Capitola City Council
September 26, 2024

REVISED 9/26/2024 3:00 PM
City of Capitola
City Council Meeting Agenda
Thursday, September 26, 2024 – 6:00 PM
City Council Chambers
420 Capitola Avenue, Capitola, CA 95010
Mayor: Kristen Brown
Vice Mayor: Yvette Brooks
Council Members: Joe Clarke, Margaux Morgan, Alexander Pedersen Regular Meeting of the Capitola City Council – 6 PM
All correspondence received prior to 5:00 p.m. on the Wednesday preceding a Council Meeting will be distributed to Councilmembers to review prior to the meeting. Information submitted after 5 p.m. on that Wednesday may not have time to reach Councilmembers, nor be read by them prior to consideration of an item.

1. Roll Call and Pledge of Allegiance
Council Members Joe Clarke, Margaux Morgan, Alexander Pedersen, Yvette Brooks, and Mayor Kristen Brown.

2. Additions and Deletions to the Agenda

3. Presentations
Presentations are limited to eight minutes.

A. Presentation Recognizing 2024 Junior Guard Participants.

4. Additional Materials
Additional information submitted to the City after distribution of the agenda packet.

A. Item 7D - Correspondence Received
B. Item 8A - Correspondence Received
C. Item 8B - Correspondence Received

5. Oral Communications by Members of the Public
Oral Communications allows time for members of the Public to address the City Council on any “Consent Item” on tonight’s agenda, or on any topic within the jurisdiction of the City that is not on the “General Government/Public Hearings” section of the Agenda. Members of the public may speak for up to three minutes, unless otherwise specified by the Mayor. Individuals may not speak more than once during Oral Communications. All speakers must address the entire legislative body and will not be permitted to engage in dialogue. A maximum of 30 minutes is set aside for Oral Communications.

6. Staff / City Council Comments
Comments are limited to three minutes.

7. Consent Items
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City of Capitola Page 2
All items listed as “Consent Items” will be enacted by one motion in the form listed below. There will be no separate discussion on these items prior to the time the Council votes on the action unless members of the City Council request specific items to be discussed for separate review. Items pulled for separate discussion will be considered following General Government. Note that all Ordinances which appear on the public agenda shall be determined to have been read by title and further reading waived.

A. City Council Meeting Minutes
Recommended Action: Approve minutes from the regular meeting on September 12, 2024.

B. City Check Registers
Recommended Action: Approve check registers dated August 30, 2024, September 6, 2024, and September 13, 2024.

C. State Grant Administration Agreement Amendment
Recommended Action: Authorize the City Manager to execute Amendment 3 to the Professional Services Agreement with Adams Ashby Group for grant administration services for 2023 Community Development Block Grant Administration in the amount of $100,000, for a total contract value of $240,052.

D. Annexation Feasibility Plan Development Contract Award Recommended Action: Authorize the City Manager to execute an agreement with RSG Inc. to study the feasibility of annexation in an amount not to exceed $45,000, subject to City Attorney review and approval.

E. 2024 Holiday Parking
Recommended Action: Authorize the suspension of parking meter and pay station operation to allow free three-hour parking in the Village Parking Meter Zone A (1) from November 28, 2024, through December 25, 2024.

F. 2024 CDBG Grant Application
Recommended Action: Adopt a resolution authorizing staff to prepare and submit an application under the 2024 Community Development Block Grant Program for the Jade Street Community Center Project Phase II and Public Service Food Distribution Programs.

8. General Government / Public Hearings
All items listed in “General Government / Public Hearings” are intended to provide an opportunity for public discussion of each item listed. The following procedure pertains to each General Government item: 1) Staff explanation; 2) Council questions; 3) Public comment; 4) Council deliberation; 5) Decision.

A. Dog Park at Noble Gulch Park
Recommended Action: 1) Provide feedback on the proposed dog park design; 2) approve the Coastal Development Permit; 3) defer the funding decision to future budget discussions; and/or 4) direct staff to assess interest in donations and/or community fundraising for the project.

B. Daylighting Law AB 413 – Village Parking
Recommended Action: 1) Review the AB 413 compliance approach in the Village and Citywide; and 2) approve the Coastal Development Permit.

C. Public Art Project
Recommended Action: Adopt a resolution: 1) approving the Begonia Commemorative Public Art Project, 2) authorizing the City Manager to execute a Professional Services Agreement with artist Geoffrey Nelson in the amount of $40,000 for the Project, and 3) amending the adopted 2 City Council Meeting Agenda – September 26, 2024
City of Capitola Page 3
FY 2024-25 budget to accept a $20,000 donation from the Capitola Beach Festival and allocate funding for preparation of the project site for installation.

9. Adjournment - The next regularly scheduled City Council meeting is on October 10, 2024 at 6:00 PM.
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How to View the Meeting
Meetings are open to the public for in-person attendance at the Capitola City Council Chambers located at 420 Capitola Avenue, Capitola, California, 95010.

Other ways to Watch:

Spectrum Cable Television channel 8
City of Capitola, California YouTube Channel
To Join Zoom Application or Call in to Zoom:

Meeting
link: https://us02web.zoom.us/j/83328173113?pwd=aVRwcWN3RU03Zzc2dkNpQzRWVXAydz09 Or dial one of these phone numbers: 1 (669) 900 6833, 1 (408) 638 0968, 1 (346) 248 7799 Meeting ID: 833 2817 3113
Meeting Passcode: 678550
How to Provide Comments to the City Council
Members of the public may provide public comments to the City Council in-person during the meeting.

If you are unable to attend in-person, please email your comments to [email protected] and they will be included as a part of the record for the meeting. Please be aware that the City Council will not accept comments via Zoom.

Notice regarding City Council: The City Council meets on the 2nd and 4th Thursday of each month at 6:00 p.m. in the City Hall Council Chambers located at 420 Capitola Avenue, Capitola.

Agenda and Agenda Packet Materials: The City Council Agenda and the complete Agenda Packet are available for review on the City’s website and at Capitola City Hall prior to the meeting. Need more information? Contact the City Clerk’s office at 831-475-7300.

Agenda Materials Distributed after Distribution of the Agenda Packet: Pursuant to Government Code §54957.5, materials related to an agenda item submitted after distribution of the agenda packet are available for public inspection at the Reception Office at City Hall, 420 Capitola Avenue, Capitola, California, during normal business hours.

Americans with Disabilities Act: Disability-related aids or services are available to enable persons with a disability to participate in this meeting consistent with the Federal Americans with Disabilities Act of 1990. Assisted listening devices are available for individuals with hearing impairments at the meeting in the City Council Chambers. Should you require special accommodations to participate in the meeting due to a disability, please contact the City Clerk’s office at least 24 hours in advance of the meeting at 831-475-7300. In an effort to accommodate individuals with environmental sensitivities, attendees are requested to refrain from wearing perfumes and other scented products.

Si desea asistir a esta reunión pública y necesita ayuda - como un intérprete de lenguaje de señas americano, español u otro equipo especial - favor de llamar al Departamento de la Secretaría de 3 City Council Meeting Agenda – September 26, 2024
City of Capitola Page 4
la Ciudad al 831-475-7300 al menos tres días antes para que podamos coordinar dicha asistencia especial o envié un correo electrónico a [email protected].

Televised Meetings: City Council meetings are cablecast “Live” on Charter Communications Cable TV Channel 8 and are recorded to be rebroadcasted at 8:00 a.m. on the Wednesday following the meetings and at 1:00 p.m. on Saturday following the first rebroadcast on Community Television of Santa Cruz County (Charter Channel 71 and Comcast Channel 25). Meetings are streamed “Live” on the City’s website by clicking on the Home Page link “Meeting Agendas/Videos.” Archived meetings can be viewed from the website at any time. 4 1
Gautho, Julia
From: Mick <[email protected]>
Sent: Friday, September 20, 2024 2:54 PM
To: City Council
Subject: Item 7D
Follow Up Flag: Follow up
Flag Status: Flagged
Mayor and Council,
There is no legal obligaƟon by the city to follow the LAFCO recommendaƟon to perform an annexaƟon study for the city’s sphere of influence.

Unless Capitola has some desire to annex non-revenue producing residenƟal neighborhoods that will further strain city services without producing off-seƫng revenue, why would such a study be needed? There is a reason previous councils never pursued addiƟonal annexaƟons. Seems like a waste of city funds.

Mick Routh
Sent from my iPhone
5 Item 4 A.
1 Gautho, Julia
From: Balicia Embernate <[email protected]>
Sent: Wednesday, September 25, 2024 10:39 AM
To: City Council
Subject: Nobel Gulch DP
Follow Up Flag: Follow up
Flag Status: Flagged
As I’m unable to make the meeƟng on Thursday, I’m sending in my thoughts today.

I’m highly in favor of using this space on Monterey Ave. as a dog park! As a Capitola City resident and dog owner, it’s a win win! Dogs are not allowed on the wharf or beach. And they are not allowed at parks off leash. Nobel Gulch is a fantasƟc locaƟon for a small dog park. There is minimal neighborhood impact as only four/five property lines are impacted. The noise from a dog park should not add to noise already heard by these neighbors from the schools students walking by before/aŌer school, as well as the traffic from Monterey Ave.

To minimize impact to neighbors the entry to said dog park should be facing Monterey Ave(not Bay-since theres a neighbor right there.) and there should be an earlier than sunset closing for the dog park.

A few neighbors and I had conversaƟon about this exact idea but had only made a few inquiries to the city. This is a great locaƟon, low impact, FANTASTIC idea! And we’d use it daily if implemented! Thank you for your consideraƟon!
Rio the Golden and his family~
B. Embernate
Capitola resident
Sent from my iPhone
6 Item 4 B.
1 Gautho, Julia
From: Jesse Dresbach <[email protected]>
Sent: Wednesday, September 25, 2024 9:16 PM
To: City Council
Subject: Noble Gulch Dog Park Comment
Follow Up Flag: Follow up
Flag Status: Flagged
Hello!
My name is Jesse Dresbach, I live on Plum St. in Capitola - and LOVE the idea of a dog park at Noble Gulch. I actually wrote to the city a year or so ago with the idea, and was told it would be best to attend in person and present the idea. Since I can't make the meetings due to work, I was unable to attend. So I'm thrilled to see that someone brought the idea up!
I think this would be a valuable asset to the community, especially since it's a park that does not have a playground or a school attached, so concerns over safety would be resolved... as well as being centrally located to so many neighborhoods. Capitola has so many dogs, when we moved here over 2 years ago, it's the first thing we noticed! We too now have a dog, and walk by this park often. We were surprised that Capitola Beach does not allow dogs, and also the wharf (though it might now?) - so there really aren't a lot of walkable options for the dog owners of the neighborhoods to gather and let their dogs roam free. The dog park by the freeway on Park is fantastic, but not very walkable, especially without sidewalks & the high traffic of that intersection.

Thank you for bringing this idea to fruition, everyone I know in the neighborhood is in full support! Sincerely,
Jesse Dresbach
Plum St.
7 Item 4 B.
1 Gautho, Julia
From: John <[email protected]>
Sent: Friday, September 20, 2024 1:53 PM
To: Gautho, Julia; City Council; PLANNING COMMISSION; Kahn, Jessica Subject: Re Item 8B Daylighting Law AB 413
Follow Up Flag: Follow up
Flag Status: Flagged
Suggest we convert the two spaces outside 301 Capitola Ave (David Lyng) to bike parking. That parking lot is already where we have bike parking for events like art and wine because it is a natural space to park bikes to minimize them on the esplanade/ retail section of the village.

The trail build will already direct more bike traffic into the lower village than we have infrastructure for.

It’s best to build the bike parking now before the storm, like Noah.

The KH report on Daylighting for Capitola states:

Capitola Ave / Stockton Ave
This location has on-street parking on the Capitola Avenue eastbound and westbound intersection approaches prior to the crosswalk as well as on the Stockton Avenue one-way southbound approach prior to the crosswalk. The crosswalks at the intersection all have raised curb extensions.

Under existing conditions, space #280 and #328 along Capitola Avenue are located within 15' of the crosswalk with a curb extension and would require one of the following actions to meet the daylight requirements.

1. 1
1)Remove the striped parking space;
2)Repurpose the striped space into bicycle or motorized scooter parking (CVC Section 22500(n)(3)) Expert advice we will regret ignoring.

Warmly JM
8 Item 4 C.

City of Capitola
City Council Meeting Minutes
Thursday, September 12, 2024 – 6:00 PM
City Council Chambers
420 Capitola Avenue, Capitola, CA 95010
Mayor: Kristen Brown
Vice Mayor: Yvette Brooks
Council Members: Joe Clarke, Margaux Morgan, Alexander Pedersen Regular Meeting of the Capitola City Council – 6 PM

1. Roll Call and Pledge of Allegiance – The meeting was called to order at 6:00 PM. In attendance: Council Members Morgan, Vice Mayor Brooks, and Mayor Brown. Absent: Council Members Clarke and Pedersen.

2. Additions and Deletions to the Agenda – None

3. Presentations
A. Mayor Brown presented a Proclamation Recognizing the 100th Anniversary of the Construction of the Venetian Court
B. Police Chief Dally introduced Police Officer Erik Estrada

4. Additional Materials
A. Item 7C, 7D, and 8B – One email received after publication of the agenda packet.

B. Item 7D - One email received after publication of the agenda packet.

5. Oral Communications by Members of the Public
 Charlotte Link
 Goran Klepic
 Marilyn Garrett

6. Staff / City Council Comments
 Council Member Morgan reminded the public of the Annual Art and Wine Festival, hosted by the Chamber of Commerce on September 14th and 15th.
 Vice Mayor Brooks advised the public of the last Food Truck Friday Event at Monterey Park on September 13th.
 Mayor Brown shared remarks about the Recreation and Community Services Department After-School Programs, reminded youth that they can submit essays to the “Mayor for a Day” Contest, and advised the public of the Grand Reopening of the Capitola Wharf on September 25th.

7. Consent Items
A. City Council Meeting Minutes
Recommended Action: Approved minutes from the regular meeting on August 22, 2024.

B. City Check Registers
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City Council Meeting Minutes – September 12, 2024
City of Capitola Page 2
Recommended Action: Approved check registers dated August 9, 2024, August 16, 2024, and August 23, 2024.

C. VDUBlicious Car Show
Recommended Action: Approved a new Major Special Event Permit request from the VDUBlicious Car Club to host a car show in Capitola Village on Saturday, May 17, 2025, from 7:00 am to 5:00 pm.

D. 41st Avenue Pavement Rehabilitation and Multimodal Improvements Recommended Action: Adopted Resolution No. 4395 to amend the FY 2024-25 budget to allocate $300,000 of Santa Cruz County Regional Transportation Commission grant funding to the Capital Improvements Budget for planning, specifications, and permits related to the 41st Avenue Pavement Rehabilitation and Multimodal Improvements Project.

Motion to approve the Consent Calendar: Council Member Morgan Second: Vice Mayor Brooks
Voting Yea: Council Members Morgan, Vice Mayor Books, Mayor Brown

Absent: Council Members Clarke and Pedersen

8. General Government / Public Hearings
A. Capitola Wharf Long-Term Use and Development Plan
Recommended Action: Authorized the City Manager to execute an agreement with Fuse Architecture for outreach, planning, and design services for the Long-Term Use and Development Plan for the Capitola Wharf in an amount not to exceed $75,000, subject to City Attorney review and approval.

Community Development Director Herlihy presented the staff report.

Public Comments:
 Marilyn Garrett
The City Council discussed the importance of involving City advisory bodies and stakeholder groups (CVWBIA, Venetians HOA, business owners) in the public outreach process for this Project.

Motion to authorize the City Manager to execute an agreement with Fuse Architecture:

Vice Mayor Brooks
Second: Council Member Morgan
Voting Yea: Council Members Morgan, Vice Mayor Books, Mayor Brown

Absent: Council Members Clarke and Pedersen
B. McGregor Asphalt Pump Track
Recommended Action: Authorized the City Manager to execute a Professional Services Agreement with American Ramp Company for the McGregor Asphalt Pump Track Project in an amount not to exceed $120,125; and adopted Resolution No. 4396 amending the FY 2024-25 Budget to accept a donation of $90,000 for this project.

Public Works Director Kahn presented the staff report.

Public Comments:
 Marilyn Garrett
Motion to authorize the City Manager to execute an agreement with American Ramp Company and adopt Resolution No. 4396: Council Member Morgan Second: Mayor Brown
10 Item 7 A.

City Council Meeting Minutes – September 12, 2024
City of Capitola Page 3
Voting Yea: Council Members Morgan, Vice Mayor Books, Mayor Brown

Absent: Council Members Clarke and Pedersen
C. Strategic Plan Project Update
Recommended Action: Review the Strategic Plan Project progress and projected timeline.

