Campbell City Council
June 7, 2022

City Council Agenda
City of Campbell, 70 N. First St., Campbell, California

NOTE: To protect our constituents, City officials, and City staff, the City requests all members of the public follow the guidance of the California Department of Health Servi ces', and the County of Santa Clara Health Officer Order, to help control the spread of COVID-19.

Additional information regarding COVID-19 is available on the City's website at www.campbellca.gov.

This City Council Regular meeting will be conducted in person as well as telecommunication and is compliant with provisions of the Brown Act. A quorum of the City C ouncil will be in attendance at the City of Campbell City Hall.

The City Council meeting will be live -streamed on Channel 26, the City's website and on YouTube https://www.youtube.com/user/CityofCampbell for those who only wish to view the meeting.

Those members of the public wishing to provide public comment virtually are asked to register in advance at: https://www.campbellca.gov/signup. After registering, you will receive a confirmation email containing information about joining the meeting. Members of the public may attend the meeting in person at Campbell City Hall - Council Chambers.

Public comment will also be accepted via email at [email protected] prior to the start of the meetin g. Written comments will be posted on the website and distributed to the Council. If you choose to email your comments, please indicate in the subject line “FOR PUBLIC COMMENT” and indicate the item number.

REGULAR MEETING OF THE CAMPBELL CITY COUNCIL
Tuesday, June 7, 2022 7:30 p.m.

City Hall Council Chamber – 70 N. First Street

CALL TO ORDER

ROLL CALL

PLEDGE OF ALLEGIANCE

SPECIAL PRESENTATIONS AND PROCLAMATIONS

COMMUNICATIONS AND PETITIONS

ORAL REQUESTS
NOTE: This portion of the meeting is reserved for persons wishing to address the City Council on any matter not on the agenda. Persons wishing to address the Council are requested, but not required to complete a Speaker’s Card. Speakers are limited to two (2) minutes. The law generally prohibits the Council from discussion or taking action on such items. However, the Council may instruct staff accordingly regarding Oral Requests.

COUNCIL ANNOUNCEMENTS

CONSENT CALENDAR
NOTE: All matters listed under consent calendar are considered by the City Council to be routine and will be enacted by one motion. There will be no separate discussion of these items unless a request is made by a member of City Council, City staff, or a member of the public.

Any person wishing to speak on any item on the consent calendar should ask to have the item removed from the consent calendar prior to the time the Council votes to approve. If removed, the item will be discussed in the order in which it appears.

1. Minutes of City Council Special Meeting of May 9, 2022 Recommended Action: Approve the Special Meeting Minutes of May 9, 2022.

2. Minutes of City Council Executive Session Meeting of May 17, 2022 Recommended Action: Approve the Executive Session Meeting Minutes of May 17, 2022.

3. Approving Bills and Claims
Recommended Act ion: Approve the bills and claims in the amount of $3,572,021.20.

4. Monthly Investment Transactions Report (April 2022)
Recommended Action: That the City Council review and accept the Monthly Investment Transactions Report for April 2022.

5. Second Reading of Ordinance No. 2282 Adding Chapter 6.19 and Amending Sections 6.10.020 and 6.10.170 of the City of Campbell Municipal Code to Implement AB 1276 Single -Use Foodware Accessories and Standard Condiments, and Enfo rce CALGreen Building Standards Code with the City’s Administrative Process (Ordinance/Roll Call Vote) Recommended Action: That the City Council adopt Ordinance No. 2282 adding Chapter 6.19 and amending Sections 6.10.020 and 6.10.170 of the City of Campbell Municipal Code implementing new state legislative requirements for single-use foodware accessories and standard condiments, and establishing an enforcement process for CALGreen building standards codes.

6. Second Reading of Ordinance No. 2281 Amending Chapter 21.10 of the Campbell Municipal C ode Revising the Side -Yard Setback Requirements for Properties Located Within the M -1 (Light Industrial) and C -2 (General Commercial) Zoning Districts (Ordinance/Roll Call Vote) Recommended Action: That the City C ouncil adopt Ordinance No. 2281 amending Chapter 21.10 of the Campbell Municipal Code revising the side -yard setback requirements for properties located within the M -1 (Light Industrial) and C-2 (General Commercial) Zoning Districts.

7. Renewal of License Agreement with Campbell Pony Baseball Lea gue for Use of the Baseball Field, Concession Building, and Associated Areas at John D. Morgan Park (Resolution/Roll Call Vote)
Recommended Action: That the City Council adopt a Resolutio n authorizing the City Manager to execute a renewal of the License Agreement with Campbell Pony Baseball League for the use of the enclosed baseball field, concession building, and associated areas at John D. Morgan Park for the period of July 1, 2022 - June 30, 2025.

8. Third Amendment to Agreement with the County of San ta Clara to Provide a Senior Nutrition Program for Fiscal Year 2022 -23 (Resolution/Roll Call Vote)
Recommended Action: That the City Council adopt a Resolution authorizing the City Manager to execute a Third Amendment to the Agreement with the County of Santa Clara for the provision of congregate meal services extending the Agreement and providing funding for Campbell's Senior Nutrition Program for Fiscal Year 2022-23.

9. Third Amendment t o Agreement with Trio Community Meals, LLC to Provide Catered Meals for the Senior Nutrition Program for Fiscal Year 2022-23 (Resolution/Roll Call Vote)
Recommended Action: That the City Council adopt a Resolution authorizing the City Manager to execute the Third Amendment to the Agreement with Trio Community Meals, LLC to provide catered meals for the Senior Nutrition Program for Fiscal Year 2022-23.

10. Agreement with MoonChef, LLC to Provide Catered Meals for the Senior Nutrition Program for Fiscal Year 2022-23 (Resolution/Roll Call Vote) Recommended Action: That the City Council adopt a Resolution authorizing the City Manager to execute an Agreement with MoonChef, LLC to provide catered meals for the Senior Nutrition Program during Fiscal Year 2022-23.

11. Accept Improvements for the Campbell Community Center Track Resurfacing Project 21 -PP, and File Notice of Completion (Resolution/Roll Call Vote)
Recommended Action: That the City Council adopt a Resolution accepting the "Improvements to the Campbe ll Community Center Track Resurfacing Project 21-PP" (Project); and direct the City Clerk to file the Notice of Completion.

12. Approval of Tract Map No. 10572 Including Acceptance of Public Service Easements Shown on Said Map – 202 West Rincon Avenue (Resolution/Roll Call Vote)
Recommended Action: That the City Counci l adopt a Resolution approving the Tract Map for Tract No. 10572 and accept the public service easements as shown on the map for the property located at 202 West Rincon Avenue.

13. Preliminary Approval of Engineer’s Report and Adoption of Resolution of Intention, Lighting District LLA -1, Fiscal Year 2022 -23 and Set Time and Place for Public Hearing (Resolution/Roll Call Vote)
Recommended Action: That the City Council adopt a Resolution pre liminarily approving the Engineer’s Report for the annual levy and collection of assessments for City of Campbell Lighting District LLA-1 for Fiscal Year 2022-23; and adopt a Resolution declaring Council’s intention to levy and collect assessments within t he City of Campbell Lighting District LLA -1 for Fiscal Year 2022-23 and setting forth the time and place for a required Public Hearing.

14. Authorization to Issue Request for Proposals for Design Services for Campbell Priority Development Area (PDA) Enhanc ements Project (CIP No. 22-NN) (Resolution/Roll Call Vote)

Recommended Action: That the City Council adopt a Resolution authorizing the issuance of a Request for Proposal (RFP) for consultant design services and authorizing the City Manager to execute a contract with the selected design consultant in an amount not to exceed $500,000.

15. Resolution Authorizing the Use of Fiscal Year 2022 -23 Road Maintenance and Rehabilitation Account (RMRA) Funds for the Fiscal Year 2022 -23 Annual Street Maintenance Project (Resolution/Roll Call Vote) Recommended Action: That the City Council adopt a Resolution authorizing the use of Fiscal Year 2022-23 Road Maintenance and Rehabilitation Account Funds for the Fiscal Year 2022 -23 Annual Street Maintenance to resurface Ha milton Avenue.

PUBLIC HEARINGS AND INTRODUCTION OF ORDINANCES
NOTE: Members of the public may be allotted up to two (2) minutes to comment on any public hearing item. Applicants/Appellants and their representatives may be allotted up to a total of five (5) minutes for opening statements and up to a total of three (3) minutes maximum for closing statements. Items requested/recommended for continuance are subject to Council’s consent at the meeting.

16. Introduction of Ordinance Amending Sections 6.10.015, 6. 10.030 and

6.10.180 of the City of Campbell Municipal Code to Add P rovisions Regarding the Use of Compliance Agreements in Code Enforcement (Ordinance/Roll Call Vote)
Recommended Action: That the City Council introduce an Ordinance amending Sections 6.10 .015, 6.10.030, and 6.10.180 of the Campbell Municipal Code adding provisions regarding the use of Compliance Agreements in Code Enforcement.

17. Introduction of Ordinance Adjusting City Council Compensation (Ordinance/Roll Call Vote)
Recommended Action: That the City Council introduce an Ordinance adjusting the amount of Councilmember compensation, within the limits set forth by Government Code Section 36516.

NEW BUSINESS

18. Calling General Municipal Election for Districts 3, 4 and 5; and Requesting Consolidation of Election in Accordance with California Elections Code Section 10418 (Resolution/Roll Call Vote)
Recommended Action: That the City Council adopt a Resolution calling the General Municipal Election for November 8, 2022 to elect one Councilmem ber from District 3, one Councilmember from District 4, and one Cou ncilmember from District 5; requesting consolidation of election with the Registrar of Voters in accordance with California Elections Code Section 10418; resolving any tie votes by lot; lev ying a fee to each candidate for their Candidate Statement; and, directing staff to proceed with the election despite the absence of qualified candidates.

19. Resolution Amending Compensation for City Clerk Services (Resolution/Roll Call Vote)

Recommended Action: That the City Council adopt a Resolution amending Compensation for City Clerk services.

UNFINISHED BUSINESS

20. Receive an Update on the Economic Development Strategy and Consider Issuance of a Request for Proposals for Consultant Services to Support the Short-Term Economic Development Strategy and to Prepare an Update to the City's Economic Development Plan (Resolution/Roll Call Vote) Recommended Action: That the City Council adopt a Resolution authorizing the issuance of a Request for Proposal s for consultant services to support implementation of the short -term Economic Development Strategy and a comprehensive update to the City's Economic Development Plan; and authoriz e the City Manager to execute a contract with the selected service provide r in an amount not to exceed $200,000.

21. Resolution to Authorize the City Manager to Execute a Consultant Services Agreement with HouseKeys, Inc. (Resolution/Roll Call Vote) (PLN-2022-50) Recommended Action: That the City Council adopt a Resolution aut horizing the City Manager to execute a one -year Consultant Services A greement with HouseKeys, Inc. to serve as the City’s Below -Market Rate Program Administrator.

COUNCIL COMMITTEE REPORTS

22. Council Committee Reports
Recommended Action: That the City C ouncil report on activities from their committee assignments.

ADJOURN
IMPORTANT NOTICE: Materials related to an item on this agenda submitted to the City Council after distribution of the agenda packet are available for public inspection with the agenda pa cket in the lobby of City Clerk’s Office, 70 N. First Street, Campbel l, CA 95008, during normal business hours. These materials will also be available on the City website at https://www.ci.campbell.ca.us/agendacenter with the agenda packet following the last item of the agenda, subject to staff’s ability to post the documents prior to the meeting. All documents not posted prior to the meeting will be posted the next business day.

In compliance with the Americans with Disabilities Act, listening assistive devices are available for all meetings held in the City Council Chambers. If you require accommodation, please contact the City Clerk’s Office, (408) 866-2117, at least one week in advance of the meeting.

CITY COUNCIL MINUTES
City of Campbell, 70 N. First St., Campbell, California

SPECIAL MEETING OF THE CAMPBELL CITY COUNCIL
Monday, May 9, 2022 – 6:00 p.m.

City Hall Council Chamber – 70 N. First Street

This City Council Special meeting was duly noticed pursuant to open meeting requirements of the Ralph M. Brown Act (G.C. Section 54956).

CALL TO ORDER

The City Council of the City of Campbell convened this day in the regular meeting place, the City Hall Council Chamber, 70 N. First St., Campbell, California.

ROLL CALL

Attendee Name Title Status
Paul Resnikoff Mayor Present
Anne Bybee Vice Mayor Present
Elizabeth 'Liz' Gibbons Councilmember Present
Susan M. Landry Councilmember Present
Sergio Lopez Councilmember Present

PUBLIC COMMENT

There were no public comments.

UNFINISHED BUSINESS

1. Review Campbell's Plan for Housing – Objectives, Policies and Programs (PLN-2021-12)
Recommended Action: Review and provide feedback on the modified and refined Objectives, Policies, and Programs, to be include d in the Draft “Campbell’s Plan for Housing” to be published late May 2022.

Community Development Director Rob Eastwood introduced Staff Report dated May 9, 2022 and reviewed the presentation outline, noting this is Council’s second review of the proposed objectives, policies, and programs for Campbell’s Plan for Housing which will be available for public review beginning later in May 2022, at which tim e the draft Housing Element will be sent to the Department of Housing and Community Development (HCD), f or their comments. A final draft will be available for Council review and approval at the end of 2022. The final Housing Element must be certified by HCD in January 2023.

Director Eastwood reviewed the Community outreach efforts on this process including several community meetings, meetings with affordable housing developers, market -rate developers, faith -based organizations, opportunity site 1 Packet Pg. 6
Minutes Acceptance: Minutes of May 9, 2022 6:00 PM (CONSENT CALENDAR)

Minutes of May 9, 2022 City Council Meeting Page 2
property o wners, and service providers, as well as the Campbell Chamber of Commerce, the Rotary Club, and Veteran’s groups.

Brittany Bendix, M -Group Representative, reviewed Council’s feedback from the April 20, 2022 Council meeting on this topic, noting that Objective #’s 1F (accessory dwelling unit [ADU] ordinance updates), 2A (rent control ordinance), and 5C (ADU i ncentives for special needs populat ions), were removed from the list of policies and programs. Objective # 1K (strategically interfacing with the legislature) was added. Objective #’s 1G (pre -approved ADU plans), 1J (missing middle ordinance), 2B (preserva tion of mobile home parks), 3B (per mit streamlining), 3C (impact fee adjustments), 4A (siting development), 4B (resilient design), and 5F (multilingual information) were all elevated in their priority listing.

Ms. Bendix reviewed a chart listing the housin g programs discussed by Council and the associated estimate of below market rate unit production numbers.

Ms. Bendix stated that Program H -1c relating to the Affordable Housing Overlay Zone (AHOZ) is being recommended as a tool to incentivize affordable h ousing developers to stay under the City’s 75 -foot building height limit, which could include mechanisms like fee waivers, city -funded frontage improvements, and a ministerial review among other things. The Planning Commission has supported the AHOZ and recommended the HOME Church site to be included in the AHOZ.

Asher Kohn, M -Group Representative, reviewed program H -1d noting this program establishes a maximum average unit size of 1,250 square feet for projects with a density over 45 dwelling units per ac re, with an intent to promote the production of smaller more affordable units.

Senior Planner, Stephen Rose noted that neither the City Council nor the Planning Commission have supported a citywide rent control ordinance, however Staff is recommending pro gram H-2a relating to below market rate housing rent control. Staff is recommending to cap yearly increases for units in the City’s below market rate program to no more than 5% plus the percent change in the Consumer Price Index or 10%, whichever is lower.

Mr. Kohn stated that Program H -3a relating to parking standards recommends updating the Municipal Code to reduce parking requirements near transit, provide incentives for reduced parking, reduce parking requirements citywide to no more than two parking spaces per unit, removing guest pa rking requirements, and to allow parking to be unbundled from residential units. Unbundling parking would allow parking stalls to be rented separately from the units. Staff is recommending a hybrid approach to parking, al lowing a portion of parking stalls to be included with rent and the option for a renter to rent additional parking spaces on an as needed basis.

Mr. Kohn reviewed the programs associated with Affirmatively Furthering Fair Housing (AFFH) and those that su pport special needs populations (se niors, people with disabilities, the unhoused, large households, and female -headed households). Including senior home rehabilitation programs, physically accessible housing, renter support programs, extremely low -income u nits, and coordination with support providers.
1 Packet Pg. 7
Minutes Acceptance: Minutes of May 9, 2022 6:00 PM (CONSENT CALENDAR)

Minutes of May 9, 2022 City Council Meeting Page 3
In response to an inquiry, Community Development Director Eastwood stated that Staff is seeking Council direction on which of these programs should be studied further and considered in the draft Housing Eleme nt document, following this decision point, a Nexis study would need to be completed to pinpoint exactly which fees are most viable to target for waivers and what the most appropriate balance to the fiscal impact would be to increase affordable housing wit hin the City.

Mayor Resnikoff opened the public hearing.

Sean Mendelson, Campbell resident spoke of his support for adoption of a Climate Action Plan and requested it be made a higher priority.

Sarah Chaffin, Campbell resident spoke in support of the AHOZ and requested the properties on South Bascom Avenue and Winchester Avenue be included in this zone.

Dennis Randall, spoke in support of flexibility for housing programs in the City and for making economic density a priority on busy streets and arou nd transit to overcome the 75-foot height limitation.

Rosemary Early, Campbell resident spoke of her concerns relating to the income limits for below market rate housing, noting that the low -low income level is still not low enough for many special needs individuals.

Enrique Navarro, Sa nta Clara County Association of Realtors representative, spoke of his concerns that inclusionary ordinances, resilient design constraints, and renter protection laws can increase housing prices.

Mayor Resnikoff closed the public hearing.

Councilmember Lopez spoke in support of limited below market rate housing rent control measures, the AHOZ, and the AFFH programs. Councilmember Lopez noted his concerns that the programs projected affordable housing unit creation targets are too low, and that Staff shou ld build additional buffers into these programs. Councilmember Lopez expressed concerns relating to not exploring opportunities like the Joint Powers Authority with other cities in the County quickly enough, the need for additional flexibility for parking requirements, and that the special needs group should include Veterans as well. Councilmember Lopez is not supportive of a maximum average unit size or an inclusionary ordinance.

Councilwoman Landry spoke in support of a maximum average unit size, the below market rate housing rent control measures, the AHOZ, and the unbundled approach to parking restrictions. Councilwoman Landry noted her concerns that including the City propertie s in the projected housing unit creation targets could pose challenging to meet if these properties are removed from the site lists due to costs associated with moving the existing uses.

1 Packet Pg. 8
Minutes Acceptance: Minutes of May 9, 2022 6:00 PM (CONSENT CALENDAR)

Minutes of May 9, 2022 City Council Meeting Page 4
Councilmember Gibbons noted that subject to the Nexis study on the se housing programs she is supportive of impact fee development for commercial properties, and below market rate program rent control. Councilmember Gibbons is not supportive of the AHOZ and expressed concerns relating to cost recovery on affordable housin g units, as there is no property tax inc ome and no monetary offset to help support the increases to our below market rate program resources.

Vice Mayor Bybee noted her support for the AHOZ, making the missing middle programs a higher priority, the maxim um unit size as recommended by Staff, th e below market rate unit rent control, unbundled parking approach where most appropriate to do so, and the AFFH programs including increased outreach in multiple languages.

Mayor Resnikoff expressed support for the AHOZ and for AFFH programs including th e outreach in multiple languages. Mayor Resnikoff expressed concerns relating to the unintended consequences of programs like restricting the maximum average unit size, below market rate program rent control, and unbundled parking.

Councilmembers confirm ed consensus for the AHOZ and for adding the South Bascom Avenue and Winchester Avenue properties to the zone, increasing the priority of the Climate Action Plan, the below market rate unit rent control program, and AFFH programs including outreach in multiple languages.

ADJOURN

Mayor Resnikoff adjourned the meeting at 8:33 p.m.

APPROVED:

ATTEST:

Paul Resnikoff, Mayor

Dusty Christopherson, City Clerk

1 Packet Pg. 9
Minutes Acceptance: Minutes of May 9, 2022 6:00 PM (CONSENT CALENDAR)

CITY COUNCIL MINUTES
City of Campbell, 70 N. First St., Campbell, California

CITY COUNCIL EXECUTIVE SESSION
Tuesday, May 17, 2022 – 6:15 p.m.

Ralph Doetsch Conference Room
70 N. First Street, Campbell, California

This City Council meeting was conducted pursuant to provisions of the Brown Act.

CALL TO ORDER

The City Council of the City of Campbell convened on the special day of May 17, 2022.

Councilmember Lopez attended virtually from 407 Swift Avenue, Durham, North Carolina, 27705.

ROLL CALL

Attendee Name Title Status
Paul Resnikoff Mayor Present
Anne Bybee Vice Mayor Present
Elizabeth 'Liz' Gibbons Councilmember Present
Susan M. Landry Councilmember Present
Sergio Lopez Councilmember Remote

PUBLIC COMMENT

There was no public comment.

MOVE INTO CLOSED EXECUTIVE SESSION

A. Personnel – Pursuant to G.C. Section 54957(b)(1): Public Employee Performance Evaluation – City Clerk

B. Litigation

C. Real Property

D. Labor Negotiations

The City Council met in Executive Session to discuss Item A. City Attorn ey Bill Seligmann and City Clerk Dusty Christopherson were in attendance.

City Attorney Seligmann stated that any reportable actions will be reported at the next regularly scheduled City Council Meeting.

2 Packet Pg. 10
Minutes Acceptance: Minutes of May 17, 2022 6:15 PM (CONSENT CALENDAR)

Minutes of May 17, 2022 City Council Meeting Page 2

ADJOURNMENT

Council adjourned at 7:15 p.m.

APPROVED:

ATTEST:

Paul Resnikoff, Mayor
Dusty Christopherson, City Clerk

2 Packet Pg. 11
Minutes Acceptance: Minutes of May 17, 2022 6:15 PM (CONSENT CALENDAR) City
Council
Report
TITLE: Approving Bills and Claims

RECOMMENDED ACTION
Approve the bills and claims in the amount of $3,572,021.20.

DISCUSSION
The bills and claims that have been au dited and approved by staff for payments made are as noted below:

Type Check Date Amount
Payroll April 28, 2022 $34,945.95
Bills & Claims May 2, 2022 $337,015.46
Bills & Claims May 9, 2022 $2,748,210.61
Payroll May 12, 2022 $194,923.77
Bills & Claims May 16, 2022 $256,925.41
Total $3,572,021.20

FISCAL IMPACT
Requested action does not require a budget adjustment. Adequate funding was available to cover all expenses as listed.

Prepared by:

Roberto Garcia-Acosta, Accounting Clerk
II
Reviewed by:

Item: 3
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
3 Packet Pg. 12
Norite Vong, Finance Manager
Approving Bills and Claims Page 2 of 2
Approved by:

Angelique Gaeta, Assistant City
Manager
3 Packet Pg. 13

City
Council
Report

TITLE: Monthly Investment Transactions Report (April 2022)

RECOMMENDED ACTION

That the City Council review and accept the Monthly Investment Transactions Report for April 2022.

BACKGROUND

On August 17, 2021, the City Council approved the Fiscal Year (FY) 2021 -22 City of Campbell Investment Policy Update. Included as part of the updated policy was the addition of Monthly Investment Transaction Reports. As required by California Government Code (GC) Section 53607, staff will submit to Council Monthly Investment Transaction Reports within 45 days of the prior month end that show a listing of investments purchased, sold, called, or that have reached maturity, along with any Local Agency Investment Fund ( LAIF) transfers. This is in addition to the Quarterly Investment Report, which shows a number of other items listed under Section VII.A of the City’s Investment Policy and has been historically prepared by staff and submitted to Council within 30 days from the end of the prior quarter.

DISCUSSION

This Monthly Investment Transaction Report covers April 2022. As shown in Attachment A , staff made three withdrawals and two deposits into the City’s Local Agency Investment Fund (LAIF) account to support weekly operating cash flow needs .

The withdrawals from LAIF totaling $1.2 million were offset by $2.1 million in deposits, in addition to the 3 rd quarter interest posting, resulting in a net increase to the City’s LAIF account balance of $1.0 million. During the month, the City received $5.3 million in property tax revenues including $2.8 million from the VLF SWAP. It should be noted that the PMIA average monthly yield has doubled the last 2 months to 0.523% in April. Staff also anticipates purchasing several additional investments by the end of the fiscal year as fixed income interest rates continue rising. Since the start of the COVID -19 pandemic, staff has largely held off on purchasing new long-term investments so as to maintain sufficient liquidity necessary to support ongoing City operations during a time of economic uncertainty . However, consistent with the recommended FY 2021-22 Investment Strategy accepted by Council on August 17 , 2021 , staff has revised this approach in th e current fiscal year and started to look for longer -term investment opportunities outside of LAIF; thereby providing a higher, yet still safe return consistent Item: 4
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
4 Packet Pg. 14
Monthly Investment Transactions Report (April 2022) Page 2 of 2 with the City’s Investment Policy. With the pandemic being brought under better control and the current LAIF investment rate still being quite low at 0.523%, staff believes that this is a fiscally prudent approach and will continue to look for attractive and appropriate longer-term investment opportunities throughout FY 2021-22; contingent on a continued positive economic trend and stabilization of the pandemic’s negative impacts. Please note that all investment purchases made adhere to the City’s Investment Policy.

FISCAL IMPACT

There is no fiscal impact associated with the review and acceptance o f the Monthly Investment Transactions Report.

Prepared by:

John Formale, Accountant

Reviewed by:

Will Fuentes, Finance Director

Approved by:

Brian Loventhal, City Manager

Attachment:
a. Monthly Investment Activity Report-4.30.22
4 Packet Pg. 15

CITY OF CAMPBELL
Monthly Investment Transactions Report
April 1 to April 30, 2022
Account Trans. Date Apr 2022
LAIF - ******137
Average Monthly Yield 0.523%
Beginning Balance 42,266,455$
Transactions
Withdrawal 04/11/2022 (200,000)
Withdrawal 04/12/2022 (250,000)
Withdrawal 04/13/2022 (700,000)
Quarterly interest 04/15/2022 34,495
Deposit 04/15/2022 1,400,000
Deposit 04/18/2022 700,000
Monthly Total 984,495
Ending Balance 43,250,950$
Account Trans. Date Apr 2022
Bank of New York (BNY) - ******818
Beginning Balance 12,000,000$
Ending Balance 12,000,000$

4.a
Packet Pg. 16
Attachment: Monthly Investment Activity Report-4.30.22 (Monthly Investment Transactions Report (April 2022))

City
Council
Report

TITLE: Second Reading of Ordinance No. 2282 Adding Chapter 6.19 and Amending Sections 6.10.020 and 6.10.170 of the City of Campbell Municipal Code to Implement AB 1276 Single-Use Foodware Accessories and Standard Condiments, and Enforce CALGreen Building Standards Code with the City’s Administrative Process (Ordinance/Roll Call Vote)

RECOMMENDED ACTION

That the City Council adopt Ordinance No. 2282 adding Chapter 6.19 and amending Sections 6.10.020 and 6.10.170 of the City of Campbell Municipal Code implementing new state legislative requirements for single -use foodware accessories and standard condiments, and establishing an enforcement process for CALGreen building s tandards codes.

BACKGROUND

Every year in the United States, disposable foodware makes up an estimated 4.9 million tons of waste. This foodware then clogs landfills, complicates recycling, and pollutes streets and waterways in our communities. In an effort to reduce waste, on September 20, 2018, Governor Brown signed AB 1884 into law, prohibiting full -service restaurants from providing single-use plastic straws unless requested by the consumer. On October 5, 2021, Governor Newsom signed AB 1276 into law, w hich expanded on AB 1884 to, among other things, require that single -use accessory foodware (e.g., utensils, chopsticks, and stirrers) and condiments be provided only upon consumer request.

Separately, Chapter 6.12 of the City of Campbell Municipal Code co difies the California Green Building Standards Code (CGBSC), also referred to as CALGreen. CALGreen includes regulations for energy efficiency, water efficiency and conservation, material conservation and resource efficiency, and environmental quality to e nhance building design and construction, as well as encourage sustainable construction practices. As it stands, Chapter 6.12 does not include an administrative enforcement process for CALGreen requirements.

At its meeting on May 17, 2022, the City Council considered a draft ordinance, Ordinance No. 2282, adding Chapter 6.19 to, and amending sections 6.10.020 and

6.10.170 of, the City of Campbell Municipal Code to implement AB 1276, and allow for the enforcement of CALGreen building standards code.

Item: 5
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
5 Packet Pg. 17
Ordinance Adding Chapter 6.19 & Amending Sections 6.10.020 and 6.10.170 Page 2 of 2

DISCUSSION

Before a Campbell ordinance can become law, it must go through two readings before the City Council. The first reading is for the City Council’s initial review and the second reading allows for the City Council’s approval of the ordinance so that it b ecomes law.

With this report, staff recommends that the City Council approve Ordinance No. 2282 adding Chapter 6.19 to, and amending Sections 6.10.020 and 6.10.170 of, the City of Campbell Municipal Code implementing new state legislative requirements for single- use foodware accessories and standard condiments, and establishing an enforcement process for CALGreen building standards.

FISCAL IMPACT

There is no fiscal impact associated with this action. All costs associated with the publication and codificati on of the adopted ordinance are included in the City Clerk’s Office adopted Fiscal Year 2022 Operating Budget.

Prepared by:

Dusty Christopherson, City Clerk

Approved by:

Angelique Gaeta, Assistant City
Manager

Attachment:
a. Ordinance No. 2282
5 Packet Pg. 18
ORDINANCE NO. 2282

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAMPBELL ADDING CHAPTER 6.19 AND AMENDING SECTIONS 6.10.020 AND 6.10.170 OF THE CITY OF CAMPBELL MUNICIPAL CODE TO IMPLEMENT AB 1276 SINGLE-USE FOODWARE

ACCESSORIES AND STANDARD CONDIMENTS, AND ENFORCE CALGREEN BUILDING STANDARDS CODE WITH THE CITY’S ADMINISTRATIVE PROCESS

THE CITY COUNCIL OF THE CITY OF CAMPBELL DOES HEREBY ORDAIN AS FOLLOWS:

SECTION ONE: Chapter 6.19 of the Campbell Municipal Code is adopted to read as follows:

CHAPTER 6. 19 – SINGLE-USE FOODWARE ACCESSORIES AND STANDARD

CONDIMENTS

6.19.010 Findings and purpose.

The City Council finds and determines that:
(1) The use of single -use foodware accessories and standard condiments is detrimental to the environment, public health, and welfare. (2) The manufacture and distribution of single -use foodware accessories and standard condiments requires utilization of natural resources and results in the generation of greenhouse gas emissions.
(3) Single-use foodware accessories and standard condiments contribute to environmental problems, including litter in storm drains, creeks, the bay, and the ocean.
(4) Single-use foodware accessories and standard condiments provided by retail establishments impose unseen costs on consumers, local governments, the state, and taxpayers, and constitute a public nuisance. (5) On September 20, 2018, Governor Brown signed AB 1884 (Calderon, 2018), prohibiting full -service restaurants from providing single -use plastic straws unless requested by the consumer.
(6) On October 5, 2021, Governor Newsom signed AB 1276 (Carrillo, 2021), which expanded on AB 1884 to require accessory foodware (e.g., utensils, chopsticks, straws, stirrers) and condiments to be provided only upon consumer request, among other related requirements.

The City Council of the City of Campbell does, accordingly, find and declare that it should enforce the provisions of AB 1276, restricting the use of single-use foodware accessories and standard condiments.

The City has a substantial interest in protecting its residents and the environment from negative impacts from single-use foodware accessories and standard condiments.

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Attachment: Ordinance No. 2282 (Ordinance Adding Chapter 6.19 & Amending Sections 6.10.020 and 6.10.170)

6.19.020 Enforcement of State Law.
(a) In compliance with California Public Resources Code section 42272, any failure to comply with any provision of Chapter 5.2 (commencing with Section 42270) of Part 3 of Division 30 of the California Public Resources Code , as it now exists or may subsequently be amended, or any successor provisions adopted by the State Legislature shall constitute a violation of this Chapter.
(b) The first and second violations of this Chapter shall result in a notice of violation without a fine , and any subsequent violation shall constitute an infraction punishable by a fine of twenty-five dollars ($25) for each day in violation, but not to exceed three hundred dollars ($300) annually. Each violation of the provisions of this chapter shall be enforceable as provided in Section 6.10.180 of this code.

SECTION TWO: Subparagraph (Q) of paragraph (6) of subsection (a) of Campbell Municipal Code Section 6.10.020 of the Campbell Municipal Code is hereby amended to read as follow:
(Q) A violation of any of the provisions of Campbell Municipal Code Chapters 5.24,

5.28, 5.29, 5.30, 5.36, 5.48, 5.58, 6.11, 6.12, 6.19, 6.20, 6.30, 6.40, 8.34, 8.38,

8.40, 8.42, 11.04, 11.08, 11.12, 11.16, 11.32, 13.04, or 14.02,

SECTION THREE : Subsection (a) of Campbell Municipal Code Section 6.10.170 is hereby amended to read as follows:
(a) It is unlawful for any person, firm, corporation or other entity to violate any provision, or fail to comply with any mandatory requirement of this chapter. Except as otherwise provided in subsection (b) of this section, or elsewhere in this Code, any person, firm, corporation or other entity violating any provision, or failing to comply with any mandatory requirement of this chapter is guilty of an infraction, and upon conviction shall be published by a fine of not more than one hundred dollars.

SECTION FOUR: This Ordinance shall be in full force and effect thirty (30) days after its final passage ; and the Ordinance shall be published within fifteen (15) days after the adoption, together with the names of those Councilmembers voting for or against same, in The Metro, a newspaper of general circulation circulated in the City of Campbell, Santa Clara County, State of California.

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Attachment: Ordinance No. 2282 (Ordinance Adding Chapter 6.19 & Amending Sections 6.10.020 and 6.10.170)

PASSED AND ADOPTED this ____ day of _________, 2022 by the following roll call vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAINED: COUNCILMEMBERS:

APPROVED:
______________________________
Paul Resnikoff, Mayor

ATTEST:
______________________________
Dusty Christopherson, City Clerk

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Attachment: Ordinance No. 2282 (Ordinance Adding Chapter 6.19 & Amending Sections 6.10.020 and 6.10.170)

City
Council
Report

TITLE: Second Reading of Ordinance No. 2281 Amending Chapter 21.10 of the Campbell Municipal Code Revising the Side -Yard Setback Requirements for Properties Located Within the M-1 (Light Industrial) and C-2 (General Commercial) Zoning Districts (Ordinance/Roll Call Vote)

RECOMMENDED ACTION

That the City Council approve second reading to adopt Ordinance No. 2281 amending Chapter 21.10 of the Campbell Municipal Code rev ising the side -yard setback requirements for properties located within the M -1 (Light Industrial) and C -2 (General Commercial) Zoning Districts.

BACKGROUND

At its meeting of December 14, 2021, the Planning Commission initiated a Zoning Code Text Amendment at the request of staff to revise the setback standards of the M-1 (Light Industrial) and C -2 (General Commercial) Zoning Districts. Staff requested initiation of this amendment in response to several applications currently under review that involve requests by the applicant for reduced side setbacks. These requests highlighted a need to examine the appropriateness of the current setback standard that applies residential setback standards to commercial and industrial properties and the lack of flexibility to adjust these standards. As compared to residential properties, the adjacency of industrial and commercial buildings does not pose issues of privacy, noise, or access to sunlight, requiring a more restrictive side setback.

The Planning Commission formal ly considered a draft ordinance at its meeting of April 12, 2022. After a brief discussion and several clarifying questions of staff, the Commission voted 6-0-1 (Commissioner Ostrowski absent) to recommend approval.

At its meeting on May 17, 2022, the City Council considered the draft Ordinance and voted unanimously to introduce the ordinance amending Chapter 21.10 of the Campbell Municipal Code revising the side -yard setback requirements for properties located within the M-1 (Light Industrial) and C-2 (General Commercial) zoning districts.

FISCAL IMPACT

There is no fiscal impact associated with this action. All costs associated with the Item: 6
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
6 Packet Pg. 22
PLN-2021-193 ~ C-1/M-1 Side Setback ZTA Page 2 of 2
publication and codification of the adopted ordinance are included in the City Clerk’s Office adopted Fiscal Year 2022 Operating Budget.

Prepared by:

Dusty Christopherson, City Clerk

Approved by:

Brian Loventhal, City Manager

Attachment:
a. Ordinance No. 2281
6 Packet Pg. 23

ORDINANCE NO. 2281

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAMPBELL AMENDING CHAPTER 21. 10 OF THE CAMPBELL MUNICIPAL CODE TO REVISE THE SIDE YARD SETBACK REQUIREMENTS OF THE C-2 (GENERAL COMMERCIAL) AND M-1 (LIGHT INDUSTRIAL) ZONING DISTRICTS (FILE NO. PLN-2021-193)

After notification and public hearing, as specified by law and after presentation by the Community Development Director, proponents and opponents, the hearing was closed.

After due consideration of all evidence presented, the City Council of the City of Campbell does ordain as follows:

SECTION 1. To encourage a more efficient use of land and to allow for more creative site design, the City Council finds it appropriate to revise the interior side setback requirements of the C-2 (General Commercial) and M-1 (Light Industrial) Zoning Districts.

SECTION 2. The City Council finds that the proposed ordinance is consistent with the goals, policies, and actions of the General Plan, including:

Policy LUT-5.4: Industrial Neighborhoods : Safeguard industry’s ability to operate effectively, by limiting the establishment of incompatible uses in industrial neighborhoods and encouraging compatible uses.

Strategy LUT-5.4b: Residential Adjacent to Industrial : Amend Area Plans and Zoning Ordinances to ensure that conflicts between residential and industrial uses are minimized.

Strategy LUT-5.4c: Redevelopment: Facilitate redevelopment opportunities in the McGlincy Lane area.

Policy LUT-5.6: Industrial Impact : Reduce the impact of existing industrial uses on adjacent residences, schools, and other sensitive uses.

Policy LUT-9.3: Design and Planning Compatibility : Promote high quality, creative design and site planning that is compatible with surrounding development, public spaces and natural resources.

Strategy LUT-13.1c: Fiscal Effects of Land Use : Evaluate the fiscal effects of different land uses on City revenues and services.

SECTION 3. The City Council fu rther finds that the proposed ordinance would not be detrimental to the public interest, health, safety, convenience, or general welfare of the city; and would be internally consistent with other applicable provisions of the Campbell Municipal Code.

SECTION 4. The City Council further finds that the adoption of the proposed ordinance qualifies as Exempt from the California Environmental Quality Act (CEQA) under Section 15061.b.3 which states that a project is exempt if the activity is covered by the general rule that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in

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Attachment: Ordinance No. 2281 (PLN-2021-193 ~ C-1/M-1 Side Setback ZTA)

question may have a significant effect on the environment, the activity is not subject to CEQA review.

SECTION 5. C-2 Development Standards Table : Campbell Municipal Code Section

21.10.050.E, Table 2-10 (General Development Standards) is amended to read as follows with underlining indicating new text and strikeouts (strikeout) indicating deleted text:

Table 2-10
General Development Standards - C-2 Zoning District
Development Feature C-2
Maximum floor area ratio 0.40 The planning commission shall have the authority to increase the F.A.R. for a specific use at a specific location when it determines that circumstances warrant an adjustment.

Setbacks required
Front 10 ft.

Side (each) A minimum of five feet or one-half the height of the building wall adjacent to the side property line (whichever is greater).

The Planning Commission may allow a side setback of no less than five feet irrespective of building wall height where a property line abuts a non-residentially zoned property, when it finds that the reduced setback would enhance the architectural integrity of the building.

Street Side 10 ft.

Rear 10 ft. The planning commission may grant a reduction or approve a structure to be placed on the rear property line and may designate that additional landscaping and setback
requirements be provided at the front of the parcel.

Maximum height limit 75 ft.

Accessory structures See Section 21.36.020 (Accessory Structures) Fences, walls, lattice and screens See Section 21.18.060 (Fences, Walls, Lattice and Screens) Landscaping See Section 21.26.020 (Landscaping Requirements for Individual Zoning Districts)
Motor vehicle parking See Chapter 21.28 (Parking and Loading) Signs See Chapter 21.30 (Signs)

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Attachment: Ordinance No. 2281 (PLN-2021-193 ~ C-1/M-1 Side Setback ZTA)

SECTION 6. M-1 Development Standards Table : Campbell Municipal Code Secti on

21.10.080.E, Table 2-13 (General Development Standards) is amended to read as follows with underlining indicating new text and strikeouts (strikeout) indicating deleted text:

Table 2-13
General Development Standards - M-1 Zoning District
Development Feature M-1
Minimum parcel size 6,000 square feet
Maximum floor area ratio 0.40
The planning commission shall have the authority to increase the F.A.R. for a specific use at a specific location when it determines that circumstances warrant an adjustment.

Setbacks required
Front 10 ft.

Side (each) 5 ft. or one-half the height of the building wall adjacent to the side property line (whichever is greater) when the side property line abuts a residentially zoned property or 5 ft. when the side property line does not abut a residentially zoned property.

The Planning Commission may allow a side setback of less than five feet where a property line abuts a non-residentially zoned property, when it finds that:

1. The height of the building wall, inclusive of a parapet, adjacent to the side property line is no taller than 30-feet and limited to one-story; and

2. The proposed building is designed for and would be
limited to general industrial use, including manufacturing, processing, warehousing, storage, assembly, and
fabrication.

Street side 10 ft.

Rear 10 ft.

The planning commission may grant a reduction or approve a structure to be placed on the rear property line and may designate that additional landscaping and setback requirements be provided at the front of the parcel.

Maximum height limit 45 ft.

Accessory structures See Section 21.36.020 (Accessory Structures) Fences, walls, lattice and
screens
See Section 21.18.060 (Fences, Walls, Lattice and Screens) Landscaping See Section 21.26.020 (Landscaping requirements for individual zoning districts)
Motor vehicle parking See Chapter 21.28 (Parking and Loading) Signs See Chapter 21.30 (Signs)

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Attachment: Ordinance No. 2281 (PLN-2021-193 ~ C-1/M-1 Side Setback ZTA)

SECTION 7. This Ordinance shall become effective thirty (30) days following its passage and adoption and shall be published, one time within fifteen (15) days upon passage and adoption in a newspaper of general circulation for the City of Campbell, County of Santa Clara.

PASSED AND ADOPTED this _____ day of ____________, 2022 by the following roll call vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:

________________________
Paul Resnikoff, Mayor

ATTEST:

_______________________________
Dusty Christopherson, City Clerk

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Attachment: Ordinance No. 2281 (PLN-2021-193 ~ C-1/M-1 Side Setback ZTA)

City
Council
Report

TITLE: Renewal of License Agreement with Campbell Pony Baseball League for Use of the Baseball Field, Concession Building, and Associated Areas at John D. Morgan Park (Resolution/Roll Call Vote)

RECOMMENDED ACTION

That the City Council adopt a Resolution authorizing the City Manager to execute a renewal of the License Agreement with Campbell Pony Baseball League for the use of the enclosed baseball field, concession b uilding, and associated areas at John D.

Morgan Park for the period of July 1, 2022 - June 30, 2025.

BACKGROUND

The City of Campbell (City) and the Campbell Pony Baseball League (League) have a long history of collaboration. The League has been headquart ered at Rincon Park, later named John D. Morgan Park, since 1969. The League installed many of the improvements at the baseball field, including the backstop and dirt infield, as well as built the Equipment Room now used by the Recreation and Community Ser vices Department for summer camp programs. The first formal agreement between the City and the League was entered into in 1975 and it has since been regularly updated.

The current agreement provides exclusive use of the enclosed baseball field to the League. Because of this arrangement, the enclosed field at John D. Morgan Park is not rentable and does not fall under the City’s “Park, Field, and Athletic Use Policy”. The agreement further specifies that the League is authorized to use the concession building; and, is required to pay an annual fee for use of the City facilities (currently $987 /year), pay for electricity use (approximately $900/year), maintain concession equipment, maintain the infield for the enclosed baseball field, provide labor to p erform repairs to infield turf, and remove trash from the concession building and the baseball field bleacher areas. The agreement also provides that the City will pay for water, sewer and trash, maintain the outfield, provide sprinkler heads and supplies, maintain the exterior of the concession building, repair the bleachers and maintain public safety for all areas accessible to the public. The agreement expires on June 30, 2022.

DISCUSSION

Item: 7
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
7 Packet Pg. 28
Renewal of Campbell Pony Baseball League Agreement Page 2 of 3 For over thirty years, the League has maintained a cooperative working relationship with the City and has honored the terms of the agreement with the City. Recently, City staff met with representatives from the League to review the current license agreement and found that the terms are working well for both the Lea gue and the City. Accordingly, staff recommends that the City Council adopt a resolution authorizing the City Manager to execute a renewal of the terms of the agreement for the League’s continued use of the enclosed baseball field, concession building, and associated areas at John D.

Morgan Park, for a period of three years, from July 1, 2022 through June 30, 2025. The agreement will include an annual 3% increase in use fees and quarterly billing for electricity use.

FISCAL IMPACT

The annual fee that would be charged to Campbell Pony Baseball League for use of the associated areas of John D. Morgan Park is $1,016 for Fiscal Year 2022 -23, with a standard fee increase of 3% each year for 2023 -24 and 2024-25. This fee revenue has been factored into the Fisc al Year 2022 -23 Proposed Budget. Quarterly billing for electricity use will continue.

ALTERNATIVES

1. Direct staff to modify the terms of the license agreement.

2. Direct staff not to renew the license agreement.

Prepared by:

Lauren Merriman, Recreation Services
Manager

Reviewed by:

Natasha Bissell, Recreation and
Community Services Director

Approved by:

Angelique Gaeta, Assistant City
Manager
7 Packet Pg. 29
Renewal of Campbell Pony Baseball League Agreement Page 3 of 3

Attachment:
a. Resolution - Campbell Pony Baseball League License Agreement b. Draft License Agreement Campbell Pony Baseball League - July 2022 7 Packet Pg. 30
RESOLUTION NO. _____________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL AUTHORIZING

THE CITY MANAGER TO EXECUTE A LICENSE AGREEMENT AND CONCESSION

AGREEMENT WITH CAMPBELL PONY BASEBALL LEAGUE FOR USE OF THE ENCLOSED BASEBALL FIELD AND ASSOCI ATED AREAs (BLEACHERS, DUGOUTS,

AND SEASONAL BATTING CAGE) AND THE CONCESSION AREA OF BUILDING AT JOHN D. MORGAN PARK

WHEREAS, the City of Campbell and Campbell Pony Baseball League, a 501c3 non-profit organization, have a long history of collaboration; and

WHEREAS, Campbel l Pony Baseball League has been headquartered at Rincon Park, later named John D. Morgan Park since 1969; and

WHEREAS, the first formal agreement between the City of Campbell and the Campbell Pony Baseball League was developed in 1975 and updated periodically; and

WHEREAS, the agreement provides exclusive use of the enclosed baseball field to Campbell Pony Baseball League and the enclosed field is not rentable to other field users ; and

WHEREAS, the most recent agreement between the C ity of Campbell and the Campbell Pony Baseball League expires on June 30, 2022.

NOW, THEREFORE, BE IT RESOLVED , the City Council of the City of Campbell does hereby authorize the City Manager to execute a license agreement and concession agreement with Campbell Pony Baseball League for use of th e enclosed baseball field and associated areas (bleachers, dugouts, and seasonal batting cage) and concession areas of the building at John D. Morgan Park.

