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Agenda packet

Capitola City Council
October 23, 2025

Document
Agenda packet
Meeting
October 23, 2025
Body
Capitola City Council
Pages
49
Original file
33.2 MB
Text extracted from the city's file for reading and search. Open the original on mccmeetings.blob.core.usgovcloudapi.net. That file is the official record.

REVISED 10/23/2025 AT 4:00 PM
City of Capitola
City Council Meeting Agenda
Thursday, October 23, 2025 – 6:00 PM
City Council Chambers
420 Capitola Avenue, Capitola, CA 95010
Mayor: Joe Clarke
Vice Mayor: Margaux Morgan
Council Members: Gerry Jensen, Melinda Orbach, Susan Westman Closed Session – 5 PM
Closed Sessions are not open to the public and held only on specific topics allowed by State Law (noticed below). An announcement regarding the items to be discussed in Closed Session will be made in the City Hall Council Chambers prior to the Closed Session. Members of the public may, at this time, address the City Council on closed session items only. There will be a report of any final decisions in City Council Chambers during the Open Session Meeting.
i. PUBLIC EMPLOYEE PERFORMANCE EVALUATION (Gov’t Code §54957(b)) City Council’s Performance Evaluation of the City Attorney Regular Meeting of the Capitola City Council – 6 PM

1. Roll Call and Pledge of Allegiance
Council Members Gerry Jensen, Melinda Orbach, Susan Westman, Vice Mayor Margaux Morgan, and Mayor Joe Clarke

2. Additions and Deletions to the Agenda

3. Presentations
Presentations are limited to eight minutes.

A. Presentation from Lucia Medina, the 2025 "Mayor for a Day" Youth Essay Contest Winner B. Presentation from the Second Harvest Food Bank

4. Report on Closed Session

5. Additional Materials
Additional information related to an agenda item on this agenda and submitted to the City after distribution of the agenda packet pursuant to Government Code §54957.5. 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.

A. Item 9A - Correspondence Received
B. Item 9F - Correspondence Received
C. Item 9G - Staff Memorandum with Updated Attachment
D. Item 9H - Correspondence Received
1 City Council Meeting Agenda – October 23, 2025
City of Capitola Page 2

6. 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.

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

8. Consent Items
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 special meeting on October 9, 2025, and the regular meeting on October 9, 2025.

B. 2025 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 27, 2025, through December 25, 2025.

C. Donations Report Fiscal Year 2024-25
Recommended Action: Receive the Annual Donations and Contributions Report.

D. Contract for Arbitration Services
Recommended Action: Adopt a resolution authorizing the City Manager to execute a professional services agreement with Signature Resolution to provide arbitration services for mobile home rent increase petitions pursuant to Capitola Municipal Code Chapter 2.18.

9. 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. Grand Avenue Pathway
Recommended Action: Receive a report on the Grand Avenue Pathway and provide direction to staff as needed.

B. Economic Development Presentations and Department Update Recommended Action: Receive presentations from local business organizations and receive a presentation from the Community and Economic Development Department on current and upcoming economic development initiatives.

C. 2021 CDBG Grant Closeout
2 City Council Meeting Agenda – October 23, 2025
City of Capitola Page 3
Recommended Action: Conduct the duly noticed public hearing and receive a report summarizing the accomplishments performed under State CDBG Agreements 21-CDBG-NH20008, 21-CDBG-NH-20009, and 21-CDBG-NH-20010; solicit citizen input regarding expenditures and accomplishments of the funding received under these contracts; and direct staff to proceed with submitting required documents for closeout to the State.

D. 2025 Community Development Block Grant Program
Recommended Action: Receive staff report, conduct public hearing, and discuss. No action is required.

E. Award of Construction Contracts for the Treasure Cove Playground and Jade Street Park Restroom Renovation Projects
Recommended Action: Adopt a resolution awarding the construction contracts for the Treasure Cove Playground Project to SSB Construction, Inc. in the amount of $2,446,238, and for the Jade Street Park Restroom Renovation Project to CWS Construction Group, Inc. in the amount of $484,000, authorizing the City Manager to execute both contracts, and authorizing staff to issue notices to proceed upon final execution.

F. Administrative Policy I-42: Code of Conduct
Recommended Action: Approve revisions to Administrative Policy I-42: Council and Board Code of Conduct.

G. Introduce an Ordinance Amending Chapter 15.04 of the Capitola Municipal Code Pertaining to Building and Fire Code
Recommended Action: Introduce for first reading, by title only, waiving further reading, an ordinance amending Chapter 15.04 and 15.18 of the Capitola Municipal Code pertaining to adoption of California Building Codes and the California Fire Code, 2005 Edition and portions of the 2024 International Fire Code, as amended by the Central Fire Protection District and ratified by the Capitola City Council.

H. November 20 Meeting
Recommended Action: Provide direction for the November 20, 2025, City Council meeting.

10. Adjournment
The next regularly scheduled City Council meeting is on November 13, 2025, at 6:00 PM. _____________________________________________________
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
3 City Council Meeting Agenda – October 23, 2025
City of Capitola Page 4
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 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 ~ vL L
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Erica Padilla-Chavez, CEO
October 23, 2025 – City of Capitola
7 Item 3 B.

Second Harvest Food Bank Santa Cruz
County is committed to building a thriving
community where everyone has access to
nutritious food and essential service to
support their health and well-being.
8 Item 3 B.

Objectives:
Provide basic understanding of our county’s food security network
Overview of the national cuts to food security programs Detail Second Harvest impacts and pivots given current shifting landscape
Motivate increased conversation of food insecurity
9 Item 3 B.
 1960’s John van Hengel
 1972 Second Harvest Food Bank
Santa Cruz, first in CA, second in the
country!
 USCS students instrumental in
launching Second Harvest
10 Item 3 B.

WHAT IS THE NETWORK?
 A National, State and Local system that
works in concert to provide nourishment
to neighbors
 Feeding America Members:220+
 California Association of Food Banks
Members: 41 food banks
 Santa Cruz County: 66 Partner Agencies
11 Item 3 B.
 100+ Distribution Sites throughout
the county
 6 partner agencies - City of Capitola
 Unduplicated City of Capitola
Individuals served by month: 1,760*
*Represents approximately 20% of the
city’s total population
12 Item 3 B.
13 Item 3 B.
 Cancellation of USDA resources
 Local Food Purchasing Assistance (LFPA) ($600,000)
 USDA TEFAP through Community Credit Corporation
($400,000)
 SNAP/CalFresh Changes
 Shifting of Cost to State
 New Eligibility Requirements
 Some legal residents ineligible for participation
 Ripple Effect
 Some will lose eligibility
 Local economic impact
 Student meals impact (free and reduced lunch)
 Food Bank demand will grow
14 Item 3 B.
15 Item 3 B.
 Convening leaders in the food
insecurity space across our county
 Addressing current fears and
pivoting to ensure access
 Optimizing our internal operations
 Leveraging new partnerships
 Educating the community
 Maximizing engagement
16 Item 3 B.
17 Item 3 B.
1 Gautho, Julia
From: Ford, Kiana@Coastal <[email protected]>
Sent: Wednesday, October 22, 2025 1:27 PM
To: Kahn, Jessica
Cc: City Council; Graeven, Rainey@Coastal
Subject: [PDF] Agenda Item 9A
Attachments: 10.22.25 City Council Hearing Item #9A Coastal Commission Letter.pdf Good Afternoon, Jessica,
Please see attached a letter from the Coastal Commission Central Coast District OƯice regarding item 9A on tomorrow’s City Council agenda.

Best,
Kiana
Kiana Ford | Coastal Planner

CALIFORNIA COASTAL COMMISSION
Central Coast District
725 Front Street, Suite 300
Santa Cruz, CA 95060
Direct: (831) 303-0371
[email protected]
18 Item 5 A.

STATE OF CALIFORNIA — NATURAL RESOURCES AGENCY GAVIN NEWSOM, GOVERNOR

CALIFORNIA COASTAL COMMISSION CENTRAL COAST DISTRICT
725 FRONT STREET, SUITE 300
SANTA CRUZ, CA 95060
PHONE: (831) 427-4863
EMAIL: [email protected]
WEB: WWW.COASTAL.CA.GOV
October 22, 2025
Jessica Kahn, P.E.

Public Works Director
City of Capitola, CA 95010
[email protected]
Capitola City Council
420 Capitola Avenue
Capitola, CA 95010
[email protected]
Subject: Grand Avenue Pathway – Item 9A
Dear Director Kahn and Honorable Members of the Capitola City Council, We have reviewed the agenda report, including the attached geologic investigation, which includes recommendations to preserve the Grand Avenue bluff top pathway. We write today to express our strong support for relocating the pathway inland along the City-owned right of way and urge the City Council to direct staff to pursue the implementation measures outlined in the agenda report.

We believe these measures are important in order to allow the public to continue to have access to this significant coastal resource, including its public recreational opportunities and coastal views. Furthermore, such measures are consistent with the Coastal Act’s requirement to maximize public access and recreation, and the relevant City of Capitola Local Coastal Program (LCP) policies, which speak to “providing safe and adequate pedestrian access to and along the shoreline” and maintaining “existing pathways and park sites for public use”.

Moreover, and consistent with our past letters related to the Grand Avenue Pathway (see attached letters dated May 23, 2017 and December 16, 2019), we continue to support restoring and maintaining lateral public access along the bluff in concert with related efforts to help improve drainage and minimize runoff and saturation of the bluff (including but not limited to additional drainage infrastructure to help prevent runoff down the bluff, converting existing landscaping along Depot Hill to drought tolerant landscaping to help minimize saturation of the bluff, etc.). We also continue to support a more informal path (e.g., compacted dirt, decomposed granite, etc. as opposed to concrete or asphalt), which may offer the City more flexibility to continue to adapt/relocate the pathway as needed.

A renewed effort to restore a continuous pathway experience benefits all users (those young and old, residents and visitors, and those able-bodied and not) given the 19 Item 5 A.

Grand Avenue Pathway

Page 2 ends

sweeping views it provides of the Monterey Bay, especially when there are fairly limited comparable alternative access opportunities along the Depot Hill stretch of coast.

Furthermore, we understand the City is committed to undertaking City-wide adaptation planning, and thus that planning process may elucidate other mechanisms to continue to provide access here, or possibly help enhance and/or create new access opportunities in the vicinity.

Thank you for consideration of these comments, and we offer our support to City staff as this process moves forward.

Sincerely,
Dan Carl
District Director
Central Coast District
California Coastal Commission
Attachments: May 23, 2017 and December 16, 2019 Coastal Commission letters to the City regarding the Grand Avenue Pathway
20 Item 5 A.

STATE OF CALIFORNIA-NATURAL RESOURCES AGENCY

CALIFORNIA COASTAL COMMISSION CENTRAL COAST DISTRICT OFFICE 725 FRONT STREET, SUITE 300
SANTA CRUZ, CA 95060
PHONE: (831) 427-4863
FAX: (831) 427-4877
WEB: WWW.COASTAL.CA.GOV
City Council
City of Capitola
420 Capitola A venue
Capitola, CA 95010
EDMUND G. BROWN JR., GOVERNOR
May 23,2017
Subject: Grand Avenue Pathway Relocation- Item 9A, May 25, 2017 City Council Hearing.

Dear Hon. Mayor Harlan and fellow Council Members:

We write today to express our strong support for relocating the Grand A venue bluff top pathway inland along the City-owned right of way consistent with the original recommendation to Council back in March. We have reviewed the staff report, including the attached geologic report, which appears to suggest that the path will essentially be abandoned and remain closed indefinitely. We believe the City should explore other alternatives to allow the public, including the residents of the City of Capitola, to continue to have access to this amazing coastal resource and its magnificent coastal views.

Our understanding is that, over the years, the City has granted revocable encroachment permits to a number of private property owners with property frontage along the old Grand Avenue rightof-way. We strongly encourage the City to reclaim all areas of the publically-owned right-of-way along this entire stretch of Depot Hill that have been encroached upon by such private residential development so that this publicly-owned right-of-way property can be used to ensure that a path remains available for public access. We believe that reverting the encroached-upon areas to public access use is consistent with Coastal Act and relevant City Local Coastal Program (LCP) policies that require maximization of public access and recreation opportunities. And while we understand the significant erosion concerns raised by the geologic report, we would submit that an appropriate interim solution may be to establish a less formalized pathway (e.g. compacted dirt, decomposed granite, etc. as opposed to concrete or asphalt) along the inland extent of the public right-of-way to allow the public to continue to utilize this incredible coastal resource.

Thank you for your consideration.
~(11~ / Susan Craig ..___...... 0
District Manager
Central Coast District Office
21 Item 5 A.
22 Item 5 A.
23 Item 5 A.
1 Gautho, Julia
From: David Aaron <[email protected]>
Sent: Thursday, October 23, 2025 9:21 AM
To: City Council
Subject: Item 9A, Grand Avenue Pathway
Dear Members of the City Council:

We write today in support of the plan to preserve the Grand Avenue pathway. This access route is a valuable part of the entire Capitola community, and a place where friends and neighbors gather to enjoy the beauty of our town and the larger Monterey Bay. It’s a place where people from all over Capitola walk their dogs, take sunset strolls, and allow young children to ride their bikes without fear of speeding vehicles. We also meet people from out of town who were guided to the bluff by a map published by the Capitola Historical Museum. It is a picturesque and peaceful place unmatched in the town.

Just last week at the end of Saxon Ave, we had the pleasure of spotting whales breaching in the waters between the bluff and the cement ship. Watching with us was a group of people from Aptos, who regularly meet on Depot Hill to walk the pathway and neighborhood before heading to lunch in the Village.

We encourage the City Council to extend the life of path by taking back the publicly owned right-ofway and performing the needed drainage repairs. Preserving the pathway and its unique views available to the public even for another five to ten years is significantly preferable to losing it immediately.

Thank you for your consideration.

Best regards,
David, Deb & Audrey Aaron
Capitola residents
24 Item 5 A.
1 Gautho, Julia
From: Kahn, Jessica
Sent: Thursday, October 23, 2025 10:29 AM
To: City Council
Subject: Grand Avenue Pathway – Responses to Council Questions Good morning,
I received the following questions regarding the Grand Avenue Pathway item on this evening’s agenda and wanted to provide written responses in advance. Please let me know if you would like any additional detail. The consulting geologist who prepared the report will also be present at the meeting to answer technical questions.

1. If we were to pursue relocation of the path, where would the funding for this project come from? This project is not currently budgeted, and there is no dedicated fund in the Public Works budget for this pathway since it requires minimal maintenance and has no irrigation (unlike a park, which has an established maintenance budget). The recently completed study and some additional design work could be covered under the Public Works operational budget. However, additional design or construction would require identifying a separate funding source. In discussing with the Finance Department, the Contingency Reserve would be a likely funding source, but please recall we are under policy levels in that fund pending storm damage reimbursements.

2. Given how diƯicult it has been to secure all of the funding we need for CliƯ Drive, how likely would it be for us to get grant funding for this project?
While this could be considered a coastal access project, the documentation showing the pathway’s remaining life is roughly 10 years would make it less competitive for most grant programs.

3. Are the plants along the bluƯs currently drought tolerant? The geologist noted that the vegetation along the bluƯ top and face was not deliberately installed and that drought tolerance is not a significant factor for bluƯ stability—provided the area is not irrigated. Rainfall and perched water above the bedrock are seasonal contributors to soil saturation, while the bedrock failure below primarily controls bluƯ retreat. Vegetation can help reduce surface erosion from rainfall and runoƯ, but the type of vegetation itself has limited influence on overall bluƯ stability.

4. Can we convert existing landscaping along the Grand Avenue pathway to drought-tolerant landscaping to help minimize bluƯ saturation?
If a relocation project proceeds, staƯ could evaluate plantings as part of design. However, irrigation would not be recommended. The geologist confirmed that vegetation type has minimal influence on bluƯ retreat, which is largely driven by underlying bedrock failure and seasonal rainfall.

5. What would the cost be for a more informal, community-based approach? The pathway design would need to be prepared by a licensed professional to ensure appropriate grading and drainage. Field-fitting a pathway without engineering oversight would not be appropriate given the bluƯ’s sensitivity. Construction feasibility for a community eƯort would depend on grading needs identified in the engineered plans—most of the work would need to be done by hand. Any grading, drainage, or use of machinery beyond hand tools should be handled by licensed professionals.

6. What will the risk/liability be for the City if we allow a community group to reclaim encroachments and relocate this pathway?
This question is primarily for Sam. Private property owners are responsible for removing any encroachments. For volunteer eƯorts, the City can have participants sign waivers (as was done when the fence was relocated a few years ago). Construction work must follow an approved engineered plan; significant grading and drainage must be handled by professionals, though volunteers could assist with limited work such as spreading decomposed granite, light compaction, or installing fencing. 25 Item 5 A.
2 Jessica Kahn, P.E.

Public Works Director
City of Capitola
(831) 475-7300 x 217
[email protected]
26 Item 5 A.
1 Gautho, Julia
From: Heidy <[email protected]>
Sent: Tuesday, October 21, 2025 1:47 PM
To: City Council
Subject: Agenda 9F
Dear Councilmembers,
As you review the full scope of the Code of Conduct, I’d like to share a brief policy suggestion regarding recusals. To clarify, my advocacy concerns only policy and process going forward, without regard to any prior cases or parties involved. It is imperative to craft policy from a position of neutrality, recognizing that any one of us could someday find ourselves on either side of a complaint.

Currently, when a complaint is filed against a member of the governing body, there is no explicit requirement for that member to recuse themselves from the adjudicatory process. In practice, this leaves the decision to the individual councilmember, creating ambiguity and exposing all parties—the complainant, the councilmember, and the city—to unnecessary risk. The absence of clear direction invites potential conflict-of-interest challenges and perceptually grants the councilmember an advantage over the complainant.

Adding clear recusal language would not only strengthen the process but also protect councilmembers themselves by providing straightforward guidance to those who serve—often as part-time volunteers rather than governance experts.

By way of background, many legislative bodies require recusal in similar circumstances to ensure fairness and avoid conflicts of interest. For example, the California State Assembly’s policy is prescriptive: if a verified complaint is filed against a member of the Assembly Committee on Ethics, “the Speaker shall temporarily replace the member with a Member from the same political party, who shall serve until the complaint is dismissed or the Assembly takes final action on the complaint, whichever occurs first.”
While a substitution process would be too cumbersome at the city level, a practical solution would be for the council to proceed as a four-member body in such cases.

During the proceedings, a councilmember who is the subject of a complaint should retain the full right to participate as a witness and to respond to the complaint during the hearing phase. However, participating as an adjudicator in their own case is, in my view, improper and inconsistent with the principles of fairness and good governance.

Best regards,
Heidy Kellison
Capitola Resident
27 Item 5 B.
2 28
Item 5 B.

Memo
To: City Council
From: Katie Herlihy, Community and Economic Development Director Date: October 21, 2025
Subject: Item 9G – Introduce an Ordinance Amending Chapter 15.04 of the Capitola Municipal Code Pertaining to Building and Fire Code.

After publishing the staff report for the updates to the Building Code, the contracted building official identified one additional necessary amendment to Chapter 15.04. Within the latest updates to the California Building Code, the California Wildland Urban Interface Code was removed from the residential code and is now a standalone section. This memo includes an attachment to replace Attachment 2, the draft ordinance, effectively separating the California Wildland Urban Interface Code from the residential code and placing it in a separate section.

Community & Economic
Development Department
29 Item 5 C.

DRAFT ORDINANCE NO. ______

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAPITOLA AMENDING CHAPTER 15.04 AND 15.18 OF THE CAPITOLA MUNICIPAL CODE

PERTAINING TO ADOPTION OF CALIFORNIA BUILDING CODES
THE CITY COUNCIL OF THE CITY OF CAPITOLA HEREBY ORDAINS AS FOLLOWS:

SECTION 1. Section 15.04.010 of the Capitola Municipal Code is amended to read as follows:

15.04.010 Adoption of California Building Codes. The City of Capitola adopts the following Codes or designated portions thereof:

A. The California Building Code and appendices, 2025 edition.

B. The California Electrical Code, 2025 edition.

C. The California Mechanical Code, 2025 edition.

D. The California Plumbing Code, 2025 edition.

E. The California Fire Code, 2025 edition as amended by the Central Fire Protection District.

F. The California Residential Code, 2025 edition.

G. The California Referenced Standards Code. 2025 edition.

H. The California Energy Code, 2025 edition.

I. The California Green Building Standards Code, 2025 edition.

J. The California Administrative Code, 2025 edition.

K. The California Historical Building Code, 2025 edition.

L. The California Existing Building Code, 2025 edition.

M. The California Wildland-Urban Interface Code, 2025 edition.

The International Building Codes may be used as an alternative to the California Codes, when submitted, reviewed, and approved by the City’s Building Official.

SECTION 2. Section 15.04.050 Modifications to the California Building Code.

The following modifications apply to the California Building Code:

A. Section 105.5 is deleted and replaced with the following:

Every permit issued shall become invalid unless the work authorized by such 30 Item 5 C.

Building and Fire Code Ordinance Adoption
2025
permit is commenced within 180 days after its issuance or after commencement of work if more than 180 days pass between inspections. The building official is authorized to grant, in writing, one or more extensions of time, for periods of not more than 180 days each. The extension shall be requested in writing and justifiable cause demonstrated.

Section 105.5.1 is Deleted
SECTION 3 Section 15.04.060 Modification to the California Residential Code.

The following modification applies to the California Residential Code A. Section R105.1 is Deleted
SECTION 4 Section 15.04.070 Modifications to the California Mechanical Code.

The following modifications apply to the California Mechanical Code A. Section 104.4.3 is deleted and replaced with the following:

Every permit issued shall become invalid unless the work authorized by such permit is commenced within 180 days after its issuance or after commencement of work if more than 180 days pass between inspections. The building official is authorized to grant, in writing, one or more extensions of time, for periods of not more than 180 days each. The extension shall be requested in writing and justifiable cause demonstrated.

Section 104.4.3.1 is Deleted
SECTION 5 Section 15.04.080 Modifications to the California Plumbing Code.

The following modifications apply to the California Plumbing Code A. Section 104.4.3 is deleted and replaced with the following:

Every permit issued shall become invalid unless the work authorized by such permit is commenced within 180 days after its issuance or after commencement of work if more than 180 days pass between inspections. The building official is authorized to grant, in writing, one or more extensions of time, for periods of not more than 180 days each. The extension shall be requested in writing and justifiable cause demonstrated.

Section 104.4.3.1 is Deleted
SECTION 6 Section 15.04.090 Modification to the California Wildland-Urban Interface Code.

The following modification applies to the California Wildland-Urban Interface Code A. Section 105.8 is deleted and replaced with the following:

Every permit issued shall become invalid unless the work authorized by such permit is commenced within 180 days after its issuance or after commencement of work if more than 180 days pass between inspections. The building official is authorized to grant, in writing, one or more extensions of time, for periods of not more than 180 31 Item 5 C.

Building and Fire Code Ordinance Adoption
2025
days each. The extension shall be requested in writing and justifiable cause demonstrated.

SECTION 7 Section 15.04.100 Modifications to the California Green Building Standards Code.

The following modifications apply to the California Green Building Standards Code A. Add Section 101.12 Creation of Green Building Fund:

Building Permits which are required to comply with the California Green Building Standards Code shall be assessed a fee equal to 0.0025 times the overall valuation of the project. Revenues collected shall be maintained by the Finance Department as a revolving green building fund and shall be used only for program management, training, publications, public educational purposes, incentive programs and materials and supplies necessary to promote sustainable development, water conservation, storm water pollution prevention and climate action planning activities.

SECTION 8 Section 15.18 Green Building Regulations is deleted.

SECTION 9. This Ordinance shall take effect and be in full force thirty (30) days after its final adoption by the City Council.

This Ordinance was introduced on the 23rd day of October, 2025 and was passed and adopted by the City Council of the City of Capitola on the _____ day of _____, _____ , by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:
________________________
Joe Clarke, Mayor
ATTEST:
________________________,
Julia Gautho, City Clerk
32 Item 5 C.
1 Gautho, Julia
From: John <[email protected]>
Sent: Friday, October 17, 2025 3:14 PM
To: City Council; City Clerk; Goldstein, Jamie ([email protected]) Subject: Item 9H
That’s an interesƟng one.

Warmly JM
33 Item 5 D.

Capitola City Council
Agenda Report
Meeting: October 23, 2025
From: City Manager Department
Subject: City Council Meeting Minutes
Recommended Action: Approve minutes from the special meeting on October 9, 2025, and the regular meeting on October 9, 2025.

Background: Attached for City Council review and approval are the draft minutes from the special and regular meetings on October 9th.

Attachments:

1. Special Meeting 10/9/2025

2. Regular Meeting 10/9/2025
Report Prepared By: Julia Gautho, City Clerk
Approved By: Jamie Goldstein, City Manager
34 Item 8 A.

City of Capitola
Special City Council Meeting Minutes
Thursday, October 09, 2025 – 5:15 PM
City Council Chambers
420 Capitola Avenue, Capitola, CA 95010
Mayor: Joe Clarke
Vice Mayor: Margaux Morgan
Council Members: Gerry Jensen, Melinda Orbach, Susan Westman

1. Roll Call – The meeting was called to order at 5:15 PM. In attendance: Council Members Jensen, Orbach, and Vice Mayor Margaux Morgan. Absent: Council Member Westman and Mayor Clarke.

2. Closed Session
Closed Sessions are not open to the public and held only on specific topics allowed by State Law (noticed below). An announcement regarding the items to be discussed in Closed Session will be made in the City Hall Council Chambers prior to the Closed Session. Members of the public may, at this time, address the City Council on closed session items only. There will be a report of any final decisions in City Council Chambers during the Open Session Meeting. i. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Initiation of litigation pursuant to § 54956.9(c): (One potential case)

3. Report on Closed Session – The City Council met and discussed one item on the Closed Session agenda. No reportable action was taken.

4. Adjournment
The meeting adjourned at 6:00 PM. The next regularly scheduled City Council meeting is on October 9, 2025, at 6:00 PM.
____________________________
ATTEST: Joe Clarke, Mayor
____________________________
Julia Gautho, City Clerk
35 Item 8 A.

City of Capitola
City Council Meeting Minutes
Thursday, October 09, 2025 – 6:00 PM
City Council Chambers
420 Capitola Avenue, Capitola, CA 95010
Mayor: Joe Clarke
Vice Mayor: Margaux Morgan
Council Members: Gerry Jensen, Melinda Orbach, Susan Westman 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 Jensen, Orbach, Westman, and Vice Mayor Margaux Morgan.

Absent: Mayor Clarke

2. Additions and Deletions to the Agenda – The City Manager requested to continue Item 7B due to the Mayor’s absence.

3. Additional Materials
A. Item 6C – One email received after publication of the agenda packet.

B. Item 7A – Two emails received after publication of the agenda packet.

C. Item 7B – One email received after publication of the agenda packet.

D. Item 7C – One email received after publication of the agenda packet.

4. Oral Communications by Members of the Public
 Kevin Maguire
 Cheryl

5. Staff / City Council Comments
 Council Member Orbach provided comments about the conclusion of the Code of Conduct complaint filed by Kevin Maguire; provided updates received at a recent METRO meeting; thanked those who participated in “A Week Without Driving;” thanked Congressman Panetta for meeting with her to discuss Capitola transportation projects; and thanked staff for their work.
 Council Member Jensen thanked the Maguires and Council Member Orbach for participating in conflict resolution; and thanked staff and the community for attending the community meeting held at New Brighton Middle School to discuss zoning changes at the Capitola Mall and the 41st Avenue Corridor Project.
 Council Member Westman thanked the Maguires and Council Member Orbach for participating in conflict resolution; and commended staff on the community meeting held October 8th.
 Vice Mayor Morgan provided comments on the Capitola Beach Festival and thanked event organizers and the volunteers who participated.
 Police Chief Ryan reminded the public that October is Pink Patch Month to acknowledge breast cancer awareness; reminded the public that the Monte Foundation Fireworks Extravaganza will be held on October 12th; advised the public that the Police Department will 36 Item 8 A.

City Council Meeting Minutes – October 09, 2025
City of Capitola Page 2
be holding an assembly to discuss e-bike safety at New Brighton Middle School; thanked the Maguires and the Orbachs for participating in conflict resolution.  Public Works Director Kahn advised the public of pavement projects happening Citywide.

6. Consent Items
A. City Council Meeting Minutes
Recommended Action: Approve minutes from the regular meeting on September 25, 2025.

B. Transportation Safety Updates – Local Roadway Safety Plan and Bay Avenue Corridor Recommended Action: Receive an informational report on the City of Capitola’s Local Roadway Safety Plan initiative and the Bay Avenue Corridor Project.

C. Withdrawn Appeal of Coastal Development Permit
Recommended Action: No action required.

Motion to approve the Consent Calendar: Council Member Orbach Council Member Jensen recused himself from Item 6B due to a conflict of interest arising from his financial interest in his personal residence.

