all uses necessary or convenient thereto to support the public street improvements the City will construct in the total approximate 95,185 square foot (2.18 acres) permanent easement area, consisting of the following:
o a total approximate 16,936 square foot (0.39 acres) permanent slope easement area on the portion of the Phelps-Smith North Parcel identified as APN 413-260-002 described more particularly on EXHIBIT “C-1” and depicted on EXHIBIT “D-1” attached to the Resolution of Necessity for the Phelps-Smith North Parcel, consisting of an approximate 4,209 square foot area described as Slope Easement Parcel A and an approximate 12,727 square foot area described as Slope Easement Parcel B; and o a total approximate 29,996 square foot (0.69 acres) permanent slope easement area on the portion of the Phelps-Smith North Parcel identified as APN 413-260-026 described more particularly on EXHIBIT “C-2” and depicted on EXHIBIT “D-2” attached to the Resolution of Necessity for the Phelps-Smith North Parcel, consisting of an approximate 16,857 square foot area described as Slope Easement Parcel A, an approximate 5,544 square foot area described as Slope Easement Parcel B, an approximate 3,013 square foot area described as Slope Easement Parcel C, an approximate 1,503 square foot area described as Slope Easement Parcel D, and an approximate 3,079 square foot area described as Slope Easement Parcel E. • the right to possess and use a total approximate 22,382 square foot TCE area (0.52 acres) with a term of eighteen (18) months, consisting of the following temporary construction easements:
o an approximate 6,273 square foot (0.15 acres) TCE with a term of eighteen (18) months on the portion of the Phelps-Smith North Parcel identified as APN 413-260- 002 described more particularly on EXHIBIT “E-1” and depicted on EXHIBIT “F-1” attached to the Resolution of Necessity for the Phelps-Smith North Parcel, consisting of an approximate 787 square foot area described as TCE Parcel A, an approximate 4,194 square foot area described as TCE Parcel B, and an approximate 1,292 square foot area described as TCE Parcel C; and
o an approximate 16,109 square foot (0.37 acres) TCE with a term of eighteen (18) months on the portion of the Phelps-Smith North Parcel identified as APN 413-260- 026 described more particularly on EXHIBIT “E-2” and depicted on EXHIBIT “F-2” attached to the Resolution of Necessity for the Phelps-Smith North Parcel, consisting of an approximate 10,310 square foot area described as TCE Parcel A, and an approximate 5,799 square foot area described as TCE Parcel B.

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The Phelps-Smith North Parcel is owned by Phelps-Smith Investments, LLC, a California limited liability company. The total approximate 95,185 square foot permanent easement area on the Phelps-Smith North Parcel, the total approximate 46,932 square foot permanent slope easement area on the Phelps-Smith North Parcel, and the total approximate 22,382 square foot TCE area with a term of eighteen (18) months on the Phelps-Smith North Parcel are referred to below collectively as “Phelps-Smith North Subject Property Interests.” Vacant Parcel Located at Southeast Corner of Singleton Road and Calimesa Boulevard in the City of Calimesa (APN 413-260-032) (Phelps-Smith South Parcel)
• an approximate 9,083 square foot (0.21 acres) permanent easement for public street, public sidewalk, drainage, and public utility purposes, and all uses necessary and convenient thereto on the Phelps-Smith South Parcel described more particularly on EXHIBIT “A” and depicted on EXHIBIT “B” attached to the Resolution of Necessity for the Phelps-Smith South Parcel; and
• the right to possess and use a total approximate 1,999 square foot (0.05 acres) TCE area with a term of eighteen (18) months, consisting of an approximate 925 square foot (0.02 acres) TCE with a term of eighteen (18) months described as Parcel A and an approximate 1,074 square foot (0.03 acres) TCE with a term of eighteen (18) months on the Phelps-Smith South Parcel described as Parcel B on EXHIBIT “C” and depicted on EXHIBIT “D” to the Resolution of Necessity for the Phelps-Smith South Parcel.

The Phelps-Smith South Parcel is owned by Phelps-Smith Investments, LLC, a California limited liability company. The total approximate 9,083 square foot permanent easement on the PhelpsSmith South Parcel and the total approximate 1,999 square foot TCE area with a term of eighteen (18) months on the Phelps-Smith South Parcel are referred to below collectively as “Phelps-Smith South Subject Property Interests.”
The Good Shepherd Subject Property Interests, Whiting-Gontz-Guerra Subject Property Interests, Phelps-Smith North Subject Property Interests, and Phelps-Smith South Subject Property Interests are referred to below collectively as the “Subject Property Interests” and are described more particularly in the Exhibits to the respective Resolutions of Necessity. The Resolutions of Necessity with their respective Exhibits are attached hereto and incorporated herein by this reference.

4. If the City Council adopts the proposed Resolutions of Necessity, authorize the City Attorney’s Office to file and prosecute eminent domain proceedings for the acquisition of the Subject Property Interests by eminent domain.

5. Authorize the City Manager to execute all necessary documents.

Business Items

9. Permanent Pickleball Court Hours at Mountainview Park Recommendation: That the City Council:

1. Approve permanent operating hours for the pickleball courts at Mountainview Park from 6:00 a.m. to 10:00 p.m. daily; and

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2. Direct staff to program the pickleball court lighting to turn off at 9:30 p.m. daily.

Mayor & Council Member Reporting of County & Regional Meetings/Conferences This is the time for general comments, announcements, reports on meetings attended at public expense as required by AB 1234, requests of staff, and other issues of concern to Council Members may be presented briefly at this time. The Council may not legally take action on any item presented at this time other than to direct staff to investigate a complaint or place an item on a future agenda unless (1) by a majority vote, the Council determines that an emergency situation exists, as defined by Government Code § 54956.5 or (2) by a four-fifths vote, the Council determines that there is a need for immediate action and the need for action arose subsequent to the agenda being posted as required by Government Code § 54954.2(b).

City Manager Comments & Reports
Closed Session Items

10. Closed Session
Recommendation: That the City Council meet in Closed Session and hear the following One Item:

CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION
Initiation of litigation pursuant to Government Code Section 54956.9(d)(4): (One case) Adjournment
Meeting Adjourned to the Regular City Council Meeting on Monday, October 19, 2026

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CITY COUNCIL MEETING
Agenda Report
Agenda Item No. 1.

SUBJECT: Approval of City Council Meeting Minutes
MEETING DATE: October 5, 2026
PREPARED BY: Darlene Gerdes, Deputy City Manager/City Clerk RECOMMENDATION:

That the City Council approve the City Council Meeting minutes of the August 17, 2026, Regular Meeting and the September 21, 2026, Regular Meeting.

ATTACHMENTS:

1. CCM 08-17-2026 Action Minutes Regular Meeting

2. CCM 09-21-2026 Action Minutes Regular Meeting

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City Council Action Minutes of the
Regular Meeting of August 17, 2026

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City Of Calimesa
City Council Minutes of Regular Meeting
August 17, 2026
CALL TO ORDER 6:00 p.m. by Mayor Cervantez
ROLL CALL: MAYOR CERVANTEZ, MAYOR PRO TEM MANLY, COUNCIL MEMBER

CUNDIEFF, COUNCIL MEMBER GARCIA AND COUNCIL MEMBER
MOLINA.

ABSENT: NONE.

STAFF: CITY MANAGER KOLBOW, CITY ATTORNEY FLOWER, DEPUTY CITY

MANAGER/CITY CLERK GERDES, COMMUNITY DEVELOPMENT

DIRECTOR LUCIA, CITY ENGINEER THORNTON, INTERIM FIRE CHIEF LINDLEY AND SHERIFF CAPTAIN ESQUIBEL.

PLEDGE OF ALLEGIANCE
Pledge of Allegiance was led by Howard Reeves.

COMMUNICATIONS FROM THE PUBLIC
Pursuant to the Brown Act, this is the opportunity for members of the public to directly address the Council on any item within the Council’s subject matter jurisdiction. Please note that this is also the time in which members of the public may address the Council on any item on the Consent Calendar. Members of the public may provide comment in person at the podium, verbally via the Zoom application queue, or by phone bridge by pressing *9 to raise their hand. The opportunity to register and enter the speaker queue for non-agenda items will remain open in real-time until the public comment period for this item is officially closed by the Mayor. This is not the time for City Council discussion of non-agenda items. After receiving public comments from both in-person and remote speakers, Council Members, or staff, after being recognized by the Mayor, may briefly respond to statements made by the public or questions posed by the public. In addition, Council Members may ask questions for clarification or make a referral to staff for factual information to be reported back to the Council at a later meeting..

Elizabeth Avila, 950 California Street, Calimesa expressed her concerns stating there is a lack of parking available at the Calimesa Library. She stated that the handicap door is not working and there are not enough IT technicians to assist patrons and not enough internet access.

APPROVAL OF THE AGENDA, CONSENT CALENDAR AND WAIVER OF FULL READING OF ORDINANCES - This is the time for the City Council to notify the public of any changes to the agenda; such as removal of an agenda item, rearrangement of the agenda, postponement of an agenda item or continuance of an item to a future meeting. This is also the time for the City Council to remove items from the Consent Calendar for individual consideration. Waiver of full reading of ordinances does not take policy action or approve or disapprove any ordinances on the agenda, it simply means that the entire text of the ordinance will not be read.

Mayor Cervantez asked if there were any necessary changes to the agenda or any items to be removed from the Consent Calendar for discussion. City Manager Kolbow requested that Item No. 5 be pulled from the Consent Calendar as there were amendments necessary prior to Council approval.

The Agenda, Items 1-4 and 6-11 of the Consent Calendar and waiver of full reading of ordinances was approved by the following action:

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City Council Action Minutes of the
Regular Meeting of August 17, 2026

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MOTION BY COUNCIL MEMBER CUNDIEFF, SECONDED BY COUNCIL MEMBER MOLINA, CARRIED 5-0 TO APPROVE THE AGENDA, ITEMS 1-4 & 6-11 OF THE CONSENT CALENDAR AS PRESENTED AND WAIVE FULL READING OF ORDINANCES.

CONSENT CALENDAR (Items 1 – 11)
The following items on the Consent Calendar are routine and customary items and are enacted by a single motion, with the exception of items previously removed during “Approval of the Agenda” for individual consideration Any items removed shall be individually considered immediately after taking action on the Consent Calendar.

1. APPROVAL OF CITY COUNCIL ACTION MINUTES.

RECOMMENDATION: That the City Council approve the minutes of the August 3, 2026 Regular City Council Meeting.

2. RECEIVE AND FILE CITY COMMISSION & BOARD MINUTES.

RECOMMENDATION: That the City Council approve the action minutes as presented for the Parks, Trails & Community Services Commission regular meeting of June 3, 2026 and Planning Commission action minutes of July 13, 2026.

3. APPROVAL OF WARRANT REGISTERS.

RECOMMENDATION: That the City Council approve the Accounts Payable and Payroll Warrant Registers as presented.

4. COUNCIL TRAVEL, TRAINING AND MEETING/MILEAGE EXPENSES.

RECOMMENDATION: That the City Council That the City Council approve the Council Travel, Training and Meeting/Mileage Expenses Report through July 31, 2026.

6. RESOLUTION 2026-47 AMENDING THE CITYWIDE SALARY SCHEDULE.

RECOMMENDATION: That the City Council adopt Resolution 2026-47, A Resolution of the City Council of the City of Calimesa, California, Amending the Citywide Pay Schedule.

7. REQUEST FOR STREET CLOSURE - MONTHLY MARKET NIGHT.

RECOMMENDATION: That the City Council adopt Resolution No. 2026-49, a Resolution of the City Council of the City of Calimesa, California, authorizing the temporary closure of a portion of Myrtlewood Drive between Calimesa Boulevard and the first driveway approach from 2:00 p.m. to 10:00 p.m. on the last Wednesday of each month for the City’s monthly Market Night.

8. APPROVAL OF FIRST AMENDMENT TO THE PROFESSIONAL SERVICES AGREEMENT WITH PALACIOS LAW OFFICE FOR HEARING OFFICER SERVICES.

RECOMMENDATION: That the City Council authorize the City Manager to execute the first amendment to the Professional Services Agreement with Palacios Law Office to provide Hearing Officer Services under the City’s Mobilehome Rent Stabilization Ordinance and Administrative Rules.

9. APPROVAL THE ESTABLISHMENT OF A FIREFIGHTER TRAINEE/PARAMEDIC

CLASSIFICATION AND REACTIVATE THE DEPUTY FIRE MARSHALL
CLASSIFICATION.

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City Council Action Minutes of the
Regular Meeting of August 17, 2026

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RECOMMENDATION: That the City the City Council:

1. Approve the establishment of the Firefighter Trainee/Paramedic classification within the Calimesa Fire Department to enhance the City’s recruitment capabilities and provide an additional pathway for recruiting and developing qualified paramedics for Firefighter/Paramedic positions.

2. Approve the reactivation of the Deputy Fire Marshal classification within the Calimesa Fire Department.

3. Approve the associated job descriptions and salary ranges for both classifications.

4. Authorize the City Manager to make any necessary administrative and budget adjustments to implement the classifications, including amendments to the City’s authorized position allocation and salary schedule.

10. SURPLUS OF 2008 CHEVROLET SUBURBAN 2500 – COMMAND VEHICLE –

TRANSFER POSSESSION TO THE NEWBERRY SPRINGS COMMUNITY SERVICES DISTRICT – VOLUNTEER FIRE DEPARTMENT.

RECOMMENDATION: That the City Council adopt Resolution No. 2026-50, a Resolution of the City Council of the City of Calimesa, California authorizing the City Manager and or his/her designee to release possession of a surplus Command Vehicle and transfer the same to the Newberry Springs Community Services District – Volunteer Fire Department

11. ANNEXATION PROJECT AGREEMENT WITH I-10 LOGISTICS OWNER, LLC.

RECOMMENDATION: That the City Council approve the Annexation Project Agreement between the City of Calimesa and I10 Logistics Owner, LLC and authorize the Mayor to execute the Agreement on behalf of the City.

CONSENT CALENDAR ITEMS REMOVED FOR DISCUSSION

5. I-10/CHERRY VALLEY BOULEVARD INTERCHANGE MNS ENGINEERS BUDGET AND SCHEDULE AMENDMENT.

RECOMMENDATION: That the City Council approve a contract amount increase with MNS Engineers, Inc. from $3,651,159 to $4,541,454 and extend the contract term to June 30, 2027 for Plans, Specifications and Estimates (PS&E) preparation.

City Manager Kolbow stated that a correction was necessary, as staff inadvertently left out the actual contract amendment itself and we need to modify our recommended action.

City Attorney Flower stated that the revised recommendation would be to authorize and direct the City Manager to execute an amendment to the city's contract with MNS Engineers to amend the scope of services as requested by staff and as shown in the staff report to extend the term to June 30, 2027 and to increase the total contract amount by approximately $890,295 to a total of $4,541,454,000 to account for the amended scope of services.

MOTION BY MAYOR PRO TEM MANLY, SECONDED BY COUNCIL MEMBER MOLINA, CARRIED 5-0 TO APPROVE AUTHORIZE THE CITY MANAGER TO EXECUTE AN

AMENDMENT TO THE CITY'S CONTRACT WITH MNS ENGINEERS TO AMEND THE SCOPE OF SERVICES TO EXTEND THE TERM TO JUNE 30, 2027 AND TO INCREASE THE TOTAL CONTRACT AMOUNT BY APPROXIMATELY $890,295 TO A TOTAL OF $4,541,454,000 TO ACCOUNT FOR THE AMENDED SCOPE OF SERVICES.

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CHAMBER OF COMMERCE REPORT
Chamber Vice-President Tony Philips provided a report as follows: Chamber memberships can now be paid online at the Chamber’s website. There were 7 new memberships and 1renewal. He announced a successful Chamber Breakfast held on August 11, 2026 with Mickey Valdivia of the Beaumont Recreation and Park District as the guest speaker. He announced the September 8th breakfast meeting with Michelle Riggs from Crafton Hills College as the guest speaker. He announced the State of the City event coming up on September 17, 2026 at Plantation on the Lake.

He stated that the Chamber places a quarterly ad in the Newsmirror and spotlights local businesses and Chamber events. He further stated that the Chamber Events Committee are focusing on generating revenue for the Chamber with new events such as a color run and night at the races and by participating in the City’s events such as the Trunk or Treat and Christmas Parade.

BUSINESS ITEMS

12. PRESENTATION OF CALIMESA COMMUNITY GRANT IMPACTS FROM GRANT RECIPIENT ORGANIZATIONS.

RECOMMENDATION: That the City Council receive presentation of the community grant impacts from grant recipient organizations.

City Manager Kolbow presented the agenda report. Howard Reeves representing the Calimesa Youth Baseball and Softball League thanked Council for the generous grant of $5,000 to the league and introduced the PONY 14 and under softball team as the 2026 West Zone Softball team Champions.

Rachel Gustuson and George Sardeson of the Yucaipa/Calimesa Veterans Committee thanked the City Council for their grant of $1,000 for the Memorial Day Veteran’s Ceremony held at Desert Lawn Memorial Park and provided an expense report for the monies received.

City Council received the reports with no further action.

13. RESOLUTION PROVIDING FOR APPOINTMENTS TO THE OFFICE OF CITY COUNCIL MEMBER THAT WERE TO BE ELECTED ON TUESDAY, NOVEMBER 3, 2026 AND CANCELLING THAT ELECTION.

RECOMMENDATION: That the City Council adopt Resolution No. 2026-48, a Resolution of the City Council of the City of Calimesa, California, providing for the appointments to the office of City Council Member that were to be elected on Tuesday, November 3, 2026 and cancelling that election.

Deputy City Manager/City Clerk presented the agenda report.

After Council discussion the following action was taken:

MOTION BY COUNCIL MEMBER MOLINA, SECONDED BY COUNCIL MEMBER GARCIA, CARRIED 5-0 TO ADOPT RESOLUTION NO. 2026-48, A RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF CALIMESA, CALIFORNIA, PROVIDING FOR THE

APPOINTMENTS TO THE OFFICE OF CITY COUNCIL MEMBER THAT WERE TO BE ELECTED ON TUESDAY, NOVEMBER 3 2026 AND CANCELLING THAT ELECTION.

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14. APPOINTMENT OF THE LEAGUE OF CALIFORNIA CITIES VOTING DELEGATE REPRESENTING CALIMESA AT THE ANNUAL LEAGUE CONFERENCE.

RECOMMENDATION: That the City Council select a primary voting delegate and an alternate voting delegate who will vote on League issues representing the City of Calimesa at the Annual League of California Cities Conference to be held September 23rd – 25th, 2026 at the Anaheim Convention Center.

Deputy City Manager/City Clerk Gerdes presented the agenda report.

After Council discussion the following action was taken:

MOTION BY MAYOR PRO TEM MANLY, SECONDED BY COUNCIL MEMBER GARCIA CARRIED 5-0 TO APPOINT MAYOR CERVANTEZ AS THE PRIMARY VOTING DELEGATE

AND COUNCILMEMBER CUNDIEFF AS THE ALTERNATE VOTING DELEGATE FOR THE LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE HELD SEPTEMBER 23RD – 25TH, 2006.

15. CONSIDERATION OF REJOINING THE YUCAIPA SUSTAINABLE GROUNDWATER MANAGEMENT AGENCY.

RECOMMENDATION: That the City Council receive this report, discuss the potential benefits, costs, and limitations associated with rejoining the Yucaipa Sustainable Groundwater Management Agency, and provide direction to staff.

City Manager Kolbow presented the agenda report.

Dave Armstrong, South Mesa Water Company spoke in favor of the City joining the Yucaipa Sustainable Groundwater Management Agency, stating that it is important for the City to be a part and is crucial to have the city’s participation.

After discussion there was Council consensus not to rejoin the Yucaipa Sustainable Groundwater Management Agency at this time.

16. REVIEW OF THE CURRENT CITY COMMISSIONS AND POSSIBLE FUTURE AMENDMENTS TO THE CALIMESA MUNICIPAL CODE.

RECOMMENDATION: That the City Council provide direction to staff, regarding any potential adjustments to City Commissions.

Deputy City Manager/City Clerk Gerdes presented the agenda report.

Elizabeth Avila, 950 California Street, Calimesa spoke regarding the Library Commission and questioned their role and what they do. She stated that the Library has not received any new books or CD’s or offer any school programs and questioned the role of the Friends of the Library.

Deputy City Manager/City Clerk Gerdes explained that the Library Commission oversees funds that are available to the Library for use in purchasing books, CD’s etc., adding that

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the books and CD’s are circulated throughout the library system and may be obtain from other libraries when requested. She further explained that the Friends of the Library dissolved many years ago and that Riverside County Library System would no longer allow used books to be stored in the new library.

After discussion there was Council consensus of the merging of the Library Commission and Parks, Trails & Community Services Commissions and to direct staff to bring the code amendments to a future meeting for final consideration.

MAYOR & COUNCIL MEMBER REPORTING OF COUNTY & REGIONAL

MEETINGS/CONFERENCES
This is the time for general comments, announcements, reports on meetings attended at public expense as required by AB 1234, requests of staff, and other issues of concern to Council Members may be presented briefly at this time. The Council may not legally take action on any item presented at this time other than to direct staff to investigate a complaint or place an item on a future agenda unless (1) by a majority vote, the Council determines that an emergency situation exists, as defined by Government Code § 54956.5 or (2) by a four-fifths vote, the Council determines that there is a need for immediate action and the need for action arose subsequent to the agenda being posted as required by Government Code § 54954.2(b).

Council Member Garcia stated that he did not have anything to report as he did not attend any meetings. He stated that he may be able to attend the League Annual Conference and will let staff know as soon as possible.

Council Member Molina reported that she attended a Riverside Division Cal Cities meeting on August 10, 2026 in Wildomar and an RCTC meeting on August 12, 2026. She stated that she would provide meeting summaries to the Council at a later date. She further reported that she would be attending an RTA meeting on August 27, 2026. She congratulated Mayor Cervantez and Mayor Pro Tem Manly on their serving the city 4 more years as members of the City Council.

Council Member Cundieff reported that he attended a WRCOG Admin and Finance Committee meeting and would provide a written summary to the Council at a later date. He further reported that he attended a WRCOG meeting where they spoke about the PACE program.

Mayor Pro Tem Manly thanked Sheriff Captain Esquibel and the department for their work with the “Quality of Life Sweep” held on August 5, 2026, adding it was a successful project.

Mayor Cervantez reported stated that he did not have anything to report as he did not attend any meetings but thanked the community for attending the meeting.

CITY MANAGER COMMENTS & REPORTS
City Manager Kolbow provided an update on the Cherry Valley Interchange Project, stating that it will cost about $80 Million to complete, adding that $40 million has been requested by Congressman Calvert and particulars are still being worked out on getting the monies. Staff continues to apply for grants to assist with this project.

RECESS TO CLOSED SESSION
City Attorney Flower announced the Closed Session Items and Mayor Cervantez recessed the meeting to Closed Session at 7:26 p.m.

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CLOSED SESSION ITEMS
A. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Significant exposure to litigation pursuant Gov. Code § 54956.9(d)(2): One case.

B. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION Pursuant to Paragraph (1) of Subdivision (d) of Government Code Section 54956.9 Name of Case: City of Calimesa v. Everest Reinsurance Company – United States District Court - Central District of California, Case No. EDCV 24-828-KK-SHKX.

CLOSED SESSION ANNOUNCEMENT
A. No reportable action
B. Council Member Garcia recused himself from Item No. B and left the Closed Session. There was no reportable action

ADJOURNMENT
Meeting adjourned at 8:16 p.m. to the Regular City Council Meeting on Monday, September 21, 2026, at 6:00 p.m.

Respectfully Submitted,
Darlene Gerdes, City Clerk

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City Of Calimesa
City Council Minutes of Regular Meeting
September 21, 2026
CALL TO ORDER 6:00 p.m. by Mayor Cervantez
ROLL CALL: MAYOR CERVANTEZ, MAYOR PRO TEM MANLY, COUNCIL MEMBER

CUNDIEFF, COUNCIL MEMBER GARCIA AND COUNCIL MEMBER
MOLINA.

ABSENT: NONE.

STAFF: CITY MANAGER KOLBOW, CITY ATTORNEY FLOWER, DEPUTY CITY

MANAGER/CITY CLERK GERDES, FINANCE DIRECTOR REID,

COMMUNITY DEVELOPMENT DIRECTOR LUCIA, CITY ENGINEER

THORNTON, INTERIM FIRE CHIEF LINDLEY AND SHERIFF CAPTAIN ESQUIBEL.

PLEDGE OF ALLEGIANCE
Pledge of Allegiance was led by Mayor Pro Tem Manly.

Tony Philips, Lions Club representative, thanked Fire Chief Lindley for speaking at the Lions Club Breakfast meeting and further spoke regarding the Flag Program that the Lions Club hosts when placing flags along Calimesa Blvd. for the various holidays and the need to purchase more flags to place. He further spoke regarding the Veteran’s Memorial that the Lions Club is working on and expressed his desire to get moving on the Veteran’s Memorial Project with the City.

Elizabeth Avila, 950 California Street, Calimesa stated that she spoke with the Riverside County 5th District Supervisor’s office regarding the parking issue and the non-working handicap door at the Calimesa Library and further expressed her concerns of a lack of parking available at the Calimesa Library. She announced that the Yucaipa Library was closed currently for building improvements and those patrons would come to Calimesa, causing an additional need for more parking.

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Mayor Cervantez asked if there were any necessary changes to the agenda or any items to be removed from the Consent Calendar for discussion. There were no changes to the agenda and no items were pulled. The Agenda, Consent Calendar and waiver of full reading of ordinances was approved by the following action:

MOTION BY COUNCIL MEMBER CUNDIEFF, SECONDED BY COUNCIL MEMBER MOLINA, CARRIED 5-0 TO APPROVE THE AGENDA AND CONSENT CALENDAR AS PRESENTED AND WAIVE FULL READING OF ORDINANCES.

1. APPROVAL OF CITY COUNCIL ACTION MINUTES.

RECOMMENDATION: There are no minutes ready for approval at this time.

2. RECEIVE AND FILE CITY COMMISSION & BOARD MINUTES.

RECOMMENDATION: There are no minutes ready for approval at this time.

3. APPROVAL OF WARRANT REGISTERS.

RECOMMENDATION: That the City Council approve the Accounts Payable and Payroll Warrant Registers as presented.

4. COUNCIL TRAVEL, TRAINING AND MEETING/MILEAGE EXPENSES.

RECOMMENDATION: That the City Council That the City Council approve the Council Travel, Training and Meeting/Mileage Expenses Report through August 30, 2026.

5. TREASURER'S REPORT FOR THE MONTH ENDED JUNE 30, 2026.

RECOMMENDATION: That the City Council receive and file the Investment Report for the month ended June 30, 2026.

6. 2025 GENERAL PLAN ANNUAL PROGRESS REPORT - 2025 HOUSING ELEMENT PROGRESS REPORT.

RECOMMENDATION: That the City Council receive and file the attached General Plan Annual Progress Report and Housing Element Annual Progress Report.

7. REQUEST FOR PARTNERSHIP – CHAMBER OF COMMERCE FOR CALIMESA CHRISTMAS PARADE.

RECOMMENDATION: That the City Council approve the Calimesa Chamber of Commerce request for partnership with the city for the 2026 Calimesa Christmas Parade. Including the waiver of applicable city fees and authorization of temporary road closures associated with the parade route.

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8. STATEMENT OF INVESTMENT POLICY.

RECOMMENDATION: That the City the City Council adopt Resolution No. 2026-58 a Resolution of the City Council of the City of Calimesa, California adopting a Statement of Investment Policy effective September 21, 2026.

9. BANK OF AMERICA CORPORATE CARD CALIFORNIA PUBLIC SECTOR GROUP PROGRAM INCREASE OF MONTHLY CREDIT CARD LIMIT FROM $50,000 TO $75,000.

RECOMMENDATION: That the City Council approve an increase to the Bank of America Credit card limit from $50,000 to $75,000.

10. BIENNIAL REVIEW AND UPDATE OF THE CITY’S CONFLICT-OF-INTEREST CODE.

RECOMMENDATION: That the City Council adopt Resolution No. 2026-51 A Resolution of the City Council of the City of Calimesa, California, adopting an amended Conflict-of-Interest Code for the City and rescinding Resolution No. 2024-54.

11. APPROVAL OF NEW JOB DESCRIPTION.

RECOMMENDATION: That the City Council adopt Resolution No. 2026-59 A Resolution of the City Council of the City of Calimesa, California adopting a new job description for Human Resources/Risk Manager.

CHAMBER OF COMMERCE REPORT
Chamber Vice-President Tony Philips provided a report as follows: State of the City was a successful event and an excellent evening with 171 tickets sold and 28 sponsors, silent auction, no host bar and great to have the Boy Scout Troop Color guard. He thanked City staff for their work and collaboration with the Chamber. He reported 5 new members and 5 renewals using their online membership option. He stated that the September 8th Chamber breakfast was a success with Michelle Riggs from Crafton Hills College as the guest speaker. He stated that the Chamber would be attending the City’s annual Trunk or Treat event and are working on the Calimesa Parade Event for this year. He announced a Chamber Mixer that would be held on October 6, 2026 at the Lutheran Braile Workers on California Street in Yucaipa and an additional mixer tentatively scheduled for November 4, 2026 with a venue to be determined.

PUBLIC HEARING ITEMS

12. PUBLIC HEARING – MESA VERDE SPECIFIC PLAN AREA 2 AMENDMENT 2 PROJECT - A REQUEST BY MESA VERDE OWNERS, LLC FOR APPROVAL OF ENVIRONMENTAL ASSESSMENT 25-3 (EA 25-3), ENVIRONMENTAL ASSESSMENT 25-4 (EA 25-4), ORDINANCE NO. 424 FOR DEVELOPMENT AGREEMENT 26-20 (DA 25-4), GENERAL PLAN AMENDMENT 23-1 (GPA 23-1), ORDINANCE NO. 425 FOR SPECIFIC PLAN AMENDMENT 23-1 (SPA 23-1), ZONE CHANGE 23-1 (ZC 23-1), TENTATIVE TRACT MAP 33931 REVISION 2 (TTM33931), TENTATIVE TRACT MAP 39086 THROUGH 39091 (TTM 39086 THROUGH 39091), DEVELOPMENT PLAN REVIEW 24-6 THROUGH 24-11 (DPR 24-6 THROUGH DPR 24-11), CONDITIONAL USE PERMIT 24-5 THROUGH 24-10 (CUP 24-5 THROUGH CUP 24-10), AND THE MESA VERDE BUSINESS PARK MASTER SIGN PROGRAM.