PASSED AND ADOPTED this ______day of __________ by the following roll call vote:

AYES: Council Members:

NOES: Council Members:

ABSENT: Council Members:

APPROVED:

Paul Resnikoff, Mayor

ATTEST:

Dusty Christopherson, City Clerk

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Attachment: Resolution - Campbell Pony Baseball League License Agreement (Renewal of Campbell Pony Baseball League Agreement)

1 LICENSE AGREEMENT

THIS AGREEMENT made and entered into this _____day of __________, 202 2 (“Effective Date”) by and between the CITY OF CAMPBELL (“Licensor or City ”) and CAMPBELL PONY BASEBALL LEAGUE (“Licensee”) for license of certain portions of real property and facilities on the terms and conditions set forth hereinafter. All Licensee concerns pertaining to this license should be directed to the Licensor or its designated representative. Licensor and Licensee may a lso be identified individually as “Party” or collectively as the “Parties.”

IT IS AGREED between the parties as follows:

SECTION ONE: Subject and Purpose

Licensor grants to Licensee an exclusive license (“License”) for use of the following described real property and/or facilities; situated at:

Enclosed Baseball Field and Associated Area
(bleachers, dugouts, and seasonal batting cage)
and Concession Area of Building
at John D. Morgan Park, 540 W. Rincon Avenue
Campbell, California
(“the License Area,” as shown in the attached Exhibit A)

The License Area shall be used only for purposes consistent with the zoning district. The Licensee must maintain and restrict all uses, operations and activities that arise from such License Agreement to comply with applicable City, County and State laws, applicable policies , and all rules and regulations of the John D. Morgan Park .

Licensee shall be solely responsible for securing any permits where required.

The following uses are prohibited: (a) the serving, use, and/or sale of alcoholic beverages and illegal drugs; (b) the conduction of games of chance on the premises.

Licensee shall respect the rights and privileges of patrons, the public, users of adjacent recreational facilities, and adjacen t residents and properties. Language that is obscene, defamatory, vulgar or profane, or likely to provoke a violent reaction; or that promotes or perpetuates discrimination on the basis of race, creed, color, age, religion, gender, sexual orientation, or national origin shall be prohibited.

Licensee may operate a food/snack bar concession from the Concession Area of the License Area , under the terms and conditions set forth in the attached Concession Agreement (Exhibit B), approved and set forth by Licensor.

Licensee shall be allowed to construct its temporary batting cage at John D.

Morgan Park, adjacent to the pony field during the period between February 15 th and August 15th of each year, to coincide with the Spring/Summer hardball season. The use of hardballs is restricted to the License Area and shall not be thrown in open public areas.

These conditions may only be altered by written request and subsequent approval of the City’s Director of Recreation and Community Services Department.

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Attachment: Draft License Agreement Campbell Pony Baseball League - July 2022 (Renewal of Campbell Pony Baseball League Agreement)

2 Licensee agrees to comply with Licensor’s Field Use Policy (available at https://www.campbellca.gov/DocumentCenter/View/894/Park-Field--Athletic-Field-Use- Policy?bidId=) and to continue to submit annual requests for field use, subject to annual administrative processing fees.

Licensee may host up to two tournaments per year where team and/or spectator entry fees are collected and for the purpose of raising funds to support annual fees. Said tournaments must be scheduled and permitted by the Recreation and Community Services Department at least 3 months in advance.

SECTION TWO: Use of the Site by the Public

The Licensor agrees to make available to the Licensee the following described property, being a part of this License A greement: the enclosed baseball field, its bleachers, dugouts, and seasonal batting cage, as well as the scoring booth and concession area of the adjacent building, as described above and illustrated in Exhibit A for Licensee's exclusive use as well as use of the adjacent parking lots, patios, public restrooms and common areas for Licensee’s non -exclusive use. Authorization for such use shall be at the sole discretion of the Licensor and in accordance with the regulations and policies established by the Licensor.

The Licensee may apply to use additional specific grounds or green areas at dates and times where s uch use is not in conflict with the use by another authorized individual/organization pursuant to this section. The Licensor shall have the sole power to issue such permits. Any application/request for use of grounds will be directed to the Licensor, who will determine if issuance of the use permit would conflict with other scheduled uses of the premises. Upon determination that no conflict would result, the Licensor will issue the authorizing permit and provide the affected Licensee with an informational copy. Applicable field use fees will apply per the City’s adopted fee schedule.

SECTION THREE Access to Premises; Signs Posted by Owner; Use of Premises

(A) Use Of Premises

The premises shall be used and occupied only for the following purpose(s):
baseball practice and play, concession, spectator seating, and storage space for Campbell Pony Baseball League , and related activities (“Permitted Use”), and for no other purpose(s). Licensee's operations and activities shall not begin prior to 7:30am and shall conclude by sunset, unless otherwise approved in advance by Licensor.

Licensee shall provide an itemized summary of all hazardous materials (helium, propane, gasoline, insecticides, etc.) to be stored on the premises. Hazardous materials shall be stored properly according to Cal -OSHA safety regulations. Any unauthorized use shall be a breach of this License.

(B) Access To Premises

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Attachment: Draft License Agreement Campbell Pony Baseball League - July 2022 (Renewal of Campbell Pony Baseball League Agreement)

3 Licensee shall permit Licensor or their agents or employees to enter the License Area at all reasonable hours to inspect the premises or make repairs that Licensee may neglect or refuse to make in accordance to the provisions of the License. Licensee agrees not to obstruct the sidewalks, entry passages, halls or stairways and will use the same only as passages, and means of passage to and from its respective areas.

Licensee shall not change any of the keys or locks on any of the Licensee’s premises without the prior consent of the Licensor, and shall provide Licensor with two sets of keys to all locks placed on Licensor ‘s premises.

Licensor reserves the right to modify portions of the John D. Morgan Park building from time-to-time as the City of Campbell sees fit to best serve the City. While Licensor will use reasonable efforts to minimize disruption to Licensee as a result of these modifications, Licensor represents, and Licensee acknowl edges, that some disruption may occur as a result, including but not limited to: blocked or restricted access to Licensee’s space; reduction, reallocation, or disruption to available parking; and temporary disruption to utility service. Licensee waives a ny and all claims, actions and causes of action that Licensee may have against Licensor due to any loss or disruption arising out of the aforementioned modification, and agrees to indemnify, defend, and hold Licensor harmless from any loss, injury, claims, action, cause of action or cost (including but not limited to court costs and attorney’s fees) arising out of, or alleged to have arisen out of any such modification, unless the claim, action, or cause of action is the proximate result of the sole negligence or willful misconduct of Licensor.

(C) Signs

Licensee may not place or permit to be placed in, upon, about, or outside of the License Area any sign visible from the street, without the prior written consent of the Licensor, and approval by the City of Campbell’s Recreation and Community Services Director. Requests for signage must be submitted in writing, in advance, with sample illustration indicating size, color, and materials proposed for sign. Should Licensee’s sign request be approved, Licensee is further responsible to obtain all the necessary permits or approvals that may be required for the erection and maintenance of any and all signs, provided such signs are legally permitted to be installed.

Licensee shall refrain from attaching temporar y signs, flyers, or other information to the outside of the building, on poles, benches, or other facility equipment.

Licensor reserves the right to change the sign regulations upon sixty (60) days written notice to Licensee. Licensee must strictly comply with all such regulations.

(D) Other Use Provisions

Licensee shall, at its sole cost and expense, comply with all Federal, State, County and municipal statutes, ordinances and regulations in force during the term of this License Agreement and affecting the premises. Further, Licensee shall not use the premises so as to create waste or constitute a nuisance or disturb adjacent residents.

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Attachment: Draft License Agreement Campbell Pony Baseball League - July 2022 (Renewal of Campbell Pony Baseball League Agreement)

4 Licensee agrees that it will comply with and observe such rules and regulations promulgated by Licensor for the saving of energy, and conservation of resources such as drawing of curtains or blinds at designated hours of the day, setting of thermostats, recycling, and the like.

Licensee acknowledges that neither Licensor nor any representative or agent thereof has made any representation or warranty to Licensee's business.

SECTION FOUR: Term and Fee

(A) Term: Licensor licenses the above premises for a term of three years, commencing on July 1, 2022 and terminating on June 30, 2025. License is subject to further extension/renewal upon mutual written agreement by both parties. (B) Fee: The Licensee shall pay to Licensor in year 1 a fee of $1016 (one thousand sixteen dollars) plus the actual cost of electricity. In year 2 and 3 the annual fee shall be adjusted by 3% each year. Water, sewer, and trash removal utilities shall be included in the fee. Licensee shall be responsible for the actual cost of electrical utilities as monitored by the electric current meter installed insid e the License Area .

Licensor will invoice Licensee for the cost of electrical utilities, which will be charged at $0.27/kwh. Licensor shall maintain Reznor heater . No air conditioning will be provided or installed at this facility.
(C) Deposit: An amount equal to $250.00 shall be deposited as a damage deposit prior to the beginning of the term of this License Agreement. The Licensee must deliver both the damage deposit and first year’s fee to the CITY OF CAMPBELL prior to occupancy. It is under stood that this deposit will be returned to the Licensee at the termination of this License, provided that the premises are left in as good condition, order, and repair, subject to normal wear and tear, as when Licensee took possession thereof.

Licensee hereby acknowledges that said demised premises are in good order and repair at the time of occupancy. Any portion of the deposit may be retained by the Licensor that he/she determines to be necessary to restore premises to the same condition as they were in when Licensee took possession. The Licensor has the right to use this deposit to remedy Licensee ’s defaults in the payment of rent, repair damages to the premises caused by the Licensee, or clean premises on termination of the License. (D) Payment: Fees shall be paid by check, cash, or cashier’s check to the CITY OF CAMPBELL, at the Campbell Community Center Office, One West Campbell Avenue #C-31, Campbell, CA 95008 -1039.Annual fees are due on the first day of July each year. Payment of monthly electrical utility fees are due the first day of each month . If payment is not received within ten (10) days of the due date, a ten percent (10%) late penalty shall be added to the total amount past due. The 10% shall apply to all outstanding fees, including current fee, past due fee, work orders, and accumulated late charges.

SECTION FIVE: Termination

Either Party may terminate this Agreement by providing written notification to the other Party, at least 30 days in advance of the effective date of termination.

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Attachment: Draft License Agreement Campbell Pony Baseball League - July 2022 (Renewal of Campbell Pony Baseball League Agreement)

5 SECTION SIX: Additional Fee and Possessory Interest Taxes

All taxes, charges, costs, and expenses that Licensee assumes or agrees to pay hereunder, together with all interest and penalties that may accrue thereon in the event of the failure of Licensee to pay those items, and all other damages, costs, expenses, and sums that Licensor may suffer or incur, or that may become due, by reason of any default of Licensee to comply with the terms and conditions of this License shall be deemed to be additional fee, and, in the event of nonpayment Licensor shall have all the rights and remedies as herein provided for failure to pay fee.

In the event a possessory interest tax accrues to the property, it is understood that the Licensee shall pay all such tax in its entirety, on or before due d ate and as for additional fee.

In the event of an increase in operating expenses (e.g.: utilities, water, garbage, janitorial) that Licensor may incur, such expenses shall be transferred proportionately to the Licensee based upon the percentage which the Licensee's square footage bears to the building square footage of all uses of the service in the entire premises. The Licensor shall provide, upon written request from the Licensee, documentation of the necessity for the increase. Any increase in operati ng expenses transferred to the Licensee shall be deemed additional fees, and in the event of nonpayment, Licensor shall have all rights and remedies as herein provided for failure to pay fee.

SECTION SEVEN: Alteration, Additions and Improvements

(A) Licensee must obtain written permission from the Licensor before making any alterations, additions, or improvements in and to the License Area. Alterations shall be performed in a workmanlike manner and shall not weaken or impair the st ructural strength, or lessen the value of the building on the premises, or change the purpose for which the building, or any part thereof, may be used.

(B) Conditions with respect to alterations, additions, or improvements are as follows:
(1) Before commencement of any work, all plans and specifications shall be filed with and approved by all governmental departments or authorities having jurisdiction and any public utility company having an interest therein, and all work shall be done in accordance with requirements of local regulations and California building codes and standards. The plans and specifications for any alterations estimated to cost Five Hundred Dollars ($500.00) or more must be submitted to Licensor for written approval prior to commencing work.
(2) Prior to commencement of any work, Licensee shall pay the amount of any increase in premiums on insurance policies provided for herein because of endorsements to be made covering the risk during the course of work. In addition, if the estimated cost of work shall exceed One Thousand Dollars ($1,000.00), Licensee shall, without cost to the Licensor, furnish Licensor with a performance bond written by a surety acceptable to Licensor in an amount equal to the estimated cost of the work, guaranteeing the completion of work, free and clear of liens, encumbrances, and completion of work, free and security interests, according to the approved plans and specifications.

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6 (C) All alterations, additions, and improvements made to the License Area at the commencement of the term, and those that may be erected or installed during the term, shall become part of the License Area and the sole property of Licensor, except that all moveable trade fixtures installed by Licensee shall be and remain the property of Licensee. Licensor shall have the right to require Licensee to remove such fixtures at the Licensee's expense upon termination or expiration of this License.

SECTION EIGHT: Utilities, Maintenance, Custodial Services & Repairs

(A) Licensor shall be responsible for the major exterior maintenance of the building, i.e. building structure, roof, sewer, parking areas and grounds, and for plumbing maintenance in excess of Two Hundred Fifty Dollars ($250.00), unless state of disrepair is due to the actions of Licensee, its agents, officials, officers, employees, or clients. All plumbing maintenance less than Two Hundred and Fifty Dollars ($250.00), and all maintenance due to a state of disrepair arising from the actions of the Licensee, its agents, officials, officers employees , or clients, shall be charged to the Licensee as an additional fee. In such e vent, necessary repairs or replacement shall be charged to Licensee on an actual cost basis plus fifteen percent (15%) overhead costs. Licensee shall at its own cost be responsible for interior maintenance including but not limited to clocks, floors, wall s, lock changes, public address system and general electric maintenance up to Two Hundred and Fifty Dollars ($250.00) per occurrence and shall use all reasonable precaution to prevent waste, damage or injury to the License Area. In the event Licensee requests Licensor to perform interior maintenance service, said services may be provided at the actual cost plus fifteen percent (15%) overhead. Licensor shall not be liable for any failure to make any repair or for any damages to Licensee, its property or bu siness resulting therefrom or to perform any maintenance unless such failure shall persist for any unreasonable time after written notice of the need of such repair or maintenance is given to Licensor by Licensee.

(B) Licensee shall be responsible for all routine day-to-day maintenance of the License Area, including daily cleaning and removal of trash, repairs to doors, windows, counters, shelves, sinks, plumbing, electrical, and cleaning of floors, etc. Licensee shall provide its own custodial supplies and services and daily trash removal to maintain the License Area , including concession area, fields, bleachers, dugouts, fences, storage rooms, lavatory, and associated equipment and areas. Licensee shall at all times during the License and at its own cost and expense, repair, replace and maintain good, safe and substantial conditions within the License Area and to any improvements, alterations, and additions thereto. See Exhibit C for detailed maintenance responsibilities of the Licensor and Licensee.

(C) Upon thirty (30) days prior written notice to Licensor and written approval from Licensor , Licensee may install additional electric machines or equipment using current in excess of 110 volts and other equipment which will increase the amount of electricity, gas, or water usually furnished or supplied to the portion of the License Area being used as general storage or concession space; provided that in such event, Licensor may cause a water meter, a gas meter, or an electric current meter, or all, to be installed

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7 in the License Area, so as to measure such increase, after at least ten (10) days prior written notice to Licensee. Licensor may condition Licensee's use of any such machines or equipment upon prompt payment by Licensee of extra costs occasioned thereby, as established by such meters or otherwise reasonably estimated by Licensor. The cost of purchase, installation, maintenance and repair of such meters and of any additional wiring, plumbing and other work required to provide electricity or water for such equipment, as well as charges for extra water and electric current consumed, shall be borne and paid by Licensee within ten (10) days after such notice thereof by Licensor. All such costs, charges and expenses shall be deemed additional fee hereunder. Licensee shall not connect with electric current, except through existing electrical outlets in the premises or with water pipes or air pipes (if any), any apparatus or devise for the purpose of using electric current or water or air without prior written approval of Licensor.

(D) Notwithstanding anything contained herein to the contrary, Licensor makes no representations or warranties about the services provided by public utilities or other third-parties beyond Licensor’s control, and Licensor shall not be liable for any loss or disruption of service caused by circumstances beyond Licensor’s control. Licensee acknowledges that disruption of utility service can happen, and assumes all risk of such disruption, and waives any and all claims, actions and causes of action that Licensee may have against Licensor due to any loss or disruption of service beyond Licensor’s control, and agrees to indemnify, defend, and hold Licensor harmless from any loss, injury, claims, action, cause of action or cost (including but not limited to court costs and attorney’s fees) arising out of, or alleged to have arisen out of any such loss or disruption in service, unless the claim, action, or cause of action is the proximate result of the sole negligence or willful misconduct of Licensor.

SECTION NINE: Indemnity

Licensee agrees to indemnify, hold harmless and defend Licensor, its officers, officials, employees and agents from any claims, liability, loss, damage, actions or causes of action, costs and expenses (including attorneys' fees) by or on behalf of any person or entity (collectively, "Claims") arising out of or connected with then entry on, occupancy, or use of the License Area under this License Agreement by Licensee its agents, officials, officers or employees, or for any mechanic's lien or security interest filed against the License Area or equipment, materials, or alterations of building or improvements thereon, except for any claims, liability, loss, or damage proximately caused by the sole negligence or willful misconduct of Licensor. This provision is intended to fully and completely allocate all liability or risk of l oss as between the Licensor and the Licensee as to the matters covered by this paragraph, and Licensee shall have no right of indemnity or contribution against Licensor in law or equity, or otherwise as to the matters covered herein. The obligation to defend shall arise regardless of any claim or assertion that Licensor caused or contributed to the Claims. This Section shall survive the expiration or early termination of this License.

SECTION TEN: Insurance and Damage to the Premises

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8 (A) Insurance: Prior to the beginning of and throughout the duration of the License Agreement, Licensee will maintain and comply with the Insurance Requirements as set forth in Exhibit D. Licensee will insure the City against claims for injuries to persons or damages to property which may arise from or in connection with this License Agreement. The insurance coverages required shall not in any way limit the liability of the Licensee. The coverage requirements can be satisfied by self -insurance or poo led risk plans that provide comparable coverage.

Licensee agrees to require any subcontractor engaged by the Licensee in the performance of baseball practice and play, concession, spectator seating, and storage space for Campbell Pony Baseball League, and related activities to comply with the City’s Insurance requirements, including but not limited to, the subcontractor’s commercial general liability insurance policy naming the City, its officials, officers, employees, and agents as additional insureds. Licensee must provide the required certificate of insurance and endorsements by its subcontractor(s) to the City prior to commencement of any use of the License Area related to this License Agreement.

Licensor shall not be responsible for providing fire in surance covering the leased premises. If Licensee desires such coverage, Licensee must procure such coverage at Licensee’s own expense.

(B) Damage or Destruction of the Premises: In the event the Licensed premises are damaged or destroyed by fire, or other cause, the Licensor may at its option, either (1) cancel and terminate this License by giving written notice to the Licensee, or (2) repair or restore the premises to substantially the same condition as they were in prior to said damage or destruction.

SECTION ELEVEN: Unlawful or Dangerous Activities

Licensee shall neither use nor occupy the License Area or any part thereof for any unlawful, disreputable, or ultrahazardous purpose, nor operate or conduct its business in such a manner as to constitute a nuisance of any kind. Licensee shall immediately, on discovery of any unlawful, disreputable, or ultrah azardous use, take action to halt such activity.

SECTION TWELVE: Default or Breach

Each of the following events shall constitute a default or breach of this License by Licensee:

1. If Licensee, or any successor or assignee of Licensee while in possession, files a petition of bankruptcy or insolvency or for reorganization under any bankruptcy act, or voluntarily takes advantage of any such act by answer or otherwise, or makes an assignment for the benefit of creditors.

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9 2. If involuntary proceedings unde r any bankruptcy law or insolvency act are instituted against Licensee, or if a receiver or trustee is appointed of all or substantially all of the property of the Licensee, and such proceedings are not be dismissed within thirty (30) days after the institution or appointment.

3. If Licensee fails to pay Licensor any fee, (additional fee or work order when they become due) and does not make the payment within fifteen (15) days after notice thereof by Licensor to Licensee.

4. If the Licensee fails to perform or comply with any of the conditions of this License and if the nonperformance continue s for a period of fifteen (15) days after written notice thereof by Licensor to Licensee or, if the performance cannot be reasonably had within the fifteen day period.

5. If Licensee vacates, surrenders, or abandons the License Area.

6. If this License or the estate of Licensee hereunder shall be transferred to or passes to or dissolves on any other person or party, except in the manner herein permitted.

7. If Licensee fails to take possession of the License Area on the term commencement date.

8. If the Licensee makes any assignment for the benefit of creditors or without first obtaining prior written consent of Licensor.

9. If the Licensee fails to maintain insurance coverage as required by this Agreement.

10. If there is a levying of a writ of execution on the acti vity of the Licensee or on the assets of Licensee located on the premises.

SECTION THIRTEEN: Effect of Default or Breach

In the event of any default or breach hereunder, as set forth in the section entitled Default or Breach, the rights of Licensor shall be as follows:

1. Licensor may elect to continue this License in full force and effect and not terminate Licensee's rights to possession of the premises, in which event Licensor shall have the right to enforce any rights and remedies granted by this License or by law, against Licensee, including, without limitations, the right to collect when due, fees and other sums payable hereunder. Licensor shall not be deemed to have elected to terminate unless Licensor gives Licensee written notice of such election to terminate, and in no event shall Licensor’s acts of maintenance or preservation of the License Area, or efforts to re-license this License, be deemed to constitute such termination.

2. (a) Licensor shall have the right to cancel and terminate this License, by giving to Licensee not less than ten days' written notice of the cancellation and termination. On expiration of the time fixed in the notice, the License shall terminate in the same manner and with the same force and effect, except as to Licensee's liability, as if the date fixed in the notice of cancellation and termination were the end of the term herein originally determined.

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10 (b) In the event that the fee on the property has been due and unpaid for at least 14 consecutive days and the Licensor reasonably believes that the Licensee has abandoned the property, Licensor shall have the right to cancel a nd terminate this License, as well as of the right, and interest of Licensee hereunder, by giving to Licensee not less than 18 days’ notice of the cancellation and termination, not less than 15 days if the notice is served personally. If Licensee fails to provide a written response to Licensor on expiration of the time fixed in the notice, the license and the ri ght, and interest of Licensee hereunder, shall terminate in the same manner and with the same force and effect, except as to Licensee’s liability, as if the date fixed in the notice of cancellation and termination were the end of the term herein originally determined.

3. Licensor may elect, but shall not be obligated, to make any payment required of Licensee herein or comply with any agreement, term, or condition required hereby to be performed by Licensee, and Licensor shall have the right to enter the License Area for the purpose of correcting or remedying any such default and to remain until the default has been corrected or remedied, but any expenditure for the correction by Licensor shall not be deemed to waive or relicense the default of Licensee or the right of Licensor to take any action as may be otherwise permissible hereunder in the case of any default.

4. Licensor may re-enter the premises immediately and remove the property and personnel of Licensee, and store the property in a public wareho use or at a place selected by Licensor, at the expense of Licensee. After re-entry Licensor may terminate the License by giving ten (10) days' written notice of termination to Licensee. Licensee shall permit any such re-entry without hindrance, and Licensor shall not be liable thereby in damages for such re-entry or be guilty of trespass or forcible entry. Without the notice, re-entry will not terminate the License. Upon termination Licensor may recover from Licensee all damages proximately resulting fr om the breach, including the cost of recovering the premises, and the worth of the balance of this License over the reasonable rental value of the premises for the remainder of the License term, which sum shall be immediately due Licensor from Licensee.

5. After re-entry, Licensor may relet the License Area or any part thereof for any term without terminating the License, at the fee on the terms as Licensor may choose.

Licensor may make alterations and repairs to the premises. The duties and liabilitie s of the parties if the premises is relicensed as provided herein shall be as follows:

(a) In addition to Licensee's liability to Licensor for breach of the License, Licensee shall be liable for all expenses of the re-licensing, for the alterations and repairs made, and for the difference between the fee received by Licensor under the new license agreement and the fee installments that are due for the same period under this License.

(b) Licensor shall have the right, but shall not be required, to appl y the fee received from re-licensing the premises (1) to reduce the indebtedness of Licensee to Licensor under the License, not including indebtedness for fees, (2) to expenses of the re-licensing and alterations and repairs made, (3) to fees due under this License, or (4)

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11 to payment of future fees under this License as it becomes due.

(c) If the new Licensee does not pay a fee installment promptly to Licensor, and the fee installment has been credited in advance of payment to the indebtedness of Licensee other than fee, or if fees from the new Licensee have been otherwise applied by Licensor as provided for herein and during any fee installment period are less than the fee payable for the corresponding installment period under this License, Licensee shall pay Licensor the deficiency, separately for each fee installment deficiency period, and before the end of that period. Licensor may at any time after re -letting terminate the License for the breach on which Licensor had based the re -entry and subsequently relet the premises.

(d) After re-entry, Licensor may procure the appointment of the receiver to take possession and collect fees and profits of the business of Licensees, and, if necessary to collect the fees, and profits. The receiver may carry on the business of Licensee and take possession of the personal property used in the business of the Licensee, including inventory, trade fixtures, and furnishings, and use them in the business without compensating Licensee. Proceedings for app ointment of a receiver shall not terminate and forfeit this License unless Licensor has given written notice of termination to Licensee as provided herein.

SECTION FOURTEEN: Sale of Premises

In the event of a sale or conveyance by Licensor of the License Area, the same shall be made subject to this License, and shall operate to re license the Licensor from any future liability on any of the covenants or conditions, expressed or implied, herein contained in favor of the Licensee and in such event the Licensee agrees to look solely to the responsibility of the successor in interest of the Licensor to expressly assume said future liability. Nothing herein contained shall relieve the original Licensor from any liability that has accrued under this License against it to and at the time of said sale or conveyance.

SECTION FIFTEEN: Fee Abatement

No abatement, diminution, or reduction of fees shall be claimed or allowed to Licensee or any person claiming under him for any circumstances, whether for inconvenience, discomfort, interruption of business or otherwise, arising from the making of alterations, improvements or repairs to the premises, because of any governmental laws or arising from and during the restoration of the License Area after the destruction or damage thereof by fire or other cause or the taking or condemnation of a portion only of the demised premises.

SECTION SIXTEEN: Conditions of License Area As-Is

Licensee ac knowledges the uniqueness of the License Area and accepts the

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12 current “AS-IS, IN ITS CURRENT CONDITION, WITH ALL FAULTS” condition existing on the date of execution of this License Agreement. Licensee acknowledges Licensee has satisfied itself, by its own independent investigation, that the License Area is suitable for Licensee’s intended use and neither Licensor nor its agents or representatives have made any representation or warranty as to the present or future suitability of the License Area for the Permitted Use by Licensee, including, without limitation, any representations or warranties regarding, (a) the condition or repair of the License Area, (b) whether the License Area complies with Applicable Laws (as defined below), including without limitation the Americans with Disabilities Act (ADA) or other accessibility laws, (c) whether there are any facts or conditions affecting the License Area that might, individually or in the aggregate, interfere with the use or occupancy of the License Area or any po rtion thereof by Licensee.

Licensee shall comply with all applicable statutes, laws, ordinances and rules and regulations adopted by the Federal, State or any City, City and County, County or other body politic, including without limitation all applicable health and building codes, rules, and protocols, the ADA or other accessibility laws (“Applicable Laws”) and which pertains to use of the License Area or any provisions of the License Agreement, and will indemnify, defend and hold Licensor, its officials, officers, agents, and employees harmless from and against any violations thereof and any and all liabilities, suits, causes of action, judgments, demands and claims for damages, including all reasonable costs of any litigation and attorney’s fees and expenses, arising out or by reason of any such violation.

SECTION SEVENTEEN: Waivers

The failure of Licensor to insist on a strict performance of any of the terms and conditions hereof shall not be deemed a waiver of any subsequent breach or def ault in any terms and conditions , regardless of knowledge thereof . Any waiver by Licensor of any breach must be in writing.

SECTION EIGHTEEN: Notice

All notices to be given with respect to this License shall be in writing. Each notice shall be sent via email and concurrently delivered by overnight Federal Express or by priority U.S. Mail to the party to be notified at the address set forth below or at such other address as either party may from time to time designate in writing.

Every notice shall be deemed to have been given at the time it shall be deposited in the United States mails in the manner prescribed herein. Nothing contained herein shall be constructed to preclude personal service of any notice.

SECTION NINETEEN: Assignments

(A) Licensee shall not voluntarily or involuntarily, license, transfer, mortgage, sublicense, or otherwise encumber all or any part of Licensee's interest in this License or in the License Area without obtaining the prior written consent of Licensor in each instance. Any attempt to do so without such consent being first had and obtained shall

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13 be wholly void; provided, however, that Licensor shall not unreasonably withhold its consent. No sublicensing or assignment, even with the consent of Licensor, shall relieve obligations to be performed by Licensee hereunder. The acceptance of fees by Licensor from any other person shall not be a waiver by Licensor of any provision of this License or to be consent of assignment, sublicensing or other transfer. Consent to one assignment shall not be deemed to constitute consent to any subsequent assignment, subletting or other transfer.
(B) No sublicensing or assignment, even with the consent of Licensor, s hall relieve Licensee of its obligation to pay the fees and to perform all of the other obligations to be performed by Licensee hereunder. No consent to any assignment of this License, voluntarily or by operation of law, or a sublicensing of the premises, shall be deemed to be consent to any subsequent assignment of this License voluntarily or by operation of law, or to any subsequent subleasing of the premises. Any such assignment of this License, voluntarily or by operation of law, or any subletting of the premises, without obtaining the prior written consent of Licensor shall be void and, at the option of Licensor, shall terminate this License. Licensor’s consent to such assignment or sub license shall not unreasonably be withheld.
(C) If any unincorporated Licensee shall become a corporation, such incorporation shall be considered an assignment for purposes of this License.

SECTION TWENTY: Surrender of Possession

(A) Licensee shall, on the last day of the term of this License, or on earlier termination and forfeiture of this License, peaceably and quietly surrender and deliver the License Area to Licensor free from sublicensies, including all buildings, additions, and improvements constructed or placed thereon by Licensee, except moveable trade fixtures, all in good condition and repair. Any trade fixtures or personal property not used in connection with the operation of the Licensed Area and belonging to Licensee, if not removed at the termination or default, and if Licensor shall so elect, shall be deemed abandoned and become the property of Licensor without any payment or offset thereof.

Such abandoned property shall be sold at public sale, if Licensor shall so elect, by competitive bidding with the proceeds distributed in the following order: cover the costs of storage, advertising, sale, and any remaining balance owed by Licensee to Licensor.

Licensor may remove such fixtures or property from the License Area and store them at the risk of expense of Licensee if Licensor shall so elect. Licensee shall repair and restore all damage to the License Area caused by the removal of equipment, trade fixtures, and personal property.
(B) In the event Licensee fails to vacate and surrender possession of the Licensed premises, Licensor shall have the right to enforce any rights and remedies granted by this License or by law against Licensee, including, without limitations, the right to bring an unlawful detainer action, the right to reimbursement of all legal costs, including attorney’s fees and other costs payable hereunder, and the right to bring any other legal action that might stem from Licensee’s refusal to surrender possession. (C) In the event that Licensee does not vacate the premises on or before the expiration of the License, Licensee shall be liable for all attorney ’s fees and any and all legal expenses associated with legal action required to effect Licensee’s successful

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14 vacation of the License Area.

SECTION TWENTY-ONE: Remedies of Licensor

1. The rights and remedies given t o Licensor in this License are distinct, separate and cumulative, and no one of them, whether or not exercised by Licensor, shall be deemed to be in exclusion of any of the other herein, by law, or by equity provided.

2. No receipt of money by Licensor from Licensee after default or a cancellation of this License in any lawful manner shall (a) reinstate, continue, or extend the term or affect any notice given to Licensee, (b) operate as a waiver of the right of Licensor to enforce the payment of fees and additional fees then due or falling due, or (c) operate as a waiver of the right of Licensor to recover possession of the Licensed Area by proper suit, action, proceeding, or other remedy. After (a) service of notice of termination and forfeiture as herein provided and the expiration of the time specified therein, (b) the commencement of any suit, action, proceeding, or other remedy, or (c) final order of judgment for possession of the Licensed Area, Licensor may demand, receive, and collect any money due, without in any manner affecting such notice, order or judgment. Any and all such money so collected shall be deemed to be payment on account of the use and occupation of the Licensed Area or at the election of Licensor, o n account of the liability of Licensee hereunder.

3. For any and all legal suit, action, or proceeding brought by Licensor against Licensee, whether such suit, action, or proceeding arose in contract or tort, Licensor shall have the right to collect from Licensee all legal costs, including attorney’s fees and court costs.

SECTION TWENTY-TWO: Licensee Status as 501(c)(3) Non-Profit

Licensee hereby covenants and agrees that Licensee shall verify to the City of Campbell its status as a non-profit 501(c)(3) enterprise by June 15th each year.

Licensee understands and agrees that should its status change from a 501 (c) status to a profit enterprise, the City shall have the power to terminate this License Agreement within thirty (30) days of the date of receipt of the above stated notice. Should Licensee fail to provide the notice as set forth herein, the City shall have the power to terminate this License within thirty (30) days of discovering the change of status.

SECTION TWENTY-THREE: Attorney’s Fees

In the event that either party commences a lawsuit to enforce the provisions of this agreement, the prevailing party shall be entitled to recover their reasonable costs and attorney’s fees.

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15 SECTION TWENTY-FOUR: Miscellaneous

a. This Agreement, along with an y attachments, is the full and complete integration of the Parties’ agreement with respect to the matters addressed herein, and this License Agreement supersedes any previous written or oral agreements between the Parties with respect to the matters addressed herein.

b. The covenants and agreements contained in this Agreement shall be binding upon the Licensor and Licensee, and upon their respective heirs, executors, and successors.

c. This Agreement shall be construed and interpreted in accordance with the laws of the State of California.

d. The unenforceability, invalidity, or illegality of any provision(s) of this Agreement shall not render the other provisions unenforceable, invalid, or illegal.

e. This Agreement may only be amended in writing as agreed to by both Parties.

f. Each party acknowledges that it has reviewed this Agreement and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement.

g. The Parties may execute this Agreement in two or more counterparts, which shall, in the aggregate, be deemed an original but all of which, together, shall constitute one and the same instrument. Ele ctronic signatures and fully executed copies of this Agreement are deemed valid as originals.

h. The signatories to this Agreement warrant and represent that each is authorized to execute this Agreement and that their respective signatures serve to legall y obligate their respective representatives, agents, successors and assigns to comply with the provisions of this Agreement.

[SIGNATURE ON FOLLOWING PAGE]

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16 IN WITNESS WHEREOF, the parties have affixed their signatures on this ________ day of____________ 2022.

Licensor: Licensee:

CITY OF CAMPBELL CAMPBELL PONY

BASEBALL LEAGUE

By: By: _______________________________ Brian Loventhal, City Manager Roger Marshall, President

Address for notices: Address for notices:

1 W. Campbell Ave. #C-31 P.O. Box 1013
Campbell, CA 95008 Campbell, CA 95009-1013

Recreation & Community Services Telephone: (408) 460-2312 Director, Natasha Bissell On-Site: (___) ___________ Telephone: (408) 866-2771 Fax: (___) ___________
Fax: (408) 866-2795 Email:

Email: [email protected]

Approved as to Form:

By:__________________________
William Seligmann, City Attorney

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17 EXHIBIT A

SITE MAP ILLUSTRATING LICENSED SPACE

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18 EXHIBIT B

CITY OF CAMPBELL

CONCESSION AGREEMENT

FOR USE OF CONCESSION STAND
AT JOHN D. MORGAN PARK

The Concession Stand in the John D. Morgan Park building is owned by the City of Campbell (hereinafter referred to as Licensor) and licensed to the Campbell Pony Baseball League (hereinafter referred to as Licensee) during their playing season, in conjunction with the term of their license for field and facility use, subject to the following rules, conditions, and guidelines:

Scheduling Use of the Concession Stand
Occupancy and use of the Concession Stand shall be limited to the Licensee’s baseball season, as determined by the dates submitted as a part of the annual Co-Sponsorship application process. If/when it is necessary to access the Concession Stand at any other time, access must be approved, in advance, by the Community Center Coordinator. If/when a delivery is scheduled, the group ordering the delivery of supplies must make arrangements to be there to accept the delivery). City staff are not responsible to accept deliveries on behalf of resident youth sports groups or other organizations.

Liability
The City of Campbell accepts no responsibility for:
a. The food or service provided by those operating the Concession Stand; b. The loss or damage of equipment, supplies, or personal property of those organizations or individuals using or operating the Concession Stand; c. The cleanliness of the Concession Stand.

Maintenance of the Concession Stand
The City of Campbell shall maintain the physical building, its structure, roof, and gas, trash and water utilities. Licensee is responsible to pay the cost of electr icity as monitored by the Licensor and to maintain the interior areas, daily cleaning, trash removal, and cleanliness.

Concession Stand shall be maintained to meet all Cal -OSHA and Santa Clara County Environmental Health and Safety Standards. Non -compliance can result in termination of agreement to use and operate the Concession Stand.

Licensee shall promptly report any damage, vandalism, or graffiti to the building by contacting the City’s Community Center Coordinator at (408) 866-2107 or, if a serious condition, the Building Maintenance Supervisor at (408) 866-2194, or, if an emergency condition, Campbell Police Department at (408) 866 -2101. When contacting the Police Department be prepared to identify yourself and provide a detailed description of the type of damage and emergency repairs necessary.

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19 CONCESSION AGREEMENT PAGE 2

Conditions of Concession Stand Use
To assist groups in maintaining the Concession Stand at an acceptable level, the following guidelines have been established and must be maintained if groups wish to continue the privilege of using the Concession Stand:

1. All uses and practices shall be subject to the current safety, health, and environmental codes as set forth in th e Santa Clara County Health Department’s Codes for Temporary Concessions.

2. The Concession Stand is to be used for food concession activities only. Any other uses must be approved, in advance, by the Community Center Coordinator. Activities that may conflict with food service operations and health and safety codes will not be allowed.

3. Only food items and equipment and supplies associated with food service shall be stored in the Concession Stand. Storage of any hazardous or combustible materials (gasoline, propane, charcoal briquettes, fuels, helium, matches, etc.) is not allowed.

4. Licensee is granted temporary use only and must remove all their supplies and equipment from the common area at the end of each season. Large appliances (such as a refrigerator or microwave oven) may be left in the building as long as they are cleaned and left unplugged at the end of the season. Any such appliances shall be labeled with the name of the owning organization and a phone number where the owner can be contacted.

5. All appliances and equipment must be unplugged when not in use.

6. Licensee may, with prior written approval of the Community Center Coordinator, provide their own refrigerator for use in the Concession Stand under the following conditions:
a. Refrigerator must be an Energy Star-rated unit;
b. Refrigerator must be cleared of all food supplies, cleaned, and unplugged within ten (10) days after the end of the playing season;

7. Licensee is responsible to monitor the littering of the Park and field areas that their group is using and to be sure to pick up all litter and debris that has resulted due to their use of the fields and Concession Stand. Clean-up shall include sweeping of the bleacher stands of all litter, sunflower seeds, and debris that was left by their spectators after each use.

Security of the Concession Stand
Upon completion of use of the Concession Stand Licensee is responsible for securing the premises. CPB is responsible for unplugging appliances, locking cabinets, removing trash and cleaning the counters, sinks, and floor.

7.b
Packet Pg. 50
Attachment: Draft License Agreement Campbell Pony Baseball League - July 2022 (Renewal of Campbell Pony Baseball League Agreement)

20 CONCESSION AGREEMENT PAGE 3

Keys will be issued to Licensee. These keys should be closely guarded and never loaned to anyone. The City shall maintain a list of all individuals with authority to carry a key to the licensed facilities. If keys are lost, please report the loss immediately to the Recreation Services Manager at (408-866-2107).

Any unauthorized use, transfer of keys, blatant disregard for these Conditions of Use, or inability to abide by these conditions after receiving two written warnings, may result in loss of privilege of use for one full calendar year. It is the responsibility of the organization representative who signs below to advise all his/her organization representatives and Concession Stand operators of these Conditions of Use. City staff will monitor and enforce the terms of this agreement.

On behalf of below -listed organization, I hereby state that I understand the above Concession Stand Conditions of Use and agree, on behalf of my organization, to abide by these conditions or risk loss of Concession Stand privileges.

________________________________ ________________________________ Signature Title

________________________________ ________________________________ Organization Date

________________________________ ________________________________ Mailing Address Daytime Phone

________________________________ ________________________________ City, State, Zip Evening Phone

________________________________ ________________________________ E-Mail Address Emergency/Cell Phone

Concession Agreement approved by City Council, as witnessed by the signature below:

________________________________________ ____________________ Brian Loventhal, City Manager Date

EXHIBIT C

7.b
Packet Pg. 51
Attachment: Draft License Agreement Campbell Pony Baseball League - July 2022 (Renewal of Campbell Pony Baseball League Agreement)

21 MAINTENANCE RESPONSIBILITIES

CITY PONY LEAGUE
Pays water, sewer & trash utilities Pays for electricity Mows grass outfield Maintains own concession equipment
Provides sprinkler heads & supplies
to maintain sprinkler system
Maintains infield
Maintains exterior of building structure
& lighting
Provides labor to perform repairs to infield
turf & sprinkler system
Performs bleacher repairs & public safety
of all areas accessible to the public
Maintains interior of building including
plumbing & electrical up to $250 +
janitorial service
Removes trash from building and
bleacher area

7.b
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Attachment: Draft License Agreement Campbell Pony Baseball League - July 2022 (Renewal of Campbell Pony Baseball League Agreement)

22 EXHIBIT D

CITY OF CAMPBELL INSURANCE REQUIREMENTS

Licensee shall procure and maintain for the duration of the License Agreement, insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the obligations thereunder by Licensee, Licensee’s respective employees, subcontractor(s), agents, representatives, or volunteers.

A. CERTIFICATE REQUIREMENTS
The City will be issued a Certificate of Insurance (a Memorandum of Understanding will not be accepted) with the following minimum requirements:
• Certificate(s) will show current policy number(s) and effective dates, • Coverage and policy limits will meet, or exceed, requirements below, • The Certificate Holder will be City of Campbell, Finance Department, 70 N 1st St, Campbell, CA 95008 with a copy to City of Campbell, Recreation and Community Services Department , 1 W.

Campbell Ave. #C-31, Campbell, CA 95008,
• Certificate will be signed by an authorized representative, • An endorsement , if required below, will be provided to show the City, its officers, officials, employees, and volunteers as additional insureds, and
• Coverages must be maintained during the term of the Agreement with the City, unless a longer duration is required.

B. MINIMUM SCOPE AND LIMITS OF INSURANCE
Licensee acknowledges that the insurance coverage and policy limits set forth in this section constitute the minimum amount of coverage required. If Licensee maintains broader insurance coverage and/or higher limits than the minimums shown below, the City of Campbell requires and shall be entitled to the broader insurance coverage and/or higher li mits maintained by Licensee. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City of Campbell.

Coverage will be at least as broad as:
• COMMERCIAL GENERAL LIABILITY (CGL): $1,000,000 PER OCCURRENCE; $2,000,000 AGGREGATE Proof of coverage for $ 1 Million per occurrence including products and completed operations, property damage, bodily injury, personal and advertising injury will be provided on Insurance Services Office (ISO) Form CG 00 01 covering CGL. If a general aggregate limit applies, either the general aggregate limit will apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limit will be at least twice the required occurrence limit. • BUSINESS INTERRUPTION INSURANCE: Licensee shall procure and maintain, at Licensee's cost, business interruption insurance for and during the term of this license insuring the minimum fee provided for hereunder will be paid to Licensor for the term of this license or a period of up to two (2) years in the event the premises or the building are destroyed or damaged so as to render operation of Licensee's business impossible or impracticable by any casualty insured against by standard fire and extended coverage insurance.

C. OTHER INSURANCE PROVISIONS

The insurance policies are to comply with the following provisions:

7.b
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Attachment: Draft License Agreement Campbell Pony Baseball League - July 2022 (Renewal of Campbell Pony Baseball League Agreement)

23 • ADDITIONAL INSURED STATUS
The City, its officers, officials, employees, and volunteers are to be covered as additional insureds on the CGL policy with respect to liability arising out of work or operations performed by or on behalf of Licensee including materials, parts, or equipment furnished in connection with such work or operations. General liability coverage will be provided in t he form of an endorsement to Licensee’s insurance at least as broad as ISO Form CG 20 10 11 85, or if not available, through the addition of both CG 20 10 CG 20 26, CG 20 33, or CG 20 38; and CG 20 37 (if a later edition is used).

o PRIMARY COVERAGE
For any claims related to this Agreement, Licensee’s insurance coverage will be primary insurance as respects the City, its officers, officials, employees, agents, and volunteers. Any insurance or self- insurance maintained by the City, its officers, officials, e mployees, agents, or volunteers will be excess of Licensee’s insurance and will not contribute with it. • NOTICE OF CANCELLATION
Each insurance policy required above shall state t hat the coverage shall not be canceled, except with notice to the City.
• WAIVER OF SUBROGATION
Licensee hereby grants to the City a waiver of any right to subrogation , except as otherwise not applicable, which any insurer of said Licensee may acquire against the City by virtue of the payment of any loss, including attorney’s fees under such insurance. Licensee agrees to obtain any endorsement that may be necessary to effect uate this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer.
• EXCESS LIABILITY/UMBRELLA INSURANCE POLICIES
The excess/liability policies will provide similar coverage as the primary CGL policy with no new exclusions - Excess liability insurance must follow form the terms, conditions, definitions, and exclusions of the underlying CGL insurance. The excess/umbrella policy must also be written on a primary and noncontributory basis for an additional insured, and that it will apply before any other insurance that is available to such additional insured which covers that person or organization as a named insured, and we will not share with that other insurance.

The policy regarding Limits of Insurance regarding Aggregates must provide that the aggregate limits if applicable shall apply in the same manner as the aggregate limits shown in the Schedule of the Underlying Insurance.
• SELF-INSURED RETENTIONS
Self-insured retentions must be declared to and approved by the City. City may require Licensee to purchase coverage with a lower retention or provide proof of ability to pay losses and related expenses. The policy language shall provide, or be endorsed to provide, that the self -insured retention may be satisfied by either the named insured or City. • ACCEPTABILITY OF INSURERS
Insurance is to be placed with insurers with a current A.M. Best’s rating of no less than A: VII, unless otherwise acceptable to the City.
• VERIFICATION OF COVERAGE
Licensee will furnish the City with original Certificates of Insurance including all required amendatory endorsements (or copies of the applicable policy language effecting coverage required by this clause) and a copy of the Declarations and Endorsement Page of the CGL Policy listing all

7.b
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Attachment: Draft License Agreement Campbell Pony Baseball League - July 2022 (Renewal of Campbell Pony Baseball League Agreement)

24 policy endorsements to be ap proved by the City before work commences. However, failure to obtain the required documents prior to the work beginning will not waive the Licensee’s obligation to provide them. The City reserves the right to require complete, certified copies of all requi red insurance policies, including endorsements required by these specifications, at any time.

D. SUBCONTRACTORS
Licensee shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Contractor shall ensure that City is an additional insured on insurance required from subcontractors.

E. SPECIAL RISKS/CIRCUMSTANCES
City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances and provide notice to Licensee.