Motion amended to approve Items 6A and 6C: Council Member Orbach Second: Council Member Westman
Voting Yea: Council Members Jensen, Orbach, Westman, Vice Mayor Morgan

Absent: Mayor Clarke
Motion to approve Item 6B: Council Member Orbach
Second: Council Member Westman
Voting Yea: Council Members Orbach, Westman, Vice Mayor Morgan Abstain: Council Member Jensen

Absent: Mayor Clarke

7. General Government / Public Hearings
A. Community Grants Award Recommendation
Recommended Action: Approve grant awards for the 2025 – 2027 Community Grants Program Cycle, as recommended by the City Council ad-hoc subcommittee.

Assistant to the City Manager Woodmansee presented the staff report. Council Member Jensen made a statement about his position as an unpaid board member on the Capitola Public Safety and Community Foundation, as his position is unpaid it does not present a conflict of interest.

Public Comment:
 Elizabeth Murphy, O’Neill Sea Odyssey
 Linda Coffman, NAMI Santa Cruz County
Council Member Jensen provided a letter from Jacob’s Heart Children's Cancer Support Services.

Motion to approve the grant awards for the 2025-2027 Community Grants Program Cycle, as recommended by the City Council ad-hoc subcommittee: Council Member Orbach Second: Council Member Westman
Voting Yea: Council Members Jensen, Orbach, Westman, Vice Mayor Morgan

Absent: Mayor Clarke
37 Item 8 A.

City Council Meeting Minutes – October 09, 2025
City of Capitola Page 3
B. Administrative Policy I-42: Code of Conduct
Recommended Action: Approve revisions to Administrative Policy I-42: Council and Board Code of Conduct. (Continued to a future meeting date)
C. Capitola Municipal Code Section 2.04.140
Recommended Action: Receive a report on agenda setting procedures and provide direction to staff.

City Clerk Gautho presented the staff report.

Public Comment: None
The City Council discussed the current process by which Council Members can request agenda items.

Motion to direct staff to amend Capitola Municipal Code Section 2.04.140 to require a second to place an item on the agenda: Council Member Jensen Second: Council Member Orbach
Voting Yea: Council Members Jensen, Orbach, Westman, Vice Mayor Morgan

Absent: Mayor Clarke
D. City Check Registers
Recommended Action: Approve check registers dated June 13, 2025, June 27, 2025, July 4, 2025, July 11, 2025, July 18, 2025, July 25, 2025, August 1, 2025, August 8, 2025, August 15, 2025, August 22, 2025, August 29, 2025, September 5, 2025, and September 12, 2025.

Administrative Services Director Malberg presented the staff report.

Public Comment: None
Motion to approve the check registers: Council Member Orbach Second: Council Member Westman
Voting Yea: Council Members Jensen, Orbach, Westman, Vice Mayor Morgan

Absent: Mayor Clarke

8. Adjournment
The meeting adjourned at 7:00 PM. The next regularly scheduled City Council meeting is on October 23, 2025, at 6:00 PM.
____________________________
ATTEST: Joe Clarke, Mayor
____________________________
Julia Gautho, City Clerk
38 Item 8 A.

Capitola City Council
Agenda Report
Meeting: October 23, 2025
From: City Manager Department
Subject: 2025 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 27, 2025, through December 25, 2025.

Background: The Capitola Village and Wharf Business Improvement Association (BIA) has submitted its annual request to the City Council to offer free three-hour parking in the Village from November 27, 2025, through December 25, 2025, to encourage holiday shopping and dining (Attachment 1). City Council has authorized this program since 2001, with only one exception in 2003.

Discussion: The three-hour parking limit encourages 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.

Fiscal Impact: Staff estimates that in 2024, the suspension of the Village parking meters and pay stations reduced parking meter revenue by approximately $26,000. The Fiscal Year 2025-2026 budget accounts for suspending Village meter and pay station operation for the holiday shopping period.

Attachments:

1. BIA Holiday Parking Request
Report Prepared By: Rosie Wyatt, Deputy City Clerk
Reviewed By: Jim Malberg, Administrative Services Director Approved By: Jamie Goldstein, City Manager
39 Item 8 B.

October 2, 2025
Capitola City Council
City of Capitola
420 Capitola Ave
Capitola, CA 95010
Dear City Council,
The Capitola Village and Wharf BIA requests your consideration of the annual free parking during the upcoming holiday. Traditionally the 3 hour parking is free from Thanksgiving day through Christmas.

We understand that free parking comes at a substantial price.

However, our customers and visitors as well as the residents of Capitola have come to count on this generous policy of the city.

The businesses in Capitola Village appreciate your considering our request.

Sincerely,
Anthony Guajardo
Chair, Capitola Village and Wharf BIA

CAPITOLA VILLAGE & WHARF BUSINESS IMPROVEMENT AREA
P.O. BOX 806, CAPITOLA, CA 95010

40 Item 8 B.

Capitola City Council
Agenda Report
Meeting: October 23, 2025
From: Administrative Services Department
Subject: Donations Report Fiscal Year 2024-25
Recommended Action: Receive the Annual Donations and Contributions Report.

Background: In July 2013, the City implemented Administrative Policy III-15, which authorizes the City Manager to accept and appropriate donations or grants of $5,000 or less to support existing City projects and programs. The attachments to the staff report provide a listing of donations, contributions, and grants during Fiscal Year (FY) 2024-25.

Discussion: Between July 2024 and June 2025, the City received a total of $188,782.50 in donations and contributions. Of the total, $22,083.27 had values of $5,000 or less. These contributions included support for the Museum, scholarships for the Junior Guards Program, event sponsorship for the Food Truck Friday events, Plein Air, and the summer Twilight Concerts.

In addition, the City received $166,699.23 in donations and contributions with values greater than $5,000. These contributions supported the Capitola Wharf Resiliency Project, after-school program scholarships, the McGregor Pump Track Rehabilitation Project, and the commemorative Begonia Public Art Project. A summary of donations and contributions is included below:

Donor Description Amount
Various Museum donations $8,278.27
Public Safety Foundation Jr. Guard Scholarships $2,505.00 Gayle’s Bakery Plein Air $1,000.00
EF Homes Food Truck Friday Sponsor $800.00
Aspromonte Hotels Food Truck Friday Sponsor $500.00
Capitola by the Sea Inn & Suites Food Truck Friday Sponsor $500.00 Devon Twilight Concerts $2,000.00
Diane Gallagher Pereira Twilight Concerts $500.00
Laverne Collins Twilight Concerts $2,000.00
Merlone Geier Partners Twilight Concerts $2,000.00
Britannia Arms Pub & Restaurant Twilight Concerts $2,000.00 Soquel Unified Elementary School District Afterschool Program Scholarships $36,000.00 Capitola Wharf Enhancement Project –
Wharf to Wharf
Capitola Wharf Project $90,699.23
Rudolph Monte Foundation McGregor Pump Track Rehab $20,000.00 Capitola Beach Festival Begonia Public Art Donation $20,000.00 41 Item 8 C.

During this period, the City also received $2,314,965.12 in state and federal grants (Attachment 2). A summary is included below.

Description Amount
Bulletproof Vest Partnership Grant $2,900.14
ABC Grant $36,207.84
Cal OES Storm Damage Reimbursements $3,740.17
Capitola Wharf Rehabilitation Project $801,311.00
Cliff Drive Resiliency Project $543,787.28
Rispin-Peery Park Project $142,000.00
CDBG-Coronavirus Relief & Public Assistance $286,072.44 Permanent Local Housing Allocation $376,640.00
REAP 2.0 Grant $62,306.25
Electric Vehicle Grant $60,000.00
Fiscal Impact: The City of Capitola benefits greatly from the generosity of individual citizens, local businesses, non-profit agencies, and others. Between July 2024 and June 2025, the City received $2,503,747.62 in donations, contributions, and grant funding.

Attachments:

1. Donations

2. Grants
Report Prepared By: Luis Ruiz, Accountant II
Reviewed By: Jim Malberg, Administrative Services Director; Julia Gautho, City Clerk Approved By: Jamie Goldstein, City Manager
42 Item 8 C.

Date From Description Amount
Various Various Museum donations 8,278.27 $
$ 8,278.27
12/19/2024 Public Safety Foundation Jr Guards Scholarships 2,505.0 $ 0 $ 2,505.00
10/24/2024 Gayle's Bakery Plein Air 1,000.00 $
$ 1,000.00
4/17/2025 EF Homes Food Truck Friday Sponsor 800.00 $
6/26/2025 Aspromonte Hotels Food Truck Friday Sponsor 500.00 $ 6/26/2025 Capitola by the Sea Inn & Suites Food Truck Friday Sponsor 500.00 $ $ 1,800.00
4/10/2025 Devon Twilight Concerts 2,000.00 $
5/29/2025 Diane Gallagher Pereira Twilight Concerts 500.00 $ 6/12/2025 Laverne Collins Twilight Concerts 2,000.00 $
6/12/2025 MGP XI REIT Twilight Concerts 2,000.00 $
6/26/2025 Britannia Arms Pub & Restaurant Twilight Concerts 2,000. $ 00 $ 8,500.00
TOTAL $5,000 AND UNDER 22,083.27 $
5/8/2025 Soquel Unified Elementary School District Afterschool Program Scholarships 36,000.00 $ 10/31/2024 CWEP Capitola Wharf Contribution 90,699.23 $ 1/2/2025 Rudolph Monte Foundations McGregor Pump Track Rehab 20,00 $ 0.00 2/27/2025 Capitola Beach Festival Begonia Public Art Donation 20,0 $ 00.00 TOTAL OVER $5,000 166,699.23 $
GRAND TOTAL 188,782.50 $
City of Capitola
Donations & Contributions
July 2024 - June 2025
DONATIONS & CONTRIBUTIONS $5,000 AND UNDER
DONATIONS & CONTRIBUTIONS OVER $5,000
43 Item 8 C.

Date From Description Amount
Various State of CA Bulletproof Vest Partnership Grant 2,900.14 $ Various State of CA ABC grant - OT, travel, & meal
reimbursement $ 36,207.84
2/6/2025 State of CA Cal OES Storm Damage Reimbursements 3,740.17 $ Various US Department of Housing and Urban
Development Capitola Wharf Rehabilitation Grant 206,311.00 $ 8/15/2024 State of CA Coastal Conservancy Wharf Grant $ 595,000.00 5/23/2024 State of CA Cliff Drive Resiliency Project Grant $ 543,787.28 10/10/2024 State of CA Rispin-Peery Park Project Grant $ 142,000.00 Various CA Housing & Community Development CDBG grant - Coronavirus relief & public assistance $ 286,072.44
Various State of CA
Permanent Local Housing Allocation
Reimbursement $ 376,640.00
Various Association of Monterey Bay REAP 2.0 Grant $ 62,306.25 6/26/2025 Monterey Bay Air Resource District Electric Vehicle Grant $ 60,000.00 GRANT TOTAL 2,314,965.12 $
City of Capitola Grants
July 2024 - June 2025
44 Item 8 C.

Capitola City Council
Agenda Report
Meeting: October 23, 2025
From: Community and Economic Development Department
Subject: Contract for Arbitration Services
Recommended Action: Adopt a resolution authorizing the City Manager to execute a professional services agreement with Signature Resolution to provide arbitration services for mobile home rent increase petitions pursuant to Capitola Municipal Code Chapter 2.18.

Background: Pursuant to Chapter 2.18 of the Capitola Municipal Code [Mobile Home Park Rent Stabilization], on March 17, 2025, the Park Owner of Cabrillo Mobile Home Estates (930 Rosedale Avenue), issued a notice of rent increase to its residents. In accordance with CMC Section 2.18.090, the City subsequently received petitions from affected homeowners requesting review of the proposed rent increase.

The ordinance requires the City assign a qualified arbitrator to conduct a hearing and issue a decision on the matter. Accordingly, on May 8, 2025, pursuant to an RFP, the City Council approved an agreement with California Hearing Officers, LLP to serve as the arbitrator for the rent dispute. Subsequently, the Park Owner objected to the City’s appointment of the arbitrator and requested an alternative procedure by which both the Park Owner and Affected Homeowners could mutually agree to an arbitrator.

While the power to appoint the arbitrator rests with the City, the City saw merit in a process where both parties could provide input on the arbitrator selection. The City researched alternative arbitrators who had experience in handling rent stabilization proceedings, and both the Park Owner and the Affected Homeowners selected Hon. Amy Hogue of Signature Resolution. City staff is now requesting approval of a contract with Signature Resolution to engage the mutually selected arbitrator and schedule the rent review proceedings.

Discussion: Hon. Amy Hogue with Signature Resolution, LLC has the experience to perform arbitration services in accordance with Chapter 2.18 of the CMC. Hon. Amy Hogue is a former complex court judge in Los Angeles County Superior Court, and is knowledgeable regarding the City’s Ordinance, and the role of the Arbitrator.

Under the agreement, the Arbitrator will complete the following scope of work:
 Conduct hearings and issue binding decisions on rent dispute petitions pursuant to CMC §2.18.090;
 Evaluate proposed rent increases for compliance with standards outlined in CMC §2.18.110, including just and reasonable return, net operating income, and mitigating factors;  Provide written statements of decision within 30 days of hearings; and  Coordinate with City staff on hearing schedules, document review, and compliance with established procedures.

California Hearing Officers LLP was cooperative with the City in terminating the May 8, 2025 contract, and no fees were expended under that prior contract.

Fiscal Impact: Costs associated with arbitration services will be funded by the Housing Trust Fund ($50,000) and General Fund ($10,000). Based on staff research of similar cases, the cost for arbitration for similar cases is on average $120,000. The contract will be billed in accordance with the fee schedule attached to the contract. The contract agreement is proposed for up to $60,000. 45 Item 8 D.

Attachments:

1. Resolution

2. Contract
Report Prepared By: Katie Herlihy, Community and Economic Development Director Reviewed By: Julia Gautho, City Clerk; Jim Malberg, Administrative Services Director; Samantha Zutler, City Attorney
Approved By: Jamie Goldstein, City Manager
46 Item 8 D.
4925-0444-5043v1
RESOLUTION NO. _______

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAPITOLA AUTHORIZING THE

CITY MANAGER TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT FOR

ARBITRATION SERVICES RELATED TO MOBILE HOME RENT INCREASE PETITIONS AND TO AMEND THE FISCAL YEAR 2025–2026 BUDGET ACCORDINGLY WHEREAS, the Capitola City Council adopted Ordinance No. 1060 in 2023, establishing Chapter 2.18 of the Capitola Municipal Code to regulate mobile home rent stabilization and provide a dispute resolution process for residents; and WHEREAS, Capitola Municipal Code Section 2.18.090 requires that upon the filing of a petition challenging a rent increase, the City Administrator assign an impartial arbitrator to conduct a hearing and issue a binding decision; and
WHEREAS, on March 17, 2025, Cabrillo Mobile Home Estates issued a notice of rent increase to residents at 930 Rosedale Avenue, and affected homeowners have submitted valid petitions to the City pursuant to Capitola Municipal Code Section 2.18.090(B); and WHEREAS, the Park Owner of Cabrillo Mobile Home Estates and the Affected Homeowners mutually agreed to the appointment of Hon. Amy Hogue with Signature Resolution, LLC to serve as the Arbitrator in the rent dispute; and
WHEREAS, funding for arbitration services will be provided through the City’s General Fund and Housing Trust Fund;
WHEREAS, the City Council desires to authorize the City Manager to enter into a professional services agreement with Signature Resolution, LLC and to amend the FY 2025–2026 budget to allocate funds for the associated costs of arbitration services from the General Fund and Housing Trust Fund;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Capitola as follows:

1. The City Council hereby authorizes the City Manager to execute a Professional Services Agreement with Signature Resolution, LLC, to provide arbitration services related to mobile home rent increase petitions pursuant to Chapter 2.18 of the Capitola Municipal Code.

2. The City Council authorizes a budget amendment to the FY 2025–2026 budget in an amount not to exceed $60,000 to fund the arbitration services. The funds shall be appropriated from the General Fund ($10,000) and the Housing Trust Fund ($50,000).

3. The City Manager is further authorized to take all necessary actions to implement the agreement and ensure timely arbitration of pending petitions.

4. This resolution shall become effective immediately upon adoption. 47 Item 8 D.
4925-0444-5043v1
This Resolution shall take effect immediately upon its adoption.

I HEREBY CERTIFY that the above and foregoing resolution was passed and adopted by the City Council of the City of Capitola at its regular meeting held on the 23rd day of October, 2025, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_____________________
Joe Clarke, Mayor
ATTEST:
_______________________
Julia Gautho, City Clerk
48 Item 8 D.

CITY OF CAPITOLA

PROFESSIONAL SERVICES AGREEMENT
Signature Resolution, LLC

THIS AGREEMENT is entered into on [DATE], by and between the City of Capitola, a Municipal Corporation, hereinafter called "City" and Signature Resolution, LLC hereinafter called "Arbitrator".

WHEREAS, City desires certain arbitration services pursuant to Chapter 2.18 of the Capitola Municipal Code, and Arbitrator Hon. Amy Hogue with Signature Resolution, LLC 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 arbitration services by Hon. Amy Hogue (see Exhibit A, attached hereto), pursuant to Chapter 2.18 of the City of Capitola Municipal Code, for the rent dispute between Cabrillo Mobile Home Estates Owner and the Affected Tenants of Cabrillo Mobile Home Estates (collectively, the “Parties”).

SECTION 2
Duties of Arbitrator
Arbitrator is appointed by the City to make a determination as to Cabrillo Mobile Home Estates Owner’s rent increase in accordance with Chapter 2.18 of the City of Capitola Municipal Code. Arbitrator shall review evidence submitted by the Parties, review the requirements of the City’s Municipal Code, and issue a thorough written opinion to substantiate the Arbitrator’s decision regarding the rent increase dispute. As part of these responsibilities, the Arbitrator is required to:
x Conduct hearings and issue binding decisions on rent dispute petitions pursuant to CMC §2.18.090;
x Evaluate proposed rent increases for compliance with standards outlined in CMC §2.18.110, including just and reasonable return, net operating income, and mitigating factors; x Provide written statements of decision within 30 days of closing the hearing; and x Coordinate with City staff on hearing schedules, document review, and compliance with established procedures.

All work performed by Arbitrator, 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, Arbitrator’s profession.

Arbitrator shall not undertake any work beyond the scope of work set forth in Section 1 unless such additional work is approved in advance and in writing by City. 49 Item 8 D.

Professional Services Agreement
Signature Resolution, LLC

Page 2 ends

SECTION 3
Duties of the City
City shall make available to Arbitrator 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.

SECTION 4
Fees and Payment
City will pay the Arbitrator in accordance with the fee schedule attached hereto as Exhibit B and incorporated herein, provided that the total amount is not to exceed $60,000 for the Services described in Section 1 above.

SECTION 5
Changes in Work
City may order major changes in scope or character of the work, either decreasing or increasing the scope of Arbitrator’s services. Any change requiring compensation in excess of the sum specified in Section 4 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:
z The date Arbitrator completes the services required by this Agreement, as agreed by the City; or z The date either party terminates the Agreement as provided below.

Work shall begin on or about October 2025.

In the event that major changes are ordered or Arbitrator is delayed in performance of its services by circumstances beyond its control, the City will grant Arbitrator 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.

Arbitrator 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 Arbitrator. Arbitrator 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 Arbitrator for all services performed and accepted under this Agreement up to the date of termination. 50 Item 8 D.

Professional Services Agreement
Signature Resolution, LLC

Page 3 ends

SECTION 8
Insurance
Arbitrator shall procure and maintain for the duration of the contract and for 2 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.
51 Item 8 D.

Professional Services Agreement
Signature Resolution, LLC

Page 4 ends

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 Arbitrator or automobiles owned, leased, hired or borrowed by the Arbitrator.

2. For any claims related to this project, the Arbitrator'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 Arbitrator'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
Arbitrator hereby agrees to waive rights of subrogation which any insurer of Arbitrator may acquire from Arbitrator by virtue of the payment of any loss. Arbitrator 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 Arbitrator, its employees, agents and subcontractors.

Verification of Coverage
Arbitrator 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, Arbitrator 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.

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 52 Item 8 D.

Professional Services Agreement
Signature Resolution, LLC

Page 5 ends

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 Arbitrator 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 Arbitrator. Arbitrator 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 what is provided by this Agreement. 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 Section 4. 53 Item 8 D.

Professional Services Agreement
Signature Resolution, LLC

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SECTION 14
Miscellaneous Provisions

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

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

3. Licensure. Arbitrator 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 Arbitrator 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 Arbitrator 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 Arbitrator's other work product shall not be used by the Arbitrator on other projects, except by agreement in writing and with appropriate compensation to the City.

6. Arbitrator's Records. Arbitrator 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 Arbitrator'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 Arbitrator's services.

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

8. Conflicts of Interest. Arbitrator 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 Arbitrator'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:
54 Item 8 D.

Professional Services Agreement
Signature Resolution, LLC

Page 7 ends

CITY ARBITRATOR

CITY OF CAPITOLA
420 Capitola Avenue
Capitola, CA 95010
831-475-7300

SIGNATURE RESOLUTION, LLC
HON. AMY HOGUE
By:__________________________________
Benjamin Goldstein, City Manager
By:__________________________________
Hon. Amy Hogue
Dated:________________________________ Dated:_______________________________ Approved as to Form:
_______________________________
Samantha Zutler, City Attorney
55 Item 8 D.

Hon. Amy D. Hogue (Ret.)
"The most fun I had as a judge was collaborating with the attorneys to solve problems and to me mediators are the ultimate problem solvers."

BIOGRAPHY
Hon. Amy D. Hogue (Ret.) is a former Complex court jurist (L.A. Superior Court) known for her intellect, practical approach and high resolution rate. Since joining Signature, she has mediated hundreds of cases involving commercial disputes, personal injuries, mass torts, insurance coverage, trademarks, copyrights, sexual assault/abuse, employment and class actions.

She is also honored to be an arbitrator on the AAA and ICDR commercial, international and employment arbitration panels, where her practice is to circulate written tentative rulings and informally resolve discovery and scheduling issues as soon as they arise.

JUDICIAL CAREER
In her 20 years on the bench, Judge Hogue was among the few judges who presided in a Complex litigation court (seven years) and the even fewer judges who sat in the Mosk Courthouse writs and receivers court (which included daily TROs and preliminary injunction motions for 40+ courtrooms) (two years). She also served as Assistant Presiding Judge of Civil (two years) after presiding in a general jurisdiction civil for seven years. In 2016, she sat on assignment in Division Three of the Second Appellate District and authored published opinions in tort and defamation cases.

In the Complex court, Judge Hogue handled disputes involving multi-tier insurance coverage, construction MEDIATOR | ARBITRATOR | SPECIAL MASTER
| JUDICIAL & DISCOVERY REFEREE
Exhibit A
56 Item 8 D.
defects, real estate, securities, professional negligence, environmental contamination, coordinated mass torts (numerous bellwether trials), wage and hour class actions, and consumer class actions involving a broad range of products, from kombucha to life insurance.

On the bench, Judge Hogue worked to achieved efficiency by closely managing all discovery and motion practice (the same way she now approaches arbitrations, references, and special master assignments).

She also authored and spearheaded the L.A. Superior Court’s adoption of three model wage and hour settlement agreements designed to streamline the court’s class action/PAGA settlement approval process. Attorneys throughout California continue to use the model agreements on a regular basis.

Judge Hogue was honored to be a member of the Judicial Council’s Advisory Committee on Civil Jury Instructions (CACI) and to participate in the authorship of numerous instructions. She also originated and taught more than 50 MCLE courses to judges and attorneys on diverse topics including product liability, torts, Anti-SLAPP, class actions, employment, PAGA, judicial leadership, evidence, media law, expert witnesses, misclassification of employees, discovery, motions, and jury selection.

PRIVATE PRACTICE
Before her elevation to the bench, Judge Hogue spent 23 years at the same law firm: 12 years as an equity partner at what is now known as Pillsbury Winthrop Shaw Pittman LLP and 11 years as a partner or associate at its predecessor, Lillick & McHose.

Judge Hogue was lead counsel in nine federal and state court jury trials. After defending Samsung in a high-profile right of publicity jury trial, she became “famous in the California Bar for a delicate crossexamination of the Wheel of Fortune letter-turner and celebrity Vanna White,” according to The Atlantic Monthly. (TABLOID LAW, THE ATLANTIC). She also represented plaintiffs and defendants in numerous bench trials and arbitrations and argued dozens of cases in the California Courts of Appeals, the California Supreme Court, and the Ninth Circuit.

Judge Hogue was co-Chair of Pillsbury L.A.’s intellectual property group and handled a wide variety of business cases involving contracts, frauds, real estate, securities, partnerships, and corporate governance disputes. Her practice also included defending employment cases and prosecuting wrongful-termination actions on behalf of high-level executives. Her client following included banks, real estate developers, manufacturers, automobile manufacturers, insurers, advertisers, and media companies.

As an intellectual property specialist, she prosecuted and defended trademark actions and defended copyright cases involving motion pictures (Raiders of the Lost Ark, Reds, Jaws) television shows (All in the Family, The Bob Newhart Show), and characters (James Bond, Teenage Mutant Ninja Turtles). She also defended defamation, right of publicity and privacy cases on behalf of the three major networks, local broadcasters, advertisers, and various publishers, including The National Enquirer.

Judge Hogue took on work as a mediator during her last four years of private practice, settling dozens of cases involving copyrights, employment, real estate, personal injury and commercial disputes. 57 Item 8 D.

AREAS OF EXTENSIVE KNOWLEDGE AND EXPERTISE
Judge Hogue has mediated, litigated and presided over numerous cases in each of the following areas.

Commercial, Corporate Governance, and Partnership Disputes Securities
Insurance Coverage and Bad Faith (including health insurance, life insurance and complex multi-tier coverage disputes)
Personal injury, Sexual Assault/Abuse, Product Liability and Mass Tort Professional Malpractice (lawyers, doctors, CPAs)
Intellectual Property
Employment
Class Actions (consumer and employment)
Defamation and Privacy

PRACTICE AREAS
Anti-SLAPP
Business & Commercial Contracts
Catastrophic Injury
Class Action
Complex Case Management & Discovery Mediations
Complex Litigation
Construction
Corporations & Partnerships
Defamation
Employment
Entertainment
Environmental & CEQA
Government & Public Sector Disputes
Healthcare
Insurance
Intellectual Property
Invasion of Privacy
Landlord/Tenant
Mass Tort
PAGA
Product Liability
Professional Malpractice
Real Estate
Securities
Sexual Assault Claims
Special Master Duties
Title IX
58 Item 8 D.

Wage & Hour

EDUCATION
J.D. Duke University School of Law (with Honors, Duke Law Review; Womble Scholar) Harvard University (Fellow, Kennedy School of Government) M. Phil., Cambridge University, England
Fulbright Scholar to the United Kingdom
A.B. Duke University (Phi Beta Kappa, summa cum laude, with Distinction in English)

EXPERIENCE
Signature Resolution Neutral (2022-Present)
AAA Arbitrator (2022-Present)
Judge, Los Angeles Superior Court (2002-2022)
Private Mediator (1998-2002) (60+ mediations)
Co-Chair, Intellectual Property Group (Pillsbury L.A.) (1996-2002) Equity Partner, Pillsbury Winthrop/Lillick & McHose (1986-2002) Appellate Practitioner, California Supreme Court, California Courts of Appeals, Ninth Circuit Court (1979-2002)

PROFESSIONAL ACHIEVEMENTS AND MEMBERSHIPS
Author, model wage and hour settlement agreements (class action settlement, class action/PAGA settlement, and PAGA settlement) for Los Angeles Superior Court’s website (2022) Co-Chair, L.A. Superior Court’s Ad Hoc Wage and Hour Committee (2022) Member, Judicial Advisory Council for the Association of Business Trial Lawyers (ABTL) (2018-2022) Trial Judge Representative, Judicial Council Advisory Committee on Civil Jury Instructions (CACI) (2018-2022)
Member, Los Angeles County Superior Court’s Judicial Education Civil Subcommittee (2014-2022) Chair, Los Angeles Superior Court’s Media Committee (2007-2022) Editorial Board, Duke Law Journal (1978-1979)
Recipient, Fulbright Scholarship to the United Kingdom (1975-1976) Judge Hogue speaks conversational Spanish
59 Item 8 D.

Hon. Amy D. Hogue (Ret.)
Rate and Fee Schedule
SignatureResolution.com




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Exhibit B
60 Item 8 D.

Capitola City Council
Agenda Report
Meeting: October 23, 2025
From: Public Works Department
Subject: Grand Avenue Pathway
Recommended Action: Receive a report on the Grand Avenue Pathway and provide direction to staff as needed.

Background: The Grand Avenue Pathway has long been a valued public access route and part of the California Coastal Trail. Ongoing bluff retreat has compromised the safety and continuity of the path for decades, requiring closure of multiple segments and repeated repairs.

History
 1980s: Portions of Grand Avenue closed to vehicles due to bluff instability; pathway retained for pedestrians.
 1990s–2000s: Hazards Abatement District studied stabilization alternatives; the proposed seawall was denied by state and local agencies.
 2005: City Council voted to maintain an 8-foot walkway within the public right-of-way and to relocate the path as needed in response to erosion.
 2017: Additional bluff failures led to closure of the Oakland–Hollister segment and formation of a community ad hoc “Depot Hill Bluff Group.”
 2023–2025: Repeated winter storms accelerated bluff retreat, damaging the relocated pathway and storm drain systems.