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RECOMMENDATION: That the City Council:

1. Adopt CC Resolution 2026-53 - Approving Environmental Assessment 23-02, certifying a Subsequent Environmental Impact Report and Mitigation Monitoring and Reporting Program for the Mesa Verde Specific Plan Project (SCH# 2004071045), and Environmental Assessment 25-3, approving a Consistency Checklist for the Mesa Verde implementing projects.

2. Conduct first reading of Ordinance No. 424 by title only - Development Agreement 25-4, a Development Agreement by and between the City of Calimesa and Mesa Verde Owners, LLC for the Mesa Verde Specific Plan Project.

3. Adopt CC Resolution 2026-54 - Approving the second revision to Tentative Tract Map 33931, the subdivision of 1,463.1 acres into 114 lots consistent with the boundaries of the Mesa Verde Specific Plan Area 2, Amendment 2 including public streets and easements for utilities and ingress/egress.

4. Adopt CC Resolution 2026-55 - Approving General Plan Amendment 23-1, modifying the General Plan to: (1) change Figure LU-1, Land Use Map, to reflect the new land use designation changes; (2) change Figure TM-1, Circulation Map, to reflect the new roadway configuration and categorization changes; (3) change Figure OSPR-1, Existing Public Parks and Open Space Areas, to reflect the new public parks; (4) change Figure OSPR-2, Trails Master Plan, to reflect the new trails system; (5) change Figure SAF-1, Fault Zones, to indicate that the fault depicted within the Mesa Verde Specific Plan area has been determined to be inactive pursuant to geotechnical studies performed on-site, (6) change Figure SAF-7, Evacuation Routes, to show evacuation routes from the Mesa Verde Specific Plan area along County Line Road, Sandalwood Drive and Roberts Road and (7) update references to the “Mesa Verde Estates” Specific Plan to reflect “Mesa Verde” (the Specific Plan Amendment).

5. Conduct first reading of Ordinance No. 425 by title only for Specific Plan Amendment 23- 01 and Zone Change 23-01, amending the previously approved 2017 Specific Plan for the 1,463.1-acre property to provide for the orderly development of a property through compliance with site-specific development standards that are consistent with the intent and policies of the General Plan.

6. Adopt CC Resolution 2026-56 - Approving Tentative Tract Map 39086, subdividing approximately 17.1 acres into 112 single-family residential lots with a density of 6.5 dus/ac within Planning Area 13; Tentative Tract Map 39087, subdividing approximately 19.5 acres into 76 single-family residential lots with a density of 3.9 dus/ac within Planning Area 14; Tentative Tract Map 39088, approximately 16.6 acres into 84 single-family residential lots with a density of 5.0 dus/ac within Planning Area 15; Tentative Tract Map 39089, approximately

15.9 acres into 84 single-family residential lots with a density of 5.3 dus/ac within Planning Area 16; Tentative Tract Map 39090, approximately 10.7 acres into 60 single-family residential lots with a density of 5.6 dus/ac within Planning Area 18; Tentative Tract Map 39091, approximately 21.4 acres into 133 single-family residential lots with a density of 6.2 dus/ac within Planning Area 19.

7. Adopt CC Resolution 2026-57 - Approving Development Plan Review 24-06 and Conditional Use Permit 24-05, for proposed industrial development consisting of an approximately 717,230 square foot warehouse facility building; Development Plan Review 24-07 and Conditional Use Permit 24-06, for proposed industrial development consisting of an approximately 702,120 square foot warehouse facility building; Development Plan Review 24- 08 and Conditional Use Permit 24-07, for proposed industrial development consisting of an approximately 700,150 square foot warehouse facility building; Development Plan Review 24- 09 and Conditional Use Permit 24-08, for proposed industrial development consisting of an

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approximately 717,600 square foot warehouse facility building; Development Plan Review 24- 10 and Conditional Use Permit 24-09, for proposed industrial development consisting of an approximately 614,300 square foot warehouse facility building; Development Plan Review 24- 11 and Conditional Use Permit 24-10, for proposed industrial development consisting of an approximately 654,400 square foot warehouse facility building; and the Mesa Verde Business Park Master Sign Program for Planning Areas 2 and 4 through 8, as an component of Development Plan Review Nos. 24-06 through 24-11.

City Attorney Flower suggested that the Mayor and Council publicly state whether they met or had any meetings or correspondence with the project developer at any time prior to this hearing.

Council Member Molina stated that she received a presentation regarding the project from Chloe Perez and David Graves as a Zoom meeting and stated that she did not ask any questions regarding the project, that she just listened to their presentation.

Council Member Cundieff stated that he was approached by Chloe Perez regarding the project and was asked if he had any questions or concerns. He further stated that he did not ask any questions or express any concerns with the developer.

Council Member Garcia stated that he did not meet or speak with the developer or any other team member for the project.

Mayor Pro Tem Manly stated that he did not meet or speak with the developer or any other team member for the project.

Mayor Cervantez stated that he did not have any personal meetings with the developer. He reported that as a member of the Mesa Verde Project Ad-hoc Committee he met with staff and the project manager as necessary during the planning period of the project.

Mayor Cervantez opened the public hearing at 6:24 p.m.

City Manager Kolbow introduced the item, and Community Development Director Lucia and City Manager Kolbow presented the agenda report through a Power Point presentation providing historical information regarding the project area that dated back to 1985. The presentation addressed the Environmental Impact Report, General Plan Amendment for land use, Specific Plan Amendments/Zone Change, proposed improvements to County Line Road, Wildfire Mitigation Measures and Requirements, future emergency roadways, residential tract maps, business park areas, public parks, private parks, trails, the Development Agreement between the developer and the City of Calimesa and the Fiscal Impacts.

Bill Shopoff, Project Developer spoke in support of the project and provided a PowerPoint presentation of the project outlining the project elements that include residential, schools, a business park, parks and trails and commercial/retail. He answered questions of the Council as well.

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Public Comment:

Those who spoke in favor of the project:

David Moore, Union Member
Amy Smith, CARE CA
Johnny Escobedo, Union Member
Ronnie Barrera, Union Member
Louie Lopez, Union Member
Larry Bustos, Union Member
Those who spoke in opposition to the project:

Travis Feenstra, 880 W. Countyline Road
CW Hoefer, 870 W. Countyline Road
Jennifer Gysbers, 780 W. Countyline Road
Saralyn Tossetti, 780 W. Countyline Road
Suzee Wills, 801 W. Countyline Road
Nick Meelker, 806 W. Countyline Road
Elizabeth Avila, 950 California Street, Space No. 4
Justin Smermer – Online Caller – Countyline Road Resident Norma Green - Online Caller – Countyline Road Resident
An email was received by the City Clerk on September 18, 2026 that included a letter and comments from Golden State Environmental Justice Alliance. Copies were provided to the City Council at the meeting and have been included in the record for the Mesa Verde Project.

Bill Shopoff and the project development team addressed concerns of the residents regarding traffic and right-of-way on Countyline Road as well as Fire Protection Plans.

Mayor Cervantez recessed the meeting at 8:46 p.m. for a comfort break Mayor Cervantez reconvened the meeting at 8:52 p.m.

Council discussion resulted in the following comments, concerns and suggestions:
o Options for a Community Center.
o Medical/Health Care Facilities.
o Community Benefit Contribution in PA3 from $3 per square foot to $5 per square foot. o Concerns of Truck traffic on Countyline Road.
o How Countyline Road residents will be impacted and how to mitigate the impacts. o Adjustments to the Right-of-way on Countyline Road.
o Appreciation to residents for attending voicing their concerns. o Open space addressed well in project.
o Project brings benefits to the Community.
o Positives and negatives to the Business Park.
o Increase in overall traffic and emergency access.
o Development Agreement includes substantial obligations to benefit the City.

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After Council discussion the following action was taken:

MOTION BY COUNCIL MEMBER CUNDIEFF, SECONDED BY COUNCIL MEMBER MOLINA, CARRIED 4-1(MAYOR PRO TEM MANLY VOTED NO) TO ADOPT RESOLUTION 2026-53 - APPROVING ENVIRONMENTAL ASSESSMENT 23-02, CERTIFYING A SUBSEQUENT

ENVIRONMENTAL IMPACT REPORT AND MITIGATION MONITORING AND REPORTING PROGRAM FOR THE MESA VERDE SPECIFIC PLAN PROJECT (SCH# 2004071045), AND ENVIRONMENTAL ASSESSMENT 25-3, APPROVING A CONSISTENCY CHECKLIST FOR

THE MESA VERDE IMPLEMENTING PROJECTS, AND
ADOPT RESOLUTION 2026-54 - APPROVING THE SECOND REVISION TO TENTATIVE TRACT MAP 33931, THE SUBDIVISION OF 1,463.1 ACRES INTO 114 LOTS CONSISTENT WITH THE BOUNDARIES OF THE MESA VERDE SPECIFIC PLAN AREA 2, AMENDMENT 2

INCLUDING PUBLIC STREETS AND EASEMENTS FOR UTILITIES AND INGRESS/EGRESS, AND
ADOPT RESOLUTION 2026-55 - APPROVING GENERAL PLAN AMENDMENT 23-1, MODIFYING THE GENERAL PLAN TO: (1) CHANGE FIGURE LU-1, LAND USE MAP, TO REFLECT THE NEW LAND USE DESIGNATION CHANGES; (2) CHANGE FIGURE TM-1,

CIRCULATION MAP, TO REFLECT THE NEW ROADWAY CONFIGURATION AND CATEGORIZATION CHANGES; (3) CHANGE FIGURE OSPR-1, EXISTING PUBLIC PARKS AND OPEN SPACE AREAS, TO REFLECT THE NEW PUBLIC PARKS; (4) CHANGE FIGURE OSPR-2, TRAILS MASTER PLAN, TO REFLECT THE NEW TRAILS SYSTEM; (5) CHANGE FIGURE SAF-1, FAULT ZONES, TO INDICATE THAT THE FAULT DEPICTED WITHIN THE

MESA VERDE SPECIFIC PLAN AREA HAS BEEN DETERMINED TO BE INACTIVE PURSUANT TO GEOTECHNICAL STUDIES PERFORMED ON-SITE, (6) CHANGE FIGURE SAF-7, EVACUATION ROUTES, TO SHOW EVACUATION ROUTES FROM THE MESA VERDE

SPECIFIC PLAN AREA ALONG COUNTY LINE ROAD, SANDALWOOD DRIVE AND ROBERTS ROAD AND (7) UPDATE REFERENCES TO THE “MESA VERDE ESTATES” SPECIFIC PLAN TO REFLECT “MESA VERDE” (THE SPECIFIC PLAN AMENDMENT), AND ADOPT RESOLUTION 2026-56 - APPROVING TENTATIVE TRACT MAP 39086, SUBDIVIDING APPROXIMATELY 17.1 ACRES INTO 112 SINGLE-FAMILY RESIDENTIAL LOTS WITH A DENSITY OF 6.5 DUS/AC WITHIN PLANNING AREA 13; TENTATIVE TRACT MAP 39087, SUBDIVIDING APPROXIMATELY 19.5 ACRES INTO 76 SINGLE-FAMILY RESIDENTIAL LOTS WITH A DENSITY OF 3.9 DUS/AC WITHIN PLANNING AREA 14; TENTATIVE TRACT MAP 39088, APPROXIMATELY 16.6 ACRES INTO 84 SINGLE-FAMILY RESIDENTIAL LOTS WITH A DENSITY OF 5.0 DUS/AC WITHIN PLANNING AREA 15; TENTATIVE TRACT MAP 39089, APPROXIMATELY 15.9 ACRES INTO 84 SINGLE-FAMILY RESIDENTIAL LOTS WITH A DENSITY OF 5.3 DUS/AC WITHIN PLANNING AREA 16; TENTATIVE TRACT MAP 39090, APPROXIMATELY 10.7 ACRES INTO 60 SINGLE-FAMILY RESIDENTIAL LOTS WITH A DENSITY OF 5.6 DUS/AC WITHIN PLANNING AREA 18; TENTATIVE TRACT MAP 39091, APPROXIMATELY 21.4 ACRES INTO 133 SINGLE-FAMILY RESIDENTIAL LOTS WITH A DENSITY OF 6.2 DUS/AC WITHIN PLANNING AREA 19, AND
ADOPT RESOLUTION 2026-57 - APPROVING DEVELOPMENT PLAN REVIEW 24-06 AND CONDITIONAL USE PERMIT 24-05, FOR PROPOSED INDUSTRIAL DEVELOPMENT CONSISTING OF AN APPROXIMATELY 717,230 SQUARE FOOT WAREHOUSE FACILITY

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BUILDING; DEVELOPMENT PLAN REVIEW 24-07 AND CONDITIONAL USE PERMIT 24-06,

FOR PROPOSED INDUSTRIAL DEVELOPMENT CONSISTING OF AN APPROXIMATELY 702,120 SQUARE FOOT WAREHOUSE FACILITY BUILDING; DEVELOPMENT PLAN REVIEW 24-08 AND CONDITIONAL USE PERMIT 24-07, FOR PROPOSED INDUSTRIAL DEVELOPMENT CONSISTING OF AN APPROXIMATELY 700,150 SQUARE FOOT WAREHOUSE FACILITY BUILDING; DEVELOPMENT PLAN REVIEW 24-09 AND CONDITIONAL USE PERMIT 24-08, FOR PROPOSED INDUSTRIAL DEVELOPMENT CONSISTING OF AN APPROXIMATELY 717,600 SQUARE FOOT WAREHOUSE FACILITY BUILDING; DEVELOPMENT PLAN REVIEW 24-10 AND CONDITIONAL USE PERMIT 24-09,

FOR PROPOSED INDUSTRIAL DEVELOPMENT CONSISTING OF AN APPROXIMATELY 614,300 SQUARE FOOT WAREHOUSE FACILITY BUILDING; DEVELOPMENT PLAN REVIEW 24-11 AND CONDITIONAL USE PERMIT 24-10, FOR PROPOSED INDUSTRIAL DEVELOPMENT CONSISTING OF AN APPROXIMATELY 654,400 SQUARE FOOT WAREHOUSE FACILITY BUILDING; AND THE MESA VERDE BUSINESS PARK MASTER SIGN PROGRAM FOR PLANNING AREAS 2 AND 4 THROUGH 8, AS AN COMPONENT OF DEVELOPMENT PLAN REVIEW NOS. 24-06 THROUGH 24-11, AND
CONDUCT FIRST READING OF ORDINANCE NO. 424 BY TITLE ONLY - DEVELOPMENT AGREEMENT 25-4, A DEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF

CALIMESA AND MESA VERDE OWNERS, LLC FOR THE MESA VERDE SPECIFIC PLAN PROJECT AND APPROVE THE CHANGE FROM $3 PER SQUARE FOOT TO $5 PER SQUARE FOOT IN THE COMMUNITY BENEFIT CONTRIBUTION FOR PA3, AND CONDUCT FIRST READING OF ORDINANCE NO. 425 BY TITLE ONLY FOR SPECIFIC PLAN AMENDMENT 23-01 AND ZONE CHANGE 23-01, AMENDING THE PREVIOUSLY APPROVED 2017 SPECIFIC PLAN FOR THE 1,463.1-ACRE PROPERTY TO PROVIDE FOR THE ORDERLY

DEVELOPMENT OF A PROPERTY THROUGH COMPLIANCE WITH SITE-SPECIFIC

DEVELOPMENT STANDARDS THAT ARE CONSISTENT WITH THE INTENT AND POLICIES OF THE GENERAL PLAN.

BUSINESS ITEMS

13. ORDINANCE NO. 426 — AN ORDINANCE OF THE CITY OF CALIMESA, CALIFORNIA, MAKING ADMINISTRATIVE REVISIONS TO ORDINANCE NOS. 415 AND 416, AMENDING CHAPTER 15.05 (ADOPTION OF THE 2025 EDITION OF THE CALIFORNIA BUILDING CODE), CHAPTER 15.15 (ADOPTION OF THE 2025 EDITION OF THE CALIFORNIA ELECTRICAL CODE), CHAPTER 15.20 (ADOPTION OF THE 2025 EDITION OF THE CALIFORNIA PLUMBING CODE), CHAPTER 15.35 (ADOPTION OF THE 2025 EDITION OF THE CALIFORNIA RESIDENTIAL CODE), AND CHAPTER 15.37 (HUD FOUNDATIONS GUIDE FOR MANUFACTURED HOUSING), OF TITLE 15 OF THE

CALIMESA MUNICIPAL CODE, AND APPROVING A CEQA EXEMPTION DETERMINATION.

RECOMMENDATION: That the City Council:

1. Introduce First Reading of Ordinance No. 426 by title only: An Ordinance of the City of Calimesa, California, making administrative revisions to Ordinance Nos. 415 and 416, amending Chapter 15.05 (Adoption of the 2025 Edition of the California Building Code),

Page 24 of 266 ends

City Council Action Minutes of the
Regular Meeting of September 21, 2026

Page 9 of 11 ends

Chapter 15.15 (Adoption of the 2025 Edition of the California Electrical Code), Chapter

15.20 (Adoption of the 2025 Edition of the California Plumbing Code), Chapter 15.35 (Adoption of the 2025 Edition of the California Residential Code), and Chapter 15.37 (HUD Foundations Guide for Manufactured Housing), of Title 15 of the Calimesa Municipal Code, and approving a CEQA exemption determination.

2. Set a Public Hearing for the 2nd reading of Ordinance No. 426 for October 5, 2026.

14. RESOLUTION NO. 2026-60 - A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

CALIMESA MAKING EXPRESS FINDINGS AND DETERMINATIONS THAT MODIFICATIONS TO THE 2025 EDITIONS OF THE CALIFORNIA BUILDING CODE,

ELECTRICAL CODE, PLUMBING CODE, RESIDENTIAL CODE, WILDLAND - URBAN

INTERFACE CODE, AND FIRE CODE ARE REASONABLY NECESSARY BECAUSE OF LOCAL CLIMATIC, GEOLOGICAL AND/OR TOPOGRAPHICAL CONDITIONS.

RECOMMENDATION: That the City Council adopt Resolution No. 2026-60: A Resolution of the City Council of the City of Calimesa, making express findings and determinations that modifications to the 2025 additions of the California Building Code, Electrical Code, Plumbing Code, Residential Code, Wildland – Urban Interface Code, and Fire Code are reasonably necessary because of local climatic, geological, and/or topographical conditions.

Fire Chief Lindley presented the agenda report for Item’s 13 and 14 together.

After Council discussion the following action was taken for both items:

MOTION BY COUNCIL MEMBER CUNDIEFF, SECONDED BY COUNCIL MEMBER MOLINA, CARRIED 5-0 TO INTRODUCE FIRST READING OF ORDINANCE NO. 426 BY TITLE ONLY:

AN ORDINANCE OF THE CITY OF CALIMESA, CALIFORNIA, MAKING ADMINISTRATIVE REVISIONS TO ORDINANCE NOS. 415 AND 416, AMENDING CHAPTER 15.05 (ADOPTION OF THE 2025 EDITION OF THE CALIFORNIA BUILDING CODE), CHAPTER 15.15 (ADOPTION OF THE 2025 EDITION OF THE CALIFORNIA ELECTRICAL CODE), CHAPTER 15.20 (ADOPTION OF THE 2025 EDITION OF THE CALIFORNIA PLUMBING CODE), CHAPTER

15.35 (ADOPTION OF THE 2025 EDITION OF THE CALIFORNIA RESIDENTIAL CODE), AND CHAPTER 15.37 (HUD FOUNDATIONS GUIDE FOR MANUFACTURED HOUSING), OF TITLE 15 OF THE CALIMESA MUNICIPAL CODE, AND APPROVING A CEQA EXEMPTION DETERMINATION AND ADOPT RESOLUTION NO. 2026-60: A RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF CALIMESA, MAKING EXPRESS FINDINGS AND DETERMINATIONS THAT MODIFICATIONS TO THE 2025 ADDITIONS OF THE CALIFORNIA

BUILDING CODE, ELECTRICAL CODE, PLUMBING CODE, RESIDENTIAL CODE, WILDLAND – URBAN INTERFACE CODE, AND FIRE CODE ARE REASONABLY NECESSARY BECAUSE OF LOCAL CLIMATIC, GEOLOGICAL, AND/OR TOPOGRAPHICAL CONDITIONS.

15. CITY COMMISSION APPOINTMENT.

RECOMMENDATION: That Council Member Cundieff appoint one member to the Parks Trails & Community Services Commission and that the City Council ratify the appointment by a majority vote and adopt Resolution No. 2026-52 providing for the appointment made.

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City Council Action Minutes of the
Regular Meeting of September 21, 2026

Page 10 of 11 ends

Council Member Cundieff stated his intention to appoint Bryn Cundieff to the Parks, Trails and Community Services Commission. He further stated that he would abstain from the vote due to the appointment of his daughter to the Commission.

After Council discussion the following action was taken:

MOTION BY MAYOR PRO TEM MANLY, SECONDED BY COUNCIL MEMBER MOLINA, CARRIED 4-0-0-1(COUNCIL MEMBER CUNDIEFF ABSTAINED) TO ADOPT RESOLUTION NO. 2026-52 RATIFYING THE APPOINTMENT OF BRYN CUNDIEFF TO THE PARKS, TRAILS & COMMUNITY SERVICES COMMISSION.

Council Member Cundieff administered the Oath of Office to Bryn Cundieff.

MAYOR & COUNCIL MEMBER REPORTING OF COUNTY & REGIONAL

Council Member Garcia reported that he attended the State of the City event and thanked staff for their work.

Council Member Molina reported that she provided written summaries to the Council for the meetings she attended for RCTC and SCAG and provided a couple of documents to the City Clerk that she copy and provide to the Council.

Council Member Cundieff reported that he attended a WRCOG meeting on August 18th, a WRCOG ad-hoc committee meeting on August 20th, Transportation Now on September 3rd, September 11th ceremony at Summerwind Park, WRCOG Executive Committee meeting on September 14th, WRCOG Admin and Finance Committee meeting on September 16th and a WRCOG Advisory Committee meeting on September 17th . He further reported that he attended the State of the City Event on September 17th and thanked staff for their work, adding it was a great job!
Mayor Pro Tem Manly reported that he attended the State of the City Event on September 17th and thanked the Chamber and City staff for their work.

Mayor Cervantez reported that he attended the September 11th event at Summerwind Park and thanked the Sheriff’s Department and Fire Department for their attendance. He further reported that he attended the State of the City Event on September 17th and thanked staff and the Chamber for their work, adding that it was the best one yet!

CITY MANAGER COMMENTS & REPORTS
City Manager Kolbow reported that he and Community Development Director Lucia attended ICSC in San Diego, stating that they made a lot of good contacts and will have some follow-up meetings with those contacts in the near future. He requested that Council let Deputy City

Page 26 of 266 ends

City Council Action Minutes of the
Regular Meeting of September 21, 2026

Page 11 of 11 ends

Manager/City Clerk Gerdes know if they plan to attend the upcoming State of the City events in Beaumont and Banning so that she can get everyone registered.

ADJOURNMENT
Meeting adjourned at 9:36 p.m. to the Regular City Council Meeting on Monday, October 5, 2026, at 6:00 p.m.

Respectfully Submitted,
Darlene Gerdes, City Clerk

Page 27 of 266 ends

CITY COUNCIL MEETING
Agenda Report
Agenda Item No. 2.

SUBJECT: Receive and File City Commission Minutes
MEETING DATE: October 5, 2026
PREPARED BY: Darlene Gerdes, Deputy City Manager/City Clerk RECOMMENDATION:

There are no minutes ready for approval at this time.

ATTACHMENTS:

None

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CITY COUNCIL MEETING
Agenda Report
Agenda Item No. 3.

SUBJECT: Approval of Accounts Payable & Payroll Registers MEETING DATE: October 5, 2026
PREPARED BY: Celeste Reid, Finance Director
RECOMMENDATION:

That the City Council approve the Accounts Payable and Payroll Registers as presented.

SUMMARY:

The attached Reports for City Council’s approval is as follows:
a) Check Register Report and Account Summary with a total of $672,073.53 b) September 24, 2026 Payroll of $187,841.54
ATTACHMENTS:

1. 09.16.26 - 09.29.26 Accounts Payable Register

2. 9-24-2026 Payroll

Page 29 of 266 ends

9/29/2026 8:10:22 AM Page 1 of 7
Check Register Report
Calimesa, CA By Fund
Payment Dates 9/16/2026 - 9/29/2026
Payment Number Payment Date Vendor Name Description (Item) Amount Fund: 100 - GENERAL FUND
50544 09/16/2026 8X8 INC. Aug 26 Phone System 732.79
50545 09/16/2026 ALLSTAR FIRE EQUIPMENT INC Aug 26 FD Repairs 98.29 50545 09/16/2026 ALLSTAR FIRE EQUIPMENT INC Aug 26 FD Repairs 908.68 50546 09/16/2026 ALOHA PLUMBING & MAINTE… FD Faucet Replacement 385.00 50547 09/16/2026 AMERIFLEX FSA Claims 10.50
50547 09/16/2026 AMERIFLEX FSA Claims 10.50
50547 09/16/2026 AMERIFLEX FSA Claims 5.25
50548 09/16/2026 AMERIFLEX Sep 26 Admin 60.00
50549 09/16/2026 BEAUMONT SAFE & LOCK New Employee Keys 40.49 50550 09/16/2026 CALIMESA CHAMBER OF CO… 35 Tickets State of the City 2,275.00 50551 09/16/2026 CALIMESA FIREFIGHTERS ASS… 09.10.26 Firefighter Assoc 420.00 50552 09/16/2026 CARLOS MURILLO Sep 26 FD Vehicle Maintenan… 4,500.81 50553 09/16/2026 CHARLES ABBOTT ASSOC, INC Jul 26 Pro Services Fire BL Ins… 325.00 50553 09/16/2026 CHARLES ABBOTT ASSOC, INC Jul 26 Pro Services Fire Plan R… 3,486.00 50555 09/16/2026 DAVID TURCH AND ASSOCIAT… Aug 26 Federal Lobbying Servi… 2,500.00 50556 09/16/2026 DEPARTMENT OF JUSTICE Jul 26 Fingerprint x1 32.00 50557 09/16/2026 EDGAR GARCIA Sep 26 CA League Per Diem M… 103.00 50558 09/16/2026 ENGLANDER INVESTIGATIONS Background x1 150.00 50558 09/16/2026 ENGLANDER INVESTIGATIONS Background x1 150.00 50559 09/16/2026 ERIC CUNDIEFF Sep 26 CA League Per Diem M… 103.00 50560 09/16/2026 EXAM PROFESSIONALS, INC City Physicals & Recruitment 260.00 50560 09/16/2026 EXAM PROFESSIONALS, INC City FD Physicals City Physical 130.00 50560 09/16/2026 EXAM PROFESSIONALS, INC City FD Physicals Annual FD 10,928.00 50561 09/16/2026 EXECUTIVE FACILITIES SERVIC… Sep 26 Janitorial Steam and S… 701.64 50562 09/16/2026 GARDEN HILLS LANDSCAPE SE… Aug 26 Landscape Maintenan… 1,010.00 50562 09/16/2026 GARDEN HILLS LANDSCAPE SE… Aug 26 Landscape Maintenan… 1,320.00 50563 09/16/2026 GOVERNMENT FINANCE OFFI… Dues 10.26-09.27 500.00 50564 09/16/2026 IMPERIAL DADE Aug 26 Supplies 404.87
50565 09/16/2026 JEFF CERVANTEZ Sep 26 CA League Per Diem M… 103.00 50566 09/16/2026 JOHN HANCOCK USA 09.10.26 Contract#86360 4,292.86 50567 09/16/2026 KONICA MINOLTA Business So…Sep 26 Equipment Rental CH 1,493.43 50567 09/16/2026 KONICA MINOLTA Business So…Sep 26 Equipment Rental Sr C… 497.80 50568 09/16/2026 KOSMONT & ASSOCIATES, INC. Aug 26 Economic Development 452.40 50570 09/16/2026 LINDA MOLINA Sep 26 CA League Per Diem M… 103.00 50571 09/16/2026 LWP Claims Solution WC Claim Overpayment 529.94 50573 09/16/2026 MAUREEN KANE & ASSOCIATE…Aug 26 CA Municipal Clerk Reg… 1,600.00 50574 09/16/2026 OTTO GATES INC Sep 26 PW 4th St Park Gate 498.25 50574 09/16/2026 OTTO GATES INC Sep 26 PW 4th St Park Gate 185.00 50576 09/16/2026 PURETEC INDUSTRIAL WATER Aug 26 FD Vehicles 313.70 50577 09/16/2026 RENE'S COMMERCIAL MANAG…Aug 26 Gopher Control City Pa… 475.00 50578 09/16/2026 RIVERSIDE COUNTY SHERIFF T… RMS/CLETS FY 26 16,851.00 50578 09/16/2026 RIVERSIDE COUNTY SHERIFF T… RMS/CLETS FY 26 2,289.20 50579 09/16/2026 ROGERS EXHAUST SHOP Sep 26 F350 Maintenace 4,766.73 50582 09/16/2026 WESTRUX INTERNATIONAL Aug 26 FD Repairs & Mainten… 258.30 50583 09/16/2026 YAIZA BENSON Sep 26 CA League Per Diem M… 72.00 50585 09/24/2026 AFLAC-ENDORSED BENEFITS A…Sep 26 Supp Insurance Prem 819.08 50586 09/24/2026 AMAZON CAPITAL SERVICES I… Aug 26 Orders CH Office Suppl… 557.53 50586 09/24/2026 AMAZON CAPITAL SERVICES I… Aug 26 Orders Communication… 41.35 50586 09/24/2026 AMAZON CAPITAL SERVICES I… Aug 26 Orders Fire Office Supp… 139.98 50586 09/24/2026 AMAZON CAPITAL SERVICES I… Aug 26 Orders Supplies 593.37 50586 09/24/2026 AMAZON CAPITAL SERVICES I… Aug 26 Orders Sr Center Suppl… 102.35 50586 09/24/2026 AMAZON CAPITAL SERVICES I… Aug 26 Orders Community Ev… 43.61 50586 09/24/2026 AMAZON CAPITAL SERVICES I… Aug 26 Orders PW PPE 55.99