7.b
Packet Pg. 55
Attachment: Draft License Agreement Campbell Pony Baseball League - July 2022 (Renewal of Campbell Pony Baseball League Agreement) City
Council
Report
TITLE: Third Amendment to Agreement with the County of Santa Clara to Provide a Senior Nutrition Program for Fiscal Year 2022 -23 (Resolution/Roll Call Vote)

RECOMMENDED ACTION
That the City Council adopt a Resolution authorizing the City Manager to execute a Third Amendment to the Agreement with the County of Santa Clara for the provision of congregate meal services extending the Agreement and providing funding for Campbell's Senior Nutrition Program for Fiscal Year 2022-23.

BACKGROUND
The City of Campbell (City) has provided a congregate Senior Nutrition Program (Program) since 1975. The goal of the Program is to provide nutritionally balanced meals five days per week to help promote the health, dignity, and independence of older adults and to provide socialization activities that enable older adults to remain active and productive members of the Campbell community. This Program would not be possible without the sup port of state and federal funds, administered by the County of Santa Clara (County) through an agreement between the City and the County allowing for the City to be reimbursed for costs incurred and related to this Program, up to a maximum amount.

Specifically, on July 1, 2019, the City entered into an agreement (Agreement) with the County where the County agreed to reimburse the City for the cost of providing meals for persons 60 years of age and older and consistent with the City’s Program. The Agreement also provided that reimbursements would be funded and authorized by the Older Americans Act of 1965, the terms would extend from July 1, 2019 through June 30, 2020, and the authorized reimbursements to the City would not exceed $78,590.

The Agreement was amended on July 1, 2020 to extend the term through June 30, 2021, and increase the amount of authorized reimbursements to the City to a not to exceed total of $80,262.72. Thereafter, the Agreement was amended a second time on July 1, 2021 to extend the term through June 30, 2022, and include a total not to exceed amount of $79,939.08 for allowable reimbursements.

The purpose of this memorandum is to seek Council authorization for the City Manager to execute a third amendment to the Agreement with the County to continue the County’s obligation to reimburse the City for costs related to the operation of its Program for Fiscal Item: 8
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
8 Packet Pg. 56
Third Amendment Senior Nutrition Program FY 2022-2023 Page 2 of 3 Year (FY) 2022 -23, in an amount not to exceed $83,041. Attached to this report is the County Budget Justification for FY 2022 -23 (Attachment B), which outlines the specific terms and maximum reimbursements for the coming year.

DISCUSSION

A third amendment to the Agreement with the County will extend the term and all provisions for the County’s administrative oversight of the Pr ogram funds for one more year, from July 1, 2022 through June 30, 2023. A third amendment would also include a maximum reimbursement amount for Program expenses in FY 2022 -23. Specifically, a third amendment would allow for the provision of 14,442 meals, at a per meal rate of $5.75 per meal, with a maximum reimbursement amount to the City of $83,041.

The FY 2022 -23 Program budget includes a 3% cost of living adjustment (COLA) from the County. The COLA helps to offset negligible meal increases. The total cost of operating the City’s Senior Nutrition Program for FY 2022 -23 is $198,278 (including personnel costs), with the County covering and reimbursing the City for a maximum of $83,041 in food and non -food costs as well as other miscellaneous program items and the City programming the remaining $115,237 into the Program’s proposed budget (101.525) in the General Fund.

The City and County share in covering the cost of providing meals for individuals participating in the City’s Senior Nutrition Program in th e City of Campbell. While the participants contribute to the cost of their meals, these contributions are minimal and are considered by the County to be voluntary. The City pays for personnel costs to cover the cost of staff necessary to run the Program and the County reimburses the City for costs related to providing meals to seniors participating in the Program at a per meal rate of $5.75 (which covers food, supplies and materials, and other non -personnel costs related to the Program).

FISCAL IMPACT

The FY 2022 -23 Program budget includes a 3% cost of living adjustment (COLA) from the County. The COLA helps to offset negligible meal increases. The total cost of operating the City’s Senior Nutrition Program for FY 2022 -23 is $198,278 (including personnel costs), with the County covering and reimbursing the City for a maximum of $83,041 in food and non -food costs as well as other miscellaneous program items and the City programming the remaining $115,237 into the Program’s proposed budget (101.525) in the General Fund.

ALTERNATIVE

Do not authorize the City Manager to execute a Third Amendment to the Agreement with the County and provide alternative direction to staff.

8 Packet Pg. 57
Third Amendment Senior Nutrition Program FY 2022-2023 Page 3 of 3 Prepared by:

Tina Wong-Erling, Senior Services
Supervisor
Reviewed by:

Natasha Bissell, Recreation and
Community Services Director
Approved by:

Angelique Gaeta, Assistant City
Manager
Attachment:
a. Resolution County FY 2022-2023
b. Senior Nutrition Program Budget Campbell FY 2022-23
8 Packet Pg. 58

RESOLUTION NO. ________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL

AUTHORIZING THE CITY MANAGER TO EXECUTE THE THIRD

AMENDMENT OF THE CONTRACT WITH THE COUNTY OF SANTA CLARA TO PROVIDE A SENIOR NUTRITION PROGRAM IN FISCAL YEAR 2022-23

WHEREAS, the City of Campbell recognizes the need for a nutritious meal program for senior citizens in Campbell; and

WHEREAS, the County receives funding through the Older Americans Act of 1965; and

WHEREAS, the City and the County have worked collaborative ly since 1975 to share the cost and administration of operating a Senior Nutrition program in Campbell; and

WHEREAS, the current Agreement was established on July 1, 2019 and has been amended annually; and.

WHEREAS, the Third Amendment of the Agreement with the C ounty of Santa Clara , is required to extend the terms for one year , from J uly 1, 20 22 through June 30, 2023, and clarify the financial obligations of each party to include a maximum reimbursement to the City of $83,041 for program expenses and the provision of 14,442 meals, at a per meal rate of $5.75 per meal.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Campbell does her eby authorize the City Manager to execute the Third Amendment to the Agreement with Santa Clara County to provide a Senior Nutrition Program in Campbell for Fiscal Year 2022-23.

PASSED AND ADOPTED this ______ day of ________, 2022 by the following roll call vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:

________________________
Paul Resnikoff, Mayor

ATTEST:

8.a
Packet Pg. 59
Attachment: Resolution County FY 2022-2023 [Revision 1] (Third Amendment Senior Nutrition Program FY 2022-2023) __________________________
Dusty Christopherson, City Clerk

8.a
Packet Pg. 60
Attachment: Resolution County FY 2022-2023 [Revision 1] (Third Amendment Senior Nutrition Program FY 2022-2023) County of Santa Clara
Social Services Agency
FY 2022-23 Exhibit C-3
Site 1 - Budget Justification
Agency Name:

Site Location:
#REF! #REF! 14,442
# of Daily Meals Serving Days Annual Meals

A B C D
Fee for Service Budget Justification*
Personnel Costs Total Program Cost Agency Amount** SCC Contract Amount Salaries 79,195.00$ 79,195.00$ -$ Volunteer Hours (in-kind) -$ -$ -$ Payroll Taxes 1,901.00$ 1,901.00$ -$ Retirement Contribution 3,518.00$ 3,518.00$ -$ Health Insurance 8,394.00$ 8,394.00$ -$ Other Fringe Benefits 3,371.00$ 3,371.00$ -$ Subtotal Personnel Costs 96,379.00$ 96,379.00$ -$ Operating Expenses
Food Costs @ $5.75/meal 83,042.00$ 12,737.00$ 70,305.00$ Non-Food Costs @ $0.697/meal 10,071.00$ 5,035.50$ 5,035.50$ In-Kind Donations -$ -$ Usage Cost 6,991.00$ 6,991.00$
Insurance -$
Fiscal 842.00$ 421.00$ 421.00$ Staff Mileage @ Federally Approved Rate 213.00$ 106.50$ 106.50$ Equipment & Repair 365.00$ 182.50$ 182.50$ Pre-packaged Meals & Special Events Supplies 375.00$ 375.00$ -$ Subtotal Operating Expenses 101,899.00$ 18,857.50$ 83,041.50$ INDIRECT COSTS (maximum 15% of SCC Contract Amount or federally approved indirect rate) Administrative Overhead -$
Grand Total 198,278.00$ 115,236.50$ 83,041.50$ Unit cost (approximate)*: 13.73$ 7.98$ 5.75$ Food Cost per Meal: 5.75$ 0.88$ 4.87$ Food Cost as Percent of Unit Cost (Minimum of 25% less $.25 for SCC funding)**: 42% 11% 85% City of Campbell
Ca
mpbell Community Center
*Actual expenses must be reconciled to the amount of the County per meal reimbursement quarterly and at year end.

Third Amendment to the Contract between the County of Santa Clara Social Services Agency and City of Campbell Page 1 of 2

8.b
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Attachment: Senior Nutrition Program Budget Campbell FY 2022-23 (Third Amendment Senior Nutrition

City
Council
Report

TITLE: Third Amendment to Agreement with Trio Community Meals, LLC to Provide Catered Meals for the Senior Nutrition Program for Fiscal Year 2022-23 (Resolution/Roll Call Vote)

RECOMMENDED ACTION

That the City Council adopt a Resolution authorizing the City Manager to execute the Third Amendment to the Agreement with Trio Community Meals, LLC to provide catered meals for the Senior Nutrition Program for Fiscal Year 2022-23.

BACKGROUND

The City of Campbell (City) has a long -standing partnership with Trio Community Meals, LLC (formerly Bateman Community Living, LLC) to provide catered meals for the City’s Senior Nutrition Program. In addition, Trio Community Meals, LLC is designated as an approved caterer by the County of Santa Clara (County), through the County’s competitive bid process, for the provision of food services for both the City’s and the County’s Senior Nutrition Programs.

On July 1, 2019, the City entered into its original agreement (Agreement) with Trio Community Meals, LLC to provide catered meals for the City’s program from July 1, 2019 through June 30, 2020. The Agreement provided that Trio Community Meals, LLC would provide catered meals, three days p er week, at a rate of $5.28 per meal and that staff would direct the total number of meals delivered based on actual need. The Agreement was amended on July 1, 2020 to increase the rate charged per meal to $5.44 per meal and to extend the term of the Agree ment through June 30, 2021. Thereafter, the Agreement was amended a second time on July 1, 2021, to increase the rate charged per meal to $5.50 per meal and to further extend the provision of services through June 30, 2022.

DISCUSSION

The City would lik e to continue using Trio Community Meals, LLC to provide catered meals for the City’s Senior Nutrition Program through Fiscal Year (FY) 2022-23. Therefore, staff is recommending the Agreement be amended a third time as follows: reduce the frequency with wh ich meals are provided from three to two days per week, increase the rate charged per meal to $5.81 per meal, and Item: 9
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
9 Packet Pg. 62
Third Amendment Trio Community Meals FY 2022-2023 Page 2 of 3 extend the term of the Agreement from July 1, 2022 through June 30, 2023.

FISCAL IMPACT
The City shares the cost for the Senior Nutrition Pr ogram’s catered meals with the County of Santa Clara. The total FY 2022 -23 meal quantities from Trio Community Meals, LLC will be directed by staff based on need and are estimated to cost up to approximately $36,000 in the upcoming fiscal year. Funds have been requested in the FY 2022 -23 Operating Budget and are included in the Recreation & Community Services Department, Senior Nutrition Division (Acct. No. 101.525.7432).

ALTERNATIVES
Do not authorize the City Manager to execute a third amendment to the Agreement with Trio Community Meals, LLC and not be able to provide meals to seniors in need.

Prepared by:

Tina Wong-Erling, Senior Services
Supervisor
Reviewed by:

Natasha Bissell, Recreation and
Community Services Director
Approved by:

Angelique Gaeta, Assistant City
Manager
Attachment:
a. Resolution Trio Community Meals FY 2022-2023
9 Packet Pg. 63

Third Amendment Trio Community Meals FY 2022-2023 Page 3 of 3 b. Senior Nutrition Program Budget Campbell FY 2022-23
9 Packet Pg. 64
RESOLUTION NO. ________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL

AUTHORIZING THE CITY MANAGER TO EXECUTE THE THIRD AMENDMENT TO

THE AGREEMENT WITH TRIO COMMUNITY MEALS, LLC TO PROVIDE CATERED MEALS FOR THE SENIOR NUTRITION PROGRAM FOR FISCAL YEAR 2022-23

WHEREAS, the City of Campbell recognizes the need for a nutritious meal program for senior citizens in Campbell; and

WHEREAS, Trio Community Living , LLC is designated by the County as an approved caterer of meals for the C ity/County Senior Nutrition Program for Fiscal Year 2022-23; and

WHEREAS, the A mendment with Trio Community Living , LLC is required to clarify the obligations of each party and include a reduction in the frequency with which meals are provided , from three to two days per week; an increase in the rate charged per meal to $5.81 per meal; and, an extension of the term of the Agreement from July 1, 2022 through June 30, 2023.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Campbell does hereby authorize the City Manager to execute the Third Amendment to the Agreement with Trio Community Living, LLC to continue to provide meals for the Senior Nutrition Program for FY 22-23.

PASSED AND ADOPTED this _____ day of _________, 2022 by the following roll call vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:

________________________
Paul Resnikoff, Mayor

ATTEST:

__________________________
Dusty Christopherson, City Clerk

9.a
Packet Pg. 65
Attachment: Resolution Trio Community Meals FY 2022-2023 (Third Amendment Trio Community Meals FY 2022-2023) County of Santa Clara
Social Services Agency
FY 2022-23 Exhibit C-3
Site 1 - Budget Justification
Agency Name:

Site Location:
#REF! #REF! 14,442
# of Daily Meals Serving Days Annual Meals

A B C D
Fee for Service Budget Justification*
Personnel Costs Total Program Cost Agency Amount** SCC Contract Amount Salaries 79,195.00$ 79,195.00$ -$ Volunteer Hours (in-kind) -$ -$ -$ Payroll Taxes 1,901.00$ 1,901.00$ -$ Retirement Contribution 3,518.00$ 3,518.00$ -$ Health Insurance 8,394.00$ 8,394.00$ -$ Other Fringe Benefits 3,371.00$ 3,371.00$ -$ Subtotal Personnel Costs 96,379.00$ 96,379.00$ -$ Operating Expenses
Food Costs @ $5.75/meal 83,042.00$ 12,737.00$ 70,305.00$ Non-Food Costs @ $0.697/meal 10,071.00$ 5,035.50$ 5,035.50$ In-Kind Donations -$ -$ Usage Cost 6,991.00$ 6,991.00$
Insurance -$
Fiscal 842.00$ 421.00$ 421.00$ Staff Mileage @ Federally Approved Rate 213.00$ 106.50$ 106.50$ Equipment & Repair 365.00$ 182.50$ 182.50$ Pre-packaged Meals & Special Events Supplies 375.00$ 375.00$ -$ Subtotal Operating Expenses 101,899.00$ 18,857.50$ 83,041.50$ INDIRECT COSTS (maximum 15% of SCC Contract Amount or federally approved indirect rate) Administrative Overhead -$
Grand Total 198,278.00$ 115,236.50$ 83,041.50$ Unit cost (approximate)*: 13.73$ 7.98$ 5.75$ Food Cost per Meal: 5.75$ 0.88$ 4.87$ Food Cost as Percent of Unit Cost (Minimum of 25% less $.25 for SCC funding)**: 42% 11% 85% City of Campbell
Ca
mpbell Community Center
*Actual expenses must be reconciled to the amount of the County per meal reimbursement quarterly and at year end.

Third Amendment to the Contract between the County of Santa Clara Social Services Agency and City of Campbell Page 1 of 2

9.b
Packet Pg. 66
Attachment: Senior Nutrition Program Budget Campbell FY 2022-23 (Third Amendment Trio Community

City
Council
Report

TITLE: Agreement with MoonChef, LLC to Provide Catered Meals for the Senior Nutrition Program for Fiscal Year 2022 -23 (Resolution/Roll Call Vote)

RECOMMENDED ACTION

That the City Council adopt a Resolution authorizing the City Manager to execute an Agreement with MoonChef, LLC to provide catered meals for the Senior Nutrition Program during Fiscal Year 2022-23.

BACKGROUND

The City of Campbell (City) has partnered w ith MoonChef, LLC since 2017 to provide Asian cuisine catered meals for the City’s Senior Nutrition Program. In addition, MoonChef, LLC is designated as an approved caterer by the County of Santa Clara (County), through the County’s competitive bid process , for the provision of food services for both the City’s and the County’s Senior Nutrition Programs.

On November 15, 2017, the City entered into the first agreement (Agreement) with MoonChef, LLC to provide catered meals for the City’s Senior Nutrition Pr ogram following the existing Asian cuisine caterer providing notice of termination of services.

MoonChef, LLC provided catered meals once a week from November 15, 2017 to June 30, 2018. The Agreement was renewed on July 1, 2018 to indicate that MoonChef would provide catered meals two days per week at a rate of $5.20 per meal from July 1, 2018 through June 30, 2019. Since then, a new agreement with MoonChef, LLC has been entered into annually at the start of each fiscal year. Specifically, subsequent agreements provided MoonChef, LLC would provide catered meals two days a week in Fiscal Year 2020 at a rate of $5.41 per meal; two days a week in Fiscal Year 21 at a rate of $5.38 per meal; and two days a week in Fiscal Year 22 at a rate of $5.60 per meal.

DISCUSSION

The City would like to continue using MoonChef, LLC to provide catered meals for the City’s Senior Nutrition Program through Fiscal Year (FY) 2022-23 and increase the meal service to three days per week. Therefore, staff is recommending the City e nter into a new agreement with MoonChef, LLC to increase the frequency with which meals are provided from two to three days per week; to increase the rate charged from $5.60 per Item: 10
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
10 Packet Pg. 67
MoonChef Contract FY 2022-2023 Page 2 of 3
meal to $5.81 per meal, for a total compensation amount of $54,000; and to pro vide a new term for services from July 1, 2022 through June 30, 2023.

FISCAL IMPACT
The City shares the cost for the Senior Nutrition Program’s catered meals with the County of Santa Clara. The total FY 2022 -23 meal quantities from MoonChef, LLC will be directed by City staff based on need and are estimated to cost the City approximately $54,000 in the upcoming fiscal year. Funds have been requested in the FY 2022 -23 Proposed Operating Budget and are included in the Recreation & Community Services Depart ment, Senior Nutrition Division budget (Acct No. 101.525.7432).

ALTERNATIVES
Do not authorize the City Manager to execute an agreement with MoonChef, LLC and not be able to provide meals to seniors in need.

Do not authorize the City Manager to execute a new agreement and rovide alternative direction to staff.

Prepared by:

Tina Wong-Erling, Senior Services
Supervisor
Reviewed by:

Natasha Bissell, Recreation and
Community Services Director
Approved by:

Angelique Gaeta, Assistant City
Manager
10 Packet Pg. 68

MoonChef Contract FY 2022-2023 Page 3 of 3
Attachment:
a. Resolution MoonChef FY 2022-2023
b. Senior Nutrition Program Budget Campbell FY 2022-23
10 Packet Pg. 69
RESOLUTION NO. ________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL

AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENT WITH

MOONCHEF, LLC, TO PROVIDE CATERED MEALS FOR THE SENIOR NU TRITION PROGRAM FOR FISCAL YEAR 2022-23

WHEREAS, the C ity of C ampbell recognizes the need for a nutritious meal program for senior citizens in Campbell; and

WHEREAS, MoonChef, LLC has been designated by the County as an approved caterer for meals for the City/County Nutrition Program for Fiscal Year 2022-23; and

WHEREAS, the Agreement with MoonChef, LLC is required to clarify the obligations of each party to increase the frequency with which meals are provided by MoonChef, LLC through the City’s Senior Nutrition Program from two to three days per week; to increase the rate charged from $5.60 per meal to $5.81 per meal, for a total compensation amount of $54,000; and to provide a new term for MoonChef, LLC to provide these services from July 1, 2022 through June 30, 2023.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Campbell does hereby authorize the City Manager to execute an Agreement with MoonChef, LLC to provide catered meals for the Senior Nutrition Program for Fiscal Year 2022-23.

PASSED AND ADOPTED this ______ day of ________, 2022 by the following roll call vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:

________________________
Paul Resnikoff, Mayor

ATTEST:

__________________________
Dusty Christopherson, City Clerk

10.a
Packet Pg. 70
Attachment: Resolution MoonChef FY 2022-2023 (MoonChef Contract FY 2022-2023) County of Santa Clara
Social Services Agency
FY 2022-23 Exhibit C-3
Site 1 - Budget Justification
Agency Name:

Site Location:
#REF! #REF! 14,442
# of Daily Meals Serving Days Annual Meals

A B C D
Fee for Service Budget Justification*
Personnel Costs Total Program Cost Agency Amount** SCC Contract Amount Salaries 79,195.00$ 79,195.00$ -$ Volunteer Hours (in-kind) -$ -$ -$ Payroll Taxes 1,901.00$ 1,901.00$ -$ Retirement Contribution 3,518.00$ 3,518.00$ -$ Health Insurance 8,394.00$ 8,394.00$ -$ Other Fringe Benefits 3,371.00$ 3,371.00$ -$ Subtotal Personnel Costs 96,379.00$ 96,379.00$ -$ Operating Expenses
Food Costs @ $5.75/meal 83,042.00$ 12,737.00$ 70,305.00$ Non-Food Costs @ $0.697/meal 10,071.00$ 5,035.50$ 5,035.50$ In-Kind Donations -$ -$ Usage Cost 6,991.00$ 6,991.00$
Insurance -$
Fiscal 842.00$ 421.00$ 421.00$ Staff Mileage @ Federally Approved Rate 213.00$ 106.50$ 106.50$ Equipment & Repair 365.00$ 182.50$ 182.50$ Pre-packaged Meals & Special Events Supplies 375.00$ 375.00$ -$ Subtotal Operating Expenses 101,899.00$ 18,857.50$ 83,041.50$ INDIRECT COSTS (maximum 15% of SCC Contract Amount or federally approved indirect rate) Administrative Overhead -$
Grand Total 198,278.00$ 115,236.50$ 83,041.50$ Unit cost (approximate)*: 13.73$ 7.98$ 5.75$ Food Cost per Meal: 5.75$ 0.88$ 4.87$ Food Cost as Percent of Unit Cost (Minimum of 25% less $.25 for SCC funding)**: 42% 11% 85% City of Campbell
Ca
mpbell Community Center
*Actual expenses must be reconciled to the amount of the County per meal reimbursement quarterly and at year end.

Third Amendment to the Contract between the County of Santa Clara Social Services Agency and City of Campbell Page 1 of 2

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Attachment: Senior Nutrition Program Budget Campbell FY 2022-23 (MoonChef Contract FY 2022-2023)

City
Council
Report

TITLE: Accept Improvements for the Campbell Community Center Track Resurfacing Project 21 -PP, and File Notice of Completion (Resolution/Roll Call Vote)

RECOMMENDED ACTION

That the City Council adopt a Resolution accepting the "Improvements to the Campbell Community Center Track Resurfacing Project 21-PP" (Project); and direct the City Clerk to file the Notice of Completion.

BACKGROUND

On February 1, 2022, the City Council adopted Resolution No. 12797 authorizing the advertisement of bids, the awarding of a contract, and the signing of a construction contract for the Project. The City Clerk’s Office received one bid from Beynon Sports Surfacing of Fresno, California . The bid was determined to be responsible and responsive and on March 3, 2022, The City of Campbell (City) awarded the construction contract to Beynon Sports Surfacing . The Project was funded with a Community Development Block Grant (CDBG) in the amount of $365,000 and with $40,000 from the Park Dedication Fund, for a total budget of $405,000.

DISCUSSION

Project construction began on March 22, 2022, with completion on April 14, 2022. All Project work was done in accordance with Project plans and specifications.

With the construction completion, the Project:
• Removed the existing running track surface;
• Installed 20 lineal feet of concrete border curb;
• Removed and replaced 200 sq ft. of hot mix asphalt concrete for the running track structural subsurface; and
• Installed an impermeable polyurethane synthetic track system.

With the completion of this Project, the useful life of the running track surface is now at 10 plus years.

The attached resolution has been prepared to accept the Project and to direct the City Clerk to file the Notice of Completion.

Item: 11
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
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Accept Improvements for the Campbell Community Center Track Resurfacing Page 2 of 3

FISCAL IMPACT
The Project was completed under budget as outlined below:

SOURCE OF FUNDS
Budget Actual Difference
CDBG $365,000 $365,000 $0
Park Dedication Fund $40,000 $40,000 $0
Total Sources $405,000 $405,000 $0

USE OF FUNDS
Budget Actual Difference
Design $20,000 $3,000 $17,000
Construction Engineering $20,000 $5,702 $14,298
Construction Contract $365,000 $347,722 $17,278
Total Uses $405,000 $356,424 $48,576
The full cost of construction ($347,722) will be covered solely by CDBG funds. Design and construction engineering costs ($8,702) are not eligible for CDBG reimbursement and will be covered by the City’s Parkland Dedication Fund.

CDBG funds are received on a reimbursable basis. Because the Project was completed under budget, there remains an additional $17,278 in CDBG grant funds that the City will not be requesting for reimbursement. Lastly, $31,298 of Park Dedication Funds will be returned to the Park Dedication Fund.

Prepared by:

Ron Taormina, Street Maintenance
Supervisor
Reviewed by:

Todd Capurso, Director of Public Works
11 Packet Pg. 73

Accept Improvements for the Campbell Community Center Track Resurfacing Page 3 of 3 Approved by:

Angelique Gaeta, Assistant City
Manager
Attachment:
a. Resolution
11 Packet Pg. 74

RESOLUTION NO.______________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL

ACCEPTING THE IMPROVEMENTS FOR THE CAMPBELL COMMUNITY CENTER RUNNING TRACK PROJECT NO. 21PP AN D DIR ECTING THE FILING OF THE

NOTICE OF COMPLETION
WHEREAS, on March 10, 2022, a construction contract was awarded to Beynon Sports Surfacing of Fresno , California to complete the Improvements for the Campbell Community Center Running Track Project No. 21PP (Project); and WHEREAS, Beynon Sports Surfacing completed the Project; and WHEREAS, the Project was completed on April 14, 2022; and WHEREAS, the Community Development Block Grant funds covered all costs to the Project in the amount of $347,721; and
WHEREAS, approximately $ 48,576 of Project funds re main unspent in the project budget; and
WHEREAS, staff has requested that the $48,576 of remaining Project funds be returned to the Park Dedication Fund;
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Campbell does hereby accept the improvements constructed by Beynon Sport s Surfacing for the Project; and d irects the City Clerk to file a Noti ce of Completion and authorizes the Finance Director to perform the recommended budget adjustments.

PASSED AND ADOPTED this _____ day of _______, 2022 by the followin g roll call vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:
__________________________________
Paul Resnikoff, Mayor
ATTEST:
__________________________
Dusty Christopherson, City Clerk

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Attachment: Resolution (Accept Improvements for the Campbell Community Center Track Resurfacing)

City
Council
Report

TITLE: Approval of Tract Map No. 10572 Including Acceptance of Public Service Easements Shown on Said Map – 202 West Rincon Avenue (Resolution/Roll Call Vote)

RECOMMENDED ACTION

That the City Council adopt a Resolution approving the Tract Map for Tract No. 10572 and accept the public service easements as shown on the map for the property located at 202 West Rincon Avenue.

BACKGROUND

On April 6, 2021, the City Counc il adopted Resolution No. 12695 conditionally approving a Tentative Subdivision Map (PLN -2018-225) to allow the creation of nine single family lots and one common lot on the property located at 202 West Rincon Avenue.

DISCUSSION

The Tract Map includes th e public service easements necessary to accommodate the approved use of the property. Staff has reviewed the map and found it in compliance with the approved Tentative Subdivision Map, the Subdivision Map Act, and Title 20 of the Campbell Municipal Code. The attached resolution has been prepared for Council’s consideration for approval of the Tract Map, including acceptance of the public service easements offered for dedication on said map.

FISCAL IMPACT

The fiscal impacts associated with this subdivisi on were previously discussed at the time City Council approved the Tentative Subdivision Map (PLN -2018-225) on April 6, 2021. To summarize, the project will be generating the following revenue: 1) Parkland Dedication In-Lieu Fees ($52,000); 2) Building Permit/Plan-Check Fees ($228,000); and 3) Property Tax Increase ($8,100/annually).

ALTERNATIVES

Determine that the Tract Map is not consistent with the Tentative Map or applicable codes, and do not approve the Tract Map with the proposed dedications.

Item: 12
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
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Tract Map for Tract No. 10572, 202 W. Rincon Page 2 of 2 Prepared by:

Roger Storz, Senior Civil Engineer
Reviewed by:

Todd Capurso, Director of Public Works
Approved by:

Brian Loventhal, City Manager
Attachment:
a. Resolution
b. Tract Map 10572
12 Packet Pg. 77

RESOLUTION NO. ______________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL APPROVING THE TRACT MAP FOR TRACT NO. 105 72 AND ACCEPTING THE PUBLIC SERVICE EASEMENTS FOR THE PROPERTY LOCATED AT 202 WEST

RINCON AVENUE

WHEREAS, On April 6 , 20 21, t he City Council adopted Resolution No. 12695 approving a Tentative Subdivision Map (PLN-2018-225) for the property located at 202 West Rincon Avenue; and

WHEREAS, public service easements are necessary to acc ommodate the approved use of the property and h ave been offered for dedication on the Tract Map; and

WHEREAS, the Tract Map has been prepared, reviewed by staff, and found to be in compliance with the Tentative Map, the Subdivision Map Act , and Title 20 of the Campbell Municipal Code.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Campbell that Tract Map 10572 is hereby approved and the Public Service Easements offered for dedication as shown on said map are here by accepted in conformity with the terms for which they are offered.

PASSED AND ADOPTED this _______ day of _______, 2022 by the following roll call vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:

____________________________
Paul Resnikoff, Mayor

ATTEST:

_______________________________
Dusty Christopherson, City Clerk

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Attachment: Resolution (Tract Map for Tract No. 10572, 202 W. Rincon)

CITY ENGINEER'S STATEMENT

SURVEYOR'S STATEMENT

COUNTY RECORDER'S STATEMENT

OWNER'S STATEMENT OWNER'S ACKNOWLEDGMENT

SOILS AND GEOLOGICAL REPORT
MAY 2022
TRACT NO. 10572

CITY SURVEYOR'S STATEMENT

CITY OF CAMPBELL STATE OF CALIFORNIA
CONSISTING OF THREE (3) SHEETS

OF THE LANDS DESCRIBED IN DOCUMENT NO. 23902435 AS RECORDED ON APRIL 4, 2018, OFFICIAL RECORDS OF SANTA CLARA COUNTY
A 10-LOT SUBDIVISION (9 RESIDENTIAL LOTS AND 1 COMMON AREA)

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Attachment: Tract Map 10572 (Tract Map for Tract No. 10572, 202 W. Rincon) BASIS OF BEARINGS:

CITY OF CAMPBELL
SCALE: 1"= 60' MAY 2022

STATE OF CALIFORNIA
NOTES:

LEGEND AND ABBREVIATIONS
REFERENCE DOCUMENTS:

TRACT NO. 10572
CONSISTING OF THREE (3) SHEETS
OF THE LANDS DESCRIBED IN DOCUMENT NO. 23902435 AS RECORDED ON APRIL 4, 2018, OFFICIAL RECORDS OF SANTA CLARA COUNTY
A 10-LOT SUBDIVISION (9 RESIDENTIAL LOTS AND 1 COMMON AREA)

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Attachment: Tract Map 10572 (Tract Map for Tract No. 10572, 202 W. Rincon)

LOT AREA TABLE
BASIS OF BEARINGS:

NOTES:

LEGEND AND ABBREVIATIONS

CITY OF CAMPBELL
SCALE: 1"= 30' MAY 2022

STATE OF CALIFORNIA
REFERENCE DOCUMENTS:

TRACT NO. 10572
CONSISTING OF THREE (3) SHEETS
OF THE LANDS DESCRIBED IN DOCUMENT NO. 23902435 AS RECORDED ON APRIL 4, 2018, OFFICIAL RECORDS OF SANTA CLARA COUNTY
A 10-LOT SUBDIVISION (9 RESIDENTIAL LOTS AND 1 COMMON AREA) PSE

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Attachment: Tract Map 10572 (Tract Map for Tract No. 10572, 202 W. Rincon)

City
Council
Report

TITLE: Preliminary Approval of Engineer’s Report and Adoption of Resolution of Intention, Lighting District LLA -1, Fiscal Year 2022/23 and Set Time and Place for Public Hearing (Resolution/Roll Call Vote)

RECOMMENDED ACTION

That the City Council adopt a Resolution preliminarily approving the Engineer’s Report for the annual levy and collection of assessments for City of Campbell Lighting District LLA-1 for Fiscal Yea r 2022-23; and adopt a Resolution declaring Council’s intention to levy and collect assessments within the City of Campbell Lighting District LLA -1 for Fiscal Year 2022-23 and setting forth the time and place for a required Public Hearing.

BACKGROUND

On April 5, 2022, pursuant to City Council Resolution No. 5831 approving the formation of the city -wide City of Campbell Lighting District LLA -1 (LLA-1) and the Landscaping and Lighting Act of 1972 (LLA), the City Council adopted a resolution directing staff to prepare a preliminary Engineer’s Report and initiate proceedings in support of levying assessments on properties within the LLA -1 for fiscal year (FY) 2022 -23, as more fully described in the April 5, 2022 City staff report. The purpose of the LLA -1 is to help the City of Campbell (City) fund the installation, operation and maintenance of a range of public improvements within the district, including: public lighting, traffic signals, street and median landscaping, parks and recreational improvements, cur bs, gutters, sidewalks, and irrigation systems and associated drainage improvements.

DISCUSSION

The Engineer’s Report for FY 2022-23 has been prepared and filed with the City Clerk’s Office. The report anticipates total expenditures for needed installa tion, operation and maintenance activities in FY 2022 -23 to amount to approximately $4.24 million . These anticipated expenditures are incorporated into the FY 2022 –23 Proposed Budget and 2023 to 2027 Proposed Capital Improvement Plan (CIP).

Based on the LLA-1 assessment formula, the level of special assessments is only anticipated to total approximately $1,210,000 in FY 2022-23. To make up the difference to cover the needed maintenance, signal and lighting activities required, a combined contribution of approximately $3.03 million will be derived from other revenue sources including the General Fund, Construction Tax, and Gas Tax in FY 2022-23.

Item: 13
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
13 Packet Pg. 82
LLA Preliminary Approval Page 2 of 3
To support the levying and collection of assessments in the district in the amount of $1,210,000, City staff p roposes the City Council approve the Engineer’s Report for the annual LLA-1 assessment and direct City staff action as follows:

June 7, 2022 City Council grants preliminary approval of Engineer’s Report and adopts Resolution of Intention. Time and place f or the Public Hearing are set.

June 15, 2022 Resolution of Intention published in a local newspaper of general circulation.

June 22, 2022 Resolution of Intention published in a local newspaper of general circulation.

July 5, 2022 Public Hearing is held at the regular City Council meeting. City Council considers adoption of a Resolution Overruling Protests, if any, ordering the improvements and confirming the diagram and assessments for Fiscal Year 2022-23.

August 2, 2022 Diagram and assessment file d with County Auditor no later than August 2, 2022.

To proceed with the assessment process for FY 2022 -23, it is necessary for City Council to grant preliminary approval of the Engineer’s Report. After preliminary approval of the Engineer’s Report, notice s will be published notifying Campbell residents of the upcoming Public Hearing scheduled for July 5, 2022.

FISCAL IMPACT
Although there is no direct fiscal impact associated with this action, failure to preliminarily approve the Engineer’s Report and se t the Public Hearing date would jeopardize the ability of the City to levy the annual Lighting and Landscaping District assessment, which provides approximately $1.21 million to the City for needed services.

ALTERNATIVES
Do not proceed with the annual Li ghting and Landscaping District assessment process and designate alternative funding sources for staff to use to replace the LLA revenue or direct staff to reduce or suspend services historically funded by LLA revenue.

Prepared by:
13 Packet Pg. 83
Roger Storz, Senior Civil Engineer
LLA Preliminary Approval Page 3 of 3
Reviewed by:

Todd Capurso, Director of Public Works
Approved by:

Angelique Gaeta, Assistant City
Manager
Attachment:
a. FY 22-23 LLA Resolution of Approval
b. FY22-23 LLA Resolution of Intention
13 Packet Pg. 84

RESOLUTION NO. ________________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL PRELIMINARILY APPROVING THE ENGINEER’S REPORT FOR THE ANNUAL LEVY

AND COLLECTION OF ASSESSMENTS FOR CITY OF CAMPBELL LIGHTING DISTRICT LLA-1 FOR FISCAL YEAR 2022-23

BE IT RESOLVED, by the City Council of the City of Campbell as follows:

1. On April 5, 20 22, the City Council adopted Resolution No . 12813, initiating proceedings and directing the City Engineer to prepare a report in accordance with Division 15, Part 2, Chapter 1, Article 4 of the California Streets & Highways Code (Sections 22565 et seq.) for the purpose of the annual levy and collection of assessments for the City of Campbell Lighting District LLA-1 for Fiscal Year 2022-23;

2. The report has been filed with the City Clerk;

3. The City Council finds that the report adequately sets forth the following information:

a) Plans and specifications for proposed new improvements, if any, to be made within the Assessment District;

b) An estimate of the costs of said proposed new improvements, if any, to be made and the costs of maintenance or operation, or both, thereof, and an estimate of the costs for maintenance and operation of any existing improvements, together with the incidental expenses in connection therewith;

c) A diagram showing the exterior boundaries of the Assessment District and the lines and dimensions of each parcel of land within the District as such parcel of land is shown on the County Assessor’s map for Fiscal Year 2022-23; each of which parcels shall be identified by a distinctive number or letter on said diagram; and

d) A proposed assessment, consisting of the total amount of the estimated costs and expenses of the proposed new improvements in accordance with Section 225 69 of the California Streets and Highways Code, including the installation, if any, and the maintenance and/or operation thereof, and of any existing improvements , to be assessed upon the parcels in said District in proportion to the estimated benefits to be received by such parcels respectively from said improvements, including the maintenance or servicing, or both, therefore, and of the expenses incidental thereto, as provided in the Rules for Spreading Assessments, which is attached hereto as Exhibit A and hereby adopted.

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Attachment: FY 22-23 LLA Resolution of Approval (LLA Preliminary Approval)

NOW, THEREFORE BE IT RESOLVED , the City Council of the City of Campbell hereby preliminarily approves the Engineer’s Report as presently submitted.

I hereby certify that the foregoing is a full, true and correct copy of a Resolution duly passed and adopted by the City C ouncil of the City of Campbell, California, at a meeting thereof held on the _____ day of _________, 20 22, by the following roll call vote of the members thereof:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:

__________________________________
Paul Resnikoff, Mayor

ATTEST:

__________________________
Dusty Christopherson, City Clerk

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Attachment: FY 22-23 LLA Resolution of Approval (LLA Preliminary Approval)

EXHIBIT A
L
LA-1 RULES FOR SPREADING ASSESSMENTS

1. District is to be assessed for all costs of forming the District and maintaining the street l
andscaping and the lighting systems located within the boundaries of the District.

2. The City Council is hereby authorized to annually increase the assessment by not more than ten percent (10%) per year to cover increased costs.

3. Total costs shall be apportioned to all parcels within the district boundary in accordance with the benefit received. Parcels without curbs, gutters or sidewalks pay no assessment for sidewalk repair.

4. The benefit for each parcel has been determined to be proportional to the land area of that parcel.

5. The area for condominium and townhouse developments shall be determined by assigning to each unit in the development an area equal to that unit’s proportionate share of the total land area in the development.

6. Parcels zoned single-family residence or agriculture are assessed up to a maximum of 10,000 square feet.

7. Three categories of benefits have been established:

A. All parcels having existing zoning of R-1, R-D, R-M-S, R-2-S, R-3-S, P-F or PD (Residential).

B. All parcels having existing zoning of C-1-S, C-2-S, C-3-S, P-O, or PD (commercial or professional).

C. All parcels having existing zoning of M-1-S, M-2-S, or C-M-B.

8. Assessment for lighting and curbs, gutters and sidewalks shall be apportioned as follows:

All parcels in Category B have been determined to receive benefit on an area basis in the amount of 1.25 times the amount of benefit to an equal area in Category A or C.

This additional benefit is attributed to wider sidewalks and to increased lighting intensity which provide additional security and advertisement for those types of land uses.

9. Assessments for arterial street landscaping shall be apportioned among the parcels in Category B and C of Paragraph 7 above. Residential street landscaping shall be apportioned among the parcels in Category A of Paragraph 7 above.

10. In the event that any provision of these rules is held void or unenforceable by a court of competent jurisdiction, such rule shall be deemed severable from the remaining rules, and the remaining rules shall remain in full force and effect.

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Attachment: FY 22-23 LLA Resolution of Approval (LLA Preliminary Approval)

RESOLUTION NO. ___________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL DECLARING

ITS INTENTION TO LEVY AND COLLECT ASSESSMENTS WITHIN THE CITY OF CAMPBELL LIGHTING DISTRICT LLA-1 FOR FISCAL YEAR 2022-23

WHEREAS, the City Council, pursua nt to the provisions of the Landscaping and Lighting Act of 1972, Part 2, Division 15 of the Streets and Highways Code of the State of California, conducted proceedings for the formation of the City of Campbell Lighting District LLA-1 and for the levy and collection of Assessments for Fiscal Year 1980 -1981, and on June 23, 1980, pursuant to proceedings duly had, adopted Resolution 5831, Overruling Protests and Ordering the Formation of an Assessment District, Improvements, and Confirming the Diagram and Assessment; and

WHEREAS, the public interest, convenience and necessity require, and it is the intention of said Council to undertake proceedings for the levy and collection of assessments upon the parcels of land in said District, for the installation of i mprovements, including the maintenance or operation, or both, thereof for the Fiscal Year 2022-23, and

WHEREAS, the City Council has given preliminary approval to the Engineer’s Report which is on file with the City Clerk.

NOW, THEREFORE, BE IT RESOLVED as follows:

1. The City Council declares its intention to levy and collect assessments within the boundaries of City of Campbell Lighting District LLA-1 for Fiscal Year 2022-23, except that such assessments shall not be imposed upon a Federal, State, or local agency or upon a public utility or other special government district.

2. The existing and proposed improvements are generally described in Exhibit A attached to this Resolution, along with any substantial changes proposed to be made in existing improvements.

3. The Assessment District, distinctly referred to as City of Campbell Lighting District LLA-1, is located within all the area of the City Limits of the City of Campbell.

4. The Engineer’s Report setting forth a full and detailed descrip tion of the improvements, the boundaries of the Assessment District, and the proposed assessments upon assessable parcels of land within the District, is on file with the City Clerk and available for viewing by the public.

6. The City Council shall condu ct a Public Hearing on the levy of the proposed assessment at the r egular Council meeting on July 5, 20 22 at 7:30 p.m., or as soon thereafter as the matter may be heard, in the Council Chambers at Campbell City Hall, 70 North First Street, Campbell, California 95008.

I hereby certify that the foregoing is a full, true and correct copy of a Resolution duly passed and adopted by the City Council of the City of Campbell, California, at a meeting

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Attachment: FY22-23 LLA Resolution of Intention (LLA Preliminary Approval)

thereof held on the ______ day of _______, 2022, by the follo wing vote of the members thereof:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:

___________________________________
Paul Resnikoff, Mayor

ATTEST:

__________________________
Dusty Christopherson, City Clerk

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Attachment: FY22-23 LLA Resolution of Intention (LLA Preliminary Approval) Exhibit A
C
ity of Campbell
Lighting District LLA-1
Description of Work
The installation, maintenance and operation of public light and traffic signal facilities including standards, luminaires, poles, conduits, wires, transformers, attachments and appurtenances, the furnishing of electric energy, and any expenses incidental thereto.

The maintaining and servicing of trees, shrubs, grass, other ornamental vegetation, irrigation and appurtenances, including repair, removal and replacement of all or any part thereof, providing for the life, growth, health and beauty of landscaping, including cultivation, trimming, spraying, fertilizing, treating for disease or injury, the removal of trimmings, rubbish, debris and other solid waste, water for irrigation and any expenses incidental thereto.

The installation and maintenance of curbs, gutters and sidewalks, park and recreational improvements, including play equipment and public restrooms.

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Attachment: FY22-23 LLA Resolution of Intention (LLA Preliminary Approval)

City
Council
Report

TITLE: Authorization to Issue Request for Proposals for Design Services for Campbell Priority Development Area (PDA) Enhancements Project (CIP No. 22-NN) (Resolution/Roll Call Vote)

RECOMMENDED ACTION

That the City Council adopt a Resolution authorizing the issuance of a Request for Proposal (RFP) for consultant design services and authorizing the City Manager to execute a contract with the selected design consultant in an amount not to exceed $500,000.

BACKGROUND

On October 5, 2021, the City Council adopted Resolution No. 12773 authorizing staff to resubmit to the Santa Clara Valley Transportation Authority (VTA) the One Bay Area Grant (OBAG) Program Cycle 2 grant application for the Campbell Priority Development Area (PDA) Enhancements Project (Project). This Project is a Complete Streets project intended to enhance travel in Historic Downtown Campbell by including transportation improvements that will serve pedes trians, bicyclists, and transit users in the areas identified below and as more fully described in the October 5, 2021 staff report (Attachment B).

• Harrison Avenue/Civic Center Drive Intersection Reconfiguration • Civic Center Drive Traffic Spot Improvements at Second and Third Streets • Orchard City Drive Pedestrian Improvements East of Central Avenue • Shared Lane Bike Markings (Civic Center Drive, Orchard City Drive, and portions of Campbell Avenue)

Following the City Council’s action on October 5, 2021, staff resubmitted the OBAG Program Cycle 2 grant application requesting from VTA $550,000 in federal Congestion Mitigation and Air Quality (CMAQ) Program funds for the Project , with the City of Campbell (City) making a local contribution to the Project of $100,000 from the City’s Vehicle Impact Fees.

On November 4, 2021, VTA authorized reprogramming $550,000 of OBAG Cycle 2 funds to the Project for the Preliminary Engineering (PE) phase. City staff intends to apply for OBAG Cycle 3 funds for the construction phase of the Project.

Item: 14
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
14 Packet Pg. 91
PDA Enhancements Page 2 of 4
On March 28, 2022, staff learned that Transportation Improvement Program (TIP) Revision 2021-14 had been approved by the Metropolitan Transportation Commission (MTC), California Department of Transportation (Caltrans), and Fe deral Highway Administration (FHWA). This TIP Revision approval is necessary for staff to request authorization from Caltrans to proceed with the PE phase of the Project.

On April 22, 2022, both City and Caltrans staff met for a Field Review meeting to confirm federal requirements have been met prior to Caltrans issuing authorization to proceed with the PE phase, as required prior to obligating funds. The Project PE phase will begin following Caltrans’ authorization to proceed.

DISCUSSION

Request For Proposals for Consultant Services:

Cities typically seek consultant services based on efficiency factors such as the local agency’s staff availability for the required expertise and a project’s schedule. Bringing on consultants can also allow cities to maximize the opportunities to obtain external funding. Therefore, staff is seeking the City Council’s adoption of a resolution to issue a Request for Proposals (RFP) for consultant services to prepare the plans, specifications, and engineer’s estimate fo r the PE phase of this Project. The areas of expertise required to design this project include, among other things, land surveying, civil engineering, and traffic signal design. Staff would also provide the consultant with available record drawings.

The final plans, specifications, and engineer’s estimate (PS&E) package would then be used for the construction phase of the Project when sufficient construction funds become available, which as indicated, could include grant funding from the OBAG Cycle 3 process. The cost of the above consultant services is estimated at $500,000.

Authorization for Contract:

Following the City Council’s authorization to issue an RFP, staff will advertise the project, open the proposals, and evaluate the proposals based on federal requirements.