Chloe Woodmansee, Assistant to the City Manager, presented the staff report.

Public Comments:
 Marilyn Garrett
The City Council discussed the addition of an interactive budgeting element for members of the public to engage with and the importance of multi-modal approaches to public outreach.

9. Adjournment - The meeting was adjourned at 6:50 PM. The next regularly scheduled City Council meeting is on September 26, 2024 at 6:00 PM.
11 Item 7 A.

Capitola City Council
Agenda Report
Meeting: September 26, 2024
From: Finance Department
Subject: City Check Registers
Recommended Action: Approve check registers dated August 30, 2024, September 6, 2024, and September 13, 2024.

Account: City Main
Date Starting Check # Ending Check # Payment
Count Amount
08/30/2024 107078 107135 66 $ 945,544.08
09/06/2024 107136 107186 52 $ 316,279.47
09/13/2024 107187 107252 72 $ 349,267.80
The main account check register dated August 23, 2024, ended with check #107077.

Account: Payroll
Date Starting
Check/EFT #
Ending
Check/EFT #
Payment
Count Amount
08/30/2024 - - - -
09/06/2024 26098 26217 120 $ 213,462.76
09/13/2024 5883 5884 2 $ 4,266.56
The payroll account check register dated August 23, 2024, ended with EFT #26097.

Following is a list of payments issued for more than $10,000 and descriptions of the expenditures:

Check/
EFT Issued to Dept Description Amount
107084 Betz Works Inc PW Bay/Hill Intersection Quick
Build $ 73,680.00
107091 Community Action Board CDD Capitola Emergency Housing Assistance $ 20,048.82
107092 Cushman Contracting Corp
Escrow PW June Wharf Project Retainer $ 10,334.17
107093 Cushman Contracting
Corporation PW June Wharf Resiliency and Public Access Project Services $ 196,349.32 107095 Diamond D Company PW Upper Village Parking Lot
Sidewalk Improvements $ 39,400.00
107099 Fuse Construction Inc PW CWEP: Wharf Entry Arch $ 134,480.00 107107 Kimley Horn and
Associates Inc PW Public Works Consulting Services $ 23,735.00 107124 Santa Cruz County Dept of
Public Works PW FY24/25 Household Hazardous Waste program $ 27,428.00 12 Item 7 B.
107128 Triad Electric Inc PW Completion of Wharf Phase 2 Electrical Work $ 46,790.00
107133 Verde Design Inc PW Jade Street Accessibility Path Services $ 33,343.61
107134 Visit Santa Cruz County Fin TMD Pass Through Apr-Jun $ 68,379.30 1780 Wells Fargo Bank Fin July Credit Card Charges $ 17,837.49 1782 CalPERS Member
Services Division CM PERS Contributions PPE 8/17/24 $ 67,147.37 1783 Employment Development
Department CM State Taxes PPE 8/17/24 $ 12,144.45
1784 Internal Revenue Service CM Federal Taxes & Medicare PPE 8/17/24 $ 40,897.56
107139 Anderson Pacific
Engineering Construction PW Stockton Ave Bridge Repairs $ 14,610.00 107141 Axon Enterprise Inc PD Axon PD Equipment $ 66,998.24 107143 Burke Williams and
Sorensen LLP CM July Legal Services $ 43,486.72
107161 ParkPacific Inc PW CWEP: Benches, litter
containers, picnic tables $ 46,615.70
1781 CalPERS Health Insurance CM September Health Insurance $ 85,988.09 107193 Betz Works Inc PW Park at Rispin Mansion Project Services $ 101,973.00
107228 MV Transportation Inc PW August Shuttle Service $ 16,740.00 107239 Santa Cruz County Auditor
Controller Fin August Citation Processing $ 10,264.00
107243 Soquel Creek Water
District PW Monthly Water & Irrigation Services $ 19,726.20 1788 CalPERS Member
Services Division CM PERS Contributions PPE 8/31/24 $ 67,745.69 1789 Employment Development
Department CM State Taxes PPE 8/31/24 $ 12,506.37
1790 Internal Revenue Service CM Federal Taxes & Medicare PPE 8/31/24 $ 41,592.11
Attachments:

1. 08-30-24 Check Register

2. 09-06-24 Check Register

3. 09-13-24 Check Register
Report Prepared By: Luis Ruiz, Accountant I
Reviewed By: Julia Gautho, City Clerk and Jim Malberg, Finance Director Approved By: Jamie Goldstein, City Manager
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Capitola City Council
Agenda Report
Meeting: September 26, 2024
From: Community Development Department
Subject: State Grant Administration Agreement Amendment Recommended Action: Authorize the City Manager to execute Amendment 3 to the Professional Services Agreement with Adams Ashby Group for grant administration services for 2023 Community Development Block Grant Administration in the amount of $100,000, for a total contract value of $240,052.

Background: Paul Ashby, of Adams Ashby Group, has provided grant administration services to the City since 2011, including required HOME Investment Partnership Program reporting for the Bay Avenue Senior Housing project and Community Development Block Grant (CDBG) project administration for various qualifying programs. The City initially entered into a Professional Services Agreement with the Adams Ashby Group in June of 2020 in response to CDBG COVID-19 funding.

The current contract with Adams Ashby Group was entered into on June 16, 202 to administer the first round of CDBG-CV (corona virus) funding. On March 25, 2021, the contract was amended for an additional round of CDBG-CV funding. On February 22, 2024, the contract was amended for the second time for annual HOME reporting ($3,700/year), administration of the 2021 CDBG Grant ($35,000), the 5-year Permanent Local Housing Allocation (PLHA) grant administration, and the 2023 HOME Investment Partnership Program application ($10,000) for the Dakota Apartments. The CDBG-CV grants have been closed out, but all other grant administration is current and the provisions of the original contract remain intact.

On January 31, 2024, the California Department of Housing and Community Development released the 2023 CDBG Notice of Funding Availability (NOFA). At the direction of the City Council, staff applied for the maximum amount of CDBG funding ($3.3M) for the Jade Street Community Center renovations, including $100,000 for Adams Ashby Group's administration of the grant.

Discussion: On June 23, 2024, the City was conditionally awarded the 2023 CDBG grant in the amount of $3,300,000. Of the awarded funding, $3,200,000 will be used for the Jade Street Community Center renovations, and $100,000 will be allocated to Adams Ashby Group to administer the grant. The standard agreement from the state for the grant funding is pending.

The Jade Street Community Center is a crucial facility for Capitola, serving as a hub for various community programs and events. The renovation project will address significant upgrades needed to improve accessibility, modernize facilities, and enhance overall functionality. The planned improvements include a new multi-purpose room, updated kitchen facilities, expanded outdoor spaces, and enhanced ADA-compliant features. These upgrades aim to better serve the community’s needs and support a wide range of activities and services.

CDBG administrative contracts may be in place for a five-year period and altered through amendments.

This is the third contract amendment and reflects the inclusion of 2023 CDBG grant administration increasing the contract from $140,052 to $240,052. The contract also continues to cover annual reporting for the Bay Avenue HOME loan ($4,100), administration of the 2021 CDBG Grant ($35,000), PLHA grant administration ($31,527), and 2023 Home application ($10,000) for the Dakota Apartments.

Fiscal Impact: The $100,000 for 2023 CDBG grant administration will be funded by the 2023 CDBG grant.

Attachments:
41 Item 7 C.

7.0 Packet Pg. 2

1. Contract Amendment
Report Prepared By: Katie Herlihy, Community Development Director Reviewed By: Julia Gautho, City Clerk; Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
42 Item 7 C.
3rd AMENDMENT TO THE

PROFESSIONAL SERVICES AGREEMENT
between
CITY OF CAPITOLA and ADAMS ASHBY GROUP
WHEREAS, on September 26, 2024, the City of Capitola (City) and the Adams Ashby Group (the “Parties”) entered into CDBG Grand Administration (“Agreement”); and WHEREAS, the Parties wish to amend the Contract to increase the contract value.

THEREFORE BE IT RESOLVED:

1. Appendix one is amended to include HOME Grant Administration, PLHA Grant Administration, and CDBG Grant Administration; and

2. Appendix two is amended to Increase the not to exceed amount from $140,052 to $240,052. Increase amounts will be used for CDBG Grant Administration including preparation and administration services by the Adams Ashby Group.

All other terms and conditions of the Agreement remain in full force and effect.

CONSULTANT: Adams Ashby Group.
__________________________________ Date: ___________________ By:

CITY OF CAPITOLA
___________________________________ Date: ___________________ By: Benjamin Goldstein, City Manager
APPROVED AS TO FORM:
___________________________________ Date: ___________________ Samantha W. Zutler, City Attorney
43 Item 7 C.

Capitola City Council
Agenda Report
Meeting: September 26, 2024
From: City Manager Department
Subject: Annexation Feasibility Plan Development Contract Award Recommended Action: Authorize the City Manager to execute an agreement with RSG Inc. to study the feasibility of annexation in an amount not to exceed $45,000, subject to City Attorney review and approval.

Background: The City of Capitola's current sphere of influence, as defined by the Santa Cruz Local Agency Formation Commission (LAFCO), includes approximately 2,200 parcels totaling 622 acres outside the existing city limits. In 2022, LAFCO conducted a service and sphere review for the City, which reaffirmed the current sphere and recommended the City develop a plan to assess the annexation of these parcels. The City is under a May 2027 deadline, set by LAFCO, to submit this analysis.

As a part of the budget goals and priorities for FY 2024-25, and as recommended by LAFCO, the City Council identified a need to evaluate the fiscal, operational, and service impacts of annexing a portion of unincorporated Santa Cruz County into Capitola. This analysis will guide the City in determining if, when, and how the parcels within its sphere of influence could potentially be annexed. The City Council allocated $30,000 towards the project in the approved FY 2024-25 Budget. The City also received $15,000 from LAFCO for the project, bringing the total allocated funding to $45,000.

Discussion: Staff issued a Request for Proposals (RFP) on August 14, 2024, with a submission deadline of Monday, September 9. Though the RFP was distributed to more than 45 consultants, the City only received two proposals, each costing more than the City’s $45,000 budget allocation. Other than the costs, the two proposals were similar in that they were from reputable consultants that City staff is confident would complete the project satisfactorily. Staff worked with both firms to amend their project budgets and slightly modify the scope of work.

City and LAFCO staff recommend awarding an agreement to RSG, Inc. because of their detailed understanding of the project scope, experience with similar projects, and excellent references. RSG’s amended fee proposal is $44,995.

Key tasks and outcomes outlined in the proposal (Attachment 1) are:
 Data collection and interviews.
 Fiscal, service, and additional analysis.
 10-year fiscal model based on projected growth.
 Findings and recommendations on policy and, dependent on findings, potential next steps.

The City will not be obligated or required to annex based on the findings. Upon City Council approval, the City will work with RSG to initiate the annexation study following a timeline projecting a six-month work plan.

Fiscal Impact: Fiscal Year 2024-25 includes $45,000 for annexation feasibility plan development.

Attachments:

1. RSG Proposal

2. Agreement
Report Prepared By: Chloé Woodmansee, Assistant to the City Manager Reviewed By: Julia Gautho, City Clerk
Approved By: Jamie Goldstein, City Manager
44 Item 7 D.

PROPOSAL FOR ANNEXATION PLAN DEVELOPMENT

CITY OF CAPITOLA
SEPTEMBER 19, 2024
45 Item 7 D.

CONTENTS
PROJECT UNDERSTANDING .....................................................................................................................1 SCOPE OF WORK .........................................................................................................................................2 Project Kickoff......................................................................................................................................................................... 2 Analysis........................................................................................................................................................................................ 2 Present Findings and Recommendations.......................................................................................................... 3 Fee Proposal................................................................................................................................................................................. 3 RSG Billing Rates & Fee Schedule ................................................................................................................................. 3 PERSONNEL ...................................................................................................................................................6 Project and Team Management Practices .............................................................................................................6 RELATED EXPERIENCE...............................................................................................................................9 About RSG......................................................................................................................................................................................9 Mission Statement...............................................................................................................................................................9 Core Values...............................................................................................................................................................................9 Qualifications .............................................................................................................................................................................10 Work Experience.....................................................................................................................................................................10 Annexation Studies...........................................................................................................................................................10 Municipal Service Reviews.............................................................................................................................................11 Incorporation Studies.......................................................................................................................................................12 Other Reorganizational Studies................................................................................................................................12 Other Fiscal or Operational Studies........................................................................................................................12 References ...................................................................................................................................................................................14 Annexation Fiscal Impact Analyses – City of Martinez .............................................................................14 Annexation Fiscal Impact Analyses – City of Citrus Heights ................................................................14 Four Cities Municipal Services Review – LA LAFCO....................................................................................14 PROJECT SCHEDULE ................................................................................................................................ 15 46 Item 7 D.

S A N D I E G O • L O S A N G E L E S • O A K L A N D
170 Eucalyptus Ave., Suite 200, Vista, CA 92084 ½ 714.541.4585 ½ rsgsolutions.com September 19, 2024 Via Electronic Mail
[email protected]
Chloe Woodmansee, Assistant to the City Manager
City of Capitola
420 Capitola Avenue
Capitola, CA 95010

PROPOSAL FOR ANNEXATION PLAN DEVELOPMENT SERVICES
Dear Ms. Woodmansee:

In response to your August 14, 2024 Request for Proposals (“RFP”), RSG Inc. (“RSG”) is pleased to present this proposal for consulting services to the City of Capitola (“City”). Based on RSG’s understanding of the RFP, the City is interested in developing an annexation plan for the unincorporated sphere of influence.

RSG has prepared annexation studies for the following clients in the last 2 years: Belmont, Citrus Heights, Martinez, and Huntington Beach, while also preparing the comprehensive fiscal analysis for incorporation of a new city (Mountain House) in San Joaquin County. We have prepared dozens of fiscal impact studies for development projects that often involve many of the same types of analyses projecting tax revenues and service costs as an annexation. We have also led engagement discussions on two economic development strategies, one nonprofit strategic plan, and infill development projects.

Additionally, RSG has worked extensively with LAFCOs throughout the state, including the Los Angeles LAFCO, for which we have prepared several MSRs and recently conducted outreach to evaluate the need for MSRs in the future.

RSG is proud to be an active member of the California Association of Local Agency Formation Commissions (“CALAFCO”), where I am honored to serve in the capacity as an Advisory member of their Legislative Committee.

Should you wish to discuss any of the information presented please contact me directly at [email protected] or by phone at (714) 316-2120.

Respectfully,
Jim Simon, Principal
47 Item 7 D.
1 PROJECT UNDERSTANDING
RSG understands from the RFP and review of the LAFCO municipal service review that the purpose of the annexation plan is to provide the City and public information about the potential annexation of the unincorporated sphere of influence into the Capitola city limits. We understand for some time, the City has maintained the sphere of influence but has not yet acted upon annexation. LAFCO’s MSR indicates that without completion of a study and annexation plan, they may opt to reduce the SOI to remove some or all of the area in question at the next MSR and SOI review in a few years.

The RFP offers a wide range of questions and topics for the consultant to evaluate, beyond just the typical fiscal and procedural questions that often arise with annexation. We have designed our approach to this engagement to be incremental in that we are focused first on the service and fiscal analysis, in case the City opts to change direction on the study or annexation plan sought, and then proceed with preparing two main documents – a report with our findings and recommendations and a separate annexation plan.
48 Item 7 D.
2 SCOPE OF WORK
RSG has broken down our approach for this work program into three components to be completed over a 5-month period.

PROJECT KICKOFF
RSG’s team would meet onsite with City staff to understand the current service model of the City and that of the SOI study area. In advance of the meeting, RSG will pull available financial and operational information from the City’s website including the budget and financial statements and transmit a request for information to procure other documents and data. We would setup a share folder to provide a convenient means for the City to provide pertinent documents.

We will also coordinate a kickoff meeting with representatives from key City departments including the City Manager, Finance, Public Safety, Public Works, and Planning to discuss their insight into the SOI study area and understand how the City provides services within the City limits presently. The kickoff meeting agenda will include basic information assembled by RSG about the study area to facilitate the parties discussion on the topic, including a map and land use data. Following the meeting, we will tour the study area and invite staff to join us if desired.

For this and any meeting, RSG will circulate notes (actions and agreements) to the participants following the meeting for reference and information.

Finally, RSG will compile data from third party sources as necessary to perform our work, including the Santa Cruz County Assessment Roll, GIS files,

ANALYSIS
This phase of our work plan would result in a 10-year fiscal model for annexation that identifies recurring revenues and costs for municipal services as well as one-time costs for infrastructure issues and done so in coordination with City staff.