In February 2025, severe storms caused further bluff failure between Saxon and Oakland Avenues, resulting in partial collapse of the relocated path and damage to drainage infrastructure. Emergency work was completed to restore drainage, but the path remains compromised. On April 10, 2025, City Council considered the status of the pathway, received extensive public comment, and directed staff to work with a community steering committee and return in six months with updated options and cost estimates.

To support Council’s review, Pacific Crest Engineering was retained to conduct a hazard and risk assessment of the bluff and pathway between Central and Oakland Avenues. Their scope includes bluff surveying, historic photo analysis, geological mapping, and projections of bluff retreat timelines. In early October 2025, Public Works also completed significant drainage repairs to the outfall nearest Saxon Avenue to improve stormwater function and reduce localized erosion.

Discussion:

Summary of Findings
Pacific Crest Engineering’s October 2025 report (Attachment 1) confirms that the bluff continues to retreat episodically due to undercutting of the Purisima Formation bedrock by wave action and erosion of the overlying Marine Terrace Deposits. Failures typically occur as slabs of bedrock topple when wave erosion intersects vertical fractures, taking the upper soils with them.

The firm’s review of 1956 stereophotographs compared with current mapping indicates a long-term bluff retreat rate between 0.33 and 0.66 feet per year, equating to approximately 3–7 feet of retreat over 10 years. A second, more conservative projection based on the angle of repose of the terrace deposits (~38°) suggests potential retreat of 12–22 feet within 1–6 years depending on rainfall, storms, and seismic activity. The angle-of-repose line does not represent the expected full bluff-top position within that period, but rather reflects areas where portions of the bluff are most likely to reach that limit during wet or seismic conditions. The two projections bracket a likely range for future bluff position, with actual retreat expected to fall between them.
61 Item 9 A.

Pacific Crest’s modeling suggests a relocated pathway, set as far inland as feasible, reduced to four feet in width, and aligned along existing property lines, could remain functional for approximately ten years under typical conditions. The eastern corner near Oakland Avenue could be threatened in less than a decade even under this most conservative alignment.

Erosion control measures, such as vegetation or minor surface treatments, may slow erosion of the terrace soils but will not prevent continued bluff retreat, which is driven from the bottom up by wave and bedrock processes. Larger-scale armoring, such as seawalls, retaining walls, or groins, could theoretically stabilize the bluff, but would likely cost tens of millions of dollars and require complex multiyear permitting and design.

Pacific Crest recommends, if the path is going to be retained, to relocate the path as far inland as possible, designing a proper grading and drainage plan, and avoiding concentration or discharge of stormwater near the bluff edge. Further, the work needs to be done pursuant to an approved engineered plan to minimalize long term City liability. These steps could extend the life of the relocated pathway by several years but will not eliminate long-term erosion risks.

The community steering committee has continued to meet since spring 2025 and will present its findings at this meeting.

Next Steps and Implementation Considerations
If Council directs staff to pursue relocation of the Grand Avenue Pathway, the next step would be to prepare an engineered grading and drainage plan based on detailed topographic mapping. The plan would be designed to reduce ponding near the bluff edge and prevent concentrated discharge that could accelerate erosion. Environmental review and a Coastal Development Permit would be required for blufftop construction. That permit could be issued by the Planning Commission. Erosion-control improvements to the bluff face would require Coastal Commission review.

Following completion of design and permitting, staff would coordinate with adjacent property owners to remove existing encroachments within the public right-of-way and to secure any temporary access needed for construction. Once permits are in place, the path could be reconstructed along the most landward feasible alignment, providing an expected usable life of approximately a decade under current retreat conditions.

The combined process of survey, design, environmental review, and permitting is expected to take roughly 6 to 12 months, depending on whether Coastal Commission review is required. Staff estimates this process would cost approximately $30-50,000, excluding staff time.

Construction costs will depend on final alignment and material selection. Based on comparable public projects, the combined cost of design, permitting, and construction is expected to range from $400,000 to $700,000, including fencing, drainage improvements, and minor stabilization work. Long-term maintenance and monitoring may also be necessary. There are potential significant cost saving opportunities depending on the scope and scale of needed grading and drainage work.

Fiscal Impact: The Pacific Crest Engineering contract totals $18,090. The October 2025 drainage repair at the Saxon outfall cost $39,000. No additional fiscal actions are requested at this time.

Attachments:

1. Pacific Crest Engineering Inc. – Updated Limited Geological Investigation: Grand Avenue Footpath Between Central and Oakland Avenues (October 14, 2025) Report Prepared By: Jessica Kahn, Public Works Director Reviewed By: Julia Gautho, City Clerk; Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
62 Item 9 A.

GEOTECHNICAL | ENVIRONMENTAL | CHEMICAL | MATERIAL TESTING | SPECIAL INSPECTIONS 444 AIRPORT BLVD., SUITE 106 | WATSONVILLE, CA 95076 | PHONE 831-722-9446 | WWW.4PACIFIC-CREST.COM 14 October 2025 Project No. 2381.2
City of Capitola, Public Works
Attention: Jessica Kahn, Public Works Director
420 Capitola Ave
Capitola, California 95010
Phone: (831) 475-7300
[email protected]
Re: Updated limited geological investigation of coastal bluff failure Grand Avenue footpath between Oakland and Central Avenues Capitola, California 95010

REFERENCES
“Re: Limited geological investigation of coastal bluff failure - Grand Avenue footpath near intersection with Oakland Avenue and Saxon Avenue - Capitola, California 95010”, unpublished consultant letter by Pacific Crest Engineering, dated 9 June 2023 “Re: Limited geological investigation of coastal bluff failure - Grand Avenue near intersection with Oakland Avenue and Hollister Avenue - Capitola, California 95010”, unpublished consultant letter by Zinn Geology, dated 15 May 2017
Dear Jessica:

This letter presents the results of our updated limited geological investigation of the ongoing bluff failures that have undermined portions of the footpath along Grand Avenue between its intersection with Oakland Avenue and Central Avenues (see Plate 1). Our work and this letter build upon the work completed previously in this area by Zinn Geology (2017) and Pacific Crest Engineering (2023). The reader should refer to those letters for a detailed discussion about the ongoing geological processes driving the configuration of the coastal bluff and its retreat.

Over the long term, the bluff below the footpath has been episodically retreating as the soil and bedrock exposed on the bluff face erodes and fails in the form of shallow landslides, debris flows and rock falls, mostly in response to intense storms, wave erosion and earthquakes. The most recent shallow landslides that have caused the top of the bluff to retreat and undermine the footpath this winter appear to have been driven by a combination of a large slab toppling failures of the Purisima Formation bedrock face of the bluff, saturation of the marine terrace deposits soil that caps the underlying Purisima Formation bedrock, as well as erosion of the Marine Terrace Deposits where a culvert flows out of the face of the bluff.
63 Item 9 A.

City of Capitola –Bluff Retreat Along Grand Avenue footpath between Central and Oakland Aves. Project No. 2381.2 14 October 2025

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The overall long term failure process for the coastal bluff at this location is a two-part process. The Purisima Formation bedrock exposed in the lower bluff is eroded and notched at the base by waves until the notch intersects a nearly vertical bluff-parallel joint set, at which point a slab of bedrock slides downward or topples, typically from top to bottom for the exposed slab. The bedrock topple process also takes the overlying cap of marine terrace deposits along with it leaving a very steeply dipping to nearly vertical scar in the bluff face that freshly exposes both the bedrock and marine terrace deposits. At that point, the wave scour process begins anew at the base of the bluff, eventually carving another notch into the bedrock. The marine terrace deposits concurrently begin to erode and slide in a piecemeal fashion as they seek the angle of repose of about 38 degrees for the sand and gravels that compose that majority of the formation. This process continues unabated until the bedrock topples again in the future, resetting the entire retreat process geometry and clock.

For this current work we have mapped the position of the top of the bluff using a combined data set of our own drone flight and a surveyed base map prepared and provided by Bowman and Williams. The base map also shows the location of the current fence line and property lines.

The bluff is in various states of failure between Central and Oakland Avenues. Portions of the bluff have recently failed from top to bottom in response to intense storms of the past winters coinciding with El Nino Climatic events. In some locations, the bedrock exposed in the bluff is dilated and appears to be primed for toppling. Deep notches within the bedrock at the base of the bluff and sea caves have been observed during our field reconnaissance in this area in past years.

We also reviewed a geological report for the Depot Hill Geological Hazard Abatement District, prepared on 12 April 2000 by Rogers Johnson and Associates. The report documents a past calculated long term bluff retreat rate of about 1.0 feet per year at that time. The authors also cautioned the reader that the bluff had been severely undercut at that point, implying that a large failure of the bluff was imminent. This process described by them isn’t a one time event – as noted above this is an ongoing cyclical process that is constantly driving the face of the bluff landward.

As noted at the beginning of this letter, the fate of the bluff and the retreat is always tied to what is happening at the base of the bluff with respect to notching and formation of sea caves. We noted two distinct conditions with respect to that observation for the area studied:

1. Various portions of the bluff failures between Central and Oakland Avenues that have occurred in the last several winters appear to have been triggered by toppling of undercut bedrock.

2. Some of landslides that have occurred in the last several winters between Central and Oakland Avenues appear to have been within the marine terrace deposits only. 64 Item 9 A.

City of Capitola –Bluff Retreat Along Grand Avenue footpath between Central and Oakland Aves. Project No. 2381.2 14 October 2025

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3. Although no landsliding occurred this past winter in some locations between Central and Oakland Avenues (see heavily vegetated areas on bluff face on Plate 1), the bedrock is primed to topple at those locations due to being notched at the base.

Most of the marine terrace deposits in this area are over steepened and will likely lay back to an average angle of about 38 degrees. This may come about in one to three rainy seasons. A conservative analysis would assume that we will have back-to-back wet seasons for the next several years, which may lay back the marine terrace deposits to the angle of repose. A more liberal analysis would assume that we will enter a drought period of three to five years, followed by wet year. Using those ranges implies that the top of the bluff may retreat significantly within one to six years.

A review of the most recent El Nino status by NOAA (which can be accessed here:
https://www.cpc.ncep.noaa.gov/products/analysis_monitoring/lanina/enso_evolution-statusfcsts-web.pdf ) stipulates that “La Niña conditions are present and favored to persist through December 2025 -February 2026, with a transition to ENSO-neutral likely in January-March 2026 (55% chance).*” Although La Nina climatic conditions typically results in lower than average precipitation and relatively smaller storm waves, there is always a chance that large coastal storm waves might impact central California even during a La Nina climatic cycle.

We have used two methods of projecting the future top of bluff retreat for this study. The first method is a simple long range bluff retreat method generated by measuring the difference in time and position of the bluff between the set of stereopair aerial photographs and the current bluff position. The only set of high resolution historical stereopair aerial photos we could procure on short notice were the 1956 set. We measured a variable retreat rate of 0.33 feet per year to 0.66 feet per year for the study area between 1956 and 2025.

We used these retreat rates to calculate and plot the projected bluff top position 10 years from now (represented by the purple line on Plate 1).

We also drew transects at select locations in the area of interest and plotted the projected top of bluff assuming the Marine Terrace Deposits will lay back to the angle of repose of about 38 degrees (Represented by the pink line on both the transects and map; see Plate 1) in response to rainfall and earthquakes. Using just this analysis pushes the top of the bluff back between 12 ½ to 22 feet from the current position. In our opinion this line represents the retreat that could happen in one to six years, taking future storms into consideration.

We have not factored in the collapse of the undercut portion of the bluff bedrock or the landsliding and subsequent retreat that would occur in the event of a large magnitude earthquake. If either of those processes are factored in and occur within that time period of one to six years, the amount of bluff retreat may be even greater.

It is of interest to note that the two methods result in a consistent difference in projected bluff top retreat configuration. The aerial photo method plotting the predicted position of the bluff ten years from now is consistently less than the pure physical model method of using the 65 Item 9 A.

City of Capitola –Bluff Retreat Along Grand Avenue footpath between Central and Oakland Aves. Project No. 2381.2 14 October 2025

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angle of repose of the Marine Terrace Deposits with a stipulated life of one to six years. The shorter-lived angle of repose line actually lies consistently inland of the historical aerial photograph derived line. The angle of repose method might be overly conservative and the aerial photo analysis might be overly liberal, which may mean that reality lies between the two extremes. We have created a plate that depicts the area that lies between the two retreat lines and have labeled that area as a “Zone Of Short Term (1-10 Years) Blufftop Retreat” (red stippled polygon on Plate 3).

DISCUSSION OF FUTURE FOOTPATH CONFIGURATION
The objective of this study was to provide the City with an overview of the feasibility of mitigating the risk to the footpath with respect to the hazard of short-term bluff retreat. In discussions with City staff, we learned that the narrowest the path could be is four feet with a two-foot seaward buffer, resulting in an overall width of six feet.

Turning to Plate 1, it should be noted that the existing footpath is impinged upon at several locations by both of the bluff top retreat method lines, with the angle of repose method line even impinging upon a property line at one location.

Given that observation we have plotted a hypothetical six-foot-wide relocated footpath right up against the current seaward property lines along Grand Avenue in the study area (see Plate 1). This reflects the most extreme landward position that the footpath can be located without being pushed onto private property. As can be noted from the map, this hypothetical repositioning will result in a short-term life of mostly one to ten years, depending upon which retreat method line is used.

There is one issue toward the downcoast end of the study area, near the intersection of Oakland and Grand Avenues. At that location the angle of repose method retreat line impinges upon the hypothetical repositioning of the footpath. This implies that even if the footpath is pushed landward and snugged up against the property at that corner, it may be undermined and threatened in less than decade.

The author of this letter has discussed at length in the past, as well as participated in a past City designated committee, about exploring the possibility of armoring the entire bluff face with seawalls, retaining walls, rock bolts or even constructing jetties or groins in an attempt to arrest the ongoing retreat of the entire bluff. Such an armoring or protection effort is likely to cost a great amount of money (in excess of tens of millions of dollars) and will take years to design, permit and construct. Protecting the entire bluff is therefore not feasible for a short-term solution.

There are also different methods of erosion control that might slow down the retreat of the blanket of Marine Terrace Deposits, such as planting woody vegetation or vines that will combat rain drop impact, runoff and provide some evapotranspiration at the saturated contact between the Marine Terrace Deposits soil and the Purisima Formation bedrock. 66 Item 9 A.

City of Capitola –Bluff Retreat Along Grand Avenue footpath between Central and Oakland Aves. Project No. 2381.2 14 October 2025

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This will retard the rate at which the Marine Terrace Deposits lay back to the angle of repose but ultimately will be subsumed by the bottom-up process of bluff retreat as the bedrock bluff face fails.

FINDINGS

1. An effective life of a decade or less can likely be achieved via reconfiguring and repositioning the footpath into a four-foot-wide path with a two-foot buffer and then placing that configuration adjacent to the seaward property line of the residences along Grand Avenue (see Plate 1 for the hypothetical layout).

2. Placing erosion control on the portion of the bluff face where the Marine Terrace Deposits are exposed may attenuate the retreat of just the Marine Terrace Deposits.

Ultimately though, any erosion control placed on the upper bluff face will be subsumed by the bottom-up process of bluff retreat as the bedrock bluff face fails.

3. Freezing the bluff face in its current position could be achieved through armoring the entire bluff with seawalls, retaining walls, or rock bolts. Constructing jetties or groins at the base of the bluff could capture sand and slow the overall rate of retreat too. Such an effort is likely to cost a great amount of money (in excess of tens of millions of dollars) and will take years to design, permit and construct. Protecting the entire bluff is therefore not feasible for a short-term solution.

RECOMMENDATIONS

1. If the longest lifetime of a relocated footpath is desired, the City should relocate the footpath as far inland as possible, with the inland side of the path abutting the property lines of the residences (see Plate 1 for this hypothetical layout).

2. An engineered grading and drainage plan should be prepared as part of the proposed footpath location. Care should be taken to avoid ponding water near the top of the bluff to avoid triggering large landslides and no collected storm water should be allowed to flow over the top of the bluff.

3. The effective life of the footpath should be considered when contemplating short term and long-term expenditures for keeping the footpath open. Long-term solutions, such as protecting the entire bluff from erosion will be very expensive and will require extensive studies, design work and may entail a difficult permitting process. 67 Item 9 A.

City of Capitola –Bluff Retreat Along Grand Avenue footpath between Central and Oakland Aves. Project No. 2381.2 14 October 2025

Page 6 ends

This concludes our geological letter regarding the impacts of landsliding and bluff top retreat for the Grand Avenue footpath between the intersections of Central and Oakland Avenues.

Please do not hesitate to contact us if you have any questions about this letter or our work or need further assistance.

Sincerely,
PACIFIC CREST ENGINEERING INC.

Erik N. Zinn
Principal Geologist
P.G. #6854, C.E.G. #2139
Attachments:Plate 1 – Site Plan & Geologic Transects
Plate 2 – Site Plan Without Aerial Photo & Geologic Transects Plate 3 – Site Plan Showing Zone of Short Term Blufftop Retreat

CERTIFIED ENGINEERING GEOLOGIST

STATE OF CALIFORNIA
ERIK N. ZINN
No. 2139

PROFESSIONAL GEOLOGIST

STATE OF CALIFORNIA
ERIK N. ZINN
No. 6854
68 Item 9 A.
1956 APPROXIMATE TOP OF BLUFF
2025 APPROXIMATE TOP OF BLUFF
HYPOTHETICAL 4-FOOT WIDE PATH WITH 2-FOOT BUFFER RELOCATION

PREDICTED BLUFFTOP LOCATION USING AERIAL PHOTO METHOD
ESTIMATED BLUFFTOP POSITION BASED ON HISTORICAL RETREAT RATES (PROJECTED ~10 YEAR POSITION FROM ANALYSIS OF 1956 AERIAL PHOTOS) ESTIMATED BLUFFTOP POSITION IF UPPER SOILS ERODE TO THEIR NATURAL 38 D ESTIMATED BLUFFTOP POSITION IF UPPER SOILS ERODE TO THEIR NATURAL 38 DEGREE SLOPE (POTENTIAL RETREAT WITHIN ~1-6 YEARS) TR1
TR2
TR3
TR4
TR5
TR6

SITE PLAN EXPLANATION

SYMBOLS
Estimated blufftop position if upper soils (Marine Terrace Deposits) erode to their natural 38 degree slope (potential retreat within ~1-6 years)
Estimated blufftop position based on historical retreat rates (projected ~10 year position from analysis of 1956 aerial photos) Transect line and location
Hypothetical footpath relcoation placed directly adjacent to residential properties (includes 2-foot buffer from seaward edge of path)
TR6
Base Map: Bowman & Williams; Topographic Map of a Portion of the Capitola Grand Avenue Pathway, Sheets TP-2 and TP-3; dated 10-06-2025; original scale: 1"=10'; Imagery provided by Pacific Crest Engineering for 9/25/2025 drone flight
Date: 10 October 2025 Revised: 14 October 2025
Job #2381.2
Scale: 1"=20’
Drawn by: MP/ENZ/mp Plate 1
Site Plan & Geologic Transects
Grand Avenue Footpath Bluff Retreat Hazard
& Risk Assessment
Capitola, California
0 20 40
Scale: 1"=20'
RELATIVE ELEVATION (NAVD 88)
80 40
60 RELATIVE ELEVATION (NAVD 88)
80 40
60 SE SE RELATIVE ELEVATION (NAVD 88)
80 40
60 RELATIVE ELEVATION (NAVD 88)
80 40
60 RELATIVE ELEVATION (NAVD 88)
80 40
60 RELATIVE ELEVATION (NAVD 88)
80 40
60 SE
SE
1" = 20'; h=v
38° TERRACE LAYBACK
38° TERRACE LAYBACK
38° TERRACE LAYBACK
38° TERRACE LAYBACK
38° TERRACE LAYBACK
38° TERRACE LAYBACK
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

TOP OF BLUFF WALKWAY/

CENTRAL
AVE.
1" = 20'; h=v
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

TOP OF BLUFF
100 CENTRAL
AVE
PL
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

TOP OF BLUFF
304 GRAND AVE
PL
x
x
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

TOP OF BLUFF
101 SAXON AVE
HEDGE
PL
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

WALKWAY/ TOP OF BLUFF
SAXON
AVE.
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

WALKWAY/ TOP OF BLUFF

OAKLAND
AVE.

FOSSIL WAVE-CUT PLATFORM FOSSIL WAVE-CUT PLATFORM

FOSSIL WAVE-CUT PLATFORM

FOSSIL WAVE-CUT PLATFORM

FOSSIL WAVE-CUT PLATFORM

FOSSIL WAVE-CUT PLATFORM PICKET FENCE PICKET FENCE

PICKET FENCE

PICKET FENCE

PICKET FENCE
PICKET
FENCE
1" = 20'; h=v 1" = 20'; h=v SE
1" = 20'; h=v
SE
1" = 20'; h=v
TRANSECT 1 TRANSECT 2 TRANSECT 3 TRANSECT 4
TRANSECT 5 TRANSECT 6
Transect Note: Elevations and distances were measured using a hybrid of: Bowman & Williams; Topographic Map of a Portion of the Capitola Grand Avenue Pathway, Sheets TP-2 and TP-3; dated 10-06-2025; original scale: 1"=10'; & 3-D reconstruction of a 2-D photogrammetry drone flight using DJI Terra and ArcGIS Pro.

TRANSECT EXPLANATION

EARTH MATERIALS
Marine Terrace Deposits
Purisima Formation Bedrock

SYMBOLS
Existing footpath
Hypothetical footpath relcoation placed directly adjacent to residential properties (includes 2-foot buffer from seaward edge of path)
Earth materials contact - dashed where approximate
Qmt
Tp

CERTIFIED ENGINEERING GEOLOGIST

STATE OF CALIFORNIA
ERIK N. ZINN
No. 2139

PROFESSIONAL GEOLOGIST

STATE OF CALIFORNIA
ERIK N. ZINN
No. 6854
69 Item 9 A.

Existing
Pavement
(shaded
gray)
Existing
Wood
Fence
1956 APPROXIMATE TOP OF BLUFF
2025 APPROXIMATE TOP OF BLUFF
HYPOTHETICAL 4-FOOT WIDE PATH WITH 2-FOOT BUFFER RELOCATION ESTIMATED BLUFFTOP POSITION BASED ON HISTORICAL RETREAT RATES (PROJECTED ~10 YEAR POSITION FROM ANALYSIS OF 1956 AERIAL PHOTOS) ESTIMATED BLUFFTOP POSITION IF UPPER SOILS ERODE TO THEIR NATURAL 38 DEGREE SLOPE (POTENTIAL RETREAT WITHIN ~1-6 YEARS) TR1
TR2
TR3
TR4
TR5
TR6

SITE PLAN EXPLANATION

SYMBOLS
Intersection of 38-degree angle of repose Marine
Terrace Deposits line with ground surface - see
see transects on this plate for derivation of the line
Projected top of bluff in 10 years using long term bluff retreat calculations derived from analysis of 1956 stereopair aerial photographs
Transect line and location
Hypothetical footpath relcoation placed directly adjacent to residential properties (includes 2-foot buffer from seaward edge of path)
TR6
Base Map: Bowman & Williams; Topographic Map of a Portion of the Capitola Grand Avenue Pathway, Sheets TP-2 and TP-3; dated 10-06-2025; original scale: 1"=10'
Date: 14 October 2025 Revised:

Job #2381.2
Scale: 1"=20’
Drawn by: MP/ENZ/mp Plate 2
Site Plan Without Aerial Photo
& Geologic Transects
Grand Avenue Footpath Bluff Retreat Hazard
& Risk Assessment
Capitola, California
0 20 40
Scale: 1"=20'
RELATIVE ELEVATION (NAVD 88)
80 40
60 RELATIVE ELEVATION (NAVD 88)
80 40
60 SE SE RELATIVE ELEVATION (NAVD 88)
80 40
60 RELATIVE ELEVATION (NAVD 88)
80 40
60 RELATIVE ELEVATION (NAVD 88)
80 40
60 RELATIVE ELEVATION (NAVD 88)
80 40
60 SE
SE
1" = 20'; h=v
38° TERRACE LAYBACK
38° TERRACE LAYBACK
38° TERRACE LAYBACK
38° TERRACE LAYBACK
38° TERRACE LAYBACK
38° TERRACE LAYBACK
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

TOP OF BLUFF WALKWAY/

CENTRAL
AVE.
1" = 20'; h=v
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

TOP OF BLUFF
100 CENTRAL
AVE
PL
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

TOP OF BLUFF
304 GRAND AVE
PL
x
x
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

TOP OF BLUFF
101 SAXON AVE
HEDGE
PL
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

WALKWAY/ TOP OF BLUFF
SAXON
AVE.
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

WALKWAY/ TOP OF BLUFF

OAKLAND
AVE.

FOSSIL WAVE-CUT PLATFORM FOSSIL WAVE-CUT PLATFORM

FOSSIL WAVE-CUT PLATFORM

FOSSIL WAVE-CUT PLATFORM

FOSSIL WAVE-CUT PLATFORM

FOSSIL WAVE-CUT PLATFORM PICKET FENCE PICKET FENCE

PICKET FENCE

PICKET FENCE

PICKET FENCE
PICKET
FENCE
1" = 20'; h=v 1" = 20'; h=v SE
1" = 20'; h=v
SE
1" = 20'; h=v
TRANSECT 1 TRANSECT 2 TRANSECT 3 TRANSECT 4
TRANSECT 5 TRANSECT 6
Transect Note: Elevations and distances were measured using a hybrid of: Bowman & Williams; Topographic Map of a Portion of the Capitola Grand Avenue Pathway, Sheets TP-2 and TP-3; dated 10-06-2025; original scale: 1"=10'; & 3-D reconstruction of a 2-D photogrammetry drone flight using DJI Terra and ArcGIS Pro.

TRANSECT EXPLANATION

EARTH MATERIALS
Marine Terrace Deposits
Purisima Formation Bedrock

SYMBOLS
Existing footpath
Hypothetical footpath relcoation placed directly adjacent to residential properties (includes 2-foot buffer from seaward edge of path)
Earth materials contact - dashed where approximate
Qmt
Tp

CERTIFIED ENGINEERING GEOLOGIST

STATE OF CALIFORNIA
ERIK N. ZINN
No. 2139

PROFESSIONAL GEOLOGIST

STATE OF CALIFORNIA
ERIK N. ZINN
No. 6854
70 Item 9 A.

Existing
Pavement
(shaded
gray)
Existing
Wood
Fence
2025 APPROXIMATE TOP OF BLUFF
HYPOTHETICAL 4-FOOT WIDE PATH WITH 2-FOOT BUFFER RELOCATION TR1
TR2
TR3
TR4
TR5
TR6

SITE PLAN EXPLANATION

SYMBOLS
Zone of short term (1-10 years) blufftop retreat
Transect line and location
Hypothetical footpath relcoation placed directly adjacent to residential properties (includes 2-foot buffer from seaward edge of path)
TR6

ZONE OF SHORT TERM
(1-10 YEARS) BLUFFTOP RETREAT
(red stippling)
Base Map: Bowman & Williams; Topographic Map of a Portion of the Capitola Grand Avenue Pathway, Sheets TP-2 and TP-3; dated 10-06-2025; original scale: 1"=10'
Date: 14 October 2025 Revised:

Job #2381.2
Scale: 1"=20’
Drawn by: MP/ENZ/mp Plate 3
Site Plan Showing Zone Of
Short Term Blufftop Retreat
Grand Avenue Footpath Bluff Retreat Hazard
& Risk Assessment
Capitola, California
0 20 40
Scale: 1"=20'
RELATIVE ELEVATION (NAVD 88)
80 40
60 RELATIVE ELEVATION (NAVD 88)
80 40
60 SE SE RELATIVE ELEVATION (NAVD 88)
80 40
60 RELATIVE ELEVATION (NAVD 88)
80 40
60 RELATIVE ELEVATION (NAVD 88)
80 40
60 RELATIVE ELEVATION (NAVD 88)
80 40
60 SE
SE
1" = 20'; h=v
38° TERRACE LAYBACK
38° TERRACE LAYBACK
38° TERRACE LAYBACK
38° TERRACE LAYBACK
38° TERRACE LAYBACK
38° TERRACE LAYBACK
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

TOP OF BLUFF WALKWAY/

CENTRAL
AVE.
1" = 20'; h=v
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

TOP OF BLUFF
100 CENTRAL
AVE
PL
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

TOP OF BLUFF
304 GRAND AVE
PL
x
x
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

TOP OF BLUFF
101 SAXON AVE
HEDGE
PL
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

WALKWAY/ TOP OF BLUFF
SAXON
AVE.
x
x

TOP OF BLUFF
IN 10 YEARS CURRENT

WALKWAY/ TOP OF BLUFF

OAKLAND
AVE.