Page 30 of 266 ends

Check Register Report Payment Dates: 9/16/2026 - 9/29/2026 9/29/2026 8:10:22 AM Page 2 of 7
Payment Number Payment Date Vendor Name Description (Item) Amount 50587 09/24/2026 AMERIFLEX FSA Claims 21.00
50587 09/24/2026 AMERIFLEX FSA Claims 309.72
50587 09/24/2026 AMERIFLEX FSA Claims 24.87
50587 09/24/2026 AMERIFLEX FSA Claims 73.86
50587 09/24/2026 AMERIFLEX FSA Claims 73.86
50588 09/24/2026 BIO-TOX LABORATORIES, INC Jul 26 Blood Draws 681.00 50589 09/24/2026 CALIFORNIA PPE RECON INC Sep 26 FD Turnouts 387.90 50590 09/24/2026 CALIMESA FIREFIGHTERS ASS… 09.24.26 Firefighter Assoc 455.00 50591 09/24/2026 CHARLES ABBOTT ASSOC, INC May 26 Pro Services 757.00 50591 09/24/2026 CHARLES ABBOTT ASSOC, INC Aug 26 Pro Services Program … 4,355.00 50591 09/24/2026 CHARLES ABBOTT ASSOC, INC Aug 26 Pro Services Permit Fe… 8,872.61 50591 09/24/2026 CHARLES ABBOTT ASSOC, INC Aug 26 Pro Services Plan Che… 17,407.92 50591 09/24/2026 CHARLES ABBOTT ASSOC, INC Aug 26 Pro Services Fire BL & … 216.00 50591 09/24/2026 CHARLES ABBOTT ASSOC, INC Aug 26 Pro Services Fire Plan … 4,968.00 50592 09/24/2026 CHARTER COMMUNICATIONS Sep 26 Fiber Internet 1,550.00 50594 09/24/2026 CRAIG & SONS TERMITE & PE… Oct 26 Pest Control FD 750.00 50594 09/24/2026 CRAIG & SONS TERMITE & PE… Oct 26 Pest Control Sr Center 375.00 50595 09/24/2026 CROWN ACE HARDWARE Aug 26 Supplies Fire Vehicle 13.87 50595 09/24/2026 CROWN ACE HARDWARE Aug 26 Supplies FD 19.56 50595 09/24/2026 CROWN ACE HARDWARE Aug 26 Supplies Events Food S… 43.48 50595 09/24/2026 CROWN ACE HARDWARE Aug 26 Supplies PW Fleet 1,418.54 50595 09/24/2026 CROWN ACE HARDWARE Aug 26 Supplies PW Yard Supp… 194.60 50595 09/24/2026 CROWN ACE HARDWARE Aug 26 Supplies Park Repair 125.74 50596 09/24/2026 DEPARTMENT OF JUSTICE Aug 26 Fingerprint x3 96.00 50596 09/24/2026 DEPARTMENT OF JUSTICE Aug 26 Fingerprint x7 224.00 50598 09/24/2026 FRONTIER Sep 26 Fax 149.21
50599 09/24/2026 FRONTIER Aug 26 Park Wifi 150.51
50600 09/24/2026 H & S MOBILE FIRE EQUIPME… Aug 26 FD E201 Repairs 3,212.49 50600 09/24/2026 H & S MOBILE FIRE EQUIPME… Aug 26 FD E1 Repairs 2,985.50 50600 09/24/2026 H & S MOBILE FIRE EQUIPME… Sep 26 FD WT-1 Repairs 1,074.50 50601 09/24/2026 HEALTH NET Oct 26 Covered Members Rate 8,721.00 50602 09/24/2026 IMAGETREND, INC. Aug 26_FD_Pro Software 2,857.61 50603 09/24/2026 IMPERIAL DADE Sep 26 Supplies City Hall 160.22 50603 09/24/2026 IMPERIAL DADE Sep 26 Supplies Sr. Cnt 757.23 50603 09/24/2026 IMPERIAL DADE Sep 26 Supplies Parks 135.21 50604 09/24/2026 IMS ALLIANCE Sep 26_FD_Pass Tags 83.58 50606 09/24/2026 JAM SPORTSWEAR, INC. Sep 26_PW Employee Safety 1,965.66 50607 09/24/2026 JEFF CERVANTEZ Oct 26 Phone Reimbursement 55.00 50608 09/24/2026 JOHNATHAN MANLY Oct 26 Phone Reimbursement 55.00 50609 09/24/2026 JONATHAN YBARRA Sep 05 - Sep 18, 2026 9/16/26 100.00 50609 09/24/2026 JONATHAN YBARRA Sep 05 - Sep 18, 2026 9/9/26 100.00 50610 09/24/2026 KAISER FOUNDATION HEALTH… Oct 26 Premiums 19,037.75 50611 09/24/2026 KME SYSTEMS, LLC Sep 26 Mng Services 225.00 50612 09/24/2026 LIFE-ASSIST Sep 23_FD_ALS Supplies 1,825.61 50612 09/24/2026 LIFE-ASSIST Sep 23_FD_ALS Supplies 70.00 50612 09/24/2026 LIFE-ASSIST Sep 23_FD_ALS Supplies 65.67 50613 09/24/2026 LLOYD COPELAN, INC. Sept 26_FD_Bay Door_Repair 300.00 50613 09/24/2026 LLOYD COPELAN, INC. Sep 26_FD_Bay Door_Repair 749.31 50614 09/24/2026 MARK THOMAS & COMPANY, …Aug 26 Grant Application 9,548.25 50615 09/24/2026 MCCI,LLC Enterprise Bank FY 26-27_License, Support, an… 6,629.05 50616 09/24/2026 MISSION SQUARE 09.10.26 Plan 303505 Loan 2,275.04 50616 09/24/2026 MISSION SQUARE 09.10.26 Plan 303505 457 RO… 284.89 50616 09/24/2026 MISSION SQUARE 09.10.26 Plan 303505 457 Pre… 7,057.68 50616 09/24/2026 MISSION SQUARE 09.24.26 Plan 303505 457 Pre… 6,252.22 50616 09/24/2026 MISSION SQUARE 09.24.26 Plan 303505 Loan 1,245.05 50616 09/24/2026 MISSION SQUARE 09.24.26 Plan 303505 457 RO… 284.89 50618 09/24/2026 ODP BUSINESS SOLUTIONS, LLC Sep 26 Office Supplies 485.03 50619 09/24/2026 O'REILLY AUTOMOTIVE, INC. Aug 26 Supplies 174.43 50620 09/24/2026 PARS Jul 26 Rep Fees 400.00
50621 09/24/2026 RIVERSIDE COUNTY SHERIFF'S… BP#02 07.23.26 - 08.19.26 Re… 173,295.40

Page 31 of 266 ends

Check Register Report Payment Dates: 9/16/2026 - 9/29/2026 9/29/2026 8:10:22 AM Page 3 of 7
Payment Number Payment Date Vendor Name Description (Item) Amount 50621 09/24/2026 RIVERSIDE COUNTY SHERIFF'S… BP#02 07.23.26 - 08.19.26 POP… 34,107.48 50621 09/24/2026 RIVERSIDE COUNTY SHERIFF'S… BP#02 07.23.26 - 08.19.26 OT -… 401.61 50621 09/24/2026 RIVERSIDE COUNTY SHERIFF'S… BP#02 07.23.26 - 08.19.26 Offi… 7,048.35 50621 09/24/2026 RIVERSIDE COUNTY SHERIFF'S… BP#02 07.23.26 - 08.19.26 POP… 1,694.25 50622 09/24/2026 ROGERS, ANDERSON, MALODY…FY26 Audit Services 7,000.00 50624 09/24/2026 SOCAL GAS Aug 26 Services FD 78.17
50624 09/24/2026 SOCAL GAS Aug 26 Services Sr. Cnt 148.38 50625 09/24/2026 SOUTHERN CALIFORNIA EDIS… Aug 26 Services City Hall 7,842.27 50625 09/24/2026 SOUTHERN CALIFORNIA EDIS… Aug 26 Services Senior Center 3,487.79 50626 09/24/2026 SUPERIOR AUTOMOTIVE WAR…Aug 26_FD Supplies 57.81 50627 09/24/2026 TARGET SOLUTIONS LEARNIN… Target Solutions_FY26 250.00 50628 09/24/2026 THE LINCOLN NATIONAL LIFE … Oct 26 Life LTD Premiums 2,027.54 50629 09/24/2026 TKE ENGINEERING, INC. Jul 26 General Engineering 8,957.50 50629 09/24/2026 TKE ENGINEERING, INC. Jul 26 General Engineering SW… 790.00 50631 09/24/2026 VERIZON BUSINESS Aug 26 Long Distance 40.00 50632 09/24/2026 VISION SERVICE PLAN - CA Oct 26 Premiums 411.04 50634 09/24/2026 WILL KOLBOW Reimbursement_ICSC Sep 26 81.00 50634 09/24/2026 WILL KOLBOW Oct 26 Phone Reimbursement 100.00 50635 09/24/2026 YUCAIPA VALLEY WATER DIST… Aug 26 Water Waste Water Ci… 95.44 50635 09/24/2026 YUCAIPA VALLEY WATER DIST… Aug 26 Water Waste Water FD… 47.72 DFT0000331 09/23/2026 CAL PERS 09.10.26 Contributions Classic 3,164.78 DFT0000331 09/23/2026 CAL PERS 09.10.26 Contributions Pepra 8,211.24 Fund 100 - GENERAL FUND Total: 450,910.58
Fund: 130 - INSURANCE FUND
50569 09/16/2026 LIEBERT CASSIDY WHITMORE Aug 26 Legal Services 918.00 Fund 130 - INSURANCE FUND Total: 918.00
Fund: 210 - CAPITAL PROJECTS
50629 09/24/2026 TKE ENGINEERING, INC. Jul 26 Citywide paving P2 4,560.00 Fund 210 - CAPITAL PROJECTS Total: 4,560.00
Fund: 215 - CAPITAL PROJECTS ADA
50580 09/16/2026 S&H CIVILWORKS Library ADA Retention 1,827.50 Fund 215 - CAPITAL PROJECTS ADA Total: 1,827.50
Fund: 290 - DIF ADMINISTRATION FACILITIES
50575 09/16/2026 Pro-Pipe & Supply, Inc. Aug 26 irrigation Supplies 103.04 50584 09/24/2026 ACTON ARCHITECTURE, INC Aug 26 City Hall Schematic Des… 21,771.50 50629 09/24/2026 TKE ENGINEERING, INC. Jul 26 General Engineering N… 540.00 Fund 290 - DIF ADMINISTRATION FACILITIES Total: 22,414.54 Fund: 292 - DIF FIRE FACILITIES
50593 09/24/2026 CITIZEN BUSINESS BANK Payment #9 Lease Agreement… 2,977.87 50593 09/24/2026 CITIZEN BUSINESS BANK Payment #9 Lease Agreement… 45,796.42 Fund 292 - DIF FIRE FACILITIES Total: 48,774.29
Fund: 293 - DIF STREET & TRAFFIC IMPROVEMENT
50629 09/24/2026 TKE ENGINEERING, INC. Jul 26 CB Realign @ CV Blvd 90.00 50629 09/24/2026 TKE ENGINEERING, INC. Jul 26 ROW & Design CB Reali… 12,184.62 50629 09/24/2026 TKE ENGINEERING, INC. Jul 26_Project Plan Check 3,147.50 50635 09/24/2026 YUCAIPA VALLEY WATER DIST… Aug 26 Water Waste Water 6… 47.72 Fund 293 - DIF STREET & TRAFFIC IMPROVEMENT Total: 15,469.84 Fund: 305 - COPS GRANT/SUPP LAW EFRCEMENT
50621 09/24/2026 RIVERSIDE COUNTY SHERIFF'S… BP#02 07.23.26 - 08.19.26 CSO… 11,569.60 50621 09/24/2026 RIVERSIDE COUNTY SHERIFF'S… BP#02 07.23.26 - 08.19.26 CSO… 1,552.50 Fund 305 - COPS GRANT/SUPP LAW EFRCEMENT Total: 13,122.10 Fund: 315 - LIGHTING/LANDSCAPE DISTRICT
50595 09/24/2026 CROWN ACE HARDWARE Aug 26 Supplies LLMD Repairs 55.83 50625 09/24/2026 SOUTHERN CALIFORNIA EDIS… Aug 26 Services Late Fee 142.47 50625 09/24/2026 SOUTHERN CALIFORNIA EDIS… Aug 26 Services LLMD 1,101.74 50625 09/24/2026 SOUTHERN CALIFORNIA EDIS… Aug 26 Services City Wide Str… 5,649.75 50629 09/24/2026 TKE ENGINEERING, INC. Jul 26 General Engineering LL… 202.50

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Check Register Report Payment Dates: 9/16/2026 - 9/29/2026 9/29/2026 8:10:22 AM Page 4 of 7
Payment Number Payment Date Vendor Name Description (Item) Amount 50635 09/24/2026 YUCAIPA VALLEY WATER DIST… Aug 26 Water Waste Water Ci… 95.44 Fund 315 - LIGHTING/LANDSCAPE DISTRICT Total: 7,247.73
Fund: 335 - GAS TAX
50554 09/16/2026 CMAX COMMERCIAL MAINTE… Sep 26 Street Sweeping Cityw… 2,132.10 50572 09/16/2026 MANHOLE ADJUSTING INC. Sep 26 Hot Mix 130.39 50581 09/16/2026 UNDERGROUND SERVICE ALE… Aug 26 CA State Fee 49.75 50581 09/16/2026 UNDERGROUND SERVICE ALE… Aug 26 New Ticket 142.85 50595 09/24/2026 CROWN ACE HARDWARE Aug 26 Supplies Road Repair 237.83 50597 09/24/2026 DEPARTMENT OF TRANSPORT…Apr - Jun 26 Cost Share Signal 1,083.92 50617 09/24/2026 Nutrien Ag Solutions, Inc. Aug 26 Pesticide 670.04 50617 09/24/2026 Nutrien Ag Solutions, Inc. Aug 26 Pesticide 146.14 50623 09/24/2026 SHARPLINE SOLUTIONS, INC Sep 26 PW Paint 997.51 50636 09/24/2026 YUNEX, LLC Aug 26 Call Outs 354.00
50636 09/24/2026 YUNEX, LLC Sep 26 Call Outs 4,258.10
50636 09/24/2026 YUNEX, LLC Aug 26 Routine Maintenance 450.00 Fund 335 - GAS TAX Total: 10,652.63
Fund: 370 - LIBRARY OPERATIONS
50635 09/24/2026 YUCAIPA VALLEY WATER DIST… Calimesa Library 47.72 Fund 370 - LIBRARY OPERATIONS Total: 47.72
Fund: 401 - CFD SINGLETON HEIGHTS FAC IA2
50630 09/24/2026 US BANK 06.01.26 - 05.31.27 Admin Fe… 3.00 Fund 401 - CFD SINGLETON HEIGHTS FAC IA2 Total: 3.00
Fund: 409 - CFD SINGLETON HEIGHTS MAINTENANCE
50554 09/16/2026 CMAX COMMERCIAL MAINTE… Sep 26 Street Sweeping CFD 2… 232.16 50562 09/16/2026 GARDEN HILLS LANDSCAPE SE… Aug 26 Landscape Maintenan… 13,465.00 50625 09/24/2026 SOUTHERN CALIFORNIA EDIS… Aug 26 Services Singleton Hei… 880.27 50635 09/24/2026 YUCAIPA VALLEY WATER DIST… Aug 26 Water Waste Water Si… 1,985.84 Fund 409 - CFD SINGLETON HEIGHTS MAINTENANCE Total: 16,563.27 Fund: 412 - CFD JP RANCH FAC IA3
50630 09/24/2026 US BANK 06.01.26 - 05.31.27 Admin Fe… 3.00 Fund 412 - CFD JP RANCH FAC IA3 Total: 3.00
Fund: 419 - CFD JP RANCH MAINTENANCE
50605 09/24/2026 INLAND EMPIRE LANDSCAPE, … Landscape Maintenance 9,773.67 50625 09/24/2026 SOUTHERN CALIFORNIA EDIS… Aug 26 Services JP Ranch Stre… 913.50 50635 09/24/2026 YUCAIPA VALLEY WATER DIST… Aug 26 Water Waste Water JP… 1,124.14 Fund 419 - CFD JP RANCH MAINTENANCE Total: 11,811.31
Fund: 429 - CFD SUMMERWIND MAINTENANCE
50549 09/16/2026 BEAUMONT SAFE & LOCK Summerwind Fire Pole Key 3.22 50554 09/16/2026 CMAX COMMERCIAL MAINTE… Sep 26 Street Sweeping CFD 2… 544.87 50562 09/16/2026 GARDEN HILLS LANDSCAPE SE… Aug 26 Landscape Maintenan… 1,550.00 50577 09/16/2026 RENE'S COMMERCIAL MANAG…Aug 26 Gopher Control Summ… 575.00 50625 09/24/2026 SOUTHERN CALIFORNIA EDIS… Aug 26 Services Summerwind 71.70 50633 09/24/2026 WCC TECHNOLOGIES GROUP Aug 26_Summerwind Cameras 62,727.24 50635 09/24/2026 YUCAIPA VALLEY WATER DIST… Aug 26 Water Waste Water S… 2,275.99 Fund 429 - CFD SUMMERWIND MAINTENANCE Total: 67,748.02
Grand Total: 672,073.53

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Check Register Report Payment Dates: 9/16/2026 - 9/29/2026 9/29/2026 8:10:22 AM Page 5 of 7
Report Summary
Fund Summary
Fund Payment Amount
100 - GENERAL FUND 450,910.58
130 - INSURANCE FUND 918.00
210 - CAPITAL PROJECTS 4,560.00
215 - CAPITAL PROJECTS ADA 1,827.50
290 - DIF ADMINISTRATION FACILITIES 22,414.54
292 - DIF FIRE FACILITIES 48,774.29
293 - DIF STREET & TRAFFIC IMPROVEMENT 15,469.84
305 - COPS GRANT/SUPP LAW EFRCEMENT 13,122.10
315 - LIGHTING/LANDSCAPE DISTRICT 7,247.73
335 - GAS TAX 10,652.63
370 - LIBRARY OPERATIONS 47.72
401 - CFD SINGLETON HEIGHTS FAC IA2 3.00
409 - CFD SINGLETON HEIGHTS MAINTENANCE 16,563.27
412 - CFD JP RANCH FAC IA3 3.00
419 - CFD JP RANCH MAINTENANCE 11,811.31
429 - CFD SUMMERWIND MAINTENANCE 67,748.02
Grand Total: 672,073.53
Account Summary
Account Number Account Name Payment Amount
100-0000-20120-000 ACCRUED EXPENSES 16,851.00
100-0000-22510-000 ASSOCIATION DUES PAY… 875.00
100-0000-22525-000 DEFERRED COMPENSAT… 17,399.77
100-1010-60100-000 PROFESSIONAL SERVICES 2,500.00
100-1010-60300-000 COMMUNICATIONS 110.00
100-1010-60560-000 TRAVEL AND TRAINING… 412.00
100-1020-60100-000 PROFESSIONAL SERVICES 9,548.25
100-1020-60300-000 COMMUNICATIONS 100.00
100-1020-60560-000 TRAVEL AND TRAINING… 81.00
100-1030-60560-000 TRAVEL AND TRAINING… 1,672.00
100-2000-50200-000 INSURANCE & EMPLOYEE… 22,295.41
100-2000-50300-000 PERS BENEFITS 11,376.02
100-2000-60110-000 OTHER CONTRACT SERV… 1,493.43
100-2000-60425-000 UTILITIES - ELECTRIC 7,842.27
100-2000-60426-000 UTILITIES - GAS & WATER 95.44
100-2000-60530-000 SUPPLIES 1,202.78
100-2010-50201-000 INSURANCE & EMPLOYEE… 8,721.00
100-2010-60100-000 PROFESSIONAL SERVICES 1,075.56
100-2020-60100-000 PROFESSIONAL SERVICES 7,000.00
100-2020-60505-000 DUES AND SUBCRIPTIONS 500.00
100-2030-60100-000 PROFESSIONAL SERVICES 225.00
100-2030-60300-000 COMMUNICATIONS 2,472.00
100-2030-60325-000 SOFTWARE AND WEBSITE 6,879.05
100-2040-60210-000 WORKERS COMPENSATI… 529.94
100-3020-60100-000 PROFESSIONAL SERVICES 26,280.53
100-3050-60100-000 PROFESSIONAL SERVICES 452.40
100-4005-60158-000 CAL ID & TESTING 713.00
100-4010-60150-000 POLICE - REGULAR CON… 207,402.88
100-4010-60155-000 POLICE - OVERTIME & I… 401.61
100-4010-60325-000 SOFTWARE AND WEBSITE 2,289.20
100-4010-60560-000 TRAVEL AND TRAINING … 8,742.60
100-4030-50110-000 INTERNSHIP & STIPENDS 200.00
100-4030-50200-000 INSURANCE & EMPLOYEE… 4,292.86
100-4030-60100-000 PROFESSIONAL SERVICES 11,852.00
100-4030-60300-000 COMMUNICATIONS 41.35
100-4030-60325-000 SOFTWARE AND WEBSITE 2,857.61
100-4030-60400-000 REPAIRS AND MAINTEN… 2,559.31

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Check Register Report Payment Dates: 9/16/2026 - 9/29/2026 9/29/2026 8:10:22 AM Page 6 of 7
Account Summary
Account Number Account Name Payment Amount
100-4030-60410-000 REPAIRS AND MAINTEN… 12,591.41
100-4030-60426-000 UTILITIES - GAS & WATER 125.89
100-4030-60525-000 MINOR EQUIPMENT 1,006.97
100-4030-60530-000 SUPPLIES 2,997.17
100-4030-60560-000 TRAVEL AND TRAINING… 593.37
100-4035-60100-000 PROFESSIONAL SERVICES 9,752.00
100-5010-60110-000 OTHER CONTRACT SERV… 497.80
100-5010-60425-000 UTILITIES - ELECTRIC 3,487.79
100-5010-60426-000 UTILITIES - GAS & WATER 148.38
100-5010-60530-000 SUPPLIES 859.58
100-5030-60530-000 SUPPLIES 2,362.09
100-6000-60100-000 PROFESSIONAL SERVICES 150.51
100-6000-60400-000 REPAIRS AND MAINTEN… 4,189.89
100-6000-60410-000 REPAIRS AND MAINTEN… 6,185.27
100-6000-60525-000 MINOR EQUIPMENT 194.60
100-6000-60530-000 SUPPLIES 40.49
100-6000-60535-000 UNIFORMS & PPE 55.99
100-6000-60560-000 TRAVEL AND TRAINING… 1,965.66
100-6010-60400-000 REPAIRS AND MAINTEN… 125.74
100-6010-60530-000 SUPPLIES 135.21
100-6020-60100-000 PROFESSIONAL SERVICES 4,355.00
100-6030-60130-000 ENGINEERING SERVICES 9,747.50
130-2040-60100-000 PROFESSIONAL SERVICES 918.00
210-7005-70170-000 STREETS 4,560.00
215-0000-20110-000 RETENTION PAYABLE 1,827.50
290-0000-70100-000 BUILDINGS & IMPROVE… 21,874.54
290-0000-70101-000 BUILDINGS & IMPROVE… 540.00
292-0000-80000-000 INTEREST EXPENSE 2,977.87
292-0000-80100-000 DEBT SERVICE 45,796.42
293-7060-60130-000 ENGINEERING SERVICES 47.72
293-7065-60130-000 ENGINEERING SERVICES 3,147.50
293-7067-60100-000 PROFESSIONAL SERVICES 90.00
293-7067-70170-000 STREETS 12,184.62
305-4010-60150-000 POLICE - REGULAR CON… 11,569.60
305-4010-60561-000 TRAVEL AND TRAINING … 1,552.50
315-6000-60130-000 ENGINEERING SERVICES 202.50
315-6000-60405-000 REPAIRS AND MAINTEN… 55.83
315-6000-60425-000 UTILITIES - ELECTRIC 6,893.96
315-6000-60426-000 UTILITIES - GAS & WATER 95.44
335-6080-60100-000 PROFESSIONAL SERVICES 5,062.10
335-6080-60300-000 COMMUNICATIONS 192.60
335-6080-60415-000 REPAIRS AND MAINTEN… 4,314.01
335-6080-60425-000 UTILITIES - ELECTRIC 1,083.92
370-5040-60400-000 REPAIRS AND MAINTEN… 47.72
401-8010-60100-000 PROFESSIONAL SERVICES 3.00
409-8010-60400-000 REPAIRS AND MAINTEN… 13,465.00
409-8010-60415-000 REPAIRS AND MAINTEN… 232.16
409-8010-60425-000 UTILITIES - ELECTRIC 880.27
409-8010-60426-000 UTILITIES - GAS & WATER 1,985.84
412-8010-60100-000 PROFESSIONAL SERVICES 3.00
419-8010-60400-000 REPAIRS AND MAINTEN… 9,773.67
419-8010-60425-000 UTILITIES - ELECTRIC 913.50
419-8010-60426-000 UTILITIES - GAS & WATER 1,124.14
429-0000-60400-000 REPAIRS AND MAINTEN… 62,730.46
429-8010-60400-000 REPAIRS AND MAINTEN… 2,125.00
429-8010-60415-000 REPAIRS AND MAINTEN… 544.87
429-8010-60425-000 UTILITIES - ELECTRIC 71.70

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Check Register Report Payment Dates: 9/16/2026 - 9/29/2026 9/29/2026 8:10:22 AM Page 7 of 7
Account Summary
Account Number Account Name Payment Amount
429-8010-60426-000 UTILITIES - GAS & WATER 2,275.99
Grand Total: 672,073.53
Project Account Summary
Project Account Key Payment Amount
**None** 669,711.44
1000200060530 2,318.61
1001000060530 43.48
Grand Total: 672,073.53

Page 36 of 266 ends

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CITY COUNCIL MEETING
Agenda Report
Agenda Item No. 4.

SUBJECT: 2nd Readings by Title Only and Adoption of Mesa Verde Project Ordinances No. 424 and 425. Ordinance No. 424 for Development Agreement 25-4 is a Development Agreement by and between the City of Calimesa and Mesa Verde Owners, LLC for the Mesa Verde Specific Plan Project. Ordinance No. 425 is for Specific Plan Amendment 23-01 and Zone Change 23-01, amending the previously approved 2017 Specific Plan for the 1,463.1-acre property to provide for the orderly development of a property through compliance with site-specific development standards that are consistent with the intent and policies of the General Plan.

MEETING DATE: October 5, 2026
PREPARED BY: Kelly Lucia, Community Development Director RECOMMENDATION:

That the City Council approve 2nd readings, by title only and adopt:

1. Ordinance No. 424 for Development Agreement 25-4, a Development Agreement by and between the City of Calimesa and Mesa Verde Owners, LLC for the Mesa Verde Specific Plan Project.