First, RSG will review the property tax agreement(s) between the County and City, and if necessary, other jurisdictions that have completed annexations recently. We will collect outof-area service agreements from LAFCO for review and consult with County staff to best understand current levels of services as well as the service providers to the study area. To the extent feasible, we will seek and review existing service agreements provided by the County as well.

Considering growth can have an impact on financial outcomes and services, RSG will identify major development projects planned for the study area (in consultation with the City and County), as well as planned or needed infrastructure projects from capital improvement plans for the area. Once compiled, we will review the public infrastructure and facility project list with City public works staff to identify cost and other implications for these projects, as well as their impact on ongoing services by the City if annexed.
49 Item 7 D.
3 RSG will project revenues and expenditures for a 10-year forecast period. The forecast will employ best practices for revenue forecasting from similar projects and be refined in collaboration with City staff to ensure alignment in the methodology and data sources uses.

We have included two virtual check-in meetings with the client to discuss progress or issues that we may encounter.

PRESENT FINDINGS AND RECOMMENDATIONS
Presuming the fiscal analysis results do not deter the City from proceeding, RSG would then plan to work on the policy and practical steps towards annexation. This includes preparing a report with our findings and recommendations, along with a separate annexation plan as requested by LAFCO and the City.

The report to the City will advise on strategic and tactical matters, and include the assumptions, methodology, and findings from our fiscal analysis. The annexation plan will provide the City and public information about the reorganization process, including the steps involved, roles, responsibilities, and impacts of annexation.

RSG has included one round of internal review of these documents, followed by one presentation (in person) to the City Council to present our findings and draft annexation plan.

Following the City Council meeting, pertinent input received from the public will be included in a final annexation plan for the City’s use and submittal to LAFCO.

FEE PROPOSAL
The assignment would be billed on a time and materials basis, with a total not-to-exceed fee of $44,995, based on the approach to scope and billing policies herein. Please see the next page for an itemized budget worksheet.

RSG BILLING RATES & FEE SCHEDULE
Our Billing Rates are as follows:

Principal $ 275
Director $ 275
Senior Associate $ 200
Associate $ 185
Senior Analyst $ 150
Analyst $ 135
Research Assistant $ 125
Technician $ 100
Clerical $ 60
RSG does not charge clients for travel or mileage (except direct costs related to field work/surveys), parking, standard telephone/fax expenses, general postage, or incidental copies. However, we do charge for messenger services and overnight shipping/express mail 50 Item 7 D.
4 costs. We also charge for copies of reports, documents, notices, and support material more than five (5) copies. We bill reimbursable costs at the actual expense plus a 10% surcharge.

RSG issues monthly invoices payable upon receipt, unless otherwise agreed upon in advance.

Invoices identify tasks completed to date, hours expended and the hourly rate.

As mentioned earlier, RSG has met with a CEQA consultant who believes this project would qualify for a categorical exemption under CEQA. We therefore have not factored a CEQA study into the scope of work nor the proposed budget. If RSG concludes—after consulting with the City—that further review under CEQA is warranted, we reserve the right to request a contract amendment to expand our scope and budget for these services. This would be done in collaboration with a selected consultant and in consultation with the City. 51 Item 7 D.
5 52
Item 7 D.
6 PERSONNEL
Jim Simon, Principal, would lead the team for this engagement and is the main point of contact. Mr. Simon would be assisted by RSG staff member Carol Ieromnimon, Associate and project manager. Resumes of consulting staff assigned to this engagement are on the following pages. Additional RSG staff will be assigned support roles as needed.

PROJECT AND TEAM MANAGEMENT PRACTICES
RSG is proud that our clients see us as trusted advisors, providing decision makers with essential data and relevant guidance throughout a project. To accomplish this expectation, we dedicate a Principal and a core group of staff to each assignment, ensuring consistency throughout the engagement. Our staff is focused, passionate, and conducts work around our Core Values. We excel at allocating time and resources to complete projects on time and within budget.
53 Item 7 D.

JIM SIMON Principal & President
714.316.2120
[email protected]
rsgsolutions.com | San Diego • Los Angeles • Oakland | 714.541.4585

PROFILE
“With determination and
imagination, I serve myself and
others to discover our capacity
for what is possible by
designing solutions for a
complex world so we can
cherish and nurture our
communities.”

OUT & ABOUT
CALED 40 at 40 Honoree for
contributions to California Economic
Development
Co-Chair, CALED EDFRE Technical
Committee
Member, CALAFCO Legislative
Committee
“Business Retention and Attraction” –
Advanced Certification Program
Instructor (CALED)
“Community Economic Development”
– Keys Program
Housing California
Southern California Association of
Non-Profit Housing (SCANPH)
California Association of Local Housing
Finance Agencies (Cal-ALHFA)
San Diego Housing Federation (SDHF)
California Association of Local Agency
Formation Commissions (CALAFCO)

ABOUT JIM
Inspired to improve the Golden State in his work, Jim delivers intelligence, innovation, and passion to projects requiring his unparalleled expertise in fiscal health, real estate, and economic development. For over 30 years, Jim is proud to have led projects that have resulted in the investment of over $10 billion in private and public capital, transforming cities and communities across California. As President of RSG, Jim is helping to shape the next generation of the firm’s legacy - leading RSG’s team of inspired, creative, and insightful consultants that serve over 100 communities each year.

EDUCATION
Jim joined RSG in 1991 and has served as a Principal and shareholder since 2001. He received a BA in Business Administration with a concentration in entrepreneurial management from California State University, Fullerton. In 2014, Jim was selected as an Advisory Board member of the California Association for Local Economic Development, where he serves as Co-Chair of CALED’s Economic Development, Real Estate and Finance technical committee. Jim is also an Advisory member of the Legislative Committee for the California Association of LAFCOs (CALAFCO), and active in other professional organizations including NAIOP, ICSC, NPH, and SCANPH.

RECENT ENGAGEMENTS
Prepared fiscal impact analysis for several annexations proposals within city SOIs, including Martinez, San Carlos, Huntington Beach, and Belmont.

Oversaw the Comprehensive Fiscal Analysis and led the Cityhood Incorporation Resident Workshop for the Town of Mountain House for San Joaquin LAFCO, who unanimously approved the incorporation application to advance it to the voters, who then approved in March 2024.

Served as engagement manager for the incorporation comprehensive fiscal analysis (Olympic Valley, Placer County) in which RSG’s work withstood substantial public scrutiny, including DOF review.

Prepared the 2020 Municipal Services Review and SOI Update for the Consolidated Fire Protection District of Los Angeles County, the largest special district in California, for LA LAFCO.

Led the preparation of a MSR for the 28 cities in Riverside County, provided MSR and SOI updates for 13 cities and 12 special districts for Orange County LAFCO, and provided MSR and SOI updates for 4 cities for LA LAFCO. 54 Item 7 D.

CAROL IEROMNIMON Associate
714.316.2197
[email protected]
rsgsolutions.com | San Diego • Los Angeles • Oakland | 714.541.4585

PROFILE
“I find success in helping
others find success. Creating
meaningful relationships and
collaborating with others to
achieve a goal is where most of
my passion lies. By applying
my skillsets and experience to
my role with RSG, I hope to
further enhance communities
and empower others.”

OUT & ABOUT
Member, CALAFCO Legislative
Committee
Housing California
Southern California Association
of Non-Profit Housing
(SCANPH)
California Association of Local
Housing Finance Agencies (CalALHFA)
San Diego Housing Federation
(SDHF)
California Association of Local
Agency Formation
Commissions (CALAFCO)

ABOUT CAROL
Carol joined the RSG team in 2024 and brought with her a background in local government and economic development. Her experience in the intricacies of municipal boundary adjustments, research and analysis, grant administration, underwriting, public speaking as well as project management empowers her to further facilitate the efficient growth and prosperity of communities across the state. Her passion in creating meaningful relationships and making a difference in the communities she serves propels her to deliver results, provide solutions, and embrace new challenges.

EDUCATION
Carol holds a Bachelor of Science Degree in Sociology from the University of California, Riverside as well as a Master’s Degree in Public Administration from California State University, Long Beach. Carol served as an Advisory Member to the SANDAG Communities Working Group between 2023-2024 and is currently an Advisory Member of the Legislative Committee for the California Association of LAFCOs (CALAFCO).

RECENT ENGAGEMENTS
Assisted with the review of fiscal impacts associated with proposed residential development for communities in the City of Costa Mesa and neighborhood of Orangethorpe.

Pre-RSG: Conducted multiple protest proceedings involving conditionally approved jurisdictional boundary changes for local agencies within San Diego County.

Pre-RSG: Served as Moderator and Team Lead for two CALAFCO Conferences and Staff Workshops which included preparing session topics and facilitating presentations.

Pre-RSG: Managed several jurisdictional boundary changes to various special districts and cities in San Diego County. Most notably, the dissolution of County Service Area No. 69 and Borrego Springs Fire Protection District.

Pre-RSG: Coordinated and revised San Diego LAFCOs local policy governing out-ofagency service agreement and contracts as codified under Government Code Section 56133.
55 Item 7 D.
9 RELATED EXPERIENCE

ABOUT RSG
RSG is a California-based, Subchapter “S” Corporation. Founded in 1979, the firm is currently managed by active Principals Jim Simon and Tara Matthews. Our corporate address is 170 Eucalyptus Ave., Suite 200, Vista, CA 92084, and we have three hubs in California (San Diego, Los Angeles, and Oakland) where we collaborate periodically as a team to accommodate the needs of our clients and growing firm.

RSG is a creatively charged consultant to California public agencies. We collaborate with the people responsible for creating vibrant places to accomplish their goals. The inspired leaders at RSG create stronger communities capable of achieving bolder futures by bringing more than four decades of native knowledge to each engagement. As diverse as the agencies we work with, our services span real estate, economic development, fiscal health, and housing initiatives.

RSG’s federal taxpayer identification number is 95-343-5849 and state taxpayer identification number is 27600915. RSG is also a State certified Small Business Enterprise (SBE - 2006876 DGS).

MISSION STATEMENT
RSG creates solutions to enhance communities’ physical, economic, and social future.

CORE VALUES
Our core values define who we are as people and the standards by which we provide services to our clients.
56 Item 7 D.
10 QUALIFICATIONS
RSG provides a range of fiscal services to help government agencies become more effective with the resources they use to serve communities. We offer fiscal impact analyses, assistance in securing financing, annexation and incorporation studies, municipal service reviews, and community engagement services.

Our fiscal impact studies aim to provide clarity and insight to staff and decision-makers, helping under-resourced communities gain access to the resources needed for sustainability and quality of life.

We prepare municipal service reviews and sphere of influence updates, and evaluate reorganization, annexation, or incorporation proposals, providing independent analysis and recommendations.

Our community engagement experience includes facilitating public discussions, designing strategic plans, working with diverse groups, and presenting complex information to facilitate informed decision-making.

With our expertise in tax increment financing and a strong foundation in community engagement, we assist clients in achieving their goals through insightful processes that value the community's expertise.

WORK EXPERIENCE

ANNEXATION STUDIES
Town of Yountville (Napa Co.)
Domaine Chandon Reorganization (Underway)
City of Citrus Heights (Sacramento Co.)
Sphere of Influence Annexation Study (Completed 2023)
City of Martinez (Contra Costa Co.)
Sphere of Influence Annexation Study (Completed 2021, Updated 2023) Alhambra Valley / North Pacheco Annexation Study (Completed 2015) City of Belmont (San Mateo Co.)
Eastern Harbor Bl Annexation Strategy (Underway)
601 Harbor Bl Annexation (Completed 2023)
608 Harbor Bl Annexation (Completed 2023)
Old County Rd/Harbor Bl Annexation (Completed 2021)
1304 Elmer Street Annexation (Completed 2018)
City of Huntington Beach (Orange Co.)
Bolsa Chica Annexation Study (Completed 2009, Updated 2013, Updated 2022) 57 Item 7 D.
11 City of San Carlos (San Mateo Co.)
252 Club Drive Annexation (Completed 2020)
Hyde Park Estates Annexation (Completed 2019)
Cranfield Annexation (Completed 2015)
Desert Healthcare District (Riverside Co.)
AB 2414 Annexation Fiscal Analysis (Completed 2017)
Berger Foundation / Cathedral City (Riverside Co.)
SOI Expansion and Annexation Fiscal Analysis (Completed 2013)

MUNICIPAL SERVICE REVIEWS
Alameda LAFCO
Community Services MSR Update (Underway)
Placer LAFCO
Public Utilities Services MSR Update (Underway)
Siskiyou LAFCO
Fire Services MSR Update – in conjunction with Planwest Partners (Underway) Sutter LAFCO
Fire and EMS MSR Update (Underway)
Orange LAFCO
Central Region MSR Update (Underway)
Southwest Region MSR Update (Completed 2023)
West Region MSR Update (Completed 2023)
Sonoma LAFCO
City of Santa Rosa MSR and SOI Update (Completed 2024)
Riverside LAFCO
28 City MSR and SOI Update (Completed 2022)
Los Angeles LAFCO
Bell, Maywood, South El Monte, and Vernon MSRs and SOI Review (Completed 2023) La Mirada and Whittier MSR and SOI Update (Completed 2021) Consolidated Fire Protection District MSR and SOI Update (Completed 2020) 58 Item 7 D.
12 Yolo LAFCO
Water Districts MSR and SOI Update (Completed 2013)

INCORPORATION STUDIES
San Joaquin LAFCO
Comprehensive Fiscal Analysis – Mountain House Incorporation (Completed 2023) Malaga County Water District / Malaga (Fresno Co.)
Initial Fiscal Analysis – Malaga Incorporation (Completed 2018) Placer LAFCO
Comprehensive Fiscal Analysis – Olympic Valley Incorporation (Completed 2015) San Bernardino LAFCO
Rim Communities Incorporation Feasibility Study (Completed 2015)

OTHER REORGANIZATIONAL STUDIES
City of Portola / Local Emergency Services Study Group (Plumas Co.) Portola/East Plumas Fire Protection Reorganization (Completed 2022, with Planwest Partners)
County of San Bernardino
CSA 79 Reorganization Fiscal Analysis (Completed 2018, Updated in 2022) City of Nevada City (Nevada Co.)
SOI Update and Annexation Plan (Completed 2017)

OTHER FISCAL OR OPERATIONAL STUDIES
Placer County
Parks and Recreation Service Delivery Model (Underway)
Orange LAFCO
GIS Mapping Services (Underway)
March Joint Powers Authority (Riverside Co.)
JPA Sunsetting Services (Completed 2023)

CALAFCO
Update Map of Statewide Disadvantaged Unincorporated Communities (Completed 2022) Riverside LAFCO
Update Map of Statewide Disadvantaged Unincorporated Communities (Completed 2021) 59 Item 7 D.
13 City of Carlsbad (San Diego Co.)
Custodial Service Level Study (Completed 2020)
Public Works Paint Shop Cost Benefits Analysis (Completed 2016) Public Works Department Lines of Business Operational Study (Completed 2013) Street & Signal Maintenance Division Business Plan (Completed 2011) City of Irwindale (Los Angeles Co.)
General Fund Fiscal Plan and Sustainability Model (Completed 2018) City of South Gate (Los Angeles Co.)
Housing Division Efficiency Study (Completed 2021)
60 Item 7 D.
14 REFERENCES
The projects below demonstrate RSG’s recent experience comparable to the services requested in this RFP. We encourage you to contact our references or follow up with additional questions.

ANNEXATION FISCAL IMPACT ANALYSES – CITY OF MARTINEZ
RSG finalized an update and expansion of a prior annexation study for the City of Martinez in 2023. The study evaluates the majority of the City’s SOI consisting of four separate study areas within unincorporated Contra Costa County. Due to an unfavorable master property tax exchange agreement, annexation has been impeded previously and the City sought to see if circumstances had changed materially with the ongoing update. RSG studied several different property tax sharing scenarios to understand different annexation scenarios. RSG’s projection considered the effect of city service standards into the SOI and the overall implications on the City’s General Fund.

CONTACT: Michael Chandler, City Manager
[email protected]; (925) 372-3517
ANNEXATION FISCAL IMPACT ANALYSES – CITY OF CITRUS HEIGHTS In October 2023, RSG presented to the Citrus Heights City Council our findings on the fiscal impact of the potential annexation of several areas outside the City’s existing sphere of influence. The purpose of the study was to understand whether the City could expand to include other areas inside its boundaries as identified by some members of the City Council.

The study area included four distinct areas totaling approximately 1.3 square miles next to the existing 14.2 square mile city limits. In our work, we studied the infrastructure and operational impacts by incorporating into the city over 3,000 households and 228 businesses. Ultimately, we concluded that while the City would face limited operational impacts, the cost of bringing infrastructure up to the City’s standards could total over $32 million. The City has not yet acted on annexation.