To avoid delays in the design phase, staff is also requesting the City Council authorize the City Manager to enter into a consultant services agreement with the most qualified respondent and in an amount not to exceed $500,000.

Tentative Schedule:

The tentative schedule for the PE phase of the Project is as follows.

Council Authorizes Issuing RFP for Consultant Services June 7, 2022 Advertise Request for Proposals June-July 2022
Evaluation & Selection of Consultant July 2022
14 Packet Pg. 92
PDA Enhancements Page 3 of 4
Negotiate Contract Cost August 2022
Caltrans Review of Contract Documents September-October 2022 Execute Consultant Contract November 2022
Complete PS&E Package October 2023

FISCAL IMPACT
The City has secured $550,000 in federal OBAG Cycle 2 funds and the City Council has authorized an additional $100,000 in City Vehicle Impact Fees as a local contribution.

Therefore, a total of $650,000 is available for the PE phase of this project (22-NN). This total amount should be sufficient to cover the cost of consultant services and staff costs, with $500,000 proposed for the consultant services and $150,000 proposed for project management and grant administration by City st aff. No further budget appropriations are being requested at this time.

ALTERNATIVES

1. Do not authorize issuance of the RFP for consultant services. This alternative is not recommended as it jeopardizes the grant funding.

2. Do not authorize the City Manager to enter into a consultant services agreement and require staff to return to the City Council with the most qualified consultant. This alternative is not recommended as it would cause delays to the Project.

Prepared by:

Matthew Jue, Traffic Engineer
Reviewed by:

Amy Olay, City Engineer
Approved by:
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Angelique Gaeta, Assistant City
Manager
PDA Enhancements Page 4 of 4
Attachment:
a. Resolution
b. Council Report from 10-5-21 - Authorization to Resubmit OBAG Application c. RFP with Attachments
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RESOLUTION NO. ___________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL

AUTHORIZING THE PUBLIC WORKS DIRECTOR TO ISSUE REQUEST FOR

PROPOSALS FOR DESIGN SERVICES FOR THE CAMPBELL PRIORITY

DEVELOPMENT AREA (PDA) ENHANCEMENTS PROJECT

WHEREAS, on October 5, 2021, the City Council adopted Resolution No. 12773 authorizing the Public Works Director to resubmit the One Bay Area Grant (OBAG) Program Cycle 2 grant application for the Campbell Priority Development Area ( PDA) Enhancements Project; and

WHEREAS, the grant request was for $550,000 in federal Congestion Mitigation and Air Quality (CMAQ) Program funds, and the City’s local contribution was $100,000 ; and

WHEREAS, on November 4, 2021, the Santa Clara Valley Transportation Authority (VTA) authorized reprogramming $550,000 of OBAG Cycle 2 funds to the Campbell PDA Enhancements Project for the Preliminary Engineering phase of the project; and

WHEREAS, on March 28, 2021, staff learned that Transportation Improvement Program (TIP) Revision 2021-14 had been approved by the Metropolitan Transportation Commission (MTC), California Department of Transportation (Caltrans), and Federal Highway Administration (FHWA); and

WHEREAS, this TIP Revision approval allows staff to request authorization to proceed with the Preliminary Engineering (PE) phase of the project; and

WHEREAS, the Campbell PDA Enhancements Project would design transportation improvements in Historic Downtown Campbell to serve pedestrians, bicyclists, and transit users; and

WHEREAS, consultant services are needed to prepare the plans, specifications, and engineer’s estimate for the project; and

WHEREAS, the areas of expertise required to design this project include surveying, civil engineering, and traffic signal design; and

WHEREAS, the cost of consultant services is estimated to be $500,000; and

WHEREAS, the City has secured $550,000 in federal OBAG Cycle 2 funds and the City Council authorized an additional $100,000 in City Vehicle Impact Fees as a local contribution; and

WHEREAS, this total amount should be sufficient to cover the cost of consultant services and staff costs.

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NOW, THEREFORE, BE IT RESOLVED , by the City Council of the City of Campbell that the Public Works Director is hereby authorized to issue a Request for Proposals for Design Services for the Campbell Priority Development Area (PDA) Enhancements Project; and

BE IT FURTHER RESOLVED that t he City Council authorizes the City Manager to award the contract and enter into a consultant services agreement with the most qualified respondent for an amount not to exceed $500,000.

PASSED AND ADOPTED this _____ day of __________, 2022, by the following roll call vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS
ABSENT: COUNCILMEMBERS:

APPROVED:

___________________________________
Paul Resnikoff, Mayor

ATTEST:

___________________________
Dusty Christopherson, City Clerk

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Attachment: Resolution [Revision 1] (PDA Enhancements)

City
Council
Report

TITLE: Authorization to Resubmit One Bay Area Grant (OBAG) Application

RECOMMENDED ACTION

That the City Council adopt a Resolution authorizing the Public Works Director to resubmit the One Bay Area Grant (OBAG) Program Application for Congestion Mitigation and Air Quality Improvement (CMAQ) funds for the Campbell Priority Development Area (PDA) Enhancements Project.

BACKGROUND

One Bay Area Grant (OBAG) Call for Projects

On May 9, 2016, the VTA issued a Call for Projects for Cycle 2 of the One Bay Area Grant (OBAG) Program. The OBAG Program is a competitive grant program that funds complete street projects serving Priority Dev elopment Areas (PDAs). PDAs are locally identified infill development opportunity areas within existing communities typically in proximity to transit with identifiable housing production opportunities. Campbell’s PDA represents the portion of the City’s Central Redevelop ment Area that include s the Historic Downtown and surrounding areas.

Federal Congestion Mitigation and Air Quality Improvement (CMAQ) funds are available through the OBAG program for projects that me et the eligibility requirements for any of the following transportation improvement categories: (1) local streets and roads preservation, (2) bicycle and pedestrian impr ovements (3) Transportation for Livable Communities (TLC), (4) Safe Routes to School, and (5) mobility management.

On June 21, 2016, the City Council adopted Resolution No. 12006 authorizing the Public Works Director to submit a grant application for the Campbell Priority Development Area (PDA) Enhancements Project. At that time, this project was not awarded an OBAG Cycle 2 grant.

On January 16, 2018, the City Council a dopted Resolution No. 12274 accepting the final report for the Transportation Improvem ent Plan for Campbell PDA Project (TIPC Study). This study identified infrastructure needs, recommended roadway cross- sections, and developed project concepts and cost estimates for projects in and around the Historic Downtown based on input from st aff, the consultant, Community Design + Architecture, and various stakeholder groups, e.g., Downtown Campbell Neighborhood Item: 11
Category: NEW BUSINESS
Meeting Date: October 5, 2021
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Attachment: Council Report from 10-5-21 - Authorization to Resubmit OBAG Application (PDA Enhancements) Authorization to Resubmit One Bay Area Grant (OBAG) Application Page 2 of 7 Association, Downtown Campbell Business A ssociation (DCBA), Campbell Chamber of Commerce, Campbell City Library, and the Campbell Bicycle and Pedestrian Advisory Committee (BPAC).

On June 19, 2018, the City Council adopted Resolution No. 12331 adopting the Fiscal Year (FY) 2019-2023 Capital Improvement Plan that included the Downtown Pedestrian Improvements Project 19-FF. This project included the installation of 1) flashing beacon systems on 2nd Street and Civic Center Driv e and 2nd Street and Orchard City Drive, and 2) a green bike lane and bike box and other associated pavement markings on the westbound approach of East Campbell Aven ue at Railway Avenue. Staff has recently begun or completed the installation of these elements.

DISCUSSION

In recent weeks, Valley Transportation Auth ority (VTA) staff have contacted City staff regarding the availability of OBAG Cycle 2 fu nds due to the inability of other cities to advance their own projects, thereby forfeiti ng their respective OBAG grants. The funding has been tentatively made available to Campbell, given the scoring in the most recent OBAG Cycle 2 process. (The available grant funding would cover only design costs). Given this information, City staff ha s been working to modify the project scope in a way that would meet both the grant criteria and the current needs of the City.

Original Campbell PDA Enhancements Project Scope

The original Campbell PDA Enhancements Project grant application scope included the following components.

1. Retrofitting curb ramps and bulb-outs/spot islands at intersections to comply with Americans with Disabilities Act (ADA). Various intersections along Orchard City Drive and Civic Center Drive would be involved. Bulb-outs at these intersections would also be included.

2. Rectangular rapid flashing beacon systems are proposed at Civic Center Drive/Second Street, Orchard City Dr ive/Second Street, and Orchard City Drive/Central Avenue.

3. New sidewalk on north side of Orchar d City Drive between Second and Third Streets. This concept would narrow the width of this block of Orchard City Drive and close a gap in the sidewalk on the north side of the street.

4. Sidewalk/bulb-out improvements on Orchard City Drive east of Central Avenue.

This concept would provide better visibility and more standing room for pedestrians wishing to cross Orchard City Drive.

5. New signalized crosswalk on Orchard City Drive just west of Downtown Campbell Light Rail Station tracks. This concept would mark a signalized crosswalk on Orchard City Drive to accommodate current jaywalkers from the Downtown Campbell Light Rail Station.
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6. Campbell Avenue/Railway Avenue/Civic Center Drive Pedestrian and Bicycle Improvements. This concept would add crosswalks to the north leg of Civic Center Drive and the west leg of Campbell Avenue. To do so, the traffic signal would be modified to provide pedestrian signal poles for the new crosswalks.

Green-backed shared lane markings (“sharrows”) are recommended to gui de bicyclists through the intersection. Sidewalk would be constructed on the northwest corner of the in tersection where the “Downtown Campbell” monument sign would need to be relocated. New sidewalk would extend to the west to meet at the Ainsley Park parking lot driveway. Pedestrian gates would be installed to channelize pedestrians through the light rail at-grade crossing. This concept may also include a green bike box although staff’s understanding is such an experimental device would require authorization from the California Traffic Control Devices Committee (CTCDC) to ins tall and a commitment from the City to prepare before/after studies on the experiment.

Proposed Campbell PDA Enhancements Project Scope
Since the submittal of the Campbell PDA En hancements Project grant application in 2016, staff has made progress toward installing some of the improvements included in the original grant project scope. As previous ly noted, the green bike lane and bike box at Campbell Avenue/Railway Avenue and the sharrows between this intersection and Campbell Avenue/Poplar Avenue have been ins talled. The flashing beacon system at Second and Orchard City has been installed. The equipment for the rectangular rapid flashing beacon systems at Civic Center Drive/Second Street has been purchased and will be installed within the next few months.

In addition, the Council has expressed continued interest in the Civic Center Drive/Harrison Avenue intersection. The Public Works Department has recorded a number of service requests related to motorist s who do not yield to pedestrians at this intersection. Also, stakeholders interviewed during the TIPC Study indicated that safety-related projects should be given a high priority. Additionally, this improvement would provide additional benefit as the Libra ry renovation project moves ahead. This element would reduce vehicle speeds throu gh the intersection resulting in increased bicycle and pedestrian safety. Therefore, staff recommends adding the Civic Center Drive/Harrison Avenue improvements to t he Campbell PDA Enhancements Project scope.

To retain a similar scale and keep the grant application (and estimated costs) close to the estimate from 2016, staff is proposing to remove the following components from the current (revised) grant application. Staff will seek grant funds for these components in a future grant application.

• Sidewalk on north side of Orchard City Drive between Second and Third Streets • Campbell Avenue/Railway Avenue/Civic Center Drive Pedestrian and Bicycle Improvements
• Signalized crosswalk next to the Downtown Campbell Light Rail Station

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Attachment: Council Report from 10-5-21 - Authorization to Resubmit OBAG Application (PDA Enhancements) Authorization to Resubmit One Bay Area Grant (OBAG) Application Page 4 of 7 With the previously described additions and deletions, the modified project scope would include:

1. Retrofitting curb ramps and bulb-outs/spot islands at intersections to comply with Americans with Disabilities Act (ADA). The project would include Civic Center Drive at Second and Third Streets, respectively.

2. Rectangular rapid flashing beacon syst em would be installed at Orchard City Drive/Central Avenue.

3. Sidewalk/bulb-out improvements on Orchard City Drive east of Central Avenue.

This concept would provide better visibility and more standing room for pedestrians wishing to cross Orchard City Drive.

4. Harrison Avenue/Civic Center Drive Improvements. This concept would replace the existing two-stage pedestrian crossing across southbound Harrison Avenue with a consolidated signalized crossing. The improvements would slow turning vehicle speeds, shorten pedestrian crossi ng distance, and reduce pedestrian exposure to vehicular traffic.

Table 1 provides a side-by-side comparison of the scopes of work for the 2016 and 2021 grant applications.

Table 1
Comparison of OBAG2 Grant Application Components

No.

Project Component
2016
OBAG2
Grant
Application
2021
OBAG2
Grant
Application

Comments
1 Retrofitting curb ramps and bulb-
outs/spot islands

9 9
2021 application
focuses on affected
Civic Center Drive
intersections
1 2 Rectangular rapid flashing beacon
system

9 9
2021 application
includes only
Orchard City/
Central
2 3 New sidewalk on north side of
Orchard City Drive between
Second and Third Streets

9 Delete in
2021
4 Sidewalk/bulb-out improvements
on Orchard City Drive east of
Central Avenue

9 9

5 New signalized crosswalk on
Orchard City Drive just west of
Downtown Campbell Light Rail
Station tracks

9 Delete in 2021

6 Campbell Avenue/Railway
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Pedestrian and Bicycle
Improvements
9 Delete in 2021

7 Harrison Avenue/Civic Center
Drive Improvements

9 Add to 2021
application

1Work involving Orchard City/2nd and Orchard City/3rd would be deleted 2Work involving Civic Center/2nd and Orchard City/2nd will be completed by end of 2021

VTA staff are agreeable to the project scope changes and have indicated that Campbell’s PDA Enhancements would be eligible for OBAG2 grant f unds. At their meeting on September 16, 2021 the Campbell Bicycle and Pedestrian Advisory Committee (BPAC) expressed support in resubm itting the revised OBAG Cycle 2 Grant Application.

Tentative Schedule

The tentative schedule is as follows.

Council Approves OBAG Grant Application Resubmittal October 2021 Initiate Fund Programming Process November 2021
Caltrans Authorization to Proceed with Design Dec 2021-February 2022 Procure Design Consultant Services March-May 2022
Design Phase June 2022-June 2023
Apply for OBAG Cycle 3 Grant for Construction Funds July-September 2022

Recommended Next Steps

Staff recommends reapplying for OBAG Cycle 2 grant funds for the design phase of the revised project. Reapplying now has the advantage of not having to submit a competition application for these funds. If th e City chose to wait for the next grant cycle (OBAG Cycle 3 funds in 2022), the project would have to compete with projects from other local agencies, with varying levels of project readiness.

Staff recommends waiting until the OBAG Cycle 3 call for projects in 2022 to compete for construction funds. The deadline to se cure OBAG Cycle 2 funds is January 31, 2022. There is not sufficient time to complete the design phase by this deadline and then pursue additional Cycle 2 funds for construction.

The OBAG Cycle 3 Call for Projects is expected to occur in mid-to-late 2022. With the design process well under way by that time , the City should be well-positioned to compete for OBAG Cycle 3 construction funds since the project would be deemed to have a high-degree of “project readiness” relative to other projects without design plans.

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FISCAL IMPACT

The original 2016 OBAG Cycle 2 Design Cost was $625,000 comprised of $550,000 in federal funds and a proposed 12% local match of $75,000 coming from the City. VTA has made available the same grant amount of $550,000. Staff has prepared an updated design cost estimate based on the revised project scope and has factored in the cost of inflation. The design phase is now estimated to cost $650,000, a $25,000 increase from the 2016 cost estimate. The local contribution is now proposed to be $100,000. Table 2 shows the estimated design cost, the requested grant request, and the City’s local contribution.

Staff is recommending that the City’s Vehicle Impact Fees (Fund 202) be used to serve as a funding source of the City’s local contribution. The City ’s Fiscal Year (FY) 2022-26 Capital Improvement Plan shows an ending fu nd balance of approximately $1.2 million at the end of FY 26.

Table 2
Design Phase Cost and Funding Summary

Project Name
Estimated
Design
Phase Cost

Grant
Request
Estimated
Local
Contribution
Original Campbell PDA Enhancements
Project – Design Phase Only
$625,000 $550,000 $75,000
Revised Campbell PDA Enhancements
Project – Design Phase Only
$650,000 $550,000 $100,000

Should VTA approve the City’s application for Cycle 2 of the One Bay Area Grant (OBAG) Program, staff will return to Counc il at that time with a budget adjustment request to accept the grant funds and to appropriate both the grants funds and the City’s local match. A budget adjustment is not being requested at this time; pending Cycle 2 grant approval by VTA.

ALTERNATIVES

1. Do not resubmit OBAG Grant application.

Prepared by:

Matthew Jue, Traffic Engineer
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Review
ed by:

Todd Capurso, Director of Public Works

Approved by:

Brian Loventhal, City Manager

Attachment:
a. Resolution
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Attachment: Council Report from 10-5-21 - Authorization to Resubmit OBAG Application (PDA Enhancements) RESOLUTION NO. ___________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL

AUTHORIZING THE PUBLIC WORKS DIRECTOR TO RESUBMIT

ONE BAY AREA GRANT (OBAG) PROGRAM GRANT APPLICATION FOR THE

CAMPBELL PRIORITY DEVELOPMENT AREA (PDA) ENHANCEMENTS PROJECT

WHEREAS, on June 21, 2016, the City Council adopted Resolution No. 12006 authorizing the Public Works Director to su bmit a grant application for the Campbell Priority Development Area (PDA) Enhancements Project for the 2016 One Bay Area Grant (OBAG) program; and

WHEREAS, this project was not awarded an OBAG Cycle 2 grant; and

WHEREAS, on January 16, 2018, the City Council adopted Resolut ion No. 12274 accepting the final report for the Transportation Improvement Plan for Campbell PDA Project (TIPC Study); and

WHEREAS, this study identified infrastructure needs, recommended roadway cross- sections, and developed project concepts and cost estimates for projects in and around the Historic Downtown based on input from st aff, the consultant, Community Design + Architecture and various stakeholder gro ups, e.g., Downtown Campbell Neighborhood Association, Downtown Campbell Business A ssociation (DCBA), Campbell Chamber of Commerce, Campbell City Library, and the Campbell Bicycle and Pedestrian Advisory Committee (BPAC); and

WHEREAS, Fiscal Year 2019-2023 Capital Improvement Plan included the Downtown Pedestrian Improvement, Project 19-FF to in stall: 1) flashing beacon systems on 2nd Street and Civic Center Drive and 2nd Street and Orchard City Drive, and 2) a green bike lane and bike box and other associated pavement markings at and east of the East Campbell Avenue/Railway Avenue intersection; and

WHEREAS, in 2021, the green bike lane and bi ke box at Campbell Avenue/Railway Avenue and the associated pavement markings east of this intersection were installed staff has completed the design and procurement of rectangular rapid flashing beacon systems at Civic Center Drive/Second Street and Orchard City Drive/Second Street; and

WHEREAS, in recent weeks VTA staff have co ntacted City staff regarding the availability of OBAG Cycle 2 funds; and

WHEREAS, staff is proposing to modify the PDA Enhancements Project scope to retain similar scale as the original grant applic ation, however, adding the Civic Center Drive/Harrison Avenue intersection improvemen ts in place of various components from the original grant application; and

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WHEREAS, VTA staff are agreeable to the project scope change and have indicated that Campbell’s PDA Enhancements Project would be awarded the d esign phase funding without competition since Campbell’s project had the hi ghest score of all unfunded OBAG Cycle 2 projects; and

WHEREAS, the cost to design the revised project would be approximately $650,000; and

WHEREAS, the City would be eligible for a maximum $550,000 in federal CMAQ funds; and

WHEREAS, the City’s required local contribution wo uld be a 12% local match of $75,000 for the original $625,000 grant project and an additional $25,000 from the Vehicle Impact Fees (Fund 202) to cover the higher cost of the revised project, or a total of $100,000; and

NOW, THEREFORE, BE IT RESOLVED , by the City Council of the City of Campbell that the Public Works Director is hereby authorized to resubmit a One Bay Area Grant (OBAG) Program City Complete Streets Projects Grant Application for the revised Campbell Priority Development Area (PDA) Enhancements Project to be eligible for $550,000 OBAG CMAQ funds; and

BE IT FURTHER RESOLVED that the City of Campbell wi ll provide $100,000 in local contributing funds from Vehicle Impact Fees should One Bay Area Grant funds be awarded to the City of Campbell.

PASSED AND ADOPTED this __ day of __________, 2021, by the following roll call vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS
ABSENT: COUNCILMEMBERS:

APPROVED:

__________________________
Elizabeth “Liz” Gibbons , Mayor
ATTEST:

___________________________
Dusty Christopherson, City Clerk

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City
Council
Report

TITLE: Resolution Authorizing the Use of Fiscal Year 2022/23 Road Maintenance and Rehabilitation Account (RMRA) Funds for the Fiscal Year 2022/23 Annual Street Mainte nance Project
(Resolution/Roll Call Vote)

RECOMMENDED ACTION

That the City Council adopt a Resolution authorizing the use of Fiscal Year 2022/23 Road Maintenance and Rehabilitation Account Funds for the Fiscal Year 2022/23 Annual Street Maintenance to resurface Hamilton Avenue.

BACKGROUND

On April 28, 2017, the Governor of California signed into law the Road Repair and Accountability Act of 2017 also known as Senate Bill 1 (SB1). Intended to address deferred maintenance on both the state highway system and the local street and road systems, this bill established a Road Maintenance and Rehabilitation Account (RMRA) in the State Transportation Fund. Funding for RMRA is collected through the fuel excise taxes, diesel fuel sales taxes and vehicle registrati on fees. The bill also requires the California Transportation Commission (CTC) to adopt criteria to ensure the efficient use of these funds as detailed below.

Separately, t he passage of Proposition 69 in 2018 ensures that $5 billion in revenue from the R MRA funds will only be used for transportation improvement purposes.

Furthermore, Proposition 6 from November 2018, the effort to repeal SB1, did not pass which resulted in securing SB1 funds for cities annually for road maintenance purposes.

Additionally, pursuant to the California Streets and Highways Code Section 2032(h), a percentage of the RMRA funding must be apportioned by formula to eligible cities and counties to be used for basic road maintenance, rehabilitation, and critical safety projects on l ocal streets and roads system s. Combined, these legislative actions guarantee a portion of the funding for the City’s Annual Street Maintenance Program

Furthermore, per the Streets and Highways Code (SHC) Section 2032.5(a) recipients of RMRA fund s are accountable for the efficient investment of public funds to maintain local streets and roads through performance goals which are tracked and reported.

Therefore, cities and counties receiving RMRA funds must comply with all relevant Item: 15
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
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RMRA Funds Page 2 of 4
federal and state laws, re gulations, policies, and procedures. Specific requirements of note for City projects are as follows:
• Prior to receiving an apportionment of RMRA funds from the State Controller in a fiscal year, a city or county must submit to the California Transportation Commission (CTC) a list of projects proposed to be funded with these funds.

The list of projects must include a description and the location of each proposed project, a proposed schedule for the project’s completion, and the estimated useful life of the i mprovement. The deadline for submitting this list to CTC is July 1, 2022.
• All projects proposed to receive funding must be included in the city or county budget that is adopted by the applicable city council or county board of supervisors at a regular public meeting.
• A city or county receiving an apportionment of RMRA funds is required to sustain a maintenance of effort by spending at least the annual average of its general fund expenditures during baseline years for street, road, and highway purposes from the city or county’s general fund.

Receiving the RMRA funds will support the City’s effort to provide continued preventative essential road maintenance and rehabilitation projects before pavement problems become worse and cost more to fix.

DISCUSSION

The City of Campbell’s five -year Capital Improvement Program (CIP) budget for Annual Street Maintenance is funded by revenues from the RMRA (SB1), Valley Transportation Authority (VTA) vehicle registration fees, and 2016 VTA Measure B, vehicle impact fees, and the City’s Capital Improvement Program Reserve (CIPR).

Proposed FY22/23 Project for RMRA (SB1) Funds
Staff recommends allocating FY 2022/23 RMRA funds received, estimated at $919,000, towards the FY 2023 Annual Street Maintenance Program, to resurface Hamilton Avenue. Staff proposes to resurface Hamilton Avenue in its entirety from the western city limits west of Phoenix Drive to the eastern city limits at Hurst Avenue (approximately 2.8 centerline miles) has an average pavement condition index of bel ow

50. This means the pavement condition on the average is poor; thus, making it a good candidate as the next arterial street for pavement improvements. Similar to the recently completed Winchester Boulevard Resurfacing project, the proposed project to res urface Hamilton Avenue will also require combining three years of pavement program monies to provide sufficient funding. The proposed project aligns with the current strategy of the City’s five -year Annual Street Maintenance Program as it is built on a fiv e-year programming cycle, with two consecutive years focused on residential and collector streets and three years focused on arterial streets.

It is anticipated that the combined three years of Annual Street Maintenance funding (FY 2022/23 thru FY 2024/25) may not be adequate to complete the entirety of Hamilton 15 Packet Pg. 177
RMRA Funds Page 3 of 4
Avenue. To address the potential funding shortfall, several options will be explored.

First, staff is actively seeking and evaluating grant opportunities such as the upcoming call for projects for the One Bay Area Grant, Cycle 3 (OBAG3) applications. Second, should the City not be successful in securing grant funding, a reduced scope may be considered, i.e., limit the project scope to fit within the afforded budget by only including portions of Ham ilton Avenue with the highest severity of pavement maintenance deterioration.

Resurfacing work on Hamilton Avenue is scheduled to begin summer of 2024. The new pavement would have an extended useful life of ten to fifteen years thereafter. In the event that the Hamilton Avenue resurfacing project does not move forward, staff will return to Council with a proposed reallocation of the RMRA funds.

FISCAL IMPACT
There is no fiscal impact associated with this action. The FY 2021/22 CIP budget programmed an estimated amount of $800,000 of RMRA funding for FY 2022/23 in the Annual Street Maintenance program. However, the May 2022 projection from the State Department of Finance indicates the revenue allocation to the City will be approximately $919,000. The upd ated number will be reflected in the proposed FY 2022/23 CIP budget to be considered for adoption on June 21, 2022.

ALTERNATIVES
Do not authorize the use of FY 2022/23 RMRA (SB1) Funds to resurface Hamilton Avenue and provide alternate direction to staff on use of the funds.

Prepared by:

Amy Olay, City Engineer
Reviewed by:

Todd Capurso, Director of Public Works
Approved by:
15 Packet Pg. 178
Brian Loventhal, City Manager
RMRA Funds Page 4 of 4
Attachment:
a. Resolution
15 Packet Pg. 179
RESOLUTION NO. _________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL AUTHORIZING THE USE OF FY2022/23 RMRA FUNDS FOR THE FY2022/23 ANNUAL

STREET MAINTENANCE PROJECT
WHEREAS, Senate Bill 1 (SB 1), the Road Repair and Accountability Act of 2017 (Chapter 5, Statutes of 2017) was passed by the Legislature and Signed into law by the Governor in April 28, 2017 to address the significant mul ti-modal transportation funding shortfalls statewide; and
WHEREAS, SB1 includes accountability an d transparency provisions that will ensure the residents of our City of Campbell (City) are aware of the projects proposed for funding in our community and which projects have been completed each fiscal year; and WHEREAS, the City must adopt by resolution a list of projects proposed to receive fiscal year funding from the Road Maintenance and Rehabilitation Account (RMRA), created by SB1, which must include a description and the location of each prop osed project , a proposed schedule(s) for completion, and the estimated useful life of the improvement; and WHEREAS, the City will receive an estimated $919,000 in RMRA funding in Fiscal Year 2022/2023 from SB1; and
WHEREAS, receiving the RMRA funds will support the City’s effort to provide continued preventative essential road maintenance and rehabilitation projects before pavement problems become worse and cost more to fix; and
WHEREAS, the City has undergone a robust public process to ensure public input into our community’s transportation priorities; and
WHEREAS, the City used Streetsaver, a pavement management software to develop the SB1 project list to ensure revenues are being used on the mo st hi gh-priority and cost - effective projects that also meet the c ommunities’ priorities for transportation inves tment; and
WHEREAS, the 2020 California Statewide Local Streets and Roads Needs Assessment found that the City of Campbell streets and roads are in “At Lower Risk” condition, and this revenue will help the City increase the overall quality of its road system and o ver the next decade will keep our streets and roads in “good” condition;

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Attachment: Resolution (RMRA Funds)

WHEREAS, the RMRA funding and overall investment in our local streets and roads infrastructure with a focus on basic mainte nance and safety , investing in complete streets infrastructure, and using cutting -edge technology, materials and practices, will have significant positive impacts to the community; and

WHEREAS, Hamilton Avenue has an average pavement condition ind ex of be low 50 , making it a good candidate as the next arterial street for pavement improvements; and

WHEREAS, it is anticipated that the resurfacing work on Hamilton Avenue would begin by the summer of 2024; and

NOW, THEREFORE , BE I T RESO LVED that the City Coun cil of the City of Campbell hereby authorizes the use of FY22/23 Road Maintenance and Rehabilitation Account funds for the FY2022/23 Annual Street Maintenance.

1. The foregoing recitals are true and correct.

2. The following newly proposed project will be funded in-part with FY2022/23 Road Maintenance and Rehabilitation Account revenues:

Project Title: FY2022/23 Annual Street Maintenance
Project Description: The project will resurface approximately 2.8 miles of Hamilton Avenue
Project Location: The project is located on Hamilton Avenue from 640’ west of Phoenix Drive (at city limit) to Hurst Avenue (at city limit) Estimated Project Schedule: Start (07/2024) – Completion (03/2025) Estimated Project Useful Life: 10-15 years

PASSED AND ADOPTED this ____ day of ________ 2022 by the following roll call vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:

_______________________________
Paul Resnikoff, Mayor

ATTEST:
_________________________
Dusty Christopherson, City Clerk

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Attachment: Resolution (RMRA Funds)

City
Council
Report

TITLE: Introduction of Ordinance Amending Sections 6.10.015, 6.10.030 and

6.10.180 of the City of Campbell Municipal Code to Add Provisions Regarding the Use of Compl iance Agreements in Code Enforcement (Ordinance/Roll Call Vote)

RECOMMENDED ACTION

That the City Council introduce an Ordinance amending Sections 6.10.015, 6.10.030, and 6.10.180 of the Campbell Municipal Code adding provisions regarding the use of Compliance Agreements in Code Enforcement.

BACKGROUND

At the April 5, 2022 City Council Meeting, Council received a report from the Community Development Department concerning proposed improvements to the City’s Code Enforcement program. The identified improv ements included creation of a Community Restitution Fund that collects code enforcement fines and fees , the use of Compliance Agreements that provides an agreement between the City and an individual to abate a violation on a prescribed schedule , and adjust ments in code enforcement fees to incentivize timely abatement of violations.

Regarding the Compliance Agreement, the Department identified at the April 5 2022 City Council meeting that it would return to Council with proposed amendments to the Campbell Municipal Code acknowledging the use of Compliance Agreements as a code enforcement tool.

DISCUSSION

The proposed code amendments will add text to the Campbell Municipal Code under Section 6.10 (Nuisance Abatement and Administrative Penalties) ackno wledging that the City may enter into a Compliance Agreement with an owner of a building, structure, or property found to be a nuisance. The code amendments provide a definition for the term “Compliance Agreement” and acknowledge that it may be used as a tool to identify a schedule for the owner to take the necessary steps to abate the violation, such as the application for and issuance of planning and building permits. The code amendments also acknowledge that the compliance officer may stay the issuance of administrative fines and penalties if an owner enters into a compliance agreement.

Item: 16
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
16 Packet Pg. 182
Municipal Code Amendments - Compliance Agreements Page 2 of 3 Separately, as a follow up to the improvements identified in the April 5, 2022 report, the Community Restitution Fund has been created in the Fiscal Year (FY) 2023 Proposed Budget as a special revenue fund to collect code enforcement fees and fines for use by the Code Enforcement Division. In addition, modifications to code enforcement fees to provide incentives for timely abatement of violations was included in the Master Fee schedule adopted by the City Council on April 19, 2022.

ENVIRONMENTAL DETERMINATION
Staff recommends that the City Council determine that the Ordinance amendments are exempt from the California Environmental Quality Act (CEQA) under Section 15061.b.3 which states that a project is exempt if the activity is covered by the general rule that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA review. The proposed code amendments will create a new code enforcement tool to support the abatement of violations and would not result in any potential significant environmental effects.

FISCAL IMPACT
As the approval of Compliance Agreements will shield individuals from the application from violation fees (in exchange for an agreement to complete abatement), this may decrease code enforcement fee revenue. Potential fee revenue loss cannot be estimated with accuracy until actual data and trends on Compliance Agreements are collected over time should the program be approved and enacted.

ALTERNATIVES
Provide other direction to staff for consideration.

Prepared by:

Rob Eastwood, Community
Development Director
16 Packet Pg. 183
Municipal Code Amendments - Compliance Agreements Page 3 of 3

Approved by:

Brian Loventhal, City Manager

Attachment:
a. Draft Ordinance - Compliance Agreements
16 Packet Pg. 184

ORDINANCE NO. _____

BEING AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAMPBELL AMENDING CHAPTER 6.10 OF THE CAMPBELL MUNICIPAL CODE TO ADD

PROVISIONS REGARDING THE USE OF COMPLIANCE AGREEMENTS IN CODE

ENFORCEMENT

After due consideration of all evidence presented, the City Council of the City of Campbell does ordain as follows:

SECTION 1. Section 6.10.015 of the Campbell Municipal Code is hereby amended to read as follow:

As used in this chapter, the following terms shall have the following meanings, unless the context clearly indicates a different intent:
"Building official" means any person authorized t o enforce the building regulations of the city.
"City manager" means the duly appointed city manager of the city, or anyone authorized by him or her to carry out his or her duties under this chapter. "Community development director" means the director of t he community development department of the city, or anyone authorized by him or her to carry out his or her duties under this chapter.
“Compliance Agreement” shall mean an agreement between the city and responsible person that identifies a schedule with id entified milestones to obtain abatement of a violation "Disturbing the peace" means any of the following:
(1) Any violation of California Penal Code Section 415; or (2) Any act or course of conduct that a reasonable person would know to be likely to unreasonably and significantly disturb another in the regular conduct of their normal life activities.
"Enforcement costs" means all costs incurred by the city in enforcing the provisions of this chapter, whether by abatement, administrative proceedings or civil actions, or any combination of these actions. Enforcement costs shall include the following:
(1) Administrative and regulatory costs: including (a) any time spent by a city employee or contractor for code enforcement activities related to the code v iolation, such as inspections and reinspections, compliance reinspections, abatement actions, police services, administration, bookkeeping and accounting, legal services, supervision, preparing for and attending hearings, (b) administrative fines and

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Attachment: Draft Ordinance - Compliance Agreements (Municipal Code Amendments - Compliance Agreements)

penalties, and (c) other costs related to the enforcement such as costs of abatement, notices, and court costs. Costs based on time spent by city employees or contractors shall include salary, benefits, and overhead;
(2) Collection costs: costs incurred in secu ring payment of any delinquent amount owed to the city;
(3) Attorneys' fees: reasonable attorneys' fees incurred by the city, if the city has elected at the initiation of the individual action or proceeding to seek recovery of its attorneys' fees.
"Enforcement officer" means the building official, city code enforcement officer, police officer, the officials and animal control officers of the Silicon Valley Animal Control Authority, city department head (to the extent responsible for enforcing provisions of this code), or any other city employee designated by this code, the city manager, or any department head to enforce a provision of this code.
"Excessive littering" means throwing, dropping, placing, depositing, or sweeping, or causing any such acts, of any waste matter on land or water in other than appropriate storage containers or areas designated for such purposes, which cause the waste matter to accumulate.
"Fire marshal" means any person authorized to enforce the fire regulations of the city; "Harassment of passersby" means any of the following conduct when initiated without the consent of the person to whom it is directed:
(1) The abuse of a passerby with words which are offensive and inherently likely to provoke an immediate violent reaction;
(2) Touching a passerby with an intent to intimidate or coerce; (3) Threatening the passerby with physical harm by word or gesture giving rise to a reasonable tendency to produce in the passerby a fear that the threat will be carried out;
(4) Coming closer than three feet to a passerby for the purpose of initiating a commercial transaction through intimidation or coercion; (5) Intentionally blocking or impeding a person's passage; (6) Following a passerby after he or she declines a solicitation with an inten t to intimidate or coerce that passerby.
"Hearing officer" means a person designated by the city manager to hear and decide any matter authorized pursuant to this chapter. The designated hearing officer shall be an impartial person, such as: (1) a city emp loyee from a department not involved in the prosecution of the matter to be decided, or (2) a person selected from a panel of hearing

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Attachment: Draft Ordinance - Compliance Agreements (Municipal Code Amendments - Compliance Agreements)

officers assembled by the city manager, or (3) a person hired from an organization which provides hearing officers. Hearin g officers shall be selected in such a manner that the hearing officer does not have a financial incentive to decide a matter to a particular conclusion. The employment, performance evaluation, compensation and benefits of the hearing officer shall not be directly or indirectly conditioned upon or affected by the amount of administrative citation fines upheld by the hearing officer. "Lewd conduct" means any of the following:
(1) Display or touching of one's own genitals in a place open to public view with t he intent or purpose of inducing sexual arousal or gratification in one's self or another; (2) Engaging in contact with the genitals of another person in a place open to public view with the intent or purpose of inducing sexual arousal or gratification in one's self or another;
(3) The non -consensual touching of another person with the intent or purpose of inducing sexual arousal or gratification in one's self or another; (4) Physical contact between anyone over eighteen years of age with someone under eighteen years of age with the intent or purpose of inducing sexual arousal or gratification in one's self or another; or
(5) Display by someone over eighteen years of age of his or her genitals to someone under eighteen years of age with the intent or purpose of inducing sexual arousal or gratification in one's self or another.
"Loitering" means to delay or linger without a lawful purpose for being on the property and for the purpose or intent of committing a crime as opportunity may be discovered. "Owner" means any person(s) shown as the property owner on the latest equalized property tax assessment rolls.
"Person" means a natural person or a legally recognized entity, including a corporation, partnership or public entity.
"Responsible person" means all of the following:
(1) A person who, by action or inaction (whether acting alone or with one or more other persons), causes, maintains, permits, or allows a violation of this chapter; (2) A person whose agent, employee, or independent contractor, by action or inaction, causes, maintains, permits or allows a violation of this chapter; (3) An owner of real property on which a violation of this chapter occurs; (4) A lessee or sub -lessee with the current right of possession of real property on which a violation of thi s chapter occurs;

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Attachment: Draft Ordinance - Compliance Agreements (Municipal Code Amendments - Compliance Agreements)

(5) A person that uses real property on which a violation of this chapter occurs; (6) An on-site manager who regularly works on real property on which a violation of this chapter occurs and who is responsible for the business or other act ivities on that real property;
(7) The owners, majority stockholders, corporate officers, trustees, general partners and any other person with the legal authority to act for a legal entity that is a responsible person under subsections (1) through (6) abov e; (8) If any of the above persons are minors or incompetent, the parents or guardians of such persons shall be deemed responsible persons.
"Unreasonably loud noise" means a noise that a reasonable person would find to be so loud as to cause significant impairment to their normal life activities, or significant mental or physical injury.

SECTION 2. Section 6.10.030 of the Campbell Municipal Code is hereby amended to read as follows:

Whenever the enforcement officer finds that a nuisance, as defined by Section

6.10.020 exists on any premises located within the city, the code enforcement officer may advise t he property owner, or other responsible person of the nuisance and direct that person to abate the nuisance. The notice shall be in writing. The notification shall detail the violations and establish a reasonable abatement period. The notice shall be serve d either personally on the property owner or other responsible party, or sent by First Class United States mail, or other comparable or superior method of delivery. If there is no known address for the owner or other responsible party, the notice shall be sent in care of the property address. The failure of any person to receive such notice shall not affect the validity of the proceedings. The city may enter into a Compliance Agreement with the property owner to identify a schedule to accomplish the requir ed abatement.

SECTION 3. Paragraph (3) of subsection (c) of Section 6.10.180 of the Campbell Municipal Code is hereby amended to read as follows:

Due Date. All fines and fees for enforcement costs shall be due and paid to the city within thirty days from the date of the administrative citation. The enforcement officer may suspend the imposition o f fines through the terms of a Compliance Agreement or for any period of time during which the responsible person has filed for necessary permits, and su ch permits are required to achieve compliance, and the responsible person is actively pursuing permit approval and full compliance.

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Attachment: Draft Ordinance - Compliance Agreements (Municipal Code Amendments - Compliance Agreements)

SECTION 4. The City Council further finds that the proposed ordinance would not be detrimental to the public interest, hea lth, safety, convenience, or general welfare of the city; and would be internally consistent with other applicable provisions of the Campbell Municipal Code.

SECTION 5. The City Council further finds that the adoption of the proposed ordinance qualifies as Exempt from the California Environmental Quality Act (CEQA) under Section 15061.b.3 which states that a project is exempt if the activity is covered by the general rule that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA review.

SECTION 6. This Ordinance shall become effective thirty (30) days following its passage and adoption and shall be published, one time within fifteen (15) days upon passage and adoption in a newspaper of general circulation for the City of Campbell, County of Santa Clara.

PASSED AND ADOPTED this _____ day of ____________, 2022 by the following roll call vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:

________________________
Paul Resnikoff, Mayor

ATTEST:

_______________________________
Dusty Christopherson, City Clerk

16.a
Packet Pg. 189
Attachment: Draft Ordinance - Compliance Agreements (Municipal Code Amendments - Compliance Agreements)

City
Council
Report

TITLE: Introduction of Ordinance Adjusting City Council Compensation (Ordinance/Roll Call Vote)

RECOMMENDED ACTION

That the City Counc il introduce an Ordinance adjusting the amount of Councilmember compensation, within the limits set forth by Government Code Section 36516.

BACKGROUND

Traditionally, Councilmember compensation amounts are amended to coincide with the election of at least one new Councilmember. This year, residents of Campbell will elect three Councilmembers whose terms begin in December 202 2. As such, now is the appropriate time for the City Council to consider adjustment of its compensation.

Approved compensation amounts would go into effect the first full pay period in January 2023, which would be the pay period of January 9 to 22, 2023 to be paid on February 2, 2023.

City Council compensation and adjustments are set under the authority of California Government Code (G C) §36516, which allows Council member compensation to increase in an amount equal to, but not to exceed, 5% for each calendar year from the operative date of the last compensation adjustment. Council last adjusted its compensation amount in January 2019, t herefore should Council choose to do so, the compensation amount could be increased by up to 15% (5% for each year). However, keeping with past practice, Staff has drafted the attached Ordinance for the standard 5% increase. Council cannot provide automatic future increases in salary.

Councilmember compensation was last adjusted for the 2019 calendar year. The current Councilmember base salary amount is $717.62 per month, which was adopted by Ordinance No. 2248 in June 2018 and effective January 2019. Due to City budget constraints resulting from the COVID -19 pandemic , Council voted not to increase Councilmember compensation in 2020 and 2021.

DISCUSSION

A 1% increase to Council base salary would equal approximately $7.18 per month. The table below shows the new City Council base salary amounts, per 1% increase, up to the 5% amount permissible by GC §36516.

Item: 17
Category: PUBLIC HEARINGS AND

INTRODUCTION OF

ORDINANCES
Meeting Date: June 7, 2022
17 Packet Pg. 190
City Council Compensation 2022 Page 2 of 3
% Increase Monthly Amount *
1 % 724.80
2 % 731.98
3 % 739.16
4 % 746.34
5% 753.52
*Effective January 2023
A draft Ordinance increasing the City Council compensation amount by the standard 5% amount is included for Council consideration. However, Council can choose not to increase its compensation amounts, or can select any amount up to the 15% maximum.

FISCAL IMPACT
Each 1% increase in base salary results in a total annual increase of $430.80 for all City Councilmembers ($7.18 x 5 members x 12 months). An increase in base salary would also impact other City paid benefits which are calculated as a percentage (%) of base salary including retirement and Medicare. As such, e ach 1% increase in base salary results in a total annual increase of $4 76.96 for all City Councilmembers . Thus, the fiscal impact of the compensation adjustment ranges from $477 for a 1% increase to $2,385 for a 5% increase. Such cost increases are partially factored into the Proposed Budget for FY 202 3 and would be adjusted based upon the level of salary adjustment that Council approves.

ALTERNATIVES

1. Modify the ordinance to adjust Council compensation by any amount up to 15%.

2. Decline a compensation adjustment.

2. Provide other direction to staff.

Prepared by:

Dusty Christopherson, City Clerk
Approved by:
17 Packet Pg. 191
Angelique Gaeta, Assistant City
Manager
City Council Compensation 2022 Page 3 of 3
Attachment:
a. Council Compensation 2022 Ordinance
17 Packet Pg. 192
ORDINANCE NO._______

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAMPBELL

ADJUSTING CITY COUNCIL COMPENSATION FOR CALENDAR YEARS 2023 AND 2024

The City Council of the City of Campbell does ordain as follows:

SECTION ONE: Pursuant to California Go vernment Code §36516, the monthly salary of eac h member of the City Council shall be increased from $ 717.62 per month to $753.50 per month, to commence the payp eriod of January 9 to 22, 2023 to be paid on February 2, 2023.

SECTION TWO: This ordinance sha ll become effective thirty days following its passage and adoption, and shall be pu blished once w ithin fifteen days upon passage and adoption in The Metro, a newspaper of general circulation in the City of Campbell, County of Santa Clara.

PASSED AND ADOPTED this ______ day of _________, 2022, by the following roll call vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:

________________________
Paul Resnikoff, Mayor

ATTEST:

___________________________
Dusty Christopherson, City Clerk

17.a
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Attachment: Council Compensation 2022 Ordinance (City Council Compensation 2022)

City
Council
Report

TITLE: Calling General Municipal Election for Districts 3, 4 and 5; and Requesting Consolidation of Election in Accordance with California Elections Code Section 10418 (Resolution/Roll Call Vote)

RECOMMENDED ACTION

That the City Council adopt a Resolution calling the General Municipal Election for November 8, 2022 to elect one Councilmember from District 3, one Councilmember from District 4, and one Councilmember fro m District 5; requesting consolidation of election with the Registrar of Voters in accordance with California Elections Code Section 10418; resolving any tie votes by lot; levying a fee to each candidate for their Candidate Statement; and, directing staff to proceed with the election despite the absence of qualified candidates.

BACKGROUND

At the July 2, 2019 regular City Council meeting, Ordinance No. 2248 was adopted establishing a by-district election process and election sequence for five council distr icts pursuant to California Government Code Section 34886 and 34871(a). Campbell Municipal Code Section 2.04.180 provides that except as otherwise required by California Government Code Section 26512, Councilmembers from three of the five districts establi shed, namely, Council Districts 3, 4, and 5, shall be elected beginning with the General Municipal Election in November 2022, and every four years thereafter. Councilmembers from the remaining two districts, Districts 1, and 2, were elected in November 2020 and will next be on the ballot in 2024.

California Elections Code Section 10002 allows the governing body of any city to request the Board of Supervisors to permit the County Elections Official to render election services to the City relating to the con duct of an election, including services such as the provision of election supplies, production of voter pamphlets, and canvassing the election results among other election related activities. By consolidating election services with the County Registrar of Voters Office, the City realizes a significant cost savings.

For the November 2022 General Municipal Election, only voters residing in Districts 3, 4, and 5 will vote for the City Council seats up for election in their specific district. The elected City Councilmembers will serve a four -year term. Additionally, consistent with Municipal Code Section 2.04.160 relating to City Council term limits, Councilmembers Item: 18
Category: CONSENT CALENDAR
Meeting Date: June 7, 2022
18 Packet Pg. 194
Calling the General Municipal Election and Requesting Consolidation Page 2 of 4 Gibbons, District 4 and Resnikoff, District 3 will be terming out and are not eligible to run again in 2022. Councilmember Bybee will be completing her first four -year term and is eligible to run for an additional term in her respective district, District 5.