BACKGROUND:

See City Council agenda files for the regular City Council meeting of September 21, 2026 https://calimesaca.portal.civicclerk.com/event/2023/files/agenda/6138 DISCUSSION:

FISCAL IMPACT:

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ATTACHMENTS:

1. 1. Ord 424 - for Development Agreement 24-5, by and between the City of Calimesa and Mesa Verde Owners, LLC

2. 2. Ord 425 - Specific Plan Amendment/Zone Change

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ORDINANCE NO. 424

AN ORDINANCE OF THE CITY OF CALIMESA APPROVING
DEVELOPMENT AGREEMENT 25-4 BETWEEN THE CITY OF

CALIMESA AND BETWEEN THE CITY OF CALIMESA AND MESA
VERDE OWNERs, L.L.C., FOR THE MESA VERDE SPECIFIC
PLAN PROJECT ON 1,436.1 GROSS ACRES OF REAL

PROPERTY LOCATED ON IN THE NORTHWEST PORTION OF
THE CITY OF CALIMESA, WEST OF INTERSTATE 10 (I-10)
(APNs: 411-210-010, 411-210-028, 413-030-025, 413-040-013, 413-040-017, 413-040-018, 413-040-020, 413-040-023, 413-160- 011, 413-200-003, 413-200-040, 413-200-042, 413-200-044 and 413-200-048)
WHEREAS, Mesa Verde Owners, LLC (the “Applicant”), submitted an application to the City of Calimesa (“City”), Development Agreement No. 25-4 (“DA 25-4”) for the Mesa Verde Specific Plan Project on 1,436.1-acres for certain real property located on Assessor Parcel Numbers (APNS): 411-210-010, 411-210-028, 413-030-025, 413-040-013, 413- 040-017, 413-040-018, 413-040-020, 413-040-023, 413-160-011, 413-200-003, 413-200- 040, 413-200-042, 413-200-044 and 413-200-048 (the “Property”), which would vest development rights for the property; and
WHEREAS, the Applicant has also requested approval of the following applications approvals, which along with DA 25-4 are referred to collectively herein as the “Project”:
(1) EA 23-02, certifying a Subsequent Environmental Impact Report and Mitigation Monitoring and Reporting Program for the Mesa Verde Specific Plan Project (SCH# 2004071045), and Environmental Assessment 25-3 (EA 25-3, approving a Consistency Checklist for the Mesa Verde implementing projects); and (2) GPA 23-01 amends the City’s existing General Plan to (a) modify Figure LU1, Land Use Map, to reflect the new land use designation changes; (b) modify Figure TM1, Circulation Map, to reflect the new roadway configuration and categorization changes; (c) modify Figure OSPR-1, Existing Public Parks and Open Space Areas, to reflect the new public parks; (d) modify Figure OSPR-2, Trails Master Plan, to reflect the new trails system; (e) modify Figure SAF-1, Fault Zones to indicate that the fault depicted within the Mesa Verde Specific Plan area has been determined to be inactive pursuant to geotechnical studies performed on-site; (f) modify Figure SAF-7, Evacuation Routes to show evacuation routes from the Mesa Verde Specific Plan area along County Line Road, Sandalwood Drive and Roberts Road and (g) update references to the “Mesa Verde Estates” Specific Plan to reflect the Mesa Verde Specific Plan Amendment; and
(3) SPA 23-01 would replace the previously approved 2017 Specific Plan for the 1,463.1-acre property to provide for the orderly development of a property through compliance with site-specific development standards that are consistent with the intent and policies of the amended General Plan. ZC 23- 01 proposes to modify the City’s official zoning map as it applies to the 1,436.1-acre project site including redistribution and development standards of the Residential, Mixed-Use, Public/Quasi-Public Facilities, Open Space, Elementary School, and Calimesa Public works zone districts and creation of a new

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Commercial zone and Business Park zone; and provision of updated development standards accordingly; and
(4) DPR 24- 06 and CUP 24-05 for Planning Area 2/Building 2 – Design review and conditional use permit for a proposed Business Park development consisting of an approximately 717,230 square foot warehouse facility building on approximately 53.91- gross acres within Planning Area 2 of the amended MVSP (portions of APNs 413-040-017, 411-210-028, 413-200-040, 413-200-044 and 413-160-011); and (5) DPR 24-07 and CUP 24-06 for Planning Area 4/Building 4 – Design Review and Conditional Use Permit for proposed Business Park development consisting of an approximately an approximately 702,120 square foot warehouse facility building on approximately 37.68-gross acres within Planning Area 4 of the amended MVSP (portions of APNs 413-040-017 and 413-160-011); and
(6) DPR 24-08 and CUP 24-07 Planning Area 5/Building 5 – Design Review and Conditional Use Permit for proposed Business Park development consisting of an approximately 700,150 square foot warehouse facility building on approximately 34.49- gross acres within Planning Area 5 of the amended MVSP (portions of APNs 413-040-017 and 413-160-011); and
(7) DPR 24-09 and CUP 24-08 for Planning Area 6/Building 6 – Design Review and Conditional Use Permit for proposed Business Park development consisting of an approximately 717,600 square foot warehouse facility building on approximately 37.46- gross acres within Planning Area 6 of the amended MVSP (portions of APNs 413-040-017 and 413-160-011); and
(8) DPR 24-10 and CUP 24-09 for Planning Area 7/Building 7 – Design Review and Conditional Use Permit for proposed Business Park development consisting of an approximately 614,300 square foot warehouse facility building on approximately 32.06- gross acres within Planning Area 7 of the amended MVSP (portions of APNs 413-160-011 and 413-040-020); and
(9) DPR 24-11 and CUP 24-10 for Planning Area 8/Building 8 – Design Review and Conditional Use Permit for proposed Business Park development consisting of an approximately 654,400 square foot warehouse facility building on approximately 27.31- gross acres within the amended MVSP (portions of APNs 413-040-020 and 413-040-018); and
(10) TTM 33931 Rev 2 provides for the subdivision of property 1436-acres into 114 lots and public streets, including easements for utilities and ingress/egress, for finance and conveyance purposes; and
(11) TTM 39086 is a proposed tract map to subdivide approximately 17.1 acres into 112 single-family lots with a density of 6.5 DUs/ac within Planning Area 13 of the Mesa Verde Specific Plan; and

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(12) TTM 39087 is a proposed parcel map to subdivide approximately 19.5 acres into 76 single-family lots with a density of 3.9 DUs/ac within Planning Area 14 of the Mesa Verde Specific Plan; and
(13) TTM 39088 is a proposed parcel map to subdivide approximately 16.6 acres into 84 single-family lots with a density of 5.0 DUs/ac within Planning Area 15 of the Mesa Verde Specific Plan; and
(14) TTM 39089 is a proposed parcel map to subdivide approximately 15.9 acres into 84 single-family lots with a density of 5.3 DUs/ac within Planning Area 16 of the Mesa Verde Specific Plan; and
(15) TTM 39090 is a proposed parcel map to subdivide approximately 10.7 acres into 60 single-family lots with a density of 5.6 DUs/ac within Planning Area 18 of the Mesa Verde Specific Plan; and
(16) TTM 39091 is a proposed parcel map to subdivide approximately 21.4 acres into 133 single-family lots with a density of 6.2 DUs/ac within Planning Area 19 of the Mesa Verde Specific Plan; and
WHEREAS the Development Agreement for the Mesa Verde Specific Plan Project is attached to this Resolution as Exhibit A and incorporated herein by reference; and WHEREAS, California Government Code Sections 65864-65869.5 (the “Development Agreement Act”) and Calimesa Municipal Code Sections 18.85.010-

18.85.090 authorize the City Council to enter into a binding development agreement for the development of real property within its jurisdiction with persons having legal or equitable interests in such real property by approval of an ordinance; and WHEREAS Government Code Section 65867 and Calimesa Municipal Code Section 18.85.050 provide that the Planning Commission shall review the application and provide a recommendation to the City Council on the proposed development agreement; and
WHEREAS, pursuant to the California Environmental Quality Act (“CEQA”) and the State CEQA Guidelines, Environmental Assessment EA 23-02, a Subsequent Environmental Impact Report to the previously certified Mesa Verde Specific Plan Environmental Impact Report (SEIR) (SCH#2004071045) including the associated Mitigation Monitoring and Reporting Program (MMRP), statement of overriding considerations and subsequent addendums prepared for the Project, in compliance with the requirements of CEQA and the CEQA Guidelines; and
WHEREAS, based on City’s staff’s review of the Project, City staff has determined that the full scope of the Project was reviewed in the SEIR (EA 23-02) for the Project (SCH#2004071045), MMRP and statement of overriding considerations; and WHEREAS, the City of Calimesa Planning Department on June 26, 2026, caused to be published a legal notice in the Yucaipa News Mirror, a local paper of general circulation, indicating the date, time, and location of the public hearing on the proposed Project, and CEQA findings regarding these applications; and

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WHEREAS, not less than 20 days prior to the public hearing, the City also distributed copies of the Public Hearing Notice to servicing utilities, adjacent public agencies, Native American Tribes; and in addition, copies of the Notice were distributed via United States Postal Service to local agencies, property owners within a 600-foot radius of the Project site in accordance with state law, and other interested parties; and the Public Hearing Notice was also posted on the City’s website, at City Hall, and at the Calimesa library, and five 6’x6’ public hearing signs were posted at conspicuous locations on the property; and WHEREAS, on August 10, 2026, the Planning Commission held a duly noticed public hearing to consider the applications for approval of the Project and following the receipt of all testimony, closed the public hearing; and WHEREAS, on September 21, 2026, the City Council held a duly noticed public hearing to consider the applications for approval of the Project and following the receipt of all testimony, closed the public hearing; and
WHEREAS, all legal prerequisites to the adoption of this Resolution have occurred.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CALIMESA DOES ORDAIN AS FOLLOWS:

Section 1. Based on substantial evidence found in the administrative record for the Project, including but not limited to all evidence and testimony presented at the abovereferenced public hearings on DA 25-4, the City Council hereby finds as follows:

A. All facts set forth in the Recitals to this Ordinance are true and correct, and incorporated by this reference as if fully set forth herein.

B. The City Council, by separate resolution approved EA 23-02 and EA 25-4 in compliance with the requirements of CEQA and no further environmental review is required prior to approval of the Project.

C. Approval of DA 25-4 is a legislative act that shall be approved by ordinance and is subject to referendum.

D. The provisions of DA 25-4 are consistent with the City’s General Plan, as amended by GPA 23-01, and the Mesa Verde Specific Plan, as amended by SPA 23-01, because DA-25-4 requires the Project to be developed in a manner compatible with the uses authorized in, and the regulations prescribed for, the subject property.

E. By providing for the orderly development of the Project and necessary public infrastructure, approval of DA 25-4 is in conformity with the General Plan and the Specific Plan and will promote public convenience, general welfare and good land use practice; will not be detrimental to the health, safety and general welfare; will not adversely affect the orderly development of property or the preservation of property values; and will promote and encourage the development of the Project by providing a greater degree of requisite certainty.

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Section 2. Based on the findings set forth above in this Ordinance all other evidence in the record, the City Council approves DA 25-4, substantially in the form attached hereto as Exhibit A.

Section 3. This Ordinance shall take effect 30 days after its final passage. Within 15 days after its passage, the City Clerk shall cause this Ordinance or a summary hereof to be published and posted as required by law.

INTRODUCED AND PASSED UPON FIRST READING by title only, this __ day of _________ 2026, upon the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

PASSED, APPROVED, AND ADOPTED this __ day of _________ 2026, upon the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
___________________________________

JEFF CERVANTEZ, MAYOR

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ATTEST:
___________________________________

DARLENE GERDES, CITY CLERK
APPROVED AS TO FORM:
___________________________________

STEVEN FLOWER, CITY ATTORNEY

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EXHIBIT A

DEVELOPMENT AGREEMENT

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RECORDING REQUESTED BY

AND WHEN RECORDED MAIL TO
City of Calimesa
908 Park Avenue
Calimesa CA 92320
Attn: City Clerk
Space Above This Line for Recorder’s Use
(Exempt from Recording Fees per Gov’t Code § 6103)

AMENDED AND RESTATED DEVELOPMENT AGREEMENT

BY AND BETWEEN
THE

CITY OF CALIMESA
AND

MESA VERDE OWNER, LLC

FOR THE

MESA VERDE PROJECT

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AMENDED AND RESTATED

DEVELOPMENT AGREEMENT
THIS AMENDED AND RESTATED DEVELOPMENT AGREEMENT (this “Agreement”) is entered into as of ________________, 2026 (the “Reference Date”), by and between the CITY OF CALIMESA, a California general law city (“City”), and MESA VERDE OWNER, LLC, a California limited liability company (“Developer”). City and Developer are occasionally referred to in this Agreement each individually as a “Party,” and collectively as the “Parties.” In consideration of the mutual covenants and agreements contained in this Agreement and other good and valuable consideration, the receipt and legal sufficiency of which is hereby acknowledged, the Parties do hereby agree as follows:

SECTION 1.

RECITALS.

A. California Government Code section 65864 et seq. (the “Development Agreement Act”) authorizes City to enter into a binding development agreement for the development of real property within its jurisdiction with persons having legal or equitable interest in real property in order to: (i) ensure high quality development in accordance with comprehensive plans; (ii) reduce uncertainty in the development approval process that might otherwise result in a waste of resources and discouragement of investment; (iii) strengthen City’s comprehensive planning process to provide for the most efficient use of public and private resources by encouraging private participation in the comprehensive planning process and reducing the economic cost of development; (iv) assure developers of land that upon approval, they may proceed with their projects in accordance with defined policies, rules, regulations and conditions of approval; and (v) provide for the financing and/or construction of necessary public facilities.

B. This Agreement applies to Developer’s current proposal for development of the Mesa Verde Project with a mixture of commercial retail, single-family and multi-family residential uses, logistics and business park uses, private and/or public parks and open space, as further defined in this Agreement on an approximately 1,492.4-acre property located within the City of Calimesa, County of Riverside, State of California (the “Property”), which is generally bounded on the west by open space, on the south by open space including the Garden Air Wash, on the east generally by Interstate 10, and on the North by the County Line, and is further described on Exhibit A and depicted on Exhibit B attached to this Agreement.

C. In 2007, the City Council approved the following in connection with an earlier proposal to develop the Property (the “Mesa Verde Estates Project”):
(1) Resolution No. 2007-59, certifying the Final Environmental Impact Report for the Mesa Verde Estates Project (Screen check No. 2004071045) (“Final EIR”) and making findings in support thereof pursuant to the California Environmental Quality Act (Cal. Pub. Resources Code, § 21000 et seq.) (“CEQA”);

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(2) Resolution No. 200760, approving General Plan Amendment 04-003 to designate the Mesa Verde Estates Specific Plan as the General Plan Land Use Map designation for the Property;
(3) Resolution No. 2007-61, adopting the Mesa Verde Estates Specific Plan (the “2007 Specific Plan”), with conditions; and
(4) Resolution No. 2007-62, approving Tentative Tract Map No. 33931, with conditions.

D. In 2017, the City Council approved the following in connection revisions to the Mesa Verde Estates Project proposed by Developer:
(1) Resolution 2017-37, approving an Addendum to the previously certified Final EIR and making findings in support thereof pursuant to CEQA; (2) Resolution No. 2017-38, approving a Revised Tentative Tract Map No. 33931 with conditions;
(3) Ordinance No. 355, approving an amendment to the 2007 Specific Plan and renaming it the “Mesa Verde Specific Plan”;
(4) Ordinance No. 356, approving a development agreement, an agreement by and between the City and the previous owner of the Property, Mesa Verde RE Ventures, LLC (“Original Owner”), which was recorded on December 21, 2017, as Document No. 2017-0535401 in the Official Records for the County of Riverside, State of California (“Original DA”).

E. In 2021, the Original Owner assigned the Original DA to Developer pursuant to that certain Assignment and Assumption of Development Agreement, dated November 23, 2021, and recorded as Instrument No. 2021-0701232 in the Official Records for the County of Riverside, State of California. On November 24, 2021, the Original Owner sold the Property to Developer, and the grant deed for said transaction is recorded as Instrument No. 2021-0701231 in the Official Records for the County of Riverside, State of California.

F. Developer has acquired legal or equitable interest in the Property for the development of the Property and now desires to develop the Property in accordance with the provisions of this Agreement, the Land Use Regulations (as defined herein) and those laws and regulations of other Agencies exercising jurisdiction over the Property.

G. City and Developer desire to enter into a new development agreement for purposes of: (i) identifying the terms, conditions, and regulations for the development of the Property; (ii) identifying Developer’s obligations to make certain Community Benefit Contribution (specified in Section 6) on the terms and conditions set forth in this Agreement; (iii) addressing certain changes to the Development from what was originally approved pursuant to the Development Approvals (as that term is defined in the Original DA); (iv) and memorializing new and additional public benefits and Developer obligations in connection with the Development.

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H. City and Developer mutually intend for the this Agreement to replace the Original DA in its entirety and for this Agreement to create beneficial development of the Property and a physical environment that will conform to and complement City’s goals, create development sensitive to human needs and values, facilitate efficient traffic circulation, and otherwise provide for the development of the Property in accordance with City’s best interests.

I. This Agreement will provide the Parties with: (i) a high-quality development on the Property subject to this Agreement; (ii) certainty in the type of development to be undertaken on the Property; and (iii) the assurance of adequate public facilities to ensure the good of the community. The development of new logistics and business park facilities is an integral part of Developer’s development plans for the Property, and the facilities are expected to bring employment and generate sales tax revenue for City.

J. For City, this Agreement serves to provide for: (i) employment growth anticipated to result from the Development of the Property, both during construction and use; (ii) an increase in tax revenues anticipated to result from the Development of the Property; (iii) the achievement of the goals and directives of its General Plan; and (iv) certain community benefit contributions, as set forth further herein.

SECTION 2.

DEFINITIONS.

For purposes of this Agreement, the following terms shall have the meanings given here another meaning is clearly indicated by the context in which it they are used:

A. “Agreement” means this Amended and Restated Development Agreement.

B. “City” means the City of Calimesa, a California general law city and municipal corporation.

C. “City Clerk” means the City Clerk of City.

D. “City Council” means the City Council of City.

E. “City Manager” means the City Manager of City.

F. “Community Benefit Contribution” or “CBC” means the payments described in Section 6 of this Agreement.

G. “Developer” means Mesa Verde Owner, LLC, a California limited liability company, and its subsidiaries and affiliates that are identified on the attached Exhibit C, and also where specified in this Agreement, successors in interest to all or any part of the Property.

H. “Development” means the improvement of the Property for the purposes of constructing structures, improvements and facilities on the Property to facilitate a mixture of commercial retail, single-family and multi-family residential uses, logistics and business

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park uses, private and/or public parks and open space in accordance with the Development Approvals and Subsequent Development Approvals, including the maintenance, repair and replacement of any building, structure, improvement, landscaping or facility after its construction and completion on the Property.

I. “Development Approvals” means any and all permits, licenses, consents, approvals, rights and privileges, and other actions approved or issued by City and on file in the City Clerk’s Office in connection with the Development on the Property on or before the Effective Date, including but not limited to:
(1) General Plan Amendments 04-03 approved by Resolution No. 2007-60 and 23-01, as approved by Resolution No. 2026-55;
(2) The 2007 Specific Plan, adopted by Resolution No. 2007-61, as further amended by the Mesa Verde Specific Plan, adopted by Ordinance No. 355, and as further amended by Zone Change 23-01 for SPA 23-01, approving the Mesa Verde Specific Plan Area 2 Amendment 2 by Ordinance No. 425;
(3) Tentative Tract Map No. 33931 and related grading plan, as amended and subject to the conditions imposed by Resolution No. 2026-54;
(4) Environmental Assessment 23-02 - Subsequent Environmental Impact Report for the Mesa Verde Specific Plan Area 2 – Amendment 2 Project (SCH#2004071045) (the “SEIR”), including the Mitigation Monitoring and Reporting Program (“MMRP”) and Statement of Overriding Considerations and Environmental Assessment 25-3 for a Subsequent Environmental Impact Report Consistency Checklist for the twelve implementing projects listed below approved by Resolution No. 2026-53;
(5) Development Plan Reviews 24-06, 24-07, 24-08, 24-09, 24-10, and 24-11 approved by Resolution No. 2026-57;
(6) Conditional Use Permits 24-05, 24-06, 24-07, 24-08, 24-09, and 24-10 approved by Resolution No. 2026-57;
(7) Tentative Tract Maps 39086, 39087, 39088, 39089, 39090, and 39091 approved by Resolution No. 2026-56; and
(8) Approved site plans and development plans for the Development of the Development on the Property as of the Effective Date.

J. “Development Fees” means and includes all fees charged by City in connection with the approval or issuance of permits for the development of property, including, without limitation: Development Impact Fees; any similar governmental fees, charges and exactions required for the development of the Property.

K. “Development Impact Fees” or “DIF” means and includes all City fees charged by City in connection with development of the Property for the purpose of defraying all or a portion

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of the cost of mitigating the impacts of the Property and development of the public facilities related to development of the Property, including without limitation any new categories of development impact fees adopted after the Effective Date of this Agreement. “Development Impact Fees” does not mean and excludes both: (i) processing fees and charges of every kind and nature imposed by City generally to cover the estimated actual costs to City of processing applications for the Development Approvals or Subsequent Development Approvals; and (ii) fees established by Federal, State, County, and multijurisdictional laws and regulations that City is required to enforce as against the Property or the Development. City’s current Development Impact Fee categories are listed on Exhibit D, which is attached hereto and incorporated by reference herein.

L. “Effective Date” means the date that this Agreement shall take effect as defined in Section 3 of this Agreement.

M. “Land Use Regulations” means all ordinances, resolutions, codes, rules, regulations and official written policies of City adopted and effective on the Effective Date governing the Development and use of the Property, including, without limitation, the permitted use of the Property, the density or intensity of use, the rate of development of land, subdivision requirements, the maximum height and size of proposed buildings, the provisions for reservation or dedication of land for public purposes, the design, improvement and construction standards and specifications applicable to the Development, and the Development Approvals. Land Use Regulations does not mean and excludes Development Impact Fees.

N. “Partial Assignment” means assignment of Development Agreement obligations to Planning Areas and infrastructure within a land sale.”
O. “Person” means any natural person, a partnership, a joint venture, an unincorporated association, a limited liability company, a corporation, a trust or any other legal entity, including governmental and quasi-governmental agencies, authorities, boards, bureaus, commissions, departments or other political subdivisions or political bodies.

P. “Property” means the real property described in Exhibit A and depicted on the Site Map in Exhibit B.

Q. “Public Improvements” means the streets, parks, infrastructure and other public facilities that are to be constructed and dedicated to City or other public entities and which are part of the proposed Development. Public Improvements include improvements both within and outside the boundaries of the Development.

R. “Reservation of Authority” means all authority and rights City reserves to itself, either expressly or impliedly, which are therefore excepted from and superior to Developer’s rights under this Agreement to develop the Property.

S. “Site Map” means the drawing of the site in its condition as of the Effective Date, attached as Exhibit B.

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T. “Subsequent Development Approvals” means any and all permits, licenses, consents, rights and privileges, and other actions approved or issued by City subsequent to the Effective Date of this Agreement in connection with the Development.

U. “Subsequent Land Use Regulations” means any and all ordinances, resolutions, codes, rules, regulations and official written policies of City adopted and effective after the Effective Date of this Agreement governing development and use of the Property that do not prevent development of the Property for the uses and to the density or intensity of development set forth in this Agreement.

V. “Transfer” means any lease, sale, encumbrance, assignment or other transfer of all or any portion of the Property or any interest therein.

W. “Transferee” means a Person that acquires an interest in the Property pursuant to a Transfer.

SECTION 3.

GENERAL TERMS.

A. Effective Date. This Agreement shall be effective, and the obligations of the Parties to this Agreement shall be effective on the date the Ordinance approving this Agreement becomes effective (the “Effective Date”), which date shall be confirmed in an Operating Memorandum approved in accordance with this Agreement.

B. Term. The term of this Agreement shall commence on the Effective Date and shall continue for fifteen (15) years (the “Term”), unless the Term is otherwise terminated, modified, or extended by circumstances set forth in this Agreement or by mutual consent of the Parties after the satisfaction of all applicable public hearing and related procedural requirements. The Agreement shall be eligible for two (2) separate five (5) year extensions based on the Development meeting certain development milestones (as described in more detail in Exhibit F below) so long as no uncured material default of this Agreement by Developer exists upon expiration of the initial Term, or upon the expiration of the first fiveyear extension.

C. Ownership of Property. Developer represents and warrants that it has a legal or equitable interest in the Property and therefore qualified to enter into and be a party to this Agreement under the Development Agreement Act.

D. Binding Effect of Agreement. The provisions of this Agreement, to the extent permitted by law, constitute covenants that shall run with the Property for the benefit thereof, and the benefits and burdens of this Agreement shall bind and inure to the benefit of the Parties and all successors in interest to the Parties.

E. Transfers. Any, each, and all Transferees shall have all of the same rights, benefits, duties and obligations of Developer under this Agreement subject to any exceptions in this Agreement and provided, however, Developer shall not Transfer any interest in the Property or any portion thereof, to any Transferee until all Public Improvements required

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by the Development Approvals and this Agreement have been completed and accepted by City unless Developer obtains City’s prior consent, which consent shall not be unreasonably withheld or delayed, so long as Developer provides City with no less than 45 days’ notice of such Transfer with a list of all Development Approvals, including Public Improvement Obligations included in such Transfer and the Transfer agreement between Developer and Transferee provides either:
(1) Developer and Transferee shall be jointly and severally liable for completion of the Public Improvements required by the Development Approvals and this Agreement in connection with the Transferred Property; or
(2) Transferee’s express agreement to assume all of Developer’s obligations for completion of the Public Improvements required by the Development Approvals and this Agreement in connection with the Transferred Property; in which case, however, Transferee must: (i) in the sole reasonable judgment of City, possess the necessary experience and financial capacity to complete the Public improvements required by the Development Approvals and this Agreement; and (ii) have obtained replacement bonds, reasonably acceptable to City, for all Public Improvements required by the Development Approvals and this Agreement (in which event, the City shall release Developer's corresponding Public Improvement bonds and Developer shall no longer be responsible for the duties and obligations under this Agreement that directly correspond to that portion of Developer’s interest in the Property that has been transferred, with the exception of those duties and/or obligations that expressly survive termination or expiration of this Agreement).

F. Amendment of Development Agreement. This Agreement may be amended or canceled, in whole or in part, only by mutual written consent of the Parties and in accordance with the requirements of City’s Municipal Code and the Development Agreement Statute, or successor provisions thereto.

G. Operating Memoranda. Implementation of this Agreement will require a close degree of cooperation between City and Developer, and the Parties anticipate it may become necessary to interpret or clarify provisions of this Agreement to ensure its proper implementation and proper implementation of the Development Approvals. The Parties may therefore, from time-to-time memorialize such interpretations, clarifications, and other related agreements in one or more operating memoranda without necessarily amending this Agreement; provided, however: (i) any such operating memorandum must be agreed to by both Parties in writing that references this paragraph and in a form acceptable to the City Attorney, and (ii) operating memoranda shall not be uses to avoid any legal requirement for amending this Agreement or any Development Approval. The City Manager may approve any operating memorandum on behalf of the City. Any corporate officer of Developer, or any person designated in writing by such a corporate officer, may approve any operating memorandum on behalf of Developer. Unless otherwise required by law or this Agreement, the Parties may approve any operating memorandum without prior notice or hearing, public or otherwise. Following execution of any operating memorandum, it shall be attached to this Agreement as an addendum thereto.

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H. Cancellation and Termination, Generally. This Agreement may be cancelled, in whole or in part, by mutual consent of the Parties or their successors in interest in accordance with Government Code section 65867. Unless terminated earlier, pursuant to the terms of this Agreement, this Agreement shall automatically terminate and be of no further effect upon the expiration of the Term, including any extensions thereof. Termination of this Agreement, for any reason, shall not, by itself, affect any right or duty arising from entitlements or approvals set forth under the Development Approvals.

I. Termination Upon Sale of Residential Lots. This Agreement shall terminate with respect to any residential lot that has been finally subdivided and developed for residential use and is individually (and not in “bulk”) either sold or leased for a term not less than one year to a member of the public or other ultimate user and such lot shall be released and no longer subject to this Agreement without the execution or recordation of any further document.

Termination of this Agreement with respect to any individual residential lot pursuant to this paragraph shall neither terminate this Agreement as to the remainder to the Property nor relieve Developer of any then-remaining obligation under this Agreement.

J. Termination Upon Sale of Business Park Lots. This Agreement shall terminate with respect to any Business Park lot that has been finally subdivided and developed for business park use and is individually (and not in “bulk”) either sold or leased for a term not less than one year to a member of the public or other ultimate owner or user and such lot shall be released and no longer subject to this Agreement without the execution or recordation of any further document. Termination of this Agreement with respect to any individual business park lot pursuant to this paragraph shall neither terminate this Agreement as to the remainder to the Property nor relieve Developer of any then-remaining obligation under this Agreement.

SECTION 4.

DEVELOPMENT RIGHTS AND LIMITATIONS.

A. Right to Develop. Developer shall have a vested right to develop the Property in accordance with, and to the extent of, the applicable Land Use Regulations, Development Approvals, Subsequent Development Approvals (if any), and this Agreement.

B. Effect of Agreement on Land Use Regulations. Except for City’s Reservation of Authority or as otherwise provided under this Agreement, the density and intensity of use of the Property, the rate or timing of development, the maximum height and size of proposed buildings, and the design, improvement and construction standards and specifications applicable to the Development, shall be those contained in the Development Approvals, Subsequent Development Approvals (if any), those Land Use Regulations not inconsistent with the Development Approvals, and this Agreement.

C. City Cooperation. City staff shall work cooperatively and in good faith with Developer to assist in coordinating the processing and consideration of all necessary permits, entitlements and approvals, including but not limited to Subsequent Development Approvals. To the extent City or City’s designee is unable to process and consider permits,

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entitlements and approvals in a timeframe acceptable to Developer, Developer may request, and the City will consider, the hiring of an outside contractor to assist City or City’s designee in the processing and consideration of all necessary permits, entitlements and approvals. If approved, the City shall contract for those services at Developer’s sole expense.

D. Subdivision Map(s). In accordance with California Government Code section 66452.6, any tentative subdivision map included in the Development Approvals or Subsequent Development Approvals (if any), shall be extended without further required action until the end of the Term of this Agreement, including any extensions thereof.

E. Subsequent Development Approvals. City shall accept all applications for Subsequent Development Approvals for processing, review, and action. City staff shall use reasonable efforts to process such applications in an expeditious manner, taking into account City’s staffing levels. City shall not modify, rescind, or revoke any Subsequent Development Approval except as otherwise allowed by law. Environmental review of applications for Subsequent Development Approvals shall be conducted in accordance with CEQA.

Notwithstanding any other provision of this Section, this Agreement shall not prevent City, in acting on Subsequent Development Approvals, from applying Subsequent Land Use Regulations that do not conflict with the Development Approvals, nor shall this Agreement prevent City from denying or conditionally approving any Subsequent Development Approval on the basis of any Subsequent Land Use Regulations that do not conflict with the Development Approvals.

F. Amendments to Development Approvals. In the event Developer applies for a modification for any of the Development Approvals, City shall review such application for compliance with the Land Use Regulations; provided, however, that Developer shall only acquire a vested right in City’s approval of any such application only upon amendment of this Agreement or as may otherwise be provided by law.

G. No Obligation to Develop. Nothing in this Agreement shall be construed to obligate Developer to implement and construct the Development; provided, however, in the event Developer does construct the Development, Developer shall: (i) commence and complete the Development in accordance with this Agreement (including, without limitation, the Land Use Regulations, Development Approvals, and Subsequent Development Approvals (if any), inclusive of any phasing plan included therein) and in compliance with all laws, regulations, rules, and requirements of all non-City governing entities with jurisdiction over the Property; and (ii) use its best good faith efforts to develop a medical, educational, or professional office use within Planning Area 3 of the Development.

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H. Timing of Development. Except as set forth in Agreement and regardless of any future enactment, by initiative or otherwise, Developer may, in its discretion, develop the Property in one phase or in multiple phases in a manner not inconsistent with the SEIR and MMRP at such times as Developer deems appropriate within the exercise of its subjective business judgment. City agrees that Developer may apply for and receive permits, maps, occupancy certificates and other entitlements to develop and use the Property at any time, provided that the application is made in accordance with this Agreement and the Land Use Regulations. Since the California Supreme Court held in Pardee Construction Company v.

City of Camarillo (1984) 37 Ca1.3d 465, that the failure of the parties therein to provide for the timing of development resulted in a later adopted initiative restricting the timing of development to prevail over such parties, it is the intent of City and Developer to cure any possible deficiency in this Agreement arising from the same legal infirmity by acknowledging and providing that Developer shall have the right to develop the Development and construction on the Property in such order, at such rate, and at such times during the Term of this Agreement as Developer deems appropriate within its subjective business judgment.