CONTACT: Casey Kempenaar, Community Development Director [email protected]; (916) 727-4740
FOUR CITIES MUNICIPAL SERVICES REVIEW – LA LAFCO
RSG was retained in 2022 by the Local Agency Formation Commission for the County of Los Angeles to provide Municipal Service Review and Sphere of Influence updates for the cities of Bell, Maywood, South El Monte, and Vernon. Our work has also included interviewing the four cities to understand service challenges and opportunities and analyzing budget and audit data to make determinations about fiscal health. The LA LAFCO Commission adopted the MSR and SOI updates in August 2023.

CONTACT: Paul Novak, Executive Officer
[email protected]; (626) 204-6500
61 Item 7 D.
15 PROJECT SCHEDULE
Below, RSG has prepared a tentative schedule for completion of the scope of work. The timeline assumes contract approval and execution in October 2024, as well as reasonable timeframes for agency response to requests for information and interviews.

Milestone Month
Contract Approval Oct 2024
Project Kickoff with Client Oct 2024
Analysis Nov - Jan 2025
Present Findings & Recommendations
- Draft findings and
recommendations report
- Draft annexation plan
- Final findings and
recommendations report
- Second draft annexation plan
- Final annexation plan
Jan - Mar 2025
If awarded the contract, RSG would update the schedule in consultation with the City and discuss at the kickoff meeting.
62 Item 7 D.

CITY OF CAPITOLA

PROFESSIONAL SERVICES AGREEMENT
Annexation Plan Development
RSG, Inc.

THIS AGREEMENT is entered into on September 26, 2024, by and between the City of Capitola, a Municipal Corporation, hereinafter called "City" and RSG, Inc., hereinafter called "Consultant".

WHEREAS, City desires certain services described in Appendix One and Consultant is capable of providing and desires to provide these services;
NOW, THEREFORE, City and Consultant for the consideration and upon the terms and conditions hereinafter specified agree as follows:

SECTION 1
Scope of Services
The services to be performed under this Agreement are for Annexation Plan Development Servies and are further detailed in Appendix One.

SECTION 2
Duties of Consultant
All work performed by Consultant, or under its direction, shall be sufficient to satisfy the City's objectives for entering into this Agreement and shall be rendered in accordance with the generally accepted practices, and to the standards of, Consultant's profession.

Consultant shall not undertake any work beyond the scope of work set forth in Appendix One unless such additional work is approved in advance and in writing by City. The cost of such additional work shall be reimbursed to Consultant by City on the same basis as provided for in Section 4.

If, in the prosecution of the work, it is necessary to conduct field operations, security and safety of the job site will be the Consultant's responsibility excluding, nevertheless, the security and safety of any facility of City within the job site which is not under the Consultant's control.

Consultant shall meet with Chloé Woodmansee, Assistant to the City Manager, called “Staff”, or other City personnel, or third parties as necessary, on all matters connected with carrying out of Consultant's services described in Appendix One. Such meetings shall be held at the request of either party hereto. Review and City approval of completed work shall be obtained monthly, or at such intervals as may be mutually agreed upon, during the course of this work.

SECTION 3
Duties of the City
City shall make available to Consultant all data and information in the City's possession which City deems necessary to the preparation and execution of the work, and City shall actively aid and assist Consultant in obtaining such information from other agencies and individuals as necessary.

The Staff may authorize a staff person to serve as his or her representative for conferring with Consultant relative to Consultant's services. City shall not control or direct the manner in which the services are to be performed. However, the work in progress hereunder shall be reviewed from time to time by City at the discretion of City or upon the request of Consultant. If the work is satisfactory, it will be approved. If the work is not satisfactory, City will inform Consultant of the changes or revisions necessary to secure approval.
63 Item 7 D.

Professional Services Agreement September 26, 2024
Annexation Plan Development
RSG, Inc.

SECTION 4
Fees and Payment
Payment for the Consultant's services shall be made upon a schedule and within the limit, or limits shown, upon Appendix Two. Such payment shall be considered the full compensation for all personnel, materials, supplies, and equipment used by Consultant in carrying out the work. If Consultant is compensated on an hourly basis, Consultant shall track the number of hours Consultant, and each of Consultant’s employees, has worked under this Agreement during each fiscal year (July 1 through June 30) and Consultant shall immediately notify City if the number of hours worked during any fiscal year by any of Consultant’s employees reaches 900 hours. In addition, each invoice submitted by Consultant to City shall specify the number of hours to date Consultant, and each of Consultant’s employees, has worked under this Agreement during the current fiscal year.

SECTION 5
Changes in Work
City may order major changes in scope or character of the work, either decreasing or increasing the scope of Consultant's services. No changes in the Scope of Work as described in Appendix One shall be made without the City's written approval. Any change requiring compensation in excess of the sum specified in Appendix Two shall be approved in advance in writing by the City.

SECTION 6
Time of Beginning and Schedule for Completion
This Agreement will become effective when signed by both parties and will terminate on the earlier of:
 The date Consultant completes the services required by this Agreement, as agreed by the City; or  The date either party terminates the Agreement as provided below.

Work shall begin on or about October 1, 2024.

In the event that major changes are ordered or Consultant is delayed in performance of its services by circumstances beyond its control, the City will grant Consultant a reasonable adjustment in the schedule for completion provided that to do so would not frustrate the City's objective for entering into this Agreement. Consultant must submit all claims for adjustments to City within thirty calendar days of the time of occurrence of circumstances necessitating the adjustment.

SECTION 7
Termination
City shall have the right to terminate this Agreement at any time upon giving ten days written notice to Consultant. Consultant may terminate this Agreement upon written notice to City should the City fail to fulfill its duties as set forth in this Agreement. In the event of termination, City shall pay the Consultant for all services performed and accepted under this Agreement up to the date of termination. 64 Item 7 D.

Professional Services Agreement September 26, 2024
Annexation Plan Development
RSG, Inc.

SECTION 8
Insurance
Consultant shall procure and maintain for the duration of the contract and for ___ years thereafter, insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by the Consultant, his agents, representatives, or employees.

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

1. Insurance Services Office Commercial General Liability coverage (Occurrence Form CG 0001).

2. Insurance Services office Form Number CA 0001 covering Automobile Liability, Code 1 (any auto).

3. Workers’ Compensation insurance as required by the State of California, and Employer’s Liability Insurance.

4. Professional (Errors and Omissions) Liability insurance appropriate to the consultant’s profession. Architects’ and engineers’ coverage shall include contractual liability.

Minimum Limits of Insurance
Consultant shall maintain limits no less than:

1. General Liability:
(including operations,
products and completed
operations)
$1,000,000 per occurrence and $2,000,000 in
aggregate (including operations, for bodily injury,
personal and property damage.

2. Automobile Liability: $1,000,000 per accident for bodily injury and property damage.

3. 4.

Employer’s Liability Insurance
Errors and Omissions
Liability:

Limits
$1,000,000 per accident for bodily injury and
property damage.
$1,000,000 per claim and $2,000,000 in the
aggregate.
65 Item 7 D.

Professional Services Agreement September 26, 2024
Annexation Plan Development
RSG, Inc.

Other Insurance Provisions
The commercial general liability and automobile liability policies are to contain, or be endorsed to contain, the following provisions:

1. The City of Capitola, its officers, officials, employees and volunteers are to be covered as additional insured’s as respects: liability arising out of work or operations performed by or on behalf of the Consultant or automobiles owned, leased, hired or borrowed by the Consultant.

2. For any claims related to this project, the Consultant’s insurance coverage shall be primary insurance as respects the City, its officers, officials, employees and volunteers.

Any insurance or self-insurance maintained by the City, its officers, officials, employees or volunteers shall be excess of the Consultant’s insurance and shall not contribute with it.

3. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled except after prior written notice has been given to the 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.

Waiver of Subrogation
Contractor hereby agrees to waive rights of subrogation which any insurer of Contractor may acquire from Contractor by virtue of the payment of any loss. Contractor agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation. The Workers’ Compensation policy shall be endorsed with a waiver of subrogation in favor of the City of Capitola for all work performed by the Contractor, its employees, agents and subcontractors.

Verification of Coverage
Consultant shall furnish the City with original certificates and amendatory endorsements affecting coverage by this clause. The endorsements should be on forms provided by the City or on other than the City’s forms provided those endorsements conform to City requirements. All certificates and endorsements are to be received and approved by the City before work commences. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements affecting the coverage required by these specifications at any time.

SECTION 9
Indemnification
For General Services: To the fullest extent permitted by law, Consultant agrees to indemnify, defend, and hold harmless the City, its directors, officers, employees from and against any and all claims, demands, actions, liabilities, damages, judgments, or expenses (including attorneys’ fees and costs) arising from the acts or omissions of Consultant’s employees or agents in any way related to the obligations or in the performance of services under this Agreement, except for design professional services as defined in Civil Code § 2782.8, and except where caused by the sole or active negligence, or willful misconduct of the City.
66 Item 7 D.

Professional Services Agreement September 26, 2024
Annexation Plan Development
RSG, Inc.

For Design Professional Services under Civil Code §2782.8: To the fullest extent permitted by law, Consultant agrees to indemnify, defend, and hold harmless the City, its directors, officers, and employees from and against any and all claims, demands, actions, liabilities, damages, or expenses (including attorneys’ fees and costs) arising from the negligence, recklessness, or willful misconduct of the Consultant, Consultant’s employees, or agents in any way related to the obligations or in the performance of design professional services under this Agreement as defined in Civil Code §2782.8, except where caused by the sole or active negligence, or willful misconduct of the City. The costs to defend charged to the Consultant relating to design professional services shall not exceed the Consultant’s proportionate percentage of fault per Civil Code §2782.8.and against all claims, damages, losses, and expenses including attorney fees arising out of the performance of the work described herein, caused in whole or in part by any negligent act or omission of the Consultant, Consultant’s employees, agents or subcontractors, except where caused by the active negligence, sole negligence, or willful misconduct of the City.

SECTION 10
Civil Rights Compliance/Equal Opportunity Assurance
Every supplier of materials and services and all consultants doing business with the City of Capitola shall be in compliance with the applicable provisions of the Americans with Disabilities Act of 1990, and shall be an equal opportunity employer as defined by Title VII of the Civil Rights Act of 1964 and including the California Fair Employment and Housing Act of 1980. As such, consultant shall not discriminate against any person on the basis of race, religious creed, color, national origin, ancestry, disability, medical condition, marital status, age or sex with respect to hiring, application for employment, tenure or terms and conditions of employment. Consultant agrees to abide by all of the foregoing statutes and regulations.

SECTION 11
Legal Action/Attorneys' Fees
If any action at law or in equity is brought to enforce or interpret the provisions of this Agreement, the prevailing party shall be entitled to reasonable attorney's fees in addition to any other relief to which he or she may be entitled. The laws of the State of California shall govern all matters relating to the validity, interpretation, and effect of this Agreement and any authorized or alleged changes, the performance of any of its terms, as well as the rights and obligations of Consultant and the City.

SECTION 12
Assignment
This Agreement shall not be assigned without first obtaining the express written consent of the Director after approval of the City Council.

SECTION 13
Amendments
This Agreement may not be amended in any respect except by way of a written instrument which expressly references and identifies this particular Agreement, which expressly states that its purpose is to amend this particular Agreement, and which is duly executed by the City and Consultant. Consultant acknowledges that no such amendment shall be effective until approved and authorized by the City Council, or an officer of the City when the City Council may from time to time empower an officer of the City to approve and authorize such amendments. No representative of the City is authorized to obligate the City to pay the cost or value of services beyond the scope of services set forth in Appendix Two. 67 Item 7 D.

Professional Services Agreement September 26, 2024
Annexation Plan Development
RSG, Inc.

Such authority is retained solely by the City Council. Unless expressly authorized by the City Council, Consultant's compensation shall be limited to that set forth in Appendix Two.

SECTION 14
Miscellaneous Provisions

1. Project Manager. Director reserves the right to approve the project manager assigned by Consultant to said work. No change in assignment may occur without prior written approval of the City.

2. Consultant Service. Consultant is employed to render professional services only and any payments made to Consultant are compensation solely for such professional services.

3. Licensure. Consultant warrants thereby represents that he or she has an established trade, occupation, or business in the same nature of services Consultant is performing under this Agreement. Consultant warrants that he or she has complied with any and all applicable governmental licensing requirements.

4. Other Agreements. This Agreement supersedes any and all other agreements, either oral or in writing, between the parties hereto with respect to the subject matter, and no other agreement, statement or promise related to the subject matter of this Agreement which is not contained in this Agreement shall be valid or binding.

5. City Property. Upon payment for the work performed, or portion thereof, all drawings, specifications, records, or other documents generated by Consultant pursuant to this Agreement are, and shall remain, the property of the City whether the project for which they are made is executed or not. The Consultant shall be permitted to retain copies, including reproducible copies, of drawings and specifications for information and reference in connection with the City's use and/or occupancy of the project. The drawings, specifications, records, documents, and Consultant's other work product shall not be used by the Consultant on other projects, except by agreement in writing and with appropriate compensation to the City.

6. Consultant's Records. Consultant shall maintain accurate accounting records and other written documentation pertaining to the costs incurred for this project. Such records and documentation shall be kept available at Consultant's office during the period of this Agreement, and after the term of this Agreement for a period of three years from the date of the final City payment for Consultant's services.

7. Independent Contractor. In the performance of its work, it is expressly understood that Consultant, including Consultant's agents, servants, employees, and subcontractors, is an independent contractor solely responsible for its acts and omissions, and Consultant shall not be considered an employee of the City for any purpose. Consultant expressly warrants not to represent, at any time or in any manner, that Consultant is an employee of the City.

8. Conflicts of Interest. Consultant stipulates that corporately or individually, its firm, its employees and subcontractors have no financial interest in either the success or failure of any project which is, or may be, dependent on the results of the Consultant's work product prepared pursuant to this Agreement.

9. Notices. All notices herein provided to be given, or which may be given by either party to the other, shall be deemed to have been fully given and fully received when made in writing and deposited in the United States mail, certified and postage prepaid, and addressed to the respective parties as follows:
68 Item 7 D.

Professional Services Agreement September 26, 2024
Annexation Plan Development
RSG, Inc.

69 Item 7 D.

Professional Services Agreement September 26, 2024
Annexation Plan Development
RSG, Inc.

CITY CONSULTANT

CITY OF CAPITOLA
420 Capitola Avenue
Capitola, CA 95010
831-475-7300
Name
Address
Phone
By:__________________________________
Benjamin Goldstein, City Manager
By:__________________________________

Dated:________________________________ Dated:_______________________________ Approved as to Form:
_______________________________
Samantha W. Zutler, City Attorney
70 Item 7 D.

Professional Services Agreement September 26, 2024
Annexation Plan Development
RSG, Inc.

APPENDIX ONE
Scope of Services
[To be completed for each consultant]
71 Item 7 D.

Professional Services Agreement September 26, 2024
Annexation Plan Development
RSG, Inc.

APPENDIX TWO
Fees and Payments
For the services performed, City will pay consultant on a not-to-exceed, lump sum basis upon satisfactory completion of the services and delivery of work products. Payments will be issued monthly as charges accrue.

Consultant hereby represents and warrants, based upon Consultant’s independent determination of the time and labor, which will be required to perform said services, that Consultant will provide all said services at a cost which will not exceed the maximum price set forth in this agreement for Consultant’s services. Consultant hereby assumes the risk that Consultant will perform said services within this maximum price constraint and Consultant acknowledges that its inability to do so shall not excuse completion of the services and shall not provide a basis for additional compensation.

Expenses may include travel, meals and lodging while traveling, materials other than normal office supplies, reproduction and printing costs, equipment rental, computer services, service of subconsultants or subcontractors, and other identifiable job expenses. The use of Consultant’s vehicles for travel shall be paid at the current Internal Revenue Service published mileage rate.

In no event shall the total fee charged for the scope of work set forth in Appendix One exceed the total budget of $______ (______ Thousand Dollars and Zero Cents), without specific, written advance authorization from the City.

Payments shall be made monthly by the City, based on itemized invoices from the Consultant which list a brief description of the services performed, the date the services were performed, the hours spent and by whom, and a brief description of the actual costs and expenses incurred. Except as specifically authorized by City, Consultant shall not bill City for duplicate services performed by more than one person. Such payments shall be for the invoice amount. The monthly statements shall contain the following affidavit signed by a principal of the Consultant’s firm:
"I hereby certify as principal of the firm of _______________, that the charge of $_______ as summarized above and shown in detail on the attachments is fair and reasonable, is in accordance with the terms of the Agreement dated , , and has not been previously paid." 72 Item 7 D.