FOSSIL WAVE-CUT PLATFORM FOSSIL WAVE-CUT PLATFORM

FOSSIL WAVE-CUT PLATFORM

FOSSIL WAVE-CUT PLATFORM

FOSSIL WAVE-CUT PLATFORM

FOSSIL WAVE-CUT PLATFORM PICKET FENCE PICKET FENCE

PICKET FENCE

PICKET FENCE

PICKET FENCE
PICKET
FENCE
1" = 20'; h=v 1" = 20'; h=v SE
1" = 20'; h=v
SE
1" = 20'; h=v
TRANSECT 1 TRANSECT 2 TRANSECT 3 TRANSECT 4
TRANSECT 5 TRANSECT 6
Transect Note: Elevations and distances were measured using a hybrid of: Bowman & Williams; Topographic Map of a Portion of the Capitola Grand Avenue Pathway, Sheets TP-2 and TP-3; dated 10-06-2025; original scale: 1"=10'; & 3-D reconstruction of a 2-D photogrammetry drone flight using DJI Terra and ArcGIS Pro.

TRANSECT EXPLANATION

EARTH MATERIALS
Marine Terrace Deposits
Purisima Formation Bedrock

SYMBOLS
Existing footpath
Hypothetical footpath relcoation placed directly adjacent to residential properties (includes 2-foot buffer from seaward edge of path)
Earth materials contact - dashed where approximate
Qmt
Tp

CERTIFIED ENGINEERING GEOLOGIST

STATE OF CALIFORNIA
ERIK N. ZINN
No. 2139

PROFESSIONAL GEOLOGIST

STATE OF CALIFORNIA
ERIK N. ZINN
No. 6854
71 Item 9 A.

Grand Avenue Pathway
City Council
October 23, 2025
1972
72 Item 9 A.
• Vehicle access closed
in 1980s; pathway
retained for
pedestrians
• Repeated closures and
repairs due to ongoing
bluff retreat
• 2005: Council voted to
maintain an 8-foot
walkway within rightof-way
• 2017–2025: Recurrent
bluff failures and
storm damage leading
to multiple relocations
Background Long-Term Development Process
Grand Avenue Pathway
73 Item 9 A.
• 12/23 & 2/25 storms: major
bluff failure between Saxon &
Oakland
• Partial path collapse
• Drainage damage
• April 2025 Council meeting
• Steering committee
• Evaluation of Central Ave
to Oakland Ave
• October 2025: hazard
assessment completed;
drainage repairs finished
Recent Events Long-Term Development Process
Grand Avenue Pathway
74 Item 9 A.
75 Item 9 A.
• Storms, wave action, earthquakes, and
saturation of soil
Episodic Bluff Retreat

1. Wave Erosion of Bedrock
• Waves notch into Purisima Formation
bedrock until slab topples

2. Collapse of Upper Bluff
• Overlying marine terrace soils collapse
• Leaves a steep bluff face
Two-Part Failure Process:
• Loose sand/gravel from marine terrace
deposits erodes gradually
• Naturally settle toward a 38-degree slope
• Wave action restarts the cycle: erosion never
fully stops
Why It Keeps Failing:

Bluff Erosion Process Long-Term Development Process
Grand Avenue Pathway
76 Item 9 A.
77 Item 9 A.
78 Item 9 A.

Two approaches used to
estimate bluff-top retreat
• Historic photo analysis
• 0.33–0.66 ft/yr
• ≈3–7 ft over 10 yrs
• Angle-of-repose model (~38°)
• 12–22 ft retreat within 1–6
yrs
Expected future retreat lies
between these projections
Bluff Retreat Modeling Methods Long-Term Development Process Grand Avenue Pathway
79 Item 9 A.
80 Item 9 A.
81 Item 9 A.
• Inland alignment could remain usable for ~10 years
• Oakland Ave corner at higher near-term risk
• Erosion control may slow, but not stop, bluff retreat • Armoring infeasible (tens of millions; multi-year
permitting)
Bluff Conditions & Pathway Outlook
• Relocate path as far inland as possible narrowed to 4 feet • Grading and drainage to prevent runoff at bluff edge
Option for Limited Extension of Pathway
Life
Report Findings Long-Term Development Process
Grand Avenue Pathway
82 Item 9 A.

Phase 1 – Survey & Data Collection: Months 0–2
• Complete topographic survey
• Verify drainage and bluff edge locations
• Begin environmental screening
• Identify all encroachments
Phase 2 – Concept Design: Months 2–4
• Develop inland alignment concept
• Engineer grading, drainage, and fencing
Relocation Potential Next Steps Long-Term Development Process Grand Avenue Pathway
83 Item 9 A.

Long-Term Development Process Private Encroachments
Grand Avenue Pathway
84 Item 9 A.

Phase 3 – Environmental Review & Permitting:

Months 4–10
• Complete CEQA review
• Address encroachments
• Apply for Coastal Development Permit
Phase 4 – Final Design: Months 10–12+
• Finalize grading and drainage plans
• Solicit and award construction contract
Relocation Potential Next Steps Long-Term Development Process Grand Avenue Pathway
85 Item 9 A.

Long-Term Development Process Summary & Council Direction Grand Avenue Pathway
Additional Notes:
• Staff time would be required for coordination,
environmental review, and permitting
• Encroachment removal (e.g., fences, landscaping)
would occur at the expense of property owners
Item Amount Status
$18,090 Completed Geological
Evaluation
$39,000 Completed Saxon Outfall
Drainage Repair
$40,000–$50,000 If Council Directs Design and
Permitting
Construction $350,000–$600,000 If Council Directs
86 Item 9 A.
• Bluff erosion is ongoing and unavoidable; relocation is only practical near-term option
• Inland realignment could remain usable for ~10 years with proper grading and drainage
• Erosion control may slow but will not stop retreat; armoring is not feasible
Summary of Findings
• Total Estimated Duration: 6-12 months depending on
permitting
• Estimated Total Cost: $400K–$700K
If Moving Forward with Relocation
• Receive a report and provide direction to staff as needed Recommended Action
Long-Term Development Process Summary & Council Direction Grand Avenue Pathway
87 Item 9 A.

Ad Hoc Committee to Study Depot Hill Bluff Pathway
Interim Report to City Council
23-October-2025
88 Item 9 A.

Agenda
• Summary of Current Situation
• History of Events and Studies of Depot Hill Bluff
• Geological
• Drainage
• Value of the pathway
• Options for Restoring a Pathway
• Current Situation
• Pathway from Saxon to Oakland
• Pathway from Central to Saxon
89 Item 9 A.

Current Situation - BLUF
• The unabated erosion of the Depot Hill bluff has resulted in failure and loss of the Grand Avenue pathway in two locations:
• Between Oakland and Hollister (significant damage)
• Between Saxon and Oakland (failure to edge of fencing, pathway temporarily closed)
• The Ad Hoc Committee studied options going forward
• Inadequate storm drainage needs to be addressed
• Pathway re-routing is possible
90 Item 9 A.

Overview of the Bluff
Purisma Sandstonae formation (~60
feet high)
Marine Sediment Layer(~20 feet
high)
91 Item 9 A.

Photographs of Bluff Failures
Oakland to Hollister
section
Saxon to Oakland
section
92 Item 9 A.

Timeline of Events and Studies
Griggs & Johnson Study 1979
• 1853 – 1973
• Erosion rate Avg. 1 ft/yr
Johnson and Associates Study
• Recommended concrete seawall and
improved drainage
• Concurred that eriosion avg. 1 ft/yr
2000 2010 2020
Pathway Fails between Oakland and
Hollister, April 2017
• Path closed
• Some synthetic netting place over
marine sediment layer
Marine layer fails undermining existing
fencing between Saxon and Oakland
• RAKC erected a new fence, Feb 2023
approx. 8 feet inland of original
Marine layer fails undermining existing
fencing between Saxon and Oaklan
• Pathway closed
• Current State
Harris & Assoc study of Depot Hill
Drainage, May 2007
• Recommended a network of drains to
Monterrey Ave; cost ~$800k
Haro and Kasunich study of Drain pipes,
January 2010
• Recommended use of Corrugated
Metal Pipes (CMP) to well below
Marine Layer
5 Failures in 5 years
There have been temporary fixes to some drainage after each event
Citizen Committee Formed
• Presented undersealing/groin solution to CC
• Rejected due to expense and expected
resistance from Coastal Commission
2025
93 Item 9 A.

Value of the Pathway
• We don’t have any hard data but here are the Committee’s observations:
• The pathway is a popular spot for both tourists and City residents • Estimate of 200 – 300 pedestrians per day on average
• Some reduction in traffic after the bluff collapse between Oakland and Hollister in 2017
• Significant increase in traffic during Covid 19 still remains substantial • Tourist traffic is still robust
94 Item 9 A.

Options for Re-storing the Bluff Pathway

1. Do nothing

2. Move pathway onto the city’s easement:
a. Improve drainage at Saxon Avenue & 302 Grand
b. Install pathway on the city’s easement (8 houses)
c. Move fence to edge of pathway
d. Add simple retention system over the latest landslide (between 304 and 308 Grand)

3. Add reinforcement to the bluff at the top to protect the marine layer

4. Implement full Depot Hill drainage plan

5. Install a protective seawall
95 Item 9 A.

Options for Re-establishing the Bluff Pathway (1 of 2)
Option Cost Risks Est.

Life
Notes

1.Do
Nothing
Minor Utilities would be
damaged
Potential risk to
life
Unpredictable
erosion
0 Needs better barrier at each
end of the pathway
Utilities need to be
addressed

2.Move
pathway
onto
easement
$ May only last a year
or two
6 Drainage needs to be
addressed to improve the life
of the new pathway
Utilities need to be
addressed

3. Rein
force
Bluff
$$$ Formation underneath
will fail`
Requires study
96 Item 9 A.

Options for Re-establishing the Bluff Pathway
Option Cost Risks Est.

Life
Notes

4.Implement
full
drainage
Current
estimate
is $2.4 M
May not solve the long
term problem
TBD Based on Study in 2008
where cost was $800k

5.Install
protectiv
e seawall
$$$$ Coastal Commission
approval
Long Not likely to get CCC
approval
97 Item 9 A.

Committee’s Conclusion
• The Committee determined the only feasible solution is to move the pathway inland approx. 10 feet
• Quickest and easiest solution
• Least expensive option
• Probably gets 5+ years out of the existing pathway
• Rough Estimate of City’s Costs
Item Cost
Estimate
($k)
Notes
Pathway Design $50.0 Based on SSA Landscape Architects
Estimate
Netting Retention
System
$29.8 Based on Granite Construction
Estimate
Pathway Materials $50.0 WAG
Labor $0.0 Assuming its feasible the work
would be done by RAKC
98 Item 9 A.

Next Steps - simplified
• Fix the drainage outlet at the end of Saxon Avenue (complete) • Get a landscape designer to create the pathway plans (see Appendix for quotes from SSA)
• Get approval from Public Works for these plans and the plans for the netting
• Order material and set a date for RACK to do the work • Complete the pathway and the retention system
• Inspection by PW
• Open pathway to public
99 Item 9 A.

Appendix
100
Item 9 A.

References

1. Effects of the Santa Cruz Harbor on coastal processes of northern Monterey Bay, California, Griggs, G.B. and Johnson, R.E., 1976

2. Coastline Erosion: Santa Cruz County, Griggs, G.B. and Johnson, R.E., 1979

3. Geological Investigation, Depot Hill Geologic Hazard Abatement District, Rogers E. Johnson and Associates, April 2000

4. **Study of Depot Hill Storm Drainage, Harris & Associates, May 2007 (note:
a map of proposed drainage system for Depot Hill with cost estimate provided in May 2008)

5. Depot Hill Drainline Installation, Haro & Kasunich, January 2010

6. **Limited Geological Investigation of coastal bluff failure Grand Avenue near intersection with Oakland Avenue and Hollister Avenue, Capitola, Zinn Geology, May 2017

7. **Limited Geological Investigation of coastal bluff failure Grand Avenue footpath near Intersection with Oakland Avenue and Saxon Avenue, Capitola, Pacific Crest Engineering Inc., June 2023

8. **Updated Geological Investigation of coastal bluff failure Grand Avenue footpath near Intersection with Oakland Avenue and Saxon Avenue, Capitola, Pacific Crest Engineering Inc., April 2025
** - completed for the City of Capitola, Public Works Department 101
Item 9 A.

Netting Retention Concept
Similar concept installed on Bluff at
Sacramento 102
Item 9 A.

Proposed Initial Study Work by SSA Total Estimate $11,893 103
Item 9 A.

Capitola City Council
Agenda Report
Meeting: October 23, 2025
From: Community and Economic Development Department
Subject: Economic Development Presentations and Department Update Recommended Action: Receive presentations from local business organizations and receive a presentation from the Community and Economic Development Department on current and upcoming economic development initiatives.

Background: Capitola continues to face several challenges in maintaining a resilient local economy.

Shifting consumer behaviors and increased competition from online retail have contributed to rising commercial vacancies in key shopping areas, particularly along 41st Avenue and in the Village. At the same time, projected population growth and development pressure require careful fiscal planning to ensure that future projects generate sustainable revenue and service capacity. In addition, Capitola’s popularity as a tourist destination has outpaced its current hotel inventory, creating opportunities for targeted hotel development to meet visitor demand and enhance the City’s economic base.

During the Fiscal Year 2025-26 budget process, the City renamed the Community Development Department as the Community and Economic Development Department (CED), to reflect the City’s expanded focus on economic vitality in addition to building and planning.

The mission of the Community and Economic Development Department, as stated within the FY 2025- 26 budget, is to promote development that supports attainable housing, economic opportunities, community wellbeing, and environmental stewardship. The Department provides responsive, high-quality services and programs that enhance the quality of life for residents, businesses, and visitors within Capitola’s built and natural environments.

Discussion: The City of Capitola collaborates with a range of community partners and organizations to support local businesses, enhance economic vitality, and improve the quality of life for residents and visitors. To strengthen this collaboration, staff has organized a joint presentation and update to the City Council highlighting ongoing economic development efforts, organizational updates, and upcoming initiatives.

Three key partner organizations will provide brief presentations to the Council describing their current programs and how they support Capitola’s business community:

1. Capitola Village and Wharf Business Improvement Area (BIA) The BIA supports Capitola Village businesses through marketing, events, and coordinated improvements that enhance the visitor experience and support local commerce.

2. Capitola Soquel Chamber of Commerce
The Chamber promotes the citywide business community through networking, business development programs, community events, and regional partnerships that attract visitors and strengthen the local economy.

3. Visit Santa Cruz County
Visit Santa Cruz County markets the region as a visitor destination, providing data, marketing resources, and cooperative programs that help increase tourism and overnight stays in Capitola. 104
Item 9 B.

Community and Economic Development Updates: Current CED projects focused on economic development include the 41st Avenue Corridor Plan, Capitola Mall zoning code updates, Wharf Master Plan, business engagement, and on-call economic development consulting services as described below. 41st Avenue Corridor Plan
One of the City’s most significant economic development initiatives is the 41st Avenue Corridor Plan, a comprehensive planning effort to reimagine the future of Capitola’s primary commercial and transportation corridor. The project will establish a long-term vision that supports mobility improvements, economic vitality, housing opportunities, and a stronger sense of place for residents, businesses, and visitors.

Key focus areas include enhancing multimodal mobility, creating a cohesive visual identity through placemaking and landscaping, incorporating public and green spaces, improving safety and accessibility, and supporting future mixed-use and housing opportunities.

A community meeting introducing the project and the related Capitola Mall Zoning Code updates was held on Wednesday, October 8, 2025. Stakeholder meetings are currently underway. The next steps include drafting design concepts and vision plans, a second round of public outreach, and lastly, a final corridor plan with phasing to be presented to Council. Estimated time of completion is around the new year.

Zoning Code Updates
The consultant team for the Capitola Mall zoning code updates includes an economic development consultant to ensure the updated standards will result in an economically sustainable project for both the developer and the City. As part of this effort, the consultant team is considering hotel objective standards intended to attract new, high-quality lodging opportunities that complement retail and entertainment uses and enhance tourism. Supporting hotel development is a great economic development tool, as the City continues to see retail sales tax revenue not keeping up with inflation. A hotel generates transient occupancy tax (TOT) of which 12% of gross hotel revenue is collected, all of which goes directly to the City. By comparison, sales tax is 9.25%, of which the City receives 1.5%. The zoning code updates are anticipated for completion in January 2026.

Wharf Master Plan
CED is currently in the process of finalizing a Wharf Master Plan. On June 26, 2025, the City Council directed the consultant, Fuse Architecture, to proceed with a flexible market space, while incorporating a full-service restaurant. The Wharf Master Plan will be utilized in a future request for proposals to solicit private parties interested in developing the plan and leasing the space from the City. The goal of the Wharf Master Plan is to create a cherished community feature on the Wharf and attract visitors to Capitola, which will support the local businesses.

Business Engagement Meetings
To foster stronger communication with local businesses, staff is initiating business engagement meetings with individual Capitola business owners. These informal discussions provide an opportunity to discuss local business conditions, City programs, and opportunities for improvement. The meetings help ensure the City remains responsive to business needs and continues to provide high-quality services that support economic growth. Current efforts are focused on the properties within the Capitola Mall block and along 41st Avenue to ensure property owners/business owners are aware of the aforementioned upcoming projects. The CED Director has also begun attending the Chamber of Commerce monthly board meetings.

On-Call Economic Development Services Contract
During the FY 2025-26 budget setting process, the Council approved an allocation of $20,000 to further advance Capitola’s economic development goals. On September 19, 2025, staff issued a Request for Qualifications (RFQ) for on-call economic development consulting services. The purpose of the RFQ was to identify a qualified consultant capable of providing professional support on a range of economic 105
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development initiatives, including addressing commercial vacancies, conducting fiscal analyses of development proposals, and identifying strategies to incentivize new hotel development.

The consultant will work under the direction of the Community and Economic Development Director to support the City’s goals of maintaining long-term economic stability and vitality. Tasks may include the following:
 Addressing Commercial Vacancies: The consultant will analyze vacancy patterns and their impacts on the local economy, identify opportunities for retail attraction and tenant diversification, and recommend corridor revitalization strategies. This may include developing incentive programs or partnership opportunities to fill key vacant spaces within the City’s commercial districts.
 Fiscal Analysis of Population Projections and Development Applications: The consultant will evaluate the fiscal impacts of new development and population growth on City revenues and expenditures. This includes preparing fiscal impact assessments for residential, commercial, and mixed-use projects to inform City decision-making and ensure financial sustainability. These analyses help the City assess net fiscal impacts and align development approvals with long-term infrastructure and service needs.
 Incentivizing New Hotel Development: The consultant will assist in identifying feasible hotel development opportunities within Capitola, analyzing tourism trends and lodging demand, and recommending incentive structures to attract new hotel investment. This work will directly support the City’s goal of expanding visitor-serving uses and increasing transient occupancy tax (TOT) revenue.
 Other On-Call Economic Development Support: As needed, the consultant will provide data analysis, policy review, and strategic recommendations on emerging issues affecting Capitola’s economic vitality.

The RFQ closed on October 10th, and the City received four proposals in response. Following a review of qualifications and experience, Keyser Marston was selected as the most qualified firm to assist the City. Staff is currently in the process of executing a professional services agreement.

Fiscal Impact: The City Council allocated $20,000 in the FY2025-26 budget for on-call economic development consulting services.

Report Prepared By: Katie Herlihy, Community and Economic Development Director Reviewed By: Julia Gautho, City Clerk and Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
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BusinessImprovement Association (BIA)

CAPITOLA VILLAGE
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BUSINESS IMPROVEMENT ASSOCIATION
TheCapitolaVillageandWharfBusinessImprovement
Associationrepresentsthecollectivevoiceofthebusiness
communitywithinCapitolaVillage.

Establishedbylocalmerchants,volunteersandcontractorsthe BIAexiststopromote,enhance,andpreservetheeconomicand
culturalvitalityofthishistoriccoastaldistrict.
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WHY THE BIA EXISTS
Capitola’sbusinesscommunityhasalwaysplayedanactiveroleinsharingthecharmoftheVillage andwelcomingvisitorsfromnearandfar.

Tobuildonthatspirit, localmerchantscametogethertoformtheCapitolaVillageandWharfBusiness ImprovementAssociation(BIA)—aself-funded,community-drivenorganizationdedicatedto keepingCapitolaVillagevibrantandthriving.

Today,theBIAremainstheonlydedicatedmarketingandbeautificationarmforCapitolaVillage, connectingvisitors,supportingsmallbusinesses,andkeepingtheVillagevibrantyear-round. 109
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what we do
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Marketing & Promotion
Community Events
Beautification & Maintenance
We manage the brand presence of Capitola Village through photography, video, social media, newsletters, blogs, and destination marketing campaigns that attract visitors yearround.

We produce and support events that drive tourism and foot traffic, such as the Sipping Stroll, Beyond the Wharf, and Outstanding in the Field.

The BIA funds and oversees projects that enhance the
visitor experience, including palm tree lighting, landscaping, and seasonal décor.

Business Support
Economic Impact
We connect business owners with local resources, city
contacts, and marketing assistance. We also provide a
network for collaboration and community building among
merchants.

Our efforts directly support local tourism, retail, dining, and lodging—creating ripple effects that benefit the wider Capitola economy.
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How We Operate
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Leadership & Management
Budget Allocation
The BIA is led by a volunteer Board of Directors,
supported by a Village Ambassador and a professional
Marketing Team (Opposite of East) responsible for
creative direction, communications,.

Nearly 97% of the BIA’s annual budget is dedicated to
marketing, events, and beautification projects—
ensuring that resources directly support visibility,
tourism, and the ongoing appeal of Capitola Village.

Partnerships & Collaboration
The BIA operates independently but maintains open communication with the City of Capitola, the Capitola-Soquel Chamber of Commerce, and Visit Santa Cruz County. While not formally funded or directed by these entities, the BIA’s marketing and events often complement their efforts by driving visitors and visibility to the Capitola area.

Funding Structure
The Capitola Village and Wharf Business Improvement Association (BIA) is funded by assessments from approximately 80 local businesses and 120 short-term rentals within the Village district. These collective contributions allow the BIA to independently manage marketing, events, and enhancements that benefit the entire community. 113
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OURMARKETINGApproach
The Capitola Village & WharfBIA manages all marketing
organically, powered by creativity, consistency, and
community connection ratherthan large ad budgets.

We focus on authentic storytelling that highlights the
beauty, people, and experiences that make Capitola special.

Every image, post, and campaign is created locally, with the goal of keeping the Village top of mind year-round.
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OUR CHANNELS
Social Media
Email Marketing
Blog & Website Content
Daily management of Facebook and Instagram featuring local businesses, events, and seasonal storytelling campaigns.

Monthly newsletters reaching nearly 10,000 subscribers, sharing Village updates, itineraries, and business highlights.

Ongoing stories that support SEO, tourism visibility, and local discovery.

Community Engagement
Interactive campaigns and user-generated content that build lasting connections between locals, visitors, and the businesses that define Capitola.
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2025MARKETING

ENGAGEMENT OVERVIEW
Current Audience Members
Annual Views & Reach
Facebook: ~27,000
Instagram: ~28,500
Email Subscribers: ~19,556
Takeaways
Over 7 million total organic impressions in 2025
Steady follower growth across all channels
Engagement driven by authentic, communitycentered storytelling 100% organic reach — no paid ads
Capitola Village continues to outperform regional
averages and strengthen its reputation as a mustvisit coastal destination All results are organic — no paid advertising.

Facebook: ~4.2 million impressions
Instagram: ~2.2 million Impressions
Email: ~350,000 annual impressions
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community connection
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BEYONDMARKETING
Yes,wehaveadedicatedmarketingandcommunicationsteam
supportingtheworkontheground—buttherealmagichappens
withthecommunityonline.

Behindeverypost,there’sacommunitydecadesinthemaking.

Peoplewhocamehereaskidsnowbringtheirownfamilies.

Visitorssharememoriesofgrandparentswhospentsummerson
thebeachormettheirpartnersattheWharf.

Ourcommentsectionshavebecomestorythreads—living
testimonialsthatkeepCapitola’slegacyaliveandrelevant.Every story,share,andtagbecomesaconversion:aplantovisitagain, bookastay,orbringsomeonenew.

Thisiswhatmakesourmarketingdifferent:

It’snotjustreach—it’srelationship.
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Small Team. Big Impact.
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ECOMONIC & COMMUNITY IMPACT
Short-Term Rentals & Local Economy Business-Led Giving & Community Support Short-term rentals, which make up one of the largest
portions of BIA membership, contribute approximately
one-third of the City’s Transient Occupancy Tax (TOT)
revenue—about$660,000oftheCity’s$2milliontotal.

This estimate does not include major Village properties like The Venetian Hotel, Depot Inn, or Capitola Hotel,
meaning the true contribution from the Village is even
higher.

Visitor stays generated through BIA marketing
campaigns directly increase TOT, sales tax, and local
businessrevenuethroughoutthecity.

Beyond their assessments and volunteer hours, BIA business owners consistently give back—donatingtime,funds,andenergytolocalcausesyear-round.

Regularrecipientsandinitiativesinclude:

Keep Capitola Salty (Capitola Beach Company) – monthly business-led beach cleanupsfundedbyownersthemselves.

Veteran Surf Alliance & Operation Surf Santa Cruz – supporting veteran ocean therapyprograms.

FLOW(ForLoveofWater)–oceanconservationeducationandoutreach.

Jacob’sHeart–children’scancersupportandfamilyresources.

AngelTree&SecondHarvestFoodBank–holidaygivingandfoodinsecurityrelief.

LocalSchools&Churches–sponsorships,donations,andparticipationincommunity events.
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OUR IMPACT EXTENDS FAR
BEYOND THE VILLAGE.

Even without a city-funded marketing arm, our small district generates roughly a third of Capitola’s TOT revenue and continually gives back through direct community action.

The Village isn’t just a destination, it’s a driving force behind the city’s economy and its heart.
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Our Work Liftsthe Whole City.

WhenwemarkettheVillage,wemarketCapitola.

Visitorswhoseeourcontentdon’tjustvisitthebeach,theyfillhotels, eatatrestaurants,andshopthroughoutthecity.

Ourtwo-blockdistrictdrivesanoutsizedshareofthecity’stourism revenueandkeepsCapitolatopofmindfortravelersstatewide.
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CAPITOLA VILLAGE ISMORE
THANTWO BLOCKS — IT’S THE

BRAND OF CAPITOLA
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Thank You to Our Small and
Mighty Team
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STATE OF TOURISM:

CAPITOLA
Terence Concannon, CATP
CEO, Visit Santa Cruz County
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HOW VSCC

OPERATES
• CEO Terence Concannon (since 2023)
• Funded by lodging industry Tourism
Marketing District
• Tiered assessment for hotels and STVRs
• TMD renewal in 2029
• Board of 25, with 13 representing lodging
• Certified Autism Center
• Experiential Pillars
• Coastal
• Redwoods
• Agriculture
• Arts & Culture
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FY2025 IN REVIEW
September 2024 – August 2025
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5 129
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Current market analysis
• Make eye contact with your audience
to create a sense of intimacy and
involvement
• Weave relatable stories into your
presentation using narratives
that make your message memorable
and impactful
• Encourage questions and provide
thoughtful responses to enhance
audience participation
• Use live polls or surveys to gather
audience opinions, promoting
engagement and making sure the
audience feel involved
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RECENT CONTENT
& CAMPAIGNS
Celebrating Capitola
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Blogs
8 Beachside Bliss Capitola Buzz Worthy Capitola Village Spots 132
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Social Media Ads
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Social Media Posts
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Reels/Videos
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Reels/Videos
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Videos
13 Find Your Agricultural Awe in Santa Cruz
County (00:15)
Adventure Awaits! Find Your Awe in Santa
Cruz County this Season! (00:31)
Coastal Glory: Find Your Awe in Santa Cruz
County (00:31)
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COLLABORATION

WITH VISIT CALIFORNIA
Facebook over 2 million organic views :
1,900 comments : 3,600 shares
Instagram 4,600 likes : 265 comments :
7,902 shares
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KICK OFF SANTA CRUZ 2026
• VSCC official sponsor of Bay Area Host
Committee
• County group The Huddle meeting regularly
• Logo and website to be officially unveiled near
EOM
• VSCC working with businesses, non-profits and
schools to encourage activations, events, special
offers
• Watch Parties big and small countywide
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CURRENT & FUTURE INITIATIVES

1. New Slogan: Find Your Awe

2. Reimagined Visitor Guide

3. Reimagined Website

4. New office space

5. County’s First Visitor Center (opening soon)

6. FIFA World Cup Celebrations

7. SCC Certified Autism Destination
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THANK
YOU,
CAPITIOLA!
Terence Concannon, CEO, Visit Santa Cruz County
[email protected]
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Capitola-Soquel Chamber of Commerce Supporting
Capitola Businesses
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Economic
Development
Updates
OCTOBER 23, 2025
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Background
FY 2025-26 Budget: Rename Department:

Community and Economic Development (CED)
Department
Department’s expanded focus on economic vitality in
addition to building and planning.
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CED Mission
To promote development that supports attainable
housing, economic opportunities, community wellbeing,
and environmental stewardship. The Department
provides responsive, high-quality services and programs that enhance the quality of life for residents, businesses, and visitors within Capitola’s built and natural
environments.
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Partner Entity Presentations

1. Capitola Village and Wharf Business Improvement
Association

2. Capitola Soquel Chamber of Commerce

3. Visit Santa Cruz
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41st Avenue Corridor Plan
Establish long-term vision for 41st Avenue
 Focus areas: Multimodal mobility, placemaking,
public realm, safety and accessibility, and efficiency
Public Outreach: Stakeholder and community
outreach
Next Steps: Draft community goals from outreach,
design concept plan, 2nd round community outreach
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Zoning Code Updates
 Capitola Mall Updates – Economic consultant on
team
 Supporting hotel development is a great economic
development tool
• Hotel transient occupancy tax (TOT) is 12% of which
the City receives 100%
• Sales tax is 9.25%, of which the City receives 1.5%
• Property tax is 1% of assessed value, of which City
receives 7.47% on average
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Wharf Master Plan
Future Attraction in Capitola Village
June 26, 2025: City Council direction to proceed with
flexible market space concept with full-service restaurant Master Plan scheduled for adoption early 2026
Utilize master plan to attract interested private investors in leasing wharf area and developing the vision.
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Business Engagement
Stakeholder meetings with local businesses/property
owners
Current focus 41st Avenue
• Mall Zoning Updates
• 41st Avenue Corridor Plan
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On-Call Econ Dev Services
 FY 25/26: $20,000 for on-call ED services
 Request for Qualifications – September 2025.
• Selected Keyser Marston
 Scope:

1. Addressing Commercial Vacancies,

2. Fiscal Analysis of Population Projections and
Development Applications,

3. Incentivizing New Hotel Development,

4. Other on-call ED support, as needed
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Questions/Comments
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Capitola City Council
Agenda Report
Meeting: October 23, 2025
From: Community and Economic Development Department
Subject: 2021 CDBG Grant Closeout
Recommended Action: Conduct the duly noticed public hearing and receive a report summarizing the accomplishments performed under State CDBG Agreements 21-CDBG-NH-20008, 21-CDBG-NH20009, and 21-CDBG-NH-20010; solicit citizen input regarding expenditures and accomplishments of the funding received under these contracts; and direct staff to proceed with submitting required documents for closeout to the State.