Nomination Papers, Candidate Statements & Fees

The nomination period for the November 8, 202 2 General Municipal Election begins on Monday, July 18, and ends Friday, August 12, 2022 (August 17, 2022 if no incumbent has filed). Nomination papers will be available through the City Clerk’s Office during the filing period. Candidates must obtain Nomin ation paper signatures from registered voters within their own district.

Each qualified candidate has an option to include a Candidate Statement in the sample ballot. The cost estimate received from the Registrar of Voters for a candidate to submit a Candidate Statement for the November 2022 election is $2,420 (a $10 increase from the 2020 election). However, the Registrar of Voters Office is requesting a fee increase during their budget processes this year, which if approved, would bring the total cost of a Candidate Statement to approximately $ 2,700. Since this cost could impact a candidate’s ability to include a statement in the sample ballot, the City Council has previously voted to absorb the bulk of the fee and only charge a flat fee of $300 per candidate, which was first implemented in the November 2004 election. This fee has not been adjusted since that time. This action was consistent with the Fair Political Practices Commission Advice Letter A -00-271, which state s that a city can absorb the cost of a Candidate’s Ballot Statement. However, the City Council may choose to charge a higher amount if a greater cost recovery is desired.

Resolving a Tie Vote & Lack of Candidates on the Ballot

California Elections Code Section 15651 allows the City Council to choose either to resolve a tie vote by lot or by requiring a runoff election to be held. In keeping with the practice chosen by Council for the 2020 Municipal Election, the attached Resolution has been drafted to reflect a tie vote be resolved by lot. Council may however, elect to have a tie vote resolved by calling for a special runoff election. Staff is not recommending to hold a special runoff election to resolve a tie vote situation, as the cost to hold a special election would be quite high and would be borne by the City alone.

As the City now holds Councilmember elections by District, there is the possibility that any of the three Districts has only one, or no qualified candidates for the ballot. Should this happen, the City could choose to follow Elections Code Section 10229 which describes a process by which to fill a City Councilmember seat by appointment or special election.

DISCUSSION

In order for the Campbell Municipal Election to be held and consolidated with California’s General Election, the City Council must take action by way of a resolution 18 Packet Pg. 195
Calling the General Municipal Election and Requesting Consolidation Page 3 of 4 calling the General Municipal Election, requesting consolidation through the Registrar of Voters, setting a fee for the printing of a Candidate Statement, and deciding upon a method to resolve a tie vote.

Staff is recommending the City Council adopt a Resolution calling the General Municipal Election for November 8, 2022 to elect one Councilmember from District 3, one Councilmember from District 4, and one Councilmember from District 5; requesting consolidation of election with the Registrar of Voters in accordance with California Elections Code Section 10418; levying a fee to each candidate for their Candidate Statement; and, identifying the process for a tie vote to be resolved by lot.

Should the re be only one candidate or no qualified candidates for any of the three Districts scheduled to be on the ballot, the City could choose to follow Elections Code Section 10229. Which states that following the candidate filing period, the City Council would meet in a Special Council Meeting to certify these facts and determine whether to cancel or hold the election . Choosing to cancel the City’s election (for any of the Districts scheduled to be on the ballot) would also cancel the candidate write -in period.

If Council chooses to cancel the election, an appointment to the affected District would need to be made by the prescribed deadlines noted below.

Close of Candidate Filing
Period
August 17, 2022 @ 5:00
p.m.
83rd day prior to the election
Special Council Mtg. August 17, 2022 @ 6:00
p.m.

Certifying facts/canceling
election
Publish Notice of Facts August 19, 2022
Special Council Mtg. August 24, 2022 Make Appointment - 5 Days following publication (75th
day prior to the election)
Notify Registrar of Voters September 2, 2022

Canceling an election for lack of candidates is not something that is common practice among the Cities in Santa Clara County. Given the tight time frame required by Elections Code Section 10229 and the cancellation of the candidate write-in period for any potential candidates, staff is not recommending that Council formally cancel the election for any of the three Districts scheduled to be on the ballot in November.

Instead, staff is recommending the election be allowed to go forward and voters be afforded the opportunity to write -in candidates for possible election. It should be noted that for a write-in candidate to be successful, they would need to receive 50% +1 of the total votes cast in their respective District. If following the candidate filing period, and the candidate write-in period, there ultimately is no one elected to serve in any of the three Districts, Government Code Section 36512 describing a Council seat vacancy would then be followed allowing for Council to make an appointment. The individual appointed at that time, would then serve as Councilmember as if they had been elected.

FISCAL IMPACT

18 Packet Pg. 196
Calling the General Municipal Election and Requesting Consolidation Page 4 of 4 The estimated cost of the 2022 election is $55,698 ($17,934 for District 3, $18,337 for District 4, and $19,427 for District 5) plus the cost of any Candidate Statements. These amounts are estimates only based on the current fee schedule and available data from the Registrar of Voters Office and are subject to change upon final billing. These expenditures have been programmed in to the Proposed Budget for Fiscal Year (FY) 2023 under the City Clerk’s Office budget (Acct. #101.511.7436) at $80,000, including an estimate of 3 Candidate Statements filed per district. Election costs are determined by several factors including administr ative costs, number of registered voters and all ballot printing and mailing costs, and will be billed by the Registrar of Voters Office following the election. Based on initial estimates shown above, the City should stay under the current Proposed Budget for FY 2023. However, should additional Candidate Statements be necessary or other measures be placed on the November 2022 ballot, estimated costs will increase, and a mid-year budget adjustment would be necessary.

ALTERNATIVES

1. Waive the entire fee for Candidate Statements.

2. Assess an amount other than $300 for the Candidate Statements.

3. Require the candidate to pay the full cost of Candidate Statements.

4. Provide direction to Staff relating to cancelling an election if necessary.

Prepared by:

Dusty Christopherson, City Clerk

Approved by:

Angelique Gaeta, Assistant City
Manager

Attachment:
a. Resolution Calling Election 2022
b. Campbell District Boundary District Map 2022
18 Packet Pg. 197
RESOLUTION NO. ______

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL CALLING THE

GENERAL MUNICIPAL ELECTION TO BE HELD IN THE CITY OF CAMPBELL ON NOVEMBER 8, 2022 BY-DISTRICT FOR DISTRICT 3, DISTRICT 4, AND DISTRICT 5; REQUESTING SERVICES OF THE REGISTRAR OF VOTERS; REQUESTING

CONSOLIDATION WITH THE STATEWIDE GENERAL ELECTION IN ACCORDANCE WITH CALIFORNIA ELECTIONS CODE SECTION 10418; SPECIFYING CERTAIN PROCEDURES FOR THE CONSOLIDATED ELECTION; RESOLVING ANY TIE VOTES BY LOT; AND DETERMINING TO LEVY THE COST OF CANDIDATE'S

STATEMENT

WHEREAS, a General Municipal Election is scheduled to be held in the City of Campbell on the 8th day of November, 2022 for District 3, District 4, and District 5 to elect one (1) City Councilmember, each to a full term of four years, for each district.

WHEREAS, the General Municipal Election hereby called for the date herein before specified shall be and is hereby ordered consolidated with the Statewide General Election and all e lections to be held in said jurisdiction and in the City of Campbell on such date, and within the territory affected by the consolidation, and the precincts, polling places and officers of election shall be the same as those established and designated for said election by the Board of Supervisors of the County of Santa Clara.

WHEREAS, the consolidated election will be held and conducted in the manner prescribed by California Elections Code §10418.

WHEREAS, pursuant to California Elections Code Section 10002 of the Elections Code, the City Council hereby requests the Board of Supervisors of the County of Santa Clara to make available the services of the Registrar of Voters for the purpose of performing the usual services in the conduct of the Consolidated Election, including the provision of election supplies and voters' pamphlets. The Board of Supervisors of the County of Santa Clara is hereby authorized to canvass the returns of said election, and said election shall be held in all respects as if there were only one election, and only one form of ballot shall be used.

WHEREAS, the City Clerk is hereby directed to file with the Board of Supervisors and the Registrar of Voters of the County of Santa Clara certified copies of this Resolution at least eighty-eight (88) days prior to the herein referenced General Municipal Election.

WHEREAS, the City Clerk shall publish Notice of said Election as required by Section 12101 of the Elections Code.

WHEREAS, in accord with Section 13307 of the Elections Code, the City Council hereby determines to levy against each candidate availing himself or herself of the service including a Candidate's Statement not to exceed two hundred (200) words in length in the voter’s pamphlet, a charge of $300 for printing and handling the Candidate's Statement.

18.a
Packet Pg. 198
Attachment: Resolution Calling Election 2022 (Calling the General Municipal Election and Requesting Consolidation) The City Clerk shall provide written notice to such effect with each set of nomination papers issued. Candidates shall not be permitted to submit materials other than the Candidate's Statement with the sample ballot and voters' pamphlets.

WHEREAS, the polls for said election shall be opened for in-person voting at 7:00 a.m. on the day of said election, and shall remain open continuously from said time until 8:00 p.m. of the same day, when said polls shall be closed, except as provided in Section 14401 of the Elections Code of the State of California.

WHEREAS, that in the event of a tie vote (if any two or more persons receive an equal and highest number of votes for an office) as certified by the County of Santa Clara Registrar of Voters Office, the tie shall be resolved by lot in accordance with the applicable provisions of the California Elections Code Section 15651(a).

WHEREAS, should there be a lack of qualified candidates for the ballot, the City Clerk is directed to proceed with the election so that voters are afforded the opportunity to write in a candidate for possible election.

NOW, THEREFORE BE IT RESOLVED, that the City Council of the City of Campbell does hereby call the General Municipal Election to be held in the City of Campbell on November 8, 2022 by -district for District 3, District 4, and District 5; requesting services of the Registrar of Voters; requesting consolidation with the Statewide General Election in accordance with California Elections Code Section 10418; specifying certain procedures for the consolidated election; resolving any tie votes by lot; determining to levy the cost of a Candidate's Statement; and, directing staff to proceed with the election despite the absence of qualified candidates.

PASSED AND ADOPTED this _____ day of ________, 2022, by the following roll call vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:

______________________________
Paul Resnikoff, Mayor

ATTEST:

__________________________
Dusty Christopherson, City Clerk

18.a
Packet Pg. 199
Attachment: Resolution Calling Election 2022 (Calling the General Municipal Election and Requesting Consolidation) 3 2
1 4
5 Winchester Blvd
San Tomas Expy
Latim
er Cir
Silacci Dr
Campb
ell Te
ch
no
logy
Pky
Emory Ave
Longfellow
Ave
W
Cam
pbell Ave
El Solyo A
ve
Monica Ln
Shamrock Dr
Arroyo Seco Dr
Few
trell D
r
Ridgeley Dr
N Milton Ave
Catalpa Ln
Railway Ave
Lenor Way
M
cbain Av
e
W
Rosem
ary Ln
El Cm
t Ave
Esther Ave
Harrison Ave
Dell Ave
White Oaks Rd
Lovell Ave
Jef
frey Ave
Salmar Ave
Salerno Dr
Ravenscourt Ave
Heritage Village Ln
Almarida Dr
Loyalton Dr
Michael Dr
Virginia Ave
Old Orchard Rd
Bent Dr
W
Parr Ave
Chamberlin Ct
Theresa Ave
Jane Ann Way
Camden Ave
Pa
lo Santo Dr
Audrey Ave
Sharmon Palms Ln
Ec
ho Ave
Steinway Ave
Weston Dr
La Paz
Pollard Rd
Van Duse
n Ln
Dot Ave
La Paloma
Abbey Ln
Victor Ave
Denver Dr
N 1st St
Cristich Ln
Inwood Dr
Regina W
ay
Alice Ave
Gilman Ave
S Bascom Ave
Lisa Way
E Hami
lton Ave
Knowles Dr
Tolworth Dr
Colleen Way
Villarita Dr
M
ontem
ar W
ay
Bland Ave
Superior Dr
W
Ham
ilton Ave
Elwood Dr
Linda Dr
Abbott Ave
W
Rincon Ave
Gale Dr
Wal
nut Dr
Millich Dr
S Leigh Ave
Morrene Dr
Robnick Ct
Bucknall Rd
E H
aciend
a Ave
Leigh Ave
Cam
brian Dr
Kenneth Ave
Patio Dr
Redding Rd
Dallas Dr
Union Ave
W
Hacienda Ave
Capri Dr
Campisi W
ay
Hyde Dr
Pecan Way
Louise Ct
Filbert Way
Sharp Ave
Arnott W
ay
Bucknam Ave
W
estm
ont Ave
Amato Ave
Orchard Oak Cir
Del Oro Ct
S Peter Dr
Rose Ct
Calado Ct
Dover Way
N 3rd St
Sobrato Dr
La Corona Dr
Clifton Ave
Crockett Ave
Bism
arck Dr
E Sunnyoaks Av
e
Flamingo Dr
Hurst Ave
Arc Rd
Timber Cove Dr
Shelley Ave
Budd Ave
Ecker Ct
Justo Ct
Hardy Ave
S Bascom Ave
Phantom Ave
Grace Ave
Mccoy Ave
Peachtree Ct
Harriet Ave
Holmes Ave
City of Campbell
District Boundaries
Map layers
Existing Districts
Landmark Point
Railroad
River
Streets
Water Area©2021 CALIPERAdopted by Ordinance No. 2279; March 15, 2022

18.b
Packet Pg. 200
Attachment: Campbell District Boundary District Map 2022 (Calling the General Municipal Election and Current Plan
District 1
Total Pop 8,902
Deviation from ideal 96
% Deviation 1.09%
% Hisp 24.0%
% NH White 44%
% NH Black 4%
% Asian-American 24%
Total 5,269
% Hisp 14%
% NH White 60%
% NH Black 5%
% Asian/Pac.Isl. 19%
Total 4,640
% Latino est. 15%
% Spanish-Surnamed 14%
% Asian-Surnamed 13%
% Filipino-Surnamed 1%
% NH White est. 67%
% NH Black 4%
Total 3,903
% Latino est. 14%
% Spanish-Surnamed 13%
% Asian-Surnamed 13%
% Filipino-Surnamed 1%
% NH White est. 68%
% NH Black 4%
Total 2,879
% Latino est. 12%
% Spanish-Surnamed 11%
% Asian-Surnamed 10%
% Filipino-Surnamed 1%
% NH White est. 73%
% NH Black est. 3%
ACS Pop. Est. Total 8,584
age0-19 23%
age20-60 59%
age60plus 18%
immigrants 29%
naturalized 51%
english 60%
spanish 14%
asian-lang 14%
other lang 11%
Language Fluency Speaks Eng. "Less than Very Well" 13%
hs-grad 32%
bachelor 34%
graduatedegree 22%
Child in Household child-under18 32%
Pct of Pop. Age 16+ employed 72%
income 0-25k 9%
income 25-50k 11%
income 50-75k 10%
income 75-200k 51%
income 200k-plus 20%
single family 41%
multi-family 59%
rented 66%
owned 34%
Total population data from the 2020 Decennial Census.

Surname-based Voter Registration and Turnout data from the California Statewide Database.

Latino voter registration and turnout data are Spanish-surname counts adjusted using Census Population Department undercount estimates. NH White and NH Black registration and turnout counts estimated by NDC. Citizen Voting Age Pop., Age, Immigration, and other demographics from the 2015-2019 American Community Survey and Special Tabulation 5-year data.
2 9,024
218

2.48%
18%
57%
3%
20%
6,315
16%
68%
3%
12%
5,780
13%
12%
8%
1%
75%
3%
4,991
12%
11%
8%
1%
76%
3%
3,567
9%
9%
6%
1%
80%
3%
8,207
16%
65%
18%
17%
55%
80%
8%
6%
6%
6%
35%
35%
19%
19%
77%
8%
10%
9%
51%
22%
42%
58%
60%
40%
3 9,097
291

3.30%
23%
45%
3%
24%
5,997
16%
59%
3%
21%
5,034
14%
14%
14%
2%
67%
3%
4,268
13%
13%
13%
1%
68%
3%
3,308
13%
12%
11%
1%
71%
3%
8,751
21%
56%
22%
28%
50%
69%
10%
15%
6%
12%
35%
30%
22%
27%
70%
10%
13%
9%
43%
24%
55%
45%
46%
54%
4 8,423
-383
-4.35%
17%
44%
3%
34%
5,520
14%
57%
3%
26%
5,231
12%
11%
18%
2%
66%
2%
4,515
11%
10%
19%
2%
66%
2%
3,361
10%
10%
16%
2%
70%
2%
7,927
22%
56%
21%
32%
55%
64%
11%
15%
10%
14%
35%
30%
18%
32%
68%
14%
15%
11%
34%
26%
59%
41%
45%
55%
5 8,582
-224
-2.54%
14%
47%
2%
34%
5,395
13%
60%
2%
23%
5,337
9%
8%
17%
1%
72%
2%
4,676
9%
8%
17%
1%
72%
1%
3,437
7%
7%
13%
1%
77%
1%
8,417
27%
53%
20%
30%
59%
66%
5%
15%
14%
10%
30%
34%
25%
43%
67%
4%
7%
7%
43%
40%
93%
7%
21%
79%
Total
44,028
674

7.65%
19%
47%
3%
27%
28,495
15%
61%
3%
20%
26,022
13%
12%
14%
1%
69%
3%
22,353
12%
11%
14%
1%
70%
3%
16,552
10%
10%
11%
1%
74%
2%
41,885
22%
58%
20%
27%
54%
68%
10%
13%
10%
11%
34%
33%
21%
30%
71%
9%
11%
9%
45%
26%
56%
44%
49%
51%
02/19/2022 10:56 Page 1 of 1
Total Pop
Citizen Voting Age Pop
Voter Registration
(Nov 2020)
Voter Turnout
(Nov 2020)
Voter Turnout
(Nov 2018)
Age
Immigration
Language spoken at home
Education
(among those age 25+)
Household Income
Housing Stats

18.b
Packet Pg. 201
Attachment: Campbell District Boundary District Map 2022 (Calling the General Municipal Election and Requesting Consolidation)

City
Council
Report

TITLE: Resolution Amending Compensation for City Clerk Services (Resolution/Roll Call Vote)

RECOMMENDED ACTION

That the City Council adopt a Resolution amending Compens ation for City Clerk services.

SUMMARY

Staff recommends that the City Council adopt the attached resolution approving a step increase for the City Clerk based on her annual performance review. This increase is the fourth of five steps in the City Clerk salary band.

DISCUSSION

On April 20, 2021, t he City of Campbell entered into an employment service agreement (Agreement) with Dusty Christopherson to begin employment as the City Clerk on May 10, 2021. Per the terms of the Agreement, the City Council is authorized to make amendments to the compensation of the City Clerk by way of City Council resolution .

Following the annual performance review of the City Clerk during the Executive Session Meeting of May 17, 202 2, the City Council desires to amend the payment terms of the Agreement, increasing the compensation amount paid to the City Clerk. The attached “Resolution Of The City Council Of The City Of Campbell Authorizing The City Council To Award A Merit Increased and One -Time Retroactive Payment For The City Clerk Services – Dusty Christopherson,” reflects the appropriate increase to the payment terms of the Agreement, consistent with City Council direction, and as follows:

• Award a merit increase due to satisfactory job pe rformance to Step 4 of the Salary Schedule for City Clerk effective on her merit anniversary date of May 10, 2022, and consistent with merit award practices for all City employees. • Provide a one-time retroactive lump sum payment of $209. 34 on the next regular pay date.

FISCAL IMPACT

The resolution will award one merit step increase, for a total new compensation amount equal to $ 156,852.80 per year in base salary, plus a one-time retroactive lump sum Item: 19
Category: NEW BUSINESS
Meeting Date: June 7, 2022
19 Packet Pg. 202
Resolution Amending Compensation for City Clerk Services Page 2 of 2 payment of $209.34. The City’s Fiscal Year 2022 Adopted Operating Budget includes funds for anticipated merit increases.

ALTERNATIVES

Do not approve the attached resolution and provide direction on alternate changes to the City Clerk Agreement.

Prepared by:

Jenny Le-Christensen, HR Manager

Approved by:

Angelique Gaeta, Assistant City
Manager

Attachment:
a. Resolution
b. City Clerk Emp Contract _ Christopherson, D Signed 5_21 19 Packet Pg. 203
RESOLUTION NO.______

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL

AUTHORIZING THE CITY COUNCIL TO AWARD A MERIT INCREASE AND ONE-

TIME RETROACTIVE PAYMENT FOR CITY CLERK SERVICES - DUSTY

CHRISTOPHERSON

WHEREAS, on April 20, 2021, the City C ouncil entered into a “City Clerk Employment Agreement ” (Agreement) with Dusty Christopherson for Dusty Christopherson to begin employment with the City of Campbell as City Clerk, effective May 10, 2021; and

WHEREAS, Section 2.16.020 of the Campbell Municip al Code provides that compensation for all appointed officers and employees of the City shall be fixed by Resolution; and

WHEREAS, the Campbell Municipal Code, Section 2.12 , provides that the salary of the City Clerk may be adjusted at any time by Resolut ion of the City Council; and

WHEREAS, the City Counc il has conducted a perfor mance evaluation of the City Clerk and is pleased with her performance; and

WHEREAS, the City Council and City Clerk desire to amend the Agreement to award and include a merit increase to Step 4 of the s alary schedule effective the first full pay date after the merit date of May 10, 2022, and to provide for a one-time retroactive payment of $209.34.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Campbell that the City Council hereby authorizes a merit increase for Dusty Ch ristopherson to Step 4 of the salary schedule for the City Clerk, effective the first full pay date after the merit date of May 10, 2022, and a one-time retroactive payment of $209.34.

PASSED AND ADOPTED this _____ day of __________ 2022, by the following roll call vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

APPROVED:

Paul Resnikoff, Mayor

ATTEST:

Dusty Christopherson, City Clerk

19.a
Packet Pg. 204
Attachment: Resolution (Resolution Amending Compensation for City Clerk Services)

19.b
Packet Pg. 205
Attachment: City Clerk Emp Contract _ Christopherson, D Signed 5_21 (Resolution Amending Compensation for City Clerk Services)

19.b
Packet Pg. 206
Attachment: City Clerk Emp Contract _ Christopherson, D Signed 5_21 (Resolution Amending Compensation for City Clerk Services)

19.b
Packet Pg. 207
Attachment: City Clerk Emp Contract _ Christopherson, D Signed 5_21 (Resolution Amending Compensation for City Clerk Services)

City
Council
Report

TITLE: Receive an Update on the Economic Development Strategy and Consider Issuance of a Request for Proposals for Consultant Services to Support the Short-Term Economic Development Strategy and to Prepare an Update to the City's Economic Development Plan (Resolution/Roll Call Vote)

RECOMMENDED ACTION

That the City Council adopt a Resolution authorizing the issuance of a Request for Proposals for consultant services to support implementation of the short -term Economic Development Strategy and a comprehensive update to the City's Economic Development Plan; and authorizing the City Manager to execute a contract with the selected service provider in an amount not to exceed $200,000.

BACKGROUND

This report provides an update regarding the status of the short-term economic development strategy that was discussed at the January 18, 2022 Council meeting, This report also provides the recommendation of the City Council E conomic Development Subcommittee from its April 29, 2022 meeting regarding a short-term and long-term economic development strategy. Previously the short-term plan and the long- term plan were being pursued sequentially. The Council had previously authori zed the issue of an RFP to develop a short-term economic development strategy and City branding. It was intended that the long -term strategy would subsequently be developed separately. Since that time staff believes that there may be some benefit of cond ucting an RFP for both services at the same time. The interconnectedness of the two plans would benefit from some overlap in their development. As discussed with the Economic Development Subcommittee, Staff recommends that the City now pursue both a short- term and long-term economic development strategy together that acts to fill commercial vacancies while creating a broader vision and comprehensive economic development plan for the City.

Staff requests the Council adopt a Resolution (Attachment A) to authorize the issuance of the Request for Proposals (Attachment B) to obtain consulting services for implementing the short-term economic development strategy while providing a comprehensive update to the City’s Economic Development Plan (long term strategy).

DISCUSSION
Item: 20
Category: UNFINISHED BUSINESS
Meeting Date: June 7, 2022
20 Packet Pg. 208
City Council Report - Economic Development Plan Page 2 of 7

Council Direction

At the January 18, 2022 meeting ( Item 17), the City Council considered the Economic Development Subcommittee’s recommendation to obtain consultant services to assist in implementing a short -term strategy to fill commercial vacancies. The strategy would consider sales tax leakage, market analysis and demand, identify new users and new uses to fill commercial vacancies, develop branding a nd update marketing materials among other tasks and analyses.

Economic Development Subcommittee Direction

On April 29, 2022, staff updated the City Council Economic Development Subcommittee on obtaining consultant services for the short -term strategy and also provided a draft RFP for consultant services to prepare an update to the City’s Economic Development Plan.

The City’s Economic Development Plan reflects the General Plan policies and strategies of the time while identifying specific strategies and implementation tasks needed to create opportunities for business expansion and retention. The most recent 2017 plan was intended to be a modest adjustment from the previous 2006 Economic Development Plan and was based in large part on the 2001 General Plan update that existed at the time. The 2017 Economic Development Plan identified a five -year time horizon for an update, and as the City is actively revisin g the Housing Element and General Plan, now is the appropriate time to prepare a comprehensive update to its Economic Development Plan.

At the April 29, 2022 meeting, staff and the Subcommittee discussed the two studies and the benefits of combining the efforts. The Subcommittee directed staff to revise the RFP to combine the short -term strategy with the comprehensive Economic Development Plan update into one scope of work. This approach would allow the short- term strategy to inform work on updating th e Economic Development Plan and potentially provide continuity and reduced costs with one consultant working on both components instead of two consultants working separately . The Subcommittee also directed staff to provide more information on the SWOT (Str engths, Weaknesses, Opportunities, Threats) analysis to be used in the Plan update and incorporate Council input on creation of the plan.

Draft RFP

Based on the feedback from the Economic Development Subcommittee, staff has prepared the attached Draft Economic Development Plan RFP that combines the short - term strategy of filling commercial vacancies with the update to the Economic Development plan. This comprehensive effort includes data analysis, stakeholder engagement, a SWOT (Strengths, Weaknesses, Opp ortunities, Threats) analysis, and visioning and branding that defines the City’s vision ; resulting in policies and 20 Packet Pg. 209
City Council Report - Economic Development Plan Page 3 of 7 implementation actions that are incorporated into the land use regulations and permitting requirements. The desired workplan to be conducted under the RFP includes the following:

Short-Term Strategy: The following steps and tasks would act to fill commercial vacancies:

1. Review current conditions, including sales tax, office uses, research and redevelopment uses. Update and obtain formal sale s tax leakage analysis to identify which product and service needs are not being met within Campbell with more detail on sectors and geographic distribution/data

2. Assess current vacancy list of commercial spaces available in Campbell and identify spaces th at may match with retailers/services identified in sales tax leakage analysis

3. Identify regional and national chains that provide the services/goods identified

4. Identify and consider new and other uses that could also fill vacancies

5. Identify and consider new and developing industries

6. Conduct initial market analysis for preferred businesses

7. Develop branding and update marketing materials/GIS maps/information on available vacancies

8. Identify and develop the City’s branding needs for attracting targeted industries

9. Work with commercial brokers to connect with preferred businesses and market available vacant space

Comprehensive Update to the City’s Economic Development Plan: Based on staff recommendation and the feedback from the Council’s Economic Development Subcommittee, the workplan to update the City’s Economic Development Plan would include:

1. Scoping the Development Plan Update

• Evaluation of existing plan for relevance
• Identify targeted outcomes of new Economic Development Plan • Evaluation of data and metrics for plan update
• Choose consultant and evaluate cost options

2. Creation of Advisory Committees
In consultation with the City Council, engage bus iness owners, government leaders, experts, and other stakeholders to inform the Plan’s development • Internal Stakeholders
o City Council Economic Development Sub-Committee
o Campbell Chamber of Commerce
o Business associations
o Business owners and landlords
20 Packet Pg. 210
City Council Report - Economic Development Plan Page 4 of 7 • Outside advisory board comprised of economic development experts • Additional stakeholders

3. Existing Conditions Evaluation
• Economic composition and demographics
• Market conditions
• Regional setting
• Labor market
• Other factors

4. SWOT Analysis
Conduct SWOT (Strengths, Weaknesses, Opportunities & Threats) Analysis to consider all potential positive and negative variables and influences that would affect Campbell’s Economic Development vitality.

Strengths: Competitive advantages, which are typically internal.

Weaknesses: Competitive disadvantages for businesses to operate successfully.

Opportunities: Chances or occasions for improvement or progress, which are often external trends and forces. For example:

• How is Campbell positioned to succeed in the regional economy? • Economic sectors with growth potential (e.g., expansion of advance manufacturing facilities)
• Business travelers and tourism
• Public, private and non-profit partnerships

Threats: Chances or occasions for negative impacts or decline which a re external in nature including regional threats.

SWOT Analytical Approach

Both Quantitative analysis and quantitative analysis should be included in the SWOT analysis. Quantitative analysis should include, but not be limited to analysis of sales tax, t ransient occupancy tax and business license tax revenues. Qualitative Analysis: should include, but not be limited to surveying business owners on experiences and needs related to infrastructure, amenities, permitting processes and other benefits and barriers to attracting, retaining, and growing businesses.

5. Visioning and Branding

• Identify and develop branding that conveys Campbell’s uniqueness among the region and assets Campbell offers to existing and new businesses, as 20 Packet Pg. 211
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• Identify and develop branding that conveys Campbell’s tourism assets that make it a destination for business and/or leisure travelers

• Develop branding and update marketing materials on Campbell’s strengths, assets and opportunities

• Consultant to solicit City Council direction on vision and branding as part of stakeholder review process

6. Plan Development

• Future economic state of Campbell
• Implementation actions
• Land use modifications
• Economic development tools and programs
• Metrics

7. Stakeholder and Public Review
The workplan shall assume the following components of a community and stakeholder engagement strategy along with ongoing engagement:

• Briefings of City Council Economic Development Sub-Committee at several milestones during Plan development
• A minimum of three meetings with City Council (kickoff, mid -point, final presentation) during the Plan preparation process.
• Conduct business and community surveys

8. Council Adoption

Tentative Project Timeline

Subject to Council’s auth orization, staff intends to release the RFP for bidding in late June, subject to Council adoption of the FY 2023 Budget, which includes funding for this work. Under this timeline, the contract is scheduled to be awarded in August 2022. This timeline will allow adequate time for the following tasks:

1. Applicants submit and staff to respond to RFP clarification requests

2. Applicants prepare proposals

3. Staff review of proposals

4. Interview applicants and perform reference checks

5. Award/execute contract

Tentative Project Timeline

Task / Description Estimated Time Period
20 Packet Pg. 212
City Council Report - Economic Development Plan Page 6 of 7 Release RFP Late June
RFP Submittal Deadline Early August
RFP Bid Evaluations Early August
Candidate Interviews Mid August
Contract Execution Late August
Project Kickoff Early September

The initial contract term shall commence upon execution of the contract by the City and shall be for a twelve (12) month period. The contract includes the option for two additional (6) six month renewal periods in the event additional consulting services are requested by the City’s sole discretion and satisfactory performance by the consultant under the original contract for up to twelve (12) additional months.

Evaluation Process

Evaluation of the proposals will be made by the City Manager, Community Development Director, Finance Director and other staff as appropriate. Staff will provide recommendations to the Council’s Economic Development Sub -Committee for consideration and direction after which, the City Manager will execute the contract with the selected consultant.

The selected consultant may require a City Council Resolution to access City sales tax data and records as specific City staff and the City’s sales tax vendor are the only approved viewers of this confidential data . Staff will return to Council in the future to request this authority if required.

FISCAL IMPACT

Within the proposed FY 2023 Budget, staff had identified the allocation of $150,000 to fund an economic development consultant to update the Economic Development Plan and $50,000 to support the short-term economic development strategy. Given Council Sub-Committee direction to combine both components into one RFP, staff recommends combing the budget allocations for a total not to exceed $200,000 in FY 2023 for this project.

One c onsultant working on both components would provide continuity and possibly reduced costs instead of two consultants working separately on these components.

Should Council approve the FY 2023 Budget, the selected consultant would begin after July 1, 2022. S taff obtained estimated costs from economic development consulting firms for services realted to long-term plans that range from $55,000 to $130,000.

ALTERNATIVES
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1. Do not authorize the RFP for release

2. Modify the RFP as presented

3. Provide other direction to staff

Prepared by:

Michael Thomas, Economic Development
Specialist

Reviewed by:

Rob Eastwood, Community
Development Director

Approved by:

Angelique Gaeta, Assistant City
Manager

Attachment:
a. City Council Resolution Econ Dev Plan RFP
b. Draft Economic Development Plan RFP Rev 6-1-22
20 Packet Pg. 214

RESOLUTION NO. ______________

BEING A RESOLUTION OF THE CITY COUNCIL OF TH E CITY OF CAMPBELL

AUTHORIZING DISTRIBUTION OF A REQUEST FOR PROPOSAL S FOR CONSULTANT SERVICES TO PREPARE AN UPDATE TO THE CITY ’S ECONOMIC

DEVELOPMENT PLAN AND SUPPORT THE SHORT-TERM ECONOMIC

DEVELOPMENT STRATEGY AND AUTHORIZE T HE CITY MANAGER TO ENTER

INTO A PROFESSIONAL SERVICES AGREEMENT WITH SAID CONSULTANT

WHEREAS, in 1996 the City Council adopted a n Ec onomic Development Plan that ackno wledged the importance and necessity of maintaining a sound and stable commercial tax base to support and provide quality municipal services;

WHEREAS, in 2006, the City Council adopted an Economic Development Plan based on the 2001 General Plan Update to help diversify its focus on a broader scale to assist local businesses utilizing redevelopment programs;

WHEREAS, the City of Campbell adopted an updated Economic Development Plan on November 21, 2017 , by City Council Resolution 12260, which was intended to be a modest adjustment from the 2006 Economic Development Plan;

WHEREAS, the Economic Development Plan indicates an int ent to be updated every five years to reassess how the objectives, strat egies, and impl ementation tasks are working and if updates are needed to keep the Plan reflective of current values; and

WHEREAS, the City is actively preparing the Envision Campbell General Plan Update and an update to the Housing Element (Campbell’s Plan for Hou sing), the City desires a c omprehensive update to its Economic Development Plan, which is a m ajor workplan item for FY 2023; and

WHEREAS, on January 18, 2022, the City Coun cil directed staff to obtain an outside consultant to assist the City in i mplementing the short -term economic development strategy to fill commercial vacancies, and that the Economic Development Sub-Committee be inv olved with develo ping a n RFP f or a comprehensive, long -term economic development plan prior to City Council consideration; and

WHEREAS, following a status update on April 29, 2022, the Economic Development Sub -Committee directed staff to combine the short-term strategy and Economic Development Plan update into one scope of work; and

WHEREAS, the City is seeking special services, consultation and advice in financial, economic, and related matters from persons speciall y trained, experienced and competent to perform the special services required, such that capability is the overriding consideration per CMC sections 3.20.030(4) and 3.20.091(3)(B); and

WHEREAS, within the proposed F iscal Year 2022/202 3 Budget , staff has identified the allocation of $15 0,000 to fund an economic development consultant t o update the Economic Development Plan and an additional $50,000 to support the short- term economic development strategy for a total not to exceed $200,000; and

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Attachment: City Council Resolution Econ Dev Plan RFP (City Council Report - Economic Development Plan)

WHEREAS, a draft RFP includes a preliminary scope of work and schedul e as an initial outline to help the consultant gauge the minimum level of work re quested and to submit a realistic proposal; and

WHEREAS, the City Council has reviewed and acc epted the draft RFP and found it to include the appropriate tasks to facilitate an update to the Economic Development Plan and support the short-term economic development strategy; and

WHEREAS, CMC section 3.20.091(7) provides that the City Council is to a ward contracts on RFP’s of $50,000 or more.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Campbell hereby authorizes distribution of a Request for Proposals for the preparation of an update to the City’s Economic Development Plan and short -term economic development strategy and authorize the City Manager to execute a professional services agreement awarded by the City Council with said consultant for an amount not to exceed $200,000 for both tasks combined.

PASSED AND ADOPTED this ____ day of _______, 20 22, by the following roll call vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:

APPROVED:

Paul Resnikoff, Mayor

ATTEST:

Dusty Christopherson, City Clerk

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Attachment: City Council Resolution Econ Dev Plan RFP (City Council Report - Economic Development Plan)

REQUEST FOR PROPOSALS
(RFP)

Short-Term
Economic Development Strategy
and Economic Development Plan Update
City of Campbell, California

RFP Release Date
June XX, 2022

Proposal Submittal D eadline
TBD

City of Campbell
Attn: City Clerk’s Office
70 North First Street
Campbell, CA 95008
(408) 866-2117

[email protected]

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REQUEST FOR PROPOSALS
Long-Term Economic Development Plan

The City is issuing this Request for Proposals (“RFP”) for consultant services to support the City with the following tasks (a) implementation of a short-term Economic D evelopment Strategy to fill commercial vacancies and (b) provide a comprehensive update to the City’s Economic Development Plan for a cost not to exceed $200,000.

Consultants are solely responsible for ensuring proposals are received by the City on or before the submittal deadline. Proposals must be received (physically) no later than Date and Time TBD at the following address:

City of Campbell
Attn: City Clerk’s Office
70 North First Street
Campbell, CA 95008

An original copy must be signed by a representative authorized to bind the company. Proposals submitted by e-mail are not acceptable and will not be considered. Submit the original signed copy, one (1) hard copy and an electronic copy in PDF format on a USB stick in sealed packages with the name of the Consultant and RFP title clearly marked on the outside of the package.

Consultant’s fee proposal is to be submitted in a separate sealed envelope.

Failure to comply with the requirements set forth in this RFP may result in disqualification. Proposals and/or modifications received subsequent to the hour and date specified above will not be accepted.

Submitted proposals may be withdrawn at any time prior to the submission time specified in this RFP, provided notification is received in writing before the submittal deadline. No handwritten notations or corrections will be allowed. The responding Consultant is solely responsible for all costs related to the preparation of the proposal.

The City reserves the right to reject all proposals and to waive any minor informalities or irregularities contained in any proposal. Acceptance of any proposal submitted pursuant to this RFP shall not constitute any implied intent to enter into a contract.

The contract award, if any, will be made to the Consultant who, in the City’s sole discretion, is best able to perform the required services in a manner most beneficial to the City. Please submit all inquiries to Economic Development Specialist Michael Thomas at [email protected] by t he Request for Clarifications due date listed below.

Project Schedule
Below is a desired schedule for initiation of this project; however, dates may be subject to change and adjusted as necessary.

RFP Issued June XX, 2022
Request for Clarifications Due Two weeks after release date Clarification Responses Provided Three weeks after release date Proposal Submittal Deadline Six weeks after release date Proposal Evaluations Seven weeks after release date Phone/Web Interviews (conducted at City’s discretion) Eight weeks after release date Contract Awarded by City Manager Ten weeks after release date

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Background
The City of Campbell is located in the West Val ley area of Santa Clara County and encompasses

6.35 square miles. The City was founded in 1887, and incorporated in 1952 as a general law city.

As of May 2021, the City’s population was 42, 221. Campbell operates under a Council/Manager form of government and is organized into six departme nts - City Administration, Recreation and Community Services, Finance, Community Development, Police, and Public Works . Fire services are provided by contract with the Santa Clara County Fire Department. The City provides library, animal control, solid waste collection and recycling, and storm water management services via Joint Powers Agreements (JPA’s).

Objective
The City of Campbell is requesting proposals from firms or individuals to assist the City with both short term and long term economic development projects as follows: (a) implementation of a short term Economic Development strategy to fill commercial vacancies based on sales tax leakage and other related market analysis and (b) provide a comprehensive update to the City’s E conomic Development Plan. These economic development efforts will act to implement recommendations and processes from the Land Use (page 15-49) and Economic Development (page 86-98) Elements of the City’s General Plan 2040, which is currently in development a nd anticipated to be adopted by December 2022.

Th
e City seeks to promote economic health as an essential component of maintaining a balanced community, providing goods, services, employment and housing opportunities, which, in turn, help attract and retain commercial, service, and industrial businesses.

The Economic Development Element’s Goals

• Foster strong economic growth and local employment opportunities • Facilitate business retention and expansion to serve residents and create jobs • Attract and retain companies and industries that diversify the City’s economic base and jobs to reduce out-commenting
• Strengthen economic base via installation of capital improvements to help make Campbell a competitive business location
• Encourage new development in key areas that provide high quality work locations for existing and new businesses
• Establish Downtown as the heart of Campbell’s cultural and civic life and a place where residents, workers and victors share in Campbell’s heritage, vibrancy and vitality

The scope of work outlined below illustrates the specific services requested.

Scope of Services
Project tasks shall include, but are not necessarily limited to, the following described below.

If the firm believes additional tasks are warranted, they must be clearly identified in the firm’s

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proposal. Firms responding to this RFP shall be prepared to begin services no later than September XX, 2022. The project consists of furnishing all labor, materials, supervision, and travel necessary to complete the tasks outlined below.

The short-term strategy and update to the City’s Economic Development Plan will be a two-part effort that includes data analysis, stakeholder engagement, a SWOT analysis (Strengths, Weaknesses, Opportunities, Threats), and creation of a cohesive vision and branding document for Campbell that defines the vision of the City, resulting in policies and implementation actions that are incorporated into the land use regulations and permitting requirements.

The consultant selected would per form the following services under the direction of the City Manager/Community Development Director:

Short-Term Economic Development Strategy

Filling Commercial Vacancies Based on Sales Tax Leakage and Other Analysis • Review current conditions, including sales tax, office uses, research and redevelopment uses.

Update and obtain formal sales tax leakage analysis to identify which product and service needs are not being met within Campbell with more detail on sectors and geographic distribution/data

• Assess current vacancy list of commercial spaces available in Campbell and identify spaces that may match with retailers/services identified in sales tax leakage analysis

• Identify regional and national chains that provide the services/goods identified

• Identify and consider new and other uses that could also fill vacancies

• Identify and consider new and developing industries

• Conduct initial market analysis for preferred businesses

• Develop branding and update marketing materials/GIS maps/information on available vacancies
• Identify and develop the Cities branding needs for attracting targeting industries • Work with commercial brokers to connect with preferred businesses and market available vacant space

Comprehensive Update to the City’s Economic Development Plan

1. Scoping Economic Development Plan Update

• Evaluation of existing plan for relevance
• Identify targeted outcomes of new Economic Development Plan • Evaluation of data and metrics for plan update
• Choose consultant and evaluate cost options

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2. Creation of Advisory Committees
In consultation with the City Council, engage business owners, government leaders, experts and other stakeholders to inform the long-term plan’s development

• Internal Stakeholders
o City Council Economic Development Sub-Committee
o Campbell Chamber of Commerce
o Business associations
o Business owners
• Outside advisory board comprised of economic development experts • Additional stakeholders

3. Existing Conditions Evaluation

• Economic composition and demographics
• Market conditions
• Regional setting
• Labor market
• Other factors

4. SWOT Analysis

Conduct a SWOT analysis that evaluates Campbell’s capabilities, capacity for growth and economic resiliency. Specifically, identify factors and/or elements in place (or need to be put in place) to ensure the long-term success, viability, and durability of Campbell’s economy.

The SWOT analysis should include the following:

o Strengths: Competitive advantages, which are typically internal.

o Weaknesses: Competitive disadvantages for businesses to operate successfully.

o Opportunities: Chances or occasions for improvement or progress, which are often external trends and forces. For example:
 How is Campbell positioned to succeed in the regional economy?  Economic sectors with growth potential (e.g., expansion of advance manufacturing facilities)
 Business travelers and tourism
 Public, private and non-profit partnerships

o Threats: Chances or occasions for negative impacts or decline which are external in nature including regional threats.

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o SWOT Analytical Approach

Quantitative analysis may include, but not be limited to analysis of sales tax, transient occupancy tax and business license tax revenues.

Qualitative Analysis: May include, but not be limited to surveying business owners on experiences and needs related to infrastructure, amenities, permitting processes and other benefits and barriers to attracting, retaining and growing businesses.

5. Visioning and Branding

• Identify and develop branding that conveys Campbell’s uniqueness among the region and the assets it offers to existing and new businesses, as well as targeting new and developing industries
• Identify and develop branding that conveys Campbell’s tourism assets that makes it a destination for business and/or leisure travelers
• Develop branding and update marketing materials on Campbell’s strengths, assets and opportunities
• Consultant to solicit City Council direction on vision and branding as part of stakeholder review process

6. Plan Development

• Future economic state of Campbell
• Implementation actions
• Land use modifications
• Economic development tools and programs
• Metrics

7. Stakeholder and Public Review
The workplan shall assume the following components of a community and stakeholder engagement strategy along with ongoing engagement:
• Briefings of City Council Economic Development Sub-Committee at several milestones during Plan development
• A minimum of three meetings with City Council (kickoff, mid-point, final presentation) during the Plan preparation process.
• Conduct business and community surveys

8. Council Adoption

General
The Consultant may recommend other tasks that it deems appropriate to achieve the objectives set forth in this RFP.

Public Records

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All proposals submitted in response to this RFP become the property of the City. Information in the proposal, unless specified as trade protected, may be subject to public review. Any information contained in the proposal that is proprietary must be clearly designated. Marking the entire proposal as proprietary will be neither accepted nor honored. Proprietary information submitted in response to this RFP will be handled in accordance with the California Public Records Act.

Right to Cancel and Amend
The City reserves the right to cancel, for any or no reason, in part or in its entirety, this RFP, including but not limited to selection schedule, submittal date, and submittal requirements.

If the City cancels or revises the RFP, all Consultants will be notified in writing.

Additional Information
The City reserves the right to request additional information and/or clarification from any or all Consultants.

Conflict of Interest
Selected consultant covenants that the company, its officers, employees and/or agents presently have no interest, and shall not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the services requested herein by the City. Consultant further covenants that, in the performance of any contract or agreement resulting from this RFP, no subcontractor or person having such an interest shall be employed. Consultant certifies that to the best of Consultant ’s knowledge, no one who has or will have any financial interest under any contract or agreement resulting from this RFP is an officer or employee of the City.

Release of Public Information
Consultants who respond to this RFP who wish to release information to the public regarding selection, contract award or data provided by the City must receive prior written approval from the City before disclosing such information to the public.

Non-Assignment
If a contract is awarded, the selected Consultant shall neither assign, nor delegate, in part or in whole, any duties without the prior written consent of the City which shall not be unreasonably withheld.

Collusion
Each Consultant certifies that the company, its officers, employees and/or agents are not a party to any collusive action, fraud, or any action that may be in violation of the Sherman Antitrust Act. The Consultant certifies that the company, its officers, employees and/or agents have not offered or received any kickbacks or inducements from any other bidding Consultant, supplier, manufacturer, or subcontractor in connection with the proposal and that the company, its officers, employees and/or agents have not conferred on any public employee having official responsibility for this procurement transaction any payment, loan, subscription, advance, deposit of money, services, or anything of more than nominal value. Any or all bids

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shall be rejected if there is any reason to believe collusion exists among the bidding Consultants.

Debarment
By submitting a proposal, the Consultant certifies that the company is not currently debarred from submitting proposals and/or bids for contracts issued by any City or political subdivision or agency of the State of California, and that it is not an agent of a person or entity that is currently debarred from submitting proposals and/or bids for contracts issued by any City or political subdivision or agency of the State of California.