Capitola City Council
Agenda Report
Meeting: October 10, 2024
From: City Manager Department
Subject: 2024 Holiday Parking
Recommended Action: Authorize the suspension of parking meter and pay station operation to allow free three-hour parking in the Village Parking Meter Zone A (1) from November 28, 2024, through December 25, 2024.

Background: The Capitola Business Improvement Association (BIA) has submitted its annual request to City Council to offer free three-hour parking in the Village during the holiday season. City Council has authorized this program since 2001, with only one exception in 2003.

Discussion: The three-hour parking limit and the paid parking encourage parking rotation, which benefits Village businesses. Although the Village is less congested in late-fall through early- winter than in the late-spring through early-fall, the need for time-limited parking still prevails.

The Capitola BIA has submitted a letter requesting that the Council authorize suspending parking meter and pay station operation to allow free three-hour parking in the Village from November 28, 2024, through December 25, 2024, to encourage holiday shopping and dining (Attachment 1).

Fiscal Impact: Staff estimates that in 2023, the suspension of the Village parking meters and pay stations reduced parking meter revenue by $50,000. The Fiscal Year 2024-2025 budget accounts for suspending Village meter and pay station operation for the holiday shopping period.

Attachments:

1. BIA Holiday Parking Request
Report Prepared By: Julia Gautho, City Clerk
Reviewed By: Jim Malberg, Finance Director
Approved By: Jamie Goldstein, City Manager
73 Item 7 E.
74 Item 7 E.

Capitola City Council
Agenda Report
Meeting: September 26, 2024
From: Community Development Department
Subject: 2024 CDBG Grant Application
Recommended Action: Adopt a resolution authorizing staff to prepare and submit an application under the 2024 Community Development Block Grant Program for the Jade Street Community Center Project Phase II and Public Service Food Distribution Programs.

Background: The U.S. Department of Housing and Urban Development (HUD) Community Development Block Grant (CDBG) program authorizes the use of funds to assist low- and moderate-income families or aid in the prevention or elimination of blight. There are two types of CDBG programs: “entitlement” and “non-entitlement”. Large metropolitan cities and urban counties are entitled to receive annual grants under the “entitlement” program directly from HUD. The City falls within the “non-entitlement” program, which is administered by the State Department of Housing and Community Development (HCD) and where the City can apply for funding under a competitive application process.

The City is required to conduct public outreach regarding potential CDBG-eligible projects that could be considered for an application, including holding a public hearing to discuss potential application(s) and allow for public input. On July 24, 2024, in anticipation of the Notice of Funding Availability (NOFA) release, staff held a public meeting to seek public input regarding the overall CDBG program and potential projects the community might be interested in seeking.

On August 30, 2024, HCD released the 2024 NOFA that allows a jurisdiction to apply for up to three applications for a maximum of $3.6 million. Funding limits for the NOFA are as follows:
 Over-the-Counter (OTC) Project (public improvement, public facility, etc.) – Up to $3.3 million  OTC Program (housing programs, economic development programs, etc.) – Up to $1.5 million  Competitive Program (public services, planning study, etc.) – Up to $300,000 Discussion: In order to be considered eligible for this 2024 CDBG NOFA, a project/activity must benefit to low- and moderate-income persons. In order to benefit low- or moderate-income persons, the project must either benefit an area that is comprised of at least 51% low- or moderate-income households, or benefit individually qualified households (i.e., each household is income-certified). Staff has confirmed that the Census block groups adjacent to the Jade Street Community Center meet this threshold. The public service programs serve a clientele who also meet this income requirement.

In order to provide the City Council with a list of potential projects, staff reviewed City Council-adopted policies, the City’s Capital Improvement Program, and potential projects that fit into the category of “shovel ready”. To best meet the CDBG criteria for this NOFA, staff is recommending the following project/programs:

Public Facility: Jade Street Park Improvements. The City was successful in receiving grant funds in the last CDBG NOFA for Jade Street Community Center Improvements, which focused on the rehabilitation of the interior and exterior of the building. The proposed project will include the following components:
replace the existing playground structure with a universally accessible playground, renovate the restrooms on in the park to improve accessibility, and rehabilitate the outdoor/patio space adjacent to the community center. The current estimate for this project is approximately $4,000,000. Staff is recommending that $3.3 million be requested from CDBG with the gap being provided by the Friends of Santa Cruz County Parks.

Public Service: In 2021, the City was awarded public service dollars for three non-profits for their food distribution programs from CDBG: Grey Bears ($52,950), Second Harvest Food Bank ($112,000), and 75 Item 7 F.

Community Bridges ($299,720). The City is only able to apply on behalf of two of these organizations.

Currently, Grey Bears has exhausted all grant funds and Second Harvest is nearing that as well. Because Community Bridges still has sufficient grant funds from the previous cycle, staff recommends applying for funds for Grey Bears and Second Harvest to continue operating their food distribution programs. The maximum funding requested would be $300,000.

Fiscal Impact: If successful, the $3.6 million requested would be 100% grant funded. Adams Ashby Group, the City CDBG consultant, will be preparing the three applications for $13,500. The costs associated with the preparation of the application are an eligible expenditure under the existing CDBG grants the City currently has with HCD.

Attachments:

1. Resolution
Report Prepared By: Katie Herlihy, Community Development Director Reviewed By: Julia Gautho, City Clerk, and Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
76 Item 7 F.
1 Department of Housing and Community Development
Resolution Form Revised 7/23/2024 2024 CDBG NOFA
Appendix C: Resolution Template of the Governing Body
(Required)
Applicants are required to use the resolution form on the following page with no changes to content other than what is in the fillable fields.

When completing and preparing the Resolution, please refer to section V.F. of the 2024 NOFA.

Please note: On the next page, hidden text is used to provide instructions. Once a document is printed or converted to a pdf, the hidden text will be omitted.

To display hidden text:

1. Go to the Files Tab

2. Select Options from the bottom of the left-hand column

3. Click on the “Display” option

4. Check the “Hidden Text” box.

5. Make sure the “Print hidden text” box is not checked. This will ensure that when you convert to PDF or print the document, the instructional, hidden text is not displayed.

Note 1: The attesting officer cannot be the person identified in the Resolution as the authorized signer.

Note 2: Unless there is a city ordinance stating otherwise, the mayor must be the designated official in Section 5.
77 Item 7 F.

Resolution of the Governing Body
RESOLUTION NO. Insert Number

A RESOLUTION APPROVING AN APPLICATION FOR FUNDING AND THE

EXECUTION OF A GRANT AGREEMENT AND ANY AMENDMENTS
THERETO FROM THE 2024 FUNDING YEAR OF THE STATE CDBG

PROGRAM
BE IT RESOLVED by the City Council of the City of Capitola as follows:

SECTION 1:

The City Council has reviewed and hereby approves the submission to the State of California of one or more application(s) in the aggregate amount, not to exceed, of $3,600,000 for the following CDBG activities, pursuant to the and 2024 CDBG NOFA:

List activities and amounts
Activity (e.g. Public Services,
Infrastructure, etc.)
Dollar Amount Being Requested for the Activity
Public Facility – Jade Street Park Improvements Up to $3,300,000 Public Services – Food Programs Up to $300,0000
$
$
$
SECTION 2:

The City Council hereby approves the use of Program Income in an amount not to exceed $0.00 for the CDBG activities described in Section 1.

SECTION 3:

The City Council acknowledges compliance with all state and federal public participation requirements in the development of its application(s).

SECTION 4:

The City Council hereby authorizes and directs the City Manager or designee*, to execute and deliver all applications and act on the City’s behalf in all matters pertaining to all such applications.

SECTION 5:

If an application is approved, the City Manager or designee*, is authorized to enter into, execute and deliver the grant agreement (i.e., Standard Agreement), any recordable or 78 Item 7 F.
nonrecordable contract documents, and any and all subsequent amendments thereto with the State of California for the purposes of the grant.

SECTION 6:

If an application is approved, the City Manager or designee*, is authorized to sign and submit Funds Requests and all required reporting forms and other documentation as may be required by the State of California from time to time in connection with the grant.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Capitola held on 9/26/2024 by the following vote:

AYES: Enter # of votes or names
NOES: Enter # of votes or names
ABSENT: Enter # absentees or names
ABSTAIN: Enter # of abstains or names
Kristen Brown, Mayor
City Council

STATE OF CALIFORNIA
City of Capitola
I, Julia Gautho, City Clerk of the City of Capitola, State of California, hereby certify the above and foregoing to be a full, true and correct copy of a resolution adopted by said City Council on this 26th day of September, 2024 and that said resolution has not been amended, modified, repealed, or rescinded since its date of adoption and is in full force and effect as of the date hereof.
______________________________________
By: Julia Gautho, City Clerk of the City of
Capitola, State of California
79 Item 7 F.

Capitola City Council
Agenda Report
Meeting: September 26, 2024
From: Public Works Department
Subject: Dog Park at Noble Gulch Park
Recommended Action: 1) Provide feedback on the proposed dog park design; 2) approve the Coastal Development Permit; 3) defer the funding decision to future budget discussions; and/or 4) direct staff to assess interest in donations and/or community fundraising for the project.

Background: Noble Gulch Park is a City-owned park that is bordered by Soquel Creek to the east, the intersection of Monterey and Park Avenues to the south, and private properties to the north. On the west side, the park is adjacent to the only sidewalk along Monterey Avenue, which leads to New Brighton Middle School. Water service is available near the intersection, and lighted bollards are installed along Monterey Avenue.

A split rail fence runs along part of the park's western edge, delineating a steep slope from the sidewalk into the park. Benches and tables are located near the intersection and in a grove at the back of the park, connected by a narrow pathway constrained by the creek and the slope leading up to Monterey Avenue.

Vehicular access is available for City and County of Santa Cruz staff to maintain the creek and wastewater system facilities. Approximately ten parking spots are directly adjacent to the site. Parking is also available at the City-owned parking lots across Bay Ave.

Figure 1. Noble Gulch Park – Existing Conditions
As part of the required ADA transition plan, the park was previously assessed and found to have several deficiencies related to ADA access. Currently, there is no accessible pathway from the public sidewalk into the park. The park must provide accessible features and pathways to all amenity types. Any modifications to the park would need to bring it up to ADA standards. 80 Item 8 A.

During the July 25, 2024, City Council meeting, staff was directed to evaluate the feasibility of converting a portion of Noble Gulch Park into a dog park. Neighboring property owners were notified of this meeting.

Discussion: Staff conducted a site evaluation to assess existing conditions and identify the necessary modifications to make the park suitable for a public dog park. Staff also met with local dog owners to gather input on desired features, considering the constraints of the site and regulatory requirements for public parks.

The following categories were considered:

1. Park Boundaries:
o City Council previously directed the dog park be set back from the intersection to maintain public access and seating outside the designated dog park area. o Both City and Santa Cruz County vehicles require access to the park. o Dog advocates did not believe a fence was necessary on the creek side for purposes of dog control.

2. Park Conditions:
o Turf near the intersection is currently irrigated, but the rear of the park is not. The back area becomes muddy in the winter.
o Dog advocates expressed a preference for turf over wood chips and concerns about drainage issues during winter.

3. ADA Access:
o The park currently does not meet accessibility standards. o Accessible paths from the public sidewalk to all park elements are required, including pathways into the park, level landings for the dog park area, and accessible routes to water fountains, waste receptacles, and seating.

4. Amenities:
o Installation of water fountains for dogs would require extending the existing water service. o Dog advocates are amenable to delaying water service installation. o Additional waste receptacles and retaining existing seating are needed. o Updated signage for dog park rules should be installed.

Based on the analysis and feedback, staff proposes the following improvements for Noble Gulch Park, detailed in Figure 2.
81 Item 8 A.

Figure 2. Noble Gulch Park – Proposed Dog Park Improvements  Fencing: Install hog wire fencing on all sides of the dog park area. The fence along Monterey Avenue is proposed to be installed at the base of the slope, away from the sidewalk, making it less visible from the street. Staff recommends placing the fence in this configuration to prevent dogs from accessing the heavily used sidewalk and the creek. A double-gated entry corral at the park entrance will provide a safe space for leashing and unleashing dogs. Two vehicular gates are required for City and County access.
 ADA Improvements: Install a 700-square-foot concrete pad for ADA access, including the corral area and initial park entry. This features an accessible waste bin, table, and future water fountain.  Maintain Existing Conditions: Maintain existing park furnishings and turf. The turf in the dog park area is not irrigated and will likely deteriorate over time.  Signage: Install new signage with dog park rules. During the winter, there may be periodic closures of the park due to wet weather.
 Water Fountain Installation: Delay the water fountain installation due to excess costs.

Alternatively, more costly fencing options include black vinyl-coated chain-link fencing, which is commonly used in dog parks due to its greater strength and durability. 82 Item 8 A.

Fiscal Impact: Staff obtained quotes for the proposed improvements.

Table 1. Itemized Park Costs
Item Qty Units Unit Cost Total Cost
Hog Wire Fence 875 LF $45 $39,375
Vehicle Gate - Hog Wire 2 Each $1,200 $2,400
Person Gate - Hog Wire 2 Each $500 $1,000
Fencing Total $42,775
Concrete Pad 700 SF $28 $19,250
Doggie Bags 1 Each $250 $250
Trash Can 1 Each $0 $0
ADA picnic table 1 Each $4,000 $4,000
Amenities Total $23,500
Total Cost $66,275
Other potential improvements not currently included in the recommended scope:

Table 2. Optional Items
Item Qty Units Unit Cost Total Cost
Coated Chain-Link Fence – Cost Difference --- --- $7/LF $6,825 Drinking/Dog Fountain 1 Each $7,000 $7,000
This project is not included in the current FY 2024-25 budget. Staff recommends that, if Council wishes to proceed, the project be considered for inclusion in future budget cycles or the midyear review.

Alternatively, Council could direct staff to gauge interest in donations and/or community fundraising for the effort.

CEQA: The proposed dog park improvements are exempt from the California Environmental Quality Act (CEQA) under Section 15303 (Class 3) and Section 15304 (Class 4) of the CEQA Guidelines. Class 3 covers new construction or conversion of small structures, including minor accessory structures such as fences. Class 4 applies to minor alterations to land, including landscaping and minor trenching and backfilling where the surface is restored. The project will not have a significant effect on the environment, as it involves minor improvements to an existing park area.

Coastal Development Permit Findings:

The proposed project requires approval of a Coastal Development Permit (CDP). The City Council is the approval authority on CDP applications for Public Works projects that require no other discretionary permit approvals from the City other than funding approval. The required findings for a CDP can be made for this application and are listed below.

A. The project is consistent with the LCP land use plan, and the LCP implementation program.

The dog park project aligns with the City's certified Local Coastal Plan (LCP) land use plan and the LCP implementation program. It enhances public recreational opportunities within the coastal zone while preserving the park's existing character.

B. The project maintains or enhances public views.

The project will maintain existing public views, as the dog park improvements involve minor alterations that will not obstruct or degrade visual access to the coastal areas.

C. The project maintains or enhances vegetation, natural habitats and natural resources.

The project involves minimal ground disturbance and will incorporate appropriate landscaping to preserve the surrounding natural habitat. Any necessary tree removals will be mitigated by 83 Item 8 A.
replanting in compliance with city standards, ensuring no significant impact on vegetation or natural resources.

D. The project maintains or enhances low-cost public recreational access, including to the beach and ocean.

The proposed improvements will enhance low-cost public recreational opportunities by providing a designated area for dog owners and their pets to enjoy the park, promoting greater use of this public space.

E. The project maintains or enhances opportunities for visitors.

The dog park will increase recreational options for visitors and local residents, encouraging more community engagement and enjoyment of the park amenities.

F. The project maintains or enhances coastal resources
The project will not adversely impact coastal resources. The improvements are designed to be compatible with the existing park environment and will support the continued use of the area for passive recreation.

G. The project, including its design, location, size, and operating characteristics, is consistent with all applicable design plans and/or area plans incorporated into the LCP.

The design, location, size, and operating characteristics of the dog park are consistent with the applicable design and area plans incorporated into the LCP. The project complements the overall park setting and adheres to the guidelines for development within the coastal zone.

H. The project is consistent with the LCP goal of encouraging appropriate coastal development and land uses, including coastal priority development and land uses (i.e., visitor-serving development and public access and recreation).

The project supports the LCP goal of promoting appropriate coastal development and land uses, specifically public access and recreation. By providing a dedicated dog park, the project enhances visitor-serving amenities and encourages recreational use within the coastal zone.

Report Prepared By: Jessica Kahn, Public Works Director Reviewed By: Julia Gautho, City Clerk; Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
84 Item 8 A.