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 slums or blight. There are two types of CDBG programs:
“entitlement” and “non-entitlement”. Metropolitan cities and urban counties are entitled to receive annual grants under the “entitlement” program directly from HUD. Metropolitan cities are principal cities or Metropolitan Areas (MAs) or other cities within MAs that have populations of at least 50,000. Urban Counties are within MAs that have a population of 200,000 or more, excluding the population of metropolitan cities within their boundaries.

The “non-entitlement” program is administered by the State Department of Housing and Community Development (HCD). The City has applied for funding under the State’s competitive application process for many years and has been very successful in obtaining funding for various projects/programs, including, but not limited to: the Community Center Renovation Project, the Treasure Cove at Jade Street Park Project, local business assistance, food programs, and housing programs.

In 2021, the City applied for CDBG funding through the State’s competitive NOFA process. The following table lists the state contract, subrecipient, and amount awarded during the 2021 cycle; however, these contracts were not received and executed until 2022.
21-CDBG-NH-20008 Grey Bears Healthy Food Distribution $56,656 21-CDBG-NH-20009 Community Bridges Meals on Wheels and Lift Line
$320,700
21-CDBG-NH-20010 Second Harvest Food Bank $119,840
Total Grant Funds $497,196
All funding identified has now been fully expended and reimbursed from the Housing and Community Development Department (HCD). It should be noted, the dollars listed above also include “grant administration,” which is allowed and reimbursed by the HCD. These funds were used to pay for City staff time, consultant time, and public hearing notices. 159
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Discussion: Now that all funds have been expended and grant contracts have reached their expiration date, HCD requires grantees to submit closeout documents for each contract. This process involves a public hearing to solicit citizen input regarding expenditures and accomplishments of the funding received under these contracts. Staff is now preparing the closeout documents for the City Manager to review and execute, prior to submittal to HCD.

Contract 21-CDBG-NH-20008: Grey Bears
Grey Bears successfully expended their grant funds over the course of a 12-month period. In total, they delivered 63,128 pounds of fresh produce, bread, and pantry staples to approximately 300 homebound seniors. Groceries were delivered weekly to drop-off locations throughout Capitola, including Shadowbrook Restaurant, Mid County Senior Center, and mobile home parks such as Tradewinds, Brookvale Terrace, and Loma Vista. Additionally, a number of seniors received direct grocery delivery to their homes, including residences located in the Jewel Box neighborhood, Clares Street, the Dakota Apartments, and the Bay Avenue Senior Apartments. The funds were used to assist Grey Bears with food purchases, program supplies, and volunteer mileage associated with deliveries.

Contract 21-CDBG-NH-20009: Community Bridges
Community Bridges successfully expended their grant funds over the course of a 27-month period, with services beginning in July 2023. The CDBG funds focus on providing meals on wheels to local seniors.

These funds have been imperative in providing financial assistance to add breakfast delivery 7 days a week to residents. Since the grant began, Community Bridges has provided 40,829 meals to vulnerable seniors living in Capitola. This meal count includes 18,994 breakfasts and 21,835 dinners. In addition, Community Bridges provided 289 wellness checks to ensure optimum health. Of the participants receiving additional breakfast packs, 96% report that Meals on Wheels helps with their overall household budget, 76% report improved fruit and vegetable intake, 72% report improved consumption of milk, and 72% report that they have been eating breakfast more often than they used to since getting breakfast delivered by Meals on Wheels.

Contract 21-CDBG-NH-20010: Second Harvest Food Bank
Second Harvest Food Bank successfully expended their grant funds over the course of a 15-month period. CDBG funding was used to pay for food purchases, supply costs, and personnel costs to operate the food bank. The food bank works with a number of programs and locations to serve the Capitola community and ensure access to nutritional items. On average, the Food Bank distributed approximately 40,000 pounds of food to Capitola residents on a quarterly basis through their various programs.

Fiscal Impact: All CDBG funds utilized under these contracts were 100% grant-funded. There was no impact on the General Fund.

Report Prepared By: Katie Herlihy, Community and Economic Development Director Reviewed By: Julia Gautho, City Clerk
Approved By: Jamie Goldstein, City Manager
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CDBG
GRANT

CLOSEOUT
City Council
October 23, 2025
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CDBG GRANT CLOSEOUT
Introduction:

Paul Ashby, Adams Ashby Group
Grant Administrator
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CDBG GRANT CLOSEOUT
Background:
• City applied to HCD in 2021 for 3 public service programs • 3 State Contracts Received
• 21-CDBG-NH-20008 (Grey Bears)
• 21-CDBG-NH-20009 (Community Bridges)
• 21-CDBG-NH-20010 (Second Harvest)
• Total Grant Funds: $497,196
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CDBG GRANT CLOSEOUT
Subrecipients:
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CDBG GRANT CLOSEOUT
Grey Bears: 21-CDBG-NH-20008
• Healthy Food Distribution Program
• $56,656
• 63,000 lbs. of food
• Deliveries to seniors (approx. 300),
including homebound individuals
• Food distribution weekly
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CDBG GRANT CLOSEOUT
Community Bridges: 21-CDBG-NH20009
• Meals on Wheels and Lift Line
Program
• $320,700
• Total of 40,829 meals were
served
• 289 health/wellness checks
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CDBG GRANT CLOSEOUT
Second Harvest: 21-CDBGNH-20010
• Food Bank Program
• $119,840
• Average of 35,000 lbs. of
food per quarter
• Food distribution services
at multiple sites serving
Capitola residents
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CDBG GRANT CLOSEOUT
• All funding is fully expended and has been reimbursed by HCD. • Includes funds for “grant administration” to pay for City staff time, consultant time, and public hearing notices.
• ** Grey Bears and Second Harvest recently received 2024 CDBG funds to implement the same public services.**
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CDBG GRANT CLOSEOUT
Recommended Action
Receive report on accomplishments for CDBG grants, conduct a duly noticed public hearing to receive comments/feedback from the community and direct staff to proceed with submitting required closeout documents to the State.
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Capitola City Council
Agenda Report
Meeting: October 23, 2025
From: Community and Economic Development Department
Subject: 2025 Community Development Block Grant Program Recommended Action: Receive staff report, conduct public hearing, and discuss. No action is required.

Background: The purpose of this meeting is to provide a general overview of the CDBG program and 2025 Notice of Funding Availability (NOFA) and give residents the opportunity to ask questions and provide feedback on potential applications.

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 slums or blight. There are two types of CDBG programs: “entitlement” and “non-entitlement”. Large cities and urban counties are entitled to receive annual grants under the “entitlement” program direct from HUD, essentially annual payments that are made based on a specific formula. Capitola is in the “non-entitlement” program, administered by the State Department of Housing and Community Development (HCD), where the City can apply for funding under a competitive application process.

On September 30, 2025, HCD released its annual NOFA for approximately $27 million in federal funds for the CDBG Program. The NOFA acts as a “call for applications”, which outlines applications allowed, amounts, scoring, timelines, etc. Staff has reviewed the NOFA and is now presenting a general overview of the 2025 CDBG application process.

The City has been applying to the CDBG Program for many years and has been quite successful in the most recent NOFAs. Below provides a summary of funds received in the past 5 years and the projects/programs they served:
21-CDBG-NH-20008: Grey Bears $56,656
21-CDBG-NH-20009: Community Bridges $320,700
21-CDBG-NH-20010: Second Harvest $119,840
23A-CDBG-20002: Community Center $3,300,000
24-CDBG-10001: Jade Street Park, Grey
Bears and Second Harvest
$3,600,000
CDBG-CV Funding (COVID 19) $491,404
TOTAL $7,888,600
Discussion: Jurisdictions are eligible to apply for up to $3.6 million with requests for up to three activities.

The following activities are eligible under the 2025 CDBG grant:

1. Public Services:
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a. Maximum amount: $300,000
b. Maximum number of public services: 2
c. Eligible public services include: food distribution, Meals on Wheels, homeless services, recreational services, health services, crime prevention, and public safety.

2. Projects include Public Improvement / Public Facilities a. Maximum amount: $3.3 Million
b. Maximum number of projects: 1
c. Eligible projects include: streets, sidewalks, storm drains, parks, senior centers, etc. d. Projects must demonstrate readiness at time of application, i.e. NEPA, cost estimate, bidready plans and specifications.

3. Programs
a. Maximum amount: $1.5 million
b. Maximum number of programs: 1
c. Programs include:

1. Housing Programs: Owner occupied rehabilitation program, homeownership assistance, code enforcement, housing counseling, etc.

2. Economic Development Programs: Direct financial assistance to for-profit business, microenterprise assistance, and technical assistance.

4. Planning:
a. Maximum amount: $300,000
b. Maximum number of planning projects: 2
c. Examples include:

1. Comprehensive Plans

2. Capital Improvement Plans

3. Functional Plans for housing, land use, transportation, open space, and recreation.

4. Feasibility studies for future improvements

5. Water/sewer/storm drainage master plans
In order to be considered eligible, a suggested activity must meet one or more of the three National Objectives listed in CDBG Federal Statutes:
 Benefit to low- and moderate-income persons;
 Prevention or elimination of slums and blight; or
 Meeting an urgent community need which pose an immediate threat to the health and welfare of the community (State designates when the “urgent need” objective is allowed for a NOFA).

The benefit to low- and moderate-income persons is the most predominately used National Objective. 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 benefits individually qualified households (i.e., each household is income certified). Based on current census data, the City no longer qualifies as a “whole” to meet the 51% benchmark, thus it is required to find projects whose service area fall in specific block groups that meet that minimum (map included as Attachment 1).

For the 2025 NOFA, HCD eliminated the Over the Counter (OTC) component which the City has utilized successfully in the last two years. These applications will no longer be awarded on a first come first served basis but will be competitively ranked and rated on a scoring matrix. The scoring matrix focuses on the following areas: census data, poverty score, capacity, past history, reporting compliance, application completeness, etc. In addition, this year’s NOFA will include a set-aside of money for applicants who haven’t been awarded CDBG funds in the past five NOFA cycles. This set-aside will reduce the available amount of funds that the City can compete for as they have been awarded numerous times in the last five years.
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Item 9 D.

As previously mentioned, the purpose of this meeting is to provide an overview of the CDBG program and 2025 NOFA and give residents the opportunity to provide feedback on potential applications. In addition, staff will be holding another public meeting next month to solicit further community feedback and engagement. Staff will return to Council with a summary on the public input received and project options for Council consideration consistent with CDBG requirements.

Fiscal Impact: CDBG funds are 100% grant funds. Adams Ashby Group, the City CDBG consultant, will be preparing the application for $10,000. Costs associated with the preparation of the application are an eligible expenditure under the existing CDBG grants that the City currently has with HCD. The City’s application for grant funds under this NOFA will not incur any impact to the General Fund.

Attachments:

1. Census Map
Report Prepared By: Katie Herlihy, Community and Economic Development Director Reviewed By: Julia Gautho, City Clerk and Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
172
Item 9 D.

Qualified CDBG Census Block
CDBG Qualified Areas
173
Item 9 D.

Community Development Block
Grant (CDBG)Program
- 2025 Notice of Funding Availability
Public Hearing on October 23, 2025
174
Item 9 D.
2025 Notice of Funding
Availability (NOFA)
• Capitola in non-entitlement program
• Housing and Community Development Department (HCD)
released approximately $27 million on September 30, 2025 • Funds are provided as grants for wide range of activities, including housing, public services, economic development, infrastructure and more
• All CDBG funds must meet a national objective: benefit low/moderate income persons, aid in prevention of slums and blight, or meet an urgent need
175
Item 9 D.
2025 NOFA – What’s New
• All application will be competitively scored – Over The Counter (OTC) component has been removed.
• A set-aside for applicants who haven’t been awarded
CDBG funds in past 5 NOFA cycles has been established.
• Scoring system has been updated
176
Item 9 D.
2025 Notice of Funding
Availability
• Jurisdictions are eligible to submit an application with up to three (3) activities of the following combinations
• 1 Project + 1 Program + 1 Public Service or Planning –OR- • 1 Project + 2 Public Service or Planning –OR-
• 1 Program + 2 Public Service or Planning
• **NOTE: 2 Projects, 3 Public Services, or 3 Planning
applications are not allowed
• Maximum award is $3.6 million per jurisdiction
• Applications are due January 30, 2026 at 3 PM.
177
Item 9 D.

Activities: Projects (maximum 1)
• Public Improvement / Public Facilities
• Examples include: water, sewer, streets, sidewalks,
storm drain, parks, senior centers, etc.
• Application maximum for projects - $3.3 Million
• Projects must demonstrate readiness at time of
application, i.e. NEPA, cost estimate, bid-ready
plans and specs, etc.
178
Item 9 D.

Activities: Programs (maximum 1)
• Housing Programs: Owner occupied rehabilitation
program, homeownership assistance, code
enforcement, housing counseling, etc.
• Economic Development Programs: Direct financial
assistance to For-Profit business, microenterprise
assistance, and technical assistance
• Application maximum for programs - $1.5 Million
• City previously used under CV funds and 2014 CDBG
179
Item 9 D.

Activities: Public Services
(maximum 2)
• Application maximum for public services: $300,000
• CDBG funds may be used to pay for labor, supplies and material for an eligible public service, which may include:
• Homeless Services
• Recreational Services
• Health Services
• Meals on Wheels
• Food Distribution
• Crime prevention and Public Safety, and more…….
180
Item 9 D.

Activities: Planning
• Application maximum for Planning: $300,000
• Examples include:
• Comprehensive Plans
• Capital Improvement Plans
• Functional Plans for housing, land use, open space and recreation, transportation, etc.
• Feasibility studies for future improvements
• Water/Sewer/Storm Drainage master plans, and more…
181
Item 9 D.
182
Item 9 D.

Recommendations
• Open Public Hearing
• Receive any public comment
• Close Public Hearing
• Council Discussion
• No Action
183
Item 9 D.

Capitola City Council
Agenda Report
Meeting: October 23, 2025
From: Public Works Department
Subject: Award of Construction Contracts for the Treasure Cove Playground and Jade Street Park Restroom Renovation Projects
Recommended Action: Adopt a resolution awarding the construction contracts for the Treasure Cove Playground Project to SSB Construction, Inc. in the amount of $2,446,238, and for the Jade Street Park Restroom Renovation Project to CWS Construction Group, Inc. in the amount of $484,000, authorizing the City Manager to execute both contracts, and authorizing staff to issue notices to proceed upon final execution.

Background: In June 2025, the City Council approved construction plans for the Treasure Cove Playground, Jade Street Park public restroom renovation, and Community Center patio improvements, and authorized staff to advertise the projects for competitive bids. Funding for these improvements is supported by local funds, community fundraising led by County Park Friends, and the City’s recently awarded $3.2 million Community Development Block Grant (CDBG) allocation, which fully funds the playground, restroom, and patio scopes.

The Treasure Cove Playground will replace the existing 1999-era playground with a universally accessible, ocean-themed play space designed with extensive public input. The restroom renovation will modernize the existing facility, improving accessibility and capacity. Together with the ongoing Community Center Renovation Project, currently under construction by SSB Contracting, Inc., these projects complete the City’s commitments under the Long-Term Use Agreement (LTUA) with the Soquel Union Elementary School District for substantial upgrades at Jade Street Park.

Discussion: The Treasure Cove Playground Project was advertised for construction bids on July 21, 2025. A mandatory pre-bid conference and site walk were held on August 5, 2025, and bids were opened on August 21, 2025. The City received four bids, listed below.

Bidder Bid Amount Responsiveness Status
S&H Construction $2,168,600 Non-Responsive
Galeb Paving $2,285,000 Non-Responsive
SSB Contracting, Inc. $2,446,238 Lowest Responsive & Responsible CWS Construction Group, Inc $2,785,000 Responsive & Responsible To be considered for the project, a bid must meet the qualifications outlined within the Notice Inviting Bids and comply with the requirements of the bid documents (responsive). For a bid to be considered responsible, a bidder must show that they are capable of performing the work. Upon review, two of the four bids were determined to be non-responsive. S&H Construction submitted several required CDBG forms that were incomplete or unsigned, and Galeb Paving provided post-bid documentation that did not match subcontractor information submitted at bid time. Because these deficiencies involve mandatory CDBG compliance, both bids were determined to be non-responsive. The lowest responsive and responsible bidder is SSB Construction, Inc. in the amount of $2,446,238.

The Jade Street Park Restroom Renovation Project was advertised for construction bids on September 12, 2025. A mandatory pre-bid conference and site walk were held on October 1, 2025, and bids were opened on October 14, 2025. The City received three bids, listed below. 184
Item 9 E.

Bidder Bid Amount Responsiveness Status
CEN-CON, Inc. $583,000 Responsive & Responsible
CWS Construction Group, Inc. $484,000 Lowest Responsive & Responsible SSB Contracting, Inc. $484,266 Responsive & Responsible All three bids were complete and met the requirements of the bid documents. Staff verified that CWS Construction Group, Inc. met all CDBG, licensing, and bonding requirements and is the lowest responsive and responsible bidder at $484,000.

The combined Jade Street Park improvements — including the playground, restroom, patio, and Community Center renovation — remain within budget overall, with total costs approximately $5,000 over the full program budget, which already includes contingency for the Community Center renovation and patio scopes. To maintain a prudent contingency for the playground and restroom scopes, staff reviewed modest design adjustments to balance cost and functionality.

To achieve an estimated $180,000 contingency (approximately 6 %) for the playground and restroom projects, staff evaluated several potential scope reductions in coordination with the City’s fundraising partner, County Park Friends. The group supported the proposed adjustments, which preserve accessibility and the overall visitor experience while simplifying higher-cost features.

Priority Potential Change Order Approx.

Cost
Impact
Notes
1 Remove artificial-turf seating area
within the playground, eliminate
concrete seat wall, and shorten
ornamental fencing
$ 96,000
savings
Removes decorative seating and
excess fencing while maintaining
sensory value and reducing long-term
maintenance
2 Remove upgrade to concrete
walkway; retain existing walkway
(no new concrete)
$ 83,000
savings
Maintains access at lower finish
quality and reduces hardscape cost
Total Potential Savings $ 179,000 Represents available contingency for unanticipated costs
Staff intends to implement these change orders sequentially based on funding needs and project timing.

The goal is to implement as few changes as possible—or in a way that minimizes project impacts—while maintaining sufficient contingency to fund unanticipated needs. These refinements do not alter the functionality or community benefit of the playground and are appropriate given the low risk of unforeseen conditions for this reconstruction on a previously developed site with well-documented utilities and subsurface conditions. Staff will also work with the contractor to identify other potential cost savings that do not negatively impact functionality or community benefit.

Fiscal Impact: The four Jade Street Park Projects are funded by a combination of General Fund allocations, County Park Friends fundraising, a CNRA grant, and 2024–2025 CDBG allocations. Funding sources are summarized below.

Jade Street Park Improvements – Project-Level Budget Detail 185
Item 9 E.

Category Amount Funding Source(s)
Community Center
Pre-Project Modifications $34,000 General Fund
BLRA Design $580,000 General Fund
Cummings Construction Management (Pre-CDBG) $300,000 General Fund PG&E Service Upgrade $45,000 General Fund
SSB Construction, Inc. Contract $4,726,000 CNRA ($1,000,000), CDBG 2024 ($3,365,000),
General Fund ($361,000)
Construction Contingency $477,000 General Fund
Playground
Verde Design $194,000 General Fund
Verde Construction Support $99,000 General Fund
Construction $2,446,500 CPF Fundraising
($965,000), CDBG 2025
($1,375,000)
Restroom
BLRA Design and Construction Support $58,000 General Fund Construction $484,000 CDBG 2025
Patio
BLRA Design and Construction Support $70,000 General Fund SSB Construction, Inc. Contract $1,055,000 CDBG 2025
Construction Management
Cummings Construction Management (New Phase) $242,000 CDBG 2025 Total $10,810,500
Jade Street Park Improvements – Overall Budget Summary
Funding Source Revenue Expenditure
General Fund – Community Center $1,800,000 $1,800,000
CNRA Grant – Community Center $1,000,000 $1,000,000
General Fund – Playground $475,000 $480,500
CPF Fundraising – Playground $965,000 $965,000
CDBG 2024 (Community Center) $3,365,000 $3,365,000
CDBG 2025 (Playground, Restroom, Patio) $3,200,000 $3,200,000 Total $10,805,000 $10,810,500
186
Item 9 E.

Environmental Determination: The projects are categorically excluded under the National Environmental Policy Act (NEPA) pursuant to 24 CFR 58.35(a) and exempt under the California Environmental Quality Act (CEQA) Section 15301 for existing facilities. The improvements will remain in the same use and will not result in significant environmental impacts.

Attachments:

1. Resolution

2. Draft Construction Contract – Treasure Cove Playground

3. Draft Construction Contract – Jade Street Park Restroom Renovation Report Prepared By: Jessica Kahn, Public Works Director Reviewed By: Julia Gautho, City Clerk; Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
187
Item 9 E.

RESOLUTION NO._______

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAPITOLA

AWARDING CONSTRUCTION CONTRACTS FOR THE TREASURE COVE PLAYGROUND

PROJECT AND THE JADE STREET PARK RESTROOM RENOVATION PROJECT WHEREAS, in June 2025, the City Council approved plans and specifications for the Treasure Cove Playground and Jade Street Park Restroom Renovation projects, components of the broader Jade Street Park improvements, and directed staff to solicit bids for construction; and WHEREAS, the City of Capitola published and distributed Notices Inviting Bids in accordance with Capitola Municipal Code Section 3.16.095 (Public Projects – Formal Bid Procedures); and
WHEREAS, for the Treasure Cove Playground Project, four bids were received on August 21, 2025; and
WHEREAS, two bids were deemed non-responsive due to deficiencies in mandatory Community Development Block Grant (CDBG) compliance, and SSB Construction, Inc. was determined to be the lowest responsive and responsible bidder with a bid amount of $2,446,238; and
WHEREAS, for the Jade Street Park Restroom Renovation Project, three bids were received on October 14, 2025; and
WHEREAS, CWS Construction Group, Inc. was determined to be the lowest responsive and responsible bidder with a bid amount of $484,000; and NOW, THEREFORE, BE IT RESOLVED that that the City Council of the City of Capitola, California, hereby awards the construction contracts as follows:
 Treasure Cove Playground Project – SSB Construction, Inc. – $2,446,238  Jade Street Park Restroom Renovation Project – CWS Construction Group, Inc. – $484,000
BE IT FURTHER RESOLVED that the City Council authorizes the City Manager to execute both construction contracts on behalf of the City and authorizes the Public Works Department to issue Notices to Proceed upon final contract execution.

I HEREBY CERTIFY that the above and foregoing Resolution was passed and adopted by the City Council of the City of Capitola at its regular meeting held on the 23 rd day of October, 2025,
by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
__________________________
Joe Clarke, Mayor
ATTEST:
________________________________
Julia Gautho, City Clerk
188
Item 9 E.

Agreement 00 5200 - 1 Treasure Cove at Jade Street Park DOCUMENT 00 5200

AGREEMENT
THIS AGREEMENT, dated this 23th day of October, 2025, by and between SSB Contracting, Inc. whose place of business is located at 1161 Terven Avenue, Salinas, CA (Contractor), and CITY OF CAPITOLA, a political subdivision of the State of California (Owner), acting under and by virtue of the authority vested in Owner by the laws of the State of California.

TREASURE COVE AT JADE STREET PARK
at 4400 Jade Street, Capitola, CA 95010
NOW, THEREFORE, in consideration of the mutual covenants hereinafter set forth, Contractor and Owner agree as follows:

ARTICLE 1 SCOPE OF WORK OF THE CONTRACT

1.01 Work of the Contract
A. Contractor shall complete all Work specified in the Contract Documents, in accordance with the Specifications, Drawings, and all other terms and conditions of the Contract Documents (Work).

1.02 Price for Completion of the Work
A. Owner shall pay Contractor the following Contract Sum of Two million four hundred forty-six thousand two hundred thirty-eight dollars ($2,446,238.00) for completion of Work in accordance with Contract Documents as set forth in Contractor’s Bid, attached hereto.

B. The Contract Sum includes all allowances (if any).

C. The Contract Sum is all inclusive and includes all Work; all federal, state, and local taxes on materials and equipment, and labor furnished by Contractor, its subcontractors, subconsultants, architects, engineers, and" vendors or otherwise arising out of Contractor's performance of the Work, including any increases in any such taxes during the term of this Agreement; and any duties, fees, and royalties imposed with respect to any materials and equipment, labor or services. The taxes covered hereby include (but are not limited' to) occupational, sales, use, excise, unemployment, FICA, and income taxes, customs, duties, and any and all other taxes on any item or service that is part of the Work, whether such taxes are normally included in the price of such item or service or are normally stated separately. Notwithstanding the foregoing, each party shall bear such state or local inventory, real property, personal property or fixtures taxes as may be properly assessed against it by applicable taxing authorities.

COMMENCEMENT AND COMPLETION OF WORK

1.03 Commencement of Work
A. Contractor shall commence Work on the date established in the Notice to Proceed.

B. Owner reserves the right to modify or alter the Commencement Date.

1.04 Completion of Work
A. Contractor shall achieve Substantial Completion of the entire Work within 180 Calendar Days from the Commencement Date.

B. Contractor shall achieve Final Completion of the entire Work within 210 Calendar Days from the Commencement Date.
189
Item 9 E.

Agreement 00 5200 - 2 Treasure Cove at Jade Street Park ARTICLE 2 PROJECT REPRESENTATIVES

2.01 Owner’s Project Manager
A. Owner has designated the Public Works Director as its Project Manager to act as Owner’s Representative in all matters relating to the Contract Documents. If Project Manager is an employee of Owner, Project Manager is the beneficiary of all Contractor obligations to Owner including, without limitation, all releases and indemnities.

B. Project Manager shall have final authority over all matters pertaining to the Contract Documents and shall have sole authority to modify the Contract Documents on behalf of Owner, to accept work, and to make decisions or actions binding on Owner, and shall have sole signature authority on behalf of Owner.

C. Owner may assign all or part of the Project Manager’s rights, responsibilities and duties to a Construction Manager, or other Owner Representative.

2.02 Contractor’s Project Manager and Other Key Personnel A. Contractor has designated [________] as its Project Manager to act as Contractor’s Representative in all matters relating to the Contract Documents.

B. Contractor has designated the following other Key Personnel for the Project:

Name Position
ARTICLE 3 LIQUIDATED DAMAGES FOR DELAY IN COMPLETION OF WORK

3.01 Liquidated Damage Amounts
A. As liquidated damages for delay Contractor shall pay Owner Five Thousand dollars ($5,000.00) for each Day that expires after the time specified herein for Contractor to achieve Substantial Completion of the entire Work, until achieved.

B. As liquidated damages for delay Contractor shall pay Owner Two Thousand Five Hundred dollars ($2,500.00) for each Day that expires after the time specified herein for Contractor to achieve Final Completion of the entire Work, until achieved.

3.02 Scope of Liquidated Damages
A. Measures of liquidated damages shall apply cumulatively.

B. Limitations and stipulations regarding liquidated damages are set forth in Document 00 7200 (General Conditions).

ARTICLE 4 CONTRACT DOCUMENTS

4.01 Contract Documents consist of the following documents, including all changes, Addenda, and Modifications thereto:

Document 00 5100 Notice of Award
Document 00 5200 Agreement
Document 00 5500 Notice to Proceed
Document 00 6113.13 Construction Performance Bond
Document 00 6113.16 Construction Labor and Material Payment Bond Document 00 6290 Escrow Agreement for Security Deposits Document 00 6325 Substitution Request Form
Document 00 6530 Release of Claims
Document 00 6536 Guaranty
Document 00 7200 General Conditions
190
Item 9 E.