Equal Employment Opportunity Compliance
The selected Consultant shall not discriminate against any employee or applicant for employment because of race, creed, color, or national origin. The Consultant shall ensure that all employees and applicants for employment shall be treated with equality in all aspects of employment processes including, but not limited to, hiring, transfer, promotion, training, compensation and termination, regardless of their race, creed, color, sex, national origin, age, or physical handicap.

Right to Audit
The selected Consultant shall maintain such financial records and other records as may be prescribed by the City or by applicable federal and state laws, rules, and regulations. The selected Consultant shall retain these records for a period of three years after final payment, or until they are audited by the City, whichever event occurs first. These records shall be made available during the term of the contract or service agreement and the subsequent three-year period for examination, transcription, and audit by the City or its designees.

Deliverables

The Consultant shall be responsible for preparing an effective, clear, and concise proposal. The City is requesting six (6) hard copies and an electronic copy in PDF format on a USB stick of the proposal and it shall be organized with clearly labeled tabs separating each section. Proposals must contain at a minimum the following information:

1. Format for Proposal: T o facilitate the review of responses, all responses are required to adhere to the following requirements with regard to their proposal. The City strongly encourages respondents to ensure that RFP submissions are succinct and clearly organized.

If the proposal is not in this format or does not include all of the listed items, it may be deemed nonresponsive. For ease of handling, all responses are to be provided in a standard 8 ½” x 11” portrait format with binding on the left-hand edge.

a. Ti
tle Page showing the request for proposals subject; the firm’s name; the name, address and telephone number of the contact person; and the date of the proposal.

b. Table of Contents identifying the materials submitted by section and page number.

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c. Detailed Proposal following the order as set forth below and clearly tab each section.

2. Letter of Interest: Please include a letter expressing the Consultant’s interest which includes:
a. A statement describing w hy your firm is qualified to provide the services and perform the work required in a responsive manner.
b. A description of the anticipated interaction between the Consultant and City staff. c. Identification of the Project Manager and main point of contact.

3. Project Understanding and Approach: Please include a statement demonstrating your understanding of the proposed scope of services. Economic development strategies and plans are comprehensive documents with specific recommendations and actions for improving and managing a community’s economy that need to be completed and implemented within specific time periods. Describe your approach to meeting these requirements in a timely and thorough manner while also containing costs. What processes, methodologies and technologies do you employ? Describe what informa tion you would expect the City to supply.

4. Relevant Experience: Please describe your firm’s past performance in providing similar services to other municipalities. Provide references from at least three (3) California municipalities that your firm is currently providing, or has provided within the last three (3) years,. Address your firm’s record of meeting schedules and controlling costs.

5. Project Manager / Key Staff: Please include information about the specific relevant experience for the proposed Project Manager and all other applicable staff. Please submit resumes only for those individuals that will be assigned to the City of Campbell.

6. Conflict of Interest Statement: The firm shall disclose any financial, business, or other relationship with the City that may have an impact upon the outcome of this contract. Particular attention should be paid to compliance with Government Code s ection 1090.

7. Comments on or Requested Changes to Contract: The City’s standard Consultant Services Agreement is included as Attachment 1 to this Request for Proposals. The proposing firm shall identify any objections to and/or request changes to the standard contract language in this section.

8. Fee Schedule: In a s eparate envelope marked “Fee Proposal”, provide a fee schedule for all personnel assigned for this project.

Term of Contract

The initial contract term shall commence upon execution of the contract by the City and shall be for a twelve (12) month period. The contract includes the option for two additional (6) six month renewal periods in the event additional consulting services are requested by the City, for a total

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potential contract term of up to two (2) years.

Extension of Contract

At the end of the initial twelve (12) month term, the City of Campbell, at its sole discretion may elect to extend the contract for two (2) additional six-month terms. The City may extend the contract for a total of one year, pending additional services are requested by the City and satisfactory performance under the original contract. Contractual costs shall be equal to the June-to-June San Francisco-Oakland-San Jose Consumer Price Index-All Urban (CPI) in an amount not to exceed five percent (5%) but not lower than three percent (3%), upon execution of each contract renewal.

Evaluation of Proposals and Selection Process

Evaluation of the proposals will be made by City Council Members, the City Manager, Community Development Director, Finance Director and Economic Development Specialist and other City staff as deemed appropriate by the City Manger/Community Development Director. This evaluation team, in accordance with the criteria listed below, will evaluate all proposals received as specified. The City team members, in applying the major criteria to the proposals, may consider additional criteria beyond those listed. During the evaluation period, the team may elect to interview some or all of the proposing firms. The final selection will be the firm which, in the City’s opinio n, is the most responsive and responsible, meets the City’s requirements in providing this service, and is in the City's best interest. The City maintains the sole and exclusive right to evaluate the merits of the proposals received. Consultants will be objectively evaluated based on their responses to the project scope outlined in the RFP. The written proposal should clearly demonstrate how the firm could best satisfy the requirements of City. Proposals will be evaluated on the following criteria:

No. Written Evaluation Criteria Point Value
1 Completeness of Response Pass/Fail
2 Qualifications & Experience 30
3 Organization & Approach 20
4 Scope of Services to be Provided 20
5 References 25
6 Local Presence 5
7 Conflict of Interest Statement Pass/Fail
Subtotal: 100

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ATTACHMENT 1

CITY OF CAMPBELL

CONSULTANT SERVICES AGREEMENT

This Agreement is entered into at Campbell, California on the day of , 2022, by and between the CITY OF CAMPBELL (hereinafter referred to as "City") and (hereinafter referred to as "Consultant").

WHEREAS, City desires to obtain a consultant to prepare a short-term Economic Development Strategy to fill commercial vacancies and update the City’s Economic Development Plan for a cost not to exceed $200,000; and

WHEREAS, Consultant represents that it has the expertise, means, and ability to prepare and revise and make recommendations throughout the entire preparation process;

NOW, THEREFORE, in consideration of each other's mutual promises, Consultant and City agree as follows:

1. DUTIES OF CONSULTANT

1.1 Consultant agrees to perform services as set forth in Exhibit A - Scope of Services, attached hereto and incorporated herein by reference, and which shall be interpreted together and in harmony with this Agreement. In the event of any conflict between Exhibit A and this Agreement, this Agreement shall govern, control, and take precedence.

1.2 Consultant’s project manager will meet with the City’s project coordinator prior to commencement of the project to establish a clear understanding of the working relationships, authorities, and management philosophy of City as it relates to this Agreement.

1.3 Consultant, working with the City, will gather available existing information concerning the project, and shall review documents as necessary for compliance with the project’s objectives.

1.4 In performance of this Agreement by Consultant, time will be of the essence.

1.5 Notwithstanding Section 1.4, Consultant shall not be responsible for delay caused by activities or factors beyond Consultant’s reasonable control, including delays or by reason of strikes, work slow-downs or stoppages, or acts of God.

1.6 Consultant agrees to perform this Agreement in accordance with the highest degree of skill and expertise exercised by members of Consultant’s profession working on similar projects under similar circumstances.

1.7 Consultant shall cooperate in good faith with City in all aspects of the

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performance of this Agreement.

1.8 In the course of the performance of this Agreement, Consultant shall act in the City’s best interest as it relates to the project.

1.9 All activities of Consultant, its employees, subcontractors and/or agents will be carried out in compliance with all applicable federal, state, and local laws and regulations.

1.10 The designated project manager for Consultant shall be .

The Consultant’s project manager shall have all the necessary authority to direct technical and professional work within the scope of the Agreement and shall serve as the principal point of contact with the City and the City’s project coordinator. The authorized principal of Consultant executing this Agreement for the Consultant shall have authority to make decisions regarding changes in services, termination and other matters related to the performance of this agreement on behalf of Consultant.

1.11 The Consultant (and its employees, agents, representatives, and subconsultants), in the performance of this Agreement, shall act in an independent capacity and not as officers or officials or employees or agents of the City. The City shall not direct the work and means for accomplishment of the services and work to be performed hereunder. The City, however, retains the right to require that work performed by Consultant meet specific standards consistent with the requirements of this Agreement without regard to the manner and means of accomplishment thereof. Subcontractors shall assume all of the rights, obligations and liabilities, applicable to it as an independent contractor hereunder. Consult ant represents and warrants that it (i) is fully experienced and properly qualified to perform the class of work and services provided for herein, (ii) has the financial capability and shall finance its own operations required for the performance of the work and services and (iii) is properly equipped and organized to perform the work and services in a competent, timely and proper manner in accordance with the requirements of this Agreement.

Consultant agrees to comply with AB5, codified at Labor Code section 2750.3, and shall indemnify, defend and hold harmless the City, its officers, officials, directors, agents representatives, volunteers, and employees against any claim or liability, including attorneys’ fees and costs, arising in any manner related to this Agreement that an employee, agent or others under Consultant’s supervision or control was misclassified.

1.12 This Agreement contains provisions that permit mutually acceptable changes in the scope, character or complexity of the work if such changes become desirable or necessary as the work progresses. Adjustments to the basis of payment and to the time for performance of the work, if any, shall be established by a written contract amendment (approved and executed by the City) to accommodate the changes in work.

2. DUTIES OF CITY

2.1 City shall furnish to Consultant all available and pertinent data and information requested by Consultant to facilitate the preparation of the documents called for in this Agreement. Consultant shall be entitled to reasonably rely on accuracy and completeness of such information, provided that Consultant shall provide City prompt written notice of any known defects in such data and information.

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2.2 City shall provide contract administration services. City shall notify Consultant of required administrative procedures and shall name representatives, if any, authorized to act in its behalf.

2.3 City shall review documents submitted by Consultant and shall render decisions pertaining thereto as promptly as reasonably possible.

3. COMPENSATION

3.1 For the full performance of the services described herein by Consultant, City agrees to compensate Consultant for all services and direct costs associated with the performance of the project in an amount not to exceed $200,000, as follows:

a. Once each month, Consultant shall submit for payment by City, an itemized invoice for services performed during the previous billing period. The invoice shall describe the service s rendered and the title of the item of work, and shall list labor hours by personnel classification.

Said invoice shall be based on all labor and direct expense charges made for work performed on the project. Labor charges shall be in accordance with the fee schedule found in Exhibit A of this Agreement. City shall pay Consultant for services rendered and approved by the City within 30 days from the date the itemized invoice is received by the City, subject to the maximum not to exceed amount specified above and the City’s right to object.

b. Direct costs are those outside costs incurred on or directly for the project, and substantiated with invoices for the charges. Direct expenses include printing, reproduction, and delivery charges.

3.2 If Consultant incurs other costs which are not specifically covered by the terms of this Agreement, but which are necessary for performance of Consultant’s duties, City may approve payment for said costs if authorized in writing by the City in advance.

3.3 City may order changes in the scope or character of services in writing, including decreasing the amount of Consultant’s services. In the event that the work is decreased, Consultant is entitled to full compensation for all services performed and expenses incurred prior to receipt of notice of change. Under no conditions shall Consultant make any changes to the work, either as additions or deductions, without the prior written order of the City. In the event, that the City determines that a change to the work or services from that specified in this Agreement is required, the contract time and/or actual costs reimbursable by the City for the project may be adjusted by contract amendment or change order to accommodate the changed work. The maximum not to exceed total amount specified in this Article 3 (Compensation) shall not be exceeded, unless authorized by written contract amendment or change order, approved and executed by the City. Consultant shall obtain prior written approval for a revised fee schedule from the City before exceeding such fee schedule. Only City’s authorized representative(s) is authorized to approve changes to this Agreement on behalf of City.

3.4 In no event, will the Consultant be reimbursed for any costs or expenses at any rates that exceed the rates for set forth in the fee schedule found in Exhibit A.

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3.5 Consultant agrees that the payments to Consultant specified in this Article 3 (Compensation) will constitute full and complete compensation for all obligations assumed by Consultant under this Agreement. Where conflicts regarding compensation may occur, the provisions of this section apply.

4. SUBCONSULTANTS

4.1 Consultant may not subcontract any services required under this Agreement without the prior written consent of the City.

4.2 Consultant shall be responsible to City for the performance of any and all subconsultants who perform work under this contract, and any acts of negligence or misconduct on their part. Consultant is solely responsible for all payments due to subconsultants.

4.3 Consultant shall require and verify that all subcontractors maintain insurance meeting all of the requirements stated herein, including naming the City of Campbell, its officers, officials, directors, agents representatives, volunteers, and employees as additional insureds. Any modification to the insurance requirements for subcontractors must be agreed to by the City in writing.

4.4 If at any time, the City determines any subcontractor is incompetent or unqualified, Consultant will be notified and will be expected to immediately cancel the subcontract.

5. OWNERSHIP OF DOCUMENTS AND MATERIALS

All original drawings, documents, papers, data, materials, photographs, negatives and other work products prepared by the Consultant and/or its subconsultants in the performance of the services encompassed in this Agreement (whether in printed or electronic format) (“project-related documents and materials”) shall be the property of the City and may be used on this project without the consent of the Consultant or its subcontractors. City acknowledges that such drawings, documents, and other items are instruments of professional services intended for use only on the subject project. Consultant agrees that all copyrights which arise from creation of the Project-related documents and materials pursuant to this Agreement shall be vested in the City and waives and relinquishes all claims to copyright or other intellectual property rights in favor of the City. Any project- related documents and materials related to this Agreement shall be confidential, not to be used by the Consultant on other projects or disclosed to any third party, except by agreement in writing by the City, or except as otherwise provided herein. Upon the completion or termination of this Agreement for any reason, the City shall be entitled to receive, and Consultant shall promptly provide to the City upon request, all finished and unfinished project-related documents and materials, produced or gathered by or on behalf of Consultant that

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are in Consultant’s possession, custody or control. Consultant may retain copies of said documents and materials for its files. In the event of termination, any dispute regarding compensation or damages shall not hinder, prevent, or otherwise impact the City’s right to promptly receive and use such documents and materials which are the sole and exclusive property of the City.

6. TERMINATION

6.1 Notwithstanding any other provision of this Agreement, City may terminate this Agreement at any time, with or without cause, in its sole discretion, by giving notice in writing to Consultant not less than 14 calendar days prior to an effective termination date. In the event of such termination, Consultant shall have the right and obligation to immediately assemble the work then in progress for the purpose of completing the work and turning over all materials and documents to City.

6.2 In the event of such termination, Consultant shall be compensated for all work and services performed to the point of termination in accordance with the payment provisions set forth in Section 3.1, unless the termination is for cause, in which event Consultant need be compensated only to the extent required by law.

6.3 Upon notice of termination by City, the Consultant will immediately act to not incur any additional obligations, costs or expenses, except as may be reasonably necessary to terminate its activities. All finished or unfinished work or documents procured or produced under the Agreement will become property of the City upon the termination date. In the event of Consultant’s failure to perform pursuant to the Agreement, the City reserves the right to obtain services elsewhere and Consultant will be liable for the difference between the prices set forth in the terminated Agreement and the actual cost to the City. Termination of the Agreement pursuant to this paragraph shall not relieve the Consultant of any liability to City for additional costs, expenses, or damages sustained by City due to failure of the Consultant to perform pursuant to the Agreement. City may withhold any payments to Consultant for the purpose of set off until such time as the exact amount of damages due City from Consultant is determined. After the effective date of termination, Consultant will have no further claims against the City under the Agreement. No other compensation will be payable for anticipated profit on unperformed services.

7. AUDIT AND INSPECTION

Consultant shall permit authorized representatives of City to inspect and audit all data and records relating to its performance under this Agreement for a period of three years following acceptance of the final study.

8. EQUAL EMPLOYMENT OPPORTUNITY

Consultant agrees to refrain from discriminatory employment practices on the basis of race, religious creed, color, sex, national origin, handicap, sexual orienta tion, marital status, medical condition, disability, ancestry, organizational affiliation, military or veteran status, or

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any other consideration made unlawful by local, State or Federal law, of any employee of, or applicant for employment with, such Consultant or subcontractor. City requires Consultant to comply with all applicable Federal and State and local equal employmen t opportunity laws and regulations.

9. INSURANCE AND INDEMNIFICATION

9.1 With respect to any professional services provided by Consultant, the Consultant agrees to indemnify, and hold harmless the City, its officers, and employees to the fullest extent allowed by law from any and all claims, actions, causes of action, damages, liabilities and losses, that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant, except for any claims, actions, causes of action, losses, damages or liabilities proximately caused by the sole negligence or willful misconduct of City. City shall not be liable for acts of Consultant in performing services described herein. Notwithstanding anything in this paragraph to the contrary, any defense costs charged to the design professional under this paragraph shall not exceed the design professional’s proportionate percentage of fault, except:

a. That in the event one or more defendants is unable to pay its share of defense costs due to bankruptcy or dissolution of the business, the design professional shall meet and confer with the other parties regarding unpaid defense costs in good faith effort to agree on the allocation of those costs amongst the parties; and

b. Where a project-specific general liability policy insures all project participants for general liability exposures on a primary basis and also covers all design professionals for their legal liability arising out of their professional services on a primary basis, then there shall be no limitation on the design professional's duty to provide a defense and cover the City's cost of defense.

With respect to all matters other than those covered by the foregoing paragraph, Consultant agrees to indemnify, defend (with counsel reasonably satisfactory to the City) and hold harmless the City, its officers, officials, directors, agents representatives, volunteers, and employees to the fullest extent allowed by law from and against any and all claims, actions, causes of action, losses, damages, liabilities and costs of every nature, including attorneys’ fees and costs (collectively, “Losses”) including but not limited to all claims, actions, causes of action, losses, damages, liabilities for property damage, bodily injury, or death, and all costs of defending any claim, caused by or arising out of, or alleged to have been caused by or arise out of, in whole or in part, Consultant’s performance under this Agreement, except for any claims, actions, causes of action, losses, damages, costs or liabilities proximately caused by the sole negligence or willful misconduct of City. City shall not be liable for acts of Consultant in performing services described herein.

In no event shall this section be construed to require indemnification by the Consultant to a greater extent than permitted under the public policy of the State of California; and in the event that this contract is subject to California Civil Code section 2782(b), the foregoing indemnity provisions shall not apply to any liability for the active negligence of the City.

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The defense and indemnity provisions obligations of this Agreement are undertaken in addition to, and shall not in any way be limited by the insurance obligations contained in this Agreement. The foregoing indemnity provisions are intended to fully allocate the parties’ risk of liability to third- parties; and there shall be no rights to indemnity or contribution, in law or equity or otherwise between the parties that are not set forth in this section. Consultant waives all rights to subrogation for any matters covered by the provisions of this section. Consultant’s responsibility for such defense and indemnity obligations as set forth in this section shall survive the termination or completion of this Agreement for the full period of time allowed by law.

9.2 Consultant shall maintain insurance conforming to the following specifications to the fullest amount allowed by law for a minimum of three (3) years following the termination or completion of this Agreement:

A. Types of Coverage

The policies shall afford the following types of coverage:

1. Commercial General Liability;

2. Automotive;

3. Workers’ Compensation and Employer Liability; and

4. Professional Liability and/or Errors and Omissions

B. Minimum Scope of Insurance

Coverage shall be at least as broad as:

1. For Commercial General Liability: Insurance Services Office (ISO) CGL Form 00 01 11 85; and

2. For Automotive Liability: ISO CA 00 01 06 92 including symbol 1(any auto); and

3. For Workers’ Compensation: insurance as required by the Labor Code of the State of California and Employer's Liability insurance; and

4. For Professional Liability and/or Errors and Omissions: insurance covering negligence committed by or on behalf of Consultant in rendering services to City.

C. Minimum Limits of Insurance

Consultant shall maintain limits no less than:

1. General Liability: $1,000,000 combined single limit per occurrence for

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bodily, personal injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit.

2. Automobile Liability: $1,000,000 combined single limit per accident for bodily injury and property damage.

3. Workers’ Compensation and Employer's Liability: Workers’ Compensation limits as required by the Labor Code of the State of California and Employer's Liability limits of $1,000,000 per accident. The Worker’s Compensation policy must be endorsed with a waiver of subrogation in favor of the City for all work performed by the Consultant and its employees.

4. Professional Liability and/or Errors and Omissions: $1,000,000 per claim and $2,000,000 in the annual aggregate.

The limits of insurance required in this Agreement may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City (as agreed to in this Agreement) before the City’s own insurance or self - insurance shall be called upon to protect it as a named insured.

D. Deductible and Self-Insured Retention

Any deductibles or self-insured retention must be declared to and approved by the City, and shall not reduce the limits of liability. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self -insured retention as respects the City, its agents, officers, attorneys, employees, officials and volunteers; or the Consultant shall procure a bond guaranteeing payment of losses related to investigations, claim administration, and defense expenses. Policies containing any self-insured retention provision shall provide or be endorsed to provide that the self- insured retention may be satisfied by either the named insured or the City.

E. Other Insurance Provisions

The policies are to contain, or be endorsed to contain, the following provisions:

1. General Liability and Automobile Liability Coverage:

a. The City, its agents, officers, attorneys, employees, officials and volunteers are to be covered as additional insureds as respects: liability arising out of this Agreement performed by or on behalf of the Consultant, products and completed operations of the Consultant, premises owned, occupied or used by the Consultant, or automobiles owned, leased, hired or borrowed by the Consultant. It is a requirement of this Agreement that any available insurance proceeds broader

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than or in excess of the specified minimum insurance coverage requirements and/or limits set forth in this Agreement shall be available to the City as an additional insured. Furthermore, the requirements for coverage and limits shall be
(1) the minimum coverage limits specified in this Agreement, or (2) the broader coverage and maximum limits of coverage of any insurance policy or proceeds available to the named insured, whichever is affords greater coverage.

b. The Consultant's insurance coverage shall be primary insurance as respects the City, its agents, officers, attorneys, employees, officials and volunteers. Any insurance or self-insurance maintained by the City, its agents, officers, attorneys, employees, officials and volunteers shall be excess of the Consultant's insurance and shall not contribute with it.

c. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the City, its agents, officers, attorneys, employees, officials, and volunteers.

d. The Consultant's insurance shall apply separately to each insured against whom claim is made or suit is brought except with respect to the limits of the insurer's liability.

2. Workers’ Compensation and Employer’s Liability Coverage: The insurer shall agree to waive all rights of subrogation against the City, its agents, officers, attorneys, employees, officials, and volunteers for losses arising from work performed by the Consultant for the City.

3. All Coverages: Any unintentional failure to comply with reporting provisions of the policies shall not affect coverage provided to the City; and unless otherwise approved by the City, each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled by either party, except after thirty (30) days prior written notice by regular mail has been given to the City, or ten (10) days for cancellation for non- payment of premium.

F. Suspension or Cancellation

If any of the coverages required by this Agreement should be suspended, voided, cancelled or reduced in coverage during the term of this Agreement, Consultant shall immediately notify City and replace such coverage with another policy meeting the requirements of this Agreement.

G. Subcontractors

Consultant agrees that any and all contracts with subcontractors for performance of any matter under this Agreement shall require the subcontractors to comply with the same indemnity and insurance requirements set forth in this Agreement to the extent that they apply to the scope of the subcontractors’ work. Subcontractors are to be bound to contractor and to City in the same

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manner and to the same extent as the Consultant is bound to City under this Agreement.

Subcontractors shall further agree to include these same provisions with any sub-subcontractor. A copy of this Agreement will be furnished to the subcontractor on request. The Consultant shall require all subcontractors to provide a valid certificate of insurance and the required endorsements included in the Agreement prior to commencing any work, and will provide proof of compliance to the City.

H. Acceptability of Insurers

Without limiting Consultant's indemnification provided hereunder, the policies of insurance listed in Article 9.2 of this Agreement are to be issued by an issuer with a current A.M. Best Rating of A:V and who is authorized to transact business in the State of California, unless otherwise approved by the City.

I. Verification of Coverage

Consultant shall furnish the City with endorsements and certificates of insurance evidencing coverage required by this clause. The certificates for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. The certificates are to be on forms acceptable to the City. Where required by statue, forms approved by the Insurance Commissioner are to be submitted. All certificates are to be received and approved by the City before work commences.

J. Special Risks/Circumstances

City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances and provide notice to Consultant.

10. MISCELLANEOUS

10.1 This Agreement shall be binding on the heirs, executors, assigns and successors of Consultant.

10.2 Neither party may assign this Agreement, or any portion hereof, without the prior written consent of the other.

10.3 This Agreement shall not be construed to alter, affect, or waive any lien or stop notice rights, which Consultant may have for the performance of services pursuant to this Agreement.

10.4 Neither party’s waiver of any term, condition or covenant, or breach of any term, condition or covenant shall be construed as the waiver of any other term, condition or covenant or waiver of the breach of any other term, condition or covenant.

10.5 This Agreement contains the entire Agreement between City and Consultant relating to the project and the provision of services to the project. Any prior agreements,

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promises, negotiations, or representations not expressly set forth in this Agreement are of no force or effect. Subsequent modifications to this Agreement shall be in writing and signed by both City and Consultant.

10.6 If any term, condition or covenant of this Agreement is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions of this Agreement shall be valid and binding on City and Consultant.

10.7 This Agreement shall be governed and construed in accordance with the laws of the State of California.

10.8 All changes or amendments to this Agreement must be in writing and approved by all parties.

10.9 The initial contract term shall commence upon execution of the contract by the City and shall be for a two (2) month period, unless terminated sooner in accordance with the contract. The City of Campbell at its sole discretion may elect to extend the contract up to two (2) consecutive six-month periods by providing written notice to Consultant not less than thirty (30) days prior to expiration of the original or extended term. The total length of the contract shall not exceed a period of one year. Annual contractual costs shall be equal to the April - to-April San Francisco-Oakland-San Jose Consumer Price Index-All Urban (CPI-U) in an amount not to exceed five percent (5%), but not lower than three percent (3%), annually, on July 1 of each contract renewal if executed.

10.10 Consultant owes the City a duty of undivided loyalty in performing the work and services under this Agreement, including, but not limited to, the obligation to refrain from having economic interests and/or participating in activities that conflict with the City’s interests in respect to the work and/or services and project. The Consultant shall list current clients who may have a financial interest in the outcome of this Agreement. The Consultant hereby certifies that it does not now have, nor shall it acquire any financial or business interest that would conflict with the performance of services under this agreement. Consultant shall not make or participate in making or in any way attempt to use Consultant’s position to influence a governmental decision in which Consultant knows or has reason to know Consultant has a direct or indirect financial interest other than the compensation promised by this Agreement.

Consultant will immediately advise the City if Consultant learns of a financial interest of Consultant's during the term of this Agreement.

10.11 City is a public agency subject to the disclosure requirements of the California Public Records Act (“CPRA”). If Consultant’s proprietary information is contained in documents or information submitted to City, and Consultant claims that such information falls within one or more CPRA exemptions, Consultant must clearly mark such information “Confidential and Proprietary,” and identify the specific lines containing the information. In the event of a request for such information, City will make best efforts to provide notice to Consultant prior to such disclosure. If Consultant contends that any documents are exempt from the CPRA and wishes to prevent disclosure, it is required to obtain a protective order, injunctive relief or other appropriate remedy from a court of law in Santa Clara County before the City is required to respond to the

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CPRA request. If Consultant fails to obtain such remedy within the time the City is required to respond to the CPRA request, City may disclose the requested information without any liability to Consultant. Consultant further agrees that it shall defend, indemnify and hold City harmless against any claim, action or litigation (including but not limited to all judgments, costs, and attorney’s fees) that may result from denial by City of a CPRA request for information arising from any representation, or any action (or inaction), by the Consultant.

10.12 Neither party hereto shall be considered in default in the performance of its obligation hereunder to the extent that the performance of any such obligation is prevented or delayed by an act of God, natural disaster, pandemic, acts of terrorism, war, or other peril, which is beyond the reasonable control of the affected party and without the negligence of the respective Parties. Each party hereto shall give notice promptly to the other of the nature and extent of any Force Majeure claimed to delay, hinder or prevent performance of the services under this Agreement. Each Party will, however, make all reasonable efforts to remove or eliminate such a cause of delay or default and will, upon the cessation of the cause, diligently pursue performance of its obligations in this Agreement. In the event either party is prevented or delayed in the performance of its respective obligation by reason of such Force Majeure, there may be an equitable adjustment of the schedule and Consultant compensation based on City’s sole discretion.

10.13 Except as City may specify in writing, Consultant shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Consultant shall have no authority, express or implied, pursuant to this Agreement to bind City to any obligation whatsoever.

10.14 Consultant warrants that Consultant, its subcontractors and/or agents (if any) has/have complied with any and all federal, state, and local licensing requirements

10.15 Each party acknowledges that it has reviewed this Agreement and that the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement.

10.16 The signatories to this Agreement warrant and represent that each is authorized to execute this Agreement and that their respective signatures serve to legally obligate their respective representatives, agents, successors and assigns to comply with the provisions of this Agreement.

10.17 This Agreement is entered into, and to be performed in Santa Clara County, California, and any action arising out of or related to this Agreement shall be maintained in a court of appropriate jurisdiction in Santa Clara County, California.

10.18 This Agreement may be executed in counterparts which shall, in the aggregate, be deemed an original but all of which, together, shall constitute one and the same instrument. A scanned, electronic, facsimile or other copy of a party’s signature shall be accepted and valid as an original.

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11. NOTICES

Notices required under this Agreement may be delivered by first class mail addressed to the appropriate party at one of the following addresses:

CITY: City of Campbell
Attention: Rob Eastwood
70 North First Street
Campbell, CA 95008

CONSULTANT: _________________________________
Attention: _________________________

[SIGNATURES ON FOLLOWING PAGE]

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Having read and understood the foregoing Agreement, the undersigned parties agree to be bound hereby:

CONSULTANT

By

CITY OF CAMPBELL

By

Title Title

Approved as to Form

City Attorney

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City
Council
Report

TITLE: Resolution to Authorize the City Manager to Execute a Consultant Services Agreement with HouseKeys, Inc. (Resolution/Roll Call Vote) (PLN-2022-50)

RECOMMENDED ACTION

That the City Council adopt a Resolution authorizing the City Manager to execute a one- year Consultant Services Agreement with HouseKeys, Inc. to serve as the City’s Below - Market Rate Program Administrator.

BACKGROUND
In June 2016, the City of Campbe ll hired HouseKeys, Inc. to serve as the City’s Below Market Rate (BMR) Housing Program Administrator. The contract has been renewed annually since that time and the current contract terminates on June 30, 2022.

DISCUSSION
The purpose of this meeting is t o provide an update on housing program activities over the past year, consider the renewal of Housekeys , Inc. contract including an increase in the flat rate program administration fee and proposed amendments to contract terms and deliverables identified by staff and HouseKeys , Inc. as part of the March 15, 2022, Below-Market Rate Program Improvements Report ( Attachment D). Further, this item serves to provide an update to the Council on the Housing Program Audit to be completed later this year.

Housing Program Update
For the BMR ownership and rental program, HouseKeys , Inc. continues to provide support for applicant service requests, conduct introductory homebuyer education/training workshops and orientation classes (conducted online in response to COVID-19), prepare income qualifications, coordinate complete and accurate document transmittals, prepare and record agreements and other legal documents, and prepare and ensure timely delivery of all necessary escrow documents.

In support of the BMR program, HouseKeys, Inc. also continues to conduct annual BMR compliance monitoring, maintain a list of eligible and qualified BMR homebuyers, maintain a list of approved loan officers and lending operations, act as transaction coordinator for all real estate transactions, and provide annual updates to the County on the resale value of all BMR homes.

Item: 21
Category: NEW BUSINESS
Meeting Date: June 7, 2022
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HouseKeys also investigates potential BMR compliance issues and processes enforcement procedures (e.g., timelines and legal actions) in accordance with the BMR Guidelines approved in November of 2018 ( Attachment G – BMR Guidelines; established by Resolution No. 12375) and Council direction. An expanded discussion on enforcement efforts has been provided under the section entitled ‘Compliance Program’.

BMR Rental Progra m: The BMR rental program currently includes 51 rental units 1 spread across five (5) apartment developments: Alvin’s Corner (Hamilton Ave.), Merrill Gardens (Winchester Blvd.), Revere (Bascom Ave.), St. Anton (Railway Ave.), and Winchester Station (Winchester Blvd.).

Rental Opportunity Drawings: In 2021, HouseKeys facilitated six drawings (lotteries) for the rental program which are summarized below:

# Index Project Name Unit Type # Of Applications
1 182 Merrill Gardens Very Low – 1 Bedroom 11
2 195 Revere Apartments Very Low – 1 Bedroom 35
3 209 Merrill Gardens Very Low – Studio 25
4 239 Railways Very Low – 1 Bedroom 296
5 336 Alvin’s Corner Low – Studio 110
6 351 Alvin’s Corner Moderate – 1 Bedroom 19
Total Applications 496

No rental units were added or removed from the program in the past year.

Rental Program Summary:
➢ 6 vacancies that drew in 496 applications.
➢ Certified/Current – 51 units
➢ One (1) active enforcement case

BMR Homeowner Program : The BMR ownership program currently includes 84 units spread across 16 developments, including: Orchard Grove, Grant Street, Ainsley Place, Campbell Manor, Heritage Place, Park Town Place, Sonata Place, George Court, Hamilton Square, North Second Street, Maravilla, Penny Lane, Palomar, Cottage Place, Madison, and Town 38. Units included in the homeowner program either have resale restrictions2, City financing (loans), or a combination of resale restrictions and City financing. All units are annually certified by HouseKeys including six (6) that are managed by Habitat for Humanity. While no ownership units were added to the program in the past year, one unit was removed having fulfilled its loan obligation.

1 Campbell is also home to a number of affordable rental developments that do not have oversight by the City or the BMR Administrator (Avalon, Corinthian, El Parador, San Tomas Gardens, Rincon Gardens, Sharmon Palms, Wesley Manor), although HouseKeys does co llect data on some of these programs (e.g., Avalon, San Tomas Gardens and Sharmon Palms).
2 Resale restrictions include term limits (i.e., 25, 30, 35, or 45-year term limits) and affordability limits (i.e. low, moderate).
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Ownership Opportunity Drawings : In 2021, HouseKeys facilitated five drawings (lotteries) for the homeowner program which are summarized below:

# Index Project Name Unit Type # Of Applications
1 224 Madison Resale Honeydew Moderate 4 Bd 212
2 233 Madison Resale Lottie Lane Moderate 4 Bd 198
3 251 Madison Resale Sunsweet Moderate 4 Bd 72
Total Applications 482

Service Tickets: In 2021, HouseKeys received thirty (30) service tickets. Most of these tickets were homeowners exploring options to refinance their units given historically low interest rates (3 of the 15 tickets refinanced), while other requests involved general program questions, remodeling, and unit resale procedures.

General Remodel Refinance Resale Total
Ticket Count 4 4 15 7 30

Homeowner Program Summary:
➢ There were three resales that drew 482 applications
➢ There are two pending projects (Parkview & Oak Tree Circle) ➢ Certified/Current – 80 units (including 6 Habitat for Community units) ➢ 4 active enforcement cases

Loan Program: HouseKeys also manages the City’s affordable housing revolving loan program. Management of the loan program includes processing and underwriting refinance requests, calculating all pay -off demands, preparing, an d processing all loan documents, issuing required disclosures and tax forms, and collecting pay -off of first - time homebuyer loans issued by the City when loans were actively being provided to Campbell residents. The loan program also includes coordination with the City Finance Department to complete reports to the State for funds awarded to the City (e.g., BEGIN funds).

In 2021, the City of Campbell had $7.7 million in outstanding loans consisting of $3.5 million invested into the Maravilla development, $2.3 million in BEGIN loans, $1.4 million in the rehabilitation loans, and $532,000 in first time home buyer loans. From these loans (as well as cash holdings) the City receives approximately $80,000 in annual interest payments. All loans in the portfolio ar e considered ‘current’ since there are no performing notes (notes with monthly amortizing payments made by the borrower). Principal and interest are generally due at time of sale or default and are not paid on a monthly or annual basis.

Compliance Program : When HouseKeys was hired to serve as the City’s BMR Housing Program Administrator in 2016, the City did not have clearly established reporting or enforcement procedures. In November of 2018, the City Council approved BMR Guidelines which included actions and timelines for compliance (reference 21 Packet Pg. 244
Housing Program Update and HouseKeys Consultant Services Agreement Page 4 of 8 Attachment G – BMR Guidelines; established by CC Resolution 12375).

Rental Program Compliance : Compliance efforts for the rental program have been largely successful with all 51 units in the program being certifie d/current. Despite all rental units being certified/current, in 2021 the City of Campbell and HouseKeys were named in a lawsuit involving an eviction case involving a rental unit which was found to be non-compliant and moved out in 2020. While this case wa s tendered to HouseKeys 3 in accordance with the indemnity agreement contained within the consultant services agreement, the cost to defend the City in such cases has resulted in a request to amend the consultant service agreement (see ‘Proposed Amendments to Consultant Services Agreement’).

Homeownership Program Compliance : The homeownership program currently has 80 out of its 84 units in good standing. In November of last year, the City Council met to discuss the four (4) non -compliant homeownership prog ram units. Two cases are active, with one in litigation and one moving towards settlement. The two remaining cases have been authorized for legal action and are pending startup on the approval of billing related to active cases. HouseKeys has engaged legal counsel to handle both pending cases.

Given the 2021 revelations about indemnity language, HouseKeys has suspended homeowner re -certification and intends to restart this effort once the contract is amended to include language that exempts HouseKeys from having to provide indemnity if they are merely carrying out the express direction of the City (see ‘Proposed Amendments to Consultant Services Agreement’).

Amendments to Service Agreement / Program Improvements: Recognizing that last year marked the City’s 5th year of partnership with HouseKeys, the City Council directed staff to hold a meeting to discuss opportunities to improve the program. On March 15, 2022, the Council received a staff report on potential improvements to the Below-Market Rate Housing Program ( Attachment D ). This report included several “ near-term improvements” which could be addressed as part of the consultant services agreement and identified “long -term challenges” which would be evaluated as part of a housing program audit (see ‘Hous ing Program Audit’). In response to the “ near-term improvement” items identified in the March 15, 2022, report, staff and HouseKeys have proposed the following amendments to the consultant service agreement:

Staff Amendments: The following changes have been proposed by staff:

1. Updated scope of services to include a list of reports and materials to be prepared by HouseKeys each year as well as items requiring routine maintenance (i.e., annual pricing guides)

3 As well as to Robson Homes under a separate Agreement. 21 Packet Pg. 245
Housing Program Update and HouseKeys Consultant Services Agreement Page 5 of 8

2. Updated the performance measures in the scope of services to provide deadlines for items included in the scope of services.

3. Removed outdated performance measures and references.

4. Included a requirement to update the BMR Owner/Application Participation Guide to clarify the pricing procedures and repair r equirements, and recertification requirements. (Note: This will need to return to Council for approval).

5. Included a requirement to update the BMR Rental Application/Participation Guide to clarify the maximum number of occupants allowed in a studio unit, a nd recertification requirements. (Note: This will need to return to Council for approval).

For a detailed review of changes, please refer to the redlined version of the Consultant Services Agreement (Attachment C).

HouseKeys Amendments : In addition to t he staff recommendations listed above, HouseKeys has proposed amendments to the indemnity language contained in Section

9.1 of the consultant contract and an increase to the flat rate program administration fee charged to the City as follows:

1. Changes to Indemnity Language: Section 9.1 of the Consultant Services Agreement requires HouseKeys to indemnify and defend the City from claims caused by or arising out of the program. As a result, HouseKeys is responsible for the legal costs of defending the City ag ainst legal challenges resulting from administration of the program, even where there is no fault by HouseKeys, in the services they provide. As such, HouseKeys has proposed amendments to this language to clarify circumstances in the agreement where HouseK eys will be responsible for legal costs.

➢ Staff Recommendation : Staff is supportive of the proposed changes to the indemnity language identified in Section 9.1 of the consultant contract that would apply to any new cases.

2. Increase to Program Administrat ion Fee : As part of the proposed service agreement, HouseKeys would raise the flat rate fee from $137,200 to $160,000 ($22,800 ~ 16.6% increase) but continue to collect the same transaction fees for processing loan payoffs and subordination requests (paid by borrower/lender), new BMR sales (paid by developer/buyer), and existing BMR re -sales (paid by BMR buyer).

➢ Staff Recommendation : Staff is supportive of the proposed increase to the program administration fee recognizing that HouseKeys has maintained t he same flat rate service fee of $137,200 since 2016, and the purchasing power of $137,200 in 2022 terms would be closer to $165,000 (based on the U.S.

Bureau of Labor Statistics CPI Inflatio n Calculator; June 2016 to April 2022 period).
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Housing Program Update and HouseKeys Consultant Services Agreement Page 6 of 8

Housing Program Audit: As part of the FY21/22 mid-year budget update, the Council authorized hiring an outside housing program expert to audit the City’s Housing Program and make recommendations for its sustainable growth and the development of a resilient fiscal and management model. On May 13, 2022, the City released a Request for Proposals (RFP) which outlines a preliminary scope of work , schedule, and deliverables, and provided an update to Council within an informational memo (reference Attachment E & F, respectively). Following the selection of a consultant this summer, results from the audit will be received by the end of this year an d recommendations could be used to inform the consideration of HouseKeys contract for next year.

FISCAL IMPACT
The $160,000 Program Administration Fee included in the Proposed Scope of Services and Fee Schedule would be paid out of a special fund 4 created after the dissolution of the City’s Redevelopment Agency. The fund has adequate reserves to cover the cost of the contract and earns approximately $80,000 a year from interest on loan payments and cash holdings as well from surplus payments/excess sale proceeds.

HouseKeys also collects transaction fees which are paid for by new program applicants and existing program participants – at no cost to the City. Accounting for all fees collected in FY 21/22, and the proposed flat rate fee for FY22/23, the total value of the contract is approximately $244,802.645 as summarized in the table below:

Description Fee Billed To Collected
Program Administration Fee $160,000 City $160,000
Loan Processing Transaction Fee $1,250 per transaction Owner/Lender $3,750 New BMR Sales Transaction Fee 3% of sales price Buyer (via Sales Price) $0 BMR Resale (3 Transactions) 6% of new sales price Buyer (via Sales Price) $80,115.14 Opportunity Drawing Entry Fee $25.00 Applicant $0
Application Fee $75.00 Applicant $0
Projects Outside Scope $250.00 City $0

4 Created following the dissolution of the redevelopment agency, Fund 233 is a successor agency fund which has restrictions on its use. Generally, the fund may be used for monitoring and preserving affordability covenants, administrative costs, homeless prevention, and development of affordable housing. The services offered by HouseKeys is consistent with the fund restrictions.
5 The City reported value to be closer to $350,000 in 2020, and $177,000 in 2021, based on fees collected those years.
21 Packet Pg. 247
Housing Program Update and HouseKeys Consultant Services Agreement Page 7 of 8 Gross Total
(including City share of loan processing fees)
$243,865.14
(Less) City Share of Loan
Processing Transaction Fee
$937.50
Net Proceeds to HouseKeys $244,802.64

While program expenditures will be satisfi ed by existing funding sources for several more years, the expert hired to audit the program will help develop a resilient fiscal and management model as part of the “long -term” program improvements (see ‘Housing Program Audit’).

ALTERNATIVES

1. Request a m odified BMR Administrator contract (e.g., scope of work, budget, duration) to be returned to the City Council.

2. Do not renew the BMR Administrator contract and consider alternatives to how the City manages Campbell’s housing programs, such as hiring in -house staff, a different consultant, or developing partnerships with other agencies.

3. Accept the proposed contract and allow the City Manager to renew future agreements since such expenses are already included in the Department budget request.

Prepared by:

Stephen Rose, Senior Planner

Reviewed by:

Rob Eastwood, Community
Development Director

Approved by:

Angelique Gaeta, Assistant City
Manager
21 Packet Pg. 248
Housing Program Update and HouseKeys Consultant Services Agreement Page 8 of 8

Attachment:
a. Draft Resolution
b. Proposed Consultant Service Agreement (FY22-23)
c. Redlined Consultant Service Agreement (FY22-23)
d. Below-Market Rate Program Improvement Report, March 15, 2022 e. Request for Proposals - Housing Program Audit
f. Memo to Council - Housing Audit Consultant, May 19, 2022 g. BMR Guidelines; established by CC Res. 12375
21 Packet Pg. 249

RESOLUTION NO. ______________

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAMPBELL AUTHORIZING

THE CITY MANAGER TO EXECUTE THE BELOW MARKET RATE HOUSING

PROGRAM ADMINISTRATOR PROFESSIONAL SERVICES AGREEMENT WITH HOUSEKEYS, INC.

WHEREAS, in June of 2016, the City Council selected HouseKeys to serve as the City’s Below Market Rate (BMR) Housing Program Administrator and authorized the City manager to execute a professional services agreement; and

WHEREAS, the professional services agreement wi th House Keys has been annually renewed since that time; and

WHEREAS, on May 4, 2021, the Council authorized the City Manager to execute a one-year contract w ith HouseKeys , Inc. to administer the City’s Below Market Rate Program; and

WHEREAS, the current one-year contract is set to expire on June 30, 2022; and

WHEREAS, the cost of the Program is partially subsidized through the Administrator’s collection of transaction fees charged to program participants (e.g., developers, applicants, homeowners, rental tenants, and lenders); and

WHEREAS, the City Council held a public meeting and approved the scope of work (Exhibit A to proposed Agreement in Attach ment B to Staff Report ) and proposed fee schedule (Exhibit B to proposed Agreement in Attachment B to Staff Report).

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Campbell hereby authorizes the City Manager to execute a one-year Professional Service s Agreement with HouseKeys , Inc . in substantially the form and co ntent set forth in Attachment B to the Staff Report.

PASSED AND ADOPTED this ____ day of _______, 20 22, by the following roll call vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:

APPROVED:

_________________________
Paul Resnikoff, Mayor

ATTEST:

Dusty Christopherson, City Clerk

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CITY OF CAMPBELL

CONS ULTANT SERVICES AGREEMENT

This Agreement is entered into at Campbell, California on the 30th day of June, 2022, by and between the CITY OF CAMPBELL (hereinafter referred to as "City") and HouseKeys Inc., a California Corporation (hereinafter referred to as "Consultant").

WHEREAS, City desires to obtain consulting services for the purpose of Below Market Rate Housing Program Administration; and

WHEREAS, Consultant represents that it has the expertise, means, and ability to perfor m said Below Market Rate Housing Program Administration.

NOW, THEREFORE, in consideration of each other's mutual promises, Consultant and City agree as follows:

1. DUTIES OF CONSULTANT

1.1 Consultant agrees to perform services as set forth in Exhibit A - Scope of Services, attached hereto and incorporated herein by reference, and which shall be interpreted together and in harmony with this Agreement. In the event of any conflict between Exhibit A and this Agreement, this Agreement shall govern, control, and take precedence.

1.2 Consultant’s project manager will meet with the City’s project coordinator prior to commencement of the project to establish a clear understanding of the working relationships, authorities, and management philosophy of City as it relates to this Agreement.

1.3 Consultant, working with the City, will gather available existing information concerning the project, and shall review documents as necessary for compliance with the project’s objectives.

1.4 In performance of this Agreement by Consultant, time will be of the essence.

1.5 Notwithstanding Section 1.4, Consultant shall not be responsible for delay caused by activities or factors beyond Consultant’s reasonable control, including delays or by reason of strikes, work slow-downs or stoppages, or force majeure.

1.6 Consultant agrees to perform this Agreement in accordance with the highest degree of skill and expertise exercised by members of Consultant’s profession working on similar projects under similar circumstances.

1.7 Consul tant shall cooperate in good faith with City in all aspects of the performance of this Agreement.

1.8 In the course of the performance of this Agreement, Consultant shall act in the

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City’s best interest as it relates to the project.