Dog Park at
Noble Gulch
Park
City Council
September 26, 2024
85 Item 8 A.
• Bordered by Noble
Creek, Monterey &
Park Avenues
• Accessible from
adjacent sidewalk,
vehicular access for
maintenance
• Existing benches,
tables, and narrow
pathway
• ADA barriers
• July 25, 2024 - Staff
directed to evaluate
feasibility of dog park
Park Overview
Dog Park at Noble Gulch Park
86 Item 8 A.
• Setback from the intersection
• Fencing on creek side and corral at entry
Boundaries
• Preference for turf over wood chips
• Winter drainage issues
Park Conditions
• Improvements for accessibility
ADA Access
• Potential water fountain
• Need for waste receptacles and updated signage
Amenities
Key Considerations
Dog Park at Noble Gulch Park
87 Item 8 A.

Fencing: “Hog wire” fencing with entry gates and vehicle access gates ADA Improvements: Concrete pad with accessible entry, table, and waste bin
Maintain Existing Furnishings
Signage: Install dog park rules and wet weather closure notifications Water Fountain: Delay installation
Recommended Improvements
Dog Park at Noble Gulch Park
88 Item 8 A.

Recommended Improvements
Dog Park at Noble Gulch Park
89 Item 8 A.

Fencing Types and Corral
Dog Park at Noble Gulch Park
90 Item 8 A.

ADA Accessibility
Dog Park at Noble Gulch Park
91 Item 8 A.

Parking
Dog Park at Noble Gulch Park
92 Item 8 A.
• Not budgeted for FY 2024-25
• Potential for mid-year budget amendments or inclusion in FY 2025-26
Itemized Park Costs
Item Total Cost
Fencing Total $42,775
Concrete Pad $19,250
Doggie Bags $250
Trash Can $0
ADA Picnic Table $4,000
Amenities Total $23,500
Total Cost $66,275
Optional Improvements
Coated Chain-Link Fence – Cost Difference $6,825
Drinking/Dog Fountain $7,000
Fiscal Impact
Dog Park at Noble Gulch Park
93 Item 8 A.

Recommended
Action
1) Provide feedback on
proposed dog park
design;
2) Approve Coastal
Development Permit;
3) Defer funding decision
to future budget
discussions; and/or
4) Direct staff to assess
interest in donations
and/or community
fundraising for project.
94 Item 8 A.

Capitola City Council
Agenda Report
Meeting: September 26, 2024
From: Public Works Department
Subject: Daylighting Law AB 413 – Village Parking
Recommended Action: 1) Review the AB 413 compliance approach in the Village and Citywide; and 2) approve the Coastal Development Permit.

Background: California Assembly Bill 413 (AB 413), approved on October 10, 2023, added a new section to the California Vehicle Code (CVC 22500(n)), which prohibits stopping, standing, or parking a vehicle within 20 feet of the vehicle approach side of any unmarked crosswalk or within 15 feet of any crosswalk where a curb extension is present. In California, any intersection is considered a crosswalk unless specifically marked as not a crosswalk. Until January 1, 2025, jurisdictions are authorized to issue warnings for violations and are prohibited from issuing citations unless the violation occurs in an area marked with paint or a sign.

Certain exceptions to this rule allow for the repurposing of these areas as 24-hour commercial loading zones, provided they are appropriately signed and striped (CVC Section 22500(n)(2)), or as bicycle or motorized scooter parking (CVC Section 22500(n)(3)).

In preparation for enforcing this rule, staff engaged traffic consultant, Kimley Horn, to analyze the impact of daylighting on the Capitola Village, where parking is already a critical issue. Following the analysis, staff met with representatives from the Capitola Village Wharf Business Improvement Association (BIA) in July to discuss potential removals and options for repurposing the affected spaces. The rest of the City's intersections are also impacted and will be addressed as discussed below.

Discussion: Daylighting involves removing parked cars adjacent to crosswalks to improve safety and visibility. This practice ensures that pedestrians and drivers have a clearer view of each other by keeping the area next to crosswalks free of vehicle obstructions.

Daylighting in the Village:

The City’s traffic consultant, Kimley Horn, prepared a memo outlining existing parking spaces affected by AB 413 (Attachment 1). The memo identifies 8 spaces in the Village are affected by AB 413. After consulting with the BIA, staff recommends adopting Kimley-Horn’s recommendations, such that there will be a net loss of three parking spaces: one space will be eliminated and used for ADA access for an adjacent parking space, and two spaces will be converted to public bike parking. Other spaces are recommended for conversion to loading zones or swapping with current loading zones, as detailed below. 95 Item 8 B.

Location 1: Capitola Avenue/Stockton Avenue
Recommended Changes:
 Modify loading zones to be across the street (in front of 301 Capitola Ave) and convert the current loading zone to public parking.
 Spot 280 (in front of 216 Capitola Ave) to be converted to a 24H commercial loading zone.

Space
Number
Current Proposed
280 Public Parking Loading 24H
327 Public Parking Loading 24H
328 Public Parking Loading 24H
301 Loading 24H Public Parking
302 Loading 24H Public Parking
Figure 1. Capitola Ave/Stockton Ave
96 Item 8 B.

Location 2: Monterey Avenue/Lawn Way
Recommended Changes:
 Spot 236 to be 24H commercial loading zones (currently loading AM only).  Spot 211 to be converted to bike parking, resulting in a net loss of one parking spot.

Space Number Current New
211 Public Parking Bicycle Parking
(parking loss)
236 Loading Loading 24H
Figure 2. Monterey Avenue/Lawn Way
97 Item 8 B.

Location 3: Esplanade/Lawn Way
Recommended Changes:
 Spot 146 to be utilized for ADA access for adjacent spot 145.  Spot 171 to be converted to a 24H commercial loading zone.

Space Number Current New
171 Public Parking Loading 24H
146 Public Parking - ADA ADA Striping for space 145
(loss of parking)
Figure 3. Esplanade/Lawn Way
98 Item 8 B.

Location 4: Esplanade/San Jose Avenue
Recommended Changes:
 Spot 263 to be converted to bike parking, resulting in a net loss of one parking spot.  Spot 129 to be converted to a 24H commercial loading zone.

Space Number Current New
263 Public Parking Bicycle Parking (loss of
parking)
129 Public Parking Loading 24H
Figure 4. Esplanade/San Jose Avenue
These changes in the Coastal Zone require a Coastal Development Permit (CDP). The conversion of parking space to bike parking meets the mitigation criteria for the CDP, helping to offset the loss of parking spaces while promoting alternative transportation options and improving coastal access.

Daylighting in the Rest of the City:

The City has numerous intersections with marked and unmarked crosswalks. It is impractical to paint all curbs red in daylighting areas, particularly on streets without curbs. Staff recommends limiting curb painting to daylighting areas in commercial zones, parks, and schools. Additionally, public outreach via the City’s website and social media will be conducted leading up to the time when this law will be enforceable statewide.
99 Item 8 B.

Environmental Determination: The recommended improvements are exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15304 (exemption for minor alterations to land) because restriping of pavement, painting curbs, and installation of bike racks are minor alterations in the condition of land that do not involve removal of healthy, mature, scenic trees.

Further, none of the exceptions to the use of a categorical exception as set forth in CEQA Guidelines section 15300.2 apply to these improvements.

Coastal Development Permit Findings:

The proposed project requires approval of a Coastal Development Permit (CDP). The City Council is the approval authority on CDP applications for Public Works projects that require no other discretionary permit approvals from the City other than funding approval. The required findings for a CDP can be made for this application and are listed below.

A. The project is consistent with the LCP land use plan and the LCP implementation Program.

The removal of three parking spaces and the installation of two bike parking facilities align with the City's certified Local Coastal Plan (LCP) land use plan and the LCP implementation program.

The project supports alternative transportation options within the coastal zone, thereby reducing vehicle dependency and encouraging sustainable access to the area.

B. The project maintains or enhances public views.

The project will maintain existing public views, as the removal of parking spaces and the installation of bike racks involve minimal changes to the streetscape. The bike parking will be designed and located to avoid obstructing or degrading visual access to coastal resources.

C. The project maintains or enhances vegetation, natural habitats, and natural resources.

The project involves minor ground disturbance limited to the existing paved surface and will not impact vegetation, natural habitats, or other natural resources. The proposed bike parking installation will be in compliance with city standards, ensuring no significant adverse effects on the local environment.

D. The project maintains or enhances low-cost public recreational access, including to the beach and ocean.

The addition of bike parking facilities will enhance low-cost public recreational access by providing an alternative and sustainable mode of transportation for residents and visitors. This improvement supports bicycle use as an affordable means of accessing the beach and coastal amenities.

E. The project maintains or enhances opportunities for visitors.

The project will increase opportunities for visitors by improving bike accessibility to Capitola Village. The bike racks will provide a convenient and secure option for cyclists, encouraging more people to visit and explore the area using environmentally friendly transportation.

F. The project maintains or enhances coastal resources.

The project will not adversely impact coastal resources. By promoting non-motorized transportation, it supports the preservation of air quality and reduces traffic congestion in the coastal zone, which benefits the overall environment and coastal resources.

G. The project, including its design, location, size, and operating characteristics, is consistent with all applicable design plans and/or area plans incorporated into the LCP.

The design, location, size, and operating characteristics of the bike parking facilities are consistent with the applicable design and area plans incorporated into the LCP. The bike parking will be appropriately placed to complement the village character and enhance public access without disrupting the current use of the area.

H. The project is consistent with the LCP goal of encouraging appropriate coastal development and land uses, including coastal priority development and land uses (i.e., visitor-serving development and public access and recreation).

The project supports the LCP goal of promoting appropriate coastal development by enhancing public access and recreation through the addition of bike parking facilities. This aligns with coastal priority land uses, encouraging sustainable, visitor-serving development and supporting the continued recreational use of the coastal zone.
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Fiscal Impact: Costs associated with staff time, paint, and minor capital expenses for converting parking to public bike parking, including the installation of bike racks, are included in the current FY 2024-25 budget.

Attachments:

1. Citywide Crosswalk Evaluation – Assembly Bill 413
Report Prepared By: Jessica Kahn, Public Works Director Reviewed By: Julia Gautho, City Clerk; Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
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AB413 Citywide Crosswalk Evaluation
1 TECHNICAL MEMORANDUM
To: City of Capitola
From: Derek Wu P.E., Frederik Venter P.E. Kimley-Horn and Associates, Inc.

Date: July 15, 2024
Re: Citywide Crosswalk Evaluation – Assembly Bill 413

1. Introduction
Kimley-Horn and Associates, Inc. (Kimley-Horn) is working with the City of Capitola (City) to conduct a citywide evaluation of existing crosswalks and determine the impact of on-street parking spaces located next to marked or unmarked pedestrian crosswalks based on new daylight laws from AB413.

California Assembly Bill 413 (AB413) approved on October 10, 2023, creates a new of the Vehicle Code, CVC 22500(n) which prohibits the stopping, standing, or parking of a vehicle within 20-feet of the vehicle approach side of any unmarked or crosswalk or 15-feet of any crosswalk where a curb extension is present. Prior to January 1, 2025, the bill would authorize jurisdictions to only issue a warning for a violation and would prohibit them from issuing a citation for a violation, unless the violation occurs in an area marked using paint or a sign. By restricting parking in certain areas, AB413 would impose a statemandated local program. A copy of AB413 is provided in Attachment A of the Appendix.

Daylighting is the concept of removing parked cars next to crosswalks to improve safety and visibility. By keeping the area next to crosswalks clear of parked vehicle obstructions, people walking and people driving on the street have better visibility to see each other. For pedestrians, sufficient daylighting would allow people to see if they have a clear path to cross without venturing into the roadway and peeking around parked cars. This is especially important for children, who are less visible at intersections. In addition, drivers get a clearer view of the crossing and have improved visibility to see if a pedestrian is waiting to cross.

This technical memorandum summarizes the field evaluation at the following study locations within the Capitola Village:
• Capitola Ave / California St
• Capitola Ave / Stockton Ave
• Capitola Ave / San Jose Ave
• Capitola Ave / Monterey Ave
• Monterey Ave / Lawn Way Mid-Block Crossing
• Esplanade / Lawn Way Mid-Block Crossing
• Esplanade / San Jose Ave
• Esplanade / Stockton Ave
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Item 8 B.

AB413 Citywide Crosswalk Evaluation
2 2. Traffic Data Collection and Crossing Evaluation Criteria Kimley-Horn conducted a field visit on Tuesday 4/16/2024 at the study locations. The objective of the data collection effort involved measuring the existing daylight from the crosswalk with the following assumptions and methodology:
• For a two-way street, the right curb area from the vehicle approach side of the crosswalk is affected with:
o A no parking zone within 20’.
o A no parking zone within 15’ where a raised curb extension is present. • For a one-way street, both the left and the right curb areas from the vehicle approach side of the crosswalk is affected with:
o A no parking zone within 20’.
o A no parking zone within 15’ where a raised curb extension is present. • Daylight distance is measured along the vehicle edge of travel way starting at the midpoint of the crosswalk stripe’s width.
o For analysis purposes, marked/paver walking areas at roadway grade are not assumed to be a raised curb extension and are assumed to be outside of the vehicle travel way.
• Parallel parking space:
o Dimensions are defined between the white marked “T” and the curb face. o Spaces with marked “T” inside the minimum daylight distance would either:

1. Need to be removed; or

2. Restriped to be outside the daylight zone (without changing its existing dimensions); or

3. Repurposed into a loading zone only space with appropriate signing and striping if loading is already marked for that area (CVC Section 22500(n)(2)); or

4. Repurposed into a bicycle or motorized scooter parking (CVC Section 22500(n)(3))
• Diagonal parking space
o Dimensions are defined between stall striping along the vehicle edge of travel way. o Spaces with the back corner of the stripe stall inside the minimum daylight distance would either:

1. Need to be removed; or

2. Restriped to be outside the daylight zone (without changing its existing dimensions); or

3. Repurposed into a bicycle or motorized scooter parking (CVC Section 22500(n)(3))

3. Crosswalk Evaluation Results
Table 1 show below summarize the field evaluation at the study locations. Concept layouts on a scaled topographic aerial in Attachment B of the Appendix was prepared to illustrate any proposed improvements or modifications to the existing crosswalk and on-street parking. 103
Item 8 B.

AB413 Citywide Crosswalk Evaluation
3 Table 1: AB413 Crosswalk Evaluation Summary
Study Location
Intersection Approach
Northbound Southbound Eastbound Westbound
Type AB413
Daylight
Parking
Impact? Type AB413 Daylight
Parking
Impact? Type AB413 Daylight
Parking
Impact? Type AB413 Daylight
Parking
Impact?
Capitola Ave / California St No approach leg No approach leg 2-way N/A No 2-way N/A No Capitola Ave / Stockton Ave 2-way N/A No 1-way 15' No 2-way 15' Yes 2-way 15' Yes Capitola Ave / San Jose Ave No approach leg No approach leg 2-way N/A No 2-way N/A No Capitola Ave / Monterey Ave 1-way N/A No 2-way N/A No 2-way 15' No N/A N/A No Monterey Ave / Lawn Way 1-way 20' Yes No approach leg No approach leg No approach leg Esplanade / Lawn Way No approach leg No approach leg 1-way 20' Yes No approach leg Esplanade / San Jose Ave No approach leg 1-way 20' Yes 1-way 20' Yes No approach leg Esplanade / Stockton Ave 2-way N/A No 2-way N/A No 1-way N/A No No approach leg 104
Item 8 B.

AB413 Citywide Crosswalk Evaluation
4 Capitola Ave / California St
Per AB413 criteria, this location satisfies the daylight requirements at the crosswalks with the existing street configuration. On Capitola Avenue, there are no crosswalks. California Street is one-way northbound on the outbound side of the intersection and does not have on-street parking on the approach side to the crosswalk.

Capitola Ave / Stockton Ave
This location has on-street parking on the Capitola Avenue eastbound and westbound intersection approaches prior to the crosswalk as well as on the Stockton Avenue one-way southbound approach prior to the crosswalk. The crosswalks at the intersection all have raised curb extensions.

Under existing conditions, space #280 and #328 along Capitola Avenue are located within 15’ of the crosswalk with a curb extension and would require one of the following actions to meet the daylight requirements.

1. Remove the striped parking space;

2. Repurpose the striped space into bicycle or motorized scooter parking (CVC Section 22500(n)(3)) 105
Item 8 B.

AB413 Citywide Crosswalk Evaluation
5 Capitola Ave / San Jose Ave
Per AB413 criteria, this location satisfies the daylight requirements at the crosswalks. On Capitola Avenue, on-street parking does not exist on the approach side of the pedestrian crosswalk. San Jose Avenue is one-way northbound and southbound on the outbound side of the intersection and does not have on-street parking on the approach side to the crosswalk.