Agreement 00 5200 - 3 Treasure Cove at Jade Street Park Document 00 7301 Supplemental General Conditions
Document 00 7316 Supplemental Conditions – Insurance and Indemnification
Document 00 7320 COVID Requirements
Document 00 7324 In-Use Off-Road Diesel-Fueled Fleets Regulation Document 00 7380 Apprenticeship Program
Document 00 9113 Addenda 1-4
Specifications Divisions 1 through 33

4.02 There are no Contract Documents other than those listed above. The Contract Documents may only be amended, modified or supplemented as provided in Document 00 7200 (General Conditions).

ARTICLE 5 MISCELLANEOUS

5.01 Terms and abbreviations used in this Agreement are defined in Document 00 7200 (General Conditions) and Section 01 4200 (References and Definitions) and will have the meaning indicated therein.

5.02 Contractor and Owner understand and agree that in no instance are the persons signing this Agreement for or on behalf of Owner or acting as an employee, agent, or representative of Owner, liable on this Agreement or any of the Contract Documents, or upon any warranty of authority, or otherwise. Contractor and Owner further understand and agree that liability of Owner is limited and confined to such liability as authorized or imposed by the Contract Documents or applicable law.

5.03 Pursuant to Labor Code Section 1771(a), Contractor represents that it and all of its Subcontractors are currently registered and qualified to perform public work pursuant to Labor Code Section 1725.5. Contractor covenants that any additional or substitute Subcontractors will be similarly registered and qualified.

5.04 In entering into a public works contract or a subcontract to supply goods, services or materials pursuant to a public works contract, Contractor or Subcontractor offers and agrees to assign to the awarding body all rights, title and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. § 15) or under the Cartwright Act (Chapter 2 (commencing with § 16700) of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, services or materials pursuant to the public works contract or the subcontract. This assignment shall be made and become effective at the time Owner tenders final payment to Contractor, without further acknowledgment by the parties.

5.05 Copies of the general prevailing rates of per diem wages for each craft, classification, or type of worker needed to execute the Contract, as determined by Director of the State of California Department of Industrial Relations and are deemed included in the Contract Documents, and shall be made available to any interested party on request. Pursuant to Labor Code Sections 1860 and 1861, in accordance with Labor Code Section 3700, every contractor will be required to secure the payment of compensation to Contractor’s employees. Contractor represents that it is aware of the provisions of Labor Code Section 3700 that require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that Code, and Contractor shall comply with such provisions before commencing the performance of the Work of the Contract Documents.

5.06 This Agreement and the Contract Documents shall be deemed to have been entered into in the City of Capitola, State of California, and governed in all respects by California law (excluding choice of law rules). The exclusive venue for all disputes or litigation hereunder shall be in the Superior Court for the County of Santa Cruz, California.

IN WITNESS WHEREOF the parties have executed this Agreement in quadruplicate the day and year first above written.

CITY OF CAPITOLA: CONTRACTOR:
191
Item 9 E.

Agreement 00 5200 - 4 Treasure Cove at Jade Street Park By: ______________________________
City Manager
Name: ______________________________
By: ______________________________
(Signature)
Its: _______________________________
Title (If Corporation: Chairman, President
or Vice President)
ATTEST:

By: ______________________________
City Clerk
By: ______________________________
(Signature)
Its: _______________________________
Title (If Corporation: Chairman, President
or Vice President)
1099 INFORMATION:

Contractor Taxpayer I.D. No.: ________________
APPROVED AS TO FORM:

By: ____________________________
City Attorney

END OF DOCUMENT
192
Item 9 E.

Agreement 00 5200 - 1 Jade Street Park Restroom Remodel DOCUMENT 00 5200

AGREEMENT
THIS AGREEMENT, dated this 23rd day of October, 2025, by and between CWS Construction Group, Inc. whose place of business is located at 1301 Grant Avenue, Novato, CA (Contractor), and CITY OF CAPITOLA, a political subdivision of the State of California (Owner), acting under and by virtue of the authority vested in Owner by the laws of the State of California.

JADE STREET PARK RESTROOM REMODEL
at 4400 Jade Street, Capitola, CA 95010
NOW, THEREFORE, in consideration of the mutual covenants hereinafter set forth, Contractor and Owner agree as follows:

ARTICLE 1 SCOPE OF WORK OF THE CONTRACT

1.01 Work of the Contract
A. Contractor shall complete all Work specified in the Contract Documents, in accordance with the Specifications, Drawings, and all other terms and conditions of the Contract Documents (Work).

1.02 Price for Completion of the Work
A. Owner shall pay Contractor the following Contract Sum of Four hundred eighty-four thousand dollars ($484,000.00) for completion of Work in accordance with Contract Documents as set forth in Contractor’s Bid, attached hereto.

B. The Contract Sum includes all allowances (if any).

C. The Contract Sum is all inclusive and includes all Work; all federal, state, and local taxes on materials and equipment, and labor furnished by Contractor, its subcontractors, subconsultants, architects, engineers, and" vendors or otherwise arising out of Contractor's performance of the Work, including any increases in any such taxes during the term of this Agreement; and any duties, fees, and royalties imposed with respect to any materials and equipment, labor or services. The taxes covered hereby include (but are not limited' to) occupational, sales, use, excise, unemployment, FICA, and income taxes, customs, duties, and any and all other taxes on any item or service that is part of the Work, whether such taxes are normally included in the price of such item or service or are normally stated separately. Notwithstanding the foregoing, each party shall bear such state or local inventory, real property, personal property or fixtures taxes as may be properly assessed against it by applicable taxing authorities.

COMMENCEMENT AND COMPLETION OF WORK

1.03 Commencement of Work
A. Contractor shall commence Work on the date established in the Notice to Proceed (Commencement Date).

B. Owner reserves the right to modify or alter the Commencement Date.

1.04 Completion of Work
A. Contractor shall achieve Substantial Completion of the entire Work within 60 Working Days from the Commencement Date.

B. Contractor shall achieve Final Completion of the entire Work within 70 Working Days from the Commencement Date.
193
Item 9 E.

Agreement 00 5200 - 2 Jade Street Park Restroom Remodel C. Working days shall be determined in accordance with the General Conditions. Days may be staggered and not charged when work cannot proceed due to coordination, access limitations, or other constraints as determined by the Owner’s Project Manager.

ARTICLE 2 PROJECT REPRESENTATIVES

2.01 Owner’s Project Manager
A. Owner has designated the Public Works Director as its Project Manager to act as Owner’s Representative in all matters relating to the Contract Documents. If Project Manager is an employee of Owner, Project Manager is the beneficiary of all Contractor obligations to Owner including, without limitation, all releases and indemnities.

B. Project Manager shall have final authority over all matters pertaining to the Contract Documents and shall have sole authority to modify the Contract Documents on behalf of Owner, to accept work, and to make decisions or actions binding on Owner, and shall have sole signature authority on behalf of Owner.

C. Owner may assign all or part of the Project Manager’s rights, responsibilities and duties to a Construction Manager, or other Owner Representative.

2.02 Contractor’s Project Manager and Other Key Personnel A. Contractor has designated [________] as its Project Manager to act as Contractor’s Representative in all matters relating to the Contract Documents.

B. Contractor has designated the following other Key Personnel for the Project:

Name Position
ARTICLE 3 LIQUIDATED DAMAGES FOR DELAY IN COMPLETION OF WORK

3.01 Liquidated Damage Amounts
A. As liquidated damages for delay Contractor shall pay Owner Five Thousand dollars ($5,000.00) for each Day that expires after the time specified herein for Contractor to achieve Substantial Completion of the entire Work, until achieved.

B. As liquidated damages for delay Contractor shall pay Owner Two Thousand Five Hundred dollars ($2,500.00) for each Day that expires after the time specified herein for Contractor to achieve Final Completion of the entire Work, until achieved.

3.02 Scope of Liquidated Damages
A. Measures of liquidated damages shall apply cumulatively.

B. Limitations and stipulations regarding liquidated damages are set forth in Document 00 7200 (General Conditions).

ARTICLE 4 CONTRACT DOCUMENTS

4.01 Contract Documents consist of the following documents, including all changes, Addenda, and Modifications thereto:

Document 00 5100 Notice of Award
Document 00 5200 Agreement
Document 00 5500 Notice to Proceed
194
Item 9 E.

Agreement 00 5200 - 3 Jade Street Park Restroom Remodel Document 00 6113.13 Construction Performance Bond
Document 00 6113.16 Construction Labor and Material Payment Bond Document 00 6290 Escrow Agreement for Security Deposits Document 00 6325 Substitution Request Form
Document 00 6530 Release of Claims
Document 00 6536 Guaranty
Document 00 7200 General Conditions
Document 00 7301 Supplemental General Conditions
Document 00 7316 Supplemental Conditions – Insurance and Indemnification
Document 00 7320 COVID Requirements
Document 00 7324 In-Use Off-Road Diesel-Fueled Fleets Regulation Document 00 7380 Apprenticeship Program
Document 00 9113 Addenda [LIST ADDENDA ISSUED]
Specifications Divisions 1 through 33
Drawings, Table, Schedules listed in Document 00 0115

4.02 There are no Contract Documents other than those listed above. The Contract Documents may only be amended, modified or supplemented as provided in Document 00 7200 (General Conditions).

ARTICLE 5 MISCELLANEOUS

5.01 Terms and abbreviations used in this Agreement are defined in Document 00 7200 (General Conditions) and Section 01 4200 (References and Definitions) and will have the meaning indicated therein.

5.02 Contractor and Owner understand and agree that in no instance are the persons signing this Agreement for or on behalf of Owner or acting as an employee, agent, or representative of Owner, liable on this Agreement or any of the Contract Documents, or upon any warranty of authority, or otherwise. Contractor and Owner further understand and agree that liability of Owner is limited and confined to such liability as authorized or imposed by the Contract Documents or applicable law.

5.03 Pursuant to Labor Code Section 1771(a), Contractor represents that it and all of its Subcontractors are currently registered and qualified to perform public work pursuant to Labor Code Section 1725.5. Contractor covenants that any additional or substitute Subcontractors will be similarly registered and qualified.

5.04 In entering into a public works contract or a subcontract to supply goods, services or materials pursuant to a public works contract, Contractor or Subcontractor offers and agrees to assign to the awarding body all rights, title and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. § 15) or under the Cartwright Act (Chapter 2 (commencing with § 16700) of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, services or materials pursuant to the public works contract or the subcontract. This assignment shall be made and become effective at the time Owner tenders final payment to Contractor, without further acknowledgment by the parties.

5.05 Copies of the general prevailing rates of per diem wages for each craft, classification, or type of worker needed to execute the Contract, as determined by Director of the State of California Department of Industrial Relations and are deemed included in the Contract Documents, and shall be made available to any interested party on request. Pursuant to Labor Code Sections 1860 and 1861, in accordance with Labor Code Section 3700, every contractor will be required to secure the payment of compensation to Contractor’s employees. Contractor represents that it is aware of the provisions of Labor Code Section 3700 that require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that Code, and Contractor shall comply with such provisions before commencing the performance of the Work of the Contract Documents.
195
Item 9 E.

Agreement 00 5200 - 4 Jade Street Park Restroom Remodel

5.06 This Agreement and the Contract Documents shall be deemed to have been entered into in the City of Capitola, State of California, and governed in all respects by California law (excluding choice of law rules). The exclusive venue for all disputes or litigation hereunder shall be in the Superior Court for the County of Santa Cruz, California.

IN WITNESS WHEREOF the parties have executed this Agreement in quadruplicate the day and year first above written.

CITY OF CAPITOLA:

By: ____________________________
City Manager
CONTRACTOR:

Name: ______________________________
By: ______________________________
(Signature)
Its: _______________________________
Title (If Corporation: Chairman, President
or Vice President)
ATTEST:

By: ______________________________
City Clerk
By: ______________________________
(Signature)
Its: _______________________________
Title (If Corporation: Chairman, President
or Vice President)
1099 INFORMATION:

Contractor Taxpayer I.D. No.: ________________
APPROVED AS TO FORM:

By: ____________________________
City Attorney

END OF DOCUMENT
196
Item 9 E.

Award of Construction
Contracts – Treasure
Cove Playground & Jade
Street Park Restroom
Renovation
City Council
October 23, 2025
197
Item 9 E.
• In June 2025, Council approved
construction plans for:
• Treasure Cove Playground
• Jade Street Park Restroom
Renovation
• Community Center Patio
Improvements
• Funded through local funds, County
Park Friends fundraising, $3.2M CDBG
grant
• Projects fulfill the commitments under
LTUA with Soquel Union Elementary
School District
Background Long-Term Development Process
Award of Construction Contracts
198
Item 9 E.
• Scope
• Demolition, grading,
utilities, stormwater
improvements
• Hardscape paths and
fencing
• Play zones: 2–5 yrs and 5–
12 yrs
• Site furnishings, irrigation
and landscaping
• Engineer’s Estimate: $2.34
million
• Construction Duration: 180
calendar days
Long-Term Development Process Treasure Cove Playground Overview Award of Construction Contracts
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Item 9 E.

Bidder Bid Amount Status
S&H Construction $2,168,600 Non-Responsive
Galeb Paving $2,285,000 Non-Responsive
Lowest Responsive &
Responsible SSB Construction $2,446,238
Responsive &
Responsible CWS Construction $2,785,000
Long-Term Development Process Treasure Cove Playground Bid Results Award of Construction Contracts
Advertised July 21, 2025 | Bids opened August 21, 2025
Lowest valid bid: SSB Construction, Inc. – $2,446,238
(4.7 % above estimate) 200
Item 9 E.

Responsive vs. Responsible Long-Term Development Process Award of Construction Contracts
• Did contractor submit all required documents?
• Does bid comply with City and federal requirements?
• Is bid package complete and consistent at time of bid opening? • If not, the bid is non-responsive and cannot be considered.

Responsive
• Does contractor have the experience, staff, and resources to perform the work?
• Do they have a record of reliability and compliance on similar projects?
• Can they deliver project on schedule and within standards? • If not, contractor may be deemed non-responsible even if the bid is responsive.

Responsible
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Item 9 E.

What is a “Valid Bid”? Long-Term Development Process
Award of Construction Contracts
• Include all required documents.
• Meet federal CDBG and City requirements.
• Match the bid information submitted at opening.

For a bid to count, it must:
• Number written down cannot be accepted.
• Even if it looks lower, it is not valid or enforceable. • In this case, the two bids that appeared to be
lowest are not valid and therefore are not
considered low bids at all.

If a bid is non-responsive:
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Item 9 E.
• Scope
• Two single-user, allgender restrooms with
adult changing tables
• New entries, finishes,
lighting, and fixtures
• Roof and rafter
repairs, updated
electrical
• Accessible paths
• Engineer’s Estimate:
$500,000
• Construction Duration: 90
calendar days
Long-Term Development Process Treasure Cove Playground Overview Award of Construction Contracts
203
Item 9 E.

Bidder Bid Amount Status
Lowest Responsive &
Responsible $484,000 CWS Construction Group, Inc.

Responsive &
Responsible $484,266 SSB Construction, Inc.

Responsive &
Responsible CEN-CON, Inc. $583,000
Restroom Renovation Bid Results Long-Term Development Process Award of Construction Contracts
Advertised September 12, 2025 | Bids opened October 14, 2025 Recommended Award: CWS Construction Group, Inc. – $484,000 204
Item 9 E.

Long-Term Development Process Scope Review & Budget Balancing Award of Construction Contracts
• Jade Street Park improvements remain within
overall $10.8M program budget
• Estimated costs are ~$5K over, a negligible variance
within Community Center contingency
• Projects must be awarded at bid amounts
• Adjustments would occur through change orders
• Staff reviewed minor scope refinements with
County Park Friends
• Maintain a new ~6% contingency ($180K) for the
playground and restroom scopes
205
Item 9 E.
206
Item 9 E.

Mulch
Fencing
Landscape
Mulch
A. Turf
Fencing
Landscape
Seat Wall
Remove synthetic turf area
and seat wall;
Modify fencing and install
new planting
Cost Impact ~$96,000
207
Item 9 E.

Retain DG path; do not
construct concrete
Cost Impact ~$83,000
208
Item 9 E.

Long-Term Development Process Scope Considerations
Award of Construction Contracts
Staff Recommendation: Implement cost-saving changes
only as needed based on funding needs and timing
Approx. Cost Notes
Impact
Priority Potential Change Order
Removes decorative
seating maintaining
sensory value
$ 96,000
savings
Remove artificial-turf and
concrete seat wall, and
shorten ornamental
fencing
1 Maintains access at
lower finish quality
$ 83,000
savings
Remove upgrade to
concrete walkway; retain
existing
2 Available for
unanticipated costs Total Potential Savings $ 179,000
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Item 9 E.

Long-Term Development Process Fiscal Impact – Jade Street (Full Site) Award of Construction Contracts
• General Fund – $1.8 M
• General Fund – $2.28 M (Community Center & Playground) • NRA Grant – $1.00 M
• County Park Friends – $0.97 M
• CDBG 2024 – $3.37 M (Community Center)
• CDBG 2025 – $3.20 M (Playground, Restroom, Patio)
Funding Sources
• Community Center – $6.16 M
• Playground – $2.74 M
• Restroom – $0.54 M
• Patio – $1.13 M
• Construction Management – $0.24 M
Major Expenditures
Total Program Budget: $10.81 million
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Item 9 E.

Project Timeline
Date / Phase Milestone
Winter 2023 - Summer 2023 Planning & Design
Fall 2024 Project Bid & Award
Week of October 27, 2025 Park Closed for Construction
Winter 2025 - Summer 2026 Construction Period
Summer 2026 Grand Opening Celebration
Award of Construction Contracts
211
Item 9 E.

Recommended Action
Adopt a resolution awarding
construction contracts for Treasure
Cove Playground Project to SSB
Construction, Inc. in the amount of
$2,446,238, and for Jade Street Park
Restroom Renovation Project to CWS
Construction Group, Inc. in the amount
of $484,000, authorizing City Manager
to execute both contracts, and
authorizing staff to issue notices to
proceed upon final execution.
212
Item 9 E.

Capitola City Council
Agenda Report
Meeting: October 23, 2025
From: City Manager Department
Subject: Administrative Policy I-42: Code of Conduct
Recommended Action: Approve revisions to Administrative Policy I-42: Council and Board Code of Conduct.

Background: In September 2019, the City Council requested that staff develop a code of conduct for City Council Members and appointed members of City advisory bodies. Council adopted Administrative Policy I-42: Council and Board Code of Conduct in September 2020.

The Code of Conduct was developed by a subcommittee of two City Council Members, who worked with staff and the City Attorney’s office.

As part of the FY 2025-26 Council goals, the Council identified review and update of the Code of Conduct as a priority. Staff presented an initial report on July 24, 2025, providing information about the complaint process, residency requirements, and the use of City stationery, and seeking Council direction regarding potential updates. Council directed staff to return with revisions reflecting Council feedback.

On October 9, 2025, the City Council continued this item to October 23rd.

Discussion:

1. Complaint Process
At the July 24th meeting, Council Members requested a more transparent process for handling complaints while ensuring closure if a complaint does not move forward. Based on that feedback, staff recommends the revisions below to the complaint procedure. These revisions comply with the Brown Act, and streamline and clarify the process for the Council, the community, and staff. The revisions also condense the procedure: rather than a meeting to discuss whether to agendize the complaint and possible dismissal, and another meeting to discuss the actual complaint, the revised procedure would allow the Council to consider and take action or dismiss the complaint in one meeting.  Scope of Complaints: Complaints may not challenge Council votes, policy decisions, or legislative actions.
 Filing: Complaints would be filed directly with the City Council at [email protected].  City Attorney Review: The Mayor, Vice Mayor, or Clerk would forward the complaint to the City Attorney.
 Receipt of Complaint: The Mayor, Vice Mayor, or Clerk would acknowledge receipt of the complaint within five (5) business days.
 Council Action/Closure: Within 45 days of receiving the complaint, at a Council meeting, any Councilmember may request the complaint be agendized for discussion at a future Council meeting. The matter will be agendized if [number TBD] Councilmembers vote in favor of the request. At the July 24th meeting there was Council discussion, but no final decision regarding whether the threshold to consider a Code of Conduct complaint should be two or three Councilmembers. The policy is currently drafted with this blank, and Council can make a final determination at the meeting.
 Closure: If, within 45 days of receipt of the complaint, the Council does not act to agendize it for discussion, the City Clerk or City Attorney will notify the complainant that the complaint has been dismissed.
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 Actions by Council in Response to Complaint: At a Council meeting, the Council may dismiss the complaint, pass a motion admonishing the subject of the complaint, censure the subject of the complaint, remove the subject from appointments representing the City (including Mayor and Vice Mayor), remove the subject from Boards and Commissions, request additional investigation, or take any other action permitted by law.

2. Use of City Letterhead
Staff revised Section 6.2.3 to limit the use of City letterhead to official City business.

Fiscal Impact: There is no fiscal impact associated with the recommended action.

Attachments:

1. Administrative Policy I-42 (Clean Version)

2. Administrative Policy I-42 (Redline Version)
Report Prepared By: Samantha Zutler, City Attorney
Reviewed By: Julia Gautho, City Clerk
Approved By: Jamie Goldstein, City Manager
214
Item 9 F.

ADMINISTRATIVE POLICY
Number: I-42
Issued: September 10, 2020
Jurisdiction: City Council
4913-4777-1502 v1

CITY COUNCIL AND COMMISSIONER

CODE OF CONDUCT
Table of Contents

1.0 Preamble .............................................................................................................................. 3

2.0 Core Values.......................................................................................................................... 3

3.0 Setting a Higher Standard within the Existing Framework ................................................. 4

4.0 Transparency in decision making. ....................................................................................... 4

4.1 Public Meetings................................................................................................................ 4

4.2 Council Communications & Serial Meetings................................................................... 4

4.3 Closed Session Discussions. ............................................................................................ 5

4.4 Closed Session Materials. ................................................................................................ 5

5.0 Fairness of Process............................................................................................................... 5

5.1 Decisions on the Merits.................................................................................................... 5

5.2 Disclose Information........................................................................................................ 5

5.3 Consider All Sides............................................................................................................ 6

5.4 Decorum........................................................................................................................... 6

5.5 Attentiveness. ................................................................................................................... 6

6.0 Ethical Decision Making...................................................................................................... 6

6.1 Avoiding the Appearance of Impropriety. ....................................................................... 6

6.2 Ethical Principles to Follow. ............................................................................................ 7

6.2.1 Avoid Personal Interests. .......................................................................................... 7

6.2.2 No Personal Gain. ..................................................................................................... 7

6.2.3 City Stationery. ......................................................................................................... 7

6.2.4 Appearing before Council......................................................................................... 7

6.2.5 Gifts........................................................................................................................... 7

7.0 Efficiency and Accountability ............................................................................................. 7

7.1 Members Should Not Interfere with Operations. ............................................................. 8 215
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7.2 Interaction of Members. ................................................................................................... 9

7.2.1 Positions of Mayor and Chairperson......................................................................... 9

7.2.2 At Public Meetings ................................................................................................... 9

7.2.3 Relations with Fellow Members............................................................................. 10

7.2.4 Public Communication and Appearance................................................................. 10

8.0 Enforcement....................................................................................................................... 11

8.1 Member Responsibility. ................................................................................................. 11

8.2 Council Authority........................................................................................................... 11

8.2.1 Training and Education........................................................................................... 11

8.2.2 Councilmembers. .................................................................................................... 11

8.3 Violation of Oath of Office. ........................................................................................... 12

8.3.1 Oath of Office. .........................................................Error! Bookmark not defined.

8.4 Violation of Protocols. ................................................................................................... 12

8.4.1 Complaint................................................................................................................ 12

8.4.2 Investigation.............................................................Error! Bookmark not defined.

8.4.3 Enforcement............................................................................................................ 12 APPENDIX A – LEGAL FRAMEWORK & RESOURCES....................................................... 14 APPENDIX B – GUIDELINES FOR MAKING ETHICAL DECISIONS ................................. 16 APPENDIX C – Receipt of Code of Conduct .............................................................................. 18 216
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1.0 Preamble
The Capitola City Council declares that citizens of the City of Capitola are entitled to have fair, open, ethical, efficient and accountable local government and that City officials should continually strive to earn the public’s confidence. Toward that end, these Protocols establish higher standards of conduct for members of the City Council and members of City boards and commissions (“Members”) than are currently required under the laws of the State of California.

The Members pledge to hold themselves and other Members responsible for observing the standards set forth in these Protocols, and to enforce these Protocols when necessary to preserve the integrity of City government.

2.0 Core Values
Responsibility
 I conduct myself in a courteous and respectful manner at all times during the performance of my official City duties.
 I will keep the common good as my highest purpose and focus on achieving constructive solutions for the public benefit
 I will avoid and discourage conduct which is divisive or harmful to the best interests of Capitola
 I make decisions based on the merits of an issue, including research and facts.  I am a prudent steward of public resources and actively consider the impact of my decisions on the financial and social stability of the City and its residents.

Integrity
 I am honest with my fellow City officials, City staff, members of the community, and others.
 I promote equity and non-discrimination in public agency decision-making.  I encourage diverse public engagement in our decision-making processes and support the public’s right to know.
 I do not accept gifts, services or other special considerations for personal benefit because of my public position.
 I excuse myself from participating in decisions when my or my immediate family’s financial interests may be affected by my actions as a City Official Respect/Value others
 I recognize the worth and dignity of individual members and appreciate their individual talents, perspectives and contributions; value in others.  I treat my fellow officials, staff and the public with patience, courtesy and civility, even when we disagree on what is best for the community. 217
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 I help create an atmosphere of respect and civility where individual members, City staff and the public are free to express their ideas and work to their full potential.  I understand that I am one of five members of the City Council and will work towards consensus building and gain value from diverse opinions.  I respect the distinction between the role of office holder and staff.

Accountability
 I am prepared to make decisions when necessary for the public’s best interests, whether those decisions are popular or not.
 I do not make promises on behalf of the City without concurrence from the City Council at a duly noticed public meeting.
 I take responsibility for my actions, even when it is uncomfortable to do so.  I do not use public resources, such as City staff time, equipment, supplies or facilities, for private gain or personal purposes.
 I refrain from disclosing confidential information concerning litigation, personnel, property, or other affairs of the City, without proper legal authority, nor use such information to advance my financial or other personal interests.

3.0 Setting a Higher Standard within the Existing Framework By adopting these Protocols, the Council intends to supplement and not to supersede California’s existing legal framework applicable to local governments. Similarly, the Council intends that these Protocols will not merely restate existing legal obligations but will establish a higher standard of conduct for Members in the governance of the City.

Members are referred to Appendix “A” (Legal Framework & Resources) for pertinent resources. Members are expected to be familiar with and to seek guidance about the applicability of the legal framework.

4.0 Transparency in decision making.

Transparency in decision making is of the utmost importance in maintaining ethical, representative local governance. Toward that end, Members will adhere to the following standards:

4.1 Public Meetings.

Members will hold public meetings in accordance with the Ralph M. Brown Act (the “Brown Act”). Members will seek guidance from the City Attorney as to the Brown Act requirements and will apply those provisions conservatively in favor of the public’s right to participate in public decisions.

4.2 Council Communications & Serial Meetings.

Members will not engage in “serial meetings” with colleagues – a discussion of City issues among a majority of Councilmembers or Commissioners either collectively (i.e. all meeting together) or in a sequence (A talks to B who talks to C). Members 218
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will not use other persons as intermediaries to accomplish a serial meeting or to circumvent the Ralph M. Brown Act.

4.3 Closed Session Discussions.

As part of a properly agendized meeting, Members may only hold sessions closed to the public, pursuant to the advice of the City Attorney, in accordance with the commonly accepted interpretation of Brown Act requirements. Discussions held in closed session are to be directly limited to the matter at hand. Such discussions, along with materials reviewed, are confidential and shall not be disclosed except as the City Attorney may advise.

4.4 Closed Session Materials.

Confidential materials provided in preparation for and during closed sessions must be returned to the City Attorney at the conclusion of the closed session.

5.0 Fairness of Process
Members will comply with the meeting and hearing procedures set forth by these protocols, the Brown Act, and Rosenberg’s Rules of Order. Additionally, in order to cultivate an environment of fairness and to encourage public confidence in City decisions, Members will adhere to the following standards of conduct:

5.1 Decisions on the Merits.

Members will base their decisions on the facts and merits of each matter, not upon personal or other biases, and will strive to make decisions that are in the best interests of the community as a whole.

5.2 Disclose Information.

Prior to any deliberations on a project or matter at a public meeting, Members shall publicly disclose information about the matter that they have obtained from sources, not presented in the staff report (e.g. their own site visit, from the public, from the applicant, etc.), which may influence their decision or that of Members.