I. City’s Reservation of Authority. City’s Reservation of Authority under this Agreement includes the authority and ability after the Effective Date to enact and apply to the Development and the Property:
(1) Ordinances, regulations, and official policies (including amendments to the Land Use Regulations) that are not in conflict with the Development Approvals and this Agreement, for which purposes, a “conflict” shall exist if, among other things, City’s rule, regulation, or policy is adopted which alters the rate, type, manner, density, timing, or sequencing of the Development unless Developer has given written consent to the application of the rules, regulations, and policies to the Development.
(2) Processing fees and charges of every kind and nature imposed by City generally to cover the estimated actual costs to City of processing applications for Subsequent Development Approvals; and
(3) Procedural regulations consistent with this Agreement relating to hearing bodies, petitions, applications, notices, findings, records, hearings, reports, recommendations, appeals and any other matters of procedure; and (4) Any and all new health and safety regulation that become applicable to the City after the Effective Date pursuant to state and federal law, including changes adopted by the City Council in the California Building Code, California Residential Building Code, California Fire Code, California Plumbing Code, California Mechanical Code, or California Electrical Code, California Green Building Standards Code, California International Property Maintenance Code, California Energy Code, California Historical Building Code, California Existing Building Code, Uniform Housing Code, California Administrative Code and Uniform Code for the Abatement of Dangerous Buildings and similar uniform codes as required by and in accordance with State law; and

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(5) Rules, regulations and official policies governing: (i) the conduct of businesses, professions, and occupations; (ii) taxes and assessments; (iii) the control and abatement of nuisances, including requirements to ensure public safety and made applicable throughout the City; (iv) the granting of encroachment permits and the conveyance of similar rights and interests that provide for the use of or the entry upon public property; and (v) the exercise of the power of eminent domain. (6) Federal, state, county and multi-jurisdictional laws and regulations that City is required to enforce as against the Property or the Development, whether or not the laws and regulations are in conflict with the Development Approvals.

J. Unforeseen Emergencies. Any City action, enactment, or decision taken or made response to a future, unforeseen public health or safety emergency, shall, with respect to the Development, be implemented in the manner that has the least adverse impact, if any, on Development of the Property in accordance with the Development Approvals.

K. Moratorium. It is the mutual intent of Developer and City intent that no moratorium or other limitation (whether relating to all or part of the Development, or enacted by initiative or otherwise) affecting parcel or subdivision maps (whether tentative, vesting tentative or final), development plan approvals, site plans, construction permits, occupancy certificates, or other entitlements for use approved, issued or granted within City, or portions of City, shall apply to the Development to the extent the moratorium or other limitation would restrict Developer’s right to develop the Property as provided by this Agreement in such order and at the rate as Developer deems appropriate as limited or regulated by this Agreement.

L. Effect of Federal, State, of other Local Agency Law. Notwithstanding Developer’s vested rights under this Agreement, Development of the Property shall comply with all applicable provisions of federal law, state law, or local law enacted by a local agency other than City (collectively “Other Laws”). In the event Other Laws enacted after the Effective Date, prevent or preclude compliance with one or more of the provisions of this Agreement, the provisions of this Agreement shall be modified or suspended to the extent necessary to comply with such Other Laws, and remainder of this Agreement shall remain in full force and effect.

SECTION 5.

DEVELOPMENT OBLIGATIONS AND REQUIREMENTS.

A. Application/Processing Fees. As needed to process Subsequent Development Approvals, Developer shall pay the application and processing fees customarily imposed on the type of entitlement and/or permit sought at the rate, and in the amount, imposed by City pursuant to the fee schedule, resolution or ordinance in effect at the time the application is deemed complete and accepted by City for action, which fees are designed to reimburse City’s expenses attributable to processing the applications for Subsequent Development Approvals. As set forth further in Section 4.C below, City staff shall work cooperatively with Developer to process all Subsequent Development Approvals.

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B. Development Impact Fees.
(1) Generally. Developer shall pay all DIF applicable to the Development that were formally adopted and existing as of the Effective Date of this Agreement. City may from time-to-time adopt or amend any DIF and/or adjust any DIF rate, but the Development shall be subject only to those DIFs adopted by the City prior to the Effective Date. Developer shall have no vested right to the DIF rates in effect as of the Effective Date. Except as otherwise provided in this Agreement, Developer shall pay all applicable DIF upon issuance of any building permit for the Development at rate in effect as of the date the permit is issued. (2) Prepayment of General Government Facilities DIF.
a. Developer agrees it shall pay City a total of Three Million Dollars ($3,000,000) as a non-refundable prepayment of City’s General Government Facilities DIF at the earlier of eighteen (18) months after the Effective Date or upon issuance of the first grading permit for the Development.
b. City shall apply Developer’s prepayments as credits against Developer’s General Government Facilities DIF obligation as calculated at the time any building permit for the Development is issued based on the then-applicable DIF rate. Once Developer’s prepayments are exhausted, Developer shall be responsible for payment of the balance of its General Government Facilities DIF obligation in accordance with Section 5.B(1).
(3) Prepayment of Street and Traffic Facilities DIF.
a. Developer agrees it shall pay City a total of Fifteen Million Dollars ($15,000,000) as a non-refundable prepayment of City’s Streets and Traffic Facilities DIF in four installments as follows:
(i) One Million Dollars ($1,000,000) paid not later than issuance of the first grading permit for the Development.
(ii) Four Million Dollars ($4,000,000) paid not later than issuance of the first COO in Phase 1 of the Business Park in the Project. (iii) Five Million ($5,000,000) paid not later than issuance of the first COO in Phase 2 of the Business Park zoning of the Development. (iv) Five Million ($5,000,000) paid not later than issuance of the first COO in Phase 3 of the Residential zoning of the Development. b. City shall apply Developer’s prepayments as credits against Developer’s Street and Traffic Facilities DIF obligation as calculated at the time any building permit for the Development is issued based on the then-applicable DIF rate. Once Developer’s prepayments are exhausted, Developer shall be

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responsible for payment of the balance of its Streets and Traffic Facilities DIF obligation in accordance with Section 5.B(1).
(4) Exemption, Inclusionary Housing Units. All deed-restricted residential units within the Development constructed in accordance with the requirements of Calimesa Municipal Code Chapter 18.130 shall be exempt from payment of all otherwise applicable DIF.

C. Inclusionary Housing. In accordance with Calimesa Municipal Code Chapter 18.130, the Development is obligated to construct five percent (5%) of the Development’s total residential housing units, or 183 units, as inclusionary units restricted for owner occupancy, or as rental units, by low-income households. A low-income household means a household whose income does not exceed eighty percent (80%) of the area median income, as published annually by the California Department of Housing and Community Development. To ensure that Developer’s Chapter 18.130 obligations are met with respect to inclusionary housing, the Parties agree that the inclusionary units shall be applied for in conjunction with the approval of the first discretionary permit requested in Planning Areas 9 through 12 in the Development (tentative map or Development Plan Review, whichever is submitted first). To the Parties’ mutual satisfaction, the units may either be provided as:
(1) One inclusionary housing project of no less than 183 deed restricted units in Planning Area 9 (Phase 1) or Planning Area 10 (Phase 2), or; (2) The required 183 inclusionary units shall be mixed into market rate development projects and distributed evenly among Planning Areas 9 through 12 (45 units required in Planning Area 9, 46 units required in Planning Area 10, 46 units required in Planning Area 11, and 46 units required in Planning Area 12).

Construction of inclusionary units shall not be deferred to future phases.

D. Public Improvements.
(1) Generally. Developer shall, at its sole cost and expense, design, construct, install, and finally complete the Public Improvements described in the Development Approvals. The design, construction, installation and final completion of the Public Improvements shall be in conformance with the Development Approvals, City standards in effect as of the date of this Agreement, and Public Improvement plans approved by the City Engineer. For abundance of clarity, if there are discrepancies between the Development Approvals and the City standards, the Development Approvals will govern. Except as otherwise provided in this Agreement, the Public Improvements shall be completed at such time as set forth in the Development Approvals. Developer and City shall enter into City’s standard subdivision improvement agreement, including surety bonds, or an applicable modification thereof, for the completion of the Public Improvements.

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(2) County Line Road. Developer shall be responsible for improving the existing County Line Road from County Line Lane to the Development boundary, as set forth in Exhibit E, prior to first residential certificate of occupancy and in accordance with the Development Approvals. Developer agrees that County Line Road shall serve as the primary entrance to the residential portion of the Development.
(3) Emergency Access Route. Emergency Access Route: 1) Developer shall establish and allow emergency access to and within the Property prior to issuance of the first building permit within the Development. 2) Developer shall also be responsible for construction of a permanent emergency access route via Live Oak Canyon Road prior to issuance of the certificate of occupancy for the 200th residential unit within the Development. This emergency access route will consist of improvements acceptable to the Fire Department and City Engineer, such as vegetation clearing, minor grading, erosion control, and ground surface improvements, as required.

This does not include full construction of the roadway required by MMRP. 3) MMWF-2. Prior to the issuance of the first certificate of occupancy after Phase 2, of the Residential Zoning of the Development, the Project Applicant/Developer shall provide proof of the completion of an emergency access roadway from the Project site’s Street A/Street E intersection through the Yucaipa Valley Water District property, northwest to Live Oak Canyon Road. This roadway shall be designed to appropriate standards for all-weather access for emergency vehicles as determined by the cities of Calimesa and Yucaipa Fire Departments. (4) Sandalwood/I-10 Interchange. Developer shall be responsible for payment of all costs related to Caltrans processing requirements, including Project Study Report (“PSR”); Project Approval and Environmental Document (“PA&ED”); plans, Specifications and Estimates (“PS&E”); and right-of-way acquisition by City, and construction of the I-10/Sandalwood Drive interchange. The terms, construction and cost obligations, and timing for construction are fully set forth in Exhibit H attached hereto and incorporated by reference herein. To the extent that Developer’s costs exceed its fair share obligation, Developer shall be entitled to reimbursement for such excess work, but only to the extent that the City actually receives or collects fees, assessments or exactions from other benefitting projects within the ten (10) years after Developer incurred the cost to be reimbursed, and only in the proportionate amount that Developer paid and/or otherwise funded or constructed beyond the Development’s fair share obligation. Developer’s right to reimbursement under this paragraph shall not include any right to reimbursement from TUMF or for any project constructed using TUMF.
(5) County Line Road/I-10 Interchange.
a. Interim Traffic Signals. Developer shall be responsible for payment of Four Hundred Ninety Two Dollars ($492,000) prior to issuance of any Certificate of Occupancy for the Development in satisfaction of its fair share obligation for construction of traffic signals at the County Line/I-10 Interchange and in accordance with that Fair Share Agreement and Memorandum of

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Understanding for the County Line Rd/Interstate 10 Freeway Interchange Interim Traffic Signal Project dated November 12, 2024 between the City of Calimesa and the City of Yucaipa, as set forth in Exhibit I. b. Ultimate Interchange Improvements. Developer shall be responsible for payment of all costs related to Caltrans processing requirements as set forth in Exhibit I attached hereto and incorporated by reference herein. To the extent that Developer’s costs exceed its fair share obligation, Developer shall be entitled to reimbursement for such excess work, but only to the extent that the City actually receives or collects fees, assessments or exactions from other benefitting projects within the ten (10) years after Developer incurred the cost to be reimbursed, and only in the proportionate amount that Developer paid and/or otherwise funded or constructed beyond the Development’s fair share obligation. Developer’s right to reimbursement under this paragraph shall not include any right to reimbursement from TUMF or for any project constructed using TUMF.

E. Easements. City agrees to grant to Developer such easements over City property as are reasonably needed for the development of the Property, provided the easements do not unreasonably impede or interfere with public services provided on the properties.

Developer agrees to grant to City such easements over the Property as are reasonably needed for the construction and maintenance of public improvements, except to the extent the easements would have a material adverse economic effect on the Development. Such easements granted by either Party shall be at no additional cost to the grantee.

F. Water Supply. All subdivision maps included in the Development, including without limitation those expressly included in the Development Approvals, must comply Government Code section 66473.7 related to the availability of water supplies, and any required written verification for any such subdivision must be valid and in effect at the time of final map approval so as to continue to verify that sufficient water supply is available.

G. Developer’s Maintenance and Operation Obligations. Developer, or its successors or assigns (including but not limited property owner associations, if any) shall be responsible for the cost to operate and maintain Public Improvements as set forth in Table 7-2 of the Specific Plan.

H. Infrastructure Financing Mechanisms. Developer may, from time to time, request City to establish one or more assessment, landscaping and lighting, maintenance and/or community facilities districts (“Public Financing Mechanism”) to finance Public Improvements, services and/or fees that may be required in connection with the Development, including but not limited to issuing bonds, subject to applicable state and federal law and to the Land Use Regulations. Such requests will be considered by the City.

If the formation, annexation to, or establishment of, any Public Financing Mechanism is requested or petitioned by Developer, and therefore considered by the City, Developer shall bear the full cost of creating, or annexing to, any and all Public Financing Mechanisms, as set forth further in the City’s Goals and Policies for District Formation (“CFD Policy”).

Subject to the availability of funds from the Public Financing Mechanism, Developer may

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be reimbursed by the Public Financing Mechanism for the fees so paid. To the extent of any conflict between this Agreement and CFD Policy, this Agreement shall prevail.

I. Public Services CFD Annexation. Developer shall file a Petition and Waiver with City to initiate annexation to the City’s existing community facilities district (“CFD”) known as City of Calimesa Public Services Community Facilities District No. 1 (Law Enforcement, Fire, Paramedic and Park Maintenance Services) (the “Services CFD”). The Services CFD was formed in 2006 pursuant to the Mello-Roos Community Facilities Act of 1982 (Gov.

Code, §§ 53311 et seq.), to fund the following services within a development: (1) police protection services; (2) fire protection/paramedic services; and (3) park maintenance services, which services shall be in addition to those provided in the territory prior to such annexation. No assessment shall be levied on a lot or parcel in the Development until a certificate of occupancy has been issued for that lot or parcel. The special tax levied under the Services CFD shall be in an amount established by the City Council as recommended in the Rate and Method of Apportionment applicable to the Services CFD as necessary to pay for such services. Developer shall pay for all costs associated with the annexation to the Services CFD. Developer shall initiate such annexation proceedings within twelve (12) months of the Effective Date of this Agreement, and the annexation to the Services CFD must be completed prior to the issuance of the first Certificate of Occupancy for the Development.

J. Joint Facilities; Agreements. Developer and City acknowledge that other governmental entities providing services to the Property may request that City enter into a Joint Community Facilities Agreement with the entity(ies), as provided for under Government Code section 53316.2, for the financing of the Public Improvements, other City facilities and services, and the facilities of the other governmental entity(ies), in connection with the creation of a community facilities district by such other governmental entity(ies). Such entities may include, but are not limited to, the Yucaipa Calimesa Joint Unified School District and the Yucaipa Valley Water District. The Parties shall work together in good faith to accommodate such financing, and the City shall negotiate in good faith with the entity(ies) on such Joint Community Facilities Agreements. Developer and City shall work together in good faith to accommodate the joint use by private and/or governmental entities of facilities located on public parks.

K. TUMF Fees.
(1) Developer acknowledges and agrees that Development of the Property shall be subject to the Western Riverside County Transportation Uniform Mitigation Fee (“TUMF”) Program, as codified in Chapter 18.105 (“TUMF Program”) of the Calimesa Municipal Code. Developer further acknowledges and agrees Developer is required to mitigate all traffic impacts attributable to the Development regardless of whether TUMF obligations are sufficient to mitigate these impacts. (2) Developer’s TUMF payments shall be due as of the date of issuance of each certificate of occupancy at the rate in effect as of the date such time. If Developer’s TUMF eligible mitigation costs are less than Developer’s required TUMF obligations, Developer shall pay the greater amount.

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(3) Subject to the approval of the Western Riverside Council of Governments (WRCOG), Developer shall be entitled to execute a separate TUMF credit agreement (or agreements, as the case may be) with the City for required off-site improvements that are already found in the TUMF network and for which Developer had contributed or will contribute funding toward design and/or engineering. Developer must adhere to all TUMF credit agreement requirements including but not limited to the fee expenditure requirement (cash flow) and the Western Riverside Council of Governments’ Administrative Plan. (4) Developer shall be entitled to credits as are available pursuant to the terms of the TUMF Program and the Parties shall enter into a TUMF Program credit agreement (or agreements), which the Parties agree shall be entered into by the Parties concurrent with approval of the master tentative subdivision map covering the entire Development, for Developer constructed off-site required improvements that are contained in the TUMF network, including but not limited to the County Line Road interchange improvements and the Sandalwood Interchange improvements discussed below subject to the Maximum TUMF Share as presented current WRCOG nexus study in place at the time of improvements. In the event the Parties have used their best good faith efforts to enter into a TUMF Program credit agreement but are unable to do so concurrent with the approval of the first subdivision map covering the entire Development due to circumstances beyond the Parties’ control, the City’s consideration of the tentative map shall not be delayed or withheld, and the Parties will enter into such agreement(s) prior to recordation of the first Final Map for the Development.
(5) The Parties agree that the County Line Road interchange improvements and the Sandalwood Interchange improvements are TUMF eligible facilities. The Parties further acknowledge that the City is pursuing various grant opportunities to help fund the County Line Road interchange improvements, and that if City is successful in obtaining one or more grants for this purposes it may be necessary for Developer to prepay certain TUMF obligations. The amount(s) and timing of such prepayment(s), if any, shall be negotiated by the Parties and memorialized in a TUMF Program credit agreement (or agreements) discussed above.

L. MSHCP Fees. The Multi-Species Habitat Conservation Plan (“MSHCP”) fee adopted pursuant to the Western Riverside County, Regional Conservation Authority Program, as codified in Chapter 16.05 of the Calimesa Municipal Code, shall be imposed upon the Development within the Property at the rate in effect as of the date of issuance of each construction permit for the Property. If allowed by the Western Riverside County Regional Conservation Authority, Developer shall be entitled to credits as might be available pursuant to the terms of the MSHCP fee or any MSHCP fee credit agreement entered into by the City and approved by the Western Riverside County Regional Conservation Authority.

M. Fire Apparatus Fair Share Contribution. Developer acknowledges and agrees that the Development conditions of approval require Developer to provide a fair share contribution to the City’s acquisition of a specialized fire apparatus (the “Fire Apparatus”). Developer

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agrees that its fair share contribution shall be calculated at the time the payment is due and memorialized through an Operating Memorandum, which amount shall be paid upon first COO for any industrial building within the Development.

SECTION 6.

COMMUNITY BENEFIT CONTRIBUTIONS
A. Financial Contributions and Dedications. In consideration of the benefits received by Developer pursuant to the terms of this Agreement, Developer shall provide City with the community benefit contributions (“CBCs”) in the form of fees and land dedications set forth in this Section. CBCs provided by Developer pursuant to this Section are not intended to be and are not exactions or Development Impact Fees, and shall by be used by City for the benefit of City and City’s residents as determined in the City Council’s sole and absolute discretion and in accordance with this Section. Developer shall not be entitled to any fee credit or reimbursement for the CBCs provided under this Section unless otherwise expressly stated in this Agreement.

B. Development Agreement CBC. Developer shall pay City a Development Agreement CBC (“Development Agreement CBC”) in the amount of Five Hundred Thousand Dollars ($500,000) for the initial 15-year Term of the Agreement. The Development Agreement CBC shall be in addition to all applicable administrative, application and processing fees in connection with the Development Approvals and this Agreement. above. The Development Agreement CBC shall be paid as follows:
(1) Two hundred thousand dollars ($200,000) within five (5) business days after all applicable appeal and challenge periods (defined as ninety (90) days if the City files a Notice of Determination in conjunction with the adoption of this Agreement) have expired for a third party to bring a legal challenge, lawsuit, or claim seeking to overturn or challenge the City’s approval of the Development Approvals (or, in the event a legal challenge, appeal, claim or lawsuit is filed seeking to challenge or overturn one or more of the Development Approvals, the Development Agreement CBC shall become due and payable within five (5) business days of resolution of such legal challenge, appeal, claim or lawsuit is fully resolved in City’s favor); and (2) Two hundred thousand dollars ($200,000) on or before the eighteen (18) month anniversary of the Effective Date of this Agreement; and (3) One hundred thousand dollars ($100,000) on or before the third anniversary of the Effective Date of this Agreement.

C. Development Agreement Extension CBC. Developer shall pay an additional One Hundred Twenty-Five Thousand Dollar ($125,000) (each an “Extension CBC”) for each five-year extension of the Term of this Agreement obtained by Developer under Section

3.B. Developer shall not be obligated to seek or obtain one or both five-year extensions, and nothing herein requires Developer to make an Extension Payment to the City unless such payment is in conjunction with Developer requesting and obtaining a five-year extension of the Term of this Agreement under Section 3.B. above. In the event Developer

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requests and obtains the first five-year extension of the Term of this Agreement, the first Extension Payment in the amount of $125,000 shall be due and payable to the City within thirty (30) calendar days of Developer’s receipt of the City’s written notice granting the first five-year extension. In the event Developer then requests and obtains a second fiveyear extension of the Term of this Agreement under Section 3.B. above, the second Extension Payment in the amount of $125,000 shall be due and payable within thirty (30) calendar days of Developer’s receipt of the City’s written notice granting the second fiveyear extension of the Term of this Agreement.

D. Residential CBC.
(1) Amount, Phasing. Developer (including Developer’s successors and assigns) shall pay to City a Residential CBC (“Residential CBC”) for each single-family residential dwelling unit constructed within the Development. The Residential CBC shall be paid on a per-unit basis upon issuance of building permit for each applicable residential unit in an amount according to the following schedule:
a. $500 per unit for Residential Units 1 through 730.
b. $550 per unit for Residential Units 731 through 1,460. c. $600 per unit for Residential Units 1,461 through 2,190. d. $650 per unit for Residential Units 2,191 through 2,920. e. $700 per unit for all Residential Units after the 2,920th. (2) Exemption, Inclusionary Housing Units. All deed-restricted residential units within the Development constructed in accordance with the requirements of Calimesa Municipal Code Chapter 18.130 shall be exempt from the Residential CBC.
(3) Survival. All unsatisfied Residential CBC payment obligations shall survive any partial termination of this Agreement pursuant to Section 3.I.

E. Business Park Zone CBC. Developer (including Developer’s successors and assigns) shall pay to City an Industrial CBC (“Industrial CBC”) for each industrial building in the Business Park Zone in accordance with the following:
(1) Amount. Except as otherwise provided in the following paragraph (2), the Industrial CBC for each industrial building constructed in the Business Park zone in the Development shall be paid on a per-square-foot basis upon issuance of a COO for each applicable unit in the amount of one dollar and fifty cents ($1.50) per square foot.

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(2) Planning Area 3, Medical, Educational, and Professional Office Uses. a. Planning Area 3 (PA 3) is an approximately 17.5-gross-acre parcel designated as Business Park that has an anticipated maximum net usable building area of 240,000 square feet.
b. Developer agrees to use its commercially reasonable efforts to develop PA 3 as medical, educational, or professional office use(s). The Industrial CBC will be waived for each unit within PA 3 constructed and occupied by medical, education, or professional office(s).
c. If Developer elects to build industrial building(s) on PA 3, the Industrial CBC for each building constructed in Planning Area 3 shall be paid at the rate of five dollars ($5.00) per square foot prior to issuance of a COO for each applicable unit.
d. If the use of the building(s) changes within 5 years of initial COO, the CBC fee of $5.00 per square foot will be required prior to issuance of a Conditional Use Permit or Certificate of Occupancy, which ever applies to the change in use.
(3) Survival. All unsatisfied Industrial CBC payment obligations shall survive any partial termination of this Agreement pursuant to Section 3.J.

F. Tribal Cultural Landscape Study CBC. Within ninety (90) calendar days of the Effective Date of this Agreement, Developer shall pay City one-time lump sum amount of Fifty Thousand Dollars ($50,000) as a Tribal Cultural Landscape Study Community Benefit Contribution (“Tribal Cultural Landscape Study CBC”), which City shall contribute to the Morongo Band of Mission Indians to fund a Tribal Cultural Landscape Study.

G. Offsite Park/Open Space CBC. On or before the issuance of the second COO for an industrial building in the Business Park area of the Development, Developer shall pay City a one-time lump sum amount of Three Million Dollars ($3,000,000) as an Offsite Park/Open Space Community Benefit Contribution (“Offsite Park/Open Space CBC”), which City shall, in its sole discretion, use for acquisition and/or development of new offsite park or open space areas.

H. Welcome Sign CBC. Within ninety (90) calendar days after the completion of the roundabout at Calimesa Boulevard and County Line Road, as designed and constructed by City, or prior to issuance of the second COO for an industrial building in the Business Park area of the Development (whichever occurs first), Developer shall pay City a one-time lump sum of Two Hundred Fifty Thousand Dollars ($250,000) as a Welcome Sign Community Benefit Contribution (“Welcome Sign CBC”), which City shall, in its sole discretion, use toward design, acquisition, engineering and/or construction of a “Welcome to Calimesa” sign (the “Welcome Sign”) at a location of the City’s choice on Calimesa Boulevard. Developer shall not be responsible under this Agreement for any costs related to the Welcome Sign, including but not limited to any necessary right-of-way acquisition, beyond the one-time Welcome Sign CBC payment.

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I. Planning Area 56 Land Dedication. Developer shall include on Developer’s first final subdivision map for the Development an irrevocable offer of dedication in favor of City for an approximately 5.3-acre parcel in Planning Area 56 (the “City Parcel”) at no cost to City, which City may, in its sole discretion, use for any valid public purpose subject only to a deed restriction acknowledging the designation of Planning Area 56 for Public Facilities (PF) and intended to accommodate a wide range of potential City facilities, including administrative offices, equipment storage, a Public Works yard, fire station, or other ancillary public uses as determined by the City.

J. Roberts Road Bridge
(1) Developer shall contribute fifty percent (50%) toward the total and actual cost incurred for the design, construction, installation, and finally completion of the proposed Roberts Road Bridge, as specified in Exhibit J, on or before the earliest occurrence of any of the following events: (i) issuance of a COO for the second industrial building in Phase 2 of the Business Park zoning of the Development; (ii) issuance of a COO for the 2,000th residential building permit within the Development; or (iii) start of construction of the Roberts Road Bridge, whichever occurs first. In 2018, the total bridge cost was estimated at $8.8 million. City shall provide Developer with an estimate of Developer’s contribution for the Roberts Road Bridge based on the estimated total cost of completion of the Roberts Road Bridge at the time of payment. If fifty percent (50%) of the actual total cost ultimately exceeds the estimate used at the time of Developer’s contribution, then Developer shall pay City the difference no later than thirty (30) days after completion and City’s acceptance of the Roberts Road Bridge. (2) City shall apply Developer’s contributions for the Roberts Road Bridge as credit against Developer’s Street and Traffic DIF obligation as calculated at the time any building permit for the Development is issued based on the then-applicable DIF rate. Once Developer’s credits from its contribution are exhausted, Developer shall be responsible for payment of the balance of its Street and Traffic DIF obligation in accordance with Section 5.B(1).

SECTION 7.

INDEMNIFICATION.

A. Generally. To the maximum extent permitted by law, Developer must defend, indemnify, and hold City and its elected officials, officers, contractors serving as City officials, agents, and employees ("Indemnitees") harmless from liability for damage and/or claims for damage for personal injuries, including death, and claims for property damage, and with respect to all other actions and liabilities for damages caused or alleged to have been caused by reason of Developer's activities in connection with the Development and/or other activities on the Property, and which may arise from the direct or indirect operations of Developer or those of Developer's contractors, agents, tenants, employees, or any other persons acting on Developer's behalf, which relate to the Development and/or other activities on the Property; except to the extent caused by the active negligence or

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intentional misconduct of Indemnitees. This indemnity provision applies to all damages and claims for damage, as described above, regardless of whether the City prepared, supplied, or approved the plans, specifications, or other documents for the Development, including any associated public or private improvements.

B. Prevailing Wages. Without limiting the generality of paragraph A, Developer shall also defend, indemnify, and hold the Indemnitees harmless from and against any and all claims, liabilities, losses, damages, costs, and expenses arising from or related to any claims that Developer or Developer's contractors are required to pay prevailing wages pursuant to Labor Code section 1720 et seq., in connection with Development of the Property.

C. Third Party Legal Challenges. Without limiting the generality of paragraph A, in the event of any legal action challenging the validity, applicability, or interpretation of any provision of this Agreement, any of the Development Approvals, the Subsequent Development Approvals or any other entitlements pertaining to the Property, including, the City's General Plan, Zoning Code, or any other supporting document relating to the Development, Developer shall also indemnify, defend, and hold harmless the Indemnitees with respect to all liability, costs, and expenses incurred by, and/or awarded against, the City or any of the Indemnitees in relation to such action.

D. City’s Defense. With respect to any legal action or claim falling within Developer's defense, indemnity, and hold harmless obligations, the City shall have the right to select counsel of its choice and the Parties shall cooperate in the defense. Developer shall provide to City, and maintain for the duration of such action or claim, a cash deposit in an amount or amounts determined by the City Attorney to be reasonably necessary to cover City's legal fees, costs, and expenses. Developer shall not be entitled to a refund of funds expended from the deposit regardless of the outcome of the action or claim. City shall refund to Developer any unexpended funds from the deposit within thirty (30) days of any final disposition or full and complete settlement of the action or claim.

E. Developer’s Right to Proceed. In the event of any litigation challenging the effectiveness of this Agreement, or any portion hereof, this Agreement shall remain in full force and effect while such litigation, including any appellate review, is pending, unless otherwise ordered by the court. Absent issuance of an injunction, Developer may elect to continue Development under this Agreement pending completion of the litigation but it shall do so at its sole risk, and City shall not be liable for any loss suffered as a result thereof.

F. Survival. This Section shall survive the expiration or earlier termination of this Agreement.

SECTION 8.

COMPLIANCE REVIEW AND ADMINISTRATION
A. Periodic Review. City and Developer shall review this Agreement at least once every 12- month period from the Reference Date. City shall notify Developer in writing of the date for review at least thirty (30) calendar days prior thereto. The periodic review shall be conducted in accordance with Government Code section 65865.1.