Capitola Ave / Monterey Ave
This location has on-street parking on the Capitola Avenue eastbound intersection approach prior to the crosswalk. The crosswalks at the intersection all have raised curb extensions.

Under existing conditions, space #290 along Capitola Avenue are located outside 15’ of the crosswalk with a curb extension and would meet the daylight requirements. 106
Item 8 B.

AB413 Citywide Crosswalk Evaluation
6 Monterey Ave / Lawn Way Mid-Block Crossing
This location has on-street parking on the Monterey Avenue northbound approach prior to the midblock crosswalk. A marked yellow zone on the left side of the curb allows for loading and restricts parking from 8am – 1pm. Diagonal parking is on the right side of the curb. The crosswalk has a marked walking area outside of the vehicle travel way.

Under existing conditions, space #211 and #236 along Monterey Avenue are located within 20’ of the crosswalk and would require one of the following actions to meet the daylight requirements.

1. Remove the striped parking space;

2. For space #236 only - Repurpose the space into a loading zone only space with updated signing (CVC Section 22500(n)(2));

3. Repurpose the striped space into bicycle or motorized scooter parking (CVC Section 22500(n)(3)) 107
Item 8 B.

AB413 Citywide Crosswalk Evaluation
7 Esplanade / Lawn Way Mid-Block Crossing
This location has on-street parking on the Esplanade eastbound approach prior to the mid-block crosswalk. Parallel parking is on the left side of the curb and diagonal parking is on the right side of the curb. The crosswalk has a marked walking area outside of the vehicle travel way.

Under existing conditions, space #146 and #174 along the Esplanade are located within 20’ of the crosswalk and would require one of the following actions to meet the daylight requirements.

1. Remove the striped parking space;

2. Repurpose the striped space into bicycle or motorized scooter parking (CVC Section 22500(n)(3)) 108
Item 8 B.

AB413 Citywide Crosswalk Evaluation
8 Esplanade / San Jose Ave
This location has on-street parking on the Esplanade eastbound approach as well as on the San Jose Avenue one-way southbound approach prior to the crosswalk. Parallel parking is on the left side of the curb and diagonal parking is on the right side of the curb. The crosswalk has a marked walking area outside of the vehicle travel way.

Under existing conditions, space #129 along the Esplanade and space #263 along San Jose Avenue is located within 20’ of the crosswalk and would require one of the following actions to meet the daylight requirements.

1. Remove the striped parking space;

2. Repurpose the striped space into bicycle or motorized scooter parking (CVC Section 22500(n)(3)) For diagonal space #127 & #128, it is recommended to restripe those spaces along the Esplanade to meet the minimum daylight requirements per Attachment B in the Appendix.

Esplanade / Stockton Ave
Per AB413 criteria, this location satisfies the daylight requirements at the crosswalks. On Stockton Avenue, on-street parking does not exist on the approach side of the pedestrian crosswalk. The Esplanade is one-way eastbound on the outbound side of the intersection and does not have on-street parking on the approach side to the crosswalk.

5. Appendix
• Attachment A – Assembly Bill No. 413
• Attachment B – Crosswalk Layouts at Study Locations
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Assembly Bill No. 413
CHAPTER 652
An act to amend Section 22500 of the Vehicle Code, relating to vehicles. [Approved by Governor October 10, 2023. Filed with Secretary of State October 10, 2023.]
legislative counsel’s digest
AB 413, Lee. Vehicles: stopping, standing, and parking.

Existing law prohibits the stopping, standing, or parking of a vehicle in certain places and under certain conditions, including within an intersection, on a sidewalk or crosswalk, or in front of a fire station. Existing law additionally authorizes local jurisdictions to, by ordinance, restrict parking in certain areas, at certain times, and for certain reasons, and to establish metered parking.

This bill would prohibit the stopping, standing, or parking of a vehicle within 20 feet of the vehicle approach side of any unmarked or marked crosswalk or 15 feet of any crosswalk where a curb extension is present, as specified. The bill would, prior to January 1, 2025, authorize jurisdictions to only issue a warning for a violation, and would prohibit them from issuing a citation for a violation, unless the violation occurs in an area marked using paint or a sign.

By restricting parking in certain areas, this bill would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

The people of the State of California do enact as follows:

SECTION 1. Section 22500 of the Vehicle Code is amended to read:
22500. A person shall not stop, park, or leave standing any vehicle whether attended or unattended, except when necessary to avoid conflict with other traffic or in compliance with the directions of a peace officer or official traffic control device, in any of the following places:
(a)  Within an intersection, except adjacent to curbs as may be permitted by local ordinance.

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Item 8 B.
(b)  On a crosswalk, except that a bus engaged as a common carrier or a taxicab may stop in an unmarked crosswalk to load or unload passengers when authorized by the legislative body of a city pursuant to an ordinance. (c)  Between a safety zone and the adjacent right-hand curb or within the area between the zone and the curb as may be indicated by a sign or red paint on the curb, which sign or paint was erected or placed by local authorities pursuant to an ordinance.
(d)  Within 15 feet of the driveway entrance to a fire station. This subdivision does not apply to any vehicle owned or operated by a fire department and clearly marked as a fire department vehicle. (e)  (1)  In front of a public or private driveway, except that a bus engaged as a common carrier, schoolbus, or a taxicab may stop to load or unload passengers when authorized by local authorities pursuant to an ordinance. (2)  In unincorporated territory, where the entrance of a private road or driveway is not delineated by an opening in a curb or by other curb construction, so much of the surface of the ground as is paved, surfaced, or otherwise plainly marked by vehicle use as a private road or driveway entrance, shall constitute a driveway.
(f)  On a portion of a sidewalk, or with the body of the vehicle extending over a portion of a sidewalk, except electric carts when authorized by local ordinance, as specified in Section 21114.5. Lights, mirrors, or devices that are required to be mounted upon a vehicle under this code may extend from the body of the vehicle over the sidewalk to a distance of not more than 10 inches.
(g)  Alongside or opposite a street or highway excavation or obstruction when stopping, standing, or parking would obstruct traffic. (h)  On the roadway side of a vehicle stopped, parked, or standing at the curb or edge of a highway, except for a schoolbus when stopped to load or unload pupils in a business or residence district where the speed limit is 25 miles per hour or less.
(i)  Except as provided under Section 22500.5, alongside curb space authorized for the loading and unloading of passengers of a bus engaged as a common carrier in local transportation when indicated by a sign or red paint on the curb erected or painted by local authorities pursuant to an ordinance.
(j)  In a tube or tunnel, except vehicles of the authorities in charge, being used in the repair, maintenance, or inspection of the facility. (k)  Upon a bridge, except vehicles of the authorities in charge, being used in the repair, maintenance, or inspection of the facility, and except that buses engaged as a common carrier in local transportation may stop to load or unload passengers upon a bridge where sidewalks are provided, when authorized by local authorities pursuant to an ordinance, and except that local authorities pursuant to an ordinance or the Department of Transportation pursuant to an order, within their respective jurisdictions, may permit parking on bridges having sidewalks and shoulders of sufficient width to permit parking without interfering with the normal movement of traffic on the roadway. Local authorities, by ordinance or resolution, may 94 Ch. 652 — 2 —
111
Item 8 B.
permit parking on these bridges on state highways in their respective jurisdictions if the ordinance or resolution is first approved in writing by the Department of Transportation. Parking shall not be permitted unless there are signs in place, as may be necessary, to indicate the provisions of local ordinances or the order of the Department of Transportation. (l)  In front of or upon that portion of a curb that has been cut down, lowered, or constructed to provide wheelchair accessibility to the sidewalk. (m)  In a portion of a highway that has been designated for the exclusive use of public transit buses.
(n)  (1)  (A)  Within 20 feet of the vehicle approach side of any marked or unmarked crosswalk or within 15 feet of any crosswalk where a curb extension is present.
(B)  Notwithstanding subparagraph (A), a local authority may establish a different distance if both of the following requirements are met:
(i)  A local authority establishes the different distance by ordinance that includes a finding that the different distance is justified by established traffic safety standards.
(ii)  A local authority has marked the different distance at the intersection using paint or a sign.
(2)  Notwithstanding paragraph (1), a local authority may permit commercial vehicle loading or unloading within 20 feet of the vehicle approach side of any marked or unmarked crosswalk or within 15 feet of any crosswalk where a curb extension is present if both of the following requirements are met:
(A)  A local authority authorizes the commercial vehicle loading and unloading by ordinance and identifies the crosswalk or crosswalks in the ordinance.
(B)  A local authority has marked the commercial loading and unloading areas with paint or signage.
(3)  Notwithstanding paragraph (1), a local authority may permit parking for bicycles or motorized scooters within 20 feet of a crosswalk. (4)  Prior to January 1, 2025, jurisdictions may only issue a warning, and shall not issue a citation, for a violation unless the violation occurs in an area marked using paint or a sign.

SEC. 2. If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.

O
94 — 3 — Ch. 652
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Item 8 B.

CAPITOLA AVE

STOCKTON AVE
CITY OF CAPITOLA - AB413 CROSSWALK EVALUATION APRIL 2024 LOCATION 1

CAPITOLA AVENUE / STOCKTON AVENUE

INTERSECTION
DWW-097763146

CONCEPT LAYOUT FOR
PLANNING PURPOSES.

NOT FOR CONSTRUCTION
NORTH
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Item 8 B.

CAPITOLA AVE

MONTEREY AVE
CITY OF CAPITOLA - AB413 CROSSWALK EVALUATION APRIL 2024 LOCATION 2

CAPITOLA AVENUE / MONTEREY AVENUE

INTERSECTION
DWW-097763146

CONCEPT LAYOUT FOR
PLANNING PURPOSES.

NOT FOR CONSTRUCTION
NORTH
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Item 8 B.

MONTEREY AVE

LAWN WAY
CITY OF CAPITOLA - AB413 CROSSWALK EVALUATION APRIL 2024 LOCATION 3

MONTEREY AVENUE / LAWN WAY

MID-BLOCK CROSSWALK
DWW-097763146

CONCEPT LAYOUT FOR
PLANNING PURPOSES.

NOT FOR CONSTRUCTION
NORTH
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Item 8 B.

ESPLANADE

LAWN WAY
CITY OF CAPITOLA - AB413 CROSSWALK EVALUATION APRIL 2024 LOCATION 4

ESPLANADE / LAWN WAY

MID-BLOCK CROSSWALK
DWW-097763146

CONCEPT LAYOUT FOR
PLANNING PURPOSES.

NOT FOR CONSTRUCTION
NORTH
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Item 8 B.

SAN JOSE AVE

ESPLANADE
CITY OF CAPITOLA - AB413 CROSSWALK EVALUATION APRIL 2024 LOCATION 5

ESPLANADE / SAN JOSE AVENUE

INTERSECTION
DWW-097763146

CONCEPT LAYOUT FOR
PLANNING PURPOSES.

NOT FOR CONSTRUCTION
NORTH
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Item 8 B.

AB 413 Compliance –
Village Parking
City Council
September 26, 2024
118
Item 8 B.

Recommended
Action
• Review AB 413
compliance
approach in Village
and Citywide
• Approve Coastal
Development
Permit
119
Item 8 B.

California Assembly Bill 413 (AB 413):
• Approved on October 10, 2023
• Prohibits stopping, standing, or parking within 20 feet of any crosswalk or 15 feet of crosswalks with curb
extensions
• Exceptions: Commercial loading zones, bicycle or
scooter parking (with proper signage)
• Warnings only until January 1, 2025
Background
AB 413 Compliance
120
Item 8 B.

Daylighting
Concept • Removing parked
cars adjacent to
crosswalks to
improve safety
and visibility • Ensures clearer
views between
pedestrians and
drivers
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Item 8 B.

Background
AB 413 Compliance
122
Item 8 B.

Background
AB 413 Compliance
123
Item 8 B.

A crosswalk is:
• The part of the road between
the lines extended from the
edges of sidewalks at
intersections where streets
meet at right angles (not
including alleyways).
• Any part of the road marked
for pedestrian crossing with
lines or other signs.

Background
AB 413 Compliance
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Item 8 B.
• Evaluation of Village marked/metered parking
• 8 spaces affected
• Meeting with BIA Representatives
• Recommendations
• 4 conversion of meter spaces to loading zone
• Net loss of 3 parking spaces, converted to:
• ADA access
• Bike parking (2)
• 1 swapped with existing loading zone
Impacts on Village Parking
AB 413 Compliance
125
Item 8 B.

Capitola
Avenue/Stockton
Avenue
• Relocate loading zone
• 1 converted to commercial
loading
126
Item 8 B.

Monterey
Avenue/Lawn Way
 1 converted to commercial
loading (currently loading AM
only)
 1 converted to bike parking
127
Item 8 B.

Esplanade/Lawn
Way
 1 utilized for ADA access for
adjacent parking
 1 converted to commercial
loading
128
Item 8 B.

Esplanade/San
Jose Avenue
 1 converted to commercial loading
 1 converted to bike parking
129
Item 8 B.
• Limit curb painting to commercial zones, parks, and
schools.
• Public outreach via City website and social media before enforcement (January 1, 2025)
Daylighting Citywide
AB 413 Compliance
130
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Fiscal Impact
• Included in FY 2024-25 budget
• Staff time
• Paint
• Bike Racks
• Delineators
• Signage
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Item 8 B.

Recommended
Action
• Review the AB 413
compliance
approach in Village
and Citywide
• Approve Coastal
Development
Permit
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Item 8 B.

Capitola City Council
Agenda Report
Meeting: September 26, 2024
From: Community Services and Recreation Department
Subject: Public Art Project
Recommended Action: Adopt a resolution: 1) approving the Begonia Commemorative Public Art Project, 2) authorizing the City Manager to execute a Professional Services Agreement with artist Geoffrey Nelson in the amount of $40,000 for the Project, and 3) amending the adopted FY 2024- 25 budget to accept a $20,000 donation from the Capitola Beach Festival and allocate funding for preparation of the project site for installation.

Background: The City of Capitola’s Public Art Ordinance (Municipal Code Chapter 2.58) requires all commercial projects valued at more than $250,000 to either incorporate art into the project or contribute to the City’s Public Art Fund. One of the responsibilities of the City’s Art and Cultural Commission is to administer the Public Art Fund and recommend public art projects for the City of Capitola (CMC Chapter 2.56).

In the 1950s, Capitola was recognized as the “World Begonia Capital”. The City hosted the wellknown Begonia Festival, which ran from the 1950s through 2017. The last Begonia Festival was held in 2017, due to the closure of local begonia fields. In April 2018, Board Members of the Capitola Begonia Festival contacted the Art and Cultural Commission regarding the proposal of a public art project commemorating the Begonia Festival. The Begonia Festival Board (currently known as the Capitola Beach Festival) voted to donate $20,000 to the City to be used toward a commemorative public art piece (Attachment 5).

In March 2023, staff published a Call to Artists and received 11 submissions. The Art and Cultural Commission appointed a subcommittee to review artist submissions and select three submissions for the Art and Cultural Commission to review and make a final selection. On April 9, 2024, the Commission selected the concept presented by Geoffrey Nelson and recommends that the City Council authorize the City Manager to enter into an agreement with Geoffrey Nelson.

Discussion: Geoffrey Nelson is a local artist known for sculpture art with illumination. He has produced art pieces locally in the City of Santa Cruz, as well as throughout California and the West.

The Begonia Festival Commemorative Art Project will be located in the landscape area on the north corner of Wharf Road and Cliff Drive, near Stockton Bridge. The proposed concept is an aluminum sculpture that will represent three begonia flowers on a waterlike base (Attachment 4).

Each will be powder coated to have color and an LED internal light that will illuminate the sculpture from within. The sculpture will be no larger than six (6) feet tall and forty (40) inches wide and deep. Due to the size and location of the proposed concept, the project requires a building permit, which will be obtained prior to project construction.
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To prepare the site for installation of the chosen concept, staff will need to establish a concrete base and provide electrical from a nearby light post. Staff estimates the cost for this preparation to be $18,000.

Fiscal Impact: The Public Art Fund has $75,000 allocated in Fiscal Year 2024-25 for public art projects including $20,000 for the Begonia Commemorative Art project. The proposed project cost is $40,000 for the artist contract and $18,000 for site preparation, totaling $58,000. Thirty-eight thousand ($38,000) of the total cost will be allocated from the Public Art Fund and the remaining $20,000 are restricted funds donated by the Capitola Beach Festival, formerly Capitola Begonia Festival. Staff recommends amending the budget to include the cost for site preparation and allocation of an additional $18,000 from the Public Art Fund. The Public Art Fund is restricted with a current balance of $153,505.