Remain neutral on quasi-judicial hearings. A quasi-judicial hearing occurs when; a) a hearing is held to apply a rule or standard to an individual person, project or circumstance;
b) it involves the taking of evidence;
c) it results in the rendering or a written decision issued by the hearing officer or tribunal (including adoption of findings); and 219
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d) the written decision is based on the facts and arguments submitted at the hearing.

Elected and appointed officials are obligated to remain neutral and unbiased regarding quasi-judicial matters prior to their vote on the matter.

5.3 Consider All Sides.

Members should consider the various viewpoints related to a project or matter and afford project applicants and interested persons an adequate opportunity to comment upon a project or matter before action is taken.

5.4 Decorum.

To ensure the fairness and integrity of the deliberative process, the presiding officer should preserve decorum and conduct meetings in an orderly manner.

Members should remain attentive of the business at hand and conduct themselves in a manner that is civil, polite and respectful. Members should refrain from unnecessarily interrupting speakers and not engage in abusive conduct, personal charges or verbal attacks upon the character or motives of other Members, City staff and/or the public.

5.5 Attentiveness.

Members should remain attentive at meetings. Members should not make or receive phone calls, text messages or e-mails from the dais. Members should place cellphones and other communication devices in “off” or “silent” mode.

Members should refrain from side-bar conversations with other Members while at the dais.

6.0 Ethical Decision Making
Members should observe the highest standards of ethical conduct in dealing with the community and carrying out their official duties. In every action and decision, Members should avoid even the appearance of impropriety and apply the guidelines for “Making Ethical Decisions” provided below:

6.1 Avoiding the Appearance of Impropriety.

6.1.1 Make Ethical Decisions. Members are referred to Appendix “B” (Guidelines for Making Ethical Decisions) for the process Members are encouraged to utilize in making City related decisions.

6.1.2 You May Need to Refrain from Participating. Conflict-of-interest issues are complex. Some situations are not “legal” conflicts of interest but may nevertheless pose the “appearance of impropriety” to the public. If a Member believes they have a conflict, the Member should contact the City 220
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Attorney or FPPC for advice as soon as possible. The Member should not participate in any matter in which they have a conflict.

6.1.3 Get Help. To assist in making a decision not to participate, Members should consult the guidelines for Making Ethical Decisions (below), the City Attorney or the FPPC helpline, and/or their constituents.

6.2 Ethical Principles to Follow.

6.2.1 Avoid Personal Interests.

Members are prohibited from using their official positions to influence decisions in which they have a personal financial interest, are members of an interested organization, or have a personal relationship that would be affected.

6.2.2 No Personal Gain.

Members shall not take advantage of, or use, public property and equipment, public services, confidential public information, public resources, or other opportunities afforded by their office, for personal gain.

6.2.3 City Stationery.

City stationery or other City resources may not be used by Members to promote personal interests. City letterhead may only be used by Members for official City business.

6.2.4 Appearing before Council.

Members shall not appear before the City Council or other City board or commission representing any private interest or community group.

Members are permitted to speak as a member of the public on any matter related solely to the Council Member’s personal interest but may not participate in the matter as a Member.

6.2.5 Gifts.

Members will refrain from accepting gifts, favors or promises of future benefits that might compromise their independence, or the appearance that they are independent and unbiased.

7.0 Efficiency and Accountability
The City of Capitola operates under a council-manager form of government under which the Council’s role is to provide legislative direction, set City policy and monitor its 221
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implementation. The City Manager serves as the City’s administrative head and is responsible for directing the day-to-day operations of the City and for administering all City business.

7.1 Members Should Not Interfere with Operations.

Implementing this Rule:
a) City Manager is responsible for City Personnel Members will not interfere with the appointment, evaluation, discipline, or removal by the City Manager of any Department Head or employee of the City. (i) Exception – City Attorney. The City Attorney is hired, appointed, evaluated, and removed directly by the Council. b) Orders and Direction to Employees. Only the City Manager or applicable Department Head may give orders and direction to City employees. Members may not direct the work or actions of City employees. (CMC Section 2.08.090)
(i) Requests for Information. All Members should direct requests for information, research, or reports to the City Manager or applicable Department Head. If there is a legal question it should be directed to the City Attorney. Questions regarding elections and disclosure statements may be addressed to the City Clerk.
(ii) Responses. Substantive responses to Member’s information inquiries will be provided to all Members of the legislative body (e.g. a response to a request by a Councilmember will be provided to all Councilmembers).
(iii) Notifications. Where the City Manager or Department Head provides general facts or information about the City, a program, or a City event to one Member, the information should be provided to all Members of the legislative body. c) Staff Liaisons to City Commissions / Committees and Outside Agencies. Members serving as the City’s representative to a City Commission or Committee or to an outside agency may interact directly with the City employee assigned to that effort by the City Manager.
d) Operations and Service Levels. Criticisms of City operations and service levels may be made only to the City Manager and not to City employees or Department Heads, unless first cleared through the City Manager or expressed in general during a regular Council, board or commission meeting.
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e) Political Solicitation & Activities. Members will not solicit political support from City employees (e.g., financial contributions, display of posters or lawn signs, name on support list, etc.). Members will not engage in political activities at City Hall or other City facilities. This provision is not intended to impair the free exercise of federal and state constitutional and statutory rights by City employees.

7.2 Interaction of Members.

7.2.1 Positions of Mayor and Chairperson.
a) Honorary Presiding Officer. The positions of Mayor and Mayor Pro Tempore on the City Council and the positions of chairperson and vice chairperson on City boards and commissions are generally considered honorary and ceremonial, but also serve an important procedural role as the presiding officer at meetings of their body.

Persons appointed to those positions by a majority of their council, board or commission serve at the pleasure of their appointing body. b) Maintain Order, Decorum & Procedure. The Mayor and chairperson are responsible for maintaining order and decorum of their body’s meetings and enforcing these policies where necessary. They are responsible for the order of business at meetings, the efficient flow of business during meetings, and for preserving the right of the public to be heard in an orderly fashion.
c) Ceremonial Head. The Mayor is the ceremonial head of the City and signs all proclamations, officiates at all City functions, and welcomes visiting dignitaries.
d) Spokesperson. The Mayor is the official spokesperson for the City and has the primary responsibility for communications with the press and public on official City business, with the exception of a state of emergency. During a state of emergency, the Director of Emergency Services may serve as the primary contact for the public, other governing officials and the press. The Mayor will work on press releases and statements to the press with the City Manager and will report the majority position adopted by the Council, and not his or her personal opinion on matters.

7.2.2 At Public Meetings
a) Follow Rules of Order, Decorum and Procedure. Members should adhere to the rules of order, decorum and procedure for the conduct of public meetings adopted by the City Council from time to time.

Abiding by these rules will maintain civility and the orderly conduct of business.
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b) Keep Conduct Professional. Members should conduct themselves in an orderly, professional, and business-like manner to ensure that the business of the City shall be attended to efficiently and thoroughly. c) Keep Comments On-Topic. Public meetings are to attend to and resolve City business. Members should avoid being overly repetitious and should endeavor to limit their comments to the subject matter at hand. Members are encouraged to fully express their views and to explore the views of others, but Members should also be mindful of avoiding lengthy or unproductive debates. d) Ask Questions in Advance. When preparing for public meetings, Members are encouraged to provide their questions far enough in advance to the City Manager or City employee responsible for the meeting so that meaningful information and responses can be shared at the meeting.

7.2.3 Relations with Fellow Members
a) Civility. Members should always practice civility. By doing so, Members help the City to fulfill its potential by putting the common good ahead of personal rivalries or irritations. Civility is best fostered by a collective commitment to following established rules of procedure.
b) Different Points of View. Members should exercise tolerance for the different opinions, perspectives, and points of view of their colleagues and recognize their right to express these views on matters of City business within the established rules of decorum and order of business.
c) Managing Conflict. Members should manage disagreement with civility and professionalism and not allow disagreement to turn into open conflict or hostility. Members should refrain from abusive conduct, personal charges or verbal attacks upon the character or motives of other Members, City employees and/or members of the public.

7.2.4 Public Communication and Appearance
a) Personal versus City Positions. It is an important part of each Member’s responsibility to communicate with the public. In communications regarding City business, it is important to distinguish a Member’s personal views and opinions and the adopted City position. When appearing before another governmental agency or organization, the Member should clearly set forth the City’s official position, and then may express their own position.
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(i) Expressing Dissent. Each Member has a right under the First Amendment to express their views and opinions, even if
contrary to the official position of the City. However, Members should express their dissenting views with tact and civility. b) Use of Official Titles. Members may use their official title only when conducting official City business, for informational purposes, or as an indication of background and expertise, after having carefully considered whether they are exceeding or appearing to exceed their authority.
c) Response to Public Communication. Members are encouraged to respond promptly to letters, telephone calls, electronic communication, and other communications received from member of the Public who have requested a response. Members are not required to respond to commercial solicitations or to anonymous, obnoxious or harassing communications.

8.0 Enforcement

8.1 Member Responsibility.

Upon assuming office each Member shall sign a statement affirming that they have received and reviewed these Protocols. Each Member is responsible for adhering to these Protocols as well as the laws that comprise the basic legal framework for local government.

8.2 Council Authority.

The City Council has authority, but not the legal obligation, to monitor each Member’s adherence to these Protocols and to take corrective action for violations, as provided below.

8.2.1 Training and Education.

The City Council may sponsor or require periodic training opportunities for Members to become more familiar with the Protocols and the legal framework (See Appendix “A”).

8.2.2 Councilmembers.

Under California law, the Council does not have the legal authority to remove Members elected or appointed to the City Council or to otherwise deprive them of their office. However, as provided in Section 8.4.3, a majority of the Councilmembers may remove a Councilmember from all Council honorary and/or ceremonial positions and ad-hoc and standing committees, as well as from positions with other governmental agencies or other organizations they hold by virtue of appointment by the City Council. 225
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8.3 Oath of Office.

All Members take an oath upon assuming office, pledging to uphold the constitution and laws of the City, the State and the Federal government. In addition, Members commit to disclosing to the appropriate authorities and/or to the City Council any behavior or activity that may qualify as corruption, abuse, fraud, bribery or other violation of the law.

8.4 Violations.

This Code of Conduct is an expression of the standards of conduct for all elected and appointed Members. This section establishes a process for the filing of and the City’s response to complaints that a member has violated this Code of Conduct. This section does not apply to any legislative action taken by a Member, including how a Member votes on an item, or any position a Member takes on any particular item that is before the Council.

8.4.1 Complaint.

Where any Board or Commission Member, Councilmember, City employee, or resident of the City believes that a Member has violated this Code of Conduct, they may file a written complaint with the City Council at the following email address: [email protected].

The Mayor, Vice Mayor, or City Clerk shall provide the complaint to the City Attorney.

The Mayor, Vice Mayor, or City Clerk will acknowledge receipt to the complainant within five business days of receipt.

Within 45 days of receipt of the complaint, at a City Council meeting, any Councilmember may request the complaint be agendized for discussion at a future Council meeting. If ___ Councilmembers (for a total of ____) agree, discussion will be agendized at a future meeting.

If, within 45 days of receipt of the complaint, the Council does not act to agendize it for discussion, the City Clerk or City Attorney will notify the complainant that the complaint has been dismissed.

8.4.2 Meeting Regarding Complaint.

If the Council chooses to discuss the complaint at a Council meeting, the Member who is subject to the complaint shall be notified of the meeting and have an opportunity to respond to the complaint at the meeting.

8.4.3 Actions by Council in Response to Complaint.
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In response to a complaint, the Council may: 1) request further investigation or information; 2) take any of the actions listed below; or 3) take any other action that is permitted by law. Any action requires a majority vote by the Council.
(i) Dismissal. The Council may dismiss the complaint.
(ii) Censure. The Council may censure the Member. Censure is an official expression of disapproval and reprimand by the Council.
(iii) Removal from appointments. The Council may remove the Member from any appointive positions representing the City or, if they are currently serving as Mayor or Vice Mayor, remove them from that position.
(iv) Removal of Board Member or Commissioner. The Council may remove a Board Member or Commissioner from the
Board or Commission on which the Board Member or
Commissioner serves.
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APPENDIX A – LEGAL FRAMEWORK & RESOURCES

1.0 Legal Framework
Law or Regulations Citation
California Laws
California Constitutions Article XI §§ 2, 5, 7, & 11.

General City Authority
Ralph M. Brown Act Government Code §§ 54950 et seq.

Open Meeting Laws
California Public Records Act Government Code §§ 6250 et seq.

Public Records Disclosure
California Political Reform Act Government Code §§ 81000 et seq.

Conflicts, Disclosures & Campaigns
FPPC Regulations 2 Cal. Code Regs. §§ 18109 et seq.

Conflicts, Disclosures & Campaigns
Legally Required Participation 2 Cal. Code Regs. §18708 California Anti-Self Dealing Law Government Code §§ 1090 et seq., Self Interest in Contracts
California Incompatibility of Office Law Government Code § 1126 & § 1099 Holding Two Public Offices
City of Capitola Documents
City Municipal Code
City Council Rules of Order and Protocols
Reimbursement Policy
Social Media Policy
Handbook
Anti-Harassment and Ethics Training
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2.0 Online Resources
Resource Web Address
State of California www.ca.gov/index.asp
Portal to State Websites
Official Cal Legislative Information www.leginfo.gov
California Bills & Codes Online
Cal. Fair Political Practice Commission www.ca.fppc
Conflict of Interest Info
Cal. Attorney General www.ag.ca.gov
See AG Opinions
Cal. Senate www.senate.ca.gov
Bill Information Online
Cal. Secretary of State www.sos.ca.gov
Election Information
League of California Cities www.cacities.org
Municipal resources
Institute for Local Government www.ca-ilg.org
Municipal resources
Cal. Joint Powers Insurance Authority www.cjpia.gov
Risk Management & Training
Marrkula Institute for Applied Ethics www.scu.edu/ethics/practicing/decision Ethical Decision Making
Institute for Local Self Government www.ilsg.org
Government Ethics
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APPENDIX B – GUIDELINES FOR MAKING ETHICAL DECISIONS
[Please visit the Markkula Center for Applied
Ethics at the University of Santa Clara]
How to Make an Ethical Decision. When presented with an opportunity to participate in making a decision for the City, the City Official should:

A. Recognize whether an ethical issue is involved.

1. Will the decision result in damage or injury to people?

2. Is there a clear good or bad result?

3. Is the result compelled under the law or does it hinge on budgetary, efficiency, or other community concerns?

4. Ethical decisions are often not the easiest decision nor the most popular.

B. Get the facts.

1. Read the staff report and get questions answered by the City Manager in advance.

2. Are there alternatives that would lead to better or worse results?

3. What are the viewpoints of the stakeholders? Are some more important than others?

4. Are there any unanticipated consequences?
C. Evaluate alternative actions. Which option will:

1. Produce the most good and do the least harm? (See the Markkula Center’s Utility Test.)
a. Identify the alternative actions that are possible and the persons and groups (the stakeholders) who will be affected by these actions. b. For each of the most promising alternatives, determine the benefits and costs to each person or group affected.
c. Select the action in the current situation that produces the greatest benefits over costs for all affected.
d. Ask what would happen if the action were a policy for all similar situations.

2. Best respect the rights of all who have a stake? (See The Markkula Center’s Rights Test.)
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a. Identify the right being upheld or violated.
b. Explain why it deserves the status of a right.
c. Ask whether that right conflicts with the rights of others.

3. Treat people equally or proportionately? (See The Markkula Center’s Justice Test.)
a. What is the distribution of benefits and burdens? Is the distribution fair?
b. If disagreement persists over which outcome is fair, select a fair process to decide the issue.

4. Best serve the community as a whole. (See The Markkula Center’s Common Good Test.)
a. Identify what parts of the common good are involved. b. Explain obligations to promote or protect the common good. c. Discern whether the proposed action conflicts with an obligation to promote or protect the common good.

5. Lead the City Official to act as the sort of person or official as they want to be? (See The Markkula Center’s Virtue Test.)
a. Will the action help to make you the kind of person you want to be? b. Will the action fit the City’s reputation or vision of what it would like to be?
c. Will the action maintain the right balance between excellence and success for the City?
D. Make a decision and test it.

1. Which approach best suits the situation and arrives at the most ethical decision?

2. Which option is likely to be most respected by the Member’s colleagues and constituents?
E. Act and reflect on the outcome.

1. How can the decision be implemented to best reflect the intention and reasons for the decision?

2. What was the end result of the decision and what feedback has the City Official received?
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APPENDIX C – Receipt of Code of Conduct
I affirm that I have read and that I understand, accept and support the City of Capitola City Council and Commissioner Code of Conduct
____________________________________________________________________ Board, Commission, Committee Position
____________________________________________________________________ (Print Name)
____________________________________________________________________ Signature
____________________________________________________________________ Date
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ADMINISTRATIVE POLICY
Number: I-42
Issued: September 10, 2020
Jurisdiction: City Council
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CITY COUNCIL AND COMMISSIONER

CODE OF CONDUCT
Table of Contents

1.0 Preamble ............................................................................................................................. 3

2.0 Core Values......................................................................................................................... 3

3.0 Setting a Higher Standard within the Existing Framework ................................................ 4

4.0 Transparency in decision making. ...................................................................................... 4

4.1 Public Meetings. ............................................................................................................. 4

4.2 Council Communications & Serial Meetings. ................................................................ 4

4.3 Closed Session Discussions. ........................................................................................... 5

4.4 Closed Session Materials. ............................................................................................... 5

5.0 Fairness of Process.............................................................................................................. 5

5.1 Decisions on the Merits. ................................................................................................. 5

5.2 Disclose Information....................................................................................................... 5

5.3 Consider All Sides. ......................................................................................................... 6

5.4 Decorum.......................................................................................................................... 6

5.5 Attentiveness................................................................................................................... 6

6.0 Ethical Decision Making..................................................................................................... 6

6.1 Avoiding the Appearance of Impropriety. ...................................................................... 6

6.2 Ethical Principles to Follow............................................................................................ 7

6.2.1 Avoid Personal Interests. ........................................................................................ 7

6.2.2 No Personal Gain. ................................................................................................... 7

6.2.3 City Stationery. ....................................................................................................... 7

6.2.4 Appearing before Council....................................................................................... 7

6.2.5 Gifts......................................................................................................................... 7

7.0 Efficiency and Accountability ............................................................................................ 7

7.1 Members Should Not Interfere with Operations............................................................. 8 233
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7.2 Interaction of Members................................................................................................... 9

7.2.1 Positions of Mayor and Chairperson....................................................................... 9

7.2.2 At Public Meetings ................................................................................................. 9

7.2.3 Relations with Fellow Members........................................................................... 10

7.2.4 Public Communication and Appearance............................................................... 10

8.0 Enforcement...................................................................................................................... 11

8.1 Member Responsibility................................................................................................. 11

8.2 Council Authority. ........................................................................................................ 11

8.2.1 Training and Education......................................................................................... 11

8.2.2 Councilmembers. .................................................................................................. 11

8.3 Oath of Office. .............................................................................................................. 12

8.4 Violations...................................................................................................................... 12

8.4.1 Complaint.............................................................................................................. 12

8.4.2 Meeting Regarding Complaint.............................................................................. 12

8.4.3 Actions by Council in Response to Complaint..................................................... 13 APPENDIX A – LEGAL FRAMEWORK & RESOURCES....................................................... 16 APPENDIX B – GUIDELINES FOR MAKING ETHICAL DECISIONS ................................. 18 APPENDIX C – Receipt of Code of Conduct .............................................................................. 20 234
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1.0 Preamble
The Capitola City Council declares that citizens of the City of Capitola are entitled to have fair, open, ethical, efficient and accountable local government and that City officials should continually strive to earn the public’s confidence. Toward that end, these Protocols establish higher standards of conduct for members of the City Council and members of City boards and commissions (collectively “Members”) than are currently required under the laws of the State of California.

The Members pledge to hold themselves and other Members responsible for observing the standards set forth in these Protocols, and to enforce these Protocols when necessary to preserve the integrity of City government.

2.0 Core Values
Responsibility
• I conduct myself in a courteous and respectful manner at all times during the performance of my official City duties.
• I will keep the common good as my highest purpose and focus on achieving constructive solutions for the public benefit
• I will avoid and discourage conduct which is divisive or harmful to the best interests of Capitola
• I make decisions based on the merits of an issue, including research and facts. • I am a prudent steward of public resources and actively consider the impact of my decisions on the financial and social stability of the City and its residents.

Integrity
• I am honest with my fellow City officials, City staff, members of the community, and others.
• I promote equity and non-discrimination in public agency decision-making. • I encourage diverse public engagement in our decision-making processes and support the public’s right to know.
• I do not accept gifts, services or other special considerations for personal benefit because of my public position.
• I excuse myself from participating in decisions when my or my immediate family’s financial interests may be affected by my actions as a City Official Respect/Value others
• I recognize the worth and dignity of individual members and appreciate their individual talents, perspectives and contributions; value in others. • I treat my fellow officials, staff and the public with patience, courtesy and civility, even when we disagree on what is best for the community. 235
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• I help create an atmosphere of respect and civility where individual members, City staff and the public are free to express their ideas and work to their full potential. • I understand that I am one of five members of the City Council and will work towards consensus building and gain value from diverse opinions. • I respect the distinction between the role of office holder and staff.

Accountability
• I am prepared to make decisions when necessary for the public’s best interests, whether those decisions are popular or not.
• I do not make promises on behalf of the City without concurrence from the City Council at a duly noticed public meeting.
• I take responsibility for my actions, even when it is uncomfortable to do so. • I do not use public resources, such as City staff time, equipment, supplies or facilities, for private gain or personal purposes.
• I refrain from disclosing confidential information concerning litigation, personnel, property, or other affairs of the City, without proper legal authority, nor use such information to advance my financial or other personal interests.

3.0 Setting a Higher Standard within the Existing Framework By adopting these Protocols, the Council intends to supplement and not to supersede California’s existing legal framework applicable to local governments. Similarly, the Council intends that these Protocols will not merely restate existing legal obligations but will establish a higher standard of conduct for Members in the governance of the City.

Members are referred to Appendix “A” (Legal Framework & Resources) for pertinent resources. Members are expected to be familiar with and to seek guidance about the applicability of the legal framework.

4.0 Transparency in decision making.

Transparency in decision making is of the utmost importance in maintaining ethical, representative local governance. Toward that end, Members will adhere to the following standards:

4.1 Public Meetings.

Members will hold public meetings in accordance with the Ralph M. Brown Act (the “Brown Act”). Members will seek guidance from the City Attorney as to the Brown Act requirements and will apply those provisions conservatively in favor of the public’s right to participate in public decisions.

4.2 Council Communications & Serial Meetings.

Members will not engage in “serial meetings” with colleagues – a discussion of City issues among a majority of Councilmembers or Commissioners either collectively (i.e. all meeting together) or in a sequence (A talks to B who talks to C). Members 236
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will not use other persons as intermediaries to accomplish a serial meeting or to circumvent the Ralph M. Brown Act.

4.3 Closed Session Discussions.

As part of a properly agendized meeting, Members may only hold sessions closed to the public, pursuant to the advice of the City Attorney, in accordance with the commonly accepted interpretation of Brown Act requirements. Discussions held in closed session are to be directly limited to the matter at hand. Such discussions, along with materials reviewed, are confidential and shall not be disclosed except as the City Attorney may advise.

4.4 Closed Session Materials.

Confidential materials provided in preparation for and during closed sessions must be returned to the City Attorney at the conclusion of the closed session.

5.0 Fairness of Process
Members will comply with the meeting and hearing procedures set forth by these protocols, the Brown Act, and Rosenberg’s Rules of Order. Additionally, in order to cultivate an environment of fairness and to encourage public confidence in City decisions, Members will adhere to the following standards of conduct:

5.1 Decisions on the Merits.

Members will base their decisions on the facts and merits of each matter, not upon personal or other biases, and will strive to make decisions that are in the best interests of the community as a whole.

5.2 Disclose Information.

Prior to any deliberations on a project or matter at a public meeting, Members shall publicly disclose information about the matter that they have obtained from sources, not presented in the staff report (e.g. their own site visit, from the public, from the applicant, etc.), which may influence their decision or that of Members.

Remain neutral on quasi-judicial hearings. A quasi-judicial hearing occurs when; a) a hearing is held to apply a rule or standard to an individual person, project or circumstance;
b) it involves the taking of evidence;
c) it results in the rendering or a written decision issued by the hearing officer or tribunal (including adoption of findings); and 237
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d) the written decision is based on the facts and arguments submitted at the hearing.

Elected and appointed officials are obligated to remain neutral and unbiased regarding quasi-judicial matters prior to their vote on the matter.

5.3 Consider All Sides.

Members should consider the various viewpoints related to a project or matter and afford project applicants and interested persons an adequate opportunity to comment upon a project or matter before action is taken.

5.4 Decorum.

To ensure the fairness and integrity of the deliberative process, the presiding officer should preserve decorum and conduct meetings in an orderly manner.

Members should remain attentive of the business at hand and conduct themselves in a manner that is civil, polite and respectful. Members should refrain from unnecessarily interrupting speakers and not engage in abusive conduct, personal charges or verbal attacks upon the character or motives of other Members, City staff and/or the public.

5.5 Attentiveness.

Members should remain attentive at meetings. Members should not make or receive phone calls, text messages or e-mails from the dais. Members should place cellphones and other communication devices in “off” or “silent” mode.

Members should refrain from side-bar conversations with other Members while at the dais.

6.0 Ethical Decision Making
Members should observe the highest standards of ethical conduct in dealing with the community and carrying out their official duties. In every action and decision, Members should avoid even the appearance of impropriety and apply the guidelines for “Making Ethical Decisions” provided below:

6.1 Avoiding the Appearance of Impropriety.

6.1.1 Make Ethical Decisions. Members are referred to Appendix “B” (Guidelines for Making Ethical Decisions) for the process Members are encouraged to utilize in making City related decisions.

6.1.2 You May Need to Refrain from Participating. Conflict-of-interest issues are complex. Some situations are not “legal” conflicts of interest but may nevertheless pose the “appearance of impropriety” to the public. If a Member believes they have a conflict, the Member should contact the City 238
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Attorney or FPPC for advice as soon as possible. The Member should not participate in any matter in which they have a conflict.

6.1.3 Get Help. To assist in making a decision not to participate, Members should consult the guidelines for Making Ethical Decisions (below), the City Attorney or the FPPC helpline, and/or their constituents.

6.2 Ethical Principles to Follow.

6.2.1 Avoid Personal Interests.

Members are prohibited from using their official positions to influence decisions in which they have a personal financial interest, are members of an interested organization, or have a personal relationship that would be affected.

6.2.2 No Personal Gain.

Members shall not take advantage of, or use, public property and equipment, public services, confidential public information, public resources, or other opportunities afforded by their office, for personal gain.

6.2.3 City Stationery.

City letterhead or stationery or other City resources may not be used by Members to promote personal interests. City letterhead may only be used by Members for official City business.

6.2.4 Appearing before Council.

Members shall not appear before the City Council or other City board or commission representing any private interest or community group.

Members are permitted to speak as a member of the public on any matter related solely to the Council Member’s personal interest but may not participate in the matter as a Member.

6.2.5 Gifts.

Members will refrain from accepting gifts, favors or promises of future benefits that might compromise their independence, or the appearance that they are independent and unbiased.

7.0 Efficiency and Accountability
The City of Capitola operates under a council-manager form of government under which the Council’s role is to provide legislative direction, set City policy and monitor its 239
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implementation. The City Manager serves as the City’s administrative head and is responsible for directing the day-to-day operations of the City and for administering all City business.

7.1 Members Should Not Interfere with Operations.

Implementing this Rule:
a) City Manager is responsible for City Personnel Members will not interfere with the appointment, evaluation, discipline, or removal by the City Manager of any Department Head or employee of the City. (i) Exception – City Attorney. The City Attorney is hired, appointed, evaluated, and removed directly by the Council. b) Orders and Direction to Employees. Only the City Manager or applicable Department Head may give orders and direction to City employees. Members may not direct the work or actions of City employees. (CMC Section 2.08.090)
(i) Requests for Information. All Members should direct requests for information, research, or reports to the City Manager or applicable Department Head. If there is a legal question it should be directed to the City Attorney. Questions regarding elections and disclosure statements may be addressed to the City Clerk.
(ii) Responses. Substantive responses to Member’s information inquiries will be provided to all Members of the legislative body (e.g. a response to a request by a Councilmember will be provided to all Councilmembers).
(iii) Notifications. Where the City Manager or Department Head provides general facts or information about the City, a program, or a City event to one Member, the information should be provided to all Members of the legislative body. c) Staff Liaisons to City Commissions / Committees and Outside Agencies. Members serving as the City’s representative to a City Commission or Committee or to an outside agency may interact directly with the City employee assigned to that effort by the City Manager.
d) Operations and Service Levels. Criticisms of City operations and service levels may be made only to the City Manager and not to City employees or Department Heads, unless first cleared through the City Manager or expressed in general during a regular Council, board or commission meeting.
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e) Political Solicitation & Activities. Members will not solicit political support from City employees (e.g., financial contributions, display of posters or lawn signs, name on support list, etc.). Members will not engage in political activities at City Hall or other City facilities. This provision is not intended to impair the free exercise of federal and state constitutional and statutory rights by City employees.