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B. Good Faith Compliance. During each periodic review, Developer shall be required to demonstrate good faith compliance with the terms of this Agreement. Developer agrees to furnish reasonable evidence of good faith compliance as City, in the exercise of its reasonable discretion, may require. If requested by Developer, City agrees to provide to Developer, a certificate that Developer, or a duly authorized Transferee, is in compliance with the terms of this Agreement, provided Developer reimburses City for all reasonable and direct costs and fees incurred by City with respect thereto.

C. Failure to Conduct Annual Review. The failure of City to conduct the annual review shall not be a default under this Agreement. Further, Developer shall not be entitled to any remedy for City’s failure to conduct this annual review.

D. Initiation of Review by City Council. In addition to the annual review, the City Council may at any time initiate a review of this Agreement by giving written notice to Developer.

Within thirty (30) calendar days following receipt of the notice, Developer shall submit evidence to the City Council of Developer’s good faith compliance with this Agreement and the review and determination shall proceed in the same manner as provided for the annual review. The City Council shall initiate its review pursuant to this paragraph only if it has probable cause to believe City’s general health, safety or welfare is at risk as a result of specific acts or failures to act by Developer.

E. Administration of Agreement. City’s City Manager, or their designee, shall be responsible for administering this Agreement on behalf of City.

F. Availability of Documents. If requested by Developer, City agrees to provide to Developer copies of any documents, reports or other items reviewed, accumulated or prepared by or for City in connection with any periodic compliance review by City, provided Developer reimburses City for all reasonable and direct costs and fees incurred by City with respect thereto. City shall respond to Developer’s request on or before ten (10) business days have elapsed from City’s receipt of the request.

SECTION 9.

DEFAULT; REMEDIES; DISPUTE RESOLUTION.

A. Notice of Default. In the event of failure by a Party to substantially perform any material term or provision of this Agreement, the non-defaulting Party shall have those rights and remedies provided in this Agreement, provided that the non-defaulting Party has first provided to the defaulting Party a written notice of default in the manner required by this Section identifying with specificity the nature of the alleged default and the manner in which the default may satisfactorily be cured.

B. Cure of Default. Upon the receipt of the notice of default, the alleged defaulting Party shall promptly commence to cure, correct or remedy the identified default at the earliest reasonable time after receipt of the notice of default and shall complete the cure, correction or remedy of the default not later than ten (10) calendar days after receipt of notice thereof if the breach of this Agreement involves the payment of money, or not later than thirty (30) calendar days after receipt of notice thereof if the breach of this Agreement does not

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involve the payment of money; provided, however, that if the breach may not reasonably be cured within the thirty (30) calendar day period, then a default shall exist only if the cure of the breach is not commenced within the thirty (30) calendar day period or thereafter is not diligently prosecuted to completion.

C. Developer’s Remedies. Due to the size, nature and scope of the Property and its development, it will not be practical or possible to restore the Property to its natural condition once implementation of this Agreement has begun. After the implementation, Developer may be foreclosed from other choices it may have had to utilize the Property and provide for other benefits. Developer has invested significant time and resources and performed extensive planning and processing of the Development of the Property in agreeing to the terms of this Agreement and will be investing even more significant time and resources in implementing the Development in reliance upon the terms of this Agreement, and it is not possible to determine the sum of money that would adequately compensate Developer for its efforts. For the above reasons, City and Developer agree that damages would not be an adequate remedy if City fails to carry out its obligations under this Agreement and that Developer shall have the right to seek and obtain specific performance as a remedy for any breach of this Agreement. Moreover, City would not have consented to this Agreement if it were to be subject to damages for breach of this Agreement. Developer therefore specifically agrees that, except for the payment of attorneys' fees in accordance with this Agreement, City shall not be liable in damages to Developer, or to any assignee, Transferee, successor-in-interest, or any other person, and Developer covenants on behalf of itself and its successors-in-interest not to sue for or claim any damages, including damages arising from or related to: (i) any breach of this Agreement; (ii) the taking, impairment or restriction of any right or interest conveyed or provided hereunder or pursuant hereto; (iii) any dispute, controversy, or issue regarding the application or interpretation or effect of the provisions of this Agreement; and (iv) any injury to or interference with the rights of Developer, allegedly or actually arising out of, or incurred in connection with, the Parties entering this Agreement, or their exercise of any rights under this Agreement.

D. City Remedies. In the event of an uncured default by Developer of the terms of this Agreement, City, at its option, may institute legal action in law or in equity to cure, correct or remedy the default, enjoin any threatened or attempted violation, or enforce the terms of this Agreement by specific performance as its sole and exclusive remedy, except for the payment of attorneys' fees in accordance with this Agreement. Furthermore, City, in addition to or as an alternative to exercising the remedies set forth in this paragraph, in the event of a material default by Developer, may give notice of its intent to terminate or modify this Agreement pursuant to this Agreement and/or the Development Agreement Act, in which event the matter shall be scheduled for consideration and review by the City Council in the manner set forth in the Development Agreement Act.

E. Judicial Review. Based on the foregoing, in the event Developer judicially (including by way of a reference proceeding) challenges the application of a Subsequent Land Use Regulation as being in violation of this Agreement and as not being a land use regulation adopted pursuant to the Reservation of Authority, Developer shall bear the burden of proof in establishing that the rule, regulation or policy is inconsistent with the Land Use

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Regulations, the Development Approvals, or both and City shall thereafter bear the burden of proof in establishing that the rule, regulation or policy was adopted pursuant to and in accordance with the Reservation of Authority and was not applied by City in violation of this Agreement.

F. Local, State, and Federal Laws. Developer and its contractors shall carry out the design and construction of all private improvements on the Property and all Public Improvements in conformity with all applicable laws, including, without limitation, all applicable federal, state and local occupation, employment, prevailing wage, safety and health laws, rules, regulations and standards. Developer agrees to indemnify, defend and hold the Indemnitees (as defined in A of this Agreement) harmless from and against any cost, expense, claim, charge or liability relating to or arising directly or indirectly from any breach by or failure of Developer or its contractor(s) or agents to comply with the laws, rules, regulations or standards. Developer’s indemnity obligations set forth in this Section shall survive the termination or expiration of this Agreement.

SECTION 10.

MORTGAGEE PROTECTION; CERTAIN RIGHTS TO CURE.

A. Encumbrances on the Property. This Agreement shall not prevent or limit Developer from encumbering the Property or any portion thereof or any improvements thereon with any mortgage, deed of trust, sale and leaseback arrangement, or any other form of conveyance (“Mortgage”) in which the Property, or a portion thereof or interest therein, is pledged as security, and contracted for in good faith and fair value in order to secure financing with respect to the construction, development, use or operation of the Property.

B. Mortgagee Protection. This Agreement shall be superior and senior to the lien of any Mortgage. Notwithstanding the foregoing, no breach of this Agreement shall defeat, render invalid, diminish or impair the lien of any Mortgage made in good faith and for value, and any acquisition or acceptance of title or any right or interest in or with respect to the Property or any portion thereof by a holder of a beneficial interest under a Mortgage, or any successor or assignee to the holder (“Mortgagee”), whether pursuant to foreclosure, trustee’s sale, deed in lieu of foreclosure, lease termination or otherwise, shall be subject to all of the terms and conditions of this Agreement.

C. Mortgagee Not Obligated. No Mortgagee will have any obligation or duty under this Agreement to perform the obligations of Developer or other affirmative covenants of Developer under this Agreement, or to guarantee performance. In addition, the Mortgagee shall have no right to develop or operate the Property without fully complying with the terms of this Agreement, and to the extent that any covenant to be performed by Developer is a condition to the performance of a covenant by City, the performance thereof shall continue to be a condition precedent to City’s performance under this Agreement.

D. Notice of Default to Mortgagee; Right of Mortgagee to Cure. City shall, upon written request to City, deliver to each Mortgagee a copy of any notice of default given to Developer under the terms of this Agreement, at the same time the notice of default is

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provided to Developer. The Mortgagee shall have the right, but not the obligation, to cure, correct or remedy the default, within sixty (60) calendar days after the receipt of the notice from City for monetary defaults, or within sixty (60) calendar days after Developer’s cure period has expired for non-monetary defaults, or, for the defaults that cannot reasonably be cured, corrected or remedied within the period, the Mortgagee may cure, correct or remedy the default if the Mortgagee commences to cure, correct or remedy the default within the sixty (60) calendar day period, and continuously and diligently prosecutes the cure to completion. If the default is of a nature that can only be remedied or cured by the Mortgagee upon obtaining possession of the Property, the Mortgagee shall have the right to seek to obtain possession with diligence and continuity through foreclosure, a receiver or otherwise, and shall be permitted thereafter to remedy or cure the default within the time as is reasonably necessary to cure or remedy the default but in no event more than ninety (90) calendar days after obtaining possession. If a default cannot, with diligence, be remedied or cured within the ninety (90) calendar day period, then the period shall be extended to permit the Mortgagee to effect a cure or remedy so long as Mortgagee commences the cure or remedy during the ninety (90) calendar day period, and thereafter diligently pursues the cure to completion.

SECTION 11.

ESTOPPEL CERTIFICATES.

A. Written Request. Either Party may at any time deliver written notice to the other Party requesting an estoppel certificate (the “Estoppel Certificate”) stating: (1) this Agreement is in full force and effect and is a binding obligation of the Parties; (2) this Agreement has not been amended or modified either orally or in writing or, if so amended, identifying the amendments; and (3) no default in the performance of the requesting Party’s obligations under this Agreement exists or, if a default does exist, the nature and amount of any default.

B. Thirty (30) Days to Respond. A Party receiving a request for an Estoppel Certificate shall provide a signed certificate to the requesting Party within thirty (30) calendar days after receipt of the request.

C. Authorized Signatories. The City Manager or any person designated by the City Manager may sign the Estoppel Certificates on behalf of City. Any officer of Developer may sign on behalf of Developer.

D. Reliance. An Estoppel Certificate may be relied on by successors, assignees and mortgagees.

E. Reimbursement. In the event that one Party requests an Estoppel Certificate from the other, the requesting Party shall reimburse the other Party for all reasonable and direct costs and fees incurred by the Party with respect thereto.

F. Failure to Provide Estoppel Certificate. Failure by a Party to provide an Estoppel Certificate within thirty (30) calendar days after receipt of the request therefor shall be deemed confirmation that this Agreement is in full force and effect, has not been amended

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or modified either orally or in writing and that no defaults in the performance of the requesting Party’s obligations under this Agreement exist.

SECTION 12.

MISCELLANEOUS.

A. Notices. All notices permitted or required under this Agreement must be in writing and shall be effected by: (i) personal delivery; (ii) first class mail, registered or certified, postage fully prepaid; or (iii) reputable same-day or overnight delivery service that provides a receipt showing date and time of delivery, addressed to the following Parties, or to such other address as any Party may from time to time designate in writing in the manner as provided in this Agreement:

To City: City of Calimesa
908 Park Avenue
Calimesa CA 92320
Attn: City Manager
With a copy to: Richards, Watson & Gershon
350 South Grand Avenue, 37th Floor
Los Angeles, CA 90071
Attn: Calimesa City Attorney
To Developer: Mesa Verde Owner, LLC
18565 Jamboree Road, Suite 200
Irvine, CA 92612
Attn: William A. Shopoff
With a copies to: Artemis, A Barings Company
2000 Avenue of the Stars, Suite 630 N
Los Angeles, CA 90067
Attn: Jonathan Rainford, Managing Director
and
Jackson Tidus, a Law Corporation
2030 Main Street, 15th Floor
Irvine, California 92614
Attn: Gregory P. Powers, Esq.

Any written notice, demand or communication shall be deemed received immediately if personally delivered or delivered by same-day or overnight delivery service and shall be deemed received on the third (3rd) business day from the date it is postmarked if delivered by registered or certified mail.

B. Force Majeure. In addition to specific provisions of this Agreement, performance by either Party under this Agreement shall not be deemed to be in default where delays or

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failures to perform are due to the elements, fire, earthquakes or other acts of God, strikes, labor disputes, lockouts, acts of the public enemy, riots, insurrections, pandemics, or governmental restrictions imposed or mandated by other governmental entities. City and Developer may also extend times of performance under this Agreement in writing.

Notwithstanding the foregoing, Developer is not entitled pursuant to this paragraph to an extension of time to perform because of past, present or future difficulty in obtaining suitable construction financing or permanent financing for the Development, or because of economic or market conditions.

C. Binding Effect. This Agreement, and all of the terms and conditions of this Agreement, shall be binding upon and inure to the benefit of the Parties, any subsequent developer of all or any portion of the Property or the Property, and their respective assigns, heirs or successors in interest, whether or not any reference to this Agreement is contained in the instrument by which the Person acquired an interest in the Property. The provisions of this Agreement shall constitute mutual covenants that shall run with the land comprising the Property for the benefit thereof, and the burdens and benefits of this Agreement shall bind and inure to the benefit of each of the Parties to this Agreement and all successors in interest to the Parties to this Agreement for the term of this Agreement.

D. Independent Entity. In entering into and performing this Agreement, each of Developer and City is acting as an independent entity and not as an agent of the other in any respect.

E. Agreement Not to Benefit Third Parties. This Agreement is made for the sole benefit of the Parties, and no other person shall be deemed to have any privity of contract under this Agreement nor any right to rely on this Agreement to any extent for any purpose whatsoever, nor have any right of action of any kind on this Agreement nor be deemed to be a third party beneficiary under this Agreement.

F. Nonliability of City Officers and Employees. No official, officer, employee, agent or representative of City, acting in his/her official capacity, shall be personally liable to Developer, or any successor or assign, for any loss, costs, damage, claim, liability, or judgment, arising out of or connection with this Agreement, or for any act or omission on the part of City.

G. Covenant against Discrimination. Developer and City covenant and agree, for themselves and their respective successors and assigns, that there shall be no discrimination against, or segregation of, any person or group or persons on account of race, color, creed, religion, sex, marital status, national origin or ancestry, or any other impermissible classification, in the performance of this Agreement. Developer shall comply with the Americans with Disabilities Act of 1990, as amended (42 U.S.C. § 12101 et seq.).

H. No Waiver. No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the Party against whom enforcement of a waiver is sought and referring expressly to this paragraph. No delay or omission by either Party in exercising any right or power accruing upon non-compliance or failure to perform by the other Party under any of the provisions of this Agreement shall impair any right or power or be construed to be a waiver thereof, except as expressly

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provided in this Agreement. No waiver by either Party of any of the covenants or conditions to be performed by the other Party shall be construed or deemed a waiver of any succeeding breach or nonperformance of the same or other covenants and conditions of this Agreement.

I. Severability. If any term, provision, covenant or condition of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Agreement shall continue in full force and effect, to the extent that the invalidity or unenforceability does not impair the application of this Agreement as intended by the Parties.

J. Property Approvals Independent. All approvals required for the Property that may be or have been granted, and all land use entitlements or approvals generally that have been issued or will be issued by City with respect to the Property, constitute independent actions and approvals by City. If any provision of this Agreement, or the application of any provision of this Agreement to a particular situation, is held by a court of competent jurisdiction to be invalid or unenforceable, or if this Agreement terminates for any reason, then the invalidity, unenforceability or termination of the provision or application shall not affect the validity or effectiveness of any the Development Approvals or other land use approvals and entitlements. In such cases, the approvals and entitlements will remain in effect pursuant to their own terms, provisions, and the conditions of approval. It is understood by the Parties to this Agreement that pursuant to existing law, if this Agreement terminates or is held invalid or unenforceable as described above, the approvals and entitlements shall not remain valid for the Term, but shall remain valid for the term(s) of the approvals and entitlements.

K. Construction. This terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either Party by reason of the authorship of this Agreement or any other rule of construction that might otherwise apply. As used in this Agreement, and as the context may require, the singular includes the plural and vice versa, the masculine gender includes the feminine and vice versa, “or” is not exclusive, “includes” and “including” are not limiting, “shall,” “will” or “agrees” are mandatory, and “may” is permissive.

L. Recordation. This Agreement shall be recorded by City with the County Recorder of Riverside County within the period required by California Government Code section 65868.5. Amendments approved by the Parties, and any cancellation or termination of this Agreement, shall be similarly recorded.

M. Captions and References. The headings and captions of the sections, paragraphs, and exhibits of this Agreement are solely for convenience of reference, and shall be disregarded in the construction and interpretation of this Agreement. Reference in this Agreement to a section, paragraph, or exhibit are the sections, paragraphs, and exhibits of this Agreement.

N. Time. Time is of the essence in the performance of this Agreement and for each and every term and condition of this Agreement as to which time is an element.

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O. Entire Agreement. This Agreement, including all exhibits attached hereto, constitutes the final, complete and exclusive statement of the terms of the agreement between the Parties with respect to the subject matter of this Agreement, and this Agreement supersedes all previous oral or written negotiations, discussions and agreements between the Parties, and no parole evidence of any prior or other agreement shall be permitted to contradict or vary the terms of this Agreement. No Party has been induced to enter into this Agreement, by, nor is any Party relying on, any representation or warranty except those expressly set forth in this Agreement.

P. Exhibits. Exhibits A through I, identified as follows, are attached to this Agreement and are incorporated in this Agreement as though set forth in full:

Exhibit A. Legal Description of Property
Exhibit B. Depiction of Property and Site Map
Exhibit C. List of Legal Entities Defined as “Developer” Exhibit D. List of Development Impact Fees and Rates
Exhibit E. County Line Road Improvements
Exhibit F. Development Milestones for Extension of DA
Exhibit G. Reserved
Exhibit H. Sandalwood Interchange Improvements Obligations and Timing Exhibit I. County Line Road Interchange Improvements Obligations and Timing
Exhibit J. Robert Road Bridge Improvements
Q. Counterpart Signature Pages. For convenience the Parties may execute and acknowledge this Agreement in counterparts and when the separate signature pages are attached to this Agreement, shall constitute one and the same complete agreement.

R. Authority to Execute. Developer warrants and represents that to its knowledge as of the Reference Date: (i) it is duly organized and existing; (ii) it is duly authorized to execute and deliver this Agreement; (iii) by so executing this Agreement, Developer is formally bound to the provisions of this Agreement; (iv) Developer’s entering into and performance of its obligations set forth in this Agreement do not violate any provision of any other agreement to which Developer is bound; and (v) there is no existing or threatened litigation or legal proceeding of which Developer is aware that could prevent Developer from entering into or performing its obligations set forth in this Agreement.

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S. No Brokers. Each of City and Developer represents to the other Party that it has not engaged the services of any finder or broker and that it is not liable for any real estate commissions, broker’s fees or finder’s fees that may accrue by means of this Agreement, and agrees to hold harmless the other Party from the commissions or fees as are alleged to be due from the Party making the representations.

T. Subsequent Amendment to Authorizing Statute. This Agreement has been entered into in reliance upon the provisions of the Development Agreement Act in effect as of the Effective Date. Accordingly, notwithstanding any other provision in this Agreement, to the extent that subsequent amendments to the Development Agreement Act would affect the provisions of this Agreement, the amendments shall not be applicable to this Agreement unless necessary for this Agreement to be enforceable or required by law, or unless this Agreement is modified pursuant to the provisions set forth in this Agreement and Government Code section 65868 as in effect on the Effective Date.

U. Interpretation and Governing Law. The language in all parts of this Agreement shall, in all cases, be construed as a whole and in accordance with its fair meaning and shall not be construed against either Party on the basis of that Party being the drafter of such language.

Each Party acknowledges and agrees that they have had the opportunity to consult with legal counsel of their choice while negotiating this Agreement and prior to its execution.

This Agreement and any dispute arising under this Agreement shall be governed and interpreted in accordance with the laws of the State of California. Venue for any action or litigation brought for breach or to enforce any provision of this Agreement shall be the County of Riverside, California. The Parties understand and agree that this Agreement is not intended to constitute, nor shall be construed to constitute, an impermissible attempt to contract away the legislative and governmental functions of City, and in particular, City’s police powers. In this regard, the Parties understand and agree that this Agreement shall not be deemed to constitute the surrender or abnegation of City’s governmental powers over the Property.

V. No Joint and Several Liability. At any time that there is more than one Developer, no breach of this Agreement by a developer shall constitute a breach by any other developer.

Any remedy, obligation, or liability, including, but not limited to, the obligations to defend and indemnify City, arising by reason of the breach shall be applicable solely to Developer that committed the breach. However, City shall send a copy of any notice of violation to all Developers, including those not in breach. In addition, and except as provided in Section

3.E, a default by any Transferee shall only affect that portion of the Property owned by the Transferee and shall not cancel or diminish in any way Developer’s rights under this Agreement with respect to any portion of the Property not owned by the Transferee. The Transferee shall be responsible for the reporting and annual review requirements relating to the portion of the Property owned by the Transferee, and any amendment to this Agreement between City and a Transferee shall only affect the portion of the Property owned by the Transferee.

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W. Conflicts of Interest; Prohibited Interests. Developer warrants and maintains as of the Effective Date of this Agreement that it has no knowledge that any officer or employee of City has any interest, whether contractual, noncontractual, financial, proprietary, or otherwise, in this transaction or in the business of Developer. If any information regarding an officer of employee of the City having an interest in this transaction or in the business of Developer as of the Effective Date of this Agreement comes to the knowledge of Developer at any time during the Term of this Agreement, Developer shall immediately make a complete, written disclosure of such interest to the City, even if such interest would not be deemed a prohibited “conflict of interest” under applicable laws. If the City subsequently is provided information that Developer had knowledge but failed to disclose knowledge of any such interest, and Developer fails to acknowledge such interest within 14 days of notification by the City, Developer’s failure shall constitute a breach of this Agreement.
[INTENTIONALLY LEFT BLANK; SIGNATURES ON NEXT PAGE]

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[INSERT SIGNATURE BLOCKS FOR PARTIES]

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Exhibit A

EXHIBIT A

LEGAL DESCRIPTION OF PROPERTY

THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF CALIMESA,

IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AND IS DESCRIBED AS FOLLOWS:

PARCEL 9 OF PARCEL MAP NO. 31922, IN THE CITY OF CALIMESA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA AS PER MAP RECORDED IN BOOK 209, PAGES 31 THROUGH 38, INCLUSIVE AND AS AMENDED BY AMENDED MAP OF PARCEL MAP NO. 31922, RECORDED IN BOOK 221, PAGES 56 THROUGH 64, INCLUSIVE, BOTH OF PARCEL MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY.

EXCEPTING THEREFROM THAT PORTION OF SAID PARCEL 9 DESCRIBED IN THE

IRREVOCABLE OFFER OF DEDICATION OF FEE INTEREST RECORDED NOVEMBER 19, 2007 AS INSTRUMENT NO. 2007-0703605 OF OFFICIAL RECORDS AND 2010-0539120

OF OFFICIAL RECORDS
APN: 411-210-010, 411-210-028, 413-030-025, 413-040-013, 413-040-017, 413-040-018, 13- 040-020, 413-040-023, 413-160-011, 413-200-033, 413-200-040, 413-200-042, 413-200-044 AND 413-200-048.

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Exhibit B

EXHIBIT B

DEPICTION OF PROPERTY, SITE MAP, AND PHASING PLAN
This chapter describes the Mesa Verde Specific Plan 2023 Project (Project and/or Specific Plan Amendment) proposed by Mesa Verde Owners, LLC (Applicant). The Project is an Amendment to the Mesa Verde Specific Plan (SPA 13-01) that was previously adopted in 2017. Section 2.2, Project History includes an overview of the previous approvals for the Mesa Verde Specific Plan.

The purpose of this chapter is to describe the proposed Project in a manner that will be meaningful for review by the public, reviewing agencies, and decision-makers in accordance with the California Environmental Quality Act (CEQA), Public Resources Code Sections 21000 et seq., and the CEQA Guidelines (14 California Code of Regulations 15000 et seq.). Per the requirements of Section 15124 of the CEQA Guidelines, a complete project description must contain the following information:
(a) the precise location and boundaries of the proposed project, shown on a detailed map, along with a regional map of the project’s location (see Section 3.1); (b) a statement of the objectives sought by the proposed project, which should include the underlying purpose of the project (see Section 3.9);
(c) a general description of the project’s technical, economic, and environmental characteristics, considering the principal engineering documentation and supporting public service facilities (see Section 3.3); and
(d) a statement briefly describing the intended uses of the EIR, including a list of the agencies that are expected to use the EIR in their decision making, a list of permits or other approvals required to implement the project, and a list of related environmental review and consultation requirements imposed by federal, state, or local laws, regulations, or policies (see Sections 3.10 and 3.11).

In accordance with Section 15124, the description of a project “should not supply extensive detail beyond that needed for evaluation and review of environmental impacts.” This chapter of the Draft Subsequent Environmental Impact Report (SEIR) includes the required information, as listed above.

As stated in Section 15126.2 of the CEQA Guidelines, an EIR must identify and focus on the significant effects of a project on the environment. In assessing the impacts of a proposed project, the lead agency “should normally limit its examination to changes in the existing physical conditions in the affected area as they exist at the time the notice of preparation is published.” The approval and implementation of the proposed Project would allow for physical changes in the environment, which are analyzed in this Draft SEIR.

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Exhibit B Site Map

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Exhibit B - Phasing Plan

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Exhibit C

EXHIBIT C
LIST OF LEGAL ENTITIES DEFINED AS “DEVELOPER”
Mesa Verde Owner, LLC
18565 Jamboree Road, Suite 200
Irvine, CA 92612

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Exhibit D

EXHIBIT D

LIST OF DEVELOPMENT IMPACT FEES CATEGORIES

1. Law Enforcement Facilities

2. Fire Protection Facilities

3. Street and Traffic Facilities

4. Storm Drainage Facilities

5. General Government Facilities

6. Library Space and Collection Items

7. Park Land and Park Improvements

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Exhibit E

EXHIBIT E
County Line Road Improvements

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SCALE. 1 "=500'
EXHIBIT "E"

WEST COUNTY LINE ROAD IMPROVEMENTS
MESA VERDE - TR 33931

CITY OF CALIMESA

COUNTY LINE LANE
BEGIN
IMPROVEMENTS �

OFFS/TE
�
�
PRBPARBD FOR: MESA VERDE OWNER, LLC.
18565 JAMBOREE ROAD, SUITE 200
//?VINE, CA 92612
PRBPARBD BY: ILi HUNSAKER & ASSOCIATES
IRVINE, INC .

PLANNING • ENGINEERING • SURVEYING
Three Hughes • Irvine, CA 92618 • Pt-t (949) 583-1010 • FX: (949) 583,0759 ' NOTE: PROPERTY LINES SHOWN HEREON ARE FROM COUNTY GIS FILES AND HAVE NOT BEEN SURVEYED. DATE PREPARED: 2026-06-03 DATE: Jun. 03, 2026 03:20:47 PM FILE: F:\ 7227\Plonning\0A_Project\Ex_Genera!\County Line Rood widening\Exh_County Line Rood Widening.dwg

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Exhibit F

EXHIBIT F

DEVELOPMENT MILESTONES FOR EXTENSION OF DA
Milestones met to warrant approval of an extension to this Development Agreement in accordance with Section 3.B. Term
This Agreement establishes the initial Term to be 15-years with two 5-year extensions available.

Extensions may be necessary if market demands inhibit the ability to complete the Development within the initial 15-years. The following development milestones are required to qualify for the extension(s):

1. First 5-year extension ($125,000 CBC):
a) Issuance of building permits for 750 residential units, and; b) Pay $3 Million in DA fees, and;
c) Design of 10 acres of parks, or;
d) Issuance of building permits for two industrial buildings, and; e) Pay $3 Million in Development Agreement Fees and/or Development Impact Fees, and;
f) Design of 10 acres of public parks

2. Second 5-year extension ($125,000 CBC):
a) Issuance of building permits for an additional 750 residential units, or; b) Issuance of a building permit for an additional industrial building, and; c) Pay $3 Million in Development Agreement Fees and/or Development Impact Fees If conditions for both extensions are met within the first 15-year term, Developer may apply for both extensions at the same time.

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Exhibit G

EXHIBIT G
[RESERVED]

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Exhibit H

EXHIBIT H

SANDALWOOD INTERCHANGE IMPROVEMENTS

OBLIGATIONS AND TIMING
The construction, timing, and cost obligations for the Sandalwood interchange improvements are fully set forth in this exhibit. Interchange improvement phasing and timing shall comply with Mesa Verde Specific Plan Area 2 Amendment 2, Traffic Analysis dated April 14, 2025, Table 1-4, Improvements Required to Maintain General Plan Consistency for Existing Plus Project Conditions, as modified by the City Engineer or Caltrans.

Interim Traffic Signals (Phase 1 Improvements) – Developer shall be responsible for prepare Caltrans applications and design for Phase 1 improvements and submit them to the City for approval prior to formal submittal to Caltrans for processing and permitting. Costs associated with Phase 1 improvements are “throw away” and will not be eligible for any fee credits.

For ultimate improvements:

1. Developer shall execute a Western Riverside County Association of Governments (WRCOG) Transportation Uniform Mitigation Fee (TUMF) credit agreement with the City and WRCOG. Cost associated with application processing (City costs and Caltrans processing fees) are eligible for TUMF credits. Credit agreement shall be executed no later than 60 days after master tentative map Planning Commission approval.

2. City will serve as lead agency to process all Caltrans applications. Developer shall pay all costs, subject to TUMF credits, for Caltrans application processing including City application preparation costs and Caltrans processing fees. Applications include Project Study Report; Project Approval and Environmental Document; Plans, Specifications and Estimates; and Right-of-Way acquisition approval processing. Developer and its technical support team shall provide, as directed by the City Engineer, Caltrans application technical support including preparation of traffic and environmental studies.

3. City will serve as lead agency for right-of-way acquisition. Developer shall, subject to TUMF credits, pay all right-of-way acquisition costs.

4. City will serve as lead agency for improvement construction. Developer shall pay all construction and related costs.

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Exhibit H
EXHIBIT H (Continued)

SANDALWOOD INTERCHANGE IMPROVEMENTS

OBLIGATIONS AND TIMING
i) Construction of Roberts Road bridge south of Mesa Verde and the extension of Roberts Road to Singleton Road will provide additional traffic capacity.