1.9 The designated proj ect manager for Consultant shall be Julius Nyanda. The Consultant’s project manager shall have all the necessary authority to direct technical and professional work within the scope of the Agreement and shall serve as the principal point of contact with the City and the City’s project coordinator. The authorized principal of Consultant executing this Agreement for the Consultant shall have authority to make decisions regarding changes in services, termination and other matters related to the performance of this agreement on behalf of Consultant.

1.10 The Consultant (and its employees, agents, representatives, and subconsultants), in the performance of this Agreement, shall act in an independent capacity and not as officers or employees or agents of th e C ity. The City shall not direct the work and means for accomplishment of the services and work to be performed hereunder. The City, however, retains the right to require that work performed by Consultant meet s pecific standards consistent with the requirements of this Agreement without regard to the manner and means of accomplishment thereof. Subcontractors shall assume all of the rights, obligations and liabilities, applicable to it as an independent contracto r hereunder. Consultant represents and war rants that it (i) is fully experienced and properly qualified to perform the class of work and services provided for herein, (ii) has the financial capability and shall finance its own operations required for the performance of the work and services and (i ii) is properly equipped and organized to perform the work and services in a competent, timely and proper manner in accordance with the requirements of this Agreement.

1.11 This Agreement contains provisions tha t permit mutually acceptable changes in the scope, character or complexity of the work if such changes become desirable or necessary as the work progresses. Adjustments to the basis of payment and to the time for performance of the work, if any, shall be e stablished by a written contract amendment (approved and executed by the City) to accommodate the changes in work.

2. DUTIES OF CITY

2.1 City shall furnish to Consultant all available and pertinent data and information requested by Consultant to facilitate the preparation of the documents called for in this Agreement. Consultant shall be entitled to reasonably rely on all such information.

2.2 City shall provide contract administration services. City shall notify Consultant of required administrative procedures and shall name representatives, if any, authorized to act in its behalf.

2.3 City shall review documents submitted by Consultant and shall render decisions pertaining thereto as promptly as reasonably possible.

3. COMPENSATION

3.1 For the full pe rformance of the services described herein by Consultant, City agrees to compensate Consultant for all services and direct costs associated with the performance

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of the project in an amount not to exceed $160,000 paid in monthly installments of 13,333.33 per month, as follows:
a. Once each month, Consultant shall submit for payment by City, an itemized invoice for services performed during the previous billing period. The invoice shall describe the services rendered and the title of the item of work, and shall list labor hours by personnel classifi cation.

Said invoice shall be based on all labor and direct expense charges made for work performed on the project. Labor charges shall be in accordance with the f ee schedule found in Exhibit A of this Agreement. City shall pay Consultant for services rendered and approved by the City within 30 days from the date the itemized invoice is received by the City, subject to the maximum not to exceed amount specified above and the City’s right to object. b. Direct co sts are those outside costs incurred on or directly for the project, and substantiated with invoices for the charges. Direct expenses include printing, reproduction, and delivery charges.

3.2 If Consultant incurs other costs which are not specifically covered by the terms of this Agreement, but whic h are necessary for performance of Consultant’s duties, City may approve payment for said costs if authorized in writing by the City in advance. However, Consultant may retain outside legal counsel from time to time, without prior written consent by the City, to assist Consultant with legal matters within the scope of this Agreement, so long as outside legal fees are at the Consultant’s sole.

3.3 City may order changes in the scope or character of services in wr iting, including decreasing the amount of C onsultant’s services. In the event that the work is decreased, Consultant is entitled to full compensation for all services performed and expenses incurred prior to receipt of notice of change. Under no conditions shall Consultant make any changes to the work, either as additions or deductions, without the prior written order of the City. In the event, that the City determines that a change to the work or services from that specified in this Agreement is required, the contract time and/or actual costs reim bursable by the City for the project may be adjusted by contract amendment or change order to accommodate the changed work. The maximum not to exceed total amount specified in this Article 3 (Compensation) shall not be exceeded, unless authorized by writte n c ontract amendment or change order, approved and executed by the City. Consultant shall obtain prior written approval for a revised fee schedule from the City before exceeding such fee schedule.

3.4 In no event, will the Consultant be reimbursed for a ny costs or expenses at any rates that exceed the rates for set forth in the fee schedule found in Exhibit B.

4. SUBCONSULTANTS

4.1 Consultant may not subcontract any services required under this Agreement without the prior written consent of the City.

4.2 Consultant shall be responsible to City for the performance of any and all

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subconsultants who perform work under this contract, and any acts of negligence or misconduct on their part. Consultant is solely responsible for all payments due to subconsultants.

4.3 Nothing contained herein or otherwise shall require Consultant to obtain written approval by the City for the performance of certain duties under this Agreement by Consultant’s related entities, including HouseKeys Services Corporation, a California corporation for brokerage and lending services and HouseKeys Resource and Education Center, Inc., a California public benefit corporation, for housing and property acquisition and redevelopment activity in connection with this Agreement. Furthermore, C onsultant’s related entities shall not be considered subconsultants under this Agreement.

5. OWNERSHIP OF DOCUMENTS AND MATERIALS
All original drawings, documents, papers, data, materials, photographs, negatives and other work products prepared by the Consultant and/or its subconsultants in the performance of the services encompassed in this Agreement (whether in printed or electronic format) (“project- related documents and materials) shall be the property of the City and may be used on this project without the consent of the Consultant or its subcontractors. City acknowledges that such drawings, documents, and other items are instruments of professional services intended for use only on the subject project. Consultant agrees that all copyrights which ar ise from creation of the Project -related documents and materials pursuant to this Agreement shall be vested in the City and waives and relinquishes all claims to copyright or other intellectual property rights in favor of the City. Upon the completion or termination of this Agreement for any reason, the City shall be entitled to receive, and Consultant shall promptly provide to the City upon request, all finished and unfinished project -related documents and materi als, produced or gathered by or on behalf o f Consultant that are in Consultant’s possession, custody or control. Consultant may retain copies of said documents and materials for its files. In the event of termination, any dispute regarding compensation or damages shall not hinder, prevent, or other wise impact the City’s right to promptly receive and use such documents and materials which are the sole and exclusive property of the City.

6. TERMINATION
Notwithstanding any other provision of this Agreement, City may terminate this Agreement at any time, with or without cause, in its sole discretion, by giving notice in writing to Consultant of such termination. In the event of such termination, Consultant shall have the right and obligation to immediately assemble the work then in progress for the purpose of completing the work and turning over all materials and documents to City. In the event of such termination, Consultant shall be compensated for all work and services performed to the point of termination in accordance with the payment provisions set forth in Section 3.1, unless the termination is for cause, in which event Consultant need be compensated only to the extent required by law.

7. AUDIT AND INSPECTION
Consultant shall permit authorized representatives of City to inspect and audit all da ta and

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records relating to its performance under this Agreement for a period of three years following acceptance of the final study.

8. EQUAL EMPLOYMENT OPPORTUNITY
Consultant agrees to refrain from discriminatory employment practices on the basis of race, religious creed, color, sex, national origin, handicap, sexual orientation, or ancestry of any employee of, or applicant for employment with, such Consultant or subcontractor.

9. INSURANCE AND INDEMNIFICATION

9.1 The parties acknowledge that this Agreemen t does not involve any design professional services from the Consultant.

With respect to all matters, Consultant agrees to indemnify, defend (with counsel reasonably satisfactory to the CITY) and hold harmless the CITY, its officers, officials, directors, agents representatives, volunteers, and employees to the fullest extent allowed by law from any and all claims, actions, causes of action, loss es, damages, liabilities and costs of every nature, including but not limited to all claims, actions, causes of action, losses, damages, liabilities for property damage, bodily injury, or death, and all costs of defending any claim, caused by or arising out of, or alleged to have been caused by or arise out of, in whole or in part, Consultant’s performance under this Agreement, except for any claims, actions, causes of action, losses, damages, costs or liabilities proximately caused by:

(a) Consultant ministerially carrying out the express written direction of the City involving no discretion on the part of the Consultant;

(b) The sole negligence or willful misconduct of City.

City shall not be liable for acts of Consultant in performing services described herein.

In no event shall this section be construed to require indemnification by the Consultant to a greater extent than permitted under the public policy of the State of California; and in the event that this contract is subject to California Civil Code section 2782(b), the foregoing indemnity provisions shall not apply to any liability for the active negligence of the City.

Nothing contained in this provision shall be construed as relieving the Consultant from any obligation to provide indemnity or defense that was undertaken pursuant to any prior contract between the parties.

The defense and indemnity provisions obligations of this Agreement are undertaken in addition to, and shall not in any way be limited by the insurance obligations contained in this Agreement.

The foregoing indemnity provisions are intended to fully allocate the parties’ risk of liabil ity to third-parties; and there shall be no rights to indemnity or contribution, in law or equity or otherwise between the parties that are not set forth in this section. Consultant waives all rights to subrogation for any matters covered by the provisions of this section. Consultant’s responsibility

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for s uch defense and indemnity obligations as set forth in this section shall survive the termination or completion of this Agreement for the full period of time allowed by law.

9.2 Consultant shall maintain insurance conforming to the following specifications to the fullest amount allowed by law for a minimum of two years following the termination or completion of this Agreement:

A. Types of Coverage
The policies shall afford the following types of coverage:

1. Commercial General Liability;

2. Automotive;

3. Workers’ Compensation and Employer Liability; and

4. Professional Liability and/or Errors and Omissions
B. Minimum Scope of Insurance
Coverage shall be at least as broad as:

1. For Commercial General Liability: Insurance Services Office (ISO) CGL Form 00 01 11 85; and

2. For Automotive Liability: ISO CA 00 01 06 92 including symbol 1(any auto); and

3. For Workers’ Compensation: insurance as required by the Labor Code of the State of California and Employer's Liability insurance; and

4. For Professional Liability and/or Errors and Omissions: insurance covering negligence committed by or on behalf of Consultant in rendering services to City.

C. Minimum Limits of Insurance
Consultant shall maintain limits no less than:

1. General Liability: $1,000,000 combined single limit per occurrence for bodily, personal injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate li mit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit.

2. Automobile Liability: $1,000,000 combined single limit per accident for

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bodily injury and property damage.

3. Workers’ Compe nsation and Employer's Liability: Workers’ Compensation limits as required by the Labor Code of the State of California and Employer's Liability limits of $1,000,000 per accident.

4. Professional Liability and/or Errors and Omissions: $1,000,000 per cla im and $2,000,000 in the annual aggregate.

The limits of insurance required in this Agreement may be sati sfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City (as agreed to in this Agreement) before the City’s own insurance or self -insurance shall be called upon to protect it as a named insured.

D. Deductible and Self-Insured Retention
Any deductibles or self-insured retention must be declared to and approved by the City, and shall not reduce the limits of liability. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or sel f-insured retention as respects the City, its agents, officers, attorneys, employees, officials and volunteers; or the Consultant shall procure a bond guaranteeing payment of losses related to investigations, claim administration, and defense expenses. Poli cies containing any self -insured retention provision shall provide or be endorsed to provide that the sel f-insured retention may be satisfied by either the named insured or the City.

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

1. General Liability and Automobile Liability Coverage:
a. The C ity, its agents, officers, attorneys, employees, officials and volunteers are to be covered as additional insureds as respects: liability arising out of this Agreement performed by or on behalf of the Consultant, products and completed operations of the Consultant, premises owned, occupied or used by the Consultant, or automobiles owned, leased, hired or borrowed by the Consultant. It is a requirement o f this Agreement that any available insurance proceeds broader than or in excess of the specified minimum insurance coverage requirements and/or limits set forth in this Agreement shall be available to the City as an additional insured. Furthermore, the re quirements for coverage and limits shall be (1) the minimum coverage limits specified in this Agreement, o r (2) the broader coverage and maximum limits of coverage of any insurance policy or proceeds available to the named insured, whichever is affords greater coverage. b. The Consultant's insurance coverage shall be primary insurance as

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respects the City, its agents, officers, attorneys, employees, officials and volunteers. Any insurance or self -insurance maintained by the City, its agents, officers, attor neys, employees, officials and volunteers shall be excess of the Consultant's insurance and shall not contribute with it. c. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the City, its agents, officer s, attorneys, employees, officials, and volunteers.
d. The Consultant's insurance shall apply separately t o each insured against whom claim is made or suit is brought except with respect to the limits of the insurer's liability.

2. Workers’ Compensation and Employer’s Liability Coverage: The insurer shall agree to waive all rights of subrogation against the City, its agents, officers, attorneys, employees, officials, and volunteers for losses arising from work performed by the Consultant for the City.

3. All Coverages: Any unintentional failure to comply with reporting provisions of the policies shall not affect coverage provided to the City; and unless otherwise approved by the City, each insurance policy required by this clause shall be endorsed to state t hat coverage shall not be canceled by either party, except after thirty (30) days prior written notice by regular mail has been given to the City, or ten (10) days for cancellation for non- payment of premium.

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E. Suspension or Cancellation
If any of the c overages required by this Agreement should be suspended, voided, cancelled or reduced in coverage during the term of this Agreement, Consultant shall immediately notify City and replace such coverage with another policy meeting the requirements of this Agreement.

F. Subcontractors
Consultant agrees that any and all contracts with subcontractors for performance of any matter under this Agreement shall require the subcontractors to comply with the same indemnity and insurance requirements set forth in this Agr eement to the extent that they apply to the scope o f the subcontractors’ work. Subcontractors are to be bound to contractor and to City in the same manner and to the same extent as the Consultant is bound to City under this Agreement. Subcontractors shall further agree to include these same provisions with any sub- subcontractor. A copy of this Agreement will be furnished to the subcontractor on request. The Consultant shall require all subcontractors to provide a valid certificate of insurance and the required endorsements included in the Agreement prior to commencing any work, and will provide proof of compliance to the City.

G. Acceptability of Insurers
Without limiting Consultant's indemnification provided hereunder, the policies of insurance listed in Article 9.2 of this Agreement are to be issued by an issuer with a current A.M.

Best Rating of A:V and who is authorized to transact business in the State of California, unless otherwise approved by the City.

H. Verification of Coverage
Consultant shall furnish the City with endorsements and certificates of insurance evidencing coverage required by this clause. The certificates for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. The certificates are to be on forms acceptable to the City. Where required by statue, forms approved by the Insurance Commissioner are to be submitted. All certificates are to be received and approved by the City before work commences.

10. MISCELLANEOUS

10.1 This Agreement shall be binding on the heirs, executors, assigns and successors of Consultant.

10.2 Neither party may assign this Agreement, or any portion hereof, without the prior written consent of the other.

10.3 This Agreement shall not be construed to alter, a ffect, or waive any lien or stop notice rights, which Consultant may have for the performance of services pursuant to this Agreement.

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10.4 Neither party’s waiver of any term, condition or covenant, or breach of any term, condition or covenant shall be cons trued as the waiver of any other term, condition or covenant or waiver of the breach of any other term, condition or covenant.

10.5 This Agreement contains the entire Agreement between City and Consultant relating to the project and the provision of servic es to the project. Any prior agreements, promises, negotiations, or representations not expressly set forth in this Agreement are of no force or effect. Subsequent modifications to this Agreement shall be in writing and signed by both City and Consultant.

10.6 If any term, condition or covenant of this Agreement is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions of this Agreement shall be valid and binding on City and Consultant.

10.7 This Agreement shall be governed and construed in accordance with the laws of the State of California.

10.8 This Agreement may be executed in counterparts and will be binding as executed.

10.9 All changes or amendments to this Agreement must be in writing and approved by all parties.

10.10 The term of this Agreement shall commence upon execution of the Agreement and terminate on June 30, 20 23. Any extension of the Agreement shall be mutually agreed upon in writing and shall require an amendment to the Agreement signed by both parties.

10.11 Consultant owes the City a duty of undivided loyalty in performing the work and services under this Agreement, including, but not limited to, the obligation to refrain from having economic interests and/or participating in activities that conflict with the City’s interests in respect to the work and/or services and project. The Consultant shall list current clients who may have a financial interest in the outcome of this Agreement. The Consultant hereby certifies that it does not now ha ve, nor shall it acquire any financial or business interest that would conflict with the performance of services under this agreement. Consultant shall not make or participate in making or in any way attempt to use Consultant’s position to influence a governmental decision in which Consultant knows or has reason to know Consultant has a direct or indirect fin ancial interest other than the compensation promised by this Agreement.

Consultant will immediately advise the City if Consultant learns of a financia l interest of Consultant's during the term of this Agreement.

10.12 This Agreement is entered into, and to be performed in Santa Clara County, California, and any action arising out of or related to this Agreement shall be maintained in a court of appropriate jurisdiction in Santa Clara County, California.

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11. NOTICES
Notices required under this Agreement may be delivered by first class mail addressed to the appropriate party at one of the following addresses:

CITY: City of Campbell
Attention: City Manager
70 North First Street
Campbell, CA 95008

CONSULTANT: HouseKeys Inc.

Attn.: Julius Nyanda
409 Tennant Station Ste. 395
Morgan Hill, CA 95037

Having read and understood the foregoing Agreement, the undersigned parties agree to be bound hereby:

CONSULTANT

By: ____________________________________________
Julius Nyanda
CEO, HouseKeys Inc.

CITY OF CAMPBELL

By: _____________________________________________
Brian Loventhal
City Manager

Exhibit A – Scope of Services
Exhibit B – Fee Schedule

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BMR ADMINISTRATOR - HOUSEKEYS

The Scope of Work details the roles and responsibilities of the City and Consultant. The Schedule starts from the date the contract is fully executed by both parties.

1. Consultant will administer the program and assure BMR Deed Restrictions are recorded and followed by all parties as applicable for each property.

2. Consultant will provide offsite support for service requests. Orientations and workshops will be held in the City of Campbell.

3. Consultant will regularly update BMR gui delines and program materials in conjunction with City staff to reflect the Consultant’s administrative process for BMR Administration including, but not limited to: applications, program pamphlets, resale calculations, buyer selection process, sale and resale of units, refinancing requests, collection of City fees and other applicable fees, and default monitoring/resolution process.

4. Consultant shall prepare updates to the BMR Owner/Application Participation Guide (to add a reference to the pricing procedures , repair requirements, and clarify recertification requirements ) and BMR Rental Application/Participation Guide (to clarify the maximum number of occupants allowed in a studio unit, clarify recertification requirements, and include options for participants to exceed-income limits) for future consideration by the Council.

5. Consultant will maintain a BMR program website presence that will link to the City’s housing website.

6. Consultant will conduct annual recertification / monitoring of rental and ownership below market rate program units providing 30 days to submit recertification packages.

7. Consultant shall update pricing guides for below -market rate rental and homeownership units.

8. Consultant and the City have agreed to the following mutually acceptable performance measures for BMR program administration. These measures shall be
included in the quarterly BMR summary report.

a. General Inquiries: Respond within 48 business hours. b. Loan Requests: Respond within 48 business hours. Complete requests within reasonable time, with weekly status updates for outstanding requests. c. Orientations: Minimum 6 per year, with more as needed for new opportunities. d. Rental Vacancies: Fill vacancies within 60 days.

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e. Follow up letters sent at 60 and 90 days after the initial request for recertification packages before beginning enforcement procedures. f. Eligibility List: Maintain a minimum buyer-to-property ratio of 5:1. g. Application ID issuance: Issue upon receipt of request.

9. Consultant shall maintain the City’s existing records, databases, and files through a file retention and management system for the program. All electronic records will be considered work products that are property of the City of Campbell. The Consultant shall update the City’s records quarterly to ensure a coordinated seamless record keeping process. The database shall include the following at a minimum:

a. For each BMR / RDA Development (new and existing):
1) A list of all BMR / RDA units in the development
2) The date of the BMR / RDA developer agreement
3) BMR / RDA units lost, including date, reason for loss, initial sales price, resale price, and actions taken

b. For each owner unit (new and existing):
1) The address for each ownership unit
2) The level of affordability (e.g., Very Low, Low, Moderate) 3) The current owner of record
4) The expiration date of the owner agreement
5) The last date of recertification
6) The recertification status (updated annually)
7) The original sales price
8) The current resale restriction price
9) Dates of owner turn-over, as applicable

c. For each renter unit (new and existing)
1) The unit number for each rental unit
2) The level of affordability (e.g., Very Low, Low, Moderate) 3) The current tenant of record
4) The last date of recertification
5) The recertification status (updated annually)

d. For each affordable housing loan:
1) The type of loan (e.g., RDA, BEGIN, FTHB, etc.)
2) The address associated with the loan
3) The current owner of record (this should be the loan recipient) 4) The amount, term, and due date of the loan
5) dates of payoff and interest collected, as applicable 6) dates of refinance/subordination, as applicable
7) dates of write-off and amount, as applicable

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e. Other information as requested and mutually agreed to.

10. Consultant shall provide a quarterly BMR summary report to the City on the following dates and with the following information, consistent with task #5 and #6:

Q1 (July – Sept): October 30, 2022
Q2 (Oct – Dec): January 31, 2023
Q3 (Jan – March): April 30, 2022
Q4 (April – June): July 31, 2022
a. Performance Measures (see task #5)

b. For each owner unit (new and existing):
1) The address for each ownership unit
2) The level of affordability (e.g., Very Low, Low, Moderate) 3) The current owner of record
4) The last date of recertification and current recertification status

c. For each renter unit (new and existing)
1) The unit number for each rental unit
2) The level of affordability (e.g., Very Low, Low, Moderate) 3) The current tenant of record
4) The last date of recertification and current recertification status

d. For each affordable housing loan:
1) The type of loan (e.g., RDA, BEGIN, FTHB, etc.)
2) The address associated with the loan
3) The current owner of record (this should be the loan recipient) 4) The amount, term, and due date of the loan
5) D ates of payoff and interest collected, as applicable 6) D ates of refinance/subordination, as applicable
7) D ates of write-off and amount, as applicable

e. Current list of defaults and pending defaults
1) A ctions taken to date
2) N ext steps, including dates

f. In-lieu fees collected, if applicable

g. Other information as requested and mutually agreed to

11. Consultant will provide the applicants with the following services:
a. Conducting income qualifications including review of assets, income, verifications of employment and all other necessary approvals to ensure qualification for the City loans.

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b. Making minor revisions to the City’s existing program materials and legal documents.
c. Underwriting loan applications in accordance with program requirements. d. Preparing all loan documents, overseeing proper execution thereof, and conducting final loan approval reviews.
e. Ensuring timely delivery of all necessary documents into escrow, and preparing escrow demands and funding requests.
f. Overall management and implementation of specific program policies, including required reporting.
g. Preparation of program materials by revising the City’s current documents. h. Calculating all pay off demands and issuing any disclosures and tax forms as required by State and/or Federal Law.
i. Calculating the resale value of all BMR homes as requested annually by the County.
j. Work with City staff to ensure a seamless and coordinated development of documents as it relates to the BMR Program, including the RDO application process where BMR units are included, reviewing developer agreements, and ensuring that BMR requirements are outlined in an Affordable Housing Agreement and any subsequent amendments to the development documentation.

12. Consultant shall act as transaction coordinator for all real estate transactions and will provide the City with a fee schedule. Consultant will charge BMR re-sale transaction fees in line with applicable recorded Deed Restrictions. Consultant will charge the developer transaction coordination fees in accordance with the Affordable Housing Agreement pertaining to the subject development project.

13. Consultant will coordinate document transmittals between buyers, homeowners, developers, and City as needed. Consultant will be responsible for ensuring all documents submitted for City signatures are complete and accurate. Consultant will be responsible for making any necessary corrections to documents.

14. Co
nsultant shall work alongside Staff to conduct monitoring to annually evaluate BMR owners’ & renters’ compliance with the terms and conditions of the BMR recorded deed restrictions and program guidelines including the following:
a. Mailing monitoring letters to all the BMR units.
b. Reviewing in conjunction with City staff, City or County Assessor data to assist in the process (e.g., water utility bills, property records). c. Review City’s preliminary monitoring list to identify follow up actions required. d. Meet with City staff to develop guidelines for acceptable default remedies (e.g.,

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allowing rental of BMR units for hardship cases).

15. Consultant shall work alongside Staff to investigate and identify cure for potential BMR defaults including:
a. Conduct follow up of those BMR owners who do not submit their compliance documentation.
b. Reviewing information from calls from BMR neighbors and interested parties. c. Conduct reasonable follow-up investigation to assess potential BMR defaults including unit site visits.
d. Scheduled appointments with BMR owners.
e. For confirmed defaults, provide owners with list of actions needed to remedy the default and conduct follow-up to monitoring compliance. f. Maintaining log of actions taken to remedy the defaults. g. For those defaults in which the owners choose to not remedy the situation within a reasonable amount of time, Consultant will meet with City staff to determine the course of action to pursue. City authorization will be sought for any legal action taken.
h. City will provide a list of any current BMR defaults and actions taken to date.

16. Consultant shall conduct introductory Home Buyer Education/Training classes – HomeBuyer Orientation Classes prior to BMR application

17. Consultant shall build and maintain a group of local (live or work in the City of Campbell) qualified and eligible BMR homebuyers at a minimum Buyer-to-Property ratio of 5:1

18. Co
nsultant will partner with the City to create City legal templates for documents required for signature by the BMR participants. Consultant shall supply documents that are typically used in Santa Clara County for residential real estate transactions (e.g. purchase and sale, disclosure acknowledgements, addendums, etc.)

19. Consultant will maintain a list of approved loan officers and lending operations eligible to provide mortgage lending for purchase and refinance transactions

20. Consultant will review individual BMR restrictions for terms and requirements as needed including shared equity programs, down payment assistance loans and any resale restriction agreements.

21. Consultant will prepare City staff reports related to the BMR program, including the following:

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a. Contract Renewal and Program Update Report | Draft due to staff: March 31, 2023.
b. Compliance Program Update Report | Draft due to staff: August 31, 2022.

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Description Fee1 Fee Cap / Max Billed To
Program Administration $160,00 / year ($13,333.33 / month) City Loan Processing
Transaction Fee
$1,250.00 per
transaction2
$1,250.00 per
transaction Owner / Lender
New BMR Sales
Transaction Fee
3% of
Sales Price
Maximum
$18,000.00
Buyer (via
Sales Price)
BMR Resale (compliant)
Transaction Fee
6% of
New Sales Price
Maximum
$36,000.00
Buyer (via
Sales Price)
Acquisition (default) and
BMR Resale / Rehab
Transaction Fee
5% of Resale
Restriction Price
plus 5% of
New Sales Price
Maximum
$60,000.00
Buyer (via
Sales Price)
Application I.D.

Issuance No fee No fee n/a
Participant I.D.

Issuance No fee No fee n/a
Opportunity Drawing
(Lottery) Entry Fee $25.00 $25.00 Applicant
Application Fee $75.00 $75.00 Applicant
Billing Rate for Projects
Outside of Contract Scope $250.00 / hour $250.00 / hour City

1 Fees may be lower pursuant to the relevant executed Agreement (e.g., developer agreement, owner resale restriction agreement, promissory note, etc.)
2 25% of the $1,250 loan processing fee ($312.50) paid by the owner/lender will be transferred to the City for administration and internal processing of the subordination / payoff request.

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CITY OF CAMPBELL

CONSULTANT SERVICES AGREEMENT

This Agreement is entered into at Campbell, California on the 30 th day of June, 20221, by and between the CITY OF CAMPBELL (hereinafter referred to as "City") and HouseKeys Inc., a California Corporation (hereinafter referred to as "Consultant").

WHEREAS, City desires to obtain consulting services for the purpose of Below Market Rate Housing Program Administration; and

WHEREAS, Consultant represents that it has the expertise, means, and ability to perform said Below Market Rate Housing Program Administration.

NOW, THEREFORE, in consideration of each other's mutual promises, Consultant and City agree as follows:

1. DUTIES OF CONSULTANT

1.1 Consultant agrees to perform services as set forth in Exhibit A - Scope of Services, attached hereto and incorporated herein by reference, and which shall be interpreted together and in harmony with this Agreement. In the event of any conflict between Exhibit A and this Agreement, this Agreement shall govern, control, and take precedence.

1.2 Consultant’s project manager will meet with the City’s project coordinator prior to commencement of the project to establish a clear understanding of the working relationships, authorities, and management philosophy of City as it relates to this Agreement.

1.3 Consultant, working with the City, will gather available existing information concerning the project, and shall review documents as necessary for compliance with the project’s objectives.

1.4 In performance of this Agreement by Consultant, time will be of the essence.

1.5 Notwithstanding Section 1.4, Consultant shall not be responsible for delay caused by activities or factors beyond Consultant’s reasonable control, including delays or by reason of strikes, work slow-downs or stoppages, or force majeure.

1.6 Consultant agrees to perform this Agreement in accordance with the highest degree of skill and expertise exercised by members of Consultant’s profession working on similar projects under similar circumstances.

1.7 Consultant shall cooperate in good faith with City in all aspects of the performance of this Agreement.

1.8 In the course of the performance of this Agreement, Consultant shall act in the

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City’s best interest as it relates to the project.

1.9 The designated project manager for Consultant shall be Julius Nyanda. The Consultant’s project manager shall have all the necessary authority to direct technical and professional work within the scope of the Agreement and shall serve as the principal point of contact with the City and the City’s project coordinator. The authorized principal of Consultant executing this Agreement for the Consultant shall have authority to make decisions regarding changes in services, termination and other matters related to the performance of this agreement on behalf of Consultant.

1.10 The Consultant (and its employees, agents, representatives, and subconsultants), in the performance of this Agreement, shall act in an independent capacity and not as officers or employees or agents of the City. The City shall not direct the work and means for accomplishment of the services and work to be performed hereunder. The City, however, retains the right to require that work performed by Consultant meet specific standards consistent with the requirements of this Agreement without regard to the manner and means of accomplishment thereof. Subcontractors shall assume all of the rights, obligations and liabilities, applicable to it as an independent contractor hereunder. Consultant represents and warrants that it (i) is fully experienced and properly qualified to perform the class of work and services provided for herein, (ii) has the financial capability and shall finance its own operations required for the performance of the work and services and (iii) is properly equipped and organized to perform the work and services in a competent, timely and proper manner in accordance with the requirements of this Agreement.

1.11 This Agreement contains provisions that permit mutually acceptable changes in the scope, character or complexity of the work if such changes become desirable or necessary as the work progresses. Adjustments to the basis of payment and to the time for performance of the work, if any, shall be established by a written contract amendment (approved and executed by the City) to accommodate the changes in work.

2. DUTIES OF CITY

2.1 City shall furnish to Consultant all available and pertinent data and information requested by Consultant to facilitate the preparation of the documents called for in this Agreement. Consultant shall be entitled to reasonably rely on all such information.

2.2 City shall provide contract administration services. City shall notify Consultant of required administrative procedures and shall name representatives, if any, authorized to act in its behalf.

2.3 City shall review documents submitted by Consultant and shall render decisions pertaining thereto as promptly as reasonably possible.

3. COMPENSATION

3.1 For the full performance of the services described herein by Consultant, City agrees to compensate Consultant for all services and direct costs associated with the performance

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of the project in an amount not to exceed $1 60,00037,200 paid in monthly installments of 13,333.331,433.33 per month, as follows:
a. Once each month, Consultant shall submit for payment by City, an itemized invoice for services performed during the previous billing period. The invoice shall describe the services rendered and the title of the item of work, and shall list labor hours by personnel classification.

Said invoice shall be based on all labor and direct expense charges made for work performed on the project. Labor charges shall be in accordance with the fee schedule found in Exhibit A of this Agreement. City shall pay Consultant for services rendered and approved by the City within 30 days from the date the itemized invoice is received by the City, subject to the maximum not to exceed amount specified above and the City’s right to object. b. Direct costs are those outside costs incurred on or directly for the project, and substantiated with invoices for the charges. Direct expenses include printing, reproduction, and delivery charges.

3.2 If Consultant incurs other costs which are not specifically covered by the terms of this Agreement, but which are necessary for performance of Consultant’s duties, City may approve payment for said costs if authorized in writing by the City in advance. However, Consultant may retain outside legal counsel from time to time, without prior written consent by the City, to assist Consultant with legal matters within the scope of this Agreement, so long as outside legal fees are at the Consultant’s sole.

3.3 City may order changes in the scope or character of services in writing, including decreasing the amount of Consultant’s services. In the event that the work is decreased, Consultant is entitled to full compensation for all services performed and expenses incurred prior to receipt of notice of change. Under no conditions shall Consultant make any changes to the work, either as additions or deductions, without the prior written order of the City. In the event, that the City determines that a change to the work or services from that specified in this Agreement is required, the contract time and/or actual costs reimbursable by the City for the project may be adjusted by contract amendment or change order to accommodate the changed work. The maximum not to exceed total amount specified in this Article 3 (Compensation) shall not be exceeded, unless authorized by written contract amendment or change order, approved and executed by the City. Consultant shall obtain prior written approval for a revised fee schedule from the City before exceeding such fee schedule.

3.4 In no event, will the Consultant be reimbursed for any costs or expenses at any rates that exceed the rates for set forth in the fee schedule found in Exhibit B.

4. SUBCONSULTANTS

4.1 Consultant may not subcontract any services required under this Agreement without the prior written consent of the City.

4.2 Consultant shall be responsible to City for the performance of any and all

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subconsultants who perform work under this contract, and any acts of negligence or misconduct on their part. Consultant is solely responsible for all payments due to subconsultants.

4.3 Nothing contained herein or otherwise shall require Consultant to obtain written approval by the City for the performance of certain duties under this Agreement by Consultant’s related entities, including HouseKeys Services Corporation, a California corporation for brokerage and lending services and HouseKeys Resource and Education Center, Inc., a California public benefit corporation, for housing and property acquisition and redevelopment activity in connection with this Agreement. Furthermore, Consultant’s related entities shall not be considered subconsultants under this Agreement.

5. OWNERSHIP OF DOCUMENTS AND MATERIALS
All original drawings, documents, papers, data, materials, photographs, negatives and other work products prepared by the Consultant and/or its subconsultants in the performance of the services encompassed in this Agreement (whether in printed or electronic format) (“project- related documents and materials) shall be the property of the City and may be used on this project without the consent of the Consultant or its subcontractors. City acknowledges that such drawings, documents, and other items are instruments of professional services intended for use only on the subject project. Consultant agrees that all copyrights which arise from creation of the Project-related documents and materials pursuant to this Agreement shall be vested in the City and waives and relinquishes all claims to copyright or other intellectual property rights in favor of the City. Upon the completion or termination of this Agreement for any reason, the City shall be entitled to receive, and Consultant shall promptly provide to the City upon request, all finished and unfinished project-related documents and materials, produced or gathered by or on behalf of Consultant that are in Consultant’s possession, custody or control. Consultant may retain copies of said documents and materials for its files. In the event of termination, any dispute regarding compensation or damages shall not hinder, prevent, or otherwise impact the City’s right to promptly receive and use such documents and materials which are the sole and exclusive property of the City.

6. TERMINATION
Notwithstanding any other provision of this Agreement, City may terminate this Agreement at any time, with or without cause, in its sole discretion, by giving notice in writing to Consultant of such termination. In the event of such termination, Consultant shall have the right and obligation to immediately assemble the work then in progress for the purpose of completing the work and turning over all materials and documents to City. In the event of such termination, Consultant shall be compensated for all work and services performed to the point of termination in accordance with the payment provisions set forth in Section 3.1, unless the termination is for cause, in which event Consultant need be compensated only to the extent required by law.

7. AUDIT AND INSPECTION
Consultant shall permit authorized representatives of City to inspect and audit all data and

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records relating to its performance under this Agreement for a period of three years following acceptance of the final study.

8. EQUAL EMPLOYMENT OPPORTUNITY
Consultant agrees to refrain from discriminatory employment practices on the basis of race, religious creed, color, sex, national origin, handicap, sexual orientation, or ancestry of any employee of, or applicant for employment with, such Consultant or subcontractor.

9. INSURANCE AND INDEMNIFICATION

9.1 The parties acknowledge that this Agreement does not involve any design professional services from the Consultant.

With respect to any design professional services provided by Consultant , the Consultant agrees to indemnify, and hold harmless the CITY, its officers, and employees to the fullest extent allowed by law from any and all claims, actions, causes of action, damages, liabilities and losses, that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant, except for any claims, actions , causes of action, losses, damages or liabilities proximately caused by the sole negligence or willful misconduct of CITY. CITY shall not be liable for acts of Consultant in performing services described herein. Notwithstanding anything in this paragraph to the contrary, any defense costs charged to the design professional under this paragraph shall not exceed the design professional’s proportionate percentage of fault, except:

a. That in the event one or more defendants is unable to pay its share of defense costs due to bankruptcy or dissolution of the business, the design professional shall meet and confer with the other parties regarding unpaid defense costs in good faith effort to agree on the allocation of those costs amongst the parties; and

b. Where a project-specific general liability policy insures all project participants for general liability exposures on a primary basis and also covers all design professionals for their legal liability arising out of their professional services on a primary basis, then there shall be no limitation on the design professional's duty to provide a defense and cover the City's cost of defense.

With respect to all matters other than those covered by the foregoing paragraph , Consultant agrees to indemnify, defend (with counsel reasonably satisfactory to the CITY) and hold harmless the CITY, its officers, officials, directors, agents representatives, volunteers, and employees to the fullest extent allowed by law from any and all claims, actions, causes of action, losses, damages, liabilities and costs of every nature, including but not limited to all claims, actions, causes of action, losses, damages, liabilities for property damage, bodily injury, or death, and all costs of defending any claim, caused by or arising out of, or alleged to have been caused by or arise out of, in whole or in part, Consultant’s performance under this Agreement, except for any claims, actions, causes of action, losses, damages, costs or liabilities proximately caused by: the sole negligence or willful misconduct of CITY. CITY shall not be liable for acts of Consultant in performing services described herein.

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(a) Consultant ministerially carrying out the express written direction of the City involving no discretion on the part of the Consultant;

(b) The sole negligence or willful misconduct of City.

City shall not be liable for acts of Consultant in performing services described herein.

In no event shall this section be construed to require indemnification by the Consultant to a greater extent than permitted under the public policy of the State of California; and in the event that this contract is subject to California Civil Code section 2782(b), the foregoing indemnity provisions shall not apply to any liability for the active negligence of the City.

Nothing contained in this provision shall be construed as relieving the Consultant from any obligation to provide indemnity or defense that was undertaken pursuant to any prior contract between the parties.

The defense and indemnity provisions obligations of this Agreement are undertaken in addition to, and shall not in any way be limited by the insurance obligations contained in this Agreement.

The foregoing indemnity provisions are intended to fully allocate the parties’ risk of liability to third-parties; and there shall be no rights to indemnity or contribution, in law or equity or otherwise between the parties that are not set forth in this section. Consultant waives all rights to subrogation for any matters covered by the provisions of this section. Consultant’s responsibility for such defense and indemnity obligations as set forth in this section shall survive the termination or completion of this Agreement for the full period of time allowed by law.

9.2 Consultant shall maintain insurance conforming to the following specifications to the fullest amount allowed by law for a minimum of two years following the termination or completion of this Agreement:

A. Types of Coverage
The policies shall afford the following types of coverage:

1. Commercial General Liability;

2. Automotive;

3. Workers’ Compensation and Employer Liability; and

4. Professional Liability and/or Errors and Omissions
B. Minimum Scope of Insurance
Coverage shall be at least as broad as:

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1. For Commercial General Liability: Insurance Services Office (ISO) CGL Form 00 01 11 85; and

2. For Automotive Liability: ISO CA 00 01 06 92 including symbol 1(any auto); and

3. For Workers’ Compensation: insurance as required by the Labor Code of the State of California and Employer's Liability insurance; and

4. For Professional Liability and/or Errors and Omissions: insurance covering negligence committed by or on behalf of Consultant in rendering services to City.

C. Minimum Limits of Insurance
Consultant shall maintain limits no less than:

1. General Liability: $1,000,000 combined single limit per occurrence for bodily, personal injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit.

2. Automobile Liability: $1,000,000 combined single limit per accident for bodily injury and property damage.

3. Workers’ Compensation and Employer's Liability: Workers’ Compensation limits as required by the Labor Code of the State of California and Employer's Liability limits of $1,000,000 per accident.

4. Professional Liability and/or Errors and Omissions: $1,000,000 per claim and $2,000,000 in the annual aggregate.

The limits of insurance required in this Agreement may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City (as agreed to in this Agreement) before the City’s own insurance or self-insurance shall be called upon to protect it as a named insured.

D. Deductible and Self-Insured Retention
Any deductibles or self-insured retention must be declared to and approved by the City, and shall not reduce the limits of liability. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retention as respects the City, its agents, officers, attorneys, employees, officials and volunteers; or the Consultant shall procure a bond guaranteeing payment of losses related to investigations, claim

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administration, and defense expenses. Policies containing any self-insured retention provision shall provide or be endorsed to provide that the self-insured retention may be satisfied by either the named insured or the City.

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

1. General Liability and Automobile Liability Coverage:
a. The City, its agents, officers, attorneys, employees, officials and volunteers are to be covered as additional insureds as respects: liability arising out of this Agreement performed by or on behalf of the Consultant, products and completed operations of the Consultant, premises owned, occupied or used by the Consultant, or automobiles owned, leased, hired or borrowed by the Consultant. It is a requirement of this Agreement that any available insurance proceeds broader than or in excess of the specified minimum insurance coverage requirements and/or limits set forth in this Agreement shall be available to the City as an additional insured. Furthermore, the requirements for coverage and limits shall be (1) the minimum coverage limits specified in this Agreement, or (2) the broader coverage and maximum limits of coverage of any insurance policy or proceeds available to the named insured, whichever is affords greater coverage. b. The Consultant's insurance coverage shall be primary insurance as respects the City, its agents, officers, attorneys, employees, officials and volunteers. Any insurance or self-insurance maintained by the City, its agents, officers, attorneys, employees, officials and volunteers shall be excess of the Consultant's insurance and shall not contribute with it. c. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the City, its agents, officers, attorneys, employees, officials, and volunteers.
d. The Consultant's insurance shall apply separately to each insured against whom claim is made or suit is brought except with respect to the limits of the insurer's liability.

2. Workers’ Compensation and Employer’s Liability Coverage: The insurer shall agree to waive all rights of subrogation against the City, its agents, officers, attorneys, employees, officials, and volunteers for losses arising from work performed by the Consultant for the City.

3. All Coverages: Any unintentional failure to comply with reporting provisions of the policies shall not affect coverage provided to the City; and unless otherwise approved by the City, each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled by either party, except after thirty (30) days prior written notice by regular

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mail has been given to the City, or ten (10) days for cancellation for non- payment of premium.

E. Suspension or Cancellation
If any of the coverages required by this Agreement should be suspended, voided, cancelled or reduced in coverage during the term of this Agreement, Consultant shall immediately notify City and replace such coverage with another policy meeting the requirements of this Agreement.

F. Subcontractors
Consultant agrees that any and all contracts with subcontractors for performance of any matter under this Agreement shall require the subcontractors to comply with the same indemnity and insurance requirements set forth in this Agreement to the extent that they apply to the scope of the subcontractors’ work. Subcontractors are to be bound to contractor and to City in the same manner and to the same extent as the Consultant is bound to City under this Agreement. Subcontractors shall further agree to include these same provisions with any sub- subcontractor. A copy of this Agreement will be furnished to the subcontractor on request. The Consultant shall require all subcontractors to provide a valid certificate of insurance and the required endorsements included in the Agreement prior to commencing any work, and will provide proof of compliance to the City.

G. Acceptability of Insurers
Without limiting Consultant's indemnification provided hereunder, the policies of insurance listed in Article 9.2 of this Agreement are to be issued by an issuer with a current A.M.

Best Rating of A:V and who is authorized to transact business in the State of California, unless otherwise approved by the City.

H. Verification of Coverage
Consultant shall furnish the City with endorsements and certificates of insurance evidencing coverage required by this clause. The certificates for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. The certificates are to be on forms acceptable to the City. Where required by statue, forms approved by the Insurance Commissioner are to be submitted. All certificates are to be received and approved by the City before work commences.

10. MISCELLANEOUS

10.1 This Agreement shall be binding on the heirs, executors, assigns and successors of Consultant.

10.2 Neither party may assign this Agreement, or any portion hereof, without the prior written consent of the other.

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10.3 This Agreement shall not be construed to alter, affect, or waive any lien or stop notice rights, which Consultant may have for the performance of services pursuant to this Agreement.

10.4 Neither party’s waiver of any term, condition or covenant, or breach of any term, condition or covenant shall be construed as the waiver of any other term, condition or covenant or waiver of the breach of any other term, condition or covenant.

10.5 This Agreement contains the entire Agreement between City and Consultant relating to the project and the provision of services to the project. Any prior agreements, promises, negotiations, or representations not expressly set forth in this Agreement are of no force or effect. Subsequent modifications to this Agreement shall be in writing and signed by both City and Consultant.

10.6 If any term, condition or covenant of this Agreement is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions of this Agreement shall be valid and binding on City and Consultant.

10.7 This Agreement shall be governed and construed in accordance with the laws of the State of California.

10.8 This Agreement may be executed in counterparts and will be binding as executed.

10.9 All changes or amendments to this Agreement must be in writing and approved by all parties.

10.10 The term of this Agreement shall commence upon execution of the Agreement and terminate on June 30, 202 32. Any extension of the Agreement shall be mutually agreed upon in writing and shall require an amendment to the Agreement signed by both parties.

10.11 Consultant owes the City a duty of undivided loyalty in performing the work and services under this Agreement, including, but not limited to, the obligation to refrain from having economic interests and/or participating in activities that conflict with the City’s interests in respect to the work and/or services and project. The Consultant shall list current clients who may have a financial interest in the outcome of this Agreement. The Consultant hereby certifies that it does not now have, nor shall it acquire any financial or business interest that would conflict with the performance of services under this agreement. Consultant shall not make or participate in making or in any way attempt to use Consultant’s position to influence a governmental decision in which Consultant knows or has reason to know Consultant has a direct or indirect financial interest other than the compensation promised by this Agreement.

Consultant will immediately advise the City if Consultant learns of a financial interest of Consultant's during the term of this Agreement.

10.12 This Agreement is entered into, and to be performed in Santa Clara County, California, and any action arising out of or related to this Agreement shall be maintained in a court of appropriate jurisdiction in Santa Clara County, California.

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11. NOTICES
Notices required under this Agreement may be delivered by first class mail addressed to the appropriate party at one of the following addresses:

CITY: City of Campbell
Attention: City Manager
70 North First Street
Campbell, CA 95008

CONSULTANT: HouseKeys Inc.

Attn.: Julius Nyanda
409 Tennant Station Ste. 395
Morgan Hill, CA 95037

Having read and understood the foregoing Agreement, the undersigned parties agree to be bound hereby:

CONSULTANT

By: ____________________________________________
Julius Nyanda
CEO, HouseKeys Inc.

CITY OF CAMPBELL

By: _____________________________________________
Brian Loventhal
City Manager

Exhibit A – Scope of Services
Exhibit B – Fee Schedule

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The Scope of Work details the roles and responsibilities of the City and Consultant. The Schedule starts from the date the contract is fully executed by both parties.

1. Consultant will administer the program and assure BMR Deed Restrictions are recorded and followed by all parties as applicable for each property.

2. Consultant will provide offsite support for service requests. Orientations and workshops will be held in the City of Campbell.

3. Consultant will regularly update BMR guidelines and program materials in conjunction with City staff to reflect the Consultant’s administrative process for BMR Administration including, but not limited to: applications, program pamphlets, resale calculations, buyer selection process, sale and resale of units, refinancing requests, collection of City fees and other applicable fees, and default monitoring/resolution process. Consultant’s objective will be to work alongside City Staff to incorporate “learnings” from the team’s collective history with BMR Programs in Campbell along with surrounding Santa Clara, San Benito, Alameda, San Francisco, San Mateo, Santa Cruz and Monterey Counties.