Attachments:

1. Resolution

2. Budget Amendment

3. Begonia Festival Commemorative Public Art Agreement Contract

4. Begonia Festival Commemorative Public Art Proposal by Geoffrey Nelson

5. Donation MOU with Capitola Beach Festival
Report Prepared By: Nikki Bryant, Community Services & Recreation Director Reviewed By: Julia Gautho, City Clerk
Approved By: Jamie Goldstein, City Manager
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RESOLUTION NO. XXXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAPITOLA

AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT WITH GEOFFREY NELSON FOR THE BEGONIA COMMEMORATIVE PUBLIC ART PROJECT; AND AMENDING THE 2024-25 FISCAL YEAR CITY BUDGET AND CAPITAL IMPROVEMENT PROGRAM

BUDGET TO ACCEPT A DONATION FROM THE CAPITOLA BEACH FESTIVAL AND

ALLOCATE FUNDING
WHEREAS, the City of Capitola’s Public Art Ordinance (Municipal Code Chapter 2.58) requires all commercial projects valued at more than $250,000 to either incorporate art into the project or contribute to the City’s Public Art Fund. One of the responsibilities of the City’s Art and Cultural Commission is to administer the Public Art Fund and recommend public art projects for the City of Capitola (CMC Chapter 2.56); and
WHEREAS, the City of Capitola was host to the Begonia Festival from the early 1950s through 2017, where the festival was closed due to the closure of local begonia fields; and WHEREAS, in April 2018, the Capitola Begonia Festival Board contacted the City’s Art and Cultural Commission to commission a commemorative art project to honor the Begonia Festival and pledged a donation of $20,000 to this project; and
WHEREAS, the Art and Cultural Commission has reviewed artist submissions and recommended approval of an agreement with Geoffrey Nelson to crease the Begonia Commemorative Public Art Project in the amount of $40,000; and WHEREAS, in August of 2024, the City accepted a donation of $20,000 from the Capitola Beach Festival (formerly the Board of the Capitola Begonia Festival) for this Project and it is now necessary to adopt the 2024-25 Fiscal Year Budget for all City funds and Capital Improvement Program; and
WHEREAS, the City Council conducted budget study sessions, heard and considered public comments, had modified and proposed a budget accordingly, and on June 27, 2024, adopted such budget for the Fiscal Year July 1, 2024, through June 30, 2025; and WHEREAS, the adopted FY 2024-25 budget’s Public Art Fund included $75,000 for public art projects; and
WHEREAS, since the adoption of the budget the has received an additional donation of $20,000 for the Begonia Commemorative Art Project; and
WHEREAS, it is necessary to amend the Fiscal Year 2024-25 Adopted Budget to accept the $20,000 donation and increase the project budget to include the $18,000 in project site preparation expenditures; and
NOW, THEREFORE, BE IT HEREBY RESOLVED by the City Council of the City of Capitola that the 2024-25 Fiscal Year Budget is hereby amended, including Exhibit A (Budget Amendment) to this Resolution; and
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BE IT FURTHER RESOLVED that the Finance Director is directed to enter the budget into the City's accounting records in accordance with appropriate accounting practices, and the City Manager, with the Finance Director's assistance, shall assure compliance therewith.

I HEREBY CERTIFY that the foregoing Resolution was passed and adopted by the City Council of the City of Capitola on the 26th day of September 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_____________________
Kristen Brown, Mayor
ATTEST:
____________________ ___
Julia Gautho, City Clerk
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PROFESSIONAL SERVICES AGREEMENT

BEGONIA COMMEMORATIVE ART AGREEMENT
ARTIST: GEOFFREY NELSON
This Agreement (“Agreement”) is entered into this 26th day of September, 2024 by and between the City of Capitola, California, a municipal corporation (“City”), and Geoffrey Nelson (“Artist”), collectively the “Parties”.

SCOPE OF SERVICES. The Artist agrees to design and install Artwork constructed out of aluminum and shaped to form three (3) begonia flowers set on a cast concrete base (“Artwork”) located in the landscape area on the north corner of Wharf Road and Cliff Drive pursuant to the terms of this Agreement. The Artwork shall not exceed dimensions of (6) feet high and (40) forty inches wide by (40) forty inches deep. The Artwork shall be consistent with the design approved by the City of Capitola Art and Cultural Commission on April 9, 2024, and the Capitola City Council on September 26, 2024.

The City will provide the Artist with a four (4) foot by four (4) foot wide and (4) four-inchhigh concrete foundation equipped with a 110v electrical outlet in a location, at the project site, that minimizes right-of-way impacts. Additionally, the City will provide traffic control for the unloading of the sculpture at the project site. Once the foundation is installed, it is anticipated that artwork installation will take two (2) weeks unless an extension is mutually agreed upon by both parties.

TIME FOR PERFORMANCE. Artist agrees to complete and install the Artwork before January 31, 2025, unless mutually agreed upon by the Parties.

COMPENSATION. City shall pay Artist compensation in the amount of Forty Thousand Dollars ($40,000.00), upon receipt of a donation of Twenty Thousand Dollars ($20,000.00) from the Capitola Beach Festival 501c3 non-profit, and will be disbursed to the Artist as follows:
(a) Ten Thousand ($10,000.00) upon execution of this agreement. (b) Thirty Thousand ($30,000.00) upon completion of installation.

COPYRIGHT. Except as provided herein, the Artist retains all reproduction rights under the Copyright Act of 1976, 17 U.S.C., Sections 101, et.seq. The Artist hereby grants to the City and its assigns an irrevocable license to make photographs, drawings, or other two dimensional reproductions of the Artwork without prior consent of the Artist, including but not limited to reproductions used in advertising, brochures, media publicity, promotional and tourist publications, noncommercial reproductions, in the City’s portfolio of public art, and catalogues or other similar publications, provided that these rights are exercised in a reasonable manner.

Artist agrees to indemnify, defend, and hold harmless the City, and its respective officials, officers, employees, and agents from any and all claims, damages, suits, costs, expenses, liabilities, actions or proceedings of any kind resulting from any services under this Agreement that infringe upon any patent, trademark or copyright protected by law.

GUARANTEE. The Artist does hereby guarantee that the Artwork workmanship and fabrication shall be completed with Artist’s best efforts, and the Artist shall provide the necessary 138
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Public Art Agreement – Begonia Commemorative Public Art 2 materials and labor for and shall bear any expenses in connection with repair of any related defects of which the Artist is given written notice by the City within two years from the date of installation.

The Artist will not be responsible for damage resulting from fire, vandalism, acts of God or normal wear and tear attributable to weather.

ORIGINAL WORK. The Artist warrants that the Artwork designed for City’s purchase under this Agreement is a unique and original project of the Artist’s creative efforts; and that it has not been nor will be accepted for sale or installed elsewhere.

INDEMNIFICATION. The Artist agrees to defend, indemnify, and hold harmless the City of Capitola, its officials, officers, employees, volunteers, and agents to the fullest extent permitted by law, from any and all claims, liability, demands, damages, losses, expenses, attorneys’ fees or costs arising out of or in any way related to Artist’s or Artist’s employees’, subcontractors’, volunteers’, officers’ or agents’ acts, errors, omissions or willful misconduct while performing the work hereunder or any failure to comply with any of their obligations pursuant to this Agreement, except for any liability arising from the sole negligence or willful misconduct by the City.

INSURANCE. The Artist shall always during the term of this Agreement maintain in force the insurance policies and will comply with all those requirements as stated herein.

COMPLIANCE WITH LAWS. The Artist shall comply with all applicable laws and ordinances of the United States, State of California and the City of Capitola.

SUBCONTRACTING & ASSIGNMENT. If any part of the Artwork is to be created using subcontractors or volunteers, the City must first approve the use of any such third party in writing.

The City shall not unreasonably withhold the approval of any qualified subcontractor. The Artist shall not assign this Agreement without the prior written consent of the City.

If Artist, during performing work under this Agreement, requires the service of any third party, Artist agrees to have such volunteers or other third party execute a waiver.

CHANGES. All changes to this Agreement shall require a written agreement signed by all parties prior to any change.

TERMINATION. The City may, by written notice to the Artist, terminate this Agreement in whole or in part at any time, either for the City’s convenience or because of the failure of the Artist to fulfill his contractual obligations. If termination is for the convenience of the City, the Artist shall be entitled to the full Forty Thousand Dollars ($40,000.00) less an amount equal to expenses anticipated to be incurred by the Artist at the time of execution of this Agreement but not yet incurred at the time of such termination.

If termination of the Agreement is due to failure of the Artist to fulfill the Artist’s contract obligations, the Artist shall remit to the City a sum equal to all payments made by City pursuant to this Agreement prior to termination.

If the Artist terminates this Agreement due to death or an incapacity which prevents the Artist from completing the project, all materials purchased for the Artwork shall become the property of the City. The Artist or her representative shall provide the City with comprehensive models and plans which will enable the City to complete the Artwork. The Artist shall not be entitled to further compensation but shall not be required to refund to the City funds previously 139
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Public Art Agreement – Begonia Commemorative Public Art 3 paid to the Artist.

REMOVAL OR DISASSEMBLAGE. The Artist understands and agrees that the Artwork will be owned by the City. As such, at any time in the future the City in its sole and absolute discretion, may move the Artwork to another location or disassemble it. Should the City so elect, the City assumes full responsibility for the moving and reserves the right to reinstall the Artwork at a different site, or to dispose of the Artwork as the City deems appropriate. Such a determination is the sole right of the City. However, the City will attempt to contact the Artist to obtain the Artist’s views regarding relocation or disposition of the Artwork.

WAIVER OF ARTIST’S RIGHTS TO WORK OF ART. As a material part of the consideration provided by Artist under the terms of this Agreement, Artist waives any and all rights Artist may have with respect to the Artwork and any and all works of art produced under the terms of this Agreement pursuant to the federal Visual Artists Rights Act of 1990 (17 U.S.C. §§ 106A and 113(d)), the California Art Preservation Act (Cal. Civil Code § 987 et seq.), and any other local, state, federal or international laws that convey rights of the same nature as those conveyed under 17 U.S.C. section 106A, Cal. Civil Code section 987 et seq., or any other type of moral right protecting the integrity of works of art. Artist expressly agrees that the work performed hereunder is “Work Made for Hire” under the provisions of 17 U.S.C. section 101. The provisions of this paragraph shall apply to modify Artist’s rights of attribution and integrity as set out in the Visual Artists Rights Act, 17 U.S.C §§ 106A and 113(d) (“VARA”), the California Art Preservation Act, Cal. Civil Code §§ 987 and 989 (“CAPA”), and any rights arising under United States federal or state law or under the laws of another country that convey rights of the same nature as those conveyed under VARA and CAPA, as against the City of Capitola and its agents. The City has the absolute and exclusive right to change, modify, destroy, remove, relocate, move, replace, transport, repair or restore the artwork that is the subject of this Agreement.

NOTICES. Notices, requests for payment, and other communications are to be hand delivered or mailed to the respective parties as follows, or to such other address as any party may designate by written notice in accordance with this Section.

CITY ARTIST
City of Capitola
Attn: Nikki Bryant
4400 Jade St.

Capitola, CA 95010
Geoffrey Nelson
1040 River Street #322
Santa Cruz, CA 95060
DISPUTES. This Agreement is governed by the laws of the State of California and all actions shall be brought in court in Santa Cruz County, California.

ENTIRE AGREEMENT. This Agreement contains the entire agreement between the parties hereto, and they shall not be bound by any terms, conditions, statements, warranties or representations, oral or written, not herein stated.

SEVERABILITY. In the event that any of the provisions or applications thereof of this Agreement are held to be unenforceable or invalid by any court of competent jurisdiction, the validity and enforceability of the remaining provisions or applications thereof shall not be affected.

COUNTERPARTS. This Agreement may be executed on one or more copies and each 140
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Public Art Agreement – Begonia Commemorative Public Art 4 counterpart will be considered an original and binding to the party executing it. A scanned, electronic, facsimile or other copy of a party’s signature shall be treated the same as an original.

Dated: ____________________ CITY OF CAPITOLA, a municipal corporation By:______________________________
Jamie Goldstein, City Manager
Dated: _____________________ ARTIST
By:______________________________
Geoffrey Nelson, Artist
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4892-2905-6205 v2
Memorandum of Understanding
THIS MEMORANDUM OF UNDERSTANDING (“Agreement”) is made and entered into on July 15, 2024 (the “Effective Date”), by and between the City of Capitola, a California municipal corporation (“Donee”) and Capitola Beach Festival (“Donor”).

Recitals

1. WHEREAS, the proposed project, Begonia Commemorative Public Art project, (“Project”) will honor the history of the Capitola Begonia Festival and serve as a welcome to visitors of the Capitola Village; and

2. WHEREAS, the proposed project site is located on a prominent street corner at the entrance of Capitola Village, where the Capitola Begonia Festival’s Nautical Parade took place; and

3. WHEREAS, Donor wishes to make a donation of twenty thousand dollars ($20,000) in the form of monetary funds (“Funds”) to Donee for the sole purpose of contributing to the Project; and

4. WHEREAS, Donee desires to accept the Funds from Donor pursuant to the terms and conditions set forth below.

Agreement
NOW, THEREFORE, in consideration of the mutual covenants and agreements provided for herein, Donee and Donor agree as follows:

1. Incorporation of Recitals and Exhibits. The Recitals set forth above and the Exhibits attached to this Agreement are each incorporated into the body of this Agreement.

2. Donation of Funds. Subject to the terms and conditions set forth herein, Donor agrees to donate twenty thousand dollars ($20,000), and Donee hereby agrees to accept the Funds from Donor. The Donor will donate the Funds on the Effective Date of this Agreement.

3. Use of Funds. Donee shall reserve Funds for the sole use on the Project.

4. Intent. Both Donor and Donee acknowledge that this donation is given freely without any expectation from Donor that Donee will provide favorable treatment to Donor in any capacity. No goods or services will be provided by Donee to Donor in exchange for this donation.

5. Warranties. Donor warrants that Donor owns donated Funds and Donor has the full right, power, and authority to transfer the Funds to the Donee.

Docusign Envelope ID: 14B6E7C6-92FA-4174-A4DF-8F74705D0C5C 144
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4892-2905-6205 v2
IN WITNESS WHEREOF, the parties have executed this Agreement as of the Effective Date.

Donee:
____________________________________
______________________
Jamie Goldstein Date
City of Capitola City Manager
Donor:
____________________________________
______________________
Mary Beth Cahalen Date
Capitola Beach Festival Board President
Docusign Envelope ID: 14B6E7C6-92FA-4174-A4DF-8F74705D0C5C 7/15/2024
8/6/2024
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Begonia Festival
Commemorative
Public Art Project
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Recommended Action
Adopt a resolution:
1) Approving Begonia Commemorative Public
Art Project
2) Authorizing City Manager to execute a
$40,00 Professional Services Agreement
with artist Geoffrey Nelson, and
3) Amending adopted FY 2024-2025 budget to
accept a $20,000 donation from Capitola
Beach Festival and allocate funding for site
preparation and installation.
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BACKGROUND
• Art & Cultural Commission’s
responsibility is to administer public
art fund
• In 2017, final Begonia Festival was
held due to Begonia Fields closing
• When Begonia Festival Board
transitioned the non-profit, it voted
to donate $20,000 to City for a
commemorative public art project
• Capitola Begonia Festival became
the Capitola Beach Festival
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BACKGROUND • In March 2023, a Call to
Artists was published and 11
submissions were received • Art & Cultural Commission
Subcommittee reviewed all
submissions and invited 3
artists to present their
concepts • On April 9, 2024,
Commission selected the
concept proposed by
Geoffrey Nelson
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DISCUSSION
• Proposed concept requires a
concrete base and electrical
to site estimated at $18,000
• Size and location of
proposed concept requires a
building permit
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Begonia Commemorative Project
Geoffrey Nelson with Lynn Jaye
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Corner of
Wharf Rd &
Cliff Dr near
Stockton
Bridge
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FISCAL IMPACT
• Budget Amendment to accept Capitola
Beach Festival donation and incorporate the
site prep expenses
Public Art Fund Donation Total
Artist Contract $20,000 $20,000 $40,000
Installation $18,000 $18,000
Total $58,000
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Recommended Action
Adopt a resolution:
1) Approving Begonia Commemorative Public
Art Project
2) Authorizing City Manager to execute a
$40,00 Professional Services Agreement
with artist Geoffrey Nelson, and
3) Amending adopted FY 2024-2025 budget to
accept a $20,000 donation from Capitola
Beach Festival and allocate funding for site
preparation and installation.
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Questions
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