Developer may, in cooperation with the Summerwind Project and/or the Town Center Project, construct Roberts Road from Sandalwood to Singleton, allowing construction of additional industrial buildings while maintaining LOS ‘D’ at the Sandalwood interchange.
b) Ultimate Interchange
i) City will be the lead with Caltrans for the ultimate interchange. Timing of the Caltrans approvals and construction of the interchange will be determined by City.

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Exhibit I

EXHIBIT I

COUNTY LINE ROAD INTERCHANGE IMPROVEMENTS

OBLIGATIONS AND TIMING
The construction, timing, and cost obligations for the County Line Road interchange improvements are fully set forth in this exhibit. Interchange improvement phasing and timing shall comply with Mesa Verde Specific Plan Area 2 Amendment 2, Traffic Analysis dated April 14, 2025, Table 1-4, Improvements Required to Maintain General Plan Consistency for Existing Plus Project Conditions, as modified by the City Engineer or Caltrans and as follows:

1. Developer shall pay fair share contribution for construction of Interim Traffic Signals – constructed by others – in the amount of $492,000, in accordance with that Fair Share Agreement and Memorandum of Understanding for the County Line Rd/Interstate 10 Freeway Interchange Interim Traffic Signal Project dated November 12, 2024 between the City of Calimesa and the City of Yucaipa, prior to issuance of any certificates of occupancy.

2. Developer shall execute a Western Riverside County Association of Governments (WRCOG) Transportation Uniform Mitigation Fee (TUMF) credit agreement for ultimate improvements with the City and WRCOG. Cost associated with application processing (City costs and Caltrans processing fees) are eligible for TUMF credits. Credit agreement shall be executed prior to grading permit issuance for Phase 4.

3. Developer shall pay all costs, subject to TUMF credits, for Caltrans application processing including City application preparation costs and Caltrans processing fees. City will serve as lead agency to process all Caltrans applications. Applications include Project Study Report; Project Approval and Environmental Document; Plans, Specifications and Estimates, and Right-of-Way acquisition approval processing. Developer and its technical support team shall provide, as directed by the City Engineer, Caltrans application technical support including preparation of traffic and environmental studies.

4. City will serve as lead agency for right-of-way acquisition. Developer shall, subject to TUMF credits, pay all right-of-way acquisition costs.

5. City will serve as lead agency for improvement construction. Developer shall, subject to TUMF credits, pay all construction and related costs.

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Exhibit J

EXHIBIT J

LOCATION OF ROBERTS ROAD BRIDGE
Proposed Garden Air Wash Bridge

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12459-0051\3272195v1.doc
ORDINANCE NO. 425

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
CALIMESA, CALIFORNIA, APPROVING ZONE CHANGE 23-01 AND
SPECIFIC PLAN AMENDMENT 23-01 AMENDING THE OFFICIAL
ZONING MAP AND THE PREVIOUSLY APPROVED 2017 SPECIFIC
PLAN FOR THE 1,463.1-ACRE PROPERTY TO PROVIDE FOR THE

ORDERLY DEVELOPMENT OF A PROPERTY THROUGH

COMPLIANCE WITH SITE-SPECIFIC DEVELOPMENT STANDARDS

THAT ARE CONSISTENT WITH THE INTENT AND POLICIES OF THE

GENERAL PLAN
WHEREAS, Mesa Verde Owners, LLC (the “Applicant”), submitted a Specific Plan Amendment (“SPA 23-01”) application to the City of Calimesa (“City”), for approval of amendments to the Mesa Verde Specific Plan No. 2, Amendment No. 1 and Zone Change “(ZC 23-01”) 23-01 on 1,436.1-acres for certain real property located on Assessor Parcel Numbers (APNS): 411-210-010, 411-210-028, 413-030-025, 413-040- 013, 413-040-017, 413-040-018, 413-040-020, 413-040-023, 413-160-011, 413-200- 003, 413-200-040, 413-200-042, 413-200-044 and 413-200-048 (the “Property”); and WHEREAS, the Applicant has also requested approval of the following applications approvals, which along with SPA 23-01 and ZC 23-01 are referred to collectively herein as the “Project”:
(1) Environmental Assessment 23-02 (“EA” 23-02), certifying a Subsequent Environmental Impact Report and Mitigation Monitoring and Reporting Program for the Mesa Verde Specific Plan Project (SCH# 2004071045), and Environmental Assessment 25-3 (“EA 25-3”), approving a Consistency Checklist for the Mesa Verde implementing projects); and
(2) GPA 23-01 amends the City’s existing General Plan to (a) modify Figure LU-1, Land Use Map, to reflect the new land use designation changes; (b) modify Figure TM-1, Circulation Map, to reflect the new roadway configuration and categorization changes; (c) modify Figure OSPR-1, Existing Public Parks and Open Space Areas, to reflect the new public parks; (d) modify Figure OSPR-2, Trails Master Plan, to reflect the new trails system; (e) modify Figure SAF-1, Fault Zones to indicate that the fault depicted within the Mesa Verde Specific Plan area has been determined to be inactive pursuant to geotechnical studies performed on-site; (f) modify Figure SAF-7, Evacuation Routes to show evacuation routes from the Mesa Verde Specific Plan area along County Line Road, Sandalwood Drive and Roberts Road and (g) update references to the “Mesa Verde Estates” Specific Plan to reflect the Mesa Verde Specific Plan Amendment; and
(3) DA 25-4 proposes an agreement between the City and the Applicant that specifies the respective development and financial obligations of both parties. (4) DPR 24-06 and CUP 24-05 for Planning Area 2/Building 2 – Design review and conditional use permit for a proposed Business Park development consisting of an approximately 717,230 square foot warehouse facility building on approximately

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12459-0051\3272195v1.doc 2

53.91-gross acres within Planning Area 2 of the amended MVSP (portions of APNs 413- 040-017, 411-210-028, 413-200-040, 413-200-044 and 413-160-011); and (5) DPR 24-07 and CUP 24-06 for Planning Area 4/Building 4 – Design Review and Conditional Use Permit for proposed Business Park development consisting of an approximately an approximately 702,120 square foot warehouse facility building on approximately 37.68-gross acres within Planning Area 4 of the amended MVSP (portions of APNs 413-040-017 and 413-160-011); and (6) DPR 24-08 and CUP 24-07 Planning Area 5/Building 5 – Design Review and Conditional Use Permit for proposed Business Park development consisting of an approximately 700,150 square foot warehouse facility building on approximately 34.49- gross acres within Planning Area 5 of the amended MVSP (portions of APNs 413-040- 017 and 413-160-011); and
(7) DPR 24-09 and CUP 24-08 for Planning Area 6/Building 6 – Design Review and Conditional Use Permit for proposed Business Park development consisting of an approximately 717,600 square foot warehouse facility building on approximately 37.46-gross acres within Planning Area 6 of the amended MVSP (portions of APNs 413-040-017 and 413-160-011); and
(8) DPR 24-10 and CUP 24-09 for Planning Area 7/Building 7 – Design Review and Conditional Use Permit for proposed Business Park development consisting of an approximately 614,300 square foot warehouse facility building on approximately 32.06-gross acres within Planning Area 7 of the amended MVSP (portions of APNs 413-160-011 and 413-040-020); and
(9) DPR 24-11 and CUP 24-10 for Planning Area 8/Building 8 – Design Review and Conditional Use Permit for proposed Business Park development consisting of an approximately 654,400 square foot warehouse facility building on approximately 27.31-gross acres within the amended MVSP (portions of APNs 413-040- 020 and 413-040-018); and
(10) TTM 33931 Rev 2 provides for the subdivision of property 1436-acres into 114 lots and public streets, including easements for utilities and ingress/egress, for finance and conveyance purposes; and
(11) TTM 39086 is a proposed tract map to subdivide approximately 17.1 acres into 112 single-family lots with a density of 6.5 DUs/ac within Planning Area 13 of the Mesa Verde Specific Plan; and
(12) TTM 39087 is a proposed parcel map to subdivide approximately 19.5 acres into 76 single-family lots with a density of 3.9 DUs/ac within Planning Area 14 of the Mesa Verde Specific Plan; and
(13) TTM 39088 is a proposed parcel map to subdivide approximately 16.6 acres into 84 single-family lots with a density of 5.0 DUs/ac within Planning Area 15 of the Mesa Verde Specific Plan; and

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12459-0051\3272195v1.doc 3
(14) TTM 39089 is a proposed parcel map to subdivide approximately 15.9 acres into 84 single-family lots with a density of 5.3 DUs/ac within Planning Area 16 of the Mesa Verde Specific Plan; and
(15) TTM 39090 is a proposed parcel map to subdivide approximately 10.7 acres into 60 single-family lots with a density of 5.6 DUs/ac within Planning Area 18 of the Mesa Verde Specific Plan; and
(16) TTM 39091 is a proposed parcel map to subdivide approximately 21.4 acres into 133 single-family lots with a density of 6.2 DUs/ac within Planning Area 19 of the Mesa Verde Specific Plan; and
WHEREAS, SPA 23-01 includes 1) revised number of lots with residential land use designations 2) elimination of the Very Low Residential land use designation 3) revised acreages for the non-residential land use designations 4) revised roadway classification for Street B (from Street E to Street D) from Collector to Divided Collector 5) revised roadway classification for Street D (from Street A to Street B) from Collector to Divided Collector 6) revised roadway classification for Street F from Divided Collector to Collector 7) revised roadway classification for 7th Street from Modified Collector to Local 8) revised roadway classification for Roberts Road (from North of Sandalwood Drive to 7the Street) from Modified Secondary to Local; and WHEREAS, ZC 23-01 proposes to modify the City’s official zoning map as it applies to the 1,436.1-acre project site including redistribution and development standards of the Residential, Mixed-Use, Public/Quasi-Public Facilities, Open Space, Elementary School, and Calimesa Public works zone districts and creation of a new Commercial zone and Business Park zone; and provision of updated development standards accordingly; and
WHEREAS, in October 2007, pursuant to Resolution 2007-59, the City Council of the City of Calimesa certified a program Environmental Impact Report for the Mesa Verde Estates Specific Plan Amendment (SCH#2004071045) (herein referred to as the “Mesa Verde Estates EIR”), and approved a Mitigation Monitoring and Reporting Program and Findings of Fact and Statement of Overriding Considerations as part thereof, for the Mesa Verde Specific Plan, in accordance with the California Environmental Quality Act (CEQA); and
WHEREAS, the Mesa Verde Estates EIR evaluated the environmental impacts associated with the Mesa Verde Estates Specific Plan Amendment Plan and related General Plan amendments and zoning code amendments, and determined that the Mesa Verde Estates Specific Plan Amendment project would result in significant and unavoidable impacts in the category of air quality, land use and planning, population and housing, and traffic and circulation; and
WHEREAS, in 2017, pursuant to Resolution 2017-37, the City Council of the City of Calimesa adopted an Addendum to the previously certified 2007 Mesa Verde Estates EIR (SCH#2004071045), for a subsequent amendment to the Mesa Verde Estates Specific Plan, in accordance with the California Environmental Quality Act (CEQA); and

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12459-0051\3272195v1.doc 4
WHEREAS, pursuant to EA 23-02, a Subsequent Environmental Impact Report (“SEIR”) to the previously certified 2007 Mesa Verde Estates EIR has been prepared in compliance with the requirements of CEQA, and pursuant to Resolution No. 2026-53, the City Council certified the SEIR and approved the Mitigation, Monitoring and Reporting Program and statement of overriding considerations as part thereof, for the Mesa Verde Specific Plan Area 2, Amendment No. 2, in accordance with the California Environmental Quality Act (CEQA); and
WHEREAS, the City of Calimesa Planning Department on June 26, 2026, caused to be published a legal notice in the Yucaipa News Mirror, a local paper of general circulation, indicating the date, time and location of the Planning Commission public hearing on the proposed Project in compliance with state law, and WHEREAS, not less than 20 days prior to the public hearing, the City also distributed copies of the Public Hearing Notice to servicing utilities, adjacent public agencies, Native American Tribes; and in addition, copies of the Notice were distributed via United States Postal Service (USPS) to local agencies, property owners within a 600-foot radius of the Project site in accordance with state law, and other interested parties; and the Public Hearing Notice was also posted on the City’s website, at City Hall, and at the Calimesa library, and five 6’x6’ public hearing signs were posted at conspicuous locations on the property; and
WHEREAS, on August 10, 2026, the Planning Commission held a duly noticed public hearing to consider the applications for the Project and following the receipt of all testimony, closed the public hearing, and recommended that the City Council approve the Project; and
WHEREAS, the City of Calimesa Planning Department on August 28, 2026, caused to be published a legal notice in the Yucaipa News Mirror, a local paper of general circulation, indicating the date, time and location of the City Council public hearing on the proposed Project in compliance with state law, and WHEREAS, not less than 20 days prior to the public hearing, the City also distributed copies of the Public Hearing Notice to servicing utilities, adjacent public agencies, Native American Tribes; and in addition, copies of the Notice were distributed via United States Postal Service (USPS) to local agencies, property owners within a 600-foot radius of the Project site in accordance with state law, and other interested parties; and the Public Hearing Notice was also posted on the City’s website, at City Hall, and at the Calimesa library, and five 6’x6’ public hearing signs were posted at conspicuous locations on the property; and
WHEREAS, on September 21, 2026, the City Council held a duly noticed public hearing to consider the applications for the Project and following receipt of all testimony, closed the public hearing; and
WHEREAS, all legal prerequisites to the adoption of this Resolution have occurred.

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12459-0051\3272195v1.doc 5

THE CITY COUNCIL OF THE CITY OF CALIMESA DOES ORDAIN AS FOLLOWS:

Section 1: The City Council hereby adopts Ordinance No. 425 approving Zone Change 23-01 and Specific Plan Amendment 23-01. ZC 23-01 amends the Calimesa Municipal Code Official Zoning Map, as shown in Exhibit A attached and incorporated hereto. SPA 23-01 amends the previously approved 2017 Specific Plan for the 1,463.1- acre property to provide for the orderly development of a property through compliance with site-specific development standards that are consistent with the intent and policies of the General Plan, as shown in Exhibit B attached and incorporated hereto.

Section 2: Severability
If any section, subsection, sentence, clause, phrase, or portion of this ordinance for any reason is held to be invalid or unconstitutional by the diction of any court of competent jurisdiction, such decision shall not affect the validity or the remaining portions of this ordinance. The City Council of the City of Calimesa hereby declares that it would have adopted this ordinance and each section, subsection, sentence, clause, phrase, or portion thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, or portions were to be declared invalid or unconstitutional.

Section 3: Effective Date; Publication
This ordinance shall take effect thirty (30) days after its final passage, and within fifteen (15) days after its passage, the City Clerk shall cause this ordinance or a summary hereof to be published and or posted as required by law and by the City’s ordinances and resolutions.

INTRODUCED AND PASSED UPON FIRST READING by title only, upon the following roll call vote, this ___ day of _____ 2026:

AYES:

NOES:

ABSENT:

ABSTAIN:

PASSED, APPROVED AND ADOPTED this ___ day of _____ 2026 upon the following roll call vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

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12459-0051\3272195v1.doc 6
___________________________________

JEFF CERVANTEZ, MAYOR
ATTEST:
____________________________________________

DARLENE GERDES, CITY CLERK
APPROVED AS TO FORM:
____________________________________________

STEVEN FLOWER, CITY ATTORNEY

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12459-0051\3272195v1.doc 7

EXHIBIT A
MESA VERDE SPECIFIC PLAN AMENDMENT NO.

LAND USE PLAN

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12459-0051\3272195v1.doc 8

EXHIBIT B

SPECIFIC PLAN AMENDMENT
ELECTRONIC COPY AVAILABLE AT:
https://www.calimesa.gov/Archive.aspx?ADID=456

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CITY COUNCIL MEETING
Agenda Report
Agenda Item No. 5.

SUBJECT: Agreement for Professional Services – Finance Director and HR/Risk Manager Recruitment
MEETING DATE: October 5, 2026
PREPARED BY: Darlene Gerdes, Deputy City Manager/City Clerk Will Kolbow, City Manager
RECOMMENDATION:

That the City Council approve a professional services agreement with HR Dynamics & Performance Management, Inc.in an amount not-to-exceed $40,000 and adopt Resolution No. 2026-65, a Resolution of the City Council of the City of Calimesa, California amending the FY 2026-27 budget to include an adjustment in the Administrative Functions/Human Resources Professional Services Account in the General Fund.

BACKGROUND:

The Deputy City Manager/City Clerk has informed the City Manager that she is planning to retire in December 2026. As you know, the Deputy City Manager/City Clerk also holds the roles of Human Resources and Risk Manager, thereby requiring the need to recruit for a Human Resources and Risk Manager position with her departure. The current classification of Deputy City Manager/City Clerk will be segmented into two positions. One is Director of General Services/City Clerk, which will include the duties of all things City Clerk, Records Management, Mobile Home Rent Stabilization, Social Media, Website Management, Oversee Information Technology contract and Emergency Management functions. The other being Human Resources/Risk Manager.

The Finance Director has also informed the City Manager of her departure to take a role in another jurisdiction. With the necessary recruitment of these two crucial positions, the City Manager has elected to engage a consultant to conduct the recruitment for the next Finance Director and Human Resources/Risk Manager, given the importance of these positions to the City’s future. An Interim Finance Director will be appointed and will serve during the recruitment process.

Staff is recommending that HR Dynamics & Performance Management, Inc. (Consultant) be retained to perform this service. The Consultant has a great deal of history and familiarity with

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the City. The Consultant has performed a wide variety of services for the City in the past, including recruitment of our current City Manager, a classification and compensation study, goal-setting and strategic planning, mentoring and dispute resolution, as well as past and current economic development services.

DISCUSSION:

HR Dynamics & Performance Management consultants are seasoned and accomplished public sector professionals with over 60 years of combined experience in Human Resources and Municipal Management. The Consultants have performed Executive Search services for numerous municipalities and water districts. In addition, the consultants have collectively conducted hundreds of selection processes in their professional public sector careers while serving as City Manager and Human Resources Director for various municipalities.

The process will kick off in October with an ultimate target hire date sometime in January. A detailed timeline is provided in Exhibit A to the proposed contract. Both the City Manager and Deputy City Manager will be available to the Consultant throughout the process as needed.

FISCAL IMPACT:

The 2026-27 Budget will be amended to include $40,000 from the General Fund to cover recruitment costs. As noted above, the Consultant agreement is for $40,000. Current budgeted allocations in the Human Resources budget will be used for advertising costs.

ATTACHMENTS:

1. Calimesa Executive Recruitment Proposal 9-23-26

2. Recruitment Contract

3. Resolution 2026-65 for budget adjustment for Recruitment Services

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Collaborative Executive Recruitment
Proposal
City of Calimesa
Human Resources & Risk Manager and Finance Director
September 23, 2026
Prepared by:

Henry T. Garcia, Principal Consultant and Chief Executive Officer Rhonda D. Strout-Garcia, Principal Consultant

PROPOSAL DRAFT FOR REVIEW
(951) 905-0025 | www.hrdpm.com

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HRDPM | City of Calimesa Recruitment Proposal Page 2
September 23, 2026
Will Kolbow, City Manager / Darlene Gerdes, Deputy City Manager City of Calimesa
Calimesa, California
Re: Concurrent Recruitments for Human Resources & Risk Manager and Finance Director Dear Will, Darlene:

Thank you for the opportunity to meet and discuss the City’s eminent recruitment needs. HR Dynamics & Performance Management, Inc. is pleased to submit this proposal to conduct concurrent recruitments for the City’s Human Resources & Risk Manager and Finance Director positions. Having previously assisted Calimesa with its City Manager recruitment and other consulting services, we value our relationship with the City and welcome the opportunity to help fill these two important leadership roles.

We have developed an approach that combines our executive recruitment services with the City’s management resources. Our team will develop separate candidate profiles and recruitment materials, conduct targeted outreach, review every application, prepare qualification matrices and interview the leading candidates. We will provide the City with written screening results before it decides which applicants to invite to the next stage.

The City may use an outside oral interview panel to narrow the field or proceed directly to internal interviews. City staff will organize and conduct those interviews and make the selection. After a preferred candidate is identified for each position, we will perform professional reference checks and coordinate the background investigation.

The proposed combined professional fee is $40,000, representing a $9,000 reduction from our normal professional services fee. Advertising shall be paid directly by the City and third-party background costs charged separately at actual cost.

Henry and I look forward to working with you and your team. Please contact us if you would like to discuss the proposed further, make changes, and/or if you need any additional information.

Sincerely,
Henry T. Garcia
Principal Consultant and Chief Executive Officer
HR Dynamics & Performance Management, Inc.

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Proposal Overview
HR Dynamics & Performance Management, Inc. (HRDPM) will conduct two concurrent recruitments for the City of Calimesa. HRDPM will develop the recruitment campaigns, source and evaluate applicants, present separate qualification matrices and conduct preliminary screening interviews. The City will manage subsequent interviews and selection, with the choice to use an outside oral interview panel or proceed directly to internal interviews.

Section A: Company Overview
HR Dynamics has been in business since 2002, and has provided various Human Resources, organizational development services, and executive recruitment services to numerous public, private and non-profit clients. As a small firm, the consultants are able to provide focused, high-quality services with competitive pricing.

HR Dynamics & Performance Management consultants are seasoned and accomplished public sector professionals with over 60 years combined experience in Human Resources and Municipal Management. The consultants have performed Executive Search services for numerous municipalities and water districts. In addition, the consultants have collectively conducted hundreds of selection processes in their professional public sector careers while serving as City Manager, and Human Resources Director for various municipalities.

The firm consists of two (2) Principal Consultants both of whom would fully participate in these recruitments for the City of Calimesa. The consultants are regularly engaged with City Managers, and potential candidates throughout the State of California and beyond, through their on-going relationships with current and past clients; their attendance and networking at conferences; and via a strong social media presence.

Approach and Client Service
The firm accepts a limited number of assignments at a time so its two principal consultants can remain directly involved. We develop a distinct profile and recruitment campaign for each position, maintain regular contact with City management, and respond to candidates throughout the process. Our local public sector experience helps us describe the opportunity credibly to candidates who may not be actively searching.

Candidate outreach includes more than posting an advertisement. We identify potential applicants through professional associations, agency networks and direct contacts; discuss the role and organizational priorities with prospective candidates; and encourage appropriate individuals to apply.

At each stage we distinguish information established by written materials from information learned through interviews and references.

Relevant Search Experience
HRDPM previously conducted the City of Calimesa City Manager recruitment. The following assignments from our executive search portfolio illustrate experience relevant to the two current searches:

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HRDPM | City of Calimesa Recruitment Proposal Page 4
Client Recruitment
City of Calimesa City Manager
City of Wildomar Human Resources & Risk Manager; Administrative Services Director
City of Lynwood Human Resources & Risk Management Director San Gorgonio Pass Water Agency Chief Financial Officer; Executive Assistant/Clerk of the Board
City of Rialto City Manager
City of Yucaipa City Manager
City of Cudahy City Manager
City of Bell Gardens City Manager – Final Selection in Progress City of Rosemead City Manager – Final Selection in Progress City of San Jacinto City Manager – Process in Early Stages City of Eastvale Assistant City Manager; Community Development Director; Community Safety Director
Boys & Girls Clubs of the San
Gorgonio Pass Chief Executive Officer
Our broader assignments have included public safety, development services, executive administration, finance and specialized water utility positions. We use the experience gained in those searches to tailor each campaign to the available labor market and the client’s specific leadership needs.

Consulting Team
Rhonda D. Strout-Garcia, M.S.H.R., Principal Consultant, will lead recruitment planning, candidate profiles and brochures, marketing materials, applicant tracking, qualifications review and candidate matrices.

Henry T. Garcia, M.A., Principal Consultant, will lead targeted outreach and contribute municipal management perspective to candidate assessment. Both principals will meet with City management, conduct preliminary screening interviews and prepare assessment summaries.

Consultant Qualifications
Rhonda D. Strout-Garcia, M.S.H.R. Rhonda has more than 35 years of public sector human resources management experience, including nine years leading the human resources function for a municipality of approximately 2,500 employees and 16 bargaining units. She also has more than 20 years of consulting experience. Her recruiting work spans executive, professional and technical classifications.

Her classification, compensation and organizational assessment experience is directly relevant to evaluating the scope and level of candidates’ HR and administrative backgrounds.

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Rhonda holds a master’s degree in Human Resources Management from Chapman University and a bachelor’s degree in Workforce Education and Development from Southern Illinois University. She has taught human resources courses at California State University, San Bernardino and University of California, Riverside Extension.

Henry T. Garcia, M.A. Henry has more than 30 years of public administration experience. He has served as City Manager in Azusa, Colton, Rialto and Moreno Valley, as Interim City Manager in Cudahy, Rialto and Eastvale, and in other municipal management roles. He also has more than 20 years of management consulting experience. His municipal leadership experience and professional network inform targeted outreach, candidate interviews and reference discussions.

Henry holds a master’s degree in Political Science from UCLA and a bachelor’s degree in Political Science from UC Riverside. He has completed executive programs at Berkeley, Harvard and the University of Virginia and has taught public policy at the university level.

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Section B: Proposed Recruitment Plan
Phase 1 Planning and Candidate Profiles
HRDPM will meet with the City Manager, Deputy City Manager and other designated staff to discuss each position’s responsibilities, priorities, challenges, minimum and preferred qualifications, and desired leadership attributes. We will review the applicable job descriptions and organizational information and prepare a separate candidate profile and recruitment brochure for each position. The City will review and approve each brochure before publication.

These discussions will address reporting relationships, near-term priorities, desired technical and management experience, and the working relationships each successful candidate must develop. We will distinguish requirements essential at appointment from qualifications the City prefers. The approved profiles will guide outreach, written screening, preliminary interviews and candidate comparisons.

Each brochure will describe the City, the position, key priorities, candidate profile, compensation and benefits information supplied by the City, application instructions and the anticipated selection process. HRDPM will submit drafts for review and incorporate one coordinated round of City comments before release.

Phase 2 Marketing and Candidate Outreach
HRDPM will prepare advertisements, recommend appropriate job boards and professional associations, conduct targeted outreach through its professional networks, and promote the openings through its website and social media channels. The City will place and pay for advertisements through approved sources. HRDPM and the City will coordinate application instructions so that HRDPM receives the materials needed to evaluate every applicant.

Sources may include professional HR, risk management, finance and municipal management organizations; public sector job boards; professional publications; direct contacts; and referrals from our network. We will adapt the sourcing list to each position. For promising prospects who are not actively seeking a move, direct conversations can explain the City’s needs and the opportunity in more depth than an advertisement alone.

HRDPM will track response to the campaigns, follow up with prospects and advise the City if the applicant pool suggests a need to adjust outreach. Any additional paid advertising will be subject to City approval before placement.

Phase 3 Application Review and Qualification Matrices
HRDPM will receive and acknowledge applications, maintain separate applicant records, and assess submitted materials against the approved criteria. For each position, we will prepare a qualification matrix summarizing relevant education, experience, technical background and other information supported by the application materials. Applicants will be grouped as Most Highly Qualified, Qualified or Not Qualified, with reasons tied to established criteria. We will review each matrix and the applicant materials with City management.

Our review will consider the scope of prior responsibilities, the setting and size of organizations served, supervisory and management assignments, and evidence of work relevant to the City’s stated priorities. We will identify gaps or matters that need clarification rather than infer a candidate’s leadership effectiveness or interpersonal style from a résumé. The matrices will provide a consistent

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HRDPM | City of Calimesa Recruitment Proposal Page 7
basis for discussing the pool while preserving the City’s discretion to advance any applicant it wishes to consider.

Phase 4 Preliminary Screening Interviews
Following review of the qualification matrices with City management, HRDPM will conduct preliminary screening interviews with up to ten candidates per recruitment. We will assess their relevant experience, accomplishments, leadership and management approach, communication skills and interest in the position, then provide recommendations for the City’s consideration. The City will decide which candidates advance.

The screening conversations will explore examples of work comparable to Calimesa’s needs, reasons for interest, availability, degree of match to the ideal candidate profile, and areas raised during the application review. Interviews may be conducted via video conferencing or in person as schedules permit.

Phase 5 City Managed Interviews
The City may opt to convene an outside oral interview panel to evaluate the top candidates, or may proceed directly to internal interviews. If an outside panel is used, it can give the City an additional structured comparison before the internal management interviews using outside perspective from local subject matter experts.

HRDPM recommends that the City forego the panel process and move directly to internal selection interviews for expediency, to maintain the momentum, and to not lose viable candidates to other potential employers in this highly competitive labor market. HRDPM’s preliminary screening of the top candidates will effectively serve in lieu of the panel process.

If the City opts to conduct an oral panel, the City will identify outside raters, arrange schedules, prepare questions and rating materials, administer the panel, compile its results, conduct internal interviews and select the preferred candidate.

Whether the City uses a panel or advances candidates directly, City staff will manage candidate notices, interview logistics, interview materials and the final decision process after HRDPM’s preliminary screening recommendations are delivered. We will remain available for consultation and collaboration to discuss and compare the City’s findings following the interviews, and our assessment of the candidates.

Phase 5 References and Background
After the City identifies a preferred candidate for each position, HRDPM will conduct professional reference checks and a thorough internet search for one candidate per recruitment and provide confidential summaries. Our reference checking will focus on individuals with direct knowledge of the candidate’s professional performance, leadership, working relationships and accomplishments. We will report material themes and any issues for City follow-up.

Following a conditional offer of employment and required authorizations, HRDPM will coordinate a background investigation through HRDPM’s third-party provider. The scope of the third-party background investigation will be approved by the City, typically including criminal and civil background, credit check, and verification of educational degrees and employment history. The standard background fee is typically under $300 each. This process will be conducted at the stage required by applicable hiring rules and the City’s procedures. HRDPM will assess the results in

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HRDPM | City of Calimesa Recruitment Proposal Page 8
collaboration with the City. The City will make the final hiring decision, extend offers and negotiate employment terms.