7.2 Interaction of Members.

7.2.1 Positions of Mayor and Chairperson.
a) Honorary Presiding Officer. The positions of Mayor and Mayor Pro Tempore on the City Council and the positions of chairperson and vice chairperson on City boards and commissions are generally considered honorary and ceremonial, but also serve an important procedural role as the presiding officer at meetings of their body.

Persons appointed to those positions by a majority of their council, board or commission serve at the pleasure of their appointing body. b) Maintain Order, Decorum & Procedure. The Mayor and chairperson are responsible for maintaining order and decorum of their body’s meetings and enforcing these policies where necessary. They are responsible for the order of business at meetings, the efficient flow of business during meetings, and for preserving the right of the public to be heard in an orderly fashion.
c) Ceremonial Head. The Mayor is the ceremonial head of the City and signs all proclamations, officiates at all City functions, and welcomes visiting dignitaries.
d) Spokesperson. The Mayor is the official spokesperson for the City and has the primary responsibility for communications with the press and public on official City business, with the exception of a state of emergency. During a state of emergency, the Director of Emergency Services may serve as the primary contact for the public, other governing officials and the press. The Mayor will work on press releases and statements to the press with the City Manager and will report the majority position adopted by the Council, and not his or her personal opinion on matters.

7.2.2 At Public Meetings
a) Follow Rules of Order, Decorum and Procedure. Members should adhere to the rules of order, decorum and procedure for the conduct of public meetings adopted by the City Council from time to time.

Abiding by these rules will maintain civility and the orderly conduct of business.
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b) Keep Conduct Professional. Members should conduct themselves in an orderly, professional, and business-like manner to ensure that the business of the City shall be attended to efficiently and thoroughly. c) Keep Comments On-Topic. Public meetings are to attend to and resolve City business. Members should avoid being overly repetitious and should endeavor to limit their comments to the subject matter at hand. Members are encouraged to fully express their views and to explore the views of others, but Members should also be mindful of avoiding lengthy or unproductive debates. d) Ask Questions in Advance. When preparing for public meetings, Members are encouraged to provide their questions far enough in advance to the City Manager or City employee responsible for the meeting so that meaningful information and responses can be shared at the meeting.

7.2.3 Relations with Fellow Members
a) Civility. Members should always practice civility. By doing so, Members help the City to fulfill its potential by putting the common good ahead of personal rivalries or irritations. Civility is best fostered by a collective commitment to following established rules of procedure.
b) Different Points of View. Members should exercise tolerance for the different opinions, perspectives, and points of view of their colleagues and recognize their right to express these views on matters of City business within the established rules of decorum and order of business.
c) Managing Conflict. Members should manage disagreement with civility and professionalism and not allow disagreement to turn into open conflict or hostility. Members should refrain from abusive conduct, personal charges or verbal attacks upon the character or motives of other Members, City employees and/or members of the public.

7.2.4 Public Communication and Appearance
a) Personal versus City Positions. It is an important part of each Member’s responsibility to communicate with the public. In communications regarding City business, it is important to distinguish a Member’s personal views and opinions and the adopted City position. When appearing before another governmental agency or organization, the Member should clearly set forth the City’s official position, and then may express their own position.
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(i) Expressing Dissent. Each Member has a right under the First Amendment to express their views and opinions, even if
contrary to the official position of the City. However, Members should express their dissenting views with tact and civility. b) Use of Official Titles. Members may use their official title only when conducting official City business, for informational purposes, or as an indication of background and expertise, after having carefully considered whether they are exceeding or appearing to exceed their authority.
c) Response to Public Communication. Members are encouraged to respond promptly to letters, telephone calls, electronic communication, and other communications received from member of the Public who have requested a response. Members are not required to respond to commercial solicitations or to anonymous, obnoxious or harassing communications.

8.0 Enforcement

8.1 Member Responsibility.

Upon assuming office each Member shall sign a statement affirming that they have received and reviewed these Protocols. Each Member is responsible for adhering to these Protocols as well as the laws that comprise the basic legal framework for local government.

8.2 Council Authority.

The City Council has authority, but not the legal obligation, to monitor each Member’s adherence to these Protocols and to take corrective action for violations, as provided below.

8.2.1 Training and Education.

The City Council may sponsor or require periodic training opportunities for Members to become more familiar with the Protocols and the legal framework (See Appendix “A”).

8.2.2 Councilmembers.

Under California law, the Council does not have the legal authority to remove Members elected or appointed to the City Council or to otherwise deprive them of their office. However, as provided in Section 8.4.3, a majority of the Councilmembers may remove a Councilmember from all Council honorary and/or ceremonial positions and ad-hoc and standing committees, as well as from positions with other governmental agencies or other organizations they hold by virtue of appointment by the City Council. 243
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8.3 Violation of Oath of Office.

8.3 8.3.1Oath of Office.

All Members take an oath upon assuming office, pledging to uphold the constitution and laws of the City, the State and the Federal government. In addition, Members commit to disclosing to the appropriate authorities and/or to the City Council any behavior or activity that may qualify as corruption, abuse, fraud, bribery or other violation of the law.

8.4 Violation of Protocols.

8.4 Violations.

This Code of Conduct is an expression of the standards of conduct for all elected and appointed Members. This section establishes a process for the filing of and the City’s response to complaints that a member has violated this Code of Conduct. This section does not apply to any legislative action taken by a Member, including how a Member votes on an item, or any position a Member takes on any particular item that is before the Council.

8.4.1 Complaint.

Where any Board or Commission Member, Councilmember, City employee, or resident of the City believes that a Member has violated these Protocols or their Oath of Officethis Code of Conduct, they may file a written complaint with the City Clerk who will then provide it to the City Manager and City Attorney. The complaint shall be considered confidential until the City Attorney has determined the appropriate next action. Council at the following email address: [email protected].

The Mayor, Vice Mayor, or City Clerk shall provide the complaint to the City Attorney.

The Mayor, Vice Mayor, or City Clerk will acknowledge receipt to the complainant within five business days of receipt.

Within 45 days of receipt of the complaint, at a City Council meeting, any Councilmember may request the complaint be agendized for discussion at a future Council meeting. If ___ Councilmembers (for a total of ____) agree, discussion will be agendized at a future meeting.

If, within 45 days of receipt of the complaint, the Council does not act to agendize it for discussion, the City Clerk or City Attorney will notify the complainant that the complaint has been dismissed.

8.4.2 Meeting Regarding Complaint.
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If the Council chooses to discuss the complaint at a Council meeting, the Member who is subject to the complaint shall be notified of the meeting and have an opportunity to respond to the complaint at the meeting.

8.4.3 Actions by Council in Response to Complaint.

In response to a complaint, the Council may: 1) request further investigation or information; 2) take any of the actions listed below; or 3) take any other action that is permitted by law. Any action requires a majority vote by the Council.

8.4.2 Investigation.

Within thirty (30) days of receipt of a Complaint as provided in Section

7.4.1., the City Manager and City Attorney shall review the complaint. If, in the City Attorney’s determination, the complaint alleges a violation of law, the City Attorney shall determine appropriate next steps.

For example, a complaint alleging theft of public funds or bribery, or a complaint from a purported whistle-blower (pursuant to California Labor Code Section 1102.5) may be forwarded to the Office of the District Attorney. Complaints alleging other violations of the law may be forwarded to the City’s risk-management pool for a determination. The City Attorney shall have the authority to retain an outside investigator to investigate complaints from employees alleging violations of the Fair Employment and Housing Act.

All complaints, including complaints alleging violations of these protocols and any other City policy or procedure, at the appropriate point in the process as determined by the City Attorney shall be forwarded to the City Council for consideration in open session. The City Council may order an investigation.

8.4.3 Enforcement.

The City Council may use any of the following to respond to any and all violations of these protocols: (i) a warning (ii) a written reprimand; or (iii) censure. In addition, the City Council shall have the authority to remove Board or Commission Members from office as a remedy for violations. (CMC 2.12.020 for Planning Commissioners).

The City Council, Boards and Commissions shall use the following procedure to consider complaints forwarded by the City Attorney:
a) Receipt of Complaint. Upon receipt of the complaint, the Council will hold a public meeting at which it will determine whether the 245
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complaint should be dismissed for the reasons stated in section b)(i), below, or added to a future agenda for further discussion and determination. if the complaint is added to a future agenda, the subject Member shall have the opportunity to address the allegations in the complaint at the future meeting.
b) Determination. The Council shall make a determination on the allegations in the complaint based on the following:
(i) Dismissal. Where the Council determines that no violation occurred or that only a trivial violation occurred, or that the complaint does not have merit for any other reason, the The Council may dismiss the complaint.
(ii) Reprimand. The Council may adopt a verbal or written statement reprimanding the subject Member for their conduct.

The subject Member may file a rebuttal to the Reprimand with the City Clerk which will become a matter of public record. (iii) Censure. Where the Council, based on the Report, any statement from the subject Member, and other evidence
accepted at a public hearing of the matter, determines that there is substantial evidence that the Member has materially violated one or more provisions of these Protocols, and that such violation(s) impugn the integrity or dignity of the City or that such violations are egregious or chronic in nature, then the Council may adopt a resolution censuring the subject member by condemning their actions, removing the Member from all appointive positions representing the City in front of other governments and agencies, demoting them if they hold a position of mayor, mayor pro tempore, chairman or vice chairman, stating that the violations shall cease, and
demanding corrective actions. The subject Member may file a rebuttal to the Censure with the City Clerk which will become a matter of public record.
c) Commissioner and Board Member Removal from Office.
(i) Planning Commissioner - Notwithstanding any of the
provisions in this Section 9.0, the City Council may remove a Planning Commissioner by following procedure in CMC
Section 2.12.020. Nothing in these Protocols affects or diminishes such power nor vests Planning Commissioners
with any additional rights, including, without limitation, rights of procedural due procession.
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(ii) Other Commissioners and Board Members - Notwithstanding any of the provisions in this Section 9.0, the City Council may remove any commissioner or board member appointed by the City Council. Nothing in these Protocols affects or diminishes such power nor vests such commissioners or board members with any additional rights, including, without limitation. (ii) Censure. The Council may censure the Member. Censure is an official expression of disapproval and reprimand by the Council.
(iii) Removal from appointments. The Council may remove the Member from any appointive positions representing the City or, if they are currently serving as Mayor or Vice Mayor, remove them from that position.
(iv) Removal of Board Member or Commissioner. The Council may remove a Board Member or Commissioner from the
Board or Commission on which the Board Member or
Commissioner serves.
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APPENDIX A – LEGAL FRAMEWORK & RESOURCES

1.0 Legal Framework
Law or Regulations Citation
California Laws
California Constitutions Article XI §§ 2, 5, 7, & 11.

General City Authority
Ralph M. Brown Act Government Code §§ 54950 et seq.

Open Meeting Laws
California Public Records Act Government Code §§ 6250 et seq.

Public Records Disclosure
California Political Reform Act Government Code §§ 81000 et seq.

Conflicts, Disclosures & Campaigns
FPPC Regulations 2 Cal. Code Regs. §§ 18109 et seq.

Conflicts, Disclosures & Campaigns
Legally Required Participation 2 Cal. Code Regs. §18708 California Anti-Self Dealing Law Government Code §§ 1090 et seq., Self Interest in Contracts
California Incompatibility of Office Law Government Code § 1126 & § 1099 Holding Two Public Offices
City of Capitola Documents
City’s Charter
City Municipal Code
City Council Rules of Order and Protocols
Reimbursement Policy
Social Media Policy
Handbook
Anti-Harassment and Ethics Training
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2.0 Online Resources
Resource Web Address
State of California www.ca.gov/index.asp
Portal to State Websites
Official Cal Legislative Information www.leginfo.gov
California Bills & Codes Online
Cal. Fair Political Practice Commission www.ca.fppc
Conflict of Interest Info
Cal. Attorney General www.ag.ca.gov
See AG Opinions
Cal. Senate www.senate.ca.gov
Bill Information Online
Cal. Secretary of State www.sos.ca.gov
Election Information
League of California Cities www.cacities.org
Municipal resources
Institute for Local Government www.ca-ilg.org
Municipal resources
Cal. Joint Powers Insurance Authority www.cjpia.gov
Risk Management & Training
Marrkula Institute for Applied Ethics www.scu.edu/ethics/practicing/decision Ethical Decision Making
Institute for Local Self Government www.ilsg.org
Government Ethics
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APPENDIX B – GUIDELINES FOR MAKING ETHICAL DECISIONS
[Please visit the Markkula Center for Applied
Ethics at the University of Santa Clara]
How to Make an Ethical Decision. When presented with an opportunity to participate in making a decision for the City, the City Official should:

A. Recognize whether an ethical issue is involved.

1. Will the decision result in damage or injury to people?

2. Is there a clear good or bad result?

3. Is the result compelled under the law or does it hinge on budgetary, efficiency, or other community concerns?

4. Ethical decisions are often not the easiest decision nor the most popular.

B. Get the facts.

1. Read the staff report and get questions answered by the City Manager in advance.

2. Are there alternatives that would lead to better or worse results?

3. What are the viewpoints of the stakeholders? Are some more important than others?

4. Are there any unanticipated consequences?
C. Evaluate alternative actions. Which option will:

1. Produce the most good and do the least harm? (See the Markkula Center’s Utility Test.)
a. Identify the alternative actions that are possible and the persons and groups (the stakeholders) who will be affected by these actions. b. For each of the most promising alternatives, determine the benefits and costs to each person or group affected.
c. Select the action in the current situation that produces the greatest benefits over costs for all affected.
d. Ask what would happen if the action were a policy for all similar situations.

2. Best respect the rights of all who have a stake? (See The Markkula Center’s Rights Test.)
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4926-5103-7807 v1 - 19 -
a. Identify the right being upheld or violated.
b. Explain why it deserves the status of a right.
c. Ask whether that right conflicts with the rights of others.

3. Treat people equally or proportionately? (See The Markkula Center’s Justice Test.)
a. What is the distribution of benefits and burdens? Is the distribution fair?
b. If disagreement persists over which outcome is fair, select a fair process to decide the issue.

4. Best serve the community as a whole. (See The Markkula Center’s Common Good Test.)
a. Identify what parts of the common good are involved. b. Explain obligations to promote or protect the common good. c. Discern whether the proposed action conflicts with an obligation to promote or protect the common good.

5. Lead the City Official to act as the sort of person or official as they want to be? (See The Markkula Center’s Virtue Test.)
a. Will the action help to make you the kind of person you want to be? b. Will the action fit the City’s reputation or vision of what it would like to be?
c. Will the action maintain the right balance between excellence and success for the City?
D. Make a decision and test it.

1. Which approach best suits the situation and arrives at the most ethical decision?

2. Which option is likely to be most respected by the Member’s colleagues and constituents?
E. Act and reflect on the outcome.

1. How can the decision be implemented to best reflect the intention and reasons for the decision?

2. What was the end result of the decision and what feedback has the City Official received?
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APPENDIX C – Receipt of Code of Conduct
I affirm that I have read and that I understand, accept and support the City of Capitola City Council and Commissioner Code of Conduct
____________________________________________________________________ Board, Commission, Committee Position
____________________________________________________________________ (Print Name)
____________________________________________________________________ Signature
____________________________________________________________________ Date
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Summary Report
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CITY COUNCIL CODE OF

CONDUCT
October 23, 2025 255
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Code of Conduct Overview
 Developed in September 2019 in response to request
from Council.
 Applies to Council, Boards and Commissions.
 Current Council identified review and update of
Code of Conduct in FY 2025-26 goals.
 July 24, 2025: Council requested staff prepare
updates to use of stationary and enforcement
sections.
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Item 9 F.

Use of City Stationery
 6.2.3 City Stationery. City letterhead or stationery
or other City resources may not be used by
Members to promote personal interests. City
letterhead may only be used by Members for
official City business.
257
Item 9 F.

Use of City Stationery
 What constitutes “City business”? Potential clarification:
 6.2.3 City Stationery/Letterhead. City letterhead or stationery or other City resources may not be used by Members to promote personal interests. City Council members may use City letterhead when a Councilmember is representing the City and the City’s official position. City letterhead is not to be used for correspondence of Councilmembers representing a personal point of view, or a dissenting point of view from a position the City has established.
 6.2.3 City Stationery.

City letterhead or stationery or other City resources may not be used by Members to promote personal interests.
258
Item 9 F.

Section 8.0 Enforcement
Overview of Recommended Revisions
 Complaint procedure and handling streamlined.
 If Council opts to consider complaint at Council
meeting, procedure is condensed from two meetings
to one.
 Includes notification of complainant that complaint
was received and, if applicable, dismissed.
259
Item 9 F.

Scope of Complaints
 Section 8.4 Violations (NEW SECTION)
This Code of Conduct is an expression of the
standards of conduct for all elected and appointed
Members. This section establishes a process for the
filing of and the City’s response to complaints that a
member has violated this Code of Conduct. This
section does not apply to any legislative action taken
by a Member, including how a Member votes on an
item, or any position a Member takes on any
particular item that is before the Council.
260
Item 9 F.

8.4.1: Complaint
Current Policy Amended Policy
With City Clerk, who provides to the CM,
then CA.

With City Council: [email protected]
No acknowledgement of receipt. Mayor, Vice, or Clerk acknowledges receipt w/in 5 business days.

No deadline for agendizing. Within 45 days of receipt, may be agendized for discussion at Council meeting
One Councilmember may agendize
discussion.

Two/ three Councilmembers to agendize.

No notification to complainant of dismissal. W/in 45 days of receipt, if Council does not agendize, Clerk or CA notifies
complainant of dismissal OR
CM adds to consent calendar for dismissal
(similar to government claim). 261
Item 9 F.

8.4.1. Complaint: Mediation Options
 Council recommends that, whenever possible and
permitted by the Brown Act, the complainant and
subject consider mediation by an independent mediator.
 If the Complaint is agendized for discussion, Council requests the complainant and subject complete and
submit to the Council, to be attached to the staff report for the item, affidavits confirming that they have
agreed to or attended mediation and, if not, an
explanation as to why mediation was unavailable or
inappropriate.
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8.4.2: Meeting Regarding Complaint
 If Council chooses to discuss complaint at a Council
meeting, subject is notified of meeting and has an
opportunity to respond.
263
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8.4.2: Meeting Regarding Complaint: Procedure
for Meeting Options
 Subject(s) of complaint agree to recuse from the
meeting(s) at which the Council hears or deliberates
on the complaint, unless it will lead to a lack of
quorum, in which case no subject shall recuse.
 Subject and complainant both speak from the
podium in the Council chambers.
264
Item 9 F.

8.4.2: Meeting Regarding Complaint: Procedure
for Meeting Options
 Potential Meeting Outline:
 Staff report
 Council questions of staff
 Complainant: 10 minutes
 Subject: 10 minutes
 Public comment
 Complainant Rebuttal: 5 minutes
 Subject Rebuttal: 5 minutes
 Council Questions to Complainant/ Subject
 Deliberations
 No formal rules of evidence.
 Any additional information must be provided during the time allotted above or public comment. 265
Item 9 F.

8.4.3: Actions by Council in Response to
Complaint
 In response to a complaint, the Council may: 1)
request further investigation or information; 2) take
any of the actions listed below; or 3) take any other
action that is permitted by law. Any action requires
a majority vote by the Council.
266
Item 9 F.

8.4.3: Actions by Council in Response to
Complaint
 Dismissal. The Council may dismiss the complaint.
 Censure. The Council may censure the Member.

Censure is an official expression of disapproval and
reprimand by the Council.
 Removal from appointments. The Council may remove
the Member from any appointing positions representing
the City or, if they are currently serving as Mayor or
Vice mayor, remove them from that position.
 Removal of Board Member or Commissioner. The
Council may remove a Board Member or Commissioner
from the Board or Commission on which the Board
Member or Commissioner serves.
267
Item 9 F.

Capitola City Council
Agenda Report
Meeting: October 23, 2025
From: Community and Economic Development Department
Subject: Introduce an Ordinance Amending Chapter 15.04 of the Capitola Municipal Code Pertaining to Building and Fire Code
Recommended Action: Introduce for first reading, by title only, waiving further reading, an ordinance amending Chapter 15.04 and 15.18 of the Capitola Municipal Code pertaining to adoption of California Building Codes and the California Fire Code, 2005 Edition and portions of the 2024 International Fire Code, as amended by the Central Fire Protection District and ratified by the Capitola City Council.

Background: Every three years, the Building, Plumbing, Mechanical, Electrical, Energy, Green Building, Fire Code, and other building codes and standards are updated to include the most current construction and engineering principles and practices. Under the purview of the California Building Standards Commission, the newly revised California Building Standards Codes are published for required local adoption. This process ensures that the latest construction, engineering, and life safety techniques become standard practice throughout the State.

Under applicable provisions of the California Government Code and Health and Safety Codes, when a city is part of a fire protection district, the district adopts the local amendments to the Fire Code. Capitola is part of the Central Fire District (the “District”). The District has forwarded to the City a copy of the District’s proposed ordinance adopting local amendments to the 2025 Fire Code, accompanied by findings supporting the amendments, for Council consideration.

The City last adopted updated versions of these codes in 2022. The mandatory effective date of the 2025 California Building Standards Code, including the Fire Code, is January 1, 2026.

Discussion: Staff recommends amending the City’s building regulations, Title 15 of the Municipal Code, to recognize the adoption of the State Building Standards Codes. The City is permitted to adopt amendments to the State building standards.

The proposed ordinance is included as Attachment 2. Notable changes to the code are outlined below.

Part 2: California Building Code
 Amendments were made to the permit expiration provisions of the code.  There were no significant updates to the California Historical Building Code. The State Historical Building Safety Board adopted the 2025 California Historical Building Code by carrying forward existing provisions from the 2022 edition without further amendment.

Part 2.5: California Residential Code
 Amendments were made to the permit expiration provisions of the code.  Amendments include increased fire resistance between units in a duplex.

Part 4: California Mechanical Code
 Amendments were made to the permit expiration provisions of the code.

Part 5: California Plumbing Code
 Amendments were made to the permit expiration provisions of the code.  Amendments include stricter flow requirements for showers, faucets, and toilets.  Amendments include new greywater alternative water reuse systems. 268
Item 9 G.
 Amendments include higher efficiency water heaters.
 Amendments include ADU-specific requirements around plumbing fixture flow rates, hot water delivery times, and a separate shut-off for ADU water supply.

Part 6: California Energy Code
 Amendments include tighter requirements on the thermal envelope, requiring better insulation.  Amendments include more stringent infiltration/envelope sealing requirements.  Amendments include increased minimum efficiencies for heat pumps.  Amendments include increased controls for lighting.
 Amendments include more requirements for PV systems.

Part 11: California Green Building Standards Code (CALGreen)  Amendments include expanded EV charging requirements for the installation of EV charging receptacles and EV chargers (EVSE).
 Amendments include a stronger emphasis on material reuse and water diversion.  Amendments include enhanced site development vegetation, landscaping, and minimizing heat islands.

Fire Codes
Central Fire District amended the Fire Code by adding section 903.2.4 concerning fire sprinklers in new accessory dwelling units (ADUs). The State Fire Code does not require automatic sprinkler systems for ADUs that are detached from the primary residence and less than 1,200 square feet if the primary residence does not have sprinklers. (California Residential Code, Title 24, Part 2.5, Section R309.2 (2025).) The District has added Section 903.2.4, which sets the following fire protection standards for newly constructed ADUs:

1. All newly constructed ADUs must meet the standards for water supply for firefighting in Section 507.3 and fire department vehicle access in Section 503.1.1. If these cannot be met, the owner can install an automatic residential sprinkler system as an alternative.

2. If the primary residence has fire sprinklers, the ADU must also have fire sprinklers. If the primary residence does not have sprinklers, sprinklers are not required in the ADU if the ADU is attached to the primary residence and 50% or less of the square footage of the primary residence, or if the ADU is detached from the primary residence.

The District is required to provide a copy of its proposed ordinance and adopted findings to the city where the ordinance will apply at least 30 days before adopting the proposed ordinance. The District sent a copy of the proposed ordinance and adopted findings to the City following the District’s Special Meeting on September 25, 2025. The City may provide written comments, which will become part of the District’s public hearing record, before the District adopts the ordinance. The District is scheduled to consider adoption of the ordinance on November 13, 2025.

After the District adopts the ordinance, it will transmit the adopted ordinance to the City. The Council may then ratify, modify or deny the ordinance, and must transmit its determination back to the District within 15 days. The Fire Code amendments become effective in Capitola when ratified by the City Council.

Staff recommends Council adopt the State Codes as the governing Code for this cycle, as the City is obligated to apply State Building and Fire Codes, and because the State’s standards are tailored to the geographic, climatic, and topographic conditions found in California.

Fiscal Impact: None.

Attachments:
269
Item 9 G.

1. Central Fire Letter to City Council

2. Draft Ordinance

3. Building Municipal Code

4. Fire Code

5. Central Fire Resolution Fire Code

6. Central Fire Resolution State Housing Law
Report Prepared By: Katie Herlihy, Community and Economic Development Director Reviewed By: Julia Gautho, City Clerk and Samantha Zutler, City Attorney Approved By: Jamie Goldstein, City Manager
270
Item 9 G.
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Item 9 G.

DRAFT ORDINANCE NO. ______

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAPITOLA AMENDING CHAPTER 15.04 AND 15.18 OF THE CAPITOLA MUNICIPAL CODE

PERTAINING TO ADOPTION OF CALIFORNIA BUILDING CODES
THE CITY COUNCIL OF THE CITY OF CAPITOLA HEREBY ORDAINS AS FOLLOWS:

SECTION 1. Section 15.04.010 of the Capitola Municipal Code is amended to read as follows:

15.04.010 Adoption of California Building Codes. The City of Capitola adopts the following Codes or designated portions thereof:

A. The California Building Code and appendices, 2025 edition.

B. The California Electrical Code, 2025 edition.

C. The California Mechanical Code, 2025 edition.

D. The California Plumbing Code, 2025 edition.

E. The California Fire Code, 2025 edition as amended by the Central Fire Protection District.

F. The California Residential Code, 2025 edition.

G. The California Referenced Standards Code. 2025 edition.

H. The California Energy Code, 2025 edition.

I. The California Green Building Standards Code, 2025 edition.

J. The California Administrative Code, 2025 edition.

K. The California Historical Building Code, 2025 edition.

L. The California Existing Building Code, 2025 edition.

The International Building Codes may be used as an alternative to the California Codes, when submitted, reviewed, and approved by the City’s Building Official.

SECTION 2. Section 15.04.050 Modifications to the California Building Code.

The following modifications apply to the California Building Code:

A. Section 105.5.1 [Permit] Expiration
Every permit issued shall become invalid unless the work authorized by such permit is commenced within 180 days after its issuance or after commencement of work if more than 180 days pass between inspections. The building official is authorized to 272
Item 9 G.

Building and Fire Code Ordinance Adoption
2025
grant, in writing, one or more extensions of time, for periods of not more than 180 days each. The extension shall be requested in writing and justifiable cause demonstrated.

SECTION 3 Section 15.04.060 Modifications to the California Mechanical Code.

The following modifications apply to the California Mechanical Code A. Section 104.4.3 is deleted and replaced with the following:

Every permit issued shall become invalid unless the work authorized by such permit is commenced within 180 days after its issuance or after commencement of work if more than 180 days pass between inspections. The building official is authorized to grant, in writing, one or more extensions of time, for periods of not more than 180 days each. The extension shall be requested in writing and justifiable cause demonstrated.

Section 104.4.3.1 is Deleted
SECTION 4 Section 15.04.080 Modifications to the California Plumbing Code.

The following modifications apply to the California Plumbing Code A. Section 104.4.3 is deleted and replaced with the following:

Every permit issued shall become invalid unless the work authorized by such permit is commenced within 180 days after its issuance or after commencement of work if more than 180 days pass between inspections. The building official is authorized to grant, in writing, one or more extensions of time, for periods of not more than 180 days each. The extension shall be requested in writing and justifiable cause demonstrated.

Section 104.4.3.1 is Deleted
SECTION 5 Section 15.04.090 Modifications to the California Green Building Standards Code.

The following modifications apply to the California Green Building Standards Code A. Add Section 101.12 Creation of Green Building Fund:

Building Permits which are required to comply with the California Green Building Standards Code shall be assessed a fee equal to 0.0025 times the overall valuation of the project. Revenues collected shall be maintained by the Finance Department as a revolving green building fund and shall be used only for program management, training, publications, public educational purposes, incentive programs and materials and supplies necessary to promote sustainable development, water conservation, storm water pollution prevention and climate action planning activities.

SECTION 6 Section 15.18 Green Building Regulations is deleted.

SECTION 7. This Ordinance shall take effect and be in full force thirty (30) days after its final adoption by the City Council.

This Ordinance was introduced on the 23rd day of October, 2025 and was passed and adopted by the City Council of the City of Capitola on the _____ day of _____, _____ , by the 273
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Building and Fire Code Ordinance Adoption
2025
following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:
________________________
Joe Clarke, Mayor
ATTEST:
________________________
Julia Gautho, City Clerk
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Capitola Municipal Code
Title 15 BUILDINGS AND CONSTRUCTION

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