3.4. Consultant shall prepare updates to the BMR Owner/Application Participation Guide (to add a reference to the pricing procedures, repair requirements, and clarify recertification requirements) and BMR Rental Application/Participation Guide (to clarify the maximum number of occupants allowed in a studio unit, clarify recertification requirements, and include options for participants to exceed-income limits) for future consideration by the Council.

5. Consultant will maintain a BMR program website presence that will link to the City’s housing website.

6. Consultant will conduct annual recertification / monitoring of rental and ownership below market rate program units providing 30 days to submit recertification packages.

4.7. Consultant shall update pricing guides for below-market rate rental and homeownership units.

5.8. Consultant and the City have agreed to the following mutually acceptable performance measures for BMR program administration. These measures shall be included in the quarterly BMR summary report.

a. General Inquiries: Respond within 48 business hours . b. Loan Requests: Respond within 48 business hours. Complete requests within reasonable time, with weekly status updates for outstanding requests. c. Orientations: Minimum 6 per year, with more as needed for new opportunities .

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d. Rental Vacancies: Fill vacancies within 60 days .
e. Annual Monitoring: Provide homeowners 30 days to submit recertification packages
f.e. Follow up letters sent at 60 and 90 days after the initial request for recertification packages before beginning enforcement procedures. g.f. Eligibility List: Maintain a minimum buyer-to-property ratio of 5:1. h.g. Application ID issuance: Issue upon receipt of request. within 5 business days

6.9. Consultant shall maintain the City’s existing records, databases, and files through a file retention and management system for the program. All electronic records will be considered work products that are property of the City of Campbell. The Consultant shall update the City’s records quarterly to ensure a coordinated seamless record keeping process. The database shall include the following at a minimum:

a. For each BMR / RDA Development (new and existing):
1) A list of all BMR / RDA units in the development
2) The date of the BMR / RDA developer agreement
3) BMR / RDA units lost, including date, reason for loss, initial sales price, resale price, and actions taken

b. For each owner unit (new and existing):
1) The address for each ownership unit
2) The level of affordability (e.g., Very Low, Low, Moderate) 3) The current owner of record
4) The expiration date of the owner agreement
5) The last date of recertification
6) The recertification status (updated annually)
7) The original sales price
8) The current resale restriction price
9) Dates of owner turn-over, as applicable

c. For each renter unit (new and existing)
1) The unit number for each rental unit
2) The level of affordability (e.g., Very Low, Low, Moderate) 3) The current tenant of record
4) The last date of recertification
5) The recertification status (updated annually)

d. For each affordable housing loan:
1) The type of loan (e.g., RDA, BEGIN, FTHB, etc.)
2) The address associated with the loan

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3) The current owner of record (this should be the loan recipient) 4) The amount, term, and due date of the loan
5) dates of payoff and interest collected, as applicable 6) dates of refinance/subordination, as applicable
7) dates of write-off and amount, as applicable

e. Other information as requested and mutually agreed to.

7.10. Consultant shall provide a quarterly BMR summary report to the City on the following dates and with the following information, consistent with task #5 and #6:

Q1 (July – Sept): October 30, 20202
Q2 (Oct – Dec): January 31, 20231
Q3 (Jan – March): April 30, 20221
Q4 (April – June): July 31, 20221
a. Performance Measures (see task #5)

b. For each owner unit (new and existing):
1) The address for each ownership unit
2) The level of affordability (e.g., Very Low, Low, Moderate) 3) The current owner of record
4) The last date of recertification and current recertification status

c. For each renter unit (new and existing)
1) The unit number for each rental unit
2) The level of affordability (e.g., Very Low, Low, Moderate) 3) The current tenant of record
4) The last date of recertification and current recertification status

d. For each affordable housing loan:
1) The type of loan (e.g., RDA, BEGIN, FTHB, etc.)
2) The address associated with the loan
3) The current owner of record (this should be the loan recipient) 4) The amount, term, and due date of the loan
5) Dates of payoff and interest collected, as applicable 6) Dates of refinance/subordination, as applicable
7) Dates of write-off and amount, as applicable

e. Current list of defaults and pending defaults
1) Actions taken to date
2) Next steps, including dates

f. In-lieu fees collected, if applicable

g. Other information as requested and mutually agreed to

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8.11. Consultant will provide the applicants with the following services:
a. Conducting income qualifications including review of assets, income, verifications of employmentVOE’s and all other necessary approvals to ensure qualification for the City loans.
b. Making minor revisions to the City’s existing program materials and legal documents.
c. Underwriting loan applications in accordance with program requirements. d. Preparing all loan documents, overseeing proper execution thereof, and conducting final loan approval reviews.
e. Ensuring timely delivery of all necessary documents into escrow, and preparing escrow demands and funding requests.
f. Overall management and implementation of specific program policies, including required reporting.
g. Preparation of program materials by revising the City’s current documents. h. Calculating all pay off demands and issuing any disclosures and tax forms as required by State
and/or Federal Law.
i. Calculating the resale value of all BMR homes as requested annually by the County.
j. Work with City staff to ensure a seamless and coordinated development of documents as it relates to the BMR Program, including the RDO application process where BMR units are included, reviewing developer agreements, and ensuring that BMR requirements are outlined in an Affordable Housing Agreement and any subsequent amendments to the development documentation.

9.12. Consultant shall act as transaction coordinator for all real estate transactions and will provide the City with a fee schedule. Consultant will charge BMR re-sale transaction fees in line with applicable recorded Deed Restrictions. Consultant will charge the developer transaction coordination fees in accordance with the Affordable Housing Agreement pertaining to the subject development project.

10.13. Consultant will coordinate document transmittals between buyers, homeowners, developers, and City as needed. Consultant will be responsible for ensuring all documents submitted for City
signatures are complete and accurate. Consultant will
be responsible for making any necessary corrections to documents.

11.14. Consultant shall work alongside Staff to conduct monitoring to annually evaluate BMR owners’ & renters’ compliance with the terms and conditions of the BMR recorded deed restrictions and program guidelines including the following:

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a. Mailing monitoring letters to all the BMR units.
b. Reviewing in conjunction with City staff, City or County Assessor data to assist in the process (e.g., water utility bills, property records). c. Review City’s preliminary monitoring list to identify follow up actions required. d. Meet with City staff to develop guidelines for acceptable default remedies (e.g.,

allowing rental of BMR units for hardship cases).

12.15. Consultant shall work alongside Staff to investigate and identify cure for potential BMR defaults including:
a. Conduct follow up of those BMR owners who do not submit their compliance documentation.
b. Reviewing information from calls from BMR neighbors and interested parties. c. Conduct reasonable follow-up investigation to assess potential BMR defaults including unit
site visits.
d. Scheduled appointments with BMR owners.
e. For confirmed defaults, provide owners with list of actions needed to remedy the default
and conduct follow-up to monitoring compliance.
f. Maintaining log of actions taken to remedy the defaults. g. For those defaults in which the owners choose to not remedy the situation within a reasonable amount of time, Consultant will meet with City staff to determine the course of action to pursue. City authorization will be sought for any legal action taken.
h. City will provide a list of any current BMR defaults and actions taken to date.

13.16. Consultant shall conduct introductory Home Buyer Education/Training classes – HomeBuyer Orientation Classes prior to BMR application

14.17. Consultant shall build and maintain a group of localLOCAL (live or work in the City of Campbell) qualified and eligible BMR homebuyers at a minimum Buyer-to- Property ratio of 5:1

15.18. Consultant will partner with the City to create City legal templates for documents required for signature by the BMR participants. Consultant shall supply documents that are typically used in Santa Clara County for residential real estate transactions (e.g. purchase and sale, disclosure
acknowledgements, addendums, etc.)

16.19. Consultant will maintain a list of approved loan officers and lending operations eligible to provide mortgage lending for purchase and refinance transactions

17.20. Consultant will review individual BMR restrictions for terms and requirements as

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needed including shared equity programs, down payment assistance loans and any resale restriction agreements.

21. Consultant will prepare City staff reports related to the BMR program, including the following.:

a. Contract Renewal and Program Update Report | Draft due to staff: March 31, 2023.
b. Compliance Program Update Report | Draft due to staff: August 31, 2022.

18. In addition, the HouseKeys team will provide the following services:

A. Consultant enters into this contract with the City of Campbell with the intention of adding the City to the Model City Project that incorporates Industry Best Practices, A BMR Database, and a Regional BMR Working Group. This Project will improve efficiencies and reduce program costs to the City.

B. Consultant will provide training, analysis and suggested improvements to the BMR Program.

C. Consultant will prepare a presentation for Staff and Council Members on the Model City Project.

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Description Fee1 Fee Cap / Max Billed To
Program Administration $160,000137,200 / year
($13,333.3311,433.33 / month) City
Loan Processing
Transaction Fee
$1,250.00 per
transaction2
$1,250.00 per
transaction Owner / Lender

New BMR Sales
Transaction Fee
3% of
Sales Price
Maximum
$18,000.00
Buyer (via
Sales Price)
BMR Resale (compliant)
Transaction Fee
6% of
New Sales Price
Maximum
$36,000.00
Buyer (via
Sales Price)
Acquisition (default) and
BMR Resale / Rehab
Transaction Fee
5% of Resale
Restriction Price
plus 5% of
New Sales Price
Maximum
$60,000.00
Buyer (via
Sales Price)
Application I.D.

Issuance No fee No fee n/a
Participant I.D.

Issuance No fee No fee n/a
Opportunity Drawing
(Lottery) Entry Fee $25.00 $25.00 Applicant
Application Fee $75.00 $75.00 Applicant
Billing Rate for Projects
Outside of Contract Scope $250.00 / hour $250.00 / hour City

1 Fees may be lower pursuant to the relevant executed Agreement (e.g., developer agreement, owner resale restriction agreement, promissory note, etc.)
2 25% of the $1,250 loan processing fee ($312.50) paid by the owner/lender will be transferred to the City for administration and internal processing of the subordination / payoff request.

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City
Council
Report

TITLE: Review of the City’s Below -Market Rate Housing Program and Identified Improvement Plan.

RECOMMENDED ACTION

That the City Council provide direction on th e recommended Below -Market Rate Housing Program improvement plan.

BACKGROUND
The City's General Plan implements the established policy of the State of California that each community should foster an adequate supply of housing for people at all economic levels. Historically, the City of Campbell’s Redevelopment Agency aided in the production of affordable housing (until it was dissolved on January 17, 2012) as well as development projects conforming with Density Bonus Law (California Government Code Sections 65915 – 65918). In 2006, the City Council adopted an Inclusionary Housing Ordinance which generally requires projects with 10 or more units to reserve 15% of the units for affordable housing. Today, the City’s Below -Market Rate Housing Program (hereinafter “BMR Program”) maintains 217 active units, consisting of 84 homeownership units, 51 rental units, and 82 loan units.

On June 7, 2016, the City of Campbell hired HouseKeys to serve as the City’s Below Market Rate (BMR) Housing Program Administrator (he reinafter “BMR Administrator”).

As the BMR Administrator, HouseKeys is primarily responsible for preparing and maintaining BMR guidelines and program materials, coordinating all real estate transactions and agreements, conducting annual compliance monitori ng, and enforcing BMR agreements and deed restrictions.

Recognizing that last year marked the City’s 5th year of partnership with HouseKeys, the City Council at its June 1, 2021, meeting directed staff to hold a meeting to discuss opportunities to improve the program. This report responds to that request.

EXECUTIVE SUMMARY
With the administration of any program, it is important to routinely evaluate how established goals and objectives relate to achieved outcomes.

The purpose of this report is to prov ide an evaluation of observed challenges with the BMR Program, identify recommended solutions, and solicit Council feedback on the Item: 11
Category: UNFINISHED BUSINESS
Meeting Date: March 15, 2022
11 Packet Pg. 250

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options presented. This report is divided into ‘Near -Term’ and ‘Long -Term’ challenges and solutions. The Near -Term section in cludes an evaluation of the program in its existing state and identifies improvements that can be implemented over the short term.

This includes the following key program areas for review: 1) Program Administration; 2) Fiscal Resiliency; 3) Rental Program ; 4) Ownership Program; 5) Loan Program; and 6) Compliance Program. Each section identifies challenges and potential solutions based on feedback from HouseKeys, Staff, and observations of industry best practices.

Separately, as Staff anticipates a signif icant growth in the BMR Program in association with the development of over 3,000 housing units during the next eight years under the City’s Housing Element (“Campbell’s Plan for Housing”), the Department requested and received from Council a modification in the Fiscal Year 2022 mid-year budget to hire an outside housing program expert to audit the program and make recommendations for its sustainable growth, incorporating a resilient fiscal and management model. This workplan will be used to make ‘Long-Term’ improvements to the program.

Near-Term Challenges and Solutions

1) Program Administration
Since starting as the BMR Administrator, HouseKeys has worked to scan and organize City-records, develop application/participation and pricing guides, create a robust lottery management system, and host training materials online in response to COVID -19 restrictions. The Consultant Services Agreement further outlines the ongoing services offered by HouseKeys , as well as performance measures to gauge success (refer ence Attachment A). While these improvements have been beneficial, Staff has identified the following ongoing and upcoming challenges to program administration.

Program Administration Challenge #1 : The Scope of Services in the Consultant Services Agreement are outdated, and do not include performance measures that can be independently verified by Staff (i.e., respond to inquiries within 48-hours of request).

➢ Recommended Solution(s):
o Update the scope of services to include a list of reports and materials to be prepared by HouseKeys staff each year as well as items requiring routine maintenance (i.e., annual pricing guides).
o Update the performance measures in the scope of services to provide deadlines for items included in the scope of services.
o Explore ways for program participants to provide feedback directly to City Staff (i.e., customer service satisfaction surveys) on services which already have a performance measure (i.e., average response times), or may warrant the creation of a performance measure or program improvement (i.e., clarity of program materials).

Program Administration Challenge #2: Sections of the Campbell Municipal Code related to the permit processing, allocation, and assignment of below -market rate housing units 11 Packet Pg. 251

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are outdated (e.g., SB35, AB2345, ranking criteria used in the below -market rate housing program).

➢ Recommended Solution(s):
o Establish an annual review with recommendations on required updates to the Campbell Municipal Code to conform with new legislation addressing BMR Program management and update outdated sections as part of the Consultant Services Agreement with HouseKeys.

Program Administration Challenge #3 : Housing Agreements are outdated and do not account for “lessons learned” (e.g., do not disclose recertification requirements, provide a list of acceptable materials to substantiate owner occupancy).

➢ Recommended Solution(s):
o Update the HouseKeys Consultant Services Agreement to include a requirement to update the Housing Agreements to reflect best practices and include clear recertification requirements.

2) Fiscal Resiliency
The Housing Program is funded by Fund 233 1 which was created following the dissolution of the City’s Redevelopment Agency. For ongoing revenue, the program collects money from the sale of ho using units (see ‘Ownership Program’), loan payoffs and interest payments, and the collection of miscellaneous transaction fees. Last year the program also received a one -time housing in -lieu fee payment (i.e., Mozart Subdivision) but such revenues are rar e and not anticipated to occur frequently in the future unless the program is changed (see ‘Ownership Program’).

The City pays for the administration of the Housing Program by a flat rate fee of $137,200, which HouseKeys has not increased over the past f ive years, as well as miscellaneous transaction fees which are paid for by new and existing program participants. The program is also supported by 0.40 FTE (Full -Time Equivalent) of a Senior Planner position, and costs include legal fees (see ‘Compliance Program’).

Fiscal Resiliency Challenge #1: While staff anticipates that existing funding sources are sufficient to support program expenditures for several more years, the program is not fiscally resilient as costs continue to exceed revenues and are not sustainable in the long-term.

➢ Recommended Solution(s):
o Increase the fees charged to homebuilders.

1 Created following the dissolution of the redevelopment agency, Fund 233 is a successor agency fund which has restrictions on its use. Generally, the fund may be used for monitoring and preserving affordability covenants, administrative costs, homeless prevention, and development of affordable housing. The services offered by HouseKeys is consistent with the fund restrictions. 11 Packet Pg. 252

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o Establish a fund to purchase units immediately from program participants and collect the difference in sales price when an increase in the household income limit increases while the unit is still held by the City. For example, a unit may be purchased by the City for the maximum price allowed for an income category (i.e., $500,000), but may not be sold for several months until the lottery process has been co mpleted and the new owner income qualifications are verified. During this time the maximum sales price for an eligible household may have increased (i.e., $525,000) and the City could capture the difference. In most circumstances, homeowners would prefer that the City take this approach, since below -market rate unit s generally take longer to sell than market-rate units.

3) Rental Program
The BMR rental program currently includes 51 rental units 2 spread across five (5) apartment developments: Alvin’s Corner (Hamilton Ave.), Merrill Gardens (Winchester Blvd.), Revere (Bascom Ave.), St. Anton (Railway Ave.), and Winchester Station (Winchester Blvd.). The management of these units presents the following challenges:

Rental Program Challenge #1 : The eligibility requirements of renters in rental units are reviewed and enforced on an annual basis resulting in a greater turnover of units when renters exceed income limits.

➢ Recommended Solution(s):
o Allow an applicant to exceed -income limits for the first occurrenc e. If the household continues to exceed the limits on the following certification (the following year), provide the household with 30 days to vacate the unit. o Allow the household’s rent to increase to Market Rate and increase the rent to 30% of the Househ old’s Income. The difference in rent would be paid back into the program.

Rental Program Challenge #2 : Renters that began renting BMR units prior to the adoption of the BMR Rental Application/Participation Guides may not comply with today’s program requ irements. For example, a renter may previously have qualified for a unit exclusively based on income eligibility, however starting in 2018 , the guidelines require a two-prong test of eligibility based on income and assets. The BMR Guide does not specify ho w the City should ‘grandfather’ these renters in accordance with the new guidelines.

➢ Recommended Solution(s):
o Update the BMR Rental Application/Participation Guides to clarify applicability of program requirements to units that entered the program prior to 2018.

2 Campbell is also home to a number of affordable rental developments that do not have oversight by the City or the BMR Administrator (Avalon, Corinthian, El Parador, San Tomas Gardens, Rincon Gardens, Sharmon Palms, Wesley Manor), although HouseKeys does collect data on some of these programs (e.g., Avalon, San Tomas Gardens and Sharmon Palms).
11 Packet Pg. 253

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Rental Program Challenge #3 : The program guides do not include occupancy limits for studio units. As a result, it is unclear if the same occupancy standard that applies to one-bedroom units should also apply to studio units.

➢ Recommended Solution(s):
o Update the BMR Rental Application/Participation Guides to clarify the maximum number of occupants allowed in a studio unit to match the number allowed in a one-bedroom unit (maximum of three) or be reserved for smaller households (maximum of two).

4) Ownership Program
The BMR ownership program currently includes 84 units spread across 16 developments, including: Orchard Grove, Grant Street, Ainsley Place, Campbell Manor, Heritage Place, Park Town Place, Sonata Place, George Court, Hamilton Square , North Second Street, Maravilla, Penny Lane, Palomar, Cottage Place, Madison, and Town 38.

Units included in the homeowner program either have resale restrictions 3, City financing (loans), or a combination of resale restrictions and City financing. The ma nagement of these units present the following challenges:

Ownership Program Challenge #1 : Ownership units do not remain in the program over time because the unit resale price (which is increased to capture homeowner equity) does not always qualify for th e same level of affordability as when the unit entered the program.

➢ Recommended Solution(s):
o Explore creating a program to ‘buy down’ the affordability of units when close to an eligible income level to maintain units in the program.

Ownership Program Challenge #2 : The pricing procedures for resales (i.e., deferred maintenance, capital improvements, and depreciation schedule - including eligible repair categories and budgets) are unclear. Further, upon the sale of a unit there are no clear guidelines to determine when a repair will be required (i.e., replace all carpets that are older than five years, repaint all walls to white).

➢ Recommended Solution(s):
o Update the BMR Owner Application/Participation Guides to clarify the pricing procedures and repair requirements.

Ownership Program Challenge #3 : Ownership units do not have clear ‘minimum furnishing requirements’ such as air conditioning, ovens, dishwashers, or refrigerators upon initial sale resulting in challenges by developers’ post-entitlement.

3 Resale restrictions include term limits (i.e., 25, 30, 35, or 45-year term limits) and affordability limits (i.e. low, moderate).
11 Packet Pg. 254

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➢ Recommended Solution(s):
o Update the BMR Owner Application/Participation Guides to clarify minimum unit requirements.

Ownership Program Challenge #5: Ownership units are often not as well maintained as market-rate units and there is not a clear enforce ment mechanism to compel an owner, outside the sale of the unit, to improve the condition of the property.

➢ Recommended Solution(s):
o Update the Consultant Services Agreement with HouseKeys to include a routine inspection of units (i.e., every so many ye ars) in the program and fund the program to re habilitate units during occupancy which is repaid upon the sale of the unit.

5) Loan Program
HouseKeys also manages the City’s affordable housing revolving loan program.

Management of the loan program include s processing and underwriting refinance requests, calculating all pay -off demands, preparing, and processing all loan documents, issuing required disclosures and tax forms, and collecting pay -off of first - time homebuyer loans issued by the City when loans were actively being provided to Campbell residents. The management of this program presents the following challenges.

Loan Program Challenge #1 : Older loans require the payment of the greater of simple interest or a percentage of equity the loan represent s upon the sale of the unit. As a result, owners who seek to pay -off a loan ‘early’ (while still living in the unit) lack clear protocols on how to proceed.

➢ Recommended Solution(s):
o Update the BMR Owner Application/Participation Guides and/or create a new BMR Loan Application/Participation Guide to clarify how the procedures for when a loan may be paid off early, such as by requiring an appraisal which considers the value and depreciation of improvements.

Loan Program Challenge #2 : The program benefit s have declined over time and may not address the needs of the community. For example, first time homebuyer loans were once offered by the City under the City’s Redevelopment Agency but that practice was discontinued before identifying a new source of funding.

➢ Recommended Solution(s):
o Explore expanding the program to help provide first -time homebuyer loans, rent relief during pandemics (to meet minimum requirements to avoid eviction), and missing middle housing (some households earn too much to qualify f or below -market rate housing, but also do not earn enough to afford market-rate housing).

11 Packet Pg. 255

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6) Compliance Program
In November of 2018, the City Council approved BMR Guidelines which included actions and timelines for compliance (reference Attachment B – BMR Guidelines; established by CC Resolution 12375). Since adoption and implementation of these Guidelines, Housekeys and staff ha ve identified the following challenges in managing the enforcement program:

Compliance Program Challenge #1 : Program suffers fr om delays in enforcement while waiting for authorization and funding to enforce on units found to be out of compliance.

For example, a homeowner may be found to be out of compliance with their owner occupancy restriction, but legal action is deferred until staff can hold a closed session with the Council to provide the details of the case and receive authorization for action and funding.

➢ Recommended Solution(s):
o Establish an ‘enforcement fund’ which can be used when owners/tenants are found out of compliance.

Compliance Program Challenge #2 : Section 9.1 of the Consultant Services Agreement requires HouseKeys to indemnity and defend the City from claims caused by or arising out of the program. As a result, HouseKeys is responsible for the legal costs of defending the City against legal challenges resulting from administration of the program, even where there is no fault by HouseKeys, in the services they provide.

➢ Recommended Solution(s):
o Consider modifying the upcoming FY 22/23 Consultant Services Agreement and clarify circumstances in the agreement where HouseKeys will be responsible for legal costs by updating the indemnification clause accordingly.

Compliance Program Challenge #3 : The program does not provide administrative remedies for agreement v iolations outside of taking legal action. For example, a homeowner that is in default o n their agreement is not provided an opportunity to attempt to mediate their case and/or pay a penalty for that non-compliance.

➢ Recommended Solution(s):
o Consider esta blishing a mediation program and/or penalty program for non-compliant units.

Long-Term Challenges and Solutions
The BMR program will need to scale to accommodate the production and management of approximately 3,000 new housing units in the next eight years. With a limited number of companies that provide BMR housing administration to communities in the area, the availability of consultant services will be increasingly strained by anticipated demands.

While HouseKeys intends to scale up their services up t o accommodate new unit 11 Packet Pg. 256

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production, the City may need to evaluate ways to support or assume program administration in the event of service delivery challenges.

Long term challenges to the program include both fiscal resiliency (current and projected future revenue sources are not adequate to fund program administration), and institutional capacity (both City staffing and consultant services dedicated to managing the program are insufficient to manage growth in the program). In addition, staff anticipates that the City will need additional resources to stay abreast of future updates in state housing laws and to identify innovative policy and funding solutions to address Campbell’s housing needs.

As described in the mid-year budget request, staff is preparing to distribute an RFP later in the Spring of 2022 that will request an outside Housing Program expert to review the current state and projected future demands of Campbell’s Housing program and make recommendations on fiscal and management improvements t o expand the program into a sustainable business model.

FISCAL IMPACTS
While there is no fiscal impact associated with receipt of this informational report, the BMR Program faces significant long-term challenges with fiscal resiliency.

NEXT STEPS
Based on Council feedback and direction, staff will return with amendments to the BMR Rental Application and Owner Application/Participation Guides, Consultant Services Agreement with HouseKeys which is due for renewal on June 30, 2022, and a draft scope of ser vices for a Housing Program Audit prior to release of a Request for Proposals (RFP).

Prepared by:

Stephen Rose, Senior Planner
Reviewed by:

Rob Eastwood, Community Development Director
11 Packet Pg. 257

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Approved by:

Brian Loventhal, City Manager
Attachment:
a. 2021-2022 HouseKeys Consultant Services Agreement
b. BMR Rental-Owner Application and Participation Guides 11 Packet Pg. 258

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Attachment: Below-Market Rate Program Improvement Report, March 15, 2022 (Housing Program Update and HouseKeys Consultant Services

REQUEST FOR PROPOSALS

Housing Program Audit

May 13, 2022

City of Campbell
Community Development Department
70 N. First Street
Campbell, CA 95008

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Attachment: Request for Proposals - Housing Program Audit (Housing Program Update and HouseKeys Consultant Services Agreement)

Table of Contents

Overview ......................................................................................................................................... 3 Preliminary Scope of Work ............................................................................................................ 4 Project Approach ........................................................................................................................ 4 Staff Coordination ....................................................................................................................... 4 Meeting Attendance .................................................................................................................... 4 Deliverables ................................................................................................................................ 4 Tasks ........................................................................................................................................... 5 Project Funding ............................................................................................................................... 7 Desired Qualifications .................................................................................................................... 7 Submittal Information ..................................................................................................................... 7 Minimum Eligibility Requirements ............................................................................................ 7 Submittal Requirements .............................................................................................................. 7 Submittal Deadline and Instructions ........................................................................................... 9 Consultant Selection Process ........................................................................................................ 10 Short List Selection Process.................................................................................................. 10 Finalists Invited for Interview ............................................................................................... 10 Selection Criteria .................................................................................................................. 10 Additional Information ................................................................................................................. 11 Project Schedule............................................................................................................................ 12 Insurance Requirements ................................................................................................................ 13

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Attachment: Request for Proposals - Housing Program Audit (Housing Program Update and HouseKeys Consultant Services Agreement) Overview

The City of Campbell is seeking the services of a consultant to perform a comprehensive audit of its Housing Program and recommend a program improvement plan.

The City’s Housing Program is managed part time by one Senior Planner (0.4 FTE) within the Community Development Department and supported by two consultants. The first c onsultant, HouseKeys, serves as the City’s BMR Housing Administrator and is primarily responsible for preparing and maintaining BMR guidelines and program materials, coordinating all real estate transactions and agreements, conducting annual compliance monitoring, and enforcing BMR agreements and deed restrictions. HouseKeys oversees approximately 217 active units, consisting of 84 homeownership units, 51 rental units, and 82 loan units . The second consultant, Project Sentinel, provides landlord/tenant counseling and mediation services and, accordingly, is primarily responsible for resolving complaints over unit conditions and lease disputes.

The City is currently finalizing its 2023-2031 Housing Element (“Campbell’s Plan for Housing”) and through its implementation is planning for the development of over 1,685 new Below Market Rate (BMR) housing units over the next eight years. As this growth will significantly expand the size of the BMR Housing program, the City would like to now create a new program business model that has sufficient management capacity and fiscal resiliency for this oversight. Program enhancements needed for the BMR Housing program were explained in more detail within a staff report presented to the City Council on March 15, 2022.

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Attachment: Request for Proposals - Housing Program Audit (Housing Program Update and HouseKeys Consultant Services Agreement)

Preliminary Scope of Work

The following preliminary scope of work is presented as an initial outline to help the consultants gauge the minimum level of work requested and to submit a realistic project proposal. If the consultant identifies opportunities to improve the required scope of work leading to a stronger and more fiscally resilient housing program, the consultant is encouraged to submit proposals for alternative options.

Project Approach
• Determine if the preliminary scope of work includes the ste ps necessary to prepare a comprehensive audit of the City’s Housing Program as described in the ‘Overview’. You are encouraged to include additional steps and options so long as it results in a stronger proposal. • Review the preliminary project schedule and amend it, if it is determined that a revised schedule will achieve an improved outcome.

Staff Coordination
• Facilitate bi-weekly conference calls (~30 min between the City and Consultant Project Manager).

Project Management
• Should subconsultants be utilized, the prime consultant shall manage and review the subconsultant work product prior to City staff review.

Meeting Attendance
• Attend one (1) kick-off meeting with staff.
• Prepare to actively participate in a City Council meeting (plan to attend, present, and be a resource to the Council on questions ). The cost for the meeting should be priced out individually in the event a greater number of meetings are required.

Deliverables
• Kick-Off Meeting Agenda

Note: All work products noted shall be provided in Word and PDF format.

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Attachment: Request for Proposals - Housing Program Audit (Housing Program Update and HouseKeys Consultant Services Agreement) Tasks1

A. Project Kickoff. Consultant will prepare a meeting agenda and attend a kickoff meeting with City staff to discuss expectations , general goals , required resources, and schedule for the project.
 Deliverable: Kick-Off Meeting Agenda
 Deliverable: Detailed Meeting Notes
B. Initial Housing Program Review. Following the project kick- off meeting, consultant shall review resources and materials provided by staff to conduct an initial review of the existing Housing Program. In reviewing program materials and resources, the consultant shall prepare a matrix identifying key components of the program, responsible party, and any areas for improvement. Where an area for improvement is identified, the consultant shall provide a suggested ‘priority’ depending on the severity of the issue and suggested strategy for improvement. The consultant shall then prepare an overview of their initial impressions of the program and the resources required to prepare it for anticipated growth and increases in service demands.
 Deliverable: Housing Program Overview Summary
 Deliverable: Issue Identification / Improvement Strategy Matrix C. Model Housing Program Examples. Provide examples of exemplary housing programs i n other jurisdictions that have the management capacity and financial resiliency comparable to the future needs of Campbell’s Housing program. This would include programs that use an efficient management structure, balancing city staff and consultant services, a diversified financial model that ensure s sustained funding, and a track record of implementing effective housing programs that support the different housing needs in the community.

D. Draft Housing Program Business Model . Based on the review of Campbell’s housing program, evaluation of comparable case study housing programs, the consultant shall identify a new Housing Program Business Model for Campbell. This would include a summary of all upcoming program demands, anticipated costs, and potential revenue streams. The consultant shall identify funding gaps and potential solutions based on industry best practices. Further, the consultant shall project out service demands for the next eight years to implement objectives, policies, and programs included in Campbell’s Plan for Housing and suggest how to best manage workload demands while achieving program goals.  Deliverable: Draft Housing Program Business Model
E. Refined Housing Pro gram Business Model. Based on feedback from Staff, the consultant shall refine the Housing Program Business Model and provide any suggested program materials to improve the program that should be considered with its adoption.  Deliverable: Refined Housing Program Business Model

1 In response to COVID-19, the consultant should be prepared for meetings to be held virtually, in-person, or in a hybrid (in-person and virtual) format.

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Attachment: Request for Proposals - Housing Program Audit (Housing Program Update and HouseKeys Consultant Services Agreement)  Deliverable: Draft Program Materials
F. Attend City Council Meeting . Consultant will attend a meeting with the City Council providing an overview of their findings of the audit of Campbell’s Housing Program and a presentation of the recommended housing program business model and any final program materials.
 Deliverable: Preparation of a power point presentation  Deliverable: Preparation of a staff report
 Deliverable: Attendance and public speaking role

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Attachment: Request for Proposals - Housing Program Audit (Housing Program Update and HouseKeys Consultant Services Agreement) Project Funding

• Cost proposals that stay under $50,000 are expected with optional items being itemized in addition to this amount.

Desired Qualifications

The ideal consulting firm would include the following disciplines and attributes:
• Background in the administration or review of local government housing programs. • A focus on policy development and financial modeling. • A highly organized and responsive team who listens to, partners with, and is passionate about collaboration with city staff and decision makers.
• A strategic project manager with experience preparing reports and presenting findings.

Submittal Information

Minimum Eligibility Requirements

Eligible firms shall be those with experience in housing and public administration related to the major components of this Request for Proposals.

Submittal Requirements

Proposals must contain the following information listed in the following order:

1. Cover Letter. Please include a cover letter stating project interest which includes:
• A statement describing why your firm is qualified to complete the project and perform the work required in a responsive manner.
• A description of the anticipated interaction between consultant and City. • Identification of the project manager and main point of contact.

2. Review of Preliminary Scope of Work. Review the preliminary scope of work and provide comments, suggested modifications, changes and/or additions as appropriate.

3. Review of Preliminary Project Schedule. Review the preliminary project schedule and provide comments, suggested modifications, changes and/or additions as appropriate.

Indicate resources that will be allocated to each major task to meet this schedule, and discuss

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Attachment: Request for Proposals - Housing Program Audit (Housing Program Update and HouseKeys Consultant Services Agreement) your firm’s flexibility and record in “catching up” if milestone dates are not met. Discuss your firm’s commitments to other projects in the time frame coinciding with this project.

4. Qualifications and Capabilities .

Provide a detailed discussion of the qualifications and experience of the Project Manager that would be assigned to this project. Provide additional information regarding the qualifications and experience of all others that will be assigned to work on the project team. Please submit resumes of only those individuals that will actually be assigned to work on the project. Indicate how your firm’s resources will work together to complete this project. An organizational chart is recommended.

5. Subconsultants. Ide
ntify any subconsultants your firm will utilize to complete this project.

Briefly describe your firm’s past experience, working relationship and involvement in joint projects with these subconsultants. Provide additional information regarding the qualifications and experience of all others that will be assigned to work on the project team.

Please submit resumes of only those individuals that will actually be assigned to work on the project.

6. Related Project Experience. D es
cribe your firm’s Project Manager’s past performance on similar projects, including coordinating the work of subconsultants. Provide locations, description of work, work samples or links to samples, completion dates, and value of contracts. Address your firm’s record of meeting schedules and controlling costs . Provide an explanation gauging how successful implementation of the referenced project experience has been in realizing the municipality’s goals.

7. Sample Products.

Gaining an understanding of the products prepared by the consulting firm is important for the evaluation committee. Please provide PDF files on a memory stick (or internet links) to no more than three comparable documents prepared by the consulting firm.

8. Project Team Consistency.

Explain how you can guarantee that the project team members will be accessible and able to complete the project without change.

9. References.

Include names, email addresses and phone numbers for a minimum of three (3) references where you prepared similar products.

10. Fee Estimate.

Submit a fee estimate for each task outlined in the preliminary Scope of Work.

Provide a breakdown of the fee for each task showing the estimated hours of each project staff member assigned to the task and the associated fee for that project staff member or subconsultant. Also provide hourly rate schedules for all key project staff, including subconsultants.

11. Insurance Coverage.

Identify carriers, A.M. Best ratings, types and limits of insurance carried by your firm. Provide a statement verifying that your firm meets or will meet the insurance requirements.

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12. Additional Inf ormation. Please provide a list of contracts/agreements terminated for convenience or default within the past three years, if any. List any litigation that now affects or may affect in the future the firm’s ability to perform.

Submittal Deadline and Instructions

The submittal should be prepared in 8 ½” x 11” page format using a 12-point font size for the text.

PDF files. The materials may be provided on a memory stick or emailed as internet links (please test your links to ensure that no permissions are required for ac cess). Please do not submit information that must be returned.

Proposals must be received no later than 5:00 p.m., June 13, 2022, and delivered to the City Clerk’s Office as follows:

City Clerk’s Office
City of Campbell
70 N. First Street,
Campbell, California 95008
[email protected]

Questions related to the Request for Proposals (RFP) must be submitted in writing and/or via email to [email protected].

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Attachment: Request for Proposals - Housing Program Audit (Housing Program Update and HouseKeys Consultant Services Agreement) Consultant Selection Process

Short List Selection Process

A review committee will evaluate all responses to the Request for Proposals that meet the submittal requirements and the submittal deadline. Those submittals that do not meet the submittal requirements or the deadline will not be considered.

A preliminary ranking of consultant firms will be developed based on a review of each respective applicant’s Proposal. Based on this ranking, a short list of consultants will be established, and contacted in writing for interviews.

Finalists Invited for Interview

One interview with each of the top-ranking firms will be held to establish the fina l ranking.

Approximately twenty (20) minutes will be allowed for presentations and no more than thirty (30) minutes for questions by the selection group. The consultant’s proposed Project Manager must lead the presentation.

Selection Criteria

The following selection criteria will be used to rank both the Proposal and interview of the finalists.

1. Responsiveness to the issues identified in the RFP.

2. Familiarity with the challenges presented by the project.

3. Technical skills and expertise of the firm and their ability to manage a team (or team of subconsultants) to produce a complete and coordinated set of documents required by this project.

4. Relevant experience and demonstrated ability to complete a similar project in difficult communities.

5. Proven ability to complete all phases of a project within the budget and aggressive work schedule established by past clients.

6. Reputation for personal and professional integrity and competence, and key personnel’s professional background, caliber and availability for this project.

7. Qualifications and experience of proposed subconsultants identified for this project (if applicable).

8. Experience of lead consultant and subconsultant working together as a team (if applicable).

9. Familiarity with and proximity to the City of Campbell.

10. Review of firm’s current, and projected workload in the time frame coinciding with this project.

11. Ability to communicate clearly and concisely.

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Additional Information

The City reserves the right to accept or reject any or all Request for Proposals, or to alter the selection process in any way, to postpone the selection process for its own convenience at any time, and to waive any defects in the Request for Proposals. The City also reserves the right to accept or reject any individual subconsultant that a candidate proposes to use. This RFP and the interview process shall in no way be deemed to create a binding contract or agreement of any kind between the City and the candidate. The City’s standard form of consultant agreement will form the basis of the contract between the parties.

Each candidate submitting a proposal acknowledges and agrees that the preparation of all materials for submittal to the City and all presentations, related costs and tr avel expenses are at the candidate’s sole expense and the City shall not, under any circumstances, be responsible for any cost or expense incurred by the candidate. In addition, each candidate acknowledges and agrees that all documentation and/or materials submitted with the RFP shall remain the property of the City.

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Project Schedule

The preliminary scope of work is anticipated to take four months to complete from the execution of the project contract. The proposal shall include a conceptual project schedule outlining potential steps in the process.

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Attachment: Request for Proposals - Housing Program Audit (Housing Program Update and HouseKeys Consultant Services Agreement) Insurance Requirements

CONSULTANT shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to properties, which may arise from, or in connection with, the performance of the work hereunder by the CONSULTANT, his agents, representatives, employees, or sub- consultants. The cost of such insurance shall be included in the CONSULTANT’s fee.

A. Minimum Scope of Insurance

Coverage shall be at least as broad as:

1. Insurance Services Office form number GL 0002 (Ed. 1/96) covering Commercial General Liability and Insurance Services Office form number GL 0404 covering Broad Form Commercial General Liability; or Insurance Services Office Commercial General Liability coverage (“occurrence” form CG 0001), including X, C, U (explosion, collapse, underground).

2. Insurance Services Office form number CA 0001 (Ed. 12/93) covering Automobile Liability, code 1 “any auto”, or code 2 “owned autos” and endorsement CA 0025.

Coverage also to include code 8 “hired autos” and code 9 “non owned” autos.

3. Workers’ Compensation insurance as required by the Labor Code of the State of California and Employers Liability insurance.

4. Errors and Omissions Liability insurance appropriate to the CONSULTANT’s profession.

B. Minimum Limits of Insurance

CONSULTANT shall maintain limits no less than:

1. Commercial General Liability: $ 2,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit.

2. Automobile Liability: $1,000,000 combined single limit per accident for bodily injury and property damage.

3. Workers’ Compensation and Employers Liability: Workers’ Compensation limits as required by the Labor Code of the State of California and Employers Liability limits of $1,000,000 per accident.

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Attachment: Request for Proposals - Housing Program Audit (Housing Program Update and HouseKeys Consultant Services Agreement)

4. Errors and Omissions Liability: $1,000,000 per occurrence.

C. Deductibles and Self- Insured Retentions
Any deductibles of self-insured retentions must be declared to, and approved by, the CITY.

At the options of the CITY, either: the insurer shall reduce or eliminate such deductibles or self -insured retentions as respects the CITY, its officials, employees, agents, and contractors; or the CONSULTANT shall procure a bond guaranteeing payment of losses and related investigations, claim administration, and defense expenses in an amount specified by the CITY.

D. Other Insurance Provisions

The policies are to contain, or be endorsed to contain, the following provisions:

1. General Liability and Automobile Liability Coverages

a. The CITY, its officials, employees, agents, and contractors are to be covered as an additional insureds as respects: liability arising out of activities performed by, or on behalf of, CONSULTANT; products and completed operations of the CONSULTANT; premises owned, leased, or used by the CONSULTANT; or automobiles owned, leased, hired, or borrowed by the CONSULTANT. The coverage shall contain no special limitations on the scope of protection afforded to the CITY, its officials, employees, agents, and contractors.

b. The CONSULTANT’s i nsurance coverage shall be the primary insurance as respects the CITY, its officials, employees, agents, and contractors. Any insurance or self -insurance maintained by the CITY, its officials, employees, agents, or contractors shall be excess of the CONSUL TANT’s insurance shall not contribute with it.

c. Any failure to comply with the reporting provisions of the policies shall not affect coverage provided to the CITY, its officials, employees, agents, or contractors.

d. Coverage shall state that CONSULTANT’s insurance shall apply separately to each insured against whom claim is made or suit is brought except with respect to the limits of the insurer’s ability.

2. All Coverages

Each insurance policy required by this clause shall be endorsed to state that coverage shall not be suspended, voided, canceled, or reduced in limits except after thirty (30) days’ prior written notice has been given to the CITY.

E. Acceptability of Insurers

Without limiting Consultant's indemnification prov ided hereunder, Consultant shall take

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Attachment: Request for Proposals - Housing Program Audit (Housing Program Update and HouseKeys Consultant Services Agreement) out and maintain at all times during the life of this contract, up to the date of acceptance of the work by the City, the policies of insurance listed in Article 9.2 of this Agreement.

Insurance is to be issued by an issuer with a current A.M. Best Rating of A:VII and be authorized to transact business in the State of California, unless otherwise approved by the City.

F. Verification of Coverage

CONSULTANT shall furnish the CITY with certificates of insurance and with original endorsements affecting coverage required by this clause. The certificates and endorsements for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf.

Copies of all the required ENDORSEMENTS shall be attached to the CERTIFICATE OF INSURANCE, which shall be provided by the CONSULTANT’s insurance company as evidence of the stipulated coverages. This proof of insurance shall then be mailed to:

CITY OF CAMPBELL
Community Development Department
70 North First Street
Campbell, CA 95008-1423

G. Subconsultants

CONSULTANT shall include all subconsultants as insureds under its policies or shall obtain separate certificates and endorsements for each subconsultant.

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Attachment: Request for Proposals - Housing Program Audit (Housing Program Update and HouseKeys Consultant Services Agreement) To: Mayor Resnikoff and City Council Members

Date: May 19, 2022
From: Rob Eastwood, Community Development Director
Via: Brian Loventhal, City Manager

Subject: Hiring of a consultant to audit Campbell’s Housing Program

This memorandum is intended to inform the Council on the status of the procurement process to hire a consultant to audit Campbell’s Housing Program

At the March 15, 2022, Council meeting, the Council accepted a report identifying a list of recommended improvements to Campbell’s Below Market Rate (BMR) Housing program. The report identified both a list of short-term improvement actions and a longer- term strategy of hiring a consultant to conduct a comprehensive audit of Campbell’s Housing program. This audit would consider the anticipated growth in the BMR Housing Program in association with implementation of Campbell’s 2023- 2031 Housing Element (“Campbell’s Plan for Housing”) that will plan for the development of over 3,000 housing units, of which at least 1,685 units are planned to be BMR units that would enroll into the City’s Housing Program. The audit would identify strategies for program matic improvements to enhance the management capacity and fiscally sustainability of the program.

As part of the Fiscal Year 2022 Mid-Year Budget, the Council authorized new funding of $200,000 in the Community Development Department budget to support the hiring of a consultant to conduct the Housing Program audit. Consistent with the procurement procedures in Campbell’s Municipal Code, the release of a Request for Proposals (RFP) for this work, in this amount, would be reviewed by the City Council.

In late April 2022, staff began to refine the RFP for the Housing Audit and contact eligible consultants and individuals who could perform the work and respond to the RFP. Based on feedback from the consultants contacted and refinements to the RFP, staff now anticipates that the total cost for the Housing Program audit services would not exceed $50,000. Per the procurement procedures in the Campbell Municipal Code, the distribution of an RFP and hiring of a consultant in this amount would be conducted by staff.

On May 13, 2022, Staff published the RFP (link below) to solicit a consultant to conduct the Housing Program audit. The RFP was distributed to several known qualified MEMORANDUM City of Campbell

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Attachment: Memo to Council - Housing Audit Consultant, May 19, 2022 (Housing Program Update and HouseKeys Consultant Services Update on Campbell’s Plan for Housing Page 2 of 3

consultants that staff had previously contacted and through trade websites (American Planning Association) and on LinkedIn. Based on initial interest, staff anticipates the City will at minimum receive several proposals.

It is anticipated that once the consultant is selected the audit would be conducted over a 4-6 month period and will include a thorough review of the housing program’s fiscal and management model, the identification of programmatic improvements based on industry standards and exemplary models from other jurisdictions, and a recommended implementation plan.

Once reviewed by staff, these results will be presented to the City Council, anticipated to occur in the Winter of 2022 / 2023. This timing coincides with the adoption and start of implementation of the Housing Element, and thus will better inform the City on programmatic improvements needed to manage the associated housing growth over the next eight years.

Housing Program Audit RFP -
https://www.campbellca.gov/DocumentCenter/View/19067/Request-for-Proposals---Housing- Program-Audit-Final

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Attachment: Memo to Council - Housing Audit Consultant, May 19, 2022 (Housing Program Update and HouseKeys Consultant Services

City of Campbell / HouseKeys
Below Market Rate (BMR) Program
Rental Application Guide
[November 2018 Draft]

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Attachment: BMR Rental Application Guide - November 2018 (1297 : BMR Guidelines (Resolution/Roll

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Attachment: BMR Guidelines; established by CC Res. 12375 (Housing Program Update and HouseKeys Rental Application Guide
Below Market Rate (BMR) Program

TABLE OF CONTENTS

1. Introduction Page 2

2. Online Web Portal Page 3

3. Establishing an Account Page 4

4. Household Information Profiles Page 5

5. Application Process Page 6

6. Below Market Rate (BMR) Maximum Rental Rates Page 11

7. Tenant Selection, Lease Signing, and Move In Page 12

8. Participant / Tenant Compliance, Responsibilities, and Annual Recertification Page 13

9. The Application File Structure & Application Criteria Page 14

10. Eligibility Criteria and Preferences Page 15

11. Qualification Factors Page 19

12. Income Inclusion and Exclusion Page 21

13. Reasonable Accommodation and Exception Requests Page 24

14. Landlord Compliance and Owner / Management Responsibilities Page 25