Candidate Communication and Project Coordination
HRDPM will acknowledge receipt of applications/resumes, respond to candidate inquiries during the recruitment and keep the City informed of progress. We will coordinate messages about the recruitment status with City staff so applicants receive consistent information. After the City takes over interviews, the City will issue interview invitations and selection-stage notices; HRDPM will help reconcile applicant records and respond to questions concerning its screening work.

The consultants will maintain separate records for the two positions and meet with City management at key decision points: approval of profiles and brochures, review of applicant matrices, presentation of preliminary screening results, review of reference checking results, and review of background check results. These checkpoints allow the City to adjust its decisions as each search develops without holding one position back while the other advances.

Responsibility Summary
Activity HRDPM City
Profiles, brochures, ads and
outreach Prepare and conduct Review and approve; place and pay for ads Applications and qualification
matrices
Receive, evaluate and
present
Review; decide who advances
Preliminary screening interviews Interview up to ten per search; summarize findings Review; decide who advances
Outside panel and internal
interviews Consult on prior findings Organize and conduct; select candidate References and background
Check one candidate per
search; coordinate service
with provider; submit
invoice to the City
Authorize, evaluate results and
decide appointment
Work Products
• Two approved candidate profiles and recruitment brochures, one for each position • Advertisements and a recommended placement and targeted outreach/marketing plan for each position
• Separate applicant records and qualification matrices, with supporting application materials • Preliminary interview recommendations for up to ten candidates per position, as an evolution of the matrices
• Confidential professional reference summaries for one preferred candidate per position • Coordination of City-authorized third-party background investigations

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HRDPM | City of Calimesa Recruitment Proposal Page 9
Proposed Concurrent Schedule
Timing Work
Weeks 1–2
Planning, profiles, brochures, ads and City approval of materials for both positions
Weeks 3–6 Advertising, targeted outreach and application intake (4-week recruitment) Weeks 7–8 Qualification matrices; City review; HRDPM preliminary screening interviews Weeks 9–10 Optional City-managed outside panels and City internal interviews Weeks 11–12 Reference checks, background coordination and City appointments This schedule is preliminary. The two searches may advance at different speeds based on applicant pools, City scheduling and background processing times.

The recruitment period begins after the City approves the brochures and advertisement plan. City review times, candidate availability and the time required for outside background checks may shift later milestones. HRDPM will advise City management when a decision or approval is needed to keep either search moving.

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HRDPM | City of Calimesa Recruitment Proposal Page 10
Section C: Cost Proposal
The proposed combined fixed professional fee for the two concurrent recruitments, including preliminary screening interviews for up to ten candidates per position, is $40,000. This working figure reflects the City’s management of the outside panel, if used, and final interviews and selection. The collaborative approach represents a $9,000 savings to the City.

Service Professional fee
Collaborative recruitment services for both positions, including preliminary screening interviews and top candidate recommendations $40,000 The City will place and pay for advertising directly. Third-party background investigation costs will be paid directly by the City or reimbursed at actual cost without markup after City approval. No travel or lodging costs are anticipated.

Invoicing
HRDPM anticipates submitting a single invoice for the full $40,000 professional fee upon delivery to the City of both candidate qualification matrices and the preliminary screening interview summaries identifying the leading candidates for each position; alternatively, if the two recruitments result in differing timelines, each recruitment will be invoiced separately at $20,000. There will be no progress or milestone invoices before that delivery.

The City’s subsequent scheduling of panels or internal interviews, selection decisions, and appointment dates will not delay invoicing. The included professional reference checks and background investigation coordination will be performed when the City identifies a preferred candidate for each position.

Changes in Scope
The base fee covers the agreed initial advertising period and evaluation of applications received during that period. A material extension, restart, additional reference checks, HRDPM administration of outside panels or other requested services will be scoped and authorized in writing before work begins. Such additional work shall be invoiced at the rate of $200 per hour. If the City discontinues the assignment before delivery of the matrices and interview summaries, HRDPM will invoice for work performed up to the date of cancellation, not to exceed the agreed fee.

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HRDPM | City of Calimesa Recruitment Proposal Page 11
Section D: References
Recent public agency references are listed below:

Agency Contact and recruitment experience
City of Rialto
Ed Scott, Mayor Pro Tem
(909) 746-7643
Placements: City Manager.

City of Eastvale
Clint Lorimore, Councilmember
[email protected] | (951) 316-1295
Placements: Assistant City Manager, Community Development Director, and Community Safety Director.

City of Yucaipa
Mayor Jon Thorpe
[email protected] | (909) 838-9792
Placements: City Manager.

City of Cudahy
Elizabeth Alcantar, Mayor
[email protected] | (323) 771-2072
Placements: City Manager.

San Gorgonio Pass Water
Agency
Lance Eckhart, General Manager
[email protected] | (909) 549-4739
Placements: Executive Assistant/Clerk of the Board, Chief Executive Officer (CEO) and Water System Operator II.

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HRDPM | City of Calimesa Recruitment Proposal Page 12
Section E: Agreement Terms
HRDPM will review the City’s professional services agreement and advise the City of any requested exceptions.

The firm maintains general, automobile and professional liability insurance and will obtain any required City business license before starting work.

HRDPM will perform the services as an independent contractor and comply with applicable equal employment opportunity requirements.

Respectfully Submitted by:

HR Dynamics & Performance Management, Inc.

Henry T. Garcia, Principal Consultant and Chief Executive Officer September 23, 2026

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AGREEMENT FOR PROFESSIONAL SERVICES
THIS AGREEMENT is made and entered into on October 5, 2026, by and between the City of Calimesa, a municipal corporation (“City”) and HR Dynamics & Performance Management, Inc., a California corporation (“Consultant”).

RECITALS
A. City desires to obtain services to conduct recruitment for the positions of Finance Director and HR/Risk Manager.

B. Consultant represents that it is qualified by virtue of experience, training, education, and expertise to provide these services and is able to perform the Scope of Work.

NOW, THEREFORE, in consideration of the mutual promises contained herein, the parties agree as follows:

Section 1. Consultant’s Scope of Work. Consultant shall perform the Scope of Work described in Exhibit A in a manner satisfactory to City and consistent with that level of care and skill ordinarily exercised by members of the profession currently practicing in the same locality under similar conditions (“Scope or Work” or services).

Section 2. Term of Agreement. This Agreement shall commence on October 5, 2026 and shall terminate when the services are completed, unless sooner terminated by the City.

Section 3. Time of Performance. Consultant shall commence its services under this Agreement upon receipt of a written notice to proceed from City in the manner described in Exhibit A. Consultant shall complete the services in conformance with the timeline set forth in Exhibit A.

Section 4. Compensation.
(a) City agrees to compensate Consultant, and Consultant agrees to accept in full satisfaction for the services required by this Agreement, a flat professional fee of $40,000 upon delivery to the City of both candidate qualification matrices and the preliminary screening interview summaries identifying the leading candidates for each position; alternatively, if the two recruitments result in differing timelines, each recruitment will be invoiced separately at $20,000.

There will be no progress or milestone invoices before that delivery. (b) Unless expressly provided for in Exhibit B, Consultant shall not be entitled to reimbursement for any expenses. Any expenses incurred by Consultant which are not expressly authorized by this Agreement will not be reimbursed by City. (c) City may request additional services under this Agreement. All such work, however, must be authorized in writing by either the City Manager or Deputy City Manager, and when applicable the City Council, prior to commencement. Consultant shall perform such services, and City shall pay for such additional services in accordance with fee schedule set forth in Exhibit B, or as otherwise agreed upon by the parties. Any work incurred by Consultant which is not expressly authorized by this Agreement will not be reimbursed by City.

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Section 5. Method of Payment. City shall pay Consultant in accordance with the schedule of compensation attached hereto, if any, and/or per monthly invoices submitted by Consultant in a form approved by City’s Finance Director (“Invoices”). City shall review, approve and pay such undisputed amounts on said Invoices within a reasonable time after City’s receipt of same.

Section 6. Independent Consultant. The parties agree, understand and acknowledge that Consultant is not an employee of the City, but is solely an independent Consultant. Consultant expressly acknowledges and agrees that City has no obligation to pay or withhold state or federal taxes or to provide workers’ compensation or unemployment insurance or other employee benefits and that any person employed by Consultant shall not be in any way an employee of the City. As such, Consultant shall have the sole legal responsibility to remit all federal and state income and social security taxes and to provide for his/her own workers compensation and unemployment insurance and that of his/her employees or subcontractors.

Neither City nor any of its agents shall have control over the conduct of Consultant or any of Consultant’s employees, except as otherwise provided herein. Consultant shall not, at any time, or in any manner, represent that it or any of its agents or employees are in any manner agents or employees of City.

Section 7. Assignment. This Agreement shall not be assigned in whole or in part, by Consultant without the prior written approval of City. Any attempt by Consultant to so assign this Agreement or any rights, duties or obligations arising hereunder shall be void and of no effect.

Section 8. Responsible Principal(s)

(a) Consultant’s responsible principals, Henry T. Garcia and Rhonda D. Strout-Garcia, shall be principally responsible for Consultant’s obligations under this Agreement and shall serve as principal liaisons between City and Consultant. Designation of another Responsible Principal by Consultant shall not be made without prior written consent of City. (b) City’s Responsible Principals shall be the City Manager or Deputy City Manager or such other person designated by the City Council who shall administer the terms of the Agreement on behalf of City.

Section 9. Personnel. Consultant represents that it has, or shall secure at its own expense, all personnel required to perform Consultant’s Scope of Work under this Agreement. All personnel engaged in the work shall be qualified to perform such Scope of Work.

Section 10. Permits and Licenses. Consultant shall obtain and maintain during the Agreement term all necessary licenses, permits and certificates required by law for the provision of services under this Agreement, including a business license.

Section 11. Interests of Consultant. Consultant affirms that it presently has no interest and shall not have any interest, direct or indirect, which would conflict in any manner with the performance of the Scope of Work contemplated by this Agreement. No person having any such interest shall be employed by or be associated with Consultant.

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Section 12. Insurance.
(a) Consultant shall at all times during the term of this Agreement carry, maintain, and keep in full force and effect, insurance as follows:

(1) A policy or policies of Comprehensive General Liability Insurance, with minimum limits of One Million Dollars ($1,000,000) for each occurrence and Two Million Dollars ($2,000,000) general aggregate, for bodily injury, personal injury, and property damage resulting from the wrongful or negligent acts by Consultant. Any deductibles or self-insured retentions attached to such policy or policies must be declared to and be approved by City. Further, Consultant agrees to maintain in full force and affect such insurance for one year after performance of work under this Agreement is completed.
(2) A policy or policies of Comprehensive Vehicle Liability Insurance covering personal injury and property damage, with minimum limits of One Million Dollars ($1,000,000) per occurrence combined single limit, covering any vehicle utilized by Consultant in performing the Scope of Work required by this Agreement.
(3) Workers' compensation insurance as required by the State of California. (4) A policy or policies of Professional Liability Insurance (errors and omissions), when required, or if applicable, with minimum limits of One Million Dollars ($1,000,000) per claim and in the aggregate. Any deductibles or self-insured retentions attached to such policy or policies must be declared to and be approved by City. Further, Consultant agrees to maintain in full force and effect such insurance for a period of no less than three years after performance of work under this Agreement is completed. (b) Consultant shall require each of its sub-contractors (if any) to maintain insurance coverage which meets all of the requirements of this Agreement. (c) The City’s Risk Manager may, in writing, amend and/or waive the insurance provisions set forth in paragraph (a) herein. In such case, the Consultant shall comply with the insurance provisions required by the City’s Risk Manager. (d) The policy or policies required by this Agreement shall be issued by an insurer admitted in the State of California and with a rating of at least an A-, VI in the latest edition of Best's Key Rating Guide or by an insurer acceptable to the City’s Risk Manager. (e) Consultant agrees that if it does not keep the aforesaid insurance in full force and effect City may either immediately terminate this Agreement or, if insurance is available at a reasonable cost, City may take out the necessary insurance and pay, at Consultant's expense, the premium thereon.

(f) At all times during the term of this Agreement, Consultant shall maintain on file with the City Clerk a certificate or certificates of insurance on the form approved by the City’s Risk Manager, showing that the aforesaid general liability policy is in effect in the required amounts.

Consultant shall, prior to commencement of work under this Agreement, file with the City Clerk such certificate or certificates. The general liability insurance shall contain an endorsement naming the City as an additional insured. All of the policies required under this Agreement shall contain an endorsement providing that the policies cannot be canceled or reduced except on thirty

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(30) days prior written notice to City, and specifically stating that the coverage contained in the policies affords insurance pursuant to the terms and conditions as set forth in this Agreement. (g) The insurance provided by Consultant shall be primary to any coverage available to City. The policies of insurance required by this Agreement shall include provisions for waiver of subrogation.
(h) Any deductibles or self-insured retentions must be declared to and approved by City. At the option of City, Consultant shall either reduce or eliminate the deductibles or selfinsured retentions with respect to City, or Consultant shall procure a bond guaranteeing payment of losses and expenses.

Section 13. Indemnification. In connection with any and all claims, demands, damages, liabilities, losses, costs or expenses, including attorneys’ fees and costs of defense (collectively, “Claims” hereinafter), Consultant shall defend, hold harmless and indemnify the City, and its elected officials, officers, employees, servants, designated volunteers, and those City agents serving as independent Consultants in the role of City officials (collectively, “Indemnitees”), Indemnitees with respect to any and all Claims, including but not limited to, Claims relating to death or injury to any person and injury to any property, which arise out of, pertain to, or relate to the acts or omissions of Consultant or any of its officers, employees, subcontractors, or agents in connection with the performance of this Agreement, including without limitation the payment of attorneys’ fees, and other related costs and expenses. With respect such Claims, Consultant shall defend City, with counsel of City’s choice, at Consultant’s own cost, expense, and risk and shall pay and satisfy any judgment, award, or decree that may be rendered against City.

Consultant shall reimburse City for any and all legal expenses and costs actually incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Consultant’s obligation to indemnify shall not be restricted to insurance proceeds, if any, received by Consultant or City. All duties of Consultant under this Section shall survive termination of this Agreement.

Section 14. Termination.
(a) City shall have the right to terminate this Agreement for any reason or for no reason upon fifteen calendar days' written notice to Consultant. Consultant agrees to cease all work under this Agreement on or before the effective date of such notice. (b) In the event of termination or cancellation of this Agreement by City, due to no fault or failure of performance by Consultant, Consultant shall be paid based on the percentage of work satisfactorily performed at the time of termination. In no event shall Consultant be entitled to receive more than the amount that would be paid to Consultant for the full performance of the services required by this Agreement. Consultant shall have no other claim against City by reason of such termination, including any claim for compensation. Upon termination, Consultant shall provide to City any and all Documents, whether in draft or final form, prepared by Consultant as of the date of termination. Consultant may not terminate this Agreement except for City’s nonpayment upon an Invoice within sixty (60) days of City’s receipt thereof.

Section 15. City’s Responsibility. City shall provide Consultant with all pertinent data, documents, and other requested information as is available for the proper performance of Consultant’s Scope of Work.

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Section 16. Information and Documents. All documents, data, studies, surveys, drawings, maps, models, photographs, presentations, records and reports prepared for City in connection with this Agreement (“Documents”) shall become the property of City, and City may use all or any portion of the work submitted by Consultant pursuant to this Agreement as City deems appropriate. Consultant may, however, make and retain such copies of said Documents, as Consultant may desire.

Section 17. Changes in the Scope of Work. City shall have the right to order, in writing, changes in the scope of work or the services to be performed. Any changes in the scope of work requested by Consultant must be made in writing and approved by both parties.

Section 18. Notice. Any notices, bills, invoices, etc. required by this Agreement shall be deemed received on (a) the day of delivery if delivered by hand during the receiving party's regular business hours or by facsimile before or during the receiving party's regular business hours; or (b) on the second business day following deposit in the United States mail, postage prepaid to the addresses set forth below, or to such other addresses as the parties may, from time to time, designate in writing pursuant to this section.

If to City:

Calimesa City Hall
908 Park Avenue
Calimesa, CA 92320
Attention : Deputy City Manager

If to Consultant:

HR Dynamics & Performance Management, Inc.
461 Green Orchard Place
Riverside, CA 92506
Attention: Henry T. Garcia, President

Section 19. Attorney's Fees. In the event that either party commences any legal action or proceeding to enforce or interpret the provisions of this Agreement, the prevailing party in such action shall be entitled to reasonable attorney's fees, costs and necessary disbursements, in addition to such other relief as may be sought and awarded.

Section 20. Entire Agreement. This Agreement represents the entire integrated agreement between City and Consultant, and supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be amended only by a written instrument signed by both City and Consultant.

Section 21. Governing Law. The interpretation and implementation of this Agreement shall be governed by the domestic law of the State of California.

Section 22. City Not Obligated to Third Parties. City shall not be obligated or liable under this Agreement to any party other than Consultant.

Section 23. Exhibits; Precedence. All documents referenced as exhibits in this Agreement are hereby incorporated in this Agreement. In the event of any material discrepancy

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between the express provisions of this Agreement and the provisions of any document incorporated herein by reference, the provisions of this Agreement shall prevail.

Section 24. Equal Employment Opportunity. In connection with its performance under this Agreement, Consultant shall not discriminate against any employee or applicant for employment because of race, religion, color, sex, age, marital status, ancestry or national origin.

Consultant shall ensure that applicants are employed, and that employees are treated during their employment, without regard to their race, religion, color, sex, age, marital status, ancestry or national origin. Such actions shall include, but not be limited to, the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship.

Section 25. Prevailing Wage and Payroll Records. [Check if Applicable] Notice is hereby given that in accord with California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., (“Prevailing Wage Laws”), Consultant is required to pay not less that the general prevailing rate of per diem wages for work of a similar character in the locality in which Consultant’s Services pursuant to this Agreement are performed, and not less than the general prevailing rate of per diem wages for holiday and overtime work. In that regard, the Director of the Department of Industrial Relations of the State of California is required to and has determined such general prevailing rates of per diem wages. Copies of the State prevailing wage rates and the latest revisions thereto are available on the Internet at www.dir.ca.gov. (a) Covenant to Comply. Consultant covenants that it shall fully comply with all applicable federal and state labor laws (including, without limitation, if applicable, the Prevailing Wage Laws). For purposes of this Section 25(a) only, the term “subcontractors” shall not include suppliers, manufacturers, or distributors. Consultant further covenants that it shall take all practicable steps to ensure that its subcontractors comply with Prevailing Wage Laws if applicable to work performed by subcontractors. References to “Covered Services” hereinafter shall designate such Services as are subject to Prevailing Wage Laws. (b) Payroll Records. Consultant and all subcontractors performing Covered Services shall keep an accurate payroll record, showing the name, address, social security number, job classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyperson, apprentice, or other employee. All payroll records shall be certified as being true and correct by Consultant or the subcontractors performing Covered Services keeping such records; and the payroll records shall be available for inspection at all reasonable hours at Consultant’s principal office.

Section 26. Severability. Invalidation of any provision contained herein or the application thereof to any person or entity by judgment or court order shall in no way affect any of the other covenants, conditions, restrictions, or provisions hereof, or the application thereof to any other person or entity, and the same shall remain in full force and effect.

Section 27. Guarantee. Consultant agrees that if a recommended candidate selected for the position is terminated, resigns or otherwise leaves within the first year of employment (regardless of reason), Consultant will conduct the search as set forth in Exhibit A at no cost (with the exception of expenses).

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CONSULTANT

_________________________________________
HENRY T. GARCIA, PRESIDENT

CITY OF CALIMESA
________________________________________
JEFF CERVANTEZ, MAYORr
ATTEST:
_________________________________________

DARLENE GERDES, CITY CLERK

APPROVED AS TO FORM
__________________________________________

STEVEN FLOWER, CITY ATTORNEY

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EXHIBIT A

SCOPE OF WORK AND TIME OF PERFORMANCE

THE RECRUITMENT PROCESS
Consultant shall assist the City in the recruitment of a City Manager. Consultant shall ensure that City has quality candidates from which to select the new City Manager. Outlined below is an Overview of our recruitment process.
• Conduct one-on-one interviews with the Mayor and City Council to develop the appropriate specifications and “candidate profile” including minimum qualifications and highly desired qualities in the top candidate;
• Solicit input from organizational leadership and other stakeholders regarding candidate qualifications, characteristics, and attributes in order to develop a comprehensive/ professional brochure;
• Perform direct targeted outreach and marketing of the opportunity including making personal contact with top-level candidates, advertising, and use of social media; • Develop recruitment materials and advertisements for review/approval by the hiring authority;
• Screen candidates for minimum qualifications and highly desirable qualifications; narrow down to the most highly qualified candidates;
• Conduct preliminary interviews with highly qualified candidates narrowing the pool further to the top/leading candidates;
• Coordinate and facilitate the interview panel process with top/leading candidates; • Conduct professional reference checks and internet searches on finalist(s); • Perform Job Match Assessment on each finalist (max of 3), as well as the current City Manager;
• Facilitate background check on the finalist(s);
• Assist in negotiations between the finalist and the organization’s hiring authority.

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CITY MANAGER RECRUITMENT SCHEDULE
Timeline Activity
May 2, 2022 Contract goes to Council for Approval; finalize Contract with HRDPM
June 13 – 16, 2022 Conduct Interviews with City Council (mid-June) June 20 – July 1, 2022 Develop desired candidate profile, and create recruitment brochure; coordinate placement of advertisements in
recommended sources and trade journals to attract qualified candidates; advertise using social media.

July 5 – August 10, 2022 Active recruitment period (5 weeks) in which targeted outreach is conducted and candidates submit application materials, conduct screening of applicants as they are received.

August 15 (Council) Preliminary report on summary of candidates prepared and August 16 –19, 2022 submitted to City Council; candidates notified of status as to whether proceeding to next step; leading candidates scheduled for consultant interviews.

August 22 – 26, 2022 Consultant conducts interviews with leading candidates to identify and narrow to most highly qualified candidates.

September 6, 2022 Consultants meets with City Council to present list of most highly qualified candidates.

September 7 – 9, 2022 Consultant schedules interview panel with most highly qualified candidates, notifying candidates selected to proceed and providing details of next step. Consultant conducts preliminary background/google search on top candidates.

September 17, 2022 Proposed panel interview date for candidates with City Council.

September 19 – 23, 2022 Background check on finalist(s), facilitation of job offer and terms, salary negotiation, and related items to employment.

October, 2022 City Council approval of contract, and commencement of employment.
* Note: the timeline is subject to adjustment, as determined by discussion with City of Calimesa, and depending on the advertising sources selected where lead time for publication may be required.

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EXHIBIT B

CONSIDERATION
City shall pay Contractor for the services required by this Agreement for conducting the City Manager recruitment on behalf of the City a flat fee amount of $19,500. In addition, the City will reimburse Consultant’s expenses and additional services authorized in the performance of this Agreement in an amount not to exceed $3,085. Reimbursable expenses include such items as the cost of recruiter travel; clerical support; brochure development; express mail delivery; placement of ads; credit, criminal and civil background checks; education verification; and public records searches. Postage, printing, photocopying, and telephone charges are allocated costs and included in the expense estimate.

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RESOLUTION 2026-65

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CALIMESA, CALIFORNIA, AMENDING THE FY 2026-27 BUDGET

TO INCLUDE AN ADJUSTMENT IN THE ADMINISTRATIVE

FUNCTIONS/HUMAN RESOURCES PROFESSIONAL SERVICES

ACCOUNT IN THE GENERAL FUND
WHEREAS, the City Council has approved job descriptions for the classifications of Finance Director and Human Resources/Risk Manager; and WHEREAS, there is a need to recruit for the Finance Director and Human Resources/Risk Manager positions; and

WHEREAS, HR Dynamics and Performance Management, Inc. has provided successful recruitments for the City of Calimesa and to many clients in California.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CALIMESA HEREBY FINDS, DETERMINES, RESOLVES AND ORDERS AS FOLLOWS:

The Fiscal Year 2026-27 General Fund Budget is hereby amended as follows:
• Increase appropriations in account 100-2010-60100 by $40,000.

PASSED, APPROVED, and ADOPTED this 5th day of October 2026.

_____________________________________

JEFF CERVANTEZ, MAYOR
ATTEST:
_________________________________

DARLENE GERDES, CITY CLERK

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CITY COUNCIL MEETING
Agenda Report
Agenda Item No. 6.

SUBJECT: Treasurer's Report for the Month Ended July 31, 2026 MEETING DATE: October 5, 2026
PREPARED BY: Celeste Reid, Finance Director
RECOMMENDATION:

That the City Council receive and file the Investment Report for the month ended July 31, 2026.

BACKGROUND:

Pursuant to Council Resolution No. 2026-58 approved on September 21, 2026, the monthly Treasurer’s Report is hereby submitted. The report complies with the aforementioned Council resolution, as well as Government Code Section 53646.

DISCUSSION:

The investment report provides information in accordance with the Investment Policy approved by Council Resolution No. 2026-58. Information includes the reporting of realized and unrealized gain and loss activity for the respective month of reporting. Generally, unrealized gains and losses are the day-to-day increases or decreases in an assets value. Until an investment is sold for cash, the gains or losses remain unrealized. Realized gains and losses reflect the results of selling of investments and are the difference between the cost basis and the market value as of the transaction date of sale. The City will continually have reportable changes of unrealized gain and loss activity between cost basis and market value as underlying investments are subject to the variability of market conditions. Staff evaluates investment options on an ongoing basis to ensure reasonable access to funds and reserves are set aside to maintain availability of cash position for general operations and capital assets.

Significant transactions during the month include a transfer of $1,500,000 from LAIF to the Bank of America account on July 31, 2026.

FISCAL IMPACT:

Revenue of $10,547 interest and dividend earnings was recognized for LAIF Quarterly Interest, Checking Sweep account, CFD and Successor Agency funds.

ATTACHMENTS:

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1. Treasurer's Report for the month ended July 31, 2026

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CITY OF CALIMESA

INVESTMENT REPORT
For the Month Ended
Celeste Reid, CPA
Finance Director and Treasurer
Celeste Reid
July 31, 2026
All City investments are shown are shown in this report and conform to the City Investment Policy. All investment transactions during this period are included in this report. As City Treasurer of the City of Calimesa, I hereby certify that sufficient investment liquidity and anticipated revenue are available to meet the next six (6) months' estimated expenditures.

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CASH AND INVESTMENTS HELD FOR CITY OPERATIONS
Yield Interest &
Par Maturity Cost Market % of Coupon Interest Dividends Realized Unrealized Institution/Investment Type Value Call Date Basis Value Porfolio Rate Rate Earned Gain(Loss) Gain(Loss) Bank of America Checking and Sweep Account 2,164,173 On Demand $ 2,164,173 $ 2,164,173 8% N/A 2.53% $ 4,207 N/A N/A Local Agency Investment Fund LAIF 23,492,915 On Demand 23,492,915 23,466,423 92% N/A 3.84% $ - - $ (26,492) Petty Cash 400 On Demand 400 400 0% N/A None $ - N/A N/A Total Cash and Investments Held by City $ 25,657,488 $ 25,630,996 100% $ 4,207

CASH AND INVESTMENTS HELD BY THIRD PARTY TRUSTEE
Yield Interest &
Par Maturity Cost Market % of Coupon Interest Dividends Realized Unrealized Institution/Investment Type Value Call Date Basis Value Porfolio Rate Rate Earned Gain(Loss) Gain(Loss) BNY Bank of New York Mellon Successor Agency Bond Accounts Blackrock Treasury Trust Instl 10 Money Market fund 159,440 On Demand $ 159,440 $ 159,440 7% N/A 3.63% $ 602 N/A N/A Blackrock Treasury Trust Instl 62 Money Market fund 48,214 On Demand 48,214 48,214 2% N/A 3.63% - N/A N/A US Bank - Community Facilities Districts
Blackrock Liquidity Fund T-Fund Dollar 2,135,897 On Demand 2,135,897 2,135,897 90% N/A 3.34% 5,738 N/A N/A Total Cash and Investments Held by Trustee $ 2,343,551 $ 2,343,551 100% $ 6,340

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CITY COUNCIL MEETING
Agenda Report
Agenda Item No. 7.

SUBJECT: PUBLIC HEARING: 2nd Reading. by title only, Ordinance No. 426 - An Ordinance Of The City Of Calimesa, California, Making Administrative Revisions To Ordinance Nos. 415 And 416, Amending Chapter 15.05 (Adoption Of The 2025 Edition Of The California Building Code), Chapter 15.15 (Adoption Of The 2025 Edition Of The California Electrical Code), Chapter 15.20 (Adoption Of The 2025 Edition Of The California Plumbing Code), Chapter 15.35 (Adoption Of The 2025 Edition Of The California Residential Code), And Chapter 15.37 (Hud Foundations Guide For Manufactured Housing), Of Title 15 Of The Calimesa Municipal Code, And Approving A CEQA Exemption Determination.

MEETING DATE: October 5, 2026
PREPARED BY: Paul Lindley, Fire Chief
RECOMMENDATION:

That the City Council hold the public hearing and adopt 2nd reading, by title only Ordinance No. 426 - An Ordinance of the City of Calimesa, California, making administrative revisions to Ordinance Nos. 415 and 416, amending Chapter 15.05 (Adoption of the 2025 Edition of the California Building Code), Chapter 15.15 (Adoption of the 2025 Edition of the California Electrical Code), Chapter 15.20 (Adoption of the 2025 Edition of the California Plumbing Code), Chapter 15.35 (Adoption of the 2025 Edition of the California Residential Code), and Chapter

15.37 (HUD Foundations Guide for Manufactured Housing), of Title 15 of the Calimesa Municipal Code, and approving a CEQA exemption determination.

BACKGROUND:

The City previously adopted Ordinance Nos. 415 and 416, thereby adopting by reference and amending certain Codes comprising the 2025 California Building Standards Code (“State Building Codes”), including the California Building, Residential, Electrical, Mechanical, Plumbing, Energy, Historical Building, Existing Building and Green Building Standards Codes; together with the HUD Foundations Guide for Manufactured Housing.

Since adoption and codification of the foregoing Codes, certain text and provisions from the 2022 Editions of said Codes were inadvertently included in Ordinance Nos. 415 and 416.

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Calimesa City CouncilOctober 5, 2026

Calimesa City Council
October 5, 2026